This transcript has been formatted with the speaker names based on the context provided and the dialogue within the meeting. Note: As timestamps were not provided in the original text, I have used a placeholder. *** **[Timestamp] Mayor Michele Hanson:** All right, I’d like to call to order the September 9th, 2024, Bayport City Council meeting. Let's all rise for the Pledge of Allegiance. **[Timestamp] ALL:** I pledge allegiance to the flag of the United States of America, and to the Republic for which it stands, one nation under God, indivisible, with liberty and justice for all. **[Timestamp] Mayor Michele Hanson:** All right, let's call the roll, Matt. **[Timestamp] Matt Kline (City Administrator):** Councilmember Carlson? **[Timestamp] Councilmember Connie Carlson:** Here. **[Timestamp] Matt Kline (City Administrator):** Councilmember Doh? **[Timestamp] Councilmember John Doh:** Here. **[Timestamp] Matt Kline (City Administrator):** Councilmember Gilmore? **[Timestamp] Deputy Mayor Ethan Gilmore:** Here. **[Timestamp] Matt Kline (City Administrator):** Councilmember Hill? **[Timestamp] Councilmember Katie Hill:** Here. **[Timestamp] Matt Kline (City Administrator):** Mayor Hanson? **[Timestamp] Mayor Michele Hanson:** Here. **[Timestamp] Matt Kline (City Administrator):** And just a note, Mayor Hanson, that the City Attorney, Eric Larson, is available via remote tonight. **[Timestamp] Mayor Michele Hanson:** Oh, your screen died? What happened? Oh, your screen died. Have that one? Okay, there's Eric. Hi, Eric! Eric is feeling from surgery. We both had foot surgery on the same day, goodness, and I was able to hobble in here because I live much closer than Eric does. His was probably worse than mine, but anyways, glad you could make it, Eric. That's great. Let's see—do we have approval of tonight's agenda? Anyone want to make a motion? **[Timestamp] Councilmember Katie Hill:** I move to approve the agenda as presented. **[Timestamp] Mayor Michele Hanson:** Thanks, Katie. Second? **[Timestamp] Councilmember Connie Carlson:** I'll second it. **[Timestamp] Mayor Michele Hanson:** Thanks, Connie. All those in favor? **[Timestamp] ALL:** Aye. **[Timestamp] Mayor Michele Hanson:** Anyone opposed? All right. Proclamations, accommodations, petitions, and announcements: The August recycling award recipient is Bob Greedhurst on Second Avenue South. He'll be awarded for his recycling efforts with a grant from Washington County. And then now we have the Open Forum. There's lots of people here. The Open Forum is a portion of the meeting to address the City Council on subjects that are not a part of the agenda. The City Council may take action or reply at the time of the statement or may give direction to staff regarding investigation of comments expressed. A total of 15 minutes is allotted for public comment during the Open Forum. If anybody would like to come up and tell us your name and address, this is your chance. You just came to watch? Okay. **[Timestamp] Mayor Michele Hanson:** The Consent Agenda: Consider resolution adopting items 1 through 8: the August 5th, 2024, City Council Workshop minutes; August 5th, 2024, City Council regular meeting minutes; August payables and receipts; August building, plumbing, mechanical, and zoning permits report; award the quote to Willow River Company for ash tree replacement; donation request from the Bayport Community Action League to support Derby Days; authorization to proceed with Peril Creek stabilization project; and award the contract for Barker's Alps Park Woodland restoration project Phase Two. Do we have a motion? **[Timestamp] Councilmember Connie Carlson:** I'll make a motion to approve tonight's consent agenda 1 through 8 as read. **[Timestamp] Mayor Michele Hanson:** Thanks, Connie. **[Timestamp] Deputy Mayor Ethan Gilmore:** I'll second. **[Timestamp] Mayor Michele Hanson:** And thank you, Ethan. Roll call vote, Matt. **[Timestamp] Matt Kline (City Administrator):** Sorry, Mayor, I'm searching through the agenda. Councilmember Carlson? **[Timestamp] Councilmember Connie Carlson:** Aye. **[Timestamp] Matt Kline (City Administrator):** Councilmember Doh? **[Timestamp] Councilmember John Doh:** Aye. **[Timestamp] Matt Kline (City Administrator):** Councilmember Gilmore? **[Timestamp] Deputy Mayor Ethan Gilmore:** Aye. **[Timestamp] Matt Kline (City Administrator):** Councilmember Hill? **[Timestamp] Councilmember Katie Hill:** Aye. **[Timestamp] Matt Kline (City Administrator):** Mayor Hanson? **[Timestamp] Mayor Michele Hanson:** Aye. All right, and next we have Molly Thompson from Schlenner Wenner and Company to present our city's audit. Welcome, Molly. **[Timestamp] Molly Thompson (Auditor):** Thank you. Welcome back, I should say. Thank you for having me. I'm here to present the 2023 year-end audit. This document that I handed all of you takes the audited financial statements along with the report to the members of governance and puts it into about 12 pages. As I go through, it's going to be very high level, but if you do have any questions, just somehow indicate. *(Molly Thompson presents the detailed audit findings, including the unmodified clean opinion, material audit adjustments, general fund trends, and the health of the water/sewer funds.)* **[Timestamp] Molly Thompson (Auditor):** ...It was a very nice pleasure to work on the audit this year. So, a big thank you to your staff. **[Timestamp] Mayor Michele Hanson:** Wonderful. Thank you, that's great to hear. It doesn't surprise me at all because, you know, they're great. Does anyone have any questions or comments? **[Timestamp] Councilmember John Doh:** No, sounds good. **[Timestamp] Mayor Michele Hanson:** It means you did a great job, right? Thank you. Thanks, Molly. Okay, so now we need to make a motion accepting it. **[Timestamp] Councilmember Katie Hill:** I'll move to accept the 2023 audit as presented. **[Timestamp] Mayor Michele Hanson:** Thanks, Katie. Second? **[Timestamp] Councilmember John Doh:** I'll second. **[Timestamp] Mayor Michele Hanson:** All those in favor? **[Timestamp] ALL:** Aye. **[Timestamp] Mayor Michele Hanson:** Anyone opposed? All right, great. We have no public hearings. We do have some unfinished business that we've—this is our third month now talking about it. So we're going to consider an amendment to Chapter 25 for prohibited acts and penalties, Article Three: Administrative Citations and Civil Penalties, related to abatement and recovery of costs and summary ordinance for publication. Matt and Eric are going to—I suppose Matt will start presenting where we're at with this. **[Timestamp] Matt Kline (City Administrator):** Madam Mayor, I'll just give a short briefing and then I'll pass it along to Eric for some of the technical stuff. We were able to work with the residential group that was providing some concerns about the ordinance amendment. We've worked through language regarding extraneous circumstances involving an appeal process, removing language about administrative fees, and providing clarification. The final version has been seen by the group providing input. With that, I'll let Eric provide the background on what was changed. **[Timestamp] Eric Larson (City Attorney):** Mayor, Councilmembers, just to confirm that you can hear me? **[Timestamp] Mayor Michele Hanson:** We can hear you. **[Timestamp] Eric Larson (City Attorney):** Great. And first, my thanks for letting me appear remotely. Yes, I did have Achilles tendon surgery this last Tuesday and the surgeon was adamant: do not leave your bed. So that's where I'm reporting from. I do appreciate the resident engagement. I think we have one of the best civil abatement ordinances that works well for the city and is respectful for residents. *(Eric Larson explains the specifics of Subparts A through D regarding district court civil abatement and the 30-day stay of remediation.)* **[Timestamp] Eric Larson (City Attorney):** ...I believe I have hit all of the underlying revised sections. I open up to any questions. **[Timestamp] Mayor Michele Hanson:** Thank you, Eric. That was very thorough. I appreciate all your time. I know you, I, Matt, and Mr. St. Ores have spent a lot of time communicating. I don't know that we have a lot of discussion unless you guys have questions. I was knee-deep in helping write this. I know we have the St. Ores here. If anyone wants to come up to the podium to just remark on it, otherwise we can move forward. **[Timestamp] Phil St. Ores (Resident):** Phil St. Ores, 345 Lake Street. Matt and I had worked on it and gone back and forth many times. I routed it to the residents that were here last time; they are not here because they are comfortable with what they're seeing. I just want to say thank you for the process. I thought that was a good way of doing business. **[Timestamp] Mayor Michele Hanson:** Thanks for mediating that, Phil. I think it helped us to finally get to a place where everyone can be comfortable. Are we ready to make a motion? **[Timestamp] Councilmember John Doh:** I'll move to approve an amendment to Chapter 25 of the Bayport City Code of Ordinances related to District Court civil abatement actions and recovery of costs as presented, and summary ordinance for publication. **[Timestamp] Councilmember Katie Hill:** I'll second. **[Timestamp] Matt Kline (City Administrator):** Councilmember Carlson? **[Timestamp] Councilmember Connie Carlson:** Aye. **[Timestamp] Matt Kline (City Administrator):** Councilmember Doh? **[Timestamp] Councilmember John Doh:** Aye. **[Timestamp] Matt Kline (City Administrator):** Councilmember Gilmore? **[Timestamp] Deputy Mayor Ethan Gilmore:** Aye. **[Timestamp] Matt Kline (City Administrator):** Councilmember Hill? **[Timestamp] Councilmember Katie Hill:** Aye. **[Timestamp] Matt Kline (City Administrator):** Mayor Hanson? **[Timestamp] Mayor Michele Hanson:** Aye. Sorry, that was a long time coming. That was worth some applause. All right, thank you guys. Now we'll move on to new business: Consider a proposal from SEH for engineering services to develop a storm water utility. Matt? **[Timestamp] Matt Kline (City Administrator):** Thank you, Madam Mayor. As you are aware from the financial management plan, one of the proposals was to create a storm water utility. The primary reasons: Property taxes are not paid by all property owners, specifically churches, schools, and the state prison. The storm water utility would allow the city to charge these facilities appropriately. It is an Enterprise fund, exempt from levy limits. SEH will determine the residential equivalency factor and identify non-residential properties. Staff is recommending the proposal in the amount of $26,250. **[Timestamp] Councilmember John Doh:** Just in the interest of people in our audience, it looks like a new fee or tax, but it's money we're already spending as a city. It's just a way to more fairly break it out for an individual property? **[Timestamp] Matt Kline (City Administrator):** Councilmember Doh, that's accurate. **[Timestamp] Mayor Michele Hanson:** Is it going to run into complications with businesses out of homes? **[Timestamp] Matt Kline (City Administrator):** Madam Mayor, if it's a residential property, it will equal one residential property unit. **[Timestamp] Councilmember John Doh:** I move to accept the proposal from SEH for Engineering Services to develop a storm water utility as presented to us tonight. **[Timestamp] Councilmember Connie Carlson:** I'll second. **[Timestamp] Matt Kline (City Administrator):** Councilmember Carlson, Aye; Councilmember Doh, Aye; Councilmember Gilmore, Aye; Councilmember Hill, Aye; Mayor Hanson, Aye. **[Timestamp] Mayor Michele Hanson:** Thank you. Now, more excitement: the budget presentation from Matt. **[Timestamp] Matt Kline (City Administrator):** Thank you, Mayor and Council. I am pleased to present the preliminary budget for 2025. *(Matt Kline provides a detailed presentation on the 2025 budget, noting the discontinuation of using general fund savings for capital improvements, union negotiations, the hiring of a full-time fire chief, and health insurance costs. He highlights that the median home value tax increase is estimated at $131.31.)* **[Timestamp] Matt Kline (City Administrator):** ...With that, I will stand for questions. **[Timestamp] Mayor Michele Hanson:** Thank you, Matt. I know you worked very hard on this. It appears to be a large increase, but we can't increase it later, only lower it. Hopefully, after negotiations, this can be adjusted. The budget itself hasn't increased in terms of new things; we are just saving for the future instead of depleting our cushion. **[Timestamp] Councilmember John Doh:** We're all part of this process, so we have an advantage over a typical resident. It makes sense to us. I’m just trying to think of a way to get a synopsis out to residents. If people have questions, reach out. There's nothing hidden. **[Timestamp] Councilmember Connie Carlson:** To add to that, the $131 increase is about 36 cents a day. When you break it down, it doesn't seem like a lot, though I know other portions like the county and school district will add to it. **[Timestamp] Mayor Michele Hanson:** Any other comments? All right, we have three resolutions to pass. **[Timestamp] Deputy Mayor Ethan Gilmore:** I move to adopt a resolution of the preliminary levy for 2025. **[Timestamp] Councilmember Katie Hill:** I second. **[Timestamp] Matt Kline (City Administrator):** *(Roll call conducted: All Aye.)* **[Timestamp] Deputy Mayor Ethan Gilmore:** I move to adopt the resolution of the preliminary budget for 2025. **[Timestamp] Councilmember Connie Carlson:** I'll second that. **[Timestamp] Matt Kline (City Administrator):** *(Roll call conducted: All Aye.)* **[Timestamp] Deputy Mayor Ethan Gilmore:** I move to adopt the resolution of the proposed Capital Improvement plan for 2025. **[Timestamp] Councilmember Katie Hill:** Second. **[Timestamp] Matt Kline (City Administrator):** *(Roll call conducted: All Aye.)* **[Timestamp] Matt Kline (City Administrator):** Public input on the 2025 budget levy will be heard at the December 2nd, 2024, City Council meeting. **[Timestamp] Mayor Michele Hanson:** Liaison reports. Connie, you want to start? **[Timestamp] Councilmember Connie Carlson:** Sure. The Library Board met. They are looking for new board members. There will be a kids' book sale at Derby Days. Jill Smith is presenting at the library conference in Rochester about the library renovation project. **[Timestamp] Mayor Michele Hanson:** Ethan, the Cable Commission? **[Timestamp] Deputy Mayor Ethan Gilmore:** They met. Looking for a new treasurer, but couldn't find one. Approved some moving expenses for a new location. That's about it. **[Timestamp] Mayor Michele Hanson:** John, Watershed Management? **[Timestamp] Councilmember John Doh:** The Mayor stepped in for me graciously. I will be there this Thursday. **[Timestamp] Mayor Michele Hanson:** Katie, bcal/Derby Days? **[Timestamp] Councilmember Katie Hill:** Derby Days is coming up Friday, September 20th. "Party in the Park" is the theme—Audio Circus. Costume contest for kids and adults. Saturday is the Legion breakfast, Medallion hunt, Pet Parade, and the Duck Derby. Fireworks at Lakeside. **[Timestamp] Mayor Michele Hanson:** I had a busy August. Met with residents about the annexation and the Anderson property. I was at Night to Unite. Saw Matt and Katie there. PD did a great job, specifically Brittany. I went to several Chamber events. I'm also still pursuing a foundation for the City of Bayport. Lastly, the Lake Elmo Airport advisory committee—thousands of complaints continue. It’s a tough situation with the flight school doing so well and the need for pilots. Staff updates? Chief Jackson? **[Timestamp] Jay Jackson (Police Chief):** Safe Roads grant continues. We received a grant from the Fred C. and Katherine B. Anderson Foundation for $118,000 for new squad and body cameras—a much-needed upgrade as ours are from 2015. I’ll be teaching a scammer awareness class at the library on November 7th at 6:00 p.m. We've seen losses in Bayport up to hundreds of thousands of dollars. Also, Officer Laskowski (Brittany) is being honored by the Minnesota Wild on December 3rd for her community service and life-saving awards. **[Timestamp] Mayor Michele Hanson:** Well deserved for Brittany. Lucas, Finance? **[Timestamp] Lucas Schilling (Finance Officer):** I apologize, I don't have anything prepared. The audit went smoothly, especially since I've only been here four months. It was a great learning opportunity. Next year we plan to start in March. **[Timestamp] Mayor Michele Hanson:** Public Works? Simon? **[Timestamp] Simon (Public Works Staff):** Lead service line inventory is wrapped up. Ash tree removal is complete; 30 new trees going in this fall. Barker's Alps Park restoration has begun. Regarding solar on public buildings, we've applied for a state grant for the fire hall. We collected 10 proposals from contractors. We should hear about grant approval in late October. **[Timestamp] Sara Taylor (Asst. City Administrator):** The city newsletter was mailed last week. Just a reminder: The Mayor and two council seats are up for election. Mayor Hanson is unopposed. Councilmember Gilmore is seeking reelection. Other candidates are Carl Bliss and Dave Farr. Absentee voting starts September 20th at the County Government Center. **[Timestamp] Matt Kline (City Administrator):** One more thing: A concept plan for the Anderson Farm Pratt development will be presented October 7th. It’s approximately 40 detached villas and a senior living complex south of the fire hall. **[Timestamp] Councilmember Connie Carlson:** I had a resident ask if they need a variance for a flag pole? **[Timestamp] Sara Taylor (Asst. City Administrator):** Flag poles are allowed; the only limitation is height. They can send the info my way. **[Timestamp] Mayor Michele Hanson:** All right. Move to adjourn? **[Timestamp] Councilmember John Doh:** I move to adjourn. **[Timestamp] Councilmember Connie Carlson:** I'll second it. **[Timestamp] Mayor Michele Hanson:** All in favor? Meeting adjourned.