Osakis City Council
Regular Meeting
December 4, 2006
7:00 PM 
Minutes now offered in PDF format to download
December 4, 2006 Meeting PDF

Present: Astleford, Pederson, Timmerman, Hagemann, Emerson

Mayor Astleford called the meeting to order at 7:00 PM

The pledge of Allegiance was spoken.

Motion by Hagemann, seconded by Timmerman to approve the agenda as presented. All Ayes.

Motion by Timmerman, seconded by Emerson to approve November 6, 2006 minutes, November 8, 2006 special meeting minutes, November 21, 2006 and November 28, 2006 special meeting minutes. All Ayes.

Council would like the Fire Department and any department in the city to inform the council if they are going to purchase any item for the amount of $2,500.00 or more.

Motion by Pederson, seconded by Hagemann to approve the City bills in the amount of $108,163.52 and Fire Department bills in the amount of $2,908.28. All Ayes.

Project #24: Liquor Store
Liquor Store and the VFW have had threats by an individual that is buying pull tabs. They are looking at charging the individual and not letting him into the establishments.

Council received a quote from Minnesota Municipal Beverage Association. Using the current on-sale and off-sale liquor amounts the total cost would be $12,025.00. The quote we received from Minnesota Joint Underwriters was $15,741.52.

Myron Larson was in attendance to update the council on the current insurance policy the City of Osakis holds and the cost for 2007.

Council also asked about the Liquor Liability insurance and Myron Larson said that the price and company was good.

The time to start inventory on January 1, 2007 is at 9:00 a.m. at the Liquor Store.

A motion by Timmerman, seconded by Emerson to approve Minnesota Municipal Beverage Association for the 2007 Liquor Liability Insurance at $12,025.00. All Ayes.

Project #170: Osakis Chamber of Commerce
Council received:
Meeting minutes 10-19-2006
By-laws of the Osakis Chamber of Commerce 10-18-2006
Balance Sheet 11-08-06
Page 1 of 7, December 4, 2006
Agenda 11-15-2006
Meeting Minutes 11-15-2006
2007 Fiscal Year Profit & Loss Budget vs. Actual
Board of Directors

Bruce Pederson presented a letter from the Osakis Chamber of Commerce.

Council would like to see the city crew put the Christmas lights up and take them down. They would not have to get them out or put them away in storage.

A motion by Timmerman, seconded by Hagemann to approve the city crew's labor to put up seasonal decorations and banners and the Osakis Chamber of Commerce will provide the bucket truck for use to the city to put up and take down the seasonal decorations and banners. All Ayes.

Project #363: Industrial Park Grant
Council received a letter from DEED on our grant for the Industrial Park and the agreement is to be signed.

The clerk contacted Dan Tailer from DEED, about the project cost and if we could downsize. He stated that you can downsize the project as needed, but they will only reimburse cost of 50% of the hard cost. This will not pay for planning or engineering fees up to the amount the project is approved for.

Tom Klemenhagen was in attendance and provided information about the ponds and SRWD new ordinance. Tom also presented the assessment schedule but would like to revise a few of them.

Traci Ryan was in attendance and will work with Tom on the assessments and financing for the project.

A motion by Astleford, seconded by Emerson to approve the signing of the DEED contract for the grant. All Ayes.

Project #380: TIF Downtown
Traci Ryan discussed the TIF Downtown.

After discussion on the projects in the area, the Council passed the resolution

A Resolution was presented by Emerson, seconded by Pederson to approve the TIF District but to delay certification of the district until the project looks like it is moving forward. All Ayes.

Project #388: On-Sale Liquor License
At the council meeting in November the council approved having a special election.

In order to call a special election the council must call the election by Resolution and a notice must be given to the county 53 days prior to the election with the date, time and the ballet question to be voted on.

The Election date is set for February 6, 2007 starting at 12:00 p.m. to 7:00 p.m. The question on the ballot will be The city currently owns and operates a municipal liquor store. Shall the city council be allowed to issue private on-sale license to hotels, clubs, and restaurants for the sale of intoxicating liquor? All this information can be changed if needed. The polls must be open a minimum of 3 hours.

Council received a sample ordinance, one which would have to be adopted if the question passes.

Wes David was in attendance and stated he will have a short order grill with 5 items (burger, wings, fries, etc.) Wes wants to know if there is a percentage of food to liquor that has to be sold. The ratio he thinks is 30% liquor to 40% food. The closing hours that he stated are - the grill will close at 10:00 p.m. and the bar will close at 1:00 a.m.

Clerk stated to qualify as a restaurant it must seat 30 people at one time. Clerk also stated that if it does not qualify for a restaurant the establishment can not have a liquor license.

A Resolution was presented by Timmerman, seconded by Pederson to approve the date of February 6, 2007 from 12:00 noon to 7:00 p.m. for a special election to be held with the question on the ballot as The city currently owns and operates a municipal liquor store. Shall the city council be allowed to issue private on-sale license to hotels, clubs, and restaurants for the sale of intoxicating liquor? All Ayes.

Project #377: Rainbow Rider
Council received the contract from Rainbow Rider for the 2007 year.

Total tickets sold by the Memorial Home from July to the present is 4, totaling $126.00.

Total tickets sold by City Hall from July to the present is 18, totaling $345.00.

Donations received for July to December's premium was $5,539.00.

Premium paid for July to December was $8,000.00

A difference of -$1,990.00.

Jennessen from Rainbow Rider was in attendance.

Randy Anderson was in attendance and stated that the Rainbow Rider is used for children going from daycare to preschool. He has been working on donations to keep the Rainbow Rider in Osakis. Council would entertain Rainbow Rider again if donations are received.

Jennessen stated the bus will still be available in town just not as often.

Motion by Astleford, seconded by Emerson to deny the Rainbow Rider contract for the next six months. When put to a vote: For: Astleford, Pederson, Hagemann, Emerson Apposed: Timmerman

Project #7: Delinquent Bills
Council received a list of the 2006 delinquent bills for Douglas and Todd Counties.

Motion by Timmerman, seconded by Hagemann to approve to put delinquent bills on the tax rolls. All Ayes.

Project #69: Information to the Council

Council received reminders of the Truth in Taxation Public Hearing on Tuesday December 5, 2006 at 6:00 p.m.

The Council meeting in January will be held on January 2, 2007.

Council received a letter from Charter on their digital video product line.

Council received a letter from the League of MN Cities on a conference for experienced officials if anyone is interested in attending.

Project #79: Auditors
Council received a letter from Kern, Dewenter, Viere, LTD on our audit price for 2007.

Base cost is $12,900.00
State reporting forms $500.00
If the city receives $500,000.00 of federal money, an addition audit is needed and that cost is $3,000.00

2005 - the cost was $15,400.00
2004 - the cost was $10,500.00

Motion by Emerson, seconded by Hagemann to approve Kern, Dewenter, Viere, LTD the contract for the 2006 audit. All Ayes.

Project #80: Garbage
Council received the Garbage Contract from Waste Management. The contract states we have to give a 60 day written notice if the city does not want to renew the contract on March 31, 2007.

Fees need to be high enough to cover delinquent bills put on taxes on the fee schedule.

When going out for bids the Clerk suggests the city have the following in the bids:
Residential prices, container sizes, pickup day and frequency
Commercial prices, container sizes, pickup day and frequency
Recycling requirements, pickup day, frequency and extra cost involved
Will they provide spring cleanup and up to what cost and will it include labor cost
Pick up lawn and leaves from houses or have a container in town.
Difference between commercial handling versus residential handling

City will do the billing for the company

Clerk will draft a letter to Waste Management. Council will review the drafted letter at the January 2, 2007 meeting. Then the council will approve items for bid in January and the city will go out for bids.

Project #94: Gas Bid
Clerk mailed a notice along with a form to three gas stations in town so they can bid on the 2007 year.

Deluxe Oil presented a bid for self-service.

Motion by Timmerman, seconded by Pederson to approve the gas bid to Deluxe Oil for .10 profits per gallon. All Ayes.

Project #102: EDA
Council received October 23, 2006 minutes.

Jan Flolid appointed to the EDA to replace Ernie Jensen.

Motion by Emerson, seconded by Hagemann to approve Jan Flolid appointed to the EDA Board. All Ayes.

Project #110: Gambling License
Council received an application from the Immaculate Conception Church for a gambling license; date of raffle is March 25, 2007.

Motion by Emerson, seconded by Timmerman to approve a gambling license to Immaculate Conception Church for March 25, 2007. All Ayes

Project #130: Docks on Public Property (Vacating K Street)

The public hearing for vacating K Street will be held at the January 2, 2007 meeting.

Project #154: Employee Hiring
Terry Gamble is asking of $48,000 instead of $46,000 and 2 weeks of vacation.

Motion by Hagemann, seconded by Pederson to approve the hiring of Terry Gamble at $48,000 with 2 weeks of vacation with the license transfer and a background check.
When put to a vote: For: Astleford, Pederson, Hagemann, Emerson Abstained: Timmerman

Project #185: Water Tower Maintenance
Council received 3 proposals for water tower cleaning.

Water Tower Clean and Coat does both the interior and exterior with a robotic cleaning service that is

hooked to the cable at the top of the tower (the cable does not touch the tower) and is operated from the ground. They use hot water to clean the tower with only 130 psi, so the pressure does not peel the paint. They will use chemicals if you would like but will not charge ay more form them. The exterior cost is $2,700.00 and the interior cost is $1,000.00.

Scrub a Home does exterior cleaning with a man lift. They apply a bleach solution, then steam clean with a hot water and then a fungicide to prevent future growth of mildew. The cost is $3,650.00.

Midwest Mobile Washers does exterior cleaning with a crane. They use a bleach solution fo kill the root of mildew growth, then they pressure wash the tower. The cost is $4,989.77. For an additional $465.29 they apply a chemical to fight against mildew growth.

Tabled until the new superintendent can look at the quotes and to get his advice on cleaning.

Project #196: Fee Schedule
Council received the tentative fee schedule for 2007. This is to be adopted at the January 2, 2007 meeting.

No properties were charged the hookup charge in 2006.

Fees:
Application for Liquor License $500.00
Spade Female $10.00
Sewer and water connection $900.00
Garbage fee to reflect the amount to be put on taxes each year.

Project #233: Sauk River Watershed District
Council received:

Meeting minutes 11-8-2006
Agenda 11-21-2006

Phosphorus level - realistic for cities to follow.

New ordinance proposed by Sauk River Watershed District has ponds meeting very strict standards.

Project #249: Planning and Zoning Commission
Council received the November 16, 2006 meeting minutes and the chapters Karin Tank discussed for the new Zoning ordinance.

Project #254: Office Equipment
Council received two quotes for a copy machine. The existing copy machine needs to be replaced and is out of warranty and no service contract.

IKON copier can be purchased or leased for a 33 per minute copier.
Lease price is $207.95 for 48 months = $9,981.60
Buying is $4,250.00 and $83.00 a month for a service contract for 4 years.

Viking Office Supply cost is $4,995.00 for a 25 per minute copier.
$5,695.00 for a 35 per minute copier.
Service contract is .01 x 5,000 = $50.00 per month. Renewal on an annual basis.

Clerk also stated that Viking Office Supply will give the city the finish stapler for $200.00

Motion by Emerson, seconded by Hagemann to approve the purchase of a 25 per minute Konica copier from Viking Office Supple with the service contract. All Ayes.

Project #312: Osakis Onward
Council received the November 9, 2006 meeting minutes.

Project #321: Visitor and Heritage Center

Council received the November 21, 2006 meeting minutes.

Project #343: Fireworks
Clerk sent a letter to the VFW asking for donations for the 2007 fireworks. The VFW informed the clerk that they will donate $400.00 to the fireworks. The city will need to raise money again this year to have the fireworks in 2007.

Project #382: Union Contract - City
Council received the final agreement between MAPE and the city.

Motion by Pederson, seconded by Emerson to approve the proposed union agreement between MAPE and the city that was presented and signed on November 28, 2006.
For: Hagemann, Pederson, Astleford, Emerson Apposed: Timmerman


Motion by Emerson, seconded by Hagemann to adjourn the meeting at 9:45 p.m. All Ayes.

_________________________ _________________________
Mayor - Gary L. Astleford City Clerk - Angela A. Jacobson