Wanamingo City Council Meeting - August 12, 2024

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CITY OF WANAMINGO

City Council Regular Meeting

Monday, August 12, 2024 7:00 P.M.

Wanamingo City Council Chambers – 401 Main Street

Wanamingo, MN

CALL TO ORDER: Mayor Holmes.

PRESENT: Council: Ryan Holmes, Eric Dierks, and Jeremiah Flotterud

City Administrator: Michael Boulton

Deputy Clerk: Karen Masters

ABSENT: Stuart Ohr & Rebecca Haugen

ALSO PRESENT: Brad Kennedy, Brandon Theobald – WHKS, Bobby Stewart – Highland Sanitation, Trevor Aase, Beth Hass – Zumbrota News-Record, Goodhue County Deputy Tom Blue, and Daren Strobel – Kenyon Leader.

ADOPT AGENDA: Flotterud motioned to adopt the agenda, seconded by Dierks. Passed 3-0-0.

CONSENT AGENDA: Dierks motioned, seconded by Flotterud. Passed 3-0-0.

PRESENTERS:

A) Brad Kennedy reported on:

1) Added gravel along shoulders of Mingo View Drive and 440th Street. The shoulders were washed away during heavy rains.

2) Worked with Jason’s Sewer Sucking & Excavation to repair water service line in alley of 500 block of Main Street. Locate water shut off valve that had a previously unknown location.

3) Worked with Jason’s Sewer Sucking & Excavation to repair storm sewer pipe on the corner of Hill Avenue and 2nd Street E. Two pipes had split apart causing a sink hole when it rained.

4) Well House project is underway. The underground piping and well house demolition is complete. The contractor poured the new building footing this week while the walls will be poured later in the week.

5) Cleaned out MN TH 60/3rd Avenue (Cenex Industrial Park) retention pond outlet. Cut out the volunteer trees, mowed down weeds, and removed debris from in front of the outlet.

6) Midco removed their shed and satellite dishes from the Mingo View Drive water tower site. The site still requires some restoration. Boulton stated that he would relay the request for site restoration (grading and seeding).

7) Worked with Schumacher Excavating to repair water main break within the 500 block of Main Street. Schumacher was able to get a crew to the site for the emergency repair within an hour and had the repair completed by the evening. The site will need concrete curb replacement and asphalt patching. Cannon Valley Concrete is tentatively scheduled to replace the curb while Durst is scheduled to patch the asphalt. Concrete work is expected to be completed at the end of August while the asphalt patching will be completed mid-September.

8) Started to dismantle ice rink boards. The plan is to rebuild a smaller (65’ x 70’) square ice rink that is centered on the light poles. The site may require dirt work to make it level. The current site, designed for a hockey rink, has over four inches in elevation making it difficult to create even ice throughout the rink. Once dismantled new holes will be dug and the poles set. The boards will be reinstalled after the poles are set. The rebuilding of the ice rink should make starting and maintaining ice easier during the use.

9) Mowed and trimmed along MN TH 60 & MN TH 57 ditch and utility poles. Mowed at the WWTP, community garden, undeveloped lot boulevards, and other various areas around town.

10) Swept streets; the goal is to sweep Main Street weekly, the west side of town one week and the east side of town the next week on Wednesdays.

B) Brandon Theobald – WHKS, reported on:

1) The sump pump inspection program is set to kick off at the end of August

2) Ground water is entering into the sanitary sewer collection system and costing residents to treat at the wastewater treatment plant. Right now, there is minimal cost due to the current older waste water treatment plant being overbuilt. The new regional waste water treatment plant will bill the City of Wanamingo for actual flow to cover new capital and operational cost. The extra ground water will increase sanitary sewer rates to cover the additional charge.

3) A website has been set up for residents to schedule inspections and obtain information - wanamingosump.com

4) A public hearing is schedule at the Wanamingo Community Center for August 29th starting at 6:00PM led by Brian Kaemingk of WHKS.

5) Letters will be sent out to all residential property owners at the end of August. The letters will include individual log in and password for the City website to schedule an inspection. There is also an 1-800 number that will call WHKS staff to schedule an inspection. Property owners will have 30 days to schedule an inspection. The inspection takes less than fifteen minutes. If appointments are not scheduled within 30 days the City has the option to place a $100/month surcharge onto the utility bill. The City staff and WHKS staff will reach out a number of times to line up an inspection before a monthly surcharge is implemented. There may be reasons that appointments may take time to schedule due to renters, health problems, and family issues. The point is to get the inspection scheduled and completed. The surcharge is a way to complete the inspection. The surcharge is a last resort if the owner refuses to schedule an inspection. The inspections will start the week before Labor Day. If there are sump pumps found to be discharging into the sanitary sewer system the homeowner will have 90 days to obtain a plumbing permit and disconnect sump pump or other prohibited discharge into the city sanitary sewer system. The homeowner will have to request-reinspection, certifying that all work necessary to disconnect the owner’s sump pump or other prohibited discharge from said property into the city sanitary sewer system has been completed.

6) Sump pump inspection programs have become a common way for cities to tackle ground water infiltrating the sanitary sewer system. Recently Owatonna, Rochester, and Kasson have completed sump pump inspection programs.

7) Along with the sump pump inspection program WHKS will also be inventorying water service lines. The City is required to identify the lines through MN Department of Health Lead & Copper Rule. Lead service line (or galvanized) pipes need to be identified to eventually be replaced. The State and Federal Government will be making funds available in the future to replace these lead service lines.

8) Sump pump inspection programs have identified roughly 10-15% of homes that are placing ground water into the sanitary sewer systems.

9) Wanamingo’s sanitary sewer inflow increases nearly 8 times during and right after heavy rain events. The City will also be smoke testing the entire community this fall checking for cross connections between the storm and sanitary sewer collection lines. This could also help to reduce inflow and infiltration.

NEW BUSINESS:

RESOLUTION:

24-044 = Certifying Proposed Tax levy for 2025: Dierks moved to approve, Seconded by Flotterud. Boulton reminded the Council that once the proposed 2024 tax levy is certified that it cannot be raised. Boulton stated that the Council will consider a final 2024 tax levy in December that can be equal to or lower than the proposed tax levy. Boulton stated that the 9.35% proposed levy increase is from $1,070,000 to $1,170,000. Boulton stated that the Midco Utility Building increased its taxable value by an estimated $20,000, Zumbro Valley Landscaping New Salt Sand Shed increased taxable value by an estimated $11,000, Beulke new greenhouse increased taxable value by an estimated $25,000, and Casey’s remodel increased taxable value by $94,000 in 2023. This would bring in roughly $5,740 (slightly less than half City portion) in property taxes (0.041). The improvements at the Wanamingo Medical Facility will be captured in additional TIF. New construction within the community over the last year (7 new taxable homes in 2023) should aid with the increase to the taxable market value increase. The new construction should off-set roughly 1/5 of the proposed levy increase (1.75% of the proposed 9.35% increase). Boulton stated that the larger levy increase for 2025 was important because the slowing of growth will mean that 2026 and possibly 2027 levy increases will be directly onto the existing tax base. Boulton stated that the proposed levy increase helps to cover inflationary costs mainly in the public safety (police fire, and ambulance) portion of the budget. Passed 3-0-0.

24-045 = Adopting a Proposed Budget for 2025: Flotterud moved to approve, Seconded by Dierks. Passed 3-0-0.

24-046 = Setting Date for Public Hearing and Continuation for 2025 Budget Adoption: Flotterud moved to approve, Seconded by Dierks. Passed 3-0-0.

24-047 = Approval to Transfer Up to $13,868.00 from Operating Reserve to SEMMCHRA for 2024 Projected Vacancy, Marketing, and Capital Expenses: Dierks moved to approve, Seconded by Flotterud. Boulton stated that $13,868 is from operating loss and capital purchases. Boulton stated that the City is levying $25,000 in 2024 which would bring the $50,000 reserve to $62,710 in August 2024. Boulton stated that the City would be levying $25,000 in 2025 which will cover 2024 operating loss and additional capital needs while bring the $50,000 back in line. Passed 3-0-0.

24-048 = Approving New Hires for the Fire Department: Dierks moved to approve, Seconded by Flotterud. Holmes stated that he and Administrator Boulton were members of the committee that conducted interviews for the six candidates. Aase stated that the candidates were chosen based off points assigned to interview questions. Aase stated that a couple of the candidates work in town during the day. One works nights and is also available during the day. This helps as the department is in need of fire fighter/first responders during the day time hours. One of the candidates has seven years of previous experience on another community’s department. The recommended new hires are Michael Edstrom, Austin Kern-Evert, Broc Fredrickson, and Michael Brainard. Passed 3-0-0.

24-049 = Approving Lot Split for Goodhue County Parcel 70.210.0040: Dierks moved to approve, Seconded by Flotterud. Boulton stated that the request complies with the requirements of applicable zoning codes in the I2 Industrial Park District. Passed 3-0-0.

24-050 = Approving Pay Request No. 4 to The Joseph Company, Inc. for the Well House Portion of the 2022 Utility Improvements: Flotterud moved to approve, Seconded by Dierks. Theobald stated that the pay request is for demolition of the old well house and excavation for piping changes. Theobald stated that project completion is expected October 15th. Passed 3-0-0.

OLD BUSINESS:

Administrator Boulton provided the solid waste & recycling for residential and commercial proposals from Waste Management, LRS, Harters Disposal, Highland Sanitation, and Flom Sanitation. LRS was lowest on the combined residential solid waste and recycling proposal at $21.98/month with Highland $23.20/month and Waste Management $28.88/month. Waste Management had the lowest combine commercial solid waste and recycling proposal being roughly 25% lower than LRS and Highland Sanitation. Holmes stated that he liked Waste Management’s commercial numbers since businesses get hit the hardest in solid waste and recycling costs. Flotterud asked if the City had to have organized solid waste and recycling and if they could be separated. Boulton said that organized collection was required by Wanamingo Code of Ordinances Section 50 and that the ordinance deems it an exclusive franchise license. Flotterud asked why there was such a difference in the commercial solid waste and recycling proposals. Bobby Stewart said that commercial solid waste and recycling is difficult to estimate/determine weights when bidding. Stweart stated that tipping fees have increased from $65/ton a few years ago to $130/ton in 2024. Stweart stated that most solid waste dumpsters in Wanamingo are 2-4 yard. Recycling costs are determined how far and where the products are taken to sell. Flotterud asked if action needed to be taken at the meeting. Boulton stated that ordering containers and dumpsters could be an issue with haulers. Stewart stated that new containers have a 4–6-week lead time while dumpsters have a 4–8-week lead time. Flotterud asked if the haulers would be willing to separate the residential from the commercial. Boulton stated that the Ordinance specifically says exclusive franchise license and that they can not be separated. Flotterud stated that the ordinance could be changed. Boulton stated that even if the ordinance could be changed it will need to have a first and second reading, taking more than two months and adding costs. Flotterud stated that the Council would know by September if the haulers were willing to have two separate proposals. Boulton stated that the item would be placed onto the September City Council agenda with a recommendation moving forward. Flotterud thanked Stewart for attending the City Council meeting and sharing information.

Enforcement Process – Mead Johnson - Reckitt – 240 day written letter toward meeting goal of waste pH – Boulton stated that the City had received a letter from Mead Johnson – Reckitt. Mead Johnson – Reckitt pH of wastewater discharge was within range during most of the month of June. The frac tank was installed and incorporated into their process back in March. Mead Johnson – Reckitt goal is to install a new lift station with pH treatment. The project has been funded and is proceeding through the final engineering design phase. Boulton stated that the Wanamingo staff are still monitoring the wastewater discharge from Reckitt-Mead Johnson. The pH levels of the wastewater discharge are being adjusted before being sent to the wastewater treatment plant. Prior to December 2023, results have regularly shown extremely low and at times high pH levels along with the presence of high levels of QAC (Quaternary Ammonium Compounds) have been sent to Reckitt-Mead Johnson. The pH levels should be within 5.0 and 9.5. City Staff have been working with Reckitt-Mead Johnson toward the achieved solution of pH levels within the limits. The City appreciates the open dialogue and work, to date, from Reckitt-Mead Johnson. The City continues to keep the Minnesota Pollution Control Agency informed during this process, including Carolle Ternus the new Municipal Wastewater Compliance and Enforcement staff member. Boulton stated the Enforcement Process would remain on the monthly agenda until November 2024, or when the action items are completed. Boulton stated the Reckitt-Mead Johnson would be required to provide written monthly updates to the City Council.

Administrator Boulton provided a Goodhue County Sheriff policing contract update. The Sheriff’s office is going to notify the Goodhue County Board that 5 of the 6 contract communities indicated that they would not approve the proposed contract price and/or minimum hour proposal. The Sheriff’s office plans to recommend to the County Board to create a committee of two County Commissioners, a County Finance Office Staff, two Sheriff’s Office Staff, and representatives from the Contract Cities. The goal of the committee would be to review the formula for the per hour rate, review the formula for the minimum hours requirement, and look for ways to compromise policing contracts that work for both the County and the Contract Cities. It sounds like the formal process may not take place until September. An August 16th meeting is scheduled to review the cost formula. Boulton plans to attend the meeting in Red Wing on behalf of the City of Wanamingo. The goal would be to have approved policing contracts before December 2024.

Boulton reminded the Council that the final day to submit affidavits of Candidacy will be August 13, 2024 at 5:00PM for Mayor – 2 Year Term and 2 At-Large City Council Positions - 4 Year Terms. Candidates’ names will appear on the November 8, 2024 General Election ballot.

The Minnesota Primary Elections will be on Tuesday August 13th. Wanamingo will hold the primary elections in the community center from 7:00AM-8:00PM. US Congress and US Senate will be the only items on the ballot.

*Next City Council meeting on 9/9/2024

Adjourn: At 8:11 PM a motion to adjourn was made by Dierks and seconded by Flotterud. Passed 3-0-0.

Signed: Attest:

_____________________ ____________________________________

Ryan Holmes, Mayor Michael Boulton, City Administrator