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HomeMy WebLinkAbout09-26-2022 City Council Minutes MINUTES OF THE ORONO CITY COUNCIL MEETING September 26,2022 6:00 o'clock p.m. ROLL CALL The Orono City Council met on the above-mentioned date with the following members present: Mayor Dennis Walsh,City Council Members Matt Johnson,Aaron Printup,and Richard Crosby III;Council Member Victoria Seals was absent.Representing Staff were City Attorney Soren Mattick,City Administrator/Engineer Adam Edwards,Finance Director Ron Olson,and Community Development Laura Oakden Mayor Walsh called the meeting to order at 6:00 p.m., followed by the Pledge of Allegiance. APPROVAL OF AGENDA CONSENT AGENDA 1. CITY COUNCIL MEETING MINUTES OF SEPTEMBER 12,2022 2. COUNCIL WORK SESSION MINUTES OF SEPTEMBER 12,2022 3. CLAIMSBILLS 4. APPROVAL OF RENTAL LICENSE 5. REDUCE DEBT LEVY REQUIREMENT SERIES 2014A—RESOLUTION NO. 7290A 6. ADOPT 2023 PRELIMINARY TAX LEVY—RESOLUTION NO.7291 7. ADOPT 2023 PRELIMINARY GENERAL FUND BUDGET—RESOLUTION NO. 7292 8. ADOPT 2023 LONG LAKE FIRE OPERATING BUDGET 9. REJECT 2023 LONG LAKE FIRE CAPITAL BUDGET 10. NOTICE OF INTENT TO ESTABLISH A FIRE DEPARTMENT—RESOLUTION NO. 7293 11. FIRE DEPARTMENT CONSULTANT SEARCH COMMITTEE AND RFP PROCESS 12. AUTHORIZATION FOR IMPLEMENTATION AND REPUBLICATION OF ORONO MUNICIPAL CODE 13. PUBLIC WORKS FACILITY(21-039)—AWARD 14. AUTHORIZATION TO PURCHASE 2023 SQUAD CARS 15. LA22-000041—ESKUCHE DESIGN OB/O CHRIS HEIM,3005 CASCO POINT ROAD, VARIANCE—RESOLUTION NO.7284 16. LA22-000037—612 SIGNS, 1444 SHORELINE DRIVE,VARIANCE,DENIAL RESOLUTION NO.7289 The Applicant asked to remove this item from the agenda. Page 1 of 13 MINUTES OF THE ORONO CITY COUNCIL MEETING September 26,2022 6:00 o'clock p.m. A member of the public asked to talk about items 6 and 13. A member of the public asked to pull item 10 from the Consent Agenda until they hear more about item 19,Fire Department Negotiation Offer to Long Lake. Walsh moved,Crosby seconded,to approve the Consent Agenda with the removal of items 6, 10, 13,and 16.VOTE: Ayes 4,Nays 0. PRESENTATION SCHOOL BOARD LEVY-ROBERT TUNHEIM Mr.Tunheim shared about an important item on the ballot this fall involving the renewal of the technology levy.He thanked the City of Orono for their partnership.He introduced the Superintendent Kristine Flesher. Dr.Flesher thanked the community for the technology levy that has been dedicated for 20 years in Orono Schools. It is now expiring and is up for renewal. She showed a video onscreen and followed up noting that there is no tax increase,it is a flat renewal,and important buckets it supports are about classroom learning,reliable safety,and infrastructure. Crosby asked how much in dollars the levy on a$500,000 home is. Dr. Flesher replied it would be about$120 per year on a$500,000 home,or about$10 per month. Crosby stated the technology there is fantastic and he would be interested in keeping it going. PUBLIC HEARING 17. Fox Street Pedestrian and Bike Infrastructure Public Discussion(Project#23-001) City Administrator/Engineer Edwards noted this is a continuation from the previous meeting. The City received a petition and resident input about looking at pedestrian and bike facilities and have also received input against adding those facilities. Eric Dayton, 1820 Fox Street,is here on behalf of 20 of his neighbors.Together they have 18 children and grandchildren who live along Fox Street.All of those advocating for the consideration of this provision are motivated by the safety of the children and families.He shared a deep concern that the status quo on Fox Street is unsafe and unsustainable.The road is narrow,hilly,has poor visibility,cars regularly exceed the posted speed limit(35 mph),there is no shoulder,and there are no lane markings along that section of the road.Collectively they are asking to explore ways to make the road and neighborhood safer as part of the proposed reconstruction and redesign of Fox Street.It would potentially allow those living along Fox Street to have safe access to the Dakota and Luce Line Trails and Mr. Dayton's hope is to be able to bike to Bederwood Park or bike into town for ice cream safely.He spoke with Edwards about the options and learned some important things;the lane width would be between 12- 14 feet wide and Mr.Dayton went out to measure Fox Street noting it is roughly 22 feet wide and at the narrowest point through the wetland it is only 20 feet wide.He noted it is really underbuilt for two lanes of traffic at 35 mph.Mr.Dayton also learned the proposed reconstruction through the low-lying area is an infrastructure expected to last 50 years and this is a once-in-a-generation opportunity to anticipate the Page 2 of 13 MINUTES OF THE ORONO CITY COUNCIL MEETING September 26,2022 6:00 o'clock p.m. uses of Fox Street well into the future. Their request is to get that opportunity right.He is asking the City Council to direct Staff to conduct an additional feasibility study for provision of bike and pedestrian safety, including community and neighborhood outreach.This would be a relatively minimal expense and if the budget were a concern,he and others would be willing to contribute to that effort.Most importantly it is an opportunity for resident engagement and education.He noted this would also allow time to explore additional funding options.Mr.Dayton has been in touch with Commissioner LaTondresse at Hennepin County,as well as Representative Dean Phillips and Representative Kelly Morrison.This potential investment in clean,forward-looking, climate-conscious infrastructure aligns with County, State,and Federal funding priorities and he thinks there is an opportunity there.Mr. Dayton thanked Edwards for his guidance and said he has been great and represented the City well. Barbara Schmidt,50 Landmark Drive, asked if this stretch of road is part of the Comprehensive Plan approved by the City for bike trails. Edwards replied the City does have a bike trail plan and this stretch of road is not included. Penny Saiki,2874 Casco Point Road,was here for the presentation from the soils engineer who explained that portions of the road that go over the wetland are always going to heave every year. If they widen a road the tendency is to go faster;she noted the upland area surrounding is treed,landscaped,and if they widen it the landscape goes away and it is decades of recovery. She thinks everyone here in Orono came out not because it looks like downtown Minneapolis,Edina,or Eden Prairie,they came out because of the setting and she thinks they need to respect that.To change the wetland,she noted John Miller stated at the previous meeting that in the old days people just went straight from one point to another and it did not matter what the soils or landscape were, it was about the shortest route.Today, in being more educated and with the engineering background, she thinks they need to respect that. Nivin Macmillan stated she has lived on or within 1.5 miles of Fox Street for 45 years. She dreads sounding like a crotchety old lady that doesn't want anything to change and she certainly wants the children to be safe.It is hard for her to see the pressing need, of course they need to do something about Fox Street,but she does not see the pressing need for the bike lane.They have miles of biking around them and from where she lives on Fox Street it is exactly .3 of a mile to the Dakota Trail and perhaps a little over.5 miles to the Luce Line. It seems like a tremendous expense, she is concerned about the Watershed,and she is not an expert and cannot speak to it specifically but they know what the water is like in the low place at the east end of the road and they have geese swimming there some years. She feels very protective of the wetlands.Ms.Macmillan noted it is hard to argue about taking the children to ice cream because that is good;however, one must weigh the value of the ice cream and the short distance with all that would be involved in widening the road.The final embarrassing thing she has to say which may seem like a very small and unimportant factor, it was"real country"when she moved out there in the 1970's and they do have a little island of something out there that does not feel like downtown and she feels very protective of that. While she hates to be in opposition to her good friend Eric Dayton and wants his boys to have ice cream,she is against putting a bike and walking trail on Fox Street. Robert McNae 1840 Fox Street, stated as the populations grows in Orono he thinks it is imperative to stay in the forefront of growing with the rest of the City, State,and world. He thinks they must move forward and while it is only half a mile to get to the Dakota or Luce Line,one takes their life in their hands to get there.No matter how wide or narrow that road is,unless they do something to protect pedestrians and Page 3 of 13 MINUTES OF THE ORONO CITY COUNCIL MEETING September 26,2022 6:00 o'clock p.m. people using that road,something tragic is going to happen.He noted people move down that road at faster than 35 mph and it is not safe for anyone to enjoy what they all love in Orono and the trails in the area.He encourages the City Council to explore the opportunity for everyone to enjoy what they have in the City. Rick Hendell,owns the lot on 1735 Fox Street,and is opposed to this as well,it is in the highland,upland area,and there are many mature trees.He builds and remodels homes and he knows roads;this particular stretch has very steep edges and once they start to widen the road it causes a domino effect and he sees a lot of collateral damage regarding vegetation.He loves the idea of a bike path,there is not a bike path connecting anywhere around there and he feels widening the roads would encourage more people to travel in an unsafe area.The wider the roads get,the faster people go and he feels visibility is already not great on that road,he thinks this would encourage more dangerous behavior.He noted there could also be a lot of expense incurred with utilities,gas lines,etcetera, and he does not see it as necessary.He noted he is opposed to it. Anas Abukhadra, 1745 Fox Street,owns three lots on Fox Street and is against this because he believes it will not be safe or make it any safer for anyone else.He also believes it will create noise,take away privacy,and create more maintenance on the property.He is against it. Mary Wray, 1390 Fox Street,noted they previously lived on the corner of Brown Road and Fox Street (680 Brown Road S),and when her sons were younger they wanted to go biking. One day they tried to bike on Fox Street and it was incredibly dangerous how fast the cars were going by. She noted they also would not let them ride on Brown Road because the cars go by so rapidly and trucks drive down the middle of the road as they do not feel comfortable being on one side of the road. She thinks having lines down the center would be very helpful and noted groups of bikers going 25 mph are bypassed by cars going 50 mph. She is sure the police have reports of how fast they have ticketed people driving on Fox Street,and she does not know any additional ways to slow traffic.Ms. Wray noted the amount of traffic on Fox Street has increased with the development in Orono,she has seen it explode,and does not feel it as a safe place,therefore she is against bike lanes. In putting a bike lane in,they are saying it is a safe place for bikes when it is really not. She has talked to Edwards about people parking their cars to get to the Dakota Trail on the east side of Fox Street,they are getting kids out of the cars,getting bikes out, it is so dangerous and she is surprised an accident has not happened there. Joan Migliori, 1655 Fox Street,thanked the Council for hearing concerns regarding a potential bike lane. She would like them not to consider a feasibility study noting they have heard tonight that the road is very narrow, is constrained by vegetation,the Watershed,they cannot change the facts or environment but can improve the road's surface.They could potentially put fog lanes which would help drivability but encouraging any type of pedestrian or biking on that road will be a dangerous endeavor. Mayor Walsh clarified that the Council approved the engineering bid to start work on the road.They have planned to repair the road and waited until they had the full budget available. When they redo roads,the City tries to widen everywhere they can,manage the water,make it as safe as it can be with striping,and this would be nothing different.There is not a trail plan,there is nothing that connects to these trails,and Mayor Walsh lives on Rest Point where it is about 12 feet wide and he understands biking on the street is dangerous.He thinks the City has done a good job in working with the Park Department and Three Rivers to make connections all around the area,and he thinks there are plenty of places to go and park. He Page 4 of 13 1 MINUTES OF THE ORONO CITY COUNCIL MEETING September 26,2022 6:00 o'clock p.m. probably would not be in favor of spending any more money beyond what they normally would to make sure residents are engaged and to make the road as safe as possible.He agrees with keeping the rural character of the City as long as they can. Crosby appreciates everyone's ideas and thoughts and said it was great hearing from each of them. He noted Fox Street is a tough road with peaks and valleys,which is bad for visibility and the decay on the road edges is horrible.Next to the wetland it just makes that softer.In trying to expand upon that he thinks it will just get worse and he does not see it being feasible.He agrees the rural feel of Orono brings charm and community feel to the area and there are a lot of roads in the area where one cannot comfortably walk or ride a bike on.He agrees with Mayor Walsh that people should go to the trails where they have good,safe access.Personally,Crosby wants to build a good solid road that lasts and is as safe as can be for people to drive on.He noted there is not room to do something feasibly well. Johnson used to live on Tanager and Shoreline and has been down Fox on his bike hundreds of times.He tends to ride against traffic on that road to see what is coming rather than getting hit from behind. One thing that will happen when the road is improved, speeds will increase;to Johnson the only way a bike lane would work is if it was completely separated from the road such as a dock/bridge system.However, that is outside the scope of this road improvement project and could be done separately if there are any funds available from different entities to support a bike trail through there.He would not be in favor of adding any taxpayer burden to improving it for the very little benefit to the City as a whole. Printup noted he kind of agreed with everyone pro and con.They want to keep Orono a rural oasis they also have to have a mind toward the future.While Orono may not be growing,people outside of Orono are driving through,and they must keep those things in mind. Widening the road and increasing costs is not something he is in favor of. He asked about striping right now. Edwards clarified they will put that in the preliminary designs for the future. Printup noted widening the road invites the traffic and the speed, as well. Johnson asked about having the majority of the shoulder on one side. Edwards clarified they are looking at that option of adding four feet.As he understood direction from the City Council they would look at where they can widen without widening overall. Johnson suggested looking at putting it all on one side rather than 50/50 with stripes to create a little extra space. Mayor Walsh suggested getting resident input via an open house when they have the plans. Edwards clarified there is not a lot of room to work with so they would only be talking a couple of feet. 18. LA22-000049—City of Orono,365 Old Crystal Bay Road,rezone of the official wetland overlay district map,Public Hearing—Resolution No. 7290 Community Development Director Oakden presented a summary packet of information.Oakden gave history noting the official City Wetland Map identifies the boundaries of the wetland overlay district which includes wetland delineations and are included in the boundaries of the wetland overlay district.In order to construct the Public Works Facility,filling.4 acres of wetland is required.Following City Code, Page 5 of 13 MINUTES OF THE ORONO CITY COUNCIL MEETING September 26,2022 6:00 o'clock p.m. in order to remove that wetland from the overlay map a rezoning process is required.A wetland delineation was completed and approved by Minnehaha Creek in 2021 and Minnehaha Creek and Wetland Conservation Act(WCA)have issued permits for approval of the project. Mayor Walsh opened the public hearing at 6:44 p.m. Penny Saiki,2874 Casco Point Road,noted wetlands are federal, even though they go through the district. She stated four years ago,she pointed out five reeds coming up west of Brackett's which is an invasive weed. She asked what they would do about it and they said nothing.Now looking at the shore and about 100 feet where there were five reeds,now it goes all the way past the marina and there is also a patch near Lafayette Road. She does not get it,that is a decision by the wetland district. Ms. Saiki spoke about replacement and asked what the plan is before they start changing the land as they need the approval for replacement.The replacement of the wetland is important and just because one has a credit and moves it, it changes the watershed. She knows they are trying to do a good job but asked the Councilmembers to keep in mind what it is doing to the Minnehaha which goes to the Mississippi,and then it is the globe. Ms. Saiki is not a tree-hugger but she is very practical regarding what little they do,how far it goes and the difference that it makes. Kim Carswell,261 Cygnet Place,asked Oakden to explain again in laymen's terms. Oakden clarified there is a wetland on the property and in part of construction of the Public Works building that wetland is in the buildable site.They are proposing to fill that wetland which requires a rezoning process to remove it from the overlay district map. Johnson stated they would be filling that wetland and replacing it somewhere else. Barbara Schmidt,50 Landmark Drive,noted Mr.Crosby just spoke about the rural nature of Orono and Ms. Schmidt was very excited to hear that. She asked what kind of example they are setting by filling in a wetland for a Public Works building?Theydo not need to do this, she knows the Citywants to do it,but g why are they setting this example when this is what Orono stands for:wetlands,wildlife,and the rural nature. She noted they cannot just say that and not act accordingly in helping keep their spaces,that just does not fly. She is sad and disappointed that they are filling in a wetland and wants everyone to hear that because this is not a good example for the City. Mayor Walsh closed the public hearing at 6:50 p.m. Mayor Walsh stated this is why there are wetland credits,because sometimes a small piece,such as on this property,needs to be changed on the wetland overlay to manage it.He noted wetland credits and replacement happens in developments and peoples' homes from time to time.He clarified it is not the entire building but a very small piece of the site. Crosby clarified he does like the rural feel of Orono but that does not mean he does not want to keep improving parks for kids so they are active outside.He still thinks they can have a mostly rural community and improve the parklands. Johnson moved,Printup seconded,to approve Resolution#7290,approving the rezoning of the wetland overlay map.VOTE: Ayes 4,Nays 0. Page 6 of 13 MINUTES OF THE ORONO CITY COUNCIL MEETING September 26,2022 6:00 o'clock p.m. 6. ADOPT 2023 PRELIMINARY TAX LEVY—RESOLUTION NO.7291 Finance Director Olson noted the City must certify the Preliminary Tax Levy to the County by September 30.He shared the final levy and budget will be approved on December 12,2022 and public input will be allowed prior to the final adoption of the levy and budget. He showed a slide on screen regarding tax and tax levy history,noting the average property in Minnesota pays 30%of the property tax to the City,30% to the schools,and 28%to whatever County they are in. Orono's share of the tax levy is only 16%with 38%going to the County,and 39%goes to the schools. Olson stated the City has always been conservative on the tax levy,taking a much smaller portion than cities around Orono.This year the total levy is proposed to be$8,387,000,the General Fund levy is$5,641,000(13%increase mostly due to wage increases in the unions),and he spoke about the pavement management levy which will bring them to the full funding needed to maintain roads in Orono.This City Council has been very dedicated to improving parks and the park levy is increasing to$150,000; Olson noted that fund was at zero 10 years ago with nothing spent on parks other than mowing and portable restrooms.He shared about the community investment fund,bonds,and debt service which is a savings of$416,000. Olson shared it is a sizable increase overall but he thinks it is justified for where Orono is going.He stated based on the increase in property values this year the tax capacity is about$50,000,000 which is a 21%increase.Right now they are estimating the tax capacity rate for Orono will actually decrease slightly by.04.He explained if one owns a property in Orono that does not change in value they would see a very small decrease in taxes. If a property increased by 5%in value they would see increases in property taxes,for example$22-23 on a$250,000 and$210 on a$2,000,000 home in the City share of taxes. Olson showed a slide on tax capacity since 2016 which is trending downward over time. Mayor Walsh noted the City has the road budget in there(they do not assess for roads),as well as the roads and sewer budget,the parks budget,police,and technology.Looking at Long Lake,for example, who is at 36%to Orono's 16%,they do not have any of those things in their budget. Olson shared a chart comparing taxes between cities and the good job Orono has generally done keeping taxes low.He showed the general fund tax levy noting Orono is around 52%,Medina is over 70%, Mound is 67%, Spring Park is over 80%. He noted Orono has done a great job finding other ways to finance the general fund budget through service contracts for police and public works which allows a bigger,more robust department,and provides services the other cities could not afford on their own.This keeps Orono's budget much more stable because they are not completely reliant upon taxes.Many of the cities on the graph get some sort of State aid and Orono has not received State aid for 20 years. Gabriel Jabbour,985 Tonkawa Road, appreciates Mr.Olson's presentation. As they know,one goes through a tax bill and noted to do anything at the State level will take a long time,planning,getting the right legislator to think the right way,and getting something done at Hennepin County is very difficult. He stated Orono is picking up quite a bit of Hennepin County,Minneapolis,and other areas.The only other area they could make a difference is in the local,City government. Mr.Jabbour said the City will receive close to 21%more taxes out of Orono residents than the previous year.With property values going up they do not need to change the number that they multiply the value to get the taxes. Mr.Jabbour would say the reason it is going up is supply and demand and the good citizens of Orono investing in their own property. If the whole City doubled and the City kept the budget the same,the levy number would go down in half(he does not mean the taxes).He noted Orono is definitely unique with tons of great houses that require very little service which are a great cash cow for the City.The reason Mr.Jabbour is asking the City Council to reconsider the amount of money they are making the budget to be,none of the pie charts really matter to the people, it matters how much more money is coming out of their pocket.Mr. Jabbour stated his house went from$2 million-something to$3 million-something,in using the same levy Page 7 of 13 MINUTES OF THE ORONO CITY COUNCIL MEETING September 26,2022 6:00 o'clock p.m. number as last year they would receive 35%more money. Obviously the City does not need to change that number and he is asking them to consider the amount of money they are spending as it is input/output.He asked them to try to keep the City's portion of taxes down and to work collectively very hard to see what they can do about the other part of the pie to keep it low,as well. Mayor Walsh noted if someone's house was$500,000 6 years ago and did not go up in value and it is still $500,000 next year,they are not paying anything more.The only difference is the incremental value that it has gone up.He noted people in the City have to be paid,utilities go up,but otherwise the tax rate has not changed. Mayor Walsh stated this City Council committed 6 years ago to keep that tax rate no higher than it was and that is what they have done,all while funding parks,roads,water/sewer,and everything within that. Johnson moved,Crosby seconded,to adopt Resolution#7291,2023 Preliminary Tax Levy.VOTE: Ayes 4,Nays 0. 10. NOTICE OF INTENT TO ESTABLISH A FIRE DEPARTMENT—RESOLUTION NO. 7293 Kim Carswell,261 Cygnet Place,asked to understand the problem this is trying to solve. She hears neighbors talking about the duplication and asked what is the problem and what is the impact if they have two fire departments fairly close to each other? Mayor Walsh noted the"why"is a long discussion which the City has been having for three years. Regarding the notice of intent,the City has committed that they want to have control of their fire department and regardless of whether they are partnered with Long Lake or not,Orono needs to establish their own fire department with the State and must file paperwork to do that. Johnson clarified right now they are just dealing with some of the things they will need to do if they do not have an agreement with Long Lake.He noted they can stop this later on and dissolve it if they come to a resolution with Long Lake. Johnson moved,Crosby seconded,to adopt Resolution#7293,and authorize the Mayor to sign a letter(Exhibit B).VOTE:Ayes 4,Nays 0. 13. PUBLIC WORKS FACILITY(21-039)—AWARD Edwards shared the City has been working on designing a new Public Works Facility and bonded for that facility the previous December. Bids for construction came in above what the City thought prudent to move forward with so they took it back to the design team and asked to divide the scope of the project into different phases.Edwards clarified the project was then rebid and the City received a number of bids, the lowest being Ebert Construction for$16,067,000. Mayor Walsh gave history noting the current 28,000 square foot public works building is surrounded by swamp and as Orono has grown they now need 60,000 feet.The department services other communities and eight years ago the City Council began paying down debt from roads.Then in December they bonded for the Public Works Facility and Fire Department all at the same time for$16,000,000 at 1.9%which would be triple that percentage today. Gabriel Jabbour,985 Tonkawa Road, noted if they do an EIS(Environmental Impact Statement)or EAW (Environmental Assessment Worksheet)one option they must do is to study doing nothing.He does not totally disagree that Orono has grown and noted they were at 7,800 people when he was around and now Page 8 of 13 MINUTES OF THE ORONO CITY COUNCIL MEETING September 26,2022 6:00 o'clock p.m. are at 8,300 people.As a previous gentleman stated they have not added roads and he would like to give a statistic.In the whole City,only 33%of the people utilize water and sewer,37%utilize sewer and private water,and 31%do not utilize either sewer or water.He does not think it is fair for those people to be paying for Public Works to service other cities.The revenue they are receiving from Spring Park is under $200,000 which is really peanut butter and jelly.Mr.Jabbour stated they have 48 miles of local roads,20 miles of private roads that citizens pay to plow on their own,and 30-40 miles of County Roads.At the time they built the current building,Mr.Jabbour made an arrangement to purchase land from the school to add to it,which is perhaps what they referred to as the swamp earlier. He really urges the City to quit spending that kind of money and thinks it is City Hall going a little bit on the wild side in spending. Mayor Walsh noted the Public Works people are not just plowing roads,they do a lot of things in this City,and the City must take care of them, along with many other things. A member of the public asked regarding the wetland on the site of the current Public Works building,is there a reason they cannot do the wetland overlay replacement on what is already owned. Mayor Walsh clarified they did a facility analysis, spent a lot of time with the architects,months with Public Works,noting they did a lot of homework on it.He shared they could not do it over there because there is not enough room. Crosby clarified if they filled in the wetland,there is still not enough room there for the site. Mayor Walsh stated the new site has 28 acres. Edwards noted the City could buy an extreme number of wetland credits to fill in the large wetland over here but the project would have become astronomically expensive because there is not very much dry, buildable land on the second lot to the northeast of the existing facility. Barbara Schmidt is sure someone has checked into the construction company and noted when googling them,up comes the Labors District Council of Minnesota and North Dakota warning of an evident pattern of poor performance by Ebert Construction.It is a two page document listing five projects where they did not meet standard and have been cited. Mayor Walsh noted Ms. Schmidt can send that to Edwards. Crosby moved to award the Public Works Facility construction to Ebert Construction for $16,067,000 and authorize the purchase of the wetland credit at$94,655.88. Johnson asked if they can make a motion to draft the approval so the City can look at the question regarding Ebert Construction. Crosby accepted the friendly amendment to draft the Resolution for approval. Johnson seconded.Ayes 4,Nays 0. FINANCE DIRECTOR REPORT Finance Director Olson had nothing to report. CITY ATTORNEY REPORT Attorney Mattick had nothing to report. Page 9 of 13 MINUTES OF THE ORONO CITY COUNCIL MEETING September 26,2022 6:00 o'clock p.m. CITY ADMINISTRATOR/ENGINEER REPORT Edwards noted the City is proceeding well on the water main replacement project on County Road 19. FIRE DEPARTMENT REPORT 19. Fire Department Negotiation Offer to Long Lake Johnson shared history of the situation noting Orono put Long Lake on notice in April 2021. Mayor Walsh noted a letter was sent to Long Lake three years ago. Johnson explained the 100+year relationship with Long Lake Fire and noted for the last 20 years Orono has been in contract with them.Currently the City pays about 84.93%of the budget,Long Lake makes up roughly 10%of that,and they also have Medina and Minnetonka Beach. During conversations,Long Lake requested Orono to give a cancellation of the fire contract in writing which was provided.They have also provided a written request to end the relationship with Fire Station#1,there is a 50/50 ownership, and the station is in Orono. Mayor Walsh clarified the contract is ending at the end of 2025,it is not being cancelled. Johnson stated as a citizen and 85%payer of the budget, Orono was asking for administrative control and for the Fire Chief to report to Orono as the majority holder.Negotiations began with the City of Long Lake and the number one goal was to keep the fire department together.This is not a hostile takeover of a fire department that Orono is not proud of,nor do they want to change it,this is just the responsible transition.The department has grown and Orono takes a more active role.In the negotiation,the two cities do not have a lot of trust in each other,which goes back to the 1990's.Johnson thinks the best thing for both cities is to have a single ownership,maintain the relationship by providing Long Lake services, and that will be part of the offer. Long Lake does not want the Chief to report directly to Orono and Johnson believes the negotiation team talked that out and he does not have any concerns about the quality of service going to Long Lake regardless of who is in the position of leadership at the department. Equipment has also been part of the discussion and Johnson noted Orono has done a really good job with their budget.He thinks Orono can bring that to the table long-term with budgeting which would be better for all cities involved.He spoke about a JPA requested by Long Lake and the risks associated versus having the Fire Chief report to Orono.Long Lake asked Johnson to find out on record if Councilmember Printup is okay with the idea of it going to a Fire Board. Printup thinks they have made it pretty clear over the past few weeks in the discussions.They have City of Orono Staff and employees and they take care of their employees.The sense of local control,they just spoke about roads and the future,and it was mentioned that the model of fire service will change.There was a good article in one of the municipal magazines about legal duties of Fire Chiefs.This exercise is putting a spotlight(even on a State level)of codifying it;right now cities are not legally required to have a Fire Chief.Printup does not think they are at the point of a JPA or a Fire Board,although that may be 20-30 years down the line.Orono has their employees and if things tilt and Orono has a fire department, even if it is called Long Lake Fire Department, it will be an Orono employee.Printup does not understand with the JPA idea,one of the early conversations had with Long Lake was"whose name was going to be on the building?"In a JPA he does not think it would be Long Lake Fire Department and he believes this Council said it will always be called Long Lake Fire Department. He noted this is the responsibility to Orono residents and Printup thinks,as Finance Director Olson said earlier,the City can provide that Page 10 of 13 MINUTES OF THE ORONO CITY COUNCIL MEETING September 26,2022 6:00 o'clock p.m. stability for the department,and they can grow the robust budgets to look at long-term capital.Printup stated Orono has been a cash cow,whether with the cable commission,LMCD,or other bureaucratic entities,and it is time to reign that in. If people want to jump on board and have Orono provide that service such as with police and public works,that is what he is in favor of The Fire Chief would be an Orono employee reporting to the Orono City Council. Crosby is still in favor of a joint board as an advisory board but not as an employment board. Johnson spoke about the appraisal from Orono($1,700,000).He noted they still have not received a copy Long Lake's appraisal.The written agreement was that each City would get their own appraisal and if there was a dispute they would get a third appraisal.Long Lake told Johnson their City Attorney has advised them not to give a copy of their appraisal.Johnson shared about rolling stock which are the vehicles minus the two vehicles Orono purchased at 100%and he shared about estimated market values on equipment. Johnson shared Long Lake's projected fire cost estimated at$1,430,000 over 10 years which includes operational expense and the contribution to the CIP(Capital Improvement Plan). Long Lake is concerned about giving up their half of fire station#1 and the equipment because they believe one day there will be a JPA or Fire District that comes together and each City must contribute something for that.For a City like Medina,that is a big deal and they will have to build a building.Long Lake is concerned about parting with some of their assets for when/if that day comes.Johnson proposes to overpay Long Lake for their contribution and what is owed in an effort to make this transition,noting the firefighters are the biggest asset,and Orono can give them incentive that pays them more than contractually obligated but perhaps less than Orono's expenses would be if they started all over from scratch.He feels this is a common ground between Orono not starting from scratch and gives Long Lake the cash to always have assets available.Johnson noted if this contract goes away,so does this deal. Printup asked if the contract says$1,400,000 why would Orono want to give Long Lake more than that? Johnson replied ultimately Orono is trying to give Long Lake incentive to cooperate and put this all behind the cities and allow the firefighters in the crosshairs an incentive so there is a long-term plan in place. He noted the appraisal is $850,000 for the building and Johnson proposes to give Long Lake $1,250,000 for that building,the rolling stock remains the same and Orono will pay 100%of what they are owed,there is an unexpended CIP and Johnson suggests that Long Lake retain the roughly$200,000 of capital improvement funds that are supposed to go into the fire department.The total offer amount would be$1,588,440. Mayor Walsh clarified Orono will take care of the deferred maintenance. Johnson replied in the affirmative,noting included with the building purchase of$1,250,000 Orono would take it as-is and would prioritize that maintenance.Johnson proposes a 10-year contract with Long Lake for$70,000/year and that the City of Orono pays Long Lake's next 10 years of CIP contribution which is worth about$700,000.He noted putting it all together is about$730,000 savings for Long Lake.Johnson spoke about the rolling stock and donated items which should also be included, and stated the ultimate offer to Long Lake would be$2,488,000 that occurs on or before June 1,2023.Johnson shared they have done quite a bit of work understanding the Relief funds,retirement,investing,and with this plan that is administered and insured by the City of Orono.There would not be any disruption for the firefighters. Mayor Walsh noted it would be similar to what they do with the police department with a budget and CIP for squad cars,the cities and mayors meet every quarter to go through the budget and everything being Page 11 of 13 MINUTES OF THE ORONO CITY COUNCIL MEETING September 26,2022 6:00 o'clock p.m. purchased so everyone knows years out how they are planning to make sure the police are fully outfitted to take care of citizens. A member of the public asked about Medina and Minnetonka Beach. Crosby clarified they would still be a contract city. Johnson noted the first thing was to work out an arrangement with Long Lake. A member of the public spoke about a fire she witnessed and worries about the setbacks. Mayor Walsh noted Crosby was a firefighter for 10 years and the City wants as much access as possible. He clarified setbacks and turning around is a whole different conversation. Johnson clarified regarding the vesting,the firefighters would be 50%vested at 10 years and 100%at 20 years noting it would stay the same as right now.Johnson shared the City of Long Lake has the first right of refusal for all equipment even if Orono has paid 100%,Long Lake can purchase it for what Orono paid and they only need to notify 90 days prior to the expiration of the contract.Lead time for equipment is upwards of 2 years or more which has put Orono at a disadvantage in preparing because Long Lake holds all the equipment. Currently the equipment is in need of replacement and Johnson has learned that during Covid firefighters were able to serve but other cities have started to see that those people are not available to be volunteers in the fire department anymore so they need duty crews. In going from volunteer to full- time facilities, costs go up,therefore cities start to partner in a broader area to defer the costs of those increases over a wider spectrum.At this point they have a fully staffed and fully functioning fire department and they hope to keep that as long as they can. The Commissioners discussed the pension and vesting,and the role of the legislature in that. Johnson moved,Crosby seconded,to approve the offer to be sent to the City of Long Lake for their consideration.VOTE: Ayes 4,Nays 0. PUBLIC COMMENTS Brad Erickson,2485 Independence Road,had a lovely meeting with Ms. Seals in the laundromat the previous day and they spoke about Mr.Crosby and Mr. Walsh.One thing he found interesting is that Ms. Seals wondered when Mr.Erickson would get around to the allegations flying around about Mr. Crosby out on the Capitol steps in Washington D.C. on January 6,2021. This causes Mr.Erickson to wonder about that day and those events and how Mr. Crosby and Mr.Walsh are connected to all of this. He asked what is going on up there?He smells a rat and pointed,stating"I smell you and I'm wondering about you, why you haven't told me,because we talked about this a month ago,why you haven't come forward and been honest with the public about who you were with and what you were doing out there in the Capitol." Those are the allegations flying around.Mr.Erickson understands what Mr.Walsh is doing trying to assail his character,noting he can't face the music either and asked"Are you going to?Are you going to answer some questions?Mr.Rice tells me you're not going to."Mr. Erickson stated,"Good move,you should have shut up a long time ago."He said this man(pointing)was smart enough to come down and Page12of13 MINUTES OF THE ORONO CITY COUNCIL MEETING September 26,2022 6:00 o'clock p.m. ask Mr.Erickson in the beginning what can we do for you as a City.Mr. Erickson told him"leave me alone." Dave Williams,2055 River Hills Road wants to commend the City Council for the work they are doing. He saw an article in the Star Tribune which he thought was a hit-piece on the City Council and was perhaps sponsored by certain individuals.He wants the Council to know that he is more sure the Council is doing the right thing because the Star Tribune does not like them. If there is an organization dedicated to trying to dismantle good things people are doing,Mr. Williams thinks that is one of them. Regarding January 6, if it had been done by the other side of the political spectrum it would have been viewed as a magnificent showing of their views. MAYOR/COUNCIL REPORT Printup thanked Johnson for his presentation and noted it is homecoming week. Crosby commended the firefighters who are present tonight noting they really appreciate everything they do,how they put their lives on the line for the community and at very little paid on-call pay. Johnson thanked Seals noting they have put a lot of time into trying to understand the contract with Long Lake and he hopes Long Lake sees it that Orono is trying to do right by everyone.He noted political signs are being stolen and taken down. Mayor Walsh thanked the fire department for their service. He shared about Mound homecoming the previous week and the upcoming Orono homecoming. He thanked Johnson for the work on the negotiations and he appreciates all the work they have done. ADJOURNMENT Johnson moved,Crosby seconded,to adjourn the meeting at 8:31 p.m.VOTE: Ayes 4,Nays 0. ATTEST: Anna Carlson,City Clerk Dennis Walsh,Mayor Page 13 of 13