HomeMy WebLinkAbout07-27-2015 Council Work Session MinutesMINUTES OF THE
ORONO CITY COUNCIL WORK SESSION
July 27, 2015
5:00 o'clock p.m.
PRESENT: Mayor Lili Tod McMillan, Council Members Jim Cornick, Jr, Aaron Printup,
Lizz Levang, and Denny Walsh. Representing Staff were Finance Director Ron Olson,
Public Works Director/ Engineer Adam Edwards, Community Development Director
Jeremy Barnhart, and City Clerk Diane Tiegs.
1 _ Compensation Study Draft Report
Victoria Holthaus, AEM Financial Solutions LLC presented a second version of the
Orono Draft Compensation Study. The City's last compensation study was done in
2007. Since that time job responsibilities and positions have changed. The
Council requested at the June 22nd Council Work Session to amend the study using
communities with smaller populations of 5,000-10,000 residents. The revised
study used fifteen communities with the new parameters which indicate the
average minimum salary for Orono employees is $5,800 below the market, $4,442
below the median, and $3,014 below the maximum. A new step and grade plan
was developed from the results of the market analysis. The new step and grade
plan has 8 step grade increases and the overall growth of the scale between steps
was trimmed to 3% and between grades to 6%.
Council Member Walsh would like to see private sector comparable. Ms. Holthaus
recommended Walsh review the Robert Half Accounting website, the LMNC, and
Association of Professional Engineers.
Council discussed the outcome of the study. Council Member Cornick questioned
how this information will be relayed to the employees. All employees are aware
of the study and were required to complete job description surveys. AEM
Financial will discuss this with the City Administrator to determine next steps and
wait to hear from the Council.
City Council Work Session, July 27, 2015 Page 1
2. Budget
Ron Olson, Finance Director reviewed the 2016 Preliminary Budget, Operating
Fund needs and answered Council questions.
Tax Levy/Street Maintenance Funding_
• If the tax levy is not increased the $45,000 to reinvigorate the pavement
would have to be added to the budget because it is not a line item in the
2016 Budget.
• Council previously discussed a special levy which would be specified for
road maintenance.
Health Benefits:
• The proposed health benefit increase is $90.00 which is similar to union
employees' benefits.
• Effective in 2016 the City wit[ no longer be a large employer under the
Affordable Care Act. Olson will attend a meeting at LOGIS for discussion
on how to move forward when the changes take effect.
Revenues:
• Golf course revenues are up.
• Permit revenues are increasing due to the increased building activity.
• Public Safety service charges are increasing as a result of an increase in
contracted services.
Wages:
• Council Member Levang asked for clarification on page 2, third paragraph
regarding the 1 percent lump sum temporary raise in 2015. Olson
explained the Council approved a 1.5% pay increase and a one-time
temporary lump sum increase of1% which totaled to a 2.5% raise in 2015. If
the 1% lump sum is removed the employees' salaries will decrease by 1%.
This is not well received by employees especially since the same was done
year-end in 2014.
City Council Work Session, July 27, 2015 Page 2
• The Hennepin County Assessing Contract expires at year-end of 2016.
Hennepin County's formula is based on the cost of homes. Council does
not like the formula and would like to see an adjustment.
Police Chief Health Insurance:
• The Police Chief Farniok request 100% paid benefits for his contract.
Council reviewed and denied the request.
Other Discussion:
Council Member Cornick inquired about the increase in legal expenses. Finance
Director Olson responded part of the increase is due to our meetings going longer
and a legal fee wage increase.
Olson introduced discussion regarding an email tracking software program which
stores and can recognize key words or phrases to search for information. Olson
will bring information to Council at a future work session. Enterprise fund
budgets will be discussed at the August work session.
The amount budgeted for transfers was identified as $240,000 to the
Improvement Equipment Outlay Fund for the purchase of major equipment with
the remaining $125,00 going to the debt service fund for the Police garage bonds.
3. US Internet Request
Resident James Diebel has request an alternative for high speed internet service
in the City of Orono. Finance Director Olson will draft a response to the resident
and Mayor McMillian will review the letter before it is sent.
4. Goals Documentation
City Administrator Jessica Loftus provided a summary of the goals discussion for
2016 for Council review. Council reviewed and agree with the summary.
5. Verbal Update from Park Commission Chair Rick Meyers
City Council Work Session, July 27, 2015 Page 3
Park Commission Chair Meyers, updated the Council on the Parks Commission
activities. The Commission was reinstituted on February 24, 2014. Meyers stated
after ten years of neglect that the parks are in need of maintenance. Public
Works trimmed many trees over this past winter which saved dollars in the tree
trimming allowance.
The 2015 Park Commission goals were to choose an active park, passive park, and
beach. The park improvements for this year were Livingston Tower Park (active),
French Creek Park (passive), and Summit and Lydiard Beaches. The goals have
been accomplished.
The Park Commission is considering for 2016 to make improvements at Saga Hill
Park (passive), Crystal Bay Park (active), and Sandy Beach. Tree trimming will
continue in 2016.
The Park Commission would like environmental assessments of the passive parks,
to determine if they are they healthy, if there is the right mix of trees, wildlife,
etc. A possibility would be to hire a graduate student to review the areas.
Orono Parks need to have higher standards fitting the residents of Orono.
Navarre Park is a good example because of the good atmosphere that has been
created.
The Park Commission has discussed the concept of a dog park for a future
project.
There is a maintenance issue regarding signs such as, maps, park amenities, and
historical information. The Park Commission is reviewing the signs and will
contact a company to review the signage needs.
Livingston Park is in the most densely populated area and the park was picked for
maintenance but could be made to be more inviting. Meyers presented a cad
City Council Work Session, July 27, 2015 Page 4
demonstration on the possible improvements for Livingston which would be CIP
funded. Park Commission will review the plans at their meeting in August.
The trail on Brown road needs repair. The City has easements for trails but it is
not clear to the Park Commission what is Three Rivers Park District and which is
the City's responsibility. Meyers would like more information regarding the
easements.
Council thanked Meyers for the Park Commission update.
Meeting adjourned at 6:53 p.m.
ATTEST:
Tiegs, City Cler Lili Tod McMillan, Mayor
City Council Work Session, July 27, 2015 Page S