MINUTES
REGULAR COUNCIL MEETING
CITY OF REDWOOD FALLS, MINNESOTA
TUESDAY, JULY 18, 2023
Pursuant to due call and notice thereof, a regular meeting of the Redwood Falls City Council was called to order in the Municipal Chambers on Tuesday, July 18, 2023, at 5:00 p.m.
Roll call indicated Mayor Tom Quackenbush and Council Members Matt Smith, Denise Kerkhoff, Jim Sandgren, and John T. Buckley were present, constituting a quorum. Council Member Larry Arentson was absent.
Also present were City Administrator Keith Muetzel, Finance Director Kari Klages, City Attorney Trenton Dammann, Public Works Project Coordinator Jim Doering, and Deputy City Clerk Caitlin Kodet.
A motion was made by Council Member Kerkhoff and seconded by Council Member Buckley to approve the agenda. Motion passed by unanimous vote.
A motion was made by Council Member Smith and seconded by Council Member Sandgren to approve the June 20, 2023 minutes as presented. Motion passed by unanimous vote.
A motion was made by Council Member Sandgren and seconded by Council Member Buckley to approve the following items on the Consent Agenda.
- Fire Department Appointments
- Fire Department Turnout Gear Purchase
- KLGR Advertising Exchange
- Thriveon 2023 Quarter Three PC Refresh
- Electric Department Pickup Purchase
Motion passed by unanimous vote.
Mayor Quackenbush opened a public hearing at 5:02 p.m. to discuss delinquent utility accounts, maintenance charges, and surcharges.
Finance Director Klages introduced Resolution No. 30 of 2023 – Resolution Adopting Assessments for Delinquent Accounts, Resolution No. 31 of 2023 – Resolution Adopting Assessments for Unpaid Maintenance Costs, and Resolution No. 32 of 2023 – Resolution Adopting Assessments for Unpaid Surcharges.
Ms. Klages stated the proposed Resolutions are to adopt assessments for delinquent utility accounts, maintenance cost charges, and surcharges that are more than 30 days past due. Similar resolutions are brought to the City Council on a quarterly basis in order to improve the time between the delinquent billing and the ability to disclose the information to new property owners. The delinquent account resolutions will be presented each year at the first meeting in January, April, July, and October.
Ms. Klages further explained the delinquent process. Delinquent letters are first mailed to the utility account holders. Delinquent letters are then mailed to the property owners if not collected from the account holders. Electricity consumed by a tenant is not assessable to the property. Any unpaid balance is then brought to Council to be approved by resolution. Any pending assessments passed by resolution and still outstanding as of November 1st will be charged a $50.00 fee and are then transferred to Redwood County to be assessed on the tax rolls.
No one was present to voice any concerns.
Mayor Quackenbush closed the public hearing at 5:06 p.m.
A motion was made by Council Member Buckley and seconded by Council Member Kerkhoff to waive the reading of Resolution No. 30 of 2023 – Resolution Adopting Assessments for Delinquent Accounts. Motion passed by unanimous vote.
A motion was made by Council Member Smith and seconded by Council Member Sandgren to approve Resolution No. 30 of 2023 – Resolution Adopting Assessments for Delinquent Accounts. Motion passed by unanimous vote.
A motion was made by Council Member Buckley and seconded by Council Member Smith to waive the reading of Resolution No. 31 of 2023 – Resolution Adopting Assessments for Unpaid Maintenance Costs. Motion passed by unanimous vote.
A motion was made by Council Member Kerkhoff and seconded by Council Member Buckley to approve Resolution No. 31 of 2023 – Resolution Adopting Assessments for Unpaid Maintenance Costs. Motion passed by unanimous vote.
A motion was made by Council Member Smith and seconded by Council Member Kerkhoff to waive the reading of Resolution No. 32 of 2023 – Resolution Adopting Assessments for Unpaid Surcharges. Motion passed by unanimous vote.
A motion was made by Council Member Buckley and seconded by Council Member Kerkhoff to approve Resolution No. 32 of 2023 – Resolution Adopting Assessments for Unpaid Surcharges. Motion passed by unanimous vote.
City Administrator Muetzel introduced Agenda Item 8A. Golf Course – Motion to Further Explore Purchase.
Mayor Quackenbush declared a conflict of interest due to his spouse’s employment at the Redwood Falls Golf Club. Mayor Quackenbush left the Council Chambers and did not participate in the discussion.
Council President Sandgren presided over Agenda Item 8A.
Mr. Muetzel stated members of the Golf Course Board were present at the City Council Work Session on May 30, 2023, to discuss the possibility of the City purchasing and maintaining the Golf Course. Following the meeting, Staff researched other municipal golf courses and reported that the few courses they researched were operating with a loss annually to the cities that maintained the courses. At the City Council meeting on June 6, 2023, Council agreed to make a decision as to whether or not the City should pursue additional information regarding the purchase.
Council Members Buckley, Kerkhoff, Smith, and Sandgren agreed the Golf Course has value to the community, but it is not a business the City taxpayers should take on.
Council President Sandgren requested a motion to approve the request to further explore the Golf Course purchase.
No motion to approve the request was received, Agenda Item 8A. Golf Course – Motion to Further Explore Purchase failed due to lack of motion.
Marty Seifert with the Coalition of Greater Minnesota Cities was present to give an update on the 2023 legislative session.
Police Chief Jason Cotner, Investigator Randy Braun, and Assistant Chief Steve Schroeder were present to introduce the Police Department Policy Updates.
Chief Cotner stated the Police Department is requesting Council review and approval of four department policies, including two revised policies and two new policies.
Chief Cotner stated the first revision is to Policy #7: Vehicle Pursuit and Emergency Vehicle Operations. Every five years all Minnesota peace officers are required to attend Emergency Vehicle Operations Course (EVOC). Once this course is completed, peace officers are eligible to attend Pursuit Intervention Technique (PIT). PIT teaches officers how to use a squad car to make contact and disable a pursuing vehicle at relatively low speeds in order to prevent further pursuit. RFPD officers have expressed interest in PIT training, but Policy #7 does not currently address this training or technique or the use of Stop Sticks. The proposed revision to Policy #7 covers PIT techniques and the deployment of Stop Sticks. The bulk of this revised verbiage was taken from the Minnesota State Patrol policy. It provides guidance on the appropriate times and conditions for the use of both PIT and Stop Sticks as well as the types of vehicles to use these tactics.
Chief Cotner stated the second revision is to Policy #37: Body Worn Cameras. Redwood Falls Police Officers assigned to assist the Brown/Lyon/Redwood/Renville Drug Task Force (BLRR/DTF), or Emergency Response Unit (BLRR/ERU) wear department-issued Body Worn Cameras (BWC) while working in support of those units’ operations. The operations of these units are very different than patrol operations and require different policies regarding the activation and use of BWC. RFPD Policy #37 currently makes no distinction for RFPD officers when using the BWC for patrol operations, drug task force operations, or emergency response unit operations. Without this distinction, the officers are required to follow policies that conflict with the operational needs of BLRR/DTF and BLRR/ERU.
Chief Cotner further stated the proposed revised language directs officers assigned to and actively participating in BLRR/DTF or BLRR/ERU operations to utilize their BWC under the policies of those respective units. However, once that data is obtained it will be retained and disseminated in accordance with MN Data Practices laws and RFPD policy. It is also important to note the revised language proposed for Policy #37 is similar to language that is or will be, implemented by the other law enforcement agencies that have members working with BLRR/DTF or BLRR/ERU.
Investigator Braun introduced draft Policy #42: Mental Health Crisis Data. In 2022 the League of Minnesota Cities (LMC) developed a draft policy to address law enforcement gathering, use, storage, and destruction of mental health data which is obtained during a response to a person in a mental health crisis. Currently, RFPD has no policy to specifically address this type of data. Due to the sensitive nature of mental health data, and at the recommendation of LMC, draft Policy #42 was created. The draft closely mirrors the recommended language put forth in the LMC draft policy. Mental Health Crisis Data could come from numerous sources such as mental health treatment facilities, mental health care providers, or case managers to name a few. Once obtained by law enforcement draft Policy #42 lays out specific rules for the use, storage, and destruction of that data.
Assistant Chief Schroeder introduced draft Policy #43: Emergency Vehicle Operations. In spring, 2023, the League of Minnesota Cities Insurance Trust (LMCIT) developed a model policy that was distributed to member law enforcement agencies to address Emergency Vehicle Operations. The purpose of the draft model policy was to minimize operational liability and fulfill the statutory obligation that law enforcement agencies make reasonable efforts to guide officers in the safe and responsible performance of their emergency vehicle response duties.
Assistant Chief Schroder stated this policy differs from the POST mandated Vehicle Pursuit and Emergency Vehicle Operations (RFPD Policy #7; Vehicle Pursuit and Emergency Vehicle Operations) in that it applies to broader use of squad cars and not in the narrow use of vehicle pursuit. In addition, it defines what constitutes an emergency, when a squad may be used for emergency response, when emergency response should be discontinued, and, among other details when a squad is actually in emergency response mode.
A motion was made by Council Member Smith and seconded by Council Member Kerkhoff to approve the Police Department Policy Updates as presented. Motion passed by unanimous vote.
Public Works Project Coordinator Jim Doering introduced Resolution No. 33 of 2023 – Authorization to Execute Award of Contract for the 2023 4th Street Improvements (MSAS 119) SP 207-119-001.
Mr. Doering stated in response to the Advertisement for Bids, the City received six (6) bids for construction of the 2023 4th Street Improvements (MSAS 119) SP 207-119-001. The bids were opened and publicly read at 10:00 a.m. on June 16, 2023, at City Hall. The results of the bids are tabulated and provided for Council consideration. The bids ranged between $3,194,251.65 and $4,270,626.22. The low responsible bidder was M.R. Paving and Excavating, Inc. of New Ulm, MN. The low bid was 16% below the engineer’s estimate of $3,793,261.75 and the second low bidder was 9% above the low bidder.
Mr. Doering stated in accordance with Minnesota Statute §16C.285, M.R. Paving and Excavating, Inc. furnished the executed Responsible Contractor Verification and Certification of Compliance form. Additionally, the MnDOT Office of Civil Rights has approved M.R. Paving and Excavating, Inc. Disadvantaged Business Enterprise Commitment and has authorized award of this project to them. Staff recommends awarding the contract to M.R. Paving and Excavating, Inc. in the amount of $3,194,251.65. It is unlikely that re-bidding the project would result in more bids or more competitive bids.
A motion was made by Council Member Sandgren and seconded by Council Member Buckley to waive the reading of Resolution No. 33 of 2023 – Authorization to Execute Award of Contract for the 2023 4th Street Improvements (MSAS 119) SP 207-119-001 in the amount of $3,194,251.65. Motion passed by unanimous vote.
A motion was made by Council Member Kerkhoff and seconded by Council Member Smith to approve Resolution No. 33 of 2023 – Authorization to Execute Award of Contract for the 2023 4th Street Improvements (MSAS 119) SP 207-119-001 in the amount of $3,194,251.65. Motion passed by unanimous vote.
Public Works Project Coordinator Jim Doering introduced Resolution No. 34 of 2023 – Resolution of Support for the State of Minnesota Capital Budget Request for the Redwood Falls Public Library Expansion and the Redwood Falls Municipal Airport Rehabilitation Project.
Mr. Doering stated Resolution No. 34 is a resolution of support for the State of Minnesota Capital Budget request for $1,000,000.00 in 2024 general obligation bonds for Library construction funding. In addition, a separate request for $3,386,000.00 in 2024 general obligation bonds for the Redwood Falls Municipal Airport runways, lighting replacement, and stormwater project is also being made.
Mr. Doering stated Staff recommends approval of Resolution No. 34 in support of both submissions for library and airport rehabilitation funding. When two applications are made in the same bonding year, Statute requires that they are ranked. Staff has worked with Senator Dahms’ office and decided the library should be ranked first since this is its first submission and the airport project ranked second since it has been before the committee in prior bonding years. The first submission is for $1,000,000.00 in 2024 general obligation bonds for Library construction funding to be used in conjunction with private contributions and State Library Construction funding. The second submission is for $3,386,000.00 to be used in conjunction with $3,890,000.00 in federal airport improvement plan (AIP) funding to complete the entire scope of the project of $7,276,000.00.
A motion was made by Council Member Buckley and seconded by Council Member Sandgren to waive the reading of Resolution No. 34 of 2023 – Resolution of Support for the State of Minnesota Capital Budget Request for the Redwood Falls Public Library Expansion and the Redwood Falls Municipal Airport Rehabilitation Project. Motion passed by unanimous vote.
A motion was made by Council Member Kerkhoff and seconded by Council Member Smith to approve Resolution No. 34 of 2023 – Resolution of Support for the State of Minnesota Capital Budget Request for the Redwood Falls Public Library Expansion and the Redwood Falls Municipal Airport Rehabilitation Project. Motion passed by unanimous vote.
Public Works Project Coordinator Jim Doering introduced Resolution No. 35 of 2023 – Authorization to Execute Minnesota Department of Transportation Airport Maintenance and Operation Grant Contract.
Mr. Doering stated this 2-year contract is for the MNDOT Maintenance and Operation funding for the Redwood Falls Municipal Airport. The contract is for $39,634.50 per fiscal year totaling $79,269.00. All eligible costs will be reimbursed on a quarterly basis as described under §5.2 Payment.
A motion was made by Council Member Smith and seconded by Council Member Kerkhoff to waive the reading of Resolution No. 35 of 2023 – Authorization to Execute Minnesota Department of Transportation Airport Maintenance and Operation Grant Contract. Motion passed by unanimous vote.
A motion was made by Council Member Sandgren and seconded by Council Member Buckley to approve Resolution No. 35 of 2023 – Authorization to Execute Minnesota Department of Transportation Airport Maintenance and Operation Grant Contract. Motion passed by unanimous vote.
Shannon Sweeney with David Drown and Associates was present to introduce Resolution No. 36 of 2023 – Providing for the Competitive Negotiated Sale of $1,430,000 General Obligation Utility Revenue Bonds, Series 2023A.
Mr. Sweeney stated Resolution No. 36 initiates the competitive sale process of bonds to finance utility improvements associated with the 4th Street Reconstruction Project. Project bids have been received and authorized for approval at this time by participating agencies. Based on the bids received, project costs will be allocated to the following sources: Federal STIP Funding at $1,693,670.50, Municipal State Aid Funding at $855,553.12, and City of Redwood Falls at $1,370,028.03. The total cost to the City of Redwood Falls including project financing costs, and the proposed project financing includes the following:
Utility Reconstruction $1,370,028.03
Underwriter’s Discount $20,020.00
Finance & Legal $32,000.00
Rating Agency $13,500.00
TOTAL PROJECT COST: $1,435,548.03
Mr. Sweeney stated the funding sources to be utilized to finance the costs include 2023A General Obligation Bonds of $1,430,000.00 and Construction Fund Earnings of $5,548.03. Annual payments on the utility revenue bonds will average approximately $105,000 per year with the water fund contributing 44% of the payment, the sanitary sewer fund contributing 38% of that payment, and the storm sewer fund contributing 18% of that payment. The repayment term on the bond issue has been structured over a 20-year term.
Mr. Sweeney stated alternative sources of funding were considered. The Minnesota Public Facilities Authority and USDA-Rural Development are governmental sources of loan and grant funds for projects like this. Presently the issuance of bonds is a competitive alternative due to the relatively small project size, lack of grant eligibility, and the additional project expenses that would be incurred using those programs. If capacity remains available in the program, we do intend to use the State’s credit enhancement program which provides a limited debt service guarantee by the State of Minnesota. That guaranty produces a slightly better (lower) interest rate when used for utility projects.
Mr. Sweeney further stated if Council chooses to finance the utility reconstruction costs as proposed, David Drown Associates, Inc. recommends the following terms: 20-year term on utility project financing; Bonds callable any time after 2/1/2031; Sale of bonds utilizing a competitive sales process; Using the State’s credit enhancement program if available; and purchasing a Standard & Poor’s Rating. If approved, the proposed schedule for the competitive sale of bonds would begin today, July 18, 2023, with the authorization of the sale process, followed by awarding the sale of bond issue on August 15, 2023, and closing on September 1, 2023.
A motion was made by Council Member Buckley and seconded by Council Member Smith to waive the reading of Resolution No. 36 of 2023 – Providing for the Competitive Negotiated Sale of $1,430,000 General Obligation Utility Revenue Bonds, Series 2023A. Motion passed by unanimous vote.
A motion was made by Council Member Sandgren and seconded by Council Member Kerkhoff to approve Resolution No. 36 of 2023 – Providing for the Competitive Negotiated Sale of $1,430,000 General Obligation Utility Revenue Bonds, Series 2023A. Motion passed by unanimous vote.
City Administrator Muetzel introduced the Certificate of County Board’s Classification of Tax-Forfeited Land.
Mr. Muetzel stated there are four parcels in Redwood Falls that are eligible for Forfeited Tax Sale due to delinquent taxes. For the County to proceed with the sale, the City of Redwood Falls needs to approve the Certificate of County Board’s Classification of Tax-Forfeited Land. The parcels consist of two abandoned single-family homes and two vacant lots.
A motion was made by Council Member Sandgren and seconded by Council Member Smith to approve the Certificate of County Board’s Classification of Tax-Forfeited Land. Motion passed by unanimous vote.
City Administrator Muetzel stated Staff received two marketing proposals from Commercial Realtors to represent the Reflections Ridge Business Park Development. The marketing proposals will be presented to the Port Authority.
Public Works Project Coordinator Doering gave an update on Lake Redwood. The lake was stocked with approximately 35,000 walleye fry in late May. Prior to the walleye fry stocking, the Minnesota Department of Natural Resources, Fish & Wildlife, conducted a fish survey in the lake. The survey yielded a high fish population with an average of five walleyes and ten channel catfish per test net. Most walleyes caught were greater than 19 inches. The fishing pier is still waiting for the floats to be completed before the pier can be fully assembled and placed. If the pier is completed this year, it most likely won’t be placed until next spring due to the late timing.
Bills and Claims were presented to the Council for informational purposes. No questions, comments or concerns were raised.
There being no further business, a motion was made by Council Member Sandgren and seconded by Council Member Smith to adjourn the meeting at 6:15 p.m. Motion passed by unanimous vote.