Osakis City Council – Regular Meeting
March 6, 2017
7:00 PM
Present: Randy Anderson, Keith Emerson, Justin Dahlheimer, Jerry Olson
Absent: Jim Snyder
Others Present: Angela Jacobson, Kurt Haakinson, Julie Didier, Chad Gulbranson, Mark Grinstead, Jason Schultz, Chad Mathews, Craig Schultz, Sheila Krohse, Celeste Edenloff, Sharon Fredrickson, Steve Fredrickson, Dave Laven, Sam Larson, Laura Backes, Darrin Quistorff, Greg Gottwald, Jeff Kalpin, Merry Kalpin, Roger Larson, Lil Ortendahl, Adrian Panther, Danny Dillabough
Meeting called to order by Mayor Keith Emerson at 7:00 p.m.
Pledge of Allegiance was spoken.
Motion by Anderson, seconded by Olson, to approve the agenda as presented. All Ayes Absent: Snyder
Motion by Anderson, seconded by Dahlheimer, to approve the general consent items, including the February city bills in the amount of $370,376.50, and the bill from H Boyd Nelson in the amount of $8,650.55, and meeting minutes from February 6, 2017. All Ayes Absent: Snyder
Project #461 & 60: Panther Distillery/Ordinance Change
At the February meeting, the council received a request from Panther Distillery to ask the council to change the ordinance to allow a cocktail room in the distillery.
Recently, the Minnesota law has changed to allow a cocktail room by state statute. The council can choose to be more restrictive than state law and not make this ordinance change or can adopt the language as written in state law.
Council received a draft copy of the ordinance from the city attorney to review. A public hearing is required due to this being a liquor ordinance change. A public hearing has been set for March 6th. Council received a copy of the ad that was put in the Osakis Review.
Motion by Dahlheimer, seconded by Olson, to suspend the regular meeting and open the public hearing at 7:04 p.m. All Ayes Absent: Snyder
Adrian Panther was in attendance.
Panther informed the council that he will be in the tourism group called “The Skull Crawl” along with Carlos Creek Winery and Alex Distillery. This will allow the customers to have an option to have a cocktail or a shot. Panther would like to have a menu to order food from local restaurants. If food is ordered, that restaurant would deliver the food.
Didier asked if the drinks will still be a taste or if the customers can order more than one. Panther stated if would only be a taste.
Dahlheimer read Ordinance change #111.
No comments from the public were made.
Motion by Anderson, seconded by Olson, to close the public hearing and reopen the regular meeting at 7:10 p.m. All Ayes Absent: Snyder
The council reviewed fees for a cocktail room. Similar cities with tap room fees are as follows:
· Walker $300
· Cold Springs $375
· Perham $400
Motion by Olson, seconded by Anderson, to charge $200 for the cocktail room license. All Ayes Absent: Snyder
The council reviewed fees for Micro Distillery Bottles. Similar cities with breweries are as follows:
· Walker $240
· Perham $300
Motion by Olson, seconded by Dahlheimer, to approve no-charges for the Micro Distillery License. All Ayes Absent: Snyder
Motion by Dahlheimer, seconded by Anderson, to approve Ordinance Change #111 for a cocktail room and waive the second reading. All Ayes Absent: Snyder
Project #24: Liquor Store
Julie Didier was in attendance. Council received the Liquor Store Revenue & Expenditures for February 2017. This includes the H Boyd bill that was paid in March.
Didier presented a letter from MMBA. Liquor establishments can be open for Sunday Off-Sale Liquor sales starting July 2nd, 2017.
Didier would like to discuss this at the council workshop meeting.
Project #74: Fire Department
Chad Mathews was in attendance.
Mathews informed the council of the following:
· The Ice Golf fundraiser was a success but could not be held on the ice.
· No calls for the month of February.
· The truck committee has received two bids for the chasse for the new grass rig.
· The meeting with the townships went well. Clerk Jacobson and Mayor Emerson attended the meeting.
Project #73: First Responders
Jason Schultz was in attendance. Council received the February run report.
Schultz informed the council of the following:
· Received a donation of $500 from Leslie Township.
· Two rigs will be brought to Osakis at the next First Responder meeting to look at.
· Currently there are fourteen First Responders but one member is looking at resigning.
Project #76: Police
Chad Gulbranson was in attendance. Council received the February Police Reports which shows the department is up by 100 calls from last year at this time.
Project #205: City Crew
Kurt Haakinson was in attendance. Council received the public works report for February.
Haakinson received a bid of $3,800 for cleaning the exterior of the water tower.
Motion by Anderson, seconded by Dahlheimer, to approve the exterior cleaning of the water tower for the cost of $3,800. All Ayes Absent: Snyder
Project #7: Community Center
At the February meeting, the council gave Haakinson and Clerk Jacobson the ok to work with Snyder to get some of the items at the community center fixed.
Dust Busters have cleaned the furnaces and duct work at the community center and city hall.
Northland Power Washing will be here next week to steam clean the kitchen and bathrooms.
After the steam cleaning is done, Service Master will come to strip and wax the floors.
All the above items are included in the 2017 Budget.
The group is working together to hire someone to clean the community center and making changes to their job duties and to those that rent the community center.
Ortendahl asked about the women’s bathroom and if the tiles can be replaced. Haakinson stated that this will be looked into when the cleaning is done.
Project #33: Hendrick’s Addition
Ron Eldred was in attendance at the February council meeting and asked the city to discuss taking over the road in Hendrick’s Addition.
Haakinson looked into this and found out that the road would have to be rebuilt. No storm sewer was installed when the road was built and is not as wide as a standard city street. The existing width would not be wide enough for the plow truck. Also, the lots were platted to close together.
Haakinson noted:
· $18,000 stipend to take over the road and utilities is not enough.
· The road is in poor condition and if failing. The road was not constructed properly when built.
· Does not want to take over any maintenance.
· Does not want it to open up for others to have maintenance done in other co-ops.
Clerk Jacobson will check if the city ordinance states anything about contracting city services.
Project #88: Wetland
At the February council meeting, Craig Schultz was in attendance asking to make the waste water ponds a refuge.
Haakinson checked with our enforcement officer for the ponds. Haakinson stated that because of the strict limit we need to meet to operate the ponds, we do not want to jeopardize the discharge limit by making the ponds a refuge.
Craig Schultz was in attendance and stated that the stabilization ponds should not be hunted.
Dave Laven was in attendance and voiced his concern about the liability to the city if other people are out there hunting. Laven doesn’t feel the city should be taking on the liability.
Roger Larson was also in attendance and stated that he was on the council 20 years ago. Hunting was discussed but there was no hunting at the ponds when Reggie Redetzke was working.
Darrin Quistorff stated that he was hunting at the ponds when Redetzke was in charge.
Haakinson said that he is very frustrated with how this has been handled. It was brought up as a refuge, but when he talked to Schultz he stated that others want to hunt at the ponds and cannot, so they want to take that privilege away. Haakinson doesn’t feel it is right. Just because they are too ignorant to come and ask to hunt, they now just want to take it away. Haakinson stated it is very frustrating.
Haakinson also stated that he is not happy that the MPCA was contacted about our operation at the ponds. We are not doing anything wrong at the ponds and the MPCA comes to inspect every five years but when people make calls to them, it makes them want to come and see what is going on.
Quistorff stated that it is no different that if someone calls OSHA and asks questions about contractor operations, it makes OSHA concerned.
Haakinson has talked to the MPCA Enforcement Office, cities insurance agency regarding liability and the DNR and no one has any issues about what we are doing at the ponds.
Haakinson stated that he had talked to Laven and Larson and asked for a month before this was discussed again at a council meeting and they said it was ok. Now it was put on the agenda again. Makes it look like you are head hunting someone. Laven stated he is not and only found out five minutes before the meeting that it was on the agenda.
It was brought up that Schultz had asked to be put on the agenda again.
Greg Gottwald was in attendance and stated he does not hunt but doesn’t like how this all happened either. It is a lie from every one you talk to and each has a different story. Gottwald stated he doesn’t know who to believe.
Dahlheimer stated that it seems like common sense that only the licensed city employees can enter the ponds and doesn’t think that we should hold up the meeting.
Schultz stated that it was fine if only the three city employees can go out there.
Haakinson asked that the council does not make a decision on this matter at this meeting.
Emerson stated that the council will give this issue one more month to figure it out.
The council will revisit this issue at the next meeting.
Project #213: Lifeguard/City Beach/Summer Help
Clerk Jacobson will contact the lifeguards from last year and see who will be returning.
Clerk Jacobson asked the council if they would approve a wage increase of $.25 per hour for those returning and head lifeguard would have an increase of $.50 per hour if returning. Starting wage for new lifeguards is $10.00.
Last year, the city hired two full-time lifeguards and one part-time lifeguard. We will need to advertise if we do not have three lifeguards returning.
Haakinson would like to also hire help for the summer. Starting wage for this job would be $10.00 also.
Motion by Anderson, seconded by Dahlheimer, to approve a $.50 per hour raise for returning lifeguards and a $1.00 per hour raise for returning head lifeguard. All Ayes Absent: Snyder
Motion by Anderson, seconded by Dahlheimer, to approve to advertise for summer help. All Ayes Absent: Snyder
Project #460: Downtown Project
Sheila Krohse was in attendance to update the council on the Downtown Project.
Jeff Kalpin was in attendance. Council received a letter from Jeff and Pat Kalpin regarding the process for the claim on their damaged awning.
Clerk Jacobson recommended option five. As a city, we do not want to get in a position where we set a precedence for future claims on projects.
Krohse stated the insurance company for C & L Excavating was going to deny the claim but Brent said to pay half. There was not proof when the awning was damaged. It was reported on September 14th, 2016 during the inspection. The last contractors working on the project were Mark Lee, the electrical contractors and concrete workers on September 8th, 2016.
Krohse said that Moonshine Madness was held on September 10th, 2016, and it could have happened then.
Retainage funds have been taken to guarantee completion of the project. There is enough funds to hold to guarantee these issues will be handled.
Laura Backes was in attendance and stated she just found out before the meeting that their claim for the plaster was denied.
Kalpin wanted to know when he can get a check for his claim and that the city can withhold funds from C & L Excavating.
Clerk Jacobson asked if the council wants to get in a position where we set a presidency of claims on a project that funds can be withheld from the contractor and paid to the property owner. How will the city say no to the next person that requests the same thing? It is up to the council to decide.
Haakinson suggested we hold a meeting and all property owners are invited to come and discuss the project and if they noticed any issues with their property.
Kalpin stated that he has pictures of his property before hand in September.
Council did not make a decision at this meeting.
Project #467: 2017 Project
Krohse informed the council that the bid opening for the 2017 Project will be held on March 8th, 2017 at 10:00 a.m.
Krohse would like the council to set up a special meeting on Marth 13th or 14th to award the bid for the 2017 Project.
Clerk Jacobson and Haakinson will be meeting with the DNR on Friday, March 10th, 2017 to review the bid amount for the boat landing project.
Krohse stated the easements were sent out to the Lake Street properties. Discussion will be held after the bid opening regarding the assessments.
Project #456: Land Purchase (Ortendahl Lot)
In the past months, the council had been discussing the Ortendahl lot and had agreed to purchase the property for $40,000. Ortendahls are unable to find their abstract. The Ortendahls have secured their attorney Tom Sellnow and are requesting purchase agreement changes.