SEPTEMBER 7, 2011

REGULAR MEETING

The first regularly scheduled monthly meeting of the Atwater City Council was called to order on Wednesday, September 7, 2011 at 7:00pm in the Council Chambers by Mayor Mark Olson. Council members present were Shane Hagstrom, Gary Tagtow, Patrick Worthamand Scott Bjornson. Visitors at the meeting were Jared Voge of Bolton & Menk, Bill Fahey of Northland Securities, Mike Peterson of Peterson Bus, and Ivan Wersal. Representing the city departments were Chief Reed Schmidt, Officers Ross Johnsons and Trevor Berger and Steve Bomstad from Maintenance.

The minutes of regular meeting of August 17, 2011 were motioned for approval by Bjornsonand second by Wortham. Motion carried unanimously.

MIKE PETERSON – PETERSON BUS SERVICE

Peterson appeared before the council regarding concerns about bus traffic on Washington. Per a survey from the Chief of Police only one bus used Washington Street. In winter some other buses may use Washington due to the narrowing streets from snow piling up on both sides. Bomstad was not worried about the traffic because of the good 4 inches of tar. Council decided to leave the route alone and let the bus company watch for the safety of the kids.

Bill fahey from Northland Securities

Fahey had excellent news that Standard and Poors has assigned an “A+” rating to the City of Atwater. With that rating we got excellent interest rate of 1.707% net interest costs. A 2% for each maturity was requested by buyers. The buyers paid a premium of $27,241 to get that interest rate. With the premium paid by the buyers it decreased the amount of bonds to be sold from $1,000,000 to $970,000. This will decrease the amount to be paid for debt service of $105,484.71. A motion was made by Bjornson and second by Worth to pass Resolution 2011-19 to Award the sale of $970,000 GO Improvement Refunding Bond, Series 2011A. Motion passed unanimously. Fahey was pleased to inform the council that since the principle of the bond was lower, the fees were also lowered. He thanked the council for using Northland Securities.

JARED VOGE – BOLTON & MENK

Voge update the council on the progress of the 2011 street project. By next Friday, September 16th, they should be installing curb and gutter on Atlantic Avenue. Motion was made by Bjornson and second by Hagstrom to approve the pay request #2 for $179,339.57 to LaTour Construction, Incorporated of Maple Lake. Vote went as follows: Yea; Hagstrom, Wortham, Bjornson, and Ney; Tagtow. Motion carried. Voge had also submitted the final payment to Duininck Brothers for the 2010 Street Project for $3387.32. This is the amount we retained (5%) for the year warranty. Motion made by Bjornson and second by Hagstrom to pay Duininck Brothers the $3387.32. Motion carried unanimously. PFA sent $126,823.76 in August to help pay for pay request #1.

POLICE DEPARTMENT REPORT

Chief Schmidt reviewed the August Service Report with no questions from the council. He requested that his department budget be revised. He would like to move $1000 to operating supplies, and $1500 to Repairs and maintenance and $500 to other. The funds would be coming from the insurance code where Officer Johnson was still on the city insurance when the budget was done. Council approved the changes.

Schmidt informed the council that Kandiyohi County Emergency Services called and realized they had not billed the city for the radios on the 800 MHz system. Schmidt informed them that the money was last year’s budget. An agreement was arranged, with council approval, that the radios would be considered the property of KandiyohiCounty and if the radio is broken beyond repair – the city would then purchase a replacement radio and it would be property of the city and its responsibility to repair. Council approved the verbal agreement. Schmidt informed the council that the computer in the police department is in dire need of being replaced.

FIRE DEPARTMENT REPORT

The department is still looking into replacing #4150 and possibility #4171 with a duel truck next fiscal year. It is still in discussion on replacing one or two trucks. Wortham explained that the department is in need of 4 pagers to be purchased. Two units are being repaired and two are in rotation for back ups. A motion was made by Bjornson and second by Hagstrom to purchase 4 new pagers not to exceed $2080. Vote went as follows: Yea; Wortham, Bjornson and Hagstrom, Nay; Tagtow.

Council then discussed the 2009 contribution of $16,394 and the 2010 contribution of $16,243 needed and required by state law to get the Fire Relief Association fully solvent. Bjornson suggested a hiring freeze. Council decided to meet with the Fire Relief Association prior to the regularly scheduled meeting on September 21st at 6 p.m.

MAINTENACE DEPARTMENT REPORT

Bomstad told the council he is still compiling prices on the water tower repairs and paint. Asphalt is at $225 per ton and he had hoped to repair the tar in various spots where water repairs have been made. He will need approximately 33 tons (or $7500). The sirens all worked today during the 1 p.m. drill. Hagstrom requested the golf course road get graded. The crack sealers will be here tomorrow to do their job.

CLERKS REPORT

Smith requested now that the bus program is finished the wages and FICA be switched back to clerks office for Laurie Torkelson. Motion was made by Hagstrom and second by Wortham to move wages and FICA totaling $2436, to the clerks department from the senior transportation department. Motion carried unanimously. Available for council review was the August cash flow.

PAY APPLICATION # 9 – GOPHER STATE CONTRACTORS

Motion was made by Hagstrom and second by Wortham to pay application #9 for $11,032.30 to Gopher State Contractors for work performed at new City Offices. Motion carried unanimously.

2012 PRELIMINARY BUDGET

Clerk Smith informed the council that the only two changes that she had was line item 3340 on the Revenues needs to increase to $7400 and the amount levied by the county from $116,000 down to $106,000. This will give us a 4.02% increase for the 2012 levy. Motion was made by Wortham and second by Hagstrom to pass Resolution 2011-20 establishing the preliminary budget at $382,766. Motion carried unanimously. Mayor Olson appointed Bjornson and Tagtow to a wage committee. They will notify the employees when they would like to meet with them to discuss 2012 wages.

RENEWAL RATES FOR HEALTH INSURANCE

Southwest Service Cooperative has released the 2012 health insurance rates. The rates for single will be going up to $709 from $585.50, and family rate will go up to $1178.50 from current rate of $973.

FLUCK REQUESTS FOR GOING BACK TO MEETS AND BOUNDS

A motion was made Bjornson and second by Hagstrom approving moving of the lot lines on Sunrise Lane to be able to put another house on lots 5 & 6. Motion carried unanimously.

BURN DAYS AND HYDRANT FLUSHING

Council designated that all the Saturdays in October will be burn days within the City. They are all scheduled the hydrant flushing for the week of MEA.

OFF PREMISES LIQUOR PERMIT

A motion was made by Hagstrom and second by Wortham to approve an off premises liquor permit for the IDK at ArtMeyerson building. Motion carried unanimously.

APPROVAL OF BILLS

The following verified accounts were presented for payment, upon approval of the Finance Committee; it was moved byHagstromand second byWortham. Motion carried, authorizing the Clerk/Treasurer to make such disbursements: September 13, 2011(Checks no. #23313– 23348 and #23356-23357 for $ 229,014.33). Motion carried unanimously.

TAGTOW CONCERNED ABOUT DUMPING OF CONCRETE

Gary Tagtow was concerned that a resident on the north side of Atwater is demolishing something and placing the demo concrete in the right of way utility easement.

A motion was made to adjourn by Wortham and seconded by Bjornson at9:05 pm. Motion carried unanimously.

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Goldie Smith

City Clerk/Treasurer

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