Wright County Board Minutes

BOARD OF WRIGHT COUNTY COMMISSIONERS
FEBRUARY 20, 2018
DATE APPROVED: FEBRUARY 27, 2018
The Wright County Board met in regular session at 9:00 A.M. with Husom, Vetsch, Potter, Daleiden and Borrell present.
COUNTY BOARD MINUTES 2-13-18
The following corrections were made to the minutes:
- Page 1, 3rd paragraph, item 1, should read, “Timed Item, “Commissioner Charlie Borrell RE: Sewage Lake In Maple Lake Township” (Borrell)
- Page 3, 4th paragraph, topic should read, “Commissioner Charlie Borrell RE: Sewage Lake in Maple Lake Township (Borrell)
Borrell moved to approve the 2-20-18 County Board Minutes as corrected. The motion was seconded by Vetsch and carried 5-0.
REVIEW & APPROVAL OF THE AGENDA
Potter moved to approve the Agenda. The motion was seconded by Husom and carried 5-0.
CONSENT AGENDA
Husom asked that Item D1, “Change Passport Application Fee On Fee Schedule From $25.00 To $30.00 Per U.S. Department Of State, Effective April 2, 2-018”be removed for discussion. Borrell moved to approve the remainder of the Consent Agenda, seconded by Husom. The motion carried 5-0. (See Board action taken at the end of the meeting to amend Item F1 of the Consent Agenda).
A. ADMINISTRATION
1. Approve Charitable Gambling Application, LG220, Ancient Free & Accepted Masons Of MN, Rockford Township Hall, 3039 Dague Ave SE, Buffalo MN 55313, 4-07-18 (Rockford Twp.)
B. ADMINISTRATION
1. Refer Motor Pool 2017 Recap & Consideration Of Replacing Vehicles To March 14, 2018 Ways & Means Committee
C. AUDITOR/TREASURER
1. Acknowledge Warrants Issued Between February 7, 2018 And February 12, 2018
E. INFORMATION TECHNOLOGY
1. Refer to the Technology Committee:
A. Office 365 Update
B. Project Portfolio
F. INFORMATION TECHNOLOGY
1. Authorize Signatures On Contract Renewal For Microsoft EA Agreement - 03/10/18 through 02/28/19, $205,990.60 (Note this item was amended at the end of the Board Meeting-see last page of minutes)
G. SHERIFF’S OFFICE
1. Refer To Personnel Committee Request To Increase Office Tech II FTE Positions By 1
H. SHERIFF’S OFFICE
1. Refer To Personnel Committee The Special Deputy Park Ranger Job Description
I. SHERIFF’S OFFICE
1. Position Replacement:
A. Technical Application Specialist
J. SHERIFF’S OFFICE
1. Approve Appointments:
A. Appoint Haley Dubois As Representative On The Regional Logger Committee And Next Generation 911 Committee, And As An Alternate Representative To The Regional Advisory Committee, Owners And Operators Committee, And Users Committee Effective February 20, 2018 With No Expiration Term
B. Appoint Seth Hansen As Delegate To The Regional Advisory Committee, Owners And Operators Committee, And Users Committee Effective February 20, 2018 With No Expiration Term C. Appoint Richard Nevala As An Alternate Representative To The Regional Logger Committee, Next Generation 911 Committee, And The Users Committee Effective February 20th 2018 With No Expiration
The Board discussed Consent Item D1, AUDITOR/TREASURER, “Change Passport Application Fee On Fee Schedule From $25.00 To $30.00 Per U.S. Department Of State, Effective April 2, 2018.” Husom stated the backup documentation indicates the increase is to $35.00. Potter made a motion to approve amending Item D1 to reflect “$25 to $35.” The motion was seconded by Husom and carried 5-0. Hiivala confirmed that is the correct amount.
TIMED AGENDA ITEMS
BOB HIIVALA, AUDITOR/TREASURER
Approve January Revenue/Expenditure Budget Reports (Cash And Modified Accrual Basis)
At the request of Hiivala, Vetsch moved to table this topic to the 2-27-18 County Board Meeting. The motion was seconded by Husom and carried 5-0.
SHAWNA ATHMAN, BUSINESS MANAGER-SHERIFF’S OFFICE
Donation Recognition And Acceptance From Central Minnesota Emergency Services Region
Athman recognized the donation received from Central MN EMS Region of 150 doses of Naloxone (Narcan). Marion Larson, Regional EMS Coordinator for Central MN EMS, was presented a plaque in recognition of the donation. As part of the implementation of the Opioid Overdose Prevention Program, deputies will be trained in the detention of opioid related overdoses and the administration of Narcan.
MARC MATTICE, PARKS & RECREATION DIRECTOR
Authorize Proceeding With Acceptance Of Bids, Contract Development, & Authorization Of Signatures For Construction Contracts Related To 2018 Collinwood Park Improvements
A. Gertken Brothers Inc. Grading, Site Work, Electrical, Sanitary, $354,853, Plus Authorization Of A 10% Contingency
Mattice said there are fifteen bids ranging from $354,853 to approximately $600,000. Approval would include the 10% contingency and authorizing signatures by Mattice and Lee Kelly, County Coordinator, on the documents.
Vetsch moved to accept the bid from Gertken Brothers Inc. in the amount of $354,853 plus authorizing the 10% contingency. The motion was seconded by Borrell. In response to Potter, Mattice said the engineer’s estimate was $615,000. The motion carried 5-0.
B. Huffcutt Concrete Inc. Comfort Station Construction $235,570, Plus A 10% Contingency
The project includes restroom/shower facilities to service the existing ten sites and additional sites in Collinwood Park.
The Parks Commission supports proceeding with modular construction versus brick and mortar. The bid came in at $235,570 from Huffcutt Concrete Inc. Mattice said the County will realize a $250,000 savings from engineer’s estimate. However, additional items that are not included in the bid are such things as footings, electrical, permits, plumbing, septic system, and walkways/landscapes. Approval would include the contingency and authorizing signatures by Mattice and Lee Kelly, County Coordinator, on the documents.
Potter moved to approve the bid from Huffcutt Concrete Inc. in the amount of $235,570 with a 10% contingency. The motion was seconded by Borrell and carried 5-0.
Authorize Proceeding With Contract Development & Authorization Of Signatures For Planning, Engineering & Construction Specifications For The Future Bertram Chain Of Lakes Campground
Mattice said six proposals were received and a small sub-committee reviewed and graded the proposals. Vetsch and Daleiden serve on the sub-committee. The recommendation is to proceed with the low bid from Loucks at a cost of $110,508, which is within the allocated budget of $112,000.
Vetsch moved to approve acceptance of the bid from Loucks at a cost of $110,508. The motion was seconded by Potter. The best case scenario would be a start of construction in 2020. The motion carried 5-0.
PUBLIC HEARING - LOCAL COMPREHENSIVE WATER MANAGEMENT PLAN
At 9:30 A.M., Daleiden opened the Public Hearing for the amendments to the Local Comprehensive Water Plan.
Alicia O’Hare, SWCD Water Resource Specialist, said the Board approved a draft of an amendment to the Plan on 12-12-17. Discussion at the Public Hearing included population projections that are included in the Plan. O’Hare said original data in the Plan was from 2004, and O’Hare could not locate the website that the data was taken from. Based on data that was received from the State Demographer’s Office and the County Auditor’s Office, O’Hare updated the estimates in the Plan for the period 2020-2030. She said the reason the figures appear incorrect is because the past report was an estimate and the data used from 2016 is actual. Only those lakes that have an active TMDL (total maximum daily load) assessment are included in the Plan. Lake Ann is not included as it is included in the One Watershed One Plan.
Borrell asked for the status of a potential project on Mink Lake with a limestone filter. O’Hare said that site has been ruled to not be viable due to the lack of fall in the area. Water is flowing but they are unable to locate the end of the culvert.
No public comment was received. The Public Hearing was closed at 9:39 A.M. and the Board Meeting was reconvened.
Vetsch made a motion to approve the Local Comprehensive Water Management Plan, seconded by Husom. Potter asked that updated information be obtained from the State Demographers Office and that the Plan be amended when that information is available. The motion carried 5-0.
ITEMS FOR CONSIDERATION
2-12-18 COMMITTEE OF THE WHOLE MINUTES
At today’s County Board Meeting, Potter moved to approve the minutes and recommendations. The motion was seconded by Vetsch and carried 5-0. The minutes follow:
I. STRATEGIC PLANNING: BUDGET, FINANCE & CAPITAL IMPROVEMENT
The following spreadsheets were distributed at this meeting (see attachments):
1. Wright County Budget Forecasting Workshop
2. Outstanding Debt Service Including Proposed Series 2018A Bonds (Justice Center) and Series 2020 Bonds (New Government Center)
3. Scenario 1: 20-Year Level Series 2018A Bonds (Justice Center) and 20-Year Level Series 2020 Bonds (New Government Center)
4. Scenario 2: 20-Year Level Series 2018A Bonds (Justice Center) and 20-Year Wrapped Series 2020 Bonds (New Government Center)
5. Scenario 3: 25-Year Level Series 2018A Bonds (Justice Center) and 25-Year Level Series 2020 Bonds (New Government Center)
6. Scenario 4: 25-Year Level Series 2018A Bonds (Justice Center) and 25-Year Wrapped Series 2020 Bonds (New Government Center)
7. Scenario 5: 25-Year Wrapped Series 2018A Bonds (Justice Center) and 25-Year Wrapped Series 2020 Bonds (New Government Center)
Auditor/Treasurer Bob Hiivala referenced the Wright County Budget Forecasting Workshop spreadsheet (Attachment 1) that shows the last five years of the County operating budget and anticipated constraints in the next five years. This document does not account for every line item or revenue change, but simply identifies assumptions made by staff. The information on this spreadsheet was derived from a previous meeting where a 20-Year Justice Center bond was discussed, as well as a 25-Year Administration Center bond that strategically wrapped the debt. Bruce Kimmel, Senior Municipal Advisor/Director from Ehlers, Inc. was present to answer questions regarding the impact of wrapping both bonds for more than 25 years.
Commissioner Darek Vetsch said the spreadsheet shows a two percent tax capacity growth, which is very conservative. Hiivala said it is not possible to guarantee what the capacity will be in the future. Property Tax Administrator/Chief Deputy Auditor/Treasurer Tammi Vaith said the average tax rate for 2009 was 32.567 percent. Hiivala said there was an average of seven percent tax capacity growth in the last four years.
Vetsch said the County has a number of projects on the horizon, but no cohesive strategy regarding plans for moving forward. At some point the County will spend money considering options, and if it becomes obvious there is no appetite on the part of the Board to move forward, that money will be wasted. Vetsch said this also affects the Capital Improvement Plan (CIP), because the way the Board previously used turn back dollars to fund the CIP is not sustainable. Going forward, there will not always be turn back dollars to use for the CIP. He said this has to change. Vetsch suggested that an amount for the CIP be budgeted in the levy, a scoring system established, and turn back dollars used to offset the levy for the next year.
Hiivala said some assumptions built into the spreadsheet include a Compensation and Classification Study that will be performed, which may result in some wages being increased. Other assumptions include average Cost Of Living Adjustments (COLAs) and eight new positions per year. Hiivala said personnel expenses comprise more than 50 percent of the County budget. Changes to personnel impact the budget. Another expense budgeted for 2019 is an estimated $1.5 million cost for Enterprise Resource Planning (ERP), with 25 percent assumed for ongoing maintenance. He said the numbers include a strategy to levy $2 million for capital projects every year (as noted on the Budget Forecasting spreadsheet under Assumption #2).
Hiivala referred to Assumption #3 on the same page, which states a proposed 20-year bond for the Justice Center, and a 25-year bond for the Administration Center. He added that the numbers will come down if the Administration Center is not built. If both the Justice Center and a new Administration Center is built, and both bonds were amortized over 25 years, or if the debt is wrapped around existing debt that is dropping off, the numbers would change.
Commissioner Charles Borrell said he does not want to remodel the Government Center or relocate Health & Human Services staff from their current building. He wouldn’t mind spending a few thousand dollars to improve an office, but basically prefers to revisit building or remodeling the Government Center in ten or twelve years. Borrell said remodeling the current Government Center could easily cost $25 million.
Commissioner Mike Potter said there is a cost to waiting. The problem won’t solve itself. Bond rates will go up, construction costs could go up, and suddenly a $40 million building becomes a $75 million building. Potter said that costs taxpayers more. He said the County Board must realistically budget to meet future ongoing expenses for a growing County.
Borrell asked Kimmel how soon the County could lock in the bond rate for the Justice Center. He asked whether it would be better to do so sooner or later. Kimmel said they haven’t seen a direct correlation between what the Federal Reserve is doing and the municipal bond market, in part because there is a lack of supply in the market to meet demand. That imbalance is helping to keep yields down. In the last several weeks, however, Kimmel said they have seen upward pressure on rates, although it has been volatile. He said that could signify that inflation is here, and municipal bond investors will start expecting higher rates, or, people could decide to flee to municipal bonds and cause rates to come back down even further. Kimmel said it makes sense to proceed with purpose and speed on the bond issue if the Justice Center project is moving forward. Ehlers’ mantra is to sell the bonds when the money is needed, because the County will be sitting on $50 million of funds.
Kimmel said the type of bonds the County would be issuing are Capital Improvement Plan Bonds, similar to those issued for the Highway Building. The process involves a public hearing and a thirty day waiting period, under which citizens could file a reverse referendum petition if they so wished. These must be factored into the process as well. Kimmel said the public hearing could be done even before the final project costs are in.
Discussion ensued regarding:
1. The costs of Bonding Scenarios 1 through 5 as presented in Attachments 3 through 7;
2. Whether to bond for 20 or 25 years;
3. Whether to issue level bonds or wrap the Justice Center bond with an Administration Center bond in the event the latter building is constructed;
4. The amount of annual debt and net County tax rate; and
5. The best time to issue bonds based on present and future economic conditions.
Vetsch asked whether there was consensus to proceed with a 20-year level bond for the Justice Center, and to direct L. Kelly and Kimmel to move forward with the process. Kimmel suggested estimating high on the project costs if the public hearing will be held before the bids are received to avoid having to redo the hearing process. He also recommended building in a rate cushion when calculating the estimated debt service.
L. Kelly said the bids are due back on 3-20-18, and the Board will approve them on 4-03-18. Vetsch said he wants L. Kelly and Court Administrator Monica Tschumper to identify which costs the County will pay for and which will be the responsibility of the Tenth District Court, so that all numbers will be included in the bond amount. He does not want to have to pay additional funds out of reserves after the fact.
Kimmel said the public hearing could be held on the same date that the Board receives and approves the bid, and have the sale at the same public hearing. The bonds could be sold in the middle of May 2018. If the public hearing is held on 4-03-18, the bonds could be sold on 5-08-18 and closed by the end of May.
Vetsch asked again whether the other Commissioners were interested in budgeting CIP projects versus using future turn back dollars that may not be there. L. Kelly said a separate line item for CIP could be added. Assistant County Coordinator Susan Vergin said the Commissioners could also utilize the Finance/CIP Committee to work on the budgeting strategy. Vetsch asked whether there was consensus to make the change. Husom said the costs can then be applied directly to the budget. Daleiden said at budget time, they will know how many turn back dollars the County will receive, and the levy can be reduced accordingly.
Hiivala said there are some significant maintenance items that may need to be done at the Government Center. L. Kelly said he hopes to get more guidance following the 2-22-18 Committee Of The Whole Space Study meeting, as that will affect decisions regarding CIP Building Maintenance.
RECOMMENDATIONS:
1. Bonding for the Justice Center will be a 20-year bond; Informational item only regarding bonding for a potential Administration Center.
2. The Capital Improvement Plan (CIP) will be a budgeted item.
(End of 2-12-18 COTW Minutes)
2-14-18 WAYS & MEANS COMMITTEE MINUTES
At today’s County Board Meeting, Borrell stated there was a Committee Of The Whole Meeting in December to consider returning wetland enforcement back to the County, which is currently delegated to the SWCD. A SWCD Board member came up with an idea of handling appeals through a seven-member joint board (five SWCD Board members and two County Commissioners). Changes to the amended Joint Powers Agreement (JPA) relate to the meeting location and it will be modified to indicate that larger locations will be utilized as needed. Approval of the JPA will not occur until insurance items are finalized.
Borrell moved to approve the minutes and recommendation, seconded by Husom. Borrell and Husom amended the motion to include a change to Page 1, last paragraph, to remove the following sentence, “Kryzer said the chair of the SWCD Wetland Appeal Board will be the SWCD Board Chair, and the County Board can elect a chairperson for that particular meeting” as requested by Daleiden. The amended minutes follow:
I. Amended Joint Powers Agreement With Wright Soil & Water Conservation District For Wetland Conservation Act
Assistant County Attorney Greg Kryzer distributed an Amended Joint Powers Agreement For Administration of the Wetland Conservation Act – 1991 (see attachment).
Kryzer explained that this Joint Powers Agreement (JPA) is being amended from 1993. He summarized the proposed changes by paragraph number:
1. The Wright Soil and Water Conservation District (SWCD) will act in place of the County as the Local Government Unit (LGU) for the Soil and Water Act.
2. The Amendment to the JPA creates a Wetland Appeal Board that will follow the County of Wright’s procedures regarding three-day notices, hearings and the Minnesota Open Meeting Law requirements. The SWCD staff will collect fees for all Wetland Conservation Act applications and appeals. Kryzer said the SWCD keeps the fees because their staff works on these cases.
3. The SWCD and the County will create a joint Wetland Appeal Board. Membership of the Wetland Appeal Board shall consist of all Supervisors of the SWCD and two members appointed, from time to time, by the Wright County Board of Commissioners. Husom said that Commissioner Borrell would be one of the two County representatives, and the other would be the Commissioner representing the affected district.
4. Borrell suggested giving more latitude for meeting location than is stated in the first sentence of this paragraph that reads, “All meetings of the Wetland Appeal Board shall be held in the Wright Soil and Water Conservation District Boardroom.” Kryzer said he will combine the first two sentences of Paragraph 5 to read, “All meetings of the Wetland Appeal Board, unless mutually agreed, shall be held in the Wright Soil and Water Conservation District Boardroom, and shall be scheduled as needed on the second Monday of every month and shall convene at 5:00 p.m.” Husom said these meetings only occur once or twice a year. Kryzer said special meetings may be convened at the call of the chair if a timeline issue arises and an earlier meeting is needed to comply with MN statute 15.99.
5. Kryzer said postings are done by the County. While Paragraph 3 states that the SWCD will post notices, the County will also post the notices per the old JPA.
6. Kryzer said the Wetland Appeal Board will be the decision maker on wetland replacement plans and wetland banking plans. The SWCD shall delegate to staff the initial decision-making authority for all other Wetland Conservation Act applications and decisions. He said this mirrors the current level of appeal they have now. Currently, wetland replacement and banking plans go directly to the SWCD Board. The JPA delegates initial decision-making authority over all other conservation applications and decisions to SWCD staff, such as delineation type, incidental boundaries, and so forth.
8. Kryzer said all staff decisions may be immediately appealed to the Minnesota Board of Water and Soil Resources (BWSR), except for wetland type and boundary decisions, which shall be immediately appealable to BWSR.
9. Borrell said the County provides funding for the administration of the Wetland Conservation Act to the SWCD in one lump sum.
10. The SWCD will account for any funds and will provide an audit report to the County. The Minnesota Counties Intergovernmental Trust (MCIT) wants to know what happens to any property or funds in the event the JPA is terminated. Anything the County gives the SWCD stays with them per the MCIT.
11. The County is required to get a comprehensive liability insurance policy for the newly created Wetland Appeal Board through MCIT. Kryzer said the cost is approximately $3,000 per year. He added that attorney fees for one appeal could cost $30,000. If there is only one appeal in ten years, it’s a good investment.
12. This paragraph explains that the County is responsible for their employees, and SWCD is responsible for their staff, including but not limited to compensation, taxes, and worker’s compensation insurance.
13. Regarding the first sentence in this paragraph, “The Wright County Attorney shall be legal counsel on all Wetland Conservation Act matters pursuant to Minn. Stat. 103C.321 Subd.4 (2016),” Kryzer said the County Attorney will make a decision to hire outside counsel if he feels there is a conflict of interest.
14. Kryzer said the amended JPA specifies re-adoption of the SWCD Policy Handbook dated June 8, 2015 regarding wetland issues.
15. This paragraph is an MCIT requirement that the parties to the JPA are subject to the Minnesota Government Data Practice Act under Minnesota Statutes Chapter 13 for all data requests. The SWCD will be the authority for all data practice requests related to the Wetland Appeal Board.
Kryzer said he will make the one change as previously discussed related to Paragraph 5. He said this amended JPA can be brought to the 2-27-18 County Board meeting, and the SWCD Board after that.
Recommendation: Amend the first two sentences in Paragraph 5 to read, “All meetings of the Wetland Appeal Board, unless mutually agreed, shall be held in the Wright Soil and Water Conservation District Boardroom, and shall be scheduled as needed on the second Monday of every month and shall convene at 5:00 p.m.” Approve as amended.
(End of 2-14-18 Ways & Means Committee Minutes)
SET COMMITTEE OF THE WHOLE MEETING ON 3-06-18 @ 1:00 PM FOR CLASS/COMP RFP INTERVIEWS
On a motion by Potter, second by Vetsch, all voted to schedule a Committee Of The Whole Meeting for 3-06-18 at 1:00 P.M.
CANCEL BOARD MEETINGS IN MAY & JULY (5 TUESDAYS)
Borrell moved to cancel the 5-22-18 and 7-03-18 County Board Meetings because of five Tuesdays in those months. The motion was seconded by Husom and carried 5-0. The Board suggested potentially rescheduling the 5-23-18 Committee Meeting date at a future Board Meeting.
ADVISORY COMMITTEE / ADVISORY BOARD UPDATES
1. Husom said 3-23-18 marks the 150th Anniversary of the move of the County seat from Monticello to Buffalo. A reception will be held at the Historical Society. The move of the County seat occurred because the desire was for services to be housed in one location. The new Courthouse began operation in 1868 in Buffalo. More information on the reception will be announced in the Journal Press.
2. ERP Meeting. Daleiden attended a meeting last week and said an email was received that the product is delivered and will be available sometime today. They are reviewing deliverables from InfoTech on the ERP.
3. Highway 25 Coalition. Vetsch said an open house was held on 2-13-18 and was well attended. A meeting will be held this week to discuss feedback received.
4. Trailblazer Meeting. Potter attended for Vetsch. Discussion included the Smart Ride Program and funding. McLeod County is subsidizing rides for HHS. There is a projected shortfall of $18,000 in revenues. He stated this should be offered for all member counties if it is offered for one. Vetsch stated that McLeod County purchases rides at a reduced rate because of medical assistance reimbursement. The topics of Buffalo Allied Transit the volunteer driver program were tabled because two of the members were absent and had alternates representing them. Vetsch said the discussion on volunteer drivers relates to insurance and liability issues. They are reviewing whether it is better to set that program up as a non-profit group.
5. MET Council. Potter attended for Daleiden. The MET Council is doing a household travel survey with the focus being on collar counties. This will be completed every 2 years versus every 10 years. An update was provided on their transportation plan. The MET Council was denied funding by the federal government for light rail and rapid transit. Bike/trail plans were discussed. The legislature has directed that plans should include connecting trails so they match up when projects are completed.
6. Wright County Sheriff’s Office Citizen Law Enforcement Academy. Potter said classes start 4-24-18 at 6:30 PM.
7. Extension Committee. Borrell said a meeting was held last week. The new Regional Director, Lori Vicich, was introduced.
8. Borrell said he and Potter serve on a committee with others from Extension, 4-H, and the Fair Board to look at a new Fair Stand building. Borrell wanted the other Commissioners to know they are looking into the type of building, funding mechanism, and cost. This topic will be brought back at a future meeting.
CORRECTION TO THE CONSENT AGENDA
At the request of Adam Tagarro, IT Director, Borrell moved to remove Consent Agenda Item F1 for further discussion. The motion was seconded by Husom and carried 5-0.
Adam Tagarro, IT Director, stated that Consent Agenda Item F1 that was approved earlier in the meeting needs to be corrected. The item as approved reflects “Authorize Signatures On Contract Renewal For Microsoft EA Agreement - 03/10/18 through 02/28/19, $205,990.60.”
Tagarro stated the contract term should reflect a 36-month term at $205,990.60/year. The contract period would be 03/10/18 through 2/28/21.
Vetsch moved to approve Consent Item F1 as modified, correcting the term to 36 months and recognizing the cost per year of $205,990.60. The motion was seconded by Husom and carried 5-0.
The meeting adjourned at 10:36 AM.
Published in the Herald Journal March 2, 2018.