2020-09-15 Council MinutesCITY OF MENDOTA HEIGHTS
DAKOTA COUNTY
STATE OF MINNESOTA
Minutes of the Regular Meeting
Held Tuesday, September 15, 2020
Pursuant to due call and notice thereof, the regular meeting of the City Council, City of Mendota Heights,
Minnesota was held at 6:00 p.m. at City Hall, 1101 Victoria Curve, Mendota Heights, Minnesota.
CALL TO ORDER
Mayor Garlock called the meeting to order at 6:00 p.m. Councilors Paper and Petschel were also present.
Councilors Duggan and Miller were absent.
PLEDGE OF ALLEGIANCE
Council, the audience, and staff recited the Pledge of Allegiance.
AGENDA ADOPTION
Mayor Garlock presented the agenda for adoption. Councilor Petschel moved adoption of the agenda with
the addition of the summary publication document added to item g.
Mayor Garlock seconded the motion.
Ayes: 3
Nays: 0
CONSENT CALENDAR
Mayor Garlock presented the consent calendar and explained the procedure for discussion and approval.
Councilor Petschel moved approval of the consent calendar as presented, pulling item d. for additional
discussion.
a. Approval of September 1, 2020 City Council Minutes
b. Acknowledge August 12, 2020 Parks and Recreation Commission Minutes
c. Acknowledge July 2020 Par 3 Financial Report
e. Acknowledge July 2020 Fire Synopsis
f. Approve Resolution 2020-59 Providing for the Sale of $3,665,000 General Obligation Bonds,
Series 2020A
g. Approve Ordinance 559 Granting a Cable Television Franchise to Comcast of St. Paul, Inc. and to
approve the summary publication of the ordinance
h. Accepting Wetland Delineation Report and Findings of "No Wetland" for 2393 Pilot Knob Road
i. Resolution 2020-57 Accept Bids and Award Contract for the 2020 Sanitary Sewer Lining Project
j. Resolution 2020-58 Accept Bids and Award Contract for the Lemay Lake Erosion Control Project
k. Approval of Claims List
Mayor Garlock seconded the motion.
Ayes: 3
Nays: 0
PULLED CONSENT AGENDA ITEMS
D) ACCEPTANCE OF RETIREMENT OF FIREFIGHTER RICH BURROWS
Councilor Paper thanked Rich Burrows for the years of service he has provided to the community.
Mayor Garlock also thanked him for the valuable service he provided for all those years.
Councilor Petschel moved to APPROVE ACCEPTANCE OF RETIREMENT OF FIREFIGHTER RICH
BURROWS.
Mayor Garlock seconded the motion.
Ayes: 3
Nays: 0
PUBLIC COMMENTS
No one from the public wished to be heard.
No items scheduled.
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NEW AND UNFINISHED BUSINESS
A) ADOPTING PRELIMINARY BUDGET AND LEVY
Finance Director Kristen Schabacker presented the budget and tax levy proposed for 2021. She stated
the Council has been working on this budget in work sessions since August. The action before the
Council is to approve the preliminary budget and levy so it can be certified to Dakota County.
Ms. Schabacker shared that the proposed levy for 2021 is $10,482,617, representing a 4.32% increase
over 2020. The budget for all funds is $15,822,544. The taxable market value for the city is
approximately $2.4 billion, representing an increase of 5.32% over 2020. The 2020 city tax rate was
38.315, and the proposed 2021 tax rate is 37.870.
The average residential home value increase is approximately 4.1 % from 2020. The median home value
in Mendota Heights is approximately $426,600. A home valued at the median will be paying $1,659 for
city property tax; last year the median home value was $409,798 and would have paid $1,614 — the
average increase is 2.79% or $45/year.
September 15, 2020 Mendota Heights City Coanacit Page 2 of5
She said that new in this preliminary budget for 2021 included a cost of living adjustment for
employees, and an increase in the workers comp insurance premium. The capital items included in the
budget, as outlined in the memo, will be paid for from the proceeds from the sale of the vacant Village
lots.
The individual department budgets for 2020 are proposed to increase as follows:
• Police Department — 3.31 %
• Administration—( -1.59%)
• Engineering — 3.38%
• Park and Recreation — 6.34%
• Street Department — 4.08%
• Fire Department — (-0.81 %)
• Code Enforcement — flat
• IT — (-5.19%)
• Planning/Recycling/Council — 1.64%
The total General Fund budget increase is proposed to be 2.5%.
The budgeted revenues are projected to be:
• Tax Levy — up 3.26%
• Licenses / permits — down (-14.43%)
• Fines — up 22.98%
• Charges for services —up 1.38%
• Intergovernmental revenue — up 4.79%
• Miscellaneous revenue — down (-6.15%)
This must be a balanced budget so the revenues are also projected to increase by 2.5%
The levy percent changes are projected as:
• General Fund — up 3.26%
• Legal/Contingency/Emergency Preparedness — remained the same
• Fire Relief — remain the same
• Infrastructure/Facility Reserve — $0
• Fire Station Bonds — up 0.10%
• Special Levies —up 16.03%
• Par 3 Bonds — 0.30%, last year for payment on these
• Street Light District — 0% change
Total Preliminary Tax Levy — up 4.32%.
Ms. Schabacker explained that once the Preliminary Tax Levy is adopted, it cannot be increased but it
can be decreased before the final budget and levy are adopted in December 2020. At the December 1,
2020, City Council Meeting, a public hearing will be held. The final levy and budget would be certified
to Dakota County prior to December 28, 2020.
Mayor Garlock asked if the workers comp rate would stabilize in the next year.
September 15, 2020 Mendota Heights City Council Page 3 oj5
Finance Director Kristen Schabacker stated that there is still one claim outstanding that will not cause the
policy to decrease in cost.
Councilor Paper stated that he believed there was discussion to include a reserve fund for equipment
Finance Director Kristen Schabacker stated that there are funds in the Village lots and those funds could
be moved to the equipment reserves in December, if desired. She noted that because of COVID, the
decision was made to keep things stable.
Councilor Petschel asked the percentage of the fund balance within the current budget.
Finance Director Kristen Schabacker stated that she did not make that calculation but believed at the end
of the previous year the balance was close to 100 percent of the operating expenses and fund balance. She
estimated that would remain stable as there is nothing included that would change that fund balance.
Mayor Garlock moved to approve RESOLUTION 2020-60 APPROVING PROPOSED 2020 TAX LEVY
COLLECTIBLE IN 2021.
Councilor Petschel seconded the motion.
Ayes: 3
Nays: 0
Mayor Garlock moved to approve RESOLUTION 2020-61 ADOPTING 2021 PRELIMINARY
BUDGET.
Councilor Paper seconded the motion.
Ayes: 3
Nays: 0
Mayor Garlock moved to approve RESOLUTION 2020-62 APPROVING FINAL 2020 TAX LEVY FOR
SPECIAL TAXING DISTRICT NO. 1 COLLECTIBLE IN 2021.
Councilor Paper seconded the motion.
Ayes: 3
Nays: 0
COMMUNITY ANNOUNCEMENTS
Assistant City Administrator Cheryl Jacobson announced that aeration was completed at the Par 3 Golf
Course and therefore fall rates have begun for golfers.
COUNCIL COMMENTS
Councilor Petschel commended Finance Director Kristen Schabacker for another stellar job on the City's
annual budget and for her work with Ehler's for bonding rates which will save the City about $135,000.
Councilor Paper stated that the local children are back in school, whether in-person or through distance
learning, and wished the kids and teachers well.
September 15, 2020 Mendota Heights City Council Page 4 of5
ADJOURN
Mayor Garlock moved to adjourn.
Councilor Paper seconded the motion.
Ayes: 3
Nays: 0
Mayor Garlock adjourned the meeting at 6:21 p.m.
Neil Garlock
Mayor
ATTES
Lorri Smith
City Clerk
September 15, 2020 Mendota Heights City Council Page 5 of5