110507 CC WS MinCITY OF SHOREWOOD
CITY COUNCIL WORK SESSION
MONDAY, NOVEMBER 5, 2007
MINUTES
1. CONVENE CITY COUNCIL WORK SESSION
5755 COUNTRY CLUB ROAD
COUNCIL CHAMBERS
6:00 P.M.
Mayor Lizee called the meeting to order at 6:00 P.M.
A. Roll Call
Present. Mayor Lizee; Councilmembers Callies, Turgeon, Wellens, and Woodruff; Administrator
Dawson; Finance Director Burton; Director of Public Works Brown; and Engineer
Landini
Absent: None
B. Review Agenda
Mayor Lizee asked Item 6, Policy on Coffee and Water at City Hall and the Public Works Facility, be
added to the agenda.
Councilmember Woodruff asked Item 7, Phone Etiquette, be added to the agenda.
Councilmember Turgeon asked Item 8, Setting a Date for the City Administrator's Performance Review,
be added to the agenda.
Wellens moved, Woodruff seconded, Approving the Agenda as Amended. Motion passed 5/0.
ANNOUNCEMENTS TO MEET COUNCILMEMBERS
Administrator Dawson stated Councilmember Woodruff had requested Council discuss placing
announcements to meet individual members of the Council in official City communications. In the past
few issues of the Shore Report an announcement had been published about Mayor Lizee's "coffee with
the mayor" sessions. He had not been able to find a working policy regarding this topic.
Dawson then stated Council should clarify three things: 1) should such meeting announcements be
allowed in City communications; 2) should they be limited or open to any member of the Council; and, 3)
should they not be permitted after one had announced an intention to run or filed for candidacy for a City
office.
Mayor Lizee stated in the few months preceding an election the Mayor's and Councilmembers' names
were not printed in the City newsletter. Administrator Dawson stated that was done so name recognition
was not given to the candidates. Council thought it was appropriate to list the elected officials' names.
Councilmember Woodruff stated he had received a few comments about the City publicizing the coffee
with the mayor sessions. There was question as to whether the meetings were City meetings or private
meetings. He suggested the City have a policy on things of that nature. He commented that he had
checked with the League of Minnesota Cities and was told that it was such a minor use of City resources
CITY OF SHOREWOOD WORK SESSION MEETING
November 5, 2007
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that it was anon-issue. He commented that the Mayor of Mound had also started to conduct similar
sessions. He questioned if a session was City sponsored, did the person holding the session have a
responsibility to report back to the Council on what was discussed at the session.
Mayor Lizee stated her coffee with the mayor sessions were not sponsored by the City, and they were not
conducted on City-owned property. If other Councilmembers chose to hold similar sessions in a public
place she saw no problem with that.
Councilmember Turgeon questioned if she could advertise to conduct sessions at her house where she
would provide food and/or something to drink. Councilmember Callies stated that would be similar to
campaigning.
Councilmember Callies stated she did not have an issue with any Councilmember conducting similar
sessions in anon-political way as long as they were not preceding an election.
There was consensus to abolish that practice of not listing the names of the elected officials in official
City communications after the filing date for an election, allow any elected official to conduct similar
sessions, and if an elected official was running for office then sessions with them would no longer be
publicized in official City communications starting with the September newsletter of the election year.
3. 2008 GENERAL FUND BUDGETS
Director Burton stated this would be the last time Council would review the draft 2008 budgets before
the Truth-In-Taxation public hearing on December 3, 2007. She stated the City had received information
from Hennepin County which stated if the City adopted the budgets as discussed the City's tax rate
would increase from 26.889 to 27.016.
Burton thanked Councilmember Woodruff for his questions he had submitted to Staff in advance of the
meeting. She then provided the following answers to his questions.
- The department budgets would be updated to reflect October actual figures.
- Staff recommended the Liquor Fund balances should not be co-mingled with the General
Fund until after the close of the year and the completion of the audit of 2007
transactions. Staff also recommended the 2007 and 2008 transfers from the Liquor Fund
to the General Fund remain as planned. A work session would likely be held early in
2008 to discuss how Council would like to use the Liquor Fund balances.
- The $110,000 transfer out of the Municipal Building Department Budget was for a
$50,000 transfer into the Public Facilities and a $60,000 transfer into the Sewer Fund for
the debt service payment on the City-owned house.
- The $25,000 transfer from the General Fund to the Stormwater Fund would be
eliminated (and therefore removed from the levy) and any related impacts corrected.
Councilmember Turgeon stated Council needed to discuss the rate for the semi-annual market rate salary
adjustments (or economic adjustments) for non-union employees in the relatively near future. She
commented that $20,000 was also budgeted for pay-for-performance adjustments. Administrator Dawson
explained the budget assumed a 3 percent economic adjustment (which would be administered semi-
annually as 2 percent adjustments). Councilmember Woodruff stated the Federal Government stated the
adjustment for social security would be 2.3 percent. Woodruff suggested the 2008 economic adjustment
be administered once for an amount of 2.3 percent and that it be done in conjunction with pay-for-
performance adjustments which would be administered after performance appraisals had been conducted.
Councilmember Callies questioned if the 2.3 percent increase was specific to social security or was that
CITY OF SHOREWOOD WORK SESSION MEETING
November 5, 2007
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economic adjustment amount applicable to other things. Dawson stated the Consumer Price Index was
approximately 2.7 percent; and, he had spoken with a number of his colleagues who generally indicated
their economic adjustments were planned at 3 percent. Callies stated she would want additional
information prior to malting any decision. Woodruff stated the decision did not have to be made at this
meeting; it should be decided prior to the budget being adopted. Councilmember Wellens suggested the
economic adjustment be based on some independent amount (e.g., the social security increase, the CPI,
etc.) from this point forward. Dawson cormnented the economic adjustment rate was reviewed yearly.
There was consensus to discuss the economic adjustment rate at a November 26, 2007, work session.
Callies requested Council be provided with various alternatives for the economic rate adjustment
discussion.
Councilmember Woodruff stated the draft 2008 budget included $170,000 to fund the remainder of the
Public Works addition project. He then stated he would like to have the project cancelled and the
$170,000 capital outlay removed from the 2008 General Fund budget. If that $170,000 were removed
along with the $25,000 transfer to the Stonnwater Fund, the 2008 levy increase over the 20071evy would
be slightly less than 5 percent. The $195,000 was approximately 3.5 percent of the proposed 2008 levy.
He also suggested the funds that had been contributed in 2006 and 2007 for that project remain in the
reserves. He then clarified he did not think the project had to be cancelled; he only wanted any 2008
funding for the project removed. He stated he thought the addition was a "nice to have", but it was not
necessary; there were other alternatives that could be considered instead of the addition to allow for a lift
to be installed. Councilmember Wellens stated he had difficulty with a total project cost of $400,000
with the primary benefit of being able to install a lift.
Director Brown stated the lift would be used to work on all of the Public Works vehicles. The lift could
also be used to work on Excelsior Fire District vehicles and South Lake Minnetonka Police Department
vehicles. He stated the lift would make the work environment for the Public Work's shop technician
much safer. He then stated he could not justify abreak-even cost for the project.
Councilmember Turgeon stated if she had to choose between the City Ha11 renovation project and the
Public Works addition project, she would prefer to do the City Hall project first. In response to a
question, Brown stated he would place the City Hall renovation project a higher priority than this project.
Administrator Dawson summarized what he heard Council agree to: additional funding for the Public
Works addition would be delayed until 2010 in the CIP, and the funds which had been allocated for the
project in 2006 and 2007 ($230,000) would remain in the General Fund for that project.
Director Burton stated the draft 2008 General Fund budget would be reduced by $195,000 - $170,000
would be removed for the Public Works addition and $25,000 for a transfer to the Stormwater Fund.
4. STATUS ON 2007/ 08 GOALS AND PRIORITIES
Administrator Dawson stated some of the goals and priorities had taken more time than had been
anticipated (e.g., the Amlee Road, Manitou Lane and Glen Road project; the City Hall renovation
project). The high priority items had basically been addressed, as well as the majority of the medium
priority items.
With regard to "problem drainage areas", Director Brown stated drainage improvement projects where
scheduled based on availability of CIP funding.
Councilmember Woodruff suggested an announcement be published in the Shore Report stating that City
documents and records could now be accessed through a link on the City's website. Director Brown
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November 5, 2007
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stated before the web link was opened to the public the necessary security protection must be put in
place.
Councilmember Woodruff stated he wanted Staff to prepare a plan for accomplishing the following
lesser priority items -finalize the electronic database for all as-built information re: Public Works
infrastructure; update the right-of--way ordinance; review the water rate structure; and develop and
implement a water conservation plan. Director Brown stated the focus had been on the high and medium
priority items, and if time was available then the lesser priority items would be addressed. Woodruff
stated he only wanted to have a short discussion about what was needed to complete the item and what
resources would be required to do so. Councilmember Turgeon stated she understood Woodruff to ask
for a monthly or quarterly update. Turgeon also stated Brown not provide a specific date if he could not
strongly commit to that date.
In response to a question from Councilmember Turgeon, Director Brown stated before the City could
issue the final invoice on the County Road 19 Smithtown Road intersection project the project needed to
be closed out by Hennepin County. The County and WSB and Associates (the engineer for the project)
had been in discussions regarding the increased engineering costs which the County wanted the City to
pay for. Staff had met with one of the Hennepin County Commissioners who promised to have the
project closed out this winter. Director Burton stated the auditor was aware of the situation.
5. COUNCIL APPRECIATION EVENT
Administrator Dawson stated the City had received communication from the State Auditor's Office
regarding an inquiry it had received about the City Council's annual appreciation event. During its 2007
session, the Legislature amended a statute to clarify that cities may establish and operate an employee
recognition program, and it provided that public funds could be used for such a program. Staff had
prepared a proposed policy for the event which had been reviewed by the City Attorney.
Councilmember Callies stated the amended statute was very broad. She then stated she would continue to
support having the annual appreciation event; there was nothing wrong with doing so under the law. She
went on to state the City of Minnetonka had an annual picnic that was catered for employees and their
families, it holds an appreciation event, meals were provided before each Council and Planning
Commission meetings, it provided water and coffee for its staff for productivity and morale reasons, etc.
Councilmember Wellens stated the proposed policy was fine, as did Councilmember Woodruff.
There was consensus to add approval of the proposed policy for an appreciation event to the regular
meeting agenda for that evening.
6. POLICY ON COFFEE AND WATER AT CITY HALL AND THE PUBLIC WORKS
FACILITY
Mayor Lizee stated after she became aware the City had received communication from the State
Auditor's Offtce regarding an inquiry (which Councilmember Wellens stated he had sent) regarding the
City council's annual appreciation event and the City's paying for coffee and water for City employees
she contacted Director Burton to ask for the costs for the coffee and water services. It was at that time
she found out the services had been terminated, and she thought that was not appropriate to do.
Councilmember Callies stated the Council had not made the decision. Director Burton stated she and
Administrator Dawson had made the decision based on the feedback from the State Auditor's office.
Dawson stated the Staff was polled, and it did not want to pay for the services.
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November 5, 200'7
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Lizee stated the services were also used by guests at City Hall, the Planning and Park Commissioners,
Councilmembers, etc. She commented the water fountain at City Hall had not worked correctly for a
number of years. She stated it would have been appropriate for Council to discuss the topic prior to any
changes being made. Councilmember Wellens stated he had brought the topic up to Council earlier.
Councilmember Callies stated there should have been discussion prior to changes being made. She again
referenced Minnetonka's policy and what that city provided.
Councilmember Turgeon stated Minnetonka's policy addressed employees and elected and appointed
officials, it did not specify spouses or guests. She stated she could support either position with regard to
water and coffee services.
Director Burton stated the monthly costs for coffee services at the Public Works facility were
approximately $30 and they were approximately $50 for City Hall. Water cooler expenses were
incidental. Burton stated she was confident the employees would be grateful if the services were
reinstated.
Councilmember Woodruff stated based on his experience at three different companies a water filter
system that would also dispense hot water would be more cost effective than the Culligan water cooler
system. The State Auditor would have no comment on doing that; therefore, he suggested a system be
installed. He commented the system could be moved if need be during the renovation effort.
Councilmember Callies stated she would like to discuss the topic further and she questioned if the City
should adopt a policy similar to Minnetonka's.
Mayor Lizee stated she would like to see the services reinstated prior to adopting a policy.
Councilmember Woodruff again stated he would prefer a water filter system be installed rather than
reinstating the Culligan water cooler system.
Administrator Dawson summarized the directions he heard Council provided - a water filter system
would be installed, coffee service would be reinstated, the policy regarding the appreciation event would
be considered at the regular meeting this evening, and Minnetonka's policy would be clarified and
adapted by the City.
Director Brown stated if the coffee service was to be reinstated only to be terminated again he suggested
the service not be reinstated. In response to a question, Brown stated having coffee pots at employees'
workstations was a safety issue.
Councilmember Callies questioned if anyone was opposed to having the coffee service reinstated to
which Councilmember Wellens stated he did not want the City to pay for employee's coffee.
Mayor Lizee recessed the work session at 7:01 P.M.
Mayor Lizee reconvened the work session at 8:53 P.M.
7. PHONE ETIQUETTE
Councilmember Woodruff stated he had sent an email to Staff informing them that he had received many
comments from people stating it often took many days to receive a response to a phone call they had
made to the City. The comments were about all of the departments. He also stated there had been an
incident where a person had a policy question and they were referred to the Senior Accounting Clerk to
CITY OF SHOREWOOD WORK SESSION MEETING
November 5, 2007
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get an answer; he thought that was inappropriate. He suggested Staff adopt a policy that all phone calls
would be returned within one business day, even if the response was to tell the person they would have to
get back to them at a later date. He also suggested that all policy questions should be answered by a
manager, department head, or the City Administrator.
Councilmember Turgeon stated this had been discussed before, and when it was discussed response time
improved for a while. She also stated she was the one that received the complaint regarding policy
questions.
Councilmember Callies questioned if Staff changed their voice mail to inform callers when they were
gone for an extended period of time. Director Burton stated she thought that effort was made.
Director Brown stated recently he was at a funeral on a Friday and when he returned the following
Monday an employee told him there was a woman who had come in to complain her phone calls were not
being returned. The woman called him on Thursday evening and the next day she told the employee that
Brown would not return the calls.
Director Burton stated there were occasions when a resident receives a response they would prefer not to
hear.
Administrator Dawson stated there were times when a call may be forwarded to someone else to respond
to, and residents would complain that the person they intended to call did not respond.
Councilmember Turgeon stated if someone was gone for an extended period of time (e.g., on vacation)
then she thought it would be appropriate for someone else to respond to the caller even if it was to say
they didn't have an answer.
Councilmember Woodruff asked Staff if the next business day turnaround for a response was acceptable.
Director Burton stated that is what Staff already tried to do.
8. SETTING A DATE FOR THE CITY ADMINISTRATOR'S PERFORMANCE REVIEW
Councilmember Turgeon stated if Council wanted to have Administrator Dawson's performance review
completed by year-end then it must be scheduled for the near future. Mayor Lizee questioned if it could
be done in January 2008. Administrator Dawson stated if there was to be a change in Councilmembers
because it was an election year, then it was better to conduct the review prior to the change in members;
that was not the case this year. Lizee stated she would appreciate it if it could be done on the first
meeting date in January (January 14, 2008).
Councilmember Turgeon questioned if the process should be the same as the last time (she sent out the
form to the Councilmembers and compiled the information.). Mayor Lizee stated she would like to be
more involved.
There was consensus to leave the performance appraisal form the way it was.
Councilmember Woodruff stated because this would be Administrator Dawson's formal review all
Councilmembers should fill out the form. He suggested the process of filling out the form be started in
December so the actual review could be conducted in January.
Administrator Dawson stated he would distribute an electronic copy of the form to the Councilmembers.
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November 5, 200'7
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9. ADJOURN
Woodruff moved, Turgeon seconded, Adjourning the City Council Work Session Meeting of
November 5, at 9:05 P.M. Motion passed 5/0.
RESPECTFULLY SUBMITTED,
Christine Freeman, Recorder
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Christine Lizee, Mayor
ATTEST: °~
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Craig 1V. I)awsun, City Administrator/Clerk
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