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071408 CC Reg MinCITY OF SHOREWOOD 5755 COUNTRY CLUB ROAD CITY COUNCIL REGULAR MEETING COUNCIL CHAMBERS MONDAY, JULY 14, 2008 7:00 P.M. MINUTES 1. CONVENE CITY COUNCIL REGULAR MEETING Mayor Lizee called the meeting to order at 7:00 P.M. A. Roll Call Present; Mayor Lizee; Councilmembers Bailey, Turgeon, Wellens, and Woodruff; Attorney Keane; Acting Administrator/Director of Public Works Brown; Finance Director Burton; Planning Director Nielsen; and Engineer Landini Absent: None B. Review Agenda Councilmember Woodruff requested Item 11.A.2, Amesbury Well Update, be added to the agenda and Council be provided a copy of the revised City Administrator's performance review form. Wellens moved, Woodruff seconded, approving the Agenda as amended. Motion passed 5/0. 2. 2. APPROVAL OF MINUTES A. City Council Work Session Minutes, June 23, 2008 Turgeon moved, Woodruff seconded, Approving the City Council Work Session Minutes of June 23, 2008, as presented. Motion passed 5/0. B. City Council Regular Meeting Minutes, June 23, 2008 Woodruff moved, Turgeon seconded, Approving the City Council Regular Meeting Minutes of June 23, 2008, as presented. Motion passed 5/0. 3. CONSENT AGENDA Mayor Lizee reviewed the items on the Consent Agenda. Wellens moved, Woodruff seconded, Approving the Motions Contained on the Consent Agenda and Adopting the Resolutions Therein. A. Approval of the Verified Claims List In response to a question from Councilmember Turgeon, Director Burton explained check # 46839 for the League of Minnesota Cities was for the City's deductible portion of the charge for final resolution of the sump pump situation with Mr. Johnson. SIIOREWOOD CITY COUNCIL REGULAR MEETING MINUTES July 14, 2008 Page 2 of 13 B. 2008 Election Judge Salary (This was moved to Item 9.H under General/New Business.) C. Approving ORDINANCE NO. 451 "An Ordinance Amending Chapter 903 of the Shorewood City Code Relating to Water Conservation Measures" and ORDINANCE NO. 452 "An Ordinance Titled `License, Permit, Service Charges and Miscellaneous Fees"', and Adopting RESOLUTION NO. 08-054, "A Resolution Approving Publication of Ordinance NO's 451 and 452 by Title and Summary". Motion passed 5/0. 4. MATTERS FROM THE FLOOR There were no matters from the floor presented this evening. 5. REPORTS AND PRESENTATIONS None. 6. PUBLIC HEARING None. 7. PARKS A. Report on Park Commission Meeting Held July 8, 2008 Chair Davis stated on May 31, 2008, she, Councilmember Wellens, Commissioner Norman and Park Foundation Chair Dallman attended the Mutt Strut grand opening of the off-leash dog park at Lake Minnewashta Regional Park. The City was awarded a plaque of appreciation for its contribution to the dog park. A donation of $5,000 was made from the Park CIP and the Foundation matched that contribution. The dog park is unique because it has potable water for humans and dogs as well as water to rinse dogs off with. Davis reported on matters considered and actions taken at the July 8, 2008, Park Commission meeting (as detailed in the minutes of that meeting). She stated she and three other Park Commissioners had been documenting the condition of all parks and the improvements needed. The other Park Commissioners will have an opportunity to provide their input. She requested a joint meeting be scheduled with the Council where the Commission would give a presentation on the State of the Parks 2008. Because funding for the improvements will be an issue it is appropriate to start the dialogue with Council early on in budget discussions. There was agreement to schedule a joint meeting for 6: 15 P.M. August 12, 2008. B. Acceptance of Proposal for Badger Park Rink Lighting Engineer Landini explained that one of the wood light poles at the Badger Park rink had fallen down and all four lights at the rink are in need of repair or replacement. Council had been provided a quote from Musco Lighting to remove the existing poles and to install two 40-foot light-structures with extended bases. Six fixtures will illuminate the rink and two additional fixtures will illuminate the free skating SHOREWOOD C1T~' COIJNCII. REGITLAR 1;+ETING MINUTES July 14, 2008 Page 3 of 13 area. The proposed lighting system is the same as the one installed at the football field. The cost for this effort will be $38,492 (not including electrical). Councilmember Woodruff questioned if this was the best way to solve the problem; if Badger Park is to be reconfigured, installation of lighting may have to be redone. Mayor Lizee stated she and Park Chair Davis had discussed the possibility of reconfiguring Badger Park this past winter. If that was done she questioned if the City would be able to salvage the lighting, noting the new poles will have fixed bases. Engineer Landini stated the soil borings and the light fixtures could be salvaged. New bases will have to be installed. Acting Administrator Brown stated if the Park is reconfigured approximately 50% - 65% of lighting system could be reused. Park Chair Davis stated because there is so little land at Badger Park there is little that can be done to reconfigure it, unless the City tears down the City-owned house and keeps the land. The current wooden light poles are a safety hazard because of their condition. Councilmember Turgeon suggested a decision on this item be deferred until after the joint Council and Park Commission meeting is held on August 12`x'. After that meeting the Council and Commission should have a better understanding of the priorities for the parks. Engineer Landini explained there was a lead time of six weeks for the light fixtures. He anticipated footings could be installed in about six weeks and they would have to cure for about two weeks before the poles could be installed. Acting Administrator Brown stated the rink and football field at Badger Park are highly used. If there is any reconfiguration done it would be highly unlikely the football field or rink would be relocated. Engineer Landini stated if this contract were awarded the three standing light poles could be taken down as soon as possible to ensure they did not fall down during a storm. Chair Davis stated the Park Commission would like to replace the lights at the rink at Cathcart Park, but has delayed any request to do that because it is considering installing a warming house which would result in some reconfiguration at that park. She noted that one of the light poles at Manor Park is partially out of the ground and that needs to be fixed for safety reasons. Woodruff moved, Bailey seconded, accepting the proposal provided by Musco Lighting for the Badger Park rink lighting for an amount not to exceed $38,492. Motion passed 5/0. C. Acceptance of Proposal for Professional Geotechnical Services for Rink Lighting Engineer Landini explained a geotechnical analysis is required for light pole foundation design for future lights at Cathcart Park and Manor Park. Staff requested a quote from American Engineering and Testing, Inc. to do three geotechnical borings (two at Cathcart Park and one at Manor Park), to document ground water conditions and to provide calculations and recommendations on an acceptable foundation for each park. The quote received was for an amount of $4,400. SHO12EW001) CITY C®UNCII., I~EGZILAIZ Ii~IEE'I'ING MINI7'TES July 14, 2008 Page 4 of 13 In response to a question from Councilmember Woodruff, Park Chair Davis stated there were economies of scale to do the analysis for both parks at the same time as a great deal of the cost was for bringing the truck on site. She related Engineer Landini had stated the information about the ground at Cathcart Park would be of value when determining what to do with other structures. In response to a comment from Councilmember Turgeon, Engineer Landini explained the borings at Cathcart Park would be a representative sample of the ground condition if the lights were to be placed in a different location than currently proposed. Councilmember Turgeon questioned if the City of Chanhassen is willing to pay for some of the repairs and improvements at Cathcart Park being the park is located in Chanhassen. Engineer Landini stated there is a partnership agreement with Chanhassen which was enacted in 1983; the agreement specifies Chanhassen is responsible for the upkeep of anything that grows and Shorewood is responsible for capital improvements. Councilmember Woodruff stated he thought it would be worthwhile for the Park Commission and Staff to go before the City of Chanhassen to discuss how future maintenance, repairs and improvements to the Park should be funded. After ensuring discussion there was consensus to defer this item until the long-range plans for Cathcart Park were known, including Chanhassen's perspective on funding improvements. Chair Davis stated the light pole at Manor Park is partially out of the ground and that needed to be fixed for safety reasons. 8. PLANNING Commissioner Geng reported on matters considered and actions taken at the July 1, 2008, Planning Commission meeting (as detailed in the minutes of that meeting). A. Minnewashta School Traffic Management Plan Director Nielsen explained the June 9, 2008, City Council meeting packet contained a memorandum regarding Staff s initial comments about a proposed parking lot management plan for the Minnewashta Elementary Plan. The plan was a condition of the most recent Minnewashta Elementary School conditional use permit (C.U.P.). On the same day prior to the meeting the City was informed that the School District was able to acquire two properties adjacent to the west side of the Minnewashta Elementary School property which significantly increases the amount of available parking at the School. At that time the District submitted a new site plan including the two new parcels. There was consensus to continue this item to the July 14, 2008, City Council meeting to allow Staff to study the new site plan. Nielsen stated Staff met with representatives of the Minnetonka School District today to discuss the plan. Staff informed the District it needed to address revisions to the drainage plan for the site as well as screening and landscaping where the expanded parking lot can be seen from adjoining residential properties. He noted the School District closed on the two properties on June 13, 2008, and it will take possession of the properties on September 1, 2008. He stated the District has an aggressive goal to have the expanded parking lot completed in the fall of 2008. If the parking lot were not complete the parking management plan will have to be in effect on an interim basis. Nielsen explained the proposed parking lot expansion will require a revision to the District's C.U.P. If the application is received by August 5`'', a public hearing can be scheduled for the September 15`i' SHOREWOOD CITY C®UNCIL ItEGUI.AR MEETING MINUTES July 14, 2008 Page5of13 Planning Commission meeting and it can be placed on a September 22°d City Council regular meeting agenda. 9. GENERAL/NEW BUSINESS Mayor Lizee requested Item 9.E on the agenda be discussed after Item 9.B because Excelsior Fire District Chief Gerber was present. A. Accept Bids and Award Contract for City Hall Building Renovation Project Acting Administrator Brown stated on July 9, 2008, the bids were opened for the City Hall Renovation Project. Thirteen bids were received for the project, and the bid amounts ranged from $930,000 to $1,1.65,000. The low bid was submitted by Lund Martin Construction, Inc. Staff checked references for the contractor for several projects and received excellent responses; each respondent stated they would use the contractor again. Staff is impressed with the experience of this contractor and the types of projects it has performed. Brown explained the contract documents included two bid alternates for the project. The first bid alternate is an "add alternate" for skylights in the central office area. The low bidder has an add amount of $18,600 for this item. The second bid alternate is a "deduct" for an amount of $32,000; it is possible fire suppression pumps specified in the technical design will not be needed to properly supply the interior fire suppression system. The lack of need for the pumps will be confirmed once the suppression system design has been completed and construction is well under way. Brown stated Staff recommends the contract be awarded to Lund Martin Construction pending final review of the contract documents by Staff and the City Attorney. He requested Council specify if it wants add alternate one to be included in the contract. In response to a question from Councilmember Woodruff, Brian Lubben stated the bid includes a generator. Turgeon moved, Woodruff seconded, Adopting RESOLUTION NO. 08-055, "A Resolution Accepting Bids and Awarding Contract for City Hall Building Renovation Project, City Project No. 08-06" as amended to include bid alternate one for skylights in the central office area. Councilmember Wellens stated after the Southshore Center was built there were issues with water leakage and faulty wiring. He questioned if there was a warranty on the construction work to be done for this project. Attorney Keane stated the contract documents provide for a customary two-year warranty. Keane explained he has been reviewing the form of agreement that is to be used and he is in the process of strengthening some of the framework of the contract to better protect the City with regard to the contractor's performance. Motion passed 5.0. B. Approving Change Order #1 for City Hall Building Survey Services Acting Administrator Brown clarified this was not a change order. He explained during the final design phase for the City Hall Renovation Project it was determined survey field work was required to finalize the design. That survey work was outside of the original project scope. Staff obtained quotes for the sxoREwooD C1T~ CoUrrCIL REGULAR N1EETIN~ MINUTEs July 14, 2008 Page 6 of 13 survey work from two firms. The low quote was from Bonestroo Engineering for an amount of $2,000. To keep the project on schedule Staff had the survey field. work done. Woodruff moved, Turgeon seconded, authorizing the expenditure of funds in the amount of $2,000 from funds for the City Hall Renovation Project for survey field work provided by Bonestroo Engineering for the Project. Motion passed 5/0. Discussion moved to Item 9.E on the agenda. C. Accept Proposal for City Survey Services This was discussed after Item 9.E on the agenda. Acting Administrator Brown stated per the direction of Council, Staff sought out proposals from qualified firms for services to perform aCity-wide survey. Prior to soliciting proposals Staff asked other municipalities and the League of Minnesota Cities what firms were qualified to perform such services, and which of those firms provided great results and insight into the services provided by those cities. Without question or hesitation the answer always came back to Decision Resources, LTD. Staff also asked the question on the League's Administrator/Clerk's list serve and again every single response without exception returned with Decision Resources. Staff did seek out other firms to perform such services, but there weren't any firms that could provide clear answers about their approach to cost in a timely manner. Brown explained Decision Resources would consult with the Council, perform a 50-question survey and provide analysis for a fee of $12,000. Each additional question beyond 50 would cost an additional $135. He asked Council if a 50-question survey would be adequate. He noted the costs for these services were not budgeted for in the 2008 operating budget. Councilmember Bailey stated he reviewed the City's of Hopkins 2007 Quality of Life Survey which Decision Resources had performed. He questioned what he would do with the results of that survey. Mayor Lizee stated it would be Council's responsibility to guide Decision Resources on the types of questions it wanted to ask and the types of information it was seeking. Bailey recommended the survey be placed on hold until the new City Administrator was on site and had time to be involved with this effort. There was ensuing discussion regarding what the Council wanted from the survey, the length of the survey, the method for conducting the survey, the timing of the survey, etc. There was consensus to delay further discussion on the City-wide survey until after the new City Administrator was on site. D. Discussion regarding City Owned House at 5795 Country Club Road Acting Administrator Brown stated the tenant at the City-owned house located at 5795 Country Club Road had provided the property manager with a 60-day notice to vacate which is dated June 30, 2008. He explained the City purchased that property to provide options for consideration for the expansion or rebuilding of City Hall; as the design for the City Hall renovation has been approved, it may be an appropriate time to consider what to do with that property. sxoxEVVOO~ c1T~ couNCt~, la~GU1~AR N1EET1~tG N11rrtJT~s July 14, 2008 Page 7 of 13 Director Nielsen suggested the City use the house from September 2008 through February 2009 for office space during the renovation, noting the City would have to obtain a conditional use permit to use it for that purpose. He stated Staff had researched the use of trailers for temporary office space, and trailers cost approximately $5,000 each. He thought the house would be more ADA compliant than trailers, and there would be less security issues. He commented it was possible the renovation effort could be completed faster if all of employees were not working in the facility. Acting Administrator Brown stated staff has concerns about how it will operate during the renovation. The Southshore Center is available for Election Day use, but adequate space is not available for staff use during the construction period. He cautioned that the impact on the property should be minimized if it were to be used for office space. He recommended staff research the practicality of using the house for office space during the renovation; and staff talk with the renovation contractor and determine if there could be any savings realized if employees were not located in City Hall during the renovation. There was consensus to delay any decision on the future of the City-owned house and property until after the renovation was complete. Discussion moved to Item 9.F on the agenda. E. Accept Excelsior Fire District 2009 Budget This was discussed after Item 9.B on the agenda. Acting Administrator Brown explained at its June 26, 2008, special meeting the Excelsior Fire District (EFD) Governing Board unanimously recommended the proposed 2009 Operating Budget and the proposed 2009 - 2029 Capital Improvement Program (CIP) be forwarded to the member cities' councils for their review and approval. The proposed total budget for 2009 is $1,481,832 and it reflects a $9,961 (or 0.68%) increase over the adopted total budget for 2008. The proposed 2009 budget less the debt service payment is $922,832 and it reflects an increase of $43,434 over the adopted 2009 budget minus the debt service payment of $879,398. The City's total contribution for 2009 would be $575,445 and it reflects a $22,232 decrease over its 2008 contribution. He stated the EFD 2009 budget process was extremely thorough. Councilmember Wellens, the City's representative on the EFD Board, stated he endorsed the recommended budget. Councilmember Turgeon stated the EFD Joint Powers Agreement (JPA) requires four of the five member cites approve the CIP and three of the five cites approve the operating budget. Councilmember Woodruff thanked Councilmember Wellens for calculating the percent increase (which Wellens calculated to be 4.7%) of the proposed 2009 budget minus the debt service payment over the adopted 2008 budget minus the debt service payment. He stated Staff had been directed to prepare a 2009 operating budget with no increase over the adopted 2008 operating budget and to identify the critical items which could not be funded. He then stated he had a problem with the 4.7% increase which is 0.8% higher than the levy limit of 3.9%. Councilmember Turgeon stated the proposed 2009 operating budget reflects a 6% increase over the adopted 2008 operating budget, and the 2009 CIP amount was the same as the 2008 CIP amount. She noted the Board had moved some items (for an amount of $17,500) from the 2009 CIP to the 2009 sxolaEwoo~ c1T~ co~rNC1L RE~~L~IZ ~11;iJT1NC ~11~ruTEs July 14, 2008 Page 8 of 13 operating budget. She stated she had issue with the size of the operating budget increase. She then stated she would support an operating budget increase of 3.9%. Councilmember Bailey stated part of the reason there was no increase in the proposed 2009 CIP was because of transfers from the CIP to the operating budget. EFD Chief Gerber stated during the 2008 budget process the EFD Board and various member cities' councils (including the Shorewood Council) requested the operating budget and CIP be considered at the same time. The EFD accommodated that request during the 2009 budget process, noting the process started in December 2007. There was a joint meeting of the member cities' councils on June 11, 2008, to allow the member cities' councils the opportunity to express their concerns; from his vantage point those concerns were addressed in the budget forwarded to the councils. He stated the proposed 2009 operating budget reflects a 6% increase over 2008 and there is no increase in the 2009 CIP over the 2008 CIP. The 0% increase in the CIP was because the Board recommended transfers (totaling $17,500) from the CIP to the operating budget and items were cut from the CIP. In the past, the budget had always included the debt service payment; now there is a request to separate that from the budget. The budget reflects a reduction in the debt service payment in 2009 over 2008 of $33,473 as a result of the bond refinancing for the public safety facilities. The budget proposed is for what it will take to operate the District. The proposed 2009 budget (which includes the debt service payment) is $1,481,832 and it reflects a $9,961 (or 0.68%) increase over the adopted 2008 budget. Councilmember Turgeon stated if the preference is to consider the budget as a whole (the operating budget, the CIP and the debt service payment), she recommended the budget be approved as one budget either requiring three out of five or four out of five cities to approve it (which would require an amendment to the JPA). Director Burton stated the document provided showing the summary of percentage increase by City for the 2009 proposed budget indicates Shorewood's contribution will decrease by $22,232 (or 3.72%) over its 2008 contribution. She asked Chief Gerber to clarify how this information was calculated. Chief Gerber explained he prepared the document and the contribution percentages were determined based on the 2009 funding formula specified in the JPA. Gerber noted that starting in 2010 member cities' percent contributions will be entirely "ad valorem" (or tax capacity) .based. Councilmember Woodruff stated he did not view the use of the bond refinancing savings as a means to fund the EFD. He assumed the City could use its share of the savings for additional City projects. He was not willing to support spending those savings on the EFD. Councilmember Bailey stated the reduction in the debt service payment should not be considered as part of the budget increase. He noted Council had to vote on the CIP this evening. He stated the 4.7% increase in the operating budget and CIP (not including the debt service payment) and an increase in the South Lake Minnetonka Police Department budget in excess of the tax levy limit of 3.9% means there will have to be reductions in other areas in the City's budget in order to achieve the levy limit. He explained if the City's portion of the reduction in the debt service payment were not included in the City's $22,232 decrease in contribution in 2009, the City would still have a decrease in its contribution in 2009. In response to a question from Councilmember Woodruff, Chief Gerber stated he recommended the City vote on the budget this evening. SHOREWOOI~ CITY COUNCIL REGUL,AI2 MEETING MINUTES July 14, 2008 Page 9 of 13 Mayor Lizee stated it is prudent for Council to respect the recommendations of the EFD Board. She thought the recommended budget addressed the concerns expressed by the member cities' councils at the joint meeting of the councils. Councilmember Wellens stated a number of items were cut from the proposed 2009 budget (including the voluntary contribution to the Excelsior Firefighters Relief Association pension fund). He thought additional reductions to the budget would create problems for the EFD. Councilmember Bailey explained the City's portion of the total member cities' contribution is approximately 38.8%. The City's 2009 contribution reflects a $22,232 decrease over 2008. The total debt service payment in 2009 reflects a $33,473 decrease over the 2008 payment. For purposes of discussion, if 38.8% was used to determine the City's portion of the savings the City's portion would be $12,988. If that savings of $12,988 were backed out of the $22,232 reduction in contribution the City would still have a contribution reduction of approximately $9,244 in 2009. He questioned if the some Councilmembers were opposed to the proposed budget based on principal. Councilmember Woodruff questioned what action other member cities' councils had taken with regard to the budget. Chief Gerber stated if that question was relevant to the Council, it was his understanding the Deephaven and Tonka Bay councils had unanimously approved both the operating budget and CIP, the Excelsior council will consider them at its meeting next week, and the Greenwood council will consider them at its August meeting. Wellens moved, Turgeon seconded, approving the recommended 2009 - 2029 Excelsior Fire District Capital Improvement Program dated June 27, 2008. Motion passed 5/0. Wellens moved, Bailey seconded, approving the recommended 2009 Excelsior Fire District Operating Budget dated June 27, 2008. Motion passed 3/2, with Turgeon and Woodruff dissenting. Mayor Lizee thanked Chief Gerber for attending the meeting. Discussion returned to Item 9.C on the agenda. F. Accept Proposal for Owners Representative for City Hall Building This was discussed after Item 9.D on the agenda. Acting Administrator Brown stated on July 9, 2008, the City received proposals in response to a request for proposals published for firms interested in serving as an Owner's Representative for the City Hall Renovation Project. Of the six firms contacted, three submitted proposals. The firms and their proposed fees are as follows: CPMI ($52,550); Constructive Ideas ($59,550) and Yanik Companies ($70,000). All three firms appear to be qualified to perform the work requested, and staff has checked the references provided by each firm. He explained when compared to the current bid amount of $930,000 for the renovation CPMI's proposed fee equates to 5.65% of the total construction cost. Brown then stated Staff recommends CMPI be awarded the contract to serve as the Owner's Representative for the City Hall Renovation Project. Brown explained the proposal from Constructive Ideas contained a lump sum billing option (a fixed bid) with a guaranteed not to exceed amount of $47,500 plus expenses (which are estimated to be less than SHOREWO®D CITY C®Ul\TCII,I2EGULAR li'IEETII~IG MINUTES July 14, 2008 Page 10 of 13 $5,000). There would be an initial billing of $7,500 to pay for the cost of additional insurance to provide insurance limits in the amounts required. The remaining amount would be billed monthly at a rate of $4,705.88. Its hourly billing option with anot-to-exceed fee is $59,550 plus expenses. The proposal states the costs are based on project time averaging 12 hours per week, and the hourly billing rates are $I50 for the project principal and $75 per hour for the administrative support person. Brown then explained the CPMI proposal indicates there would be five different personnel resources involved with the project. The hourly rates are $110 for the principal in charge, $90 for the senior owner's representative, $65 for the assistant owner's representative, $1 IO for the chief cost manager and $50 for clerical/accounting support staff. The majority of the time spent on the project will be spent by the assistant owner's representative (600 hours are budgeted for this position). The City would get a significantly more involvement from CPMI personnel (a minimum of 20 hours per week for key personnel) than it would from Constructive Ideas personnel. Brown stated that although both CPMI and Constructive Ideas had strong references, he recommended CMPI be awarded the contract based on its experiences and the involvement of its personnel. Mayor Lizee stated she was impressed with the CPMI proposal. She stated the $5,000 reimbursable expenses for Constructive Ideas would increase its fixed cost to approximately that of CMPI. Councilmember Woodruff stated the City had received proposals from three good firms. He explained he had called the President of Constructive Ideas to get clarification on the pricing in that firms proposal. He stated the RFP specified insurance requirements that were not customary for this type of effort. The fixed bid of $47,500 includes the cost for additional insurance in an amount of $7,500. If the company's insurance is adequate (which he thinks it is), the fixed cost for the project will be reduced to $40,000. He was also told the expenses would likely be around $2,400. He stated it was prudent for Council to weigh a fixed cost of $40,000 plus expenses against CPMI's bid of $52,500 (including expenses) which is not fixed. Mayor Lizee expressed concern with Councilmember Woodruff calling Constructive Ideas about the bid received and having the company President explain they could do the job for less. She stated Council was considering the bids submitted; it was not considering after the fact discussions about price. She stated this item could be deferred to a future meeting. Councilmember Woodruff requested staff ask CPMI for anot-to-exceed cost and clarify what the City's actual insurance requirements are (i.e., were the requirements specified in the bid necessary). He stated the two firms should be asked to clarify their bids based on those two questions. Councilmember Wellens stated in order for Constructive Ideas to make money on their fixed bid they will not want to spend any more time on the project than absolutely necessary. Councilmember Woodruff stated he checked three of Constructive Ideas references anal he received extremely good references. In response to a question from Councilmember Bailey, Acting Administrator Brown explained the fixed fee implies there are a fixed number of hours that will be devoted to the project. CPMI's proposal indicates there will be substantially more resources devoted to the project than Constructive Ideas based on an hours-to-hours comparison. If Constructive Ideas uses up the hours allocated to the project before SHOREWOOD CITE' C®UNCIL REGULAR MEETING MINUTES July 14, 2008 Page 11 of 13 it's done, the company would very likely come back to the City and tell the City the scope changed. Each firm's proposal states the proposals are based on the project scope they bid on. Councilmember Woodruff stated if the project takes longer than specified all three firms would request more money from the City. He then stated from his vantage point the City did not have all the necessary facts from the firms. He believed there was a question about whether Constructive Ideas budgeted enough hours for the job. Acting Administrator Brown stated he did not think an average of twelve hours per week (including administrative support services) was sufficient to get the job done. CPMI would have substantially more personnel and hours allocated to the project. He explained the original RFP did contain language about insurance requirements for a construction manager versus an owner's representative, but an official addendum was issued to the RFP clarifying that, and Constructive Ideas did not respond to that addendum. CPMI did not have an issue with the insurance requirements. Councilmember Wellens clarified all three firms would have to be given a second opportunity to respond to the RFP. G. Investment Policy Director Burton stated at its June 23, 2008, regular meeting Council suggested certain comments and changes be made to the City's revised investment policy. The revision distributed in the meeting packet included those items. She reviewed the changes that were made. The highlights are as follows: commercial paper was added to the list of authorized and suitable investments; the list of authorized and suitable investments was modified and clarified; the reference to long-term investments was revised regarding length of maturity; and investment reporting requirements were changed to quarterly. She explained Council had been provided another revision this evening depicting two additional changes recommended. The changes were: in item 4 under authorized and suitable investments, the words "or local government" were deleted; and under diversification, the words "with rating of A1P1 or better" were deleted. Councilmember Bailey stated he had spoken with Director Burton and recommended she work with staff to prepare an expenditure forecast for the various funds in five year increments to help in managing long- term investments. He stated he would support approving the revised investment policy this evening. Woodruff moved, Turgeon seconded, adopting the City of Shorewood's revised investment policy. Motion passed 5/0. H. 2008 Election Judge Salary This item was removed from the consent agenda at Councilmember Woodruff's request. Councilmember Woodruff questioned if the proposed wage of $5.50 for the student judge satisfied minimum wage requirements. Acting Administrator Brown stated Staff was researching that. Woodruff moved, Wellens seconded Adopting RESOLUTION NO. 08-053, "A Resolution Approving Election Judge Compensation Rates" subject to confirmation that the student judge $5.50 hourly rate satisfies minimum wage requirements. Motion passed 5/0. SHOREWOOD CITI' COUNCIL REGULAR MEETING MINUTES July 14, 2008 Page 12 of 13 10. ENGINEERING/PUBLIC WORKS None. 11. STAFF AND COUNCIL REPORTS A. Administrator & Staff 1. July 10, 2008 Storm Update Acting Administrator Brown explained there were 42 areas in the City which Public Works responded to that had trees and/or power lines down because of the July 10`i' storm. Public Works then had to stabilize utilities affected by the storm and that took well into the afternoon of July 12`''. There were no long-term effects to the City as a result of the storm. Councilmember Woodruff asked Staff to contract Xcei Energy to determine what its policy was with regard to trimming trees over power lines. Acting Administrator Brown stated he had been in contact with Xcel Energy and they would get back to him. Woodruff stated his house was without power for approximately 24 hours and then again for another three hours during the time period from July 10`x' to July 11`l'. Tree limbs over power lines caused problems on Enchanted and Shady Islands. Council complimented City staff for its efforts during and after the storm. In response to a question from Councilmember Wellens, Acting Administrator Brown stated the new generator at City Hall will not be portable. It will be single phased electricity. 2. Amesbury Well Update Acting Administrator Brown explained on June 23`d one of the three legs of power from Xcel Energy to Amesbury Well was lost and at that time there was thought it likely caused damage to the well. Staff asked a contract to check the well motor and it is fine. He noted after the Xcel Energy electrical engineer went to the well with the contractor to check the well, Xcel Energy decided it would fund changing the power source and transformer outside of the well to 480 volts from 240 volts which will result in a savings to the City. That proposed change will require a change order to the design for the well controls. B. Mayor & City Council Councilmember Wellens stated at its July 1, 2008, meeting the Planning Commission discussed the need for senior housing which could require a change to the City's zoning regulations. He recommended Council discuss whether that is appropriate before the Planning Commission discusses it any further. Councilmember Bailey stated he thought it was appropriate for the Planning Commission to discuss the topic or other topics it thought prudent even though it had not been given specific direction by Council. Park Chair Davis recommended Council create a vision for the City; that vision should not be the responsibility of the Planning Commission. She commented the firm she works for helps cities create their vision. SHOREWOOD CITY C®UNCIL REGULAR 1VIEETING 1dIINUTES July 14, 2008 Page 13 of 13 Councilmember Turgeon stated the maximum density the Code allows is ten units per acre, and it does not allow for any residential development in a commercial zone. She thought the Planning Commission was trying to be proactive in discussing this topic. Councilmember Woodruff stated part of the Planning Commission's charter is to recommend updates to the Comprehensive Plan. He thought the Park Commission could provide input regarding the future needs for the City's parks. Councilmember Wellens stated he thought any zoning change being considered should be discussed by the Council prior to it being considered by the Planning Commission. Director Nielsen stated the Council has to approve any change to the City Code. Mayor Lizee stated the annual Excelsior Firefighters Relief Association funding raising dance is scheduled for Friday, July 18`x' from 5:00 P.M. - 12: 00 P.M. 12. ADJOURN Wellens moved, Woodruff seconded, Adjourning the City Council Regular Meeting of July 14, 2008, at 9:08 P.M. Motion passed 5/0. RESPECTFULLY SUBMITTED, Christine Freeman, Recorder ,~ ATTEST: Christine Lizee, Mayor A. Brown, Acting City Administrator/Clerk