09-23-19 CC WS MinutesCITY OF SHOREWOOD 5755 COUNTRY CLUB ROAD
CITY COUNCIL WORK SESSION MEETING COUNCIL CHAMBERS
MONDAY, SEPTEMBER 23, 2019 6:00 P.M.
MINUTES
1. CONVENE CITY COUNCIL WORK SESSION MEETING
Mayor Zerby called the meeting to order at 6:12 P.M.
A. Roll Call
Present. Mayor Zerby; Councilmembers Johnson (arrived at 6:12), Labadie, and Sundberg
(arrived at 6:28); City Administrator Lerud; City Clerk Thone; Finance Director
Rigdon; Planning Director Darling; Director of Public Works Brown; and, City
Engineer Fauske
Absent: Councilmember Siakel
B. Review Agenda
Labadie moved, Johnson seconded, approving the agenda as presented. Motion passed
5/0.
2. CAPITAL IMPROVEMENT PLAN (CIP)
Councilmember Labadie asked about moving money from the Equipment Replacement Fund and
whether moving this money annually could make that fund not sufficient for its purposes. Finance
Director Rigdon stated that staff feels very comfortable moving that money annually but noted
that the Council can decide to reverse the decision at any time. Public Works Director Brown
stated that he thinks the City has done a good job of managing their equipment and supports this
fund transfer.
Mayor Zerby asked if there would be any more park dedication fees coming from the Minnetonka
Country Club property and development. Planning Director Darling stated that those fees were
all paid with the plat and no additional funds would be coming to the City.
Councilmember Labadie asked what the plan is for the old skate park, since the Parks
Commission had prioritized the items that were previously listed. Planning Director Darling stated
that there is an agenda item on the regular Council meeting for later today for the Council to
discuss whether the City should keep the land or sell it. Councilmember Labadie asked if that
decision would have bearing on the CIP. Planning Director Darling stated that she feels it does
because if the land is sold, one - hundred and fifty thousand dollars can be removed from the CIP.
Finance Director Rigdon reviewed the Equipment Replacement Fund plan.
Mayor Zerby asked if the City was still replacing radios. Public Works Director Brown stated that
they are not currently replacing radios because there are some political things going on with
Hennepin County, however, he would like to keep the placeholders in for when the situation
CITY OF SHOREWOOD WORK SESSION COUNCIL MEETING MINUTES
SEPTEMBER 23, 2019
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resolves itself. Mayor Zerby asked if the City still needed these radios because everyone has
access to a cell phone. Public Works Director Brown explained that during storms many times
cell towers go down, which means no service or the system can be easily overloaded.
Councilmember Johnson asked about the computer server versus the annual computer upgrades.
Public Works Director Brown stated that there are currently two servers in house and they have
been considering moving to totally cloud based system since there is now sufficient bandwidth.
Finance Director Rigdon gave an overview of the Street Reconstruction Fund.
Mayor Zerby asked about the Bituminous Maintenance Fund. Public Works Director Brown stated
that sealcoating has not been giving the City the results it would like to see on the roadways, so
they are looking at investing money where it will be more effective. He stated that these dollars
have been reallocated into primarily overlay projects but noted that they are labeling this area
maintenance to allow them the freedom to either do overlays or sealcoating.
Finance Director Rigdon stated that a big question is how this program can be paid for. He
reminded the Council that there is a plan going forward promoting a bonding program to be able
to spread out the payments over a period of years. He noted that Utility Funds may need to be
included in the bonding.
Mayor Zerby asked what amount he was projecting for bonds. Finance Director Rigdon stated
that the bonds would be roughly four million dollars. Public Works Director Brown stated that they
have tried to have each Enterprise Fund carry its own weight. City Administrator Lerud stated
that the goal with the bonding program is that in addition to completing the work in the CIP
schedule it would also build up sufficient revenue underneath that will allow the City to basically
have cash moving forward which is an ideal situation to be in.
Councilmember Johnson stated that with the trend of lower interest rates, he would support
another work session with David Drown and Associates to see if they have any other ideas. City
Administrator Lerud explained that there will be another CIP work session before the end of the
year. He noted that the information presented tonight is essentially the worst -case scenario for
the CIP.
Finance Director Rigdon gave a brief overview of the Trails and Utilities Funds. He noted that
one other item is that there is a possibility that the Public Works facility roof may need to be
replaced.
Public Works Director Brown stated that there is a slim possibility that the roof may need to be
replaced this year depending on the bidding climate. He stated that it is shown as a 2020 project,
but the funds are there if the bidding climate is favorable yet this year. He stated that they are
also anxiously awaiting the results of the Barr Engineering report on the western portion of the
City because that will have an impact on the CIP.
Mayor Zerby thanked staff for the time and effort that they have put into the CIP process.
3. ADJOURN
Sundberg moved, Johnson seconded, Adjourning the City Council Work Session Meeting
of September 23, 2019, at 6:45 P.M. Motion passed 4/0.
CITY OF SHOREWOOD WORK SESSION COUNCIL MEETING MINUTES
SEPTEMBER 23, 2019
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ATTEST:
S erby, M or
Sandie Thone, City Clerk