Agenda

Tim Hennen moved and Humbert seconded a motion approving the meeting agenda. Discussion offered. Motion carried 4-0.

Approval of the Minutes

Humbert moved and Tim Hennen seconded a motion approving the meeting minutes for February 28, 2007. Discussion offered. Motion carried 4-0.

New Business

2006 Audited Financial Statements Presentation and Approval - Steve McDonald of Abdo, Eick, and Meyers

Steve McDonald gave a review of the audited financial statements. He also noted that a separate single audit was completed because of federal regulations receiving more than $500,000 in grants. McDonald noted the role that the independent audit plays in that they are outside financial entity that evaluates the accuracy of information and adherence to standard accounting policies. He further noted that no journal entries were made in the audit which is unique for a city of any size and nearly unheard considering the City's size and activities. He said that the audit and the bottom-line budget were accurate; all have positive cash balance and are tracking fine for the necessary cash balances recommended by the Office of State Auditor. He further reviewed in detail the management letter which is on file for review.

Other items that McDonald noted, but were not material weaknesses, were as follows:

  • creation of an investment policy (but noted an increase in investment review in the past year)
  • segregation of duties regarding utility billing (which Hetland stated was already being worked on between the Administrative Assistant and the Public Works Director)
  • checking all invoices to ensure that the appropriate sales tax is paid
  • ensuring that clothing allowances have the proper accompanying W-2 information

Hetland stated that all of the items would be addressed and rectified as soon as possible in 2007.

McDonald stated that he witnessed good responsiveness to questions from City staff during the audit field work process.In conclusion, McDonald gave a healthy and favorable review of the cities accounting standards, practices, and financial status.

Humbert moved and Tim Hennen seconded a motion approving the 2006 audited financial statements and management letter as presented. Discussion offered. Motion carried 4-0.

Open Public Forum

Rodney Atkinson requested that the City erect signs along 7th Street SW and Industrial Drive marking those roads as 10 ton roads per MnDOT rules and regulations. Hetland responded that he will check into the regulation and report at the next meeting.

Hetland reported on the results of a meeting with Fritz Hoeschen regarding the City's Municipal Property Schedule. Hetland was asked to contact Hoeschen about the possibility of a higher deductible upwards to $15,000 and whether the coverage amounts can overflow into other areas if they are found in a claim request to be inadequate.Of special concern, was the under allowance of the Main Street shelter which was built for $42,500 yet only insured for $23,400. Also of concern was the seemingly over-coverage of the replacement costs of the liftstations when no conceivable catastrophic damage which necessitated total replacement would be needed. Fundamentally, Hetland was asked to research whether cities are allowed to hold insurance bonds to cover replacement of all items rather than limited to annual itemization lists.

Hetland brought to Council's attention that he understood that Beutz' Radiator Service may have been sold. Council requested that Hetland contact City Prosecuting Attorney Bob Pottratz how such a sale would affect the nuisance ruling and sentencing on the property. Hetland also stated that May is being planned for a spring clean up city-wide and that he was working with staff to communicate and assist in the implementation of the program which would look primarily at tall grass, chipped paint, and general nuisance or unsightly conditions.

Hetland recommended setting a hearing date regarding amending the parking code to include parking lots in the general rule that vehicles must be moved every 24 hours. The current rules only apply to alleys and streets and the winter parking rules would allow a person to park in the east end of the Municipal Parking Lot during the entire period without moving the vehicle, which does not seem in line with the intention of the regulation. Humbert moved and Balderston seconded a motion to hold a public hearing on March 28 at 7:30 P.M., or as soon after as it can be heard, to discuss the amendment to Freeport City Code 1310.07. Discussion offered. Motion carried 4-0.

City Engineer, Jim Schulz, SEH

There was a extensive follow-up discussion on the 12 change orders as presented at the last meeting, especially regarding Change Order No. 5 pertaining to the lowering of valve boxes south of 7th Street SW to accommodate farming in the right-of-way. The issue was the authority that SEH as the engineer allowed the plan change to occur and what would have occurred if the issue would have been addressed to Council at the time. Tim Hennen moved and Balderston seconded a motion to share half of the cost of Change Order No. 5 and approve the remaining Change Orders 1 through 4 and 6 through 12. Further discussion offered. Motion carried 4-0. Hetland distributed a current cost and estimate on the engineering fees pertaining to the Industrial Park project.

Schulz mentioned that the storm water ponds in the Industrial Park are working with the spring run off as engineered. He also noted that the contracted storm water management project between Millwood Metalworks and the Middendorf farm site is being planned for this summer with Dave Gerads Construction as the contractor at an estimated amount of $24,000.

Council discussion led to a recommendation to Schulz to investigate the costs of tarring the approaches along 7th Street SW. Schulz stated that he would bring estimates at the next meeting.

Public Works Director, Joel Dasher

Dasher presented a written report at the meeting that is on file for review.

Dasher mentioned that the County gave permission to hang the flow meterpole along County Road 157 on the east end of the City.

Humbert moved and Balderston seconded a motion to approve the installation of the electrical lines with Xcel Energy for power into the Industrial Park in the amount of $13,045.63 and $10,675.00 for the security system upgrade (paid by the accumulation of the monthly water security fee collected since 2003). Discussion offered. Motion carried 4-0.

Council also discussed the snow removal along Main Street East near 3rd Avenue NE. Council requested Dasher to contact the County Highway Department to ask if they can plow closer to the curb considering it is their jurisdiction and frequency of passes through the section of road during snow events.

Dasher also noted that a few drains were unthawed, but no more than typically frozen on an annual basis.

City Clerk/Treasurer's Report, Paul Hetland

Hetland presented a written report that is on file for review.

Hetland gave a report of the meeting with Sheriff John Sanner and Mayor Worms the day prior. Sanner had noted that the contract fee remains at $40 per hour and does not cover the actual cost of law enforcement. Sanner also noted that he encourages community policing with his officers in that they get out of their vehicles and become better acquainted with the community. Sanner further noted that contracting with other cities can at times cause unexpected rivalries such as the case between the cities of Brooten and Belgrade. Sanner did not push a contract option for Freeport stating that it needs to be community decision because the best law enforcement strategy for any area must involve the public as participants. Sanner also encouraged the public to contact his office at any time on any uncomfortable situation leaning on the side of caution. Worms stated that the 2006 budget allowance of $6000 is not much when weighed against the cost per household for service. Worms also reiterated Sanner's comments that law enforcement is a major issue to many young families in communities and he is told that it is often one of the major determining factors on when young families choose to live. Hetland was asked to look into the process and costs regarding community watch or citizens on patrol programs. Humbert also mentioned that education on methamphetamine abuse would be helpful for public officials and the public and staff should look at contacting the Sheriff on training opportunities. Worms mentioned that Sanner ordered the County speed wagon to be positioned in the City per Worms' and Hetland's request.

Hetland distributed a notice from the Kings Lake Association regarding an upcoming meeting regarding the lake's management of Curly Leaf Pond Weed.

Hetland also distributed a copy of the redrafted Freeport Area Fire Service Agreement for Council review.

Consent Agenda

Balderston moved and Humbert seconded a motion approving the Consent Agenda which included the following:

  • Claims in the amount of $24,175.56
  • Authorize the payment of two previous withheld checks from SEH from the last meeting in the amount of $269.89 and $4,694.61

The payment to Beuckers Recycling was withheld because the City Engineer at the meeting brought it to the attention of the City Clerk that Annandale Contracting may have already paid the amount. Motion carried 4-0.

At 10:20 P.M. Humbert moved and Tim Hennen seconded a motion to adjourn the meeting. Motion carried 4-0.