08-20-2019 Special City Council Meeting Minutes

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Special City Council Minutes August 20, 2019 Page 3 of 5 ----------------------------- Nancy presented City's Capital Improvement Plan which is more detailed that the plan Mr. Murray presented. It also includes everything from Mr. Murray's plan and the assets in the Capital Outlay budgets. Ms. Malecha said it is a ten year plan and is updated every year around budget time. 5. Water&Wastewater Operations Services Aqreement Nancy Malecha stated that the Agreement from the Pine River Area Sanitary District is included in the packet for the years 2020-2024. She said the current agreement with them expires on October 31, 2019 however if the new agreement is signed they will allow the active agreement to go through the end of 2019. Currently the agreement the City has with them is $4,000 per month; the new agreement amount is $7,052 per month. Ms. Malecha stated that there is a letter included in the packet from Andy Schwartz who is the Operations Manager for the Pine River Area Sanitary District that explains the duties and responsibilities that they do for the City. Jason Gorr stated that his experience with the Pine River Area Sanitary District has been fabulous and that they do a lot for the City. He said he was surprised with how little the cost was when he started working for the City and he does not believe the new rate is a very high rate. Mr. Gorr stated that it is a significant increase but he does not believe the City would be able to take those duties on themselves. He stated that Mr. Schwartz explained to him that they are doing a lot of duties that are not in the current agreement and they were not being compensated for that over the years. Discussion ensued to whether there were any other service providers and Mr. Gorr stated that we would not receive the same quality and efficient services that we are currently receiving. He stated that he did not see it being any cheaper if the City hired workers for the job. Discussion ensued about the price not being fixed and that it is adjusted yearly based on the Consumer Price Index. Mr. Gorr and Ms. Malecha pointed out that the agreement can be terminated with a certain number of days of notice so the City is not stuck in the agreement. Discussion ensued about sharing a worker and equipment with other cities, legal issues relating to sharing, costs of hiring employees and the difficulties in finding skilled workers in this field. COUNCIL MEMBER SWANSON MOVED TO APPROVE THE AGREEMENT FOR WATER AND WASTEWATER OPERATION SERVICES WITH THE PINE RIVER AREA SANITARY DISTRICT FOR 2020-2024 IN THE AMOUNT OF �7,052 PER MONTH WITH FUTURE INCREASES AS DEFINED IN THE AGREEMENT. COUNCIL MEMBER AKERSON SECONDED THE MOTION. MOTION CARRIED 5-0. 6. Trailside Park Proiect Financial Update