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SPECIAL MEETING OF THE PEQUOT LAKES CITY COUIVCIL <br /> TUESDAY, AUGUST 15, 2017 I <br /> PEQUOT LAKES CITY HALL 'I <br /> Members Present: Mayor Adams, Council Members Akerson, Loukota, <br /> Pederson, and Swanson <br /> Staff Present: Nancy Malecha, City Administrator/Clerk; Deb Marty, Deputy I <br /> City Clerk; Dawn Bittner, Zoning Specialist; Mike Loven, � <br /> Public Works Supervisor; and Tom Nelson, Fire Chief <br /> 1. Call Meeting to Order <br /> Mayor Adams called the meeting of the Pequot Lakes City Council to <br /> order at 6:00 p.m. <br /> 1.1. Pledge of Alle ia ance <br /> Mayor Adams led with the Pledge of Allegiance. <br /> 2. Consider AQenda <br /> COUNCIL MEMBER AKERSON MOVED TO APPROVE THE AGENDA. <br /> COUNCIL MEMBER LOUKOTA SECONDED THE MOTION. MOTION <br /> CARRIED 5-0. <br /> 3. 2018 Preliminarv Budqet Review <br /> Nancy Malecha informed the Council that the tax levy fund budgets project <br /> a preliminary tax levy of$1,688,705 which is an increase of$91,475 or <br /> 5.73% from 2017. She reviewed the five year history of levy increases <br /> and budget line item increases over$2,500. Ms. Malecha noted that <br /> estimated calculations show a tax rate increase of 1.592% which is higher <br /> than the 1% directive given at the April City Council meeting. The road <br /> turn back costs are a major factor in the budget increase. <br /> Ms. Malecha explained that a change in the health insurance budget <br /> amounts will be warranted as she projected a 5% increase and was <br /> recently informed that the rates will increase by 8.92% which will add an <br /> additional $4,600 to the budget. She noted that if the City can reduce the <br /> number of plans to one a 2% premium savings can be achieved. <br /> Council Member Akerson inquired whether the increase in the health <br /> insurance rates could be worked into employee raises. Ms. Malecha <br /> explained this would re-open contract negotiations with union employees. <br />