City of Jeffers - City Council Meeting

2010-04-12

The Jeffers City Council met in REGULAR session on April 12, 2010 at 7:00 PM at City Hall. Present: Mayor Brad Prins; Council members: Roberta Duroe, Shawna Dorr-Jones, Curt Determan; Lance Holmen, Maintenance; Sharen Goeman, Clerk. Absent: Curt Johnson

Mayor Prins called the meeting to order at 7:00 p.m. Minutes of the March 22, 2010 meeting were approved as read.
Visitors: Craig Mueller - Wenck, Todd Hagen - Ehlers

Craig Mueller presented the findings from the bid opening that took place on April 8, 2010. A total of 14 bids were received. The lowest three bids were as follows:

1. Svoboda Excavating – $315,210.00
2. Johnson Excavation - $325,327.00
3. Heselton Construction - $329,251.06

On Friday, April 9th, Wenck received a letter from Johnson Excavation protesting the low bid as an irregular bid proposal.
Mueller explained that he had spoke with the city attorney, Dan McDonald, and cited that irregular proposals may be rejected, if any unit prices are obviously unbalanced, either in excess of or below the reasonable cost analysis values. Mueller reported the city has three options:

1. Reject all bids, call for new bids.
2. Award the bid to Svoboda contingent on them signing an agreement to change it to plan quantities, MPCA approval, and grievance issue.
3. Award bid to the 2nd lowest bidder.

Mueller recommended that the city award to the lowest bidder or reject all bids.

Motion Prins, second Dorr-ones, unanimous vote to award Base Bid #1 to Svoboda Excavating, contingent upon MPCA approval, pending grievance by Johnson Excavation, Svoboda signs a change order for plan quantities. The lone bid for water tower painting came from Macguire Iron - $28,880.

Motion Determan, second Duroe, unanimous vote to award Base Bid #2 to Macguire Iron at $28,880.
The clerk presented Resolution No. 2010-04 A resolution awarding the contract for the project entitled “2010 Pond Improvement Project with Water Tower alternate.

Motion Dorr-Jones, second Duroe, unanimous vote. Todd Ehlers presented the Pre-Sale Report for $455,000 General Obligation Temporary Improvement Bonds, Series 2010A.

Todd explained that the bonds carry a three-year term and will be subject to prepayment at the discretion of the City at any time on or after June 1, 2011. In order to obtain the lowest interest cost to the City, Ehlers will solicit competitive bids to purchase the Bonds from local banks in the area and regional underwriters.

The day of sale will be May 10, 2010. At that time the City Council will award the sale of the bonds. The money will be available in June. Resolution No. 2010-05, Resolution Providing for the Sale of $455,000 General Obligation Temporary Improvement Bonds, Series 2010A introduced by Determan, second Dorr-Jones, unanimous vote.

Resolution No. 2010-06 authorizing the Issuance and Sale of a $329,687 General Obligation Improvement Note, Series 2010 and providing for its payment was introduced by Duroe, second Dorr-Jones, unanimous vote.

The Minnesota Public Facilities Authority General Obligation Bond Purchase and Project Loan Agreement was also reviewed and signed by the Mayor and Clerk.

A building permit for Bruce Sevick to build a fence and add a lean-to on his garage was reviewed.

Motion Duroe, second Determan, unanimous vote to approve the building permit contingent on the construction meeting all setbacks and approval from the Zoning Administrator. If the requirements aren’t met, the permit will need to be amended or a variance obtained from Sevciks’ neighbors.

The Clean-Up day was discussed. The council determined that no carpet, tires, hazardous waste or large quantities of demolition materials will be accepted. Unreasonably large piles will be charged extra. The $20 fee should be paid by May 6, 2010 if any resident wants to schedule a stop.

Unpaid and delinquent water balances were discussed. Motion Dorr-Jones, second Prins, unanimous vote to raise the reconnection fee to $40.00 and the water, garbage and sewer deposit to $150.

The clerk will send letters to any resident with a balance on their WGS account. If not paid by April 26, 2010 their water will be shut off at noon.

Lance reported that it would be a violation of the safe drinking water act to hook Bill Michel up to the untreated water. Lance spoke with Michel regarding this.

Bonnie Lewis’ dangerous dog permit fee is due.

Lance will be installing the County Shop water hookup this week.

Determan reported that some poles are snapped off at the ball field. Lance will check in to this.

The clerk reported that the Minnesota Municipal Clerks Institute is being held July 12-16, 2010 and she would like to attend. The cost is $400. The council agreed.

Motion Dorr-Jones, second Duroe, unanimous vote to approve the financial report and pay all bills.

Motion Duroe, second Determan, unanimous vote to adjourn the meeting at 10:07 p.m. having no further business.