The City Council of Pelican Rapids met in regular session at 4:30 p.m., on Tuesday, February 8, 2022 in Council Chambers, City Hall.

Mayor Frazier called the meeting to order at 4:30 p.m.

Clerk-Treasurer Danielle Harthun took roll call.

Mayor Brent E. Frazier and four members of the Council were present at roll call: Council Member Steve Strand​​; Council Member Curt Markgraf; Council Member Kevin Ballard; ​​Council Member Steve Foster.

Other city staff present: Administrator Lance Roisum, Clerk-Treasurer Danielle Harthun, Superintendent Brian Olson

General Attendance: Todd Quaintance, Tom Pace, Judy Tabbut and Lou Hoglund from the Pelican Press were present.

 The Mayor welcomed everyone to the Council Meeting and announced upcoming events.

 All present stood and said the Pledge of Allegiance.

 Motion by Foster, seconded by Strand to approve the agenda with the addition of No. 22 Swimming Pool Pay Request and the deletion of No. 8 The Youths. Motion passed unanimously.

 Motion by Markgraf, seconded by Ballard to approve the consent agenda.

a) Approval of Council Minutes – November 28, 2023

b) Approval of Accounts Payable Listings

c) Staff Reports

1. Financial Report

2. Police Report

Motion passed unanimously.

 Todd Quaintance, incoming Police Chief, introduced himself to Council. He will start January 8, 2024. He asked on behalf of the City of Battle Lake if he could continue to be the Chief Law Enforcement Officer until Battle Lake is able to hire a chief. It would be a couple hours a week at the most. Council had no objections.

 Superintendent Brian Olson presented his report to Council.  Sweeper put away. Worked on office remodel for Clerk. Skating rink is still planned for this year. Motion by Strand, seconded by Ballard to approve the street and parks report. Motion passed unanimously. 

Council considered Hammers Construction Inc. Pay Request No. 5 for $442,840.73 for the Pelican Rapids Aquatic Center. (PRAC) Motion by Foster, seconded by Strand​ to approve Pay Request No. 5 for $442,840.73 for Hammers Construction. Motion passed unanimously.

 Tom Pace, MnDOT, presented the State of Minnesota Department of Transportation and City of Pelican Rapids and Otter Tail County Cooperative Construction Agreement. The project will go out for bids in January 2024. The City’s estimated obligation is $7,220,378.64. The City has to pay MnDOT up front for their costs so City staff began the process for interim financing, Motion by Foster, seconded by Markgraf to introduce Resolution 2023-44 entitled RESOLUTION 2023-44 – AUTHORIZING THE MAYOR AND CLERK-TREASURER EXECUTE THE AGREEMENT. (A complete text of this resolution is part of permanent public record in the City Clerk’s office.) Motion passed and resolution declared duly adopted.

 Library Board Member David Gottenborg’s term will be up at the end of this year. So far, only one person has approached the Mayor about the open Library Board position. Both Council Member Ballard felt that it should be discussed at a Library Board meeting first and would like to postpone this appointment. Motion by Ballard, seconded by Foster to postpone until the first meeting in January so the Library Board can discuss it. Motion passed unanimously.

 Council reviewed the 2023-02 Sick Leave Ordinance Amendment. Council had discussed adding Earned Sick and Safe Time to the original sick leave policy at a previous meeting. Motion by Markgraf, seconded by Strand to introduce ORDINANCE NO: 2023-02, AN ORDINANCE AMENDING 208.08, SUBD. 1 & SUBD. 2 OF THE PELICAN RAPIDS CITY CODE. (A complete text of this ordinance is part of permanent public record in the City Clerk’s Office.) Motion passed unanimously and ordinance is in full force and effect upon publication. Abstain: Ballard Aye: Strand, Markgraf, Foster, Frazier

 Council reviewed the Agreement between the City of Pelican Rapids and Clay County Solid Waste Department (CCSWM) regarding leachate. The contract is for one year. Source One Organics agreed to pay for a PFAS test every six months. Motion by Ballard, seconded by Foster to approve the Mayor and Clerk-Treasurer sign the Agreement between the City of Pelican Rapids and CCSWM regarding leachate. Motion passed unanimously.

 Motion by Foster, seconded by Markgraf to introduce Resolution 2023-42 entitled; RESOLUTION 2023-42 TO DESIGNATE THE POLLING PLACE FOR 2024. (A complete text of this resolution is part of permanent public record in the City Clerk’s office.) Motion passed and resolution declared duly adopted.

 The budget committee met to review the 2024 water budgets and sewer budgets. Clerk Harthun reviewed the proposed water budget and explained the overall water budget increased slightly due to increased chemical costs and putting money in reserves in the event a well needs to be rehabbed. Motion by Strand, seconded by Markgraf to approve the 2024 Water budget. Motion passed unanimously.

 Council reviewed the 2024 Sewer budget. Clerk Harthun reviewed the proposed sewer budget and explained the overall sewer budget decreased for 2024 but that was due to the SCADA project and the use of ARPA funds. A few pieces of equipment need to be replaced at WWTF in 2024. Motion by Markgraf, seconded by Foster to approve the 2024 sewer budget. Motion passed unanimously.

 Council reviewed the water and sewer rates for 2024. Water flow rates will increase $.25 per 1,000 gallons with a $1.00 change to the base rate for 2024 from $3.75 to $4.00. Sewer flow rates will increase $1.00 per 1,000 gallons from $3.85 to $4.85, with $1.00 change to the commercial and residential base rates. Base rate for industrial will increase from $81,000 to $88,000 for 2024. The budget committee met with WCT to update them on the rising water and sewer rates. Motion by Strand, seconded by Markgraf to introduce Resolution 2023-43 entitled; A RESOLUTION TO SET WATER AND SEWER RATES, FEES AND CHARGES. (A complete text of this resolution is part of permanent public record in the City Clerk’s office.) Motion passed and resolution declared duly adopted. Motion passed unanimously.

 The Library Report was provided in the packet for Council.

 Administrator Roisum reviewed the Employee Assistance Program Full Service Contract with The Village Business Institute. Council approved earlier in the year but the City is signing the contract today. The cost will be $1,500 a year. Motion by Markgraf, seconded by Foster to approve signing the Employee Assistance Program through The Village. Motion passed unanimously.

 Administrator Roisum reported that since the last meeting he has; worked with the Clerk and Mayor to set agenda and prepped for the meeting; attended a Department Head meeting; attended the Otter Tail Lakes Country Association’s annual meeting in Vergas; worked with Clerk on water and sewer budgets and rates; met with the Mayor, Council Member Foster and WCT staff to review water and sewer rate increases; met with Clerk and Tammy Omdahl of Northland Securities and discussed financing for the 2024-25 project; met with Mayor Frazier and Jade Petznick of Larson Funeral Home and discussed Condo Association topics; completed final version of the leachate contract; reviewed the MnDOT Cooperative Construction Agreement; attended a pool construction meeting.

 Council recessed the meeting and called the Truth in Taxation Meeting to order at 6:00 pm. Administrator Roisum reviewed the main increases in the 2024 General Budget are the 2nd Avenue Storm drain, new pool debt service and increase in library funding. Wayne Runningen suggested the City should use some of the reserves to help local businesses and residents. Mayor Frazier adjourned the TNT meeting and returned to the Council meeting.

 Council discussed the use of reserved funds to lower the 2024 General Budget. Motion by Markgraf, seconded by Ballard to approve the use of $75,000 of reserves for the 2024 General Budget. Motion passed unanimously.

 Motion by Markgraf, seconded by Strand to approve the 2024 General Fund Budget Levy for $946,964 and the Special Levy for $304,081 for a total 2024 levy of $1,251,045. Motion passed unanimously.

 Mayor Frazier reported that since the last city council meeting he has; submitted weekly columns to the Pelican Press, visited with businesses and non-profit organizations, conducted “Conversations with the Mayor” at Historic City Hall on November 29, met on November 30 with Jordan Grossman of CEDA and Ryan Binek of the Pelican Rapids Economic Development Authority (PREDA) regarding the PREDA Meeting of December 14, met on December 4 with Councilman Foster, Administrator Roisum and Robert Gray and Eric Christ of West Central Turkeys, Inc. regarding the 2024 water and sewer rates, attended a Condominium Meeting and tour of new funeral home on December 8 with Administrator Roisum and Jade Petznick of Larson Funeral Home and met with Administrator Roisum on December 11 to plan for this council meeting.

 Motion by Strand, seconded by Ballard to adjourn the City Council meeting at 6:44 p.m. Motion passed unanimously.

Danielle Harthun, 

Clerk-Treasurer

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