REGULAR COUNCIL MEETING
CITY COUNCIL CHAMBERS, CITY OF ALBERT LEA
Monday, June 12, 2023, 7:00 p.m.

PRESENT: Mayor Rich Murray, Councilors Rachel Christensen, Larry Baker, Jason Howland, Sherri Rasmussen, Robert Rasmussen, Brian Anderson. Also present were, City Manager Ian Rigg, Public Works Director Steven Jahnke, City Attorney Joel Holstad of Lake National Law LLP, Sergeant-at-Arms-Public Safety Director JD Carlson, and City Clerk Daphney Maras.

ADDITIONAL STAFF PRESENT: Finance Director Kristi Brutlag, Community Engagement and Enrichment Director Cathy Malakowsky

CALL TO ORDER AND ROLL CALL: Mayor Murray called the meeting to order at 7:00 PM. Clerk Maras administered roll call.

PLEDGE OF ALLEGIANCE: Mayor Murray asked all in attendance to stand and recite the Pledge of Allegiance.

CEREMONIAL ITEMS

A. Proclamation – Juneteenth Independence Day

Mayor Murray read aloud the Proclamation declaring June 19th Juneteenth Independence Day beginning June 19, 2023

PUBLIC FORUM: No one spoke

CONSENT AND APPROVAL OF AGENDA

A. Approve Minutes of the May 22, 2023 Regular Council Meeting
B. Approve Minutes of the May 22, 2023 Work Session
C. Licenses & Permits
D. Appointment of Vicky Robson to the Library Advisory Board
E. Resolution Accepting Donations
F. Resolution Approving Grant Agreement No. 1053242 with the Minnesota Department of Transportation – Office of Aeronautics – Fiscal Years 2024 and 2025

Motion made by Councilor Baker, seconded by Councilor R. Rasmussen. On roll call vote the following councilors voted in favor of said motion: Christensen, Baker, Howland, S. Rasmussen, R. Rasmussen, Anderson, and Mayor Murray. Mayor Murray declared the motion passed.

(See Secretary’s Original Resolution 23-097 through 23-098
Included with these minutes)

PETITIONS, REQUESTS AND COMMUNICATIONS: None

UNFINISHED BUSINESS

NEW BUSINESS

A. Public Hearing Declaring Property Without Public Purpose and Waiving Planning Commission Review – 310, 314, 324, and 332 S. Broadway Avenue

Rigg clarified the public hearing is to declare that there is no public interest in the properties and the Planning Commission review is waived.

Mayor Murray opened the public hearing. He called three times. No one spoke. He closed the public hearing.

A1. Resolution 23-099 Declaring Property Without Public Purpose and Waiving Planning Commission Review – 310, 314, 324, and 332 S. Broadway Avenue

Rigg explained while subjective of course, 3 of the 4 properties were for eventual blight removal and the remaining property is a rental to non-profits that can be done privately or at different locations. This hearing and resolution are formal processes in the effort to sell the properties to buyers who will redevelop the area and improve the tax base, remove blight, provide jobs or increase housing opportunities.

Howland asked if the non-profit businesses that are currently renting in the 300 building have been notified and/or if they have been re-located. Rigg explained discussions have taken place with the tenants and relocation options will be discussed if/when necessary. He noted the importance of finding suitable locations for all three of the non-profits that are in the building due to their contribution to the community.

Motion made by Councilor Baker to approve, seconded by Councilor Anderson. On roll call vote, the following councilors voted in favor of said motion: Christensen, Baker, Howland, S. Rasmussen, R. Rasmussen, Anderson, and Mayor Murray. Mayor Murray declared the motion passed.

(See Secretary’s Original Resolution 23-099
Included with these minutes)

B. Ordinance 23-098 Amending Ordinance 21-067 Chapter 26 Housing Article IV (1st Reading)

In November, 2021 the City Council approved Ordinance 21-067 that was meant to eliminate Section 26.126 through Section 26.131 due to the courts no longer supporting Crime Free Rental Housing. Inadvertently, the section numbers were transposed and were not included. This ordinance amends the correct section numbers 26.126 through section 26.131 to be eliminated.

Motion made by Councilor Howland to approve this first reading, seconded by Councilor S. Rasmussen. On roll call vote, the following councilors voted in favor of said motion: Christensen, Baker, Howland, S. Rasmussen, R. Rasmussen, Anderson, and Mayor Murray. Mayor Murray declared the motion passed.

(See Secretary’s Original Ordinance 23-098
Included with these minutes)

C. Resolution 23-100 Adopting Trail Action Plan for the Former UP Rail Corridor

This resolution is the formal adoption of the Trail Action Plan for developing about 15 miles of the former UP rail corridor from the south part of Albert Lea to Hartland, Minnesota. A team of elected city councilors and county commissioners, along with staff members and trail advocates, developed the plan over 8 months. A MnDOT grant paid for an engineering firm, HDR, Inc., to assist with public outreach, gathering input and information, and putting the final document together. The plan is based on extensive input from city and county residents who expressed strong support for the trail. If the council adopts the plan, then a group of city and county representatives would identify the first grants to pursue. Director of Community Engagement and Enrichment Cathy Malakowsky presented a slideshow during the work session prior to this council meeting. The details of this slideshow can be found on the City’s website.

Motion made by Councilor Christensen to approve, seconded by Councilor Baker. On roll call vote, the following councilors voted in favor of said motion: Christensen, Baker, Howland, S. Rasmussen, R. Rasmussen, Anderson, and Mayor Murray. Mayor Murray declared the motion passed.

(See Secretary’s Original Resolution 23-100
Included with these minutes)

D. Resolution 23-101 Authorizing a 2024 Capital Budget Request to the State of Minnesota for Albert Lea Blazing Star Landing Redevelopment

The attached resolution would authorize the submittal of a 2024 Capital Budget Request for the redevelopment of the Blazing Star Landing. The work will include remediation of the site footprint to prepare the site for subdivision of lots and construction. The work also includes construction of the development access road, sanitary sewer, watermain, sidewalks and associated infrastructure. Traditional grants through DEED for site remediation are often limited to $1M to $1.5M. Breaking the project into four or five phases over multiple years conflicts with the City’s ability to use a soil tax increment district to pay for the local portion, typically 25% of remediation costs. Unless traditional grant sources cover the gap up to $7.5 million, special legislation is necessary. The Blazing Star Landing Redevelopment Project is the City’s second priority for state bonding funds.

Motion made by Councilor Baker to approve, seconded by Councilor S. Rasmussen. On roll call vote, the following councilors voted in favor of said motion: Christensen, Baker, Howland, S. Rasmussen, R. Rasmussen, Anderson, and Mayor Murray. Mayor Murray declared the motion passed.
(See Secretary’s Original Resolution 23-101
Included with these minutes)

E. Resolution 23-102 Authorizing a 2024 Capital Budget Request to the State of Minnesota for Albert Lea Wastewater Treatment Facility Improvement Project

The estimated cost to complete the facility upgrades in order to meet project goals and the new permit limits is approximately $80 million. The City of Albert Lea supports and is requesting a state appropriation of $40 million from Minnesota State bonding proceeds for the wastewater treatment facility improvements needed to support community industries and businesses, and address phosphorus treatment and facility upgrades needed to protect and improve the State’s natural resources. The upgrades and improvements to the wastewater treatment facility is the City of Albert Lea’s number one priority for state bonding funds.

Motion made by Councilor S. Rasmussen to approve, seconded by Councilor R. Rasmussen. On roll call vote, the following councilors voted in favor of said motion: Christensen, Baker, Howland, S. Rasmussen, R. Rasmussen, Anderson, and Mayor Murray. Mayor Murray declared the motion passed.
(See Secretary’s Original Resolution 23-102
Included with these minutes)

F. Resolution 23-103 Calling a Public Hearing on Tax Abatement and Issuance of Bonds

The 2023A bond issue includes $300,000 for replacement of the bleachers at the City Arena. State Statute allows the City the option to pledge tax revenue from an existing parcel to pay debt service for these types of projects. This process requires a public hearing. After the public hearing, the Council can approve the tax abatement or take no action and deny the tax abatement. Denying the tax abatement would require the City to identify a new funding source for the City Arena Bleachers portion of the 2023A bond issue. Rebecca Kurtz from Ehlers was present during the work session prior to this council meeting and delivered details related to the issuance of the bonds. Council took the opportunity at that time to ask questions to which Kurtz responded.

Motion made by Councilor Baker to approve, seconded by Councilor Christensen. On roll call vote, the following councilors voted in favor of said motion: Christensen, Baker, Howland, S. Rasmussen, R. Rasmussen, Anderson, and Mayor Murray. Mayor Murray declared the motion passed.

(See Secretary’s Original Resolution 23-103
Included with these minutes)

G. Resolution 23-104 Providing for the Issuance and Sale of GO Bonds, Series 2023A in the Proposed Aggregate Principal Amount of $2,455,000

Per the City Charter, the City of Albert Lea has the authority to issue General Obligation Improvement Bonds to provide assessable public improvement projects undertaken by the City. Staff recommends the sizing of the bond to be $2,455,000 to finance City improvement projects, including Job 2301 5th Street and Frank Hall Drive Reconstruction, Job 2302 the 2023 State Aid Street Overlay Project, Job 2303 the Blazing Star Trail, Cedar Ave. and Eddie Cochran Street Resurfacing Project, the parking lots at the Aquatic Center and Bancroft Park and the replacement of the bleachers at the City Arena. The proposed bond would have a term of 10 years and be sold competitively. Once again, Rebecca Kurtz from Ehlers was present during the work session prior to this council meeting and delivered details related to the issuance of the bonds in the proposed aggregate principal amount of $2,455,000. Council took the opportunity at that time to ask questions to which Kurtz responded.

Motion made by Councilor to approve Howland, seconded by Councilor Baker. On roll call vote the following councilors voted in favor of said motion: Christensen, Baker, Howland, R. Rasmussen, S. Rasmussen, Anderson, and Mayor Murray. Mayor Murray declared the motion passed.

(See Secretary’s Original Resolution 23-104
Included with these minutes)

MAYOR AND COUNCIL REPORTS:

First Ward, Councilor Christensen reported:

      • Ward Items – None
      • Committee Update – Introduced the “9 Weeks of Summer” program booklet. She encouraged the community to participate in the noted events.

Second Ward, Councilor Baker reported:

      • Ward Items – Working on ward items with City staff
      • Committee Update – Attended an HRA meeting. He spoke of the finalists for the HRA Director position. Also attended the Greater Jobs/Port Authority meeting last week. Projects that are in process were reviewed.

Third Ward, Councilor Howland reported:

      • Ward Items – Reported residents have contacted him regarding nuisance complaints. He provided the instructions to report nuisance complaints on the City’s website.
      • Committee Update – He reported on Take-A-Kid-Fishing Day in Albert Lea over the weekend. 350 fishing rods were given to youth. Announced Albert Lea Community Theatre’s musical opens Thursday at the Marion Ross Theatre.

Fourth Ward, Councilor S. Rasmussen reported:

      • Ward Items – Received calls regarding nuisance in the community. She reminded residents to call the non-emergency phone number to report nuisance issues.
      • Committee Update – Announced the Senior Center is offering a Defensive Driving Class for seniors. Encourages the community to consider donating financially to the Freeborn County Humane Society. She said on June 23rd a fundraiser drive will take place in the North Lot for the FCHS.

Fifth Ward, Councilor R. Rasmussen reported:

      • Ward Items – Thanked Public Safety Director JD Carlson for his assistance in resolving a ward item.
      • Committee Update – None

Sixth Ward, Councilor Anderson reported:

      • Ward Items – Worked on one ward item.
      • Committee Update – Mentioned the final interviews for the HRA Director position.

MAYOR REPORT:

Attended the following meetings and/or events:

      • Two HRA meetings
      • Officer Jay Crabtree Retirement Open house
      • Home Show/Car Show event at Thornecrest
      • ALEDA/Greater Jobs meeting and reports there will be several great announcements coming forward
      • Reminded the community Thursdays On Fountain is taking place every Thursday through August at the Gazebo
      • Attended the Eddie Cochran event over the weekend. He reported the Mayor’s best car award went to Dave Mullenbach who recently passed. Mr. Mullenbach was an outstanding long-time citizen of Albert Lea and he will be missed
      • Congratulated the High School Track & Field and Golf candidates who participated in the State meets
      • Worked on several items with staff
      • Highlighted upcoming events in Albert Lea and encouraged residents to attend
      • Announced City offices will be closed on Monday June 19th in recognition of JUNETEENTH

CITY MANAGER REPORT

      • Echoed the Mayor’s comments regarding the closing of City offices in recognition of JUNETEENTH, noting the exception this year is that the Aquatic center will remain open providing swim lessons as scheduled. Beginning next year, the Aquatic center will be closed on June 19th.
      • Reported a number of business have inquired about expanding or bringing their business into Albert Lea.
      • Blight buildings in the downtown area are being addressed to ensure preservation in the interest of public safety
      • Staff has resumed quarterly meetings
      • Continues to work on items included in the Closed Session meeting this evening
      • Budget preparations are in progress

APPROVAL OF CLAIMS

A. Resolution 23-105 Approving Claims
(1). Presentation of Claims Over $25,000

The attached resolution directs the Mayor and City Treasurer to issue the payment of claims as presented in the Detail of Claims report. In addition, Maras displayed a list of claims over $25,000 for the public’s viewing, transparency and education.

Motion made by Councilor Howland to approve the claims, seconded by Councilor Baker. On roll call vote, the following councilors voted in favor of said motion: Christensen, Baker, Howland, S. Rasmussen, R. Rasmussen, Anderson, and Mayor Murray. Mayor Murray declared the motion passed.

(See Secretary’s Original Resolution 23-105
Included with these minutes)

CLOSED SESSION

Mayor Murray explained a motion to move into closed session is requested as permitted by Minnesota Statute 13D.05, Subd. 3(c). He noted the properties that will be discussed are:

• 300 Block — 310, 314, 324, 332 S. Broadway
• 132 S. Broadway
• Blazing Star Landing Development

MOTION: Move to enter into closed session at 7:53 p.m.

Motion made by Councilor Howland, seconded by Councilor Christensen. On roll call vote, the following councilors voted in favor of said motion: Christensen, Baker, Howland, S. Rasmussen, R. Rasmussen, Anderson, and Mayor Murray. Mayor Murray declared the motion passed.

At 8:45 p.m. Councilor Anderson motioned to return to open session, seconded by Councilor S. Rasmussen. On roll call vote the following councilors voted in favor of said motion: Christensen, Baker, Howland, S. Rasmussen, R. Rasmussen, Anderson, and Mayor Murray. Mayor Murray declared the motion passed.

Mayor Murray announced staff was provided with direction in the closed session.

Councilor Howland motioned for adjournment, Councilor Anderson seconded. That there being no further business, the Council meeting adjourn until the next regular meeting of the Albert Lea City Council at 7:00 p.m. on Monday, June 26, 2023. On roll call vote, all councilors voted in favor of said motion.

Mayor Murray declared the motion passed and the meeting adjourned.

ADJOURNMENT: 8: 46 P.M.

____/s/________________________
Mayor Rich Murray
___/s/_________________________
Daphney Maras
Secretary of the Council