HERON LAKE CITY COUNCIL
REGULAR MEETING
WEDNESDAY, OCTOBER 7, 2020, 7:00 PM

                 The meeting was called to order at 7:00 PM by Mayor Rasche, with the following council members present; Glenn Kuhnau, Zach Schumacher, Danni Swanson, and Carol Wagner. 

Others in attendance were City Auditor-Danielle Berg, Lance Baumann, Joe Liepold, Police Chief Tony Fauglid, John Haberman, Tamara Shelton, and Stacy J. Grube.

Approval of Agenda

                Council Member Kuhnau moved, seconded by Council Member Schumacher, to approve the agenda as presented. Vote on the motion: Rasche, Kuhnau, Schumacher, Swanson, and Wagner, aye; no nays. Motion carried.

Approval of Minutes

Council Member Kuhnau moved, seconded by Council Member Wagner, to approve the minutes of the Council Meeting of September 2, 2020 as presented.  Vote on the motion: Rasche, Kuhnau, Schumacher, Swanson, and Wagner, aye; no nays. Motion carried.

2019 Audit

                Danielle Berg presented the 2019 Audit and a review of current revenue and expenses.  Danielle found no concerns in the 2019 audit and the city’s debt ratio to the financial position is good.         Council Member Wagner moved, seconded by Council Member Kuhnau, to approve the 2019 Audit.  Vote on the motion: Rasche, Kuhnau, Schumacher, Swanson, and Wagner, aye; no nays.  Motion carried.               

Variance/Zoning Permit – 1132 10th Street

                Council Member Kuhnau moved, seconded by Mayor Rasche, to approve Resolution 2020 – 18, approving the zoning permit and variance of Jose Lopez to build an addition to the existing attached garage at 1132 10th Street.  Vote on the motion: Rasche, Kuhnau, Schumacher, Swanson, and Wagner, aye; no nays.  Motion carried. 

 Zoning Permits

                Council Member Kuhnau moved, seconded by Mayor Rasche, to approve the zoning permit of Jeffery Hotzler to build an addition of a utility room at 512 10th Street.  Vote on the motion: Rasche, Kuhnau, Schumacher, Swanson, and Wagner, aye; no nays.  Motion carried. 

                Mayor Rasche moved, seconded by Council Member Wagner, to approve the zoning permit of Edgar Brogden to build a single-family home and storage shed at 102 16th Street.  Vote on the motion: Rasche, Kuhnau, Schumacher, Swanson, and Wagner, aye; no nays.  Motion carried.

Farmland Cash Rent – Sealed bids

                Mayor Rasche opened two sealed bids that were received at the City Clerk’s office for the 6.592 tillable acres located in the SW 1 / 4 of Section 20, Township 104N, Range 37W for the 2021 crop year. 

                Council Member Kuhnau moved, seconded by Council Member Schumacher, to approve the bid of $226.00 per acre from Nick Carlson.  Vote on the motion: Rasche, Kuhnau, Schumacher, Swanson, and Wagner, aye; no nays.  Motion carried. 

Marsden cleaning Service

                Marsden provided notice that after October, they will no longer complete cleaning after events on weekends, but are willing to continue with cleaning during the week.  Discussion resulted in the decision to continue with Marsden until someone is hired.  Council directed staff to check with cleaning companies in the area to get pricing and report to Council at the November council meeting. 

Hanson’s 4th Addition

                Council Member Schumacher presented three relator proposals for listing, marketing, and selling vacant lots in Hanson’s 4th Addition.  RE/MAX Premier Realty presented an offer that included public marketing and listing the lots on the MN Multiple Listing Service at their expense, receiving commission when/if a lot is sold versus.  Discussion regarding cost of lots resulted in no changes to pricing of lots at this time, and the option to negotiate pricing when there is a possible sale.

                Council Member Kuhnau moved, seconded by Council Member Wagner, to approve contracting with RE/MAX Premier Realty of Worthington, MN to list, market and sell lots in Hanson’s 4th Addition, for $1,500/per lot.  Vote on the motion: Rasche, Kuhnau, Schumacher, Swanson, and Wagner, aye; no nays.  Motion carried. 

 Revolving Loan Fund

                Discussion was held regarding the recommendation from the Revolving Loan Fund Advisory Board from the Advisory Board Meeting held on September 17, 2020.  “Board Member Kuhnau moved, seconded by Board Member Schimbeno, to recommend to the City Council of Heron Lake to call the loan with Green Earth Recycling, LLC due immediately if is not brought current by October 16, 2020, and to call the loan due immediately should Green Earth Recycling, LLC become past due at any point going forward.  Vote on the motion: Rasche, FitzHenry, Haberman, Kuhnau, Schimbeno, and Wagner, aye; no nays.  Motion carried. 

                Mayor Rasche moved, seconded by Council Member Swanson, to approve the recommendation of the Heron Lake Revolving Loan Fund Advisory Board, calling the loan with Green Earth, Recycling, LLC due immediately if it is not brought current by October 16, 2020, and to call the loan due immediately should Green Earth Recycling, LLC become past due at any point going forward.  Vote on the motion: Rasche, Kuhnau, Schumacher, Swanson, and Wagner, aye; no nays.  Motion carried. 

 CARES Act Funding

                Mayor Rasche moved, seconded by Council Member Kuhnau, to approve Resolution 2020 – 19, allocating CARES Act funds totaling $1,263.05 for the month of September, leaving a remaining balance of $46,009.72 as of September 30, 2020.  Vote on the motion: Rasche, Kuhnau, Schumacher, Swanson, and Wagner, aye; no nays.  Motion carried.               

 Model Ordinance – regulating the sale of tobacco and related devices and products      

                A model ordinance was presented to Council due to change in laws regarding age of buying tobacco products.  Council reviewed and requested changes be made by the City Clerk; will review revised model ordinance at the November council meeting.   

 Ambulance

                Director Joe Liepold reported that the ambulance department has been ordering and received PPE that has been purchased through the CARES Act funds, however he may need to cancel some items on backorder in order to meet the required deadline.

PeopleService

                Joe Liepold reported the following: 1) Water tower has been cleaned, full report will be coming, needed repairs include a 4 inch hole, door that does not latch, and unsafe access points; 2) Hydrant on 5th & 11th is leaking and does not drain, will repair in the spring; 3) Will be pulling north industrial well on October 24th

Public Works    

                John Haberman reported the following: 1) Requested permission to contact DMI from Mankato to purchase a load of limestone for driveway repair from 10th St & Chapman storm sewer project, Council agreed; 2) Clerk window materials are arriving; 3) Discussed possible door alert system for community center; council directed staff to do more research. 

Police Department

                Chief Fauglid reported 95 calls in September including junk vehicle and storage issues on properties and completing required training. 

 Other Business – No action taken

                 Signage Request – Lance Baumann requested that the City purchase and put up warning “Watch for children” signs on 4th Street.  Council recommended that it may be more effective if the Baumann’s purchased a sign to put on their own property when children are playing outside.

                Employee Health Insurance – 2021 rates with PEIP were given to council for review, Clerk notified council that the city’s health insurance representative will have additional rates to review at the November council meeting. 

 Claims

                Council Member Kuhnau moved, seconded by Council Member Wagner, to approve payment of claims as presented, totaling $151,148.21.  Vote on the motion: Kuhnau, Schumacher, Swanson, and Wagner, aye; no nays, Rasche, abstained.  Motion carried.                                       

 Adjourn              

                Council Member Swanson moved, seconded by Council Member Kuhnau, to adjourn at 8:57 PM. Vote on the motion: Rasche, Kuhnau, Schumacher, Swanson and Wagner, aye; no nays. Motion carried.

Submitted by:   Stacy J. Grube, Clerk/Treasurer
Approved:   11/4/2020 
Rasche, Kuhnau, Schumacher, Swanson, Wagner