At the December 14 meeting of the Chatfield City Council, the final levy for 2021 was approved. The levy increase is 3.98%, or $86,101. The total 2021 levy will be $2,247,789.
City Clerk Joel Young reviewed 2020 and took a look forward to 2021 during the Truth in Taxation public hearing required by state statute. Due to the COVID pandemic the antiquated telephone system in city offices was upgraded, as was the front counter in the Thurber Building. Computers and web cameras were purchased to accommodate remote meetings. Other capital acquisitions included a Jetter-Vac truck to clean out basins and storm drains and the installation of water control structures along CR 10.
The city received a grant from the state of Minnesota in the amount of $8,700,000 for improvements to the Center for the Arts. The city’s distribution of CARES funding allowed the administration of $40,000 in grants to local businesses. The city’s website has been upgraded and a new city engineer and planner from WiDSETH were selected.
Seventy-five building permits were issued, of which eight were for new homes. The city saw over $2.5 million worth of residential/commercial construction in 2020.
Young reported numerous goals and principles for 2021 including the maintenance of a steady local tax rate, the reduction of the city’s current debt, the maintenance of positive reserves, the maintenance of public safety and public works programs, the beefing up of technology and the protection of data, and the maintenance of the city’s strong AA bond rating.
Chatfield’s tax rate is 105, which is down from the previous two years. Young maintained that the lower tax rate means the city is growing faster than the budget is growing.
Goals for 2021 include, but are not limited to, the recruitment of two new EMTs, the training of four new fire fighters, a mapping of the water system, improvement of the storm water system in West Chatfield, and a preservation plan for the Haven Wall.
Young looked at several residential and commercial properties in both Olmsted and Fillmore Counties. He showed how the impact of the tax levy was distributed on the various properties. Some will experience a lower city tax or a minimal increase in their tax. One business with a significant valuation increase will also experience a significant tax increase.
Young noted the city council had chose not to artificially increase the preliminary levy to provide a cushion in the event that the Local Government Aid allotment was reduced. Since that decision was made the state forecast has improved.
There were no questions or comments from the public during the hearing.
Other business in brief
•John Wade, interim president of Rochester Area Economic Development, Inc. (RAEDI), thanked the council for their past support. RAEDI was organized in 1985. Wade said its core mission is to support existing base businesses, to help them to expand, and to recruit new businesses into the region. Young is a member of the 28 member board. The council approved $5,000 in dues for 2021.
•Luke Thieke, fire chief, noted the purchase of the chassis for the brush truck had been approved earlier and it has been ordered. This day he was asking approval for the labor and installation of equipment to finish the truck at a cost in the amount of $86,008.66. He expects the completed brush truck (total cost about $130,000) should be ready some time in March.
•Craig Britton, WiDSETH, reviewed amended language that was proposed by the Planning and Zoning Commission at a December 7 meeting during a public hearing. The amendment to Section 113-293 refers to fences. The new language requires a minimum 3-foot depth in ground for posts and requires the use of treated posts and wood boards (decay resistant). The council approved a resolution authorizing the county attorney to draft an ordinance making those changes to the ordinance.
•Britton explained the developer, G-Cubed Development, of the Hilltop Estates Third Addition has requested that lots be larger and the number of lots be increased from six to nine. The Planning Commission held a public hearing on December 7 and recommended approval of the preliminary plat, which had been previously approved, with the requested changes. Britton added that the sidewalk will only be on the north side of Wisdom Lane. The preliminary plat with changes was approved as recommended by staff.
The Development Agreement dated August 10, 2020, for Hilltop Estates Third Subdivision was amended to conform to the changes.
•Chris Giesen explained the EDA is recommending they move forward and apply for a Small Cities Block Grant, which can provide forgivable loans to eligible property owners for various exterior and interior renovations. It is funded with federal money that passes through the state. Income qualified residential properties could get 100% forgivable loans and commercial businesses may be able to get 50% to 60% of a loan forgiven. Giesen recommended they use the services of CEDA to apply (application process to start next summer with project funding in 2022). Applications are very competitive and the process is complicated. CEDA services for two stages of the application process will cost about $2,000. Giesen also suggested the last of Rochester Sales Tax fund in the amount of about $32,000 be set aside as a matching fund and to cover application fees.
The council approved the use of CEDA services and the utilization of the remainder of the Rochester Sales Tax fund for application fees and grant match.
•A proposal to install ceilings in the swimming pool family rest rooms was approved. The proposed cost submitted by Benike Construction is $10,200.
•The second consideration of Ordinance number 449 (2021 fees) was approved, as was its publication.
•Brain Burkholder discussed the watermain breaks that have occurred in the alley behind Silver Grille between Second and Third Streets. After the fourth break in a year he suggested abandoning the water main to avoid future repairs and costs. The water main was installed over a century ago. The council approved the quote from Southeast Mechanical, Inc. in the amount of $3,290 to do inside plumbing work. The process to go ahead and abandon the old water main will continue.
•An agreement was approved between the DNR State of Minnesota and the city of Chatfield for the 2020-2022 OHV Trails Assistance Program Maintenance Project agreement. The city is the local government sponsor for the Chatfield ATV Trail.
•Mayor Russ Smith recognized five city employees with a certificate of appreciation. Four of them were recognized for their five years of dedicated service: Mitch Irish, Beth Carlson, Kevin Landorf, and Rocky Burnett. Kay Coe was recognized for 20 years of dedicated service.
•This was the last meeting of the city council in 2020. The next meeting will be January 11, 2021.
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