HomeMy WebLinkAboutCCMinutes_2004_04_06 zo7
Brookings City Council
Tuesday, April 6, 2004
The Brookings City Council held a planning session on Tuesday, April 6, 2004 at 5:30;p.m. at City
Hall with the following members present: Mayor Scott Munsterman, Council Members Tom
Bezdichek, Doris Roden, Tom Bozied, Julie Whaley, Tim Reed and Mike McClemans. Alan
Lanning, City Manager, Steve Britzman, City Attorney, and Shari Thornes, City Clerk, were also
present.
Agenda. An announcement from DBI was added to the agenda and the CVB Report was
removed from the agenda. A motion was made by Reed, seconded by Roden, to amend the
agenda. All present voted yes; motion carried. �
Police Depprtment Remodeling Project Bids Bids were received on March 30"' from Clark
Drew Construction for $38,500, Waltz Construction Company for $32,475, and Mills
Constructions, Inc. for $34,990. A motion was made by Reed, seconded by McCiemans, to -
award the bid to Waltz Construction Company for $32,475. Bozied arrived at 5:33 p.m. All
present voted yes; motion carried.
Fire Department Vehicle Bids. Bids for the Fire Department SUV were received from Einspahr �
Auto Plaza Inc of Brookings for $25,990. Bids for the Fire Department 3/a ton SUV were
received from Einspahr Auto Plaza Inc. of Brookings for $33,000 and Brookings Auto Mall for
$32,06$. There was a problem with the standards and specifics for the 3/a ton vehicles. A motion
was made by Roden, seconded by Whaley, to award the bid for the Fire Dept. SUV to Einspahr
Auto Plpzp Inc. in the amount of $25,990 and to reject the bids for the 3/a ton SUV. All present
voted yes; motion carried.
Resolution 17-04—appointing April 13fh election judges A motion was made by Roden,
seconded by McClemans, to approved Resolution No. 17-04. All present voted yes; motion
carried.
RESOLUTION NO. 17-04
APPOINTMENT OF ELECTION JUDGES
WHEREAS, a City of Brookings Municipal Election will be held on April 13, 2004 for the positions
of three Council members; and
WHEREAS, as required by SDCL 9-13-16.1, the City Council must appoint Election
Superintendents and Deputies and set their rate of compensation; and
WHEREAS, the following superintendents and deputies are hereby appointed at a rate of $8.50
per hour for superintendents, $8.00 per hour for deputies, and $15.00 for the April 13, 2004
Election School:
Precinct 1: PrecinN 4:
Rosalita Fritz, Superintendent Sue Knutzen,Superintendent
Marilyn Bommersbach Marlys Schutt
Marleen Hildebrandt Sharon Anderegg
LaRayne Wahlstrom LaVonne Kurtz
Patrick Query Robert Bell
Emily Hauge—alternate Vi Lightfield —alternate
Precinct 2: PrecinN 5:
Hazel Hauff,Superintendent Carolyn Hieb, Superintendent
Barbara Borstad Ramona Helwig
Neva Jean Corlett Carleen Dixon
Signe Anderson Mary Fiedler
Dona Kornbaum Cleo Edeburn
Darlene Wilaby—alternate Linda Kranz—alternate
Precinct 3: Precinct b:
Verle Barg,Superintendent Connie Burdick, Superintendent
Barb Woolworth Joan Awpld
� Barb Behrend Robert Kortlever
Charlotte Smidt Barb Erickson
Russell Lokken Candy Osvog
Donna Burns
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DBI (Downtown Brookings Inc ) Report. Jerry Miller, DBI President, reported that DB) has
secured a Citigroup grant for a Community Summer Internship Grant that will be used to hire a
marketing student. He also announced the creation of the Downtown Economic Development
Incentive Fund and publicly thanked First National Bank for providing $50,000 to initiate this
program. DBI has also applied for a federal grant to add to the Incentive Fund and other
private investors will be asked to invest in the program. No action was taken.
Library Board Report. John Taylor, Board Vice Chair, updated the Council on the SDNL
changeover progress, Friends of the Library summary of support, developments in the children's
department, the summer reading program, and the (ong range plpnning committee future
meeting. No action was taken.
Liquor Store Analvsis. The Council agreed to wait with this issue until the City Manager could
review the issue and submit his recommendation. No action was taken.
Brookinas Engineering Department 2003 Annual Report. Jackie Lanning, Acting City Engineer,
reviewed the City Engineering Department's 2003 Performance Measurements and Benchmarking
Report. No action wps taken.
Senior Citizen Center. Allyn Frerichs reported the Senior Center will be vacated this summer.
The Red Cross and Food Pantry entities have withdrawn their request for the building in light of
the Fire Department's need for the building. The kitchen equipment is owned by 60's Plus Dining.
He was asked to inquire if they would be willing to sell the equipment. He anticipates the
building will be available for use by mid September 2004.
Mayor's "State of fhe City Message". Mayor Munsterman gave his annual State of the
City Message to the Council.
"As indicated, the mission of the city is threefold: provide a high quality of life, foster
economic development and provide responsible management of city business. Your elected
council has diligently worked towards this mission, in the following manner during 2003:
Let's begin with the responsible management of city business. The City Council has teamed
up with the City Staff to maintain the provision of vpluable city services to this community,
even in light of the rapid decline in revenues over the course of the last few years. A
decline in our main revenue stream, the transfer of funds from the Brookings Municipal
Utilities, is scheduled for continued decrease to the city general fund for the next few years.
This, coupled with two years of negative growth in sales tax revenue (2001 and 2002),
resulted in the council's attempt to bring the city's spending down to meet with lower
revenues—from approximately a $10 million budget to just below a $9 million budget.
Belts were tightened and capital improvement projects were either put off or creatively
rescheduled to meet the needs of our community under this strain. Nonetheless, the City
Council and the City Staff rose to meet this challenge and have pulled through this rough
time without spending reserve funds.
Though unpleasant, this experience brought about some good things: Such as a sound and
prudent financial policy; a policy managing the growth of government services at a
controlled rate. It resulted in the development of Performance Measurements and
Benchmarking: a unique and forward thinking outcome based approach to effective
delivery and management of services. And it brought about a keener sense of analysis—
determining what government should or should not fund. The people of Brookings can be
confident in the council's efforts to continue with prudent, fiscally responsible decision-
making.
Next, the state of the economy in Brookings. Following two years of negative sales tax
revenue growth, in 2003, Brookings posted an 1 1.4% increase in the l st penny general
fund revenue, a 12.85% increase in the 2"d Penny revenue funds and a 6.05% increase in
the bed and booze revenue fund.
Several factors are responsible for this increase in sales tax revenue. First we must consider
the most prominent change: during the course of 2003, 1000 new jobs were added to the
Brookings economy; growing the labor force from 16335 to 17335� by the year end.
According to Dr. Richard Shane, Head of SDSU Economics Department, the fiscal impact to
the economy from the addition of these new jobs is $35 —40 million. This increase in jobs
was marked by a large part due to the opening of the Vera Sun Ethanol Plant and Harms
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Oil Company; as well as the expansion efforts of Rainbow Play Systems, Larson
Manufacturing, Daktronics and Twin City Fan and Blower. Capital Card is presently nearing
completion of their new facility pnd will add more jobs this year. According to the labor
Market Information Center, Department of Labor, the Average Annual Pay for Covered
Workers for Brookings in 2003 was $28,517. This out paces the pay of $23,938 in
Watertown, $28,345 in Sioux Falls as well as the state averpge of $26,359; a sign '
Brookings is attracting and developing good wage employment. This will continue to be a
trademprk for Brookings well into the future with the development of the research pprk
venture with SDSU soon to be a reality. Also in the works is discussion of a plan for regional
revitalization —this has been developed from the discussions stemming from the mayoral
summits that have taken place over the last several months with the communities within our
county.
SDSU added a significant number of new students in 2003 — approximately 609 students,
from 9952 to 10,561 — resulting in a direct fisca) impact of over $3,000,000. This figure
does not include tuition, fees, books, supplies, room or board.
Brookings also received a positive imppct from its promotional efforts in 2003. The Swiftel
Center posted its strongest showing in just its third year of operation with over 97,000
people attending events for the year, resulting in an impact of $i 0 million. The Convention
Visitors Bureau, teaming up with the Swiftel Center to bring overnight events to Brookings,
also brought an impact of over $5,798,120 to the Brookings economy. The City Council and
the Events Center Board partnered together this past year to pull together a long-term site
plan and an effective planning model — providing clear direction for the operation and
future role of the Swiftel Center for the community of Brookings. This plan also forecasts the
city subsidy will gradually decrease over the next five years. As attendance and event
numbers increase, the activity generated will produce a fiscal impact. And the increased
sales tax revenue produced as a result will return the subsidized amount back into the
generalfund.
A more formal working relationship between the Swiftel Center, the Events Center 8oard
and the Convention Visitors Bureau is in the making —this combination creates a promotional
team providing continuity and collaboration of promotional activity, producing an effective
modei of operation. Very soon, the council will sefi an ad hoc committee into motion to
develop a comprehensive promotiona) plan for the community of Brookings— a plan that
will include all the current promotional pctivity occurring in Brookings; as well as identifying
and making recommendations for additional areas of pttention. A comprehensive plan will
bring all promotional entities together, and will facilitate better relationships as well as
more efficiency in the process. Once this plan is developed, I will ask the community to
support a 3�d B tax — a tax on prepared foods. The impact this tax could have on the future
of the promotional efforts of Brookings is extensive. Brookings has developed and invested
in many `promotional vehicles': the ice arena, the Swiftel Center, the soccer complex, the
senior center, the performing arts center and very soon the high school. We currently have
the infrpstructure to promote many events and bring visitors to our community. These visitors
spend money in our community, which in turn means higher sales tax returns; which in turn
means more funds to spend on improving and enhancing our quality of life in Brookings. We
operate at about a 30-40% event capacity — we need to maximize our use of our
`promotional infrastructure' to p 70-80% attendance level on average. This can only be
attained by further investment with the 3�d B tpx — a tax that we pay if we eat out in
restaurants and a tax pbout 4000 students are forced to pay through their meal plan.
However, it is also a tax paid in the majority by visitors coming to our community. Our
promotional plan needs to bring something to all who pay the tax— and it will.
In light of all the success we have posted regarding the economy during the past year, one
negative looms — lack of retention of revenue in our money supply. A recent study indicates
Brookings has an effective buying income—that is disposable, after tax income—of 59%.
In other words, 59% of the after tax income stays in Brookings—which amounts to $8222 in
retail sales per cppita. The state averpge is 69%. Our neighbors to the north (Watertown)
boasts an effective buying income of 94% or $13,917 pnd Sioux Falls of 86% - translating
to $16,100 retail sales per capita. As mentioned earlier, the Average Annual Pay is higher
in Brookings thpn in Watertown or Sioux Falls—this means only one thing — Brookings
people are not shopping in Brookings and therefore they bring saies tax revenue to other
communities. If Brookings were to perform to the state average (69% EBI) of retail sales per
capita spent in our community, roughly from $8222 to $9781 retail sales per capita; it
would add approximately $40,537,$98 into our focal economy —equating to an additional
$770,220 sales tax revenue collected annually. People of Brookings, this is money that
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belongs in the Brookings economy. This is money your local government can use to fund
more services for you and your family, enhancing your quality of life.
The city council has already set into motion a preliminary review of the commercipl zoning within our
community. It has asked the planning commission to study how Brookings can expand its commercial
development cprefully. Location for commercial expansion is at a critical low, pnd we must develop
areas with caution to hefp a{low for the expansion of more buying options for consumers.
It is also time our business community and the people of this community come together and
build a partnership — a partnership that unites and works together to bring success to our
community. A true `partnership' is made up of people doing their pprt. Business must work to
meet the needs of our citizens, their customers. And citizens must give our businesses the
feedback they need to provide the products and services they want and buy locally:
proving their loyalty.
Finally, our quality of life. Abraham Lincoln remarked "The legitimate object of government,
is to do for a community of people whatever they need to have done, but can not do by
themselves in their separate individual capacities." Lincoln understood the quality of living
within a community for its citizens depends upon the success of the governing body in
providing efficient and effective services in which we all collectively pay for—together. This
sense of togetherness and community pays off - it pays off for us because we have defined
municipal services: ie. good streets, a park and recreation system second to none, a well
planned and zoned city, life safety services through law enforcement and fire; we hpve
below mprket utility rates, the best public library in the state, and as mentioned earlier,
several larger facility investments— with the recent addition of a senior center.
However the council's efforts do not end here. Severai quality of life improvements are slated for
2004: the planning process is beginning ps we look at a iong range housing plan for Brookings
for the next 20 years; considering the current and future growth of SDSU and their move to
Division I. Student housing will be an important accommodation to make in our community and a
solid plan for development will be critical to a sustained, sensible growth ppttern. The council will
consider very shortly the concept of a wellness plan for the people of Brookings — a community
strategy developed by the Centers for Disease Control which proactively helps communities
increase the quality, availability and effectiveness of educationai and community-based
programs designed to prevent disease and improve health and quality of life. The council will
host a Town Hall Meeting: designed primarily for the purpose of seeking community input
into the question: What is the most important quafity of life issue facing this community?
Town Hall meetings are excellent forums to facilitate discussion and set priorities and will
prove to be an effective method of keeping the people of this community in touch with the
issues facing the mission of our city. This will provide the councif with clear direction from the
input obtained directly from you —the people we serve.
I would like to tpke this opportunity to thank my fellow councilors. They have given of
themselves and sacrificed their time generously. It has been an honor to serve along side
you. I would also like to thank the people involved in the work of pll of our boards and
commissions. Their efforts are admired, appreciated and have been successful. And finalty,
thank you to the staff at city hall and our city employees. Our management team along
with the steady leadership of our interim city manager, Allyn Frerichs, went above and
beyond the call of duty these past six months. And a special welcome to our new city
manager, Alan Lanning.
As your Mayor, 1 am looking forward to another year of high energy and progress. There is a
saying that the only pppreciable asset in any organization is its people. I firmly believe we have
the quality people it takes to build a committed community team through valued partnerships that
work together towards our mutual goals, dreams and aspirations."
Liqvor License Application Process. The Council reviewed the proposed schedule and
application process that would advertise one agreement. Roden recommended the Council
consider offering both operating agreements. She was also concerned that if one agreement is
held back, what is it that determines what brings it off the shelf� How is that defined? Bezdichek
agreed recommending the City issue one agreement to Skinner's and another one that generates
revenue. Bozied agreed that the Council should advertise both agreements. Bezdichek said he
assumed Skinners will apply; however, there is no assurance that they would get one. He clarified
that he would support their application as an existing business that has been here and put in lots
of money into the downtown area.
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Reed asked how much of a population increase is needed to get another license. The City
Attorney said they would have to wpit until the estimated census adjustments are made which
would be in 2005.
McClemans said he has discouraged licenses from sitting on the shelf in the past and had no
problem ietting both licenses out at the same time. However, an application process'is still
needed. He doesn't know if giving them both out in the immediate 2004 timeframe is what is
necessarily the best use. Ne recommended the Council not be in a rush.
The Council discussed the application process and packet. They agreed that the same
application requirements would be included in this process to include a business plan, completed
alcohol license, site plan, and other supporting material.
There was discussion regarding the criteria. Should it make a difference how much revenue a
particular business has made or could make? Reed thought that it should if revenue generation
was one of the criteria. Roden questioned if the Council would be looking at the business's
current records or projected revenues? McClemans said looking at the type of business, not just
revenue, is needed. What is the best revenue generptor may not be the best use for the city.
Bezdichek cautioned that if the Council is going to look at revenue generation, will they later
consider removal of license for lack of revenue? Roden said she would like to see a fine dining
place; however, thpt may not be the biggest revenue producing business. She agreed that a
license should not be issued based solely on revenue. She also doesn't want to review the private
records of a business. The schedule was revised to include Council review of criteria at the May
4th meeting. The City Attorney recommended that the current "Second tier criteria" would address
the Councif's issuance of an pgreement.
Larson Ice Center Policv. A motion was made by Reed, seconded by McClemans, to adopt the
Larson Ice Center Poficy. All present voted yes; motion carried.
LARSON ICE CENTER POLICY
WHEREAS, the Brookings Parks and Recreation Department is responsibte for operation of the
Larson Ice Center for the City of Brookings, and
WHEREAS, the building's purpose is to serve as a site for ice skating and other community events
and activities that can be accommodated within the guidelines of this policy,
WHEREAS, the animal holding barn/multiuse area of this facility will of great benefit year-round
for all types of livestock events and especially horse shows, either held entirely in the multi-
purpose are or as support to the exhibition arena and can also expand into the practice rink
during the non-ice season. Numerous other community uses will vie for time in the facility, including
recreation activities such as soccer and baseball practice, auctions, car shows, equipment shows,
etc. � �
IT IS HEREBY AGREED that the following policy shall serve as a basis for all decisions regarding
the use of the Larson Ice Center:
GENERAL USE
Competition (Red) Rink
• Any ice skating activities are acceptable.
• Dry floor activities such as trade shows, rummage and auction sales and other uses suitable for
a painted floor surface.
• No live animal events (other than the 2005-2006-2007 Arabian Horse Show already
approved prior to this agreement). 2
Practice (Blue) Rink
• Any ice skating pctivities
• Dry floor activities, auto shows, auctions, roller skating, floor hockey and other uses suitable
for an unpainted concrete floor.
• Live animal events permitted with appropriate precautions to protect floor, rink facilities and
equipment.
Multi-Purpose Room�Holdina Barnl
• Any dirt floor activities such as auctions, automotive or motor-cross events, sport shows, etc.
• Live animal events and as an animal holding barn for Swiftel Event Center pctivities.
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• Recreational field activities including baseball, softball, soccer and football.
� Application for Second Penny Funds, City of Brookings, SD February 9, 2000.
2 September 23, 2003 City Council Minutes: Larson Ice Center—Approved Policy.
Goals and Expectations with and for the City Manaaer. The Council will discuss the�b month
and annual goals for the City Manager at the April 20th action meeting.
Allyn Frerichs was commended for his extraordinary performance as Interim City Manager.
CM Roden requested future council packets state the legal reason for entering into an executive
session.
Executive Session. A motion was made by Bozied, seconded by Reed, to enter executive session
at 7:13 p.m. for legal reasons to consult with legal council with the city council members, the city
manager, city attorney, municipal utilities staff and board representatives and city clerk present.
Afi present voted yes; motion carried. A motion was made by Bozied, seconded by Whaley, to
leave executive session at 7:32 p.m. All present voted yes; motion carried.
Adjournment. A motion was made by Roden, seconded by Reed, to adjoum. AIt preseni voted
yes; motion carried. Meeting adjourned at 7:32 p.m.
TY O ROOKINGS
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y:, o nsterman, Mayor
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