City of Watertown, SD 2019 City Council Meetings, 22 Jan 2019

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From YouTube: Council Meeting 01 22 2019

Description

Agenda items include the renewal of a retail (on-sale) liquor license, numerous transfers of ownership for package (off-sale), retail (on-off sale) malt beverage & SD farm wine, and video lottery licenses.

A

Good evening I'd like to call to order the City Council meeting of Tuesday January 22nd 2019, please join me in the Pledge of Allegiance.

A

Roll call please: okay.

B

Albertson here.

C

B

Danforth absent l'olam, absent man, T Roby here.

C

B

C

B

C

B

Howard here, why present? Thank you all.

A

Right Thank, You, Kristen I think before we get started. I would like to just give a brief update on our airline situation. In case people haven't heard. What's going on, California Pacific Airlines has temporarily cease to operate according to communications that we've received from them. Watertown and pier currently have no scheduled airline service and there's no information indicating that airline service will resume with California Pacific people who are impacted by this need to contact the airline directly.

A

The contract for airline services between the United, States Department of Transportation and California Pacific and the city of Watertown feels terrible about this whole situation. We have been working with the Department of Transportation, though, for a couple of months, and actually we are currently out to bid for essential air service and bids will be accepted from Airlines up until January 30th and then hopefully, we'll get another carrier in place very soon to resume operations.

A

So just wanted to put that out there and next first item on the agenda is approval of the consent agenda. Is there a motion? Second for approval.

D

A

By why, second, by Roby any discussion, all those in favor signify by saying aye, those opposed signify by saying nay motion carries the next item on the agenda. Is the public comment period and this is the time reserved for anyone who would like to come forward and make a public comment? You can please state your name in the microphone for the record and if your comments are related to an agenda item, please wait for the agenda item.

A

So I see Dave IDs here go ahead and step forward, and please limit your comments to three minutes.

E

Is this on okay? Thank you again: I'm Dave, Isay I'm, the general manager of Coddington, Clark, electric and I'm here just to help clarify our issue.

E

There are state laws that protect the electric service territories of utilities in South, Dakota, South, Dakota's municipal, electric utilities are the only electric group, a select group in the state that can take territory without consent or agreement from the incumbent utility, Rural, Electric, Cooperative's and investor-owned utilities can't take from each other and instead negotiate fair mutual agreements approved by the PUC.

E

The municipal electrics use a decades-old exception to our state's territorial laws that sanctions the unilateral government taking of the signed service territory of Rural, Electric, Cooperative's and investor-owned utilities. A 1975 law created this exception. That only applies to municipal electrics and no other utility group. We have a government entity taking from a private business and it hurts Canseco op consumers. In short, that's what's going on, we don't agree with it. A taking with no due process. We think taking something from anyone is wrong: we're in defense mode only defending ourselves.

E

We are not proposing taking anything away from the city at all. We just want to retain what we have that's the issue is that right or wrong? Not reliability, not rates, not economic development, not growth. Our electric territory has been getting taken away from us for years and years and we'd like to put an end to it. We want to work together to promote economic development. We did a $300,000 0% interest loan to Waterton development company, nine hundred forty eight thousand dollars in economic development loans to several businesses through member patronage.

E

Four hundred and thirty two thousand dollars went toward the glacial lakes energy ethanol plant. Altogether. We provided one point: six, eight million to promote Watertown most of this. In the last four years, we have an agreement with Watertown municipal utilities that was put into place because of a bad law that was encouraged to become perpetual by the South Dakota PUC.

E

The agreement basically says we don't get compensated for state law for electric territory. Taking each time we've asked to terminate the agreement, the answer has always been. No. The agreement did not cause us to propose legislation. Our statewide association was looking at legislation before the first ask to terminate the agreement, this isn't about annexation or other city services. We want the city to grow. We just want to protect our co-op and members from a governmental entity taking their territory away. Thank you. Thank.

A

You Dave it's been suggested that we take a perfectly good law and change it for somewhat selfish purpose and has potentially harmful effects on jobs and families in our community and in our state, and we don't support that. So I appreciate your side of the story, but this is really a legislative issue and.

E

Right and I'm fine with leaving it like that, may so.

A

E

Just thought I should come and clarify some of the things that have been going on right.

A

And that's that's all I.

E

Wanted to do thank.

A

You we don't see it as a taking and and we don't go out seeking annexations people request annexation from the city and we actually, we don't always necessarily even accept a request for annexation, but we certainly don't go out and force them. No.

E

I understand that completely thank.

A

You very much thank you all right. The next is there anyone else that would like to come forward see none move on to item number three, which is approval of the agenda, their motion by evil Hauer. Second, by Bueller any discussion there.

C

D

Recuse myself items 4 through 11.

A

Thank You councilman Roby noted any other comments.

C

A

Those in favor signify by saying aye, those opposed signify were saying, nay, motion, carries item number 4 is retail on sale, liquor, license renewal for Dakota butcher, Watertown Inc, doing business as Dakota butcher, Watertown ink at 1923, Willow, Creek, Drive, Suite, 1 and 2 for the period of January 22nd 2019 to December 31st 2019. This is a renewal, so look for a motion. Second, for approval, moved by manty and second by Solem and I'll go ahead and open the public hearing. Is there anyone here to speak about this issue?

A

See none I, will close the public hearing and ask Kristen. If she has anything she'd like to say about it,.

B

Thank you Mary. This is, as it stated, a renewal. This was actually an inactive license, so you'll notice that the dates the 22nd, so this had it had to get in with the 60-day active period, and it did and that's why it's dated the 22nd. So, okay.

A

Thank you any comments or questions. Seen I. Don't look for action, all those in favor signify by saying aye aye, as opposed signify by saying nay motion, carries item number five is and actually all the rest of these are transfers of ownership.

A

Just to be clear, there's a bunch of them so number five is application of a transfer of ownership of a package off sale, liquor license from spice corporation doing business as cowboy country stores number one 311 10th Street Northwest to four amigos: LLC doing business as cowboy country stores number one at the same location, I'll, look for a motion and second for approval by Bueller. Second, by Albertson any discussion on that: okay, um I'll open the public hearing. Is there anyone like to speak about this?

A

Please come forward, see none I will close the public hearing and Kristin. Do you want to add anything all.

B

I'll add on the next ones is exactly as the mayor stated. These are all a transfer of ownership, so pretty much straightforward.

A

Thank You councilman feel hard Chris tonight, I.

C

Know this will reef. This would relate to all of them. Coming forests, I mean you do a certain amount of due diligence before it ever comes to us any palms or reservations on on your part on any of these.

B

A

Thank you any other questions or comments, all those in favor signify by saying aye aye. Those opposed signify by saying, nay motion carries item. Six is application of a transfer, a transfer of ownership, of a retail on off sale, mop beverage and South Dakota Farm wine and video light lottery license from spice corporation doing business as cowboy casino, 309, 10th Street Northwest to four amigos: LLC doing business as cowboy casino at the same location. Look for motion second for approval by Ville.

A

How are second by Y I'll, open the public hearing and ask if anyone's here to speak about this scene, none I'll close the public hearing. Anyone have any comments or questions about this scene. None I'll! Look for action, all those in favor signify by saying aye. Those opposed signify by saying nay motion carries item.

A

Seven is application for a transfer of ownership over retail on off sale, malt beverage and South Dakota Farm wine and video lottery license from spice corporation doing business, says cowboy country stores number one 307, tenth Street Northwest to four amigos: LLC doing business as cowboy country stores number one at the same location. Look for a motion, second, for approval, move by Bueller. Second, by manty, I'll go ahead and open the public hearing. Is anyone here to speak about this issue?

A

See none I'll close the public hearing, any counsel, questions or comments all right, then all those in favor signify by saying aye. Those opposed signify by saying nay motion carries item made. Is application for a transfer of ownership of a package off sale liquor license from spice corporation doing business as cowboy country stores number two 504: ninth Avenue Southeast to four amigos: LLC doing business as cowboy country stores number two at the same location, I'll, look for a motion and second for approval, moved by Y second, by Bueller and I'll open the public hearing.

A

Is there anyone here to speak about this scene, I'll close the public hearing? Are there any comments or questions seen on I? Look for action, all those in favor signify by saying aye. It was a post signify by saying, nay, motion carries item.

A

9 is application for a transfer of ownership, of a retail on off sale, malt beverage and South Dakota Farm wine and video lottery license from spice corporation doing business as cowboy country stores, number 2, 504, 9th Avenue South East to four amigos: LLC doing business as cowboy country stores number two at the same location. Look for a motion. Second for approval, remote.

C

A

By man T second, by Albertson and I'll open, the public hearing has anyone here to speak about this scene. None I'll close the public hearing any discussion or questions see none all those in favor signify by saying aye. Those opposed signify by saying, nay motion carries item number 10 is application of a transfer of ownership of a package off sale, liquor license from spice core operation, doing business as cowboy country stores number three.

A

Fourteen hundred fourth Street now the Northeast two four amigos LLC doing business as cowboy country stores number three at the same location, I'll, look for a motion and second for approval. Well,.

C

A

By Ville Hauer, second, by Bueller, oh I'll, open the public hearing. Is there anyone here to speak about this scene? I? Don't close the public hearing any questions or comments, all those in favor signify by saying aye aye. The post signify by saying nay motion carries an item number 11: application of a transfer of ownership of a retail on off sale.

A

Malt beverage and South Dakota Farm wine and video lottery license from spice corporation doing business as cowboy country stores, number 3, 1,400 4th Street northeast to four amigos: LLC doing business as cowboy country stores number three at the same location, I, look for a motion and second for approval, Mumbai Bueller second, by Y, I'll open the public hearing. Is there anyone here to speak about this scene on I'll, close, the public hearing and look for action? All those in favor signify by saying aye was a posting, a favor, saying, nay,.

A

It was a unanimous vote in favor. Motion carries asleep at the wheel. Okay item number 12 is consideration of a request for proposals received for banking services and I am not gonna, get a motion yet I'll. Let Kristin take this.

B

Thank You mayor um attached to the agenda and then I did hand out a couple more that broke down a few of the rates that were sent for relying but just to go over. What is in front of you is, if you remember, we were tasked with going out for RFPs for banking services and the request went out for separate for the city and municipal utilities combined the city seperate and utilities separate, so the proposals went out and we're received back to the finance office on the 14th of December.

B

At that time, Adam karst from the utilities and I opened the RFPs and kind of gathered the data.

B

That's all in front of you. Those are what what the RFPs came back with then Adam and I kind of sat down and looked him over and discussed what we we thought was the best route to go.

B

When we look at these, our suggestion is that we stay combined. Our funds stay combined, we stay together and that we go with reliable. When you look at these, the interest rate from First Premier Bank was the highest.

B

We we did ask that everybody used a 91 date evil and they did come in with the highest rate, but when we take into consideration the fixed monthly fee, the interest rate savings, the difference, kind of kind of goes away with that first premiere bank did not propose anything for the city of Watertown separate or the utilities separate either. So at this point, then, if you flip it over I, don't know if you flip it over. Just look at the next page that was attached to the agenda. What we did with that is.

B

We took when we sent the RFPs out, we had average cash balances and what this does is it shows you what the interest rates that were bid and we use we picked a date. So everybody is at the same level using the same average cash balance. We projected what the monthly interest rate would be, and so, if you look at that that to helped Adam and I kind of determine that first premier bank would be the the highest as far as the interest rate, but there again the fees.

B

It's forty three thousand eight hundred there's more in fees and if we just kind of average it out which is difficult with not knowing what our cash balance will be, it's around ten thousand dollars more in interest that we'd earned, but forty three thousand and fees. So that's why the proposal is that we go with reliable for our new banking services, I'll open it up for discussion. Any questions and I do see. Representatives from the banks are here too. If anybody has specific questions that I'm not able to answer are.

A

There any questions counsel.

A

Would we don't have a motion? Would someone like to make a motion I.

C

Would move to to adopt the recommendation of our finance officer as far as utilizing services of R'lyeh, Bank and.

A

We'd be combined banking services with it.

B

Will be combined and once I received the direction, then an agreement, a full agreement would come back, but this gives me a little bit of direction of where to go.

A

Okay, so we have a motion, reveal our and a second from Thorson. Is there any discussion, any questions or comments? Councilman Villar, I've.

C

Got a couple questions Kristen up what? What is the term on this agreement?.

B

The request for proposals sent out for a five-year with the option to renew for one five-year term after that, okay.

C

It is there a provision ere that if I mean because, because we're going into new territory working with a different Bank, we've worked with the great western for a long time about good service as I understand from them over the years. So we're going to uncharted territory work with a new bank. Is there a provision for a one-year opt-out? If we.

B

Yep we've actually had in the past, and this this current agreement would have the same thing. It's a 90 day, so we 90 day notice. If the only thing that has ever been that you can't leave for is for a better interest rate. But if the service or there's issues that come up, it's a 90 day kind of clause, I guess so, and.

C

Then also that this, this does not deal with any of our CDs or any other of our dollars that we invest and we still use this utilize same process. This would not affect that going forward, that that is.

B

Correct this is currently just our cash balance. In our pooled account, the investments are held separately. Those are still sent out through the bidding process each month, and that would continue. This would not have any effect on that.

A

Thank You councilman. Why did you have a question Glen.

C

Had them answered, I was just questioning the terms. Okay are.

A

There other questions or comments. Okay, we have a motion in a second I. Look for action, all those in favor signify by saying aye. Those opposed signify by saying nay motion carries. Thank you item. 13 is approval of language change to section 11 point O, 7 of the personnel policy manual; I, look for a motion and second for approval, move by manty.

A

Second, my Albertson Matt. Would you explain this please? Yes,.

D

Mayor, thank you. So the personnel policy currently states that raises annual raises and step increases are what occur every year, based on sales tax receipts. As you're aware in our recent negotiations with the unions, we decided to get away from that practice. What you have in front of you here would what basically would amend our personnel policy to reflect the same?

D

The same policy we took with the unions where the exempt employees would now just be subject to the any raise that the council would approve on an annual basis, no longer no longer tying it to the sales tax.

A

All right are there any questions or comments about that see. None I'll, look for action. All those in favor signify by saying aye, as opposed signify by saying nay motion, carries item. 14 is authorization for the finance officer to sign a combined election agreement with a Watertown school district in Coddington, County and I did make that change. It says mayor in the packet changed it to finance officer, because the document actually has a place for the finance officer to sign so I. Look for emotions, I'm for approval, move, I'm, auntie. Second bye.

A

Why Kristen, when I explain this Thank.

B

You mayor um before you is a combined election agreement between the Watertown, School, District and Coddington County. Nothing has changed as far as the process, but it was suggested that we have more of an agreement that spells out who's responsible for what, as far as paying for ballots and stuff like that, this was actually presented to us by the school district and it has been approved by both the Watertown school district and the cutting ten count. Ii so they're both ready to sign it and were the last ones to kind of approve it.

B

It's like I said nothing changes as far as how all the elections have kind of been handled in the past. It's just kind of putting it to paper.

A

All right, thank you. Any questions. All right, I'll, look for action, all those in favor signify by saying aye. Those opposed signify by saying nay motion carries item. 15 is authorization for the mayor to execute and file a satisfaction of mortgage reguiariy regarding a mortgage loan to the Watertown Development Company. Look for motion second for approval.

C

A

By Albertson, second, with Orson, Oh Roby, sorry.

A

Matt, would you please tell us about this one sure.

D

Thank You mayor in.

A

D

The city made a loan to the Watertown development company that was secured by a mortgage on property in pheasant ridge, the development company recently refinanced that loan and paid off the balance of the note, which was roughly three hundred and sixty-five thousand dollars. This would authorize the mayor to sign the satisfaction of mortgage, releasing the mortgage on that property and it would be filed with the Register of Deeds. Thank.

A

You any questions or comments all right, all those in favor signify by saying aye.

C

A

Signify by saying, nay, motion carries item. 16 is authorization for the mayor to sign a memorandum of understanding with the Watertown Police Officers Association. Look for motion second for approval, move by Bueller, second, by Solem Matt. Please tell us about this one. Yes,.

D

Thank you mayor. So recently the council approved the three union contracts in the Watertown police officers. Association contract. Two items are inadvertently left out. Those items were agreed upon by the negotiating committee, but did not make it into the final agreement that was approved. The first would allow for a 5% increase when an officer is wage increase. Excuse me when an officer is promoted to a sergeant. This would be an increase from the 3.5%.

D

That's currently currently called for by the personnel policy, and the second item is that there were three officers that were hired in 2016 that the we we agreed in the negotiating committee to increase them one step, so they don't fall out of line with the the new hiring policy that was approved by the contract.

A

Thank you. Any questions comments all right, all those in favor signify by saying aye, all.

C

A

Opposed signify by saying, nay motion carries item number 17 is old business. Sorry old business councilman feel our well.

C

I'm not sure it's as old business or new business, but I have from a fairly reliable source. That, tomorrow is the mayor's birthday. Is that correct.

A

That is true, I think it's Matt's daughter's birthday she'll be born tomorrow.

A

That's true any other old business. That's really old business.

A

Yeah, no old business or any new business all right any liaison member reports.

A

This is a fast meeting item number 20 is executive session pursuant to SDC l1 21, and we do have a need to go into executive session to discuss and consult with legal counsel on a contractual matter. So I'll look for a motion and second to go into executive session and we do not expect to take any action when we come out. You have a motion from Bueller Sekhmet Thorson, any discussion, all those in favor signify by saying aye. Those opposed signify by saying, nay motion carries.