Kenyon City Council, March 28, 2023

Council member Mary Bailey called the Council work session to order at 5:00 pm

Review Options for Payroll Processing Services – Leah Davis Abdo

Administrator Vahlsing updated the Council on the process of gathering quotes and information on automated payroll services. The city had received 3 quotes for payroll processing. Staff has been discussing options for payroll processing for some time. With the finance position opening up it was a good time to look at options for contracting payroll processing. Utilizing a payroll service would take some of the load off the new Finance Director. Both Kathy Flikke and Sue Dodds feel that it would be a good idea for the city use a payroll service. I order to cover the costs the hours that the city pays toward the PD/City Administrative position could be reduced. The personnel committee has reviewed the concept and was supportive.

Leah Davis, CPA of Abdo provided a summary of how automated payroll system could work and improve the overall process. She also discussed the role Abdo could play in assisting the City payroll preparation and post payroll obligations..

Dionate Davis of Paylocity reviewed automated timecards and the features of Paylocity's software. He stated that Paylocity would provide the City with a quote for payroll processing.

Further Discussion and Possible Approval of Payroll Processing Proposal

The Council discussed further options for automated payroll. Administrator Vahlsing stated that he would contact other cities that use automated payroll software. He would also contact the companies that had submitted payroll proposals. Discussion would continue at the April 11 Council meeting.

Mark Vahlsing, City Administrator Molly Ryan, Acting Mayor

AGENDA ITEM NO. VII.A

Agenda Item Summary

CITY COUNCIL AGENDA ITEM REPORT

DATE: April 11, 2023

SUBMITTED BY: Mark Vahlsing, Engineering

ITEM TYPE: Engineering

Agenda Section: Engineering

SUBJECT: April 2, 2023 Sewer Main Break

SUGGESTED ACTION: Public Works Director Ehrich found a broken sewer main pipe in the south ditch of TH 60 which on Sunday April 2nd. Wastewater was draining into the TH 60 ditch which leads to Pearl Creek. He subsequently notified the State Duty officer. He then made adjustments to plant operations and located a contractor to repair the broken pipe on Monday. Further information is contained in the attached update below from the City Engineer.

Attachments:

03.1_Wastewater Release.pdf

April 2nd Wastewater Release Summary On Sunday April 2nd, Public Works discovered a broken forcemain pipe in the south ditch of TH 60 which was releasing untreated wastewater into the TH 60 ditch and Pearl Creek. As required, Public Works notified the State, adjusted plant operations, and found a contractor to repair the broken pipe by Monday morning. MnDOT assisted the City with traffic control on Monday while the repair was completed.

In total, the volume of water released to the public water is estimated at approximately 1.1 million gallons. Given the volume of this release, the MPCA was on site to evaluate the situation on Monday. Additional agencies, including the DNR and MnDOT Office of Environmental Stewardship, were also notified.

Why/How did this happen? To summarize, the release was the result of a broken forcemain pipe. The broken segment of pipe was found to be in close proximity to bedrock, which likely weakened and damaged the pipe wall over time. This line is believed to have been installed in the late 40's, shortly after the city's wastewater plant was first built. We are currently unaware of other issues (past or present) with this pipe.

This forcemain pipe is used to pump wastewater from the plant to the pond near the county shop. The ponds temporarily hold wastewater when flows are too high for the plant to handle. Rainfalls between March 31 st and April 3rd were about 2.6". Additional runoff from snow melt and generally wet soil conditions resulted in heavy clearwater flow from inflow and infiltration (I&I). Excessively high flows to the wastewater plant was the source of the flow volume which was released. On April 1st, flows peaked at 1.1 million gal/day and have been gradually decreasing (0.8 million gal/day on April 6th). Although the release issue is addressed, council should be aware that flows are still well above their preferred levels, meaning an excessive amount of I&I is still entering the system.

What's Next

As of the date of this letter, we are awaiting further correspondence from the MPCA. We are expecting some form of violation notice from the MPCA. This may consist of a fine, mandated further investigation, and/or requirements related to past/planned system maintenance and improvements related to the forcemain and system-wide I&I reduction.

For the time being, public works is actively managing high flows at the WW plant. Final costs associated with the release are not yet known. Additional remedial steps should be expected in the near future; however, it is too early to speculate the extent of that work.

Requested Action:  None, Information Only

Attached: Photos & Map

H:\KENYON_CI_MN\_General\Council Meetings\2023\04 - April 2023\01.1_Wastewater Release.docx

Page: 2

Photo Attachment

Photo 1: Water flowing down Th 60 Ditch Photo 2: Water Flowing out of ground at break location

Photo 3: Forcemain Repair Point

Sewer Map

North Fork Zumbro River

Approx Location

8" Forcemain Break Location

Pe arl Cr ee k

WW EQ Pond

April 6, 2023 1:3,600 0 0.03 0.06 0.12 mi Sanitary Grinder Station Sanitary Service Lines Sanitary Pipe 12" Sanitary Curb Stop Sanitary Forcemain 8" 15" 0 0.05 0.1 0.2 km

Sanitary Manhole 10"

ArcGIS WebApp Builder

AGENDA ITEM NO. VII.B

Agenda Item Summary

CITY COUNCIL AGENDA ITEM REPORT

DATE: April 11, 2023

SUBMITTED BY: Mark Vahlsing, Engineering

ITEM TYPE: Engineering

Agenda Section: Engineering

SUBJECT: Pearl Creek Sanitary Sewer Improvements

SUGGESTED ACTION: The City Engineer will provide an update at the Council meeting. See attached memo below.

Attachments:

02.1_2023 Street Improvements Summary.pdf

17 2023 Street Improvements Summary We are in the process of finalizing plans for this project. We will bring final plans for council approval at the May meeting.

Requested Action: None – information only

H:\KENYON_CI_MN\_General\Council Meetings\2023\04 - April 2023\02.1_2023 Street Improvements Summary.docx

AGENDA ITEM NO. VII.C

Agenda Item Summary

CITY COUNCIL AGENDA ITEM REPORT

DATE: April 11, 2023

SUBMITTED BY: Mark Vahlsing, Engineering

ITEM TYPE: Engineering

Agenda Section: Engineering

SUBJECT: 2023 Street Improvements Summary

SUGGESTED ACTION: Update from City Engineer. See attached below for more

information.

Attachments:

02.1_2023 Street Improvements Summary.pdf

19 2023 Street Improvements Summary We are in the process of finalizing plans for this project. We will bring final plans for council approval at the May meeting.

Requested Action: None – information only

H:\KENYON_CI_MN\_General\Council Meetings\2023\04 - April 2023\02.1_2023 Street Improvements Summary.docx

AGENDA ITEM NO. VII.D

Agenda Item Summary

CITY COUNCIL AGENDA ITEM REPORT

DATE: April 11, 2023

SUBMITTED BY: Mark Vahlsing, Engineering

ITEM TYPE: Engineering

Agenda Section: Engineering

SUBJECT: Pearl Creek Sanitary Sewer Improvements

SUGGESTED ACTION: Update from City Engineer. See attached below for more

information.

Attachments:

01.1_Pearl Creek Sewer Project Update.pdf

Pearl Creek Sanitary Sewer Improvements We are in the process of finalizing plans for this project and are planning to bring final plans and specifications for council approval at the May meeting. We've also been working with the city attorney to draft easement agreements.

Requested Action: None – for information only.

H:\KENYON_CI_MN\_General\Council Meetings\2023\04 - April 2023\01.1_Pearl Creek Sewer Project Update.docx

AGENDA ITEM NO. VIII.A

Agenda Item Summary

CITY COUNCIL AGENDA ITEM REPORT

DATE: April 11, 2023

SUBMITTED BY: Mark Vahlsing, Administration

ITEM TYPE: Legal

Agenda Section: Legal

SUBJECT: Jeff and Ann Traxler – Request for City to vacate alley/ROW

SUGGESTED ACTION: Jeff and Ann Traxler are asking for the City to vacate a right-of-way area that abuts their property to the west. They are requesting the area to be vacated to help with a planned expansion project of their business. They are also applying for a variance related to the proposed building project. Further information is attached below. The alley vacation process would require a survey of the area and a public hearing.

Attachments:

DOC040723-005.pdf

23 24 25 AGENDA ITEM NO. X.A

Agenda Item Summary

CITY COUNCIL AGENDA ITEM REPORT

DATE: April 11, 2023

SUBMITTED BY: Mark Vahlsing, Administration

ITEM TYPE: Old Business

Agenda Section: Old Business

Subject:

Update on Finance Director Hiring

SUGGESTED ACTION: 5 candidates were interviewed on March 13, and 23rd. Second interview with three candidates were held on March 30 and April 4. The committee has recommended Kelly Perry for appointment to the position. The KMU Board will make the final appointment on Tuesday April 11. The finalist has indicated she would be able to start the second week of May.

Attachments:

AGENDA ITEM NO. X.B

Agenda Item Summary

CITY COUNCIL AGENDA ITEM REPORT

DATE: April 11, 2023

SUBMITTED BY: Mark Vahlsing, Administration

ITEM TYPE: Old Business

Agenda Section: Old Business

SUBJECT: Review Quotes for Payroll Services

SUGGESTED ACTION: This is continuation of the discussion of automated payroll from the March 28, 2023 special Council meeting Summary from 3-14-23 Council meeting Staff has been discussing options for payroll processing for some time. With the finance position opening up it is a good time to look at options for contracting payroll processing. Utilizing a payroll service would take some of the load off of the new Finance Director. Both Kathy Flikke and Sue Dodds feel that it would be a good idea for the city use a payroll service. I order to cover the costs the hours that the city pays toward the PD/City Administrative position could be reduced. The personnel committee has reviewed the concept and is supportive. Updated quotes to reflect two entities (City and KMU). Annual Cost One Time Cost Paychex Inc, $6540 $1600 ADP $6072 Paylocity. $5758 $1000

Copies of the revised quotes are attached below. All quotes would include timekeeping software. This Software would take the place of timecards. Further action on this item may need to wait until the new finance director starts. MOTION MAY BE NEEDED

Attachments:

ADP City Revised Proposal.pdf 4-23.pdf

ADP KMU Revised Proposal.pdf 4-23.pdf Paychexx Payroll proposal 4-23.pdf Paylocity Proposal for City of Kenyon.pdf 4-23.pdf

RUN POWERED BY ADP® Proposal For City of Kenyon

Adp Proprietary And Confidential 28

Solution Detail for City of Kenyon*:

Employees 25 Payroll Frequency Bi-Weekly Start Date 03-16-2023

Payroll HR

• Payroll Processing • State and Federal Resources • Tax Filing • HR Checkups • Electronic Reports • Tip of the Week • Employee Access • Quarterly HR Newsletter • ADP Mobile Payroll • HR Dictionary • General Ledger Interface • New Hire Paperwork • Pay Option: FSDD Only • Zip Recruiter (includes 1 job slot, 50 • Delivery resume views) • New Hire Reporting • Background Checks (5 per year) • Pay Options • Employment Verification • FSDD • Lifemart • TotalPay • Small Business Marketing Toolkit • Check Stuffing/Signing • Poster Compliance Update Service • General Ledger Interface • Garnishment Payment Service • State Unemployment Service Processing Investment Product Billing Frequency Per Processing Fee ADP Enhanced Payroll Bi-Weekly $135.00 ** **In the event of additional jurisdictions, there will be a $8.95 charge per month/jurisdiction.

Annual W2 Fees

Y/E Information Stmt, W2 25 W2's Annually $217.45 Base price ($54.95) + Price per W2 ($6.50)

W-2 Delivery Annually $13.95

Promotions 6680 - Months 4, 5, 6 and 7 FREE

Total Savings with Promos: $1170.00

*This is a Proposal only. Fees are estimates and are subject to change based on variation in payroll details, frequency, features, number of employees, etc. Additional fees may be incurred if other services are purchased or for additional tax filings including, but not limited to, additional states or ‘applied for' statuses. Please consult with your sales representative for further details. The information contained in this proposal is confidential and proprietary and should not be shared with anyone outside your company.

Adp Proprietary And Confidential

ADP, the ADP Logo and RUN Powered by ADP are registered trademarks, and ADP A more human resource. is a service mark, of ADP, Inc. Copyright © 2016 ADP, Inc. ALL RIGHTS RESERVED. 29 RUN Powered by ADP® Enhanced Payroll

Enhanced Payroll delivers a comprehensive set of easy-to-use payroll tools, all backed by ADP's small business expertise.

With Enhanced Payroll, you can:

Run Payroll Calculate, Deduct

the way you want – online, and Pay Taxes via our mobile app or by phone automatically

Get Answers 24/7 Pay Your People

from experienced payroll the way they want – paper professionals by online checks or direct deposit chat or over the phone

Plus, benefit from these enhanced features: + • View, export or print detailed reports • Launch a Google Ads campaign in minutes. online, instantly Reach more customers across Google to help grow your business. • Integrate our solutions with your POS systems and/or accounting programs • You and your employees get discounts on such as Intuit®, Wave, Xero™ and more brand-name products and daily essentials • Automatically receive updated labor • Receive up to 5 single-county criminal law posters to maintain compliance background checks per year with posting regulations • Post jobs to over 100 of the web's leading • Benefit from state unemployment job boards with ZipRecruiter®. 80% of jobs insurance (SUI) management posted receive a qualified candidate within the first day* • Provide employees with easy access to pay history and up to three years of • With direct deposit, pay is deposited in W-2s/1099s each employee's account, or employees can choose to have funds deposited to a • Access HR tools and best practices to Wisely® Direct debit card** help you put HR strategies in place

*ZipRecruiter® 2021

**Wisely Direct is a prepaid account offered directly to consumers by ADP. It can be used to receive direct deposits as well as income from other sources.

ADP, the ADP logo, RUN Powered by ADP, Wisely, and Always Designing for People are trademarks of ADP, Inc. and its affiliates. ZipRecruiter is a registered trademark of ZipRecruiter, Inc. All other marks are the property of their respective owners. Copyright © 2021 ADP, Inc. All rights reserved. 30 RUN POWERED BY ADP® Proposal For City of Kenyon

Adp Proprietary And Confidential 31

Solution Detail for City of Kenyon*:

Employees 4 Payroll Frequency Bi-Weekly Start Date 03-16-2023

Payroll HR

• Payroll Processing • State and Federal Resources • Tax Filing • HR Checkups • Electronic Reports • Tip of the Week • Employee Access • Quarterly HR Newsletter • ADP Mobile Payroll • HR Dictionary • General Ledger Interface • New Hire Paperwork • Pay Option: FSDD Only • Zip Recruiter (includes 1 job slot, 50 • Delivery resume views) • New Hire Reporting • Background Checks (5 per year) • Pay Options • Employment Verification • FSDD • Lifemart • TotalPay • Small Business Marketing Toolkit • Check Stuffing/Signing • Poster Compliance Update Service • General Ledger Interface • Garnishment Payment Service • State Unemployment Service Processing Investment Product Billing Frequency Per Processing Fee ADP Enhanced Payroll Bi-Weekly $77.04 ** **In the event of additional jurisdictions, there will be a $8.95 charge per month/jurisdiction.

Annual W2 Fees

Y/E Information Stmt, W2 4 W2's Annually $80.95 Base price ($54.95) + Price per W2 ($6.50)

W-2 Delivery Annually $13.95

Promotions 6680 - Months 4, 5, 6 and 7 FREE

Total Savings with Promos: $667.68

*This is a Proposal only. Fees are estimates and are subject to change based on variation in payroll details, frequency, features, number of employees, etc. Additional fees may be incurred if other services are purchased or for additional tax filings including, but not limited to, additional states or ‘applied for' statuses. Please consult with your sales representative for further details. The information contained in this proposal is confidential and proprietary and should not be shared with anyone outside your company.

Adp Proprietary And Confidential

ADP, the ADP Logo and RUN Powered by ADP are registered trademarks, and ADP A more human resource. is a service mark, of ADP, Inc. Copyright © 2016 ADP, Inc. ALL RIGHTS RESERVED. 32 RUN Powered by ADP® Enhanced Payroll

Enhanced Payroll delivers a comprehensive set of easy-to-use payroll tools, all backed by ADP's small business expertise.

With Enhanced Payroll, you can:

Run Payroll Calculate, Deduct

the way you want – online, and Pay Taxes via our mobile app or by phone automatically

Get Answers 24/7 Pay Your People

from experienced payroll the way they want – paper professionals by online checks or direct deposit chat or over the phone

Plus, benefit from these enhanced features: + • View, export or print detailed reports • Launch a Google Ads campaign in minutes. online, instantly Reach more customers across Google to help grow your business. • Integrate our solutions with your POS systems and/or accounting programs • You and your employees get discounts on such as Intuit®, Wave, Xero™ and more brand-name products and daily essentials • Automatically receive updated labor • Receive up to 5 single-county criminal law posters to maintain compliance background checks per year with posting regulations • Post jobs to over 100 of the web's leading • Benefit from state unemployment job boards with ZipRecruiter®. 80% of jobs insurance (SUI) management posted receive a qualified candidate within the first day* • Provide employees with easy access to pay history and up to three years of • With direct deposit, pay is deposited in W-2s/1099s each employee's account, or employees can choose to have funds deposited to a • Access HR tools and best practices to Wisely® Direct debit card** help you put HR strategies in place

*ZipRecruiter® 2021

**Wisely Direct is a prepaid account offered directly to consumers by ADP. It can be used to receive direct deposits as well as income from other sources.

ADP, the ADP logo, RUN Powered by ADP, Wisely, and Always Designing for People are trademarks of ADP, Inc. and its affiliates. ZipRecruiter is a registered trademark of ZipRecruiter, Inc. All other marks are the property of their respective owners. Copyright © 2021 ADP, Inc. All rights reserved. 33 Document: CPQ EFS

Investment Summary

CITY OF KENYON Created Date: 04-04-2023 Quote Number: Q-664921 Prepared by: Prepared for: Nicole Lane CITY OF KENYON Mid-Market HCM Consultant MARK VAHLSING nlane@paychex.com mvahlsing@cityofkenyon.com

City Of Kenyon

Paychex Flex Enterprise

Per Pay Period - Bi-Weekly Units Rate / Unit Total Discount Rate / Unit Net Total

after Discount

Paychex Flex Enterprise

Paychex Flex Payroll Bundle - Per 1 $166.00 $166.00 45.0% $91.30 $91.30 Payrun Fee

Paychex Payroll 26 $5.45 $141.70 45.0% $3.00 $78.00

Flex Time 26 $2.50 $65.00 45.0% $1.37 $35.62

Paychex Flex Time - Per Payrun 1 $28.00 $28.00 45.0% $15.40 $15.40 Fee

Total $220.32

Annual Fees Units Rate / Unit Total Discount Rate / Unit Net Total

after Discount

YE Processing- Forms W2/1099 - 1 $82.50 $82.50 0.0% $82.50 $82.50 Base

YE Processing- Forms W2/1099 - 26 $7.50 $195.00 0.0% $7.50 $195.00 Per User

YE Handling Fee 1 $25.00 $25.00 0.0% $25.00 $25.00

Total $302.50

One-time Fees Units Rate / Unit Total Discount Rate / Unit Net Total

after Discount

Paychex Flex Payroll Bundle - Setup 1 $500.00 $500.00 0.0% $500.00 $500.00 Fee

Paychex Flex Time - Setup Fee 1 $1,000.00 $1,000.00 50.0% $500.00 $500.00

Total $1,000.00

1 34 Document: CPQ EFS

electric city of kenyon Paychex Flex Enterprise

Per Pay Period - Bi-Weekly Units Rate / Unit Total Discount Rate / Unit Net Total

after Discount

Paychex Flex Enterprise

Paychex Payroll 4 $5.45 $21.80 45.0% $3.00 $12.00

Flex Time 4 $2.50 $10.00 45.0% $1.37 $5.48

Total $17.48

Annual Fees Units Rate / Unit Total Discount Rate / Unit Net Total

after Discount

YE Processing- Forms W2/1099 - 4 $7.50 $30.00 0.0% $7.50 $30.00 Per User

YE Handling Fee 1 $25.00 $25.00 0.0% $25.00 $25.00

Total $55.00

One-time Fees Units Rate / Unit Total Discount Rate / Unit Net Total

after Discount

Paychex Flex Time - Setup Fee 1 $600.00 $600.00 0.0% $600.00 $600.00

Total $600.00

2 35 Document: CPQ EFS

Investment Summary Package

Paychex Flex® Enterprise Paychex Flex® Enterprise Talent Management Workforce Management • HR Library • Reporting and Analytics • Onboarding Tasks • General Ledger Report • Post Jobs with Indeed® • New-Hire Reporting • Paychex Flex HR Administration • Employment & Income Verification Services • Employee Handbook Builder • Paychex Employee Screening Essentials - 15 • Labor Compliance Poster Kit • Performance Management • Custom Reports and Data Exports • Document Management • State Unemployment Insurance Service • Labor Distribution and Job Costing • Time-Off Accrual (TOA) Reporting

Payroll and Financial Support Employee Experience

• Payroll Processing • Enhanced Employee Mobile Experience

• Payroll Tax Services - Taxpay® • Learning Management System (LMS)

• Flexible Employee Pay Options • Online Reports and Analytics

• Garnishment Payment Service • Corporate Events Calendar

• General Ledger Service • Cashflow Assistance (FinFit®) • 401(k) Report • Retirement Plan Summary Report • 24/7 U.S. Based Expert Support

3 36 Document: CPQ EFS

Notations Product / Billing • Totals displayed do not include sales tax where applicable. • Prices are subject to change with advance notice; promotions are excluded from change. * Additional training content for Paychex Learning Product offering is purchased through the e-commerce tool site by authorized users. • Payroll Delivery: Delivery fees charged only if incurred. • Quarter/Year End Report Delivery: Quarter/YE Report Delivery fees are not included and will be charged if a package is delivered. Additional fees will apply.

Implementation • Worker's Compensation Report or Worker's Compensation Payment Service: Worker's Compensation Payment Service • General Ledger Report or General Ledger reporting service: General Ledger Report

Year-End Delivery

• Note: Please review your delivery method with your service provider before 12/31 to avoid additional charges. • Online Only • You and your employees will receive no physical output. • W2s are typically available online within the first full week of January.

4 37 Investment Summary April 5, 2023 | Quote # Q-102860 | Quote valid for 30 days

Client Company Client Contact

City of Kenyon Mark Vahlsing 709 2nd St 709 2nd St Kenyon, MN 55946 Kenyon,MN 55946 (507) 789-6415 ext. 105 (507) 789-6415 ext. 105

Total Employee Count Total Annual Investment

35 $5,758.26

Implementation Fee (One Time) Monthly Fee

$1,000.00 $445.48

Loc # Group # Company Name Emp Cnt Base Rate Monthly Annual Implementation

1 1 City of Kenya 31 $108.29 $6.54 $311.03 $4,039.86 $543.47 2 1 kmu 4 $108.29 $6.54 $134.45 $1,718.40 $456.53 Total 35 $445.48 $5,758.26 $1,000.00 *Annualized fees do not include usage based fees *Monthly fees based on # of active employees **Plus sales tax if applicable FT See following pages for line item breakdown of services

Paylocity Account Executive

A Date Diontae Jones

Signature R (612) 358-4010

Client Authorization

Signature *Signature1 D *DateSigned1 Date

Name (Print)

The Paylocity services covered by this agreement are provided in accordance with the terms and conditions of this agreement.

Investment Summary April 5, 2023 | Quote # Q-102860 | Quote valid for 30 days

One-Time Fees Group Qty Rate Price

Bundle Implementation $1,000.00 Payroll Implementation 1 - - Included Time Off Accruals Implementation 1 - - Included General Ledger Implementation 1 - - Included HR Implementation 1 - - Included Self Service Implementation 1 - - Included Time & Labor Implementation 1 - - Included One-Time Total $1,000.00

Group(s): 1 Monthly Fees Qty Base Rate Monthly Complete HCM Solution 35 (See First Page Summary) $445.48 HR & Payroll  Payroll Processing Bi-Weekly/Semi-Monthly - - - Included  Tax Filing - - - Included  Time Off Accruals - - - Included  Direct Deposit  Signed and Sealed Checks  New Hire Reporting  Unlimited Product Training FT - - - - - - - - - - - - Included Included Included Included  Analytics  Employee Action Forms  Payroll Proration/Retro-pay A - - - - - - - - - Included Included Included  General Ledger Service  HR  Self Service Portal R - - - - - - - - - Included Included Included Employee Engagement  Mobile  Community  Peer Recognition D - - - - - - - - - Included Included Included Time & Labor  Time & Labor - - - Included Monthly Total $445.48

Annual Fees Grp # Ctrls Base Qty Rate Annual

W2 / 1099 1 2 $50.00 35 $7.00 $345.00 Annual SSN Verification 1 2 $25.00 35 $0.50 $67.50 Annual Total $412.50

Usage Based Fees Base Rate

Delivery Next Day (UPS) $20.00 Split Pack $6.00 Garnishment Managed Services $8.00 The fees listed above are invoiced as incurred on per usage basis in accordance with the terms and conditions. Please note these fees are in addition to the ongoing fees stated in the Investment Summary section of the quote.

Investment Summary April 5, 2023 | Quote # Q-102860 | Quote valid for 30 days

FT A R D

AGENDA ITEM NO. XI.A

Agenda Item Summary

CITY COUNCIL AGENDA ITEM REPORT

DATE: April 11, 2023

SUBMITTED BY: Mark Vahlsing, City Council

ITEM TYPE: New Business

Agenda Section: New Business

SUBJECT: On-Sale Liquor License Renewal- Kenyon VFW

SUGGESTED ACTION: Annual liquor license for VFW. See attached license below.

Attachments:

DOC040723-004.pdf

41 42 AGENDA ITEM NO. XI.B

Agenda Item Summary

CITY COUNCIL AGENDA ITEM REPORT

DATE: April 11, 2023

SUBMITTED BY: Mark Vahlsing, Administration

ITEM TYPE: New Business

Agenda Section: New Business

SUBJECT: Board of Appeal and Equalization Meeting – Thursday, April 20,

2023

SUGGESTED ACTION: The Board of Appeal will be held by the Goodhue County Assessors

Office on April 20. The meeting will be held in the Council room. The purpose of the Board of Appeal is for property owners to appeal their tax valuation. The Assessors office will serve as the Board for at least the next three years. See notice attached below.

Attachments:

AGENDA ITEM NO. XI.C

Agenda Item Summary

CITY COUNCIL AGENDA ITEM REPORT

DATE: April 11, 2023

SUBMITTED BY: Mark Vahlsing, Legal

ITEM TYPE: New Business

Agenda Section: New Business

SUBJECT: Request for Chickens within City Limits

SUGGESTED ACTION: Joe and Briana Jensen have requested consideration for an ordinance to allow chickens in residentially zoned areas of the City. If the Council is interested in exploring this idea further the City Administrator and City Attorney would need to develop a draft ordinance. The draft ordinance would then be reviewed by the Council for possible adoption.

Motion May Be Needed

Attachments:

AGENDA ITEM NO. XI.D

Agenda Item Summary

CITY COUNCIL AGENDA ITEM REPORT

DATE: April 11, 2023

SUBMITTED BY: Mark Vahlsing, Administration

ITEM TYPE: New Business

Agenda Section: New Business

SUBJECT: Solid Waste Hauler Agreement

SUGGESTED ACTION: The current agreement for Solid Waste (trash) hauling expires June 30, 2023. The Council has the option to extend the contract 2 or 3 years. It can also authorize staff to advertise for quotes. The City attorney may also have other comments on this process. A copy of the current contract is attached below. Flom has requested an increase to rates based on the CPI for the last two years and higher tipping fees at the Red Wing Land Fill. The requested increase is

City of Red Wing Solid Waste increase breakdown:

Avg 42 tons/month is collected, $5x42=2520/yr. increase

.27/month/resident

CPI (consumer price index adjustment) 2021=7% and 2022=6.5%

65gallon 95gallon

$1.21/month increase 2021 $1.73/month increase 2021

$1.20/month increase 2022 $1.72/month increase 2022

Total $2.41/Month Total $3.45/month

65gallon $2.68/monthly increase

45 95gallon $3.72/monthly increase

65gallon new rate $19.99, old rate $17.31 95gallon new rate $ 28.50, old rate $ 24.78

If the Council would like to proceed staff would recommend a 3 year extension of the current agreement. The City attorney would draft the revised agreement. Information is contained in the letter from Flom attached below. MOTION NEEDED

Attachments:

letter to city of Kenyon March 2023.docx FlomAmendedSanitationcontract9-2020.docx

46 5865 Kenyon Blvd * Faribault, MN 55021 507-334-5767 March 17th, 2023 Mark Vahlsing, Kenyon City Administrator RE: Request for rate increase I appreciate the opportunity to provide the City of Kenyon with our waste and recycling services. I believe our partnership has been beneficial for my business as well as the residents of Kenyon. We are in the second year of our five year extension and look forward to many more. This letter has two price adjustments, one due to City of Red Wing Solid Waste Campus (Goodhue County) disposal fee increase of $5/ton and a CPI adjustment. No CPI adjustment was done in 2021, therefore there is an adjustment for 2021 and 2022. CPI is determined by using the U.S Department of Labor Bureau of Labor Statistics website: https://www.usinflationcalculator.com/inflation/consumer-price-index-and-annual-percent-changes

City of Red Wing Solid Waste increase breakdown: Avg 42 tons/month is collected, $5x42=2520/yr. increase .27/month/resident CPI (consumer price index adjustment) 2021=7% and 2022=6.5% 65gallon 95gallon $1.21/month increase 2021 $1.73/month increase 2021 $1.20/month increase 2022 $1.72/month increase 2022 Total $2.41/Month Total $3.45/month

65gallon $2.68/monthly increase 95gallon $3.72/monthly increase 65gallon new rate $19.99, old rate $17.31 95gallon new rate $ 28.50, old rate $ 24.78

The team here at Flom Disposal is proud of the service we provide for the City of Kenyon, and it is my hope that we can continue to provide our services for many years to come. I am always available to discuss any question or concerns. Sincerely, Kyle Flom kyle@flomdisposal.com Owner Flom Disposal

AMENDED AND RESTATED LICENSE AGREEMENT

THIS AMENDED AND RESTATED LICENSE AGREEMENT (the "Agreement") is entered into this 12th day of August, 2020, by and between the City of Kenyon, located at 709 2nd Street, Kenyon, Minnesota 55946 (hereinafter "City") and Flom Disposal, Inc., a Minnesota business corporation, located at 5865 Kenyon Boulevard, Faribault, MN 55021 (hereinafter "Flom Disposal").

Witnesseth:

WHEREAS, the parties entered into a License Agreement on June 28, 2018, and now desire to amend such License Agreement as set forth in this Agreement;

WHEREAS, consistent with Kenyon City Code Section 1115 and City of Kenyon

Administrative Policy No. 24, the City and Flom Disposal desire to enter into this Agreement and transfer an existing license for garbage and refuse collection within the City to Flom Disposal; and

WHEREAS, both the City and Flom Disposal have concluded that it is in the best interests of both parties to enter into the following Agreement, including the terms and conditions hereinafter set forth.

NOW, THEREFORE, the parties hereto do mutually agree as set forth below:

A. Terms and Conditions for License.

1. Consistent with Kenyon City Code Section 1115, Kenyon Administrative Policy No. 24 and Minnesota statutes, the City agrees to transfer and issue a collector license to collect garbage or refuse in the City to Flom Disposal, as provided in this Agreement.

2. Flom Disposal shall (a) have water-tight, packer-type vehicles in good condition to prevent loss in transit of liquid or solid cargo; (b) keep all vehicles clean and as free from offensive odors as possible and not allow vehicles to stand in any street longer than reasonably necessary to collect garbage or refuse; and (c) all vehicles shall be dumped or unloaded only at a designated sanitary landfill.

3. Flom Disposal must file with the city administrator evidence of public liability insurance on all vehicles used and in operations by Flom Disposal. The minimum limits of coverage of such insurance shall be:

a) Each person injured, at least $1,000,000.00; b) Each accident, at least $1,000,000.00; c) Property damage, at least $300,000.00; d) Workers' compensation with statutory limits on all employees.

Any insurance policy required under this section shall remain in full force and effect at all times that Flom Disposal is licensed by the City. All policies shall contain a provision

DOCSOPEN\KE200\51\673859.v1-9/8/20

48 requiring the City to be notified at least 30 days prior to the expiration or cancellation of any insurance policy. Failure to carry the required insurance shall be grounds for termination of the license and this Agreement.

4. In the interest of maintaining healthful and sanitary conditions in the City, the City may specify and assign certain areas for scheduled pick up on dates as determined by the City. Scheduled pick-up of garbage and refuse shall occur no earlier than 7:30 a.m.

5. The term of this license and this Agreement shall be for three years, from July 1, 2018 through June 30, 2021, unless terminated earlier as provided herein, and with an option to extend this license and Agreement for an additional two-year time period in the sole discretion of the City.

6. A schedule of rates to be charged during the licensed period is set forth in Section B below. Flom Disposal may petition the council for review of such rates 24 months from the original date of this Agreement. Any requested increase in rates shall be submitted to the City in writing, at least 90 days, or such other timeframe as set forth in the Goodhue County Waste Designation Ordinance, whichever timeframe is shorter, prior to the proposed implementation date for any rate increase. A request for rate increase by Flom Disposal shall include all information necessary to support the proposed adjustment, as well as any other information requested by the City including comparative rates in surrounding communities. Any rate increases must be approved by the council. Prior to voting on any proposed rate increase, the City may hold a public hearing, preceded by 10 days' published notice. Flom Disposal may not charge rates in excess of the rates approved by the City. The pricing system to be used by Flom Disposal shall be based upon the volume of the garbage or other refuse collected.

7. Flom Disposal acknowledges that the license to collect and haul garbage within the City is subject to all terms and conditions contained in this Agreement, Kenyon City Code Section 1115, City of Kenyon Administrative Policy No. 24 and Minnesota Statutes, with both Section 1115 and Administrative Policy No. 24 being incorporated into this Agreement by reference as if fully set forth herein.

8. Flom Disposal must maintain a current Goodhue County Refuse Hauler License during the term of this agreement. Flom Disposal shall procure, at its own expense, all licenses, permits or other rights, required for the provision of services contemplated by the agreement. Flom Disposal shall inform the City of any changes in the above within five (5) days of occurrence.

B. Rates and Billing.

1. City customers that pay the family garbage rate will get a 96 gallon cart and those that pay the single/senior rate will get a 64 gallon cart. There shall be no charge for carts, and the cart must remain with the property should the customer move. (If the customer takes the cart, the customer will be charged for it.)

DOCSOPEN\KE200\51\673859.v1-9/8/20

49 2. Base Rates. Base rates per month are determined when applying for utility service:

a. Single / Senior (62 or over): $17.31 b. Family: $24.78

The rates provided herein are effective November 10, 2020 and constitute rate increases from the initial License Agreement terms and rates based upon cost increases resulting from the Goodhue County Waste Designation Ordinance, as well as an included rate increase equal to the Consumer Price Index as contemplated by Paragraph B.4. of this Agreement.

3. Fuel Surcharge. In order to provide the most cost-effective solution for the City, the following separator for fuel prices shall apply. If diesel fuel remains below $3.50 per gallon, the fuel surcharge shall be 0 percent. If diesel fuel is at or above $3.50 per gallon, the following fuel surcharge percentages shall apply to the base rate:

Diesel Fuel Price per Gallon Fuel Surcharge

<$3.50 0 percent $3.50 to $3.74 2 percent $3.75 to $3.99 4 percent For every $0.25 per gallon increase The Fuel Surcharge will increase by 1% above $3.99

The published index for determining monthly diesel fuel prices will be the Department of Energy's (DOE) "Weekly Retail On-Highway Diesel Prices" for the Midwest region. The price published for the first Monday of the month will be used as that month's diesel fuel price. The prices can be viewed at the DOE's website: http://www.eia.gov/petroleum/gasdiesel/

4. The rates set forth in Section B.2. and B.3. of this Agreement shall not increase for twenty-four (24) months from the starting date of this agreement. Upon the request of Flom Disposal, consistent with the terms of this Agreement and City Code Section 1115, a rate increase equal to the Consumer Price Index may be allowed after the first twenty- four months of this Agreement. Any subsequent increase requests must be approved by the City Council under the terms of this agreement.

5. The City will conduct all billing for garbage collections. Said billing will be part of the residential monthly utility bill. All billing amounts collected shall be forwarded to Flom Disposal within 30 days. The City will attempt to collect all past due billings but will not guarantee the amount forwarded to the City each month. Flom Disposal shall pay the City $800.00 per month to cover the City's costs for billing associated with this Agreement.

DOCSOPEN\KE200\51\673859.v1-9/8/20

C. Garbage Collection.

1. Garbage Pickup Schedule. The weekly garbage pickup schedule will be approved by City Council, in its sole discretion, and memorialized in City of Kenyon Administrative Policy No. 24. The current pickup day is Wednesday. Any requested schedule changes shall be submitted in writing to the City for consideration by the City Council. Flom Disposal shall bear all costs involved in notifying customers of approved schedule changes.

2. Use of Garbage Carts:

a. All garbage must be in the cart. b. Carts must be placed at the end of a driveway, with the opening of the lid facing the street. c. Three feet of space must be provided around the cart. d. Items that do not fit into the cart will not be collected with the regular garbage unless the customer has contacted Flom Disposal ahead of time to arrange for pickup. (There may be an additional fee charged at the time of any extra pickup.)

3. Interruption of Garbage Service. No charges will be incurred for any billing period if there is an absence of at least 30 consecutive days. All interruptions in service must be approved in advance by the City.

D. Compliance. Flom Disposal's operations and activities shall be in compliance with all court orders, law, statutes, ordinances, executive orders, or regulations promulgated by a governmental authority having jurisdiction.

E. License Fee. The annual fee for this license shall be set by City resolution and shall not be prorated. Subsequent annual payments of the license fee shall be paid by the first working day of each year. Failure to pay the license fee shall be grounds for termination of the license and this Agreement. In determining the amount of the license fee, the City shall include all costs incurred by the City to administer the license and to enforce City Code provisions relating to refuse collection.

F. No Customer Contracts. City customers shall not be required to enter into a contract or other term agreement with Flom Disposal to receive service pursuant to this license and this Agreement.

G. Missed Pick-ups/customer complaints. Whenever a customer notifies Flom Disposal, or the

City, of a location which did not receive scheduled service, Flom Disposal shall service such location no later than the day following the customer notification. All customer complaints made to Flom Disposal shall be answered promptly and courteously, and a record of said complaints shall be maintained by Flom Disposal and provided to the City upon demand. Flom Disposal shall meet with City staff at least quarterly to address any customer complaints regarding Flom Disposal's performance of refuse collection, hauling or disposing.

DOCSOPEN\KE200\51\673859.v1-9/8/20

H. Assignability of license. The license issued by the City and this Agreement may not be assigned or transferred in whole or in part by Flom Disposal unless the City gives its approval prior to any proposed assignment or transfer. Any attempt to assign or transfer the license in whole or in part without prior approval of the City shall be grounds for termination of the license and this Agreement.

I. Termination or Revocation. The license and Agreement may be terminated by the City, in its sole discretion, by providing 90 days' written notice to Flom Disposal. The license and Agreement may be revoked immediately upon occurrence of any of the following:

1. Flom Disposal fails to comply with the provisions of the Agreement, or is in violation of city or county ordinances, state or federal laws or regulations; or

2. The City determines that Flom Disposal's performance of refuse collection, hauling or disposal is unsatisfactory.

J. Hold Harmless and Indemnification; No Waiver by the City. Flom Disposal agrees to defend,

indemnify and hold the City, its officials, employees, agents and contractors harmless from any liability, claims, damages, costs, judgments, or expenses, including reasonable attorneys' fees, resulting directly or indirectly from an act or omission (including without limitation professional errors or omissions) of Flom Disposal, its agents, employees, or subcontractors in the performance of the services provided by this Agreement and against all losses by reason of the failure of Flom Disposal fully to perform, in any respect, all obligations under this Agreement.

By issuing this license or entering into this Agreement, the City does not waive its entitlement to any immunities under Minnesota statutes, case law or common law.

K. Severability. If any clause, sentence or section of this license and Agreement is deemed invalid by any judicial, regulatory or legislative body having proper jurisdiction, the remaining provisions shall not be affected.

L. Subcontractors. Flom Disposal shall not enter into subcontracts for services provided under this license and this Agreement without the express written consent of the City.

M. Assignment. Flom Disposal shall not assign this license or this Agreement or any interest arising herein without the express approval and written consent of the City.

N. Records Access. Flom Disposal shall provide the City access to any books, documents, papers, and records which are directly pertinent to the license or this Agreement, for the purpose of making audit, examination, excerpts, and transcriptions, for three years after final payments and all other pending matters related to this license and this Agreement are closed.

O. City Expenses. Flom Disposal shall reimburse the City for all expenses associated with development of this Agreement.

DOCSOPEN\KE200\51\673859.v1-9/8/20

P. Data Practices Act Compliance. Data provided to the City concerning this matter and/or under this Agreement shall be administered in accordance with Minnesota Statutes, Chapter 13, and all data on individuals or license applicants shall be maintained in accordance with statutory guidelines. The parties acknowledge that this Agreement is public data.

Q. Choice of Law and Venue. This Agreement shall be governed by and construed in accordance with the laws of the state of Minnesota. Any disputes, controversies, or claims arising out of this Agreement shall be heard in the state or federal courts of Minnesota, and all parties to this Agreement waive any objection to the jurisdiction of these courts, whether based on convenience or otherwise.

R. Entire Agreement. This Agreement, any attached exhibits and any addenda or amendments signed by the parties shall constitute the entire agreement between City and Flom Disposal, and supersedes any other written or oral agreements between City and Flom Disposal. This Agreement can only be modified in writing signed by City and Flom Disposal.

S. Execution in Counterparts. This Agreement may be executed in counterparts by the parties hereto.

[Signature page to follow]

DOCSOPEN\KE200\51\673859.v1-9/8/20

IN WITNESS WHEREOF, the City and Flom Disposal have approve this Agreement the day and year first written above.

City Of Kenyon

Dated: ____________, 2020. By: __________________________________

Douglas Henke, Mayor

Dated: ____________, 2020. By: __________________________________

Mark R. Vahlsing City Administrator

Flom Disposal, Inc.

Dated: ____________, 2020. By: __________________________________

Its: __________________________________

DOCSOPEN\KE200\51\673859.v1-9/8/20

AGENDA ITEM NO. XI.E

Agenda Item Summary

CITY COUNCIL AGENDA ITEM REPORT

DATE: April 11, 2023

SUBMITTED BY: Mark Vahlsing, Administration

ITEM TYPE: New Business

Agenda Section: New Business

SUBJECT: Resolution 2023-06 City Support for SF3087 Amendment for

Appropriation, Transportation Management Organization Development

SUGGESTED ACTION: The Southeast League of Municipalities (SEMLM) has been working

with area transportation providers including Hiawatha land transit to request State funding to assist with the development of a plan for a regional transit system (TMO) in SE MN. This would connect cities to one another for residents to get to higher education facilities, medical care, jobs, and any other activities that require use of transit. The study would gather input from cities, counties, employers, higher education, medical care providers, K-12 schools, current transit providers, and other interested entities. This study findings could create the framework for how our region might set up a Transit Management Organization (TMO). SEMLM is asking area city councils to pass a resolution of support for state funding for the study. The resolution and further information from SEMLM is attached below.

Attachments:

DOC040723-001.pdf Resolution 2023-06 City Support for SF3087 Amendment for Appropriation, Transportation Management Organization Development.docx

55 56 57 RESOLUTION NO. 2023-06

City Of Kenyon

COUNTY OF GOODHUE

STATE OF MINNESOTA

RESOLUTION IN SUPPORT OF SF3087 AMENDMENT FOR "APPROPRIATION; TRANSPORTATION MANAGEMENT ORGANIZATION DEVELOPMENT.

$350,000 in fiscal year 2024 is appropriated from the general fund to the commissioner of transportation for grants to the city of Chatfield to develop a transportation management organization in southeastern Minnesota. The commissioner must not retain any portion of this appropriation. Funds under this section are available for developing a comprehensive assessment and financial plan for a transportation management organization in the counties of Rice, Goodhue, Dodge, Steele, Wabasha, Olmsted, Winona, Freeborn, Mower, Fillmore, and Houston. From funds under this section, the study must assess how the transportation management organization can develop resources to meet the region's growing and changing transportation needs and prioritize transportation-related challenges that affect the region's workforce, access to health care and postsecondary education, and quality of life."

Whereas, southeast Minnesota lost key transit services in the region during the recent pandemic, and

Whereas, communities in southeast Minnesota are highly interconnected by jobs, higher education, medical services, and other activities that require travel, and

Whereas, communities in southeast Minnesota wish to build on and advance the region's current transit systems, services, and facilities, and

Whereas, communities have identified the need for southeast Minnesota to affirm the TMO approach meets regional needs and priorities, by including major employers, post- secondary commuter-based education, healthcare insurers and providers, elected officials, and transportation providers, and

Whereas, planning for a TMO requires a detailed financial plan for a three-year start-up implementation phase, including specific public and private funding sources,

Now, therefore be it resolved that the City of Kenyon supports the appropriation request stated above for the purpose of creating a study and plan of a Regional Transit Management Organization for southeastern Minnesota. Adopted by the City Council of the City of Kenyon on this 11th day of April, 2023. ATTEST: ___________________________ ______________________________ Mark Vahlsing, City Administrator Douglas Henke, Mayor

AGENDA ITEM NO. XI.F

Agenda Item Summary

CITY COUNCIL AGENDA ITEM REPORT

DATE: April 11, 2023

SUBMITTED BY: Mark Vahlsing, Administration

ITEM TYPE: New Business

Agenda Section: New Business

SUBJECT: Resolution 2023-07 Support of HF1285 to Remove the Income

Restrictions for Tax Increment in Non-Metropolitan Counties of Minnesota

SUGGESTED ACTION: The SE League of Municipalities is requesting that City Councils

pass a resolution in support of a Minnesota House Bill that would remove income restrictions for housing TIF districts for areas in greater Minnesota. Further information on bill and housing TIF districts is attached below.

Attachments:

Resolution 2023-07 Support of HF1285 TO REMOVE THE INCOME RESTRICTIONS FOR TIF IN

NON-METROPOLITAN COUNTIES OF MINNESOTA..docx DOC040723-002.pdf DOC040723-001.pdf

RESOLUTION NO. 2023-07

City Of Kenyon

COUNTY OF GOODHUE

STATE OF MINNESOTA

Resolution In Support Of Hf1285 To Remove The Income Restrictions For Tif

IN NON-METROPOLITAN COUNTIES OF MINNESOTA.

Whereas, there is need for more flexibility to use TIF as deemed necessary by the communities of our region,

Whereas, there is a significant need for a broad spectrum of housing types in southeast Minnesota communities,

Whereas, cities need the ability to set their own income limits for TIF housing projects,

Whereas, cities need the ability to locally set other parameters that match the needs of the community, and

Whereas, this bill would make a difference in what cities could do to serve their communities,

Now, therefore be it resolved that the City of Kenyon hereby supports HF1285, which would remove the income restrictions for TIF in the non-metropolitan counties in Minnesota.

Adopted by the City Council of the City of Kenyon on this 11th day of April, 2023.

Attest:

___________________________ ______________________________ Mark Vahlsing, City Administrator Douglas Henke, Mayor

60 61 62 63 64 65 66 67 68 69 70 AGENDA ITEM NO. XI.G

Agenda Item Summary

CITY COUNCIL AGENDA ITEM REPORT

DATE: April 11, 2023

SUBMITTED BY: Mark Vahlsing, Fire

ITEM TYPE: New Business

Agenda Section: New Business

SUBJECT: Fire Relief Gambling Application – Kenyon Country Club

SUGGESTED ACTION: The Fire Relief Association is requesting Council approval for a

lawful gambling application to operate pull tabs at the Kenyon Country Club. MOTION NEEDED

Attachments:

Resolution 2023-08 Approving the Application for Lawful Gambling of Kenyon Firemen's Relief

Assocation.doc

RESOLUTION 2023-08

City Of Kenyon

COUNTY OF GOODHUE

STATE OF MINNESOTA

A Resolution Approving The Application

FOR LAWFUL GAMBLING OF KENYON FIREMEN'S RELIEF ASSOCIATION

WHEREAS, Kenyon Firemen's Relief Association desires to continue lawful gambling operations; and

WHEREAS, there is a requirement that the local unit government must pass a resolution specifically approving or denying the gambling license application; and

WHEREAS, the Kenyon City Council acknowledges that Kenyon Firemen's Relief

Association is applying for a premise permit for Pull Tabs within the City limits.

NOW THEREFORE, BE IT RESOLVED, that the City of Kenyon hereby approves the application of Kenyon Firemen's Relief Association to conduct lawful gambling at "Kenyon Country Club".

Adopted by the City Council on this 11th day of April 2023.

Douglas Henke

Mayor ATTEST:

Mark Vahlsing

City Administrator

AGENDA ITEM NO. XII.A

Agenda Item Summary

CITY COUNCIL AGENDA ITEM REPORT

DATE: April 11, 2023

SUBMITTED BY: Mark Vahlsing, Administration

ITEM TYPE: Miscellaneous

AGENDA SECTION: F.Y.I. - Department Updates

Subject: Fyi

SUGGESTED ACTION: See attached department updates.

Attachments:

4-11-23 FYI.pdf

73 74 75 76 77 78 79 80 81 82 83 84