April 10, 2023

City of Dexter City Council

Work Session, Public Hearing, and Meeting

Monday, April 10, 2023 at 6 p.m.

3515 Broad Street, Dexter, MI 48130 and via Zoom

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Meeting ID: 881 4138 1694#

Work Session Agenda: https://files.dextermi.gov/City_Council/2023/Agendas/2023-04-10-CC-A-WS.pdf

Work Session Packet: https://files.dextermi.gov/City_Council/2023/Packets/2023-04-10-CC-P-WS.pdf

Public Hearing Notice: https://files.dextermi.gov/Public_Notices/2023/8050%20Main%20Lease%202023.pdf

Meeting Agenda: https://files.dextermi.gov/City_Council/2023/Agendas/2023-04-10-CC-A.pdf

Meeting Packet: https://files.dextermi.gov/City_Council/2023/Packets/2023-04-10-CC-P.pdf

Work Session @ 6:00 p.m.

The purpose of this work session is to discuss City Council Rules. No formal action will be taken.

Public Hearing @ 7: 00 p.m.

In October of 2022, City Council approved an ordinance to lease the property at 8050 Main St. to Hotel Hickman (Scott Thomas DBA Hotel Hickman). Since the passage of that ordinance, Scott Thomas has sold Hotel Hickman to Melissa McClure. Since the previous lease agreement specifically names Scott Thomas, Council will need to pass another ordinance to approve a lease agreement with Hotel Hickman.

On March 13, 2023, City Council approved a motion to set a public hearing date for for April 10,2023 to consider a new ordinance to lease property to Hotel Hickman. The draft ordinance maintains the same monthly rental rate of $700, then $725 in December 2023. The lease keeps a 2-year term, and would expire at the end of March 2025.

Regular Meeting @ 7:00 p.m.

As always, there are two opportunities for non-arranged public participation: one near the beginning of the meeting and one near the end of the meeting. See the agenda for details. Just state your name and address and then share your thoughts–it’s that easy!

During pre-arranged participation, we will hear from:

  • Mayor Keough regarding a proclamation for the Dexter High School Women’s Field Hockey Team

  • Ann Arbor Trout Unlimited regarding stream habitat improvements in Mill Creek

  • Andy Campbell regarding Baker Tilly’s rate study

    • In June 2022, City Council approved a proposal from Baker Tilly to complete a study of the City’s rate structure for water and sanitary sewer services. City staff has been updating the rate study, which was originally completed by Tom Traciak in 2006 and has been periodically reviewed by Umbaugh/Baker Tilly since. The last water and sewer rate study review by Umbaugh/Baker Tilly was completed in 2018.

    • Per Baker Tilly’s proposal, the scope of work includes reviewing past and existing rates, revenues, and costs; and forecasting to create/update a five-year rate structure plan. The goal of the forecasted rate structure and plan is to ensure that the City is maintaining revenue levels to meet the needs of the City’s operating expenses, repair and replacement needs, cash requirements, and bond payments.

Council will review (1) minutes of its most recent meeting(s) and (2) the upcoming meeting list. We will also hear various updates from staff, including the City Manager and the Mayor (note that corresponding written reports are included in the meeting packet). 

Staff updates that might be of interest:                       

  • 8180 Main St (The Pelham) – KLA Development submitted of its Application for Conceptual PUD Review. The Conceptual PUD Review process allows an applicant to present their conceptual plans to the entire Planning Commission and City Council, respectively, and obtain valuable feedback before submitting for preliminary PUD review. No action is taken by either the Planning Commission or City Council, and comments made are not binding. The Conceptual PUD plan is scheduled to be a discussion item on the Planning Commission’s May 1, 2023 meeting agenda and City Council’s May 8, 2023 meeting agenda.

  • 3045 Broad St Redevelopment Project – City Attorney Munzel received a written statement from TEC, the contractor hired by Common Sail to redrill, grout/seal and cap boreholes previous drilled by a different Common Sail contractor. The statement confirms the redrilling and grouting operations, the locations and the depths (i.e., boring log summary), the method of containment, equipment cleaning, and that waste characterization was being completed. The City’s environmental consultant, ASTI is reviewing the TEC statement and will review the waste profiles and manifests once they are submitted by Common Sail.

  • Washtenaw County Road Commission Construction Season Kick-Off. The Washtenaw County Road Commission (WCRC) will hold a virtual information meeting regarding the 2023 construction season. The virtual public meeting will be held via Zoom on Thursday, April 27, 2023, at 11:30am. There will be a brief presentation followed by time for questions from the audience. A recording of the meeting will be posted to the WCRC website after the meeting. The meeting will be available through Zoom at https://bit.ly/wcrcprojectmeeting.

  • Community Garden. The application for plots at the Community Garden is available on the City's website at: https://files.dextermi.gov/Community/Community_Garden/2023_Community_Garden_Application.pdf. The Community Garden is anticipated to open for gardeners in mid-May. There are plenty of spots remaining.

  • Outdoor Watering Ban. On Monday, April 14, 2023 preventative maintenance work on the City's 500,000 gallon water storage tower will begin. The work is expected to take approximately 6 weeks and requires the tower to be drained of water. Starting April 14th, all outdoor watering (car washing, irrigation, etc) is prohibited. This temporary ban is necessary because the City will not have the ability to store water; we will only have the ability to put into the system what we can get directly from the wells. To avoid excess strain on the wells during this time, water use must be limited to indoor usage only. The ban will be strictly enforced. Once the work is complete (currently anticipated to be June 1st), a notice will be sent out that the odd/even water restrictions are back in effect.

  • Easter Eggstravaganza. Tickets are on sale for the Easter Egg Scramble portion of the Easter Eggstravaganza at City Hall, 3515 Broad St. The Scramble will be taking place the morning of Saturday, April 8th with check-in beginning at 9:00am. The Riddle Hunt has also been extended and now will be ending April 11th to give families time to hunt down the eggs over the weekend.

Following the presentation and any discussion of these reports, Council will consider the following items as part of the Consent Agenda. Unless Council votes to do otherwise, these items are voted on as a single bundle without Council discussion.               

  • Bills & Payroll in the amount of: $203,262.16

  • Publication of Notice of Delinquent Utility Bills

  • 2023 Arbor Day Proclamation

  • Purchase and Installation of Expression Swings for Community Park from Sinclair Recreation for an Amount not to Exceed $11,918.35

    • At their January meeting, the Parks & Recreation Commission recommended to City Council the installation of a pair of expression swings at Community Park in an Amount not to Exceed $20,500. These multi-user swings allow parents to enjoy the swing with their child, and the set in Community Park will have one swing with a bucket seat and one with a toddler seat.

    • This project will be partially funded with the donation from Julie Swanson, who donated $12,000 toward an expression swing installation in Mill Creek Park. Since the City is currently looking for additional funding mechanisms for the playground project, Parks & Rec wanted to place a set in Community Park. Parks & Rec plans to include at least one expression swing in the Mill Creek Park North design as originally planned.

  • Ann Arbor Trout Unlimited Stream Habitat Improvements in Mill Creek Request

    • Ann Arbor Trout Unlimited (AATU) is interested in placing wood structures in Mill Creek between the Main Street Bridge and Forest Lawn Cemetery. Per AATU, these habitats will be used to improve the ecosystem for fish and discourage erosion along this section of Mill Creek. AATU is asking for permission regarding the installations as the City’s approval is needed as a part of their EGLE permit.

Council will consider (i.e., take formal action on; “C”) or discuss (i.e., take no formal action on; “D”) the following business:     

  • Direct Staff to Provide for the Issuance of Multiple Bond Series (C)

    • Mayor Keough requested an item on April 10, 2023 agenda to provide for the issuance of multiple bond series.

    • During the February 27, 2023 meeting, City Council approved a Resolution Authorizing Issuance of 2023 Unlimited Tax General Obligation Bonds based on the approval of voters at the November 2022 election to proceed with a bond issuance for public safety facilities. In order to avoid issues with the tax-exempt status of the bonds to be issued for public safety facilities, the City must obligate (i.e. enter into a contract, not necessarily spend) a minimum of 5% of the issued bond amount within 6 months of the bond sale. If the City were to proceed with issuing $8.4 million in bonds for the public safety facilities project, the City would need to obligate approximately $420,000 (5%) by December 2023. Further, the City must have a reasonable expectation to spend 85% of bond funds within 3-years of the bond sale.

    • Staff has invited the City’s bond counsel, Tom Colis with Miller Canfield to attend the April 10, 2023 meeting to help answer questions. Staff also anticipates that Andy Campbell with Baker Tilly and David Gassen with Partners in Architecture will be present for the April 10th meeting.

  • 8140 Main St. Site Analysis Proposals from OHM Advisors, ASTI Environmental, and G2 Consulting for an Amount not to Exceed $44,225 (C)

    • As previously discussed by City Council, staff worked to connect Partners in Architecture with the City’s consultants - OHM Advisors and ASTI Environmental in an effort to receive proposals for site analysis of 8140 Main St. relating to public safety facilities. Partners in Architecture has received and evaluated the proposals, and provided the attached memo. As discussed, the proposals include work relating to civil survey, property boundary, floodplain evaluation, utility analysis, and an environmental phase 2 investigation and report. The proposed costs are as follows:

      • OHM Advisors – Civil Survey and Utility Analysis - $15,225

      • ASTI Environmental – Phase 2 Investigation - $14,200

      • G2 Consulting – Geotechnical Investigation and Report - $14,800

      • Total - $44,225

    • Staff anticipates that David Gassen with Partners in Architecture will be in-attendance during the April 10, 2023 meeting.

  • Creation of Public Safety Facilities User Group (C)

    • As indicated on the attached memorandum from David Gassen with Partners in Architecture, PIA is anticipating that there will be a “User Group” created to work through the details of the public safety facilities project, similar to the User Group that was created for the 3515 Broad St. City Hall project. For this User Group, staff is proposing the following participants:

      • 1 – 3 City Councilpersons, selected by Council

      • Dexter Area Fire Department Chief

      • Washtenaw County Sheriff’s Office Lieutenant or other appointee as selected by WCSO

      • City of Dexter City Manager

      • City of Dexter Public Services Superintendent

  • Meadow View Drive Intersection Recommendation from OHM Advisors (C)

    • During the November 28, 2023 meeting, City Council approved a scope of work for OHM Advisors to study and develop an intersection analysis for Dexter-Ann Arbor Rd. at Meadowview and the Mill Creek School entrance. OHM has completed the intersection analysis and provided the report attached to this memo. Staff has asked Marcus McNamara with OHM to attend the April 10, 2023 meeting to present the results of the study.

    • In short, the challenge with the intersection is a matter of prioritization. Current signalization gives priority to Dexter-Ann Arbor Rd. traffic – the primary thoroughfare with the greatest traffic quantities - during all times of the day. In general, adding green signal time to school-bound traffic will cause additional back-ups on Dexter-Ann Arbor Rd. With that being said, OHM is recommending a small change to the timing plan. The timing plan change is anticipated to have minimal impact and the average user is not likely to notice the change.

  • Resolution to Request that Legislature/Governor Include Funding in the 2023 Budget for Communities with Pension Programs Over 60% Funded (C)

    • Recently, the Michigan State Legislature passed HB 5054, which created the “Protecting MI Pension Grant Program” to help Michigan’s underfunded municipal pension systems. Under the Fiscal Year 2022-23 budget, Treasury was appropriated $750 million to establish and operate a local grant program for qualified pension systems with a funded ratio below 60%, as defined in the Protecting Local Government Retirement and Benefits Act of 2017. The list of qualified retirement systems has been posted to the Department of Treasury’s website: https://www.michigan.gov/treasury/local/grants/protecting-mi-pension-grant-program/preliminary-list-of-qualified-local-retirement-systems.

    • In the original version of this bill, $250 million was to be set-aside to support those communities with a pension funding ratio of over 60%. During the approval process, the $250 million was removed from the bill. In response, a group of local government leaders representing communities with pension ratio funding of over 60% collaborated to develop draft letters and resolutions for local governing bodies to pass and submit to the State Legislature and Governor. The draft letter and resolution are attached. Their argument is, in essence, that communities that have been doing the correct thing – making hard budgetary choices and sacrificing in other areas in order to fulfill their pension obligations – are not being treated equitably.

  • 2023 Goals and Objectives (D)

    • At the March 11, 2023 work session, City Council discussed the goals and objectives documents that Council reviews each year. During that meeting, Council discussed that the document would be brought to a regular meeting for consideration and adoption. Staff compiled and incorporated the discussion and comments that were made during the goal setting work sessions into the document. The updated goals and objectives documents is attached for further Council discussion. If the attached goals and objectives documents meet Council’s expectations, then staff will bring back a final version for adoption.

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