Jackson, Minnesota

April 17, 2018

The Jackson City Council met in regular session in the Council Chambers of
City Hall at 6:30 p.m. on Tuesday, April 17, 2018 with the meeting called to
order by Mayor Wayne Walter. On the roll call, the following persons were
present: Mayor Wayne Walter, Aldermen Matt Madden, Larry Anderson,
Brandon Finck, Ken Temple, Donnie Schoenrock and Dave Cushman, Interim City
Administrator Richard Almich, City Attorney Brad Anderson, Jan Fransen,
Jackson County Assessor Jason McCaslin, Deputy Assessor Heidi Moss, Chad
Benda, Shannon Sweeney of David Drown Associates, Engineer Greg Mitchell of
Bolton and Menk, Street Superintendent Phil Markman, Engineer Maria Tiegs of
SEH Incorporated, City Water Department Employee Tony Oxborough, MRES
Jackson Distribution Maintenance Foreman Jeremy Boogerd, Jackson County
Sheriff Shawn Haken, Brent Burns, Kent Johannsen, Scott Hargus, Pastor John
Schuetz of Our Redeemer Lutheran Church in Jackson, City Clerk/Council
Secretary Dave Maschoff and Justin Lessman of the Jackson County Pilot. (A
quorum of the City Council was present.)

CALL THE MEETING TO ORDER

Mayor Walter called the regular meeting of the Jackson City Council to order.
He noted the roll call showed all Council members present.

There were no Public Hearings, Bid Lettings or Open Forum.

CONSENT AGENDA
CUSHMAN/TEMPLE moved and it was unanimously carried to approve the
Consent Agenda as presented.

There were no unscheduled guests who attended the meeting.

1
Council Discussion Items

WATER TREATMENT PLANT IMPROVEMENTS – MARIA TIEGS OF SEH, INC. –

SHANNON SWEENEY, DAVID DROWN ASSOCIATES
Maria Tiegs of SEH outlined the Water Plant Ground Storage Reservoir and
Pump Room Project.
Tiegs explained the engineer’s estimate for the proposed project is
$1,851,396. She said the project includes installing a new 300,000-gallon storage
reservoir (GSR) on the water treatment plant (WTP) site, replacing the three high
pressure zone (east pressure zone) pumps, replacing the three low pressure zone
(western pressure zone) pumps, reconfiguring the finish water piping inside of the
high service pump room, reconfiguring the raw water line inside the high service
pump room and associated electrical and controls with the new ground storage
reservoir and pumps.
Tiegs explained if the City Council approves moving forward with the project,
advertising for bids will be taking place in the newspapers during the next two
weeks. She said bid opening would be on May 24th, 2018 and a pre-bid meeting
for qualified bidders would be held on May 10th. Tiegs said the Council could
consider awarding the bids on June 5th, 2018.
Tiegs said completion of the Ground Storage Reservoir was originally
scheduled for October of 2018. She said due to the delay in bringing information
about the project to the City Council, construction is being pushed back one more
year to make sure there’s adequate time for coating and so there’s not too tight
of a schedule that the bids will come in higher. She explained it will give a
construction company from June to October of 2019 to complete the Ground
Storage Reservoir.
Tiegs explained the work within the pump room at the Water Treatment Plant
will stay on the original schedule with work to take place in the winter during low
water demand times. She said there’s a milestone completion date of February
15th, 2019 for the work inside the pump room.
Tiegs said substantial completion of the work at the Water Treatment Plant is
scheduled of October 15, 2019 and final completion on November 15, 2019.

2
 In providing background, Tiegs said in December, 2013, SEH completed an
evaluation of the City of Jackson’s water storage and distribution system. She
said the report identified the need for additional storage to ensure proper fire
protection and water supply in the summer during high water demand periods,
and the need for increased pumping capacity to the distribution system from the
treatment plant. Tiegs said additional ground storage was selected as the lower
construction and maintenance cost option. She noted additional ground storage
also provides mutual benefits because it can be used for all pressure zones.
Tiegs explained the proposed 300,000-gallon Ground Storage Reservoir (GSR)
is to be located west and north of the existing 200,000 gallon GSR. She said due
to site constraints, the proposed 300,000-gallon GSR is to be located partially on
property owned by Vet’s Oil Company. Tiegs said Vet’s Oil has stated they would
be willing to exchange the property they own where the proposed tank would sit
with property the City of Jackson owns where the driveway of Vet’s Oil cuts
through. She noted Vet’s Oil is also willing to grant permanent easements over
utilities proposed with this project and for a future river crossing. Tiegs said the
new 300,000 gallon GSR will require the relocation of the raw waterline for well 6,
the high pressure zone distribution line, and the telephone and cable services.
She noted this project will require the relocation of the Vet’s Oil sign off City
property and onto Vet’s Oil property.
Tiegs said the existing three high zone pumps are rated at 285 gallons per
minute (GPM) each. She said three 600-gpm pumps are proposed to replace the
existing pumps. Tiegs noted reconfiguration of the proposed pumps and
associated piping reduces tripping hazards and improves access to the pumps for
maintenance.
Tiegs said two of the three existing low zone pumps are rated for 300-gpm,
and the third pump is rated for 450-gpm. She pointed out only one pump is run
at a time. Tiegs noted with only one pump running at a time only two pumps are
needed for redundancy. Tiegs said for that reason, the three low zone pumps are
to be replaced with two 300-gpm pumps. She said reconfiguration of the
proposed pumps and associated piping reduces tripping hazards and improves
access to the pumps for maintenance.

3
 Tiegs said as part of the proposed project, the raw water line will be relocated
to allow for the installation of electrical equipment in the northwest corner of the
room. She explained currently, the raw waterline from Well 6 connects to the
raw waterline from well 5 outside of the building, and penetrates the floor in the
center of the proposed electrical section of the room. Tiegs said the plan is to
separate the two well lines, and bring two new raw water pipe columns just east
of the door on the north wall, one for each well. She said a third penetration will
be made in the floor for a future well line. Tiegs said after metering; the well lines
join at the top of the column. She explained the separation of well lines is a
newer requirement by the MDH. Tiegs said the raw water line is then proposed
to be replaced in the pump room and into the garage.
Tiegs said new electrical panels and controls will be added to integrate the
existing system with the proposed system.
Tiegs said additional improvements to the high service pump room include
the single door on the north wall is proposed to be replaced with a double door
which will improve the access to the room. She said a new proposed 6-inch floor
will allow electrical conduit to be hidden and improve drainage of the room.
Tiegs said the location of the electrical equipment will require the window in the
west wall to be removed and replaced with concrete block. She noted above the
three high zone pumps, a monorail is proposed to aid in the lifting of the pumps
for maintenance.
Tiegs pointed out the project incorporates designs for future expansion of the
system. She said the designs include a third floor penetration for a future well, a
tee on the high zone distribution line for a future river crossing and a tee on the
new 300,000-gallon GSR waterline that would allow the 200,000-gallon GSR
waterline to be buried. She noted currently the existing 200,000-gallon GSR
waterlines are above ground and to bury the waterlines would require
reconstruction and rehabilitation of the existing tank. Tiegs said another aspect
of the project for future expansion includes additional capacity in the controls for
the future well system.
Tiegs said the proposed project addresses both the needs for increased
capacity and storage, as well as provides for future expansion projects.

4
 Cushman noted the changes in the cost estimates for the project that have
varied from $1.2 million in April, then $1.8 million and now $1.4 million. He asked
about how the numbers have bounced around in a short period of time.
Tiegs explained the $1.8 million is the project total. She said the construction
total is what the City is going to get from the bids. Tiegs said that’s the projected
cost to construct the project and what will be received for bids. She said the
estimated project total is more of a planning number. Tiegs noted the project
total calls for construction and provides for any contingencies during construction
in case there are any change orders and any additional engineering fees for
construction inspection or any legal and administrative fees associated with that.
Tiegs explained there’s the construction cost which the City will get from the bids,
and then the total project as a City budgetary cost.
Tiegs said the $1.8 million is the total project cost, not necessarily the
construction cost. Regarding the $1.2 million figure, Tiegs explained originally the
project was going to be just the Ground Storage Reservoir. She noted then the
pump room and the additional controls got added. Tiegs said she thinks that’s
where the $1.2 million dollar estimate increased to $1.4 million in construction
costs. Tiegs noted throughout SEH’s own design, they stayed at about $1.8
million throughout their design process for their total project cost.
Schoenrock asked Sweeney what cost figure he used for the water project in a
2017 study of water and sewer utility rates and project analysis.
Sweeney said he used the $1.2 million figure that was provided for the study.
Sweeney noted the City has probably been paying for engineering costs
through the design process for the project which are part of the $1.8 million
which won’t necessarily be bonded. He noted right now in his updated memo to
the Mayor and Council he’s assuming financing of $1.8 million so it will probably
be less than that. Sweeney said hopefully bids will come in better and that will
impact it positively as well. He said the $1.2 million was the number that was
provided as a total project cost when the study was done.
Sweeney noted the City Council acted in the fall of 2017 to adopt water and
sewer utility rate increases for 2018, 2019 and 2020. He said the three-year plan
phases in a utility rate structure necessary to cover existing obligations, operation
costs, and new debt service attributed to financing the 2018 projects.

5
 Sweeney noted the water storage project is presently estimated at a higher
cost than that used in the 2017 study. He said this could necessitate a modest
increase in the future (2020), but at this point he would not recommend any
additional action as neither the South Highway Utility Reconstruction and Water
Storage Projects have been bid and the water and sewer utilities have sufficient
cash reserves to enable the City to monitor project costs and utility rates prior to
taking further action.
Sweeney said the City is still pretty close to the planning cost numbers in the
whole scheme of things.
Sweeney explained project financing will not be initiated until bids are
received so that a bond issue can be appropriately sized. He said if the time line
for the South Highway Project allows, they will attempt to consolidate the project
financing into one bond issue. Sweeney said it would be anticipated the use of
the credit enhancement program offered by the Public Facilities Authority (PFA)
which should result in a slightly better interest rate. He noted the interest rate
used in previous planning numbers continues to be above current market
conditions, so the estimated impact to utility reserves continues to be
conservative.
Sweeney pointed out the project analysis includes both the water
improvements just discussed along with the project on South Highway.
FINCK/MADDEN moved and it was unanimously carried to approve the
plans for the Water Treatment Plant Improvements and set the bid opening
date for May 24, 2018.

APPROVE AGREEMENT FOR PROFESSIONAL SERVICES – COMPLETE “CERTIFICATE

OF SURVEY” FOR VET’S OIL/CITY LANDS – ESTIMATED COST $5,000
TEMPLE/CUSHMAN moved and it was unanimously carried to approve the
agreement for professional services to complete the “Certificate of Survey” for
Vet’s Oil/City Lands.

6
CITY ADMINISTRATOR UPDATE
City Administrator Search Consultant Jan Fransen said there is an agreement
with Matt Skaret has agreed to serve as Jackson City Administrator. She said if
the Council approves the agreement, the City will have a new City Administrator.
Fransen said Skaret is anticipating tentatively starting his duties as City
Administrator on either June 1st or June 4th, 2018 depending when he can move.
Cushman, a member of the Personnel Committee, commented we should all
be pleased. He said Skaret will be a fine young man for our community and for
our City.
Fransen said Skaret is excited about starting his duties in Jackson.
ANDERSON/FINCK moved and it was unanimously carried to approve the
contract between the City and Matt Skaret to serve as City Administrator.
Fransen thanked Mayor Walter and the City Councilmembers, and especially
the Personnel Committee, for having the opportunity to work with them in the
search and hiring of a new City Administrator.
Mayor Walter and the Council thanked Fransen for her work through the
hiring process.

CONSIDER RECOMMENDATION FROM THE PERSONNEL COMMITTEE

REGARDING FILLING THE VACANCY FOR THE POSITION OF
WATER/WASTEWATER UTILITY SUPERINTENDENT
Mayor Walter asked for a motion to table action regarding filling the vacancy
for the position of Water/Wastewater Utility Superintendent.
TEMPLE/MADDEN moved and it was unanimously carried to table the
recommendation from the Personnel Committee regarding filling the vacancy
for the position of Water/Wastewater Utility Superintendent.

REVIEW AND CONSIDER PROPOSAL FROM HARRY JENNESS INSPECTIONS LLC

REGARDING CONTRACTED BUILDING OFFICIAL SERVICES
Almich said he and City Clerk Maschoff have been discussing finding a
qualified person for serve as the City of Jackson’s building official. He said Harry
Jenness has said he would be available to provide building official services for the
City.

7
 Maschoff added Harry Jenness has served as the building official for the Cities
of St. James and Butterfield for the past four to five years. Maschoff said he
contacted the City Clerks in St. James and Butterfield who both reported Jenness
has worked well with them and area contractors and also provides inspection
reports. Maschoff said Jenness will be available two days a week and is available
24/7 by phone.
Maschoff said Jenness is willing to participate in a “meet and greet” with area
contractors.
Alderman Anderson added he worked with Jenness back in 1980 when KKOJ
radio in Jackson started. He noted Jenness served as the station’s Farm Director
and is a good hard worker and good man.
ANDERSON/SCHOENROCK moved and it was unanimously carried for the
City to enter into a contract with Harry Jenness of Harry Jenness Inspections LLC
to provide building official services for the City of Jackson.

ADJOURNMENT
With no further business, TEMPLE/ANDERSON moved and it was
unanimously carried to adjourn the meeting.

_________________________________
David A. Maschoff, Council Secretary