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C. Organizational ItemsMEMORANDUM CITY OF CHANHASSEN Chanhassen is a Community for Life - Providing for Today and Planning for Tomorrow TO: Mayor and City Council FROM: Todd Gerhardt, City Manager DATE: January 8, 2018 6*1 SUBJ: Organizational Items PROPOSED MOTION: The Chanhassen City Council makes the following appointments: a. Chanhassen Villager as its official newspaper; b. Council Member as Acting Mayor; and C. Council Member and the Finance Director be appointed to the Fire Relief Association Board of Trustees. d. Council Member to the SouthWest Transit Commission for a three-year term. Approval requires a simple majority vote of the council. BACKGROUND The following items require council action as a part of the first meeting of 2018: Official Newspaper. The city council must designate an official newspaper that meets qualifications of state statute. The Chanhassen Villager has submitted a request for this designation. Their price per column inch is $6.40 (a 3% increase from 2016 rate of $6.22). The increase in due to increasing postal rates. Residents may either subscribe or request a free subscription be delivered to their home. Staff recommends that the Chanhassen Villager be appointed as the city's official newspaper. Acting Mayor. The council should select one of its members to serve as acting mayor. The acting mayor will preside over council meetings, stand in at ceremonies, and execute official city documents in the absence of the mayor. PH 952.227.1100 • www.ci.chanhassen.mn.us • FX 952.227.1110 7700 MARKET BOULEVARD • PO BOX 147 • CHANHASSEN • MINNESOTA 55317 I Mayor & City Council January 8, 2018 Page 2 Appointments to the Fire Relief Association Board of Trustees: The Chanhassen Fire Relief Association Board of Trustees oversees all financial and pension matters for the association. This includes oversight of pension investments, amendments to bylaws, and a special discretionary fund that is raised through donations and fundraising. The board meets quarterly. State statute requires that the board have three municipal trustees, including one elected official (currently Councilwoman Tjornhom), one elected or appointed official (currently Finance Director Greg Sticha), and the fire chief (currently Chief Don Johnson). Staff recommends that the council appoint one of its members and the Finance Director to the Fire Relief Association Board. According to state statute, these appointments are made annually. South West Transit Commission: As part of the Fifth Restated Joint Powers Agreement for SouthWest Transit, each party to the agreement must provide two commissioners; one a member of the party's governing body (Seat A) and one of whom shall be a member of the party's governing body or a resident who resides in the jurisdiction of that member (Seat B). Councilman Jerry McDonald was reappointed last January to Seat A with a term ending 12/31/2019. Mayor Denny Laufenburger currently occupies Seat B which term expired on 12/31/2017. The council should select one of its members to serve a three-year term expiring 12/31/2020. If you have any questions, please contact me. ATTACHMENTS 1. Letter from Chanhassen Villager dated December 13, 2017. 2. Minnesota Statute 331A.04 concerning Appointment of Official Newspapers. 3. Minnesota Statute 424A.04 concerning Volunteer Fire Relief Associations: Board of Trustees. 4. Excerpt from SouthWest Transit Commission Fifth Restated Joint Powers Agreement. g5usa\kareu\org mtg 2018.doex Chanhassen �Tillager December 13, 2017 Mr. Todd Gerhardt City of Chanhassen 7700 Market Boulevard Chanhassen, Minnesota 55317 Dear Mr. Gerhardt, RECEIVED DEC 15 201' CITY OF CHANHASSEN Please consider our request for appointment of the Chanhassen Villager as the official newspaper for the City of Chanhassen in 2018. We recognize that financial challenges are being faced by most government bodies, and feel very strongly that the publishing of legal notices in the newspaper is of vital importance to local resi- dents who wish to stay informed about the decisions being made by your elected body. We have not increased the city's per -inch rate of $6.22 for several years. Due to projected increased postal rates, our bid submitted for the coming year will reflect a 3% increase. The rate submitted by the Chanhassen Villager for 2018 is $6.40 per column inch. Notices submitted by the City of Chanhassen will continue to be posted on our newspaper website, www.chanvillager.com, free of charge. Our legal notice deadline is at noon on Thursday, preceding the following week's publication date; during holiday weeks the deadline may be advanced. Thank you for the opportunity to be of service to you in the past. We hope that relationship can be continued in the coming year. I. Hartmann of Operations 123 West Second Street, Chaska, Minnesota 55318 • (952) 445-3333 MINNESOTA STATUTES 2017 331A.04 331A.04 DESIGNATION OF A NEWSPAPER FOR OFFICIAL PUBLICATIONS. Subdivision 1. Priority. The governing body of a political subdivision, when authorized or required by statute or charter to designate a newspaper for publication of its public notices, shall designate a qualified newspaper in the following priority. Subd. 2. Known office in locality. If there are one or more qualified newspapers, the known office of issue of which are located within the political subdivision, one of them shall be designated. Subd. 3. Secondary office in locality. When no qualified newspaper has a known office of issue located in the political subdivision, but one or more qualified newspapers maintain a secondary office there, one of them shall be designated. Subd. 4. General circulation in locality. When no qualified newspaper has its known office of issue or a secondary office located within the political subdivision, then a qualified newspaper of general circulation there shall be designated. Subd. 5. Other situations. If a political subdivision is without an official newspaper, or if the publisher refuses to publish a particular public notice, matters required to be published shall be published in a newspaper designated as provided in subdivision 4. The governing body of a political subdivision with territory in two or more counties may, if deemed in the public interest, designate a separate qualified newspaper for each county. Subd. 6. Exception to designation priority. (a) Notwithstanding subdivisions 1 to 3, the governing body of a political subdivision may designate any newspaper for publication of its official proceedings and public notices, if the following conditions are met: (1) the newspaper is a qualified medium of official and legal publication; (2) the publisher of the newspaper famishes a swom statement, verified by a recognized independent circulation auditing agency, covering a period of at least one year ending no earlier than 60 days before designation of the newspaper, stating that the newspaper's circulation reaches not fewer than 75 percent of the households within the political subdivision; (3) the newspaper has provided regular coverage of the proceedings of the governing body of the political subdivision and will continue to do so; and (4) the governing body votes unanimously to designate the newspaper. (b) If the circulation of a newspaper designated under this subdivision falls below 75 percent of the households within the political subdivision at any time within the term of its designation as official newspaper, its qualification to publish public notices for the political subdivision terminates. Subd. 7. Joint bidding. A bid submitted jointly by two or more newspapers for the publication of public notices must not be considered anticompetitive or otherwise unlawful if the following conditions are met: (1) all of the qualified newspapers in the political subdivision participate in the joint bid; (2) the existence of the joint bid arrangement is disclosed to the governing body of the political subdivision before or at the time of submission of the joint bid; and Copyright C 2017 by the Revisor of Statutes, State of Minnesota. All Rights Reserved 331A.04 MINNESOTA STATUTES 2017 (3) the board is free to reject the joint bid and, if it does, individual qualified newspapers do not refuse to submit separate bids owing to the rejection of the joint bid. History: 1984 c 543 s 23; 2003 c 59 s 1; 2004 c 182 s 14 Copyright 0 2017 by the Revisor of Statutes, State of Minnesota. All Rights Reserved. MINNESOTA STATUTES 2017 424A.04 424A.04 VOLUNTEER RELIEF ASSOCIATIONS; BOARD OF TRUSTEES. Subdivision 1. Membership. (a) A relief association that is directly associated with a municipal fire department must be managed by a board of trustees consisting of nine members. Six trustees must be elected from the membership of the relief association and three trustees must be drawn from the officials of the municipalities served by the fire department to which the relief association is directly associated. The bylaws of a relief association which provides a monthly benefit service pension may provide that one of the six trustees elected from the relief association membership may be a retired member receiving a monthly pension who is elected by the membership of the relief association. The three municipal trustees must be one elected municipal official and one elected or appointed municipal official who are designated as municipal representatives by the municipal governing board annually and the chief of the municipal fire department. (b) A relief association that is a subsidiary of an independent nonprofit firefighting corporation must be managed by a board of trustees consisting of nine members. Six trustees must be elected from the membership of the relief association, two trustees must be drawn from the officials of the municipalities served by the fire department to which the relief association is directly associated, and one trustee must be the fire chief serving with the independent nonprofit firefighting corporation. The bylaws of a relief association may provide that one of the six trustees elected from the relief association membership may be a retired member receiving a monthly pension who is elected by the membership of the relief association. The two municipal trustees must be elected or appointed municipal officials, selected as follows: (1) if only one municipality contracts with the independent nonprofit firefighting corporation, the municipal trustees must be two officials of the contracting municipality who are designated annually by the governing body of the municipality; or (2) if two or more municipalities contract with the independent nonprofit corporation, the municipal trustees must be one official from each of the two largest municipalities in population who are designated annually by the governing bodies of the applicable municipalities. (c) The municipal trustees for a relief association that is directly associated with a fire department operated as or by a joint powers entity must be the fire chief of the fire department and two trustees designated annually by the joint powers board. The municipal trustees for a relief association that is directly associated with a fire department service area township must be the fire chief of the fire department and two trustees designated by the township board. (d) If a relief association lacks the municipal board members provided for in paragraph (a), (b), or (c) because the fire department is not located in or associated with an organized municipality, joint powers entity, or township, the municipal board members must be the fire chief of the fire department and two board members appointed from the fire department service area by the board of commissioners of the applicable county. (e) The term of the appointed municipal board members is one year or until the person's successor is qualified, whichever is later. (f) A municipal trustee under paragraph (a), (b), (c), or (d) has all the rights and duties accorded to any other trustee, except the right to be an officer of the relief association board of trustees. (g) A board must have at least three officers, who are a president, a secretary and a treasurer. These officers must be elected from among the elected trustees by either the full board of trustees or by the relief association membership, as specified in the bylaws. In no event may any trustee hold more than one officer position at any one time. The terms of the elected trustees and of the officers of the board must be specified Copyright 8 2017 by the Revisor of Statutes, State of Minnesota. All Rights Reserved. 424A.04 MINNESOTA STATUTES 2017 in the bylaws of the relief association, but may not exceed three years. If the term of the elected trustees exceeds one year, the election of the various trustees elected from the membership must be staggered on as equal a basis as is practicable. Subd. 2. Fiduciary duty. The board of trustees of a relief association shall undertake their activities consistent with chapter 356A. Subd. 2a. Fiduciary responsibility. In the discharge of their respective duties, the officers and trustees shall be held to the standard of care specified in section 11 A.09. In addition, the trustees shall act in accordance with chapter 356A. Each member of the board is a fiduciary and shall undertake all fiduciary activities in accordance with the standard of care of section I IA.09, and in a manner consistent with chapter 356A. No fiduciary of a relief association shall cause a relief association to engage in a transaction if the fiduciary knows or should know that the transaction constitutes one of the following direct or indirect transactions: (1) sale or exchange or leasing of any real property between the relief association and a board member; (2) lending of money or other extension of credit between the relief association and a board member or member of the relief association; (3) furnishing of goods, services, or facilities between the relief association and a board member, or (4) transfer to a board member, or use by or for the benefit of a board member, of any assets of the relief association. A transfer of assets does not mean the payment of relief association benefits or administrative expenses permitted by law. Subd. 3. Conditions on relief association consultants. (a) If a volunteer firefighter relief association employs or contracts with a consultant to provide legal or financial advice, the secretary of the relief association shall obtain and the consultant shall provide to the secretary of the relief association a copy of the consultant's certificate of insurance. (b) A consultant is any person who is employed under contract to provide legal or financial advice and who is or who represents to the volunteer firefighters relief association that the person is: (1) an actuary; (2) a certified public accountant; (3) an attorney; (4) an investment advisor or manager, or an investment counselor; (5) an investment advisor or manager selection consultant; (6) a pension benefit design advisor or consultant; or (7) any other financial consultant. History: 1979 c 201 s 14; 1980 c 607 art 15 s 12; 1981 c 224 s 210; 1983 c 219 s 8; 1989 c 319 art 8 s 27; 2000 c 461 art 15 s 10; 1 Sp2001 c 10 art 16 s 1; 1 Sp2005 c 8 art 9 s 14; 2009 c 169 art 10 s 38; 2012 c 286 art 12 s 16 Copyright C 2017 by the Revisor of Statutes, State of Minnesota. All Rights Reserved. 2. PURPOSE. The purpose of this Agreement and SouthWest Transit is to (i) provide alternative methods of providing public transit service for the Cities of Eden Prairie, Chanhassen, and Chaska and (ii) contract to provide transit and transit planning services to other entities, as approved by the Commission, pursuant to Minnesota Statutes Sections 16A.88, 471.59, 473.384, and 473.388. 3. DEFINITIONS. (a) "Commission" means the organization created by this Agreement, the full name of which is SouthWest Transit. (b) "Board" means the Board of Commissioners of SouthWest Transit. (c) "Council' means the governing body of a Party to this Agreement. (d) "Party" means any entity which has entered into this Agreement. (e) "Metropolitan Council' means the regional entity established by Minnesota Statutes Section 473.123. 4. PARTIES. The municipalities which are original Parties to this Agreement are Eden Prairie, Chanhassen, and Chaska. No change in governmental boundaries, structure, organizational status or character shall affect the eligibility of any Party listed above to be represented on the Commission so long as such Party continues to exist as a separate political subdivision. After the effective date of this Agreement, an entity may join the Commission upon all of the following: (i) entering into a consolidation agreement or similar agreement with the Commission, which agreement shall set forth the terms and conditions for adding a new party or Parties including but not limited to: transfer of transit assets, funding and reserves, timing, branding and marketing, existing contracts and agreements, and withdrawal; (ii) filing with the Commission of a resolution duly adopted by the governing body of the proposed new party agreeing to the terms of this Agreement, as amended at the time of said filing,; and (iii) the filing of a resolution by the governing body of each Party approving the addition of the new parry. All such resolutions shall be attachT to and become a part of this Agreement. The terns and conditions of the consolidation or similar agreement shall supersede the terms of this Agreement unless specifically stated otherwise; 5. BOARD OF COMMISSIONERS. (a) Except as otherwise provided under Section 6 hereof, the governing body of the Commission shall be the Board which will consist of two commissioners from each Party and one at large commissioner, all as appointed as set forth below. (b) Party Commissioners. Each Party shall appoint two commissioners one of whom shall be a member of the Party's governing body ("Seat A") and one of whom shall be a member of the party's governing body or a resident who resides in the jurisdiction of that member ("Seat B"). A commissioner appointed to Seat A ceases to be a commissioner if the person ceases to be a member of the Party's governing body. A commissioner appointed to Seat B ceases to be a commissioner if the person cease to be a resident of who resides in the jurisdiction of that member. A Party shall appoint a new commissioner in accordance with 5 (b) to serve the remainder of the term created by the vacancy. (c) At Large Commissioner. The Board shall appoint one at large commissioner, which commissioner shall reside or maintain a principal place of business within the jurisdiction of one of the Parties. The at large commissioner shall serve a three year tern. An at large commissioner may serve no more than one consecutive tern; except that the Board may, in the Board's sole discretion, extend the term for one additional year. (d) Terms. Each party commissioner shall serve a 3 year term on the following schedule: Term 1 — expires December 31, 2015 and every three years thereafter. Term 2 — expires December 31, 2016 and every three years thereafter. Term 3 — expires December 31, 2017 and every three years thereafter. The terms shall be assigned as follows: Party Seat Term Chanhassen A 2 B 3 Chaska A 1 B 2 Party Seat Term Eden Prairie A 3 $ 1 New Party 2 A 3 B 1 The commissioner terms of new parties to the Commission shall be assigned using the following system, which shall continue to repeat in the same order if more than four parties are added. Assignment of terms for new Parties after New Party 4 shall continue in the same manner. if multiple Parties are added at one time the Board shall determine the number of each new party for purposes of term assignments. Party Seat Term New Party I A 1 B 2 New Party 2 A 3 B 1 3 Pa Seat Term New Party 3 A 2 B 3 New Party 4 A 1 . B 2