The city’s annual audit and a resolution that begins the process of appointing a new charter commission were two of the items acted on at the June 22 Staples City Council meeting.

The Staples city charter was first written and adopted in about 1977, following several years of work by a charter commission.

That charter created

the present city council - city administrator form

of government. The city re-activated a charter commission in about 2002, Council Member Joel Quance said at the June 22 meeting.

That group studied the entire city charter and, after months of deliberation, presented several language changes to the city which were voted on and okayed by the city’s voters in the 2005 elections.

Quance brought up the charter commission idea a month ago and was seeking to have the panel re-activated. One idea he mentioned at the council meeting was to study moving the city’s elections to even-year elections, a move that could save the city the cost of running a separate election for city offices.

Stan Carlson asked what the purpose of the charter commission action is. Quance replied he believes a charter commission, once its members are approved, should be meeting at least once a year. To do that, he said requires an active charter commission.

The council resolution, which was eventually approved on a 6-0 vote, requests the chief judge of the Seventh Judicial District to appoint a nine member charter commission. The city hopes to have a list of volunteers for the charter commission to send along with the resolution to the chief judge. Anyone interested in being a member of the charter commission should contact the city hall (894-2550) or a city council member.

Chuck Mayer presented the annual city audit performed by Mayer, Porter, Beinhorn and Rowe, Ltd.

CPA firm. The audit of the

city’s books resulted in an ‘unqualified’ or clean opinion on the city’s financial condition as of Dec. 31, 2009, according to Mayer.

The city’s general fund balance was $463,415, which is 35 percent of the total general fund expenditures for the year of $1,311,243. Mayer noted the state auditor recommends from 35 to 50 percent fund balance, or enough to cover about four months expenditures.

In addition, the city has just over $4 million in fund balances in other funds. However, City Clerk Phil Lindaman pointed out, the majority of that (about $2.3 million) is in reserve to pay off debt, such as special assessments and payments on other improvement projects.

Other highlights of the annual audit:

o An increase in total net assets of the city of $927,396. This included new infrastructure and receipt of three grants.

o The city in 2009 issued general obligation library bonds totaling $1,975,000 and public facility lease revenue bonds totalling $630,000 for financing the construction of a new city hall and library,

o A grant of $98,000 was received from the Minnesota Department o f Employment and Economic Development (DEED) for commercial and rental building rehabilitation and a grant of $420,000 from the Minnesota Department of Education for new library construction.

In other matters, the Staples city council:

o APPROVED a second reading and adopted an ordinance extending the current natural gas franchise with Minnesota Energy resources for an additional 180 days.

o APPROVED the transfer of the Staple Food Corporation tobacco license from their former address to the new Ernie’s location at 1230 U. S. Highway 10 East.

o HEARD the community Services/Forestry and Beautification board report from Kevin Grondahl. The threat of the emerald ash borer destroying the state’s ash trees has eliminated that species from the city’s tree planting list. The city, with about $3,000 left from MnDOT funds, plans to plant more trees (sumac, maple and pine) west of the depot between Highway 10 and the railroad tracks. Plans for the Legacy Trail, to be constructed on city and school property in the vicinity of the airport and Living Legacy Gardens, are proceeding along, Grondahl said. Crews from the Heavy Equipment class at Central Lakes College can work on the project on school land.

o HEARD City Administrator Nate Mathews report. There will be a citywide cleanup day on Saturday, July 31. The Highway 10 turnback project is progressing. The city hall weed problem has been addressed with city youth workers pulling weeds. The city does not intend to demolish the old hospital/ government center this year but the cost is estimated at $70,000.

o HEARD Council Member Joel Quance state he does not like having the noon meetings the council has set for this summer. He also wants the city to consider adding an additional police officer using a federal grant if possible and said the city has had three years to rectify water problems in the McKinley Avenue area and wants the city to do something about the water.