Virginia City Council approves loan extension, public-safety contracts and series of resolutions

The Virginia City Council on March 25 approved an extension of a 2022 pre-construction loan for the Virginia Public Safety Center, authorized several public-safety contracts and passed a series of resolutions and administrative actions that the city says keep planned infrastructure and service projects on schedule.

Council action centered on financing and procurements tied to the Public Safety Center and regional emergency services. Finance staff explained the city borrowed $6,000,000 in 2022 to cover cash flow while awaiting grant disbursements. "The loan comes due March 31," staff member Britt told the council, and the council approved an Allonge — an extension of the loan document — to move the final due date to Dec. 31 so state grant receipts will cover the balance.

The loan extension matters because the city still expects to repay the loan with grant and deed revenues but would not have the full amount by March 31, city staff said. The council also approved multiple contracts and procurement items connected to the Public Safety Center and other public-safety needs, and it advanced several routine personnel and administrative items.

Council members moved quickly through the consent and committee items, approving: a pay estimate of $1,345,782.62 to Krauss Anderson for public-safety work listed on the consent agenda; a professional-services agreement for the Fourteenth Avenue/Twentieth Street South/Southern Drive reconstruction and Chestnut Street signal project; a $336,933.35 award for the 2025 pavement reconditioning project to Mesabi Bituminous (including the bid alternate); and a purchase authorization of up to $26,346 for a 14-foot replacement box for a public-works truck.

On public-safety systems, the council approved quotes and contracts for access control and camera surveillance for the Virginia Public Safety Center with Permard Security, and it approved a station-alerting system purchase from Ancom Communications Inc. for $131,984. The council also approved a three-year hose-testing services agreement with Firecat and a copier lease with Metro Sales for the police department.

The council approved a resolution to enter a memorandum of understanding for a regional paramedic pilot program (referred to in the packet as the "Sprint Paramedic Pilot Program") between the City of Virginia and Boys Forte and separately approved a billing agreement for that program with Voiceport. "This is going to save lives in our rural communities," Councillor Johnson said during discussion of the paramedic program.

Other personnel and policy actions included directing staff to prepare a resolution to hire a Fire Marshal (with a start date stated in the packet), approval of a PERA phased-retirement option for Finance Director Sherry Erickson, authorization to advertise for summer Parks and Recreation and Public Works student workers and seasonal baseball coaches and umpires, approval to recruit for a vacant library maintenance position, and authorization for student volunteers at the Virginia Public Library for the summer reading program.

Council also moved to have staff research the city tree ordinance and clarify the city’s stance with the tree board; members said the goal is to reconcile municipal authority under the ordinance with the tree board’s input. The city administrator noted that the council will examine language and possible updates to the ordinance.

On regulatory and grant matters, the council adopted a resolution to apply for and accept funds from the DIRR Public Works Grama Program (as listed in the meeting packet) and approved a resolution authorizing entry into a grant agreement with the MPCA for the Inflow and Infiltration Reduction Project Phase 2. Department staff also reported that FEMA and the DNR had approved the city’s updated floodplain ordinance, effective that day.

The council approved a first reading of a proposed ordinance that would modify permit fees in chapter 11 (subsection 11.50) and adopted a resolution declaring city items as surplus and authorizing an auction. A closed session was called at the end of the meeting to discuss potential litigation under Minnesota Statute 13D.05, subd. 3.

Votes at a glance

- Correction to special meeting minutes (March 17): approved (mover: Councillor Johnson; support: Councillor Biondich). - Finance resolution (consent schedule of bills, including pay estimate to Krauss Anderson for $1,345,782.62): approved; Councillor Johnson abstained from this vote because an invoice involved one of her businesses (vote recorded as 5 in favor, 0 opposed, 1 abstention). - Resolution approving grant agreement with the MPCA for Inflow and Infiltration Reduction Project Phase 2 (item 8.1): approved (mover: Councillor Johnson). - Memorandum of understanding for Sprint Paramedic Pilot Program (City of Virginia and Boys Forte) (item 8.2): approved (mover: Councillor Motley; support: Councillor Johnson). - Billing agreement for Sprint Paramedic Pilot Program with Voiceport (item 8.3): approved. - Resolution authorizing issuance/delivery of an Allonge to extend the Park State Bank loan for the Virginia Public Safety Center (item 8.4): approved (mover: Britt/finance staff; support: Councillor Johnson). - Authorization for council member travel to St. Paul to testify for state legislative funding (item 8.5): approved (mover: Councillor Friedlieb; supported by Councillor Johnson). - Resolution to apply for and accept funds from the DIRR Public Works Grama Program (item 8.6): approved. - Committee of the Whole recommendations (professional services agreement with SEH for reconstruction and signal work; award of 2025 pavement reconditioning bid to Mesabi Bituminous for $336,933.35; purchase authorizations and security/system procurements for the Public Safety Center): all approved as presented. - Equipment and services approvals: 3-year hose testing agreement with Firecat; $131,984 station-alerting system from Ancom Communications; copier lease with Metro Sales; access control and surveillance contracts with Permard Security; purchase of replacement truck box up to $26,346: all approved. - Personnel and policy approvals: resolution to hire Fire Marshal (start date in packet), PERA phased-retirement for Finance Director Sherry Erickson, updated travel policy, authorization to advertise for seasonal/temporary positions, library volunteer program authorization, and recruitment for a library maintenance vacancy: all approved. - First reading of proposed chapter 11 permit-fee ordinance changes and a resolution declaring surplus items for auction: both advanced/approved for the next steps.

Context and next steps

City staff said the Public Safety Center project is expected to be complete by July and that the loan extension to Dec. 31 is intended to allow time for expected state grant reimbursements. Staff advised the council that many of the equipment and system contracts are three-year terms and were included in the meeting packet for council review.

Council members asked staff to continue coordinated outreach with the city tree board as the ordinance review proceeds, and department heads summarized community events and service updates, including the floodplain ordinance approval and library programs. The council ended the meeting by moving into a closed session to discuss potential litigation under Minnesota law.