Council Minutes, July 20, 2020

Posted: July 20, 2020

City of LeRoy MN – Council Meeting Minutes, July 20, 2020

A special joint meeting of the LeRoy City Council and LeRoy Economic Development Authority was called to order by Mayor Brian Thiel on Monday, July 20, 2020, at 6:30 PM at the LeRoy Community Center with the following council members present:  Mayor Brian Thiel, Council Members Ashley Huntley, Jan Whisler, Harold Shipman, Daisie Fox, and City Clerk Patty White.  The following EDA members were present: Axel Gumbel, Craig Jacobson, Sara Gerk, and Jody Morrow.  EDA member Josh Diemer was absent.
Also attending: Chris Hahn (LeRoy EDA Coordinator), Ed Koppen, Audrey McCarthy, Lynette Oehlke, Kari Mensink, Megan Miller, Gerald Payne, and Gene Miller.

Thiel read the due call for this special joint meeting, “The purpose of this joint special meeting is in regard to misunderstandings about the administration and payroll matters at Wildwood Grove,” and opened the meeting at 6:30 PM.  All present stood and recited the Pledge of Allegiance.

Whisler read a prepared statement pertaining to Wildwood Grove and tried to make a motion.  Thiel ruled the motion out of order.

Thiel requested what the misunderstandings are.  Audrey McCarthy, administrator at Wildwood Grove, submitted a list of misunderstandings.

Payroll:

  • McCarthy reviewed current protocol for payroll. She noted there are still errors being made with payroll from both her end and Craig Jacobson, the WWG contracted bookkeeper, end.
  • Thiel noted this is a system that is difficult to manage. He questioned if there were alternatives and what the costs associated with these alternatives are.  McCarthy noted she had checked into the cost of having ADP do the payroll.  Magen Miller spoke that a few years ago ADP overpaid three Wildwood Grove employees approximately $10,000.
  • Huntley commented there are many payroll processors. Should one of these be researched?  Huntley felt more could be accomplished if all involved entities work together to solve any issues.
  • Craig Jacobson questioned McCarthy if there was a problem between the two of them. She didn’t feel there was a problem between them, but communication could be better.
  • Lynette Oehlke updated those present about the assisted living certification process. She noted the EDA moved forward with hiring McCarthy.  McCarthy is not certified yet.  The State of Minnesota has not set all the parameters for the certification yet.
  • White reported she had briefly researched other accounting systems where employees would clock in on the tablets used for resident records. It was questioned if this was an option with the Residex system currently being used.  This will be checked into.
  • Motion by Huntley to look into options for payroll automation tied to resident services. Second by Shipman.  The motion carried 5-0 with only the city council being allowed to vote on this motion.  Huntley will serve as the point person from the city council with a report expected at the September city council meeting.

Billings & Collections:

  • McCarthy reported there is a client that is carrying a past due balance. She has talked to both the client’s son and daughter; they have both requested an itemized statement for the past due balance.  McCarthy noted the family has not received this statement yet.  Jacobson reported he had emailed the statement to the son; Mary Harrington, a WWG employee, also mailed a statement on July 6.  Jacobson noted he did not have a way to bring up billings and collections.
  • Thiel questioned if the billing should have an internal access point, or can the billing be done with an external access point. Shipman noted the administrator of the facility should have access.  Thiel noted this would point to a different structure.
  • Jacobson questioned McCarthy if she has enough time to do all these tasks.
  • White suggested making sure any software is fully integrated between all facets of the accounting system.
  • McCarthy questioned Jacobson about some IRS statements in the amount of $26,000. Jacobson noted these have been taken care of.
  • Shipman felt it best to overhaul the entire system at WWG. He felt the administrator should be able to do her job.
  • White volunteered to research software systems for WWG.
  • Sara Gerk commented if McCarthy is being held accountable that the city council and/or EDA can come back to her with questions.
  • Shipman felt the need for an assistant for McCarthy; this assistant would be able to take care of operations if something should happen to McCarthy. McCarthy would like to hire an assistant to answer the phones and help with other duties.
  • Ed Koppen commented it seems the lines are being blurred on positions. He questioned who the comptroller is that is watching the accounts.  He reminded those present that the EDA is responsible for WWG.  He felt the comptroller should stay with the EDA board.  He stressed the need to set up responsibilities of the different entities.  He noted the administrator needs to make sure the building is ready and accepting new residents.  He stressed the need to have distinct lines drawn on responsibilities.  He also felt the need to involve the city auditor, LMC, and the clerk’s association on how best to proceed and move forward.
  • Records retention and records were discussed. It was noted the CARES Act information has been sent in.  The minutes authorizing signatories on the WWG accounts were just approved at the EDA meeting held this morning; these will now be sent to the bank for updating.
  • Motion by Whisler to give McCarthy time during the regular EDA meeting to give a report on WWG. Second by Huntley.  Motion carried 5-0 with only the council being allowed to vote on this motion.

Other Items:

  • Jacobson submitted his written resignation from the LeRoy EDA board effective July 23, 2020.
  • Motion by Shipman to accept this resignation. Second by Huntley.  Motion carried 5-0 with only the council being allowed to vote on this motion.
  • Gene Miller questioned if Jacobson was also resigning as the WWG bookkeeper. Jacobson noted he plans to resign as the WWG bookkeeper, too.  Thiel noted a provision needs to be made to continue the bookkeeping process.  Miller suggested the need for an intermediary to work with Jacobson and McCarthy until new software is made available.  McCarthy noted she is comfortable with taking this all over at this time thereby being no need for an intermediary.  Gerk offered to assist with this transition and mediate with the gathering of information from Jacobson.

Being no further business to come before this joint meeting of the city council and EDA, the meeting was adjourned on a motion by Huntley, second by Shipman at 8:15 PM.

For the LeRoy City Council:

  •  Brian Thiel, Mayor
  • Patty A. White, City Clerk-Treasurer

For the LeRoy Economic Development Authority:

  • Sara Gerk, Vice-President
  • Patty A. White, City Clerk-Treasurer
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