Thomson township residents question levy, board actions

What is normally a five-minute rubber-stamp meeting of Thomson Township residents turned into a near-revolt Tuesday, when citizens pushed back hard on actions by the township's elected officials.

First up on the agenda for the reconvened annual meeting? An error in the township's proposed levy for 2025 after township officials failed to include payments to cover a $400,000 certificate of indebtedness to purchase equipment executed March 29, just over two weeks after the annual meeting when residents approved a 3-percent tax levy increase.

Ruth Janke, town board chair, explained that township supervisors found out about the oversight earlier this month, when the township received a letter from the Carlton County auditor/treasurer's office. The letter reiterated state law that requires the township to levy the minimum amount required by the bond contracts for any new or existing debt service levies.

The county letter showed expenditures provided by the township for 2025, but the list did not include $93,000 in debt levy payments for 2025.

If the township had opted to raise the levy to cover the loan payments, the levy increase would have been 8 percent instead of 3 percent.

Janke explained that supervisors and staff had come up with a different solution: to take this year's debt levy payment out of the township's general fund and then add the payments on to the next four years' worth of levies.

"So, the amount that was approved at the annual meeting of 3 percent is what we will be levying - not the 8.1 percent that has gotten out on social media," said longtime township supervisor Terry Hill.

Levying 3 percent would require the board to pass a resolution at its next meeting on Sept. 5 to levy less than required and explain how they're making up the difference.

"We also checked with our auditors and we have a 200-percent surplus, and they said that is fine, 'You are well positioned to take that money from the general fund,'" Hill said.

That's where residents balked.

"I think you could fix the whole stinking problem if you just pay off the note [certificate of indebtedness] with our surplus, of which there is plenty, and be done with it, instead of having to levy for the next four years, $90,000-some just about every year," said resident Ole Larson, a frequent flier at the board meetings with a keen interest in township finances.

He had a point.

In July, auditors from Abdo, an accounting and consulting firm based in Edina, Minnesota, told township supervisors the general recommendation is to keep a minimum of 35- to 50 percent of the operating budget in the general fund reserves, to cover any unexpected costs or payment delays. Instead, Thomson Township had enough to cover its entire operating budget two times over. According to the audit summary, the general fund balance was $1,186,834 in December 2023, with a $713,927 general fund budget for the year.

Larson suggested a motion directing the town board to pay off the certificate, which Janke referred to attorney Bill Helwig, filling in for contracted attorney Dave Pritchett.

"The electors can give direction to the board on how they would like to see money spent, but they can't ... tell the board that they have to pay something off instead of paying for it over time," Helwig said.

After several other audience questions, John Bergman, a candidate for township supervisor, made a motion to amend Larson's motion to pay off the certificate to an "advisory motion."

Helwig said the motion was then valid: electors can make a motion to advise the board, but can't require the board to take the recommended action.

A twist

In the midst of discussions about the levy advisory motion, Bergman threw a wrench into the proceedings.

"Point of order: Where's our independent moderator?" he asked.

"We don't have one right now," Janke said.

Bergman pointed out that it was required by state law, momentarily confounding the board chair and Helwig, who both pointed out they originally intended to reconvene the meeting "from the get-go," before discussions ensued.

"The town board has had six months to get a moderator here," Bergman said.

After more discussion, a voice piped up from the back of the room: "If you guys can have it done by 6:45, I'll do it," said Kristina Anton. "I have soccer practice at 7."

After being approved and getting up to speed with the motion on the floor, Anton called for a vote, using her "mom voice" because there wasn't a microphone at the podium.

A large majority of the nearly two dozen residents in the room - not counting the town board supervisors, who were also there as independent citizens - raised their hands in favor.

More motions pass

Bergman introduced three more motions, which had to be made as advisory rather than a directive to the board.

• A proposal to advise moving the time of regular board meetings back to 6:30 p.m. instead of the current time of 5 p.m. (changed earlier this year) passed with a large majority. Bergman said the later time will accommodate citizens who can't get there by 5 p.m. because they have jobs.

• Bergman also proposed the township post its board meeting agenda packets physically and electronically by noon the day before the meeting, versus the same day, another way to accommodate busy residents. That advisory motion also passed with a large majority.

• His final advisory proposal passed, but by a much smaller majority of 11-7 with at least two supervisors voting against it. It was a repeat proposal to have the township lobby the legislature to change township supervisor elections back to "at large" instead of "by seat" that failed to pass in March.

The reconvened annual meeting was adjourned until 6 p.m. Sept. 10, to allow the board to decide how to pay the certificate of indebtedness before residents voted on the final levy.

The board will meet for its regular meeting before that at 5 p.m. Sept. 5 at the Thomson Town Hall, 25 E. Harney Road. Both meetings are open to the public.