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09-24-2001 CC MINMIEETING OF THE ELK RIVER CITY COUNCIL HELD AT THE ELK RIVER CITY HALL MONDAY,,SEPTEMBER 24, 2001 Members Present: Members Absent: Staff Present: Mayor Klinzing, Councilmembers Dietz, Kuester, Motin, and Tveite None City Adt~ninistrator Pat I43aers, Finance Director LoriJohnson, City Clerk Sandra Peine, Building and Zoning Administrator Stephen Rohlf 1. Call Meeting To Order Pursuant to due call and notice thereof, the meeting of the Elk River City Council was called to order at 6:40 p.m. by Mayor Klinzing. Consider 9/24/2001 Agenda COUNCILMEMBER TVEITE MOVED TO APPROVE THE AGENDA. COUNCILMEMBER DIETZ SECONDED THE MOTION. THE MOTION CARRIED 5-O. o Consider Consent Agenda COUNCILMEMBER KUESTER MOVED TO APPROVE THE CONSENT AGENDA AS FOLLOWS: 3.1. 3.2. 3.3. 3.4. 3,5. 9/17/2001 CITY COUNCIL MINUTES - APPROVED CHECK REGISTER - APPROVED REQUEST TO AUTHORIZE THE RENEWAL OF THE PATROL UNION HEALTH INSURANCE CONTRACT WITH MEDICA FOR THE CHOICE SELECT AND CHOICE ELECT PLANS -APPROVED PAY ESTIMATES · #9 TO RICHARD KNUTSON, INC. IN THE AMOUNT OF $133,569.86 FOR THE WESTERN AREA PHASE IV IMPROVEMENTS - APPROVED · #2 TO MUNICIPAL BUILDERS, INC. IN THE AMOUNT OF $43,679.10 FOR WWTP VENTILATION AND ROOF IMPROVEMENTS - APPROVED TRANSIENT MERCHANT LICENSE FOR WILLIAM FENCL OF T.A.P. ENTERPRISES FOR A ONE-DAY TOOL SALE AT ELK RIVER BOWL - APPROVED COUNCILMEMBER DIETZ SECONDED THE MOTION. THE MOTION CARRIED 5-0. City Council Minutes September 24, 2001 Page 2 4.1. Award Sale of $3,590 000 General Obligation Water Revenue Bonds Series 200lA Rusty Fifield from Ehlers & Associates, Inc. indicated that 5 bids were received for the City's G.O. water revenue bond series 200lA. He noted that the low bidder was Piper Jaffrey at 4.73%. Rusty Fifield recommended that the Council award the bid to Piper Jaffrey. COUNCILMEMBER MOTIN MOVED TO ADOPT RESOLUTION 01-67 PROVIDING FOR THE ISSUANCE AND SALE OF THE CITY'S $3,590,000 GENERAL OBLIGATION WATER REVENUE BONDS, SERIES 200lA. COUNCILMEMBER DIETZ SECONDED THE MOTION. THE MOTION CARRIED 5-0. 4.2. Update on Tax Forfeited Land Steve Rohlf indicated that there are three parcels w/thin the city limits that are up for tax forfeiture sale. Steve reviewed each parcel with the Council. Outlot A, Barrington Place Estates (PIN #75-530-0010) Steve Rohlf recommended that the Council purchase this Oudot as the parcel is significant to the functioning of storm water drainage and is not protected by drainage easement. COUNCILMEMBER TVEITE MOVED TO PURCHASE OUTLOT A, BARRINGTON PLACE ESTATES (PIN #75-530-0010) FOR $100. COUNCILMEMBER DIETZ SECONDED THE MOTION. THE MOTION CARRIED 5-0. Outlot A, Cherry. hill Bluffs 2no Addition (PIN # 75-548-0010) Steve Rohlf recommended that the Council not purchase this Outlot as the parcel is protected by a drainage easement and is also protected by the Wetland Conservation Act. COUNCILMEMBER MOTIN MOVED NOT TO PURCHASE OUTLOT A, CHERRYHILLS BLUFFS 2NO ADDITION (PIN #75-548-0010). COUNCILMEMBER TVEITE SECONDED THE MOTION. THE MOTION CARRIED 5-0. Lot 1, Block 2, Country. Crossing Business Center (PIN #75-575-0205) Steve Rohlf explained that this lot is 2.79 acres and is located in the southwest comer of the intersection of joplin Street and Business Center Drive. He indicated that the parcel is zoned Business Park with an underlying Community Commercial land use. Steve indicated that the Council previously signed a resolution expressing its intent to buy the property. He stated that the County Assessor appraised the property at $165,700. He indicated that this is a fair price and recommended that the City purchase the property for potential future use. Councilmember Tveite indicated that he is in favor of purchasing the land if it is to be used for a public building. He indicated that he is not interested in competing with developers. Councilmember Mofin stated it was a good idea of having the option to monitor the type of use. City Council Minutes September 24, 2001 Page 3 COUNCILMEMBER MOTIN MOVED TO PURCHASE LOT 1, BLOCK 2, COUNTRY CROSSING BUSINESS CENTER (PIN #75-575-0205) WITH FUNDING TO COME FROM THE NSP FUND, AND WITH THE INTENTION THAT THE PURCHASE PRICE BE REPAID FROM TAX INCREMENT FINANCING MONEY PLUS A MARKET INTEREST RATE. COUNCILMEMBER DIETZ SECONDED THE MOTION. THE MOTION CARRIED 5-0. 4.3. Consider Funding Options for School Theater The City Administrator discussed the proposed source of funds for payment to the school for the school theater. He noted that the Council agreed to pay the school district $112,600 per year for 5 years. Pat Klaers recommended that the 2001 payment be taken from excess revenues from the 2001 operating budget. He further suggested that the 2002 and 2003 payments be taken from the NSP fund if excess revenues are not available. The Council concurred with the City Administrator's recommendation. 4.4. Community. Recreation Update Councilmember Motin updated the Council on the August 20 and September 24 Community Recreation Board meetings. He discussed the community recreation asset list put together by Michele Bergh and reviewed the $74,000 deficit that the School District claims exists. 4.5. Consider Liquor License for Dick's Main Tap The City Clerk indicated that Mr. Mitch Miller has purchased Dick's Riverfront Bar and Grill. She noted that Mr. Miller is requesting an on-sale liquor license, a Sunday license, and a 3.2% percent malt liquor off sale license. COUNCILMEMBER TVEITE MOVED TO APPROVE AN ON-SALE LIQUOR AND SUNDAY LIQUOR LICENSE AND AN OFF SALE 3.2 PERCENT MALT LIQUOR LICENSE FOR MITCH MILLER'S OLDE TOWN TAVERN & GRILL LOCATED AT 651 MAIN STREET. COUNCILMEMBER DIETZ SECONDED THE MOTION. THE MOTION CARRIED 5-0. 5. Open Mike No one appeared for open mike. 6.1. City. Hall Expansion Committee Update City Administrator Pat Klaers updated the Council on the progress of the City Hall Expansion Committee. He noted that Councilmembers Motto and Kuester are members of the committee. The City Administrator explained that the committee has identified the needs of the city and put these needs into building space terms. He further explained that these space requirements have to be programmed into a new, expanded or remodeled facility. The City Administrator reviewed several issues relating to the expansion including department expansions, new departments, police department needs including a shooting City Council Minutes September 24, 2001 Page 4 range, an expanded emergency operations center, and large meeting room. The City Administrator reviewed the opdons for expansion discussed by the committee, which include expanding the e.,dsting city hall to include all departments, or building a new facility for the police department with the other city departments utilizing the e.,dsting facility. He noted that if a new police department were built, it could be built across the parking lot from city hall creating a campus environment. Gary Tushie of Tushie-Montgomery Architects discussed the advantages and disadvantages of expanding the e.,dsting facility or building a new facility for the police department. The Council discussed the issue of splitting the police department away from city, hall. The Council majority concurred that a campus setting is a good idea if financially feasible. Discussion pursued regarding the issue of including large meeting room space in the facility. It was noted that due to funding concerns, the large meeting room space is not included in the project. It was stated that if the meeting room space doesn't occur now at city hall, there would still be the opportunity to consider meeting room space at other locations (with other projects) or in the future at city hall. Discussion was held regarding the possibility of having a combined police department/f~re department in the same building with an EOC connecting the departments. The Council discussed the corner of Joplin Street and Business Center Drive as a location for the satellite fire stat/on. The City Administrator indicated that the EOC could be used for other purPoses such as smaller meeting room space for community activities. The Council discussed the possibility of the Elk River Utilities locating at City Hall. It was the consensus of the Council that the Utilities should be located at City Hall for customer service purPoses. Councilmember Dietz suggested that the Council should also consider asking the deputy registrar's office if it would be interested in locating at city hall. The City Administrator indicated that the committee would begin to finalize the numbers and provide cost estimates based on different scenarios. 7. Other Business Councilmember Tveite stated that Tom Salzmann, a member of the community, recently passed away. Councilmember Tveite recognized Tom Salzmann for his contributions to the community and to the fair board. 8. Staff Updates The City Clerk informed the Council of the Homecoming parade on October 5. 9. Adjournment There being no further business, Mayor IClinzing adjourned the meeting of the Elk River City Council at 8:20 p.m. Sandra Peine City Clerk