09-19-2011 CCMMEETING OF THE ELK RIVER CITY COUNCIL
• HELD AT THE ELK RIVER CITY HALL
MONDAY, SEPTEMBER 19, 201 I
Members Present: Mayor Dietz, Councilmembers Zerwas, Motin, Westgaard, and Gumphrey
Members Absent: None
Staff Present: Planning Manager Jeremy Barnhart, City Engineer Justin Femrite,
Environmental Administrator Rebecca Haug, City Attorney Peter Beck,
Fire Chief T. John Cunningham, Police Chief Bradley Rolfe, Street
Superintendent Phil Hals, Assistant Street Superintendent Mark Thompson,
and Senior Administrative Assistant Jennifer Johnson
Also Present: Planning Commissioner Paul Bell
Call Meeting To Order
Pursuant to due call and notice thereof, the meeting of the Elk River City Council was called
to order at 6:30 p.m. by Mayor Dietz.
2. Pledge of Allegiance
• The pledge of allegiance was recited.
3. Consider 09/19/2011 Agenda
Mayor Dietz requested item 8.3. be added to discuss the current painting of the water tower
and the costs associated with the possibility of including the new branding logo.
MOVED BY COUNCILMEMBER MOTIN AND SECONDED BY
COUNCILMEMBER WESTGAARD TO APPROVE THE AGENDA WITH THE
ADDITION AS NOTED. MOTION CARRIED 5-0.
4. Consider Consent Agenda
MOVED BY COUNCILMEMBER GUMPHREY AND SECONDED BY
COUNCILMEMBER ZERWAS TO APPROVE THE FOLLOWING CONSENT
AGENDA:
4.1 COUNCIL MINUTES
• SEPTEMBER 6, 2011 SPECIAL
• SEPTEMBER 6, 2011 CLOSED
• SEPTEMBER 8, 2011 SPECIAL
4.2. CHECK REGISTER
4.3. PAY ESTIMATES
A. 2011 STREET IMPROVEMENT ESTIMATE 1
• B. 2011 SEAL COAL IMPROVEMENTS
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September 19, 2011
Page 2
4.4. TEMPORARY ON-SALE LIQUOR LICENSE -ELK RIVER AREA ARTS •
ALLIANCE
4.5. AUTHORIZATION TO PROCEED WITH BRAND PLAN
IMPLEMENTATION
4.6. MASTER JOINT POWERS AGREEMENT BETWEEN THE
MINNESOTA BUREAU OF CRIMINAL APPREHENSION AND THE
CITY OF ELK RIVER PROSECUTOR'S OFFICE
MOTION CARRIED 5-0.
5. Omen Mike
5.1. Eddv Family Foundation
Robert K Eddy of the Eddy Family Foundation presented the Council with a
contribution report dated from 1998 to present. Mr. Eddy awarded $2,000.00 each
to both the Elk River Fire Department and the Elk River Police Department. The
Council thanked the Foundation for their continued generosity and support.
5.2. Representative from Michele Bachmann's Office
Rachel Horn, Outreach Coordinator at Congresswoman Michele Bachmann's office,
introduced herself and provided information on what their office provides as well as
how to contact Congresswoman Bachmann.
6.1. Resolution of Support for The Bank of Elk River •
Mayor Dietz read the resolution of support for the $14,000 contribution provided to support
special events and programs operated by the Elk River Parks and Recreation Department.
Council thanked John Babcock and Bill Lavine, who were present from The Bank of Elk
River, for their continued generosity and support.
6.2. 30 Years of Service Recognition -Mark Thompson
Street Superintendent Hals highlighted Mr. Thompson's service to the city.
The City Council thanked Mr. Thompson for his service and Mayor Dietz read and
presented a plaque to him.
6.3. Resolution Authorizing the Issuance and Sale of Revenue Bonds. Series 2011 (Evans Park
IncInc. P~oiect) - PubLrc Hearing
Mr. Simon presented the staff report. He stated Ehlers reviewed the financial feasibility and
offering statement and made comment about debt service reserves and appraisal, but they do
not see a reason for the city to not approve the issuance of the debt. The financial risks to
bond investors appear to be clearly standard in the financial feasibility study for the project.
Representatives from Guardian Angels were available to answer questions.
MOVED BY COUNCILMEMBER WESTGAARD AND SECONDED BY
COUNCILMEMBER ZERWAS TO APPROVE RESOLUTION 11-55 •
AUTHORIZING THE ISSUANCE AND SALE OF REVENUE BONDS, SERIES
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September 19, 2011
Page 3
2011(EVANS PARK INC. PROJECT) AS OUTLINED IN THE STAFF REPORT.
• MOTION CARRIED 5-0.
7.1. Reauest by Elk River Landfill, Inc. for Land Use Amendment. Case No. LU 11-01 -Public
Hearing
7.2. Request by Elk River Landfill Inc for Zone Change Case No ZC 11-O1 -Public Hearin
7.3. Request by Elk River Landfill Inc. for Conditional Use Permit. Case No. CU-11-12 -
Public Hearing
7.4. Request by Elk River Landfill Inc for a Solid Waste Faalities License to Operate the
Existing Landfill and the 31.8 Acre Expansion
Ms. Haug presented the staff report. Counselor Beck would outline the documents
contained in the staff report after the public hearing.
Mayor Dietz opened the public hearing.
Chad Blomgren, 22343 Watson Circle, and also representing the Ridges of Rice Lake
Homeowners Association, explained to the council his concerns with allowing the expansion
to be approved, noting he and other neighbors do not like the noise and smell of the landfill
and compost site. He expressed concerns with the council changing their mind from last
year about not expanding. He stated he was told his by realtors in 2002 that the landfill
would be closing in 5 years, which is why he moved ahead with buying his home. He
requested the council deny the request for the expansion as he and the other residents of the
Ridges of Rice Lake felt the expansion is a short term financial gain that negatively affects
residents, homes sales, and future growth for the City.
• Shavon Erickson, 12163 - 223rd Avenue, explained she has lived in her home for 40 years
and is upset by how the landfill has affected her property and wildlife. She is opposed to any
further expansion and requested the council deny the request for the expansion.
There being no one else to speak, Mayor Dietz closed the public hearing.
Counciltnember Gumphrey stated he would deny the four requests from Elk River Landfill
on tonight's agenda. He noted he's always been opposed to this project and by expanding,
feels it's unnecessarily creating more land that will be unbuildable and unusable, and also
feels it's unacceptable to approve their requests, which ultimately take away a future tax base.
He stated he felt the residents of Elk River and especially residents of Ward 2, which he
represents, are also opposed to the landfill expansion.
Counselor Beck explained the resolutions in the staff report for the council's consideration,
the first being a resolution approving the Comprehensive Plan amendment, which needed to
pass by a 4/5d~'s vote. The second resolution would adopt the rezoning from Al (1VIE)
Agricultural Conservation (Mineral Excavation) to AI (SWF), Agricultural Conservation
(Solid Waste Facility). The third resolution approves both the Conditional Use Permit (CUP)
and the Solid Waste Facility License, together in one resolution. A copy of the CUP and
License were included in the packet and would be attached to the resolution approving
them. Lastly, included in the packet was a proposed restrictive covenant. This would restrict
any portion of the property that Elk River Landfill acquires that is not approved for fill, and
would restrict it as a matter of private covenant from depositing solid waste. Counselor Beck
stated the covenant is enforceable by the city as well as any property owner living within a
• mile of Elk River Landfill. The intent of the covenant is to prevent a future opportunity for
the council to change its mind by re-guiding and re-zoning for additional landfill space,
City Council Minutes
September 19, 2011
Page 4
without the consent of all the residents within one mile of the landfill. The covenant will be •
in effect for 40 years, which is 20 years beyond the closure of the landfill. The term of 40
years is the statutory maximum.
Counselor Beck stated Elk River Landfill is in agreement with the terms of the proposed
agreements, but they didn't have an opportunity to review and comment on the resolutions
before the packets were sent. He stated they should be given the opportunity to make any
comments before council takes action.
Proposed Findings of the Comprehensive Plan Amendment include:
- history of Elk River Landfill
- proposed expansion of 31.8 acres rather than the previous request to expand 109
acres
- preserves over 60 acres of land at the future interchange of Highway 169 and 22152
Avenue for future development
- sets an absolute date for the landfill to close
- provides for an expansion fee on the 31.8 acres expansion
- provides for the covenant which will ensure that there will be no further expansion
of the Landfill
- addresses appropriate screening, including a landscaped berm along 221ST Avenue
- Elk River Landfill has committed to working with the City in good faith for a
possible future trail connection along the railroad trail north of the City limits
- approval of a smaller expansion would resolve the pending litigation.
Counselor Beck stated Elk River Landfill needs to provide the City with written
documentation of ownership of the 33 acres, and execute the Agreement for Issuance of •
Amended Conditional Use Permit should it be approved by council tonight. The Agreement
for Issuance of Amended Conditional Use Permit becomes effective as provided by its
terms. He stated Elk River Landfill needs to execute a stipulation for dismissal of the
pending litigation as well as execute a covenant in a form acceptable to the City.
Mayor Dietz asked if a representative of Elk River Landfill wished to speak.
Gerard Hamblin, an Engineer with Waste Management, stated he has been involved with
city staff and attorneys from the start of negotiations and stated they reached an agreement
with the documents and resolutions presented this evening. He stated there was one minor
issue with the term of the restrictive covenant, and Elk River Landfill suggested keeping the
term the same as the Landfill's operating license, which would end in 2030, but understands
the rationale the city attorney used. He thanked staff and the attorneys for helping work
through this process.
Counciltnember Motin stated he understands the concerns that the residents and
Councilmember Gumphrey presented, but felt this process had gone on long enough. He
echoed the findings in the resolutions presented. He stated he voted against the 109 acre
expansion but felt the 31.8 acres proposal was a more reasonable request. He felt the
litigation was costly and time consuming, and felt this was a very good compromise for both
the City and Elk River Landfill. He stated he would be voting in favor of the expansion.
Councilmember Westgaard agreed with Councilmember Motin's comments. He stated when
the original expansion request of 109 acres was presented, he wasn't in favor of such a large
expansion. He stated it was unfortunate to go through litigation to come to a compromise •
but given the circumstances, he said he feels it's the best resolution. Future tax base
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September 19, 2011
Page 5
• development property was a priority in this decision. He said he appreciates the comments
shared by residents of the area, and stated the City can't control what realtors, developers, or
.people outside of City staff say.
Counciltnember Zerwas agreed with Councilmembers Motin and Westgaard. He feels this
resolution puts an end to the litigation process, and ends any speculation of further
expansion. He stated he didn't feel this is a win-win situation, but felt it was the best given
the circumstances.
Mayor Dietz stated he wasn't on the council when the original request was denied. He feels
there would have been a good chance that the City would have lost some of the appeals and
didn't want to risk spending taxpayer money on further litigation. He felt there are no
winners in a compromise but he feels the compromise that was made is the best possible
one for both parties.
Counselor Beck commented on a potential future trail connection to the west of the landfill.
Elk River Landfill is indicating in one of the agreements they would work in good faith with
the city on a potential future trail connection at no material cost to Elk River Landfill.
MOVED BY COUNCILMEMBER WESTGAARD AND SECONDED BY
COUNCILMEMBER MOTIN TO ADOPT RESOLUTION 11-56 APPROVING
THE APPLICATION FOR THE COMPREHENSIVE PLAN AMENDMENT
FOR ELK RIVER LANDFILL, INC. AS OUTLINED IN THE STAFF REPORT.
MOTION CARRIED 4-1. COUNCILMEMBER GUMPHREY OPPOSED.
• MOVED BY COUNCILMEMBER WESTGAARD AND SECONDED BY
COUNCILMEMBER MOTIN TO ADOPT RESOLUTION 11-57 APPROVING
THE APPLICATION OF ELK RIVER LANDFILL, INC. FOR A REZONING TO
ALLOW FOR EXPANSION OF ELK RIVER LANDFILL AS OUTLINED IN
THE STAFF REPORT. MOTION CARRIED 4-1. COUNCILMEMBER
GUMPHREY OPPOSED.
MOVED BY COUNCILMEMBER MOTIN AND SECONDED BY
COUNCILMEMBER WESTGAARD TO ADOPT RESOLUTION 11-58
APPROVING THE APPLICATION OF ELK RIVER LANDFILL, INC. FOR
AMENDED CONDITIONAL USE PERMIT AND SOLID WASTE FACILITIES
LICENSE TO ALLOW EXPANSION OF THE ELK RIVER LANDFILL AS
OUTLINED IN THE STAFF REPORT. MOTION CARRIED 4-1.
COUNCILMEMBER GUMPHREY OPPOSED.
7.5. Request by..Janet Adams for Conditional Use Permit for Retreat Center (Non-Owner
Occupied Bed & Breakfast, 931 Main Street, Case No. CU 11-16 -Public Hearing
continued to October 17
Mr. Barnhart presented the staff report.
Mayor Dietz opened the public hearing and continued it to October 17, 2011.
•
City Council Minutes Page 6
September 19, 2011
-----------------------------
7.6. Reduest by City of Elk River for Ordinance Amendment Regarding FEMA maps. Case No._
OA 11-02 -Public Hearing continued to October 17
Mr. Barnhart presented the staff report.
Mayor Dietz opened the public hearing and continued it to October 17, 2011.
8.1. Public Works Facility Phase 1 Project Items
Mr. Simon presented the staff report. Brian Recker from RJM Construction presented the
results of the bids that were included in the staff report. Specifically, he discussed Bid
Category 6A, salt storage relocation and foundation. The manufacturer for this is a company
named Cover-All, who has gone out of business. There is the possibility that the existing
structure may not have been designed properly for current building codes. A structural
engineer will need to evaluate this situation. If it is determined that the existing structure is
deficient, the city would either have to approve the design and installation of supplemental
support on the existing structure, or the city would have to approve the installation of a new
shed structure. City Attorney Peter Beck will check into the documents about the
manufacturer's warranty.
It was decided to postpone awarding bid category 6A until October 3 so some of these
questions can be answered. Should the type of work change or the cost with a difference
$100,000 this category would have to be re-bid.
Councilmember Gumphrey expressed concerns with the condition of the fabric on the roof
of the salt shed He wondered if Greystone Construction could check into whether or not
they could find and replace fabric should it be needed in the future.
Mr. Recker stated he would check with Greystone.
Mr. Recker then discussed Bid Category 11A, the fuel island. Because of the concern of the
salt storage shed and the costs associated with the possible repair, Mr. Recker recommended
awarding the bid for but holding off on approving the purchase of the fuel canopy alternate.
Mr. Recker would ask the contractor to reserve the bid amount for 30 days. At the October
3 council meeting, the council could then decide on whether or not to purchase the fuel
canopy. Council concurred.
MOVED BY COUNCILMEMBER WESTGAARD AND SECONDED BY
COUNCILMEMBER GUMPHREY TO APPROVE THE BIDS AS RECEIVED
OTHER THAN BID CATEGORY 6A AND WITHOUT THE FUEL CANOPY
ALTERNATIVE IN 11A, AND DEFER THE AWARD OF THE FUEL CANOPY
ALTERNATIVE FOR 30 DAYS AS OUTLINED IN THE STAFF REPORT.
MOTION CARRIED 5-0.
Mr. Simon discussed the funding of Phase I of the Public Works Facility as outlined in the
staff report.
•
•
Dave Potvin, Liquor Store Manager, addressed the council and noted how gratifying it was •
for both himself and his staff for municipal liquor stores to help fund such a major project.
City Council Minutes
September 19, 2011
Page 7
MOVED BY COUNCILMEMBER ZERWAS AND SECONDED BY
• COUNCILMEMBER WESTGAARD TO APPROVE THE TRANSFER FROM
THE MUNICIPAL LIQUOR FUND TO THE GOVERNMENT BUILDING
FUND IN THE AMOUNT OF $2,750,000 TO FUND THE PUBLIC WORKS
FACILITY PHASE I PROJECT AS OUTLINED IN THE STAFF REPORT.
MOTION CARRIED 5-0.
8.2. Update on MPCA Compliance Evaluation Inspection for the Wastewater Treatment Facility
Mr. Femrite presented the staff report. He complimented the wastewater treatment staff for
maintaining the overall physical condition of the plant in excellent condition and in good
working order. He met with Gary Leirmoe and MPCA staff to discuss the possibility for the
city to expand their collection line north to several cluster system developments. Most of
these cluster systems are within current city limits, located adjacent to each other, and are
currently showing signs of contributing nitrates to groundwater. The systems are not
designed to adequately treat wastewater for nitrates. Many of the cluster systems that have
NPDES/SDS permits with the MPCA are coming up for reissuance. Once these are
reissued, the permits may contain compliance schedules that will require nitrate limits.
Because the cost for these cluster systems to upgrade to advance wastewater treatment in
order to meet potential nitrate limits will be extremely costly to homeowners, it may be in
their best interest to hook up to city sewer. The council directed staff to work with the
MPCA with all affected parties to evaluate the extension of city sewer as an option on a case
by case basis.
8.3. Water Tower Painting and Possible Adding of New Tag Line
• Mayor Dietz, for discussion purposes, directed staff to obtain costs associated with adding
the new tag line, Powered by Nature, to the water tower on Gary Street, which is currently
being repainted. Mr. Femrite indicated the cost for preparation and application of an 8' x 22'
logo would run approximately $14,400 for the first logo and $12,400 for the second. He
stated the cost to return at a future time would be an additional $10,000 for site preparation
and equipment. Council decided that although they want the logo to be added, perhaps it
can be incorporated in 2 years when another water tower is scheduled to be repainted.
9. Other Business
Councilmember Motin asked to reconsider the wording of the resolution of item 6.1. He
asked that the resolution be reworded to read "a unanimous vote" of the council, not "by at
least atwo-thirds vote" in the second to last paragraph.
MOVED BY COUNCILMEMBER MOTIN AND SECONDED BY
COUNCILMEMBER ZERWAS TO RECONSIDER ITEM 6.1. MOTION
CARRIED 5-0.
MOVED BY COUNCILMEMBER MOTIN AND SECONDED BY
COUNCILMEMBER ZERWAS TO REMOVE THE WORDING "BY AT LEAST
ATWO-THIRDS VOTE" TO "A UNANIMOUS VOTE" FOR ITEM 6.1.
MOTION CARRIED 5-0.
•
City Council Minutes
September 19, 2011
Page 8
10. Council Updates •
Mayor Dietz updated the council on the city administrator position. Kevin Lahner, the
number one candidate for this position, has decided to stay in Burlington, WI and declined
the city's offer. Staff is in the process of negotiating with the number two candidate, Cal
Fortner.
Councilmember Zerwas requested staff prepare some type of organizational structure of the
city into a chart, listing all department heads, division managers, full time staff and part time
staff in all departments of the city. Mr. Simon would discuss this with Bob Thistle.
11. Staff Updates
There were no staff updates.
12. Adjournment
There being no further business, Mayor Dietz adjourned the meeting of the Elk River City
Council at 8:10 p.m.
Minutes prepared by Jennifer Johnson.
Tina Allard, Ciry Clerk
Jo J. Die ,Mayor
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