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06-08-1998 CC MINSPECIAL MEETING OF THE ELK RIVER CITY COUNCIL HELD AT THE ELK RIVER CITY HALL MONDAY, JUNE 8, 1998 Members Present: Mayor Duitsman, Councilmembers Dietz, Holmgren and Thompson Members Absent: Councilmember Farber Staff Present: Pat Klaers, City Administrator; Terry Maurer, City Engineer; Phil Hals, Street/Park Superintendent; Debbie Huebner, Recording Secretary 4.1. 4.2. Call Meeting To Order Pursuant to due call and notice thereof, the meeting of the Elk River was called to order at 7:00 p.m. by Mayor Duitsman. Consider 6/8/98 A.qenda COUNCILMEMBER HOLMGREN MOVED TO APPROVE THE JUNE 8, 1998 AGENDA WITH THE FOLLOWING ADDITION: - ITEM 6.1. - CITY PLANNER POSITION UPDATE COUNCILMEMBER DIETZ SECONDED THE MOTION. THE MOTION CARRIED 4-0. Consider Consent A.qenda COUNCILMEMBER THOMPSON MOVED TO APPROVE THE CONSENT AGENDA AS FOLLOWS: 3.1. 6/1/98 CITY COUNCIL MINUTES - APPROVED REQUEST TO OPERATE GOLF CART ON CITY STREETS - APPROVED COUNCILMEMBER DIETZ SECONDED THE MOTION. THE MOTION CARRIED 4-0. Public Hearinq to Consider Orderin.q the 1998 Bituminous Overlay and Street Improvement Project Assessment Hearin,q to Consider Proposed Assessments for 1998 Bituminous Overlay and Street Improvements City Engineer Terry Maurer reviewed the six areas being considered for overlay and street improvements: the Peterson Addition, Hobbit Hills, Meadowvale Forest, Village Estates I and Ih Mississippi Heights and Ulysses Street. Terry indicated 7 bids were received and the Iow bidder was Bauerly Brothers at a total project cost of $252,900. The assessment was figured on a "per unit" basis at $1,450 per unit. The assessment will be spread over 5 years at 6.5 percent SpecialCity Council Meefing June 8,1998 Page2 interest, with payments starting out at $392 for the first year and $308 the last year. Terry explained that approximately nine properties in the Peterson Addition have one year remaining on a 20 year assessment for a road improvement. Terry stated that the nine property owners will be contacted to provide them the option of making special arrangements to combine the remaining assessment with the new assessment. He added that unless these property owners respond to the letter and contact city staff, the new assessment will begin immediately. Terry explained that the public hearing for the project and the assessment will be opened simultaneously, and that any resident wishing to preserve their right to appeal the assessment must submit written objection to the assessment prior to the adjournment of tonight's City Council meeting. Terry indicated that after the public hearing, the Council will be acting on three resolutions: 1) ordering the project, 2) adopting the assessment roll (with any changes); and, 3) awarding the project. Mayor Duitsman opened the public hearings at this time. Donna Bullock, 19336 Ogden Street, expressed her objection to the proposed assessment. She stated she is one of the residents still paying on the 1980 road assessment and was also assessed for the railroad crossing signals. Jean Rolow, 19513 Ogden Street, stated the residents were told approximately 5 years ago that they would not be assessed for another overlay until the previous assessment was finished. Mike Chambers, 20018 Pascal Street, stated he did'not feel Pascal was in poor condition and questioned why the street was being included in the project. He felt the property owners in the new Oakwood Forest development should contribute to the cost of the overlay, since the heavy construction equipment will be using the newly overlaid roadway to get to the site. Streets/Parks Superintendent Phil Hals explained the importance of doing the overlay now before the condition of the street becomes serious and needs to be rebuilt. Phil noted there are approximately 75 miles of blacktop streets to maintain in the city. He explained that his annual budget for road maintenance allows for 1,000 ton of blacktop, which is about 3,000 feet for an average 26' wide roadway. Phil explained that the city's policy is to only assess property owners with frontage on an overlay project. Steven Stoffers, 14092 Victoria Lane, indicated he did not want to pay for the overlay, only to have the road ripped up by a neighborhood resident who regularly uses the road to turn around a fully loaded semi tractor-trailer. Discussion followed regarding whether or not the city's ordinance restricts this type of activity. City Administrator Pat Klaers indicated he will check, with the police department on this issue. Peter Kimball, 14357 190th Avenue, questioned why Big Lake Township has not been asked to pay for frontage on Zebulon, since the west half of the roadway belongs to the township. He suggested the City pursue a reciprocal agreement for sharing the cost of road improvements. SpecialCity Council Meeting June 8,1998 Page3 Lori Schneider, 13851 200th Avenue, questioned why only 2" of overlay is planned for Meadowvale Forest, and 4" for Hobbit Hills. Phil Hals explained that in Hobbif Hills, south of 200th Avenue, there are areas that have a heavy clay base and are prone to frost. Darryl Jorgenson, 15831 Yale Street, asked if the bid price covers a future seaicoafing or if the residents would be assessed again. Terry Maurer explained that sealcoating is done af the city's expense by the city's street department. Mr. Jorgenson questioned whether or not they can expect fo see their property values rise, due to the road improvement. Terry Maurer explained he did not feel an overlay has an effect on property values, whereas reconstructing a road with curb and gutter may increase property value. Mr. Jorgenson asked what would be done with the existing curbing in some areas. Terry Maurer explained the curb would be somewhat smaller, but the bid price included some milling in areas where there is a concern for proper drainage. Richard Vogf, 16861 Yale Street, asked why they are being assessed on a per unit basis, rather than on street frontage. Terry Maurer explained the city's policy of assessment for overlays based on the number of residential units. Robert Dziak, 14345 191,t Avenue, asked if this area could be left out of the project if all the homeowners in the 191,t and Xerxes area objected to the improvement. Terry Maurer explained that if the area was taken out and the road deteriorated to the point that it needed to be reconstructed, the cost assessed to the property' owners would be much greater. He explained how the overlay will extend the life of the road. Mr. Dziak expressed his objection to the assessment, stating he did not feel the overlay was needed at this time. Martin Koepke, 20083 Pascal Street, asked when the overlay construction would begin. Terry Maurer indicated the overlay should be completed within six weeks. Discussion followed regarding the condition of the blacktop in the new Oakwood Forest development, as well as the impact of construction traffic on Pascal. Terry Maurer explained that the developer chose fo go ahead and put in the blacktop, even though he was aware it would likely need to be redone, in order to allow for home construction activity. Terry indicated the road will need to be repaired or reconstructed af the developer's expense, in order to meet city standards. Terry further explained it is his opinion that the overlay should be done now so that the street will stand up to the traffic and not destroy it to the point that it needs reconstruction. Harry Ksilander, 20082 Rawlins, indicated he felt property taxes should pay for the overlay. He expressed his concern regarding the construction truck traffic. He explained that he had been forced off the road by a cement truck coming around a curve. Gary Balcom, 14054 Victoria Lane, stated he is also concerned about the fully- loaded semi-truck using the street. He expressed his objection to the overlay. Special City Council Meeting June 8, 1998 Page 4 Jeff Gregerson, 13861 201" Avenue, stated that speed limit signs are needed in his neighborhood and felt his property taxes should cover the cost of the signs. Dan Steffens, 13813 196th Avenue, asked if the roadway wil be removed before putting down the overlay. Terry Maurer explained that the entire roadway will not be removed as part of the overlay, however, any areas which need to be removed and patched will be done by the city's street department. Scott Peterson, 20159 Rawlins, expressed his concern that the base of Rawlins Street contains a lot of clay and asked what protection the city has that the overlay will last. Terry Maurer indicated the overlay is guaranteed for one year by the contractor and, after one year, the city's street department will maintain and repair the road. Mr. Peterson indicated he did not feel the overlay should be done on Pascal until construction is completed in the Oakwood Forest addition. Phil Hals, Streets/Parks Superintendent, stated staff feels it is important that the truck traffic does not destroy the existing road structure, and with the overlay, Pascal Street should be equivalent to any other 9 ton road in the city. Steve Miller, 13940 200th Avenue, asked how long the property owners had to pay the $1,450 assessment in full without any interest. Mayor Duitsman explained that they would have until approximately November 15th to pay off the assessment without interest. Mr. Miller asked how long the overlay will last. Phil Hals indicated that with an overlay, streets typically last from 14 to 20 years or more. Mr. Miller expressed his concern that the property owners were not notified in advance the assessment was coming. He expressed his objection to the assessment af this time and felt it should be delayed in order to allow residents time to budget for the expense. Dean Pullar, 19110 Waco Street, questioned the statement in the assessment letter they received regarding the 30 days to pay with no interest. Terry Maurer explained that by law, residents have 30 days to pay with no interest, but that it has been the city's past practice to allow property owners until November 15th to pay off assessments with no interest. He added that the assessment must be certified to the county by November 30. Mr. Pullar asked who pays for road repairs after the one year contractor warranty. Terry explained that the city assumes the responsibility. Mr. Pullar questioned if curb and gutter is proposed. Terry indicated there are no plans for curb and gutter. Mike Chambers, 13850 200th Avenue, asked if there was a chance his sprinkler heads next to the roadway would be damaged. Terry Maurer indicated that there should be no reason for damage to occur off the street, but if damage did occur, he should contact the city and the city will take up the matter with the contractor. Mr. Chambers questioned if there would be additional costs to the city if the contractor did not finish the project by the completion date. Terry Maurer indicated he was confident the project will be completed in 6 weeks, possibly within 30 days. Donna Bullock, 19336 Ogden, explained problems she has experienced in trying to sell her property. She stated she had to fill in portions of her property due to the flooding of Ditch 28 and now there is no suitable place to relocate a septic system in order to sell her proper5/. She indicated that the city also placed fill on Special City Council Meeting June 8, 1998 Page 5 her property. Ms. Bullock stated that when she contacted the city for assistance, she was told that an experimental system was her only option and she found that lending institutions will not approve loans for homes with experimental systems. Ms. Bullock asked who was responsible for Ditch 28. Terry Maurer indicated the county is responsible for the ditch and suggested Ms. Bullock contact the county ditch inspector. Tony Musatov, 13850 200th Avenue, asked how decisions are made regarding which road improvements are assessed and which ones are improved at the city's expense. Terry Maurer explained that new roads and overlays are assessed and then the city maintains the overlay with sealcoating and patching until the street reaches the point it needs reconstruction. Mr. Musatov indicated he felt the $1,450 assessment was a poor investment, given the fact heavy construction traffic to the new development will damage the new road surface. Terry Maurer explained that it is his opinion if the overlay is not done now, there may not be a road left to overlay. Mr. Musatov stated he objected to the proposed assessment. There being no further public comment, Mayor Duitsman closed the public headng. Mayor Duitsman responded to the following issues brought up by the public: Peterson Addition Assessments - The nine property owners who have one year left to pay on the previous road assessment have the option of contacting Assistant City Administrator Lori Johnson to combine the remaining assessment with the overlay assessment. Mayor Duitsman stated it appears now is the time to overlay the road before it deteriorates to the point it needs reconstruction. New Oakwood Forest Development Construction Traffic throu.qh Hobbit Hills - Council and staff are in agreement it is necessary to complete the overlay on Pascal now in order to preserve it. Any surface damage can likely be repaired by sealcoating. Road restrictions will be posted in the spring to prevent heavy trucks from damaging the road. Resident off Meadowvale Usin.q Victoria Lane as Turn Around - The Council requested staff to check the city's ordinances in order to address this issue. Councilmember Dietz questioned whether or not the city could assess for damage, and suggested the possibility of leaving road restrictions on Victoria Lane year-round. Cost Sharin.q with Bi,q Lake Township - Mayor Duitsman felt it would be worthwhile to consider a policy for sharing road improvement costs with neighboring townships. Assessinq Costs for Road Improvements - Councilmember Holmgren indicated Elk River residents have indicated they do not want their property taxes increased fo cover street overlays for the entire city; rather, they would prefer fo be assessed for their padicular street when necessary. Councilmember Holmgren explained that the Council relies on the expertise of the city engineer and street superintendent to decide when improvements are needed. SpecialCity Council Meeting June 8,1998 Page6 COUNCILMEMBER HOLMGREN MOVED TO APPROVE RESOLUTION NO. 98-61 ORDERING THE IMPROVEMENT IN THE MATTER OF THE 1998 OVERLAY IMPROVEMENT. COUNCILMEMBER THOMPSON SECONDED THE MOTION. THE MOTION CARRIED 4-0. COUNCILMEMBER HOLMGREN MOVED TO APPROVED RESOLUTION 98-62 ACCEPTING BID AND AUTHORIZING EXECUTION OF CONTRACT IN THE MATTER OF THE 1998 OVERLAY IMPROVEMENT. COUNCILMEMBER DIETZ SECONDED THE MOTION. THE MOTION CARRIED 4-0. COUNCILMEMBER HOLMGREN MOVED TO APPROVE RESOLUTION 98-63 ADOPTING THE FINAL ASSESSMENT ROLL FOR THE 1998 BITUMINOUS OVERLAY IMPROVEMENT. COUNCILMEMBER THOMPSON SECONDED THE MOTION. THE MOTION CARRIED 4- 0. A wdtten appeal to the overlay assessment was submitted by Donna Bullock, 19336 Ogden Street at this time. COUNCILMEMBER THOMPSON MOVED TO DENY THE APPEAL SUBMITTED BY DONNA BULLOCK, 19336 OGDEN STREET, FOR A STREET OVERLAY ASSESSMENT, BASED ON THE FINDING THAT THE BENEFIT OF THE IMPROVEMENT EXCEEDS THE COST OF THE ASSESSMENT. COUNCILMEMBER DIETEZ SECONDED THE MOTION. THE MOTION CARRIED 4-0. Staff Updates 6.1. City Planner Position City Administrator Pat Klaers stated that eight applications have been received for the City Planner position. He asked the Council to extend the deadline for applications. Pat indicated a notice of the position opening and job description will be mailed to approximately 500 members of the Minnesota Planning Association. COUNCILMEMBER THOMPSON MOVED TO EXTEND THE DEADLINE FOR APPLICATIONS FOR THE CITY PLANNER POSITION TO JUNE 30, 1998. COUNCILMEMBER DIETZ SECONDED THE MOTION. THE MOTION CARRIED 4-0. 7. Adjournment There being no further business, Mayor Duitsman adjourned the meeting at 8:50 p.m. Respectfully submitted, Recording Secretary