07-21-2014 CCM City*
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1E1 awk�— eeting of the Elk River City Council
Rive'r Held at the Elk River City Hall
Monday, July 21, 2014
Members Present: Mayor Dietz, Councilmembers Wilson, Burandt, Westgaard, and
Motin
Members Absent: None
Staff Present: City Administrator Calvin Portner, Community Operations and
Development Director Suzanne Fischer, Community Operations and
Development Deputy Director Manager Jeremy Barnhart, Finance
Director Tim Sinion, Fire Chief john Cunningharn,Park
Planner/Planner Chris I..,ceseberg, Building Maintenance Supervisor,
Gary Lore, IT Manager Bob Pearson, IT Support. Specialist Tristan
Nicka, City Attorney Peter Beck, and Administrative
Assistant/Recording Secretary jenniferJohnson
I Call Meeting to Order
Pursuant to due call and notice thereof, the meeting of the Elk River City Council
was called to order at 6:38 p.m. by Mayor Dietz.
2. Pledge of Allegiance
The Pledge of Allegiance was recited.
3. Consider 07/21/2014 Agenda
Moved by Councilmember Motin and seconded by Councilmember
Westgaard to approve the July 21, 2014, agenda. Motion carried 5-0.
4. Consider Consent Agenda
Moved by Councilmember Westgaard and seconded by Councilmember
Wilson to approve the following consent agenda:
4.1 July 7, 2014, Regular Council Minutes.
4.2 Check register as outlined in the staff report.
4.3 Massage Establishment License granted to Life's Retreat Massage and
Spa, Inc., 570 Dodge Avenue NW, valid until December 31, 2014, and
Massage Therapist Licenses for Kayla Brown,Tara Gardner,Alythia
Sully, and Dawn VantHof to perform massage at Life's Retreat
Massage and Spa, Inc.,valid until December 31, 2014.
4.4 Resolution 14-34 Regarding Classification of Certain Tax
Forfeited Land Within Elk River and Specifying the Parcel Be Sold as
outlined in the staff report.
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4.5 Special Event Permit for River of Life Church for their church picnic
and community information event permit on Saturday,August 23,
2014,with the following conditions:
1. The event planner is required to notify surrounding businesses,
residents, and organizations. The city will provide a template of the
notice that must be distributed and a list of property owners to
notify. The event planner must submit an affidavit that the notice
was distributed.
2. Inspection of the outside area shall take place prior to the event
where there is a tent. Applicant is responsible for contacting the
fire marshal at 763.635.1110 for an inspection after the tent area has
been set up.
3. Event parking may not obstruct public roadways or tender them
unsafe for vehicle or pedestrian traffic.
4. If traffic becomes a problem around the temporary site, the area
shall be delineated with a barrier to restrict traffic.
5. No electrical services shall be across any drive of walking surface.
6. All temporary signs shall receive a permit prior to display.
4.6 Call Special Meeting for 6:00 p.m., Monday August 11, 2014, to hold a
special City Council budget work session.
4.7 Resolution 14-35 Acknowledging Contributions to Police
Department as outlined in the staff report.
4.8 Resolution 14-36 Rejecting Bids and Ordering Rc-Advertisement
of Bids for Nature's Edge Business Center Phase II as outlined in the
staff report.
4.9 Resolution 14-37 Acknowledging Contributions from the
Friends of the Library as outlined in the staff report.
4.10 Resolution 14-38 Amending the 2014 Compensation Plan for Non-
Organized Employees as outlined in the staff report.
Motion carried 5-0.
S. Open Forum
No one appeared for Open Forum.
6.1 City of Elk River Volunteer of the Month — Mayor Dietz
Mayor Dietz introduced,read, and presented a plaque to Bernice Lawson as
Volunteer of the Month for July. He noted the following volunteering
accomplishments.
®. Faith in Action volunteer
to Family Promise Program volunteer
United Methodist Church volunteer
District social action representative of her church
Previous volunteer with Rivers of Hope,VISTA, and the Pioneer Girls
Attendee of caucuses to help write resolutions against domestic violence
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6.2 Distinguished Budget Presentation Award for 2014
Mr. Simon presented the staff report.
Moved by Councilmember Motin and seconded by Councilmember
Westgaard to accept The Distinguished Budget Presentation Award from the
Government Finance Officers Association (GFOA) for the city's 2014 budget.
Motion carried 5-0.
7.1 Ordinance Amendment: 2014 Master Fee Schedule to Add Fats, Oils,
and Grease Control Enforcement Tier Levels
Ms. Fischer presented the staff report.
Mayor Dietz opened the public hearing. There being no one to speak on the item,
Mayor Dietz closed the public hearing.
Moved by Councilmember Westgaard and seconded by Councilmember
Wilson to adopt Ordinance 14-07 amending the 2014 Master Fee Schedule to
add the following fats, oils, and grease control enforcement tier levels.
Motion carried 5-0.
7.2 Ordinance Amendment: City of Elk River Regarding Pools and Fences
Mr. Leeseberg presented the staff report.
Councihnember Motin moved to approve an ordinance amendment for
section 30-796 Regarding Pools and Fences; motion died for lack of a second.
Mayor Dietz opened the public hearing. There being no one to speak on the item,
Mayor Dietz closed the public hearing.
Moved by Councilmember Motin and seconded by Councilmember
Westgaard to adopt ordinance 14-08 Section 30-796, fences visibility at
Intersections and driveways.
Motion carried 5-0.
7.3 Interim Use Permit Extension: Spectrum School for Wrestling Facility
Located in Business Park Zoning District
Mr. Leeseberg presented the staff report.
Mayor Dietz opened the public hearing. There being no one to speak on the item,
Mayor Dietz closed the public hearing.
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Moved by Councilmember Wilson and seconded by Councilmember Burandt
to approve Interim Use Permit (IUP), Case No. CU 14-14 extending request
by Spectrum High School to utilize the space at 17834 Industrial Circle for
wrestling and fitness classes in the Business Park Zoning District,with the
following conditions:
1. The IUP shall expire on June 1, 2015, or when the gym facility at 17834
Industrial Circle is no longer in use,whichever occurs first.
2. Additional extensions to the IUP will not be granted.
3. As an IUP is not a Building Permit, the applicant shall obtain all
required permits, including approvals from the fire chief, city engineer
and building official.
4. The standards for issuance of the Conditional Use Permit (CU 10-22)
shall continue to be maintained.
5. Due to the industrial nature of the neighborhood, the school
recognizes that noise, odors, truck traffic, and other undesirable effects
may be present.
Motion carried 5-0.
7.4 Three Lot Split: Horst Graser, Carla Biederman in Kliever Lake Fields
East Plat
Mr. Leeseberg presented the staff report.
Mayor Dietz opened the public hearing. Horst Graser, owner, explained the reasons
behind the lot splits. There being no one else to speak on the matter, Mayor Dietz
closed the public hearing.
Counciltneiriber Motin expressed concerns with the effect this lot split would have
on the amount of association dues collected and its effect on the viability to the
current unit owners.
Mr. Graser stated the association's secretary, along with the association attorney and
current association property owners are exploring the possibility of joining an
adjacent property development to create one larger homeowners association and
thereby increasing their ,riability.
Moved by Councilmember Westgaard and seconded by Councilmember
Motin to approve Lot Split, Case No. LS14-02 to Horst Graser and Carla
Biederman for Lot 7, Block I in the Kliever Lake Fields East Plat as outlined
in the staff report.
Motion carried 5-0.
Moved by Councilmember Westgaard and seconded by Councilmember
Wilson to approve Lot Split, Case No. LS 14-03 to Horst Graser and Carla
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Biederman for Lot 21, Block 2 in the Kliever Lake Fields East Plat as outlined
in the staff report.
Motion carried 5-0.
Moved by Councilmember Westgaard and seconded by Councilmember
Burandt to approve Lot Split, Case No. LS 14-04 to Horst Graser and Carla
Biederman for Lot 23, Block I in the Kliever Lake Fields East Plat as outlined
in the staff report.
Motion carried 5-0.
7.5 Preliminary Plat: Douglas Warneke for DHJ Plat
Mr. I.,eeseberg presented the staff report,
Mayor Dietz opened the public hearing. I'here being no one to speak on the item,
Mayor Dietz closed the public hearing.
Moved by Councilmember Wilson and seconded by Councilmember
Westgaard to approve Preliminary Plat, Case No. P 14-03 to Douglas Warneke
for DHJ Plat, Case No. P 14-03, with the following conditions:
1. Surface Water Management Fee, one (1) lot at the rate applicable at the
time of Final Plat approval.
2. All appropriate grading permits must be obtained prior to
commencing work on the site.
3. Grading and Erosion Control Plan be submitted and approved by the
city engineer prior to the issuance of building permits.
4. Water Availability Charge be paid prior to releasing the plat for
recording.
5. Park Dedication shall be provided in the form of cash for one (1) lot at
the rate applicable at the time of Final Plat approval.
6. Any item or condition found that indicates the site is likely to yield
information important to pre-history or history shall be reported to the
city immediately. Further, the city reserves the fight to stop work
authorized in its approval until the site is appropriately investigated
and work is authorized.
7. Service Connection Plan approved by city engineer.
Motion carried 5-0.
8.1 Resolution Awarding Sale of General Obligation Sewer Revenue
Bonds, Series 2014B
Mr. Simon presented the staff report. He introduced Kathy Aho from Springsted,
who outlined the findings of the recent Standard & Poor's (S&P) affirmed rating of
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the city at AA.+. She noted the visiting members of S&P stated they were very
impressed with the city, and especially with its financial management.
She provided the results of the sale of the General Obligation Sewer Revenue Bonds,
Series 2014B for the wastewater expansion project. The winning bid was from FTN
C�
Financial Capital Markets with a ]:I rue Interest Cost of 2.96%, and provided some
details about F-I'N as a strong bidder.
Councilmember Motin asked if Ms. Aho could provide the cost savings to the city if
you would base the interest rate upon the bond rating from years ago.
Ms. Aho stated the rate itself would be 50-60 basis points higher,with an
approximate $700,000,interest cost on this bond sale alone, noting how important
bond ratings are and their direct benefit to the city.
Moved by Councilmember Wilson and seconded by Councilmember Motin to
adopt Resolution 14-39 awarding the sale of$10,000,000 City of Elk River,
Minnesota General Obligation Sewer Revenue Bonds, Series 2014B; fixing
their form and specifications; directing their execution and delivery; and
providing for their payment as outlined in the staff report.
Motion 5-0.
8.2 Energy City Commission Action Plan
Ms. ,Mroz presented the staff report.
Earlier in the evening, the Economic Development Authority approved the Energy
City Commission 2024 10—year Action Plan with a few revisions to the plan
presented in the staff report:
1) The Action Plan will be reviewed annually instead of biennially.
2) Item A9 should read "Contract with a bike share business..."
3) Item B3 should read "Provide training to 10 businesses (owners and
employees) annually on reducing environmental impacts.
Moved by Councilmember Burandt and seconded by Councilmember Motin
to approve the Energy City Commission Action Plan as presented in the staff
report with the above-noted changes. Motion carried 5-0.
803 City Beautification Update
Mr. Barnhart presented the staff report.
Councilmember Motin asked if the trees needing replacement on Main Street were
all trees on city property.
Mr. Barnhart stated the trees on Main Street were on city property.
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It was the consensus of the Council to allow for downtown tree replacements as
budgets allow.
Moved by Councilmember Wilson and seconded by Councilmember Motin to
authorize staff to go out for bids to install irrigation in the medians of Twin
Lakes Road between 171"Avenue and 181"Avenue, as outlined in the staff
report.
Motion carried 5-0.
Mayor. Dietz asked the status of the wayfinding project,when the Council would be
taking action on its final report, and who would be responsible for creating the new
signage.
Mr. Portlier stated the consultant is completing the wayfinding project
comprehensive plan and would present this plan to the Council U' l late August or
eaily, September. He stated the signs would be either manufactured in-house or
completed by outside sources depending upon the number of signs requliled, the
cost, the type of sign (monument, directional, etc.), and time.requirements.
8.4, Annual Renewal for Property and Casualty Insurance
Mr. Simon presented the staff report.
Moved by Councilmember Westgaard and seconded by Councilmember
Wilson to approve the annual renewal for Property and Casualty Insurance
with the League of Minnesota Insurance Trust with a deductible level of
$25,000/$75,000/$1,000 as outlined in the staff report.
Motion carried 5-0.
8.5 Position Description for Stormwater Coordinator
Ms. Fischer presented the staff report.
Moved by Councilmember Wilson and seconded by Councilmember
Westgaard to approve the position description for the stormwater coordinator.
Motion carried 5-0.
Council recessed at 7:23 p.m. in order to go into 2,worksession meeting. The meeting
reconvened at 7:29 p.m.
9.1 Houlton Farm Grant Opportunity
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Mr. Pottner presented the staff report. He introduced Bob McGillivray, Project
Manager for The Trust for public Land, Steve Hobbs,Project Director for The
Conservation Fund, and Jeff Dotseth, realtor representing the Houlton family. Mr.
Portner explained another grant opportunity has become available through
Minnesota Outdoor Heritage Fund to assist in the city's purchase of the Houlton
family farm property.
Mr. McGillivray provided a brief overview of The Trust for Public Land and
presented an opportunity for TheTrust to seek approval to purchase the Houlton
farm and donate it to the city. He stated the The Trust has capital acquisition funds
available to purchase this property due to another project that fell through, but
because the Houlton farm property is not currently on their acquisition list, the city's
request must be reviewed and recommended for approval to the state legislature by
the Lessard—Sams Outdoor Heritage Council (I.,-SOHC). The presentation of the
application and letter of support of the Council would be.August 5.
Because this fund is earmarked specifically for protecting and Improving wildlife
habitats, the city's original intent for use of this farm property would need to be
modified to the use of the land would be as a habitat and conservation area. The city
would incur incidental costs for removal of the buildings currently located on the
property and no further buildings would be allowed to be constructed. Areas of the
land would be used as passive park land. He stated grants are available to assist with
maintaining the land but overall the costs associated with keeping the land as natural
park land would be low. Mr. McGillivray requested the Council provide their
feedback on this course if a consensus to move forward with this type of funding
request could be made.
Mr. McGillivray explained the land's use and its restrictions under the deed
-restrictions. He noted Anoka County has experience with asin-tilar grant opportunity
in 2009 and used this resource to purchase property which is currently in use as
hunting and passive park land. He provided several handouts of the Anoka County
property as examples in showing their public hunting areas and restrictions.
Mayor Dietz was concerned with the hunting proposed on the property and the
safety of people near and on the property. He also expressed concerns with future
property maintenance costs.
Mr. McGillivray stated if the city moves ahead with the proposed grant opportunity,
the city would work closely with the Minnesota Department of Natural Resources
(DNR) to follow current statutes already in place and draw up specific regulations to
ensure hunting on the land would be safe and proper signage would be placed,
making visitors aware of the land's use.
Mi.. Beck asked questions regarding the grant agreement and its conditions regarding
building removal, hunting, and deed restrictions.
Councilmember Motit-i stated this was a unique opportunity. He was also concerned
for hunting and safety of residents living nearby and wanted hunting restricted to
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maintain safety. He wanted the property to be accessed by all, not just hunters. He
wasn't concerned with not having buildings and requested that signage be allowed
for historical significance of the site. He wished to phase out the farming process
that currently took place on the land. Councilmember Motin was in favor of moving
forward with this grant application,
Counci.1member Wilson was also in favor of moving forward and was pleased the
city was presented with another opportunity to gain control of the property. lie
wasn't too concerned with the proposed property being used as hunting land. He
was in favor of returning the property currently being farmed into prairie land. He
felt the land could be used for several purposes and not just hunting.
Councilmember Westgaard wanted to move forward to ensure securing this parcel of
land, but stated he felt uncon-ifortableAVIth the short timeframe to review the deed
restrictions. He stated the city would have to be comfortable with the DNR's
regulations on hunting on the land. He wasn't too concerned with not having trails
and buildings,
Mr. McGillivray, noted Anoka County took several years to work through their land
acquisition hunting regulations.
Dave Anderson, Parks and Recreation Commissioner, was present and commented
that Anoka County was challenged by some of the same things Elk River will be
facing if moving forward with this grant opportunity. He noted Anoka County,had
nothing but good things to say about their land acquisition process. Mr. Anderson
stated the opportunity to secure this land is a once in forever opportunity.
Councilmember Burandt agreed with Mr, Anderson's statement about it being a
once in forever opportunity. She felt it to be very feasible to work with the DI' R and
also expressed her concerns with safety. She doesn't want to see this land be
developed but kept as a wildlife habitat.
Mayor Dietz stated his reservations with moving this forward too quickly and agreed
with Mr. Beck's concerns. He stated he didn't envision this land to be used this way,
but felt if the majority of the Council wished to proceed, lie would agree to proceed.
Mr. McGillivray stated a letter of intent from the city to acquire and maintain the
Houlton farm property for the purpose of a natural habitat and hunting area would
have to be approved by the Council.
Mr. Portner stated the draft letter would have to come before the Council for
approval at their next scheduled meeting, which would be August 4.
Mr. McGillivray stated this letter would then need to be brought to the August 5
meeting with L-SOHC.
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It was the consensus of tl-ie Council to draft a letter in support of an application to
request the Minnesota Outdoor Heritage Fund purchase the Houlton farm property
on behalf of the City of Elk liver.
9.2 2015 Budget
Mr. Simon presented the staff report. Various departments presented their budgets.
Mr. Sin-ion discussed the tax rate calculation and personnel requests. He discussed
the capital outlay requests and the requested budget analysis snapshot for the
General Fund.
8. Adjournment
There being no further business, Mayor Dieti, adjourned the meeting of the Elk
River City Council at 9:46 p.m.
Minutes prepared by Jennifer_Johnson.
hnJ Di tz Mayor
Tina Allard, City Clerk
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