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4.1. DRAFT MINUTES (2 SETS) 07-20-2015 Meeting of the Elk River City Council Held at the Elk River City Hall Monday, June 15, 2015 Members Present: Mayor Dietz, Councilmembers Olsen, Burandt, Westgaard, and Wagner Members Absent: None Staff Present: City Administrator Calvin Portner, Parks and Recreation Director Michael Hecker, Finance Director Tim Simon, Planner I Zack Carlton, Park Planner/Planner Chris Leeseberg, City Attorney Peter Beck, Stormwater Coordinator Brandon Wisner, Environmental Technician Kristin Mroz, Parks and Recreation Director Michael Hecker, Ice Arena Manager Rich Czech, and City Clerk Tina Allard 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 6:25 p.m. by Mayor Dietz. There was a moment of silence for Street Division Bob Mahutga. 2. Pledge of Allegiance The Pledge of Allegiance was recited. 3. Consider 06/15/2015 Agenda Ms. Allard noted two additions to the Consent Agenda:  4.12 Resolution Regarding Regional Status of Woodlands Park  4.13 Hold Harmless Agreement Moved by Councilmember Westgaard and seconded by Councilmember Olsen to approve the February 17, 2015, agenda as amended. Motion carried 5-0. 4. Consider Consent Agenda Moved by Councilmember Westgaard and seconded by Councilmember Burandt to approve the following consent agenda: 4.1 June 1, 2015 regular minutes. 4.2 Check Register, check numbers 9805-9806 and 92394-92596 as outlined in the staff report. 4.3 Pay estimates as outlined in the staff report. City Council Minutes Page 2 June 15, 2015 ----------------------------- 4.4 Temporary on-sale liquor license to the Elk River Rotary Club for Taste of Elk River scheduled May 19, 2016. 4.5 Letter of intent to purchase real property located at intersection of Highway 10 and Joplin Street and authorization to conduct an appraisal of the property. 4.6 Resolution 15-28 authorizing a transfer from the Municipal Liquor Fund to the Park Improvement Fund. 4.7 Agreement between the City of Elk River and the Elk River Youth Lacrosse Association to donate $ 1, 505 to purchase an auxiliary tank with attachments to paint athletic field lines. Resolution 15-29 acknowledging contributions to the City of Elk River. 4.8 Two Memorandum of Understandings to amend the labor contract between the City of Elk River and Law Enforcement Labor Services #231 regarding sick leave and bereavement leave. 4.9 A pyrotechnic firework display license for Chuck FX, LLC to conduct a pyrotechnic display from the Sherburne County Fairgrounds on Friday, July 17, 2015, with the following conditions: 1.Applicant must contact the fire marshal at 763.238.3489 to schedule pre- loading and post-loading inspections. 2.Fire watch shall be established per direction of the fire marshal. 3.Audience distance will be set onsite. 4.10 Renewal of On-Sale and Sunday Liquor Licenses for the American Legion valid July 1, 2015, through June 30, 2016. 4.11 Expansion of the Metro Deer Management Zone 601 to encompass a larger area of Elk River. 4.12 Resolution 15-30 supporting regional park designation application for Woodland Trails Park in Greater Minnesota. 4.13 Indemnification and hold harmless agreement with Scott Morrell. Motion carried 5-0. 5. Open Forum Alex Bodnar, 3746 Orchard Avenue N., Robbinsdale - Asked for explanation of Item 4.11 regarding the Metro Deer Management Expansion Zone 601 means. Councilmember Westgaard stated it’s a letter to the Department of Natural Resources asking them to consider expanding the management area to include more of Elk River. 6.1 City of Elk River Volunteer of the Month Mayor Dietz introduced, read, and presented a plaque to Fal Sentryz, Volunteer of the Month for June, who also turned 100 years old on June 14. He noted the following volunteering accomplishment.  Help kids with speaking issues at Handke special education program. City Council Minutes Page 3 June 15, 2015 -----------------------------  Member of the Country Crossing Townhome board of directors.  Stuff envelopes for Elk River Municipal Utilities.  Fundraising at Handke and Lincoln school.  Managed gift shop and assisted in kitchen at Guardian Angels.  Assisted with parish festival at St. Andrew's Catholic Church.  Served as an election judge.  Gave golf lessons to children at Pinewood Golf Course.  Served as a volunteer at the Elk River Library.  Volunteered at the county fair for the Sherburne County Historical Society. Ms. Sentryz thanked everyone for their support. 7.1 2014 National Pollutant Discharge Elimination System Annual Report Mr. Wisner presented the staff report. Mayor Dietz opened the public hearing. There being no one to speak to this issue, Mayor Dietz closed the public hearing. 7.2 Resolution: Final Plat by Bodnar Builders, LLC for Heritage Park Mr. Leesebergpresented the staff report. Mayor Dietz opened the public hearing. Jean Wendell, 13355 180 1/2 Circle - Questioned if the units will be rentals and further stated she is opposed to the plat. Mr. Leeseberg stated they will be single-family homes but he doesn't know if they will be rented. Mayor Dietz closed the public hearing. Councilmember Westgaard stated it would be difficult to not support this application because it meets the city’s zoning and land use regulations. Moved by Councilmember Westgaard and seconded by Councilmember Wagner to adopt resolution 15-31 granting final plat for Heritage Park, Case No. P 15-03 with the following conditions: 1.A Developers Agreement be prepared and executed outlining the terms and conditions of the plat approval prior to releasing the plat for recording. 2.Surface Water Management Fee shall be paid in the amount required by the city at the time of final plat prior to releasing the plat for recording (currently $220/ residential lot). City Council Minutes Page 4 June 15, 2015 ----------------------------- 3.All comments in the memos from the Water Department, Environmental and Engineering Divisions, and the Stormwater Coordinator be addressed and incorporated into the plans. 4.Street lights shall be installed as required by Elk River Municipal Utilities. 5.A Letter of Credit shall be provided to the city in the amount of 100% of the costs of the public improvements. 6.Upon completion all improvements and acceptance by the city, a security or warranty in a form acceptable to the city engineer will be secured. 7.A development plan shall be approved by the city engineer prior to the issuance of building permits. 8.All mailboxes shall be clustered. 9.Any item or condition found that indicates the site is likely to yield information important to prehistory or history shall be reported to the city immediately. Further, the city reserves the right to stop work authorized in its approval until the site is appropriately investigated and work is authorized. 10.Park Dedication shall be for three (3) dwelling units at the rate applicable at the time the lot split is released for recording, which for 2015 is $ 3,712 per residential dwelling unit. 11.All driveways shall meet the required setbacks. Motion carried 5-0. 7.3 HiTech Motorsports Inc. – 16820 Highway 10 Public Hearing to Revoke Conditional Use Permit, CU 06-12 Mr. Carlton presented the staff report. He provided a background of the project regarding noise and operational complaints. He discussed the timeline of issues and compliance letters sent to the property owner. He stated the City Council should evaluate the areas of non-compliance as noted in the staff report. Mayor Dietz opened the public hearing. Connor Mickelson, 16831 Yale Street – Read his handout and stated on any given day he can see the facility garage doors open. He stated he can hear the noise on a baby monitor in his basement. th Daryl Jorgenson, 13480 96 Street Otsego – Stated he previously lived in Mr. Mickelson's house for 18 years. He stated he called the police, more than what is recorded in police records, when he lived at the house. He stated he tried talking to Mr. Wells (the property owner) about the noise but no improvements were made. He expressed concerns with grass in his yard being permanently dead, possibly coming from a pond and some chemicals from the HiTech property. He stated when there is overflow it spills onto his grass. He stated there are black rubber marks on the street, from customers who test the horsepower on their cars after they come out of the shop. Mr. Jorgenson stated Mr. Wells has had past issues with maintaining his City Council Minutes Page 5 June 15, 2015 ----------------------------- fence and keeping the garbage picked up. He stated Mr. Wells shouldn't be given any more chances and he wants the Conditional Use Permit revoked. Jerry Minor, owner of used car business at 16848 Highway 10 – Stated he has nothing against Mr. Wells and hopes he has a successful business. He stated the noise has driven him crazy for over nine years and he has difficulty talking to his own customers on his car lot. He stated he has noticed the last couple of days it has been quiet when the doors are closed. He believes the noise ricochets during testing when the doors are open. He stated he has never complained in the past because he didn’t want to start any issues with his neighbor. Michael Hoverson, attorney representing HiTech Motorsports - Stated there are two witnesses, who are neighbors, who couldn't be at tonight’s hearing and he requested to continue this item to the next meeting to give them an opportunity to speak. Mr. Hoverson stated the April 29, 2015, code violation letter was never received by Mr. Wells until he (the attorney) got it last Monday; so Mr. Wells was unaware of the issues cited in this letter. He read Elk River City Code Section, 46-38, regarding code violation procedures, citing the April 29 letter was addressed to First National Bank Lease Center and Barton Wells, LLC, who are both owners of the property. He stated Mr. Wells is purchasing this property on a contract for deed. He stated the bank got notice but it was never forwarded to Mr. Wells. He stated the address on the letter and in the Sherburne County property tax records has an incorrect address for Mr. Wells. Mr. Hoverson stated the March 26, 2015 and April 22, 2015 letters were properly addressed to Mr. Wells and he did receive them. Mr. Hoverson stated once he notified Mr. Wells of the April 29 code violation letter, Mr. Wells did clean up his property. Mr. Hoverson distributed a diagram of the premises and some pictures to address the four non-compliance issues on page three of the staff report. Mr. Hoverson stated Mr. Wells has conducted business at this location for over nine years and there have been a total of four noise complaints. He referenced the Sherburne County Sheriff's Report in the staff report noting the sheriff had no findings regarding noise levels. Mayor Dietz questioned if the testing by the sheriff was done when the door was closed. Mr. Hoverson stated yes, but there is confusion about these doors that will be explained later. He further noted there were no findings in the Elk River Police Report, when tested. City Council Minutes Page 6 June 15, 2015 ----------------------------- Bart Wells, 4000 Stratford Ridge, Excelsior, MN and owner of HiTech Motorsports – Reviewed pictures and a diagram that show where each numbered picture was taken. It was noted the residential homes are located along Picture #4 through #6 in the diagram. Picture #1 Door and entry into the shop Picture #2 Alley toward back of shop. This is called the bolt-on section. Picture #3 Overhead door for the bolt-on section which has a 12-foot awning with sound deadeners. Mr. Wells stated there are five hoists inside this door. (green area of diagram). It has 20 foot ceilings and FRP quarter-inch fiberglass on the walls, including sound deadener all the way around. He stated vehicles are worked on here, then started and moved around to the dyno cell. He stated the confusion is when they start the cars in this section and take them around the other side of the building to the dyno cell (near pictures 5 & 6). Mr. Hoverson stated the vehicles are not run or tested in the bolt-on area. Picture #4 Corner of the building. Picture #5 Dyno cell area. Picture #6 Corner of the building where the tires were stored and have since been cleaned up. Picture #7 Back lot. Mr. Wells stated there were questions about a couple of trailers parked in this location. He stated the trailers belong to out-of-state customers who asked if they could be stored there while their cars were being worked on. Mr. Wells stated he allowed them not realizing it was a violation of his conditional use permit. He stated he won’t allow it to happen again. Picture #8 The back area going toward the dyno cells. City Council Minutes Page 7 June 15, 2015 ----------------------------- Picture #9 One of the air intakes with sound deadener pointing toward the highway at a 60- degree angle so that any noise coming out of the dyno’s are reflected off the roof and toward the highway. Picture #10 Back of two dyno cells. Mr. Wells stated the overhead door is the chassis dyno, which is where they work on cars with the engines in the car. He stated the door has to be closed in order for the cell to work because it has two – 20,000 cfm fans, one on each side, along with a 4x4 duct in the ceiling. He explained how the air is drawn out by the fans. Picture #11 Same picture as #10 but close up. Mr. Wells explained how the fans are designed for not allowing the sound to bounce out. Picture #12 Engine dyno. He stated this is the one that he got the first phone call, from an anonymous source, about noise. He stated this is an enclosed cell with no door. He stated after the first two complaints about noise back in 2007 he added the two mufflers and changed the way the dyno cells go on the inside. He stated they work like a tom-tom drum. They’re hollow and would inject the noise straight up in the air. He stated it has an air extractor and sound deadener on it and pushes the sound down. Picture #13 Two 4x4 air intakes facing highway and with sound deadeners. Mr. Wells stated this section of the building is only 14-feet tall while the back section toward the houses is 24-feet tall. Picture #14 Chassis dyno with 650 horsepower supercharged Dodge Charger. Shown is one of the 22,000 cfm fans, a booster fan on top, and a 4x4 air duct on the roof above. Mr. Wells stated this door can’t be open because you don’t get the air passing through it. He stated if the door is open, you get stagnated air with exhaust, and it doesn’t work. He stated it is a 2” insulated door with seal. He stated the walls in both dyno cells are 6” with FRP quarter inch on the inside, sound deadener, fiberglass material and schraps protection inside a chain mail, and then they are sealed with a required fire rock. City Council Minutes Page 8 June 15, 2015 ----------------------------- Picture #15 Engine dyno with two exhaust hoses. He stated he doesn’t use this anymore because he found it was quieter to have the exhaust go inside the room with the 8” of sound deadening and allow it to go through the 40,000 cfm fan to deaden the sound. Mr. Wells noted, on the diagram with arrows, the direction of how sound travels on the site. He stated his neighbor, Steve Kedrowski, would come in to testify and he is the closest adjoining neighbor to the dyno. He further stated Mr. Kedrowski is a good friend. Mr. Wells stated he is not trying to be a bad neighbor but he needs to be able to move his cars around. He explained the confusion about open doors, noting the dyno door can’t be open to operate, while the other door could be open. He stated he is willing to do some sound testing when running equipment to make sure they pass noise levels. Mr. Hoverson reviewed the four non-compliance issues as follows:  whether the overnight outside storage of vehicles has occurred Overnight storage has been cleaned up and Mr. Wells stated it won’t happen again.  whether the repair or maintenance of vehicles outside of the building has occurred Mr. Wells stated no work has or will be done outside the building.  whether the level of noise from the building exceeded city ordinance levels Mr. Wells stated their pulls run 4-6 seconds a piece about 2-3 times an hour. He stated he would like staff/Council to come out and review it.  Whether the doors of the facility have been kept open while operating, tuning, and testing vehicles. Mr. Wells, questioned by Mr. Hoverson, stated the dyno door is never open when a vehicle is being tested. Mr. Wells stated it can’t be open due to its design. Mr. Hoverson stated they are trying to determine what the issue is with the noise. He stated the best they can determine is noise is coming from the bolt-on section, possibly when the vehicles are being moved. He stated they are open to suggestions on improving this, but they don’t believe this is the noise issue. Mr. Hoverson addressed the May 29, 2015, timeline on page two of the staff report regarding late night hours of working. Mr. Wells stated his technician had a customer emergency so he brought the car to work on it. He stated it won't happen again. Dawn Anderson, 16783 Yale Street – Stated it isn't one resident who has an issue, and she hasn’t complained in the past, because she didn't think anything could be City Council Minutes Page 9 June 15, 2015 ----------------------------- done about it. She stated she lives further away from the HiTech business and she can't be outside in her yard because it is loud and noisy. She stated many times she has to shut her windows and turn her air on to avoid the noise. She stated the noise lasts longer than six seconds. Mr. Jorgenson stated if the owner was on site more he might be able to control the noise, chemicals, and garbage issues and maybe it’s his employees who are creating the problem during the evening hours. He stated there are a lot of rubber marks on the street. Mr. Mickelson disclosed that Mr. Jorgenson is his father-in-law. Mr. Jorgenson stated Steve Kedrowski, the witness for Mr. Wells, also works for Mr. Wells. Attorney Beck outlined options for Council consideration: 1.Direct staff to prepare findings of fact if the permit is to be revoked. 2.Continue item to next meeting so the other witnesses have a chance to testify. 3.Continue the item for a period of time to monitor the issues if Council thinks progress has been made. Attorney Beck stated Council may want to have someone check soil conditions to see if it is hazardous before making a decision. Mayor Dietz expressed concerns with previous noise testing completed withclosed doors. He stated he doesn’t believe the neighbors would be complaining about the noise if the doors were closed all the time. He gave Mr. Wells a lot of credit for cleaning up his property. He stated he is willing to continue this item to allow time to remedy the noise issues. Councilmember Olsen stated the soil should be tested. Councilmember Westgaard questioned if the public hearing notice was sent to the same address as the revocation letter Mr. Carlton stated be believes it was sent to the Stratford Ridge address and questioned the property owner. He stated the code compliance letter was generated based on the address in the Sherburne County system, while the address for the Stratford Ridge was incorrect in the county system so the letter was sent to an incorrect address. Mr. Wells commented he received the letter at HiYech Motorsports and not at his home. Mr. Hoverson stated there is no issue with the hearing notice for the conditional use permit. City Council Minutes Page 10 June 15, 2015 ----------------------------- Councilmember Westgaard stated he is fine with continuing this item if the Council wants to look into obtaining more information. He stated there does seem to be a noise issue when the doors are open and he wasn’t sure how this could be monitored. He expressed concerns with continuing this item for a long-term period because once the monitoring time is over; the issues could come back again. Councilmember Wagner expressed concern with open doors and noise issues. She questioned the type and disposal of chemicals from Mr. Wells’ property. She stated she is in favor of second chances and letting someone do their business but feels there is an issue and would like to continue this item to July 6. George Anderson,16783 Yale Street – asked that Picture #14 be shown and stated the large fans in the dyno room may be causing the noise issue. He stated he is located 300 feet from the back fence of Mr. Wells’ property and asked for noise testing before the continued hearing date. He stated two of Mr. Well’s employees came over to him questioning if a noise they had just made was the noise he had issues with. Mr. Anderson told them yes. Mr. Hoverson questioned the qualifications of the person who would be performing the noise testing. Mr. Carlton and the applicant stated they would work together on the noise testing. Council concurred on the following items:  Continue the public hearing to July 6.  Staff to perform soil testing.  Staff to determine a way to test the noise levels. There was discussion on whether city staff or a consultant could perform the testing. It was noted there would be costs associated with a consultant and questioned as to who would be responsible for paying the costs. Attorney Beck stated Mr. Wells could agree to work with the city regarding payment for a noise expert. Councilmember Westgaard stated it would be nice to have the noise testing completed prior to the next meeting and suggested Council could authorize up to $1,000 out of the Council Contingency budget if it can’t be done in-house. Attorney Beck suggested that if the property owner is convinced he is in compliance with noise levels, and wanted an independent third party consultant; he could step- up and pay for the consultant. Attorney Beck stated it may be best to review a quote for a consultant at the next Council meeting, then decide if testing is necessary and give staff time to talk with the property owner to see if there is an agreement about paying the costs. City Council Minutes Page 11 June 15, 2015 ----------------------------- Mr. Carlton stated the city does have in-house equipment and personnel knowledgeable enough to perform the testing. Moved by Councilmember Westgaard and seconded by Councilmember Burandt to continue this item to July 6, 2015. Motion carried 5-0. 7.4 Rezone Certain Property Owned by Sherburne County from R-1c to Business Park Mr. Carlton presented the staff report. Mayor Dietz opened the public hearing. No one spoke. Moved by Councilmember Wagner and seconded by Councilmember Burandt to continue the public hearing to July 20, 2015. Motion carried 5-0. 8.1 Resolution: Land Swap: School District and Arena Property Mr. Portner presented the staff report. Mayor Dietz outlined the school districts plans. Moved by Councilmember Westgaard and seconded by Councilmember Olsen to adopt resolution 15-32 finding that the exchange of real property is consistent with the City of Elk River Comprehensive Plan. Motion carried 5-0. Attorney Beck clarified that the motion also included authorization for the mayor and city clerk to execute the documents to implement the land swap. The Council concurred this was part of the motion. 8.2 Ordinance Amendment: Section 58-37 Regarding Garbage/Recycling Containers Mr. Leeseberg presented the staff report. Mayor Dietz requested publicizing this change to the community. Councilmember Westgaard questioned the need for a 4-foot distance between containers because there are a lot of single lane driveways in the city. He further stated some people may have up to three containers, which can take up a whole driveway. City Council Minutes Page 12 June 15, 2015 ----------------------------- Ms. Mroz stated the haulers requested at least 3-feet between bins or other objects so their equipment can grab the containers. Councilmember Olsen questioned if there can be more than 3-feet between objects and suggested changing the ordinance language to include a minimum distance. Moved by Councilmember Olsen and seconded by Councilmember Burandt to adopt ordinance 15-16 entitled, “Containers” of the City of Elk River, Minnesota, City Code with a language change requiring a minimum of 3 feet between containers. Motion carried 5-0. 8.3 Door-side Service Ordinance Amendment and Operating Order for Garbage/Recycling Ms. Mroz presented the staff report. She stated Randy's currently charges for this service in other communities. She noted they are not charging in Elk River now, but may in the future. Moved by Councilmember Wagner and seconded by Councilmember Burandt to adopt ordinance 15-17 amending Section 58-31, “Definitions” and 58-37, “Containers” of the City of Elk River, Minnesota, City Code, to incorporate the Sherburne County Subsurface Sewage Treatment System Program. Motion carried 5-0. Moved by Councilmember Westgaard and seconded by Councilmember Olsen to approve the Door-side Service Operating Order. Motion carried 5-0. Council recessed at 8:11 p.m. to go into work session. Council reconvened at 8:17 p.m. 9.1 Discussion on Park Dedication Analysis Mr. Hecker introduced Rita Trapp, with HKGi. Ms. Trapp provided a broad review of park dedication in the subdivision process. She stated one challenge is that development of lots and structures is usually handled by the private sector, and the public areas, such as trails and walkways are handled by the public sector, so there could be conflict between them. Ms. Trapp outlined the reasons why a city can require park dedication and noted the one difference between parks and streets is that state statute puts more limitations on park dedication. She reviewed the park dedication limitations. Ms. Trapp reviewed the nexus for park dedication and the proof for demonstrating the need to collect this type of fee. She stated the costs for improvements in the Parks and Recreation Comprehensive Plan are estimated at $58 million for over the City Council Minutes Page 13 June 15, 2015 ----------------------------- next 20 years. Ms. Trapp reviewed park land acquisition, park improvement, and trail construction cost estimates. She outlined percentages and costs that would be attributable to new growth and noted that $32,800,000 could be collected via park dedication; but that due to park dedication state law requirements and other factors, such as the city’s projected growth and development areas not in the urban service district, the actual cost collection of this fee may be lower. She noted other funding sources will need to be created, such as a referendum or franchise fee. Ms. Trapp reviewed the city’s existing park dedication approach compared to state law requirements and the challenges of determining a park dedication fee. Ms. Trapp reviewed the recommended next steps for the city. Mr. Hecker stated more work needs to be completed but the question is on the direction the Council would like to take. He expressed concerns with the liability of the current park dedication process and thought more analysis should be completed. Ms. Trapp stated the city should do the recommended next Steps 1 and 2 and can wait to make a decision on Step 3 as noted in the staff report. Councilmember Westgaard stated the city should improve its defense ability. Councilmember Burandt concurred. Mr. Simon suggested getting a proposal for the scope of work and come back to Council with a recommendation. Council concurred. 9.2 Policy for Ensuring Security of Not Public Data Ms. Allard presented the staff report. It was noted this would come back to the Consent agenda for approval. 9.3 Olympic Ice Arena Update Mr. Czech presented the staff report. He noted a previous Council decided to purchase a used system. He discussed leaks and repair history of the current refrigeration system. He noted the current repairs are an expensive band aid and they are unsure how long it will hold up. HE stated they could be back in this same situation within a year or two. He also discussed the R-22 phase-out. Councilmember Westgaard questioned if there is any lost revenue because of this repair. Mr. Czech stated approximately $3,500 to $4,000 from dry floor events in the Barn. City Council Minutes Page 14 June 15, 2015 ----------------------------- Mayor Dietz questioned why the city purchased a used system versus new. Mr. Czech noted it was to save on costs. There was discussion on costs and various options the Council could consider. Mr. Czech stated the Council could get the system replaced cheaply at approximately $2 million, but it would come back to haunt them sooner like the current situation. Councilmember Westgaard stated Council and staff had been discussing a facilities plan for the last seven years. Mr. Portner stated the R22 phase-out has been an issue across the country with rinks. Mayor Dietz asked if the recreational bond referendum would happen by the end of the year. Mr. Portner stated the current hold up is the City of Rogers because they are considering a regional sales tax and are not sure they want to come into the whole district-wide bond referendum. He stated the school district is crunching numbers to see if a district-wide sales tax would be feasible. Mayor Dietz stated $20 million would go to each city (bond referendum). He stated it should be an advantage to us with a district wide referendum. He discussed the amenities the school district would like to see. He stated the school would own the ice arena but the city would operate it. Mayor Dietz questioned the condition of the ice arena building and further stated the city needs to still move forward with facility planning. Mr. Czech stated a study was conducted in 2012, which outlined issues. He stated the city could attach an addition to the barn and it would work. Mayor Dietz stated there were talks at one time of the school building a field house next to the arena. He questioned if the city would have an opportunity to do this. Mr. Portner stated the city may want to start all over because the current structure is tired and there will always be issues, such as leaks. He further noted the activity center facility issues and felt it would be more economical to build a new comprehensive structure at one time that will be good for 30-40 years. Mr. Portner stated many corners were cut when building the arena and it is not in as good a shape as other arena’s built in the same time frame. Mayor Dietz stated the Council didn't get the best consulting advice when the arena was being built. He stated it was also sold to the city that it would be a profitable business. Attorney Beck stated the city knew at the time it would be a stretch to make a profit. City Council Minutes Page 15 June 15, 2015 ----------------------------- 9.4 Conduit Financing Mr. Simon presented the staff report. 10. Adjournment There being no further business, Mayor Dietz adjourned the meeting of the Elk River City Council at 9:50 p.m. John J. Dietz, Mayor Tina Allard, City Clerk Meeting of the Elk River City Council Held at the Elk River City Hall Monday, July 6, 2015 Members Present: Mayor Dietz, Councilmembers Olsen, Burandt, Westgaard, and Wagner Members Absent: None Staff Present: City Administrator Calvin Portner, Parks and Recreation Director Michael Hecker, Finance Director Tim Simon, Planning Manager Zack Carlton, City Attorney Peter Beck, Environmental Technician Kristin Mroz, Communications Coordinator RaeAnn Gardner, and Senior Administrative Assistant/Recording Secretary Jennifer Johnson 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 6:30 p.m. by Mayor Dietz. 2. Pledge of Allegiance The Pledge of Allegiance was recited. 3. Consider 07/06/2015 Agenda Mr. Portner requested Item 6.1 be removed from the agenda. Moved by Councilmember Westgaard and seconded by Councilmember Olsen to approve the July 6, 2015, agenda with the removal of Item 6.1. Motion carried 5-0. 4. Consider Consent Agenda Moved by Councilmember Westgaard and seconded by Councilmember Olsen to approve the following consent agenda: 4.1 Check Register, check numbers 9807-9809 and 92597-92787 as outlined in the staff report. 4.2 Transient Merchant License for Sugar Shack LLC effective July through October (not to exceed 30 days) subject to the following conditions: 1.One 24-square foot sign shall be allowed. A temporary sign permit must be obtained prior to display of the sign. Contact the Planning Department at 763.635.1000. 2.The merchandise displayed shall not occupy more than 100 square feet \[Section 38-414(6)\]. 3.Applicant must remain on the asphalt surface and no product shall City Council Minutes Page 2 July 6, 2015 ----------------------------- be displayed in the grassy areas. 4.No electrical services shall be across any drive or walking surface. 5.If traffic becomes a problem around the temporary site, the sales area shall be delineated with a barrier to restrict traffic. 6.The area shall be maintained free of debris and kept in an orderly condition. 7.Only one trailer shall be utilized. 8.The trailer shall not be left on site overnight. 4.3 Special Event Permit and Temporary On-Sale Liquor License to the Eagles Club for Friday, July 24, and Saturday, July 25, 2015, subject to the following conditions: 1. Alcohol must be limited to an area that is fenced in with secured and controlled access and be compact and contiguous to the establishment. Age verification is required and wrist band control is recommended. 2.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 the property owners to notify. The event planner must submit an affidavit that the notice was distributed. 3.Permission to use private property for parking must be obtained prior to event. 4.All applicable noise ordinances must be followed. 5.If tents are to be used they must be inspected by the fire marshal prior to the event. Applicant must contact the fire marshal at 763.635.1110 to schedule an inspection. 4.4A. Special Event Permit for the Sherburne County Agricultural Society for the Sherburne County Fair and Parade, July 16-19, 2015, subject to the following conditions: 1. Applicant shall provide garbage cleanup immediately following the parade. 2. Signs shall be installed at the following locations no later than July 11, 2015: a. Main Street and Morton Avenue (alerting westbound traffic) b. West of Orono Road at Main Street and Joplin Street (alerting eastbound traffic) c. On Joplin Street at Orono Parkway (alerting southbound traffic) d. Proctor Avenue and Main Street (alerting southbound traffic) The signs shall state: Main Street Closed July 18 10 a.m. – Noon Parade 3. Applicant shall provide portable toilets and inform all parade staff of the location of the toilets during parade staging. 4. Alcohol must be limited to the beer garden and grandstand area. Wrist band control is required for patrons age 21 and over. City Council Minutes Page 3 July 6, 2015 ----------------------------- 5. Applicant shall ensure all applicable fire codes have been met and all tents must be inspected by the fire marshal prior to opening. Applicant is responsible for contacting the fire marshal at 763.635.1110 or 763.238.3489 to arrange for an inspection. 6. Applicant is responsible for ensuring the grandstand bleachers are inspected properly and for ensuring maximum capacity is not exceeded. 7. It is understood fair security will be handled by Sherburne County Sheriff’s Office. 8. Applicant shall provide the Elk River Fire Department, Division of Emergency Management, with a copy of the Emergency Operations Plan to include, but not limited to, appropriated annexes for severe weather. 9. Access to the public safety facility, including the rear entrance area, shall not be obstructed. 10. Candy may be handed out at the parade but is not permitted to be thrown from moving objects. 4.4B. Temporary On-Sale Liquor License to the Elk River Lions Club for the Sherburne County Fair, July 16, 2015, though July 19, 2015, subject to the following condition:  Alcohol must be limited to the beer garden and grandstand areas. Wrist band control is required for patrons age 21 and over. 4.5 Policy for Ensuring Security of Not Public Data as outlined in the staff report. 4.6 Private Kennel License to Shana Hein, 18681 Cleveland Street, to keep seven dogs, valid until December 31, 2015. 4.7 Appoint Zachary Carlton to Planning Manager to begin at Step A of Pay Grade 12, and Chris Leeseberg to Senior Planner to remain at Step E of Pay Grade 9, both effective July 7, 2015. 4.8 Appoint Steve Taylor as Interim Lead Mechanic effective May 17, 2015. 4.9 Joint Powers Agreement with City of Ramsey for Jarvis Street Reconstruction as outlined in the staff report. 4.10 Park Dedication Fees Proposal from Hoisington Koegler Group, Inc., as outlined in the staff report. 4.11 Houlton Property Farm Lease Agreement with Sherman Lehn as outlined in the staff report. 4.12 Safety Consultation Agreement with Premier Safety Training and Consulting as outlined in the staff report. 4.13 Blue Bag Organics Program Ordinance Amendment 15-18 and Hauler Agreement Amendments as outlined in the staff report. 4.14 2015 Mineral Excavation License as outlined in the staff report for the following miners and their mines:  Aggregate Industries - Aggregate  C.S. McCrossan Construction, Inc. – C.S. McCrossan  Knife River Corporation – Knife River  Midwest Asphalt Corporation - Midwest  Plaisted Companies, Inc. – Plaisted West, Plaisted East City Council Minutes Page 4 July 6, 2015 -----------------------------  Tiller Corporation - Tiller South, Tiller North 4.15 Authorization to Execute Grant Agreement with Minnesota Public Facility Authority as outlined in the staff report. Motion carried 5-0. 5. Open Forum No one appeared for Open Forum. 6.1 Minnesota Wastewater Treatment Facility Operational Award This item was removed from this agenda and will be heard at the July 20, 2015, council meeting. 7.1 HiTech Motorsports Inc. – 16820 Highway 10 Public Hearing to Revoke Conditional Use Permit, CU 06-12 Mr. Carlton presented the staff report. Mayor Dietz asked if any decibel readings were taken with the door open. Mr. Carlton stated when he was acquiring a baseline decibel level he did not test with the door open as the applicant stated the dyno cannot operate with the door open. Mayor Dietz reopened the public hearing. Conner Mickelson, 16831 Yale Street, stated the noise coming from HiTech has been significantly reduced since the last hearing due to doors of the business not being open and changes made to buffering sound but he wasn’t confident things would continue to stay quiet in this manner. He stated a video he sent to staff portrayed sounds being performed after normal business hours and asked for clarification of allowed operating hours. Mr. Carlton stated the permit allows for operating hours on Monday through Friday, 8:00 a.m. to 6:00 p.m. and Saturday 10:00 a.m. to 4:00 p.m. Michael Hoverson, attorney for the applicant, and Bart Wells, the applicant, spoke. Mr. Hoverson addressed comments made at the June 15, 2015, public hearing, regarding skid marks made on pavement located near the business. Mr. Wells stated he submitted photos and video to city staff showing the marks were created from attendees at the Frankensteiners Car Show held at Broadway Bar and Pizza on May 31, 2015, and stated he had no part in that event. Mr. Hoverson and Mr. Wells outlined the changes made after the June 19 testing and before the July 1 testing to the dyno garage port at his business, referencing the numbered aerial map in the staff report. City Council Minutes Page 5 July 6, 2015 ----------------------------- Mr. Wells stated he purchased 2” sound foam from ASI in Chaska and installed it 10’ high on all four walls of in the dyno garage port cell in the overhead 4x4 cold air intake ceiling duct. He stated this helped with the reverb going towards the highway and felt the testing reported by Mr. Carlton indicated as such. Mr. Wells stated he then made two – 30”x30” sound traps with the sound foam, placing the foam 3½” in front of both exhaust fans, to assist in absorbing and diverting the noise traveling out of the exhaust fan. He stated each trap extends 40” upwards, curving like a question mark. He also felt this lowered the decibel levels. Mr. Wells indicated he may also be losing sound through the 2” solid core door to the cell and may install some 2” foam on the door. He stated the cost for the foam was $3,000 to do the first cell and stated the other cell does not have a door but has a fan and 4x4 ducts in which he will apply the same sound foam board to that cell. Attorney Hoverson stated the business’s doors to the dyno cell are never up during dyno testing, and Mr. Wells explained how it is necessary the doors be closed to allow the exhaust to flow out of the building. Mr. Halvorson indicated there is a misconception that the doors have remained open during testing and offered an explanation that perhaps its door 7 that is open. He stated on an average day, there are only 3-4 cars driven around areas on the property with the motors running for approximately 30-45 seconds. Mr. Wells stated he used a 1968 Olds 442 during testing with Mr. Carlton, a vehicle he considered to be the loudest car available to him, and during testing discovered the noise levels of vehicles being backed in and out and how to direct the sound towards the highway. Mr. Hoverson stated the issue the business continues to have, as he understood it, was noise level created by vehicles as they travel around the buildings on the property. He stated they wished to explore measures to reduce the 83-decibel level at area 7 on the map. He discussed measures to reduce the 83-decibel level in the following manner and requested a continuance of the public hearing to August 3, 2015, to determine the feasibility costs of the following measures:  Install a sound barrier fence around the property; unsure of cost and if it was even possible.  Install a garage door in the side of building at area #7 so cars would never have to be outside and running and sound never being directed towards the Mickelson property, area #5. Mr. Wells indicated he is unsure if a door can be installed as this is the drain field for the septic system of the building. It would require pouring 10x25 of concrete or asphalt and he isn’t sure if this is allowed due to greenspace requirements.  Install a gate on either side of the property to limit after-hours access to the property. City Council Minutes Page 6 July 6, 2015 ----------------------------- Mr. Wells indicated he could also use a tug to pull the cars around the building so they wouldn’t create any additional sound and direct sound towards the highway and away from residential properties when cars are required to be operated. He indicated he is trying his best to limit the noise created on his property. Mr. Hoverson requested Steve Kedrowski, a witness who couldn’t testify at the last public hearing, speak and indicated his property was near area #2 on the map. Steve Kedrowski, 16811 Yale Street, indicated he has seen an open garage door at the business in the past, which at that time created a considerable amount of noise and affected his family, especially his autistic child. He stated he has not seen open doors recently and appreciates the noise reduction lately, but has concerns with the business complying with these conditions in the future. He indicated he would contact Mr. Wells when he felt concerned with noise levels. There being no one further to speak, Mayor Dietz closed the public hearing. Mr. Hoverson requested Mr. Carlton revisit the property to retest noise levels using the exact same car, if possible, and backing it up to determine if lower decibel levels are registered. He indicated the applicant will do feasibility and cost analysis to see if a fence and garage door can be installed, as well as consult with industry experts to determine if other measures can be taken. He indicated if none of these measures are feasible, the applicant will tug the cars around the property as Mr. Wells would like to remain compliant. Mayor Dietz stated he felt Mr. Wells be given credit for his efforts in mitigating the business’s noise and good faith efforts to be a good neighbor by addressing the neighborhood concerns. Mayor Dietz stated he also understands the concerns of the neighbors. He stated he is willing to allow for a continuance of the public hearing until August 3, 2015, allowing the applicant additional time to research and implement noise mitigation efforts. Councilmembers Westgaard, Olsen, Burandt, and Wagner also agreed to allow for a continuance of the public hearing. Counselor Beck stated he will not be available at the August 3, 2015, council meeting, should the council want him at that hearing. He recommended reopening the public hearing and continuing it to August 3, 2015. Mayor Dietz reopened the public hearing and asked that it be continued. Moved by Councilmember Wagner and seconded by Councilmember Burandt to reopen and continue the public hearing for HiTech Motorsports Inc., to August 3, 2015, to allow the applicant additional time to research and implement additional noise mitigation efforts to comply with the conditional use permit. City Council Minutes Page 7 July 6, 2015 ----------------------------- Motion carried 5-0. 8.1 2016 Benefit Level for Elk River Fire Relief Association Mr. Simon presented the staff report. He introduced Scott Schmitt, President, and Dave King, Vice President, both of the Elk River Fire Department Relief Association, and Dave Rudy from The Parr McKnight Wealth Management Group of Wells Fargo. Mayor Dietz stated he felt the relief board made conservative benefit increases, which allowed for smaller, steadier increases to protect the firefighter’s monies. Moved by Mayor Dietz and seconded by Councilmember Westgaard to approve an increase for the Elk River Fire Relief Association (ERFRA) benefit to $5,510 per year of service effective January 1, 2016. Motion carried 5-0. 8.2 Rivers Edge Park Expansion Proposal Mr. Hecker presented the staff report. Mayor Dietz asked why TDKA was not a qualified bidder. Mr. Hecker indicated that the TDKA project team did not staff a landscape architect. Mayor Dietz asked if winter bidding can still be done to ensure project completion before the 2016 concert series. His concern was the public is being told the park is not available for use during the fall and if work will not be done this fall, can the park remain open. Mr. Hecker stated that completion of the project by the 2016 concert series was a condition of the RFP. He indicated that council was being asked to approve the hiring of Hoisington Koegler Group, Inc., (HKGi) to complete the design and construction management with approval of the actual construction to come before the council after bids were received. He stated it was difficult to determine, at this point, if any work would begin in the fall without knowing financially where bids would come in. Councilmember Westgaard agreed with Mayor Dietz and felt uncomfortable approving moving forward with this project when cost and funding details are unknown. Mr. Hecker indicated he would receive cost estimates sometime in August. City Council Minutes Page 8 July 6, 2015 ----------------------------- Counselor Beck asked if the bids could be defined to indicate a fall start or spring start, allowing the council to immediately determine if there’s any savings to waiting to start the project until spring. Mr. Portner clarified that the city would receive a range of cost estimates from HKGi so council can determine if they wish to proceed. At that time, bids would be requested and final figures determined. Mayor Dietz requested Mr. Hecker determine with HKGi if work will be completed in September or October and if not, could we allow the park to be opened to the public. Councilmember Wagner agreed with Mayor Dietz and stated it would be disappointing to the public and groups like downtown business owners if the park sat empty and construction did not begin this fall. Mr. Hecker stated HKGi told him closing the park could be determined in early August. Councilmember Olsen asked if it would be best to commit to a spring start and allow the park to remain open in the fall. Mayor Dietz indicated he would like HKGi to notify the city if the project can be completed by the end of fall and if not, keep the park open this fall and begin construction until spring. He would like the city notified by August 1. Councilmember Wagner asked if the plaza level would be affected by construction. Mr. Hecker stated the plaza level wouldn’t be affected but it would be difficult for him to say if anything else will be affected. Moved by Councilmember Olsen and seconded by Councilmember Westgaard to adopt the Agreement for Professional Services to hire Hoisington Koegler Group, Inc. (HKGi) to complete the design and construction management of Rivers Edge Commons Park Phase One. Motion carried 5-0. 8.3 Naming of Houlton Property Mr. Hecker presented the staff report. Dave Anderson and Stewart Wilson were present as members of the naming committee. Mayor Dietz commented that after reading the history and impact Mr. Houlton made on Elk River, it seemed very appropriate to include his namesake in the property title. City Council Minutes Page 9 July 6, 2015 ----------------------------- Moved by Councilmember Wagner and seconded by Councilmember Burandt to approve the official naming of the Houlton Farm property to the William H. Houlton Conservation Area. Motion carried 5-0. 8.4 Discuss Work Session Items Mr. Portner presented the staff report. No new topics were added to the work session agendas. Mr. Portner indicated he would be scheduling a special joint meeting with the council and both Planning and Parks and Recreation commissions for a date in August. This would be a planning purpose workshop to provide education and review of the various city comprehensive plans and studies. 9. Council Liaison Updates Council members presented their council liaison updates. Mayor Dietz requested staff provide an update to the council on recent information regarding the estimate to repair the water tower repair. Councilmember Wagner reported receiving positive comments about Elk River ballparks. Mayor Dietz requested staff write a letter to the fireworks vendor regarding the July 4, 2015, outstanding fireworks display. Council recessed at 7:48 p.m. to go into work session. Council reconvened at 7:51 p.m. 10.1 Gateway Signage Update Ms. Gardner presented the staff report. She indicated the entire wayfinding plan will be unveiled to council in approximately 6 weeks. She asked the council for direction on proceeding with the style of the city’s gateway signs and whether to request bids for construction of such signs. Mayor Dietz and Councilmember Westgaard indicated they liked the river rock on all three tiers of the sign. Councilmember Wagner was fine with one tier of rock as she appreciates the artwork depicting the elk antler, but stated she didn’t feel so strongly about it that she would argue or fight for it. She was concerned with the discrepancy in the project figures City Council Minutes Page 10 July 6, 2015 ----------------------------- presented based upon the drastic differences in prices and supported receiving bids to determine actual project costs. Councilmembers Burandt and Olsen stated they also like the three tiers of river rock but also requested bids. It was the consensus of the council to go out for bids for construction of gateway signage with three tiers of river rock with an option to bid one tier of river rock. 10.2 Review of East Elk River Traffic Concerns Mr. Portner presented the staff report. It was the consensus of the council to maintain the current traffic path at Main Street and Line Avenue and seek operation enhancements at this intersection through installation of adaptive signal controls. Council requested the city engineer complete a traffic study to determine if the 4-way stop at the intersection of Main and Trott Brook Parkway warrants a traffic light and review eligible improvements to the CSAH 13 area. 10.3 Parks Maintenance Supervisor/Superintendent Position Mr. Portner presented the staff report and outlined the updated position description as outlined in the staff report. It was the consensus of the council to support the changes to the parks maintenance supervisor position as outlined. 10.4 2016 Budget Mr. Simon presented the staff report and outlined the 2016 budget schedule. Councilmember Westgaard asked if it was necessary to review this budget since its detailed review last year. Mr. Simon indicated there were a handful of changes needing review and staff was scheduled to appear before the council to discuss department and division goals and plans. It was the consensus of the council to proceed as outlined in the staff report. 11. Adjournment There being no further business, Mayor Dietz adjourned the meeting of the Elk River City Council at 8:55 p.m. City Council Minutes Page 11 July 6, 2015 ----------------------------- Minutes prepared by Jennifer Johnson. John J. Dietz, Mayor Tina Allard, City Clerk