Loading...
04-04-2016 CCMMeeting of the Elk River City Council Held at the Elk River City Hall Monday, April 4, 2016 Members Present: Mayor Dietz, Councilmembers Olsen, Burandt, Westgaard, and Wagner Members Absent: None Staff Present: City Administrator Calvin Portner, Finance Director Tim Simon, Planner Manager Zack Carlton, Parks and Recreation Director Michael Hecker, Engineer Justin Fernrite, City Attorney Peter Beck, and Senior Administrative Assistant/Recording Secretary Jennifer Johnson 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 6:32 p.m. by Mayor Dietz. 2. Pledge of Allegiance The Pledge of Allegiance was recited. Consider 04/04/2016 Agenda Mayor Dietz added items 8.6 Pinewood Stipulation of Settlement and 6.1 Volunteer Recognition Day to the agenda. Moved by Councibnember Westgaard and seconded by Councihnember Wagner to approve the April 4, 2016, agenda, with the addition of items 8.6 Pinewood Stipulation of Settlement and 6.1 Volunteer Recognition Day. Motion carried 5-0. 4. Consider Consent Agenda Moved by Councibnember Wagner and seconded by Councihnember Olsen to approve the following consent agenda: 4.1 Minutes ■ Match 21, 2016, Closed ■ March 21, 2016, Regular ■ Match 30, 2016, Closed 4.2 Check register, check numbers 9845-9846 and 96372-96510 as outlined in the staff report. City Council Minutes April 4, 2016 Page 2 4.3.A. Special Event Permit for Zylstra Harley-Davidson for events scheduled throughout 2016 as outlined in the staff report 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 will take place prior to each outside event when there is a tent. Applicant must contact the fire marshal at 763.635.1110 during business hours for an inspection after the tent area has been set up. 3. The tent shall be removed within one day of the event and the site returned to its previous condition. 4. Event parking may not obstruct public roadways or render them unsafe for vehicle or pedestrian traffic. 5. If traffic becomes a problem around the temporary site, the area shall be delineated with a barrier to restrict traffic. 6. No electrical services shall be across any drive or walking surface. 7. All temporary signs shall receive a permit prior to display. 8. Alcohol sales/service must comply with all applicable local and state laws. 4.3.B. Special Event Permit for the Officer Besser Memorial Sunshine 5K scheduled for May 14, 2016, with the following conditions: 1. The event planner is required to notify all property owners abutting the race route. The city will provide a template of the notice that must be distributed. The city will also provide a list of the property owners who must be notified. Event planner must submit an affidavit that the notice was distributed. 2. Walkers/runners are to utilize sidewalks, trail systems, or road shoulders throughout the entire route. No road closures will be permitted. It is each runner's responsibility to ensure the streets/intersections are safe prior to closing. The applicant shall designate race marshals to monitor the race route and participants. Race marshals shall staff the following intersections: ■ Mississippi Road and Boston Street ■ Mississippi Road and Concord Street ■ Mississippi Road and Denver Street • Mississippi Road and Fresno Street • Gary Street crosswalk to Orono Park 3. ERPD will provide two reserve Police officers/ community service officers to assist with traffic control for the race. Applicant must contact Police Captain Darren McKernan (763.635.1202) at least three weeks in advance to arrange for police reserves. Those officers will be at Orono Road and Pt�fgfl et iATURE City Council Minutes April 4, 2016 Page 3 Mississippi Road, Joplin Street and Business Center Drive, and at the end of the race City Hall complex crosswalk. 4. The race staging area is the 1/2 circle in front of the Police Department/Fire Department (see map). Everything must be removed from the staging area by the end of the day. • Participants are to gather in the staging area. • Vendors to be in staging area on black top. • Participants are not to block the main City Hall complex entrance near Officer Besser's tree. • Participants are not to block the Police or Fire entrances. • Participants are not to park in the Library parking lot. Participants may park in the City Hall complex parking lot or on Orono Parkway. • The city will provide orange cones to block off the staging area. 5. Portable toilets will be allowed behind city hall near the trail/lake but must not block the trail and must be removed the day of the event. 6. Applicant shall be responsible for garbage clean-up immediately following the race. Applicant may bring in additional trash receptacles to the park and city hall campus but they must be removed no later than Monday morning. 7. No paint allowed anywhere on trails. Chalk or cones may be used. 4.4. Tobacco Related Products License to Elk River Vape Shop Inc.,13493 Business Center Drive, valid through December 31, 2016, with the following condition: ■ No smoking shall be allowed in the Elk River Vape Shop unless city staff verifies the ventilation requirements outlined in the city code have been met. 4.5. Approve Additional Professional Service Fee Requests for additional engineering services as outlined in the staff report for the following amounts: • 2015 Street Improvements - $20,233 • Eastern Area Trail and Mobility Improvements - $3,677 4.6. Cost Share Agreement between the City of Elk River and County of Sherburne for Election hardware, Software, and Related Services as outlined in the staff report. Motion carried 5-0. S. Open Forum Troy Bondy, Area Director at Timber Bay, introduced himself and the organization and distributed information regarding the Timber Bay mission, program, and camp offerings. P 0 1 F R I 1 01 NATURE City Council Minutes April 4, 2016 6.1 Volunteer Recognition Day Page 4 Mayor Dietz announced that April 5, 2016, was Mayor and County Recognition Day for National Service. He wished to publically acknowledge and thank all volunteers working in Elk River for giving their time and service, noting without them, the city would not have achieved everything they have without the work of volunteers. 7.1. Paxmar — Miske Meadows • Conditional Use Permit to Establish Planned Unit Development • Preliminary Plat for Miske Meadows Mr. Carlton presented the staff report. He requested the Council open and continue the public hearing for the Conditional Use Permit and Preliminary Plat to May 2, 2016. Mayor Dietz opened the public hearing. There was no one present to speak to this item. Moved by Councihnember Wagner and seconded by Councilmember Olsen to continue the public hearing for Paxmar's request for a Conditional Use Permit and Preliminary Plat for Miske Meadows to May 2, 2016. Motion carried 5-0. 8.1. Multipurpose Community Center Progress Update Adam Barnett with JLG Architects representing the design team working with the steering committee for a multipurpose community center feasibility study provided an update with a PowerPoint. He outlined the results from weekly steering committee meetings for potential site layouts and current building remodel options for a multipurpose community center. He indicated the next steps are developing the design of the new facility and finalize financial models for the options presented, along with generating a report of estimated operating and maintenance costs for each site including utilities and staff. Mayor Dietz asked questions regarding the site location near Hales Field and if the school district has been contacted regarding field displacement. Mr. Barnett indicated the school district has not been contacted yet as the site location is still undetermined but costs regarding replacement would be included in the overall budget cost. Mayor Dietz asked about the soil conditions at Lions Park Center. Mr. Barnett indicated they used soil data taken previously at Lions Park Center and based on that information, they recognize the costs would be higher to build there. PR6'ERERDRI NIMU E City Council Nlinutes April 4, 201 G Page 5 Mayor Dietz asked if the playground would be affected by the site being located at Lake Orono. Mr. Barnett stated the playground at Lake Orono would not be affected but the four softball fields would be affected. Mayor Dietz indicated a business came forward to propose building a banquet facility and if that becomes a reality, it may change the outcome and focus of this project. Mr. Barnett indicated the steering committed discussed this possibility, noting the proposal brought forth from this business owner would seat up to 200 people. He stated the city's project would likely accommodate up to 400 people, providing a different scope and target audience for larger events such as conventions and weddings. Councilmember Wagner stated the steering committee was not ready to make any recommendation for a site or a remodel of a current site, noting the information presented tonight was conceptual. She asked when considering a site that consideration be given to its impact on boosting economic development in Elk River. She asked to consider if the proposed location would revitalize an area or bring in more development to the community, or would a banquet facility bring others into the community and find profit off its potential. 8.2. Resolution for Findings of Fact — Interim Use Permit Request by The Briggs Companies Mr. Carlton presented the staff report. Moved by Councilmember Burandt and seconded by Councilmember Westgaard to approve Resolution #16-20 approving the request for a three year interim use permit allowing operation of an extended stay hotel on the property located at 17432 Zane Street NW with the following conditions: 1. The applicant shall cooperate with, and not object to, a city initiated rezoning of the property from C-3 Highway Commercial to R-4 Multiple Family Residential (or similar) which will bring the zoning of the property into consistency with the land use designation of the property as identified in the City of Elk River Comprehensive Plan. 2. The Applicant shall, by May 4, 2016, apply to the city for a rental license for the property and shall promptly complete all necessary repairs and other requirements for issuance of a rental license. This IUP shall expire, by its terms, if a rental license is not in place for the property on July 5, 2016. The rental license shall be maintained continually during the duration of the IUP. FBNfAft BY ATU�� City Council Minutes April 4, 2016 Page 6 3. The applicant shall, by April 4, 2017, submit a complete application for all approvals required to convert the property to a multi -family use allowed in the R-4 (or similar) zoning district. This IUP shall expire, by its terms, if such a complete application is not received by April 4, 2017. 4. The applicant shall, by April 4, 2019, complete all improvements necessary to use the property for a use allowed in the zoning district and shall have been issued a certificate of occupancy for a use allowed in the R-4 (or similar) district by April 4, 2019. 5. This Interim Use Permit is good for three years and, if it is still in effect on April 4, 2019, shall expire on that date without any further action of the city. 6. The front desk shall be staffed Monday through Friday from 9am to 4pm. 7. Outside storage is not permitted. 8. The Interim Use Permit is not a building permit and the applicant must apply for and receive approval of required building and sign permits before any construction may begin. 9. The property shall meet all current fire, building, and international property maintenance codes. 10. The property must be licensed by all appropriate state and local agencies for the duration of the Interim Use Permit. This Interim Use Permit shall also expire, without any further action by the city, if the use authorized here in ceases for more than six months. Motion carried 5-0. 8.3. Quiet Zone Project Update and Plan Approval Mr. Femtite presented the staff report. He requested direction from the council on installing supplemental safety measures (SSMs) at County State Aid Highway (CSAR) 1 or continuing with the previous option of installing wayside homs. The options presented for SSMs at this intersection included installation of a 4 -quad gate system or the widening of the roadway and construction of a raised median. Mr. Femrite indicated he had a positive meeting with the property owners who would be most affected if widening the roadway and constructing raised medians were to be selected. He requested property assessed values from the county and should receive those later in the week and would contact the other affected property owners. Mayor Dietz asked if the county wanted to make improvements this year and if so was there an urgency to get this completed. Mr. Femrite indicated the modifications of this roadway, which would include road widening work and resurfacing, were estimated to be completed by 2018. He discussed the Highway 10 bridge project taking place in 2017, which will add additional construction traffic in this area. He stated based upon the work already {A P 00�1E I I I 1 1 \ 1 ATURE City Council Minutes Page 7 April 4, 2016 taking place at some of the peripheral crossings he would approach BNSF and request a partial quiet zone status when those locations are completed. Mayor Dietz asked about the financing options to Mr. Simon, who reviewed the 10 - year and 4 -year note options. Mayor Dietz asked when he needed the council to make a decision. Mr. Femrite indicated a decision sooner than later would be best. He stated he could set into motion what needs to be requested specifically from BNSF so the appropriate agreements be drafted. He asked the council if they would like the SSMs to be considered on CSAH 1. Mayor Dietz and Councilmember Wagner asked for clarification on the 4 -quad gate system, which Mr. Fetnrite provided. Councilmember Westgaard stated the 4 -quad gate system ensures a better safety than wayside horn and an incremental step for a safer intersection and believes it would be less expensive than originally proposed. Mr. Femrite agreed, stating he is comfortable saying the cost for SSM installation at the CSAH 1 crossing would be under $1 million dollars. Councilmember Westgaard stated his preference would be to provide the same precautions on CSAH 1 as the six other city crossings, noting vehicles and pedestrians make this a heavily traveled intersection. He stated he supports adding a SSM to a city-wide quiet zone. Councilmember Burandt stated she agreed with Councilmember Westgaard. Mayor Dietz indicated he was nervous if an accident were to occur at the heavily traveled CSAH 1 intersection if there was only a wayside horn and not an additional 4 -quad gate system or a raised median installed. He stated that Federal Rail could take away the city's quiet zone designation. He noted the benefit of having the funds from the State of Minnesota pay for the 4 -quad gate system at Main Street and Jackson Street and because of those cost savings, it did not make sense to him to take a cheaper route and assume nothing else would happen in the future. He supports the supplemental safety measures on CSAH 1. Direction was given to pursue a SSM for the CSAH 1 crossing. Moved by Councilmember Westgaard and seconded by Councilmember Olsen to approve the Grade Crossing Signal Installation Agreement between the city and BNSF Railway Company for improvements at Main Street and Jackson Street as outlined in the staff report. Motion carried 5-0. p0VIRIOD01 NATURE City Council Minutes Page 8 eApril4, 2016 8.4. Rivers Edge Commons Park Expansion Bids Mr. Hecker presented the staff report and presented a PowerPoint. HKGi representative Paul Paige was available to answer questions. Councilmember Westgaard asked for clarification if the alley would remain next to Sunshine Depot. He also stated he did not think there would be any loss of parking spots. Mr. Hecker indicated the alley would remain, allowing traffic into the back lot behind Sunshine Depot. He stated the concept plans were not able to specifically determine how many parking spots would be lost, and although they are losing five, two parking spots would be added on the other side of the lot, as indicated in the parking lot study. Councilmember Westgaard explained that the engineers estimate for this project was $428,700 and with planning and design fees spent, $382,000 remains for this park expansion and asked what could be constructed for that amount. He stated he was trying to understand what pieces and parts of what was already submitted and he was trying to follow Mr. Paige stated the scope of the project changed during the construction meetings and staff determined the west staircase would be an important park expansion piece to include, which would greatly assist pedestrian movement in the park. Mr. Paige suggested asking for two sets of alternative bids; a price on the west staircase as an alternate bid, and a price for future electrical and lighting components. He indicated they received figures that are more competitive by bidding it the way they did, and stated the base bid did include the west staircase plaza. Also, Mr. Paige was concerned with the $82,000 figure received for a set of lighted handrails and found the apparent low bidder had checked with one handrail supplier; therefore, he felt they could exclude that item from the original bid and find on their own a more competitive price for handrails. Councilmember Westgaard asked why the city would purchase the stone versus including it in the contract. Mr. Paige stated in his experience there could be concerns when trying to match items like stone and because they had a good relationship with their stone supplier, they would provide the same type of stone as they provided the stone when the park was originally constructed. The supplier would refine the steps and provide a flatter surface to the tops of the stones, as they will be cut top and bottom. The new stones will be placed in the center of the park, reusing the older stones to the east and west of the park, providing a more rustic look on the ends but more refined for seating in the center of the park. Councilmember Westgaard asked Mr. Simon about the differences in fund allocations. P01EEAE1 er NATURE City Council Minutes April 4, 2016 Page 9 Mr. Simon explained the original allocation was based upon HKGi's estimates and now the amounts are based upon the bids that came in as they relate to the work. Councilmember Burandt expressed her concerns with the expansion's effect on the church parking spaces and asked questions about the parking lot and space relocation, and Mr. Paige clarified the parking changes. Councilmember Wagner and Westgaard asked for clarification on what was included in each line item and where the additional funds will be coming from. Mr. Hecker and Mr. Paige outlined the base bid amounts, Alternate 1 and Alternate 2 amounts. Mr. Simon explained the internal loan funding. Mayor Dietz stated he was in favor of approving the base bid amount plus Alternate 1 and felt Alternate 2 was less important, stating the stairway and upper plaza were important items. Councilmember Westgaard asked what the staff and commission felt was their priority and asked if the electrical work could be added in the future. Mr. Hecker indicated staff felt the priority was in favor of the base bid and Alternate 1. Mr. Paige indicated for a minor amount that you could add conduit costs to allow for future work. Councilmember Westgaard asked how long the contractor's bid amount number is valid and would that violate state statute. Counselor Beck indicated it would be problematical if the council did not act on the bids at this time but indicated by not accepting the alternative bids wouldn't preclude them from moving ahead with this or any other contractor. Councilmember Westgaard stated his preference would be to proceed with base bid and Alternate 1. He stated it would be an injustice to the project not to include the west stairway and other amenities that are provided by Alternative 1. Councilmember Wagner indicated she would like to stick to their budgeted number by possibly eliminating the upper plaza work but still include a simple green space to allow for more use during the year and not just during the concerts as well as retain parking spaces. Mr. Paige felt leaving the area a green space may cause safety concerns due to the slope but stated not including the upper plaza would take away from the original park experience, which provided a popular overlook. He indicated it could be done and would like to receive council direction on how to proceed if they did want the upper plaza work removed. He stated a large cost is the ornamental railing. P 1 .EO . ATURE City Council Minutes April 4, 2016 Page 10 Councilmember Wagner stated at one point it was discussed the electrical boxes be removed and asked is there would be a disruption to the downtown businesses. Mr. Hecker stated there would not be any disruptions to the downtown businesses and Elk River Municipal Utilities has already done some work with electrical boxes. Councilmember Wagner asked about general construction traffic. Mr. Paige does not anticipate any affect to the downtown businesses other than general construction . Moved by Councilmember Olsen and seconded by Mayor Dietz to award the contract of the Rivers Edge Commons Park Expansion to Sunram Construction Inc. for the base bid amount of $255,610 and authorize staff to purchase stone for $50,000 for a total amount of $305,610 as outlined in the staff report. Motion carried 5-0. Moved by Councilmember Olsen and seconded by Mayor Dietz to accept Alternate 1, which includes the addition of the west staircase and upper plaza for the contract amount of $46,244 and an additional $35,000 to purchase handrail and an 8% contingency for a total project cost of $87,744 as outlined in the staff report. Motion carried 5-0. Moved by Councilmember Wagner and seconded by Councilmember Burandt to reject Alternate 2, which includes the addition of site and parking lot lighting, wifi and other electrical upgrades, for the contract amount of $75,345 and an 8% contingency for a total project cost of $81,373. Motion carried 5-0. 8.5. Discuss Work Session Items Mr. Portner presented the staff report. Councilmember Burandt asked if there was a street sign program for posting animal crossing signs. Mr. Portner stated he would check with staff and provide an update to the council. 8.6. Pinewood Golf Course Litigation Tom Scott, the attorney appointed by the LMC Insurance Trust and representing the city in regards to Pinewood Golf Course, provided a proposed stipulation of v O w 1 R t 16 r NATURE City Council Minutes April 4, 2016 Page 11 settlement and a letter from him outlining the details of this case to the Council. He indicated the matter was scheduled for trial on the following day. In anticipation of trial, Mr. Scott stated he met with it the Council and as a result of those closed meeting discussions, he was directed to initiate settlement discussions with the Krause's, the result of which was before them this evening. He indicated the proposed stipulation of settlement outlines the city paying $1,550,000 to the Krause's, paying off the contract for deed and conveying the warranty deed, and the dismissal of the lawsuit. He indicated this would place the city in the same position as they were in when the lawsuit was filed in 2013, and if the case were to go to trial, the city would face a potential judgment in an amount between $1.2 million and $1.5 million. This would include the possibility of the contract for deed being cancelled and the property being returned to the Krause's. Mr. Scott indicated a Minnesota Court of Appeals could throw the judgment out but the city would still lose the money. He recommended the Council approve the settlement. Moved by Councihnember Westgaard and seconded by Councilmember Wagner to approve the Pinewood Golf Course stipulation settlement as presented in the handouts. Motion carried 5-0. Mayor Dietz stated the city was currently in litigation in a separate but related matter and the city is anticipating receiving a settlement from that litigation. He stated the council has not had discussions with regard to the future of the Pinewood property. 10. Council Liaison Updates The Council provided updates of the work of the various boards/commissions. The council adjourned to work session at 8:35 p.m. and the meeting reopened at 8:40 p.m. 9.1 Dock at Rivers Edge Commons Park Mt. Portner presented the staff report. Annie Deckert representing the Decklan Group, and Fred McCoy representing McCoy's Pub, presented a PowerPoint proposing a portable floating dock manufactured by MINNCOR placed on the Mississippi River in conjunction with the improvements this fall to the Rivers Edge Commons Park. He indicated they would like to have the city install a 6' square pedestal that would go over the river, and some aluminum steps that would go down to the dock. He suggested the approximately cost of $25,000 for the dock be split between private fundraising and the city. He indicated both Chris Carlson of Sportech, the Decklan Group, and the Downtown River's Edge Business Association favors the idea, as well as the DNR Hydrologist Roger Stradal, who visited the area and identified the site as ideal for a dock and supported the increased access opportunities to the river. p01EIEI I1 NATURE City Council Minutes April 4, 2016 Page 12 Mr. McCoy provided the benefits of adding a dock to the area, stating they felt it would increase recreational opportunities, public access, and benefit the downtown businesses by providing the residents and visitors alike to enjoy the river and downtown. Ms. Deckert provided comments that were received on the Downtown Elk River Facebook page with people voicing their support for the dock. Discussion was held regarding the total cost of the entire project, which included initial preparation and grading of the land, shrub and tree removal to provide river access, and the actual platform landing. DNR permits may be required, and the council asked for the costs of staff time installing and removing the dock each year, annual maintenance, upkeep and storage of the dock, and where these funds would be obtained. Mayor Dietz and Councilmember Westgaard indicated they wouldn't be opposed to allowing some staff time to look into their proposal but stressed the concern with how much staff time is required and what would the city's liability to adding this to the park, as well as where the funds would need to suddenly appear. It was the consensus of the council to allow staff to work with the Downtown Group to answer these questions and provide input. Mr. Pormer indicated he could identify which staff would be able to assist. Ms. Deckert indicated they have identified funds sources such as grants and donations to help cover the cost of this project but the struggle is the land in question is owned by the city and would like to receive consensus of the council to allow them the opportunity to apply for these fund sources. II. Adjournment There being no further business, Mayor Dietz adjourned the meeting of the Elk River City Council at 9:20 p.m. Minutes prepared by Jennifer Johnson. OJDietzyor Tina Allard, City Clerk PINI NEI e NATURE]