01-25-1999 CC MIN
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MEETING OF THE ELK RIVER CITY COUNCIL
HELD AT THE ELK RIVER CITY HALL
MONDAY, JANUARY 25, 1999
Members Present:
Mayor Klinzing, Councilmembers Dietz, Thompson, Farber, and
Motin
Members Absent:
None
Staff Present:
Pat Klaers, City Administrator; Lori Johnson, Finance Director;
Sandra Peine, City Clerk; Terry Maurer. City Engineer; Peter Beck,
City Attorney; Bob Kluntz, Police Officer; Tom Tyler, Police
Investigator; Jeff Beahen, Assistant Police Chief; Tom lerwas, Police
Chief; Paul Steinman, Director of Economic Development; Bryan
Adams, utilities General Manager; Cliff Skogstad, Building Official
1. Call Meetina To Order
Pursuant to due call and notice thereof, the meeting of the Elk River City Council
was called to order at 6:00 p.m. by Mayor Klinzing.
2.
Consider Aaenda
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COUNCILMEMBER FARBER MOVED TO APPROVE THE 1/25/99 CITY COUNCIL
AGENDA. COUNCILMEMBER MOTIN SECONDED THE MOTION. THE MOTION
CARRIED 5-0.
3.
Consider Consent Aaenda
COUNCILMEMBER MOTIN MOVED TO APPROVE THE CONSENT AGENDA AS
FOLLOWS:
3.1. CHECK REGISTER - APPROVED
3.2. 1/19/99 CITY COUNCIL MINUTES -APPROVED
3.3. CONSIDER OUT OF STATE CONFERENCE ATTENDANCE FOR SR. CITIZEN
DEPARTMENT (SUE KOSTANSHEK) - APPROVED
COUNCILMEMBER THOMPSON SECONDED THE MOTION. THE MOTION CARRIED 5-0.
4. Open Mike
There was no one present for open mike.
5. Joint City Council/School Board Meetina
School Board Members & Staff Present: Dr. David Flannery, Superintendent; Ron
Bratlie, Director of Support Services; Board Members Patty Scharber, Mark Strater,
Mary McDevitt-Kraljic, Linda Ritchie, lack Fox, Mary Jo Swanson
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Januarv 25. 1999
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1.
Mayor and School Board Chair Introductory Comments
Mayor Klinzing welcomed the School Board and stated she was pleased
to meet with them to share and discuss issues of mutual concern which
affect the same constituency of both the School Board and City Council.
Mary McDevitt-Kraljic thanked the City Council for the invitation and
stated that it was her hope to strengthen the relationship between the
School Board and the City Council. .
II. Overview of School Districts Development Plans
Dr. Flannery presented the City Council with a brief overview of the School
District's future development plans. Dr. Flannery reviewed the district's
financial plan, enrollment distribution issues, history of property taxes
applied toward school debt, and the need for another high school and
more elementary schools within the next five years. Dr. Flannery noted
that the board would like to think about areas in which the district and
city can work together so as to lessen the burden on the taxpayers.
III.
Police Liaison Proaram
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Dr. Flannery noted that the district has been happy with the support and
service provided by the Elk River Police Department in regard to the
police liaison program. He indicated that the dilemma the board faces is
that Sherburne County has indicated it will provide liaison officers for
secondary schools at no charge to the district. He indicated that the
district currently pays the city $70,000 for this service. Dr. Flannery stated
that if the district were to go with the county liaison, the program would
not begin until January 2000.
Council member Farber stated that he spoke with Sheriff Anderson. He
indicated that Sheriff Anderson stated that he would prefer to see the
district and the city work together to solve funding problems and to have
the city continue with the liaison program.
Patty Scharber indicated that in her mind it is an equity issue. She stated
that all of the tax dollars that the district receives for this purpose are
being disbursed to the Elk River Schools to pay for the liaison officers and
that there are no dollars being spent for the limmerman School or the
Rogers School.
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Police Chief lerwas indicated that if the board chooses to discontinue the
Elk River School Liaison Program, the decision will have a great impact on
the schools, the kids, and the city. He indicated that the city would lose
the connection and continuity that has been established with the kids
throughout the years. Police Chief lerwas further indicated that
Sherburne County would have to spend $225,000 to provide the three
police liaison officers which is more than the $70,000 that the district is
currently paying. Chief lerwas suggested the possibility of forming a
committee consisting of members from the School Board, City Council,
and Sherburne County to come up with a solution to this issue.
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Januarv 25. 1999
Page 3
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Assistant Chief Jeff Beahen talked about the possibility of using the crime
levy which the district receives on a more equitable basis. He stated there
could be a solution whereas a portion of the crime levy is spent for the Elk
River liaison officers and a portion of the crime levy is also spent in the
cities of limmerman and Rogers. Dr. Flannery indicated that if the School
Board did not have to spend its crime levy paying for Elk River police
liaison officers, it could use the money for other programs.
Further discussion was held regarding the forming of a committee.
Councilmembers Farber and Motin volunteered to serve on the
committee and School Board members Strater and Swanson also
volunteered. It was noted that the city administrator would contact
Sherburne County to see if it was interested in having members on the
committee.
IV. Ice Arena Update
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Discussion was held regarding the school usage of the ice arena complex.
Council member Dietz noted that there would probably be an increase in
the hourly rate and possibly in the lease due to the deficits that the ice
arena has experienced. City Administrator Pat Klaers indicated that the
city hopes to decrease the operating loss in the future. He further stated
that there has been a moderate increase of about $5 per hour for the
past three years. He stated that the Ice Arena Commission will reevaluate
the fee schedule and will likely recommend another moderate increase.
V.
School Street - 1999 Improvement Proiect and District's Plans for Parkina
Lot Improvements
Ron Bratlie reviewed the proposed expansion to the school parking lot.
He indicated that the proposed expansion would add a security feature
and also assist in minimizing the traffic problems during school hours. It
was noted that the expansion of the parking lot would increase the
number of vehicles by about 400.
Discussion was held regarding the proposed School Street improvement
project. It was noted that the School District does not agree with the
proposed assessment for the project. Mayor Klinzing indicated that a
public hearing will be held for the project on February 22. She indicated
that she hoped that the board and the council could work out a solution
regarding this issue.
Mayor Klinzing thanked the School Board and indicated that she hoped these
types of discussions can continue between the School Board and City Council.
The City Council recessed at 7:35 p.m. and reconvened at 7:42 p.m.
6.1 . Consideration of 1999 Fee Schedule
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January 25. 1999
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City Clerk Sandra Peine stated that city reviews its fees for services on a yearly
basis to ensure fees charged are sufficient to cover services rendered. She
reviewed the proposed fees for 1999 with the council.
The City Administrator indicated that the fee resolution proposal does not include
a change in the park dedication fees. He stated that a request for this increase
will be presented to the council within the next few months.
The City Administrator noted that in 1994 the City Council adopted a resolution
which increases the surface water management impact fees by 3 percent each
year. He indicated that the proposed fee resolution for 1999 includes this 3
percent increase. He noted that the impact fee covers only a fraction of the
expenses for the city trunk storm water management system. He further noted
that this issue will have to be discussed in greater detail at future CIP meetings.
Cliff Skogstad noted that staff is requesting the council to adopt the 1997 building
code. He noted that this includes an approximately 11 percent increase in
building permit fees and that this will be the first increase in three years.
COUNCILMEMBER FARBER MOVED TO ADOPT RESOLUTION 99-8 ADOPTING FEES
FOR SERVICES FOR 1999. COUNCILMEMBER THOMPSON SECONDED THE MOTION.
THE MOTION CARRIED 5-0.
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COUNCILMEMBER FARBER MOVED TO ADOPT ORDINANCE 99-1 ADOPTING THE 1997
UNIFORM STATE BUILDING CODE. COUNCILMEMBER THOMPSON SECONDED THE
MOTION. THE MOTION CARRIED 5-0.
6.2.
Consider Ordinance Amendment Repealina Health Care Delivery Commission
City Clerk Sandra Peine indicated that on January 16, 1995, the City Council
voted to disband the Health Care Delivery Commission. She stated that an
ordinance amendment had been drafted which would expunge the ordinance
from the City Code.
COUNCILMEMBER FARBER MOVED TO APPROVe ORDINANCE 99-2 REPEALING
SECTION 212.00 OF THE CITY CODE OF ORDINANCES RELATING TO THE HEALTH CARE
DELIVERY COMMISSION. COUNCILMEMBER DIETZ SECONDED THE MOTION. THE
MOTION CARRIED 5-0.
6.3. Consider Ordinance Amendments Relatinq to Residency on Boards and
Commissions
City Clerk Sandra Peine distributed revised draft ordinances and stated that per
Council direction, staff has prepared ordinance amendments relating to
residency on boards and commissions. She stated that each amendment is
drafted with language allowing only Elk River residents to serve on commissions,
and that ordinances have been drafted for each individual commission. She
further stated that the ordinance amendments include language allowing non-
residents currently serving on commissions to be grandfathered-in for one more
term.
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The City Clerk entered into the record two citizen letters regarding this issue; one
letter addressed to the Mayor and Council from Duane Kropuenske in favor of
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January 25. 1999
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residency requirements, and a second letter addressed to the Mayor and Council
from David Anderson opposed to residency requirements.
Mayor Klinzing opened the floor for public input on this issue.
Lana Huberty, Park and Recreation Commissioner, indicated that she is not in
favor of amending the ordinance to include a residency requirement for the Park
and Recreation Commission. She noted that the City Council has the opportunity
to appoint non residents and also that the City Council makes the final decision
on spending money in the city.
Clair Olson, Park and Recreation Commissioner, indicated that it is in the city's
best interest to find the best qualified individual for a board or commission
regardless of whether or not the individual resides in or out of the city. He further
stated that the school district encompasses an area larger than the city of Elk
River. Clair Olson indicated that he is opposed to residency requirements.
Dana Anderson, Park and Recreation Commissioner, indicated that there are
some commissions in the city of Elk River that are unique in that they deal with
youth organizations and youth agencies that are not located only within the city
of Elk River. He stated that not changing the ordinance would serve the city in its
greatest capacity.
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John Kuester. Park and Recreation Commissioner, indicated that the Park and
Recreation Commission is a joint partnership. He stated that many facilities within
the city of Elk River were built and financed by many people and organizations
outside of the city of Elk River.
Council member Motin stated he does not feel there should be restrictions on
residency on the commissions because they are volunteer in nature. He
proposed that any changes to the ordinance not include a residency
requirement.
Council member Farber stated he feels the Park and Recreation Commission and
Ice Arena Commission are unique in that they serve residents outside of the city
limits. He further stated that the City Council has the final say in regard to
spending money.
Council member Thompson indicated that he has been approached by many of
his constituents regarding this issue. He stated that all but one of the people he
has spoke to regarding this matter are in favor of residency requirements. He
stated that as he is acting on the behalf of his constituents he will be voting in
favor of a residency requirement for boards and commissions.
Bryan Adams, Utilities General Manager, stated that by adopting a residency
requirement the city will be excluding people from serving on the Utilities
Commission who are served by Elk River Utilities.
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Councilmember Dietz stated that when the park ordinance was amended years
ago to allow outside residents, it was changed due to the lack of Elk River
applicants. He indicated that Elk River is a larger community now and there are
many qualified residents within the city requesting to serve on city boards and
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January 25.1999
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commissions. Council member Dietz further stated that he felt it was fair to
grandfather in those non residents currently serving on boards and commissions
for one more term.
Mayor Klinzing indicated that the residency issue is an important issue to the
people she has talked to. She further stated that the people she has talked to
regarding this issue are interested in restricting board and commission members
to the citizens of Elk River.
Council member Motin suggested the following amendment to the proposed four
ordinances; instead of the ordinance indicating that the term shall end on
February 28, he suggested that the term end on the last day of February.
Council member Motin further suggested that the sentence "members shall hold
office until their successors have been appointed" be combined with the
sentence indicating that terms shall end on the last day of February.
There being no further public comment, Mayor Klinzing closed the floor.
6.3b.
Park and Recreation Commission
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COUNCILMEMBER MOTIN MOVED TO ADOPT ORDINANCE 99-3 AMENDING
SECTION 216.06 OF THE CITY CODE OF ORDINANCES RELATING TO THE PARK
AND RECREATION COMMISSION WITH THE CHANGES AS DISCUSSED
RELATING TO THE FEBRUARY 28 DATE AND FURTHER TO DELETE ANY
REFERENCE RELATED TO RESIDENCY AND, IN ITS PLACE, TO STATE "IT IS
EXPECTED THAT A PREFERENCE BE GIVEN TO ELK RIVER RESIDENTS, BUT
RESIDENCY BY ITSELF SHALL NOT BE A DISQUALIFICATION" AND FURTHER, TO
DELETE SECTION 2 OF THE ORDINANCE AMENDMENT RELATING TO THE
GRANDFATHER CLAUSE. COUNCILMEMBER FARBER SECONDED THE MOTION.
COUNCILMEMBER MOTIN MOVED TO AMEND THE MOTION BY REPLACING
THE QUORUM SENTENCE WITH THE FOLLOWING SENTENCE: "A QUORUM OF
THE COMMISSION SHALL CONSIST OF A MAJORITY OF THE SITTING
MEMBERS." COUNCILMEMBER FARBER SECONDED THE AMENDMENT. THE
MOTION FAILED 2-3. Councilmembers Dietz, Thompson, and Mayor
Klinzing voting opposed. '
COUNCILMEMBER THOMPSON MOVED TO ADOPT ORDINANCE 99-3
AMENDING SECTION 216.06 OF THE CITY CODE OF ORDINANCES RELATING
TO PARK AND RECREATION COMMISSION MEMBERSHIP AND THAT THE
ORDINANCE INCLUDE THE AMENDMENT RELATING TO TERMS EXPIRING AT
THE END OF FEBRUARY AND FURTHER TO INCLUDE THE LANGUAGE THAT A
QUORUM OF THE COMMISSION SHALL CONSIST OF A MAJORITY OF THE
SITTING MEMBERS. COUNCILMEMBER DIETZ SECONDED THE MOTION. THE
MOTION CARRIED 3-2. Councilmembers Farber and Motin opposed.
6.3a.
Planninq Commission
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COUNCILMEMBER THOMPSON MOVED TO ADOPT ORDINANCE 99- 4
AMENDING SECTION 214.02 OF THE CITY CODE OF ORDINANCES RELATING
TO MEMBERSHIP ON THE PLANNING COMMISSION AND THAT THE
ORDINANCE INCLUDE THE AMENDMENT RELATING TO TERMS EXPIRING AT
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Januarv 25.1999
Page 7
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THE END OF FEBRUARY. COUNCILMEMBER DIETZ SECONDED THE MOTION.
THE MOTION CARRIED 5-0.
6.3c.
Ice Arena Commission
Council member Farber stated he felt the Ice Arena Commission was a
unique situation. He stated that it was a partnership with youth hockey
who have approximately $2 million into the current facility. He stated he
feels a majority of the members should be Elk River residents, however
there should be room for non residents on the commission. He further
stated that Elk River Youth Hockey Association has made a significant
commitment to the facility.
COUNCILMEMBER THOMPSON MOVED TO ADOPT ORDINANCE 99-5
AMENDING SECTION 217.04 OF THE CITY CODE OF ORDINANCES RELATING
TO MEMBERSHIP AND TERMS ON THE ICE ARENA COMMISSION AND THAT
THE ORDINANCE INCLUDE THE AMENDMENT RELATING TO TERMS EXPIRING
AT THE END OF FEBRUARY. COUNCILMEMBER DIETZ SECONDED THE MOTION.
THE MOTION CARRIED 3-2. Councilmembers Farber and Motin opposed.
6.3d.
Utilities Commission
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COUNCILMEMBER DIETZ MOVED TO ADOPT ORDINANCE 99-6 AMENDING
SECTION 210.02 OF THE CITY CODE OF ORDINANCES RELATING TO
MEMBERSHIP OF THE PUBLIC UTILITIES COMMISSION AND THAT THE
ORDINANCE INCLUDE THE AMENDMENT RELATING TO TERMS EXPIRING AT
THE END OF FEBRUARY. COUNCILMEMBER THOMPSON SECONDED THE
MOTION. THE MOTION CARRIED 3-2. Councilmembers Farber and Motin
opposed.
6.4. Consider Appointment to Park and Recreation Commission
City Clerk Sandra Peine indicated that the City Council interviewed Park and
Recreation Commission applicants on December 14, 1998, but appointments
were not made at that time due to the unresolved issue of residency. She stated
that Mitch Utecht, Marvin Johnson, Tim Sladek, and Marlys Olson have
applications on file and have been informed that their applications are included
for council consideration. She also noted that Marlys Olson's application rated
her interest in serving on the Park and Recreation Commission last in order of
commission preference.
COUNCILMEMBER FARBER MOVED TO REAPPOINT DANA ANDERSON TO A THREE
YEAR TERM ON THE PARK AND RECREATION COMMISSION EXPIRING ON THE LAST
DAY OF FEBRUARY 2002. COUNCILMEMBER MOTIN SECONDED THE MOTION. THE
MOTION CARRIED 5-0.
6.5.
Consider Revised Travel Policy
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Finance Director Lori Johnson informed the Council that staff is proposing an
update to the city's travel policy. She stated that the travel policy was first
approved in 1990, and has not been updated for a while. She indicated that the
policy is proposed to be updated at this time because reimbursement amounts
have not been increased since 1990, and there is a need for a more
comprehensive and explicit policy.
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January 25. 1999
Page 8
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Discussion was held by the council regarding the amounts set for meals. Finance
Director Lori Johnson indicated that the city's policy closely mimics the federal
guidelines.
COUNCILMEMBER THOMPSON MOVED TO APPROVE THE CITY OF ELK RIVER TRAVEL
REIMBURSEMENT POLICY AS REVISED JANUARY 1999. COUNCILMEMBER MOTIN
SECONDED THE MOTION. THE MOTION CARRIED 5-0.
The City Council recessed at 8:37 p.m. and reconvened at 8:40 p.m.
7. East Elk River Worksession
City Administrator Pat Klaers gave a brief update of the background on the east
Elk River public improvement project. Pat Klaers explained that a number of
worksessions have been held on the east Elk River project. He indicated that a
main focus of the early 1998 worksessions was a debate over whether a large or
small project should be undertaken. He further indicated that in early 1998 staff
strongly supported a small project based on the deficit, the overall financial size
of the projects, and the potential cash flow problems due to deferred
assessments. The city administrator indicated that following those worksessions
the city received $2.8 million in federal funding for the street component of the
project. He indicated that each of the sewer, water, street, and storm drainage
components of the public improvement project still do not cash flow, but with the
federal funds for the street, the overall project is in better financial condition.
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The city administrator reviewed the action the City Council has taken to date on
this project. He further stated that public hearings on the extension of trunk sewer
and water have been held, bids have been received, and the assessment
hearing for the large project has been conducted. He indicated that
assessments have been levied in the amount of $6,000 per acre and that three
property owners have repealed this assessment.
Lori Johnson reviewed the project costs. Discussion was held by the council
regarding the project shortfall and possible funding mechanisms. The city
administrator informed the council that they will be asked to make a decision on
the project size very soon.
Jim Mevissen questioned the council about the eminent domain process. Mayor
Klinzing informed the council that the EDA did not have any direct
communication with the property owners regarding the eminent domain process
and stated that this has caused some misunderstandings.
City Attorney Peter Beck indicated that the EDA is awaiting an appraisal on the
property and then the city representative plans to meet with the Mevissens.
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Kathy Swanberg spoke to the council regarding the Warden's property and the
eminent domain process. She requested the City Council to talk to the Wardens
regarding the city's intention of eminent domain. She indicated she did not feel it
was proper that the city had no contact with the homeowners. She further
stated that she did not approve of the tactics being used by the people who are
acquiring land for the developers.
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Elk River City Council Minutes
January 25. 1999
Page 9
More discussion was held by the council regarding the project. Lori Johnson
reviewed the matching funds that the city will be required to pay. Paul Steinman
reviewed the various financing issues involving the Hohlen redevelopment project
and TIF District No. 19. At this time the proposal excludes the industrial property,
but development of industrial sites is part of the developers agreement. He noted
that he is in the process of finalizing the developers agreement. He further stated
that the City Council needs to discuss what city costs will be funded through tax
increment financing.
Pat Dwyer indicated that the EDA is looking very favorably on the TIF District.
City Administrator Pat Klaers encouraged Councilmembers with questions
regarding the project to call him or other staff members at any time. He further
reminded the council that a decision regarding the project size and bids will
need to be made very soon.
8. Other Business
There was no other business.
9. Staff Updates
There were no staff updates.
10.
Adiournment
There being no further business, Mayor Klinzing adjourned the meeting.
~~The :eet/2ing of the Elk River City Council was adjourned at 9:50 p.m.
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Sandra Peine 4
City Clerk