4.1. DRAFT MINUTES (1 SET) 07-03-2017 VA
City of
Elk Meeting of the Elk River City Council
River Held at the Elk River City Hall
Monday, June 19, 2017
Members Present: Mayor Dietz, Councilmembers Olsen, Ovall,Westgaard, and Wagner
Members Absent: None
Staff Present: Finance Director Lori Ziemer, Fire Chief John Cunningham, Park
Planner Chris Leeseberg, City Attorney Peter Beck,Planner Brie
Anna Simon, Storm water Coordinator Brandon Wisner,Economic
Development Director Amanda Othoudt,Assistant Finance Director
Jesse Dorn, and City Clerk Tina Allard
I. Call Meeting to Order
Pursuant to due call and notice thereof,the meeting of the Elk ffiver 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 6/19/2017 Agenda
Mayor Dietz noted Item 4.12 regar ng a Pyrotechnic T'cerise was added to the
Consent agenda.
Moved by Councilmember Westgaard and seconded by Councilmember
Olsen to approve the amended June 19, 2017, agenda. 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 May 15, 2017, Minutes
4.2 Check register, check numbers 9898 and 101976-102160 as outlined in
the staff report.
4.3 Pay estimates as outlined in the staff report.
4.4 Ordinance 17-11 repealing Sections 38-61 through 38-87, pertaining to
amusement devices of the City of Elk River, Minnesota, City Code.
4.5 Resolution 17-29 authorizing a transfer from the Flexible Spending
Account Fund to the General Fund.
4.6 Resolution 17-30 approving application to conduct annual off-site
gambling for Elk River Lions Club.
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4.7 Adopt Ordinance 17-12 amending Chapter 10,Animals of the City of
Elk River, Minnesota, City Code.
4.8 Parks and Recreation Park Steward Guidelines Policy.
4.9 Resolution 17-31 acknowledging contributions from Zimmerman Fire
Relief Association.
4.10 Resolution 17-32 authorizing a transfer from the Municipal Liquor
Fund to the Park Improvement Fund.
4.11 Special Event Permit to the Erich J. Kanne Memorial Foundation for
an outdoor concert scheduled for Monday,July 3, 2017, subject to 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. The city will also provide a list of
the properties to be notified. The event planner must submit an
affidavit that the notice was distributed.
2. Event parking may not obstruct public roadways or render them
unsafe for vehicle, emergency vehicle, or pedestrian traffic. All
applicable on-street parking laws and ordinances must be followed.
3. All applicable noise ordinances outlined in Elk River City Code
section 46-37 must be followed.
4. If applicant is having fireworks or serving alcohol they are
responsible for obtaining appropriate permits.
4.12 Public Display of Fireworks/Pyrotechnic License for Flashing
Thunder Fireworks Spectacular to conduct a pyrotechnic display from
ERX Motorpark on June 23 and June 24,with the following conditions:
1. Once distances have been established, size of the shoot can be
determined.
2. Fire watch shall be established per direction of the fire marshal.
3. Applicant must contact Fire Marshal Cliff Anderson at 763.238.3489
to schedule pre-loading and post-loading inspections.
Motion carried 5-0.
S. Open Forum
No one appeared for Open Forum.
6.1 City of Elk River Volunteer of the Month — Mayor Dietz
Mayor Dietz introduced, read, and presented a plaque to June Volunteer of the
Month Judy Bergquist. He noted the following volunteering accomplishments:
■ Works with first graders in reading program at Parker Elementary School.
■ Variety of volunteer activities at C1ubGA, the Guardian Angels Wellness Center.
■ Member of RSVP working several charity events.
■ Nursing home volunteer.
■ School volunteer.
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6.2 Comprehensive Annual Financial Report for Year Ended December
31, 2016
Ms. Ziemer introduced Lucas Chase and Michelle Hoffman,representatives from
CliftonLarsonAllen.Ms. Ziemer thanked city staff for their work throughout the
year.
Ms. Hoffman provided an overview of the audit. There were no internal control or
legal findings. She stated the city will need to monitor the garbage fund because the
change in fund balance and operating cash flows are in the negative.
Moved by Councilmember Wagner and seconded by Councilmember Ovall to
accept the Comprehensive Annual Financial Report for the City of Elk River
for the year ended December 31, 2016. Motion carried 5-0.
7.1. Simple Plat: John Lenz, Elk River Screw Job
Mr. Leeseberg presented Mr. Carlton's staff report.
Mayor Dietz opened the public hearing, there being no one to speak to this issue,
Mayor Dietz continued the public hearing to July 17, 2017.
Moved by Councilmember Olsen and seconded by Councilmember
Westgaard to continue the public hearing to July 17, 2017. Motion carried 5-0.
7.2 Beaudry Oil/Truck Shop - 620 Quinn Avenue and 623 Proctor Avenue
A. Zone Change from C4 (Community Commercial) to 12 (Medium
Industrial)
B. Conditional Use Permit to Establish Truck Storage Maintenance
and Repair Facility
C. Preliminary and Final Plan for New Resources Addition
Mr. Leeseberg presented the staff report for all three applications. He noted if
Council denies the zone change they also have to deny the conditional use permit
because the business would not be a permitted use in the C4 District.
Ms. Othoudt discussed project financing. She stated, as part of the Master Plan, they
are considering creation of a Tax Increment Financing District (TIF). She stated the
TIF District would help create revenue in order to acquire and demo properties for
new development. She stated, as part of the Master Plan, the maintenance facility
could shift to the north and Proctor Avenue could be connected to Quinn Avenue,
which would create better access for the properties located on 6`h Street. She noted
the revenue generated will not be enough to cover all the costs associated with
acquisition, demolition, and site preparation. She stated three different funding
sources would be utilized: Storm Water Fund, Street Improvement Fund, and
Pavement Management Fund. She noted the revenue generated from the TIF
District would be allocated back into these funds. She stated the District can't
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generate enough revenue to complete the project in its entirety but they are banking
on future development along 6"' Street.
Mikaela Hout, Springsted Consultant, discussed how the TIF Plan is based on
assumptions to determine estimated revenues from this project based on known and
future anticipated projects. She stated,based on the assumptions, $1.4 million could
be generated in tax revenue over 26 years. She explained how the city could
reimburse itself through the Interloan Fund.
Mr. Leeseberg stated staff believes the obligations of the Comprehensive Plan have
not been met. He stated the city is still in the process of negotiating for the three
northern properties. He stated staff recommends denial of the applications but noted
the applicant could extend the deadline in writing.
Mayor Dietz opened the public hearing for all three items.There being no one to
speak to these issues,Mayor Dietz closed the public hearing.
Councilmember Westgaard stated he is leaning towards approval of the applications
and made the following comments:
■ Doesn't agree there is not a master plan for this project.
■ Doesn't agree the project doesn't meet the Comprehensive Plan.
■ Isn't sure this project offers the highest and best use of the area.
■ Suggested there may be other opportunities for both parties if the city and the
applicant could continue to work together to develop the whole area.
■ Struggles with finding reason to deny the applications and noted the applicant
has been patient with the city.
■ There's more opportunity to make a better project if everyone could continue to
work together;however,there needs to be a balance with allowing the applicant
to move forward.
■ Has questions related to how parcels to the north and south of this project are
going to have access to their properties.
■ Seems it would make more sense to have the street located on the south side of
this project, for the city's benefit, for a storm water management plan,
transportation access for this project and all the other parcels involved, helping
to expedite the quiet zones, and reconfiguration of turn lanes on Procter Avenue.
■ Project still meets Comprehensive Plan overall goals in terms of redevelopment.
■ Questioned what happens if the applications are approved;the applicant
continues to work with the city;and we all come to agree on a different plan.
What is the cost to city and applicant other than not starting construction this
fall?
Attorney Beck stated the best,most efficient way to keep this project on schedule for
an October 1 construction start, consistent with the Master Plan,would be to have
the applicant continue the timeline on these applications to August 22 because it will
allow for better response time and flexibility of the process. He stated Council could
discuss the project at their July 17 meeting and make a determination on whether
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enough progress has been made. He expressed concerns with Council approving the
applications because nothing can be changed later without the application process
being restarted again.
Councilmember Westgaard stated he understands the application process is done
and another application can come forward. He wanted the financial impacts for the
city and the applicant to be understood by everyone. He asked what would happen
financially, to the city and applicant,if both parties work out an alternative solution
after approval is given. He noted these applications, for the city's benefit,have been
delayed a few months and at what point does the city move forward with someone
who wants to do a project when we can't make up our mind. He noted the street
connections have changed since the project was first reviewed and questioned why.
Mr. Leeseberg stated a new application would require public notices and review by
the Parks and Recreation Commission and Planning Commission. He stated if the
applications are continued,they will only come back to Council for review.
Councilmember Wagner asked the applicant,who was in the audience,if he
understood this discussion. He nodded yes.
Councilmember Wagner stated she wants to allow business to do business. She
stated if the plan had not come before the Council the way it did she would have said
yes to the zone change so doesn't know why the Council wouldn't approve it now.
She stated the redevelopment idea is good but questioned how long a business
should be put on hold.
Councilmember Olsen stated he would like to continue the discussions to July 17
because it seems cumbersome to go through the application process again.
Councilmember Ovall stated he is confused of what the Master Plan is that hasn't be
approved but,that being said, the Master Plan is for a redevelopment TIF District
which would be accomplished no matter where the road is moved,whether to the
north or south. He stated Ken Beaudry would be the best judge as to what would
produce the best economic value for his property. He stated the city is not precluded
from installing a storm water pond no matter where the road is located. He further
noted another variable are the three unpurchased needed lots. He stated he talked to
constituents located north of Proctor Avenue and he is not convinced the road in
the middle of the development is the best route. He outlined his concerns with
traffic and movement patterns on Proctor Avenue. He stated the city is rushing the
process and the person to make the best judgment on this road/project is the
applicant. He further stated he doesn't think approving this project will not stop the
city from doing what will be consistent with the Comprehensive Plan.
Mayor Dietz made the following comments:
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■ The city should abandon the TIF District if the Council is not going to consider
moving the building. He expressed concerns with gambling on whether the
applicant will work with the city.
■ Could the city get a letter from the applicant stating they will continue to work
with the city in redeveloping the area?
■ The city could end up spending tax payer money and get nothing out of the
project.
■ The road location is the county engineer's expert opinion.
■ Concerns with duplication of storm water efforts and the applicant should be
aware he will be responsible for creating a storm water pond on his property.
Attorney Beck stated the best way for the applicant to work with the city is to extend
the time period on the applications.
Councilmember Westgaard noted the city doesn't have to build a storm water pond.
He stated if the applicant moves forward with his project,the city is still going to
want a transportation connection and the city could go back to its original plan to
acquire the three parcels for the connection. He stated there are all kinds of
alternatives to the Master Plan dependent upon what is decided.
Mr. Wisner stated if the applicant moves forward with their project,if approved
tonight, they would be required to install their own storm water treatment system on
their property. He stated they originally proposed a system underground of their
parking lot. He stated this is generally an expensive plan because it has to be
structurally sound.
Mayor Dietz stated there needs to be assurances on the city side. He questioned what
the city would be left with;hoping the applicant will cooperate and do the master
plan?
Councilmember Westgaard stated yes and hopes they will continue to work with the
city on what is the highest and best use for this whole redevelopment area. He
questioned staff about what is magical about having 30 more days versus the
previous 120 already taken. He noted Council is always in a situation where they
have to pick and choose, and from a policy standpoint,it makes the decisions more
difficult for them.
Mr. Leeseberg stated we are not at the end of a process, but rather in the middle of a
planning process in following our plans. He noted the city has already spent
thousands of dollars on the project. He stated sometimes it is easier to react to
situations versus planning ahead for them. He stated we don't want to react to a
specific application but more to the bigger picture and what will be better for the
whole city.
Attorney Beck stated the biggest issue at the current time is acquiring the properties.
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Ms. Othoudt stated approval of the TIF District is scheduled for Council
consideration on July 3. She stated staff is actively negotiating with property owners.
She stated the city is following its statutory rules/calendar.
Mayor Dietz asked the applicant if he would be willing to extend the application
timeline to August 7.
Tim Dolan, representing the applicant,who was in the audience, shook his head
indicating no.
Councilmember Ovall stated approving the application won't stop the city from
accomplishing its needed goals for the area and would still be consistent with the
Comprehensive Plan. He stated the applicant knows what he is doing and would
benefit most from wherever the road is located.
Councilmember Westgaard stated he hopes both parties will continue to work
together for a greater plan for redevelopment of the whole area,but the greater thing
to do is to approve the applications.
Zone Change
Moved by Councilmember Westgaard and seconded by Councilmember
Wagner to adopt Ordinance 17-13 amending the City of Elk River Zoning
Map to rezone certain property from C4 to I2.
Motion carried 3-2. Mayor Dietz and Councilmember Olsen opposed.
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Conditional Use Permit
Moved by Councilmember Westgaard and seconded by Councilmember Ovall
to approve Conditional Use Permit, Case No. CU 17-08 with the following
conditions:
1) The authorized Conditional Use Permit will not be recorded until the
associated Zone Change and Plat have been recorded.
2) Building permits for the described work will not be issued until the
Conditional Use Permit is recorded.
3) If the proposed work described in the application and Conditional Use
Permit has not been substantially completed within two years after the
Conditional Use Permits date of issuance, the permit shall expire and
become void.
4) If the authorized use ceases for more than six months, the Conditional
Use Permit shall expire.
5) The applicant must apply for and receive approval for all required permits
before any construction may begin.
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6) Curbs at abandoned driveways on Proctor Road shall be replaced with
concrete barrier style curbing.
7) The site will need to comply with Chapter 57 of the MN State Fire Code.
8) If outdoor storage is desired, an amendment to the Conditional Use
Permit will be required.
9) All sources of artificial lights shall be so fixed, directed, designed or sized
that the minimum subtotal of their illumination will not increase the level
of illumination on any nearby residential property by more than 0.1
footcandle in or within 25 feet of a dwelling or by more than 0.5 footcandle
on any part of the property.
10) A landscape plan, designed in accordance with all city codes, shall be
approved by staff prior to the CUP being recorded.
Motion carried 3-2. Mayor Dietz and Councilmember Olsen opposed.
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Preliminary and Final Plat
Moved by Councilmember Westgaard and seconded by Councilmember
Wagner to approve Preliminary Plat and to adopt Resolution 17-33 granting
Final Plat, Case No. P 17-03 with the following:
Preliminary plat findings and conditions:
1) The property is zoned I-2 and the proposed subdivision is consistent with
the zoning regulations.
2) The proposed subdivision does not conflict with any city, county, or
regional plans, including the Comprehensive Plan.
3) The site is suitable for the proposed development.
4) The subdivision has adequate provision for all of these facilities.
5) The proposed subdivision will not cause substantial environmental
damage.
6) The subdivision will not conflict with easements of record.
7) The proposed subdivision will not have an undue and adverse impact on
the reasonable development of neighboring land.
8) All of the above services or improvements will be connected or
constructed as part of the development. The area is within the municipal
service area and existing facilities can handle the additional capacity.
Final Plat conditions:
1) Surface Water Management Fee be paid in the amount required by the
city prior to releasing the Final Plat for recording. (currently $1,326/acre)
2) The authorized Final Plat shall not be recorded until the aforementioned
conditions have been completed.
3) No permits shall be issued until the Final Plat is recorded.
4) Failure of the subdivider to submit the final plat within one year, unless a
written request for extension has been submitted and for good cause
granted by the council, shall cause the preliminary plat to become null
and void. However, the subdivider may continue to final plat a phase of
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the approved preliminary plat within one year of each phase in order to
extend valid approval of the preliminary plat.
Motion carried 3-2. Mayor Dietz and Councilmember Olsen opposed.
7.3 Conditional Use Permit for Truck Storage, Maintenance, Repair, and
Outdoor Storage, 15683 Jarvis Street, Metro Gravel
Ms. Simon presented the staff report.
Mayor Dietz opened the public hearing.
Mary Mates, Landform Professional Services, representing the applicant thanked
Council and staff for their work on this project. She stated Metro Gravel is proud to
be a long-standing local business owner and they will be making improvements such
as landscaping and flow.
Mayor Dietz closed the public hearing.
Moved by Councilmember Wagner and seconded by Councilmember
Westgaard to approve Conditional Use Permit, Case No. CU 17-12, with the
following conditions:
1. The Conditional Use Permit shall not be recorded until all conditions have
been completed.
2. The authorized use shall not begin until the Conditional Use Permit is
recorded.
3. If the proposed work described in the application and Conditional Use
Permit has not been substantially completed within two years after the
Conditional Use Permits date of issuance, the permit shall expire and
become void.
4. The applicant must apply for and receive approval for all required permits
before any construction may begin.
5. The city's Building Official and Fire Marshal shall inspect the building for
compliance with all state and local building codes.
6. All refuse collection containers shall be stored within an enclosure facility
large enough to accommodate the collection of all materials. Refuse
containers and materials must be out of sight from neighboring properties
and street.
7. A minimum 20-foot wide fire lane shall be maintained around the primary
building.
8. Vehicle circulation areas shall remain clear of obstructions, including
parked vehicles, at all times.
9. Parking stalls shall be striped in accordance with City Ordinance, Section
30-892 and as shown on the approved site plan.
10. B612 curbing shall be installed as indicated on the site plan and along the
south property line when the existing concrete drive lane without curbing
is replaced.
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11. If more than 30 tractor and/or trailers are to be stored on site, the
applicant shall apply for an amendment to the Conditional Use Permit.
12. All maintenance or body work shall take place indoors.
13. Truck tractors shall not be allowed to idle.
14. Submit SWPPP and issued NPDES permit prior to construction starting
on-site.
15. Vinyl slats will be installed in the existing chain link fence. The slats must
be maintained at all times and must be replaced within 30 days at the
request of the city.
16. Outdoor storage areas shall be completely screened from view within all
public rights-of-way and commercial or residentially zoned parcels.
Screening will consist of at least a six foot tall fence made of wood, factory
finished metal or vinyl panels, or chain link with vinyl slats.
17. Approved outdoor storage areas must be paved and maintained with an
approved surface, such as asphalt, concrete, concrete or similar pavers, or
class V compacted to maintain a dustfree surface.
18. Outdoor storage areas shall not be located in designated parking areas or
areas striped for parking.
Motion carried 5-0.
7.4 Ordinance Amendment: Outdoor Storage in the 13 District, Satellite
Shelters
Mr. Leeseberg presented Mr. Carlton's staff report. He noted this application has
been withdrawn.
7.5 Resolution: Vacation of Drainage and Utility Easement, 18566 Queen
Street
Mr. Leeseberg presented the staff report.
Mayor Dietz opened the public hearing. There being no one to speak to this matter,
Mayor Dietz closed the public hearing.
Council expressed concerns with the neighbors who are non-compliant,because
their sheds are located in the easement,and how they should be handled.
Mr. Leeseberg stated it would be a code enforcement matter. He stated if this
application is approved,then the city would need to go to each non-compliant
neighbor and require them to also apply for a vacation of the easement,which could
create other issues.
Moved by Councilmember Olsen and seconded by Mayor Dietz to adopt
Resolution 17-34 denying a petitions to vacate a drainage and utility
easement. Motion carried 5-0.
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7.6 2016 National Pollutant Discharge Elimination System (NPDES)
Annual Report
Mr. Wisner presented the staff report.
Mayor Dietz opened the public hearing. There being no one to speak to this matter,
Mayor Dietz closed the public hearing.
8.1. Resolution Designating Certain Buildings within Development District
No. I Structurally Substandard
Ms. Othoudt presented the staff report.
Moved by Councilmember Wagner and seconded by Councilmember Olsen
to adopt Resolution 17-35 designating certain buildings within Development
District No. 1 as structurally substandard. Motion carried 5-0.
9. Work Session
There were no work session items.
10. Adjournment
There being no further business,Mayor Dietz adjourned the meeting of the Elk
River City Council at 8:19 p.m.
John J. Dietz,Mayor
Tina Allard, City Clerk
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