4.1. SR 07-17-2017 DRAFT MINUTES (two sets)
Special/Closed Meeting of the Elk River City Council
Held at the Elk River City Hall
Monday, July 3, 2017
Members Present: Mayor Dietz, Councilmembers Olsen, Westgaard, Ovall, and Wagner
Members Absent: None
Staff Present: City Administrator Calvin Portner, Planning Manager Zack Carlton,
Economic Development Director Amanda Othoudt, and Executive
Secretary/Deputy City Clerk Jessica Miller
1. Call Meeting to Order
Pursuant to due call and notice thereof, the special meeting of the Elk River City
Council was called to order at 5:33 p.m. by Mayor Dietz.
Mayor Dietz stated on the record the meeting will be closed pursuant to MN Statute
Section 13D.05, subd. 3(c) to develop or consider offers or counteroffers for the
purchase of real property of 706 Quinn Avenue NW, 709 Proctor Avenue NW, and
Lot 7, Block 7 WH Houlton’s Addition.
2. Call Closed Meeting
Mayor Dietz called the closed meeting to order at 5:34 p.m.
3. Closed Meeting – MN Statute Section 13D.05, subd. 3(c)
The purpose of the meeting was to consider offers or counteroffers for the purchase
of real property described as:
PID 75-403-0030, also known as 706 Quinn Avenue NW
PID 75-410-0735, also known as 709 Proctor Avenue NW
PID 75-410-0730, legally described as Lot 7, Block 7 WH Houlton’s Addition
4. Adjournment
There being no further business, Mayor Dietz adjourned the meeting of the Elk River
City Council at 6:04 p.m.
Minutes prepared by Jessica Miller.
___________________
John J. Dietz, Mayor
___________________
Tina Allard, City Clerk
Meeting of the Elk River City Council
Held at the Elk River City Hall
Monday, July 3, 2017
Members Present: Mayor Dietz, Councilmembers Olsen, Ovall, Westgaard, and Wagner
Members Absent: None
Staff Present: City Administrator Calvin Portner, Economic Development Director
Amanda Othoudt, Planning Manager Zack Carlton, Communications
Coordinator RaeAnn Gardner, and Executive Secretary/Deputy City
Clerk Jessica Miller
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 07/03/2017 Agenda
Moved by Councilmember Wagner and seconded by Councilmember Olsen
to approve the July 3, 2017, agenda.
Motion carried 5-0.
4. Consider Consent Agenda
Moved by Councilmember Westgaard and seconded by Councilmember Ovall
to approve the following consent agenda:
4.1 June 19, 2017, minutes.
4.2 Check register, check numbers 9899-9902 and 102161-102310 as
outlined in the staff report.
4.3 Change order No. 1 for 2017 Street Improvement Project as outlined in
the staff report.
4.4 License Agreement 2017-19 with the Sherburne County Agricultural
Society regarding fill, drainage to the city stormwater basin, and the
city’s use of the fair property as a parking area for depositing snow.
4.5 Hire David Zakem as park maintenance worker effective July 24, 2017,
with pay and benefits consistent with IUOE Local 49 labor contract
and city policy.
4.6 Temporary On-Sale Liquor License to the Elk River Lions Club for
July 20 – 23, 2017, with the condition alcohol must be confined to an
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July 3, 2017
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area enclosed by a fence with a secured, controlled access and limited
to the beer garden and grandstand areas. Wrist band control is
required for patrons 21 years and over.
4.7 Special Event Permit to the Sherburne County Agricultural Society for
the Sherburne County Fair and Parade, July 20 – 23, 2017, subject to
the following conditions:
1. Applicant shall provide garbage clean-up immediately following
the parade.
2. Signs shall be installed at the following locations no later than July
15, 2017:
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 and Orono Parkway (alerting southbound
traffic)
d. Proctor Avenue and Main Street (alerting southbound
traffic)
The signs shall state:
Main Street Closed
July 22
10 a.m. – Noon
Parade
3. Applicant shall provide portable toilets and inform all parade staff
of the location of toilets during the parade.
4. Alcohol must be limited to the beer garden and grandstand areas.
Wrist band control is required for patrons 21 years and over.
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 the Sherburne
County Sheriff’s Office. It is the responsibility of the Sherburne
County Sheriff’s Office to request additional assistance with fair
security from the Elk River Police Department.
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, appropriate annexes
for severe weather.
9. Access to the public safety facility, including the rear entrance
areas, shall not be obstructed.
10. Candy may be handed out at the parade but is not permitted to be
thrown from moving objects.
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July 3, 2017
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Motion carried 5-0.
5. Open Forum
No one appeared for Open Forum.
6.1 Presentations, Awards, and Recognition
There were no presentations, awards, or recognition.
7.1. Creation of Redevelopment TIF District No. 24
Ms. Othoudt 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.
Mayor Dietz questioned how the TIF District would be affected if Mr. Beaudry
doesn’t move forward with his project. Ms. Othoudt explained how the but-for
analysis would have to be met to proceed with TIF.
Councilmember Wagner questioned what happens if the TIF District is created and
the project does not move forward. Ms. Othoudt explained the city has until June 30,
2018, to certify the district which is ample time to know whether or not the
development will proceed.
Moved by Councilmember Westgaard and seconded by Councilmember
Olsen to adopt Resolution 17-36 approving the modification of the
development program for a development district No. 1, establishing a tax
increment financing district, and approving the tax increment financing plan.
Motion carried 5-0.
7.2 Ordinance Amendment: Downtown Signage
Mr. Carlton 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.
Moved by Councilmember Westgaard and seconded by Councilmember
Olsen to adopt Ordinance 17-14 amending Section 30-873, DD (Downtown
District) of the Elk River City Code to permit wall signs above the
stringcourse of the buildings.
Motion carried 5-0.
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July 3, 2017
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8.1. Wayfinding Signage Program
Ms. Gardner presented her staff report.
Moved by Councilmember Wagner and seconded by Councilmember Olsen
to approve the quote for a park signage design change in the amount of
$1,250.
Motion carried 5-0.
Moved by Councilmember Wagner and seconded by Councilmember
Westgaard to approve natural stone veneer to be used in the bidding process.
Motion carried 5-0.
Moved by Councilmember Westgaard and seconded by Councilmember
Wagner to approve expenditures of up to $200,000 per year from the GRE
Fund for the next three years for the wayfinding plan.
Motion carried 5-0.
8.2 Discuss Work Session Items
Mr. Portner presented the staff report. He stated the new city administrator of
Otsego requested a joint meeting. He added he will schedule a joint meeting with the
school board.
Councilmember Wagner questioned if the Council will be meeting with the City of
Ramsey again. Mr. Portner stated nothing is on the schedule but he can arrange if the
Council is in favor. Council consensus was to meet jointly with Ramsey.
9. Council Liaison Updates
Councilmembers presented updates on the work of various boards/commissions.
Mayor Dietz indicated rain is in the forecast for tomorrow and asked residents to
check the city’s website or call city hall for updates on the fireworks. He also
thanked Mike Matter of Zylstra Harley-Davidson for his donation of $500 to be used
towards fireworks clean-up.
Mayor Dietz asked the city clerk’s office to research increasing the age to purchase
tobacco in Elk River to 21 and report to Council.
Council recessed at 7:09 p.m. to move into work session and reconvened at 7:12 p.m.
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10.1 Discuss Former School District Office
Mayor Dietz questioned if the Council has an interest in this property. He stated he
wasn’t initially interested but reviewed the property again and may have an interest.
Mayor Dietz asked if the city could have first right to purchase the property.
Ryan Hardin, Broker/Realtor KW Commercial stated the seller could give the city
first right of refusal in which the city would have a specified timeframe to decide
whether or not to purchase the property if an offer is received.
Ms. Othoudt asked Mr. Hardin if there are offers on the property. Mr. Hardin stated
there is an active purchase agreement and a pending offer. The seller is willing to
consider other offers but time is of the essence. He noted the building is not vacant
at this time.
Councilmember Ovall indicated this is a sizable acquisition and lower priority in
comparison to other city facilities. He noted if the city isn’t going to purchase the
property the zoning and use should be focused on to be sure it is consistent with the
vision for downtown.
The Council discussed potential uses for the property and the potential of
establishing a moratorium until plans can be reviewed.
Council consensus was to have the property considered by the Housing and
Redevelopment Authority and the Economic Development Authority. Ms. Othoudt
questioned if the Council is agreeable to bringing the request to the HRA at their
July 10 meeting and if they are not interested bringing the request to the July 17
EDA meeting. The Council concurred adding they would like to discuss the issue at
their July 17 meeting as well.
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10.2 190 Avenue Construction
Mr. Carlton presented the staff report.
Mayor Dietz indicated he keeps going back to the legal agreement where Mr. Smith
agreed to construct the road when development went in and believes the road should
be constructed. He stated he would be willing to finish the road and allow Mr. Smith
to pay over a period of time through an assessment, if possible.
Mr. Smith stated he does not recall agreeing to put in the road but if he did his
definition of development would be multiple houses and not just one house.
Councilmember Wagner explained she understands where Mr. Smith is coming from
but questioned the precedent the city is setting by allowing city right-of-ways to be
used as driveways.
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Mr. Smith questioned if he could request an Easement Vacation. Mr. Carlton
explained staff would not support an Easement Vacation because the Smith property
would not have access to a public roadway.
Councilmember Wagner questioned if police or fire has comments. Mr. Carlton
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indicated the fire chief has concerns with the address on 190 Avenue when the road
ends.
Councilmember Ovall expressed concern with the financial burden for two property
owners versus if it was spread out with a larger development. Councilmember
Westgaard stated the original plan was for four lots but Mr. Smith changed the
property to two lots at which time he agreed to put the road in with development.
He indicated he believes it is at the point where a road should be constructed.
Discussion took place regarding the potential of including the road in the next street
improvement project to get a discount and assessing Mr. Smith and Mr.
Hemmelgarn. Mr. Portner explained in order to assess we would need a petition
from the property owners since this is not a public improvement project. He noted
the current street improvement project was recently extended because the costs came
in under budget and staff could look in to whether the project could be amended
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again to include 190 Avenue. Mr. Portner indicated he will check with Attorney
Beck on the assessment requirements.
Mr. Smith stated the two property owners do not want the road and questioned if
there is any way to address the issue without continuation of the road. He noted he
has equipment to maintain the driveway if it’s left as is.
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Council consensus was for 190 Avenue to be constructed as discussed. The Council
would like staff to research options and discuss with the city attorney and bring back
for the July 17, 2017, work session. Staff was directed to notify Mr. Smith and Mr.
Hemmelgarn of an approximate time for the work session.
10.3 Administrative Subdivision Approval Process
Mr. Carlton presented the staff report.
Council consensus was to move forward with eliminating the public hearing
component, when possible, for administrative subdivisions by simple plat.
Councilmember Ovall stated it seems an increased amount of staff denials are
coming before Council and questioned if something can be done to streamline the
process. Mr. Portner indicated most of these cases are the applicant’s decision to
proceed to Council. He explained if staff does not support approval they make the
applicant aware and attempt to work with the applicant to revise the request to meet
requirements for approval; however, the applicant is not always willing to work on
revising the request.
City Council Minutes Page 7
July 3, 2017
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11. Adjournment
There being no further business, Mayor Dietz adjourned the meeting of the Elk
River City Council at 8:33 p.m.
Minutes prepared by Jessica Miller.
___________________
John J. Dietz, Mayor
___________________
Tina Allard, City Clerk