4.1. DRAFT MINUTES (1 set) 11-20-2017 VA
City of
Elk Meeting of the Elk River City Council
River Held at the Elk River City Hall
Monday, November 6, 2017
Members Present: Mayor Dietz, Councilmembers Olsen, Ovall,Westgaard, and Wagner
Members Absent: None
Staff Present: City Administrator Calvin Portner, Finance Director Lori Ziemer,
Chief of Police Ron Nierenhausen, Economic Development Director
Amanda Othoudt,Economic Development Assistant Colleen Eddy,
City Engineer Justin Femrite, Senior Planner Chris Leeseberg, Parks
and Recreation Director Michael Hecker, Recreation Manager Steve
Benoit, and Executive Secretary/Deputy City Clerk Jessica Miller
I. Call Meeting to Order
Pursuant to due call and notice thereo;. e meeting of the Elk River City Council
th
was called to order at 6:30 p.m. by Mayor Dietz.
2. Pledge of Allegiance
The Pledge of Allegiance was recited.
3. Consider 11/06/2017 Agenda
Moved by Councilmember Wagner"and seconded by Councilmember Olsen
to approve the November 6, 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 Minutes
■ October 16, 2017, Regular
■ October 26, 2017, Special
4.2 Check register, check numbers 9916-9918 and 103607-103853 as
outlined in the staff report.
4.3. On-Sale and Sunday Liquor License for Tipsy Foods Inc. DBA Tipsy
Chicken, 13479 Business Center Drive, valid through June 30, 2018.
4.4 Ordinance 17-23 amending Chapter 38, Article XI allowing staff
approval for Special Event Permits.
4.5 Ordinance 17-24 amending Chapter 38, Legalized Gambling in order
to allow one organization up to three premises permits.
4.6 Resolution 17-63 approving a premises permit for the Elk River Youth
Hockey Association to conduct gambling at Buffalo Wild Wings, 778
Freeport Street NW.
City Council Minutes Page 2
November 6,2017
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4.7 Resolution 17-64 approving a premises permit for the Elk River Lions
Club to conduct gambling at Tipsy Chicken, 13479 Business Center
Drive NW.
4.8 Election Agreement with Sherburne County and designate the city
clerk to serve as election official for future elections
■ Agreement 2017-30 Election Administration Agreement
between the City of Elk River and Sherburne County
■ Resolution 17-65 designating the city clerk to serve as the City
of Elk River election official for all future regular and special
elections beginning 2018.
4.9 2017 tax forfeitures
■ Resolution 17-66 regarding classification of certain tax forfeited
land located within the City of Elk River and specifying the
parcels to be sold.
■ Resolution 17-67 approving acquisition of real property and
dispensing with statutory requirements for review by Planning
Commission.
4.10 Planned Unit Development for Tall Pines as outlined in the staff
report.
4.11 Resolution 17-68 acknowledging donations for Bailey Point Nature
Preserve.
4.12 2018 flexible benefits plan
■ Medical insurance carrier change to Public Employees
Insurance Program.
■ 2018 Flexible Benefits Plan Design as outlined in the staff
report.
Motion carried 5-0.
S. Open Forum
Mark Olson, 18778 Yankton St— stated he has a rental at 18784 Yankton and
received a letter from Elk River Municipal Utilities (ERMU) indicating he would be
assessed for his tenant's garbage bill. He explained he contacted ERMU and was
informed they have no means to stop garbage service to his tenant for an unpaid bill.
Mr. Olson didn't feel it was fair to be assessed for his tenant's unpaid bill when it
was the city's choice to extend credit to his tenant. It was noted the property does
not have city water or electric.
Mayor Dietz stated ERMU's policy is to assess property owners for unpaid utility
bills at the end of the year. Mr. Portner stated he will discuss with the city attorney
and get back to Mr. Olson.
Mr. Olson also noted he does not believe the tax payers should be responsible for
paying for a new ice arena.
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City Council Minutes Page 3
November 6,2017
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Ryan Hardin,KW Commercial—requested the requirement for tobacco shops to
be at least 500 feet from schools and parks outlined in Elk River City Code 26-40 be
reduced to 200 feet.
Dan Weinmann, 13825 —214"'Avenue NW—stated he applied for a building
permit and was denied due to wedand setbacks. He spoke with staff and applied for
a variance last week but he isn't happy with the process and the fees and escrow he
had to pay. He also expressed concern with other properties in his neighborhood
that may be in violation of the wedand setback ordinance.
Mr. Leeseberg indicated the escrow has been reduced but staff does not have
authority to reduce the fees.
Councilmember Wagner stated she is pleased Mr. Weinmann applied for a variance.
She questioned if the Council should review the ordinance for future requests. She
noted Mr. Weinmann mentioned new technology for deck construction that may
alleviate some of the issues of the wetland setback.
Mr. Leeseberg indicated the variance is scheduled for Board of Appeal in November
and if denied the Council will see the request the first meeting in December.
6.1 2017 Recognition of Beautification Awards
Ms. Eddy presented the staff report.
The Council recognized and congratulated the following businesses for making
substantial improvements to the exterior of their buildings and/or landscape in the
last year:
■ Cornerstone Automotive
■ Spikes Feed, Seed,and Pet Supply
■ Ralphie's Minnoco
■ Heritage Construction Companies,LLC
■ Landmark Motel and Extended Stay
They also recognized these businesses for consistently maintaining their property in
an attractive and well-kept manner:
■ The Bank of Elk River
■ Abra Auto Body& Glass
■ American Family Insurance—Bonnie Koste Agency Inc.
■ Cretex Companies
■ Atlas Staffing Inc.
7.1 ADA Transition Plan for Review and Comment
Mr. Femrite presented the staff report.
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City Council Minutes Page 4
November 6,2017
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Mayor Dietz opened the public hearing. There being no one to speak to this issue,
Mayor Dietz closed the public hearing.
Mayor Dietz questioned the timeframe. Mr. Femrite stated transition will be made as
items require repair. He noted this item will come back as a formal plan must be
approved by Council by the end of 2017 in order to be eligible for future funding.
8.1 Dancing Crane Acres Trail Easement
Mr. Leeseberg presented the staff report.
Moved by Councilmember Westgaard and seconded by Councilmember
Olsen to remove condition #4 of the Dancing Crane Acres plat requiring a 15'
trail easement on the east side of Meadowvale Road outside of the right-of-
way. Motion carried 5-0.
8.2 Discuss Work Session Items
Mr. Portner presented the staff report. He stated the Council will be discussing food
trucks and the tobacco shop distance requirements on November 20.
Mayor Dietz indicated he read in the newspaper Otsego is conducting a fire study
and questioned if that will delay our joint meeting. Mr. Portner indicated it would be
best to wait until their study is completed.
Councilmember Westgaard questioned when the sales tax item will be discussed
again. Mr. Portner indicated it will be added as an agenda item once he has additional
information,probably after the first of the year.
Councilmember Wagner stated this may not be a work session item but the weeds in
the medians and sidewalks along Highway 10 from Upland to Main Street are
looking bad. She said has been informed it is MnDOT's responsibility but
questioned if there is anything the city can do since it makes Elk River look bad. Mr.
Portner explained the city discussed with MnDOT before and it was added to their
Est and he believes if the city brings it up to them again they would be willing to fix.
9. Council Liaison Updates
Council provided updated on the activities of the various boards and commissions.
Mayor Dietz questioned if signs advising park goers to wear bright colors due to
hunting in progress at Houlton Park have been installed. Mr. Portner stated he will
look in to but there should be some sort of signage present.
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City Council Minutes Page 5
November 6,2017
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Council recessed at 7:12 p.m. in order to go into work session. Council reconvened
at 7:18 p.m.
10.1 YMCA Senior Services
Mr. Portner presented the staff report.
Molly Hanson,YMCA Executive Director and Anita Lancello Bydlon,YMCA
Chief Real Estate Development Officer explained based on preliminary discussions
the YMCA is willing to partner with the city to provide senior services at the YMCA
and requested Council direction.
Ms. Lancello-Bydlon indicated she believes the best option for expansion appears to
be a ground level addition and outlined multiple options.
Mayor Dietz questioned the cost. Ms. Lancello-Bydlon explained costs have not
been determined and would depend on the YMCA and city's arrangement. She
further explained it would also depend on the level of partnership between the
YMCA and the city. Discussion took place on various partnership options. Ms.
Hanson stated every agreement in every city is different and is customized based on
the community needs. She added they reviewed all of the current services the city
offers and there isn't anything the YMCA wouldn't be able to duplicate.
The Council questioned the next step. Ms. Lancello-Bydlon indicated the YMCA will
need a commitment from the city on the path they wish to take before proceeding.
Some members of the Council expressed concern with committing before knowing
costs and program details. Mr. Portner explained the YMCA will need a certain level
of commitment prior to entering in to discussions with the city. He stated there will
be some expense involved and he needs Council commitment to expend funds
before he can work out a plan.
Councilmember Westgaard stated the city will need to spend money to see the full
picture. He questioned if the YMCA would be willing to cost share costs to explore.
Mr. Lancello-Bydlon indicated she believes it is in the interest of both the city and
the YMCA. She noted it should cost less than$10,000 to explore.
Council consensus was for staff to prepare a Memorandum of Understanding
outlining approximate costs for review. Mayor Dietz expressed an interest in having
someone from the Council and recreation staff in attendance for discussions to make
sure everything is included.
10.2 Trunk Highway 10 and Main Street Redevelopment Plan
Ms. Othoudt presented the staff report and stated she is looking for general
feedback. She indicated she presented this item to the Housing and Redevelopment
Authority earlier this evening and the HRA's main concern was traffic generated by
the project. Staff will be researching and bringing back to the HRA.
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City Council Minutes Page 6
November 6,2017
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The Council questioned what changed since the school district property was
discussed earlier in the year. Ms. Othoudt explained both offers they received on the
property fell through and this could be an opportunity for the city to control the
purchase of the property through an assumable option agreement with a developer.
Council expressed the following concerns:
■ Adding traffic to an already congested area
■ Another construction disruption downtown
■ May be best to allow the private market dictate development
Ms. Othoudt explained she will be presenting a traffic analysis to the HRA in
December and will do so for the Council as well. She added she will also be
evaluating the timeline as the HRA felt it was too aggressive.
10.3 Semi-truck Parking on Residential Streets
Chief Nierenhausen presented the staff report. He explained he noted a gap in this
issue when he was researching the city's ordinance. He noted the issues are addressed
but in different portions of the code. He believes the issue would be best addressed
under the parking portion of the ordinance so it can be enforced accordingly. Chief
Nierenhausen indicated he will work with Attorney Baumgartner as he recently
assisted Anoka with a similar update.
Council consensus was for the ordinance amendment to come back on the consent
agenda.
10.4 Sewer Access and Water Access Charge Fees
Mayor Dietz indicated he asked for this item to be on the agenda so the 3%increase
can be justified.
Mr. Femrite explained the history of the increase is consistent with what is detailed in
our most recent rate study. He further noted staff continues an annual review to
assure the balance in the enterprise fund is consistent with projections of the rate
study.
10.5 2018-2022 Capital Improvement Plan
Ms. Ziemer and Mr. Femrite presented the staff report and discussed various capital
outlay projects and capital improvement funds.
Mayor Dietz expressed an interest in paying off Pinewood debt using the GRE
Reserve Fund. Council consensus was for staff to prepare this as an upcoming
agenda item. Ms. Ziemer questioned if the Council wants the item to come before
them now or when the management agreement ends. Consensus was to prepare it
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City Council Minutes Page 7
November 6,2017
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now. Councilmember Ovall questioned if the GRE Reserve Fund would be
replenished if the golf course was sold in the future.Ms. Ziemer indicated it would.
Mayor Dietz expressed an interest in using the GRE Reserve Fund for other
projects. Mr. Portner recommended the fund be used for one time purchases and
not ongoing operations or maintenance.
10.6 2018 Budget
Ms. Ziemer presented the staff report.
Mayor Dietz indicated he would like to see portable bathrooms in Houlton and
Hillside year round.
Councilmember Olsen stated the Parks and Recreation Commission discussed
bathroom facilities in parks. Mayor Dietz explained his understanding from
discussions with Mr. Hecker is portable bathrooms at these locations are not
included in the budget. Mr. Hecker estimated the cost at about $4,000 for 2018.
Ms. Ziemer indicated it may be possible to use savings in other park maintenance
expenditures line items to fund the portable bathrooms in 2018. She recommended
waiting to see how the expenditures come in for the year. Mayor Dietz stated he
would like the bathroom facilities installed and find a funding source later.
Council consensus was staff accomplished what was requested as it relates to
reduction of the budget. The Council agreed further budget reduction would require
reduced programs or positions.
Mr. Portner indicated staff met with members of the downtown affected by the
recent sewer pipe malfunction. He explained downtown business owners may be
coming forward to Council to request a Petition and Waiver for the city to cover the
cost of the replacement pipe to be reimbursed by the business owners according to
our assessment policy.
11. Adjournment
There being no further business,Mayor Dietz adjourned the meeting of the Elk
River City Council at 10:13 p.m.
Minutes prepared by Jessica Miller.
John J. Dietz,Mayor
Tina Allard, City Clerk
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