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02-05-2018 CCMMeeting of the Elk River City Council Held at the Elk River City Hall Monday, February 5, 2018 Members Present: Mayor Dietz, Councilmembers Olsen, Ovall, Westgaard, and Wagner Members Absent: None Staff Present: City Administrator Calvin Pormer, City Attorney Peter Beck, Parks and Recreation Director Michael Hecker, Recreation Manager Steve Benoit, Recreation Coordinator Tim Dalton, Recreation Administrative Coordinator Tonya Love, Arena Manager Rich Czech, Farmer's Market/Event Coordinator Karen Wingard, Economic Development Director Amanda Othoudt, Police Chief Ron Nierenhausen, and City Clerk Tina Allard Call Meeting to Order Pursuant to due call and notice thereof, the meeting of the Elk River City Council was called to order at 6:40 p.m. by Mayor Dietz. 2. Pledge of Allegiance The Pledge of Allegiance was recited. 3. Consider February 5, 2018, Agenda Moved by Councilmember Wagner and seconded by Councilmember Olsen to approve the February 5, 2018, agenda. Motion carried 5-0. 4. Consider Consent Agenda Councilmember Wagner noted three corrections to the January 16, 2018, regular meeting minutes. Moved by Councilmember Wagner and seconded by Councilmember Olsen to approve the following consent agenda: 4.1 January 12, 2018, Special Minutes January 16, 2018, Regular Minutes (with corrections) January 16, 2018, Closed Minutes 4.2 Check register, check numbers 9925-9928 and 104720-104923 as outlined in the staff report. 4.3 Temporary On Sale Liquor License to Elk River Rotary Club for Taste of Elk River, May 17, 2018 with the condition alcohol must be limited to an area enclosed by fence with a secure, controlled access. Wrist band control is also required. City Council Minutes Page 2 Febmary 5, 2018 ----------------------------- 4.4 Hire Katie Porath for Records Specialist position effective February 14, 2018. 4.5.A Hire Matthew Bonebrake as Street Maintenance Operator II effective February 12, 2018. 4.5.B Hue Kevin Anderson as Street Maintenance Operator II effective February 6, 2018. 4.6 Adopt Resolution 18-08 authorizing a transfer from the General Fund to the Pinewood Golf Course Fund. 4.7 Purchase of a 2018 Elgin Pelican Dual Gutter Broom Sweeper. Motion carried 5-0. Open Forum Jack Lorge, 19490 Lowell Street, stated he is here to speak on behalf of area seniors. He expressed his thanks to the city for taking care of its senior population. He further stated the seniors felt very fortunate for the amenities available to them. He distributed thank you cards from the seniors. Jim Peppin, 18266 Concord Street, stated Elk River is a wonderful community to raise a family. He stated seniors make good use of the Activity Center. He stated he would hate to lose the activity center and hopes the Council will keep in mind seniors are here and the center is a wonderful place to go. Mayor Dietz stated he's had previous conversations with the seniors and has stated they will have, at a minimum, the amenities they are currently being offered, and may even have more in the future depending on how the Council proceeds with the Activity Center building. 6.1 Annual County Prosecutor/Attorney Presentation Sherburne County Attorney Kathleen Heaney and City Prosecutor Scott Baumgartner presented their reports. Ms. Heaney discussed recent case activity involving the Elk River Police Department: forged prescriptions and a methatnphetamine/traffic stop. She discussed the extraordinary work of the police department, which helped in getting convictions. She farther noted the police department is always very professional and caring and follows through on case work. She thanked the police chief for his work and thanked the Council for approving an officer to the drug task force. Mr. Baumgartner stated he works with many police departments and the Elk River Police are the best as they are always professional and courteous. He stated drinking and driving campaigns seem to have helped bring awareness to the issue and reduced driving while intoxicated cases in the city. He discussed the adult diversion program. 101'1111 er NATURE City Council Minutes Page 3 February 5, 2018 7. Public Hearings There were no public hearings. 8.1 Reconsider Recreation Facility Referendum Ms. Wagner stated she would like to pause on the current arena project. She stated she would be making a motion against the bond sale, the next item on the agenda. She stated one of her goals as Councilmember was to change public perception of citizens that their voice is not heard and the Council does what it wants to do. She stated this is why she volunteered to be on the original facilities task force, which ultimately recommended a multipurpose facility to create efficiencies and expand city services for already owned city buildings. She stated after hundreds of hours of work she felt the multipurpose facility was the best use of tax dollars to fix ailing buildings that wouldn't consider our future service level needs or bring any additional economic prosperity to the city. She noted this led to a failed referendum which has brought us to where we are today with Plan B, the arena project. Councilmember Wagner stated she takes responsibility for voting for Plan B even though she always felt the original multipurpose facility, along with the other improvements, was the right thing to do for the community. She stated after discussions with many people who supported the differing plans she feels there is need for Council to step back and have a thorough discussion to make sure Plan B is truly the right answer. Councilmember Wagner stated she would like staff to prepare a preliminary draft 2019-2020 budget to show how bond service payment would affect the overall budget and subsequent levy. She stated she was very uncomfortable with capital expenses and future needs during the last budget cycle and she feels Council hasn't done an adequate job looking at the big picture and how it affects taxpayers. Councilmember Wagner feels past process has created a loss of public trust: the very thing she hoped to restore. She stated the city needs to do a better job at disseminating information to the community. She further stated the public needs to do their part. She stated typing and spreading false information and making harmful, slanderous accusations is quite reckless. She stated Council meetings and city hall are open to the public and the Council is here to serve the community, not keep secrets. Councilmember Wagner reiterated she would like to take a few days to think about the project options. Councilmember Olsen noted a lot of money has been committed to Plan B and questioned how to retreat from that expense. Councilmember Wagner agreed further staring she takes responsibility for her own decisions on this project. She stated it is a lot of money but not a reason to stop a $20 plus million dollar project. She stated she is not asking for the plan to go away rorclEI Ir NATURE City Council Minutes February 5, 2018 Page 4 but wants a few more days to think and discuss the project further and to review funding options. Mayor Dietz noted there are two contracts, engineering and construction manager, for the current project and questioned how they would be affected if Council paused the project. Mr. Portner stated staff would need to review contract language. He further stated without a formal Council decision he isn't sure anything can be changed yet. He stated he would need a Council motion to halt the current project; otherwise the work would continue. He stated the city has incurred costs related to the contracts. Councilmember Olsen expressed concerns with the timelines and whether the work can be delayed. Mr. Portner stated the next item on the agenda does not initiate anything except staff beginning the preparation work for the bond discussion. He stated the city doesn't have a way to pay for this type of project without utilizing bond debt. He stated if Council wants to stop the current arena project this is the last opportunity to do so. Council concurred to discuss this item at their Thursday meeting and have the meeting play live on the cable channel. 8.2 Resolution Directing Staff to Prepare for Bond Sale Mr. Portner presented the staff report and reviewed design schematics for the current arena project outlining some of its multiple uses. Mayor Dietz questioned the acoustics of the building because sometimes the outdoor concerts are rained out and need to be moved indoors. Mr. Portner stated concerts could be held in the building along with some other events like the Rotary Taste of Elk River event. 8.3 Discuss Work Session Items Mr. Portner presented the staff report. 9. Council Liaison Updates Council provided updates on activities of the various boards and commissions. Energy City • EV charger, at Coborn's getting use. Fast charger most popular option. • Bicycle -friendly grant denied. • Meters in city buildings to track consumption. Council may want to consider for arena. Partners offer to share their monitoring software with the city 10Nf0El I NATURE City Council Minutes February 5, 2018 Page 5 Heritage Preservation Commission ■ Lack of Quorum at last meeting and this is second or third time cancelled. Mr. Portner stated staff is evaluating the long-term needs of the commission and noted commissioners lose interest when there is no project work. Library ■ Held annual meeting in January. ■ Ordered new ADA accessible tables with benches for outside. New waste/recycling bins ordered. Want to encourage outside seating. ■ GRRL fundraiser locally grown. All funds stay local. • GRRL upgrade digital system to Access360. • New hours have been very positive and averaging 25-30 patrons. Planning Commission • Worksession meeting to discuss various ordinance amendments to simplify city process. Utilities ■ Water department award for water fluoride quality. • Territory acquisition. Highway 10 streetlights maintenance transfer to utilities. ■ Multi -billing cycle. Parks & Recreation ■ Outdoor skating rinks. ■ Deer herd management update. • Update on facilities plan. • Revised trail plan. Much more detailed. • Andy Solva recognition, MRPA Jack Niles professional award. Arena ■ Facilities update Councilmember Wagner stated she attended the Elk River Ambassadors crowning. She noted the volunteer group does a lot of work to pull the program together. Council recessed at 7:46 p.m. in order to go into work session. Council reconvened at 7:52 p.m. 10.1 Jackson Hills Residential Suites, LLC, and Elk River Lodge Suites, LLC Housing TIF Application Ms. Othoudt presented the staff report. She stated staff reviewed city policy and the maximums as set by state statute. She stated staff reviewed the applications based on the city's policy. PIIEIEI 11 NATURE City Council Minutes February 5, 2018 Page 6 Ms. Othoudt stated the applicant is requesting to pool the two projects, which is not specifically addressed in city policy. She stated her recommendation is to consider Jackson Hills and Elk River Lodge Suites as separate projects. She stated the Hills project, as a stand-alone project, can be justified through the affordable housing needs study and it fits within the guidelines of city policy. She stated the Lodge project, as a stand-alone project, does not meet policy guidelines as it doesn't generate increment based on the analysis provided by Springsted Consultants. Ms. Othoudt stated the garages in the Lodge project site would add about $87,500 worth of new value. She noted the applicant has pulled a permit for the Lodge project and already commenced construction. She stated construction has already commenced on the Lodge project and it would be a difficult argument to meet the but for analysis. She further stated the applicant is legally obligated to build a 25 -unit garage and have onsite parking spaces to convert his property from an extended stay hotel. She stated the applicant is required to construct the garages/parking with or without Tax Increment Financing (TIF) in order to make it a legal use. Ms. Othoudt stated the Finance Committee looked at this project pooled together and based on city policy, identified more than one public purpose that met the requirements to extend the terms of the TIF. She stated the Committee recommended approval for the project for 26 years. Ms. Othoudt stated the Housing and Redevelopment Authority reviewed the project and noted two of the five commissioners abstained from voting, one was absent, which left two to vote. One member agreed with the Finance Committee's recommendation of a 26 -year term for a housing district and the other was more interested in looking at the policy and the two applications as a separate project. Ms. Othoudt discussed the options for Council. She stated Council could move forward with the Jackson Hills project and call for a public hearing on February 20, 2018. She stated if the Council doesn't feel the project meets city policy objectives, the project would be dead and come back to Council for formal denial. Ms. Othoudt noted city policy sets the maximum term at 15 years but state law sets it at 26 years. Councilmember Ovall questioned the standards for other communities and if the city is putting itself at a disadvantage by setting a policy maximum of 15 years. Mikaela Huot, Springsted, explained the different districts and stated most communities have a goal to reduce the terms of the district to the amount of TIF needed; hopefully for less than 25 years, noting housing districts are more unique than other districts and have more flexibility on what the dollars from the TIF district can be used for. She stated typically they are for acquisition, site development, anything prior to vertical development, and housing costs. She stated it really comes down to city policy, which is tied to community goals, and some may go the longer term because they really need affordable housing. She stated by providing a housing district, an applicant is agreeing to the affordability for the maximum term rorEe[e er �rIATU oil City Council Minutes February 5, 2018 Page 7 of 26 years. She further noted the term can be longer for rural communities due to construction costs and needing to close the gap. Councilmember Ovall asked what the average term is for other communities considering establishing a housing district. He also asked Ms. Hour about pooling increment as there is confusion if it both projects need to be TIF eligible for pooling. Ms. Huot stated she has seen Housing District terms anywhere from 15 to 25 years depending on the individual housing needs of each community. Ms. Hoot stated pooling is defined as the spending of tax increment dollars from a specific tax increment district within a defined project area. She stated it is the taking of tax increment dollars from a particular TIF district and spending them on qualifying uses outside the boundaries of that district. She discussed how the districts can be different along with the percentage of dollars pooled. She stated housing districts have the most flexibility meaning a city can spend the dollars anywhere in the city as long as they are on a qualifying project. Councilmember Ovall stated this is an important distinction and that a project receiving pooled increment does not have to be a qualifying TIF district as long as the project has an affordable housing component to it. He questioned if this is a TIF -eligible project because it does create an increment, but based on Ms. Huot's comments, it seems to be geared more towards affordable housing and percentage. Ms. Huot stated, based on the two current project criteria, it would not make any sense to create a district for the Lodge project because it doesn't generate any increment. She stated the only way for this project to receive any increment would be from some other funding source. Councilmember Ovall affirmed the Lodge could qualify for pooling under the statutory uses. Ms. Hoot stated as long as there are capital expenditures and it meets the affordability criteria. Councilmember Ovall stated the base issue to consider is whether the Council wants to veer from the 15 years outlined in city policy. He noted the intent from the applicant is to pool the projects in order to use the increment for capital improvements at the Lodge, which there is capital improvements and it would meet the affordable housing guidelines. Mayor Dietz questioned if the city is requiring the applicant to make the Lodge into an apartment building. Ms. Othoudt stated he is doing it by choice because he is required to do the repairs per city ordinance, noting it is currently an illegal non -conforming use. 10/EAEI B1 NATURE City Council Minutes February 5, 2018 Page 8 Mayor Dietz questioned what the advantage would be to the city when the applicant is required to do the work anyway. He stated he didn't feel this project was a good use of TIF funding. Councilmember Wagner agreed with Mayor Dietz and further questioned what kind of capital improvements would happen at the Lodge because her understanding is the garages are already required code improvements. Ms. Othoudt noted the building permit has already been issued for the garages. She stated the applicant wants to refinance existing debt in order to construct the garages. Councilmember Oval] stated this isn't germane to the conversation and the issue is that in order to qualify for pooling, the increment is being used for capital improvements, not whether or not the project started and then second, do we want to change policy regarding the maximum term allowed and then does the city want to allow pooling. He stated current city policy doesn't have language regarding pooling. HRA Chairman Larry Toth stated he doesn't feel the two projects should be pooled together. Ms. Huot discussed state law and noted each year there is more proposed legislation to make pooling more restrictive. She stated the intent is for more single stand-alone projects for a lesser amount of time. She stated the majority of cities utilizing pooling have already established programs/policies where they peel off increment from each established district to finance into an affordable housing pool. Councilmember Ovall noted it is a more forward used tool than fixing old. Pat Briggs, applicant, stated this is a solution to help the Lodge, based on their submitted application six months ago, a vacant building that needed to be converted. He stated the Lodge will not happen if the Jackson Hills project does not move forward. He stated in order for us to help make the Lodge the best project we can make it, this was a way we could all work together on it. He stated if he doesn't build this project, the increment isn't there. He stated the reason this application was submitted was to help solve the challenges at the Lodge. He stated the dollars he submitted to recapture are 15 years for these two properties, so from his interpretation of how the policy is written, it actually is for 15 years. He further noted it really is one project because it is the same people. Mayor Dietz stated he has difficulty with Mr. Brigg's comments because the city has already told him what has to be done for the Lodge. Mr. Briggs stated direction was only for a portion of the project because they will be improving it in many areas, including completely new driveway, ripped out all the rock bed, regraded around the perimeter, put all new irrigation in, brought in 75 PRYfREI R1 INATUREI City Council Minutes February 5, 2018 Page 9 plants/shrubs, repainted the exterior, and replaced the entire fire alarm panel system that wasn't required by code but now exceeds its new air handler system. He stated by applying for the Lodge six months ago, he didn't get approved. He stated he was working together with Ms. Huot and they thought this would be a good solution to help the Lodge by reapplying six months later to use it for pooling. Councilmember Westgaard stated he struggles with the improvements as changes in occupancy for the Lodge wasn't driven by the need, on the city's behalf, for the city to provide affordable housing and was driven strictly by Mr. Brigg's private business need. He questioned the benefit of pooling for the city. Mr. Briggs stated he could move everyone out of the Lodge and let it go vacant and deteriorate or create and affordable housing project in good faith. Councilmember Westgaard noted the Lodge property wasn't dilapidated until a few years ago and all the city requested was improvements necessary to make it an apartment building to meet the use Mr. Briggs requested. He further noted the Lodge wasn't vacant six months ago and was an income property not being used as permitted by city code. Mayor Dietz stated the applicant is asking for TIF funding for work that is already required and he will not vote for the project. He further stated he didn't appreciate the applicant threatening the Council. He further questioned why the city would get involved in paying for a benefit to a private business. Mayor Dietz stated he would like to leave the term at 15 years in city policy and recommends no TIF funding for the Lodge project. Councihnembers Wagner, Westgaard, and Olsen concurred. Ms. Huot commented she never represented the developer as indicated earlier. She further stated as part of her review she did have discussions with the applicant on behalf of the city in order to understand his needs, noting it is common to have to work with applicants on city's behalf. 10.3 Summer Festival Events Mr. Benoit presented the staff report. Mayor Dietz stated he likes the ideas presented but is not sure he is in favor of all the dates outlined with the open streets concept. He suggested trying the concept once to see how the program works. He stated if the fireworks will continue to be shot from the School Street area then the program will need to end early so people have time to stage for the fireworks and there are no traffic issues. He questioned where the additional $3,000 for the road closure would come from and how a beer garden would be staffed. r0rtltI It NATURE City Council Minutes Page 10 February 5, 2018 Mr. Benoit indicated costs haven't been worked out yet. Councilmember Ovall stated it seems like a lot of events are being proposed for a small section of street area that would be utilized. Councilmember Wagner stated she doesn't think Highway 10 needs to be affected and the city could consider a smaller street closure. She stated if the term "river" is included in the event's name; why not incorporate use of the lower parking lot. She suggested leave the parking plaza for parking. She stated she was adamantly against starting the event in summer 2018 because she struggles with having to plan it in a short timeframe and not having as good event to draw people in future years. She expressed concerns with the Independence Day timeframe as it is one of busiest weekend of the year and most people leave town. She stated she likes the idea of smaller events. She stated she is not sure how she feels about the city hosting a beer garden versus a business. She questioned if this would be a volunteer or Chamber - prepared function. She suggested the Rivers Edge Downtown Association handle the event. She stated she struggles with the resources to handle the event. Representatives from Aegir Brewing stated they would love to participate and sponsor a beer garden and are more than willing to help out. Debbie Rydberg, Elk River Area Chamber of Commerce, stated she agrees with Councilmember Wagner's comments about planning an event for this year based on her event planning experience. She stated it is better to take the time and plan a good quality event. She stated there is a lot of marketing and moving pieces and expressed concerns about staff time due to their current workloads. She suggested waiting a year. She stated with the Plan B layout in the presentation she has concerns about blocking the back parking lot area behind the businesses; noting they won't be happy and their regular patrons won't have access. She suggested not closing Main Street but utilizing King Avenue, the lower parking lot, and the park. She stated five months is not enough time to work with the business community. Councilmember Wagner noted the downtown businesses will not be happy if their businesses are not filled during the event. She further stated this is also not the city's problem. She stated she doesn't support this event for 2018. She stated she supports a reach out to businesses to see if they will partner together and do something similar to this proposed event. She stated it has been a desire of the Rivers Edge Association to close the street and do an event. Councilmember Olsen stated he likes the idea of closing King Avenue, the lower lot and the park noting events could be consolidated to fit the space. He suggested starting simple the fust year to see how it goes and keep costs to a minimum. He further stated the August dates might work better to get more attendance. Mayor Dietz expressed concerns with moving the fireworks because they are a big draw. He suggested possibly taking a quick survey of downtown businesses. He believes a city event is more likely to happen if it is city driven citing the difficulty in �oreRl� of MATURE City Council Minutes February 5, 2018 Page 11 getting volunteers. He stated he is against moving the fireworks downtown due to traffic concerns expressed by the police department. He suggested talking with the liquor establishments to see what will work for a beer garden. Mr. Hecker suggested evaluating, a few years from now, shooting fireworks from Baily Point Ms. Wingard stated businesses can be more eager to assist with a community event, when the event is scheduled near them. She stated the more downtown businesses we can incorporate into the event, the more there is a community feel to it along with less issues arising. Ms. Love noted decisions need to be made quickly and expressed concerns with having time for marketing; particularly noting if an event is held, a name needs to be decided upon. 10.4 Food Trucks Ms. Allard presented the staff report. Mayor Dietz stated he doesn't feel Main Street is a good option in the core downtown area and suggested moving it further west. Councilmember Wagner expressed concerns with designating specific food truck spots on street parking areas on Main Street. She suggested allowing them to park in the city lot on the north side of Highway 10, noting it also doesn't help the taproom with their needs. Councilmember Ovall expressed concerns with the lower city owned parking location, especially in the winter time with the distance for carrying food to and from the taproom. Councilmember Wagner questioned Aegir if they would be okay with applying for a special permit to be able to have food trucks on certain dates. Aegir representatives stated yes. Ms. Allard noted there is still the issue of where a truck would be allowed to park. She questioned if Council would be interested in considering the Main Street parking plaza. Council indicated no. Aegir representatives stated they never wanted to advocate for utilizing public streets in front of businesses and would prefer a truck in the parking lot behind their building, noting the two spots located on the east side of the lot would work for them. Aegir noted there are delivery trucks in that lot throughout the day and they 1R11RIR Ir NATUR City Council Minutes February 5, 2018 Page 12 sometimes block access to his business for up to an hour. He stated if Council is concerned about a food truck, then they should also consider not allowing delivery trucks in the lot, but he also understands all the businesses need the deliveries too. Ms. Allard expressed concerns with the stacking of customers if the two east parking spots are utilized. Aegir representatives stated they have a patio customers would be sitting at and there would not be stacking of customers at the truck. The stated if the truck was in the back parking lot it would help reduce their visibility. Council felt this was the best compromise for everyone and removes the truck site lines from the public. They further suggested allowing the food trucks via a special event permit. Mayor Dietz expressed concerns with other entities wanting a special event permit for downtown for food trucks. He stated he liked the idea of using the city lot on the north side of Highway 10. Councilmember Wagner agreed stating there are street lights for customers to cross the highway, it gives the food trucks good visibility, and may encourage others to use those lots. Mr. Portner stated we are trying to solve a problem that doesn't exist and suggested we designate the two easterly parking spots as food truck parking via special event permit only to see how to works. He noted the ordinance can always be amended. He stated traffic circulation in the lot is slow because the lot is tight and planning likes calming measures in parking lots, noting a food truck will help with canning. Councihnember Wagner stated the restaurants might not like this but it's an opportunity to see what happens. Ms. Rydberg suggested not locking into a designated parking spot but to leave it open in case other businesses want a truck somewhere else in the downtown. Mr. Portner expressed concerns with city staff making a judgement on the location because the downtown is a controversial location. Ms. Rydberg expressed concerns with signing a designated food spot in the middle of the parking lot. Council further noted the two designated spots wouldn't be blocked all the time for food trucks; only when a permit is requested. Mayor Dietz stated the police department could block off the spots when needed. 10.2 Parks and Recreation Proposed Fees A ►�O jtF 'B�"E I e r \/'111 URS City Council Minutes February 5, 2015 Page 13 Mr. Hecker presented the staff report. Mr. Hecker asked Council to start thinking about the percentage of operating cost they would like to recover for the various activities. He indicated other cities charge fees to offset operations and maintenance of playfields and facilities. He said some athletic associations currently pay field rental and others do not. He stated the athletic groups are aware the city is reviewing the fees but staff hasn't formally met with them yet. Mr. Portner stated the city spends about $200,000 a year in operational costs on three complexes: Oak Knoll, Youth Athletic Complex, and Dave Anderson Athletic Complex. He stated, as a comparison for the Ice Arena, 100% of the operational costs are paid for by the user groups. He stated traditionally people didn't pay for parks or playfields. He noted there are two things to consider: how much should the city subsidize the youth associations with city tax dollars and how equitable are user fees among groups. He noted there is $9 million worth of improvements coming in the future without any funding resources. He stated, depending on Council philosophy, the city could shift the operational costs to the users and taxpayers could pay for the capital improvements. He stated this would create a long-term sustainable plan for funding facilities. He noted there are a lot of factors to discuss. He stated if the Council wants to capture 60%, they don't need to implement it all in the first few years but could work towards it over a period of time. Mr. Hecker reviewed the Activity Center operations compared to other centers in Minnesota. He noted Elk River's operating budget, at $250,000, for senior activities is one of the largest in the state, noting the activity center budget numbers presented tonight doesn't include building and grounds maintenance services. He also questioned Council about the percentage of operating costs they would like to collect from senior users. Mr. Pormer stated Council may not find a number to offset the costs noting the outgoing costs are high due to the expense of the current facility and the lack of multipurpose use space available. He stated the current facility can't be rented out for new revenue without disrupting the current users. Councilmember Wagner questioned why the $250,000 activity center budget is so different from other peer cities. Mr. Hecker stated part of the reason is because Elk River has a dedicated building and two full-time staff. He stated other centers may be connected to other facilities and can be open more hours for rental purposes. Mr. Hecker reviewed the Ice Arena budget and fees. Councilmember Wagner stated she would be interested in what each association is paying for facilities based on numbers we are already using whether they are up front rental or for field improvements. 1AtFAE1 BY NATURE City Council Minutes February 5, 2015 Page 14 Councilmember Ovall stated the city needs to recapture as much direct expense as possible and feels the capital investment is the link the city has been missing. He stated he doesn't want to detract from what associations have given in the past and would like to give them pay back so they all pay the same. II. Adjournment There being no further business, Mayor Dietz adjourned the meeting of the Elk River City Council at 10:45 p.m. JoYn J. D --4, Tina Allard, City Clerk iPOF1EAt® ®V UTUI �',