01-21-1991 CC MIN - SPECIAL
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SPECIAL MEETING OF THE ELK RIVER CITY COUNCIL WORK SESSION
HELD AT THE ELK RIVER CITY HALL
MONDAY, JANUARY 21, 1991
MEMBERS PRESENT:
Mayor Tralle (6:45 p.m.), Councilmembers Schuldt,
Holmgren, Kropuenske, and Dietz
MEMBERS ABSENT:
None
STAFF PRESENT:
Lori Johnson, Finance Director; Terry Maurer, City
Engineer; Phil Hals, Street/Park Superintendent; and Pat
Klaers, City Administrator
1. Call Meeting to Order
Pursuant to due call and notice thereof, the meeting of the Elk River
City Council work session was called to order by Vice Mayor Schuldt at
6:30 p.m.
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Discussion on Capital Improvement Program
The meeting began with a brief discussion on possible cuts in Local
Government Aid and other finances provided by the State. It was
indicated that at least a $45,000 cut in Local Government Aid can be
anticipated with additional Local Government Aid cuts being very
possible, as well as reductions in other funding sources. The City
Administrator noted that Local Government Aid goes into the City
General Fund and does not directly affect the Capital Improvement
Program (CIP). However, in order to make up the loss of Local
Government Aid, it may be necessary to utilize some reserve funds which
may reduce future Capital Improvements.
The City Administrator reviewed with City Council the status of the
Capi tal Improvement finances, along with a brief update on the status
of ongoing projects. The majority of the financial discussion related
to the status of the Municipal State Aid (MSA) fund, the Capital
Projects fund, the Equipment Reserve fund, and the Landfill Surcharge
fund. The other funds available for Capital Improvements, but which
are used to a lesser degree, were briefly reviewed. Discussion took
place regarding the future use of the NSP contribution. It was noted
that the highest priority for these funds is for land and public
facili ties but no official designation of these funds will take place
at this time.
Review of the status of the 1990-94 and the "pending" Capital
Improvement Projects took place. Completed projects were identified
and potential new projects were discussed. It was noted that all of
the projects listed last year were deemed to be still valid and
important to have retained in the Capital Improvement Projects list.
Addi tional projects noted for inclusion in the Capital Improvements
Projects list include: Naples Street improvement project, Highway 169
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City Council Minutes
January 21, 1991
Page 2
acceleration lane, Highway 169 turn lane at 5th Street, 173rd/175th
Street improvement, and Orono Park expansion.
In review of the Capital Improvement Projects list, it was noted that
as in 1990, a number of timing and financing issues remain unresolved
for some high priority projects. These projects include Dodge Avenue,
5th Street, and Railroad Drive improvements.
The City Council took a ten minute break and reconvened at 8:45 p.m.
At this time, the City Council began formation of the 1991 Capital
Improvement Work Program. The basis of this program was the 1990
Capital Improvement Program. As in the 1990 CIP, many of the 1991
projects will take more than one year to be finalized.
173rd Railroad Crossin~ - Work has been progressing on this
project. The Council indicated that this project is a high
priority. It is anticipated that the railroad crossings would be
installed and the street would be improved in 1991. Funding for
this project would come from MSA funds. Anticipated costs for the
project are $81,000 for the railroad crossing and $64,000 for the
associated street improvements.
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Sidewalk Replacement - The sidewalk and pathway plan and policy
was approved by the City Council in 1990. Staff was instructed to
follow-up on the sidewalk reconstruction project in the old core
village that began in 1989 with the removal (and replacement with
bituminous surface) of some sidewalks. Part of the project would
be a City financial responsibility. Up to $30,000 has been placed
in the Capital Projects fund for sidewalk replacement over the
next five years.
Waco Street Bri~ - Staff was instructed to continue with the
necessary paperwork to have this project move forward for
construction in 1994. The City Engineer noted that right-of-way
property, which is in the floodplain, needs to be purchased in the
next 18 months. In 1990, the Council identified $125,000 worth of
funds for this purchase, all of which would be reimbursable to the
City from Federal Funds. This purchase would temporarily be
financed from various funds. The funds discussed were $50,000
from the Capital Projects fund, $50,000 from TIF #1 and #3, and
$25,000 from the Self Insurance fund. In planning for this
purchase in the next 18 months, the City Council decided to use
$50,000 from the Capital Projects fund, and $75,000 from the Self
Insurance fund and not utilize any TIF funds for this expenditure.
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Westwood Addition - This project calls for street, water, storm
sewer, and sanitary sewer improvements. The Ci ty Council
instructed staff to proceed with this project, so that
construction can take place in 1991. A resolution to update the
1985 feasibility study for this project will be presented to the
Ci ty Council in February. Informational notices will be sent to
property owners shortly thereafter. The majority of this project
is anticipated to be assessed to benefited property owners. City
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City Council Minutes
January 21, 1991
Page 3
participation is anticipated with the storm sewer portion of this
project. Up to $80,000 has been dedicated for storm sewer in the
Westwood Addition from Capital Project fund. Other funds, if
necessary, would have come from the Street (Landfill) fund.
"Da~Brigg~ - The City Engineer indicated that the paperwork
for this improvement is moving forward in a timely fashion.
Construction is anticipated in 1992. Almost all of the funding
would come from non-city monies. The City Council discussed
possible improvements to Main Street and utility extensions in the
area west of the dam bridge up to the "Y." In this manner, this
stretch of road would not have to be under construction again in
the future when and if major utility expansions in the western
area of the City take place. No consensus was reached on the
street and utility improvements associated with this dam bridge
replacement project.
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19~rd Si~nal It was noted that a commercial development
project is anticipated on the southeast corner of the intersection
of 193rd Avenue and Highway 169. Staff has indicated to the
developer that this commercial development may generate sufficient
traffic to warrant a street signal at this intersection and that,
as such, the developer would be responsible for a certain amount
of the cost for the signal installation. The City Engineer
indicated that if the signal is to be installed in 1992,
notification to the MnDOT office in Brainerd needs to take place
in early 1991. Direction by the City Council to have the City
Engineer contact MnDOT regarding the signal installation in 1992
is anticipated in the next few months. The City share for this
project is estimated to not exceed $30,000 and would come from MSA
Funds.
RailroaQ_Drive._-1tD.cL 3rd---A'yeI1J!.~ - The City Council acknowledged
that no MSA funds would be available for this project in 1991.
Staff was instructed to complete some initial studies regarding
improvement of this street and intersection. Discussion took
place whether this project was a higher priority than improvements
on Dodge Avenue, which would be competing for the limited amount
of MSA funds that would be available in 1992. In addition to MSA
funds, some assessments would be required, along with a
contribution from the Capital Projects fund and Street (Landfill)
fund.
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Dod~e Aven.ue and 5th Street - The City Council discussed the
needs of Dodge Avenue and 5th street. It was noted that 5th
Street could be a relatively simple street project or a
comprehensive street and utility project. It was desired by the
Ci ty Council to have a petition for this project before
proceeding. Staff was was instructed to begin initial studies for
improvement of Dodge Avenue. Funding for the Dodge Avenue Project
would come from MSA funds and assessments. Funding for the 5th
Avenue Proj ect would come from a mul ti tude of sources including
assessments, MSA funds, Capital Projects funds, and Street
(Landfill) funds.
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City Council Minutes
January 21, 1991
Page 4
~ro9~_~Ayenue - It was acknowledged that improvement of the
School Street and Proctor Avenue intersection took place in 1990
and that initial approval from the County Board for the further
expansion of Proctor Avenue has been received. Staff was
instructed to proceed with this project in order for construction
to take place in 1991. The majority of the funding for this
project will come from the County but some City participation will
be required. MSA funds in the amount of $50,000 are estimated to
be needed. Up to $25,000 worth of Capital Project funds have also
been dedicated for this project. These funds may be recaptured
through assessments to benefited property owners. The project
includes expansion of street to a four-lane; sidewalks;
improvement to the sanitary sewer, storm sewer, and water systems;
installation of street lights; and realignment of the railroad
crossing signals. Also, the closing of the frontage road (6th
Street) running along Highway 10 on the east side of Proctor
Avenue needs to be reviewed.
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Tax Forfeited Properties - It was unknown whether or not any tax
forfeited properties would be desirable or available in 1991.
Funding for such purchases would have to come from the Capital
Projects fund, as authorized by the City Council. Remaining
speci al assessments, if any, on the propert i es would be lev i ed
against the entire City over the next few years.
Main Street/Hi~hway 169 Intersection - The City Engineer noted
that progress has been made on this project and a decision from
MnDot is expected soon regarding available funding in 1991. If
unsuccessful, the City would apply for funding for this project in
1992. The City Engineer indicated that almost the entire project
is MSA fundable, but that the scope of the project has increased
since preliminary discussions in 1990. The cost of the project,
including purchase of necessary right-of-way on the south side of
Main Street, both east and west of Highway 169, is estimated at
$175,000. It was noted that some of the cost of this improvement
may be assessed to benefited property owners. It was also noted
that a potential "right-on right-off" on southbound Highway 169
and northbound Highway 169 is being requested in conjunction with
this project. The design for this intersection would be two lanes
in each direction with a turn lane in the center as traffic moves
in a east/west fashion.
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Street Overlay and Sealcoatin~ Pro.iects The City Council
concurred to proceed forward as budgeted for the annual
sealcoating and overlay projects. These projects are financed
through the City General Fund. Combined expenditures in the range
of $75,000 for these projects are anticipated in 1991.
Authorization for action on these projects by the City Council is
necessary in the spring of 1991.
Ka~Q.r west Hi..,ghway 10 Utilities - Staff was instructed to
continue to monitor the situation and update the two existing
engineering studies for these projects. The update would include
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City Council Minutes
January 21, 1991
Page 5
the utilization of the land use planning studies approved by the
City Council in 1990.
F~llmore Street Staff was instructed to proceed with this
pro,ject for construction in 1991. A feasibility study has been
prepared and will be reviewed by the City Council shortly. An
informational meeting with affected property owners will be
required before a City Council public hearing. The total cost of
the project is estimated in the range of $230,000. Assessments to
benefi ted property owners would be required. Utilization of the
previously collected City impact fee for this project and MSA
funds would also be necessary. MSA contribution to this project
is anticipated in the $160,000 range. The project is to include a
bicycle path. It was noted that Fillmore is one part of the link
between County Road 12 and Highway 10. The improvement of
173rd/175th would be necessary to complete this link. The second
phase of this project is not anticipated to take place until MSA
funds are available around 1993.
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Annual EQutQment Purchases and Lease/Purchase PavmeQts - Staff
was instructed to proceed with the payment of these annual
purchases and obligations as outlined in the City General Fund
budget. Equipment purchases are estimated in the $120,000 range
and lease purchase payments in the $100,000 range.
Small Park Improvements - Staff was instructed to work with the
Park and Recreation Commission on the expenditure of a small
amount of Park Dedication funds for miscellaneous park
improvements. Capital Project funds in the amount of $20,000 for
improvement of the railroad trail and $10,000 for improvement of
Barrington Park were allocated above and beyond Park Dedication
funds. It was noted that if a major park improvement project took
place through a successful LAWCON Grant, Capital Project funds
would be necessary as the local match. Such a LAWCON Grant is not
anticipated until at least 1992.
Wast~ Water Treatl!lent Plant Property - Staff
proceed with the purchase of land for the long
Waste Water Treatment Plant sludge disposal.
proceeding for the purchase of 120 acres. A
this purchase is anticipated in February, 1991.
project will come from the Waste Water Treatment
was instructed to
term future of the
Negotiations are
public hearing on
Funding for this
Plant reserves.
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Old City Hall Staff was requested to proceed with the
necessary steps in order to ensure that old City Hall is removed
in 1991. Formal action by the City Council is anticipated in
January/February, 1991, directing staff to do the necessary work.
The cost for removal of old City Hall is estimated in the $90,000
range and will come from the City Hall (Landfill) reserve fund.
Ri verb_ank Pro teGJ.l o:rr Staff noted that bids have been
authorized for the improvement of this Mississippi Riverbank from
CSAH 42 toward the downtown area. Completion of this $30,000
project is anticipated before spring, 1991. $15,000 of City funds
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City Council Minutes
January 21, 1991
Page 6
for this project will come from the Capital Projects fund. Staff
was instructed to submit an additional application for Riverbank
Protection funds in 1991.
Communl1Y-J;enter - The City Council noted that a special work
session is planned on this topic. A decision on how and when to
proceed for the construction of the Community Center is
anticipated in the spring of 1991.
City ~llnolice Facility The City Council noted that
following a decision on a Community Center, discussion would take
place regarding a permanent City Hall/Police facility. Decisions
anticipated on this project in the spring of 1991 relate to site
selection and determination of appropriate financing. It was the
desire of the City Council to have construction of this facility
begin in 1992.
Orono Park ExpaD~iQn Staff updated the City Council on
discussions to purchase land adjacent to Orono Park. The City
Council indicated that, if possible, they prefer to use TIF #1 and
#3 increments for this purchase.
It was the consensus of the City Council that it desired to take formal
action on old City Hall, Fillmore Street, Proctor Avenue, and Westwood
Addition in January/February, 1991, in order for these projects to take
place during the summer of 1991.
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Ad,] ou rnmenJ~.
It was the consensus of the City Council that the meeting be adjourned
at approximately 9:50 p.m. The next ClP work session is scheduled for
6:30 p.m. on Monday, February 18, 1991.
Respectfully submitted,
Patrick D. Klaers
City Administrator