10-20-1987 CC MIN - SPECIAL
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SPECIAL MEETING OF THE ELK RIVER CITY COUNCIL
HELD AT THE ELK RIVER PUBLIC LIBRARY
TUESDAY. OCTOBER 20. 1987
MEMBERS PRESENT:
Mayor Gunkel. Councilmembers Schuldt and Tralle
MEMBERS ABSENT:
Councilmembers Dobel and Holmgren
STAFF PRESENT:
Patrick Klaers. City Administrator; and Terry Maurer. City
Engineer
Pursuant to due call and notice thereof. Mayor Gunkel called the meeting of
the Elk River City Council to order at 6:25 p.m.
At the time the meeting was called to order. there were no members from the
public or press in attendance.
The Mayor discussed with the City Council the different elements of the
downtown "Beautification" Project that is included in the 1988 Main Street
Improvement Project and the format of the meeting.
At approximately 7:00 p.m. the Central Business District (CBD) property owners
began to arrive. The Mayor informed the group of property owners that the
City Council was comfortable with the different beautification elements within
the Main Street Project as was discussed in the September 21. 1987. City
Engineer's memo. These beautification elements included decorative street
lights. trees and tree grates. trash receptacles. and a textured sidwalk.
The original estimate for these items was in the $200.000.00 range. The Mayor
then reviewed each item of the beautification part of the project and offered
comments on how the cost could be reduced. The Mayor further indicated that
the Council had previously stated that all of the beautification costs should
be assessed to the benefited property owners. but that the Council has since
determined that certain items should be in part or entirely financed by the
City.
DECORATIVE STREET LIGHTS
The Mayor indicated that the City Engineer estimate from his September 21,
1987. memo had cost for 74 street lights at $300.00 per light. plus 20 percent
additional expenses for a total of $26.640.00. Adding the standard 28 percent
overhead to this amount and the total cost of decorative street lights reached
$34.100 for street lights every 50 feet in the central business district.
The Mayor indicated that based on a lower overhead percentage. total costs for
decorative street lights may more realistically be in the $32.000 range
provided that the City Engineers original cost estimate for lights ($300 per
light) was accurate.
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October 20. 1987
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Councilmember James Tralle stated that the Utility Commission has discussed
this issue at its previous meeting. The Commission did not approve a formal
motion. but it was the consensus of the Commission that the Utilities will
finance the cost for typical street lighting in this area including
underground work. The Commission has requested General Electric to provide a
cost estimate for street lighting in the CBD and costs above that amount for
decorative lighting will have to be assumed by the benefited property
owners.
Mayor Gunkel indicated that the Elk River Housing and Redevelopment Authority
(HRA) has approximately $10.000 in reserves. She indicated that it may be
possible for the HRA to participate in the beautificaion aspect of Main Street
in the CBD. Mayor Gunkel suggested that the Downtown Business Committee
requests the HRA to hold a meeting and that the CBD Committee request $10.000
from the HRA for improvements in the downtown area. By having the CBD
property owners receive financial assistance from the Utilties and the HRA.
the final cost for decorative street lights may then become very reasonable.
TREES
The City Engineer. in his September 21. 1987. memo. estimated that
approximately six inch diameter trees would cost $600.00 each. and that 61
trees were needed in the CBD. This amount plus 20 percent additional charges
would equal $43.900.00. The 28 percent overhead being added to this amount
~ makes the Engineer's estimate for trees at $56.200.00.
The Mayor indicated that the Street Superintendent. Phil Hals. is suggesting
the City go with a much smaller tree that can substantially reduce this cost.
Phil Hals indicated that an approximately $100 tree is much easier to install.
and still has a very good likelihood of survivial. Also if these trees are
damaged. the replacement cost is much more economical.
Based on $100.00 per tree for 61 trees and $200.00 per tree for planting and
overhead in purchasing the trees. the total cost for trees in the CBD is
approximately $18.300.
Mayor Gunkel indicated that the City is willing to finance this entire cost
through the City Dutch Elm Program. If the CBD property owners wanted to go
with a more expensive tree. then additional expenses beyond $18.300.00 would
have to be assumed by the benefited property owners.
The $100.00 tree mentioned above are approximately 1 1/2 inches in diameter.
It was again noted that the replacement of damaged trees by weather conditions
or vandals would also be absorbed through the City Dutch Elm Program.
TREE GRATES
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The City Engineer originally estimated that tree grates at the base of the
trees would cost in the $1.000.00 per grate range. plus some additional
expenses for a total of $65.000.00. Adding the City's standard 28 percent
overhead to' this amount. makes the total estimated cost for tree grates at
$83.200.
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City Council Minutes
October 20. 1987
The Mayor indicated that the downtown business owners have examined a durable
plastic tree grate that would cost approximately $400.00 per grate. Adding an
approximatly 18 percent overhead to this amount would make the total cost for
tree grates in the $29.000 range.
Mayor Gunkel indicated that the City has no financial resources to cover this
expense so the CBD property owners will have pay for the grates by way of
assessments.
The Mayor indicated that it would be the City's responsibility to fasten these
durable plastic grates at the base of the trees and would be responsible for
maintenance and cleaning around the base of the trees.
TRASH RECEPTACLES
The City Engineer has estimated that 16 trash receptacles at $600.00 each.
plus 20 percent additional expenses would place the cost of the trash
receptacles at $11.500. Adding the City's 28 percent overhead charge to this
amount. would make the total cost for trash receptacles in the amount of
$14.700.00. This would provide two receptacles on each side of the street per
block.
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The Mayor indicated that it is the City's revised estimate. which eliminated
overhead charges. that the total cost for trash receptacles would be $11.500.
and that no city funds are available to assist in financing this part of the
Beautification Project. Therefore. all costs for trash receptacles would have
to be assessed to the benefited property owners in the CBD. The Mayor further
suggested that that the CBD property owners may want to investigate a less
expensive model of trash receptacles and that the Committee could seek
donations from various organizations within the community to help finance this
part of the Beautification Project.
TEXTURED SIDEWALKS
The City Engineer report indicated that the additional cost between regular
sidewalks and textured sidewalks is 50 cents per sqare foot. Based on 17.205
square feet of sidewalk in the CBD and adding 20 percent to this figure. makes
the cost for textured sidewalks in the amount of $10.300.00. Adding the
City's 28 percent overhead to this amount. placed the total cost for textured
sidewalks in the $13.200 range. The Mayor indicated that a more realistic
figure for this textured sidewalk would be in the $11.800 range based on a
much reduced overhead expense.
The Mayor further indicated that this item is not eligible for MSA funding. no
City funds were available for this part of the project. and that the textured
sidewalk aspect of the Beautification Project would have to be assessed to the
benefited property owners.
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In summary. the Mayor indicated that from the City's prospective a more
realistic cost of the beautification part of the 1988 Main Street Improvement
Project is as follows:
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October 20. 1987
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Decorative Street Lights
Trees
Tree Grates
Trash Receptacles
Textured Sidewalks
$ 32.000.00
18.300.00
29.000.00
11.500.00
11.800.00
Total
$102,600.00
The financing for this beautification aspect of the 1988 Main Street
Improvement Project is broken down as follows:
City Participation
HRA Participation
$ 18.300.00 (Trees)
10.000.00 (contingent upon
approval of the HRA)
10.000.00 (very rough estimate of
typical street light expenses)
Utility Participation
Assessment to Benefited
Property Owners
64.300.00
Total
$102.600.00
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JACKSON SQUARE
It was noted by the City Engineer that no improvement of the Jackson Square
Square area is being planned as part of the 1988 Main Street Improvement
Project. This is being done because no consensus on the type of improvements
desired in this area or the amount of needed parking space could be reached.
Further. all expenses for improvements in Jackson Square. are not eligible for
MSA funding and would have to be financed either through assessments to
benefited property owners. city contributions. or contributions from local
organizations.
Clifford Lundberg. Chairman of the Downtown Business Committee, presented the
Council with a concept for improvements to Jackson Square. This concept was
very similar to one proposed a number of years ago to the City Beautification
Committee. and had received the consensus approval of the Downtown Committee
as an appropriate improvement to this area. The plan did not call for any
changes or reduction in the parking area. but included a sidewalk, trees.
lights, and improvement to the flag pole base within the greenspace area of
Jackson Square.
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Mr. Lundberg strongly recommended to the Council that Jackson Square
improvements be included within the 1988 Main Street Improvement Project and
that the City finance the improvements to Jackson Square in its entirety. Mr.
Lundberg stated that the Committee felt that this area was a City Park and
should be treated no differently than other City Parks that receive public
improvements. financed through the City Park Dedication Fund.
The Council directed the City Engineer. Terry Maurer. to provide cost
estimates for the improvements to Jackson Square. as provided in the layout
submitted by the Downtown Committee.
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October 20. 1987
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The Mayor then discussed. with the property owners. possible assessment
methods for the part of the Beautification Project that cannot be financed
through outside sources. Whether this amount is in the $64,000.00 range or
increased due to improvements to Jackson Square. a fair assessment method must
be determined. The Mayor indicated that the assessments for this type of
project is very difficult to do on a strictly front footage basis because some
buildings housed a multitude of businesses with very limited front footage.
and all of these businesses receive benefit because of the Beautification
Project. By assessing strictly on a front footage basis. some businesses will
receive a very minor assessment. while otber businesses will receive a rather
substantial assessment for the same improvements.
The Council requested the Committee to try to determine a fair assessment
method for Beautification Project that cannot be financed through other
methods except assessements. and to report back to the City Council on their
recommendation. The Committee. in turn, requested that the City Engineer also
work on a proposed assessment method that he proceived as being fair to all
parties.
The City Council and CBD property owners agreed to try and exchange
information on possible assessment methods and costs for Jackson Square
improvement around the middle of November. A public hearing on the proposed
improvements is planned for early December and if necessary. the property
owners and City Council may get together again for a informational meeting.
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The Mayor indicated the City's intent to receive bids for the Main Street
Improvement Project and the Beautification part of this project as soon as
possible. The Mayor also indicated that the beautificiation aspect of this
project. once bids were received. would be assessed prior to the project
taking place. This is a common assessment technique that has been done in
many communities and in Elk River in the past few years. and allows for the
City to determine tbe number of appeals to an improvement project prior to the
project taking place. If there are a substantial number of appeals to the
project. then serious consideration must be given to if the project should
proceed or not.
Chairman Lundberg stated that the entire Downtown Business Committee strongly
believes that the Beautification Project is needed for improvement in the CBD.
He stated that such beautification improvements would add to the Central
Business District being the focal point of the community. Mr. Lundberg
stro~gly opposed the assessment of the Beautification Project prior to its
taking place. and made the analogy that the City is holding the CBD property
owners hostage for the Improvement Project by assessing the project prior to
it taking place.
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Mr. Lundberg also discussed a proposed speaker system within the street
lighting system. The Mayor suggested that the speaker system may possibly be
located on the buildings within the CBD. or that the speakers system could be
installed at a later date. The City Engineer stated that such a system is not
eligible from MSA Funding. The Mayor indicated that no city funds are
available for such a system. and that business owners would have to assume the
cost for such a extra downtown amenity.
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October 20. 1987
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Mr. Dare. of Dare's Funeral Home. stated that the downtown area needs
improvements for the benefit of the entire Elk River Community.
Mr. Jarmoluk stated that he understands the City has limited resorces. but
that the business people also have limited resorces and would like to see the
City participate as much as possible financially for the improvements in the
CBD.
Mr. Lundberg submitted a signed statement from the Chamber of Commerce stating
their support for the beautification improvements in the downtown area and
requested that the City. as much as possible. finance these improvements in a
method other than assessements to the benefited property owners.
Mr. Steve Johnson. of Johnson's. stated that he appreciated the Council
working as hard as they have in trying to accomplish the beautification
improvements in the downtown area. He further indicated that improvements are
desperately needed and that the cost of the improvement. as discussed tonight.
appear to be reasonable. Mr. Johnson further stated that if there are other
financial alternatives or other beautification items that should be included.
that these issues should be further evaluated.
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Mr. Lundberg requested that the City assume responsiblity for snow removal on
the sidewalk in the CBD. He stated that the property owners were willing to
accept an assessment for this municipal service. The Council directed the
City Staff to evaluated the financial. administrative. and legal ramifications
of the City assuming such responsibility.
The Administrator recommended to the Downtown Committee that it would be much
easier administratively and much cheaper for the Committee to simply hire a
young individual or a service to clear the sidewalk of snow during the winter
months. Some of the concerns indicated by the Administrator included increase
legal liability. the timing of sidewalk snow removal when street snow removal
has a much higher priority. the equipment needed to provide such a service.
the contracting for an employee to provide this service. plus the constant
problem of trying to satisfy so many individuals that have various
expectations of the service.
Further concerns indicated additional requests from residential property
owners for the same services as provided in the CBD. Additional concerns for
snow removal in the CBD included property owners that did not want this
service and would not accept an assessment for such municipal services. The
staff will report back to the City Council on this issue.
COUNCILMEMBER
COUNCILMEMBER
TRALLE
SCHULDT
MOVED TO
SECONDED
ADJOURN THIS MEETING OF THE CITY COUNCIL.
THE MOTION. THE MOTION CARRIED UNANIMOUSLY.
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The meeting was adjourned at 8:28 p.m.
Respectfully submitted.
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Patrick Klaers --