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05-12-1986 CC MIN Regular weekly meeting of the Elk River City Council Held at the Elk River City Hall Monday, May 12, 1986 e Members Present: Mayor Hinkle, Councilmembers Schuldt, Engstrom, Gunkel, and Williams Members Absent: None Staff Present: Patrick Klaers; City Administrator, Steve Rohlf; Building and Zoning Administrator, Darrell Mack; Sewer Superintendent, Russ Anderson; Fire Chief, Lori Johnson; Finance Director 1. The meeting of the Elk River City Council was called to order at 7:30 p.m. by Mayor Hinkle. 2. Consideration of Aqenda Items 17a. - Check Register, 17b. - St. Cloud State Intern and 17c. - Big Lake Sewage into the Elk River were added to the May 12th City Council agenda. COUNCILMEMBER GUNKEL MOVED TO APPROVE THE MAY 12, 1986 CITY COUNCIL AGENDA AS AMENDED. COUNCILMEMBER SCHULDT SECONDED THE MOTION. THE MOTION PASSED 4-0. tt 3. Minutes of the May 5. 1986 City Council Meetinq COUNCILMEMBER ENGSTROM MOVED TO APPROVE THE MINUTES OF THE MAY 5, 1986 CITY COUNCIL MEETING. COUNCILMEMBER GUNKEL SECONDED THE MOTION. THE MOTION PASSED 4-0. 4. Consideration of Small Business Week Proclamation Mayor Hinkle and the Councilmembers indicated that they were supportive of the Small Business Week Proclamation presented for their signature by Jackie Schuelein of the Chamber of Commerce, designating the week of May 18 - 24 as Small Business Week in Elk River. 5. Library Heating and Cooling System Discussion Mr. Bill Pollard, Librarian, representing the Elk River Library Board, was present to discuss the Board's request to transfer funds in the Library's budget for replacement of carpeting in the main room, to the equipment maintenance fund. Mr. Pollard explained that due to the deteriorating condition of the Library's 11 year old heating and cooling systems, extensive replacement and repairs were necessary. Mr. Pollard further explained that two quotations had been e Page 2 City Council Minutes May 12, 1986 e received; one, from Honeywell, Inc. of Golden Valley, MN, for a cost between $40,000 - $50,000 and one from Elk River Heating and Cooling for $25,000 for equipment plus approximately $15,000 - $20,000 for installation including tearing down a wall, masonary work and rebuilding of the wall. Mr. Pollard indicated that $10,776 had been budgeted for equipment repair and that even with a transfer of funds for the carpet, they would be approximately $6,000 -$7,000 short, and they would need to explore other possibilities for obtaining the needed funds. Mr. Pollard indicated that upon inspection of the systems it was determined that the complete outdoor section of the air conditioner needed to be replaced at a cost of approximately $8,146. Mr. Pollard explained that this was a high priority, now that the warm weather season is fast approaching. He further indicated that the heating system could wait until closer to fall and by then, the necessary funds would hopefully be secured. Lori Johnson, Finance Director, explained that approximately $17,313 would be available for the proposed work, taking into account a $5,825 fund balance at the end of 1985, transfer of $5,777 from the carpet replacement fund, and $5,700 intended for the maintenance contract. e COUNCILMEMBER ENGSTROM MOVED TO APPROVE THE TRANSFER OF FUNDS BUDGETED FOR CARPET REPLACEMENT TO THE EQUIPMENT REPAIR FUND. COUNCILMEMBER GUNKEL SECONDED THE MOTION. THE MOTION PASSED 4-0. 6. Landfill Tax Mr. Brian Benson, Sherburne County Zoning Administrator and Sanitation Inspector, was present to review the County Board's action on a request from operators of the Elk River Landfill for a temporary reduction in landfill taxes collected by the County and City. Mr. Benson explained that the uncollected tax portion would be used to purchase and install a 60 Mil. synthetic liner in an unfilled cell at the landfill site. Mr. Benson indicated that the area is approximately two and a half acres in size and is located in the southwest part of the landfill site which is currently being mined and nearing completion. Mr. Benson explained that a 4 foot layer of clay would be placed under the liner and in the slope area and that there would be a 3 foot layer of sand to prevent puncture of the liner by sharp objects dumped at the site. He further explained that a leachate collection system would be installed which consisted of e Page 3 City Council Minutes May 12, 1986 e perforated piping laid with work line drain tile to intercept the acidy liquid formed as a result of rain water working its way down through the various types of refuse, before it could contaminate the ground water. Mr. Benson cautioned that installation of the liner would not help any existing potential ground water contamination problems in other areas, only the specific area in which the liner was installed. Councilmember Schuldt asked Mr. Benson indicated that fall, upon completion of the granting of the PCA permit. when the project would be done. it was proposed to be done this necessary engineering work, and e Discussion was carried on regarding controls to ensure completion of the project if the tax reduction for the construction of the project was granted. Mr. Benson indicated that the County decided to require a written commitment from the Elk River Landfill operators, Lawrence and Chris Kreger, and the owner, Mr. Ernie Toth, that the liner be installed within a specific time period. Also, he stated that the commitment would become a condition of their County landfill license and failure to complete the project would be a violation and grounds for revocation of the license. Further, it will be required that the lined cell is to used for municipal solid waste and not for future ash disposal. Discussion of the State's standards for possible uses for collected landfill taxes by the County and City followed. Mr. Benson explained that the original request was for 100 percent funding of the project through reduced landfill taxes. Mr. Benson indicated that the County proposed to provide 50 percent of the funding. Cost of the project is estimated to be $144,000 - $150,000, which includes the cost of the liner itself, installation, earth work and piping. He noted that by reducing the tax on the County's share of the tax from $ .85 per cubic yard to $ .45, and the City's share from $ .15 to $ .10 per cubic yard for a period of 4 months, approximately $72,000 would be generated ($16,000/mo. for the County, $2,000/mo. for the City from June 1 through October 1,1986). Councilmember Engstrom asked how long it would take to fill the area of the landfill where the proposed line would be placed. Mr. Benson indicated that it would take approximately 8 to 10 years. e Page 4 City Council Minutes May 12, 1986 tt Discussion was carried on regarding operation of the landfill. Mr. Benson indicated that the Kregers leased the landfill from Mr. Ernie Toth and paid him royalties from monies collected from users of the landfill. Mayor Hinkle indicated that he was not in favor of 100 percent funding of the project but that 50 percent would be acceptable, and further, that he felt it was the responsibility of the owner of the landfill to install the liner. Discussion followed regarding the possibility of the City or County being responsible for the installation of the liner to assure completion of the project, but Mr. Benson explained that the County Attorney had advised against it, due to possible legal implications if they were to become involved in the operation of the landfill. tt COUNCILMEMBER GUNKEL MOVED TO JOIN THE COUNTY IN THEIR PROPOSAL TO THE LANDFILL OWNER AND OPERATORS TO REDUCE THE LANDFILL TAX FROM $.85 PER CUBIC YARD TO $.45 FOR THE COUNTY AND FROM $.15 TO $.10 FOR THE CITY, FOR A PERIOD OF FOUR (4) MONTHS, TO FINANCE THE PURCHASE AND INSTALLATION OF A SYNTHETIC LINER AND LEACHATE COLLECTION SYSTEM, SUBJECT TO THE TERMS AND CONDITIONS OUTLINED BY BRIAN BENSON IN HIS LETTER TO MR. TOTH AND MR. LAWRENCE KREGER AND MR. CHRIS KREGER DATED MAY 9, 1986. COUNCILMEMBER ENGSTROM SECONDED THE MOTION. THE MOTION PASSED 4-0. 7. Oak Meadows Steve Rohlf, Building and Zoning Administrator, explained that Mr. and Mrs. Gary (Jake) Jacobson, were present to request an extension of the completion date for the roads in the Oak Meadows subdivision to October 1, 1986, and to request the building permits be issued upon completion of the sub-base for the roads. Mr. Rohlf indicated that the roads were to have been completed by November 1, 1985, but due to bad weather in the 1985 construction season, they were not. Mr. Rohlf indicated that since the original letter of credit had expired January 10, 1986, a new letter of credit with an expiration date of October 1, 1986 would be necessary. Mi. Rohlf indicated that the purpose of the letter of credit is to insure completion of the roads by a specific date, so that if the work is not done, the City could cash in the letter of credit to complete the improvements themselves. tt Page 5 City Council Minutes May 12, 1986 tt Mrs. Darlene Jacobson indicated that they had a letter of intent to issue the letter of credit from the bank, but that the actual letter of credit would not be available to them until after the Bank Board met the following evening. She also indicated that she had a check to present to the City Council for payment of the park dedication fees. Discussion was carried on regarding fees to be paid prior to issuance of building permits. Mrs. Jacobson indicated that she had a receipt from the City of Elk River proving payment of legal and engineering costs associated with the plat. Mr. Rohlf further stated that no permits have been issued for the plat because it has been the City's policy to issue permits for a new development only if the sub-base has been completed and it appears that completion of the roads is on schedule. In this case, he stated, the sub-base is not yet completed and road completion is not on schedule. Mrs. Jacobson explained in detail the past history of the project, her views on various conversations exchanged between the Jacobsons and City staff, and reasons for delay in the road project. tt COUNCILMEMBER COMPLETION OF THAT BUILDING CONDITIONS: GUNKEL MOVED TO EXTEND THE DEADLINE FOR THE OAK MEADOWS ROADS TO OCTOBER 1, 1986 AND PERMITS WILL BE GRANTED UPON THE FOLLOWING 1. THAT A LETTER OF CREDIT IN THE MOUNT OF $30,800 TO COVER COSTS FOR CLASS 5 AND BLACKTOPPING OF THE ROADS BE ISSUED TO THE CITY, IN THE EVENT THE DEVELOPER DID NOT FULFILL HIS COMMITMENT; 2. THAT THE SUB-BASE BE COMPLETED AND APPROVED BY THE CITY ENGINEER. 3. THAT THE CITY WILL NOT BE RESPONSIBLE FOR THE ROADS AND WILL NEITHER ACCEPT NOR MAINTAIN THEM IF THEY ARE NOT COMPLETED BY THE ESTABLISHED DATE. COUNCILMEMBER WILLIAMS SECONDED THE MOTION. PASSED 4-0. THE MOTION tt Pat Klaers, City Administrator, indicated that he would like the record to reflect the City Council's view of this situation as an exception, rather than the rule; that the City will only issue building permits when a project is proceeding on schedule, and further, that it is up to the developer to approach the City for an extension when circumstances prohibit them from meeting a project completion date. Page 6 City Council Minutes May 12, 1986 It 8. Apartment Complex Project by Leonard Babinsky on School Street Steve Rohlf explained the request by Mr. Leonard Babinsky to construct a second apartment building on property he owns on School Street across from the Junior High School. Mr. Rohlf indicated that the property in question is currently recorded as being one large parcel and that the City's ordinance allows only one principal use per lot. Therefore, he stated, Mr. Babinsky must divide the parcel in order to construct the second and third buildings he is proposing. Mr. Rohlf indicated that the former Building and Zoning Administrator, Rick Breezee, had signed the original site plan for the first building and that Mr. Babinsky did not recall or was not aware that the approval was only for the first building and not the entire concept. Mr. Rohlf stated that when Mr. Babinsky had approached him for a building permit for the second building, he had to inform him that some further steps must be taken to meet the City's zoning Ordinance. It Discussion was carried on regarding an administrative subdivision to divide the property and the possibility of a variance in the PUD ordinance to allow the three buildings to be located on one parcel. Further discussion was carried on regarding the project being hooked up to the proposed new sewer line and problems with roads and proposed garage locations for the apartment buildings. It was the consensus of the City Council to make the following determinations: 1. That the request be handled as an SUbdivision. administrative 2. That the access issue be addressed in reviewing the administrative subdivision. 3. That the garages must be located on the same lot as the corresponding apartment building. 4. That if sewer project is not completed when the developer is ready to hook up to the sewer, the City would not be liable for any delay. 5. That prior to issuance of building permits, all the necessary paperwork must be completed and fees paid. 6. That no waste building materials are to be buried on the site. It 7. Prior to building permit issuance, School Street should be patched at the access entrances by Mr. Babinsky as per Phil Hals' instructions. Page 7 City Council Minutes May 12, 1986 ~ 9. Access Change for Deerfield 3rd Addition Mayor Hinkle indicated that Mr. Jerry Smith, developer of the Deerfield 3rd Addition Subdivision, had contacted the City to report he was having problems obtaining the access onto Highway #169 in the northwest corner of his plat. Mayor Hinkle further indicated that he had contacted Al Wille of Mn/Dot and was directed to contact Mr. W.N. Yoerg. Mayor Hinkle indicated that after speaking with representatives of Mn/Dot, he felt there would be no problem in getting the access, and that it was a matter of completing the proper applications and going through the proper channels to obtain the access. Mayor Hinkle further indicated that he also spoke with Bud McCulloch of Mn/Dot regarding the request by the City for a semaphore at the intersection of Highway #169 and School Street/Elk Hills Drive. Mr. McCulloch had indicated to him that the cost would be approximately $120,000 and one-half of the cost is proposed to be borne by the City of Elk River, and that the project is proposed to be completed in 1987. ~ Mayor Hinkle asked Steve Rohlf to contact the City Attorney to request that the letter he was preparing to send to the State be sent to the City first for their review. It was the consensus of the City Council that no building permits in Deerfield 3rd Addition would be issued before: a. The completion of the sanitary sewer and water system; and b. Completion of the sub-base. 10. Georae Deschenes' Cul-de-sac Steve Rohlf explained the situation leading to the City's need for the easement for the cul-de-sac on Line Avenue from Mr. Deschenes. Mr. Rohlf further explained that Mr. Deschenes has requested $300.00 for the easement, and further has requested payment of an invoice in the amount of $935 for costs incurred by him to restore his property disturbed by 1983 construction in the Barrington Place development. Mr. Rohlf further explained how the situation had developed and that the work Mr. Deschenes had taken upon himself to complete should have been the responsibility of the developer of Barrington Place. e Page 8 City Council Minutes May 12, 1986 4It Discussion was carried on regarding the drainage problem in the area, the street name irregularity, and the bill presented by Mr. Deschenes, and work done on his property by Howard Blumker. Councilmember Schuldt indicated that Mr. Deschenes should have come to the City with the problem rather than taking it upon himself to do the work and then try to collect from the City after the fact. It was the general feeling expressed by the majority of the City Council that payment of $300.00 for the easement and one-half of the bill presented by Mr. Deschenes was reasonable. It was the consensus of the City Council to direct the City Administrator to contact Mr. Deschenes to meet with the City Council at their June 2nd meeting to discuss the matter further. 11. City Park e Pat Klaers, City Administrator, reviewed the memo from Phil Hals, Street Superintendent, dated May 9, 1986, explaining the offer from the State of Minnesota to turn over a small piece of land adjacent to Highway #10 east of the Dairy Queen to the City. Mr. Klaers indicated that Phil Hals was receptive to the City's taking over the property so that it could be better maintained and thus a more attractive site than at present. COUNCILMEMBER GUNKEL MOVED TO ACCEPT THE PIECE OF PROPERTY FROM THE STATE OF MINNESOTA ADJACENT TO HIGHWAY #10 EAST OF THE DAIRY QUEEN. COUNCILMEMBER WILLIAMS SECONDED THE MOTION. THE MOTION PASSED 4-0. 12. Purchase of Tank Truck for Fire Department Mr. Russ Anderson and Mr. Duane Mordal were present to request permission from the City Council to spec out a 2,000 gallon water tank truck. Mr. Anderson explained that the undercarriage of the tank truck currently in use by the fire department is rusting out. He explained that they have had the truck for five years and was purchased as a used model. Mr. Anderson explained that the tank truck is used to transport water to fight fires in the outlying areas of the City not served by. City water hydrants. Mr. Anderson further explained that if a new truck was purchased, the fire department would use the old truck as a backup and that possibly they could budget for repairs next year. Mr. Anderson outlined the various specifications he had in mind for the new truck. Mr. Anderson stated that after checking e Page 9 City Council Minutes May 12, 1986 4It with tank and truck dealers, the cost of the truck would be approximatley $50,000. He further indicated that the cost could be somewhat lower in reality, as the bidding process usually brought in lower prices than simple verbal quotes do. Discussion was carried on regarding the number of fire calls received so far for 1986, the number of gallons of water typically used in fighting a fire, and discussion of the fire contracts and fees collected from them. Finance Director Lori Johnson, indicated that the issuance of equipment certificates could be used as a method of payment for the truck, since no monies have been budgeted for 1986. It was the consensus of the City Council that the Fire Chief be directed to go ahead with preparation of specifications for the 2,000 gallon water tank truck. 13. 504 Handicap Accessibliity Proqram e COUNCILMEMBER WILLIAMS MOVED TO APPROVE THE 504 GRIEVANCE PROCEDURE AND TO APPOINT CITY ADMINISTRATOR, PATRICK KLAERS AS 504 COORDINATOR COUNCILMEMBER GUNKEL SECONDED THE MOTION. THE MOTION PASSED 4-0. 14. Sewer Rates Discussion of the Finance Director's memo to the Mayor and City Council dated May 9, 1986 was carried on. COUNCILMEMBER WILLIAMS MOVED TO APPROVE THE RECOMMENDATION OF THE FINANCE DIRECTOR AS STATED IN HER MEMO TO THE MAYOR AND CITY COUNCIL DATED MAY 9, 1986, INCLUDING THE ESTABLISHMENT OF A MAINTENANCE FUND FOR REPAIRS OF THE WASTEWATER TREATMENT FACILITY AND LIFT STATIONS AND, ALSO TO INCREASE THE SEWER RATES AS FOLLOWS: Proposed 30% Increase Minimum Monthly Charge (7,000 gallons per quarter) 5.95 Flat Rate Monthly Charge (non-metered customers) 12.25 Rate per 1000/gal. per quarter 2.55 e COUNCILMEMBER ENGSTROM SECONDED THE MOTION. PASSED 4-0. THE MOTION Page 10 City Council Minutes May 12, 1986 4It 15. Pay Plan for City Department Heads Finance Director Lori Johnson indicated that in attempting to establish a step system within the department head salary ranges, she had encountered problems due to the varying length on ranges adopted by the City Council. It was noted that there were errors in the City Administrator's and Finance Director's ranges and that the City Council would amend the minutes of the meeting at which the ranges were adopted to reflect the necessary changes at their next regular meeting. 16. Resolution Excluding the City Administrator from PERA COUNCILMEMBER SCHULDT MOVED TO APPROVE RESOLUTION 86-31 A RESOLUTION APPROVING THE ELECTION OF PATRICK D. KLAERS TO BE EXCLUDED FROM THE PUBLIC EMPLOYEES RETIREMENT ASSOCIATION. COUNCILMEMBER GUNKEL SECONDED THE MOTION. THE MOTION PASSED 4-0. 17. Other Business A. Check Register e COUNCILMEMBER SCHULDT MOVED TO APPROVE THE MAY 6, 1986 CHECK REGISTER. COUNCILMEMBER WILLIAMS SECONDED THE MOTION. THE MOTION PASSED 4-0. B. St. Cloud State Intern The City Administrator requested permission to allow an intern from St. Cloud State to perform services for the City for credit toward his degree. The City Administrator proposed to enter into a contract with the intern, (providing he found the candidate acceptable during the interview process), for a 2 month period at 40 hours per week and to pay the intern a total of $1,000 for his services. Mr. Klaers stated that the intern would work on recertification of the Star City Program (for the Economic Development Commission) and also planning and zoning duties. COUNCILMEMBER GUNKEL MOVED TO AUTHORIZE THE CITY ADMINISTRATOR TO PROCEED WITH HIRING AN INTERN FROM ST. CLOUD STATE WITH THE FOLLOWING CONDITIONS: 1. THAT THE CANDIDATE IS FOUND ACCEPTABLE TO THE CITY ADMINISTRATOR DURING THE INTERVIEW PROCESS. e e e e Page 11 City Council Minutes May 12, 1986 2. THAT THE CITY ADMINISTRATOR CONSULT THE CITY ATTORNEY REGARDING THE CITY'S LIABILITY FOR AN EMPLOYEE HIRED UNDER THESE CIRCUMSTANCES. COUNCILMEMBER ENGSTROM SECONDED THE MOTION. THE MOTION PASSED 4-0. C. Big Lake Sewage into the Elk River The City Council directed the City Administrator and staff to contact the PCA regarding the pumping of raw sewage through the storm sewer into the Elk River. There being no further business, COUNCILMEMBER GUNKEL MOVED THAT THE MEETING BE ADJOURNED. COUNCILMEMBER ENGSTROM SECONDED THE MOTION. THE MOTION PASSED 4-0. ;S~ ;(~ Recording Secretary -~ Deborah Kleckner