Loading...
01-21-1985 CC MIN r . . . REGULAR SCHEDULED MEETING OF THE ELK RIVER CITY COUNCIL HELD AT THE ELK RIVER PUBLIC LIBRARY JANUARY 21, 1985 Members Present: Mayor Hinkle, Councilmembers Engstrom, Williams, Schuldt and Gunke 1 . Members Absent: None 1. The meeting was called to order at 7:30 p.m. by Mayor Hinkle. 2. Agenda Item ll~ - Property for the Water Tower, and l4D. - Traffic Control on School Street, were items added to the January 21, 1985 City Council agenda. COUNCILMEMBER GUNKEL MOVED TO APPROVE THE JANUARY 21, 1985 CITY COUNCIL AGENDA AS AMENDED. COUNCILMEMBER WILLIAMS SECONDED THE MOTION. THE MOTION PASSED 4-0. 3. MiRutes COUNCILMEMBER SCHULDT MOVED TO APPROVE THE MINUTES OF THE JANUARY 7, 1985 CITY COUNCIL MEETING. COUNCILMEMBER ENGSTROM SECONDED THE MOTION. THE MOTION PASSED 4-0. COUNCILMEMBER GUNKEL MOVED TO APPROVE THE MINUTES OF THE JANUARY 14, 1985 CITY COUNCIL MEETING. COUNCILMEMBER WILLIAMS SECONDED THE MOTION. THE MOTION PASSED 4-('). 4. Open Mike Mr. Dave Gilgenbach presented an artist's rendering of an animal hospital facility proposed for the five acre site on Highway #169 that the City owns. Mr. Gilgenbach indicated that the proposed facility is approximately 3,000 square feet and further indicated that the facility would be totally enclosed. Discussion was carried on regarding the zoning of the five-acre parcel on Highway #169. The City Administrator indicated that the 5 acre parcel is zoned R-lB. Further discussion was carried on regarding the uses allowed in an R-lB zone, specifically, where veterinary clinics were allowed in the City's zoning ordinance. The City Administrator indicated that veterinary clinics are allowed in an A-I zone as a conditional use and further indicated that they are not addressed anywhere else in the City's zoning ordinance. Mr. Gilgenbach indicated that the location on Highway #169 is very important to his business as it provides for an easy access which is necessary for an animal hospital. Mr. Gilgenbach indicated that there are many trauma cases that are brought to the hospital and the need to have a convenient location and easy access is of utmost importance. Councilmember Gunkel indicated that she felt the primary question was whether . City Council Minutes January 21, 1985 Page Two or not the City was willing to sell the five...,acre parcel and secondary was the use and the interpretation of the ordinance to allow for veterinary clinics. Discussion was carried on regarding the use of the property and other possible properties in the City of Elk River. Mr. Gi1genbach indicated that he felt his proposed use for the five acres would be an acceptable use of the property on Highway #169 and further indicated that he was very interested in staying in Elk River and having an animal hospital on the property on Highway #169. Discussion was also carried on regarding the State Highway use of the property adjoining the City's five acre parcel of property. Counci1member Schuldt indicated that he felt the veterinary hospital could be a buffer to the surrounding residential area from Highway #169 and the State Highway property. Councilmember Gunkel indicated that she felt the site was an excellent site for the veterinary hospital as proposed. Further discussion was carried on regarding the use of the property and the possibility of selling the property. The City Administrator indicated that there were no legal problems involved in selling the property to an individual and further indicated that the price offered by Mr. Gi1genbach in the past is the best price the City has received as an offer regarding the sale of the five acre parcel. Discussion was also carried on regarding the possibility of selling a portion of the five-acre parcel. Mr. Dave Gi1genbach indicated that he was interested ~n the total five acre parcel. It was the consensus of the City Council that the artist's rendering and proposed use of the property be presented to the Planning Commission for their discussion regarding a necessary zone change or ordinance amendment to allow for veterinary clinics in the R-1B zone. 5. Elk River Youth Hockey Revenue Bond Mayor Hinkle indicated that representatives of the Elk River Youth Hockey Association were present to discuss the possibility of the City issuing general obligation revenue bonds to assist the Hockey Association with improvements and expansion to the ice arena. Mr. Dave Taus, representative of the Elk River Youth Hockey Association, indicated that the original proposal for improvements to the hockey arena have changed. Mr. Taus indicated that Elk River is now a part of the North 'I. Suburban Conference League and there are certain requirements the arena needs regarding seating, bathroom facilities, plexiglas and required heating in the seating area to allow for league games to be played in the hometown arena. Discussion was also carried on regarding issuing bonds for improvements in the amount of $200,000 and how those bonds would be paid off through ice time fees, fundraising ability, and donations from the City and private members. The City Administrator indicated that in his discussions with the City's r . . City Council Minutes January 21, 1985 Page Three financial consultant, Springsted, Inc, it was indicated that the process of issuing revenue bonds is not very complex if the local banks are interested in purchasing the bonds. Discussion was carried on regarding the local banks in the bond issue. The City Administrator indicated that the local banks were involved in the original construction of the arena and it has been indicated that the local banks would be willing to participate in a bond issue for the required improvements. The City Administrator indicated that Springsted indicated that the City would have to have ownership of the arena in order to issue the revenue bonds with a lease back agreement to the Elk River Youth Hockey Association until such time as the bonds are paid off. General discussion was carried on regarding placing the revenue bonds with the Bank of Elk River, the First National Bank and the Rogers Bank and the term of the bonds; ten years versus fifteen years. Discussion was also carried on regarding the high school using the arena and the agreement the school has with the Elk River Youth Hockey Association to 1987. Mr. Dave Taus indicated that the Elk River Youth Hockey Association has a commitment from the School to use the arena and it has been indicated that the Suburban North Conference League would allow home games to be played in the arena after improvements are made. Discussion was carried on regarding the interest rate on revenue bonds versus a private loan. Discussion was also carried on regarding the use of the arena during the off-season, if the City had ownership of the buildings. Discussion was also carried on regarding a contribution from the City of Elk River of $3,000 toward the payment of the bonds for the next five years. Councilmember Engstrom indicated that he was in favor of the City supporting the issuance of revenue bonds if the local banks were interested in purchasing the bonds. Councilmember Engstrom indicated that if the banks placed their v trust in the Elk River Youth Hockey Association, it should not be a great risk to the City of Elk River. COUNCILMEMBER ENGSTROM MOVED TO AUTHORIZE THE CITY TO PURSUE THE ISSUANCE OF GENERAL OBLIGATION REVENUE BONDS FOR THE ELK RIVER YOUTH HOCKEY ASSOCIATION WITH THE NECESSARY LEGAL REQUIREMENTS AS RECOMMENDED BY SPRINGSTED, INC. COUNCILMEMBER GUNKEL SECONDED THE MOTION. THE MOTION PASSED 4-0. COUNCILMEMBER GUNKEL MOVED TO AUTHORIZE THE CITY OF ELK RIVER TO BUDGET $3,000 PER YEAR FOR THE NEXT FIVE YEARS FOR THE ELK RIVER YOUTH HOCKEY ASSOCIATION WITH THE CONDITION THAT THE GENERAL OBLIGATION REVENUE BONDS ARE SOLD FOR THE IMPROVE- MENTS OF THE BUILDING. COUNCILMEMBER SCHULDT SECONDED THE MOTION. THE MOTION PASSED 3-1. COUNCILMEMBER WILLIAMS OPPOSED. 6. Transient Merchant License Renewal - Public Hearing Mayor Hinkle indicated that Mr. John Wahl of 15403 Sunfish Lake Boulevard, Anoka, has requested a transient merchant license to sell flowers at the north- west corner of the intersection of Highway #10 and Jackson Avenue. Mayor Hinkle indicated that Mr. Wahl was issued a transient merchant license in 1984 to sell City Council Minutes January 21, 1985 Page Four --, flowers at the same location. Mayor Hinkle opened the public hearing. No one appeared for or in opposition of the transient merchant license. COUNCILMEMBER WILLIAMS MOVED TO APPROVE A TRANSIENT MERCHANT LICENSE FOR MR. JOHN WAHL TO SELL FLOWERS AT THE NORTHWEST CORNER OF HIGHWAY #10 AND JACKSON AVENUE. COUNCILMEMBER ENGSTROM SECONDED THE MOTION. THE MOTION PASSED 4-0. 7. City Facilities Surveys The City Administrator indicated that Mr. Jack Boarman is conducting an additional survey of 150 telephone numbers and will have the results of the additional 150 telephone calls for the meeting with the Chamber of Commerce on Tuesday night, January 22nd. Mayor Hinkle indicated that the results of the survey completed by Mr. Jack Boarman's staff indicated that the majority wanted a remodeled building for the City Hall and further indicated that the survey showed that the City Hall was the highest priority for improvement. Mayor Hinkle indicated that after reviewing the survey, he felt differently about splitting up the facility issues and offering them to the voting public as different issues. Mayor Hinkle further indicated that the Chamber of Commerce survey results indicated that there was an even split between the members regarding a new building versus a remodeled building for City Hall. The City Administrator indicated that generally, the two surveys showed the same results. General discussion was carried on regarding the proposed Chamber of Commerce agenda for the January 22nd joint meeting. 8. ICMA Retirement Corporation Mayor Hinkle indicated that the ICMA Retirement Corporation is a retirement plan based on deferred compensation, originally started for members of the International City Management Association and recently has been broadened and expanded to include any municipal employees. Mayor Hinkle indicated that employees of the City of Elk River expressed interest in participating in the deferred compensation plan and in order for them to do so, the plan must first be approved and adopted by the City Council. The City Administrator indicated that the ICMA Retirement Plan is a compaetely portable plan; that is, it can be contributed to by municipal employees throughout the United States whereby the PERA retirement plan is strictly for Minnesota Public employees. COUNCILMEMBER GUNKEL MOVED TO ADOPT RESOLUTION 85-2, A RESOLUTION ESTABLISH- ING A DEFERRED COMPENSATION PLAN THROUGH THE ICMA RETIREMENT CORPORATION. COUNCILMEMBER WILLIAMS SECONDED THE MOTION. THE MOTION PASSED 4-0. ~ .9. . . ~ ll~. ~ City Council Minutes January 21~ 1985 Page Five Comparable Worth Study The City Administrator indicated that originally~the City Council authorized the City's participation in a comparable worth study with a number of municipal- ities in the State of Minnesota, and further indicated that the City's original contribution was estimated to be $3,750. The City Administrator indicated that the corrected billing for the City of Elk River should be $4,452 and further in- dicated that the increase is due to the fact that the number of employees utilized in the original estimate did not include regular part-time people and second, that the per employee rate was increased from $25.00 to $30.00 to build an immediate legal defense fund so that further contributions would not be necessary from the member cities. COUNCILMEMBER GUNKEL MOVED TO APPROVE RESOLUTION 85-5, A RESOLUTION AUTHORIZING THE INCREASE OF $710.00 FOR THE CITY'S PORTION OF THE COMPARABLE WORTH STUDY. COUNCILMEMBERENGSTROM SECONDED THE MOTION. THE MOTION PASSED 4-0. 10. Pay Estimate #5 -East Main Street Improvement Mr. John Gilbertson of Consulting Engineers Diversified indicated that Pay Estimate #5 in the amount of $26,375.64 is for work completed on the Main Street project. Mr. Gilbertson indicated that there is a retainage of approximately $17,000 for punch list items to be completed in the Spring. COUNCILMEMBER SCHULDT MOVED TO APPROVE PAY ESTIMATE #5 TO NORTHDALE CONSTRUCTION IN THE AMOUNT OF $26,375.64 FOR THE EAST MAIN STREET PROJECT. COUNCILMEMBER GUNKEL SECONDED THE MOTION. THE MOTION PASSED 4-0. 11. Pay Estimate #9- Gates Avenue Improvements Mr. John Gilbertson of Consulting Engineers Diversified indicated that Pay Estimate #9 is for work done on the Gates Avenue project and further indicated that a request for final payment should be presented to the City Council in approximately one month. Mr. Gilbertson further indicated that he has reviewed the work of the project with City's Building and Zoning Administrator, the Wastewater Treatment Plant Supervisor and the Sfreet Superintendent. COUNCILMEMBER GUNKEL MOVED TO APPROVE PAY ESTIMATE #9 TO BARBAROSSA AND SONS, INC. IN THE AMOUNT OF $18,344.98 FOR THE GATES AVENUE IMPROVEMENT PROJECT. COUNCILMEMBER WILLIAMS SECONDED THE MOTION. THE MOTION PASSED 4-0. Water Tower Property The City Administrator indicated that originally the City Council and City staff thought the City could purchase some acreage from the School District for the place- ment of a water tower. The City Administrator indicated that the School District was not receptive to selling the City property for a water tower and therefore, the City looked north of the School property to the Enno Schmidt property. The City Administrator indicated that Enno Schmidt owns approximately 16 acres zoned resi- dential. The City Administrator further indicated that the property is appraised at approximately $6,300 per acre. ~ City Council Minutes January 21, 1985 J:>age Six and further indicated that Mr. Enno Schmidt's daughter, Ms. Arlys Christeck indicated that the property should be worth more than the appraised value as the 16 acres would be split, and also that there is some question to the value of the rest of the residential property, if a water tower were placed next to it. Discussion was carried on regarding the cost of the Enno Schmidt property versus the cost of placing the water tower further out of the City or on the east side of Highway #169, regarding additional piping and placement of the waterline under Highway #169. The City Administrator indicated that Enno Schmidt felt $10,000 for the property would be a fair price. Councilmember Gunkel indicated that she felt the cost to locate the tower else- where would be much more than the cost of the Enno Schmidt. COUNCILMEMBER GUNKEL MOVED TO AUTHORIZE THE MAYOR AND CITY ADMINISTRATOR TO ENTER INTO A PURCHASE AGREEMENT TO ACQUIRE PROPERTY FOR A WATER TOWER FROM ENNO SCHMIDT. COUNCILMEMBER WILLIAMS SECONDED THE MOTION. THE MOTION PASSED 4-0. 12. Consider Mechanical Amusement Device License Renewals for: A. Dick's Main Tap B. Broadway Bar and Pizza C. American Legion Post #112 COUNCILMEMBER ENGSTROM MOVED TO APPROVE THE MECHANICAL AMUSEMENT DEVICE LICENSE RENEWALS FOR DICK I S MAIN TAP, BROADWAY BAR AND PIZZA, AND AMERICAN LEGION POST #112. COUNCILMEMBER GUNKEL SECONDED THE MOTION. THE MOTION PASSED 4-0. 13. Consider Executive Search Firm The City Administrator indicated that an ad has been placed in the ICMA News- letter for a City Administrator and further indicated that he had received information on the executive search firm of Carroll Fry and Associates. Mayor Hinkle indicated that he felt the City Council should wait and see how many responses the City gets to the ICMA Newsletter ad and determine how dif- ficult it would be to put a committee together to review those spplications before deciding on an executive search firm. Mayor Hinkle indicated that he felt the City Council should not make a hasty decision in the retaining of an executive search firm. Mayor Hinkle further indicated that he felt the City will continue to function and that there was no need to panic and make hasty decisions. Councilmember Schuldt indicated that he was in agreement with the Mayor. Council- member Schuldt further indicated that he was not convinced that there should be a community committee to review the applications and further indicated that he felt the City Council is the only people that really know what they want in a City Administrator. Councilmember Schuldt further indicated that he felt if the City Council should look to someone else for support in reviewing applications, it could perhaps consider another City Administrator. Councilmember Schuldt in- dicated that he was not in favor of spending the money required for an executive search firm. ~ . . City Council Minutes January 21, 1985 Page Seven -, Councilmember Gunkel indicated that she was in agreement with Mayor Hinkle and Councilmember Schuldt. Councilmember Gunkel further indicated that she had met with the personnel director at United Power Association and in the personnel director's opinion, the use of an executive search firm was a final resort. Councilmember Gun- kel further indicated that the personnel director indicated that an executive search firm was costly and questioned the merit of that type of recruitment. Councilmember Gunkel further indicated that she discussed various other means of advertisement for a city administrator with the personnel director and other costs involved in the replacement of the city administrator, specifically, salary negotiations, benefits, moving expenses and costs to bring an individual to the City of Elk River for interview. Councilmember Gunkel indicated that the personnel director indicated that the City of Elk River should consider benefits and salary as currently, the benefits offered by the City of Elk River are minimal and current Minnesota employment laws affect the interest of a person coming to work in Minnesota. Discussion was carried on regarding the request for help from United Power's personnel director in the screening process of city administrator applicants. It was the consensus of the City Council that if the City Council saw a need to recruit the help of the personnel director from United Power Association, the City Council would send a letter of request to Mr. Phil Martin. Councilmember Williams indicated that he also was in agreement with Councilmember Schuldt, Councilmember Gunkel and Mayor Hinkle regarding the hiring of an executive search firm. Councilmember Williams indicated that he realized it would be a big commitment to handle the process of screening and hiring a city administrator but further indicated that he felt the City Council could do the job. It was the consensus of the City Council to pursue advertisement in the Minneapolis Star and Tribune and the Minnesota Manager's Association and to do the screening process and interview process without the contracting of an executive search firm. Discussion was carried on regarding the management of the City in the interim. Mayor Hinkle indicated that it was discussed that a department head be appointed Acting City Administrator and further indicated that he believed that each depart- ment head could run their own department and furtherindicated that he was not in favor of appointing one of the department heads to act as City Administrator. Councilmember Gunkel indicated that she also felt a department head should not be appointed Acting City Administrator. Discussion was carried on reagrding the need of an individual to coordinate the activities of the City. It was the consensus of the City Council that an individual to coordinate the activities of the City could possibly be filled by the appoint- ment of an interim City Administrator and that perhaps there was the possibility of finding a retired individual that might be able to act in the capacity. 14. Administrator's Update A. PUD TIP The City Administrator indicated that he has met with the City's attorney from Larkin Hoffman and the bond consultant from Springstedregarding the planned . City Council Minutes January 21, 1985 Page Eight unit development tax increment financing project. The City Administrator further indicated that he has involved Rick Breezee, the Building and Zoning Administrator, with the discussions so that he knows how the project is progressing. The City Administrator indicated that he has authorized Mr. Peter Beck of Larkin Hoffman to draft the district plan and Springsted will be doing the number analysis. The City Administrator further indicated that the tax increment financing project is on schedule to allow for the 30 days required for the County and School District to review the proposal. B. CSO Salary The City Administrator indicated that the community service officer's salary has not been set for the 1985 calendar year. The City Administrator indicated that in a salary survey of community service officers, the average is approximately $6.42 per hour. The City Administrator further indicated that the City of Anoka's salary range for the community service officer is $5.85 to $7.27 per hour. The City Administrator indicated that his recommendation was a salary of $6.30 per hour for the community service officer. Councilmember Schuldt indicated that he felt the community service officer should not get a higher salary increase than the other employees for the City of Elk River. The City Administrator indicated that the community service officer began under the MEED program and therefore, the salary was established without consideration to other similar positions in the area. Discussion was carried on regarding the duties of the community service officer. The City Administrator indicated that the CSO officer was responsible for vehicle maintenance, schedules, animal control, parking tickets and support to the police department secretary. Councilmember Schuldt indicated that he felt theCSO officer salary should be treated the same as the other employee's salaries. COUNCILMEMBER SCHULDT MOVED TO AUTHORIZE $5.80 PER HOUR FOR THE CSO OFFICER'S SALARY FOR 1985. COUNCILMEMBER ENGSTROM SECONDED THE MOTION. THE MOTION PASSED 4-0. C. Lion's Park The City Administrator indicated that he and the City's Street Superintendent Mr. Phil Hals, met with Mrs. Virginia Roper regarding an northerly access to the Lion's Park. The City Administrator indicated that a 50 foot easement for road access to the Lion's Park would run along the east edge of Mrs. Roper's property. The City Administrator indicated that the Street Department can build the road access to the Lion's Park and further indicated that the City's construction of the road access would be a portion of the City's contribution in the LAWCON grant. r . . ~ City Council Minutes January 21, 1985 Page Nine ., D. Traffic Controls on School Street COl:lUcilmember Gunkel indicated that Mr. Ken Carr, principal of Parker School, indicated that he will be presenting a proposal to the School Board for flashing lights during school hours on School Street and request for a stop light at the intersection of Jackson and School Street. Councilmember Gunkel indicated that this request will be forthcoming to the City Council. 16. Tentative Agenda A resolution for a signal light at School Street and Highway #169 and budget discussions are scheduled for the January 28th City Council meeting. It was the consensus of the City Council that the committee meetings held at the City Hall would begin at 7:00 p.m. 17. Check Register COUNCILMEMBER WILLIAMS MOVED TO APPROVE THE DECEMBER 31, 1985 CHECK REGISTER. COUNCILMEMBER ENGSTROM SECONDED THE MOTION. THE MOTION PASSED 4-0. There being no further business, COUNCILMEMBER ENGSTROM MOVED THAT THE MEET~NG BE ADJOURNED. COUNCILMEMBER GUNKEL SECONDED THE MOTION. THE MOTION PASSED 4-0. Q~LL: ~:tte~L Phyllis BOedigheim~ City Clerk/Treasurer PB:dk .....