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07-15-1985 CC MIN --, REGULAR WEEKLY SCHEDULED MEETLNG OF THE ELK RIVER CITY COUNCIL HELD AT THE ELK RIVER CITY HALL MONDAY, JULY 15, 1985 Members Present: Mayor Hinkle, Councilmembers Gunkel, Schuldt, Williams and Engstrom Members Absent: None Staff Present: Tom Bublitz, City Administrator; Rick Breezee, Building and Zoning Administrator; Terry Maurer, City Engineer; and Ron Langness, City Bond Consultant 1. The July 15, 1985 City Council meeting was called to order at 7:30 p.m. by Mayor Hinkle. 2. Minutes COUNCILMEMBER WILLIAMS MOVED TO APPROVE THE JUNE 24, 1985 CITY COUNCIL MINUTES. COUNCILMEMBER GUNKEL SECONDED. THE MOTION. THE MOTION PASSED 4-0. COUNCILMEMBER GUNKEL MOVED TO APPROVE THE JULY 1, 1985 CITY COUNCIL MINUTES. COUNCILMEMBER WILLIAMS SECONDED THE MOTION. THE MOTION PASSED 4-0. COUNCILMEMBER GUNKEL MOVED TO APPROVE THE JULY 25, 1985 CITY COUNCIL MINUTES. COUNCILMEMBER WILLIAMS SECONDED THE MOTION. THE MOTION PASSED 4-0. 3. Agenda Items12~ - Barthel Housing Area, 16A - Referendum, 16B - County State Aid Highway 42 Bridge, and 16C - Planning Commission Appointment were added to the agenda. COUNCILMEMBER SCHULDT MOVED TO APPROVE THE AGENDA OF THE JULY 15, 1985 CITY COUNCIL MEETING AS AMENDED. COUNCILMEMBER GUNKEL SECONDED THE MOTION. THE MOTION PASSED 4-0. 4. Open Mike Bob Tre1ford from the audience questioned whether the financial audit was available to the public. Mayor Hinkle indicated that the audit would be discussed at the next meeting held at the Elk River City Hall. 5. Consideration of Preliminary Plat - Sandpiper Estates - Public Hearing Mr. Stewart Wilson, representative of the Planning Commission, indicated to the Council that Mr. Gagne who lives at 1415 East Wayzata Boulevard is requesting a preliminary plat review for a subdivision located west of town on County Road 30. Mr. Wilson indicated that the developer is planning on phasing the development into two phases. Mr. Wilson further indicated that the first phase, which is currently being considered, will consist of 19 lots. Mr. Wilson further indicated that the total subdivision with the two phases together would consist of 43 single family lots and further stated that the zoning designation for this area is R-lb/single family residential, and that the land use map has been designated as MR/medium density residential. Mr. Wilson further stated that the main road to service the area would be County Road 30, and from County Road 30 there would be one north-south connecting road through the subdivision which would be an --, Council Minutes July 15, 1985 Page Two extension of Naples Street. Mr. Wilson further stated that intersecting the north-south roads would be two east-west roads which would be designated as l82nd and l83rd. Mr. Wilson stated that the Planning Commission heard this item at their June 25, 1985 meeting, and unanimously approved the preliminary plat for Sandpiper Estates with the conditions that a developer's agreement be entered into, all fees and park dedication be paid, that the City Engineer be required to inspect all road construction and that barriers and/or cul-de-sacs be erected for snow removal apd that they be put on the dead-end street. Mayor Hinkle opened the public hearing. Mike Heineke presented a petition to the City CounciL regarding their concern of the additional traffic and the condition of County Road #30. The petition stated "that further development of any subdivisions which would add more traffic to County Road 30 be delayed until road improvements can be completed by Sherburne County. This would tnclude the widening of the roadbed to create a safer environment for pedestrians and bicyclists as well as on-coming vehicles." It was indicated that the County Engineer had been addressed regarding the upgrading of County Road 30. Rick Satchel, from the audience inquired about restrictions which would be placed on the homes to make the homes equivalent to other homes in the area. Rick Breezee, Building and Zoning Administrator, indicated that the only restrictions as far as the City was concerned was that there be at least a single car garage with ,each dwelling unit, and as for size restrictions, the dwelling must be at least 22 feet in length for at least 50% of the structure, and that the dwelling unit be on a permanent foundation. Mr. Gagne indicated that the homes would be $65,000 to $85,000 on up, and that the homes would be at least equivalent, if not better, than the homes in the area. Further discussion was held regarding the condition of County Road #30. It was indicated that the County would like to hold off on the upgrading of County Road #30 until the City does Main Street so that they can get joint bids. Mayor Hinkle indicated that West Main Street was scheduled for upgrading next year. Mayor Hinkle closed the public hearing. Discussion was held regarding the extra traffic on County Road #30 and whether it would be possible to alleviate some of that traffic. Mr. Gagne, the developer indicated that after the first phase, eventually other roads will be put in the area. COUNCILMEMBER GUNKEL MOVED TO CONTINUE THE PUBLIC HEARING UNTIL THE FIRST MONDAY IN AUGUST SO THAT THERE WOULD BE TIME FOR THE COUNTY TO BE CONTACTED AND FURTHER DETAILS WORKED OUT ON THE PLAT. COUNCILMEMBER SCHULDT SECONDED THE MOTION. THE MOTION PASSED 4-0. ---, Council Minutes July 15. 1985 Page Three 6. Consideration of Administrative Subdivision -,. Robert Thompson - Public Hearing Mayor Hinkle introduced this item. Mayor Hinkle indicated that Mr. Robert Thompson is proposing to subdivide an approximate 3.7 acre parcel from an existing 12.5 acre parcel. Mayor Hinkle further indicated that Dale Brown purchased the 3~ acres off the corner to add to his truck farm. Mayor Hdnk1e further indicated that the property does not abut an approved road. but that it is an unbui1dab1e piece of property and further that it is being added to Mr. Brown's existing property. Mayor Hinkle opened the public hearing. Rick Breezee. Building and Zoning Administrator.indicated that there has been some problems with the County recording property splits without Council approval. Lorraine Thompson. from the County. indicated that any documents that are legal and signed and come across their desks must be recorded. COUNCILMEMBER SCHULDT MOVED TO APPROVE THE ADMINISTRATIVE SUBDIVISION REQUESTED BY MR. ROBERT THOMPSON. COUNCILMEMBER ENGSTROM SECONDED THE MOTION. Discussion was held regarding the exact location of the property. Councilmember Gunkel indicated that she felt the lot line between Mr. Brown's property and the 3.7 acre parcel he was purchasing should be vacated. COUNCILMEMBER WILLIAMS MOVED TO AMEND THE MOTION TO INCLUDE THAT THE EXISTING LOT LINE BE VACATED AND DULY RECORDED. COUNCILMEMBER GUNKEL SECONDED THE AMENDMENT. THE AMENDMENT PASSED 4-0. THE AMENDED MOTION PASSED 4-0. 7. Consideration of Administrative Subdivision for Rauch and Frank - Public Hearing Rick Breezee, Building and Zoning adlninistrator, presented this item and stated that Mr. Rauch would like to subdivide a parcel of property ten acres in size into two five acre parcels with each parcel being approximately 250 feet by 875 feet. Mr. Breezee indicated that this administrative subdivision meets all requirements and minimum standards and has front footage on 205th Avenue. Mayor Hinkle opened the public hearing. Jim Tra11e questioned how many times a property can be subdivided without going through preliminary plat proceedings. Councilmember Gunkel indicated that in 1984 the City Council subdivided a large piece of property for Mr. Rauch into four parcels and now Mr. Rauch is subdividing those parcels again. Mr. Robert Thompson indicated he felt as long as Mr. Rauch is meeting the minimum requirements he should be able to keep dividing his property as many times as he wants to. Jim Tra1le indica ted he fe1 tit was not fair to other developers who have to go through preliminary plat procedures in order to conform to City Code requirements. Jim Tra11e stated that he would like to have the staff investigate and put in a limit as to the number of times an administrative subdivision can be given. ---, Council Minutes July 15, 1985 Page Four Mayor Hinkle closed the public hearing. Mayor Hinkle indicated that he would be i9 favor of this administrative sub- division but felt the City Council must take a look at this in the future. I I COUNCILMEMBER SCHULDT MOVED TO APPROVE TH~ ADMINISTRATIVE SUBDIVISION REQUESTED BY T. RAUCH AND J. FRANK. COUNCILMEMBER ENGSTROM SECONDED THE MOTION. THE MOTION PASSED 3-1. COUNCILMEMBER GUNKEL ~OTING NAY. Councilmember Gunkel stated that she voted against the motion because Mr. Rauch I is subdividing a subdivision which violates the City Ordinance. , 8. Administrative Subdivision Request by Brucje Goetz - Public Hearing I Rick Breezee, Building and Zoning Administlra tor, indicated that Mr. Bruce Goetz and his brother had purchased a 40 acre pilece of property along Fillmore Street in October of last year. Rick Breezee indjicated that the two brothers purchased the 40 acre piece with the understanding t~at Bruce Goetz would own the back 20 acres and his brother would own the f ron t ,20 acres. I Mr. Breezee indica ted that the back 20 <;lcrles was landlocked property. Mr. Breezee further indicated that Gene Chouinard ofC~ntury 21, sold the property to the Goetz brothers, and on the purchase agreem~nt there was a stipulation that a 66 foot road easement be provided to the b~ck 20 acres. Mr. Breezee further indi- cated that this road easement does abut Fi~lmore Street and further stated that Fillmore street is a hard surfaced road. ~e suggested that a private road agreement be entered into with Mr. Goetz and the City for the 66 foot easement leading to the back 20 acres. j , , Mayor Hinkle opened the public hearing. I Bruce Goetz, owner of the property, addres~ed the Council regarding this matter. I I I Mayor Hinkle closed the public hearing. , COUNCILMEMBERGUNKEL MOVED TO APPROVE THE.~MINISTRATIVE SUBDIVISION REQUESTED BY MR. BRUCE GOETZ WITH THE STIPULATION T~T A PRIVATE ROAD AGREEMENT BE ENTERED INTO WITH THE CITY FOR THE 66 FOOT ROAD EASEMENT LEADING TO THE BACK TWENTY ACRES. COUNCILMEMBERWILLIAMS SECONDEDTH~MOTION. THE MOTION PASSED 4-0. j 9. Final Plat Approval for Wilderness Acres -jPublic Hearing I Steve Merrick, representative of the plannlng Commission, indicated to the City Council that the Planning Commission had h~ard the request for final plat approval for Wilderness Acres at their Jun~ 25, 1985 Planning Commission Meeting. Mr. Merrick further indicated that the p.la+ning comm. ission unanimousl.y recommended approval with the stipulation that a devel4>per's agreement be entered into and the park dedication fees paid. Mayor Hinkle opened the public hearing. No one appeared for or in opposition of the matter. Mayor Hinkle closed the public hearing. Council Minutes July 15. 1985 Page Five The City Administrator indicated that a developer's agreement had been entered into and that Dave Sellergren, the City's Attorney, has done the title opinion, and that the required fees have been paid to the City. COUNCILMEMBER WILLIAMS MOVED TO APPROVE THE FINAL PLAT FOR WILDERNESS ACRES. COUNCILMEMBER ENGSTROM SECONDED THE MOTION. THE MOTION PASSED 4-0. 10. Variance Request by Mr. David Showers ~ Public Hearing Mr. Stewart Wilson, representative of the Planning Commission, indicated that the Planning Commission heard Mr. Shower's request for variance at their June 25, 1985 Planning Commission Meeting. Mr. Wilson indicated that Mr. Showers lives at 11362 207th Avenue NW in the Heavenly Hills area, and indicated that he;is requesting a variance to the 600 foot setback in order to build a metal- skinned building. Mr. Wilson stated that Mr. Showers' building would be 422 feet from his closest neighbor's residence. Mr. Wilson further stated that Mr. Showers had indicated that the building would bel 26' x 36' in size and would be used strictly as a machine shed for storage of equipment. Jim Tralle stated that all of the homes in the Heavenly Hills area are built in the middle of the lots so it is impossible to build a pole building 600 ,feet from any neighboring resident. Mayor Hinkle opened the public hearing. No one appeared for or in opposition of this item. Mayor Hinkle closed the public hearing. COUNCILMEMBER GUNKEL MOVED APPROVAL OF THE VARIANCE TO THE 600 FOOT SETBACK REQUIRED FOR A METAL SKINNED BUILDING, REQUESTED BY MR. DAVID SHOWERS OF 11362 207TH AVENUE NW, WITH THE CONDITION THAT THE METAL SKINNED BUILDING BE USED FOR STORAGE ONLY AND THAT NO LIVESTOCK BE HOUSED IN THE BUILDING. COUNCILMEMBER WILLIAMS SECONDED THE MOTION. THE MOTION PASSED 4-0. 11. Zone Change by. Mr. Richard Vensland - Public Hearing Mr. Steve Merrick, representative of the Planning Commission indicated that the Planning Commission heard this request for zone change at their April, May and June Planning Commission meetings. Mr. Merrick indicated that Mr. Vensland, who lives at 13133 Valley Forge Road, in Champlin was requesting to change a piece of property located on the intersection of Troy Street and Highway #10 from R-lb/ single family to C-3A/highway commercial. Mr. Merrick indicated that this re- quest for zone change was continued two times because of the fact that nobody showed up at the meeting representing Mr. Vensland. Mr. Merrick further in- dicated that at the three Planning Commission meetings this item was heard at, the public did come and express opposition to the zone change request. Mayor Hinkle opened the public hearing. There was no one for or in opposition of the item. Mayor Hinkle closed the public hearing. Council Minutes July 15, 1985 Page Six COUNCILMEMBER ENGSTROM MOVED TO DENY THE ZONE CHANGE REQUEST BY MR. VENSLAND. COUNCILMEMBERGUNKEL SECONDED THE MOTION. THE MOTION PASSED 4-0. 12. Site Plan Review for Good Year Auto Store Mr. Stewart Wilson, representative of the Planning Commission indicated that the Planning Commission heard this item at their June 25, 1985 meeting. Mr. Wilson indicated that the Planning Commission unanimously recommended approval of the site plan for the Good Year Auto Store upon the conditions that the landscaping and signs be done contingent to City Staff requirements. Mr. John Griese, representative of Barthel, presented the site plan to the Council for their review. Mr. Griese indicated that the Good Year Center will be located on Lot 2 of Block 1 and will be serviceable by a new hard-surfaced cul-de-sac and also will be serviced by all city utilities. Mr. Griese indicated that Barthel is willing to go along with the City Staff in regards to plantings and signage. Structure of the building was discussed. Councilmember Gunkel indicated that she did not believe that this situation was part of the tax increment financing plan, and questioned whether it could be included in the plan. COUNCILMEMBER GUNKEL MOVED APPROVAL OF THE SITE PLAN FOR GOODYEAR AUTO STORE TO BE LOCATED ON LOT TWO OF BLOCK ONE, ELK RIVER PLAZA ADDITION WITH THE STIPULATION THAT THE LANDSCAPING AND SIGNS BE REVIEWED BY THE CITY STAFF. COUNCILMEMBER SCHULDT SECONDED THE MOTION. THE MOTION PASSED 4-0. l2~. Barthel Housing Area Councilmember Gunkel indicated that in the Barthel single family housing project there was an area of land that has been stripped and regraded for housing. Councilmember Gunkel indicated that it was impossible to keep anything clean and that the neighboring residents around the area have been complaining of the dust created from this stripped land. Councilmember Gunkel suggested that maybe the land should be covered with straw. John Griese indicated that the stripping was done by a subcontractor by mistake. Mr. Griese indicated that Barthel will be responsible for the repair and further stated that a letter will be presented to the City staff regarding correction of this matter in one week. 13. Oak Meadows Final Plat Approval The City Administrator indicated that the Oak Meadows final plat was heard at the June 17, 1985 City Council Meeting but was tabled until the preliminary plat requirements were taken care of. which included developer's agreement. payment of park dedication fees. title opinion reviewed by the City Attorney and the City Engineer's reviewal of the project. The City Administrator indicated that at the present time a developer's agreement has been filled out, the City Attorney has done the title report, but that the park dedication fees have not been paid. . Council Minutes July 15, 1985 Page Seven ~ Mayor Hinkle reopened the public hearing. No one appeared for or in opposition of the item. Mayor Hinkle closed the Public Hearing. Rick Breezee, Building and Zoning Administrator indicated that the Developer's Agreement has been filled out and the total fees have been established. Mr. Breezee indicated that the fees were road grading $10,000, bituminous 28,000, engineering, legal and administrative costs, $2,115, park dedication $6,100. Mr. Breezee indicated that a payment schedule was discussed which did give the developer options for payment. Mr. Breezee indicated that a letter of credit had been provided for $38,000, which covered road fees. Mr. Jake Jacobson, developer of Oak Meadows, indicated that there, is a lot of expense to be paid up front when developing. He further indicated he has a lot of money into the project at the present time and would like to get some money out of the project. Discussion was held regarding the payment of the preliminary plat fees to the City and whether the fees should be paid up front or whether the City should give options to the developer. Jim Tralle indicated he felt the fees should be paid up front. Rick Breezee indi- cated that should the developer choose not to pay the full amount up front and choose one of the options available, he does have a hold should the developer renege and not pay the fees. The Building and Zoning Administrator indicated that if the fees were not paid by a certain date, no building permit would be issued for that particular area. Mr. Jacobson indicated that November 1, 1985 was the deadline for his completion date, and he should have all fees paid at that time. COUNCILMEMBER SCHULDT MOVED TO APPROVE THE FINAL PLAT FOR OAK MEADOWS WITH THE CONDITIONS THAT NOVEMBER 1, 1985 BE THE DATE SET -FOR FULL PAYMENT OF THE PARK DEDICATION FEE AND FURTHER THAT A TITLE SEARCH BE APPROVED BY THE CITY ATTORNEY AND THAT THE ROADS MEET ALL THE SPECIFICATIONS REQUIRED BY THE CITY'S ENGINEER. COUNCILMEMBER GUNKEL SECONDED THE MOTION. THE MOTION PASSED 4-0. The City Administrator indicated that he would investigate and try to come up with some type of policy review so that the City can be protected and further would not delay the developers should a problem come up regarding payment of the preliminary plat fees. 14. Ridgewood Estates Bituminous Overlay Project/Public Hearing Mr. Terry Maurer of Maier, Stewart, the City's Consulting Engineer was present. Mr. Terry Maurer indicated that the feasibility report had been completed by his firm for the Ridgewood Additions One, Two and Three bituminous overlay project. Mr. Maurer indicated that all the roads throughout the area would be overlaid with l~ inches of bituminous overlay. Mr. Maurer indicated that the total project cost would be $75,000 with $64,000 for construction and $11,000 for overhead. Mr. Maurer stated that the financing was supposed to be cost shared between the City and the residents with $1,000 being assessed to each benefitting lot. Mr. Maurer indicated that they came up with 62 lots at $1,000 each which would leave $13,000 to be picked up by the City. Mr. Maurer further indicated that there would be a ten year assessment payback. Mr. Maurer further indicated that construction would begin near the end of August and would be Council Minutes July 15, 1985 Page Eight ., completed/this year and further stated that the assessments would be made in October and would be on the 1986 taxes. Mayor Hinkle opened the public hearing. Mr. Alan Kremer questioned what the chances were of bids corning in higher or lower than projected on the project. Mr. Maurer indicated that their estimates are based on current blacktop projects and felt the bids would corne in close to the projected costs. Mr. Maurer further indicated that the City has the right to reject all bids. Mr. John Nohr indicated that he owns two lots and would be looking at two assessments, and stated he was opposed to this and would like to know if there would be a chance of him paying one assessment for the two lots. Mayor Hinkle indicated that the Council:' would hear the assessments at a different meeting. Hank Duitsman from the audience questioned whether curbs would be put back in to protect the road. Mr. Maurer indicated that there was no curbing proposed. Soil errosions of certain parts of the road in Ridgewood was discussed and it was indicated that something must be done to protect the road from breaking away from soil errosions. The residents indicated that there were four or five spots that were bad and would have to be looked into. Terry Maurer indicated he would check the bad spots in the road. Mayor Hinkle closed the public hearing. COUNCILMEMBER ENGSTROM MOVED TO APPROVE RESOLUTION 85-24 A RESOLUTION ORDERING BITUMINOUS OVERLAY PROJECT FOR RIDGEWOOD ESTATES ADDITIONS ONE, TWO AND THREE AND PREPARATIONS OF PLANS AND SPECIFICATIONS. COUNCILMEMBER GUNKEL SECONDED THE MOTION. THE MOTION PASSED 4-0. 15. Tax Increment Bonds for Water Tower Project Mr. Ron Langness of Springsted, Inc., the City's Bonding Consultant, was present and indicated that the authorization of the tax increment bond in the amount of $850,000 was for the water tower project. Mr. Langness stated that the bond issue would be supported by the tax increment district #1 with the main part of that district being Elk River Plaza. Mr. Langness stated that next week, the Guardian Angels would be requesting that the City adopt a resolution setting the sale of $130,000 of tax increment bonds. Mr. Langness stated that the reason there would be no developers agreement for this project was because of the fact that the Minnesota Finance Agency would not permit this. 16. Resolution Authorizing Issuance of Refunding Improvement Bonds Mr. Langness indicated that Springsted, Inc. was recommending to the City the refunding of various improvement bonds in order to obtain a more favorable interest rate. Mr. Langness indicated that there were five issues totaling $3,000,000 in bonding at the present time. Mr. Langness stated they were recommending bond insurance which would rate the bonds AAA. Mr. Langness stated this can drop the interest rate from 1% to 3/4% which would get more bidders with insurance. Mr. Langness further stated that insurance companies would Council Minutes July 15, 1985 Page Nine not look at anything under $2,000,000. Mr. Langness further stated that the Ridgewood Overlay project Gould be included. Mr. Langness indicated they would be authorizing issuance of the bonds setting the sale for August 12, 1985 at 1:00 p.m. Bob Trelford from the audience indicated to the City Council that he would urge caution of any major financial decisions until a Financial Officer was working for the City. COUNCILMEMBER GUNKEL MOVED TO APPROVE RESOLUTION 85-29 A RESOLUTION PROVIDING FOR ISSUANCE AND SALE OF $850,000 G.O. TAX INCREMENT BOND SERIES 1985A. COUNCILMEMBER WILLIAMS SECONDED THE MOTION. THE MOTION PASSED 4~0. l6A. City Hall Referendum Councilmember Williams indicated to the City Council that he would like to recommend that the Council take a closer look at the Assembly of God Building as a possible interim step. Councilmember Williams indicated he felt the cost is reasonable. Councilmember Gunkel indicated that she had toured the church and stated she felt the Assembly of God Church would be the best choice at the present time for the City Hall. Councilmember Gunkel presented the City Council with a memo containing her recommendations and feelings on this situation. Mayor Hinkle indicated that Dexter Mapson from the Assembly of God Church had indicated that the church could be bought on a time plan and it would be ready to be moved into in thirty days. Discussion was held regarding the question whether the Council could legally spend money on a contract for deed and how much money could be spent without a bond issue. Councilmember Gunkel indicated she felt that this location would meet the ten year projected needs for the City Hall. l6B. Bridge The City Administrator indicated that the City is responsible for the lighting on the bridge and questioned what kind of lights the City Council would propose to put on the bridge location. COUNCILMEMBER ENGSTROM MOVED TO APPROVE THE PURCHASE OF FOUR COBRA LIGHTS FOR THE BRIDGE. COUNCILMEMBER WILLIAMS SECONDED THE MOTION. THE MOTION PASSED 4-0. l6C. Planning Commission Appointment Councilmember Schuldt indicated that the Planning Commission has been short a member for a couple of months and indicated that Tom Warner had applied for the position as Planning Commission member. COUNCILMEMBER SCHULDT MOVED TO APPOINT TOM WARNER AS REPRESENTATIVE TO THE ELK RIVER PLANNING COMMISSION TO COMPLETE THE TERM OF BOB OSTER. COUNCILMEMBER GUNKEL SECONDED THE MOTION. THE MOTION PASSED 4-0. ~ C ounc i1 Minu te s July 15, 1985 Page Ten 17. Check Register COUNCILMEMBER GUNKEL MOVED TO APPROVE THE CHECK REGISTER WITH THE EXCEPTION OF CHECK #15980 FOR $120.00. COUNCILMEMBER WILLIAMS SECONDED THE MOTION. THE MOTION PASSED 4-0. There being no further business, COUNCILMEMBER WILLIAMS MOVED THAT THEiMEETING BE ADJOURNED. COUNCILMEMBER GUNKEL SECONDED THE MOTION. THE MOTION PASSED 4-0. Meeting adjourned at 11:15 p.m. Respectfully submitted, ~e~ Administrative Secretary