12-30-1985 CC MIN
REGULAR MEETING OF THE ELK RIVER CITY COUNCIL
HELD AT THE ELK RIVER PUBLIC LIBRARY
MONDAY. DECEMBER 30. 1985
MEMBERS PRESENT: Mayor Hinkle. Councilmembers Gunkel. Schuldt and
Engstrom
MEMBERS ABSENT: Counci1member Williams
STAFF PRESENT: Tom Bublitz; City Administrator. Dave Se1lergren;
City Attorney. and Steve Rohlf; Building Inspector
1. The Elk River City Council meeting was called to order by Mayor Hinkle at
7:30 p.m.
2. Agenda
COUNCILMEMBER GUNKEL MOVED TO APPROVE THE DECEMBER 30. 1985 CITY COUNCIL
AGENDA. COUNCILMEMBER SCHULDT SECONDED THE MOTION. THE MOTION PASSED
3-0.
3. December 16. 1985 City Council Minutes
COUNCILMEMBER GUNKEL MOVED TO APPROVE THE DECEMBER 16. 1985 CITY COUNCIL
MINUTES AS SUBMITTED. COUNCILMEMBn SCHUIJ)T SECONDED THE MOTION. THE
MOTION PASSED 3-0.
4. Consideration of Economic Development Grant Program
Mr. Mike Auger of the Minnesota Department of Energy and Economic
Development was present. He noted that the Minnesota Department of Energy
and Economic Development's Recovery Fund Grant Program was working in
conjunction with Roma Tool and Plastic. Inc. He noted that the company
was seriously considering an offer by the State of South Dakota to
relocate in South Dakota. He indicated that with the Recovery Fund Grant
Program they may be able to retain the jobs and keep Roma Tool and
Plastics in Elk River. He further indicated that Roma Tool has indicated
that they may stay in Minnesota with financial assistance from the
Economic Recovery Grant Program.
Mr. Auger noted that the purpose of the program is to create or maintain
jobs. Mr. Auger explained the procedure for the grant program. He noted
that the Minnesota Department of Energy and Economic Development makes a
grant to the City or the County and the City makes the loan to the
Company. He noted the City keeps a portion of the payment. Mr. Auger
stated that in this case the Minnesota Department of Economic Development
enters into a grant agreement with the City of Elk River for $500.000 and
the City enters into a loan agreement with Modern Tool. Mr. Auger
indicated that the City is able to retain $100.000 of the total principal
amount being paid plus whatever interest is accrued. He noted that the
PAGE 2
CITY COUNCIL MINUTES
DECEMBER 30. 1985
City can use these funds for additional economic development programs.
Mr. Auger indicated that a majority of the companies they are dealing with
are marginal companies and if the company defaults in payment, the City is
not in any way liable for repayment to the Minnesota Department of Energy
and Economic Development.
Mr. Auger stated that because these are public funds, there must be
a public hearing.
COUNCILMEMBER SCHULDT MOVED TO
DEVELOPMENT GRANT FOR ROMA TOOL.
rOR JANUARY 13. 1986 AT 8:00
MOTION. THE MOTION PASSED 3-0.
PROCEED WITH THE SMALL CITIES ECONOMIC
INC. AND TO SET THE PUBLIC HEARING DATE
P.M. COUNCILMEMBER GUNKEL SECONDED THE
5. Conaideration of Technical Assistance Grant
The City Administrator noted he attended a Star City quarterly meeting and
spoke with one of the business finance specialists at the MN Department of
Energy and Economic Development with regard to submission of an
application for technical assistance. He noted that the State Technical
Assistance Program is designed as a partnership between the State and the
City. He further noted that the area he would like to focus on with the
Technical Assistance Program is development of the Industrial Park. He
also indicated that the Technical Assistance Program would also address
the issue of how the City can use the $100,000 retained under the Small
Cities Economic Development Program. He indicated he felt it would be
appropriate to explore the development of a revolving loan fund for the
City.
COUNCILMBMBER ENGSTROM MOVED TO AUTHORIZE THE CITY ADMINISTRATOR TO SUBMIT
AN APPLICATION FOR THE TECHNICAL ASSISTANCE PROGRAM TO THE MINNESOTA
~IPAftTMINT or ENERGY AND ECONOMIC DEVELOPMENT. COUNCILMEMBER SCHULDT
SECONDED THE MOTION. THE MOTION PASSED 3-0.
6. Amendment to Preliminary and Final Plat and Amendment to Conditional Use
Permit for Barthel pun/ Cont. Public Hearing
The City Administrator indicated he had received the required documents
from Barthel which included the site plan for the PUD, the Plat for Elk
River Plaza Second Addition, site plan for Elk River Plaza Second
Addition, Utilities plan and the phasing and use plan. He noted that the
revised site plan and the draft developer's agreement essentially reflect
the conditions of approval from the October 21 City Council Meeting. He
noted the staff reviewed the documents, plats, site plan and phasing
agreement. He noted that the City Attorney is working on the revised
developer's agreement.
PAGE 3
CITY COUNCIL MINUTES
DECEMBER 30, 1985
Mayor Hinkle reopened the public hearing.
The City
agreement
reviewed
requiring
Administrator
pertain to
by the City
the screening
noted that the two changes in the developers
landscaping - requiring the landscaping plan to be
Engineer and City Council, and trash receptacles -
of such receptacles.
Discussion was held on whether or not the pedestrian access was necessary.
Mr. Ken Barthel noted that the shopping center has changed since the
original concept. and felt the pedestrian access was not necessary. It
was the consensus of the City Council that the sidewalk was a hazard and
was virtually useless and therefore should be eliminated from exhibit C.
The City Administrator indicated that the City Engineer had reviewed the
plat and the utilities plan and found no problems with either.
rne City Administrator noted that the location of the fire hydrants was
reviewed with the Building Inspector and the Fire Chief. He noted there
was no hydrant anywhere in front of the building and felt it was important
that one be located somewhere in the vicinity. The City Administrator
further noted that final approval for the utilities will have to be given
by the City Engineer before a certificate of occupancy was issued. He
further noted that this would be looked at more closely before the
building permit issuance.
The Building Inspector reviewed the parking requirements for the Pamida
Store with the City Council. He noted that according to a similar use for
retail store 103 parking spaces are required. He indicated that if you go
by the 5.5 parking spaces per 1.000 square feet of floor area, which would
be in accordance with the rest of the shopping center. then 220 parking
stalls would be required. the plan shows 249 spaces which far exceeds the
required 103 or 249 parking spaces.
The Building Inspector discussed future parking expansion of the shopping
Center. He noted that there are currently 28 excess parking spaces in the
original shopping center parking lot. He further noted that between the
existing parking lot and Freeport Avenue some of the green space would be
made into parking spaces for future expansion which would bring the number
of spaces to the required 121. The Building Inspector noted that Barthel
had indicated they would like to use some of the excess parking stalls
which Pamida has for Dore future expansion. rne City staff indicated that
the lot would be owned by Pamida and some type of agreement would have to
be entered into with Barthel and Pamida in order to do this.
Steve Rohlf, the City's Building Inspector noted that the fire lane on the
Highway 169 side should be left open and the connection to the sprinkler
system be left in the fire lane.
PAGE 4
CITY COUNCIL MINUTES
DECEMBER 30. 1985
The Building Inspector indicated that the m1n1mum setback from the parking
lot to the road right-of-way is ten feet in similar zones. and that at the
present time there is less than ten feet from the parking lot to the road
right-of-way. The Building Inspector further noted he felt the berm
between the Pamida parking lot and the right-of-way should be consistent
with the green space between the existing parking lot and road right-of-
way.
Mayor Hinkle closed the public hearing.
COUNCILMEMBER ENGSTROM MOVED TO APPROVE THE PRELIMINARY AND PINAL PLAT Of
THE ELK RIVER PLAZA SECOND ADDITION. COUNCILMEMBER GUNKEL SECONDED 'nil
MOTION. THE MOTION PASSED 3-0.
COUNCILMDmER GUNKEL MOVED TO APPROVE THE REDRAFTED DEVELOPER I S AGREEMENT
WITH THE FOLLOWING CHANGES:
1. FINAL LANDSCAPING AND BUILDING PLANS FOR EACH LOT SHALL BE SUBMITTED
FOR APPROVAL.
2. ALL TRASH RECEPTACLES BE SCREENED.
3. THE LANDSCAPED BERM BETWEEN THE PARKING LOT AND FREEPORT AVENUE
CONTINUE ON IN A MANNER CONSISTENT WITH THE SHOPPING CENTER.
COUNCILMEMBER ENGSTROM SECONDED THE MOTION. THE MOTION PASSED 3-0.
7. Industrial Development Project - Scherer / Public Hearing
The City Administrator noted that a public hearing was previously held on
the Industrial Development Project by Scherer Limited. Partnership but
because of the way the legal notice was worded. the Bond Counsel requested
that the City hold another public hearing.
The City Administrator indicated that the applicant has submitted all the
documents at the previous public hearing and the staff is satisfied that
all requirements are met.
Mayor Hinkle opened the public hearing. No one appeared for or against
the item.
Mayor Hinkle closed the public hearing.
Mr. Ken Barthel submitted a check to the City of Elk River in the amount
of $7.100 for any costs incurred by the City with regard to the Industrial
Development Pruject by Scherer Limited Partnership.
COUNCILMEMBER SCHULDT MOVED TO ADOPT RESOLUTION 85-85 A RESOLUTION
PROVIDING FOR THE ISSUANCE AND SALE OF A REVENUE BOND PURSUAm' TO CHAPTER
474, MINNESOTA STATUTES. TO PROVIDE FUNDS TO BE LOANED TO SCHERER LIMITED
PARTNERSHIP FOR INDUSTRIAL DEVELOPMENT PROJECT. COUNCILMEMBER ENGSTROM
SECONDED THE MOTION. THE MOTION PASSED. 3-0.
-.,
PAGE 5
CITY COUNCIL MINUTES
DECEMBER 30, 1985
8. Reconvene Budget Hearing
The City Council discussed the 1986 wage and salary adjustments and
consented to a 4% increase for all city employees with exception to the
Community Service Officer, Sergeant and Building Inspector. The City
Administrator noted that the Building Inspector has been taking the
responsibilities of the Building and Zoning Administrator since December
16 and stated he felt his salary increase should be retroactive from that
date.
The Council noted that the City Administrator should also receive a 4%
increase, and that a six month adjustment would be done at a future date.
The City Administrator noted there were other employees which would be
coming up for a six month adjustment.
COUNCILMlMBER GUNKEL MOVED TO GRANT A 4% INCREASE TO ALL CITY EMPLOYEES
LISTED ON THE FIRST PAGE OF "1986 SALARIES" WITH THE FOLLOWING
EXCEPTIONS: SERGEANT $30,805, COMMUNITY SERVICE OFFICER $l.OO/HR. AND
BUILDING INSPECTOR $10.10/HR RETROACTIVE FROM THE DATE OF DECEMBER 16,
1985. COUNCILMEMBER ENGSTROM SECONDED THE MOTION. THE MOTION PASSED 3-0.
COUNCILMEMBER ENGSTROM MOVED TO APPROVE A $10.00 INCREASE TO CITY
II(1'LOYEIS FOR THEIR HEALTH AND LIFE INSURANCE. COUNCILMEMBER SCHULDT
SECONDED THE MOTION. THE MOTION PASSED 3-0.
9. Check Register
COUNCILMEMBER SCHULDT MOVED TO APPROVE THE CHECK REGISTER. COUNCILMEMBER
GUNKEL SECONDED THE MOTION. THE MOTION PASSED 3-0.
10. Adj ournment
There being no further business, COUNCILMEMBER GUNKEL MOVED TO ADJOURN THE
ELK RIVER CITY COUNCIL MEETING. COUNCILMEMBER SCHULDT SECONDED THE
MOTION. THE MOTION PASSED 3-0.
The Elk River City Council Meeting Adjourned at 9:00 p.m.
J~
Sandra Thackeray
Recording Secretary