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05-02-1983 CC MIN REGULAR WEEKLY SCHEDULED MEETING OF THE ELK RIVER CITY COUNCIL HELD AT THE ELK RIVER PUBLIC LIBRARY MAY 2, 1983 Members poresent: Mayor Hinkle, Councilmembers Engstrom, Schuldt, Duitsman, and Gunkel Members Absent: None 1. The meeting was called to order at 7:30 p.m. by Mayor Hinkle. 2. Agenda Item ll~, Parking Lot and Pipe Railing in the Downtown Area, Item l2~, Mayor's Update, and Item 13D, Highway 10 Improvement Project were items.added to the May 2, 1983 City Council Agenda. . COUNCIU1EMBER GUNIZEL MOVED '1;0 APPROVE THE MAY. 2, 1983, CITY.COUNCIL AGENDA AS AMENDED. COUNCILMEMBER SCHULDT SECONDED THE . MOTION;.-THEMOr,rmON PAsSED 4-0. 3. Minutes COUNGILMEMBER GUNKEL M;OVED TO. APPROVE .THE MINU'I;ES OF THE APRIL 18, .1983 CITY COUNCIL MEEETING. COUNCILMEMBER DUITSMAN. SECONDED THE MOTION. THE MOTION PASSED 4-0. 4. Open Mike Mr. Tim Ostrom, resident of the Heavenly Hills Addition, appeared before the City Council requesting that the City Council consider an ordinance prohibiting dogs running at large in unplatted areas. Geperal discussion of the City's Dog Ordin- ance was. carried on.. It was suggested that the Ordinance could specify specific areas within the City limits, or that the whole City could be covered under the Dog Ordinance. Councilmember Engstrom indicated that dogs run at large in the outlying area of the City and cause various problems with homeowners and other dogs. Mayor Hinkle indi- cated that he also re.ceives complaints from residents regarding clogs running at large. Councilmember Duitsman indicated that the Ordinance was written specifically for the old Township and suggested that the City have an open meeting regarding an amendment to the Dog Ordinance. Councilmember Gunkel indicated that the Ordinance is difficult to enforce as the people have to catch the dog in order for the dog to be turned in. Mr. Tom Ostrom indicated that homeowners should have certain rights and should not have to put up with dogs running through their property, and further indicated that the City does not have a dog catcher to pick up dogs even if they are caught. Mayor Hinkle indicated that he felt the City Council must address the problem of dogs running at large and suggested that the City Council review the problem at a committee meeting. City CQuncil Minutes May 2, 1983 Page Two 5. Reconvene as Board of Equalization .Mayor Hinkle indicated that at the Board of Equalization Meeting, April 27, 1983, the City Council voted to extend the meeting to the next scheduled City Council meeting to review the valuation of Dr. Sommer's property. Mayor Hinkle indi- cated that Dr. Sommer had allowed the City's Appraiser to appraise his property and that ~Dr. Sommer was in agreement with the newly assessed valuation. Mr. Jerry Kritzeck, Appraiser for Sherburne County, indicated that he had ap- praised the land at $16,000 and the home at $69,000 for a total of $85,600. COUNCILMEMBER GUNKEL MOVED '1:0 APPROVE THE ASSESSED VALUATION OF DR. SOMMER'S HOME AT $85,600. COUNCILMEMBER ENGSTROM SECONDED THE MOTION. THE MOTION PASSED 3-0. 6. Consider Award for Loader and Truck Mayor Hinkle indicated that.he had looked at some of the equipment that was bid with the Street Super:i.ntendent, Phil Hals. The City Administrator indicated that Mr. Hals, after a considerable amount of time was spent on reviewing the truck and loader bids, has recommended that the City purchase a 1983 diesel truck from Boyer Trucks in the amount of $48,269 and also that the City purchase a 1983 Caterpiller 930 Loader from Ziegler's Inc., in the amount of $58,373. Councilmember Duitsman questioned the possibility of awarding the truck bid to the local dealer even though the bid was some $200 more. The City Administrator indi- cated that when the equipment was identical, the City is obligated to take the lowest bid. General discussion was carried on regarding the type of engine in the truck and further discussion was carried on.regarding the comparison of the bids from Hog- lund Bus Company for an International Truck and the Ford dealers with a Ford Truck. Mr. Phil Hals indicated that the International Truck did not meet specifications in the area of spring weight and engine. Mr. Hals further indicated that the five bids received were very close and further indicated that the bids received were very favorable and that it was his recommendation to purchase the truck from Boyer Ford. Mr. Hals indicated that the truck should be scheduled for delivery in approx- imate+y 45 to 60 days and that the prime need of the truck would be for snow re- moval. COUNCILMEMBER DUITSMAN MOVED TO AUTHORIZE THE PURCHASE OF A +983 FORD DIESEL TRUCK FROM BOYER TRUCKS IN THE AMOUNT OF $48,269. COUNCILMEMBER ENGSTROM SECONDED THE MOTION. THE MOTION PASSED 4-0. The City Administrator indicated that the request fot loader bids was for a 1976 or newer front end loader, and further indicated that Mr. Phil Hals, Street Super- intendent had looked at all of the machines bid, except for the equipment bid City Council Minutes May 2, 1983 Page Three from Culbertson Equipment out of Park Rapids. The City Administrator indicated that it was recommended -that the City Council authorize the purchase of a new 1983 Caterpillar 930 Loader from Ziegler Inc., based on the recommendations submitted in a memorandum to the Mayor and City Council from the Street Super- intendent, dated April 29, 1983. Councilmember Schuldt questioned the recommendation of a new front end loader versus purchase of a used one, which was discussed in committee meeting. Mr. Phil Hals indicated that at the time of the discussion of the purchase of a front end loader, it was suggested that a new front end loader would cost approx- imately $80,000, and therefore it was assumed that a used loader would be a better purchase for the City of Elk River. Discussion was carried on regarding the price quotations for new equipment versus used equipment. Councilmember Duitsman questioned the difference in the new Terex bid versus the new Cat bid. Mr. Phil Hals indicated that the recommendation for the new Cat was based on the Caterpillar guarantee that any time up to three years they will buy back the Cat, whereby Terex has a one year guarantee, and it would cost $1,500 for a maintenance guarantee for each year thereafter. Mr. Hals indicated that Caterpillar and Ziegler Inc., have a proven track record as they have be:en around for 50 years and that they also have an excellent support facility. Mr. Hals indicated that the Terex is manufactured by a German Holding Company, .and at the present time there is only one other Terex machine in the State of Minnesota. I Discussion was carried on regarding the co~parison of the Terex and the Caterpillar with regard to the warranty, u'Sage of gas, resale value and main- tenance program. Mayor Hinkle indicated that he felt the Caterpillar would hold its resale value, and therefore was in favor of the purchase of the new caterpillar from Ziegler Inc. COUNCILMEMBER DUITSMAN MOVED TO PURCHASE THE TEREX FRONT END LOADER FROM BORCHERT AND INGERSOLL, AND TO INCLUDE THE PURCHASE OF A TWO-YEAR WARRANTY. COUNCILMEMBER GUNKEL SECONDED THE MOTION. THE MOTION FAILED 2-3. COUNCILMEMBER SCHULDT, COUNCILMEMBER ENGSTROM AND MAYOR HINKLE OPPOSED. Further discussion was carried on regarding the type of engine in the Terex, the warranty provided by the Cat and the difference in price. Councilmember Schuldt indicated that he liked the warranty provided by the Caterpillar but was having some problem with the difference in the price of the two machines. Mr. Hals indicated that the City could have bid the front end loader with a buy back in the specifications, but felt that the City would purchase a front end loader for a long term use. Councilmember Engstrom indicated that he had some reservations regarding the difference in price but was comfortable with the American made diesel engine in the Caterpillar, and the support facilities that Ziegler provides. Mayor Hinkle indicated that he felt that equipmept purchased is no better than the dealer, and that a good dealer and a good warranty is very important in the decision of the purchase of heavy equipment. COUNCILMEMBER SCHULDT MOVED TO AUTHORIZE THE PURCHASE OF THE 1983 CATERPILLAR 930 FROM ZIEGLER'S INC. IN THE AMOUNT OF $58,373. COUNCILMEMBER ENGSTROM SECONDED THE MOTION. THE MOTION PASSED 3-2. COUNCILMEMBER DUITSMAN AND COUNCILMEMBER GUNKEL OPPOSED. City Council Minutes May 2, 1983 Page Four 7. 1983 Sewer Rates The City Administrator reviewed the breakdown of current revenues and projections for sewer rates for 1983, and further revi~wed the proposed rate increases for sewer rates in 1983. The City Administrator indicated that it was recommended that the City Council authorize a 30% incr~ase in sewer rates as the projected revenue would then meet the projected 1983! expenditures for the Sewer Department. Mayor Hinkle indicated that he felt the users of the sewer system should pay their way and therefore, was in favor of t~e 30% increase. Discussion was carried on regarding how much water usage was necessary in order to have an economies of scale for the operation of the Wastewater Treatment Plant. i COUNCILMEMBER DUITSMAN MOVED TO AUTHORIZE ~HE INCREASE OF SEWER RATES BY 30% WITH A $5.00 MINIMUM CHARGE FOR MINIMUM US~S. COUNCILMEMBER ENGSTROM SECONDED THE MOTION. THE MOTION PASSED 3-1. COUNC~LMEMBER SCHULDT OPPOSED. 8. Stop Sign at 5th and Baldwin The City Administrator indicated that the Chief of Police and the Street Super- intendent had recommended that a stop sign be placed at the intersection of Fifth Street and Baldwin, stopping traffic as it travels north on Baldwin. Mayor Hinkle indicated that he felt that the stop sign was needed as it was a bad intersection. COUNCILMEMBER GUNKEL MOVED TO AUTHORIZE THE PLACEMENT OF A STOP SIGN AT THE INTERSECTION OF FIFTH AND BALDWIN. COUNCILMEMBER SCHULDT SECONDED THE MOTION. THE MOTION PASSED 4-0. 9. Non-Intoxicating Malt Liquor License for Pinewood The City Administrator indicated that in 1982 the City Council issued a non- intoxicating malt liquor license to Mr. To~ Noon for the Pinewood Golf Course and that Mr. Noon has recently made arrang~ments with Mr. James DeSplinter for the operation of the Pinewood Golf Course, and as such, Mr. DeSplinter has requested that the non-intoxicating malt l~quor license be reissued in his name. ! ' COUNCILMEMBERDUITSMAN MOVED TO APPROVE A NON-INTOXICATING MALT LIQUOR LICENSE FOR JAMES DE SPLINTER AT THE PINEWOOD GOLF COURSE PROVIDED PROOF OF ADEQUATE INSURANCE IS PROVIDED. COUNCILMEMBER SCHULDT SECONDED THE MOTION. THE MOTION PASSED 4-0. 10. Rescinding Non-intoxicating Malt Liquor License at City Park I The City Administrator indicated that a letter from the former Elk River Softball Association has been received requesting tpat a non-intoxicating malt liquor license issued by the City Council be resc~nded COUNCILMEMBER SCHULDT MOVED TO RESCIND THE! NON-INTOXICATING MALT LIQUOR LICENSE ISSUED TO THE ELK RIVER CITY SOFTBALL ASSOGIATION. COUNCILMEMBER ENGSTROM SECONDED THE MOTION. THE MOTION PASSED 4-0. City Council Minutes May 2, 1983 Page Five 11. Non-intoxicating Malt Liquor License for Reggie's Pennant Bar Softball Team The City Administrator indicated that four softball teams sponsored by Reggie's Pennant Bar have applied for a non-intoxicating malt liquor license for the purpose of operating the concession stands during the softball season at the City softball parks. Discussion was carried on regarding the maintenance of the parks and the clean-up do to the sale of beer in the City parks. Councilmember Schuldt indicated that in the past, the Elk River Softball Association has obtained a non-intoxicating malt liquor license and has contributed proceeds from the sale of beer to the maintenance of the parks. Councilmember Schuldt further indicated that he has a hard time believing a softball team is a non-profit organization. Council- member Schuldt also indicated that the proceeds of the sale of the beer in the park would go to the 4 teams and other teams would not have the opportunity to make money. Mr. Reg Powell, representative of the four softball teams indicated that the insurance requirements has caused a problem for various individual teams to obtain insurance to sell beer in the park. General discussion was carried on regarding the definition of a non-profit organization. The City Administrator indicated that it is a case of precedence, as the City Council has issued non-intoxicating malt liquor licenses to various softball teams for tournaments. COUNCILMEMBER SCHULDT MOVED TO DENY THE 3.12 NON-INTOXICATING MALT LIQUOR LICENSE REQUEST BY THE FOUR SOFTBALL TEAMS SPONSORED BY REGGIE'S PENNANT BAR. MAYOR HINKLE SECONDED THE MOTION. THE MOTION PASSED 3-2. COUNCIL- MEMBER ENGSTROM OPPOSED AND COUNCILMEMBER.DUITSMAN OPPOSED. Councilmember Duitsman indicated that Reggie's Pennant Bar sponsor~ many other sports events in the City, and further indicated that he felt it would be better for someone to sell the beer having the liquor liability insurance' rather than the individuals bring their own. Discussion was carried on regarding the sale of other concessions at the stands. It was the general consensus of the City Council that should someone request to use the stand for the sale of other concessions, it would be approved. ll~. The Downtown Park and the Pipe Railing Councilmember Gunkel indicated that a resident of the City has indicated to her that the pipe railing along the sidewalk along Highway 10 is broken and further indicated that the stones along the downtown park were becoming a nuisance. Mr. Phil Hals, Street Superintendent indicated that the pipe railing had been fixed. The City Administrator indicated that the City Street Department was going to build a concrete curb along the parking in the downtown park to contain the stone along the edge. City Council Minutes May 2, 1983 Page Six Mayor Hinkle indicated that he felt the placement of the stones along the parking in the downtown park did not add to the beauty of the downtown, and further indicated that he felt the stone should be removed and asphalt put in it's place. Councilmember Duitsman requested that the City Staff make a recommendation regarding that area in the downtown park. 12. Vacation Policy. The City Administrator submitted a copy of proposed additional language to be added to Section 218.30 Subdivision 3 of the City Code. The City Administrator indicated that the additional language has no provision for the payment of vacation time or unused vacation time, but does provide for the carryover of more than five days of vacation if requested for a special use. Councilmember Gunkel indicated that cashing in of unused vacation time has promoted this amendment to the Ordinance, and yet does not actually address the issue of cashing in of vacation time. Discussion was carried on regarding the cashing in of vacation time. COUNCILMEMBER DUITSMAN MOVED TO ADOPT ORDINANCE 83-~, AN ORDINANCE AMENDING SECTION 218.30 SUBDIVISION 3 AND SUBDIVISlbN 5 OF THE CITY CODE. COUNCILMEMBER ENGSTROM SECONDED THE MOTION. THE MOTION PASSED 4-0. l2~. Mayor's Update. A. HRA Meeting Mayor Hinkle indicated that the HRA will be holding a meeting Tuesday evening at 7:30 p.m. to discuss redevelopment issues and financial issues, and therefore, requested that members of t~e City Council attend the meeting. B. The Private Landfill in the City of Elk River, and other garbage-dumped problems. Mayor Hinkle indicated that Mr. Chris Kreiger, owner of the Elk River Landfill, called regarding the publicity and the community attitude toward the Landfill due to the disposing of items from the St. Paul schools. Mayor Hinkle indicated that Mr. Kreiger indicated that he would like to discuss any issues of controversy with the City Council, and further indicated that the PCA inspects their landfill monthly. Mr. Kreiger indicated that the PCA believes that the sooner a landfill hole is filled up, the better. Mr. Kreiger also indicated that it was the: concern of the people in Elk River that the landfill should only take in Elk River garbage, and he then suggested that no one should shop out of the Town of Elk River either. Mayor Hinkle indicated that at the end! of Waco Street old refrigerators, mattresses and sofas have been dumped, and requested that City Staff look into the problem. The City Administrator indicated that the City's Building and Zoning Official, and the City's Street Superintendent, and the Police Chief are aware of the dumping being done out there, and that the City's Building and Zoning Official is working with the City Attorney on the matter. Councilmember Duitsman further indicat~d that there is some garbage dumping being done along 193rd also. City Council Minutes May 2, 1983 Page Seven C. Irving Avenue Sidewalk Mayor Hinkle indicated that he has received many complaints from residents along Irving Avenue regarding the non-completion of the sidewalk project. Mr. Phil Hals indicated that he had met with Mr. Terry Maurer of Consulting Engineers Diversified, and Bauerly Brothers on Friday, and that Bauerly Brothers has indicated that they will be completing the fill and sod along the sidewalk immediately. D. Burning in Platted Areas Mayor Hinkle indicated that he has received many calls regarding burning permits in specific areas within the City of Elk River. It was the con- sensus of the City Council that City Staff would send maps and copies of the City Code regarding burning permits within the City of Elk River to all Fire Wardens for the City. 13. Administrator's Update A. Legislative Update 1. Gravel Tax The City Administrator indicated that Senator Davis introduced a special bill addressing the Gravel Tax issue to the Senate Tax Committee, and that the hearing was scheduled for Tuesday at 3:00. The City Administrator further indicated that he would"need someone from the County and the City to testify to the Senate Tax Committee regarding the Gravel Tax Bill, and further indicated that someone from Le Sueur County would also be there to testify. 2. Levy Limit Adjustment The City Administrator indicated that there is an amendment to the Omnibus Tax Bill that would allow for cities to recapture one half of their levy limit authority that was lost when the 8% levy limit was put in place. The City Administrator indicated that this amendment would benefit approximately 50 cities, and that Elk River would obtain the most benefit, as the City of Elk River was far below anyone else in their tax levies. The City Administrator indicated that the amend- ment has cleared one subdivision of the Tax Committee and does look very good for passage of the full Tax Committee. 3. Local Government Aid The City Administrator indicated that many proposed formulas are circulating within the legislature for distribution of local government aid, and further indicated that in all of the proposed formulas, the City of Elk River does very well. The City Administrator indicated that none of the proposed formulas are satisfactory to everybody, and that the legislature will have to make some decision regarding what formula to use for the distribution of local government aid. City Council Minutes May 2, 1983 Page Eight B. Acquisition of Computer The City Administrator indicated that he, Councilmember Gunkel, Councilmember Duitsman, and the Deputy City Clerk have looked at various hardware and software, specifically Wang, IBM, and Texas Instrument to satisfy the needs of the City of Elk River. The City Administrator questioned the City Council as to where they would like to proceed from this point. Mayor Hinkle indicated that he felt the Committee should continue with the research into the needs of the City with regards to automation, and that it was not necessary to include the whole council. Councilmember Gunkel indicated that she felt it was a product that should not be bought by price alone. Councilmember Duitsman indicated that he felt the accounting and financial reporting for the City w~s not a reason in itself to purchase a computer, as he felt the costs are greater than the benefits. Councilmember Duitsman further indicated that he did recommend the City of Elk River purchasing a computer for mailing notices and various other applications that can be done and further indicated that he felt the City Council should make a com- mitment to purchase a computer, to budget annual costs, and pursue the additional applications that could benefit the City. Councilmember Gunkel indicated that she believed automation could provide quicker and more accurate reporting of the City's financial conditions as well as various other applications that the City could use. Discussion was carried on regarding costs, uses, and needs of the City of Elk River. It was the consensus of the City Council that the City Staff should complete a needs analysis and present to the City Council prior to recommendations of the purchase of computer hardware and software. C. New City Garage Construction The City Administrator indicated that plans for a city garage have been presented to the City Council, and further indicated that City Staff needs to know where they should proceed from this point. Councilmember Duitsman indicated that he felt the costs were very high and questioned the possibility of the construction of a city garage to be done in stages. Discussion was carried on regarding the possibility of phasing the construction of a city garage. It was the consensus of the City Council that the City Staff should look at various options with regard to the design and plan of the city garage. D. Highway 10 Improvement Project The City Administrator indicated that he, Councilmember Schuldt, and Council- member Gunkel had met with Mn/DOT regarding the concerns of the community expressed at the open meeting. The City Administrator indicated that Mn/DOT has revised some of the design of the Highway 10 project and has addressed some of the problems presented at the open meeting. The City Administrator indicated that Mn/DOT would be at the next City Council Meeting for review of the proposed Highway 10 improvement designs. City Council Minutes May 2, 1983 Page 9 , 14. Check Register COUNCILMEMBER DUITSMAN MOVED TO APPROVE THE MAY ~, 1983, CHECK REGISTER. COUNCILMEMBER ENGSTROM SECONDED THE MOTION. THE MOTION PASSED 4-0. 15. Tentative Agenda The Mn/DOT Improvement of Highway 10 and the Downtown Redevelopment Plan are tentatively scheduled for the May 9, City Council Meeting. THERE BEING NO FURTHER BUSINESS, COUNCILMEMBER ENGSTROM MOVED THAT THE MEETING BE ADJOURNED. COUNCILMEMBER DUITSMAN SECONDED THE MOTION. THE MOTION PASSED 4-0. Respectfully Submitted, V-1yg 'iJoed'fl.~?J Phyllis Boedigheimerl Deputy City Clerk Treasurer PB:st