01-16-1984 CC MIN
,
REGULAR WEEKLY MEETING OF THE
ELK RIVER CITY COUNCIL
HELD AT THE ELK RIVER PUBLIC LIBRARY
JANUARY 16, 1984
Members Present: Mayor Hinkle, Councilmembers Engstrom, Duitsman, Schuldt, & Gunkel.
Members Absent: None
1. The Meeting was called to order at 7:30 p.m. by Mayor Hinkle.
2 . Agenda
Item 9~ - Elk River Utilities; Item ll~ - The Orono Dam; and Item l2~ - The
Mayor's Update, were added to the January 16th 1984 City Council agenda.
COUNCILMEMBER SCHULDT MOVED TO APPROVE THE JANUARY 16, 1984, CITY COUNCIL
AGENDA AS AMENDED. COUNCILMEMBER GUNKEL SECONDED THE MOTION. THE MOTION
PASSED 4-0.
3. Minutes
Councilmember Schuldt requested that Item 5 of the January 3, 1984, minutes;
Liquor License application, include change in ownership of the business
known as Danceland and Reggies Pennant Bar, take affect after approval of
-the~~Li~uor,Idcen$e .
COUNCILMEMBER ENGSTROM MOVED TO APPROVE THE MINUTES OF THE JANUARY 3, 1984,
CITY COUNCIL MEETING AS AMENDED. COUNCILMEMBER DUITSMAN SECONDED THE MOTION.
THE MOTION PASSED 4-0.
4. Open Mike
Councilmember Schuldt indicated that Mr. Mag Johnson contacted him regarding
the cars parked on the sidewalk at Marty's Auto. Mayor Hinkle indicated that
the Police Department is aware of the problem at Marty's Auto and have ticketed
many cars parked on the sidewalk. Mayor Hinkle further indicated that Marty
just seems to pay the tickets and continue to park the cars on the sidewalk.
Councilmember Gunkel questioned the possibility of having the cars towed.
General discussion was carried on regarding the impact of towing the cars.
It was the general consensus of the City Council to authorize the Police
Department to talk to Marty again regarding the parking of the cars on the
sidewalk.
Mayor Hinkle indicated that Mr. Terry Maurer of Consulting Engineers Diversified,
was leaving that firm to join another firm. Mayor Hinkle indicated that Mr.
Terry Maurer would be missed by the City of Elk River and that he wished him
well in his new position.
City Council Minutes
January 16, 1984
Page Two
5. Presentation by Myrton Wegener on Municipal State Aid
Mayor Hinkle indicated that Mr. Myrton Wegener had requested the opportunity
to make a presentation to the City Council regarding the Minnesota Association
of Small Cities.
Mr. Wegener indicated that he was interested in presenting information to
the City Council regarding the Minnesota Association of Small Cities position
on Municipal State Aid. Mr. Wegener indicated that the Association of Small
Cities called on him to help lobby in the legislature, their interest in
changing the state aid formula for distribution of state aid money. Mr. Wegener
indicated that he is working with townships and counties as well, with regard
to the state aid bill. Mr. Wegener indicated that he believed that the present
formula was not an equitable formula to all cities concerned in the State of
Minnesota. Mr. Wegener indicated that he felt the State Aid issue should be
taken directly to the legislature and that the League of Minnesota Cities should
not be involved. Mr. Wegener discussed the present State Aid formula and the
formula the Minnesota Association of Small Cities presented. Mr. Wegener
indicated that he was asking for the City Council's membership and support in
the lobby effort to change the current State Aid formula. Mr. Wegener indicated
that based on a fee schedule developed by the Minnesota Association of Small
Cities, the City of Elk River should pay .$2,238.41 for membership.
General discussion was carried on between the City Council and Mr. Wegener re-
garding levy limits, the legislatures positions, the League of Cities position,
and the Minnesota Association of Small Cities position. Further discussion was
carried on regarding the City of Elk River's membership in the League of
Minnesota Cities Association. It was the consensus of the City Council that
the City Council would discuss Mr. Wegener's proposal in a committee session.
6. Ordinance Amendments regarding Clerk/Treasurer position
The City Administrator indicated that Ordinance 84-1 makes a number of changes
to the existing city code to officially incorporate the separate position of
City Clerk. The City Administrator further indicated that the changes proposed
are consistent with the state statute regarding the duties of the City Clerk,
and are also consistent with the City's current method of operation.
COUNCILMEMBER GUNKEL MOVED TO ADOPT ORDINANCE 84-1 AN ORDINANCE AMENDMENT
REGARDING REESTABLISHMENT OF A SEPARATE CITY CLERK POSITION. COUNCILMEMBER
SCHULDT SECONDED THE MOTION. THE MOTION PASSED 4-0.
7. Renewal of various Licenses
A. Eagles Gambling License
B. Guardian Angels Bingo License
C. American Legion Gambling License
COUNCILMEMBER SCHULDT MOVED TO APPROVE THE EAGLES GAMBLING LICENSE, THE
GUARDIAN ANGELS BINGO LICENSE, AND THE AMERICAN LEGION GAMBLING LICENSE.
COUNCILMEMBER GUNKEL SECONDED THE MOTION. THE MOTION PASSED 4-0.
City Council Minutes
January 16, 1984
Page Three
1
General discussion was carried on regarding Club Liquor Licenses and the
impact that their advertisements, "open to the public," .have on private
establishments. Mayor Hinkle indicated that Club Licenses are issued to
clubs with admittance to members only. It was the consensus of the City
Council to authorize the City Administrator to contact the Eagles Club,
and the Legion regarding the Council's concerns on their "open to the
public" policy.
8. Assessment of sewer hook-up charges
Mayor Hinkle indicated that according to Minnesota Statute, the City Council
must hold a public hearing when assessing costs to a property. Mayor Hinkle
further indicated that the public hearing is scheduled for the assessment of
interceptor sewer hook-up charges to two properties in the School View Addition,
and one property in the Industrial Park.
Mayor Hinkle opened the public hearing. No one appeared for, or in opposition
of the assessment hearing. Mayor Hinkle closed the public hearing.
COUNCILMEMBER DUITSMAN MOVED TO APPROVE THE ASSESSMENT OF THE SEWER INTERCEPTOR
HOOK-UP CHARGES TO THE PROPERTIES AT: 11962 19l5T AVE, 19010 JACKSON ROAD, AND
19178 INDUSTRIAL BLVD. COUNCILMEMBER ENGSTROM SECONDED THE MOTION. THE MOTION
PASSED 4-0.
9. Issuance of Gambling License for Raffle For Cross Country Ski Group
Mayor Hinkle indicated that Ms. Harriet Burley of the Cross Country Ski Group
Parents Club, has requested a gambling license for a raffle to be held by the
group January 9, through February 15, 1984.
COUNCILMEMBER ENGSTROM MOVED TO APPROVE THE GAMBLING LICENSE FOR A RAFFLE TO
BE HELD BY THE CROSS COUNTRY SKI GROUP PARENTS CLUB. COUNCILMEMBER SCHULDT
SECONDED THE MOTION. THE MOTION PASSED 4-0.
9~. Elk River Utilities
Councilmember Duitsman indicated that the Elk River Utilities had two issues to
discuss with the City Council. Councilmember Duitsman indicated that the
Elk River Utilities Commission wanted the costs of moving the electrical
lines fi-om the bridge replacement funds. Councilmember Duitsman indicated that
the cost of moving the lines is approximately $9,000.
COUNCILMEMBER DUITSMAN MOVED TO AUTHORIZE THE COST OF MOVING THE ELK RIVER
UTILITY ELECTRICAL LINES FOR THE REPLACEMENT OF THE BRIDGE TO BE FUNDED FROM
THE BRIDGE REPLACEMENT FUNDS. COUNCILMEMBER ENGSTROM SECONDED THE MOTION.
THE MOTION PASSED 4-0.
Councilmember Duitsman indicated that he felt it was a cost of the project and
requested the City Administrator to include those costs in the total cost of
the pro j ec to
Councilmember Duitsman further indicated that the second issue to be considered
by the City Council was the street light standards for the Barthel Planned
Unit Development. Councilmember Duitsman further indicated that he felt it
was the City's responsibility to determine the street light standards, and
City Council Minutes
January 16, 1984
Page Four
1
further indicated that it was the City's responsibility to pay for the lights
rather than the Elk River Utilities. City Administrator indicated that the
street lighting is addressed in the developers agreement. The City Admin-
istrator further indicated that the developers agreement is waiting approval
of Barthel's attorneys.
Further discussion was carried on regarding the flip-flop change in the shopping
center facility.
10. Change order #3 for Gates Avenue Improvement Project
The City Administrator indicated that Change Order #3 was for work related to
the Gates Avenue Improvement Project. The City Administrator further indicated
that the Change Order represents a variety of miscellaneous items encountered
during the construction. The City Administrator indicated that many of the
costs were changes and repairs necessary to complete the project.
Mayor Hinkle indicated that he understood the problem the Elk River Municipal
Utilities has for the additional costs included in the Change Order. Council-
member Duitsman indicated that the Water Department is operating on a
negative cash balance and does not have $5,000 budgeted for the work related
to the Water Department.
Mr. Terry Maurer of Consulting Engineers Diversified discussed the various
costs related to the Change Order. Mr. Maurer indicated that during the
construction, various problems were encountered that needed to be repaired
or changed.
Mayor Hinkle indicated that the City Council should consider the possibility
of problems and changes in water lines or sewer lines in future projects.
Mr. Terry Maurer indicated that the City Council should anticipate some of
the same kind of problems during the Main Street Construction.
COUNCILMEMBER SCHULDT MOVED TO APPROVE CHANGE ORDER #3 FOR WORK RELATED TO
THE GATES AVENUE IMPROVEMENT PROJECT, AND TO BILL THE ELK RIVER MUNICIPAL
UTILITIES FOR ITEMS 5, 6, 7, 9, 10, AND 11, TOTALING $4,755. COUNCILMEMBER
GUNKEL SECONDED THE MOTION. THE MOTION PASSED 4-0.
11. Pay Estimate #5 for the Gates Avenue Improvement Project
COUNCILMEMBER GUNKEL MOVED TO APPROVE PAY ESTIMATE #5 FOR THE GATES AVENUE
IMPROVEMENT PROJECT IN THE AMOUNT OF $63,401.77. COUNCILMEMBER ENGSTROM
SECONDED THE MOTION. THE MOTION PASSED 4-0.
ll~ Orono Dam
Mayor Hinkle indicated that approximately one and one-halffi years after the
dam project was completed, the City received a bill from the engineering
firm, CHZM Hill, in the amount of $17,500. Mayor Hinkle indicated that the City
has not paid the bill as the City takes the position that the project has been
completed and the bill arrived too late. The City Administrator indicated
that the bill was for the completion of the asbuilts and the operation manual.
The City Administrator further indicated that he felt the Engineers, CHZM Hill,
City Council Minutes
January 16, 1984
Page Five
should not be paid for the bill they submitted, as they did not provide
accurate cost estimates, and therefore, the City lost grant money. The
City Administrator indicated that the Engineering Firm, has indicated that
they will go to court regarding payment of the engineering fees. The City
Administrator indicated that the City Attorney has advised the City that he
felt the City would have to pay something toward the engineering fee in a
court situation. The City Administrator indicated that CH2M Hill has admitted
to their mistake in submitting the bill a year and a half later and are willing
to cut their fee to $13,800. The City Administrator further indicated that he
felt the City Council should offer to pay half of the bill or approximately
$9,000.
General discussion was carried on regarding the projectiand how the City
would pay for the engineering fees.
COUNCILMEMBER DUITSMAN MOVED TO AUTHORIZE A PAYMENT OF $9,000 TO CH2M HILL
IN FULL PAYMENT OF THEIR ENGINEERING FEES FOR THE ASBUILTS AND THE OPERATION
MANUALS. COUNCILMEMBER ENGSTROM SECONDED THE MOTION. THE MOTION PASSED 4-0.
12. Administrator's Update
A. Chamber of Commerce Meeting
The City Administrator indicated that the Chamber of Commerce meeting
is scheduled for January 25, at 6:30 p.m. The City Administrator further
indicated that there would be a panel consisting of Don Schumacher, the
Mayor, and the City Administrator to discuss the progress and the future
outlook for the City of Elk River.
B. Computer
The City
that the
any day.
arrives,
Mankato.
Administrator indicated that the City has received information
computer has been shipped from Texas and should be arriving
The City Administrator further indicated that when the computer
installation will be scheduled and subsequently training in
C. Gospodar Property Purchase
The City Administrator indicated that the purchase agreement has been
completed to everyones satisfaction and that the abstract is being
updated. The City Administrator further indicated that once the abstracts
are complete, the County, City, and the Gospodars' can close on the
purchase.
D. Tele-Con '84 Conference
The City Administrator indicated that the first day of the conference
is scheduled to provide information and gather thoughts on future
outlooks for cities and the country as a whole, and that the second
day is scheduled for an exchange of that information with interaction
among the conference attendees.
,
City Council Minutes
January 16, 1984
Page Six
E. Liquor Profit and Loss Statement and Inventory
The City Administrator indicated that the profit and loss statement
has been completed for the Liquor Store and that the City Council
may review the Liquor Store operations during a workshop session.
F. Attendance at Liquor Managers State Conference
No action was taken.
G. Meetings Schedule
The City Administrator indicated that the City Council could finalize
the budget at the January 23rd meeting and that the Capitol Improvement
Program Meeting could be scheduled for the January 30th meeting.
l2~.Mayor's Update
Mayor Hinkle indicated that he would be meeting with the City of Big Lake
and Monticello's Mayor and City Administrators Wednesday at the River Inn.
Mayor Hinkle further indicated that he would like to have the authority to
pick up the tab for the luncheon.
CoUNCILMEMBER DUITSMAN MOVED TO ANTHoRIZE THE MAYOR TO PAY FOR THE LUNCHEON
SCHEDULED AT THE RIVER INN ON WEDNESDAY. CoUNCILMEMBER ENGSTROM SECONDED
THE MOTION. THE MOTION PASSED 4-0.
Mayor Hinkle indicated that the airport possibilities would be discussed at
the joint meeting.
13. Check Register
COUNCILMEMBER DUITSMAN MOVED TO APPROVE THE JANUARY 16, 1984 CHECK REGISTER.
CoUNCILMEMBER ENGSTROM SECONDED THE MOTION. THE MOTION PASSED 4-0.
14. Tentative Agenda
The Liquor Store operations and the City budget are tentatively scheduled
for the January 23, 1984 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.'
Qir1i aIDitted. ~
Phyllis Boedighe~
City Clerk/Treasurer