Loading...
4.1. DRAFT MINUTES (2 SETS) 05-07-2018 Meeting of the Elk River City Council Held at the Elk River City Hall Monday, April 16, 2018 Members Present: Mayor Dietz, Councilmembers Olsen, Ovall, Westgaard, and Wagner Members Absent: None Staff Present: City Administrator Calvin Portner, City Attorney Peter Beck, City Engineer Justin Femrite, Planning Manager Zach Carlton, Senior Planner Chris Leeseberg, Parks and Recreation Director Michael Hecker, Great River Regional Library (GRRL) Branch Manager Robbie Schacke, GRRL Regional Supervisor Brandi Canter, IT Support Assistant Paul Melin, IT Manager Bob Pearson, Economic Development Director Amanda Othoudt, Arena Manager Rich Czech, and Records Specialist Katie Porath 1. Call Meeting to Order Pursuant to due call and notice thereof, the meeting of the Elk River City Council was called to order at 6:07 p.m. by Mayor Dietz. 2. Pledge of Allegiance The Pledge of Allegiance was recited. 3. Consider April 16, 2018 Agenda Moved by Councilmember Westgaard and seconded by Councilmember Olsen to approve the April 16, 2018 agenda. Motion carried 5-0. 4. Consider Consent Agenda Moved by Councilmember Wagner and seconded by Councilmember Westgaard to approve the following consent agenda: 4.1 April 2, 2018, Regular Minutes April 9, 2018, Board of Appeal and Equalization Minutes April 9, 2018, Special Minutes 4.2 Check register, check numbers 9932 and 105782-105952 as outlined in the staff report. 4.3 Hire Thomas Poser as Park Maintenance Worker effective April 30, 2018, as outlined in the staff report. 4.4 Transient Merchant License to Allen Pantelis to sell kites, ground spinners, wood carvings, etc. from the parking lot of Wash-n-Fill, 18296 Zane Street NW, weekends May through September, subject to the following conditions: 1. One 24-square foot sign shall be allowed. A temporary sign permit must be obtained prior to display of the sign. Contact the Planning Department at 763-635-1000. City Council Minutes Page 2 April 16, 2018 ----------------------------- 2. The merchandise displayed shall not occupy more than 100 square feet \[Section 38-414 (6)\]. 3. Applicant must remain on the asphalt surface and no product shall be displayed in landscaped areas. 4. No electrical services shall be across any drive or walking surface. 5. If traffic becomes a problem around the temporary site, the sales area shall be delineated with a barrier to restrict traffic. 6. The area shall be maintained free of debris and kept in an orderly condition. 7. Trailer shall be no larger than 8x12. 8. No signage may be posted on the trailer. 9. Trailer to be parked overnight only as shown on the site plan. Overnight parking is limited to Friday through Sunday of the sales weekends. th 4.5 Development Agreement for Miske Meadows 4 Addition. th 4.6 Grading Permit for Miske Meadows 4 Addition. 4.7 Construction of a natural surface single-track trail at Hillside City Park. 4.8 Interim pay adjustment for Office Assistant Melanie Crayford. 4.9 Grant of Permanent Easements Agreement granting the city eight separate utility easements for water and sewer lines on the Pipe Portfolio property. Utility and Ingress and Access Easement Agreement connecting Quinn Avenue and the city water tower property providing the city permanent, legal access to the water tower. License Agreement granting Forterra (Pipe Portfolio) permission to store materials and park on portions of the city-owned water tower property. Quit Claim Deed to Pipe Portfolio, which conveys any residual interest in the previously vacated rights of way to Pipe Portfolio. Quit Claim Deed to Pipe Portfolio conveying part of Lot 8, Auditor’s Subdivision No 3. Motion carried 5-0. 5. Open Forum Jim Acers, of the Boy Scouts of America, invited Council to attend the Friends of Scouting Leadership Breakfast. Patrick Briggs, 633 Upland Ave, wished to speak regarding getting a gradient permit prior to the Tax Increment Finance (TIF) being approved. Mr. Beck recommended he speak during agenda item 7.6 which addressed his concerns. 6.1 Volunteer of the Month Mayor Dietz introduced and presented a plaque to Kristina Dahlin as the Volunteer of the Month Award for April. He noted many accomplishments including: City Council Minutes Page 3 April 16, 2018 -----------------------------  President of Elk River American Legion Auxiliary for past seven years  Secretary, Elk River Chapter 112 American Legion Riders  Event assistant/coordinator for Veterans Lake annual salute to Veterans  Past commander of Disable American Veterans Auxiliary Anoka Unit 39  Silent Auction/Raffle Coordinator for DAV’s annual golf tournament  Coordinator for DAV’s Adopted Veterans Christmas gift program  Volunteer with Great River Family Promise  Volunteer with Eagles Healing nest in Anoka that assists veterans who are homeless 6.2 Library Annual Report Ms. Schacke presented the Library Annual Report. Mayor Dietz asked how the library was responding to the trade of loss of programming for additional hours. Ms. Schacke responded there was no significant impact and residents were pleased with the new library hours. Mayor Dietz asked if the library received Great River Regional Library dollars. Ms. Schake responded they did get some Legacy money as well as financial support from the Friends of the Library toward some programming. Ms. Canter added local fundraising also helped. 6.3 Elk River Youth Basketball Donation Michael Hecker presented the staff report. Justin Femrite, 13119 Elgin Dr. NW, spoke on behalf of Elk River Youth Basketball. Moved by Councilmember Olsen and seconded by Councilmember Westgaard to adopt Resolution 18-21 acknowledging contribution to the City of Elk River from Elk River Youth Basketball with the donation of $13,400. Motion carried 5-0. 6.4 Introduction of New Employee: IT Support Assistant Paul Melin Mr. Pearson introduced Paul Melin to the Council. Mr. Melin thanked Council for the opportunity to work at the city. Council welcomed Mr. Melin. 7.1 Conditional Use Permit: Shannon Forsberg for Commercial Kennel, 920 Highway 10 Mr. Leeseberg presented the staff report. City Council Minutes Page 4 April 16, 2018 ----------------------------- Mayor Dietz opened the public hearing. There being no one to speak to this issue, Mayor Dietz closed the public hearing. Moved by Councilmember Wagner and seconded by Councilmember Westgaard to approve Conditional Use Permit, Case No. CU 18-06 with the following conditions: 1. The CUP shall be recorded, and the use shall not be considered a legal use until then. 2. Prior to recording, the city building official and fire marshal shall inspect the building for compliance with all state and local building codes. 3. The CUP is not a building permit and the applicant must apply for and receive approval of required building and sign permits before construction may begin. 4. All refuse collection containers shall be stored within an enclosure facility large enough to accommodate the collection of all materials. Refuse containers and materials must be out of sight from neighboring properties and street. 5. Designated employee parking shall be signed. 6. Indoor and outdoor facilities are to be kept in a clean, dry, and sanitary condition. 7. Indoor facilities shall be adequately ventilated and have ample light, cooling, and heating. 8. Adequate storage and refrigeration shall be provided to protect food supplies against contamination and deterioration. 9. Waste shall be picked up immediately and disposed of in a sealed container. 10. Animals are allowed outside only under direct supervision. 11. No more than four (4) animals per supervisor shall be allowed outside the fenced area and will be leashed at all times. 12. Outdoor play shall not be used before 7:00 a.m. or after 9:00 p.m. 13. The outdoor play area will be screened by a six-foot opaque fence. Vinyl, or other, slats in chain link fencing shall not be used. 14. Noise shall be mitigated so as to not create a public nuisance for adjoining properties. If a dog continuously barks, it must be brought inside. 15. Windows shall be kept closed if there are barking dogs in the building. 16. A commercial kennel permit business license shall be obtained through city administration Motion carried 5-0. 7.2A Dennis Sharp, Sharp & Associates for Boat and RV Storage, 15585 Edison Street NW – Zone Change 7.2B Dennis Sharp, Sharp & Associates for Boat and RV Storage, 15585 Edison Street NW – Conditional Use Permit City Council Minutes Page 5 April 16, 2018 ----------------------------- Mr. Leeseberg presented the staff reports. Mayor Dietz opened the public hearing for both items. There being no one to speak to these issue, Mayor Dietz closed the public hearing. Councilmember Wagner asked about landscaping and if the number of trees requirement had been fulfilled. Mr. Leeseberg stated the tree requirement had been met. Moved by Councilmember Westgaard and seconded by Councilmember Olsen to adopt Ordinance 18-05 amending the City of Elk River Zoning Map to Rezone Certain Property from I-3 to C-3. Motion carried 5-0. ---------------------- Moved by Councilmember Westgaard and seconded by Councilmember Wagner to approve Conditional Use Permit CU 18-05 with the following conditions: 1. The Conditional Use Permit (CUP) will not be recorded until all conditions have been satisfied. 2. A building permit will not be issued until the CUP is recorded. 3. If the proposed work described in the application and CUP has not been substantially completed within two years after the date of issuance, the permit shall expire and become void. 4. If the authorized use ceases for more than six months, the CUP shall expire. 5. The applicant must apply for and receive approval for all required permits before any construction may begin. 6. All driving lanes shall be marked “Fire Lane No Parking.” 7. Any use or work within or affecting MnDOT right-of-way will require a MnDOT permit. 8. All comments in the Stormwater Coordinator Memo dated March 8, 2018, shall be addressed. 9. All comments in the Fire Marshal Memo dated March 8, 2018, shall be addressed. 10. All comments in the MnDOT Letter dated March 15, 2018, shall be addressed. 11. All sources of artificial lights shall be so fixed, directed, designed or sized that the minimum subtotal of their illumination will not increase the level of illumination on any nearby residential property by more than 0.1 foot-candle in or within 25 feet of a dwelling or by more than 0.5 foot-candle on any part of the property. 12. The remaining three buildings shall receive site plan approval from city staff and, provided the layout remains the same, will not need additional review by the City Council City Council Minutes Page 6 April 16, 2018 ----------------------------- Motion carried 5-0. nd 7.3 Preliminary Plat: Riverplace 2 Addition Mr. Carlton presented the staff report. Mayor Dietz opened the public hearing. There being no one to speak to this issue, Mayor Dietz closed the public hearing. Moved by Councilmember Westgaard and seconded by Councilmember Olsen to approve the Preliminary Plat for Riverplace Second Addition with the condition requiring staff approval of updated plans satisfying all comments in the staff letter dated March 12, 2018. Motion carried 5-0. th 7.4 Easement Vacations and Final Plat: Miske Meadows 5 Addition Mr. Carlton presented the staff report. Mayor Dietz opened the public hearing. There being no one to speak to this issue, Mayor Dietz closed the public hearing. Mr. Olsen brought up an issue with lack of neighborhood parks and that there were many homes and not much park space. Mayor Dietz confirmed with Mr. Carlton the land shape was not conducive to a park and the intent was to build a park on the next parcel to the south. Moved by Councilmember Olsen and seconded by Councilmember Westgaard to adopt Resolution 18-22 approving a petition to vacate park land dedicated with the Miske Meadows Subdivision. Motion carried 5-0. Moved by Councilmember Wagner and seconded by Councilmember Westgaard to adopt Resolution 18-23 approving a petition to vacate drainage and utility easements. Motion carried 5-0. Moved by Councilmember Westgaard and seconded by Councilmember Olsen to adopt Resolution 18-24 granting final plat approval for Miske Meadows Fifth Addition, Case No. P 18-04. Motion carried 5-0. Moved by Councilmember Wagner and seconded by Councilmember th Westgaard to adopt the development agreement for Miske Meadows 5 Addition. Motion carried 5-0. 7.5 Beekeeping Ordinance Amendment for Review and Comment Mr. Carlton presented the staff report. Mayor Dietz opened the public hearing. There being no one to speak to this issue, the public hearing will be continued to May 21, 2018. City Council Minutes Page 7 April 16, 2018 ----------------------------- Moved by Councilmember Westgaard and seconded by Councilmember Wagner to continue the public hearing to May 21, 2018. Councilmember Wagner asked if Mr. Carlton reached out to the person who came to the Planning Commission meeting. Mr. Carlton stated he had discussions with this individual. Councilmember Wagner clarified the ordinance would decide whether beekeeping should be allowed within neighborhoods and if it should be decided based on lot size. 7.6 Jackson Hills Suites Housing Tax Increment Financing Ms. Othoudt presented the staff report. Councilmember Ovall abstained due to potential conflict of interest. Mayor Dietz opened the public hearing. Patrick Briggs, 633 Upland Ave, addressed the council regarding moving forward with a site grading permit application prior to TIF. Ms. Othoudt and Mikayla Huot from Springsted had discussed concerns regarding grading and soil conditions related to this project. Ms. Othoudt would like to incorporate grading the site, correcting soil, and dewatering into the development agreement prior to giving a permit. Mr. Briggs responded the report had already been approved by the city engineer. Mr. Femrite was present and stated the approved civil site plans were not related to the soil report. The building department, which would be responsible for the soil report, recommends incorporating the report into the agreement. Attorney Beck stated he had not been involved in the process but, based on past, would be cautious about starting a public assisted project before an agreement. Mayor Dietz closed the public hearing. Mayor Dietz stated a developers agreement should come first to remain consistent with past practices. A Special Council meeting could be called to approve if the application is ready faster than the May 7, 2018, Council meeting. Councilmember Westgaard recommended Ms. Othoudt finalize the agreement within the week so the process remains consistent between applicants. Moved by Councilmember Olsen and seconded by Councilmember Westgaard to adopt Resolution 18-25 adopting a Modification to the City Council Minutes Page 8 April 16, 2018 ----------------------------- Development Program for Development District No. 1 and Establishing a Tax Increment Financing (Housing) District No. 25 Therein and Adopting a Tax Increment Plan Therefor. Motion carried 4-0. 8.1 Quiet Zone Update and Ribbon Cutting Mr. Femrite presented the staff report. Mayor Dietz stated he was on the Council in 2007 when the quiet zone project began and he appreciates the diligence of staff. The Council commended staff sustainment and resourcefulness. Mr. Femrite noted all of the train crossings in Elk River should now be a quiet zone except for a small portion under the jurisdiction of Great River Energy. Although there has been a reduction in train horns at this crossing, they still may continue. It was noted the project final cost was $301,787 rather than the original cost estimate of $5.47 million. Council recessed at 7:17 p.m. in order to go into work session. Council reconvened at 7:24 p.m. 9.1 Concept Review - Elk River Extreme Motor Park, LLC (ERX) -21591 US Hwy 169 – CUP Amendment & Ordinance Amendment (Chris) Mr. Leeseberg presented the staff report. Heidi Goodin representing ERX stated the purpose of the concept review was to receive direction from the Council on additional uses for the Motor Park. Mayor Dietz asked if events were going to occur simultaneously with races. Ms. Goodin said some events would be simultaneous and some would stand alone. Mayor Dietz questioned the impact of traffic on Highway 169 with larger events. Ms. Goodin said for larger events, ERX would work with the Minnesota Department of Transportation (MnDOT) to develop a traffic plan and Elk River police would not be involved. Councilmember Westgaard asked about the use of the additional 80 acres of land. Ms. Goodin explained the use would likely be parking for race trailers and rigs or special event camping. The use of the facility for special event camping would work with the MN Department of Health. Their policy is to inspect campgrounds before and after an event. Councilmember Wagner mentioned her work as a volunteer has coincided with ERX during benefit concerts and she feels increased facility use would only benefit the community from a philanthropic perspective. City Council Minutes Page 9 April 16, 2018 ----------------------------- The Council was supportive of ERX exploring additional events and land use. 9.2 Flashing Crosswalks Mr. Femrite presented the staff report. Councilmember Wagner clarified the proposed flashing crosswalk signs were $12,000 of the total cost. Mayor Dietz asked if, by putting up a flashing crosswalk sign, the city was setting a precedent with other groups requesting signage. Mr. Femrite stated guidance documents could be refined to set specific criteria for Elk River. Mayor Dietz asked about funding for the signs and street improvements. Mr. Femrite stated he would look into possible sources of funding. Councilmember Westgaard favored establishing implementation criteria so the city is not faced with many requests which resulting in flashing lights all over town. Mayor Dietz was in favor of the project provided funding could be resolved. Mr. Femrite will draft a policy to set qualifications and determine funding options and bringing it back to council for approval. 9.3 Arena/Civic Center Discussion Debbie Rydberg, Executive Director of the Elk River Chamber of Commerce, read a prepared statement. Councilmember Wagner had a meeting with the Chamber of Commerce and specifically asked them to take a formal stand on their position. She wonders if everyone is happy with the reduced cost ice arena project solution and feels it is a good idea to look at the bigger picture. She proposed having a series of public meetings with the business community and public between May 1 and June 1 to listen to feedback, answer questions, and hear comments and concerns. Councilmember Olsen felt the city does a lot of benchmarking and in the future, a larger Elk River may be able to support a larger facility. He does not know if the city is in a position to go with a more costly option and feels the current issues should be dealt with. He also mentioned he was able to meet with the seniors to talk about their viewpoint on relocating or fixing the Senior Center. Mayor Dietz asked Ms. Rydberg if she was inferring the Chamber supports a larger facility that includes an arena. Ms. Rydberg stated the issue was not just about hockey City Council Minutes Page 10 April 16, 2018 ----------------------------- but about a facility with the potential of additional future revenue and the Chamber is not advocating for any specific plan. Mayor Dietz said if they were to prioritize current city projects the arena may end up on the bottom of the list. The Senior Center will likely last for a couple more years. Citizens do not have an appetite for a huge project. If adding a sales tax to raise funding for the facility and future repairs is the option, then the cost must be very specific. He expressed that, thus far, the city has not done a great job at setting aside money for repairing buildings and, if the city had set aside funds 20 years ago, it would not be faced with the decision to raise property taxes or add a sales tax. He stated the city needs to repair the problems and the consultants said the facilities should last another 30 years with these repairs. Councilmember Wagner questioned if going with a $16 million repair would make sense or if a larger facility with retail space would more impact on the future of Elk River. She feels there are residents who have an opinion but haven’t come forward yet and she would like to give these people an opportunity to speak before reaching a final decision. Councilmember Olsen said the current arena location is convenient for students. Councilmember Wagner asked if the council are willing to continue the discussion and if the city can see a larger investment than the current $16 million plan. Mayor Dietz asked Councilmember Wagner if she was coming back to the larger plan that was discussed earlier in the year. He wondered if she could “sell” the average tax payer on a higher priced option. Councilmember Wagner said the city could hire consultants to do an economic impact study. Mayor Dietz said the average taxpayer would favor a $25 million cost and asked if business owners are willing to have their taxes raised. He stated a sales tax would be a one-time thing but it would eventually come to increasing property taxes. Ms. Rydberg questioned if increasing property taxes would increase businesses revenue. Councilmember Wagner stated current city projects, such as the Fire or Police Station, would increase the city’s revenue. Councilmember Westgaard disagreed. He expressed disappointment that the Council can’t seem to share the same story. He reminded council that the city does have a master plan for maintaining and building infrastructure and funding is derived from the Building Reserve Fund. About five years ago, the Parks and Recreation Department had a vision for increased trails but no master plan and the council directed staff to develop a park master plan. He felt the council should not continue City Council Minutes Page 11 April 16, 2018 ----------------------------- to buy things without a plan to staff, maintain, and replace equipment. Among the city’s facilities, three were not addressed – the Senior Center, Lion John Weicht Park, and the Ice Arena. Councilmember Westgaard reviewed that multiple plans have been brought to the Council since 2006 asking for direction on the ice arena facility. He understands business owners pay a higher percentage of taxes, set by state law, but he disagrees the city has no vision. He also expressed frustration the project is considered a $25 million ice arena when the proposed project involved many components including ball fields, Lions Park Center improvements, turf field house, meeting space, retail space and ice rinks. His intent is to educate the voter and reassure them the Council has the project figured out. He felt putting the brakes on the project may have lost money and it displayed poor leadership. He expressed there is still time to make an informed decision but the issue of the sales tax option would need to be determined by July whether or not it should be brought to the voters at the General Election in November. Councilmember Westgaard stated quality of life issues do not hit the entire community, each project will have people saying “why me?” An ice arena is an expensive building to own and operate and if the city does not have the appetite to maintain it, then it should be sold. Watching facilities deteriorate is irresponsible and the council is expected to have fiscal responsibility and make decisions. Elk River resident Larry Toth stated the approach should be proactive rather than reactive. Mayor Dietz proposed the city see how the sales tax vote turns out to see if property tax dollars would be needed to pay for the proposed project. He felt a referendum question needs to be clear on what the voters would be paying for. Councilmember Westgaard said there may be ways to pay for it through funding, contributions, or backloading bond payments in order to not see a huge spike in tax base. He also felt an ice arena does more than most facilities to cover its own operation cost. He stated other communities ask for participation from organizations to cover operating costs. Councilmember Olsen agreed, siting the recent donation from Elk River Basketball. He felt the conversation should be deferred. Councilmember Westgaard asked Councilmember Olsen what decision he is looking for. Councilmember Olsen asked if ISD 728 would want to split their ball fields. Mr. Portner stated the minimal need is to replace the varsity field. With minimal soil mitigation at Lions Park, the addition of the second field further meets city recreation needs currently and into the future. City Council Minutes Page 12 April 16, 2018 ----------------------------- Councilmember Westgaard stated the impact to the acreage at Lion’s Park was way more than two ball fields. Councilmember Olsen commented on using the Olympic sheet of ice as dry land training and having two rinks and one ball field. Councilmember Westgaard felt council cannot stop their planning and they have good information gathered. He further noted something needs to go on the ballot whether it is the renovation of the ice arena or an expanded option. He added the council needs to continue dialogue because they are divisive on how to proceed. Councilmember Ovall stated a total dollar amount needs to be determined on how large of a sales tax to request. He was surprised residents he talked to were in favor of a sales tax but against a property tax because they have control on how they spend their money. He was also surprised youth hockey was not tied to the location at the school but just wanted access to ice. Youth hockey was primarily concerned about maintaining the facility for continued use until another solution is reached. Councilmember Westgaard said bussing kids to a different location is lost revenue because of transportation time. Mayor Dietz stated a $25 million ice arena on the ballot it will not pass. Councilmember Westgaard reiterated the $25 million included a larger project than just an ice arena. Mayor Dietz asked if the ball fields were included in the total cost. Tom Betti of 292 Design Group and Brian Recker of RJM Construction responded that fields were included. Mayor Dietz said it would be good to know exactly what is included; however, the average person is still going to see it as an ice arena. Councilmember Westgaard stated the five councilmembers need to provide a united response to community members that this project is more than just an arena and is a good investment. Councilmember Wagner felt the councilmembers were all on a different page and it would be irresponsible to go forward with any plan. She asked for clarification on whether non-licensed high school students would have to be bussed back and forth to practice if the ice arena was relocated. Councilmember Westgaard stated he has met with the school and they are not opposed to a different location but it would mean that accommodations would need to be made to transport non-drivers. Mayor Dietz asked what the boys and girls golf team does as far as transportation since the golf course is off school grounds. He questioned of there is any liability for students to drive themselves. City Council Minutes Page 13 April 16, 2018 ----------------------------- Mayor Dietz does not object to Councilmember Wagner’s proposed listening sessions. He stated the city has missed the prime bidding season and the project would probably not happen in 2018. He felt the five members of the council may never agree on what kind of project it should be. Mayor Dietz asked Councilmember Wagner about when to schedule the meetings and she responded it should be different times of the day to work with business owners and residents. The meetings would be advertised using the Chamber and city social media channels as well published in the newspaper. A special meeting notice would also need to be posted. Councilmember Westgaard expressed a desire that discussion with the YMCA and Senior Center need to continue. Mayor Dietz agreed the seniors had some misunderstandings that council members were able to clarify by meeting with them. Councilmember Westgaard suggested members of the council be liaisons to certain affected groups and make sure the correct messages get to them. He felt the number one challenge the council faces is mitigating rumors. Mayor Dietz has told the seniors they will be informed when a decision will be made but they are currently in the process of fact gathering concerning the implications of moving the Senior Center to the YMCA. Councilmember Wagner asked Mr. Portner if he and Mr. Czech could provide a list by the end of May that details the repairs needed to keep the ice arena operational. Councilmember Ovall asked how listening sessions would be structured, if they are getting feedback, and what participants should prepare. The purpose is to listen to resident feedback and to clear up rumors. 10. Adjournment There being no further business, Mayor Dietz adjourned the meeting of the Elk River City Council at 9:11 p.m. Minutes prepared by Katie Porath. ___________________ John J. Dietz, Mayor ___________________ Tina Allard, City Clerk Special Meeting of the Elk River City Council Held at the Elk River Public Safety Facility Monday, April 30, 2018 Members Present: Mayor Dietz, Councilmembers Olsen, Ovall, Westgaard, and Wagner Members Absent: None Staff Present: City Administrator Calvin Portner, Finance Director Lori Ziemer, Chief of Police Ron Nierenhausen, Fire Chief T. John Cunningham, Planning Manager Zach Carlton, City Engineer Justin Femrite, Community Operations and Development Director Suzanne Fischer, Economic Development Director Amanda Othoudt, Parks and Recreation Director Michael Hecker, City Clerk Tina Allard, and Records Specialist Katie Porath 1. Call Meeting to Order Pursuant to due call and notice thereof, the meeting of the Elk River City Council was called to order at 3:11 p.m. by Mayor Dietz. 2. Visioning and Goals Review Values and Vision Statement Mr. Portner asked council if there were any concerns about the Vision Statement created in 2017. There were no concerns. Core Services Discussion Council contributed their input on what is included in “core services” prior to the meeting. Council and staff discussed their opinion of what constitutes a core service. They agreed core services have to be in place before people want to move to your community. Chief Cunningham asked when you bring on a service does it then become a core service? Councilmember Westgaard agreed when you begin a service you have an obligation to staff, maintain, and care for it. Councilmember Westgaard felt one of their biggest challenges as council and staff is to show the added value and to tell the community the story of why something is important. Ms. Fischer was in favor of Pinewood Golf Course being sold. She also asked if Community Ed should run programs instead of the city. City Council Minutes Page 2 April 30, 2018 ----------------------------- Mr. Hecker said that he has had conversations with Community Ed to reduce duplication. Mayor Dietz felt that Parks and Recreation was nice to have but not essential. Ms. Othoudt was surprised EDA Financial Incentives received support from council since not all businesses need financial incentives and she does not feel it is a core service. Instead, she would consider business retention and expansion as core services as well as redevelopment because it is re-investing in the community. Councilmember Ovall considered Community Development as next tier in importance but not a core service. Chief Cunningham stated being proactive on building inspections will help catch potential problems and may lower the need for future code enforcement. A clean community is usually a safer community. Mayor Dietz thinks it is an advantage that we can talk about all of the services Elk River has to offer and that these services are in house. Mission Statement Discussion Mr. Portner asked for components of a mission statement. A vision statement is what you want to be, but a mission statement is how you get there. He provided example mission statements from other communities. Council discussed the mission statement examples from various local cities and which parts they liked from their statements. Council worked on developing their own mission statement based on the following key points:  Good stewards  Opportunity to live, work, and play  Responsibly grow  Meet changing needs – agile  Timeless  Ethical, efficient, and responsible  Sustainable  Work with citizens to achieve goals  Help, not hinder, citizen quality of life  Reflect the culture of citizens and what is important to majority Councilmember Westgaard stated developing a mission statement would be different based upon if your city is still growing versus in the process of redevelopment. Chief Nierenhausen felt “being responsible” should be a given and should not need to be stated in a mission statement. City Council Minutes Page 3 April 30, 2018 ----------------------------- Councilmember Wagner expressed mission statements could not be a static statement but should be re-evaluated over time. Elk River has a lot of room to grow. Perhaps this mission statement should be for the next five years and then reassessed. Mr. Portner suggested they come back to the mission statement creation later in the meeting. Finance Review – Peers Ms. Ziemer reviewed a financial chart comparing Elk River to 14 other communities of similar population. Council recessed at 5:23 p.m. Council reconvened at 6:01 p.m. Goal Setting Council determined the following short-term, mid-term, and long-term goals: Short-term Commercial development Great River Energy (GRE) revenue replacement Budget and sinking fund for building repair Update salary schedule/compensation plan Garbage situation (RDF tax base?) Parks and Recreation funding (capital) plan Mid-term CRT Vision Budget Plan – post-waste management of GRE Transportation development funding Acquire business park land Develop means for park capital needs Commercial development Long-term Urban Service Area expansion Commercial/Industrial development Public Safety Facility buildout Sustainable Capital Funding Council reviewed the following financing options:  Levy  LGA  Liquor operations  Excess fund balance  User fees  GRE fund  Landfill fund  Local Option Sales Tax (LOST) City Council Minutes Page 4 April 30, 2018 -----------------------------  Franchise fees  Payment in Lieu of Taxes (PILOT) Mission Statement Mr. Portner returned to the Mission Statement discussion. Councilmember Wagner asked if Elk River was ready to stop being referred to as a “bedroom community” (a city where citizens own a home but work, shop, and recreate in a different city). She asked if the list of comparably-sized cities presented during the financing section would consider themselves to be bedroom communities. Councilmember Westgaard added Elk River used to have a vision and mission as a manufacturing hub to attract companies and employers. He added people change jobs more frequently than they move, contributing to the concept of living and working in two different communities. Councilmember Wagner proposed the following mission statement: Where Council and Staff work with citizens to develop a sustainable and prosperous community for all to live, work, and play and to appropriately govern in an ever changing environment. Mayor Dietz suggested council take some time to look over the statement and offer any changes, questions, or suggestions at a later meeting. Sustainability Mr. Portner asked council to consider and explore building a sustainable plan to undo or get around impending challenges of the near future. Council proposed the following options for developing sustainable funding:  Sinking fund – money from NSC growth  Service Levels – GF Budget  Bonding  LOST  User fees  Tax Increment Financing (TIF)/Abatement  Get out of funds (GRE, Landfill)  Asset inventory with peer comparisons – Divest quality vs. quantity  Look at asset management partners with shared facilities Councilmember Ovall expressed there seemed to be too many parks that are not developed and other cities seem to focus on enhancing signature parks. Councilmember Olsen countered it seemed past decision makers wished to have parks within walking distance of neighborhoods. Many park lands developed out of remnants of land that couldn’t be developed for other uses. Maybe in the future, the city should be more intentional about picking park lands. City Council Minutes Page 5 April 30, 2018 ----------------------------- Mayor Dietz explained in the 1990s the city sometimes took land instead of cash but didn’t develop the land immediately. In many cases it is impossible to sell the land. Giving up the land would revert back to the original owners and the only cost savings would be from maintenance. Mr. Hecker stated there are currently 13 undeveloped parks in Elk River. Councilmember Wagner stated someone had the forethought to reserve the land comprising Central Park in New York and having green space/open space is a benefit to the city. Trails are also attractive to potential buyers. Councilmember Westgaard wants to get away from funding mechanisms with “sunset dates.” He stated Elk River has been fortunate to avoid bonding on major projects in the past. Mayor Dietz stated most projects have a plan for how to pay for them except for the ice arena. A sinking fund will not help the current issue but may help with future problems. Councilmember Westgaard asked what the balance is between user fees and bonding. Mr. Portner indicated the Parks and Recreation Commission are currently conducting a study that may help to determine the answer to this question and reduce taxpayer impact because of users. Ms. Fischer asked why the city hesitates to use bonding since many other communities seem to use it as a funding source. Mr. Portner explained bonding is sometimes viewed as a negative and, to date no other projects have needed to examine this source of funding. 3. Adjournment There being no further business, Mayor Dietz adjourned the meeting of the Elk River City Council at 8:22 p.m. Minutes prepared by Katie Porath. ___________________ John J. Dietz, Mayor ___________________ Tina Allard, City Clerk