Loading...
06-04-2018 CCMMeeting of the Elk River City Council Held at the Elk River City Hall Monday, June 4, 2018 Members Present: Mayor Dietz, Councilmembers Olsen, Ovall, Westgaard, and Wagner Members Absent: None Staff Present: City Administrator Calvin Pormer, Planning Manager Zack Carlton, Park Maintenance Supervisor Tim Sevcik, Economic Development Director Amanda Othoudt, Parks and Recreation Director Michael Hecker, Finance Director Lori Ziemer, Assistant Finance Director Jesse Dom, Liquor Operations Manager Joe Audette, Fire Chief Jon Cunningham, Assistant Fire Chief Aaron Surratt, Environmental Coordinator Amanda Bednar, Recreation Manager Steve Benoit, Senior Communications Coordinator Kaylin Clement, City Clerk Tina Allard, Records Specialist Katie Porath I. Call Meeting to Order Pursuant to due call and notice thereof, the meeting of the Elk River City Council was called to order at 6:30 p.m. by Mayor Dietz. 2. Pledge of Allegiance The Pledge of Allegiance was recited. 3. Consider June 4, 2018 Agenda Mr. Pormer removed Item 4.5 from the consent agenda for separate consideration. Moved by Councilmember Olsen and seconded by Councilmember Westgaard to approve the June 4, 2018, agenda with removal of Item 4.5 for separate consideration. Motion carried 5-0. 4. Consider Consent Agenda Moved by Councilmember Westgaard and seconded by Councilmember Oval] to approve the following consent agenda as amended: 4.1 May 16, 2018, Listening Session May 21, 2018, Listening Session May 21, 2018, Regular Minutes May 23, 2018, Listening Session 4.2 Check register, check numbers 9938-9940 and 106334-106490 as outlined in the staff report. 4.3 Resolution 18-31 approving Application to Conduct Annual Off -Site Gambling for Zimmerman Fire Relief Association. 4.4 Liquor License renewals for July 1, 2018, through June 30, 2019. City Council Minutes June 4, 2018 Page 2 4.5 Removed. 4.6 Resolution 18-32 approving Notice of Summary Publication of Ordinance #18-08 an Ordinance Amending Section 30-1, Definitions, and Section 30-803, Animals, of the City of Elk River, Minnesota, City Code. 4.7 Hire Benjamin Picone as Planning Intern effective June 6, 2018, as outlined in the staff report. Motion carried 5-0. 4.5 Jackson Hills Residential Suites Development Agreement Item 4.5 was removed from the Consent Agenda. Mr. Portner asked the Council to consider outsourcing the building inspection process due to increased summer season workload for staff as well as the intricate process involved with soil corrections. Moved by Councihnember Westgaard and seconded by Councihnember Olsen to approve the Jackson Hills Residential Suites Development Agreement. Motion carried 4-0. Councilmember Ovall abstained. 5.0 Open Forum No one appeared for Open Forum. 6.1 Volunteer of the Month Mayor Dietz introduced and presented a plaque to Ramona Doebler as the Volunteer of the Month Award for May. He noted many accomplishments including: • Serves as Elk River Legion Auxiliary historian ■ Helps with set-up for Friday night Legion dinners ■ Assists with bi-monthly Legion newsletter • Works on Legion Auxiliary fund raisers • Works with pastor to publish "Take Time" for Emmanuel Lutheran Church ■ Has served as Poppy Chairman and Girls State chairman ■ Served on the United Way committee ■ Served on League of Women Voters ■ Assisted various charitable groups 6.2 Recognition of Firefighters for 30 Years of Service Chief Cunningham highlighted the service of Philip Collins, Jeffrey Smith, and George Anderson at the Fire Department. Mayor Dietz presented plaques. 6.3 Proclaim June 6, 2018, as George Anderson Day Mayor Dietz read the proclamation. r0rteII er NATURE City Council Minutes Page 3 June 4, 2018 Moved by Councilmember Wagner and seconded by Councilmember Westgaard to declare June 6, 2018, as George Anderson Day in Elk River. Motion carried 5-0. 6.4 Acknowledge Contribution from The Bank of Elk River Mr. Hecker presented the staff report. Moved by Councilmember Westgaard and seconded by Councilmember Olsen to adopt Resolution 18-33 acknowledging contribution to the City of Elk River from The Bank of Elk River with the donation of $16,000 to be used by the Elk River Parks and Recreation Department for the Riverfront Concert Series. Motion carried 5-0. Mayor Dietz presented a plaque to employees of The Bank of Elk River in attendance. 6.5 Introduction of New Employee: Senior Communications Coordinator Kaylin Clement Ms. Allard introduced Senior Communications Coordinator Kaylin Clement. Council welcomed Kaylin to the city. 6.6 Comprehensive Annual Financial Report for the Year Ended December 31, 2017 Ms. Ziemer introduced Chris Knopik, Michelle Hoffman, and Troy Gabler, representatives from CliftonLarsonAllen. Ms. Ziemer thanked city staff for their work throughout the year. Mr. Knopik and Ms. Hoffman provided an overview of the audit. Ms. Hoffman highlighted the City of Elk River has been awarded the GFOA Certificate for Excellence in Financial Reporting for the 28th consecutive year. She drew Council's attention to concerns with the garbage fund. The Council asked the CliftonLarsonAllen representatives questions regarding their presentation. Councilmember Ovall asked what other cities do regarding their sewer and garbage funds. Mr. Knopik responded most cities pass on the fees to the residents and break even. Sewer fees ideally cover 100% of deprecation. Mayor Dietz asked that the presentation materials be given to council prior to the meeting. He also asked for clarification on sections of the CAFR report. NATURE City Council Minutes June 4, 2018 Page 4 Moved by Councilmember Olsen and seconded by Councilmember Westgaard to accept the Comprehensive Annual Financial Report for the City of Elk River for the year ended December 31, 2017. Motion carried 5-0. 7.1 Easement Vacation: Bryan Provo 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 adopt Resolution 18-34 approving a Petition to Vacate a Portion of a Drainage and Utility Easement Case No. EV 18-02. Motion carried 4-0. Councilmember Ovall abstained. 7.2 Easement Vacation: Thomas Newstrom 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 Wagner and seconded by Councilmember Olsen to adopt Resolution 18-35 approving a Petition to Vacate a Portion of a Drainage and Utility Easement Case No. EV 18-03. Motion carried 5-0. 8.1 Hire Additional Full Time Liquor Store Clerk Ms. Ziemer presented the staff report. Councilmember Ovall asked if Northbound and Westbound each do their own scheduling and if there may be a scheduling conflict for a new person. Mr. Audette clarified the new person would be working at the Northbound location. If council approves the hiring of an additional full-time liquor store clerk, they would primarily work at the Westbound location with occasional coverage at Northbound. Councilmember Wagner asked for clarification that the city would be hiring a full- time employee to replace a recent retirement and wanted to hire an additional person to replace two recent part-time employee resignations. She understood the convenience factor but questioned the necessity. Mr. Audette stated a full-time employee would be more sustainable and be easier to schedule. An additional full-time person would alleviate having to post for open positions and go through the hiring process as often. Ms. Ziemer added many of the current part-time employees have full-time jobs and want to limit the hours they work at the liquor stores to avoid bum out. IOtEIEI BE NATUR€ City Council Minutes June 4, 2018 Page 5 Councilmember Olsen asked how many full-time and part-time employees the liquor store employs. There are currently 6 full-time employees and 20 part-time employees. Ms. Ziemer clarified there would be negligible financial change for the 2018 budget but the cost of benefits would factor in 2019. Moved by Councilmember Olsen and seconded by Councilmember Westgaard to hire an additional full-time liquor clerk to be utilized by Northbound and Westbound liquor stores. Motion carried 4-1. Councihnember Wagner opposed. 8.2 Discuss Work Session Items Mr. Portner presented the staff report. Councilmember Olsen requested the Council prioritize the list of work session items. Councilmember Wagner wished to add she asked City Engineer Justin Femrite about the process to lower the speed limit on County Road 12. Since the area is in development due to the addition of roundabouts, it may be a good time to work with Sherburne County to conduct a speed study. Councilmember Olsen expressed concerns with the current speed limit on County Road 30. Councilmember Wagner also wished to look into alternative funding for trail projects. Councilmember Westgaard felt the Park and Recreation Commission should be providing this type of information to the Council. He also wanted to caution the Council about providing staff direction on individual projects versus Council -led initiatives. Mayor Dietz said a speed study is typically completed by MnDOT and said the Council should be prepared they may not like the results as sometimes speeds are increased based on driver behavior. Councilmember Wagner clarified she brought the concern because it was part of her ward and she felt it should be addressed. Mr. Portner asked if Mr. Femrite could develop written materials to outline the process of determining speed limits. The Council also asked for information on what authority the council has on determining and changing speed limits. 'VArEAEA B9 rE City Council Minutes June 4, 2018 9. Council Liaison Updates Page 6 Council provided updated on the activities of the various boards and commissions. Energy City — Councilmember Olsen gave an update on the Energy City Commission. Commission members felt other cities throughout the state are making more progress on their energy goals. The Commission is meeting with the Council during their meeting to discuss how they could better work to help meet Council objectives and goals. The Commission has received a solar picnic table from the University of St Thomas that will charge a cell phone but are still determining a location for installation. Heritage Preservation — Councilmember Wagner stated the Heritage Preservation Commission has not met since the last Council meeting. Library — Councilmember Ovall gave an update on the May 22, 2018, meeting of the Library Board. The Board reviewed action items and projects that are concluded. The Eagle Scout project they had been working on is complete and they are expecting new tables to arrive soon. During their budget preparation, they were surprised at a $10,000 increase in cleaning costs. Parks and Recreation - Councilmember Olsen gave an update on the Parks and Recreation Commission. An Eagle Scout has proposed a project to build turtle boxes in the William H. Houlton Conservation Area. There was a park dedication discussion of the 5's addition of Miske Meadows. During the work session, the Commission discussed project priorities and the location of a park in the southerly section of Miske Meadows. Mayor Dietz asked about the new scoreboards and irrigation at the Dave Anderson Athletic Complex. Mr. Sevcik said the scoreboard at the Oak Knoll Athletic Complex has been installed and the lights are operational. The irrigation at Dave Anderson Athletic Complex will require four days per field and he has been working to coordinate field play with the installations. The overall project could take 3-4 weeks. He is expecting to see the scoreboards installed within 1-2 weeks. Planning Commission — Councilmember Wagner said Spectrum High School would be coming to the Council with a CUP for athletic complex expansion at their fields off County Road 12. ERX motorsports has been working with neighbors on noise complaints. Utilities — Councilmember Westgaard gave an update on the Utilities Commission. They were recognized with the American Public Power Association (APPA) Certificate of Excellence in Reliability for 2017. In comparison, the response rate to a power outage is 17 minutes from Elk River Municipal Utilities versus 129 minutes nationwide. t O f E A E A A Y f ATURE City Council Minutes Page 7 June 4, 2018 ----------------------------- Councihnember Ovall asked what contributed to this fast response rate. Mayor Dietz stated it was because of maintenance of power lines and proactively trimming trees. Councilmember Westgaard discussed the updated multi -billing cycle. Mayor Dietz said there is now a six-day grace period surrounding the billing due date. Bills are sent 17 days before they are due and there are four billing cycles. Minnesota's cold weather rule does not allow utilities to cut off power before April 16 due to nonpayment. Other Committees, Commission, etc. — Councilmember Westgaard gave an update on the Arena Commission. The Commission sent back the Ballard*King financial analysis study for corrections. The revised study should be returned within a week. Council recessed at 8:01 p.m. in order to go into work session. Council reconvened at 8:08 p.m. 10.1 Energy City Commission 10 -year Action Plan Tom Sagstetter, Elk River Municipal Utilities, was present as well as the following Energy City Commission Members: Trish Curtis, Harley Hanson, Jason Hoskins, and Henry Griner. Ms. Bednar was present as staff liaison. Commissioner Sagstetter wanted to get additional direction from the Council to add to their 10 -year Action Plan. Commissioner Hoskins added he felt their Commission may have lost some ground as energy leaders in the state. He wants to know what Energy City means to the Council and how it sees their future. Councilmember Oval] stated the loss of Great River Energy (GRE) headquarters and the possible decommissioning of an incinerator makes it challenging knowing how to respond and where to go next. Mayor Dietz asked if the Energy Commission could try to figure out what to do with the garbage after GRE closes. Ms. Bednar confirmed GRE willreach a decision on whether to close in July. Mayor Dietz expressed regret that there was nothing the city could do to help GRE recover and hoped the Commission may have ideas on what could be done with garbage besides the landfill. After the landfill is full, garbage may need to be relocated to Wisconsin which will increase fees. All other garbage burning facilities in the state are owned by counties. NATURE City Council Minutes June 4, 2018 Page 8 Councilmember Wagner echoed it would be great to get some additional options with the loss of GRE. She also wondered how the commission sees the synergy between its mission and the "Powered by Nature" brand. Commissioner Sagstetter talked about renewable energy powering some or all of the city buildings in the future. Renewable energy may continue to become more affordable. He also mentioned evaluating new buildings and construction projects to tie in renewable energy. The Energy City Commission is looking at multi-year projects. Councilmember Wagner would personally like to see an increase in recycling and organics services. If it is easy for the public to do, they are more apt to do it. Perhaps the Energy Commission could participate in events and promote energy saving options to the public. Commissioner Curtis asked the Council what the commission's role in Energy City branding would look like. She felt the commission would like to be involved, not only from a fiscal standpoint, but from an environmental viewpoint. Councilmember Wagner said the commission may want to be involved in Business Retention & Expansion (BR&E) visits. She also mentioned the Beautification Commission recognizes and awards business owners who make aesthetic improvements to their property, perhaps the energy commission could look at a similar program for energy efficiency improvements. Commissioner Sagstetter said the city used to have a "High Five" award which recognized energy efficiency. Councihnember Westgaard said the city has been fortunate to have a power plant, recycling center, and landfill but is now looking at "Chapter Two" as community engagement and educating businesses. He wondered if the Commission had any ideas on incentives for residents to recycle more and reduce the waste stream. It would be helpful if there was a resource for questions on solar and electric vehicles. It would be nice to figure out alternative uses for the GRE site and future partnership opportunities. Councilmember Olsen commented GRE is a serious issue. The annual clean up events produce a lot of recyclable material. Commissioner Hanson shared the 2018 clean up event had fewer in attendance but the same volume of materials. Commissioner Curds asked the best way to provide feedback to the Council. The Council gets a Commission update once per month, but, if the Commission wishes to provide information more often, they can contact City Administrator Portner or Ms. Bednar. Items can also be added to the council agenda. She also wanted to know if the Council saw value in the Energy Commission offering input on projects from an energy standpoint. �owEeEa er NAYURE City Council Minutes June 4, 2018 Page 9 Mayor Dietz clarified if the Commission wanted to look at plans similar to how the Parks and Recreation Commission review plats. Commissioner Curtis clarified she meant large city projects. Councilmember Wagner sees value in any person providing feedback on a project. Councilmember Ovall reiterated it would be valuable for Commission members to go on BR&E visits as a good way to building brand awareness. There are 24 site visits per year. He felt these visits could also inform businesses about the potential for a microloan for energy efficiency. Commissioner Curtis asked the Council for feedback on where to put the solar picnic table. Ms. Bednar clarified the Commission has the pieces of the table but they would need to hire someone to construct it and install it in the location. The construction could not occur in house because of its complexity. The Council asked if there may be sponsorship opportunities to offset the cost of installation. 10.2 Recreational Facilities Improvements Mr. Portner presented the staff report. Councilmember Wagner said she hasn't had an opportunity to discuss what was learned from the listening sessions with the other Councilmembers but the listening sessions seemed to bring a few issues to the forefront. She felt the sessions showed the Council needs to have a clear goal and a reason for what they are doing. She felt people at the sessions were supportive of the project but didn't see a version of the project they liked from what was presented. Some were adamantly against the project while others asked if the options presented were the only options. She wonders if the Council currently has the right plan on the table. If the Council is going to add additional items to the Local Option Sales Tax (LOST) option, what is it going to do for the city? What projects would meet our goals and objectives? She suggested having a priority list and then pairing it down to come up with a reasonable dollar amount. She is hearing residents want to understand what the project is, council goals, and how to get there. Mayor Dietz stated only about 125 people attended the listening sessions which ends up being a very small voter sample. He is struggling with the limited timeline of getting everything sorted out for inclusion on the ballot. He would like to see a community survey to gather more citizen input. If the LOST is not on the ballot in 2018 it would have to wait until 2020 giving the council about 60 days to figure out the specifics. He asked the Council if they were interested in trying to meet the deadline to get the LOST on the ballot in 2018. Councilmember Wagner expressed a desire to decide what projects the Council wanted to see then assign the numbers and then set the total amount. I0VIRII Ir NATURE City Council Minutes Page 10 June 4, 2018 Councilmember Olsen stated they should figure out the total number and then prioritize the project. Councilmember Westgaard felt that there wasn't really any new information from the listening sessions and that the right target audience was not reached. It seemed that people were in support of a LOST but with the caveat that it must encompass a broader scope than just an ice arena. Whether the project is one large facility project or multiple smaller projects, he outlined the combined costs of all of the proposed projects would probably be close to $30 million. He asked if a half cent sales tax would support a $33 million project. Mr. Pormer stated it would. Councilmember Westgaard would like to address the three facilities and then get top priorities from the Park and Recreation Commission. The Council can then decide how much more they want to add. There are projects such as dredging Lake Orono and YAC initiatives that maybe should be included. Councilmember Olsen agreed that they needed a priority list. Councilmember Oval] felt what we are looking at today is different than what was discussed in 2016. Residents are more in favor of a LOST than property tax increase. The Council has one shot to get it right and need to examine our goal and vision and engage community stake holders. Selecting the right project for community value is being financially prudent. Mayor Dietz said, currently, people seem in favor of two of the plans but there is not time to develop an entirely new plan before the election. He felt a $30 million cost seemed too high. Councilmember Wagner asked what the goal of the Council was. Is it three facilities and that's it, or three facilities plus additional projects? Elk River is at a pivotal point looking at the broader vision. If LOST is desired, then the Council should look at future needs and have a broader vision. Mayor Dietz felt the top priorities are the Elk River Ice Arena and the Activity Center. He isn't sure how else the city would pay for these projects besides a LOST. If additional projects are included, they need to appeal to more people. Currently, the number seems too big no matter what it is for. How much of the total cost should be spent on the recreational facility improvements? He requested staff provide costs to the City Council. Mr. Portner offered to provide sample referendum language from other cities. Mayor Dietz doesn't know if the Council can get everything on the ballot. He suggested limiting the options to 1 or 2 for the recreational facilities improvements and create a list of priority projects to also include. FOtIRII Ir NATURE City Council Minutes Page 11 June 4, 2018 Councilmember Olsen wondered if labeling it "recreational facilities" was informative enough. Councilmember Westgaard asked if the Council was moving too fast to get appropriate information. Councilmember Olsen did not see a need for a survey which seems like an extra step. Mayor Dietz asked Mr. Hecker when he could provide a list of priorities that the Parks and Recreation Commission create. Mr. Hecker said this information could be available at the June 18, 2018 Council meeting. Mr. Portner said dollar amounts should be ready prior to the Parks and Recreation Commission discussions on June 13, 2018. Mayor Dietz expressed a desire to keep moving forward to try and get a LOST on the November ballot. Councilmember Ovall said someone had asked him recently what he would do with "$25 million." He said it gave him a new perspective on using the money from the LOST for a broader audience. The question is whether to pause and get more community input or stick with the current options and stay at a reasonable cost. Mayor Dietz asked if the Council wants to push ahead with the ballot question. Councilmember Wagner reiterated they need a vision for this project. If asked, could the Council pick a plan today? She said she was not in favor of the plan that did not include the field house as she felt this added value, was a revenue generator, and had the support of youth associations. She asked if the Council was against looking at a different location. Councilmember Oval] stated he was not against looking at a different location. Mayor Dietz asked why the fieldhouse option failed when it was presented as part of the November 2016 ballot question. Councilmember Wagner said it failed due to poor communication. Mr. Portner clarified the option on the November 2016 ballot question included a dome. Mayor Dietz said if the arena is fixed then the softball fields do not have to be fixed. He recommended figuring out which projects the Council wants which will then determine what amount goes on the ballot. p 0 V I R E R R I NATURE City Council Minutes June 4, 2018 Page 12 Councilmember Westgaard asked for clarification of the ice arena project or the recreational facility project would be part of the ballot question. Councilmember Wagner said the Council should all share the same objective. Mayor Dietz reviewed the Council seems to want to move forward with no community survey and try to get a LOST on the ballot in November 2018. Councilmember Wagner wants to know Park and Recreation's priority list of projects before moving forward. Mayor Dietz suggested setting a dollar amount for extra projects then picking option 1 or 2 for the recreational facility improvements to go on the ballot and go with those projects. Councilmember Wagner does not agree. She questioned why we are putting additional projects on the ballot. Are they just for votes? She would like to see projects that solve a problem or complete a large goal. Mayor Dietz said maybe things would be clearer once they could review a list of projects. Mr. Hecker said the Parks and Recreation Commission would be able to provide the council with a list of projects. Councilmember Westgaard said the city needs are greater than the Council is comfortable spending. Mayor Dietz talked about the recent funding received to offset the cost of dredging Lake Orono. Should some of the money from the LOST be used to help with the city paid portion of the cost? Mr. Portner stated the final cost would be $3.5 million of which $1.5 is approved from the state bonding bill and the remainder a shared cost between the Lake Improvement District and the city. Mayor Dietz recommended adding this cost to the list of projects. Councilmember Westgaard said the Parks and Recreation Commission can't waste any more time and needs a plan. They seem to be discussing this since 2014 and need to find a sense of urgency. Mr. Partner said he felt more comfortable with the Parks and Recreation Commission providing a list of projects without looking at the dollar figure. Once they have provided a list of priorities then the cost can be found. Mayor Dietz said the projects need to have an appeal to attract voters. NATURE City Council Minutes June 4, 2018 Page 13 Councilmember Wagner said the Council needs to come up with a Plan B in case the LOST does not pass. Mayor Dietz agreed they would need a Plan B but it would not need to be determined before August 1 as the ballot language would. Educational literature needs to get to voters in early September. He asked if the marketing materials would be created in house or outsourced. Mr. Portner said the 2016 materials were created in house. However, the difference is that there is an engaged group of people to carry the message this year, the city just need to provide the facts. He spoke to the Council regarding their role in promotion of the LOST should it go on the ballot. Staff can only show pictures and charts they can't promote it as a good option, that's up the Council if they should choose. Westgaard talked about what Plan B may have to look like. Demolition of the three facilities would also cost money and, without money from a LOST how would the city pay for it? Mayor Dietz stated that the idea was to phase the projects over time not all at once. The Council will have to have that discussion about what Plan B is. Mr. Portner agreed that the city would not have the capacity to complete all project simultaneously but would have to do one at a time. The city would bond for the projects and then pay the debt payment with LOST funding. Mayor Dietz stated hopefully the Ccouncil would have a lot of information regarding projects at the next council meeting. 11. Adjournment There being no further business, Mayor Dietz adjourned the meeting of the Elk River City Council at 10:01 p.m. Tina Allard, City Clerk PO111[1 B1 11�1ATURd