05-16-2005 CC MIN
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MEETING OF THE ELK RIVER CITY COUNCIL
HELD AT THE ELK RIVER CITY HALL
MONDAY, MAY 16, 2005
Members Present:
Mayor Klinzing, Councilmembers Dietz, Motin, Farber, and Gumphrey
Members Absent:
None
Staff Present:
City Administrator Pat Klaers, Finance and Administrative Services
Director Lori Johnson, Director of Planning Michele McPherson, Senior
Planner Scott Harlicker, Planner Chris Leeseberg, City Engineer Terry
Maurer, Liquor Store Manager Dave Potvin, "WWTP Superintendent Gary
Leirmoe, Director of Economic Development Catherine Mehelich,
Building and Environmental Administrator Steve Rohlf, and Recording
Secretary Tina Allard
Also Present:
Planning Commissioner Howard Ropp
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 6:30 p.m. by Mayor Klinzing.
2.
Consider 5/16/2005 Agenda
Councilmember Farber added fees for the Habitat for Humanity house to Other Business.
MOVED BY COUNCILMEMBER FARBER AND SECONDED BY
COUNCILMEMBER MOTION TO APPROVE THE AGENDA AS AMENDED.
MOTION CARRIED 5-0.
3. Consider Consent Agenda
MOVED BY COUNCILMEMBER FARBER AND SECONDED BY
COUNCILMEMBER MOTIN TO APPROVE THE FOLLOWING CONSENT
AGENDA:
3.1. 5/2/05 COUNCIL MINUTES
3.2. CHECK REGISTER
3.3. PAY ESTIMATES
3.4. APPROVE GENERAL PLANNING PERMIT AND DISPLAY AND
SALES OF FIREWORKS LICENSE FOR QUENTIN NELSON FROM
MENARDS PARKING LOT
3.5. HIRE TRISTAN NICKA AS A PAID ON CALL FIREFIGHTER
BEGINNING MAY 17,2005
3.6. HIRE RODNEY SCHRIEFELS AS A MAINTENANCE I EMPLOYEE
AT PAY GRADE 8 LEVEL C
City Council Minutes
May 16, 2005
Page 2
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3.7.
APPROVE THE SHERBURNE COUNTY AGRICULTURAL SOCIETY
TO CONDUCT EXCLUDED BINGO DURING THE SHERBURNE
COUNTY FAIR, JULY 14-17,2005
DISPLAY OF FIREWORKS/PYROTECHNICS SPECIAL EFFECTS
LICENSE FOR CHAMBER OF COMMERCE AND MELROSE
PYROTECHNICS, INC., JULY 4,2005.
ON-SALE 3.2.% MALT LIQUOR LICENSE FOR CHAMBER OF
COMMERCE CONTINGENT UPON RECEIVING DRAM SHOP
INSURANCE, JULY 4, 2005
3.8.
3.9.
. MOTION CARRIED 5-0.
4. Open Mike
Noone appeared for Open Mike.
5.1. Consider Bond Sales
A. Resolution Providing for the Issuance and Sale of $1.085.000 General Obligation Bonds,
Series 2005A, Pledgjt1g Special Assessments for the Security Thereof and Levying a Tax for
the Payment Thereof.
Finance and Administrative Services Director Lori Johnson introduced Mark Ruff and
Bruce Dejong from EWers & Associates, Inc.
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Mr. Ruff informed the Council that the bond rating for the city has been upgraded to Ai by
Moody's and he presented the Mayor with a certificate.
Mayor Klinzing congratulated the finance staff for their hard work and dedication. She
stated the Council is very thorough at reviewing and budgeting of the city's finances.
Mr. Ruff stated that as a result of the upgraded bond rating, the bonds sale amounts for
both the special assessments and the sewer revenue refunding bonds have been reduced.
He reviewed the bids and debt service for the special assessment bonds. The special
assessments bonds principal amount has been reduced to $1,070,000 at a 3.5368% interest
rate.
MOVED BY COUNCILMEMBER FARBER AND SECONDED BY
COUNCILMEMBER GUMPHREY TO ADOPT RESOLUTION 05-53
PROVIDING FOR THE ISSUANCE AND SALE OF $1,070,000 GENERAL
OBLIGATION IMPROVEMENT BONDS, SERIES 2005A, PLEDGING SPECIAL
ASSESSMENTS FOR THE SECURITY THEREOF AND LEVYING A TAX FOR
THE PAYMENT THEREOF. MOTION CARRIED 5-0.
Resolution Providing for the Issuance and Sale of $1,695,000 General Obligation Sewer
Revenue Refunding Bonds, Series 2005B and Pledgjt1g Net Revenues for the Security
Thereof
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Mr. Dejong reviewed the bids and debt service for the sewer revenue refunding bonds. Due
to the city's upgraded rating the principal amount of the sewer revenue refunding bonds has
been reduced to $1,660,000 at a 3.5956% interest rate.
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City COWlcil :Minutes
May 16, 2005
Page 3
MOVED BY COUNCILMEMBER MOTIN AND SECONDED BY
COUNCILMEMBER FARBER TO ADOPT RESOLUTION 05-54 PROVIDING
FOR THE ISSUANCE AND SALE OF $1,660,000 GENERAL OBLIGATION
SEWER REVENUE REFUNDING BONDS, SERIES 2005B AND PLEDGING
NET REVENUES FOR THE SECURITY THEREOF. MOTION CARRIED 5-0.
B. Resolution Awarding the Sale of the City's $645.000 General Obligation Equipment
Certificate 2005D; Fixing its Form and Specifications; Directing its Execution and Delivery;
and Providing for its Payment
Ms. Johnson stated The Bank of Elk River is purchasing the city's $645,000 General
Obligation Equipment Certificates at an interest rate of 3.9% payable over 5 years.
MOVED BY COUNCILMEMBER FARBER AND SECONDED BY
COUNCILMEMBER DIETZ TO ADOPT RESOLUTION 05-55 AWARDING
THE SALE OF THE CITY'S $645,000 GENERAL OBLIGATION EQUIPMENT
CERTIFICATE, SERIES D; FIXING ITS FORM AND SPECIFICATIONS;
DIRECTING ITS EXECUTION AND DELIVERY; AND PROVIDING FOR ITS
PAYMENT. MOTION CARRIED 5-0.
5.2. Consider Remaining Westbound Construction Contracts
Ms. Johnson introduced Steve Chuba of Greystone Construction.
Mr. Chuba stated there are four remaining outstanding bids for the Westbound construction
project. He discussed the bid results for bid package #12 (the overhead door and loading
dock equipment). He further discussed the results for bid package #19 (plumbing). Mr.
Chuba stated the remaining two bid packages will come before the Council at a later date.
MOVED BY COUNCILMEMBER DIETZ AND SECONDED BY
COUNCILMEMBER FARBER TO AWARD THE FOLLOWING BIDS:
BID PACKAGE
#12
OVERHEAD DOOR
LOADING DOCK
#19
PLUMBING
COMPANY
AMOUNT
TWIN CITY GARAGE DOOR CO.
STAR EQUIPMENT
$990
$5,625
VOGT MECHANICAL
$23,429
MOTION CARRIED 5-0.
6.1. Consider Resolution Granting Final Plat Approval for Carson Business Park as Requested
by Commonweal Development, Case No. P 04-11
Senior Planner Scott Harlicker submitted the staff report. Mr. Harlicker stated the applicant
is requesting final plat for Carson Business Park. He stated the plat is consistent with the
preliminary plat that has already been approved by Council. He provided an overview of the
project.
MOVED BY COUNCILMEMBER GUMPHREY AND SECONDED BY
COUNCILMEMBER MOTIN TO ADOPT RESOLUTION 05-56 GRANTING
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City Council J'vfinutes
May 16, 2005
Page 4
FINAL PLAT FOR CARSON BUSINESS PARK, CASE NO. P 04-11 WITH THE
FOLLOWING CONDITIONS:
1. A DEVELOPERS AGREEMENT BE PREPARED AND EXECUTED
OUTLINING THE TERMS AND CONDITIONS OF THE PLAT
APPROVAL AND INSTALLATION OF IMPROVEMENTS PRIOR TO
RELEASING THE PLAT FOR RECORDING.
2. A LETTER OF CREDIT BE PROVIDED TO THE CITY IN THE
AMOUNT OF 100% OF THE COSTS OF PUBLIC IMPROVEMENTS.
3. UPON COMPLETING ALL OF THE IMPROVEMENTS AND HAVING
THEM ACCEPTED BY THE CITY, A WARRANTY BOND IN THE
AMOUNT OF 25% OF THE IMPROVEMENT COSTS SHALL BE
SUBMITTED TO THE CITY FOR A ONE YEAR PERIOD.
4. SURFACE WATER MANAGEMENT FEE IN THE AMOUNT
REQUIRED BY THE CITY AT THE TIME OF FINAL PLAT BE PAID
PRIOR TO RELEASING THE PLAT FOR RECORDING.
5. SEALCOAT FEE IN THE AMOUNT TO BE DETERMINED BY THE
CITY ENGINEER BE PAID TO THE CITY PRIOR TO RELEASING
THE PLAT FOR RECORDING.
6. THE NECESSARY DRAINAGE AND UTILITY EASEMENTS BE
DEDICATED ON THE PLAT AS REQUIRED BY THE CITY.
7. ALL COMMENTS OF THE CITY ENGINEER BE ADDRESSED.
8. ALL APPROPRIATE WETLAND PERMITS MUST BE OBTAINED
PRIOR TO COMMENCING WORK ON THE SITE.
9. GRADING AND EROSION CONTROL PLAN AND DEVELOPMENT
PLAN BE SUBMITTED AND APPROVED BY THE CITY ENGINEER
PRIOR TO THE ISSUANCE OF BUILDING PERMITS.
10. ALL GRADING WILL NEED TO BE CERTIFIED PRIOR TO THE
ISSUANCE OF BUILDING PERMITS.
11. STREET LIGHTS SHALL BE INSTALLED AS RECOMMENDED BY
ELK RIVER MUNICIPAL UTILITIES.
12. PARK DEDICATION FEES BE PAID PRIOR TO RELEASING THE
PLAT FOR RECORDING.
13. APPROPRIATE CROSS ACCESS EASEMENTS SHALL BE APPROVED
BY THE CITY AND RECORDED WITH THE PLAT.
14. A TREE PRESERVATION PLAN BE APPROVED PRIOR TO
RELEASING THE PLAT FOR RECORDING.
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City Council Minutes
May 16, 2005
Page 5
15. ANY TREES OFF SITE OR ON SITE, NEAR THE LIMIT OF
GRADING THAT ARE TO BE PRESERVED, SHALL BE FENCED
WITH A SNOW FENCE AT THE DRIP LINE TO PREVENT
GRADING, COMPACTION, OR STORAGE OF EQUIPMENT, DEBRIS
OR MATERIALS. STAFF SHALL INSPECT FENCING PRIOR TO
CLEARING OR GRADING COMMENCING.
16. ALL NECESSARY TRUNK SANITARY AND WATER ASSESSMENTS,
AND LATERAL WATER ASSESSMENTS BE PAID PRIOR TO
RELEASING THE PLAT FOR RECORDING.
17. THE BUSINESS USES IN THE DEVELOPMENT IN TOTAL SHALL
BE LIMITED TO THOSE WHICH DO NOT EXCEED 330 PEAK
VEHICLE TRIPS IN PM PEAK HOUR PER ITE STANDARDS. THIS
REQUIREMENT MAY BE RECONSIDERED IN THE EVENT THAT
HIGHWAY IMPROVEMENTS AT MAIN STREET/HIGHWAY 169 ARE
MADE WHICH MITIGATES THE NEED FOR THE TRIP NUMBER
RESTRICTIONS.
MOTION CARRIED 5-0.
6.2.
Consider Resolution Vacating Drainage and Utili1;y Easements as Requested by Plymouth
Real1;y lnc. Public Hearing-Case No. EV 05-04
Senior Planner Scott Harlicker submitted the staff report. Mr. Harlicker stated the applicant
is requesting that certain drainage and utility easements be vacated in the Elk Meadows plat.
He stated the applicant would have to create new easements to replace the vacated ones.
Mayor Klinzing opened the public hearing. There being no one to speak to this issue, Mayor
Klinzing closed the public hearing.
MOVED BY COUNCILMEMBER DIETZ AND SECONDED BY
COUNCILMEMBER FARBER TO ADOPT RESOLUTION 05-57 FOR
VACATING DRAINAGE AND UTILITY EASEMENTS, CASE NO. EV 05-04
WITH THE FOLLOWING CONDITION:
1. THE APPLICANT SHALL PROVIDE NEW DRAINAGE AND
UTILITY EASEMENTS AS PART OF ELK MEADOWS 2ND
ADDITION.
MOTION CARRIED 5-0.
6.3. Simple Plat of Elk Meadows 2nd Addition as Requested by Plymouth Realty, Inc.. Public
Hearing-Case No. P 05-03
Senior Planner Scott Harlicker submitted the staff report. Mr. Harlicker stated the applicant
is requesting to replat Block 2 of Elk Meadows from two lots to three lots due to the
adjacent property being platted with a new street.
Mayor Klinzing opened the public hearing. There being no one to speak to this issue, Mayor
Klinzing closed the public hearing.
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City Council.Minutes
May 16, 2005
Page 6
MOVED BY COUNCILMEMBER FARBER AND SECONDED BY
COUNCILMEMBER GUMPHREY TO APPROVE THE SIMPLE PLAT FOR
ELK MEADOWS 2ND ADDITION WITH THE FOLLOWING CONDITIONS:
1. ALL COMMENTS OF THE CITY ENGINEER SHALL BE
ADDRESSED.
2. PARK DEDICATION FEE OF $2,800.00 SHALL BE PAID PRIOR TO
RELEASING THE PLAT FOR RECORDING.
3. SURFACE WATER MANAGEMENT FEE OF $164.39 SHALL BE PAID
PRIOR TO RELEASING THE PLAT FOR RECORDING.
4. WATER AVAILABILITY CHARGE OF $300.00 SHALL BE PAID PRIOR
TO RELEASING THE PLAT FOR RECORDING.
MOTION CARRIED 5-0.
6.4. Consider Resolution Granting Final Plat Appt;oval for Windsor Oaks Second Addition. as
Requested by Windsor Oaks of Elk River LLC (B. Ford) Case No. P 05-04
Planner Chris Leeseberg submitted the staff report with Mr. Harlicker presenting. Mr.
Harlicker stated the applicant is requesting fmal plat of Windsor Oaks of Elk River 2nd
Addition in order to create a lot for the existing well and pump house for the community
water system so it can be transferred to Connexus Energy.
Councilmember Motin questioned if it was normal for cluster developments to turn over
their well and septic system to energy companies. Mr. Maurer, City Engineer, stated this was
typical and allows a homeowner's association worry-free maintenance of the systems.
MOVED BY COUNCILMEMBER FARBER AND SECONDED BY
COUNCILMEMBER GUMPHREY TO APPROVE THE FINAL PLAT OF
WINDSOR OAKS OF ELK RIVER 2ND ADDITION. MOTION CARRIED 5-0.
6.5. Wastewater Treatment Plant Master Plan. Public Hearing
City Engineer Terry Maurer presented the Wastewater Treatment Plant Master Plan. He
stated the reasons for the expansion of the Plant are due to population growth, industrial
and commercial growth, and more stringent NPDES guidelines. Mr. Maurer reviewed the
design criteria for the project. He stated that when the Plant upgrades have been completed,
the Plant will go from a Class B to a Class A Treatment Plant. He discussed the four phases
of the project along with a timeline for each phase with completion of the project expected
in 2012.
Mr. Maurer reviewed funding options for the Treatment Plant, which will require the
operators to upgrade their licenses. He discussed the Sewer Fund Reserve, SAC fees, which
would be adjusted annually, and the minimum billing rate fee, which is a customer charge to
cover ftxed costs.
Mayor Klinzing opened the public hearing. There being no one to speak to this issue, Mayor
Klinzing closed the public hearing.
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City Council :Minutes
May 16, 2005
Page 7
Councilmember Farber questioned how Elk River's SAC rate compares with the
surrounding cities. Mr. Maurer stated the SAC rates were raised in 2004 for both 2005 and
2006. He stated Elk River's rates were low and now the city is trying to get more in line with
the surrounding cities.
MOVED BY COUNCILMEMBER MOTIN AND SECONDED BY
COUNCILMEMBER GUMPHREYTO APPROVE THE WASTEWATER
TREATMENT PLANT MASTER PLAN. MOTION CARRIED 5-0.
6.6. Consider Resolution Amending the Comprehensive Plat to Include Certain Properties in the
Urban Service Area OeffWemer) Public Hearing-Case No. LU 05-01
Senior Planner Scott Harlicker submitted the staff report. Mr. Harlicker stated the applicant
is requesting a land use amendment in order to include certain property in the Urban Service
District. He discussed the Natural Resources Inventory (NRI) results, zoning, and land uses
of the surrounding areas. He reviewed the Planning Commission's recommendation and
noted that the Council also reviewed this topic, in general, at their May 9, 2005 worksession.
Mr. Harlicker stated that Cleveland Street was set in the Comprehensive Plan as the
boundary for the Urban Service District. He stated the applicant has property east of
Cleveland Street that is not in the Urban Service District he would like to develop. He stated
Cleveland Street would be able to handle the additional traffic as it is planned for
reconstruction.
Mayor Klinzing opened the public hearing. There being no one to speak to this issue, Mayor
Klinzing closed the public hearing.
Councilmember Farber stated that the whole area across from Cleveland Street should be
considered for inclusion in the Urban Service District (USD). He didn't feel the city should
piecemeal individual projects into the USD.
Councilmembers Motin and Dietz concurred.
Councilmember Dietz stated the city should take the initiative to include all property owners
east of Cleveland Street in this project. The Council concurred.
Councilmember Motin stated that he would like staff to use a process similar to that being
used with the owners south of 175th Avenue for planning the development of this area.
Mr. Klaers stated staff will begin the process of reviewing development options and issues
for this project area.
MOVED BY COUNCILMEMBER FARBER AND SECONDED BY
COUNCILMEMBER GUMPHREY TO ADOPT RESOLUTION 05-58 DENYING
A REQUEST TO AMEND THE COMPREHENSIVE PLAN TO INCLUDE
CERTAIN PROPERTIES IN THE URBAN SERVICE DISTRICT, CASE NO. LU
05-01 BASED ON THE FOLLOWING FINDINGS:
1. LACK INFORMATION ON THE CR 40 TURNBACK PROCESS AND
ASSESSMENTS RELATED TO THE RECONSTRUCTION OF CR 40.
2. LACK OF AN NRI ANALYSIS OF THE PROPERTIES.
City Council :Minutes
May 16, 2005
Page 8
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3. LACK OF INFORMATION FROM ADJACENT PROPERTY OWNERS.
4. INCLUDING THE PROPERTIES ON THE EAST SIDE OF
CLEVELAND STREET IN THE URBAN SERVICE AREA IN A
PIECEMEAL FASHION IS NOT IN THE BEST INTEREST OF THE
CITY.
5. THE CITY WILL CONDUCT AN ANALYSIS TO DETERMINE A
PHASING PLAN TO EXTEND URBAN SERVICES TO THE EAST
SIDE OF CLEVELAND STREET.
MOTION CARRIED 5-0.
6.7. Request by ISD # 728 to Extend Interim Use Permit CU 03-20 to Allow Temporary
Classrooms Until June 2011, Public Hearing-Case No. CU 05-09
Director of Planning Michele McPherson submitted the staff report. Ms. McPherson stated
the Elk River School District is requesting an extension (until June 2011) of the Interim Use
Permit they received in 2002. She stated the school has indicated they need the temporary
classrooms due to the growth in the district and the failing bond referendum in 2004. She
stated there are three outstanding code violations from the initial installation. She discussed
the Planning Commission recommendation.
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Mayor Klinzing opened the public hearing. There being no one to speak to this issue, Mayor
Klinzing closed the public hearing.
Councilmember Farber questioned Planning Commissioner Ropp as to why the
Commission proposed to change the expiration of the interim permit to 2008 when the
School District believes it will need the permit until 2011.
Commissioner Ropp stated the Commission questioned the definition of temporary and was
concerned that if the trailers were allowed until 2011 then they may not be considered
temporary any longer.
Brent Orr, representing the School District-Stated the District would be happy with the
three year extension. He stated they originally requested the extension to 2011 because the
District is working on a 10 year construction plan that the School Board will be reviewing in
a few months.
Councilmember Dietz questioned why the District needs the temporary trailers when two
new high schools have been built and attendance at the Elk River High School is down from
when the District applied for the original Interim Use Permit.
Mr. Orr stated the temporary trailers are needed due to the utilization of space in the Elk
River High School.
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MOVED BY COUNCILMEMBER FARBER AND SECONDED BY
COUNCILMEMBER MOTIN TO APPROVE THE EXTENSION OF THE
INTERIM USE PERMIT FOR THE SCHOOL DISTRICT WITH THE
FOLLOWING CONDITIONS:
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6.9.
A.
B.
City Council Minutes
May 16, 2005
Page 9
1.
THE EXTENSION SHALL BE UNTIL JUNE 2008.
THE CLASSROOMS SHALL BE INSPECTED ANNUALLY
PRIOR TO THE START OF EACH SCHOOL YEAR BY THE
ELK RIVER BUILDING AND FIRE INSPECTION STAFF.
2.
3. THE APPLICANT SHALL MAKE THE CORRECTIONS NOTED
ON THE CORRECTION NOTICE FROM THE ELK RIVER
BUILDING DEPARTMENT DATED OCTOBER 10, 2003 BY
THE START OF THE 2005-06 SCHOOL YEAR.
MOTION CARRIED 5-0.
6.8. Consider Ordinance Amending: Section 30-938 of the City of Elk River Land Use
Regulations. Public Hearing-Case No. OA OS-07a
Planner Chris Leeseberg submitted the staff report with Director of Planning Michele
McPherson presenting. Ms. McPherson stated the city would like to amend Section 30-938
(Architectural Standards). She reviewed the proposed language changes to the ordinance.
Mayor Klinzing opened the pubic hearing. There being no one to speak to this issue, Mayor
Klinzing closed the public hearing.
MOVED BY COUNCILMEMBER FARBER AND SECONDED BY
COUNCILMEMBER GUMPHREY TO ADOPT ORDINANCE 05-11
AMENDING SECTION 30-938 OF THE CITY CODE OF ORDINANCES
RELATING TO ARCHITECTURAL STANDARDS, CASE NO. OA 05-07a.
MOTION CARRIED 5-0.
Downtown Revitalization Project Issues
Discuss Railroad Quiet Zones
Director of Planning Michele McPherson submitted the staff report. Ms. McPherson stated
that MetroPlains Development requested the city establish quiet zones at railroad
intersections in the downtown area. She provided a review of what staff has done to date.
She stated staff would like to include railroad quiet zones as part of the Highway 10 corridor
study.
It was the consensus of the Council to include the study of the establishment of railroad
quiet zones in the Highway 10 Corridor Study when and if money is obtained.
Consider an Amendment to Development Agreement with MetroPlains Development. LLC
and Consider Bid Award for King Avenue Parking Lot Improvement
Director of Economic Development Catherine Mehelich submitted the staff report. Ms.
Mehelich stated that MetroPlains would like to proceed with the construction of the King
Avenue parking lot but there is a conflict with two terms of the development agreement
between the city and MetroPlains. Ms. Mehelich recommended the amended terms below
(outlined in more detail in her memo):
City Council Minutes
May 16, 2005
Page 10
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1)
As a condition of closing on the Jackson Block property, Metroplains must
deposit $500,000 with the City of Elk River. . ..
2) If construction of the Bluff Block does not commence by December 31,
2005, MetroPlains will not receive tax increment financing...
Councilmember Motin stated he would like the following clarification included in the
amendment:
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The city may transfer title of Jackson property but MetroPlains can't start
construction on Jackson Block until the other requirements (the King Avenue
parking lot be substantially completed, demolition of Nadeau's and the Jungle
building, and environmental remediation) in the development agreement are met.
Councilmember Motin indicated that the intent of the Housing and Redevelopment
Authority is that the Bluff Block project is started prior to or at the same time as Jackson
Place.
Ms. Mehelich stated these conditions are in the development agreement and would remain
in effect. She stated that MetroPlains would like to comment on the two amendment terms
mentioned above.
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Vem Hanson, of Metro Plains Development-Stated MetroPlains' intent is to clarify a snafu
with the development agreement, which requires that the closing on Jackson property occur
prior to the King Avenue parking lot construction and conflicts with another section of the
agreement that requires the parking lot be completed prior to the closing on Jackson. He
stated that in the efforts to clarify this conflict, a couple other points were raised. He stated
that MetroPlains has provided a deposit with the city for the construction cost of the
parking lot, as required in the agreement.
John Errigo, of MetroPlains Development-Stated MetroPlains has two concerns with the
recommended amendment terms of the development agreement.
He stated the deposit should be reduced to the appraised value due to an independent
appraisal being completed that estimates the value of the property "as is" at $200,000.
Mr. Errigo stated MetroPlains also would like the Bluff Block construction date pushed
back to spring 2006. He stated that MetroPlains has a purchase agreement with US Bank
stating that the bank does not have to be out of their building until October 1, 2005. He
stated US Bank is eJ..'Pected to be out early summer 2005 but there may be unforeseen
circumstances that would prevent them from vacating prior to the October 1, 2005 date. He
stated if US Bank is not vacated by the October date, then MetroPlains may have difficulty
breaking ground by December 31, 2005.
Ms. Mehelich stated staff recommends the $500,000 deposit be required. She stated the
$500,000 was determined by an analysis from Ehlers and Associates. She stated staff would
be willing to compromise on pushing the construction start date for Bluff property to spring
2006.
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MOVED BY COUNCILMEMBER MOTIN AND SECONDED BY
COUNCILMEMBER DIETZ TO AMEND THE DEVELOPMENT
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City Council Minutes
May 16, 2005
Page 11
AGREEMENT WITH METROPLAINS DEVELOPMENT, LLC. SUBJECT TO
THE FOLLOWING CONDITIONS:
1. AS A CONDITION TO CLOSING ON THE JACKSON BLOCK
PROPERTY, METRO PLAINS DEPOSIT $500,000 WITH THE CITY OF
ELK RIVER FOR THE ACQUISITION COST OF THE JACKSON
BLOCK PROPERTY TO BE RELEASED WHEN THE CLOSING OF
THE CONSTRUCTION FINANCING FOR BLUFF BLOCK PROJECT
OCCURS.
2. IF CONSTRUCTION OF THE BLUFF BLOCK PROJECT DOES NOT
COMMENCE BY DECEMBER 31,2005, METRO PLAINS WILL NOT
RECEIVE ANY TAX INCREMENT FINANCING ASSISTANCE WITH
RESPECT TO EITHER THE BLUFF BLOCK PROJECT OR THE
JACKSON BLOCK PROJECT PROVIDED THAT IF UNFORESEEN
CIRCUMSTANCES ARISE, THEN AT CITY COUNCIL DISCRETION
THE PERIOD DATE CAN BE EXTENDED TO NO LATER THAN
APRIL 30, 2006.
MOTION CARRIED 4-1. Councilmember Farber opposed.
Councilmember Farber stated he has never been in support of the Jackson Place project.
MOVED BY COUNCILMEMBER MOTIN AND SECONDED BY
COUNCILMEMBER GUMPHREY TO AWARD SCHEDULE 1.0 OF THE KING
AVENUE PARKING LOT BIDS. MOTION CARRIED 4-1. Councilmember Farber
opposed.
c.
Consider Approval of Construction Plans for Conformance with Development Agreement-
MettoPlains Development. liC
Director of Economic Development Catherine Mehelich submitted the staff report. Ms.
Mehelich stated MettoPlains is requesting approval of the construction plans for both the
Bluff and Jackson projects as required in the development agreement. She stated the
Planning Department included a list of concerns in their staff report.
Vem Hanson, ofMettoPlains Development-Stated the design of the buildings meet the
intent of Elk River's design standards for downtown.
Michele Mongeon, of JLG Architects-Gave a presentation of the design for the Bluff and
Jackson project.
Mayor Klinzing stated both projects are a good design.
MOVED BY COUNCILMEMBER GUMPHREY AND SECONDED BY
COUNCILMEMBER MOTIN TO APPROVE THE CONSTRUCTION PLANS
FOR JACKSON PLACE AND THE BLUFFS OF ELK RIVER. MOTION
CARRIED 4-1. Councilmember Farber opposed.
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City Council Minutes
May 16,2005
Page 12
6.10. Discuss Development of City Owned Cargjll Land
Director of Economic Development Catherine Mehelich submitted the staff report. Ms.
Mehelich stated staff is looking for direction from Council on the development schedule for
the city-owned Cargill property.
Councilmember Farber stated he would like to move forward with the development
schedule but does not want existing property owners to feel like they have to sell their
property.
Ms. McPherson stated the goal of planning the development of this area is for long range
planning of transportation corridors and access to businesses from the highway.
Mayor Klinzing asked about wetland mitigation in the Cargill property. Mr. Maurer stated
that the city has banked wetland credits that would be used in lieu of on-site mitigation.
Mayor Klinzing stated if the land south of the proposed road becomes Highway Business
then there is not much land left for Light Industrial designation. She stated the city will need
to find a balance between Highway Business and Light Industrial
It was the consensus of the Council for staff to proceed with the development schedule for
the city-owned Cargill property.
6.11.
Fabric Accessot:y Structures
Director of Planning Michele McPherson submitted the staff report. Ms. McPherson stated
staff is looking for direction from Council regarding whether fabric accessory structures
should be allowed in the Rla and Ai districts. She provided a background review of why
these types of structures are not allowed in these districts currently.
Councilmember Gumphrey stated a concern regarding the lot sizes that these fabric
structures would be allowed on.
Mayor Klinzing believed they could be monitored through the city's building inspection
process. Mr. Rohlf, Building and Environmental Administrator, stated these types of
structures are exempt from the building codes and would not be inspected.
It was the consensus of the Council to move forward with an ordinance allowing fabric
structures in certain districts of the city.
6.12. Discuss Commercial Reserve District RegulatiQns
Director of Planning Michele McPherson submitted the staff report. Ms. McPherson stated
that the city has two commercial reserve districts (along Highways 10 and 169). She stated
staff is unclear as to how Council envisions the development of these two areas. She
reviewed the current land uses of these two districts.
Councilmember Motin stated the district along Highway 10 is planned in the long term to
have sewer and water. He stated he would like to see commercial development in this
district. He stated he does not want Ria or cluster developments allowed in the district.
Mayor Klinzing and Councilmember Farber concurred.
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7.2.
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May 16,2005
Page 13
Ms. McPherson stated that because the area does not have sewer and water at this time,
commercial development we could be specific to those that don't require large sewer and
water capacity.
7.1.
Select RFP for Archaeological Excavation
Building and Environmental Administrator Steve Rohlf submitted the staff report. Mr.
Rohlf stated the city sent out Requests for Proposals for proposed archaeological
excavations.
MOVED BY COUNCILMEMBER FARBER AND SECONDED BY
COUNCILMEMBER GUMPHREY TO ACCEPT THE BID FROM DR.
ROTHAUS FOR THE ARCHAEOLOGICAL EXCAVATION PROJECT WITH
THE FOLLOWING FINDINGS:
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EXPERIENCE-The original request required that field supervision for the
excavation of the historic site (the mill floor) is conducted by person who meets the
Secretary of the Interiors standards for historic archaeology and that the prehistoric
excavation site be supervised by a person who meets the standards for prehistoric
archaeology. Dr. Rothaus and Ms. Gronhovd meet both of these standards.
However, Ms. Gronhovd's resume shows an emphasis on historic archaeology.
With the public excavation changing to a prehistoric site, the HPC thought Dr.
Rothaus was a better fit.
· KNOWLEDGE OF ELK RIVER'S ARCHAEOLOGICAL RESOURCES-
Having conducted the city's archaeological modeling and literature search in 2003
and also testing the model in 2004, Dr. Rothaus obviously has more knowledge of
the city's archaeological resources than Ms. Gronhovd. The 10,000 Lakes proposal
included literature and archival research, which has already been conducted by Dr.
Rothaus.
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PUBLIC PARTICIPATION-Besides learning more about Elk River's past, the
major reason for the excavation is to get people involved with and excited about
our cultural resources. Dr. Rothaus' proposal seemed a lot stronger as far as
involving the public. On page two of Ms. Gronhovd's proposal she talks about a
public archaeology program that would take place over one two-day weekend with
the possibility of limited public participation for the two days proceeding the
program. Dr. Rothaus proposes two three-day digs with the public. Dr. Rothaus
also has access to trained student labor, which will allow for greater participation by
untrained public volunteers.
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ADDITIONAL FACTOR-Dr. Rothaus has access to St. Cloud State University's
Archaeological laboratory, a Cultural and Environmental Landscapes Laboratory
and the Spatial Analysis Research Center (GIS lab).
MOTION CARRIED 5-0.
Clean up Day Update
Mr. Rohlf provided an update of the clean up events held April 25-30, 2005.
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May 16,2005
Page 14
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Mr. Rohlf questioned if the Council would be interested in holding another clean up event at
the Landfill in the fall. The Council expressed their support for this fall event.
Councilmember Dietz requested an update be prepared regarding the total cost of clean up
day and the SCORE funds that were used towards the cost. He also requested information
regarding the amount of scrap steel and where the money from its sale was applied.
Proclamation-Building Safety Week
Mr. Rohlf stated that May 8-14, 2005 is Building Safety Week as proclaimed by the State of
Minnesota.
7.3. Library Board Update
Planner Chris Leeseberg provided an update of the Library meeting held April 26, 2005. He
stated the Library Board went on a tour of the Roseville Library to view possible ideas for
the future Elk River Library expansion.
7.4. NCDA Update
Councilmember Motin provided an update of the Northstar Corridor Development meeting
held on May 5, 2005.
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7.5.
Utilities Update
Councilmember Dietz provided an update of the Elk River Municipal Utilities meeting held
May 10, 2005.
8. Other Business
Permitting Fees for Elk River Habitat for Humanity House
Councilmember Farber questioned how much Habitat for Humanity is paying for building
and permitting fees. He requested an update be prepared and ask the Council to consider
reducing the fees.
Mr. Rohlf stated the building inspectors will be volunteering on the project with laying
block.
9. Staff Updates
There were no staff updates.
10. Adjournment
There being no further business, Mayor Klinzing adjourned the meeting of the Elk River
City Council at 9:40 p.m.
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Minutes prepared by Tina Allard.
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City Council Minutes
May 16,2005
Page 15
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