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4.1. DRAFT MINUTES (2 SETS) 05-04-2020 Virtual Meeting of the Elk River City Council Held at the Elk River City Hall Monday, April 20, 2020 (Due to the COVID-19 Pandemic) Members Present: Mayor John Dietz, Councilmembers Garrett Christianson, Nate Ovall, Matt Westgaard, and Jennifer Wagner Members Absent: None Staff Present: City Administrator Cal Portner, City Clerk Tina Allard, City Attorney Peter Beck, Public Works Director/Chief Engineer Justin Femrite, Assistant City Engineer Jenna Fabish, Planning Manager Zach Carlton, Senior Planner Chris Leeseberg, Parks and Recreation Director Michael Hecker, 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 6:43 p.m. by Mayor Dietz. 2. Roll Call 3. Consider Agenda Items 8.3, 8.4, and 9.5 were added to the agenda. Moved by Councilmember Westgaard and seconded by Councilmember Christianson to approve the agenda. Motion carried 5-0. 4. Consent Agenda Moved by Councilmember Westgaard and seconded by Councilmember Wagner to approve: 4.1 April 6, 2020, Regular Meeting Minutes 4.2 Check register, check numbers 114193-114331 as outlined in the staff report. 4.3 Pay estimates. 4.4 Appoint Michael Westgaard to the Arena Commission as the Elk River Youth Hockey representative for a term to begin immediately and expiring February 28, 2022. 4.5A Hire Augustus Koppi to the position of police officer effective April 21, 2020. 4.5B Hire Tyler Corrier to the position of police officer effective May 4, 2020. City Council Minutes Page 2 April 20, 2020 ----------------------------- th 4.6 Adopt Resolution 20-22 approving the final plat of Hillside Estates 12 Addition, with the following conditions: 1. A Development Agreement be prepared and executed outlining the terms and conditions of the plat approval prior to releasing the plat for recording. 2. Water Availability Charge shall be paid in the amount required by the city at the time the final plat is released for recording. (currently $368/plumbing unit). 3. Staff approval of all site, landscaping, engineering, and stormwater plans. 4. Address all comments in the comment letter dated April 13, 2020. 5. Streetlights shall be installed as required by Elk River Municipal Utilities. 6. A Letter of Credit shall be provided to the city in the amount of 100% of the costs of the public improvements. 7. Upon completing all public improvements and having them accepted by the city, a security or warranty in the form acceptable to the public works director must be secured. 8. A development plan shall be approved by the city engineer prior to the issuance of building permits. 9. All mailboxes shall be clustered. 10. Any item or condition found that indicates the site is likely to yield information important to pre-history or history shall be reported to the city immediately. Further, the city reserves the right to stop work authorized in its approval until the site is appropriately investigated and work is authorized. 4.7 Letter of support for Sherburne County Improvements at Trunk Highway 169 and County State Aide Highway 4 in Zimmerman. 4.8 Approve the Trout Ridge Stormwater Maintenance Declaration Agreement. Motion carried 5-0. 5. Open Forum No one appeared for Open Forum. 6. Presentations, Awards, and Recognition There were no Presentations, Awards, and Recognitions. 7. Public Hearings There were no public hearings. 8.1 Liquor License Fees City Council Minutes Page 3 April 20, 2020 ----------------------------- Ms. Allard presented the staff report. Mayor Dietz confirmed that the council could decide to reduce the liquor license fee for these businesses by two months, but their fees would still have to be submitted in order to become effective by July 1, 2020. Ms. Allard stated that is correct, unless the council would like to do installment payments on a quarterly basis. Councilmember Westgaard felt installments might allow for more flexibility. Councilmember Wagner has had a chance to talk to some owners that have been affected by lack of liquor sales. She was wondering, if, in addition to installments, the installments could be on a graduated scale offering a lower starting payment and increasing. Mayor Dietz agreed that installments were a good option but questioned what happened if a place goes out of business. He wants to make sure a place pays before they use a license rather than after. He suggested that the two-month credit could come off the beginning of their payments giving them July and August for free. Councilmember Wagner asked about people who want to pay for the entire year up front and not in installments. Could the city issue a refund for the months they are not able to sell liquor? City Attorney Beck advised that statute gives four reasons that a refund is allowed and “licensee ceases to exist” is one of them. Councilmember Ovall clarified that liquor license fees stay with the city and do not go to the state. These fees cover administrative costs as well as law enforcement associated with alcohol usage. Councilmember Westgaard asked, if someone in the next couple weeks decides their business can’t make it, can the city issue them a refund for their current liquor license fees. Councilmember Ovall agreed that businesses have been hit hard and it could be many months before people patronize them. In the meantime, they have high overhead, rent, and property taxes. He would like the city to look at more impact and stimulus. Is the city making this a bureaucratic process and confusing people? Councilmember Wagner agreed that this should be part of a bigger conversation. The council is forced to be reactionary to this issue due to timing but it’s a small step. Moved by Councilmember Wagner and seconded by Councilmember Christianson to consider an ordinance amendment changing the liquor City Council Minutes Page 4 April 20, 2020 ----------------------------- license renewal to four equal annual installments with two months credit taken off the renewal beginning July 1, 2020 and future months credit if these establishments are not able to reopen due to a continuation of Executive Order 20-04. Motion carried 5-0. 8.2 Professional Services for Orono Park and Youth Athletic Complex Projects Mr. Hecker presented the staff report. Moved by Councilmember Westgaard and seconded by Councilmember Wagner to award the Agreement for Professional Services to hire SRF Consulting Group (SRF) to complete the design and construction services for the Orono Park and the Youth Athletic Complex (YAC) projects. Motion carried 5-0. 8.2 Keep Elk River Open Campaign Councilmember Wagner outlined a public relations and marketing plan for supporting local businesses during the pandemic. This would be a partnership with the Elk River Chamber of Commerce and the Economic Development Authority and may include electronic billboards, signage, and social media. A budget of $9,000 was identified from reallocating costs from conferences that have been cancelled due to COVID-19. 8.2 Reopening Tennis Courts Mr. Portner addressed the public request to reopen tennis courts owned by ISD 728. These tennis courts have been closed due to COVID-19. The school district will be taking the request to reopen courts to their directors meeting and should have a response this week. The Police Chief has identified the biggest safety issue is groups of people waiting outside of the tennis area for an open court. City owned tennis courts at Trott Brook Farms Park and Highlands Park are currently open. st 9.1 County State Aid Highway 12 (Main Street/181 Avenue) Reconstruction Project Ms. Fabish presented the staff report. David Roedel, Sherburne County Assistant Public Works Director, presented information on the project. Mr. Roedel discussed the planned placement of a roundabout at Jackson Street and st 181 Avenue. Safety, footprint, and the cost to acquire necessary property were considered. City Council Minutes Page 5 April 20, 2020 ----------------------------- Mayor Dietz expressed the city’s concerns about Hillside Park’s access and asked if a st roundabout was possible at Trott Brook Pkwy and 181 Ave. st Mr. Roedel stated a roundabout at Trott Brook Pkwy and 181 was reviewed and is not recommended due to pedestrian safety (MnDOT discourages multi-lane roundabouts) and estimated costs. Council stated they were previously unaware that the cost would be $1.2 million. Mr. Roedel stated the cost had been recently determined when the project went from a pavement rehabilitation project to a safety improvement project. Costs are higher than Sherburne County anticipated but the county feels it is a vital project for safe mobility. He stated that cost participation or spreading payments over a period of time may be an option. Mr. Femrite outlined the cost participation guidelines that the city shares with Sherburne County. Councilmember Wagner was concerned that the current plan did not address some safety concerns that exist for pedestrian crossings and posted speed limits. Mr. Roedel stated that some of the proposed features should aid in reducing speed limits. Councilmember Ovall stated the city and county need to make adjustments to their communication model going forward to avoid having short notice on major expenses that would need to be budgeted 3-5 years in advance. It seems like either the timeline or the scope was accelerated without warning. Councilmember Westgaard agreed that, had the council known about the expense 6- 12 months ago, the city would have a different process for advising based on things that were already budgeted. Mr. Roedel explained that Sherburne County receives an allocation of State Aid Project dollars and is responsible for spreading them across necessary and planned projects. While they could borrow against future State Aid money, that would just be delaying future budget shortfalls. He hopes that he can get lower bid amounts for construction materials to lower the total cost. The project may affect the timeline of the 169 Redefine project therefore, he feels, it is important to address it as soon as possible. Mr. Roedel confirmed that the plan was nearly at it’s final state and would need to come back to the council for a Public Hearing. The Council instructed Mr. Roedel to go back to the Sherburne County board and say the council is not happy about the request for $1.2 million and do not have that amount budgeted. The city must sign off on the project and is not prepared to do so. City Council Minutes Page 6 April 20, 2020 ----------------------------- Mr. Roedel will speak to the Parks and Recreation Commission at their May 13, 2020 meeting. 9.2 Nuisance Code: Semi-Tractors in Residential Area Mr. Carlton presented the staff report. The Council felt that a lot size of 2.5 acres was large enough for parking a semi and that it should be determined by lot size and not by zoning district. City Attorney Beck stated there was a reason that a zoning district stipulation was put in place in the past due to complaints and reactions to various situations. 9.3 Building Code for Home-based Commercial in Residential Areas Mr. Leeseberg presented the staff report. Councilmember Christianson stated he didn’t think there was a “one size fits all” solution. Councilmember Westgaard would like to get to the point of taking subjectivity out of the decision. He suggested going back to the definition of home occupation and differentiating intent. Mr. Leeseberg stated there was a problem with some businesses opening in their home vs commercial district because there were fewer regulations in a home business. Mayor Dietz asked if the city could set criteria for certain types of business or certain sizes. City Attorney Beck stated he would have to discuss the different types of “silos” the city could put businesses in with the Fire Department and Building Official Bob Ruprecht. There needs to be a rational basis for making these distinctions. Councilmembers Ovall and Wagner were concerned about deterring home businesses due to bureaucracy. Mr. Leeseberg stated that staff didn’t want to see changes. The point of having restrictions for businesses was to protect the people in those buildings. City Attorney Beck stated the building code is established for the public as a whole and can’t be ignored. Once the city determines to apply the building code, we need to enforce them. City Council Minutes Page 7 April 20, 2020 ----------------------------- Councilmember Westgaard agreed that looking at intensity of usage and separating them out might give some clarity. He would like to avoid adding more red tape and barriers for small home occupations. He suggested having City Attorney Beck and staff work together to bring some recommendations. Mayor Dietz suggested addressing the different types of home occupations and try to make some type of list of criteria on how business might fit into categories. 9.4 Medians and Prairie Grass Mr. Femrite presented the staff report. Councilmember Westgaard stated the main issue with prairie grass was that it looked unkempt. Overgrown grasses do not support the vision of beautification. Mayor Dietz agreed and added that cost played a factor in deciding what materials to use in a median. Irrigation would have to be added to support turf. One person’s prairie grass is another person’s weeds. Councilmember Wagner wondered if there may be varieties of prairie grass that had shorter stalks. Mr. Femrite said the prairie grass must reach maturation in order to repopulate and reseed itself. He would look into mowing the edges and trimming the grasses more often. Mayor Dietz asked about the cost of prairie grasses and if this were the cheapest option. Mr. Femrite stated past research has shown it to be the cheapest option. Especially considering nothing but weeds will grow without proper irrigation. Mayor Dietz asked about the cost of concrete or asphalt. Mr. Femrite advocated for concrete over asphalt but that would be the most expensive option. Councilmember Ovall stated concrete was an impervious surface and may cause stormwater issues. Mayor Dietz agreed that nothing was wrong with prairie grass as long as it is maintained. Councilmember Wagner agreed and also addressed the appearance of city- maintained plantings. Mr. Femrite agreed that some plantings appear overgrown and there has been an issue finding plants that can handle the salt from winter road maintenance. City Council Minutes Page 8 April 20, 2020 ----------------------------- Eventually, the planting areas on Hwy 169 will be altered due to the Hwy 169 Redefine project. Councilmember Ovall would like to see more uniformity and consistency among the prairie grass medians and desires future options include some attractive grasses while considering tolerance to road salt. 9.5 Concept Review: Senior Housing Development, Wapiti Campground Mr. Carlton presented the staff report. Mayor Dietz said that a Senior Living building seemed out of place in that location. Councilmember Wagner asked if there was a need for additional Senior Living (55+) housing. Mr. Carlton stated the owners had conducted a site study market analysis that had shown a desire for this use in the city. Councilmember Ovall agreed that it didn’t seem to fit that location. High density housing typically was built with walking paths and closer to retail and amenities. This location seems more conducive to single family housing. The Council agreed that the landowner should move toward something that is similar to what is allowed in this zoning district. 10. Adjournment There being no further business, Mayor Dietz adjourned the meeting of the Elk River City Council at 9:34 p.m. Minutes prepared by Katie Porath. ___________________ John J. Dietz, Mayor ___________________ Tina Allard, City Clerk Virtual Meeting of the Elk River Board of Appeal and Equalization Held at Elk River City Hall Monday, April 27, 2020 (Due to the COVID-19 Pandemic) Members Present: Mayor Dietz, Councilmembers Christianson, Westgaard, Ovall, and Wagner Members Absent: None Staff Present: City Administrator Cal Portner Also Present: County Assessor Michelle Moen, Residential Appraiser Krista Thoe, and Residential Appraiser Beth Boysen 1. Call Meeting to Order Pursuant to due call and notice thereof, the meeting of the Elk River Board of Appeal and Equalization was called to order at 6:00 p.m. by Mayor Dietz. 2. Board of Appeal and Equalization Michelle Moen, Sherburne County Assessor, indicated the purpose of the Board of Appeal and Equalization is to consider and review 2020 estimated market values and property classifications for taxes payable in 2021. Information was presented on the assessment procedures and statistics for the City of Elk River 2020 assessments. The Board of Appeal and Equalization heard appeals as outlined below: 1. Ronald Touchette, Parcel Identification Number 75-410-0210 Mr. Touchette submitted a request via email. He submitted a Right of Way Acquisition Appraisal Report and requested the Total Market Value for 2021 be reduced to $81,135 as outlined in the appraisal. Ms. Thoe indicated she was only able to briefly review the appraisal due to the late submission of the appeal. She explained she has some concerns with the comparable properties used in the appraisal and noted the appraisal is for right of way acquisition rather than market value. It was noted the 2019 assessment was $98,000 and the 2020 assessment is $104,800. Board of Appeal and Equalization Minutes Page 2 April 27, 2020 ----------------------------- Ms. Moen suggested because of the last-minute appeal, the Board make no change and the property owner can appeal to the County Board if he wishes. Moved by Councilmember Westgaard and seconded by Councilmember Wagner to make no change to parcel 75-410-0210. Motion carried 5-0. 2. PetSmart, Parcel Identification Number 75-849-0105 Pivotal Tax Solutions submitted an appeal via email on behalf of the taxpayer, PetSmart. Ms. Moen explained the appeal stated current market and economic conditions support a lower value, but no other information or request was received. She indicated PetSmart saw a very minimal increase from $1,661,000 to $1,665,300 and their property is comparable to neighboring commercial properties at $5/square foot. Mayor Dietz questioned if COVID-19 will impact the values for next year and if the assessor’s office will be doing reductions based on the COVID-19. Ms. Moen explained it depends on the market trends at the time. She noted she believes her office will see an increase in tax petitions from commercial owners in the spring. Moved by Councilmember Westgaard and seconded by Councilmember Ovall to make no change to parcel 75-849-0105. Motion carried 5-0. 3. Katherine Palmer, Parcel Identification Number 75-532-0244 Mr. Portner indicated he received a request during the meeting via email from Katherine Palmer indicating her property increase of 18% is in excess due to homestead exemption and the increase in market value. Ms. Boysen indicated she visited the property on July 19 and left a tag for the homeowner to contact her office to set up an appraisal but received no response. She noted the increase in this property was from $203,700 to $208,600, which is about 2.4%. Ms. Boysen indicated Ms. Palmer may be referring to an 18% increase in her payable taxes due to inclusion of the school district levy for taxes payable in 2021. Councilmember Westgaard requested someone from the assessor’s office contact Ms. Palmer and explain the increase. Moved by Councilmember Wagner and seconded by Councilmember Westgaard to make no change to parcel 75-532-0244. Motion carried 5-0. 4. Matthew and Heather Westgaard, Parcel Identification Number 75-111- 3410 Mr. Westgaard indicated his assessment increased from $314,100 in 2019 to $431,700 in 2020. He noted the property is new construction and questioned if Board of Appeal and Equalization Minutes Page 3 April 27, 2020 ----------------------------- the 2019 value was a partial completion. He explained if the Board recommends no change it will give him a chance to have discussions with the assessor’s office and appeal to the County Board if necessary. Ms. Moen indicated Mr. Westgaard’s 2019 value was based on 70% construction completion and the 2020 value is based on 100% completion. She noted rural vacant land also increased by 10%. Moved by Councilmember Christianson and seconded by Councilmember Ovall to make no change to parcel 75-111-3410. Motion carried 4-0. Councilmember Westgaard abstained. 3. Adjournment There being no further business, Mayor Dietz adjourned the meeting of the Elk River Board of Appeal and Equalization at 6:39 p.m. Minutes prepared by Jessica Miller. ___________________ John J. Dietz, Mayor _____________________ Tina Allard, City Clerk