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5.4. SR 08-08-2005 Item 5.4. MEMORANDUM TO: Mayor and City Council FROM: Pat Klaers, City A~W~trator August 8, 2005 it] DA TE: SUBJECT: Discussion on Leasing/Renting of City Property Councihnember I\lotin requested that this item be on a \vorksession agenda. The city 11as no policy on record for dus type of situation, although there \vas a fair amount of discussion in 1999 regarding HRl\. o\vned property that is for sale. _r\.ttaclled is some information Director of Planning NIicllele I:vlcPherson found \vlUle researching this topic. ..Also attached is a memo from Parks and Recreation Director Bill l\laertz regarding \VIlat transpired last winter \vith the tree sales at Emporium. s: \ Council \ Pat\2005 \ \X! orksessions \LeasingCi ty Property .doc MEMORANDUM FROM: Pat Klaers, City Administrator Michele MCPherso~ctor of Planning TO: o ATE: August 3, 2005 SUBJECT: Use of Vacant Property You requested that I research whether or not the City Council had established a policy regarding the use of City property by either for-profit or non-profit entities. Attachments . April 19, 1999 City Council meeting minutes . April 26, 1999 City Council meeting minutes . May 24, 1999 City Council meeting minutes . July 19, 1999 City Council meeting minutes The last discussion the City Council had regarding the use of vacant City property occurred in 1999 and related to HRA owned property located at the intersection of King Avenue and Main Street. This lot is where First National Financial Center is now located. At that time, the City Council passed a motion that prohibited use of HRA-owned property that is currently for sale for any public or private use. Subsequent to that motion, in the same year, the City Council allowed use of the lot for the Art Soup and the Heritage Festivals. Since that time, the Art Soup Festival has utilized Jackson Square and the green space which will soon become Rivers Edge Park in 2006. In 2004, the Emporium site was used for Christmas tree sales by a private entity. I found no other information relating to establishment of a policy for the use of City property by for-profit or non-profit entities. If you have any further questions or need further assistance, please contact me at Extension 1031. S:\PL.tu"JNING\ivlichele IvlcPherson \lv[EivlOS\08 03 05 PK yacant prop.doc City Council Minutes April 1 9, 1 999 Page 18 .....-_....--~...........~..........~_...._....-----.-.IIIIIIII......,..... e Planning Commission Representative Louise Kuester indicated that this issue emerged from the Comprehensive Plan for the city. She stated that the Plannin Commission spent many hours researching and reviewing this issue. She furthe noted that the ordinance would give property owners another opportunity d option in the development of their land. She stated that this ordinance es not require that land be given away for open space. She indicated that it' the property owners choice whether or not to utilize clustering. Mayor Klinzing indicated she would not want to adopt this typ f ordinance unless there was a request from property owners or developers. Councilmember Motin indicated that he would like to ar more from developers regarding this issue. There being no further comments from the pub' ,Mayor Klinzing closed the public hearing. COUNCILMEMBER MOTIN MOVED TO PO PONE THIS ISSUE INDEFINITELY. COUNCILMEMBER THOMPSON SECO D MOTION. THE MOTION CARRIED 4-1. Councilmember Farber opposed. 7. Other Business City Attorney Pete eck reviewed the status of the eminent domain process for the eastern area pr ect and distributed a resolution relating to the Eull property. He noted that t Eull property was excluded from the original resolution which was adopted the council to begin the process. e COU ILMEMBER DIETZ MOVED TO ADOPT RESOLUTION 99-32 AUTHORIZING EMINENT D AIN AND ACQUISITION OF REAL PROPERTY IN ACCORDANCE WITH MINN. STAT. 1.042. COUNCILMEMBER THOMPSON SECONDED THE MOTION. THE MOTION CARRIED 5-0. ______...._......_.......IIIIIIII.......~IIIIIIII'-....~ Use of Vacant City Prooertv Council member Motin questioned whether the city had a policy regarding the use of vacant city property. He indicated that he was referring to the request to have a car show on the HRA King and Main property. He noted that this type of use is a profit making endeavor and questioned if the city should be involved by allowing the use of its land. Councilmember Thompson questioned what the city's liability was regarding these types of situations. Council discussion pursued regarding the use of vacant city property. It was the consensus of the City Council not to allow any type of private or public use of the HRA property at King and Main street. e e e II City Council Minutes April 19, 1999 Page 19 COUNCILMEMBER THOMPSON MOVED TO NOT ALLOW USE OF HRA OWNED PROPERTY THAT IS CURRENTLY FOR SALE FOR ANY PUBLIC OR PRIVATE USE. COUNCILMEMBER DIETZ SECONDED THE MOTION. THE MOTION CARRIED 4...1. Councilmember Farber opposed. 8. Staff Uodates There were no staff updates. 9. Adjournment There being no further business, Mayor Klinzing adjourned the council meeting at 11 :03 p.m. ~ fJ~a#- Sandra Peine City Clerk Joint City Council/Park and Recreation Commission Minutes April 261 1999 Page 2 e 4.0. ~~ Sf@U.r~ T any Darkenwald and David Raymondl representing the M ~1!~ Festival Committeel asked the city to allow use of the King and Main HRA site for festival activities. Ms. Darkenwald explained that two large tents would be placed on the site to locate art demonstrations for various age groups. They also requested that the city approve the closing of Jackson Avenue and King A venue for the ~iffi ~ Festival on June 26 and 27th. Ms. Darkenwald explained that booths will be located in the city parking lot and along Jackson. The IIEnergy" stage will be located on city property between the Cinema building and the Sunshine Depot. featuring a variety of local talent. Council member Dietz questioned why King Avenue is shown as being closed off on their sketch. Mr. Raymond indicated that the committee felt it would provide a safer situation for pedestrians going back and forth from the parking lot to the HRA site exhibits. COUNCJLMEMBER MOriN MOVED THAT, RECOGNIZING THE CITY COUNCIL'S PREVIOUS MOTION TO PROHIBIT USE OF THE HRA SITE FOR SCHEDULED ACTIVITIES, TO ALLOW USE OF THE MAIN AND KING FOR THE ARm mUE FESTIVAL ACTIVITIES ON A "ONE TIME" BASIS, IN CONSIDERATION THAT TIME CONSTRAINTS Will NOT ALLOW CHANGING THE LOCATION. COUNCILMEMBER FARBER SECONDED THE MOTION. THE MOTION CARRIED 4.1. Councilmember Dietz opposed. e 4. . City AcceDtance of a Portion of County Ditch # 10 B . ding and Zoning Administrator Steve Rohlf indicated on a map the portion of Ditc 1 0 that Sherburne County will be turning over to the City of Elk River as part of the tern Area Improvements. Staff recommends the Council officially accept this transfe . COUNCILMEMBE OTIN MOVED TO ACCEPT THE TRANSFER OF THAT PORTION OF SHERBURNE COUNTY TCH #10 TO THE CITY OF ELK RIVER, AS SHOWN ON THE ATTACHED MAP, AND F HER, THAT THE COUNTY BE ALLOWED TO CONTINUE OUTLETTING INTO THE REMA DER OF COUNTY DITCH #10. COUNCILMEMBER FARBER SECONDED THE MOTION. THE liON CARRIED 5-0. 4.2. e Steve Rohlf explained problems with the ci ' current policy for erosion control during new construction. He reviewed the pro sed revised policy, noting that input was provided by developers, the Suburban rthwest Builders Association, and the City Engineer. Steve indicated that staff is posing to require 2 rows of sod around the entire perimeter of new developments, d silt fencing and rock driveways will only be required on lots with a steep grade to e street. He further proposed that the city's public works department will sweep tli streets on a regular basis until a subdivision reaches 75% occupancy. The cos f sweeping the streets will be paid by the developer. Steve indicated that the policy ill be addressed through the developer's agreement for new plats. Existing pi will continue to be addressed through the current policy. steve noted that the Planning, Street and Building Departments have all endorsed the recommend changes. Elk River City Council Minutes Mav 24. 1999 Page 5 e 4.2. ~m; ~1Uit} Festival Site Plan Review Director of Planning Michele McPherson provided the Council with a site plan for the layout of the ~ [m.m~ Festival. She noted that the site plan includes the closing of King and Jackson Avenues. She indicated that it is proposed to close Jackson Avenue from 6:30 a.m. on Saturday" June 26, to 7 p.m. Sunday" June 27" 1999. King Avenue will also be closed at the same times during the day, but will be open on Saturday night. She further noted that the ~ftf ~~ Festival is requesting approval from the city for the placement of three temporary advertising signs on city property. COUNCILMEMBER THOMPSON MOVED TO AUTHORIZE THE CLOSING OF KING AND JACKSON AVENUES DURING THE TIMES PROPOSED FOR THE DfIl mum FESTIVAL. COUNCILMEMBER FARBER SECONDED THE MOTION. THE MOTION CARRIED 5-0. COUNCILMEMBER FARBER MOVED TO ALLOW THE THREE SIGNS ADVERTISING THE FESTIVAL TO BE PLACeD ON CITY PROPERTY AS PROPOSED BY THE &t SBUB FESTIV AL. e Discussion pursued regarding the possibility of setting a precedence regarding the use of city property for festivals and placement of signs. It was noted by the Council that the ~ m.g~~ Festival is an exception to the rule due to the fact that they were well into the planning process and had assumed approval based on receiving city funding and support prior to the Council making its decision to not allow the use of city property for festivals or sign placement. THE MOTION CARRIED 4-0-1. Council member Dietz abstained. 5. Darre land, 13563 Island View Drive, indicated his concern regarding the closing 0 e road in front of Cretex and the effect the closing has on the kids living in the Is d View Addition. He indicated that there was no way for the kids to walk into town ithout going on Highway 10. The City Administrator in regarding the closed road. place of the road. ed Mr. Island that staff is working with Cretex indicated that there are plans to develop a trail in 6.1. Assistant Director of Economic Development M Nevinski informed the Council that a purchase agreement has been received in amount of $350,000 for the Holt/Jackson parcel located on Highway 169. He indic ed that the buyer is proposing to build a Denny's Restaurant on the site. He fu r indicated that development of the site is contingent upon site plan and CUP roval by the Planning Commission and City Council. e Council member Motin indicated that he would not approve the agreem because he is uncertain as to whether there should be a restaurant on that si Elk River City Council Minutes Julv 19~ 1999 Page 2 e 4.1. Coun' ember Thompson updated the Council on the progress of the Boys and Girls Club. uncilmember Thompson noted the personnel committee is charged with searching Boys and Girls Club program director. 4.2. Council member Dietz updated the ncil on the issues discussed during the June and July Utilities Commission Meetin Mayor Klinzing provided an update on the Northstar Corridor elopment Authority Meeting of July 1, 1999. Mayor Klinzing noted that there · e a seoping meeting at the Sherburne County Courthouse on July 28, 4-7 p. The purpose of the meeting is to gather comments from the public to determine the corridor will impact the area. 4.3. Northstar Corridor Uodate 4.4. Reauest to Use City Prooertv bv Heritaae Festival e City Clerk Sandy Peine indicated that the city has received a. request from the Heritage Festival to use the city-owned property at King and Main street for Heritage Festival activities. She noted that Mr. Ed Border, chairman of the Heritage Festival, has requested use of the vacant lot for parking during the festival on September 18 and 19. Mr. Border addressed the council and indicated that he was just recently advised that the Heritage Festival had already received permission from the city to use the vacant lot on the corner of King and Main Street for parking. He noted that children's games are scheduled to use the parking lot behind Kemper Drug. The City Clerk noted that she was not aware that the Heritage Festival had received permission from the council to use the vacant lot for parking. The City Council discussed the issue. Councilmember Thompson noted that he would prefer to see the vacant lot used for children's games rather than parking. He noted that he did not want to close the parking area behind the businesses during the festival. Mr. Border agreed that this was a good idea. Councilmember Mann indicated that the council has already authorized by a previous motion that city property not be used for public or private use. He indicated that the council made one exception for the Arts Soup Festival and stated that he feels it is not in the council's best interest to make another exception. e Councilmember Dietz stated that he feels the council should make another exception for this event as it is a community festival. He suggested that the council approve an informal policy for the use of city property by community events following council approval. Councilmember Thompson concurred and stated that he felt the Heritage Festival is a community event held for the Elk River City Council Minutes Julv 19. 1999 Page 3 e betterment of the community. Councilmember Farber concurred with Councilmembers Dietz and Thompson. COUNCILMEMBER FARBER MOVED THAT AN EXCEPTION BE MADE TO THE MOTION OF APRIL 19,1999, MADE BY THE CITY COUNCil REGARDING THE USE OF HRA OWNED PROPERTY CURRENTLY FOR SALE AND FURTHER TO ALLOW THE HERITAGE FESTIVAL TO USE THE PROPERTY LOCATED AT THE CORNER OF KING AND MAIN STREET ON SEPTEMBER 18 AND 19, 1999, FOR THE SPECIFIC USE OF CHILDREN'S GAMES. Discussion was held by the council regarding Councilmember Motin's concem whether the exception to the April 19 motion allowing the Heritage Festival to use this property is a one time exception. . Councilmember Dietz suggested that a policy be drafted by the Ci1y Clerk for council approval regarding the use of HRA owned property. The Mayor indicated that this policy would be presented to the council for consideration at a future council meeting. COUNCILMEMBER DIETZ SECONDED THE MOTION. THE MOTION CARRIED 5-0. .50. Uodate on Community Recreation Activities - Michele Bergh Interim Community Recreation Director Michele Bergh updated the City Council community recreation summer programs. She indicated that the pro amming is going very well. She also updated the council on the Safety Camp d showed a short video of activities that took place at the Safety Camp. e 4.5b. Discussion on C Council member Matin dated the council on issues of discussion at the Community Recreation B rd meeting. He indicated that the board has spent much time discussing the thr options. He explained that the options are as follows: a.) maintain the status 0 of the joint powers agreement; b.) the city of Elk River beginning its own commu' recreation department; and c.) the community education or school distri taking over the programming of communiiy recreation. Council member atin indicated that there has been no consensus of the Community Recreation Bo regarding these options. Councilmember Mann questioned the council to their thoughts regarding whether all three options are viable for the city of River. Mayor Klinzing stated that if all three options were equal cost to the ci1y, it would make the decision easier. She indicated that her to hoice is to go with Option A followed by Option C as she feels this would be best the public and she indicated she is not willing to rush into forming a parks depart nt. Councilmember Dietz indicated his choice would include Option A or B. stated he would rather see the joint powers stay as it is, but if he sees no commitment from the other municipalities to continue, then he would be in fa r of Option B. Councilmember Thompson concurred with Council member Dietz. e MEMORANDUM TO: Pat Klaers, City Administrator FROM Bill Maertz, Director of Parks and Recreation DATE: August 4, 2005 SUBJECT: Lease of Emporium Parking Lot In October of 2004, I \vas contacted by a representative of Rum River Tree Farm \vho \vas interested in using the parking lot at the Emporium/Old Northbound Liquor for their Christmas tree sale. Because this space is being programmed by Parks and Recreation, I assumed that it ,"vas a Parks Facility. Due to a change in Wal-rvrart cOlporate policy, Rum River Tree was unable to locate at \Val-I:vlart last year and was looking for a new location. I negotiated a lease price of $1,500 \vorth of balled and burlapped trees in exchange for use of the west half of the parking lot.. Rum River Tree provided a letter of credit for $1,500. Parks maintenance staff \vill be planting these trees in I<lie\Ter Point Park this fall as part of the park development plan.