09-12-2005 CC MIN
MEETING OF THE ELK RIVER CITY COUNCIL
HELD AT THE CITY OF ELK RIVER (UPPER TOWN CONFERENCE ROOM)
MONDAY, SEPTEMBER 12, 2005
lvfembers Present:
Mayor I<J.inzing, Councilmembers Dietz, Morin, Farber, and Gumphrey
1\1embers .i\.bsent:
None
Staff Present:
City Administrator Pat I<laers, Finance and .l\dministrative Services
Director Lori Johnson, Building and Environmental_Administrator Stephen
Rohlf, Police Chief J eEf Beahen, Parks and Recreation Director Bill Maertz,
Fire Chief Bruce \Xlest, Community Development Director Scott Clark, and
City Clerk Joan Schmidt
1. Call Nfeeting 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 Council .ligenda
The follo\V:ing items '\vere added to the agenda under Other Business: Homecoming Parade,
training offered by Sherburne County Assessor, and Nextel To'\ver.
MOVED BY COUNCILMEMBER FARBER AND SECONDED BY
COUNCILMEMBER MOTIN TO APPROVE THE AGENDA AS AMENDED.
MOTION CARRIED 5-0.
3. Consider Consent Agenda
MOVED BY COUNCILMEMBER MOTIN AND SECONDED BY
COUNCILMEMBER FARBER TO APPROVE THE FOLLOWING CONSENT
AGENDA ITEMS:
3.1. CONSIDER ORDINANCE 05-21 AMENDING MEMBERSHIP OF
ENERGY CITY COMMISSION, RESOLUTION 05-103 APPROVING
SUMMARY PUBLICATION OF ORDINANCE 05-21, AND
APPOINTMENTS TO ENERGY CITY COMMISSION
3.2. CONSIDER WORKER'S COMPENSATION RENEWAL WITH LEAGUE
OF MINNESOTA CITIES INSURANCE TRUST
3.3. CONSIDER HIRING FULL TIME LIQUOR CLERK
3.4. CONSIDER RESOLUTION 05-104 DESIGNATING THE MAXIMUM
HOUSEHOLD INCOME LEVEL FOR QUALIFICATIONS OF
DEFERRAL OF SPECIAL ASSESSMENTS BASED ON HARDSHIP.
MOTION CARRIED 5-0.
4. Open 1:vfike
Noone appeared for Open l:vfike.
City Council J\1inutes
September 12, 2005
Page 2
5. \Xlorksession
5.1. Council Open Forum
Councilmember 1\1otin stated that he '\vas concerned about seeing an article in the newspaper
regarding land being offered to GRE since he felt no formal action has been taken by the
City Council or ED~~ and that '\ve are still moving fonvard. He stated that he's not opposed
to this but doesn't kno'\v if it's appropriate.
Councilinember Farber stated that the concept had been discussed.
City Administrator Pat I<laers stated that the opportunity to submit a proposal to GRE came
up some\'vhat late in their site selection timetable and that Director of Economic
Development Cathy'1vlehelich made a brief presentation to the City Council on the proposal
the city \vas planning to submit to GRE. This proposal was deyeloped after a meeting ,"vith
the Mayor, ED...A.. Chair J efE Gongoll, and representatives of GRE. It was his understanding
that the consensus of the Council \vas to submit the best plan possible in order to encomage
GRE to keep its corporate headquarters in the city, although there were some concerns
expressed about the magnitude of the offer. The city administrator also noted that staff
often submits proposals to companies based on direction staff has by way of the Economic
Development Strategic Plan. All final site proposals and subsidy proposals are subject to City
Council approval.
Councilinember Morin stated that he doesn't know if this follows the strategic plan. He's
concerned as to ho\v the GRE \'Vill deyelop this area.
Mayor I<J.inzing stated that it's no\'V~ GRE's time to tell us \vhat they ate looking for; that it is
a \vait and see situation as of nOVl and we '\vill have to hear back from them.
Mayor I<J.inzing stated that this morning additional information "\vas presented to them,
discussion involved Energy City and transportation issues, and that GRE knows there are
some major hurdles for the city and some of barriers to the city site.
5.2. Exit Intervie\v ,vith Building and Environmental Administrator Stephen Rohlf
An exit interview was held as requested by Building and Environmental Administrator
Stephen Rohlf. He distributed a handout that captured some of his parting thoughts. He
recognized and praised his staff of building inspectors, building pennit technicians, and
environmental technician. Some of his constructive ideas were: continue providing on-
going education; don't take qualified staff for granted; permit technician salary range should
be revie\ved; have En'r1ronmental become a separate division ,vith a current staff member
becoming the di,rision head; continue to promote Energy City by obtaining name
recognition and seek gubernatorial or legislative designation of Elk River as Energy City; use
Energy City as a economical tool; use money administered through Energy City to improve
the energyT efficiency of a potential business' building envelope or heati..llg and cooling
systems; continue \Vith proactive programs such as archaeological digs, the 2003
Archaeological 11odeling, and cooperative relationship \vith St. Cloud State University for
these digs; and cease the licensing of commercial fertilizer applicators (no longer necessary
since phosphorus are banned statev~tide).
City Councillvfinutes
September 12, 2005
Page 3
:MI. Rohlf also mentioned some areas ~There better communications would hav.e been
helpful. He also stated that this council is haxd to read and it can sometimes be awbrard for
a staff person.
Mayor I<linzing and the Councilmembers thanked 11r. Rohlf and mshed him well in his
future endeavors.
5.3. Discussion on October 10 Joint City Council Meeting \vi.th Boards/Commissions
City _Administrator Pat I<laers presented his staff report. He stated that staff is looking for
direction as to how the Council Vli.shes to proceed "\vith the upcoming joint meeting \Vith
Boards/Commissions. Staff has the follo\V:ing thoughts: \X7hat does Council \vant these
meetings to be? Does Council msh to have a more casual and general setting or want to get
to discussing some issues? Should all the boards/commissions come together or just those
related to growth and development? \XTish to have a facilitator?
Mayor I<J.inzing stated that at last year's meeting the Council wanted everyone to meet each
other and to build an understanding as to '\V"hy we do things and to establish communication.
She stated that if we are looking for something concrete to come out of these meetings, that
it makes sense to have all members present at the same time.
Councilmember Morin questioned \vhether we '\vant something concrete to come out of this
meeting. There are so many things that overlap that many groups don't see and realize that
this meeting \vould give them an opportunity to become aware of some of these items --
such as the Library Board "\\'1ll be dealing "\vith an expansion soon; the Utility Commission
dealing VJith where to put sewer and water or possibly dealing \vith annexing nearby
to'\\rrlsrups; HPC has ideas in regards to future changes. He stated that goals and
accomplishments should be reviewed - perhaps discuss the goals that members feel they "\\'1.11
be bringing forward for the next few years. Not so much accomplishments (some
streamlining in sharing \vhat they've done in the last year), but what members are moving
to,\\Tards as a Commission/Board; what are their future goals and projects.
Councilmember Dietz stated that in the past Council had joint meetings '\vith each
commission. He stated that the Council doesn't seem to be doing that any longer or not
very often. This all inclusive joint meeting gives the opportunity for the commissions to
meet \\~th the Council and ask questions. He feels that it's good for the Council to meet
once a year \vi.th everyone. It's good to interact. He stated that some may feel it's a \vaste of
time but he feels that it's good to have an exchange of ideas.
Councilmember Farber stated that he agrees.
Mayor I<J.inzing inquired if the Council should go back to meeting \\rith each
commission/board incliv-i.dually. Councilmember Dietz stated that there are so many groups
and that this joint meeting is an opportunity for them to express their likes, dislikes, receive
recommendations, ask questions of the Council, etc. He stated that he "\vould hope that
members from these groups would speak up. In this informal atmosphere people should be
comfortable.
It was the consensus of the Council to sit "\vith the commission/board group that they serve
as Council liaison and then rotate after 10-15 minutes. Council feels this is an opportunity
for the members to turn in questions - staff to ha'\'"e pen and paper available on tables. The
City Council ~vfinutes
September 12, 2005
Page 4
Council \Vi-shes to have an informal gad1ering and let the ideas flow'\vith the inter-relation
among the commissioners triggering other ideas.
The theme of - "j\ Conversation '\\Ii.th Council" -was suggested.
5.4. Discussion on 2006 Municipal Budget and Tax Levy
City _Administrator I<laers reviewed the proposed budget and stated that the biggest change
since the last budget meeting on August 22 is the increase in our net tax capacity (NTC).
This increase amount of 15.7370/0 is comparable to last year and is more than anticipated. It
results in additional tax re\Tenues being available for general fund eA-pendituIes ,vithout a
change in the city tax rate. IvIr. I<1aers discussed "\\rith the Council minor revenue changes
and expenditure cuts that were made since the last budget meeting.
The Council discussed the budget with questions involving:
. Balance of available equipment reserves
. Use of host fee reSe1\7eS
. Equipment certificates and length of time
. The amount of roads graded each year and needed street equipment
Mayor I<J.inzing stated that she likes the way staff has done the Capital Outlay this year. She
stated that it makes a lot of sense and is very clear. She asks that staff indicate more clearly
in the future the amount that is going to'\vards travel expenditures and tuition
reimbursement.
Mayor I<J.inzing called a recess at 7:55 p.m. The Mayor reconvened the meeting at 8:04 p.m.
Ms. ] ahnson indicated that the City has equipment reserves of $570,000 but $200,000 is in
the 2005 budget. She stated that \ve v.rill ha\re enough to fund the 2006 budget but that \V"'e
\vill not \vant to deplete this fund by much more.
Discussion followed in regards to the 2006 Capital Outlay. Councilmember Gumphrey had
concerns about the hvo trucks for the Streets Department and feels that the certificates
amount is high and \vould like to see one truck taken off of this budget.
Counci1mernber Farber had concerns about future equipment needs and how we go about
meeting those needs. He suggested instead of buying ne'\v to consider equipment that is a
fe'\v years old. He stated that this year \ve may need to start looking at alternatives for next
year.
Councilmember Dietz stated that he feels now is the time to give the Streets Department the
1:\vo trucks \vhile we have the 160/0 NTC increase; that it may become more difficult in the
future. He suggested approving \vhat the City Administrator is recommending.
Councilmember Farber stated that he concurs that since \ve do have the necessary money
that now is the time to purchase both vehicles but that we need to consider some
alternatives for the future.
Councilmember Gumphrey stated he \vould like to see the City build up equipment reserves
and then '\ve could pay cash in the future.
City Councill\'finutes
September 12, 2005
Page 5
MOVED BY COUNCILMEMBER GUMPHREY TO ELIMINATE ONE TRUCK
FOR THE STREETS DEPARTMENT FROM THE 2006 CAPITAL OUTLAY.
MOTION DIED FOR LACK OF A SECOND.
Councilmember Morin stated that we need to weigh the cost of keeping up these vehicles
and not to trade in unless needed.
Mayor I<J.inzing suggested that in the future more detail be prov;.ded to Council in regards to
maintenance and repair expenses on vehicles.
MOVED BY COUNCILMEMBER DIETZ AND SECONDED BY
COUNCILMEMBER FARBER TO APPROVE RESOLUTION 05-105
AUTHORIZING THE PROPOSED PROPERTY TAX LEVY FOR
COLLECTION IN 2006. MOTION CARRIED 5-0.
MOVED BY COUNCILMEMBER MOTIN AND SECONDED BY
COUNCILMEMBER FARBER TO APPROVE RESOLUTION 05-106
APPROVING THE 2006 TAX LEVY FOR ECONOMIC DEVELOPMENT
PURPOSES FOR THE ELK RIVER ECONOMIC DEVELOPMENT
AUTHORITY. MOTION CARRIED 5-0.
MOVED BY COUNCILMEMBER FARBER AND SECONDED BY
COUNCILMEMBER GUMPHREY TO APPROVE RESOLUTION 05-107
APPROVING THE HOUSING AND REDEVELOPMENT AUTHORITY 2006
TAX LEVY. MOTION CARRIED 5-0.
MOVED BY COUNCILMEMBER FARBER AND SECONDED BY
COUNCILMEMBER DIETZ TO HOLD THE CITY OF ELK RIVER TRUTH IN
TAXATION PUBLIC HEARING ON THE TAX LEVY AND BUDGET AT 6:30
P.M. ON DECEMBER 5, 2005 WITH THE CONTINUATION DATE IF
NEEDED OF DECEMBER 12, 2005, AT 6:30 P.M. MOTION CARRIED 5-0.
City Administrator I<J.aers stated that this general fund budget does not include funding for
contracted services \vith the Boys & Girls Club; however, there is $12,000 in the landfill
budget for programs provided by this group. He also noted that funding for the Retired and
Senior Volunteer Program is not in the budget.
5.5. Continuation of Consideration of a Tobacco License for Elk River BP
City Clerk Joan Schmidt reviewed the information provided in regards to issuing a tobacco
license for Elk River BP. Police Chief Beahen answered the Council's questions regarding
compliance checks.
MOVED BY COUNCILMEMBER FARBER AND SECONDED BY
COUNCILMEMBER GUMPHREY TO APPROVE A TOBACCO LICENSE FOR
ELK RIVER BP AT 19696 EVANS STREET WITH STAFF BRINGING THIS
ITEM BACK TO COUNCIL IF THERE ARE ANY COMPLIANCE CHECK
PROBLEMS. MOTION CARRIED 5-0.
City Counciliv11nutes
September 12, 2005
Page 6
6. Other Business
Homecoming Parade
City Clerk Schmidt informed the Council of the Homecoming Parade to be held on Friday,
September 30, starting at 5:30 p.m. The rendezvous site is Lincoln/Parker School parking
lot.
Training Offered by Sherburne County ...Assessor's Office
City Clerk Schmidt informed the Council of the Local Board of Appeal and Equalization
training offered at Sherburne County and to be taught by _Al Heim, Regional Representative
from the ::M:N Department of Revenue. Per State Law, at least one Councilmember must
have attended training and become certified for the Council to act as the Local Board of
Appeal and Equalization Board. Councilmember Farber attended training in February and is
certified. However, this training is being offered again on Tuesday, September 27, and it is
recommended that at least one more Councilmember attend. Councilmember Gumphrey
stated that he would attend.
N extel Tower
City Administrator I<laers explained that Nextel would like to have an independent free
standing pole next to the softball field. This is also the City's preference. Staff would like to
'\vork with N extel regarding that city owned property that would be leased to them. In the
future, staff '\vould like to encourage businesses like N extel to \vark "\"Vith the LT tilities
Department.
Councilmember Dietz stated that he would encourage the Utilities to put a report together
on this issue.
Police Chief Beahen stated that 800 Iv[f-Iz radios '\\Jill work at this location for fire, utilities,
and police. Nextel '\\J9ould not charge the City but requires the stipulation that an engineering
study be completed to show that our City equipment doesn't interfere ,"vith their equipment.
It was the consensus of the Council that staff should negotiate ~rith N extel for a city owned
site.
7. Staff Updates
Police Chief Beahen thanked council for allo\V:ing the police staff to participate in the funeral
today of the Lino Lakes police officer.
Councilmember Gumphrey asked Community Development Director Scott Clark hOVl
things are going. IYIr. Clark stated that he is enjoying his position, is involved in meetings
~rith his staff as a group and individually, as well as making a point of meeting ~vith a new
individual from the community every day. He is trying to learn the various tasks to be done
and finds the position very exciting.
8. Closed Executive Session
~-\t 8:48 p.m., Mayor I<J.inzing announced that the Council would be going into a closed
Executive Session as allowed under::M:N Statute 13D.95, Subd. 3(b), Attorney-Client
Privilege, to discuss the Builders Association lavlsuit.
City Councillvlinutes
September 12,2005
Page 7
MOVED BYCOUNCIUMEMBERGUMPHREYAND SECONDED BY
COUNCIUMEMBER FARBER TO RECESS THE COUNCIL MEETING TO A
CLOSED EXECUTIVE SESSION TO DISCUSS THE BUILDERS
ASSOCIATION LAWSUIT. MOTION CARRIED 5-0.
Mayor I<J.inzing reconvened the Council Meeting at 9:12 p.m. explaining that under:MN
Statute 13D.95, Subd. 3(b) the Council held an Executive Session and discussed the Builders
..A.ssociation lawsuit.
8. j\.djournment
There being no further business, Mayor I<J.inzing adjourned the meeting of the Elk River
City Council at 9:12 p.m.
Joan Schmidt
City Clerk