01-09-2006 CC MIN
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MEETING OF THE ELK RIVER CITY COUNCIL
HELD AT THE CITY OF ELK RIVER (UPPER TOWN CONFERENCE ROOM)
MONDAY, JANUARY 9,2006
Members Present:
Mayor Klinzing, Councilmembers Dietz, Motin, Farber, and Gumphrey
Members Absent:
None
Staff Present:
City Administrator Lori Johnson, Fire Chief Bruce West, City Engineer
Terry Maurer, Community Development Director Scott Clark, Government
Access Cable Producer Kristin Thomas, Human Resources Clerk Lauren
Wipper, and City Clerk Joan Schmidt
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 Council Agenda
Councilmember Motin added under Other Business - discussion of 175th Avenue and
Northstar Corridor.
MOVED BY COUNCILMEMBER FARBER AND SECONDED BY
COUNCILMEMBER GUMPHREY 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. CITY COUNCIL MINUTES
· DECEMBER 19, 2005 REGULAR
· DECEMBER 19,2005 EXECUTIVE
3.2. CHECK REGISTER
3.3. ADOPT RESOLUTION 06-01 DESIGNATING OFFICIAL
DEPOSITORIES AS FOLLOWS:
· FIRST NATIONAL BANK OF ELK RIVER
· 4M FUND
· WELLS FARGO BANK
· THE BANK OF ELK RIVER
· US BANK
· RIVERVIEW COMMUNITY BANK OF OTSEGO
3.4. DESIGNATE THE STAR NEWS AS THE OFFICIAL CITY NEWSPAPER
3.5. ADOPT RESOLUTION 06-02 APPOINTING LORI JOHNSON AS
RESPONSIBLE AUTHORITY FOR DATA PRACTICES
3.6. ADOPT RESOLUTION 06-03 ACKNOWLEDGING CONTRIBUTIONS
TO THE ELK RIVER FIRE DEPARTMENT FROM AN
ANONYMOUS DONOR
City Council Minutes
January 9, 2006
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3.8.
3.9.
3.10.
3.11
3.12.
3.13.
3.14.
3.15.
3.16
3.17.
3.18.
3.19.
3.20.
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AUTHORIZATION TO PURCHASE FIRE DEPARTMENT GRASS
UNIT
AUTHORIZATION TO PURCHASE OUTDOOR WARNING SIREN
LEASE FOR OFFICE AND STORAGE AREA FOR ELK RIVER YOUTH
HOCKEY
ADOPT ORDINANCE 06-01 ADDDING SECTIONS 30-157 THROUGH
SECTIONS 30-159 TO THE CITY CODE - ADOPTING THE
INTERNATIONAL PROPERTY MAINTENANCE CODE
RECEIVE ERMU COMMUNICATION ANTENNA POLICY
STREET DEPARTMENT OFFICE EXPANSION - Postponed to
February 13, 2006
2006 RECYCLING REBATE PROGRAM
CLEANUP WEEK UPDATE
CALL PUBLIC HEARING FOR FEBRUARY 6,2006 AT 6:30 P.M. TO
CONSIDER OUTCOME OF THE MN INVESTMENT FUND
PROGRAM DEED GRANT FOR SPORTECH, INC. EXPANSION
CALL PUBLIC HEARING FOR FEBRUARY 6,2006 AT 6:30 P.M. TO
CONSIDER TAX ABATEMENT AND BUSINESS SUBSIDY FOR THE
BANK OF ELK RIVER EXPANSION PROJECT
REQUEST TO ADVERTISE FOR COMMUNITY SERVICE OFFICER
VOLUNTEER RECOGNITION PROGRAM UPDATE
TRANSIENT MERCHANT LICENSE FOR RON DELIMONT OF TAP
ENTERPRISES TO HOLD TOOL SALE AT BOYS AND GIRLS CLUB
ADOPT RESOLUTION 06-04 PROVIDING FOR THE SALE OF
$3,595,000 ELECTRIC REVENUE BONDS 2006A
. MOTION CARRIED 5-0.
4. Open Mike
There was no one present for Open Mike.
5. Worksession
5.1. Council Open Forum
Councilmember Farber suggested to discuss Organizational Chart along with Item 5.9 _
Personnel Issues.
5.2. Appointment of Acting Mayor
MOVED BY COUNCILMEMBER MOTIN AND SECONDED BY
COUNCILMEMBER GUMPHREY TO APPOINT COUNCILMEMBER
FARBER AS THE ACTING MAYOR FOR 2006. MOTION CARRIED 5-0.
5.3.
Excess Liability Insurance Presentation from Mary Eberley
Insurance Agent Mary Eberley distributed and reviewed information from the League of
Minnesota Cities discussing the options available if the Council wished to purchase excess
liability insurance. Additional $1,000,000 coverage would cost $52,505.00. In past years the
City has opted out of obtaining additional coverage relying on the statutory municipal tort
liability limits. She stated that the city can elect to have a bigger deductible and with the
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City Council :Minutes
January 9, 2006
Page 3
savings in premiums purchase additional insurance or have a higher deductible limit with
stop loss.
Councilmember Dietz inquired if in the past the City had any huge claims. City
Administrator Johnson stated there has not been an incident in the past.
Council discussed the need for no-fault sewer back-up coverage (liability insurance now
covers) and the loss experience rating factor impacted by land use claims. Ms. Eberley stated
that there were three land use claims and even though the City was found as not liable these
incidents still count against us.
Councilmember Dietz stated that he would rather pursue the option of looking at a bigger
deductible and apply the savings but was not in favor of increasing the maximums. The
Council concurred. Ms. Eberley stated that she would go ahead and get some options
together for the Council to consider before the next renewal.
Ms. Eberley also discussed coverage for the Ambulance Service stating that at this time it
makes sense to leave the Ambulance Service where it is currently insured. She stated that
two other programs were investigated and she feels that premiums would not be much
different than what is currently paid. She stated that the Ambulance Service should stay on a
separate contract and not to combine coverage with the City's insurance. She stated that the
VFIS Program seems to be good for the Ambulance Service and credits had applied allowing
for coverage of the second ambulance at very little cost.
Since these are two separate entities the workers comp insurance has to be a separate policy
from the City's. She stated that she would do some comparisons.
5.4.
Presentation from Tinklenberg Group
Elwyn Tinklenberg gave on update on the Tinklenberg Group's progress on acquiring
federal funding for city projects and their plans for 2006. He stated that the City had the
support of the Chamber of Commerce, MnDot, and members of Congress (Kennedy,
Oberstar, Dayton, and Coleman) but with the recent disaster of Hurricane Katrina and other
hurricane relief efforts as well as the war in Iraq, Congress decided to authorize funding for
only four entities in the State of Minnesota with the largest amount approved of $1 million.
He stated that he is encouraged to resubmit the application and that he is recollecting
information and redrafting the application. He is trying to again get letters of support from
the Chamber of Commerce and MnDot. He stated that since this is an election year it
presents a better opportunity to get funding; resources should be available and will explore
options for Highway 10 Corridor; and that he has talked to Sherburne County in looking at
additional areas that will be affected by the work.
Mayor Klinzing asked if there is anything the City should be doing. Mr. Tinklenberg stated
that a trip to Washington, D.C. to get the legislators' support is very important and to
continue building support in the business community.
Mayor Klinzing asked if the City's contract with him goes through the process. He stated
that the Tinklenberg Group slowed down their work in order to preserve funding enabling
him to be able to redraft and resupmit another application. Funding should go through
February 2006 instead of December 2005.
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City Council Minutes
January 9, 2006
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5.5.
Transportation Issues Update
City Engineer Maurer updated the Council on the following transportation issues:
1. MnDot Spring Tour - these will be planned again and Mr. Maurer will report back with
possible dates;
2. TH 169 Environmental/Geometric Study - MnDot has selected SRF Consulting Group
to conduct a study taking 12-18 months with a kick-off meeting for late February or
March;
3. TH 10 Federal Funding Request - The Tinklenberg Group still working at obtaining this
funding;
4. County Highway 40 Reconstruction - city staff reviewing draft agreement from
Sherburne County; have made contact with all property owners and all but one
individual property owner on east side has signed a quit claim deed;
5. County Road 33/77 Turnback - public hearing scheduled for February 21st;
6. City/County Quarterly Transportation Meetings - meeting with Sherburne County
Public Works Director on potential dates for these reinstituted meetings;
7. 193rd Avenue Corridor Study - informational meetings planned for January 24 and 25
and working on subniitting an application for Federal funding;
8. Highland Road Reconstruction and Feasibility Study - informational meeting for
residents along Highland Road scheduled for February 15 with notice to be sent out
approximately one week before and preliminary analysis for feasibility study completed;
9. Dodge Avenue Reconstruction - public hearing scheduled for January 17;
10. Waco Street Reconstruction - preliminary plans completed and sent to MnDot for
review by Office of State Aid;
11. 2006 Overlay Project - working on completing feasibility study; upcoming public
hearing and assessment hearing may be held the same night;
12. 186th Avenue/Naples Street Feasibility Study - anticipate having informational meeting
in February with feasibility study information presented to Council in early spring;
13. Signal at School Street and High School Entrance - working on final plans and will
bring to Council in February to authorize bidding of project, working with School
District to confirm their portion of financing after bid opening and prior to award;
14. County Road 1 - to be reconstructed;
15. County Road 33 east ofTH169 - Sherburne County submitting an application for
funding.
5.6. Adopt a Resolution Relating to Parking Restrictions on Waco Street
City Engineer Maurer explained that this resolution would ban parking on both sides of
Waco Street from Mississippi Road (County Road 30) to 1,100 feet north. Staff is
submitting plans to MnDot for review to make this project eligible for Municipal State Aid
funding and one of the requirements is a No Parking Resolution. There is no need for
parking on Waco Street with the surrounding property uses.
MOVED BY COUNCILMEMBER FARBER AND SECONDED BY
COUNCILMEMBER GUMPHREY TO ADOPT RESOLUTION 06- 05
RELATING TO PARKING RESTRICTIONS ON WACO STREET. MOTION
CARRIED 5-0.
5.7.
Holzem Development Concept Discussion
Community Development Director explained past discussions of this property, of the
Council's desire for the land use to be for single-family residential and not townhouses, of
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January 9, 2006
Page 5
the conceptual plan for bringing approximately 260 acres into the City's Urban Services
District including a rezoning to a Planned Unit Development (PUD) Zoning District, the
developer deeding a 30 to 40 acre parcel to the City to be used in the future for school use
and the developer meeting normal park dedication requirements, in this case of land and
cash.
He explained that at this time, the Engineering Department is in the process of securing
right-of-way for CR 40 and a significant length of the road follows along the west property
line. If this property was brought into the Urban Services District, properties immediately to
the south would also be processed at the same time to be brought into the Urban Services
District.
Mr. Clark stated that discussion was needed on the maximum number of units acceptable
and lot sizes. At this time the preliminary plat illustrates 254 lots at or exceeding 11,310 sq.
ft. and 215 lots at or exceeding 8,450 sq. ft. He stated that the Park and Recreation
Commission is recommending accepting the park location and size on the condition that
there is a trail adjacent to and completely encircling the wetland area and the remainder in
cash dedication.
Bob Wiegert of Paramount Engineering & Design reviewed the revised concept plan
regarding enhancing and meeting the wetlands requirements, discussions of location of a
school, and location of the park.
Ed Dulak, representing Meridian Development, distributed information regarding K
Hovnanian Homes. Mr. Dulak stated that these 2,000 to 3,000 sq. ft. homes will fit on a 65
ft. lot and that the market is showing interest in this size home on a smaller lot.
Mr. Dulak explained that it is proposed to preserve 4+ acres of woodland site, enhance the
40 acre wetland, to loop the wetland with the trail system tying it in with the sidewalk
system, that CR40 right-of-way is to be dedicated to the City, that the City will receive the
road fee from Mr. Dulak, and to have smaller lot sizes with single-family homes with double
garages.
Councilmember Motin expressed concerns of the impact on the water system stating that
there is more density here than elsewhere in the City; and that he likes the ability of the
School District to be able to have a junior high and an elementary in the same area.
Councilmember Dietz stated that in the past Mr. Dulak said he could do this project on
14,000 sq. ft. lots and still donate the land for the school. Councilmember Dietz would like
to see the School District's long-range plan for a middle school and whether it is needed and
to have in a contract with the School District that if this land is not developed with a school
in a certain time period that the land should go back to the City for parkland. He feels this
preliminary plat has too many lots; Mr. Dulak wants this to be rezoned to PUD, and
questioning what does the City get in exchange.
Mr. Dulak stated that the market is not seeing the need for 14,000 sq. ft. lots now and that
the trend is becoming smaller square foot lots even though people still want a large home.
He suggested redoing at 7,500 across the board.
Discussion followed on having mixed sizes of 65 sq. ft. and 85 sq. ft. lots and that the size of
Orrin Thompson's lots across the street are 75 sq. ft.
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City Council Minutes
January 9, 2006
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Councilmember Motin stated that he feels we're getting into postage stamp size lots and that
11,000 sq. ft. makes sense. He stated that we need to look at a minimum lot size of 11,000
sq. ft. with keeping of the land dedicated for the school and park in this plan.
Mayor Klinzing stated that a cluster development allows 11,000 sq. ft.
Councilmember Dietz stated that he is willing to compromise and to have an average of
11,000 sq. ft. minimum with the park land and school land remaining and negotiation for
road fees.
It was the consensus of the Council to allow two distinct lot sizes with variation of the look
and that the absolute minimum lot size is 9,750 square foot with the lot size average across
the entire development of at least 11,000 sq. ft.
5.8. Cable TV Service Areas
Government Access Cable Producer Kristin Thomas provided information regarding the
possibility of extending cable service to the Windsor Park, Ridges of Rice Lake, and Rolling
Hills developments within the City. Under the current franchise agreement, Charter
Communications is required at their cost, to extend service to areas with a density of at least
nine residential units per one-quarter cable mile of System, as measured from the nearest
Cable System trunk line or distribution cable as of the date of such request for service.
Cable is not obligated to assume the total cost to extend service to areas which do not meet
this requirement. However, the City, residents, and Charter Communications can negotiate
a shared cost for extension of service areas not meeting the requirement but desiring service.
Ms. Thomas also provided information on four Internet providers available.
It was the consensus of the Council that they did not wish to cost share with Charter
Communications to extend cable service to these areas.
5.9. Personnel Issues
A. Personnel Committee Pay Plan Structure Discussion
City Administrator Johnson stated that the Personnel Committee consisting of Bruce West,
Lauren Wipper, Joan Schmidt, Dave Potvin, who recently bowed out of this committee, and
herself have been struggling to place the new division head positions and new department
head positions into the existing pay plan. The City's current play plan originally developed in
1995 and revised in 1999, structurally does not allow balancing the internal structure for all
of these new and realigned positions. The Personnel Committee is asking permission to
review and update the structure of the pay plan for the purpose of regaining and maintaining
internal balance. She stated that the Committee is suggesting hiring on an hourly basis the
Stanton Group Consultants to aid in this process.
MOVED BY COUNCILMEMBER FARBER AND SECONDED BY
COUNCILMEMBER GUMPHREY TO GO OUT FOR PROPOSALS AND AS
PART OF THIS PROCESS TO LOOK INTO THE FUTURE SO WE DON'T
HAVE THIS SAME PROBLEM. MOTION CARRIED 5-0.
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January 9, 2006
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B. Discuss Filling Finance/Administration Position Vacancy
City Administrator Johnson stated there were two needs: the need to replace a finance
position and a replacement for when she is not available. She stated that the Finance
Department cannot function with fewer employees than it currendy has and that this year
Senior Accounting Clerk Joan Frick plans to retire. She stated the need for a replacement
for Ms. Frick's position as well as with the heavy workload filling the half time position that
has been budgeted.
Discussion occurred as to how Ms. Johnson prior to accepting the position of City
Administrator was the Finance and Administrative Services Director with the divisions of
Finance, Lquor Store, Human Resource, Information Technology, and City Clerk under her
supervision. She would like to advertise for a Finance Director/ Assistant with this
position's primary duties that of Finance but who would be in charge when she is not
available.
She is hoping to attract candidates that are either currendy a Finance Director and have
experience in Administration or an Assistant Administrator who has background in finance.
She envisions this position supervising Finance, the Lquor Store, and Information
Technology with Human Resource and City Clerk under her supervision. She stated that
this position may move into the Finance and Administrative Services Director.
It was the consensus of the Council that Ms. Johnson should put this job description
together and start the advertising process.
C. Organizational Chart
Councilmember Farber added this item to the agenda because he feels the Prosecuting
Attorney should report to the Police Chief.
Councilmember Dietz was not comfortable in changing the organizational chart without
having Chris Johnson and Jeff Beahen coming to a Council meeting to discuss.
Councilmember Motin was concerned if this could be a conflict of interest and suggested
talking to the League of MN Cities.
It was the consensus of the Council to check with the League and to have Attorney Johnson
and Chief Beahen present for discussion at an upcoming meeting.
Ms. Johnson inquired as to the timing of having a Public Works Director. It was the
consensus of the Council to get an Engineering Department up and going but the position
of a Public Works Director was a long term issue.
6. Other Business
Discussion of 17 5th Avenue
Councilmember Motin inquired as to property on 175th Avenue and going towards Twin
Lakes Road, if this property is being coordinated by Denny Hecker or are these homes now
being sold by Hecker Homes. Has Denny Hecker backed away? Ms. Johnson will check
with Scott Clark.
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City Council :Minutes
January 9, 2006
Page 8
Northstar Corridor
Councilmember Motin stated that a survey had been coi,lducted and that the results were
very positive of continuing on with the Northstar Corri<ilor and even to extend it up to St.
Cloud. The survey indicated that 15% of residents living within the Corridor would use the
Corridor to commute to work which could cause capacity issues, going beyond the point of
what could be handled.
7.
Council Updates
City Administrator Johnson stated the deadline was tombrrow to sign up for "Lunch with
the Legislators" sponsored by the Chamber of Commerte.
Ms. Johnson mentioned the invitation to Pullman Place dedication on January 24 at 3:30
p.m.
She stated that Paul Krause is currently in Florida and that a response to the letter sent has
not been received but it is anticipated to receive a resporise sometime next week.
Councilmember Dietz stated that he had heard that Mr. ,Krause would reject this offer.
8. Adjournment
MOVED BY COUNCILMEMBER GUMPHREY AND SECONDED BY
COUNCILMEMBER FARBER TO ADJOURN TIjIE MEETING. MOTION
CARRIED 5-0.
The meeting of the Elk River City Council adjourned at
p.m.
Joan Schmidt
City Clerk