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10-15-2007 CC MINMEETING OF THE ELK RIVER CITY COUNCIL • HELD AT THE ELK RIVER CITY HALL MONDAY, OCTOBER 15, 2007 Members Present: Mayor Klinzing, Councilmembers Zerwas, Motin, Farber, and Gumphrey (6:35 p.m.) Members Absent: None Staff Present: City Administrator Lori Johnson, Planning Manager Jeremy Barnhart, Public Works Director Terry Maurer, City Attorney Peter Beck, Economic Development Director Catherine Mehelich, and City Clerk Tina Allard Also Present: Planning Commissioner Chad Staul EDA Commissioners: Pat Dwyer, Dan Tveite, and Jeff Gongoll 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 K]inzing. 2. Consider 10/15/2007 A enda Councilmember Motin added NCDA Update to Council Updates. • MOVED BY COUNCILMEMBER MOTIN AND SECONDED BY COUNCILMEMBER FARBER TO APPROVE THE AGENDA AS AMENDED. MOTION CARRIED 4-0. 3. Consider Consent A eg nda MOVED BY COUNCILMEMBER FARBER AND SECONDED BY COUNCILMEMBER ZERWAS TO APPROVE THE FOLLOWING CONSENT AGENDA: 3.1 CHECK REGISTER AS OUTLINED IN THE STAFF REPORT 3.2. PAY ESTIMATES AS OUTLINED IN THE STAFF REPORT 3.3. STAFF TO UPDATE CHAPTER 38, ARTICLE IX, SEXUALLY ORIENTED LAND USES 3.4. CONCUR WITH THE ECONOMIC DEVELOPMENT AUTHORITY AND APPROVE DECERTIFICATION OF TAX INCREMENT FINANCING DISTRICT #17 (DECKER) AND #20 (SUPERMATS) 3.5. 2008 CITY COUNCIL MEETING SCHEDULE MOTION CARRIED 4-0. 4. Open Mike • No one appeared for Open Mike. City Council Minutes Page 2 October 15, 2007 • 5. ]DINT MEETING WITH ECONOMIC DEVELOPMENT AUTHORITY Pursuant to due call and notice thereof, the meeting of the Elk River Economic Development Authority was called to order at 6:35 p.m. by Chair Gongoll. 5.1. YMCA Bond Sale. Public Hearin~City Council Action Ms. Johnson briefly went through tonight's actions to issue the bonds for the YMCA project and stated the Council needed to hold a public hearing to designate the bonds for the YMCA project as 501(c)(3). Mark Ruff, Ehlers and Associates-Stated the purpose of the public hearing is to authorize up to $12;000,000 in bonds for the YMCA and give citizens an opportunity to voice whether they like the idea of the city issuing bonds for anon-profit. Mr. Ruff stated the city bond rating was upgraded to Aa3 and noted this bond rating is similar to ratings of larger cities such as St: Cloud. He gave credit to staff and the Council for management of city funds. He read and presented a plaque to the Mayor. Mr. Ruff discussed the bond sale and noted that the rate came in better than expected at 4.17 percent. Mayor Klinzing gave credit to Ms. Johnson, Mr. Simon, and the Finance Department staff for doing a great job with the city's finances. Mayor Klinzing opened the public hearing. There being no one to speak to this issue, Mayor Klinzing closed. the public hearing. 5.3.A. Ordinance Authorizing the Issuance of Not to Exceed $12,000000 General Obligation Bonds by the Economic Development Authority for the Citv of Elk River-City Council Action Councilmember Gumphrey questioned how the Sherburne County Grant will affect these bonds. Ms. Johnson stated the county would be giving $1.4 million for this project, which will reduce the city's tax levy for this project for six years. MOVED BY COUNCILMEMBER FARBER AND SECONDED BY COUNCILMEMBER ZERWAS TO ADOPT ORDINANCE 07-13 AUTHORIZING ISSUANCE OF NOT TO EXCEED $12,000,000 GENERAL OBLIGATION BONDS BY THE ECONOMIC DEVELOPMENT AUTHORITY FOR THE CITY OF ELK RIVER, MINNESOTA; PROVIDING FOR THE FORM AND DETAILS THEREOF; AND AUTHORIZING THE ECONOMIC DEVELOPMENT AUTHORITY FOR THE CITY OF ELK RIVER, MINNESOTA, TO PLEDGE THE FULL FAITH, CREDIT AND RESOURCES OF THE CITY OF ELK RIVER, MINNESOTA, FOR THE SECURITY AND PAYMENT OF THE BONDS. MOTION CARRIED 5-0. • Ciry Council Minutes October 15, 2007 Page 3 5.2. Adopt Resolution Accepting Offer on the Sale of $10 000 000 General Obligation Bonds Series 2007. Providing for Their Issuance and Levying a Tax for the Payment Thereof- Economic Development Authority Action MOVED BY COMMISSIONER DWYER AND SECONDED BY COMISSIONER TVEITE TO ADOPT RESOLUTION 07-08 ACCEPTING OFFER ON THE SALE OF $10,000,000 GENERAL OBLIGATION BONDS, SERIES 2007, PROVIDING FOR THEIR ISSUANCE AND LEVYING A TAX FOR THE PAYMENT THEREOF. MOTION CARRIED 7-0. There being no further business, Chair Gongoll adjourned the meeting of the Elk River City Council at 6:45 p.m. 5.3.B. Resolution Authorizing a Continuing Disclosure Undertaking with Regard to the Issuance of $10.000.000 General Obligation Bonds. Series 2007 of the Economic Development Authority for the-Gifu of Elk River-City Council Action MOVED BY COUNCILMEMBER MOTIN AND SECONDED BY COUNCILMEMBER FARBER TO ADOPT RESOLUTION 07-82 AUTHORZING A CONTINUING DISCLOSURE UNDERTAKING WITH REGARD TO THE ISSUANCE OF $10,000,000 GENERAL OBLIGATION BONDS, SERIES 2007 OF THE ECONOMIC DEVELOPMENT AUTHORITY FOR THE CITY OF ELK RIVER, MINNESOTA. MOTION CARRIED 5-0. 6.1. Appeal of Board of Adjustments Decision for Denial of Request by Ross Hjermstad for Setback Variance for an Accessory Structure Case No V 07-08 Aublic Hearing Mr. Barnhart presented the staff re ort that was submitted b Ms. Cartne . P Y Y Councilmember Gumphrey questioned if front yard setbacks have been granted in the past. Mr. Barnhart stated they have but he would need to check the history on them. Mayor Klinzing opened the public hearing. Ross Hjerrnstad, applicant-Stated he has his own business and needs storage space. He stated he has had to put the house up for sale because the site would no longer fit his needs. He stated there would be no encroachment to the county road. Mayor Klinzing closed the public hearing. Councilmember Farber questioned the amount of footage the applicant would actually be from the road. It was noted that the distance from the new addition to the side of the road would be 70 feet and the actual measurement for setbacks is taken .from the property line, not the right-of- way. Councilmember Zerwas stated Mississippi Road is busy and this addition wouldn't have a negative impact in the area. • City Council Minutes October 15, 2007 Page 4 Mayor Klinzing concurred. She stated the road designation maybe changed by the county in • the future. She noted if the variance is approved, Council would need findings according to the ordinance. Councilmember Moon stated he has no problem with allowing the addition but he has an issue with applying the ordinance because the request doesn't meet the variance requirements. Councilmember Gumphrey concurred with Councilmember Motin. Councilmember Farber stated the hardship would be that the applicant has to sell his house and move elsewhere. He stated there is a large amount of easements on this parcel. Mr. Beck stated the Council would need to state findings for granting the variance. Mayor Klinzing questioned Councilmember Farber if the motion would include the finding that the hardship is that the homeowner would have to move if the variance is denied. Mr. Beck stated the finding for hardship needs to relate to arcumstances being unique to the property. Councilmember Zerwas stated that Sherburne County has high expectations of county right- of-way land for a rural county road and this road is going through an urbanized area of the city. He stated the County's expectation of large amounts ofright-of--way for a ditch system is unreasonable for this area. MOVED BY COUNCILMEMBER FARBER AND SECONDED BY COUNCILMEMBER ZERWAS TO APPROVE VARIANCE REQUEST V 07-08 BASED ON THE FOLLOWING FINDINGS: 1. THE REQUEST DOES NOT ALTER THE CHARACTERISTIC OF THE NEIGHBORHOOD. 2. COUNTY ROAD 30 IS A RURAL ROAD IN AN URBAN ENVIRONMENT. AND BASED ON THE FOLLOWING CONDITIONS: 1. THE DEVELOPMENT SHALL MEET ALL APPLICABLE FIRE CODES. 2. THE ADDITION IS REQUIRED TO MEET ALL APPLICABLE BUILDING CODES AND APPLY FOR APPROPRIATE PERMITS. 3. THE ADDITION SHALL BE LOCATED AS SHOWN ON THE PLANS DATED RECEIVED SEPTEMBER 18, 2007. MOTION CARRIED 3-2. Councilmember Gumphrey and Motin opposed. • City Council Minutes Page 5 October 15, 2007 ----------------------------- 6.2. Request by Emily Chock for a Conditional Use Permit for a Home Occupation , assage Theragy~. Case No. CU 07-29, Public Heating Mr. Barnhart presented his staff report. Mayor Klinzing opened the public hearing. There being no one to speak to this issue, Mayor Klitizing closed the public hearing. MOVED BY COUNCILMEMBER FARBER AND SECONDED BY COUNCiLMEMBER GUMPHREY TO APPROVE CONDITIONAL USE PERMIT, CU 07-29 WITH THE CONDITION THAT IF THE BUSINESS SIGNFICANTLY CHANGES FROM THE APPLICANT'S DESCRIPTION, INCLUDING WITHOUT LIMITATION: ADDITIONAL STAFF, ADDITIONAL SPACE, MORE THAN ONE CLIENT AT A TIME, THE CONDITIONAL USE PERMIT SHALL BE REVIWED AND AMENDED. MOTION CARRIED 5-0. ^ MOVED BY COUNCILMEMBER GUMPHREY AND SECONDED BY COUNCILMEMBER ZERWAS.TO APPROVE A MASSAGE ESTABLISHMENT AND MASSAGE THERAPIST LICENSE TO EMILY CHOCK DBA/THE SPA ON FILLMORE. MOTION CARRIED 5-0. 6.3. Request by Richard Peterson for Preliminarv Plat-and Resolution Approving Final Plat (Rocky Ri a Estatesl, Case No. P 07-10, Public Hearing Mr. Barnhart presented the staff report. . Mayor Klinzing opened the public hearing for the preliminary plat. There being no one to speak to this issue, Mayor Klinzing closed the public hearing. Councilmember Motion questioned if there was discussion for preserving a road easement for Irving Avenue to the outlot area. Mr. Barnhart stated the easement could be acquired when the outlot was subdivided in the future. MOVED BY COUNCILMEMBER GUMPHREY AND SECONDED BY COUNCILMEMBER FARBER TO APPROVETHE PRELIMINARY PLAT AND ADOPT RESOLUTION 07-83 GRANTING FINAL PLAT APPROVAL FOR ROCKY RIDGES ETATES, CASE NO. P 07-10 WITH THE FOLLOWING CONDITIONS: 1. A WETLAND BUFFER OF 25 FEET APPLIES TO ALL WETLANDS AND A STRUCTURE SETBACK OF 20 FEET FROM THE BUFFER APPLIES. 2. PARK DEDICATION SHALL BE PROVIDED IN THE FOLLOWING MANNER: PARK DEDICATION FEE PER RESIDENTIAL LOT (CURRENTLY $3,300), FEE ESTABLISHED AND PAYABLE AT THE TIME THE FINAL PLAT IS RELEASED. 3. ALL REQUIRED SUBDIVISION/PARK INFORMATION SHALL BE PROVIDED IN AN ELECTRONIC FORMAT (.DWG FILE) AS • REQUIRED BY THE CITY ORDINANCE AND LAND USE APPLICATION PRIOR TO RECORDING OF THE PLAT. City Council Minutes October 15, 2007 Page 6 4. THIS APPROVAL OF THE PRELIMINARY PLAT SHALL EXPIRE • AFTER 1 YEAR, UNLESS THE .PROPERTY OWNER OR OWNER'S AGENT HAS SUBMITTED A FINAL PLAT OR LETTER OF REQUEST FOR EXTENSION. 5. SUBJECT TO ALL COMMENTS IN MNDOT LETTER DATED OCTOBER 27, 2007. MOTION CARRIED 5-0. 6.4. Resolution Vacating Drainage and Utility Easement Requested by Tom Bamford Case No EV 07-07, Public HeatiaQ Mr. Barnhart presented the staff report that was submitted by Ms. Cartney. Mayor Klinzing opened the public hearing. There being no one to speak to this issue, Mayor Klinzing closed the public hearing. MOVED BY COUNCILMEMBER MOTIN AND SECONDED BY COUNCILMEMBER FARBER TO ADOPT RESOLUTION 07-84 FOR VACATING A DRAINAGE AND UTILITY EASEMENT, CASE NO. EV 07-07. MOTION CARRIED 5-0. 6.5. Request by Stoneworks Architectural Precast for Conditional Use Permit Amendment, Case No. CU 07-25 Continued from Se tember 17 2007 • Mr. Barnhart presented his staff report. Councilmember Farber stated he has concerns with allowing Sunday hours and he would like to see the Saturday hours reduced to 3:00 p.m. He expressed further concerns with the muratic acid spill that happened in the past and questioned if the environmental effects of the spill should be tested. Todd Plaisted, 15781 Andrie Street, Ramsey-Stated the MPCA was at the site about a year ago and found the soil and water samples at the location to be neutral. Councilmember Gumphrey concurred with Councilmember Farber regarding the outside hours of operation. He suggested annual testing be done to address environmental concerns. Mr. Plaisted stated he has no issues with the annual testing but does have concerns with limiting the hours of operation on the business. He stated they occasionally have emergencies that can happen late on a Friday and the weekend hours allow them to remedy these concerns by Monday. Councilmember Motin stated he doesn't have any issues with the hours. He stated a lot of businesses have weekend hours. He noted that the city would have difficulty limiting hours to a business such as Wal-mart due to heavy traffic or noise issues on a weekend for the nearby residents. Councilmember Gumphrey didn't feel the Wal-mart analogy was appropriate to this situation. City Council Minutes Page 7 October 15, 2007 Councilmember Farber stated the indoor operations can still be seven days a week but outdoor operations should be limited in order to allow neighbors some quiet time on a weekend. Mayor Klinzing noted that once the building was built, the sandblasting would be indoors. Counciltnember Zerwas stated the noon to 5:00 p.m. hours on Sunday are fine with him. Councilmember Motin expressed concerns with legislating, through the conditional use process, the permitted hours which are allowed by city ordinance. He stated the ordinance should be changed if Council wants the hours changed. MOVED BY COUNCILMEMBER MOTIN AND SECONDED BY COUNCILMEMBER ZERWAS TO APPROVE CONDITIONAL USE PERMIT, CASE NO. CU 07-25 WITH THE FOLLOWING OPERATIONAL PARAMETERS: 1. HOURS: GENERAL OPERATION 6:00 A.M. TO 6:00 P.M., 7 DAYS PER WEEK. 2. HOURS: OUTSIDE OPERATION 7:00 A.M. TO 6:00 P.M. MONDAY- FRIDAY, 8:00 A.M. TO 5:00 P.M. SATURDAY, NOON TO 5:00 P.M. SUNDAY. 3. OUTSIDE OPERATION TO INCLUDE CUTTING, SANDBLASTING, POWER WASHING. 4. CONSTRUCTION OF AN 8' HIGH BERM ALONG THE NORTH AND EAST PROPERTY LINE. 5. CONSTRUCTION OF A 30' X 50'.FOUR SIDED FABRIC BUILDING NORTH OF THE EXISTING PRODUCTION BUILDING. THE OVERHEAD ACCESS DOOR WOULD FACE THE SOUTH. AND SUBJECT TO THE FOLLOWING CONDITIONS: 1. PAYMENT OF APPLICATION AND REVIEW FEES 2. ALL OTHER CONDITIONS AS PREVIOUSLY IMPOSED: A. THE EXISTING ACCESS FROM HIGHWAY 169 CAN NOT BE UTILIZED BY THIS FACILITY. THE PROPOSED CONNECTION TO THE EXISTING DRIVEWAY SHALL BE ELIMINATED FROM THE SITE PLAN. B. ALL COMMENTS OF THE CITY ENGINEER SHALL BE ADDRESSED. C. THE EXISTING RESIDENCE BE ALLOWED TO REMAIN PROVIDED THAT THE OCCUPANTS ARE EMPLOYEES OF PLAISTED COMPANIES OR JT LAND COMPANY AND THEIR JOB IS THAT OF CARETAKER OF THE MINING PIT AND OR PRODUCTION FACILITY. D. SCREENING SHALL BE PROVIDED ALONG THE EAST PROPERTY LINE, BETWEEN THE FACILITY AND THE ADJACENT RESIDENCE. E. DOWNCAST BUILDING LIGHTS ONLY, NO OTHER SITE LIGHTING IS ALLOWED. • 3. THE APPLICANT SHALL PROVIDE COPIES OF MPCA TESTING ON AN ANNUAL BASIS. City Council Minutes October 15, 2007 MOTION CARRIED 4-1. Councilmember Farber opposed. • 6.6. Direction on Poli uestions Related to S' son Public Pro e Mr. Barnhart presented the staff report submitted by Ms. Cartney. It was Council consensus to discuss this item at a future worksession. 7.1. Resolution Ordering the Preparation of Plans and Specifications in the Matter of the Downtown Overlay and Intersection Geometric Improvement of 2008 Mr. Maurer presented his staff report. Page 8 Councilmember Motin questioned if the city could get an alternate bid for the intersection that excludes the concrete. Mr. Maurer stated this could be done but it may not shorten the time that the intersection would need to be closed because concrete for the crosswalks would have to "set up" long enough to drive paving vehicles over them. Councxlmember Farber stated he heard mixed comments regarding the project due to the .road closure. Councilmember Zerwas stated he heard more negative comments at the beginning of this project due to misinformation but those concerns seem to have changed since Mr. Maurer has been meeting with the affected parties. He stated this is an opportunity to put a finishing touch on the downtown and it will help to extend the park to the other side of Main Street. He stated the intersection would be more safe and pedestrian friendly. Councilmember Gumphrey concurred with Councilmember Zerwas. Mayor Klinzing questioned the funding. Ms. Johnson stated some projects may have to be switched around. She stated the Capital Improvement Plan (CIP) is a placeholder for future projects and an estimate of those projects. She stated this project would be important to downtown and give it a finished look and staff could find the funding needed if the Council wishes to move forward. Mr. Simon stated when the Council reviews the CIP they may have to reduce or reallocate some funds. Mr. Maurer stated he doesn't want anyone to feel he is pushing this project but that he needed to bring it up because it is a good time due to considering this with the overlay of the streets. He stated it should be the downtown people deciding if the intersection improvements proceed. He stated the Council could move forward with authorizing the preparation of the plans at this time and make any changes it would like later before advertising for bids or awarding the contract. MOVED BY COUNCILMEMBER GUMPHREY AND SECONDED BY COUNCILMEMBER ZERWAS TO ADOPT RESOLUTION 07-85 ORDERING • THE PREPARATION OF PLANS AND SPECIFICATIONS IN THE MATTER City Council Minutes Page 9 October 15, 2007 OF THE DOWNTOWN OVERLAY AND INTERSECTION GEOMETRIC • IMPROVEMENTS OF 2008. MOTION CARRIED 5-0. Councilmember Farber suggested that when the plans and speciFcations are completed that they be shown to the Rivers Edge group. 8.1. City Attorney Review of Township Planning Statute Mr. Beck presented his memo dated October 11, 2007. Councilmember Motin questioned if the Council could foresee annexation along its borders. He questioned if the city should consider pursuing joint planning boards with. some of the neighboring communities. Mayor Klinzing stated there haven't been any requests from surrounding communities for joint planning. She stated Elk River would most likely want to do some joint planning with Burns Township for the east-west route from TH 169 to CR 22. She noted planning for the west side of town is unclear at this time. Councilmember Motin stated a natural dividing line on the west side may be CR 15 but noted that Big Lake Township may have no interest. Mayor Klinzing stated the city should contact neighboring communities to find out their interest in joint planning. Ms. Johnson suggested staff contact Big Lake Township to get their reaction, find out their plans for future planning of their community, and gauge their interest in working on some joint planning with Elk River. Mayor Klinzing added Livonia Township to the list. Other Business A. Stoneworks Discussion Councilmember Farber stated he would like to see staff work on an ordinance change for hours of operation for mining operations.,He would like to see Sundays prohibited. Mayor Klinzing stated the hours need to be more uniform. Mr. Beck stated the hours in the ordinance are intended to be the outer limits and Council has discretion to change the hours for unique situations. He stated the Council should treat the ordinance as the outside envelope but feel free to restrict where facts warrant it. Mr. Beck stated it is okay to use the conditional use process to customize the hours for these situations. Councilmember Gumphrey stated noise is becoming more of an issue with the growth of the city. Mr. Beck stated there could be a standard related to the proximity of noise to residential • areas or a noise study could be required in the conditional use process. He stated this would City Council Minutes Page 10 October 15, 2007 ---------- --------------- still allow uniformity but Council would be able to customize the hours if there was a ' • rational basis. Councilmember Gumphrey stated noise studies are not a good way to monitor noise because they use OSHA parameters, which he felt would still be too loud. Mayor Klinzing suggested looking at distance and Councilmember Gumphrey concurred. 10. Counal Updates A. NCDA Update Councilmember Motin stated NDCA funding has gone to Washington fora 60 day review and comment process. 11. Staff Updates A. Ms. Johnson discussed the November 5 Council meeting and suggested adjourning to a worksession. She stated the budget, sewer rate study, and the sign polity could be added to this agenda as the November 13 worksession agenda is full. B. Ms. Johnson noted that the city has received the resignation of Ms. Steinmetz, who is moving up to a new position in another community. Councilmember Motin questioned the exit interview process and if a Councilmember could sit in on it. Councilmembers Zerwas and Motin volunteered to participate in the interview. Ms. Johnson stated an exit interview would be held and she would notify Counalmembers Motin and Zerwas of the schedule. 12. Adjournment There being no further business, Mayor Klinzing adjourned the meeting of the Elk River City Council at 7:45 p.m. 1 ,f ,- Tina Allard City Clerk •