12-03-2007 CC MIN~~
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MEETING OF THE ELK RIVER CITY COUNCIL
HELD AT THE ELK RIVER CITY HALL
MONDAY, DECEMBER 3, 2007
Members Present: Mayor Klinzing, Councilmembers Zerwas, Farber, Gumphrey, and Motin
Members Absent: .None
Staff Present: City Administrator Lori Johnson, Finance Director Tim Simon, Public
Works Director Terry Maurer, Director of Economic Development Cathy
Mehelich, and Recording Secretarq Jennifer Johnson
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 12/03/2007 A eg nda
Ms. Johnson requested updates on buckthorn and the city hall flag pole be added.
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MOVED BY COUNCILMEMBER FARBER AND SECONDED BY
COUNCILMEMBER ZERWAS TO APPROVE THE AGENDA WITH THE
ADDITIONS. MOTION CARRIED 5-0.
3. Consider Consent Agenda
Ms. Johnson requested removing the 11/13/07 council minutes from item 3.1. of the
agenda so a change could be made..
MOVED BY COUNCILMEMBER GUMPHREY AND SECONDED BY
COUNCILMEMBER FARBER TO APPROVE THE FOLLOWING CONSENT
AGENDA:
3.1. COUNCIL MINUTES
^ 11/05/07
^ 11/19/07
3.2. CHECK REGISTER
3.3. RESOLUTION 07-97 APPROVING MNDOT AGREEMENT #92097
FOR THE TH 10 CORRIDOR GEOMETRIC STUDY
3.4. ORDINANCE 07-19 AMENDING SECTION 74-97, 74-99, AND 74-102 OF
THE ELK RIVER CITY CODE AND RESOLUTION 07-98 APPROVING
CHANGES TO THE DOWNTOWN PARKING LIMITS FOR ON-
STREET PARKING
3.5. AUTHORIZATION TO PROMOTE PARK MAINTENANCE WORKER
TO PARK MAINTENANCE SUPERVISOR, AUTHORIZE TRANSFER
RECREATION COORDINATOR TO FILL VACANT PARK
MAINTENANCE POSITION, AND AUTHORIZATION TO PROMOTE
City Council Muiutes
December 3, 2007
4.
Page 2
RECREATION PROGRAM LEADER TO RECREATION •
COORDINATOR POSITION
3.6. APPROVE LOCAL MATCH TO SAFETEA-LU GRANT FOR
CONSTRUCTION OF 2.6 MILES OF THE GREAT NORTHERN TRAIL
3.7. TOBACCO LICENSE TO PARTNERS, INC.
3.8. MASSAGE THERAPIST LICENSE FOR SONIA TALLAKSON - BELA
SALON
3.9. EXTEND THE PRELIMINARY PLAT APPROVAL OF HILLSIDE
ESTATES 11TH ADDITION TO RIVERSIDE COMMUNITIES
3.10. MASSAGE THERAPIST LICENSE FOR gRISTINA NADIRA
MCWILLIAMS - SIMONSON'S DAY SPA AND SALON
MOTION CARRIED 5-0.
Ms. Johnson explained the change to the 11/13/07 council minutes, requesting in item 5.5.
that the word "qualified" in the last sentence of the paragraph be changed to "applied."
MOVED BY COUNCILMEMBER MOTIN AND SECONDED BY
COUNCILMEMBER FARBER TO APPROVE THE MINUTES FROM 11/13/07
WITH THE CHANGE AS INDICATED ABOVE.
MOTION CARRIED 5-0.
Open Mike
Jonathon Rice, 10567 -184 Avenue -stated he is representing the residences along Trott •
Brook Parkway and surrounding streets, and he presented the council with a petition with 98
signatures. The petition asked the city to pursue the installation ofspeed-abatement devices
along Trott Brook Parkway in order to reduce the speeds of vehicular traffic. He stated the
police have put the speed trailer in the neighborhood to measure speeds, but residents feel
something more needs to be done.
Mayor Klinzing accepted the petition and council requested that Mr. Maurer look into this
matter and bring back suggestions for lowering the speed in the Trott Brook Parkway area.
5.1. Truth in Taxation Public Hearing
Mayor Klinzing explained that the purpose of the Truth in Taxation hearing is to discuss the
general city budget and general tax information and that it is not a time to discuss individual
property values and taxes. She stated that if individuals have questions or concerns regarding
their property values, they should attend the Board of Review meeting in the spring or
contact the Sherburne County Assessor's Office.
Ms. Johnson briefly outlined the process of the Truth in Taxation Hearing. She indicated
that two handouts were available to the public that evening titled "Fourteen Reasons Why
Your Property Taxes Go Up and Down" and "A Guide to Minnesota's Property Tax
System."
City Administrator Lori Johnson stated that the Council approved the maximum tax levy of
$10,761,311 in September. Ms. Johnson reviewed the tax levy by use and compared the levy
with previous years. She also reviewed property tag changes and explained that a number of
factors play a role in detPrm++~±~g the property tax amount.
City Council Minutes
December 3, 2007
Page 3
Ms. Johnson reviewed general fund revenues and expenditures. Ms. Johnson stated that the
2008 budget includes the following new positions: code enforcement officer for the building
department; I.T. support specialist; patrol officer; and Energy City coordinator.
Mr. Simon reviewed the special revenue funds and enterprise funds. He stated that the
enterprise funds are self-supportive and not supported by tax dollars. He explained the
addition of one new position in 2008 for a liquor clerk. He concluded that the council will
adopt the 2008 tax levy and budget at the next regular city council meeting on December 17,
2007.
Mayor Klinzing opened the public hearing. There being no one to speak to this issue, Mayor
Klinzing closed the public hearing. Mayor Klinzing announced the levy and budget final
approval and certification will take place on Monday, December 17, 2007 at 6:30 p.m.
Ms. Johnson discussed the Elk River Area Arts Alliance's request from the council for funds
at the last meeting. She stated the City of Otsego recently made a contribution for $2,500.00
after being asked fox $5,000.00. The city has $10,000 in the 2008 budget; the Arts Alliance
has asked for $15,000.00. She asked if the council was ready to decide how much to
contribute for 2008.
Councilmember Gumphrey requested this item be discussed at the next council
Worksession. The rest of the council concurred
• Ms. Johnson also stated she'll soon have figures available for the council on the recently
approved employee benefits contribution.
Councilmember Motin asked Ms. Johnson if they would be making any budget amendments
to the 2008 community development budget due to the vacated community development
position.
Ms. Johnson stated they will return on December 17~ with a list of several changes,
including this position, which could be adjusted and could offset the benefit increase.
Mayor Klinzing re-opened open mike.
Mark Claessens, 20925 Olson Street -requested the council question the county and their
assessing techniques, wondering why as property values decrease, taxes are still going up. He
stated he is a real estate agent and has property owners, some who came with him that
evening, who have their taxes increased because their assessed value increases, but when
they sell their property, they are losing money, due in large part to the slow real estate
market.
Ms. Johnson explained that many property tax values in Elk River had not increased in 2007
and some townhomes had decreased in value. She noted the properties that increased in
value had land and not building increases.
Mayor Klinzing closed open mike.
6.1. Consider HRA and Library Appointments
City Council Minutes
December 3, 2007
Page 4
Mayor Klinzing outlined the staff report and stated she was ready to make appointments but •
wanted to ask the council if they wanted more applications. She recommended that Jean
Lieser be reappointed to the housing and redevelopment authority for afoot-year term, and
that Karen Stelk be reappointed to the library board for atwo-year term. She also wanted to
recommend Jayne Dietz to be appointed on the library board due to a vacanry with Donna
Martin not seeking reappointment. Mayor Klinzing also asked the council if theq agreed that
she still continue to approve these appointments or if they should review and make changes
to the process.
Councilmember Zerwas agreed with the Mayor's appointments and agreed the mayor should
continue to make these appointments.
Counalmember Motin agreed with the Mayor's appointments as well, but questioned why it
wasn't advertised in the newspaper.
Ms. Johnson explained they were mayoral appointments and as long as they received
applications for the mayor to consider, the council could go ahead with approving the
Mayor's appointments this evening without violating the polity. If the council wants the
positions advertised, staff will advertise.
Councilmember Motin asked to have the policy distinguish between whether or not it's a
requirement to advertise.
Mayor Klinzing requested staff to review this policy and bring it back at another meeting.
Ms. Johnson stated the policy would be changed to differentiate between mayoral •
appointments and council appointments.
MOVED BY COUNCILMEMBER GUMPHREY AND SECONDED BY
COUNCILMEMBER ZERWAS TO APPROVE THE FOLLOWING MAYORAL
APPOINTMENTS:
JEAN LIESER REAPPOINTED TO THE HOUSING AND REDEVELOPMENT
AUTHORITY FOR AFOUR-YEAR TERM TO EXPIRE ON DECEMBER 31,
2012; KAREN STELg REAPPOINTED TO THE LIBRARY BOARD FOR A
TWO-YEAR TERM TO EXPIRE DECEMBER 31, 2010; AND JAYNE DIETZ
APPOINTED TO THE LIBRARY BOARD FOR ATHREE-YEAR TERM
EXPIRING DECEMBER 31, 2010.
MOTION CARRIED 5-0.
6.2. Authorize Hiring Process for Assistant Director of Economic Development Position
Ms. Mehelich presented the staff report. She explained she is not proposing any changes in
the position and would like to have this position, which is included in the 2008 budget, filled
in the next three months.
Councilmember Motin asked why the position required more experience than originally
discussed, stating he was under the assumption that this will be more of an entry level
position and due to the lull in the market, this would allow the person time to gain
experience in the position and be ready when the market picks up.
City Council Minutes
December 3, 2007
Page 5
Ms. Johnson agreed the idea of having someone out of college with no experience, similar to
Ms. Steinmetz's background, was discussed, but following review of what was currently
needed, both Ms. Johnson and Ms. Mehelich felt the time period for Ms. Steinmetz to
become acclimated to the position took too long. Ms. Mehelich stated things such as grant
writing and TIF districts aren't taught in college and are only learned by experience. She
stated it would be valuable to the city to find someone with job experience in order to keep
the city's economic development growth momentum going. Ms. Mehelich also would like to
find someone with a background in redevelopment and rehabilitation experience.
MOVED BY COUNCILMEMBER MOTIN AND SECONDED BY
COUNCILMEMBER FARBER TO AUTHORIZE THE HIRING PROCESS FOR
ASSISTANT DIRECTOR OF ECONOMIC DEVELOPMENT POSITION.
Councilmember Farber stated he didn't have a problem with Ms. Mehelich's proposal, but
requested in the future that staff allow council more time to consider changes made to
requests that were different then what was originally discussed.
Councilmember Gumphrey stated he wouldn't support the motion and would like to wait to
fill this position until after the community development director position was filled, which
would allow that person to provide insight on the future of the economic development
department.
Councilmember Zerwas asked what the timeframe was going to be to replace Mr. Clark.
Ms. Johnson stated it could be 6-8 months before. the assistant would be hired if we wait to
fill the assistant position. She addressed Councilmember Farber's concerns, stating that
hiring an entry level person for this position was discussed in the exit interview with Ms.
Steinmetz, but after further discussions with Ms. Mehelich, it seemed more appropriate to
hire someone with experience. She stated if filling this position wwill be delayed until later
this year, it may push some initiatives back as Ms. Mehelich is working solo at this time.
Councilmember Moon requested to review this position at a Worksession in January, and he
withdrew his motion.
MOVED BY COUNCILMEMBER GUMPHREY AND SECONDED BY
COUNCILMEMBER FARBER TO DELAY ACTION IN THE HIRING
PROCESS FOR ASSISTANT DIRECTOR OF ECONOMIC DEVELOPMENT
POSITION UNTIL AFTER A WORBSESSION DISCUSSION IN JANUARY,
2008.
MOTION CARRIED 5-0.
6.3. Pavement Management Program - 2008 Street C-verla~
Mr. Maurer presented the staff report.
Councilmember Farber requested at a fixture workshop to review all gravel roads still
currently unpaved in the city and try to get them paved.
Mr. Maurer stated when they reviewed the current road conditions, they took into
consideration not only the areas needing overlay but also whether there were any gravel
roads nearby. He stated a many of the gravel roads will be paved with this overlay project.
City Council Minutes
December 3, 2007
Page 6
Mayor Klinzing asked staff to provide information to the council about the cost and upkeep •
to maintain the gravel roads, wondering if it would be more cost effective to pave them.
Mr. Maurer stated he would put some figures together but that this would be a best guess
estimate and not entirely reliable.
Counciltnember Motin asked if the costs incurred are 100% assessed to the property
owners.
Mr. Maurer stated the costs would be 100% assessed but with the larger project like this, he
consulted with the finance director as they would have to fund the project up front. He
stated he doesn't want to turn this into ashort-term financing issue.
MOVED BY COUNCILMEMBER FARBER AND SECONDED BY
COUNCILMEMBER GUMPHREY TO ADOPT RESOLUTION 07-99
ORDERING A PRELIMINARY FEASIBILITY REPORT FOR THE 2008
STREET OVERLAY. MOTION CARRIED 5-0.
6.4. Feasibility Report Regarding Ouiet Zone Stuff Along Burlington Northern Santa Fe
~BNFS) Rail Line
Mr. Maurer presented the staff report and explained the study with a PowerPoint
presentation. He explained the information gained after meeting with BNSF, Federal
Railroad Administration (FRA), and MnDOT. He outlined the major areas of concern
involved in creating quiet zones in the city. He stated the city would bear the entire cost of
improving or replacing a crossing in order to prepare it for a quiet zone, which would cost
approximately $100,000 per crossing, and with no county funding available even though
some of the crossings belong to the county. He explained there would be changes to traffic
patterns, and there is no guarantee the crossings will be totally horn-free. He explained the
city would have to follow the federal rules and guidelines put forth by the FRA. He stated
these are realistic but costly hurdles.
Mayor Klinzing stated the city should either do all or none of the crossings.
Councilmember Farber stated this would cost too much money.
Councilxnember Zerwas agreed and stated there are other transportation priorities and
funding quiet zones are not feasible.
Mayor Klinzing commented the public has raised the question of whether or not the city has
the authority to change how the horns are blown.
Mr. Maurer stated the city has to follow the federal rule and doesn't have the authority to
change how the engineers sound the horn.
Mayor Klinzing asked if the city has contacted BNSF to ask them to consider changing how
they blow the horns.
Mr. Maurer and Ms. Johnson both stated no, the city hadn't contacted BNSF.
City Council Minutes
December 3, 2007
Page 7
• Mayor Klinzing directed staff to prepare a letter to BNSF requesting them to m;n;m;7e the
length of time the engineers blow the train horns.
Ms. Johnson stated they will draft a letter.
Councilmember Farber commented that the city cannot tell them to change their rules, and
that we can only ask them to consider making changes.
Counciltnember Zerwas asked the finance director to change the proposed 2008-2012
Capital Improvement Plan and remove the $500,000 in both 2009 and 2010 for quiet zone
crossings.
Councilmember Farber agreed with Councilmember Zerwas.
Mayor Klinzing asked that the money be taken out of the CIP.
6.5. Resolution Ordering Plans and Specifications for the Replacement of lighting along TH 10
in Downtown
Mr. Maurer presented the staff report.
Councilmember Motin asked if decorative lighting is being considered and asked that the
council be shown the style of lighting before it is installed.
Mr. Maurer stated he will contact MnDOT to see what styles of lights are approved and
• bring those recommendations back to council.
Councilmember Farber suggested looking at using energy efficient lights and what those
might cost.
MOVED BY COUNCILMEMBER GUMPHREY AND SECONDED BY
COUNCILMEMBER ZERWAS TO APPROVE RESOLUTION 07-100
ORDERING PLANS AND SPECIFICATIONS FOR THE REPLACEMENT OF
LIGHTING ALONG TH 10 IN DOWNTOWN AND STAFF TO RETURN TO
COUNCIL WITH LIGHTING STYLES BEFORE BEING REPLACED.
MOTION CARRIED 5-0.
6.5. Discuss Council Worksession Agendas
Ms. Johnson presented the staff report and removed the continuation of the Truth-in-
Taxation Public Hearing from the December 10 Worksession. She finalized the topics of the
joint county board meeting, to be held at 7:00 p.m., with topics including transportation, the
government center property, landfill, legary grant, Northstar Corridor, fairgrounds, and
RRT negotiations. She also added valuation practices.
7. Other Business
Councilmember Gumphrey asked staff to contact Aldi and ask them to address the lighting
system in the back of building as it is reflecting off the back of the building.
8. Council Updates
City Council Minutes
December 3, 2007
None.
9. Staff Updates
Page 8
Mayor Klinzing asked Ms. Johnson to give an update on the Bluffs of Elk River and Jackson
project.
Ms. Johnson explained representatives from Jackson project are proactively replacing
around 200 water pipe connections, which had a manufacture's defect. She stated all the
housing units are rented out and they are working on the commercial space. She explained
the Bluffs of Elk River building is in foreclosure, which affects both the retail and
condominium units. She stated the city does not have any financial exposure and is not
involved in any of the private business transactions, and is fully protected by the
development agreement in place. She stated the city will continue to work with them to
make sure that not only life safety concerns are met by monitoring the building but that they
are able to complete a successful building project.
Ms. Johnson informed the council that Phil Hals is the weed inspector, and that city staff
Bill Maertz, Phil Hals, and Nicki Blake-Bradley are all involved in buckthorn removal
monitoring throughout the city.
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Ms. Johnson notified the council of the decision to remove the flag pole directly in front of
city hall. She stated it needs extensive repair so staff decided to remove it entirely. She noted
the three flag poles in the center of the parking lot in front of the public safety building that
serve as a focal point for the campus. •
9.1. Field Use and Reservation Policy
This polity was in the council packets for information only. No discussion was held on this
item.
10. Adjournment
There being no further business, Mayor Klinzing adjourned the meeting of the Elk River
City Council at 7:48 p.m.
Minutes prepared b ohnson.
Tina Allard
City Clerk
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