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12-10-2007 CC MIN - JOINTMEETING OF THE ELK RIVER CITY COUNCIL • HELD AT THE CITY OF ELK RIVER (UPPER TOWN CONFERENCE ROOM) MONDAY, DECEMBER 10, 2007 Members Present: Mayor Klinzing, Councilmembers Farber, Gumphrey, Motin, and Zerwas Members Absent: None Staff Present: City Administrator Lori Johnson, Public Works Director Terry Maurer, Finance Director Tim Simon, Parks and Recreation Director Bill Maertz, Ice Arena Manager Rich Czech, and Recording Secretary Jessica Miller County Board Present: Chair Riebel, Vice Chair Engstrom, Commissioners Leonard, Petersen, and Schmiesing County Staff Present: County Administrator Brian Bensen, Deputy County Administrator Luci Botzek, Public Works Director John Menter, County Attorney Kathleen Heaney, County Engineer Rhonda Lewis, and County Assessor Jerry Kritzeck 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 MOVED BY COUNCILMEMBER MOTIN AND SECONDED BY COUNCILMEMBER FARBER TO APPROVE THE AGENDA. MOTION CARRIED 5-0. 3. Consider Consent Agenda MOVED BY COUNCILMEMBER FARBER AND SECONDED BY COUNCILMEMBER ZERWAS TO APPROVE THE FOLLOWING CONSENT AGENDA: 3.1. DECEMBER 3, 2007 MINUTES 3.2. UNIFORM POLICY PROGRAM FOR PUBLIC WORKS AND PARKS DEPARTMENT 3.3. ANNUAL LICENSE RENEWALS • KENNEL • MASSAGE ESTABLISHMENT • MASSAGE THERAPIST MECHANICAL AMUSEMENT • TOBACCO 3.4. RESOLUTION 07-101 APPROVING APPLICATION TO CONDUCT ANNUAL OFF-SITE GAMBLING FOR ELK RIVER YOUTH HOCKEY 3.5. RESOLUTION 07-102 ACKNOWLEDGING CONTRIBUTION TO THE • CITY OF ELK RIVER POLICE DEPARTMENT [LYNN CASWELL] City Council Minutes December 10, 2007 Page 2 3.6. RESOLUTION 07-103 APPROVING NOTICE OF SUMMARY PUBLICATION OF ORDINANCE 07-16 AMENDING SECTION 30-1293, • I-2 DISTRICT; SECTION 30-1311, PRINCIPAL STRUCTURES; SECTION 30-1312, ACCESSORY STRUCTURE SETBACKS OF THE CITY CODE OF ORDINANCES 3.7. RESOLUTION 07-104 ADOPTING 2008 COMPENSATION PLAN FOR NON-ORGANIZED EMPLOYEES MOTION CARRIED 5-0. 4. Open Mike No one appeared for open mike. 5. Worksession 5.1 Propose Policy Extending Approved But Not Acted Upon Preliminary Plats and Conditional Use Permits Mr. Barnhart presented the staff report. Mayor Klinzing questioned if the applicants would be notified up front that the intent of the extension is for the applicant to be able to complete the work that was promised during the preliminary plat, approval. Ms. Johnson stated that the intent is that the city would be the only party allowed to initiate changes from the original plat. Mr. Barnhart explained that that any changes either those proposed by the applicant or encouraged by the City would include a formal-review by the City Council. For example, if the applicant requested an extension and the City's requirements changed, the city would have the right to notify the applicant that their project no longer meets the City's requirements and the project would need to be modified, and the City could elect to grant the extension or not, based on the applicant's willingness to work. Councilmember Motin questioned why the city only allows one year for preliminary plats. Mr. Barnhart indicated that one year seems to be reasonable but that could be increased if the Council desires. Councilmember Motin suggested a minimum two years before a preliminary plat expires. He felt comfortable with the timeframe suggested by staff for the conditional use permits and the variances. Mr. Barnhart indicated that staff will draft an ordinance amendment allowing two years for preliminary plat expiration with the other deadlines remaining the same. The Council concurred. 5.2. Ice Arena Financing Ms. Johnson presented the staff report. Councilmember Farber indicated that the cost estimates seem to increase every time the arena expansion is discussed. He questioned if the locker rooms are included in this estimate. Mr. Maertz explained that the locker rooms have been included at the request of the school district. He noted that the locker room addition would not move forward without a financial • commitment from the school district. City Council Minutes December 10, 2007 Page 3 . Councilmember Farber questioned if the estimate seems high. Councilmember Gumphrey indicated that the cost for construction around $200 per square foot is reasonable. Mr. Maertz stated that the arena expansion could be designed around a budget if the Council desires. Councilmember Gumphrey stated that he believes it is time for the city to step up and help the arena program. He noted that construction costs are not going down and he believes once the arena expansion is complete, the arena would experience a substantial increase in revenues. Mayor Klinzing indicated that she believes the arena expansion is a great project but she does not see moving forward at this time due to financing issues. She noted that she is not interested in seeing this project being funded through a tax levy. Councilmembers Zerwas and Moon also expressed concerns over this project being financed through a tax levy. Councilmember Farber stated that he would be interested in seeing more concrete estimates. Ms. Johnson indicated that staff will obtain quotes for architectural services needed in order to get a more concrete price estimate and present the quotes to the Council for further discussion at a future meeting. 5.3. Consider Donation Amount for Elk River Area Arts Alliance Ms. Johnson presented the staff report. Councilmember Gumphrey stated that he would like to increase the donation amount to the Arts Alliance by an additional $2,500. Councilmember Motin indicated that he does not see increasing the amount that was budgeted. Ms. Johnson noted that the HRA is providing the Arts Alliance with free rent in their downtown building. MOVED BY COUNCILMEMBER GUMPHREY AND SECONDED BY COUNCILMEMBER FARBER TO INCREASE THE DONATION TO THE ELK RIVER AREA ARTS ALLIANCE BY $2,500 TO BE FUNDED FROM COUNCIL CONTINGENCY FUNDS. MOTION FAILED 3-2. Mayor Klinzing and Councilmembers Motin and Zerwas opposed. 5.4. Council Open Forum There were no items for discussion under open forum. 6. Joint Meeting with County Board of Commissioners 6.1. Ut~date on Government Center Property County Administrator Brian Bensen indicated that the County recently hired BWBR to work on a master plan. He stated that the goal is for the master plan to be completed in the spring and they hope to have a good idea of the next phase of building by the end of 2008. Mr. Bensen noted that the County hopes to-have an idea of whether or not the Veteran's Clinic is a possibility within the next six months. Councilmember Moon questioned if any remaining property would be transferred or sold. • Mr. Bensen stated that they will have a better idea after the master plan is complete. City Council Minutes December 10, 2007 Page 4 Councilmember Gumphrey questioned how much is anticipated as jail expansion. Mr. Bensen indicated that there will be no jail expansion. He explained that the goal is to rent the beds for federal prisoners to pay for the bonds but as more County prisoners come on board less space will be available for federal rental.. , Commissioner Leonard indicated that the Council should write to the legislators in support of the Veteran's Clinic. Mayor Klinzing concurred. 6.2. County Transportation Plan County Public `~/orks Director John Menter indicated that he will be presenting the County Transportation Plan to the County Board Tuesday for possible adoption. Mr. Menter stated that discussions have taken place with Anoka County regarding connecting County Road 33 to Anoka County Road 22. He stated that at a recent meeting the option of connecting Sherburne County Road 33 to existing County Road 34 and then connecting to Anoka County Road 22 was discussed. He stated Anoka County is very interested in pursuing this option. He stated that the next step would.be to begin discussions with MnDOT. Mr. Menter indicated that the County will soon begin inventorying traffic signals. He stated that once that is completed, the County and City will begin discussions on an agreement outlining which entity is responsible for which duties relating to the signals. Mayor Klinzing questioned if other communities in Sherburne County are pursuing quiet zones. County Engineer Rhonda Lewis indicated that St. Cloud is implementing quiet zones and Big Lake is conducting a feasibility study. Mayor K.linzing questioned if it is still Sherburne County's policy to not participate in funding quiet zones. Ms. Lewis indicated that the County does not participate in funding. 6.3. Northstar Corridor Deputy County Administrator Luci Botzek indicated that the full funding grant agreement signing for the Northstar project will take place on December 11, 2007, at 8 a.m. at the Anoka County Government Center. Ms. Botzek stated that the federal funds will be released in a couple weeks. She stated that the state bonding funds will also be released. She stated that release of the state bonding funds will allow the County to be reimbursed for money that has already been expended for the Big Lake station. She stated that the goal is for the Northstar line to be up and running by December 2009. Discussion took place regarding the future of the Northstar Commuter Coach bussing services. 6.4. Assessor's Update on Property Values County Assessor Jerry Kritzeck explained the County's assessing practices. Mr. Kritzeck indicated that the County's present level of assessment is 96% (assessed value versus median sale). He stated that is a good rate and that he does not anticipate raising values. He acknowledged that there may be some upcoming changes in low acreage properties because the appraisers feel they are currently undervalued. • City Council Minutes December 10, 2007 Page 5 Mayor Klinzing indicated that she has been asked by citizens that are trying to sell their . properties why the assessed values on their property increases and the sale price of their home does not. She stated that she explains to them that the assessors do not deal with short term reductions in the market and questioned if that is a correct statement. Mr. Kritzeck stated that is accurate. He explained that the assessed values are based on 12 month sales which run from October 1 through September 30. He noted that the recommendation is that foreclosures axe not counted in the figures unless they total more than one-third of the sales. He further explained that when citizens contact his office concerned about difference in the value of their home versus their neighbors, his office does research and usually there are significant differences in the size, style, etc. of the home which accounts for the value difference. Councilmember Motin indicated that he has a difficult time believing that foreclosures do not account for more of the sales in Elk River. Mr. Kritzeck discussed the Limited Market Value and the fact that it is scheduled to sunset at the end of 2008. He noted that last time the Limited Market Value was extended by the legislature last time it was scheduled to end. Mayor Klinzing requested that the County Assessor's office provide the city with information on attendance, issues discussed, etc. on the Board of Equalization meetings. 6.5. Landfill Update Ms. Johnson presented the staff report. She stated that the City has not received an application for expansion but City and County staff agree that if an application is received, the City will proceed with its approvals first because the City must act on a comprehensive plan change before the County can accept a license application. 6.6. RRT Negotiations Mr. Bensen indicated that the County has an agreement with RRT that expires in 2009. Mr. Bensen updated the Council on the County's negotiations with RRT and of the negotiations between RRT and GRE. Mr. Bensen noted that Elk River is the largest entity that contracts with the County for these services and that the City may be asked to extend this contract is an agreement cannot be reached. 6.7. Fairground Relocation Mr. Bensen stated that the County Board has established a planning group that will work on establishing the fair program in Becker in 2010. He stated that the idea is for the fairgrounds to be used for various events throughout the year. He noted the long history the fair has in Elk River but that he believes this is an excellent opportunity for the County. Mayor Klinzing indicated that she would like to see the fair stay at its current location. She noted that she has never been interested in seeing the fair relocated. Councilmember Farber explained that what concerns him about the move is that the County Board at no time during previous joint meetings with the City Council discussed the plans to relocate the fair. He also expressed concerns that the City was not notified or asked fox . input. He indicated that the facility in Becker will be nice but that Elk River is where the population base is and that is what draws people to the fair. City Council Minutes December 10, 2007 Page 6 Councilmember Zerwas concurred with Councilmember Farber. Councilmember Zerwas • noted concerns with land size have been cited as the reason for the move. He explained that Anoka County has a very successful fair and they have less land than the current Sherburne County fairground property. He believes Anoka is so successful because the fairgrounds are located where the population base is. Commissioner Engstrom explained that he has not supported the fairground relocation for many of the same reasons the Council noted but he hopes the fair will do well in Becker. Councilmember Farber questioned if the County received public input on the relocation. Councilmember Zerwas stated that he believes that a survey should be conducted at the next fair asking fairgoers where they are coming from and how far they would be willing to travel. He stated that the decision to relocate should be reevaluated after this public input is received. Commissioner Leonard agreed that a short survey of fairgoers would be a good idea. Chair Riebel indicated that he could bring this suggestion up at the next fair board meeting. Commissioner Schmiesing noted that no decision has been made on the current fairgrounds property. He noted that he does not disagree with the Council's comments but supported the move because it was the wish of the Agricultural Society. Mayor Klinzing indicated that she recently attended a meeting of the Agricultural Society and it is her understanding they are upset with the relocation plans. She suggested that the County Board discuss the issue with the Agricultural Society. 6.8. Legacy Grant Ms. Johnson indicated the City is very thankful for the receipt of the Legacy Grant. She stated that grant helps the city's taxpayers by paying down the bonds. Ms. Johnson stated that the City is hoping to utilize the entire $2 million grant for the YMCA project through an amendment to the existing grant agreement. The County Board concurred with the ability to amend the agreement if eligible costs exceed $1,403,000. Commissioner Leonard indicated she is pleased with the grant being used for this purpose. Other Business There was no other business. 8. Council Ugdates There were no Council updates. Staff Updates There were no staff updates. 10. Adjournment There being no further business, Mayor Klinzing adjourned the meeting of the Elk River • City Council at 8:31 p.m. Ciry Council Minutes December 10, 2007 Minutes pre ed by Jessica Miller. • , ; i ~''„~''"m+~ f Tina Allard City Clerk l~I u Page 7 •