08-26-2002 CC MINMEETING OF THE ELK RIVER CITY COUNCIL
HELD AT THE ELK RIVER CITY HALL
MONDAY, AUGUST 26, 2002
Members Present:
Members Absent:
Staff Present:
Mayor Iadinzing, Councilmembers Dietz, Kuester, Mot_in, and Tveite
None
City Administrator Pat I~aers, Finance Director Lori Johnson, Director of
Economic Development Catherine Mehelich, Recreation Manager Michele
Bergh, Chief of Police Tom Zerwas, Fire Chief Bruce West, City
Prosecuting Attorney Chris Johnson, and City Clerk Sandra Peine
Call Meeting To Order
Pursuant to due call and notice thereof, the meeting of the Elk River City Council was called
to order at 6:20 p.m. by Mayor Iadinzing.
Consider 8/26/2002 Agenda
COUNCILMEMBER MOTIN MOVED TO APPROVE THE AGENDA.
COUNCILMEMBER TVEITE SECONDED THE MOTION. THE MOTION
CARRIED 5-0.
Consider Consent Agenda
The following amendments were made to the 8/19/02 City Council minutes:
Page 10
Page 12
Page 12
- Name change to Jeanette Ertel
- Add the following sentence to the end of the first paragraph. "Council directed
staff to draft a resolution to MnDOT relating to the corridor study and to bring the
resolution back to the Council for review and adoption."
- Second paragraph - add the following sentence. "Councilmember Mot. in further
stated that completing the plan proposed by MnDOT would make it much easier
for the residents of Elk River to get around the City and would spur business in the
central business district."
COUNCILMEMBER MOTIN MOVED TO APPROVE THE CONSENT
AGENDA AS FOLLOWS WITH THE AMENDMENTS TO THE 8/19/02
MINUTES:
3.1.
3.2.
3.3.
3.4.
7/29/2002 CITY COUNCIL MINUTES - APPROVED AS AMENDED
8/19/02 CITY COUNCIL MINUTES
CHECK REGISTER
PARTIAL PAY ESTIMATE #1 TO S.R. WEIDEMA FOR ZANE AVENUE
IMPROVEMENTS IN THE AMOUNT OF $135,265.51
TEMPORARY ON-SALE 3.2 PERCENT BEER LICENSE FOR ELK
RIVER LIONS FOR FALL DEMOLITION DERBY AT SHERBURNE
COUNTY FAIRGROUNDS
City Council Minutes
August 26, 2002
3.5.
3.6.
Page 2
TEMPORARY ON-SALE LIQUOR LICENSE FOR ELK RIVER LIONS
FIRE DEPARTMENT OPEN HOUSE AND DANCE ON SEPTEMBER
14
MASSAGE THERAPIST LICENSE FOR DEBBIE DONALD AT
AVALON SALON - 706 MAIN STREET
AUTHORIZATION TO ADVERTISE FOR ON-CALL FIREFIGHTERS
COUNCILMEMBER TVEITE SECONDED THE MOTION. THE MOTION
CARRIED 5-0.
4. Open Mike
No one appeared for open mike.
5.1. Consider Ratification of HtLA's Developer Selection for Downtown Revitalization Project
Director of Economic Development Catherine Mehelich distributed an e-mail that was
addressed to the Mayor and Council from Clifford Lundberg requesting the Council to vote
for the MetroPlains developer.
Catherine Mehelich indicated that the HRA previously met regarding this issue. She noted
that at the HRA meeting there was a lot of discussion regarding the selection of a developer.
She indicated that the HKA voted 3-2 to select MetroPlains to enter into a preliminary
developers agreement.
Councilmember Motin stated that he feels MetroPlains is qualified to do the job but he is
not satisfied with the development that they are proposing. He indicated that the proposal
maintains the status quo of the downtown. He stated his concern of whether maintaining
the downtown and tweaking the edges will spur on a business climate. He indicated that he
favors the Best and Hempel project.
Mayor I~dinzing thanked the people who presented proposals. She noted that her preference
is Best and Hempel. Mayor K2inzing indicated that she feels Best and Hemple's approach to
the riverxvalk was the best. She urged the HtLA to look at the riverwalk as a start for the
project. Mayor Klinzing indicated that it is important that the Council to support and ratify
the HRA's decision.
Councilmember Kuester indicated that she leans toward MetroPlains. She noted that type of
experience MetroPlains has to offer is what the City is looking for. Councilmember Kuester
indicated that the citizens don't want a revolutionary change.
Councilmember Tveite stated that he concurs with Councilmember Kuester. He stated that
the downtown does not need a huge change. Councilmember Tveite indicated that he
appreciates MetroPlains sensitivity to the ehsting culture and buildings and the proposal
highlighting the gateways into the City. He indicated that he would ratify the HRA's
decision.
Councilmember Dietz stated that he likes MetroPlans. Councilmember Dietz indicated that
Metro Plains is the more experienced developer and stated that when dealing with tax payers
dollars, experience is important.
Cit3~ Council Minutes Page 3
August 26, 2002
COUNCILMEMBER TVEITE MOVED TO RATIFY THE DECISION OF HRA
TO SELECT METROPLAINS AS THE DEVEOPER FOR THE DOWNTOWN
REVITALIZATION PROJECT. COUNCILMEMBER DIETZ SECONDED THE
MOTION. THE MOTION CARRIED 5-0.
5.2. Consider Bengston Sewer Backup Payment Request
Finance Director Lori Johnson indicated that Insurance Adjuster Randy Loebrick has again
denied the sewer backup claim made by Ross and Kay Bengston. She noted that the facts of
the claim have not changed. Lori Johnson indicated that it would be a policy decision of the
Council if they decide to pay claims that have been denied.
Ross Bentston - 374 Baldwin Avenue - Mr. Bengston requested the city to pay one-half of
the payment and to put other half on the taxes for repayment in five years.
Mayor Kl/nzing indicated that if the Bengston's had got through the emergency number,
clean up would have been much faster and the insurance company would have reacted
differently. She indicated that payment by the City of one-half of the cost is fair.
Councilmember Kuester stated that she does not feel this was the City's fault or the
homeowners fault. She indicated that she is willing to consider putting the entire amount on
the taxes with payment over five years.
Councilmember Motin indicated that this was not the City's fault, however he would be
willing to pay $500, which would have been the deductible, and then to put the rest on the
taxes with interest.
Councilmember Dietz indicated that he sympathizes with the Bengstons but is concerned
with setting a precedent if the City paid the bill. He indicated that he concurred with
Councilmember Motin.
Finance Director Lori Johnson indicated that she would have to see if it is legal to assess this
type of issue/expenditure.
MAYOR KLINZING MOVED THAT THE CITY PAY $500 TOWARD THE
BENGSTON'S BILL BECAUSE IT IS THE AMOUNT THAT WOULD HAVE
BEEN DEDUCTIBLE IN A CLAIM AND TO FINANCE THE REMAINING
AMOUNT OF ABOUT $4,300 AS AN ASSESSMENT OVER 5 YEARS AT 5.5%
PROVIDED THAT STAFF DETERMINES THIS TYPE OF ASSESSMENT IS
LEGAL. COUNCILMEMBER MOTIN SECONDED THE MOTION. THE
MOTION CARRIED 5-0.
5.3.
Consider Resolution Accepting Trunk Watermain Bid and Authorizing Adding to the
Contract in the Matter of 175th Avenue Improvements
City Administrator Pat Klaers indicated that the Elk River Municipal Utilities have agreed to
fund the watermain along 175th Avenue from Tyler Street to the Park Pointe Addition.
Councilmember Dietz indicated the Municipal Utilities General Manager recommended that
that the Utilities pay about $95,000 with about $75,000 being assessed at some time in the
future which would result in a net cost of $15,000 to the Util/ties.
City Council 3finutes Page 4
August 26, 2002
The City Administrator noted that the figure used by the General Manager did not include
overhead expenses.
COUNCILMEMBER DIETZ MOVED TO ADOPT RESOLUTION 02-82
ACCEPTING SCHEDULE 2.0 ALTERNATE FOR ~rRUNK WATERMAIN BID
AND AUTHORIZING ADDING TO THE CONTRACT IN THE MATTER OF
THE 175TM AVENUE IMPROVEMENTS OF 2002. COUNCILMEMBER MOTIN
SECONDED THE MOTION. THE MOTION CARRIED 5-0.
5.4. Facility Use Policy Discussion
The City Administrator indicated that the School board has adopted a revised Facility Use
policy. He explained that the main change in the policy is that anyone charging the school
rent will in turn be charged rent by the school for the use of their facilities.
Discussion was held regarding the impact this policy change will have on the City especially
in relation to the Lions Park Center, which currently charges rent to the school for use of
the facility. It was also noted that the School's policy change would cause increased fees for
city recreational programs held at the schools due to the new rent expense.
The City Administrator recommended that the Lions Park Center policy be changed to not
charge the school rent and further that the school not be charged for the use of city parks or
shelter rent and deposits.
Councilmember Dietz indicated that the School should know that they have to go through
the reservation procedure to reserve the parks and shelters.
COUNCILMEMBER MOTIN MOVED THE CHANGE THE LIONS PARK
CENTER POLICY TO NOT CHARGE THE SCHOOL RENT AND TO NOT
CHARGE THE SCHOOL A FEE FOR THE USE OF A CITY PARK OR
SHELTER, AND TO WAIVE THE PARK DEPOSIT REQUIREMENT FOR
THE SCHOOL. COUNCILMEMBER KUESTER SECONDED THE MOTION.
THE MOTION CARRIED 5-0.
Discussion took place regarding charges to the School District from the city and charges
from the school district to the city. It was concluded that communication lines should be
kept open in order to improve the city/school relationship. Councilmember Dietz indicated
that he wants to make a good faith effort to try to work together with the School District.
5.5. Consider Park and Recreation Commission Recommendations on Field Use Policy and
Miscellaneous Fees
Recreation Manager Michele Bergh indicated that the Park and Recreation Commission has
reviewed the issues relating to the field use policy, fees for field use, deposits for shelters and
field use, and park use policy and fees. Michele reviewed the Park and Recreation
Commission's recommendation on these issues.
Councilmember Dietz stated that it is important that the City is just trying to cover costs
and to not make money through field use fees. He indicated that the tournaments benefit a
lot of organizations and businesses in the city. Michele Bergh indicated that nothing
presented tonight impacts tournaments and that a different policy would be drafted for
tournaments.
City Council Minutes
August 26, 2002
Page 5
Councilmember Kuester stated that she wants to see a way for new groups to use the fields.
She further indicated that there shoUld be a formal process to record N-kind contribution or
donations from associations for field use and development.
COUNCILMEMBER MOTIN MOVED TO APPPROVE THE FIELD USE
POLICY WITH AN AMENDMENT TO PRIORITY ONE TO READ AS
FOLLOWS: "THIS ASSOCIATION WILL BE THE ASSOCIATION WITH
SENORITY IF IT SERVES THE LARGEST NUMBER OF PARTICIPANTS."
COUNCILMEMBER TVEITE SECONDED THE MOTION. THE MOTION
CARRIED 5-0.
COUNCILMEMBER DIETZ MOVED TO APPROVE THE FIELD USE FEES
AND DEPOSITS FOR SHELTERS AND FIELD USE AND TO WAIVE THE
FEES FOR THE SCHOOL DISTRICT. COUNCILMEMBER TVEITE
SECONDED THE MOTION. THE MOTION CARRIED 4-1.
COUNCILMEMBE KUESTER OPPOSED.
The City Council recessed to the Training Room for a budget Worksession at 8:20 p.m.
Budget Worksession
The Council reconvened at 8:25 p.m.
City Prosecuting Attorney Chris Johnson gave an update on the criminal and civil cases
being handled by his department. Chris Johnson indicated that he is requesting to hire a part
time student to handle some of the routine office work and court cases.
City Administrator Pat I~daers distributed a handout on the part time Fire Prevention
Specialist. Fire Chief Bruce West gave an update regarding the position of Fire Prevention
Specialist. He indicated that if the position is authorized, he is proposing to expand the
school pubhc information and education program to allo~v them to go out on a more regular
basis over the school calendar year.
The City Administrator distributed a handout by Steve Rohlf regarding the Heritage
Preservation Commission budget. Discussion was held by the Council regarding potential
grants that could be received by the Commission.
City Administrator Pat I~daers indicated that at the last budget Worksession on August 12,
2002, a $362,100 budget gap had been identified. The City Administrator reviewed proposed
adjustments that could be made to reduce the gap to $128,600. The Council concurred with
the recommended changes.
The City Administrator discussed the possibility of collecting a gas franchise fee. He
suggested that the funds be used for the pavement management program. It was the
consensus of the Council to authorize the City Administrator to continue discussions with
the representative of Reliant Energy regarding the gas franchise fee.
Discussion was held regarding the possibility of charging a fee for police services related to
car lockouts. It was the consensus of the Council to charge $20.00 per lockout. Chief
Zerwas indicated that he would check with other cities to see how the fee is charged.
City Council Minutes Page 6
August 26, 2002
The City Administrator indicated that the Council could consider reducing the annual
employee cost of living adjustments from 3 to 2%. It was the consensus of the Council not
to pursue a decrease in the cost of living adjustment.
The City Administrator indicated that about $16,000 in requests to replace computers could
be taken in out of the 2002 budget year.
Discussion was held regarding the truck enforcement officer being requested by the Police
Department. Chief Zerwas talked about the safety benefit from this position. No decision
was made.
The City Administrator indicated that staff would put together the material proposing to go
to the maximum levy. He further noted that the EDA and HRA levies will be presented at
the next Council meeting. He indicated that the budget may not be balanced at that time but
it will be very close.
6. Other Business
Councilmember Dietz suggested that within the next few months the Council conduct a
performance review on the City Administrator. The Council concurred and requested staff
to suggest methods for the review.
The City Administrator reminded the Council of the Lions Park Open house.
7. Staff Updates
There were no staff updates.
8. Adjournment
There being no further business, Mayor Klinzing adjourned the meeting of the Elk River
City Council at 10:10 p.m.
Sandra Peine
City Clerk