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City Council Minutes 11-23-1987MINUTES REGULAR MEETING - MONTICELLO CITY COUNCIL Monday, November 23, 1987 - 7:30 p.m. Members Present: Arve Grimsmo, Fran Fair, Bill Fair, Dan Blonigen, Warren Smith Members Absent: None. 2. Approval of Minutes. Motion was made by Bill Fair, seconded by Warren Smith, and unanimously carried to approve the minutes of the regular meeting held November 9, 1987. 3. Citizens Comments/Petitions, Requests, and Complaints. Mr. Roger Belsaas, Vice President of the Monticello Lions Club, appeared before the City Council to seek permission for the Lions Club to proceed with their planned dedication for the new Monticello bridge. Mr. Belsaas indicated that the Lions Club had participated in the dedication of the old bridge in 1929. At this time, the .Lions Club has not designated a date for the planned dedication. John Simola stated that the bridge completion is expected to be in August or September of 1988. The City Council granted permission to the Lions Club to proceed with their plans for the dedication of the new bridge in 1988. They also suggested that the Lions Club work with John Simola. Joy Swenson, President of the Historical Society, appeared before the City Council and requested the granting of a gambling license for pull tabs at the Legion Club. With no further discussion, Fran Fair made a motion to take no action in regards to opposition of granting a gambling license for the historical society. Warren Smith seconded the motion. Motion passed 5-0. 4. Consideration of General Concept Stage Review of PUD Known as Highland Heights One. Applicant, Rivera Financial and Development Company. Mr. Dennis Taylor, representing George Rivera, appeared before the City Council and reviewed the general concept known as the Highland Heights One. The general concept stage shows only how the developer could service the property from existing services. This planned unit development was reviewed by John Simola, Gary Anderson, and OSM engineers. John Simola indicated two concerns about the planned unit development. One was the need to upgrade Marvin Road to the City standards at least the length of the development .from Highway 25. The second concern is the possible congestion of traffic at the intersections on Highway 25. This is due to the number of driveways and the location of the driveways as planned. 1 Council Minutes - 11/23/87 Of concern by the City Council was how this development would be served by water and sewer. John Simola said to serve the development with water and sewer, a lift station would be required, either a temporary lift station or a long-term lift station. John further indicated to the City Council that the determination of the lift station would be addressed with the preliminary plat stage. Fran Fair made a motion to approve the general concept stage review of a planned unit development to be known as Highland Heights One. Warren Smith seconded the motion. With no further discussion, the motion passed 5-0. 5. Consideration of Preliminary Plat Review of a Proposed New Subdivision Plat. Applicant, City of Monticello. The City of Monticello is proposing to replat Lots 9 and 10, Block 2, Oakwood Industrial Park, into six smaller lots. To replat these into six smaller lots, we require a subdivision plat to accompany this. A preliminary plat has been prepared by Dennis Taylor, Taylor Land Surveyors, and meets all the minimum requirements for a preliminary plat stage. The rationale behind reducing the lot sizes is to increase the marketability of our property. The total cost for the improvements is approximately $75,000. In order for the City to recover their cost of the project, the City is looking to sell the lots for approximately $15,000 per acre. John Badalich suggested for cost effectiveness the City combine this bid with another spring project bid. Bill Fair made a motion to approve the preliminary plat review of the proposed new subdivision plat. Fran Fair seconded the motion. With no further discussion, the motion passed 5-0. 6. Consideration of Sketch Plan Review for a Proposed New Subdivision Plat. Applicant, Tom Brennan. Mr. Tom Brennan appeared before the City Council and presented a sketch plan for his unplatted land west of Minnesota Street. Mr. Brennan is proposing to subdivide these two existing unplatted tracts of land into some type of light commercial, multiple family, and/or single family development. The current zoning for the majority of this property is PZM (performance zone mixed). This unplatted land consists of slopes and drop-offs. Mr. Brennan's plans are to grade the area, construct cul-de-sacs, and construct walkout dwellings to best utilize the contour of the land. The City Council informed Mr. Brennan of the City Ordinance for park dedication of a new subdivision. The ordinance states the developer shall provide developable land or cash equivalent to 10 percent of raw land cost. Warren Smith made a motion to approve the sketch plan review of a proposed new subdivision plat for the unplatted land west of Minnesota Street. Bill Fair seconded the motion. With no further discussion, the motion passed 5-0. 2 Council Minutes - 11,/23/87 7. Consideration of Final Payment on Gazebo in Ellison Park. The City Council awarded the contract for the construction of the gazebo in Ellison Park to Blonigen Builders of Monticello. The original contract cost was $8,987 for the construction of the gazebo. However, during construction of the building, three items needed attention, therefore increasing the budget by $308.95, bringing the total construction cost for the project to $9,295.95. The items needing attention were the roofing felt underneath the cedar shingles, additional shingles, and a block support and cedar plank to reinforce the railing. Additional features planned for the spring of 1988 are ramps, decorative sidewalks, ornamental lighting and outlets, and sealing of the structure. John Simola remarked about the good workmanship for the project; and Mayor Grimsmo indicated that the gazebo was a good fit to the environment of the park. Bill Fair made a motion to make final payment to Blonigen Builders in the amount of $9,295.95. Fran Fair seconded the motion. With no further discussion, the motion passed 5-0. 8. Consideration of Downtown Streetscape Improvement. Koropchak informed the City Council of Monticello's Downtown Redevelopment Program or Streetscape Plan, stating the original concept was to include 1) the upgrading of pedestrian walkways; 2) the lowering of street lighting; and 3) the placement of plantings to soften the concrete or asphalt right-of-ways. On October 8, 1987, an informational meeting was held at the Monticello City Hall. Mr. Geoff Martin, Design Planner for Dahlgren, Shardlow, and Uban Inc., presented the public and property owners with two new design plans; and the City staff had prepared preliminary finance options. The result of this meeting was the establishment of a volunteer committee and the general consensus to go along with Concept A design plan. Since that time, the committee has met twice. At their last meeting held on November 12, the committee's general consensus was to approve the preliminary design plan as presented that day by Mr. Martin with recommendation for the City staff to prepare preliminary finance plan options and a maintenance plan for the approved preliminary design plan. City staff was to present the approved preliminary design plan, preliminary finance plan, and the maintenance plan to the City Council at their November 23 meeting for recommendation, direction, or input back to the committee. This being said meeting, Mr. Geoff Martin updated the City Council on the design plan Concept A, indicating the study includes the areas of Broadway, Pine Street, and the three major downtown parking lots. The City Council reviewed the five preliminary finance plan options: Option 1 being 77 percent assessment, 23 percent ad valorem; Option 2 being 70 percent assessment, 30 percent ad valorem; Option 3 being 61. percent assessment, 39 percent ad valorem; Option 4 being 20 percent assessment, 80 percent ad valorem; and Option 5, parking lots being 100 percent ad valorem with the .remaining total project cost being 70 percent assessed and 30 percent ad valorem. 3 Council Minutes - 11/23/87 The majority of the City Council agreed that it was time the City invested in the downtown area, that the City needed to identify their downtown area and to invest in the downtown area. Dan Blonigen did not agree with the majority of the City Council. He felt the cost of the project outweighed its benefits and that it was designed to help a few individual businesses. Mayor Grimsmo stated he was sorry to see that the concept did not include apartments above buildings. Fran Fair agreed with Arve Grimsmo and also indicated that with the improvement of downtown, individual businesses would be encouraged to upgrade their store fronts. The City Council continued to discuss the 20 percent assessment and the 80 percent ad valorem. Dan Blonigen indicated he could consider 50/50, but not 20/80. Koropchak further presented an option for the City Council to consider. The option included Block 35 store backs. The concept would be for the property owners to grant the City an easement for parking and landscaping and for the City to maintain. General consensus of the City Council was that the item was a separate issue to be assessed differently. Stan Douglas of Golden Valley Furniture suggested that a City Council member or a City staff member poll the property owners to see whether they were in favor or not in favor of such a project. The City Council agreed that this was a good idea after costs have been determined. Fran Fair made a motion to recommend to the committee Option 4, 20 percent assessment and 80 percent ad valorem based on the preliminary figures excluding Block 35 store back improvements and this without commitment by the City Council. Warren Smith seconded the motion. The City Council requested that the City Administrator confirm the figures and determine the increase of property tax for a $50,000 home. Voting in favor of the motion was Arve Grimsmo, Bill Fair, Fran Fair, and Warren Smith. Voting in opposition of the motion was Dan Blonigen. 9. Consideration of Update on Old Highway 25 Bridge. Since August of 1987, John Simola has been in contact with the Minnesota Department of Transportation and other parties involved who make a determination as to whether or not the City of Monticello could retain the old highway bridge as an extension of the West Bridge Park. Mr. Simola began working with Johnson Brothers Construction and their bridge engineers to determine whether or not the two bridges could remain in place. Johnson Brothers prepared a plan showing the revamping of the approach abutment to the old bridge. This plan was presented to the Minnesota Department of Transportation on September 2, 1987. The general consensus of all parties involved at that time was that they agreed that the project appeared feasible. Research was done on the liability question of the bridge. Liability premiums generally don't go up unless there is a significant exposure to potential liability. The liability risk could be reduced significantly by proper inspection, engineering and maintenance, and pedestrian protection could .limit the liability. Options were to consider saving the entire bridge or to save three spans of the bridge. Preliminary estimates to obtain the whole bridge and have it in good serviceable condition 4 10. Council Minutes - 11/23/87 would be in the neighborhood of $132,000; and very preliminary estimates indicate the City would need to set aside approximately $10,000 per year to maintain the whole bridge for the future. This completes a very brief summary on the research to save the Monticello bridge. At the City Council meeting, John Simola reported that as of Friday, November 21, 1987, all indications were go ahead for the City to acquire the bridge. At 4:30 p.m. on Monday, November 23, John received a telephone call from Jim LaBoe stating MN/DOT will not sell the bridge to Monticello. Mr. LaBoe's two main reasons for not selling the bridge were 1) the benefit to the contractor. The original contract called for the construction of a new bridge and the demolition of the old bridge. 2) The second reason was the amount of paperwork required. With the last minute turn of events, John Simola recommended that Johnson Brothers Construction demolish the bridge. Mayor Grimsmo thanked John Simola for his time and research and further indicated he was going to recommend to the City Council to dismiss the idea of saving the bridge because of the lack of public interest. Bill Fair made a motion to abandon the idea of saving the bridge for an extension of the city parkway system. Fran Fair seconded the motion. John Simola reminded the City Council that the final decision to acquire the bridge was still March 14, 1988. With no further discussion, the motion passed 5-0. Discussion of the Realignment of the Intersection of County Road 39 East and County Road 75. This item involves the purchase of right-of-way from Gladys Hoglund for construction of the new County Road 39 East. The City and the County would share the cost of the purchase of the right-of-way. The County appraised the agricultural land at approximately $20,000 per acre. Attorney Jim Metcalf, representing Gladys Hoglund, indicated there was no tax advantage for Mrs. Hoglund to sell her property. The County has addressed a letter dated November 19, 1987, with a final offer of $38,000 to purchase the land from Gladys Hoglund. Deadline for response of this letter is November 30, 1987. It is City staff's understanding that Jim Metcalf will respond to the letter of November 19. The County has gone to significant lengths to determine the fair property value and to negotiate with Gladys Hoglund. If the .final offer is rejected by Gladys Hoglund, the County's decision is to proceed with condemnation of the property. At this time, the County requests support from the Monticello City Council to 1) delay the project; or 2) support the County's decision for condemnation. The City needs to concern itself_ with the necessary improvements of utilities that would need to go in prior to the construction of County Road 39 East. The project would include watermain and sewer 5 Council Minutes - 11/23/87 installation. Councilmember Bill Fair was not in favor of constructing a new road and thereafter construction of City improvements at a later date. Bill Fair made a motion to support the County's decision for condemnation should the final offer to Gladys Hoglund be rejected. The motion included the ordering of a feasibility study to serve East County Road 39 with sewer to Mississippi Drive and the setting of a public hearing at which to discuss proposed improvements. The motion was seconded by Dan Blonigen. With no further discussion, the motion passed 5-0. See Resolution 87-31. 11. Consideration of Bills for the Month of November. Motion was made by Warren Smith, seconded by Fran Fair, and unanimously carried to approve the bills for the month of November as presented. \<-CN 011ie Koropchak Economic Development Director 0