City Council Minutes 06-27-1988MINUTES
REGULAR MEETING - MONTICELLO CITY COUNCIL
Monday, June 27, 1988 - 7:30 p.m.
Members Present: Arve Grimsmo, Fran Fair, Warren Smith, Dan Blonigen,
Bill Fair
Members Absent: None
Note: Regular meeting of June 13, 1988 was postponed with the agenda items for
that meeting combined with the meeting of June 27, 1988.
1. Consider Approval of Minutes of Regular Meeting held May 23, 1988.
Motion to approve minutes by Warren Smith, seconded by Dan Blonigen,
motion passed unanimously.
2. Citizens Comments Requests and Complaints.
Ray Dinius, resident of the Riverside Terrace Campground was in attendance
to voice complaints regarding the opperation of the River Terrace
Campground facility. Dinius noted that the campground facility contains
122 spaces however on certain weekends the number of campsites exceeds the
122 spaces. In addition, Dinius stated that the opperaters of the
campground do not control the parties and associated noise that takes
place on the weekends. Mr. Dinius noted that he has tried to work through
the management of the Riverside Terrace Park and that the park managers
were not responsive to his complaints. Mayor Grimsmo noted that the staff
take the information under advisement and report back to council.
4. Consideration of Establishing Area Assessment Charge for Trunk Sewer and
Water Projects.
Assistant Administrator, Jeff O'Neill along with City Engineer John
Badalich reviewed the concept of establishing an "area assessment" as a
method by which developers can participate in the financing of the
extension of city trunk sewer and water services to development
areas.Under this concept, developers would be required to pay a flat rate
per acre for use of the trunk sewer and water line. John Badalich of OSM
noted that the current average cost per acre for extension of sewer
service is $1,250 per acre. The average cost per acre for extension of
water service is also $1,250 per acre. Therefore, it is proposed that the
City establish a corresponding area assessment fee.
The discussion then led to application of the area assessment to the
Evergreens development proposed by Kent Kjellberg. Assistant
Administrator, O'Neill outlined a tentative proposal for utilizing the
area assessment concept to finance the extension of trunk sewer and water
to the Kjellberg development. It was proposed that Kjellberg ultimately
pay and area assessment of $200,000 which represents 380 of the total
project cost of $529,000. Of that amount it was recommended that $103,750
be in the form of cash up front with the remainder financed as an
assessment against the property. That portion not financed by Kjellberg to
be recovered via future area assessments associated with future
developments utilizing the sewer trunk line. Council agreed to the
financing plan by consensus.
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(4. Continued)
After discussion, Motion by Bill Fair and seconded by Dan Blonigen to
establish and area assessment charge for the purpose of recovering costs
associated with extending sewer and water service to outlying areas of the
community. Area assessment charges shall be paid by developers on the
basis of acres developed. An area assessment will be charged for each
development regardless of the actual need to extend trunk lines and
regardless of the actual cost to extend trunk line. Trunk sewer area
assessment shall be $1,250. Trunk water area assessment shall be $1,250.
5. Feasibility Study for Extension of Trunk Water and Sewer to "Evergreens"
Development.
John Badalich estimated the cost to prepare a feasibility study for the
extension of trunk sewer to "The Evergreens" development at $2,000.
Council member Fran Fair noted that the cost for feasibility study is to
be paid by the developer. Motion by Fran Fair to approve Resolution 88-17
Declaring Adequacy of Petition and Ordering Preparation of Report. Motion
seconded by Dan Blonigen, motion passed unanimously.
6. Consideration of Improvements to Water Storage Facilities.
Mayor Grimsmo noted that this item had been discussed at the special
meeting earlier in the day and that Council has decided to call for a
referendum on the sale of General Obligation Bonds associated with
expanding water storage capabilities of the community. Mayor Grimsmo
noted that city staff is in the process of narrowing the alternatives for
development of this storage facility and that the referendum on this
subject is scheduled for September 13, 1988.
7. Consideration of Resolution Awarding Bids on Pumphouse, Pump and Controls
for Project 88-01C.
Public Work Director, Simola, recommended that the Council rejects the
bids as submitted and move to rebid the project. Simola noted that the
low bid exceeds the engineers estimate by 27 percent due to the high cost
of electrical work. Simola went on to say that since the facility will
not be on line until fall of 1988, the urgency of installing the facility
has deminished. In addition, it is likely that rebidding the project will
result in the city receiving a lower bid. After discussion, motion by
Bill Fair to approve Resolution 88-18 Resolution Rejecting Bids and
Authorizing Readvertisement for Bids for Pump and Pumphouse #3 along with
appurtenant work. Motion seconded by Dan Blonigen, motion passed
unanimously.
8. Consideration of Resolution Awarding Bids on Interconnecting Piping for
Project 88-04B.
Staff recommended that the City award the project to the low bidder which
was LaTour Construction. LaTour Construction submitted a bid amount of
$42,317.50 After discussion, motion by Warren Smith, seconded by Dan
Blonigen to approve Resolution 88-19, Resolution Accepting Bid and
Authorizing Contract Awarding Bid to LaTour Construction for the bid
amount of $42,317.50 motion seconded by Dan Blonigen. Motion passed
unanimously.
Council Minutes - 6/27/88
8A. Consideration of Resolution Awarding bids on Well #4 Project 88-04A.
Staff reported that the city had received one bid from E.H. Renner and
Sons, Inc. for the cost of installation of improvements associated with
well #4. Superintendent Simola stated that the bid amount was slightly
lower than the Engineer's estimates, therefore he recommended to Council
that the project be awarded to E.H. Renner and Sons, Inc. despite the fact
that only one bid was received. After discussion, motion made by Warren
Smith, seconded by Dan Blonigen to approve Resolution 88-20, Resolution
Accepting Bid and Authorizing Contract with E.H. Renner and Sons, Inc. for
installation of improvements associated with well #4 at a cost of
$98,883.50. Motion passed unanimously.
10. Consideration of Ordinance #161 which Amends Numbering of Property
Management Section.
Motion by Bill Fair to approve the renumbering of the property management
section of the Monticello City Ordinances through adoption of Ordinance
#161. . Motion seconded by Dan Blonigen, motion passed unanimously.
11. Consideration of Ordinance Amending Liquor License Insurance Requirements.
City Administrator, Wolfsteller noted that currently Minnesota Statutes
require that no retail liquor license may be issued by a city until the
applicant proves proof of insurance coverage of at least $50,000/100,000
for bodily injury, and $10,000 for property damage along with
$50,000/100,000 for loss of means support. He went on to say that these
requirements are a minimum and the City of Monticello had a policy of
requiring at least $300,000 of liability coverage in the past.
Wolfsteller went on to note that the City had an ordinance regulating
issuance of liquor licenses but does not specifically address the minimum
level of liquor liability insurance required. Wolfsteller recommended
that the ordinance be amended to include a section which requires that all
applications for retail licenses file with the City a certificate of
liability insurance in the amount not less than $300,000 he noted that it
has been council's policy in the past to require $300,000 worth of
liability insurance however, this requirement has not been previously
articulated in the ordinance.
After discussion, motion by Bill Fair to approve Ordinance Amendment
No. 162 which requires that all applications for retail liquor licenses
shall file with the City a certificate of liability insurance in the
amount not less than $300,000. Motion seconded by Warren Smith, motion
passed unanimously.
12. Consideration of Union Contract Ratification.
After discussion, motion by Warren Smith, seconded by Fran Fair to approve
ratification of union contract as submitted. Motion passed unanimously.
13. Consideration of Annual License Renewals.
Motion made by Bill Fair, seconded by Dan Blonigen to approve the annual
license renewals of the following organizations:
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Council Minutes - 6/27/88
(13. Continued)
Intoxicating Liquor, On -Sale (Fee $3,300)
Renewals: 1. Monticello Liquor, Inc.
2. Silver Fox
3. Joyner's Lanes
4. Stuart Hoglund - Comfort Inn
Intoxicating Liquor, On -Sale, Sunday *(Fee $200 - set by Statue)
Renewals: 1. Monticello Liquor, Inc.
2. Silver Fox
3. Joyner's lanes
4. VFW Club
5. American Legion Club
Non -intoxicating Malt, On -sale (Fee $250)
1. Rod and Gun
2. Pizza Factory
3. Country Club
Non -intoxicating Malt, On -sale, Temporary (Fee $15/day)
1. St. Henry's Fall Festival, 2 days - $300.00
Non -intoxicating Malt, Off -sale (Fee $75.00)
Renewals: 1. Monticello Liquor
2. Riverroad Plaza
3. Maus Foods
4. River Terrace
5. Tom Thumb
6. Holiday
7. Plaza Car Wash
Wine/3.2 Beer Combination, On -sale (Fee $450)
Renewal: 1. Dino's Deli
Set-up License
1. Country Club
2. Rod & Gun
Club Licenses (Fee - set by Statute)
1. VFW - $500 (membership 268)
2. American Legion - $650 (membership 580)
Bingo, Temporary (Fee $20)
1. St. Henry's Fall Festival
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Council Minutes - 6/27/88
(13. Continued)
Gambling, Temporary ($20 per device)
1. St. Henry's Fall Festival - $60
14. Consideration of Community Survey.
Assistant City Administrator reported to Council that as requested, staff
has developed three alternatives for implementation of a community survey.
O'Neill went on to review the pro's and con's of each alternative.
Councilman Bill Fair noted that he favored utilizing the telephone survey
because the information resulting from the survey will be available in
time for the 1989 budget setting session. Motion made by Bill Fair to
award the community survey project to St. Cloud State University Survey at
a project cost of $500. Motion seconded by Fran Fair, motion passed
unanimously.
15. Consideration of Appointment to Planning Commission.
It was noted by Mayor Grimsmo that the Planning Commission was unanimous
in recommending Mori Malone to the Commission. After discussion, motion
by Bill Fair, seconded by Fran Fair to approve the appointment of Mori
Malone to the position of Planning Commission member. Motion passed
unanimously.
16. Consideration of Resolution of Awarding Bids on Streetscape Project,
General & Electrical, Landscaping & Refurbishing Railing.
Geof Martin of Dahlgren, Shardlow and Uban, Inc., was present to review
the bids associated with the streetscape project. Martin informed Council
that the bids received by the City were favorable and that the sum of the
low bid and alternates is less than the estimated project cost by over
$16,000. It was the consensus of the Council that funds remaining for
Streetscape project activity be placed in the contingency fund associated
with the project and not be earmarked for a specific project purpose.
Motion made by Bill Fair to approve Resolution 88-21, Accepting Bid and
Authorizing Contract for General Site Construction and Electrical Work
with Arrigoni Brothers at a base bid amount of $162,311.60 and direct
construction of all alternates except for 3-1; Resolution 88-22,
Resolution Accepting Bid and Authorizing Contract with Minnetonka Iron
Works for the refurbishing of the bridge railing at a base bid amount of
$13,137.00; Resolution 88-23, Resolution Accepting Bid and Authorizing
Contract for Streetscape Landscaping with Minnesota Valley Landscape at a
base bid amount of $26,810.00 and direct completion of all alternates
associated with 1-3.; Award the lighting portion of the Streetscape
project to the Cairns Group at a bid amount of $49,648.00; award tree
grates and tree gaurds portion of the Streetscape project to Ironsmith,
Inc. at a bid amount of $17,648. Motion seconded by Warren Smith, voting
in favor of motion Arve Grimsmo, Fran Fair, Bill Fair, Warren Smith.
Opposed, Dan Blonigen. Motion passes.
17. Consideration of Preliminary Plat Request for Mobile Home Park Expansion,
Don Heikes Applicant.
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Council Minutes - 5/27/88
(17. Continued)
Staff reported that the Planning Commission had conducted a public hearing
and reviewed the preliminary plat proposed and found no inconsistencies
with City requirements. After discussion, motion by Dan Blonigen, seconded
by Warren Smith to approve the preliminary plat submitted by Don Heikes
for expansion to Westside Mobile Home Park as proposed.
18. Consideration of Conditional Use Request to Allow Construction of more
than One Apartment Building on an Unplatted Lot, Two Apartment Buildings
in Excess of the Maximum number of units Allowed, Construction of Five
Apartment Buildings in Two Phases, Dave Hornig Applicant.
Staff reported to Council that Planning Commission has approved the
conditional uses as requested and went on to note that Farmers Home
Administration is providing the financing for the Hornig Development in
addition to the Senior Project. The projects are interrelated in terms of
funding potential. O'Neill reported that the FHA has informed him that
the funding of the downtown Senior Project is reliant on the development
of the Hornig property as proposed. After discussion, motion by Fran Fair
to approve the conditional use requests as submitted with the conditions
as follows: 1) the developer dedicate to the city the proposed necessary
easement for the proposed Seventh Street public right-of-way, on or before
building permit application. 2) that an approved landscaping plan be
submitted prior to building permit application. Motion carried
unanimously with Joyce Dowling absent; motion seconded by Warren Smith.
Motion passed unanimously.
19. Consideration of Accepting 1987 Audit Report.
Rick Bordan of Gruys, Johnson, and Associates reported to City Council
that the city .financial position is excellent. He went on to note
comments and suggestions associated with compliance to guidelines
established by State Auditor Task Force. Bordan informed Council that the
minutes of the meeting reflect more detail when bids are reviewed an
awarded. That is situations were bids are not awarded to lowest bidder,
it is essential that the minutes recap the reasons for awarding the bid to
another bidder. He went on to recommend that the minutes the review of
discussion is there is any disagreement between the members of the
council.
Bordan went on to suggest that the Council and key Staff members make
public records of any potential conflict of interest that they might have
associated with City business. Finally Bordan reminded the city to secure
proper travel documentation for before reimbursements are made. Council
member Warren Smith stated that no reimbursements should be made without
proper documentation. Motion made to accept the audit report by Warren
Smith, motion seconded by Fran Fair, motion passed unanimously.
20. Consideration of Simple Subdivision Request, Daryl Fishbach and Leroy
Robideau.
Motion by Bill Fair, seconded by Warren Smith to approve the Simple
Subdivision Request as submitted. Motion passed unanimously.
Council Minutes - 6/27/88
21. Consideration of Authorizing Study to Determine Capacity of Oakwood
Industrial Park Road System.
Public Works Director, Simola reported that at present the roads in the
Oakwood Industrial Park area had a designed capacity of seven tons,
however their actual capacity may be nine tons or more. He noted that
prior to spending significate dollars in adding to the capacity of these
roads they should be checked to see their actual capacity is nine tons.
The study purposed will determine the actual capacity of the Oakwood
Industrial Park system and the study can be done at any time of the year,
not just during the spring. Motion made to authorize the study of Oakwood
Industrial Park road system and direct Braun Engineering to conduct study
at a cost of $2,000.
22. Consideration of MNDOT's Request Limiting Access to Highway 25 from East
River Street.
At this point of the meeting staff along with representatives of MNDOT,
Dale Lungwitz of Wright County State Bank, and concerned citizens
discussed problems associated with a less than desirable situation at the
east approach to River Street with trunk Highway 25, problems stem from
development of the new bridge. The sight distance to the south for any
car using east approach to River Street from Highway 25 is much less than
desirable. At present the sight distance is 135 feet and the recommended
sight distance if 400 feet. James M. Labo, Resident Engineer, MNDOT was
in attendance to discuss the alternatives for the City. Mr. Labow noted
that the only alternative for the City and the MNDOT would be to remove
access to Highway 25 from the east approach to River Street, as the
present situation is vary dangerous and closing of that street would
remove liabilities for both parties. Mayor Grimsmo noted that, "the
situation of poor sight lines, is an undertakers dream, and therefore
must be changed." He went on to say that turning the east approach to
River Street into parking would not only remove a safety hazard, but also
benefit the City by creating numerous parking spaces. In addition,
traffic running along River Street from the elderly home and Ellison Park
will be diverted earlier to Broadway would pose a positive effect. Dale
Lungwitz of Wright County State Bank concurred that the present situation
is a hazard and must be corrected, and also noted access problems to his
facility created by the closer of the east approach to River Street with
Trunk Highway 25. Lungwitz noted that his only objection is that if the
east approach to River Street is closed, he will have three enterances and
only one exist to his facility, which will cause his customers problems.
Jim Labo noted his concern that this problem wasn't identified earlier in
the project. He went on to express his apologizes that the problem was
not addressed at the design stages of the project. It was suggested by a
citizen that trunk Highway 25 at that point which intersects with the east
approach with River Street be moved slightly to the west thereby
increasing the sight distance. Jim Labo noted that moving the roadbed as
suggested will increase the curve which is already at 6 percent. Any
increase to the sharpness of this curve should be avoided. Mayor Grimsmo
noted that he would like to see better use of the private alley which
serves local business in the area and the City Senior Center. Dan
Blonigen noted that he agrees with Mayor Grimsmo that the alley should be
better utilized. Dale Lungwitz requested that a temporary solution
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Council Minutes - 6/27/88
(22. Continued)
include moving the traffic lane to the west for a short period while
solutions to the problems develope. Mayor Grimsmo noted he has no problem
with the temporary solution and that in the meantime, the Department of
Transportation should be working on a suggestion of development of a
parking lot and replacing the east approach to River Street. Fran Fair
noted that the property owners in the area should get together and work
towards better utilization of the private alley which serves a number of
businesses in the area. Motion made by Bill Fair to recommend that east
access to River Street be permanently blocked and converted into a parking
lot to be designed and built by MNDOT. MNDOT to pay all costs associated
with correcting traffic pattern problems and work with local businesses to
better utilized adjacent private allies. Finally, motion included request
to temporarily move the traffic lane of T.H. 25 to the west slightly at
the point that it intersects with River Street. Motion seconded by Dan
Blonigen. Voting in favor of the motion Arve Grimsmo, Dan Blonigen, Fran
Fair, and Bill Fair. Opposed, Warren Smith.
23. Consideration of Gambling License Application, Monticello VFW Auxilary,
Gambling License Renewal, Monticello VFW Club.
Motion was made to approve gambling license application of Monticello VFW
Auxilary by Fran Fair, seconded by Bill Fair. Motion passed unanimously.
Motion made by Bill Fair, seconded by Warren Smith to approve gambling
license renewal submitted by the Monticello VFW Club. Motion passed
unanimously.
24. Consideration of Bills for June.
Motion made by Bill Fair, seconded by Dan Blonigen to approve payment of
bills for June 1988. Motion passed unanimously.
Respectfully Submitted,
Jeff O'Neill,
Assistant Administrator