City Council Minutes 07-25-1988MINUTES
REGULAR MEETING - MONTICELLO CITY COUNCIL
Monday, July 25, 1988 - 7:30 p.m.
Members Present: Arve Grimsmo, Fran Fair, Warren Smith, Dan Blonigen,
Bill Fair.
Members Absent: None.
2. Approval of minutes of regular meeting held July 11, 1988. Council member
Smith requested that Item #11 be updated to reflect the vote on the Item.
Motion made by Warren Smith to approve the meeting minutes as updated,
seconded by Dan Blonigen, motion passed unanimously.
3. Citizens Comments, Petitions, Requests and Complaints.
None in attendance for this agenda item.
4. Consideration for Petition for Abatement of Dangerous Buildings.
Staff reported that a petition for abatement of dangerous building was
received Wednesday, July 20, 1988 from neighboring property owners of the
Clifford Olson rental property at 100 East Fourth Street. Present at the
Council meeting voicing their concerns regarding the dilapidated rental
house were a number of nearby property owners. Spokesperson for their
group, Jerry Clemette, noted that the old gray building is an eyesoar and
needs to come down. It also represents a public safety hazard and its
presence reduces the property values of the nearby buildings. Dan
Blonigen asked if the building is rentable. Building Inspector, Gary
Anderson noted that the building is not fit for habitation at this time
and that it would be very expensive to make the improvements to the
building that would be required prior to allowing habitation of the
building.
At this point, Staff and City Attorney, Tom Hayes, outlined the abatement
proceedure. Being no further discussion, motion made by Bill Fair to
proceed with procedures required for the abatement of the dangerous
building owned by Clifford Olson at 100 East Fourth Street. Motion
seconded by Dan Blonigen, motion passed unanimously.
5. Consideration of Concept Plan for Development of Infectious Waste Disposal
Facilitv.
Art Fretag, of North Central Laboratories, presented a concept plan for
development of an Infectious Waste Disposal Facility in Monticello.
Mr. Fretag requested Council feedback regarding the potential development
of this plant prior to development of full scale plans. Mr. Fretag noted
that the facility would be highly regulated by the Pollution Control
Agency and all activities associated with the plant create no public
safety hazard. He noted that the loading and unloading of materials is
done completely within the facility. Mr. Fretag went on to state that in
the past, this type of waste has been sent to landfills, now however,
hospital waste must be incinerated.
Council member Fair asked Fretag to describe some of the state regulations
governing the operation he is proposing. Fretag remarked that the PCA is
very aggressive and a facility such as his are monitored closely. Council
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member Fran Fair asked what types of vehicles will be utilizing the
facility. Fretag noted that all materials coming in and out the structure
are brought in small containers by marked white vans. He went on to note,
hospital waste burning process of the Big Lake/Monticello Hospital is not
as clean as that which is being proposed with the facility under
consideration. Fretag stated that the facility would employ six people
plus a sales person and will have a taxable value of $210,000. Fran Fair
asked where this facility would be located. Fretag replied that there are
industrial sites available at Oakwood Industrial Park area that would
suite his company's needs.
Fran Fair requested more information regarding the facility and it's
operations prior to giving her full support. Council member Bill Fair
requested that City Staff distribute to Council the state regulations
governing such facilities he also stated that he would like more
information prior to giving full support. Council member Blonigen stated
that we must make sure that it is a clean facility, that we do not want
Monticello to be known as the garbage dump for the state. As the
discussion concluded on this topic was the general consensus of the
Council that the development of an Infectious Waste Disposal Facility
would not be rejected at the stage and that it could receive potential
support from the Council after review of more specific details on the
operations and regulations pertaining to the facility.
6. Consideration of Replatting Request to Replat an Existing Lot into Eight
(8) Townhouse Lots and One (1) Common Area Lot. Applicant, Jay Miller.
-` Motion by Warren Smith, seconded by Dan Blonigen to approve the replatting
request. Motion passed unanimously.
7. Consideration of Simple Subdivision Request. Applicant, Don Bauer.
Staff informed Council that the lots, when subdivided, will meet the
minimum width and square footage required by City Ordinance.
After discussion, motion by Fran Fair, seconded by Dan Blonigen to approve
the simple subdivision as requested. Motion passed unanimously.
8. Consideration of Concept Approval of a Replat of Portion of "Meadows"
Subdivision, Utilities Installation, and Re -Assessment of 81-1 Project
Assessments.
John Sandberg, Tom Holthaus, Dayle Veches, and Dan Frie, were in
attendance for this agenda item.
City Administrator, Wolfsteller, outlined the proposal submitted by John
Sandberg. Wolfsteller noted that the proposal presented to Council has
not been reviewed by the Planning Commission as of yet, that the
developers are seeking input regarding a number of consessions from the
City prior to preparing a preliminary replat. The developers are
requesting that the City Council consider financing and reconstructing the
street curb and gutter, and utility extentions throughout the plat and
assessing 100 percent of the cost along with approximately $400,000 in
current delinquent assessments against 20 of the 27 originally created
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lots. As part of the proposal, Mr. Sandberg indicated that they would be
a willing to continue Marvin Elwood Road in a northwesterly direction and
connect River Street through a corner of the former Edger Klucas
property. This would provide access from the subdivision through River
Street and possibly divert some of the traffic from going through the
"Meadows" and "Anders Wilhelm" to get to River Street.
Wolfsteller went on to note that although it is proposed by the developers
to create approximately 27 single family lots, they are requesting that
only 20 of the lots be assessed for improvements with the remaining 7
being free of any outstanding assessments. The rational for this is that
they would be able to sell the 7 lots without any assessments and use this
money to pay off their outstanding bank loans. Developers have indicated
that unless the City is agreeable to 1) approval of the proposed replat,
2) financing of the utility and street construction within the new
subdivision, and 3) agreeing to re -assess the delinquent assessments
totaling approximately $40,000 to all 20 of the newly created lots, the
developers feel it would not be feasible to develop the property on their
own and would let it sit vacant. Furthermore, the likelyhood of the
development of multi -family dwellings in this area will be increased as
the existing utilities can be used to service mutli-family development in
the area.
Council member Bill Fair noted that respreading of assessments leaves the
�- City out on a limb, he wondered what assurance does the City have that the
assessments on the 20 remaining lots would be paid. It was noted by Dan
Frie that the lots without the assessments need not necessarily be sold
first, and that an agreement could be struck wereby the lots with
outstanding assessments could possibly sold first or simultaneous to the
selling of the 7 lots without assessments. Frie also noted that the
"Meadows" development has a good track record in terms of payment of
assessments. City Administrator, Wolfsteller concerned that they have
done a good job in paying off assessments.
Dan Blonigen noted that we may be setting a bad precident by approving the
proposal unless a tradeoff or special circumstance can be demonstrated.
Council member Bill Fair noted that the City should negotiate with the
developers and that the alternative of development of multiple family
homes in the area is not a good alternative for the area. Fran Fair asked
what can be done to clean up the Klucas problem. Dan Frie noted that once
the "Meadows" is fully developed then the developers will be in a position
to work on developing the ajoining property.
The concensus of the Council was to direct Staff and Developers to
negotiate on terms for paying back assessments associated with the
proposed improvements.
9. Consideration of Committee Report on Closure of River Street Access to
Highway 25.
Council members Smith and Blonigen reported on the Committee
recommendation. They noted that after looking at seven options originally
layed out by Traffic Engineer, Jack Anderson, that the Committee's almost
unanimous recommendation was that the intersection be redesigned to
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safetly accomodate all traffic movements. It was suggested by the
-n Committee that installation of semiphores be utilized to insure the safety
of individuals utilizing that intersection. Fran Fair was concerned that
it would be difficult to develop a safe intersection, and that street
closure should be seriously considered. Dan Blonigen noted that by
closing River Street, traffic would be diverted to Broadway, which will
reduce the safety and increase traffic at the Broadway and Highway 25
intersection. Bill Fair stated that safety is the primary concern at
River Street and Highway 25 intersection. Mayor Grimsmo supported
development of an option that would create the safest situation for
pedestrians and motoring public.
Motion by Bill Fair to direct Minnesota Department of Transportation to
design and install all improvements necessary to assure safe movement of
all traffic movements at the intersection of State Highway 25 and River
Street. Motion seconded by Warren Smith, motion passed unanimously.
10. Consideration of Water Tower Design, Elevation, and Pressure.
City Engineer, Badalich, reviewed the design features of a number of stand
pipe reservoirs. After his presentation, Council selected a design of a
water reservoir standpipe located in Deer River, Wisconsin. Motion made
by Fran Fair, seconded by Warren Smith to direct City Engineer to redefine
cost estimates of the water tower project based on the design of the
reservoir located in Deer River, Wisconsin. Motion passed unanimously.
No authorization to complete design of standpipe reservoir was provided by
Council.
A discussion of the proposed elevation of the average water level insued.
The concensus of Council that the average water level should be set at
1105 with a low level of 1074. ,john Simola noted that the City can bring
the pressure up slowly thereby allowing the City to monitor the impact of
the higher pressure on the plumbing located in some of the older
structures of the community. City Administrator, Wolfsteller noted that
the City may not wish to install pressure reducing valves in individual
homes as the City may be liable for the problems that might occur in the
years to come.
11. Consideration of Odor Control Measures at Waste Water Treatment Plant.
Public Work Director, Simola, reported to Council that the Waste Water
Treatment Plant trickling filters need to be back on line in order to
control odors eminating from the Waste Water Treatment Plant. He went on
to say that PSG has investigated various odor control systems for
trickling filters. He noted that the best alternative for the City at
this time is to authorized PSG to purchase the spray mist odor control
system from Tech Sales Company of Minneapolis, in the amount of $3,885
plus installation materials, and to authorize PSG and Staff to install the
system. To reimburse PSG up to $6,000 annually for chemical usage to
control odors. He went on to say that this is the most cost effective
means to control odors in the trickling filter area. It allows the
flexibility to operate the system utilizing various chemicals.
After discussion, motion by Bill Fair, seconded by Fran Fair to authorize
PSG to purchase the spray mist control system from Tech Sales Company for
the amount of $3,885.30 plus installation materials and to authorize PSG
and Staff to install the system and to reimburse PSG up to $6,000 annually
for chemical usage to control odors. Motion passed unanimously.
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12. Consideration of Sealcoating Hillcrest Area to Chestnut Street.
Public Works Superintendent, John Simola provided Council with
Alternatives for maintenance of subject streets. He noted that
sealcoating the streets in the area will slow down the deterioration rate
of the streets which will extend the life of the streets for five year.
The other option is to reconstruct the streets sooner, utilizing
sealcoating funds for reconstruction.
After discussion, motion to advertise for bids for sealcoating of
Hillcrest area to Chestnut Street made by Dan Blonigen, seconded by Bill
Fair. Motion passed unanimously.
13. Consideration of Purchase of Park Equipment for Meadow Oak Park and Par
West Park.
Residents from the Meadow Oaks Development were in attendance for this
agenda item. A resident of the area asked, if a fence is planned around
the drainage pond in the Meadow Oaks Subdivision. Park Superintendent,
Mack stated that a fence is not planned for the pond area because it was
considered to be far enough away from the Meadow Oaks play area. In
addition, the level of the pond are not constant and it would very
difficult to establish the proper placement of the fence.
Council member Bill Fair asked if the park equipment has been budgeted
for. Staff informed that the equipment is in the City Budget. There
being no further discussion. Motion made by Bill Fair to authorize
purchase of landscape structure from E. F. Andersen in the amount of
$4,700 and authorize purchase of 3 -unit swing set from E. F. Andersen in
the amount of $1,470. Motion seconded by Fran Fair, motion passed
unanimously.
14. Consideration of Permit and Fee Adjustments.
Assistant City Administrator outlined recommendations made by the
Industrial Development Committee regarding a proposed reduction in the
overall cost for residential building permits in the City of Monticello of
approximately 20 percent. O'Neill then outlined two methods by which the
20 percent reduction could be accomplished. Alternative #1 included
modification of survey requirement and reduction in the plan review fee.
Alternate #2 included maintaining the full survey requirement and a large
reduction in the plan review fee. Both alternative included a 10 percent
reduction in the building inspection fee.
Motion made by Bill Fair to approve Alternate #2 which called for a 10
percent reduction in building inspection fee, 85 percent reduction in plan
review fee, and continued requirement of a survey. Motion seconded by
Warren Smith, motion passed unanimously.
15. Consideration of Approving Permits Allowing Use of Public Boulevards.
Staff informed Council that presently there are items such as chairs,
tables, and newspaper containers placed on City Boulevards in violation of
City Ordinance. Such articles are not allowed on Public Boulevards
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without the approval of the City Council. Council was asked to review the
situation and provide a permit or direct staff to enforce the ordinance
accordingly.
Motion made by Bill Fair to direct Staff_ to review the current ordinance
regulating boulevard encroachments and to establish criteria for granting
permission to utilize the boulevard for placement of articles on a short
term basis and that motion including direction to Staff to enforce the
ordinance as it now exists. Motion included granting of permits
associated with the Crazy Days Activity. Motion by Warren Smith, seconded
by Fran Fair. Motion passed unanimously.
16. Consideration of Awarding Bids on Pump and Pumphouse #3.
Tom Hayes was in attendance to review a letter from the second high
bidder, Phillips & Klein Company, Inc., which claimed that the bid
submitted by the low bidder should be rejected because of the absence of
affidavit of non -collusion in the original bid. Tom Hayes noted to
Council that the City has received the letter of affidavit of
non -collusion from the low bidder and that the City now has a complete bid
package. He went on to say that the bid of the low bidder is legitimate
and that the Council must determine that if it is in the 'best interest of
the City to award the bid to the low bidder based on the ability of the
low bidder to complete the project. In his discussion, Hayes noted that
in a similar situation, the state rejected because of the absence of the
letter of non -collusion. In turn, the courts ruled that the states action
was not warrented. Mike Klein, representing Phillips & Klein Company,
Inc. reiterated that he can't see how qualifications can be accepted after
the fact.
There being no further discussion, motion made by Bill Fair to approve
Resolution 88-24 which awards Project #88-01C to Richmar Construction,
Inc. for a bid amount of $221,630. Motion seconded by Don Blonigen,
motion passed unanimously.
18. Consideration of July Bills.
Motion made by Fran Fair, seconded by Warren Smith to approve the bills
for July.
In other matters, Economic Director 011ie Koropchak reported that a private
consulting firm has contacted her regarding a client which is interested in
locating in Monticello. The consulting firm requests an indication from the
City Council if it would be willing to utilize general fund money or tax
increment fund revenue to pay costs associated with establishing a financial
package necessary for the establishment of the company in the City of
Monticello.
Mayor Grimsmo noted that the $10,000 would be paid only if the company located
in the community. Bill Fair stated that he would support the concept of paying
the consultant for his work to get the company into Monticello only if the
company to be located here meets an acceptable standard in terms of employee
numbers and average wage. In addition, the company should not negatively
impact the quality of life in the community. Council incurred with Bill Fair's
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comments. At which time a motion was made by Fran Fair to allocate $10,000
from the general fund for potential payment of consulting fees associated with
locating the unnamed company to Monticello so long as the unnamed company meets
City standards. Motion seconded by Warren Smith and passed unanimously.
Respectfully Submitted,
Jeff O'Neill,
Assistant Administrator