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City Council Minutes 05-14-1990MINUTES REGULAR MEETING - MONTICELLO CITY COUNCIL Monday, May 14, 1990 - 7:00 p.m. Members Present: Ken Maus, Fran Fair, Warren Smith, Shirley Anderson, Dan Blonigen Members Absent: None 2. Approval of minutes. Item #8 on the April 23 minutes was corrected to include the vote of the Council. After discussion, motion was made by Shirley Anderson to approve the regular meeting minutes of the Monticello City Council held April 23, 1990. Motion included approval of the meeting minutes of the special meeting held January 29, 1990. Motion was seconded by Dan Blonigen and carried unanimously. 3. Citizens comments/petitions, requests, and complaints. Linda Smith of Little Mountain Flowers submitted a petition to the City Council requesting that the City regulate the commercial activity of transient merchants in the community. Smith noted that the retail merchants are concerned about the commercial survival of the businesses that must compete with transient merchants and scavengers who, for a small fee, are permitted to compete against the city -based retailers. Her concern was that the outsiders undercut local retailers with inferior merchandise and non-existent services. Smith requested that the City develop ordinances that control transient merchant activity. Mayor Maus thanked Linda Smith for the letter outlining the retailers concerns and noted that the City Council will bring this item up as a regular agenda item. 4. Consideration of appeal on a public nuisance order. Applicant, Luke Torell. Mr. Torell requested that the vehicle that he is storing behind his residence be allowed to remain there at least 90 days even though the vehicle is not operable and in violation of the public nuisance ordinance. Torell indicated that he does intend to get the vehicle in working order. Page 1 Council Minutes - 5/14/90 Fran Fair asked why Torell doesn't place the vehicle in the garage. Mrs. Torell indicated that the garage is filled with other items and cannot accommodate the vehicle. After discussion, motion was made by Dan Blonigen, seconded by Fran Fair, to provide Mr. Torell 60 days in which to comply with the public nuisance ordinance. Motion carried unanimously. 5. Consideration of a conditional use request to allow a daycare/ headstart program in an R-2 (single and two family residential) zone. Applicant, First Baptist Church/Wright County Community Action Headstart Program. Arlene Wirth of the Wright County Community Action Headstart Program was present to describe the daycare/headstart activity proposed for the Baptist Church site. Arlene noted that the facility is serving Monticello children who otherwise would need to travel to other communities to receive the headstart services. Ken Maus asked City staff if there might be a problem with the headstart student use of the nearby park area. John Simola noted that the park does not include a tot lot; however, he could see no reason why the children wouldn't be allowed to use the area as long as they are supervised. A local resident, John Holler, asked if the City would look into making the park bigger to accommodate the number of children that will be using the park from the headstart program. After discussion, motion was made by Warren Smith, seconded by Fran Fair, to grant the conditional use request allowing a daycare/headstart program in an R-2 (single and two family residential) zone. Motion carried unanimously. 6. Consideration of conditional use permit which would allow retail/commercial activity in a PZM zone. Applicant, JKMV Partnership/21st Century Builders. Mayor Maus relinquished the chair to Acting Mayor, Fran Fair. Assistant Administrator O'Neill reviewed the site plan and outlined the suggested conditions associated with this permit. He also noted that the Planning Commission had recommended approval of the conditional use permit subject to the applicant obtaining a variance which would allow the northerly most access onto Cedar Street to be located within 40 feet of the 5th Street right-of-way. Page 2 Council Minutes - 5/14/90 O'Neill also went on to note that during the excavation and grading of the site placing it in the condition it is today, material was deposited underground in an area along the northern boundary of the property. O'Neill informed Council that it is likely that some of this debris is located on the City 5th Street right-of-way. Dan Blonigen suggested that a condition be added to the permit which would require that the developer remove all debris material dumped on City right-of-way prior to issuance of a building permit. Fran Fair also noted that the debris material should be removed from the 5th Street right-of-way as a condition of the conditional use permit. After discussion, motion was made by Shirley Anderson, seconded by Dan Blonigen, to approve the conditional use permit subject to the following conditions: 1. Development of a final landscaping and berming plan creating effective transition between commercial and residential properties as determined by the City Planner. A bond in the amount of 100% of the cost to install berming and landscaping shall be provided to the City prior to issuance of a building permit. 2. Development of a retaining wall shall be accompanied by installation of a safety fence for the purpose of eliminating access to the edge of the retaining wall. The fence shall be made of weather resistant material and be at least 6 feet high. 3. Prior to issuance of building permit, drainage and retaining wall construction plans shall be approved by the City Engineer. 4. The southerly most access onto Cedar Street shall be aligned with 6th Street. 5. The northerly most access onto Cedar Street shall be moved 40 feet to the south of 5th Street, eliminated, or a variance allowing the access to be located at this point shall be obtained. Page 3 Council Minutes - 5/14/90 6. Applicant shall remove all debris previously placed on the 5th Street right-of-way along the northern boundary of the property. Removal process must be reviewed by City Inspector. Debris must be removed prior to issuance of a building permit. Voting in favor: Fran Fair, Warren Smith, Shirley Anderson, Dan Blonigen. Abstaining: Ken Maus. 7. Consideration of approval of preliminary and final plat of Kirkman Addition (K -Mart). Applicant, The Lincoln Companies. Assistant Administrator O'Neill described the preliminary and final plat of the Kirkman Addition and noted that the plat cleans up a complex set of metes and bounds legal descriptions. In addition, the plat development is a requirement of the development agreement between the City and The Lincoln Companies and is in sufficient compliance with the standards noted in the subdivision ordinance. Dan Kling of OSM suggested that one modification to the plat might include the outline of the area needed for on-site ponding. This area would be indicated as such on the plat and could not be used for any other purposes. Assistant Administrator O'Neill asked if the pond area identified on the plat would commit the City to any type of long-term responsibility for maintenance. Kling indicated that identification of the pond area on the plat would not necessarily require that the City be responsible for future maintenance of the pond area. After discussion, motion was made by Shirley Anderson, seconded by Warren Smith, to approve preliminary and final plat of the Kirkman Addition subject to placement of the identification of the pond area on the final plat. Motion carried unanimously. 8. Consideration of rezoning request of land south of realigned 7th Street right-of-way from PZM (performance zone mixed) to B-3 (highway business) zoning. Applicant, The Lincoln Companies. Assistant Administrator O'Neill reported that the proposed amendment to the zoning map calls for amending the zoning map to reflect the final alignment of the 7th Street right-of-way. Page 4 Council Minutes - 5/14/90 After discussion, motion was made by Warren Smith, seconded by Fran Fair, to adjust the zoning map in a manner reflecting the final alignment of the 7th Street right-of-way in the area of the Monticello Mall/K-Mart development. The land area between the original alignment and final alignment is to be rezoned from PZM to B-3 zoning. Motion carried unanimously. SEE ORDINANCE AMENDMENT NO. 191A. 9. Consideration of resolutions authorizing the sale of bonds for Tax Increment District 1-1 (7th Street Project) and refunding of 1983 G.O. Bond along with Meadows 2nd Addition phase II improvement. Catherine Polta reviewed the proposed resolutions authorizing sale of bonds. Administrator Wolfsteller noted that with the bid opening scheduled for May 18 for the improvement of 7th Street and Minnesota Street as part of the K -Mart project, it is now time to consider authorizing sale of bonds to finance these improvements as part of the City's Tax Increment District 1-1. The City has already incurred costs and land acquisition for the 7th Street alignment. With K -Mart now under construction, it is recommended that authorization be granted to sell bonds in the amount of $560,000, which is consistent with the adopted budget within the tax increment plan. According to the adopted budget, the tax increment revenue that will be generated from the K -Mart project will be sufficient to retire the bonded indebtedness and additional revenue will be available in the future from proposed assessments pertaining to Minnesota Street and 7th Street improvements paid by The Lincoln Companies and others. They can be utilized by the City for its improvement funds in the future. After discussion, motion was made by Fran Fair, seconded by Shirley Anderson, to approve a resolution authorizing bond sale for the 7th Street improvement project in the amount of $560,000. Motion carried unanimously. SEE RESOLUTION 90-19. Page 5 Council Minutes - 5/14/90 10. Consideration of adopting ordinance amendment which would allow operation of a prototype furnace using rubber products as fuel in an I-1 zone. Assistant Administrator O'Neill informed Council that the Planning Commission had recommended that the City adopt the ordinance amendment which would allow operation of a prototype furnace using rubber products as fuel in the I-1 zone on a 4 to 1 vote. O'Neill also went on to review the proposed conditions associated with the operation of the furnace. Ray Schmidt of Universal Equipment Manufacturing, along with Wes Sprunk, provided answers to Council's questions regarding the operation of the furnace. Schmidt noted that if approval is granted, his company will be occupying the structure in the near future and should be employing up to 20 people by next summer. Schmidt also went on to note that the conditions suggested by the Planning Commission are acceptable, and his company is willing and able to comply with all requirements noted. After discussion, motion was made by Shirley Anderson, seconded by Fran Fair, to approve an ordinance amendment establishing operation of a prototype rubber burning furnace incidental to a principal use as a conditional use in an I-1 zone provided that: 1. The furnace must meet all existing or future air emission standards as established by federal or state pollution control agencies. 2. Stack height must be high enough to eliminate potential of stack gases being trapped at the ground level by the effect of wind flow around buildings. 3. Before a date set by the City, furnace will undergo emissions testing on prototype furnace and applicant will apply for an air emission permit from the PCA even if exempt from PCA regulations. Furnace design must meet or exceed proportion requirements for a one million BTU furnace as required by the PCA. Failure of emission test during prototype development or failure to obtain permission to sell this product in Minnesota shall terminate conditional use permit. Page 6 Council Minutes - 5/14/90 4. Regular use of the furnace shall be limited to the heating season. Non -heating use of the system shall be limited to testing and demonstration. Furnace shall not be operated for the sole purpose of reducing waste tires. 5. A 6 -foot, 90% opaque fence shall be used to screen waste tire storage areas. No waste tires shall be in plain view. The site may not contain more than 75 unprocessed tires at any one time. The site may not be used as a tire transfer station. 6. Complaints made by area property owners about the furnace emissions may be sufficient cause for the City to withdraw the conditional use permit and, therefore, halt furnace operation. 7. Waste ash and particulate recovered, if deemed hazardous by the Pollution Control Agency at some time in the future, shall be treated at that time as hazardous waste and shall be disposed of in a manner approved by the City of Monticello and the Minnesota Pollution Control Agency. Motion carried unanimously. In reviewing the conditions above, necessary stack height is to be determined by the Pollution Control Agency given the characteristics of the area; and the date by which the testing of emissions is completed shall be established by City staff and dependent on the date by which the furnace begins prototype operation. SEE ORDINANCE AMENDMENT NO. 188. 11. Consideration of conditional use permit which would allow operation of a prototype furnace using rubber products as fuel. Motion was made by Fran Fair, seconded by Dan Blonigen, to approve issuance of a conditional use permit allowing operation of prototype furnace using rubber products as fuel subject to conditions noted by ordinance. Motion carried unanimously. Page 7 Council Minutes - 5/14/90 12. Consideration of a resolution awarding bids for Project 90-03, street and utility improvements for the Meadows 2nd Addition, phase II. After discussion, motion was made by Warren Smith, seconded by Shirley Anderson, to award the project to the lowest responsible bidder, which is Redstone Construction of Mora, Minnesota, in the amount of $81,899.55. Motion carried unanimously. SEE RESOLUTION 90-21. Motion was made by Shirley Anderson, seconded by Warren Smith, to adopt a resolution authorizing bond sale calling for refinancing of a 1983 Meadow Oak bond issue and the Meadows 2nd Addition improvements in the amount of $730,000. Motion carried unanimously. SEE RESOLUTION 90-20. 13. Consideration of accepting appraisal for park dedication purposes --West Prairie Partners plat. After discussion, motion was made by Fran Fair, seconded by Dan Blonigen, to provide the developers with two options for establishing the valuation of the development area. The City will accept the County Assessor's valuation for 1990 taxes at $17,200, or the City will accept the appraisal of the property by a third party independent of the original transaction and certified to do appraisals according to accepted standards. Voting in favor of the motion: Warren Smith, Fran Fair, Dan Blonigen, Shirley Anderson. Opposed: Ken Maus. 14. Consideration of a zoning amendment to amend the entire section of Chapter 18, Flood Plain Management Ordinance. Applicant, City of Monticello. Council was informed by staff that the City is required to amend the flood plain ordinance as requested by the Department of Natural Resources. In order for area residents to qualify for flood insurance, the City must be in compliance with all flood plain management regulations, which would be accomplished by updating the existing flood plain ordinance. After discussion, motion was made by Shirley Anderson, seconded by Warren Smith, to approve the amendment to the flood plain ordinance as outlined. Motion carried unanimously. SEE ORDINANCE AMENDMENT NO. 189. Page 8 Council Minutes - 5/14/90 15. Consideration of zoning ordinance amendment reducing convenience food parking requirement. Applicant, Shingobee Builders. O'Neill reported that Planning Commission conducted a public hearing on this matter and recommends approval of the proposed amendment outlined below. Planning Commission reviewed the technical data showing that the current ordinance requires parking in excess of the parking demand generated during peak periods experienced by convenience or "fast food" shops. O'Neill informed Council that Shingobee Builders requests that the City consider amending the parking requirements associated with convenience food establishments. The proposed reduction amounts to a significant reduction in the convenience food parking requirement and could be accomplished by placing the "convenience food" activity in the same parking requirement category as restaurants, night clubs, taverns, cafes, and private clubs serving food and drinks. O'Neill went on to note that according to the zoning ordinance, the Subway Sandwich Shop clearly meets the definition of a convenience food establishment; therefore, it appeared clear-cut that the sandwhich shop needed 60 parking spaces. After further investigation, it was found that the City of Monticello, in years past, has used the "restaurant" parking requirement when establishing the parking requirements associated with other "convenience food" establishments, including Wendy's and McDonalds. In light of this information, staff contacted the City Planner and researched other ordinances regulating parking associated with convenience food activity. O'Neill reported that convenience food parking requirements vary from city to city. Roseville, for instance, requires about the same number of convenience food parking spaces as is required by the existing Monticello ordinance. On the other hand, recent traffic studies indicate that the parking ratio for restaurants is adequate for convenience food activities; therefore, there does appear to be a rationale for reducing the convenience food parking requirement based on the traffic study. Ken Maus noted that the research on convenience food parking supports what the City has been doing. Dan Blonigen was concerned that the degree by which the ordinance is being amended is excessive. Page 9 Council Minutes - 5/14/90 Rick Wolfsteller noted to Council that the convenience food parking requirement originally applied to drive-in facilities, which require significantly more parking area than fast food establishments. The ordinance amendment proposed reflects changes in the delivery of this type of food service which no longer is typified by people eating food in their cars at the restaurant site. After discussion, motion was made by Fran Fair, seconded by Warren Smith, to amend the zoning ordinance by moving convenience food parking requirements from 3-5 (H), number of parking spaces required, Section 13, to Section 19. Voting in favor: Fran Fair, Ken Maus, Warren Smith, Shirley Anderson. Opposed: Dan Blonigen. SEE ORDINANCE AMENDMENT NO. 190. 16. Consideration of ordinance amendment deleting surety bond requirements for on -sale liquor license applicants. After discussion, motion was made by Fran Fair, seconded by Warren Smith, to amend the ordinance by deleting the surety bond requirement, as the City is not now required by the state to obtain a surety bond in the amount of $3,000 before issuing on -sale liquor licenses. Motion carried unanimously. SEE ORDINANCE AMENDMENT NO. 191. Administrator Wolfsteller noted that all applications for on - sale retail licenses still must file with the City and the state a certificate of liability insurance in an amount not less than $300,000, which should adequately protect the public. 17. Consideration of granting annual approval for municipal licenses. Ken Maus noted that some of the private clubs are actively advertising to the public, which is not consistent with their private club status and municipal license fee paid. Maus noted that with the issuance of private club liquor licenses, the license should include the provision that the establishment must not advertise or serve liquor to the general public. After discussion, motion was made by Shirley Anderson, seconded by Dan Blonigen, to approve the municipal licenses as outlined and include a reminder to the private clubs of their status and notify them that advertising liquor sales that are open to the public may result in the withdrawal or withholding of private club liquor licenses. Motion carried unanimously. Page 10 Council Minutes - 5/14/90 18. Consideration of sale of excess right-of-way at the intersection of service drive and East County Road 39 adjoining Lots 1, 21 31 4, and 19, Block 3, Hoglund Addition. Area residents affected by the proposed sale were in attendance. After discussion, motion was made by Warren Smith, seconded by Shirley Anderson, to sell the property on a contract for deed basis at $.25 per square foot. Terms of the contract are to include a 7 -year payback period at 8%. In addition, the area residents shall be responsible for the platting of the area affected by the sale. Motion carried unanimously. 19. Consideration of accepting a portion of annual sidewalk report and adopting a resolution setting a public hearing. After discussion, motion was made by Fran Fair, seconded by Shirley Anderson, to authorize staff to post warning signs at the location of substandard sidewalks and notify property owners of the disrepair of these sidewalks. Motion carried unanimously. It was the consensus of the Council to review the sidewalk system report at the next Council meeting set for Tuesday, May 29, and possibly set a public hearing for sometime in June 1990. 20. Other matters. After discussion, motion was made by Shirley Anderson, seconded by Fran Fair, to designate the south side of Broadway for Monticello Liquor to the intersection of Highway 25 as a 30 -minute parking area based on the finding that there is no immediate accessible parking for businesses in that area of the block, and the nature of the business (short-term convenience) dictates short-term parking while nearby business such as the Monticello Theater require longer term parking. Motion carried unanimously. (This motion was made formal by ORDINANCE AMENDMENT NO. 193 executed on 7/11/90.) There being no further discussion, the meeting adjourned. Jeff O'Neill Assistant Administrator Page 11