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City Council Minutes 05-13-1991MINUTES REGULAR MEETING - MONTICELLO CITY COUNCIL Monday, May 13, 1991 - 7:00 p.m. Members Present: Shirley Anderson, Dan Blonigen, Clint Herbst, Brad Fyle, Ken Maus Members Absent: None 2. Approval of minutes. After discussion, a motion was made by Brad Fyle and seconded by Shirley Anderson to approve the minutes of the regular meeting held April 22, 1991, and the special meeting held April 22, 1991. Motion carried unanimously. 3. Citizens comments/petitions, requests, and complaints. None forthcoming. 4. Consideration of an ordinance amendment allowing limited open sales and rummage and garage sale activity as an accessory use in the R-1 district. Assistant Administrator O'Neill reported that the Planning Commission recommends approval of the zoning ordinance amendment regulating limited open sales and rummage and garage sales in the R-1 district. The Planning Commission's recommendation is based on the finding that limited open sales activity and garage sale activity should be regulated in order to properly protect the character of residential areas. Excessive dse of private residential property for the sale of vehicles along with consignment sales and other large sales of a commercial nature serve to detract from the residential character of the R-1 zone. During discussion, Ken Maus noted some problems with the enforcement of the transient merchant ordinance. He noted that the Bridge Water Telephone parking area was being used as a station for selling live bait. Rick Wolfsteller said that he would contact the Sheriff's Department to determine what action was taken on this matter and to make sure that the Sheriff's Department has a full understanding of the City's transient merchant ordinance. After discussion, a motion was made by Shirley Anderson and seconded by Dan Blonigen to approve the adoption of an ordinance amendment establishing limited open sales and rummage and garage sales as an accessory use in an R-1 zone. The motion is based on the finding that limited open sales activity and garage sale activity should be regulated in order to properly protect the character of residential areas. Consignment sales and other large sales of a commercial nature Page 1 Council Minutes - 5/13/91 serve to detract from the residential character of the R-1 zone; therefore, such activity should be controlled. The proposed amendment will contribute to the ability of the City to regulate such sales; therefore, the ordinance amendment should be approved. Motion carried unanimously. SEE ORDINANCE AMENDMENT NOS. 208 AND 209. 5. Consideration of adopting a modified concept plan for extending city utilities to the elementary school site and to the Value Plus development site. Assistant Administrator O'Neill reviewed a concept plan outlined in the agenda supplement for extending and financing sewer, water, and road improvements to the new elementary school site and to the Value Plus development site. Shelly Johnson reported that the school district will be locating the elementary school in the southwest corner of the site, which means that the sewer line will be extended the full length of the school property along Fallon Avenue. The school will finance this expense. Johnson went on to note that he prefers that the roadway be installed by the fall of 1992. The school district will pay one-half the cost. Johnson reported that the Value Plus developers will be able to pay their share of the roadway by 1993. Value Plus representative, Tom Holthaus, was in attendance and concurred with this statement. Ken Maus suggested that the City look at upgrading Fallon Avenue along with this project. John Simola reported that the roadway is deteriorating and would likely need to be upgraded within the next five years. Maus emphasized that improving Fallon Avenue might be necessary in the future and that the school district should be aware of this possibility. Tom Holthaus was in attendance and requested that the City Engineer prepare grading plans associated with the Value Plus subdivision. Bret Weiss of OSM noted that ordinarily the City Engineer does not get involved with preparing grading plans associated with private development; however, in this case, given the complexity of the project and the need to integrate site grading work with road grades, it may make sense to combine the two projects. Weiss did suggest that the developer provide up -front money for the grading work to the City, with the City actually making payment to OSM for the grading plans prepared. It was the consensus of Council to approve the concept of authorizing the City Engineer to prepare the grading plan for the Value Plus development site. Page 2 Council Minutes - 5/13/91 It was also the consensus of Council to approve the concept plan for extending and financing utilities to the Value Plus development site as outlined in the staff report. 6. Consideration of r)etition for sanitary sewer feasibility Assistant Administrator O'Neill noted that Stuart Hoglund requested that the City conduct a feasibility study which would provide information regarding the cost to extend sewer and water to his property. Hoglund needs this information in order to sell his property or develop it himself. O'Neill stated that the estimated cost of $2,900 would be prepaid by Stuart Hoglund. If the feasibility report is ultimately used to design a construction project, the $2,900 to do the study would be deducted from the engineering fee for design of the project. This fee would then be incorporated into the overall project cost and then assessed back to the parties that benefit from the project. After discussion, a motion was made by Brad Fyle and seconded by Dan Blonigen to accept Hoglund's petition and authorize a feasibility study of sewer and water service to the Stuart Hoglund property contingent on the City receiving $2,900 from Stuart Hoglund. Motion carried unanimously. SEE RESOLUTION 91-11A. roll -around cart tyL�e containers. Public Works Director, John Simola, reported that an optional cart system would allow residents to continue to use their bags or existing garbage cans, or for a small rental fee switch to roll -around containers available in sizes from 65 - gallon to 95 -gallon. The cart system has proven to reduce litter, dress up a neighborhood, stop animal intrusion into garbage, and control the amount of rainwater entering the garbage system. Significant amounts of rainwater can enter the garbage. One only has to look around at the enormous amount of garbage cans in Monticello without lids and look at our garbage tonnage going into the landfill during wet weather to see that this is a factor. This becomes extremely significant when tipping fees reach $70 to $80 per ton, which is foreseeable in the next few years. Simola went on to review the two quotes, one from Zarn, Inc., direct and the other from Versa Cart utilizing 218 carts. Simola reported that for the pilot program purposes, Zarn, Inc., would not charge for the use of the carts; and if the City elects to move forward with the program, the initial 218 carts cost about $3,000 less than the bid submitted by Versa Cart. Simola went on to recommend that City staff be Page 3 Council Minutes - 5/13/91 authorized to begin the pilot program utilizing the Zarn, Inc., proposal at a cost of $0. At the end of the program, we would then present the Council with cost data from Vasko and prepare recommendations as to whether or not to implement the residential optional garbage pickup system using the 95 -gallon and 65 -gallon carts. Dan Blonigen asked what our commitment is to Zarn. John Simola reported that if we do not go ahead with the program, all we have to do is wash the carts that they have provided. Clint Herbst was concerned that the pilot study would show that the efficiency in collecting garbage will not be enhanced through the program and that ultimately it will cost the City more to operate the program. Herbst reminded the Council that the City recently eliminated two pickups per week service, and he was concerned about starting a program that might result in a further reduction of service level or result in a charge being paid by property owners for garbage pickup. Shirley Anderson noted that there is no financial outlay associated with the pilot program, and it appears reasonable to allow the program to proceed just for the sake of getting information on how successful it might be. After discussion, a motion was made by Shirley Anderson and seconded by Brad Fyle to authorize City staff to operate a pilot program for garbage pickup utilizing the cart system for a period of up to three months utilizing Zarn, Inc., at a cost of $0. Voting in favor: Ken Maus, Brad Fyle, Shirley Anderson. Opposed: Dan Blonigen, Clint Herbst. 8. Consideration of a resolution on the 1991 sidewalk improvement approving plans and specifications, authorizing advertisement for bids, and ordering a public hearing; and consideration of accepting the 1991 Sidewalk Inspection Report and ordering a public hearing on its contents. Council reviewed the sidewalk improvement plan for the 1991 improvement season and reviewed the inspection report submitted by the public works department. Dan Blonigen noted that the sidewalks proposed for Walnut should be located where it would not damage the existing trees. After discussion, a motion was made by Brad Fyle and seconded by Shirley Anderson to approve the plans and specifications for the 1991 sidewalk improvement project, authorize advertisement for bids, and order a public hearing on the improvement. Motion carried unanimously. SEE RESOLUTION 91-10. Page 4 4 Council Minutes - 5/13/91 Council reviewed the sidewalk inspection report. After discussion, a motion was made by Shirley Anderson and seconded by Clint Herbst to accept the sidewalk inspection report and order a public hearing on its contents. Motion carried unanimously. Consideration of appointing individuals to membership on the newly -established parks commission. Assistant Administrator O'Neill reported that four individuals have volunteered to serve on the commission. These include Larry Nolan, Dick Frie, Bruce Thielen, and Fran Fair. Ken Maus suggested that the parks commission, once established, be asked to search for the fifth member. Clint Herbst noted that everyone that has volunteered for the position is well qualified. Dan Blonigen was opposed to the appointment of Fran Fair to the parks commission. A motion was made by Shirley Anderson and seconded by Clint Herbst to appoint all four individuals, including Larry Nolan, Dick Frie, Fran Fair, and Bruce Thielen, to the parks commission. Voting in favor of the motion: Ken Maus, Brad Fyle, Shirley Anderson, Clint Herbst. Opposed: Dan Blonigen. 10. Consideration of further action regarding police commission appointments. Administrator Wolfsteller reported that to date the City has received two formal applications from individuals interested in serving on the commission, one from Curt Schmidt, the other from David Gerads. In addition, former Councilmember, Warren Smith, has expressed interest in serving on the commission. City Administrator Wolfsteller noted that it is not likely that additional advertisements will generate anymore interested parties. It was suggested that if a police advisory commission is going to be established, it appears that Council may have to personally contact and select other individuals to serve on the commission. Ken Maus suggested that the first task of the police commission might be to define the role of the commission and prepare bylaws for future consideration. Brad Fyle noted that he thinks there is a need for a police commission and that he would volunteer to serve on it. Shirley Anderson also indicated a willingness to serve on the commission. Page 5 Council Minutes - 5/13/91 After discussion, a motion was made by Clint Herbst and seconded by Brad Fyle to establish an ad hoc committee charged with defining the role and duties of a potential police commission, with Warren Smith, Curt Schmidt, David Gerads, along with Brad Fyle appointed to the committee. Dan Blonigen mentioned the policy dispute in Big Lake regarding the police response to heart attack victims in transport in private vehicles. Blonigen requested that City staff contact Don Hozempa and ask Hozempa what the current policy in Monticello is for assisting transport of heart attack victims either by transferring victims to squad cars or by providing an escort. 11. Consideration of purchase of additional pipe locator for the water department. John Simola reported that the water and sewer collection department currently has two locators. Simola noted that each locator has certain limitations. A signal generator or transmitter must be located near the search area. The operator cannot move any significant distance away from the transmitter. In addition, it is easily sidetracked by such things in the area as telephone lines, gas lines, and electric lines and often picks up false readings. Simola proposed to purchase an additional locator, which would be a Model 850 Metrotech. It is easier to operate, has a stronger signal, and is not susceptible to picking up false signals from piping or wires. The 850 will locate the exact spot of the obstruction, whereas the 810 may wander a few feet and gives only an approximate location. Simola reported that this item was placed in the budget in the amount of $2,300. Unfortunately, the purchase of a new special clamp is needed which adds to the expected cost; therefore, the purchase price is $2,650, which is $350 over budget. Brad Fyle noted that the existing equipment appears to be working well enough. It was his view that this is more of a "want" item than a "need" item. John Simola noted that the equipment proposed for purchase is much more accurate than the existing equipment. Dan Blonigen noted that despite equipment, he suggested that the cost of a new, updated locator. Page 6 the fact we have this type of accuracy is worth the added Council Minutes - 5/13/91 After discussion, a motion was made by Dan Blonigen and seconded by Shirley Anderson to purchase the Metrotech 850 from Davis Water Equipment with a special clamp and case at a price of $2,650. Voting in favor: Dan Blonigen, Shirley Anderson, Ken Maus, Clint Herbst. Opposed: Brad Fyle. 12. Consideration of advertisement for bids for emergency generator for the water and sewer collection department. This item was tabled until the end of the meeting. 13. Consideration of final payment to Arrigoni Brothers for the Monticello Streetscape project. John Simola reported that construction of the Monticello Streetscape project was finished in early summer of 1989. Final payment was dragged on due to unknown final quantities. Attempts to meet with the contractor during the summers of 1989 and 1990 failed due to lack of response from the contractor. After discussion, a motion was made by Shirley Anderson and seconded by Dan Blonigen to authorize final payment to Arrigoni Brothers for the streetscape project in the amount of $38,679. Motion carried unanimously. 14. Consideration of final payment to Minnesota Valley Landscape, Inc., for work on the Monticello Streetscape project. After discussion, a motion was made by Shirley Anderson and seconded by Brad Fyle to authorize final payment to Minnesota Valley Landscape, Inc., in the amount of $3,497.30. Motion carried unanimously. 15. Consideration to adopt a resolution calling for a public hearing to modify Redevelopment Project Plan No. 1, to modify TIF Districts 1-1 through 1-11 to establish TIF District 1-12 and the plans relating thereto. 011ie Koropchak reported that TIF District No. 1-12 is proposed as an economic district for Aroplax Corporation, which is a business that has been in existence for 43 years and is a family-owned business. The company is a plastic injection molding company now located in Minneapolis. Aroplax has a purchase option on the west 480 feet of Lot 3, Block 2, Oakwood Industrial Park. Aroplax proposes to construct a 22,400 sq ft concrete tool and production facility on Chelsea Road. The lot proposed for development is located to the east of the Minnesota Highway Department facility. Projected employment is 20-25 jobs. Page 7 Council Minutes - 5/13/91 After discussion, a motion was made by Shirley Anderson and seconded by Clint Herbst to adopt a resolution calling for a public hearing date of June 10, 1991, for the modification of the Redevelopment Project Plan and existing TIF district plans and establishment of a TIF District No. 1-12 and plan. Motion carried unanimously. SEE RESOLUTION 91-11. 16. Consideration to receive and accept the Annual Greater Monticello Enterprise Fund Report. Council reviewed the status of the Greater Monticello Enterprise Fund. After discussion, a motion was made by Brad Fyle and seconded by Clint Herbst to acknowledge the receipt and accept the Annual Greater Monticello Enterprise Fund Report. Motion carried unanimously. 17. Consideration to amend the Greater Monticello Enterprise Fund (GMEF) Guidelines and Economic Development Authority (EDA Bylaws. Economic Development Director, 011ie Koropchak, reviewed the proposed changes to the GMEF Guidelines and EDA Bylaws as proposed by the Economic Development Authority. After discussion, a motion was made by Clint Herbst and seconded by Brad Fyle to amend the fund guidelines by noting that 1) one job is equivalent to 37.5 hours per week; 2) establish a minimum fee of $200 but not to exceed 1.5% of total loan project; 3) include a requirement that prior to issuance of an approved loan, the City shall review and/or approve all contracts, legal documents, and intercreditor assignments; and 4) amend the meeting time for the Economic Development Authority to 7:00 p.m. Motion to include request that the EDA give consideration to preparing an amendment that would allow the City Council to conduct a preliminary review of loan applications prior to final approval by the EDA. Motion carried unanimously. 18. Consideration of dedicating Urban Development Action Grant funds to the Greater Monticello Enterprise Fund. 011ie Koropchak reported that the City annually receives funds from the Urban Development Action Grant program in the amount of $27,971. The City will be receiving an annual payment in this amount through December 1999. It is proposed by the EDA that these funds be committed to future capital needs of the Greater Monticello Enterprise Fund. Koropchak noted that the UDAG program requires that such funds be used for economic Page 8 Council Minutes - 5/13/91 development purposes and that committing UDAG funds to the GMEF program is a use of UDAG funds that is common in other cities. After discussion, a motion was made by Clint Herbst and seconded by Brad Fyle to authorize the commitment of UDAG repayment income to the Greater Monticello Enterprise Fund. Motion carried unanimously. 19. Consideration to authorize a commitment to maintaining a beginning balance of $200,000 for the Greater Monticello Enterprise Fund. 011ie Koropchak reported that the Economic Development Authority requests that Council maintain an annual beginning balance of $200,000 for the GMEF program. By establishing a commitment of $200,000 as the beginning balance annually, the Economic Development Authority would have funds available to make the program workable. Currently, there is no commitment to maintaining a minimum balance or loan commitment level, which limits the flexibility of the GMEF program. It was suggested by Koropchak that the minimum balance of $200,000 could be achieved by appropriating the remaining balance of the original $200,000 commitment, which is $62,000, plus the appropriation of UDAG funding available at $90,000, plus an additional appropriation of $48,000 from the liquor fund. Koropchak reminded Council that the proposal does not require that the funds be transferred to the EDA, it only provides a commitment that those funds would be available in the event that they are needed. After discussion, a motion was made by Dan Blonigen and seconded by Clint Herbst to approve an additional appropriation from the liquor fund of $48,000 and authorize a commitment to provide a beginning balance of $200,000. Motion carried unanimously. 20. Consideration of renting or demolition of the recently_ acquired house adjacent to City Hall. This item was tabled for further review by Council members. It was suggested that each Council member visit the property prior to further action on this matter. 21. Consideration of approval of plans and specifications for 1991 sealcoat project and authorization to advertise for bids. A motion was made by Shirley Anderson and seconded by Dan Blonigen to approve the specifications as drafted with the new project scheduled and authorize advertisement for bids with an anticipated cost of $45,000. Motion carried unanimously. Page 9 Council Minutes - 5/13/91 22. _Consideration of approving lease agreements for Food Shelf and Christian Social Services' use of old fire hall. Rick Wolfsteller reviewed the terms of the proposed lease agreement. After discussion, a motion was made by Shirley Anderson and seconded by Dan Blonigen to approve the lease document as presented. Motion carried unanimously. 12. Consideration of advertisement for bids for emergency generator for water and sewer collection department. John Simola reported the need to purchase an emergency generator for use in conjunction with maintaining water levels in the water tower and to power certain lift stations in the event of a power outage. Simola reported that there are sufficient funds budgeted for this item. The amount budgeted for 1991 was $35,000. After discussion, a motion was made by Shirley Anderson and seconded by Dan Blonigen to approve the specifications as presented and authorize advertisement for bids to be returned May 28, 1991. Motion carried unanimously. There being no further discussion, the meeting was adjourned. ...►," r/ Jeff O'Neill Assistant Administrator Page 10