City Council Minutes 07-10-2000MINUTES
- REGULAR MEETING - MONTICELLO CITY COUNCIL
Monday, July 10, 2000 - 7 p.m.
Members Present: Roger Belsaas, Roger Carlson, Clint Herbst, Brian Stumpf
Members Absent: Bruce Thielen
Mayor Belsaas called the meeting to order at 7 p.m. and declared a quorum present.
2. Approve minutes of June 26, 2000 regular council meeting.
BRIAN STUMPF MOVED TO APPROVE THE MINUTES OF THE JUNE 26, 2000
REGULAR COUNCIL MEETING. ROGER CARLSON SECONDED THE MOTION.
MOTION CARRIED UNANIMOUSLY.
3. Consideration of adding items to the agenda.
These items were requested to be added to the agenda: 1) Bondhus sewer
connection, 2) Transient merchant ordinance, 3) Carwash facility, 4) State Aid Variance Board,
5) Parks Tour and 6) Ordinance amendment.
4. Citizen comments/petitions, reauest and complaints.
None
5. Consent Agenda
A. Consideration of a request for a conditional use permit allowing a planned unit develop-
ment containing a multi -family structure with more than 12 residential units. Applicant:
Silver Creek Real Estate Development. Recommendation: Approve concept plan for a
PUD as a townhome project including a recommendation for the necessary ordinance
amendments to accommodate townhomes of the proposed density in the R-3 and CCD
Districts.
B. Consideration of rezoning from I-1 to I-1 A, Construction 5, Outlot A. Applicant: City
of Monticello Planning Commission. Recommendation: Adopt an ordinance
amendment to approve the rezoning of Outlot A, Construction 5 Addition from I-1 to
I-1 A.
Clint Herbst requested removal of Item #5A from the consent agenda.
ROGER CARLSON MOVED TO APPROVE THE CONSENT AGENDA WITH THE
REMOVAL OF ITEM #5A. CLINT HERBST SECONDED THE MOTION. MOTION
CARRIED UNANIMOUSLY.
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6. Consideration of items removed from the consent agenda for discussion.
The Council discussed Item #5A a planned unit development for townhomes on property
located along 7" Street. While both townhomes and multiple family dwellings are allowable
uses in the R-3 Zoning District, their density requirements are different. The Council was
being asked not only to approve the concept plan for a planned unit development but also
consider an amendment to the zoning ordinance that would set density requirements by zoning
district rather than by type of housing. Clint Herbst explained that at the Planning Commission
meeting reviewing this proposal the Planning Commission thoroughly discussed parking for the
proposed development. The consensus of the Planning Commission was that there should be a
minimum garage space of at least 400 sq. ft. per unit. While there is no garage space
requirement in the ordinance for the R-3 Zoning District, because this is a planned unit
development a garage space requirement could be imposed on the development. The
Planning Commission had also addressed non-resident parking and traffic flow patterns through
the development. Roger Carlson agreed that garage space was an important issue noting that
a one car family was something of a rarity in todays society.
CLINT HERBST MOVED TO APPROVE THE CONCEPT PLAN FOR A PUD AS A
TOWNHOME PROJECT INCLUDING A RECOMMENDATION FOR THE NECESSARY
ORDINANCE AMENDMENTS TO ACCOMMODATE TOWNHOMES OF THE
PROPOSED DENSITY IN THE R-3 AND CCD DISTRICTS. BRIAN STUMPF
SECONDED THE MOTION. MOTION CARRIED UNANIMOUSLY.
7. Consideration of proposals for sale of S1,64-5,000 G.O. Improvement Bonds, Series 2000B.
Mark Ruff from Ehlers and Associates reviewed the results of the proposals that were received
for the sale of $1,645,000 in general obligation bonds. Five proposals were received with Dain
Rauscher, Inc. having the low bid with an interest rate of 4.99%. Mark Ruff felt the interest
rate was reasonable and recommended approval of the bond sale.
BRIAN STUMPF MOVED TO ADOPT A RESOLUTION AWARDING THE SALE OF
$1,645,000 G.O. IMPROVEMENT BONDS, SERIES 2000B TO DAIN RAUSCHER, INC.
AS RECOMMENDED BY THE CITY'S FINANCAL CONSULTANT. ROGER CARLSON
SECONDED THE MOTION. MOTION CARRIED UNANIMOUSLY.
8. Consideration of authorizing execution of a letter of acknowledgment for TIF assistance
for redevelopment of the Klucas property.
011ie Koropchak briefly summarized the agenda item explaining that in January, 1999 the
Council had authorized excution of the Letter of Acknowledgment for TIF assistance for this
site. The requested TIF assistance would be for reimbursement for soils correction in the
amount of $10,000 and include 50% of the annual tax increment over a period of five years to
buy down the rents. However, the applicant at that time did not receive funding from the
Minnesota Housing Finance Agency and the project did not proceed. The current proposal
consists of the development of 32 units of townhouses with single garages and the developer
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would be applying to the City for approval of a planned unit development for this site. Larry
Olson from Metro Plains Development was in attendance and gave a slide presentation on the
proposed development and other properties developed by the firm. The question was raised if
approving the Letter of Acknowledgment for TIF assistance when there is not an approved
concept plan would bind the Council to the proposal presented. Clint Herbst stated that he had
reservations about using tax increment financing for housing. Brian Stumpf noted that while
this development would clear up a blighted area, he doubted whether any upscale housing
would be established on the site because of its proximity to the industrial area and the other
multiple family structures in the area.
BRIAN STUMPF MOVED TO AUTHORIZE EXECUTION OF A LETTER OF
ACKNOWLEDGMENT FOR TIF ASSISTANCE FOR REDEVELOPMENT OF THE
KLUCAS PROPERTY. ROGER CARLSON SECONDED THE MOTION. MOTION
CARRIED WITH CLINT HERBST VOTING IN OPPOSITION.
9. Consideration of making an offer to purchase the Jim Eisele property.
Previously the Council had discussed the acquisition of this property but did not proceed
with making an offer to the property owner. The owner is considering putting the property on
the market and the Council was being asked to consider the purchase of the property. It was
noted that there is need for the space by the Fire Department, Building Department and
storage of equipment for the Community Center and some possible use by the National Guard.
There was discussion on the use of the property, the earlier property appraisal and the market
value of the site. The Council also questioned whether its present use conformed with the
zoning ordinance and if the City did purchase the property whether the City's proposed use
of the site would comply with the ordinance. The Council discussed whether the appraisal
on the property should be updated. It was estimated that updating the appraisal would run
about $500-$600. Clint Herbst stated his belief that instead of spending this money for
additional storage space for the Fire Department the City might be better off applying this
money towards a satellite location for the Fire Department.
BRIAN STUMPF MOVED TO MAKE AN OFFER OF $130,000 FOR PURCHASE THE
EISELE PROPERTY. ROGER BELSAAS SECONDED THE MOTION. MOTION
CARRIED WITH CLINT HERBST VOTING IN OPPOSITION.
10. Consideration of authorizing preparation of a study examining_ potential development of a
second municipal liquor store at CSAH 75 and East County Road 39.
Deputy City Administrator, Jeff O' Neill, updated the Council on the discussions that have
taken place with the Brenni group regarding the development of the Ferrell Gas site and the
proposed expansion of the liquor store. Because the time frame needed for making decisions
on the expansion of the liquor store would not coincide with the development of the Ferrell Gas
site, it is unlikely that the liquor store expansion will take place as part of this development.
The staff was requesting the Council to consider authorizing a market study to determine
whether it was more feasible economically to expand the existing liquor store facility or
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develop a second liquor store site.
Roger Belsaas felt that existing liquor store site was not conducive to traffic coming off
CSAH 75. There was also discussion on whether it would be more cost effective to expand
the site as opposed to constructing a second site. The Council briefly discussed the various
options of renting, lease/purchase or owning the site directly. The general feeling was that
it would be more beneficial for the City to own the site. The Council reviewed the general
area that they thought would be appropriate for the location of a second store. Fred Patch
suggested that staff should bring back to the Council options for purchasing for certain parcels
as possible sites and that the Council should designate money to be used to hold the purchase
options open. The Council also addressed the interchange at County Road 18 and the impact
that would have on properties in that area.
CLINT HERBST MOVED TO AUTHORIZE CITY STAFF TO RESEARCH SITES FOR
A SECOND LIQUOR STORE LOCATION AND BRING BACK PROPOSED PURCHASE
AGREEMENTS TO THE COUNCIL AT THE NEXT COUNCIL MEETING. BRIAN
STUMPF SECONDED THE MOTION. MOTION CARRIED UNANIMOUSLY.
11. Update and discussion on land exchange negotiations with John Chadwick.
City Engineer, Bret Weiss, summarized discussions on the proposed land exchange between the
City and the property owner. Bret Weiss presented drawings showing the areas of the property
where the fill material was proposed to be mined. He noted that there was approximately 130
acres of usable land, 18-19 acres of ponding area and 13 acres of right-of-way. The questions
that were discussed included: 1) How much material is on site and how long would it take to
mine it; 2) What area of the site would the City propose to market first, and 3) How soon after
a site was marketed could utilities and streets be brought to the site. The Council concurred
with the IDC in that the property should be able to be developed in the near future and that
may not allow for mining operations on the entire site to be completed prior to development.
Bret Weiss noted that utility construction for the site would be impacted by which
portion of the site was developed first.
Clint Herbst asked about the Gold Nugget site. He felt that since there was no mining activity
being conducted there, it was a more marketable site. Not only could prospects see an area that
would be similar to the developed site but also there would be no mining activity that would
restrict or slow the installation of utilities to the site.
Negotiations on the land exchange will continue with the property owner being made aware of
the City's timetable for development.
Items added to theagenda:
John Bondhus had contacted the City regarding the Council's action on the sewer line affecting
his property. He questioned why the Council felt the need to take action on the sewer line at
this time. Mr. Bondhus would be in agreement with doing the work if the school wants to
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proceed with the project. The Council wants the staff to proceed with obtaining
all the easements necessary to complete the construction of the line so that the alignment of
pipe can be laid out even though it may not be constructed immediately.
The Council discussed the update from the City Administrator regarding the transient merchant
ordinance as it applies to vegetable/produce stands. Clint Herbst asked about parking space
requirements for the produce stands and if the ordinance would allow use of parking spaces
for a given business to be used for a separate business use on that same property. City
Administrator, Rick Wolfsteller, indicated that while the City could not impose license fees on
vegetable/produce stands it was not clear in the statutes whether the City could impose other
reasonable restrictions relating to traffic and zoning issues on the them or whether they are
exempt from all restrictions. Proposed revisions to the ordinance will be brought back at the
next Council meeting.
The Mayor reviewed information that was received from the League of Minnesota Cities
regarding appointments to the State Aid Variance Committee and asked if someone from the
City Council would be willing to serve. Clint Herbst indicated that he would serve.
The Council discussed the use of the carwash facility at the Monticello Ford dealership.
It was noted that the carwash is considered an accessory use to the dealership and has not
been opened to the public for general use. Should that use change, not only would the City
be collecting additional sewer and water service availability charges, but the use would have
to meet the provisions of the City ordinances.
The staff updated the Council on blight/nuisance enforcement and informed the Council
that the staff would be meeting with the City attorney to discuss the nuisance ordinance and
blight procedures.
Staff also requested that the Council call for a public hearing to be conducted by the Planning
Commission dealing with vehicles in excess of 9,000 lbs in residential areas.
ROGER CARLSON MOVED TO CALL FOR A PUBLIC HEARING TO BE CONDUCTED
BY THE PLANNING COMMISSION ON AUGUST 1, 2000 RELATING TO VEHICLES IN
EXCESS OF 9000 LBS IN RESIDENTIAL DISTRICTS. CLINT HERBST SECONDED
THE MOTION. MOTION CARRIED UNANIMOUSLY.
The Council was informed that the area that was being considered for a possible second liquor
store site was zoned PZM and that off -sale liquor was not an allowable use in a PZM Zoning
District.
12. Approve payment of bills for July, 2000.
BRIAN STUMPF MOVED TO APPROVE PAYMENT OF THE BILLS. ROGER
CARLSON SECONDED THE MOTION. MOTION CARRIED UNANIMOUSLY.
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13. Adjourn.
CLINT HERBST MOVED TO ADJOURN AT 9:15 P.M. BRIAN STUMPF SECONDED
THE MOTION. MOTION CARRIED UNANIMOUSLY.
Recording Secretary
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