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City Council Minutes 08-09-2004 WorkshopMINUTES WORKSHOP MEETING- MONTICELLO CITY COUNCIL LIBRARY EXPANSION Monday, August 9, 2004 - 6:00 p.m. Members Present: Roger Carlson, Glen Posusta, Brian Stumpf and Bruce Thielen. (Robbie Smith arrived late) Members Absent: None 1. Call to Order. Mayor Thielen called the meeting to order at 6:15 p.m. Also present at the meeting were Ed Kodet Jr. from Kodet Architectural Group Ltd., Jacque Gordon and Sandra Foster from the Monticello Library Board and Margo Askin, librarian. 2. Review and discussion of proposed expansion plans. Ed Kodet. reviewed some of the planning work that has been done to date and noted the key statement in this project is "how the library works." " How the library works" is part of the total master plan. Mr. Kodet stated that the original RFP was for a 3,000 sq. ft. expansion and what they are proposing is a little less than that in footage but is more efficiently laid out. Mr. Kodet noted that a public library looks, feels and works differently than a bank. Ed Kodet stated that one person should be able to manage the entire building. For this reason they are proposing to change the entrance of the building. It is also suggested that the office/work area be moved to the area of the building adjacent to where the drive through for the book drop-off is located. He noted that there is an area that is proposed for program space but this space could also be leased for a coffee shop. The expansion covers a number of additions and some remodelling. One expansion would be 1,000 sq. ft. to the west; another addition would be to the south where the courtyard is now and one small expansion area of 166 sq. ft. This would come to approximately 2,800 sq. ft. Expanding further to the west which could add 3,800 sq. ft. would be in the next expansion phase. Bruce Thielen asked if the canopy would have to come off. Ed Kodet stated that there is nothing that they have seen that indicates whether the canopy is insulated. Ed Kodet felt that in Phase I1 the canopy would be removed. Ed Kodet said when you go to Phase 11 you would need to sprinkle the whole building and then the clearance in the canopy area would create some problems as far as duct work. Ed Kodet said the most important aspects of the expansion was the work space along the drive through area. Ed Kodet presented a budget analysis and noted that once a design has been approved more detailed cost estimates can be arrived at. The existing building as 5,900 sq. ft. The addition/remodeling estimates range from $494,200 to $610,210.00. This is based on the assumption that with the expansion they could still use the existing mechanical system. Ed Kodet noted that Phase II expansion could be done as a shell. It is estimated that removing the canopy would run between $10,000415,000. Bruce Thielen asked how construction costs are coming in and if their firm felt confident in their cost estimates. Ed Kodet noted that concrete is being rationed in some states so factors like that could influence pricing. Bruce Thielen asked if the architect could get alternate bids so the Council could chose which items they want done. Brian Stumpf asked how long the Phase I project expansion would last before the City would need to look at their next expansion. Jacque Gordon, Monticello Library Board, indicated that from discussions with staff and other board members it was felt that they would be looking at Phase II expansion after five years and that the City Council might feel it would be reasonable to look at doing the shell. Margo Askin stated that the expansion would make better use of the existing space even if the added space was not the full 3,000 sq. ft. originally proposed. Sandra Foster said this plan would set the foundation for future expansion. Rick Wolfsteller noted that furniture, equipment and architect fees are in addition to the $500,000 budgeted. Glen Posusta stated he is not sure about tearing the canopy down and he expressed his concern about constructing a shell because then the City is committed to that layout and there is the possibility that something could change. Bruce Thielen stated he was on the Library Board when discussion were held on remodeling the old library building. He noted a considerable amount of money would have had to be spent just to keep the mold out and the building would have had required substantial repairs. While he was somewhat disappointed that the canopy couldn't be used, he felt the if the expansion better utilized the space and met the needs of the library that should be the emphasis. John Simola asked if there was expansion to the west, could the existing mechanical system handle the expansion. Ed Kodet thought they would need another system although there might some capacity in the existing system as far as the boiler but not for the air conditioning. Bruce Thielen asked what the City was being asked to do tonight. Ed Kodet stated that the Library Board felt comfortable with the Phase I work. The question is on Phase II. Ed Kodet said the existing building is a good building but he did question the use of the canopy area partly because of the perimeter drains. The question is whether the City can get by without their plan of using the canopy area. Bruce Thielen didn't have a problem if they had to remove the canopy. Fred Patch stated that if budget was not a consideration he would like to proceed with all phases as planned Bruce Thielen asked if they should approve plans and specs for the shell as an alternative. In either case it is likely the canopy will be gone. Ked Kodet said estimates will be provided along the way. Consensus was to proceed with this plan with the canopy being removed and the shell being constructed and come back to a future council meeting to ask for approval of the plans and specifications. Workshop closed at 7:00 p.m. Recording Secretary MINUTES WORKSHOP MEETING - MONTICELLO CITY COUNCIL CSAH 18/1-94 INTERCHANGE Monday, August 9, 2004 - 5:00 p.m. Members Present: Roger Carlson, Glen Posusta, Brian Stumpf and Bruce Thielen. Members Absent: Robbie Smith. 1. Call to Order. Mayor Thielen called the meeting to order at 5 p.m. Also present at the meeting were Bret Weiss and Doug Weiszhaar from WSB and Associates. 2. Review of CSAH 18/1-94 Interchange Project. Jeff O'Neill stated that the City is at the point where they need to authorize certain actions to keep this project schedule going. These actions include authorizing plans and specifications, authorizing appraisals, determining assessments and costs, and authorize land acquisition. Bret Weiss identified a number of projects that would be done as part of the overall interchange project. These include: 1) The South Frontage Road; 2) Chelsea Road Reconstruction; 3) Fallon Avenue Overpass; 4) 7th Street Extension; 5) Construction of the north/south road between 7th Street and CSAH 75. A north frontage road is also proposed but is not included in the cost estimates for this project. This project came about because MnDOT started talking about changing their bridges. MnDOT switched engineers and is no longer looking at changing their bridges. The City has urged MnDOT to continue with the interchange project. Bret Weiss noted that a developer has an interest in the Bondhus/Dahlheimer property so there is development proposed in the area of the interchange. Bruce Thielen noted that the City owns a piece of the property in the area for a trail and that could be utilized in the north frontage road project. Glen Posusta asked if the residents in the area were aware of the north frontage road that was being proposed. Bret Weiss noted that this is just a schematic drawing and has not been designed out. Brian Stumpf asked about the bridge overpass and if it would affect the new pathway bridge. Bret Weiss indicated that the pathway bridge would not be affected. Bret Weiss reviewed the component projects. The South Frontage Road would be designed this year and constructed in 2005. 7th Street and the North/South Street would be designed over the winter with a spring plan approval and construction in 2005. Some trunk sanitary sewer that is necessary would be bid in late fall with construction completed by June 2005. The design work for the CSAH 18 interchange would begin this fall with the contract awarded in late summer of 2005 and construction to take place from September 2005 through Council Special Meeting Minutes - 8/9/04 September 2006. The time frame for the Chelsea Road improvement and the Fallon Avenue Overpass called for design work being done in 2005 and construction in 2007. Brian Stumpf asked with the CSAH 18 interchange completed how important was the construction of the Fallon Avenue overpass. Bret Weiss indicated that the federal highway is looking for a commitment form the City to build the Fallon Avenue overpass and the north/south road. If these are not built, then MnDOT will not build the interchange. Doug Weiszhaar stated that MnDOT is not requiring a specific date that these road wills be built but they want to know that they are in the City's plan. This is required as part of the interchange approval. John Simola asked if any progress had been made in getting the easements needed for the sanitary sewer line. John Simola also asked about access from the St. Benedict's site. St. Benedict's stated they did not want to share an access with heavy truck traffic. Brian Stumpf felt the 7t' Street extension is very important especially where 7t" Street and Minnesota street meet. The 7t" Street extension would be $500,000-$750,000. With Chelsea Road you have link on the south side of the freeway and with 7t" Street you have a link on the north side. Bret Weiss stated that if these streets are done when development is taking place, a higher percentage of the improvement cost can be assessed against the developer. Glen Posusta felt getting the access across the railroad track was important and wanted to know the status of that. City Attorney, Matt Brokl updated the Council on the current status. The railroad company has sent a letter saying that if one access is closed they will agree to another. Doug Weiszhaar also brought up Freeway Fields. The slopes of the ramp would extending 10' to 20' feet into the ballfields. There are two ways MnDOT could proceed 1) acquire the property from the City; or 2) temporary easement for construction. Doug Weiszhaar said the problem with MnDOT acquiring the land is because the area is used for recreation, a special procedure needs to be followed. He felt the best thing to do would be to allow MnDOT to proceed on a temporary construction easement. Brian Stumpf asked the Council's opinion on the extension of 7t' Street on the west end. Bruce Thielen suggested that perhaps some of the funds from the sale of the Remmele property could be utilized for the 7t' Street extension. Brian Stumpf felt the Council should direct Rick Wolfsteller to get cost estimates for the extension and look at funding options. Glen Posusta said he felt if the City is pushing for it they should pay for it. Bruce Thielen stated that for some of the improvements proposed there is not development taking place that is looking for these improvements. Brian Stumpf stated it was a transportation issue. John Simola asked about the demolition of the Kramer house and if the 7" Street extension should be included as part of this project cost. Construction of the interchange project is to start September 2005 and be completed in 2006. The purpose of the South Frontage road would be as bypass route for roughly 6-8 months. Ryan Companies development would be opening approximately October of 2006. John Simola asked what assurances the City would get from Ryan Companies that they would 2 Council Special Meeting Minutes - 8/9/04 commit to construction. Matt Brokl indicated the City would get agreements from the developers. Rick Wolfsteller questioned whether the waivers should be obtained before the project proceeds further. John Simola asked if the developer was uprooting any of the cost. Bret Weiss said this has not been discussed yet in any detail. Property acquisition will proceed once the appraisal work is completed. John Simola asked whose parcels were needed. Bret Weiss indicated land would have to acquired from Resurrection Lutheran Church, Shawn Weinand, the School District, Liberty Bank and AVR. All property acquisitions would need to be acquired by April 2005. Appraisals would need to be back by December so that the quick take process can be initiated Rick Wolfsteller indicated that the cost for doing the Fallon Avenue Overpass would have to be included in the money borrowed for the rest of the project because by itself there is not 20% of assessment. Matt Brokl indicated that the Church was not in favor of the overpass. Rick Wolfsteller covered some financial concerns. Based on the City's share of the project being approximately 13.8 million plus uprooting the cost for the County's share of the project as well uprooting MnDOT's share for a number of years until the City is reimbursed would make it necessary to bond for 23.7 million. About 7.5 million would have to come from taxes if 23 million is borrowed. This means $725,00 per year would have to be levied in taxes. He noted a development like the one proposed by Streeter/Ryan Companies would generate $150,000 a year in city taxes to offset the $725,000 needed each year. Bret Weiss stated that Fenning Avenue was the area that was getting the best houses and he felt the interchange would increase their property values. Bret Weiss didn't want people to thing that the interchange was being done for the Streeter development alone. Glen Posusta asked if Hawk's or Liberty Bank were going to derive any benefit from the interchange improvement. Glen Posusta questioned the fairness of the amount being assessed. Glen Posusta felt the developer should be paying more. Glen Posusta stated the City didn't kick in any money for improvements on this side of the freeway. Bret Weiss noted that the City picked up 3-4 million on cost for the TH 25 improvements. Glen Posusta was also concerned that this would add a lot to the City's taxes and the City's tax rate would remain high. Bret Weiss pointed out that there are advantages in doing the interchange at this time rather than doing it in the future, primarily because there is development ready to take place that can pick up some of the cost. Brian Stumpf asked about 30 million in bonded debt. Rick Wolfsteller noted that within 10 years the majority of the debt would be paid off. Brian Stumpf asked about the Orchard Road interchange and where that fits into place. Bret Weiss indicated that until development steps up to pay for the Orchard Road interchange not much would happen there. Development could be ten years out or as much as twenty years out. Matt Brokl stated that one of the risks of not doing the interchange project now is that property will develop and no undeveloped property will be left at the time the interchange goes in. 3 Council Special Meeting Minutes - 8/9/04 Bret Weiss stated the Council is being asked to authorize surveying and geotechnical work and go out for appraisals. At the next meeting the Council would be asked to authorize plans and specifications. Rick Wolfsteller asked about getting an agreement from the property owners. MnDOT has an agreement in writing to fund certain components of the project. Whatever the cost is for those components that is what the state will pay. Bret Weiss indicated that Patch and Messner would be the appraisal firm. Out of a total estimated project cost of $28,819,041, approximately $4,300,000 could be assessed. MnDOT would pick up $3,601,576; the County's share would be $1,857,427; sewer trunk charges would fund $2,9701000 and the City would pick up $13,857,909. Bruce Thielen queried the Council on their reaction to the interchange proposal. Roger Carlson questioned the debt amount and whether Moody's had standard amounts for debt for communities the size of Monticello. Rick Wolfsteller noted that while the City is bonding for 20 million 6-7 million would have to come from taxes. Bruce Thielen suggested going back to look at what dollars are being generated by development taking place. Glen Posusta said on one hand he would like to see development take place but it bothers him the taxpayers have to pay for this to happen. Bruce Thielen stated that proceeding with this project is a certain leap of faith because you don't know what the spinoff will be. Brian Stumpf said the City has gone too far to back out now. Matt Brokl said the biggest risk will come two weeks from tonight when the Council authorizes plans and specifications. The workshop closed at 6:15 p.m. �)Ckj `rte 5 Recording Secretary 11