City Council Minutes 03-02-1998 SpecialMINUTES
SPECIAL MEETING - MONTICELLO CITY COUNCIL
Monday, March 2, 1998 - 7 p.m.
Members Present: Bill Fair, Clint Herbst, Brian Stumpf, Roger Carlson, Bruce
Thielen
Members Absent: None
2. n i i n f r in H i i i n in i n fin n' n f
h mm n' n r inin nt r.
Assistant Administrator Jeff O'Neill reported that the small group charged
with establishing a common concept for design and financing of the
community and training center agreed on many paints but did not come to an
agreement on the financing program. Following were the areas agreed upon
by the small group:
1. The basic design and mix of uses as recommended by the task force.
2. The leisure pool and light fitness areas are important ingredients to a
successful community center.
3. Downtown redevelopment and the comprehensive plan are well
supported by the proposed location.
4. Other funding sources such as liquor store revenue and available TIF
dollars should be used to defray the tax impact. The concept of
establishing a sales tax should be shelved.
5. Reductions in the amount of $5QQ,000 could be accomplished without
negatively affecting the design.
6. The latest finance plan alternatives included estimated operation
expenses not covered by operation revenue.
Two options were proposed by the small group for Council discussion. The
first option proposed building the core facility using lease revenue bonds and
allowing residents to vote on construction of a water park using general
obligation bonds. The second option was to build the core facility and the
water park using lease revenue bonds. In lieu of sales tax, bath options
proposed the use of tax increment financing and liquor store revenue.
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Special Council Minutes - 3/2/98
Assistant Administrator O'Neill reported that the City Administrator
recommended that because the water park would be vital to development of
an active community center and would add a small percent to the cost of the
project when considering operation cost/expense, from a business and
community development standpoint, the best option would be to build the
entire project under the lease revenue option. However, it was pointed out
that Council may wish to conduct a vote on a portion of the project for
legimate public policy reasons.
Rusty Fifield of Ehlers & Associates reviewed the proposed financing options,
which included building the core facility and voting now on the water park,
with a total project cost of $9,379,239; building the core facility and delaying
the vote on the water park, with a total project cost of $6,985,$68; and
building the core facility including the water park, with a total project cost of
$9,379,239. Mr. Fifield also noted that the information presented in the
n i 11 'm was incorrect in that the table included the projected tax
impact of the wastewater treatment plant and the operations costs of the
community center rather than just the impact of the community center.
The Council then accepted comments and questions from the public.
Public comments included concerns regarding operation cost, increased tax
burden for citizens, individual financial responsibility of the Council
members for the City's financial condition, duplication of facilities and
competition with the Life Fitness Center, and the impact of the community
center on fire station operations. Comments favoring the community center
were also made, with many requesting that the water park be included since
it would generate revenue to help offset the cost.
AFTER DISCUSSION, A MOTION WAS MADE BY CLINT HERBST AND
SECONDED BY BRIAN STUMPF TO PUT THE ENTIRE COMMUNITY CENTER
PROJECT TO A REFERENDUM UNDER GENERAL OBLIGATION BONDS.
Voting in favor: Clint Herbst, Brian Stumpf. Opposed: Bill Fair, Roger
Carlson, Bruce Thielen. Motion failed.
A MOTION WAS MADE BY ROGER CARLSON AND SECONDED BY BRUCE
THIELEN TO REQUEST HRA FUNDING USING LEASE REVENUE BONDS TO
BUILD THE CORE FACILITY AND THE WATER PARK, AND INCLUDE THE USE
OF LIQUOR STORE REVENUE AND TAX INCREMENT FINANCING AS
DESCRIBED IN THE FINANCE WORKSHEET UNDER ALTERNATIVE #2.
COUNCILMEMBER BRUCE THIELEN MOVED TO AMEND THE MOTION TO
LIMIT THE AMOUNT OF LIQUOR STORE REVENUE USED FOR COMMUNITY
CENTER FINANCING TO $200,000 AND ADJUST THE LEASE REVENUE BOND
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Special Council Minutes - 3/2/98
ACCORDINGLY. AMENDMENT WAS SECONDED BY ROGER CARLSON. Voting
in favor of the amendment: Bill Fair, Roger Carlson, Bruce Thielen.
Opposed: Clint Herbst, Brian Stumpf. Motion for amendment carried.
Voting in favor of amended motion: Bill Fair, Roger Carlson, Bruce Thielen.
Opposed: Clint Herbst, Brian Stumpf. Motion carried.
3. n i r f r l i r' n r L n fill Pr '
Mayor Fair requested that Council consider approving a letter to the Wright
County Board of Commissioners opposing the massive expansion of the
Superior Landfill.
A MOTION WAS MADE BY BRUCE THIELEN AND SECONDED BY CLINT
HERBST TO SUPPORT THE LETTER AS DRAFTED AND DIRECT STAFF TO
SEND THE LETTER TO THE WRIGHT COUNTY BOARD OF COMMISSIONERS.
Mr. Wayne Yonak, former owner of the landfill, noted his concern regarding
the City's letter opposing the expansion. It was his view that many questions
remained unanswered and that additional meetings between the County and
the landfill owners should be held to address those questions and concerns.
Motion carried unanimously.
4, ni r i r 1 in 'n nnx in n 'hMn'
TQwnshin.
City Attorney Dennis Dalen reviewed the proposed City/Township joint
resolution regarding annexation and noted that any motion made by Council
should be subject to review of exhibits by the City Attorney and City Planner
since they were not available at this time.
A MOTION WAS MADE BY CLINT HERBST AND SECONDED BY BRUCE
THIELEN TO APPROVE THE ANNEXATION AGREEMENT CONTINGENT UPON
EXHTBITS BEING REVIEWED BY THE CTTY ATTORNEY AND CITY PLANNER.
Motion carried unanimously. SEE RESOLUTION 98-7.
A MOTION WAS MADE BY BRIAN STUMPF AND SECONDED BY ROGER CARLSON TO
ADJOURN THE MEETING.
-, ,~ ^ ~~
Karen 1~oty
Office Manager
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