City Council Minutes 09-28-1998
MINUTES
REGULAR MEETING - MONTICELLO CITY COUNCIL
Monday, September 28,1.998 - 7 p.m.
Members Present: Bill Fair, Clint Herbst, Brian Stumpf, Roger Carlson, Bruce Thielen
Members Absent: None
2. At~t~roval of minutes of ~1~~_re~,ular meeting held Sentember 141199$.
Councilmember Roger Carlson requested that the motion for item # 15 be changed to
show that he abstained from the vote.
A MOT10N WAS MADE BY BRIAN STUMFF AND SECONDED BY BRUCE THIELEN TO
APPROVE THE MINUTES OF THE REGULAR MEETING HELD SEPTEMBER 14, 1998,
AS AMENDED. Motion carried unanimously.
Consideration of adding items to the agenda.
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A. Consideration of a resolution re ue in xamination of commun't n r
financin b Office of the St i r.
Rusty Fifield of Ehlers & Associates reported that citizens circulated and
submitted to the City Administrator and County Auditor a petition asking the
State Auditor to investigate the community center financing. However, the State
Auditor cannot receive the petition for 30 days pending verification of names on
the petition. Waiting far completion of this process would result in winter
ground-breaking, which could increase costs by 5% (approximately $400,000)
due to lowered municipal bond rates or an increased interest rate. It was,
therefore, suggested that the City adopt a resolution initiating the audit
immediately in order to maintain the construction time table and preserve the
current interest rate.
AFTER DISCUSSION, A MOTION WAS MADE BY BRUCE THIELEN AND
SECONDED BY GLINT HERBST TO ADOPT THE RESOLUTION REQUESTING
EXAMINATION OF COMMUNITY CENTER FINANCING BY T.HE OFFICE OF
THE STATE AUDITOR. Motion carried unanimously.
SEE RESOLUTION 98-40.
4. Citizens comments/ etitions re d com Taints.
None.
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Council Minutes - 9/28/98
5. Consent agenda.
City staff recommended that item SC be removed from the consent agenda for discussion.
A. Consider tin f a intin additional election ' es for the General El i n.
Recommendation: Appoint the following residents as additional election judges
for the 1998 General Election:
Sandy Suchy
Mary Daniels
Elaine Nelson
Nicole Shepperson (trainee judge)
B. onsideration of annual sidewalk in ction re ort. Recommendation: Accept
the 1998 Annual Sidewalk lnspection Report, along with the recommendation for
immediate repair of trouble spots and notification to property owners of tree
maintenance required.
G Cons' i n f acce tin bids and awar in contract on Hillsi emeter
fence, Project 98-22C. Removed from the consent agenda for discussion.
D. C nsid i n of ado tin a resolution a r vin submittal of a R develo meat
r A lication to Minnesota Tra Economic Devel meat.
Recommendation: Adopt a resolution supporting submittal of a Redevelopment
Grant Application to the Minnesota Trade and Economic Development.
SEE RESOLUTION 98-41.
A MOTION WAS MADE BY BRUCE THIELEN AND SECONDED BY ROGER CARLSON
TO APPROVE ITEMS SA, SB, AND SD OF THE CONSENT AGENDA AS
RECOMMENDED. Motion carried unanimously.
6. Consideration of ite r moved from the conse nda for discussion.
SC. n i eration of acce tin bids awardin contrac n Hillside Cemete
fence, Project 98-22C.
Public Works Director John Simola reported that the plans and specifications for
the Hillside Cemetery fencing, including three 15-ft gates, were based on three
basic concepts: 1) solid wrought iron with tubular square steel posts with an
option for galvanizing prior to painting; 2) tubular square steel fencing and posts,
galvanized and painted; and 3) aluminum tubular square steel fencing and posts,
painted.
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Council Minutes - 9/28/98
Bids were received on September 25, 1998, with the lowest bid from Town &
Country Fence of Brooklyn Park for aluminum fencing without decorative finials
for a total of $48,227. Additional bids were received for wrought iron fencing
without finials for $55,930.58 and an aluminum fence with brass decorative
finials for $59,155.51.
AFTER DISCUSSION, A MOTION WAS MADE BY BRUCE THIELEN AND
SECONDED BY BRIAN STUMPF TO AWARD THE HILLSIDE CEMETERY
ORNAMENTAL FENCING PR07ECT TO TOWN & COUNTRY FENCE BASED
UPON THEIR PROPOSAL FOR ALUMINUM FENCING AT A LUMP SUM COST
OF $48,227. Motion carried unanimously.
7. Public Hearin --Con i r ti n of resolution a rovin 1 sands ecifications an
authorizin adv i m nt for bids -Wildwood R' ubdivision.
City Engineer Bret Weiss reported that the proposed project includes extension of
sanitary sewer, water main, and storm sewer improvements for the Wildwood Ridge
subdivision and would also serve the Ralph Hermes property and the proposed Rolling
Woods subdivision. According to the development agreement, the Wildwood Ridge
developer would pay at least one-third of all costs identified; however, the Hermes and
Rolling Woods parcels would not be assessed for their portion of the cost until they were
annexed to the city.
Council discussed interest accrual for the properties not assessed at this time. City
Attorney Dennis Dalen noted that the City cannot charge more than the actual cost of the
project; however, he would research whether the City can assess the interest amount paid
by the City prior to annexation.
Mayor Fair opened the public hearing.
Ralph Hermes stated that he still has a contract with Orrin Thompson Homes for purchase
of his property but did not know what their intent was at this time. He requested that the
City provide him with a statement in writing that his property would not be assessed at
this time and what the future assessment would include.
There being no further public comment, the Mayor closed the public hearing.
A MOTION WAS MADE BY BRIAN STUMPF AND SECONDED BY ROGER CARLSON
TO ADOPT A RESOLUTION APPROVING PLANS AND SPECIFICATIONS AND
AUTHORIZING ADVERTISEMENT FOR BIDS FOR EXTENSION OF UTCLITIES TO THE
WILDWOOD RIDGE SUBDIVISION. Motion carried unanimously.
SEE RESOLUTION 98-42.
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Council Minutes - 9/28/98
8. n iderati n f c unteroffer for the urchase of the i hall ro ert and ad'acent lots
and consideration of a separate offer for the purchase of vacant lots.
City Administrator Rick Wolfsteller reported that at the previous meeting, Arve and Jean
Grimsmo offered $450,000 for the purchase of city hall and all City-owned parcels within
the same block, to which the Council then made a counteroffer of $477,500. Following
that Council meeting, Mr. Bob Mosford expressed an interest in finding a suitable site for
construction of an office/professional building and inquired as to whether the lots on
Third Street were for sale and what the City's asking price might be. Once Mr. Grimsmo
rejected the City's counter proposal and presented an additional counteroffer of $463,250,
Mr. Mosford was notified that the City's counteroffer had been rejected. As a result,
Mr. Mosford presented a purchase agreement far the two lots on Third Street far a price
of $62,000.
Deputy City Administrator Jeff O'Neill added that Arve Grimsmo has indicated that he
would be willing to purchase the city hall property without the lots on Third Street for
$400,000.
AFTER DISCUSSION, A MOTION WAS MADE BY CLINT HERBST AND SECONDED BY
BRIAN STUMPF TO ACCEPT BOB MOSFORD'S OFFER OF $62,000 FOR THE TWO LOTS
ON THIRD STREET CONTINGENT ON THE COMMUNITY CENTER PROJECT MOVING
FORWARD. Motion carried unanimously.
A MOTION WAS MADE .BY BRUCE THIELEN AND SECONDED BY BILL FAIR TU
OFFER THE CITY HALL PROPERTY FOR SALE TO ARVE GRIMSMO AT A PRICE OF
$400,000 CONTINGENT ON THE COMMUNITY CENTER PROJECT MOVING FORWARD.
Voting in favor: Bruce Thielen, Bill Fair, Brian Stumpf. Opposed: Clint Herbst.
Abstaining: Roger Carlson. Motion carried.
9. Review of bids and c i r i n f award for fire h 11 kin lot im rovements.
Public Works Director John Simola reported that the plans and specifications for the fire
hall parking lot improvements did not include additional lighting or outside outlet as
requested by the fire department; therefore, City staff is working with NSP and local
electrical contractors to complete this portion of the work. In addition, the extension and
relocation of the sprinkler system would be performed by City personnel.
Three bids were received at 10 a.m., with the lowest bidder being Bauerly Brothers of
Sauk Rapids, MN, in the amount of $35,611.20. Although the prices were somewhat
higher than anticipated, which was felt to be partly due to the time of year and having to
wait for the sewer realignment project to be substantially completed prior to completing
the east portion of the ire hall parking lot, the City Engineer recommended that the
project be awarded to Bauerly Brothers.
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Council Minutes - 9/28/98
A MOT10N WAS MADE BY BRUCE THIELEN AND SECONDED BY GLINT HERBST TO
ACCEPT THE BIDS AND AWARD THE CONTRACT FOR FIRE HALL PARKING LOT
IMPROVEMENTS TO BAUERLY BROTHERS IN THE AMOUNT OF $35,611.20. Motion
carried unanimously.
10. Consideration of a rovin urchase of Burlin t n N rthern ro ert in the ar f he
carnmunity center site.
City Attorney Dennis Dalen reported that one of the major issues regarding purchase of
the Burlington Northern property was mortgages; however, Burlington Northern agreed
to indemnify the City, which the title company indicated that they would accept. The
purchase agreement also states that the Railroad would give the City a quit claim deed but
would not give any evidence of title. If the City chose to assure itself of title, Wright
Title Guaranty Company indicated that a $9.5 million policy would cost $8,950 plus a
$12S fee per parcel far title search. The title company also advised that the National
Guard be named as an additional insured. With regard to environmental issues, because
the summary of the soils report indicated there was na major problem, the City Attorney
recommended that the City purchase the property rather than acquire it through
condemnation since it would be less expensive.
AFTER DISCUSSION, A MOTION WAS MADE BY BRUCE THIELEN AND SECONDED
BY ROGER CARLSON TO APPROVE THE PURCHASE AGREEMENT WITH
BURLINGTON NORTHERN, INCLUDING THE ADDENDUM. Motion carried
unanimously.
11. Consideration to discuss a h rization to roceed w'th interest to ac uire the ro e
located at 225 Front Street.
Economic Development Director Ollie Korapchak reported that the HRA elected not to
accept the counteroffer of $179,500 for purchase of property located at 22S Front Street
due to high price and lack of funds. At its September 17 meeting, the Parks Commission
indicated it is interested in purchasing river property; however, due to lack of funds, they
recommended that the HRA and/or City continue the process of purchasing the property.
Koropchak suggested that Council could also consider budgeting in the future for
purchase of river property or present a right of first refusal to the owners.
AFTER DISCUSSION, A MOTION WAS MADE BY BRUCE THIELEN AND SECONDED
BY CL1NT HERBST TO OFFER THE OWNERS OF 225 FRONT STREET $500 FOR THE
RIGHT OF FIRST REFUSAL. IF THE OFFER IS NOT ACCEPTED, STAFF WAS
DIRECTED TO RETURN THE ITEM TO THE CITY COUNCIL. Motion carried
unanimously.
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Council Minutes - 9/28/98
12. Consideration of maki r rchase vacant land a ~ nt t ublic works
facility.
City Administrator Rick Wolfsteller reported that Tam Brennan of Edina Realty inquired
as to whether the City was interested in purchasing a vacant 1-acre parcel adjacent to the
City's 1.4-acre parcel on County Road 39 West, which is across the street from the public
works facility. The current asking price is $65,000; however, the real estate agent
indicated the estate would consider offers.
AFTER DISCUSSION, A MOTION WAS MADE BY BRIAN STUMPF AND SECONDED BY
CLINT HERBST TO OFFER $45,000 FOR THE VACANT LOT ON WEST COUNTY
ROAD 39. Motion carried unanimously.
13. Con id r i n f rchase of 4 acres on the Monte 1 Hill near the water t r f r
park purposes.
Public Works Director John Simola reported that at the September 14 Council meeting,
staff was directed to negotiate the possible purchase of 4 acres from Kenny Schultz on the
Monte Club hill near the City's water tower for park land. This property would create a
centralized park for the area, and the Parks Commission recommended unanimously that
the City purchase the property. Mr. Schultz indicated the minimum purchase price for the
property would be $16,500 per acre for a total of $66,000 far the 4 acres, with payments
spread out over amutually-agreed period of time. The purchase would be funded from
park dedication funds from River Forest and Wildwood Ridge, with the balance coming
from reserves until such time they are replaced with future dedication funds.
Councilmember Clint Herbst stated that he felt this property was better suited for
development of houses and that there was already an enormous amount of park land in
the city. Councilmember Bruce Thielen responded that the City may never have the
opportunity to obtain this type of land again and that it should be preserved for future
generations. In addition, a major portion of the cost could be funded immediately
through park dedication fees obtained from recent developnnents. Councilmember
Carlson added that when researched in the past, Monticella's amount of park land was
not excessive and was comparable to the national standards.
AFTER DISCUSSION, A MOTION WAS MADE BY BRUCE THIELEN AND SECONDED
BY BILL FAIR TO PURCHASE 4 ACRES FROM MR. SCHULTZ FOR $66,000 USING
PARK DEDICATION FUNDS AND RESERVE FUNDS UNTIL REPLACED WITH FUTURE
PARK DEDICATION FEES. Voting in favor: Bruce Thielen, Bill Fair, Roger Carlson.
Opposed: Clint Herbst, Brian Stumpf. Motion carried.
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Council Minutes - 9/28/98
14. Consideration of ordinance amendmex~t_in r hard to garbage/refuse service r t
At the July27 meeting, the City Council approved changes to the garbage and recycling
program whereby the City would no longer track recyclables, provide free recycling
services to all residential property, and begin charging commercial residential property,
such as apartment buildings 4-plex and above and mobile home parks, for garbage
services. Staff established the following rates for garbage collection effective January 1,
1999:
Per unit per month
Ar~artment Units:
4-plex & above (incl taxes) $6.85
Mobile Home Parks:
60-gallon roll-around cart (incl taxes) $6.94
90-gallon roll-around cart (incl taxes) $8.43
The proposed ordinance would maintain organized collection and continue to provide
recycling service free for all residential property.
A MOTION WAS MADE BY BRIAN STUMPI~ AND SECONDED BY BRUCE THIELEN TO
APPROVE THE ORDINANCE AMENDMENT PERTAINING TO GARBAGE/REFUSE
SERVICE RATES; SET THE RATES BEGINNING JANUARY 1, 1999, >~OR COMMERCIAL
RESIDENTIAL PROPERTY AS FOLLOWS:
PER UNIT
PER MONTH
APARTMENT UNITS:
4-FLEX & ABOVE (INCL TAXES) $6.85
MOBILE HOME PARKS:
60-GALLON ROLL-AROUND CART (trrcl. TAxES) $6.94
90-GALLON ROLL-AROUND CART (INCL TAXES) $8.43
AND APPROVE THE NEW RECYCLING POLICY AS DRAFTED. Motion carried
unanimously. SEE ORDINANCE AMENDMENT NO. 317.
15. Review of ro orals for the del' r and installation of a new 1 round unit for Ellison
Park and award of contract.
City Administrator Rick Wolfsteller reported that he was concerned about the
recommendation from the Parks Commission to purchase playground equipment from a
company that did not submit the lowest bid. Since there was a question as to whether the
specifications were adequate to allow making a determination that the lowest bid didn't
meet the specifications, the City Administrator requested that the City Attorney give his
opinion.
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Council Minutes - 9/28/98
0
Fark Superintendent Greg Engle explained that the criteria used for selection of the
playground unit was that the structure must coordinate with the park theme of water or
river as well as the existing park's surrounding environment. Four proposals were
received on September 22 fox delivery and installation of a new playground unit for
Ellison Park. Although Bob Klein & Associates submitted the lowest proposal at
$30,031.15, the Forks Commission and Park Superintendent recommended contracting
with Minnesota Wisconsin Playground, Inc., whose bid amount was $35,000 for Game
Tirne equipment. This unit was preferred for its unique ship design, appearance, and
proven method of installation of the fiber system with drainage barriers. The design
from the low bidder was not favored due to a high tower that would take away from the
appearance afthe nearby lag shelter, it didn't appear to have the creativity for the
younger age group of 2-5 years, and the proposal didn't include a clear description of the
installation of the play surface.
City Attorney Dennis Dalen stated that the two issues that needed to be determined were
bid responsive to the specifications and responsible bidder. if the materials bid varied
from the specifications, the bid can be rejected. If not, the Council can either accept the
low bid or reject all bids, amend the specifications, and rebid the project. Since it was
difficult to determine that there was a material variance, the City Attorney recommended
that the Council reject the bids and rewrite the specifications. However, the Park
Superintendent noted that he preferred to complete the project within the 1998 budget.
AFTER DISCUSSION, A MOTION WAS MADE BY GLINT HERBST AND SECONDED BY
BRIAN S'T'UMPF TO ACCEPT THE BIDS AND AWARD THE CONTRACT TO THE LOW
BIDDER, BOB KLEIN & ASSOCIATES, IN THE AMOUNT OF $30,031.1 S. Motion carried
unanimously.
1 ~. Consideration of bills for the last half of September.
A MOTION WAS MADE BY ROGER CARLSON AND SECONDED BY GLINT HERBST TO
APPROVE THE BILLS FOR THE LAST HALF OF SEPTEMBER AS PRESENTED. Motion
carried unanimously.
A MOTION WAS MADE BY BRUCE THIELEN AND SECONDED BY BRIAN STUMPF TO
ADJOURN. Motion carried unanimously.
Kare oty
Deputy City Clerk
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