City Council Minutes 10-28-1996MINUTES
REGULAR MEETING - MONTICELLO CITY COUNCIL
Monday, October 28, 1996 - 7 p.m.
Members Present: Brad Fyle, Shirley Anderson, Clint Herbst, Brian Stumpf, Tom
Perrault
Members Absent: None
Councilmember Perrault requested that discussion for item #6 regarding the
conditional use permit amendment for JP's restaurant be clarified by adding
that the future deck would be allowed only within the designated boundaries
of the outside seating area.
AFTER DISCUSSION, A MOTION WAS MADE BY BRIAN STUMPF AND
SECONDED BY TOM PERRAULT TO APPROVE THE MINUTES OF THE
REGULAR MEETING HELD OCTOBER 14, 1996, AS CORRECTED. Motion
carried unanimously.
A. Mayor Fyle requested that City Council approve payment for the water
tower painting project prior to the check being sent.
B. Public Works Director John Simola updated Council on the closing of
the Wright County Compost Facility. He noted that the City will
likely save money on tipping fees; however, real estate taxes will
continue to collect payments for many years for the compost facility.
4. Citizens comments/petitions, requests, and complaints.
None.
Mayor Fyle requested that item 5B be removed from the consent agenda for
discussion.
A. Consideration of an application for carnival license --Monticello Mall
Merchants Association. Recommendation: Approve issuance of a
5 -day carnival license to the Monticello Mall Merchants Association
and waive the daily fees by recognizing the Association as a nonprofit
group.
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Council Minutes - 10/28/96
B. Consideration to adopt a resolution calling for a public hearing for the
modification of the Redevelopment Plan for Redevelopment Project
No. 1, modification of the TIF Plans for TIF District Nos. 1-1 through
1-20, and approving the TIF Plan for the establishment of TIF District
No. 1-21 (T.J. Martin, Inc.). Removed from the consent agenda for
discussion at the end of the meeting.
C. Consideration of chanLye_order#2_and final payment on Proiect 96-01C.
Recommendation: Approve change order #2 for Project 96-01C,
Dundas/Fallon Avenue Street and Utility Improvement, at a cost of
$5,740.19, and authorize final payment to Annandale Contracting for
Project 96-01C in the amount of $29,779.99.
D. Consideration of request for finalIn at approval of the Monticello
Business Center commercial subdivision AA lin cant, Ocello LLC.
Recommendation: Approve the final plat of Monticello Business
Center commercial subdivision subject to the following conditions:
1. Provide all necessary easements along lot perimeters as
required by ordinance.
2. Widen Cedar Street from 60 ft to 80 ft and widen School
Boulevard to 100 ft between Highway 25 and Cedar
Street.
3. Subsequent development must adhere to the trunk storm
water policy of the City.
4. On-site ponding shall be developed sufficient to manage
storm water produced on site.
A MOTION WAS MADE BY BRIAN STUMPF AND SECONDED BY TOM
PERRAULT TO APPROVE ITEMS 5A, 5C, AND 5D OF THE CONSENT AGENDA
AS RECOMMENDED. Motion carried unanimously.
Public Heariney--Consideratim Qf approving
•
r • and Grill.
Mayor Fyle opened the public hearing.
City Administrator Rick Wolfsteller reported that Mr. Larry Hunt of
Champlin, Minnesota, was in the process of purchasing Hawk's Sports Bar
and Grill from Joe and Teresa Abbott. As part of the ownership, Mr. Hunt
applied for the on -sale liquor license to be transferred to his name.
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Council Minutes - 10/28/96
Wolfsteller noted that a background check completed by the Wright County
Sheriff's Department showed no information that would prohibit Mr. Hunt
from obtaining the license.
There being no comment from the public, the public hearing was closed.
A MOTION WAS MADE BY CLINT HERBST AND SECONDED BY TOM
PERRAULT TO APPROVE THE TRANSFER OF THE CURRENT ON -SALE
LIQUOR LICENSE FOR HAWK'S SPORTS BAR AND GRILL TO MR. LARRY
HUNT. Motion carried unanimously.
accounts7. Public Hearing--Adoptim Qf I assessment roll for delinquent
_ and certification of assessment• • CQUnty
A _ ! 1
Mayor Fyle opened the public hearing.
City Administrator Wolfsteller reported that the proposed assessment roll for
accounts receivable included bills which were delinquent more than 60 days.
It was recommended that the delinquent accounts be certified for 1997 real
estate taxes at an interest rate of 8%.
There being no comment from the public, the public hearing was closed.
A MOTION WAS MADE BY SHIRLEY ANDERSON AND SECONDED BY BRIAN
STUMPF TO ADOPT A RESOLUTION ADOPTING THE ASSESSMENT ROLL FOR
THE DELINQUENT CHARGES AS PRESENTED. Motion carried unanimously.
SEE RESOLUTION 96-42.
8. Public Hearing on adoption of prQpQsed assessment roll for ddinqumt utility
bills and certification of assessment roll to County Auditor,
Mayor Fyle opened the public hearing.
City Administrator Wolfsteller reported that the proposed assessment roll for
utility billing accounts included bills which were delinquent more than 60
days. It was recommended that the delinquent accounts be certified for 1997
real estate taxes at an interest rate of 8%. In addition, Wolfsteller noted that
one delinquent account exceeded the $500 threshold established by Council
and that attempts were being made to collect the delinquent amount or the
water would be shut off.
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Council Minutes - 10/28/96
The City Administrator also reported that, as requested by Council, he
selected four accounts from the delinquent list to verify with the County
whether real estate taxes were paid or were also delinquent. Three of the
four had paid taxes through the first half of 1996. Information regarding
payment for the second half of the year was not available, as all payments
had not yet been recorded.
There being no comment from the public, the public hearing was closed.
AFTER DISCUSSION, A MOTION WAS MADE BY SHIRLEY ANDERSON AND
SECONDED BY TOM PERRAULT TO ADOPT A RESOLUTION ADOPTING THE
ASSESSMENT ROLL FOR DELINQUENT UTILITY BILLING CHARGES AS
PRESENTED. Motion carried unanimously. SEE RESOLUTION 96-43.
9. Consideration of extending conceptual agreement governing sanitary sewer
connection tQ the, Kjellberg West Mobile Hom Park.
Assistant Administrator Jeff O'Neill reported that in January of 1996, the
City Council approved a conceptual funding package outlining fees and
related expectations associated with connection of the Kjellberg West Mobile
Home Park. The agreement to allow Kjellberg to follow the 1995 fee schedule
was somewhat predicated on obtaining an increase to the wastewater
treatment plant load limits; however, since the increased load limit was
denied by the Pollution Control Agency (PCA), Council was asked to decide
whether the same agreement should be offered to Kjellberg or whether staff
should renegotiate an agreement for west park hookup to the city sanitary
sewer system. Under the original agreement, Kjellberg agreed to escrow
$200,000 (hookup fees and a portion of the area assessment) and the
remaining $55,000 would be assessed against the property. O'Neill noted
that if Kjellberg was required to follow the 1996 fee structure, his fee would
increase $45,000 over the 1995 hookup fee of $180,000.
O'Neill went on to explain that the PCA requested that this item be brought
to Council so that they could determine whether or not to pursue litigation.
If Kjellberg's connection to the city sewer system was not likely, then the
PCA would need to force Kjellberg to complete development of his on-site
system.
Councilmember Herbst suggested that if Kjellberg escrowed the total amount
of $255,000 with the City within a month, he would agree to charging the
1995 rate; otherwise, at the time the money was deposited with the City, the
prevailing rate would apply. It was the view of Mayor Fyle that since the
load limit increase for the treatment plant was denied, Kjellberg should be
required to pay the prevailing rate at the time he deposits funds with the
City.
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Council Minutes - 10/28/96
Rick Cool, representing the PCA in litigation regarding the mobile home
park, asked what the cost to Kjellberg would be under the proposal that he
pay the prevailing rate. O'Neill noted that under the 1996 rates, Kjellberg's
cost would be approximately $300,000.
Kent Kjellberg stated that he had been waiting for the City to decide where
the sewer line should be installed up to his property and that he would be
ready to hookup anytime. He also stated that the City's engineering staff
changed the depth of the sewer line, and there seemed to be changes
regarding the storm water policy. Kjellberg noted that he was waiting for
final approval on plans and had only 200 ft left to complete in the east park.
Assistant Administrator O'Neill noted that staff had been working on the
east park hookup to sanitary sewer and hadn't been exerting pressure on
Kjellberg to hookup the west side. City Engineer Bret Weiss added that
three alternatives had been presented for serving the west park; however,
staff felt the east park hookup should be completed prior to working on the
west park. In addition, Weiss stated that Kjellberg's engineer had been
given the pipe depth information over a month ago and that unapproved
work had been done at the east park site. The remaining 200 ft of work was
on hold pending submittal of plans for City Engineer approval.
AFTER DISCUSSION, A MOTION WAS MADE BY BRAD FYLE AND SECONDED
BY CLINT HERBST TO CHARGE AND LOCK IN THE PREVAILING RATE FOR
SANITARY SEWER HOOKUP AT THE TIME THAT KJELLBERG ESCROWS WITH
THE CITY THE TOTAL AMOUNT DUE FOR THE WEST MOBILE HOME PARK.
Motion carried unanimously.
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Hi -Way Liquors Manager Joe Hartman reported that total sales for the 9
months ending September 30, 1996, increased 10.9% over the same period
last year to $1,359,559. Gross profits also increased by 12%, or $34,440, to a
total of $321,194 through September. Operating expenses were slightly
lower, resulting in a 30% increase in operating income. Staff was pleased
with the 23.6% gross profit margin and expect that the year-end financial
report will show record earnings for the liquor store.
AFTER DISCUSSION, A MOTION WAS MADE BY BRIAN STUMPF AND
SECONDED BY TOM PERRAULT TO ACCEPT THE 9 -MONTH LIQUOR STORE
FINANCIAL REPORT AS PRESENTED. Motion carried unanimously.
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Council Minutes - 10/28/96
11. Consideration of approving renewal of joint fire department contracts with
Silver Creek Township and City of Otsego.
City Administrator Wolfsteller reported that the Monticello Joint Fire
Department has contracts for fire protection services covering a portion of the
city of Otsego and approximately half of Silver Creek Township that would
be expiring December 31, 1996. The current contracts were based on a $35
per parcel fee, which was established beginning January 1994 and had been
increased from the previous $25 per parcel amount. The 1996 revenue
amounted to $18,550 for Silver Creek Township and $6,650 for the City of
Otsego.
Wolfsteller explained that in order to determine whether the current fee
structure was appropriate, the number of fire calls and manhours spent at
fires over the last three years was reviewed, and a percentage for each
location's share of the fixed cost of having a fire department was calculated.
The fixed cost of having a fire department for 1997 was estimated at
$104,696. When using this allocation formula, Silver Creek Township's
share of the cost was estimated at $17,937, and for the City of Otsego was
estimated at $5,900, which seemed to indicate that the $35 per parcel fee was
still appropriate. After reviewing the above figures, the Joint Board
recommended that the present $35 per parcel fee remain the same and that
new three-year contracts be initiated.
Ted Holker of the Joint Fire Board stated that it was the intent of the Board
to discuss with each contract jurisdiction the recently -adopted false alarm
policy. In addition, he noted that if revenue has fallen behind by the third
year of the contract, the fee could be raised at the next contract renewal to
make up for the loss.
Council discussed the 3 -year length of the contracts and whether language
should be added that would allow for renegotiation should a significant
change occur during the contract period.
AFTER DISCUSSION, A MOTION WAS MADE BY SHIRLEY ANDERSON AND
SECONDED BY TOM PERRAULT TO APPROVE RENEWAL OF THE FIRE
PROTECTION AGREEMENTS WITH THE CITY OF OTSEGO AND SILVER CREEK
TOWNSHIP FOR A 3 -YEAR TERM AT THE RATE OF $35 PER PARCEL. Motion
carried unanimously.
12. Consideration of bills for the month of October.
AFTER DISCUSSION, A MOTION WAS MADE BY CLINT HERBST AND
SECONDED BY TOM PERRAULT TO APPROVE THE BILLS FOR THE MONTH
OF OCTOBER AS PRESENTED. Motion carried unanimously.
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Council Minutes - 10/28/96
13. Discussion of item removed from consent agenda.
5B. Consideration to adopt a resolution calling fQr a public hearing for the
modification of the Redevelument Plan for Redevelopment Pr!Qjec
No. 1, modification of the TIF Plans for TIF Dis rict Nos, 1-1 throug
1-200 and approving the TIF Plan for the establishment of TIF Distric
1Inc.).
Economic Development Director 011ie Koropchak requested that
Council adopt a resolution calling for a public hearing date of
November 12, 1996, for establishment of Tax Increment Financing
District No. 1-21 for T.J. Martin, Inc., which will lease to Lake Tool,
Inc.
Mayor Fyle questioned whether the wage scale of $40,000 to $60,000
for the projected five new jobs was correct. Koropchak noted that the
pay range was correct and would included in the contract between T.J.
Martin, Inc., and the HRA.
AFTER DISCUSSION, A MOTION WAS MADE BY CLINT HERBST AND
SECONDED BY SHIRLEY ANDERSON TO ADOPT A RESOLUTION
CALLING FOR A PUBLIC HEARING DATE OF NOVEMBER 12, 1996, FOR
THE MODIFICATION OF THE REDEVELOPMENT PLAN FOR
REDEVELOPMENT PROJECT NO. 1, THE MODIFICATION OF THE TIF
PLANS FOR TIF DISTRICT NOS. 1-1 THROUGH 1-20, AND APPROVING
THE TIF PLAN FOR THE ESTABLISHMENT OF TIF DISTRICT NO. 1-21.
Motion carried unanimously. SEE RESOLUTION 96-41.
14. Other matters.
A. It was the consensus of Council to set a special meeting for
Wednesday, November 6, 1996, at 5:30 p.m. for the purpose of
canvassing the general election results.
There being no further business, the meeting was adjourned.
Karen Doty
Office Manager
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