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City Council Minutes 11-08-1993MINUTES REGULAR MEETING - MONTICELLO CITY COUNCIL Monday, November 8, 1993 - 7 p.m. Members Present: Ken Maus, Shirley Anderson, Brad Fyle, Clint Herbst, Patty Olsen Members Absent: None 1. Call to order. 2. Consideration of approval of minutes of the regular meeting held October 25, 1993. After discussion, a motion was made by Brad Fyle and seconded by Shirley Anderson to approve the meeting minutes as submitted. Motion carried unanimously. 3. Citizens comments/petitions, requests, and complaints. None forthcoming. 4. Consideration of an update on the development of the Economic Development Partnership of Wright County. Neil McMillan, representing the County Economic Development Partnership, and County Commissioner, Pat Sawatzke, were present to describe the goals, objectives, and organization of the Economic Development Partnership and requested that the City Council consider becoming a member of the Partnership. Brad Fyle indicated that the concept of developing a County Economic Development Partnership, which calls for participation of all the cities in the county, is a good concept; however, Fyle was concerned about the fee structure. He was not convinced that the City would gain an amount equal to the required contribution ( $1,500) from the City of Monticello to be a member of the Partnership. Ken Maus stated that participation in the Partnership could be a win/win situation for the County and the City. Membership could result in providing the City with more bona fide leads for industrial development in the community. Shirley Anderson noted that she would not like to see the City lose leads to other communities within Wright County as a result of this program. Page 1 Council Minutes - 11/8/93 After discussion, it was the consensus of the Council that participation in the Partnership should be considered at some point in the future. Mr. McMillan was asked to prepare additional information regarding the operation of the partnership that addresses issues raised by Council. 5. Public hearing on the adoption of an assessment roll for the Briar Oakes pond outlet. Mayor Maus opened the public hearing. Rick Wolfsteller reviewed the purpose of the project and outlined the proposed assessment roll. There being no comments from the public, the public hearing was closed. After discussion, a motion was made by Shirley Anderson and seconded by Brad Fyle to adopt a resolution adopting the assessment roll as proposed with the assessment being spread over 6 years at an interest rate of 7%. Motion carried unanimously. SEE RESOLUTION 93-41. 6. Consideration of a resolution authorizing for the issuance and sale of $980,000 in G.O. Refunding Bonds. Jerry Shannon of Springsted, Inc., was present to review a proposal to refinance a portion of the City's existing debt in order to save interest cost. Shannon indicated that the bond issue proposed is called a cross-over refunding bond issue, which means that the City is not allowed to pay off the remaining balance until February 1, 1997, as this is the first call date for the bonds we currently have. By selling a refunding bond issue today, we are able to lock in the lower interest rates; but an escrow account is established at a major bank which hangs onto our money until February 1, 1997, at which time the original bond is retired. Rick Wolfsteller reported that because we have to wait a few years, the City will not realize any immediate savings from the lower interest rate; but overall it is projected that by refinancing today, we'll save a net of over $130,000 in total interest expense. After discussion, a motion was made by Shirley Anderson and seconded by Patty Olsen to adopt a resolution authorizing for the issuance and sale of a $980,000 G.O. Improvement Refunding Bond, Series 1994A. Motion carried unanimously. SEE RESOLUTION 93-42. Page 2 Council Minutes - 11/8/93 7. Consideration of a request for a 2 -ft variance to the 10 -ft side yard setback requirement. Request is in conjunction with construction of an addition to a single family dwelling. Location is Block 5, Lot 14, Lower Monticello. Applicant, Kevin and Mary Hook. Assistant Administrator O'Neill reported that the Hook family has decided to withdraw the variance requests; therefore, no further action is necessary on this matter. 8. Consideration of a request for a conditional use permit allowing outside storage. Applicant, Custom Canopy. Assistant Administrator O'Neill reviewed the recommendation made by the Planning Commission with regard to a conditional use permit request submitted by Custom Canopy. O'Neill noted that Custom Canopy is already in operation and has obtained an occupancy permit, which makes the conditional use permit request for outside storage somewhat after the fact. City staff did not require that the business obtain a conditional use permit prior to occupancy because staff was informed by the developer that the site did not include any outside storage. O'Neill went on to review elements of the site plan and outlined conditions associated with outside storage as proposed by the Planning Commission. O'Neill noted that the Planning Commission conditions included a strong screening requirement which required complete screening of the site from a view from adjacent roads. After discussion, a motion was made by Brad Fyle and seconded by Patty Olsen to adopt the recommendation made by the Planning Commission, which is to approve issuance of the conditional use permit allowing outside storage with the conditions as noted and with one modification: The applicant is provided with the option of planting a double row of pine trees as a screening fence along the western perimeter of the outside storage area. Motion to grant the conditional use permit is based on the finding that outside storage at this location under the conditions as noted is consistent with the requirements of the city ordinance and is consistent with the geography and character of the I-2 zoning district. Motion carried unanimously. 9. Consideration of a request for a conditional use permit which would allow outside sales, outside storage, and consideration of a parking and drive aisle conditional use permit. Location: Lot 1, Block 2, Oakwood Industrial Park. Applicant, Simonson Lumber. Assistant Administrator O'Neill reported that Simonson Lumber's request for a conditional use permit stems from their request to construct a 56' x 112' foot shed on the southeast corner of the property. In order to Page 3 Council Minutes - 11/8/93 expand the use of the property as proposed, it is a requirement of the ordinance that the site be upgraded to meet city standards. O'Neill went on to review the recommendation made by the Planning Commission. After discussion, a motion was made by Brad Fyle and seconded by Patty Olsen to adopt the recommendations and proposed conditions as recommended by the Planning Commission with one exception: Development of curb and gutter along the perimeter of the parking lot area is required at such time that enlargement or significant modifications are made to the parking lot. Motion to approve said conditional use permit requests is based on the finding that approval with associated conditions is consistent with the city ordinance and consistent with the geography and character of the I-1 zoning district. Approval will not result in a depreciation of adjoining land values. Motion carried unanimously. 10. Consideration of adopting the Undeveloped Right-of-way Fencing Policy. City Administrator Wolfsteller provided Council with a set of guidelines that are intended to protect the City in instances where property owners adjacent to undeveloped right-of-way are given permission to fence all or a portion of the city right-of-way. Mayor Maus asked Jim Eisele if he has any problem with the proposed undeveloped right-of-way fencing policy. Jim Eisele indicated that he has no problem with the policy as proposed. After discussion, a motion was made by Shirley Anderson and seconded by Clint Herbst to adopt the policy as proposed subject to modifications by the City Attorney. Motion carried unanimously. 11. Consideration of purchasing a replacement personal computer for deputy registrar. City staff reported that the software currently utilized by the deputy registrar's office is being upgraded. In order to utilize the upgraded software, the City will need to upgrade the existing personal computer currently used by the deputy registrar. It was also noted that the fire department is in need of a computer and that the computer now used by deputy registrar could be moved to the fire department to fulfill their needs. After discussion, a motion was made by Clint Herbst and seconded by Shirley Anderson to approve the purchase of a new personal computer for the deputy registrar department at a cost of approximately $3,000. Motion carried unanimously. Page 4 Council Minutes - 11/8/93 12. Consideration of reviewing status of Oak Ridge subdivision project --Tony Emmerich. Rick Wolfsteller reported that, at the previous meeting, it was the consensus of Council to inform Mr. Emmerich that the letter of credit requirement as outlined in the development agreement would continue to be required if utility construction was going to continue this fall. At the previous meeting, Council noted that if the letter of credit was not provided by the meeting (11/8/93), Emmerich was asked to attend the meeting to discuss the matter. Jay Johnson, representing Tony Emmerich, indicated that it was his understanding that the letter of credit was not actually needed until such time that the developer requested that the lots be platted or until such time that building occupancy is requested. Clint Herbst noted that the City established certain requirements prior to initiation of the project. The original development agreement stated that a letter of credit needed to be provided at the time of construction of utilities. Since the letter of credit was not provided as required, Council should take action to stop the project until the letter of credit is provided. Brad Fyle concurred that the City should obtain the letter of credit now. The City does have liabilities that are not covered by the existing deposit provided by the developer. City Engineer, Bret Weiss, indicated that he supports obtaining the letter of credit; however, when a project is shut down at this time of year, there can be a negative impact. Jay Johnson indicated that obtaining the letter of credit will not be a problem; however, it may take some time. Ken Maus suggested that the City consider accepting an additional deposit to carry the project until the letter of credit is provided. After discussion, a motion was made by Clint Herbst and seconded by Brad Fyle to direct the City Engineer to temporarily halt the project until such time that the letter of credit as required by the development agreement is submitted to the City. Voting in favor: Clint Herbst, Brad Fyle, Shirley Anderson. Opposed: Ken Maus, Patty Olsen. There being no further discussion, the meeting was adjourned. JefY fteill Assistant Administrator Page 5