City Council Minutes 02-13-1989MINUTES
REGULAR MEETING - MONTICELLO CITY COUNCIL
Monday, February 13, 1989 - 7:30 p.m.
Members Present: Ken Maus, Fran Fair, Shirley Anderson, Warren Smith,
Dan Blonigen.
Members Absent: None.
2. Approval of minutes.
Motion was made by Warren Smith, seconded by Shirley Anderson, and
unanimously carried to approve the minutes of January 23, 1989, as
corrected.
3. Citizens comments/petitions, requests, and complaints.
Mr. Jim Metcalf and Mr. John Sandberg appeared before the Council to
voice their objection to some of the comments made by Councilmembers
Fran Fair and Warren Smith at the January 23 Council meeting regarding
the West Prairie Partners real estate transaction and the Temple
Baptist Church's conditional use permit request.
4. Public hearing on adoption of proposed assessment roll for 88-07
prof ect . AND
6. Consideration of resolution certifying assessment roll for 88-07
project to County Auditor.
The public hearing was opened to receive comments regarding the
proposed assessment roll for the improvement project that served
Mr. Floyd Markling's townhouse development and the Monticello Country
Club with sewer and water extensions off of Golf Course Road. The
project totaled $62,184.09, which was proposed to be assessed entirely
to the two benefiting property owners.
As part of the assessment notice, each property owner had received five
possible assessment amounts using various assessment methods. City
Engineer, John Badalich, reviewed the five methods and indicated his
preference for method #5 which based the assessment for the 8 -unit
townhouse development for the sewer and water at an average cost of
$53.25 per foot based on an average 90 -foot lot, with the balance being
attributable to the Country Club. Mr. Jim Agosto, attorney for the
Country Club, indicated the Country Club was opposed to methods 4 & 5
which would result in assessments totaling $51,129.14 for method #4 and
$23,844.09 under method #5. Mr. Agosto questioned how the Engineer had
arrived at his calculations and indicated the Country Club would be
agreeable to a lower dollar amount under one of the other methods.
Mr. Agosto also filed an objection to any assessment proposed in the
$23,000 to $51,000 category. Mr. Gar Holland, representing the Country
Club, indicated no opposition to the improvements as completed but only
questioned the large dollar amount of the assessment proposed under
method #4 or #5. He indicated the Country Club is used very little as
far as food service or other facilities and felt the assessment should
be in the $12,000 range.
1
5.
Council Minutes - 2/13/89
Attorney, Jim Metcalf, representing developer Floyd Markling, supported
the Engineer's recommended assessment formula of approximately 38
percent of the project cost being assessed to the Country Club, with
the balance to Mr. Markling's townhouse development. In addition, he
also indicated Mr. Markling would reserve his rights of appeal of the
assessment to the townhouse development if it was more than 62 percent
of the project cost as recommended.
Hearing no further comments from the public, the Council discussed the
options available to arrive at an agreeable amount between the
parties. Council members suggested that the Country Club be treated as
two units versus one unit for a townhouse parcel, and also the Country
Club should be responsible for the extra cost involved in extending the
services to their property line. Under this method, it was determined
that the Country Club's assessment would be in the $16,250 range, or
approximately 26 percent of the total project.
After further discussion, and noting that there were logical reasons
for any of the five methods used, a motion was made by Shirley
Anderson, seconded by Dan Blonigen, and unanimously carried to adopt
the assessment roll for Project 88-07 as follows:
Monticello Country Club $16,243.31
Markling Townhouse Dev. $450,940.78
This would be based on the total project cost of $62,184.09, less the
cost of extension of sewer and water to the Country Club of $4,758.13
being divided by ten units (eight for the townhouse development and two
units for the Country Club property), with the additional cost of the
extension being added to the Country Club's assessment.
SEE RESOLUTION 89-5.
Consideration of resolution approving MN/DOT preliminary plans for
improvements to Highway 25 bridge over I-941 including signals and
discussion of eastbound ramp.
Mr. Gary Dirlam and Mr. Tony Kempenich of MN/DOT were present at the
Council meeting to review the proposed improvements to the Highway 25
bridge over I-94 scheduled for this summer. The project would include
the widening of the bridge to five lanes from the present three and the
installation of signal lights at both ramp intersections near the
bridge. MN/DOT representatives reviewed with the Council their initial
consideration of developing a loop exit ramp for southbound traffic on
Highway 25 entering eastbound I-94. This design would have required
utilizing a majority of the present commuter parking lot for the
construction and created problems in alignment of the present eastbound
exit ramp off of I-94 to Highway 25. In addition, MN/DOT indicated
design and construction of this type of facility would be five to seven
years due to the lengthy process of funding and land acquisition
necessary. As a result, it's MN/DOT's position that in order to
properly control traffic at this time, signal lights would be an
excellent in -term solution and that a clover leaf or loop ramp design
is always a possibility in the future if the traffic warrants.
2
Council Minutes - 2/13/89
MN/DOT representatives recommended that the City seriously consider
retaining ownership of the commuter parking lot to allow for such a
design in the future rather than allowing commercial development to
occur on this site.
After further review of the design proposal and discussion on the
timing of the signal lights, motion was made by Fran Fair, seconded by
Dan Blonigen, and unanimously carried to adopt a resolution approving
the preliminary plans as proposed. SEE RESOLUTION 89-6.
7. Consideration of single subdivision request to subdivide an existing
unplatted residential lot into two unplatted lots - West Prairie
Partners.
West Prairie Partners requested a simple subdivision of the former
Temple Baptist Church property near Pinewood Elementary School that
would allow the creation of a 12,000 sq ft residential lot for the
existing structure, with the balance of the property remaining in one
parcel. The property is currently zoned R-2, single and two family
residential, and meets all requirements of the City Ordinance for this
purpose.
As a result, a motion was made by Fran Fair, seconded by Dan Blonigen,
and unanimously carried to approve the subdivision request as proposed.
8. Consideration of simple subdivision request to subdivide an existing
I-2 (heavy industrial) lot into two I-2 lots - Oakwood Industrial Park
Partnership.
The Oakwood Industrial Park Partnership requested the simple
subdivision to subdivide Block 1, Lot 6, Oakwood Industrial Park, into
two parcels. The lots as proposed will meet current zoning regulations
in regard to square footage, and it was recommended that the
subdivision be approved provided drainage and utility easements are
included as part of the subdivision request.
Motion was made by Warren Smith, seconded by Shirley Anderson, and
unanimously carried to approve the simple subdivision provided the
drainage and utility easements are included.
9. Consideration of approving final subdivision plat - Charles Ritze.
Mr. Charles Ritze presented his final plat for the proposed Ritze Manor
Second Addition that would create three lots and an outlot from an
existing lot within Ritze Manor. The two newly created lots would have
frontage on River Street and one lot on Hilltop Drive. An Outlot A was
created to cover land area that is in dispute with Mr. Ritze's
neighbor, Reinhold Yager. It was noted that it would be the
responsibility of the developer of one of the lots to extend and
petition for hard surfacing of Hilltop Drive to provide access.
3
Council Minutes - 2/13/89
Motion was made by Dan Blonigen, seconded by Fran Fair, and unanimously
carried to approve the final subdivision plat as presented.
10. Consideration of Sunny Fresh Foods request.
Mr. Doug Luthanen of Sunny Fresh Foods was present at the Council
meeting to review problems their firm had experienced on January 16,
1989, regarding the quality of water encountered at their plant.
Mr. Luthanen noted that particles of iron or manganese were present in
the water which caused a loss of product and down time for their
employees. To alleviate the problem in the future, Sunny Fresh Foods
installed $3,127 worth of filtering equipment, and with installation
totaled $3,452, plus an expected expenditure of $28 per week for filter
replacements. Because of the additional cost to treat the water within
their plant, Mr. Luthanen requested reimbursement for this expenditure
in that he felt the City was obligated to provide clean water.
Public Works Director, John Simola, noted that Sunny Fresh Foods is the
largest consumer of water in Monticello and that the existing water
lines on 4th Street are older and either the weather conditions or the
age of the pipes may have been the cause for iron particles to be
dislodged. It was noted that in order to ensure pure water in the
future, a business such as Sunny Fresh would have to install filter
equipment within their building, as there would be no guarantees this
could not happen again. It was also suggested that another remedy in
the future could be to install a new service line off of 5-1/2 Street
where the City has a relatively new larger water main. The likelihood
of scalings being dislodged from the pipe and entering their system
would be lessened due to the fact the system is newer from 5-1/2 Street
and it also may increase pressure due to the larger pipe size.
Councilmember Blonigen favored the idea of researching the installation
of a new service line for their facility but questioned whether the
City should be liable for final filtering cost if an industry or
resident desired such equipment. It was noted that the City provides
water but cannot guarantee the absolute purity of any water supply.
After further review, it was the general consensus of the Council that
the Public Works Director prepare a feasibility study on the
installation of a new service connection from 5-1/2 Street for Sunny
Fresh Foods and recommendations on cost apportionment of this project.
The possibility exists that a credit can be granted to Sunny Fresh
Foods for a portion of this replacement water main service.
11. Consideration of reimbursement for damage on sewer backup - Ben James.
At the previous Council meeting, Mr. Ben James requested reimbursement
for damages he incurred for a sewer backup at his property on
January 10, 1989. The Council requested City staff to supply
additional information to the City's insurance carrier for their review
and reimbursement if appropriate.
4
Council Minutes - 2/13/89
The insurance company again indicated that they would not be honoring
any claim for damages, as they felt the City was not liable or
negligent in its operation of the sewer system. As a result, the City
Administrator met with Mr. James to review his claim for damages to
arrive at a dollar amount that could be presented to the City Council
for their consideration if they wish to voluntarily provide some
compensation to Mr. James. Mr. James had initially claimed damages of
more than $6,000; and after meeting with the City staff, he had
indicated a willingness to accept a $2,500 reimbursement to cover his
expenditures. The Administrator recommended that if any reimbursement
was granted, he could support only $2,177 of this amount to cover
carpet replacement, motel and lodging expenses incurred, and the actual
cleaning of Mr. James' basement. The Administrator also noted that it
was the opinion of the City Attorney and also of the insurance agency
representing the City that a precedent could be established if the City
voluntarily reimbursed a property owner for any damages the insurance
company did not feel was the responsibility of the City.
Councilmember Blonigen indicated opposition to any taxpayer payment for
damages if the City's insurance company did not feel the City was
liable. Councilmembers Maus and Fair felt this situation may have
enough circumstantial evidence to indicate the sewer line was plugged
within the street, and the City could warrant some restitution to cover
Mr. James' damages. Councilmembers Smith and Anderson were not
convinced the City was at fault and were concerned about the precedent
it could establish in the future, especially with the City Attorney and
the insurance agency recommending against any payment.
As a result, motion was made by Dan Blonigen, seconded by Warren Smith,
to deny reimbursement for any expenditures incurred by Mr. James.
Voting in favor of the denial: Dan Blonigen, Warren Smith, Shirley
Anderson. Opposed: Fran Fair, Ken Maus. Motion carried.
12. Consideration of authorizing the purchase of fire department equipment.
Mr. Willard Farnick, Fire Chief, appeared before the Council requesting
authorization to purchase 800 feet of high volume, 5 -inch hydrant
hose. The estimated cost of the purchase was $4,192, and $5,000 was
included in the 1989 budget for this purpose.
Motion was made by Dan Blonigen, seconded by Shirley Anderson, and
unanimously carried to approve the purchase of hose in the amount of
$4,192.
13. Consideration of adopting recycling plan and authorization to prepare
RFP.
Public Works Director, John Simola, presented to the Council a
recycling plan for the City of Monticello to meet Wright County target
dates of April 1, 1989, for plan submittal, and July 1, 1989, for
operational start of a curb -side recycling program. As part of the
plan proposed, the City would request proposals from outside
5
140
Council Minutes - 2/13/89
contractors to implement the recycling program starting in July 1989.
Mr. Simola noted the plan would call for individual residents to
recycle initially three items consisting of glass, newspaper, and
aluminum or bi-metal cans. In order to facilitate the program, it was
recommended that each household be provided with three containers
specially marked for each item which the City would purchase at a total
cost of approximately $24,295. The three individual containers would
total $18.24; and it was recommended that the City require each
homeowner to purchase three containers for half price, with half being
paid by the City. Larger containers were recommended for apartment
buildings that would also be half paid for by the City initially.
In order to monitor the recycling program, each home and apartment
would receive a bar code that would be attached to each container
allowing the contractor to identify individuals who recycle. It was
suggested that individuals who choose not to participate in a recycling
program could be penalized by requiring the individual to pay for the
current garbage cost on their quarterly sewer and water billings. This
would amount to $7 per month as an additional charge if an adequate or
reasonable amount of recycling was not done.
It was recommended by the Council that after the initial three
containers are supplied to the residents, the resident would be
responsible for the full cost of a replacement container if needed; and
the City would try to establish a local distributor for additional
containers. As an additional incentive for participating in a
recycling program, the City is interested in establishing a prize award
on a•monthly or quarterly basis to reward those that do participate.
In addition, the $9.12 cost for the three cartons to be borne by the
resident could be included over two quarters on an individual's sewer
and water bill.
After further discussion, motion was made by Fran Fair, seconded by
Shirley Anderson, and unanimously carried to approve the curb -side
recycling plan as presented and authorize the preparation of a request
for proposals to be submitted to the Council for approval on March 13,
1989.
Consideration of authorizing additional clerical staff appointments.
At the November 14, 1988, Council meeting, authorization was granted
establishing a new clerical position entitled Data Entry
Clerk/Secretary. Since that time, the current Utility Billing Clerk,
Lynnea Gillham, has indicated she would be retiring in the near future;
and as a result, two positions were available. With the basic
responsibilities and duties similar for both positions, the staff had
received approximately 180 applications for the clerical positions,
which were reviewed and interviews conducted for the qualified
candidates. The candidates selected for interviews had the general
qualifications for data entry clerks, secretarial skills, and also
knowledge of city accounting practices, including computer
implementation and knowledge. Due to the City's current focus on
Council Minutes - 2/13/89
implementing its accounting system on computer, the Administrator and
Assistant Administrator recommended hiring Cathy Shuman of Monticello
for the position being vacated by Lynnea Gillham, which will cover
general utility billing clerk responsibilities and receptionist,
including other secretarial duties. It was also recommended that
Vickie Bidwell be hired for the second position to also include general
secretarial duties and data processing entry, along with a primary
focus on deputy registrar clerical duties. This recommendation was
based not only on qualifications of the candidates but also Vickie's
current knowledge of word processing and accounting system
implementation for the City as a temporary employee for the past eight
months.
Councilmember Smith and Anderson questioned whether the City was
required to advertise separately for this second clerical position
created by the resignation of Lynnea Gillham. The Administrator
indicated that due to the similarity of the positions and the large
number of applicants that had originally applied, he did not feel the
need was necessary for a second advertisement, as it seemed reasonable
to assume the same individuals would apply for either position.
After further discussion, motion was made by Fran Fair, seconded by
Shirley Anderson, and unanimously carried to authorize the appointment
of Cathy Shuman and Vickie Bidwell as additional clerical staff members
under normal probationary periods with a starting pay of $8.95 per
hour.
15. Consideration of authorizing establishment of a Section 125 Plan for
employee benefit program.
The City's health insurance carrier, Principal Mutual, has made
available plan documents that allow the employer to set up a
Section 125 Plan approved by the Internal Revenue Service that would
allow a non-taxable treatment of employee contributions to group
benefit plans. The establishment of the plan allows any contributions
on behalf of the employee toward health insurance cost to be considered
before tax contributions, and thus save the employee federal, state,
and social security taxes on the amount contributed, and also the
employer saves social security contributions on the contribution
amount.
The plan is currently being reviewed by the City Attorney, who has
initially approved the concept. As a result, motion was made by Warren
Smith, seconded by Shirley Anderson, and unanimously carried to
authorize the establishment of a Section 125 Plan for the City of
Monticello employees.
Rick Wolfstqyler
City Admini trator
VA