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City Council Minutes 03-13-1989MINUTES REGULAR MEETING - MONTICELLO CITY COUNCIL Monday, March 13, 1989 - 7:30 p.m. Members Present: Ken Maus, Fran Fair, Shirley Anderson, Warren Smith, Dan Blonigen 2. Approval of minutes. 3. 4. Motion was made by Dan Blonigen, seconded by Shirley Anderson, and unanimously carried to approve the minutes of the regular meeting held February 27, 1989. Citizens comments/petitions, requests, and complaints. None forthcoming. Public Heari Development Authority. - Consideration of ordinance amendment deleting Industrial mission and establishing the Economic Development Assistant Administrator O'Neill presented a proposed plan submitted by the Industrial Development Committee to develop an economic development revolving loan fund to be entitled the "Greater Monticello Enterprise Fund" (GMEF). It was proposed that an Economic Development Authority be established to operate the fund and assure compliance with the GMEF guidelines. O'Neill went on to review the fund guidelines by reporting that the purpose of the Greater Monticello Enterprise Fund is to encourage economic development by supplementing conventional financing sources available to existing and new businesses. Through this program, loans are made to manufacturing and industrial businesses to help them meet a portion of their financing needs. The program is intended to be used in situations where a financing "gap" exists and is not designed to compete with lending institutions. O'Neill went on to describe risks associated with the program, and he also noted five communities that have successfully created new jobs in the community through utilization of a revolving loan fund. After the presentation, Council made inquiries regarding the program. Shirley Anderson asked why lending institutions could not provide 100% of the financing for development projects. O'Neill noted that bank policy may prohibit full financing of a project if the project does not meet certain criteria. This program is designed to supplement what the lending institution is not able to finance. Warren Smith requested additional information on revolving loan funds now in operation. Staff was asked by Smith to develop five examples of revolving loan funds that did not work in addition to the success stories that staff provided. With this information Council would be able to avoid potential pitfalls that this program may present. After discussion, it was the general consensus of Council that this program merits further study. Staff was directed to schedule a special meeting for the purpose of examining the topic further. 1 Council Minutes - 3/13/89 5. Consideration of a rezoning request to rezone R-2 (single and two famil residential) unplatted residential land to R-3 (medium density residential). Applicant, West Prairie Partners. Assistant Administrator O'Neill reviewed the rezoning request and informed Council of the recommendation to Council as submitted by the Planning Commission. O'Neill informed Council that the rezoning request was denied because the applicant failed to satisfy Section 22-d-5 of the Zoning Ordinance which requires that the need for the rezoning must be demonstrated. It was the view of the Planning Commission that sufficient R-3 property is now available in the city for development and that to add R-3 to the existing stock would not be in the best interest of the community. The proposal to add additional R-3 land to the existing stock troubled the Planning Commission in light of the strong shift in recent years toward construction of multi -family units versus single family units. Jim Metcalf commented on the proposal and noted that West Prairie Partners would not pursue the matter without community support. Karen Doty cited sections of the City Comprehensive Plan and Zoning Ordinance in voicing opposition to the proposed rezoning. She went on to request that Council adopt the recommendation made by the Planning Commission. Fran Fair thanked the public for information provided on this matter and went on to note denial of this rezoning request should not be made on the basis of input from neighbors, as neighborhood opposition is not a legal grounds on which denial of a rezoning request can be made. It was Fair's view that denial should be based on the Planning Commission finding that there is insufficient need to justify the proposed rezoning. Dan Blonigen concurred by saying that he in no way supports the rezoning request. After discussion, motion made by Fran Fair and seconded by Dan Blonigen to deny the rezoning request, as applicant failed to satisfy Section 22-d-5 which requires that a need for the rezoning request be demonstrated. Motion carried unanimously. 6. Consideration of a conditional use request to allow a daycare -group nursery in an R-2 (single and two family residential) zone. A variance request to allow no parking lot hard surfacing, no concrete curb around parking lot perimeter, and no landscaping requirements. Applicant, Peggy Hanawalt. Building Inspector, Gary Anderson, reviewed the plan for development of a day care center as submitted by Peggy Hanawalt. In the request, Hanawalt agreed to meet all terms of the conditional use request with one exception. Hanawalt asked if she could delay installation of the curb and paved surface for one season. Hanawalt noted that she would like to have more money available initially for items that will benefit the children using the facility. Mr. Catton of Monti Eduplay noted his K Council Minutes - 3/13/89 support of development of another day care facility in the community but went on to suggest that Council treat businesses alike. He noted that he was required to pave the Monti Eduplay parking surface at the time of opening of the facility. Staff noted to Council that if Council desired to grant a delay, the applicant would be required to supply the City with a financial guarantee that would assure the City that the parking lot would be completed within a certain time frame. After discussion, motion was made by Fran Fair and seconded by Shirley Anderson to approve the conditional use request and defer hard surfaced parking and curb requirements until September 11 1989. Conditions associated with operation include all those listed by the Planning Commission with the following additions: 1. Applicant must take measures to assure dust control prior to installation of hard parking surface. 2. Signs must be posted which indicate that traffic must not back onto the highway when exiting the facility. 3. A letter of credit or other guarantee must be filed with the City prior to gaining occupancy of the structure for business purposes. Motion carried unanimously. 7. Consideration of a rezoning request to rezone R-3 (medium density residential) residential platted land to R-2 (single and two family residential). Applicant, Dan Frie. After discussion, motion was made by Warren Smith and seconded by Fran Fair to approve the rezoning request, as all requirements have been met that are associated with a rezoning request as outlined in Section 22-d of the Monticello Zoning Ordinance. Motion carried unanimously. SEE ORDINANCE AMENDMENT NO. 170A. 8. Consideration of assessment appeal on 88-07 Project by Floyd Markling. Warren Smith noted that it was his hope that the Country Club and Markling would get together, and unfortunately this is not the case. Fran Fair noted that this is a no-win situation for the City and that further action will not result in bettering the situation. Consensus was not to have a reassessment hearing on the project. 9. Consideration of ordinance amendment regulating dogs and other domestic animals. City Administrator Wolfsteller and Animal Control Officer, Patty Salzwedel, reviewed the proposed ordinance amendments with Council. Salzwedel noted that the current ordinance does not adequately protect dogs or dog owners and that the provisions outlined in the ordinance, including licensing and vaccination requirements, will benefit dogs and dog owners. She went on to note that the ordinance does not call for the licensing of cats and that cats are picked up only on a complaint basis. 3 Council Minutes - 3/13/89 Administrator Wolfsteller noted that a rabies clinic could be offered with the program which would provide citizens with an inexpensive method to gain compliance with the new ordinance. Fran Fair noted her support for the ordinance. Shirley Anderson asked if indoor pets need to be vaccinated. Salzwedel responded by saying that it is probably good policy to have a pet vaccinated even if it is kept primarily indoors. Anderson also asked if a job is being created by adopting the new ordinance. Wolfsteller noted that no new job is being created and that added duties associated with administering the program will be assigned to Salzwedel and become part of her existing job. Salzwedel went on to explain that the proposed ordinance allows the Animal Control Officer to issue fines, whereas the existing ordinance does not. Warren Smith noted his support for the ordinance, as it provides the Animal Control Officer the means by which barking dog problems can be rectified. Dan Blonigen noted the benefits of adding teeth to the ordinance and added that staff should use discretion in administering the ordinance. Salzwedel was asked by Smith under what conditions would a person be able to walk a dog without a leash? Salzwedel responded by saying that leashes should be required when the dog is being walked in an area where there are people nearby. After discussion, motion was made by Warren Smith and seconded by Fran Fair to approve said ordinance amendments. Motion passed unanimously. SEE ORDINANCE AMENDMENT NOS. 169 AND 170. 10. Consideration of adopting an ordinance grant Wright Hennepin Electric Association. franchise rights to Administrator Wolfsteller informed Council that Wright Hennepin Cooperative Electric Association provides electrical service to a small part of the city of Monticello mainly on the east end of the city along East County Road 39 and within areas recently annexed from Monticello Township. As a result, as with other utilities serving residents within the city, Wright Hennepin has requested a franchise right to utilize the City's public right-of-ways for construction of their distribution system and transmission lines. Ken Maus noted the disparity in electric rates between NSP and Wright Hennepin Electrical Association. Maus suggested that staff determine if the City can use its authority to encourage expansion of NSP into areas now operated by Wright Hennepin Electric Association. After discussion, motion made by Shirley Anderson and seconded by Fran Fair to table the matter pending collection of additional information. Motion passed unanimously. 4 Council Minutes - 3/13/89 11. Consideration of commuter parking lot status. Tom Dolly presented information to Council which outlined the economic benefit associated with development of the commuter parking lot for business purposes. He also reviewed the configuration of a replacement parking lot which is proposed for a location next to the Silver Fox Motel. Administrator Wolfsteller noted that the current City policy is to preserve the commuter parking lot because the lot is in a good location for commuters; and by preserving the lot, the space is available at such time that a loop access to east I-94 is needed. It was also noted that this present policy is not cast in stone, as it may be a number of years before the loop access will be installed. It, therefore, might make sense to lease the property to a business for a period of years in anticipation of a future use of the property for highway purposes. Dolly indicated that a lease agreement would be acceptable to the businesses looking to locate on the site. John Simola discussed with the Council that the covenant on the deed reads such that the City is currently in violation, as not all of the site is used for a commuter lot at this time. Technically, the County could at this time require turn back. In addition, we should be allowed other public activities such as "Junk Amnesty Day" and other "special events," as well as an information center or other highway purposes. Tom Dolly also pointed out that his research shows that the City of Monticello was singled out for this covenant and that other lands had been turned back to other cities without such language. Warren Smith noted that the City should keep its options open regarding the site and work with the county in establishing a plan that is good for the County and the city. The City should not shut the door on any proposal to develop the property. Motion made by Fran Fair and seconded by Warren Smith to request further clarification of the restrictions associated with the deed submitted to the City by the County to permit its current and other public uses and continue to work with the County in the future for other potential uses of the property as the need arises. Motion passed unanimously. 12. Consideration of approving request for proposals on curb -side recycling and authorization to advertise. Public Works Director Simola reviewed the request for proposals prepared by the advisory committee. After his presentation, Ken Maus wondered if the City would generate sufficient compliance with the program on a voluntary basis. Maus suggested that the City consider operating the program on a voluntary basis to start; and if compliance is not what is expected, then make the participation mandatory. 5 Council Minutes - 3/13/89 Simola stated that the voluntary programs are more successful with a volume based garbage system where residents pay for waste pickup by the number of cans. They then see direct savings by producing less waste. Simola also stated that the proposed tracking system would be more costly and troublesome to implement if done after residents have received their containers. This information came from Jack Shelton and the City of St. Louis Park. Simola went on to note that participation will increase significantly if the program is mandatory, and the cost to monitor compliance will be offset by the revenue created by penalties. In fact, the penalties, even if only 10 percent of the residents choose to not recycle, will help offset waste pickup and disposal costs for the rest of the community, as well as fund a prize incentive program. After discussion, motion by Warren Smith and seconded by Fran Fair to approve said request for approval and authorize advertisement. Motion carried unanimously. 13. Consideration of approving specifications and authorizing advertisement for bids for recycling containers. Motion was made by Warren Smith to approve specifications and authorize advertisement for bids for recycling containers. Motion was seconded by Fran Fair and passed unanimously. 14. Consideration of adoption of Joint Powers Agreement outlining economic development powers of the City Council, Housing and Redevelopment Authority, and the Economic Development Authority. Item tabled per agenda item #4 above. 15. Consideration of adoption of Greater Monticello Fund Guidelines. Item tabled per agenda item #4 above. 16. Consideration of further action on the Monticello Celebrate Minnesota Program. Assistant Administrator O'Neill informed Council of the recent decision by the State of Minnesota Department of Trade and Economic Development to deny granting Monticello funds for the Monticello Celebrate Minnesota Program. O'Neill went on to describe the financial implications of not gaining the grant funds. After discussion, it was the general consensus of Council to affirm participation in the community entrance signage and landscaping and the Robert Leathers play structure portions of the project. It was suggested that the City take a second look at development of the Mississippi island into a passive park area. 2 Council Minutes - 3/13/89 17. Consideration of Change Order #1 for Pump House #3, Project 88-01C. Motion was made by Shirley Anderson and seconded by Dan Blonigen to approve said change order. Motion carried unanimously. 18. Consideration of additional payment request by City Engineer - OSM. City Engineer, John Badalich, outlined the circumstances leading to the request for payment in excess of the original quoted amount for work done on topographic maps. Badalich noted that OSM neglected to inform the City when the scope of the project expanded and that additional costs would be accrued. Shirley Anderson suggested that maybe OSM will remember to contact the City and/or provide an accurate quote if their request is turned down. Fran Fair found it difficult to justify the change in cost. Warren Smith and Dan Blonigen agreed. Ken Maus noted that we should be firm unless there are extenuating circumstances; except in this case, no communication was made regarding the change in circumstances. Motion made by Shirley Anderson and seconded by Dan Blonigen to authorize payment to the extent of the original quote. Motion carried unanimously. 19. Consideration of gambling license application - Ducks Unlimited Banquet. Council approved issuing license by consensus. 20. Consideration of authorizing final payment on County Road 39 Project, 88-01B, and Dundas Circle Project, 88-02 - LaTour Construction. Dan Blonigen asked if sufficient funds are held back to assure full completion of the project. Yes, was John Simola's response. Motion by Warren Smith and seconded by Fran Fair to approve said payment. Motion carried unanimously. 21. Consideration of authorizing cost analysis for upgrading streets in Monticello Industrial Park. Economic Development Director Koropchak reported that the Industrial Development Committee views the existence of streets in the industrial park with less than a 10 ton capacity as a detriment to economic development in the community. From a marketing standpoint and operational standpoint, it is vital that the streets have the capacity to handle 10 ton loads. After discussion, motion was made by Warren Smith and seconded by Shirley Anderson to conduct a feasibility study outlining the costs associated with upgrading streets in the Monticello Industrial Park. 7 Council Minutes - 3/13/89 22. Consideration of authorizing the Industrial Park streets not be posted. Jay Morrell of M & P Transport reported on the Industrial Development Committee recommendation to not post Industrial Park streets. He noted that most streets were installed when the standard was 7 tons and informed Council that the State of Minnesota raised that capacity of some state highways simply by posting higher weight limits. He went on to note that posting the roads as having limited capacity will hamper efforts of the sale and development of industrial lots. It was noted by Simola that in light of the possibility of upgrading the roads, it might make sense to continue to post the roads, thereby providing additional protection from damage which will result in a less expensive upgrading program. Motion was made by Fran Fair and seconded by Dan Blonigen to continue to post industrial park streets. Motion passed unanimously. 23. There being no further business, meeting was adjourned. Jeff O'Neill Assistant Administrator