City Council Minutes 01-27-2003MINUTES
REGULAR MEETING - MONTICELLO CITY COUNCIL
Monday, January 27, 2003 - 7 p.m.
Members Present: Roger Carlson, Glen Posusta, Brian Stumpf and Bruce Thielen.
Members Absent: None
1. Call to Order and Pledge of Allegiance.
Mayor Thielen called the meeting to order at 7 p.m. and declared a quorum present. The Pledge
of Allegiance was said.
2. Approve minutes of the January 13, 2003 regular Council meeting
BRIAN STUMPF MOVED TO APPROVE THE MINUTES OF THE JANUARY 1-3,,2003)
REGULAR COUNCIL MEETING. ROGER CARLSON SECONDED THE MOTION.
MOTION CARRIED UNANIMOUSLY.
3. Consideration of adding items to the agenda.
The Council added appointment to the EDA as a consent agenda item and Brian Stumpf asked that
the vacancy on the Police Commission also be added to the agenda.
4. Citizens comments/petitions, requests and complaints.
Mayor Thielen explained the purpose of the citizen comment portion of the Council meeting. No
one came before the Council.
5. Consent Agenda
A. Consideration of ratifying new hires as identified. Recommendation: Ratify the new
employees as identified.
B. Consideration of renewal of pawn shop license for Walt's Pawn Shop. Recommendation:
Approve the license renewal for 149 West Broadway contingent upon receipt of the license
bond in the amount of $5,000.
C. Consideration of annual EDA appointment. Recommendation: Move to appoint Clint
Herbst to the Economic Development Authority with his term expiring on December 31,
2008.
r Council Minutes - 1/27/03
Jeff O'Neill stated that Richard Quick had met with staff regarding the appeal of the Planning
Commission approval of a variance request by TDS Telecom and Mr. Quick had withdrawn his
appeal of the Planning Commission decision.
ROGER CARLSON MOVED TO APPROVE THE CONSENT AGENDA WITH THE
ADDITION OF ITEM 95C5 EDA APPOINTMENT, AND #8, APPEAL OF PLANNING
COMMISSION VARIANCE APPROVAL. BRIAN STUMPF SECONDED THE MOTION.
MOTION CARRIED UNANIMOUSLY.
6. Consideration of items removed from the consent aLyenda for discussion.
None.
7. Public hearing on adoption of delinquent utility accounts for third quarter 2002 and
certification of delinquent amounts to the County.
Mayor Thielen explained the purpose of the public hearing noting that the hearing was a statutory
requirement before the delinquent utility amounts could be certified to the County Auditor's Office.
Brian Stumpf noted that all the accounts received the $50 charge even though the delinquent
amounts varied greatly. He asked whether the $50 was the maximum the City could charge. City
Administrator Rick Wolfsteller stated that the $50 charge helped defray the costs related to
certifying the amounts to the county. The City also charged a penalty amount which is 4% of the
unpaid amount. Rick Wolfsteller will report back to the Council at the next meeting with a
recommendation on whether the $50 charge should be changed. Rick Wolfsteller did point out that
changing the amount charged would require an amendment to the ordinance.
Mayor Thielen opened the public hearing. There was no one present who spoke for or against the
proposed assessment of delinquent utilities. Mayor Thielen then closed the public hearing.
BRIAN STUMPF MOVED TO ADOPT THE ASSESSMENT ROLL FOR DELINQUENT
UTILITY CHARGES AS PRESENTED. GLEN POSUSTA SECONDED THE MOTION.
MOTION CARRIED UNANIMOUSLY. Resolution No. 2003-7.
8. Consideration of appeal of Planning Commission decision to approve a variance request by
TDS Telecom to reduce the buffer yard setbacks.
Included with consent agenda.
9. Consideration of approving proposed purchase and lease agreements of exchange of the
library facility and Marquette Bank property.
City Administrator, Rick Wolfsteller, updated the Council on the status of the land exchange with
1)
Council Minutes - 1/27/03
Wells Fargo. The City Attorney had prepared the legal documents covering the land exchange and
had sent them to Wells Fargo for review and execution. Wells Fargo's preliminary indications to
the City Attorney was that Wells Fargo was okay with the documents. Later the City was notified
that Wells Fargo wanted to make a change to the documents that would have the City pick up the
special assessments that were levied against the Marquette Bank Building which would be
approximately $30,000. The City was surprised by the request since the question of special
assessments had not been raised in any of the previous discussions regarding the land exchange nor
was it covered in the letter of intent that was signed by the parties. Since this was a change to the
original proposal, the City Administrator felt the Council should review the proposed change. Rick
Wolfsteller stated that negotiating this item could extend the time frame for getting the library into the
new location. Rick Wolfsteller also informed the Council that the City had received the appraisal
for the vacant land adjacent to the Marquette Bank site from Lake State Realty Services which
established a value of the land at $5/sq. ft. or $93,500 for the 18,645 sq. ft. parcel.
The Council and staff expressed their frustration and disappointment with the latest change sought by
Wells Fargo. The Council felt that the City had negotiated in good faith to complete the land
exchange so the library could relocate and they felt this issue should have been raised earlier in the
negotiations. However, the Council felt at this point in time with the library closed and in the process
of preparing to relocate, the City did not have many options available to them. Matt Brokl, City
( Attorney stated that generally unless specifically noted in the agreement the seller is responsible for
special assessments. Glen Posusta pointed out that this was not a typical land transaction. Glen
Posusta felt the City was getting a new building in exchange for one that was over 20 years old and
if there was $30,000 in special assessments tacked onto this, that did not mean the City was no
longer getting a good deal. Since the library is presently closed, he felt the City should do everything
in its power to get it back open again. Matt Brokl clarified that Wells Fargo was not asking the
City to pay for assessments that were levied on the property by another entity such as the county but
was asking the City to pay for the City's cost of improvements for the property.
Mayor Thielen stated that the $30,000 in special assessments although not a major setback to the
deal was disappointing because the issue was not raised sooner and the City was pressured into
accepting this in order to get the library relocated. He stated that while the land exchange was a
good deal for the City it was also a good deal for Wells Fargo.
The Council discussed the purchase of the vacant land adjacent to the bank site. It was noted that
the assessments were split between the vacant parcel and the building site. Rick Wolfsteller stated
that if the City accepted the assessments on the property the value of the land would be $4.85 sq. ft.
or if the current owner assumed the assessments the appraisal rate would be $5/sq. ft. Matt Brokl
felt the City should give the option to Wells Fargo to accept payment of $93,500 with the bank
taking care of the special assessments or receiving $93,500 less the amount of the assessments.
GLEN POSUSTA MOVED TO AUTHORIZE SUBMITTAL OF THE PURCHASE
AGREEMENT BASED ON THE CITY PICKING UP THE APPROXIMATE $30,000 IN
C- ` Council Minutes - 1/27/03
SPECIAL ASSESSMENTS AND THAT THE CITY ACCEPT THE APPRAISAL OF $93,500
AS THE PRICE FOR THE VACANT PROPERTY ADJACENT TO THE BANK WHICH
WOULD INCLUDE THE COST OF THE ASSESSMENTS. ROGER CARLSON
SECONDED THE MOTION. MOTION CARRIED UNANIMOUSLY.
City Attorney Matt Brokl stated he will be working out the lease documents that would allow for the
library to be in the building prior to closing on the land exchange and will bring those documents
back to the Council at the next meeting. Glen Posusta asked about the time frame for getting the
library relocated and Rick Wolfsteller indicated that there is some remodeling work that needs to be
done to the bank building to make it usable for the library but it is hoped that work could be
accomplished in the next couple of weeks.
10. Approve payment of bills for Januar;.
BRIAN STUMPF MOVED TO APPROVE PAYMENT OF BILLS. ROGER CARLSON
SECONDED THE MOTION. MOTION CARRIED UNANIMOUSLY
Adds - l TtPmc-
( Brian Stumpf stated that there is a vacancy on the Police Commission. Liz Demarais who had served on the
Commission for six years was stepping down. Brian Stumpf expressed his thanks to Liz Demarais for her
service on the commission.
11. Adjourn.
GLEN POSUSTA MOVED TO ADJOURN AT 7:30 P.M. ROGER CARLSON SECONDED
THE MOTION. MOTION CARRIED UNANIMOUSLY.
0 aAXXY-1 A-.0 S, �j� . 0-,
Recording Secretary
C!