City Council Minutes 07-11-2022REGULAR MEETING — MONTICELLO CITY COUNCIL
Monday, July 11, 2022 — 6:30 p.m.
Mississippi Room, Monticello Community Center
Present: Lloyd Hilgart, Jim Davidson, Bill Fair, Charlotte Gabler and Sam Murdoff
Absent: None.
1. General Business
A. Call to Order & Pledge of Allegiance
Mayor Hilgart called the meeting to order at 6:30 p.m.
B. Approval of Agenda
Councilmember Murdoff moved approval of the agenda. Councilmember
Gabler seconded the motion. Motion carried unanimously.
C. Approval of Meeting Minutes
• Regular Meeting Minutes from June 27, 2022
Councilmember Gabler moved approval of the minutes. Councilmember Fair
seconded the motion. Motion carried unanimously.
D. Citizen Comments
None.
E. Public Service Announcements
• Riverfest — Park & Recreation Director Tom Pawelk provided an overview of
all the activities taking place during Riverfest.
F. Council Liaison Updates.
• Planning Commission — Councilmember Gabler provided an update of
the Planning Commission meeting held on July 5, 2022. There were two
public hearings: zoning ordinance to allow storage boxes (tabled until
August) and zoning ordinance regarding retail uses was approved.
2. Consent Agenda:
Councilmember Fair moved approval of the Consent Agenda. Councilmember Murdoff
seconded the motion. Motion carried unanimously.
A. Consideration of approving the payment of bills. Action taken: Approved the bill
and purchase card registers for a total of $8,280,771.48.
B. Consideration of approving new hires and departures for City departments.
Action taken: Approved hire and departure for Hi -Way Liquor.
C. Consideration of approving the sale/disposal of surplus city property for the
Parks and Recreation Department. Action taken: No report this cycle.
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D. Consideration of adopting Resolution 2022-75 appointing election judges for the
August 9, 2022 Primary Election and November 8, 2022 General Election. Action
taken: Adopted resolution 2022-75 appointing election judges.
E. Consideration of approving a special event permit for the VFW for Summerfest
event on August 20, 2022. Action taken: Approved the special event permit.
F. Consideration of approving a temporary gambling permit for Wright County
Ducks Unlimited Chapter 39 for their annual event on September 12, 2022.
Action taken: Approved the gambling permit.
G. Consideration of authorizing a payment to the Coalition of Utility Cities for City
share of CUC membership dues in the amount of $44,755. Action taken:
Approved the payment for CUC membership.
H. Consideration of approving installation of security cameras at West Bridge, East
Bridge, Ellison, and Pioneer parks for a not -to -exceed amount of $38,000. Action
taken: Approved the installation of security cameras.
I. Consideration of approving quote from MP Nexlevel, LLC for FiberNet relocation
for the Block 52 redevelopment for $58,749.89. Action taken: Approved the
quote from MP Nexlevel for $58,749.89.
J. Consideration of approving quote from MP Nexlevel, LLC for FiberNet installation
within the Featherstone 6t" development for $77,688.20. Action taken:
Approved the quote from MP Nexlevel for $77,688.20.
K. Consideration of approving quote from Sir Lines A Lot for the 2022 Pavement
Marking Project for $23,535.04. Action taken: Approved quote from Sir Lines A
Lot for $23,535.04.
L. Consideration of adopting Resolution 2022-76 approving a Master Partnership
Contract with MnDOT. Action taken: Adopted Resolution 2022-76 approving
the Master Partnership Contract.
M. Consideration of adopting Resolution 2022-81 accepting donations from John
and Gloria Popa and Victor and Barbara Hellman in the amount of $580 for
MontiArts general use. Action taken: Adopted Resolution 2022-81 accepting the
donations.
3. Public Hearings:
A. PUBLIC HEARING: Consideration of adopting Resolution 2022-77 authorizing the
establishment of Economic Development Tax Increment Financing (TIF) District
1-46 within the Central Monticello Redevelopment Project No. 1, and the
adoption of the Tax Increment Financing Plan relating thereto.
Jim Thares, Economic Development Manager, provided an overview of TIF
District 1-46 related to the Wiha Tools expansion proposal. The estimated total
cost of Phase 1 is $13,000,000. Wiha Tools identified a financing gap of
$1,600,000 and was invited to submit a JCF Grant application to MN DEED while
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the City was asked to submit a MIF Grant application to MN -DEED to further
support the proposal. The development would increase their facility by 78,400
square feet and provide for 41 FTE jobs in the next three years.
Tammy Omdahl, Northland Securities, spoke on the TIF District. The proposed
development would occur in two phases with half being finished initially and the
second half completed in two or three years. This was noted because the tax
increment financing plan for this district includes both phases. The agreement
that the EDA will approve at a later date will decide the terms for that assistance.
They only receive the increment if both phases are completed. The life of the TIF
District is expected to be nine years.
Mayor Hilgart opened the public hearing. No one testified. Mayor Hilgart closed
the public hearing.
Minimal discussion among City Council.
Councilmember Gabler moved to adopt Resolution 2022-77 authorizing the
establishment of Economic Development Tax Increment Financing (TIF) District
1-46 within the Central Monticello Redevelopment Project No. 1, and the
adoption of the Tax Increment Financing Plan relating thereto. Councilmember
Davidson seconded the motion. Motion carried unanimously.
4. Regular Agenda:
A. Consideration of approving a Final Stage Planned Unit Development. Final Plat
and Development Agreement, and rezoning to Planned Unit Development for
Block 52 First Addition, a proposed mixed-use development (87 residential
apartment units and approximately 30,000 sq. ft. of commercial office and retail
use) in the Broadway and Riverfront Sub -Districts in the Central Community
District (CCD). Applicant: Mark Buchholz, Deephaven Development, LLC
Steve Grittman, NAC, presented the item. The subject site is located north of
Broadway (County Road 75) and west of Pine Street (State Highway 25) and
includes approximately 2.08 acres of land. The development is proposed to
occupy the majority of Block 52, overlaying 13 of the total 16 parcels which
comprise the block. The project includes 30,000 square feet of ground floor
commercial space, an underground parking garage and 87 dwelling units. Also
included are a rooftop open space for residents, a restaurant with a patio, a
promenade along Pine Street and an open plaza at the corner of Pine Street and
Broadway.
The Planning Commission recommended approval of all items. Council must
determine if the applicant meets the conditions as placed with the preliminary
plat and development stage approval when approving the Final Plat and Final
Planned Unit Development. Staff recommends approval of the Final Plat, Final
Stage PUD, and rezoning to PUD, and the Development Agreement.
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Mr. Grittman previewed the proposed site layout, building renderings, and the
plat layout. Also provided was the parking analysis of the proposed
development. The total available parking spaces is expected to be 286 spaces,
which is a surplus of parking for this development.
There are three decisions before the City Council. Exhibit Z includes a significant
number of conditions which the applicant is currently working on completing.
Some of the items are still outstanding, which were identified in the staff report.
Angela Schumann, Community Development Director, addressed the City Council
in regard to elements of the development agreement. Some of the items
included: trunk charges will not be applied as the proposed development is in
the core downtown area; cash in lieu dedication for park dedication; and escrow
securities are required. This development agreement specifies that if the Council
authorizes the completion of the Walnut Street corridor improvements, the City
will complete the reconstruction of the sidewalk along Broadway and the
addition of a sidewalk along the south side of River Street. In addition, will
continue the desired design from Walnut Street through to the sidewalks along
Broadway and River Street. The Developer will provide for the demolition of the
Broadway Street sidewalk as part of their project. The City will complete the
construction of the Broadway and River Street sidewalk improvements at the
City's cost. Funding for the Broadway and River Street sidewalk improvements
would be included in the 2023 budget from the Capital Project Fund.
Ms. Schumann noted that in relation to the public parking lot, one of the
conditions for approval is that the developer slightly adjust the lot line so the
three City owned lots remain intact in Lot 1. City parking lots will be maintained
and owned by the City.
Mark Buchholz addressed City Council and thanked staff for their efforts. He
noted that they are working with the City on completing all of the conditions.
There was minimal discussion and a few questions by City Council.
Councilmember Davidson moved adoption of Resolution 2022-78 approving
the Final Plat for Block 52 First Addition, subject to the findings in said
resolution and contingent on the conditions of Exhibit Z, and approval of the
Development Agreement for Block 52 First Addition, authorizing the Mayor
and City Administrator to execute said agreement, and further authorizing the
Mayor and City Administrator to negotiate and specify final changes or
amendments necessary to more fully execute the intention of the City Council
with respect to the proposed project. Councilmember Fair seconded the
motion. Motion carried unanimously.
Councilmember Fair moved adoption of Resolution 2022-79 approving the
Final Stage Planned Unit Development for Block 52 First Addition, subject to
the findings in said resolution and contingent on conditions in Exhibit Z.
Councilmember Murdoff seconded the motion. Motion carried unanimously.
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Councilmember Murdoff moved adoption of Resolution 2022-80 and
Ordinance 779 establishing the Block 52 PUD District and rezoning the subject
property to Block 52 First Addition PUD, Planned Unit Development District,
based on findings in said resolution. Councilmember Davidson seconded the
motion. Motion carried unanimously.
S. Adjournment:
The meetinp- was adiourned at 7:36 p.m.
Recorder: Jennifer Schreib
Approved:
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