IDC Minutes 08-17-2000MINUTES
• MONTICELLO INDUSTRIAL DEVELOPMENT COMMITTEE
Thursday, August 17, 2000 - 7:00 a.m.
City Halt - 505 Walnut Street -Academy Room
MEMBERS PRESENT: Tom Lindquist, Bill Tapper, Bab Mosford, and Jim Amundson.
MEMBERS ABSENT: Chair Tom Ollig, Vice Chair Kevin Doty, Don Smith, Dick Van
Allen, Don Roberts, Mike Benedetto, and Dan Carlson.
COUNCIL LIAISON ABSENT: Mayor Roger Belsaas.
STAFF PRESENT: Rick Wolfsteller, John Simola, and Ollie Koropchak.
GtTEST PRESENT: John Bondhus, Bondhus Corporation
l . Call to Order.
In the absence of the IDC Chair and Vice Chair, Tom Lindquist called the IDC meeting to
order at 7:10 a.m. Koropchak noted Ollig, Smith, and Van Allen informed the IDC office
of their planned absence.
• 2. Consideration to approve he July 20.2000 IDC minutes.
Due to a lack of quorum, the July minutes were not approved.
3. Consideration of uudates:
Mayor Belsaas - Ma or's report
Absent - No report.
Koropchak -Pros ect and BRE
See Attachment.
Smith, Ollig, qr Van Allen - Marketing
No report.
4. Continued -Consideration of an update on the vro~ress to _actively pursue acauisition of
land for future industrial use.
~ Grading Stud~for Chadwick parcel.
Draft coQY of Swap Agreement between City and Chadwick parcel.
Administrator Wolfsteller updated the members on the progress of negotiations between
the City and Chadwick stating: There appears to be a snag in the negotiations due to the
amount of gravel for mining and the time allowed to mine. At the last meeting between
the Chadwick group and the City Staff and Engineer Consultarrt, the City Engineer
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IDC Minutes - 8/17/00
• presented a preliminary grading study showing the current topography and a suggested
topography or elevation after mining which would be acceptable for development. After
seeing the preliminary study, the Chadwick group appeared to drag their feet as their
return was not as expected. The City Engineer is putting together cost estimates for
development of infrastructure to the site, these estimates will assist the City in further
negotiations as the estimates will indicate if there is room for negotiations and how much.
An IDC member asked: Is the amount of gravel insufficient or is the amount of gravel
insufficient because of what the city will allow? A combination of both responded
Wolfsteller, initial miscalculation by the Chadwick Group and the city does not want to
acquire a site with aground-water table that is not economically feasible to develop.
Following the last meeting via the city engineer, the figure of 600,000-$800,000 was
thrown-out by the Chadwick Group. With the Chadwick Group on vacation for two
weeks and awaiting the estimated infrastructure development costs from the engineer, a
follow-up meeting has not been scheduled. Wolfsteller informed the IDC, the City
invested $400,000 for Phase II of West Chelsea Road in anticipation of the City owning
the property and for accessibility to the anticipated future industrial park. However, the
City still has some edge as the mining permit is for 45-acres only and not the entire site.
The City needs the study on the costs far infrastructure development before setting the
next meeting. If not the Chadwick site, then where would we go? An IDC member
expressed with the addition of the recycling permit, the traffic along West Chelsea will
greatly increase. Perhaps, it's time the City involve a third party as a mediator. Is the
• swap deal slipping away because the Chadwick Group lost a potential commercial project?
was another thought expressed.
Update an Chelsea Road West Development.
West Chelsea Road is expected to open August 28 and the commuter lot relocated and
Oakwood Drive West closed next week as plans for construction of the I-94 ramps begin.
5. Continued -Consideration to review and discuss city engineer contracts, fees. and rocess
of improvement projects.
John Bondhus, Bondhus Corporation, repeated his concern relative to the process and
timeliness for development of city infrastructure improvemenrt projects and felt the need
for the City to hire two engineer consultants: one engineer hired on a fee basis to oversee
the city's overall infrastructure system and another hired on a contract basis for individual
city projects. John Simola, Public Works Director, noted within the water department,
other engineers are used. He continued noting in the past, the hiring of two engineers has
been discussed by the City, as the City has more work than WSB can handle. Also noted
was, in some cases, fees don't follow contracts using the example of the Highway 25
project. We have the same concerns expressed Simola.
In order to meet future development, the City has looked tv do projects in smaller phased
sections. Simala told members the City is restricted by the CPA to a single point
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IDC Minutes - 8/17/00
• '
discharge and 21b. limitation permit. The City
s option is to find an alternative discharge
point. The single point discharge being the treatment plant along the Mississippi. Simola
reviewed the system stating the Front Street/River Street line was installed about 40 years
ago and has a life expectancy of maybe another 5-10 years. The interceptor line along the
raih-oad track is 24 inches and at a depth of 35 feet. The pipe reduces to 18 inches by
Ruffs. NSP flows to the Chestnut Street and the overload is pumped into the RR line as
well as Washington Street is pumped into this system built which was built in the 80s. All
the new east housing development flows down the Mississippi Drive line. No one
anticipated the growth of the city and the need for a new and larger interceptor line? A
temporary route by Rums Auto can serve a portion of Groveland and the industrial area.
However, it was the City's hope to get the major link or first section in and under the
freeway. As you recall, prior to the reconstruction of County Road 75, the line was
installed underneath. In order to allow future expansion to the west by Bondhus, the line
was moved westerly. Because of the 35 ft depth and the 160 ft width necessary for
installation of the line and with the understanding, the School's desire was for immediate
benefit of the Nature Park/Pond; the City felt installation of the line prior to development
of the park/pond made good sense. Not knowing the timing for development of the
Chadwick, Groveland, and Gold Nugget properties, the City had hoped to acquire
easements and install the line under the railroad tracks and freeway. The City
misunderstood the desire of the School. To raise the sanitary sewer trunk fee may hinder
• development. Bondhus told city staff: In his business, they don't buy until there is need.
He again questioned the process and how the city decides to proceed with a project? The
Council authorizes staff or the engineer to proceed with a project. Does the engineer push
for projects? The Council relies on the expertise of the engineer. Simola said he was
comfortable with the water system; however, he sees a gray area with the sanitary sewer
system. Bondhus and Tapper agreed of the need for two city engineers both hired from
the outside not internally. One to oversee the plan and one for design and construction.
They suggested have plans, get easements, and wait on installation. Simola stated he was
in-favor of two engineers. Bondhus suggested Administration check with other cities if
they have one or two engineers. Bondhus believes more than one engineer firm is not a
waste of money as it eliminates conflict of interest and is a checks and balance system. He
prefers outside firms rather then inside firms.
6. Consideration of an update relative to the IDC Banquet reported by the Committee.
Koropchak reported the committee met and targeted September 26 or 28 as the banquet
date. Ted Mondale was contacted to speak about urban sprawl; however, he declined due
to conflict. 5t. Paul Mayor Norm Coleman is now being approached. The event will
include wine tasting and will be held at the Vintage Grill.
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IDC Minutes - 8/17/00
7. Consideration of accepting the resignation of Shelly Johnson as member of the IDC.
Due to a lack of quorum, no action was taken. Koropchak suggested members think
about a replacement for Shelly. Members agreed the membership should be more
diversified meaning by professions.
8. Other Business.
None.
9. Adjournment. Next IDC meeting, September 2 L 2000.
The IDC meeting adjourned at 8:30 a.m.
Ollie Koropchak, Recorder
r:
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