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City Council Minutes 04-13-1981MINUTES REGULAR MEETING - MONTICELLO CITY COUNCIL April 13, 1981 - 7:30 P.M. Members Present: Arve Grimsmo, Dan Blonigen, Fran Fair, Ken Maus, Phil White. Members Absent: None 1. Consideration of Possible Sale of Municipal Liquor Store. Mr. Mel Worth approached the City Council about the possibility of purchasing the municipally owned off -sale liquor store. Mr. Worth indicated that if the City Council was receptive to the idea, he would prepare an offer that would be very commensurate with the appraisal done in September of 1978 with an allowance made for inflation since that time. The City had previously considered the sale of the municipal liquor store, but at that time, no action was taken, and now Mr. Worth was approaching the Council to see what their reaction would be to the possible sale at this time. The general feeling of Councilmen White, Blonigen and Fair was that at the present time, the liquor store operation was a money -making proposition for the City, and unless the asking price of the liquor store was well above the appraised amount, the City would be financially better off to continue operating the store rather than selling it. Councilman Maus indicated that he would be receptive to the possibility of selling the store if it was shown that the City, over the long run, would not be financially behind because of the sale. Mayor Grimsmo indicated that in his opinion the City no longer needs to operate a liquor store to control the sale of liquor, but could do this by the issuance of licenses, and felt that even though the City may lose some money financially each year, this would be a small amount compared to the total expenditures and budget of the City. He also felt that the City would be eliminating a potential liability factor by selling the store. City Administrator, Gary Wieber, informed the Council that if the City were to sell the liquor store operation for approximately $500,000, which is the 1978 appraised value plus a built in inflation factor of 1% per month, the City would still financially lose approximately $18,000 per year vs. net income from the operation. Motion was made by Dan Blonigen, seconded by Phil White to not consider at the present time selling the municipal off -sale liquor store operation. Voting in favor: Dan Blonigen, Phil White, Fran Fair. Opposed: Ken Maus and Arve Grimsmo. - 1 - Council Minutes - 4/13/81 2. Consideration of Acquisition of Kermit Lindberg Residence -Adjacent to Wastewater Treatment Plant. Previously, Kermit Lindberg approached the City to see if they would be interested in purchasing his home and approximately 4.2 acres of land adjacent to the Wastewater Treatment Plant. Two appraisals have been received from Maxwell Realty and Realty Station on the Kermit Lindberg residence and adjoining property, and are as follows: APPRAISER Jack Maxwell 2/19/81 Realty Station 3/9/81 HOMESITE REMAINING LAND TOTAL $55,330 $55,500 $32,670 $45,000 $100,500 Mr. & Mrs. Kermit Lindberg felt that both appraisals, including their own appraisal done by Realty Station, were low and their asking price was $120,000. The Council discussed with the City Engineer, John Badalich, whether this site would be a good acquisition for future expansion at the Wastewater Treatment Plant, and it was the opinion of the engineer that this additional land area would be adequate for future expansion even 20 years from now. It was the consensus of the Council that since two appraisals have already been received and range in price from $88,000 to $100,500, it would appear that the value of this land is in this neighborhood and that the City should pursue acquisition of the property using these appraised values. Motion was made by Fran Fair, seconded by Dan Blonigen and unanimously carried to authorize the City Administrator to draw up a purchase agreement for the purchase of the Lindberg's property with a price not to exceed $100,000. This offer will be presented to Lindbergs and then presented to the City Council for their approval. 3. Consideration of Authorizing Removal of Former Bob Dowling Home and Garage. Previously, the Public Works Director was asked by the City Council to accept proposals on the removal of the Bob Dowling home and garage which will become the site of the parking lot for the new library. To date, the following proposals have been received thus far: A. Quotation from S & L Excavating to remove the house for $2,500 (a ver- bal quotation was initially received for $3,000, and later on a written quotation was submitted). B. Quotation from Brenteson Construction to remove the house for $2,650. C. Proposal has been received by another individual to remove both the house and garage at no cost to the City, but requiring that the City fill in the basement, haul the debris, provide insurance. As a result, the City would incur costs for these items. - 2 - Council Minutes - 4/13/81 D. Proposal was reviewed at the last Council meeting submitted by Mr. Severson. Mr. Severson proposed either to relocate the home and garage, or remove it similar to the proposal indicated above, that is, the City would still be required to fill in the basement, haul the debris, provide the insurance. Mr. Dave Severson informed the Council that as of the present time, he was having difficulty in finding a lot, and asked for a couple more weeks to try and locate a suitable site to move the home to. It was noted that the quotations received from S & L Excavating and from Brenteson Construction Company to demolish and remove the home were about to expire, and that some type of action should be taken soon if these options were going to be exercised. It appeared to the Council that a suitable site to move the Dowling house to would not be found in the near future, and therefore, a motion was made by Dan Blonigen, seconded by Ken Maus and unanimously carried to accept the quotation from Brenteson Construction Company in the amount of $2,650 for the removal of the Dowling building within 90 days, with the City retaining the rights to the garage and various other items in the house. 4. Consideration of Change Order #6 on the Wastewater Treatment Plant Contract with Paul A. Laurence Company. i It was recommended by the City Engineer that Change Order #6 on the Waste- water Treatment Plant contract for an additional $275 to replace erroneously specified translucent fiberglass tank siding panels with corrosion resistent opaque fiberglass panels be approved by the City. Motion was made by Ken Maus, seconded by Fran Fair and unanimously carried to approve Change Order #6 in the amount of $275 with the Paul A. Laurence Co. 5. Consideration of Adoption of Ordinance to Establish a Library Board. Minnesota State laws require the appointment of a Library Board upon the establishment of a library. One of the ways that this could be established was through the adoption of an ordinance by the City of Monticello. A proposed ordinance establishing a library board was drafted for the Council's review, which was modeled after other library board ordinances received from the League of Minnesota Cities. According to State Law, the Library Board itself would have exclusive control of the expenditure of all monies credited to the library fund. However, the budget for the library board would be set by the City Council. - 3 - Council Minutes - 4/13/81 In addition to the ordinance itself establishing the library board, the Mayor, with the approval of the City Council, would appoint the number of board members as specified in the ordinance. Motion was made by Fran Fair, seconded by Dan Blonigen to adopt an ordinance to establish a library board consisting of five members with up to one member being from the City Council with all members of the board being from within the City of Monticello. Opposed: Ken Maus, Fran Fair, Arve Grimsmo. In Favor: Phil White, Dan Blonigen. A new motion was made by Fran Fair, seconded by Ken Maus to adopt an ordinance establishing the library board consisting of five members, with up to one member being from the City Council and requiring at least four members of the five -member board to be residents of the City of Monticello. Voting in favor: Ken Maus, Fran Fair, Arve Grimsmo. Opposed: Phil White, Dan Blonigen. (See Ordinance Amendment 4/13/81 #96). 6. Consideration of Adoption of Ordinance Regulating Peddlers, Solicitors, and Transient Merchants. The purpose of this item was to consider adoption of an ordinance that would require a permit of solicitors, peddlers, hawkers and transient merchants before they could do business within the City of Monticello. The following is a definition of each category: SOLICITOR - Individual who goes from door-to-door soliciting orders or requests for merchandise to be delivered in the future. PEDDLER OR HAWKER - Individual who travels from place -to -place with no fixed place of business, carries with him merchandise he offers for sale, sells merchandise at the time he offers it for sale, delivers his merchan- dise at the time he consummates the sale, and sells to the ultimate con- sumer, not to retail dealers. TRANSIENT MERCHANT - Individual or firm who leases or uses a building, structure, vacant lot or railroad boxcar for the exhibition and sale of mer- chandise in the course of transacting a temporary and transient busi- ness either in one locality from time -to -time, or in traveling about from one place to another. The primary reason for considering the adoption of this type of an ordinance was due to the fact that presently some non-profit organizations have been selling items such as fertilizer, etc. within the City of Monticello. Technically, our present ordinance does not really allow an organization to engage in a transient business, and as a result, an ordinance to that effect should be considered if this type of activity is to be allowed in the future. - 4 - Council Minutes - 4/13/81 Although one new ordinance could regulate all three categories such as solicitor, peddler and transient merchant, it was recommended by the City Staff that the City only adopt and try and regulate a transient merchant, as a peddler or solicitor goes door-to-door giving each individual pro- perty owner an opportunity to post no soliciting signs if they are not interested. Currently, solicitors, peddlers and hawkers, etc., are not in violation of any existing ordinance, and other cities have attempted to restrict solicitation, etc., but these ordinances have been struck down by the courts as an infringement upon their rights. The proposed ordinance regulating only transient merchants would require each individual to obtain a permit from the City and still require them to comply with the proper zoning districts in conducting their business even though they would not comply with other provisions of the zoning ordinance such as landscaping, parking requirements, etc. In addition, the ordinance would limit a transient merchant to a period of five days which would discourage a transient merchant from competing on a permanent basis with merchants who pay real estate taxes, etc. Motion was made by Ken Maus, seconded by Phil White to adopt an ordinance that would regulate transient merchants within the City of Monticello. Voting in favor: Arve Grimsmo, Ken Maus, Phil White, Fran Fair. Opposed: Dan Blonigen. (See Ordinance Amendment 4/13/81 #97). 7. Quarterly Department Head Meeting. A quarterly department head meeting was held with the Building Inspector, Loren Klein, Senior Citizens Center Director, Karen Hanson, Fire Chief, Paul Klein, and Wright County Sheriff's representatives, Buddy Gay and Don Hozempa. Loren Klein, Building Inspector, informed the Council that a developer may be proposing an area in Country Club Manor for 4 -unit dwellings in the near future, and also informed the Council that the Federal Government will be planning future nuclear drill exercises, possibly in the fall of 1981 for the City of Monticello. Karen Hanson, Senior Citizens Center Director, noted that May is Senior Citizens Month, and that the Center will have an open house on May 7th. Fire Chief, Paul Klein, discussed with the Council the current effectiveness of the pager system used by the firemen and noted that the fire department communications committee will be presenting a report to the Council on May 11th, as to their recommendations on whether the present system is adequate or whether a new system should be pursued. In addition, the Council dis- cussed with Mr. Klein the firefighting capabilities of the department should any three-story buildings be built within Monticello. It was noted by Mr. Klein that without a sprinkler system in a 3 -story or larger building, the fire department's equipment would not be adequate to serve and fight fires in any building over 2 -stories at the present time. In regards to this, - 5 - Council Minutes - 4/13/81 it was recommended that possibly the Planning Commission should consider a zoning ordinance amendment that would require buildings over 3 -stories in height to have sprinklers installed. The Planning Commission will be reviewing this possibility at a future meeting. Sheriff's Department representatives discussed with the Council their efforts to reduce the speed limit along Highway 25 near Oakwood Drive, and informed the Council that the State of Minnesota at the present time feels the present speed limit is adequate and no change is foreseen in the near future. City Administrator, Gary Wieber, discussed with the Council the possibility of establishing a quarterly or semi-annual City newsletter to be sent to Monticello residents. It was the consensus of the Council that a semi-annual newsletter should be pursued as they felt this may be very informative to the residents of Monticello. 8. Discussion on Easements for 1981 Improvement Projects. The City Administrator and City Engineer explained to the Council the pre- sent progress in obtaining the necessary easements through either The Meadows Subdivision or Edgar Klucas property to facilitate the construction of the 1981-1 improvement project. At the present time, Mr. Klucas has indicated that he would be willing to give the easement if the City would defer any assessments against this property indefinitely or until his property is developed, or the City pays an amount equal to the estimated assessments. Mel Wolters, developer of The Meadows Subdivision property, also indicated he would give the necessary easement through his plat if - 1) the Klucas property assessments are deferred; 2) a possible deferral of part of The Meadows Subdivision assessments for one or two additional years; and 3) he would be reimbursed a fair value for the easement he would be giving. Northern States Power Company has indicated that they would be willing to originally pick up any assessment that would apply to the Edgar Klucas property for a set period of time with the expectation that they be repaid once his property either develops or at the end of a given length of time. They have indicated that they would not be receptive to picking up any assessments for Mr. Klucas that did not have a set period of time involved. The Council, in reviewing this matter, authorized the City Administrator and City Engineer, to work with Mr. Mel Wolters of The Meadows Subdivision in an attempt to obtain the easement from The Meadows Subdivision for a fair value in return for the City installing any improvements in The Meadows Subdivision. The possibility exists that if an easement cannot be obtained, no improvements at all would be installed in The Meadows Subdivision. - 6 - Council Minutes - 4/13/81 9. Approval of Minutes of the Special Meeting on March 17, 1981, and Regular Meeting on March 23, 1981. Motion was made by Fran Fair, seconded by Phil White and unanimously carried to approve the minutes of the special meeting held March 17, 1981, and the regular meeting of March 23, 1981, as presented. Meeting adjourned. ick Wolfstefler., Administrative Assistant RW/ ns J