Loading...
City Council Agenda Packet 03-24-1986AGENDA FOR THE MEETING OF THE CITY COUNCIL Monday, March 24, 1986 - 7:30 p.m. Mayor: Arve A. Grimsmo Council Members: Fran Fair, Bill Fair, Jack Maxwell, Dan Blonige n. 1. Call to Order. 2. Approval of t4inutes of the Regular Meeting Held March 10, 1986, and the Special Mooting Held March 13, 1986. 3. Citizens Comments/Petitions, Requests and Complaints. Old Business 4. Consideration of Adapting a Resolution Initiating Orderly Annexation. S. Consideration of Awarding a Contract for the Construction of rho Interceptor Savor. 6. Consideration of Adopting a Resolution Approving Plans and Specifications, i Ordering the Improvement, and Calling for an Advertisement for Bids for the Construction of Sixth Street Between Trunk Highway 25 and Cedar Street. 7. Consideration of Granting Approval to the Final Plat for Pitt Subdivision. Applicant, Doug Pitt. Nov Business S. Consideration of a Conditionol Uoo Request to Allow an Addition to a Shopping Cantor to be Constructed in a 8-3 (Highway Business) Zone • Applicant, Lincoln Monticello Commercial Partners Ltd. Partnership. 9. Consideration of a Conditional Use Request to Allow an Office Building in a PZ -M (Performance Zone•Mixod) Zone. Applicant, David Anderson. 10. Consideration of Granting a Sunday Liquor License to the Monticello American Legion. 11. Consideration of Granting Approval to the 1986 Industrial Development Committee operating Budget. 12. Consideration of Adopting a Resolution Establishing Flow Control an LeaVea. 13. Informational Item - Presentation of a Proposed Request for Proposals ) for WWTP Contracting. 14. Consideration of a Request by Fullerton Lumber to Reduce Ratainaga on Fire Hall Construction. City Council Agenda March 24, 1986 - 7:30 p.m. Page 2 15. Consideration of Preparing an Amendment to the City Zoning Ordinance to Allow Auto Bndy Shops as a Conditional Use Within a B-3 (Highway Commercial) Zone. 16. Consideration of Bills for the Month of March. 17. Adjourn. J MINUTES REGULAR MEETING — MONTICELLO CITY COUNCIL Monday, March 10, 1986 - 7:30 p.m. Members Present. Arve A. Grimsmo, Bill Fair, Jack Maxwell, Dan Blonigen. Members Absent: Fran Fair. 2. Approval of Minutes. Motion was Bade by Blonigen, seconded by Maxwell, and unanimously carried to approve the minutes of the regular meeting held February 24, 1986. 4. Public Hearing - Consideration of Application for Small Cities Grant. The public hearing for the application of a Small Cities Community Development Block Grant was cancelled, as the applicant had not supplied the City with all of the required information requested to proceed with the application. If the information is supplied at a later data, a public hearing would be rescheduled. 5. Review and Discussion on Bids Received for Interceptor Sewer Project 86-1. The Council reviewed the bids received on the 1986 Interceptor Sower Project. A total of 10 bids were received ranging in price from a low of $935,720.75 from L 5 G Rahboin Company of Centerville, Minnesota, to a high of 51,200,693. 50. The City Engineer has reviewed the bid proposals and indicated the low bidder, L G G Rehbein, was a responsible contractor' for the project. Because of the delays in getting the Environmental Assessment Shoot published, the Minnesota PCA will not be taking any action on approving the interceptor sower EAW until March 26, 1986; and it was recommended that the City postpone any action on awarding a contract until at least the next Council meeting, March 24. Motion was made by Bill Fair, seconded by Maxwoll, and unanimously carried to postpone any action on awarding the bid until the March 24, 1986, mooting duo to the Environmental Assessment Workshoot not being completed yet. 6. Consideration of a Resolution Setting Torms and Conditions for the Salo of Bonds for the Conatruction of Sanitary Saver Interceptor. Mr. Jerry Shannon of Springated, Inc., reviewed with the Council the proposed sale of bonds for the construction of the intorcoptor sower project, and he recommended a total bond sale for the intorcoptor sower to be in the amount of 91,050,000.00 over a 15-yoar term. The bond sale at this time would only cover the intorcoptor sower portion of the contract, and an additional bond sale will be hold -1- Council Minutes - 3/10/86 during the summer of 1986 to cover the cost of street construction and related work that is included in this project. Motion was made by Maxwell, seconded by Blonigen, and unanimously carried to adopt a resolution which sets the sale of bonds for the interceptor sower project for April 14, 1986, in the amount of $1,050,000.00. See Resolution 86-4. 7. Consideration of Orderly Annexation Area Study. Mr. Howard Dahlgren of Dahlgren, Uban, and Shardlow, City's Consulting Planner, reviewed briefly with the Council the recently completed Orderly Annexation Area Study. John Badalich of OSM reviewed the utilities portion of the study and indicated that the City was able to handle utility extensions to serve the entire Orderly Annexation Area if needed. Mr. Dahlgren, in his review, recommended that the study indicates that future development will occur in the Orderly Annexation Area and that the City was best equipped to handle the development in an efficient and cost effective manner and recommended that the City commence annexation proceedings of the entire Orderly Annexation Area. Mayor Grimamo felt that the report should be accepted and its recommendations be implemented with the City proceeding with annexation of the entire OAA arum. Hu recommended that the City Council Got a direction for annexation of the entire area and act up a coating with the Township Board to review the Study's findings and to let the Township know of the City's intention to proceed. Councilmomber Blonigon also indicated support for annexation of the entire OAA area, as he felt the City would be better able to control development that will occur over the coming years. Councilmombor Maxwell indicated that he had not had sufficient time to review the report in detail and requested that any action on the Council's part be delayed until a future Council coating. It was noted that Councilmombar Fran Fair has not had an opportunity to review the report due to hot absence, and it was suggested that the item be again discussed at the next Council meeting, March 24. Mayor Grimamo noted that he would be absent at this meeting but that his recommandation for annexation could be carried forward to that meeting. S. Consideration of Kealy Haiqhto Final Plat. Applicant, John Sandbarc;. At the previous Council meeting, the Council directed the developer, Mr. John Sandberg, to prepare his final plot for the Koaly Heighta Subdivision incorporating the Council's racommondation for a plattod street that would extend Marvin Elwood Road to River Street and to plot an extension of the Koaly Hoights Circle that would extend to County Road 75. In addition, the Council's directive included recordable covenants that address the requirement of on-sito recreation/ playground facilities for each of the replotted multiple aitoe and a document to cover the required screening of Lots 4 G. 9 from abutting residential properties prior to building permit issuance. -2- O --N- I Council Minutes - 3/10/86 Kealy Heights is a replat of a portion of the existing Meadows Subdivision into seven larger multiple family sites. Mr. Daniel Fria informed the Council that Mr. Sandberg was no longer the owner of the proposed subdivision and that Tom Holthaus, Dayla Veches, and himself were now the new owners of the proposed Kealy Heights plat. Mr. Frie noted that the final plat as presented includes the platting of Marvin Elwood Road to River Street and the dedicating of a street extension from Kealy Circle to County Road 75 as requested by the Council. The now developers have indicated their intent was to extend Marvin Elwood Road to River Street at their expense immediately but have no plans to construct the Kealy Circle extension at this time. In addition, they also were agreeable to providing a screening plan for Lots 9 & 10, Block 2, that would moot City requirements of adequately screening the adjacent residential property before any building permit would be issued for a multiple apartment building on these lots. In reviewing the plat, staff members noted that the recently adopted Zoning Ordinance requires a 24 -unit apartment building to have 79,000 sq.ft. of land area, and the lots as platted under the old ordinance have only approximately 65,500 sq.ft. The developers requested that the final plat as presented be allowed to construct multiple family apartments based under the old zoning regulations because the lot sizes were based on old regulations to begin with. Tara vara Council concerns over granting approval of the plat and automatically allowing 24 -unit apartment buildings, as all dwellings consisting of more than 12 units do require a conditional use permit and are not automatically granted. The developers indicated they would have to know which regulations would apply to this plat because if they had to moot the now square footage requirements for 24 -unit apartments, they didn-t want this plat to be approved, an the lot sizes would be insufficient and they would consider replotting to moot the now ordinances. They felt this was unfair in that the plat, including the preliminary plat, was always booed an existing regulations at the time; and to change at this late date would be unfair to the developer. The developers also seemed in agreement with providing a recordable easement that would require shared driveway access to Marvin Elwood Road within the development which would eliminate each lot having a direct access to Marvin Elwood Road for traffic purposes. It was noted that the City Engineer had just received a copy of the final plat and had not had time to review the final form and requested that any approval be contingent upon his review. An a result, it wan recommended that any action on the approval of the final plat be continued until a spacial meeting scheduled for Thursday, March 13, at which time the plat could be considered for approval. -3. NO Council Minutes - 3/10/86 9. Consideration of Entering into Purchase Agreement for Land Acquisition of Site for Water Tower. Councilmember Jack Maxwell and Public Works Director, John Simola, informed the Council that negotiations have taken place on the possible purchase of a piece of property on Monte Hill for the new water reservoir site on property owned by the Monte Club. An agreement to purchase approximately 5 acro plus necessary easements for $5,000.00 had been negotiated: and it was recommended by Councilmember Maxwell that the purchase agreement be approved with a $100.00 earnest money down payment. Motion was made by Bill Fair, seconded by Blonigen, and unanimously carried to authorize entering into a purchase agreement for $5,000.00 for the site. 10. Consideration of Granting a Conditional Use Permit and Variance Request to Allow Construction of a 24 -unit Apartment Building. Applicant, Lionel Kull. Mr. Lionel Kull and Steven Upgren requested a conditional use permit to construct a 24 -unit apartment building in the rear of the Riverroad Plaza property. A variance was also requested, as the lot square footage for a 24 -unit apartment was approximately 1,030 sq.ft. short of the minimum required. In reviewing the site plan, concerns were discussed over the shared driveway the facility would use with the abutting Riverroad Plaza property and the possibility that the driveway to the apartments would be blocked when semi's are unloading at the Riverroad Plaza. The developers agreed to work with the City staff in providing additional blacktopping areas no that traffic would not be interrupted when deliveries aro made to the Riverroad Plaza. An additional variance was requested by the developers to allow the parking lot to be constructed on the southerly lot line of the property instead of having a 5 -foot setback. It was felt by the dovolopers that the request for outback variance, would not be a problem, as they have an additional 12 -foot easement from the abutting property owner for snow removal, etc. The developers also agreed to present a lighting plan of the parking lot and building that the City staff could review and approve, and they also agreed to provide storm cower catch basins at the weat and of their parking lot and construct necccsary piping to connect with the existing storm cower lines. Barb Koropchak, resident in the adjacent townhouse development,' expressed concerns over the amount of traffic that would be generated on County Road 39 and felt there may be a problem with access at this point. In addition, she felt the developers have not shown where a hardship exists in requesting the variancos on lot oizoc and allowing the parking lot to be built to the lot line and requested further Council consideration of allowing those variances. -4- Council Minutes - 3/10/86 LAfter further discussion, motion was made by Maxwell. seconded by Bill Fair, to approve the conditional use permit as requested contingent upon the developer providing increased driveway width near the loading area of the Riverroad Plaza, along with a screening and lighting plan that meets City requirements. 11. Consideration of Request by Fire Hall Architect for Additional Comoensation on Construction Phase Services - TXDA. Mm. Wes Hendrickson, of TKDA, architect on the Fire Hall construction project, appeared before the Council to request consideration of additional compensation for inspection services provided by their f irm. Mr. Hendrickson noted that their original contract with the City expected the fee not to exceed 59,000.00 for inspection services. but as of February, 1966, they have had an additional S8,638.96 in services above the S9,000.00 base fee. Mr. Hendrickson felt that the construction had taken longer than initially anticipated and that the contractor and subcontractors may have been inexperienced in this type of project which resulted in additional inspection services by their firm. As a result, they requested that the City consider sharing in the cost overrun by splitting the additional expenditures. Court:ilmember Maxwell indicated that if the architect had expected a cost overrun of this magnitude, the City should have been made aware of the overrun prior to the completion of the project. As a result of this lack of notice, motion was made by Maxwell, seconded by Blanigan, and unanimously carried to deny the request for additional compensation. Nota: Counciloombor Maxwell was absent for the balance of the meeting. 12. C onsidoration of Adootinq a Resolution SupDorting Local outdoor Recreation Fundino. Motion was made by Blonigen, seconded by Bill Fair, and unanimously carried to adopt a resolution supporting local outdoor recreation funding. Boo Resolution 86-5. 13. Consideration of Authoricinq purchase of Now Filinq Svotem for City Hall- For 1986, 82,500.00 was budgeted for the anticipated purchase of a now filing system for City Hall records. Quotations were received Prom sales representative, Joanna Reilly of Wahl 6 Wahl, Inc., for three filing cabinets on a Sliding track System which would replace the existing filing cabinets for a total coat of 82,419.00. With the now filing cabinets, an additional 8490.80 in Suppli4S such so folders and labels would be required to convert the present system. The additional supplies would be considered general operating supplies and have boon budgeted for. -5- G) Council Minutes - 3/10/86 Motion was made by 8111 Fair, seconded by Blonigen, and unanimously carried to approve the purchase of the filing system as quoted. 14. Consideration of Setting Date for 1986 Board of Review. It was the consensus of the Council that the annual Board of Review conducted by the Wright County Assessor's Office will be held on Monday, May 19, 1986, at 7:00 p.m. 15. Consideration of Authorizing Public Works Director to Attend Conference. Public Works Director, John Simola, requested approval to attend the 7th Annual National Road and Street Maintenance Conference to be held at the Riviera Hotel in Las Vegas, Nevada, on April 21-23. Mr. Simola noted that expected cost to attend the conference, including transportation, conference fees, and meals, would be approximately $569.00, slightly over the budget for 1986; but during previous years, travel and conference for the Public Works Department was under budget. Councilmember Blonigen questioned whether attending national conferences would be of benefit to City personnel and didn't think it was a worthwhile expenditure. Motion was made by Bill Fair, seconded by Arve Grimsmo, to authorize the Public Works Director to attend the National Road and Street Maintenance Conference on April 21 in Lao Vegas, Nevada. Voting in favor was Fair, and Grimsmo. Opposed, Blonigen. 16. Consideration to Prohibit Anglo Parkinq on County Road 39 Between Elm Strout and I-94. As part of the proposed upgrading of want County Road 39, it is a State Aid requirement that the City prohibit angle parking on this portion of the road in order to receive state funding. Motion was made by 8111 Fair, seconded by Dan Blonigon, and unanimously carried to adopt a resolution prohibiting angle parking on County State Aid Highway 39 between Elm Strout and I-94. Soo Resolution 86-6. 17. Consideration of Partial Upgradinq of Well #1 Duo to Motor Burn Out. Public Works Director, John Simola, informed the Council that the 60 H.P. motor powering the deep wall turbo pump at wall Al has again burned out. This motor had previously boon rewound on two separate occasions, the latest only 14 months ago, and would not be suitable for rewinding again. Mr. Simola noted that he has boon unable to find a now or used motor of the exact typo and modal that failed and racommondod the City consider purchasing a 75 H.P. now motor as a rsplac:mont. In addition to the motor at a cost of 52,902.00, :tartar con role and wiring at the pump house, along with installation, -6- 0--0— Council Minutes - 3/10/86 would total $9,602.00. It was noted that along with the new motor and wiring changes in the well house, Northern States Power would also change the existing transformer at the site which would hopefully prevent future reoccurrences of failure in the motors. Motion was made by Blonigen, seconded by Bill Fair, and unanimously carried to authorize the Public Works Director to purchase a new motor and related upgrading of the well motor for a total estimated cost of 59,602.00. 18. Discussion on Proposed Middle School Site Selected - District 0882. Although no official action was requested on the recently selected site of the proposed Middle School, the Council discussed the School Board's selected site, which is partially in the Oakwood Industrial Park. Mayor Grimsmo expressed his approval of the School Hoard selecting a site south of I-94 and felt the location would be a suitable one and reinforces the projections of the recently completed Annexation Study which indicates that residential growth will occur in the Orderly Annexation Area. It was noted that with a school being located south of I-94, residential growth usually occurs surrounding such a facility. Councilmembe r Blonigen expressed concerns over the site that was selected a„d noted that the site smarted was added to the list of potential areas after the public hearings were hold by the School Board. He didn't think the citizens had an opportunity to comment on the specific sites selected and felt an industrial park would not be a good location for a school next to possible hazardous manufacturing facilities. Mr. Blonigen also felt the school being located adjacent to heavy industrial zoning may prevent industries from coming into the industrial park and locating next to a school facility. Councilmember Maxwell expressed his favor with the location selected, and Councilmembor 8111 Fair had no opinion at this time on the site selected. The item wan on the agenda for discussion purposes only, as no action was requested by the School Board at this time. 19. Consideration of a Request for a Gambling License. Applicant. Minnesota State Council Knights of Columbus. The Knights of Columbus representative requested that this item be tabled by the Council at this time, as they were in the process of changing their application for a gambling license with the State Gambling Board. Rick Wolfato ller Assistant Administrator -7- D ---I- MINUTES SPECIAL MEETING - MONTICELLO CITY COUNCIL Thursday, March 13, 1986 - 7:30 a.m. A special meeting of the Monticello City Council was duly held at 7:30 a.m., Thursday, March 13, 1986, in the City Council Chambers. Members Present: Arve Crimsmo, Dan BLonigen, Jack Maxwell, Bill Fair. Members Absent: Fran Fair. The meeting was called to order by the Mayor. 1. The first item on the special meeting agenda was to consider the final plat of Kealy Heights. Daniel Frio, Tom Holthaus, and Dayle Voches, current owners of the property to be platted as Kealy Heights, were present to clarify certain questions with development potential. Administrator Eidem provided basic design background on the plat and recommended that the Council approve according to those conditions. Eidem explained that prior to any motion approving the plat. it would be necessary for the Council to vacate streets and easements within the existing plat, the Meadows. Before any motions were made. the Mayor asked the dcvalopers if they understood the proposals ( explained by Eidem and found them to be acceptable. The developers indicated they were in agreement. Motion by Bill Fair, seconded by Maxwell, and unanimously carried to vacate the following streets: All of Hadman Lane in the Meadows. all of Meadow Lane in the Meadows, and all of Crocus Circle in the Meadows, according to the plat thereof on fila and of record in the office of the County Racorder, Wright County, Minnesota. ALDO to be vacated are all of the utility and drainage easements in Block 2 and Block 3, the Meadows. All of the utility and drainago easements in Block A, the Meadows, except thorefrom those easements that are within Lots 19-23 inclusive, Block e, the Meadows, according to the plat thereof on filo and of record in the office of tho County Rocordor, Wright County, Minnesota. Motion was made by Bill Fair, seconded by Blonigen, to grant final approval to the plat known as Kealy Heights under the following terms and conditions, to -wit: 1) All public improvements such as aowor, water. atorm sower, streets, and curb and gutter shall be installed by the developers at their own expense and in accordance with City standards and design specifications. 2) The extension of Marvin Elwood Road be fully completed by the developer in accordance with number one above prior to the issuance of a building permit for any structure on any lot in Block 2, and for any structure on Lot 1 or Lot 2, Block 1. Special Council Minutes — 3/13/86 3) That portion of Kealy Circle lying south of Marvin Elwood Road be fully completed by the developer in accordance with number one above prior to the issuance of any building permit for Lots 4, 9, or 10, Block 2. 4) The developer shall prepare and implement an approved screening/ buffering plan for the southerly boundaries of Lots 9 and 10 in Block 2, concurrently with their building permit application for either of these lots, said screening plan to not be considered a replacement or substitution for the landscaping requirements of any developer of the land. 5) Driveway access to Lots 1, 2, and 3, in Block 2, shall be from a common street access (curb cut) off of Marvin Elwood Road, which access will be sited within the 50 -foot wide strip extension of Lot 3, Block 2, which fronts on Marvin Elwood Road. Additional curb cuts to Marvin Elwood Road for Lots 1 and 2. Block 2, shall not be allowed without prior City review and approval. 6) Driveway access to Lots 4, 9, and 10, in Block 2, shall be from a common street access (curb cut) off of Kealy Circle. Additional curb cuts to Kealy Circle for any of Lots 4, 9, or 10, in Block 2, shall not be allowed without prior City review and approval. 7 ) For planning purposes only. Lots 1 and 2. Block I, shall be, deemed to have adequate area (square footage) to accommodato four, 2 -bedroom unit structures each. This granting of a unit allowance dean not constitute, nor should it be construed to be a guarantee that four, 2-bodroom units will be allowed when, after proper review of a development proposal, basic planning principles other than area requirements indicate that such a development would be imprudent or have a detrimental effect on the area. Further, this approval in no way waives the necessity for proper permit application procedures. B) For planning purposes only, Lots 1, 2, 3, 4, 9, 10, and 11, Block 2, shall be doomed to have adequate area (square footage) to accommodate 24, 2-bodroom unit structures each. This granting of the unit allowance does not constituto, nor should it be construed to be a guarantee that 24, 2-bodroom unit structures will be allowed per lot when, after proper review of a dovolopment proposal, basic planning principles other than area requirements indicate that such a development would be Imprudent or be found to have a detrimental affect on the area. Further, thin approval in no way waives tho necessity for proper permit application procedures. 9) A portion of a provicualy deferred assessment on the Klucas, property, said portion totaling 98,976.00, which assessment is equal to a pro rata amount for 160 fact of straat frontage, shall be paid in full prior to issuance of a building permit for any lot within Kealy Haights. Voting in favor of tho motion: Grimsmo, Bill Fair, Blonigon, and Maxwell. Voting in opposition: Nona. Motion carried. -2 O Special Council Minutes - 3/13/86 2. John 8adalich and Chuck Lepak of OSM were present to review the proposed water system and the Water Study with the City Council. Substantial time was spent reviewing the technical data with questions being raised by all Council members and by John Simola, Public Works Director, and Tom Eidem, City Administrator. 8adalich and Lepak reviewed all of the technical data discussing issues such as increased pressure, increased volume, and increased fire flow. Maps, charts, and illustrations were reviewed by all members present. Councilmember 8111 Fair indicated that he wished to spend some time on the discussion of financing. Mr. 8adalich of OSM presented a brief review of hookup charges, area charges, and special assessment formulas utilized in other communities. He stressed that it might be beneficial to pay for the City's water project using a combination of all financing methods. 8adalich suggested that the water hookup fee be increased to $600.00, and that an area charge be established for all new water extensions. In addition, properties directly benefiting from the extension of water lines would be assessed on either a per unit or front foot formula. Lastly, 8adalich indicated that since the water tower and wells were of general benefit, a portion of the project could be levied on ad valorem taxes. Mayor Crimsmo indicated his preference to take advantage of Monticello's extraordinary tax baso when doing projects of this magnitude. Councilmembor Blonigen felt that as much as can be reasonably assessed ought to be assessed so that ad valorem does not carry an unreasonable burden for fuuure expansion. Eidem indicated that the nature of the project was such that a largo part of the work would be of general benefit and could justifiably be placed on ad valorem taxes, while the balance of the project provided specific benefit to specific properties and could justifiably be epacially assessed. Eidem suggested to the Council that he be allowed to work with OSM to work on a revised financing program to be presented at the April 14 City Council meeting at which time, if the proposal seamed reasonable to the Council, they could then not a public improvement hearing in accordance with the provisions of Minnesota Chapter 429. The Council concurred that this would be the proper procaduro to follow. Lastly, John Simola requested that the Council authorise an expenditure not to exceed $10,000.00 to 1) drill a toot wall on Monte Hill, 2) perform agricultural wail toatingu, and 3) to do soil investigations. Motion by Bionigan, second by Maxwell, and unanimously carried authorising Simola to have the three investigations performed. Thera being no further agenda items for the special mooting, the meeting was adjourned. 4.mm.sEidd"m City Administrator Council Agenda - 3/24/86 4. Consideration of Adopting a Resolution Initiating Orderly Annexation. (T.E.) A. REFERENCE AND BACKGROUND: The study authorized by the City Council to be done by Dahlgren, Shardlow & Uban and OSM investigating the need for annexation is now complete and has been distributed to the City Council members. Additional copies have now been printed, collated, and bound and will be made available to membors of the Town Board and the County Planning Office. Upon review of the study, it is fairly evident that the evidence concludes that annexation of the entire Orderly Annexation Area is in the beat interest of the parties involved. The study done by our consultants provides conclusive evidence in favor of annexation. Granted, the Township could conceivably hire a planner who would structure the evidence such that annexation would be inappropriate. This becomes more a challenge of the work of our Consulting Planner and not of City concepts. The study addresses the crucial figures outlined in Statute that need to be investigated when making an annexation determination. In addressing those areas, the conclusion is still that the City ought to commence annexation proceedings. Under Minnesota Statute, various types of annexation are allowed. Because we are addressing an orderly annexation, I am suggesting that the City begin under the orderly annexation procedure. The process would be similar to the following: Council adopts a resolution initiating orderly annoxation procedures. We would then want to enter joint meetings with the Town Board in order to establish the proper Orderly Annexation Area and process. If the City and the Township reach an agreement, then the plans would be submitted to the Minnesota Municipal Board for action. As required by Statute, hearings would be hold in front of the Municipal Board. If an agreement cannot be reached, then orderly annexation may have to be terminated, and the City begin annexation under other provisions of the Statute. Other annexation procedures would also load to public hearings before the Municipal Board, periods of time while the Board makes its ruling, and potential settlements in District Court after the Municipal Board order. I think it is beneficial for the City to begin immediately with orderly annexation. In addition to the resolution being presented for your adoption, I think the City ought to establish a data for a joint City/Town mooting and extend the invitation to the Town Board to discuss the data. 0. ALTERNATIVE ACTIONS: 1. Adopt the resolution and cot a special joint meeting to commanco orderly annexation proceedings. This is the logical way to proceed and follows in alignment with the original order of 1974. 2. Do not adopt the resolution - This does not address the increasing urbanisation in the fringe area surrounding the City. ME Council Agenda - 3/24/86 3. Bypass orderly annexation and file directly with the Municipal Board - This immediately creates adversarial roles for both the Tom and the City and will minimize any benefit that may come out of negotiations. C. STAFF RECOMMENDATION: Staff recommends the City adopt the resolution and set a special meeting as soon as possible so the proceedings can begin. Conceivably, the entire process could take as much as 3-4 years. I would hope that adversarial roles don't develop to such a point that the entire matter must go through the Municipal Board and then on to District Court and beyond. D. SUPPORTING DATA: Copy of the resolution for adoption; Copy of the Annexation Study which has been provided to you earlier. NOTE TO COUNCIL: The now OAA Study has been printed and bound. Please return the first OAA Study you received in exchange for the new one. -2- RESOLUTION 86- C, RESOLUTION INITIATING ORDERLY ANNEXATION WHFREAS, pursuant to an order of the Minnesota Municipal Board dated an Orderly Annexation Area was created on the boundaries of the City of Monticello, and WHEREAS, the intent of such Orderly Annexation Area was to encourage urban growth near the corporate limits of the City of Monticello while protecting the rural nature of the remainder of Monticello Township, and WHEREAS, in the years since said order was passed, growth had occurred making the Orderly Annexation urban, or about to become urban in nature, and WHEREAS, a report prepared by Dahlgren, Shardlov and Uban, a professional Land Use Planning Consultant, indicates that the Orderly Annexation Area is in need of orderly annexation, and WHEREAS, said area was designated to be annexed in an orderly fashion as urbanization occurred. NOW, THEREFORE, BE IT RESOLVED BY THE CITY COUNCIL OF MONTICELLO. MINNESOTA that 1. The area known as the Orderly Annexation Area is found to be in need of annexation. 2. Such annexation will be in full compliance with the intent of the Municipal Board order dated creating the orderly annexation. 3. The City of Monticello hereby initiator orderly annexation procoodinga by extending an invitation to the Town Board of Monticollo Township to moot in a joint meeting for the purpose of determining appropriate annexation procadures. Adopted this day of March, 1986. Arvo A. Grim®mo, Mayor Thomas A. Eidom City Administrator 6D Council Agenda - 3/24/86 Z- 5. Consideration of Awarding a Contract for the Construction of the Interceptor Sewer. (J.S.) A. REFERENCE AND BACKGROUND: As you recall, at the last meeting on March 10, the City Council reviewed the bids for the 86-1 Interceptor Sower Project. L & G Rehboin, Inc., of Centerville, Minnesota, were the low bidders in the amount of $935,720.75. John Badelich presented information that the L & G Rehboin Company was a responsible bidder. In fact, Orr-Schelen-Mayeron & Associates had worked with this firm on other projects. At the last meeting, the Council tabled action on the award pending anticipated completion of the EAW. A final comment period for the EAW is March 26. It is our intention to contact the Minnesota Pollution Control Agency on the afternoon of March 24 prior to the meeting to obtain information as to the state of the EAW. If the Minnesota Pollution Control Agency has received no significant negative responses to the project, in all likelihood the EAW will be approved and a permit will be forthcoming well within the allowable time limits sot forth in the specifications for Project 86-1. It would be reasonably safe under those conditions to award the contract and then delay any pipe laying operations until we have the permit from the Minnesota Pollution Control Agency. In addition to the above, we have not as of yet received final word from Burlington Northern so to their review of the plans and opecificntions and approval to go ahead with the project as planned. Also, as of Thursday afternoon, we have not yet received easements from 1) Bargstad Properties, who own Codar Crest Apartments; 2) Wally Houle, who owns Ridgemont Apartments; and 3) Tom Brennan, who owns the cornfield between Minnesota Street and Elm Street. We have amplo time to obtain casements from Tom Brennan and Mr. Wally Houle. We do not, however, have a significant amount of time to obtain the casement from Borgstad Properties. It is my understanding that Mr. John Borgatad at one time informed the City Administrator that thio easement would be forthcoming free of charge to the City. Since that time, he has raised some concerns and we aro working with him to obtain the casements. Wo may have more information as to the easement questions oleo for Monday ovoning-a mooting. 0. ALTERNATIVE ACTIONS: 1. The first alternative would be to award the bid to L & G Rehboin, Inc., and to delay notice to proceed until ouch time the Minnesota Pollution Control Agency permit is in hand, as wall as the necessary easements. 2. The second alternative would be to delay the award of the bid again and reconsider award on April 14, at which time we can again review the permit and easement concorns. C. STAFF RECOMMENDATION: The staff wiahoo to delay its recommendation until Monday ovsninglo mooting. D. SUPPORTING DATA: Nona. -3- Council Agenda - 3/24/86 6. Consideration of Adopting a Resolution Approving Plans and Specifications, Ordering the Improvement, and Calling for an Advertisement for Bids for the Construction of Sixth Street Between Trunk Highway 25 and Cedar Street. W .S.) A. REFERENCE AND BACKGROUND: As part of the Tax Increment Financing Plan for Raindance Properties, the City is to construct Sixth Street between Highway 25 and Cedar Street utilizing Tax Increment funds. In the past, the City Council has approved the Tax Increment Financing Plan, the Development Agreement, and the Bond Sale. The plans and specifications for the construction of Sixth Street are to be ready or available for your review at Monday evenings meeting. The project consists of street construction to include curb and gutter, along with a small segment of storm sewer. The project will include relaying a portion of the existing 12 -inch water main. An part of the Development Agreement, OEM was given authorization to prepare the plana and specifications sometime ago. Because of the unsuitable soils in the area, we made it a point to instruct OSM to consider the design carefully so that we may achieve a 20 -year design life for this street without any unnecessary settlement. If the plans arrive in time, they will be available with your agenda packet. If not, they will ba provided at Mrnday ovening4o canting. Becauso of the Development Agreement, the City has no other options but to construct the street. If the engineer's estimate is higher than those funds available through the Tax Increment Financing Plan, the City would then have the option to conaidor altornato cathode of construction and/or financing. C. STAFF RECOMMENDATION: It is the staff recommendation that the City of Monticello construct Sixth Street in accordance with our Davolopmant Agreement. D. SUPPORTING DATA: Resolution for adoption; Plano for Sixth Street if available. -4- RESOLUTION 86 - RESOLUTION APPROVING PLANS AND SPECIFICATIONS AND ORDERING ADVERTISEMENT FOR BIDS FOR THE IMPROVEMENT OF SIXTH STREET WHEREAS, pursuant to a resolution passed by the Council on November 12, 1985, Tax Increment District 06 was created, and WHEREAS, the construction of Sixth Street between Trunk Highway 25 and Cedar Street was integral to the fulfillment of the Tax Increment District Plan, and WHEREAS, OSM has prepared plans and specifications for the improvement of Sixth Street between Trunk Highway 25 and Cedar Street by installing bituminous driving surface, curb and gutter, and appropriate drainage, and has presented such plans and specifications to the Council for approval; NOW, THEREFORE, BE IT RESOLVED BY THE CITY COUNCIL OF MONTICELLO, MINNESOTA: 1. Such plans and specifications, a copy of which is attached hereto and made a part horeof, are hereby approved. 2. The City Administrator shall prepare and cause to be inserted in the Monticello Times and in the Construction Bulletin an Advertisement �- for Bids upon the making of such improvement under such approved plans and specifications. The advertisement shall be publishad for days, shall specify the work to be done, shall state that bids will be received by the City Administrator until a.m. on , 1986, at which time they will be publicly opened in the Council Chambers of the City Hall by the City Administrator and Consulting Engineer, will then be tabulated, and will be considered by the Council at 7:30 p.m. on , 1986, in the Council Chambers, and that no bids will be considered unless aaalad and filed with the Administrator and accompanied by a cash deposit, cashier's chock, bid bond, or certified chock payable to the City for 5% of the amount of ouch bid. Arvo A. Grimamo, Mayor Thomas A. Eidem City Administrator 0 C Council Agenda - 3/24/86 7. Consideration of Granting Approval to the Final Plat for Pitt Subdivision. Applicant, Doug Pitt. ( T.E. ) A. REFERENCE AND BACKGROUND: Doug Pitt's final plat received approval from the Planning Commission at their March 11 meeting. With respect to design provisions, the plat is in full conformance and is ready for approval. Mr. Pitt has indicated that he will record snow removal easements to accommodate the clearing of the driveways which will run along the 12 -foot wide lot extensions from the street to the rear lots. The last time the Council discussed this plat, there was discussion over the recovery of special assessments and park dedication. I asked Mr. Pitt to stop in earlier this week to discuss a possible resolution to the special assessment problem. Mr. Pitt brought with him a letter from Jim Metcalf, hie attorney, questioning whether or not the City could charge for these special assessments without public hearing, or levy such charges in lieu of special assessments for subdivision. I have taken the matter to City Attorney Pringle, but as of this writing have not received an answer. I anticipate having Mr. Pringle's commonts in time for the meeting. With respect to the park dedication, the foo is required by ordinance. gnring my conversation with Mr. Pitt, I explained how we arrived at the value, and indicated that he had the right to challenge the value determination. I believe it is absolutely essential that the park dedication foe be collected. B. ALTERNATIVE ACTIONS: 1. Grant approval for the final plat - From a design standpoint, the plat is ready to be approved. With respect to the park dedication fee, that should bo collected prior to the signing of the plat and allowing it to be recorded. With roopoct to the special aoaossmenta that staff has recommended, I hope to have datailed information by Monday night. Withholding the signing of the plat and allowing the recording may be the only leverage we have for recovering the coat. If we aro unable to recover the coat, the not reault is that Mr. Pitt rocaivas four sower hookups for the price of one. Please keep in mind that when I use the word hookup, I rafor to the ability to hook into the main, not the City's hookup charge for service lines. 2. Deny the plat - On design groundo, I do not believe the City Council hao roaoon to deny the plat. Daniel, at this point, can only come for failure to fulfill financial obligations, if the City Attorney finds that that is a bona fido reason for denial. -5- Council Agenda - 3/24/86 C. STAFF RECOMMENDATION: Staff recommends that the plat design be approved and that the signing of the hardshell be completed upon payment of the park dedication fee and payment of special assessment recovery. D. SUPPORTING DATA: Copy of the final plat; Copy of the minutes of the March 11 Planning Commission meeting. -6- r%L 15 0 lk 44 Gow 03. Fol .YORS IN i \ J +` 1,\ �.� •e Cont a eo[in•• _ _ ;—�- _ e U • y T, J ['.� \\ \6.� to ttu wln< of t a /fir .<e ltw al ..0 • , /I.•wu / f/' // 1. \ \` � eu[,rw•ara Ilei NNESOTA 4b i � /� t J l� �t `• / \ t.<t i<a of Cs.<r v ynt Wea..4 1�� ••:� 1 V, p�' � ;! ,f< �d r /r�i��+w+t� . arl, ttn../ . !r R - t �\ r�t'4 r t t . f •r i 3,. .r �<• < :t < tta< aaan: ..«. ul<+. •�'rrie. �r ,ft 1 �• ♦ `e3 ? �' 1/. I \.,,.\ ,J ,It :�;• �..: to ELI r •..,� eNa /';F �� \;j' �t E' Ste' � /, ro r. I C��. �}i.i: ij �•„•„ .ty w sn�(f ., ...._.... !< •r t�\ i�`�y� ;w, ,~'` TAYC.OR LAD SURVEYORS INC. w} 7/ r r � ., �"I 270 w6'f BRLYfOt,tlY, P•0, @QX 178 �F � R•2 MONnC€tW. NiNNC=4 557132 PKWE- (612)297.7789 u• s �.e.a� P�sr� •...... aa,... , wr�a ter! �rut.�. r rr•ri �+.� •__...... -..,e I ^*rr t_;,,,.�'%� J...+.nn (��—ir .�hF+�'p<I�""4�►+1 IY II.1Lh �cd,1�l'�diL �L.IF�ki�,ti1►Ii7lWda�l�� i ■ttrliie i. .u1 •ri 6� � . itt� Planning Commission Minutes - 3/11/86 N 3. Public Hearing - A Final Plat Recuest for a Pz*o2osed Now Subdivision, Pitt Addition. AC01-4cant, Doug Pitt. Mr. Doug Pitt was present to propose the :'_nal plat of the Pitt Addition. Chairperson Richard Carison opened the meeting for Public input. No comments being heard, Mr. Carlson than closed the public hearing. Mr; Carlson questioned Zoning Adzinistrator Anderson if the restrictive covenants in regards to snow removal are cove=ad; and zoning Ad=inistrator Anderson answered that they are. Chairperson Richard Carlson than asked for a motion. Motion by Joyce Dowling, seconded by Barbara Noropchak, to approve the final plat request for a proposed new subdivision, Pit: Addition. motion carried Un4nirOU5,Y. C" C3 07 Council Agenda - 3/24/86 , 88. Consideration of a Conditional Use Request to Allow an Addition to 'l-- a Shopping Center to be Constructed in a 8-3 (Highway Business) Zone - Applicant, Lincoln Monticello Commercial Partners Ltd. Partnership. (G.A.) A. REFERENCE AND BACKGROUND: The now owners of the Monticello Mall, Monticello Lincoln Commercial Partners Ltd. Partnership, are proposing to put an addition onto the existing Monticello Mall: On the enclosed site plan it shows the proposed addition to the Mall and the proposed new parking spaces surrounding it. As part of the addition, the owners are proposing to give the existing Mall an outside facelift to make it more attractive to the Monticello area. A couple of things that we noted in our review of the plan, with which the developer sees no problem and will matte the changes before the building permit application, are as follows. The handicapped spaces as noted in the north area entrance will be moved to the west one parking aisle, therefore being directly in front of the now north entrance to the Mall. Parking spaces are put in along the area of the loading/unloading area of the current wayno's Red Owl Building. we indicated to the developers that we would like at least 130 foot, or 13 of those parking spaces, removed and marked for a loading/ unloading area to allow a semi to be able to maneuver his rig and back into the loading dock area without encroaching into any other parking spaces. Staff fools the enclosed landscaping plan needs some additional plantings to be placed in both the northerly and easterly parking iota to break the visual monotony of the large parking expense. The minimum parking space requirements have boon exceeded in their proposed site plan. A drainage plan wan not submitted and will be submitted to our Consulting Engineer for his approval prior to the building permit application. B. ALTERNATIVE ACTIONS: 1. Approve the conditional uao request to allow an addition to be constructed Onto the existing ohopping center. 2. Deny the conditional use to allow an addition to be constructed onto the existing shopping cantor. 3. Approve the conditional use request for expansion of a shopping cantor to be granted contingent on the following: a. The City'o Consulting Engineer approvoo the drainage plan. b. The refuse deposit and collection oitoo be screened from view. e. Additional plantings (trona or shrubs) be placed in both the northerly and castorly parking lots to break the vioual monotony of the largo parking expense. C. The City has a right to order Lincoln Monticello Commercial Partners Ltd. Partnership, after a period of at least two years but no longer than five years, to plant coven additional acroaning troop along I-94 if the proposed ocrooning plan doeo not achieve the desired affect. -7. Council Agenda - 3/24/86 C. STAFF RECOMMENDATION: J Staff recommends approval of the conditional use request to allow an addition to the existing Monticello Mall. The new owners of the Mall have been very receptive to the City and City staff in making sure everything is in order prior to the public meetings and have acted in a very professional manner in dealing with their conditional use request. D. SUPPORTING DATA: Copy of the site plan; Copy of the narrative portion of the conditional use request; Copy of the Planning Commission meeting minutes. -8- {! '!:r to a c o l' 1: •II JJ ! 71.1 J 12 PROIECT DATA CROSS OI.II)INC AREA IUIInC MS~ CIYII. Y., 1.1.1 "WylDUYliOu I OIU C., 10.15..1 CROSS IIASI AUI[ ARIA nfV111111 )111 SI • CluY ul ����,,,�„ , �„� �_ I.h IY6 VIMnY; CIYIII .1.111.1 Sf nd•ULD U%YIAu 1).�f�0.1, /.„Z� ` IOINCI♦ 60911.1 PARKIVC � (l �aYV) n�) .W LII �: II'\rliiil Ir)YID / _ ! `Y, h,� , I.hlYf. V4YPK CIUII. �• 11! \ 1 O/I`V � •i••-i•^•ff' YY111V IL ;UYYIIbY �. On -- n. {'I u 1%/./ Inl a r,u.rr. uvno )YI r •''; ` .1 ol �f) I �T. I, ,,, 'i rI a 1. °�� - '._.a•.f��- ���.... ���fi;:��"'/'� 1 I\ -v :imvnilr1 rrilTFL-- � F-1 1 I MY 144 9 ^,%'V'. "'Y, '1 _::'o ..4�. "i(';ri •�) �t11:.6ip L :r i�"`r•::• �.r,r;i �/1.ITC:�? .�?'�t-i ' ��1:,.'•,: H``, a�:`� 'l�q`N.4 ?�1"` 1 :J. „^ �p6 .....,.- -• 1`f .„� .� i� t -;e l'ff •1 f 41�J �T' L'plf.}p. •.a.. Jr.� I, .::. F }' ii5ti Ehi..'l�(;��I�f+Y�r�flil�+�.:-'•llV'��11i��3.,!,1,:•..I:�.fn•�.r':.Ya.i.N�'��N:C+�.`i••�.I.a:.%dY1..,C.; gar.�?•8f�1r,'r�Fl�.r,•rv„�n�m:n';^ia%.1ni:•r�iiJ.�dr).d:�nMi,W��l(Rl' Lincoln Development ,203 ohs„ Lane Edina. Minrrwta 55.993 ,61 21593-9000 March 5. 1956 Mr. Thomas A. Eidem, City Administrator City of Monticello 250 East Broadway Monticello, MN 55362-9245 RE: The Monticello Mall Dear Mr. Eidem The Lincoln Companies is pleased to submit this request for a conditional use permit for the proposed expansion of the Monticello Mall. The enclosed material descri':es the nature and details involved in this expansion in both narrative and illustrative form. Our firm was attracted to Monticello because of our belief in the current vitality and long-range growth potential of this marketplace. Our specific interest in the Monticello Mall derives from our perception that this facility, expanded and renovated, can better meet the needs and demands of the Monticello trade area. We believe that the enclosed proposal will produce a significantly improved shopping facility and an aesthetically attractive "gateway" to the Monticello area. The additional merchants who will be housed In the expansion space will provide increased goods and services to meet markeL needs and offer an increased employment base to the community. The Lincoln Companies and its people are proud to be new members of the Monticello community. One of our strongest corporate commitments is to strive to be a good neighbor; to contribute to the growth and enthusiasm of the communities in which our projects are located. Wo look forward to that kind of relationship in Monticello. Lincoln Development Services Corporation — Ono or The Lincoln Companies 9 l i -z • = Page Two Monticello City Council and Planning Commission March 3, 1986 iAccordingly, we respectfully request that the Monticello Planning Commission and City Council review and approve the enclosed conditional use permit proposal. Very truly yours, Charles W. DuFresna TT President e C1JDasdl enclosures Ci r; a. l I. -P -A -.T rrm TI. C. I N t "Oil FM- Desian Nafrative The e%panzion and renovation of the Monticello Mall is a significant opportunity to create a new image for an established retail center, housing alrazdy successful merchants. E pac ific dasign features are to LIF2 Of -.he major and yo: -ca--4 The eies;gn solution w7hich finally evolved is a strongly massed structure with primary access frontage on Seventh Street. Seeking a design that could incorporate the exist;ng building and yet set a standard for image and quality, it was decided to focus exterior 7- attention on the two entrance points with the use of large, barrel vaulted entrance canocies. 'These structures will draw custorner to the mall entrances and, through the use of illumination sources, develop a crystalline character at right. The use of colored accent strics along the signage band will provide continuity fro.m one entrarce to the other. This concept will give the building a highly visible and aesthetically strong design character. The use of quality mate:!als, colored accent tores, and the creation of individualistic entrance points, in conjunction with upgraded landscaping, will all,.)tv the Montictl!o Mall to become a striking invitalicn to those entering Monticello off Interstate 94 or from Hightvay 25. Proicct Ue-:r.riution 'I ! Currently, the l,:ontice!lo i till is a 0,000 �;:..rs foo: cn:?scad, central m,ll shupptng cents:". Til:!; proposal I:recents Th.- Lincoln (:o:ahcafc�' I:!ani ft_ itis u::p neigh a,._, t•_novatioa o: lits The plan^i enclosed here -with depict the constructio:% of zn Ldd!tinnal 22.000 square feet, to be attached to the westerly side of the existing center. The new addition will house 17,650 square feet of additional shops. - At the heart of the expansion plan is a reorientation of the project toward the Seventh Street access points. This is being done largely in re3pocso to the ma ian cor.s:ruc:!on planned for 1.3nnesota State _4 I High:�ay 23. The ecrstructlan of :he nzdiar. strip are, the inst_'.!ation of traffic signals at t'. -.e Seventh Street intersection will channel significant tr.:ounts of vehicular traffic to the Seventh St-eet entrances to the center. Accordingly, the principal access point and 1 park: ng area for the monticeilo mal! will be the northerly facade I ratites than. the Ht;hway 23 facade. In response to these facts, an architecturally dominant entrance will be constructed on the north side of the mail where the rev; addition meets the center. The surface parking are: on the mall's =� north sido will be anpanded to the Se:'enth Street/property boundary lines. An il:u:!r c:o?, four fust his?: ground sisn will Hari: this central cctess alnt. Insida the nflv., addition, aco nem pedestrian cull areas vrLl be cn .strueted. One na•s aattion will attach to the enle.ing r..all araa and run to pito wear; the seecnd will caR hence at the new primary entrance t and r':n south :o iAJrstpt the east-•r..at mall. R^rovallon p, The existing facility will be improved in several ways to con°orm to tho expansion ccnatruction. Lmdrior surfaces will !rs ::rl:rtsd; t!+= . el7nage blind srd easterly entrance :•,ill rec.ive the eclor are treatments to match those of the now construction. The interior mall Collins, lighting, and walls will receive decor and finish Improvements to coordinate with those in the expansion malls. i .t In addition, Lincoln's leasing and management services are provided to a number of other owners for retail projects throughout the Upper Midwest. j� The Lincoln Companies is comprised of: j Lincoln Properties. Inc. i Lincoln Properties, Inc. is the leasing, and investment brokerage arr. of The Lincoln Companies. During the past two years alone. Lincoin Properties, Inc. successfully negotiated over S40,000,000 in leases for more than one-half million square feet of retail and commercial office space. Since 1975 the company has arranged in emcess of S200,000,000 of investment real estate acquisitions and sales. Lincoln 'Tt Properties, Inc. is staffed by nine real estate marketing specialists. tom, Lincoln Prooertv Manaeement Comoanv Lincoln Property Management Company manages shopping centers. apartment complexes and office buildings. The company currently manages nineteen properties with over 1,050.000 square feet and an j estimated market value in excess of 567,000,000. Lincoln Development Corporation Lincoln Development Corporation is the development component of The Lincoln Companies. Since its inception in 1982, the company has successfully completed the renovation and new construction of several major retail facilities and is currently completing development of new retail shopping centers. Lincoln Caoital Corocration Lincoln Capital Corporation is responsible for the selection, financing and acquisition of investment properties for development and syndication by The Lincoln Companies and its partners/investors. Lincoln Securities Corporation Lincoln Securities Corporation is a registered broker/dealer specializing in the marketing of direct . participation real estate programs. The company is a member of the National Association of Securities Dealers. Inc. (NASD), the Securities Investors Protection Corporation (SIPC) and is registered with the State of Minnesota and the Securities and Exchange Commission. �01 Planning Commission Minutes 3/11/86 4. Public Hearing - A Conditional Use Request to Allow an Addition to the Shocoinq Center to be Constructed in a 8-3 (Highway 9usinass) Zone. ADalicant. Lincoln Monticello Commercial Partners Ltd. Partner.zhio. Ms. Sandy Linstro th and Mr. Chuck DuFresne were present to propose A the expansion plans for the Monticello Mall. Mr. DuFresra explained to Planning Commission members the proposed expansion plans, along with the proposed renovation of the existing exterior and interior of the Monticello Mall. Chairperson Richard Carlson opened the meeting for public input. 1:0 cocoents being heard, Mr. Carlson then closed the public hearing. Mr. Carlson then opened the meeting for questions from Planning Commission cecbers. Mr. Warren Smith questioned the redesign of their parking lot in that there might be a conflict with the Kentucky Fried Chicken parking. Mr. DuFtasne countered that the plans are to work with the owner of the Kentucky Fried Chicken franchise to accommodate their parking lot redesign. Mr. Smith questioned if the semi -trucks will be allowed to park at the present site. Mr. DuFresne responded that they are not going to discourage this type of parking. Their intentions are to leave things pretty much as they are except for some on-site improvements. Mr. Smith also questioned where the truck loading/unloading areas would be in relationship to the existing Mall and the proposed expansion. Mr. DuFresne responded that the existing Red Owl Food Store loading/unloading area will be basically cleaned up, and they will be looking at a now design for that area. .he proposed new Snyder Drug location will have their loading/unloading of! of the area which they have cut and angled through one corner of the building. Mr. Smith questioned the walnut Street access point being moved. Mr. DuFresne responded that the walnut Street access would remain the same and the other accesa et midpoint between the blocks would be moved in a westerly direction to accomodate the proposed new main entrance to the Mall, which will be on the northwest corner of the existing :tell. Mr. Smith also questioned as to whether the existing Photo Hut building would stay or be removed. Mr. DuFresne announced that the existing Photo Hut with its proposed parking spaces would remain at its currant site. Mr. Eidem questioned Mr. DuFresne on their freight unloading area which is proposed for the Red Owl Food Store. Mr. Eidem explained on the map whore it would probably be in the beet interest to ramova those parking spaces to allow for a aemi-truck tractor to cove up into those parking spaces and line up to back straight into the leading/unloading area. The currant site plan does exceed the minicvm parking spaces required: and by the removal of these 12-13 spaces, it still meats the minimum requirements of the ordinance. Mr. DuFresne responded that they are working with the current owner of the Red Owl Food Stora and will come up with a more workable loading/unloading area. Mr. Eidem then explained to Planning Commission cambers that a landscaping plan was received by City staff explaining the tyPes and number of trace and shrub plantings proposed. Mr. Eidom recommandad approval of the landscaping plan with the condition that the number of trees planted along the I-94 boundary of thin property be reviewed: and if additional trees ere needed, the developers Put them in at that time. Mr. Dufresne explained to Planning Commission cambers that he had no problems with the proposed landscaping plan. Zf they needed more trees planted along the 1-94 boundary, they would have no problem putting them in at that time. Chairperson Richard Carlson questioned what their plans were for �✓ the exterior refuse containers. 'Mr. DuFresre referred to the site plan and responded that they are proposing to have an enclosed refuse area within the building in one corner of Snyder Drug, another one in the corner of the existing Trustworthy Hardware Store, and another one in the location of the Red Owl Food Store. Mr. DuFresna indicated they are working with the existing Mall tenants to clean uo the exterior of the building with no exterior refuse containers being allowed. Zoning Administrator Anderson questioned the possible relocation of the Red Owl loading/unloading dock area and the possibility of a conflict with the existing businesses, Going in Style and Lakeland Dental. He felt when the trucks bring merchandise to be unloaded at the Red Owl Food Store that they would block the fronts of these two businesses. Mr. DUFresne responded that it was a ver/ good point and that they would try to work out a situation which would be the least disruptive to those two businesses. Chairperson Richard Carlson complimented the Lincoln Monticello Commercial Partners Ltd. Partnership on their expertise and rewarding experience on the presentation of their proposed Mall expansion and welcomed them to the Monticello community. Chairperson Richard Carlson then asked for a motion. Motion by warren Smith, seconded by Joyce Dowling, to recommend to the City Council that a conditional use permit for expansion of a shopping center be granted to Lincoln Monticello Commercial f Partners Ltd. Partnership, contingent on the following: 1. The City -5 Consulting Engineer approves the drainage plan. 2. The refuse deposit and collection sites be screened frcz view. 3. Additional plantings (traes or shrubs) be placed in both the northerly and eastarly parking lots to break the visual monotony of large parking expense. 4. The City has the right to Order Lincoln Monticello Commercial Partners Ltd. Partnership, after a period of at least two years but no longer than five years, to plant seven additional screening trees along 1-94 if the proposed screening plan dean not achieve the desired affect. The motion carried unanimously. (I Council Agenda - 3/26/86 9. Consideration of a Conditional Use Request to Allow an Office Building in PZ -M (Performance Zona -Mixed) Zone - Applicant. David Anderson. (G.A.) A. REFERENCE AND BACKGROUND: Mr. David Anderson is proposing to renovate an existing single family house for the relocation of the Century 21 Real Estate Offices. With the new zoning attached to this property, PZ -M (Performance Zone -Mixed), types of allowable uses aro single family and multiple family dwellings, and as a conditional use,Mr. Andersons request would be allowed in this zoning area. however, there are many conditions that do apply to any type of project like this which are to be addressed and are noted on the enclosed sits plan. On Mr. Anderson's site plan, he does meet the minimum parking space requirements for his proposed project. The questions we have are in regard to the hard surfacing of the parking lot and the type of curbing he is proposing to use. The type of surfacing which he is proposing would not allow for proper surface water drainage to Maple Street. with the proposed type of curbing, it would not channel the water to Maple Street, nor in it a good barrier for parking a car. Mr. Anderson is not objecting to installing permanent concrete curbing or parmanent hard surfacing, but is asking the City Council to look at soma alternatives or a combination of both to utilize in his parking lot. In reviewal of this project, we could combine both types of curbing, concrete curbing and wood landscaping timber typo of curbing, in certain areae of the parking lot. For the hard surfacing, to got proper drainage 1 and proper maintenance with this proposed type of surface, we fool it would be beat to go with a concrete or bituminous typo of hard surfacing of this parking lot. Also a part of the requirement is solid opaque screening on both the south and east aides of this project site. There aro soma existing lilac tress which could varve as part of a screening but may need additional plantings to achieve a solid opaque screening affect. Mr. Anderson may want to negotiate to coma up with an altarnativa hard surfacing and curbing requirement to lesson the impact on the proposed renovation of this site. Thorn will be no structural change in the interior or exterior of the house other than initial clean up. Mr. Anderson has indicated at soma point in time this may be turned back to a residential property. B. ALTERNATIVE ACTIONS: 1. Approve a conditional use request to allow an office building in a PZ -M (Poformanco Zeno-Mixod) Zone. 2. Deny the conditional use request to allow an office building in PZ -M (Performance Zone-Mixod) Zone. 3. Approve the conditional use request to allow an office building In a PZ -M (Porformanco Zona-Mixod) Zeno with tho following auggootod conditions: a. Soma typo of hard surfacing, concrete or asphalt, ba installed. b. Some typo of curbing, concrato or a combination of concrato and landscape timboro, bo installed. MI! Council Agenda - 3/24/86 C. An approved landscaping and screening plan be submitted prior to building permit application. C. STAFF RECOMMENDATION: Staff recommends approval of the conditional use request allowing an office building in a PZ -M (Performance Zone -Mixed) Zone with some of the following suggested conditions: 1) There be some type of hard surfacing, either concrete or asphalt) on the parking lot to allow proper drainage; 2) Some type of curbing be installed, concrete or a combination of concrete and landscaping timbers; 3) A landscaping and screening plan be submitted and approved before building permit application. D. SUPPORTING DATA: Copy of the location of the conditional use request; Copy of the site plan; Copy of the narrative statement; Copy of the minutes of the Planning Commission meeting. -10- City of Monticello Re: Conditional Use Permit for 448 W. Broadway, Monticello The use intended for the office is a real estate office for approximately 10 agents. The property will be improved both externally and internally. It will be maintained and kept neat in appearance. The original structure will be preserved so as to retain the charm of an older home. The sight plan (see attachment) indicates ample parking; i.e. there will be parking spaces that are 10 feet by 20 feet, 10 total, allowing one of these for handicapped parking. Additional space is available as needed. The parking surface will be red rock (3/4) to control dust. Rock is being used rather than a tar surface so that the property. . . in particular the back yard of the homesite. . is not irrevocably changed. The parking lot will be bordered by landscape timbers and shrubs as recommended by a professional land- scaper and/or the city staff. The back of the property (or South side) has a lilac hedge for screening. The side of the lot to the east also has a partial lilac hedge. This side hedge will be added to as soon as weather permits to complete the screening of the property on the east side. L A professional landscaper has been contacted to plan for other landscaping and also aovise as to what should be done to add to the property landscaping as well as treatment of the existing trees and shrubbery on the property to maximize the attractiveness of the property. The work on the exterior and grounds will begin as soon as weather permits. Allowing for the properties in this area to choose between residential or office space use will increase the value of the properties because it widens the Options available to the homeowners at the time that they would choose to sell. Because careful consideration of each request is monitored by the City, only those properties that actually upgrade themselves will be allowed to make the change. I, David Anderson, will be present at the March 11, 1986, Planning Commission Meeting as well as the March 24, 1986, Council Meeting to answer any other questions or concerns. 3 �;- ���'.d'<i�"'V"•�"-�i11f�`si•,. Cre.�''ayP5'�•'��-.x��?b�.`r��.^��L:i.':�'r �"-:.iNvi�E y:'��'.�?='r�•�•"'''.'.;����{�;u "aid �E..'r'+'_��Qc}'e.��s.>,��'';.G:lc^'�.s_a.•e- �,-_„G=+i---_^y,='--'---''"�;s_==._'.,. _:Sa",•.-%-'�"���'-'�•;.. ?• ` \ _ _ __ __ __ _ _ A conditional use request to allow •v• !�, y an office building in a PZ -M Zone (Performance Zona -Mixed). David Anderson. IT `eej, .J I Cr,. N0. e. o;atr� 8q .J. •�•• 1 •1.1 L- g4CCA4 f z&vD sraf �n�,c • m 1;--- ,a > ! h pRwCwNy G�cEn, APZAYi P,491(,n)G 5lr7ct" { Fo,z ,o c a25 � V j '1,nEFiyS rss�ouNarwc ( � �'1r� ! LOT -u+trr %y;/o �7u5r P i 20C.d ON tOTp -JAI ( it ! tt GlcN A�tg � ! a J ,sr GIGAG jc/cF«nP6 Com, l Planning Commission Minutes - 3/11/86 L Public Hearing - A Conditional Use Request to Allow an Office Building in a PZ -;d {Perfortance Zone .Mixed} Zone. Applicant, David Anderson. Mr. David Anderson was present to propose his request for renovation of an existing house into new offices for center/ 21 Real Estate firm. Mr. Anderson explained that trey are proposing to screen the existing property on the east and south sides of the lot with the existing lilac and other bushes there and also add additional ones if needed later. He is proposing to hard surface the parking lot with a crushed red rock surface and put in treated landscape timbers for the curbing around the perimeter of the parking lot. The house would be pretty much left the aame on the interior and exterior except for an overall clean up. Mr. Anderson is proposing to not destroy the integrity of the exterior or the interior of the house; and at some point in time this could be converted back to its original use as a single family dwelling. Planning Commission member Barbara Koropchak questioned Zoning Administrator Anderson as to why staff is insisting on a biacktopped parking lot. Zoning Administrator Anderson countered that a type of hard surfacing, blacktop or concrete, be used to allow surface water drainage from the lot. with this type of surface, there are very few puddles or bird baths within the parking lot. City Administrator, Thomas Eidsm, indicated to Planning Commission eembora the staff's perspective on the following items. 1) 1001 opacity on the south and east sides of the property for screening purposes, utilizing the existing trees, shrubs, and plantings; and if any additional ones are needed, they be planted prior to Certificate of occupancy. 2) In ad;usting the proposed use of the building for Century 21 Real Estate firm, it would be a commercial enterprise business which requires hard surfacing with some type of curb and gutter. The type of hard surfacing allowed for this is concrete or blacktop and concrete curb and gutter. e C Planning Commission Minutes - 3/11/66 Mr. David Anderson. countered that the hard surface which is addressed in the ordinance i_sa surface to control dust. Ruth Anderson ques:tloned City Administrator, Thomas Eidem, as to why the hard surfs -ring is needed for this when the type of use within this zone is residlential and ctncrorcial mixed. Mr. Eidem responded that even though i tis a residential and commercial mixed zone, the most restricti-ve requirements apply to the parking lot. Planning Coomissio n oember warren Smith asked Mr. Anderson to explain further what he was going to do inside or outside of the house. Mr. Anderson indie ated he was intending to clean up the exterior of the building. I: it needed reroofing, it would be reroofed. If it needed new windows, the windows would be replaced. If the porch needed a new foundation, it would be put in. If these things weren't needed, it vould be left as it is. He is proposing to leave the interior pretttytuch the same other than a lot of clean up and elbow grease. His intentions are to not destroy the single family integrity of this house. Abutting neighbor to the south, Mr. Harry Schaffer, questioned the type of surface which Mr. Anderson was proposing to use. He relayed his experience with the blacktop surface he has on his driv-avay and compared it t,o the typo of surface that Mr. Anderson was poxoposirg to use for this parking lot. Mr. Schaffer also raised a ques=tion as to the housing values, particularly his house, with a co=orcial business located at this site. Mr. Eidem indicated there would be an increase in value because the value to thia property a:nd other adjoining properties would be increased by a good commerc Lal development occurring along the Broadway side of this block. Ruth Ladd supported Mr. Eidem's statement, saying that previous to h:or joining the Century 21 Real Estate Office, she was with the real estate firm which originally had the Fitzgerald house listed with thea, and the asking price three years ago was considerably highamz. It has gone down in value over the past three yearn aimply bocau:ae tha house is a big old house and was in deteriorating condition. There in me market for this type of large house on a large lot. Mrs. .rchn Sullivan, a neighbor icmediataly east of this property, questioned t -ho headlights from vehicles driving into the parking lot ehininglnto their house. City Administrator, Thomas Eidem, indicated t_aMrs. Sullivan that the object of the 100% opaque screening fence would be to cut down the glare from headlights of oncoming care into. the parking lot onto their property. Ruth Ladd countered that they normal office hours of the real estate office are until 6:00 p.c., and they have no Sunday office horns. Planning Commission combat Joyc o Dowling questioned the type of curbing that is required for th:ie. Zoning Administrator Anderson countered that the type of curbingroquired would be Boma type of hard surface curbing like concreto to allow surface water to drain off the paricaters of the parking lot; out onto Maple Street. Mr. warren Smith than questioned the interior layout which Mr. Anderson is proposing. Mr. Anderson countered that he Is proposing to leave the interior 5- Planning Commission Minutes - 3/11/66 as it is except for basic clean up. He would like to keep the integrity of the single family dwelling. Mrs. John Sullivan then questioned if this property could be turned back into an apartment building. Mrs. Sullivan, along with her neighbor, Mr. and Mrs. Harry Schaffer. objected quite strongly to any type of apartments being built there. Zoning Administrator Anderson addressed Chairperson Richard Carlson on a letter he received from a neighboring property owner, and also a comment he received from e neighboring property owner. A letter was then read from Mr. Randy Havel of Havel Giarusso 6 Associates, Inc., a neighboring property owner, voicing their approval of such a conditional use request. Zoning Administrator Anderson indicated to Planning Commission members that Mr. Babe Clausen, former owner of the Dairy Store, would like to voice his approval of Mr. Anderson's request. He felt It would be a very worthwhile project in the area, and it would be of contrast with the existing residential neighborhood. Planning Commission Chairperson Richard Carlson then closed the public hearing. Planning Commission member Joyce Dowling questioned as to the type of hard surfacing which is required. Mr. Tom Eidem indicated that per Section 3-9-K in the text of our ordinance, Stall, Aisle and Driveway Design, all areas intended to be utilized for parking space and driveway shall be surfacod with material suitable to control dust and drainage, except in the case of single family and two-family dwellings, driveways and stalls shall be surfaced with 6 -inch Class V base and 2 -inch bituminous topping and/or concrete equivalent. Planning Commission member Barbara Koropchak questioned when would the 1001 opacity screening have to be put in. Zoning Administrator Anderson countered that the screening would have to be put in before occupancy could occur. If the time of the season is not right for planting of trees and/or shrubs for screening, there would be an amount withheld in an escrow account for 11, times the amount needed to put in the landscaping and/or screening work. The owner/developer would then bo given so many days to complete that project. If not completed, the City would have the money available to hire a professional landscaping firm to come in and do the screaning/ landscaping par approved plan. Chairperson Richard Carlson then asked for a motion. Motion by Joyce Dowling, seconded by Barbara Koropchak, to approve the conditional use request to allow a PZ -M (Parformanco Zona -Mixed) with the following conditions: 1. Soma typo of hard surface, either concrete or asphalt, be installed. 2. Soma type of curbing, either concrete, landscaping timbers, or a combination, be installed. 3. An approved landscaping plan be submitted prior to building pormit application. Motion carried unanimously. C �e- O I- Council Agenda - 3/24/86 10. Consideration of Granting a Sunday Liquor License to the Monticello American Legion. (R.W.) A. REFERENCE AND BACKGROUND: The Monticello Legion Club has applied for a Sunday On -sale Liquor License in addition to their present Club License. Minnesota Statutes allow clubs and restaurants to have Sunday liquor sales provided they have facilities for serving not less than 30 guests at one time in conjunction with the serving of food. According to the Liquor Control Division, it is a local determination as to what constitutes the serving of food in establishments other than normal restaurants. Currently, the Silver Fox Motel, Oakwood Inn, Charlie - s West, and Monticello Liquors, Inc., have Sunday liquor sales. Probably the only questionable license at this time is at Monticello Liquors, as we are not aura what type of food they serve on Sundays. B. ALTERNATIVE ACTIONS: 1. Grant the On -sale Sunday Liquor License to the Legion Club with the 5100 annual fee pro -rated to the duly 1 ranowal date. 2. Deny the request for liquor license. C. STAFF RECOMMENDATION: Assuming the requirements of the State can be mot in serving food to at least 30 people at one time, it would appear the Legion Club can qualify for the Sunday Liquor License. D. SUPPORTING DATA: Nona. am Council Agenda - 3/24/86 11. Consideration of Granting Ap?roval to the 1986 Industrial Development Committee Operating Budget. (O.K.) A. REFERENCE AND BACKGROUND: Under the Economic Development Plan adopted in 1982 for Star City Certification, the Industrial Development Committee proposed budget is to be adopted by the Monticello Chamber of Commerce and the Monticello City Council. On February 20, 1986, the Industrial Development Committee adopted the proposed budget. B. ALTERNATIVE ACTIONS: 1. Adopt the Industrial Development Committee proposed budget as presented. 2. Alter any one or more forecasted revenue or forecasted expenditure. 3. Do not adopt the Industrial Development Committee proposed budget. C. STAFF RECOMMENDATION: Staff recommends the adoption of the Industrial Development Committee proposed budget which enables the Industrial Dovelopment Committee to proceed with their adopted 1986 goals. D. SUPPORTING DATA: Copy of the proposed budget. -12- �i MONTICELLO INDUSTRIAL DEVELOPMENT COMMITTEE Proposed Budget 1986 Beginning Balance (Estimated) $ 6,397.37 FORECASTED REVENUE: Sales $11,250.00 Interest 750.00 Contribution — Government (City) 4,000.00 Contribution — Private (Chamber) 2,500.00 Other 25.00 TOTAL FORECASTED REVENUES $18,525.00 FORECASTED EXPENDITURES: Research 6 Development 100.00 Promotional Banque t 3,000.00 Informational Packet 2,000.00 Magazines 6 Ads 2,000.00 Travel. Conference, Memberships 1,500.00 Entertainment (Prospects) 1,000.00 Misce1l.aneous 300.00 Building b Finance 100.00 Direct Payment to City 11,175.00 TOTAL FORECASTED EXPENDITURES $21,175.00 EWING BALANCE (Estimated) $ 3,747.37 Council Agenda - 3/24/86 12. Consideration of Adopting a Resolution Establishing Flow Control on Leaves. (J.S.) A. REFERENCE AND BACKGROUND: In the fall of 1985, the City opened its leaf composting facility near Montissippi Park in the western portion of our Community. We utilized a piece of the existing Dutch Elm Utilization Site and a piece of the County Park. We began operation early enough in October to complete one leaf pickup on a Saturday morning. Corrow Sanitation, as part of their contract, brought in three garbage packers on a Saturday morning from 9:00 a.m. to Noon. Three City employees manned the rear of the trucks and collected b-, leaves at curb aide. The bags were deposited at the composting facility. Boy Scouts from the Monticello area then proceeded to open the ,bags, pile the leaves, and deposit the bags in a dumpster provided by Corrow Sanitation. For the first time in operation, the collection was a little light, but did total approximately 150 cubic yards, or 22.5 tons. It was noted by Corrow Sanitation that some people had raked their yards early and many'of the leaves had been picked up with the normal garbage route. In addition, come people had not yet raked their leaves, and others had stored their leaves in bags around the homes. It was noted that still others had their own individual compost piles behind their homes. This material, if deposited in a landfill at $4.00 par cubic yard, would have cost 5600.00 to deposit. The goals of the 1980 Wants Management Act are to reduce Minnesota's dependence on landfills and promote alternatives to land disposal. This is a state law. In conjunction with this, Wright County is preparing a Solid Waste Management Plan to look at the alternatives to land disposal in Wright County. While recycling is a viable alternative to land disposal, waste reduction and waste recovery will offer the boat avenues of landfill abatement for the future. A project currently being considered for Wright County is the Refuge Derived Fuel Project at Elk River. This in a joint project between United Power and NSP. The facility is expected to be in operation in the next few years and will process solid waste from Anoka County as wall as any other counties that enter into an agreement. If Wright County enters into this agreement with NSP and UPA, a flow control law in Wright County will be passed to direct all mixed municipal solid waste to the RDF facility in Elk River. Expected tipping fees or dumping face at the facility arc currently as high as $60.00 par ton, thereby increasing the coat of our deposition of loaves from a more $600.00 for that small amount collected in a fall pickup to $1,350.00. Those coats do not include transportation costa, taxes from the transfer station built in central Wright County, or increased landfill costa duo to the lower amounts of wants going into high overhand facilities. It appears moot applicable at this time to begin waste reduction or landfill abatement in Monticello. Since our composting facility is -13- Council Agenda - 3/24/86 in operation, it is time to begin using it. Much of the public today still maintains a throw -away attitude; and if given the alternative, many people would not voluntarily go out of their way to see that a bag of leaves gets to a compost pile for re -use versus merely tossing it for the garbage man to go to a landfill. I, therefore, feel it imperative that the City Council pass a resolution adopting a policy whereby separate pickups will be made for leaves at curb side. Our current solid waste contract with Corrow Sanitation has provisions for individual pickups of leaves for up to four times per year. Our policy would be that the City's solid waste contractor will no longer pick up bagged leaves with the mixed municipal garbage but will arrange for curb side pickup of bagged leaves within the City of Monticello three times annually. In addition, throughout the year on several dates the composting facility will be open for individual transportation of loaves and grass clippings to the site. B. ALTERNATIVE ACTIONS: 1. The first alternative is to adopt the resolution stating a policy as described above for the separate pickup of bagged loaves at curb side. 2. The second alternative would be to continue as we are and wait until we are forced to implement a program due to skyrocketing prices. C. STAFF RECOMMENDATION: It is the rocommandation of the Public works Director that the City Council pass the resolution as outlined in Alternative N1. This resolution would take affect immediately, and we would arrange for the first pickup for bagged loaves in April. D. SUPPORTING DATA: Resolution for adoption. -14- RESOLUTION 86 - RESOLUTION ESTABLISHING FLOW CONTROL ON LEAVES WHEREAS, the goals of the 1980 Waste Management Act are to.reduce Minnesota's dependence on landfills and promote alternatives to land disposal, and WHEREAS, the City of Monticello owns and operates a leaf composting facility, and WHEREAS, the City wishes to begin landfill abatement wherever possible for the protection of the environment and to control costs. NOW, THEREFORE, BE IT RESOLVED BY THE CITY COUNCIL OF MONTICELLO. MINNESOTA, THAT: 1. The City of Monticello will no longer, through a refuse contractor, pick up leaves with mixed municipal refuse at curb side. 2. The City of Monticello shall themselves or contract for curb side pick up of bagged Leaves a minimum of three times annually within the City limits. 3. The City of Monticello shall open its leaf composting facility toresidents of the City of Monticello for private transportation of leaves and/or grass clippings at selected times throughout the spring, summor, and fall, in conjunction with operations at the Dutch Elm wood utilization site. Adopted this day of March, 1986. Thomas A. Eidem City Administrator IN Arte A. Grimamo, Mayor 0/a Council Agenda - 3/24/86 13. Informational Item - Presentation of a Proposed Request for Proposals for WWTP Contracting. (J.S.) A. REFERENCE AND BACKGROUND: In the fall of 1985, the City Council authorized staff to prepare Request for Proposals for contracting operation of the City's wastewater Treatment Plant. This privatization is not being considered because the City is unable to meet its discharge permits. Quite the oppOSite is true. For the past two years, the City's WWTP has discharged water into the Mississippi River at levels ono -half of our current discharge limitations. In fact, on many occasions we have had discharges of 0 BOD to the river. While this typo of operation is certainly commendable environmental -wise, it can be extremely costly to those who have to pay for the operation of the facility. Another concern is on-going maintenance and repair of the WWTP. The City of Monticello hao a significant investment in this WWTP facility. The existing staffing at the WWTP has a very high degree of skill and expertise in the field of operations and process control in achieving high quality ofPluent. They have less expertise, however, in the area of management and equipment. This can be characterized by such items as the repair bill for the boiler, which exceeded $10,000.00. This problem occurred duo to the untreated water in the makeup system. In addition, there have boon numerous personnel problems at the WWTP. Those problems have led to disruption of work schedules in other departments, aignificant pariodo of ovartima, and a reduction in the level of maintenance of the buildings and coatings. On a recent trip through the WWTP facility, an investigator for our now insurance firm noted the WWTP for lack of good housekeeping procedures. The otaff is moving forward in attempting to correct some of the deficiencies in operations at the WWTP. This forward progress, however, has been extremely slow. Thera is the possibility that additional staffing will be noedod at the WWTP to augment the existing work force. Now is tho time to consider contracting the WWTP facility. Whether or not this is a good and viable alternative for the City of Monticello remains yet to be soon. Contracting in some areas has proven itself to be very cost effective. A partnership between private industry and government is becoming more commonplace in the operation of not only waatowater treatment plants, but also water treatment plants. Bearing this information in mind, the staff contacted several communitios who aro now contracting operations of ono or both of their facilities. A few of those lettora aro enclosed for your review. In addition, we obtained Request for Proposals from several communities, reviewed those documents, and drafted a dOCumant we fool is suitable for the City of Monticello. If I have ono criticism of this document, it in ito length and amount of detail. It may be pooalblo to reduce the detail and length of thin document and otill preserve its content. IME Council Agenda - 3/24/86 The staff only wishes to present this document at the March 24 meeting. ` We ask that you review this document and its content so that we may have a full discussion on the 14th of April. At that meeting. we can decide whether to proceed with the advertisement of Request for Proposals or other alternatives. B. ALTERNATIVE ACTIONS: 1. The first alternative would be to accept the document for review and discussion on April 14. 2. The second alternative would be to dismiss the idea of contracting out operation at the WWTP entirely and request other alternatives. C. STAFF RECOMMENDATION: Staff recommendation is that you accept for review the document enclosed as outlined in Alternative U1. D. SUPPORTING DATA: Copies of letters from various cities; Copies of newspaper articles and magazine articles; Request for Proposals document. -16- From The Office Of Mayor Alfred Hill Lily of XavanEs d., CITY ADMINISTRATION BUILDING K EW ANEEE ILLI NOI 5 61443.2199 PHONE, 672 • 2611 December 03, 1985 Mr. John Simola Director of Public Works 250 E. Broadway Montecello, MN 55362 Dear Mr. Simola: I have been asked by Mr. Tim Perra of Water Environment Technology, Inc. (W.E.T.) to write to you and explain our experience with contract opera- tions of the City's Wastewater Treatment Plant. The City of Kewanee had operated its own wastewater treatment plant up until July, 1984 with. not always the best results. In fact, in recent years the City had been sued by the Illinois Environmental Protection Agency because of poor performance of the wastewater treatment plant. Various steps taken by us to correct personnel problems at the plant had been stymied by the City Employees' Union. I have enclosed several newspaper clippings which should explain the problems we were going through at that time. I have been very pleased with the contract system of operation to date. The wastewater plant's operation has been turned around and I have enclosed a letter we received from the Illinois Environmental Protection Agency complimenting the Council on its action. I have also found this scheme of operation to be very economical and more free of the day to day pro- blems at the plant which we encountered in the past. In summary, I am very pleased with the system of contract operations, and highly recommend it. If you have any questions, or wish to talk further on this matter, please feel free to contact me at (309)852-5044. Sincerely, LIZ Alfred, ill MayoC of Kewanee AH:no Enclosure Cy d.rr o. _QERv � o/ Peru Isented in 18151 Post Office Box 199 November 7, 1985 Peru. Illinois 61754 Mr. John Simola Director of Public Works 250 E. Broadway Montecello, MN 55362 Dear Mr. Simola: Today I had a conversation with Mr. Tim Perra of Water Environment Technology, Inc. (W.E.T.), Illinois division, in which we discussed my writing to you to explain my experience with contract operations. All things considered, my experience with contract operations, more specifically with the people at W.E.T., has been very good and I believe it has been good for the City of Peru. Before contract operations our water and wastewater facilities were in disarray and we were in a continual bind with the Illinois Environmental Protection Agency. Also I felt that it was very difficult for me to learn and control what was happening at the plants. With con- tract operations, everything is out in the open, and their people work well with the City to accomplish various goals. This makes sense since to work well with us is to their advantage if we are to retain them in the future. I also find that this system of operation is very economical for the City. They are able to accom- plish this by using less people who are better trained, by sharing tasks among several plants, and by running a more efficient opera- tion. The salary scale for people of this caliber also runs high and can disrupt the salary scales of other people on the city pay- roll. By using W.E.T., we have circumvented this from happening. Again, I believe that contract operations have worked well for the City of Peru and I also recommend that any city consider this mode of operation. If you have any further questions or if I can be of any further help, please feel free to contact me at (915)223-9293. Very truly yours, Z.6,6,.-,.,, Edward Urban Ch airman, water 6 Sewer Committee EU:ne "Fastest Crowing City In Le So//# County" /a ILLINOIS Environmental Protection Agency:. 5415 N. University Peoria, IL. 61614 ;. July 6, 1984 KE�ANEE -Wastewater Treatment Facilities (Henry County) The Honorable Alfred Hill, Mayor of Kewanee, and Alderman City of Kewanee 200 West Third Kewanee, Illinois 61443 Dear Mayor Hill and Alderman: The purpose of this. letter is to commend the City for recent action taken to improve the operatics, maintenance and compliance status of your wastewater treatment plant by placing the plant under the contractual operation of a firm specializing in wastewater treatment plant operation. As you know, your wastewater treatment plant has a history of substandard operation, maintenance and compliance with Illinois Water Pollution Control Regulations including Illinois Pollution Control Board Order 78-264. T.his history clearly supports this action taken by the City. Please feel free to call upon me at any time I can be of .M service to you. .. Very truly yours, aures E. Kammueller, Manager Peoria Office, Region 3 Div, of Water Pollution Control . JEK/pm cc: -City Clerk bcc: /DWPC/FOS and RU WEST -Peoria Fi les L , ... •• •' ��. � i. :. ,.���• '',.}-fir I �* 3514 is •.,I .. ,•�_,;- V - iil'•-�;7•n.'s'vJ'�r:;iLcd1.Y�.`.-0!�ci•.Y`,;�:p�.«.-y .:t •�y1� I ,�1 - ....:.. 'EPA" .._ . `�,. , �,; ,,�, • � I� ; Sayk;,Oper..a -ion` + ti� ':I•, )r•+ Of Treatment Plant N; l»7' 'Highly •Satisfactory', The Illinois Environmental Protection Agency (EPA I has found "highly 41;I T v.tttsliciory operation and maintenance'! at Kewance's sewage trealtmnl I 11'i•�i plan( I I •,�, :•i In a letter to the city released Friday by Mayor AI Hill. EPA regional . ' ul Ore manager James E. Kammeuller of Pearla said the city has I + X unproved the quality of the operation of the plant. I� Kammeuller noted In his biter that he inspected Kewanee's plant Feb , a y7nd •'based wt this Insl>cetlon il appears the plant Is now receiving {';y It,o d to t;hly saUrlactory operelton and maintenance, and peforming within its design a+pabthlies, under the contract operating firm " iiI kk7pj� ,err I..tsl yvat the city hired a conaraetnr, Water Environment Technology i tWLTt, to efwrdle the plant. � iii v I e7� 'The Agency again commends the city for the cellon you have taken to �J4 ' �f mtpruve the operation and maintenance of your plank" Kammueller's YY Id ,Nt` la iter said "We urge (hal this satno blah level of operofiun and o.intenant be estended to your new plant once II is built, to prosde I IIIIIIj1s 1• r uounued protection of the tarpaycrs' investment and hest possible unnphdnrr with the Illinois Water Pollution Control Itegtdallons" I i 1'tty of:Ctats hula to begin canstmctinn later this year on a new Is nulhon treatment plans, to be located Just east of the esbting Ftshrr ! M utue plaal , t , t I 144, Alnv V' I:aounuelllr's letter said there all aortse "eumpOance hems" still to be readvrd at (Le plant, and "a low rema ning items were undo evalustton j FF 1 end (orieetton aeJ have bern discussed with WET." - ' s. )'.✓' - .. -•- wawa .. �'.. r �ry•�^ : ,,Ir`�. _-f - ' � :• r: • V\.: I-. , : !... r s ewe a Pla alt,,.--Woes : D-e't6lIedy= _ . G) aADGLh ■aLTeA Us, rhrwyn . Olerltardn same empoya Urn backed em the cell Hill raid Ymrhe L''ealled, Lrn ca • Of The Harravw Tm it,, is," bgah Is11np lbe dace b Ltr U. al Hr ur*,S at the uu. Ibll rud '- Dewe sh be two ' e"d p+La Yvan,dim Lauer' Limyq er>rwd aliucwaIron ellaalm aim Ural Wn..1ni Nr with crew wm ubotapN amp.' . "Thr problem a that thea people Lrr dual chlrh .¢vdiad b Ht0:.n anrelaW b the rwil t lasradrn wa 1!e Kmeeea Ol Cowart] • daWa ard uld the ally nn tr(ad 1¢L U ItNa Ir® IY. / W pranlm W civil erwca aad 0wm protrcila. Oda a - caavm d Uta.: - � . . U ten oprratltm a We Lt) dupaal tau Deer U . day WIL .aawrdhy b Hill - ., W Vital U (I.. a maybe both Mid he . but h HrG Lad Yaure".1" Wal Im Tiawda) aid private tum. YaYal •I Ihp charted at IWrd.yr eity "Leery enc " 1 Ld vlth be pUOI. then were atdn II hard to ed rid d me®pemL ..pb)ra" "th.wiewd mr, H tV 6.rKLude lips mane b tarrH eerily Nal reuatua mkos, rqulatim and renewedehardn a iORTjescnte. brLWieid Nc14" WG• . HJI Laid L d10a't rem t. b M thus rnpleyea he ' rerolcd:' ILH Laid '., ( - racmpllesw .ad IwirLUN arrimp e"n"aw", 11 the Laid . , t�• empower repmdW. aolra 1. a— 11 would tr., IUG Lad be Ilueunned wLHrt a ad'Yhe .11 Urpad put ha0 Helped lona Ik' e1t) 0 Guy o an 1411 itrn dexnbrd Nra .eparare ImLaorra over the raw— He - m Iabal n to Ypb:,d A m1. aL W hrea imriCiad Im aWda Itra, N11 Yur m rile he SAW Willitenn Or uitw,nperan• •sour roll raacmr waa to sawk tvufM.r(ILtm U" d arlltnd by.x b mien " ' Isll Laid W o.w,rouble, will, the palm bell 0u11Y " the part d watt pUa1 Scrim ,num etpeuve with a pmate Hem." Hill Laid Hill awed that wether rwi a popcl,r Ube leder n Uta b tm1 dine. wb. aril race be W app - cheater U, cal/ plgrey Hill uY preacn IrVm the CPA mode rwol0tm d Kewusa, aod b L L1 noutmd teas b 0 la two duped plans wale. rad b be reacradN IhH Laid the day new rttri•led U teal lawLH ibe promrm Impnaura tuad,m.W pr,.apte d Ubu. . . hr_an.e a "ma m" eUa b Na city -h weer suit= P rrN. rrry mAJ part d ,be, vls r. saj A He Dap ld.t thm utluud C1na 1 Wrrato. Nn "I ramal the lan N•1 aver) How 1 Dat with umm ' Z' Irrcu•vp real. uol ml anrt. b pan d YidUod, astral wauld Low .q..d Hn nue lbw g— to hen.YYab Mry lL pUdlpl.e iYmplaanrawith FpA laid r, they u/'Y'.W Ueda would tr.rrJOrd' I' ' macer wcrW m wdY, PU. Im went hal .. " bcQm • ` BIG Laid nUUae bwiae. the fro auH � drn0ms • 1••; think my latba wa.ld be procd" -. W,drlls,to0 Limit failure 4 sarplrywa Wllpeuat FoLlorty Htll'. rer0arilL Mug l city worsen dap emp:=Yen am nW laAYb aver pUatle .2rr worlee .l Ne pan Orini.liia maluy 11 lD r- p. .t wi the pUm melded the p1a1Ue aad t rs"M Hill alu rap,Med t0 erltleal t®pemb rude ala ' b yeLL, but Iidl .LLed lac . 1bp11op W .epaur W ,sty cvio," eau p by Jab, Ilaaalrw, trL,,"' rreetiag, Lar $ 'You've Ld your eh— •• ,r.1.d V�.l b t t0Law u r/ 'L a en-1e oral dull runeoctlnr)m d ""SA90 Iron the MCm crew, Wulff la LAbven Lavr0atiaal Undo, d HmN The couoel1 rl 1., the mo110e, 0111 " .. Hill yd the m) mCm.:.uyc.I- t0e 1. ac.11u m, when u —! Iltll .. .•I Amnia, Incl Gl LEmraarasr err 1-1,6A eo1W r -lar .. , A Privatization Frivullte !( Choices No longer an idea whose time has come, privatization is gaining increased acceptance by communities struggling to provide services on shrinking budgets. By Sondra .1fo,luvos Befhrsh Federal funding has given way to local financing; grana, no longer as plentiful as they once were. have been replaced by Innovative fl• nancing techniques. from infrastruc• ture banks, to loan programs, to payas• you -So. new options teem to appear on a regular basis, with privatization pray Ing to be one of the attractive choices for local go, ernmcnts. Privatization — a word that until re- cently did not even appear in the dic• tionary — can be defined as the private financing and ownership of public fa. cilities. While the concept originally was hailed as "an idea whose time hes come," today, privaiiration Is no longer just an Idea, as communities across the country are using this alternative to de. liver needed services cost-effectively. And with each project that is under• token, local communities are learning more about how to structuro such nen. tures. A wealth or information on how to arrange privatization transactions is is. sulting from the large number of priva• tization projects currently underway. More than a dozen such projects are in the planning or construction stages across the United States. Privatization techniques are becoming especially at. tractive for wastewater treatment facili• ties, with at least IS communities opo- ing for this method of public service Provision, including: Auburn. Ala. bama; Baltimore. Maryland: Onion Rouge, Louisiana; Chandler, Arizona; Downingion. Pennsylvania; Cast Au. rora. New York; Gilbert, Arizona: Greenville, South Carolina; Hubbard, Ohio: Jefferson Parish, Louisiana: Oklahoma City, Oklahoma: San Luis Obispo, California; Smithville. Utah; Snyderville, Utah: and Springboro. Ohio. Construction is commencing on the Auburn. Alabama. wastewater treat• mens facility, which will Include two secondary treatment plants with a earn. bined capacity of seven million gallons per day. In addition, 27 miles or later. ceptor sewer lines will be constructed. More than $16 million In revenue bonds were issued by the Governmental Utility Services Corporation (GUSC) of Auburn to finance the project. GUSC was established through the enactment of the Alabama Privatization Act to fa• cilitate private sector involvement in public projects throughout the state. During the life of the 25•year contract, Auburn officials expect to save more then S25 million through the privatiza• tion technique as opposed to having the city build and operate the plant. In many cases, the private sector is able to construct facilities faster and more cost -effectively than public enti• ties. Among the economic advantages available through privatization are the ability to reflect the value of private sector income tL benefits in Iowa au• nual user charges, along with the avail- ability of and the private sector's will. ingness to use innovative financing techniques. Often, the financing vehi• cles associated with these techniques re. 07 vtt.ncan elh a eotamy/al - `es i3 � i r � aro;. •I .ice -4. — T - a,Yr ft Joe} Quire a willingness to accept a greater the local government's inclined con• when structuring the transaction. It degree of risk. While some local gov trot in meeting local needs, since the should also recognize the need for its ernments legally may be able to use elimination of federal fundin'deereases private partner to stay in business and, these financing instruments, they an the number of regulations pertaining to accordingly, should recognize the need unwilling to use them because of thea the proposed facility. An additional for a reasonable prol it. associated risk. benefit is the oppormmiy to share risk. The potential for benefits to both Privatization offers local govern. Resk•sharing is one of the essential parties in a prlvatizatlon transauton is menta other economic advantages, as ingredients or privatization. %lost pit- relatively high, but is dependent on the well. For sample, a common may be vatizaton service contracts can be e,• process used to implement the project. able to obtain a "hoed price . guaran• pected to platect the community from The implementation of a privatization tie from the privatizing film, with in intellective plant operations; if the de• project can be similar to assembling a agreement made in advance regarding sired and agreed on level of irtatment a jigsaw puzrle. However, the puzzle's the cost of the facility on which the not provided for reasons within the op• degree of difficulty is related to the care I commumt y'a service charge would be orator's control, the operator, rasher andconcern that goes into pricing ti to - based. Similiarly, the same protection than the community, should face the fi• gether. Privatization implementation mayexist for communities regarding nancial burden of state imposed fines mutt be well planned and carefully car• operation and maintenance costs, with for failure to meet operating uandards. ried out: a haphazard approach ts likely contracts including these calls and sup. Additionally, neither partner to the to result in the omission of essential ulaung the conditions by which she yet• privatization transaction should seek to steps, and could result in an unnecas- firm would be allowed to increase place the other patty in an unacceptable -vete rattly comple,, or even aborted, prof posture regarding rd►. 1 hire traniac• ect. Noneconomic benefits available tions are usually long -teras — 20 years The first lisp in a Privatization pedj• through pnvatizatlon are harder to to 25 years — and a spirit of coopers, ect Is to determine whether the concept Quantify, but can be significant. These tion is needed to ensure a compatible Is financially feasible for the specific benefits include relief of the day-to-day partnership, While the public sector project in Question. Itiues such as the management burden of the facility, and should seek to retain maximum benefits commumiy's ability to pay required American City .Ceienq/0aaesbar1915 — � -- N _63 /3 Irrigation Canal Hydropower Tapped Through Private Help Isrr igating crops by diverting water through canal systems may be an ancient idea. but it still works to- day just as effectively as it has for centuries. In fact. irrigation may be even more effective today, for pn• vale deselopers are helping irrigation districts gain extra benefits by using their water to produce energy — and profits — as well as crops. while power has been harnessed from rapidly moving rivers for years. only recently have efforts begun to generate energy from the slow•mov. mg waters of irrigation canals. To take advantage of this energy source, small-scale hydropower plants are needed, and such plants can cost millions of dollars. Even though the cost benefits ate clear, capital fund. ing can be difficult to obtain. Such was the case with the Central California Irritation District (CCID). located in the west -central portion of the San Joaquin Valley. The CCID had been interested in the energy -producing potential of the ir. rigation canals for several years, and had, in fact, filed permits with the Federal Energy Regulatory Commis• sion to investigate the feasibility of constructing small hydropower plants at several sites along the dis• trict's canals. - The study results proved favor. able, but to build the power plants and own them outright CCID direc• ton would hose had to sell bonds to pay for the construction. According to CCID manager \tike Porter, the district's landowners would have had to approve the bond sales — but CCID directors believed they could make better use of their assets. Private development of the hydro. power projects proved to be the to. lution. The district leased, for 40 years, two canal sites near Los Banos, California, to Sverdrup Cur• potation, which, in turn, neared a wholly owned wbsidiary, Sverdrup Hydro Projects, Inc., to finance. de- sign, construes, own and operate hy• droelecuic plants, beginning with she two towhead plants at the CCID sites. "Under this agreement, the dis• trict will continue to deliver she not. malamount of wucr (about 600.060 erre rets) res its 2:S•squnrr.mde xrr vice area," says Charles Culling, Sycrdrup's corporate principal for public works projects and president of the hydropower subsidiary. "And without making a major investment of its own funds. the district will also benefit from the sale of electric power generated from the canals — without depleting natural resources or causing pollution." The "privatization" project was developed with private financing through the sale of S6 million in in. dustrial revenue bonds. The devel- opers used their own resources for design and construction, and built the plants during the off-season so that they would not interfere with the district's irrigation needs. The district provided the sites and will receive lease payments. Scheduled for completion this month, the J.P. Bunker and Her. man Willis power plants, named af- ter CCID board members, together will generate 6.1 -million kilowatt hours annually. Electrical power from the plants will be purchased by the Pacific Gas and Electric Company, which is ob• ligated to buy the power at avoided cost rates. The "avoided cost" con. cept requires a utility to purchase al- ternative energy as a means of re- ducing reliance on non-renewable re- sources such as oil and coal. Earnings are expected to be nearly f300.000 from the sale of electricity in 1986 from the Bunker plant, and nearly 5170.070 from power sales at the Willis plant. A percentage of the gross revenues from these sales will go to the CCID, based on a sliding scale: 1: percent for the first five years and up to 40 percent during the last 10 years of the lease. "The money CCID collects during the first l6 years of the lease will be used to purchase the plants from Sverdrup, an option in the lease we intend to take advantage of at this point." says the CCID's Porte?. "With the Los Banos projects. privatization is the key ingredient that turns possibility into reality," says Cutting. "A pnsare developer generally realizes greater efficiencies in the design and construction pro. cess, and retains the benefits of project ownership to lower its total cost. The public agency. CCID in this case, can provide needed ter - vices to its constituents with sub - u n?ial savings In time and prnjrrt costs — and receive additional in. come." CCID's Porter agrees. "This is pure profit for the district." ❑ service charges and the relative cost-ef- fectiveness of privatization compared to other available financing mechanisms should be assessed. Legal feasibility is another piece of the puzzle. Some communities that have undertaken privatization projects have found that changes in state law were necessary to allow the project to pro- ceed. Such was the case in the Auburn project. A review of a<isung legislation revealed that a clarification of the com• petitive bid process and specific author- ization to allow the city to enter into long-term contracts were required. En- acting any necessary legislation is one of the long lead time items in a privatiza- tion plan. Because Auburn's implemen- tation process had been carefully planned by the city manager and the city's advisors, legal issues were ad- dressed early in the process. The city manager and the city attor- ney educated local legislators on both the privatization concept and the neces- Neither partner should seek to put the other in an unacceptable posture regarding risk. tary legislation. Additional statewide support was obtained by introducing and discussing the privatization plan with Alabama communities having um• ilar needs, which resulted in the passage of Alabama's privatization bill. Step-by-step approach Once feasibility is established. the community —with the assistance of in financial, engineering and other consul- Iants — will need to prepare a schedule of action steps. While privatization projects should be approached on a case-by-case basis, some of the major ceps include: •establish financial feasibility; •rc%iew existing legislmtun; •prepare. advertise and issue re• quests for proposals; •review and evaluate proposals; •develop an oversight program; •select a proposer for negotiations: and •sign contracts. Additional considerations may in. elude the many financing related ac- tions that may be necessary. The pri• sue lirm also has the responsibility fur obtaining necessary financing, but if in- dustrial development bonds (IDBS) are used, the community is likely to play a role in the issuance. And since IDBS are luued by a city, county or state author - American Clly 6 CourdV/0Ct0,W!!a icy on behalf of the private senor, the community may be asked to present some documentation related ro the pro. posed project. The successful procurement and tin. plemenratioa of pnvatizasson will be heavily conditioned by the quality and comprehensiveness of two key docu. ments. the request for proposal (RFP) and the service contract. The overall implementation process will be smoother if these documents are similar in content, direction and detail. The RFP is likely to be the first ex. posure that potent sal privatizers will have to the goals, objectives and re. quirements of the local sommumiy The private sector will also have its first op. poriunny to assess the unousnests of the community's intent to implement the project, as well as to decide whether to pursue the opportumry, Consequently. the RFP should incorporate and clearly delineate all of the provisions, terms and conditions that are of primary con. cern to the community. Whenever possible, the community should determine its positions and pos- tures in advance ant] reflect them in the RFP. One reason for such comprehen. siveness and definition is to chat pro- posals mat, to the greatest emenl possi. ble, can be evaluated on common grounds and will facilitate a smooth and orderly transition to the service con. tract. rhe service contract The service contract is the agreement between the local government and the pnvutzer to provide long term ser -Oce. and is the principAl document in any pntatmtion uansa.tion. The comma outlines the terms of the partnership, and should include provisions to pro. tect the interests of both partners. The terms of the semce contrast provide the prmupaf credo support lot thr projevt, although cash pfulea will Include its own unique issues in the contract. K hen a lural community u the first in n% slate to pursue pnvauza ion. the re•eanh into %talc laws and the eflmt raaurrcJ to edavate when on the on sept can be Cumhenome For Jerry Hiller, village aJrninotratur of I au Aurora, New York, the attitude and as sntanse of the state Ikpannsenr of lit virunmennal Conservation was %ay helpful. "They went beyond the tall of duty" in their responsiveness and support, he says The assntanve muuded intending numerous ptivatizJnon project meet mics and taking the Initiative to making themselves knuwtedguble about the subject. Iht Iasi AwoiJ wasewate fa dna a expected to Lou $6 6 million, with the village expected to realize significant benefits. The village is negatatsng a service CGnlracl with [toironmental arnorsoun city b County/petaMr less City's Officials Collect Garbage o[ curry public official favors fatrmmg our public smites to the private sector, but not every public official would go the lengths to provide a needed semce that the mayor and a city council member do in Payne pity, Georgia, either. , Twice each Week,`Mayor L.M. Dukes and Councilor C.A. Barbee collea their constituents' household garbage and haul it to the county dump. On other days, these two "throwback" public servants per. form other chores, including upkeep of the lawn and flowers at City Hall and the collection of aluminum cans to sell for cash for the city's trea. sury. To be sure, their work is not ex- tensive — Payne City has only 196 residents and is surrounded by the city of Macon and its population of I I5,000 — but the effort does reflect the pride that Dukes. Barbee and other community members have in their tiny metropolis of 70 acres. "We're a city within a coy," says Barbee. "We deal with the same things Macon deals with, just on a smaller bans." However, they have no aced for pnvatuatton. They would rather do the work themselves. C Elements Corporation, with construe. tion s.heJuled to begin nest spring The assistance Lau Aurora re.aved from rhe state was Informal in nature Other stares are taking a more org, hired approach to prnatira tun actrv. to For example, Florida and Can. nesticut hate e.nh contruleJ fur irate. wide %ludres to determine the feasibility of privatization In addition ns assess mg the pn%atszation potential, the multipurpose uudtes will identify pu- Irinul impeJ,ments to unplementation and revOmniend legislative and other solutions Thne studies will relieve to sal governments of the time consumng and so%fly burdens of determining if enabling legislation is nescssary anJ of edusaung %fare ulhuait about the cum sept State feambihty uudtes performed in Utah and New Jersey noted than ena. bung legislation would be required Both cares have sone passed prrvaum non Iepslatmn Slate asatatance can take other forms us ural. Fur e%ampit, a state could pre. pare model RFPs and service vontrous. whivh local communities could tailor to meet their own spev.dc needs Another role for state governments -Gold be to disseminate information to their var. taus departments, such as envoonmen- nal protection, economic development and other appropriate agencies. A federal role Privatization was initially developed as a result of federal actions. Cutbacks in federal grant funding for wastewater treatment facilities came at approxi- mately the Same time as changes to the tax law, which made private tmestment in environmental (aClhtin amactete. Since that time, other federal actions have focused attention on the privassza- hon concept. The President's Private Sector Sur. vey, commonly known as "The Grace Commission." suggests that proatiza tion be pursued in efforts to reduce lo. cal dependence on federal dollars. The Environmental Protection Agency, re- alizing that the grant money available for wastewater treatment construction is insufficient to meet existing needs, is supporrng p-atuation as a means of alleviating the snuanon. Initially brought about by tax re. form, the fate of privatization is once again in the hands of the federal go%. ernment. Some concern is being ex. pressed that the administration's tax re- form measures would curtail the bene- fits of privatization. The tax reform measures would, in fact, eliminate the investment tax credit and lengthen the period of depreeia. tion. However, the plan would also lower the corporate tax rate. which would increase the value of the eco. nomic benefits of ownership to qualify. ing tax -paying groups Lower corporate tax rates would serve to partially offset the negative impact of the potential «- dustion in tax benefits. Another aspect of the proposed re. form would result in the lou of tat -ex- empt financing I'his change would im. pact the economics of privatization ,il. hifivanlly, and extensive lobbying el - tons are underway to assure that tax. exempt Imanang will continue to be available for enuronmcnml and other mfta%irutmre lacilmes The f uiure of privatization is -!car. due lir several key issues likeh to play a role in the Inial outcome Kim an in meow and immediate need for enteron mental facilities to this country, at a time when the federal goseramenr has made it clear that the responsibility for meeting this need will fall principally on the khuuldrn of &tate and Ilial govern. mann, the need for Imanung alterna• Uvea is apparent And from the number of vommumties that have already vho. ten privatization, that alternative is likely w be retained v. Saeafra Afal uvsr Mfhtil u • mangfr w"A Afraur Young d Company a ,Vrw York Cur 619 Consider Legal Assts Of Privalaaattion Project s one of the most long-term pub- lic/private relationships, the pri- vatization of a community's wastewater treatment system can raise a number of serious legal considerations. "Each privatization agreement is unique, based on state and local laws, prevailing economic conditions, and the particular needs of the municipal and private partners," says James Dobbs, attorney for Metcalf & Eddy, Inc., which is proceeding with privatization projects with the communities of Au- burn, Alabama; Baltimore, Maryland; and Snyderville, Utah. Dobbs, who has conducted presentations before the American Bar Association on the legal issues confronting privatization of en. vironmental facilities. adds, "There are several legal issues that must be consid- ered by every municipality seeking to develop a privatization project." According to Dobbs, those legal con. siderations fall into two categories. f Aqua -Dozer Your Solution To Shallow Water Vegetation And Dredging Problems By Barbara Quinn "First. the municipality needs to deter- mine what legal constraints exist to en- ter into a privatization agreement. Sec- ond, the municipality has to mase sure that it addresses the short-term and long-term financial issues." Perhaps the place to start is the issue of legislative authority. Who is the pub. lic participant, and what are the legal constraints on that partner': According to the information in two books addressing privatization — The Privatization Book, by Harvey Gold- man and Sandra Mokuvos of Arthur Young & Company; and Clean Water Finance 1983, edited by Larry Silver• man and published by the American Clean Water Association — identifying potential constraints is critical. Generally, state and local laws dictate that municipal procurement of waste• water facilities be accomplished through competitive bidding. In the case of pri- vatization, however, the competitive Various attachments provide versatility to produce the following uses: • Aquatic Vegetation Control '' ` �' • Floating Debris Recovery //9■ • Shallow Water Dredging MUD CAT. • PUSher Tug r..rair CAR w.w7& • Work Platform rAWtlQu, tr.tsW. r11r. ■.6wqu1. A11.1 I■L1.1.11 16:131 3111,113) • Fire Octal 1100■IN 311.17 tacu0n cos 1612100 rat 21dr n mu bidding requirement may inflict more problems than it solves. "Privmization is a different transac. tion from most municipal procure- ment," says Dobbs. "It does not lend itself to competitive bidding, primarily because a successful transaction will de- pend on many factors beyond price." These factors focus on the long-term nature of privatization and the multiple responsibilities undertaken by the pri- vate partner. Issues of design compe- tence must be balanced by the long-term ability to operate the facility. Similarly, the issue of long-range operation must be balanced against the financial stabil- ity of the private partner. Factors to be considered include: *What is the reliability and reputa- tion of the private firm? Can the pri. vate company get the whole job done — financing, design, construction, opera- tion and maintenance? •Does the private partner have a this publication is available in microform IW _ 1 o _ Please send mo additional Information. University Microfilms International 300 North Zoab Road 18 Bedford Row Dept. P.R. Dept. P.R. Ann Afbor.MI4B100 London,WC1R4EJ U.S.A. England Name Institution Street City State Zip Cltcle No. 33 On Reeder Savin Cad se AmOeleon CItY • CotrMtr/October 108 -� history of long-term relationships with clients? How can the public partner ex. pect to be treated throughout the rela• tionship! *Does the public partner feel confi- dent in the private partner's ablhty to operate the facility for 20 years or 25 years• consistently meeting all require. ments. both legal and otherwise? *Does the private partner have the financial stability and credibility to in. still confidence from the financial com- munity? "One of the most important things for municipal officials to understand Is that there are three partners In a peva. tizauon agreement," says Dobbs. "There Is the munlclpA.ty, then the private firm, and then thefnancing en. tities. Each party has specific con, stramts and concerns, and it is tm por. tam to understand them." Andrew Stevenson of the Water Pol. Tutton Control Federation (WPCF) agrees: "A successful privatization transaction must accommodate the con• terns not only of the municipally and the private company, but also of the It. nancial participants." 20 -year consideration Since privatization is a financial al• ternative to the traditional format of pubhe financing of wastewater treat. mint facilities, the hnanoal eonsidera. :,on, are extensive. reacting far beyond the Immediate design of the facility to Incarpo ate projected needs and changes throughout the 20-yas life. span of the relationship. The tax benelus available to the pre vatizer are un—puted, however. ar cording to Stnensun of the WPCF, "We're envouragmg mualcipahties to Imaugate Pnvaurau.sn arrangeme nn That incorporate a pnrto motive on the pan of the P-Aluer, particularly over the longterm operations responslhlhry pa�,,II a an nsue of salety for the muns- ) to know that the pnvatsrrr stands to make money on the facility opera stun, regardless of how the tax laws of the nation night vhA. the Is 13ahe, an I , of ulety I,o the puvairzcr and the luunung Imntuuouv " Dohhv agrees "h n uuealtsuc tis ev• Ixvt anyone to prrlunn seao.n wnhuut .......ng an adequate murn. Fonio naldy, the tax slrtiJnre 980.6 pita.. companin Ins ulved in privatization IrAmaowna m realize much of their ra I urn through tax benelas, whish. In ,urn, removes muvh of the weight from munivlpal shoulders Hut mnslderar ism must he paid to the p—ibiny that tax laws would xhan{e -- and the mumvl• patty has to 1-1, for a prvale pa rtrrr with she talent and experrnce to fulfill its usntrated responsiblldu" m a man• net lMl is cosi elfouem over the Ion{ term." Beyond these Identified legal con. AInartecas Clly g ceuntyf0ofeear lege terns, other matters deserve considera- tion. For example, the risk allocation among the municipality and pnvatizer should be reviewed. No matter how such risks are defined — whither as um controllable forces, change In law or uninsurable risk — the question re. mains: Who bears the risk when some. thing happens to the project, which Is caused by neither the pnvatacr nor the municipality? Another consideration Is the option of the municipality to purchase the fa. cility at the end of the service agree. ment. Based on the Internal Revenue Code's requirement that the facility be Purchased at "fair market value," the issue of determining price must be ad. dressed. The involvement of the municipality in the development of the privatization project Is a entical point. "A privatization transaction must be a cooperative partnership. It Is Cooper. ation, not confrontation, that makes a privatization project work," says Dobbs. "An appreciation for the con. cerns and needs of each partner results in a successful transaction." Barbaro Qvrnn a an .Aer—co. City 6 Cuunly corrnpondenr based rn N—b—, Atoss. Enhance the beauty of your landsca e with the e lega nce of superbly crafted lighting posts by Spring City You —.1 he In gond c,'mpany w'I'.Pn 1.�hl the N'ay with Lir h.11lal, .I.,: JtxiIJIP hv`Jvv duty ('.:,r 7., no, -hen{ pdvs Indr•Fenj 0 ' fill'; i Phllede,phlJ Iia ram 1}• the I'1 .\t,.i.uy A. 0enly at tsry I'".m li.m..n ('insrmm and 6%1111Jm and Story Cl.ilrAe In Nlihans,Furq Innanle;uvt a Irwin the Ih, vusJndv tit Iia, Jtiuns where tte\e la {Cung path are prominent The Il{I.I\llut.rsivaslableare In cmdrty rnl mervury vapir metal Wide It high prrssure sodium kNntr nrl JII hu further mtimnsr u_at an,i Lierature that will Iduvtratr and dr-tibe why we are the lead mg manufacturer til ornamental lighting posts In the United Slates �.'LY =Silica Spring City ELECTRICAL MFG. CO. PO Drawer A. Spring City PA 19475 Phone 12151 9e{ 4000 circle No. 76 on Iludar fkondaa Gro a7 �3 'r lilt A-\Ira,nl. PNI\11111\- rnhrelhnrr ti.rrl.lr. Part In.tix tier F.0peel N.me Ills \.hurl xA V Irl .ria II N 9 u la J - herghl. 1.111101 helahr. Ie11 IuJ Ina Iumm.Irtl Inc Iunlm.Irrl .nJ to 17 .n012. oat dol lou Mxr. A•.rl.hl. A—l.ale .a with rwm ons . boll.ra Spring City ELECTRICAL MFG. CO. PO Drawer A. Spring City PA 19475 Phone 12151 9e{ 4000 circle No. 76 on Iludar fkondaa Gro a7 �3 MONTICELLO, MINNESOTA REQUEST FOR PROPOSALS TO PROVIDE CONTRACT SERVICES FOR WASTEWATER TREATMENT FACILITY I. INTRODUCTION: The City of Monticello, Minnesota, is requesting proposals from qualified management firms to provide contract services pertaining to the operation and maintenance of the City's Wastewater Treatment Plant. II. BACCGROU::D INFORMATION: The City presently operates a .91 MGD activated sludga/high rate trickling filter wastewater treatment plant which serves a population of 3,100 people, as well as one major industry. Design plans and specifications, operational data, budget records, and other pertinent data can be reviewed at the City of Monticello, Minnesota, City Hall, 250 East Broadway, Monticello, Minnesota 55362. A pre -proposal conference will be held on at the Monticello City Hall, at 2:00 p.m. for all prospective proposers. �- All prospective proposers will be required to conduct an on -sits tour of the facilities prior to their submittal so that they may familiarize themselves with the requirements for the operation of each facility. The on -este visit may be arranged by contacting Mr. John Simolo, Public Works Director, at (612) 295-2711. The term of the contract services shell be throe (3) years with an option for renewal at the and of the contract term. Contract services shall commonce thirty (30) days from the data of contract execution. III. SCHEDULE OF EVENTS: ITEM SCHEDULED COMPLETION DATE 1. Submittal of Proposola 2. Notification and Selection for Interview 3. Selection of Contractor G. Final Contract Negotiations 5. Contract Executed 6. Start of Contract Services IV. SCOPE OF SERVICES: The proposal shall be submitted in the form of a signed contract or agreement ready for immediate execution upon acceptance by the City. The contract or agreement shall dotail all costs including proposed operating budget, teras, and conditions with respect to but not limited to the following items: 1. Provide operation and maintenance activities as required to operate the treatment plant, as well as to comply with all legal and=ogulatory requirements. 2. Contract services shall include but not be limited to the provision of all wages, benefits, salaries, power, chemicals, fuel, other utilities and consumables, materials, and supplies. 3. Provision of sufficient number of qualif icd personnel including management, technical and administrative personnel who meet required Minnesota certification to operate and maintain the troatmont plant in an acceptable manner. 6. Provislon of administrative and analytical services in connection with the City's quality control program. 5. Provision of a computerized preventative maintonaneo program including inventory of spare parts. Program must include documentation of corrective maintenance readily available. Historical data is essential. All computer software and hardware existing, acquired, or developed during the term of the contract shall be conaidered the property of the City. 6. Provision of a process control system which furnishes complota and accurate records. System should be capable of readily providing historical data and trends. All computer software and hardware acquired or developed during the term of tho contract shall be considered the property of the City. 7. Provision of all routine and normal maintenance and repair of plant equipment, vehicles, buildings, and grounds. 6. Provision of guarantee that all WWTP porsonnal are offered amploymont by the ouccoaaful contractor at baso compansacion aqual to or groator than that amount paid to amployoo by City and fringe banofit package equal in aggregate coot to the fringe benefits afforded to the employee by the City. Provision for a 6 -month probation period for employee performance evaluation. 9. Provision of laboratory tooting and reporting necessary for sludge program, process control, and compliance with permit roquiromanto. Provialon for industrial Minnesota monitoring and tooting as required by City Ordinane o and/or rogulatory agency. 10. Provide services roquirad for preparation, maintenance, and submiosion of all required monitoring and operating forma. 11. Provide a written guarantee of effluent quality. 12. Provide detailed phasing and contract proposal to reflect those services to be provided by any and all subcontractors. 13. Provision of coordination through any future construction. 14. Provision for ongoing training programs both classroom and hands-on for all personnel. 15. Provision of liability protection to the City for damages caused by the negligence of the contractor. This shall include failures due to improper or poor maintenance. 16. Preparation of a detailed lino item budget (sample attached), monthly expenditure reports and provision for the City to conduct independent audits of the contractor's plant records. 17. Provision to establish with the City cost accounting and inventory control procedures. 18. Provision to establish and mariago an emergency roaponso pian which interfaces with the City's plan. 19. Provision to acquire mutual aid agreements with other departments in the City. 20. Provision to develop a sludge management program, including land use and record keeping system. 21. Provision for monthly invoicing for contract payment. The contract shall be for a period of throe years and subject to change only duo to changes in the scope of services or changes in diesel fuel, natural gas, or electricity costs. A change of 20% or more in average annual loading to the wastewater Treatment Plant shall constitute a change in scope of service. Increases in labor costa may be requested if aligned with increases for City non-salary increases. 22. Provision for full-time safety programs. 23. Provision for enforcing existing equipment warranties and guarantees and maintain all warranties on now equipment purchased after the effective data of agreement. 24. Provision of clause giving City the first right to hire any and all employees in the avant of termination or expiration of the agreement with a 120 day advance notice guarantee by the Contractor to allow the City to mobilize its staff or acture another contractor. 25. Provision of liability for payment of fines and/or civil penalties levied against the City by a regulatory agency. 26. Provision of a $10,000,000 product liability insurance policy holding the City of Monticello harmless from suits arising out of product llabili ty causes. 27. Provision of a guarantee to indemnify and hold the City of Monticall o and its officers, agents, and employees harmless from any loss or liability for damage or claims for personal injury including death, as wall as for claims for property damage which may arise from operations covered under this project. The liability insursnce shall be in an amount not less than One Million Dollars combined single limits for persunal and/or property damage. 28. Provision which establishes purchasiny guidelines for low and high-priced capital expenditures including equipment repair or replacement. A standard requisition form from the Contractor to the City for a purchase order to various suppliers may be initiated by the Contractor when capital expenditures exceed the agreed-upon limit. In all cases, the City shall be notified of capital expenditures. It is the City's desire to hold the Contractor responsible for all capital expenditure items and individual repairs up to and including $2,000 per unit. 29. Provision of evidence of the Contractors financial capability to undertake this project as well as its personal resource inventory. The Contractor shall furnish to the selection committee a current audited financial statement as to the Contractor's present financial status. 30. Provision of a statement which delineates the fact that this agreement is for professional personnel services and that all capital equipment as wall as all operating supplies and materials including computer software either existing or acquired during the term of the contract aro and shall remain the property of the City. 31. The contract shall include, but not be limited to, the provision of comprehensive general liability insurance, automobile liability insurance, fire, and extended coverage insurance, and workers, compensation insurance naming the City of Monticello. Mtnnaaota, and its employees and agents as additional insured. 32. Provision of a termination clause allowing either party termination rights upon one hundred and twenty (120) days written notice to the other party. V. HOURS OF OPERATIOV: The treatment plant must be manned on a minimum 0 -hour day, 7 -day par weak basis with a schedule of on-call personnel 24 hours par day. Staffing levels must be sufficient to moot safety raquiremento and all regulatory agency requirements at all times. -4- G VI. EQUIPMENT: All permanent equipment and spare parts which are to be provided by the City shall remain in the ownership of the City. All such equipment presently assigned to the facility will be provided for the Contractor's use restricted for the plant operation only. The contractor shall provide and maintain all general utility vehicles required to operate and maintain the various facilities. VII. SELECTION/NEGOTIATION: As net forth herein, the detailed proposals require submittal of a signed contract or agreement ready for immediate execution. Additionally, as may be necessary to meet the needs of the City of Monticello, contract proposals are subject to negotiation. All proposals submitted on time will be reviewed and selected firms interviewed by the selection committee and possibly by the City Council. Selection will be based upon, but not limited to, the following considerations and the use of a weighted evaluation form: 1. Training capability related to operation and maintenance procedures in water treatment facilities. 2. Financial stability and corporate commitment to the business including years of experience in the water treatment field. �- 3. Proven technical and management backup expertise as demonstrated by an organization chart and personal resumes. 4. Knowledge of the treatment plant and associated operation and maintenance requirements. 5. A list of references identifying customers with your firm for which you currently provide operation and maintenance services. G. A list of references identifying all clients for whom services were provided for facilities utilizing comparable treatment processes. ADDITIONAL SHORT LIST INFORMATION (2 FINALISTS ONLY): 1. Detailed annual operation and maintenance budget. 2. Refined organizational chart for contract operations staff, as well as staff scheduling chart. 3. List of all proposed sub -contractors and related duties. 4. Proposed operation and maintenance record aystam. 5. Provide a written narrative describing how the contractor will fulfill his duties and rosponeibilitias as listed in the following 1 subsection. 0/3 6. Formulate a system of checks and balances wherein the City and the contractor can be reasonably assured fair and just compensation for money and services rendered. 7. Prepare transition schedule and procedure tentatively scheduling , as target date for beginning services. The selection committee will narrow the selected firms to one or two finalists and then will make recommendations to the City Council on or about , as a result of the interviews and dotailed proposals. The final contracts will hopefully be awarded by depending upon fine- negotiations. Contractor Selection Based upon an evaluation of the proposals received and an oral interview, it is the City's intent to select one contractor for a negotiated contract. Selection Criteria Selection and ranking of the potential contractors shall be in accordance with the following criteria: 1. A minimum of five (5) years experience in full contract operation and main tam nco with a record of successful performance. 2. Demonstrated expertise in contract operating facilities similar to the City's treatment plant. 1 3. The financial stability and corporate commitment to the buainosEl. 4. Willingness and ability to post a performance bond for the full contract amount. 5. A list o t references including names and telephone numbers of responsible parties and a description of the services provided. 6. Ability and willingness to comply with the provisions described under the Scope of Services above. All the proposals should include sufficient information to evaluate the firm based upon the above criteria as wall as any additional information which would aasiat the City in making its selection. VIII. INSPECTION DIP FACILITIES AND DATA PROVISION: Each firm shall be allowed to inspect the treatment facilities, sludge disposal sites, and pertinent document data and operation records as may be avail able by contacting Mr. John Simola, Public Works Director. Data and doearmanta available for inspection and/or reproduction ineludo, but are not 110itad to. the following: -6- 0 J 1. Equipment, tools, parts, and supplies on hand. 2. Monthly reporting forms. 3. NPDES operating permit. 4. Plant plans and specifications. 5. Budget information. 6. Current staffing and job descriptions. 7. Employee compensation/benefits plans. IX. SUBMITTAL OF DETAILED PROPOSALS: Five (5) copies of the detailed proposal must be received at the Monticello City Hall, 250 East Broadway, Monticello, Minnesota, 55362 by on , in order to be considered. Clearly mark the outside of the envelope 111985 Contract Services, Monticello wastewater Facility." NOTE: This is a request for a proposal, not a bid. The City reserves the right to reject all proposals, negotiate individually with one or more firms, and select the firm on the basis of all factors, not just price. X. SELECTION COMMITTEE: The final selection process shall consist of reviewing the written proposals and interviewing selected firms by the selection committee consisting of: 1. 2. 3. 4. 5. XI. INQUIRIES. Questions or clarifications of this request for proposal should be directed in writing to: Thomas A. Eidam City Administrator Monticello City Hall 250 East Broadway Monticello, MN 55362 (612) 295-2711 -7- 0/13 Council Agenda - 3/24/86 14. Consideration of a Request by Fullerton Lumber to Reduce Retainage on Fire Hall Congtruction. (G.A.) A. REFERENCE AND BACKGROUND: The sole purpose of this agenda item is to got Council approval or denial to draw down below the minimum 5% retainage on Fullerton Lumber Company's general contract bid. The 58 retainage amount would be approximately $28,300.00, of which they would like a draw down to a dollar amount for all exterior work under their contract and remaining inside work and back -ordered items. Under the terms of the contract, the contractor will not receive any draw down on the 5% retainago until eve zything is completed and accepted by the City of Monticello. However, the City can consent to allow a draw down below the 58 total retainage to an amount of not less than 15 times the valued dollar amount attributed to the value of the uncompleted work. The general contractor, Fullerton Lumber Company, has not submitted in its entirety the punch list items with the written documo ntation to follow up each item not completed or back ordered. Without this in hand at the writing of this agenda supplement, it will not be included wit:i this supplement. We will, however, have the information submitted to you in its entire form without a recommendation from the Fire Hall Building Committoo, as we will not have mot prior to the Monday night Council mooting. B. ALTERNATIVE ACTIONS: 1. Approve th o general contractor request to draw down below the minimum 58 rotainago amount. 2. Deny the general contractor request to draw down below the 5% rotainago amount. 3. Allow the gonoral contractor to draw down below the 5% rotainago amount in an amount not loan than 11j times the total amount of uncomplotod work and back-ordorod item work, subject to majority approval of the Fire Hall Building Committee. C. STAFF RECOMMENDATION: City staff rec ommondo approval of a draw down below the 5% rotainago in an amount not loan than 14 times the total amount of uncomploted work and back-ordored item work. Upon receipt of the complo tad punch list items and the paperwork assigned to tho back ardor Stoma, and also upon unanimous approval of the Firo Hall Building Commi tteo, we would rocomnand giving approval to the Piro Hall Building Committoo to allow a chock to be ioauod to the general contractor in an amount drawn down to loan than the 5% ratainago amount. 7. nurrdnTINC DATA: Nona availablo at this time. -17- Council Agenda - 3/24/86 15. Consideration of Preparing an Amendment to the City Zoning Ordinance to Allow Auto Body Shops as a Conditional Use Within a S-3 (Highway Commercial) Zone. (T.E. ) A. REFERENCE AND BACKGROUND: A short time ago, Mr. Rick Longley approached Gary Anderson to secure a conditional use permit for an auto body shop to be situated on a lot near the Glass Hut. Gary checked with me, and I informed him that an auto body chop is not allowed in a B-3 Zone. The recent Zoning Ordinance amendment eliminated those kinds of auto services which are defined so major auto. Major auto repair is now confined to industrial areas. Gary informed Mr. Longley that in order to allow DeBoer-a Auto Body to move up to that arca, the City would either have to amend the zoning map creating an industrial zone along Highway 25, or amend the zoning text making auto body allowable as a conditional use within a B-3 Zone. Mr. Longley indicated that he would like to have the zoning amendment and the conditional use heard at the same time. I contend that if we aro to amend the text to allow auto body in a B-3, then the conditional use cannot accurately be reviewed until the amendment is fully adopted and published and the terms and conditions of any such permit are clearly stated in the ordinance. I provided Gary with a tentative calendar for accomplishing the zoning amendment and then followed by conditional use application. Mr. Longley apparently felt that the time span required to accomplish this process was unreasonable and spoke with Mayor Grimsmo. Tho Mayor contacted Gary Anderson on Wednesday, March 19, and instructed him to have a consideration of a zoning amendment placed upon the Council agenda for Monday night. If the Council believes that it is bonoficial to have auto body allowed in 8-3, then the Council should direct staff to prepare a proposed amendment for Planning Commiooion consideration at their next regular coating. Only after boing directed by the Council, will we prepare an aeondmant for a citizen request to be considered at soma future matting. The rationale behind that is that if the City staff prepared an amendment for ovary proposal that came in, without previous indication from the Council, we could be preparing all aorta of amendments that aro mot with unfavorably by the Planning Commission and Council. Consequently, when a private party is requesting an amendment to the ordinance, we fool that we, need to have, the City Council generate the action by saying that they are in favor of ouch an amendment, and than directing staff to prepare it in detail. When the Zoning Ordinance was rovioad and amended, major auto repair was eliminated from the 8-3 Zona based on the general appearance of major auto facilities, not only body chop*. Major auto repair is more of a machine chop light industry oporation and is incompatible with highway commercial retail service and sales. Major auto repair in ofton attended by outdoor storage of damaged vehicles which aro retained for stock and inventory purpose*. Along a major highway entry into tho community, it was also contended that heavy screening and fencing was not particularly appealing. -is- Council Agenda - 3/24/86 B. ALTERNATIVE ACTIONS: 1. Make a determination that major auto repair is an acceptable conditional use in a E3-3 zone and order staff to prepare a proposed amendment for Planning Commission hearing and consideration for their April meeting. 2. Find that major auto repair is incompatible with B-3 Zoning and discontinue the matter at this point. C. STAFF RECOWENDATION: Staff has no recommendation on this particular item. D. SUPPORTING DATA: None. -19- GENERAL FUND -- MARCH - 1986 AMOUNT CHECK N0. Commissioner of Revenue - 1986 Assessor license fee 6.00 21998 Structural Fire Investigation - Sub. to magazine 4.00 21999 Wayne Ward - Survey property for interceptor sever system 225.00 22000 Moody's Investor's Service - Fee for G. 0. bonds 11000.00 22001 League of MN. Cities - Insurance premiums 52,472.00 22002 League of MN. Cities - Insurance premiums 8,276.00 22003 Jerry Wein - Travel expense for seminar - Fire Depc. 45.25 22004 Citizens State Bank of Big Lake - Inc. payment on Tax Inc. note 1,440.00 22005 Corrow Sanitation - Garbage contract 5,959.50 22006 Dept. of Natural Res. - Dept. Reg. fees 204.00 22007 Dept. of Natural Res. - Dept. Reg. fees 76.00 22008 Dept. of Natural Res. - Dept. Reg. fees 54.00 22009 U. S. Postmaster - Postage for machine 500.00 22010 State Capitol Credit Union - Payroll W/H 225.04 22011 Jerry Hermes - Janitorial services at library 206.25 22012 Dave Stromberg - Animal control contract 212.50 22013 ICMA Retirement Corp. - Employee's contribution - (reimb.) 74.67 22014 James Preusse - Cleaning city hall 337.50 22015 YMCA of Mpls. - Monthly contract payment 529.17 22016 Mrs. Beverly Johnson - Animal control expense 250.00 22017 Mr. Arve Grimsmo - Mayor salary 175.00 22018 Mr. Dan Blonigen - Council salary 125.00 22019 Mrs. Fran Fair - Council salary 125.00 22020 Mr. William Fair - Council salary 125.00 22021 Mr. Jack Maxwell - Council salary 125.00 22022 Monticello Auto Sales - Down paymt. on trailer - Fire Dept. 285.00 22023 Pod. Pollution Control Agency - Seminar reg. - Strands d Hoffmar. 100.00 22024 Wright County State Bank - FWT 2,666.00 22025 Commissioner of Revenue - SWT 2,572.00 22026 Public Emp. Ret. Div. - Ins. premium 18.00 22027 Dept.of Employee Relations - FICA W/H 3,020.80 22028 Public Empl. Retirement Assoc. - PERA W/H 1,600.63 22029 Dept. of Natural Resources - Water use permit fee 40.00 22030 Pat Buckendahl - Interceptor sewer casement payment 1,498.86 22031 Dept.of Natural Resources - Dept. Reg. fees 108.00 22032 Dept. of Natural Resources - Dept. Reg. fees 84.00 22033 Dept. of Natural Resources - Dept. Reg, fees 54.00 22034 Wright County Recorder - Fee for recording 8 easements - sever 80.00 22035 Northern States Power - Utilities 9,423.76 22036 Lucius Johnson - interceptor sever casement payment 6,258.00 22037 Bruce Gagnelfus - Earnest money - purchase of property for new water tower 100.00 22038 Center for Locnl Govt. Technology - Reg. fee - Stmola 125.00 22039 Smith, Pringle 6 Haves - Legal - Feb. 924.00 22040 Gould Bros. - Vehicle mtce. 30.53 22041 MN. Safety Council - Cold wencher guides - Mtce. Bldg. 26.55 22042 State Treasurer - Surplus Property Fund - Alternator 35.00 22043 Wilensky Truck 6 Equip. - Door latch assembly 35.00 22044 Wright County Auditor - Tax run books payment 208.88 22045 Wright County Auditor - Police contract payment 10,357.50 22046 Seitz Hardware - Misc. supplies 122.48 22047 Simnnann Lumber - Material - WWIP 17.18 7.7n48 Plymouth Industrial Supply - Ladders WWfP 6 St. Dept. 320.18 22049 Martie's Farm Service - Dog pound food 28.14 22050 Northern Hydraulics - 5 tarps - Fire Dept. 45.00 22051 National Bushing - Supplies for all depts. 185.37 22052 GENERAL FUND AMOUNT CHECK NO. Archie Theisen - Mailbox repair 14.89 22053 Liberty Systems - Lamp for projector 33.25 22054 Jerry's Auto Salvage - Radio and antenna - St. Dept. 60.00 22055 Bowman Barnes Dist. - Supplies for WWTP - Mtce. Bldg. 205.82 22056 Maus Tire Service - Tires 6 repair 456.16 22057 Glass Hut - Supplies 42.22 22058 Marco Business Products - Office supplies 13.50 22059 Hydrocex - l case aerosol - WWTP 72.24 22060 Harry's Auto Supply- All depts. supplies 204.73 22061 Flicker's T. V. - 3 racks - Water dept. 6.00 22062 Hoglund Bus - Repairs 118.13 22063 Central McGowan - Cyl. rental 15.95 22064 American National Bank 6 Trust - 1960 G. 0. Imp. Bonds 2,737.50 22065 Big Lake Machine - Piece of steel 15.50 22066 Kiplinger Washington Editors - Sub. 48.00 72067 Safety Kleen Corp. - Mtce. bldg. equipment maintenance 36.00 22068 Coast to Coast - Supplies 109.31 22069 J. M. Oil -Gas for St. Dept. 1,591.96 22070 Ruff Auto Parts - Hub caps 20.00 22071 Humane Society of Wright County - Animal control contract 59.00 22072 Union Oil Co. - Gas - Walt's van 67.81 22073 Local 049 - Union dues 126.00 22074 National Life Ins. - Ins. premium - Tom Eidem 100.00 22075 Ted Farnam - Reimb. for travel to seminar - Forest Lake 81.25 22076 Gladys McCormick - Mailbox repair 11.92 22077 Maus Foods - Supplies for all Depts. 160.29 22078 Miller Davis - Receipt books 200.00 22079 Monticello Office Products - Calculator - 149.95 6 Misc. 316.24 22080 Monticello Printing - Budget covers 45.65 22081 Monticello Times - Zoning map - 403.77 6 mise. proceedings 1,025.96 22082 Al Nelson - Sub. 13.72 22083 Orkin Exterminating - Pest control contract - WWTP 106.00 22084 Water Engineering 6 Management - Sub. 42.50 22085 Sc. Cloud Appraisal - Lucius Johnson property appraisal 150.00 22086 Water Products Co. - Meter yoke 13.12 22087 Campbell Abstract - Information for sewer easements 30.00 22088 Tom Eidem - Car allowance for March 300.00 22089 Dave Stromberg - Animal control contract 212.50 22090 Jerry Hermes - Janitorial at library 206.25 22091 State Capitol Credit Union - Payroll W/H 225.04 22092 North Central Public Service - Utilities 4,752.00 22093 Olson 6 Sons Electric - Repairs at WU7P 930.81 22094 Banker's Life Ins. - Group ins. 3,630.70 22095 Gruys. Johnson - Computer service for January 290.00 22096 Monticello Agency - Treasurer bond for Tom Eldem 50.00 22097 Davis Electronic - Pager repairs - Fire Dept. 184.80 22098 Senior Citizens Center - 1985 info. Center salary reimb. 415.80 22099 Dept. of Natural Res. - Dep. Reg, fees 51.00 22100 Dept. of Natural Res. - Dep. ReV. fees 30.00 22101 Wright County State Bank - F4T 2,621.00 22102 Dept. of Emp. Relations - FICA W/H 3,015.22 22103 LMC Housing - Ruutn depunlL rut Leuguu Cunl. - Rick 6 Tum 112.00 22104 Public F.mp. Retire. Assoc. - PERA W/H 1,597.45 22105 Monticello Fire Dept. - Salaries - Feb. 350.00 22106 State Treasurer - Fee for amendment to permit for wells 30.00 22107 Fullerton Lumbar - Fire Hall const. payment 12,000.00 22108 GENERAL FUND AMOUNT CHECK NO. Sentry Systems - Telephone lease charge for Fire 6 Water Dept. 144.00 22109 Maus Tire Service - Tires 229.52 22110 Hydrotex, Inc. - Shipping charges for case of aerosol 5.50 22111 McCarthy Well Co. - Service call to pumps 185.00 22112 Bridgewater Telephone - Telephone 993.90 22113 Audio Communications - Radios 6 repairs - Civil Defense 1,747.67 22114 De Boer Auto Body - Repair van for Water Dept. 194.75 22115 Monticello Times - Renewal for Times 28.00 22116 L 6 S Tool - Mtce. of pumps at WWTP 310.00 22117 Feed Rite Controls - Potable sample 10.00 22118 Tierney Brothers - Kroy machine disk rack 44.46 22119 Ranger Products - Supplies for WWTP 108.87 22120 Fischer Scientific - WWTP supplies 56.74 22121 Olive Koropchak - Reimb. for expenses - travel 6 food 24.10 22122 Dist. 0142 Comm. Schools - Work Study program salaries - 20Z 90.00 22123 Midway Ind. Supply Co. - Ball valves for paint stripper 110.73 22124 AT 6 T Inf. - Fire phone charges 3.96 22125 Northern States Power - Electricty for Christmas lights 125.87 22126 John Simola - Air fare to Las Vegas - Conference 178.00 22127 Anoka County Social Services - Payroll ded. 88.00 22128 Rochester - AVTI - Saminar reg. for 5 firemen 150.00 22129 The Plumbery - New Fire Hall 1 16.98 22130 Tom Eidem - Misc. expenses 7.60 22131 Commissioner of Transportation - St. lighting repair 124.35 22132 Mobil Oil Corp. - Gas - Fire 6 Water Depts. 106.80 22133 Gary Anderson - Misc. expense 50.78 22134 Rick Wolfsteller - Misc. travel expense 47.00 22135 OSM - Eng. fees 3,373.24 22136 Dahlgren, Shardlow, etc. - Feb. planning expense 3,699.62 22137 Wayne's Red Owl - Dog pound supplies 22.68 22138 Foster Franzen Agency - 83 Chev. truck 23.00 22139 Payroll for February 29.247.19 TOTAL DISBURSEMENTS FOR MARCH - GENERAL $194,055.24 LIQUOR FUND „Ij LIQUOR DISBURSEMENTS FOR MARCH - 1986 AMOUNT CFR'CH L NO. St. Cloud Refrigeration - Repair motor and fan on cooler 146.30 12265 Century Laboratories -Cleaning supplies _ 73.14 12266 Commissioner of Revenue - Sales tax for January 5,034.35 12267 State Capitol Credit Union - Payroll withholdings 170.00 12268 Ed Phillips 6 Sons - Liquor 4,043.59 12269 Twin City Wine - Liquor 935.08 12270 Eagle Dist. Co. - Liquor 2,944.83 12271 Eagle Wine Co. - Wine purchase 619.69 12272 Twin City Wine - Liquor 1,363.66 12273 Wright County State Bank - FWT 241.00 12274 Cocmalssloner of Revenue - SWT 174.0 12275 Dept. of Employee Relations - FICA W/H 233.22 12276 MN. Public Employees Retirement Assoc. - PERA W/H 134.56 12277 National Child Safety Council - Safety program donation 62.00 12278 Johnson Bros. Liquor - Liquor 378.02 12279 Twin City Wine - Liquor 3,311.11 12280 Northern States Power - Utilities 528.77 12281 Old Dutch Fonda - Misc. mdae. 93.58 12282 Day Dist. - Beer purchase 601.20 12283 Bridgewater Telephone - Telephone expense 66.42 12284 Dahlheimer Dist. Co. - Beer purchase 12.637.96 12285 Ben Franklin Store - Store expense 1.96 12286 Coast to Coast - Supplies 98.33 12287 Yonak Sanitation - Garbage service 91.50 12288 Cloudy Town Distributing - Misc. mdse. 52.50 12289 Service Sales Corporation - Store supplies - labels 7.63 12290 Stromquist Dist. - Misc. mdse. 21.00 12291 Viking Coca Cola - Misc. mdse. 497.74 12292 Bernick's Pepsi Cola - Mist. aides. 320.10 12293 Seven Up Bottling - Misc. mdse. 164.75 12294 Monticello Printing - Business cards for J. Hartman 29.40 12295 Dick Beverage Co. - Beer 2.070.15 12296 Grossloin Beverage - Beer 10,589.76 12297 Thorpe Dist. Co. - Beer 3.383.00 12298 Jude Candy 4 Tobacco - Misc. mdse. 425.59 12299 Leifert Trucking - Freight 356.76 12300 Banker's Life Ins. - Group ins. 264.87 12301 Gruys. Johnson b Assoc. - Computer fees for Jan. 110.00 12302 State Capitol Credit Union - Payroll withholdings 170.00 12303 North Central Public Service - Utilities 426.55 12304 Wright County State Bank - FWf 228.00 12305 Dept. of Employee Relations - FICA W/H 242.44 12306 Public Employees Retirement Assoc. - PF.RA W/H 139.86 12307 Intornal Revenue Service - Liquor floor tax - 10/1/85 652.00 12308 Eagle Dist. Co. - Liquor 2,811.54 12309 Twin City Wine - Liquor 437.51 12310 Griggs, Cooper - Liquor 1,237.36 12311 Ed Phillips 6 Sona - Liquor 2,738.01 12312 Commissioner of Revenue - Sales tax - February 4,582.51 12313 Close Hut - Repair door 524.00 12314 Twin City Wino - Liquor 614,79 12315 Payroll for February 2,959.45 TOTAL DISBURSEMENTS - MARCH $70,041.54