City Council Agenda Packet 02-28-2000
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SPEAKER SIGN-IN SHEET
Monticello City Council Meeting
Meeting Date: February 28. 2000
Please provide your name, address, and the number of the agenda Item you wish to discuss with
the City Council. Thank you.
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-PEAKER.WK4: 08/26/96
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AGENDA
REGlJLAR MEETING - MONTICELLO CITY COUNCIL
Monday, February 28, 2000 - 7 p.m.
Mayor: Roger Belsaas
Council Members: Clint Herbst, Brian Stumpf, Roger Carlson, Bruce Thielen
1. Call to order.
2. Approve minutes of regular council meeting of February 14,2000.
3. Consideration of adding items to the agenda.
~.' P1-l~i>1v Iv ~ Ctw.l<\- ;th.e.. i--t54e.f i )~, ~ SUbe.v I \1;1-& ,s-J 'I Co~~ ,c r-,l.- .
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4. Citizens comments/petitions, requests, and complaints.
5. Consent agenda.
A.
Consideration of waiving statutory liahility limits for City insurance renewals.
B. Consideration to review and accept EDA year end financial statement, activity
report and 2000 proposed budget.
C. Consideration of approving modification to DMRF Guidelines.
D. Consideration of approving joint resolution supporting annexation of Rolling
Woods property.
E. Consideration of approving plans and specifications for ballfield lighting and
authorizing advertisement for bids.
6. Consideration of items removed from the consent agenda for discussion.
7. Puhlic Hearing - Chelsea Road West from Sandberg Road to 90th and consideration
of ordering improvement and authorizing preparation of plans and specifications.
8.
Discussion on Council meeting attendance.
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Agenda
City Council
Page Two
9. Approve payment of bills for January.
10. Adjourn
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MINUTES
REGIJLAR MEETING - MONTICELLO CITY COUNCIL
Monday, February 14,2000 - 7 p.m.
Members Present:
Roger Belsaas, Roger Carlson, Clint Herbst, and Bruce Thielen.
Members Absent:
Brian Stumpf
Mayor Belsaas called the meeting to order at 7 p.m. and declared a quorum present.
2A. Approval of minutes of Januarv 24. 2000 special council meeting.
CLINT HERBST MOVED TO APPROVE THE MINUTES OF THE JANUARY 24,2000
SPECIAL MEETING. ROGER CARLSON SECONDED THE MOTION. MOTION
CARRIED UNANIMOUSL Y.
2B.
Approval of minutes of Januarv 24. 2000 reeular council meeting.
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CLINT HERBST MOVED TO APPROVE THE MINUTES OF TIlE JANUARY 24, 2000
REGULAR MEETING WITH CORRECTIONS TO TYPOGRAPJ UCAL ERRORS. ROGER
CARLSON SECONDED TI-IE MOTION. MOTION CARRIED UNANIMOUSL Y.
2C.
Apnroval of minutes of Februarv 2. 2000 snecial council meeting.
Bruce Thielen stated that the question of how the interest cost of the current bond sale
compared to interest costs of last year was raised and he felt that should be included in the
minutes.
BRUCE THIELEN MOVED TO APPROVE THE AMENDED MINUTES OF THE
FEBRUARY 2, 2000 SPECIAL MEETING. ROGER CARLSON SECONDED THE
MOTION. MOTION CARRIED WITH CLINT HERBST ABSTAINING.
3. Consideration of addine items to the aeenda.
Clint Herbst asked that the barbed wire fencing be added as a discussion item. Bruce Thielen
requested that scheduling of a meeting date for the Personnel Committee be added to the
agenda.
4.
Citizen comments/petitions. request and complaints.
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None
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Council Meeting - 2/14/00
5.
Consent Agenda
A. Consideration of approving renewal of Men's Softball Association Beer License.
Recommendation: Grant the license renewal contingent upon submittal of insurance
and payment of license fees.
B. Consideration of final payment for Project No. 98-l0C Community Center Trunk
Sanitary Sewer Relocation and Appurtenant Work. Recommendation: Approve final
paymcnt to Barbarossa & Sons in the amount of$32,936.54.
C. Consideration of final payment for Project No. 97 -04C, Klein Farms 4th Addition.
Recommendation: Approve 1lnal payment for the Klein Farms 4th Addition to
Barbarossa & Sons in the amount of$100,709.77.
D. Consideration of ordinance amendmcnt allowing accessory storage buildings as a
conditional use in a mobile home park. Recommendation: Approvc the text
amcndmcnt based on a finding that storage buildings in mobile homc parks would help
to minimize unsightly outdoor storage of privately owned property. ORB AMB. NO. 342.
E.
Consideration of approving a conditional use permit allowing an accessory storage
building in a mobile home park. Recommendation: Approve the conditional use
permit based on a finding that the proposed building is consistent with the existing and
future land use of the area and contingent upon compliance with the surfacing and
screening recommendations in Exhibit Z in the Planning Commission agenda of
February 1, 2000.
F. Consideration of amending subdivision ordinance by accepting an accurately drawn site
plan with each simple subdivision application. Recommendation: Approve adoption
of the ordinance amendment accepting accurately drawn site plan information with
simple subdivision. ORB. AMD. NO. 343
G. Consideration of Change Order NO.2 to Project No. 99-0 I C Kjellberg West Sanitary
Sewer Extension. Recommendation: Approve Change Order No.2 in the amount of
$18,753.
H. Consideration of approving the date for annual Board of Review. Recommendation:
Approve setting Wednesday, May 10,2000 at 7 p.m. as the date t()r the 2000 Board of
Review.
I.
Consideration of adopting a joint resolution supporting annexation of the second half of
Phase I of the Groveland Subdivision and annexation of three adjoining parcels owned by
Stuart Hoglund. Recommendation: Move to adopt ajoint resolution supporting the
annexation of the second half of Phase I of the Groveland Subdivision along with
approximately 7 aeres of land own cd by Stuart Hoglund located west of the 0 & 0 Bus
Company. RES. NO. 200-9.
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Council Meeting - 2/14/00
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Consideration of minor modification of the wastewater treatment plant's NPDES
permit for wastewater discharge to the Mississippi River. Recommendation: Approve
the minor modification of the NPDES permit as requested by the Minnesota Pollution
Control Agency.
K. Consideration of adopting a resolution for decertification of City TIF District # 1-1.
Recommendation: Adopt a resolution approving the decertification ofTIF District
No. 1-1 of the City of Monticello. RES. NO. 2000-10.
L. Consideration of appointments to DA T. Recommendation: Approve appointment of
Gail Cole, Ron I Ioglund, Mike Cyr and Amanda Gaetz to DA T for a two year term
expiring January 2002.
M Consideration of renewal of contract with Carefree Lawn Service. Recommendation:
Approve authorization of a contract extension for a period of five years with Carefree
Lawn Service, Inc. based upon the rates in efTect for the last contract.
ROGER CARLSON MOVED TO APPROVE THE CONSENT AGENDA AS PRESENTED.
CLINT HERBST SECONDED THE MOTION. MOTION CARRIED UNANIMOlJSL Y.
6.
Consideration of items removed from the consent a!!enda for discussion.
None
7. Consideration of review of 31'<1 quarter and year end liouor store financial reoort.
Liquor Store Manager, Joe Hartman was present at the meeting to review with the Council
the financial report for the liquor store. Mr. Hartman indicated that the growth in sales has
continued into the new year. He also pointed out that there will need to be some expenditures for a
computer system upgrade for the liquor store.
BRUCE THIELEN MOVED TO ACCEPT THE THIRD QUARTER AND YEAR END
LIQUOR STORE FINANCIAL REPORT AND TO HAVE THE LIQUOR STORE MANAGER
WORK WITH CITY STAFF ON THE COMPUTER SYSTEM UPGRADE. ROGER CARLSON
SECONDED THE MOTION. MOTION CARRIED UNANIMOUSLY.
8.
Consideration of resolution receivin!! report and setting date for public hearinl,: for Chelsea
Road West (901h Street/Sandberl,: Road) Proiect 98-25C and Phase I of Groveland
Subdivision.
Bret Weiss, from WSB reviewed the feasibility report covering construction of Chelsea Road
West from 90th Street to Sandberg as well as streets and utilities for Phase I of the
Groveland residential development. He noted that the proposed project includes some utility trunk
improvements that will be needed as the area develops. Bret Weiss reviewed the storm sewer
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Council Meeting - 21l4/O0
construction, street and utility layout. The engineer has met with property owners in the area
regarding the proposed street improvement.
The engineer presented a preliminary assessment roll. The Groveland development will be
assessed 100% of the cost for their improvements less any oversizing costs. The storm sewer
will be assessed on an acreage basis against the developed properties. For those properties
draining to the Marvin Road pond, the cost would be $980/acre. The cost per acre for
properties generating runoff to the Chelsea Road pond would be $3000/acre.
Bret Weiss also explained the right-of-way concerns related to this project. He noted that the
existing right-of-way for 90th Street from Marvin Road to Chelsea Road West is proposed to be
turned back to the City by the County. The City would then turn a portion of the right-of-way
back to the property OWners. It is proposed to set the cost of the 90th Street right-of-way at
$.48/SF. At this time no agreement has been reached with the property owners regarding the
right-or-way issues.
It was noted that many of the property Owners affected by the proposed project had not petitioned
for the improvements to Chelsea Road. Since these property owners would be facing an
assessment for a project they had not requested, there was concern that how the City proceeded in
handling the right-of-way acquisition costs would be equitable for those property owners involved.
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Mayor Be/saas stated since the Council was just accepting the feasibility report, public comments
would not be considered at this time but there would be oppoliunity at the public hearing f()r input.
BRUCE TI HELEN MOVED TO ACCEPT THE FEASIBILITY STUDY FOR PROJECT NO.
98-25C, CHELSEA ROAD WEST (SANDBERG ROAD TO 90fl1 STREET) AND SET A
PUBLIC HEARING DATE FOR FEBRUAR Y 28,2000. CLINT HERBST SECONDED THE
MOTION. MOTION CARRIED UNANIMOUSL Y. RES. NO. 2000-11
9. Consideration of a reement with Sunn Fresh Foods for interim wastewater dischar e
permit increase.
Public Works Director, John Simola, provided the Council with the background for the proposed
wastewater permit increase. The growth of the Sunny Fresh Foods facility has changed their
needs Jar wastewater discharge as far as total suspended solids (TSS) and biological oxygen
dcmands(BOD). North American Wetland Engineering performed studies showing the impact of
the increased discharge on the City's wastewater system. The City is trying to balance the needs
of existing industries and yet allow for new residential and industrial growth. Sunny Fresh has set
a cap on how big they are building their plants. They are also making on site improvements that
would help control the amount of capacity they need. At this time Sunny Fresh's corporate office
has not responded to the proposed interim wastewater discharge permit increase.
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BRUCE THIELEN MOVED TO TABLE ACTION OF THE WASTEWATER DISCHARGE
PERMIT PENDING FURTHER REVIEW. CLINT HERBST SECONDED THE MOTION.
MaTrON CARRIED UNANIMOUSL Y.
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Council Meeting - 2/14/00
10.
Consideration of deleting Chane:e Order #11 and approval of supplemental ae:reement #1
and Chane:e Order #13 and #14 for Highwav 25 Proiect No. 96-04C.
Public Works Director, John Simola, reviewed what was covered under the change orders that
were being proposed and noted that these additional contract increases were MnDOT's costs on
the project. He expressed a concern that these change orders would use up most of the remaining
funds that MnDOT had released to the City and there may not be sufficient funds to complete
the project in the spring unless there is additional reimbursement by MnDOT. Typically MnDOT
would not provide additional reimbursement until after the project is completed. The City will
attempt to get the funds released by MnDOT prior to the completion of the project.
CLINT HERBST MOVED TO APPROVE THE DELETION OF CHANGE ORDER #1 AND
THE ADDITION OF SUPPLEMENTAL AGREEMENT #1 AND CHANGE ORDERS #13 AND
#14 AT AN ESTIMATED COST OF $370,027.47. BRUCE THIELEN SECONDED THE
MOTION. MOTION CARRIED UNANIMOUSL Y.
n.
Consideration of Capital Improvement Budget.
City Administrator, Rick Wolfsteller, presented a revised capital improvement budget. The
revised CIP was set up to be more realistic in scope with what the City Council would consider
reasonahle levy increases, approximately a 5% increase. It was noted that the revisions were
made by the City Administrator and had not yet been reviewed by other department heads.
Bruce Thielen asked that other cuts be considered and noted the following items: 1) West Bridge
Park Landscaping Structure; 2) MT Trackless Pathway machine; 3) County Road 18 Pedestrian
Bridge. The County Road 18 Bridge was discussed and Bret Weiss stated that at the present time
there is ahout $25,000 in costs already incurred under this project. It was questioned whether the
pedestrian bridge couldn't be considered when the Fallon A venue project was done. It was noted
that with the County Road 18 project the City would have approximately $260,000 in ISTEA
funds to dcJray project costs. If the pedestrian bridge was done as part of the Fallon A venue
Project the City would have to bear the entire cost. Bruce Thielen suggested meeting with the
school district to see if they would participate in the cost of the pedestrian hridge. City Engineer
Bret Weiss reminded that the Council that if there is not an approved plan hy October I, 2000
the City could lose the ISTEA funding however, the construction would not have to be done in
2000. He also noted that right-of-way costs were not included in the $760,000 project costs. Since
the project will not be assessed it is proposed that the balance of funds for this project would be
coming from reserve funds
Public Works Director, John Simola, expressed his concern about the cuts in the CIP affecting the
downtown street lighting, the rebuilding of Fallon A venue from Chelsea Road to the city limits,
and the 7th Street overlay. He cautioned about keeping the infrastructure the City currently has in
good shape.
Bruce Thielen also mentioned that the improvements for the library and liquor store should be
included. in the capital improvements program.
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Counci I Meeting - 2/14/00
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BRUCE THIELEN MOVED TO APPROVE THE REVISED CIP FOR 2000-2004 WITI-[ THE
COMMENTS AS DISCUSSED. CLINT HERBST SECONDED THE MOTION. MOTION
CARRIED UNANIMOUSLY.
12.
Consideration of authorizing staff to obtain appraisal for property located at 407 6th Street
West.
The Council was made aWare that this property has come on the market. It was suggested that
if there was any interest in acquiring the property an appraisal should be done.
BRUCE THIELEN MOVED TO AUTHORIZE THE CITY STAfF TO ORDER AN
APPRAISAL ON 407 6TH STREET AT AN ESTIMATED COST OF $300-$00. ROGER
CARLSON SECONDED THE MOTION. MOTION CARRlED UNANIMOUSLY.
At this time Mayor Belsaas announced that the City Council had met in closed session to discuss pending
litigation and the closed session is being continued until Thursday, February 17,2000 at 5 p.m.
The Council discussed setting up a meeting of the Personnel Committee which includes Roger Belsaas
and Bruce Thielen. A tentative meeting time of february 281h at 5 p.m. was set. There was a brief
discussion on staffing needs for the City.
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It was explained that it is a requirement of the National Guard that their equipment has to be contained in a
barbed wire enclosure. Clint Herbst felt if the barbed wire was a requirement, then perhaps the City
ordinance should be amended to reflect that but as the ordinance exists now, barbed wire is not allowed.
Roger Belsaas asked the Building Department to check on a property for possible blight violations. It was
indicated by Fred Patch, Building Official, that the property has been purchased and the residence will be
improved.
13. Consideration of payment of biIJs for February.
BRUCE THIELEN MOVED TO APPROVE PAYMENT OF THE BILLS FOR FEBRUARY.
ROGER CARLSON SECONDED THE MOTION. MOTION CARRIED UNANIMOUSL Y.
BRUCE THIELEN MOVED TO ADJOURN AT 8:45 P.M. CLINT HERBST SECONDED THE
MOnON. MOTION CARRIED UNANIMOUSL Y.
Recording Secretary
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Council Agenda - 2/28/00
SA.
limits for Cit insurance renewals. (R W)
A.
REFERENCE AND BACKGROUND:
We are currently in the process of renewing our annual liability insurance coverage that wi II
again provide for an additional $1,000,000 in excess liability Coverage OVer the required
$750,000 minimum, By state statute, the City is not liable for any tort liability claim in exccss
of $750,000 damages; however, because the City has purchased an excess liability coverage
policy in the past, the City has the option of waiving our rights under Statute 466, which would
allow someone to seck damages from the City in excess of the $750,000 limit up to the $] .75
million provided by our excess liability coverage.
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Although we have typically purchased the excess $1,000,000 coverage, we have done so
to ensure that in a major catastrophe where the City was liable, sufficient funds would be
available to pay any and all claims. Even though we arc not responsible fi)f any tort liability
claim of more than $750,000, the City Council has to Jormally decide whether or not we want
to waive our limits established by state statute. Since a formal Council action is necessary
before the application can be renewed, the Council should formally indicate that it does not
want to waive its monetary limits established by statute. This will allow us to retain Our rights
under the $750,000 limit, but we would always have excess liability coverage available if it was
eVer needed.
B.
AL TERNA TIVE ACTIONS:
1.
Council should fonnally indicate that the City of Monticello does not waive the monetary limits
on tort liability established by Minnesota Statute 466.04.
D.
SU]>I)ORTING DATA:
Copy of liability insurance application form.
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LMCIT LIABILITY COVERAGE - WAIVER FORM:
Cities obtaining liability coverage from the League of Minnesota Cities Insurance Trust must decide
whether or not to waive the statutory tort liability limits to the extent of the coverage purchased. The
decision to waive or not to waive the statutory limits has the following effects:
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If the city does not waive the statutory tort limits, an individual claimant would be able to recover no
more than $300,000 on any claim to which the statutory tort limits apply. The total which all claimants
would be able to recover for a single occurrence to which the statutory tort limits apply would be limited
to $750,000. These statutory tort limits would apply regardless of whether or not the city purchases the
optional excess liability coverage.
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If the city waives the statutory tort limits and does not purchase excess liability coverage, a single
claimant could potentially recover up to $750,000 on a single occurrence. The total which all claimants
would be able to recover for a single occurrence to which the statutory tort limits apply would also be
limited to $750,000, regardless of the number of claimants.
If the city waives the statutory tort limits and purchases excess liability coverage, a single claimant
could potentially recover an amount up to the limit of the coverage purchased. The total which all
claimants would be able to recover for a single occurrence to which the statutory tort limits apply would
also be limited to the amount of coverage purchased, regardless of the number of claimants.
. Claims to which the statutory municipal tort limits do not apply are not affected by this decision.
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This decision must be made by the city council. Cities purchasing coverage must complete and return
this form to LMCIT before the effective date of the coverage. For further information, contact LMCIT.
You may also wish to discuss these issues with your city attorney.
The City of Mont ice 110 accepts liability coverage limits of $ 750,000
Minnesota Cities Insurance Trust (LMCIT).
from the League of
Check one:
- The city DOES NOT WAIVE the monetary limits on municipal tort liability established
by Minnesota Statutes 466.04.
- The city WAIVES the monetary limits on tort liability established by Minnesota Statutes
466.04, to the extent of the limits of the liability coverage obtained from LMCIT.
Date of city council meeting
Signature
Position
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..". Return this completedfonn to LMCIT, 145 University Ave. W, St. Paul, MN. 55103-2044
Page 1 of 1
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City Council Agenda - 2/28/00
5B.
Consideration to review and acceDt the Year-End EDA Financial Statements.
Activitv Report. and 2000 ProDosed Budeet. (O.K.)
A. Reference and Backe:round:
This item is presented to comply with City Ordinance Amendment No. 172, Section 2-3-6
(A), "The Authority shall prepare an annual budget projecting anticipated expenses and
sources of revenue;" and (B), "The Authority shall prepare an annual report describing its
activities and providing an accurate statement of its financial condition. Said report shall
be submitted to the City Council by March 1 of each year."
The financial reports were prepared by Executive Director Koropchak. The Economic
Development Authority (EDA) accepted the year-end reports and budget at the annual
meeting held February 22,2000. All Greater Monticello Enterprise Fund (GMEF) loan
pay backs are current.
Therefore, the EDA now submits to the City Council a copy of the EDA-GMEF Balance
Sheet; Statement of Revenues, Expenditures, and Changes in Fund Balance for the Year;
Annual Activity Report; and 2000 Cash Flow Projections (Budget) for review.
You will note on the Balance Sheet, the EDA-GMEF cash balance as of December 31,
1999, is $635,221.20. As you recall, in 1997 the EDA appropriated $200,000 from the
GMEF for the Downtown Monticello Revitalization Fund (DMRF) for matching facade
improvement grants, loans, and fee reimbursements. In 1999, the EDA extended the
DMRF appropriation through December 31,2000. The DMRF cash balance as of
December 31, 1999, is $174,078.08.
In addition to the EDA Year-End Reports, enclosed is a copy of the UDAG and SCREG
Year-End Statement. The UDAG-FSI Fund cash balance as of December 31, 1999, is
$43,652.79. FSI prepaid the loan in October 1998; therefore, satisfying the terms and
conditions of the loan agreement. The SCREG-Aroplax Fund was closed-out with the
disbursement ofGMEF No. 015 to Mainline Distribution. The interest income-
investment of$9,741.95 for 1998 will be transferred into the GMEF account beginning
2000. The remaining pay back on the SCREG-Aroplax was satisfied in November 1999.
In summary, the EDA has a non-committed fund balance of$585,615.94 available for
GMEF loans and DMRF grants, loans, and reimbursement fees. This is the sum of the
cash balance of the GMEF, UDAG, and SCREG Funds less the commitment of $ 100,000
to Twin City Die Castings and $3,000 to Claybaugh Preservation Architecture.
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City Council Agenda - 2/28/00
If a council member has questions of the year-end report, please remove from the consent
agenda; otherwise, the EDA requests the City Council make a motion to accept the
GMEF reports.
B. Alternative Action:
I. A motion to accept the EDA Balance Sheet; Statement of Revenues, Expenditures,
and Changes in Fund Balance; 2000 Cash Flow Projections; and the Annual
Activity Reports as presented.
2. A motion to deny acceptance of the EDA Balance Sheet; Statements of Revenues,
Expenditures, and Changes in Fund Balance; 2000 Cash Flow Projections; and the
Annual Activity Report as presented.
c. Recommendation:
Recommendation is alternative #1. Reason for the recommendation is that all reports are
reported as true and correct; the budget is based on projections only; therefore, said
motion would affirm compliance of Ordinance Amendment No. 172.
D.
SUDDortin2 Data:
Copy of the Year-End Statements, Activity Report, and 2000 Cash Flow Projections for
the EDA. DMRF, UDAG, and SCERG Year-End Statements.
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MONTICELLO ECONOMIC DEVELOPMENT AUTHORITY MONTICELLO
GREATER MONTICELLO ENTERPRISE FUND (GMEF)
Balance Sheet
December 31, 1999
Cash in Bank
ASSETS
Notes Receivable - Tapper, Inc.
Notes Receivable - Muller Theatre
Notes Receivable - SMM, Inc.
Notes Receivable - Aroplax Corp.
Notes Receivable - Custom Canopy, Inc.
Notes Receivable - Standard Iron
Notes Receivable - Vector Tool
Notes Receivable - Tapper, Inc.
Notes Receivable - SELUEMED
Notes Receivable - T J Martin
Notes Receivable - Mainline Distribution
Notes Receivable - Aroplax Corp II
Appropriations Receivables _
1999 UDAG
. 1999 SCREG
TOTAL ASSETS
FUND EQUITY
Fund Balance
Reserved for Participation Loans
(Economic Development)
TOTAL LIABILITIES AND FUND EQUITY
$635,221.20
$ -0-
$ -0-
$ -0-
$ -0-
$ -0-
$ 38,369.07
$ 44,436.27
$ 90,405.01
$ 41,264.16
$ 87,500.00
$ 98,646.37
$100,000.00
$139,546.38
$ 60,453.62
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~l, 335,842.08
$1, 335, 842.08
~1,335,842.08
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MONTICELLo ECONOMIC DEVELoPMENT AUTHORITY MoNTICELLo
GREATER MoNTICELLo ENTERPRISE FUND IGMEF)
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Statement of Revenues, EXPenditures, and Changes in Fund Balance
For the Year Ended December 31, 1999
REVENUE~
Appropriations _
1999 GMEF
1999 SCREG
1999 UDAG
Interest Income - Notes
Interest Income - Investment
Loan Fees
Legal Fees
Miscellaneous
TOTAL REVENUES
$ -0-
$ 60,453.62
$139,546.38
$ 23,256.58
$ 28,117.01
$ 600.00
$ 1,400.00
~ -0-
EXPENDITUR~
$ 253,373.59
Professional Fees
Service Fees
Miscellaneous Other
Int. Adjustment - Notes
Downtown Monticello Revitalization Fund $
Legal Fees $
$
$
$
$
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7,423.54
1,400.00
34.75
-0-
-0-
-0-
o
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TOTAL EXPENDITURES
FUND BALANCE - Beginning of Year
Excess of Revenues Over Expenditures
-$
8,858.29
$ 244,515.30
FUND BALANCE - End of Year
~l, 091,326.78
~l, 335, 842.08
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5"B
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MONTICELLO ECONOMIC DEVELOPMENT AUTHORITY
GREATER MONTICELLO ENTERPRISE FUND CGMEF)
BEGINNING CASH BALANCE, January 2000
2000 CASH FLOW PROJECTION
RECEIPTS
Appropriations, Expected _
GMEF
UDAG
Notes Amortization Payments _
Tapper Inc.
Muller Theatre
SMM, Inc.
Aroplax Corp.
Notes Receivable
Custom Canopy, Inc.
Standard Iron ($795.49 Mo.) 7-01
Vector Tool ($380.18 Mo.) 11-00
Tapper's II ($760.36 Mo.) 4-01
SELUEMED ($1,031.01 Mo.) 9-03
T.J. Martin ($1,716.12 Mo.) 3-05
Mainline Distrib. ($702.08 Mo.) 6-04
Aroplax Corp. II ($730.93 Mo.) 12-04
TCDC (Est. $1,472.87 Mo.) 6-07
Interest Income - Investment (est.)
Loan Fees
Miscellaneous
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TOTAL RECEIPTS
TOTAL BEGINNING BALANCE AND RECEIPTS
EXPENDITURES
GMEF Loans -
TCDC (GMEF)
(UDAG)
Other (GMEF)
DMRF Grants
Loans
Bob Claybaugh Architecture
Miscellaneous
TOTAL EXPENDITURES
~PECTED CASH BALANCE, December 2000
$269,336.48
$ 30,663.52
$ 635,221.20
.
-0-
-0-
-0-
-0-
-0-
-0-
$ 9,545.90
$ 4,181.98
$ 42,600.00
$ 9,124.32
$ 12,372.12
$ 16,882.76 .
$ 8,424.96
$ 8,701.60
$ 8,837.22
$ 20,000.00
$ 600.00
$ 1,000.00
$ 69,336.48
$ 30,663.52
$200,000.00
$ 25,000.00
$ 20,000.00
$ 3,000.00
R 1, 000.00
$ 442,270.86
$1,077,492.06
$ 349,000.00
$
728,492.06
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2000
ECONOMIC DEVELOPMENT AUTHORITY ACTIVITY REPORT
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MEETING DATE
SUBJECTS
Annual Meeting
February 23, 1999
Approved GMEF Loan No. 015 for Mainline Distribution
Properties, LLC dba Groebner & Associates, Inc., $100,000
real estate acquisition. 11 inunediate new jobs @ average
hourly"'wage of$19.90 excluding benefits. An additional 2
jobs at average wage per hour of$10-$12 excluding
benefits within two years.
EDA Officers elected for 1999:
President Ron Hoglund
Vice President Barb. Schwientek
Treasurer Rick WolfstelIer
Assistant Treasurer Ken Maus
Secretary Ollie Koropchak
Accepted EDA 1998 Year-End Financial Statements and
Activity Report. All existing GMEF loan paybacks are
current.
.
Amended GMEF Guidelines to include: At least 90% of the
jobs to pay a rate equal to or greater than 160% of the
Federal minimum wage, exclusive of benefits, for individuals
over the age of 20 during the term of the assistance.
Amended DMRF Guidelines to delete MCP from page 4
and 5, and to amend page 4, no. 1 under application process
to read: The applicant will meet with city staff to obtain
information abut the D.MRF, discuss the proposed project,
and obtain a funding application form and a copy of section
3,4, and 5 of the Design Guidelines of the Downtown and
Riverfront Revitalization Plan of the Monticello
Comprehensive Plan. The application form to state that
routine maintenance and insured losses will not be covered.
Adopted the EDA five priorities to achieve in
redevelopment of the North Anchor. Darrin Lahr and Bill
DemeuIes appointed to the North Anchor Committee.
1
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Sb
August 31, 1999 Amended GMEF Guidelines to include: Annual written .-
. reports are required until tennination date. Failure to meet
the job and wage level goals require partial or full
repayment of the assistance with interest.
Amended GMEF Guidelines to include Late Payment
Policy: Failure to pay principal or interest when due may
result in the loan being immediately called.
Public Hearing and adoption of ED A Business Subsidy
Criteria for the GMEF pursuant to Minnesota Statutes,
Section 1161.993 through 1161.994, subject to as amended
in previous agenda item.
Approved GMEF Loan No. 016 for Schoen Properties
Limited Partnership dba Aroplax Corporation, $100,000
real estate development, 6.25% interest rate. 10 new jobs at
a rate equal to or greater than $8.24 excluding benefits
within two years of benefit date.
Requested the DAT to obtain request of proposals from
architectures for concept design drawings for 3 to 6 .
. buildings within the target area of the DMRF and tabled any
action to extend the use of the DMRF through December
31,2000.
Endorsed the North Anchor's request for $200,000
appropriation for acquisition of blighted parcels and the
HRA's request for $75,000 appropriation for industrial land
acquisition or development for City Budget 2000.
September 28, 1999 Approved GMEF Loan No. 017 for Twin City Die Castings
Company, $100,000, machinery and equipment, 7 years at
6.25%. At least 85 new full-time jobs at a rate equal to or
greater than $8.24, excluding benefits, for individuals over
the age of 20 during the term of the assistance. Jobs
created within two years of benefit date.
Accepted the request for proposal from Claybaugh
Preservation Architecture for $3,000 requesting DAT to
find 3 property OWers interested in construction of facade
improvements within one year.
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Approved extending the use of the remaining $174,078.08
DMRF balance through December 31,2000.
Tabled any action to fund acquisition and improvement
costs associated with a 7-foot outside walkway between
Country Travel Store (Property owned by Brad Larson) and
the vacant lot owned by Bill Grassl. Perhaps other options
such as indoor or enclosed walkway better suited.
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GMEF Cash Balance
SOURCES OF FUNDS
January 1, 2000
.
DMRF Cash Balance
$461,143.12
UDAG Cash Balance
$174,078.08
SCREG-Aroplax Cash Balance
$ 43,652.79
$ 9,741.95 (1998 Int. Income - Invest.)
TOTAL
$688,615.94
LESS COMMITMENTS
TCDC
ClaYbaugh Architecture
$100,000.00
$ 3,000.00
BALANCE
$585,615.94
~:ate $500,000 Grant 4% interest rate amortized OVer 10 years ballooned in.
years commencing July 2000. This remains as City Funds for revolving
oan fund.
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MONTICELLO ECONOMIC DEVELOPMENT AUTHORITY
DOWNTOWN MONTICELLO REVITALIZATION FUND
December 31,1999
Fund Balance, December 31, 1997 $199,000.00
Revenues
Appropriations 0
TOTAL REVENUES 0
Expenditures
DMRF 101, Kathy FrosIie, 2-6-98 $2,500.00
8-31-98 $2,500.00
DMRF 102, Steve Johnson
DMRF 103, Kathy Froslie, 2-6-98 $ 500.00
DMRF 104, Rich Cline, 10-11-98 $2,394.13
1 1-24-98 $ 180.12
DMRF 105, AI Loch, 11-6-98 $2,610.00
DMRF 106, Dan Olson, 7-27-98 $6,814.13 .
. DMRF 107, Steve Johnson
DMRF 108, Bruce Hammond 6-11-99 $5,411.80
DMRF 109, Dorothy Topel 7-12-99 $2,011. 74
TOTAL EXPENDITURES $ 24,921.92
Fund Balance, December 31, 1999 $174,078.08
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SMALL CITIES ECONOMIC RECOVERY GRANT (SCERG) _ AROPLAX
FINANCIAL REPORT .
. December 31, 1999
Payback began in December, 1992 for 7 years ending in November, 1999.
Annual principal and interest payback total is $29,801.40.
First $100,000 principal payback ends January, 1997.
GRANT TOTALS
ORIGINAL E8lQ REMAINING
Principal $170,000.00 $175,615.55 ($5,615.55)
Interest $37,969.92 $24,018.99 $13,950.93
TOTAL $207,969.92 $199,634.54 $8,335.38
Jan. 1997 GMEF STATE
Principal $170,000.00 $100,000.00 $70,000.00
Interest $29,634.75 $24,018.99 $5,615.76
TOTAL $199,634.75 $124,018.99 $75,615.76
Grant must be expended by December 31, 1994, up to $170,000.
EXPENDED: $116,556.75 1993
$16,996.18 1993
$12,356.59 1993 .
. $4,021.10 1/18/94
$15,132.50 4/13/94
$4,936.88 7/20/94
$170,000.00
REVENUES
Principal Payback $175,615.55
Interest Payback $24,018.99
Interest Income - Investment:
1993 $1,061.92
1994 $1,256.00
1995 $5,475.97
1996 $7,381.27
1997 $8,770.56
1998 $9,741.95
TOTAL REVENUES $233,322.21
EXPENDITURES
Payback to State $75,626.64
Transfer to GMEF $87,500.00
Transfer to GMEF $60,453.62 .
. TOTAL EXPENDITURES $223,580.26
FUND BALANCE FOR SMALL CITIES GRANT $9,741.95
SCERG-A.xls; 02/16/2000 5b
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URBAN DEVELOPMENT ACTION GRANT (UDAG) _ FSI
FINANCIAL REPORT
December 31, 1999
.
Payback began in January, 1988 for 12 years ending in January, 2000.
Annual principal and interest payback total is $27,971.40.
GRANT TOTALS
Principal
Interest
TOTAL
ORIGINAL
$256,957. 71
$78,700.35
$335,658.06
.E8ID
$256,957.71
$77,315.88
$334,273.59
REMAINING
$0.00
$1,384.47
$1,384.47
REVENUES
Principal Payback $256,957.71
Interest Payback $77,315.88
Interest Income - Investment:
1990 $6,342.02
1991 $8,593.59
1992 $8,436.32 .
. 1993 $5,227.10
1994 $3,756.77
1995 $12,297.72
1996 $9,775.19
1997 $9,007.60
1998 $12,989.27
Transfer from GMEF - [company]
TOTAL REVENUES $410,699.17
EXPENDITURE&
1991 Transfer to GMEF $65,000.00
1992 Transfer to GMEF $20,000.00
1993 Transfer to GMEF $42,500.00
1996 Transfer to GMEF (Tapper's) $100,000.00
1999 Transfer to GMEF (Aroplax) $100,000.00
1999 Transfer to GMEF (Mainline) $39,546.38
TOTAL EXPENDITURES $367,046.38 .
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FUND BALANCE FOR ECONOMIC DEVELOPMENT $43,652.79
UDAG.xls: 02116/2000 'S\:>
. City Council - 2/28/00
Sc. Consideration to a rove the modification of the Downtown Monticello
Revitalization Fund lDMRF) Guidelines. (O.K.)
A. Reference and Back2round:
At the annual meeting of the EDA, the commissioners made a motion to recommend
modification of the DMRF Guidelines. To comply with the guideline section, Fund
Guideline Modification: "At a minimum, the EDA shall review the Fund Guidelines on an
annual basis. No changes to the DMRF guidelines shall be instituted without prior
approval of the City Council"; therefore, this appears before the Council.
The proposed modification was spurred by DAT marketing the DMRF to the proposed
buyer of the Senior Citizen Lounge. It is the intent of the proposed buyer to make facade
improvements to the building after purchase of the property and completion of design
concept drawings by Claybaugh Preservation Architecture. The architectural firm will be
in Monticello on March 9 working with DAT and three downtown property owners
interested in facade improvements.
.
Since the Taraet Area of the DMRF Guidelines do not include the Senior Citizen Lounge
property, the BDA approved modifYing the DMRF Guidelines to include all of Blocks 34
and 53 and requested the City Council to review the same for approval. Previously, no
Business Subsidy Criteria was established for the DMRF because the maximum subsidy is
$25,000 or less per applicant; therefore, no public hearing is necessary to modifY or amend
the DMRF Guidelines.
Recommendation: T ARGBT AREA, page 1. ................ Preference will be given to
property located in Blocks 34,35,36,51, 52, and 53, Original Plat, City of Monticello.
Also, the BDA reviewed the GMEF Guidelines for modification; however, the
commissioners felt no modifications were necessary.
B. Alternative Action:
]. A motion to approve modification of the DMRF Guidelines, Taraet Area, as
recommended by the BDA.
2. A motion to deny modification of the DMRF Guidelines as recommended by the
BDA.
3. A motion to table any action.
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City Council - 2/28/00
c.
Recommendation:
Recommendation is Alternative No.1.
D. Supportine Data:
Excerpt from the current DMRF Guidelines and map outlining proposed target area for
modification.
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DOWNTOWN MONTICELLO REVITALIZATION FUND GUIDELINES
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CITY OF MONTICELLO
250 EAST BROADWAY, POBOX 1147
MONTICELLO, MN 55362
(612) 271-3208
PURPOSE
The Monticello Downtown and Riverfront Plan provides a guide for development in the
downtown area. As part of its efforts to implement the Plan, the Monticello Economic
Development AuthOrity (EDA) offers financial assistance and incentives to property owners
through a program known as the Downtown Monticello Revitalization Fund (DMRF).
The D.MRF seeks to promote the revitalization of downtown Monticello by:
*
Enhancing storefronts and facades in accordance with the design guidelines in the
Plan,
*
Encouraging the rehabilitation of building interiors to bring them into compliance
with local codes and ordinances,
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*
Encouraging building rehabilitation to provide space suitable for the proposed use,
*
Providing funding to close the <<gap" between financing needed to undertake the
project and the amount raised by equity and private loans.
*
Providing economic incentives to locate businesses in the Downtown.
These guidefines descnbe the funding parameters and eligIbility criteria for programs offered by
the EDA Meeting the eligibility criteria does not entitle an applicant to funding. The distnbution
of funds is the sole decision of the EDA
TARGET AREA
These financial incentives and assistance will he available fur existing buildings within the planning
area descnbed in the Downtown and Riverfront Plan. Preference will be given to property
located in Lots 6 through 15, Block 34, Lots 1 through 10, Block 53, and Blocks 35, 36, 51, and
52, Original Plat, City of Monticello ,
1
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*
ARGET AREA
CURRENTT
ET AREA
PROPOSED T ARG
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City Council Agenda - 02/28/00
Sd.
Consideration of approvine ioint resolution supporting annexation of Rolling
Woods oroperty. (.10)
REFERENCE AND BACKGROUND
City Council is asked to consider adopting a resolution supporting annexation of the
Rolling Woods subdivision. This subdivision has received approval tor annexation by
the MOAA, the Township has signed the joint resolution and preliminary plat approval
has been granted by the City Council. According to the City/Township annexation
process, the annexation should take place prior to final plat approval. Upon adoption of
this resolution, City staffwill submit the annexation request to the State Planning Agency
t(H formal annexation. Once this occurs, the final plat and development agreement will
be adopted at a subsequent meeting.
At this point in time, it is expected that the development agreement and final plat will be
considered by Council at the second meeting in March.
ALTERNATIVE ACTION
1. Motion to adopt joint resolution supporting annexation of the Rolling Woods
subdivision. Motion contingent on developer requesting detachment irom City in the
event thc annexed area has public improvements on less than 50%) of the annexed area
at the end of three years.
This contingency is important because according to the agreement with the Township,
all annexations are stopped if any annexed territory is not developed at least 50%
within three years. Although there is every indication that this development will
proceed, it makes sense to retain the ability to detach the area horn the City in the
event the development does not occur.
2. Motion to deny approval of the annexation.
RECOMMENDA TION
The City Administrator recommends alternative 1.
SUPPORTING DATA
Copy of joint resolution.
.
RESOLUTION NO.
IN THE MA TTEI{ OF THE AMENDMENT TO THE
.JOINT RESOLUTION FOR ORDERLY ANNEXATION BETWEEN
THF: TOWN OF MONTICELLO AND THE
CITY OF MONTICELLO, MINNESOTA
PURSUANT TO MINNESOTA STATUTES 414.0325, SUBD. 1
TO: Minnesota Municipal Board/State Planning Agency
Suite 225 Bandana Square Building
1021 Bandana Boulevard East
St. Paul, MN 55108
The Town of Monticello and the City of Monticello hereby jointly agree that the joint resolution
between the Town of Monticello and the City of Monticello designating an area for orderly
annexation dated March 6, 1998, be amended to include the following:
.
Both the Town and the City agree that no alteration of the stated boundaries of this
agreement is appropriate. Furthermore, both parties agree that no consideration by the
Board is necessary. Upon receipt of this resolution, the Municipal Board may review
and comment but shall, within 30 days, order the annexation ofthe following described
property in accordance with the terms of the joint resolution:
Property known as: Rolling Woods
Approximately 40 acres
The Southwest Quarter of the Northwest Quarter of Section 19, Township 121,
Range 24, Wright County, Minnesota
Approved by the City of Monticello this
day of
City Administrator
Mayor
Approved by the Town of Monticello this 1 d
dayof ~ ' ,1999.
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Council Agenda - 2/28/2000
5E.
Consideration of anproval of plans and specifications for lie:htiD!! of softball fields
#3 and #4 at the NSP nroperty. and authorization to advertise for nroposals. (J.S.)
A. REFERENCE AND BACKGROUND:
In1992, the City lighted two of the fields at the NSP ballfield complex, the baseball field and
one of the other three softball fields. Fields #3 and #4 remain unlit. In 1997, a need for
additional softball fields was noted, and City staffalong with the Ballfield Association and
Park Board determined it would be more cost efIicient to light the two remaining softball
fields rather than to build two new fields. We have budgeted during the 1998, 1999 and
2000 year budgets a total of$95,000 for the lighting of the existing softball fields #3 and #4.
The estimated cost to light the two fields is $88,000. Both the Monticello Softball
Association and the Youth Baseball Association have agreed to extend their agreements,
assisting with a portion of the lighting costs. Following is a proposed schedule for the
proj ect:
ADVERTISEMENT rOR PROPOSALS. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .. 2/29/2000
OPENING OF PROPOSALS ........................................... 3/23/2000
FINALIZE AGREEMENTS WITH BASEBALL AND SOFTBALL ASSOCIATIONS ...... 3/24/2000
APPROV AL or PROPOSALS AND AUTHORIZATION TO ENTER CONTRACT ....... 3/27/2000
AUTHORIZATION TO PROCEED ISSUED TO CONTRACTOR .................... 4/3/2000
COMPLETION OF PROJECT ........................................... 6/5/2000
Due to the bulk of the plans and specifications for the lighting project they are not included
in your agenda packet. A copy is available at city hall for your review.
B. AL TERNA TIVE ACTIONS:
1. The first alternative would be to approve the plans and specifications and authorize
advertisement for proposals for City Project No. 2000-01 C, Lighting of Two (2)
Softball Fields.
2. The second alternative would be not to approve the plans and specifications or
authorize advertisement for proposals.
C. ST AFF RECOMMENDATION:
It is the recommendation of the City Administrator, Public Works Director, Park
Superintendent and the Park Board that the City Council approve the plans and specifications
and authorize advertisement for proposals as outlined in alternative # 1.
D. SUPPORTING DATA:
Copy of plans and specifications are available at city hall for review.
.
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City Council Agenda - 02/28/00
7.
Public Hearin~ - Chelsea Road and utility improvements West from Sandberl! Road
to 90th and Groveland Phase I. Consideration of a resolution authorizing
preparation of plans and specifications. (.10)
REFERENCE AND BACKGROUND
City Council is asked to conduct a public hearing and consider authorizing preparation of
plans and specifications for the Chelsea Road/Groveland Phase I development. As you
recall at the previous meeting, the City engineer reviewed the scope and costs associated
with this project. A major portion of the meeting involved discussion of the formula for
assessing the cost of Chelsea road. As a result of the discussion, City Council gave City
staff'some latitude in negotiating by supporting a City contribution of funds to pay a
portion of the cost of the land necessary to extend the road to the development area.
Subsequent to this meeting, staff met with the affected land owners and presented
concepts to the Wright County Transportation board. These meetings have been fruitful
and have resulted in general agreement with regard to the formula for assessing road costs
and for transfer of 90th Street ROW to the adjoining land owners.
With regard to the Assessment of the Chelsea Road Costs. The formula proposed to the
landowners and to Tony Emmerich calls for incorporating the $89,000 land cost into the
project to be spread across the properties based on lineal front footage with the
exception that Emmerich will pay a flat rate of $18,000 of the total $89,000. The other
property owners will pay their share ($26,000 all together) based on front footage and the
City will pay the difference which amounts to about $45,000. This would increase our
cost to approximately $756,000, as per previous estimates.
With regard to the vacation of the 90th street right of way. The attached memo addresses
the new concept.
It is hoped that written agreements regarding arrangements above can be completed Soon
as the County would like written verification from the adjoining property owners that
they are being treated fairly prior to County turn-over of the 90th Street ROW to the City.
In the meantime, the developer would like to proceed with the development and is willing
to provide funds necessary to pay for the plans and specifications.
Please note that Bret Weiss attended the recent Township meeting to discuss maintenance
of a portion of 90th Street connecting Chelsea Road to the entrance to the Chadwick/City
Property so that Chadwick can move and haul graveL According to Weiss, the Township
does not have an issue of the ROW of90lh Street ifannexed by the City.
At the meeting on Monday Bret Weiss will be reviewing the feasibility study again with
public comment to f()llow. Council will then be asked to define the scope of the plan
preparation.
.
City Council Agenda - 02/28/00
It is also likely that Olson Electric will again voice their concerns. Jeff, Bret and Roger
Belsaas met with Olson Electric for several hours to address their issues. Additionally,
Brct responded in writing to Olson Electric on their letter, which the Council received.
We are confIdent that we can come to a reasonable agreement with Olson, however it is
doubtful that they will ever be supportive of the project.
It is expected that some property owners will object to proposed assessments for
stormwater improvements that they believe are precipitated entirely by new development.
According to the City's Storm Water Facilitates Funding Policy, we use a combination of
area charges from new development and assessments trom existing developments to pay
for storm water improvements. General taxes are used to up-front improvements that
may be needed prior to acquisition of trunk fees.
ALTERNAflVE ACTION
I. Motion to adopt rcsolution ordering preparation of plans and specifications.
Motion contingent on developer providing a deposit equal to the cost to prepare plans and
specifIcations to be refunded to developer at such time that the development agreement is
approved and the project ordered.
.
Under this alternative, City stail will continue to work with the property owners in
detailing the assessment formula and will be working with the County on transferring the
90th Street ownership accordingly.
This development is responsiblc for thc feasibility costs and alrcady has deposited
$15,000 to cover WSB's changes.
2. Motion to table or deny adoption of resolution ordering preparation of plans and
specifications.
Council should select this alternative if it believes that further negotiating is needed prior
to moving the project forward.
STAFF RECOMMENDATION
The City Administrator recommends alternative I with the contingencies as noted.
SUPPORTING DATA
.
See feasibility study from previous agenda.
Resolution authorizing preparation of plans and specifications.
Memo to Mayor and Council.
Response lettcr to Olson Electric.
.
.
.
RESOLUTION NO. 2000-12
CITY OF MONTICELLO
RESOLUTION ORDERING IMPROVEMENT AND PREPARATION OF PLANS
CHELSEA ROAD WEST FROM SANDBERG ROAD TO 90TII STREET
PROJECT 98-25C
WHEREAS, a resolution of the City Council adopted thc 14th day of February, 2000 fixed a date for a
council hearing on the proposed improvement to Chelsea Road West from Sandberg Road to 90th Street
by the construction of bituminous streets with concrete curb and gutter, sanitary sewer, watcrmain,
storm sewer and other appurtenant improvements including the construction of pond outlcts to drain
the two ponds located adjacent to Marvin Road (North of Chelsea Road) and improvements to Phase 1
of the Groveland Subdivision by the installation of bituminous streets with concrete curb and gutter,
sanitary scwer, watermain, storm sewer and all othcr appurtenant improvements,
AND WHEREAS, tcn days mailed notice and two weeks published notice of the hearing was given
and the hearing was held thereon on the 2gth day of February, 2000 at which all persons desiring to be
heard were given an opportunity to be heard thereon,
NOW 'fHEREFORE, BE IT RESOLVED BY THE CITY COUNCIL OF MONTICELLO,
MINNESOTA:
1.
Such improvcment is nccessary, costHcffcctive, and feasible as detailed in the feasibility report.
2. Such improvement is hereby ordered as proposed in the council rcsolution adopted the 28th day
of February, 2000.
3. WSB & Associates, Inc. is hereby designated as the engineer for this improvement. The
engincer shall prepare plans and specifications for the making of such improvement.
Adopted by the Monticello City Council this 28th day of February, 2000.
Mayor Roger Belsaas
ATTEST:
City Administrator, Rick Wolfsteller
350 Westwood Lake Office
8441 Wayzata Boulevard
Minneapolis, MN 55426
612-541-4800
FAX 541.1700
6125411700 P.02/04
~.A. Mlttelstearc.t;, 1".J:...
Stet A. Weiss, p.E.
peter R. Willenbring, p.E.
Donald W. Sterna, P.E.
Ranald. B. Br:lY. P.E.
FEB-25-2000 13:12
.
. IlL
&. Associates, Inc.
WSB & RSSOCIRTES INC.
Memorandum
From:
Honorable Mayor and Members o/the City Council
City of MonticeUo
Bret A. Weiss, P.E~
City Engineer
10:
Date:
February 25, 2000
9rP Street Right-ol-Way Update
Chelsea Road West
City of Monticello Project NO. 98..25C
WSB Project No. 1196.00
Re:
.
The City Council, at their February 14,2000 meeting, authorized J effO'Neill and myself to continue
the negotiations with the property owners adjacent to 90111 Street in an effort to work out an
acceptable method to fund the Chelsea Road West project and convey the 90lh Street right-of-way.
Since that time. we have met with Gould Brothers, D&D. and Olson Electric to discuss proposed
options. We have not spoken with Stuart Hoglund, however, the developer (Emmerich) has talked
with Stuart previously and it sounds as though Stuart is acceptable to the program as long as he is
treated similarly to the other property owners.
The original plan proposed to charge 0.48{t per square foot for the 901h Street right.of-way in addition
to the assessment for Chelsea Road. The cost of 90lh Street would offset the City's right..of.way
purchase between Sandburg Road and Marvin Road.
What has been agreed to now is that the City would put the $89,000 cost as a project cost for Chelsea
Road and assess it to the adjoining property owners in a proportional share, with the exception of
the developer who would contribute $18,000, leaving a balance of approximately $45,000 for the
City of Monticello's share. The 90th Street right-or-way would then be simply conveyed to the
adjoining property owners. Olson Electric would also receive the right-of-way, assuming that they
would provid.e the ponding caiement necessary behind their property, as well as pay the assessment
for a driveway access along Marvin Road past their property and pay their trunk stonn sewer
assessment. All parties are in general agreement with the proposal. with the exception of Olson
Electric who was unable to make a decision without Milt Olson, who is currently out oftown.
.
Minneapolis · Sr. Cloud
InfrastrUCtJR'e Engineers Pltmners
EQUAl OPPORTUNITY EMPLOYER
F:\WPWIN\I196.00\D22SOO-IIIl1l:-wpo:I
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FEB-25-2000 13:13
WSB & ASSOCIATES INC.
6125411700 P.03/04
Honorable Mayor and Members of the City Council
City of Monticello
February 25,2000
Page 2
We did take this proposal to the Wright County Transportation Committee and received a favorable
response from the Board to convey all of the property, including the triangular shaped property, to
the City under this scenario.
We have prepared a revised assessment roll to address these issues, along with a revised city
participation cost that is attached to this memo.
Attachment
nm
F;\WPWIN\1196.00\022SQO..bme.wpd.
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FEB-25-2000 08:12
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WSS
-
& Associates. Inc.
WSB & ASSOCIATES INC.
6125411700 P.02/12
350 Westwood Lake Office
8441 Wayzata Boulevard
Minneapolis, MN 55426
612-541-4800
FAX 541A1700
BA Miaclsteadt. P..E.
Beet A. Weiss, P.E.
Peter R. Willenbring, RE.
Donald w: Sterna, p.E.
Ronald B. Bl'ly. HE.
February 18,2000
Mr. Warren Olson
Olson & Sons Electric, Inc.
240 West Oakwood Drive
Monticello, MN 55362
Re: Issues Related to the Proposed Chelsea Road West Project
City of Monticello Project No. 98.25C
WSB Project No. 1196.00
Dear Mr. Olson:
.
I'm writing this letter as a response to your letter dated February 14, 2000 that was presented at the
City of Monticello Council Meeting. This letter will attempt to summarize responses to the issues
you have addressed in the letter and provide some background for further discussions with the City
of Monticello. I want to first state that Olson Electric has not been left out of conversations
regarding this project nor do r feel that the system has failed in their behalf. This is a very complex
project and involves many different interests and issues and cannot be quickly or easily
accomplished. We have spent an inordinate amount of time on this project looking at different
alternatives for Chelsea Road and trying to deal with issues related to how everybody's interest may
be accommodated. nat is not to say that during the process evezyone's interest will be addressed
to their satisfaction. It is to say, however, that we will do our best to accommodate their interests
to the best of our ability.
As you are aware, the City of Monticello initially completed a feasibility report addressing the
extension of Chelsea Road West north along MatVin Road to 90tb Street with an expanded road along
90th Street and a smaller series of local roads south of Gould Brothers Chevrolet to serve the
Emmerich parcel. When that feasibility report was presented to the City Council, it Was met with
a lot of concern and was swnmarily rejected by the property owners in the area, including Olson
Electric.
Since that first report, we have presented several options for the extension of Chelsea Road, one of
which was the extension of Chelsea Road on the north side of the wetland adjacent to your building
as requested by you, only to discover that the alignment created a lot of unusable property, as well
as property that did not create lateral benefit for the street system. This alignment would have
resulted in an assessment to your property in excess of $60,000. It is not my understanding that
- Olson Electric was that conunittcd to agree to that large of an assessment. The other option to serve
· your property that was discussed was the extension of Marvin Road around the proposed pond and
up Marvin Road to Connect to 90th Street. At ODe time, there Was some agreement from Emmerich,
Minneapolis · St. ClDud
Infi'as'Ir'W1Ilre engine"., 1'1471,,",
EQUAL OPPORTlINnY EMPLOYER
l';\W'PWlNIlllJli.OO\O;U800-I1lO.~
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FEB-25-2000 08:12
WSB & ASSOCIATES INC.
6125411700 P.03/12
Mr. Warren Olson
Olson & Sons Electric. Inc.
Monticello, M:N
February 18,2000
Page 2
Kjellberg's, Inc., and Olson Electric to split the cost of that road ($136,000) three ways. Since that
time, Emmerich has fe-evaluated the cost of that proposal and feels that no additional benefit would
be provided to his property. Further, Kjellberg has sold his property to Monticello Ford, who has
not given us an indication that they are ready and willing to pay for the road or that they are opposed
to the road installation. Lastly, we have not heard from Olson Electric to say that you are completely
committed to the extension of that road and are willing to pay any of the costs asso,ciated with it.
This does create a very difficult situation for the City Staff as we try to aceonunodate everyone's
interest.
As of the submission of the Chelsea Road West feasibility report, we feel we have recommended
the best alignment for Chelsea Road considering everyone's issues, as well as what is best for the
City as a whole. We are still addressing options for access from your property to Chelsea Road and
have not disregarded any options to dak; including the extension of Marvin Road along the
alignment previously discussed or extension of a driveway from your property to Chelsea Road
along the Marvin Road alignment.
I would offer the following responses to the issues addressing your letter.
· Transfer of Ownership of 90111 Street:
Question 1: Are you proposing for us to pay for a connection on Sandberg, Marvin
and Cbelsea Roaell?
Response: City Staffhas stated that cost of the right-of-way of90tll Street would be sold
at approximately 50.48 per square foot. This was simply urived at using the
land cost that was paid for the property between Sandberg and Marvin Roads
that the City was required to purchase. This is not to say that you directly are
paying for that right-of-way. It is just a method of detennining a cost for the
90lb Street right-of-way that will be sold to the adjoining property owners.
It is our understanding that the 90dl Street property could be worth anywhere
from $1.00 to $2.00 per square foot and we do not feel that the $0.48 per
square foot is an unreasonable cost to pay. Further, because some of the
property owners (i.e. Gould Brothers Chevrolet and D&D Enterprises) will
be required to pay an assessment for a new road and Olson Electric will not,
we did not feel that a simple transfer of the ownership for no cost was fair
and equitable to all of the property owners. The City did not receive any
funds from MnlDOT to close the access with Oakwood Drive. The City is
simply attempting to address issues in the area by the extension of Chelsea
Road. We were very up-front with the County Commissioners with the fact
that we were intendina to transfer the ownership to the adjoining property
F:\WPWIN\I196.00\021IOO-1l1o.wpd
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FEB-25-2000 08:13
WSB & ASSOCIATES INC.
6125411700 P.04/12
Mr. Warren Olson
Olson & Sons Electric, Inc.
Monticello, MN
February 18,2000
Page 3
owners at a cost. The City of Monticello has spent in excess of $500.000 to
acquire right-of..way for the Tnmk Highway 25 project and other projects in
this area and do not feel it is unreasonable to use funds from the sale of90lh
Street to offset other right..gf..way expenditures. We were trying to address
all these issues in a manner that benefits the entire City and not just a small
group within the City.
Question 2: If we were to purchase rlpt-of-way Iud for 513,000 and us kilowing
that other property OWDen used their fu.ds to reduce their assessments
00 a new road, how would, or could Ollon use the funds if there are Dot
assessmenu charged to us? It must be fair, the County says.
Response:
We have not worked out any of the issues with how other property owners
could use the funds to reduce their assessments. There have been a lot of
discussions as you and I have previously discussed with no resolution to
those issues. Until we und~tand exactly how the City Council plans to
address some of these issues, I think it is premature to speculate as to whether
or not Olson is being treated fairly. It is certainly our intent through this
whole process to treat everyone fair and equitably.
Question 3: Leavine exlstina road - 90111 Street. H the City left the existing road in
place after the transfer of land, would the City require it to be removed
at a later date?
Response:
The City's only interest in the right..of-way is the possible extension of a
sanitary sewer force main. At this time, the City's position is that it would
be up to the property owner to deal with the existing road. The only concern
down the road may be incorporation into an overall site plan on whether or
not the existing road could effectively be utili2:ed in that application. We
cannot think of any opportunities at this time that would result in the City
requiring the road to be removed.
· 90rh Street Utilitiel. The City states that they will have to maiDtaiD some utility
easements aeross the property for future eIplDsfon of utiUties and for maintenauce.
Quesdon 4: Would we be aUowed to blacktop or pour concrete over the utility area?
If so, who would bear the eost when senicing or Dew utilities are
required? Would the utility company repair the blacktop concrete or
grUB for that matter?
F:I Wi'W1NI11 H.DOIOiISOO-IIlO. wp4
FEB-25-2000 08:13
WSB & ASSOCIATES INC.
6125411700 P.05/12
Mr. Warren Olson
Olson & Sons Electric, Inc.
Monticello. MN
February 18,2000
Page 4
.
Response:
The individual property owners would be allowed to install paved surfaces
over the utility easement. We would need to research what utilities are in
place at this time and what those agreements state with regard to repair
should improvements be nccessmy. Typically, the repair is by the property
owner and not by the utility company, however, I would believe that there
would be cooperation in dealing with that matter should that situation arise.
Question S: Would all tbe utilities be placed underground or would they have tbe
opdon of puttiDa them above ground?
Response:
We would again need to research the agreements that are in place at this time
for those utility companies, however, I believe the City would have the
option of requiring underaround utility installation.
.
Development 01 the Wetland Location South of Olson Eledric.
.
Question I: What i. the ea.emeut situation?
Response:
.
Currently, the pond adjacent to Olson Electric property is a landlocked basin
with no positive outlet While this basin is located partially on Olson Electric
land, there are other property owners that drain to this pending area. The
City tries to have access to all ponds within the City for maintenance
pwposes and to be able to control the elevation of the pond and potential
flooding concerns. The City would like to have an easement over the area
contained by the high water level, which is being adjusted as part of this
project.
With regard to whether or not anyone has sat down to discuss the
ramifications of this project and the impact on you, I would say that we have
discussed this project on numerous occasions with you over the put year. In
addition, we have discussed the storm Water situation with how the storm
water is proposed to be discharged out of this pond and across the highway
to the Mississippi River. Originally, it was proposed to put a lift station
adjacent to this pond and run all of the stozm water from the large pond by
Trunk Highway 25 through this area. We have since decided that that would
not be in the best interest of your property and have spent additional dollars
to reroute the lift station to the south pcm.d. The feasibility report has been
addressing all of the other issues and has just recently been complet~ which
is why discussions are not being initiated. We feel that we are addressing
your needs in conjunction with the impacts associated with new development
F;\WPWlNIlI1l6.001021800.l'IlG.wpd
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FEB-25-2000 08:13
WSB & ASSOCIATES INC.
6125411700 P.06/12
Mr. Warren Olson
Olson & Sons Electric, Inc.
Monticello, MN
February 18, 2000
Page 5
Question 2: Why do City officials meet with some property owners before these
meetings to work out Issues and not others?
Response:
We are working with all of the property owners in the area to address all
issues related to this project. We are not excluding anyone in this process.
Some oCthe property ownen are uncomfortable meeting while others are in
attendance and look not to meet in a large group in order to get their issues
resolved. We 1.T)' to accommodate property concerns in the most effective
way possible.
Question 3: Why does the City wait until a public hearlnl to ducuss individual
property issue. fD froDt of the wbole community?
Response:
I'm not quite sure what this issue may involve. however, the public hearing
is not until February 28th, &iving us two weeks in between the Council
Meeting where the feasibility report was presented until the actual public
hearing is held. We want to continue to resolve any issues during the interim
two weeks.
· Concerns Related to the Hip Water Level of the Existing Pond
Question 4: How much land is required. for Olson's to give up?
Response:
The final design of the pond has not been completed, but it is estimated that
land outside the existina wetland boundaries is not siiDificant and is shown
on the attached drawing. Some minor grading could create more usable land
than currently exists.
Question 5: Ww there be banks built to have a definite line of where the pond ends
and what can be developed by Olson's1
Response:
The pond will be designed in a manner to stay within defined easements. It
will be completely understood by Olson's what those easements locations are
because the City will need to work with Olson to develop the easement
locations.
QuestioD 6: What is the water level in tbe pond now and how did you come up with
the hlgb water elevation that is propo.ed?
FlIWPWlN\II'IS,00I0218000m0,wpd
FEB-25-2000 08:13
WSB & ASSOCIATES INC.
6125411700 P.07/12
Mr. Warren Olson
Olson & Sons Electric, Inc.
Monticello, MN
February 18, 2000
Page 6
.
Response:
The water elevation of the pond currently varies between 930 and 934:1:.
Wetland regulations will likely require that the outlet be set in the 933 - 934
range. The high water elevation is typically set to be no closer than two feet
from the lowC5t opening of adjacent properties, which is the elevation that is
proposed for Olson Electric. The Olson Electric building is sitting rather low
adjacent to the ponding area, which limits the ponding volume available in
this area. It appeaxs that Olson's building may be two feet higher than we
anticipated which would create a higher buffer. Our surveyors will be
confinning the elevation in the next few weeks.
QuestioD 7: How will the losing of laud dec:t the future overall development of our
property, meaalDg the Iquare footing ratio for size ofbuUdfng, we could
build or add onto existing bulldillg.
Response:
.
Olson Electric would in effect not lose land because the land would just
simply be under a drainage easement. The City would not be acquiring fee
title for the property and in looking at the attached sheet that we have
prepared, the land that would be within the easement is land that is cwrently
Wlusable or would not be used..~ the future by Olson.
· This water level would or eould pDt our water and sewer lines, utility wires, possible
floor dram pipiD,. builcUD, footiDll, ud llptinl pole bases UDder water. The
blacktop could be within inches of the water table. To this date, OIlOD'. have put fa
these Items as per City requiremeats.
Question 8: How will we service the items mentioned aDd who is goiDg to determiDe
if extra eost of the maintenance Is cauled by the water table being that
high?
Response:
.
We would like to explain that the water table elevation is not anticipated to
be increased as a result of this project. We are simply dealing with surface
water that will vary between the normal water elevation and a high water
elevation. The elevation you are concerned with is the high water elevation
of938, which I referenced as beina about two feet lowertban your first fioor.
However, after reviewing the topography in the area, it appears your first
floor is approximately a 942 :l: or four feet above the high water level of the
proposed pond. The nonnal water elevation, which is the elevation of the
outlet, will remain at 933~934, which is eight or nine feet below the fIrst floor
elevation. Your sanitary sewer semce line was under water when it was
installed and will continue to be under water due to existing conditions.
P:\W'PWlN\1196.001tl21'(llJ.mg,wpd
FEB-25-2000 08:14
WSB & ASSOCIATES INC.
6125411700 P.08/12
Mr. Warren Olson
Olson & Sons Electric, Inc.
Monticello, MN
February 18, 2000
Page 7
.
The proposed high water level is based on a computer modeling and is the
level that is anticipated to occur upon full development of the area, which
may not occur for some time. As far as building footings, utility wires, floor
drain piping, lighting bases, and blacktop within inches of the water table, r
do not believe that that is the issue since many of those items are at an
elevation of942 or above. The footings would be approximately 42 inches
below the 9421evel or 938.5, which is still above the high water level and
significantly above the normal water level.
Question 8: How We wiD semce the items meDtioned BDd who is going to determine
if extra cost ofmainteD8DCe is eaused by the water table being that hi&h?
Response:
.
Servicing of items adjacent to your building will remain as your
responsibility. We do not anticipate that there will be additional COst of
maintenance caused by the water table since we are not affecting the water
table in the area.
Questiou !I: What about JlractDre -.identiCUlJ to the bllildlullo parkiaC lot,
blacktop with heavy trucks driviaC on it?
Response:
Once again, the design of your parking area is your responsibility. The water
table will not be increased due to this project. The high water level will still
remain significantly below your parking lot and any potential structure
problett1s with your parking lot section would be Completely due to how it
was originally constructed.
QuesUon 10: What if we have a bad stonn or YODr System fafIs aDd we get OOoded?
What proof do we have that this won't happen? Who pays for cleanup?
Response:
Currently, there is no positive overflow for the pond adjacent to your
building. Your structure was also built significantly lower than the acljoining
roads. Consequently, we have CODlpleted the computer modeling to
detennine how m~h water will be flowina to this pond and what the high
water level is proposed to be, which as we diSCUSSed, is significantly lower
than your Drst floor of your building. This pond Will have a pwnped outlet
in the future. In the short tean. if there are concerns with the risin, water
levels in the area, we would need to be contacted to investigate so that your
property is not flooded. As you are aware, there are no guarantees, however,
F:\WPWIN\I/'O,OQI02/BOQ.mo,wpd
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FEB-25-2000 08:14
WSB & ASSOCIATES INC.
6125411700 P.09/12
Mr. Warren Olson
Olson & Sons Electric, Inc.
Monticello, MN
February 18, 2000
Page 8
should a problem occur with the outlet for this pond, it will be quickly
apparent and should be able to be addressed prior to any flooding problems.
The lift station will be equipped with high water monitors and alanns so that
appropriate personnel can be contacted if a high water level does occur.
Question 11: Who hires and pays tbe cost of professionals needed to determine the
answen to these questions we're asking.
Response;
If you choose to hire your own professional to answer the questions you have,
that cost would be bome by Olson Electric. Any questions that the City can
answer for you through their staff or consulting staff is a project-related cost
borne by the City of Monticello and the overall project.
QUestiOD 12: What ffwe want to add on Or build another building on the site? Is the
City goiDe to pllmp down the water level so the fooUng can be put In
place?
Response:
If an additional building is built onsite, it is likely that the City will require
it to be built at a higher elevation unless it is connected to the existing
building. If it is a COlUlected building, the footings would still be above any .
pond water level elevation proposed by the City. Iftbe existing ground water
table is higher than what is existing in the pond, that would be Olson
Electric's responsibility to com.plete the construction activities.
QuestloD 13: When new construction is built in a wet location, it usually costs more.
Who will determbae If the development of the pond brought on a Deed of
extra costs Involved 8Ild who will pay them?
Response:
Again, we do not anticipate any additional wet conditions associated with the
building. We do not feel that any additional costs will be inVOlved.
Question 14: Concerns, considerations. Would this put us in a flood plain so that
msurauces go up?
Response:
The Federal Emergency Management Administration (FEMA) handles all
flood insurance mapping. Typically. the maps are for properties next to water
bodies adjacent to streams or ponds/lakes connected to streams. This area to
our knowledge baa not been listed on their maps.
P:\ wPwlNl 1196.0010;;:1 sOOomo. wpcI
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FEB-25-2000 08:14
WSB & RSSOCIRTES INC.
5125411700 P.10/12
Mr. W men Olson
Olson & Sons Electric, Inc.
Monticello. MN
February 18. 2000
Page 9
Question 15: Irnot in a .0000 plain, is it possible that a Dumber oryears down the road
laws could be chanaed 10 that it Is in a flood plain? If so, how do we
protect ourselves in this case?
Response:
Unfortunately, the City does not have any control over how flood insurance
maps are reauJ,atcd, however, these maps have been in place for many years
and it is not likely that any changes will be invoked.
Question 17: WiD the City put a protection plaD for us in writing to assure us future
rights aDd a plan speWDg out the answers to who is responsible for what
ID any of the cases mentioned?
Response:
I'm not sure exactly what this question references and will need additional
infonnation prior to being able to address it.
.
General question related to the oudet for the pond ill their area that is proposed to be
assessed to the benefitted property ownen. Ollon'. stated that they own a portiOD of
the pODd and .houldn't have to pay for pipe to draiD water away due to Dew
development Also, it wu their undentanding that the developers lVould be payine for
the cost of the pumps to control the water elevation. Further, they want to not be
assessed in the future for additional improvements to that areB and are questioning
bow it might work for us to trade tbe value of 90tb Street for the ponding area.
Response: I contacted you to discuss that the feasibility report was going to be submitted
on Monday, FebIUalY 14lb, ancl mentioned that during the course of the
development of the feasibility report, it was determined that we would be
installing the outlets for adjacent ponds as a part of this project. The pond
outlet construction had not been cletermined until the feasibility report was
completed. As such, the storm water trunk policy addresses that existing
properties pay an asses8lI1ent for their portion of the project, while new
development pays an area charge. Your property would. pay for a share of the
project based on the developed portion of your site. The undeveloped portion
of your site would be charged a trunk fee in the future if you were to expand
the current facilities. It is likely that in the future when the completion of the
project across 1-94 to Minnesota Street is completed that you would share in
the cost of that new project. It is likely, however. that that will be a relatively
small cost per acre due to the large number of acres that would be involved
in that particular proj ect.
F;\WPWIN\1195.00ID21800.lIIO.wpd
FEB-25-2000 08:15
WSB & ASSOCIATES INC.
6125411700 P.11/12
Mr. Warren Olson.
Olson & Sons Electric, Inc.
Monticello, MN
Febroary 18, 2000
Page 10
.
· Marvin Road
Response:
.
We have not worked out the issues as to how the easement area may be
acquired from you, however, in looking at the attached drawing, it is apparent
that through the use of a little bit of grading, you may gain more access to
your land than you had previously.
You have questioned why information has not been brouaht back to the
Council to allow for a provision to access Chelsea Road from Marvin Road,
which in your opinion was promised at a City Council meeting. We did
discuss the cost of this road at One time at one of the property owner meetings
and noted an estimated cost ofapproxim.ately 5136,000. It was discussed at
that time that the costs may be able to be spread against the Kjellberg
property, your property, and the Tony Emmerich property. Since that time,
however, we have determined that it is unlikely any benefit can be shown to
the Emmerich property and the Kjellberg property has been sold to
Monticello Ford. The City cannot iO in and do this project without some
assurances that the benefitting property owners would pay for that road. We
do feel that there is access to your property off of 901h Street with the
proposed cul~de-sac and a connection to Chelsea Road is not necessary for
access.
I have talked with Tony Emmerich regarding providing a roadway right-of-
way on the south side of the proposed pond to acco.mmodate a future road
extension. He stated. that he has offered that land to you previously and
would be willing to consider doing that with the assumption that he would
not be responsible for paying any of the potential Marvin Road street costs.
Therefore, any extension of that road in the future would be borne by you and
possibly, Monticello Ford completely. The $136,000 assumed a 36-foot wide
road, which could be sized down depending on if it were a private road or a
public road.
We don't feel that we have not brought this issue to the table. In fact, we also
. discussed the possibility of a driveway access along Marvin Road from your
property to Chelsea Road. We have discussed that the Council will need to
make some decisions regarding this issue and don't feel the extension ofa
road will be a fiscally available option.
. I undentaDd your concerns with all of the infonnation that bas been provided. We do feel that we
have been very straightforward with you and had numerous discussioIli about all of these issues at
i:\WPWrNlIISlli.OOI02Ia(lO..IlIO.wpd
.
.
.
FEB-25-2000 08:15
WSB & ASSOCIATES INC.
612S411700 P.12/12
Mr. Warren Olson
Olson & Sons Electric, Inc.
Monticello, MN
February 18, 2000
Page 11
one time or another over the past 18 months. The City is trying very hard to balance the developer
issues with the existing property owner issues and do feel that we have done a good job of that.
Unfortunately, we have not quite addressed. all of your concerns to date. I am hopeful that this letter
will address the issues at least identified in your letter and we will be available to discuss other issues
in greater detail in person.
Thanks very much for providing your letter to us. It is helpful to get everything down in writing so
that we respond accordingly. Please give me a call at (612) 277~S790 at your earliest convenience
if you would like to discuss these in greater detail.
Sincerely,
WSB & Associtltes, Ine.
~~
Bret A. Weiss, P .E.
City Engineer
c: Honorable Mayor and Council Members
Jeff O'Neill, Deputy Administrator, City of Monticello
John Simola, Public Works Director, City of Monticello
Rick Wolfsteller, City of Monticello
11m
F,\WPW!lIl\ll!il6.00\0lIlllO-mo.wpd
TOTAL P.12
.
.
.
8.
Discussion on council mcetinl! attendance. (RW)
A. REFERENCE AND BACKGROUND:
Council Agenda - 2/28/00
This item is being placed on the agenda for discussion at the request of the Mayor.
B. SlJPPORTING DATA:
None
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.
ECONOMIC DEVELOPMENT UPDATE
by Ollie Koropchak, Executive Director
Landscaping Partnership Program . This is a program designed to provide technical and
financial assistance for landscaping state highway right-of.ways. A minimum of $1,000,
maximum of $20,000 is available for landscaoimz materials in any given year. Funding
applications are due the first of September each year and at least one designee must attend a 6.
hour training session. This session is scheduled for Saturday, February 26, and Greg Engle, Parks
Department, will attend. A City/Community must provide funds or in.kind service to install
and maintain (replacement) the landscaping. The Parks Commission, OAT, and MCP have
discussed the program and wish to proceed to the next step and recommended Greg attend the
training. The Public Works Director and Greg both agreed. The application consists of a formal
resolution of support from Council, volunteer pledge list, and landscape plan. MCP has agreed to
work on the volunteer pledge list if the Council is supportive of the program. However, at this
time, this is only an update and we'll learn more about the program and its merit after February
26. The two suggested target site options for funding are the right-a-way along east and west
Bridge Park or the interchange ofI.94 and Highway 25. No decisions have been made as to the
target site. Applications submitted September 2000 will be for planting season 2001. More later.
Lender's Breakfast. The City Industrial Marketing Committee hosted a Lender's Breakfast on
February 18 for local lenders, city staff, and commission representatives. The purpose was to
market the city financial funding programs and to gather input from the lenders relative to our
policies and guidelines to make sure the programs are "user friendly." The dialogue was great
and suggestions are being forward to the HRA and EDA for consideration.
Collier Towle Real Estate. Mayor Belsaas, Rick Wolfsteller, Jeff O'Neill and myself met with
four representatives of this real estate company. The city's meeting purpose was to hear demands
and trends in development of industrial properties. Towle's meeting purpose was to sell
Monticello on the need to consult with Towle to market the city industrial land for a fee or as a
joint venture. Highlights of the meeting: A city needs to position itself meaning the city must be
ready to move (speed). Define uses ofTIF, types of business uses, zoning, protective covenants,
development costs, and approval process time. Marketing piece should develop an image (vision)
such as develop a park name and includes an appeal of the community.
Prospect Team - Scheduled to visit an industrial business on February 29. 32,000 sq ft building.
Industrial Business. Need to develop uses and sources for funding for a company previously
visited by the Prospect Team. 60,000 sq ft building.
Sunny Fresh Recognition Luncheon. Hosted by the Industrial Marketing Committee. March
9, 11:30 a.m. Don't forget to RSVP.
Twin City Die Castings. Hopefully at the next Council meeting you will be asked to apprpve
the grant and loan agreement for the State Grant.
.
.
.
30,000 sq ft mfg building - 30 jobs, an expansion facility, need development fees: WAC/SAC,
permit, and trunk. Lot size maximum for building.
IDe Officers for 2000 - Tom Ollig, Chair and Kevin Doty, Vice Chair.
EDA Officers for 2000 - Bill Demeules, Chair; Barb Schwientek, Vice Chair; Ken Maus,
Assistant Treasurer.
BRA - Their annual meeting will be held April 5.