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City Council Minutes 11-13-1979MINUTES REGULAR MEETING - MONTICELLO CITY COUNCIL Tuesday, November 13, 1979 - 7:30 P. M. Members Present: Arve Grimsmo, Dan Blonigen, Fran Fair, Ken Maus, Phil White. Members Absent: None Citizens Comments: Mr. Tim Doyle presented to the City Council and the City of Monticello a detailed map of the City of Monticello around the years 1890 to 1895 showing the location of all the town's businesses and residential build- ings during that time -period. He indicated this was a project he had been working on for his Eagle Scout service badge and was presenting this to the City now that he had completed the project. 1. Consideration of Lots 9 & 10, Block 17 for a Future Library Site. As part of the recent purchase agreement signed by the City for purchasing the Oakwood Block from the School District, the City had to decide whether or not Lots 9 & 10 in Block 17 would be used by the City for the purpose of building a new library. City Planner, Howard Dahlgren & Associates, prepared a written report recommending that the Oakwood School Building would be quite costly to renovate, and recommended that the City pursue a future library on the lots offered by the School District in Block 17. In addition, his report recommended that the City and the School District consider a joint -use parking lot in Block 17 for their new buildings. The Planner has indicated that if the library was built on Lots 9 & 10, there may not be sufficient land for parking strictly used for the library unless additional land was purchased from the School. The School District is considering purchasing the Robert Dowling property located in the same block and the possibility exists that the School will sell additional land to the City for the library parking requirements if necessary. After discussion of pros and cons of renovating the 1928 Oakwood School structure, a motion was made by Phil White, seconded by Ken Maus and unanimously carried to utilize the School Board's proposal of Lots 9 & 10 of Block 17 for a future library site. It was noted that after plans are developed for a new library, negotiations may continue with the School regarding additional land if necessary for parking. 2. Consideration of Reducing Assessment to Monticello Country Club on the 1978-1 Improvement Project. The Board of Directors of the Monticello Country Club requested that their assessment on the 1978-1 Improvement Project be reduced to the original proposed assessment that was given to them on the October 9, 1979 hearing notice. At the Public Hearing, their proposed assessment was $51,023.01, but as a result of the Council's action at that time to consider the COUNCIL MINUTES - 11/13/79 change order requested by the Country Club being entirely assessed to the Country Club property, their assessment was increased by $5,405.98. Mr. Blaine Nobbs, speaking for the Country Club board, indicated that the Country Club was not aware until after the hearing that their assessment would be increased, and thought that their assessment would be as proposed if no objections were stated by the Country Club. The primary reason for the increased assessment at the public hearing was due to the fact that the Country Club had, in the past, changed their minds in regards to wanting sewer and water extensions to their property, and as a result, the increased cost of the change order was to be borne entirely by the Country Club. Mr. Nobbs indicated that as far as he was aware, the Country Club had not withdrew their petition for sewer and water on the 1978-1 project and should not have been charged extra for the change order cost. In addition, Mr. Nobbs indicated that the Country Club did give the City the right to put a drainage ditch through their property to help alleviate problems which occurred during the construction, and indicated to the Council that the ditch was not constructed per their original agreement, which was a 4 - to - 1 slope. They indicated that they must be able to maintain this ditch if it is to remain on their property and asked that the correct slope be constructed. Along with the drainage ditch, Mr. Nobbs indicated that the surplus dirt from the ditch was to be moved to the low spot along their property along County Road 39, which in his opinion was not done. In reference to the slope of the drainage ditch and the location of the dirt removed, it was the consensus of the Council that the engineer and the Board of Directors will meet to resolve the issues and work it out to the Country Club's satisfaction. In light of the fact that on previous improvement projects where change orders were made part of the contract and included in the total project with individual assessments being equalized, motion was made by Fran Fair, seconded by Ken Maus and unanimously carried that the additional assessment of $5,405.98 be put on ad valorem taxes and reduced from the Country Club's assessment rolls. 3. Consideration of Request by Yonak Sanitation asking for a loo Increase in the Remaining Portion of their Garbage Disposal Contract. Yonak Sanitation requested that the City Council consider their request for a 10% increase in the remaining portion of their 3 -year garbage disposal contract which expires March 31, 1981. The current contract which commenced on April 1, 1978 currently amounts to approximately $3,000 per month, and as a result, a loo increase would amount to $300 additional per month. The Yonak's requested the increase due to the - 2 - COUNCIL MINUTES - 11/13/79 unexpected increases such as diesel fuel, tire prices, repair costs, etc., above what they anticipated during the life of the contract. Although the Council is aware that some costs are rising faster than anti- cipated, it was pointed out that the original contract signed in April of 1978 had already resulted in a 40% increase over the previous contract, which should be sufficient. It was pointed out by the Council that the City of Monticello or the garbage haulers can give 6 -months written notice and terminate the contract if either party desires, and it was recommended that if the Yonak brothers felt they were unable to continue the present service in a profitable manner, this alternative would be available to them. As a result, it was the consensus of the Council to leave the contract as is with no additional increases to be granted. 4. Consideration of Entering into an Agreement with the YMCA for a Detached Worker Program for Monticello. Mr. Michael Melstad, with -the YMCA Detached Worker Program, requested that the City of Monticello consider entering into an agreement with the YMCA for providing counseling services to youth in Monticello. As part of the agreement, the YMCA is asking the City to fund $2,500 for a 12 -month period of time to help defray the cost of the counseling service. Letters of support have been received from the Wright County Sheriff's Dept., the probation officer for Wright County, School counseling facilities, etc., indicating that the YMCA Detached Worker Program is a beneficial program for the Youth of Monticello. It was pointed out that Mr. Melstad does reach youth for counseling purposes when other agencies through the County, etc., are not always successful. Although this is not a typical city government program that is funded by a city, it was noted that the City does help defray the cost of a program for senior citizens and that the youth of Monticello are just as important. As a result, a motion was made by Fran Fair, seconded by Ken Maus and unanimously carried to enter into a trial 12 -month contract with the YMCA for a Detached Worker Program with funding in the amount of $2,500. Mr. Melstad will be presenting quarterly reports on his counseling services at the quarterly department head meetings of the staff. (See Supplement 11-13-79 #1) 5. Consideration of Increasing Sewer and Water Rates. In order to make the sewer and water departments self-sufficient, an increase of approximately 30o would have to be made in 1980 to the sewer and water rates in order to have revenues equal expenditures. A new sewer and water rate schedule had been prepared for Council con- sideration - the first increase since 1971. It was noted that although a 30o increase at one time may seem quite large, additional increases will probably be forthcoming in the next few years as a result of the new wastewater treatment plant. The operational cost of the treatment plant will probably be two or three times larger than they are now, which will result in larger increases in the future. - 3 - COUNCIL MINUTES - 11/13/79 The Council discussed the option of levying additional tax dollars to help support the sewer and water rates, but it was noted that once the plant is in operation, Federal regulations will require that the sewer rates be sufficient to defray the operating cost and that the government does not allow for tax dollars to be used to make the plant self-sufficient. Motion was made by Phil White, seconded by Fran Fair and unanimously carried to raise the sewer and water rates by 30o for the first quarter billing in 1980. (See Supplement 11-13-79 #2) 6. Consideration of Putting Up Signs Indicating Parking Prohibited from 2 A.M. to 6 A. M. from November 15th until April 15th. The City of Monticello currently prohibits parking on the City streets from November 15th until April 15th from 2 A.M. to 6 A.M. to facilitate snow removal operations, etc. In correspondence recently received from the Wright County Attorney's office, they have requested that the City of Monticello at least consider placing signs at the entrances to Monticello to notify people of the parking limi- tation on City streets. The County Attorney's office indicated that it is easier to prosecute violators if there is adequate notification, which, in his opinion, the signs would provide. It was noted that the City currently publishes the parking regulations in the paper during the winter months to advise the City residents of the ordinances. It was the Council consensus that this notification in the paper should be continued and that the street parking signs would not be an inviting type of sign to have as you enter a community. Therefore, it was the consensus of the Council to not install the street parking limitation signs this year but to continue publishing notices in the paper. 7. Consideration of Parking Lot Proposal for Sam Peraro's Planned Office Building in Block 34. Mr. Sam Peraro, at a previous council meeting, has indicated that he plans on building a 13,500 square foot office building in Block 34. The parking needs of this proposed complex would require approximately 63 parking spaces with credit being granted for 8 provided on-site, leaving a net space requirement of 55 additional spaces. In reviewing the parking needs of Block 34 with a new office building, the downtown parking committee reviewed with the planner the proposed affect of this new office building, and felt that the present municipal parking lots would not provide sufficient spaces to accommodate such a complex. As a result of this situation, the parking committee, along with the planner, suggested that a number of alternatives were available such as: A. Assessing a proportionate share of the existing downtown parking lots to Mr. Peraro. B. Deny the present office proposal as presented by Mr. Peraro since the parking lot is not sufficient. - 4 - COUNCIL MINUTES - 11/13/79 C. Require Mr. Peraro to reduce the size of the building to make it compatible with the parking lot in Block 34. D. Attempt to provide a solution to the problem by possible purchase of additional land and assessing this cost back to Mr. Peraro. In reviewing the alternate "D", it was noted that there is a parcel of land available in an adjacent Block "D" that could be used for a parking lot. The parking committee recommended that the City attempt to purchase this property and assess the cost of the lot and parking improvements back to Mr. Peraro to provide adequate parking for his needs. This option has been discussed with Mr. Peraro, who indicated he would not be interested in such a solution because of the $45,000 estimated cost of his assessment. Current indications from Mr. Peraro are that he would rather be assessed similar to the downtown businesses for the municipal parking lot and felt that there are sufficient spaces available in the present parking lots to provide adequate parking for his needs. In Mr. Peraro's opinion, once the commuter cars are located in a different parking lot rather than in Block 34, he felt the additional spaces would be adequate for the downtown parking needs. Since Mr. Peraro was unable to attend the Council meeting due to illness, it was the consensus of the Council to table any action on this item to enable Mr. Peraro and City Staff to conduct a survey of the present parking lots and the number of spaces that are currently available on an average daily basis. In addition, Mr. Peraro will again be meeting with the downtown parking lot committee once his survey is completed in order to attempt to reach a solution to the parking requirements of his new office complex. 8. Review of Third Quarter Financial Statements for the Municipal Liquor Stir_ P _ Liquor Store Manager, Mark Irmiter, reviewed with the City Council the 3rd Quarter Financial Statement for 1979. It was noted that sales have increased approximately 13% over the first 9 -months of 1978, resulting in an additional $89800 in gross profit. Of this $89800, approximately $600 in operating income gain was achieved. Mark also discussed with the Council the unexpected 36% increase in insurance expense over last year, which eliminated a lot of the additional gross profit income. In line with the insurance costs, Mr. Irmiter noted that potential liability insurance coverage through Midwestern Federation of Beverage Licensees Inc. is now being offered to municipal liquor stores throughout Minnesota. This program is supposed to help reduce the liability insurance costs which have skyrocketed in the past, but Mr. Irmiter noted that it might be better to wait before joining this group to see whether or it is a stable company and organization. No action was taken by the Council other than acceptance of the report as presented. (See Supplement 11-13-79 #3) - 5 - COUNCIL MINUTES - 11/13/79 9. Approval of Transfers. Motion was made by Phil White, seconded by Dan Blonigen and unanimously carried to approve the following transfers: FROM TO AMOUNT rnMMPMT General Fund Revenue Sharing $ 360.18 $1,000 had been transferred in 1974 for fire truck renovation and only $639.82 spent in 1975 & 1976. Balance should be transferred back to clear the account. Sewer & Water 1976 S & W Debt 1976 Special Redemption Fund $15,656.04 Transfer unused portion of Assmt. Fund bond proceeds to debt retire- ment fund. Capital Outlay Street Fund $42,990.00 For purchase & rental of Revolving Fund Elgin Street Sweeper. 10. Approval of Minutes. Motion was made by Fran Fair, seconded by Phil White and unanimously carried to approve the Minutes of the Regular Meeting held October 22, 1979, as presented. 11. Consideration of Purchasing Additional Equipment for the Public Works Department. Public Works Director, John Simola, recommended to the Council that two pieces of equipment be purchased by the City. Included in the 1980 budget was $12,000 for the purchase of a used road grader, and approximately $7,900 for the purchase of a new tractor/snowblower/mower for the park system. Mr. Simola indicated that himself and Roger Mack have looked at numerous road graders throughout the State of Minnesota and recommended that a 1963 Austin -Weston 6 -wheel drive road grader be purchased from a dealer in North Mankato for $9,995. This grader would be available for delivery approximately February of 1980 and an additional $4,000 would be needed for a V -plow and wing attachment. Motion was made by Fran Fair, seconded by Dan Blonigen and unanimously carried to approve the purchase of the Austin -Weston Road Grader in the amount of $9,995 with an additional $4,000 for a plow and wing attachment. It was also noted by the Public Works Director that should the City want to rent a road grader before delivery of the one in 1980, the dealer would have one available to rent at $450 per month. COUNCIL MINUTES 11/13/79 Motion was also made by Ken Maus, seconded by Dan Blonigen and unanimously carried to authorize the purchase of a 1980 Bolens 24 -horse diesel tractor/ snowblower/mower attachment from Fleet Supply Company of Annandale in the amount of $7,900. 12. Miscellaneous. A meeting was scheduled for Wednesday night, November 28, 1979 at 7:00 P.M. in the City Hall to meet with the City Employees regarding the 1980 salary negotiations. Meeting adjourned. Rick Wolfst ler, Administrative Assistant RW/ns - 7 -