City Council Agenda Packet 10-11-2004
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Mayor:
AGE nA
REGULAR MEETING - MON ICELLO CITY COUNCIL
Monday, October 11, 2004 - 7 p.m.
WORKSHOP 5:30 PM. - 2005 BIJDGET
Bruce Thielen
Council Members:
Roger Carlson. Glen Posust'-, Robbie Smith and Brian Stmnpf
1. Call to Order and Pledge of Allegiance.
2A. Approve minutes of September 27,2004 re ular Council meeting.
B. A pprove minutes of September 27, 2004 St ategic Planni ng Workshop meeting.
3. Consideration of adding items to the agend' .
4. Citizen comments, petitions, requests and c mplaints.
5. Consent agenda.
A. Consideration of ratify new hires an departures for MCC and Liquor Store.
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1.
Consideration of renewing lease agr ements with Monticello Food Shelf' and Christian
Social Services.
Consideration of resolution declarin intent to reimburse project costs through future
bond sale proceeds.
Consideration of a request to rezone from PZM(Performancc Zone Mixed) to PS
(Public/Semi-Public). Applicant: C ty of Monticello Public Works.
REMOVED FROM AGENDA
Consideration of a request for a con itional use permit to allow for open and outdoor
storage for a drywall supply facility n an 1-2 District. Applicant: Wallboard, Inc.
Consideration of a request for a con itional use permit for a 41 unit residential concept
stage planned unit development in a PZM District. Applicant: UP Development.
Consideration of a request for a con itional use permit for retail commercial sales in a
PZM District and a request f()r an a endmcnt to the Monticello Zoning Ordinance to
allow limited production as an acce sory use in a PZM District. Applicant: Structural
Buildings/ AST Sports.
Consideration of award of contract f)r Trinity Lutheran Church storm sewer
improvement.
City of Monticello
Council Agenda
October 11, 2004
Page 2
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1. Consideration of calling for public earing on the Wellhead Protection Plan Part II for
the City of Monticello.
Consideration of a resolution caBin for a public hearing on the issuance of notes by
the City of Mi laca on behalf of Cent al Minnesota Diagnostic Incorporated for the
~ L , . purchase of hospital equipment.
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~ :~ Consideration of items removed from the c nsent agenda for discussion.
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Review of bids and consideration of awardi g contract for TH 2S/School Boulevard Traffic
Signal, Project No. 2004-19C.
Consideration of otTer to purchase property in Jefferson Commons - Applebee's
9. Adjourn.
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MINUTES
REGULAR MEETING - MONTICELLO CITY COUNCIL
Monday, September 2 ,2004 -7 p.m.
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Members Present:
Roger Carlson, Glen Pos Ista, Robbie Smith, Brian Stumpf and Bruee
Thielen.
Members Absent:
None
1. Call to Order and Pledge of Allegiance.
Mayor Thielen ealled the meeting to order at 7 p.m. and declared a quorum present. The Pledge of
Allegiance was said.
2A. Consideration of a .
the minutes of he Se tember 13 2004 re ular Council meetin .
ROBBlE SMITH MOVED TO APPROVE THE MINUTES OF THE SEPTEMBER 13,2004
REGULAR COUNCIL MEETING. GLEN P SUSTA SECONDED THE MOTION. MOTION
CARRIED UNANIMOUSLY.
28. Consideration of a
tember 13 2004 S ecial Meetin .
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ROGER CARLSON MOVED TO APPROV THE MINUTES OF THE SEPTEMBER 13, 2004
SPECIAL MEETING. BRIAN STUMPF SE ~ONDED THE MOTION. MOTION CARRIED
UNANIMOUSL Y.
BRIAN STUMPF MOVED TO ADD AGENDA ITEMS #9(AGREEMENT WITH MNDOT
FOR INSTALLATION OF TRAFFIC SIGN LS AT TH 25/SCHOOL BOULEV ARD) AND #10
(AWARD mDS FOR 1~94 WATERMAIN ROSSING PROJECT NO. 2004-lOC AND
MEADOW OAK PARK STORM SEWER UTLET PROJECT NO. 2004-09C) TO THE
CONSENT AGENDA. ROGER CARLSO SECONDED THE MOTION. MOTION CARRIED
UNANIMOUSLY.
3.
Consideration of addin
Glen posusta asked that the City Engineer p ovide an update on the progress of the Core Street
Reconstruction Project.
4. re uests and com laints.
Mayor Thielen explained the purpose ofthe citizen comment portion of the agenda. There was no
one present who spoke under citizen input.
5. Consent ag:enda.
A.
Consideration of ratifying new hires and departures for MCC. Recommendation: Ratify
the hires and departures as identifie .
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Council Minutes - 9/27/04
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B.
Consideration of approving temporary iquor license for wine tasting event at the
Monticello Community Center. Reco mendation: Approve a temporary on-sale license
for I-li- Way Liquors for a wine tasting vent on October 29,2004 at the Monticello
Community Center.
C Consideration of an agreement allowin for City use of Xcc\ Energy siren system.
Recommendation: Approve entering 'nto a license and permit agreement allowing the City
to continue using the emergency siren 'ystem for other non-nuclear emergency events.
D Consideration of appointment of elect! n judges for the November 2, 2004 general elcction.
Recommendation: Approve the election judges as listed for the November 2, 2004 general
election.
E Consideration of authorizing and appr ving plans and specifications and authorizing the
advertisement for bids for the constru tion of the Jefferson Commons detention pond.
Recommendation: Adopt a resoluti n authorizing plans and specifications, approving
plans and specifications and authorizi g advertisemcnt for bids for the Jefferson Commons
detention pond.
9. Consideration of approving resolutiOl to enter into agreement with MnDOT for the
installation oftraffie signals at TH 25 School Boulevard. Recommendation: Adopt
resolution approving Traffic Control ignal Agreement No. 87072.
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10.
Review of bids for 1-94 Watermain C ossing, Project No. 2004-IOC and Meadow Oak Park
Storm Sewer Outlet, Project No. 200 -09C and consideration of awarding contract
Recommendation: Adopt resolutio awarding hid for [-94 Watcrmain Crossing Project
No. 2004-IOC and Meadow Oak Par Storm Sewer Outlet Project No. 2004-09C to Volk
Sewer and Water Inc. in the mnount l' $175,257.93.
Glen posusta requested that item #5E be ren.oved from the consent agenda for discussion.
GLEN POSUSTA MOVED TO APPROVE THE CONSENT AGENDA WITH THE ADDITION
OF ITEMS #9 AND #10 AND THE REMO AL OF ITEM #53. ROGER CARLSON
SECONDED THE MOTION. MOTION C RRIED UNANIMOUSLY.
6. Consideration of items removed from the consent a enda for discussion.
#5E(Construction of detention pond-Jeffers n Commons). Glen Posusta questioned why the City
was paying for the construction of the deten ion pond and asked whether the pond was for all of the
lots in the plat. City Engineer, Bret Weiss i dicated the detention pond was a trunk improvement
which will serve a good share ofthe devclo ment area as well as some property to the south and
will be financed from storm sewer trunk ch rges.
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GLEN POSUSTA MOVED TO ADOPT A RESOLUTION AUTHORIZING AND APPROVING
PLANS AND SPECIFICATIONS AND A THORIZING ADVERfISEMENT FOR BIDS FOR
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Council Minutes - 9/27/04
TIlE JEFFERSON COMMONS DETENTIO POND. BRIAN STUMPF SECONDED THE
MOTION. MOTION CARRIED UNANIMOJSL Y.
7.
Public Hearin
Court.
and Wolters Circle to Dee an
City Administrator, Rick Wolfsteller, provide background information on this item pointing out
that the proposed street name change would bing the Prairie Ponds plat into conformance with the
County's grid system for addressing.
Mayor 'rhielen opened the public hearing on t e street name change fi:om Wolters Way and Wolters
Circle in the plat of Prairie Ponds to Deegan ourt. No one spoke for or against the proposed street
name change. Mayor Thielen then closed the, ublic hearing.
Public Works Director, John Simola, indicate that he had spoken to the property owner of the
Prairie Ponds plat and the property owner stat d he did not have a problem with the proposed street
name change.
BRIAN STUMPF MOVED TO ADOPT AN RDINANCE CHANGING THE STREET NAMES
IN THE PLAT Of PRAIRIE PONDS FROM WOLTERS WAY AND WOLTERS CIRCLE TO
DEEGAN COURT. ROBBIE SMITI I SEC NDED THE MOTION. MOTION CARRIED
UNANIMOUSL Y.
8.
Consideration of a ointments to the Joint Plannin 'J Board as set forth in Joint A reement
OA-I061.
The annexation settlement agreement with M nticello Township called for the establishment of a
Joint Planning Board consisting of two repres ntatives from the City and two representatives from
the Township and one member of the Wright ~ounty Board. The purpose ofthe Joint Planning
Board is to act on land use issues such as rezo ling, conditional use permits, variances for those
properties lying within the annexation agreem nt area that have not been annexed into the City.
While there has been no land use request at th'5 point, it is desirable to have the Joint Planning
Board established now so that when a land us request comes in the Board is in place to act on it.
The appointments to the Joint Planning Boar would be on an annual basis. Bruce Thielen and
Brian Stumpf indicated their willingness to se ve on the Joint Planning Board.
Glen Posusta suggested that the Council appont individuals who are not up for re-election. It was
poi nted out that this was an annual appointm nt and that at the first of the year appointments to the
Joint Planning Board would be considered ag in.
ROBBIE SMITH MOVED TO APPOINT B UCE THIELEN AND BRIAN STUMPF TO SERVE
ON TI-IE JOINT PLANNING BOARD. RO ER CARLSON SECONDED THE MOTION.
M(JrION CARRIED UNANIMOUSI,y.
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9.
Consideration of a rovin resolution to e ter into a rcement with MnDOT for the
instaUation of traffic si nals at TH 25/Scho I Boulevard.
Approved with the consent agenda with the re ommendation to adopt the resolution approving
Traffic Control Signal Agreement No. 87072.
10. Review of bids for 1-94 Watermain Crossin Pro'cct No. 2004-10C and Meadow Oak Park
Storm Scwer OutJetPro' ect No. 2004-09C nd consideration of awardin contract
Approved with consent agenda with the reCOll mendation to award the project to V olk Sewer and
Water Inc. in the amount of$175,257.93.
11.
ecitications for CSAH 18/1-94Interchan c.
At the last meeting the Council directed Roge Carlson and Bruce Thielen to sit in on meetings with
property owners adjacent to the proposed inte change location to negotiate an assessment agreement
for the cost of the proposed interchange. Thi' meeting took place and while there was an increased
commitment from the property owners it was ot to the $6,300,000 amount that was originally
anticipated. The Council was being asked to ake a determination at this meeting whether to
proceed with plans and specifications for the nterchange project.
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Bret Weiss submitted a memo providing info mation on the interchange project costs. Brei Weiss
said the Fallon Avenue Overpass was pulled rom the project since it is not something that needs to
be done immediately but added it will be nee to be constructed at some future point.
Bret Weiss felt that the negotiations with the roperty owners pushed the property owners as far as
they can go with a financial commitment to t e project. The best case scenario has a $4,000,000
contribution from the City of Monticcllo and another $5,000,000 from trunk funds. The
approximate project cost is $20,000,000. Sr t Weiss addressed the concerns about the right of way
acquisition and the property owners commit ent to the project. He noted that a letter was received
from A VR indicating that the A VR wants to ork with the City to find a relocation site for their
business but this can't be done until the Cou cil makes a decision on whether or not to proceed with
the project. Bret Weiss added that as far as c )st, it will not get any better than what it is now.
Roger Carlson reiterated Bret Weiss's statem nt that the developers have been pushed to their
financial limit and that if the City required m. re financially from them, it was likely they would
walk away from the project. He added the d vclopers did increase their financial commitment from
what they originally stated but just not as hig 1 as the City wanted. Bret Weiss said the developer is
paying 100% of 7th Street and the North-Sou h road and they are providing the right of way for 7th
Street. He also noted that if the right of wa cost goes up this increase wi Il be renected in
MnDOT's share of the project cost and any 'onstruction cost excess would be shared by MnDOT.
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Glen Posusta asked if the redi-mix plant relo ation cost was factored in? Bret Weiss indicated that
eost was included. Glen Posusta questioned whether these costs were realistic and if A VR was
aware of the estimated costs. Bret Weiss sta cd that they have not gone into negotiations with A VR
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Council Minutes - 9/27/04
and have not shared the appraisal with A VR. Glen Posusta said he was concerned about the
contents in the letter from the attorney f()l" A R. Bruce Thielen stated that he had talked with the
A VR attorney to explain the City's position. When the City has made the decision whether or not
to proceed with the project then the City can it down and negotiate with A VR. Glen Posusta said
he understands what happens once things get into the staff loop and he didn't see how the City could
go forward with this project without knowing these costs and without holding a public hearing. Ile
stated he has issues with going forward with his at a cost of $7,000,000-$1 0,000,000 without at
least having input from the residents. He fel that the developer should be paying for this cost.
Bruce Thielen said the City will benefit from his improvement just as they did with the TH 25
improvement. The Council has been looking:at the interchange for a number of years. The question
is whether the oppOliunity to get the intercha ge will be any better in the future than it is now.
Bruce Thielen noted that Penning A venue has been designated by the County as an arterial street.
That and the construetion of the interchange ould help move traffic through the City as it would
take traHic volume oil ofTH 25. Bruce Thielen noted while the projeet cost is large, the City docs
have commitments from MnDOT, Wright Co mty and the developers.
Glen Posusta cited the signal installation at T 25 and School Boulevard as a project henefitting the
City but the property owners are picking up tl1-. full cost and he said this is an example of how the
property owners ahutting the proposed interch- 1ge area are being treated differently than other
property owners. He questioned why the City was not looking at other designs for the interchange.
Bret Weiss said while this project, if not done lOW, can come back in the future MnDOT will not
come back with a $4,000,000 for their share. fthe City delays this for five years and there is no
change in project cost, the City's share will be $8,000,000. Since MnDOT initiated this project they
have committed to this cost but normally Mn .OT does not fund interchanges. Bret Weiss felt the
developers were "seed" money for this interch nge. Bret Weiss said while this is a lot of money
there are many communities who would like t be in the City's position. Without the interchange
you have to do the Fallon Avenue Overpass w ich is $3,600,000 without right of way cost. Glen
Posusta said if the City would cut other taxes Isewhere he could support it. Bruce Thielen pointed
that the devclopment that takes place as a resul of this would generate tax revenues.
Glen Posusta stated that the City does not look at things equally. He stated that the City is picking
up 1/4 the cost of the interchange and they did ot do that on the TH 25 improvements.
Steve Langer, Vice President of A VR spoke to the Council. He stated they would like their business
to remain in the City. However, he did not fee that the City shared a desire to have their firm
remain in Monticello. He stated that the threa of condemnation prompted him to involve an
attorney. Bruce Thielen stated that up to this oint there has not been clear direction given to the
staff and noted that if a determination is made t proceed with the project negotiations can then
commence with A VR. Mayor Thielen felt conldent the City could work with A VR to find a site for
their business. Glen Posusta expressed his co cern that the Ryan and Streeter Companies had not
committed anything in writing. Rret Weiss no ed that a draft of an assessment agreement has been
prepared by the City Attorney.
There was some discussion on the proposed reI cation sites t()l" A VR. Bret Weiss indicated that the
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City's concern was the amount of truck traHic oing down Chelsea Road. AVR indicated that the
Back Yard site on TH 25 was questionable bee use of the difficulty loaded cement trucks would
have accessing onto TH 25. Bret Weiss noted hat MnDOT was looking at acceleration lanes on TH
25. Glen Posusta said he didn't understand wi y City stafTwas trying to tell these people where
they should relocate. City stafT responded that they had given A VR options based on parameters
A VR set. Bret Weiss felt locating to the indu,trial park site might present more traHic concerns
than relocating along TH 25 does.
Brian Stumpf suggested that if the project proc eds, a number of councilmembers should sit in on
the negotiations with A YR. Glen Posusta and: ruce Thielen indicated they would be willing to do
that. Brian Stumpf also commented that althQ gh the project cost is high there is spinoff
development that has to be considered as well.
BRIAN STUMPf MOVED AUTHORIZE TIT ENGINEER TO BEGIN PREPARATION OF
DESIGN FOR THE INTERCHANGE PROJE :T AS OUTLINED IN MEMORANDUM OF
SEPTEMBER 27,2004. ROGER CARLSO SECONDED TlIE MOTION WITH THE
COMMENT THAT' I S A CONSIDERABLE MOUN'f OF MONEY BUT IT WOULD
GENERATE A HUGE RETURN ON THE VESTMENT AND l-lE AGREED THAT THE
SPINOFF DEVEl,OPMENT WOULD BE CC NSIDERABLE.
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Glen Posusta questioned why the City was pro eeding on only a verbal commitment from the
property owners. The City has not built any r ad in Monticello without requiring a written
commitment. Bret Weiss stated that a written commitment will be in place and brought back to the
Council.
BRIAN STUMPF AMENDED HIS MOTION TO AUTHORIZE THE PREP ARA nON Of
PLANS AND SPECIFICATIONS SUBJECT 0 WRITTEN WAIVER OF ASSESSMENTS
fROM RYAN COMPANIES AND SHA WNWEINAND. ROGER CARLSON SECONDED THE
MOTION. MOTION CARRIED UNANIMO JSL Y.
Robbie Smith commented that previously he J uestioned the amount of the commitment by the
developers but in talking to residents they had expressed the belief that this was part of the cost of
development.
12. Approve payment of bills for September.
BRIAN STUMPF MOVED TO APPROVE P .. YMENT OF TIlE BILLS. ROBBIE SMITH
SECONDED TilE MOTION. MOTION CA RIED UNANIMOUSLY.
Added Items:
Bret Weiss provided an update on the Core Street Pr ject. The wear course will be going down on most
streets. One area in question is the area of the propo ed Wal-Mart development. Because of the
development they may not want to put the wear cour e down in that area. Glen posusta asked that when
the area of Sandberg Road is done ifthcy would do s)me patch work in the are of Purcell's. Public Works
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Council Minutes - 9/27/04
will take care ofthe patching work.
Rick W olfsteller asked when the Council would like t set another budget workshop. The Council set
Monday, October 25,2004 at 5:30 for the budget wor shop meeting.
Brian Stumpf brought up consideration of increasing t e compensation for Mayor and Council. Any
increase in compensation would have to done in an el ction year. Rick Wolfsteller indicated it had been ten
years since the last increase in compensation. At this ime the Council did not want to consider an increase.
13. Adjourn
ROBBIE SMITH MOVED TO ADJOURN A 8 P.M. BRIAN STUMPF SECONDED THE
MOTION. MOTION CARRIED UNANIM USL Y.
Recording Secretary
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MIN TES
SPECIAL MEETING - MO . TICELLO CITY COUNCIL
Monday Scpte her 27, 2004
5:30 .m.
STRATEGIC PLA NING SESSION
Mayor:
Bruce Thielen
Counci I Members:
Roger Carlson, Glen Posu. ta, Robbie Smith and Brian Stumpf
1. Call to Order
Mayor Thielen called the meeting to order t 5 :30 p.m.
2.
Bruce Thielen explained the purpose of the meeting which is to outline a process for doing
strategic planning for the City. Also atten ing the meeting were Bill Joynes and Sharon
Klumpp from Springsted and Mike Moriari y and other representatives from Heritage
Development.
With the annexation agreement in place, th City is facing certain development pressure and
the Mayor felt the City needed to look at doing some long term planning. The components of
the strategic planning would include update of comprehensive land use plan and
comprehensive utility and transportation pi ns; goal setting and human resources.
Bill Joynes explained the process they woul utilize to put in to place a visioning statement and
a strategic planning process.
Representatives from Heritage Developmen: were present to let the Council know of their
proposed development in Monticello encon passing 800 acres. They presented a preliminary
layout of the proposed development and ga e some background information about their
company and the areas they have been deve oping in. There was some discussion on the
proposed devcIopment. The developers tho ght the City was getting a good value by doing
comprehensive planning for a large area. B uce Thielen felt that the potential for this kind of
development illustrates the need for the Cit to do some long term planning.
Bruce Thielen stated this is an example oft e development pressure the City is experiencing.
He felt it was important for the City to do pI nning now to prevent future problems. lIe felt
that the rapid growth and potential develoPl ents could be overwhelming for staff unless they
have plans in place to help them deal with t e growth. Rill Joynes said the City could react to
the development as it occurs or be proactive. In going through development you have to know
what the impact of that development will be What is going to be the impact on transportation,
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Council Minutes Special meeting - 9/27/04
utilities, park system and staffing needed t handle the demands created by growth. The
planning process will also give the City an )pportunity to see what happens if certain factors
occur. The annexation agreement created' real pressure for development and because
Monticello is in a prime growth area there as already a pressure for development. Now
before development takes place is a good ti ne for the City to look at what they want the City to
be like in 5-10 years.
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Bill Joynes stated that part of the process i getting community input. In the proposal
presented they include a community surve of what residents want to see. These decisions will
generate the projects and the City will then need to prioritize them.
Part of the dilemma stall faces without hay ng the planning documents in place is that there is a
development push from all sides. Does tis development pattern continue or should the City
focus on development in one area. It was oted that most of the development in the City has
been occurring in increments of 40-80 acre . Is this the size they want to continue with or can
800 acre developments be handled.
Glen Posusta questioned why the develope s weren't paying for the cost of the studies. If the
infrastructure is needed lor the developme t the developers should be picking up the cost. Bret
Weiss explained the comprehensive studie were to help the City do long range planning. The
individual studies necessary for planning u ilities and streets for a development are costs that
arc picked up developers.
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Bruce Thielen stated the long term plannin would involve input from the Township as well as
residents of the City. Robbie Smith stated e like the idea that the process included input from
the community overall. It was suggested at maybe in the planning process, if Springsted
was selected to this study, they could meet ith developers and business owners without the
Councilor staff present to delve into the is.He of whether the City was difficult for developers
and business owners to work with. Bill Jones said that it was difIicult for communities to try
to stop growth hom taking place so the bes. they can do is hope to manage it. Roger Carlson
stated that when the planning process was one in 1997 this information was kind of thrown at
stafl without direction or resources for imp ementing it.
Springsted will put together a work plan, a ime frame for completing it and an estimated cost
for the project. The Council can then deci e which items to pursue. Rick Wolfsteller asked
about getting community input and ifthere's a portion of the study that needs to get done first.
It was felt that the City needed a land use p an and infrastructure information so that there arc
specific items to talk about and prioritize.
Glen Posusta asked about the capacity that emained at the wastewater treatment plan. John
Simola stated that at the present rate of gro h they would anticipate an upgrade would be
needed in g years. If the growth explodes, it could be sooner. Bret Weiss said when the
original annexation area of 11,500 acres wtS looked it was proposed that it could be serviced
by the existing plant with expansions but h cautioned that it all depends on how the land
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Council Minutes Special meeting - 9/27/04
develops. John Simola stated that one is, ue would be whether the City would be allowed
another discharge point on the Mississippi r if they would have to discharge to a body of water
that discharged to the river. He added the lore people the City adds, the more refined the
treatment process has to be in order to mer the discharge requirements of their permit.
Bill Joynes indicated they would have a pr posal for the October 11, 2004 meeting. A
workshop on the strategic planning proces was scheduled for 5:30 p.m. on October 11,2004.
3. Adiourn
'fhe workshop was closed at 6:30 p.m.
Recording Secretary
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Council Agenda - I 0111/04
5A. Consideration of a
new hires an de artures for MCC and Li uor Store (RW)
A. REFERENCE AND BACKGROUND:
The Council is asked to ratify the hiring and departures of employees that have occurred
recently at the MCC, and Liquor Store. As you recall, it is recommended that the Council
officially ratify the hiring of all new employe s including pat1-time and seasonal workers.
B. AL TERNA TIVE ACTIONS:
I. Ratify the hiring of the employees a identified on the attached list.
C. SUPPORTING DATA:
Lists of new employees.
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NEW EMPLOYE S
Name Title Depar ment Hire Date Class
Holub, Riley Slide/Wall MCC 9/22/2004 part-time
White, Justin Slide Attendant MCC 9/29/2004 part-time
TERMINATING EMPL DYEES
Name Reason Depar ment Last Day Class
Daniel, Patricia voluntary liquor 10/1/2004 part~time
Dullinger, Kristina M. deceased MCC 9/14/2004 part-time
employee councillist.xls: 10/6/2004 5
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Council Agenda - 1 0/11/04
5B.
Consideration of renewin
Social Services. (R W)
ts with Monticello Food Shelf and Christian
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A. REFERENCE AND BACKGROUND:
Tn November 1992. the City agreed to a ten ear lease of the old fire hall/city hall complex
allowing the food shelf and social services t use the facility at basically no charge. The
agreement indicated $1 annual rent with the organizations being responsible for normal
maintenance and repairs and the City respo sible for the main structure.
The leases technically expired November 2 02, and were not renewed at that time as we were
uncertain how much additional room the D puty Registrar's office might need in that building
and we didn't want to commit to a long ten lease without knowing that first. It appears at the
present time that the Deputy Registrar's Of ice as remodeled should be sufficient for the near
term use and continuing with the lease arm gement for these organizations can be considered.
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A couple of minor changes arc recommend din the lease agreement that further define what type
of maintenance and repair responsibility sh uld be the responsibility of the tenants. In other
words, since the City is only leasing the fac lity for $1 per year, the past agreement has been that
the food shelf and social services should be responsible for the smaller maintenance and repair
items like furnace checkups, broken windo s, while the City would just be responsible for the
main building structure. At this time it is a so recommended that the term of the lease be reduced
to five years and can certainly be renewed i the future if there is not a need for the City use of
any or all of the building.
One issue the Council should be aware is t at we have included in the 2005 budget $25,000 for
exterior renovations to this building, such s new siding or paint or stucco. Depending on the
type ofrepair that would be chosen, it is likely that the City will spend $10,000-$25,000 or more
to remodel the exterior. If the Council feel it is necessary to recapture some of this cost from the
food shelf or Christian Social Services, YOl may want to discuss the lease terms further. Since
the food shelf and/or the social services are operating on a limited budget. T am assuming that
they would not have access to very many f nds to help pay for any exterior improvements to the
building.
B. AL TERNA TIVE ACTIONS:
1. Council could approve renewing Ie ses with the food shelf and Christian Social
Services for an additional five year .
2. Council could attempt to re-negoti te terms of the lease conditions.
c.
STAFF RECOMMENDATIONS:
.
Although the City is faced with spending $25,000 or more f(Jr exterior repairs to the building, I
am assuming that the organizations leasin from the City would not be able to contribute funds
towards this exterior cost. As a result, sin e the Deputy Registrar's OiEce appears to be
operating with sufficient capacity at this ti le, I recommend continuing the lease terms for five
years as outl ined under Alternati ve # 1.
.
.
.
Council Agenda - 10/11/04
D.
SUPPORTING DATA:
Copy of proposed lease agreements.
.
This lease, made and entered into this day of November, 2004, by and between the City of
Monticello (hereinafter referred to as Lessor) and onticello Christian Social Services (hereinafter
referred to as Lessee).
Lessor leases and lets to Lessee that part of the pr mises situated at Monticello, Minnesota, more
particularly described as follows:
That portion of the building located at 213 ~edar Street containing 1,571 square feet
as described in Exhibit A attached hereto. Legal description is Lots 4 and 5, Block
34, Original Plat, City of Monticello, Min esota.
for a period of five (5) years commencing Novem er 2004 and ending on November 2009 unless
otherwise earlier terminated as provided herein, 01 the following terms and conditions:
1. Lessee agrees to pay, without dema ld by Lessors, as and for rent the sum of $1.00
annually provided, however, that in 'ase said premises, without fault or neglect on the
part of the Lessee, is destroyed or isso injured by the elements or any other cause as
to be untenable or unfit for occupancy, Lessee is not liable thereafter to pay rent to
said ~essors; and the Lessee shall t ereupon quit and surrender possession of said
premIses.
2. Ouiet Enioyment. Lessors covena t that on paying the rent and performing the
covenants herein contained, Lessee s all peacefully and quietly have, hold, and enjoy
the demised premises for the agreed term.
3.
Use of Premises. The demised prem ses shall not be used by Lessee for any purpose,
though wholly legal, other than for he purpose of operating a non-profit charitable
clothing center.
.
4. Alterations and Improvements. Les ee shall make no alterations to the buildings on
the demised premises or construct a y building or make other improvements on the
demised premises without the pri r written consent of Lessor. All alterations,
changes, and improvements built, co structed, or placed on the demised premises by
Lessee with the exception of fixtures removable without damage to the premises and
movable personal property shall, u less otherwise provided by written agreement
between Lessor and Lessee, be the . roperty of Lessor and remain on the demised
premises at the expiration or soonertermination of this lease.
5. Insurance. Lessor shall maintain in urance coverage on the building structure, and
the Lessee shall be responsible for aintaining insurance coverage on any personal
property or contents within leased' ea. Lessee shall also provide and maintain in
force public liability insurance cove age of not less than Three Hundred Thousand
Dollars ($300,000.00) and name the L,essor as a co-insured.
6. Waiver of Subrogation. All insuranc policies carried by either party pursuant to this
lease shall contain clauses by which the insurer waives all subrogation rights which
it may have against either party heeto and against their respective insurers. The
parties hereto, on behalf of themse ves and their respective insurers, waive such
subrogation rights. In addition to th foregoing, the Lessee agrees to name Ijessor as
an additional insured on any insuran e policies required hereunder.
7.
Hold Ilarmless. Lessee shall hold L ssor harmless from any damage sulTered by any
person arising out of Lessee's use r control of leased premises and shall defend
.
CHRISTIAN.LSE: 10/04/04
S~
Page 1
.
.
.
Lessor against any claims against L.. ssor arising from Lessee's use or control over the
leased premises.
8.
Taxes. Lessor will be responsible for the real estate taxes during the terms of this
lease.
9. Assignment and Subletting. Le see shall not assign this lease or sublet any
concession or license to use the p emises or any part thereof. Any assignment or
subletting without written permissi n of Lessor shall be void, and the lease shall, at
Lessee's option, be terminated in c mpliance with the default provision herein.
10. Termination. Lessee agrees to giv lessor thirty (30) days written notice before the
expiration of this lease of L,essee's ntention to vacate at the end of this lease.
If the demised premises, or any p< rt thereot: shall be partially damaged by fire or
other casualty, the Lessor, at its option, may terminate this lease prior to the
termination date. Lessee shall not eek damages or contribution from the Lessor f{)r
any ~amages incurred as a result of Lessor's decision not to repair/rebuild the
premIses.
11. Utilities. Lessee shall be responsi Ie for all utility costs associated with the leased
premises, including heat, electric it , sewer, and water.
12.
Maintenance and Renair. I "essee hall be responsible for all normal repairs and
incidental maintenance of the lease space, including, but not lim ited to such items
as annual furnace and air concliti ning checkups; miscellaneous adjustments to
equipment, doors, windows; miseel aneous small repairs, leaky faucets, water heater
adjustments, incidental painting and finishing, cleaning. Major mechanical equipment
repairs and/or replacement require during the lease shall be subject to negotiation
between lessor and lessee, dependi g on the expected life of equipment repaired or
replaced, pro-rated over lease term. Lessor shall keep the exterior of the premises in
reasonable repair during the term ofthe lease and shall maintain the common parking
areas of the premise. Lessee shall be responsible for maintenance of sidewalks
adjacent to premises.
13. Right of Entry. Lessor and LessOl's agents reserve the right to enter the demised
premises during normal business ho rs or by appointment during the term of this lease
and any renewal thereof for the pur ose of inspecting the premises and all building
improvements thereon and whenever necessary to make repairs and alterations to the
demised premises.
14. Surrender of Premises. At the expir tion of this lease, Lessee shall quit and surrender
the premises hereby demised in as good a state and condition as they were at the
commencement of this lease, reas nable wear and use and damage by elements
excepted.
15. Default. If any default is made in p yment of rent, or any part thereof, at the times
herein before specified, or if any d, fault is made in performance of or compliance
with any other term or condition her ot: the lease, at the option ofthe Lessor, may be
terminated. Lessee agrees to pay all l' Lessor's costs, including reasonable attorney's
fees, in the event legal action is nee ssary to obtain possession of the premises.
16. Applicable Law. Lessee shall a ide by all applicable statutes, administrative
regulations, and ordinances coverin IJessee's use ofthe property. This lease shall be
construed according to the laws of t 1e state of Minnesota.
CIIRISTIAN.LSE: 10/04104
Page 2
S(~
.
.
.
17. Heirs and Assigns. The covenants a, d conditions herein contained shall apply to and
bind the heirs, legal representativ s, and assigns of the parties hereto, and all
covenants are to be construed as co ditions of this lease.
IN WITNESS WHEREOF, the parties hereto ave executed this leasc this...__ day of
,2004.
ity Administrator, Lessor
onticello ChrE;'"iTiil'Social Services,
'essee
CIIRISTIAN .LSE: 10/04/04
s \5
Page 3
.
.
.
STATE OF MINNESOTA)
ss.
COUNTY OF WRIGl-rr )
On this day 0(.. ._ ~..._, 2004, before me personally appeared Rick
Wolfsteller to me known to be the person deserib d in and who executed the foregoing instrument
and acknowledged that he executed the same as his tree act and deed.
STATE Of MINNESOTA)
ss.
COUNTY OF WRIGHT )
otary Public
On this day of , 2004, before me personally appeared
-- to me know to be thc person described in and who executed
the foregoing instrument and ackllowledged that e executcd the same as his free act and deed.
CHRISTIAN.LSE: 10/04/04
otary Public-
S~
Page 4
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.
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Council Agenda - 10/11/04
Consideration of resolution dcclarin
bond sale proceeds. (R W)
t to reimburse ro . cct costs throu h future
A. REFERENCE AND BACKGROUND:
IRS regulations require that before a City can issue bonds to reimburse itself for project
expenses it has already paid, a resolution nee s to be passed indicating that it might be the
City's intent to sell bonds in the future to COy r those costs. This resolution should he adopted
prior to incurring such costs as design fees, fe sibility reports and actual construction expenses.
The resolution being proposed covers the CS H 18/1-94 Interchange Project and related
improvements where authorization has been reviously given to the City Engineer to begin
design work. This resolution will allow theity to finance this improvement with a future
hond sale, but adoption of the resolution is no authorizing a bond sale at this time.
B. ALTERNA TIVE ACTIONS:
c.
1. Adopt a resolution declaring intent to eimburse expenditures through a future hond sale
for this project.
2. Do not authorize a resolution.
STAFF RECOMMENDATION:
It is the recommendation ofthe City Adminis rat or that the resolution be adopted as proposed,
thus enabling the City to sell bonds to finance the interchange project if it proceeds on schedule.
D. SUPPORTING DATA:
Resolution.
.
.
.
RESOLUTION NO. 2004-75
RESOLUTION DECLARING THE OFFICIAL INTENT OF THE
CITY OF MONTICEL 0 TO REIMBURSE
CERTAIN EXPENDITURE' FROM THE PROCEEDS
OF BONDS TO BE IS, UED BY THE CITY
WHEREAS, the Internal Revenue Service has iss led Treas. Reg. 9 1.150-2 providing that
proceeds of tax-exempt bonds used to reimburse rior expenditures will not be deemed spent
unless certain requirements arc met; and
WHEREAS, the City expects to incur certain exp nditures which may be financed temporarily
from sources other than bonds, and reimbursed fr m the proceeds of a bond;
NOW, THEREFORE, BE IT RESOLVED BY TIlE CITY COUNCIL OF THE CITY OF
MONTICELLO (THE "CITY") AS FOLLOWS:
1. The City reasonably intends to make expe ditures for the projects described in Exhibit A
(the "Projects"), and reasonably intends to reimburse itself for such expenditures from the
proceeds of debt to be issued by the City i the maximum principal amount described in
Exhibit A.
The City Administrator is authorized to d signate appropriate additions to Exhibit A in
circumstances where time is of the essenc , and any such designation shall be reported to
the Council at the earliest practicable date and shall be filed with the official books and
records of the City as provided in Section
2.
3. This resolution is intended to constitute a eclaration of official intent for purposes of
Treas. Reg. 9 1.150-2 and any successor 1, w, regulation, or ruling.
Adopted by the City Council of the City this 11 th ay of October, 2004.
ATTEST:
City Administrator, Rick Wolfsteller
Mayor Bruce Thielen
s~
.
.
.
Resolution No. 2004-75
Page 2
F:XH BIT A
TO O~'FICIAL IN ENT RESOLUTION
ADOPTED 0 TOBER 11, 2004
MAXIMUM
jpRINC'IP AL
A.'l\1:JPUNTOF DEBT
ti,OR PROJECT
$24,950,000
SG
City Council Agenda - 10/11/04
.
5D.
in from the PZM District to PS Public-
of Monticello Public Works De artment.
A. REFERENCE AND BACKGROUND
The Planning Commission reeommen. ed approval of the rezoning based on a 3-
, -
1 majority. The Planning Commissio recommended approval of the rezoning
with the request that the proposed bu lding design and materials be consistent
with the character of the surrounding neighborhood as much as possible. As
such, the Commission recommended hat the proposed garage include asphalt
shingles and provide appropriate scr ening and landscaping treatments.
Commissioner Dragsten dissented, ex ressing concern that the use did seem to
be more industrial in nature and indi ated that expansion of the use may not be
suitable in a residential area.
.
The City of Monticello is seeking appro al of a rezoning to allow the construction of
an ofTice and garage building on a site a TOSS County Highway 39 from the main
Public Works facility. The rezone requ st would also include the existing Public
Works properties/facilities within the ar a identified on the parcel map. The building
would house a front ofTice building as a "Water Meter Shop", with a larger rear
portion for storage of equipment and m terials for water and sewer maintenance. 'rhe
proposed building plan shows the Wate Meter Shop at approximately 676 square
feet, and the storage area as 3,200 squar feet.
The site is currently zoned PZM. Staff as recommended a change in zoning to P-S,
Public-Semi Public to reflect the gover mental use of the City property in the area.
In the Public-Semi Public District, "stn' tures necessary for the health, safety, and
general welfare of the community" are 'Uowed as permitted Uses. To consider a
rezoning, the Planning Commission mu't tind that the proposed zoning use is
consistent with the City's Comprehensi e Plan, generally requiring a finding that the
use is compatible with present and futu:e land uses in the neighborhood.
.
The public works representatives sugge t that the design of the building will not
contrast significantly with other buildin s and uses in the neighborhood. There arc a
mix of uses in the area, including reside 1tial to the east and south, and utility uses to
the west and north. The proposed facili y is a steel sided structure with a gable-style
asphalt shingle roof. The plans show tl at a brick "wainscot" would be provided
along the Water Meter Shop, and along ,the side containing the garage doors. The
building is proposed to be of pole-type' onstruction.
I
I
I
The site plan appears to meet all requir ments of the PS District. To ensure
compatibility with the residential areas 0 the south and east, planning staff would
recommend additional landscape planti gs along the south and east property lines.
Because a future building addition to th south would help future screen the parking
.
.
.
City Council Agenda - 10/11/04
and driveway areas, and existing vegc' ation obscures direct view, small plant
materials would be appropriate, allow ng time for growth.
B.
ALTERNATIVE ACTIONS
1. Motion to approve the Rezoni g for the Monticello Public Works facility,
based on a finding that the use meets the conditions in the zoning ordinance
for rczoning, subject to thc fol owing condition:
a. Additional landscape p antings are provided along the east and south
property lines to enhan 'e with buffering from nearhy residential uscs.
b. The roofing material f r the proposed building consist of asphalt
shingles.
2. Motion to deny the rezoning, ased on a finding that the proposed use is not
compatible with the adjoining lcighborhood, and docs not mcct thc conditions
listcd in thc zoning ordinancc.
C.
STA~'F RECOMMENDATION
Staff rccommends approval of the rez ning as proposed, with thc additional
landscape buller and building treatme ts as recommended. Public works has
prepared a conccpt sketch illustrating he additional landscaping that we would
recommend as a supplement to the exi ,ting plan. With this change, the proposal
should meet the conditions of the rezo ing provisions of the zoning ordinance.
D.
SUPPORTING DATA
A. Aeriallmagc
B. Site Location Map
C. Site Plan
D. Building Plan
E. Typical Building Photo
F. Public Comment Letter - Westc llo Apmiments
PROPOSED ONE A RE BUILDING SITE
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Residential Property
Managemen t for
Institutional
~ Individual Investors
Septemb r 24, 2004
-
City Council of Monticello
Monticello City Hall
505 Walnut Street, Suite #1
Monticello, MN 55362
RE: Public Hearing Rezoning Request by City of onticello Public Works
909 and 918 Golf Course Road
Dear City Council Members:
I understand that the City of Monticello Public Works is requesting a zoning change so that it
can expand its existing Public Works facility. As the immediate neighbor to thc north of the
City's Public Works facility -.. Westcello Apartments I applaud and approve the City's request
to expand.
My reasons are simple. First, the Public Works facilit has been and is kept clean and neat all
the time. Nine years ago, when the City tried to sneak the expansion of the Public Works facility
through, I was not happy with the City's actions. The ity Public Works at this sitc had not kept
clean. In the ensuing years, what I have found is that t e Monticello Public Works facility has
been a very responsible neighbor!
Second, the screening to block the Public Works Facility, done via fencing and trees, has blocked
the view and noise of the facility. If the same is done ith the new expansion on both sides of
the street, 1 bclieve no neighbor wiIl have a problem.
Last, the City has John Simola as the director of Pub lie Works. John's word is a contract. If
John says that the facility will be kept neat, it will. In his day where everything must be written
down it is encouraging to deal with honest people such as John. You have a class act running
the Public Works Department. If he is around, I know he City will be very proud of its facility
and know that its employees work hard, work honestly and reaIIy care about what they do.
To conc:lllde Westcelln Anartments does not nhied to h~ exnansion of the Citv Public Work<;
--- ';.' * . .'.).,.L . '"
We support the expansion ofthe Public Works adjaccn to us and across the street. We know
that our good neighbor will continue to do an exempla job.
///7
\~~
Chris Holl, General Partner
W estcel 10 partments
915,917,9 9 and 921 GolfCoursc Road
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(C PROPERTIES, INC.
28 E, 18th Street
1inneapolis, MN 55403
)[ficc: (612) 870-7503 FAX: (612) 870-0289
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SF.
City Council Agenda - 10/11/04
al Use Permit for 0 en and Outdoor Stora e in
ard Inc. (JOINAC)
A. REFERENCE AND BACKGROUND
i
The Planning Commission reviewed the 11 quest and found it to he consistent with the
conditions as outlined in the code, with t ,e exception of screening requirements. Planning
Commission recommended approval of t . e Conditional Use Permit with the condition
that the applicant provide additional Ian scape screening as noted by staff. There were
no objections to this request heard at the uhlie hearing.
The applicant is seeking approval of a Cond"tional Use Permit to expand the outdoor storage
area as a part of its occupancy of the former Standard Iron bui Iding along Dundas Road in the
J-2 zoning district. Outdoor Storage is allo . ed by CUP, subject to the following conditions:
1" The area is fenced and scree ed from view of neighboring residential
uses or, if abutting a resident al district, in compliance with Chapter 3,
Section 2 [0], of this ordina 'ceo
2. Storage is screened from vie; from the public right-of-way in
compliance with Chapter 3, ection 2 [G], of this ordinance.
3.
Storage area is grassed or su faced to control dust.
4.
All lighting shall be hooded nd so directed that the light source shall
not be visible from the publi right-of-way or from neighboring
residences and shall be in co pliance with Chapter 3, Section 2 [I fl, of
this ordinance.
5. The provisions of Chapter 2 of this ordinance are considered and
satisfactorily met.
The plan shows storage area to be paved wi h bituminous surfacing throughout the rear (north)
and side (east) portions of the property. A I ne of trees is shown along the north and east
property lines, and a chain link fence separ : es the area from the front portion of the site.
i
The plan appears to comply with the zoning regulations generally, however planning staff
would recommend the addition of Spruce Tees along the fence line east of the building, and
along the side property line toward the rear. These trees should be spaces approximately 12
feet on center. This recommendation waul require the addition of approximately IS trees, and
would ensure that the screening requiremen s arc properly met.
B.
AL TERNATIVE ACTIONS
Conditional Use Permit for Outdoor Storag in an 1-2 zoning district.
.
.
.
City Council Agenda - 10/11/04
1.
Motion to approve the Conditional U e Permit, based on a finding that the use meets the
conditions ofthe zoning ordinance, s bject to the following requirements:
a. Addition of 15-20 Spruce Tre s, spaced 12 feet on center, along the fence line
east of the building, and along the side property line toward the rear, to complete
the screening requirements.
2. Motion to deny the Conditional Use Permit, based on a finding that the use is inconstant
with the requirements of the zoning 0 dinance.
c. STAFF RECOMMENDATION
Staff recommends approval of the CUP. The use is allowed in the district, subject to specific
conditions. With the requirements added to t e site plan as noted above, the use should meet
the intent of the zoning ordinance.
D. SUPPORTING DATA
A. Site Location map
B. Site Plan
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Council Agenda - 10/11/04
Consideration of are uest for a Conditi nal Use Permit for Conee t Sta e Planned Vnit
Develo ment for a 41 unit townhome r 'eet in the PZM district. A lieant: VI>
Development. (NAC)
A. REFERENCE AND BACKGROUND
The Planning Commission conducted a p bUc hearing 011 this matter, received no negative
comments from the public, discussed and recommended approval of the concept stage PUD
as noted under Alternative #1. In the otion for support of the project, the Planning
Commission echoed the concerns in the eport regarding establishment of adequate green
space and associated goal of developing superior product. The recommendation by the
Planning Commission is qualified ami re uires the developer to make design mod~/ications
addressing planning concerns outlined in ~ Ie request below.
It should also be noted that as part of thei research on the design of the development. Two
of the Planning Commissioners visited a ery similar project in Brook"vn Park. They both
reported that they thought this type of ho sing and the associated layout would provide a
positive housing alternative.
The applicants are seeking a Concept Stage UD approval for a 41 unit townhouse project.
The current plm1 shows 30 detached units an 11 attached units. Prior to this submission, the
applicants had originally a concept plan for ity review which consisted of detached townhome
units on the site of approximately 6.7 acres, fi rmerJy a part of the Ruff Auto property. The site
is bounded by 6th Street on the north and Elm Street on the west, and abuts the Vine Place
townhomes on the east. An extension of the ublic 6 Y:z Street wil] be required through the
property between the Vine Place project and 1m Street.
The applicants have made revisions to their p evious plans. This is the second revision. As
noted, there are sti II a number of staff concen s. As a new type of project, the City needs to
balance the benefits of the added variety in hO' sing choice with the ability to anticipate future
development design issues. The primary diffe ence between this project and other townhouse
projects is the use of an "alley" design with vi ually no garage setback from the alley, and
reliance on a consolidated open space that ser es as the "front yard" for a number of the units.
The changes to this plan from previous versio s include the iiJllowing:
a. The central open space has been expan ed and extends the full length of the site, rather
than being cut off by rows of units on t e north side.
b. The detached buildings have been mov d slightly farther apart to provide for the
possibility of temporary parking on on side of the alley. The alley itself is ] isted at 28
feet in width - a dimension sometimes sed in the housing industry for two-way trafTic
and parking on one side.
c. To provide for the additional open spac and wider detached building spacing, 11 of the
units on the east side of the project are s own in 3 and 4-unit attached dusters
Several issues were raised with the original project design that are summarized below, with
comments on how the revisions affect those iss es.
.
.
.
Council Agenda - 10/11/04
1. Alley-loaded townhouses leave no riveway space in front of individual unit garages.
This design raises issues of parking accessibility, convenience of access to individual
units, and turning/backing moveme ts from the garages to the alleyway.
The applicants hold to this design based on a lifestyle choice to be made by their future
residents. Their concept relies on a unit de ign that discourages driveway parking, which the
applicants believe results in a cleaner look t the alley. In an attempt to accommodate staff
comments, they have added space within th alley areas for temporary visitor vehicle parking.
Staff would note that a small parking bay h s been provided in the south portion of the project,
and similar such bay should be added to the north.
2. The PUD concept plan and unit desi n is intended to create a central "village green"
onto which the units have their front, or public, exposure, with back alleys and garages
hidden 1[om public view. However, mch of the project does not have exposure to this
area, and most public or visitor expo ure would be to the rear of the units, not the green
space.
The design has been modified from previous versions to create a terminal open space with
either pond or lawn and landscaping with vic s from 6 Y2 Street in both directions. This
change is positive from previous versions of he design. It is still noted, however, that fewer
than half of the detached units have exposure to the central green. In addition, to accommodate
the additional space, the row of units along E m Street appear to be just 20 feet from the street
where a 30 foot setback is required. These u its have no exposure to the common green "front
yard", and their fronts arc now reduced to a 2 foot distance hom the street.
3. StafThad proposed an alternative con ept that mixed detached and attached units in an
attempt to add some variation to the uilding spacing, keep the unit count up to
accommodate the developer's objecti es, and vary the building style. The revised plan
includes 30 detached units and 11 atta hed units in the east portion of the project site.
In the current design, the attached units serve s a sort of transition from the attached
townhouses to the east, and the detached town ouses to the west. Of concern, however, is that
the end units in each of the four-unit clusters ill have accessibility issues _ the sharp angles
prohibit backing out of the driveways in areas nable manner.
Staff continues to have concerns that the use 0 'PUD in this design merely results in a denser
project without the benefits of open space pres rvation. When PUD is used to lessen the
zoning standards, the City's ordinance requires that a specific, tangible benefit results from that
flexibility. The common open space shown on the plan is accessible or visible to only about
half of the units in the project and to accommo ate the larger space, setbacks for units on Elm
(which have no exposure to the common green have been moved to about 20 feet hom the
street.
Planning staff believes that the pursuit of altern tive housing opportunities will lead to a richer
housing environment for the City, and as such, elieves that the concept has merit. However,
the combination of design and density on this si e result in a number of compromises that cause
engineering and public works staff to question t e viability of the project.
.
.
Council Agenda - 10/11/04
Planning staff acknowledges that the dime sions and configuration of the property make it
dif1icult to accomplish all of the following: (1) achieve the developer's density objectives; (2)
retain the standard building plml he propos s; and (3) provide view and access to a significant
open space worthy of the PUD requirements. However, this conf1ict should not result in
abandonment of the PUD purpose. Instead the unit style should be changed, or the lmit count
should be reduced (or both) to fit the dictat s of the site, rather than the other way around.
It is further noted that a number of issues h ve been raised with regard to development
materials and quality that may be important to discuss before Development Stage PUD plans
are prepared. The developer's other project in Brooklyn Park has "hardi-plank" siding that is
painted to provide a durable, but variable fiIished look. 'fhe applicant has suggested that they
expect to change to a vinyl siding in this pro'ect. Secondly, the Brooklyn Park project does not
include curbing along the alley - Monticello's standards would require curbing in this area, and
staff recommends it to control traffic and dr inage.
Finally, the Brooklyn Park project utilizes a "inverted crown" drainage design in the alleys,
flowing storm water to the center of the alley rather to a perimeter curb. This type of design is
not recommended by the City Engineer.
As noted previously, planning staff believes hat this project would be appropriate with just 30
to 35 of the units proposed by the developer, ith the narrow alley design as proposed, an open
space of impressive and attractive proportion' could be accommodated, thus justifying the PUD
f1exibility.
B.
ALTERNATIVE ACTIONS
Conditional Use Permit for a Concept Stage UD for UP Development.
1. Approval of the Concept Stage PU D, ased on a finding that the applicant has proposed
a superior project in design and ameni ies, justifying the use and flexibility of PUD for
this site. This recommendation would be subject to comments relating to engineering
and public works issues to be addresse at the Development Stage PUD application.
2. Denial of the Concept Stage PUD, bas d on a finding that the project does not exhibit
the required level of design and mnenit es required for application of PUD flexibility.
3. Approval ofa Concept Stage PUD that reduces the number of units to 30, with each
unit having exposure on a greatly enla -'-ed common green space.
c. STAFF RECOMMENDATION
.
The staff and P~anning Commission recommen Alternative #1. The project, if adjusted per the
motion #1 could fit the site, and keep the intent of the use ofPUD in place. While the applicant
has made significant modifications to the plan, 'orne issues with the project remain that need to
be addressed during the development stage PU design process.
There is a definite value in encouraging alternat ve housing styles in the community. 'fhe
proposed units have a traditional look and woul complement the City's residential stock in this
area, both in terms of variety and architectural a peal. Although the zero-setback alley design
Council Agenda - 10/11/04
.
raises concerns for some, the aggregation f common open space to be shared by al I of the
residents of the project could become a val able amenity. The problem encountered on this
site, as noted above, is that the design does not accomplish that goal for most of the units as
currently drawn. It is hoped that with a sli ht re-design, the goal of the PUD which is to create
a superior product will be accomplished.
SUPPORTING nATA
A. Site Location Map
B. Site Sketch
c. Brooklyn Park Project Images
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City Council Agenda - 10/11/04
5H. Consideration of a re uest for a Zonm Ordinance Amendment to allow
accesso roduction activities withi: a PZM Performance Zone Mixed zonin
district and a Conditional Use Permi to allow accessor roduction activities
within the PZM District. A Iicant: tructural Buildin slAST Sorts. (NAC)
A. Reference and Backaround.
The applicants are seeking approval of an am ndment to the PZM District that would permit
an accessory processing use of a retail buildin. by CUP, and a Conditional Use Permit for
such a use at their proposed location along Ha Boulevard, east of Hawks Bar.
The Planning Commission recommended appr val of the application, with an adjustment to
the ordinance language to allow up to 40% of t e building for the applicant's processing and
storage use, rather that the 25% proposed in t e draft ordinance. The applicants indicated
that 40% for both storage and processing woul be acceptable.
The original staff report listed 5 specific conditi ns as a part of the ordinance language, and
14 conditions for approval of the CUP requeste by AST Sports. The Planning Commission
recommended adoption of the ordinance (with t e change in size noted above), as well as a
15th condition - prohibition of screen printing. his latter condition was acceptable to the
applicants, in that they indicated they do embro dery and heat transfer, but no printing.
With regard to the original 14 conditions, the ap licants indicated that several of the
conditions were easily met with supplemental pi ns, and they supplied an additional site plan
that appears to address the site planning issues related to parking and circulation. They
indicated that they will work on provision of grading, lighting and additional landscaping plans
that meet the ordinance requirements.
The primary issue relates to the building materi Is proposed for the principal building. The
applicants have proposed a pole building with v rtical steel siding on three sides, and fa<;ade
treatment of stone and cedar on the south side cing County Highway 75. Two of the sides
of the building (east and north) would face the a joining residential area, and have no fa<;ade
treatment other than the steel. Planning Commi sion recommended approval of the building
with the requirement that exterior materials on all exposed sides be comprised of horizontal
lap siding and brick or stone to create a more re idential character building, with less of an
industrial appearance.
After further discussion the applicants have agr ed to install exterior finishes as
recommended by the Planning Commission and !believe that the additional investment in the
building will be recovered at sale. The need for laying attention to exterior finishes is due to
the following:
a. The site is a highly visible site with signific nt exposure to CSAH 75.
b. The site is surrounded by residential uses in the PZM District - intended to
be a transition between residential and co mercial. Industrial buildings would not
appear to be compatible with this site.
c. Other recent commercial development has maintained a high standard of
City Council Agenda - 10/11/04
.
building quality and architectural character. It would appear to be inconsistent with the
recent development to permit a steel building on a prominent commercial site.
The Planning Commission recommende alternative 1 below for decisions 1 and 2 .
Applicant supports the same,
B, Alternative Actions:
Decision 1: Zoning Amendment to include roduction and processing as an accessory Use
to retail commercial.
1. Motion to approve the amendment as, roposed by the Planning Commission.
2. Motion to deny the amendment.
Decision 2: Conditional Use Permit for acce sory production/processing for AST Sports.
1. Motion to approve the CUP, with the conditions listed by the Planning Commission,
based on a finding that the application s amended will meet the intent of the zoning
ordinance.
.
2. Motion to deny the CUP, based on a fin ing that the use is inconsistent with the
neighborhood and the intent of the City' Comprehensive Plan.
c,
Staff Recommendation.
Although planning staff continues to have cone 'Os related to the acceptability of the
processing activity in a PZM District, staff reco ,mends Alternative 1 for each of Decisions 1
and 2, This recommendation includes the build ng materials requirements as discussed by
the Planning Commission.
D, SuPportina Data
Planning Commission Supporting data provided ,'n the Planning Commission packet along
with supplemental letters and information.
.....
......
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AST SPORTS ( A Si ITCH IN TIME)
Humble beginnings
Located at 236 West Broadway Since 1999
Chamber member, BBB member
Sponsor scholarship $10.00 per Monticell High School letter jacket
(minimum annual scholarship fund d by AST Sports is $500.00)
What AST Sports does:
I. Sells clothing, unifonns, heirlooms at retail
2. Customizes, alters garments, all of e above.
3. Uses embroidery, heat transfers, ch. nille.
4. Sells goods to customers who walk'n, callan phone, is the only local source for
in-stock letter jackets, on-site custo izing
AST Sports does not:
l. No screen printing
2. No odors
3. No noise
4. No truck deliveries
5. No manufacturing
AST Sports does not "produce" the garments, texti~ s, etc. it sells, but customizes or alters them~
by adding thread, heat transfers, or felt designs to e. isting garments, blankets etc.
Customers include:
1. Individuals
2. Sports teams
3. Schools
4. Business (not for re-sale)
5. AST is a vendor for the State - altertions.
AST Sports has plans for future:
I. Expand Retail Component of Busine s from sporting apparel to sporting goods,
equipment, services
a. Take on product lines for
1. Hockey
2. Soccer
3. Softball, baseball
That are not carried locally t present.
AST Sports needs a new building, and Conditional se Pennit to continue to exist and grow.
AST SPORTS WANTS TO CONTINUE TO BE A ONTICELLO nOSINESS!
.
COMMENTS ON PR POSED CONDITIONS
1.
We would propose that our building oor plan remain as is. so that storage can be
free-standing. more accessible to em loyees. particularly those with mobility
limitations
2.3.4. 10. We propose a "drive-thru" lane n west side of building. situated entirely upon
our property. so as to address circulation co ems. loading area concerns. and eliminate need
for joint access agreement with other prope owners.
5.6.7.8.9. 12. 13. 14. We will work with ity Staff and comply with these conditions
II. The lap siding and brick or stone on all si es of building is a deal-breaker.
propose planting evergreens facing Hart Bou. evard as a screen
~
We would
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Jamie Pauuon
7A
236 W. Broadway Monticello, MN 55362
763~295-4099 Fax 763-295-5574
Angela Schumann:
My name is Jamie Paulson I m the
owner of AST Sports formally A St ch In Time.
Our business is currently located n West Broadway
of Moticello. We have out grown ur location and
are trying to relocate our buslnes . The lot we
have chosen is on 75 near Hawks
Our business is a retail store which sells clothing
and custom embroidered logos n that clothing.
. We will also be selling sporting go I ds. We do not
manufacture anything In our sho '. Our business
will remain the same as it is now ith a larger retail
space and a larger work area. If au have any
Questions you may call me at 76 -295-4099
Tha..nk yo. _ .... n
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51.
Consideration of A
1m rovements for Trini
34C) (WSB)
A. REFERENCE AND BACKGROUND:
Counci I Agenda - 10/11/04
The City Council previously authorized Ci staff to receive proposals for the installation
of storm sewer for the Trinity Lutheran Ch rch parking lot area. It is intended that this
improvement project would be completed y a City contractor, financed by the City of
Monticello, and then assessed to Trinity Lu heran over a 10-year period. This would
allow Trinity Lutheran Church to construct their parking area and relieve the parking
problems currently being experienced. We have received a proposal from Schluender
Construction, Inc. in the amount of $16,68 .00.
B. ALTERNATIVE ACTIONS:
1. Approve Sch1uender Construction's proposal in the amount 01'$16,684.00 for
installation of storm sewer improve ents for Trinity Lutheran Church.
2. Do not approve Schluender Constru 'tion's proposal.
STAFF RECOMMENDATION:
It is the recommendation of the City Engine r that Schluender Construction, Inc. be
authorized to complete the project in the a ount of $16,684.00 subject to the preparation
of an assessment waiver with Trinity Luthean Church.
n. SUPPORTING DATA:
Schluender Construction, Inc. Proposal
(':\ )0(" IAIF ..j\j)AWN.j,( I!<O\/'()( 'A!.S. JI,l'emp\J()J 1()-I~Jf";J/N,l. l.mhe/wl A~('//dLllfi'm.d()(
OCT-07-21211214 13:58 WSB & ASSOCIATES I~C.
FR01 : SCI-LU5NDER CElNSTRUCT I ON FAX t-IJ. :
.
SCHLUENDER CONSTRUCTION INC.
3331 90th St NE
Monticello MN 55362
(763)295-5784 F~(763)29~544
Name' Address
Tfi\INIlY LUTHERAN CHUMCH ELCA
PO BOX 778
MONTICELLO MN 56382
D8ICf'ipUon
Trinity Luthnn Church
Storm Sewer
2 - 48. SUmp Manhole
176'12- RCP
Connect To StQrm Manhgl't In StrHt
.
Acceptance of Proposal-the .bave pncel,
specifications and condition. .,. eetlef8Gtory
and are hereby KQp1ed. You.'" authorized
to do the work .. ,p-.iflsd.
Date of Accep1Bnce:
. Signature:
Signature:
763287717121 P.02/1212
5&p. 21 2B04 HH513RM F'2
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.
.
.
Council Agenda - 10/11/2004
SJ.
Consideration of hold in a uhlic heari on the Wellhead Protection Plan for the Ci
of Monticello. Part H. (J.S.)
A. REFERENCE AND BACKGROUND:
The City Council previously approved Part I 0 the Wellhead Protection Plan for the City of
Monticello earlier this year. It was then accepted by the Health Department and we moved on to
complete Part II. Part II is actually the Manage ent Plan for the City of Monticello's Wellhead
Protection. Our draft documents are now compl te and we arc currently reviewing the draft and
expect to have the final documents done prior to t e COLlnci I Meeting on the 25th of October. City
Staff: therefore, requests that the Counci I hold a pu Iic hearing for the purpose of presenting the plan
to the public for their comments.
B. ALTERNATIVE ACTIONS:
I. The first alternative is to order a publi hearing for thc presentation of the City of
Monticello's Wellhead Protection Plan Pa t II. The public hearing to bc held at 7 p.m. on
the evening of October 25, 2004.
2. The second alternative is not to hold a public hearing at this time.
c.
STAFF RECOMMENDATION:
It is the recommendation of the Public Works Oi ector and Water Superintendent that the City
Council order the public hearing as outlined in alte native #1.
n. SUPPORTING DATA:
None.
.
.
.
5K.
Council Agenda - 10/11/04
Ci of Milaca on behalf of Central Minn
of hospital equipment. (RW)
A. REFERENCE AND BACKGROUND:
Central Minnesota Diagnostic, Inc. has requ sted that the City ofMilaca issue revenue notes to
finance the acquisition of hospital equipmen including and MRI, which will be leased to
hospitals located in Princeton and Monticell . Although the City of Milaca will be issuing the
notes, hecause the equipment is being leased to the Monticello-Big Lake Hospital, the City of
Monticello is required to conduct a puhlic he ring on the issuance of the notes for the
equipment and eventually adopt a resolution' pproving the issuance of the revenue notes.
The action called for tonight is to simply set public hearing date for November 8,2004 at
which time a resolution approving and autho izing the issue of notes would be considered.
B. ALTERNATIVE ACTIONS:
1. Adopt a resolution calling for a puhli hearing on a proposal for hospital equipment
lease financing by the City of Milaca or MRI equipment that will be used at the
Monticello Hospital.
2.
Do not adopt a resolution setting a pu lie hearing date.
C. STAFF RECOMMENI>ATION:
It is recommended that the resolution calling 'or a public hearing he adopted. There is no
financial obligation by the City of Monticello in regards to these future bonds, but allows the
City of Milaca to issue their financing to red ceintercst costs far this equipment.
D. SlJPPORTING DATA:
Resolution
Bond Counsel Summary - Briggs & Morgan
.
RESOLUTION CALLING F R A PUBLIC HEARING
ON A PROPOSAL FOR HOSPITAL EQUPMENT LEASE FINANCING FOR A
PROJECT PURSUANT TO A JOIN POWERS AGREEMEN'f AND
MINNESOTA STATUTES, . ECTJONS 469.152-1651,
AND AUTHORIZING THE PUBLICA TI N OF A NOTICE OF THE I-TEARING
(a) WHEREAS, Minnesota Statutes, ections 469.152- 1 65 1 relating to municipal
industrial development (the "Act") confers upon cities the power to issue revenue bonds and
other obligations for the purpose of encouragem nt and development of economically sound
industry and commerce to prevent so far as pos ible the emergence of blighted and marginal
lands and areas of chronic unemployment within it municipal boundaries and pursuant to ajoint
powers agreement under Minnesota Statutes, 471.5 , in a cooperating city; and
(b) WHEREAS, the City Council of t e City of Monticello, Minnesota (the "City"),
has received from Central Minnesota Diagnostic, Inc., a nonprofit corporation organized under
the laws of the State of Minnesota (the "Company"), a proposal that the City assist in financing a
project hereinafter described, through the issuaI ce of Hospital Equipment Lease Financing
obligations (the "Bonds") by the City of Milaca, Minnesota pursuant to the Act; and
(c) WI-IEREAS, before proceeding wit consideration of the request of the Company,
it is necessary for the City to hold a public hear ng on the proposal pursuant to the Act and
. Section 142(d) of the Internal Revenue Code of 19 6, as amended;
NOW THEREFORE, BE IT RESOLVED y the City Council of the City of Monticello,
Minnesota, as follows:
1. A public hearing on the proposal of the Company will be held at the time and
place set forth in the Notice of Public Hearing heret attached.
2. The general nature of the proposal and an estimate of the principal amount of
Bonds to be issued to finance the proposal are desc ibed in the attached form of Notice of Public
Hearing.
3. Drafts of documents related to the Bonds are on file in the office of the City
Administrator.
4. The City staff is hereby authorized nd directed to cause notice of the hearing to
be given one publication in the ofllcial newspaper f the City and also in a newspaper of general
circulation available in the City, not less than 14 ays nor more than 30 days prior to the date
fixed for the hearing, substantially in the form ofth attached Notice of Public I-learing.
.
I 696662vI
.
.
.
Adopted by the City Council of the Cit of Monticello, Minnesota, this 11 th day of
October, 2004.
ATTEST:
Clerk
1696662vl
Mayor
2
.
.
.
STATE OF MINNESOTA
COUNTY OF WRIGHT
CITY OF MONTICELLO
I, the undersigned, being the duly qualifie and acting Clerk of the City of Monticello,
Minnesota, DO HEREBY CERTIFY that I have c mpared the attached and foregoing extract of
minutes with the original thereof on file in my office, and that the same is a full, true and
complete transcript of the minutes of a meeting 0 the City Council of said City duly called and
held on the date therein indicated, insofar as such I inutes relate to calling for a public hearing on
issuance of housing revenue bonds for a project fo Central Minnesota Diagnostic, Inc.
WITNESS my hand and the seal of said Ciy this day of Octobcr, 2004.
(SEAL)
1 6966ti2v 1
...,
-)
Clerk
.
.
.
NOTICE OF PUBLIC HEA . NG ON A PROPOSAL
FOR ISSUANCE OF HOSPITAL EQ IPMENT LEASE FINANCING
(CENTRAL MINNESOTA DIA NOSTIC, INC. PROJECT)
Notice is hereby given that a public hearing shall be conducted by the City Council of the
City of Monticello, Minnesota (the "City") on Mo day, November 8, 2004, at 7 p.m. at the City
offices to consider the proposal of Central Minn sota Diagnostic, Inc., a Minnesota nonprofit
corporation ("Company") that the City assist in fiI ancing the acquisition and installation of two
Siemens Magnetom MRI Scanners, one in the onticello - Big Lake Hospital at 1013 Hart
Boulevard, Monticello, Minnesota and one in the Fairview Hospital at 911 Northland Drive in
Princeton, Minnesota and the installation of a CT SCaImer in the hospital in Princeton
(collectively, the "Project"). The Project will be financed in part through the issuance by the
City of Milaca, Minnesota ("Milaca") of approxim tely $3,500,000 of tax exempt lease financing
(the "Bonds") pursuant to Minnesota Statutes Sec ion 469.152-1651, as amended, and pursuant
to a joint powers agreement between the City, Mil ca and Princeton. The Project will be owned
by the Company.
The bonds or other obligations if and wh n issued will not constitute a charge, lien or
encumbrance upon any property of the City, Mila a or Princeton, and such bonds or obligations
will not be a charge against the City's, Milaca's 0 Princeton's general credit or taxing powers,
but will be payable from sums to be paid by the CD pany, pursuant to a revenue agreement.
A draft copy of the proposal and associat d materials is available for public inspection
from 7:45 a.m. to 4:30 p.m., Monday through Frid y, at the City offices.
At the time and place fixed for the publi hearing, the City will give all persons who
appear at the hearing an opportunity to express heir views with respect to the proposal. In
addition, interested persons may file written co ments respecting the proposal with the City
Clerk at or prior to the public hearing.
B /s/ Dawn Grossinger
City Clerk
1696662vl
BRIGGS AND 1VI0RGAN
2200 IDS CENTER
80 SOUTH EIGHTH STREET
MINNEAPOLIS, MINNESOTA 55402
TELEPHONE (612) 977-8400
FACSIMILE (612) 977-8650
eOfESSIONAL ASSOCIATION
WRITER'S DIRECT DIAL
(612) 977-8513
WRITER'S E-MAIL
thalla@briggs.com
October 6, 2004
VIA E-MAIL
Rick Wolfstellar
City Administrator
505 Walnut Avenue
Suite 1
Monticello, MN 55362
Re: Proposed City of Milaca, Minnesot $3,500,000 Tax Exempt Hospital
Equipment Lease Financing (Cent al Minnesota Diagnostic, Inc.) Series
2004
Dear Mr. W olfstellar:
.
Central Minnesota Diagnostic, Inc. ("CMD ") intends to acquire and install a Siemens
Magnetom MRI Scanner and related equipment n each of the hospitals in Monticello and
Princeton, Minnesota together with a CT Scanner n the hospital in Princeton (collectively, the
"Project"). CMDI has proposed that the City 0 Milaca ("Milaca"), the City of Monticello
("Monticello") and the City of Princeton ("princeto ") enter into a joint powers agreement under
Minnesota Statutes, Section 471.59 to permit Mila a to issue tax exempt revenue lease financing
in the aggregate amount of approximately $3,500, 00 (the "Bonds") to finance the Project and
cost of issuance of the Bonds. Milaca has agreed t act as the issuer and to designate the Bonds
as "qualified tax exempt obligations" ("bank ualified") within the meaning of Section
265(b)(3)(B) of the Internal Revenue Code.
In order to proceed with the financing, Mo ticello and Princeton will need to consent to
the issuance of the Bonds by Milaca, hold a public hearing with respect to the Project, and enter
into a joint powers agreement to permit Milaca to i sue the Bonds for a project in Monticello and
Princeton.
Because Milaca will designate the Bonds s "bank qualified," the Bonds will not count
against Monticello's or Princeton's 2004 "bank ualification" for Monticello's or Princeton's
other obligations issued during calendar year 2004.
.
I have attached a Resolution Calling for a ublic Hearing and a notice of public hearing.
If possible, CMDI would like Monticello to con ider adoption of the Resolution Calling for a
Public Hearing at its next meeting on October 11, 2004 and schedule the public hearing and
1696636vl
SAINT PAUL OFFICE' FIRST NATIONAL 13 NK BUILDING' WWW.BRIGGS.COM
MEMBER _ LEX MUNDI, A GLOBAL ASSOCI TION OF INDEPENDENT LAW FIRMS
.
.
.
BRIGGS AND MORGAN
Rick W olfstellar
October 6, 2004
Page 2
adoption of the Resolution approving the joint pow rs agreement at its meeting on November 1,
2004. Before the November 1 meeting, I will send ou a form of Joint Powers Agreement and a
Resolution giving consent by the City of Monticello to this financing and execution and delivery
of the Joint Powers Agreement.
Please let me know any questions or co ents you may have and whether I should
forward these documents to anyone else for eview. CMDI does expect to pay any
administrative costs incurred by the cities including ttomeys' fees for review of documentation.
truly yours,
lei rudy J Halla
T dy J. Halla
TJH/cas
Attachments
cc: Glen Erickson
1696636vl
r-
.
.
.
Council Agenda - 10/11/04
7.
(WSB/City)
A. REFERENCE AND BACKGROUND:
At the August 23, 2004 City Councilmeeti g, the City Council approved the plans and
specifications and authorized the advertiser ent for bids for the Trunk Highway 25 at
School Boulevard Traffic Signal Systcm. T e improvements include a signal system at
'I'll 25 with School Boulevard and intercon ect system along TH 25 from School
Boulevard to Chelsea Road.
Bids werc rcceived on Wcdnesday, October 6, 2004 at the Monticello Community Center.
The low bidder is Granite Ledgc Electrical :ontractors in the amount of $157,070.00.
The Engineer's Estimate was $142,138.00.
B. ALTERNATIVE ACTIONS:
1. Consider award of the project as recoml1cnded by thc City Engineer.
2. Do not award the project at this time.
c.
STAFF RECOMMENDATION:
It is the recommendation of the City Admin strator and City Engineer that thc contract is
awarded, in its entirety, as identified in Alte native Action 1. The project will be
substantially complete by November] 5,20 4; final completion by June 30, 2005.
D. SUPPORTING DOCUMENTATION:
. Bid Tabulation
. Letter of Recommendation
1":'I!)()CllmeJlts alld s('~ iJ/g.\'\/ )(/11'11.( ;'/'ossiflKerl!.ocal SL'llillgs', (e",port,ll)" '1I/('/"lId j'i!es',()f.K2f1\agllilemJOI/O-!.doL
.
.
.
PROJECT:
Trunk Highway 25 at School Boulevard Traffic Signal
City Project No. 2004-19C
S.P.8605-47
LOCATION:
City of Monticello, MN
Wright County, MN
WSB PROJECT NO.: 1488-78
Bids Opened: Wednesday. October 6, 2004 at 10:00 8.m.
Contractor Addendums Rec'd. Bid Securit Total Bid
1 Granite Ledge Electrical Contractors, Inc. N/A X $157,070.00
2 Design Electrical Contractors, Inc. N/A X $161,170.00
3 Egan-McKay Electrical N/A X $169,576.00
4 Killmer Electric Com an ,Inc. N/A X $170,450.10
Engineer's Opinion of Cost $142,138.00
of the bids as received on October 6. 2004.
:z b--- __';;2 <:.'
Rebecca L. Haydon. P.E., Project Manager
Denotes corrected figure
Page 1 of
F:\WPWIM1488-781EXCELIBld Summary.xlsSummary
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WSB
. Associates. Inc.
.
415001$on
Memorial Highway Cc:
Suite 300
........ ...... Minneapolis
Ja/t i n ne$ota
_5422
763541'4800
763-541-1700 FAX
October 6,2004
Honorable Mayor and City Council
City of Monticello
505 Walnut Street, Suite 1
Monticello, MN 55362-8822
Re: Trunk Highway 25 at School Boule ard Traffic Signal
c.P. No. 2004-19C
City of Monticello, MN
WSB Project No. 1488-78
Dear Mayor and Council Members:
Bids were received for the above-referenced roject on Wednesday, October 6,2004, and
were opened and read aloud. A total of four ( ) bids were received. The bids were
checked for mathematical accuracy and tabul ted. The Engineer's Estimate was
$142,138.00. Please find enclosed the bid ta ulation indicating the low bidder as Granite
Ledge Electrical Contractors, Foreston, Mi nesota, in the amount of $157,070.00.
We recommend that the City Council consi er these bids and award a contract to
Granite Ledge Electrical Contractors based n the results of the bids received, subject
to Mn/DOT concurrence.
Sincerely,
WSB & Associates, Inc.
~~ef/:~
City Engineer
Enclosures
Granite Ledge Electrical Contractors
bh/srb
Minneapolis St. Clou . Equal Opportunity Employer
F.-\WrW/MJ488-8J\r€CfttmJblllr.d{)t:
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.
.
.
8.
Consideration of an offer to
Restaurant. (RW)
A. REFERENCE AND BACKGROUND:
Council Agenda -10/11/04
in .Jefferson Commons - A lebee's
Tn early August, the Council had received an offer from Applebee's Restaurants to purchase 1.5
acres of property adjacent to the future Culv r's Restaurant sitc along TH 25. The offer madc at
that timc was at $9/sq. ft. Thc lettcr of in ten also included a condition that the City would not
sell any other parcel within the Je1Terson Co mons plat to a compctitor of Applcbcc's for a
pcriod of tcn years.
Council action was to table any action on thi offcr and directed staff to obtain an appraisal on
not only on the Applebee's site but also am" keting analysis for a pricing structurc on the entire
Jefferson Commons properties. An appraisa from Patchin, Mcssner and Dodd has been reccntly
completed that suggests a market value of ro 19h1y $8/sq. ft. without a big box retailer being
located nearby or roughly $9/sq. ft. with a lagc big box retailer in the area. The appraiser arrived
at these estimations of value comparing sales data that has occurrcd in surrounding communities
such as Ruffalo, Elk Rivcr, Albcrtvillc and R gers. The appraisal seems to indicate that the offer
made by Applebee's is within the price rang that could be expected under the current market
conditions today.
In discussing the report with the appraiser. r. Messner did note that there is a lot of current
activity taking place along TH 25 south ofI- 4 that shows there will be increased demand for
property in this area. In reviewing the Apple ee's oiTer with Mr. Messner, he felt that the
proposal was a fair offcr knowing what is ha pening today, but certainly recognized that as more
buildings get developed in the area, property alues will continue to increase. The question is
how long would thc City want to wait and ho d property in the hopes of obtaining a higher price
than what it is currently being offered at this ime?
The reviscd lettcr of intent submitted by App ebee's has a few changes from thc initial one in
August and those changes are as follows:
A paragraph under improvements wa addcd to indicate that the buyer would be
responsiblc for thc cost to install dec [ative street lighting along Deegan A venue as
required and also would be responsib c for sidewalk construction along the frontage road.
1.
An additional section regarding re-pu chase options was put in thc agreemcnt to note that
the City would have the right to purcl ase the property back for the sale price if a
restaurant was not constructed withinonc ycar of closing.
2.
The purpose of this section was to give the City Council some assurance that an actual
building was to going to be construct d and that property was not bcing purchased on
speculation. This doesn't mean the ity has to purchase it back but would give us the
option if we desired.
3.
The restriction on selling any other pr perty to a competitor is proposcd to be reduced to
.
B.C
"v.- ^'
~~t/
.
D.
.
Council Agenda -10/11/04
only any property remaining along H 25, not the entire Jel1erson Commons plat. In
other words, the City would have ap roximately 2.7 acres of land left along TH 25 that
they are proposing be restricted fro being sold restaurants such as TGI Friday's, Ruby
Tuesday's, Red Robin, Chili's, Bem igan's and O'Charley's.
As a final note the appraiser is completing a review of the remaining property in Jefferson
Commons and will be suggesting marketing prices for the balance of the property in the near
future. The City has received inquiries fro a number of people regarding the availability of
other sites in this plat and I expect that we nay receive additional otTers in the near future once
we have a pricing structure established and greed to.
ALTERNATIVE ACTIONS:
1. Council could accept the letter of int nt for the purchase of a 1.5 acre site under the terms
and conditions outlined at $9/sq. ft.
2. Council could negotiate different ter s or conditions and pricing with Applebee's.
C.
STAFF RECOMMENDATION:
Based on the appraisal report, it is the City dministrator's opinion that the oiTer submitted by
Applebee's is in line with the estimatcd valu of the property today. The only provision in the
letter of intent that is a little unusual would e the restrictions on limiting competitors to the
adjacent sites along TH 25, but this a limited arca being restricted which may be reasonable to
consider. If the Council is in agrcement witl the appraisal report, I would rccommend accepting
the lettcr of intent and authorizing staff to pr pare a purchasc agreement for the site.
SUPPORTING DATA:
Copy of lcttcr of intent.
. October 4, 2004
.
.
City of Monticello, MN.
C/O Mr. Rick Wolfstellar
505 Walnut Street
Monticello, MN. 55446
RE: Proposed Purchase Agreement "Agreement" by and etween Apple American Limited Partnership of
Minnesota ("Buyer") and the City of Monticello, MN. (" eller"). A tract ofland identified as being the
same property as outlined on Exhibit "A" which is attache hereto and made a part hereof.
Dear Mr. Wolfstellar:
This letter ("Letter"), when you have signed and returned 0 us the copy provided for said purposes, will
evidence our mutual good faith intent to formalize and ex cute an Agreement pursuant to which we will
purchase from you the Property, further described in Exhi; it A hereto.
While this Letter is intended to resolve at the outset many ssues affecting the Agreement, there are other
issues, which remain to be negotiated. Accordingly, it is n t the intent of this Letter to create, and this Letter
shall not create any binding obligations on the part of the eller or Buyer. The parties shall only be bound if
and when the formal Agreement is mutually executed and elivered by the parties, and such Agreement will
entirely supersede anything set forth in this Letter. Neithe Seller nor Buyer shall be under any obligation or
duty to continue to negotiate the Agreement and either of hem may terminate negotiations at any time
without the liability to the other.
It is our intention that the terms and provision set forth in this Letter may be further clarified or amplified in
said Agreement, that the language used in this Letter is no necessarily to be incorporated verbatim in said
Agreement, and that terms and provisions, not set forth h ein, may be added as mutually agreed upon by the
parties to said Agreement and as our respective counsel sh deem appropriate in the circumstances.
The general terms and conditions upon which Buyer prop ses to purchase the Property are as follows:
Purchase Price:
$572,382.00
Land Area:
Approximately 63,598 Sq. Ft.
Escrow Deposit:
$20,000
Seller Obligations:
(a) Gas, Water, Electric, Sanitary Sewer, Storm Sewer to be available at the
property line with the s' e and capacity as set out in Exhibit "B".
(b) The Property is to b free and clear of all environmental, hazardous or
toxic waste and materials, or is to be so at Seller's expense.
(c) Seller to cause title t the Property to be satisfactory to Buyer and to
provide Buyer an Owne s title policy.
8'
.
.
.
(d) If the Property is p t of a larger tract, Seller is to take all action
necessary to create a Ie y subdivided and conveyable parcel.
(e) Buyer shall grant an record an Exclusive Use Covenant to Buyer for
any property owned direcdy r indirecdy by Seller, having frontage along
Highway 25, for a period of ten (10) years from the date of closing. This
Exclusive Use shall restrict e following users: TGI Friday's, Ruby Tuesday's,
Red Robin, Chili's, Bennigan sand O'Charley's.
Buyer Obligations:
(a) One hundred fifty 150) day contingency period.
(b) All governmental pe 'ts (including liquor license) necessary to
construct and operate an Applebee's Neighborhood Grill & Bar.
(c) Approval of the tran action by Buyer's Site Review Committee.
(d) Such other conditio s to be mutually agreed upon by the parties and set
forth in the Agreement.
Closing Costs:
To be paid by each party, in acc rdance with local customs.
Closing:
Ten (10) days after all Conditions (set out in the Agreement) have been satisfied.
Document Deliveries: Within ten (10) days after executi n of this Letter, Seller shall deliver to Buyer
copies of all documents which p tain to restrictive covenants, plans, plats, surveys,
reports, tests, studies, tide materi Is (including copies of exception documents
referenced in the tide policy), en . onmental information, appraisals, and other
materials related to the Property at are in Seller's possession.
Entry:
From and after the date hereof, uyer and its agents and consultants shall be
permitted to enter the Property a d do all acts necessary to complete Buyer's due
diligence.
Improvements:
Buyer agrees to pay its prorata sh re of the cost to install the decorative street
lighting as required and agrees to 'nstall sidewalks along its frontage as required.
Repurchase:
If Buyer has not completed cons
improvements within one year fo
may repurchase the property fro
original purchase price plus the c
Buyer that have been made by B
ction of its building and all related
owing the transfer of tide from Seller, then Seller
Buyer for an amount that will include the the
st of any improvements and assessments paid by
yer.
Upon acceptance and ratification of this Letter by all parti s, Buyer shall have its legal staff draft the
Agreement and submit it for the Seller's approval within te (10) business days after approval by Buyer's Site
Review Committee.
It is understood by both Seller and Buyer that Cambridge ommercial Realty (Tom Martin) represents the
Buyer in this transaction. Buyer will compensate Tom Mar' and the City of Monticello will have no liability
to compensate Mr. Martin.
z
.
.
.
If the aforementioned is acceptable, please indicate your ap roval in the space provided below and return one
(1) executed copy to me. This Letter shall be deemed null nd void unless Buyer receives an executed copy
by August 13, 2004.
Sincerely,
SteveCanada
Real Estate Manager
APPLE AMERICAN LIMITED PARTNERSHIP OF M NNESOTA
Date: July 28, 2004.
AGREED AND ACKNOWLEDGED:
City of Monticello. MN.
Date:
s
.
EXlDBIT 'B"
Buver's Utility Requiremeuts
Utility Requirements
. Domestic Water
Minimum piping size
. Fire Protection
Minimum piping size
Minimum pressure
. Sanitary
. Minimum piping size
. Natural Gas
TOTAL
. Electrical ~voltage
Amperage
Calculated demand
. Cable Television
. Telephone
. Landscaping
2" copper
6"01
50 PSI
6"
2241 mbh (db)
208V I 120V, 3 phase, 4 wire
800 Amps
24.4 KW @ 208V
4" PVC conduit wi pull string
4" PVC conduit wi pull string
4" PVC conduit wi pull string
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