HomeMy WebLinkAbout2008-04-16 MINUTESREGULAR MEETING
COTTAGE GROVE CITY COUNCIL
April 16, 2008
OPEN FORUM — 7:15 p.m.
Open forum provides a person an opportunity to inform the Council of a problem or to request
information related to City business not scheduled for Council action and on the Agenda.
Present: Mayor Sandy Shiely
Council Member Myron Bailey
Council Member Mark Grossklaus
Council Member Fred Luden
Council Member Pat Rice
Also Present: Ryan Schroeder, City Administrator
Howard Blin, Community Development Director
Les Burshten, Public Works Director
Ron Hedberg, Finance and Administrative Services Director
Corrine Heine, City Attorney
Jennifer Levitt, City Engineer
Craig Woolery, Public Safety Director
Not Present: None.
Mayor Shiely opened the Open Forum at 7:15 p.m.
There being no speakers, Mayor Shiely closed the Open Forum at 7:15 p.m.
CALL TO ORDER
The City Council of the City of Cottage Grove, Washington County, Minnesota, held a regular
meeting on Wednesday, April 16, 2008, at the Cottage Grove City Hall, 7516 80 Street
South. Mayor Shiely called the meeting to order at 7:30 p.m.
ROLL CALL
Present: Mayor Sandy Shiely
Council Member Myron Bailey
Council Member Mark Grossklaus
Council Member Fred Luden
Council Member Pat Rice
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Cottage Grove City Council
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Also Present: Ryan Schroeder, City Administrator
Howard Blin, Community Development Director
Les Burshten, Public Works Director
Ron Hedberg, Finance and Administrative Services Director
Corrine Heine, City Attorney
Jennifer Levitt, City Engineer
Craig Woolery, Public Safety Director
Not Present: None.
ADOPTION OF AGENDA
Mayor Shiely announced there were two revisions to the agenda, that the effective date for
the temporary liquor license to the St. Paul Park/Newport Lions Club at Lamar Park be
changed to June 14, instead of June 13, and that item 8D, regarding a parcel of land at
Lehigh and Manning, be pulled due to complications.
MOTION BY BAILEY, SECONDED BY RICE, TO APPROVE THE AGENDA AS AMENDED.
MOTION CARRIED 5-0.
PRESENTATIONS
A. 2008 Arbor Day and Sprinq Cleanup
Brian Voelker, City Management Analyst, provided information regarding upcoming events for
Arbor Day, April 26 from 9 a.m. to 12 p.m. at Highland Park, and the annual spring cleanup,
May 3 from 7 a.m. to 4:30 p.m. at the Public Works Facility.
B. Washington County HRA Foreclosure Prevention Counselinq Proqram
The Community Development Director provided a brief overview of the foreclosure prevention
counseling program and introduced Rich Malloy of Washington County, whose presentation
included the magnitude of the foreclosure program, how the foreclosure process works
(which may take 6-12 months), and what the HRA is doing to mitigate the impact of
foreclosures (prevention counseling and acquiring and rehabilitating abandoned or vacant
homes).
Statistics showed an increase of Washington County foreclosures, documented as 100 in
2004, 835 in 2007, and 1,200 projected for 2008. Cottage Grove foreclosures include the
City as well as St. Paul Park and Newport and were 32% of the County's total foreclosures.
Three-Point Strateqv
1. Establish foreclosure prevention programs
2. Establish clearinghouse for foreclosure remediation programs
3. Establish neighborhood stabilization programs for post-foreclosure impacts
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Cottage Grove City Council
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Washington County residents may contact homeownership specialists (who are paid by State
funding) at 651-458-0936 x551 or x553 for assistance. The counseling process can assess
the client situation (ability to stay in home or alternative housing plan), determine course of
plan, and advocate for the client. It was reported that 60% of cases involve financial
constraints as a result of the mortgage process (such as interest rate), unemployment, or loss
of income. The County reported that the average monthly mortgage is $1,900 PITI with an
average monthly income of $2,400, and the average amount that residents in foreclosure are
behind payment is $10,000.
Foreclosure Clearinahouse
• HRA and County, to provide cities with monthly reports of sheriff sales locations and GIS
maps (location, value, types of houses)
• Foreclosure counselor services
• Collecting information on successful strategies from other cities
• Monitor legislation and advocate where necessary
Neighborhood Stabilization
• Vacant properties
• Notification to cities
• Acquisition rehabilitation funds
o Center for energy and the environment
o Minnesota housing funds (RV, fix-up fund)
• Working with Two Rivers Community Land Trust
• Foreclosure policy issues
o Minnesota housing
o Home ownership center
Mayor Shiely thanked Mr. Malloy for the presentation and said City staff would contact him
about a possible cable communication on the subject. She asked what percentage of people
in foreclosure purchased the property for investment, and the response was that there is not
much data on that but foreclosures tend to involve resident owners.
APPROVAL OF MINUTES
A. March 19, 2008, Regular Meeting
Mayor Shiely stated that the minutes stood approved as submitted.
CONSENT CALENDAR
Council Member Bailey pulled item I, regarding donations for the Ice Arena Expansion
Project, to acknowledge donors Ryan Schroeder and Patricia Wilder ($1,200), SWCTC
Commission ($300), Ken Brittain ($300), Dave Burtman ($300), Rick Burtman ($300), Chad
and Stephanie Dockter ($300), Kelly Eichler ($300), Marty Carlier ($100), Bill Buth ($100),
Donna Lanners ($100), and Alec Gutterman ($100).
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Cottage Grove City Council
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MOTION BY GROSSKLAUS, SECONDED BY LUDEN, TO:
A. ACCEPT AND PLACE ON FILE THE FOLLOWING MINUTES:
I. ECONOMIC DEVELOPMENTAUTHORITY MEETING FROM MARCH 11, 2008.
B. AUTHORIZE ISSUANCE OF A TEMPORARY LIQUOR LICENSE TO THE ST. PAUL
PARK/NEWPORT LIONS CLUB FOR EVENTS HELD IN CONJUNCTION WITH
STRAWBERRY FEST AT KINGSTON PARK ON JUNE 13 AND 14 AND AT LAMAR
PARK ON JUNE 14.
C. ADOPT RESOLUTION NO. 08-075 AUTHORIZING ISSUANCE OF A PREMISE
PERMIT TO THE COTTAGE GROVE ATHLETIC ASSOCIATION TO CONDUCT
BINGO GAMES AND PULL-TAB OPERATIONS AT VFW POST 8752, 9260 EAST
POINT DOUGLAS ROAD.
D. APPROVE C�IANGE ORDER #1 FOR THE WELL NO. 6 MAINTENANCE PROJECT,
WIRE BRUSHING OF THE WELL CASING AND TELEVISION INSPECTION, AND
NEW PUMP BOWL.
E. ADOPT RESOLUTION NO. 08-076 ACCEPTING THE DONATION FROM
KRAUS-ANDERSON CONSTRUCTION COMPANY FOR THE ICE ARENA
GROUNDBREAKING AND RIBBON-CUTTING CEREMONIES.
F. ACCEPT THE RESIGNATION OF RAJEAN MOONE FROM THE HUMAN
SERVICES/HUMAN RIGHTS COMMISSION AND APPROVE THE APPOINTMENT
OF JENNIFER PETERSON AS THE NEXT COMMISSION CHAIR.
G. APPROVE THE RIGHT OF ENTRY AND CONSTRUCTION AGREEMENT BETWEEN
3M AND THE CITY OF COTTAGE GROVE CONTINGENT UPON CITY ATTORNEY
REVIEW AND APPROVAL.
H. ADOPT RESOLUTION NO. 08-077 PROCLAIMING ARBOR DAY.
I. ADOPT RESOLUTION NO. 08-078 ACCEPTING DONATIONS TOTALING $3,400.00
FOR THE ICE ARENA EXPANSION PROJECT.
J. APPOINT KEN BRITTAIN TO THE PARKS, RECREATION AND NATURAL
RESOURCES COMMISSION TO FULFILL AN UNEXPIRED TERM THAT ENDS ON
FEBRUARY 28, 2009.
K. ADOPT RESOLUTION NO. 08-079 AUTHORIZING ACQUISITION OF A UTILITY
AND ROADWAY EASEMENT ALONG JAMAICA AVENUE ACROSS FROM
PROPERTY OWNED BY THE WILDER FOUNDATION.
L. ADOPT RESOLUTION NO. 08-080 APPROVING THE FINAL PLAT FOR KOHL'S-
CULVER'S ADDITION, WHICH CREATES TWO COMMERCIAL LOTS, LOCATED
NORTH OF 80 STREET AND WEST OF HARDWOOD ON LOT 1, BLOCK 2,
GATEWAY NORTH ADDITION.
MOTION CARRIED 5-0.
RESPONSE TO PREVIOUSLY RAISED OPEN FORUM ISSUES
None.
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PUBLIC HEARINGS
A. Consider approving a conditional use permit to allow for an off-sale liquor store to be
located at 6939 Pine Arbor Drive South.
The Community Development Director's report stated that the Planning Commission held a
public hearing on March 24, 2008, regarding Keiser & Company, LLC's request for a
conditional use permit to allow an off-sale liquor store to be located at 6939 Pine Arbor Drive
South and recommends Council approval. The one dissenting vote was based on "the
quantity of the alcohol and (commenting that) five liquor stores in a community of this size is
enough" and "hours of operation and trash issues."
Mayor Shiely acknowledged that residents Chad Magle and Kim Sao were present to offer
their opinions regarding the proposed permit. She then asked the applicants to address the
Council.
The applicants, Amy Jo and Steven Keiser, stated that they are ready to start their own family
business, will work hard, and would like the opportunity to proceed.
Chad Magle, 2481 Eagle Tree Road, Woodbury, stated, on behalf of Kim Sao, owner of
Shamrock Liquor, that there is over saturation in the market of liquor stores, with five now
currently in Cottage Grove for 33,000 residents. He said that they don't see adding another
liquor store does justice to anyone. He also stated that his wife, who owns a business in the
area, was deeply affected by the Jamaica road closure, dropping sales by 60%, and said the
City needs to do something to get people back into that area.
Kim Sao commented that business has been slow and their family has worked hard for the
liquor store, which they have owned for five years.
Mayor Shiely thanked them for their comments and asked whether the number of liquor
stores was correlated to population. The City Administrator stated that they are not regulated
by population after a 2005 ordinance change, which had previously allowed one liquor store
per 7,500 residents.
Council Member Luden inquired about the master plan for the area, and the Community
Development Director stated that it is to add two more retail buildings and a restaurant, that
this store would take 4,000 square feet, the last space in the first building built, and the other
businesses are a salon and dental office.
Council Member Bailey inquired about the plan for the rest of the building, and the
Community Development Director referred the response to Alex Young. Mr. Young stated
that the market is tough for retail as a whole but especially national groups. Two other
buildings are planned for the site, incorporating office and retail users and windows on four
sides. He said he doesn't know when the other buildings will be built, each 11,000 square
feet, but there wouldn't be any additional liquor stores planned for the site.
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Regular Meeting — April 16, 2008
Cottage Grove City Council
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The City Attorney cited the Metro 500 case and distinguished differences between the two
decisions, the land use conditional use permit and issuance of liquor license.
Council Member Bailey inquired whether another liquor store could locate on the same corner
under the PUD, and the City Attorney stated that it wasn't clear and she would have to check.
The Community Development Director commented that he didn't believe the owner would
want competing businesses in the same center, and Mr. Young agreed.
Mayor Shiely commented that there doesn't appear to be evidence of increased crime or
unsavory routine or noise in the area of off-sale liquor stores.
MOTION BY GROSSKLAUS, SECONDED BY MAYOR SHIELY, TO ADOPT RESOLUTION
NO. 08-081 APPROVING A CONDITIONAL USE PERMIT TO ALLOW AN OFF-SALE
LIQUOR STORE LOCATED AT 6939 PINE ARBOR DRIVE SOUTH.
MOTION CARRIED 5-0.
B. Hold the public hearing and consider authorizing issuance of an off-sale intoxicatinq
liquor license to Keiser & Company, LLC/DBA Summerhill Liquor, 6939 Pine Arbor
Drive.
Amy Jo and Steven Keiser have applied for an "Off Sale" Intoxicating Liquor License to open
a retail off-sale liquor store to be known as Summerhill Liquor and a conditional use permit as
property located at 6939 Pine Arbor Drive is in excess of 1,000 feet from a church/school. No
facts have been found to disqualify the applicant from obtaining a liquor license, and staff
recommends Council hold a public hearing and approve the license application.
Mayor Shiely opened the public hearing at 8:17 p.m.
Amy Jo Keiser stated that she and her husband would like the application approved by
Council.
There being no additional speakers, Mayor Shiely closed the public hearing at 8:17 p.m.
MOTION BY BAILEY, SECONDED BY LUDEN, TO AUTHORIZE ISSUANCE OF THE
LIQUOR LICENSE CONTINGENT ON CONDITIONS LISTED IN CITY CLERK CARON
STRANSKY'S MEMO DATED APRIL 10, 2008.
MOTION CARRIED 5-0.
BID AWARDS
A. Consider awardinq the contract for Bid Division No. 16 of the Ice Arena Expansion
Project to All Metro Glass, Inc. in the amount of $162,352.00.
The City Engineer's written report stated that Council rejected on March 5, 2008, the bids for
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Division 16, Aluminum Entrances, Windows and Glazing for the Cottage Grove Ice Arena
Expansion and authorized a new re-bid. Modifications were made to the elements of the
windows. The new low bid is $162,352.00 (compared to the initial low bid of $194,900.00)
and changes in the window system produced a savings of $32,548.00. Council received a
cost breakdown for elements that serve the existing building versus costs associated with the
expansion. It was noted that $938,994 is directly related to the existing building and $50,000
to the fire protection system, required by code to bring the existing building into compliance.
Some discussion ensued.
MOTION BY RICE, SECONDED BY BAILEY, TO ADOPT RESOLUTION NO. 08-082
AWARDING THE CONTRACT FOR BID DIVISION 16 TO ALL METRO GLASS, INC. IN THE
AMOUNT OF $162,352.00.
MOTION CARRIED 5-0.
UNFINISHED AND NEW BUSINESS
A. Consider affirming agreement with the Gatewav North monument/retaining wall project
and directing a contract extension with US Bank to allow for this project to occur. 2.
Consider ratifvinp funding allocations as presented.
The City Administrator cited his written report on the Economic Development Authority's
recommendation for an allocation from the Economic Development (ED) Trust Fund toward
" construction of the fourth and final Gateway monument sign and associated costs that relate
to the existing US Bank retaining wall, a sidewalk extension from Hardwood Avenue along
80 Street to the Culver's Restaurant site, and utility and landscaping costs. Council is asked
to ratify the EDA action, to allocate other funds to complete the project, and to provide for a
development contract extension to complete the project.
Funding for the project would include a contribution from US Bank for about half of the project
costs and it would provide ongoing maintenance of the lighting/electrical and landscaping.
Culver's and Kohl's would provide their requisite shares of the sidewalk extension. Storm
water and street light funding in the amount of $2,610 and $5,000 respectively is proposed for
fund-related costs. Landscaping would be paid from the landscaping cost center. The
balance of the funding would be from the ED Trust Fund.
Council Member Bailey inquired as to how the tiers design would affect the sign as originally
planned, and the City Administrator stated that the sign remains essentially the same though
the tier was necessary for the infrastructure and the fence is no longer necessary.
MOTION BY RICE, SECONDED BY GROSSKLAUS, TO AFFIRM THE AGREEMENT WITH
THE GATEWAY NORTH MONUMENT/RETAINING WALL PROJECT AND DIRECT A
CONTRACT EXTENSION WITH US BANK TO ALLOW FOR THE PROJECT TO OCCUR
MOTION CARRIED 5-0
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MOTION BY LUDEN, SECONDED BY RICE, TO RATIFY THE FUNDING ALLOCATIONS
AS PRESENTED.
MOTION CARRIED 5-0.
B. Consider approving the plans and specifications and establishinq a May 22, 2008, bid
date for the US Bank Retaininq Wall Project.
Plans and specifications have been prepared in accordance with the City's standards and the
estimated cost for improvement is $149,870.00.
Funding Sources: $73,970.00 US Bank contribution
53,468.57 EDA contribution
6,059.84 Kohl's agreement
5,900.00 Landscaping
5,000.00 Street Light Utility Fund
2,861.59 Culver's agreement
2,610.00 Storm Water Utility Fund
Staff recommends Council approve plans and specifications and establishing May 22, 2008,
as a bid date for the US Bank Retaining Wall Project.
MOTION BY RICE, SECONDED BY GROSSKLAUS, TO ADOPT RESOLUTION NO.
08-083 APPROVING THE PLANS AND SPECIFICATIONS AND ESTABLISHING A MAY 22,
2008, BID DATE FOR THE US BANK RETAINING WALL PROJECT.
MOTION CARRIED 5-0.
C. Consider adopting a resolution approvinq the feasibilitv report, authorizinq preparation
of plans and specifications, and establishing a May 21, 2008, public improvement
hearing date for the Trunk Highwav 95 (Manning Avenue) at Lehiqh Road, Street and
Drainage Improvements.
The City Engineer provided background information regarding site, including residential
concerns for safety (due to skewed angle) and poor drainage (standing water in spring), and
said it is believed that the ultimate solution is to create a ditch section along Lehigh Avenue to
contain the water and add additional culverts to contain drainage to existing drainage and
utility easements.
Options for the project:
1. Not move forward. The City would notify MnDOT that it would not be accepting the
funds allocated to this project ($210,000) and need to compete in 2010 for future
funding for the project.
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Cottage Grove City Council
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2. Do only realignment. Construct only the TH 95 and Lehigh realignment portion and do
nothing else on Lehigh. The City would utilize the Cooperative Agreement money
from MnDOT and have less assessments related to the project. This option would not
fix the drainage problems and expressed resident concerns. The City would continue
to incur maintenance costs associated with spring drainage problems. Total cost for
this option would be $245,700, with funding of $210,000 in Cooperative Agreement
Dollars, assessments, and State Aid funds.
3. Do project as outlined in the Feasibility Report. This would include improvements on
TH 95, Lehigh realignment, Lehigh reconstruction and drainage correction. This
option would include acquiring the small remnant portion of land. Right-to-enter
agreements would need to be secured from residents to make some improvements
and permanent drainage and utility easements would be sought to address more
substantial drainage concerns. Total cost for this option would be $515,400, with
funding of $121,300 in assessments and $394,100 from various City sources.
Project Historv
o June 2005 — reviewed drainage options for road with neighborhood
o October 4, 2006 — requested MnDOT funds for road improvements
o March 21, 2007 — City Council accepted funds for project from MnDOT ($210,000)
o September 2007 — WSB and Associates was selected to provide engineering services
o September 5, 2007 — City Council authorizes a feasibility study
o Neighborhood meeting — March 17, 2008
Fundinq Summarv
o$245,700 TH 95 and Lehigh intersection improvements (includes $210,000 from State)
o $151,400 Lehigh Road improvements
o Staff recommends Council adoption of the resolution approving the feasibility report,
authorizing preparation and plans and specifications, and establishing a May 21, 2008,
public improvement hearing date.
Council Member Grossklaus asked how the tabling of item 8D would affect the project, and
the Community Development Director said the project would not be affected because the City
will have acquired the property, that an agreement had been reached with the property
owner. The City Attorney added that she is expecting to receive the title report on
Wednesday, a probate records check will be likely, and it appears that the property was a
forgotten parcel.
Council Member Rice inquired as to the depth that will be needed for improvements, and the
City Engineer cited a measurement of approximately 24 inches.
Council Member Luden said he wanted to make sure that drainage would be done correctly
and consistent with the plan and the response was that affected residents would receive
pertinent detail.
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Mayor Shiely asked whether the final assessment would be in the fall, and the City Engineer
stated that the bid project would be in November, an award in December, project construction
in the spring of next year and assessment in October of 2009.
MOTION BY GROSSKLAUS, SECONDED BY BAILEY, TO ADOPT RESOLUTION NO. 08-
084 APPROVING THE FEASIBILITY REPORT, AUTHORIZING PREPARATION OF PLANS
AND SPECIFICATIONS, AND ESTABLISHING A MAY 21, 2008, PUBLIC IMPROVEMENT
HEARING DATE FOR THE TRUNK HIGHWAY 95 (MANNING AVENUE) AT LEHIGH ROAD,
STREET AND DRAINAGE IMPROVEMENTS.
MOTION CARRIED 5-0.
D. Consider authorizinq staff to acquire a part of Parcel 25-027-21-43-0001 for $5,300.00
to realign the intersection of Lehiqh and Manning Avenues.
This item was pulled from the agenda.
E. Consider license/permit fees paid bv nonprofit orqanizations.
The City Administrator provided information to Council for discussion purposes only regarding
license/permits for nonprofit organizations, citing documentation of the various types of
licenses/permits issued to nonprofit organizations and fees during the three-year period of
2006 to 2008. He reported that there have been requests made by nonprofits to waive
license/permit fees for their organizations, which is contrary to current policy. Options for
consideration are to 1) do nothing and maintain policy of charging nonprofit and fraternal
organizations for permits and licenses, 2) waive fees for registered nonprofit, fraternal, and
veteran organizations, or 3) direct staff to reevaluate existing fees and amounts charged.
Council Member Grossklaus reported that he had been contacted by a charity questioning
why City fees were charged when an event is on School District property and how the City
can assess a fee for services when City services aren't being used.
Council Member Bailey reported that he had also been contacted by the nonprofit group
regarding permit issues.
Mayor Shiely said she respected what nonprofits are doing for their groups and the
Community but also noted that the City must pay license/permit fees as everyone else. She,
however, would go along with the option for a three-year permit, as noted earlier.
Council Member Luden, referencing 501 C3 document, commented that it is not up to the City
to determine what charities should be supported or not.
Mayor Shiely said she would be interested in looking at the validity of costs and what the City
is responsible for in events that occur on School District property. She said that she is
uncomfortable with a change from the current policy and would be opposed to staff going
back and totally re-evaluating the existing fee system, preferring that answers be obtained
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Page 11
without having to do that.
Council Member Luden inquired whether it would be possible, instead, to benchmark a few,
and the City Administrator responded affirmatively, adding that fee information could be
obtained from Metro Cities' surveys.
Council Member Grossklaus requested outdoor event clarification, as there is no outdoor fee
for Friday football games. Mayor Shiely said she also would be interested in knowing the
School District restrictions in their agreements.
Mayor Shiely opened the floor to audience comment.
Michelle Smith, Relay for Life, stated that this would be the second year of their event, which
will be held July 11, and is put on by volunteers with most supplies provided by donations.
She said no Public Safety response was needed the previous year, though they made an
appearance, or need for Public Works assistance. Ms. Smith cited concern about the cost of
the $250 permit because it means a lot when raising funds for a nonprofit event. She
questioned what the $250 pays for, other than processing the application.
Mayor Shiely said she would like to see the signed School District contracts, which would cite
their liability, clean-up, etc.
RESPONSE TO PREVIOUSLY RAISED COUNCIL COMMENTS AND REQUESTS
None.
COUNCIL COMMENTS AND REQUESTS
Council Member Bailey welcomed volunteers to attend the next Strawberry Fest meeting on
April 21, 6 p.m., at City Hall. Information can also be obtained on the City website.
Mayor Shiely complimented the Public Works Department for their "innovative and clever"
idea of placing orange flags wherever dog feces have been located.
PAY BILLS
MOTION BY RICE, SECONDED BY BAILEY, TO APPROVE PAYMENT OF CHECK
NUMBERS 154632 TO 154810 IN THE AMOUNT OF $664,036.36.
MOTION CARRIED 5-0.
WORKSHOP SESSION — OPEN
None.
WORKSHOP SESSION — CLOSED
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None.
ADJOURNMENT
MOTION BY LUDEN, SECONDED BY GROSSKLAUS, TO ADJOURN THE MEETING AT
9:07 P.M.
MOTION CARRIED 5-0.
Respectfully submitted,
Mary Heintz
TimeSaver Off Site Secretarial, Inc.
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