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HomeMy WebLinkAbout2003-02-19 MINUTES REGULAR MEETING COTTAGE GROVE CITY COUNCIL February 19, 2003 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. Mayor Shiely encouraged persons to limit their remarks to two (2) minutes per issue. Present: Mayor Sandy Shiely Council Member Cheryl Kohls Council Member Pat Rice Council Member Jim Wolcott Council Member Mark Grossklaus Also Present: Ryan Schroeder, City Administrator Ron Hedberg, Finance Director Kim Lindquist, Community Development Director John Mickelson, Public Safety Director Nancy Hanzlik, City Engineer Les Burshten, Public Works Director Corrine Thomson, City Attorney Michelle Wolfe, Assistant City Administrator Caron Stransky, City Clerk Gene Smallridge, 10992 Douglas Drive, stated that the time has come to ban snowmobiles in Cottage Grove. He asked that the ban include 4-wheelers, 3-wheelers and ATV's. The use of these vehicles has been out of control for a long time, noting that most operators do not respect speed or property. Smallidge explained that the Police Department is being given a near impossible task of trying to catch snowmobilers or ATV's with a squad car. He stated that he has tried to work with snowmobilers through local organizations in the area in addition to providing two miles of marked trails on his personal property. He explained that the snowmobilers totally disregard marked property and overrun the area, which in turn causes damage to fields needed for planting. He provided the Council with an example stating that his friend relies on Washington County for police enforcement. The Washington County Sheriff's Department sent four deputies, three squads, and three snowmobiles into the posted area making 50 arrests. Mr. Smallridge provided the Council with photographs showing the intersection of Jamaica and th 100Street. He explained that the photographs show an area, clearly posted 'no snowmobiling', where two snowmobilers have adjusted the fencing and gone around into the restricted area. He explained that the area included native prairie grasses that were damaged by the trespassers. He expressed concerns stating that there are areas of danger and hidden cable. He reviewed th slides of the restricted areas within Cottage Grove noting that along 100 Street, between Jamaica and Ideal, there are no ditches, only planted boulevards stating that the areas have been damaged by frequent use of snowmobiles in the area. He stated that several residents of Regular Meeting – February 19, 2003 Cottage Grove City Council Page 2 of 15 the area, including 3M, have requested no snowmobiling in the area noting that the requests and restrictions are being ignored. Mr. Smallridge stated that the use of recreation vehicles is also out of control referencing the amount of destruction the vehicles have done to property. He stated that there are dangers presented when users do not respect the restricted use areas. He assured the Council that the problem is not a unique concern just to him. He explained that he speaks not only for himself but also for many of the residents in the area. He stated that on several occasions he has been invited by Senator John Marty’s Office to represent the farming community and to speak on the destruction and abuses of snowmobiling. He stated that many have called in the past only to give up because the problem was not addressed noting that many do not call because they are new to the community and do not realize that this is not acceptable. He stated that the residents are not happy with the situation noting that many of the restricted use areas that are experiencing this problem are residential areas with small children. He asked if it would take the death of a child to change the situation. Mayor Shiely informed Mr. Smallidge his concerns will be referred to public safety for a report at a future meeting. CALL TO ORDER The City Council of the City of Cottage Grove, Washington County, Minnesota held a regular th meeting on Wednesday, February 19, 2003, 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 Cheryl Kohls Council Member Pat Rice Council Member Jim Wolcott Council Member Mark Grossklaus Also Present: Ryan Schroeder, City Administrator Ron Hedberg, Finance Director Kim Lindquist, Community Development Director John Mickelson, Public Safety Director Nancy Hanzlik, City Engineer Les Burshten, Public Works Director Corrine Thomson, City Attorney Michelle Wolfe, Assistant City Administrator Caron Stransky, City Clerk Mayor Shiely presided over the meeting. Regular Meeting – February 19, 2003 Cottage Grove City Council Page 3 of 15 ADOPTION OF AGENDA Mayor Shiely stated that Item 8A - Update on Thompson Grove Gas Main would be moved to Item 13A - Closed Workshop. She explained that the change is due to potential litigation. MOTION BY WOLCOTT, SECONDED BY GROSSKLAUS, TO APPROVE THE AGENDA AS AMENDED. MOTION CARRIED 5-0. APPOINTMENTS AND PRESENTATIONS A. PRESENTATIONS 1. Recognize Commission and Committee Volunteers. Mayor Shiely stated the City Code allows a member of a Commission to serve no more than three consecutive two-year terms or two consecutive three-year terms. She stated that they have five members whose terms will expire on March 1, 2003. She stated that Commissioners do their work without pay and very little recognition. She stated that on behalf of the Council and the residents of Cottage Grove she would like to thank all of them for their hard work and a job well done. She stated that the City would like to recognize each of the individuals with a Certificate of Appreciation. The Council came forward and presented Certificates of Appreciation to Gary Golusky, Keith Kleinsasser - Advisory Committee on Historic Preservation; Mark Leier, Mark Rudek - Public Safety, Health and Welfare Commission; Herb Japs - Planning Commission; Steve Ingram, Dante Massarotti - Public Works Commission. Messrs. Golusky, Kleinsasser, and Rudek were not in attendance. Mayor Shiely thanked them for their past service to the community as a member of a City Advisory Committee or Commission. APPROVAL OF MINUTES NONE CONSENT CALENDAR MOTION BY WOLCOTT, SECONDED BY KOHLS, TO: A. ACCEPT AND PLACE ON FILE THE FOLLOWING MEETING MINUTES: i. PARKS, RECREATION, AND NATURAL RESOURCES COMMISSION OF DECEMBER 9, 2002. ii. PUBLIC SAFETY, HEALTH, AND WELFARE COMMISSION OF JANUARY 14, 2003. iii. PUBLIC WORKS COMMISSION OF JANUARY 13, 2003. Regular Meeting – February 19, 2003 Cottage Grove City Council Page 4 of 15 B. APPOINT CHRISTIAN L. REESE TO THE PLANNING COMMISSION FOR A THREE- YEAR TERM COMMENCING MARCH 1, 2003 AND ENDING FEBRUARY 28, 2006. C. AUTHORIZE STAFF TO PURCHASE A STEAMER/CONVECTION COUNTERTOP FOR RIVER OAKS GOLF COURSE FOR $2,575.00 PLUS SALES TAX. D. APPROVE RE-APPOINTMENT OF DON PEREIRA TO A THREE-YEAR TERM TO REPRESENT COTTAGE GROVE AS A MANAGER FOR THE SOUTH WASHINGTON WATERSHED DISTRICT. E. APPROVE RE-APPOINTMENT OF FOLLOWING COMMITTEE/COMMISSION MEMBERS FOR ADDITIONAL TWO-YEAR TERM OF MARCH 1, 2003 THROUGH FEBRUARY 28, 2005:  GLEN BROWN AND KIP SUNDGAARD TO THE ADVISORY COMMITTEE ON HISTORIC PRESERVATION;  BART FISCHER AND JIM SHINN TO THE HUMAN SERVICES/RIGHTS COMMISSION;  STEVE MORSE, EDDY WUORENMA, JON MORTRUD AND TIM SIRIANNI TO THE PARKS, RECREATION AND NATURAL RESOURCES COMMISSION;  BRUCE GENGNAGEL TO THE PUBLIC SAFETY, HEALTH AND WELFARE COMMISSION;  KEN BOYDEN AND JAN WUORENMA TO THE PUBLIC WORKS COMMISSION. APPROVE RE-APPOINTMENT OF MYRON BAILY AND ROBERT SEVERSON TO THE PLANNING COMMISSION FOR A THREE-YEAR TERM OF MARCH 1, 2003 THROUGH FEBRUARY 28, 2006. F. APPOINT KARLA BIGHAM AS CHAIRPERSON AND BRUCE GENGNAGEL AS VICE- CHAIRPERSON OF THE PUBLIC SAFETY, HEALTH AND WELFARE COMMISSION FOR THE YEAR 2003. G. RECEIVE MEMBERSHIP SCHEDULES FOR THE ECONOMIC DEVELOPMENT AUTHORITY; HISTORIC PRESERVATION COMMITTEE; HUMAN SERVICES/RIGHTS COMMISSION; PARKS, RECREATION AND NATURAL RESOURCES COMMISSION; PLANNING COMMISSION; PUBLIC SAFETY, HEALTH AND WELFARE COMMISSION AND PUBLIC WORKS COMMISSION. RD H. APPROVE CHANGE ORDER #1 FOR THE TIMBER RIDGE 3 ADDITION PROJECT. I. APPROVE CHANGE ORDER #1 FOR THE SUMMIT AT HIGHLAND HILLS UTILITY, STREET, AND STREET LIGHTING IMPROVEMENT PROJECT. J. RECEIVE INFORMATION FOR NPDES PHASE II PERMIT APPLICATION. K. ADOPT RESOLUTION NO. 03-024 APPROVING PLANS FOR COUNTY PROJECT NO. SAP 82-613-07, SAP 192-020-09, and SAP 180-020-01 FOR THE CONSTRUCTION/ RECONSTRUCTION OF COUNTY STATE-AID HIGHWAY NO. 13 (HINTON AVENUE SOUTH). ADOPT RESOLUTION NO. 03-025 APPROVING PLANS FOR PROJECT NO. SAP 82- 613-20 AND SAP 180-020-03 FOR THE CONSTRUCTION/RECONSTRUCTION OF TH CSAH13 (HINTON AVENUE SOUTH) AND 65 STREET SOUTH. ADOPT RESOLUTION NO. 03-026 BANNING PARKING OF MOTOR VEHICLES ON TH BOTH SIDES OF CSAH 13 (HINTON AVENUE) FROM 65 STREET SOUTH TO THE NORTH CITY LIMITS AT ALL TIMES. ADOPT RESOLUTION NO. 03-027 BANNING PARKING OF MOTOR VEHICLES ON THE FOLLOWING ROADWAYS AT ALL TIMES: Regular Meeting – February 19, 2003 Cottage Grove City Council Page 5 of 15 TH  BOTH SIDES OF CSAH 13 (HINTON AVENUE SOUTH) FROM CSAH 22 (70 TH STREET SOUTH) TO 65 STREET SOUTH TH  BOTH SIDES OF 65 STREET SOUTH BETWEEN ¼ MILE WEST OF CSAH 13 (HINTON AVENUE SOUTH) AND IDEAL AVENUE SOUTH. L. ADOPT RESOLUTION NO. 03-028 EAST MISSISSIPPI WATERSHED MANAGEMENT ORGANIZATION CONSOLIDATION WITH SOUTH WASHINGTON WATERSHED DISTRICT. ADOPT RESOLUTION NO. 03-029 EAST MISSISSIPPI WATERSHED MANAGEMENT ORGANIZATION JOINT POWERS AGREEMENT DISSOLUTION. ADOPT RESOLUTION NO. 03-030 SOUTH WASHINGTON WATAERSHED DISTRICT BOUNDARY CHANGE. M. RECEIVE INFORMATION REGARDING LOCAL GOVERNMENT AID. N. ADOPT RESOLUTION NO. 03-031 APPROVING THE FINAL PLAT KNOWN AS TIMBER TH RIDGE 5 ADDITION. MOTION CARRIED 5-0. Mayor Shiely stated that if anyone is present for issues on the Consent Calendar all have been passed. RESPONSE TO PREVIOUSLY RAISED OPEN FORUM ISSUES NONE PUBLIC HEARINGS A. 1. Hold the Public Hearing on the Public Improvements for the Hinton-Tower Project. Don Stern, WSB & Associates reviewed the project with Council. He explained that the project has been in the works for approximately 4-5 years adding that it would be extending north up to Military Road. Due to funding sources and timing, the project was split into two separate projects. Stern reviewed the funding process and State Aid for the project stating that as the area is developing the demand on the road is increasing. He stated that the County has received federal funds, which is one of the reasons they are moving forward. The construction work would be open for bid by the end of March with a potential start date in April. He reviewed the areas and the schedule for the project with Council. Stern referenced a pedestrian/bikepath along the east side stating that as the County expands the pathway would be continued further north. He reviewed the drainage areas for the first phase. He stated that the second project is scheduled th for late summer and would extend from 65 north to Military Road. He explained that a portion of the area would be constructed this year with the remainder of the project construction to be completed in 2004. th Council Member Grossklaus clarified that after school is out in June, that both Hinton and 65 th Street would be closed. Mr. Stern stated that Hinton Avenue would be closed first with 65 Street Regular Meeting – February 19, 2003 Cottage Grove City Council Page 6 of 15 to follow. He stated that the intersection at Ideal Avenue would be left open and reviewed the detour route south of Ideal. Mr. Stern expressed concerns stating that the area would have to be completely closed to drive- through traffic. He stated that presently there is no signage along Ideal Avenue closing the area from people entering the construction area. He stated that there would be some signage but that it would be difficult to regulate and enforce. They are looking to local law enforcement to help regulate and enforce the area. Council Member Kohls expressed concerns regarding the length of the detour and asked if there was anything that could be done to allow some traffic through the area. Sandy Cullen, Transportation Manager for Washington County stated that they worked with the City to determine the shortest detour route possible. When they did the site review for the roadway construction, it was determined that the best approach would be to close the area completely, get in, get the work done, and get out, quickly. She stated that they would install barricades on Ideal th Avenue and 77 Street to deter drive-through traffic. She asked for the City's assistance with enforcement of the barricades. Council Member Kohls asked for clarification of the project schedule. Mr. Stern stated that the project would take approximately 50-60 workdays. Council Member Grossklaus noted the unpredictability of weather in Minnesota and asked if they had a plan in place to transport children to school if work is not completed within the projected 60 workdays. Mr. Stern stated that the plans and specifications would include language that would th enforce the completion date of the project. He acknowledged the importance of 65 Street to the area stating that it is a straight section of roadway that would not require a lot of sewer and water work. He agreed that weather could be an issue adding that construction would be during the months of June, July and August. He stated that they would get as much work completed on th Hinton Avenue first before they actually have to close 65 Street. thth Council Member Grossklaus asked if 69 or 67 Streets would be open at different periods of the project so as to allow at least two access points to the area. Mr. Stern explained that they reviewed the access options stating that utility relocation work would need to be completed first. He stated that they would attempt to do this as efficiently as possible. thth Council Member Rice stated that the east side of Hinton, between 70 and 65Street, is basically curved and asked how much would be removed along the curb line. Mr. Stern stated that they would remove approximately five feet. Council Member Wolcott asked if they are going to close the road up by Military Road to divert traffic from the north over to Jamaica. Ms. Cullen clarified the location of the detours for both thth projects stating that the first project detour would be at Hinton between 65 & 70 Street and the second project detour would be at Military Road. th Council Member Kohls asked for clarification of traffic control at the intersection of 65 and Hinton th when completed. Mr. Stern stated that 65 Street would be a controlled stop and Hinton Avenue Regular Meeting – February 19, 2003 Cottage Grove City Council Page 7 of 15 would be a drive-through. He provided the Council with an overview of what the area would look like when completed. Mayor Shiely opened the Public Hearing at 7:55 p.m., for public comment. Mark Leir, 6602 Homestead Avenue South, stated that while he was a member of the Public Safety, Health and Welfare Commission he became aware of the number of traffic complaints they received regarding Ideal Avenue. He expressed concerns regarding traffic enforcement and safety noting that the area has a large number of children that are used to a quiet area and tend to play in the streets. He referenced the proposed walkway and expressed concerns regarding assessments. He referenced the closing of the access to the area and expressed concerns regarding the ability of farmers in the area access to their fields. He asked Ms. Cullen and Mr. Stern to consider another detour other than Ideal Avenue. Bill Pritchard, Orrin Thompson Homes, stated that his company has submitted a formal letter opposing the proposed assessments. He stated that they are presently working with the City and County to address the issues. th Alice Young, 7930 65 Street South, asked if Council would be addressing the assessments. She stated that they own property on both sides of the area in question adding that she would like to have an idea of what she would be paying for assessments. Community Development Director Lindquist stated that they do not have firm numbers available at this time. She provided the Council with a brief overview of the assessment process stating that the City's share is approximately $1.2 million and that they are looking at assessing for approximately $900,000. She explained that the numbers are based on R2.5 zoning. Council Member Wolcott clarified his understanding of the assessment process stating that normally assessments would include driveways, backyards and side property with an agreement that the County would retain control of the side roads. He asked how the assessments would be handled when they are determining assessments on property they do not own. City Administrator Schroeder explained that they are still working through the assessments. Council Member Wolcott reviewed the area and expressed concerns. He noted that they are limiting curb cuts along the roads, that they have only assessed roads where people have access by their driveways and he referenced future homes in the US Homes project stating that he is not sure there would be anyone fronting along that road. City Administrator Schroeder clarified that they are presently reviewing assessments for the area. He stated that they are currently talking with the owners of the major properties for which right-of-ways are necessary. Mayor Shiely asked City Administrator Schroeder to address Alice Young's concerns directly. City Administrator Schroeder explained that past practice for a large parcel such as theirs was to recognize the parcel's potential development opportunities. He further explained that they would look at it as an opportunity for a certain level of development and propose assessments based on the level of opportunity identified. Ms. Young stated that it is her understanding that they would be assessed based on the number of single-family homes that would fit on the lot and that they th are going to assess a certain amount of property along 65, north to Military and asked if this was Regular Meeting – February 19, 2003 Cottage Grove City Council Page 8 of 15 correct. City Administrator Schroeder stated that they are recognizing improvements on both sides adding that there would be only one assessment. He provided a brief overview of the assessment process stating that they would review her area and get back to her with a response. th Mary Dahlin, 7536 65 Street, stated that she came to the hearing because the notice stated that the hearing would discuss the assessments. She expressed her frustration stating that she was expecting more answers. She asked for further clarification of the formula used and asked if they would be assessed for the number of single-family homes that would fit on her acreage whether she wants homes there or not. City Administrator Schroeder explained that this public improvement hearing is intended to establish if the City is going to move forward with the project. He stated that there would be a separate hearing held to discuss the assessments. He explained that the formula that would be proposed to Council would replicate past assessment projects. He stated that they have past projects that have used formulas that relate to the benefit potential based on an appraisal. He explained that an appraiser is contracted to provide an assessment recommendation that could be proven in court that the property market value has been enhanced by improvement. Ms. Dahlin asked for clarification of the hearing process for assessments. City Administrator Schroeder stated that there is a Public Assessment Hearing held towards the end of the project. He stated that Staff is presently working through the assessment process noting that the process would be affected by the right-of-way acquisitions. He stated that the County would need to acquire the right-of-way before assessments could be determined. He explained that the County would notify the City of their costs for the right-of-way. He further explained that there is a lot of property that has to be acquired for the project and the acquisition of the property has a lot to do with costs. Ms. Dahlin expressed concerns that her land was being taken and asked how she could become more involved with the process. City Administrator Schroeder confirmed that there would be improvements along her property and that her property would benefit by the improvements. He clarified that this is a County project and that both the City and County pay a portion of the costs. He stated that they are still working through the costs and that they are considering several formulas that would be discussed at a later date. Ms. Dahlin clarified that it would be August timeframe before they would have definite information on the assessment process. City Administrator Schroeder stated that they could have the information sooner but that the project would be completed until late September, early October. Ms. Dahlin asked how the assessments would be paid. City Administrator Schroeder explained that it is based on a 15-year amortization schedule that would include interest. He stated that the assessment could be paid in full any time during the term. Mayor Shiely closed the Public Hearing at 8:20 p.m. 2. Consider Ordering the Improvement and Preparation of Plans and Specifications for the Hinton-Tower Project. Regular Meeting – February 19, 2003 Cottage Grove City Council Page 9 of 15 Council Member Kohls expressed concerns regarding communication of the assessment process. She stated that she could not remember a project where the City did not have the assessment information available to the homeowners prior to moving forward on a project. She stated that to make a decision to move forward on a project without knowing the costs to the property owner is backward and unfair to the property owners. She stated that the assessment process has her very concerned in addition to the safety issues along Ideal Avenue. She stated that to expect the police department to control the area for three months is unrealistic. Without knowing more on the assessments and without a discussion with the police department she would vote “no” on the project. Council Member Wolcott expressed his agreement with Council Member Kohls and asked if Staff would recommend deferred assessments until they know the actual costs. He stated that he could not agree that the property has that much value unless it is subdivided. City Administrator Schroeder stated that they have not discussed deferrals. He stated that they have been working with an appraiser, Roger Rohr, to ensure that whatever formula chosen results in assessments that are appropriate to the value of the property. City Attorney Thomson reviewed the deferral statute and clarified the assessment process of properties yet to be subdivided with Council. She stated that this could be further investigated before the assessment hearing. She noted several cost implications that would need to be considered. She stated that the ability to assess based on its' potential is dependent upon what the market would say and if the property is readily marketable for subdivision. She further explained that regardless of whether the owner wants to subdivide, the assessment is based on the enhanced value of the property and whether it is marketable. Mayor Shiely asked for clarification if the properties are not in the MUSA. City Attorney Thomson stated that it is a question of whether the property could be reasonably subdivided. Mayor Shiely stated that this is a classic situation of why they are losing open space in the metropolitan area. She stated that she is not proud of the situation adding that over all the years of reviewing the Hinton project, the assessments has not been reviewed. She stated that this should be reviewed further. Council Member Kohls expressed concerns that a small number of homeowners would have to bear the largest portion of the costs through assessments. She stated that the numbers are not equitable. City Administrator Schroeder stated that the decision is ultimately the City Councils’ regardless of the formula presented. Council Member Wolcott stated that he is willing to go along with the plans and specifications presented, with the inclusion of a review in April. He clarified that no one on the Council would go along with anyone having to sell his or her land due to assessments. City Administrator Schroeder stated that they would present an amendment at the next Council meeting. Regular Meeting – February 19, 2003 Cottage Grove City Council Page 10 of 15 th Mayor Shiely asked for further clarification of the expansion to 70 Street. Ms. Cullen explained that they were looking at transitioning the road back to the existing cross section. She stated they recommend the addition of the turn lanes due to the increase in traffic. Council Member Grossklaus asked for clarification of the signage and what the posted speed limit would be. Ms. Cullen stated a speed study would be done upon completion of the project to determine the posted speed. She stated that there would be a four-way stop at Hinton and at Military Road. th Council Member Grossklaus referenced the discussion for stoplights on 69 Street and expressed concerns that the residents would have difficulty getting out of the Highlands development. Community Development Director Lindquist reviewed the signal lights discussion with Council stating that a traffic study was done and included into the 2020 profile. Council Member Grossklaus clarified that they would not review again until 2020. Ms. Cullen th clarified that they would be installing signals at 70 Street and Hinton and also along Military and Hinton at a later date. She reviewed the criteria used to determine the need for controlled intersections. Council Member Grossklaus asked if the road would be developed to handle this type of traffic th flow. Ms. Cullen clarified that the transition would be to a 4-lane, undivided along 70 Street. She stated that this would be the long-term design for the area. Council Member Grossklaus referenced Ideal Avenue and expressed concerns regarding the park entrance and children in the area. He stated that he is quite sure that residents will not go all the way around to Jamaica. He stated that it would make more sense to send the detour along to the north or west of the school area. He stated that this is a huge concern adding that this is poorly designed. Ms. Cullen agreed that it is a difficult situation and apologized for not working directly with Public Safety. She stated that they would make it a point to work with them to determine if there are better options available. She stated that several options were discussed at the neighborhood meetings. Council Member Wolcott suggested placing the detour during the first phase on Ideal Avenue He stated that this would allow residents time to adjust to the detour. Ms. Cullen agreed. Mayor Shiely asked Staff to clarify if the motion before Council would be a commitment to the $900,000.00. City Administrator Schroeder clarified that the motion would be committing to the County that they are approving the project. He stated that they are not committing to any particular funding formula at this time. He provided the Council with an overview of the funding process stating that it is included in the CIP. Council Member Kohls asked the Public Safety Director Mickelson how he perceives the detour for Ideal Avenue. She asked if enforcing the detour would impact his budget, if he thought the through traffic could be controlled and if not, would it be a safety issue. Public Safety Director Mickelson stated that he did not believe it would impact his budget. He reviewed the enforcement process with Council stating that it is a priority concern. He expressed concerns stating that he Regular Meeting – February 19, 2003 Cottage Grove City Council Page 11 of 15 does not think it would work noting that they would probably have to use squad cars to block traffic. He stated that if the area were not blocked off completely, enforcement would be difficult. Mayor Shiely asked if he would be satisfied with safety access if the area were totally blocked. Public Safety Director Mickelson stated that he believed they could serve the neighborhood with the access provided for a short period of time. He stated that if there were a secondary access that they would be all right with respect to emergency response time. MOTION BY WOLCOTT, SECONDED BY RICE, TO ADOPT RESOLUTION NO. 03-032 ORDERING IMPROVEMENT AND PREPARATION OF PLANS AND SPECIFICATIONS FOR CSAH 13, AKA THE HINTON/TOWER PROJECT. MOTION CARRIED 4-1. (1 NAY-KOHLS). BID AWARDS A. Consider Awarding the Phase 2 Site Assessment bid to ShelterTech Corporation in the Amount of $1,350.00. MOTION BY RICE, SECONDED BY WOLCOTT, TO ADOPT RESOLUTION NO. 03-033 AWARDING BID FOR THE DEMOLITION OF THE OFFICE CONDO, VETERINARY CLINIC AND VICTORY CHURCH FOR THE GATEWAY DEMOLITION PROJECT IN THE AMOUNT OF $1,350.00. MOTION CARRIED 5-0. UNFINISHED AND NEW BUSINESS A. Update on Thompson Grove Gas Main. Moved to Item 13A, Closed Workshop Session. RESPONSE TO PREVIOUSLY RAISED COUNCIL COMMENTS AND REQUESTS NONE. COUNCIL COMMENTS AND REQUESTS Council Member Grossklaus noted that the nuisance ordinance made it into the Cottage Grove Report stating that he received letter in response to the article asking how we plan to enforce the ordinance. He asked if an enforcement process was in place now that the ordinance has been made public. City Administrator Schroeder explained that Staff was in the process of proposing that Council allocate a portion of the 2003 Council Contingency funds towards an enhancement of staffing to handle code enforcement. He stated this has been put on hold due to the potential cuts in local government aid and market value homestead credit from the State. Community Development Director Lindquist explained that, from the perspective of the Community Development department, they have been more remiss in handling complaints in a Regular Meeting – February 19, 2003 Cottage Grove City Council Page 12 of 15 timely manner due to lack of staffing. She stated that since Staff has been at full compliment they have had code enforcement as a higher priority noting that they have been more proactive by having inspectors note violations while they are in the field. She explained that they have implemented a blanketing process to address an entire street when they receive a specific complaint. She further explained that they canvas the entire street for potential violations when they are addressing the complaint. With the new processes and staffing they have been able to step up the code enforcement process and become more proactive in the field. She stated that they are also streamlining the process by utilizing tags for certain violations versus mailing formal letters. Staff is confident that the new processes would allow them to be more efficient with the handling of complaints and that it would allow them to address more of the residents concerns in a more timely fashion. Council Member Grossklaus asked for an update on the senior housing issues. City Administrator Schroeder stated that they continue to receive contacts from senior housing developers interested in construction and reviewed various proposals that have been received with Council. He stated that presently they do not have any proposals to bring forward for Council review. Mayor Shiely stated that she received a letter last week relating to the Tschida Development that would be reviewed by the Planning Commission. She read the letter to Council stating that it expresses concerns regarding the lack of one-level housing in Cottage Grove. She stated that the resident encouraged the Council in their letter to take this concern under consideration as it is causing long-time residents of Cottage Grove to move to other areas to accommodate their need for senior housing. She provided the Council with a brief overview of the Tschida proposal noting that they are not promoting the area as heavily as they originally thought. She stated that Council would like to see more of the one-level senior housing included in the proposals. Council Member Kohls referenced the State Fiscal issues and asked when they would know, from the State, how much and when would the citizens begin to feel the pinch. City Administrator Schroeder stated they would probably know all the details when the Legislature adjourns. He explained that before the recommendation is implemented the DFL Party has stated that they want to canvas the State for input from the citizens. He stated that he is not aware of any proposed bills before the Legislature that would include all of the Governor's recommendations. He explained that the bills would have to go through the normal process noting that May 19, 2003 is their date for adjournment. City Administrator Schroeder explained that with the Governor's proposal the City of Cottage Grove would lose approximately $800,000.00. He stated that there is still some distance between the original proposal and what it could ultimately be when everything is finally decided. He stated that some education on the issues should take place in addition to discussions between City Staff, Council, and others. He stated that the proposal does not recognize that some cities are growing while others do not. He stated that the proposal penalizes cities that are growing because it assumes that a City should not increase their spending anymore than a given percentage. He explained that under the proposed formula Cottage Grove would lose approximately 95% of it aid, while some cities in Greater Minnesota on average are losing only 31% of their aid. He stated that there are several cities that are in the same or similar Regular Meeting – February 19, 2003 Cottage Grove City Council Page 13 of 15 circumstance as Cottage Grove. It is important that the City Council, as a body, ensures that the State Representatives and Senator have a good understanding of how the recommendations would impact Cottage Grove and how the Council would like these issues addressed. Schroeder stated that Staff has been preparing for this moment for some time now and he acknowledged how City Council has constrained its' growth in the operating budget in addition to deliberately growing its' funds reserves in order to react to situations such as this. He stated that unfortunately, now that they have operated in a fiscally prudent fashion, they are in a position of being criticized for reacting in this very fashion because they have reserves beyond what would be reasonably be expected. He stated that Staff and Council should work together to determine ways to react with respect to revenue enhancements or program adjustments. He stated that the City has the ability to react in a fairly positive fashion this year adding that he has concerns regarding the impact on the following year. Council Member Kohls explained that her concerns are the fact that they have already been operating in a relatively conservative fashion stating that now they are in a budget situation that requires more constraint in a growing City. She expressed concerns that the citizens would begin to see a lack of services provided and that it would affect the quality of the services provided. City Administrator Schroeder clarified that this is a proposal of the Governor. He stated that the Council should do whatever they can to remain vigilant in reacting to the proposal. Council Member Kohls asked if the community could help in any way and suggested several avenues for communication such as the local newspapers, and writing letters to their legislators. Mayor Shiely explained that the Minneapolis and St. Paul local governments are very dependent upon local government aid, many of the smaller cities are not. She stated that the question of disparity in aid to local government aid came up during a discussion at the 3M Business breakfast. She stated that it was her understanding that one of the items that they would be seriously reviewing is the formula for local government aid, which outdated and needs to be updated. Mayor Shiely referenced an article in the St. Paul Pioneer Press regarding fiscal disparities stating that it shows that Cottage Grove ranks second or third in the metro area for what they receive. City Administrator Schroeder explained that fiscal disparity is not unlike local government aid in that it has a similar intent in sharing the growth of the commercial tax base in the metro area. He explained that it was established in order to recognize that not all cities are equally placed on the same playing field for commercial development in the community. It is set up to recognize this imbalance and allows lower tax base communities to share in the income. He stated that they are compared with 34 cities and of these cities Cottage Grove has the third lowest tax capacity per capita. Mayor Shiely stated that she has asked City Administrator Schroeder to put together the numbers as they become available for Council review. Council Member Wolcott stated that City Administrator Schroeder has done a great job in keeping the information moving to Council. He stated that this is a very important time and asked that information be provided to Council as quickly as possible so that they can stay up to date on the Regular Meeting – February 19, 2003 Cottage Grove City Council Page 14 of 15 issues. City Administrator Schroeder stated that they would forward information, as it becomes available. PAY BILLS MOTION BY WOLCOTT, SECONDED BY RICE, TO APPROVE PAYMENT OF CHECK NUMBERS 127814 TO 128069 TOTALING $500,027.13. (CHECKS 127814-127869 IN THE AMOUNT OF $198,168.54 ISSUED PRIOR TO COUNCIL APPROVAL.) MOTION CARRIED 5-0. WORKSHOP SESSION – OPEN NONE. WORKSHOP SESSION – CLOSED City Attorney Thomson explained that law requires that they explain the reason why Council is going into a closed work session. She stated that the City has let a contract for the Thompson Grove Pavement Management project noting that the work has been in progress for a year. She stated that before the City let the contract, they received commitments from Xcel to handle a dual- maining process. She explained the process to Council stating that this has been the method of proceeding used during the first half of construction, which occurred last year. She stated that Xcel confirmed, in a conversation today with Public Works Director Burshten, that they would not be dual-maining for the second half of this project. She stated that if this contract has already been let that this would have significant cost implications for the City. She stated that all of the plans and specifications were based on a certain method of proceeding with construction. She stated that based on the timing for the contract and the significant cost implications that the City should strongly consider litigation against Xcel to address this situation. She stated that as Attorneys for the City they would like to be able to advise Council on the strengths and weaknesses of the City's position in this case and can only do so under absolute confidentiality. She stated that they are recommending that Council go into closed work session for further discussion. Mayor Shiely called a 5-minute recess at 9:30 p.m. Present: Mayor Sandy Shiely Council Member Pat Rice Council Member Cheryl Kohls Council Member Jim Wolcott Council Member Mark Grossklaus Also Present: Ryan Schroeder, City Administrator Nancy Hanzlik, City Engineer Les Burshten, Public Works Director Corrine Thompson, City Attorney Jim Strommen, City Attorney Regular Meeting – February 19, 2003 Cottage Grove City Council Page 15 of 15 MOTION MADE AND SECONDED TO TEMPORARILY ADJOURN THE REGULAR MEETING TO A CLOSED SESSION. MOTION CARRIED 5-0. Pursuant to the open meeting law, the City Council met in closed session to discuss with the City Attorney potential litigation. MOTION MADE AND SECONDED TO RE-OPEN THE REGULAR MEETING. MOTION CARRIED 5-0. ADJOURNMENT MOTION MADE AND SECONDED TO ADJOURN THE REGULAR MEETING AT 10:00 P.M. MOTION CARRIED 5-0. Respectfully submitted, Bonita Sullivan TimeSaver Off Site Secretarial, Inc.