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Home My WebLink About1998-09-16 MINUTES• REGULAR MEETING COTTAGE GROVE CITY COUNCIL September 16, 1998 OPEN FORUM - 7:15 p.m. Open Forum provides persons an opportunity to inform the Council of a problem or to request information retated to City business that has not been scheduled for Council action and does not appear on the Agenda. Mayor Denzer encouraged persons to limit their remarks to three (3) minutes per issue. Present: Mayor John Denzer Council Member Jim Wolcott Council Member Sandy Shiely Council Member Rod Hale Council Member Cheryl Kohls Absent: None Also present: Ryan Schroeder, City Administrator Kim Lindquist, Community Development Director • Liz Johnson, Finance Director Bob Long, City Attorney Jerry Bourdon, City Engineer Jim Kinsey, Acting Public Safety Director Les Burshten, Public Works Director Michelle Wolfe, Assistant City Administrator At 7:16 p.m., Mayor Denzer opened the Open Forum. Dr. Dan Hoke, Superintendent of South Washington Schools, addressed the Council representing the School District Referendum Committee. He explained that South Washington Schools currently has approximately 15,000 students, up from 10,500 students in 1991. Dr. Hoke explained how schools receive funding from the State Legislature. Dr. Hoke requested the Council consider allowing the School District to use the City's name to endorse their referendum. He believes that strong schools make strong communities and a school district and a community have to be strong together. Council Member Hale suggested that Dr. Hoke speak during the Regular Council Meeting regarding this issue. The Council agreed and asked Dr. Hoke to speak under Item 2C, Presentations. . At 7:29 p.m., Mayor Denzer adjourned the Open Forum. Regular Meeting - September 16, 1998 Cottage Grove City Council Page 2 • CALL TO ORDER The City Council of the City of Cottage Grove, Washington County, Minnesota held a regular meeting on Wednesday, September 16, 1998, at the Cottage Grove City Hall, 7516 80th Street South. Mayor Denzer cafled the meeting to order at 7:30 p.m. ROLL CALL Present: Mayor John Denzer Council Member Jim Wolcott Council Member Sandy Shiely Council Member Rod Hale Council Member Cheryl Kohls Also present: Ryan Schroeder, City Administrator Kim Lindquist, Community Development Director Liz Johnson, Finance Director Bob Long, City Attorney Jerry Bourdon, City Engineer • Jim Kinsey, Acting Public Safety Director Les Burshten, Public Works Director Michelle Wolfe, Assistant City Administrator Mayor Denzer presided over the meeting. ADOPTION OF AGENDA Under Presentations, the Council added Item C, Discussion Regarding the School Bond Referendum. The Final Agenda was accepted as amended. PRESENTATIONS Proclamation Declaring October 12 through 16. 1998, as Minnesota Manufacturers Week Council Member Hale read aloud the proclamation declaring October 12 through 16, 1998, as Minnesota Manufacturers Week. � Regular Meeting - September 16, 1998 Cottage Grove City Council Page 3 • Presentation - PCA/Ashland Site Update Frank Wallner of the Pollution Control Agency ("PCA") presented to the Council the PCA's findings with regard to the site located at Hadley and 100th Street, known as the Ashland site. Mr. Wallner explained that his role with the PCA is to make sure that companies called "responsible parties" pay for their clean-up. The PCA issues certain notices for requests for action, which then starts the process of an investigation. Mr. Wallner stated that he, on behalf of the PCA, helps manage that process. Mr. Wallner briefly reviewed the report previously provided to the City. He explained the history of the site and stated that back in the late 1950s, early 1960s Ashland's predecessor dumped refining waste in the areas of Hadley and 100 and through the years the waste sat. Mr. Wallner explained that the reason the PCA learned about this site was due to a complaint back in the 1970s and 1980s by the police. He explained that the PCA investigated the site and it was determined that waste was dumped in that area. Mr. Wallner then explained what has happened since Ashland started cleaning • up the site. The PCA issued an action request, which required Ashland to conduct an investigation of the site and that lead to a plan to clean up the site. A decision was made to combine this site with the refinery clean up. Mr. Wallner explained that the Ashland site was put on hold until the PCA determined what to do with the refinery. After a considerable amount of time, the PCA decided to handle the two sites separately. Mr. Wallner explained that Ashland settled on two clean-up methods. Area 5 contained approximately 10,000 cubic yards of waste. Using thermal dissortion, which is thermally treating the waste, cleaned it. Clean up of Area 5 was done between October and December of 1997. Before that clean up, a public meeting was held in the Library and news releases were given to inform the public. Mr. Wallner reviewed the status of Areas 1- 5 with the Council: Area 1- Clean up began on June 1, 1998 and Ashland removed 7,500 cubic yards of waste. This project is complete. Area 2- Ashland removed 7,000 cubic yards of waste. This project is complete. Area 3- Most of the waste was asphalt. Ashland tested the asphalt and discovered it contained some hydraulic oils. Ashland believes they have • removed all of the waste. Regular Meeting - September 16, 1998 Cottage Grove City Council Page 4 • Area 4- Contains solid debris. Area 5- This was the largest clean-up area. This project is complete. Mr. Wallner explained that this type of waste is very immobile in water and it does not dissolve. In ten years of ground water monitoring, there has been no ground water impact. Mr. Wallner reported that the Department of Natural Resources ("DNR") has designated this area as a scientific and natural area. Mr. Wallner stated that this site has had a very thorough clean up and Ashland should be thanked for their efforts. Mayor Denzer asked how thoroughly the rest of the area has been inspected and asked how the areas are reviewed. Mr. Wallner responded that air photographs were taken years ago and through Ashland's records they did boring work and trenching to discover the waste. Council Member Shiely asked for an explanation as to why it took 11 years from • the time the waste was identified in this area until the remedial action plan in 1995. Mr. Wallner stated that the PCA has a priority system and the clean-ups are rated. Mr. Wallner agreed that the clean-up took too long. Council Member Shiely asked if the public meeting with the community advisory panel and staff were public informational meetings. Mr. Wallner responded that the first public meeting was to discuss Area 5. Council Member Shiely asked if the public and Staff were aware that there were four other sites that had contamination. Mr. Wallner stated they were mentioned, but the public was not told they would be cleaned-up. Council Member Shiely asked why remedying the project began before a permit was applied for and asked why Staff did not know about the remaining four sites. Mr. Wallner stated that after the clean-up of Area 5, the DNR approached the PCA with a request, as a result of that there was an additional investigation. Mr. Wallner stated that the PCA told the DNR to go to Ashland and Ashland made the decision to clean-up the other four areas. Mr. Wallner stated that the PCA should have informed the City, it was an oversight. Council Member Shiely confirmed that in Area 5 some waste remains 10 feet down and does not impose a human health risk. She asked what could change the health risk. Mr. Wallner responded that if homes were built waste could be � exposed, but this will never happen. Mr. Wallner explained that the deed and transfer documents states that there is waste in the area. Regular Meeting - September 16, 1998 Cottage Grove City Council Page 5 • Council Member Shiely asked if Area 5 is part of the Dunes Prairie. Mr. Wallner responded yes. Council Member Shiely questioned the re-vegetation and stated her concern about erosion and vegetation issues. She asked if the PCA anticipates any problem with re-vegetation. Mr. Wallner responded that Ashland's consultant is responsible for the permits and erosion control plan. Ashland did take all necessary measures, installed an erosion fence, and as a temporary cover, planted oats. Mr. Wallner assured the Council that the DNR does not want this land to erode either. Council Member Hale stated that there is a significant wet land that is between Area 5 and the river with a public landing and a significant housing development. Council Member Hale stated that he was concerned that the PCA's statement is Ienient regarding their concern about contamination entering the river. Mr. Wallner assured the Council that the ground water flow is just south of the river and it is impossible to drink bad water. He stated that if there were levels that impacted the river, the PCA would take care of the issue. • Council Member Wolcott thanked Mr. Wallner for the report and stated that he was happy to see that Areas 1- 4 have been cleaned-up. Council Member Wolcott stated that there are a number of people that live in that area and he hopes the PCA is correct in saying that there will not be contamination in the water in that area. Mr. Wallner stated the monitoring has shown no impact. Council Member Shiely stated that she would feel better if everything had been dug out of Area 5. Mr. Wallner stated that these clean-ups are very expensive therefore the "risk base approach" was used. Mr. Wallner explained that the "risk base approach" is when more waste is left behind when there is no risk to the public. Council Member Shiely asked if this area could naturally attenuate. Mr. Wallner stated that it is possible, but quite a bit of monitoring would need to take place. Mr. Wallner stated that in this case, nothing is moving into the ground water. The waste is tar and will not dissolve, therefore there is nothing to naturally attenuate. Council Member Wolcott asked whether the PCA would continue to monitor the site. Mr. Wallner responded yes. Council Member Wolcott asked how often the site will be tested and how often the City wi{I receive results. Mr. Wallner responded that when a site is first discovered the PCA reports first monthly, then � quarterly, then twice a year. Mr. Wallner stated that this site is now reviewed once a year. Regular Meeting - September 16, 1998 Cottage Grove City Council Page 6 � Mayor Denzer asked the PCA to provide the City with a copy of the report each time the site is monitored. Mr. Wallner agreed. Mayor Denzer thanked Mr. Wallner for the update. School Bond Referendum Dr. Dan Hoke, Superintendent of the South Washington School District, requested the Council endorse the upcoming referendum on November 3, 1998. He explained that additional funds are needed from the taxpayers. South Washington School District is the seventh largest school district in the State, however it is the lowest funded school district in the metro area. Dr. Hoke explained that the School District has been in deficit spending for the last five years. The School District has the largest class sizes in the metro area, is last in revenue, and first in terms of large class size. Dr. Hoke explained how schools are financed. Dr. Hoke explained that in the $400 per student referendum, $300 would go to balance the budget. The remainder would go to reduce class sizes. Dr. Hoke stated that 99 percent of the funds would go back to the students. The referendum is for the children. + Dr. Hoke asked the Council to consider the School District using the City for an endorsement in their referendum campaign. The Council discussed the ramifications should the referendum fail, such as no busing for children living within finro miles from the school, kindergarten will change and go to all day, every other day, and all elementary schools will be paired. Council Member Hale asked if the impact on the passage of the referendum would have on the facility, such as if class sizes are reduced, would there be adequate space. Dr. Hoke stated there are two kinds of referendums and the issue before the Council tonight is for an operating referendum. Dr. Hoke explained that because the School District continues to grow, there will be the need to build, and in 1999 there will be additions to three schools. Dr. Hoke stated that the School District can add up to 20 percent of the square footage of the building without going to referendum. The Council thanked Dr. Hoke for his comments. Winston Riedesel, 83423 68th Street South, stated that he has been a resident of the City for 18 years. Mr. Riedesel stated that he has a"different take on Dr. . Hoke's comments" and asked why public education has not and cannot do the job the taxpayer has been paying for. Mr. Riedesel stated that he agrees with Regular Meeting - September 16, 1998 Cottage Grove City Council Page 7 �J Nancy Long's viewpoint on quality education. Mr. Riedesel stated that he feels the School District is stealing from the overburdened tax payer. The tax payer should pay for the three "Rs" taught in school and nothing more. APPROVAL OF MINUTES The minutes of the September 2, 1998 Regular City Council meeting were accepted as presented. CONSENT CALENDAR MOTION BY HALE, SECONDED BY WOLCOTT, TO: A. ACCEPT AND PLACE ON FILE THE AUGUST 11, 1998, PUBLIC SAFETY COMMISSION MEETING MINUTES; THE JUNE 24, 1998, HUMAN SERVICES COMMISSION MEETING MINUTES; AND THE JULY 14, 1998, AND AUGUST 5, 1998, ECONOMIC DEVELOPMENT AUTHORITY MINUTES. B. ADOPT RESOLUT/ON NO. 98-166, A RESOLUTION ACCEPTING THE � DONATION OF MEL WALLACE MEMORIAL FUNDS TO BE USED TOWARD PUBLIC SAFETY YOUTH PROGRAMS. C. ACCEPT RESIGNATION OF BILL BUTH FROM THE ECONOMIC DEVELOPMENT AUTHORITY. D. ADOPT RESOLUTION NO. 98-167, A RESOLUTION APPROVING A VARIANCE FROM THE REAR YARD SETBACK REQUIREMENTS AT 7942 ISLETON AVENUE SOUTH. E. ADOPT RESOLUT/ON NO. 98-168, A RESOLUTION APPROVING THE CONDITIONAL USE PERMIT FOR A PRESCRIPTION DRIVE-THRU WINDOW FOR SNYDER'S AT 8200 HADLEY AVENUE SOUTH. F. ADOPT RESOLUTION NO. 98-169, A RESOLUTION ACCEPTING THE AMENDMENT TO THE 1998 PAY PLAN FOR THE EMPLOYEES NOT COVERED BY THE LABOR CONTRACT AND TO DELETE THE ACCOUNTANT POSITION AND CHANGE THE SECRETARY PAY GRADE. G. ADOPT RESOLUTION NO. 98-170, A RESOLUTION GRANTING A VARIANCE TO SECTIONS 28-67(g)(7)(c)(v) AND 28-73(c)(3)(g) OF THE . CITY'S ZONING ORDINANCE TO PERMIT THE CONSTRUCTION OF A SINGLE-FAMILY DWELLING CLOSER TO THE NORMAL HIGH-WATER Regular Meeting - September 16, 1998 Cottage Grove City Council Page 8 • MARK THAN THE SETBACK OF NEIGHBORING DWELLINGS AND CONTINUE USE OF THE EXISTING PRIVATE ACCESS DRIVE WITHOUT ELEVATING GRADE, AT 8291 RIVER ACRES ROAD. H. RECEIVE THE REPORT ON THE PERMIT TO PEDDLE DOOR-TO- DOOR. APPOINT OFFICER MICHAEL VANDERVORT TO REGULAR STATUS. APPOINT BRENDA PEPER TO FINANCIAL ANALYST. K. APPROVE THE SINGLE OCCASION GAMBLING PERMIT TO THE COTTAGE GROVE AREA CHAMBER OF COMMERCE. RESPONSE TO PREVIOUSLY RAISED OPEN FORUM ISSUES - None. PUBLIC HEARINGS Adopt Assessments for the 1998 Pavement Manaaement, Hidden Oaks 4th. Eaqle Ridqe, Pine Forest 1 st. Sandy Hills 7th, and Acorn Mini Storaae • Mayor Denzer announced the purpose of the Public Hearing was to consider adopting the 1998 Pavement Management Assessments for District E-3 street improvements. City Attorney Long stated legal notice was in order and published in accordance with applicable law. Mayor Denzer opened the public hearing to those who wished to speak for or against the assessments. There being none, Mayor Denzer closed the public hearing. Abby Grenfell, 8267 81 st Street South, stated that she is a resident in the pavement management area. Ms. Grenfell explained that this Council has long committed to maintaining the roadways in the community. She stated that she heard that the Council was considering stopping or discontinuing the pavement management program. She hoped future Council's would maintain the roadways, and not stop if it gets expensive, as maintenance is not nearly as expensive as starting over. Ms. Grenfell stated she was not notified that the roadway she lives on was going to be torn up. Ms. Grenfell also explained that the contractors did not stay with � the schedule and proper signage was not in place (no road work signs and road closed signs were installed). Ms. Grenfell stated that she brought these issues Regular Meeting - September 16, 1998 Cottage Grove City Council Page 9 to the constructor's attention, but the issues were not dealt with. Ms. Grenfell asked the Council to look into this matter so it does not happen again in future projects. Ms. Grenfell also reported there was considerable disruption to the residents for four to five months without notice to the residents. The residents were not informed. Ms. Grenfell also reported that sodding has been a problem. She stated that residents had to take care of the watering and the contractors need to be held liable and responsible to water and maintain the sod. Ms. Grenfell reported that extra concrete work had been done and driveways had been widened wherein tax money was spent installing a concrete apron. She explained that gravel areas in people's back yards have new concrete aprons. Ms. Grenfell reported that the contractor destroyed her yard with heavy equipment. Ms. Grenfell stated that the contractor, Mueller, admitted liability and asked the worker who destroyed her sod to no longer work in Cottage Grove. Ms. Grenfell displayed photographs of the road in her area. The photographs showed standing water at the intersection of 81 st Street and Ideal, damage done to the curb by the contractor, three panels of 8251 81 st Street where every section of curb has major breaks, and the "patchwork" sodding provided by the contractor. Council Member Shiely asked if the City's Pubic Works Director was notified of • this issue. Ms. Grenfell responded yes. Ms. Grenfell stated that she does like the new road and there has been a great reduction in noise. Ms. Grenfell stated that better communication with Mueller needs to be done if they are to work with the City again. Ms. Grenfell closed by asking the Council to assess the 83rd Street residents for road improvements. Ms. Grenfell explained that their assessments should reflect their home's value in 1996 instead of 1997 and the residents should not have to pay additional because of a paperwork problem with the City. Mayor Denzer asked if this area had been accepted. City Engineer Jerry Bourdon stated that the contract is still open and Staff will deal with it. Council Member Kohls asked whom residents should contact with a complaint. City Engineer Bourdon responded either he should be contacted or Public Works Director Les Burshten. Don Sterling, 8637 Isle Avenue South, stated that he greed with Ms. Grenfell's comments. Mr. Sterling asked who decides what is assessed. Mr. Sterling explained that his house is valued more than the neighbors across the street. Mr. Sterling questioned why he should be required to pay more and why he . should be penalized because his house is valued higher. Regular Meeting - September 16, 1998 Cottage Grove City Council Page 10 CJ Mayor Denzer stated the Pavement Management Task Force agreed on the assessment. Council Member Wolcott stated that the resident will pay for the cost of the reconstruction and the City is capping the cost of the market value. Mr. Sterling asked what he gained in the value of his house. Council Member Wolcott stated that the appraiser stated a home's value should increase in two to three percent if the street is in good condition. Mr. Sterling confirmed that his value would go up because of a new street. Mr. Sterling stated that the homes should be averaged and they should all pay the same. City Administrator Ryan Schroeder stated that the rationale is not that the City or the County is going to increase the value of the home, the rationale is if the home is appraised prior to the construction and the home is appraised after, the appraisal should come in at a vaiue at least as high as the assessment amount. City Administrator Schroeder stated that the project as a whole cost about $1.7 Million, and the portion assessed to the property owners is just under 49 percent of this amount. City Administrator Schroeder stated that taken as a whole the general tax payer paid a littler bit more than the benefited property owners. City Administrator Schroeder stated that everybody was assessed along a similar formula and the City capped that assessment at a point that felt comfortable. � Mr. Sterling stated the assessment value is not fair, the person that gets the same amount of street pays less if their home is valued less. Council Member Shiely stated that the rumors that the Council is looking to stop the pavement management program is not true. Council Member Shiely explained that the Council has discussed skipping over a year and final determination on this issue at this point has not been made. Council Member Shiely stated that the argument regarding the assessment has been heard. Council Member Shiely stated that the assessment policy is based on the policy arrived by the citizen's task force and was a very difficult decision to arrive at. Mayor Denzer closed the public hearing regarding the pavement management assessments at 8:41 p.m. Council received letters in opposition of assessment from Mr. & Mrs. Kully Lund McConnach (8868 89 Street Circle South, Cottage Grove) and William H. Gaskell (8096 Ideal Avenue South, Cottage Grove). Originals are on file in the office of the City Clerk. . Regular Meeting - September 16, 1998 Cottage Grove City Council Page 11 • MOTION BY WOLCOTT, SECONDED BY SHIELY, TO ADOPT RESOLUTION NO. 98-171. A RESOLUTION APPROVING THE ASSESSMENTS FOR PAVEMENT MANAGEMENT OF DISTRICT E-3 STREET IMPROVEMENTS. MOTION CARRIED. 5-0. Mayor Denzer announced the purpose of the Public Hearing was to consider adopting the 1998 Pavement Management Assessments for Hidden Oaks 4` street and utility improvements. City Attorney Bob Long stated legal notice was in order and published in accordance with applicable law. Mayor Denzer opened the public hearing to those who wished to speak for or against the assessments. There being none, Mayor Denzer closed the public hearing. MOTION BY WOLCOTT, SECONDED BY HALE, TO ADOPT RESOLUTION NO. 98-172. A RESOLUTION APPROVING THE ASSESSMENTS FOR HIDDEN OAKS 4TH STREET AND UTILITY IMPROVEMENTS. MOTION CARRIED. 5-0. • Mayor Denzer announced the purpose of the Public Hearing was to consider adopting the assessment roll for Eagle Ridge street and utility improvements. City Attorney Long stated legal notice was in order and published in accordance with applicable law. Mayor Denzer opened the public hearing to those who wished to speak for or against the assessments. There being none, Mayor Denzer closed the public hearing. MOTION BY KOHLS, SECONDED BY SHIELY, TO ADOPT RESOLUTION NO. 98-173. A RESOLUTION APPROVING THE ASSESSMENTS FOR EAGLE RIDGE STREET AND UTILITY IMPROVEMENTS. MOTION CARRIED. 5-0. Mayor Denzer announced the purpose of the Public Hearing was to consider adopting the assessment roll for Pine Forest 1 st street and utility improvements. City Attorney Long stated legal notice was in order and published in accordance with applicable law. Mayor Denzer opened the public hearing to those who wished to speak for or . against the assessments. There being none, Mayor Denzer closed the public hearing. Regular Meeting - September 16, 1998 Cottage Grove City Council Page 12 • MOTlON BY SHIELY, SECONDED BY HALE, TO ADOPT RESOLUTION NO. 98-174 A RESOLUTION APPROVING THE ASSESSMENTS FOR PINE FOREST 1ST STREET AND UTILITY IMPROVEMENTS. MOTION CARRIED. 5-0. Mayor Denzer announced the purpose of the Public Hearing was to consider adopting the assessment roll for Sandy Hills 7th street and utility improvements. City Attorney Long stated legal notice was in order and published in accordance with applicable law. Mayor Denzer opened the public hearing to those who wished to speak for or against the assessments. There being none, Mayor Denzer closed the public hearing. MOTION BY SHIELY, SECONDED BY KOHLS, TO ADOPT RESOLUTION NO. 98-175. A RESOLUTION APPROVING THE ASSESSMENTS FOR SANDY HILLS 7TH STREET AND UTILITY IMPROVEMENTS. MOTION CARRIED. 5-0. • Mayor Denzer announced the purpose of the Public Hearing was to consider adopting assessment roll for Acorn Mini Storage street improvements. City Attorney Long stated legal notice was in order and published in accordance with applicable law. Mayor Denzer opened the public hearing to those who wished to speak for or against the assessments. There being none, Mayor Denzer closed the public hearing. MOTION BY HALE, SECONDED BY WOLCOTT, TO ADOPT RESOLUTION NO. 98-176. A RESOLUTION APPROVING THE ASSESSMENTS FOR ACORN MINI STORAGE UTILITY 1MPROVEMENTS. MOTION CARRIED. 5-0. Authorize Issuance of On-Sale 3.2 Beer, Off-Sale 3.2 Beer, and Consumption and Display Permit to Betty Schultz, dba Boondocks Bar and Grill MOTION BY SHIELY, SECONDED BY KOHLS, TO AUTHORIZE THE ISSUANCE OF ON-SALE 3.2 BEER, OFF-SALE 3.2 BEER, AND CONSUMPTION AND DISPLAY PERMIT TO BETTY SCHULTZ, DBA BOONDOCKS BAR AND GRILL. MOTION CARRIED. 5-0. . Regular Meeting - September 16, 1998 Cottage Grove City Council Page 13 • BlD AWARDS Award the Bid for Removal and Replacement of Hamlet Park Baseball Backstops to Gary's Fence Company MOTION BY HALE, SECONDED BY WOLCOTT, TO AWARD THE BID FOR THE REMOVAL AND REPLACEMENT OF HAMLET PARK BASEBALL BACKSTOPS TO GARY'S FENCE COMPANY IN THE BID AMOUNT OF $19,500. MOTION CARRIED. 5-0. Adopt a Resolution Awardinq the Bid for Construction of Public Improvements for Pine Forest 4th Addition MOTION BY WOLCOTT, SECONDED BY HALE, TO ADOPT RESOLUTION NO. 98-177, AWARDING THE BID FOR CONSTRUCTION OF PUBLIC IMPROVEMENTS FOR PINE FOREST 4TH ADDITION. UNFINISHED AND NEW BUSINESS Denv the Proposed Text Amendment to Section 28-19 of the Zoning Ordinance • Relating to Non-Conforming Structures Floyd Ott, 11865 Point Douglas Road, stated that residential homesteads are in areas zoned industrial and commercial and these homeowners cannot get refinancing or insurance. Mr. Ott stated that property rights are sacred and suggested these zoned areas should be grandfathered in. Mr. Ott asked when the ordinance was passed. Community Development Director Kim Lindquist stated this is not rezoning, it is grandfathered in and explained the ordinance to Mr. Ott. Community Development Director Lindquist stated that the problem the residents are having is with the refinancing, as they cannot obtain the Conditional Use Permit ("CUP") until the act has happened. Community Development Director Lindquist reported that Mr. Redmond has received refinancing without a change in the ordinance. Mr. Ott stated that the residents were there before the law was passed, and now the residents have to put up with the conditions of this ordinance. Mr. Ott questioned how government can devalue the property. Terry Redmond, 9501 Islay Avenue South, stated that he did not get everything he wanted in his refinancing because of this ordinance. Community Development Director Lindquist stated that the ordinance allows over � time for the City to bring the property uses into compliance. Community Development Director Lindquist explained that Mr. Redmond's mortgage Regular Meeting - September 16, 1998 Cottage Grove City Council Page 14 • company would not refinance for the amount under the first bank and this was the first time this situation happened. Community Development Director Lindquist stated that Staff is assuming other people are getting refinancing. Mr. Ott asked for the reason for this ordinance. Community Development Director Lindquist responded that non-conforming uses over time will be brought into conformance. Community Development Director Lindquist stated that this section of the ordinance has been in the ordinance since it was adopted. Council Member Shiely stated that eventually one area will all be commercial, all will be industrial, and all will be residential. Council Member Shiely stated that Mr. Redmond's area began as a residential area. Council Member Hale stated that there was a public meeting and residents supported the zoning. Council Member Hale explained that for the most part the Planning Commission respects the residents' requests, and this property was zoned commercial because residents supported it. Council Member Hale stated that a variance to build a residential home in a commercial area is not uncommon. • Mayor Denzer stated that there are regulations of what way you can zone, and you can zone to a higher value and not to a lower value. Council Member Kohls stated a concern that the City assumes since property is zoned commercial it will have a much greater value. Council Member Kohls stated that she does not consider some areas marked commercial to have much hope of becoming commercial. Community Development Director Lindquist stated that the Council needs to discuss these concerns during the comprehensive plan review. Council Member Kohls asked if how long the process is to get a CUP. Community Development Director Lindquist stated that a typical process is 45 days, however if there were a major natural disaster, it could be expedited. Terry Redmond, 9501 Islay Avenue South, stated that he is aware of one other person attempting to obtain financing, but has been denied because of the CUP. Mr. Redmond reported to the Council that special insurance needs to be purchased as well, stating that the homeowner will get reimbursed 50 percent if he does not buy the special insurance. Mr. Redmond stated that he thinks it is unfair to pay for extra insurance. Mr. Redmond stated that he had to go to five mortgage companies before he got a loan. . Council Member Hale stated that he was invoived with the street zonings back in the 1970s and at that time the testimony of the residents was that they wanted Regular Meeting - September 16, 1998 Cottage Grove City Council Page 15 • the commercial zoning. Council Member Hale stated that it is the option of the resident to rebuild. Council Member Kohls stated that she spoke with several of the residents and they were not aware of the insurance condition. Community Development Director Lindquist stated that most people know that they are zoned commercial but was not sure if they were aware of the insurance issue. Community Development Director Lindquist stated that Staff could send a letter informing the residents that they should contact their insurance carrier. Council Member Kohls asked Community Development Director Lindquist to send a letter to the residents. MOTION BY HALE, SECONDED BY KOHLS, TO TABLE THE ISSUE OF THE PROPOSED TEXT AMENDMENT TO SECTION 28-19 OF THE ZONING ORDINANCE RELATING TO NON-CONFORMING STRUCTURES FOR FURTHER REVIEW. MOTION CARRIED. 5-0. Adopt a Resolution Grantinq a Variance from Landscapina Requirements of Chaeter 28 of the Zoning Ordinance and Approving the Conditional Use Permit to Expand the Existing Non-Conforming Use for Sales of Recreational Vehicles • and Automobiles at 61 Marine & Sports, 11730 Point Douqlas Road MOTION BY SHIELY, SECONDED BY HALE, TO ADOPT RESOLUTION NO. 98-178. GRANTING A VARIANCE FROM THE LANDSCAPE REQUIREMENTS OF CHAPTER 28 OF THE ZONING ORDINANCE AND APPROVING THE CONDITIONAL USE PERMIT TO EXPAND THE EXISTING NON- CONFORMING USE FOR SALE OF RECREATIONAL VEHICLES AND AUTOMOBILES AT 61 MARINE & SPORTS, 11730 POINT DOUGLAS ROAD. Council Member Hale stated that there is not adequate turning lanes on Highway 61 to serve the area. He asked that a letter be sent to the Highway Department on this issue. Mayor Denzer agreed and instructed Staff to direct a letter to Minnesota Department of Transportation to address the turning lanes. Community Development Director Lindquist stated that there is City right-of-way in front of 61 Marine & Sports. Council discussed the street and the entrance to 61 Marine & Sports. Lindquist stated that the City has right-of-way the full length of the lot, so the frontage road could be extended. Mr. AI Stewart of 61 Marine & Sports informed the Council that he is maintaining the property for the City. He stated that the resolution calls for a yearly renewal fee, and that he does not feel that is right. He suggested a five year inspection, . and that he continue to maintain the property without exchanging dollars. Regular Meeting - September 16, 1998 Cottage Grove City Council Page 16 u Council Member Shiely stated this is a nominal fee and was surprised to hear it compared to the rental on the golf course. She stated that she was on the Planning Commission at that time and the Commission did tell Mr. Stewart he could park the vehicles there. Council Member Hale stated his concern is a legal one, if something were to happen when the City knows the property is being used and questioned if the City is liable. City Attorney Bob Long stated that the property should be leased to take the liability away from the City, and that a lease is a good idea. Hale asked if there is a right to terminate a lease. Lindquist confirmed yes. Hale stated that the City should not make money on this land, as long as the City is not exposed to liability. Mr. Stewart stated that he does not feel a yearly fee is necessary. Council Member Wolcott stated that five years is acceptable. Shiely agreed, and requested the lease include lawn maintenance. Council Member Hale requested that City Attorney Long draft a lease and make the charge a nominal fee. Long stated that he would simply draw up a lease with • the provisions with a nominal fee, at the City's discretion. Council Member Wolcott confirmed a nominal fee on a five year lease. Community Development Director Lindquist stated that Staff has a concern that people will take land that does not appear to be used. Lindquist stated that is why a lease is a more structured arrangement so people do not take ownership of the property. She stated that this is a benefit to use the property that other property owners don't get. RESPONSE TO PREVIOUSLY RAISED COUNCIL COMMENTS AND REQUESTS Assistant City Administrator Michelle Wolfe updated the Council on the recruitment of the Public Safety Director. Wolfe stated that the City has received applications, they have been reviewed, and applicants that meet the minimum requirements will be notified. She asked that the Council assist in determining who will be on the interview panels, and that a functional panel would consist of five or six individuals. She stated that at the next Regular Council Meeting Staff would like the Council's final thoughts on who would be on a community panel and would like to set some dates. Regular Meeting - September 16, 1998 Cottage Grove City Council Page 17 • COUNCIL COMMENTS AND REQUESTS Council Member Hale stated that Agenda Item 4H, Receive the Report on Permit to Peddle Door-To-Door, needs to be reviewed and discussed . He asked that this ordinance be reviewed as soon as possible. Hale suggested at the next Regular Council meeting a resolution be drafted responding to Dr. Hoke's request. He instructed City Administrator Schroeder to draft a resolution regarding the school bond issue. PAY BILLS MOTION BY HALE, SECONDED BY KOHLS, TO APPROVE PAYMENT OF CHECK NUMBERS 104251 TO 104454 IN THE AMOUNT OF $840,176.79. MOTION CARRIED. 5-0. Mayor Denzer adjourned the Regular Council Meeting to the adjoining conference room for a public workshop session at 9:37 p.m. WORKSHOP SESSION — Open to the public. • Mayor Denzer opened the public workshop session at 10:03 p.m. Private Utility Location Ordinance Workshop City Administrator Schroeder stated that with the renewal project there has been a number of discussions with NSP as to the utility location. He stated that NSP would like to put in overhead lines, but that the ordinance mandates that all utility locations are underground in subdivisions. Schroeder stated that if NSP wants to put the lines in overhead, they can. He said that the City has been successful in negotiating underground lines at some cost, and explained that Staff is concerned that there will be ongoing discussions of a similar fashion to pay an additional cost for underground lines when it should be pro forma. Schroeder stated that the lines on 100th will have to be reconstructed and NSP is suggesting that under current ordinances they could be put in overhead. Schroeder stated that Staff would like the Council to consider adoption of the Oakdale ordinance, and that Oakdale won the court challenge with NSP and it is under appeal. He explained that if the City adopts this ordinance, it is not to be unexpected that NSP will put the City in the same situation. � Council Member Kohls asked what NSP's legal argument is. Community Development Director Lindquist stated that they question the City's ability to Regular Meeting - September 16, 1998 Cottage Grove City Council Page 18 � regulate them. City Attorney Long stated that his legal associate recommended that the City take the Oakdale ordinance exactly as is, and explained that if the appeals court overturns the district court, then the City can amend the ordinance at that time. Council Member Shiely asked if there were some savings to NSP long term. Lindquist responded that NSP states it's more expensive because the lines are harder to maintain. The Council discussed other NSP projects in the City. Council Member Hale asked if the League could be of assistance. City Attorney Long stated that the League is looking at filing a brief on behalf of the cities to defend the ordinance. Schroeder stated the largest issue is managing of the right-of-ways. The Council agreed with Staff's recommendation. Development Sureties Workshop � The Council discussed the financial guarantees for financial improvements. City Administrator Schroeder stated that Staff met with the developers and agreed to conduct a survey to find out what other developing communities are doing. Schroeder stated that he will come back to the Council with recommendations regarding the sureties. Schroeder provided the Council with the results of the survey regarding the financial guarantee for public improvements completed so far. He explained that Staff's assumption that the 40 percent surety requirement was going to be higher than the market place, and this appears that it is lower in some cases, higher in others. Council Member Shiely asked if there was a legal opinion or was this based on track records. City Attorney Long responded that there are problems on how to define a good track record, as it opens up area of argument and challenges. Council Member Hale asked what the impact is for the developer, and Schroeder explained the breakdown for the developer. The Council and Staff discussed the splitting of phases and the cost to the developer. Hale stated that he would like to give credit to developers, but stated it may be difficult. . Mayor Denzer asked if there is a difference if the Developer owns the land, rather than someone coming in and taking options. Community Development Regular Meeting - September 16, 1998 Cottage Grove City Council Page 19 • Director Lindquist stated that before the developer can be on the plat, they have to own it. Council Member Wolcott stated that the developer would buy it phase by phase. Schroeder stated that this is the information obtained so far, and Staff has this information because of the calls the Council has been receiving. Schroeder requested additional time to work out this and some other issues for the Council. The Council reviewed a report provided by Finance Director Liz Johnson. The Council agreed that they are not in favor of preferential treatment to certain developers. Lindquist stated that Staff could review a couple of developments that Council is aware of and put it in a table form for Council review. Schroeder stated that Staff plans on putting together a complete list for Council review. Mayor Denzer stated that the Council's obligation is the citizens, not the developers. Council Member Kohls confirmed that Staff will come back to the Council with additional information. Schroeder stated the additional information will judge if � the City is out-of-line with the percentage. Mayor Denzer stated that City Administrator Schroeder's perFormance review should be added to the closed session at the next Regular Council meeting. Mayor Denzer closed the workshop session at 10:50 p.m. CLOSED WORKSHOP SESSION - None. ADJOURNMENT MOTION BY WOLCOTT, SECONDED BY KOHLS, TO ADJOURN THE REGULAR COUNCIL MEETING AT 10:51 P.M. MOTION CARRIED. 5-0. Respectfully submitted, Carolyn Petruga, Recording Secretary TimeSaver Off Site Secretarial, Inc. � 09i14i98 N0. 562 D01 00:31 PLANT ENG 208-1-01 � 612 458 2897 ATTENTION : CA�ON STR�4NSKI � 1'M WRITIN� 'TH.TS LETTER TO 1�4RMALLY OBJEC�' TO THE A.SSESSMENT Q.F IMPRUVEM�NTS CI�A�2GE ASSIGNED TO MY R�SI.DENCE. T� 2% MULT��LI�R FOR THE �ZECONSTRUCTIa� WO�K DONE �N IDEAL AV�. DU�S N��" ACCURA'I'�LY RCPRESFNT T�-1� ACTUAL COST CHARGED TO MY 1?ROPE�TY FQR 2. REASONS: l, ) THE ASSLSSED VALIT� OI' MY H�ME COLILIJ NOT P�SSIBLY B� �iIGH�R T�-IAN NEiGHBORING R-�SIDENCES, AS MY SQtJ�RE FOOTAGE TS L�SS (22X36)'�I 'TH�SE RESIDENCES AND IIV�PROVEMENTS ARE C�RTAI�i-,Y NO GRE�TER �`HAN THES� RES(DENCES. 2) T� AC�"UAI, COST (�F MATER.IA,LS �1ND LABOR ARE SXGNIF�CAN`T"LY L,�SS A,T M�' RESIDENCE BECAUS� OF THE t1.MOUNT OF CONC;FZET� US�L�. NEIGHBORS ON EIT�R 5IDE O�' MY RESID�NCE AND HOtJSE# 8p62 HAV� HAD 2 SECT�ONS OF THEIR �RIVEWAYS R�Pt.ACED. 1 HAVE �-IAD ONLY 'I'�IE AP�tON FtEPI.,ACED, YErI'" MY ASSESSE:D AMOUN'I TS HIG�ERI �'M SURE YOU'�,L AGREE T'�(A'� THIS ,ASSESSMENT IS NOT FAI.R, B�JT I BELI�VE THAT �'QU W.ILL MAKE IT FA,IR. TH.ANI�,S. WILLIAM H. �ASKELL $096 TDEAL AVE, I , . �� I � I � � , i �� t �-----------,- ______ -�- �- _r__ � __. �� I��I�� — �'�3o,ov�,,�._.. _ _ _ �`/� _�.� ------ ----- --. - = - - - . - -- �-�-- �;�'1��- - ---_._ ____;c�! - - - --'__-----------. ----- ------- ---- c�-� -(�� -��-.:Q--r_t2c�w _m,�_ _.�cl�_ ._�_ __ ---__----_�_-�� ,_ a.? �__�� _Q _ _`_� �o�l ��y �-�� ----JSF -� - — - - - - — - - � .. — / n � _ . ?-�;��e _____- , - s:n�.�-- - - — _ _ __ . _ -�.�.g_.��__----- -- --___-- � — ��__. .�--� , . / e '. �• � i � : ' i � / i ,.. � �6. � , �,� / i � � , �' ' � � / � % �, 1. 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