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HomeMy WebLinkAbout02-08-2012 Council MinutesMINUTES OF THE REGULAR MEETING CITY COUNCIL LITTLE CANADA, MINNESOTA FEBRUARY 8, 2012 Pursuant to due call and notice thereof a regular meeting of the City Council of Little Canada, Minnesota was convened on the 8th day of February, 2012 in the Council Chambers of the City Center located at 515 Little Canada Road in said City. Mayor Bill Blesener called the meeting to order at 7:30 p.m. and the following members of the City Council were present at roll call: CITY COUNCIL: Mayor Mr. Bill Blesener Council Member Ms. Shelly Boss Council Member Mr. John Keis Council Member Mr. Mike McGraw Council Member Mr. Rick Montour ALSO PRESENT: City Administrator Mr. Joel R. Hanson City Attorney Mr. Trevor Oliver Public Works Supt. Mr. Bill Dircks Cable TV Producer Mr. Kevin Helander City Clerk Ms. Kathy Glanzer MINUTES Mr. McGraw introduced the following resolution and moved its adoption: RESOLUTION NO. 2012 -2 -26 — APPROVING THE MINUTES OF THE FOLLOWING COUNCIL MEETINGS AS SUBMITTED: JANUARY 23, 2012 SPECIAL COUNCIL MEETING; JANUARY 25, 2012 WORKSHOP COUNCIL MEETING; JANUARY 25, 2012 REGULAR COUNCIL MEETING The foregoing resolution was duly seconded by Keis. Ayes (5). Nays (0). Resolution adopted. SECOND Mayor Blesener opened the Public Hearing to consider the issuance HAND GOODS of a Second Hand Goods Dealers License for Planet Thrift at 3225 DEALERS Country Drive. LICENSE — PLANET The City Clerk reported that Phillip Tateosian, dba Planet Thrift, has THRIFT applied for a Second Hand Goods Dealers License. The PUD Zoning for this property allows for the thrift store use provided that there is no MINUTES CITY COUNCIL FEBRUARY 8, 2012 outdoor storage and all goods are sold and stored indoors. The Clerk indicated that application materials are in order and the City has received a satisfactory background check on Tateosian. Staff recommends approval of the Second Hand Goods Dealers License. Jeffery Butwinick, Mattress Monster, appeared before the Council and reported that the owner of property has assured him that the lease with Planet Thrift would not allow for the sale of mattresses and furniture. Butwinick was concerned that Planet Thrift, which is located in the same building as Mattress Monster, would compete with his business if they are allowed to sell mattresses and furniture. Butwinick asked that the Council place a restriction on the Second Hand Goods Dealers License that prohibits the sale of mattresses and furniture. Keis indicated that the Council does not regulate competition between businesses, i.e. two gas stations or two drug stores in close proximity to one another. Butwinick was concerned that Planet Thrift would have an advantage as this business would sell used merchandise at much less cost than the new merchandise that Mattress Monster sells. Butwinick reported that Mattress Monster sells new mattresses and furniture. Phillip Tateosian, Planet Thrift, indicated that he does not intend to sell mattresses, noting that they take up a lot of space and generate little revenue. However, it is his intention to sell furniture. Montour asked if Planet Thrift would have a drop -off area for people making donations. Tateosian indicated that there would be no drop -off area, but people would be able to bring things into the store for donation during business hours. Tateosian stated that it not their intent to advertise as a donation center. The City Administrator pointed out that when the Salvation Army had a store in Little Canada, it was not a drop -off site. I- Iowever, people would drop items near the building after hours leaving a mess. The Administrator indicated that if this happens at Planet Thrift, the operator should clean these items up immediately. Montour pointed out that Dock 86 is just up the block and would be a competitor to Mattress Monster. Butwinick indicated that his concern was the pricing advantage that Planet Thrift would have over Mattress Monster. Blesener felt that Mattress Monster and Planet Thrift would cater to two different customer groups, one group interested in new merchandise and the other used. 2 MINUTES CITY COUNCIL FEBRUARY 8, 2012 There was no one else present wishing to comment on this matter. Upon motion by Keis, seconded by Boss, the public hearing was closed. Mr. Blesener introduced the following resolution and moved its adoption: RESOLUTION NO. 2012 -2 -27 — APPROVING A SECOND HAND GOODS DEALERS LICENSE FOR PHILLIP TATEOSIAN DBA PLANET THRIFT TO OPERATE AT 3225 COUNTRY DRIVE FOR THE LICENSE PERIOD FEBRUARY 8, 2012 THROUGH DECEMBER 31, 2012 SUBJECT TO THE RESTRICTION THAT THERE BE NO OUTDOOR STORAGE ALLOWED The foregoing resolution was duly seconded by McGraw. Ayes (5). Nays (0). Resolution declared adopted. VOUCHERS Mr. Montour introduced the following resolution and moved its adoption: RESOLUTION NO. 2012 -2 -28 — APPROVING THE VOUCHERS The foregoing resolution was duly seconded by Boss. Ayes (5). Nays (0). Resolution declared adopted. TOBACCO The City Attorney presented a proposed Tobacco Ordinance amendment ORDINANCE to the City Council for action. He noted that the amendment proposed is based on the discussion that occurred at the Council's January 25, 2012 Workshop Meeting. The Attorney pointed out the correspondence from Katie Engman of the Ramsey Tobacco Coalition asking that the ordinance amendment address the prohibition on the sale of "loosies ", aka single cigarettes. The Attorney noted that this prohibition is in the City's existing ordinance, and the language before the Council this evening is that language proposed to be changed. The Attorney described the significant changes to the City's Tobacco Ordinance with include a provision in Section 6 returning tobacco licenses to an annual license for the time period July 1 S` through June 30`h. Section 7 establishes restrictions for tobacco stores, the most significant of which is that no more than 50% of the gross revenue of the store may be derived from the sale of tobacco- related devices. Additionally, this section prohibits the sampling of tobacco and tobacco - related products as well as 3 MINUTES CITY COUNCIL FEBRUARY 8, 2012 provides that tobacco stores that have held a license to sell tobacco products for at least six months prior to enactment of the sampling ban are grandfathered in. The Attorney noted the additional provision that the exemption is prohibited if the license holder loses the license or transfers title to, relinquishes management or control of, or sells the business to any other individual or business entity. The Attorney noted the previous discussion of the grandfathering issue and indicated that this clause could be struck if the Council desired to allow the grandfathering of sampling if the business changes hands. Keis questioned that a tobacco license was transferrable. The City Attorney replied that the license is not transferrable. The Attorney indicated that if the provision is struck, it would allow an owner in good standing to transfer his business to someone else and the business would continue to be exempt from the sampling prohibition. The Attorney indicated that the question is whether or not the Council wants the provision that nullifies the exemption from the sampling ban if the license holder loses the license or transfers title to, relinquishes management or control of, or sells the business to any other individual or business entity. Blesener clarified that the way the ordinance amendment is written is that the exemption to the sampling prohibition applies to the current license holder only. The City Attorney replied that that was correct. With regard to the provision that no more than 50% of gross revenues may be derived from the sale of tobacco - related devices, the City Attorney indicated that in discussing compliance with this provision, it would be the City's intent to keep verification as simple as possible. Blesener asked if there was anything that would prevent the current tobacco store from converting to a hookah lounge. The City Attorney replied there was not in the ordinance amendment as drafted. The Attorney felt such a change in the business model would be unlikely given The Hookah 1- Iideout is just three doors down from the Little Canada Smoke Shop. Council discussed this issue, and the consensus was to not include additional restrictions of this nature. David Nelson, The Hookah Hideout, noted that Section 7 of the ordinance amendment states that no more than 50% of gross revenue can come from the sale of tobacco - related devices, yet in Section 1 the definition of a tobacco - related device include tobacco product as well as a pipe, rolling papers, ashtray, etc. He also questioned the requirement in Section 3 that an application to renew a tobacco license must include sufficient financial information to show compliance with the requirement that 90% of gross revenue is derived from the sale of approved products. The City Attorney 4 MINUTES CITY COUNCIL FEBRUARY 8, 2012 reported that the point of the definition is to distinguish between tobacco and tobacco - related devices. He recommended that the wording "tobacco product as well as a" be deleted from the "Tobacco - related device" definition for more clarity. He also noted that the requirement that no more than 50% of gross revenue of the store may be derived from the sale of tobacco- related devices is to ensure that a tobacco store is, in fact, a tobacco store. Nelson again raised the provision in Section 3 that requires submission of financial information to show compliance that 90% of gross revenue is derived from the sale of approved products. The City Attorney again pointed out that provision applies to a license for a tobacco store. Nelson asked if the City required any other businesses to provide financial information. The City Administrator replied that there are other businesses that are required to provide financial information such as those seeking charitable gambling licenses as well as the Fra -Dor business. Nelson pointed out that charitable gambling is a highly - regulated industry and stated that the City is dealing with two little tobacco shops stating that he felt this type of regulation was not needed. Nelson expressed concern with Section 5, indicating that the proximity restrictions were too severe. IIe indicated that there is no location in the City that is not within 500 feet of a place where a child lives. The City Attorney indicated that he would not interpret this provision as Nelson is, and indicated that it is not meant to include private homes in the proximity restrictions. The Council agreed. Nelson took issue with Section 7, 802.070 (c) (4) which addresses the licensee's responsibilities for the conduct of employees. Nelson felt that the wording "to a person under eighteen (18) years of age" should not be struck from that provision. The City Attorney noted that the present ordinance provision is specific to employee actions in selling to a person under eighteen. Given that the ordinance amendment has additional requirements and prohibitions, striking this wording broadens a licensee's responsibility for actions of its employees relative to all provisions of the Tobacco Ordinance. Nelson felt that this provision in addition to Section 9 802.090 (a) were traps allowing the City to say the ordinance has been violated and a tobacco license will not be reissued. Nelson asked why the City feels the need to amend its Tobacco Ordinance. Montour pointed out that a number of cities are addressing the issue of sampling, some of which are placing complete prohibitions on sampling. Little Canada addressing the issue of sampling as well, but with this ordinance amendment will be grandfathering in the two existing 5 MINUTES CITY COUNCIL FEBRUARY 8, 2012 tobacco stores. There was also some discussion on the State- mandated fines for the sale of tobacco to minors. Montour clarified that the grandfathering in of the two existing tobacco stores so that they can continue to allow sampling is specific to both the owners of the two existing stores as well as their current locations. The City Attorney reported that that was correct. He indicated that the grandfathering will allow these businesses to continue to operate as they are and in their same locations. There was some discussion of the grandfathering in of non- conforming uses, with the City Attorney noting that those are situations of land use and common when zoning changes are made. In the case of non- conforming uses, a business is allowed to continue its use of the property and allowed to make building repairs, but not allowed to intensify or expand the use. With regard to the fine schedule in Section 9 802.090. (a), Nelson questioned the need for this provision. The City Attorney replied that this provision is being proposed to allow for an administration fine, suspension, or revocation for other provisions of the ordinance other than the sale of tobacco to minors or allowing minors to sample tobacco. John DeRosa, Little Canada Smoke Shop, stated that he did not agree with the restriction that he would not be able to move or sell his business. Blesener pointed out that the prohibition is on sampling. DeRosa would be able to move or sell his business, but if he did so, the only change would be that he would no longer be able to allow sampling. DeRosa clarified that he under the new ordinance, he would have to keep the sale of tobacco- related devices to under 50% of his gross revenue. The City Attorney replied that that was correct. Nelson stated that he never intentionally intended his business to stir up a hornet's nest. His intention was to open up a business and live the American Dream. Blesener stated that he would support the ordinance amendment with the clarification of the definition of "Tobacco - related device ". Blesener stated that his feeling is that what The Hookah Hideout is doing is taking advantage of a loophole in State Law. Blesener felt this ordinance amendment was a compromise in that it would allow The Hookah Hideout to continue to operate in its present location, under its present ownership /management, and under its present business model. Mr. Blesener introduced the following resolution and moved its adoption: 6 MINUTES CITY COUNCIL FEBRUARY 8, 2012 SANITARY SEWER INTERCEPTOR JOINT REPAIR PROJECT RESOLUTION NO. 2012 -2 -29 — ADOPTING THE ORDINANCE AMENDING CHAPTER 802 OF THE LITTLE CANADA CITY CODE RELATING TO TOBACCO PRODUCTS AS SUBMITTED BY THE CITY ATTORNEY WITH THE DELETION OF THE WORDS "TOBACCO PRODUCT AS WELL AS A" FROM 802.010 (e), AND AUTHORIZING THE MAYOR AND CITY ADMINISTRATOR TO EXECUTE THE ORDINANCE AMENDMENT ON BEHALF OF THE CITY The foregoing resolution was duly seconded by McGraw. Ayes (4). Nays (1) Montour. Resolution declared adopted. Nelson questioned the necessity of turning over his financial documents to the City as stated in the ordinance. The Mayor noted that this is a requirement of any tobacco store. Nelson did not feel a business owner should be required to turn over financial documents, and felt that this seemed biased. Blesencr again noted that the ordinance is a compromise allowing The Hookah Hideout to stay in business. He pointed out that cities are allowed to enact stricter regulations for tobacco licensing than what is provided for in State Law. Blesener again stated his position that hookah shops are only in operation due to a loophole in State Law. The City Administrator reported that the City received one bid for the cooperative project with the Met Council for the rehabilitation of an existing sanitary sewer interceptor that is being turned back to the City. That bid was received from Infratech with the base bid amount $318,513 and Alternate #1 $86,236, fora total bid of $404,749. The Administrator reported that the base bid includes the work that will be reimbursed by Met Council and the alternate is for work on sewer services that would be paid for by the City. Alternate #I was based on unit prices, and the final amount will depend on the number of services that will require regrouting. The bid price received for the Met Council work was $51,573 more than the estimate of $266,940. The Administrator noted that the work is needed to eliminate the infiltration and inflow of ground water into the sanitary system, bringing the sanitary line to an acceptable standard for turn back to the City. The Administrator reported that this work is highly specialized and that is likely the reason only one bid was received. The City Engineer sent the project specs to two other companies for bidding, but these companies chose not to submit bids. The Administrator reported that Met Council 7 MINUTES CITY COUNCIL FEBRUARY 8, 2012 has completed their review of the bid and would recommend approval of the contract. Staff recommends approval of the Infratech bid subject to receipt of Met Council's approval for award. Ms. Boss introduced the following resolution and moved its adoption: RESOLUTION NO. 2012 -2 -30— AWARDING THE BID OF INFRATECH, INCLUDING ALTERNATIVE #1, IN AN AMOUNT NOT TO EXCEED $404,749 FOR INTERCEPTOR 1 -LC -420 JOINT REPAIR PROJECT SUBJECT TO CONFIRMATION OF THE METROPOLITAN COUNCIL'S APPROVAL FOR AWARD The foregoing resolution was duly seconded by McGraw. Ayes (5). Nays (0). Resolution declared adopted. GOAL The City Administrator reviewed the results of Monday evenings Goal SETTING Setting Session, noting that there were two goals with definite consensus REPORT and several goals over which votes were spread fairly evenly. The Administrator stated that using the criteria of having received at least 3 voted from Council Members and votes from at least 50% of non- elected participants (at least 7 votes out of 14) and 10% of non - elected total points (21 pts.), the following three goals would move forward for 2012 and beyond. These goals are as follows: o Evaluate "spot- zoned" properties, i.e. Norm's, Brings, Arcade Electric, etc.; o Northeast Residential Redevelopment Project; o Evaluate Traffic Safety Improvements. The Administrator indicated that the Council will have to decide if they agree with the criteria to be used to determine goal status. He also noted that at the Goal Setting Session there were several "carry forward" goals that will be added to the list. He further indicated that if an item made the list, even if it is not allocated 2012 Goal status that does not mean that the item will not be worked on and moved forward. Montour noted that there were several goal suggestions relative to trails and parks, and suggested that the Park Commission review these matters and make recommendations. For example, the suggestion to reprioritize trail construction segments can be done by the Commission with a recommendation made to the Council. The City Administrator reported that prioritized trail improvements could be included as part of the capital budget process. He noted that trail segments such as the Troutbrook "frail 8 MINUTES CITY COUNCIL FEBRUARY 8, 2012 and Country Drive Trail are big ticket items. The Administrator pointed out that based on a prioritization, the City may need to change its philosophy for right -of -way acquisition. Blesener noted that prioritization of trail segments with some rough cost estimates would be helpful. He also pointed out the suggested goal for improving park safety- signage and a playground equipment replacement schedule. Montour stated that the playground equipment replacement schedule was brought up a couple of years ago and he thought it was in process. Blesener pointed out another suggested goal had to do with reconfiguration of the Old Fire Hall complex. The City Administrator felt it might be beneficial to have ajoint workshop with the Council and Park Commission. It was also discussed that there should be no feasibility studies done or analysis by the Parks Consultant that will generate costs to the City as part of the initial analysis relative to these goals. Keis suggested that the Parks Commission should review the parks - related goals, give the Council their ideas, meet together in a joint workshop, and if the Council is agreeable to moving forward, then there can be further analysis done that would involve cost. There was discussion about the suggested goal to initiate a park patrol. The City Administrator reported that there has been some interest expressed in a park patrol by some of the cities contracting with the Sheriff's Department. The Administrator suggested that he discuss this with the Sheriff's Group and will report back to the Council. McGraw asked about the suggested goal to replace the lower Spooner Park shelter. The City Administrator indicated that at the goal setting session the discussion was to replace the lower shelter with one similar to the upper shelter. He pointed out that this would require bringing sewer and water to the lower area of the park, which will be a challenge. The Administrator also noted that Canadian Days paid for a good share of the upper shelter. Keis suggested that any discussion of a shelter improvement in Spooner Park and include a possible shelter improvement at Pioneer Park. The Administrator indicated that this could be a topic of discussion at the workshop with the Council and Parks & Kee Commission. McGraw asked about the goal `Evaluate Traffic Safety Improvements ". The Public Works Superintendent reported that he suggested a goal to evaluate traffic calming measures such as landscaping, bump outs, islands, etc. to slow traffic down. That was combined with the Sheriff's Department's suggestion for the expanded use of speed boards. 9 MINUTES CITY COUNCIL FEBRUARY 8, 2012 The Council indicated their consensus with the goal criteria standards recommended by the City Administrator which results in three goals highlighted as well as the carry - forward goals. With regard to the suggested Go Green goal, Keis recommended that City buildings be evaluated relative to lighting, heating, air - conditioning efficiencies. The City Administrator reported that the City has had lighting audits done in the past, and indicated that he will check into having updated audits. He pointed out that City Hall's air - conditioning system it likely 20 years old, and updates may be necessary. Montour pointed out that some of the suggested goals are easily accomplished and the Council was agreeable to addressing as many of these as possible. McGraw asked about the suggested goal to Evaluate Code Enforcement - Problem Properties. The City Administrator indicated that this was raised due to a past problem property on Carla Lane. He noted that the City's code enforcement has been reactive rather than proactive, and indicated that it is the Council's call if it wants to move toward a more proactive approach. The Administrator noted that some cities do code enforcement sweeps of targeted neighborhoods. The Administrator indicated that one of the key issues in code enforcement is being consistent. The Administrator suggested that he obtain some information from the cities that have done the sweeps to determine if they felt this was an effective tool in their code enforcement efforts. IIe will report back to the Council. Mr. Montour introduced the following resolution and moved its adoption: RESOLUTION NO. 2012 -2 -31— ADOPTING THE FOLLOWING AS 2012 GOALS FOR THE CITYINADDITON TO THE CARRY FORWARD GOALS AND INSTRUCTION THE CITY ADMINISTRATOR TO PREPARE ACTION PLANS FOR THESE GOALS: o Evaluate "spot -zoned " properties, i.e. Norm's, Brings, Arcade Electric, etc.; o Northeast Residential Redevelopment Project; o Evaluate Traffic Safety Improvements. The foregoing resolution was duly seconded by Blesener. Ayes (4). Nays (1). Keis voted against. Resolution declared adopted. 10 MINUTES CITY COUNCIL FEBRUARY 8, 2012 Keis indicated that he was voting against as he would like the "Go Green" added as an official 2012 Goal. McGraw suggested that when the final goal report is ready, that the goals be reviewed and each Council Member take responsibility for shepherding individual goals for completion. The City Administrator pointed out that many goals are long -term in nature and cannot be completed in a single year. He suggested that once action plans are completed and approved for each of the goals, a copy can be kept in the Council's agenda books. Blesener noted that at the Goal Setting Session, past goal listings were reviewed and the majority of goals have been completed. CONDUIT The City Administrator reported that the Council may recall that the City FINANCING assisted Presbyterian Homes with conduit financing last year for a PROGRAM development project in the City of Arden Hills. He noted that Little CONCEPT- Canada is authorized to issue $10 million in bank - qualified debt each year, SOUTH and it allowed Presbyterian Homes to utilize $10 million in conduit METRO financing in 2011 and $2 million in 2012. In return the City charged HUMAN a $68,000 issuance fee. SERVICES The Administrator reported that Little Canada has been approached by South Metro Home Services (SMHS) that is looking to purchase the former Ethan Allan building in Maplewood and renovate for their offices and a care facility. Additionally, they are seeking to refinance 17 groups homes, one of which is located in Little Canada. SMHS is asking for $4.7 million in conduit financing. The Administrator reported that he has discussed the issuance fee with Mary Ippel of Briggs & Morgan who has indicated that the City's policy of charging 1% for new financing and '/% for refinancing is not the market rate anymore. Ippel suggested that charging 50 basis points was more appropriate. This would generate an issuance off of $23,500. The Administrator reported that if the conduit financing is issued by Little Canada, the city would still have $3.3 million available to it for 2012. The Administrator noted that the City generally does not issue debt. He also pointed out that the SMHS conduit financing would not be a liability of the City or Little Canada taxpayers. The $23,500 issuance fee to Little Canada could be used for economic development purposes or any other use that the Council say fit. The Council indicated that they were comfortable with the concept noting that one of the SMHS group homes is located in Little Canada. The City 11 MINUTES CITY COUNCIL FEBRUARY 8, 2012 PRIORITIZE ECONOMIC DEVELOPMENT OPPORTUNITIES/ TIF RESOURCES Administrator reported that he would inform SMHS and Briggs and Morgan that this matter could proceed to the Public Hearing stage. The City Administrator reviewed his February 3, 2012 report relative to the need to prioritize economic development opportunities and Tax Increment resources. He reviewed potential uses /projects beginning with TIF District 2 -1 (Country Drive). The Administrator noted that this district has the most flexibility. The City can bond the future income stream but would have to amend the TIF plan to do so. He estimated that the district would generate roughly $700,000 of bond proceeds and still maintain its current balance of $200,000. There is one more parcel the City should acquire to ready the area for redevelopment should the Gagne property ever become available. The Administrator noted that TIP funds from 2 -1 could be used in Woodlyn Avenue redevelopment area. He pointed out that the optimal redevelopment would include assembling several parcels of land for redevelopment and including a new Public Works Garage in a portion of this redevelopment area. The Administrator recommended that the City not bond for the future TIF increment unless it is able to pull the need parcels and project together. Blesener asked if it would be possible to provide a temporary location for Donovan Construction should they desire to be part of the redevelopment. The City Administrator replied that providing Donovan with adequate outdoor storage space would be a challenge that needs to be addressed. The Administrator noted that the Woodlyn redevelopment project would be a difficult one to pull together, but utilizing TIF dollars to do so will provide the City its best chance to do so. The Administrator indicated that if the Council agrees that the focus should be on the Woodlyn Avenue redevelopment area, he will work on that project. Council agreed. The Administrator reviewed TIF District 3 -2 (Rice & Little Canada Road Area), pointing out that the Rutzick interfund loan is outside the TIF District because it is outside the five year time period. Therefore, the numbers provided by Ehlers are accurate. It was the recommendation of the Administrator that TIF dollars within District 3 -2 be utilized for projects within that district. He also indicated that the City should move to expand the boundaries of this project area so TIP funds can be used to assist with other projects in the future. Council agreed. 12 MINUTES CITY COUNCIL FEBRUARY 8, 2012 TIF District 6 -1 (2966 Arcade Area) was reviewed with the Administrator recommending that the district be expanded across LaBore Road to aid in the development/redevelopment of a number of parcels. He recommended that the LaBore Road access point for a development of the 2966 Arcade Area should be lined up with Gervais Woods. The Administrator recommended that the District be expanded to provide for a larger scale and future opportunities. He also indicated that from a TIF financial perspective, this district will /should stand on its own merits. Council agreed. The Administrator reviewed TIF District 3 -3 (Housing District) reported that this district's fund balance needs to be used on eligible housing activities. The Administrator indicated that the best choice would be an assisted living /hospice development. The Administrator indicated that he will need to clarify whether or not a hospice development would qualify, however. Council agreed. Boss asked if TIF dollars could be used for trail work. The Administrator was not sure, but pointed out that TIF dollars cannot be used for park work, so it was unlikely. The Administrator indicated that he would check into this. The Council was in agreement with the direction that was discussed. COUNTY B -2 The Public Works Superintendent reported that the at -grade railroad RAILROAD crossing on County Road B -2 east of Roseville Area Middle School has CROSSING deteriorated and needs to be replaced. The crossing was installed in 1996 AGREEMENT and was part of the first generation of concrete railroad crossings. These did not last as long as first thought, and given technology has improved, these crossings should now last 20 years. The crossing is owned by CP Rail and its policy is to split the cost of the crossing with the City, with the City also paying for traffic control and pavement restoration. Total estimated cost is $71,289, with the City's share at $35,644.50 plus the cost of traffic control and pavement restoration. These additional costs are estimated at $1,000. Mr. Keis introduced the following resolution and moved its adoption: RESOLUTION NO. 2012 -2 -32 — AUTHORIZING THE REPLACEMENT OF THE COUNTY ROAD B -2 AT GRADE RAILROAD CROSSING AS RECOMMENDED BY THE PUBLIC WORKS SUPERINTENDENT, AND APPROVING THE CITY'S SHARE OF THE COST NOT TO EXCEED $40,000 13 MINUTES CITY COUNCIL FEBRUARY 8, 2012 The foregoing resolution was duly seconded by McGraw. Ayes (5). Nays (0). Resolution declared adopted. REVIEW OF The Public Work Superintendent reviewed his February 3, 2012 ALTERNATE report relative to the City's Alternate Water Meter Systems Policy WATER that was developed for those property owners who chose not to have a METER fixed - network radio in their homes. 'This policy allows residents to SYSTEMS choose to either have the radio mounted on the outside of their homes POLICY at no additional charge or the City can put in a touchpad on the home and continue reading the meter manually for a $12 per quarter charge. This policy allows alternatives to those residents who have a concern that there is a health risk with the radio waves transmitted by the new system. The Superintendent reported that to date 2,160 of the new meters have been installed and there are about 150 left to be installed. The City has three official opt -outs and a request from another homeowner who wishes to opt out, but doesn't want to pay the quarterly charge. The Superintendent reported that many studies have been commissioned on the effects of radio frequencies (microwaves, telephones, wireless networks, etc.) on humans, and those studies have all shown no direct links between radio waves and human health effects. The City of St. Paul also did extensive research on this matter, and the Superintendent pointed out that information is included with his report. The Superintendent informed the Council that the new meter reading system transmits 4 times per day for a total of approximately 1 second per day. He pointed out that a wireless network is transmitting at all times. He also pointed out the high use of cell phones. The Superintendent reported that this new meter reading system was put in place to improve efficiency and provide better customer service. The City is not profiting from this system. Blesener agreed that the new system is an attempt to save the utility customers money. The Superintendent reported that based on the research, City staff does not believe the system is a health risk. I-le also felt that a $12 per quarter charge to opt out of the system was fair, pointing out that an employee would have to drive to the home and do a manual read. The Council discussed the radio wave exposure from the automated meter reading system versus cell phone usage. The Administrator also pointed out that the National Cancer Society, World Health Organization, and 14 MINUTES CITY COUNCIL FEBRUARY 8, 2012 FCC have not indicated that there is a direct health risk, although WHO is now taking a more cautious approach with the statement indicating there may be a link. The Administrator agreed that the new system is more efficient and will provide better customer service in that it has leak detection capabilities. The $12 per quarter charge was also discussed, with the Council agreeing the charge is equitable given an employee in a vehicle will have to drive each quarter to an opt out location to do a manual water meter read. McGraw pointed out that the system only transmits a total of one second per day comparing that to the amount of time radio waves are transmitted via televisions and cell phones. It was the consensus of the Council not to amend the Alternative Water Meter System Policy. RICE STREET The City Administrator reported that Duane Schwartz, City of Roseville, PHASE I1— has informed him that Xcel's estimate for burying of the powerlines in BURYING the Rice Street Phase II Project is $1,322,343. Roseville's share of this OF cost based on the number of powerpoles on the Roseville side of Rice POWERLINES Street is $1,033,323 and Little Canada's share is $289,020. The City Administrator noted that the Cities of Roseville and Little Canada shared this cost equally in the Rice Street Phase I project. The Administrator reported that the total cost estimate is higher for Phase II, but the length of the improvement area is greater. There will also be some service upgrade issues along the Phase II project. The cost estimate will be refined more as more analysis of easement issues, etc. is done. The City Administrator also noted that half of the estimated cost is close to what the City has budgeted for. These dollars would come from the Infrastructure Fund and possibly future State Aid Funds. The Council discussed the need to bury the powerlines along Rice Street as well as what would happen if Little Canada opted out of that portion of the project. The Administrator noted the aesthetic improvement that would result from the buried powerlines and pointed out the unsightly appearance if the Little Canada poles remained. It was also noted that the improvement of Rice Street from County Road C -2 to 694 was several years off. The Council discussed the equity of equally sharing the cost of burying the Rice Street powerlines, and the Council's consensus was to keep moving forward in with this project. 15 MINUTES CITY COUNCIL FEBRUARY 8, 2012 ADJOURN Mr. McGraw introduced the following resolution and moved its adoption: RESOLUTION NO. 2012 -2 -33 – ADJOURNING The foregoing resolution was duly seconded by Boss. Ayes (5). Nays (0). Resolution declared adopted. There being no further business, the meeting was adjourned at 9:44 p.m. Attest: / Wilhai en r, C — Joel anson, City Administrator 16