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HomeMy WebLinkAbout11-01-2007 Charter PacketLINO LAKES CHARTER COMMISSION SPECIAL MEETING AGENDA Thursday, November 1, 2007 1. Call to Order and Roll CaII 6:30 PM 2. Pledge of Allegiance 6:32 PM 3. Approval of Agenda 6:33 PM 4. Open Mike 6:34 PM 5. Approval of minutes, October 11, 2007 6:35 PM 6. Old Business A. Paul Montain member status 6:40 PM B. Review draft amendment from Attorney 6:50 PM 7. New Business A. Information on road reconstruction for ballot, Quad Press article, city-wide mailer and on city website about amendment question. B. Set November agenda 7:50 PM 8. Adjourn 8:30 PM 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 29 30 31 32 33 34 35 36 37 38 39 40 41 42 43 44 45 DATE TIME STARTED TIME ENDED MEMBERS PRESENT MEMBERS EXCUSED MEMBERS UNEXCUSED STAFF MEMBERS PRESENT CITY OF LINO LAKES CHARTER COMMISSION : October 11, 2007 . 6:35 P.M. : 10:05 P.M. : Duffy, Vacha, Trehus, Handrick, Dahl, Bening, Aldentaler, Richard Williams, Rosemary Williams, Storberg, Zastrow, and Carlson : Bor, Stockman Maher : Montain : None CALL TO ORDER AND ROLL CALL Chair Duffy called the regular meeting of the Lino Lakes Charter Commission to order at 6:35 p.m. on October 11, 2007. PLEDGE OF ALLEGIANCE APPROVAL OF AGENDA MOTION by Commissioner Dahl, seconded by Commissioner Zastrow, to approve the agenda. Motion carried unanimously. OPEN MIKE Chris Bretoi, 6779 W Shadow Lake Dr, appeared before the Charter Commission to express concern regarding proposed improvements on Shadow Lake Drive as well as the proposed amendments to the Charter. He indicated that residents in the area attempted to petition the City to conduct a feasibility study in order to obtain recommendations for repair to the road. He stated a report was prepared by TKDA and the issue is now going to a referendum. Mr. P expressed concern that a request for a study has now turned into a referendum. He stated that residents have been informed that the street will not be repaired until the referendum passes. He asked why it is necessary to have holding ponds and walking/biking paths as part of the improvement. Commissioner Handrick stated this is a safety issue that the City has to address. Mr. Bretoi questioned why the City has not come in and performed the repairs in this area and then dealt with the other improvements later on. He added most of the residents in the neighborhood understand that improvements are needed and most residents probably want to preserve the character of the neighborhood in doing that. Charter Commission October 11, 2007 Page 2 DRAFT 46 47 Commissioner Rosemary Williams suggested that residents write a letter to the Quad Cities 48 editor and try to get as many letters out there which includes a phone number for the Mayor so 49 that residents can voice their concerns. In addition, she suggested residents attend the City 50 Council meetings to express their ongoing concerns. 51 52 Mr. Bretoi stated that residents are perplexed that there has been minimal citizen input on this 53 matter. 54 55 Commissioner Vacha encouraged the residents to bring this issue to the attention of the City 56 Council through open mike. 57 58 Commissioner Storberg stated that Mr. Bretoi and any other residents in the area are welcome to 59 attend the next meeting of the Charter Commission. 60 61 John Freimuth appeared before the Charter Commission. He stated he is running for Mayor and 62 also lives in the Shadow Lake area. Mr. Freimuth stated under the current rules, residents are 63 required to hook up to city sewer and water if it is available; he indicated he is not certain that all 64 residents in that area want city sewer and water, and added the cost appears to be excessive. Mr. 65 Freimuth indicated he is opposed to any changes to the City Charter and expressed concern about 66 the City going forward without first obtaining citizen input. 67 68 Chair Duffy thanked Mr. Bretoi and Mr. Freimuth for their appearance at the meeting. 69 70 APPROVAL OF MINUTES — SEPTEMBER 6, 2007, AND OLD BUSINESS 71 72 Chair Duffy suggested the Commission move the approval of minutes and old business agenda 73 items to follow "New Business — Charter Attorney." 74 75 MOTION by Commissiner Dahl; seconded by Commissioner Zastrow, to approve moving 76 agenda items "Approval of Minutes" and "Old Business" to follow "New Business — Charter 77 Attorney." Motion carried unanimously. 78 79 NEW BUSINESS 80 81 A. Charter Attorney 82 83 Chair Duffy introduced Karen Marty, Marty Law Firm LLC. 84 85 Ms. Marty stated she had read the proposed Charter amendments and bullet points, as well as the 86 article regarding the Shenandoah neighborhood. She stated the existing Charter provides that any 87 local improvement project is to be funded via assessment. She asked the Commission how it has 88 worked in the past to have a public vote on paying for improvements with taxes. 89 2 n Charter Commission October 11, 2007 Page 3 DRAFT 90 Commissioner Bening stated it has passed once and failed twice. He stated the same road has 91 failed twice. 92 93 Commissioner Carlson arrived at 7:15 p.m. 94 95 Ms. Marty stated the proposed Charter amendment includes changes to the way local assessments 96 are defined. She stated the current Charter reads the only time the City can assess a project is 97 when it is a public improvement with a local character. She indicated this language is missing 98 from the City Council draft and stated if the Commission wants the "local character" language, it 99 has to be added. 100 101 Commissioner Trehus requested a definition of "local character." 102 103 Ms. Marty stated the term creates ambiguity and does not have a standard definition. She 104 indicated it adds an extra concept and tells people that the idea is you are putting in 105 improvements that do something for Lino Lakes and not just for any other City or for traffic 106 passing through. 107 108 Chair Duffy stated the proposed amendment that the City Council has come up with does not 109 have the language it wants. 110 111 It was the consensus of the Commission to include the "local character" language in the proposed 112 amendment. 113 114 Ms. Marty requested input from the Commission regarding notification of property owners and 115 who should be notified. 116 117 Commissioner Dahl stated that property owners that abut the proposed improvement should be 118 notified. 119 120 Ms. Marty stated there is conflicting language in state law, the City Council draft, and the 121 proposed amendment regarding votes of property owners for assessments. She asked if the 122 Commission wants the ability to do area -wide assessments and stated the question comes down 123 to whether the assessed property owners are benefiting from the improvement. She added this is 124 an issue that needs to be addressed; state law requires that area assessments be imposed when an 125 improvement helps the entire neighborhood. 126 127 Commissioner Bening stated that currently, local residents pay a certain percentage, and the rest 128 is paid out of the City's general fund. 129 130 Ms. Marty stated it is state law that the City can assess the amount your property value increases 131 due to the improvement; you only have to pay the amount your value went up. /'1 132 133 Chair Duffy asked what the most common scenario is. 3 Charter Commission October 11, 2007 Page 4 DRAFT 134 135 Ms. Marty replied the most common scenario is to assess the adjacent property owners and have 136 the whole tax base of the City pick up the rest. 137 138 Commissioner Trehus asked where the Charter excludes area assessments. 139 140 Ms. Marty stated there are conflicting references in the current Charter and proposed 141 amendments and stated it is important these be consistent throughout the document. 142 143 Commissioner Handrick stated she is opposed to area -wide assessments and that it should be left 144 to the City to pick up the rest out of the general fund. 145 146 Commissioner Trehus concurred. 147 148 Ms. Marty requested the Commission consider the language regarding area -wide assessments and 149 get back to her. Ms. Marty asked if it is the intent to restrict the vote regarding assessments to 150 allow one vote per parcel or per frontage. 151 152 It was the concensus of the Commission to restrict voting to one vote per parcel and one name 153 per project (in the case of multiple lot owners). 154 155 Ms. Marty then addressed the items in the Commission's Bullet List. 156 157 Bullet #1: Ms. Marty agreed with the proposed changes in Bullet #1. 158 159 Bullet #2: Ms. Marty agreed with Bullet #2. 160 161 Bullet #3: Ms. Marty stated this requires 25% of the owners of the parcels; state law requires 162 35% of owners of the frontage. Discussion was held whether to raise the percentage consistent 163 with state law. 164 165 It was the consensus of the Commission to leave this provision as it currently reads (25%). 166 167 Commissioner Bening stated this provision begins "a neighborhood may initiate projects..." and 168 then talks about a petition for a feasibility study. He asked if the first sentence should include the 169 words "petition for feasibility study." Ms. Marty agreed to clarify this provision. 170 171 Bullet #4: Ms. Marty requested clarification of this bullet. 172 173 Commissioner Trehus stated the City has not indicated what is involved in the project and 174 nothing is defined. The Commission has concerns about this and wants the City to define an 175 improvement project. 176 4 Charter Commission October 11, 2007 Page 5 DRAFT 177 Ms. Marty stated a project would normally start with a proposal, then a feasibility study, 178 followed by City Council review and a determination if the project is feasible. At that point they 179 should know which trees are coming out, how wide the road will be, etc. She added that all plans 180 are available for public viewing. 181 182 Chair Duffy stated the Commission's concern is that the City has not previously made it clear to 183 residents how much a particular project will cost, etc. and residents are feeling they are not being 184 given adequte opportunity to provide input. 185 186 Commissioner Handrick left the Commission meeting at 8:00 p.m. 187 188 Bullet #5: It was the consensus of the Commission to send notices via certified mail. 189 190 Bullet #6: Ms. Marty agreed with this provision. 191 192 Bullet #7: Ms. Marty requested clarification of the word "affected" as it relates to affected 193 property owners blocking a project with a petition of 25% of the affected property owners. 194 195 Chair Duffy stated it is important the Charter be consistent throughout with respect to this 196 provision. She added this provision relates to an objection of a proposed assessment and it does 197 not stop a proposed project. 198 199 It was the consensus of the Commission to leave the wording as currently proposed regarding a 200 petition. 201 202 Bullet #8: Commissioner Trehus stated the Charter currently has a referendum requirement; the 203 Commission proposes adding language to replace referendum with a "petition for" referendum 204 requiring a percentage of registered votes. The question is how many signatures would be 205 required on the petition. Chair Duffy added that currently, it automatically goes to a referendum. 206 207 It was the consensus of the Commission to continue to discuss this matter and provide feedback 208 to Ms. Marty. 209 210 Commissioner Aldentaler left the Commission meeting at 8:32 p.m. 211 212 Bullet #9: Ms. Marty requested the Commission provide her with the number of years it proposes 213 to include in the disallowance provision. 214 215 It was the consensus of the Commission to further deliberate this issue. 216 217 Bullet #10: Ms. Marty requested clarification of the Commission's intent with respect to the 218 requirement that developers pay for new roads and/or utilities that benefit developers or future n 219 developments. 220 5 Charter Commission October 11, 2007 Page 6 DRAFT 221 Commissioner Carlson asked what would prevent the City Council from okaying a developer 222 coming in, and the developer asking the City to put the roads in. He questioned if there is 223 anything to stop this without a referendum. 224 225 Ms. Marty replied she has never seen a city that allowed this. 226 227 It was the consensus of the Commission to defer to Ms. Marty for proposed language. 228 229 Bullet #11: Ms. Marty stated that the proposed language in this provision (establishing an 230 equitable fee structure to be paid by developers to cover construction traffic damage to existing 231 roads and also make them pay for increased infrastructure demands caused by the developer) 232 results in "impact fees" and these fees are illegal in this state. Ms. Marty agreed to research this 233 issue further. 234 235 Bullet #12: Ms. Marty suggested the Commission not adopt a standard petition form to be used 236 by residents. Instead, she proposed having a sample form available to residents but not a 237 required form. 238 239 Additional Concerns: 240 241 Items A and B: Ms. Marty stated she is okay with the first part of this section with respect to 242 analyzing the council task force amendment to see what citzen rights would be lost. She 243 requested an explanation of the second sentence regarding whether this proposal if ratified 244 establishes a funding source (as per the city survey question). 245 246 Chair Duffy stated the impetus for change to the Charter centers around the City Council claim 247 that 60% of residents want to change the Charter. She stated the Commission wants to know if 248 the proposed amendments change the funding source. 249 250 Ms. Marty stated if the City wants to establish, for example, a "road maintenance" fund, with 251 1/10 of 1% of money going into this account, and when the account gets big enough, the City can 252 spend the monies without going to a referendum. 253 254 There was significant discussion regarding use of City funds and the need for Charter amendment 255 to get away from referendums. 256 257 Item C: Ms. Marty recommended against including a requirement in the Charter to seal coat 258 every "x" years, overlay every "x" years, or including a clause with respect to following the 259 City's Pavement Management Program. She stated this level of detail does not belong in a 260 Charter; rather, it belongs in an ordinance or resolution. 261 262 Chair Duffy stated the City has recently approved a Pavement Management Plan which includes 263 a schedule for seal coating, etc. She asked if there is any recourse available if the Pavement 264 Management Plan is not followed. 6 Charter Commission October 11, 2007 Page 7 DRAFT 265 266 Ms. Marty replied that language can be added that the City must maintain the roads according to 267 the Pavement Management Plan. 268 269 Commissioner Dahl stated she felt it is important to include language that the Charter 270 Commission can exercise its discretion with respect to this language. 271 272 Commissioner Carlson agreed with Ms. Marty that this language should not be included in the 273 Charter. Commissioner Bening and Commissioner Vacha concurred. 274 275 It was the consensus of the Commission to remove Item C. 276 277 Item D: Ms. Marty discussed language regarding the Charter Commission's standing to go after 278 the City Council if the City does not comply with the Charter. 279 280 Commissioner Dahl stated it is important that the City be held accountable. 281 282 Commissioner Bening stated he felt this provision should include a voting requirement (for 283 example, a 4/5 majority). 284 ,."'N 285 Item E: Ms. Marty indicated she was in agreement with this section. 286 287 Further Discussion with Attorney 288 289 Chair Duffy stated the deadline for the Charter Commission's work is December 6. 290 291 The Commission requested Ms. Marty's proposed revisions by Thursday, October 25, 2007. 292 293 It was the consensus of the Commission to meet without Ms. Marty present in order to go over 294 her proposed revisions. 295 296 It was the consensus of the Commission to meet on Thursday, November 1, 2007, at 6:30 p.m., 297 to review Ms. Marty's proposed revisions. The Commission will then submit its comments to 298 Ms. Marty on or before November 9, 2007. 299 300 It was the consensus of the Commission to meet again on Thursday, November 15, 2007, at 6:30 301 p.m., and requested Ms. Marty be present at this meeting. 302 303 APPROVAL OF MINUTES - SEPTEMBER 6, 2007 304 305 Commissioner Trehus requested that line 106 on page 3 be amended to read as follows: 306 "Commissioner Trehus stated that if they reject or approve the proposal tonight the Council ''. 307 could still put..." [adding the words "or approve"]. 308 7 Charter Commission October 11, 2007 Page 8 DRAFT 309 Commissioner Trehus requested line 131 on page 3 be amended to strike the word "continue" 310 and insert the word "begin" so that it reads as follows: "Bullet #4: Begin requiring notices via 311 certified mail." 312 313 Commissioner Trehus requested line 154 on page 4 be amended to strike the word "referendum" 314 and insert the words "bullet list" so that it reads as follows: "Bullet #13: Consensus of 315 Commission is to have this remain on the bullet list." 316 317 Commissioner Trehus requested line 156 on page 4 be amended to strike the words "in the 318 referendum" so that line 156 reads as follows: "or greater petition." 319 320 Commissioner Trehus requested lines 157 and 158 on page 4 be amended to strike the last 321 sentence. 322 323 Commissioner Trehus requested line 167 on page 4 be amended to strike the word "referendum" 324 and insert the words "bullet list" so that the sentence reads as follows: `Bullet #20: Leave in the 325 bullet list for discussion with the attorney." 326 327 Commissioner Dahl requested line 80 on page 2 be striken since it is redundant. 328 329 Commissioner Dahl requested line 114 and 115 on page 3 be amended to strike the sentence 330 "Commissioner Dahl questioned if the rest of the City will pay the neighborhood's taxes." 331 332 Commissioner Richard Williams requested line 182 and 183on page 5 be amended to read: 333 "Commissioner Richard Williams asked if it was worthwhile to list this in the newspaper at this 334 time." 335 336 MOTION by Commissioner Trehus, seconded by Commissioner Dahl, to approve the 337 September 6, 2007, Charter Commission meeting minutes, as amended. Motion carried 338 unanimously. 339 340 OLD BUSINESS 341 342 A. 2007 Charter Budget — Chair Duffy reported that she and Commissioner Dahl attended the 343 City Council work session on October 1st and discussed the Commission's request for money. 344 She stated the City Council approved the Commission's request for funding for legal fees in 345 the amount of $5,250. 346 347 Commissioner Storberg expressed the Commission's appreciation to Chair Duffy for her 348 work in hiring Ms. Marty. 349 350 B. Commissioner Absences — Chair Duffy asked if any of the Commissioners has spoken to 351 Commissioner Montain. She stated she sent him an email and has not heard from him. She 352 added the last meeting attended by Commissioner Montain was in October 2006. 8 n Charter Commission October 11, 2007 Page 9 DRAFT 353 MOTION by Commissioner Bening, seconded by Commissioner Richard Williams, directing 354 Chair Duffy to send a certified letter to Commissioner Paul Montain informing him that unless 355 the Commission hears from him by October 31, 2007, the Commission intends to follow the 356 bylaws of the Charter regarding discharge of members. Motion carried unanimously. 357 358 C. On -Going Reports, Gordon Heitke, City Administrator — The Commission received the 359 quarterly update memo from Gordon Heitke. The Commission also received the updated 360 timeline for consideration of the Charter Amendment, which includes the December 6th 361 deadline. 362 363 NEW BUSINESS 364 365 Set November Meeting Date & Agenda 366 367 Chair Duffy stated the meeting dates for November (November 1 and 15) were set earlier. The 368 agenda at these meetings is the Charter amendments. 369 370 ADJOURN 371 372 MOTION by Commissioner Zastrow, seconded by Commissioner Dahl, to adjourn the meeting at 373 10:05 p.m. Motion carried unanimously. 374 375 Respectfully submitted, 376 377 Barbara Hughes 378 TimeSaver Off Site Secretarial, Inc. 379 9 e s,s' Lino Lakes residents to vote on street reconstruction LINO LAKES — Two open houses have been scheduled to give residents an opportunity to learn more about a referen- dum efereedum for, street reconstruction. Residents will be asked to vote on a tax levy on Nov 6 to be used for reconstruction of West Shadow Lake Drive (from Birch Street to its northern ter- minus), Shadow Court and Sandpiper Drive. „Illap city of Lino Lakes has a ximately 100 miles of loczu streets that need to be maintained. Several years ago, the City Council initiated a pavement management plan to identify what street improve- ments were necessary, while minimizing costs to property owners and taxpayers. As the city ages, the need for recon- struction of local streets increases. Streets that are in poor condition or have storm water drainage problems sub- stantially increase city mainte- nance costs. Eventually, it becomes more cost-effective to replace the street than contin- ue to maintain it. Funding for local streets is typically dependent on special assessments to benefiting properties and general proper- ty tax levies. Because the cost of street reconstruction typi- cally exceeds the amount that can be assessed, a general tax levy often becomes the pri- mary funding source for local street improvements. The city charter governs, in part, public improvements and special assessments. The char- ter requires voter approval if a public improvement is financed partially by special assessments to benefiting property owners. Since it is the city's desire to minimize taxes, benefiting property owners are specially assessed. Therefore, reconstruction of local streets within Lino Lakes is solely determined by the residents of the city. In 2003 and 2005, the referendum for reconstruction of these streets failed. Cost Breakdown If the voters approve the referendum on Nov. 6, the cost to a property owner is estimated to be: Assessor's Market Value $200,000 $250,000 $350,000 $500,000 The reconstruction, `if passed, will be completed in 2009. The total cost is estimated to be $5.5 million, financed by the issuance of bonds payable over 15 years. The project cost will be covered two ways: 48.5 percent is proposed to be sup- ported by tax levy, and the remainder (51.5 percent) paid by special assessments to the affected property owners. The annual payments on the bonds are covered by the increase in property taxes spread over the city's entire tax base. The esti- mated amount of property taxes to be raised annually is approximately $288,499. The city will hold open hous- es Oct 24 and Oct 30 from 5 to 7 p.m. at City Hall, 600 Town Center Parkway. City staff will be there to answer questions. For more information, visit www.ci.lino-lakes.mn.us or contact the community devel- opment department at 651-982- 2424. Estimated Annual Cost $30.00 $38.00 $53.00 $76.00 MEMINWM Referendum for Street Improvements in Lino Lakes Lino Lakes residents will consider a ballot question on November 6 that will allow for the reconstruction of 1.5 miles of roadway on West Shadow Lake Drive (from Birch Street to its northern terminus), Shadow Court and Sandpiper Drive. The City of Lino Lakes maintains approximately 100 miles of local streets. Several years ago, the city adopted a Pavement Management Plan that identified streets needing reconstruction and maintenance. This area of the city was targeted as one with severely deteriorated roads. As these more established neighborhoods in Lino Lakes con- tinue to age and infrastructure deteriorates, maintenance costs grow every year. Eventually, it becomes more cost effective to replace the street rather than continue to maintain it. Funding for reconstruction of local streets is dependent on special assessments to benefiting properties and general property tax lev- ies. Because the cost of street reconstruction typically exceeds the nount that, by law, can be assessed to individual property own- ers, a general tax levy often becomes a primary funding source for local street improvements. The Lino Lakes City Charter requires voter approval if a public im- provement is financed partially by special assessments to benefit- ing property owners. Since it is the city's desire to minimize taxes, benefiting properties are specially assessed. Therefore, reconstruc- tion of local streets within Lino Lakes is solely determined by the residents of the city. In 2003 and 2005, the referendum for recon- struction of these streets failed. The Project The proposed improvements for this street project: • Develop a uniform street design • Meet the city's minimum 7 -ton design standard Provide surface water treatment and infiltration • Install sanitary sewer and public water supply systems (Sanitary sewer and water 100% paid by benefiting property owners) The referendum is required in order to allow the improvements and reconstruction of these local streets: • West Shadow Lake Drive (Birch Street to the northern terminus) • Shadow Court • Sandpiper Drive 2009 Street Reconstruction Referendum Information ( I 1 1 it4/a`t O 1- LNOLHKES 600 Town Center Parkway Lino Lakes, MN 55014 PRSRT STD U.S. Postage PAID Permit No. 225 Osseo, MN Remember to Vote on Tuesday, Nov. 6 Referendum Question "Should the City of Lino Lakes be authorized to undertake the 2009 Street Reconstruction Project, and to pay approxi- mately 51.5% of the cost from special assessments levied according to city policies and 48.5% of the cost from the city general fund including reve- nues from a levy on all taxable property in the city"? Two Informational Open Houses Scheduled Lino Lakes City Hall Community Room 600 Town Center Parkway Two Open House meetings are scheduled to provide an opportunity for the resi- dents of Lino Lakes to review information and ask questions regarding the referen- dum. City staff and financial and engineering consultants will be present to provide information and answer questions regarding the proposed referendum. Wednesday, October 24 5 p.m. to 7 p.m. Tuesday, October 30 5 p.m. to 7 p.m. For additional referendum information visit the city's website at: www.ci.1ino-Iakes.mn.us Click on Current Events - 2009 Street Reconstruction Project or Cable Channel 16 How will this affect property taxes? The total cost of the 2009 Street Reconstruction Project is estimated to be $5,583,000.00. The project is proposed to be financed by issu- ance of bonds payable over 15 years. The project cost will be cov- ered two ways: 48.5% is proposed to be supported by tax levy, and the remainder (51.5%) paid by special assessments to the affected property owners. The annual payments on the bonds are covered by an increase in property taxes spread over the city's entire tax base. The estimated amount of property taxes to be raised annually is ap- proximately $288,499. The estimated costs are based on the city's 2007 estimated market value and do not take into consideration any residential, indus- trial and commercial growth in 2007 and beyond. As the tax base increases, the financial impact to property owners is expected to decrease. Estimated Cost to Property Owner Assessor's Market Value Estimated Estimated Annual Cost Monthly $200,000 $30.00 $2.50 $250,000 $38.00 $3.17 $300,000 $45.00 $3.75 $350,000 $53.00 $4.42 $400,000 $61.00 $5.08 $500,000 $76.00 $6