HomeMy WebLinkAbout09-08-2009 Council Minutes (2) CITY COUNCIL WORK SESSION September 8, 2009
APPROVED
1 CITY OF LINO LAKES
` 2 MINUTES
3 CITY COUNCIL WORK SESSION
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5 DATE : September 8, 2009
6 TIME STARTED : 6:35 p.m.
7 TIME ENDED : 11:35 p.m.
8 MEMBERS PRESENT : Council Members Gallup, O'Donnell,
9 Reinert, Stoltz and Mayor Bergeson
10 MEMBERS ABSENT
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13 Also Present: Acting City Administrator, Dan Tesch; Director of Public Safety, Dave Pecchia;
14 Community Development Director, Michael Grochala; Public Services Director, Rick
15 DeGardner; City Engineer, Jim Studenski; City Finance Director, Al Rolek; Economic
16 Development Coordinator Mary Alice Divine; City Clerk Julie Bartell; City Attorney, Joe Langel
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18 1. Harvey Karth re: intersection of Lake Drive and Main Street—Mr. Karth presented
19 data regarding traffic at the intersection and compelled the council to look into additional traffic
20 controls there.
21 Engineer Studenski explained that this situation involves the intersection of two county
22 roadways. He has been in contact with Anoka County in an effort to plan for signaling of the
23 intersection, however, there are some issues involved regarding the need for additional right of
24 way/land to upgrade the traffic control. Staff will speak again with the county and will also
25 prepare a resolution for council consideration.
26 Mr. Karth indicated that he is aware that there are some issues and he feels that an upgrade
27 doesn't have to be grandiose. There are many safety concerns at the intersection as seen with the
28 number of citations that are passed out on average.
29 2. Charter Commission Audit—Acting Administrator Tesch recalled that when the
30 council received the results of the audit done on the charter commission by Attorney Michael
31 Dougherty, they indicated there would be more discussion on several points. Those points are:
32 the commission's operating guidelines, the commission's bill paying guidelines, data practice
33 and communications about the commission's work with the residents. Since the council has
34 reviewed the audit results, Charter Commission Attorney Karen Marty provided a response and
35 audit Attorney Dougherty has provided a response to her response.
36 At the request of the council, City Attorney Langel reviewed and opined on the points. He noted
37 first that charter commissions are governed by Minnesota Statutes, Chapter 410, and their role is
38 also established in that statute. Regarding the matter of what bills the city can and cannot pay for
39 the charter commission, Mr. Langel said that he agrees with the rationale presented by Attorney
40 Dougherty in that the commission is a public entity and therefore there are certain things they can
41 and cannot spend money on. They can spend money on framing amendments to the city charter
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CITY COUNCIL WORK SESSION September 8, 2009
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42 including the hiring of an attorney for that purpose. Anything beyond that becomes questionable.
x..13 It is clear that no municipal or government entity may spend public funds to advocate for a
44 position. Regarding data privacy, a responsible authority should be designated by the group and
45 person should have access to the data of the commission as well as be able to respond to requests
46 for data in a timely manner. It isn't the city's obligation. A charter commissioner noted that a
47 response to the data practice question is included in their attorney's response to the audit; as well,
48 they have contacted other charter commissions and have found none that have designated a data
49 practice authority. It is an on-going discussion and the commission is not clear on how to
50 proceed; they believe that all their records are kept and accessible at city hall. A council member
51 suggested that the commission may want to contact the League of Minnesota Cities for assistance
52 in planning their data practices.
53 Pat Smith, former charter commission chair, commented that he understands from experience the
54 difficulties that can arise because the commission is self-policed; it would be helpful to televise
55 commission meetings and to have spending run through the council.
56 Council comments included recognizing that audits are done to review practices and provide
57 advice on improvements and it would be appropriate to respond to the advice given by this audit.
58 The issues are outlined by the audit and the job at hand is how to address them. The League of
59 Minnesota Cities provides advice in areas such as city charters and could be a useful and free tool
60 to deal with charter questions. The council recognizes that the commission is a volunteer
61 organization and encourages them to ask for help if needed.
, 62 Comments from the audience included questioning why the city is paying money to an
63 organization that has no guidelines. The brochure that was produced by the charter commission
64 about the charter amendment on public improvements was one-sided, unfair to those who
65 opposed their position and the council should know ahead how public funds will be spent.
66 Wrong was done by the commission and to restore credibility an apology is in order to allow
67 everyone to move forward.
68 Comments from charter commission members included that the commission's impetus for
69 getting an audit response from their attorney was not to dispute but rather for advice on
70 responding. The audit attorney and the commission attorney clearly don't agree and that is not
71 unusual with legal opinions. The city practices should be reviewed and held to the same high
72 standard as they want for the commission.
73 The council will be asking the commission to consider establishing guidelines and procedures
74 and to include an education process on them for new members. If they need some professional
75 help in that area, they should ask.
76 3. Charter Commission Budget—City Clerk Bartell noted that the council's discussion of
77 the charter commission's budget was initiated by a July 24, 2009 letter from the commission
78 requesting additional funding in 2009 and a budget level in 2010. The council has discussed the
79 budget with some commission representatives at work sessions and a joint meeting with the
80 charter commission was held in August. Budget points have been submitted explaining the
81 commission's current request.
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82 A council member recalled that at the joint meeting there was some discussion about creating
.._ 83 some line items within the commission's budget so that funds would be reserved for operating
84 expenses. Perhaps a"guidelines and procedures" line item should be added.
85 Finance Director Rolek noted that the attorney has opined a very narrow scope of how public
86 funds can be expended by the commission.
87 Commissioner Sutherland reviewed the budget points. In regard to the outstanding bill to the
88 charter attorney and using funds to set up guidelines and procedures, City Attorney Langel
89 referred to the audit report and the interpretation in it that the statute doesn't allow for such
90 expenditures; the statute may be outdated but it is still the law. There could be some typical
91 expenses that go along with the activity of framing and amending that could be argued.
92 When asked if the council could authorize payment of the outstanding bill for attorney services
93 related to responding to the audit, City Attorney Langel said that, given the statutory language, he
94 does not believe that is a valid expense that can be paid by the City of Lino Lakes.
95 There was additional discussion in the area of what the city can and cannot fund with a
96 determination that costs relating to frame and amend are all that are allowed. A charter
97 commissioner indicated that they would review their outstanding attorney bill and determine
98 what is included that relates to frame and amend.
99 The council will consider the charter commission budget at the September 14, 2009 council
00 meeting.
101 4. Kraus Anderson development proposal—Mary Alice Divine introduced Matt
102 Alexander and development consultant, Kathy Anderson, both representing Kraus Anderson's
103 proposal to develop a grocery facility on the west side of Hodgson Road at County Road J. Mr.
104 Alexander explained that meetings on the proposal have been held with the neighborhood and the
105 county and the next step would be a traffic analysis completed at the expense of the developer.
106 Mr. Alexander showed display boards indicating the site plan and a head-on view of the
107 proposed development. They have spent a great deal of time looking at buffering the
108 development from area residences. The development concept includes the possibility of some
109 type of housing down the line. They are committed to clear guidelines with the development.
110 They have talked to the county about potential road improvements and while they are not
111 prepared to fully fund such improvements, they(the developer)want to do what they can to move
112 forward. Hence the need for a study and hence their request to hear how the council sees the
113 proposal.
114 Ms. Divine added that the city's Economic Development Advisory Committee (EDAC) has been
115 involved in the process and are recommending that the council support moving forward with a
116 concept plan for the project.
117 When a council member asked about the feedback the developers have received from the
118 neighborhood, Mr. Alexander indicated that response has been across the board from "it's about
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119 time"to "the area should be a park". On the question of whether or not the store would be a 24-
20 hour operation, he indicated they could not commit on that either way.
121 Community Development Director Grochala added that the comprehensive plan calls for the area
122 to be mixed use; while there isn't anything in the plan that would prohibit the proposed
123 development, there are items such as traffic, water and sewer that would have to be discussed.
124 Ms. Anderson added that this project involves a large site with the possibility of mixed use,
125 however, it needs an anchor to be feasible. There is a grocery store interested.
126 A resident in the area of the proposed development asked for an explanation of what the
127 developer is asking the council to approve. Ms. Divine explained that Kraus Anderson
128 understands that this would not be an approval of the development but they would like a sense of
129 where the council is at now on the project.
130 Resident of Woodridge Lane said she supports the development and asked the council to
131 consider the revenue and jobs this will bring to the city. Also, it would be a nice replacement for
132 what exists on the site now.
133 When a council member asked why the grocer is currently the only secured tenant, Mr.
134 Alexander explained that Kraus Anderson would build knowing that they have the responsibility
135 (and obviously an interest) in getting the site filled and they normally have a 50% lease situation
136 before building. As far as city control, the Planned Unit Development (PUD)process will allows
37 the city certain use restrictions.
138 Dave Roser, EDAC Member, added that he attended the neighborhood meetings on the proposal.
139 He believes it is good to begin that communication process early, as they have. He's seen issues
140 arise and has seen the developer respond. He thinks this is a good developer and tenant.
141 Rosemary Storberg, 6978 Lake Drive, noted concern that there has traditionally been a negative
142 impact on area wells when these projects occur.
143 A resident from the area said he was speaking on behalf of a few neighbors along the property
144 line and remarked that the city's Master Plan doesn't call for this development. This is an area
145 without a traffic signal and access and traffic are a concern. The area residents are not speaking
146 for no development but are asking for what was planned for the site and that is not a big box
147 retailer. This would not be a good gateway to the city.
148 Ms. Anderson noted that the situation called for by the master plan was developed in some other
149 areas (in other cities) and those developments have generally not done.
150 A resident of Woodridge Lane noted concern about a 24 hour operation at this site and that it
151 doesn't match the area.
152 Mr. Roser added that there is an opportunity now to continue to gather more information on the
153 project and have input on what will make it work for the neighborhood.
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154 Recognizing that the conversation is very early, this is not a true decision point and that more
35 discussion is needed, the council concurred that they would support continuing the conversation
156 with the developer.
157 5. Proposal to convert Country Inn & Suites to Assisted Living/Memory Care-
158 Economic Development Coordinator Divine reported that the city has been approached by a
159 developer interested in conversion of the Country Inn and Suites. She indicated that a
160 representative of Winkelman Building is present to discuss the concept and would like input
161 from the council on the idea. As noted in her report, some considerations in changing the hotel
162 use to a living facility would relate to the Land Use Plan for Legacy at Woods Edge (the area site
163 is within an area designated as commercial) and the potential impact on the vicinity if a change
164 of use occurs. She reviewed other possible issues related to the existing development agreement
165 and the area's status as a tax increment district.
166 Mr. Schoenecker presented his information to the council. Winkelman Building is a well
167 established company with much experience in senior housing. This would be a well managed
168 facility and they have a goal of blending into the community. He pointed out that although this
169 particular use wasn't planned for the site, senior housing was planned for the area. The facility
170 would produce good jobs. He pointed out that the market has not been there for the hotel and it
171 has not been successful.
172 The council discussed with Mr. Schoenecker the proposed facilities including the proposal for
173 congregate dining. The council concurred that they would continue consideration of the
74 proposal.
175 The work session was recessed for a short period of time and then reconvened.
176 9. 2010 Budget Discussion - Finance Director Rolek distributed a written report to the
177 council indicating the city directors' current recommendations for 2010 budget adjustments that
178 would bring the city to a tax rate of 38.616% (the amount directed by the council). He noted that
179 the Early Retirement Incentive Plan could produce some change to the forecast but the deadline
180 for the program has not yet passed so the impact isn't known.
181 The council concurred that they will consider a reduction to their own budget in 2010 and they'd
182 like more information on those line items for a future decision.
183 The council concurred that they would be voting on setting the maximum tax levy(at 38.616 tax
184 rate) at the council meeting on September 14 and that it would be a maximum with a goal for
185 reduction from that rate.
186 8. 35E/CSAH 14 Interchange JPA/FundingUpdate—Community Development Director
187 Grochala reviewed his report updating the council on the funding scenario for the project. He
188 highlighted that additional non-city funding in the amount of$2 million has been identified and
189 thus the projected local share has been reduced to an estimated $4,221,000. He noted that the
190 high amount of city assessed funding that is expected to be deferred continues to be a funding
191 challenge. With the county indicating that they would only be willing to carry the debt for five
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CITY COUNCIL WORK SESSION September 8, 2009
APPROVED
192 years and with interest and service charges, the city would need to identify an interim revenue
93 stream for the debt pending receipt of deferred assessments. The county is proposing some
194 flexibility in areas such as by giving credits for things like road turn backs and a future garage
195 site. The council may be asked to consider a joint powers agreement on the project at the
196 September 28, 2009 council meeting.
197 The council will hold a special work session on September 14 (before the regular council
198 meeting)to receive more financial information on the proposal.
199 Review of Regular Council Meeting Agenda
200 The meeting was adjourned at 11:25 p.m.
201 These minutes were considered and approved at the regular Council meeting held on September
202 28, 2009.
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206 Julianne Bartell, City Cle / Be eson, Ma or
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