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HomeMy WebLinkAbout06/05/2002 Council Minutes! CITY COUNCIL WORK SESSION JUNE 5, 2002 DATE TIME STARTED TIME ENDED MEMBERS PRESENT MEMBERS ABSENT CITY OF LINO LAKES MINUTES : June 5, 2002 5:30 p.m. . 10:00 p.m. : Council Member Dahl, Carlson, O'Donnell, Reinert and Mayor Bergeson : None Staff members present: Administration Director, Dan Tesch; unity Development Director, Michael Grochala; City Engineer, Jim Studenski; ty LL er, Jeff Smyser; Chief of Police, Dave Pecchia (part); Fire Chief, Milo Be ; and City Clerk, Ann Blair (part) CENTENNIAL UTILITIES COMMISSION rf`R BERGESON Mayor Bergeson advised Linda Waite Smith ' ty Administrator, could not be present this evening to address franchise fee agre Mr. Ed Urchell, Centennial Utilities, ® group is present this evening to address the issue of the franchise fee. The c " " eement was renewed in 1996 and at that time Centennial Utilities were to "` " = ent would be a model for future agreements with other utility companies. . - s the ' her utility companies do not currently have fees included in their achise a: ment with the City of Lino Lakes. Mr. Jim Keineth, Circle Pis Ci Council, distributed and reviewed the Lino Lakes Franchise Fees Historical Pe pective noting Centennial Utilities believed the agreement was a partnership with the City of Lino Lakes. Mr. Urchell added that deregulation caused the price of natural gas to go up. Mr. Keineth stated that in November 2000, the City Council determined they are not interested in collecting franchise fees from Reliant. Mr. Urchell stated Centennial Utilities wants to move forward with a franchise ordinance amendment that would allow for either a volumetric measure or a per meter charge. Mayor Bergeson inquired about the current franchise fee. CITY COUNCIL WORK SESSION JUNE 5, 2002 Mr. Keineth stated the current franchise fee goes from 3% to 7% on the gross for commercial and residential use. Mayor Bergeson stated the City did put a cap on the franchise fee when the gas prices increased. Mr. Keineth reviewed the Lino Lakes Gas Franchise Data relating to franchise fees and the cost of gas. Councilmember Carlson stated she would like to have legal advice before a decision can be made. She noted the agreement is a legal agreement between the two entities for 25 years and the Council only has two documents to rely on for information. She expressed concern because the issue only seems to be the franchise fee and does not include other parts of the agreement. The City did give up all rights for e ent domain and the right of first refusal as part of the agreement. Mayor Bergeson stated that one of the decisions the Co R h make is if the City should be charging anyone a franchise fee. He stated he ie £- s there should be a franchise fee because there is a cost to the City to have ut here. If the Council determines there should be a franchise fee there . _• - questions such as how to charge and if the charges should be the same for all pr. ' • ers e City looks at equality in terms of the users. He added he does not beli e ity should take action that makes one provider pay more than another provid Mr. Vern Reinert, Centennial Utilities create a source of revenue for the Ci source would be carried on to oth to obtaining a franchise agreem agreement was that certain areas intent of the original agreement was to greement also intended that the revenue s. He stated the Commission was very close gasco in 1995. The other intent of the be set aside for certain providers. Mayor Bergeson asked if ' e e ; al would like to discuss the territory piece of this issue. Mr. Keineth stated time has ited the opportunities to grow in Lino Lakes. Therefore, the territory piece is not an issue at this time. Councilmember Carlson stated that Centennial Utilities purchased some rights when they entered into the agreement. Perhaps that is not important to them at this time. She referred to the Option to Terminate in the agreement and stated the City gave up the right to amend the agreement without terminating it. She read from the agreement the section relating to eminent domain and right of refusal. She stated there is not a level playing field and she needs legal counsel to make a decision. Mr. Keineth stated amendments could be made without terminating the agreement. 2 CITY COUNCIL WORK SESSION JUNE 5, 2002 Councilmember Carlson stated the only thing the City got from the agreement is the franchise fee. Mayor Bergeson stated that if the agreement is renegotiated the City will confer with the City Attorney. He added he believes the agreement can be amended. He clarified that the $5,234 figure from the information are the taxes Centennial would pay if the company was taxable. He asked for an estimate of what the fee would be if 7% were taken from a normal usage year. Mr. Keineth stated the fee would amount to approximately $40,000 in a normal year. Mr. Urchell stated Centennial Utilities would like to find a different mechanism for calculating the fee. Mr. Keineth stated Centennial Utilities would like to hear ® ouncil's decision within 30-45 days. Mayor Bergeson stated the Council needs to determine i left as is, or leave it with a cap. He stated that once that should appoint a spokesperson to negotiate. a should be changed, ined both entities Councilmember Reinert stated the discussion n + s to i lude all utility companies that are involved. The City did try to impose a fr. g - ' ee on Reliant but there was a big public outcry. He stated he also wanted to - issue with each company so there is a level playing field. He asked if the disc, = k .on would still be held if Reliant had a franchise fee. Mr. Keineth stated the proposed The discussion would still be h not opposed to a franchise fee bu as more stable and not based on the price. ant did have a franchise fee. Centennial is - ant the fee more equitable. Mayor Bergeson asked if o any ould be open to a volume based fee or other methods of calculation. Mr. Keineth stated meter fees and volumetric fees would be acceptable if all companies had the same mechanism. Councilmember Dahl stated the City is in the process of changing its ordinances so this is the correct time to amend the agreement. She added the contract does need to be updated. RASKE BUILDING SYSTEMS, MINOR SUBDIVISION, SITE AND BUILDING PLAN APPROVAL, JEFF SMYSER City Planner Smyser advised Raske Building Systems Inc. has requested site and building plan approval to allow the construction of a 25,568 square foot office/warehouse facility on the property located south of Apollo Road and east of Jon Avenue. CITY COUNCIL WORK SESSION JUNE 5, 2002 Hillyard Inc., a manufacturer of cleaning supplies, will occupy the building. In conjunction with the request for site and building plan approval, the applicants have also requested approval of a minor subdivision to allow the subdivision of a 6.6 acre parcel of land (presently described as Parcel #, Apollo Business Park) into a 4.5 and 2.1 acre parcels. The proposed office/warehouse building would occupy the 2.1 acre parcel. This application was originally submitted in the fall of last year but was withdrawn prior to consideration by the Planning and Zoning Board. City Planner Smyser added the issue this evening is what to do with the landscaping and Council direction is needed. Native Planting Requirements — Michael Grochala and Mia L ennett — Community Development Director Grochala stated the maintenance of na ,;ve " m erials includes burning and the question is if that is appropriate in comm" a= strial and close to hazardous materials. Many business owners have indic with . are not happy with the native materials and are just cutting it like a regular Fire Chief Bennett stated the real problem with regularly. Most people usually want to burn i Running fires are more dangerous than bac four permits issued this year for running is very costly. He stated he believes park. ss is that it has to be burned he DNR has restrictions on burning. ing of sticks and brush. There were ee of those had calls on them, which aterials are a bad idea in an industrial Community Development Dire h:`- ated native materials will still be used in swale areas or ponding areas. Councilmember Reinert s = i wants to pay more attention to the environment. However, there is a questio sof the benefit with fire hazards and maintenance issues. Community Development Director Grochala stated with maintained grass fertilizer is not used and that is better for the environment. Councilmember Reinert stated the City should do what makes the most sense in relation to this issue. Mayor Bergeson stated he is concerned that the City may have a process that a suggestion almost ends up being a requirement. The City does not have the legal standing to do that. If the City is going to require native materials the City should incorporate that into an ordinance. 4 CITY COUNCIL WORK SESSION JUNE 5, 2002 City Planner Smyser stated there was no discussion relating to this issue at the Planning and Zoning Board meeting. Some of the Environmental Board's recommendations were attached to the approval. Councilmember Carlson asked if native grass would better filter the hazardous materials. Fire Chief Bennett stated the native materials would make not difference in relation to hazardous spills. Mayor Bergeson stated the particular area may not be an appropriate place for prairie grass. The City may need to develop an ordinance relating to the right locations and areas of prairie grass. Councilmember O'Donnell stated the DRFT should addres,is issue and bring a recommendation forward to Council. He stated he agrees than ay not make sense to put something that requires burning by a building with hazar+ . usterials. This item will appear on the regular Council agenda Mo ay, e 10, 2002, 6:30 p.m. LIQUOR PENALTIES MATRIX DAVE PECI Police Chief Pecchia distributed and reviewer n Nation regarding the results of Liquor License Compliance Checks 1999-2002. n d eetings have been held with the license holders. They are in agreement w ' the matrix but are still working on the penalty grid. There will be two more Police Chief Pecchia advised the of the license holders passed. Department has learned that d investigation fee has no penalty fee back in error. checks were conducted last Saturday and all tings with the license holders the 2 the City has had four City Clerks and the The 49 Club did receive $1,000 of their civil establishments have new owners since the most recent violations after the 1 hearing except for Lakes Liquor. Staff will be recommending the same pen y for Lakes Liquor as it did in August 2000 for other violations. The penalty will include a $1,500 civil penalty and a two day suspension of their license. They will receive $1,000 of that fee back if there are no more violations. Chief Pecchia noted the off -sale license violations will be addressed separately from the on- sale license at Shirley Kay's. A hearing will be held for one establishment Monday, June 10, prior to the regular Council meeting. Council directed staff to reschedule the hearing for 6:00 p.m., prior to the regular Council meeting. Chief Pecchia noted the Department did receive a grant to purchase a bullet proof vest. 5 CITY COUNCIL WORK SESSION JUNE 5, 2002 DISCUSS POSSIBLE CARL STREET EXTENSION, BEHM'S CENTURY FARM 6TH AND 7TH ADDITION, JEFF SMYSER City Planner Smyser advised the issue is the potential development and how to provide adequate access. The question is if the existing Carl Street should be connected to provide the access. There is concern among residents regarding the additional traffic on Carl Street. The City received a memo from TKDA recommending the westward extension of Carl Street along a southwesterly alignment to the south end of Hidden Acres (Option 2). The City does have some flexibility with the road width and the width does not have to be 44 feet. Mayor Bergeson asked if Option 2 includes the improveme Smyser stated staff has not yet discussed the details of the ro f Carl Street. City Planner Mr. Gary Uhde, Behm's Century Farm, referred to a ma Option 2 and a large drawing of Option 4. Mr. John Johnson, Engineer for Behm's, stated wetland issues and right of way issues. If Opti accesses for 160-170 new homes. He asked t alignment is and if a temporary solution is City Planner Smyser stated a tempor will just cause more problems. He yet been discussed. ut a larger drawing of would prefer Option 4 due to ems - loped, there would be four cil to determine what the preferred is deferring the decision to the future and in that the details of the roadway have not Councilmember Carlson asked he , apart Lilac and the exiting Carl Street are and what the Comprehensiv ,.• is garding collector streets. City Planner Smyser advised there is one-half 9 • e , een ilac and the existing Carl Street. The Comprehensive Plan calls a collector street every five miles. He noted he does not know if Carl Street was desi ated as a collector street in the 1998 Comprehensive Plan. Councilmember Carlson stated that if it is in the Comprehensive Plan, a Comprehensive Plan amendment may be necessary. She asked if the roadway will be connected from Sunset to the end of the development if the City determines Option 4 is the best option. Mr. Johnson referred to the map and pointed out how far the roadway will go to noting Mr. Uhde owns the land down to the ditch. Mr. Uhde stated that if a minor collector is constructed as in Option 4, the developer has to pay for it. The streets will be built before the homes and everyone has to sign a disclosure that would include information about the future extension of the roadway. CITY COUNCIL WORK SESSION JUNE 5, 2002 Mr. Dave Hunter, Representative for the Air Park Board, stated the Board has an issue with Option 2. Neighbors will be complaining about the Air Park noise and a buffer is needed. There is also the ration of the runway in relation to Safety Zone A that needs to be considered when the houses are built. Some lots may be pushed into the safety zone. He stated the Board has worked with Mr. Uhde to come up with other options for a larger buffer. He noted that as a citizen he would prefer the collector street be developed more to the north due to the traffic distribution. Council directed staff to look into the issues relating to Safety Zone A. City Planner Smyser stated there is no difference between Option 2 and Option 4 in relation to the homes being too close to runways. The Air Park will however, prefer that the lots are sold to Air Park people. The rules of the Air Park are in private covenants. The City does have zoning designations that could refer to it Park. City Planner Smyser added that the staff concern with Optio 4 is = temporary connection, traffic issues and adequate accesses. Mr. Jeff Kolstead, homeowner in the area, stated he it oed about the road going along his house at the end of the cul-de-sac. He s + makes sense to move Carl Street further north. He stated he build his house in 1 ' + an+ p `. ced where the City indicated it had to be placed. If the road went through it ,foul+ o approximately 15 feet from his house. It will decrease his property value . + e wetland and drainage issues. Councilmember Reinert stated it mak e` `move the street north if it is possible. It could happen if the developer gets c erat +n from the property owner to the northeast. Mr. Uhde suggested he deed th t=+ ay so the permanent connection could be made at any time. Councilmember Carlson ung +'nly part of the road just pushes the problem into the future. Mr. Uhde stated he will construct the roadway anywhere the City wants him to. Direction from the Council is needed. Community Development Director Grochala stated the City has things in place to easier pursue Option. Option 2 allows the City to make the connections. He suggested a combination of Option 2 and Options 2 constructing the roadway north of the water channel with Carl Street going through. Council directed staff to further investigate the possibility of a variation of Option 2 and Option 4. CITY COUNCIL WORK SESSION JUNE 5, 2002 Councilmember Carlson stated she is concerned about changing the Comprehensive Plan without the property owner's knowledge. She stated the property owners need to be informed about this possibility. Mayor Bergeson advised this issue will be discussed further at the June 19, 2002, Council work session. Mayor Bergeson called for a short recess at 8:45 p.m. Mayor Bergeson reconvened the meeting at 8:57 p.m. COMPREHENSIVE PLAN UPDATE, MICHAEL GROCHALA Community Development Director Grochala advised City s from the Metropolitan Council regarding the proposed Compre completed their formal review and there are three issues: the density and medium density housing. Community Development Director Grochala stated s Metropolitan Council and will bring back options issues. has met with the staff sive Plan. They have listed in the Plan, ewing the issues of the ouncil on how to address those This issue will be further discussed at a fu 1 work session. Community Development Director Gr Addition has been approved but is w additional MUSA until the propo indicated the City could proces acres of MUSA. The City has ed that the Clearwater Creek 5th MUSA. The City will not be getting any approved. The Metropolitan Council has t to the current Plan to obtain 40 additional uilt 90 new homes this year. The Council directed staf • on , y to the developer there is no MUSA available at this time. ORDINANCE TASK FORCE UPDATE, MICHAEL GROCHALA Community Development Director Grochala advised he was not present at the last two meetings of the Ordinance Task Force. An update regarding where the Task Force is and the current schedule will be included in the Friday updates. 62ND STREET TRAIL CONSTRUCTION, MICHAEL GROCHALA Councilmember Carlson stated she viewed the trail that was constructed along 62nd Street and it is not the type of trail she had anticipated. The trail is too close to the road and only 3 feet wide in certain areas. She stated this is dangerous and the situation needs to be addressed. 8 CITY COUNCIL WORK SESSION JUNE 5, 2002 Community Development Director Grochala stated 900 feet of the trail does narrow and attaches to the roadway because of the available right-of-way. No details were laid out for the developer to construct the trail but he did build the trail to City standards. He indicated he would speak to the developer and the trail should be widened. The road is scheduled for reconstruction this fall and the trail will be removed. Mayor Bergeson suggested staff being discussions with Melvin Rehbein in relation to the property that is needed to reconstruct the road. Curb may be necessary on this roadway to separate the road and the trail. Community Development Director Grochala stated he will follow up on this issue and provide any additional information if it is available in the Friday updates. TWILIGHT ACRES UPDATE MICHAEL GROCHAL Mayor Bergeson advised he placed this issue on the age complaints due to the dollars that are being spent on sep update regarding Twilight Acres and the road recons Community Development Director Grochala st wells in front yards. Residents need to get we done that. All the well variances need to beiri City Engineer Studenski stated the Ci grant money is dependent upon the Mayor Bergeson suggested sen he has received ms. He asked for an ue is dealing with the exiting ces but some of them have not yet efore the project can move forward. oking at variations of the project the ject. update letter indicating the problem. BUILDING PERMIT: � R 'IDENCE ON RONDEAU LAKE ROAD, MAYOR BERGESON Mayor Bergeson stated there an individual who was in a car accident and is now a paraplegic. The Lion's Club is helping the family to add an addition to the home so it is more wheel chair accessible. The Lion's Club has requested the City to waive the permit fee or only charge $1.00. Community Development Director Grochala stated that if the fee is waived the City still has to pay a state surcharge. He indicated he will also confer with the City Attorney regarding the legality and procedure. City Administrator Tesch noted the waived fee will require Council action and should be placed on the consent agenda. Council directed staff to move forward with a building permit waiver. CITY COUNCIL WORK SESSION JUNE 5, 2002 REGULAR AGENDA, JUNE 10, 2002 There were no changes to the regular Council agenda. Community Development Director Grochala advised there is a neighborhood meeting regarding the Elm Street reconstruction in June. It is hopeful that the project will begin in the fall. Community Development Director Grochala stated staff is meeting with the resident who attended the last Council meeting regarding drainage issues on his property. Community Development Director Grochala gave a brief update regarding Trapper's Crossing. The meeting was adjourned at 10:00 p.m. These minutes were considered, corrected and approved they egular Council meeting held on June 24, 2002 Ann Blair, ty Clerk Transcribed by: Kim Points TimeSaver Off Site Secr 10