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HomeMy WebLinkAbout03-17-87 CCMCa�Fek_ LAKE ELMO CITY COUNCIL MINUTES MARCH 17, 1987 Mayor Christ called the City Council meeting to order at 7:00 p.m. in the .Lake Elmo Elementary School.. Present: Christ, Armstrong, Graves, Moe, Johnson, City Engineer Bohrer, City Planner Rob Chelseth, City Attorney Knaak and City Administrator Overby. 1. Agenda M/S/P Graves/Armstrong - to approve the agenda for the March 17, 1987 City Council meeting as presented. (Motion carried 5-0). 2. Minutes: March 3, 1987 M/S/P Johnson/Graves - to approve the minutes as amended (See 6B. Lake Elmo Legion Pond). (Motion carried 5-0). 3. Claims March 3, 1987 City Council IIeights 2nd Addition and 7B. M/S/P Graves/Armstrong - to approve the March 17, 1987 City Council claims #88531 thru #88584 (Claim #88584 was added for $194.89---expenses related to landfill project). City Administrator Overby reported that $379 has been spent by the citizen's committee to address the landfill. Citizens Committee Co-ordinator Dan Novak did not realize the expenditures were that high and asked if the spending limit could be increased to a total of $500. M/S/P Graves/Johnson - to approve increasing the spending limit from $250 to $500 for the citizens committee to addresss the landfill. (Motion carried 5-0). 4. PLANNING.LAND USE AND ZONING A. Planned Unit Development General Concept Plan: Interstate Freeway Service Centeer, Co. 15 & I-94; Erickson Diversified Corporation Representatives from the Erickson Diversified Corporation made their presentation to the City Council on March 3, 1987. The City Council decided to table the agenda item to the following Council meeting in order to allow time for the public to speak for or against the project concept plan. M/S/P Johnson/Graves - to remove from the table the Planned Unit Development General Concept Plan: Interstate Freeway Service Center, Co. 15 & I-94; Erickson Diversified Corporation. (Motion carried 5-0). Mr. Gregory Erickson, General Counsel for Erickson Diversified gave a brief summary of their proposal. Mayor Christ consented to LAKE ELMO CITY COUNCIL MINUTES MARCH 17, 1987 PAGE 2 Development Attorney Larry Berg's request for time to address any questions that may be expressed. The following comments were taken from the public: Hans Stockstead, real estate broker in Stillwater, expressed the adjacent landowners' view because they would be the most directly affected by this. They believe the proposal is an excellent plan, a completely self-contained area that would be a good service to everybody and would not affect other areas of the City. On behalf of the adjacent landowners, Stockstead added, they have no objections and would recommend that the City Council work with Erickson Diversiified to support them in their endeavor to proceed with their plan. Jess Mottaz, 8770 DeMontreville Tr., felt the presented concept plan fits the Land Use Management Plan of the 1979 Comprehensive Plan very well. This plan calls for highway commercial development along this strip. The proposed 1986 Comprehensive Plan has yet to be acted upon by the Metropolitan Council. This is scheduled for their April 23, 1987 meeting. If it is approved, this will be the comprehensive plan in force in Lake Elmo. Until that time, the 1979 Comprehensive Plan is in effect. If the City approves this concept, they would be telling other developers that the City of Lake Elmo wants long-lasting, high quality, development and not a long strip of pole barns, retail storage or another drive-in theater. He also thought that if the City approves this plan, it is possible that the Erickson Co. might be receptive to suggestions and ideas put forth by the City of Lake Elmo that might go beyond the code requirements. Mottaz urges the Council to approve the concept plan. Gene Peltier introduced himself as one of the surviving 8 or 9 farmers that there is left in Lake Elmo. People who travel I-94 desperately need a service station facility and the Peltiers have been filling this void for many years. He has lost count of the number of people that come to his farm for gas, jacks or to use his phone. He especially gets upset when they pound on his door in the middle of the night. We have more cropland than we can utilize which he can attest to because he has corn on his farm since 1984, 1985 and 1986. Lake Elmo is going contrary to the Federal Government by favoring agricultural production and we cetainly don't need it. Lake Elmo has reached a point where we no longer can afford so-called "rural atmosphere". As the tax rates have been increasing the last three years, it is about time we do an about face and plan for new tax revenue for the future. Parks don't pay taxes and we have enough of them. Peltier can no longer can afford this "rural atmosphere". Lake Elmo needs a financial opportunity offered by Erickson Diversified and he heartily endorses this new project. Bruce Dunn, 11018 Upper 33rd St., commented on Erickson's projected revenue. While these figures cannot be disputed, the money is going to come in. It is the same sales pitch that is used in most every other City when there is a proposed developement to be considered. In the cities that have promoted developments, the assessed evaluations have gone up, and the mill rates have gone up correspondingly. Examples given: LAKE ELMO CITY COUNCIL MINUTES MARCH 17, 1987 Woodbury Oakdale Stillwater Maplewood Lake Elmo Minneapolis St Paul Assessed Evaluations $117 million $ 68 million $ 76 million $268 million $ 35 million $ 3 billion $1.8 billion PAGE 3 Mill Rate 18.4 27.5 28 17.7 12.5 34.7 32.9 So when we consider these projects, Dunn felt we should consider them not in respect to revenue that will be generated, but whether they fit in the Comprehensive Plan of the City. Dave Morgan, 11150 20th St Ct, urged the Council to not approve this concept plan for the following reasons: It is not within our metropolitan urban service area, it is not in agreement with our comprehensive plan, it is not in agreement with our land use plan and this area was not scheduled to be developed until the next decade. If this project is approved you really lose control over the rest of the strip. He could not think of anything that would have a greater impact in this area than a truck stop. A few months ago, the City Council was under vehement criticism of the 201 Program to restore onsite systems (1-3 bedroom homes) which were properly engineered. Now today it is acceptable to put an onsite system for 125 bed motel, 200+ seat restaurant, fast food place and service station. So the people that support this were either wrong before or are wrong now. The highest cost to run municipal government in this state is Minneapolis and St. Paul. They have the tax base, but the need for services outspend the revenue that development has brought in. There is no development that doesn't eventually need service of some kind. Morgan added, that he has been on the other side of the table for ten years. In those ten years, only two significant developments had been proposed. One for a railroad unloading facility and another one for a car dealership. The one thing they had in common was they were out in the country, had cornfields and asked for rezoning because the land is much cheaper there than in the section that is sewered. In those ten years, not one bonifide request came for development in Section 32. This same proposal was rejected by the City of Woodbury twice. It never got past the Planning Commission in Afton. It was never officially brought up in West Lakeland, but unofficially, a feeler was put out and was not met with any encouragement. The reasons stated by the Woodbury City Council were the very same reasons Morgan stated. Based on the precedent by the City of Woodbury and Afton, Morgan urged the council to deny this proposal not only for the people of Lake Elmo, but for the neighbors in every corner that discouraged this proposal. Wyn John, 8883 Jane Road N., had a concern on the environmental impact of having a truck stop in this area which leaves the place liable to spills of various liquids they may be carrying which collect in ponding areas that are on the site. His question to Erickson is "how are you going to deal with the environment problem that will eventually occur to prevent spillages going down and ending up in the LAKE ELMO CITY COUNCIL MINUTES MARCH 17, 1987 PAGE 4 St Croix River?" Mary Leslie, 11546 20th Street, voiced concerns on the location of the project. If it was located in the sewered area of Section 32, she would not have most of her concerns. This proposed location is where the off -ramp is for Lake Elmo and during rush hours there is alot of traffic that comes off this ramp. Other concerns are prostitution at truck stops, unsafe trucks, truck drivers are often under the influence of alcohol or drugs and will be sharing this off -ramp with US. Mr. Erickson stated he will run a clean operation, but gives no guarantee of how long he will be owning this development. Other concerns were the septic system, truck noise, and the potential impact on the students at Oakland Jr. High. Steve DeLapp, Chairman of the Planning Commission, handed out information to the City Council from the Metropolitan Council and a letter from Barbara Senness, Senior Policy Planner of the Metropolitan Council. Under the General Rural Use Area, which Lake Elmo is in, this policy statement states the Metropolitan Council supports long-term preservation of agricultural land in the general rural use area. However, the Council will also support residential development at densities of no more than one unit per 10 acres computed on a 40-acre basis (a maximum of four units per 40 acres). The Council will not extend metropolitan systems to serve urban -density residential development in the general rural use area. Where urban -density development already exists, a local government should address service issues in its plan, particularly on -site sewer system operation and maintenance. In a letter written to Mayor Christ, Barbara. Senness stated that "non-residential development in the rural service area is appropriate only in rural centers. (The old village in Lake Elmo is an example of a rural center under the Council's definition). Consequently, the Council would give a negative review to an amendment to allow a non-residential development in Lake Elmo's rural service area if it were outside the old village. The letter further states the need for a permit by the Minnesota Pollution Control Agency (MPCA) for a State Disposal System (SDS) permit for any rural non-residential development in the state that would generate more than 15,000 gallons of wastewater per day. DeLapp quoted "under an agreement with the MPCA, if the Metropolitan Council indicates that the project is inconsistent with Council policy, the MPCA will not approve the permit". Senness stated that Lake Elmo should be aware that in its sewer policy plan, the Council strongly states that the in situ local unit of government bears the burden of insuring that local sewer facilities do not cause a health or safety problem. The Council does not intend to provide metropolitan sewer service in the rural service area and any necessary remedial measures would be the city's responsibility. Ed Stevens, was impressed by the reports and maps submitted by Erickson Diversified Corporation, but has misgivings about the proposal because it conflicts with the Comprehensive Plan. For this reason, he joined with the unanimous vote of the Planning Commission to reject this proposal. Another question was the adequacy of the sewer system, so Mr. Stevens contacted Prof. Roger Machmeier at the LAKE ELMO CITY COUNCIL MINUTES MARCH 17, 1987 PAGE 5 Univ. of MN who submitted a 6-page report listing his objections to the proposal. Lake Elmo has had experience with poor planning. In the old village the houses were clustered too closely and now their septic systems are malfunctioning and a costly new system must be installed. Building permits are granted to build in flood plains and costly and disruptive remedies are necessary to continue. A garbage dump in a former gravel pit was to become a park or a golf course, but resulted in contamination of groundwater and loss of residential values. With this history, we should be skeptical of any large new development that promises only benefits and no drawbacks and urged the City Council to refuse the PUD application. Mr. Stevens added that he has been a resident for approximately 26 years and does not like high taxes any more than anyone else does, but the more industrialized the towns are, the higher the mill rate. The people who are here applauding this truck stop have been sold a bill of goods and in a few years the taxes will be higher than if they had voted against it. Dale Barns voiced social concerns such as the drug and prostitution problem associated with a truckstop which would only be one-third of a mile away from the school and questionned the cargo being carried. He stated that in Tennessee, 20% of the truckers were found to have drug substances. Tim Mandel, 2479 Lisbon Avenue objected to the application because of the location to Oakland Jr. High School. He felt anyone there would rather have paid higher taxes and prevent something tragic that might happen at the high school. Todd Williams stated there are three factions in Lake Elmo; First: represented by the developer who wants to develop land to the greatest density because he wants the highest return on his investment; Second: represented by the local business owner who wants dense development because he wants more customers; Third: represented by the averge homeowner who wants a nice place to live and is interested in having low taxes and a good value for his home if he should want to sell it. A knowledgable homeowner know that dense development always leads to demand for services which outstrips the taxpayers. Williams presented a graph of taxes and home values for 95 metropolitan communities that the Citizens League had published. The Lake Elmo Comprehensive Plan calls for intense land use to go into that area for which sewer is already acceptable and does not prevent uses of people's land. It merely allows uses which are in the best interest of the majority, namely the homeowner. There are many ways to develop the land outside of the MUSA line which meet the desires of both the business owner and the homeowners. A truckstop is not one of these uses. Even if by some miracle this development doesn't call for an increase in city services, it will degrade the environment and will lead to other developments which will lead to an untimely expansion of services and expansion of the tax bill. Williams urged the Council to reject this proposed development at this location. LAKE ELMO CITY COUNCIL MINUTES MARCH 17, 1987 PAGE 6 Planning Commission Secretary Ann Bucheck urged the Council to look at the Planning Commission's reason for denying the request by Erickson Diversified. The reason being the proposal was not consistent with the Lake Elmo Comprehensive Plan. Planning Commission member Tom Simpson expressed a concern about possible organic pollutants that would get into the groundwater table in an area that does not have a benefit of city sewer service. This might be another change of sewer having to be put out there before our planning allows for it. Planning Commission Vice Chairman Marge Williams opposed this proposal because it was not consistent with the Comprehensive Plan. Williams also cited police department reports indicating that prostitution activity routinely shifts between St. Paul and Hudson. The City of Lake Elmo, which has a population of 6,000, had zero complaints for prostitution in 1986 and 1987. The proposed truckstop is near the school and diagonally across from Cimarron. She could not believe that any large development can promise no such activity no matter how good the management policy is. According to the Washington County Sheriff's Department any increase in development, no matter what type, increases police calls. Williams added that any community that increases its criminal statistics does not present itself as a good place to live. Mayor Christ acknowledged a letter written to the City Council by Susan Wiesbrod, 11356 30th St. N., stating she is strongly opposed to the proposed Erickson Interstate Service Center because of the bad reputation that follows truck drivers and truck stops that have been created by the truck driving community, building an adjacent motel would invite prostitution, and being located close to a public school where innocent children could be influenced or even solicited. Public input was taken until 7:55 p.m. Attorney Larry Berg felt the more factual information that can be given about the project, the more palatable this would be to the community. What is before the Council now is the decision on the conceptual notion of whether there should be a development. If conditional approval is given, they will go to the Planning Commission where they will have an opportunity to prove that they will keep their promises. Berg added that this is not a very dense development. It is a 64 acre site and the development will be done in three phases. The first phase is what they are asking consent for and they cannot do Phase II or Phase III without coming back to the City and go through the entire process. They could prove to the Planning Commission then they have adequate soils for what they want to do and concerns on pollution have been addressed. Traffic studies show that at peak traffic periods less than 30 cars or trucks are going to be heading north on Manning Avenue in a given hour. Under a Planned Unit Development there are agreements, contracts and financial guarantees where the City is a partner of the development. LAKE ELMO CITY COUNCIL MINUTES MARCH 17, 1987 PAGE 7 They are aware of the social concerns, have dealt with them, and will be covered to the City's satisfaction. Because there is no extension of municipal services, there is not going to be an increase in the mill rate caused by this development. Their discussions with the Metropolitan Council indcated they have some problems with their own land use planning in that they recognize along a major metropolitan facility that certain types of development are appropriate, that a Feeway Service Center can only be on a freeway at a major interchange. The Metropolitan Council's response was favorable as long as Erickson can satisfy the applicable requirements for on -site systems, but to not expect municipal services to be extended. This is the most appropriate site which will have the least possible impact on this community. Larry Berg explained that this plan is not remotely similar to any project that was brought to the City of Woodbury. They did not pursue it in Afton because they did not have a Planned Unit Development Ordinance. The soils in West Lakeland were not as good as the soils on the site in Lake Elmo. City Administrator Overby summarized the staff review of February 2nd regarding the consistency of the project with the 1986 Comprehensive Plan. The conclusion from the staff review which was adopted by the Planning Commission stated: An exhaustive review of the 1986 Lake Elmo Comprehensive Plan finds no support from either a policy or land. use aspect for the proposed Erickson Planned Unit Development. The location for the PUD is not in a place where the Lake Elmo community would want this kind of development. The concept plan for the Erickson PUD should be recommended for denial by the City Council as being totally inconsistent with the 1986 Comprehensive Plan. A staff review based on the 1979 Comprehensive Plan indicated that the Erickson PUD is an urban scale development that is freeway oriented and a highway commercial use that is also clearly not consistent with the 1979 Plan goals and policies. For this reason, and other findings of fact, the Erickson PUD concept plan should be denied by the City Council. City Administrator Overby presented a Findings of Fact on the Erickson PUD from his Staff Review of March 16, 1987. City Administrator Overby had asked City Assessor Frank Langer to analyze the Erickson project in regard to Lake Elmo's tax base and the metropolitan Fiscal Disparities Pool. The three basic conclusions are: 1. Phase I of the Erickson project would allow the City to levy $558,800 for its annual budget, based on a mill rate of 14.299 mills. For comparison sake, the City levied $543,054 for its 1987 budget, with a 14.299 mill rate. 2. If all 3 phases of the Erickson PUD were constructed as proposed, the development would allow the City to levy $625,200 at the 14.299 mill rate. LAKE ELMO CITY COUNCIL MINUTES MARCH 17, 1987 PAGE 8 3. Phase I would contribute $65,366.88 in additional tax revenue. Phases I -II -III would contribute $201,022.34 in additional tax revenue. A review was done in reference to the September 1986 Metropolitan Development & Investment Framework guide. Overby summarized that the Erickson project is located in the "Rural Service Area" of Lake Elmo. The entire "focus of the Council's strategy on directing growth in the region is to encourage development to occur within the urban service area" which is Section 32 & 33 in Lake Elmo (west of Cty. Rd. 13 and south of 10th Street). The goals of the MDIF are to "retain and enhance the region's quality of life and promote its orderly and economic development" Three goals specifically related to the Erickson project are: 1. Locate all urban development and urban scale development within a metropolitan urban service area. 2. Preserve agricultural and rural land use in a rural service area. 3. Concentrate major commercial and industrial development. FINDING: The proposed Erickson PUD Phase I concept plan is not consistent with Metropolitan Council goals and policies, as contained in its September 1986 Metropolitan Development and Investment Framework. John Bannigan, attorney for the landowners, commented that there would be a highway patrol station three miles away so the trucks would be safety inspected so this should not be a concern. Using Ray's Truck Stop as an admirable example, this community should not be fearful of bringing any type of lowlife or threats to the school and homes because of this type of use. He is proud to support this proposal and recommended consideration of the concept plan. Councilwoman Armstrong stated that the main consideration is how this project would fit with our comprehensive plans and the guidance received from the Metropolitan Council. The 1979 Plan has requested that development in this area along I-94 not be slated until after 1990 and the plan did not want development to be very far from the MUSA Line which is the Southwestern corner of Lake Elmo. As far as the 1986 Comprehensive Plan, the recommendation is for development to occur in the southwestern corner where there is sewer availability. This proposal which is in the far end of the City were to fail and require a sewer hookup, the sewer would have to run along the entire length of I-94. There are concerns about the public health, safety, and welfare of the community. The school is very close to the proposed development and there are school buses travelling south over I-94 which could be a serious problem. The Metropolitan Council has cautioned the City that this type of proposal is not what they had in mind for development in the eastern end of the Metro area because Lake LAKE ELMO CITY COUNCIL MINUTES MARCH 17, 1987 PAGE 9 Elmo does not have the services for development this far out. There have been five weeks to look at this proposal, the Planning Commission turned down this proposal by a vote of 9-0, an hour presentation was given at the last City Council meeting, and the City Council members' phone numbers were advertised by Erickson in the newspaper to invite the public for their input. With all this input, adequate information has been given to vote on this proposal. Councilman Graves commented on the concern of the Comprehensive Plan. The Comprehensive Plan is put together to reflect the needs, desires, and the direction the community is going to take over the next 10-20 years. This is done in a thoughtful manner and is not cast in stone, so it can be modified as the City Council and community feels is necessary to respond to different pressureslto address the needs of the community. Graves felt the Comprehensive Plan should be paid attention to, but not to use as a single point for rejection of the proposal. Valid concerns have been brought up by the community. He had talked to the Washington County Sheriff's office, Principal and Vice -Principal of the School and the MPCA about these issues and none of them expressed any negative comments relative to the development. Sheriff Green felt they could address any potential problem that could arise and would reject the contention that another police officer would have to be added to the Lake Elmo area solely in response to this development. It would be appropriate to add another patrol officer to the community based on the increase in the population that has occurred. The problem of drugs at the Oakland school is diminishing, and they don't feel the truckstop would represent a serious concern relative to the sourcing of drugs. Graves added this is a concept plan and if accepted the Council would be willing to have Erickson go into more detail to meet the number of concerns. The preliminary proposal can be rejected if they do not put the proper safeguards in that are needed. If the development proceeds, there is a developer's agreement that would be entered into between the developer and the community with a number of performance criteria established. Graves stated, "The basic question that I'm trying to resolve in my own mind is do we want development along I-94 and is this the type of development that would fit into this area?" The considerable response that he has received has been very strongly in support of the project. Graves would like to see the process move along further to look at details of the plan, which the Council did not have the opportunity to look at in this stage. Councilman Moe referred to Page 1 of the 1979 Comprehensive Plan which states "It is the intention of Lake Elmo that this plan be used as a policy guide for making decisions. The plan is intended to be flexible so that it can respond to unique situations as they arise". Moe felt this is such a unique situation. He had talked to Sheriff Ralph Bader regarding the Hudson Truck Stop and found out that Frank LePlant runs a good operation and they are the one that brought the problems up to the Sheriff's Office. Sheriff Bader informed Moe about the new rest area that is being built and the probability of prostitution there. Moe talked to the Asst. Principal who felt the truckstop would not add to the truancy in the school and felt the drug problem was not as bad as it was ten years ago. The Asst. Principal LAKE ELMO CITY COUNCIL MINUTES MARCH 17, 1987 PAGE 10 ( also stated they could use the added revenue. Moe also talked to Sheriff Green regarding Ray's Truck Stop and found that shoplifting was the major problem with prostitution their least concern. Green also told Moe about increasing the police protection because of the increase of population. The Tri-Lakes Association discussed this situation and would like to have an added patrolman to be able to cover their area. Moe would like to see more detail on this project before a decision can be made. Councilman Richard Johnson explained there were very good economic, environmental and social reasons for concentrating the high density development within the metropolitan urban services area. There has been much thought that went into the 1979 comprehensive plan which he was a part of. Johnson felt the 1979 and 1986 Comprehensive Plans are good plans and provide for a good economic, environmental and social future for the City. He would be opposed to going any further with review of this project. Mayor Arlyn Christ reviewed and researched the proposal and ha.s talked to the same people the other Council members have talked to. The 10-page staff review that was submitted by City Administrator Overby showed reasons why this proposal will not fit in that area of the City. The letter written by Barbara Senness stated that the Metropolitan Council would not approve this project even if the City were to approve it. Christ felt the Comprehensive Plan is the City's laws, and we don't change them for a developer to come in and tell everybody how great it's going to be. The plan is in place and it is his intent to abide by the city's current regulations. Christ stressed he was steadfastly opposed to this project because it is outside of the MUSA Line, it is where residential development belongs, not large scale high density urban development. M/S/P Armstrong/Johnson - to adopt Resolution 87-26 denying the request for General Concept Plan approval of the Erickson Diversified Interstate Freeway Service Center PUD based on the staff review of February 2, 1987; the unanimous vote by the Planning Commission on February 9, 1987 to recommend that the City Council deny the concept plan as inconsistent with the 1986 Comprehensive Plan; the staff review of March 16, 1987 Findings of Fact showing that this proposal is inconsistent with the 1979 Comprehensive Plan; an agenda item cover sheet which states that the concept plan would be inconsistent with the Metro Council's 1986 Metropolitan development and Investment Framework; and the letter written to Arlyn Christ from Barbara Senness of the Metropolitan Council addressing that agency's concerns with the project. (Motion carried 3-2<Graves, Moe>). B. PUBLIC HEARING: Shoreland Permit with variances for lot size and road frontage; Lots 292-299, Lane's DeMontreville Country Club Addition; James Krey and Barbara Walsh Pursuant to published notice, Mayor Christ opened up the public hearing at 9:00 p.m. in the City Council chambers. James Krey proposes to build a two bedroom home on Lots 2.92 thru 299 Lane's DeMontreville Country Club Addition, and adjacent vacated rights -of -way. City Engineer Bohrer referred to his correspondence dated March 12, 1987 in which he stated the lot size was 0.475 acres where Shoreland Regulations require 1 1/2 acres. The average lot size in the subdivision is 0.58 acres. Also the road frontage on Hill Trail is 60 feet where 125 feet is required by the zoning code. All other setbacks can be met. A letter was received from Allen Siegel, 7951 Hill Trail and Curtis C. Talcott, 8051 Hill Trail, stating this property was approximately the same size as the surrounding property with a home, and they would have no objection to his building a 1600 sq.ft. home on this site. A letter was received from Paul E. Hanson, 8024 Hill Trail N, stating if this lot is divided to allow another home to be built both lots will be below the required lot size. In order to be consistent with recent ruling, this variance should not be allowed. Bohrer responded that this is in error.. This is a parcel of record, it is not a lot split so the property was already divided sometime ago. A letter dated March 13, 1987 from John Fax of the Minnesota Department of Natural Resources stated the siting of the proposed system is critical because it appears some of the property is sloped. If the drainpipes are set too shallow to compensate for high water table problems, there is a potential for waste seeping to the surface as well as pipes freezing, too. They recommend the city carefully review this septic system design. The City Council specifically inquired about the septic system. City Engineer Bohrer stated that he dial find sufficient area for a drainfield suitable for a two bedroom home and an alternate site of equal area. The Council did express ;some concern that this two bedroom home could be converted ino a three bedroom home by converting the den or finishing off the bedroom in the basement. Bohrer also checked to see if a well could be constructed on this property because the well has to be at least 50 feet away from your own septic system or any other system. He suggested the well go west of the driveway. The hardship stated for the lot size variance was due to no additional land being available for purchase and also that no other use could be found for the land. The hardship stated for the road frontage variance is the unusual shape of the lot. Mayor Christ closed the public hearing at 9:12 p.m. Councilwoman Armstrong stated it was already a substandard lot and hated to compound problems by approving the variances. City Administrator Overby suggested that this lot could be added to adjacent lots to make them a ( standard size lot. Councilman Graves has a concern about the potential for compounding the problem out there, but in reality there is limited amount of land there. The lot size is consistent with the average lot size in the neighborhood. M/S/P Moe/Johnson - to grant the Shoreland Permit- with variances for lot size and road frontage contingent upon there being sufficient land available for a septic system sized for a three bedroom home and an alternate site of equal area. The staff can allow this permit application to go forward provided this condition can be met. (Motion carried 4-1<Armstrong: as long as there is vacant land next to this lot, an earnest effort should be made to buy more land>). 5. Citizen's Committee: Landfill Project Update Dan Novak updated the City Council on the legislation that has been introduced to the Senate and the House of Representatives. At this point they are awaiting hearing dates from the sub -committee chairman. Their lobbying efforts have started. Washington County has passed a resolution stating the site of the landfill is incompatible with their parks plan and the Metropolitan Council Parks plan; they do not want it in a park. They call upon the State Legislature to pass the bill which prohibits landfills being sited in a Regional Park. Novak added, that they have recruited Sam Morgan, known as "Mr. Parks", to testify on behalf of the legislation before the committees. They are in the process to line up Senator Durenberger to testify for them. They are also trying to recruit a Dr. Ginsberg from Chicago who heads up an organization that lobbyies throughout the country trying to educate governmental bodies on the negative ramifications of putting landfills in regional park land. The charge for airfare, motel, transportaion will be reported back to the Council. This Sunday's meeting will be a training seminar for the lobbyists that have been recruited. Also, they expect the Minnesota Geological Survey report this week. Todd Williams requested that the Council in the form of a letter make an official request to the Washington County Board that they tell their paid lobbyist to start lobbying for this bill. Councilman Johnson complimented Dan and Todd on doing a fantastic job on the visual aids for comparative purposes. M/S/P Armstrong/Graves - to direct the City Administrator to write a letter for the Mayor to sign requesting the Washington County Board asking their paid lobbyist to start lobbying for this bill. (Motion carried 5-0). 6. CITY ENGINEER'S REPORT A. MSA Street Project Update On March 3, 1987 the City Council directed the City Engineer to prepare an estimated cost if 47th Street, Kimbro Avenue, 50th Street or 43rd Street were paved in their present condition, location and alignment and compare that cost to constructing to MSA standards. He was also to investigate the possible use of MSA maintenance funds for this paving. City Engineer Bohrer referred to his correspondence dated March 12, 1987 in which he defends the adopted City Standard and their MSA Standard as being reasonable for a safe and long lasting road design. The City Council had previously asked for a comparative cost estimate to shape and pave the road in its present condition and location. The correspondence gave a comparative analysis of the estimated project cost and the potential assessments from these various projects. Bohrer made specific recommendations that whichever route is ultimately chosen that State Aid standards should be followed and State -Aid funds used to construct the road. Bohrer stated that this will result in a higher quality road, will provide a higher level of service and require less future maintenance. It will provide a safer road built to prevailing standards which will reduce the City's liability and risk. Using MSA funds will also result in the least cost to the property owner. It was further recommended that the City not consider paving the road as it exists today. This limited improvement will not provide any improvement in the safety concerns that now exist along the road. This option now has the highest cost to the property and will be more costly to mantain in the long run. This option also exposes the City to a greater financial burden of deferred green acre assesments. The northern route and the southern route each contain six Green Acre lots for which the assessments might be deferred. Under a City project this would amount to $26,340-$38,400 in deferred assessments for the northern route or $24,000-$32,500 in deferred assessments for the southern route. Under an MSA project the maximum deferred assessments for either route would be $6,000 in this example, Therefore, the City's financial exposure for deferred assessments is much less with an MSA project. Bohrer was asked to investigate moving the southern route curve farther to the south to avoid the existing house. This was not recommended because it would result in back to back reverse curves which can be confusing to drivers and will require additional right-of-way taking. It was confirmed with Elmer Morris, the MnDdT District State Aid Engineer, that maintenance funds could theoretically be used to pave an MSA gravel road. Bohrer explained that there is no definition of what constitutes "maintenance" and what constitutes "improvements". The State Aid Rules provide that a City may request up to 25% of its total annual allotment for maintenance purposes. Based on the City's 1987 total allotment of $149,305, $37,326 could be requested for maintenance. However, this request must be made by December 15 of the previous year; therefore maintenance funds could not be used for a project in 1987. If a 5% increase is assumed in construction costs from 1987 to 1988 and apply the maximum maintenance contribution, the estimated costs to pave the northern route in 1988 is $70,250 and the southern route is $87,900. Bohrer handed out a summary of a brief article written by a former special assistant attorney general for the Iowa Department of Transportation which reinforced the City Engineer's support for adopting reasonable standards ( and then consistently following those standards. The article expressed concern about increased liability for a road agency which either does not follow prevailing standards or chooses not to adopt standards. A letter was received from Gilbert and Viola Sullwold, 10190 47th St. N., requesting that 47th Street be blacktopped to the current width and the minimum allowable standards. The consensus of the City Council seemed to be that they preferred building the road to MSA standards and that they continued to prefer the southern route. Councilman Johnson stressed that the trees should be protected because they are an asset to the community. Sally Ziebell would be willing to get together with the City and discuss a proposal and have a written agreement. M/S/P Graves/Moe - to instruct the City Engineer to apply for a variance to State Aid standards to allow a 35 mph design speed and also to obtain a real estate appraisal on the value of the Ray Krueger land and building if the 40 mph design were chosen. (Motion carried 5-0). B. Legion Pond City Engineer Bohrer passed out copies of the Feasibility Report for removing flood water from Legion Pond by constructing a gravity outlet westerly to Lake Elmo. It is proposed that an 18" gravity outlet pipe be constructed from Legion Pond to Lake Elmo. The outlet control for Legion Pond would be a stop log weir. This type of structure would allow the level of the pond to be adjustable depending on downstream conditions at Lake Elmo. Low water elevations will probably be set by the DNR because the Normal Ordinary High Water Mark (NOHW) has not yet been established for Legion Pond. The stop log weir may also be used to prevent flow from Elmo to Legion Pond during periods of high water on Elmo. The VBWD has calculated the following elevations for Lake Elmo: Elevation Recurrence Interval 884.5 Normal Level 889.7 10 Year 890.2 50 Year 891.1 100 Year The pipe would be installed at about elevation 883.0. This would allow further lowering of Legion Pond if permitted by DNR and allowed by downstream conditions on Elmo. This would require excavation depths up to 35 feet deep and 3 to 4 feet of trench dewatering. It is anticipated that the pipe would have to be jacked under CSAH 17 (Lake Elmo Avenue). Only two routes appear feasible. The southern route would leave the southwest corner of Legion Pond, run diagonally across Lot 0370 (Gordon 1 Lundholm) and then west along the north property line of Lot 0380 (Earl Goerss). The northern route would leave the northwest side of the pond and run across Lot 0220 (Don Klassen); through Lot 0160 (Don Durand); to Lake Elmo Avenue. At Lake Elmo Avenue the pipe would be routed around the south side of Pierre's Pier and the Clyde Durand home. The preferred route of the pipe will be determined from land and easement acquisition costs. City Engineer Bohrer explained that there will be times when Lake Elmo is above its outlet. In this case, without a functioning outlet, the critical storm would cause Legion Pond to rise about 1.5 feet. Therefore, the flood protection dikes around the lowest home should remain in place. The water from Legion Pond was tested for total phosphorous and clarity on July 24, 1986 by the VBWD. The results were 67 ug/1 total phosphorous and 2.0 meters for the secchi disc. Coli£orm bacteria (an indicator for the presence of sewage) was not tested but is anticipated to exceed the 1980 level because of the deterioration of the five lowest septic systems. Based on a total average annual runoff volume of 42.4 acre feet to Lake Elmo, 3.5 kg of phosphorous will be added to Lake Elmo. This amounts to less than 2 percent of total estimated annual phosphorous load to Lake Elmo. Based on the information available, it does not appear that outletting Legion Pond will have a noticeable effect on Lake Elmo water quality. Estimated Cc Construction $ 75,420 Contingencies (10%) 7,530 Engineering, Legal, Administrative 16,600 Permanent easements 1.3 Ac 6,500 Temporary easements 1.3 Ac 650 Total Estimated Project Cost $106,700 It is anticipated that the entire project cost will be assessed to the benefitting property. The majority of the benefit is to the six low homes along the west side of Legion Avenue. There is also some benefit to the remainder of the property around Legion Pond, but to a lesser degree. Bohrer recommended that a preliminary real estate appraisal be done on the Legion Pond property to determine estimated amounts. , Permits will be required from the following agencies: Minnesota Department of Natural Resources Valley Branch Watershed District Washington County Highway Department Minnesota Department of Transportation will have approval authority on the VBWD permit because of the use of MnDOT pipe in the downstream system. M/S/P Graves/Armstrong - to approve the recommendations of the City Engineer and authorize an expenditure up to $1200 to have an appraiser's report on the increase of market value to adjacent properties around the pond on account of this project and have a bacteria test performed on Legion Pond so the information is available for the public hearing. (Motion carried 5-0). C. Cottage Grove Ravine WMO Plan City Engineer Bohrer explained that he has reviewed the City's local plan and the comments that he had were directed to the City and not to the WMO. When the local plan is completed, the final copy will be sent to the various members of the WMO. Bohrer referred to his review letter dated February 27, 1987 in that he made two recommendations: a. Figure 8B - Surface Water Hydrology, should be revised to correctly calculate the cumulative peak discharge rates. The figure should also show the size, type and location of the major culverts that serve as sub - watershed outlets. b. The Lake Elmo plan adopts the "one percent rule" so as to avoid large expenditures for downstream improvements in other communities. Since the one percent rule has been successfully challenged by the City of Oakdale, Bohrer recommended that the City Attorney review the case and advise the City as to the correct procedure to adopt the one percent rule. In this way the City can avoid a possible legal challenge. M/S/P Armstrong/Moe - to direct the City Engineer to return to the next Council meeting with a cost estimate to perform the computer modeling of the surface water hydrology and to instruct the City Attorney to advise the City if the correct procedures have been carried out with the one percent rule. (Motion carried 5-0). 7. CITY ADMINISTRATOR'S REPORT A. Review Bids on Maintenance Dept. Pole Building Maintenance Foreman Dan Olinger reported that there were six bids (stated below) received on Friday, March 13, 1987 on the Maintenance Dept. Pole Building. Base Bid Option 1 Option 2 Option 3 Total Lesters $14,855 $ 1330 $ 1450 $ 215 $17,850 Langers 14,500 550 1700 450 17,200 Tom DeMuth 13,762 250 750 150 14,912 Morton 15,345 694 (incl.in base*) 179 16,218 Menards 14,700 600 900 200 16,400 Holst 17,989 771 1340 194 20,294 * Maintenance Foreman, Dan Olinger stated that Morton indicated the shelf was included in their base bid. Olinger also stated that the bid for the door had not been clearly specified in the bid specifications as to its location on the building and was not bid correctly. Because the door was to go on the side of the building, rather than an end, different material was needed. Olinger stated ge gave each bidder the opportunity to amend their bid with this clarification and the following are the amended bids. Lesters $18,485 Langers 17,675 Tom DeMuth 15,737 Morton 16,487 Menards 16,875 Holst 20,769 Olinger stated that although the lowest bid received was from Tom DeMuth, a private contractor from Paynsville, DeMuth does not have a standard building, and provided no specs with his bid. Morton not only has a standard building which meets or exceeds all State and County requirements, but also has a 50 year warranty on snowload damage, a 50 year repair replacement cost to the timber columns that support the building due to insect or decay, a 10 year warranty on their paint, due to weathering, and a 5 year warranty due to acid rain. For the $750 difference in the bids between DeMuth and Morton, Olinger felt it would be in the best interest of the City to go with Morton Builders based on the specs that were provided by Morton Builders with their bid for this building. Olinger further stated that the gravel base is estimated to cost $450, the blacktop floor is estimated. to cost $2200, and the site work will be doe by the maintenance crew. The electrical cost was stricken from the original bids as there were no specifications provided. These bids will be let at a later datee M/S/P Johnson/Graves - To accept the bid of $16,487 from Morton builders for a 42' x 75' pole building, based on the recommendation from the Maintenance Foreman who that acceptance of this bid would be in the best interest of the City. (Motion carried 5-0). B. Spring Clean-up Day Each year the City schedules a city-wide clean up day at which time residents are encouraged to bring their trash (not garbage or tires) to the old Lake Jane Landfill garage where dumpsters are provided to accept material. Maintenance Foreman Dan Olinger has scheduled the first Saturday in May which is May 2, 1987. Olinger suggests that the City Council raise the unit rates by $2.00 for all types except dump trucks. His rationale for this recommendation is that the rates have been reasonable and have not changed since 1984, whereas the cost to the City for dumpster rental has been steadily increasing. Also, the dumpster rental rate may rise significantly, due to the change in solid waste operations and haulers costs as a result of the Refuse Derived Fuel Plan in Newport. The idea behind the proposed rate increase would be to allow the City to cover its Since we do not have time to discuss every point presented, it may seem that decisions are preconceived. However, background information is provided for the City Council on each agenda item in advance from City Staff and appointed Commissions; and decisions are based on this information and past experiences. In addition, some items may also have been discussed at previous Council meetings. If you are aware of information that hasn't been discussed, please fill out a "Request to Appear Before the City Council" slip; or, if you came late, raise your hand to be recognized. Comments that are pertinent are appreciated. Items requiring excessive time may be continued to another meeting. AGENDA LAKE ELMO CITY COUNCIL MARCH 17, 1987 7:00 p.m. MEETING CONVENES at the Lake Elmo Elementary School 11030 Stillwater Blvd. Lake Elmo, MN I.. Agenda 2. Minutes: February 17, 1987 3. Claims 7:05 p.m. 4. PLANNING, LAND USE AND ZONING A. Planned Unit Development General Concept Plan: Interstate Freeway Service Center, Co. 15 & 1-94; Erickson Diversified Corporation ---------------------------B R E A K_------_._-_____-----___--_.. RECONVENE AT TAKE E 1110 CITY HALL AT 3800 Laverne Avenue North 8:00 P.M. B. PUBLIC HEARING: Shoreland Permit with var ances for of size and road frontage; Lots 292-299, Lane's DeMontreville Country Club Addition; James ggrqand Barbara Walsh 5. Citizens Committee: Lan dfl�l Project Update 6. CITY ENGINEER'S REPORT A. MSA Street Project Update B. Legion Pond C. Cottage Grove Ravine WMO Plan 7. CITY ADMINISTRATOR'S REPORT A. Review Bids on Maintenance Dept. Pole Building B. Spring Clean Up -Day C. Street Sweeping D. Charitable Gambling Permit Guardian Angels Mens' Club 8. Adjourn