HomeMy WebLinkAboutMinutes - 2014/06/09PROCEEDINGS OF THE MOUNDS VIEW CITY COUNCIL
CITY OF MOUNDS VIEW
RAMSEY COUNTY, MINNESOTA
Regular Meeting
June 9, 2014
Mounds View City Hall
2401 Highway 10, Mounds View, MN 55112
7:00 P.M.
1. MEETING IS CALLED TO ORDER
2. PLEDGE OF ALLEGIANCE
Boy Scout Troop #714 led the City Council in the Pledge of Allegiance.
3. ROLL CALL: Flaherty, Gunn, Hull, Meehlhause, Mueller
NOT PRESENT: None.
4. APPROVAL OF AGENDA
A. Monday, June 9, 2014, City Council Agenda.
MOTION/SECOND: Mueller/Hull. To Approve the Monday, June 9, 2014, agenda as presented.
Ayes – 5 Nays – 0 Motion carried.
5. PUBLIC INPUT
None.
6. SPECIAL ORDER OF BUSINESS
A. CenterPoint Energy Community Partnership Grant Presentation
Connie Hayes, CenterPoint Energy, explained the City has been awarded a Community
Partnership Grant in the amount of $2,500. She explained the grant funds would be used to
purchase portable AED’s. A round of applause was offered by all in attendance.
7. COUNCIL BUSINESS
A. Continued Public Hearing – Resolution 8253, a Resolution to Consider
Approval of an On-Sale Intoxicating Liquor License for Moe’s, located at
2400 County Road 10.
Assistant City Administrator Crane stated that in accordance with City Code a public hearing was
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required for all liquor licenses. She explained staff received an application and fees from Moe’s
on May 27th. For this reason, staff was unable to make a recommendation on the liquor license
for the May 27th City Council meeting and the item was continued to the June 9th meeting. Staff
has since reviewed the materials and commented a satisfactory compliance check had been
completed. She noted all utilities and property taxes were up to date and recommended approval
of the liquor license contingent upon a satisfactory criminal background check.
Hearing no public input, Mayor Flaherty closed the public hearing at 7:08 p.m.
Council Member Mueller questioned how this liquor license would proceed if the criminal
background check was not received by June 30th. Assistant City Administrator Crane
commented the liquor license would lapse. The applicant would have to begin the entire liquor
license process all over again. She anticipated that this process would take an additional 45 to 60
days to complete.
MOTION/SECOND: Mueller/Meehlhause. To Waive the Reading and Adopt Resolution 8253,
a Resolution to Consider Approval of an On-Sale Intoxicating Liquor License for Moe’s, located
at 2400 County Road 10 contingent upon a satisfactory criminal background check.
Mayor Flaherty recommended the fee schedule for liquor licenses be reviewed in September to
ensure late fees were charged to cover staff time.
Ayes – 5 Nays – 0 Motion carried.
B. Ordinance 887 Second Reading & Adoption, Amending Chapter 1008 of the
Mounds View City Code Relating to Dynamic Display Signs.
Planning Associate Heller reviewed a proposed sign code amendment to Chapter 1008 of City
Code. She explained this section addresses dynamic display signs and the blending or movement
of the screen. She commented that the proposed amendment addressed the changing technology
available on dynamic display signs. It was noted dynamic signs would not be allowed to blink or
flash. She reviewed the language changes in detail and explained this Ordinance was introduced
by the Council at their May 27th meeting. Staff recommended the Council waive the second
reading and adopt Ordinance 887.
Mayor Flaherty questioned the timing of dynamic movements for these signs. Planning
Associate Heller stated four seconds would be required for each screen.
Council Member Mueller recommended that the City send a letter to local businesses with
dynamic signs notifying them of the Ordinance amendment.
MOTION/SECOND: Mueller/Gunn. To Waive the Second Reading and Adopt Ordinance 887,
Amending Chapter 1008 of the Mounds View City Code Relating to Dynamic Display Signs, and
direct staff to publish a summary.
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Councilmember Meehlhause thanked staff and the Planning Commission for reviewing and
making a recommendation to the Council on this matter.
ROLL CALL: Gunn/Hull/Meehlhause/Mueller/ Flaherty.
Ayes – 5 Nays – 0 Motion carried.
C. Resolution 8266, Approving a Wetland Alteration Permit for the Longview
Estates Development.
Planning Associate Heller stated a wetland alteration permit was being requested for the
Longview Estates Development. She reviewed the request in detail with the Council and noted
the DNR and the Army Corp of Engineers support the plan. It was noted the Planning
Commission reviewed this request at their June 4th meeting and recommended approval of the
wetland alteration permit for Longview Estates.
Council Member Mueller discussed the testimony received from neighbors at the Planning
Commission meeting. She questioned if the water table would be at all impacted by the
proposed development. Planning Associate Heller reported the water table would not be
adversely impacted by Longview Estates. She noted the new stormwater pond would capture
additional runoff, which would benefit the entire neighborhood.
Mayor Flaherty stated the new curb and gutter would also benefit the homes along this street,
along with the existing catch basins. He questioned what assurances Mr. Harstad has made to the
City to ensure his development would not damage the new City streets. Planning Associate
Heller commented Mr. Harstad would have a financial guarantee in place with the City.
MOTION/SECOND: Meehlhause/Mueller. To Waive the Reading and Adopt Resolution 8266,
Approving a Wetland Alteration Permit for the Longview Estates Development.
Council Member Mueller reiterated that she was not affiliated with the property, the development
or the owner, even though the property was legally described as the Mueller Addition by Ramsey
County.
Ayes – 5 Nays – 0 Motion carried.
Planning Associate Heller reviewed the construction timeline with the Council.
Mayor Flaherty recommended the adjacent property owners be made aware of the proposed
timeline. He recommended staff also discuss the trucking schedule in further detail with Mr.
Harstad.
D. Resolution 8268, Accepting the Twin Cities Gateway 2014 Member City
Marketing Grant.
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Assistant City Administrator Crane stated Mounds View has been a part of Twin Cities Gateway
since 2009. She noted the nine member cities received grants on an annual basis based on the
percentage of lodging taxes collected from the previous year. The grant awarded to the City of
Mounds View would be passed along to the Festival in the Park and totaled $6,512. Staff
recommended the Council accept the Twin Cities Gateway 2014 Member City Marketing Grant.
Mayor Flaherty was pleased that the grant amount awarded to the City each year was on the rise.
He saw this as a positive sign for the economy.
MOTION/SECOND: Gunn/Mueller. To Waive the Reading and Adopt Resolution 8268,
Accepting the Twin Cities Gateway 2014 Member City Marketing Grant.
Ayes – 5 Nays – 0 Motion carried.
E. Resolution 8267, Preliminary Assessment that the Comcast of Minnesota,
Inc. Cable Franchise Should Not be Renewed.
City Administrator Ericson stated the Comcast Cable Franchise was discussed at length by the
Council at a previous worksession meeting. He indicated documentation between NSCC and
Comcast has also been reviewed. He explained that NSCC was recommending the City not
renew the Comcast Cable Franchise at this time. A response was needed from the City of
Mounds View by June 20th. He noted Cor Wilson from NSCC, along with representatives from
Comcast were present this evening.
Cor Wilson, NSCC, discussed the formal negotiation process that has been pursued by NSCC
with Comcast through federal law. She indicated the proposed cable franchise from Comcast did
not meet the needs of the member communities. The shortcomings within the contract were
discussed at length. It was noted the number of channels would be reduced and only one HD
channel would be offered. She recommended preliminary denial of the cable franchise. Her
hope would be to formalize a contract with Comcast on an informal basis.
Mayor Flaherty understood the public cable channels would be reduced from eight to four. He
questioned how this reduction would impact the member cities. Ms. Wilson explained the
school districts used these channels for a great deal of programming, along with the cities. She
explained that each school district had their own channel at this time. She indicated the proposed
cutbacks would put a great deal of pressure on the City and school programming. She reported
that as more and more homeowners purchase HD televisions, the three SD channels that Comcast
was proposing to provide would be subpar.
Mayor Flaherty requested further information regarding the proposed connection fees. Ms.
Wilson stated the City of Mounds View would be charged $1,675.80 per month for each non-
data connections to the Comcast network. She estimated that the City would pay $3,350.00 per
month for access to the local channels at City Hall and the Community Center.
Mayor Flaherty asked for additional information on the PEG fees. Ms. Wilson explained the
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current PEG fees were at $4.15 per month. She reported that under federal law Comcast cannot
be required to pay operating expenses. However, capital expenses can be required to be covered
by Comcast at CTV and at the member cities. She indicated Comcast came in at a significantly
lower amount for equipment replacement than was estimated by NSCC.
Mayor Flaherty inquired what Comcast had proposed for PEG fees in the new contract. Ms.
Wilson stated Comcast was proposing to have the monthly PEG fees be 44 cents.
Mayor Flaherty asked what the 5% franchise fee covered. Ms. Wilson explained that this fee was
passed along to member cities and a small portion was contributed to the NSCC budget. These
funds could be used by member cities for cable equipment, cable staff and the production of City
meetings.
Council Member Hull questioned if any other member cities had not renewed the proposed cable
franchise. Ms. Wilson reported Lauderdale and St. Anthony have already preliminarily denied
the cable franchise.
Council Member Meehlhause requested further information on the non-data network fees. Ms.
Wilson stated public institutions (schools, libraries and City Halls) were currently allowed free
access to the Comcast network and could transmit local data back and forth. She indicated the
proposed Comcast cable franchise would eliminate this free access to the local institutional
network and each public institution would be charged $1,675.80 per month.
Council Member Meehlhause questioned who owned the local institutional network. Ms. Wilson
reported that Comcast technically owns the network and NSCC has access to the six fibers. She
stated a managed services proposal has been discussed with Comcast, but has yet to be
developed.
Mayor Flaherty reviewed the three sticking points at this time as being the reduced number of
local channels, the proposed monthly connection fees for institutional uses and the PEG fees.
Mike Logan, Comcast, thanked the Council for their time and expressed his interest in finding a
resolution to this matter. He commented the Council was voting to not renew the formal cable
franchise this evening, which was a legal course of action. He stated Comcast was prepared to
continue down this course and believed it had enough facts to take this matter to Federal Court.
Mr. Logan encouraged the Council to further review the NSCC’s transparency and inter-
workings. He commented all local funding would end in November, if the contract was not
renewed. He reported the I-NET connectivity issue and number of cable channels should be able
to be resolved informally, but stated the PEG fees were extremely misaligned. He discussed how
operating fees should be covered outside of PEG fees.
Mayor Flaherty questioned how the cable franchise would proceed if Mounds View voted to not
renew. Ms. Logan discussed the formal process if all other member cities were to not renew. He
indicated that informal discussions would continue between NSCC and Comcast.
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Mayor Flaherty questioned why Comcast was proposing 44 cents in PEG fees when Minneapolis
and Woodbury received over one dollar in PEG fees. Mr. Logan stated this was the offer being
made within the formal cable franchise. He noted the PEG fees continue to be discussed
informally.
Council Member Mueller saw the benefits of the monthly PEG fees from the local channels. She
questioned what benefit the residents would gain through the proposed connection fees
($3,350/month). Mr. Logan stated all libraries and schools would continue to receive a free draw
from Comcast. He indicated Comcast owns this network and has invested $1.6 billion in the
metro area. He reported that Federal law does not require Comcast to maintain the network and
therefore Comcast was proposing to charge the member cities a fee for connectivity to assist with
the future maintenance of the network.
Council Member Mueller explained she was not a part of the negotiations 10 years ago with
Comcast. She questioned why the member cities would be charged connectivity fees when they
had provided Comcast with right-of-way for the installation of the network. Mr. Logan stated the
5% franchise fee compensated the member cities for use of the right-of-way.
Council Member Mueller commented that Comcast was requesting $1,675.80 per capita to
operate its services in the City of Mounds View. She reported she had a very difficult time
comprehending why the City would be charged a connectivity fee, when right-of-ways were
offered to Comcast, and for this reason she could not support the proposed cable franchise.
Council Member Meehlhause understood that Comcast customers assisted in paying for the
network. He indicated the Cities also contributed to the upgrades of the I-Net. He questioned
why Comcast was proposing to charge back connectivity fees to member cities. Mr. Logan
stated ultimately, the network belonged to Comcast and while customers assisted indirectly with
paying for the investments, the system was wholly owned and operated by Comcast.
Council Member Meehlhause reported franchise and PEG fees were not paid out by Comcast, but
rather, were pass through fees that did not impact Comcast’s bottom line. Mr. Logan explained
that franchise fees were impacting Comcast as it was making the company less competitive with
satellite vendors.
Council Member Meehlhause reviewed how funds had been used by CTV in the previous year
and questioned Comcast’s income in 2013. Mr. Logan stated he could not speak to this.
Council Member Meehlhause indicated Comcast generated $64.7 billion in revenue in 2013 and
had a cash flow of $8.5 billion. For this reason, he believed that Comcast could afford to be
publicly service conscience in the proposed cable franchise with Mounds View and its member
cities.
Council Member Hull questioned why the PEG fees were agreed to 10 years ago. Mr. Logan
commented that the PEG fees have increased over the past 10 years. Ms. Wilson stated in 2001
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the PEG fees were at $3.75 and have increased to $4.15 after 13 years. She encouraged the
Council not blame PEG fees for customers dropping cable services.
Council Member Hull asked why Comcast agreed to these PEG fees 10 years ago. Mr. Logan
stated at the time, this was the price of entry and with the age of communication changing, the
rates no longer applied. He stated Comcast was not trying to make PEG go away, but rather, was
reframing how these channels were used and wanted to create greater efficiencies.
Mayor Flaherty inquired if the formal contract had an escalator built into the PEG fees or if these
would remain at 44 cents for the next 10 years. Mr. Logan stated an escalator was not built into
the PEG fees.
Council Member Gunn questioned what would happen to the formal cable franchise process if
the two parties were to agree on an informal contract. Mr. Logan explained that the formal
process would go away and the terms would be much healthier.
Mayor Flaherty encouraged Comcast to find a middle ground on this franchise with the member
cities.
MOTION/SECOND: Mueller/Meehlhause. To Waive the Reading and Adopt Resolution 8267,
Preliminary Assessment that the Comcast of Minnesota, Inc. Cable Franchise Should Not be
Renewed.
Ayes – 5 Nays – 0 Motion carried.
8. CONSENT AGENDA
A. Resolution 8269, Approving Mounds View Business Licenses.
B. Set a Public Hearing for Monday, June 23, 2014 at 7:00 p.m. for the
Consideration of a Preliminary Plat for a Major Subdivision at 8211 Red
Oak Drive.
C. Set a Public Hearing for Monday, July 14, 2014 at 7:00 p.m. to Consider and
Pass Upon Special Assessments for Unpaid Administrative Offense Citations,
Long Grass Mowing Charges, and Delinquent Utility Charges.
MOTION/SECOND: Gunn/Mueller. To Approve the Consent Agenda as presented.
Ayes – 5 Nays – 0 Motion carried.
9. JUST AND CORRECT CLAIMS
Finance Director Beer answered the Council's questions related to claims.
MOTION/SECOND: Gunn/Mueller. To Approve the Just and Correct Claims as presented.
Ayes – 5 Nays – 0 Motion carried.
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10. APPROVAL OF MINUTES
None.
11. REPORTS
A. Reports of Mayor and Council.
Council Member Mueller indicated the Ramsey County League of Local Government would be
meeting on June 26, 2014 from 6:30-9:00 p.m. at the Union Depot building on the Third Floor.
The topic of discussion would be transportation connections between Minneapolis and St. Paul,
along with the Green Line.
Council Member Mueller noted she would be serving on the League of Minnesota Cities
Nominations Committee for the Board of Directors at the upcoming conference in St. Cloud.
Council Member Mueller stated the Festival in the Park Committee would meet again on June
17, 2014 at 7:00 p.m. at City Hall. She thanked the City Council for awarding the Twin Cities
Gateway grant to the Festival in the Park Committee.
Council Member Meehlhause stated he attended the TCAAP Demolition Celebration on June 6th,
which celebrated the demolition of Building 502.
Mayor Flaherty discussed the recent Employee Appreciation Luncheon and thanked Council
Member Mueller for filling in for him.
B. Reports of Staff.
1. Finance Quarterly Report
Finance Director Beer reviewed the 1st Quarter Financial Report with the Council. The revenues
and expenditures for the first quarter were reviewed, along with the activities at the Community
Center. The street and utility improvement fund balance was discussed. He indicated Area G
was being completed at this time. Staff reviewed local and State economic factors, noting the
economy was beginning to improve. He reported LGA was not expected to be reduced in 2014
or 2015. It was noted the 2013 audit was completed in the first quarter.
Mayor Flaherty questioned if City had budgeted to replace the cable equipment at City Hall.
Finance Director Beer explained staff has been working with CTV to draft a list of equipment
that needs to be replaced and would then be pricing these items out.
Council Member Mueller stated the Ralph Reeder Food Shelf was in need along with many of
the families in the community. She encouraged those willing and able to donate to the food
shelf.
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C. Reports of City Attorney.
City Attorney Riggs had nothing additional to report.
12. Next Council Work Session: Monday, July 7, 2014, at 7:00 p.m.
Next Council Meeting: Monday, June 23, 2014, at 7:00 p.m.
13. ADJOURNMENT
The meeting was adjourned at 8:53 p.m.
Transcribed by:
Heidi Guenther
TimeSaver Off Site Secretarial, Inc.