HomeMy WebLinkAboutMinutes - 1999/06/28CITY OF MOUNDS VIEW
MEETING MINUTES
MONDAY, JUNE 28, 1999
7:00 P.M.
1. MEETING IS CALLED TO ORDER
2. ROLL CALL: Coughlin, Marty, Stigney, and Thomason.
NOT PRESENT: Quick.
3. APPROVAL OF AGENDA
A. Monday, June 28, 1999 City Council Agenda
Mayor Coughlin asked the Council if anyone would like to add items to the agenda.
No additional items were considered.
MOTION/SECOND: Stigney/Marty. To accept the June 28, 1999 City Council agenda as
presented.
Ayes - 4 Nays - 0 Motion carried.
4. APPROVAL OF MINUTES
A. Monday, June 14,1999 City Council Minutes
Council Member Marty requested the correction of the spelling of the word `Hmong', as
indicated twice in the third sentence, third paragraph of Page 2.
Council Member Marty requested that the fourth sentence, third paragraph of Page 3 be corrected
to indicate `schedule tournaments.'
Council Member Marty requested corrections to Page 3, third paragraph, sixth sentence, to
indicate `the replacement of water fountains at Hillview Park, Groveland Park, and City Hall.'
MOTION/SECOND: Marty/Thomason. To accept the June 14, 1999 City Council minutes as
corrected.
Ayes - 4 Nays - 0 Motion carried.
5. SPECIAL ORDER OF BUSINESS
A. Presentation of 25 ear Service Award to Jerr Johnson
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CITY OF MOUNDS VIEW
MEETING MINUTES
MONDAY, JUNE 28, 1999
7:00 P.M.
1. MEETING IS CALLED TO ORDER
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2. ROLL CALL: Coughlin, Marty, Stigney, and Thomason.
NOT PRESENT: Quick.
3. APPROVAL OF AGENDA
A. Monday, June 28, 1999 City Council Agenda
Mayor Coughlin asked the Council if anyone would like to add items to the agenda.
No additional items were considered.
MOTION/SECOND: Stigney/Marty. To accept the June 28, 1999 City Council agenda as
presented.
• Ayes - 4 Nays - 0 Motion carried.
4. APPROVAL OF MINUTES
A. Monday, June 14, 1999 City Council Minutes
Council Member Marty requested the correction of the spelling of the word `Hmong', as
indicated twice in the third sentence, third paragraph of Page 2.
Council Member Marty requested that the fourth sentence, third paragraph of Page 3 be corrected
to indicate `schedule tournaments.'
Council Member Marty requested corrections to Page 3, third paragraph, sixth sentence, to
indicate `the replacement of water fountains at Hillview Park, Groveland Park, and City Hall.'
MOTION/SECOND: Marty/Thomason. To accept the June 14, 1999 City Council minutes as
corrected.
Ayes - 4 Nays - 0 Motion carried.
5. SPECIAL ORDER OF BUSINESS
• A. Presentation of 25 year Service Award to Jerry Johnson
B. Presentation of 25 year Service Award to Gary Kardell
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C. Presentation of 20 year Service Award to Barb Benesch
D. Presentation of 10 year Service Award to Steve Geringer
E. Presentation of 10 year Service Award to Jeff Wienke
F. Presentation of 5 year Service Award to Tim Fredburg
On behalf of the Council and the City of Mounds View, Mayor Coughlin presented Police
Officer Jerry Johnson with the City of Mounds View Service Award plaque, given in recognition
and appreciation of his twenty-five years of service with the City of Mounds View Police
Department.
Mayor Coughlin stated that the majority of staff and Police Department awards had been
presented at the Staff/Council Golf Retreat. He congratulated and commended the recipients for
their years of service and contribution to the City of Mounds View.
6. REPORTS
Council Member Marty reported that he had attended the Parks and Recreation Committee
meeting where discussion was held in regard to the proposed paving of the trail surrounding
Silverview Pond. He stated that he had been misquoted in the local newspapers regarding the
location of the trail and, for the benefit of those residents who had indicated their concern,
clarified the correct location of the trail to be surrounding Silverview Pond. He stated that the
Parks and Recreation Committee was in the process of obtaining estimates on the cost of the
• proposed drinking fountains located at City Hall, Silverview Park, and Groveland Park, and were
deciding which fixtures to utilize. He stated that the lockers would be installed at the
Community Center in the near future, and the paving and completion of the half basketball courts
was underway. He added that other ongoing items were discussed at the meeting.
Council Member Marty reported that he had attended the League of Minnesota Cities
Conference. He stated that the topic of one of the seminars he had attended was the visioning
process and its application within different cities, including the cities of St. Louis Park and
Burnsville. He informed the Council that the visioning process was a means whereby the
neighborhood, Council, staff and other groups gather to create a plan to determine where they
would like to see their city in twenty years. He stated that another seminar focused upon
neighborhoods, and discussion took place regarding the City of Burnsville's community policing
and Neighborhood Watch programs, as well as their visioning process. He stated that he had
spoken with the Burnsville City Manager, who offered to meet with the Council to provide
information on the subject and assist the City of Mounds View in starting their own visioning
process. He added that the City Manager had provided their entire packet containing step-by-
step information on the subject. Marty noted that the City of Mounds View did not have an
active Neighborhood Watch program at the present time. He stated that he had spoken with the
Police Officers involved in the community policing and Neighborhood Watch programs within
the City of Burnsville and they had also offered to meet with the Council to provide information
on this subject.
Council Member Marty reported that the City of Minnetonka had gone through a visioning
process, and had offered some recommendations on how to begin the process and get people
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involved. He stated that they had brought forward a suggestion regarding the appointment of
members to commissions. He stated that, as with the City of Mounds View, the appointments
• were made by the Mayor, and were then either approved or denied by the City Council. He
stated that they had revised their policy to have the interested parties apply for the positions and
interview with the entire Council at Work Sessions, leaving the selection process a decision of
the Council. He stated that this would provide the Council the opportunity to learn about the
applicants, and why they were applying for the commissions. Marty added that this policy might
prevent the problems of `mudslinging,' which had occurred with some commission
appointments in the past. He stated that, in his opinion, the subject would be worthy of further
investigation.
Council Member Marty stated that he had also attended a tax seminar, where discussion took
place in regard to Tax Increment Financing (TIF). He stated that an expert in the area had
advised that, although Tax Increment Funds were necessary as required, they should be paid off
within seven to ten years. He stated that loans made for fifteen or twenty-year periods were, in
his opinion, invalid. He stated that a Council or staff could make the loans, which may not be
paid at the time they are due and, therefore, leave someone other than the party who originally
negotiated the term of the loan to deal with the remaining debt. He stated in consideration of the
rate that the State has been decreasing industrial and commercial taxes, TIF loans should require
a set amount as a guarantee to insure they will be paid back. He noted that without this
guarantee, the only way to recoup the possible decrease in taxes would be through a franchise
fee. Marty added that the City of Mounds View had discussed eliminating franchise fees and in
. light of this information, it would be of merit to further investigate the franchise fee issue, in
terms of the existing TIF loans.
Council Member Marty stated that he had gained information from these and several other
seminars, and found them to be, for the most part, very interesting. He stated that he would be
obtaining more information in the future from the numerous contacts he had made at the
Conference.
Mayor Coughlin reported that he, Council Members Marty and Stigney, City Attorney Long (in
his capacity as League Board Member), Assistant to the City Administrator Schmidt, and City
Administrator Whiting had all attended the League of Minnesota Cities Conference in
Rochester. He stated that Economic Development Coordinator Kevin Carroll had also attended
the conference in the capacity as Council Member of the City of Rosemount.
Mayor Coughlin stated that he had attended a budget seminar where discussion took place in
regard to communicating the needs of the city to the community in a clear and sensible manner.
Mayor Coughlin stated that the primary focus of this type of meeting was to provide the Council
with the opportunity to communicate with other people throughout the State who may have
encountered similar situations, in order to share information. He stated that it was beneficial to
pool their resources, and added that he had also made numerous contacts at the Conference.
Mayor Coughlin stated that one of the items before the Council was a public hearing regarding
the Streets Committee Report, and one of the recommendations mthe Report pertained to what
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percentage should be assessed during road reconstruction. He stated that one of his goals at the
Conference had been to seek out other Mayors and Council Members to learn about their policies
in this area. He stated that some creative solutions had come forward, he considered the
Conference to be very beneficial, and was attempting to compile the information he had
obtained, and share it with the members of the Council.
Mayor Coughlin congratulated City Administrator Whiting for securing his position on the
League of Minnesota Cities Board. He stated that this was a one year position, during which
City Administrator Whiting would represent the City of Mounds View. He stated that this was
an honor for City Administrator Whiting and also very beneficial for the City of Mounds View in
having gained representation with this body.
Mayor Coughlin stated that he had attended a community picnic at the Mounds View
manufactured home park where both he and his son had enjoyed a great time. He expressed his
thanks to the community of the Manufactured Home Park. He stated that Dare Program Officer
Tim Brennen was also in attendance, and noted that he was quite impressed with the impact of
his presence upon the children. He stated that Officer Brennen was viewed in a very positive
light, both through his work with the Dare Program, and as a role model for the children. He
commended Officer Brennen for the excellent job he was doing.
Council Member Thomason stated that she had attended the EDC and EDA meetings, and had
nothing to report in these areas. She stated, however, that there had been questions regarding the
• manner in which the other Council Members addressed her and she wished to clarify that,
although she had no particular preference, it was with her permission that the Council Members
address her as "Councilwoman."
Council Member Stigney reported that during the League of Minnesota Cities Conference, he
had attended a seminar which focused upon politics as elected officials, where discussion took
place regarding the use of influence and power in constructive ways, and not to abuse them. He
stated that he had attended a seminar regarding the rehabilitation, upgrading and replacement
processes applicable to manufactured home parks, noting that some of the information brought
forward at this seminar might be of interest to the City of Mounds View in regard to their
manufactured home parks. Council Member Stigney reported that he had attended a seminar that
focused on the financing of technology, and another whose topic was evaluating the City
Manager.
Council Member Stigney stated that his name had been drawn as the recipient of a $1000 door
prize, and that the proceeds of the door prize would be used for the benefit of the City of Mounds
View. He listed the names of the numerous companies who had contributed to the door prize.
Acting Administrator Mike Ulrich reported on the construction projects within the City. He
stated that the Spring Lake Park/County Road I project was proceeding, and that the entire length
of Spring Lake Road had been recycled. He stated that the first overlift mat had been laid, and it
would be approximately two weeks before the second bituminous layer would be put down. He
• stated that, in the interim, City crews would be establishing the grade and installing the manhole
covers and castings. Following that, he stated, the landscaping crews would complete the
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boulevard and landscaping, and City crews would install the mailboxes and posts. He stated that,
weather permitting, the project would be completed by mid July. Acting Administrator Ulrich
noted that the City Hall parking lot improvement project was also in the process of being
completed.
•
City Attorney Long had no report.
7. CONSENT AGENDA
A. Approve Just and Correct Claims
B. 1999-2000 Restaurant License Renewals
C. 1999 Garbage Hauler License Renewals
D. 1999/2000 License Renewals
E. Contractor Licenses for Approval
F. Set a Public Hearing for 7:05 p.m., Monday, July 12, 1999 for the
Introduction (First Reading) of Ordinance 632, an Ordinance Amending
Chapter 1113 of the Zoning Code Pertaining to Permitted Uses within the B-
2, Limited Business Zoning District
G. Consideration of Resolution 5350, Authorizing Request for Variance to the
Rules of the Municipal State Aid Division of the Minnesota Department of
Transportation
H. Consideration granting City authorization to Dave and Mary Peloquin to
install a driveway surface at 8333 Groveland Road, two feet from City
Property (Groveland Park).
I. Public Hearing and Second Reading of Ordinance 634, an Ordinance
Implementing a Franchise Fee on Reliant Energy Minnegasco Natural Gas
Operations within the City of Mounds View for July 12, 1999 at 7:25 p.m.
Mayor Coughlin asked the Council if anyone would like to remove items for discussion.
MOTION/SECOND: Marty/Stigney. To approve the Consent Agenda for items A, B, C, D, E,
F, G, H, and I as listed above.
Ayes - 4 Nays - 0
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Motion carried.
Council Member Marty stated that, although he did not wish to remove Item 7C of the Consent
Agenda at that time, he requested the subject be considered for discussion at a future Work
Session. He stated he was aware that the garbage hauler license expiration date was June 30, but
would like to look at the possibility of a one or two day weekly work schedule, to allow for the
garbage hauling process within the community. He noted that, at present, garbage hauling is
conducted throughout the week, and he had received comments regarding the noise associated
with the process. He stated that the City of New Brighton had required all garbage haulers to
conduct their business on one day during the week, and suggested that this maybe an appropriate
approach to resolving the problem of excessive noise.
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Mayor Coughlin stated that it was the consensus of the Council to direct staff to add Item 7C of
the Consent Agenda to the future Work Session agenda for further discussion.
8. UNFINISHED BUSINESS
None.
9. RESIDENTS REQUESTS AND COMMENTS FROM THE FLOOR
Sherry Gunn, 8120 Red Oak Court, speaking on behalf of the Festival in the Park Committee,
stated that the Festival in the Park would be taking place on July 10 and July 11. She stated that
the festival would be afamily-oriented event, and briefly outlined the scheduled events which
included a parade along County Road I, the wedding and reception of Ole and Lena, fireworks,
and a variety of vendors and food concessions. She extended an invitation to the community to
attend the festival.
Mayor Coughlin commended Mrs. Gunn for her leadership in the Committee.
There were no other requests or comments from the floor.
10. COUNCIL BUSINESS
A. Public Hearing 7:05: for Second Reading and Consideration of Ordinance
628, an Ordinance Amending Chapter 1001 of the Mounds View Building
Code Pertaining to Contractors Licenses
Mayor Coughlin opened the Public Hearing at 7:37 p.m.
Planning Associate Ericson stated that this ordinance revises the City Code to allow for the
annual renewal of contractors licenses, as opposed to renewal in the middle of the building
season. He noted a revision to the ordinance, which was not reflected in the Council's packet.
He stated that the ordinance would delete references to "Fire Protection" from the license
requirement, as indicated in a footnote, as this is already required by the State. He stated that the
text attached to the footnote would also be deleted, causing the other footnotes in the ordinance
to be re-numbered. He stated that this change will be incorporated into the ordinance and, other
than this, it has not changed from the first reading.
Mayor Coughlin closed the Public Hearing at 7:40 p.m.
Council Member Marty stated that he found no problem in relation to the ordinance, adding that
it had been discussed on numerous occasions.
Mayor Coughlin agreed, adding that, as a contractor himself, he found that the revision made
much more sense than the previous requirement, and stated his approval for the recommendation.
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MOTION/SECOND: Marty/Thomason. To Waive the Reading and Adopt Ordinance 628, an
Ordinance Amending Chapter 1001 of the Mounds View Municipal Code (Building Code)
• Pertaining to Contractors Licenses and Work Requiring a City License; Planning Case SP-070-
99
Ayes - 4 Nays - 0 Motion carried.
B. Public Hearing 7:10: for Consideration of a Resolution Approving the
Request of Merryville Farm Market to Operate an Outdoor Produce Stand
at Moundsview Square.
Mayor Coughlin opened the Public Hearing at 7:41 p.m.
Planning Associate Ericson gave a brief overview of the ordinance, stating that the applicant
would Like to operate an outdoor produce stand in the parking lot of Moundsview Square
Shopping Center from July 1 through September 30, 1999. He stated that there were no
problems associated with the operation in the previous year. He stated that, as with Linder's
Greenhouses, the Conditional Use Permit would remain in effect indefinitely, so long as the
criteria were met. He added that if the operation were to require a review by Council or staff, the
approval could be handled administratively. He stated that there was the possibility of a
potential overlap with the operation of Linder's Greenhouses, by as much as 15 days. He stated
that this would create no impact, and there was no shortage of parking in the event of an overlap.
Ericson stated that staff had drafted the resolution, which provides for the non-expiring
Conditional Use Permit, and they and the Planning Commission recommend that Council
approve the Conditional Use Permit, with stipulations.
Mayor Coughlin closed the Public Hearing at 7:43 p.m.
Council Member Marty asked if the possibility of an overlap had been discussed with Linder's
Greenhouses and Merryville Farm Market. Ericson stated that discussion may have taken place
in the past, and explained that the two vendors were not in competition with each other. He
reiterated that there would be no impact in the event of an overlap.
MOTION/SECOND: Stigney/Marty. To adopt Resolution No. 5342, a Resolution Approving a
Conditional Use Permit for Outdoor Produce Sales at Moundsview Square, Requested by
Merryville Farm Market; Planning Case No. 554-99, with stipulations.
Ayes - 4 Nays - 0 Motion carried.
C. Public Hearing 7:15: for Second Reading of Ordinance 625 Regarding a
Limited Gas Franchise Agreement for Reliant Energy Minnegasco
Mayor Coughlin opened the Public Hearing at 7:45 p.m.
City Attorney Long stated that Ordinance 625, as contained in the Council's packet was exactly
the same as the original Franchise Ordinance discussed at the Work Session, with the exception
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of two changes. He referred to page 2 of the Ordinance which grants to the company a limited
Franchise Agreement, the date of operation to be indicated, executed June 4, 1999 with Fran and
Sons. This ordinance allows for the company to operate at one specific property within the City
of Mounds View, that is, Zep Manufacturing. He stated that if the company chose to add an
additional location in the future, an amendment to the ordinance would be required. City
Attorney Long stated that they had attempted to synchronize the ordinance with the Charter,
noting that Minnegasco had commenced operations at the specified location over one year ago.
He stated that due to delays of the League of Cities in attempting to draft a model ordinance for
all cities, the process had taken until the present date to complete. He stated that the ordinance
being considered, although not yet adopted, was the final draft, and had been reviewed by all of
the engineers.
Sarah Royals, representing her father, Raymond Royals, 5054 Eastwood Road, stated that her
father, who was unable to attend the meeting due to his work schedule, opposed the granting of
the franchise to Minnegasco.
Milon Lubke, 2509 Hillview Road, an employee of Northern States Power, stated that his
employer had provided great service to the community of Mounds View. He stated that, in his
opinion, one company providing gas, and in this case electricity as well, allowed for a more clean
operation within the community.
John Theis, representing Northern States Power, stated that it would be their preference for the
• City to allow Minnegasco to continue serving Zep Manufacturing by permit only. He added that
the alternative would be to allow them to provide service to this location by limited permit, as
proposed.
Al Swintek, representing Reliant Energy Minnegasco, stated that they understood the concerns
regarding the granting of the franchise, and stated that it was not their intention to extensively
run gas lines within the roads of the City of Mounds View. He stated that this would not be cost
effective, and would create an unnecessary duplication of service. He added that if they had
wanted to do this, it would probably not meet the requirements of the new right-of--way
management ordinances, or the permitting processes. He stated that they are also subject to
Public Utility Commission rules regarding extended service, which would require cost
effectiveness, and reiterated that this was not their intention. Mr. Swintek stated that they were
interested, however, in providing service to customers who desired to receive service from them,
provided that it would be cost effective and in alignment with the City's new right-of--way
management and permitting processes. He stated that there are, at present, two customers who
meet that criteria. One, he stated, was Zep Manufacturing, and the other, located directly across
the street, was the Realife Cooperative. He stated that Minnegasco has an agreement with the
Realife Cooperative, executed June 14, 1999 with Fran and Sons, the contractor who is
constructing the project. He provided the Council with a copy of the agreement. He stated that
he appreciated the responsibility of the Council in considering this request. He noted, however,
that the Council has the authority to manage the rights-of--way and, in their opinion, if a customer
meets the criteria and desires service from their company, they should be allowed to provide that
. service. He stated that Minnegasco was aware that the ordinance under consideration was
drafted to include the Zep Manufacturing location only. He added that it was hoped the Council
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would reconsider this and permit them to provide service to the second location, in light of the
signed agreement, and their following the right-of--way management agreement and ordinances
• that the City has underway.
Michael Mayerchak, representing Northern States Power, stated that they were concerned with
the recent request to add the second location. He stated that Northern States Power felt very
strongly that this was a completely different situation that the first location, in that the Zep
Manufacturing property had two gas mains in front of the property, one belonging to Minnegasco
and the other belonging to Northern States Power. He stated that Minnegasco was able to
provide service to Zep Manufacturing without running any new main. He noted, however, that in
order to provide service to the Realife Cooperative, Minnegasco would have to run 2100 feet of
main to the location. He stated that Northern States Power has an existing main at that location.
He stated that they did not believe any benefit to the City existed due to the de-regulation which
would occur in the future. He stated that the de-regulation would allow customers at residential
and commercial levels to chose their providers but, at present, only wholesale customers could
make that choice.
Mayor Coughlin offered Minnegasco the opportunity for rebuttal.
Mr. Swintek stated that this should not be a question of which company is better, and he did not
want to place the burden of that decision upon the Council. He stated that as long as both
companies have the ability to serve the customer, the customer so desires, and the service does
not adversely affect the right-of--way, they should be allowed to provide the service.
Mayor Coughlin closed the Public Hearing at 7:57 p.m.
Council Member Marty commented that the question of which company was a better company
was not an issue with the Council. He stated that, in his opinion, they were equals in quality and
service.
City Attorney Long noted that Section 2.1 of the ordinance regarding the term of the agreement,
was incomplete. He stated that he was attempting to determine the term of the Franchise
Agreement with Northern States Power, in order to provide a parallel time frame for
Minnegasco.
Council Member Stigney stated that the Just Claims of the City included a large billing from
Minnegasco, which he assumed was for service to the Golf Course. He asked if Minnegasco was
presently providing that service, and added if that was the case, and the Council decided to
approve the Franchise Agreement, the City Golf Course should be included on Exhibit A of the
ordinance as a second location.
Mayor Coughlin stated that he was in favor of open competition between equals, noting that both
Minnegasco and Northern States Power were reputable companies, longstanding within their
various communities. He noted Minnegasco had indicated they did not intend to run extensive
gas lines within the City of Mounds View, and simply desired to provide service to a particular
area of the City. He requested, in light of this, that the Council consider including the Realife
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Cooperative, who had, in good faith, chosen Minnegasco to be their service provider. He noted
that although he held out hope for de-regulation, that might not be a practical possibility in the
near future. He proposed inclusion of the Golf Course, if need be, the Zep Manufacturing
location, and the Realife Cooperative location into the ordinance, providing they abide by the
right-of--way agreement and permitting processes.
Council Member Marty stated that the franchise is limited to Zep Manufacturing, which is a
different situation that the Realife Cooperative. He stated that his understanding was that they
would discuss the Realife location at a later date. He stated that he had no problem with Exhibit
A, as it is written, and the possibility of the addition of the Golf Course, but would like further
discussion before granting a blanket franchise.
Mayor Coughlin clarified that he was not proposing a blanket franchise but, rather, a compromise
to an agreement previously reached by the Council. He stated that a very limited amount of work
and doubling of pipeline was being proposed, which would provide a development with a choice.
He added that they were either going to stand for what is essentially a monopoly or not. He
stated that, as a contractor and proponent of the free market, he was proposing a very limited
Franchise Agreement to include no more than the three specified locations, and requested the
Council's support.
Council Member Thomason stated that the agreement between Reliant Energy Minnegasco and
the Realife Cooperative had been signed prior to the Council's last discussion. She stated that, in
• her opinion, they should not suffer the inability to obtain the service they had chosen, and that
leniency was indicated. She stated that she supported Mayor Coughlin in a limited Franchise
Agreement to include the Golf Course, if need be, Zep Manufacturing, and the Realife
Cooperative.
Council Member Marty stated that the agreement was made 24 days prior, and that the issue had
come to the attention of the Council some time before that. He stated that, in effect, the
agreement had not been signed until after the Council had been informed of the issue. He
acknowledged that they had not had extensive discussion on the matter, however, in his opinion,
the 24 day time period was not significant. Marty stated that at the last Work Session, City
Attorney Long had advised that action should have been taken on the matter some time ago in
regard to Zep Manufacturing, possibly one year ago. He stated that he was not in favor of
monopolies, however, he did not see how the addition of another gas line would benefit any
residents of the City, other than possibly the Realife Cooperative residents. He reiterated that he
had no problem with accepting the ordinance as written, with the possible addition of the Golf
Course, but stated that he could not support the addition of another location without further
discussion and examination. He stated that before the addition of gas lines in and under the City
streets, he would like more research.
Mayor Coughlin reiterated that the Council and Realife Cooperative's time line may not be the
same. He stated that, at this point, they had discussed the subject at great length. He stated that
the Council would be considering the Right-of--Way Ordinance during the present meeting,
• which provided immense control for the City and the Public Works Director in determining
whether or not something is viable. He stated that Public Works Director Ulrich and others are
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the experts in the area of gas lines. He stated that he and the Council desire everything to be
done properly, and that the reason for the Right-of--Way Ordinance is to hold paramount the issue
of safety. He stated that he would again request the Council's support as a contractor and
someone who desires as much competition m the realm of utility provision as possible, so as to
keep everyone's cost down. Mayor Coughlin stated that only the Realife Cooperative may
directly benefit, the fact that they have a choice would put pressure on both Reliant Energy
Minnegasco and Northern States Power to keep their prices low. He noted that Minnegasco has
been consistently lower by one or two pennies for years, and that their ability to compete with
another provider and still maintain a slight edge should be honored and respected. He added that
the difference might not be slight to someone on a fixed income during the wintertime.
Mayor Coughlin stated that competition in and of itself did not create pressure, but added to the
pressure to compete to prevent an executive board from going to the Public Utilities Commission
to request a rate increase. He stated that every day, week, and month that executive boards hold
off was "money in the pockets of you and I." He stated that, in the spirit of free enterprise, and
anti-monopoly, and as a contractor, he would encourage the Council to include the Realife
Cooperative in this very limited Franchise Agreement.
Council Member Stigney stated that the Council had discussed the ordinance extensively at the
previous Work Session. He stated that there were still several legal issues that were not resolved,
including a question regarding placing a moratorium on additional franchise agreements. He
stated that City Attorney Long had been directed by the Council to pursue the matter as a limited
agreement. He stated that he had received several telephone calls from residents who were
concerned regarding gas service, and possible service duplication.
Council Member Stigney stated that he was also in favor of competition, however, he noted, the
area in question was not new but, rather, had already been developed and, therefore, the question
was duplication of services. He stated that the reference to Realife Cooperative in Exhibit A had
been deleted at the Work Session, and that Exhibit A was only to reflect Zep Manufacturing,
pursuant to the Council's discussion at that time. He stated that the reason the issue was before
the Council at this meeting was to clear up the documentation associated with the ongoing
service at Zep Manufacturing, which has not yet been resolved. He stated that he was in favor of
the agreement in regard to Zep Manufacturing, and if it is determined that Minnegasco is
presently providing service to the Golf Course, he was in favor of that addition to Exhibit A. He
stated, however, that as far as expanding to the Realife Cooperative, more information should be
provided to the Council and the residents, noting the duplication of services and that some risks
were involved. He stated that his main concern was that they not incorporate the Realife
Cooperative into the ordinance at this time, and approve what they had agreed upon.
Mayor Coughlin stated that he recognized they had discussed the subject at the Work Session,
and the Council meeting provided an opportunity to add to or subtract from the ordinance as
necessary.
Council Member Stigney stated that, in his opinion, he would not add the Realife Cooperative at
• this time. He stated, however, he would go ahead with Zep Manufacturing and the possible
addition of the Golf Course, if it was determined that Minnegasco was already providing that
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service. He stated that the Council could pursue the Realife location further, when the legal
issues were resolved and more information had come forward.
•
Council Member Thomason stated that the Realife development was presently under
construction. She stated if the Council was to only allow Zep Manufacturing, and placed a
moratorium until more information was available, there was a possibility that the Realife
Cooperative would lose the option to have Reliant Energy Minnegasco as their service provider.
She stated that the Council should add the Realife location to Exhibit A at this time, or it would
be delayed so much that it would not be an issue. She noted that Realife and Minnegasco had
entered into their agreement in the beginning of June, and the Council was just discussing the
matter at that time. She stated that no opinions had yet been formulated by the Council, and
Reliant Energy Minnegasco did not know whether the Council would approve or disapprove the
matter at that time. She stated that she believed Realife and Reliant Energy Minnegasco had
entered into their agreement in good faith, and she had reservations regarding not granting the
limited use because of this.
Council Member Stigney stated that he could understand Mayor Coughlin's opinion as a
contractor, however, the questions and concerns regarding legal and safety issues had not yet
been answered to his satisfaction. He stated that he was not prepared to vote at this time.
Mayor Coughlin stated that Council Member Stigney still had time left, and asked if he would
care to yield the floor.
Mr. Mayerchak stated that both Reliant Energy Minnegasco and Northern States Power were
good companies, and he did not believe that was a matter of dispute. He stated that both
companies had served their communities well. He stated, however, that he would like to provide
clarification regarding the present issue. He stated that Northern States Power had recently
received a request for gas availability at Norwest Bank on Washington Avenue in Minneapolis,
traditionally a Reliant Energy Minnegasco service area. He stated that, because he was an
aggressive salesman, he decided to look into the matter. He determined that Northern States
Power would have had to run more than a quarter mile of main to provide service to that
building, and determined that in order to follow the proper steps, they would be unable to serve
that location. He stated that, in this case, Reliant Energy Minnegasco was aware that in order to
get a signed agreement with Realife Cooperative, they needed a Franchise Agreement first. He
stated that they were aware of this a long time ago, noting that six weeks prior, Mr. Melander had
stated that they were serving Zep Manufacturing by permit only. He stated that to enter into a
contractual agreement prior to a Franchise Agreement would create an invalid transaction, and
having a signed agreement does not necessarily supersede a Franchise Agreement. He stated
that, in this case, the process had been somewhat violated.
Mayor Coughlin asked Council Member Stigney if he would care to yield the floor for rebuttal.
Mr. Swintek stated that Reliant Energy Minnegasco was aware of how the permitting and
Franchise Agreement processes work. He stated that in this particular case, there was no reason
for them to think that a Franchise Agreement would not be granted. He stated that it is a
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common practice in other cities. He stated that they were of the opinion that a Franchise
Agreement would be granted, and this and the Minneapolis situation were not the same.
City Attorney Long stated that he had spoken with Public Works Director U1rlch regarding the
term of the Northern States Power Franchise Agreement, which was a twenty year period. He
stated that in the interest of providing an equal term for Reliant Energy Minnegasco, the date of
expiration of the term should be July 1, 2019. He stated that procedurally, and in order to
prevent the need to re-draft the ordinance in the event of a split vote, the Council could request
that the blank space in Section 2.1 of Ordinance 625 contain the date July 1, 2019, and could
request the addition of Item 2 to indicate "City owned property receiving service from Reliant
Energy Minnegasco from the date of enactment of Ordinance 625." He stated that the legal
description of the golf course could be added at a later date. He stated that this clause would be
sufficient to cover the golf course property if it was determined that Reliant Energy Minnegasco
was the service provider at that location.
MOTION/SECOND: Marty/Stigney. To Adopt Ordinance 625, an Ordinance Granting Reliant
Energy Minnegasco, a Natural Gas Utility, a Division of Reliant Resources Corporation, a
Delaware Corporation, Its Successors and Assigns, a Nonexclusive Franchise to Construct,
Operate, Repair and Maintain Facilities and Equipment for the Transportation, Distribution,
Manufacture and Sale of Gas Energy for Public and Private Use and to Use the Public Ways and
Public Ground of the City of Mounds View, Minnesota for such Purposes; and Prescribing
Certain Terms and Conditions Thereof, to Include the Addition of the City Owned Property
Receiving Service From Reliant Energy Minnegasco.
Ayes - 3 Nays - 1 (Coughlin) Motion carried.
Mayor Coughlin stated that he would move to amend the motion to adopt Ordinance 625, to
include the Realife Cooperative to the List on Exhibit A, Description of Customer Accounts, on
this limited Franchise Agreement.
MOTION/SECOND: Coughlin/Thomason. To Adopt Ordinance 625, an Ordinance Granting
Reliant Energy Minnegasco, a Natural Utility, a Division of Reliant Resources Corporation, a
Delaware Corporation, Its Successors and Assigns, a Nonexclusive Franchise to Construct,
Operate, Repair and Maintain Facilities and Equipment for the Transportation, Distribution,
Manufacture and Sale of Gas Energy for Public and Private Use and to Use the Public Ways and
Public Ground of the City of Mounds View, Minnesota for such Purposes; Prescribing Certain
Terms and Conditions Thereof, with Additions and as Amended.
Ayes - 2 Nays - 2 (Stigney, Marty) Motion failed.
D. First Reading of Ordinance 633, an Ordinance Implementing a Moratorium
on Additional Franchise Agreements
Mayor Coughlin opened the Public Hearing at 8:30 p.m.
•
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City Attorney Long stated that this ordinance was the result of discussion which had taken place
at the Council's Work Session. He stated that it provided for an interim ordinance, or
• moratorium, which granted new franchise ordinances or an extension of an ordinance, as in the
case of Reliant Energy Mmnegasco. He stated that the moratorium could specify a date, or run
until the final adoption of an amended ordinance to regulate rights-of--way. He stated that it had
been the consensus of the Council to have this moratorium in place until the rights-of--way
ordinance was adopted and implemented. He noted that moratoriums are routinely upheld in
relation to land use issues, and there is a relative land use in terms ofrights-of--way excavations.
He stated that they could extend a time period for up to one year, by statute, and he believed that
any lesser time period would certainly be upheld. He stated that he had not heard of this type of
moratorium being utilized in conjunction with a franchise issue, but it was possible through the
land use authorization in Minnesota Statutes.
City Attorney Long stated that the Council has the Second Reading of the rights-of--way
ordinance before them at the present meeting and he would recommend laying the item over, as
it would probably require amendments. He stated that aright-of--way ordinance could be adopted
within thirty to sixty days. He noted, however, that implementation of the ordinance may require
a longer period of time.
Mayor Coughlin closed the Public Hearing at 8:34 p.m.
Mayor Coughlin asked if the phrase "final adoption and implementation" should be added to
• page 2, Subparagraph 2, which indicates "or until final adoption of an amended ordinance."
City Attorney Long stated that if the right-of--way ordinance is adopted, implementation steps are
required for review of a permit when it comes forward, and the addition of this language might
not be necessary. He stated, however, that the question would be whether to set a time frame or
leave it until the final adoption of the amended ordinance. He reiterated that the moratorium
could not extend beyond one year.
Mayor Coughlin stated that he would be in favor of aninety-day moratorium, adding that this
would provide an adequate amount of time for discussion. Council Member Marty asked City
Attorney Long and Acting Administrator Ulrich if everything could be accomplished within
ninety days.
City Attorney Long stated that he thought this would be a reasonable amount of time. Acting
Administrator Ulrich stated that they could attempt to complete their study, and get the franchise
fees and other matters in order during that time period.
Council Member Stigney asked if it would be possible to extend the moratorium in the event that
Public Works Director Ulrich was to have difficulty meeting the deadline. City Attorney Long
stated that if they were aware of the need for an extension, possibly two weeks ahead of time,
they could extend the moratorium by up to nine months.
•
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Council Member Marty presented a portion of the proposed ordinance for the benefit of the
public. He stated that he would be in favor of approving the ordinance with the ninety-day
stipulation.
MOTION/SECOND: Marty/Thomason. To Adopt Ordinance No. 633, an Emergency Interim
Ordinance Regulating the Presence and Siting of Gas Utility Projects within the City of Mounds
View, as amended.
Ayes - 4 Nays - 0 Motion carried.
E. First Reading of Ordinance 634, an Ordinance Implementing a Franchise
Fee on Reliant Energy Minnegasco Natural Gas Operations Within the City
of Mounds View
Mayor Coughlin opened the Public Hearing at 8:40 p.m.
Mr. Swintek stated that it was Reliant Energy Minnegasco's understanding that as part of the
Franchise Agreement, the fee would be aligned with other gas customers in the City of Mounds
View, and the language would be somewhat similar to that of Northern Stites Power.
Mayor Coughlin closed the Public Hearing at 8:41 p.m.
• Mayor Coughlin stated that the franchise fee was presently set at two and one-half percent.
MOTION/SECOND: Stigney/Marty. To Adopt Ordinance No. 634, an Ordinance Implementing
a Franchise Fee on Reliant Energy Minnegasco Natural Gas Operations within the City of
Mounds View.
Ayes - 4 Nays - 0 Motion carried.
F. Public Hearing 7:30: for the Second Reading of Ordinance 630, Right of Way
Management
Mayor Coughlin opened the public hearing at 8:41 p.m.
Harold Bagley, Senior Attorney for Northern States Power Company, stated that this was a very
complex ordinance, which followed a proposal of the League of Minnesota Cities, not yet in final
form. He stated that they had concerns regarding the League model which, he stated, was still a
type of Minneapolis/St. Paul model, and far too complex for the average city. He stated that they
had been existing for some time with permit ordinances, usually much shorter in length, and did
not see the need or advantage to the city to have all the complexities. He stated that the Public
Utility Commission had adopted regulations, by direction of the legislature, regarding restoration
of the right-of--way, in terms of what the requirements are from an engineering standpoint. He
stated that the city has input into them in regard to how much, and the maximum amount they
• can require of the utility or other right-of--way user in restoring the right-of--way. He stated that
in regard to the right-of--way having an impact on the franchise, he felt he must clarify. He stated
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that a franchise was a contractual agreement between a city and utility to provide service within
an area depicted by the city. He stated that this could be a limited or unlimited area, and that
once you have a franchise, you have the right to provide service in whatever area the city gives
you. He stated that in regard to rights-of--way, a person properly having the nght to use the street
is subject to the franchise and reasonable regulation. He stated that reasonable regulation was
setting forth the terms and conditions upon which you can use the streets. He stated that both
Reliant Energy Minnegasco and Northern States Power have the right to use the streets of the
City of Mounds View by State Statutes. He stated that if Minnegasco has a franchise and they
come to the City for a permit to extend to a customer that the franchise by area allows them to
serve, the City does not have the right to deny them. He stated that when aright-of--way
ordinance is passed, it is usually administered by the Department of Public Works, and the
Department of Public Works does not have the right to deny a permit if the permittee has met all
of the terms and conditions of the ordinance. He stated that 237; 163 and 164 of the statutes,
which allowed the Public Utility Commission to adopt these regulations, made it clear that the
franchise will prevail over the ordinance. Attorney Bagley stated that the franchise agreement
generally provides the right to serve and the insurance and bonding requirements might be
unnecessary for some utility providers. He noted that in the case of an unknown provider, more
stringent requirements might be in order. He stated that it was their desire to work out these
issues, first, with the League of Minnesota Cities, if possible. He noted that the League had
invited their comments and concerns on what was a very fresh draft. He stated that they would
then like to work through the ordinance with the City's Director of Public Works to determine if
the provisions really benefit the City, possibly provide additional options, and have the City staff
determine what was best for their city.
Mayor Coughlin stated that the Council was open to entertain any evidence they would like to
present, which was contrary to the proposed ordinance. He noted that City Attorney Long had
suggested the ordinance be laid over, and added that staff had the opportunity to discuss the
matter.
Attorney Bagley stated that there were many good things in the ordinance and they would just
like the opportunity to work through it with staff. He stated that the other concern was in regard
to the under grounding of electrical facilities. He stated that Northern States Power has a
franchise to provide electricity, as well as a service area assigned by the Public Utilities
Commission. He stated that they have filed a tariff with the Public Utilities Commission, and
they will go underground if the city pays. He stated that this tariff was attacked by the City of
Oakdale, who had an ordinance in place requiring that they go underground, and they were
forced to litigate the matter. He stated that the courts determined, under 216b of the statutes, the
City had the right to require under grounding and, under their tariff, Northern States Power had
the right to surcharge the added cost to the residents of the community requiring the under
grounding. He stated that the tariff has been filed, and not yet approved, noting that it will be
another sixty to ninety days before it is in final form and approved by the Public Utilities
Commission. He stated that if the City orders under grounding, the added cost will be charged to
the residents. He added that without an ordinance, the City is free to request Northern States
Power to underground. He advised that under grounding was at such a great cost, the City
should look at it on aproject-by-project basis, and not a blanket requirement, unless they decide
that their residents can afford it.
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Council Member Marty asked if a date had been set with the League of Minnesota Cities for
discussion of these issues. Attorney Bagley stated that they had not yet received a commitment
• from the League, but he had made comments to the General Counsel and Jim Strummond, who
indicated they will review them and get back with him. He stated that he had received no
commitment from the League in regard to when they will come out with the final form, or to
what degree they would take his comments into consideration.
Mr. Swintek stated that he had written comments regarding some very minor changes to the
ordinance, and requested the Council's consideration. He presented the written comments to the
Council.
Mayor Coughlin closed the Public Hearing at 8:52 p.m.
Mayor Coughlin asked City Attorney Long if he was recommending the Council lay over action
on the ordinance until a time to be determined. City Attorney Long stated if the Council was
going to proceed with the ordinance, they could include under grounding with a statement to the
effect of "they could request under grounding on aproject-by-project basis," adding that he
thought the Council should lay it over. He stated that Attorney Bagley's comments were
appropriate. He stated that the League of Minnesota Cities had spent approximately one and
one-half to two years meeting with engineers in the industry, and although the ordinance had not
yet been formally adopted, it was the ordinance that was being distributed as the model
ordinance. He stated that a number of cities had acted upon it. He stated that there would be
modifications and an additional two weeks would provide the opportunity to take Attorney
Bagley's comments into consideration, as well as the comments presented by Mr. Swintek, and
others. He stated that the Council might wish to discuss the matter one more time at a Work
Session.
Council Member Stigney commented that he had not received a complete copy of the ordinance
in his packet. He stated that he had previously read that under grounding was up to the discretion
of the city, and not a requirement. Attorney Bagley stated that his comment was that the city
could request under grounding without it being referenced in the ordinance. He stated that they
already have rules and regulations on file, and if the city pays for it, they will go underground.
He stated that if the city did not want to pay for it, Northern States Power had the tariff available
to surcharge the residents. Another option, he noted, would be to amend the franchise agreement
to cover the additional cost of underground facilities. He stated that the city had the ability to
request under grounding without putting it into the ordinance, and he did not think any action
would be necessary at this time.
Council Member Stigney stated that the ordinance simply indicates that the city has the option of
requesting under grounding, and Northern States Power would be surcharging its customers for
that process. He stated that he understood Northern States Power had other avenues of covering
the costs, but this did not mean that many of the things in the Right-of--Way Management were
not good. He stated that he would like Attorney Bagley's input into the matter. He stated that
the ordinance had been looked at for a long time, and he did not wish to disregard it. Attorney
• Bagley stated that he agreed and would forward their comments to City Attorney Long for his
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consideration. He noted that this ordinance was basically identical to that drafted by the League
of Minnesota Cities, which provided the opportunity to cover both ordinances at the same time.
•
Council Member Marty commented that he also did not receive a complete copy of the ordinance
in his packet.
MOTION/SECOND: Thomason/Marty. To Postpone Second Reading of Ordinance 630, an
Ordinance to Enact a New Chapter of the Mounds View Code of Ordinances to Administer and
Regulate the Public Right of Way in the Public Interest, and to Provide for the Issuance and
Regulation ofRight-of--Way Permits, until a later date.
City Attorney Long suggested that, in the interest of preventing a time delay, rather than
postponing the Second Reading, the Council could consider this the Second Reading and lay
over the ordinance until the date that they choose for adoption.
Council Members Thomason and Marty agreed to substitute the amended motion as stated in
place of the previous motion.
MOTION/SECOND: Thomason/Marty. To Approve Second Reading of Ordinance 630, an
Ordinance to Enact a New Chapter of the Mounds View Code of Ordinances to Administer and
Regulate that Public Right of Way in the Public Interest, and to Provide for the Issuance and
Regulation ofRight-of--Way Permits and lay over adoption until a later date.
• Ayes - 4 Nays - 0 Motion carried.
G. Public Hearing 7:20: for Review of Streets Committee Report
Mayor Coughlin opened the Public Hearing at 8:59 p.m.
Director of Public Works Ulrich outlined the seven recommendations contained in the Streets
Policies Committee Final Report.
Mary Malrick, 8289 Spring Lake Road, Streets Committee Chair, stated that the Streets
Committee recommendations had been re-printed in the latest Mounds View Matters. She stated
that this was a good working document, which brought the goals of the City and the goals of the
public closer together. She stated that she hoped the Council would consider each of the
recommendations contained in the Report. She added that Brian Kaden, a member of the Streets
Committee, was also present.
Mayor Coughlin expressed his thanks to Ms. Malrick and Commissioner Kaden for their
participation in the Committee.
Mayor Coughlin closed the Public Hearing at 9:02 p.m.
• Mayor Coughlin stated that there was no action pending on this Item. He stated that it was one
of two public hearings put in place to receive citizen comments. He stated that he had received
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several E-mail communications regarding the final report, all of which were positive. He stated
that there would be a second public hearing on July 12, with members of the Streets Committee
• in attendance to answer questions at that time.
H. Public Hearing 7:25: for Approval of Renewal of Intoxicating Liquor
Licenses
Mayor Coughlin opened the Public Hearing at 9:03 p.m.
Assistant to the City Administrator Schmidt listed the six intoxicating liquor licenses up for
renewal. She stated that three of the licenses were for off-sale intoxicating liquor establishments,
and three for on-sale intoxicating liquor establishments. She stated that the background reports
indicated that all of the utilities had been paid to date. She stated that they had received the
Police Department Reports, and the fire inspections, although not finished, were currently being
completed. She stated her understanding that one of the Council Members had questions
regarding one of the licenses, and City Attorney Long had some information to provide on these
as well.
Mayor Coughlin closed the Public Hearing at 9:04 p.m.
Council Member Thomason stated that she had received some comments from the public
regarding Code violations and noise problems. She stated that there were concerns associated
with the license renewal of the Robert's Off 10 establishment. She stated that she had spoken
with some of the residents at that location who stated there were problems in regard to excessive
noise and people in the streets after hours. She stated that the residents had indicated they would
like to have some type of noise and privacy screening in place, specifically, a fence. She stated
that the previous Council had requested that trees be planted to accomplish this, but these did not
provide an effective buffer for either problem. She stated that the residents were not against the
license renewal, but would like to have some assurance that the issue would be resolved. She
stated that it was suggested the requirements could be connected with the license renewal process
and asked City Attorney Long if he would address the issue.
City Attorney Long stated that the City had ordinances in place, in particular the noise ordinance,
which dealt with these types of problems. He stated that, as a condition of the license,
compliance with the conditions of the ordinances was implicit. He stated the license could
specify that, as a new requirement, the owner comply with specific issues. He stated that, in
regard to screening or fencing, it was allowable to include these as a condition of the license. He
stated that the complication arose in obtaining and drafting the specific conditions of the
requirements through negotiations with the owner of the establishment.
Council Member Marty stated that, of the three on-sale liquor establishments, the Robert's Off
10 was the only one that affected a residential area. He stated that he could see the possible need
for action.
Mayor Coughlin stated the only comments that he had heard were in regard to the front and rear
doors of the establishment being left open, and the noise levels after normal hours. He stated that
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some of the residents were forced to keep their windows closed and run their air conditioners
throughout the summer in order to cope with the excessive noise levels. He stated that the
establishment was located in a somewhat residential area, and it was the owners' responsibility to
be a good neighbor. Mayor Coughlin suggested a stlpulatlon of the condltlons include that the
doors be closed during operating hours, in sensitivity to the noise levels in the neighborhood.
City Attorney Long stated that if they were going to have specific conditions of this nature, the
additional requirement should be clarified. He stated that the conditions could be general and if
they reached an agreement with the owner, approved by the Building Inspector.
Mayor Coughlin asked if they could stipulate in the requirement, a time period during which
staff and the owner could discuss the issues and come to some conclusion, and then bring the
matter back before the Council for consideration.
City Attorney Long stated that the procedural dilemma the Council was facing was in dealing
with the renewal of the license which is granted for a year. He stated that once the license is
granted, they could not add conditions. He stated that this has to be done at the time of the
renewal action. City Attorney Long suggested that, if the applicant was present, they might
obtain a general agreement that the renewal would contain a condition that some type of noise
buffering be provided, in a form acceptable to the Building Inspector.
Mayor Coughlin asked if the Council should separate this license renewal from the others, in
• order to approve those not being contested. City Attorney Long stated yes. Mayor Coughlin
stated that the Council would remove Robert's Off 10 from the motion, at that time.
MOTION/SECOND: Thomason/Stigney. A Motion to Approve the Intoxicating Liquor License
Renewals for Network Liquors, 2345 County Road H2, Budget Liquor, 2577 Highway 10, ABC
Liquor, 2740 Highway 10, Donatelle's, 2400 Highway 10, and Mermaid, Inc., 2220 Highway 10.
Ayes - 4 Nays - 0 Motion carried.
Council Member Marty asked about the possibility of issuing a temporary or partial license to
Robert's Off 10, so that the Council could revisit the matter in the future. He stated that he did
not wish to close down the operation, but was uncertain if they could resolve all the issues during
the meeting. City Attorney Long stated that he would like the opportunity to confer with staff
regarding the matter, to determine whether the Code provided authorization to renew the license
for less than a one year period.
Mayor Coughlin suggested that with the consent of Council, they could postpone this
consideration, and reconsider it later in the meeting. City Attorney Long stated that this would
be helpful.
I. Consideration of Resolution 5344 Approving a Development Review for a
Four-plex on Vacant Land at 7613-7619 Woodlawn Drive
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Planning Associate Ericson stated that this was a request for a Development Review for afour-
plex to be located on Woodlawn Drive. He stated that the applicant has already received
approval for afour-plea adjacent to this property which is currently under construction. He
stated that all of the dimensional requirements have been met and the only issue of concern was
in regard to the drainage, which was a problem with the adjacent four-plex as well. Ericson
stated that the property owner to the north had agreed to permit the applicant to install a storm
sewer that would drain into a catch basin in County Road I. He stated that this should resolve
any potential problems. He stated that the City Engineer had reviewed a substitute drainage plan,
which provided for on-site drainage that could be utilized if the storm sewer could not be
installed. He stated, however, that it appeared the storm sewer would be installed.
Ericson stated that there would be three three-bedroom units, one two-bedroom unit, and each
will have atuck-under garage. He stated that the three-bedroom units would have two- car
garages each, and the two-bedroom unit would have aone-car garage. He stated that all of the
units will have two parking spaces in front and staff feels there would be no problems with
parking on this site.
Ericson stated that the easement documents had not yet been dedicated or executed, and they
were waiting for the completion of the title work. He stated that the subject property was
formerly atax-forfeit property over which the City previously had control, and there were some
issues with the County in regard to resolving the paperwork. He stated that the applicant has
signed an Intent to Dedicate Easement document, and provided the Council with a copy of that
. document. Ericson stated that the applicant would be dedicating the easements and this would
authorize the building permits in place of the easement documents, until the paperwork was
completed.
Council Member Marty stated that it appeared there was progress in regard to the easement for
drainage.
MOTION/SECOND: Marty/Thomason. To approve Resolution 5344, a Resolution Approving a
Development Review for aFour-Unit Multiple Family Residential Dwelling Located at 7613-
7619 Woodlawn Drive; Planning Case No. 558-99.
Ayes - 4 Nays - 0 Motion carried.
J. Consideration of a Motion Authorizing the Mayor and Clerk-Administrator
to Finalize the Agreement with the YMCA for Management of the
Community Center, Parks and Recreation and to Execute said Agreement
for and on Behalf of the City
Finance Director Kessel stated that various minor changes had been made to the YMCA
Agreement based upon the review by the City Attorney. He stated that there was one slight
adjustment not reflected in Council's packet, relating to the YMCA use of City vehicles. He
stated that the draft indicated that the YMCA agreed to maintain liability insurance for such
usage, naming the City as an additional insured. He stated that this does not address the issue of
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damage, and recommended the addition of a statement indicating that if a vehicle was damaged,
the City would be reimbursed for the cost of the damage.
Council Member Stigney requested clarification regarding the automatic renewal of the contract
for two five-year terms. He stated that the language indicates that the contract could either be
terminated or renegotiated, noting that there was no provision for amendment, even if both
parties agreed to amend. He suggested the language specify that amendment of the contract was
allowable.
Finance Director Kessel stated that Article 8, Item B of the Agreement allows for this provision,
noting that the City Attorney may wish to address the issue further. City Attorney Long stated
that the issue was properly addressed in this Item, adding that notice of termination of the
contract would also provide for amendment of the Agreement.
Council Member Stigney stated that another concern was in regard to the duties and
responsibilities of the YMCA, as specified in the Agreement. He stated that he did not see any
language pertaining to the general management and operations operating within a budget. He
noted that if there was a loss, the City would pay for the first $2000 and any remaining debt
would be equally shared by the City and the YMCA. He stated that he would like to see
terminology indicating that they would operate in a prudent and economical manner.
Finance Director Kessel stated that there were three components to the Agreement. He stated
that one was the operation of the Community Center, one was the operation of the recreation
programming, and the third was the general administration of the recreation program. He stated
that the Agreement provides that the recreation program will not operate if a project is expected
to lose more than $50, unless the City approves to fund the loss. He explained that if the YMCA
generated a loss of $50 and the City had not agreed to fund the remaining deficit, the YMCA
would be responsible. He stated that in regard to the Community Center, the City would be
paying for equipment and utilities and would, therefore, be monitoring those costs. He stated
that there are provisions in place relating to the monitoring of the HBA system for efficient use.
He added that the City would be responsible for the cost of the janitorial services. He stated that
he believed these provisions would cover any possible deficits.
Council Member Stigney stated that he had a concern regarding Article 4, Item A, regarding
compensation in relation to the Consumer Price Index. He noted the third sentence, "On January
1st of subsequent years, the annual compensation and corresponding monthly payment shall
increase by the Consumer Price Index," and requested the addition of the phrase "for the Twin
Cities Metropolitan Area" before the comma. He stated that this would align them with the costs
for living in the Metropolitan area, as opposed to those of the national Consumer Price Index.
Mayor Coughlin stated that during discussion at the Work Session, they had concluded that they
would leave this provision to staff's discretion. Council Member Marty stated that he was not
present for discussion of that issue and felt it had merit, in that the national average varies, and
the local price index was more relative to them.
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Mayor Coughlin stated that the matter had been discussed at length, noting that Finance Director
Kesel had provided extensive information on the subject. He stated that he thought it was the
consent of the Council, and for the sake of continuity, that they allow staff to make this
determination.
Council Member Stigney stated that they could contact the AMM, to determine which Consumer
Price Index they utilized. He added that the suggestion to leave the matter to the determination
of staff had been suggested by Council Member Thomason, and he had not given his consent at
that time. He stated that he had wanted the Council to consider the matter. He added that City
Administrator Whiting had expressed to him that, in his opinion, it would be good to incorporate
the Twin Cities Metropolitan area into the Agreement.
Finance Director Kessel stated that the wording was the same as that in the School District
contract. He stated that if Council was receptive to the idea, they could discuss the matter with
the School District, the Children's Home, and the YMCA, to determine if they would all be
agreeable to define the index in their respective contracts. He stated that there was concern in
utilizing one index on the revenue side, and another on the expense side.
Mayor Coughlin stated that he would leave the wording as is, and direct staff to discuss the
matter with all parties to see if they were agreeable to amending their contracts.
City Attorney Long stated that he believed this would be the proper way to proceed.
i Council Member Stigney stated that he was still uncomfortable signing this contract and would
like the Consumer Price Index to refer to the Twin Cities Metropolitan area.
MOTION/SECOND: Marty/Thomason. To Approve the Mounds View Community Center,
Parks and Recreation Management Agreement, and to Authorize the Mayor and the Clerk-
Administrator to Execute said Agreement for and on behalf of the City of Mounds View, with
stipulations.
Ayes - 4 Nays - 0 Motion carried.
K. Consideration of a Motion Approving Insurance Coverages for 1999-2000
Finance Director Kessel gave a brief overview of the Insurance Summary. He stated that
insurance coverages had increased and premiums had decreased, adding that the premiums have
remained approximately the same, with a slightly higher level of coverage.
Chuck Clysdale, representing the Maguire Agency, stated that he and his son Matt Clysdale,
also present, were part of a team charged with the service of the City of Mounds View account
within their Agency, adding that the Maguire Agency had served the City of Mounds View since
1987. He stated that the City's package and liability coverages were all placed through the
League of Minnesota Cities program, and that the Workers Compensation coverage was with
Berkley Risk Administrators, an affiliate of the League. He stated that this was a program
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designed for Minnesota cities and the City of Mounds View had participated in it for quite some
time.
Mr. Clysdale stated that they had reviewed the comprehensive program with Finance Director
Kessel during the previous week. He stated that the overall total cost for the insurance plan was
about the same as that of the previous year, in spite of several changes as far as the increase in
property values, and nominal adjustments for the inflation of other buildings and personal
property throughout the City. He stated that the general liability rates had decreased, in spite of
an increase of expenditures projected for the upcoming year. He added that the premiums for
general liability had decreased, even though the method of charging was at a higher premium
base. He stated that this was also the case for the Workers Compensation rates, noting that each
rate had been reduced, and that overall, the programs remained the same. He stated that the
League of Minnesota Cities program was specifically designed for Minnesota cities, and that
each year they broaden the coverage. He stated that this year, coverage had been increased on
the golf course to $100,000, as opposed to the $60,000 coverage of the previous year. He stated
that loss of revenue coverage was increased from one million dollars to five million dollars, and
that the computer coverage was one million dollars. He stated that, during the previous year, the
City had received a dividend on the liability and property package of $28,000, and a dividend on
the Workers Compensation portion of over $11,000. He stated that the deductible on the policy
was $10,000 per loss, with a $50,000 per year maximum, and that this had saved the City
$38,000 this year. He stated that, in general, the City had an excellent year in regard to losses,
noting only one severe loss at the golf course, and a few minor, routine losses. He stated that it
• was from this standpoint that the rates had decreased, adding that the League of Minnesota Cities
recognize the City of Mounds View to be an excellent risk in the areas of safety and loss. He
stated that every year, the City's rates have been reduced as a result of their good operation.
Council Member Marty asked if the clause regarding business income related to the golf course.
Mr. Clysdale stated that this clause applied to all of the revenue producing activities of the City
and in this area, the City had more coverage than they could ever conceivably require. Marty
asked if they were to have damage to the golf course or a problem at the Community Center,
would this coverage make up for the loss of revenue. Mr. Clysdale stated that if a loss were to
occur in the height of the golfing season, the City would have coverage for the loss itself, as well
as reimbursement of the lost revenue. Marty asked if this included "Acts of God." Mr. Clysdale
stated that this was an all-risk policy in very broad terms. He stated that the policy does not list
all the perils, but removes the exclusions. He added that all expected losses would be covered.
Mr. Clysdale stated that every year the City is given a quote for an increase in liability coverage,
noting that, in the past, they have opted to insure themselves under the provisions of
Governmental Immunity. He stated that the current policy provided for $300,000 coverage per
injury, per individual, with a $700,000 annual maximum for all losses of that nature. He stated
that this provided immunity for losses in excess of that. He stated that every year, the City is
given the option of increasing the coverage by one million above that, noting that the current
premium is $17,000, and stated that in the past, the City of Mounds View, as most cities, has
relied upon their government immunity.
• i the ast.
Council Member Stigney stated that he would exclude the excess habihty, as n p
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Council Member Marty asked if the City had any coverage over and above that of the League of
Minnesota Cities. Finance Director Kessel stated that State Statutes provide immunity from the
need for additional coverage. Mr. Clysdale added that those losses have been recently confirmed
with the recent terrible tragedy at the Holidazzle Parade.
Mayor Coughlin thanked Mr. Clysdale for his report.
MOTION/SECOND: Stigney/Thomason. To Approve Insurance Coverages for 1999-2000, with
the Exclusion of Excess Liability Coverage Premium.
Ayes - 4 Nays - 0 Motion carried.
Mayor Coughlin stated that, at this time, they would continue consideration of Item H,
concerning the Intoxicating Liquor License Renewal as it pertains to Robert's Off 10.
H. Public Hearing 7:25: for Approval of Renewal of Intoxicating Liquor
Licenses -Continued
City Attorney Long stated that conditions could be added to the license, the typical procedure
being with the consent of the applicant, and explained that the applicant could bring forth some
general conditions that would meet with the objective of the Council. He stated that if the
• applicant consented, they could move forward requiring a separate adverse hearing. He stated
that if a motion was made in regard to the license renewal, it be subject to two stipulations. One
stipulation would be that the licensee shall remain in full compliance with the City's noise
control ordinances. The second stipulation would state that the licensee will implement
additional noise control measures at the licensed premises, in consultation with the City, which
are economically practicable. He stated that the specific conditions could be established through
discussion and consultation between City staff and the applicant.
Mayor Coughlin asked the applicant if he would be agreeable to these two stipulations.
Gregory Waites, Manager of Robert's Off 10, stated that he would agree to discuss the issue
with the City to determine a reasonable solution. He stated that his "track record" indicated he
had done very well by the neighbors, adding that he was open to discussion with the neighbors to
resolve the issues and to keep them happy.
Mayor Coughlin asked if he would be open to assisting staff in arranging a forum by which staff,
the neighbors, and he could address the issues. Mr. Waites stated that he would, as in the past.
He stated that Council Member Stigney was aware that they had resolved previous issues with
the neighbors, and that all parties were reasonable.
Mayor Coughlin suggested they plan for staff to work with Mr. Waites and the surrounding
neighbors to resolve the issues.
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Council Member Marty asked if, after their discussion, the matter could come before a future
Work Session, with the neighbors present. Mayor Coughlin stated that discussion of the matter
• may not rise to the level of a Work Session, but certainly could be open to the public and any
mdlvidual Council Members who desired to address the issue.
Acting Administrator Ulrich stated that they should obtain the input of staff, and after their
meeting with the owner and neighbors, have staff report back to the Council.
Council Member Thomason agreed. She stated that she had a concern regarding the second
stipulation, in relation to the requirement that some type of buffer be placed, which would be
economically feasible.
City Attorney Long stated that he would like the opportunity to research whether or not the
matter was previously imposed as a condition of the license. He stated that if the specific steps
were outlined through dialogue between the owner and staff, the inclusion of a condition could
be added to indicate that if the owner did not act in good faith, action could be taken against the
license. He stated that, in consideration of the license renewal deadline, this approach was
possibly the best way to bring forward a set of measures that would be workable.
Mayor Coughlin assured that the matter would come before the Council in its present
membership, they would have the opportunity to revisit the issues, and discuss the reports
generated by staff at a later date.
S MOTION/SECOND: Thomason/Marty. To Approve the Intoxicating Liquor License Renewal
for Robert's Off 10, 2400 County Road H2, with stipulations.
Ayes - 4 Nays - 0 Motion carried.
L. Consideration of Resolution 5347 Approving the Ninth and Tenth Rider to
the Agreement with St. Paul Water Utility to Construct a Bituminous Path
within the Right-of--Way on County Road I
Mayor Coughlin stated that this item had been approved in regard to the Spring Lake Road re-
constructionproject noting, however, that it required a formal resolution in severalty.
Director of Public Works Ulrich stated that he had received the Ninth and Tenth Rider from the
St. Paul Water Utility, noting that he had not been provided with the first eight Riders to date.
He stated that the Ninth pertains to the Realife Cooperative's sidewalk, which would cross a
small portion of the St. Paul Water Utility easement. He stated that the sidewalk would be
maintained by the City.
Director of Public Works Ulrich stated that the Tenth Rider was in regard to a bike/pedestrian
path on County Road I. He stated that there were two stipulations in regard to the path. One
stipulation was that it was subject to City approval. The second stipulation states that no heavy
machinery be operated within five feet of their conduit. He stated that anything larger than a
loader would probably be considered heavy equipment.
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•
•
Mayor Coughlin asked if skidloaders would be acceptable for snow removal purposes. Ulrich
stated that they would, noting that the main concern in this area was construction.
Director of Public Works Ulrich stated that by State law, the resolution required the signatures of
all officials, noting that it was currently only tagged for the signature of the Mayor and the City
Administrator. He added that City Attorney Long was presently researching the matter, but
believed that this was the standard requirement.
MOTION/SECOND: Marty/Stigney. To Approve Resolution No. 5347, Approving the Ninth
and Tenth Rider to the Agreement with St. Paul Water Utility.
Ayes - 4 Nays - 0
11. Next Council Work Session:
Next Council Meeting
12. ADJOURNMENT
Motion carried.
Tuesday, July 6, 1999 - 7:00 PM
Monday, July 12, 1999 - 7:00 PM
Mayor Coughlin adjourned the meeting at 10:00 P.M.
Transcribed and recorded by:
Trish Pearson
Timesaver Off Site Secretarial, Inc.
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CITY OF MOUNDS VIEW
MEETING MINUTES
MONDAY, JULY 12, 1999
7:00 P.M.
1. MEETING IS CALLED TO ORDER
2. ROLL CALL: Coughlin, Marty, Quick, Stigney, and Thomason.
NOT PRESENT: None
3. APPROVAL OF AGENDA
A. Monday, July 12,1999 City Council Agenda
•
Mayor Coughlin asked the Council if anyone would like to add items to the agenda.
Mayor Coughlin requested the addition of Item 10-G, Consideration of Appointments to the
Parks and Recreation Commission, to the present agenda.
No additional items were considered.
MOTION/SECOND: Stigney/Marty. To accept the July 12, 1999 City Council Agenda as
presented with the addition of Item 10-G.
Ayes - 5 Nays - 0 Motion carried.
4. APPROVAL OF MINUTES
A. Monday, June 28,1999 City Council Minutes
Council Member Marty requested that Pageg fifth paragraph, first sentence indicate the correct
spelling of the name John T eis.
Council Member Marty requested a correction to Page 8, first paragraph, fourth line, to indicate
"...executed June 4, 1999 with Fran and Sons,"
MOTION/SECOND: Marty/Thomason. To accept the June 28, 1999 City Council minutes as
corrected.
Ayes - 5
Nays - 0 Motion carried.
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