HomeMy WebLinkAboutCC MINUTES 09221987 Meeting Sheet
II II VIII VIII VIII VIIIIIIIIIII
IIIIII I
ioieaa
Box: 21
Folder: CC MINUTES AND AGENDAS 1987
Document: CC MINUTES 09221987
C M TY OF S T . ANTHONY
C OUN C I L M=NUTS S
S E P TEMBER
22 , 1- 987
1 The meeting was opened at 7 : 30 P.M. with the Pledge of Allegiance led
2 by Mayor Sundland.
3 Present for roll call: Marks, Sundland, Makowske , Ranallo.
4 Absent: Enrooth.
5 Also present: David Childs, City Manager
6 William Soth, City Attorney
7 SEPTEMBER 8 , 1987 COUNCIL MINUTES
8 Motion by Makowske, seconded by Marks to approve the above with the
9 following changes:
10 Page 9 , line 16 : Substitute "really" for ."real" .
11 Page 9 , line 17: Substitute "affected" for "ruined" .
12 Page 11 , line 28: Insert "this summer" between "all" and
13 "and
•14 Motion carried unanimously.
15 LICENSES/PERMITS/PETITIONS
16 Motion by Marks, seconded by Ranallo to grant the following licenses
17 as listed in the September 22nd Council agenda packet:
18 Contractors
19 Concord Builders, Minneapolis
20 Victoria Builders & Construction, Chanhassen
21 Motor Vehicle Starting
22 Dick' s 66 Station
23 Heating
24 Advanced Heating & Air Conditioning
25 Motion carried unanimously.
26 CLAIMS
27 Motion by Marks , seconded by Ranallo to approve payment of all
28 verified City accounts payable for September 16th and all City
9 accounts payable for August 31st and September 22nd as listed in the
0 September 22 , 1987 Council agenda packet.
31 Motion carried unanimously.
1
• 1 Motion by Marks, seconded by Makowske to approve two payments of
2 $1 ,825 . 00 to the Edward J. Hance law firm for prosecution services
3 from July 2 through September 2 , 1987.
4 Motion carried unanimously.
5 Stonehouse Contractor to be Paid
6 Mr. Childs said he perceived the contractor had made some progress on
7 the Stonehouse and recommended the August payment, which covered
8 work which the contractor had completed, be paid at this time. The
9 Manager indicated that he perceived for the Council to further delay
10 payment might make the situation worse rather than better.
11 Council Action
12 Motion by Makowske, seconded by Ranallo to approve payment of.
13 $30 , 970.00 to Fullerton Lumber for work on the Stonehouse addition
14 during August, 1987 .
15 Motion carried unanimously.
16 REPORTS
17 SEPTEMBER 15 , 1987 PLANNING COMMISSION MEETING - STEVE LONDON
a8 Council Authorizes Ordinance Amendment for Second Caretaker Unit in
19 Mini-Warehouse Facility
20 Application: from Ken Solie and Jerry Cowan, partners in Village
21 Properties, 2916 Pentagon Drive to amend the City
22 Zoning Ordinance as it relates to mini-warehouse
23 facilities in a Light Industrial District to allow
24 two, rather than one, caretaker units in such
25 facilities.
26 Commission London reported the Commissioners had voted 3 to 2
27 Recommenda- against changing the Ordinance to allow the second
28 tion: unit;
29 said he had agreed with the Chair' s and Commissioner
30 Werenicz ' perception that there had been no convinc-
31 ing arguments made to show either an overriding
32 security or economic need for the second caretaker
33 unit;
34 indicated he had also shared the Chair ' s concern
35 with setting a precedent for allowing living quar-
36 ters in other City warehouse facilities, although he
37 had to admit the potential for that happening might
8 have been "a little vague" ;
2
1 reported Commissioners Wingard and Madden had no
2 problem with allowing additional living quarters
3 where apparently there have been no problems with
4 more than one person living in the past.
5 Proponent: Jerry Cowan, 3316 Croft Drive
6
7 confirmed that there is a full time caretaker liv-
8 ing in the unit already approved by the Ordinance;
9 said the owners perceived a need to have separate
10 housing for the part time caretaker who would be
11 spelling that caretaker during vacations, weekends,
12 and at various periods during the day when someone
13 else is needed to oversee the facility operation
14 and provide security for the building;
15 reiterated that the space Village Properties wants to
16 convert to the second caretaker unit had been used by
17 the previous owner for living quarters when he was
18 back from Arizona;
19 indicated his firm perceived they could have a col-
0 lege student live in the same space and thus avoid
1 using the caretakers quarters when he works the off-
22 hours the regular caretaker cannot be there;
23 pointed out that this was probably the only studio
24 apartment in St. Anthony and the fact that the space
25 had been used for that purpose for seven years with-
26 out causing problems for the community probably meant
27 there would be no problems in the future.
28 New Information Leads to Council Approval
29 Councilmember Makowske said she was having trouble justifying the
30 extra unit until she had read the minutes of the Commission and
31 Council meetings seven years ago and found the Council had actually
32 directed the City Attorney to draw up an ordinance which would
33 "authorize the construction of the mini-warehouse facility with
34 residences. "
35 Councilmembers and staff indicated that in light of this new
36 information they perceive the following to be true:
37 Makowske: thought as long as the applicants have assured that the
38 second unit would be used to only a part time caretaker and
39 not rented out 'to the general public, the Council should go
4 0 ahead and authorize the Ordinance amendment;
41
3
1 speculated that it might have been because there had
2 always been a full time caretaker on duty that no break-ins
3 had been experienced;
4 perceived this might be a different situation than to have
5 living quarters in other warehouse facilities because this
6 building is located right next to an apartment building.
7 Marks: recalled that the same concerns, that these living quarters
8 might generate similar requests for other Light Industrial
9 facilities, had been raised during the hearings which pre-
10 ceded the use being included in the City Zoning Ordinance;
11 but
12 pointed out that in the seven years which had elapsed, he
13 could recall no instance where such a request had been
14 made;
15 agreed that the facility is already in a mixed use zoning
16 district;
17 confirmed there had actually been a house on a hill on the
18 same site which, of course, had to be removed when the hill
19 was cut down.
WZ0 Sundland: said he could understand where it would be difficult to
1 have the part time caretaker stay in the full time care-
22 taker' s quarters when they are gone on vacation, etc. ;
23 agreed that the facility had actually had 24 hour security
24 ever since it had been built because either Bernard Blanske
25 or his mother or brother, who lived in the permitted unit,
26 were there almost all the time.
27 Ranallo: asked Mr. Soth whether by allowing this one incident the
28 City would be facing carte blanche permission for other
29 requests.
30 Soth: said anyone else who wants to have a similar use would
31 have to apply for a conditional use permit just as these
32 applicants will have to.
33 Ranallo: indicated he would have fewer concerns then, about granting
34 this request, perceiving the City still had an opportunity
35 to control the use through conditions imposed on each
36 permit.
37 Childs: indicated that, with the Council authorization that even-
38 ing, an Ordinance amendment would be drawn up for three
39 hearings before the Council, with the applicants being
40 allowed to apply for the conditional use permit, which the
1
4
�. l Council could grant at the same time they held the final
2 reading.
3 Council Action
4 Motion by Marks , seconded by Ranallo to direct staff to draw up the
5 amendment of the language in Section 10 , Subdivision 3 , Item 7 of the
6 Zoning Ordinance related to a permitted conditional use in a Light
7 Industrial zoning classification which had been requested by Village
8 Properties to allow not more than two dwelling units of not more than
9 600 square feet and one bedroom for use as a residence for a bona
10 fide caretaker for a mini-warehouse facility as a conditional use,
11 where the current Ordinance only allows one caretaking dwelling unit.
12 In granting the request, the Council finds, as did the Planning
13 Commission, that staff had reported receiving no calls either for or
14 against changing the Ordinance prior to the September 15th Commission
15 hearing or Council consideration, September 22 , 1987 , and there had
16 been no persons in attendance at either of these meetings opposed to
17 it.
18 Motion carried unanimously.
19 Councilmembers to Do Individual Investigations Related to American
20 Amusement Arcade ' s Request to Operate an Amusement Arcade at Apache
21 Plaza
22 Application: from American Amusement Arcades dba Picadilly Circus,
23 850 Decatur Avenue North, Golden Valley, MN for a
24 Conditional Use Permit to allow operation of an amuse-
25 ment arcade at Apache Plaza in the space formerly
26 occupied by the St. Anthony off-sale bottle shop. The
27 proposal would utilize the 34 amusement device
28 licenses now held by the Apache owners.
29 Documentation: same as had been presented to the Planning Commission
30 prior to their hearing, as well as approximately 11-
31 1/2 pages of Commission minutes pertaining to the
32 issue.
33 Proponents: Daniel Heilicher, Norman Pink, and Gene Winstead, of
34 American Amusement Arcades.
35 Dennis Cavanaugh, President of C. G. Rein Company, who
36 manage Apache Plaza.
37 The Mayor asked for Council reaction to the request, which resulted
38 in the following give and take conversations between the Commission
39 representative, staff, and the applicants:
40 Marks asked for clarification of the issue, saying he perceived the
01 request involved putting a game room similar to the Fun Center next
5
• 1 to the Apache Wells are, which would be open during the same hours as
2 the mall.
3 London reported the applicants had asked that they be allowed to stay
4 open the same hours as the mall Monday through Thursday, and to stay
5 open until midnight on Friday and Saturday nights;
6 said the commission had in their final vote recommended the facility
7 be allowed to be open only during mall hours, fearing there would be
8 problems with mixing the late night crowds in the arcade and the bar
9 next door.
10 Childs reported the Fun Center ' s permit had been granted prior to
11 the passage of the licensing ordinance, but the City reviews the
12 licenses every year.
13 Makowske said she wondered why the Commission had not recommended
14 prohibiting smoking as well as the service of food and beverages in
15 their motion;
16 reported seeing 8th and 9th graders smoking in front of the Fun
17 Center and, although she didn' t know whether they also smoked within
18 the establishment, said she would want no smoking to be one of the
19 conditions for granting their permit.
�20 London said he guessed the smoking issue hadn' t come up during the
21 formulation of the recommendation, maybe because the Commission had
22 been more concerned about what would be sold in the establishment and
23 the applicants had indicated they allowed no smoking in any of their
24 other arcades.
25 Cavanaugh said except for a small area considered to be a smoking
26 area, the entire mall is considered a non-smoking area;
27 added, however, that the mall does not police the smoking outside
28 the mall.
29 Sundland told the applicants that he perceived if there was a large
30 congregation of youths outside the arcade, either in the mall or in
31 the adjacent parking lot after the mall closed, he had to assume "you
32 drew them there" ;
33 asked what type of supervision they were prepared to provide on high
34 volume nights.
35 Heilicher told him if problems arose under that type of arrangement
36 they would hire extra security the same as they have done in some of
37 their other arcades;
38 disputed Commission' s report regarding the Maplewood facility,
39 reiterating that they had hired off-duty police as extra security
•40 right at the start because this was a -1' 5"0.0 square foot operation;
6
• 1 said because of its size, they did the same thing in Brooklyn Park,
2 where their Picadilly Circus has 22 , 000 square feet;
3 added that all their other arcades have full time managers who are
4 well schooled in how to handle kids and haven' t had any problems
5 other than the necessity to deal with a certain type of kid who has
6 come there;
7 indicated that if a problem arose someplace within their
8 jurisdiction, they would see to it that the crowds are broken up;
9 reiterated that, although they had originally asked to have the
10 Apache arcades open as late as they have in other arcades with
11 outside entrances, during their discussions with the Commission that
12 request had been reduced to 9:00 P.M. on Saturday and Sunday, when
13 kids are out later than school nights as well until the regular mall
14 closing hours on other nights;
15 indicated the door which opens onto the mall would be closed whenever
16 the mall is closed, allowing access only through the outside door
17 during those periods;
18 told Councilmember Marks they would also like to keep their
19 establishment open until 9 : 00 P.M. on Sunday night, pointing out
20 that some of their arcades stayed open until 10: 00 P.M. those nights
.21 in other locations;
22 added that in the arcades with outside entrances, their
23 establishments stay open until 11: 00 P.M. on summer nights when there
24 is no school and until midnight on Fridays and Saturdays all year
25 long.
26 Ranallo Adamant About Having Another Fun Center in St. Anthony
27 The Councilmember stated "for the benefit of the Mayor and other
28 Councilmembers" that it was his intention to vote against having an
29 arcade in another shopping center when all the Councilmembers have
30 for years been getting calls from residents complaining about what
31 they see going on in the Fun Center. Councilmember Ranallo said he
32 knew the City police got lots of calls about the Fun Center, but by
33 the time they got around to responding to those calls, there was
34 nothing going on. He said he had opposed a pool hall going in near
35 the Fun Center and reminded those present that the Council Chambers
36 had been crowded with residents who joined in that opposition. The
37 Councilmember said he therefore expected that when the residents
38 found out an arcade was going into Apache, no matter what its hours
39 are, most of them would be opposed to it.
40 The Councilmember pointed out that he perceived the Fun Center was
41 just "on the borderline" for closing in spite of the fact that it is
42 run by a Minneapolis police officer who tries his best to keep
3 control but is unable to do that all the time, causing many residents
7
1 to question why the City doesn' t close the establishment down.
2 Councilmember Ranallo said it was his own personal opinion that to
3 put another amusement arcade in this location, would only result in
4 "lowering the class in St. Anthony. " He also indicated he was
5 "really surprised that the Apache management wanted to put a
6 loitering place for children in their center where they have
7 beautiful stores like Herberger ' s and Penneys. "
8 Attorney Advises City Doesn' t Have to Grant Each and Every Request
9 for a Conditional Use Permit
10 Cavanaugh said it was his understanding that amusement arcades are
it permitted conditional uses which had to be granted but which could
12 have some restrictions put on them;
13 therefore, he perceived the Council was not able to keep the arcade
14 from coming into his shopping center.
15 Soth told him that was not completely true;
16 said although amusement arcades are a use permitted only by a
17 conditional use permit, the Council has some discretion in granting
18 conditional use permits. In other words, it' s possible to deny a
19 conditional use permit because there' s nothing to say each and every
20 request for a conditional use permit has to be granted;
021 added that if granting such a permit were automatic, there would be
22 nothing to discuss that evening, except the conditions.
23 Cavanaugh indicated there had been other requests made for similar
24 operations in Apache which he had turned down, but accepted Dan
25 Heilicher' s proposition because the Apache management knew it was a
26 high quality type of operation held in high regard and would not be a
27 detriment to Apache Plaza;
28 indicated he perceived the Commission had been mostly concerned about
29 the arcade' s proximity to a bar;
30 pointed out that in 1983 and 1984 a game room in which food had been
31 sold had been operated 150 feet away from the liquor lounge in Apache
32 and they had virtually no problems with that;
33 in regard to the security, indicated that in addition to the security
34 Mr. Heilicher would be providing, Apache has 24 hour security;
35 reported that typically, every hour, on the hour the security goes
36 outside and cruises the parking lot and "if they see anybody
37 loitering outside any store, they break up the congregation. " ;
38 told the Council he was requesting the arcade be allowed to stay
�39 open Saturday and Sunday nights until 9: 00 P.M.
8
1 Makowske Doesn' t Believe Arcade Would Contribute to the Welfare of
2 the Community
3 The Councilmember indicated that, based on her knowledge of the
4 problems the City has had with the Fun Center, she really questioned
5 the replies the applicants ' had made to the last two questions on the
6 application form because, in her opinion, this arcade might also be
7 "detrimental to the welfare of persons residing or working in the
8 vicinity" and could not be expected to "contribute to the general
9 welfare of the neighborhood or community. "
10 When she indicated she had been puzzled about the two abstentions on
11 the Commission vote, Commissioner London told her:
12 with the exception of Commissioner Madden, who liked the idea of
13 being able to take his grandson to play pool somewhere other
14 than a bar, the Commissioners had basically been quite hostile
15 towards granting the permit;
16 indicated the "nay" vote had come from Commissioner Werenicz,
17 who didn' t care for the motion which had finally been hammered
18 out because it had not contained a prohibition of pool tables,
19 perceiving that, with pool tables right next to a bar, there
20 could not help but be problems with a mix of patrons in both
21 establishments;
1022 said a majority of the Commissioners were swayed by Commissioner
23 Werenicz ' 14 year experience as a police officer and the results
24 of the survey he had made of 8 of the police departments in
25 communities where American Amusement had arcades which indicated
26 that, in spite of the fact that the company "did a good job of
27 managing their establishments, there are problems no matter how
28 well they are run" and "there could be nothing but trouble if
29 this arcade went into Apache."
30 Commissioner London said he too had decided to abstain because he
31 didn' t agree with the motion which finally evolved.
32 Marks Concerned About Congregation of Kids at Mall Entrance
33 The Councilmember indicated that not only was he concerned about the
34 security in the arcade immediately outside the interior mall door,
35 and in the parking lots , but was also worried about the effect on
36 shoppers who might be uncomfortable using a mall entrance where
37 there' s a large congregation of kids smoking and acting abusively.
38 He said he had experienced a certain degree of discomfort just being
39 in the Fun Center, even though there was nothing going on when he
40 was there.
41 Applicants Dispute Council Assumptions
2 The applicants made the following responses to these allegations:
9
1 Cavanaugh indicated the City would probably use the same reasoning to
2 deny him a liquor license if he were to apply for one.
3 Heilicher said his type of arcade in no way resembled the pool halls
4 of the past because smoking, gambling, and drinking are all
5 prohibited;
6 said his managers don' t allow loitering in any areas in which they
7 have jurisdiction;
8 reported both the Northtown and Ridgedale arcades are located in
9 rather isolated areas which are similar to the Apache location;
10 argued that the video games in his arcades are no different than the
11 games played on a computer at home.
12 Cavanaugh reported the bowling alley, which has been at Apache Plaza
13 for 26 years, has 14 coin operated games in a room where players can
14 both smoke and drink beer next to the kids playing the games;
15
16 said Apache had stepped up its security whenever there had been
17 problems in that establishment, which was exactly what they would do
18 if there were any loitering problems in the areas next to this
19 arcade;
.20 2
reiterated that the mall has 24 hour security and the security
1 cruises around the mall every hour, on the hour, and would be
22 certain to break up any congregation like the one which worries
23 Councilmember Marks.
24 Winstead perceived the problems the Council envisioned with the youth
25 smoking and using drugs were also experienced in the schools and
26 "you can' t shut down the schools. " ;
27 said he perceived it was the City' s obligation to get a good use mix
28 for the community, including a well supervised place for them to go;
29 thought it would be a "tough call" to legally uphold the findings
30 Councilmember Makowske had mentioned which were based on
31 generalities;
32 said he would like to see more of an "open mind" kept in regard to
33 this use and advised against a "head in the sand" routine where you
34 decide something' s bad, therefore, it ought to be eliminated
35 altogether;
36 reminded them that the precedent had already been set for the bowling
37 alley which is a commercial recreational use, similar, yet different,
38 from the use they were proposing.
39 Pink indicated he perceived two of the Council' s questions might not
�40 have been properly answered;
10
1 said his notes of the Commission hearing indicated the abstentions
2 had been prompted by the two Commissioners approving the concept but
3 disapproving of the limitation of the hours;
4 said he perceived they had not wanted to have the use denied
5 altogether and therefore voted to abstain rather than vote against
6 it;
7 disputed that the tenant or customer mix in Apache was different than
8 in any other community shopping center, including Southdale, where
9 his firm operated an amusement center for 26 years; Brockdale where
10 they operated until the space was needed for a liquor establishment;
11 or Ridgedale where they have operated since the center was opened;
12 said as a parent he is glad to have his child go to a supervised
13 establishment;
14 said if his child goes to any of the Picadilly Circus arcades, she
15 would be in a place where smoking is not permitted, which would not
16 be true of the Apache Bowling Alley or any other bowling alley where
17 not only is smoking allowed, but there is wine or beer served right
18 where the same video. games are played in that type of establishment.
19 Commissioner London said he perceived Mr. Pink might have correctly
20 characterized John Madden' s view because he was one of the
V1 Commissioners who had proposed an amendment which would allow the
22 arcade to be open for different hours than the mall. However, he
23 disputed Mr. Pink' s assumption about his own abstention because his
24 vote indicated "I didn' t like anything about the arcade and
25 realizing there was no way of defeating the motion, just
26 abstained. "
27 Councilmember Ranallo said that vote had not been a "-aig; thing" with
28 him and pointed to the fact that the Council had not followed the
29 Commission' s recommendation about the second caretaker unit,
30 perceiving that was an advisory on which the Council had to make its
31 own decision.
32 Applicants Admit Having to Call Police to Their Arcades
33 Councilmember Ranallo then asked Mr. Heilicher whether he was saying
34 he had never had to call the police to any of his arcades. when the
35 Picadilly Circus owner said he didn' t believe they ever had to do
36 that, Mr. Pink corrected him by saying he believed it would be
37 "inaccurate to say that in 26 years we have never had to call the
38 police to any of our establishments.." However, he added, that he
39 didn' t think there was a business in town which didn' t have to call
40 the police for shoplifting, etc.
41 Councilmember Ranallo told Mr. Heilicher he had nothing against
042 American Amusement and knew nothing about their management style,
43 but that he did know for certain that there had been police calls
11
1 made from their arcades in '_ their locations. The Councilmember
2 said he didn' t perceive that was anything against their management,
3 but did think that was a problem the City would be facing once they
4 approve this arcade for the City. He responded to the statements
5 about closing the schools, by saying he perceived the City' s position
6 was a lot different because the school district can fire a teacher
7 who allows smoking in school, while the City has no other recourse
8 than to review the permit once a year and try to revoke the licenses
9 if there are problems which "is almost impossible to do. "
10 Heilicher Says His Company Couldn' t Afford to Keep Problem Amusement
11 Devices
12 Mr. Heilicher pointed out that the City of Blaine had for the first 3
13 or 4 years reviewed the permit he had for his arcade in Northtown
14 until they realized the type of establishment they were running. He
15 added his firm was well aware of what the ramifications were for a
16 conditional use permit. He assured the Councilmember that if at the
17 end of the year his company perceived a pool table or some type of
18 game was causing a problem, they would never let the situation fester
19 because they have a financial stake in their lease in the center and
20 without a conditional use permit the costs of improving that space,
21 etc. would be lost to them. The arcade representative pointed out
22 that "we would not be in as many locations as we are if we did not
23 operate and control good establishments. " Mr. Heilicher pointed out
4 that if the bowling alley, which "serves beer and allows smoking in
5 the areas where games are played is allowed licenses, then we should
26 be allowed licenses. "
27 Marks Wonders Where City Youths Are Going to Gather
28 The Councilmember said his own observations about this issue had
29 been:
30 that because of the great fears parents have for their own and
31 other children when it comes to experimentation with sex, drugs,
32 and alcohol, they might have unfairly characterized any esta-
33 blishment where youths hang out as encouraging the most extreme
34 of those activities;
35 it might have been because those who organized the various types
36 of teen centers in the City in the past might not have known how
37 to set up the right programs or how to supervise the centers,
38 resulting in their failure;
39 that as a result of these failures the only teen center left was
40 one which, although he knew there had been problems, had not
41 been as bad as he at first expected them to be;
42 said the only institutionalized gathering place for kids which
43 remains are the church youth centers in which many of the kids
4 refuse to participate;
12
• 1 the Council is not very comfortable with the only center which
2 remains and wants to get it out;
3 although it would be hard to get rid of this arcade once it' s in
4 Apache, it might be a more positive step to take to allow
5 another center, because "if we close all their hangouts, where
6 are the teenagers going to go?" .
7 Mr. Cavanaugh responded that he knew a lot of the teenagers go to
8 Apache Mall, where the management from time to time has problems with
9 them congregating and smoking in the center court area and has to
10 clear them out. He added that congregation of kids in fast food and
11 sit-down restaurants, amusement arcades, skate board areas, etc. are
12 just problems which "go with the territory" when you' re trying to
13 manage a 530,000 square foot mall.
14 Mayor Asks for Better Understanding of Both Positions
15 Mayor Sundland asked the applicants to understand and appreciate the
16 Council' s position in the same manner as they expected the Council to
17 give a fair hearing to their request. He pointed out that each of
18 the Councilmembers have personally had difficulties with a similar,
19 but perhaps different, establishment in St. Anthony which had
20 prompted their opposition to another establishment like it in the
21 City. His comments generated the following response:
022 Marks: reiterated that he would like to see something positive
23 done for the kids; however,
24 indicated he had mixed feelings about this request him-
25 self;
26 indicated he wished he had visited more arcades prior to
27 the meeting to be better informed about the issue.
28 Ranallo: said he had also been involved with the previous attempts
29 to establish youth centers in the City and had concluded
30 "kids just don' t want to be supervised. "
31
32 Attorney Expands on Legal Issues Involved
33 Mr. Soth reiterated that "the fact that the City Ordinance says
34 amusement arcades are permitted uses in St. Anthony doesn' t mean the
35 Council can never deny such a request because they might find during
36 their considerations that there were good reasons to deny because
37 of an establishment ' s location. " He said in this case it had already
38 been mentioned that the proposed arcade was in close proximity to a
39 bar where adults coming out of the bar could easily mix with the
40 teenage people in the arcade. The Attorney said the City can't say
41 it "doesn' t want any amusement arcades at all" because they are
42 authorized in the Ordinance, but the Council is not obliged to
�43 approve this particular arcade as long as they enumerate the reasons
13
1 for their denial. Mr. Soth indicated the issues identified as
2 conditions for granting the request which are cited on the
3 application could be used as findings as long as the Council is more
4 specific about the reasons they are making those findings.
5 When Councilmember Ranallo asked whether the fact that the residents
6 oppose any arcades in the City at all would be sufficient reason
7 for denying this request, the City Attorney told him "probably not"
8 because the Ordinance already permits them.
9 Councilmembers Perceive Need for First Hand Knowledge
10 The attorney' s advice resulted in the following response from
11 Councilmember Marks:
12 indicated he perceived the Council was getting information from
13 differing sources, including the report from the police officer
14 on the Commission whose investigation had convinced him there
15 are problems associated with all arcades including the establi-
16 shments managed by the applicants followed by an opposing view
17 from American Amusement representatives;
18 said he for one did not have enough knowledge of how these
19 arcades are run when it came to disciplining kids, etc. and
0 would prefer tabling action on a final decision until the
i Council has an opportunity to visit some arcades and see how
22 they are operated and get further information related to the
23 police perspective on this type of establishment.
24 Councilmembers Ranallo and Makowske indicated they concurred with
25 Councilmember Marks ' suggestion and Mayor Sundland agreed that no
26 matter how the final decision went, this would be the most reasonable
27 way for the Council to go.
28 Before a motion to table was offered, Mr. Pink asked the
29 Councilmembers to remember, as they view different types of arcades,
30 to distinguish between those which are contracted out where the
31 owners only service the equipment and the arcades for which American
32 Amusement is financially responsible and manages, services and
33 provides control. He pointed out that the arcade in the St. Anthony
34 Shopping Center is one which is contracted out where the manager' s
35 greatest concern is to generate dollars. Mr. Pink also said there
36 are "good and bad arcades just as there are good and bad liquor
37 stores, gas stations, etc. "
38 Mr. Cavanaugh suggested it might be difficult to make a long term
39 decision based on the arcade' s proximity to the liquor lounge since
40 he never knew from month to month whether the lounge would be
41 remaining in Apache or whether the City would be building another
42 one on another site.
14
• 1 Council Action
2 Motion by Ranallo, seconded by Marks to table action on the
3 Conditional Use Permit requested by American Amusement Arcades dba
4 Picadilly Circus for an arcade next to the Apache Wells liquor
5 lounge until the Council' s next meeting to give the Councilmembers an
6 opportunity to do their own on site investigation of arcades and to
7 direct the City Manager and Attorney to further research the
8 security issues which are involved.
9 Motion carried unanimously.
10 Before the applicants left, Councilmember Ranallo told Mr. Heilicher
11 he, for one, would be visiting mostly his establishments. The arcade
12 representative reiterated those locations and then pointed out that
13 the Har Mar arcade, which has 4 ,000 square feet of space, sells food
14 and drinks in one area but doesn' t allow smoking, eating or
15 drinking in the game areas. He also said any police calls the
16 arcade managers had to make had resulted from the need to rid the
17 establishments of unwelcome patrons.
18 Mr. Childs reported Commissioner Werenicz ' s comments had indicated
19 that when he had called the other police departments about these
20 arcades, they had all agreed that there were always problems with
21 kids congregating around arcades, but these problems weren' t much
•22 different than for any other mall locations where young people
23 gather. The Manager pointed out that Commissioner Werenicz had
24 reported that all the police departments he had contacted had agreed
25 that American Amusement were good operators.
26 COUNCIL REPORTS
27 Ranallo Requests City Observe League of Minnesota Cities 75th
28 Anniversary
29 The Councilmember said he had been attending the regional League
30 meetings throughout the state on behalf of the LMC, primarily to make
31 preparations for the above events in May. He said he would like to
32 see the first week in May declared "Cities Week" , the City to
33 purchase balloons to release at 1: 00 P.M. that Wednesday in unison
34 with all the other cities in the state, and generally, join in the
35 other festivities planned for that week.
36 Gopher One Call System Explained Further by Councilmember
37 Councilmember Ranallo indicated he had further information related to
38 the Minnesota Notification Corporation to which he had reported being
39 elected a Board member at the last meeting. He indicated the above
40 system had been set up by the Corporation in response to the pipeline
41 safety legislation passed in 1986 to establish a central point to be
42 contacted before digging to assure the pipelines won' t be punctured.
•43 The Mayor said he perceived the same principle would be followed as
15
1 Northwestern Bell had established before divestiture to identify
2 their underground cables. '
3 "Wine in Grocery Stores" Legislation Almost Certain to be Resurrected
4 During Next Session
5 The above alert was issued by Councilmember Ranallo, who indicated
6 that was the perception of what would be happening held by the League
7 legislative committee he served on. He reported the League had
8 requested the liquor industry lobbyists to work with them to oppose
9 that bill. The Councilmember speculated that it had been concern
10 about this legislation passing, coupled with the higher dram shop
11 insurance costs, which had caused Coon Rapids to go out of the liquor
12 business completely.
13 When Councilmember Ranallo said he was looking for Council volunteers
14 to work with Mr. Childs as League contact persons on various issues ,
15 Councilmember Makowske commented that might be a natural offshoot of
16 her service on the Ramsey County League of Local Governments
17 legislative committee, established to scrutinize upcoming
18 legislation in terms of how it might affect Ramsey. County
19 communities. Mayor Sundland indicated he would be glad to testify as
20 long as he is given adequate notice.
21 Comments on St. Anthony Bulletin' s Placement of Mayor' s Message
4k2 Councilmember Ranallo told Larry Jones he could see no reason why
23 the above had been carried on page 15 in the last section of the
24 issue sent only to St. Anthony residents and identified on the
25 masthead as the St.Anthony Bulletin. He said the City residents
26 would naturally expect to find news about their city carried on the
27 front page of the paper and many would probably never read beyond
28 that point. Mr. Jones said the copy had gotten to him too late to
29 get a copy measurement for the front page and, assuming it would be
30 better to carry it where space was available than to leave it out
31 entirely, he had taken out another article to get the article printed
32 on page 15 . The reporter disputed the assumption that St. Anthony
33 residents only read the first pages of the newspaper.
34 Marks Notes National Speaker' s Appearance at St. Anthony_ High School
35 That Evening
36 The Councilmember indicated he had hoped the Council meeting would be
37 over in time for him to participate in the evening session of the
38 drug awareness seminar to be conducted by Jevon Thompson of
39 Westminister, Colorado, and sponsored by the St. Anthony Chemical
40 Awareness Committee. He reported the seminar was one required to be
41 attended by any St. Anthony student who chose to take part in
42 Minnesota High School activities as well as a parent. Councilmember
43 Marks said not only must the students promise not to become involved
44 with drugs or drinking, they are also given to understand if they
05 break that promise they could find themselves unable to participate
16
• 1 in any school activities. He pointed that this is one of the
2 activities the Council was supporting by funding the Chemical
3 Awareness Committee which was most effective.
4 In relation to the Committee, on which he serves as the Council
5 representative, Councilmember Marks reported unlike other years , both
6 the Chemical Awareness Committee and its Board had held meetings all
7 year long.
8 Councilmember Reports AMM to Study Greater Minnesota Cor oration's
9 Impact on Metro Communities
10 Councilmember Makowske reported she had attended several of the most
11 recent meetings of the AMM Committee which is now concerned about
12 economic as well as housing issues. She indicated there had been
13 some questions raised at one of these meetings about whether fundings
14 of outstate projects by the GMC might be an economic threat for
15 metropolitan municipalities. The Councilmember said the general
16 consensus was that who the Governor appoints to serve on this body
17 could be a crucial question in this regard.
18 DEPARTMENTS AND COMMITTEES
19 Following brief discussions of each, the Council ordered the
20 following filed as informational:
Wl *reports from the Edward J. Hance law firm related to the
22 matters they had represented the City on at the Hennepin
23 County District Court on August 5 and September 2, 1987;
24 *August Fire Department Report;
25 *August Financial Summary.
26 CITY MANAGER REPORTS
27 September 15 , 1987 Staff Meeting Notes
28 City Won' t Be Participating in Yard Pick Up Program
29 Mr. Childs indicated that, after finding out just how much it would
30 cost the City to have Waste Management pick up yard wastes, the
31 decision had been made not to adopt that program for the City this
32 year. He told Councilmember Makowske residents can now drop yard
33 wastes off at the Public Works Department to be hauled to Maple Grove
34 and brought back as compost, which is made available to the residents
35 in the spring.
36 Enrooth to be Offered Watershed District Board Nomination
37 The consensus was, that since he had already served on the Rice Creek
!38 Watershed Advisory Committee, the Councilmember should be contacted
17
1 when he returns to the City to ascertain his interest in serving on
162 this board.
3 Negotiations With School District to Continue
4 Mr. Childs said he and the Mayor would be meeting later this week
5 with District #282 School Board Chairman John Durand and
6 Superintendent Dr. Crystal Meriwether in an attempt to keep the
7 dialogue going on the Parkview issue. Mayor Sundland reported that
8 in addition, a meeting to discuss general city and school concerns
9 between the Mayor and Board liaison had been scheduled, similar to
10 ones held in the past. Interestingly, this meeting had been
11 initiated by the school.
12 Manager Contacting Firms to Do Community Survey
13 Mr. Childs indicated his performance of this task the Council had
14 given him had been made easier when the Star Tribune had carried a
15 story on cities who are doing similar surveys, which gave him the
16 names of several other firms to contact.
17 Council Finds Owners ' Plan to Refurbish St. Anthony Shopping Center
18 Disappointing
19 The City Manager told Councilmembers Makowske and Marks, who had not
20 yet viewed the above plans left with him by the center
:21 representative that week, that he was certain they would be as
2 "uniformly unimpressed" with them as the Councilmembers who had seen
3 them were. He told them that, instead of the extensive renovation
24 the owners ' spokeswoman had promised to encourage the Dairy Queen
25 owner to stay in the center, only a $60,000 facelift is now planned.
26 Mr. Childs said that amount is supposed to cover the costs of.
27 painting the brick and the support columns and hanging canvas over
28 the walkways this fall and striping the parking lot next spring. He
29 perceived the only good thing had been that the City had at last had
30 an opportunity to meet with someone in the flesh who actually
31 represented the Portuguese family who owns the center. The Manager
32 reported that person had told him the center is in a family trust
33 now that the patriarch has died and the family doesn' t want to sell
34 it or change its mode of operation, intending to put no more than the
35 cash flow back into the center. Mr. Childs said he perceived that if
36 the center is not updated, it will be even harder to get good
37 tenants to generate cash flows for improvements. He told
38 Councilmember Makowske no explanation had been made why the owners
39 had failed to sign the leases of the good tenants who had wanted to
40 move there.
41 PUBLIC HEARINGS
42 Council Authorizes $1 , 263 , 150 Tax Levy to Cover 1988 Budget
all 18
• 1 At 9 : 25 P.M. , the Mayor opened the public hearing on the above,
2 noting the absence of residences to provide input, despite the
3 posting of the notice of the hearing at various locations
4 throughout the City and its publication in the September 16th
5 Bulletin.
6 Documentation: copy of notice;
7 September 4th letter from the Director of Minnesota
8 Local Aids Division advising that the requested
9 $150 ,000 levy limit adjustment to reduce the City' s
10 payable 1987 property taxes had been approved but that
11 the $33,000 adjustment for loss of federal revenue
12 sharing had been denied;
13 Mr. Childs' September 18th summary of the 1988 budget;
14 estimates of effect of mill rate on City homes;
15 Resolution 87-029;
16 copy of budget.
17 Mr. Childs summarized his memorandum by saying the $1,263 ,150 levy
18 would be $20 ,000 less than the levy limit imposed by the state, but
•19 almost $300,000 higher than last year ' s levy. He indicated he had
20 included the $150 , 000 levy variance the state had granted the City
21 for using reserve funds to off-set lower liquor operation profits.
22 The Manager attributed the levy raise to the loss of revenue sharing
23 and decrease in liquor operation profits which had allowed the City
24 to transfer only $150,000 from the Liquor Fund to the General Fund,
25 where the City had budgeted twice and more in previous years.
26 Mr. Childs had projected a 3 .1% increase in revenues for the General
27 Fund, which was an increase of $55 ,000 from 1987, but would be offset
28 by an increase in total expenditures. He said revenues which are not
29 expected to increase would be Local Aid to Governments, fees, and
30 interest earnings on City holdings, all of which are negatively
31 impacting on the City. Mr. Childs also anticipates raises in the
32 water and sewer rates at the end of the year should offset some of
33 the deficiencies in those funds.
34 Levy Increases Would Cost Homeowners Between $20 and $39
35 Under the new 1988 assessment formula, the above increases would be
36 experienced for owners of $85,000 and $100 ,000 respectively assuming
37 the County mill rate went up 1. 7 mills and the school district' s
38 raise -was 4 mills. The Manager ' s estimate assumed no change in home
39 values. If home values increased by 3%, it could add $100 in taxes
40 for a $100 , 000 home and $80 more for an average $85 ,000 home in St.
•41 Anthony.
19
• 1 Mr. Childs said under the 1988 assessment formula which had not been
2 changed, commercial, industrial and rental properties in St. Anthony
3 could be expected to pay 10% more in taxes. He confirmed that the
4 new Homestead credit formula decreased property taxes on residential
5 property but increased the taxes on the other classifications.
6 The Manager estimated that with a 3% raise in valuation, the owner of
7 an average home in St. Anthony, which is $85 ,000, would be paying a
8 total package of $105 . 00 more in property taxes than was paid in
9 1987.
10 Major Expenditures Anticipated in 1988 Budget
11 The City Manager reiterated from his report that there were some
12 major equipment expenditures anticipated, including the second year
13 payment on the motor grader and the need for a new snow plow to
14 provide the City with better quality equipment than in the past year.
15 The hearing closed at 9: 30 P.M.
16 Council Action
17 Motion by Ranallo, seconded by Marks to adopt the resolution
18 approving the $1 ,263 ,150 tax levy in the current year collectible
19 upon taxable property in St. Anthony in 1988. The resolution also
W0 approves the 1988 City budget.
21 RESOLUTION 87-029
22 A RESOLUTION APPROVING THE 1987 TAX LEVY,
23 COLLECTIBLE IN 1988 AND THE 1988 CITY BUDGET
24 Motion carried unanimously.
25 Mr. Childs said he would, as requested by Councilmember Makowske,
26 return to the Council with a budget amendment which would transfer
27 the Newsletter costs out of the Council Contingency Fund.
28 Council Approves Uncollectible Check Write-Off
29 Councilmember Makowske asked the City Manager to check with the
30 Liquor Manager to see what could be done to prevent repetition of bad
31 check cashing by the same persons several times within the same year. -
32 Councilmember Ranallo pointed out that the checks had been cashed in
33 different stores, but he agreed there should be some way of
34 preventing the same person from defrauding the City so many times.
35 The fact that some of the checks came from a church was also noted.
36 Councilmember Marks wondered if computerizing these transactions
37 might alleviate the repetition problem.
•38 Council Action
20
1 Motion by Marks, seconded by Makowske to authorize the write-off of
2 $4, 153 . 80 in 1986 uncollectible checks (recognizing that even with
3 these losses, the City netted $23 ,230. 42 in profits from check
4 cashing that year) .
5 Motion carried unanimously.
6 Execution of Road Maintenance Agreement With Hennepin County
7 Authorized
8 The Council had been provided copies of the agreement whereby the
9 County would authorize the City to provide road maintenance on Silver
10 Lake Road, 37th Avenue N.E. and St. Anthony Boulevard, which are all
11 County State Aid roadways within the City' s boundaries.
12 Council Action
13 Motion by Makowske, seconded by Marks to adopt Resolution 87-027.
14 RESOLUTION 87-027
15 A RESOLUTION AUTHORIZING THE MAYOR AND
16 CITY MANAGER TO EXECUTE THE AGREEMENT BETWEEN
17 HENNEPIN COUNTY AND THE CITY OF ST. ANTHONY
18 FOR ROAD MAINTENANCE
W9 Motion carried unanimously.
20 Council Asks City Attorney to Research Pull Tab Issue Further
21 The Mayor indicated that after talking to the Lions Club Chairman, he
22 had concluded there would be no benefit discussing his
23 organization' s request to sell pull tabs in one of the City' s liquor
24 lounges without further research of the legal ramifications of
25 changing the City Ordinance to allow the games. He pointed out that
26 the City had applications from not only the Lions Club, but the St.
27 Anthony Boosters and the Animal Humane Society.
28 Mayor Sundland said the fact that St. Anthony seems to have become an
29 island surrounded by communities, including Minneapolis, who are
30 accepting pull tabs in their cities made it very difficult for the
31 City to refuse them because the City Liquor Manager has now told the
32 Council that, based on the competition around him, he did not
33 believe his liquor operation could survive as it is today without
34 permitting pull tabs.
35 Councilmember Marks indicated he was completely opposed to allowing
36 pull tabs in St. Anthony, perceiving no benefit to the City from
37 them. He pointed to an article in last Sunday' s Star Tribune which
38 showed the New Brighton Legion Club had actually only distributed 1-
�39 1/2% of the more than a million dollars they had taken in from pull
21
1 tab sales to charities and had used $47 ,717 of the $119, 003 profits
2 for their own building projects.
3 The Councilmember said he would be in no hurry to reconsider this
4 issue for that reason.
5 Councilmember Ranallo indicated he knew some of the information
6 contained in that particular article was inaccurate because he
7 personally knew of instances where between 40% and 45% of what is
8 taken in is distributed to charity.
9 The Councilmember said he questioned Mr. Nelson' s statement that the
10 City could charge the organization running the games $500 a week for
11 rent and said he wanted the City Attorney to research the issue of
12 pull tabs further to clear up questions which remain unanswered .
13 regarding the provisions of the state law regulating charitable
14 gambling.
15 Mr. Soth was asked to see if he could find answers to the following
16 questions:
17 *whether the pull tab operations could be limited to only
18 local organizations;
19
20 *what the "lawful purposes" are for which the profits can be
•21 used;
22 *whether the City can impose any restrictions on those distribu-
23 tions such as limiting them only to local causes;
24
25 *whether the City can prevent professional consultants from
26 running the operations;
27 *what controls would the City have over the operations in its
28 own facilities and how much return can the City derive from
29 those operations;
30 *what controls would the City have over pull tabs in other
31 businesses like bowling alleys, etc. ;
32 *by allowing even one operation in the City, does the City have
33 to automatically allow as many games as there are businesses to
34 let them in;
35 *what' s the strongest language the City can legally put in an
36 ordinance to reflect its position related to pull tabs;
37 *what age restrictions can be imposed on these games.
38 Mr. Childs said staff would sit down with Roger Franke to see how
39 many of these issues had already been addressed in other
�40 communities. Mr. Soth said he would first research the larger issue
22
r
1 of whether the City would have any controls once the first operation
2 is allowed, perceiving the rest of the answers would fall in place
3 after that question had been answered.
4 Mayor Sundland, the Councilmembers Ranallo and Makowske each
5 indicated they perceived the Council had to listen to the Liquor
6 Manager when he said he couldn' t operate a profitable business
7 without pull tabs.
8 ADJOURNMENT
9 Motion by Ranallo, seconded by Marks to adjourn the meeting at 10:05
10 P.M. for the St. Anthony Housing and Redevelopment Authority meeting
11 which followed at 10: 15 P.M.
12 Motion carried unanimously.
13 Respectfully submitted,
14 Helen Crowe, Secretary
�� -
15
6 Mayor
r
17 ATTEST:
18 •Ci y Clerk
19
20 :cjk
21
23