HomeMy WebLinkAboutCC MINUTES 06242003 Meeting Sheet
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Box: 34
Folder: CC MINUTES AND AGENDAS 2003
Document: CC MINUTES 06242003
1 CITY OF ST. ANTHONY
2
4) CITY COUNCIL REGULAR MEETING MINUTES
5 JUNE 24, 2003
6
7 CALL TO ORDER.
8 Mayor Hodson called the meeting to order at 7:00 p.m.
9
10 PLEDGE OF ALLEGIANCE.
11 Mayor Hodson invited the Council and audience to join him in the Pledge of Allegiance.
12
13 ROLL CALL.
14 Present: Mayor Hodson; Councilmembers Horst, Sparks, Thuesen, and Faust.
15 Absent: None.
16 Also Present: City Manager Mike Morrison and City Attorney Jerome Gilligan.
17
18 CONSIDERATION, DISCUSSION, AND POSSIBLE ACTION ON ALL OF THE FOLLOWING
19 ITEMS.
20
21 I. APPROVAL OF JUNE 24, 2003, CITY COUNCIL MEETING AGENDA.
22 Motion by Councilmember Thuesen to approve the City Council Meeting Agenda of June 24,
23 2003.
24
6 Motion carried unanimously.
27 II. PROCLAMATIONS AND RECOGNITIONS.
28 None.
29
30 1II. COMMUNITY FORUM.
31 Mayor Hodson invited residents to come forward at this time to address the Council on items that
32 were not on the regular agenda.
33
34 Hearing none, Mayor Hodson moved forward with the agenda.
35
36 IV. CONSENT AGENDA.
37
38 A. Approve June 10, 2003, Council meeting minutes.
39 B. Consider licenses and permits.
40 C. Consider payment of claims.
41 D. Consider the third reading of the following ordinances:
42 1. Ordinance 2003-003, re: Pawnbrokers.
43 2. Ordinance 2003-004, re: Secondhand dealers.
44 3. Ordinance 2003-005,re: Pawnbrokers and Secondhand Dealers as conditional
45 uses in commercial districts.
46 4. Ordinance 2003-006, re: Fees for investigation and licensing of Pawnbrokers and
47 Secondhand Dealers.
• 5. Ordinance 2003-007, re: Amend ordinance to allow adult day care centers as
4y conditional uses in C zoned districts.
' -
City Council Regular Meeting Minutes
June 24, 2003
Page 2
10 Councilmember Sparks requested the removal of Consent Agenda Item A.
3
4 Councilmember Sparks requested that page 4, lines 21-23, read as follows: Councilmember
5 Sparks stated that the City should establish a grant process to assist residents who cannot afford a
6 lump sum payment.
7
8 Councilmember Faust requested that on page 7, line 40, it should read "DSU" instead of`BSU."
9
10 Motion by Councilmember Faust to approve the Consent Agenda items.
11
12 Ayes—4, Nays—0, Abstention — 1 (Horst). Motion carried.
13
14 V. PUBLIC HEARINGS.
15 None.
16
17 VI. REPORTS FROM COMMISSIONS AND STAFF.
18 A. Planning Commission—June 17, 2003.
19 1. Resolution 03-046, re: Side yard variance request for 2813 — 36`}' Avenue NE.
20
21 Dave Stepan, property owner of the single-family residential lot at 2813 —36`h Avenue NE,
22 requested a side yard variance of 13 feet for a proposed distance of 32 feet from the curb for a
0 proposed addition.
25 Mr. Jim Hoska of the Planning Commission came forward and explained that Mr. Stepan was
26 building a 16' x 16' addition to his home. He stated that the ordinance currently in force would
27 not allow Mr. Stepan to build the addition without a variance being granted. Mr. Hoska added
28 that the Planning Commission had granted the requested variance, and he explained the reasons
29 for granting the variance.
30
31 Councilmember Faust noted that a similar variance had previously been granted in the same
32 vicinity. He stated that it had worked well, and no one looking at the property would know the
33 difference. Councilmember Faust stated he was in favor of granting the variance.
34
35 Councilmember Sparks asked questions about how the variance amount was calculated.
36 Discussion followed regarding the method for calculating the variance.
37
38 Motion by Councilmember Faust to adopt Resolution 03-046, approving a side yard variance
39 request for 2813 —36`h Avenue NE.
40
41 Motion carried unanimously.
42
43 VII. GENERAL POLICY BUSINESS OF THE COUNCIL.
44 A. Consider Resolution 03-045, re: Approval of a polling location change.
City Manager Mike Mornson explained that registered voters residing in Precinct 1, Hennepin
County of the City of St. Anthony, had voted at the St. Anthony Fire Station in previous
47 elections. Due to redevelopment of the area in which the Fire Station is located and its
City Council Regular Meeting Minutes
June 24, 2003
Page 3
subsequent relocation, a new location for said polling place needed to be established. After
consideration of available locations, it was deten-nined that the most favorable polling location
3 was Doran Hall, located in the St. Charles Borromeo Catholic Church, 2739 Stinson Boulevard.
4 Mr. Morrison added that the resolution needed approval, as the voters in Precinct 1 must be
5 notified of the change 60 days prior to an election.
6
7 Councilmember Thuesen asked if this was a long-term solution. Mr. Mornson responded that it
8 had the potential for being a long-term solution.
9
10 Motion by Councilmember Thuesen to adopt Resolution 03-045, approving a polling location
11 change.
12
13 Motion carried unanimously.
14
15 B. Consider Resolution 03-043, re: Approve decertification of Kenzie Terrace Tax
16 Increment Financing District.
17 City Attorney Jerome Gilligan recommended the City of St. Anthony take action to decertify the
18 Kenzie Terrace Tax Increment Finance District for the following reasons:
19
20 1. The bonds issued to finance the redevelopment would be callable February 1,
21 2004, and the City had adequate cash to pay the outstanding debt. Therefore, all
22 debt associated with the City Hall/Community Center Building would be retired.
In addition, by calling the bonds, interest expense of$235,315 would be saved.
2. Under the current law, other than for the City Hall/Community Center Bonds, the
25 increment from the District could not be used for other purposes outside of the
26 TIF District boundaries.
27 3. Decertifying the District would place the property back on the City's tax roles.
28 This would provide a significant increase to the City's tax capacity, and the City's
29 expenses would be spread across a larger tax base. Therefore, the tax burden
30 would decrease, and the impact of future debt would not be as significant.
31 4. Decertification of Kenzie would reduce the tax impact of the costs associated with
32 the building of the new Public Works and Fire Station buildings.
33
34 Motion by Councilmember Sparks to adopt Resolution 03-043, approving decertification of
35 Kenzie Terrace Tax Increment Financing District.
36
37 Discussion:
38 Mayor Hodson noted that the calling of the bonds would save the City approximately$235,000
39 in interest expense. He thanked the staff for taking care of the matter in such a wise fashion.
40
41 Motion carried unanimously.
42
43 C. Consider Ordinance 2003-008, re: CenterPoint Energy Minnegasco franchise renewal (Is'
44 reading).
Mr. Gilligan indicated that CenterPoint Energy Minnegasco had been working throughout the
metro area over the past 12 to 18 months renewing their franchise agreements with cities. The
47 existing franchise with St. Anthony would expire in the near future. The proposed ordinance had
City Council Regular Meeting Minutes
June 24, 2003
Page 4
been used in other cities and was derived from a model prepared by the League of Minnesota
Cities with certain modifications. The franchise ordinance gave CenterPoint Energy Minnegasco
3 a nonexclusive right to use public grounds to distribute gas to customers within the City.
4
5 Mr. Gilligan added that the franchise ordinance did not impose a franchise fee; however, it did
6 give the City Council the ability to impose said fee in the future should it choose to do so. He
7 added that, if the City chose to impose the franchise fee, like fees would need to be charged to
8 any other energy providers in the City to make the "playing field" level.
9
10 Motion by Councilmember Faust to approve First Reading of Ordinance 2003-008 re:
11 CenterPoint Energy Minnegasco franchise renewal.
12
13 Discussion:
14 Mayor Hodson asked if most Cities put together a franchise fee and, if so, by what process was
15 the fee determined.
16
17 Connie Hargest, Senior Specialist in Local Government Relations at CenterPoint Energy, came
18 forward to address the Council. She stated that many of the cities in the first-ring suburbs were
19 looking at franchise fees. She added that the franchise fees were an option for cities under State
20 statute. Ms. Hargest stated that she would appreciate if the City would work with CenterPoint
21 Energy if they decided to pursue a franchise fee, as CenterPoint Energy had experience in this
22 area.
0 Councilmember Faust commented that he did not know that the City was planning to implement
25 the franchise fee. At this point, the goal was to clean up some of the ordinances.
26
27 Councilmember Horst suggested discussing this issue at a future work session.
28
29 Ms. Hargest noted that the franchise agreement was a 20-year working agreement that allowed
30 CenterPoint Energy to operate within the City.
31
32 Motion carried unanimously.
33
34 D. Consider Resolution 03-044, re: Approve application for a grant through Livable
35 Communities.
36 City Manager Mornson indicated that the Metropolitan Council Livable Communities
37 Demonstration Account was designed to fund a variety of community development projects
38 through loans or grants that linked development and redevelopment with transit, linked
39 affordable housing with employment growth areas, intensified land use that led to more compact
40 development/redevelopment, encouraged public infrastructure that connected urban and
41 suburban communities, attracted sector investment or provided employment opportunities for
42 residents.
43
44 Mr. Morrison added that, for the 2003 funding round, staff wished to submit an application for an
$850,000 implementation grant that would be utilized for development of a central park with
16 lighting, kiosks, benches, etc., as well as improvements to the storm water and infiltration ponds.
47 If awarded funds, the City would be able to assure that the public park would be developed as
City Council Regular Meeting Minutes
June 24, 2003
Page 5
originally envisioned by the City Council and Task Force. In addition, the existing water quality
issues could be adequately addressed.
3
4 It was noted that application would be submitted to The Metropolitan Council on June 30, 2003,
5 and funds would be awarded in November.
6
7 Mr. Morrison stated that the City had applied for a grant last year, and the grant had been denied.
8 He said that this year representatives from the City had met with Metropolitan Council staff
9 several times and, as a result, were asking for the grant of$850,000 to help put a park system
10 into Apache Plaza. Mr. Mornson added that he had just been advised that the City had been
11 awarded an environmental grant in the amount of$585,000 that would be designated for asbestos
12 abatement at Apache Plaza. The Council applauded Ms. Kvilvang's efforts in applying for and
13 receiving the environmental grant on behalf of the City.
14
15 Motion by Councilmember Faust to adopt Resolution 03-044, authorizing application for a
16 development grant through the Livable Communities Demonstration Program.
17
18 Motion carried unanimously.
19
20 E. Consider Resolution 03-047, re: Approve redevelopment option for Stonehouse/SAV 1
21 and Fire Station site.
22 Stacie Kvilvang, Ehlers and Associates, came forward to address the Council. She noted that on
December 12, 2002, Amcon Construction submitted a proposal to the City to redevelop the
16 Stonehouse/SAV 1 and Fire Station site. Amcon submitted four redevelopment options for the
25 Redevelopment Site to the City for review and consideration. After review of the options, it was
26 recommended that the City Council approve the development option that consisted of the City
27 retaining ownership of a portion of the land, owning its own Municipal Liquor Store and selling
28 the remaining land to the Developer for development of a restaurant pad and additional retail
29 space. Ms. Kvilvang explained how this option brought the most revenue into the City's general
30 fund. She also listed the future steps that would be required to complete the project. She added
31 that on July 22, 2003, the Council would decide how the financing would be accomplished.
32
33 Councilmember Faust asked if the final numbers would be available in the final Development
34 Agreement. Ms. Kvilvang responded that they would. Councilmember Faust asked who would
35 "eat the cost" if unexpected expenses were uncovered. Ms. Kvilvang stated that the numbers in
36 the final Development Agreement would include any unexpected expenses, as those numbers
37 would be known by that time.
38
39 Councilmember Thuesen asked City Manager Morrison if he was comfortable with the potential
40 options available in a situation where the land sale receipts were not adequate to finance the
41 liquor store. Mr. Morrison responded that option #1, financing the remaining balance from
42 internal City funds, would probably be recommended. Councilmember Thuesen stated that it
43 appeared a large portion would be financed through the sale.
44
Councilmember Horst asked if Amcon agreed with the option the City has chosen. Ms.
16 Kvilvang stated that they did.
47
City Council Regular Meeting Minutes
June 24, 2003
Page 6
l Motion by Councilmember Thuesen to adopt Resolution 03-047, approving redevelopment
0 option for the Stonehouse/SAV 1 and Fire Station site.
4 Motion carried unanimously.
5
6 VIII. REPORTS FROM CITY MANAGER AND COUNCILMEMBERS.
7 City Manager Morrison discussed the"Future Council Agenda Items" distributed to the Council.
8 He noted the following items:
9 ■ Six requests for planning review at the Council meeting on July 22, 2003.
10 ■ Work session with the School Board on July 29, 2003, which would be held at the new
11 Central Park Pavilion.
12 ■ Tax increment public hearing for Apache Plaza was deferred until August 26, 2003.
13 ■ Bid packages for the public works/fire facilities would be considered at the August 26, 2003,
14 meeting.
15 ■ Closed on Christian property; however, the residents of the homes have a lease with the City
16 until July 30, 2003. One of the City's obligations is to abate asbestos in the two homes,
17 which would be done the first week of August 2003. Bid packages were due August 12.
18 • Public hearing for conditional use permit and variances for the fire station and setback
19 variances for the public works building would be held on July 15, 2003.
20 ■ Construction Committee picked a groundbreaking date, for both buildings, of September 9,
21 2003, at 5:00 p.m. Refreshments would be served after the groundbreaking.
22 ■ Stonehouse auction was held on June 19, 2003. The early numbers showed that the City
23 netted $27,000.
■ Meetings being held with County Board regarding easement issue, which is tentatively
0 scheduled for County Board approval at an August 8, 2003, meeting.
26
27 Mr. Morrison stated that Mayor Hodson had sent a letter to the utility company regarding an
28 extra 1/2% sales tax. He noted that CenterPoint Energy had responded immediately.
29
30 Councilmember Horst had no report.
31
32 Councilmember Sparks asked Mr. Morrison what was happening with the trees in the park. She
33 stated that they should have been in by the beginning of June. She also asked how the grass
34 looked. Mr. Morrison responded that there had not been any changes since the meeting with the
35 Park Commission. He stated that everything was on schedule.
36
37 Councilmember Thuesen asked Mr. Morrison about the grass at Central Park. He wondered if it
38 was the contractor who was putting in the grass and maintaining it. He stated that he had talked
39 with a resident who felt the grass should be establishing better and quicker. He asked if the
40 Council should explore obtaining the services of an "expert."
41
42 Councilmember Sparks responded that the City's consultant was supposedly an expert. She
43 stated there had been problems with the soil because it was sandy. The sandy soil was causing
44 the grass to take hold at a slower pace. She added that the sandy soil was chosen because of
45 drainage issues. Councilmember Sparks noted that the people who designed the park were not
16 taking care of growing the grass, as another entity was responsible for the turf management.
i
City Council Regular Meeting Minutes
June 24, 2003
Page 7
Councilmember Faust indicated that on June 13, 2003, Mayor Hodson, Mr. Morrison and he had
met at Ehlers to finalize the report on the Blue Ribbon Panel to bring to the Council. He also
3 stated that he had attended the League of Minnesota Cities' meeting June 18 to 20, 2003. He
4 listed some of the speakers at the meeting and felt there had been a very good interchange about
5 how cities were working. He noted there had been editorials in the morning papers that stemmed
6 from that interchange.
7
8 Councilmember Faust stated that, later in the meeting, the mayor of Washington D.C. had been
9 the speaker. He felt the mayor's presentation was very enlightening and positive. He indicated
10 that a synopsis of proposed laws and laws that had passed this year, as they pertained to cities,
11 would be received in the mail. He encouraged those who could to attend the League conference,
12 as St. Anthony could emulate some of the things other cities were doing.
13
14 Councilmember Sparks noted that the Mississippi Watershed Management Organization would
15 be having a public hearing in St. Anthony on July 17, 2003. They would be presenting the
16 capital improvement projects slated for the upcoming budget year. She also indicated that the
17 Village Fest, planned for August 2, 2003, at the Salvation Army camp, was moving forward.
18
19 Councilmember Faust indicated that the League of Minnesota Cities would be changing their
20 annual conference from June to October, which hopefully would allow more opportunity for
21 attendance.
22
Mayor Hodson noted that he had received a call from one of the City's state representatives. She
suggested that she could give an update on what was happening at the Capitol. Councilmember
25 Faust asked if a meeting should be planned. Mayor Hodson asked Mr. Mornson if he thought the
26 meeting could be scheduled. Mr. Mornson responded that he would try to schedule a meeting
27 sometime in August. He thought that would be a good time, as the City would know the impact
28 of the budget changes by that time. He added that it would also allow the City to keep a pulse on
29 such issues as wine in grocery stores, elimination of enterprise funds, etc.
30
31 Mr. Mornson noted that on Monday, June 23, 2003, a letter had been sent to Congressman Sabo
32 from Mayor Hodson inviting him to the Chamber golf tournament. Mr. Mornson stated that
33 Congressman Sabo had called personally and indicated that he would like to attend.
34
35 City Attorney Gilligan noted that the legislature had scheduled the bar closing time at 2:00 a.m.
36 He added that, if the City did not take any action, restaurants could remain open until 2:00 a.m.
37 It was the Council's responsibility to act if they wanted to keep the closing time at 1:00 a.m.
38
39 Councilmember Sparks indicated she would like to keep the closing time at 1:00 a.m.
40
41 City Manager Mornson stated that the City was in a unique position because it did not have any
42 restaurants. He noted that the tone could be set now, and any restaurants that came into the City
43 would know the rules.
44
Councilmember Sparks asked if this should be handled before the liquor licenses were issued.
16 Mr. Gilligan responded that he would recommend acting before the liquor licenses were issued.
City Council Regular Meeting Minutes
June 24, 2003
Page 8
Mr. Mornson noted that, according to Amcon, the restaurant would be applying for its liquor
license in August.
3
4 Councilmember Faust stated that, if the City were preemptive and proactive and kept the closing
5 time at 1:00 a.m., the ordinance could always be amended at a later date if the City's restaurants
6 were at a competitive disadvantage. He added that he was concerned about the competitive
7 issue, but he was also concerned about the community. Mr. Gilligan responded that he thought
8 that was a wise way of handling the situation because it gave the City control.
9
10 Mayor Hodson indicated that he had mixed emotions regarding the issue. He stated he saw it as
11 the City squelching the time businesses were open, and he had not seen any proof that a later
12 closing time would cause problems.
13
14 Councilmember Thuesen stated that he was also struggling with the issue. He questioned
15 whether, from a competitive point of view, staying open until 2:00 a.m. would help the
16 businesses. He noted that he needed further information to form a final opinion. He felt the
17 Council should check documentation from other cities and states to determine if there were
18 negative effects.
19
20 Councilmember Sparks noted that the Council did not have to make a decision immediately;
21 however, they needed to agree to vote on the issue. Councilmember Faust requested that an
22 ordinance be brought before the Council for their vote.
0 Councilmember Sparks asked if a sign needed to be posted regarding the carrying of guns. Mr.
25 Gilligan responded that the City could not post signs because it was not a private entity. Mr.
26 Mornson added that, because of the school, a sign would be posted in City Hall.
27
28 IX. INFORMATION AND ANNOUNCEMENTS.
29 None.
30
31 X. MISCELLANEOUS INFORMATIONAL DOCUMENTS.
32 None.
33
34 XI. ADJOURNMENT.
35 Mayor Hodson adjourned the meeting at 8:00 p.m.
36
37
38 Respectfully submitted,
39
40
41 Marjorie R. Jenkins
42 TimeSaver Off Site Secretarial, Inc. I\
43
44 � ayor
16 ATTEST:
City Clerk