HomeMy WebLinkAboutCC MINUTES 020820051 CITY OF ST. ANTHONY
2 CITY COUNCIL REGULAR MEETING MINUTES
FEBRUARY 8, 2005
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5 CALL TO ORDER.
6 Mayor Faust called the meeting to order at 7:00 p.m.
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8 PLEDGE OF ALLEGIANCE.
9 Mayor Faust invited the Council and audience to join him in the Pledge of Allegiance.
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I 1 ROLL CALL.
12 Present: Mayor Faust; Councilmembers Stille, Thuesen, and Gray.
13 Absent: Councilmember Horst.
14 Also Present: City Manager Mike Mornson and City Attorney Jerome Gilligan.
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17 CONSIDERATION, DISCUSSION, AND POSSIBLE ACTION ON ALL OF THE FOLLOWING
18 ITEMS.
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20 I. APPROVAL OF FEBRUARY 8, 2005 CITY COUNCIL MEETING AGENDA.
21 Motion by Councilmember Stille, seconded by Councilmember Gray, to approve the City
22 Council Meeting Agenda of February 8, 2005.
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24 Motion carried unanimously.
�0 II. PROCLAMATIONS AND RECOGNITIONS.
27 None.
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29 III. CONSENT AGENDA.
30 A. Consider January 25, 2005 Council meeting minutes.
31 B. Consider licenses and permits.
32 C. Consider payment of claims.
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34 Councilmember Thuesen requested the removal of Consent Agenda Item A for a separate vote.
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36 Motion by Councilmember Thuesen, seconded by Councilmember Gray, to approve the Consent
37 Agenda items B and C.
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39 Motion carried unanimously.
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41 Councilmember Thuesen requested to exclude Item A from the Consent Agenda. He noted the
42 following correction to be made in the January 25, 2005 Council meeting minutes: Page 4, line
43 4, change the word "councilmembers" to "community members ".
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45 Motion by Councilmember Thuesen, seconded by Councilmember Stille, to approve Consent
46 Agenda item A, subject to the above changes.
Motion carried unanimously.
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City Council Regular Meeting Minutes
February 8, 2005
Page 2
IV. PUBLIC HEARINGS. TODD HUBMER, WSB PRESENTING
A. Resolution 05 -22; Ordering 2005 Street Improvements.
3 Mayor Faust opened the public hearing at 7:05 p.m.
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5 Mr. Hubmer gave an overview of the street improvements and the method of assessments. He
6 reviewed which streets are being considered for improvements. He noted the sanitary sewer and
7 stone sewer will be replaced in each of the streets. All the water mains will be replaced as well
8 as new fire hydrants installed within the proposed improvement area. The anticipated cost is
9 $1,850,000. From this, $1.7 million will be paid for through the public utility bond. There will
10 be $150,000 paid out of storm sewer utility. The amount to be assessed to the residents is
11 $341,000. He said that public improvement bonds will be issued and the interest rate will be
12 calculated at 2% over the city bond rate at the time of assessment per annum. He noted the
13 initial assessment amounts have been mailed to the residents. The payment schedule will be over
14 a period of 15 years. The first installment will be payable with general taxes for the levy year of
15 2005, collectible in 2006. If the entire assessment is paid by November 30 of the assessment
16 year, no interest will be charged.
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18 Councilmember Stille pointed out that Resolution 05 -023 states the interest is 2% over the
19 "prime" rate and suggested that needs to be changed. Mr. Hubmer responded the wording
20 should be changed to "city bond ".
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22 Dave Youngman, 2501 33rd Avenue NE, stated his property is on the corner of 33'd and
^� Roosevelt. He said he did assume they would need to pay assessments for the side footages. He
questioned how the calculations were made for the footae he was assessed on. He asked why
25 he is being assessed differently than others living on 33' Avenue. He also questioned whether
26 the 6% interest rate mentioned will change since the bonds have not yet been issued. He said he
27 thought that before a public hearing was held, final figures should be in so residents can plan on
28 those figures. He also requested a review of his assessment, and that it take place with him in
29 attendance.
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31 Mr. Hubmer explained that the project is only on one side of Mr. Youngman's corner lot. The
32 assessment policy is that the city assesses 100% on the short side, which is considered the front
33 side. In Mr. Youngman's case, he has 100 feet of frontage on Roosevelt, and 150 feet on 33'a
34 making the Roosevelt side the short side. The city will assess 100% of the side along Roosevelt.
35 Mr. Hubmer further explained that Mr. Youngman's neighbor's parcel has the long side along
36 Roosevelt. One -third of the long side is assessed, and in this case it is 50 feet. He explained this
37 is the discrepancy Mr. Youngman sees in the assessment of his property versus his neighbor's.
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39 Mayor Faust asked Mr. Hubmer to explain the policy if the street improvements were on 33'd
40 Avenue, and not on Roosevelt. Mr. Hubmer stated that Mr. Youngman would then pay one -third
41 of the footage on 33'a Avenue and his neighbor would pay 100% of the front footage.
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43 Mr. Youngman clarified that someone facing Roosevelt, even though they have more frontage
44 than he does, would only be assessed 50 feet for the improvements. Mr. Hubmer answered in the
45 affirmative and said under the current assessment policy, the shortest dimension on the street is
considered frontage.
City Council Regular Meeting Minutes
February 8, 2005
Page 3
Mayor Faust further explained that corner lots must be considered differently in an assessment
policy. This policy was set many years ago. Though this seems like an aberration, it is not.
3 When the other street is improved on a corner lot, the assessment will be less. It is the fairest
4 way possible to treat corner lots.
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Walter Leba, 3317 Roosevelt Ct NE, stated he has 47 feet of frontage, and is being assessed for
111 feet of frontage. Mr. Hubmer explained that since he lives on a cul -de -sac, the calculations
according to the assessment policy are more complicated. The total area of the lot in square
footage is divided by the average of two sides. In his case, this comes out to be 111 feet. He
emphasized that the calculations for different - shaped lots is the method the city used to try to
equalize them with the other lots in the city.
Mr. Leba suggested each resident in the area of street improvements be assessed the same
amount. Mayor Faust stressed the policy was created for equality, and follows typical appraisal
practices in real estate. He noted that a cul -de -sac lot may have more footage than what the pure
footage indicates. The front footage must have a factor in order to square the lot off so it would
be similar to a rectangular lot. If everyone paid the same, then those above or below the average
may not be pleased. He stated the city will follow the current policy until a new policy is
written.
Mayor Faust closed the public hearing at 7:28 p.m.
Mayor Faust noted there is a procedure to follow and that is why the bond rate is not known. He
explained the project schedule is that the bids have been received and will be awarded in March.
The bonds will be sold in the next couple of months and at that time, the interest rates will be
known. The assessment was based on the bids received. Construction will likely be in May
when the weather permits. He noted the residents may see Minnegasco in April in conjunction
with the city's project. The street improvements will be divided into two stages. The first stage
includes 315` and Roosevelt. After this part is complete, the second stage will begin.
Motion by Councilmember Stille, seconded by Councilmember Gray, to approve Resolution 05-
22, Ordering 2005 Street Improvements.
Motion carried unanimously.
B. Resolution 05 -23, Adopt and Confirm Assessments for 2005 Street Improvements.
Motion by Councilmember Stille, seconded by Councilmember Thuesen, to adopt Resolution 05-
23, Adopting and Confirming Assessments for 2005 Street and Utility Improvements subject to
changing Item #3 to read "2% over the true interest cost" rather than 2% over the prime rate.
REPORTS FROM
None.
AND STAFF.
Motion carried unanimously.
City Council Regular Meeting Minutes
February 8, 2005
Page 4
VI. GENERAL POLICY BUSINESS OF THE COUNCIL.
A. Consider Resolution 05 -024• Minnesota Department of Transportation Contracts for 39`"
3 Avenue Phase III; Todd Hubmer presenting
4 Mr. Hubmer reviewed the resolution with the Council and indicated that the contract lists the
5 terms of the agreement. There will be a similar document as construction nears for the Council's
6 consideration.
8 Motion by Councilmember Gray, seconded by Councilmember Thuesen, to adopt Resolution 05-
9 024, Appointing the Commissioner of Transportation as Agent of the City to Accept Federal Aid
10 Funds.
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12 Motion carried unanimously.
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14 B. Consider Resolution 05 -025, Calling for Bond Sale, Stacie Kvilvang; Ehlers &
15 Associates presenting
16 Ms. Kvilvang reviewed the pre -sale report. She said approximately $125,000 will need to be
17 levied annually. The city will levy $341,000 of the special assessments for the project to
18 benefiting property owners in the years 2005 through 2019, which will be collected 2006 through
19 2020. The rate is 2% over the true interest cost of the bonds. The city will provide equity to the
20 project of approximately $157,000 from the city's storm water fund. An official statement will
21 be mailed on February 24 if the city chooses approve the sale. The bonds will be rated on March
22 1. She noted the closing will be the first part of May in order to make the funds available for the
'Z project.
25 Councilmember Stille asked how the rates have been. Ms. Kvilvang answered the rates have
26 been in the neighborhood of 4% and 5 %.
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28 Motion by Councilmember Thuesen, seconded by Councilmember Gray, to adopt Resolution 05-
29 025, Providing for the Sale of $1,690,000 General Obligation Improvement Bonds Series 2005A.
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31 Motion carried unanimously.
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33 Mayor Faust noted the motion that was made to authorize street improvements must be made
34 before the motion can be made to approve the bond sale. Therefore, the interest rates cannot be
35 known until the project has been approved by the city. He explained these are projects that need
36 to keep going on; though they are painful for the residents. He noted the city will assist the
37 residents as much as possible and invited any residents to call city hall with concerns and
38 problems.
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40 A citizen asked if the assessment could be higher or lower than what was advised. City Attorney
41 Mr. Gilligan answered the interest rate could change, but the principal will be the same as was
42 notified in the assessment.
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44 Councilmember Stille explained that a 1 % increase in interest rates would translate to about $2
45 per month if financing the assessments.
City Council Regular Meeting Minutes
February 8, 2005
Page 5
C. Consider Ordinance 05 -001, 200.12 — Mayor and Councilmembers Salaries — 1"
Reading.
3 Mayor Faust reviewed the ordinance with the Council and indicated that this was discussed in
4 the goal setting retreat held recently.
Motion by Councilmember Thuesen, seconded by Councilmember Gray, to approve the first
reading of Ordinance 200.12; Mayor and Councilmembers Salaries to $550.00 and $440.00
respectively. In addition, Subd. 2 Mayor pro tern with the salary of $495.00.
10 Motion carried unanimously.
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12 D. Consider Ordinance 05 -002; 305.04 & 305.07 — Planning Commission Compensation and
13 Planning Commission By -laws, respectively. 1" Reading.
14 Mayor Faust said this makes the by -laws codified so they have the strength after turnover of
15 commissioners. Also noted the $25 month.
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17 Motion by Councilmember Stille, seconded by Councilmember Gray, to approve the first reading
18 of Ordinance 305.04; Compensation; to include that commissioners would receive $25.00 per
19 month. This amendment would take effect January 1, 2005. Also, adding Ordinance 305.07;
20 Planning Commission By -laws.
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22 Motion carried unanimously.
24 E. Consider Ordinance 05 -003; 306.07 — Park Commission By -laws. Vt Reading.
25 Mayor Faust stated this codifies the By -laws into the City Ordinance.
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27 Councilmember Stille said there are five members currently on the Parks Commission. He
28 questioned whether a 4/5 majority is needed to transact business and whether the number of
29 members has changed.
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31 City Manager Mr. Morrison answered there has been discussion of reducing the number of
32 members, though it is not on the amendment being considered.
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34 Motion by Councilmember Thuesen, seconded by Councilmember Gray, to approve the first
35 reading of Ordinance 306.07; Park Commission By -laws.
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37 Motion carried unanimously.
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39 F. Consider Ordinance 05 -004; Water Rate Increase — 15` Reading.
40 Mr. Mornson explained this is a recommendation from the Finance and Public Works
41 Department. He noted the water rates have not been adjusted for changes in annual operation
42 costs since 2003. Based on the proposed 2005 operations budget, and the anticipation of
43 additional non - recurring maintenance items, it is proposed to increase water rates in 2005 to
44 $1.84 per 100 cubic feet. Some significant improvements have been made to the water and
sewer plant. To provide the necessary funding for water and sewer maintenance, it is proposed
1+0 that the non - recurring maintenance portion of water rates be increased by $.05 in each of the next
City Council Regular Meeting Minutes
February 8,2005
Page 6
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three years. The improvements to be made are not projects with an immediate need for finding
but will be made over time as funding becomes available.
Motion by Councilmember Stille, seconded by Councilmember Thuesen, to amend ordinance
Section 610 — Water, Subdivision 9610.02 to reflect a 2005 water rate of $1.83 per 100 cubic feet
and to approve language to the ordinance to increase water rates in 2006 and 2007 by $0.05 for
non - recurring maintenance funding.
Motion carried unanimously.
G. Consider Resolution 05 -026; Appoint Planning Commission Member.
Mayor Faust indicated that interviews were conducted prior to the Council meeting for a
Planning Commissioner member. He thanked those that interviewed.
Motion by Councilmember Stille, seconded by Councilmember Gray, to adopt Resolution 05-
026; Appointment of Heath Galyon to the Planning Commission.
Motion carried unanimously.
REPORTS FROM CITY MANAGER AND COUNCILMEMBERS.
City Manager Morrison reported the following:
• February 15 Planning Commission meeting has been cancelled due to the fact that several
projects are not ready for presentation. Thus, there are no issues to consider at the
planned February 22 Council meeting, except for the second readings of the ordinances
read at this meeting. He noted there will be many events in the next few months. He
proposed the possibility of canceling the next Council meeting of February 22. The
Council agreed.
• Requests have been received to complete a citywide automated water reading installation.
• Considering presenting anew financial plan for 2006.
Councilmember Thuesen had no report.
Councilmember Gray stated he attended the Leadership Conference by the Minnesota League of
Cities for newly elected officials recently. He commented it was good to network with elected
officials from other communities.
Councilmember Stille said he attended a Kiwanis meeting on Jan. 26 where Len Pratt was the
speaker. He spoke to the issue of the residential component of Silver Lake Village. He
mentioned the building under construction that could possibly be medical in nature.
Councilmember Stille said he attended the Family Services Collaborative, funded by Hennepin
County, on Jan. 27. This program promotes programs to help families and children excel in
school systems. He stated he attended a program at Ehlers on February 3 and heard Mr.
Morrison speak regarding the development of Silver Lake Village. This put the project into
perspective of how complicated the development was. He also noted that on February 2 was the
last Blue Ribbon Finance Committee meeting with the school district. A menu of options were
given to the school board to reduce expenses or raise revenues. He pointed out that 40% of the
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City Council Regular Meeting Minutes
February 8, 2005
Page 7
students are open enrolled and the operating levy does not follow those students. He gave the
email address for Jackie Rolfs if anyone would like further information, Jrolfs(a)CS.co .
Mayor Faust indicated that he also attended the Leadership Conference by the League of
Minnesota Cities on February 2. He noted he attended the State of the Region conference on
January 31 with the address given by Peter Bell, Council Chair. He said he attended the Blue
Ribbon meeting on the 2nd of February and the Finance Seminar on February 3 and 4. He
commented the City of St. Anthony was brought up several times as an example of how to do
city projects. He also indicated that there was a discussion at the capital of the possibility of
selling wine in grocery stores. He said the City Manager and Liquor Manager attended. The
decision was made that to keep the sales separate in order to make it more difficult for minors to
obtain it.
VIII. COMMUNITY FORUM.
Mayor Faust invited residents to come forward at this time and address the Council on items that
are not on the regular agenda.
Hearing none, Mayor Faust moved forward with the agenda.
IX. INFORMATION AND ANNOUNCEMENTS.
Mayor Faust read a letter received from the Kensington Condos that thanked the Fire Department
for their kindness and diligence shown in the recent water emergency, which was signed by the
Board of Directors.
X. MISCELLANEOUS INFORMATIONAL DOCUMENTS.
None.
XI. ADJOURNMENT.
The meeting was adjourned at 8:08 by consensus.
Respectfully submitted,
Chris Moksnes
TimeSaver Off Site Secretarial, Inc.
40 ATTEST
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rl ROOM', J011
M yor
Motion carried unanimously.