HomeMy WebLinkAbout2016.04.04 CC Minutes MINUTES FOR HUGO CITY COUNCIL MEETING ON APRIL 4, 2016
Call to Order
Acting Mayor Petryk called the meeting to order at 7:02 p.m.
PRESENT: Haas, Klein, Miron, Petryk
ABSENT: Weidt
ALSO PRESENT: City Administrator Bryan Bear, City Engineer Jay Kennedy, City Attorney
Dave Snyder, Community Development Assistant Rachel Leitz, and City Clerk Michele Lindau
Approval of the Minutes for the March 21, 2016 City Council Meeting
Klein made motion, Miron seconded, to approve the minutes for the March 21, 2016 meeting as
presented.
All Ayes. Motion carried.
Approval of the Agenda
Petryk made motion, Klein seconded, to approve the agenda as amended by adding a moment of
silence for Washington County Deputy Bill Lake and an update on Metropolitan Council
Stormwater Grants.
All Ayes. Motion carried.
Moment of silence for Washington County Deputy Bill Lake
Acting Mayor Petryk called for a moment of silence for Washington County Deputy Bill Lake
who passed away on March 26, 2016. He was 50 years old.
Approve Hugo Good Neighbor Days Festival and Temporary Liquor License—Lions Chair
Dan Balthazor
The Hugo Good Neighbor Days 401h Anniversary Festival will be held on Thursday, June 9th -
Sunday, June 12th. The Hugo Lions Club GND Chair Dan Balthazor, 14208 Geneva Way,
explained some of the events this year will include a parade, music, food, beer garden, carnival
rides and a vendor area. They are also adding a color run, possibly a trout pond, and a heritage
area to highlight City businesses to get people involved with what is going on in Hugo. Tracy
Thomas, 4342 Victor Path, provided dates and times. Dan requested the Council co-sponsor the
event by waiving the Special Event Permit and providing police protection for the event, as in
the past. The Lions also were requesting approval of a temporary on-sale Liquor License for the
event.
Hugo City Council Meeting Minutes for April 4,2016
Page 4 of 5
Miron made motion, Klein seconded, to approve waving the Special Event Permit, providing
police protection for the event, and approve the Temporary Liquor License.
All Ayes. Motion carried.
Approve Flips 5K Color Run Special Event Permit—Event Coordinators Jill Engwer and
Sharon Hanifl-Lee
Flips Gymnastics Booster Club has applied for a Special Event Permit to hold a 5K Color Run
on Saturday, June 11, 2016. This event will be held prior to the Good Neighbor Days Parade that
morning, and will begin and end at Lions Park. City staff and the GND committee have worked
with Flips color run coordinators Jill Engwer and Sharon Hanifl-Lee on the details of the event.
Jill Engwer, 4784 Sharon Lane, White Bear Lake, explained the color run will raise funds for the
booster club while getting families and kids outside and active. There is a website for
registrations, and the teams of girls belong to Flips will work on getting people to attend the
event.
Petryk made motion, Haas seconded, to approve the Special Event Permit for the Flips
Gymnastics Club 5K Color Run on Saturday, June 11, 2016.
All Ayes. Motion carried.
Forest Lake YMCA -Executive Director Sharna Braucks and Hugo Parks Commissioner
Ranell Tennyson
At its March 7, 2016 meeting, Council approved the appointment of Ranell Tennyson as the City
of Hugo representative to serve on the YMCA Board of Directors. Ranell and Executive
Director Shama Braucks were in attendance to provide the Council information on the new
Forest Lake YMCA, located west of the Washington County Headwaters Service Center.
Shama shared information on the evolution of the YMCA, which started in London, England and
came to MN in 1856. The YMCA is a global and national organization, and the Forest Lake
YMCA is part of a 22-branch association. She explained their mission and vision to help all.
As a nonprofit, they make sure everyone is able to participate by offering scholarships. The
YMCA offers hundreds of programs, including a youth in government and other leadership
programs. Shama explained the Forest Lake YMCA broke ground on July 2015 on land donated
by the City of Forest Lake, and a Grand Opening will be held in June. There are over 120
positions to be filled, and there is a board of 27 community members. Once the facility opens,
they will be reaching out to be in partnership with cities and other non-profit community
organizations. To get more information, visit their website at www.ymcatwincities.org,
FaceBook, or call the Forest Lake or Lino Lake location. There is now a construction trailer on
site and it will be staffed regular hours.
The Council thanked Shama for presenting the information to Council and Ranell for
volunteering to be on the Board.
Hugo City Council Meeting Minutes for April 4,2016
Page 4 of 5
2015 Building Department Annual Report—Community Development Assistant Rachel
Leitz
Annually, a report is prepared on the years activities of the Community Development and
Building Department. Community Development Assistant Rachel Leitz presented the 2015
annual report to Council. Planning application and building permits have been steadily
increasing over the last few years with 67 permits issued in 2015. There were 3,179 inspections
done with approximately 16 % of them being in Scandia, Lino Lakes, and Lake Elmo. There are
currently a total 309 lots available to be built on and many more will be created in 2016 due to
new developments in progress. There are two new commercial developments coming: Park
Dental and Growing Generations Daycare. Foreclosures have declined since 2010 and equal less
than 1% of available homes in Hugo. Residential construction remains stable with many new
residential projects, including one with a water reuse system, Clearwater Cove.
Approval of the Consent Agenda
Miron made motion, Haas seconded, to approve the following Consent Agenda:
1. Approval of Claims
2. Approve Escrow Agreement for Hugo Daycare Properties, LLC for Wetland Banking
All Ayes. Motion carried.
Approval of Claims
Adoption of the Consent Agenda approved the Claims Roster as presented.
Approve Escrow Agreement for Hugo Daycare Properties, LLC for Wetland Banking
The City Council approved the Growing Generations Daycare Site Plan and Frenchman Place 3rd
Addition Final Plat at its March 7, 2016, meeting. This included approval of the wetland
replacement plan to fill 3,680 square feet of wetland associated with the construction of the
parking lot for the daycare facility on property located at 14689 Victor Hugo Boulevard. The
applicant is proposing to use project specific wetland credits generated by the Rosemary Way
wetland mitigation completed in 2014. These credits are available for projects within the
Frenchman Place development; however, the credits are not yet certified for use. The wetland
credits are planned to be certified after monitoring over five years. WCA rules allow the LGU to
approve wetland replacements in advance of the credits being available when an escrow is
provided to the City to be used to purchase wetland bank credits in the event the credits are not
certified. The applicant is required to provide an escrow to the City in the amount of$10,150.00
as a condition of approval for the development. The applicant has provided a draft escrow
agreement outlining that the escrow will be used to purchase wetland credits from a wetland
bank, if the project specific wetland credits are not certified. Adoption of the Consent Agenda
approved the Escrow Agreement between Hugo Daycare Properties LLC, Team Two
Investments, LLC, and the City of Hugo.
Hugo City Council Meeting Minutes for April 4,2016
Page 4 of 5
Approve Award of Bid for 2016 Dust Control Proiect
At its February 1, 2016 meeting, the Hugo City Council authorized City staff to advertise and
receive bids for the 2016 dust control project. Bids were received and opened on March 30th for
this contract. Public Works Director Scott Anderson explained the City received two bids with
the low bid being Envirotech at $.885/gallon. This bid is $.07 less than last year. Total contract
cost will be approximately$173,000.
Haas made motion, Klein seconded to approve a 2016 dust control contract with Envirotech to
apply calcium chloride at $.885/gallon.
All Ayes. Motion carried.
Approve Award of Bid for 2016 Seal Coating Project
At its February 2, 2016 meeting, the Hugo City Council authorized City staff to advertise and
receive bids for the 2016 seal coat project. Bids were received and opened on March 30th for this
contract. Public Works Director Scott Anderson explained the City received two bids with the
low bidder being Pearson Brother, Inc., at $211,803.95
Klein made motion, Miron seconded, to approve the 2016 seal coat contract with Pearson
Brothers, Inc. for$211,803.95.
All Ayes. Motion carried.
Review of Quotes for 2016 Gravel Road Resurfacing Project
The Public Works Department solicited quotes for the 2016 gravel road resurfacing project.
Public Works Director Scott Anderson explained that they acknowledge the high clay gravel
specifications last year made roads too muddy after rain. There is now a new specification
dropping clay content from 22% down to 12%. The City received the low quote from Dressel
Contracting.
Klein made motion, Miron seconded, to approve the purchase of Class 5 modified gravel for the
quoted price of$8.00/ton from Dressel Contracting.
All Ayes. Motion carried.
Update on Water Rebate Program
Community Development Assistant Rachel Leitz talked about the Water Rebate Program
implemented by the City in January 2016. This program offers rebates to residents and business
owners on efficient toilets, washing machines, irrigation audits, and irrigation controller
replacements. The City had received a grant from the Met Council Clean Water Fund for
$36,000 and from Washington County for$9,000 towards the rebate program.
She explained what was necessary to qualify for the rebate. The City received 10 applications,
Hugo City Council Meeting Minutes for April 4,2016
Page 4 of 5
six for washing machines and four for toilet replacement for a total rebate amount of$1,800.
Annual water savings are estimated to be around 100,000 gallons. Moving forward, the rebate
amounts will increase, and the program will be promoted in the City newsletter. The program
will end in June, 2017.
Update on Solar Subscription Agreement
Community Development Assistant Rachel Leitz updated the Council on a proposed solar
subscription agreement. In July 2015, the City joined the Met Council's request for proposals
along with 23 entities for solar subscriptions. Lottery results were released in February, and the
City was paired with Geronimo Energy. Hugo was allotted two lottery tickets equivalent to 240
kW (402,960 kWh). The City of Hugo uses approximately 1 million kilowatt hours a year, and
solar would provide approximately 38% of the total use through this subscription agreement.
The process would start with Geronimo building a solar garden and providing energy to Xcel.
The City would see a bill credit from Xcel and would pay a portion to Geronimo. The result
would be the City saving one penny per kWh, resulting in an annual saving of$4,029.60 the first
year and $3,572.86 the 25th year, considering a degradation factor of.05% each year. The total
savings to the City would be $94,921.06 over the 25 year subscription agreement. Xcel has not
approved the projects yet and Scandia has not yet approved the site for the proposed solar
garden. Also, Geronimo has more proposed gardens and could offset more of the City's usage
with a subscription. The downside would be future solar panels or energy sources may offer
something better during the 25 year subscription agreement.
The Council talked about the state mandate that requires, by the year 2020, that 20% of energy
comes from alternate sources such as solar. There was discussion about Connexus Energy's
program that allows for customers to buy shares in their solar gardens, and how it compared to
Xcel Energy. Also discussed was a possible increase in customer costs by Xcel to pay for
projects and the possibility of other forms of energy, such as wind, that may become available in
the future. It was also noted that projects were not moving forward very quickly due to
concerns, and there was a general hesitation from Council to commit to something when things
are not yet in place and operational, and the benefits were not clear.
City Administrator Bryan Bear explained there are many solar subscription offers being made in
Xcel's territory due to the state mandate. There is also a federal tax credit being offered as
further incentive to develop these projects. He said it could be put in contract that, if a mandate
caused this program to seize, the City could be released from the contract. He also pointed out
the savings would only be about $4,000 per year, so there is not a lot of pressure to do it. Bear
stated that the Met Council has provided the contract that the providers were using, and agreed
that time and effort needed to be spent on reviewing it.
City Attorney Dave Snyder suggested asking those who were proponents of these contracts to
make their case, perhaps Geronimo and Xcel.
Council reached consensus to get a summary from the providers of the businesses on the pros
and cons of solar subscription contracts.
Hugo City Council Meeting Minutes for April 4,2016
Page 4 of 5
MnDOT Speed Limit Change on TH61
City Engineer Jay Kennedy informed Council that MnDOT had recently completed an
engineering and traffic investigation on Trunk Highway 61 within MnDOT's Metro District to
determine reasonable and safe speed limits. The results indicated one location within the City of
Hugo where the speed limit will increase. The existing 35 mph speed limit between 142"d and
152nd will increase to 40 mph based on results of data collected. MnDOT will implement the
change during the summer of 2016. The Commissioner of Transportation has authority to
change speed limit whether the City objects or not. The City could have discussions with them if
there was a compelling argument. No formal action was taken.
Legislative Updates
The 2016 Legislative Session began on March 6, 2016. The City has been working with
legislators on bonding requests for the rail line serving the Bald Eagle Industrial Park and for
storm water reuse projects, as well as following other items being discussed at the Capitol. City
Administrator Bryan Bear provided an update to the Council.
Bryan stated there have been discussions with legislators regarding the City's short line railroad
bonding request for $1.1 million for repairs. The bills have been introduced and referred to the
capital investment committee, and there has been support at the Capitol. He explained another
consideration is the state-wide freight railroad preservation bond request for $4,500,000, which
was receiving broader support. Hugo is also requesting partial funding for three stormwater
reuse projects for $1 million with a match from Hugo. The City is working with legislators to
gain momentum after committee hearing.
Bryan talked about the settlement agreement and the two proposals: one being a new water
supply system and the other being augmentation. There has been no support from areas cities so
far, and Hugo has remained neutral. Staff has been tracking bills relating to the White Bear Lake
Augmentation. It is unclear how much money is being requesting because of competing costs
estimates, and there is no clear answer as to who is going to own and operate it. He also talked
about the City's role in the settlement agreement and the 17%water reduction requirement,
stating that Hugo may be uniquely qualified to meet it, dependent on the DNR's rules. Staff has
been working with the DNR on the water appropriations process to get them to understand their
process is creating a barrier on good projects. The discussion is ongoing internally at the DNR.
Update on the Yellow Ribbon Network
Council Members Chuck Haas and Phil Klein updated the Council on the activities of the Yellow
Ribbon Network to date. The YRN received a thank-you from the 133rd Airlift Wing. Haas
thanked Oneka Golf Course for being the Hamburger Night March sponsor. Girl Scout cookies
to be distributed soon. The Bayport Legion will be donating $200 a month to the YRN. The
Bayport Legion hold the charitable gambling license at Sal's Angus Grill.
Update on Metropolitan Council Stormwater Grants
Haas talked about the Metropolitan Council Stormwater Grants and that the grants will be funded
Hugo City Council Meeting Minutes for April 4,2016
Page 4 of 5
through the Watershed District. City Engineer Jay Kennedy stated that a meeting is scheduled
with the WSD on Friday to review projects and talk about how the City can get funding. Haas
questioned what gets tied to the grant dollars, such as the inability to use stormwater credits, and
stated the Met Council may not look favorably on the Watershed District's requirements.
Severe Weather Awareness Week April 11-15 and Tornado Drill on April 14, 2016
City Administrator Bryan Bear informed Council that Severe Weather Awareness Week will be
held on April 11-15 this year. Statewide tornado drills are scheduled for Thursday, April 14,
2016 at 1:45 p.m. and 6:55 p.m. Outdoor warning sirens and NOAA Weather Radios will sound
in a simulated tornado warning.
Board of Review and Equalization on Thursday, April 14, 2106
City Administrator Bryan Bear reminded Council that they will meet as the Board of Appeal and
Equalization on Thursday, April 14, 2016 from 5:30 p.m. —7:00 p.m. The meeting will take
place in the Oneka Room at Hugo City Hall.
Park Dental Groundbreaking on Friday,April 15, 2016
City Administrator Bryan Bear informed Council they were invited to attend the groundbreaking
ceremony for Park Dental Hugo, 14741 Victor Hugo Boulevard, on Friday, April 15, 2016 from
12:00 —2:00 p.m.
Klein made motion, Petryk seconded, to schedule a meeting to attend the Park Dental
Groundbreaking on April 15, 2016.
All Ayes. Motion carried.
Schedule Interviews for Parks Commission Vacancy
City Administrator Bran Bear informed Council that staff has received three applications to fill
the vacancy on the Parks Commission, and recommended Council schedule a date on which to
hold interviews.
Petryk made motion, Klein seconded, to schedule the Parks Commission interviews for Tuesday,
April 19 at 7 p.m.
All Ayes.
Vacancy on the Carnelian-Marine St. Croix Watershed District
City Administrator Bryan bear informed Council that the City was notified that the terms for
three members of the Carnelian-Marine St. Croix Watershed District Board expire on June 21,
2016. State statute provides that the County Board will select watershed district managers from
lists of nominees submitted by the municipalities that are wholly or partially in the watershed
district. Anyone interested in being a board member should contact the City to be put on the list
for consideration. The Council may submit the list or ask for the incumbent to be considered for
Hugo City Council Meeting Minutes for April 4,2016
Page 4 of 5
reappointment. Lists must be submitted to the County by April 24, 2016.
Haas stated he had concerns about the Watershed District, including a recent increase in their
levy. Haas suggested the City draft a letter to the County Board bringing these concerns to them.
Petryk suggested Haas work with Bryan on a draft and bring it back to the City for approval.
Adiournment
Klein made motion, Miron seconded, to adjourn at 9:22 p.m.
All Ayes. Motion carried.
Respectfully Submitted,
IN\
Michele Lindau,
City Clerk