HomeMy WebLinkAbout2011.10.17 CC MinutesMINUTES FOR THE CITY COUNCIL MEETING ON MONDAY, OCTOBER 17, 2011
Mayor Fran Miron called the meeting to order at 7:05 p.m.
PRESENT: Haas, Klein, Petryk, Weidt, Miron
ABSENT: None
ALSO PRESENT: City Administrator Mike Ericson, Community Development Director Bryan
Bear, City Attorney Dave Snyder, City Engineer Jay Kennedy, and City Clerk Michele Lindau
Approval of Minutes for September 29, 2011 City Council/Fire Department Meeting
Weidt made motion, Klein seconded, to approve the minutes for the September 29, 2011 City
Council meeting with Hugo Fire Department Officers as presented.
All Ayes. Motion carried.
Approval of Minutes for October 3, 2011 City Council Meeting
Weidt made motion, Klein seconded, to approve the minutes for the October 3, 2011 City
Council meeting as presented.
All Ayes. Motion carried.
Approval of the Agenda
Miron made motion, Haas seconded, to approve the agenda as amended:
Add to Executive Session — Performance Review for City Administrator Mike Ericson
Add to Council Presentations — Yellow Ribbon Network Update
All Ayes. Motion carried.
Forest Lake Schools Levy Referendum — Superintendent Linda Madsen and Director Bill
City staff was recently contacted by Forest Lake School District officials regarding discussions
related to this fall's election and proposed renewal of the local operating levy. Superintendent
Linda Madsen and School Board Director Bill Brisen were present to answer questions from
Council regarding the levy. Superintendent Madsen explained the levy generates $725 per pupil,
and will expire this year if the levy is not renewed. District Board Member Bill Brisen, who also
co-chairs the "Vote Yes" committee, indicated that renewal of the levy will keep programs
going.
Miron made motion, Petryk seconded, to approve RESOLUTION 2011-35, A RESOLUTION
OF SUPPORT FROM THE CITY OF HUGO FOR THE PROPOSED FOREST LAKE
SCHOOL DISTRICT LEVY AND BOND REFERENDUM, and to forward the resolution to
surrounding communities and ask for their support.
All Ayes. Motion carried
Hugo City Council Meeting Minutes for October 17, 2011
Page 2 of 8
Declaration of October 23-29, 2011 as Minnesota Manufacturers Week in the City of Hugo
— Clarice Olson, DEED
Governor Mark Dayton has declared the week of October 23-29, 2011 as Minnesota
Manufacturers Week in the State of Minnesota. Clarice Olson from Department of Employment
and Economic Development (DEED) was at the meeting and explained that 28% of private
employment in Hugo is in the manufacturing sector, with $29 million paid in total wages. DEED
is currently pursuing a $5 Million manufacturing grant. Clarice explained the Washington
County Workforce Investment Board will be hosting a workshop at the Rice Lake Centre on
Tuesday, October 19, 2011.
Haas made motion, Petryk seconded, to proclaim October 23-29, 2011 as Minnesota
Manufacturers Week in the City of Hugo and direct staff to send letters of appreciation to the
manufacturing companies in the City of Hugo.
All Ayes. Motion carried.
Approval of the Consent Agenda
Haas made motion, Weidt seconded, to approve the following Consent Agenda:
Approval of Claims Roster
Approve Summary Ordinance on Variances
Approve Annual Performance Review for Accounting Clerk Anna Wobse
Approve Lift Station Installation Agreement with William Poferl
Approve Application from Clarissa Sax for Senior Deferral for South Ethan Avenue Street
Assessment
Approve Mike Loeffler as New Public Works Lead Worker
Approve Advertisement for Sealed Bids for 2008 F-550 Public Works 1 -Ton Truck
Approve Pay Request No. 5 from Northdale Construction for South Ethan Avenue Street
Improvement Project
Approve Six -Month Extension on Leave of Absence for Firefighter Jennifer Mader
All ayes. Motion carried.
Approval of Claims
Adoption of the Consent Agenda approved the Claims Roster as presented.
Approve Summary Ordinance on Variances
At its October 3, 2011 meeting, the Council approved changes to the ordinance on variances to
be consistent with recent revisions to the MN State Statutes regarding the approval criteria for
variance requests. Adoption of the Consent Agenda approved the summary ordinance for
publication of the variance ordinance amendment.
Hugo City Council Meeting Minutes for October 17, 2011
Page 3 of 8
Approve Annual Performance Review for Accounting Clerk Anna Wobse
The City of Hugo hired Anna Wobse as the City's new Accounting Clerk on October 27, 2008.
Over the past three years, Anna has worked under the direction of Finance Director Ron Otkin in
accounts payable and payroll functions. Adoption of the Consent Agenda approved the annual
performance review for Accounting Clerk Anna Wobse.
Approve Lift Station Installation Agreement with William Poferl
As part of the South Ethan Avenue Utility Project, the City Council agreed to fund the costs
associated with installing individual sewer lift stations for two properties within the project area.
The lift stations are required so that the property owners can properly connect to the City sewer
installed as part of the project. One of the properties is owned by Mr. William Poferl, and City
staff has prepared an agreement that will allow the City to reimburse Mr. Poferl for the lift
station installation. City Attorney Dave Snyder prepared an agreement in this regard, which Mr.
Poferl has signed and provided to City staff for final approval by Council. Adoption of the
Consent Agenda approved the agreement with Mr. Poferl.
Approve Application from Clarissa Sax for Senior Deferral for South Ethan Avenue Street
Assessment
On October 4, 2011, the Finance Department received an Application for Deferment of Special
Assessments signed by Clarissa Sax, 12089 Everton Avenue North. She is requesting that the
assessment for the South Ethan Avenue Street Reconstruction Project be deferred as per the
terms of the approved Assessment Policy. Adoption of the Consent Agenda approved the
Application for Deferment of Special Assessment for Clarissa Sax.
Approve Mike Loeffler as New Public Works Lead Worker
At its September 5, 2011 meeting, the Hugo City Council accepted the resignation of Lead
Worker Tom Smith from the Hugo Public Works Department, and staff received authorization
from Council to post for the position internally. Interviews were conducted by City staff with
four internal candidates who submitted their letters of interest. Adoption of the Consent Agenda
approved the appointment of Mike Loeffler as the City of Hugo's new Lead Worker for the
Public Works Department.
Approve Advertisement for Sealed Bids for 2008 F-550 Public Works 1 -Ton Truck
The City's 2008 Ford F550 dump body truck was involved in an accident and was totaled out by
the insurance company. Through the settlement process with LMCIT and the other driver's
insurance provider, the buy back of the truck is $6,000. Staff feels that the value of this truck, in
the damaged condition, is greater than the $6,000 offered by a bidder through the settlement
process. Staff would like to advertise for sealed bids to be accepted with a minimum bid amount
of $6,000. If no bids are received, LMCIT will remove the truck and sell it through its process
with no effect to our overall payout. Adoption of the Consent Agenda approved authorization to
advertisement for sealed bids on the 2008 Ford F550 truck.
Hugo City Council Meeting Minutes for October 17, 2011
Page 4 of 8
Approve Pay Request No. 5 from Northdale Construction for South Ethan Avenue Street
Reconstruction and Utility Proiect
The City of Hugo has received Pay Request No. 5 from Northdale Construction for work
completed to date on the South Ethan Avenue Street Reconstruction and Utility Project. Senior
Engineering Technician Steve Duff and City Engineer Jay Kennedy have reviewed the pay
request and found it to be satisfactory for work completed to date on the project. Adoption of the
Consent Agenda approved Pay Request No. 5 from Northdale Construction Co. in the amount of
$44,494.46.
Approve Six -Month Extension on Leave of Absence for Firefighter Jennifer Mader
At its March 7, 2011 meeting, the Hugo City Council approved a leave of absence for Hugo
Firefighter Jennifer Mader for a six-month period ending on September 1, 2011. Jennifer is
requesting a six-month extension on her leave of absence. Fire Chief Jim Compton recommends
Council approve a six-month extension on the leave of absence for Firefighter Jennifer Mader
until April 1, 2011.
Approve Change to Health Partners for City Employee Health Insurance Coverage
Although Blue Cross Blue Shield of Minnesota has offered a 5% premium reduction for the
upcoming calendar year, staff solicited quotations from HealthPartners, Medica and
PreferredOne for plans that mirrored or exceeded our current coverage. Of these three, the
quotation submitted by HealthPartners provided the best coverage at the lowest premium. As
compared to current rates, the City will realize a total savings of over $71,000 while
simultaneously reducing employee deductibles. As such, staff recommended that the Hugo City
Council accept the quotation for the HealthPartners Empower $1,500 High Deductible Health
Plan for the calendar year beginning January 1, 2012. Council Member Haas removed this item
from the consent agenda and asked for a report as to how well the health plan was working for
employees. City Administrator Mike Ericson indicated it was an acceptable plan to the
employees and, at the same time, saving the City money.
Haas made motion, Petryk seconded, to approve the change of the City's Employee Health
Insurance Coverage to HealthPartners.
All Ayes. Motion carried.
Discussion on Violation of Conditional Use Permit for Gusset Design
At its October 3, 2011 meeting, the Hugo City Council discussed with Rick Burr, the owner of
Gusset Design at 15587 Forest Boulevard North, concerns regarding sandblasting that is
occurring outside of the building. City staff has received numerous complaints about the dust
and noise associated with the sandblasting. The outdoor sandblasting is prohibited according the
Conditional Use Permit (CUP) that is in place on the property. After discussion, Gusset Design
owner Rick Burr agreed to bring forth to Council at its next regularly scheduled meeting a plan
to move the sandblasting operation back inside the facility.
Hugo City Council Meeting Minutes for October 17, 2011
Page 5 of 8
Community Development Director Bryan Bear provided the Council with a letter from Rick Burr
stating there will be a sandblasting booth installed within the next 14 months. This booth would be
located outside and behind the current building. Bryan indicated staff would be more comfortable
with a shorter time line and to have the booth inside the building.
Rick Burr explained that he only sandblasts between 8 a.m. — 3:30 during the first shift.
Sandblasting was being done more often but he closed four accounts due to the problems with the
City. The booth structure would allow sandblasting to be done inside, and with the doors closed
there would be no noise or dust. The reason for the 14 month period was because he wanted the
time to find a reasonably priced used booth. The Council suggested working with Clarice Olson
from DEED on possible grants. Also discusses was the location of the booth. If it was to be
located outside the building, the CUP should be amended to refer to a revised site plan depending
on whether this was a permanent or temporary solution.
Weidt made motion, Klein seconded, to allow Gusset one year to resolve the issue, and provide a
report on the progress in six months. Progress would include a review if the site plan, identification
of structure statistics, update on grant applications, and provide something in writing regarding
interim sandblasting rules. If Gusset Design fails to be in compliance and have a structure in place
within one year, the City will use all means necessary to bring the CUP into compliance.
All Ayes. Motion carried.
Approve Assessment Agreement with Central Bank for Demolition of Ricci's Restaurant
At its August 1, 2011 meeting, the Council discussed the Ricci's Restaurant property at 14777 Forest
Boulevard North, which was under the ownership of The River Bank, who had agreed to a demolition
of the building in a manner that is similar to last year's demolition of the End Zone bar and antique
store buildings. Council authorized staff to perform the necessary steps to finalize the assessment
agreement and proceed with building demolition. Central Bank recently acquired the assets of the
River Bank in Wyoming, which was the owner of the Ricci's restaurant property. City staff was
initially requesting the Council approve an assessment agreement with Central Bank for the demolition
of Ricci's Restaurant building; however, Community Development Director Bryan Bear informed
Council that Central Bank just recently indicated they intend to pay for the demolition themselves, and
the assessment agreement between the City and the bank was unnecessary. Central Bank also will be
reimbursing the City for the cost of the Environmental Assessment Agreement that has already been
performed. Bear said Central Bank has indicated the demolition would be done in a timely manner.
Haas made motion, Weidt seconded, to table discussion on the demolition of Ricci's until the next
meeting of the Council on November 7, 2011, where the Council will consider declaring the building a
hazard if there has been no progress.
All Ayes. Motion carried.
Hugo City Council Meeting Minutes for October 17, 2011
Page 6 of 8
Award of Demolition Proiect to Arnt Construction for 14777 Forest Blvd. (Ricci's
Buildin
On October 12, 2011, three bids were received for the demolition of the Ricci's Building located
at 14777 Forest Blvd. Arnt Construction submitted the low bid at $48,900. Staff was initially
requesting Council accept the bid; however, it will not be necessary should the demolition be
done by Central Bank. No action was taken.
Hugo Elementary School Reading Volunteer Program
City staff was recently contacted by Hugo Elementary School Reading Specialist Carla Triggs who
requested the City's assistance in securing volunteers to serve as both readers in her kindergarten
and first grade classes as well as mentors to the children. This program would consist of an
obligation of one hour per week for her students. Council Member Haas suggested copies of the
books children are reading can be sent overseas to the deployed with families so they may read to
the children by Skyping. Soldiers could also read to the classroom the same way.
Haas made motion, Weidt seconded, to direct staff to seek out volunteers to assist in the reading
volunteer program, including the deployed military.
All Ayes. Motion carried.
Update on the Yellow Ribbon Network
Council member Haas added this to the agenda to provide an update on the activities of the
Yellow Ribbon Network. Haas announced the Hugo Yellow Ribbon Network was invited to
apply for the National "Homeward Bound" award, and the group is in process of completing the
application. Hamburger Night this Wednesday, October 19, 2011 is sponsored by the Hugo
Business Association. On Saturday, Network volunteers will be packing and shipping care
packages. Council Member Haas thanked WSB, Eckberg Lammers, and the Hugo Lions Club
for their participation in Hamburger Night which has raised money for donations and postage for
these care packages. He also thanked Dunn Bros Coffee for their "buy one -donate one" program.
The Boy Scouts will also be contribution popcorn to the troops. Council Member Klein stated
that volunteers were still needed, and citizen participation is appreciated.
I-35E/CSAH14 Interchange Ribbon Cutting Ceremony Scheduled for October 31, 2011
Staff provided a friendly reminder to Council and public of the I-35E/CSAH14 Interchange
Ribbon Cutting Ceremony scheduled for October 31, 2011. The ceremony will take place at the
intersection of Commerce Drive and 21St Street, and will begin at 3:30 p.m.
Recap of City Wide Bus Tour on October 15, 2011
City staff along with Council provided a recap of the 6th Annual City Wide Bus Tour held on
Saturday, October 15, 2011, which included lunch and roundtable discussion afterward. The
Council discussed scheduling the tour date earlier next year in hopes that more commission
members will attend. The Mayor stated the tour is a good opportunity to get out and see the
impacts of decisions the Commissions and City Council are making.
Hugo City Council Meeting Minutes for October 17, 2011
Page 7 of 8
Executive Session -Consideration of Property Acquisition
City Attorney Dave Snyder explained that under the government data practices act, a City
Council can enter into executive session for the purpose of developing or considering offers or
sale of real property. In this case, the Council will be discussing the purchase of the former
Carpenters Restaurant property on TH61.
Haas made motion, Petryk seconded, to recess the regular session of the City Council and enter
into executive session for the purpose of discussing the acquisition of property.
All Ayes. Motion carried
Return to Regular Session
After completion of the Executive Session, Council returned to its regular meeting. City
Attorney Dave Snyder provided a summary of the session on the acquisition of Carpenters
Restaurant property. In attendance were Mayor Fran Miron; Council Members Chuck Haas, Phil
Klein, Becky Petryk, and Tom Weidt; City Administrator Mike Ericson; City Attorney Dave
Snyder; Community Development Director Bryan Bear; and City Clerk Michele Lindau.
Miron made motion, Haas seconded, to direct staff to continue to work with the property owners.
All Ayes. Motion carried.
Executive Session — Performance Review for City Administrator Mike Ericson
City Attorney Dave Snyder explained that under the government data practices act, a City
Council can enter into executive session for the purpose of evaluating the performance of an
individual. The Council will be conducting a performance review of City Administrator Mike
Ericson.
Haas made motion, Petryk seconded, to recess the regular Council meeting and enter into
executive session.
All Ayes. Motion carried.
Return to Regular Session
After completion of the Executive Session, Council returned to its regular meeting. City
Attorney Dave Snyder provided a summary of the session on the evaluation of City
Administrator Mike Ericson. In attendance were Mayor Fran Miron; Council Members Chuck
Haas, Phil Klein, Becky Petryk, and Tom Weidt; City Administrator Mike Ericson; City
Attorney Dave Snyder; Attorney Andrea Poehler, Campbell Knutson Law Firm; and City Clerk
Michele Lindau.
Hugo City Council Meeting Minutes for October 17, 2011
Page 8 of 8
Adiournment
Haas made motion, Weidt seconded, to recess the meeting at 10:00 p.m. until tomorrow, October
18, 2011, at 9:00 a.m. for the purpose of reconvening the executive session.
All Ayes. Motion carried.
Respectfully Submitted,
Michele Lindau
City Clerk