HomeMy WebLinkAbout2000.03.20 CC MinutesMINUTES FOR THE HUGO CITY COUNCIL MEETING OF MARCH 20, 2000
Mayor Walter Stoltzman called the regular meeting to order at 7:00 pm.
PRESENT: Barnes, Haas, Leroux, Stoltzman
City Administrator, Robert Museus
City Attorney, Greg Galler
City Engineer, Dave Mitchell
City Clerk, Mary Ann Creager
ABSENT: Becky Petryk
ADDITIONS TO AGENDA
City Administrator's Contract
Meeting with Socrates (April 5, 2000)
Deer Park Estates (Dave Schumann)
Add CC minutes for March 13, 2000 to Consent Agenda
CONSENT AGENDA
Stoltzman made motion, Barnes seconded, to approve the following Consent Agenda:
City Council minutes for March 13, 2000
Request for Bids (130`h Street Lift Station)
All aye. Motion Carried.
REQUEST FOR BIDS (130TH STREET LIFT STATION)
The Council considered the City Engineer's request to advertise for bids to construct a lift station on
130`h Street, east of TH61. The City had previously committed to the project as part of the
Development Agreement for the Beaver Ponds subdivision. Adoption of the Consent Agenda
approved the request for bids, as proposed by the City Engineer.
CITY COUNCIL MINUTES
Barnes made motion, Leroux seconded, to approve the minutes for March 6, 2000, as amended.
All aye. Motion Carried.
Stoltzman made motion, Barnes seconded, to approve the minutes for March 7, 2000, as amended.
All aye. Motion Carried.
Haas made motion, Leroux seconded, to approve the minutes for March 11, 2000, as amended.
All aye. Motion Carried.
GENERAL CLAIMS FOR MARCH 20, 2000
Haas made motion, Stoltzman seconded, to approve the claims for March 20, 2000, deleting
City Council meeting of March 20, 2000
Page 2
payment to OSM for the transportation plan, in the amount of $5,589.83.
All aye. Motion Carried.
SIGN APPROVAL (RICK'S LIQUOR)
KR Lindstrom, LLC., requested a permit to erect one wall sign and one pylon sign on property the
firm is purchasing at 5441 140'h Street. The signs are to advertise the off -sale liquor store being
constructed on the site. Staff recommended that the Council approve the application as being in
conformance with Chapter 320, Section 6.18. The Council had questions about the location of the
driveway, and advertising signs on TH61 when business located at another location.
Haas made motion, Leroux seconded, to table this matter until the meeting of April 3, 2000.
All aye. Motion Carried.
PLANS AND SPECS (TEST WELL)
The Council considered plans and specifications, as prepared by the City Engineer, for the drilling of
the test well on property owned by the City adjacent to the Catholic cemetery, for the purposes of
determining a site for the installation of the City's proposed new municipal water well.
Leroux made motion, Barnes seconded, to approve the plans and specifications for the drilling of the
test well to determine a site for the water well.
All aye. Motion Carried.
CITY ADMINISTRATOR CONTRACT
Haas made motion, Leroux seconded, to accept the Employment Agreement between the City of
Hugo and Mike Ericson, as presented.
All aye. Motion Carried.
The new Administrator, Mike Ericson, was present at the meeting, and stated that he would start
employment with the City on April 17, 2000.
PUBLIC HEARING (AMENDMENT TO CHAPTER 320)
A public hearing was held to consider adoption of a proposed ordinance amending Hugo Code,
Chapter 320, by establishing commercial and industrial building standards; clarifying regulations
regarding subdivisions of property in the urban development area not serviced by municipal sewer
and water; establishing alternate members of the Planning Commission; and establishing regulations
for places of public assembly. For the public hearing, the Council heard independent testimony on
each section of the proposed ordinance:
Commercial/Industrial Construction Standards — Mayor Stoltzman questioned whether Dr. Lindy's
office would need to comply with regulations as it is a wood building. Rick Burr was also concerned
City Council meeting of March 20, 2000
Page 3
with regulation as his is a steel building. The Council wanted more time to consider this regulation.
Definition for commercial/industrial building — No comments.
Sewage Treatment — No comments.
Planning Commission Alternates — Frank Puleo questioned whether the Planning Commission had
discussed these proposed changes; they had.
Places of Public Assembly — No comments.
Barnes made motion, Leroux seconded, to adopt ORDINANCE 2000-339, AN ORDINANCE
AMENDING CHAPTER 320 BY CLARIFYING REGULATIONS REGARDING SUBDIVISIONS
OF PROPERTY IN THE URBAN DEVELOPMENT AREA NOT SERVICED BY
SEWER/WATER; ESTABLISHING ALTERNATE MEMBERS OF THE CITY PLANNING
COMMISSION; AND ESTABLISHING REGULATIONS FOR PLACES OF PUBLIC
ASSEMBLY.
VOTING AYE: Barnes, Haas, Leroux, Stoltzman
Motion Carried.
Barnes made motion, Stoltzman seconded, to table discussion of Sections 1 and 2 until staff provides
revised language.
All aye. Motion Carried.
SITE PLAN APPROVAL (MINNESOTA UNION BUILDERS/AMCON)
The City Council previously received a proposed site plan for the construction of a 90,000 sq ft
accessory light manufacturing building, on approximately 14 acres in the Bald Eagle Industrial Park.
The Council tabled action on the site plan pending a presentation on the project by the developer.
Tim Forsythe and Neil Denblecker were present to answer Council questions relative to this project.
At a future date, the developers will be approaching the City seeking approval to display a model
home on site.
Barnes made motion, Leroux seconded, to approve the site plan for AMCON to construct a 90,000 sq
ft accessory light manufacturing building in the Bald Eagle Industrial Park. Staff is directed to begin
procedure for the Council to consider accessory buildings for the site separate from the site plan.
All aye. Motion Carried.
DEVELOPMENT AGREEMENT (HUGO LAND DEVELOPMENT)
On March 6, 2000, the Council conducted a business subsidy hearing on a proposed Development
Agreement, between the City of Hugo and Hugo Land Development, LLC., for the construction of
the MN Union Builders project referenced above.
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Page 4
Barnes made motion, Stoltzman seconded, to table discussion to allow further discussion with bond
counsel.
All aye. Motion Carried.
PETITION FOR PUBLIC IMPROVEMENT (132ND STREET)
The Council considered a petition for local improvement, signed by the owners of not less than 35%
frontage of the real property abutting 132"d Street, from the east line of Goodview Avenue to the west
line of Henna Avenue. The petition requests the Council improve said street by the installation of
bituminous surfacing, pursuant to MS, Chapter 429. The Council also considered a resolution
declaring the adequacy of the petition and ordering the City Engineer to report to the Council, with all
convenience speed, advising the Council in a preliminary way as to whether the proposed
improvement is feasible, and as to whether it should be made as proposed, or in connection with some
other improvement, and the estimated cost of the improvement as recommended.
Stoltzman made motion, Leroux seconded, to adopt RESOLUTION 2000-7, A RESOLUTION
DECLARING ADEQUACY OF PETITION AND ORDERING PREPARATION OF REPORT.
VOTING AYE: Haas, Leroux, Stoltzman
ABSTAINED: Debra Barnes
Motion Carried.
The City Engineer will prepare a Scope of Services with an estimate of cost for the feasibility study.
PARK MAP
The Council received a request from the Parks Commission to purchase a park map from the City's
consulting engineers, SEH, at a cost of $3,500. Councilman Haas, liaison to the Parks Commission,
will provide the Council with more information regarding the Commission's request.
Stoltzman made motion, Leroux seconded, to table until the meeting of April 17, 2000.
All aye. Motion Carried.
PARK BROCHURE
The City's Parks Commission recommended that the Council approve issuance of a brochure
describing mechanisms by which the City may acquire private property for park purposes. The
Council considered a memorandum, prepared by Council member Barnes, on the proposed brochure,
with recommended changes to the document.
Leroux made motion, Haas seconded, to approve the Parks Commission brochure describing
mechanisms by which the City May acquire private property for park purposes, subject to the
following conditions:
1. The brochure is not for general dissemination to the public, but should only be provided to
specific
City Council meeting of March 20, 2000
Page 5
property owners when the City is specifically interested in acquiring their property for parks
purposes.
2. Any discussions with private property owners, regarding the purchase of their property by the
City, will only be undertaken with specific authority of the City Council.
All aye. Motion Carried.
PURCHASE AGREEMENT (REHBEIN)
The Council considered a Purchase Agreement, between the City of Hugo and RR Leasing, Inc., for
the City's acquisition of four (4) acres of wetlands mitigation credits to be used in the development of
the Bald Eagle Industrial Park. Under the Agreement, the City would purchase the four acres for
$100,000, with $15,000 earnest money payable upon execution of the Agreement, and three
subsequent partial payments, the last of which to be made when final approval of the project is
provided in writing from the relevant governmental agencies: namely, Anoka County Soil and Water
Board; RCWD; and the Board of Soil and Water Resource. Funding for this acquisition would be
made as part of the permanent financing for the Park's improvements, and paid for through the sale of
the property in the Park. Under the proposed mitigation plan, the City would be allowed to fill 3.91
acres of type 2 wetland in the industrial park for industrial development.
Barnes made motion, Haas seconded, to approve the Purchase Agreement between the City of Hugo
and RR Leasing, Inc., for the acquisition of four acres of wetlands mitigation credits to be used in the
development of the BEIP. Approval is subject to approval of the proposed plan by the relevant
regulatory agencies.
All aye. Motion Carried.
SALES LIST AGREEMENT (GREYSTONE)
The Council reviewed a non-exclusive Sales Listing Agreement, between the City of Hugo and
Greystone Real Estate Group, Inc. Greystone is representing an industrial client, potentially
interested in purchasing property in the Industrial Park. The Agreement would specify that the City
would pay the realtor 10% of the gross sale price, upon transfer of the fee title of the property to a
qualified buyer. The 10% brokerage fee would be added on to the sale price of the property in such a
manner as to reduce the tax increment financing benefit being provided to a potential buyer.
Leroux made motion, Barnes seconded, to approve the Sales List Agreement.
Motion and second were withdrawn.
Barnes made motion, Leroux seconded, to table discussion until a revised Agreement is provided.
All aye. Motion Carried.
INDIVIDUAL SEWAGE TREATMENT SYSTEM AGREEMENT (WASH. COUNTY)
The Council considered a revised Agreement, between the City of Hugo and Washington County, to
provide individual treatment system management program. The City previously drafted and
submitted to the County a proposed Agreement. The County objected to the City's including a clause
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Page 6
that Hugo would have a veto right about any cost increases proposed by the County. Instead, they
have submitted a clause stating the County will confer with the City on proposed fee increases before
fee increases are adopted, and that either party may get out of the program with twelve months'
notice.
Barnes made motion, Stoltzman seconded, to approve the Individual Sewage Treatment System
Agreement, between Washington County and the City of Hugo, to provide individual treatment
system management program.
All aye. Motion Carried.
PELOOUIN INDUSTRIAL PARK IMPROVEMENT PROJECT
The City Engineer provided the Council with an update on the proposed extension of sewer and
water, as well as street improvements in the Peloquin Industrial Park. Previously, the Mayor and City
Engineer met with property owners in the Park, where their concerns with the project were outlined.
Haas made motion, Leroux seconded, directing the City Engineer to draft a Scope of Services with an
estimate of cost for a feasibility study for improvements in the Peloquin Industrial Park.
All aye. Motion Carried.
AGREEMENT WITH SEH FOR ENGINEERING SERVICES
The Council considered a letter from the City Attorney requesting Council guidance on two proposed
conditions in the Professional Services Agreement, between the City of Hugo and SEH. Specifically,
SEH is offering a $5,000,000 per claim, $10,000,000 aggregate limit for liability insurance.
Secondly, SEH wishes a time limit for which it will be responsible for repairing electronic data files
that prove to be defective.
Leroux made motion, Barnes seconded, agreed to the two proposed conditions in the Agreement, and
will consider approval after a revised Agreement is submitted.
All aye. Motion Carried.
JD2 LITIGATION MEETING
It has been proposed to move the scheduled Council meeting with attorney, Paul Haik, from March
29, 2000, until the next week in order to allow a full Council at the meeting. The Council suggested
meeting on April 12, 2000. This date will be discussed at the Council meeting of April 3, 2000.
COPY MACHINE REPLACEMENT
The Council considered a memo from the Finance Director outlining costs/savings to replace the
present copy machine. It is his recommendation that the City lease the Canon ImageRunner 400.
Barnes made motion, Stoltzman seconded, to accept the Finance Director's recommendation, and
lease the Canon ImageRunner 400 with a two-year agreement. All aye. Motion Carried.
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Page 7
ENGINEERING INTERN
Council member Barnes and Dave Mitchell, the City Engineer, requested that the Council
consider hiring an engineering this summer to conduct an analysis and rating of the City's street
conditions. The intern would be responsible for implementing a maintenance program for all roads
within the City, as well as traffic signs.
Leroux made motion, Haas seconded, to approve the hiring of an engineering intern for summer
months to conduct an analysis and rating of the City's street conditions.
All aye. Motion Carried.
CHARETTE PROCESS
Councilman Haas requested the Council discuss the proposed charette to investigate lot size and
street width issues.
Leroux made motion, Barnes seconded, to proceed with the charette process in cooperation with
various agencies. A draft of the proposal to be provided to whomever will be involved with the
process.
All aye. Motion Carried.
DEER PARK ESTATES
Leroux made motion, Barnes seconded, to schedule a public hearing for May 1, 2000, at 7:00 pm, to
consider vacation of two easements located on property known as Deer Park Estates.
All aye. Motion Carried.
COMMUNITY DEVELOPMENT DIRECTOR
Leroux made motion, Barnes seconded, to obtain a Scope of Work and cost estimate from Sathe and
Associates for a Community Development Director search.
All aye. Motion Carried.
ADJOURNMENT
Stoltzman made motion, Haas seconded, to adjourn at 10:15 pm.
All aye. Motion Carried.
Mary Creager, Clerk
City o Hugo
MINUTES FOR THE HUGO CITY COUNCIL MEETING OF MARCH 27, 2000
Mayor Walter Stoltzman convened the special meeting of the Hugo City Council to consider
allegations that the business known as the End Zone is being operated in violation of Hugo City Code
regarding the operations of liquor license establishments.
PRESENT: Haas, Leroux, Petryk, Stoltzman
City Administrator, Robert Museus
City Attorney, Dave Snyder
Kramarczuk's Attorney, Allen Kantrude
Antomna Kramarczuk
Guerny Sapako
ABSENT: Barnes
Mayor Stoltzman called the meeting to order and stated the reasons for the meeting, which was for
the Council to consider and make a determination whether:
1. Antonina Kramarczuk had an interest in a previous license held by Adrian Kramarczuk, and if
such interest would disqualify her from holding a license by virtue of her marriage to, and
involvement with, the previous license holder.
2. The license in this case is issued only to the applicant as required by Chapter 150, Sec. 7,
Subd. 4, of Hugo City Code.
3. The applicant, or licensee, had made any false or misleading statements on any application for
a liquor or beer license, or any proceeding regarding the issuing of the liquor, beer, and wine
license.
4. The applicant, or licensee, has any ownership interest in the license.
Mr. Allen Kantrude, representing Antonina Kramarczuk, asked for a delay in the hearing as his
firm had only been contacted by Ms. Kramarczuk on Friday, March 17, 2000, and had
insufficient time to discuss the facts of the case with Ms. Kramarzcuk and prepare a response to
the Council's questions.
Following discussion, Haas made motion, Petryk seconded, to continue the hearing at 7:00 p.m.
April 24, 2000, and direct that all written responses to the allegations be provided to the City
Attorney by April 17, 2000.
Upon call, all voted Aye. Motion carried.
Mr. David Schoeneck, a public relations consultant with The Praxis Group, 1325, Manomin
Ave., West St. Paul, discussed with the Council the value an organized public relations effort
would have to the City.
The City Administrator asked the Council to consider holding a special meeting on Wednesday,
March 29, 2000, to clarify its intent regarding the Rick's Liquor development on the property
owned by the City in the Bald Eagle Industrial Park. Developers of the property, Rick and Kelly
Lindstrom, requested the Council confirm the terms and conditions of the proposed agreement
before they enter into financing and construction contracts for the project.
City Council meeting of March 27, 2000
Page 2
Leroux made motion, Haas seconded, to recess until 8:30 p.m. on March 29, 2000, at which time
the Council will meet with the Lindstroms regarding Rick's Liquor development.
Upon call, all voted Aye. Motion carried.
Robert A. Museus,
City Administrator