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HomeMy WebLinkAbout1999.02.01 CC MinutesMINUTESFOR THE EUGO CITY COUNCIL MEETING OF FEBRUARY 1.1999 The meeting was called to order by Mayor Walter Stoltzman at 7:00 P.M. PRESENT: Barnes, Haas, Leroux, Petryk, Stoltzman City Administrator, Robert Museus City Attorney, Greg Galler City Engineer, Tom Angus City Clerk, Mary Ann Creager, ADDITIONS TO AGENDA Clearwater Creek Project (Change Order # 1) Subdivision Denial (Brandon Preserve) Leroux made moiton, Haas seconded, to approve the following Consent Agenda: City Council minutes for January 25, 1999 General Claims for February 1, 1999 School Patrol Contribution Variance (Miron) Special Use Permit (Triemert) All aye. Motion Carried. Haas made motion, Petryk seconded, to approve the minutes for the Council meeting of January 19, 1999, as amended. All aye. Motion Carried. SCHOOL PATROL CONTRIBUTION American Legion Post #620 requested that the City of Hugo contribute $160 towards the cost of sending students to the Patrol Safety Class, sponsored by the Legion, in Brainerd, MN. In the past, two students from the Hugo Elementary School have been chosen each year to attend this training, at a cost of $80 each; the City paying for one student, and the Legion the other. The Legion sought reimbursement for this program's cost for both 1998 and 1999. Adoption of the Consent Agenda approved the City contributing $160 for the school patrol training program for 1998 and 1999. VARIANCE (MIRON) John and Judy Miron, 15012 Homestead Avenue North, requested a variance to place a 17' x 17' detached garage closer to the road than the principal building. This matter was considered by the Board of Zoning Adjustments at their meeting of January 27, 1999, and recommended approval of the variance request. Adoption of the Consent Agenda approved the variance to place a detached garage in front of the existing residence, as submitted. City Council meeting of February 1, 1999 Page 2 SPECIAL USE PERMIT (TRIEMERT) Annie Triemert, 15220 Everton Avenue, requested a SUP to construct a 30' x 48' accessory storage building. As a 2,880 sq ft accessory building already exists on the property, the additional 1,440 sq ft would exceed the allowed 3,600 sq ft by 720 sq ft. The PC considered this matter at their meeting of January 27, 1999, and recommended approval of the request. Adoption of the Consent Agenda approved the request for construction of the 30' x 48' accessory building, as requested. 129TH STREET ASSESSMENT HEARING (CONTIIWED) Based on Council direction of January 19, 1999, the Council considered a revised assessment roll for the extension of municipal sewer and water along Ethan Avenue and 129th Street, between the Woods of Bald Eagle subdivision and Elmcrest Avenue. Notice was provided to property owners of the revised assessment roll, the rights of appeal, and hookup charges levied in addition to the proposed assessments. Mayor Stoltzman opened the public hearing and there were no additional oral or written comments. Stoltzman made motion, Barnes seconded, to adopt RESOLUTION 1999-2, A RESOLUTION ADOPTING THE ASSESSMENT ROLL FOR THE 129TH STREET P.I. PROJECT. VOTING AYE: Barnes, Haas, Leroux, Petryk, Stoltzman Motion Carried. COST SHARING REOUEST (CREEKVIEW PRESERVE) At the Council meeting of January 19, 1999, the Council considered a request from the Backes Companies for the City to reimburse the firm for certain costs they incurred in extending 12" watermain along the east side of TH61, and increasing the depth of sanitary sewer throughout their project to serve adjacent properties. Action was tabled until this evening's meeting to allow time for consideration. Another lengthy discussion continued regarding City policy; should the City pay because no "formal" agreement was entered into prior to work being done; and what was "fair" in this particular situation. Haas made motion, Barnes seconded, to table this matter to allow staff time to provide information on 8" watermain costs and the value of the improvements to benefiting property. All aye. Motion Carried. FIRE HALL STATUS REPORT At Council's request, Mr. Jim Trossen, the architect for the Fire Hall construction project, was present to brief the Council on the progress of the project. Although there was no need for alarm, Mr. Trossen felt the project should be progressing in a more timely manner, and would reassess progress the end of February. If needed, he would consider "motivational techniques" to help move the project along. City Council meeting of February 1, 1999 Page 3 BOARD OF ADJUSTMENT APPOINTMENTS Stoltzman made motion, Haas seconded, to make the appointments to the Board of Adjustments and Appeals: Council representative, Wally Stoltzman; Planning Commission representative, Frank Puleo; and resident, Bernard Brunotte. All aye. Motion Carried. JD2 MAINTENANCE PROJECT STATUS REPORT Senator Jane Krantz was present for this discussion. Councilman Leroux briefed the Council on the status of the City's request to the Watershed District to remove obstructions to the channel of JD2 (Hardwood Creek). The Council also considered a resolution to clarify the responsibilities of the committee appointed to advise the Council on this project. Councilman Haas suggested that the Committee discuss a possible funding mechanism to help defray the legal costs associated with this project. Barnes made motion, Stoltzman seconded, to adopt RESOLUTION 1999-3, A RESOLUTION ESTABLISHING AN AD-HOC COMMITTEE TO ADVISE THE CITY COUNCIL ON THE MAINTENANCE OF JUDICIAL DITCH 2. VOTING AYE: Barnes, Haas, Leroux, Petryk, Stoltzman Motion Carried. TIF AGREEMENT (SCHWIETERS CONSTRUCTION) The Council considered the Development Agreement between the City of Hugo and Schwieters Development Corporation for the sale of approximately 4.5 acres in the Bald Eagle Industrial Park to the corporation. The Agreement calls for Schwieters to construct minimum improvements of $180,000 to the site, generating a minimum tax increment of $31,940 per year. In return for these guarantees, the City will write-down the purchase price of the property to $194,432. Barnes made motion, Haas seconded, to approve the Development Agreement between the City of Hugo and Schwieters Development for the sale of approximately 4.5 acres in the Bald Eagle Industrial Park, as amended. All aye. Motion Carried. PURCHASE AGREEMENT (LINDSTROM) The Council considered a Purchase Agreement between the City of Hugo and Kay -Rick Corporation for the sale of approximately 56,660 sq ft of land, along 140th Street, for the construction of a retail liquor store. The purchase price of the property is set $117,063. The agent for the buyer, Lake State Realty Services, Inc., has requested the City increase the sale price to $130,070, and then pay the realtor a commission in the amount of $13,007 at the time of closing for the sale. The Lindstroms have City Council meeting of February 1, 1999 Page 4 agreed to this arrangement. The Purchase Agreement envisions the City entering into a Development Agreement for the use of TIF in this project at a future date. In Paragraph 8B, the City may incur some expense in constructing a shared driveway between the parcel being sold to the Lindstroms (Lot 3, Block 1), and the remaining vacant parcel owned by the City (Lot 2, Block 1). The shared driveway is being considered for this location as it would align with Fitzgerald Avenue to the north, and provide for better control of traffic entering 140th Street. Leroux made motion, Barnes seconded, to approve the Purchase Agreement between the City of Hugo and Kay -Rick Corporation for the sale of approximately 56,660 sq ft of land for constriction of a retail liquor store. The sale of price of $130,070 reflects a commission of $13,007 to be paid to Lake State Realty Services, Inc. All aye. Motion Carried. INTERSTATE LUMBER (LAND SWAP) The Council considered a proposed letter to Interstate Lumber offering to exchange their property at the intersection of 145th Street and TH61, for an equal amount of property currently owned by the City, in the Bald Eagle Industrial Park. In addition, the City would pay Interstate Lumber for the value of the improvements existing on their current site, at the time the City sells the property to a third party. This would allow Interstate Lumber to expand its operations in the City in an area zoned for such use, and allow the redevelopment of the current site for higher value retail facilities. Mr. Bruce Neisse of Interstate Lumber was present and stated that Interstate has no interest in moving from their present location. As this proposal was mandated by the previous Council: Barnes made motion, Stoltzman seconded, authorizing submittal of the proposed letter to Interstate Lumber for a possible exchange of property. All aye. Motion Carried. SUNSET LAKE RIDGE ESCROW Colleen and Thomas Frampton, developers of the Sunset Lake Ridge subdivision, posted with the City a cash escrow in the amount of $17,700 to guarantee completion of the improvement of Ingersoll Avenue, south of 122nd Street. The majority of the work on this project was completed in 1998 with some ditch cleaning and site restoration required for the spring, 1999. The City Engineer estimates the cost of the work remaining to be done at approximately $1,600, and recommended that the City maintain a letter of credit or cash escrow in the amount of $2,000 to guarantee performance. The Framptons have requested that the City release the remaining balance of the escrow to them as they have paid the contractor out of their personal savings for the work completed, and believes this work has been performed and they should have their money back. Typically, the City maintains a letter of credit or cash escrow in an amount equal to 25% of the project cost for a period of one year following substantial completion of the public improvements in order to guarantee any repairs that need to be made under warranty. In this case, the final lift of bituminous was placed on Ingersoll Avenue on October 22, 1998. Staff recommended retaining the existing escrow amount until October 21, 1999. City Council meeting of February 1, 1999 Page 5 Barnes made motion, Haas seconded, to deny the request of Colleen and Thomas Frampton to release the balance of escrow for improvements to Ingersoll Avenue, south of CR7, in conformance with City policy. All aye. Motion Carried. STAFF ISSUES At the City Council meeting of January 19, 1999, the Council received a list of issues for which City staff is requesting that workshops be scheduled. Because of insufficient time, the matter was table until tonight's meeting. Leroux made motion, Barnes seconded, to schedule a staff workshop for February 10, 1999, at 7:00 p.m., Hugo City Hall, to discuss Minnesota State Aid roads. All aye. Motion Carried. EMPLOYEE WAGES (RESOLUTION) At the Council meeting of January 19, 1999, the Council received the City Administrator's recommendation on employee wages for 1999. Given lack of time, this matter was carried over for consideration until tonight's meeting. Petryk made motion, Leroux seconded, to table until after another Council workshop is held regarding staffing and facilities issues. All aye. Motion Carried. CITY HALL ROOF The City Administrator requested that the Council consider hiring an architect to view and make recommendations upon the need for repairs or reroofing of City Hall. Leroux made motion, Haas seconded, authorizing City staff to obtain two professional proposals for the repair or reroofing of City Hall. All aye. Motion Carried. CHANGE ORDER NO. 1 (CLEARWATER CREEK PROJECT) Stoltzman made motion, Leroux seconded, to approve Change Order No. 1, authorizing Amt Construction to expand the existing Oneka Estates pond by 33 c.y. to provide the required NURP treatment for runoff from a portion of the new Fenway Avenue, at a cost of $3,500 to the City. City Council meeting of February 1, 1999 Page 6 Voting AYE: Barnes, Leroux, Petryk, Stoltzman Voting NAY: Chuck Haas Motion Carried. BRANDON PRESERVE SUBDIVISION At the Hugo Planning Commission meeting of January 27, 1999, a recommendation was made to deny the request of Janet Schuneman for subdivision due to the lack of response by the applicant. Leroux made motion, Petryk seconded, to deny the request of Janet Schuneman for a subdh ision known as Brandon Preserve due to lack of response by the applicant. All aye. Motion Carried. Leroux made motion, Petryk seconded, to recess tonight's meeting at 11:00 p.m. until February 10, 1999, at 7:00 p.m., Hugo City Hall. All aye. Motion Carried. Mary.Arqi reager, Clerk City ofugo