HomeMy WebLinkAbout2018.01.08 CC Minutes CITY of Minutes
HUGO CITY COUNCIL MEETING t:
EST. 1906 HUGO CITY HALL
•. • 00
14669 Fitzgerald Avenue North•Hugo,MN 55038 MONDAY,JANUARY 8, 2018—7 P.M.
Call to Order
Mayor Weidt called the meeting to order at 7:00 p.m.
PRESENT: Haas (via Skype) Klein, Miron, Petryk, Weidt
ABSENT: None
ALSO PRESENT: City Administrator Bryan Bear, City Attorney Dave Snyder, City Engineer
Mark Erichson, City Planner Rachel Juba, Community Development Assistant Rachel Leitz, and
City Clerk Michele Lindau
Minutes for the December 14, 2017 Holidav Party
Klein made motion, Petryk seconded, to approve the minutes for the holiday party on December
14, 2017, as presented.
All Ayes. Motion carried.
Minutes for the December 18, 2017 City Council Meeting
Miron made motion, Klein seconded, to approve the minutes for the City Council meeting on
December 18, 2017, as presented.
All Ayes. Motion carried.
Approval of the Agenda
Weidt made motion, Petryk seconded, to approve the agenda as amended by adding an executive
session.
All Ayes. Motion carried.
Recognition of Yellow Ribbon Network Sponsor of the Year Mark Schwope
Over the past year, Mark Schwope had generously donated time and money to the Yellow
Ribbon Network. The Council recognized Mark's contributions, and Klein presented him with
the Burger Night of the Year Award.
Swearing in of New Assistant Chief David Jensen
At its December 4, 2017, meeting, Council approved David Jensen as the new Assistant Chief
after the retirement of Jim Fordham. David Jensen was sworn in as Assistant Chief of the Hugo
Fire Department.
Hugo City Council Meeting Minutes for January 8,2018
Page 2 of 11
Swearing in of Firefithters Andy Luchsinur, Matt Drew, and Jason Palmquist
At its December 4, 2017, meeting, Council approved Andy Luchsinger, Matt Drew, and Jason
Palmquist as regular firefighters after completing all the necessary probationary requirements.
Chief Colvard explained the dedication involved in becoming a regular fighter. Luchsinger,
Drew and Palmquist were sworn in as firefighters on the Hugo Fire Department.
Presentation of Certificate of Appreciation for Retired Firefithter Jim Fordham
At its December 4, 2017,meeting, Council approved the retirement of Assistant Chief Jim
Fordham. Council presented Fordham with a Certificate of Appreciation for his ten years on the
Hugo Fire Department.
Approval of the Consent Agenda
Miron made motion, Klein seconded, to approve the following Consent Agenda items:
1. Approval of Claims
2. Approve Appointment of Becky Petryk as Acting Mayor
3. Approve Appointment of WSB and Associates as City Engineer
4. Approve Appointment of Landform as City Planner
5. Approve Appointment of Johnson& Turner as City Attorney
6. Approve Appointment of Springsted, Inc. as Financial Advisor
7. Approve Appointment of Fire Chief Kevin Colvard as Emergency Management Director
8. Approve Appointment of US Bank as Depository for City Funds
9. Approve Appointment of The Citizen as Official Newspaper
10. Approve Appointments to Hugo Firefighter Relief Association
11. Approve Resolution on Statutory Tort Liability Limits
12. Approve Appointment of Bronwen Kleissler as Chair of the Planning Commission
13. Approve Appointment of Dave Strub as Chair and Cathy Moore-Arcand as Vice Chair of
the Parks and Recreation Commission
14. Approve Appointment of Cynthia Schoonover as Chair of Historical Commission
15. Approve Appointment of Tom Weidt and Phil Klein as Council Representatives on the EDA
16. Approve Appointment of Tom Weidt as the City Council Representative on the Board
of Zoning Appeals and Adjustments
17. Approve Appointment of Tom Weidt as Chair of the Board of Zoning Adjustments
18. Approve Animal Control Service Contracts with Companion Animal Control and
Otter Lake Animal Hospital for 2018
19. Approve Reduction in the Letter of Credit for DR Horton for Clearwater Cove 1St
Addition
20. Approve Reduction in the Letter of Credit for DR Horton for Clearwater Cove 4t'
Hugo City Council Meeting Minutes for January 8,2018
Page 3 of 11
Addition
21. Approve Acceptance of Improvements for D.R. Horton for Clearwater Cove 1st, 2nd
and 3rd Additions and Oneka Parkway Extension
22. Approve Release of the Letter of Credit and Escrow for Everton Investment/Pratt
Homes for Fable Hills 4th Addition
23. Approve Reduction in the Cash Escrow for The Excelsior Group for Adelaide Landing
Phase Site Grading
24. Approve Reduction in the Letter of Credit for The Excelsior Group for Adelaide
Landing 1St Addition Street and Utilities
25. Approve Lawful Gambling Exempt Permit for Church of St. Genevieve for Fish Fry
on March 23, 2018
26. Approve Extension of Temporary Employment for History Intern Olivia Schiffman
All Ayes. Motion carried.
Approval of Claims
Adoption of the Consent Agenda approved the Claims Roster as presented.
Approve Appointment of Becky Petryk as Acting Mayor
Each year, the Council appoints a member of the Council for the position of Acting Mayor.
Adoption of the Consent Agenda approved the appointment of Council Member Becky Petryk as
Acting Mayor for the year 2018.
Approve Appointment of WSB and Associates as City Engineer
WSB Engineers have been the City Engineer for the past 14 years. Currently, Mark Erichson
handles the day-to-day civil engineering duties, and Pete Willenbring is the water resource
engineer. WSB Engineers requested to continue to provide this service to the City at a revised
rate schedule. Adoption of the Consent Agenda approved the appointment of WSB Engineers
and Mark Erichson as the City Engineer for 2018.
Approve Appointment of Landform as City Planner
Kendra Lindahl from Landform worked over the past 15 years as the City Planner. Landform
requested to continue to provide this service to the City at a revised rate schedule. Adoption of
the Consent Agenda approved the appointment of Kendra Lindahl as the City Planner/Planning
Consultant for the year 2018.
Approve Appointment of Johnson Turner as City Attorney
The law firm of Johnson Turner served the City for the past five years with Dave Snyder as the
City attorney. Johnson Turner would like to continue to provide legal services to the City at the
same rate schedule. Adoption of the Consent Agenda approved the appointment of David
Snyder and the Johnson Turner Law Firm as the City Attorney for the year 2018.
Hugo City Council Meeting Minutes for January 8,2018
Page 4 of 11
Approve Appointment of Sprinuted, Inc. as Financial Advisor
Financial advisors Paul Steinman, Mikaela Huot, and Nick Dragisich and the other members of
the Springsted, Inc. team have served the City over the years on a wide variety of projects.
Adoption of the Consent Agenda approved Paul Steinman, Mikaela Huot, and Nick Dragisich,
from Springsted, Inc., as the City's financial advisors for the year 2018.
Approve Appointment of Fire Chief Kevin Colvard as Emergency Management Director
Each year, Council appoints a member of the City staff to serve in the role of Emergency
Management Director. For the past decades, the Fire Chief has served in this position. Adoption
of the Consent Agenda approved the appointment of the Fire Chief Kevin Colvard as the City's
Emergency Management Director for 2018.
Approve Appointment of US Bank as Depository for City Funds
Each year, Council selects a depository/bank for the deposit of City funds. For many years,
Council has selected the local Hugo branch of US Bank. Adoption of the Consent Agenda
approved U.S. Bank-Hugo as the official depository for City funds for 2018.
Approve Appointment of The Citizen as Official Newspaper
Each year, Council selects a newspaper as the official publication for all public notices and
publishing of ordinances. For the past nine years, the City Council appointed The Citizen as the
City's new official newspaper, and The Citizen would like to continue to provide this service at a
slightly increased rate. Adoption of the Consent Agenda approved the The Citizen as the City's
official newspaper for 2018.
Approve Appointments to Hugo Firefighter Relief Association
Minnesota State Statute requires the official appointment of the ex-officio members of the Hugo
Fire Department Relief Association Board. Council must appoint two elected or appointed
members. Adoption of the Consent Agenda approved Mayor Tom Weidt, with Councilmember
Chuck Haas as his designee in his absence, and Finance Director Ron Otkin as ex-officio
members of the Hugo Fire Department Relief Association Board.
Approve Resolution on Statutory Tort Liability Limits
In the late 1990's, the League of Minnesota Insurance Trust required each City that obtained
liability coverage from them to decide whether or not to waive the statutory tort liability limits to
the extent of the coverage purchased. At that time, the City Council opted not to waive the
statutory limits. LMCIT required each member city to reaffirm their position regarding these
limits. Currently these limits are $ 500,000 per claimant and $ 1, 500,000 per occurrence.
Adoption of the Consent Agenda approved RESOLUTION 2018-1 RESOLUTION NOT TO
WAIVE STATUTORY TORT LIABILITY LIMITS.
Hugo City Council Meeting Minutes for January 8,2018
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Approve Appointment of Bronwen Kleissler as Chair of the Planning Commission
Annually, Council appoints a member of the Planning Commission to serve as the Chair, and the
Commission appoints the Vice Chair. Bronwen Kleissler has served as the Chair of the Planning
Commission since August, 2015. Adoption of the Consent Agenda approved the reappointment
of Bronwen Kleissler as the Chair of the Planning Commission.
Approve Appointment of Dave Strub as Chair and Cathy Moore-Arcand as Vice Chair of
the Parks and Recreation Commission
Annually, the City Council appoints members of the Parks Commission to serve as Chair and
Vice Chair. Dave Strub served as Chair of the Parks and Recreation Commission since
November, 2016, and Cathy Moore-Arcand served as vice chair since January 2017. Adoption
of the Consent Agenda approved the reappointment of Dave Strub as Chair and Cathy Moore-
Arcand as Vice Chair for the Parks and Recreation Commission for 2018.
Approve Appointment of Cynthia Schoonover as Chair of Historical Commission
Annually, the City Council appoints a member of the Historical Commission to serve as the
Chair of the Commission. Cynthia Schoonover served as the Chair of the Commission for the
past several years. Adoption of the Consent Agenda approved the reappointment of Cynthia as
the Chair of the Historical Commission for 2018.
Approve Appointment of Tom Weidt and Phil Klein as Council Representatives on the
EDA
Annually, Council appoints two representatives from the Hugo City Council to serve on the
Economic Development Authority (EDA). Adoption of the Consent Agenda approved the
reappointment of Mayor Weidt and Council Member Klein to continue to serve as the Council
Representatives on the EDA for 2018.
Approve Appointment of Tom Weidt as the City Council Representative on the Board of
Zoning Appeals and Adiustments
Annually, the Hugo City Council appoints a member of the Planning Commission, City Council,
and a resident to serve on the Board of Zoning Appeals and Adjustments. Tom Weidt agreed to
serve another year on the Board as the City Council Representative. Adoption of the Consent
Agenda approved the reappointment of Tom Weidt as the City Council representative to serve on
the Board of Zoning Appeals and Adjustments for another one-year term.
Approve Appointment of Tom Weidt as Chair of the Board of Zoning Adiustments
Annually, Council approves appointment of Chair of the Board of Zoning Appeals and
Adjustments. Adoption of the Consent Agenda approved the reappoint of Board Member Tom
Weidt as Chair of the Board of Zoning Appeals and Adjustments.
Hugo City Council Meeting Minutes for January 8,2018
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Approve Animal Control Service Contracts with Companion Animal Control and Otter
Lake Animal Hospital for 2018
Since July 2013, Companion Animal Control and Otter Lake Animal Hospital had been
providing animal control services to the City. Adoption of the Consent Agenda approved the
continuation of the current contracts with Companion Animal Control and Otter Lake Animal
Hospital for 2018.
Approve Reduction in the Letter of Credit for DR Horton for Clearwater Cove 1st
Addition
DR Horton, developer, had requested the City reduce the letter of credit being held for
Clearwater Cove 1st Addition to 10% of the original letter of credit in the amount of
$2,358,574.38. Adoption of the Consent Agenda approved the letter of credit being held for the
constructed improvements in Clearwater Cove 1st Addition be reduced to $235,857.43.
Approve Reduction in the Letter of Credit for DR Horton for Clearwater Cove 4th
Addition
DR Horton, developer, had requested the City reduce the letter of credit being held for the
Clearwater Cove 4th Addition to 10% of the original letter of credit in the amount of$497,311.00.
Adoption of the Consent Agenda approved the letter of credit being held for the constructed
improvements be reduced to $49,731.11.
Approve Acceptance of Improvements for D.R. Horton for Clearwater Cove 1st, 2nd and
3rd Additions and Oneka Parkway Extension
D.R. Horton had requested the City accept the improvements for Clear Water Cove 1st thru 3rd
Addition and Oneka Parkway Extension. Adoption of the Consent Agenda approved acceptance
of the improvements and start of the one year warranty period.
Approve Release of the Letter of Credit and Escrow for Everton Investment/Pratt Homes
for Fable Hills 4th Addition
Everton Investments, developer, had requested the City release the letter of credit being held for
the Fable Hills 4th Addition (LOC # 4935-82). Adoption of the Consent Agenda approved the
release of the letter of credit being held and any escrow for the constructed improvements in the
Fable Hills 4th Addition.
Approve Reduction in the Cash Escrow for The Excelsior Group for Adelaide Landing 1't
Addition Site Grading
The Excelsior Group, developer, had requested the City reduce the cash escrow being held for
the Adelaide Landing 1st Addition to 40% of the original cash escrow in the amount of
$171,000.00. Adoption of the Consent Agenda approved the cash escrow being held for the site
grading in the Adelaide Landing Ist Addition be reduced to $68,400.00.
Hugo City Council Meeting Minutes for January 8,2018
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Approve Reduction in the Letter of Credit for the Excelsior Group for Adelaide Landing
Phase 1 Street and Utilities
The Excelsior Group, developer, had requested the City reduce the letter of credit being held for
the Adelaide Landing 1St Addition to 59% of the original letter of credit amount of$2,979,798.
Adoption of the Consent Agenda approved the letter of credit being held for the constructed
improvements be reduced to $1,758,080.82.
Approve Lawful Gambling Exempt Permit for Church of St. Genevieve for Fish Fry on
March 23, 2018
The Church of St. Genevieve had requested approval of a Lawful Gambling Exempt Permit for
their annual fish fry to be held on March 23, 2018.Adoption of the Consent Agenda approved
the Lawful Gambling Permit for Church of St. Genevieve.
Approve Extension of Temporary Employment for History Intern Olivia Schiffman
At its May 15, 2017, meeting, Council approved the hiring of Olivia Schiffman as a History
Intern. Olivia had been assisting the Historical Commission in the organization of historical data
and researching the history of the Hopkins Schoolhouse in preparation of making a
recommendation on its future. Adoption of the Consent Agenda approved a six-month extension
for History Intern Olivia Schiffman.
Public Hearing on Vacation of Ponding and Flowage Easement for Rock Ridge, LLC
Rock Ridge, LLC, had requested a vacation of the existing ponding and flowage easement over
property generally located north of 157th Street and east of TH 61. Community Development
Assistant Rachel Leitz showed on a map where the easement was located and explained that it is
believed the easement existed to accommodate FEMA floodplain information from 1982. The
data was updated in 2010, and now only a small portion of the property is in the floodplain.
When the property develops, new drainage and utility easements will be placed on the property.
Mayor Weidt opened the public hearing. There were no comments, and Weidt closed the public
hearing.
Petryk made motion, Miron seconded, to approve the notice to vacate the ponding and flowage
easement over property generally located north of 157th Street and east of TH61.
All ayes. Motion carried.
Update on the White Bear Lake Lawsuit
City Administrator Bryan Bear provided background on the lawsuit between White Bear Lake
Restoration Association and Homeowners Association versus DNR. The City of White Bear
Lake and White Bear Township had intervened on the side of the DNR. There was an order by
Judge Margaret Marrinan on August 29, 2017, and a temporary stay of the order granted on
December 18, 2017. A hearing was scheduled for January 26, 2018 to consider motions related
to the order. The DNR had announced their intention to appeal the ruling, and it would go to the
court of appeals sometime this summer.
Hugo City Council Meeting Minutes for January 8,2018
Page 8 of 11
Bear explained the order basically stated the DNR allowed White Bear Lake to drain by
excessive pumping and instructed the DNR to prohibit new appropriation permits, review
existing permits, and analyze impacts of all permits. He stated it was important to understand
that the order applies only to the DNR, and there had been no direction given to the City. He
showed the five mile radius line that is referenced in the order, and noted that Hugo's entire
water system is impacted. Bear spoke about the negative impacts of not being able to obtain
appropriation permits that are needed for construction de-watering, citing the Adelaide Landing
Development as one example, who had since reapplied for a permit during the temporary stay.
Bear talked about sustainability and the order's requirement to develop contingency plans for
conversion to surface water supply which, by the order, is required to be done by August 29,
2018. Hugo has no viable surface water source for total replacement, and has already completed
a partial conversion by reusing stormwater. He also talked about the order's residential
irrigation ban that will be in effect until the lake is above the 924 elevation. Bear felt it was not
practical and could be counter-productive. There were also limits placed in the order for water
use per capita. Historically, Hugo has been below those thresholds.
Bear compared the new DNR transient model with the stormwater model used by the USGS. He
explained the transient model identified permits that impact the lake level the most, and it
suggested there are other factors. Irrigation was not shown to be a meaningful factor, nor was
Hugo's water use. Bear presented a list of appropriation permits said to have impacted the lake,
and Hugo's permit was low on that list. In Bear's opinion, the more the City learns, the more
convinced he is that Hugo has no impact on the water level of the lake. He concluded by saying
the City should keep doing what it is doing, and staff was not requesting the Council take any
action at this time. He also suggested considering whether there is a legislative solution to
remove Hugo from any part of the action.
Council had questions on the allowed 90 gallons per capita per day, and asked Bear to explain
the impacts of an irrigation ban. Council also questioned what is meant by "sustainable". Bear
stated there had been significant discussions on sustainability but is not as clear as it should be to
impose a sustainability standard.
Snyder reviewed what was done by the trial court judge in 2014 and the decision Hugo made to
not intervene in the lawsuit because it was felt scientific questions should be answered by
scientists and engineers, not lawyers. The City was already implementing water conservation
measures. The order could now go to the Court of Appeals, and Snyder anticipated that in the
future,the City may again be asked if it wants to participate in the lawsuit. Snyder stated he felt
that, to the extent there is allegation that municipal pumping affects ground water, wells to the
south are shown to have far more impact than Hugo's wells.
Council asked about the review of the order, and Snyder explained the process saying that the
trial court makes a ruling, and if the party is not satisfied, they can bring back to the trial court
and ask them to reconsider. If they do not make a change, it can be brought before the court of
appeals for a broader ruling. It was Snyder's belief the trial court would address the grievous
demands in the order, but fundamental problems may remain.
Hugo City Council Meeting Minutes for January 8,2018
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Schwieters Concept Plan
Planner Rachel Juba presented a sketch plan for Schwieters Properties, LLP, for a site located on
the southwest corner of 140th Street and Fenway Boulevard. The proposed industrial
development would include a 108,000 square foot manufacturing building, with associated
outdoor storage, a 45,000 square foot warehouse building, a 17,000 square foot office building,
and a 13,000 square foot office building. Development of this site would allow them to expand
into the manufacturing of floor panels and roof trusses. The property totals approximately 30
acres with 11 acres of wetland throughout the site. The property is zoned Business Park(BP) and
is guided as Business Park(BP) in 2030 Comprehensive Plan.
Juba reviewed with Council the campus style layout showing where the buildings and parking
would be and explaining how development of the site would be phased. The access to the site
would be on the unimproved portion of 140th Street, and cost sharing for the improvements
would need further evaluation. She talked about the applicants need for exterior storage, which
is allowed in the Business Park zoning district; however, it excludes the raw material. She
explained that staff felt there was little distinction between the raw and finished projects in this
case. A zoning code amendment would need to be done to allow this exterior storage and it
would only be allowed by a Conditional Use Permit, which would give the City some discretion.
Juba reviewed the comments from the EDA and Planning Commission stating they were both
comfortable with the plan and exterior storage. Juba asked Council to provide feedback on the
project.
Petryk asked about the raw material storage and questioned if the zoning amendment would go
along with the property should it be sold. Juba replied it would run with the land, and the
amendment needed to be written to consider what was allowed in the zoning district.
Mayor Weidt invited the applicants to speak.
Mike Brass from Colliers International stated he was the commercial broker representing the
Schwieters, and he introduced Eli Rupnow from AMI Engineering, and Mark Wenzel from 292
Design. He also recognized Pat and Blake Schwieters and Brenda Kunkel from Schwieters
Properties, who were in the audience. Wenzel talked about the plans and process explaining the
screening, truck traffic, and future development of the office buildings. He said they had met the
neighbors to the north who conveyed they wanted to make sure it was safe for pedestrians. Brass
talked about delivery of raw materials, pickup of the final product, building locations, wetlands,
and screening.
Miron said he appreciated the consideration to the neighbors to the north and efforts to screen.
He asked about the parking spaces and employment impacts. Brass replied there would be
roughly 100 employees at full manufacturing and parking would accommodate both shifts at the
same time. Miron stated he was in favor of the zoning amendment and appreciated staff's
attention to making sure the appropriate language was in place.
Petryk asked about use of the rail line, since the track has been improved. Blake Schwieters
stated they would be utilizing the rail more frequently to bring in the raw materials, and
manufactured products would mostly be moved by truck.
Haas had no questions and stated he fully supported the project.
Hugo City Council Meeting Minutes for January 8,2018
Page 10 of 11
Weidt stated he appreciated their presentation to the EDA and looked forward to the project
moving forward.
Klein stated he was also part of the EDA review, and he fully supported the project.
Update on the Yellow Ribbon Network
Council Member Chuck Haas and Phil Klein reported on the Yellow Ribbon Network activities
held recently. Haas asked anyone with an address of a deployed service member to forward it to
the YRN, and they would send a care package. March care packages will contain donated Girl
Scout cookies. The YRN worked with the Family Assistance Center to get a local family a grant
for $2,500 for needed medical cost. This month Burger Night sponsor is Lake Area Bank.
Schedule Hugo Fire Department Annual Awards Dinner for Saturday,January 20, 2018
City Administrator Bryan Bear informed Council they had been invited to attend the Hugo Fire
Department Annual Awards Dinner on Saturday, January 20, 2018. The event was scheduled to
be held at the Hugo American Legion beginning with social hour at 5 p.m.
Klein made motion, Petryk seconded, to schedule a meeting to attend the Fire Department
Annual Dinner on January 20, 2018 at 5 p.m.
All Ayes. Motion carried.
Reminder of Council Goal Setting Workshop on Mondav, January 29, 2018
City Administrator Bryan Bear reminded Council of their annual Goal Setting Workshop for
Monday, January 29, 2018. The meeting was scheduled to take place in the Council Chambers at 7
p.m.
Schedule Retirement Reception for Steve Duff on Tuesday,January 30, 2018
At its October 16, 2017, meeting, Council approved the retirement of Senior Engineering
Technician Steve Duff effective January 31, 2017. Staff recommended Council hold the
retirement party for Steve on Tuesday, January 30, 2018, from 2-4 p.m. in the Oneka Room at
City Hall.
Miron made motion, Klein seconded, to schedule the retirement reception for Steve Duff on
Tuesday, January 30, 2018, from 2-4 p.m.
All Ayes. Motion carried.
Executive Session
Mayor Weidt added an executive session to the meeting during the approval of the agenda.
Weidt indicated he was comfortable with the earlier discussion on the White Bear Lake lawsuit
and felt the executive session was unnecessary at this time.
Hugo City Council Meeting Minutes for January 8,2018
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Weidt made motion, Miron seconded, to table the executive session.
All Ayes. Motion carried.
Adiournment
Klein made motion, Miron seconded, to adjourn at 8:27 p.m.
All Ayes. Motion carried.
Respectfully Submitted,
Michele Lindau
City Clerk