HomeMy WebLinkAbout2021.06.21 CC MinutesMinutes
HUGO CITY COUNCIL MEETING
HUGO CITY HALL
14969 Fitzgerald Avenue North • Hugo. MN SS039 MONDAY. JUNE 21. 2021— 7 P.M.
Call to Order
Mayor Weidt called the meeting to order at 7:00 p.m.
COUNCIL PRESENT: Klein, Miron, Strub, Weidt
COUNCIL PRESENT REMOTELY: Petryk
OTHERS PRESENT: City Administrator Bryan Bear, Community Development Director Rachel
Juba, Community Development Assistant Emily Weber, Parks Planner Shayla Denaway,
City Engineer Mark Erichson, City Clerk Michele Lindau
OTHERS PRESENT REMOTELY: City Attorney Dave Snyder
Approval of Minutes for the June 7, 2021, City Council Meeting
Klein made motion, Miron seconded, to approve the minutes for the City Council meeting held
on June 7, 2021, as presented.
All Ayes. Motion carried.
Approval of Minutes for the June 7, 2021, City Council Executive Session for Acquisition of
Property for Downtown Street Proiect
Klein made motion, Strub seconded, to approve the minutes for the City Council Executive
Session held on June 7, 2021, as presented.
All Ayes. Motion carried
Approval of Agenda
Weidt made motion, Klein seconded, to approve the agenda as presented.
All Ayes. Motion carried.
Approval of Consent Agenda
Klein made motion, Miron seconded, to approve the following Consent Agenda:
1. Approve Claims Roster
2. Approve Special Event Permit for Tough Mudder
3. Approve Temporary Liquor License for Hugo Lions Club for the Tough Mudder
4. Approve Resolution Authorizing Acceptance of the Coronavirus Local Fiscal Recovery
Funds
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Page 2 of 9
5. Approve Resolution Approving Encroachment Agreement for Fence at 14276 Evergreen
Avenue North - Anna Lovegren
6. Approve Extension of Purchase Agreement Timeline for City Owned Property
7. Approve Application for Washington County CDA Predevelopment Grant
All Ayes. Motion carried.
Approve Claims Roster
Adoption of the Consent Agenda approved the Claim Roster as presented.
Approve Special Event Permit for Tough Mudder
The Tough Mudder had applied for a Special Event Permit to hold their two- day endurance
sport event at Wild Wings Game Farm on July 10 and 11, 2021. This would be the fifth year the
event was held at Wild Wings. This event was not held last year due to COVID. A Special
Event Permit approved by Council was required because there would be approximately 7,305
people on site on Saturday and 1,436 on Sunday, impacts to public streets, use of an amplified
sound system, and alcohol served. Staff had reviewed the application with Wild Wings, the
Hugo Fire Department, and the Washington County Sheriff's Department. Adoption of the
Consent Agenda approved the Special Event Permit for the Tough Mudder event to be held on
July 10 and 11, 2021, with the conditions attached to the permit.
Approve Temporary Liquor License for Hugo Lions Club for the Tough Mudder
The Hugo Lions Club had applied for a Temporary Liquor License to serve beer at the Tough
Mudder event on July 10 and 11, 2021. Beer would be supplied by Goose Island, and race
participants would receive one free beer with the registration if they are 2 1 + years of age.
Identification would be checked and wristbands used. Two deputies would be located in the base
area where alcohol is served. Adoption of the Consent Agenda approved the Temporary Liquor
License for the Tough Mudder event on July 10 and 11, 2021.
Approve Resolution Authorizing Acceptance of the Coronavirus Local Fiscal Recovery
Funds
At their June 7, 2021 City Council meeting, Council expressed interest in accepting the estimated
$1,600,000.00 in Coronavirus Fiscal Recovery Funds that the City of Hugo was eligible to
receive under the American Rescue Plan Act. The Coronavirus Fiscal Recovery Fund was
established to provide a substantial infusion of resources to help turn the tide on the COVID-19
pandemic, address the pandemics economic fallout, and lay the foundation for a strong and
equitable recovery. Eligible uses of the recovery funds included responding to the COVID-19
public health emergency and the negative economic impacts of the pandemic, premium pay for
essential workers, replacement of revenue lost due to the pandemic that would be used to provide
vital government services, and necessary investments in water, sewer and broadband
infrastructure. Guidance issued by the United States Department of Treasury classified cities
under 50,000 in population, which included the City of Hugo, as non -entitlement units of local
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Page 3 of 9
government and directed these cities to receive their per capita share of the recovery funds from
their state government. The State of Minnesota and Minnesota Management and Budget had
finalized the certification process for non -entitlement cities and opened the portal for
applications. Adoption of the Consent Agenda approved RESOLUTION 2021-39
AUTHORIZING ACCEPTANCE OF THE CORONAVIRUS LOCAL FISCAL RECOVERY
FUNDS ESTABLISHED UNDER THE AMERICAN RESCUE PLAN ACT.
Approve Resolution Approving Encroachment Agreement for Fence at 14276 Evergreen
Avenue North - Anna Lovegren
Anna Lovegren, 14276 Evergreen Avenue North, had applied for an encroachment agreement to
allow a fence to be constructed within a drainage and utility easement on her property. Adoption of
the Consent Agenda approved RESOLUTION 2021-40 APPROVING AN ENCROACHMENT
AGREEMENT FOR ANNA LOVEGREN TO ALLOW CONSTRUCTION OF A FENCE
WITHIN A DRAINAGE AND UTILITY EASEMENT ON THE PROPERTY LOCATED AT
14276 EVERGREEN AVENUE NORTH.
Approve Extension of Purchase Agreement Timeline for City Owned Property
At their September 15, 2020, meeting, the Hugo EDA made a motion to direct staff to work with
Denny Trooien on his proposal for the purchase agreement for City -owned property along Egg
Lake. The Council approved the purchase agreement at their December 7, 2020, meeting, and the
agreement was executed on January 20, 2021. Trooien had presented his concept plan to the
EDA, which included restaurants and retail spaces as well as common space and a dock area. Mr.
Trooien had been working on putting together concepts for the property and had meet with staff
and other entities such as the MN DNR to work out development details. The applicant requested
more time to determine if flexibility would be allowed on some of the regulations such as
shoreland setbacks. The existing term of the purchase agreement stated that phase one was to be
closed on November 20, 2021. Mr. Trooien had requested a six month extension to allow the
closing to occur on May 20, 2022. The EDA considered this at their June 15, 2021, meeting and
unanimously recommended approval. Adoption of the Consent Agenda approved a six- month
extension of the purchase agreement.
Approve Application for Washington Countv CDA Predevelopment Grant
Washington County CDA had a pre -development grant program for planning areas of
communities that have not been developed yet. Each city in the county could apply for $40,000
per year with a 1:1 match. The match could be local or by a private entity or landowner;
however, the City was required to apply for the grant. Marvin and Judith LaValle had requested
that the City apply for the grant for land use planning for their property south of County Road 8
and west of Highway 61. The property was mostly vacant with a few barns. LaValles wanted to
complete an Alternative Urban Areawide Review (AUAR) to determine the best land uses for
their property. The AUAR was a planning tool that communities can use to evaluate different
development scenarios and environmental impacts on the property. The AUAR would also
satisfy the environmental requirements that could be triggered with development of the property.
The LaValle's had proposed to request a $40,000 grant for the market study and AUAR and
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would be responsible for the match. The EDA considered the request at its June 15, 2021,
meeting and unanimously recommended approval to the Council. Adoption of the Consent
Agenda approved RESOLUTION 2021-41 AUTHORIZING SUBMITTAL OF AN
APPLICATION FOR FUNDING FROM THE WASHINGTON COUNTY CDA
PREDEVELOPMENT FINANCE FUND.
Award of Bid for Downtown Improvement Project and Lions Park Site Improvements
City Engineer Mark Erichson explained that the City had received bids on the storm water reuse
project on June 1 lth, the Lions Park pavilion project on June 15th, and the Lions Park site
improvements and the downtown street project on June 16th, saying all projects were intertwined.
He showed where the projects were located and the master plan for the park. On Wednesday,
June 16, 2021, bids were opened for the 2021 Downtown Improvement Project / Lions Park
Project. Four bids were received with the base bid plus four alternates ranging from
$6,229,214.95 to $9,644,833.95 with the Engineer's Estimate totaling $6,934,656.55. The low
bidder was Peterson Companies, Inc. in the amount of $6,229,214.94. This included the base bid
and the alternate bids. Alternate A related to the court development, Alternate B related to was
for the northwest parking lot, Alternate C was for the building demo, and Alternate D was for the
pedestrian lights.
Klein made motion, Petryk seconded, to approve the bids and award the contract to Peterson
Companies, Inc. in the amount of $6,229,214.94.
All Ayes. Motion carried.
Approve Proposal from Flagship Recreation for the Playground in Lions Park
Parks Planner Shayla Denaway showed the final rendering of the playground equipment and
explained the Lions Park Playground Stakeholder Committee reviewed four proposals from
playground vendors and selected Flagship Recreation. The committee met four times to refine
their preferred playground design which included embankment activities, a large climbing tower,
zip lines, and sensory activities. It also included installation, aggregate base, pour -in -place
surfacing and play sand. She stated staff recommended Council approve the proposal from
Flagship Recreation in the amount of $499,907.22
Strub made motion, Klein seconded, to approve the proposal from Flagship Recreation in the
amount of $499,907.22.
All Ayes. Motion carried
Award of Bid for Pavilion in Lions Park
At their May 3, 2021 meeting, City Council had approved plans and specs and authorized
advertisement of bids for an approximately 5,500 square foot pavilion with an attached picnic
shelter at Lions Park, 5524 Upper 146th Street North. Parks Planner Shayla Denaway showed the
final rendering of the pavilion and explained it was designed with the help of a stakeholder
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committee. Bids were open on June 15, 2021, and 11 bids were received. The base bids ranged
from $3,009,890 to $3,311,000, with the low bidder being Schreiber Mullaney Construction Co.
Denaway explained there were two alternatives in the project. One was to provide a sun control
window film instead of the solar glazing, and staff recommended that alternate be rejected
because the cost reduction was viewed as not worth it. Another alternate was to provide a 90 mil
roof liner instead of the 60 mil roof liner, and staff recommended they accept that.
Miron made motion, Klein seconded, to approve bids for the Lions Park Pavilion, including
$13,000 in alternatives, and Award a Contract to Schreiber Mullaney Construction Co., Inc in the
amount of $3,022,890.
All Ayes. Motion carried.
Schedule Public Hearing on Tax Abatement for July 19, 2021
Park Planner Shayla Denaway summarized the bids the Council had just awarded. The
downtown street and park improvement project was approximately $2.9 million in City funds
and $3.3 million in park project funding. The pavilion bid was approximately $3,022,000. Excel
had estimated the undergrounding of powerlines to cost $100,000. Legal, engineering,
administrative, and financing costs came to $731,786 for the downtown project in general, and
$601,890 for the park, which included the drafting of the construction documents and work
already done. Estimates for items associated with the pavilion were at $286,000, and the
playground equipment $499,907. Total for the street improvement project was $3,658,931 and
the park project $7,809,871
City Engineer Mark Erichson added that 147th Street was a State Aid street, so those
improvements and the turn lanes at Oneka Parkway were reimbursable through those funds, and
some of the grants for the CSAH 8 water reuse project would be used for both projects.
Denaway concluded by saying that since the Council decided to move forward with the Lions
Park Improvement Project, staff was recommending Council schedule a public hearing on tax
abatement at the July 19, 2021, City Council meeting as preparation in considering of the sale of
Tax Abatement Bonds to pay for the improvements.
Weidt made motion, Petryk seconded, to schedule a public hearing on tax abatement at the July
19, 2021, City Council meeting.
All Ayes. Motion carried.
Award of Bid for CSAH 8 Stormwater Reuse Project
City Engineer Mark Erichson reviewed the bids for the CSAH 8 Stormwater Reuse Project and
explained the project would reconnect irrigation systems and serve 22 acres along CSAH 8,
Lions Park, Keystone Place, Hugo Gardens, Lions Park, and City Hall. Water would be pumped
from the stormwater pond located in the NE quadrant of CSAH 8 and Oneka Parkway to the
existing and future irrigation systems, conserving an estimated 14 million gallons of water
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annually. The City of Hugo had secured $568,450 in grants for the project. On Friday, June 11,
2021, bids were opened. Two Bids were received, ranging from $514,500.65 to $1,046,128.00
with the Engineer's estimate totaling $534,985.00. He explained the low bidder, Peterson
Companies, was also the low bidder for the downtown street and Lions Park site improvements
projects and had successfully bid on other water reuse projects in Hugo. Staff recommended the
Council consider these bids and award a contract in the amount of $514,500.65 to Peterson
Companies, Inc., based on the results of the bids received.
Miron made motion, Klein seconded, to receive these bids and award a contract in the amount of
$514,500.65 to Peterson Companies, Inc., based on the results of the bids received.
All Ayes. Motion carried.
Before going on the next item, Mayor Weidt asked if staff could look at what Phase 2 of the
playground project would cost. Shayla provided a rough estimate, depending on what was
chosen for equipment, of between $175,000 and $250,000. She said if Council could consider it
at the next meeting. A budget would be set, and the committee could refine what it would look
like.
Weidt made motion, Klein seconded, to direct staff to come up with a design and estimate for the
Phase 2 of the playground area.
Al Ayes. Motion carried.
Erichson said the next step would be to schedule preconstruction meetings, and he provided
completion dates for the projects. The road construction was to be substantially complete by
November 19, 2021, the Lions Park site improvements by November 24, 2021, the Lions Park
pavilion by April 1, 2022, and outdoor spaces of the park by July 15, 2022, and final completion
of all projects by August 8, 2022. Erichson recommend they set a date for groundbreaking
sometime between July 6-8.
Weidt made motion, Klein seconded, to schedule the groundbreaking for Lions Park for
Tuesday, July 6, 2021, at 4 p.m.
All Ayes. Motion carried.
Receive Feasibility Study and Set Public Hearing for 121St Street Improvement Project
In February, City Council reviewed the Acres of Bald Eagle sketch plan (Drengson Subdivision)
and provided the development team feedback. At the June 7, 2021, City Council meeting, the
Council authorized the preparation of a feasibility study for the project.
City Engineer Mark Erichson explained the project was located in the Metropolitan Urban
Service Area, and utilities would be extended to this area and adjacent areas. Also proposed
were road improvements and drainage improvements. He showed the sketch plan that consisted
of nine lots adjacent to 121st Street and explained the preliminary design had utilities extended
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past 12 existing properties that were not included in the concept plan. These property owners
had individual wells and septic systems and were interest in connecting. Erichson showed the
utilities being proposed and the properties that would be assessed. The improvements funded
through assessments would be sanitary sewer from the development street to two existing
properties on Falcon Avenue and sewer and water service to properties abutting 121St Street and
Falcon Avenue. All other improvements would be the responsibility of the developer. He
provided the overall improvement costs explaining the Acres of Bald Eagle would pay
$711,881.18, the City's cost would be $49,932.44 for oversizing the water main, and the
assessments would pay for $113,315.64, for a total cost of $875,129.26. He recommended
Council approve the resolution receiving the feasibility study and setting the public hearing for
the utility and street improvement project.
There was a question by Council on whether assessments included hookup to the homes.
Erichson explained the assessment would be for extending service to the property, and the
homeowner would be responsible to pay for hookup.
Weidt made motion, Petryk seconded, to approve RESOLUTION 2021-42 RECEIVING THE
FEASIBILITY REPORT AND SETTING THE PUBLIC HEARING FOR THE 121ST AVENUE
AND ACRES OF BALD EAGLE UTILITY & STREET IMPROVEMENTS PROJECT.
All Ayes. Motion carried.
Discussions on Possible DNR Restrictions Concerning Outdoor Water Use
City Administrator Bryan Bear informed Council that the City had been notified by the DNR that
an order banning outdoor water use may be forthcoming if drought conditions continued.
Community Development Assistant Emily Weber presented information on what the City's role
would be when such and order is issued.
Weber provided background on the City's Local Water Supply Plan that stated how to allocate
water during an emergency and outlined the City's conservation objectives and strategies. City
Code also allowed the Council to adopt a resolution imposing regulations. A resolution adopted
in 2001 imposed an odd/even watering restriction on properties that used the City's water supply
system. Addresses ending in an odd number could water on odd days, even number on even
days, except for new sod and vegetation. A resolution was also adopted that established a $25
penalty for the first offense and $50 for each subsequent offences within one year. Weber
explained if dry conditions continued, the MN DNR may ask cities to implement water
restrictions. Additionally, if the Governor declared a critical water deficiency by executive
order, Hugo would need to adopt and enforce water conservation restrictions on non -essential
uses as outlined in MN State Statute. Weber explained that stormwater reuse projects helped the
City conserve water, and there was no concern with the City's infrastructure meeting demand;
however, concerning behaviors pertaining to water usage had been noticed such as water during
the middle of the day, and residents were concerned about low stormwater ponds. She asked
Council to discuss the current water restrictions and stated there was an opportunity to educate
residents.
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It was asked by Council if the levels of the current stormwater ponds were meeting their
minimum and if some of the stormwater reuse systems were converting to City water. Bear
replied that there were a couple of ponds that were very low, and restrictions placed on residents
by their HOAs were causing some residents to connect a hose to the City's water supply for
outside irrigation. It was asked if even/odd restriction applied to private wells, and it was
explained the resolution only pertained to City water. Bear talked about neighborhoods
continuing the frequent watering that began when they were establishing sod. This was
monitored and regulated by the HOAs.
Weidt talked about how fragile access to water was and felt education needed to be done. Rules
needed to be considered that included stormwater ponds. The Council generally agreed it was
important to be proactive. It was suggested engaging the HOAs to help with implementation
and education on water conservation. There was also a suggestion to send a friendly letter to the
top water users, as was done in the past, as a reminder and heads up that more restrictive
measures may be forthcoming.
Weidt made motion, Klein seconded, to direct staff to look at the City's ordinance to strengthen
the requirements and language on both the City water users and water reuse users and to work on
the education piece.
All Ayes. Motion carried.
Cancel July 5, 2021 Council Meeting
City Administrator Bryan Bear informed Council the first regular Council meeting in July was
on July 5, 2021, the same day as Independence Day (4th of July) was observed. He explained
Council could cancel the meeting or reschedule it. Staff had no agenda items, and he
recommended Council cancel the meeting.
Weidt made motion, Klein seconded, to cancel the first regular Council meeting in July.
All Ayes. Motion carried.
Schedule National Night Out for Tuesday, August 3, 2021
City Administrator Bryan Bear informed Council that National Night Out was scheduled for
Tuesday, August 3, 2021. In the past, Council attended neighborhood parties along with the
Hugo Fire Department and Washington County Sheriff's Office personnel.
Klein made motion, Miron seconded, schedule a meeting to attend National Night Out events on
Tuesday, August 3, 2021.
All Ayes. Motion carried.
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Schedule Midyear Budget Workshop for Thursday, August 19, 2020
City Administrator Bryan Bear requested Council schedule the Midyear Budget Workshop.
Miron made motion, Klein seconded, to schedule the Midyear Budget Workshop for August 19,
2021, at 5 p.m. in the Council Chambers.
All Ayes. Motion carried.
Adjournment
Klein made motion, Strub seconded, to adjourn at 8:00 p.m.
All Ayes. Motion carried.
Respectfully Submitted,
Michele Lindau,
4� . Lvv,-"
City Clerk