HomeMy WebLinkAbout2023.07.10 CC MinutesMINUTES
City Council Meeting
City Hall Council Chambers
Monday, July 10, 2023
7:00 p.m.
Call to Order
Mayor Weidt called the meeting to order at 7:00 p.m.
Roll Call
COUNCIL PRESENT: Klein, Miron, Petryk, Strub, Weidt
COUNCIL ABSENT: None
OTHERS PRESENT: City Administrator Bryan Bear, City Engineer Mark Erichson, City
Attorney Dave Snyder, Community Development Director Rachel Juba, City Clerk Michele
Lindau
Approve Minutes for the June 12, 2023, Executive Session - City Administrator Review
Mayor Weidt read the summary statement recapping the Executive Session.
Klein made motion, Miron seconded, to approve the minutes for the executive session held on June
12, 2023.
All ayes. Moton carried.
Approve Minutes for the June 12, 2023, City Council Meeting
Klein made motion, Petryk seconded, to approve the minutes for the City Council meeting held on
June 12, 2023, as presented.
All Ayes. Motion carried.
Approve Minutes for the June 13, 2023, Premier Bank Ground Breaking
Miron made motion, Klein seconded, to approve the minutes for the Premier Bank groundbreaking
held on June 13, 2023, as presented.
All Ayes. Motion carried.
Approve Minutes for the June 23, 2023, Torch Run for Special Olympics
Klein made motion, Petryk seconded, to approve the minutes for the Torch Run for Special
Olympics held on June 23, 2023, as presented.
All Ayes. Motion carried.
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Approve Minutes for the June 27, 2023, Bernin Park Neighborhood Meeting
Strub made motion, Klein seconded, to approve the minutes for the Bernin Park neighborhood
meeting held on June 27, 2023, as presented.
All Ayes. Motion carried.
Approval of Agenda
Weidt made motion, Klein seconded, to approve the agenda as presented.
All Ayes. Motion carried.
Consent Agenda
Miron made motion, Klein seconded, to approve the following Consent Agenda:
1.Approve Claims Roster
2.Approve Performance Review for Building Inspector Terry Hagstrom
3.Approve Retirement of Kevin Kriegshauser from the Hugo Fire Department
4.Approve Mid-Year Performance Review for Public Works Worker Neal Nelson
5.Approve Donation to the Hugo Fire Department from St. John the Baptist Men’s Club
6.Approve Transfer of Ownership Agreement of AEDs to the City of Hugo from
Washington County
7.Approve Summary Ordinance for Solar Farm Moratorium
8.Approve Hugo Firefighter’s Relief Association Request for Increase in Lump-Sum
Pension
9.Approve Language Update to the Hugo Firefighter’s Relief Association Bylaws
10.Approve Temporary Liquor License for Hugo Lions Club for Wilson Tool Picnic
All Ayes. Motion carried.
Approval of Claims
Adoption of the Consent Agenda approved the Claims Roster as presented.
Approve Performance Review for Building Inspector Terry Hagstrom
Terry Hagstrom was hired on July 12, 2021, as a new Building Inspector. Adoption of the
Consent Agenda approved the annual performance review for Building Inspector Terry
Hagstrom.
Approve Retirement of Kevin Kriegshauser from the Hugo Fire Department
In May of 2010, Kevin Kriegshauser was hired as a firefighter on the Hugo Fire Department.
Kevin had relocated outside of the City of Hugo and submitted his notice of retirement from the
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Page 3 of 11
department. Adoption of the Consent Agenda approved the retirement of Kevin Kriegshauser
from the Hugo Fire Department.
Approve Mid-Year Performance Review for Public Works Worker Neal Nelson
In 2017, after two years as a summer seasonal employee, Neal Nelson was hired by the City as a
full time employee under the City’s Public Works apprentice program. The Public Works
Director had requested Council approval to advance him to step 5 of pay grade 5. Adoption of
the Consent Agenda approved the mid-year performance review and step increase for Public
Works Worker Neal Nelson.
Approve Donation to the Hugo Fire Department from St. John the Baptist Men’s Club
Th St. John the Baptist Men’s Club wanted to donate $500 to the Hugo Fire Department.
Donations to the Fire Department needed to be approved by Council. Adoption of the Consent
Agenda approved the $500 donation from the St. John the Baptist Men’s Club.
Approve Transfer of Ownership Agreement of AEDs to the City of Hugo from Washington
County
Washington County Sheriff’s Office had received a grant to purchase new Automated External
Defibrillators (AED) and wanted to donate four used AEDs to the Hugo Fire Department. These
AEDs were still functional and would be used by the Fire Department in public buildings and for
their AED program. Donations to the Fire Department needed to be approved by the Hugo City
Council. Adoption of the Consent Agenda approved the Transfer of Ownership Agreement for
the donation of AEDs from Washington County to the Hugo Fire Department
Approve Summary Ordinance for Solar Farm Moratorium
At its June 12, 2023, meeting, Council had approved an ordinance for a moratorium on solar
farms. Staff had prepared a summary of the ordinance for publication. Adoption of the Consent
Agenda approved SUMMARY ORDINANCE 2023-526 SUMMARY OF AN INTERIM
ORDINANCE EXTENDING A TEMPORARY MORATORIUM ON NEW DEVELOPMENT
OF SOLAR FARM SOLAR ENERGY SYSTEMS AND DIRECTING A STUDY TO BE
CONDUCTED.
Approve Hugo Firefighter’s Relief Association Request for Increase in Lump-Sum Pension
The Board of Trustees for the Hugo Firefighter’s Relief Association had formally requested City
Council ratification of an increase of $300 per year of service in their lump-sum pension
benefit. The Finance Department had reviewed the request and found it to be financially feasible
and consistent with the Pension Fiscal Policy adopted in April, 2012. Adoption of the Consent
Agenda approved the Board of Trustees request for a $300 increase in their lump-sum pension
benefit and corresponding change to their bylaws.
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Approve Language Update to the Hugo Firefighter’s Relief Association Bylaws
After reviewing the current and historical bylaws of the Hugo Firefighter’s Relief Association
the Office of the State Auditor had requested that the Relief Association update their bylaws to
specify the deferred interest credit method. Historically, deferred interest had been based on full
calendar years and the Relief Association had voted to update the language in their bylaws to
specify this method and had formally requested City Council ratification of this language update.
Adoption of the Consent Agenda approved the language update to the Hugo Firefighter’s Relief
Association Bylaws specifying that the deferred interest credit method will be based on full
calendar years.
Approve Temporary Liquor License for Hugo Lions Club for Wilson Tool Picnic
The Hugo Lions Club had applied for a Temporary On-Sale Liquor License to serve alcohol at
the Wilson Tool picnic to be held at Hanifl Fields on Saturday, August 12, 2023 Adoption of the
Consent Agenda approved the Temporary Liquor License for the Hugo Lions Club.
Public Hearing on Interim Ordinance for Cannabis
City Administrator Bryan Bear provided background on the legalization of cannabis and asked
the Council consider a moratorium with further policy discussions later. In 2022, legislation was
approved to allowed the sale of edible cannabinoid products (THC) with no regulatory structure.
The city adopted a moratorium that will expire on August 15, 2023. In 2023, the legislature
legalized sale and possession of cannabinoid products, which included low potency hemp edibles
and related products with 16 different licenses. The Office of Cannabis Management was being
created and would research, study, make rules, establish policies, and exercise regulatory
authority over the industry. They would also draft model ordinance including zoning and
develop forms and documents. Licensing would happen at the OCM, and cities would be
notified. This was to be completed by January 1, 2025. This legislation was considered at the last
Council meeting and staff was directed to schedule a public hearing for this evening to consider a
moratorium on cannabis businesses.
Cities would be required to certify licenses met zoning codes, have a registration process, and do
compliance checks. Cities could collect a registration fee and will receive a share of the
cannabis tax. The City was allowed to impose reasonable regulations on the time, place, and
manner of operation of cannabis businesses and on the number of licenses for cannabis
businesses with at least one per 12,500 people.
Bear explained cannabinoid products were defined as cannabis and lower-potency hemp.
Cannabis products are products infused by cannabinoids or containing cannabis concentrate and
do not include lower-potency hemp edibles, which are artificially derived cannabinoids. The
edible cannabinoid products definition was left over from the 2022 statute that was specific to
the percentage of THC in the products. The 2023 Statute allowed edible cannabinoid products to
be sold in exclusive liquor stores.
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Bear reviewed the current moratorium in place until August 15, 2023 on edibles stating the City
could not extend it beyond 12 months but could enact a new ordinance on cannabis businesses.
A cannabis business did not include the sale of low-potency edibles. The City could enact a new
moratorium under statute 462.355 that could cover those products as well. He recommended
Council adopt a new moratorium, an interim ordinance, for 12 months that would be a
combination of both statutes to allow the City to conduct studies and develop its own regulations.
Exclusive liquor stores would be exempt. The only thing that currently prohibited the products in
liquor stores was the current existing moratorium. They would be allowed after August 15,
2023, following state regulations. Before approving a new moratorium, a public hearing was
required.
Council members asked for clarification on what would be allowed after the current moratorium
expired. Bear explained that all products had been recategorized under the new statute. The
proposed ordinance and would include all products except for edible cannabinoid products that
would be allowed to be sold in exclusive liquor stores.
Mayor Weidt opened the public hearing.
Mike Fish, 6193 152nd Street, talked about limiting licenses to one per 12,500 residents,
minimum two in the City, and if liquor stores would be included as a cannabis business. Bear
explained the limitation would be two cannabis business, and businesses that exclusively sell
edibles are not counted as cannabis businesses. The moratorium would only allow for the sale in
liquor stores, and eventually the Council would have the policy level discussion.
There were no other comments, and Mayor Weidt closed the public hearing.
Miron asked for clarification that nothing being proposed tonight prohibited anyone from their
own personal use of cannabis when it became legal. Bryan stated that was correct.
Miron made motion, Klein seconded, to approve ORDINANCE NO. 2023-527, AN INTERIM
ORDINANCE PROHIBITING THE SALE, TESTING, MANUFACTURING, AND
DISTRIBUTION OF CANNABINOID PRODUCTS.
All Ayes. Motion carried.
Public Hearing on Vacation of Drainage and Utility Easement for Adelaide Landing and
Approval of Final Plat and Development Agreement for 7th and 8th Addition
Community Development Director Rachel Juba explained that S & S Real Estate Holdings, LLC,
had requested a vacation of the existing drainage and utility easement located over Lot 1, Block
12, Adelaide Landing. The Outlot would be used for the development of Adelaide Landing 7th
and 8th Additions. This lot had an existing home on the property that would be demolished. New
drainage and utility easements would be placed on the lots at the time the final plat was recorded.
The applicant had also requested approval of a final plat and development agreement in order to
plat six lots for the 7th Addition and one lot for the 8th Addition. These final plat requests would
plat the remaining seven lots from the Adelaide Landing preliminary plat. These were the final
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phases of the development. The lots met the minimum lot standards and requirements outlined in
the regulations for the Adelaide Landing PUD.
Mayor Weidt opened the public hearing. There were no comments, and Weidt closed the public
hearing.
Miron made motion, Klein seconded, to approve the notice to vacate the drainage and utility
easement located over Lot 1, Block 12, Adelaide Landing.
All Ayes. Motion carried.
Miron made motion, Petryk seconded, to approve RESOLUTION 2023-16 APPROVING A
FINAL PLAT AND DEVELOPMENT AGREEMENT FOR S & S REAL ESTATE
HOLDINGS, LLC, LLC FOR ADELAIDE LANDING 7th ADDITION.
All Ayes. Motion carried.
Miron made motion, Petryk seconded, to approve RESOLUTION 2023-17 APPROVING A
FINAL PLAT AND DEVELOPMENT AGREEMENT FOR S & S REAL ESTATE
HOLDINGS, LLC, LLC FOR ADELAIDE LANDING 8th ADDITION.
All Ayes. Motion carried.
Public Hearing on Vacation of Drainage and Utility Easement and Approval of Property
Line Adjustment for 12345 Hilo Court North and 12237 Hilo Court North
Community Development Director Rachel Juba explained that Kile and Jennifer Nadeau had
requested approval of a property line adjustment for their properties located at 12345 and 12237
Hilo Court North. The properties were 8.76 acres and 8.14 acres respectively in size. The
applicants owned both lots. The applicants proposed to adjust the property lines so that the
parcels were 11.9 acres and 5.0 acres in size. A drainage and utility easement existed over the
property line between these two parcels. Therefore, the applicants also requested an easement
vacation in order to relocate the easement along the adjusted property line. The proper drainage
and utility easements would be dedicated for the property only after the easement vacation was
approved.
Mayor Weidt opened the public hearing. There were no comments, and Weidt closed the public
hearing.
Klein made motion, Miron seconded, to approve RESOLUTION 2023-18 APPROVING A
PROPERTY LINE ADJUSTMENT FOR KILE AND JENNIFER NADEAU FOR THE
PROPERTIES LOCATED AT 12345 AND 12237 HILO COURT NORTH.
All Ayes. Motion carried.
Council Meeting Minutes for July 10, 2023
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Klein made motion, Strub seconded, to approve the notice to vacate the drainage and utility
easement for properties located at 12345 and 12237 Hilo Court North.
All Ayes. Motion carried.
Discussion on Amended Street Capital Improvement Projects (CIP)
The Capital Improvement Plan (CIP) provides a schedule for the various roadway improvements
that were necessary to maintain the City streets in an effective and efficient manner. City streets
were evaluated by conducting pavement condition ratings and road tours to prioritize
improvement projects. This was typically done every three years, but this was not one of those
years. City Engineer Mark Erichson explained that the past year had been particularly damaging
to the City’s roadways with many road conditions drastically changing for the worse. Public
Works staff had evaluated the roads, reprioritized projects, and added some projects that
surpassed others on the existing CIP list. This resulted in significant changes to priorities for
future road improvement projects. Staff had updated the CIP priorities based on the observed
conditions for Council consideration.
City Engineer Mark Erichson presented a map showing the identified 2024-2028 improvement
projects. He showed the costs estimates for those projects ranging from mill and overlay to full
reconstruction. The Council had dedicated ARPA Funds to the road fund to help fund an
aggressive approach to do these projects. Erichson stated the Finance Director had indicated, as
it gets into 2028, funds may be tight, so staff would continue to evaluate the CIP annually based
on bid prices to make sure the City could continue to move forward on these projects. Staff had
recommended Council consider approving the proposed 2024 – 2028 Capital Improvement Plan
and requested Council consider authorizing the preparation of a Feasibility Report for the 2024
Street Improvement Project.
Weidt asked about the streets shown on the CIP for the Beaver Ponds area project and noted
other streets in the area were not far behind in the order on the CIP list. He wondered if there
had been a discussion on including them in the project. Erichson replied that when the ratings
are done next year, they would be revaluated, and it may be prudent to include them. He added
that road conditions could change with the winters.
Miron noted that road conditions were not isolated to Hugo, and he asked Erichson what was
unique about this winter to cause so much damage. Erichson explained the snow, moisture, and
freeze-thaw cycles throughout the spring caused a lot of damage.
Petryk made motion, Klein seconded, to approve RESOLUTION NO. 2023-19 APPROVING
THE 2024 – 2028 CAPITAL IMPROVEMENT PLAN.
All Ayes. Motion carried.
Council Meeting Minutes for July 10, 2023
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Klein made motion, Petryk seconded, to approve RESOLUTION NO. 2023-20 A
RESOLUTION ORDERING PREPARATION OF A FEASIBILITY REPORT FOR PUBLIC
IMPROVEMENTS TO ALL OR PORTIONS OF ROADWAYS IDENTIFIED AS THE 2024
STREET IMPROVEMENT PROJECT.
All Ayes. Motion carried.
Discussion on Assessment Fees
City Engineer Mark Erichson explained that the City of Hugo last amended its assessment policy
in 2013, and occasional review of the policy to confirm or modify the assessment approach was a
good municipal practice. He said some communities do not assess, but many do. In Hugo, this
system was the way road projects were financed. He talked about different assessment types that
could be used. Hugo had a set rate per unit that was uniform for all properties and based on the
type of project being done. Rates had not been changed in ten years, and construction costs had
gone up. He questioned whether Council felt those rates were where the City wanted them to be.
Miron asked about the state statute governing assessments and what percent of the projects were
assessed. Erichson replied that it was Chapter 429 that provided legal guidance to the process. It
defined who and how much could be assessed, and he said it was related to the benefit received.
The percent of the project costs assessed was typically in the single digits to somewhere in the 30
percent range. Last year’s project was assessed around 33 percent. The City typically funds
around 80 percent. Commercial and multifamily rates were different because they were
essentially based on 80-foot-wide lots, and there was a factor of 1.5 applied to commercial and
multifamily. Those assessments were often significantly less due to the density. Erichson talked
about unique circumstances that were not covered in the assessment policy such as the Oneka
Parkway project last year where most units did not have frontage but had common space and
outlots. He would like to include language to clarify this in the policy.
Weidt asked about roadway reclamations (rural). Erichson replied that most often when these
projects were done, the material remained in place and paved over. In areas where there was
curb and gutter, the material could not be reclaimed because it raised the road. Erichson said the
policy could be modified to include more concise language on that.
Petryk said she was on the Council when the current policy was drafted which involved a lot of
work. She said she was in favor of the policy in 2013 and thought the policy had worked well.
Klein agreed with Petryk saying this had worked for the City for years. The City picks up
approximately 80% of the costs. He felt projects turn out nice and increased property values.
Weidt talked about roads being a community network, and when a project comes into a
neighborhood, there was an expectation and requirement for property owners to pay an
assessment. He said this would be an opportunity to clean up the policy, and all Council
members agreed.
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Discussion on Fire Department Staffing Needs
City Administrator Bryan Bear talked Council’s goal to determine the need for a full-time fire
chief and recapped past discussions. He provided information on the current structure of the fire
department stating there was no full-time staff, and administrative duties were divided among 11
officers that received salaries. The Council had included funds in the 2023 budget for a full-time
fire chief, but that did not mean it needed to be spent. A decision still needed to be made
whether to hire one or not. If a full-time chief were hired, there may be some department
reorganization.
Earlier this year, a subcommittee was established that included Mayor Weidt, Council Member
Miron, Firefighters Compton, Jensen, Emans, Ducanson, and Bienik. Firefighters Hoernemann
and Palmqist did research from within the department and presented it to the committee.
Following discussions, the committee had recommended the creation of a full-time fire chief.
A wide range of options had been discussed. Priorities included supporting the existing paid on
call system and providing a succession plan with strong leader ship in officer positions. Council
had indicated they were comfortable with the current level of service. The survey of the
department members stressed the importance of keeping the current culture and department
operations. It was recognized Hugo’s department functioned differently from other fire
departments, and there was a strong desire for a fire chief to come from within the department.
There had been discussions on having a “farm” system to groom future fire chiefs and create a
team approach. Another factor discussed was availability, time commitment, and the capability
of handling unexpected problems. Bear reviewed what would be required of a fulltime chief and
the duties that could be included in a job description. He provided a proposed chain of command
for the department. He reviewed what was in the 2023 budget for the proposed changes to the
department. Based on these findings, he recommended Council authorize the hiring of a full-time
fire chief and asked for direction for staff to create a job description, position profile, and salary
structure for final Council approval at a later meeting. A full-time fire-chief would help create
job descriptions for other fire department positions.
Weidt said this was a big decision they had been wrestling with for quite a while. He thanked
Hoernerman and Palmquist for doing the polling among fire department members, which was
very helpful in answering questions before making a decision. He said he was comfortable with
the farm system because it was important for firefighters to have a path to grow and prosper in
the department. He said was comfortable with the idea of moving forward.
Mike added his biggest concern was maintaining the structure the City currently had while
bringing up future leaders. He didn’t think this would resolve all the challenges the department
had such as lack of daytime responders. He said it took a lot of time to get to this decision but he
was comfortable with it.
Petryk appreciated that there would be promotion from within, and she encouraged firefighters to
apply. Many of the firefighters had been there for a long time, and the City was very fortunate.
Council Meeting Minutes for July 10, 2023
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Klein said he appreciated having the entire fire department staff express their opinions. He said
it helps to have good people on board to get more people on board and said he was comfortable
with moving ahead with this.
Strub said he was happy to see all the work identifying the positives and the threats. He said he
thought it was the right move and the City could make this opportunity work.
Weidt made motion, Miron seconded, to direct staff to create a fulltime fire chief position for
Council approval and come back to Council with a position profile, job description, and salary
wage.
All Ayes. Motion carried.
Schedule Midyear Budget Workshop for Wednesday, August 30, 2023
Staff recommended Council schedule the Midyear Budget Workshop for Wednesday, August 30,
2023, at 5 p.m. in the Council Chambers.
Weidt made motion, Petryk seconded, to schedule the Midyear Budget Workshop for
Wednesday, August 30, 2023, at 5 p.m.
All Ayes. Motion carried.
Schedule Kids ‘n Biz on Saturday, September 30, 2023
The annual Kids ‘n Biz festival was scheduled for Saturday, September 30, 2023, at Oneka
Elementary School from 9 a.m. to noon. Staff had recommended Council schedule this as a
meeting if they wish to attend.
Petryk made motion, Klein seconded, to schedule a meeting to attend the Kids ‘n Biz Fest on
September 30, 2023.
All Ayes. Motion carried.
Reschedule Citywide Bus Tour for Saturday, October 7, 2023
Council had previously scheduled the Citywide Bus Tour for Saturday, September 30. This was
the same day as Kids ‘n Biz, and staff had recommended Council reschedule the Citywide Bus
Tour for Saturday, October 7, 2023, at 10 a.m. Location TBD.
Strub made motion, Klein seconded, to reschedule the Citywide Bus Tour for Saturday, October
7, 2023.
All Ayes. Motion carried.
Council Meeting Minutes for July 10, 2023
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Appoint Representative to Committee for Northeast Metro Water Policy Planning
City Administrator Bryan Bear informed the Council that the Metropolitan Council was creating a
work group consisting of representatives from local community and agencies for the purpose of
developing a comprehensive plan to ensure sustainable water resources in this part of the
metropolitan area. Bear recommended Council make an appointment to this committee.
Strub made motion, Petryk seconded, to appoint City Administrator Bryan Bear to this committee.
All Ayes. Motion carried.
Adjournment
Strub made motion, Klein seconded, to adjourn at 8:36 p.m.
All Ayes. Motion carried.
Respectfully Submitted,
Michele Lindau, City Clerk