Loading...
HomeMy WebLinkAbout[04a] Minutesc[~~ ok s~:1r~sF rtt MEETING DATE: August 6, 2009 City Council Agenda Item 4a AGENDA ITEM: Minutes -Requested Action: Approve the Council minutes of May 27 and July 16, 2009. SUBMITTED BY: Administration BOARD/COMMISSION/COMMITTEE RECOMMENDATION: None PREVIOUS PLANNING COMMISSION ACTION: BACKGROUND INFORMATION: BUDGET/FISCAL IMPACT: None None $0 ATTACHMENTS: Joint CC/EDA Minutes -May 27, 2009 CC Minutes-July 16, 2009 REQUESTED COUNCIL ACTION: Approve the Council minutes of May 27 and July 16, 2009. May 27, 2009 Page 1 of 2 Pursuant to due call and notice thereof, the St. Joseph City Council met in Joint session with the St. Joseph Economic Development Authority at 5:00 PM on May 27, 2009 in the St. Joseph City Council Chambers. Members Present: Mayor AI Rassier. Councilors Dale Wick, Renee Symanietz, Steve Frank, Bob Loso. Administrator Judy Weyrens. EDA Members Present: Chair Dale Wick. Members AI Rassier, Tom Skahen, Ken Jacobson, Carolyn Yaggie-Heinen. EDA Director Cynthia Smith-Strack. City Representatives Present: Finance Director Lori Bartlett, Financial Advisor Traci Ryan. Others Present: Mike Wahlin, Curt Tollikson, Chris Rice, Chaz Rising, Dave Demars, Mike McDonald. Mayor Rassier called the meeting to order and stated the purpose of the joint EDA/City Council meeting is to discuss a preliminary tax abatement application which has been submitted Coborn's Inc. At this time Mayor Rassier turned the floor over to EDA Director Cynthia Smith-Strack. Smith-Strack stated informed the City Council that the St. Joseph Economic Development Authority has received apre-application from Coborn's Inc and Rice Building Systems requesting tax abatement assistance in the amount of $ 300,000 construct a grocery superstore at 1500 Elm Street East. The application requests the funding to fill a financial gap in the project cost. When completed, the estimated market value of the project is anticipated to be 3.4 million with 2.7 million attributed to construction costs. The application requests funding over a ten (10) year period. Smith-Strack clarified that the City has adopted a business subsidy policy and public finance policy in which the City ident~es the types of financing assistance that is available. The City most familiar with Tax Increment Financing (TIF) where the property taxes are rebated to the property owner for a specified period of time. The City, County and School District are all required to participate and the taxes are only rebated after the City receives the funds from Stearns County. Tax Abatement is also a rebate of property taxes but the County and School District are not required to participate, it is voluntary. Tax Abatement can extend for a longer period of time as well. The project before the Council at this time does not qualify for TIF due to the nature of the project. The public finance policy requires applicants requesting funding assistance to provide pro-forma information to the City illustrating the gap and need for financing. Smith-Strack stated that the applicant has provided staff with information illustrating the gap. At this time Smith-Strack turned the meeting over to the City Tax Abatement Specialist, Traci Ryan of David Drown and Associates. Traci Ryan presented provided the Council and EDA with an overview of the Tax Abatement process and reiterated the comments of Smith-Strack that the financing is similar to that of TIF which the City is familiar with. One of the unique features of Tax Abatement is the ability to capture tax base from surrounding properties. Ryan presented those present with three alternative tax abatement plans. Each plan has a different assistance period ranging from six to eleven years. The application submitted requested annual assistance in the amount of $ 50,000 per year, totaling $ 300,000. However in projecting the taxes after construction, the project will not generate enough revenue to meet the annual gap. Therefore, Ryan stated that the City would have the option of capturing some of the tax from the new buildings (Cents Care and Central MN Federal Credit Union) under construction. The City would still receive the taxes for the land, but a portion of the taxes from these properties would provide the gap financing requested by Coborn's. Mike Wahlin of Coborn's approached the Council to further address the funding request. Wahlin stated that Coborn's has evaluated the financial impact of the constructing the St. Joseph store and the numbers do not calculate. A store in St. Joseph is not adding an entirely new market, rather a potential shift in customers. While the store is anticipated to gain additional customers it is unlikely that the store will see that increase for a number of years. If the City does not participate in closing the financial gap, the store May 27, 2009 Page 2 of 2 is not viable and will not be built. Wahlin stated that it is not the intent of Coborn's to threaten the City, but it is a reality that the store needs financial assistance. When questioned by the Council and EDA if the staff has reviewed the financial information presented by Coborn's, both Weyrens and Smith-Strack they had and it was evident that a financing gap existed. Whalin stated they are prepared to show the Council the financial information if they would like to see the data as well. The Council and EDA concurred that if staff had reviewed the information additional data would not be required. Smith-Strack stated that the application illustrates the project will bring the following benefits to the community: 1) Addition of 22 full time jobs and approximately 110 part time jobs with wages ranging from $ 50,000 per year to $ 8.95 per hour; 2) An increase in retail traffic of 8,000 to 9,000 cars per week expanding the retail trade area; 3) A $ 2.67 million structure completing the development of a 13 acre professional/retail PUD at the intersection of CSAH 75 and CR 133; 4) An increase in local property taxes of $ 40,000 per year (initial projection) and 5) Spin off opportunities. The Council and EDA spent considerable time discussing the options presented by Ryan which resulted in the Council indicating that the shorter time period seems to be the best alternative. Mike McDonald, 213 -13~h Ave spoke in disagreement with the Council. He stated that the shorter time period is best for the developer not the City and urged the Council to consider the time value of money. When asked what the next step in the process is, Ryan responded that the City must determine if the request for abatement is in the best interest of the City and whether or not the applicant can submit the final application. Ryan stated that the City Council must conduct a public hearing notifying the public that the City is intending to provide funding assistance in the form of Tax Abatement to assist Coborn's in the construction of a new 35,000 square foot facility. The tax abatement will rebate property taxes to Coborn's in the amount of $ 300,000. If the Council decides to utilize the tax revenue from abutting properties this information must be included in the hearing notice as well. The Council questioned if at this time they have to determine the term of the abatement. Ryan stated that they can advertise the abatement as the longest term presented at this meeting and they can reduce the term at the hearing. They could not lengthen the term at the hearing. The Council and EDA concurred the hearing notice should include capturing the City tax not only from the Coborn's site but a portion from the abutting properties located in the PUD. (EDA Action) Jacobson made a motion to accept the preliminary application of Coborn's Inc requesting tax abatement in the amount of $ 300,000 and authorize submittal of the final application and request that the City Council take the same action and call for a public hearing to provide the assistance. The motion was seconded by Skahen and passed unanimously. (City Council Action) Symanietz made a motion to accept the recommendation of the EDA authorizing the following: 1. Submittal of the final application and fees for tax abatement in the amount of a 300,000. 2. Approve the Resolution setting the date of June 15, 2009 for the public hearing to consider providing financial assistance to Coborn's Inc via Tax Abatement. Further, the hearing notice will include the utilization of all properties in the Coborn's PUD. The motion was seconded by Frank and passed unanimously. The EDA and City Council meeting was adjourned by consensus at 4:45 PM Judy Weyrens Administrator July 16, 2009 Page 1 of 10 Pursuant to due call and notice thereof, the City Council for the City of St. Joseph met in regular session on Thursday, July 16, 2009 at 7:00 PM in the St. Joseph City Hall, opening the meeting with the Pledge of Allegiance. Members Present: Mayor AI Rassier, Councilors Renee Symanietr, Dale Wick, Bob Loso, Steve Frank and City Administrator Judy Weyrens. City Representatives Present: Finance Director Lori Bartlett, Police Chief Pete Jansky, Public Works Director Terry Thene, City Engineer Randy Sabart Others Present: Dean Wick, Nelda Dehn, Jean Dotzler, Margaret Hughes, Ellen & Bob Wahlstrom, Donald Fisher, Sister Kara Hennes, Jacque French, Brad Cobb Public Comments Jacque French, 121 4th Avenue SE, approached in regard to the Graceview Apartments. She stated that during the public hearing for the apartments, residents expressed safety concerns and she questioned the Council how they were addressed during the recent mediation. French stated that as a property owner on the old section of 4th Avenue NE she along with the neighbors will experience the most impact from the proposed development as the majority of the traffic will utilize the existing road. French questioned whether or not there will be an additional road built to ease some of their traffic concerns. Brad Cobb, 333 4"'Avenue SE, addressed the Council as a resident of the Graceview Estates neighborhood to state his dissatisfaction about the mediated settlement. He stated that there are still some lingering concerns such as what he perceives as the secrecy of the mediation process as well as what was discussed and whether or not any of the citizens' concerns were addressed. He was advised that the mediation process was confidential which continues the gray cloud of uncertainty for the residents. Their biggest issue is that of safety and the controversial road known as Field Street. The residents were of the understanding that the Developer was to pay for a portion of that road and he questioned what happened to those funds that the City received. He also stated that in his opinion the retention pond on the property is not adequate. Cobb questioned what other little items are not being addressed. With respect to the temporary roadway that is to be built, Cobb questioned whether the City has any design specs available. Cobb advised the Council and staff that his property line is 50' from the proposed apartment building and he will be a watchdog for activities at that development. Nelda Dehn, 508 Elena Lane, approached the Councilors with some questions relating to the proposed development. Originally this was to be a 3 story apartment building and it is now a 2 '/2 story building. Dehn questioned what the %2 story is. She also questioned whether or not the temporary road will be tarred as well as whether 7th Avenue is a 5ton road, similar to 4th Avenue. Don Fischer, 235 4~h Avenue SE, spoke to the Council to address some additional concerns regarding the Graceview Apartments. He stated that, during the process, the City Attorney stated that when the PUD was approved, it was assumed that Field Street would be there and to this date, it is still not there. As a result of that, he stated that there are some serious issues such as support and infrastructure. In his opinion, a temporary road will not fix those issues. He also advised the Council that the City is in violation of its own Ordinance as there are cul-de-sacs which are longer than the maximum length allowed. He added that the construction of Field Street will fix these problems and this development should not occur until it is ready to do so. Fisher stated that all of the elements that went into the original planning must be there prior to development. He concluded by stating that the safety of the residents if the City's primary concern and that must be dealt with first. Agenda: Symanietz made a motion to approve the agenda with the following additions/deletions: Pull 4a Minutes -June 18, 2009 [for discussion] Delete 4a Minutes -May 27, 2009 Delete 5 CSB-SJU Deans of Students -Donation of Card Readers July 16, 2009 Page 2 of 10 Add 11c Update Items The motion was seconded by Loso and passed unanimously. 4a MMinutes -June 18, 20091: Frank questioned the minutes of June 18, 2009 relating to comments he made about the Coborns Site. "Frank then suggested that they use some venting for lighting." Weyrens reminded Frank that he suggested using some glass for additional lighting. He made reference to the LED lighting in the parking lot; however, this was for the internal lighting. Frank made a motion to approve the minutes of June 18, 2009. The motion was seconded by Symanietz and passed unanimously. Consent Agenda: Wick made a motion to approve the consent agenda as follows: a. Minutes -Approve the minutes of June 15, 2009. b. Bills Payable -Approve check numbers 041738-041806 and EFT numbers 000289- 000298, 000460. c. Donations -Accept the donations and their purposes as presented. d. Insurance Deductible -Accept the staff recommendation and increase the Workers Compensation deductible to $2,500 per occurrence for medical expenses only. e. Millstream Arts Festival -Authorize the closure of Minnesota Street between College Avenue and 15t Avenue NW for the Millstream Arts Festival. The motion was seconded by Loso and passed unanimously. Finance Reports 2"d Quarter Finance Report: Bartlett stated that the Council received both the June 2009 financial report and the 2" Quarter financial report. Prior to July 1, 2009, Bartlett stated that the City has received 70% of its property tax settlement. The remaining 30% was received on July 6 and will be reflected on the July report. She added that the City will also receive the first half of its LGA allotment in July. Bartlett advised the Council that the City has collected 22% of its budgeted revenue and spent 40% of its general fund budget expenditures. One would expect that the City would have spent nearly 50%; however, staff is trying to minimize its expenses due to the unallottments. According to Bartlett, there are two funds that are in deficit. TIF 2-1 Millstream Shops & Lofts: There were some administrative costs associated with this fund; however, the City has not yet received any tax increment payments yet into that fund. Those expenses will be covered by payments once they are received and they are scheduled to begin in 2010. The General Fund will cover these costs for 2009. • 20096 GO Bonds: Bartlett stated that this bond has not been issued yet. Staff will watch the rates and the bond issue will take place if the market rates are favorable. Bartlett reported that there have been four new homes so far this year and three non-residential, substantial permits [CSB Medical Facility, China One & Centra Care] which have included WAC/SAC charges. She added that the City is on target for those revenues so far for 2009. Loso made a motion to accept the 2"d Quarter 2009 financial positions as presented. The motion was seconded by Frank and passed unanimously. Planning Commission Matters S & H Site Plan: Weyrens stated that the Planning Commission has reviewed the revised development Plan for the Graceview Apartments. The revised plan is consistent with the mediated settlement agreement approved by the City Council. Through the mediation process the building size has been reduced to 2 %2 stories in height with a limit of 60 units. In addition, the orientation of the building has been changed so the building is constructed towards the pond with the balconies overlooking the pond. July 16, 2009 Page 3 of 10 The new design has helped minimize headlight pollution t abutting residential lots. The new landscape plan shows that they will have 10' Norway spruce around the perimeter of the building. According to Weyrens, their plans show that they do meet the density and parking requirements. Previously, there were some ponding issues; however, she stated that those have been resolved. Sabart spoke to the Council as to why the pond was enlarged. He reported that the City enacted a Stormwater Management Plan which includes pond standards. Based on that, if the pond does not have a piped outlet, it must be sized for a greater capacity in the event of a 100 year back to back rain event. During the staff review, there were some differences of opinion. The new plans show the pond being the same size, only deeper. He added that staff is following the same standards as other ponds in the City. Frank questioned whether the pond will have fencing around it. According to Sabart, there are two sides relating to the need for fencing. On one hand, having a fence around the pond is a way to keep children out of the ponds. On the other hand, having fencing around the pond deters emergency response, in the event that it is needed. Rather than requiring fencing around the pond, Sabart stated that they will focus more on grading to make sure that there is a slow slope to the pond. The pond to the South; however, will not change in size as there is a piped outlet that directs the water south. Weyrens stated that Transportation was another issue that was addressed. In the past, the City received $22,000 from the developer and those funds were used to help pay for Callaway Street. There were some questions relating to the temporary road that will be constructed as well. Sabart advised the Council that the temporary access road is being built to provide for emergency services as well as provide an alternate route for northbound traffic. He added that the "Ultimate Development Plan" considers Elena Lane wrapping around to 7th Avenue. The temporary road will be built as a 7-ton street, similar to other streets within the City. Sabart stated that the road will be 24' wide, which is adequate for two way traffic. There will not be any curb and gutter as this will not be the final location. Frank stated that there was some disagreement about the density and composition of the material used for the road. Sabart stated that, in the context of the road, the issue was durability as the developer wanted a less expensive alternative to the temporary road that was originally proposed. Weyrens stated that the Developer Agreement is a way of memorializing all of the concerns of the Planning Commission and the City Council. It takes the plans we have and puts them in verbiage. She added that there were some concerns about where the construction workers would be parking. Bob Herges has agreed, in writing, to allow the workers to park in the Outlot to alleviate street traffic congestion. Weyrens stated underlying zoning district for the apartment complex is R3 and R4 for the patio/town home portion of the development. The site plan has been reviewed and detail submitted verifies Ordinance compliance. She added that the developer has presented a unified landscape plan as well. Frank questioned the types of trees that will be planted. Weyrens replied that they will be planting 10' Norway spruce as well as Autumn Blaze Maple. The developer has agreed to try and save as many of the existing trees as possible and incorporate them into their landscaping. There were some trees planted by the property owners that are outside of their property boundaries and located on the development site. The property owners have indicated that they were given permission to plant the trees by the property owner. Frank questioned whether or not there will be any berms on the property as the revised layout does not provide adequate land to construct such. Frank questioned the lighting changes -what has been done and how this has been mitigated. Weyrens advised Frank that the revised layout helps shield headlight pollution. According to Rassier, the developer's drawings show all lighting towards the building and it shows all lights having shields and protection. Symanietz questioned the traffic issue along 4th Avenue SE. She stated that there will be an additional 140 vehicles in and out of that area every morning. Sabart advised the Council that there will be only one driveway approach for the apartment building and one for the patio homes. Given that volume of traffic, he questioned whether they would like it metered out of one or multiple entrances. Symanietz expressed July 16, 2009 Page 4 of 10 her concern that the residents along 4th Avenue back out of their driveways and those leaving the apartment building will have the right-of-way. Rassier advised Symanietz that the developer cannot build another road as an access to the property as they do not own the adjoining property to the west. She added that none of the residents will use the temporary road as an access in ahd out of Graceview. Rassier agreed with Symanietz and stated that the temporary road will be used as another access for those who live south of the apartments. One of the concerned residents stated that the City is in violation of its own Ordinance relating to cul-de- sacs. Frank stated that he never thought of that before. He questioned whether the existing cul-de-sacs conform and what can be done. Rassier stated the cul-de-sacs referred to are temporary in nature and at full build out they will be eliminated. It is typical to provide cul-de-sacs during construction of a phased development. Frank questioned which road the construction trucks will be using. Weyrens informed Councilor Frank that 4th Avenue was built to carrier heavier traffic and they will most likely use the same. It is also likely that construction traffic will use Baker and 12th Avenue SE. Weyrens stated that the developer has indicated that they will commence construction mid August. The Councilors questioned what controls the City has to make sure that things are done right. Weyrens replied that the City can issue a stop work order on the building permit. Wick added that, at times, an officer can stop the work as well. It was also stated that there are sometimes when there is an engineering staff member or a member of public works on-site as well to monitor the progress. Frank requested that Weyrens re-state what happened in mediation and look into what can be made public as they were told, as a Council, that they could not talk too much about the mediation. Weyrens stated that there is still an open part to the lawsuit. Wick questioned when the next court date I scheduled for. Weyrens replied that there has been no resolution yet. Rassier stated that the gist of what was discussed in mediation is included in the mediated settlement agreement. Loso added that most of the Council, those that were not part of the mediation process, does not know what actually happened during mediation as the Council provided direction to an appointed committee to mediate the lawsuit. The Council was updated during a closed meeting and accepted the negotiated settlement. There was also some concern about the gas line easement. Sabart stated that, with the original plans, some of the utility work would have encroached the gas easement boundaries or been done within the easement. The developer has worked with the gas company and now there will be no construction within that easement area. He stated that there is a need for sanitary sewer and water and that there are some existing stubs from 4th Avenue which they will be using. Sabart then stated that this may cause some problems for some of the residents along 4th Avenue. If there is disruption of service, they must provide temporary water and the disruption of water is limited to two hours. Frank questioned how the differences between the City and Developer were settled. Weyrens stated when a plan is submitted, it is reviewed by staff and then staff comments are distributed to the developer. Generally, the issues are minor in nature and the City and developer will debate them. One item the Staff mitigated during the review process was the close proximity of the building to the high water mark of the pond. She stated that, in most cases, the City does not require a property owner to have a generator on standby. In this case, the developer is required to have a contract on file with a company that can provide a large pump, in the event of an emergency. This provision will be regulated through the rental license process. Frank also questioned how the City will mitigate construction issues. Jansky advised the Council that the construction hours are from lam-7pm. Sabart added that they will need to apply for an MPCA NPDES Permit. That permit, as well as the City Ordinances, has requirements regarding erosion control. The Stormwater Pollution Prevention Plan also has steps for managing stormwater on their site. July 16, 2009 Page 5 of 10 Weyrens reported that the Development Agreement also recognizes that the City issued a Special Use Permit for the construction of the 60-unit apartment building (approved in late 2008) as well as approved the PUD Amendment for the Townhomes and the re-platting of Graceview Estates 2. Symanietz made a motion to deny the Development Agreement, deny the Special Use Permit, deny the amendment to the PUD as well as deny the final plat and site plan based on safety and traffic concerns. The motion failed due to a lack of a second. Frank questioned on which basis they can deny the plans. Weyrens advised the Council that the City already executed the mediated settlement agreement. If all of the conditions are met, the City would need to approve the plan. They could deny the plan if the developer did not meet the development plan requirements. Wick asked Weyrens to clarify with the City Attorney that the discussions during mediation are not public. Rassier stated he would like that as well because once this is all settled; they would like to be able to discuss those items. Loso made a motion to authorize the Mayor and Administrator to execute the Development Agreement between the City of St. Joseph and S & H Partnership issuing a Special Use Permit to construct two 30 unit apartment facilities; Amend the PUD to allow for three structures on the Townhome section of the plat to consist of two four plexes and one duplex; Approval of the Final Plat and Site Plan. The motion was seconded by Wick. Ayes: Rassier, Wick, Frank, Loso Nays: Symanietz Motion Carried 4:1:0 Special Use Permit -Kurt Sauer: Weyrens stated that the Planning Commission previously considered the request for a Special Use Permit for the former Linneman building located at 31 Minnesota Street W. This plan has come before the Council twice to consider rental units on the top level and office space on the lower level. The interior of the building has been demolished and left vacant for the past couple of years. Since Special Use Permits expire after one year of non activity, the property owner is required to complete the Special Use Permit process. At this time, the property owner is requesting a special use permit to develop the property using the same plans from 2006. Prior to allowing a rental on the upper level, Staff suggested that the lower level must first be ready for a commercial tenant to occupy the space and they must meet various building and fire codes. The Planning Commission conducted the public hearing and has recommended the Council issue a Special Use Permit for the proposed development and authorize execution of a development agreement. Due to the cost of the improvements, the Planning Commission is also recommending the Council approve the development to be completed in phases, with the exterior and landscaping completed by August 15, 2011. Frank stated that he drives by that site each day. In his opinion, a little bit of money could make a lot of improvement for the site. Mr. Sauer will meet with the EDA to look at possibly receiving some funds from the EDA to help with the improvements. There was considerable discussion amongst the Commissioners regarding parking and Frank stated that he is against removing the trees to add parking. He would like for the developer and the architect to find a way to meet the parking requirements as well as keep the trees. Architect Dean Wick stated that there were some discussions regarding parking in the past as well and he is not sure how much the site plan can change. There may be an opportunity to add a few stalls, but he was unsure. Rassier questioned whether or not they have looked at moving the garages to which Dean Wick stated that they did not discuss that. Wick stated that they may actually have enough parking. If not, he July 16, 2009 Page 6 of 10 suggested that this be addressed again in August. Councilor Wick stated that the developer and the architect met with the Building Official (Ron Wasmund) to discuss building codes. Rassier added that the City has been asking all developers to put in a parking lot and have it finished before issuance of a certificate of occupancy. According to Loso, this parking lot should have been paved over 20 years ago. Rassier agreed and stated that the City now as the opportunity to make sure it gets taken care of. The property owner had hoped the site could be ready for occupancy in August 2009, but logistically it is not feasible. Councilor Wick stated that he has concerns that the building will continue to sit vacant if the City does not allow the phasing of the project. Rassier suggested that one lift of the parking lot be completed by Dec 31, 2010 and the second layer by 2011. Loso then stated that the City could hold its rental license if it were not completed. Rassier suggested that the Developer Agreement contain a line to state that the exterior improvements be completed no later than September 30, 2010. In the past, there was some discussion about having green space; however, these are all mature trees. Frank questioned how the City will deal with issues relating to how long the current trees will last. Frank made a motion to approve the Special Use Permit to allow for mixed density development at 31 Minnesota Street W with rental on the upper and commercial on the lower level. The parking lot must be paved prior to September 30, 2010. The motion was seconded by Wick and passed unanimously. Joint City/Township Planning Meetings: Weyrens reported that the Planning Commission has been meeting the St. Joseph Township Planning Board to discuss and update the Orderly Annexation Agreement. She added that a flow chart illustrating the annexation process has been finalized and she summarized the process. If the petition meets the criteria for annexation, it is forwarded to the City for approval, the Township is notified and it is sent to MN Planning for final approval. Once approved by MN Planning the City maps are updated. The requirements for annexation were extracted and used to develop the new Petition for Annexation that will be used for future annexation requests. Weyrens also stated that they will continue to work on the Orderly Annexation Agreement. During the process, the Benedict Plat was reviewed by the City and now, according to the OA agreement, the Joint Planning Board must act on the portion within the Township. Since this matter has been discussed at numerous meetings including a joint meeting with St. Joseph Township, Weyrens clarified if the Council is requiring joint approval for the plat. Wick made a motion affirming that the Plat entitled Benedict has been reviewed by the City Council and Planning Commission and discussed at a Joint meeting of the City and St. Joseph Township. Therefore, the aforementioned plat does not need to be reviewed again by the Joint Powers Board. The motion was seconded by Symanietz. Discussion: Frank discussed some immediate concerns such as the County's plans for road building. He questioned the connection of CR 2 and CR 75. Currently, that is not part of the County's plans since bids will not be let until this fall. Some of that land is currently in the township and he questioned whether or not the City should move to get that area into the City limits prior to the bids being let. Weyrens stated that if the area remains in the township, the County would be responsible for the right-of-way. She added that the County Engineer is aware of the fact that this is part of the City's growth area. The motion passed unanimously. City Engineer/Public Works Director Reports APO TAC Meeting: Sabart announced that he attended the TAC meeting and he will provide a summary at the next meeting. July 16, 2009 Page 7 of 10 Northland Park: Thene advised the Council that the new playground equipment is up at Northland Park and is being used heavily. CR 121 Trail to Kennedy School: There was some discussion about the use of the trail and the need to keep it clean and lighted. Thene stated that the ditches were just cut provided a groomed trail. Rassier suggested that they discuss this during the budget discussions. In the future, this trail may continue all the way to the Sauk River. Police Chief Reports Monthly Report: The monthly report was presented to the Council for review. Frank stated that the report says that the number of assaults is rising, but the numbers do not show that. According to Jansky, there have been more serious assaults which require more time from the officers. He added that this type of behavior comes with the times that we are dealing with. He also stated that gun permits are increasing throughout the state. 4th of July: Jansky reported that the event that took place on the 3~d and 4th of July went very well. He felt that the parish did a greatjob of organizing the events and he would like to run things the same way as last year. All in all, there were no major issues or problems. Frank stated that it seems like there has been more attendance at local events as people are staying home rather than traveling. Mayor Reports APO Executive Meetino: Rassier stated that he attended the APO Executive meeting at which they discussed dues. He reported that the APO did give a reduction of 25% of the dues for 2009 and 15% for 2010. The cuts were done to help keep the APO up and running. CAPX2020: Rassier advised the Council that he received some information regarding the CAPX2020 project. They continue to proceed on the new line, but they are not positive of the exact location. There is consensus that it will be located along I-94. They will be holding meetings to set the sites. Rassier stated that they would like to meet with the Council to provide more information. He added that it would be best to meet with them as a Committee. Councilor Reports FRANK Website: Frank stated that he believes there are some issues with the City's website and it's searching abilities. Weyrens advised Frank that there is an extensive search feature once they are in the laserfiche web browser. Name signs: Frank advised the Council that he has been approached by the Newsleader and was told that we are only groups that do not have signs indicating the names of each board member. Sound in Council Chambers: According to Frank, this issue has been addressed in the past. He stated that people are unable to hear in the Council Chambers and he suggested that we look into a system similar to that of Waite Park. Weyrens advised the Council that she has contacted them twice to get information on their sound system. Frank suggested that the City get sound devices or fix the acoustics in the chambers. Card Reader: This issue was to be addressed earlier, but was postponed. According to Frank, he is in favor of the card readers. St. Benedict was to purchase the equipment and give them to the local bars. He stated that the City should appreciate the local bars that have been here for a long time and does not believe that the readers should only be offered to those who choose to be open until 2AM. Rassier added that once the readers are used, others will follow. Frank suggested lowering the liquor license fees if they July 16, 2009 Page 8 of 10 use the reader, similar to what is done in Mankato. He would like this to be a positive change rather than a negative one. LOSO - No Report WICK - No Report SYMANIETZ League Conference: Symanietz reported that she attended the League conference. There were approximately 310 in attendance including Mayors, Council Members, Administrators and Public Works Directors. She added that she was a moderator for some of the breakout sessions. Administrator Reports Sales Tax Committee Report: Weyrens reported that the Sales Tax Committee met on July 1 to discuss the amount of money in the fund, the questions found on the ballot as well what types of projects they would like to see funded and how to determine how the funds should be distributed to each project. They determined that, based on the ballot questions, the costs should be distributed as follows: Transportation 65% Community Facility 22% Parks and Trails 13% When the ballot question was prepared, 23 Million dollars were identified as needs in three categories. Based on the collected revenues, the City will actually receive only 3 million in proceeds. The Sales Tax Committee discussed objectives methods for distribution of funds and since the voters were asked to vote on separate categories it seemed reasonable to apportion the funds based on the amounts listed on the ballot. Any project funded with sales tax revenue would still need to be approved separately. Frank expressed concern that using the proposed formula of the Sales Tax Committee the largest portion of the proceeds would fund transportation. Weyrens stated that transportation does not only mean pavement but can include trails, bridges, buses, etc. The southerly extension from CR121 to 20'h Avenue (Field Street) will require a large funding contribution on the City's part. If Sales Tax funds are not used, the City will have to use a tax levy for payment. Weyrens stated that the Park Board will be submitting a request to the Council for funding for Centennial Park playground equipment. Loso suggested that the City hold a public hearing to discuss the use of these funds. Frank added that the City should hold forums, conduct informal surveys and work with the Newsleader to lay all of this out. The Council was then reminded that this must be used for regional projects. According to Frank, the Sales Tax Committee did a good job so far; however, he feels that it should now be left up to elected officials to determine how the funds are distributed. Symanietz questioned why the ballot included the potential Field Street in the Transportation portion. According to Weyrens, this is a real cost to the City and State or Federal Funding is unlikely. If the City does not use Sales Tax Funds the tax payers will be charged via a tax levy. Frank suggested that a building study be conducted of the Old Kennedy School site and the entire amount be used for that facility as a community center. Weyrens stated that she would check the legalities of using all the funds for one of the three ballot questions. She reminded the Council that the Sales Tax Committee conducted a survey on the Community Center and it was mailed to all property owners in the City of St. Joseph. In addition they conducted a public forum to which only five or six residents attended. Frank acknowledged the attempts of the City and stated the he did attend the forum and confirmed the small attendance. Wick questioned whether the purchasing of park equipment or the construction of roads would be acceptable as they are part of other city plans such as the Park Plan and the Transportation Plan. July 16, 2009 Page 9 of 10 Weyrens stated that, because they are part of another plan, they would rank higher. Wick suggested that the policy for distribution of funds require that any funding must be part of a planned document of the City. Frank questioned when the Sales Tax Committee became a permanent committee. In his opinion, they have done good work so far. He has attended their meetings. If this is to remain as a committee, he would like to see new members rather than the same members as every other committee. Symanietz stated that the City accepted applications for the Sales Tax Committee and the members were selected like any other board. Wick suggested that as requests are received, he would like to see a running balance in the account to show what is left. Weyrens stated that the trail alignment along CR2 connecting to the Wobegon Trail would be an optional project. It is a big ticket item, approximately $150,000. It is a regional project and could be related to either transportation or parks. She added that there are some upcoming projects and she asked that the Council look at the big picture to see how the money should be spent. Frank again stated that he would like to address the possibility of a community center at the Old Kennedy School site. Weyrens advised the Council that they should set up a meeting to discuss capital items. The Council will meet to discuss Capital items on July 30at 6PM. Charter Restructuring: Weyrens advised the Council that Charter recently filed bankruptcy for restructuring purposes. They are asking that the City approve the resolution authorizing the consent for restructuring. According to the Attorneys for both St. Cloud and Sartell, the cities must sign the resolution or, by doing nothing, they are stating that they prefer bankruptcy. Weyrens stated that the resolution should be changed to include 6 contingencies as outlined by the City Attorney in her memo. Frank made a motion to approve Resolution 2009-016, Authorizing Consent to Charter restructuring with the addition of the following contingencies: 1. That the proposed transfer will not adversely affect Charter's ability to meet the requirements of the Franchise or to meet the City's reasonable future cable-related needs and interests. 2. That proposed transfer will not adversely affect Charter's ability to maintain and operate the system following the transfer. 3. That the proposed transfer will not in any material reduce the quality of customer service in the City. 4. That the proposed transfer will not materially reduce the quality of existing system maintenance or repair in the City. 5. That current local management and employees shall remain in place following the proposed transfer except to the extent that such management and employees are terminated for cause or voluntarily leave Charter's employment. 6. That Charter shall reimburse the attorney's fees incurred by the City as a result of analyzing this consent. The motion was seconded by Loso and passed unanimously. Update Items: Weyrens advised the Council that a new Eye Clinic will be opening in St. Joseph offering retail and professional service. CSB Sewer Issue: Weyrens suggested that one Council member be added to the Committee for the St. Ben's negotiations. Loso volunteered stating that he has been around for previous discussions and has the knowledge. Frank advised the Council that he would like to see this issue terminated in the next few months. Weyrens stated that the former auditor, KDV, will be assisting the City with requested information. The City will be billed at an hourly rate and the funds will be paid through the sewer fund. The staff member from KDV assisted the City of Falcon Heights with the metering of the University of July 16, 2009 Page 10 of 10 Minnesota. By consensus, Loso was appointed to the negotiating committee for the sewer contract with the College/Monastery of St. Benedict. Ad~iourn: Frank made a motion to adjourn at 9:15 PM; seconded by Symanietz and passed unanimously. Judy Weyrens Administrator