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HomeMy WebLinkAbout[04a] Minutes September 6, 2012 Page 1 of 3 Pursuant to due call and notice thereof, the St. Joseph City Council met in regular session on Thursday, September 6, 2012 at 7:00PM in the St. Joseph City Hall, opening the meeting with the Pledge of Allegiance. Members Present: Mayor Rick Schultz. Councilors Renee Symanietz, Dale Wick, Steve Frank, Bob Loso and City Administrator Judy Weyrens City Representatives Present: City Engineer Randy Sabart, Police Chief Pete Jansky, Public Works Director Terry Thene, Finance Director Lori Bartlett. Others Present: Margy Hughes, Teleiza Calloway Public Comments Margy Hughes approached Council to provide a brief update on the 2012 flower- basket project. Hughes announced the project was highly successful with 100% funding by donations from St. Joseph Action Group with matching funds from Business Facade Assistance (BFA) Grant. All 17-brackets are owned by the City and will be used next year. There is an ad to be placed in the St. Joseph Newsleader thanking the donors. The ad fees are paid for by donations. Positive comments were heard about the flower baskets downtown. Hughes requested the City Council consider including $ 2,500 in the 2013 budget to continue the flower project and pay for wages for seasonal workers. The requested funds would also include purchasing an additional ten brackets for 20 more pots. This year 30 baskets were placed and in 2013, the group would like to sell 50. The baskets would be mounted before Memorial Day 2013. Frank confirmed he was the one who suggest the funds be included in the 2012 budget. Frank expressed that he thinks it is a wonderful kind of citizen/government involvement and hopes the funding will be approved. Franks also has heard positive comments from the public. Symanietz made a motion to approve the agenda with the following changes: Approval of Agenda: removal of item 4(c). The motion was seconded by Loso and passed unanimously. Wick made a motion to approve the consent agenda with the removal of item 4(c). Consent Agenda: The motion was seconded by Loso and passed unanimously. a) Bills Payable — Requested Action: Approve check numbers 045659- 045721, payroll EFT # 000708 – 000712 b) Treasurer Report – Requested Action : Accept the July 2012 Treasurer's Report c) Removed d) 2013 Preliminary Budget: Requested action: Authorize the Mayor and City Administrator to execute Resolution 2012 – 015. Adopting the proposed 2013 budget /levy and establish a hearing the final budget on December 6, 2012 at 7:00 PM e) JPA Gang Task Force Officer – Requested Action: Authorize the Mayor and City Administrator to execute the JPA Agreement extending the authority three years. Donations: Frank requested to remove the donation from the consent agenda to thank Karen and Den Schenk for the donation to fund police shirts. Jansky stated that Schenk is a reserve officer for the City Frank made a motion to and made the donation in honor of his father who recently passed away. approve the acceptance of the donation from Karen and Dean Schenk for the purchase of polo shirts for the reserve officers. The motion was seconded by Symanietz and passed unanimously. Engineering / Public Works Report -- Archery Range: Public Works Director Thene presented a proposal to develop a City owned/operated archery range at the Water Treatment Plant site. Previously there was an archery located at Millstream Park, but has been removed because of conflicts with other activities. Archery Country agreed to donate ten targets, with a retail value of $300.00 each. They would provide staff for clinics at no charge and would also be responsible for advertising the events and referring clientele to the range. Thene explained this would be a Regional archery range which would draw people September 6, 2012 Page 2 of 3 to the City. Once completed it would take about two hours per week for mowing which is $500 per year for maintenance. Thene is requesting Councils approval to move forward with the archery range. Franks questioned the City’s Liability and would like to make the range work. Thene responded that he has verified with the Insurance Company that the proposed range will not have a negative impact. Frank asked if there would be an age limit or the need for adult supervision. Thene confirmed that it is used at your own risk. Wick appreciated that this issue was brought to Council as it is good to have additional active recreation opportunities within the City. The Park Board has reviewed the proposal and has recommended the City Council support the initiative. Since the Water Treatment Plant is not park property, the Park Board does not have authority to approve the use of property or activity. Archery Country will provide maps for the range at their shop and they will distribute to the public. Loso expressed he would like to have written policy or documentation. Weyrens confirmed a policy would be written. Frank commented that we do have a donation for disc golf and Thene confirmed a donation box would be placed at the range. Thene stated that there was a range-rules board planned and the cost will be $85. Thene stated that if the City is interesting in pursuing a common garden, there is ample room on the same site as the archery range. The parking lot could be used for both the range and the garden. Schultz questioned what improvements would need to be made for parking. Thene established the lot is a Class-5-gravel-parking lot, and is not expected to be anything more. Schulz inquired as to what the timeframe would be. Thene explained the timeline is based on when the targets arrive. Thene confirmed the City has the brackets from the old Centennial Park playground equipment to frame the targets. Schultz queried when the archery range would be completed and confirmed the gardens would follow in the future. Loso suggested hours of operations should be posted and clarified that the range will be Loso made a motion to approve the use of City property for establishing an closed for winter. archery range which will include partnering with Archery Country with the condition that a policy for use is drafted and posted. The motion was seconded by Wicks and passed unanimously. CR 2 Bypass Upgrade: Loso posed a question for the City Engineer about a timeframe on the upgrade. Sabart informed Council that construction will continue as far into fall as possible with weather permitting. At which time the road may not be completed. Shut down is planned for October. After Sabart spoke with Stearns County, he did not get the impression that they were trying to pave this season. Thene thought that they would be paving in October but he could not confirm this. Committee Reports Planning Commission: Mayor Schultz reported that the Planning Commission held a public hearing regarding the parking lot and building exterior requirements owned by Mike Deutz. After considerable discussion they recommended the Council extend his Special Use Permit until 2015. The Planning Commission then requested the City complete a parking plan for the downtown business block. Weyrens stated that the Council will consider this request at the next regular Council meeting. Park Board: Loso briefed the Council on the board discussion of the archery range. Because this was not park property we referred the topic to City Council for their support. A discussion took place regarding the upgrade for Cloverdale Park. The costs are projected to be about $24,000 to $25,000 for the project. The plan includes a Boy Scout project for spring to add a gazebo. Plans will be provided to Council later. The group came up with an excellent plan and they will try to incorporate volunteer work. EDA: Wick provided a summary of the EDA work over the past month including the proposed 2013 budget. The committee is to continuing work on the downtown master plan. A mailing went out to local businesses to obtain business owner’s feedback. The BFA grant request fromScenic Specialties was approved for half of their requested amount. The grant was for upgrades to the outside of the building. Joanne Foust from the EDA will be speaking at the Chamber meeting on September 12, 2012. The next meeting for the EDA will be September 26, 2012. Schultz reported on a potential new business opening in the industrial park. A meeting was held with the client, the State and other funding sources. A financial September 6, 2012 Page 3 of 3 package will be completed on September 7, 2012. Weyrens confirmed it comes down to TIF and applications have been forwarded. Weyrens explained that waiving WAC & SAC is not part of the package. Facility Committee: Weyrens informed Council a special meeting is scheduled for Wednesday, September 12, 2012 at 5:30 p.m., to discuss the facility. This special meeting is to update the Council and show concept plans for the new facility. Administrative Reports : Street Light UtilityWeyrens provided an update regarding the street light utility. She explained that it is not as simple as a meter reading. Sabart has been researching this and checking with his colleagues on how to determine usage. Comparing St. Joseph to the city of St. Cloud, they have it based on single family rates, multiple family rates and commercial rates. In order to project rates and impacts, the City would have to engage engineering to determine parcels and applicable rates/acreage. The same process used for establishing the storm water utility would be used for the street light utility. Wick questioned if the proposed utility would replace the budget amount for 2013. Weyrens confirmed it would only be shifting the amount in the budget. It would not reduce anything. It applies across any property regardless of status. Council discussed if it would be a fee or a tax. Weyrens explained it is the same type of concept as the storm water fee. Sabart would like to submit a proposal to Council estimating the time it would take for engineering. Frank confirmed he is supportive of moving forward but would like to see the impact to businesses. Facility Committee: Weyrens reported that the facility committee visited the Sauk Rapids new facility for planning and functions. During the tour, the Administrator for Sauk Rapids discussed the conversion of paper packets to electronic. Council members are issued Ipads and paper packets are only printed for one member of the Council who prefers paper. Sauk Rapids has indicated the conversion has been successful. Weyrens stated in reviewing the conversion, while the City would incur an initial cost for the devices, it would save considerably on office supplies. The City would have funds to use to convert to paperless and it is estimated the cost is approximately $ 3,000. Schultz acknowledged that the paper copy of the agendas would go away and is in favor of saving money. Wick also added there are apps to take notes. Weyrens announced the new Website pages from Civic Plus will be ready soon for review and she will email the link to the Council Members. Mayor Report Schultz met with the College of St. Benedict Cabinet (CSB) and gave them an update on what is going on in the City. They offered a tour of the new housing facility and offered the same tour for the Planning Commission – they will be setting up dates. Welcome Back Day is September 12, 2012, at 7:00 p.m., for off-campus housing meeting and welcome back for students. Update on County Road 2 bypass, a discussion is needed on how this will look when finished. There is a triangle area and Council will need to look at new signage. The Lions Club and CSB have expressed interest. Council Reports Symanietz: Thank you to the City of Sauk Rapids for the tour. The facility consists of Police, City Offices th and Community facility. This will be discussed at the Sept 12 Meeting. Adjourn:Wick made a motion to adjourn. The The Council came out of closed session at 9:05PM and motion was seconded by Symanietz and passed unanimously. Judy Weyrens Administrator This page intentionally left blank October 4, 2012 Page 1 of 7 Pursuant to due call and notice thereof, the City Council for the City of St. Joseph met in regular session on Thursday, October 4, 2012 at 7:00 PM in the St. Joseph City Hall, opening the meeting with the Pledge of Allegiance. Members Present: Mayor Rick Schultz, Councilors Dale Wick, Renee Symanietz, Bob Loso, Steve Frank and City Administrator Judy Weyrens City Representatives Present: Finance Director Lori Bartlett, Police Chief Peter Jansky, Public Works Director Terry Thene, City Engineer Randy Sabart and City Attorney Tom Jovanovich. Others Present: David Salzer, Mike Deutz, Tom Peck and Preston Eurele Wick made a motion to approve agenda removing item 10b, election judge Approval of Agenda: appointment. The motion was seconded by Symanietz and passed unanimously. Loso made a motion to remove the item Donations (4d) and would like to discuss Consent Agenda: (4d) during agenda item 6 (The Fire Relief Association -- amendment to By-laws). The motion was seconded by Wick and passed unanimously. a. Minute – Requested Action: Approve the minutes of August 2012. : b. Bills Payable – Requested Action Approve check numbers 045722-045817, payroll EFT # 000713-000722 and accounts payable 001586 – 001587. : c. Treasurer Report - RequestedActionAccept the August 2012 Treasurer’s Report d. Removed. Public Hearing/Delinquent Invoices: Mayor Schultz opened the public hearing to which Weyrens explained the process for public hearings for delinquent notices. Public hearings are held twice a year. Weyrens reported there are a small amount of outstanding invoices and all customers have been notified of the public hearing. All unpaid invoices will be certified to the County Auditor for collection with the real estate taxes and shall be payable in one year. There being no one present wishing to speak, the hearing was closed at 7:05. Wick made a motion authorize the Mayor and Administrator to execute Resolution 2012-016 adopting the final assessment roll and providing for certification of all unpaid invoices payable in one payment with 0% interest. The motion was seconded by Symanietz and passed unanimously. The Fire Relief Association: David Salzer, St. Joseph Fire Relief Association Treasurer, approached the Council to request amendment of the Association bylaws. The MN State Auditors Office has recently released on opinion that requires Associations to establish the interest rate that will apply to interest credit for deferred members. The current by-laws indicate that deferred members will receive up to 5% interest and the rate is determined by investment earnings. The new opinion requires the City Council establish the actual interest rate and it can be reviewed and modified each year and cannot exceed 5%. The Fire Relief Board has reviewed the opinion and is requesting the City Council amend the by-laws to add the revised language and set the interest rate for 2013 at 0%. Salzer stated that each year, during the third quarter, The Fire Relief Association Board Trustees will determine the rate for the next year and may set the interest up to 5%. Change to the By-laws will be set at 0% and this would only affect only those retiring in the year 2013. This does not affect those previously retired. Newly retired individuals could take out their money and invest it privately. Loso inquired if this was new and what members received last year. Salzer explained last year they received about 5%. Salzer confirmed that the Firefighters have been notified and there was positive feedback. Frank made a motion to authorize to accept the recommendation if the Fire Relief Board and amend the by-laws to stated that the association will annually establish what if any interest will be added to the deferred members account. The Board shall review the annual interest earnings and stability of the account and forward a recommendation to the City Council for interest the coming October 4, 2012 Page 2 of 7 year. At no time shall the interest rate exceed 5%. Additional the interest rate established for 2013 shall be 0%. The motion was seconded by Symanietz and passed unanimously Fire Relief Donation: Schultz inquired about the deck gun equipment donation from the St. Joseph Fire Relief Association. Salzer confirmed the monies are donations from general fundraising which is a Symanietz made a motion to accept the donation of a deck gun from the completely separate fund. St. Joseph Relief Association. The motion was seconded by Wick and passed unanimously. Committee Report Park Board: Loso reported the Park Board is planning for a Winter Fest in a City Park, with about $5,000 in funds donated from the St. Joseph Hockey Association. Projected date for the event is February 16, 2013, the same weekend as the Rod and Gun Club fish tournament. Collegeville Communities approached the Park Board to utilize the contributed Park Dedication Fees for College Addition 34d for enhancements to the development. They proposed landscaping equal to the fees paid to the City. Loso stated the City Attorney submitted a letter which indicated that the use of public funds on private property was not a public purpose expenditure disqualifying the use of Park Dedication Funds. The Park Board has set a budget for 2013 and will be forwarded to the City Administrator for some additional feedback. EDA Update: Wick reported the EDA met recently and discussed the following: 1) Business Retention Expansion Survey – the EDA received only 19 out of 163 responses. The EDA will be sending out another postcard reminder; 2) Ken Jacobson Demolition Grant Request – the EDA approved a demotion grant to Ken Jacobson to demolish the rental house adjacent to his business on Cedar Street; 3) McDonalds anticipates breaking ground on October 8 with a January 2013 opening. Grant Application – Jason Kresbach and Lori Ziebell from Central Minnesota Housing Partnership (CMHP) discussed the proposed housing rehab grant application and if a commercial component should th be added. The pre-application for the small cities grant is due on November 15. Weyrens confirmed that the City has already approved the submittal of the grant with the CMHP serving as the grant administrator. Schultz asked about the grant through Stearns County and inquired if this was still available. Weyrens confirmed Stearns County cannot apply on the Cities behalf. Although this is the same financing tool, it is a different agency who is submitting the grant. Wick confirmed this is the same grant application but not through Stearns County. Wick explained the EDA needs to pick a location of the city to declare (per their terminology) slum or blight, an area that needs to be updated and repaired. This does not necessarily include just outdoors but interiors too, such as furnace updates, asbestos in roofs, etc. The EDA is requesting City Council to declare St Joseph Manufacturing Week for the week of October Loso made a motion to approve the week 22-27. This is to recognize local manufacturing businesses. of Oct 22-27 as local . The motion was seconded by Symanietz St. Joseph Manufacturing Week and passed unanimously. Administrator Report Initiative Foundation Report: Weyrens reported that each year the City is requested to fund a contribution to the Initiative Foundation and the 2012 budget included $ 1,500. The Initiative Foundation is requesting release of the funds. This year the Minnesota Street Market has received a $5,000 grant from the Initiative Foundation and the City will receive $5,000 in January for the Downtown Master Plan. Wick confirmed $10,000 in funds from the Foundation; Weyrens verified this is money that goes back into the Wick made a motion authorizing the funding of $ 1,500 to the Initiative City to benefit the community. Foundation as requested. The motion was seconded by Loso and passed unanimously. Mayor Reports Centennial Commons: Mayor Schultz attended the Centennial Commons dedication ceremony last Friday, Sept 28, 2012. There was a tour of the apartments and Council Members were invited to schedule a tour. Frank questioned the LED lights that were installed and stated that from his research more Cities October 4, 2012 Page 3 of 7 are moving to this type of lighting. The upfront cost is more, but in the long run the payoff is good. Sabart explained that initiatives have been usually provided by private parties and not the power companies, Technology has gotten better and pricing is lower with new improvements. Frank would like to look at this for in the future during upgrades and Sabart confirmed the engineering group has lighting designers that stays on top of the technology and there was a quality issue in the past. Technology is improving and he will continue to monitor to determine when it is cost effective. Upcoming Events: Schultz reported the Planning Committee did not meet in October due to lack of th business and on October 28 a candidate forum will be held in the Council Chambers from 2:00 p.m. – 4:00 p.m. for the upcoming election. Schultz reported that he also had the opportunity to ride with the Police Chief the evening of homecoming. Michael Deutz, Amendment to the Special Use Permit: Weyrens stated that in September the Planning Commission conducted a public hearing to consider an amendment to the Special Use Permit for the property at 31 Minnesota St W, requesting relief from the parking requirements. After considerable testimony and discussion at the public hearing, the Planning Commission recommended delaying the requirement to pave the parking lot for a period of three years or until the property is fully developed, whichever comes first. In addition, if after three years the property is not fully developed the property owner can request a two year extension. Weyrens clarified that the meeting at this time is not a public hearing, but property representatives are present for discussion. The action of the Planning Commission simply extended the current special use permit for three years. Loso stated that he supports the extension of three years and questioned what criteria will be used to determine when and if the area needs to be improved. Weyrens and Schultz confirmed the Planning Commission did not define the criteria, but discussed the amount of office space that is vacant and the desire to keep the downtown active. Frank agrees that it is good to have a couple years to determine what changes will be made in the downtown area and a parking plan with a community facility still in planning stages. Schultz commented that it was discussed at length during the Planning Commission Loso made a motion to accept the recommendation of the Planning Commission meeting. adopting the Findings of Fact providing exterior pavement relief until 2015; seconded by Frank. Wick requested the Findings of Fact include language that any further landscaping on the property would require Council approval. He stated that the property owner is requesting relief from the requirement imposed as part of the special use permit citing financial reasons; therefore; it would follow that the property could not support landscaping. If the property owner is considering landscaping then the parking lot should be paved. Wick suggested adding a third provision stating “no landscaping, fencing or other improvements will be constructed on the property or be completed unless approved by the Planning Commission”. Schultz stated that discussion at the Planning Commission included the perception that the parking lot owned by Deutz is used as a community parking lot and he should not be required to provide parking for others. In addition, adjoining property owners stepped forward supporting the extension of time for paving the parking lot. Wick stated that there will be a lot of questions as to why this lot was not required to be paved. Frank talked about this being for financial reasons, and questioned why this should be an exemption. Wick confirmed he would like to have wording other than financial concerns for future developers. City Attorney Tom Jovanovich confirmed that financial concerns should not be a determining factor in granting a variance and the matter before the Commission at this time is a Special Use Permit which utilizes different standards. As part of the conditions the property owner is trying to obtain relief from landscaping. The Council may want to put a condition that no landscaping could be added unless approved by the Council. Loso questioned the number of parking spaces required to which Weyrens responded the rental component requires 10 and the commercial component requires 13. Mike Deutz spoke on his own behalf stated that he does not want his parking lot to be considered a public lot because he does not want the liability. His understanding the Special Use Permit is for the rental part October 4, 2012 Page 4 of 7 of the property. He stated that he only has six tenants and questioned the required parking. Weyrens stated the required parking is based on the Ordinance which takes into account the number and size of bedrooms. The parking ordinance includes parking for guest and is not one per tenant. Loso stated it was his understanding the number of required parking spaces were determined by the Planning Commission. Deutz questioned the parking requirements and in his opinion the City has not enforced the parking regulations consistently. He requested the Council determine the exact number of parking spaces he is required to pave at this time. Schultz stated that the Planning Commission must be part of the decision making process for determining required parking and that is not the matter before the Council at this meeting. Deutz objected to the suggestion of Wick restricting the ability to landscape the property without approval from the Planning Commission and questioned what he can do without approval. Wick stated the City has been presented a request to amend an agreement that was executed to secure a special use permit to allow a mixed use facility. The special use permit process allows the City to add conditions or restrictions. Deutz stated that he did not execute the original agreement and does not feel he should be subject to the terms and conditions. Jovanovich stated that the development agreement was recorded with the property and the buyer/successors assume the responsibilities of the terms and condition. Jovanovich further stated that until a new plan is submitted and approved by the Planning Commission and City Council, the plan included in the 2006 development agreement is applicable. With regard to the amount of parking required for the development, the property is located in the B1, Central Business District. The current ordinance states the amount of required off street parking in the central business district for existing or new uses to existing buildings which do not increase the area used for commercial or residential use shall be determined by the Planning Commission with approval by the City Council prior to the issuance of the building permit. The amount of parking spaces shall be based on the anticipated demand for parking and loading space, length of visits generated for the particular business, and availability of other spaces in the central business district. It is up to the Planning Commission and City Council to determine the amount of parking needed. The parking regulations have not changed since 2006 so the required spaces in the recorded development agreement are applicable today. Loso understands that the recent Planning Commission meeting discussed and required 10 spaces. Weyrens confirmed the Planning Commission findings when asked how many spaces needed to be paved is minimally the living component and came up with 10 spaces, but then they discussed waiving the requirement for three years. The motion ended up being for the relief of improving the parking lot. Deutz questioned if he decides to pave the parking lot does it need to come before the Council. Wick and Jovanovich determined it does because of the change in the use of the property. Deutz was granted a Special Use Permit and that is still part of the property. Jovanovich confirmed that Wick is proposing that you do not develop until a new developers plan is approved by the Planning Commission. Loso stated that he remembered when Deutz took over the building there was not a plan for the building and there was a two-year window in place for the parking lot paving relief, but this did not require Deutz to take over the developers agreement. Jovanovich does not disagree, but when you go back to the 2009 Planning Commission the developer is required to have a landscaping and paving plan approved by the Planning Commission and plans must be submitted by Sept 12, 2012. Loso commented the Planning Commission should have approved a new landscaping plan at the last meeting and Jovanovich confirmed they provided relief from the plan for another three years. Deutz asked again if he decided to pave how many stalls he would need. Schultz explained the restriction is to not do anything until a plan is made and approved by the Planning Commission and then he can be directed as how many stalls would need to be No Landscaping, fencing or other paved. Wick confirmed and Jovanovich agreed with the wording; improvements will be constructed on the property unless approved by the City Council. The property is to remain in its current condition, unless a plan is made and approved by the Planning Commission and City Council. October 4, 2012 Page 5 of 7 There was a discussion by Wick and Deutz about not making the relief be about financial reasons only, and a plan was needed before any landscaping is done. Deutz is concerned about the liability and feels he should be able to add a fence or pave the property when wants. Wick confirmed that the relief has been granted and no improvements will be done until a plan is approved by the Planning Commission and City Council. The City Council is not ready to answer the question tonight with regard to the number of parking spaces required. Schultz said the City Council is determining the relief and has instructed Deutz to come back with a plan so they may determine how many spaces will be needed. Wick made a motion to amend the Findings of Fact delaying the requirement for the parking lot pavement for two years, adding a condition that no Landscaping, fencing or other improvements will be constructed on the property unless approved by the City Council. The property is to remain in its current condition, unless a plan is made and approved by the Planning Commission and City Council. The amendment was seconded by Frank. Ayes: Wick, Frank Symanietz Nays: Schultz, Loso Amendment Carries 3:2:0 Vote on amended motion: Ayes: Wick, Frank Symanietz Nays: Schultz, Loso Motion Carries 3:2:0 Community Facility:Symanietz reported that an open house meeting was held for information and input from the residents regarding a proposed Community Center. The following is a summary of comments from the open house:  Utilization of Kennedy  Consider a separate facility for the City Hall and Community Center  The focal point of the project appears to be City Hall not Community Center  Requests for a facility to include a pool, basketball, active recreation activities and a full kitchen  Some suggested a facility similar in nature to the Whitney Center Weyrens stated that in reaction to comments received at the open house staff has been requested to research operation costs once a community center is constructed. Finance Director Lori Bartett contacted the City of Becker who has operated a community center for over 20 years. The total operating cost for the facility is $ 850,000 annually with over 50% of the operation paid through a tax levy. The only facet of the facility cash flowing is the school daycare program. User fees account for approximately one-third of the operational cost. Wick stated that Becker also houses a library in the community center. Frank stated that while a library would be a good addition, the Great River Regional Library is not branching into smaller locations. Loso stated that when looking at the demographics for Becker, the area of potential users is much larger than St. Joseph. Loso noted that Becker has a bigger demographic area to draw from than St. Joseph. Loso has gone through the process before in 1998 - 2000 regarding a community center with a pool, gyms and everything else combining city buildings and if he remembers correctly it was about three to four million dollars. Taking the tax capacity rate into consideration it is not a money making situation, Loso doesn’t think the entire city wants the community center and the City can’t afford it. This was a small group of people that were at the meeting. Wick and Symanietz didn’t disagree with the comments of Loso, but stated they are reporting the results of the open house and they feel that attendance at the meeting was diverse. Frank responded that we don’t want to dismiss the input from the survey that the group is looking for more options for young people not just seniors. They are looking down the road 20 years from now. Wick added we are looking at this tonight because of the input from the community meeting and Wick feels we do not have anything to give the architects yet for direction. The task for the facility group is to determine what is needed and what can be afforded. We have been focusing on the survey that was taken, like meeting rooms, kitchen facilities. The plan was to update the City Council but this has been put on hold until we know what direction we are taking. October 4, 2012 Page 6 of 7 Loso asked about the numbers and Wick confirmed that is not determined yet. The Kennedy School option just came up and the City Council needs to figure out what we want to go ahead with for the community. Loso said we purchased the lot next door and then hired an architect and also hired the consultant, how much have we spent so far? It is about $200,000 including the property next to the current building and assuming we are moving forward. Symanietz said there have been suggestions the lot could be made into additional parking for the downtown area. Frank requested that the City Council think about some more uses for the building plus adding a basement for storage for history, or clubs. Other ideas came up like another floor could be added to the existing building. Schultz stated that the Council needs to determine if the former Kennedy School is a viable option for a future government center including community center. The last cost estimate was based on numbers for 2008 and there have been changes in the market values and building. Schultz states that there is a real possibility of becoming landlocked at our current location and if we need to expand the building and parking in 10 years we will have no place to do it. Therefore, the Kennedy site once again becomes a question as well as options for the existing site including demolishing and starting over or remodeling. Loso stated it is his opinion that the Council decided a number of years ago that the City Offices needed to stay downtown. With that understanding he supported purchasing the former Credit Union building to add to the existing site. The Council concurred that the biggest issue regarding a downtown site is parking and how to accommodate. Schultz stated that wherever the community facility is built it needs to gives the City capacity and parking with the best opportunity for the community in the long run. Symanietz confirmed we are moving forward and should look into all options. Loso commented that he doesn’t believe the Kennedy site is available for purchase and there are existing businesses operating in the facility with leases. In addition, he stated it is his understanding that District 742 is considering occupying a portion of the facility again. Wick asked if the city engineer would be able to walk through and look at the building. Weyrens stated if the Council is serious about considering the Kennedy site it is not prudent to move forward without exploring the option. Schultz stated he is supportive of reviewing if the community facility would fit into the space. Tom Peck, Hagemeister Mack Architects, stated that they could review the Kennedy site and prepare a conceptual concept and cost estimate. The additional scope of work would not exceed $ 5,000. The review would include reviewing existing floor plans and documents and physically walking through the site and reviewing existing mechanical infrastructure. After the review process conceptual layouts would be presented to the Council. Peck estimated the assessment would take approximately three weeks. Frank asked if a commercial real estate/appraisal company should be added on at this time. Preston Eurele, with RA Morton responded that while RA Morton is not a real estate agency, they could provide an estimate of approximate value. To do an actual appraisal or to market the building a real estate agent and appraiser would be an appropriate choice. Frank stated he is interest in reviewing the total costs on for utilizing the Kennedy location. Schultz made a motion to authorizing Hagemeister Mack and RA Motion to investigate the viability of purchasing and remodeling the former Kennedy School for a government center. The estimated cost for review is $ 5,000. The motion was seconded by Frank. Discussion: Wick stated that if we are holding off with the project management part of the process, which Peck confirmed, we should then continue the discussions after the Kennedy property has been explored. We need to figure out what direction we will be taking and then we can put our energies towards that. Eurele stated it is his understanding the City is looking at the four following options: 1) remodel existing facility and add a community component; 2) raze the existing facility and construct a new government center and community center; 3) building a facility on a different site, marketing the existing facility; 4) former Kennedy School site. Ayes; Schultz, Wick, Symanietz, Frank. Nays: Loso Motion Carried 4:1 October 4, 2012 Page 7 of 7 Council Reports SYMANEITZ – No report WICK Millstream Arts Festival: Wick reported that the Millstream Arts Festival was a success last Sunday and the committee expressed their gratitude to the Police Department and Public Works departments for their assistance. LOSO Minnesota Historical Society Grant: Loso questioned the status of the grant application for the monument restoration to which Weyrens reported the City was recently notified that the request was not funded. FRANK EDA: Frank and Wick updated the Council on a recent informal meeting with a biomedical company considering locating in St. Joseph. The EDA has been working through the financial and environmental issues. The prospective business would be a great opportunity for the City. Loso made a motion to go to into closed session pursuant to MN Statute 13d.05 Closed Meeting: subd. 3(b) to discuss attorney client privilege for pending litigation regarding the case of the City of St. Joseph v. Michael Deutz The motion was seconded by Wick and passed unanimously. Adjourn: The Council came out of closed session and the meeting was adjourned at 9:35 PM. Judy Weyrens City Administrator This page intentionally left blank