HomeMy WebLinkAbout[04a] Minutes
April 03, 2014
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Pursuant to due call and notice thereof, the City Council for the City of St. Joseph met in regular session
on Thursday, April 03, 2014 at 6:00 PM in the St. Joseph City Hall, opening the meeting with the Pledge
of Allegiance.
Members Present: Mayor Rick Schultz, Councilors Renee Symanietz, Dale Wick, Bob Loso, Steve Frank,
City Administrator Judy Weyrens
City Representatives: City Engineer Randy Sabart, Finance Director Lori Bartlett, Chief Joel Klein, Public
Works Director Terry Thene
Others Present: Tom Klein, Jon Petters, Monte Eastvold
Public Comments: No one present wished to speak.
Frank made a motion to approve the agenda with two changes. The
Approval of the Agenda:
motion was seconded by Schultz.
Discussion: Frank stated that there is a correction to the minutes, and that he would like to add an
agenda item discussing the CR 2/Minnesota St. Intersection as 7b.
Loso asked what the CDAP grant payments were for in the bills payable. Finance Director, Lori
Bartlett, stated that the money is received from the state and the city pays it out to the vendors that are
using the grant.
Symanietz made a motion to approve the consent agenda. The motion was
Consent Agenda:
seconded by Wick and passed unanimously.
a. Minutes – Approved the minutes of February 26, and March 20, 2014.
b. Bills Payable – Approved check numbers 047667 – 047730; payroll EFT # 000909 –
000913 and accounts payable EFT # 001647 – 001648.
Monte Eastvold, Northland Securities: Annually, Monte Eastvold, financial advisor from Northland
Securities, prepares an analysis of the outstanding bonds held by the City of St. Joseph. The debt study
provides information of what the required tax levies and other revenue sources should be, what debts
might be a candidate to refund or payoff early, how many years remain on each debt, and the summary of
the debt costs versus the requirements to pay the total debt. Eastvold presented the Council with
summaries of the bond issues in which the City is in good shape to pay off as expected.
There are 24 total outstanding bond issues. Eastvold stated that when preparing the report year to year
he likes to see either a level or declining tax levy burden. St. Joseph has a declining tax levy burden
which gives the city room to add new bond issues in the future. Additionally Eastvold mentioned, the
quicker the debt is paid off the less interest will need to be paid. One factor that is looked at by credit
agencies is how quickly debt is paid off in a 10 year time frame. Eighty percent of the city’s bonds are
scheduled to be paid off in eight years or less.
Frank stated that the report was fair and the assumptions made are reasonable. Eastvold mentioned that
in the event that other sources of revenue do not come in as expected, then the tax levy will need to be
stepped up to cover that amount. Eastvold added that the city’s rating is A+ which is really good for a
small city.
Loso expressed concern for regarding the revenue sources for the water debt. When the debt was
issued the revenue was based on water access fees and since the economic slowdown has resulted in
reduced fees; therefore the debt has to be paid by rates. Loso questioned Eastvold if he can calculate
the financial impact to the City without the revenue. Eastvold responded that it will depend on how many
hook-up there are in the City and it might be a case where tax levies will need to step in to cover that
deficiency.
Scenic Specialties-Special Use, Variance: Weyrens stated that the Planning Commission conducted a
public hearing in February to consider the application of Randy Schmitz for special use to allow recreation
April 03, 2014
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services and a variance on parking at the facility located at 31101 County Road 133. The Planning
Commission tabled the discussion in order to get more information regarding insurance, alcohol, noise,
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parking, and other areas. After receiving the additional information in the March 3 meeting, the Planning
Commission recommended approval of the special use and variance. There were parameters for the
special use including a certificate of occupancy being issued prior to the special use coming into effect.
Weyrens added that the building permit process is completely separate from the variance and special use
and is something that Schmitz is currently working on.
Loso made a motion to accept the recommendation of the Planning Commission, authorizing the
Mayor and Administrator to execute the findings of fact issuing a Special Use Permit and request
for Variance to Randy Schmitz, Scenic Specialties, at 31101 CR 133 based on the following. The
motion was seconded by Frank and passed unanimously.
Special Use Decision and Conclusion:
1. St. Joseph Code of Ordinances 52.32 Subd. 4(j) requires issuance of a special use
permit for recreations services such as theaters, bowling establishments and clubs
and lodges. The proposed events center is similar in nature to the aforementioned.
2. The Special Use Permit allows for special events such as weddings and corporate
events, where food and beverages are part of the venue. The Special Use Permit
excludes events that are exclusively entertainment in nature.
3. The Special Use Permit is contingent upon meeting the requirements set forth in
deliberation items 1-10 (Refer to execute agreement).
Variance Decision and Conclusion
1. The variance requested is harmonious with the general purposes and intent of the
governing Zoning District Ordinance
2. The unpaved parking lot fits the character of the facility.
Approval is includes the following contingencies:
1. When the events center becomes a year round facility, the property owner will be
required to meet the parking lot requirements.
Discussion: Frank stated that as he read through, the one concern he had was the consistency of
enforcement of the ordinances, specifically the paving of the parking lot. Schultz stated that it was a
concern of his as well being that it is zoned as B-2. Weyrens added that one of the conditions is that the
parking lot would have to be paved if the event center were to transition to a year-round facility. Another
concern Frank mentioned was that of Fire Safety. Frank feels there is a lack of enforcement in keeping up
with the fire code, specifically where there are large gatherings. Weyrens stated that the City of St. Cloud
would be willing to have their certified Fire Marshal come check the businesses in St. Joseph.
City Engineer Reports
2014 Park Terrace Bid Results: City Engineer, Randy Sabart, displayed a map for the council showing
graphically how the bidding was broken down. Sabart stated that 5 bids were received for the project with
the low bid being submitted by Kuechle Underground, Kimball, MN. The low bid came in under the
engineer’s estimate. Sabart added that tonight is not to award the bids, but to schedule the second public
hearing, and to declare the costs to be assessed. Frank asked if there is familiarity with Kuechle
Underground. Sabart stated that he has worked with them in the past and it will be the recommendation
to award them the project.
Sabart reported that the preliminary project cost was estimated at $2,222,400. The final projected cost is
estimated at $2,129,343 which is a little under $100,000 less than the preliminary costs from 2013. There
were three alternates all of which would be city costs and not assessed to the property owners. One of
the state statute requirements in issuing the improvement bonds would be to have at least 20% of the
bond costs specially assessed. The alternates are not part of the total assessment amount, but still need
to be included in the bond issue.
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Frank asked if the max cost would be $10,000 per household. Sabart stated that is correct, and there will
be additional financial assistance with the hook-up charges.
Wick made a motion authorizing the Mayor and Administrator to execute Resolution 2014-013
Declaring Cost to be Assessed and Ordering the Preparation of Proposed Assessments. The
motion was seconded by Symanietz and carried unanimously.
Loso made a motion authorizing the Mayor and Administrator to execute Resolution 2014-014 to
conduct a Hearing on Proposed Assessment for the 2014 Park Terrace Improvements. The motion
was seconded by Schultz and passed unanimously.
Discussion: Schultz asked if the assessment policy needs to be reviewed. Weyrens stated that
the City is in line with the policy in that they did do a cost-benefit analysis. However, there are pieces of it
that can be looked at and can be brought back for review.
CR2 & Minnesota Street: Frank stated that due to another accident happening at the intersection of CR2
and MN St W, he feels it would be necessary to approve the distribution of the letter he created. Frank
added that he had read the comments on the articles written in the newspapers regarding the intersection
and saw a lot of negative comments. He would like to speed up the process of getting a light or some
type of resolution at the intersection. Weyrens stated that Jodi Teich had offered to come to tonight’s
meeting, but nothing about the intersection was on the agenda. She will be coming to the next council
meeting on April 17, 2014 to discuss the intersection and provide a response to any concerns. Frank
drafted a letter from the Council to be sent to the Stearns County Board, County Administrator, and
County Engineer. The letter expresses concern with the intersection and states that the city has offered to
pay 1/3 for the signal lights.
Frank made a motion authorizing the Mayor and Administrator to execute the letter from the
Council to the County Board, County Administrator, and County Engineer. The motion was
seconded by Wick.
Discussion: Wick suggested removing the term ‘ASAP’ to provide a timeline. Loso feels the letter
is redundant if Teich will be attending the next meeting in April. Schultz agreed and added that the City
has communicated their concerns to the County previously. Frank stated that he would like to take this to
the next level and to act quickly. The general consensus was to hear the response from Teich at the next
meeting and that will determine whether to send the letter or not.
Aye: Frank
Nay: Schultz, Wick, Symanietz, Loso Motion Fails 1:4:0
Committee Updates
EDA: Wick stated that the EDA met regarding further development in the downtown area, adding it was a
general discussion with few details. The EDA approved additional funding for the downtown flower
baskets. The funds will be taken from the downtown redevelopment fund. The money is going towards
the brackets which are city property. A BFA grant application was submitted from a potential business to
expand a window on the street front.
Frank added that the EDA is proceeding on getting an intern. Further details will be coming soon. The
downtown revitalization will be their main focus.
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Park Board: Loso reported that the Park Board met on March 24. Discussions were had regarding Case
Day and contacting local groups to help with the clean-up efforts. A proposed splash pad was discussed,
but there was not enough information to move forward. Loso added the board discussed the grand
opening for Cloverdale Park sometime in Mid-July, but a specific date has not been set.
Frank stated that it was interesting to see the impact of the social host ordinance on area communities.
Frank asked if there was anything done with the keg permit fee of $5.00. Weyrens stated that the fee still
exists, however, there are very few permits issued yearly.
April 03, 2014
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Administrator Reports
Economic Development District: Weyrens stated that the City is proposing to utilize public project
revenue bonds for financing the Government Center. The first process in funding is to create an
economic development district. The EDA is the issuing agent, and have recommended a joint hearing on
Loso made a motion authorizing the Mayor and Administrator to execute
April 17, 2014.
Resolution 2014-015 Calling a Public Hearing on the Proposed Establishment of Economic
Development District No. 1. The motion was seconded by Frank and carried unanimously.
Joint Meeting: Weyrens mentioned that there will be a joint meeting with the Council and Planning
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Commission on Monday April 7 at 7:00 PM.
Mayor Reports
APO: Schultz reported that the APO will start reviewing candidates for the Senior Transportation Planner
position next week. Six candidate reviews were received and interviews will be conducted for the top
three candidates.
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Lion’s 50 Anniversary: An event celebrating the 50 anniversary of the Lion’s Club will be held at the El
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Paso on May 2.
School Superintendent Willie Jett will be attending the next City Council meeting to meet the Council and
answer any questions they may have.
New Business
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Community Showcase: Frank stated that on Saturday, April 5, there will be the Community Showcase
at Kennedy School from 10-1. It is an event that is open to the public.
Bond Notice Monte Eastvold approached the Council to discuss the G17 notice. The Dodd-Frank Act
requires municipalities to assign the underwriter and the financial advisors for each bond issue. The intent
is to have Northland Securities be the underwriter for the bond issues and a signature is required to have
that take effect. No action is needed by the Council.
Motion made by Loso to adjourn at 7:20 PM; seconded by Schultz and passed
Adjourn:
unanimously.
Judy Weyrens
Administrator