Loading...
HomeMy WebLinkAbout1999 [09] Sep 30 Page 3628 SepteDlber30, 1999 City of St. Joseph City Council Special Meeting 9/30/99, 4:30 PM 1. Call to Order. Pursuant to due call and notice thereof, the City Council for the City of St. Joseph met on Wednesday September 30,1999 at 4:30 p.m. in the St. Joseph City Hall. I Members Present: Mayor Kenneth J. Hiemenz, Bob Loso, Cory Ehlert, Ken Twit and Mary Niedenfuer, and Clerk-Administrator Cari Schmidt. Others Present: Jim Marthaler, Chad Carlson, Joe Bettendorf, Bob Herges, Rick Heid. 2. Approve Agenda: Ehlert made a motion to approve the agenda as presented. The motion was seconded by Twit and passed unanimously. 3. Bond Sale for lIIorthland Drive - Monte Eastvold presented a graph of the National Municipal Bond Buyer's Index. He reported that historically we are at a 15 year low point. Eastvold reported that the bond sale was very successful. Six bids were received, of which three qualified for insurance. Our bond rating was upgraded from a BAAA3 to a BAA2. This is very encouraging and impressive for a community of our size. The bids were as follows: U.S. Bancorp Piper Jaffray - $1,308,829.01 at 5.1912%, Crotin & Co., Inc. - $1,309,176.7081 5.25%, John G. Kinnard & Co. - $1,308,720.00 at 5.36%, Bernardi Securities, Inc. - $1,308,726.15 at 5.42%, Dain Rauscher, Inc. - $1,308,720 at 5.47%, and Dougherty Summit Securities LLC - $1,308,720 at 5.56%. The low bidder was U.S. Bancorp Piper Jaffray. Eastvold distributed a series of spreadsheets to the Council summarizing the outstanding bond issues. The last page illustrates the assessments spread out over all three projects (Joseph Street, Business Park and Northland Drive). The Improvement Bonds of 1999 were issued for a total Principal amount of $1 ,330,000. Final bond payment is scheduled for December of 2014. The bonds are payable from special assessments, sewer trunk charges, and are additionally secured by unlimited ad valorem taxes. The bonds become callable December 1, 2007. Eastvold's recommend81ion is that provided special assessments and sewer trunk charges are feceived as indicated, no special action on the part of the City is required. Twit asked whether changing the rate to 7% would make the sewer trunk charges Jess? Eastvold said he didn't have those numbers off hand. Ehlert expressed some concern about too many people paying up front. Eastvold indicated that there will be .a lot of hook ups immediately, but this will not have a detrimental effect. I Eastvold indicated that the rate does not need to be assessed until the hearing on November 4. Ehlert asked what the historical assessment has been and whether Eastvold has seen as little as 1 %? Eastvold indicated that he had. i Eastvold distributed a copy of the issuing resolution for signature which· awards the bond, issue to the tow bidder. Loso made a motion to approve the resolution awarding the bond issue to the low bidder, U.S. Bancorp Piper Jaffray. Twit seconded the motion and the vote passed unanimously. Ehlert asked whether the City has ever discussed doing away with the assessment altogether. This has not been considered. Eastvold stated th81 the closing date would be in approxim81ely three weeks. 4. Sewer Rates -Joe Bettendorf - Bettendorf reviewed a letter from Lanv Meyer, the Mayor of the City of St. Cloud. The letter explained th81 St. Cloud will be planning and doing the preliminary engineering for the Wastewater Treatment Plant fY'NI/TP) within 5 to 10 years, with construction to occur within 10 to 15 years. The timing of the plant will be driven by I , ! ! ! , Page 3629 Septernber30, 1999 I collective wastewater tre81ment needs of the area. St. Cloud will offer to include additional space for St. Joseph in said facilities subject to St. Joseph's participating on a proportionate basis in the cost of the expansion. The lettefalso indicates th81 St Joseph may, at its cost, construct additional conveyance capacity at any time, but it would be beneficial for the City to "lock in" capacity from St. Cloud's unused portion. The estimate that St. Cloud is projecting for our cost is $2 million for each 1.0 MGD of additional treatment capacity. Bettendorf stated that although the City is in good shape now (our present usage is 34,010 gallons per day and our total capacity is 601,033) St. Cloud is offering a fantastic deal. They are essentially asking for $772,222 for an additional 1.495 MGDœpacity. Bettendorf explained that the City is also in negoti81ions with Cold Spring. He explained that the pipe alone would cost around $2 million just to force the main there. Sf. Cloud will give us more capacity for a longer period of time. It is most certainly cheaper than what Cold Spring will be able to do. Bettendorf stated th81 he and the Mayor will be meeting with Mayor Meyer in the upcoming weeks to discuss this proposition. Hiemenz stated that the St. Cloud Joint Area Planning Board sunsets on December 31. Opatz now wants the group to continue. There have also been discussions on a "regional sewer district." st. Cloud opposes this because of the munijurisdictional ramifications. Jim Marthaler reported that the City may be facing some costs in regards to the Waite Park pump station improvements. They are estimating the cost for St. Joseph will be around· $75,000. Some of the cost will include repair or replacement of electrical panels, pump drives and a bar screen. Bettendorf stated that he thinks $75,000 is too high an amount for the City to have to pay. The cost to maintain should be based on ownership. The City should only support our proportion ofthe usage. I 5. Storm Sewer Outfall in POndview 5 - Bettendorf stated that he is seeking the opinion of the Council on this ma1ter. On July 13, SEH was conducting a walk-through of Pond View 5 to identify remaining work Qn the project. During the walk thru, they noticed that the stonn sewer outfall line appeared to be located right next to a house that was under construction. Further investigation detennined th81 that the stonn sewer was 10 feet off the property line, instead of on the line as originally designed. The location was properly staked, but changes had been made to the final plat between the approval date and the date of filing. Most of the lot lines in block three had been shifted. The west line of Lot 8, where the stonn sewer was to be installed had been moved 10 feet to the west. The final plat that the Council approved m81ches the alignment of the sewer as constructed. The developer's survey was submitted with a request that changes be made. The surveyors made other changes without notifying Bettendorf or seeking approval. The issue is now the reloca1ion ofthe stonn sewer. It is too close to the house to do repairs and the owner may have difficuny selling the home with the pipe located underneath. I Bettendorf stated that if SEH is responsible, they will take care of it however, the error in this situation occurred through the developer-Heid and Herges. Unauthorized changes were made to the final plat without notice or approval. Bob Herges is present and is willing to cooperate but does not feel the pipe should be relocated at his expense. Bettendorf indica1ed th81 they are seeking the most inexpensive way to fIX the problem. Herges stated that the survey company told him that in order to make the requested changes, the lot sizes had to be realigned. The problem arose when they didn't notify anyone of the changes they made. Herges stated that he doesn't know whose fault this is-the surveyor or SEH, but he doesn't feel that it is his mistake. Hiemenz stated that the question is who is paying to move the pipe. Bettendorf sought and received the opinion that the pipe should, in fact, be moved. Ehlert asked if the homeowner Page 3630 Septernber30, 1999 should be a part of the discussions. Bettendorf stated that the homeowner had no idea about the issue before they brought it to his attention. Bettendorf stated th81 it is common practice that you don't change lot lines on a final plat unless you let the builder know. Many developments are built with final pl81s that are not recorded. I Bettendorf stated that the cost to move the pipe is approximately $15,000. This is no small error. Niedenfuer asked whether or not it is up to the City to make the decision and Bettendorf stated that he is merely seeking the opinion of the Council. Twit suggested that Bettendorf seek a second opinion from another surveyor to see if the lot dimensions actually had to be changed. Bettendorf stated that this is the first time this has ever happened to him. Ehlert stated that SEH should determine how deep the pipe is buried Us load capacity as this may cause foundation issues for the home. The pipe should be sealed off and perhaps filled. Bettendorf stated that this isn't a structural problem for the home. The issue could be more detrimental to the homeowner's title. The pipe will remain in the ground and will be plugged on both ends. The remainder of the pipe (not under the house)will be removed and reused Twit stated th81 he doesn't see this as an issue for the City to solve. It seems clear that everyone thinks the pipe should be moved. The question remains of who will pay for it. Niedenfuer made a motion that the storm sewer in service pipe should be moved. Loso seconded the motion and it passed unanimously.' i - .,~ _ i-!", Herges stated th81 Bauer1y would like to do the final wear on Phase 4 as IbiÏg as the we81her doesn't get too cold. They want to ensure a good finish. Bettendorf st81ed th81 the we81her shouldn't be a problem as there is a lot of good paving weather left. Herges stated th81 they will be coming to the Council in the winter months for the next phase. Ehlert stated that sooner would be better than later as the Planning Commission has some questions about havirtg a buffer between the lots and the park. It would be beneficial for Heid and Herges to attEihd a~ne.ral planning working meeting. "I' J~:r I 6. Molus Lot Split - Certification of Compliance - Loso made a motion to authorize the Jot split for the portion that the City is purchasing. Twit seconded the motion and it passed unanimously. 4!-'7'" 7. /~,~ttner Development Agreement - Car1son reported that the final development ;: agreement had been negotiated and agreed to by Leo Buettner. Loso stated that he had a , , b/question on Section 3.11 concerning the relocation of the trees. Car1son st81ed that they "I;/,kfllNent back and forth on this section and finally reached a compromise. The developer will contribute $9,306 to the City park fund in lieu of a dedication of land for parks. Buettner has also agreed to relocate trees on the property to parks or other locations approved by the City. Niedenfuer asked'!i'ß1at the ram,ifications will be;for th,e gevel~ if the trees don't survive. Car1son stated that:tÞØf,é¡:1ñ"~aiIY.?Aq;gy!!rantees that ~n,-9 ¡, madeto,ensure that the trees survive. Buettner is~f¡terested in sá<ì'lrígás nìà~trees ashe can1ÞHt cannot guarantee their survival. Car1son stated that this is a deal breaker for Mr. Buettner. Cartson st81ed that the trees will be reloca1ed to places within the business park. Niedenfuer st81ed that she would still like some assurances that the trees will survive. Twit stated th81 if we don't agree to this now, we run the risk of losing all of the trees;'LiJ~ked whether the PaiÍi. Board has had any input in this process. Ehlert stated that there is no value in Put1i,Q9 the trees in the park. They will be more appropriate in the Business Park. Ehlert made a ihotion to approve the Buettner Business Park Development Agreement. Twit seconded the motion and it passed unanimously. I 8. Miscèllaneous and Announcement Items - Bettendorf distributed a handout th81 was requested explaining the Joseph Street Improvements with the base bid and the alternatives. Page 3631. September 30, 1999 I Bettendorf stated that a new issue has come up regarding the sewer stub to the remaining College of St. Benedicts property. There is no road access now. We own the property and should be planning for the future. His recommendation would be to install the sewer stub and manhole now for Mure use. Ehlert made a motion to instal1 the sewer stub, manhole and services to the East. Twit made a $econd to the motion and the vote passed unanimously. Schmidt stated that she had received a request from a Township resident to hold a yard sale on a vacant City lot that is jointly owned with the Township. Schmidt told the resident that he would also need to obtain permission from the Township. Loso st81ed that this has never been permitted before and may start a bad precedent for the City. The Council agreed and Schmidt stated that she would inform the resident. Twit stated th81 he had received some calls about the reimbursements for driveways on 90th street. He had some concerns about the amount that was credited to these homeowners. Bettendorf st81ed that he followed the process he always had. He has also received a request from Tom Borresch at 30433 90th Ave SE for the replacement of his sod. At the time of the work, he told the contractor not to worry about it. He is' now requesting reimbursement after the fact. Bettendorf reported that Ben Hollerman is also looking for an adjustment to his assessment. Hollerman claims that Bettendorf talked him out of receiving water during the last project. Bettendorf doesn't recall this. The cost was split among the residents at the time. Ehlert stated that he would like Bettendorf to know that despite the issues that arose 81 the meeting, he maintains all the confidence in the world in Bettendorf and SEH. I At 6:40, Loso and Niedenfuer left10 deal with personal matters. Twit asked that the minutes reflect this. Hiemenz stated that St.Cloud/CASTS has asked for the number of pamphlets the City would like regarding the 1/2c sales tax question. The City also needs to determine how they will be distributed. We could mail them, stuff them into the Newsleader or distribute them door to door. The Council agreed to request 1,700 pamphlets and that they would be distributed door to door. 9. Adjourn - 7:10 P.M. Twit made a motion to adjourn, seconded by Ehlert. The motion passed unanimously (Loso and Niedenfuer were absent from the vote). Respectfully Submitted, ~S~ Cari Schmidt Clerk/Administrator City of St. Joseph I