HomeMy WebLinkAbout04.17.23April 17th , 2023
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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 Monday, April 17th, 2023, at 6:OOPM in the St. JosephGovernment Center.
Members Present: Mayor Rick Schultz, Councilmembers Kevin Kluesner, Bob Loso, Kelly Beniek, Adam
Scepaniak
City Representatives Present: Finance Director Lori Bartlett, Public Works Director Ryan Wensmann,
City Clerk Kayla Klein, Community Development Director Nate Keller, Police Chief Dwight Pfannenstein,
City Engineers Randy Sabart and Bryce Johnson, Recreation Director Rhonda Juell
Public Comments: None.
Approve Agenda: Scepaniak motioned to approve agenda; seconded by Kluesner and passed
unanimously.
Consent Agenda: Loso made a motion to approve the consent agenda; seconded by Kluesner and
passed unanimously.
Consent Agenda:
a. Minutes - Requested Action: Approve the minutes of April 3, 2023.
b. Bills Payable — Requested Action: Approve Check Numbers 060090-060176, Account Payable
EFT #002127-002133; Payroll EFT #112354-112359; Regular Pay Period 3, 3.01, Council Pay
Period 2.
c. Donations —Requested Action: Accept the Donations as presented.
d. Financial Reports —. Requested Action: Accept the January & February 2023 reports as
presented.
e. 2023 Compost Site Agreement — Requested Action: Approve the 2023 Compost Site Agreement
as presented.
f. Performance Measures Survey Results - Requested Action: Adopt Resolution 2023-018
Accepting St.. Joseph's Performance Measures Results and Reporting Results to the State
Auditor.
g. Grant Acceptance - Requested Action: Accept the MN Twins Youth Coaching Grant for $2000
and the MN Twins Fields for Kids Grant for $8000.
h. Hollow Park Playground Equipment —Requested Action: Approve the purchase of new
playground equipment for Hollow Park and moving $14,783.23 of undesignated park funds for a
total of $36,783.23.
i. Millstream In<fields - Requested Action: Approve the quote for in -field work on the east field in
Millstream Park to Pete Schleper for $5,040.00.
j. Call for Special Meeting, All City/Board Meeting Requested Action: Call for a special meeting
known as the All City/Board meeting on April 25th at 5PM.
Public Hearing — Consideration of Approval of a Specia Event Permit La Plavette Bar: City Clerk Kayla Klein
informed the council a special event permit was received from La Playette Bar for La Jam.
The event will be held August 25'h, 2023. Applicant has requested to close a portion of the alley north of the
property and have music play until 11:30PM. City ordinance requires a public hearing for an event having
music past 9:30PM and closure of an alley. The public works department and police department have reviewed
the application. Police Chief, Pfannenstein is recommending one off duty officer and the music to end by
11:OOPM, which is consistent with last year's La Jam event.
Schultz opened the public hearing at 6:02PM.
Kay Lemke, 33 Ash St E. Lemke believes 11 30PM is too late to have music playing. She shared the music is
very loud and asked it if would be possible for the stage to face the other direction. Many of her neighbors feel
the same; she is representing them as well
As no one else wished to speak, Schultz closed the public hearing at 6:03PM.
The Council and staff discussed the time at which the music should end.
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Shawn Reisner, La Playette: Reisner shared the band hired for La Jam last year played a three hour straight
set. The band prefers to begin at sundown, which would mean the band would play 8:15PM — 11:15PM. Mr.
Reisner shared if it is a problem for the community, he would be willing to end the music at 11 PM.
Kluesner motioned to approve the special event permit submitted by the La Playette for an event to be
held on August 25, 2023, music allowed from 8:15PM — 11:00PM; seconded by Scepaniak and passed
unanimously.
Public Hearing — Sal's Bar & Grill Special Event Request: Klein informed the Council that Staff has received a
special event permit from Sal's Bar & Grill.
The event will be held June 24th, 2023. The request includes having music play until 10:30PM and a portion of
the alley to the west of the property be closed for the event. City ordinance requires a public hearing for an
event having music past 9:30PM and closure of an alley. Public Works and the Police Department have
reviewed the application and have no recommendations.
Schultz opened the public hearing at 6:07PM.
As no one wished to speak, Schultz closed the public hearing at 6:07PM.
Scepaniak moved to approve the special event permit submitted by Sal's Bar & Grill for an event to be
held on June 24th, 2023; seconded by Kluesner and passed unanimously.
Councilmember Kluesner wanted to share Dale Schneider, owner of Sal's Bar & Grill passed away on Friday,
April 14th, 2023. Kluesner shared Sal's is one of the cornerstones of our hospitality in St. Joseph and
recognized that the Schneider family has done a lot to support the St. Joseph community over the years.
Public Hearing — Improvement Hearing for the 2023 Street Improvements/2024 Elm Street East Improvements:
City Engineers Randy Sabart and Bryce Johnson provided an overview of the proposed 2023 Street
Improvements/2024 Elm Street East Improvements. Local improvements are regulated through the 429
process and include a public hearing based on the nature of the proposed improvements and a second public
hearing for the assessment amounts. Johnson presented the locations of the project, existing road conditions,
proposed improvements to each area, the estimated cost of the project, how assessments are calculated, and
a schedule for the proposed improvements.
Schultz opened the public hearing at 6:37PM.
Frank Ostendorf, 615 711 Ave NE. Ostendorf asked if the curb was going to be replaced near his home as there
are white lines painted. Sabart responded his colleagues have flagged areas where the curb is cracked or
heaved and is slated to be repaired in those areas only. Ostendorf asked what is going to be done differently to
prevent the sewer line from pushing up and ruining the driveway along 131 Ave NE. Sabart replied there will
be an additional sand section to bed the storm sewer and a second drain tile on the outside of the line to
intercept water before it gets to the street. Ostendorf stated the roughest part of Northway Drive is from Fir
down to CR 75 and there is no sidewalk. He asked why those two items have been neglected. Sabart replied
those items have been on the City's capital improvement plan for several years; the City is anticipating the
project in two years. State aid funding is available for funding on that street; however, it takes time to
accumulate the funds needed for the improvements.
Mari Lindgren, 606 Fir Street E. Lindgren asked if she is going to be assessed again in two years when the City
does the sidewalk improvements in the Northland area. Sabart informed Lindgren the City has not levied
assessments for the past two sidewalk improvements in that area.
Danielle Olson, 617 Gumtree E. Olson shared she is looking forward to the Elm Street Extension but is curious
as to how the traffic will be controlled at the Elms Street Extension and CR 133. Sabart replied the City has not
seen the County's plan but is anticipating a round -a -bout will be developed at that intersection; however; the
County will make the final decision.
Bill Arndt, Managing Partner for Northland Plaza: Arndt is referring to the Elm Street Extension Project and
stated that is hard to make comments regarding the improvements when he is unsure about how the
purchasing of property is going to be handled. He also shared concern about the cost of the project due to
having a large curvature in the road to service a business on that road. Sabart recalled a meeting with Mr.
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Arndtt and other property owners who will be affected by the improvements. If the project moves forward the
City will reach out to property owners regarding purchasing right of way and the design of the improvements.
Kevin Dierkhising, 701 Elm Street E, Co-owner of Imperial Properties and Knight Builders: Mr. Dierkhising
shared his concern about how many properties are going to be affected by the Elm Street Improvement when
the road could have been straight instead of having the curvature that is being proposed. He shared there has
been little initiation on the City's side as far as preliminary markings on the road or explaining the
improvements. He would like to see how the money he may be assessed will be allocated to the project. Mr.
Dierkhising doesn't think it seems right that twenty years ago he built a bituminous road back in that area,
turned it over to the City and now the City is going to assess him to take thirty feet of his property.
Ryan Parsons, Elm Street: Parsons asked how irregular interior lots are assessed. Sabart shared Mr. Parsons
parcel to the NE of Storage Link is considered partially abutting and partially non -abutting. For his parcel, the
City looked at limiting the width of the assessable footage so it would be similar to the neighboring parcel.
Sabart mentioned they use the assessment benefit analysis in terms of what the maximum benefit a parcel of
his size can sustain.
Arndt shared that he was told during the meeting with the City Engineer and Staff regarding the Elm Street
Improvements that he would not be charged for platting or legal expenses, it doesn't make sense for the City to
buy land from Mr. Arndt and then turn around and give it right back to the City. Mr. Arndt shared the road will
not provide a benefit to him, Equine Center or to Imperial. He feels the road is unnecessary and doesn't feel as
though he should pay for it. Sabart informed Mr. Arndt, that the proposal is to assess his property at an overlay
level from a pavement maintenance perspective and not for road construction costs. Mr.Arndt feels other than
the corner of Northland, pavement improvements are not necessary. Sabart explained if the City was not
proposing to connect the two streets his property would still benefit from access whether it be from the east or
west and maintaining the road is a benefit for a commercial business.
Mari Lindgren, 606 Fir Street E: Lindgren shared her concern about future traffic jams at the stoplight located
at Northland Drive and CR 75 after the Elm Street Extension is complete. She asked if the City owns a right of
way between Minnesota Association of Farm Mutual and her property. Lindgren offered that would alleviate the
new Elm Street Extension affecting so many businesses. Sabart shared he is not aware of any 66-foot-wide rite
of ways owned by the City in that area.
Kay Lemke, 33 Ash St E. Lemke asked why a 36'-38' overlay on Ash Street East & 2°d Avenue NE is assessed
at $39.48 while a 42' overlay on Elm Street is assessed for $27.18. Sabart explained the assessment is
calculated on a neighborhood basis. Increased property owners to distribute the cost may lower the
assessment rate.
Schultz closed the public hearing at 7:07PM.
Loso made a motion to, approve Resolution 2023-019 Ordering Improvements and Preparation of Plans
for 2023 Street Improvements; seconded by Kluesner and passed unanimously.
Beniek made a motion to approve Resolution 2023-020 Ordering Improvements and Preparation of
Plans for 2624 Elm Street East Improvements; seconded by Scepaniak and passed unanimously. -
Schultz made a motion to approve engagement letter between the City of St. Joseph and Nagell
Appraisal Inc. to conduct the benefit analysis report; seconded by Beniek and passed unanimously.
YMCA Lease Agreement and Developers Agreement: Bartlett shared the City Council adopted a
Memorandum of understanding in September of 2021 which laid out responsibility of cost for the Community ,
Center between the City and the YMCA. Since that time the City has hired an architect, construction manager
and capital campaign fundraising consultant with the assistance of the YMCA to help move forward with the
project. The following funding is established or planned for the community center.
State Bonding $4000,000
Local Sales Tax $6,000,000
Fundraising $14,000,000.
Est. Total Cost $24,000,000
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For the project to move forward, including the capital campaign, the operations lease needs to be in place.
Operational costs to the City are estimated at $143,000 annually and $840,000 annually for the YMCA. The
City offered to cover the refuse/recycling costs under the City's refuse contract and the capital campaign will
fundraise for furniture/fixtures and equipment (FEE) Attorneys from the City and the YMCA have drafted the
operations lease agreement and developer's agreement with direction from the City and YMCA. A few key
points in the agreement include:
1. Full build pre -design included approximately a 45,000 square foot facility with -
Family pool
• Kids' pay zone
• Fitness center
• Gymnasium
• Indoor walking track
• Sport courts
• Locker rooms
• Youth program studio
• Wellness center
• Social Space
2. City to cover the following operational costs —
• Water
• Wastewater
• Stormwater
• Refuse/recycling
• Street light utilities
• Mowing/weeding/watering landscape
• Sprinkler system maintenance/repair and replacement
• Parking lot exterior lighting maintenance/repair, improvements, replacement
• Building roof and structural portions, including exterior signage maintenance and
repairs
• Major building system and interior repairs — share in costs with YMCA
• Capital improvement plan funding — share in costs with YMCA
• Building liability insurance coverage
3. The City will have a space dedicated for public events and activities that do not compete or interfere
with the YMCA's recreational and other programs or otherwise conflict or interfere with the YMCA's
use operation of the facility. Bothe parties shall in good faith cooperate in the scheduling of these
events and activities at no charge to the City.
4. The City shall have the right to solicit and accept private donations to support the facility and City
operational costs.
Council and staff discussed language on page 18 section 4.6 of the Developer's Agreement, the City's
operational costs, and scenarios which may cause the lease agreement to be null/void.
Kluesner motioned to approve the operating lease and developer's agreements with the YMCA for the
St. Joseph Community Center/YMCA; seconded by Scepaniak and passed unanimously.
Engineer Reports: Sabart referenced a question Council had at the April 31d Council regarding drainage on
the NE quadrant at 17th' and Baker Street. Sabart believes the drainage can be improved and will work with the
contractor to re -shape the bituminous in that area.
Department Reports: The department heads presented their monthly reports to the Council.
Mayor and Council Reports and Miscellaneous Business: Schultz shared there will be a meeting of downtown
businesses on May 16th at 6:OOPM for anyone would like to attend. The meeting will be held at Bad Habit
Brewing. Schultz shared he is meeting Senator Eric Putnam at the State Capitol on Thursday, April 20th. A
committee was formed, and it looks like there will be no local options sales tax for any City this year. Schulz
met with the new City Administrator, David Murphy last week to go over an upcoming work session meeting
that will take place on April 25tn
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Ad'o rn: Kluesner made
Kayla KI in
City Clerk
a motion to adjourn at 7:57PM; seconded by Loso and passed unanimously.