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09-26-06 Regular CITY COUNCIL MEETING MINUTES Richfield, Minnesota Regular Meeting September 26, 2006 The meeting was called to order by Mayor Kirsch at 6:33 p.m. Members Present: Martin Kirsch, Mayor; Sue Sandahl; Susan Rosenberg; Fred Wroge; and Bill Kilian. Staff Present: Steve Devich, City Manager; Mike Eastling, Public Works Director; Bruce Palmborg, Community Development Director; Dan Scott, Public Safety Director; Pat Smith, Community Development Manager; Tom Foley, Transportation Engineer; Cheryl Krumholz, Recording Secretary; and Corrine Thomson, City Attorney. Claire Lee, 7610 Penn Avenue, addressed the City Council to request that she be allowed to participate in this year's Richfield Citizens Police Academy even though she missed the registration deadline. . Public Safety Director Scott explained the reason for the deadline and suggested Ms. Lee register for next year's academy. He added that other persons who missed the deadline were denied. City Manager Devich stated it is important to treat everyone the same. Jose Beravides, 2400 Minnehaha Avenue, a New Star Taxi representative, addressed the City Council to request the rules be changed regarding the taxi colors because his company is having conflicts with another company with the same color vehicles. Mayor Kirsch led the audience in the Pledge of Allegiance. Council Meeting Minutes -2- September 26, 2006 M/Rosenberg, SlWrogeto approve the minutes of (1) Special City Council Meetina of Auaust 30. 2006: (2) Special Concurrent City Council/HRAlPlannina Commission Meetina of September 14.2006; and (3) Reaular City Council Meetina of September 14.2006. Motion carried 5-0. Item #1 Council Member Rosenberg presented the proclamation designating October 2006 Disability Employment Awareness Month in Richfield. Human Rights Commission Chair Mark Olson introduced commission members Regina Robinson and Julie Kenney who spoke about IPSII, Inc. program. Jodi Julseth, Best Buy representative, discussed the Minnesota Business Leadership Network. . Item #2 Council Member Kilian stated he attended the September NOISE conference ,and would provide a report at a future meeting. Council Member Rosenberg acknowledged the efforts of the Human Rights Commission bringing another group before the City Council for recognition. Council Member Rosenberg requested the City Council consider meeting with the Attainable Housing Committee to discuss Richfield's housing needs and develop a housing visioning statement. The City Council agreed to discuss scheduling the Worksession regarding housing needs at the January goalsetting. Public Safety Director Scott reported on the successful Clean-Up Day event on September 16. Item #3 Mayor Kirsch removed Consent Calendar Item 4A for separate consideration as Item NO.5. MlWroge, S/Sandahl to approve the aaenda as amended. Motion carried 5-0. Council Meeting Minutes -3- September 26, 2006 Item #4 A. Removed from the Consent Calendar and placed on the regular agenda for consideration as Item 5. B. Approved resolution to be filed with Hennepin County that states City approval must be granted prior to transfer or division of land by County Auditor S.R. No. 188 RESOLUTION NO. 9824 A RESOLUTION RELATING TO THE SUBDIVISION OF LAND IN THE CITY OF RICHFIELD This resolution appears as Resolution No. 9824. C. Approved resolution certifying delinquent sewer and water utility accounts to County Auditor S.R. No. 189 ' RESOLUTION NO. 9825 RESOLUTION AUTHORIZING CERTIFICATION OF UNPAID SEWER AND WATER SERVICE CHARGES TO THE COUNTY AUDITOR TO BE COLLECTED WITH OTHER TAXES ON SAID PROPERTIES This resolution appears as Resolution No. 9825. D. Approved purchase of winter deicing salt for 2006/2007 winter season from North American Salt Company, Overland Park, KS at $45.28 per ton delivered, plus sales tax S.R. No. 190 MlWroge, SISandahl to approve the Consent Calendar as amended. Motion carried 5-0. Item #5 4A. Consideration of approval of continuing public hearing to October 10,2006 regarding resolution approving preliminary and final plat for subdivision of 6444 Portland Avenue S.R. No. 187 . Council Member Wroge asked about the process for considering a final plat. Community Development Director Palmborg stated this public hearing is continued because all the documents are not yet available. He added that this matter has not been before the City Council previously. Consideration of a final plat for a subdivision is always presented to the City Council with a full Staff Report. Council Member Wroge expressed concern that the subdivision fit in with the neighborhood. City Attorney Thomson stated that if an application for a final plat meets the subdivision ordinance requirements, the City Council is required to approve the plat. Staff published the notice for the public hearing as required by the City Code. Council Meeting Minutes -4- September 26, 2006 Council Member Kilian asked about the timeline when a subdivision application is received. City Attorney Thomson explained there is a certain time requirement set forth in the State Statute, which is generally 120 days. The application goes to the Planning Commission first. Council Member Wroge asked if this has been considered by the Planning Commission. Community Development Director Palmborg said no. Mayor Kirsch stated the area within 350 feet of the site is notified of the public hearing. M/Kilian, S/Sandahl to continue the public hearina to October 10. 2006 reaardina consideration of a resolution approvina a preliminary and final plat for the subdivision of 6444 Portland Avenue South. Motion carried 5-0. Item #6 Council Member Sandahl presented Staff Report No. 191 Sandy's Tavern - 6412 Penn Avenue - Jeff Erickson, co-owner, admitted the violation occurred and stipulated to the suspension and penalty. M/Sandahl, S/Kilian that the followina resolution be adopted and that it be made part of these minutes: RESOLUTION NO. 9826 RESOLUTION SUSPENDING THE ON-SALE 3.2 PERCENT MALT LIQUOR LICENSE FOR FIVE (5) DAYS FOR SANDY'S TAVERN, 6412 PENN AVENUE SOUTH, AND IMPOSING A CIVIL PENALTY FOR FIRST TIME ALCOHOL COMPLIANCE FAILURE Motion carried 5-0. This resolution appears as Resolution No. 9826. Item #7 Council Member Kilian presented Staff Report No. 192. George Frost, EI Jalapeno Market owner, discussed the proposed improvements and agreed to all the stipulations. Council Member Wroge discussed his concerns related to the trash enclosure leaving enough room for the semi trucks' deliveries and access for customer parking. Mr. Frost stated there will be enough space. Council Meeting Minutes -5- September 26, 2006 Community Development Director Palmborg explained the truck access and customer traffic flow recommendation which is believed will work. Mayor Kirsch suggested directional signage to inform semi trucks to pull over to the building. Council Member Kilian said this is a tight site so it's not going to be perfect and if it is made too restrictive, the business will fail. Mr. Frost requested the 100% escrow be reduced because he anticipates 90% of the work will be completed soon with only the parking lot unfinished. Council Member Kilian stated he did not support a change to the stipulations. Council Member Wroge asked why improvements were not made during the past four years. Mr. Frost stated the improvements were not made due to personal reasons. M/Kilian, SlWroge that the following resolution be adopted and that it be made part of these minutes: RESOLUTION NO. 9827 RESOLUTION GRANTING AN OFF-STREET PARKING PERMIT AT 1430 66TH STREET EAST Council Member Rosenberg suggested Mr. Frost consider a mural painting on the outside wall. Motion carried 5-0. This resolution appears as Resolution No. 9827. Item #8 Council Member Wroge presented Staff Report No. 193. M/Rosenberg, S/Kilian to close the public hearing. Motion carried 5-0. Council Member Wroge asked about the timeframe for the current sign installation and the boulevard trees which are obstructing the view. Patti Chadwell, applicant, stated the sign was installed in 1967. Community Development Director Palmborg said the trees were planted in 1989/1990. Council Member Wroge stated the City planted the trees and created this problem for the sign so he suggested the City Council may want to consider not charging the applicant the permit and variance fees. Ms. Chadwell reviewed the costs associated with the proposed new sign. Council Meeting Minutes -6- September 26, 2006 Council Member Sandahl stated the City has a long policy of planting boulevard trees and there shouldn't be an expectation for the City to pay these types of costs because trees grow. The City Council policy is to have fees reflect the staff time. Council Member Sandahl said she did not support waiving the fee because it may set a precedent and part of the sign is on the right of way. The proposed landscaping for the right of way was discussed. Community Development Director Palmborg stated the variance fees are $350. Public Works has issued a permit so the applicant could choose to do landscaping in the right of way. Ms. Chadwell said she is currently only seeking approval for the sign and its location. She will do an addendum to the plan for the driveway location and landscaping. MlWroge, S/Rosenberg that the followina resolutions be adopted and that they be made part of these minutes: RESOLUTION NO. 9828 RESOLUTION FOR SPECIAL COUNCIL APPROVAL OF A GROUND MONUMENT SIGN TO BE LOCATED FORWARD OF THE PRINCIPAL BUILDING SETBACK AT 7512 LYNDALE AVENUE Motion carried 5-0. This resolution appears as Resolution No. 9828. Item #9 Council Member Kilian presented Staff Report No. 194. Sid Inman, Ehlers & Associates, discussed the tax increment plan for the Cedar Avenue Tax Increment Financing District. Heidi Gaibor, 6915 Wentworth Avenue, stated the State authorization for a TIF District should be accepted but not necessarily used. Kilian stated the TIF District is a financing tool for development but would not be used unless necessary. Financing of developments on a case-by-case basis comes before the City Council for approval. Council Member Wroge said this area is starting with no financing options so tools are needed. City Manager Devich explained the State Legislature saw significant challenges in dealing with airport noise so they concurred with Richfield and allowed the establishment of a TIF District. Council Member Wroge asked Mr. Inman if there would be any reason for a developer to come to the Cedar Point development area and not ask for financial assistance. Council Meeting Minutes -7- September 26, 2006 Mr. Inman stated that in each development transaction, the City Council has required a financial analysis and provided limited assistance. He added that cleared land could require limited, if any, assistance. Council Member Sandahl discussed the various funding options the City Council and City staff have considered because of the size of the Cedar Point project. Andy Hartle, 6332 17th Avenue, asked about the current TIF area being zoned residential. Community Development Manager Smith explained the area includes a variety of zoning. There could be a rezoning from single family to multi-family residential jf the proposed development plan is adopted and the Comprehensive Plan changed. Larry Wozniczka, 6744 Wentworth Avenue, questioned the project area and TIF District map because it includes Taft Park and suggested the map boundaries be changed to reflect the City's intent not to develop that site. Community Development Manager Smith stated the legislation boundaries included the park but there is no intent to develop the site. Council Member Wroge asked about the odd-side of the 6200 block of Bloomington Avenue being part of the TIF District. Community Development Manager Smith stated those houses are not included. Council Member Kilian said only the area in the noise contour map are included. City Manager Devich explained the TIF District was created based upon the low frequency contours, which are different than the overhead noise contours. Only the 87db low frequency noise area is in the district because it is determined as incompatible living conditions. M/Rosenberg, S/Kilian to close the public hearinQ. Motion carried 5-0. Council Member Wroge asked about the City's ability to remove Taft Park for the TIF District. City Attorney Thomson said the City Council could change the boundaries. She indicated that one reason the council might want to leave park property in the district would be to maintain flexibility, if a future development proposed use of some parkland but provided replacement land for park uses Mr. Inman stated TIF is prohibited for use on recreational land. City Manager Devich stated that the HRA Attorney, John Dean, had recommended that the TIF boundaries be identical to the boundaries approved by the Legislature. Council Member Rosenberg said she believes the City Council agreed parkland is never to be used for redevelopment because parks are sacred land. M/Kilian, S/Sandahlthat the followina resolution be adopted and that it be made part of these minutes: Council Meeting Minutes -8- September 26, 2006 RESOLUTION NO. 9829 RESOLUTION ADOPTING A MODIFICATION TO THE REDEVELOPMENT PLAN FOR THE RICHFIELD REDEVELOPMENT PROJECT AREA; AND ESTABLISHING THE CEDAR AVENUE TAX INCREMENT FINANCING DISTRICT THEREIN AND ADOPTING A TAX INCREMENT FINANCING PLAN THEREFOR Motion carried 5-0. This resolution appears' as Resolution No. 9829. Item #10 Council Member Kilian presented Staff Report No. 195. M/Kilian, S/Rosenberg that the followina resolution be adopted and that it be made part of these minutes: RESOLUTION NO. 9830 RESOLUTION APPROVING SECOND AMENDMENT TO ESCROW AGREEMENT City Attorney Thomson requested Council Member Kilian and Council Member Rosenberg consider amending their motion to add one change to the escrow agreement, which was approved by the HRA on September 25. That change is to Section 1 (f) to include 7 days notice, in the second amendment to the escrow agreement dated September 25,2006 distributed to the City Council tonight. Council Member Kilian and Council Member Rosenberg agreed to amend their original motion to include City Attorney Thomson's requested revision. Molly Carson, Ryan Companies US Inc., provided an update on the property acquisitions. Motion carried 5-0. This resolution appears as Resolution No. 9830. Item #11 Council Member Kilian presented Staff Report No. 196. City Attorney Thomson recommended the City Council make the following motion: to approve the agreement contingent upon the HRA obtaining title to and possession of the Haag and Johnson properties in compliance with the deadlines in the escrow agreement or such later date as approved by Ryan Companies. The effective date of the agreement must be revised to the date that the HRA has title and possession. The Mayor and City Manager are not to execute or deliver the agreement until the HRA has title and possession. Council Meeting Minutes -9- September 26, 2006 City Attorney Thomson explained the purpose of the recommended motion related to the delivery of documents to the title of the properties at 6300-6320 Cedar Avenue and 6500 Cedar Avenue. M/Kilian, S/Sandahl to approve the aoreement continoent upon the HRA obtainino title to and possession of the Haao and Johnson properties in compliance with the deadlines in the escrow aoreement or such later date as approved bv Rvan Companies. The effective date of the aoreement must be revised to the date that the HRA has title and possession. The Mavor and City Manaoer are not to execute or delve the aoreement until the HRA has title and possession. Motion carried 5-0. City Attorney Thomson left the meeting following the City Council's action on this item. Item #12 Mayor Kirsch presented Staff Report No. 197. Council Member Kilian suggested the name of Cedar Point Parkway. Council Member Wroge suggested Richfield Parkway, especially if the road will eventually go to 1-494. He said he was not in favor of saving that name for 76th Street/77th Street renaming. Community Development Director Palmborg stated it is staff's understanding from Ryan that the development name is Cedar Point Commons. Council Member Sandahl said she liked Richfield Parkway and Cedar Parkway, but not Cedar Point Parkway. Mayor Kirsch stated he did not like Cedar Point Parkway. Taft Parkway restricted the location to the north end of Richfield. Council Member Kilian said he liked Cedar Parkway but not Richfield Parkway because the road runs only along one part of Richfield. Council Member Rosenberg stated she liked Richfield Parkway. M/Kilian, S/Rosenberg to rename 17th Avenue to Richfield Parkway. Motion carried 5-0. Item #13 Council Member Sandahl presented Staff Report No. 198. M/Sandahl, S/Kilian to approve the proposed stop sian demonstration proiect. Council Member Kilian stated there are fewer traffic accidents with less severity in controlled intersections in at least one direction. The test should be for one to two years and reassessed for expansion. Council Meeting Minutes -10- September 26, 2006 Council Member Wroge suggested the test area be as pure and consistent as possible. Transportation Engineer Foley stated a resident at 14th Avenue/63rd Street expressed concerns regarding speeding and site restrictions so a 4-way stop sign is recommended. Council Member Rosenberg said the test project is similar to the basket weave stop sign design on the west side of Richfield, which has had some controversy. Andy Hartle, 6332 17th Avenue, asked about the proposed test area including 64th Street/65th Street east of 17th Avenue since it will be closed. Mr. Foley said the Transportation Commission recommended to keep traffic control consistent until the streets were actually closed. M/Sandahl, S/Kilian to approve the proposed stop sian demonstration proiect. Motion carried 5-0. Item #14 Council Member Rosenberg presented Staff Report No. 199. Nancy Schultz, SEH, provided a power point presentation on the proposed new maintenance facility, including LEED (Leadership in Energy and Environmental Design), certification credits and storm water management options. There was discussion regarding geothermal credit and payback, green roof costs, innovative storm water management techniques and up front capital costs. Council Member Kilian said he supported items that demonstrate reasonable payback. Mayor Kirsch expressed support for innovative energy saving landscaping options, which may cost more in the beginning, and also sets an example for developers. Council Member Kilian said cost comparisons with advantages and disadvantages are needed. Ms. Schulz stated certification substantiates and elevates due diligence of energy modeling. Council Member Sandahl asked about other governmental agencies handling LEED certification. Ms. Schulz explained the variety of options the other agencies are doing. Council Member Rosenberg said she liked making the facility distinctive, innovative and beneficial to employees. She stated she liked the green roof option. Council Member Wroge said it should be remembered this is a maintenance facility and the design should be focused on where it's located and payback options. Public Works Director Eastling stated tonight's discussion is to obtain guidance from the City Council regarding design. Staff will proceed with targeting energy saving options (geothermal) and Council Meeting Minutes -11- September 26, 2006 return to the City Council for more discussion on the green roof and storm water management options. The City Council agreed SEH should schedule tours of facilities that utilize the certification credits discussed tonight. Item #15 Community Development Director Palmborg discussed the letter distributed to the City Council tonight from Jim Cooper, Jr. Landscaping, regarding the parking of his landscaping equipment and trailers on the Animal Care Clinic lot, 1208 East 66th Street, which according to City Code is a violation because it is considered outside storage. Mr. Cooper is requesting an extension of the September 30 deadline to comply and that the City Council consider revising the ordinance to allow continued storage of his equipment at this location. Council Member Wroge said he is concerned that permitting this storage will cause others who work out of their home to make a similar request. Council Member Kilian stated the parking of vehicles is a constant issue. He said the ordinance should be followed or else changed to let everyone park where they wish. Council Member Rosenberg said a precedent should not be set to permit this parking. Council Member Wroge requested staff find available alternative places to direct people in instances like this. Council Member Rosenberg said staff should spend a limited amount of time on finding alternative locations. M/Sandahl, S/Rosenberg to not revise the ordinance permit #1135 as requested, staff spend limited time on findino alternate parkino sites in situations like this, and extend the date to comply for Mr. Cooper to October 31, 2006. Motion carried 5-0. Item #16 M/Rosenberg, S/Sandahl that the followino claims and payrolls be approved: u. S. BANK AlP Checks: 152925 - 153359 PAYROLL 34004 - 34332; 41193- 41200 TOTAL $ 1,226,579.51 $ 455,948.92 $ 1,682,528.43 Motion carried 5-0. Council Meeting Minutes -12- September 26, 2006 The City Council meeting was adjourned by unanimous consent at 1 0.~4 p.m. Date Approved: October 10. 2006 ~t4Q<)~ Cheryl K mho z Recording Secretary