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06-10-03 Regular CITY COUNCIL MEETING MINUTES Richfield, Minnesota Regular Meeting June 10, 2003 The meeting was called to order by Mayor Kirsch at 6:30 p.m. Members Present: Martin Kirsch, Mayor; Susan Rosenberg; Gertrude Ulrich; John Enger; and Sue Sandahl. Samantha Orduno, City Manager; Steve Devich, Administrative Services Director; Mike Eastling, Public Works Director; Bruce Palmborg, Community Development Director; Dan Scott, Public Safety Director; Chris Regis, Finance Manager; Cheryl Krumholz, Recording Secretary; and Corrine Thomson, City Attorney. M/Sandahl, S/Enger to determine the absence of Council Member Rosenberq from the June 10 Worksession as an excused absence. Staff Present: Motion carried 5-0. No one was registered to speak. Mayor Kirsch led the audience in the Pledge of Allegiance. M/Rosenberg, S/Sandahl to approve the minutes of (1) Special City Council Worksession of May 27.2003: (2) Reaular City Council Meetina of May 27.2003: and (3) Special City Council Meetinq of June 4. 2003. Motion carried 5-0. Council Meeting Minutes -2- June 10, 2003 Item #1 Tashika Sykes, Human Rights Commission Chair, presented the 30th Annual Gene and Mary Jacobsen Outstanding Citizen Award to Russ Susag. Item #2 Tashika Sykes, Human Rights Commission Chair, reviewed the commission's 2003 annual report including goals and accomplishments. John Evenstad, Human Rights Commission Member, provided an update regarding Richfest 2004. Susan Rosenberg, City Council Liaison to the commission, stated this group takes human rights seriously. The City Council thanked the commission for their efforts. Item #3 Jennifer Swenson, Miss Richfield Ambassador Scholarship Chair, introduced the current Ambassadors and this year's candidates. Item #4 Marv Bjugan, Chamber of Commerce Chair, presented the Richfield Chamber of Commerce 2003 Small Business Hall of Fame Award to Richfield Municipal Liquor Stores. Liquor Operations Director, Bill Fillmore, accepted the award. Mr. Fillmore thanked the liquor operations staff for their efforts. Council Member Sandahl commented on a recent Star Tribune article, "Minnesota Cities Profit Less From Liquor Stores" that stated Richfield posted the State's highest municipal liquor store sales. The City Council thanked the Liquor Operations Director and staff for their outstanding efforts in not only sales, but in responsible selling. Council Member Ulrich stated disagreement with the Star Tribune article statement regarding the reason for a municipality to have a liquor store. She said the City has control over the municipal liquor stores and establishing high standards is just as important as the profits to pay for recreation improvements. Item #5 ~'~',,:,.';<".~"~~'o'. ~:_ ".,' ,,: ~" . Council Meeting Minutes -3- June 1 0, 2003 Tom Hodnefield, Principal at HLB Tautges Redpath, Ltd., presented an overview of the Comprehensive Annual Financial Report (CAFR) which was previously reviewed by City management staff. He described the tbreeaudit reports, summary of the audit findings and the state of the City's financial status. City Manager Orduno asked Mr. Hodnefield about the unfunded mandates for accounting standards. Mr. Hodnefield explained the GASB 34 new accounting standards and the new auditing standards related to fraud. He said these unfunded mandates will result in increased costs for the City. Council Member Ulrich asked about the rationale for this accounting change. Mr. Hodnefield explained there were several aspects of rationale, but it was his determination the change was driven by the SEC to establish more consistent, easier to understand accounting standards between public and private sectors. He added these changes should result in a better quality audit. The City Council thanked Steve Devich, Administrative Services Director, and Chris Regis, Finance Manager, for their efforts in preparing and monitoring the City's financial reports. M/Rosenberg, S/Sandahl to accept the Comprehensive Annual Financial Report of the City for the year ended December 31, 2002. Motion carried 5-0. Item #6 Council Member Sandahl invited Kristin Abel, Adaptive Recreation Supervisor, to present information on the City's summer program. Ms. Abel announced Rockfest 2003; Teen Nite at the Pool; and The Spot, summer teen drop- in program at Donaldson and Washington Parks. City Manager Orduno stated that implementation of teen recreation programs was directed by the City Council at the January goal setting session. Council Member Ulrich reported on the partnership between the City, Richfield School District and the Richfield Historical Society to establish a Richfield History Center at the Bartholomew House. Council Member Ulrich acknowledged a thank you from the Richfield Historical Society for the City tree crews' excellent work related to the removal of a very large tree near the Bartholomew House. Council Member Rosenberg reported she will be speaking at a League of Minnesota Cities Conference workshop in July regarding MIRA, the Latino Community Resource Center, and diversity in communities. Council Member Rosenberg addressed a concern from a resident that the Humboldt/Girard Avenues neighborhood did not have representation on the newly formed Transportation Committee. She confirmed that there is representation of this neighborhood as well as all of Richfield on the committee. She added the City Council was very conscious of the appointments to the committee. Council Member Sandahl stated there was a unanimous Council vote on the appointments. Council Meeting Minutes -4- June 10, 2003 Council Member Rosenberg announced the June 21 Richfield Beautiful Home and Garden tour. Mayor Kirsch reported on the June 10 Richfield Safety Day for children at the Elliot Community Education Center. Item #7 City Manager Orduno announced that she was notified today by the League of Minnesota Cities (LMC) that the City will receive a 2003 City Achievement Award in the category of Housing and Economic Development and Community Spaces for the Best Buy Project and an honorable mention in the category of communications for the "Out and About" cable television program. The awards will be presented at the LMC Conference in St. Cloud on June 20. City Manager Orduno explained two new administrative personnel policies recently implemented: Special Leave Without Pay and Prohibiting Firearms At Work. City Manager Orduno reported on the impacts of Local Government Aid and Market Value Homestead Credit permanent cuts on Richfield and surrounding communities. Council Member Ulrich requested the City Manager respond on the City Council's behalf to the letter from Greystone regarding the bidding on the contract for remodeling the Community Center. Item #8 M/Rosenberg, S/Sandahl to approve the aqenda. Motion carried 5-0. Item #9 A. Removed from the consent calendar and placed on the regular agenda for consideration as Item 10. B. Approved resolution declaring costs to be assessed and ordering preparation of assessment roll for 2002 removal of diseased trees from private property and setting public hearing for July 22,2003 S.R. No. 127 RESOLUTION NO. 9342 RESOLUTION DECLARING COSTS TO BE ASSESSED AND ORDERING PREPARATION OF PROPOSED ASSESSMENT FOR REMOVAL OF DISEASED TREES FROM PRIVATE PROPERTY FOR THE PERIOD OF JANUARY 1, 2002 TO DECEMBER 31,2002 This resolution appears as Resolution No. 9342 in Resolution Book No. 74. C. Approved resolutions declaring costs to be assessed and ordering preparation of assessment roll for 2002 Lyndale/HUB/Nicollet maintenance, proposing similar assessment process for 2004 and setting public hearing for July 22,2003 S.R. No. 128 Council Meeting Minutes -5- June 10, 2003 RESOLUTION NO. 9343 RESOLUTION DECLARING COSTTOBEAsSESSEDAND ORDERING PREPARATION OF PROPOSED ASSESSMENT FOR L YNDALE/HUB/NICOLLET (LHN) MAINTENANCE FOR THE PERIOD JANUARY 1, 2002 THROUGH DECEMBER 31, 2002 RESOLUTION NO. 9344 RESOLUTION PROPOSING TO SPECIALLY ASSESS FOR THE COSTS OF CURRENT SERVICES PROVIDED WITHIN THE L YNDALE/HUB/NICOLLET (LHN) PROJECT AREA FOR THE PERIOD JANUARY 1, 2004 THROUGH DECEMBER 31, 2004. These resolutions appear as Resolution No.'s 9343 and 9344 in Resolution Book No. 74. D. Approved resolutions declaring costs to be assessed and ordering preparation of assessment roll for 2002 77th Street maintenance, proposing similar assessment process for 2004 and setting public hearing for July 22,2003 S.R. No. 129 RESOLUTION NO. 9345 RESOLUTION DECLARING COST TO BE ASSESSED AND ORDERING PREPARATION OF PROPOSED ASSESSMENT FOR 77TH STREET MAINTENANCE FOR THE PERIOD JANUARY 1, 2002 THROUGH DECEMBER 31, 2002 RESOLUTION NO. 9346 RESOLUTION PROPOSING TO SPECIALLY ASSESS FOR THE COSTS OF CURRENT SERVICES PROVIDED WITHIN THE 77TH STREET PROJECT AREA FOR THE PERIOD JANUARY 1, 2004 THROUGH DECEMBER 31, 2004 These resolutions appear as Resolution No.'s 9345 and 9346 in Resolution Book No. 74. E. Removed from the consent calendar and placed on the regular agenda for consideration as Item 10. F. Approved resolution granting off-street parking permit at 220-224 East 78th Street (7745 Second Avenue) S.R. No. 131 RESOLUTION NO. 9347 RESOLUTION GRANTING AN OFF STREET PARKING PERMIT AT 220-224 EAST 78TH STREET (7745 2ND AVENUE) This resolution appears as Resolution No. 9347 in Resolution Book No. 74. G. Approved Stipulation of Final Settlement and payment of business relocation claim to Inside Innovative Sports for expenses associated with vacating racquet club building owned by Century Court Apartments as part of Penn Avenue Bridge Project S.R. No. 132 H. Approved specifications and authorization to advertise for bids to move houses in 6600 and 6700 blocks of 18th Avenue; Airport Noise Acquisition Program S.R. No. 133 Council Member Ulrich asked to remove Items 9A and 9E from the Consent Calendar and place them on the regular agenda as Item 10. Council Meeting Minutes -6- June 10, 2003 Council Member Enger requested that in light of Greystone's concerns regarding the Community Center remodeling contract, the timeframe to submit questions on this project be changed from "no later than" 10:30 a.m. to "before" 10:30 a.m. (Item 9H) City Attorney Thomson stated the City Council could direct staff on how to implement the acceptance of bids. She explained the bid process and timeframes related to the Community Center contract. M/Rosenberg, StSandahl to approve the Consent Calendar as amended. Motion carried 5-0 Item #10 9A. Consideration of approval of first reading of amendment to Chapter VIII of Richfield City Code for new right-of;.way ordinance and setting public hearing and second reading for July 8,2003 S.R. No. 126 Council Member Ulrich stated she had concerns about enforcing maintenance of the right- of-way and how problems are reported. City Manager Orduno said residents and businesses are allowed to beautify the right-of- way. She added that maintenance problems are brought to staffs' attention by complaints. Council Member Ulrich asked who restores the right-of-way when it is not maintained. City Attorney Thomson explained the nuisance abatement requirements. Council Member Ulrich encouraged stricter maintenance enforcement. M/Sandahl, StRosenberg to approve the first readino of the attached Rioht-Of-Wav Ordinance and schedule a public hearino and second readino on Julv 8. 2003. Motion carried 5-0. 9E. Consideration of approval of resolution authorizing agreement between Hennepin County and City of Richfield providing $6,000 in County participation in grinding street surface and striping of bike trails on 76th Street between Lyndale and Emerson Avenues S.R. No. 130 Council Members Ulrich and Sandahl asked for clarification regarding a conflict of interest for them since they live on 76th Street. City Attorney Thomson stated the Council Members have no financial interest in this matter so no conflict of interest exists. M/Rosenberg, StEnger that the followino resolution be adopted. that it be spread in the resolution book and that it be made part of these minutes: RESOLUTION NO. 9341 RESOLUTION AUTHORIZING THE EXECUTION OF AGREEMENT PW 20-19-03 BETWEEN HENNEPIN COUNTY AND THE CITY OF RICHFIELD ON BEHALF OF THE CITY Motion carried 5-0. This resolution appears as Resolution No. 9341 in Resolution Book No. 74. Council Meeting Minutes -7- June 10, 2003 Item #11 Mayor Kirsch presented Staff Report No. 134 regarding a resolution authorizing MnDOT Agency Agreement No. 83108, Amendment NO.1 to reimburse the City of Richfield for relocating gas main using federal funds in connection with the Penn Avenue Bridge over 1-494 Project. M/Kirsch, S/Sandahl that the followino resolution be adopted. that it be spread in the resolution book and that it be made part of these minutes: RESOLUTION NO. 9348 RESOLUTION AUTHORIZING MAYOR AND CITY MANAGER TO EXECUTE MINNESOTA DEPARTMENT OF TRANSPORTATION (MnDOT) AGENCY AGREEMENT NO. 83108 AMENDMENT NO.1 FOR FEDERAL PARTICIPATION IN FORCE ACCOUNT WORK FOR THE PENN AVENUE BRIDGE PROJECT CITY PROJECT NO. 401-30-521; S.P. 157-020-20 AND 157-020-22; M.P. HPPMN 10(102) Motion carried 5-0. This resolution appears as Resolution No. 9348 in Resolution Book No. 74. Item #12 Mayor Kirsch presented Staff Report No. 135 regarding continuation to July 8, 2003, for a public hearing and second reading of a transitory ordinance authorizing the sale of parcels at 7645 Aldrich Avenue and 7646 Lyndale Avenue to The Cornerstone Group. Council Member Ulrich asked if this matter was a conflict of interest for her since she lives in the project area. City Attorney Thomson said no. M/Kirsch, S/Rosenberg to continue the public hearino and second readino authorizino the sale of parcels located at 7645 Aldrich Avenue and 7646 Lvndale Avenue to The Cornerstone Group to Julv 8. 2003. Motion carried 5-0. Council Meeting Minutes -8- June 10, 2003 Item #13 M/Rosenberg, S/Sandahl that the followinQ claims and pavrolls be approved: RICHFIELD BANK & TRUST CO. AlP Checks: 124522 - 124792 PAYROLL 35388 - 35495 TOTAL Motion carried 5-0. $ 666,174.89 $ 428,717.03 $ 1,094,891.92 Item #14 The City Council meeting was adjourned by unanimous consent at 8:04 p.m. C~h~ Recording Secretary Date Approved: June 24. 2003