03-13-07 Regular
.....
CITY COUNCIL MEETING MINUTES
Richfield, Minnesota
Regular Meeting
March 13, 2007
I CALL TO ORDER
The meeting was called to order by Mayor Pro Tempore Sandahl at 6:30 p.m.
I ROLL CALL
Members Present:
Sue Sandahl, Mayor Pro Tempore; Susan Rosenberg; Fred Wroge; and
Bill Kilian.
Members Not
Present:
Staff Present:
Debbie Goettel, Mayor.
Mike Eastling, Acting City Manager; Pat Smith, Acting Community
Development Director; Jim Topitzhofer, Recreation Services Director;
Chris Regis, Finance Manager; Jay Henthorne, Police Lieutenant; Francie
Fletcher, Human Resources Coordinator; Cheryl Krumholz, Recording
Secretary; and Corrine Thomson, City Attorney.
M/Kilian, S/Wroge to excuse the absence of Mavor Goettel from the March 13. 2007
Reaular City Council Meetina.
Motion carried 4-0.
I OPEN FORUM
Reverend Thomas Eklo, 7227 Penn Avenue, St. Nicholas Episcopal Church, requested the
City Council consider amending the ordinance on the moratorium for electronic signs. He said
there are differences between commercial and billboard signage. The church has ordered a new
sign and has now stopped production because of the moratorium and the inability to get a permit.
He said he is aware of traffic safety issues but the church's sign would not flash, change probably
twice a day, and turned off at 11 :00 p.m. and back on at 7:00 a.m.
Mayor Pro Tempore Sandahl stated that even though the church has contacted staff
previous to the moratorium, no permit had been received. If one exception is made, it may lead
others to seek an exemption. It would be difficult to distinguish the differences and there cannot be
discrimination between groups.
City Attorney Thomson explained the purpose of the moratorium is to allow time to study
the regulating of electronic signs and determine the impact on traffic and aesthetics. No study
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March 13, 2007
determination has yet been made to allow, prohibit or the distinctions on the size impacts of these
signs. It is anticipated the study will proceed quickly.
City Attorney Thomson stated the League of Minnesota Cities (LMC) has commissioned
their own study and will share the information with other cities. She added that no one is saying
the church won't be able to erect the sign, but the study needs to be done first.
Reverend Eklo asked about the study's timeframe.
City Attorney Thomson said the LMC is in charge of the study, not the City.
Council Member Kilian stated the moratorium is for one year but that doesn't mean the
study will take a year. The City will proceed to making a decision as soon as the information is
available.
Reverend Eklo asked about the process for notification to the church when this issue is
decided.
Mayor Pro Tempore Sandahl said staff would notify anyone who has expressed an interest
in erecting an electronic sign. There may be a City Council Worksession which the church could
participate in discussions.
Council Member Kilian added that the City Council may decide to have the Transportation
Commission review this issue because of traffic concerns. He said Reverend Eklo would be made
aware of those meetings, also.
The City Council agreed the study needs to be completed, with the pros and cons
considered, before making a decision.
PRESENTATION OF COLORS AND PLEDGE OF ALLEGIANCE
Mayor Pro Tempore Sandahl led the audience in the Pledge of Allegiance.
I APPROVAL OF MINUTES
M/Kilian, SlWroge to approve the minutes of (1) Special City Council Worksession of
February 27.2007; and (2) Reaular City Council Meetina of February 27.2007.
Motion carried 4-0.
Item #1
COUNCIL DISCUSSION
. HATS OFF TO HOMETOWN HITS
Mayor Pro Tempore Sandahl discussed the 1-494 Corridor Commuter Challenge in April
when employers encourage employees to promote alternative forms of transportation to work.
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March 13, 2007
litem #2 I COUNCIL APPROVAL OF AGENDA
M/Rosenberg, SlWroge to approve the aQenda.
Motion carried 4-0.
litem #3 I CONSENT CALENDAR
A. Approved first reading of ordinance amending Transitory Ordinance No. 17.57 vacating
portion of 77th Street West, near reconstructed intersection of Emerson Avenue South and
77th Street West; 7537 Girard Avenue; and schedule second reading for March 27, 2007
S.R. No. 71
B. Approved resolution establishing just compensation and authorizing purchase of property at
6600 Oakland Avenue needed to complete 66th Street and Portland Avenue intersection
project S. R. No. 72
RESOLUTION NO. 9906
RESOLUTION ESTABLISHING JUST COMPENSATION AND AUTHORIZING PURCHASE OF
REAL PROPERTY LOCATED AT 6600 OAKLAND AVENUE (66TH STREET AND PORTLAND
AVENUE INTERSECTION IMPROVEMENT PROJECT)
This resolution appears as Resolution No. 9906.
C. Approved agreement with Mom's Taxi Transportation Corporation to provide transportation
services for Community Center program participants S.R. No. 73
D. Approved purchase from GATR GMC of Fergus Falls, MN of new chassis for new lights and
signs aerial truck for use by Street Division in amount of $32,628.48 S.R. No. 74
E. Approved contract renewal with Auction Broadcasting Company of Minneapolis for
auctioning forfeited vehicles from Public Safety/Police S.R. No. 75
MlWroge, S/Kilian to approve the Consent Calendar.
Motion carried 4-0.
Item #4
CONSIDERATION OF ITEMS, IF ANY, REMOVED FROM CONSENT CALENDAR
None.
Item #5
PUBLIC HEARING AND SECOND READING OF PROPOSED FRANCHISE
ORDINANCE AND AGREEMENT BETWEEN CITY OF RICHFIELD AND XCEL
ENERGY AND RESOLUTION AUTHORIZING SUMMARY PUBLICATION OF
ORDINANCE (CONTINUED FROM FEBRUARY 27, 2007) S.R. NO. 76
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March 13, 2007
Council Member Wroge presented Staff Report No. 76.
Larry Wozniczka, 6744 Wentworth Avenue, requested an explanation of Section 9,
Franchise Fees, in the agreement related to imposing a franchise fee of not more than 5% of gross
revenues. He asked what determined the gross revenue and the maximum the City could collect.
Finance Manager Regis explained the 5% is determined by Xcel and the City and is the
same language as in the 1987 agreement. He read the definition of gross revenues as defined in
the agreement. The City franchise fee cannot exceed 5% of the gross revenues.
City Attorney Thomson stated the 5% maximum is imposed by State Statute and
incorporated into the agreement. It is typical to establish that maximum amount.
City Attorney Thomson explained the agreement and ordinance considered by the City
Council tonight does not establish the franchise fee but gives the City the authority to impose a
franchise fee. The City Council determines the amount of the franchise fee.
Council Member Wroge asked if gross revenues considered the entire City or individual
accounts.
Finance Manager Regis said the gross revenues are of the entire City within the corporate
limits.
City Attorney Thomson stated gross revenues are what the company receives for providing
electrical service to retail customers within the City's corporate limits. The gross revenues do not
include any surcharges or charges for franchise fees.
Council Member Wroge said the current residential franchise fee is $1.65 and asked how
close this is to the annual 5% maximum.
Pat Cline, Xcel representative, said it is between 2% - 3%.
M/Wroge, S/Kilian to close the public hearinQ.
Motion carried 4-0.
M/Wroge, S/Kilian that this constitutes the second readinQ of Bill No. 2007-5, the Franchise
Ordinance and AQreement between the City of Richfield and Xcel EnerQY. that it be published in the
official newspaper and that it be made part of these minutes; and that the followinQ resolution be
adopted and that it be made part of these minutes:
RESOLUTION NO. 9907
RESOLUTION APPROVING SUMMARY PUBLICATION OF AN ORDINANCE GRANTING TO
NORTHERN STATES POWER COMPANY, D/B/A XCEL ENERGY, A MINNESOTA
CORPORATION,ITS SUCCESSORS AND ASSIGNS, PERMISSION TO CONSTRUCT,
OPERATE, REPAIR AND MAINTAIN IN THE CITY OF RICHFIELD, MINNESOTA, AN ELECTRIC
DISTRIBUTION SYSTEM AND TRANSMISSION LINES, INCLUDING NECESSARY POLES,
LINES, FIXTURES AND APPURTENANCES, FOR THE FURNISHING OF ELECTRIC ENERGY
TO THE CITY, ITS INHABITANTS, AND OTHERS, AND TO USE THE PUBLIC WAYS AND
PUBLIC GROUNDS OF THE CITY FOR SUCH PURPOSES.
Council Member Wroge asked about the maximum fee that could be charged now.
City Attorney Thomson said the fee could double but that would only happen if the City
Council approves that by a separate ordinance.
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March 13, 2007
Council Member Kilian said the franchise fee could also be changed to zero. The franchise
agreement states the City needs to operate within this range.
Council Member Rosenberg stated that the current City Council could decide on no
franchise fee.
Council Member Wroge said he was hoping to get rid of the franchise fees and put it on
property taxes. He also said he hoped staff would review the e-mail sent by Mr. Wozniczka on
franchise fees. .
Mr. Wozniczka asked if the State limited the use of the franchise fee revenues.
City Attorney Thomson said she deferred to the attorney who worked on the agreement and
that he is not present tonight.
Mr. Wozniczka reviewed the comparison analysis he states in his e-mail regarding putting
the $720,000 in franchise fees on property taxes. He requested that the public be allowed to
provide input when the franchise fee ordinance is reviewed.
Council Member Wroge said putting the fees on property taxes may be a win-win situation.
Council Member Rosenberg stated she supported Council Member Wroge and is tired of
fighting this battle. The same thing may be achieved through property taxes.
Acting City Manager Eastling said staff will review the analysis in Mr. Wozniczka's e-mail
and provide budget and funding options to the City Council.
Mayor Pro Tempore Sandahl stated that property taxes are a regressive tax.
Council Member Kilian stated he is not a supporter of franchise fees but also does not
believe they should be on property taxes either. There needs to be a better equitable way to help
fund infrastructure.
Mayor Pro Tempore Sandahl clarified that no franchise fees were being set tonight.
Motion carried 4-0. This resolution appears as Resolution No. 9907.
Item #6
PUBLIC HEARING REGARDING AMENDMENT TO CONDITIONAL USE PERMIT
TO ALLOW CO-LOCATION OF TELECOMMUNICATION EQUIPMENT ON
EXISTING CWTS TOWER AND INSTALLATION OF ACCESSORY EQUIPMENT
AT GROUND LEVEL AT 6244 CEDAR AVENUE S.R. NO. 77
Council Member Kilian presented Staff Report No. 77.
Paul Harrington, T-mobile representative, said he was available for any questions.
M/Kilian, SlWroge to close the public hearina.
Motion carried 4-0.
Mayor Pro Tempore Sandahl said it is a City Council and Planning Commission policy
decision to combine the use of existing towers, not build additional structures.
Council Member Wroge asked who owned the pole.
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March 13, 2007
Mr. Harrington said Qwest Communications is the owner.
M/Kilian, SlWroge that the followina resolution be adopted and that it be made part of these
minutes:
RESOLUTION NO. 9909
RESOLUTION APPROVING AN
AMENDMENT TO A CONDITIONAL USE PERMIT
TO ALLOW THE CO-LOCATION OF TELECOMMUNICATIONS
EQUIPMENT ON AN EXISTING COMMERCIAL WIRELESS TELECOMMUNICATION SERVICE
(CWTS) TOWER AND THE
INSTALLATION OF ACCESSORY EQUIPMENT AT GROUND LEVEL
AT 6244 CEDAR AVENUE
Motion carried 4-0. This resolution appears as Resolution No. 9909.
Item #7 PUBLIC HEARING AND SECOND READING OF TRANSITORY ORDINANCE
PROVIDING FUNDING FOR CERTAIN CAPITAL IMPROVEMENTS FROM
SPECIAL REVENUE FUND S.R. NO. 78
Mayor Pro Tempore Sandahl presented Staff Report No. 78.
MlWroge, IS/Kilian to close the public hearina.
Motion carried 4-0.
M/Sandahl, SlWroge that this constitutes the second readina of Bill No. 2007-6. Transitorv
Ordinance No. 18.46 providina for the expenditure of funds from the Special Revenue Fund for
certain capital improvements. that it be published in the official newspaper and that it be made part
of these minutes. .
Motion carried 4-0.
Item #8
CONSIDERATION OF RESOLUTION APPROVING PROVISIONS OF 2007-08
LABOR AGREEMENT WITH POLICE OFFICERS AND DETECTIVES LAW
ENFORCEMENT LABOR SERVICES, LOCAL 123 S.R. NO. 79
.
Council Member Rosenberg presented Staff Report No. 79.
M/Rosenberg, SlWroge that the followina resolution be adopted and that it be made part of
these minutes:
RESOLUTION NO. 9908
RESOLUTION APPROVING LABOR AGREEMENT BETWEEN THE
CITY OF RICHFIELD AND
LAW ENFORCEMENT LABOR SERVICES (LELS), LOCAL 123
BARGAINING UNIT FOR THE YEARS 2007-2008
Council Meeting Minutes
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March 13, 2007
Motion carried 4-0. This resolution appears as Resolution No. 9908.
Item #9
CITY MANAGER'S REPORT
None.
litem #10 I CLAIMS AND PAYROLL
M/Rosenberg, SlWroge that the followinQ claims and pavrolls be approved:
U. S. BANK
AlP Checks: 157413 -157755
PAYROLL 37981 - 38311; 41247
TOTAL
Motion carried 4-0.
ADJOURNMENT
$
$
989,798.20
479,347.82
$ 1,469,146.02
The City Council meeting was adjourned by unani
Date Approved: March 27, 2007
C~~~
Recording Secretary
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