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02-10-1986CITY OF RICHFIELD, MINNESOTA REGULAR COUNCIL MEETING FEBRUARY 10, 1986 MEMBERS PRESENT: John Hamilton, Mayor; Edwina Garcia; Martin Kirsch; Ivan Ludeman; and, Michael Sandahl. STAFF PRESENT: John Cartwright, City Manager; Clayton LeFevere, City Attorney; Steven Devich, Administrative Services Director; Thomas Ferber, City Clerk; Donald Fondrick, Community Services Director; and, Dennis Kraft, Community Development Direc-tor. The meeting was called to order by Mayor Hamilton at 7:00 p.m. PLEDGE OF ALLEGIANCE APPROVAL OF MINUTES Council Member Kirsch stated that Item #1 of the January-2, 1986, minutes should be corrected by deleting Council Member Sandahl~s name from those who took the oath of office. M/Sandahl, S/Kirsch to a rove the minutes of the re ular Council Meetin of Januar 2 198 and the re ular Council Meeting of January 27, 198 as amended. Motion carried 5-0. Li Item #1 OPPORTUNITY FOR CITIZENS TO ADDRESS THE CITY COUNCIL ON ANY ITEM NOT LISTED ON THE COUNCIL AGENDA. Lawrence Woznicska, 6744 Wentworth Avenue, asked what was the status of the I.L.N. final report which is being prepared by the city's consultant, BRW and whether it would be in agreement with the city's comprehensive plan. City Manager Cartwright stated that the final report would be completed soon and be available to the public. The City Manager also stated that the BRW report does agree with the comprehensive plan except for the designation of 77th Street as a minor arterial street. Mr. Woznicska suggested that public hearings be held to revise the comprehensive plan to reflect the I.L.N. report. Council Meeting Minutes -2- February 10, 1986 Item #2 PROCL MATION DESIGNATING FEBRUARY 10-17, 198 , AS "STUDENTS AGAINST DRUNK DRIVING" (SADD) WEEK. C.L. 61. Mayor Hamilton presented a proclamation to Richfield High School student Steve Wilmes designating February 10-17, 1886, as "Students Against Drunk Drivers" (SADD) Week. Item #3 APPROVAL OF AGENDA M/Ludeman, S/Sandahl to approve the agenda. Motion carried 5-0. Item #4 CONSENT CALENDAR A. PURCHASES IN EXCESS OF $5,000 (LABORATORY ITEMS FOR WATER PLANT; TURF TRUCKSTER; TRASH PICK-UP CONTRACT; LEGION LAKE SOIL TESTING AND ENGINEERING SERVICES; AND, AIR WARNING SIREN CONVERSION) C.L. 62 .'"'" B. AUTHORIZATION TO DEMOLISH THE CITY OWNED SERVICE STATION AT 1825 EAST 66TH STREET. C.L. 63. C. SIGN PERMIT APPLICATIONS: ILLUMINATED WALL SIGN AT RICHFIELD/BLOOMINGTON HONDA; AND, TEMPORARY OVERSIZE SIGN AT THE COMMUNITY CENTER. C.L. 64. (FOUR ILLUMINATED WALL SIGNS AT FIRST MINNESOTA WERE REMOVED FROM CONSENT CALENDAR AND PLACED ON AGENDA AS ITEM #15A.) D. REQUEST FOR NON-INTOXICATING BEER LICENSE FOR ONE DAY, FEBRUARY 23, 1986, FOR ASSUMPTION CHURCH SPAGHETTI DINNER. C.L. 65. E. ESTIMATE N0. 1 - VEIT & CO. CP 802 LEGION LAKE MUCK EXCAVATION & APPURTENANT WORK - $128,210.15 F. RETAIL OFF-SALE BEER LICENSE (RENEWALS): KENNY'S MARKETS, 1430 E. TH STREET, 7138 CHICAGO AVENUE, AND 6708 PENN AVENUE; SHORTSTOP SUPERETTE, 7034 CEDAR AVENUE; TOM THUMB, 7609 LYNDALE AVENUE; AND, COUNTRY CLUB MARKET, 6528 PENN AVENUE. Council Member Ludeman requested that Item #4C, Sign Permit Applications, that provides for sign approvals for First Minnesota be removed from the consent calendar and placed on the regular agenda. The other two sign permit applications were retained on the consent agenda. Council Meeting Minutes -3- February 10, 1986 Mayor Hamilton stated that Sign Permit Applications for First Minnesota would be placed on the agenda as Item #15A. M/Ludeman, S/Kirsch to approve the consent calendar as amended. Motion carried 5-0. Item #5 PUBLIC HEARING AND SECOND READING ON THE REZONING OF HAMPTON INN PLANNED UNIT DEVELOPMENT PROJECT FROM C-2 GENERAL COMMERCIAL TO PC-2 PLANNED GENERAL COMMERCIAL (TO BE CONTINUED TO 2/24/86) C.L. 66. City Manager Cartwright reviewed Council Letter No. 66 regarding a public hearing and second reading of an ordinance for the rezoning of the Hampton Inn Motel site located in the northeast quadrant of Lyndale Avenue and I-494 from C-2 general commercial to PC-2 planned general commercial. The City Manager recommended that the public hearing be rescheduled to February 24, 1986, so that the required legal notice can be published. Council Member Ludeman asked if a motion was necessary. City Attorney LeFevere stated that a motion was not required. Item #6 PUBLI HEAR NG FOR THE 198 ALLEY PAVING PROJECT CP 822. C.L. 67. City Manager Cartwright reviewed Council Letter No. 67 regarding a public hearing for the 1986 alley paving project, City Project 822, and recommended adoption of a resolution ordering the project and the preparation of plans and specifications. Council .Member Ludeman requested that city staff coordinate the construction of the alley between Second and Third Avenues, 66th to 67th Streets,-with the storm sewer construction on Third Avenue so that both do not occur at the same time. M/Sandahl, S/Ludeman to close the public hearing. Motion carried 5-0. 1 Council Meeting Minutes -4- February 10, 1986 M/Sandahl, S/Garcia that the following resolution be adopted; that it be spread in the resolution book and that it be made part of these minutes: RESOLUTION N0. 7142 RESOLUTION ORDERING THE PAVING OF ALLEYS AND PREPARATION OF PLANS FOR CITY PROJECT N0. 822 Motion carried 5-0. This resolution appears as Resolution No. 7142 in Resolution Book No. 54. Item #7 HEARING ON YEAR XII COMMUNITY DEVELOPMENT BLOCK GRANT PROGRAM AND CITY ADMINISTRATION RECOMMENDATIONS FOR THE ALLOCATION OF CDBG ENTITLEMENT FUNDS. C.L. 68. Mayor Hamilton temporarily left the meeting at this time (7:15 p.m.). The meeting was then chaired by Councilmember Ludeman, Mayor Pro Tem. City Manager Cartwright reviewed Council Letter No. 68 regarding the city administration recommendations for the^ Larry Ophold, Director for South Hennepin Human Services allocation of CDBG entitlement funds. Council, requested the council provide some level of funding for the H.O.M.E. program and reviewed the services provided by H.O.M.E. to Richfield residents. Don Hoagie, Manager of the H.O.M.E. program, stated that 116 Richfield households had been. served by H.O.M.E. in 1985 and urged the council to provide funding to the program. Jim Nicoli, Greater Minneapolis Day Care Association, requested the council to continue funding for the sliding fee day care program and reviewed the benefits of the program. Council Member Sandahl stated he did not agree with-the staff Funding recommendation, which did not provide allocations for the H.O.M.E. program and the Greater Minneapolis Day Care Association. It was the consensus of the council to allocate a portion the CDBG allotment to H.O.M.E. and the Minneapolis Day Care Association sliding fee program. M/Sandahl, S/Garcia to close the public hearing. Motion carried 4-0. (Hamilton absent) Council Meeting Minutes -5- February 10, 1986 M/Sandahl, S/Garcia to authorize the allocation of $138,582 in CDBG Year XII funds as follows: Housing Rehabilitation $44,882 New Home Acquisition $70 000 Energy Grants 5,000 H.O.M.E. $ 5,300 Minneapolis Day Care Association 13,400 Motion carried 4-0. (Hamilton absent) Item #8 CONSIDERATION OF STAFF RECOMMENDATION TO APPLY FOR $52,000 OF UNEXPENDED CDBG DISCRETIONARY FUNDS TO BE USED FOR HOUSING PROGRAMS. C.L. 69. City Manager Cartwright reviewed Council Letter No. 69 regarding a staff recommendation to apply for $52,000 of unexpended C.D.B.G. Discretionary Funds to be used for housing rehabilitation activities. M/Sandahl, S/Kirsch to close the public hearing. • Motion carried 4-0. (Hamilton absent) M/Sandahl, S/Garcia to authorize cit staff to make application to Henne in County for 52,000 of CDBG Discretiona Funds. Motion carried 4-0. (Hamilton absent) Item #9 TRANSITORY ORDINANCE ALLOCATING FUNDS FROM THE SPECIAL REVENUE FUND FOR CERTAIN CAPITAL IMPROVEMENTS. FIRST READING. C.L. 70. City Manager Cartwright reviewed Council Letter No. 70 regarding first reading of a transitory ordinance allocating funds from the special revenue fund for certain capital improvements. Mayor Pro Tem Ludeman explained to the audience that the special revenue fund is derived from liquor store profits and used for various capital improvements, thus most major capital improvements are not financed by property taxes. D Council Meeting Minutes -6- February 10, 1986 M/Kirsch, S/Sandahl that this constitute First Reading of this ordinance amendment and that the Public Hearing and Second Reading of the ordinance amendment be scheduled for February 24, 1986. Motion carried 4-0. (Hamilton absent) Item #10 ORDINANCE AMENDMENT PROHIBITING PLOWING OR SHOVELING SNOW FROM PRIVATE PROPERTY ONTO ANY PUBLIC STREET, SIDEWALK, OR PARKING LOT. FIRST READING. C.L.. 71. City Manager Cartwright reviewed Council Letter No. 10 regarding first reading of an ordinance prohibiting plowing or shoveling snow from private property onto any public street, sidewalk, or parking lot. Council Member Sandahl expressed concern about enforcement when snow is temporarily or inadvertently shoveled onto a sidewalk or street. Community Services Director Fondrick stated'•that the intent of the ordinance was to address the blatant abusers who. ._ consistently have refused to cooperate. Mayor Pro Tem Ludeman stated that several commercial areas in the city had consistently placed 6 feet of snow on the sidewalks and that he had suggested this ordinance to correct the problem. He suggested that alleys be included in the wording of the ordinance. City Attorney LeFevere stated that the definition of street is broadly interpreted and includes alleys and therefore it is not necessary to include the term alleys in the ordinance. Council Member Garcia stated she supported this ordinance because it involved the issue of safety for pedestrians to use the sidewalks especially on arterial streets. Mayor Pro Tem Ludeman stated that including alleys in the ordinance would make it more explicit and clear for understanding by the public. M/Kirsch, S/Sandahl that this constitute First Reading of this ordinance including the addition of alleys in the description of public places and that the Public Hearing and Second Reading of the ordinance amendment be scheduled for February 24, 198 . Motion carried 4-0. (Hamilton absent) Council Meeting Minutes -7- February 10, 1986 Mayor Pro Tem Ludeman stated that Item #12 would be taken out of order at this time because Mayor Hamilton would be returning shortly and wished to be present for consideration of Item #11 . Item #12 RESOLUTION PROVIDING FOR THE ISSUANCE AND SALE OF $2,525,000 GENERAL OBLIGATION REVENUE BONDS 1986 FOR STORM SEWER IMPROVEMENTS. C.L. 72. City Manager Cartwright reviewed Council Letter No. 72 recommending approval of a resolution providing for the issuance and sale of $2,525,000 General Obligation Storm Sewer Revenue Bonds. Mayor Hamilton returned to the meeting at this time (8:04 p.m.). Wayne Burggraaff, Evenson-Dodge, Inc., reviewed the pre-sale analysis of the bond issue and answered questions from the council regarding the affect of pending legislation on the issue. - ~ •- Lawrence Woznicska, 6744 We ntworth Ave., questioned the amount of capitalized interest and the assumption of a 6~ yearly increase in storm sewer utility charges for retirement of the bond issue. Wayne Burggraaff explained the capitalized interest costs related to the bonds. City Manager Cartwright stated that the increase in storm sewer utility rates are anticipated to cover the bond debt service. M/Sandahl, S/Kirsch that the following resolution be adopted; that it be spread in the resolution book and that it be made part of these minutes: RESOLUTION N0. 7144 RESOLUTION PROVIDING FOR THE ISSUANCE AND SALE OF $2,525,000 GENERAL OBLIGATION STORM SEWER REVENUE BONDS, SERIES 1986A Motion carried 5-0. This resolution appears as Resolution No. 7144 in Resolution Book No. 54. 1 Council Meeting Minutes -8- February 10, 1986 Item ~~11 ALTERNATE RESOLUTIONS CONCERNING THE REFERENDUM PETITIONS PROPOSING THE REPEAL OF AN ORDINANCE TO REZONE THE SITE OF THE FORMER CLOVERLEAF MOTEL AT THE NORTHEAST QUADRANT OF 135W AND I~94 INTERCHANGE FROM C-2 GENERAL COMMERCIAL TO PC-2 PLANNED GENERAL COMMERCIAL FOR THE PROPOSED CDR DEVELOPMENT, BILL 1985-27. C.L. 73. -City Manger Cartwright reviewed Council Letter No. 73 regarding alternative resolutions concerning the referendum petitions proposing repeal of an ordinance to rezone the site of the former Cloverleaf Motel at the northeast quadrant of 135W and I494 for the proposed CDR development. City Attorney LeFevere reviewed the contents of-the alternative resolutions and his legal memorandum concerning the referendum petition. Council Member Ludeman asked which action would give the clearest signal that the proposed CDR development would be returned to the starting point. City Attorney LeFevere stated that both actions would do so. Mayor Hamilton spoke in support of repealing the ordinance to allow an opportunity to do a better job of communicating with the neighborhood. Council Member Ludeman asked what assurances there were that CDR would work with the residents in an effort to develop a project in a way which will receive general acceptance within the community. Peter Beck, attorney for Larkin, Hoffman, Daly, & Lindgren Ltd., representing CDR, stated that written assurances were given by CDR in a letter submitted to the council by his firm. (City Clerk File C-275) Mayor Hamilton read the letter submitted to the city council by Hoffman of Larkin, Hoffman, Daly, & Lindgren Ltd. on behalf of CDR. (City Clerk File C-275) Council Member Garcia stated that she supports repeal of the ordinance and noted CDR's pledge to commit to a neighborhood involvement process. 1 1 i Council Meeting Minutes -9- February 10, 1986 Ernest Lindstrom, 7406 Fremont Avenue, stated it was a misnomer that people are in opposition to the CDR project. Rather its the land use intensity that is the issue and a reconfiguration of the same size project is not what people want. Mr. Lindstrom stated that the city has no legal right to put conditions on the repeal of the ordinance, as CDR has requested. CDR's letter asks that a repeal not prejudice it's right to pursue its rezoning request at a later time. Mr. Lindstrom stated the cost of a referendum to allow people to express their opinion was small compared to the money the city spends on capital improvements and attorney fees. Mr. Lindstrom said repeal of the ordinance would be a giant stride to allow the community to work together for a better project. Council Member Ludeman stated that the public does not support the huge costs of public improvements in the ILN and that he supports repeal of the ordinance. He also stated that the council must recognize the neighborhood's objections to the land density. Council Member Sandahl stated -that he supports repeal of the ordinance and a sealed down project which still addresses the mitigation of traffic problems in the area. ,. Council Member Kirsch stated he was not sure that repealing the ordinance would properly address the petitioners request.. Mayor Hamilton stated that the city should notify all the petition signers by letter of the action the city council takes on this issue. M/Sandahl, S/Ludeman that city staff is directed to notif by letter all signers of the referendum petition of the city council action in response to the petition and that t_he following resolution be adopted; that it be spread in the resolution book and that it be made part of these minutes: RESOLUTION N0. 7143. A RESOLUTION RESCINDING AND REPEALING "AMENDMENT TO APPENDIX C OF THE ORDINANCE CODE OF THE CITY OF RICHFIELD" ADOPTED OCTOBER 28, 1985. Motion carried 5-0. This resolution appears as Resolution No. 71 3 in Resolution Book No. 54. 1 Council Meeting Minutes -10- February 10, 1986 Item ~~13 CONSIDERATION OF A REQUEST FROM REPUBLIC AIRLINES CREDIT UNION TO POSTPONE DEVELOPMENT FOR THE CEDAR LIQUOR STORE SITE UNTIL APRIL 1, 1986. C.L. 76. City Manager Cartwright reviewed Council Letter No. 76 regarding a request from Republic Airlines Credit Union to postpone development-for the Cedar Avenue liquor store site until April 1, 1986. Council Members questioned Bob Hall of the Republic Airlines Credit Union about whether April 1st was a realistic date considering the length of time it will take to complete the Republic-Northwest merger. Mr. Hall stated that he did not anticipate requesting an extension of time beyond April 1st and felt that by then more information regarding the Credit Union's plans will be available. Community Development Director Kraft reviewed the timelines anticipated for this project. ._ ,_ Bill Henning, developer for the site, stated his company wished to proceed as soon as possible with the proposed project. M/Sandahl, S/Gareia that the city retain complete control over the liquor store site and make no formal committment for an extension. Motion carried 5-0. Item ~~1~ CONSIDERATION OF CITY COUNCIL APPOINTMENTS TO THE VARIOUS ADVISORY BOARDS AND COMMISSIONS. C.L. 74. City Manager Cartwright reviewed Council Letter No. 7~ regarding appointments by the city council to the various advisory boards and commissions. Council Member Sandahl read a list of the proposed appointments. M/Ludeman, S/Gareia that the following appointments to city advisory boards and commissions be approved: 1 1 ADVISORY BOARD OF HEALTH 1. Joan Pelfrey January 31, 1988 2. Jeannette Loftstrom January 31, 1988 Council Meeting Minutes -11- February 10, 1986 3. Jane Myre January 31, 1988 4. Margaret DaWald January 31, 1988 5. Jacquelyn Lockman January 31, 1988 b. Susan Rosenberg January 31, 1988 7. Robert Servold January 31, 1987 CIVIL SERVICE COMMISSION 1. Dominic Zappia January 31, 1989 COMMUNITY SERVICES COMMISSION 1. Don Anderson January 31, 1989 2. Dave Dunham January 31, 1989 3. Daniel Thurber January 31, 1989 4. Thomas Kegley January 31, 1988y ENERGY AWARENESS COMMISSION 1. Jan Bray January 31, 1989 2. Donald Buek January 31, .1989 3. John Praetorius January 31, 1989 ~. Sid Sanford January 31, 1988 HUMAN RIGHTS COMMISSION 1. Bill Svejda January 31, 1989 2. Carole Rud January 31, 1989 3. Darold Luze January 31, 1989 ~. Sharon Traxler January 31, 1988 HUMAN SERVICES COMMISSION 1. Marla Carlson January 31, 1989 2. Mark Erspamer January 31, 1989 Council Meeting Minutes -12- February 10, 1985 PLANNING COMMISSION 1. Barbara Kritzman January 31, 1989 2. Charles Kauth January 31, 1989 3. Robert Jensen January 31, 1989 4. Gordon Herrboldt January 31, 1988 5: Timothy Erlander January 31, 1988 SISTER CITY INTERNATIONAL 1. Abdelhak Barbouehe January 31, 1989 2. Susan Nagel January 31, 1989 3. Doris Rubenstein January 31, 1989 Motion carried 5-0. Item ~~15 CONSIDERATION OF CITY ADMINISTRATION'S PROGRESS REPORT ON THE ESTABLISHMENT OF A SELF-INSURANCE TORT LIABILITY ACCOUNT FOR GENERAL LIABILITY AND PROPERTY INSURANCE CLAIMS. C.L. 75. City Manager Cartwright reviewed Council Letter No. 75 regarding the city administration's progress in establishing a self insurance Tort Liability Account for general liability and property insurance claims. Mr. Cartwright also recommended that the city engage Deloitte, Haskins, and Sells to do an actuarial analysis of the proposed Tort Liability Account to recommend both initial and ongoing fund balance goals for a fee of $10-,800. Council Member Sandahl stated that during the interviews for ehosing the city's auditor, Deloitte Haskins and Sells had proven expertise in this area. Council Member Ludeman expressed concern at the high cost of the analysis and requested the firm also analyze self insurance of real estate property as part of the same fee. City Manager Cartwright stated he would request the firm to do this and would present a complete proposal for self insurance accounts at the second council meeting in March. Council Meeting Minutes -13- .February 10, 1986 Administrative Services Director Devieh stated that the cost of the anaylsis was due to the necessity for a comprehensive analysis and the use of actuarial personnel from the New York office of D.H.& S. Council Member Ludeman stated that city staff should ask D. H. & S. to include a study of self-insuring property exposures in addition to work they will be doing for the tort liability out and that the extra service be included in the $10,000. M/Sandahl, S/Ludeman to authorize the city manager to engage Deloitte Haskins and Sells to do an actuarial anal sis of the proposed Tort Liability Account for a fee of 10, 00. Motion carried 5-0. Item ~~15A SIGN PERMIT APPLICATION: FOUR ILLUMINATED WALL SIGNS AT FIRST MINNESOTA. C.L. 64. Discussion was held regarding whether the proposed signs•on the First Minnesota building met the LHN and PUD guidelines. Mayor Hamilton suggested the First Minnesota application be tabled until more information is available. -M/Sandahl, S/Gareia to defer action on the sign permit application of First Minnesota, 98 West 66th Street. Motion carried 5-0. Item ~~16 COUNCIL DISCUSSION ITEMS None Item ~~17 CLAIMS AND PAYROLLS M/Sandahl, S/Ludeman that the following claims and payrolls be approved: RICHFIELD BANK AND TRUST Checks 6746/6809, 81191/81420 General $ 972,630.76 Council Meeting Minutes -14- February 10, 1986 FIRST WESTERN BANK Checks 2804/2827 Checks 8071/8435 General $2,533,479.31 Payroll $ 259,871.60 Motion carried 5-0. ADJOURNMENT M/Sandahl, S/Ludeman that the meeting adjourn. Motion carried 5-0. The meeting-was adjourned 9 Date Approved: 2/24/86 Thomas P. Ferber City Clerk 1 1