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10-09-1989CITY OF RICHFIELD, MINNESOTA REGULAR CITY COUNCIL MEETING October 9, 1989 MEMBERS PRESENT: Steven Quam, Mayor; Edwina Garcia; Ivan Ludeman; Martin Kirsch; and Michael Sandahl. STAFF PRESENT: James Prosser, City Manager; Steven Devich, Administrative Services Director; Thomas P. Ferber, City Clerk; Donald Fondrick, Community Services Director; Byron Wallace, Community Development Director; Jack Erskine, Public Safety Director; William Fillmore, Liquor Operations Director; Melanie Ault, Administrative Aide; and John Dean, City Attorney. The meeting was called to order by Mayor Quam at 7:00 p.m. PRESENTATION OF COLORS AND PLEDGE OF ALLEGIANCE Mayor Quam led the audience in the Pledge of Allegiance. APPROVAL OF MINUTES M/Kirsch, S/Sandahl to agvrove the minutes of the regular City Council Meeting of September 25, 1989: and the minutes of the Citv Council Study Session of October 2, 1989. Motion carried 5-0. Item #1 OPPORTUNITY FOR CITIZENS TO ADDRESS THE CITY COUNCIL ON ANY ITEM NOT LISTED ON THE AGENDA. Dave Vogel, 1614 E. 66th Street, stated that he felt the golf course fees were too high for seniors and juniors. City Manager Prosser indicated that recreation fees are reviewed by the Community Services Commission for recommendation to the City Council. The City Council then considers fee schedules during the Budget Hearing process. Council Meeting Minutes -2- October 9, 1989 Item #2 COUNCIL APPROVAL OF AGENDA M/Garcia, S/Ludeman to approve the agenda. Motion carried 5-0. Item #3 CONSENT CALENDAR A. APPROVED RESOLUTION TO INCREASE RESIDENTIAL REFUSE HAULER LICENSE FEES AND AUTHORIZATION FOR MAYOR AND CITY MANAGER TO ENTER INTO CONTRACTS WITH RESIDENTIAL WASTE/RECYCLABLES COLLECTORS. RESOLUTION NO. 7554 RESOLUTION INCREASING LICENSE FEES FOR RESIDENTIAL WASTE HAULERS This Resolution appears as Resolution No. 7554 in Resolution Book No. 58. B. APPROVED PURCHASE IN EXCESS OF $5,000 TO LEAGUE OF MINNESOTA CITIES INSURANCE TRUST ADMINISTRATOR IN THE AMOUNT OF $6,546.00. C.L. 226 C. APPROVED AUTHORIZATION TO ENTER INTO THIRD PARTY AGREEMENTS TO IMPLEMENT COMMUNITY DEVELOPMENT BLOCK GRANT FOR H.O.M.E. AND GMDCA CHILD DAYCARE PROGRAMS. C.L. 227 D. APPROVED RESOLUTION EXTENDING THE HEARING EXAMINER PROCESS FOR REVIEWING VARIANCES. C.L. 228 RESOLUTION NO. 7555 RESOLUTION EXTENDING-HEARING EXAMINER PROCESS FOR ZONING ORDINANCE VARIANCE REVIEW This Resolution appears as Resolution No. 7555 in Resolution Book No. 58. E. APPROVED AWARD OF CONTRACT TO S.M. HENTGES & SONS, INC. FOR 1989 STORM SEWER IMPROVEMENT PROJECT AT 66TH STREET FOURTH AND FIFTH AVENUES. C.L. 229 F. APPROVED FEE WAIVER OF ITINERANT FOOD LICENSE AND TRANSIENT BUSINESS/MERCHANT PERMIT FEES FOR HOUSING NOW MINNESOTA FALL FESTIVAL ON OCTOBER 14 AND 15, 1989. M/Ludeman, S/Sandahl to approve the consent calendar. Motion carried 5-0. Council Meeting Minutes -3- October 9, 1989 Item #4 CONSIDERATION OF SECOND READING OF AN ORDINANCE TO REZONE PROPERTY LOCATED AT 2232-2236 EAST 66TH STREET TO "C-2", GENERAL COMMERCIAL DISTRICT. C.L. NO. 230 City Manager Prosser reviewed Council Letter No. 230 recommending that the City Council adopt the opinion of the City Attorney that "the Credit Union petition, which does not contain the requisite number of signatures is defective as an owner initiated petition for rezoning." Peter Orlins, Attorney for the applicant Richfield Credit Union, stated disagreement with how the City Attorney interpreted the ordinance as to how the signature percentage is determined on the petition. He indicated that 13 of 22 property owners within 300 feet of the property to be rezoned had signed the petition. He asked that the City Council table consideration of this item until he could respond in more detail to the City Attorney's opinion. City Attorney Dean reviewed his memorandum of September 27, 1989 regarding the Richfield Credit Union petition to rezone the property located at 2232-2236 East 66th Street. He reviewed the provisions contained in subsection 545.11 subdivision 4 of the Code which requires signatures from owners of 50$ of the land within 300 feet of the land proposed to be rezoned. He stated that the petitions submitted by the applicant represents less than the required 50$; consequently, the City Council lacks the authority to give second reading to the proposed ordinance. M/Kirsch, S/Garcia to sustain and adopt the opinion of the City Attorney as contained in his memorandum titled "Richfield Credit Union Petition to Rezone Property" dated September 27, 1989 that the credit Union petition, which does not contain the requisite number of signatures is defective as an owner initiated petition for rezoning. Motion carried 5-0. Council Member Ludeman suggested that the City Attorney review the ordinance to possibly clarify the requirements regarding the petition. Council Member Sandahl indicated that there now may exist an opportunity for honest disagreement about the ordinance. City Attorney Dean indicated that it was his opinion that the ordinance was very clear in it's statement about how the petition is to be determined. He stated that rezoning can be initiated by three methods: the City Council, the Planning Commission, and by the petition process. He indicated that his opinion regarding this petition does not touch on the merits of a rezoning of the land, nor should it be construed to preclude consideration of rezoning following a proper initiation in accordance with the provisions of subsection 545.11 subdivision 4. Council Meeting Minutes -4- October 9, 1989 Council Member Garcia indicated that she had reviewed the New Fordtown surveys that had been submitted so far. She urged whose who had not mailed them back to the City to do so. She stated that this was only the first step in the dialogue with the residents of the New Fordtown area. She asked for the residents help and input in pursuing options and opportunities to address the needs of the area. Council Member Ludeman indicated that the results of the survey would be significant and that the City Council should thoroughly analyze the results at a Study Session. Mayor Quam stated that during his visit to this neighborhood on the weekend that the mayor issue expressed was uncertainty about the future of the area. He stated some people wanted no change, others wanted the whole area bought out and redeveloped. He said that it is evident that they do not want piecemeal development. He stated the need for a comprehensive proposal for New Fordtown. Mayor Quam recessed the meeting at 7:42 p.m. Mayor Quam called the meeting back to order at 7:52 p.m. Item #5 CONSIDERATION OF FIRST READING OF AN AMENDMENT TO THE ORDINANCE WHICH WOULD PERMIT TRANSITIONAL ACTIVITIES IN THE C-3 DISTRICT. C.L. NO. 231 City Manager Prosser reviewed Council Letter No. 231 ' regarding a proposed ordinance amendment to permit transitional activities in the C-3 high density commercial zoning district. M/Sandahl, S/Kirsch that this constitute the First Reading of this ordinance "Transitional Activity Permits - C-3 District"; and that the Public Hearing and Second Reading of the ordinance be scheduled for the November 13, 1989 City Council Meeting. Motion carried 5-0. Item #6 CONSIDERATION OF SECOND READING OF AN ORDINANCE RELATING TO PERIODIC PROPERTY MAINTENANCE INSPECTIONS OF RENTAL PROPERTIES AND POINT OF SALE INSPECTIONS FOR OWNER OCCUPIED PROPERTIES. C.L. NO. 232 City Manager Prosser reviewed Council Letter No. 232 regarding a proposed ordinance which would license rental properties, require periodic inspections of rental housing, and point of sale inspections of owner occupied homes. Council Meeting Minutes -5- October 9, 1989 Pat Rickert, 6710 Garfield Avenue, reviewed the process and -,- activities of the Citizens Committee which had been appointed by the City Council to review the ordinance. He indicated the Committee developed the revised ordinance which is being considered tonight. Sister Charlotte Ann LeClair, 6600 Nicollet Avenue, representative of the League of Women Voters (LMV), stated that after review of this ordinance the LMV unanimously voted in support of rental licensing and point of sale inspections. 1 r~ Doris Lattery, 6601 5th Avenue, indicated she was a member of the Tenants Union and stated concern about the constitutionality of the inspections. She requested that written notice be given to the tenant 7 days prior to the inspection. Debra Colmark, 6512 21st Street, stated concerns about the occupancy and parking situations of rental properties near her property. She stated support for the proposed ordinance. Dick Ziemer, 6229 Xerxes Avenue, expressed opposition to the proposed ordinance because he felt it was discriminatory and placed the burden in the wrong place. He expressed concern about harassment from the inspectors. He stated he would like to see the City tighten current enforcement without putting additional burden on property owners. Fred Habegger, 6740 Blaisdell Avenue, asked that the council table the ordinance and appoint a panel to draw up a questionnaire to go to all residents explaining the ordinance and it's ramifications prior to considering it. Nancy Jore, 6432 19th Avenue, stated that she felt city inspections were unnecessary and that F.H.A., G.I. inspections were already thorough enough. Gary Hartman, 5753 Pillsbury Avenue, stated he was a private home inspector and suggested that the code be specific and enforcement uniform. Fred Moore, 6615 Lakeshore Drive, stated concern about the impact of this ordinance on owner occupied and rental condominium units. Dean Akins, 603 Lake Street, owner of several rental buildings in Richfield, stated that one more inspection was not necessary. He suggested that the City identify the money spent on other inspections, reduce the City budget by this amount and replace with a user fee. Council Meeting Minutes -6- October 9, 1989 Constance Sanders, 2000 East 66th Street, stated concern that this ordinance will result in increased rents for tenants. Ed Gerszewski, 7426 12th Avenue, expressed concerns about the costs of the inspections. He suggested that the cost of the point of sale inspections be increased and the cost for rental inspections be decreased. Don Cederholm, 6214 5th Avenue, spoke in opposition to the proposed ordinance and expressed concern about inspectors. Deborah Olsen, 4220 Valley View Road, owner of 6901 Penn Avenue, spoke in opposition to the proposed ordinance. Lawrence Wozniczka, 6744 Wentworth Avenue, asked what the fees would be and spoke in opposition to the proposed ordinance. Frank Riley, 6915 Portland Avenue, spoke in opposition to the proposed ordinance. Mary Kay Erickson, 13660 Pennock Avenue, owner of 7413 Penn Avenue and 7116 Cedar Avenue, stated that she favored stronger enforcement of the existing ordinance and saw no need for the proposed ordinance. She expressed concerns about the costs to landlords. Ernie Lindstrom, 7406 Fremont Avenue, member of the Citizens for a Quality Community and the ordinance committee, stated that although he had some reservations about the ordinance he would support it because it can be a positive step for a better community. He suggested two amendments to the proposed ordinance: 1) On page 4, subdivision 4, add the words, "the applicant" in the first line; and 2) On page 3, Subdivision 4, add language: "The City Manager shall have 14 days to sustain or overrule the Public Safety Director." M/Ludeman, S/Sandahl to close the public hearing. Motion carried 5-0. City Manager Prosser summarized the proactive philosophy of the proposed ordinance. He indicated quality inspection services would be an important factor in implementation of the ordinance. He stated that this ordinance would .provide for a method to proactively enforce existing code ordinances. 1 0 Council Meeting Minutes -7- October 9, 1989 City Manager Prosser provided the following information in response to questions asked during the public hearing: - Call the City if you are aware of existing code violation that need our action. - An owner occupied duplex would be treated as an owner occupied unit on that side and a rental unit on the rented side. - The ordinance is constitutional. - The purchaser will be permitted to make repairs prior to occupancy. - The Inspection Fee Schedule is as follows: Tune Fee Apartment Buildings $50.00 (the building itself, laundry, storage, furnace rooms, corridors, stairs) Apartment Units $ 7.50 Duplexes $50.00 1-Family $50.00 1-Family (Point of sale) $50.00 - Existing inspections by the City are Fire inspections (this is of interior common areas and not interior of apartments) and HRA inspections (approximately 350 units). The proposed inspections are not duplicative. - Condominium units which are owner occupied are subject to the point of sale inspections; rental units are subject to the rental inspections; and the common areas are the responsibility of the condominium association. - The 1968 Building Code is the current code being enforced. - Rental rooms are subject to the rental inspection. - Family is defined in the definition portion of the ordinance. - The Housing and Redevelopment Authority initiated the reconsideration of the proposed ordinance. Council Meeting Minutes -8- October 9, 1989 The City Council discussed .and the City Attorney drafted the following amendments to the proposed ordinance: 1) Addition on page 4, Subdivision 8 after the licensee: or the applicant if the aRplication is pending. 2) Addition on page 3, Subdivision 3, number (4): The City Manager shall have ten (10) days from receipt of the applicant's notice of appeal to sustain or rescind the action of the director of public safety. 3) Addition on page 4, Subdivision 8: following reasonable advance notice. Council Member Ludeman commended the committee for its work in revising the ordinance. He reviewed his concerns about the ordinance including the maintenance of the tenant list. He stated his support for adoption of the ordinance. Council Member Garcia stated that it would be detrimental in the long run not to act now to address the problems. Council Member Kirsch stated that in his judgement this ordinance may create another layer of bureaucracy and added burden for landlords. Therefore, he stated he does not support adoption of the ordinance. .Council Member Sandahl stated that although not perfect, this ordinance is the best method to address the problems, now and in the future. Mayor Quam noted the broad public input and work of many in the review of this proposed ordinance. He stated that it will have a positive impact on the community. M/Ludeman, S/Kirsch that this constitute Second Reading of Bill No. 1989-9, Amendment to Chapter IV, Part III, Subsection 405.25. INSPECTION AND LICENSING OF APARTMENT HOUSES AND RENTAL HOMES. and 405.26 CERTIFICATE OF HOUSING MAINTENANCE COMPLIANCE FOR SINGLE AND TWO-FAMILY HOMES, of the Ordinance Code of the City of Richfield; with the amendments as proposed and stated by the City Attorney; that it be published in the official newspaper and that it be made part of these minutes; And that staff is _not_authorized_to hire additional staff in the Fire Division for this ordinance until the City Council discusses at Study Session the issue of the conduct of inspections and how those might be incorporated into our present staff . Discussion was held regarding the wording and impact of Council Member Ludeman's motion on the Fire Division staffing. Motion carried 4-1. (Kirsch opposed) Council Meeting Minutes -9- October 9, 1989 Item #7 None n i LEGISLATIVE REPORT Council Member Sandahl reviewed the discussion at a recent MSAC hearing regarding the Runway Use System (RUS). City Manager Prosser indicated that the office of Senator Boschwitz had responded to the City's letter regarding concern about the runway 4-22 E.I.S. Item #8 COUNCIL DISCUSSION ITEMS Item #9 CLAIMS AND PAYROLLS M/Sandahl, S/Kirsch that the following claims and payrolls be approved RICHFIELD STATE BANK Checks 11976-12036; 106218-106501 $1,445,650.86 FIRST MINNESOTA Check 1096 $ 15,000.00 FIRST WESTERN BANK Checks 5178-5196 $ 553,361.65 Checks 30195-30225; 30305-30668 Payroll $ 323,668.94 30669-30672; 30676-30693 Fire Retro $ 26,135.92 Motion carried 5-0. ADJOURNMENT The meeting was adjourned by unanimous Date Approved: 10/23/89 ~L O' ~~~'I'~~i~yLG64 Thomas P. Ferber City Clerk at/~O~t5 p . m . jv ~ ' -^'P^~. Q,~ t[,{ , Mayor ~~ 1 ~ °-' D. Prosser Manager