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11-25-96 Regular CITY COUNCIL MEETING MINUTES Richfield, Minnesota Regular Meeting November 25, 1996 CALL TO ORDER The meeting was called to order by Mayor Kirsch at 7:00 p.m. PRESENTATION OF COLORS AND PLEDGE OF ALLEGIANCE Mayor Kirsch led the audience in the Pledge of Allegiance. ROLL CALL Members Present:Martin Kirsch, Mayor; Michael Sandahl; Susan Rosenberg; Russ Susag; and Don Priebe. Staff Present :James Prosser, City Manager; Steven Devich, Administrative Services Director; Bruce Palmborg, Community Development Director; Mike Eastling, City Engineer; Vaughn Lambert, Acting Public Safety Director; Thomas Ferber, City Clerk; William Fillmore, Liquor Operations Director; and Corrine Thomson, Assistant City Attorney. APPROVAL OF MINUTES M/Sandahl, S/Susag to approve the minutes of the Special City Council Meeting of November 7, 1996; the minutes of the Regular City Council Meeting of November 12, 1996; and the minutes of the Special City Council Meeting of November 13, 1996. Council Meeting Minutes-2-November 25, 1996 Motion carried 5-0. Item #1OPPORTUNITY FOR PERSONS TO ADDRESS THE CITY COUNCIL ON ANY ITEM NOT LISTED ON THE AGENDA. Mike Gallagher, 11009 Ewing Avenue, submitted a letter to the City Council from members of the New Ford Town/Rich Acres Neighborhood Advisory Group acknowledging and thanking the City Council and City staff for working together with citizens to achieve the acquisition of these neighborhoods for noise abatement. Mayor Kirsch announced that there will be a Special City Council Executive Session on December 3, 1996 at 5:30 p.m. in the Lobby Conference Room #1 at City Hall. He stated the meeting will be closed to the public. He stated the purpose of the meeting is to discuss the City Manager’s evaluation and matters of compensation. Mayor Kirsch stated that a summary of the December 3 meeting will be discussed in public at the December 9 regularly scheduled City Council meeting. Item #2 COUNCIL APPROVAL OF AGENDA M/Sandahl, S/Susag to approve the agenda. Motion carried 5-0. Item #3 CONSENT CALENDAR A.APPROVED SETTING PUBLIC HEARING DATE OF DECEMBER 9, 1996 FOR RENEWAL OF PAWNBROKER AND SECONDHAND GOODS LICENSES FOR THE GUN SHOP AND PAWNBROKER AND PLAZA PAWN C.L. 337 B.APPROVED SETTING PUBLIC HEARING DATE OF DECEMBER 9, 1996 FOR RENEWAL OF ON-SALE LIQUOR LICENSES FOR CHI CHI’S MEXICAN RESTAURANTE, THE GROUND ROUND, KHAN’S MONGOLIAN BARBECUE, AMERICAN LEGION POST NO. 435, VFW POST NO. 5555, DON PABLO’S AND CHAMPPS OF RICHFIELD C.L. 338 C.APPROVED SETTING PUBLIC HEARING DATE OF DECEMBER 9, 1996 FOR RENEWAL OF WINE LICENSES FOR MILLER’S FIRESIDE PIZZA, SILVER SPOON RESTAURANT, RED PEPPER CHINESE RESTAURANT AND THE FRENCHMAN’S C.L. 339 Council Meeting Minutes-3-November 25, 1996 D.APPROVED SETTING PUBLIC HEARING DATE OF DECEMBER 9, 1996 FOR NEW ON-SALE WINE AND NON-INTOXICATING MALT LIQUOR LICENSE FOR THOMPSONS FIRESIDE PIZZA, 6736 PENN AVENUE C.L. 340 E.APPROVED SETTING PUBLIC HEARING DATE OF DECEMBER 9, 1996 FOR NEW ON-SALE NON-INTOXICATING MALT LIQUOR LICENSE FOR LAN’S VIETNAMESE RESTAURANT, 7545 LYNDALE AVENUE C.L. 341 F.APPROVED AWARD OF TWO-YEAR CONTRACT TO HAWKINS CHEMICAL INC. (FEED-RITE CONTROLS, INC.) FOR APPROXIMATELY 400 TONS OF SODA ASH FOR WATER TREATMENT FOR TOTAL AMOUNT OF $71,476 C.L. 342 G.APPROVED AWARD OF TWO-YEAR CONTRACT TO CUTLER-MAGNER COMPANY FOR 2,800 TONS OF QUICK LIME FOR WATER TREATMENT FOR TOTAL AMOUNT OF $177,604 C.L. 343 M/Sandahl, S/Susag to approve the consent calendar. Motion carried 5-0. Item #4PUBLIC HEARING AND CONSIDERATION OF APPEAL TO BOARD OF ADJUSTMENT AND APPEALS REGARDING VARIANCE DENIED BY HEARING EXAMINER FOR CONSTRUCTION OF DECK AT 7015 PENN C.L. NO. 344 City Manager Prosser reviewed Council Letter No. 344 regarding the appeal by Larry Stein, 7015 Penn Avenue, of the decision of the Hearing Examiner to deny his request for a variance to allow the construction of a 9.5 by 18 foot deck 16 feet from the rear property line where a setback of 25 feet is required by ordinance. Larry Stein, 7015 Penn Avenue, described the proposed deck as a lower addition to an existing deck. He stated it would provide better access to his yard and a hot tub. Mr. Stein responded to questions regarding other possible locations for the deck, access to his hot tub, and concerns of his neighbor to the east at 7014 Oliver Avenue regarding privacy. He indicated that the adjacent neighbors had signed in support of the variance request. Anne Johnston, 7011 Penn Avenue, stated that the Kellets who live at 7014 Oliver Avenue, were unable to attend this meeting because of an accident. She stated that the Kellets have a swimming pool in their back yard and lost their privacy when the Stein’s house was built. M/Sandahl, S/Priebe to close the public hearing. Motion carried 5-0. Council Meeting Minutes-4-November 25, 1996 Council Member Priebe stated that homeowners should be given broad latitude on how they use their property as long as it does not impinge on the rights of the neighbors. He stated he would support the Stein’s variance request and that the deck addition would be less visible to neighbors than the existing deck. Council Member Rosenberg stated she would support the variance request and that the drawing showed it would be an attractive addition. M/Priebe, S/Rosenberg to overturn the Hearing Examiners denial of the variance request of Larry Stein, 7015 Penn Avenue, to approve the granting of this variance to allow the construction of a deck 16 feet from the rear property line where a setback of 25 feet is required by ordinance. Discussion of the motion followed. Council Member Susag asked questions of the City Attorney regarding issues related to consequences of granting the variance, precedent, findings of fact, and undue hardship. City Attorney Thomson stated that City Council granting of the variance would legalize construction of the deck structure. She stated that if the City Council routinely and consistently granted such variances, practically speaking a precedent may be set but legally the ordinance would still be enforceable. She discussed and answered questions related to the City Council’s latitude in the determination of granting of variances and the findings regarding variances. Council Member Susag stated that he would support the motion granting this variance with the addition of a stipulation that a landscape plan for providing screening of the deck from the property to the rear be submitted to and approved by the Community Development Director. City Manager Prosser suggested that such screening could consist of trees. Council Member Susag asked if Council Members Priebe and Rosenberg would accept his proposed stipulation as an amendment to their stated motion. Council Members Priebe and Rosenberg accepted the addition of the stipulation as stated by Council Member Susag to their motion. City Manager Prosser stated that City staff would meet with the two property owners to find an acceptable landscape plan. Barb Stein, 7015 Penn Avenue, stated that the Kellets have removed trees on their property to have more sun light in the pool area and that there is limited space for placement of additional trees. Council Member Sandahl suggested that the two parties should meet with the Community Development Director to determine if further landscaping is necessary. He Council Meeting Minutes-5-November 25, 1996 stated that since the Kellets are unable to be present tonight, this will at least assure their interests are protected. The motion restated with the stipulation was as follows: M/Priebe, S/Rosenberg to overturn the Hearing Examiners denial of the variance request of Larry Stein, 7015 Penn Avenue, and to approve the granting of a variance to allow the construction of a deck 16 feet from the rear property line where a setback of 25 feet is required by ordinance with the stipulation that a landscape plan for providing screening of the deck from the property to the rear be submitted to and approved by the Community Development Director and to approve the granting of this variance. Motion carried 5-0. Item #5PUBLIC HEARING AND CONSIDERATION OF RESOLUTION REGARDING APPROVAL OF MODIFICATION TO RICHFIELD REDISCOVERED PROJECT AREA REDEVELOPMENT PLAN AND APPROVAL OF MODIFICATIONS TO LHN AND ILN TAX INCREMENT FINANCING PLANS. C.L. NO. 345 City Manager Prosser reviewed Council Letter No. 345 regarding consideration of a modification to the Richfield Rediscovered Project Area Redevelopment Plan and Modifications to the LHN and ILN Tax Increment Financing (TIF) Plans. Lawrence Wozniczka, 6744 Wentworth Avenue, asked if the proceeds of the ILN and LHN TIF Districts were to be used for the new bonds and whether the proposed modifications would extend the duration of these two districts. City Manager Prosser responded affirmatively regarding the proceeds for the bonds. He stated that the duration of the ILN and LHN Districts would remain the same. Council Member Priebe stated that the duration of the districts is extended in the sense that they will not be closed out early. He stated the proposed action would continue the districts to their statutory limit in order to fund bonds for other projects in the City. Mr. Wozniczka expressed concern about the impact on property taxes of not paying the bonds off early. He stated opposition to the action. He indicated the City portion of his property taxes had increased this year. Mark Ruff, Financial Advisor from Ehlers/Publicorp, explained and answered questions regarding the tax implications of the proposed action and of paying off the TIF bonds early on his property taxes. He discussed state equalization aid related to capital referendums stating he would provide specific information to the City Council regarding the Richfield School District. He explained and answered questions on State formulas Council Meeting Minutes-6-November 25, 1996 and laws which would mean that the City would only realize 16 cents on the dollar if the bonds were paid off early. M/Susag, S/Sandahl to close the public hearing. Motion carried 5-0. M/Susag, S/Sandahl that the following resolution be adopted, that it be spread in the resolution book and that it be made part of these minutes: RESOLUTION NO. 8405 RESOLUTION APPROVING MODIFICATION TO THE REDEVELOPMENT PLAN FOR THE RICHFIELD REDEVELOPMENT PROJECT AREA AND APPROVING THE MODIFICATIONS TO THE TAX INCREMENT FINANCING PLANS FOR THE ILN AND LHN TAX INCREMENT FINANCING DISTRICTS, LOCATED WITHIN THE RICHFIELD REDEVELOPMENT PROJECT AREA. Motion carried 4-1. (Priebe opposed) This resolution appears as Resolution No. 8405 in Resolution Book No. 66. Item #6PUBLIC HEARING AND SECOND READING OF ORDINANCE REGULATING GRANTING OF FRANCHISES TO OPERATE AND MAINTAIN CABLE SYSTEM IN RICHFIELD; AND CONSIDERATION OF RESOLUTION APPROVING SUMMARY PUBLICATION. C.L. NO. 346 City Manager Prosser reviewed Council Letter No. 346 regarding consideration of the ordinance to regulate the granting of franchises to operate and maintain a cable system in the City; setting forth conditions accompanying the granting of a franchise; providing for use of the system; and prescribing penalties for the violation of its provision; and a resolution approving summary publication of the ordinance. Russ Rooney, 1000 Mildred Drive, stated concerns about maintaining accessibility and technical support for local cable access programming. M/Sandahl, S/Priebe to close the public hearing. Motion carried 5-0. M/Priebe, S/Susag that this constitute Second Reading of Bill No. 1996-26, adding Section 726 regulating the granting of franchises to operate and maintain a Cable System in the City; that it be published in the official newspaper and that it be made part of these minutes, and that the following resolution be adopted, that it be spread in the resolution book and that it be made part of these minutes: RESOLUTION NO. 8406 Council Meeting Minutes-7-November 25, 1996 RESOLUTION APPROVING SUMMARY PUBLICATION OF AN AMENDMENT TO THE RICHFIELD CITY CODE BY ADDING SECTION 726 This resolution appears as Resolution No. 8406 in Resolution Book No. 66. Motion carried 5-0. Item #7PUBLIC HEARING AND SECOND READING OF AMENDMENT TO APPENDIX E OF CITY CODE RELATING TO CABLE FRANCHISE AGREEMENT ORDINANCE; AND CONSIDERATION OF RESOLUTION APPROVING SUMMARY PUBLICATION. C.L. NO. 347 City Manager Prosser reviewed Council Letter No. 347 regarding adoption of a proposed new Cable Television Franchise Agreement Ordinance and approval of a summary publication. Mitchell Hadley, 7239 Lyndale Avenue, stated concerns about the consolidation of the local cable access studios into one location in Eden Prairie and that the promised increased night and weekend hours not be unilaterally dropped by Paragon in the future. He also stated concern that Paragon maintain the availability of technical support to local access programmers currently provided at the Richfield Studio by Michelle Glynn. Kim Roden, representing Paragon Cable, reviewed the company commitment to expanded hours and equipment for public, educational, and government (PEG) access as provided in the agreement. She stated Paragon has filed a transitional plan including hours and services. Council Member Priebe stated that the provisions regarding PEG access were contained in Section 7.3 of the ordinance which states: “In the first year after the effective date of this Franchise, Grantee shall provide no less than $200,128 annually for PEG access operating expenses collectively for the cities of Edina, Eden Prairie, Hopkins, Minnetonka, and Richfield. After the first year of the Franchise, Grantee shall provide sufficient financial and inkind support to maintain a substantially equivalent level of services, facilities and equipment in the remaining years of the Franchise Agreement Ordinance comparable to the services, facilities and equipment provided in the first year of the Franchise.” Russ Rooney, 1000 Mildred Drive, asked whether Paragon has decency guidelines regarding local access programs. Kim Roden discussed First Amendment rights, community standards regarding indecent programs, and management of these issues. She stated it has worked well up to this point. Council Meeting Minutes-8-November 25, 1996 M/Sandahl, S/Susag to close the public hearing. Motion carried 5-0. M/Susag, S/Priebe that this constitute Second Reading of Bill No. 1996-27, amending Appendix E repealing Section E2 Cable Communications Franchise, substituting a Cable Television Franchise Agreement between the City of Richfield and KBL Cable Systems of the Southwest, Inc.; that it be published in the official newspaper and that it be made part of these minutes, and that the following resolution be adopted, that it be spread in the resolution book and that it be made part of these minutes: RESOLUTION NO. 8407 RESOLUTION APPROVING SUMMARY PUBLICATION OF AN AMENDMENT TO APPENDIX E OF THE RICHFIELD CITY CODE This resolution appears as Resolution No. 8406 in Resolution Book No. 66. Motion carried 5-0. Item #8CONSIDERATION OF BID RECEIVED FOR WALK-IN COOLER AND APPURTENANT WORK FOR SHOPS AT LYNDALE WINE AND SPIRITS, 7700 LYNDALE AVENUE. C.L. NO. 348 City Manager Prosser reviewed Council Letter No. 348 recommending that the City Council reject the bid received from AA Equipment Company for a walk-in refrigeration unit and appurtenant work for the Shops at Lyndale Wine and Spirits liquor store. M/Sandahl, S/Rosenberg to reject the bid of AA Equipment Company for a walk-in refrigeration unit and appurtenant work for the Shops at Lyndale Wine and Spirits liquor store; to direct staff to modify the specifications; and to authorize staff to readvertise for bids. Motion carried 5-0. Item #9CONSIDERATION OF CONDUCTING CITY COUNCIL MEETING ON DECEMBER 23, 1996. C.L. NO. 349 City Manager Prosser reviewed Council Letter No. 349 regarding consideration of cancellation of the regularly scheduled December 23, 1996 City Council Meeting. M/Sandahl, S/Rosenberg to cancel the City Council Meeting scheduled for December 23, 1996. Council Meeting Minutes-9-November 25, 1996 Motion carried 5-0. Item #10AIRPORT STATUS REPORT City Manager Prosser reviewed the status of the following airport issues: x The City has met with Metropolitan Council Administrator Jim Solem and Metropolitan Council Representative Neil Peterson to discuss issues related to the Metropolitan Airports Commission (MAC) actions regarding the Rich Acres Golf Course and athletic field lease termination issue. He stated the City has requested assistance in identifying alternative recreation facilities, help in resolving the differences between the City and MAC, and any advice in increasing cooperation of MAC. x The City filed a lawsuit on November 18 in Hennepin County District Court charging that the MAC’s decision to terminate the Rich Acres lease violates the Minnesota Environmental Policy Act. Council Member Susag reviewed a letter he sent to the MAC regarding their action and the statements of MAC Chair Sandy Grieve which in part stated: “If you want the City of Richfield to stop its interference in your affairs, you don’t have to seek new legislation. All you have to do is obey legislation that currently exists.” City Manager Prosser urged residents to contact their legislators, the MAC, and the Metropolitan Council regarding this issue. He invited interested individuals to join with user groups in identifying replacement recreation facilities. Item #11LEGISLATIVE REPORT Discussion was held regarding scheduling in December for a meeting with the City’s legislators and representatives to discuss legislative initiatives and policies. Council Member Susag suggested that a separate City Council opportunity to meet with Hennepin County Commissioner Randy Johnson and Metropolitan Council Representative, Neil Peterson be arranged in the future in addition to their invitation to the legislative initiatives meeting. Item #12COUNCIL DISCUSSION ITEMS Council Member Susag invited the public to the Richfield Optimists November 27, 7:30 a.m. meeting at the VFW at which Administrative Services Director Devich will Council Meeting Minutes-10-November 25, 1996 discuss the City budget. He stated that each Wednesday in November the Optimists program had focused on City issues. Item #13CLAIMS AND PAYROLL M/Sandahl, S/Priebe that the following claims and payrolls be approved: RICHFIELD BANK & TRUST CO. Checks: 62005-62037; 62781-63196$1,581,383.62 FIRSTAR BANK Payroll: 100126-100161; 100166-100434$393,351.58 Motion carried 5-0. ADJOURNMENT The meeting was adjourned by unanimous consent at 8:47 p.m. Date Approved: Martin J. KirschMayor Thomas P. FerberJames D. Prosser City ClerkCity Manager