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03-12-01 Regular CITY COUNCIL MEETING MINUTES Richfield, Minnesota Regular Meeting March 12, 2001 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; Susan Rosenberg; John Enger; and Gertrude Ulrich. Members Not Present:Sue Sandahl. Acting City Manager Devich stated that Council Member Sandahl and City Manager Orduno were attending the National League of Cities Congressional City Conference in Washington, D.C. M/Rosenberg, S/Ulrich to determine the absence of Council Member Sandahl as an excused absence for the March 12, 2001 Special City Council Study Session; and the March 12, 2001 Regular City Council Meeting. Motion carried 4-0. Staff Present:Steven Devich, Acting City Manager; Mike Eastling, Public Works Director; Dan Scott, Public Safety Director; Bruce Palmborg, Community Development Director; Jim Topitzhofer, Recreation Services Director; Chris Regis, Finance Manager; Cheryl Krumholz, Recording Secretary; and Corrine Thomson, City Attorney. Council Meeting Minutes-2-March 12, 2001 APPROVAL OF MINUTES M/Rosenberg, S/Ulrich to approve the minutes of the (1) Special City Council Closed Executive Session of February 26, 2001; and (2) Regular City Council Meeting of February 26, 2001. Motion carried 4-0. Item #1COUNCIL DISCUSSION ITEMS Council Member Rosenberg spoke about the STARR Group meeting on March 6, 2001. She said Kent Carlson, Ryan Corporation, was present at the meeting and made a strong statement from a developer’s point of view that the Initiative and Referendum issues would make it difficult for customers to consider coming to Richfield. She said she wanted the public to be aware that the Initiative and Referendum issues do not just apply to the Best Buy development and the Interchange West area, but to City-wide development. She said the Initiative and Referendum could be very detrimental to the City. Council Member Enger said he didn’t agree with Council Member Rosenberg. He said that Mr. Carlson was bias because he was retained by the City as a developer of the east side. He felt the Initiative and Referendum issues are important and should be addressed. He said the State of Minnesota is taking Initiative and Referendum issues up at the legislature at this time to make this a statewide issue allowing Initiatives and Referendums. Council Member Rosenberg said that Mr. Carlson was speaking on behalf of customers as the people putting the businesses into Richfield. Council Member Enger said the initiative was trying to protect the right of owning and occupying family homes and not to be so quick to replace with apartment units. Item #2OPPORTUNITY FOR CITIZENS TO ADDRESS THE COUNCIL ON ITEMS NOT ON THE AGENDA Robert Hall, 7309 Oliver Avenue, spoke about a recent Richfield 2020 meeting and the redevelopment of cemeteries. He also spoke about the Best Buy Fact Packet. Council Meeting Minutes-3-March 12, 2001 Item #3 COUNCIL APPROVAL OF AGENDA M/Rosenberg, S/Ulrich to approve the agenda. Motion carried 4-0. Item #4 CONSENT CALENDAR A.Approved resolution appointing Larry Emond and Glenn Erickson to 2001 Board of Equalization and setting compensation for service S.R. No. 67 RESOLUTION NO. 9015 A RESOLUTION CONFIRMING CITY MANAGER'S APPOINTMENT OF TWO RESIDENT MEMBERS TO THE BOARD OF EQUALIZATION This resolution appears as Resolution No. 9015 in Resolution Book No. 72. B.Approved bid minutes/tabulation and award contract to Asplundh Tree Expert Company for 2001 diseased tree removal on private property in amount of $61,073 S.R. No. 68 C.Approved execution of eight professional services agreement for appraisers for 66th Street and TH77 Interchange Project S.R. No. 69 D.Approved resolution authorizing donation of used books from Wood Lake Nature Center to Richfield Historical Society S.R. No. 70 RESOLUTION NO. 9016 RESOLUTION AUTHORIZING the transfer of used BOOKS FROM WOOD LAKE NATURE CENTER TO THE RICHFIELD HISTORICAL SOCIETY This resolution appears as Resolution No. 9016 in Resolution Book No. 72. M/Ulrich, S/Rosenberg to approve the consent calendar. Motion carried 4-0. Council Meeting Minutes-4-March 12, 2001 Item #5CONTINUATION OF PUBLIC HEARING AND SECOND READING OF CABLE TELEVISION ORDINANCE FOR EVEREST CONNECTIONS CORPORATION (CONTINUED FROM FEBRUARY 12, 2001)S.R. NO. 71 Acting City Manager Devich reviewed Staff Report No. 71 regarding the continuation of a public hearing and the second reading of a cable television ordinance for Everest Connections Corporation that was continued from February 12, 2001. He said additional information was received today that indicated a longer period of time may be necessary on the ordinance. A change in ownership of Everest would not be the same basis for approving the franchise, so the process may need to start over again. M/Ulrich, S/Rosenberg to continue the public hearing and second reading of a Cable Television Ordinance for Everest Connections Corporation to the regular City Council Meeting of April 9, 2001. Motion carried 4-0. Item #6PUBLIC HEARING AND SECOND READING OF TRANSITORY ORDINANCE PROVIDING EXPENDITURE OF FUNDS FROM SPECIAL REVENUE FUND FOR CERTAIN CAPITAL IMPROVEMENTS S.R. NO. 72 Finance Manager Regis reviewed Staff Report No. 72 regarding the second reading of a transitory ordinance providing expenditure of funds from the Special Revenue Fund for the following capital improvements: Park Shelter Replacement–Fairwood/Monroe$ 102,500 Playfeature Little Bob’s 17,500 Roosevelt Park Swings 15,000 Waterslide Repainting 25,000 Roosevelt Concession Modifications 15,000 Community Center Room Dividers 25,000 Community Center Carpet/Paint/Repair 30,000 City Owned Parking Lots - Replace 120,000 Park Maintenance 100,000 Ice Arena Second Sheet (repayment) 75,000 Ice Arena Air Conditioning ($50,000) 25,000 Emergency Police/Fire Generator 75,000 Larry Wozniczka, 6744 Wentworth Avenue, asked about the park maintenance item being operating expenses. Recreation Services Director Topitzhofer said the items included were not operating expenses but the larger capital improvements. Council Meeting Minutes-5-March 12, 2001 Council Member Enger said he was opposed to the Fairwood/Monroe park shelter replacement. He said to eliminate that item and use the money somewhere else in the City. M/Rosenberg, S/Ulrich to close the public hearing. Motion carried 4-0. M/Rosenberg, S/Ulrich that this constitutes the Second Reading of Bill No. 2001-6 of Transitory Ordinance No 18.05 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 3-1. (Enger opposed.) Item #7PUBLIC HEARING AND SECOND READING OF ORDINANCE AMENDMENT TO SECTION 315 ALLOWING TIMELY DISPOSAL OF FORFEITED PROPERTY ACQUIRED BY CITY PURSUANT TO CIVIL OR CRIMINAL FORFEITURE PROCEEDINGS UNDER STATE LAWS.R. NO. 73 Public Safety Director Scott reviewed Staff Report No. 73 regarding the second reading of an ordinance amendment to Section 315 allowing timely disposal of forfeited property acquired by the City pursuant to civil or criminal forfeiture proceedings under State law. Council Member Enger asked what would be a determining factor for sale by quotation. Public Safety Director Scott said an example would be a unique or rare vehicle. He said two quotations are needed. Council Member Enger said he would like to see advertising of the sale so the general public has an opportunity to participate. City Attorney Thomson said that was possible, but the Council needs to direct staff to do this. The Municipal Uniform Contracting Law states sales by quotation do not require advertising for contracts less than $50,000. Council Member Ulrich said she would like the City to recover money but wants to keep moving the process along quickly. Dennis Manson, 13012 Welcome Lane, Burnsville, asked about the storage of these vehicles. Council Meeting Minutes-6-March 12, 2001 Public Safety Director Scott said vehicles were forfeited according to DUI statute guidelines, approximately 20 to 30 vehicles were currently being stored, the lot is in the City but did not want to reveal the location and the cost for the lot was $300 per month. Paul Nelson, 6633 16th Avenue, asked how a clear title is obtained when a lien is on the vehicle. Public Safety Director Scott reviewed the process for obtaining the title. M/Rosenberg, S/Ulrich to close the public hearing. Motion carried 4-0. Council Member Enger asked if the lot was going to be used long term. Public Safety Director Scott said that was up to who the lot was being leased from. Council Member Enger said the property should be brought into code compliance and the name should change to Auto Recycling Center. M/Rosenberg, S/Ulrich that this constitutes the Second Reading of Bill No. 2001-7, to amend Subsection 315.01, Subdivision 4 relating to disposition of forfeited, abandoned, junk and impounded motor vehicles, which expands the limitation on application to include motor vehicles and personal property acquired by the City through civil or criminal forfeiture proceedings; and the addition of Subsection 315.02 that will give disposition authority to the City Manager to determine what forfeited property is to be sold and the method of sale of lawfully forfeited property to facilitate disposal in a timely manner, that it be published in the official newspaper and that it be made part of these minutes. Motion carried 3-1. (Enger opposed.) Item #8CONSIDERATION OF RESOLUTION AUTHORIZING THE SUBMISSION OF $7.5 MILLION LOAN APPLICATION TO TRANSPORTATION REVOLVING LOAN FUND PROGRAM OF STATE OF MINNESOTA TO FINANCE REPLACEMENT OF PENN AVENUE BRIDGE OVER I-494 S.R. NO. 74 Public Works Director Eastling reviewed Staff Report No. 74 regarding authorizing the submission of $7.5 million loan application to the Transportation Revolving Loan Fund Program of the State of Minnesota to finance the replacement of the Penn Avenue bridge. Council Member Enger said he did not support the resolution because the Zoning Ordinance states the City does not pay for the bridge. The total cost should be borne by Best Buy. Public Works Director Eastling reviewed the bridge funding package. Council Meeting Minutes-7-March 12, 2001 Council Member Rosenberg said the City is not responsible for any payments on the bridge. M/Rosenberg, S/Ulrich 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. 9017 RESOLUTION AUTHORIZING THE SUBMISSION OF A TRANSPORTATION REVOLVING LOAN APPLICATION FOR REPLACING THE PENN AVENUE BRIDGE OVER I-494 Motion carried 3-1. (Enger opposed.) This resolution appears as Resolution No. 9017 in Resolution Book No. 72. CONSIDERATION OF RESOLUTION AUTHORIZING CONDEMNATION OF Item #9 7744, 7620, 7540 AND 7539 PENN AVENUE; 1601 WEST 75TH STREET; AND 7611 KNOX AVENUE FOR WIDENING OF 76TH STREET FROM I- 35W TO PENN AVENUE PROJECT S.R. NO. 75 Public Works Director Eastling reviewed Staff Report No. 75 regarding consideration of a resolution authorizing the condemnation of 7744, 7620, 7540 and 7539 Penn Avenue; 1601 West 75th Street; and 7611 Knox Avenue for widening of 76th Street from I-35W to Penn Avenue project. Council Member Ulrich asked how the negotiations were progressing. Public Works Director Eastling said Tom Foley, Transportation Engineer, and Bob Lindall, Kennedy & Graven, are handling negotiations and there have been active discussions. Council Member Rosenberg said her discussions with Mr. Foley a month ago indicated they were progressing favorably. Council Member Enger said the legal description of properties supplied by SEH doesn’t show anything. In the future, he wants a map showing the specific lot number and legal description on each property. He said it doesn’t need to be in the packet, but should be shown on the overhead screen. M/Rosenberg, S/Ulrich that the following resolution be adopted, that it be spread in the resolution book and that it be made part of these minutes: Council Meeting Minutes-8-March 12, 2001 RESOLUTION NO. 9018 RESOLUTION AUTHORIZING AND DIRECTING THE CONDEMNATION OF CERTAIN PROPERTY FOR STREET PURPOSES Motion carried 3-1. (Enger opposed.) This resolution appears as Resolution No. 9018 in Resolution Book No. 72. CONSIDERATION OF RESOLUTION ESTABLISHING JUST Item #10 COMPENSATION AND AUTHORIZING PURCHASE OF PARTIAL ACQUISITION AND/OR TEMPORARY EASEMENTS AT 7544 AND 7525 OLIVER AVENUE; 2018, 2006, 2000, 1920, 1912 AND 1900 76TH STREET WEST; 7611 KNOX AVENUE; AND 1700 78TH STREET WEST FOR WIDENING 76TH STREET FROM I-35W TO PENN AVENUE S.R. NO. 76 Public Works Director Eastling reviewed Staff Report No. 76 regarding consideration of a resolution establishing just compensation and authorizing purchase of partial acquisition and/or temporary easements at 7544 and 7525 Oliver Avenue; 2018, 2006, 2000, 1920, 1912 and 1900 76th Street West; 7611 Knox Avenue; and 1700 78th Street West for widening 76th Street from I-35W to Penn Avenue. Council Member Rosenberg asked if the temporary easement for Woodlake Lutheran Church for the sidewalk was just during the construction period. Public Works Director Eastling answered that was correct. Council Member Rosenberg said she was concerned about how the people on 76th Street were being handled regarding this issue. Public Works Director Eastling said each one has different needs but several options are discussed with varying degrees of acceptance. Council Member Enger asked what was suggested for the three homes that are 50 feet from the curb line. Public Works Director Eastling reviewed the options for these homes. M/Rosenberg, S/Ulrich that the following resolution be adopted, that it be spread in the resolution book and that it be made part of these minutes: Council Meeting Minutes-9-March 12, 2001 RESOLUTION NO. 9019 RESOLUTION ESTABLISHING JUST COMPENSATION AND AUTHORIZING PURCHASE OF REAL PROPERTY LOCATED AT 7544 OLIVER AVENUE, 7525 OLIVER AVENUE, 2018 76th STREET WEST, 2006 76th STREET WEST, 2000 76th STREET WEST, 1920 76th STREET WEST, 1912 76th STREET WEST, 1900 76th STREET WEST, 7611 KNOX AVENUE, AND 1700 78th STREET WEST (WIDENING OF 76th STREET FROM I-35W TO PENN AVENUE PROJECT) Motion carried 3-1. (Enger opposed.) This resolution appears as Resolution No. 9019 in Resolution Book No. 72. Item #11CONSIDERATION OF RESOLUTION PROVIDING FOR SALE OF $8,350,000 GENERAL OBLIGATION TAX INCREMENT BONDS, SERIES 2001A S.R. NO. 77 Community Development Director Palmborg reviewed Staff Report No. 77 regarding consideration of a resolution providing for the sale of $8,350,000 General Obligation Tax Increment Bonds, Series 2001A. Council Member Enger referred to the Zoning Ordinance Section 541 Zoning: Performance Studies. He said selling the bonds puts the City at risk and the City should not enter into this. Community Development Director Palmborg said the assessment assignment will forestall the necessity of the City to provide any support on this bond issue. Council Member Enger referred to Zoning Ordinance Section 541.05 Traffic/Parking Studies,Subd. 2. He said this does not say the City sells bonds to enter into this project. City Attorney Thomson said that the City's ability to require developers to construct off-site improvements is limited by constitutional principles and that the Penn Avenue bridge is a regional improvement that is not required solely because of Best Buy traffic. Council Member Enger said that the Best Buy project requires the bridge to be constructed sooner than it otherwise would have been constructed. City Attorney Thomson said that in her opinion the City could not require Best Buy to pay for the entire Penn Avenue bridge, regardless of the ordinance language. Council Member Ulrich said that reconstruction of the Penn Avenue bridge has been under consideration since 1983. It must be redone because it is so heavily used. M/Rosenberg, S/Ulrich that the following resolution be adopted, that it be spread in the resolution book and that it be made part of these minutes: Council Meeting Minutes-10-March 12, 2001 RESOLUTION NO. 9020 RESOLUTION AUTHORIZING THE NEGOTIATION OF THE SALE OF $8,350,000 GENERAL OBLIGATION TAX INCREMENT BONDS, SERIES 2001A Motion carried 3-1. (Enger opposed.) This resolution appears as Resolution No. 9020 in Resolution Book No. 72. Item #12CONSIDERATION OF RESOLUTION AUTHORIZING REFUNDING OF $2,170,000 G.O. STORM SEWER REVENUE REFUNDING BONDS, SERIES 1992A, DATED DECEMBER 1, 1992 WITH $1,180,000 G.O. STORM SEWER REVENUE REFUNDING BONDS, SERIES 2001B S.R. NO. 78 Finance Manager Chris Regis reviewed Staff Report No. 78 regarding consideration of a resolution authorizing refunding of $2,170,000 G.O. Storm Sewer Revenue Refunding Bonds, Series 1992A, dated December 1, 1992 with $1,180,000 G.O. Storm Sewer Revenue Refunding Bonds, Series 2001B. Council Member Enger asked for an explanation of the Storm Sewer Revenue Refunding Bond. Acting City Manager Devich said the bonds are issued for various storm sewer capital projects within the City. He said approving this resolution will permit the City to take advantage of lower interest rates and it saves taxpayers’ money. Council Member Enger asked if this extends the maturity date. Acting City Manager Devich said it stays at 2007. M/Rosenberg, S/Ulrich 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. 9021 RESOLUTION AUTHORIZING THE NEGOTIATION OF THE SALE OF $1,180,000 GENERAL OBLIGATION STORM SEWER REVENUE REFUNDING BONDS, SERIES 2001B Motion carried 4-0. This resolution appears as Resolution No. 9021 in Resolution Book No. 72. Council Meeting Minutes-11-March 12, 2001 Item #13CONSIDERATION OF COST PARTICIPATION IN AESTHETICS OF I- 35W/62 CROSSTOWN COMMONS NICOLLET AVENUE BRIDGE S.R. NO. 79 Public Works Director Eastling reviewed Staff Report No. 79 regarding cost participation in the aesthetics of the I-35W/62 Crosstown Commons Nicollet Avenue bridge, specifically whether to include two clock towers or an arrow pilaster on either side of Nicollet Avenue. Mr. Eastling said the adopted Capital Improvement Budget does not contain funding for the Nicollet Avenue bridge in the I-35W/Crosstown 62 Commons. The City’s Municipal State Aid funds have been allocated to other projects. Council Member Enger said he preferred the arrow design. Council Member Ulrich agreed to the arrow design. Mayor Kirsch said he previously favored the clock towers, but the arrow design seems to fit better. Council Member Rosenberg agrees to the arrow design as long as the wall portion remains. M/Rosenberg, S/Enger to direct MnDOT to revise their plans to include an arrow pilaster instead of the clock tower design on either side of Nicollet Avenue bridge at the I- 35W/62 Crosstown Commons. Motion carried 4-0. Item #14UPDATE ON WATER MAIN BREAK AT 76TH STREET AND OLIVER AVENUE Public Works Director Eastling provided an update on the water main break at 76th Street and Oliver Avenue which occurred on February 18, 2001. Item #15AIRPORT STATUS REPORT None. Council Meeting Minutes-12-March 12, 2001 Item #16OPPORTUNITY FOR CITIZENS TO ADDRESS THE COUNCIL ON ITEMS NOT ON THE AGENDA Paul Nelson, 6633 16th Avenue, asked why Richfield has to pay one penny toward rebuilding of the Penn Avenue bridge. He also asked about the City’s obligation for the Cedar Avenue/66th Street bridge. Public Works Director Eastling reviewed the Penn Avenue bridge funding. He also reviewed the Memorandum of Understanding regarding the TH77/66th Street bridge funding. Dennis Manson, 13012 Welcome Lane, Burnsville, spoke about providing recognition to staff who worked on the water main break at 76th Street and Oliver Avenue. Mr.Manson also asked if a substantial amount of money is needed to bring the forfeited vehicle junkyard up to code. Council Member Enger said it was owed to the community to hide this eyesore. He wants it moved to a location zoned commercial with no residential around it. Larry Wozniczka, 6744 Wentworth Avenue, asked about the design study of 76th Street as it relates to the Best Buy development and the funding of acquisition. Public Works Director Eastling reviewed the design status and said all design elements will be presented to the City Council for approval. Mr. Eastling also reviewed the funding for 76th Street and Penn Avenue. Item #18CLAIMS AND PAYROLL M/Rosenberg, S/Ulrich that the following claims and payrolls be approved: RICHFIELD BANK & TRUST CO. INT Checks:101975 - 102001$69,741.37 H/C105463 - 105785$1,002,589.30 PAYROLL23702 - 23885$463,198.42 TOTAL$1,535,529.09 Motion carried 4-0. Council Meeting Minutes-13-March 12, 2001 Council Member Rosenberg said she wanted to thank the homeowners and apartment residents in the Interchange West area for their perseverance and that it was a relief to have the contingencies lifted. ADJOURNMENT The meeting was adjourned by unanimous consent at 8:48 p.m. Date Approved: Martin J. Kirsch Mayor Cheryl KrumholzSteven L. Devich Recording SecretaryActing City Manager