HomeMy WebLinkAboutItem 06.bCITY OF LAKEVILLE
CITY COUNCIL MEETING MINUTES
October 1, 2012
Mayor Bellows called the meeting to order at 7 p.m. in the Council Chambers at City Hall. The
pledge of allegiance to the flag was given.
Members Present: Council Members Rich, Swecker, Little, LaBeau and
Members Absent: None
Staff Present: Steve Mielke, City Administrator; Roger Knutson, City Attorney
Police Chief; Chris Petree, Public Works Director; David Olson, Community &Economic
Development Director; Dennis Feller, Finance Director; Johfi Hennen, Interim Parks &
Recreation Director; Daryl Morey, Planning Director; Char Friedges „City Clerk.
3. Citizen Comments None
4. Additional Agenda Information None
5. Presentations /Introductions
Chris Petree presented the September Public Nxlorks:Department monthly report.
6. Consent Agenda
Morton was made by Reib; seconded by fab°Cau to approve the consent agenda items as
follows:
a. Claims for
b. Minutes of the Septemhe47, 2012 City Council meeting
c. , Minutes of the September 10, 2012 Council work session
12 -103 authorizing change of liquor store operational hours
e. Resolutibii No. 12 -104 accepting donation from FM Global to the Fire Department
f Set'a budget work session to be held on October 15 from 5 -7 p.m.
g. Resolution No. 12 -105 accepting donations to the Parks & Recreation Department
h. Cross- Country Ski Trail Assistance Program Agreement with Minnesota DNR
i. Snowmobile Trails Assistance Program Agreement with Minnesota DNR
City Council Meeting Minutes, October 1, 2012
Page 2
j. Audit Engagement Agreement with Malloy, Montague, Karnowski, Radosevich & Co.,
P.A.
k Resolution No. 12 -106 calling public hearing relating to the imposition of a service
charge for Special Service District No. 1
1. Resolution No. 12 -107 appointing election judges for the November 6 General Election
m. Resolution No. 12 -108 rejecting bids received for the Kenriek Avenue /195`° Street trail
project
n. Resolution No. 12 -109 approving Multi- Agency Law Enforcenieritjvint Powers
Agreement with State of Minnesota, Department of Public Safety, Bureau of Cri
Annrehension
Roll call was taken on the motion. Ayes —
7. Conditional Use Permit for McDonald's, 16205 B
Ray Croaston, Project Manager for McDonald's, rec
conditional use permit to allow the construction of a
16250 Kenyon Avenue.
Mr. Morey stated McDonald's is propos]
service and extended homy of operation.-
approved in 2007 with the Kent 46 subdi
however, McDonald's allowed the 2007
re- evaluated its devel
includes double drive
requesting to open at
on Friday and Saturd€
approval on a vote of
was ma
, nal use
in at 16
1 was to
ans. The
Avenue
Council approval of a
iald's fast food restaurant at
a new restaurant with drive - through
k° conditional use permit for McDonald's was
ision and Brunswick Zone planning actions;
)nditionai use permit to expire while the company
reposed conditional use permit application
and extended hours of operation. McDonald's is
nd to close at midnight Sunday through Thursday and 2 a.m.
Planning Commission held a public hearing and recommended
we°cker, seconded by Rich to approve findings of fact and a
to allow the construction of a new McDonald's convenience food
Kenyon Avenue.
on the motion. Ayes - unanimous
8. Purchase, Agreement for Sale of Senior Center
Mr. Olson presented a purchase agreement for the sale of the former Senior Center property.
Rose Mountain Spiritual Community Center ( RMSCC), a non -profit organization, is
proposing to purchase the property to be used as a church and fellowship hall. RMSCC is
proposing to purchase the property for $345,000. The terms call for RMSCC to pay
$200,000 at the closing with the balance to be financed on a Contract for Deed over a three
year period, with a balloon payment at the end of three years. The purchase is contingent
upon completion of a property inspection and approval of a conditional use permit for the
proposed use. The purchase agreement requires that the City pay a four percent commission
City Council Meeting Minutes, October 1, 2012
Page 3
to the buyer's agent. The purchase agreement contemplates a closing on the property to
occur within 90 days.
Mr. Olson explained that the Senior Center property is comprised of four parcels; three of
the four parcels are owned by the City's Housing and Redevelopment Authority. Prior to
closing on the property, the City will request that the HRA convey its parcels to the City.
The purchaser, Rev. George Maverick, introduced himself to the Council.
Motion was made by Little, seconded by LaBeau to approve Resolution No. 12 -110
approving the sale of real property and dispensing with statutory r Rc Ii <-ements for review by
Planning Commission of disposal of property.
Roll call was taken on the motion. Ayes - unanimous
9. Change Orders for Heritage Center
y
Mr. Hennen presented change orders for the Heritage Center prgjeet. He explained that
three major unforeseen issues arose during eonstruetfon, which resulted in project costs
exceeding the April 2, 2012 estimate. The issues in d structural wood trusses, parking
lot soils and parking lot asphalt. These three major issues'represent $72,616 or 70% of the
changes to the project. The change orders total $80,444, rest g in the total project cost
exceeding budget by $41,598.
Mr. Hennen explained that the Heritagd Center project is financed with a combination of
revenue sources including the Building Fund, park dedication fees, fundraising initiatives
and the net proceeds from the sale of the Senior Center. The City will accrue $17,595 in
interest earnings on the Contract for Deed for;the Senior Center. The Community
Development Block Giant reiinburseme t requirements are $118,905, which represents a
$17,777 reduction compared to the April 2" a budget. The reduction is a result of the City's
investment in the "parking lot, facilities and land acquisition since the initial Senior Center
project in 1984. Currently, there is approximately $110,000 collected from fundraising
initiatives. The fundraisingrequirements have increased by $20,026 since April, leaving an
to complete the fundraising goal.
Council Member LaBeau asked how or why the wood trusses were compromised. Mr.
I-)ennen stated it occurred when the building was constructed in 1984. Council Member
Laeau also asked whether soil borings had been taken for the parking rot. Mr. Hennen
statectlaere here no soil borings. Council Member LaBeau stated she had been opposed to
the use of86mingeney funds for this project; and the parking lot and wood truss issues had
consumed most of the contingency.
Noting the significant amounts on several of the change orders, Council Member Swecker
asked if these additional prices were competitive. Mr. Hennen explained that the
construction management team works with the contractor to obtain the best pricing.
City Council Meeting Minutes, October 1, 2012
Page 4
Mr. Mielke pointed out that the three unanticipated issues represent additional expenses that
would have been incurred if they had been discovered prior to bidding. He further stated
that $7,000 remains in contingency at this time.
Council Member Little asked about donated labor. Mr. Hennen stated in -kind donations
total approximately $68,000 to $70,000. In addition, volunteers donated approximately
2700 hours on the project.
Motion was made by Sweeker, seconded by Rieb to approve Resolution No: ; 12 -111
approving change orders for the Heritage Center project.
Roll call was taken on the motion. Ayes - unanimous
10. Unfinished business None