HomeMy WebLinkAbout04-07-14CITY OF LAKEVILLE
CITY COUNCIL MEETING MINUTES
April 7, 2014
Mayor Little called the meeting to order at 7:00 p.m. in the Council Chambers at City Hall.
Members Present: Mayor Little, Council Members Davis, Swecker, Anderson and LaBeau
Staff Present: Steve Mielke, City Administrator; Roger Knutson, City Attorney; Jeff Long,
Police Chief; Neil Normandin, Public Works Coordinator; David Olson, Community &
Economic Development Director; Dennis Feller, Finance Director; Brett Altergott, Parks &
Recreation Director; Daryl Morey, Planning Director; Allyn Kuennen, Administrative
Services Manager; Cindi Joosten, Human Resources Manager; Charlene Friedges, City Clerk
3. Citizen Comments None
4. Additional Agenda Information Mr. Mielke provided additional information for Agenda
items 6i, 9 and 11.
5. Presentations/Introductions
Kevin McCarney requested the City Council proclaim May 1, 2014 National Day of Prayer
in Lakeville. Council Member Anderson read the proclamation.
Jay Young, representing the Lakeville Rotary Club, presented a $500 donation to the Parks &
Recreation Department to support the Heritage Center volunteer appreciation luncheon.
Neil Normandin presented the March Public Works Department monthly report.
6. Consent Agenda
Council Member Swecker requested information on the schedule for completion of the
Dodd Boulevard trail project. Mr. Mielke will provide the schedule to Council.
Council Member LaBeau asked if utility relocation for the Dodd Boulevard trail project
would be financed by public or utility funds. Mr. Mielke stated the utility relocation would
follow franchise requirements. Council Member LaBeau also asked about change orders for
this project and stated she has concerns for how change orders are handled in the contracts.
Mr. Mielke stated he is working on a policy to address change orders.
City Council Meeting Minutes, April 7, 2014
Page 2
Motion was made by Davis, seconded by Swecker to approve the consent agenda items as
follows:
a. Claims for payment
b. Minutes of the March 17, 2014 City Council meeting
c. Minutes of the March 24, 2014 Council work session
d. Contract for janitorial services with FBG Service Corporation
e. Joint Powers Agreement with Dakota County for Dodd Boulevard trail
f. Resolution No. 14-20 awarding contract for 2014 miscellaneous roadway repairs and
overlays
g. Release of Development Contract in Southfork Village 3rd Addition
h. Resolution No. 14-21 approving the final plat of Summerlyn 2nd Addition
i. Resolution No. 14-22 approving the final plat of Kyla Crossing; and Resolution No. 14-
23 vacating right-of-way
j. Contract with Cummins NPower LLC for preventive maintenance of city generators
k. Redevelopment Incentive Grant Program Agreement with Dakota County Community
Development Agency for downtown parking improvements
1. Ordinance No. 919 rescinding Ordinance No. 892 that created the Niakwa Village II
Housing Improvement Area; and Housing Improvement Area Agreement with Dakota
County Community Development Agency for Niakwa Village II Addition
m. Memorandum of Understanding with DARTS for senior transportation services
Roll call was taken on the motion. Ayes - Davis, Little, Swecker, Anderson, LaBeau
Council Member Anderson abstained from approval of Item 6a, as the check register
includes a payment to his employer.
City Council Meeting Minutes, April 7, 2014
Page 3
7. Public Hearing - Tax Increment Financing District No. 18
Mayor Little opened the public hearing to consider modification of the Redevelopment Plan
for Redevelopment Project No. 1, establishing Tax Increment Financing District No. 18
within the Redevelopment Project and approving a Tax Increment Financing Plan for the
Menasha Packaging expansion project.
Greg Theis, Regional Vice President of Menasha Packaging, provided an overview of the
company's growth and the proposed expansion of its manufacturing facility in Lakeville.
Mr. Olson explained that Menasha is proposing a 123,000 square foot expansion of its
238,000 square foot manufacturing facility located at 8085 - 220' Street West. The
company has submitted a request for tax increment financing (TIF) to assist in over $1.3
million in site development costs associated with the project. He explained that the
proposed TIF assistance will not exceed $626,018 and will be provided on a pay-as-you-go
basis over a nine year period beginning in 2016. Menasha Packaging has operated in Airlake
Industrial Park since 1970 and currently has 221 employees with an annual payroll of
approximately $15.2 million. The Menasha plant, after the proposed expansion, will have an
estimated market value of between $8.0 and $8.75 million.
Mr. Olson stated that tonight's public hearing was initially scheduled for both the Tax
Increment Financing Plan and the Contract for Private Development/Business Subsidy
Agreement for this project. Menasha's legal counsel has requested additional time to review
the Contract for Private Development. Therefore, staff is recommending the City Council
continue the portion of the public hearing related to the Business Subsidy Agreement until
the April 21, 2014 City Council meeting.
There were no public comments.
Motion was made by Swecker, seconded by LaBeau to close the public hearing on the
proposed Tax Increment Financing Plan, and to continue the public hearing on the
proposed Business Subsidy Agreement until the April 21, 2014 City Council meeting.
Roll call was taken on the motion. Ayes - Little, Swecker, Anderson, LaBeau, Davis
Motion was made by Swecker, seconded by Anderson to approve Resolution No. 14-24
approving the Modification of the Redevelopment Plan for Airlake Redevelopment Project
No. 1 and establishment of Tax Increment Financing District No. 18 and approving a Tax
Increment Financing Plan thereto.
Roll call was taken on the motion. Ayes - Swecker, Anderson, LaBeau, Davis, Little
City Council Meeting Minutes, April 7, 2014 Page 4
8. Public Hearing - Amendments to City's Wellhead Protection Plan
Mayor Little opened the public hearing on the proposed Part II Amendment to the City of
Lakeville Wellhead Protection Plan.
John Greer, Barr Engineering, explained that the Wellhead Protection Plan (WHPP) is
required under the Federal Safe Drinking Water Act and Minnesota Rules. Minnesota Rules
require that the WHPP must be updated at least once every 10 years. Mr. Greer provided an
overview of the WHPP Part 2 amendment, wellhead protection program goals, and wellhead
protection action plans.
There were no public comments.
Motion was made by LaBeau, seconded by Davis to close the public hearing.
Roll call was taken on the motion. Ayes - Anderson, LaBeau, Davis, Little, Swecker
Motion was made by Davis, seconded by Anderson to table approval of the Wellhead
Protection Plan Amendment, pending review and approval by the Minnesota Department of
Health.
Roll call was taken on the motion. Ayes - LaBeau, Davis, Little, Swecker, Anderson
9. Public Hearing - Certification of Delinquent Utilities
Mayor Little opened the public hearing on the certification of unpaid water, sanitary sewer
and storm sewer charges and assessment of street lighting charges.
Mr. Feller presented the list of accounts proposed to be certified. The total amount
delinquent is $2,243.66. In addition, the City collects a $35 service charge to cover the cost
of certification and 18% interest. Therefore, the total amount proposed to be certified is
$4,046.27.
Council Member Swecker noted that there are only 24 accounts being certified. Mr. Feller
explained that these represent only rental property and properties that have been sold. All
other delinquent accounts will be certified in October.
There were no public comments.
Motion was made by Anderson, seconded by Swecker to close the public hearing.
Voice vote was taken on the motion. Ayes - unanimous
City Council Meeting Minutes, April 7, 2014
Page 5
Motion was made by LaBeau, seconded by Swecker to approve Resolution No. 14-25
certifying unpaid water, sanitary sewer and storm sewer charges to the County
Treasurer/Auditor to be collected with other taxes on said property and assessing unpaid
streetlight charges.
Roll call was taken on the motion. Ayes - Davis, Little, Swecker, Anderson, LaBeau
10. Enclave at St. Frances Woods Preliminary Plat
Dave Anderson, representing the developer, ACR Financial, requested Council approval of
Enclave at St. Frances Woods.
Mr. Morey provided an overview of the preliminary plat, which proposes 41 single family
lots and two outlots on land located south of 2051 Street and west of Kensington Boulevard.
This preliminary plat proposes to re -plat seven vacant townhome lots in St. Frances Woods
8`'' Addition, as well as the remaining phase of 62 undeveloped townhome units from the St.
Frances Woods 71 Addition preliminary plat approved in 1999. Mr. Morey explained that
the preliminary plat includes all or portions of two townhome common area lots. These lots
had restrictive covenants placed on them when the homeowners association was established.
The homeowners association and developer have reached a tentative agreement on the
release of the protective covenants.
Motion was made by Swecker, seconded by Anderson to approve the preliminary plat of
Enclave at St. Frances Woods, subject to the stipulations listed in the March 13, 2014
planning report and conditioned upon the release of all homeowners' association covenants
and declarations over the property to be conveyed or dedicated to the City.
Roll call was taken on the motion. Ayes - Little, Swecker, Anderson, LaBeau, Davis
11. City Code Amendment Concerning Residential Boarding
Mr. Morey presented an ordinance amending Title 11 of the City Code concerning
residential boarding. He explained that the ordinance is being amended as a result of
complaints received by City staff regarding short term rental of single family residential
homes, creating the potential for compatibility issues. The zoning ordinance currently
allows for boarding of up to two persons that are not related to the homeowner; however, it
does not contain a specific timeframe. In an effort to address high turnover, the proposed
ordinance allows renting of rooms to two persons for a minimum of 30 days.
Mr. Morey highlighted several changes and clarifications that were made to the proposed
ordinance following the Council's February 241' work session, as outlined in his April 2,
2014 Council memo. Additional clarifications were made at the request of Council
City Council Meeting Minutes, April 7, 2014 Page 6
Member Anderson, and staff recommends approval of the red -lined document provided this
evening.
Council Member LaBeau stated she feels the ordinance needs further clarification with
respect to circumstances where a family of more than two persons, either related or not
related to the homeowner, would need transitional housing for more than 30 days but would
not be paying rent.
Mr. Morey stated those circumstances are not regulated by this ordinance. He pointed out
that two families living in a single family dwelling is not allowed in the City's current zoning
ordinance. However, these types of situations do not cause concern for safety in the
neighborhoods and do not generate complaints.
Mr. Mielke explained that the intent of this ordinance is to address the issue of short term
rentals and situations where the homeowner is taking short term boarders on an on-going
basis. He explained that enforcement is going to be on a complaint basis. Staff has not
received complaints in the past related to transitional housing as described by Council
Member LaBeau.
Mayor Little clarified that it is not the intent of this ordinance to regulate situations where
families are seeking transitional housing.
Council Member Davis stated he feels the ordinance as written is clear and will not impact
families in transitional housing.
Council Member Anderson stated there might be a need to discuss the issue of transitional
housing at a later date; however, he supports this ordinance as written.
Motion was made by Davis, seconded by Anderson to adopt Ordinance No. 920 amending
Title 11 of the Lakeville City Code and a summary ordinance for publication.
Roll call was taken on the motion. Ayes - Swecker, Anderson, LaBeau, Davis, Little
12. Labor Agreement with Law Enforcement Labor Services, Inc., Local No. 177
The Human Resources Manager presented a proposed labor agreement with Law
Enforcement Labor Services, Local No. 177 (Sergeants). The agreement provides a cost of
living wage increase of 2% for 2014 and 2015. Ms. Joosten explained that the City's
compensation policy is to be at the market average. Therefore, the agreement also includes a
1% market adjustment for each year.
City Council Meeting Minutes, April 7, 2014
Page 7
Health insurance premiums are the same as those established by resolution for non-union
employees. The agreement discontinues the current practice of paying 1.5 times the regular
rate for scheduled hours on a holiday. Instead, a lump sum will be provided at year end.
This process will eliminate challenges relating to shifts scheduled on a holiday.
Motion was made by LaBeau, seconded by Davis to approve the Labor Agreement between
the City of Lakeville and Law Enforcement Labor Services, Inc. Local No. 177, for 2014 and
2015.
Roll call was taken on the motion. Ayes - Anderson, LaBeau, Davis, Little, Swecker
13. Position Classification and Pay Plan
The Human Resources Manager presented a resolution approving the position classification
and pay plan for regular non-union employees, effective January 1, 2014. The resolution
provides for a 2% wage increase for non-union employees, which is consistent with salary
adjustments in other comparable metro cities.
Motion was made by Swecker, seconded by Anderson to approve Resolution No. 14-26
approving the position classification and pay plan for non-union employees effective
January 1, 2014.
Roll call was taken on the motion. Ayes - LaBeau, Davis, Little, Swecker, Anderson
14. Advisory Committee Appointments and Reappointments
Mr. Mielke presented the list of advisory committee appointments and reappointments as
discussed by the City Council at a recent work session.
Motion was made by Anderson, seconded by Davis to appoint the following advisory
committee members:
Term Expires
Lakeville Area Arts Center Kristina Murto 3/31/17
Board Timothy Murphy 3/31/17
Beth Adams (Alternate) 3/31/15
Cable TV Board Robin Selvig 3/31/16
Doug Thompson 3/31/16
Terry Lind 3/31/16
Economic Development Jack Matasosky 3/31/17
Commission Glenn Starfield 3/31/17
Thomas Smith (Alternate) 3/31/15
Joe Julius 3/31/17
City Council Meeting Minutes, April 7, 2014
Finance Committee
Parks Recreation & Natural
Resources Committee
Planning Commission
Lowell Collman 3/31/16
Chris Hoins 3/31/17
Bruce Rydeen 3/31/17
Jeanne Peterson 3/31/17
Scott Kelly 3/31/17
Howard Lovelace (Alternate) 3/31/15
Karl Drotning 3/31/17
Bob Boerschel 3/31/17
Joe Blee (Alternate) 3/31/15
Nic Stevens (Ex -Officio) 3/31/15
Roll call was taken on the motion. Ayes — Davis, Little, Swecker, Anderson, LaBeau
Page 8
Unfinished and New Business:
Council Member Anderson addressed the traffic diversion work associated with the CSAH
50/60 intersection improvements and requested a continued conversation with
representatives of Dakota County regarding funding for that work. He stated he feels the
City should continue to urge the County to make an exception to its funding policy and take
a stronger financial role in the traffic diversion work for this project.
Mayor Little stated he believes the County should contribute according to the 55/45 split for
permanent improvements.
Mr. Mielke stated he would extend an invitation to County Commissioner Paul Krause to
attend the next City Council work session to discuss this matter. He will also look to see if
exceptions have occurred in other cities.
Council Member Davis suggested the Council provide a list of questions to Commissioner
Krause in advance of the work session.
Council Member LaBeau asked for a spreadsheet that outlines future road improvement
escrows from developers. She suggested that some road improvements could be fast tracked
by utilizing development fees. Mr. Mielke clarified that escrows the City receives are for
specific road segments when they are approved. Escrows from different developments
cannot be lumped together. The information requested will be provided to the Council.
Announcements: Next regular Council meeting, April 21, 2014
City Council Meeting Minutes, April 7, 2014 Page 9
Mayor Little adjourned the meeting at 8:50 p.m.
Respectfully submitted,
Charlene Friedges, Ci Jerk Matt Li e, Mayor