HomeMy WebLinkAbout08-15-16CITY OF LAKEVILLE
CITY COUNCIL MEETING MINUTES
August 15, 2016
Mayor Little called the meeting to order at 7:00 p.m. in the Council Chambers at City Hall. The
Pledge of Allegiance to the flag was given.
Members Present: Mayor Little, Council Members Davis, Anderson and LaBeau
Absent: Council Member Swecker
Staff Present: Justin Miller, City Administrator; Roger Knutson, City Attorney, Jeff Long,
Police Chief; Chris Petree, Public Works Director; Dave Olson, Community & Economic
Development Director; Jerilyn Erickson, Finance Director; John Hennen, Parks & Recreation
Director; Daryl Morey, Planning Director; Charlene Friedges, City Clerk
3. Citizen Comments: None
4. Additional Agenda Information: None
5. Presentations/Introductions
The City Administrator introduced new City employees Yvonne Nilsson, Payroll Technician,
and Tammy Schutta, Human Resources Manager.
6. Consent Agenda
Motion was made by LaBeau, seconded by Anderson, to approve the consent agenda items as
follows:
a. Claims for payment
b. Minutes of the August 1, 2016 City Council meeting
Agreement with Landscape Structures for purchase of playground equipment at Oak Shores
Park
d. Award contract for Improvement Project 16-13, sanitary sewer system improvements, to
Insituform Technologies USA, LLC
e. Resolution No. 16-104 identifying the need for funding to complete the 2040
Comprehensive Plan update and authorizing an application for planning assistance grant
funds
City Council Meeting Minutes - August 15, 2016 Page 2
f. Resolution No. 16-105 authorizing the disposal of assets
g. Agreement with Alpha Video for purchase of a Broadcast Pix video switcher
h. Resolution No. 16-106 calling public hearing on the certification of delinquent utilities
i. Termination of Development Contract with Mills Properties LLC
j. Stipulation of facts and civil sanction with Vape Genius LLC for a tobacco license violation
at 17729 Kenwood Trail
k. Stipulation of facts and civil sanction with Norther Tier Retail for a tobacco license
violation at SuperAmerica #4490, 21070 Glade Avenue
1. Resolution No. 16-107 accepting bids and awarding contract for the demolition of buildings
for the CSAH 50 construction project
m. Contracts with American Waterworks, Floor Coverings International and Mint Painting
LLC for City Hall west wing floor leveling, carpeting and painting of offices
n. Contract with Fluid Interiors for removal of City Hall west wing furniture
o. Resolution No. 16-108 approving the issuance of Lease Revenue Refunding Bonds under
Minnesota Statutes, Chapters 465, 469, 471 and 475 by the Housing and Redevelopment
Authority of the City of Lakeville, Minnesota
Voice vote was taken on the motion. Ayes - unanimous
7. Bee Well Development
Dr. El Deeb requested Council approval of the Bee Well Development preliminary plat.
Mr. Morey presented the proposed preliminary plat, which consists of five single family lots on
the west side of Orchard Lake. The subject property consists of two parcels totaling 6.2 acres.
The property is zoned RS -1, Single Family Residential District. Access to the five lots will be off
of Judicial Road.
Dr. El Deeb indicated that he proposes to sell the property to a developer who would later
submit a final plat for City Council consideration.
City Council Meeting Minutes — August 15, 2016 Page 3
Motion was made by Anderson, seconded by Davis, to approve Resolution No. 16-109
approving the preliminary plat of Bee Well Development.
Roll call was taken on the motion. Ayes - Davis, Little, Anderson, LaBeau
8. Resolution Regarding Application of Frontier Communications of Minnesota, Inc.
The City Administrator asked the City Council to consider a resolution regarding the
application of Frontier Communications of Minnesota, Inc. (Frontier) for a cable television
franchise.
Brian Grogan, attorney with Moss & Barnett, presented the City Administrator's position
regarding the competitive franchise application submitted by Frontier. He stated the proposed
resolution finds that Frontier's application complies with the requirements of Minnesota
Statute Section 238.081. It finds that Frontier possesses the requisite legal, technical and
financial qualifications to operate a cable television system in the City and authorizes City staff
to continue negotiations with Frontier for a cable television franchise. He clarified that the
City Council is not considering the award of a franchise to Frontier at this time. If the City
Council adopts the proposed resolution, a public hearing will be held to determine if the terms
of a proposed franchise are acceptable.
Mr. Grogan outlined Frontier's legal, technical and financial qualifications. Frontier will utilize
its existing facilities in the right of way, and minimal disruption is anticipated as Frontier
enhances and improves its system to provide video services.
Mr. Grogan stated that, to the best of his knowledge, there are no objective criteria in state or
federal law or FCC regulations that provide a punch list to determine exactly what it means to
be a financially qualified competitive cable television operator. The report that has been
provided to the City Council summarizes the applicant's qualifications. This information is
almost entirely based on the parent company, Frontier Communications Corporation. He
explained that a franchise grantee is allowed to create operating subsidiaries or transfer the
franchise as an asset within the company.
Jack Phillips of Frontier Communications provided a brief overview of Frontier's financial
qualifications. He stated Frontier is looking to augment its current voice and high speed
internet service with video and IP TV.
Gary Underwood, Regional Vice President for Charter Communications, raised several
concerns related to the completeness of Frontier's application and asked the City Council to
table or deny the proposed resolution. He stated Charter feels that, based on the application
submitted, there is not enough information available to make a decision related to Frontier's
City Council Meeting Minutes - August 15, 2016
Page 4
financial qualifications. Charter feels the City is being asked by Frontier to bypass rules in
Minnesota law and Lakeville ordinance regarding franchising.
Jane Bremer, legal counsel for Charter Communications, restated some of the concerns that
Charter noted in its June 6, 2016 letter to Mr. Grogan, which contends that the application
submitted by Frontier is deficient of State and local requirements and fails to show the
applicant's legal, technical and financial qualifications for a cable television franchise.
Mr. Grogan explained that Charter brings up many legitimate issues, which are currently being
negotiated with Frontier. All provisions of state statute come into play during the negotiation
process. If negotiations are unsuccessful and a franchise is not presented to the City Council
for consideration, the process dies.
Council Members Anderson and LaBeau questioned whether the application as submitted
provides adequate, detailed information related to sources and uses of funds.
Council Member Anderson stated that if the City Council accepts this application and directs
franchise negotiations to continue, he would like to see a detailed statement related to sources
and uses of funds provided by Frontier.
Mr. Miller and Mr. Grogan stated they feel the application as submitted meets the minimum
statutory requirements to advance the process and continue franchise negotiations.
Motion was made by Davis, seconded by Anderson, to approve Resolution No. 16-110
regarding the application of Frontier Communications of Minnesota, Inc. for a cable television
franchise.
Roll call was taken on the motion. Ayes - Little, Anderson, Davis; Nay - LaBeau
9. Unfinished business: None
10. New business: None
11. Announcements: Next regular Council meeting, Tuesday, September 6, 2016
Council work session and special Council meeting, August 22, 2016
Mayor Little adjourned the meeting at 8:15 p.m.
Res ectfully subme ,
G
Charlene Friedges, City 9fe)k Matt Little, Mayor