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HomeMy WebLinkAbout03-16-98 CITY OF LAKEVILLE COUNCIL MEETINt~ MARCH 16, 1998 The meeting was called to order at 7:00 p.m. by Mayor Zaun. The pledge of allegiance to the flag was given.. Roll call was taken. Present: Councilmembers Ryan, Sindt, Mulvihill, Holberg and Mayor. Zaun. Also present: R. Knutson, City Attorney; B. Erickson, City Administrator; K. Nelson, City Engineer; M. Sobota, Community & Economic Development Director; D. Feller, Finance Director; S. Michaud, Parks & Recreation Director; D. Martens, Chief of Police; 'D. Morey, Planner, F. Dempsey, Associate Planner; J. Hennen, Administrative Assistant; C. Friedges, City Clerk. MINUTES The minutes. of the March 2, 1998, City Council meeting and the February 10, 1998, Council work session were approved as presented. STAFF ANNOUNCEMENTS ATTORNEY: None ENGINEER: None ADMINISTRATOR: Mr. Erickson asked the Council to consider, under New Business, a draft letter proposed to be sent to the Minnesota Public Utilities Commission opposing .the removal of more than 800 Lakeville residents from the 612 area code. CHIEF OF POLICE: Chief Martens presented the February, 1998, Police Department monthly report. PARKS & RECREATION DIRECTOR: Mr. Michaud. presented the 1997 Parks & Recreation Department annual report. PRESENTATI®NS/INTRODUCTIONS Mayor Zaun presented a plaque to Carah Drews for her service to the- City of • Lakeville: as a member of the Environmental Affairs Committee. CITY OF LAKEVILLE COUNCIL MEETING MARCH 16, 1998 PAGE 2 CITIZENS' COMMENTS None CONSENT AGENDA Councilmembers removed Items 7a, 7g, 7m and 7q from the consent agenda. 98.56 .Motion was made by Holberg, seconded by Mulvihill to approve the consent agenda items as follows: a. (Removed from consent agenda.) b. Receive February Investment Report. c. Receive minutes of the following advisory committee meetings: Environmental Affairs Committee, February 17th, February 24th and March 3rd Planning Commission, February 19th and March 5th Economic Development Commission, February 24th Ames Ice Arena Committee, February 25th Parks & Recreation Committee, March 4th d. Resolution No. 98-36 approving plans and specifications and setting a bid date for Improvement Projects 97-5, 98-2, 96-4 and 97-20. e. Resolution No. 98-37 approving plans and specifications and setting a bid. date for playground equipment. f. Agreement with Metropolitan Regional Arts Council g. (Removed from consent agenda.) h. Mechanical amusement device license for Lakeville Theatre, 20653 Keokuk Avenue. i. Resolution No. 98-38 appointing members to the. Employee Position Evaluation Committee. j. Resolution No. 98-39 accepting donation to the DARE Program from First National Bank of Monticello, Lakeville Branch. k. .Farm lease with Michael Streiff, Jr. CITY OF LAKEVILLE COUNCIL MEETING MARCH 16, 1998 PAGE 3 I. Resolution No. 98-40 extending park hours for special events at Antlers Park and Ritter Farm Park. m. (Removed from consent agenda.) n. Final acceptance of public utilities and road improvements, Muller Theatres. o. Resolution No. 98-41 designating 170th Street from Flagstaff Avenue to Pilot Knob Road (formerly County Road 58) as a municipal state aid roadway. p. Agreement with Lakeville Five, Inc. and Aurora Investments for Heritage Commons. q. (Removed from consent agenda..) Roll call was taken on the motion. Ayes, Ryan, Zaun, Sindt, Mulvihill, Holberg. ITEM 8 Mr. Brad Determan, representing Hearth Technologies, Inc.., requested Council approval of a conditional use permit and redevelopment contract to allow the construction of a Heat-N-Glo corporate headquarters/research and development facility in Fairfield Business Campus. Mr. Sobota explained that the proposed 80,232 square foot Heat-N-GIo corporate headquarters facility will house corporate administrative offices, sales and marketing, and design/engineering functions, including product and prototype development and testing. Heat-N-GIo representatives are also planning for the possibility of a future retail sales area within their corporate headquarters facility. He explained that Heat-N-GIo has applied for tax increment financing to allow them to locate in Fairfield Business Campus. Staff has negotiated a redevelopment contract with Heat-N-GIo that includes provisions for the creation of at least 20 new jobs by December 31, 2000. The City will be responsible for the extension of Kensington Boulevard in the future when the property to the north of Fairfield Business Campus develops. The project has been reviewed by the Fairfield Business Campus Property Owners Association, who found the plans consistent with the covenants for Fairfield Business Campus. CITY. OF LAKEVILLE COUNCIL MEETING MARCH 16, 1998 PAGE 4 Mr. Morey explained that because of the multitude of uses involved with the Heat-N-Glo facility and Business Campus District zoning., a conditional use permit is required for this project. The conditional use permit addresses the potential future expansion of the facility. Mr. Morey provided an overview of the performance standards reviewed by City staff and by the Planning Commission, including parking, driveway access, landscaping and signage. The Planning Commission unanimously recommended approval. Revised plans were submitted based upon recommendations given in the planning and engineering reports. Staff recommends approval of the conditional use permit and redevelopment contract. Councilmember Holberg asked if this type of business is subject to any Pollution Control Agency regulations. Mr. Determan stated they are; however, what they do is essentially construct prototypes and burn and test them in applications similar to what is done in a residential setting. Councilmember Ryan asked about the value of the land with regard to tax increment financing. Mr. Sobota stated the approximate value of the land is $1 per square foot, which includes streets, sewer, water and storm sewer. He explained that the storm. sewer area charge will be paid by tax increment; and the developer will pay the park dedication fee. Taxes that are generated by the 80,000 square foot building will. go to pay the bonds that were sold to develop the property. ..Councilmember Ryan asked what the risks are to the City with regard to tax increment financing. Mr. Sobota explained that the risks for the City were defined when the district was created. It is now a matter of getting the tenants into the campus to gef the tax base up to pay for the bonds. He pointed out that with this project and the proposed TMl project, the City will be ahead of schedule for repayment of the bonds. Councilmember Ryan asked what the City's equity position in the land would be if a business in Fairfield Business Campus would -:run across hard times. Mr. Knutson stated it depends on when the hard times occur. A letter of credit would cover initial hard times. If the building would burn down, insurance would cover it. If the property owners don't pay their taxes, a personal guarantee is built into the agreement whereby the building would be sold and someone else would take over operation, thus generating taxes. He pointed out that the chances of the property going tax forfeit are next to zero. 98.57 Motion was made by Mulvihill, seconded by Holberg to receive the Planning Commission's Findings of Fact and Recommendation and approve a CITY OF LAKEVILLE COUNCIL MEETING MARCH 16, 1998 .PAGE 5 conditional use permit and redevelopment contract for Hearth Technologies, Inc. to allow construction of a Heat-N-Glo light. manufacturing, warehousing, storage and indoor limited retail sales on property located on Lot 1, Block 1, Fairfield Business Campus Addition. Roll call was taken on the motion. Ayes, Zaun, Sindt, Mulvihill, Holberg, Ryan. ITEM 9 Gary Lussier and Steve Nelson, representing Technical Methods, Inc., requested Council approvaFof a conditional use permit :and redevelopment contract to allow the construction of a corporate headquarters, light manufacturing and warehouse facility in Fairfield Business Campus. Mr. Sobota provided an overview of the proposal by Technical Methods, Inc.. (TMI) for construction of a 24,960 square foot corporate. headquarters, manufacturing, warehouse building. He explained that TMI provides computer- aided design, manufacturing services and pattern making/prototype production for aerospace and commercial applications. TMI has applied for tax increment financing to allow them to locate in Fairfield Business Campus. Staff has negotiated a redevelopment contract with TMI that includes provisions for the creation of at least 10 new jobs and a $1 million minimum valuation. TMI will be assessed the storm sewer area charge, and the park dedication fee will be paid in cash at the time of closing on the land.. The City will be responsible for the future extension of Kensington Boulevard to the north. The Fairfield Business Campus Property Owners Association has.. reviewed the proposed plans for architectural compliance with the covenants for Fairfield Business Campus. Mr. Morey stated the TMI development will consist of 60% green space with the initial development. The developer will enter into a parking deferment development contract guaranteeing that the required number of parking spaces will be constructed if the site parking demand exceeds supply. The driveway access is located at the south boundary of the site so that a shared driveway can be constructed when Itron expands or another business develops to the south. The developer will submit a $5,000 security to guarantee installation of the approved landscaping. There will be one monument sign on the site and one wall sign on the front of the building. Staff recommends. approval of the conditional use permit and redevelopment contract. City Engineer Keith Nelson explained that staff negotiated a change order with S Brown & Cris for the extension of sanitary sewer and water services to serve CITY OF LAKEVILLE COUNCIL MEETING MARCH 16, 1998 PAGE 6 the TMI site. This lot requires utility services at this time due to the final platting and lot splits of Fairfield Business Campus 2nd Addition occurring after the initial construction of Kensington Boulevard. Funding for the proposed change order will be from the. Fairfield Business Campus Tax Increment Financing District. Councilmember Sindt asked if there will be truck traffic to this site. Mr. Lussier stated there will be very little truck traffic. 98.58 Motion was made by Holberg, seconded by Sindt to receive the Planning Commission's Findings of Fact and Recommendation and approve a conditional use permit and redevelopment contract for Technical Methods, Inc. to allow the. construction of a manufacturing/warehouse building on Lot 3, Block 1, Fairfield Business Campus 2nd Addition; and approve Change Order No. 2 with Brown & Cris, Inc.,lmprovement Project 97-11, for the construction of water main, sanitary sewer and water services on Kensington Boulevard to serve Lot 3, Block 1, Fairfield Business Campus 2nd Addition. Roll call was taken on the motion. Ayes, Sindt, Mulvihill, Holberg, Ryan, Zaun. ITEMS 10-11 Finance Director Dennis Feller presented a resolution authorizing the issuance and sale of $2,495,000 General Obligation Tax Increment Bonds. He explained. that the City issued general obligation temporary tax increment bonds in 1995 to finance Fairfield Business Campus improvements. The proposed 1998 bond. issue will refinance the $2,401,700 balloon payment on the temporary bonds. Mr. Feller explained that increment from the Fairfield. Business Campus, along with interest on investments for the debt service funds, is adequate to pay all of the debt service, plus the obligations for the TMI and Hearth Technologies projects and the future extension of Kensington Boulevard. Excess increments will be available which the City Council has the .prerogative to use at some future date by either calling the bonds or applying them toward other eligible projects, such as the County Road 70 bridge. Mr. Feller also presented a resolution authorizing the issuance and sale of $515,000 General Obligation Equipment Certificates of indebtedness. He explained that the proposed certificates of indebtedness will mature over a five year period. The 1999 tax levy wilF be approximately $115,588, which is $62,486 less than anticipated. i CITY OF LAKEVILLE COUNCIL MEETING MARCH 16, 1998 PAGE 7 Mr. Ron Langness of Springsted, :Inc. recommended authorization of the two bond issues, stating the bids will be presented at the April 20th City Council meeting. 98.59 Motion was made by Sindt, seconded by Mulvihill to approve Resolution No. 98-42 authorizing the issuance and sale. of $2,495,000 General Obligation Tax Increment Bonds, Series 1998A. Roll call was taken on the motion. Ayes, Mulvihill, Holberg, Ryan, Zaun, Sindt. 98.60 Motion was made by Sindt, seconded by Mulvihill to approve Resolution No. 98-43 authorizing the issuance and sale of $515,000 General Obligation Equipment Certificates of Indebtedness, Series 19986. Roll call was taken on the motion. Ayes, Holberg, Ryan, Zaun, Sindt, Mulvihill. Mayor Zaun recessed the Council meeting at 8:38 p.m. and reconvened at 8:52 p.m. ITEMS 12-13 Pastor Bill Bohline of Hosanna! Lutheran Church requested. Council approval of a conditional use permit amendment to allow.the construction of an addition onto the existing church located at 9600 - 163rd Street. West. He provided an historic backdrop of the congregation, which is very young and growing rapidly. A Task Force on Growth was formed and has projected over 4,000 members by the Year.2000. They had experienced space problems at the former site on Maple. Island Road and purchased the 22-acre site on Ipava Avenue and County Road 46 in 1992. From the first inquiry about the site, he stated, they knew there would be commercial development to the north, probably with a motor fuel station. The City had required that they build 163rd Street, directly across from the southern access to Crystal Lake Elementary School. Outlot A was created as a result of the placement of the road. In 1997, another building committee was formed in anticipation of acquiring 36 acres to the west for an addition to their facility and development of a Church Youth Center. He stated that they will be connecting 163rd Street with County Road 46 in concert with the Winkler group and Yocum Properties, LLC, and are asking that they be able to sell Outlot A to the Yocum group. In closing, he stated they have had a strong working relationship with the Winkler and Yocum groups. Mr. Sobota provided historical context of the development in this area in relation to zoning and land uses. Theproperty was zoned for commercial CITY OF LAKEVILLE COUNCIL MEETING MARCH 16, 1998 PAGE 8 development. in 1974, prior to construction of the Crystal Lake Elementary School Due to the fact that the School District needed additional land when the school was built, Ipava Avenue was shifted to the west at that location. As a part of the Crystal Lake Elementary School site acquisition, an agreement was reached with the Winkler Group to rezone the property to B-4. By 1990, Crystal Lake Elementary School had been constructed, and this area remained B-4 zoning. In 1993, a study was conducted and recommended motor fuel and convenience stores be allowed in the B-2 District by conditional use permit. The property owner accepted the down-zone of the easterly one-third of the property from B-4 to B-2 based on the zoning ordinance amendment. Subsequently, the zoning ordinance requirements pertaining to convenience stores with gasoline sales and/or car washes were amended in 1997 following a nine month moratorium. Yocum Oil is the first facility to be processed under the newly adopted Fuel Facilities Study. Ordinances were upgraded with regard to minimum lot area, architectural standards, canopy height and facia limited to 36 inches in width, lighting required inside the canopy, which reduces glare to the neighborhood, limited signage, drainage from the fuel facility through an oil and water separator, landscaped area required. to be 25% of the lot, exterior lighting limitations, no public address system, no outside storage,. monument sign no taller than 15 feet, and the hours of operation restricted to 5 a.m. to 11 p.m. The purpose of the conditional use permit, Mr. Sobota explained, is to determine whether the applicant has complied with the established requirements. Mr. Tim Yocum, Yocum Oil. Company, presented their proposal for a convenience store and motor fuel facility, a.k.a. Ipava Marketplace.. He talked about the affects of Lakeville's moratorium on motor fuel facilities, which, have forced them to change how they do business. They are a family owned business and have a strong. reputation for high quality facilities. They have other stores in neighborhood settings in Maplewood, Inver Grove Heights, Cottage Grove, Eagan and Jordan. He stated they have either met or exceeded all City ordinances with regard to this project. Mr. Tony Yocum addressed the issues that were expressed by area residents at the Planning Commission's public hearing., specifically the tatement that this facility will bring traffic from greater distances outside the immediate area. He explained that in a neighborhood store, 86% of the customers will typically either work or live within a one mile radius of the facility, thereby capturing the: traffic that is already there. In response to concerns regarding delivery of gasoline to the site, they-have agreed to delivery of motor fuel only between the hours of 3:00 p.m. and 7:30 a.m., which are non-school hours. He explained that the EPA has set high standards for petroleum facilities, including CITY OF LAKEVILLE COUNCIL MEETING MARCH 16, 1998 PAGE 9 retail facilities, in relation to environmental control, and their facilities either meet or exceed those standards. He stated there will be security cameras in the store and car wash, and outdoor cameras to monitor the front parking area as an additional measure of security. He further stated that Texaco is a major sponsor of Child Watch, a national organization that identifies finger prints for children, and they plan to have a Child Watch program set up in all their stores. Mr. Dempsey provided an overview of the application of Hosanna! Lutheran Church for an expansion to their existing building at 9600 - 163' Street, including the extension of 163' Street. The Planning Commission recommended approval of the conditional use permit subject to eighteen stipulations. Mr. Dempsey then provided an overview of the application of Yocum Oil Company for the preliminary and final plat of Ipava Marketplace Addition, conditional use permit to allow the construction of a convenience store with motor fuel sales and car wash, and the vacation of a drainage and utility easement. He explained that access to the site will be from 163rd Street and a right-in and right-out on Ipava Avenue. A north-south street connection will be constructed between 163rd Street and County Road 46 on the west side of Outlot A, Ipava Marketplace, which will be a right-in and right-out only. The Planning Commission recommended approval of the proposed preliminary and ..final plat, conditional use permit and. easement vacation with a number of stipulations. Yocum Oil Company has submitted revised plans which comply with all. staff and Planning Commission recommendations. Mr. Dempsey stated the proposed Ipava Marketplace preliminary and final plat and Yocum Oil Company conditional use permit meet the requirements of the zoning ordinance and comprehensive plan. Staff recommends approval... City Engineer Keith Nelson presented a resolution approving plans and specifications and setting a bid date for the widening of Ipava Avenue on the west side from 165th Street to County Road 46. Improvements include the widening of Ipava Avenue to provide for two left turn lanes for northbound traffic, a northbound right turn lane, two through southbound lanes and a concrete median. He explained that according to ISD 194 officials, school busses at Crystal Lake Elementary School utilize the south entrance, and they are not opposed to the median. Mayor Zaun opened the meeting to questions or comments from the audience. Ken Kossack, 16139 Inverness Way, voiced concern with regard to semi delivery of fuel to the store, pointing out that children don't get out of school. CITY OF LAKEVILLE COUNCIL MEETING MARCH 16, 1998 PAGE 10 until after 3 p.m. He asked why the site is appropriate for a convenience store if it was not a good location for a liquor store. He asked who is going to pay for the extension of 163rd Street, and he asked about the exact height of the proposed median on Ipava Avenue. He also expressed concern with Yocum's plan to sell Baskin Robbins ice cream at the convenience store, which will create an additional attraction to children. John Peterson, 9140 163rd Street West, expressed concern with children walking to school and the increased traffic this facility will create. Barb Ryan, 16140 Ingelwood Drive, expressed concerns regarding increased traffic, hours of operation of the convenience store, and safety of children walking to school David Markowitz, 9137 161St Street West, expressed concern regarding safety of children and the potential for increased .crime and. gang activity in the area because of the convenience store. Lacey Cobb, 161.52 Interlachen Boulevard, expressed concern regarding safety of children who attend Crystal Lake Elementary School Rich WendorFf, 16200 Inglewood Drive, asked if there was a needs analysis done for this area with regard to a gas station. He stated it is a well known fact throughout the metro area that gang members are using convenience stores to recruit children. He also stated there are. special education busses that use the north driveway at Crystal Lake Elementary School Debbie Cobb, 16152 Interlachen Boulevard, expressed concern regarding safety of children who have to walk to and from school because they are not bussed. She felt that parents will no longer want their children walking to school, which will cause more motor vehicle traffic congestion at the school She felt that the parking spaces at the convenience store, which will face the school, will serve as a place for child abductors to sit and watch children at the school Jack Akenson, 10075 161St Street, stated he felt the Yocum project is a .good one; however, he feels they are putting it in the wrong location.. He pointed out that there will be other vehicles besides gasoline trucks making frequent deliveries to the convenience store. He felt that children will be buying junk food, pop and tobacco at this convenience store,. further stating he sees minors buying tobacco almost daily at the Kwik Trip and SuperAmerica on Kenrick Avenue. He stated that if the Council votes in favor of this convenience store, CITY OF LAKEVILLE COUNCIL MEETING MARCH 16, 1998 PAGE 11 the. City will be held accountable. He also addressed Pastor Bohline, asking him to reconsider his position on this matter. Becky Peterson, 9140 163~d Street West, expressed concern regarding safety of children. Glenn Sayer, .16135 Inglewood Drive, asked questions regarding the size of gas price signs, hours of operation and fuel delivery and whether these would be made a part of the conditional use permit. Tim Wheatley, 16435 Iris Court, expressed concern regarding gas stations near schools. He asked if motorists will be able to take a left turn out of Crystal Lake Elementary. He also asked what happens when a convenience store goes out of business. 98.61 Motion was made by Sindt, seconded by Mulvihill to extend the Council meeting beyond the 10:30 adjournment time. Roll call was taken on the motion. Ayes, Ryan, Zaun, Sindt, Mulvihill, Holberg. The City Council considered the appropriateness of tabling Items 12 and 13 to allow time for staff and Yocum Oil representatives to address the questions raised by the residents. Mr. Erickson stated that due to the time lines required .under State law, the applicants would have to agree to the Council tabling a decision on these items. Mr. Tarell Friedley, attorney for Hosanna! Lutheran Church, stated they would not be willing to consent to tabling their item until the next Council meeting. The City Council asked the City-Attorney if the Hosanna! matter could be acted on if the Ipava Marketplace matter is tabled. Mr. Knutson recommended that since the Hosanna! Lutheran Church and lpava Marketplace items are inter- related with regard to the access off of County Road 46, property changing hands and platting, they should be considered together. In response to a question from the audience, Councilmember Sindt stated the Yocum site had never, to her knowledge, been considered by the City for a liquor store. She asked if the convenience store will be limiting the number of children allowed in the store atone time. Mr. Yocum stated they do not permit loitering inside or outside their stores. CITY OF LAKEVILLE COUNCIL MEETING MARCH 16, 1998 PAGE 12 Councilmember Mulvihill clarified that Ipava Avenue has always been scheduled to be a main north/south corridor (high density minor arterial/parkway) and is not being widened just because of this development. She stated she feels confident that Mr. Yocum will adhere to the fuel delivery hours during non-school hours, whatever those hours may be. She stated it is unfortunate that citizens had to state their-cases regarding the safety oftheir children with certain threats or innuendoes. She explained that the role of the City Council is to determine whether the application meets the requirements of the City's zoning ordinance and not whether there is a market demand for another gas station. She stated she is very in tune with what is going on with the gang culture and doesn't personally feel there is a .major concern with convenience stores recruiting children to gangs, pointing out that it can happen just as easily in schools and parks. She asked the Chief of Police if there have been problems or increase in crime with the Kwik Trip and McDonald's on Dodd Boulevard in relation to their proximity to Lake Marion Elementary School Chief Martens stated that in anticipation of this question, the Police Department researched the calls from that area and found nothing remarkable due to the location of the convenience store or McDonald's near the elementary school Mr. Erickson explained that the primary element of the parkway section on Ipava Avenue is to control speed and maintain a high level of aesthetics in the adjoining residential neighborhoods. He pointed out that in order for the City to get Federal and State funding for the County Road 46 interchange, the project was approved with the condition that Ipava Avenue be extended from County Road 46 to Highway 50. .Councilmember Ryan asked about the number of lanes proposed for Ipava Avenue and the number of turn lanes off of County Road 46 to 163rd Street. Mr. Nelson stated Co. Rd. 46 has five lanes of traffic with six to eight foot shoulders. Ipava Avenue wilt also have. five lanes with no shoulders. Mr. Erickson stated City staff contacted the School District and Schmitty & Sons Bus Company, who both indicated that they have no concerns with the change in the roadway. Councilmember Ryan asked the Chief of Police to comment regarding the negative affects of a convenience store being located near an elementary school Chief Martens stated he was not sure where the residents were getting information regarding crime at convenience stores, but it is not coming. from the CITY OF GAKEVILLE COUNCIL MEETING MARCH 16, 1998 PAGE 13 Lakeville Police Department. He stated he does not know of a single gang recruitment at a convenience store or of a single child that has been stalked by a pedophile at a convenience store. He stated the Lakeville stores are in compliance with local ordinances regarding the sale of tobacco to minors. He pointed out that a larger problem they have is with adults buying. cigarettes and selling them to minors, which is how three-quarters of the children are getting cigarettes. Mr. Erickson explained that the City is only paying for moving of the signal on County Road 46, construction of the median and the extra. left turn lane, which is being done as a result of increasing levels of traffic unrelated to this development. He further explained that the height of the median will be consistent with others in the city. Mayor Zaun explained that no conditional use permit would have been needed had this been just a convenience store. The conditional use permit is required only for a motor fuel. facility and car wash, which allows the City to attach conditions. He cited recent court case rulings in other cities where convenience stores were denied due to neighborhood protest. The fact that community members oppose the land owner using his land for a particular purpose is not legally sufficient reason for denying a conditional use permit. He urged parents to share in the responsibility of keeping the. area safe. He stated he has concerns for traffic in that area and would propose that a thorough traffic analysis be done prior to any future commercial development adjacent to this property. Mr. Erickson stated the Dakota County traffic engineer witnessed a very dangerous situation near Crystal Lake Elementary School whereby children were not using the pedestrian crossing and running across County Road 46. The traffic engineer will be sending a letter to Superintendent Wahlstrom indicating it may be necessary to provide adult crossing guards at this location. He also indicated that the County will install advance warning signs immediately. Mayor Zaun asked if the school district has a policy to provide bussing for students across County Road 46. Mr. Erickson stated according to information he received from the school district, bussing is available. Mayor Zaun suggested a school speed zone sign be posted north of 165th Street near the school for motorists traveling north on Ipava Avenue.. CITY OF LAKEVILLE COUNCIL MEETING MARCH 16, 1998 PAGE 14 Mr. Dempsey responded to the question regarding the size of gas price signs, which are limited to 16 square feet. Councilmember Holberg explained that regardless of what happens with this proposal, the safety issue on County Road 46 and Ipava Avenue needs to be addressed. Improvements are driven by the traffic that is already there. She also felt that there are safety issues that need to be dealt with at the school district level. It is ironic,. she stated, that the commercial zoning at this corner occurred as the result of a land trade tha# made Crystal Lake Elementary School possible. She pointed out that Lakeville has the toughest standards for convenience stores in the metro area, and Yocum Oil has met all those standards.. She stated she cannot personally identify a legally defensible way to vote against this application and would not want to waste taxpayers money in court. Councilmember Ryan acknowledged the petitions and phone. calls received from the residents. He stated he agrees with Councilmember Holberg, except. he is convinced this area can live without another gas station. However, the facts are stacked up in favor of Yocum Oil, which is an excellent company, and he stated he personally looks forward to using this facility. He voiced his concern over the traffic problems on County Road 46 and Ipava Avenue, but stated he is convinced that the increased traffic flows and congestion will be lessened by the systems before the Council this evening. .Councilmember Mulvihill. explained that the marketing strategy is a risk that Yocum Oil has to take. The City Council is not in a position to determine that strategy. She stated she feels there is no way the Council can deny the application. Councilmember Sindt stated she feels it is the responsibility of parents to teach their children what is appropriate, and they need to be taught that it is not appropriate to walk across County Road 46 at that particular location. Mayor Zaun indicated he would like to add a couple conditions to the conditional use permit. One would involve the motor fuel delivery times. A suggestion was made to only allow fuel delivers between 7 p.m. and 6 a.m. Mr. Yocum agreed to that. condition. Mayor Zaun also suggested a condition be added requiring .posting of directional signs on the commercial site. Since the two projects are inter-related, the City Attorney recommended that the City Council act on Items 12 and 13 in one motion. • CITY OF LAKEVILLE COUNCIL MEETING MARCH 16, 1998 PAGE 15 98.62 Motion was made by Sindt, seconded by ..Mulvihill to receive the Planning Commission's Findings of .Fact and Recommendation and approve a conditional use permit amendment for Hosanna! Lutheran Church to allow the construction of an addition onto the existing church located at 9600-163rd Street West; and receive the Planning Commission's Findings of Fact and Recommendation. and approve Resolution No. 98-44 vacating a drainage and utility easement, Resolution No. 98-45 approving the preliminary and final plat of Ipava Marketplace; a conditional use permit to allow the construction and operation of a convenience store, gasoline station and car wash south of County Road 46 and west of Ipava Avenue, including two additional conditions prohibiting motor fuel deliveries between the hours of 6:00 a.m. and 7 p.m. and requiring the installation of .directional signage on the site to .guide on-site traffic toward north-bound Ipava Avenue; and Resolution No. 98-46 approving plans and specifications and setting a bid date for Ipava Avenue widening from 165th Street to County Road 46, Improvement Project 98-9. Roll call was taken on the motion. Ayes, Zaun, Sindt, Mulvihill, Holberg. Nays, Ryan. Councilmember Ryan stated he feels the City does not need another gas station. . Mayor Zaun recessed the meeting. at 11:50 p.m. and reconvened at 11:58 p.m. 98.63 Motion was made by Sindt, seconded by Mulvihill to direct staff to meet with ISD 194 officials regarding its current bussing policy for Crystal Lake Elementary School and further~discuss pedestrian safety issues for the County Road 46 and Ipava Avenue crossings. Roll call was taken on the motion. Ayes, Sindt, Mulvihill, Holberg, Ryan., Zaun. 98.64 Motion was made by Holberg, seconded by Mulvihill to direct that a traffic study be prepared prior to the issuance of a building permit for future commercial. development on the property west of Ipava Avenue. Roll call was taken on the motion. Ayes, Mulvihill, Holberg, Ryan, Zaun, Sindt. ITEM 14 Mr. Nelson presented the proposed 1998-2002 Capital Improvement Plan and highlighted some of the more significant projects proposed. (See Capital Improvement Pian, 1998-2002, dated March, 1998, on file in the City Clerk's office. ) CITY OF LAKEVILLE COUNCIL MEETING .MARCH 16, 1998 PAGE 16 Mr. Feller reviewed the primary funding sources for the projects described in the CIP as follows: special assessments to benefiting properties, public works reserve fund, storm sewer trunk fund, water trunk fund, sanitary sewer trunk fund, park and trail dedication fund and other revenue anticipated from the State and County in conjunction with signalization of major intersections. Three projects are proposed to be financed with the issuance of state aid revenue bonds. They are Pilot Knob Road from County Road 46 to 170th Street, County Road 46 from Pilot Knob to, TH 52 and Cedar Avenue from Dodd to County Road 70. Permanent bonds will be issued in 2000 to refinance the temporary bonds issued in 1997. Lakeville's per capita debt is expected to decrease at a steady rate over the next five years to $915 per capita in the year 2002. Mr. Feller explained that the CIP includes a list of "non-programmed" projects which will not be undertaken unless the CIP is revised by the City Council These projects are primarily for new infrastructure improvements and will be monitored until such time as they are deemed necessary to,proceed with implementation. If any of the "non-programmed" projects are approved. during the next five years, the City will need to issue debt to finance construction.. Zaun asked what the City's per capita debt was in 1997, Dennis stated it was approximately $1,200 per capita. Councilmember Ryan pointed out that the new urbanism study was not to be included in the 1998 budget. Mr. Erickson stated that item. is not included in the CIP and should have been deleted from Mr. Feller's cover memo dated March 13, 1998. Mr. Feller will make the correction. 98.65 Motion was made by Mulvihill, seconded by Holberg to approve Resolution No. 98-47 adopting a Capital Improvement Program for 1998-2002. Roll call was taken on the motion.. Ayes, Holberg, .Ryan, Zaun, Sindt, Mulvihill. ITEM 15 Mr. Sobota presented a proposed ordinance amending Section 45 of the zoning ordinance concerning the Floodplain Overlay District. He stated the .ordinance amendment is required due to the revisions to the Flood Insurance Rate Map and the Flood Insurance Study for Lakeville initiated by the City and recently approved by the Federal Emergency Management Agency (FEMA). The revisions were requested because recent City improvements to the storm sewer system have eliminated potential flood impacts in various areas of the CITY OF LAKEVILLE COUNCIL MEETING MARCH 16, 1998 PAGE 17 i .City. The Planning Commission recommended approval of the ordinance amendment. 98.66 Motion was made by Sindt, seconded by Mulvihill to adopt Ordinance No. 625 amending Section 45 of the Lakeville Zoning Ordinance concerning the Floodplain Overlay District. Roll call was taken on the motion. Ayes, Ryan, Zaun, Sindt, Mulvihill, Holberg. ITEMS 7A and 7M Councilmember Ryan stated there is a payment on the check register to BCM Construction for the Boulder Village 1st Addition. He asked abouf the status of .this project and status with regard to default. Mr. Feller explained that the City drew upon the letter of credit for Boulder 1st Addition and immediately proceeded to pay the delinquent taxes and special assessments against the parcels in the project, as well as the delinquent accounts receivable. There was sufficient money in the letter of credit to pay off the amount due to the primary contractor, BCM Construction, which was a condition of the development contract. Mr. Knutson added that payment would be subject to release of a mechanics .lien. Mr. feller stated there is still $161,952 in escrow from the letter of creditto pay any additional obligations on the project. 98.67. Motion was made by Holberg, seconded by Sindt to approve the claims for payment and final acceptance of public utilities and street improvement of Innsbrook Drive in Boulder Village 1st Addition. Roll call was taken on the motion. Ayes, Zaun, Sindt, Mulvihill, Holberg, Ryan. ITEM 7G Councilmember Ryan asked for an explanation of this program. Mr. Hennen provided an .overview of the community clean-up day, scheduled for April 18, 1998, and the collection of household hazardous waste at the park maintenance building as part of clean-up day. Mr. Erickson stated he and Mr. Hennen met with Dakota County officials and suggested a joint venture wi#h the cities of Burnsville and Apple Valley for two collection dates of household hazardous waste in each community, now that the Aptus site is no longer. available for monthly collection. i CITY OF LAKEVILLE COUNCIL MEETING MARCH 16, 1998 PAGE 18 98.68 Motion was made by Holberg, seconded by Mulvihill to approve a Joint Powers Agreement between the County of Dakota and the City of Lakeville for household hazardous waste. collection on April 18, 1998. Roll call was taken on the motion. Ayes, Sindt, Mulvihill, Holberg, Ryan, Zaun. ITEM 7Q Councilmember Holberg asked about the process, time line and selection of a team leader and whether the selection will be made by the City or County. Mr. Erickson stated staff will contact Charlotte Shover of the Dakota County Environmental Education Program, and the information will be forwarded to the Council at the next work session. 98.69 Motion was made by Holberg, seconded by Sindtto table consideration of the City's participation in the Dakota County Environmental Education Wetland Evaluation Project until the April 6th Council meeting. Roll call was taken on the motion. Ayes, Mulvihill, Holberg, Ryan, Zaun, Sindt. ITEM 16 98.70 Motion .was made by Sindt, seconded by Mulvihill to set a Council work session for Wednesday, April 1St at 6:00 p.m. Roll call was taken on the motion. Ayes, Holberg, Ryan, .Zaun, Sindt, Mulvihill UNFINISHED BUSINESS None NEW BUSINESS Mr. Erickson provided information regarding recent decisions by Frontier Communications and US West Communications to delineate service .boundaries according to service provider telephone exchange boundaries rather than corporate community boundaries. As a result, approximately 800 Lakeville residents would be required to .use the new 615 area code. He recommended that a letter be sent to the Minnesota Public Utilities Commission urging the Commission to uphold its previous decision. and maintain the original boundaries that would leave the entire community of Lakeville in the 612 area code. CITY OF LAKEVILLE COUNCIL MEETING MARCH 16, 1998 PAGE 19 • 98.71 Motion was made by Mulvihill seconded by Sindt to authorize Mayor Zaun to send a letter urging the Minnesota Public Utilities Commission to uphold its original decision to require division of the telephone area codes along corporate community boundaries. Roll call was taken on the motion. Ayes, Ryan, Zaun, Sindt, Mulvihill, Holberg. ANNOUNCEMENTS: .Next regular Council meeting, April 6, 1998 Special Council meeting, April 7, 1998 Council work session, March 18, 1998 Mayor Zaun adjourned the meeting at 12:47 a.m. Respectfully submitted, Charlene Friedges, C' Clerk Du ne Zaun, Ma or