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HomeMy WebLinkAbout10-20-97 ~ _ CITY OF LAKEVILLE COUNCIL MEETING OCTOBER 20,1997 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 Johnson, 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; L Gustafson, Assessment .Clerk; D. Volk, Director of Operations & Maintenance; C. Friedges, City Clerk. MINUTES The minutes of the October 6, 1997, City Council meeting and the September 22, 1997, Council work session were approved as presented. STAFF ANNOUNCEMENTS: ATTORNEY: Mr. Knutson presented an Easement Agreement with CP Railway for the Klamath Trail multi-purpose bituminous pathway, Improvement Project 96- 9. He also presented a resolution authorizing condemnation of property for trail easement purposes. Mr. Knutson asked the Council to consider these items under New Business (Items 14a and 14b). ENGINEER: Mr. Nelson reported that staff held an informational meeting at 6:30 p.m. for residents who had questions regarding the sealcoating assessments. One resident attended the meeting. ADMII~TISTRATOR: Mr. Erickson provided a corrected memorandum and resolution for Item 9. He also provided a corrected conditional use permit for Item 12. CHIEF OF POLICE: Chief Martens presented the September, 1997, Police Department monthly report. PARKS & RECREATION DIRECTOR: Mr. Michaud presented the September, 1997, Parks & Recreation Department monthly report. CITY OF LAKEVILLE COUNCIL MEETING OCTOBER 20, 1997 PAGE 2 PRESENTATIONS/INTRODUCTIONS: Mayor Zaun read the proclamation for Voice of Democracy Week. Gene & Betty Monson, Chairs of the Voice of Democracy contest, Commander Greg Emmons of VFW Post 210 and President Elly Emmons of the Ladies Auxiliary accepted the proclamation. 97.180 Motion was made by Johnson, seconded by Mulvihill to proclaim November 3-8 as Voice of Democracy Week in Lakeville. Roll call was taken on the motion. Ayes, Johnson, Zaun, Sindt, Mulvihill, Holberg. Jeff Lueders introduced Stephanie Larsen, Production Assistant for the Cable Department. CITIZENS' COMMENTS: Mr. John Boland, 10241-205th St. W., stated there are telephone poles along 205th Street in the area of the new theater where the road was widened that sit only six to eight feet off the street. He asked if they are going to be moved. Mr. Erickson stated the City Engineer is obtaining quotes from the • telephone company to remove the poles and overhead lines. CONSENT AGENDA Councilmembers added items 11, 14a and 14b to the consent agenda. 97.181 Motion was made by Johnson, seconded by Mulvihill to approve the consent agenda items as follows: a. Claims for payment. b. September Investment Report. c. Receive minutes of the following advisory committee meetings: Environmental Affairs Committee, September 30, 1997 Parks & Recreation Committee, October 1, 1997 Planning Commission, October 2, 1997 Ice Arena Advisory Committee, October 1, 1997 d. .Resolution No. 97-230 authorizing the sale of assets. e. Contract Addendum. with Reisinger Lawn Care Service for landscape . maintenance. CITY OF LAKEVILLE COUNCIL MEETING OCTOBER 20, 1997 PAGE 3 f. Resolution No. 97-231. awarding contract for rehabilitation of Well No. 6, Improvement Project 97-21. g. Change Order No. 6 with Bor-Son Construction for the water treatment plant, Improvement Project 94-2. h. Temporary Construction Easement with Avanti Petroleum for the reconstruction of CSAH 50 (202nd Street), Improvement Project 94-1. i. Special assessment agreement with Craig Jensen, 10561-202nd Street W. j. Resolution No. 97-232 calling a public hearing on proposed assessments for weed and grass. removal. k. ..Senior citizen 1998 assessment deferments for James Brooke, Geraldine Pfarr and Lillian Sweno, Rhena Benolkin, Dorraine Dircks and Arlene Helkenn. 1. Resolution No. 97-233 accepting donations to the DARE program. . m. Resolution No. 97-234 accepting donation to the Senior Center from Lutheran Brotherhood. n. Resolution No. 97-235 approving a gambling permit for the Bloomington Lions Club. o. Contract with the State Department of Administration, Building Codes and Standards Division, for plan review and inspection of the Lakeville High School addition. p. Real Estate Purchase Agreement with Lakeridge Properties for property located east of Interstate 35 and south of 185th Street. q. Call a public hearing for November 17, 1997, at 7:00 p.m. to consider increasing license fees for the sale of alcoholic beverages. r. Final payment to Friedges, Inc. for Phase II park bond referendum projects,- City Improvement Projects 96-4 and 96-5. s. Final payment to God's Country Nursery & Design for landscape improvements at 161st Street and Ipava Avenue, Improvement Projects 95-5 and 91-2. CITY OF LAKEVILLE COUNCIL MEETING OCTOBER 20, 1997 PAGE 4 t. Resolution No. 97-236 vacating an existing trailway easement in Greenwood .Estates. u. Resolution No. 97-237 electing to continue participating in the Local Housing Incentives Account Program under the Metropolitan Livable Communities Act, Calendar Year 1998. 11. Receive the Planning Commission's Findings of Fact and Recommendation and approve a conditional use permit to allow a second curb cut access and placement of fill within the floodplain on property located at 16695 Gerdine Path. 14a. Easement Agreement with Canadian Pacific Railway for Klamath Trail multi- purpose bituminous pathway, Improvement Project 96-9. 14b. Resolution No. 97-241 authorizing condemnation of property for trail .easement purposes. Roll call was taken on the motion.. Ayes, Zaun, Sindt, Mulvihill, Holberg, Johnson. ITEM S Mayor Zaun opened public hearing on the proposed assessments for sealcoating of District 2B, Improvement Project 97-2. The City Clerk attested to legal notices being duly published and mailed. The City Engineer presented the proposed sealcoating project assessments for District 2B. He explained that District 2B is the area east of Highview Avenue, west of Cedar Avenue, north of 175th Street and south of 160th Street. All city streets are proposed to be sealcoated once every seven years, with the exception of newer streets completed within the last two years. Mr. Nelson explained that the final project cost for District 2B sealcoating is $418,787. Included in the final contract amount is an additional $104,821 for Kenyon Avenue overlay work not associated with the District 2B sealcoating. Mr. Nelson explained that City policy is to finance one-half the cost of sealcoating, overlay and patching by special assessing the benefited properties. The remaining one-half, along with crack sealing, is paid by property tax levies. Curb repair is financed by the City's public works reserve fund, and catch basin repair and drain the is financed from the trunk storm sewer fund. The total amount being assessed is CITY OF LAKEVILLE COUNCIL MEETING OCTOBER 20, 1997 PAGE 5 • $152,654.25. The residential unit assessment is $104.26 or $100.26 if prepaid within 30 days of this public hearing. Dennis Feller explained that assessments are proposed for a two year period at 7.2% interest. The first year's interest is calculated. from the time the assessment is adopted through December 31, 1998. He explained that property owners who are at least 65 years of age or are unemployed due to a disability may apply for a senior citizen assessment deferment. There were no questions or comments from the audience. 97.182. Motion was made by Johnson, seconded by Holberg to close the public hearing . Roll call was taken on the motion. Ayes, Sindt, Mulvihill, Holberg, Johnson, Zaun. 97.183 Motion was made by Sindt, seconded by Mulvihill to approve Resolution No. 97- 238 adopting assessments for Improvement Project 97-2, District 2B sealcoating. Roll call was taken on the motion. Ayes, Mulvihill, Holberg, Johnson, Zaun, Sindt. ITEM 9 Mayor Zaun opened the public hearing on the proposed construction and financing of the Lakeville Ames Arena second sheet of ice. The City Clerk attested to legal notice being duly published. Mr. Feller provided an overview of the proposed project, which would be located immediately east of and attached to the primary arena. The buildings would be connected with a common corridor. The second sheet of ice is proposed to be regulation size, rather than Olympic size as currently exists in the primary arena. It would have asand-base rather than a concrete floor. The second sheet of ice is proposed to cost approximately $2,125,000. Mr. Feller presented the proposed construction budget for the ice arena project as follows: General Obligation Revenue Bonds $1,135,000 Mighty Ducks Grant 250,000 LHA and LCC Contributions 250,000 City of Lakeville and area cities/townships 250,000 Independent School District 194 Changing rooms $115,000 Land 50,000 Parking lot 60,000 225,000 CITY OF LAKEVILLE COUNCIL MEETING OCTOBER 20, 1997 PAGE 6 i Ice Arena Construction Fund 15,000 Total $2,125,000 Mr. Feller pointed out that the LHA has agreed to provide $35,000 to directly offset the bond issuance costs and approximately $98,000 for architectural services to prepare plans and specifications. ISD 194 currently owns the land immediately east of the ice arena. The arena would share the use of the parking lot constructed by the School District, which is an integral part of the Senior High School expansion protect. Assuming all financial commitments are achieved, it is anticipated that construction of a second sheet of ice would be completed by mid-August, 1999. Mr. Erickson read a letter from Patrick G. Harvey expressing his support of the proposal for a second sheet of ice at Lakeville Ames Arena. Mr. Erickson also read a letter dated September 24, 1997, from Kirk Detlefsen, President of the Lakeville Hockey Association, regarding the financing and construction timeline for the second sheet of ice and another letter from the Lakeville Hockey Association dated September 23, 1997, regarding the proposed expansion of the "Learn to Skate Program", public skating during "Prime Time" and development of adult leagues if the Lakeville Ames Arena is expanded. Mr. Erickson also read a letter from Michael Wafters, President of the Lakeville Community Corporation, regarding endorsement by the LCC of a second sheet of ice at Lakeville Ames Arena. 97.184 Motion was made by Sindt, seconded by Mulvihill to receive the letter from Patrick G. Harvey, two letters from the Lakeville Hockey Association dated September 23rd and September 24th and the letter from the Lakeville Community Corporation, all endorsing the proposal for a second sheet of ice at Lakeville Ames Arena. Roll call was taken on the motion. Ayes, Holberg, Johnson, Zaun, Sindt, Mulvihill. Mr. Kirk Detlefsen and Mike Watters thanked the Council for consideration of this proposal. They commended the City for its cooperation in this unique joint partnership to construct and .operate the Lakeville Ames Arena and its endorsement of the expansion of this facility so that the entire community can utilize and enjoy it. Mr. JohnBoland, 10241 205th Street West, asked about the proposed parking lot being provided by the School District for the ice arena and whether the City should pick up the costs for it. Mr. Erickson explained that when the original site plan was approved for the Lakeville High School, the site included space for future expansion of the classroom area and an additional. gymnasium. The City was well aware at that time of the .CITY OF LAKEVILLE COUNCIL MEETING OCTOBER 20, 1997 PAGE 7 need for additional parking to meet the ordinance requirement.. The School District plans to add 122 parking stalls with the proposed high school expansion, which meets the ordinance requirement and augments the overall development of the site. Councilmember Sindt asked what the debt service costs are for the bonds issued in 1992 for the first sheet of ice and the cost of the proposed bonds for the second sheet of ice. Mr. Feller explained that the average debt service for the 1992 bonds is approximately $133,000 per year. Under the Memorandum of Understanding, the LHA provides a minimum of $70,000 per year from pull tab operations. The balance of $65,000 comes from operations. He pointed out that the LHA has exceeded their contributions each year and are consistently contributing approximately $95,000 to $96,000 annually. The debt on the second sheet of ice is approximately $99,000. Funding for that debt service would come from the excess in LHA pull tabs ($25,000 to $26,000 per year) plus revenue from operation of the second sheet of ice. Councilmember Sindt asked what the annual maintenance costs are expected to be. Mr. Feller stated the maintenance will be approximately $180,000 per year, which includes the debt service, for the second sheet of ice. only. Maintenance and debt service on both sheets will be approximately $550,000 per year. The bonds from the original issue will mature in the year 2014. Councihnember Sindt asked how the project would be financed if something should happen to the grant or any of the anticipated funding sources. Mr. Feller stated the LHA and LCC have agreed to provide funding to offset any increased construction costs or loss of Mighty Ducks grant revenue. Mr. Erickson stated that if pull tab revenue is not achieved, the costs would be offset by increased ice rentaUfacility usage due to the conservative projections utilized in the financial analysis. Councilmember Sindt asked if a condition providing for availability of ice time for the learn to skate program and public skating will be included in the agreement. Mr. Feller stated the lease and sub-lease agreements with the City and HRA will be amended to include those terms and conditions. Councilmember Johnson recognized the cooperative effort between the City, LHA, LCC and School District and complimented those groups who have worked on this project. Councilmember Sindt asked staff to explain the reverse referendum process that is available to the citizens if they are opposed to this project. CITY OF LAKEVILLE COUNCIL MEETING OCTOBER 20, 1997 PAGE 8 Mr. Erickson explained that under the Mighty Ducks legislation, residents could submit a petition requesting a referendum with regard to the issue. An article explaining this procedure was printed in the Lakeville Life & Times. Mayor Zaun pointed out that the debt service on the first sheet of ice could be reduced after the Year 2000, as the bonds are callable at that time. Mr. John Boland asked where the City's $250,000 and School District's $225,000 is coming from. Mr. Erickson explained that the Mighty Ducks Grant requires that each of the .parties demonstrate what they are contributing to the project. The land the school district owns adjacent to the arena is green space, which has the capacity for the second sheet. A value was placed on the land in order for the school district to receive credit for their contribution. The parking lot was included in the school district's referendum to accommodate the senior high school expansion. The parking lot will also be available for stadium and arena parking. The City's share of the project will most likely be provided from Liquor Fund operations, not property taxes. There were no further comments or questions from the audience. 97.185 Motion was made by Johnson, seconded by Holberg to close the public hearing. Roll call was taken on the motion. Ayes, Johnson, Zaun, Sindt, Mulvihill, Holberg. 97.186 Motion was made by Sindt, seconded by Mulvihill to approve Resolution No. 97- 239 approving a second ice arena facility and its financing; and approve Resolution No. 97-240 authorizing submittal of an application to the Minnesota Amateur Sports Commission for a Mighty Ducks Grant . Roll call was taken on the motion. Ayes, Zaun, Sindt, Mulvihill, Holberg, Johnson. ITEM 10 Mr. Earl Nelson, representing McNeilus Financial, Inc. and Sterling State Bank, requested Council consideration of a proposed ordinance rezoning property east of Kenrick Avenue and south of 162nd Street (CSAH 46) to allow construction of a new bank. Mr. Sobota presented the proposed rezoning of Lot 7, Block 1, Jackson's First Addition, from R-2, Single Family Residential District, to B-4, General Business CITY OF LAKEVILLE COUNCIL MEETING OCTOBER 20, 1997 PAGE 9 District. Sterling State Bank is proposing to construct a building on Lots 6 and 7, Block 1, Jackson's First Addition. Lot 6 is currently zoned B-4. He explained that in 1995 the City conducted a land use study of the County Road 46/I-35 area, and Lot 7 has been guided for commercial development in the City's Comprehensive Plan. Mr. Sobota stated staff worked with Sterling Bank representatives to prepare a site plan that reflects good circulation, including a shared driveway access with the Kwik Trip facility, and respects the natural environment of the site. The revised grading and landscape plans have been amended to include the required tree protection plan and improvements to the screening on the southeast corner of the site. The Planning Commission added a stipulation to the October 10, 1997, planning report requiring the developer to install and maintain a street barricade at the easterly terminus of 164th Street to City standards until future extension of that street. A neighborhood meeting was held by bank representatives. Mr. Sobota stated bank representatives were very responsive to the neighborhood, and residents in attendance appeared to be satisfied that their concerns regarding driveway access, screening and landscaping had been addressed. Staff recommends approval of the rezoning from R-2 to B-4. • Mr. John Boland asked about the difference between this project and a proposed Holiday Stationstore project on Mr. Hoffls property. Mr. Erickson indicated that this parcel is not the parcel owned by Mr. Hoff. He indicated that there was, at one time, some interest in Mr. Hoff's property by Sterling Bank. Councihnember Holberg asked about 164th Street possibly being turned into a cul- de-sac, and whether staff took a look at the exact location of the cul-de-sac with regard to the location of the bank's landscaping. Mr. Sobota explained that a future cul-de-sac, if required by development to the south, would be dependent upon the site plan for that property. Mr. Erickson stated that if a cul-de-sac is needed when the property to the south develops and the City were not to vacate all the existing right-of--way to the east, beyond the point of the cul-de-sac, the City would be involved with the screening and landscaping. 97.187 Motion was made by Johnson, seconded by Holberg to receive the Planning Commission's Findings of Fact and Recommendation and adopt Ordinance No. 615 rezoning Lot 7, Block 1, Jackson's First Addition, from R-2, Single Family Residential District, to B-4, General Business District. Roll call was taken on the motion. Ayes, Sindt, Mulvihill, Holberg, Johnson, Zaun. CITY OF LAKEVILLE COUNCIL MEETING OCTOBER 20, 1997 PAGE 10 ITEM 12 Dr. Carl Wahlstrom, Superintendent, requested Council approval of a conditional use permit amendment for Independent School District 194 to allow an addition to the Lakeville Senior High School, located at 19600 Ipava Avenue. Mr. Sobota presented the proposed conditional use permit amendment for the proposed expansion of the Lakeville Senior High School. He provided a general overview of the City's role in school district projects, which is generally related to three areas: 1) building codes, handicapped codes, accessibility, etc.; 2) fire codes; and 3) land use and site circulation issues related to storm water, traffic analysis, general landscaping and trail connections. He indicated that these areas have been addressed by the School District in their planning and were part of the original design for the entire campus. Mr. Sobota explained that the proposed high school expansion includes additional classrooms, a commons area and gymnasium space to be constructed on the south side of the existing building. The proposed expansion would increase student .capacity from 1,500 to 1,800 and would add 122 parking spaces. The parking expansion will serve the additional student capacity as well as the Ames Arena and athletic events at the high school: Mr. Sobota recommended an amendment to Condition G of the conditional use permit to read, "...prior to City Council action..." rather than "prior to issuance of a building permit..." Mr. Sobota explained that there was some concern regarding the lack of wetland vegetation at the perimeter of the existing storm water pond located in the southeast corner of the high school site. The School District has agreed to a June 1, 1998, deadline for establishment of that wetland vegetation. Councilmember Johnson asked what type of classrooms are being added and whether the new gymnasium will be used for competitive events. Mr. Wahlstrom indicated the classroom addition includes a variety of classrooms and science laboratories of a generic nature. The gymnasium will be used for gym classes and practices. Competitive events will continue to be held in the main gymnasium. 97.188 Motion was made by Mulvihill, seconded by Johnson to receive the Planning Commission's Findings of Fact and Recommendation and approve a conditional use permit amendment for Independent School District 194 to allow an expansion to the Lakeville Senior High School located at 19600 Ipava Avenue, subject to a recommended change in Condition G to read, "...prior to City Council action..." rather than, "...prior to the issuance of a building permit...". CITY OF LAKEVILLE COUNCIL MEETING OCTOBER 20, 1997 PAGE 11 Roll call was taken on the motion. Ayes, Mulvihill, Holberg, Johnson, Zaun, Sindt. UNFINISHED BUSINESS: None NEW BUSINESS: None ANNOUNCEMENTS: Next regular Council meeting, November 3, 1997 Mayor Zaun adjourned the meeting at 8:45 p.m. Respectfully submitted, Charlene Friedge ,City Cle Du a Zaun, .Mayor •