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HomeMy WebLinkAbout12-04-89 ~ . ~ i i CITY OF LAKEVILLE COUNCIL MEETING DECEMBER 4, 1989 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 Nelson, Sindt, Harvey and Mayor Zaun. Absent: Councilmember Enright. Also present: R. Knutson, City Attorney; K. Nelson, City Engineer; D. Feller, Finance Director; J. Robinette, Community Development Direc- tor; S. Michaud, Parks & Recreation Director; B. Erickson, City Administrator; L. Gustafson, Assessment Clerk; D. Gudmundson, Chief of Police; D. Krings, Chief Building Official; C. Friedges, City Clerk. Staff Announcements: Attorney: Roger Knutson requested an executive session of the City Council following the regular meeting to discuss two pending lawsuits.. Engineer: None Administrator: Bob Erickson requested the Council amend the agenda to include Item 14A, Condemnation for Right-of-Way on Project 86-6. He also requested an executive session of the City Council following the regular meeting to discuss collective bargaining and stated that the session will be tape recorded in accordance with State Statute. Another item requested by Mr. Erickson for consideration under Other Business (14B) was a resolution adopting the position classification and pay plan for exempt and non-exempt positions, as recommended by the Personnel Committee of the City Council. Presentations/Recognitions. Special tribute was paid to Councilmembers Nelson and Enright for their 12 and 16 years (respectively) of dedicated service to the City of Lakeville. Mayor Zaun, Mr. Mike Feist and former City Engineer, Darrell Schneider, commended and thanked the two Councilmembers for their many years of dedicated service to the community. Councilmember Harvey presented a plaque to Councilmember Nelson from the City Council on behalf of the citizens of Lakeville, and Councilmember Sindt presented a similar plaque to Councilmember Enright in absentia. Bob Erickson introduced Senator Bob Schmitz and Representative Bill Macklin, who announced that Lakeville's $150,000 grant .application for Casperson Park has been approved by the State. Although some minor requirements in the grant process. need to be completed, the grant proceeds should be received early next spring. Senator Schmitz and Representative Macklin congratulated the City Council and staff for their efforts in this and other Lakeville park projects. i i i CITY OF LAKEVILLE COUNCIL MEETING DECEMBER 4, 1989 Introduction of New Employees: Dave Krings, Chief Building Official, introduced Mr. Bob Hutchins, recently hired Building Inspector. Krings also introduced Mr. Bob Staupe, recently hired Utility Mainte- nance II employee. Citizen Comments: There were none. .Consent Agenda: The Council removed Item 7i, fesibility report for Griffon Trail and Grove Trail, from the consent agenda. 89.433 Motion was made by Harvey, seconded by Sindt to approve the consent agenda with the exception of Item 7i. a. Approve minutes of the November 20, 1989, council meeting. b. Approve claims for payment. c. Receive minutes of the following advisory committee meetings: Parks & Recreation Committee, November 15th Planning Commission, November 16th d. Approve Resolution 89-163 authorizing the release of lots from development contracts. e. Adopt Ordinance No. 395 amending Title 5, Chapter 1, of the Lakeville City Code concerning dog kennels. f. Receive the South Metro Task Force Financial Report prepared by McGladrey & Pullen C.P.A. g. Lakeville Hockey Boosters; approve gambling license application for pull tabs at the Chart House and Ole Piper Inn. h. Great Oak Shores; approve credits/storm sewer area charge assess- ments. i. (This item removed from Consent Agenda). j. Approve final payment to Penner Development for Foxborough and North Park buildings. k. Approve final acceptance of improvements to Cherry Highlands 1st Addition. 2 • ~ • CITY OF LAKEVILLE COUNCIL MEETING DECEMBER 4, 1989 1. Approve trail grooming agreements with the Cities of Eagan and Rosemount. m. Receive the Title III-B Older Americans Act Grant Financial Report prepared by George M. Hansen Company. n. Approve agreement to assess hook-up charges for Pleasant Hills Saddle Shop, 16450 Kenrick Avenue. o. Receive bids for radio communication equipment, modifications and installation. p. Award bid for installation of remote radios at City Hall to Two-Way Radio. Company in the amount of $1,290.00. q. Adopt Ordinance No. 396 amending Title 3, Chapter 6 of the Lakeville City Code concerning cigarette licenses. r. Adopt Ordinance No. 397 amending Title 3, Chapter 9 of the Lakeville City Code concerning taxicabs. s. Adopt Ordinance No. 398 amending Title 3, Chapter 12 of the Lakeville City Code concerning mechanical amusement devices. Roll call was taken on the motion. Ayes, Zaun, Sindt, Harvey, Nelson. Item 7i. 89.434 Motion was made by Sindt, seconded by Nelson to table the resolution authorizing the preparation of a feasibility report for improvements to Griffon Trail and Grove Trail in Foxborough 2nd Addition until. the results of the December 6th neighborhood meeting are received by staff and transmitted to the City Council for incorporation into the feasibility study proposal. Roll call was taken on the motion.. Ayes, Sindt, Harvey, Nelson, Zaun. Item:. 8. Mayor Zaun opened the public hearing on the proposed assessments to Improvement Project 89-3, Howland Avenue and Senior Housing Complex. The City Clerk attested to the legal notice. Keith Nelson, City Engineer, presented a summary of project costs per Mayor Zaun's request at the November 6th Council meeting, explaining the disparity between the original feasibility report project cost estimate and the actual final cost. Three factors leading to the cost increase were: final design changes due to conflict with existing sanitary sewer, watermain and proposed storm sewer; high bids (9.4% above the engineer's estimate); and a change order regarding the watermain, which added 6.8% to the original contract. 3 • ~ • CITY OF LAKEVILLE COUNCIL MEETING DECEMBER 4, 1989 Bob Erickson added that lead joint watermain and lead service lines dated as far back as the 1920's and 1930's were replaced due to deterioration, causing an additional expense. He also stated that Community Development Block Grant funds were available to help fund this improvement project, and added that a check had been received from the Dakota County H.R.A. for their total assessment. 89.435 Motion was made by Sindt, seconded by Harvey to close the public hearing. Roll call was taken on the motion. Ayes, Harvey, Nelson, Zaun, Sindt. 89.436 Motion was made by Harvey, seconded by Nelson to approve Resolution No. 89-164 adopting assessment for Improvement Project 89-3, Howland Avenue and Senior Housing Complex improvements. Roll call was taken on the motion. Ayes, Nelson, Zaun, Sindt, Harvey. Item. 9. Mayor Zaun opened the public hearing on proposed assessments for weed removal. The City Clerk attested to the legal notice. Bob Erickson explained the proposed assessments to 16 parcels of property (owned by five property owners) having weeds over 12 inches high that were removed by the City. He went on to explain that the property owners involved had been properly notified by City staff of the weed/grass control violations. When requirements were not met by the stipulated date, the City then took action to have the weeds/grass cut. He stated that staff received a letter from Registered Proper- ties Corporation appealing .the assessment to five parcels of property in the Rolling Oaks South Plat Three. 89.437 Motion was made by Sindt, seconded by Nelson to acknowledge receipt of the letter from Registered Properties Corporation dated November 16, 1989. Roll call was taken on the motion. Ayes, Zaun, Sindt, Harvey, Nelson. In answer to a question from the audience, clarification was made that it is the responsibilty of the adjacent property owners to maintain grass/weeds in the boulevards. 89.438 Motion was made by Harvey, seconded by Sindt to close the public hearing. Roll call was taken on the motion. Ayes, Sindt, Harvey., Nelson, Zaun. 4 • i • CITY OF LAKEVILLE COUNCIL MEETING DECEMBER 4, 1989 89.439 Motion was made by Sindt, seconded by Harvey to approve Resolution No. 89-1.65 adopting assessment for weed removal. Roll call was taken on the motion. Ayes, Harvey, Nelson, Zaun, Sindt. Item 10. Mayor Zaun opened the public hearing on the proposed 1990 and 1991 budget. The Finance Director attested to the publication of the legal notice. Bob Erickson addressed the citizens in attendance. He stated he had learned that citizens were told their property taxes will increase 20% in 1990, and quickly pointed out that property taxes would not be increased 20%. He explained that the legislature met in a special. session in September and, as a result of that session, there was a significant shift in Local Government Aids from cities to school districts. Dakota County receives less than 20% of the taxes, the City receives 20% and the majority (60%) of our taxes goes to the school districts. Mr. Erickson stated that Lakeville is one of the few cities that has chosen to adopt a bi-ennium (two year) budget, which reflects good forward planning on the City's part. Mr. Erickson presented the 1990 budget document and welcomed the citizens to review it. The budget contains a 4% salary increase for City personnel. The Council had, in previous years, adopted a policy whereby the City would not levy more than $188 per capita. However, with the recent changes in the tax laws made by the state legislature, that goal now has to include state local government aids. The figure now becomes $235 per capita. For 1990, however, that figure will drop to $232 per capita. At this time, Mr. Erickson introduced Dennis Feller, Finance Director, for his presentation concerning what impact the 1990 budget will have on property taxes. Mr. Feller stated that even though the City will increase its tax levy by 20 percent, real estate taxes are likely to decrease in 1990 for most Lakeville residents. The goal of the legislature was to transfer state aids from the cities to the school districts. As a result of that shift, along with changes in the tax laws, Lakeville residents will experience a decrease in taxes for 1990. Mr. Feller went on to show the citizens in attendance (using an overhead projector) a schedule entitled Estimated Tax Capacity Rate for Prope ty in Independent School District 194. He showed the citizens present the formulas he used to compute the estimated 1990 tax capacity rates, which reflect no increase for 1990. He further stated that the formulas as shown do not take into account the new growth within the city. Since the city has grown more than 10% over 1989, he concluded that taxes would decrease proportionately. He went on to show examples of taxes on residential homesteaded property, comparing 1989 to 1990. Lower 5 s ~ • CITY OF LAKEVILLE COUNCIL MEETING DECEMBER 4, 1989 valued homes showed no significant changes in taxes from one year to the next. However, homes valued at more than $80,000 reflected sig- nificant decreases in taxes. Mr. Feller cautioned that if a tax payer made home improvements to their property, that subsequent increase in valuation could prompt an increase in taxes. However, residents could obtain relief by applying for a homeowners tax refund. If a homeowner experienced more than a 10% increase in taxes or had income of less than $60,000 in 1989, they may qualify for such a refund. Mr. Feller stated that it is difficult to predict the exact impact taxes would have on the various home values for a number of reasons. Lakeville will be receiving additional aid in the form of Equalization Aid and HACA (Homestead/Agricultural Credit Adjustment). The amount of such aid is unknown at this time. Mr. Feller further stated that the legislature, at its special session, changed the property tax class rates. For example, residential homesteaded property decreased from 2.7% in 1989 to 1% in 1990 for the first $68,000 of property value. Another unknown is fiscal disparities. Fiscal disparities is a mechanism whereby 40% of the increased commercial/industrial property values in the City are contributed to the fiscal disparities pool, and then re-apportioned to all cities in the seven county metro area.. At this time, Mayor Zaun opened the hearing to questions and comments from the audience. Mike Andreas asked what would happen if the school districts increased the levy to an amount greater than what Mr. Feller had shown on the overhead. Mr. Feller responded that it was impossible for such figures to change, since the school district had already conducted their public hearing and had, in fact, adopted that tax levy. Joel Haglund commented that the property values established in the spring of 1989 by the County Assessor at the Board of Equalization hearings were used to determine the taxes for payable 1990. Councilmember Harvey pointed out that Lakeville has the fifth lowest tax rate of any city in the metropolitan area. Larry Olmstead asked what the tax figures would be for School Dis- tricts 192 and 196. Mr. Feller stated that the figures were not available at the meeting, but the patterns in Districts 192 and 196 are similar to those of School District 194. Carol Brown asked what impact the 1990 taxes would have on businesses. Mr. Feller stated that the property class tax rate had decreased from 5.25 percent, to 5.1 percent for 1990, and his conclusion would be that businesses could probably also experience a decrease in 1990. 6 • CITY OF LAKEVILLE COUNCIL MEETING DECEMBER 4, 1989 Legislative Representative Bill Macklin was present and stated that the reason the legislature shifted funds from the cities to the school districts was that the Minnesota Constitution states that it is the State's responsibility to fund education. However, each city should have the ability to control its own level of service and, therefore, taxation. Accordingly, the State decreased the amount of funding for cities, thereby allowing them to be more self sufficient, and in- creased funding to school districts. Councilmember Sindt asked when the County would be re-assessing property values, and Mr. Feller stated that Lakeville is scheduled for re-assessment in the summer of .19.91. Kevin Adkins asked what the City is doing to reduce or control its level of spending. Mr. Erickson stated that the 1990 budget proposes to utilize more private contractors for services such as janitorial, street sweeping, road striping, storm sewer maintenance and others. By doing this, the City will be able to reduce personnel and the corre- sponding unemployment compensation and employee benefit costs. 89.440 Motion was made by Harvey, seconded by Nelson to close the public budget hearing. Roll call was taken on the motion. Ayes, Nelson, Zaun, Sindt, Harvey. Item 10-1. 89.441 Motion was made by Harvey, seconded by Sindt to approve Resolution No. 89-16.6 adopting the 1990-91 General Fund Budget. Roll call was taken on the motion. Ayes, Zaun, Sindt, Harvey, Nelson. Item,.1O-2. Mr. Erickson informed the residents present that the purchase of all Fire Department equipment is being accomplished without a bond issue and paid within five years at a rate of 6.10 percent interest. 89.442 Motion was made by Sindt, seconded by Harvey to approve Resolution No. 89-167 approving the 1990 Certificates of Indebtedness ,Budget. Roll call was taken on the motion. Ayes, Sindt, Harvey, Nelson, Zaun. Item_10-3. 89.443 Motion was made by Harvey, seconded by Nelson to approve Resolution No. 89-168 approving the 1990 Building Fund Budget. Roll call was taken on the motion. Ayes, Harvey, Nelson, Zaun, Sindt. 7 • CITY OF LAKEVILLE COUNCIL MEETING DECEMBER 4, 1989 Item 10-4. 89.444 Motion was made by Nelson, seconded by Sindt to approve Resolution No. 89-169 approving the 1990 Liquor Fund Budget. Nelson pointed out that the Liquor Fund was able to give the community something in return by assisting in the construction of city hall. Roll call was taken on the motion. Ayes, Nelson, Zaun, Sindt, Harvey. Item 10-5. Bob Erickson pointed out that the City is proposing no increase in sewer and water rates for 1990. 89.445 Motion was made by Sindt, seconded by Nelson to approve Resolution No. 89-170 approving the 1990 Utility Fund Budget. Roll call was taken on the motion. Ayes, Zaun, Sindt, Harvey, Nelson. Item. 10-6. 89.446 Motion was made by Harvey, seconded by Nelson to approve Resolution No. 89-171 approving the 1990 Park Dedication Fund Budget. Roll call was taken on the motion. Ayes, Sindt, Harvey, Nelson, Zaun. Item 10-7. 89.447 Motion was made by Sindt, seconded by Nelson to approve Resolution No. 89-172 approving the 1990 Trails Fund Budget. Roll call was taken on the motion. Ayes, Harvey, Nelson, Zaun, Sindt. Item 10-8. 89.448 Motion was made by Sindt, seconded by Nelson to approve Resolution No. 89-173 adopting the 1989/1990 Tax Levy. Roll call was taken on the motion. Ayes, Nelson, Zaun, Sindt, Harvey. Item 10-9. Mr. Erickson explained that some fees have been increased over the 1989 schedule to keep Lakeville consistent with some of the neighbor- ing communities. He also explained that all developers in Lakeville are charged a fixed fee, in addition to any consulting fees, and further explained the purpose of charging the beneficiaries of special services, such as burning and building permits, while subsidizing those services which benefit the community at large. 8 • CITY OF LAKEVILLE COUNCIL MEETING DECEMBER 4, 1989 89.449 Motion was made by Nelson, seconded by Harvey to approve Resolution No. 89-174 adopting the. 1990 Schedule of Fees. Roll call was taken on the motion. Ayes, Zaun, Sindt, Harvey, Nelson. Item 11. Mayor Zaun opened the public hearing on the renewal applications of seven establishments for on-sale and Sunday liquor licenses. The City Clerk attested to the legal notice. Chief of Police Gudmundson explained that background checks have been completed on six of the seven on-sale liquor license holders. The following establishments have passed the investigation and are recommended for renewal of their licenses: Ole Piper Inn, Lakeville Family Bowl, Lakeville VFW, Brackett's Crossing, Babe's Sportsbar & Grill and The Chart House. Staff explained that the Super 8 Motel (formerly Lakeville Inn) had not yet returned their liquor license application. Management has been contacted, and the Police Department expects to have a recommen- dation for the Council's December 18th meeting. Councilmember Harvey stated that if Super 8 is not ready for the December 18th meeting, staff will issue a letter informing them to cease liquor sales as of midnight on January 1, 1990. 89.450 Motion was made by Sindt, seconded by Harvey to close the public hearing. Roll call was taken on the motion. Ayes, Sindt, Harvey, Nelson, Zaun. 89.451 Motion was made by Sindt, seconded by Harvey to approve the renewal applications of Ole Piper Inn, Lakeville Family Bowl, Lakeville VFW, Brackett's Crossing, Babe's Sportsbar & Grill and The Chart House for on-sale and Sunday liquor sales in 1990. Roll call-was taken on the .motion. Ayes, Harvey, Nelson, Zaun, Sindt. Item 12. Jim Robinette presented the preliminary plat of a re-plat of a portion. of Viking Square Second Addition, to be known as Viking Square Third Addition. The plat is located on Ideal Way off of Dodd Boulevard, just north of Highway 50. Mr. Glenn Nord, representing the developer, Felix Tillges, explained that the original project filed in 1981 has experienced marketing problems. In an effort to overcome this, the developer has presented a modified building layout and corresponding re-plat. The units have 9 • . • CITY OF LAKEVILLE COUNCIL MEETING DECEMBER 4, 1989 1100 square feet on the main level, with a full basement. Each homeowner in the new plat will individually own the green space adjacent to their building. A driveway change was recommended by the planning consultant which would shift the rowhouse structure approximately eight feet to the south and the proposed driveway access points would be narrowed to a width of 24 feet. It would also consolidate the driveways of Units 1 and 2, reducing the total number of curb cuts from five to four. Mr. Nord stated that the developer concurred with the planning consult- ant's recommendations. The planning consultant also recommended a maintenance agreement be submitted to the City by the developer. The agreement would ensure the maintenance and upkeep of the structure and the lots to meet minimum City standards. Articles of Incorporation must also accompany the plat. Mr. Nord stated that he will draft these documents. He further stated that the developer concurs with the recommendation that each individual lot be served by its own sewer and water connection and that a landscape plan be submitted to City staff for approval. 89.452 Motion was made by Harvey, seconded by Nelson to approve the prelimi- nary plat of Viking Square Third Addition. Roll call was taken on the motion. Ayes, Nelson, Zaun, Sindt, Harvey. Item 13. Jim Robinette presented the 34 unit single family development known as Homestead Creek Second Addition. He stated there have been no changes from the originally approved prelimianry plat. Park dedication requirements of $12,700, and the conveyance of 0utlot B to the City, must be met before the plat can be released. A drainage swail and sidewalk question was raised, and Mr. Erickson explained that extraordinary costs were incurred by .the developer as a result of the plat being located adjacent to major collector streets (Ipava and 175th St.) The City staff has worked closely with repre- sentatives of Good Value Homes to insure they remain one of Lake- ville's single family home builders.. 89.453 Motion was made by Harvey, seconded by Nelson to approve Resolution No. 89-175 approving the final plat of Homestead Creek Second Addi- tion. Roll call was taken on the motion. Ayes, Zaun, Sindt, Harvey, Nelson. 10 t I * ~ ~ • CITY OF LAKEVILLE COUNCIL MEETING DECEMBER 4, 1989 .Other Business. 14A. Roger Knutson recommended the City Council approve a condemnation settlement with Byron Watschke, Lakeville "385", in the amount of $40,275.00 for Improvement Project 86-6. Councilmember Harvey asked about the status of unpaid bills to the City by Mr. Watschke and recommended approval of the settlement be contingent on Mr. Watschke's payment of all overdue. bills. He also recommended the City adopt a policy whereby the City would not accommodate developers who have unpaid bills. Staff indicated such an ordinance could be available for Council consideration on December 18th. 89.454 Motion was made by Harvey, seconded by Nelson to approve a condemna- tion settlement in the amount of $40,275 to Lakeville "385" contingent on Mr. Watchke's payment of all overdue accounts with the City before December 18, 1989. Roll call was taken on the motion. Ayes, Sindt, Harvey, Nelson, Zaun. 14B. Councilmember Harvey presented a resolution which would adopt the position classification and pay plan for exempt and non-exempt employees as reviewed and recommended by the Personnel Committee. He explained that the adjustments in the resolution reflect a four percent cost of living increase. He also pointed out that Section D-3 would change the ratio of impact the persons conducting employee reviews would have in an attempt to provide uniform judgement of employee performance. Section A-4 sets a new requirement that 2080 hours must be worked by permanent part-time employees to be eligible for advancement to the next eligible step. 89.455 Motion was made by Sindt, seconded by Nelson to approve Resolution No. 89-176 adopting the position classification and pay plan for exempt and non-exempt positions and setting forth the policy for the admini- stration of the plan. Roll call was taken on the motion. Ayes, Harvey, Nelson, Zaun, Sindt. 89.456 Motion was made by Sindt, seconded by Harvey to adjourn the council meeting and convene in executive session to discuss pending litigation and collective bargaining. Roll call was taken on the motion. Ayes, Nelson, Zaun, Sindt, Harvey. Time: 10:10 p.m. 11 • • • CITY OF LAKEVILLE COUNCIL MEETING DECEMBER 4, 1989 Respectfully submitted, Charlene Friedges, Cit Clerk Duan Zaun, Mayor 12