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HomeMy WebLinkAboutSeptember 9, 2004 spec. mtg.OFFICIAL PROCEEDINGS CITY OF COLUMBIA HEIGHTS SPECIAL CITY COUNCIL MEETING SEPTEMBER 9, 2004 The following are the minutes the SPECIAL MEETING of the City Council held at 7:00 p.m. on Thursday, September 9, 2004 in the City Council Chambers, City Hall, 59 0 40th Avenue N.E., Columbia Heights, MN. CALL TO ORDER/ROLL CALL Present: Mayor Wyckoff, Councilmember Williams, Councilmember Nawrocki, Councilmember Ericson, Councilmember Kelzenberg PLEDGE OF ALLEGIANCE - recited Wyckoff stated that the NEI building demolition would begin Tuesday morning. ITEMS FOR CONSIDERATION Issuance of general obligation bonds and calling a special election thereon Walt Fehst, City Manager, stated during the August 16 meeting discussion on potential construction of a recreatio nal facility there was a request to determine the cost of a recreational facility and set this meeting to decide whether to put the question of a new recreational facility on the November ballot. The numbers presented in the Council letter are based on lo cal construction costs and basic capital operating costs. Included was the suggestion to include an Eagles Nest facility, similar to New Brighton’s, as a revenue producer. Staff present were Community Development Director Streetar, Recreation Director Wind schitl. Streetar indicated the cost figure given includes the operating budget, 3 gyms, walking/running track, weight equipment, fitness center, locker room, concession area, children’s area, community meeting space and storage space. Estimated size would be 40,600 square feet and the cost would range from $5,100,000 to $5,800,000, not including architect and furnishing costs. The operating budget would be estimated at $267,000 to $295,000 with estimated revenues of $250,000 to $276,000; thereby anticipati ng a yearly deficit of about $17,000. Streetar stated that Krause Anderson estimated capital costs of approximately $7,235,000, including financing. Interest would be anticipated at 5.2 percent on a bond resolution. Streetar read the suggested ballot langu age. Fehst referred to the past referendum for a community center and the $375,000 that was to be donated for two gyms. The price of inflation is evident and continues to go up. Nawrocki stated that more than inflation, this proposal is considerably m ore elaborate than in 1999. Fehst stated it has less, other than one additional gym. Nawrocki questioned estimated tournament revenues. Windschitl listed statistics on potential tournament revenue and revenue that could be realized from including a child’s play structure. Streetar indicated that in other communities ten to twenty percent of the operating budget comes from the general fund and costs are shared with the school district. Nawrocki questioned if facility rental would compete with Murzyn Hall. St reetar stated that the three proposed rooms are only about 150 square feet each. Windschitl stated revenue could include the weight room and running track. Nawrocki questioned how membership fees would be determined. Streetar stated that he has spoken with a firm that does demand studies to help determine usage, fees and other competitors. Wyckoff stated the need to keep a broad sense on this and discuss whether there should be a referendum. Nawrocki felt the details are necessary and continued to questio n revenue. Streetar mentioned a family membership fee of $225 per year for residents and $325 per year for non - resident. Wyckoff indicated distaste for doing more studies. Streetar indicated this would allow the construction of amenities that people would use and pay for. The Boosters Club may contribute the $5,000 study cost. Ci ty Council Minutes September 9, 2004 Page 2 of 3 Wyckoff stated that at this point she does not feel we should go forward with a referendum, as it is important that the School referendum pass and felt this question would fail. Sh e suggested looking for partners like the Montessori school and the art school in Fridley that needs more space. We are not ready at this point, but need to start the planning right now to take care of our kids and adults that need more exercise. William s stated that it was wrong to call this meeting, as the community survey did not indicate a need for gym space and we do not have a location. The EDA owns the NEI site and we cannot decide what to build there. The timing is wrong because of double - digit pr operty tax increase discussions for this year and next year. It would also jeopardize the school referendum. He suggested having fund raisers and getting the community involved. We should find a way to exempt seniors from paying for this. Kelzenberg agre ed that now is not the time to do this – twenty years ago was the time to do it. We subsidize Parkview Villa for a small portion of Columbia Heights residents and this facility would help everyone. Kelzenberg agreed to not put forth a referendum to jeopard ize the project, but there is a definite need for more gyms. The NEI site is a perfect location and needs to be pursued. Kelzenberg referred to the decision to build Parkview Villa and Councilmember Nawrocki’s role, and indicated the desire for that much e nergy toward this project. Parkview Villa was built with zero coupon bonds, which we are now paying for. Nawrocki suggested he do more research on that project. Ericson stated that most of the necessary comments have been made, but as a community we ne ed to invest in our kids and the future. We need to look at this further and do a high quality project. We need to make it a priority. Sue Genosky, 4851 Jefferson, indicated she was glad to hear this would not be on the ballot, as the schools need the o perating levy referendum to pass. She stated that this community space does need to be a priority. We cannot procrastinate as we have in the past. She stated that she would be at every council meeting to make sure it is on the agenda. Joseph Wolney, 542 Summit Street, stated he has always supported building this facility. He and Kelzenberg have sons that play basketball together. The school district got their levy and built an early child development center. They could have built a facility to accommodate more activities. The community must focus on and build these gym facilities. Jenny Strate, 4141 Monroe Street, stated that her family does not support building gym space. It is important, but the income level of Columbia Heights residents cannot suppor t it. A lot of elderly would not benefit and cannot afford it. If the city grows and becomes more stable, it could be considered. Kay Mayer, 2115 Highland, agreed the elderly could not afford the tax increase, but we must look at our property value and dr aw in other families to have this community center. She stated her children are out of their home, but is willing to pay because of the need for future generations to have this. We need this gym space “yesterday”. th Kenny Stumpf, 403 48 Avenue, stated h e is a 32 year resident, and his children succeeded quite well with what we have. He stated they walk the streets for exercise. He stated he opposed this building the last time and would oppose it again. He suggested buying participation in other facilitie s. Wyckoff stated that there has been discussion with the YMCA, which we need to explore further. Aurora Johnston, 3977 Polk, stated she made the initial request that this be placed on the ballot or go out for bonds. She is willing to go out into the com munity and continue to gain funds for this type of facility. She Ci ty Council Minutes September 9, 2004 Page 3 of 3 stated that she has learned there are some fund balances available and that future consideration could include these monies. Wyckoff stated that we could not use the entire fund balance. Steve Craig, 3868 Tyler Street, indicated that paying membership at other clubs would not would give our children gym space to practice in. Without this, young families will not continue to move into the community. If you continue to invest in the communit y, they will come. Williams indicated that when we do this, we should work with the school district. If we care about our children, we will put aside our differences and work together. Nawrocki expressed displeasure at the way this meeting was handled. What is proposed is not in the best interest of everybody. We need to work with the schools. It was wrong to down NEI, which had two gyms. In an era of financial problems, it is time for cooperation of governmental services. He is disappointed that the sch ool district chose not to move forward with this as part of their referendum. People need the opportunity to vote on this. Wyckoff questions preliminary plans for the NEI site. Streetar introduced Richard Milgrom of the Metropolitan Design Center, a free service, with several ideas to enhance development of the NEI site. Milgrom indicated that the University Design group are not architects and have no financial interest in this project, only in how the entire project would benefit the city. He referred to three design posters not tied to the referendum. The first poster addressed existing conditions and challenges of the site. Distance to the commercial area is an asset, and the ponding area is an under used asset. Space for a library, gyms and community center were points of discussion. Parking space could be under the gym. This is about providing better amenities for the present and for others that would move here. There was a request for more outdoor space for the seniors on this site. Discussion inclu ded separate funding for two buildings built at different times. He referred to development of housing to gain funds. Fehst asked if the second option had underground parking also. Milgrom stated it does. Streetar stated these concepts would be availabl e to the public. Pat Tollefson, 4210 Polk Street, requested that an indoor pool be included. Wyckoff stated that is a repeated request. Wyckoff indicated the Maxfield analysis would identify what people would be interested in. Nawrocki questioned when the decision was made to have this study done. Wyckoff indicated it would need Council approval before going forward. Fehst stated that an outside group, such as the Boosters, could finance this study. Wyckoff indicated that the City would still have input . Streetar stated that Maxfield would put together a proposal prior to any commitment. ADJOURNMENT Mayor Wyckoff adjourned the meeting at 9:05 p.m. _______________________________________ Patricia Muscovitz, CMC Deputy City Clerk/Council Secretary