HomeMy WebLinkAboutAugust 24, 1992OFFICIAL PROCEEDINGS
COLUMBIA HEIGHTS CITY COUNCIL
REGULAR COUNCIL MEETING
AUGUST 24, 1992
The meeting was called to order by Mayor Murzyn at 7:00 p.m.
I. ROLL CALL
Nawrocki, Clerkin, Ruettlmann, Peterson, Murzyn - present
2. PLEDGE OF ALLEGIANCE
3. CONSENT AGENDA
The following items were approved on the Consent Agenda:
Minutes for Approval
The Council approved the corrected minutes of the J%ly 28,
1992 Public Improvement Hearing and the minutes of the August
10, 1992 Regular Council Meeting as presented in writing and
the reading was dispensed with.
License Applications
The license applications were approved as listed upon payment
of proper fees.
.Payment of Bills
The payment of bills as listed was authorized out of proper
funds.
4. APPROVAL OF CONSENT AGENDA
Motion by Clerkin, second by Ruettimann to approve the consent
agenda as presented. Roll call: All ayes
5. OPEN MIKE
Dick Johnson is presently selling his home which is located at
40th Avenue and Jefferson Street. He advised the Council there
is a problem with the sale as there appears to be a portion of
his lot which was deeded to the City.
The City Manager gave the history of this situation and stated
that staff is recommending the City give Mr. Johnson a Quit
Claim Deed to this property. The City Attorney noted that the
City has no interest in this property.
REGULAR COUNCIL MEETING
AUGUST 24, 1992
PAGE 2
Motion by Nawrocki, second by Ruettimann that the Mayor and
City Manager be authorized to sign a Quit Claim Deed for the
property in question subject to the determination that an
ordinance is not needed, if an ordinance is needed the City
Attorney will prepare it and the Mayor and City Manager are
authorized to sign it. Roll call: All ayes
The resident at 4030 Cleveland Street is of the opinion that
government should not own a business. He was referring to the
proposed third liquor store which is under consideration.
Councilmember Nawrocki advised the resident that citizens of
Columbia Heights had voted twice over the years to be in this
type of business.
PUBLIC HEARINGS/RESOLUTIONS/ORDINANCES
Resolutions Reqarding Minnesota Department of
Transportation - University Avenue Siqnal Improvements
1. Resolution No. 92-25; Authorizing Agreement with MnDot
The Public Works Director reviewed the agreement and noted
there will be no net cost to the City. Actual construction of
this project will commence in the spring of 1993.
Councilmember Nawrocki was called away from the meeting.
Motion by Ruettimann, second by Peterson to waive the reading
of the resolution there being ample copies available for the
public. Roll call: All ayes
RESOLUTION NO. 92-25
BEING A RESOLUTION AUTHORIZING THE CITY OF COLUMBIA HEIGHTS TO
ENTER INTO AGREEMENT NO. 69741 SIGNAL CONSTRUCTION ON T.H. 47
WHEREAS, it has been deemed advisable and necessary for the
City of Columbia Heights to participate in a signal
construction project as follows:
To remove the existing traffic control signals and install new
traffic control signals with street lights, interconnect and
signing on Trunk Highway No. '47 (University Avenue) at 37th
Avenue Northeast, County State Aid Highway No. 2 (40th Avenue
Northeast), and at 44th Avenue Northeast; remove the existing
traffic control signal and install a new traffic control
signal with street lights, emergency vehicle pre-emption,
REGULAR COUNCIL MEETING
AUGUST 24, 1992
PAGE 3
interconnect and signing on Trunk Highway No. 47 (University
Avenue) at County State Aid Highway No. 4 (49th Avenue
Northeast) - County Road 104 (49th Avenue Northeast); remove
the existing traffic control signals and install new traffic
control signals with street lights, emergency vehicle pre-
emption, interconnect and internally lit signing on Trunk
Highway No. 47 (University Avenue Northeast) at 53rd Avenue
Northeast, County Road 102 (57th Avenue Northeast); and at
61st Avenue Northeast; and remove the existing traffic control
signal and install a new traffic control signal with street
lights and signing on Trunk Highway No. 47 (University Avenue)
at County State Aid Highway No. 3 '- County Road 132 in
accordance with the terms and conditions set forth and
contained in Agreement No. 69741, a copy of which was before
the Council.
WHEREAS, the City agrees to the terms and conditions set forth
and contained in Agreement No. 69741;
NOW, THEREFORE, BE IT RESOLVED by the City of Columbia Heights
that the City enter into Agreement No. 69741 with the State of
Minnesota, Department of Transportation, and that the Mayor
and City Manager be authorized to execute the agreement
thereby assuming for an on behalf of the City all of the
contractual obligations contained therein.
Dated this 24th day of August, 1992.
Offered by:
Seconded by:
Ruettimann
Peterson
Ro11 call:
Clerkin, Ruettimann, Peterson, Murzyn - aye
Nawrocki - not present
Mayor Donald J. Murzyn, Jr.
Jo-Anne Student, Council Secretary
2. Resolution No. 92-26; Authorizing Use of State Aid Funds
Motion by Ruettimann, second by Peterson to waive the reading
of the resolution there being ample copies available for the
public. Roll call: All ayes
RESOLUTION NO. 92-26
REGULAR COUNCIL MEETING
AUGUST 24, 1992
PAGE 4
BEING A RESOLUTION AUTHORIZING THE USE OF MUNICIPAL STATE AID
FUNDS ON T.H. 47 SIGNAL PROJECT AT 37TH, 44TH AND 53RD AVENUES
WHEREAS, it has been deemed advisable and necessary for the
City of Columbia Heights to participate in the cost of a
signal construction project located on T. H. 47 within the
limits of said municipality, and
WHEREAS, said construction project has been approved by the
Commissioner of Transportation and identified in his records
as S.P. No. 205.61, 205.62, and 205.63,
NOW, THEREFORE, BE IT RESOLVED by the City Council of Columbia
Heights; that we do hereby appropriate from our Municipal
State Aid Street Funds the sum of $20,169.26 to apply toward
the construction of said project and request the Commissioner
of Transportation to approve this authorization.
Dated this 24th day of August, 1992.
Offered by:
Seconded by:
Roll call:
Ruettimann
Peterson
Clerkin, Ruettimann, Peterson, Murzyn - aye
Nawrocki - nay
Mayor Donald J. Murzyn, Jr.
Jo-Anne Student, Council Secretary
b. Public Hearing - Transfer of Ownership - Cable TV
Resolution No. 92-24
Motion by Ruettimann, second by Peterson to waive the reading
of the resolution there being ample copies available for the
public. Roll call: All ayes
Councilmember Ruettimann inquired on what basis this franchise
transfer can be denied. The cable counsel responded.
One of the factors which was to be considered for approval of
the transfer was addressed by Councilmember Nawrocki. He felt
that all of the franchise requirements were not met by the
original owners and are still not being met. Noting that the
sale price more than doubles the value of the franchise, he
concluded that the subscribers will see an increase in
subscription rates.
REGULAR COUNCIL MEETING
AUGUST 24, 1992
PAGE 5
Councilmember Nawrocki recalled that one of the original
purposes of cable television was for access to information by
subscribers. He has observed that informational programs have
decreased in number and commercial programs have increased.
With the anticipated increase in rates, many subscribers will
probably become disenfranchised from having access to
information. Councilmember Nawrocki commented that he feels
the new owners of the franchise will be a plus.
STATE OF MINNESOTA
COUNTY OF ANOKA
CITY OF COLUMBIA HEIGHTS
RESOLUTION NO. 92-24
APPROVING THE TRANSFER OF OWNERSHIP OF NORTH CENTRAL
CABLE COMMUNICATIONS CORPORATION
WHEREAS, Hauser Cable of Minnesota, Inc., a Delaware
corporation, Hauser Cable Communications, Inc., a Delaware
corporation, and Continental Cablevision of Minnesota, Inc.,
a Minnesota corporation (hereinafter "Transferors"),
originally owned One Hundred percent (100%) of the outstanding
-stock of North Central Cable Communications (hereinafter
"North Central"); and
WHEREAS, North Central, by and through Group W Cable of
Columbia Heights/Hilltop, Inc., a wholly owned subsidiary,
owns, operates and maintains a cable television system in the
City pursuant to the terms and conditions of the Cable
Communications Franchise Ordinance of the City of Columbia
Heights, as amended, (hereinafter "Franchise"); and
WHEREAS, through an interim transaction completed on or before
December 31, 1991, Transferors' interest in the outstanding
stock of North Central was modified so that the stock of
Continental Cablevision of Minnesota, Inc. (hereinafter
"Continental"), previously 50 %, was transferred to result in
Continental's ownership of 19 1/2% of the stock with 30 1/2%
of the stock owned by NCC Holding Co. Inc., a Massachusetts
Corporation (hereinafter "Holdco"), an entity in which
Continental retained all voting stock and transferred non-
voting stock in the holding company to Meredith/New Heritage
Strategic Partners, L.P. (hereinafter "Transferee"); and
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AUGUST 24, 1992
PAGE 6
WHEREAS, Transferors desire to sell and otherwise transfer all
of their shares of the capital stock of North Central,
together with all of the voting stock of Holdco, to
Transferee, in whom Meredith/New Heritage Partnership will
initially hold, as general partner, a 72.73% interest and
Continental, a Limited Partner, will initially acquire a
27.27% interest; and
WHEREAS, the City has been informed that the ownership
interests in Transferee, after taking into account all notes
delivered as capital contributions to Transferee, will be
62.1% for Meredith/New Heritage Partnership, general partner
and 37.9% for Continental Cablevision of Minnesota, Inc.,
Limited Partner; and
WHEREAS, the Transfer Application discloses that Meredith/New
Heritage Partnership, which is the general partner of
Transferee and holds a 62.1% ownership interest in Transferee,
may in certain circumstances be required or have the right to
purchase the limited partnership interest of Continental
Cablevision of Minnesota, Inc. subject to the requirements of
local, state and federal law; and
WHEREAS, Meredith Cable, Inc. ("Meredith Cable"), a wholly-
owned subsidiary of Meredith Corporatiion ("Meredith"),
currently holds a 54.6% ownership interest in Transferee
through its 88% ownership of the General Partner of Tranferee
and has the right to acquire total ownership and management
control of both the General Partner and Transferee, subject to
the requirements of local, state and federal law; and
WHEREAS, The interim transaction has taken place; and
WHEREAS, the Transferors have requested the consent from the
City to a change in ownership and control of North Central to
Transferee; and
WHEREAS, City has waived any right of first refusal to
purchase the stock acquired by Transferee as such right of
first refusal applies to the pending sale and transfer; and
WHEREAS, the Columbia Heights/Hilltop Cable Communications
Commission (hereinafter "Commission") has been delegated the
authority and responsibility advise the City in such matters
as this transfer of ownership; and
WHEREAS, the City has held public hearings and with the advice
of Commission has reviewed the legal, technical, character and
financial qualifications of Transferee and its general partner
REGULAR COUNCIL MEETING
AUGUST 24, 1992
PAGE 7
Meredith/New Heritage Partnership and finds no reasonable
basis to deny the request for transfer as a result of said
review, except for those conditions listed below; and
WHEREAS, the Commission has recommended to City approval of
the transfer of control of North Central to Transferee subject
to the actual closing of the stock sale and subject to the
conditions listed below; and
WHEREAS, the Commission has also recommended approval of a
request by Transferee to permit the pledge as security to its
lenders of the stock and assets of North Central and its
subsidiaries, which would include Group W Cable of Columbia
Heights/Hilltop, Inc.; and
WHEREAS, the City does not object to such security interest in
the stock and assets.
NOW THEREFORE, BE IT RESOLVED, by the City Council of the City
of Columbia Heights that:
1. The City hereby approves the sale and transfer by
Transferors of all of their shares of the capital stock of
North Central, together with all of the voting stock of
Holdco, subject to an actual closing of the stock sale
.transaction on or before December 31, 1992, pursuant to the
terms and conditions as evidenced by the Notice of Transfer to
City and all written representations from Transferors,
Transferee, Meredith/New Heritage Partnership, its
subsidiaries, employees, agents, partners, parent corporations
and North Central, and further subject to the terms and
conditions of this Resolution.
2. The City approves the pledge by Transferee, Meredith/New
Heritage Partnership, and North Central as security to their
lenders the stock and assets of North Central and its
subsidiaries subject to the terms and conditions of this
Resolution.
3. This Resolution constitutes all action and approvals of the
City necessary under the City's Franchise for the sale and
transfer of control to Transferee.
4. The City's approval of the above named transfer of
ownership of North Central is further conditioned upon the
following:
a. North Central shall have corrected all technical
discrepancies in the cable system of City as delineated
REGULAR COUNCIL MEETING
AUGUST 24, 1992
PAGE 8
in the report of Communications Support Corporation
(hereinafter ""CSC") No. 92010.001, and its addendum No.
92010.A01, and as represented as corrected pursuant to
the letter from Mr. Kevin Griffin to Ms. Linda Magee
dated June 17, 1992, unless otherwise qualified, below.
b. North Central and the City shall have agreed to waive
any and all alleged or existing claims for overpayment of
franchise fees attributable to sales ~ax and/or
underpayment of franchise fees as delineated in the
City's audit of the gross receipts of North Central.
North Central shall have agreed and City hereby agrees to
negotiate mutually acceptable language to amend the
Franchise definition of "Gross Receipts" to more
adequately reflect the current practices of North Central
in the calculation and payment of Franchise Fees.
c. The City hereby waives the Franchise requirement that
the emergency override system also override audio on the
FM service provided to subscribers.
d. The City hereby waives any Franchise requirement that
short wave signals be carried on the FM band.
e. The City hereby agrees to hold in abeyance the issue
of the provision of status monitoring equipment by North
Central, and agrees not to enforce the Franchise
requirement for the remaining term of the Franchise, with
the understanding that such equipment/capability will be
subject for negotiation upon any request for renewal of
the Franchise.
f. North Central shall have agreed to amend the existing
Franchise to conform to this resolution and the terms of
this sale and transfer of control.
g. To the extent required as a result of the sale of
stock and transfer of control, the replacement of any and
all letters of credit, bonds, insurance certificates, or
other forms of security provided to the City pursuant to
the terms of the Franchise.
h. North Central shall have agreed to conduct "proof of
performance tests" as required by the FCC, with 50% of
the test sites selected by City on the scheduled day.of
the tests, and any sweeping and balancing of the system
required as a result of the end-of-line performance
tests. In addition, North Central shall have agreed to
REGULAR COUNCIL MEETING
AUGUST 24, 1992
PAGE 9
conduct an annual sweep and balance of the trunk cable
system, and a bi-annual (every other year) sweep and
balance of the distribution system.
i. North Central shall have agreed that any area served
by the Columbia Heights/Hilltop cable system that fails
to have cable service provided to its customers for over
one hour in any twelve (12) month period, due to a
failure of power which would have been prevented by the
provision of standby power in the affected power supply,
then North Central must install standby power capability,
with batteries, to the effected power supply within
thirty (30) days of the above mentioned one hour failure.
3. North Central shall have agreed to maintain and
continue 'to provide access facilities and equipment
required in the Franchise.
k. North Central shall have agreed to reimburse City for
all expenses incurred in relation to the interim
transaction and final Transfer of Ownership, including an
agreement to reimburse City for any expenses associated
with subsequent ordinance amendments required by the
Transfer of Ownership but not incurred until after
closinG.
1. North Central shall have agreed to provide in the
access facility located in the City a portable switcher
with at ]east a two camera capacity, one camcorder equal
to or greater than the quality and specifications of the
existing camcorders currently located at the facility,
and up to One Thousand Dollars ($1,000) for the purchase
of miscellaneous equipment such as headsets and
microphones.
m. North Central shall have agreed to pay to City Twenty
Thousand Six Hundred Dollars ($20,600) in lieu of
providing automatic audio control on all over-the-air
broadcast channels and access channels. The City hereby
agrees to waive the Franchise requirement that automatic
volume control shall be provided on all over-the-air
broadcast channels and access channels, provided however,
should a volume level variation problem arise on the
access channels in the sole opinion of the City, North
Central shall install automatic gain control systems
("AGC") on any such problem access channels.
REGULAR COUNCIL MEETING
AUGUST 24, 1992
PAGE 10
n. Failure to comply with above conditions 'b., f.,
h., i., j., k., l., and m." shall render City's
Resolution of Approval null and void.
o. Failure to comply with condition "a.," above, or any
agreements required by~ this Resolution shall result in
penalties and/or sanctions provided for in the Franchise.
The above resolution was moved by Councilmember Ruettimann and
duly seconded by Councilmember Peterson.
The following Councilmembers voted in'the affirmative:
Clerkin, Ruettimann, Peterson, Murzyn
The following Qouncilmember voted in the negative:
Nawrocki
Passed this 24th day of August, 1992.
Mayor Donald J. Murzyn, Jr.
Jo-Anne Student, Council Secretary
ATTEST:
The undersigned, the Deputy City Clerk of the City of Columbia
Heights, Minnesota does hereby certify that attached hereto is
a true and correct copy of Resolution No. 92-24, which
Resolution was duly adopted by the City Council on the 24th
day of August, 1992 and is in full force and effect on the
date hereof.
Jo-Anne Student (sig.)
Deputy City Clerk
Motion by Ruettimann, second by Murzyn to close the public
hearing on transfer of the cable franchise. Roll call: All
ayes
REcEss: 8:00 p.m.
RECONVENE: 8:05 p.m.
REGULAR COUNCIL MEETING
AUGUST 24, 1992
PAGE ll
COMMUNICATIONS
a. Consumption of Beer in Sullivan Lake Park
Motion by Ruettimann, second by Clerkin to ratify the approval
of the consumption of non-intoxicating malt liquor by
Medtronic Neurological Division on Friday, August 21, 1992
from 10:30 a.m. until 6:00 p.m. at Sullivan Lake Park. Roll
call: All ayes
OLD BUSINESS
a. Temporary Alley Closing - 4600 Block Between Central Avenue
and Tyler Street
Staff discussed'five issues regarding this alley closing which
were of concern. The alley barricading was initially requested
to deter vehicles which use it to by-pass the stop light on
47th and Central Avenues and to put in a play area for
children.
Adequate parking space for the adjoining apartment building
was a concern. Staff advised that the building owner had given
permission for the installation of a basketball hoop on his
property and for it to be used as recreational space for
residents in area.
The City Manager suggested this barricading could be done on
a trial basis and that its workability be reviewed after a
certain period of time. The Public Works Director stated there
would be a chain put across the alley with reflectorized signs
so it would be visible to motorists after dark·
Motion by Murzyn, second by Peterson to redirect traffic in
the alleyway under discussion from March 31 until October 31
with a chain type device as discussed subject to a review on
a one year basis·
Councilmember Ruettimann requested staff to monitor what types
of problems are encountered by the refuse hauler with this
barricade and log any complaints that may be received.
Councilmember Nawrocki acknowledged that the intention of the
motion is well meaning but he felt the realities as noted in
the five concerns expressed by staff should be considered.
REGULAR COUNCIL MEETING
AUGUST 24, 1992
PAGE 12
The City Attorney advised that discretionary immunity could
apply to the City's responsibility in this situation· He felt
the barricade would create a safer environment than the one
which presently exists.
Roll call:
C]erkin, Ruettimann, Peterson, Murzyn - aye
Nawrocki - nay
b. Opening of Third Liquor Store
The City Manager advised that the City's third liquor store
may not be opened before next spring. Staff is presently
negotiating with the owner of the building where the liquor
store is being proposed for location.
NEW BUSINESS
a. Authorization to Seek Bids for MSC Lighting
Motion by Clerkin, second by Ruettimann to authorize staff to
seek bids for Municipal Service Center lighting.
b. Acting City Manager
Motion by Ruettimann, second by Peterson to appoint Linda
Magee as the Acting City Manager in the absence or disability
of City Manager, Stuart Anderson, or in the absence or
disability of the City Manager as determined by the Mayor or
President Pro-Tem. Roll call: All ayes
c. Request to Excavate in Street Less than Five Years Old
Motion by Nawrocki, second by Peterson to authorize Minnegasco
to install an anode in Washington Street at Sullivan Drive in
accordance with the street excavation permit. Roll call: All
ayes
d. Authorization to Obtain Quotes for Replacement of Closed
Circuit TV Equipment
Counci]member Nawrocki made suggestions as to what advantages
there may be to have this work performed by a contractor. He
requested a cost study be done addressing costs of this work
being contracted out. He also requested costs be gotten which
would include labor using city crews and maintenance costs of
the present equipment.
REGULAR COUNCIL MEETING
AUGUST 24, 1992
PAGE 13
i0.
Motion by Clerkin, second by Peterson to authorize staff to
obtain quotes for the replacement of the Closed Circuit
Television Equipment. Roll call: All ayes
~. Authorization to Dispose'of City Property
Staff is requesting authorization to dispose of four vehicles
in the Hennepin County auction scheduled for October 3, 1992.
Councilmember Nawrocki questioned the need for replacing the
old rescue van with a new vehicle. He felt it was not used
very much. Staff advised that a smaller van is being
recommended to replace the rescue van.
Motion by Peterson, second by Clerkin to authorize the City
Manager to dispose of Municipal Units #0256 - 1982 Chevy van
(old rescue unft), #3793 - 1959 International (Civil Defense
van), #0231 - 1982 Ford Crown Victoria, and #PD 48 - 1989 Ford
Crown Victoria at the Hennepin County Auction scheduled for
October 3, 1992. Roll call: All ayes
REPORTS
a. Report of the City Manager
The City Manager's report was submitted in writing and the
'following additional items were discussed:
1. Midblock Lighting Concern: At a previous Council meeting a
resident on Jefferson Street had advised the Council that the
placement of the wires for a street light will be going
directly over her deck. She requested this wire be relocated.
The City Manager noted that the City is working with Northern
States Power Company to relocate this wire.
2. Update on Nuisance Complaints: Amemo was received from the
Police Chief updating the Council on ongoing nuisance
complaints at two addresses on Tyler Street.
3. Lions Club Clean-Up Project: The St. Anthony Lions Club has
enlisted the assistance of the Columbia Heights Lions Club and
the Northeast Minneapolis Lions Club in cleaning up a property
adjacent to railroad tracks which is owned by the Soo Line
Railroad.
The Soo Line Railroad has requested a "hold harmless" document
for this venture. The International Lions Club officials have
recommended that none of the involved Lions Clubs sign this
document.
REGULAR COUNCIL MEETING
AUGUST 24, 1992
PAGE 14
The City Manager is seeking direction regarding the City
signing this document. The City Attorney advised that the City
needs to have some minimal involvement in the project to sign
the 'hold harmless" document. This involvement must be an
insurable interest so the City's insurance will cover if there
may be a claim. All members indicated their support for
signing this document and some suggestions regarding an
insurable interest were discussed.
4. Rice Creek Watershed: The Rice Creek Watershed District is
holding a public hearing on the proposed amendment to the
Capital Improvements Program. The project to be considered is
in regard to Locke Lake in Fridley.
Councilmember Nawrocki inquired if this would be an assessable
project and if,Columbia Heights would be included in the
assessment. The,Public Works Director will get the answers'to
these inquiries.
Councilmember Nawrocki also requested staff to get the current
year's tax levy on Columbia Heights properties in the Rice
Creek Watershed District.
b. Report of the City Attorney
The City Attorney had nothing to report at this time.
ADJOURNMENT
Motion by Nawrocki, second by Clerkin to adjourn the meeting
at 9:32 p.m. Roll call: All ayes
Mayo~' Donald J./M~rzy~, 'Jr.
o-A~'ne Student, Council Secretary