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HomeMy WebLinkAbout06-09-2014 Regular" i JUNE 9, 2014 THE FOLLOWING ARE THE MINUTES FOR THE REGULAR MEETING OF THE CITY COUNCIL HELD AT 7:00 PM ON MONDAY JUNE 9, 2014 IN THE CITY COUNCIL CHAMBERS, CITY HALL, 590 40TH AVENUE N.E., COLUMBIA HEIGHTS, MINNESOTA EWWAV ffJ $J 1 The meeting was called to order by Mayor Peterson at 7:10 PM. 2. ROLL CALL Present: Councilmembers Schmitt, Diehm, Nawrocki, Mayor Peterson Also Present: Walt Fehst, City Manager; Jim Hoeft, City Attorney; Katie Bruno, Council Secretary; Bethany Grabow, Children's Librarian; Kevin Hansen, Public Works Director; John Larkin Assistant Fire Chief; Elizabeth Holmbeck, Associate City Planner; Joe Hogeboom, Community Development Director; Joe Kloiber, Finance Director 3. INVOCATION Pastor Bob Lyndes from Crest View Senior Community provided the invocation. 4. PLEDGE OF ALLEGIANCE - recited 5. ADDITIONS/DELETIONS TO MEETING AGENDA (The Council, upon majority vote of its members, may make additions and deletions to the agenda. These may be items brought to the attention of the Council under the Citizen Forum or items submitted after the agenda preparation deadline.) Mayor Peterson reported that the order of Public Hearing Items A and B would be swapped. 7. PROCLAMATIONS, PRESENTATIONS, RECOGNITION, ANNOUNCEMENTS, GUESTS A. Presentation of Humanitarian of the Year Award to Lorien Mueller. Mayor Peterson presented the 2014 Humanitarian of the Yare Award to Lorien Mueller, and thanked her for her service to Columbia Heights. Ms. Mueller gratefully accepted the award. B. Presentation of Community Partnership grant for $2,500 for firefighter protective clothing. Mike Hartell representing CenterPoint Energy presented the City with a check for $2,500 to use towards the purchase of protective clothing for the fire department. John Larkin expressed gratitude for the grant; explaining that the protective equipment is perishable, and this will help with replacement costs. C. Announcement from Children's Librarian Bethany Grabow regarding Bookawocky, the 2014 Summer Reading Program for Youth. Ms. Grabow reported that she has talked with about 2,000 kids in the community regarding summer reading opportunities at the library. June 2nd was the first day to sign up, 68 youth did so, now over 200 have signed up, and that number is expected to increase once school is officially recessed for summer. Mayor Peterson thanked Ms. Grabow for her dedicated service. 8. CONSENT AGENDA (These items are considered to be routine by the City Council and will be enacted as part of the Consent Agenda by one motion. Items removed from consent agenda approval will be taken up as the next order of business.) A. Approve Minutes of the City Council MOTION: Move to approve the minutes of the City Council meeting of May 27, 2014. B. Accept Board and Commission Meeting Minutes MOTION: Move to accept the Economic Development Authority minutes of May 5, 2014. MOTION: Move to accept the Planning & Zoning draft minutes of June 3, 2014. MOTION: Move to accept the Library Board minutes of May 7, 2014. C. Approve Business License Applications MOTION: To approve the items listed on the business license agenda for June 9, 2014 as presented. D. Payment of Bills MOTION: Move that in accordance with Minnesota Statute 412.271, subd. 8, the City Council has received the list of claims paid covering check number 152462 through 152631 in the amount of $422,982.17. Motion by Councilmember Diehm, seconded by Councilmember Nawrocki to approve the above items on the Consent Agenda. Motion passed unanimously. 9. PUBLIC HEARINGS A. Approve Minor Subdivision from Modern Construction for the property located at 3701 Buchanan Street NE. Associate City Planner Elizabeth Holmbeck gave an overview of the project explaining that the Minor Subdivision would split an existing vacant lot into two single family residential lots. The applicant also requested a waiver to the 60 feet minimum lot width requirement. The two proposed lots would be 54 feet in width. Holmbeck reported that the Planning and Zoning Commission recommend the Council approve the Minor Subdivision and that a waiver is granted to Code Section 9.109 (C)- minimum lot width requirement. Motion by Diehm, seconded by Schmitt to waive the reading of Resolution No. 2014 -44, there being ample copies available to the public. Motion passed unanimously. Motion by Diehm, seconded by Schmitt to approve the Minor Subdivision of the property located at 3701 Buchanan street NE. subject to certain conditions. Motion passed unanimously. Motion by Diehm, seconded by Schmitt to to grant a waiver to Code Section 9.109(C)- minimum lot width requirement of 60 feet. Motion passed unanimously. B. First reading of Ordinance No. 1615, being an Ordinance for the issuance and sale of General Obligation Library Bonds, Series 2014A, in the maximum aggregate principal amount of $7,000,000. City Manager Fehst reported that this is the first of two required readings of the ordinance. The Library Task Force has been reviewing the potential library as well as location options over the past couple of years. The task force has recommended building a library between 20,000 and 25,000 square feet to accommodate the current and future needs of Columbia Heights. Two sites have been studied; behind the former NEI building, and the former Burger King site. Anticipated building costs are about $8,000,000. The City anticipates internally financing $2,000,000, resulting in setting the second reading of the ordinance at approximately $6,500,000. The final numbers from Leo Daly will be available prior to the second reading of the ordinance. Kevin Hansen, Public Works Director reviewed the construction cost estimate received from Leo Daly, the total estimated costs for the building was $5,879.207. Hansen then compared the costs unique to both the NEI and Burger King sites. The cost range for the NEI site is $6,700,000 to $6,900,000, and the Burger King site estimate is $7,400,000, it was noted these estimates do not include overhead costs, such as architecture fees, construction testing fees and furnishing & technology fees. Hansen estimated these additional fees would be about $1,000,000. Councilmember Nawrocki stated that while a new library is desirable, it is important to be mindful of the impact this would have on taxpayers in the City. Nawrocki reported that Columbia Heights property taxes are in the upper 1/3, and has one of the lowest average family household income in the 7 county metro area. Councilmember Nawrocki also pointed out that a larger building will result in greater costs over the time. Nawrocki noted that if a referendum petition was obtained, it could be added to the general ballot. Nawrocki commented that portions of the profits from the liquor stores have been used to repay bonds and suggested delaying this project until the City catches up on other projects. Councilmember Schmitt questioned the bond rate. rate is 3.26 %. Finance Director Kloiber reported that the current Mayor Peterson opened the Public Hearing at 7:50 pm. Gail Olson -4914 Washington St NE commented that many neighboring communities have invested in new or renovated libraries. Ms. Olson stated that it is important for Columbia Heights to be competitive, and to work to retain and attract residents. Malcom Watson — 1717 49th Ave NE expressed concern with the $7,000,000 bond, stating he sees that as a lien against his property as well as the properties of all the residents in the community. Mr. Watson suggested looking into the possibility of renovating the current library, asking the Council to consider the impact to the taxpayers. David Larson -2100 Argonne Drive NE stated that the current library is 55 years old, and now is the time to replace it. Mr. Larson indicated that maintenance costs of an aging building will be substantial. It was reported that delays in construction will result in higher prices due to inflation, as well as the possibility of increasing interest rates. The benefits of a library were shared, noting the benefit to our homes, schools, churches, community. Nile Harper -1437 Glacier Lane stated that he enthusiastically supports the building of a new library at the former Burger King site. Mr. Harper offered a list of benefits including: high visibility on a highly traveled road, the proposed library will serve the entire population, development would likely encourage future development. Jane Polley -4109 Cleveland St NE shared that she sees a need for a response to meet the needs of the evolving community. It was reported that a library offers opportunities for learning, and community building. Ms. Polley stated that she tutors students from various places, and frequently there is not space available at the library. Catherine Vesley -5135 Matterhorn Drive said that she spoke to the owner of the Heights Theater , he is in support of the library as a neighbor, and would like to see development begin. Ms. Vesley reported that Northeast Bank shared the same opinion. Ms. Vesley shared her discontent with declining property values, and sees this proposal as something that would likely to retain or increase property values, as well as community perception. Ronald Vogel -4207 Fillmore St NE expressed concern with the possibility of an increase in property taxes. Mr. Vogel suggested letting the community vote on the issuance of General Obligation Bonds. Ramona Anderson -4132 Stinson Boulevard commented that a majority of residents in the City are on a fixed income. Concern was expressed with the amount of recent development, and the requirements to pay for any additional large projects. Ms. Anderson also was concerned for the residents ability to afford an increase in their property taxes, as energy costs are expected to increase as well. It was suggested that the item be placed on the ballot in November to allow the majority of residents to offer their opinion. Bob Odden -1201 42'/2 Ave NE commented that times have changed with eBooks, and kindles, questioning what the future usage of a physical library might be. Concern was expressed with an increase in property taxes, as many other entities are increases as well. The suggestion was made to consider remodeling or expanding the current facility. Mr. Odden also would like to see the item on the ballot in November. Jeff Diehm -5125 St. Moritz Drive stated that the tax base will continue to decrease until there is reinvestment made in the City. Diehm commented that the fact that there are many low income residents in the City is all the more of a reason to provide a library, to provide the use of computers, tutors, and resources. Mr. Diehm talked about a shared collective sacrifice, in order to do the right thing for the community. Diehm asked the Council to look out for the best interest of the entire community as they make their decision. City Manager Fehst clarified the financial impact on residents. For a home valued at $150,000 the estimated annual increase in property taxes would be $66.00, for a median valued home of $126,000 the estimated annual increase would be $37.00 or less. Councilmember Nawrocki stated that the impact on residents could be more, because the impact of using internal funds is not included in the estimations. Barbara Kondrick -4041 Reservoir Blvd. commented that many people come to the library for help, and many of the people could not afford to get help from other places. Ms. Kondrick thanked the Council for their careful consideration. Gregory Sloat -4731 6th St NE agreed that the residents should have the opportunity to vote on the item, because of the large dollar amount. Mr. Sloat suggested the item be added to the ballot to allow the community an opportunity to vote. Aaron Klemz -3960 Jackson St. stated he doesn't see the possibility of renovating the existing building. Mr. Klemz clarified the referendum process, that the City Council would approve the ordinance, the citizens could petition for a referendum afterwards. Mayor Peterson confirmed that is the process. Mr. Klemz spoke favorably of the project, stating the advantages in providing residents the opportunities to better themselves through knowledge gained through research. City Manager Fehst explained that staff has estimated $7,000,000 on the first reading as the final estimates are not in from the architect. The intention is to come back to the second reading with a lower amount. Staff will get a figure on the median tax household increase as well. Motion by Councilmember Diehm, seconded by Councilmember Schmitt to waive the reading of Ordinance No. 1615, there being ample copies available to the public. Motion passed unanimously. Motion by Councilmember Diehm, seconded by Councilmember Schmitt to schedule June 23, 2014 at approximately 7:00 p.m. in the City Council Chambers for the second reading of Ordinance No. 1615, being an Ordinance for the issuance and sale of General Obligation Library Bonds, Series 2014A, in the maximum aggregate principal amount of $7, 000, 000. Councilmember Nawrocki questioned if the Council could move to have the question placed on the ballot. City Attorney Hoeft explained that a petition would need to be obtained for the referendum. Councilmember Schmitt asked if one of the Councilmembers could start the petition. The City Attorney responded that as a citizen of Columbia Heights any councilmember could do so. Councilmember Schmitt commented that in 2012 a renovation study of the library was completed by Leo Daly, the estimated renovation amount was $8,000,000. Mayor Peterson stated that he supports a new library, noting that there has been ample research done on the project. Peterson commented that the residents could petition to have the question on the ballot, although the City Council is elected to serve the best interest of the public. Councilmember Schmitt clarified that tonight's vote is for the bonding issue, and not the site. Roll Call: Ayes: Diehm, Schmitt, Peterson Nays: Nawrocki 3Ayes, 1 Nay- Motion Carried 10. ITEMS FOR CONSIDERATION None 11. ADMINISTRATIVE REPORTS Report of the City Manager Councilmember Nawrocki asked the City Manager for an update regarding the Branding Campaign. City Manager Fehst explained that the City will be marketing the positive things going on in the community; including affordable housing, a great school district, a new gymnasium, and possibly a new library. Councilmember Nawrocki stated that at a cost of $30,000 he feels it is not a good investment. Manager Fehst stated that cities need to remain competitive. Mayor Peterson commented that the branding campaign will be used to improve perceptions that other communities have of the City, and keep the pride in Columbia Heights. Report of the City Attorney Nothing to report. 12. CITIZENS FORUM At this time, citizens have an opportunity to discuss with the Council items not on the regular agenda. Citizens are requested to limit their comments to five minutes. Anyone who would like to speak shall state his /her name and address for the record. Mary Miller -720 38th Ave NE addressed the Council regarding the lighting at the storage lot located at 37th and Madison, owned by Bobby & Steves. Ms. Miller stated she has talked with Bobby Williams regarding this matter, and he assured her that they will work with her. Ms. Miller is also concerned with the noise coming from Invest Cast; located at 719 39th Ave NE, noting that they had an agreement reached through mediation about ten years ago. One of the conditions of mediation was that the bay doors were to remain closed, and that is one of the current issues. Miller questioned why a foundry was permitted to operate without any type of buffer. Other issues include deliveries occurring at odd hours, running of loud fans, a particular employee with a loud vehicle. Other neighbors have registered complaints in the area as well. City Manager Fehst stated he will speak with Chief Nadeau, as well as possibly working with the mediation service to meet with Ms. Miller and Mr. Walker. Bill Walker, representing Invest Cast stated that he has spent $38,000 - $40,000 in various upgrades in order to address issues. Mr. Walker explained that he has changed their shipping schedule, and he reminds employees to keep the doors closed. City Manager Fehst thanked both parties, and reported he will check on the situation and report back to the Council. Mayor Peterson explained that difficulties arise when differently zoned properties abut. Mr. Walker indicated that he is open for reasonable discussion. Jerry LaMere -3828 Quincy stated that he lives near Invest Cast, and it is noisy, but he is happy to have a thriving business in the neighborhood. Harold Hoium -4200 3rd St. reported that there are some maintenance issues at the overhead bridge at University Ave. Mr. Hoium inquired about the overgrown grass along University Ave between the curb and fence. Public Works Director Kevin Hansen reported that the City has recently cut the right of way, but will not cut up to the fence; as that is the responsibility of the State. Joyce Meier -4931 Jackson St NE questioned if the City has an ordinance limiting the hours of garbage pick -up. She is concerned about the new business opening in the 4900 block of Central Ave. Ms. Meier requested that property inspectors from the fire department leave written instructions regarding violations. She stated her disagreement with some of the City's code requirements. Ms. Meier noted that she would like to see an ordinance prohibiting adult bicyclists form riding on the sidewalks; she sees this as a serious safety issue for pedestrians. Councilmember Nawrocki stated that he reviewed the staff's report of the property, and is in agreement with their findings. Mayor Peterson encouraged prayers and remembrance for our service men and women, and reminded residents not to take ourselves too seriously; and do a random act of kindness. Councilmember Nawrocki asked about a Special EDA meeting. City Manager Fehst stated that there will be on Monday, June 23rd at 5:30 pm. 13. ADJOURNMENT The meeting adjourned at 9:46 p.m. Respectfully submitted, Katie Bruno Council Secretary RESOLUTION NO. 2014-44 • 1 111 Ile 51 ' : 1 1111 111,11 0 WHEREAS, a proposal (Case #2014 -0605) has been submitted by Modern Construction to the City Council requesting Minor Subdivision approval from the City of Columbia Heights at the following site: ADDRESS: 3701 Buchanan Street NE. LEGAL DESCRIPTION: On file at City Hall, THE APPLICANT SEEKS THE FOLLOWING: A Minor Subdivision for 3701 Buchanan Street NE. , HEREAS, the Planning Commission has held a public hearing as required by the city Zoning Code on June 3, 2014; WHEREAS, the Planning and Zoning Commission has considered the advice and recommendations of the City staff regarding the effect of the proposed Minor Subdivision upon the health, safety, and welfare of the community and its Comprehensive Plan, as well as any concerns related to compatibility of uses, traffic, property values, light, air, danger of fire, and risk to public safety in the surrounding areas; and OW, THEREFORE, BE IT RESOLVED by the Planning and Zoning Commission of the City of Columbia Heights after reviewing the proposal, that the City Council accepts and adopts the following findings: 1. The proposed subdivision of land will not result in more than three lots. 2. The proposed subdivision of land does not involve the vacation of existing easements. 3. All lots to be created by the proposed subdivision conform to lot area and width requirements established for the zoning district in which the property is located. 4. The proposed subdivision does not require the dedication of public rights -of -way for the purpose of gaining access to the property. 5. The property has not previously been divided through the minor subdivision provisions of this article. 6. The proposed subdivision does not hinder the conveyance of land. 7. The proposed subdivision does not hinder the making of assessments or the keeping of records related to assessments. 8. The proposed subdivision meets all of the design standards specified in Section 9.115. FURTHER, BE IT RESOLVED that the attached conditions, survey, and other information shall become part of this Minor Subdivision and approval; and in granting this Minor Subdivision the city and the applicant agree that this Minor Subdivision shall become null and void if the subdivision has not been filed with the Anoka County Recorder's Office within one (1) calendar year after the approval date. CONDITIONS ATTACHED: The Planning Commission approves the Minor Subdivision for 3701 Buchanan Street NE. subject to certain ,nditions of approval that have been found to be necessary to protect the public interest and ensure compliance th the provisions of the Zoning and Development Ordinance, including: 1. All required state and local codes, permits, licenses and inspections will be met and in full compliance. 2. The applicant shall provide required utility and drainage easements for all newly created lots and shall be responsible for the cost of filing and recording written easements with the Anoka County Recorder's Office. 3. The applicant shall pay parkland dedication fees for each lot created beyond the original number of lots existing prior to subdivision, except when such fees have been applied to the property as part of a previous subdivision. 4. The applicant shall be responsible for filing the approved subdivision survey with the Anoka County Recorder's Office. The approved minor subdivision shall become invalid if the subdivision is not filed with the Anoka County Recorder's Office within one (1) year of the date of City Council action. ORDINANCE NO. 1615 well" i i t I, IN mill, MULNEW so I NO 1"A 10 tedi The City of Columbia Heights does ordain: Section 1. It is hereby determined that: (a) The City of Columbia Heights (the "City ") has proposed to construct a new public library in the City (the "Project "). (b) The City has determined to finance the costs of the Project, including all hard and soft costs and bond issuance costs, through the issuance of general obligation bonds under the Charter of the City (the "Charter "). (c) It is necessary and expedient to the sound financial management of the affairs of the City to issue its General Obligation Library Bonds, Series 2014A (the "Bonds "), in the maximum aggregate principal amount of $7,000,000, pursuant to the Charter, to provide financing for the Project. Section 2. Ehlers & Associates, Inc. is authorized to negotiate the sale of the Bonds in the maximum aggregate principal amount specified in Section 1(c), in accordance with terms of proposal approved by the Finance Director of the City. Provided no petition initiating a referendum on the issuance of the Bonds is received within thirty (30) days after publication of this ordinance, the City Council will meet on or before September 26, 2014, or such other date specified by the City Manager in accordance with the City Charter, to consider the sale of the Bonds and take any other appropriate action with respect to the Bonds. Section 3. The City hereby declares its official intent to reimburse itself for the costs of the Project from the proceeds of the Bonds, pursuant to Treasury Regulations, Section 1.150 -2, promulgated by the Internal Revenue Service. Section 4. This ordinance shall be in full force and effect from and after thirty (30) days after its passage.