HomeMy WebLinkAbout06-13-2016OFFICIAL PROCEEDINGS
CITY OF COLUMBIA HEIGHTS
CITY COUNCIL MEETING
JUNE 13, 2016
The following are the minutes for the regular meeting of the City Council held at 7:00 PM on Monday June 13,
2016 in the City Council Chambers, City Hall, 590 40th Avenue N.E., Columbia Heights, Minnesota
1. CALL TO ORDER
Mayor Peterson called the meeting to order at 7:07 p.m.
2. ROLL CALL
Present: Mayor Peterson, Councilmembers Nawrocki, Williams, Schmitt and Murzyn, Jr.
Also Present: Walt Fehst; City Manager, Jim Hoeft; City Attorney, Kevin Hansen; Public Works Director, Gary
Gorman; Fire Chief, Joe Hogeboom; Community Development Director, Keith Dahl; Economic Development
Manager, Joe Kloiber; Finance Director and Katie Bruno; City Clerk /Council Secretary
3. INVOCATION
Invocation provided by Max Richter, Community Methodist Church
4. PLEDGE OF ALLEGIANCE
S. 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.)
6. PROCLAMATIONS, PRESENTATIONS, RECOGNITION, ANNOUNCEMENTS, GUESTS
A. Presentation of Humanitarian of the Year Award to Robert Peltier
Mayor Peterson read a certificate detailing many of Mr. Peltier's volunteer activities, noting that a total of nine
nominations were received from the community. Mr. Peltier gratefully accepted the award, and thanked the
many others he has worked with. Councilmember Nawrocki thanked Bob on behalf of the community, noting
he is most deserving of the award. Dave Rudolph; representing SACA shared that Bob is a "joy to work with"
and has contributed to the success of SACA.
B. Recognition of Jon Moberg, Columbia Academy
Mayor Peterson acknowledged Columbia Academy Assistant Principal Jon Moberg for administering the
Heimlich Maneuver on a sixth -grade student who was choking on a carrot during lunch.
C. Recognition of Sun Focus Reporter, Kassie Petermann
Mayor Peterson presented Kassie Petermann from the Sun Focus with a certificate, and thanked her for her
dedicated service in reporting the news and events for the City of Columbia Heights.
7. 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 23, 2016
MOTION: Move to approve the minutes of the City Council worksession of June 6, 2016
B. Accept Board and Commission Meeting Minutes
MOTION: Move to accept the minutes of the Library Board Meeting from May 4, 2016
MOTION: Move to accept the minutes of the Park & Recreation Commission meeting from Jan. 27,
2016
MOTION: Move to accept the minutes of the Park & Recreation Commission meeting from April 27,
2016
MOTION: Move to accept the minutes of EDA meeting from January 4, 2016
MOTION: Move to accept the minutes of EDA meeting from April 4, 2016
MOTION: Move to accept the minutes of EDA meeting from May 2, 2016
C. Consenting to and Approving The Issuance by the Columbia Heights Economic Development
Authority of Tax Increment Revenue Refunding Bonds. Res No. 2016 -50
MOTION: Move to waive the reading of Resolution 2016 -50, there being ample copies available to the
public.
MOTION: Move to adopt Resolution 2016 -50, Resolution consenting to and approving the issuance by
the Columbia Heights Economic Development Authority of Tax Increment Revenue Refunding Bonds.
D. Final Payment For Sanitary Sewer Lining, Project 1404
MOTION: Move to accept the work for Sanitary Sewer Lining, City Project No. 1404, and to authorize
final payment of $7,350.90 to Veit and Company, Inc. of Rogers, Minnesota.
E. Authorize Capital Equipment Purchase. *Removed for Discussion
F. Property Donation located at 666 40th Ave. NE Columbia Heights. *Removed for Discussion
G. Stinson Business Center Development Contract. *Removed for Discussion
H. Approve Resolution for a Joint Grant Application Supporting the Reconstruction of 37th Avenue
From Central Avenue to Stinson Boulevard. *Removed for Discussion
1. Approve Business License Applications
MOTION: Move to approve the items as listed on the business license agenda for June 13, 2016.
J. 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 161362 through 161644 in the amount of
$ 3,162,376.55.
Councilmember Nawrocki requested items E, F, G and H be removed for discussion.
Motion by Councilmember Williams, seconded by Councilmember Murzyn, Jr. to approve the consent agenda
items A, B, C, D, 1, and J. All Ayes, Motion Carried.
The following items were removed for discussion:
E. Authorize Capital Equipment Purchase
Director of Public Works, Kevin Hansen explained that the city maintains turf in various areas of the city that is
sloped and quite steep; including Jackson Pond, the University Avenue right of way, and the water tower hill.
The Ventrac 4500 is a slope mower that can cut grass on steep terrain and will navigate slopes up to 30
degrees. We would also be able to utilize this machine as a backup to our 580 Toro lawn mower for field
mowing. Another advantage of this piece of equipment is that it has attachments for snow and ice control as
well as other numerous applications. City Manager Walt Fehst reported this will address safety concerns as
well.
Motion by Councilmember Murzyn, Jr., seconded by Councilmember Schmitt to authorize the purchase of (1)
new Ventrac 4500 Tractor with attachments from Cushman Motor Company, inc. of Minneapolis, MN for a
total cost of .$44,108.51. Funding shall come from the Parks Capital Equipment Fund 431 - 45200. All Ayes,
Motion Carried.
F. Property Donation located at 666 40th Ave. NE Columbia Heights
Economic Development Manager Keith Dahl reported the City has been working with the property owner for
some time due to title issues. Councilmember Nawrocki questioned the plans for the donated property.
Director Hansen stated the structure may be demolished, to allow for greenspace and an entry point for Huset
Park.
Motion by Councilmember Nawrocki, seconded by Councilmember Williams to waive the reading of Resolution
2016 -51, there being ample copies available to the public. All Ayes, Motion Carried.
Motion by Councilmember Murzyn, Jr., seconded by Councilmember Schmitt to approve resolution 2016 -51
authorizing acceptance of the donation of the property located at 666 40th Avenue Northeast in the City of
Columbia Heights; and furthermore, to authorize the City Manager to enter into any agreements for the same.
All Ayes, Motion Carried.
G. Stinson Business Center Development Contract
Community Development Director Joe Hogeboom reported that in March the Planning and Zoning
Commission approved the site plan for a proposal to construct a two phased development.
The first phase will include a 5,120 sq. ft. commercial building, which will house a dental office and one -two
other tenants. Phase one construction is expected to begin this summer. Phase two is for a proposed 10,240
sq. ft. building which will be marketed to other commercial - medical types of uses. Currently there is no
construction timeline for phase two. The proposed development will include a 10 foot wide bituminous public
trail on the north side of the lot and a decorative water ponding feature on the west side of the lot.
Councilmember Nawrocki asked if there is additional cost to the City other than the cost of preparing the
agreement.
Director Hansen stated that all development contracts include certain requirements including site restoration,
and standard curb cuts. The City will be constructing the trail, with funds available in the Parks budget.
Councilmember Schmitt inquired about the reason for a pond. Director Hansen explained this is a minimum
requirement of the Rice Creek Watershed District.
Motion by Councilmember Williams, seconded by Councilmember Schmitt to waive the reading of Resolution
No. 2016 -52, there being ample copies available to the public. All Ayes, Motion Carried.
Motion by Councilmember Williams, seconded by Councilmember Schmitt to approve Resolution No. 2016 -52,
being a resolution of the City Council of Columbia Heights, Minnesota, authorizing the execution of the
Development Contract far Stinson Business Center, between the City of Columbia Heights and Salad
Investments, LLC. All Ayes, Motion Carried.
H. Approve Resolution for a Joint Grant Application Supporting the Reconstruction of 37th Avenue From
Central Avenue to Stinson Boulevard
Director of Public Works, Kevin Hansen reported that recently, the City of Minneapolis contacted us to begin
discussions on the street and to look at potential funding sources. Estimates of the reconstruction cost
of this segment of roadway are in the $8 -10 million range. Minneapolis brought forward the idea of jointly
applying for Federal Funds under the Regional Solicitation Program, administered by Metropolitan Council.
Applications are due to Metropolitan Council July 15th, and awards are made in January of 2017. Funding is
for projects in years 2020 and 2021. The City of Columbia Heights share is state -aid eligible.
Motion by Councilmember Nawrocki, seconded by Councilmember Williams to waive the reading of Resolution
2016 -53, there being ample copies available to the public. All Ayes, Motion Carried.
Motion by Councilmember Nawrocki, seconded by Councilmember Williams to adopt Resolution 2016 -53 in
support of the request for Federal STP funds for the 37th Avenue Improvements from Central Avenue to Stinson
Boulevard. All Ayes, Motion Carried.
8. PUBLIC HEARINGS
9. ITEMS FOR CONSIDERATION
A. Other Ordinances and Resolutions
a. First Reading of Ordinance 1628, Amending Chapter 8, Article IV, of City Code
Fire Chief Gary Gorman reported the Minnesota State Fire Code is updated every few years through the State
code adoption process. In 2005, City Code was amended to perpetually adopt the most recent version of the
Fire Code along with some of the optional appendices. On May 2, 2016 the State adopted the 2015 State Fire
Code. While the City does not need to adopt the new version of the fire code it may need to change the
appendices that are adopted. The proposed change to City Code allows for the City to adopt the optional
appendices by Council Resolution instead of by Ordinance if there is a change.
Motion by Councilmember Murzyn, Jr., seconded by Councilmember Williams to waive the reading of Ordinance
No. 1628, there being ample copies available to the public. All Ayes, Motion Carried.
Motion by Councilmember Murzyn, Jr., seconded by Councilmember Williams to establish a second reading of
Ordinance No. 1628 being an Ordinance amending Chapter 8, Article IV of City Code of 2005 relating to the
adoption of the Minnesota State Fire Code for July 11, 2016 at approximately 7:00 pm in the Council Chambers.
b. First Reading of Ordinance 1631, Conveyance of Certain Real Property to the EDA
Economic Development Manager Keith Dahl reported the EDA administers a Scattered Site Housing Program.
The EDA intended to convey twelve properties to contractors that will construct homes, and to that end has
engaged the services of Re /Max Synergy through an Exclusive Right to Sell Listing Contract. The property
located at 40115th Street is one of the twelve properties intended to be conveyed to a contractor, however the
aforementioned property was and is owned by the City. In order for the EDA to convey this property, the City
needs to approve Ordinance 1631 conveying 40115th Street from the City to the EDA.
Motion by Councilmember Nawrocki, seconded by Councilmember Williams to waive the reading of Ordinance
No. 1631, there being ample copies available to the public. All Ayes, Motion Carried.
Motion by Councilmember Nawrocki, seconded by Councilmember Williams to set the second reading of
Ordinance No. 1631, being an ordinance authorizing the conveyance of certain real property located at 4011
5th Street, forlune 27, 2016 at approximately 7:00 P.M. in the City Council Chambers. All Ayes, Motion Carried.
B. Bid Considerations
C. New Business and Reports
10. ADMINISTRATIVE REPORTS
City Manager Walt Fehst reported the delegation for the All America City Awards will be leaving Thursday June
16th, and thanked the Council for their support as well as all of those involved in the planning and preparation.
Councilmember Nawrocki requested the council receive a copy of the draft newsletter when it becomes
available.
Councilmember Nawrocki stated the area on 39th Ave between Quincy & Jefferson still needs to be addressed,
as there are excess vehicles and tires. City Manager Fehst indicated there has been some improvement, and
will check the city code regarding tire storage.
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12. ADJOURNMENT
Mayor Peterson reminded us to remember our service men and women, and our police officers and fire
fighters, and to keep them in our thoughts and prayers.
Meeting adjourned at 8:09 p.m.
Respectively Submitted,
Katie Bruno, Council Secretary /City Clerk
Resolution No. 2016 -50
CONSENTING TO AND APPROVING THE ISSUANCE BY THE COLUMBIA HEIGHTS
ECONOMIC DEVELOPMENT AUTHORITY OF TAX INCREMENT REVENUE REFUNDING
BONDS
BE IT RESOLVED by the City Council (the "City Council ") of the City of Columbia Heights, Minnesota (the
"City ") as follows:
Section 1. Findings.
1.01. The Columbia Heights Economic Development Authority (the "Authority ") and the City previously
established the Huset Park Area Tax Increment Financing District (the "TIF District ") pursuant to authority granted by
Minnesota Statutes, Sections 469.174 through 469.1794, as amended (the "Tax Increment Act "), within the Downtown
CBD Redevelopment Project (the "Redevelopment Project "), and adopted a tax increment financing plan for the purpose
of financing certain improvements within the TIF District. In order to provide for the redevelopment of the
Redevelopment Project and the TIF District, the Authority entered into an Amended and Restated Contract for Private
Redevelopment, dated as of August 1, 2007, between the Authority, the City, and BNC National Bank, as successor in
interest to Huset Park Development Corporation, dated as of August 1, 2007, as amended, and pursuant to the Second
Amended and Restated Contract for Private Redevelopment, dated October 30, 2015 (the "Contract ") between the
Authority, the City, and Columbia Heights Leased Housing Associates I, LLLP, a Minnesota limited liability limited
partnership (the "Redeveloper ").
1.02. Pursuant to Section 469.178 of the Tax Increment Act, the Authority is authorized to issue and sell its
bonds for the purpose of financing or refinancing public redevelopment costs of the Redevelopment Project and to pledge
tax increment revenues derived from a tax increment financing district established within the Redevelopment Project to
the payment of the principal of and interest on such obligations.
1.03. On August 3, 2007, the Authority issued its Tax Increment Revenue Bonds (Huset Park Area
Redevelopment Project), Series 2007 (the "Prior Bonds "), in the original aggregate principal amount of $2,890,000,
pursuant to the TIF Act, Minnesota Statutes, Sections 469.001 through 469.047, as amended, and Minnesota Statutes,
Sections 469.090 through 469.1082, as amended (collectively, the "Act'). The Authority applied the proceeds of the Prior
Bonds to finance certain public redevelopment costs of the Redevelopment Project (the "Project Costs "). The Prior Bonds
are currently outstanding in the principal amount of $2,475,000 and are subject to redemption at the option of the
Authority on or after August 15, 2015, at a price of par plus accrued interest.
1.04. On the date hereof, the Board of Commissioners (the `Board ") of the Authority has considered a
resolution (the "Bond Resolution ") authorizing the issuance of its Tax Increment Revenue Refunding Bonds (Huset Park
Area Redevelopment Project), Series 2016 (the "Bonds "). The Bonds are proposed to be issued pursuant to the terms of
the Bond Resolution and a First Amendment to Paying Agent Agreement (the "Paying Agent Agreement'), between the
Authority and Bond Trust Services Corporation (the "Paying Agent'), which amends the Paying Agent Agreement with
respect to the Prior Bonds, dated as of August 1, 2007, between the Authority and the Paying Agent. The Bonds shall be
secured by the terms of the Paying Agent Agreement and shall be payable solely from Available Tax Increment (as
defined in the Paying Agent Agreement) that is expressly pledged to the payment of the Bonds pursuant to the terms of
the Paying Agent Agreement.
1.05. Pursuant to City Council Resolution No. 2001 -62 (the enabling resolution for the Authority), the City
Council must approve the issuance of bonds by the Authority.
Section 2. Approval of Bonds.
2.01. The City Council hereby approves and consents to the issuance by the Authority of the Bonds upon the
terms and pursuant to the conditions set forth in the Bond Resolution and the Paying Agent Agreement. The City Council
approves and consents to the application of the proceeds derived from the sale of the Bonds to the refinancing of the
Project Costs, the payment of the costs of issuance and other related costs with respect to the Bonds, and the funding of a
reserve fund.
2.02. As provided in the Paying Agent Agreement and the Bonds, the Bonds are not to be payable from nor
charged upon any funds of the Authority or of the City, other than the revenues pledged to the payment thereof, the
Authority and the City are not subject to any liability thereon except from such revenues pledged to the payment thereof,
and no holders of the Bonds shall ever have the right to compel any exercise of the taxing powers of the Authority or the
City (other than as contemplated by the pledge of tax increment revenues under the terms of the Paying Agent Agreement)
to pay any of the Bonds or the interest thereon, nor to enforce payment thereof against any property of the Authority or
City other than the property expressly pledged thereto; the Bonds shall not constitute a charge, lien, or encumbrance, legal
or equitable, upon any property of the Authority or the City other than the revenues expressly pledged thereto; each Bond
issued under the Paying Agent Agreement shall recite that the Bonds are issued without a pledge of the general or moral
obligation of the Authority, and that the Bonds, including interest thereon, are payable solely from the revenues pledged to
the payment thereof, and no Bond shall constitute a debt of the Authority or the City within the meaning of any
constitutional, statutory, or charter limitation.
Resolution No. 2016 -51
A Resolution Authorizing the Acceptance of a Donation of the Property Located at 666 40th Avenue Northeast in the City
of Columbia
WHEREAS, the City of Columbia Heights is authorized to accept donations of real property and personal property
pursuant to Minnesota Statues Section 465.03 for the benefit of its citizens; and
WHEREAS, the property owner Michael Thoennes has offered to donate the property located at 666 40th Avenue
Northeast, in the City of Columbia Heights, County of Anoka, State of Minnesota, which is legally described as follows:
Lots 45 and 46, Block 65, Columbia Heights Annex to Minneapolis, County of Anoka, State of Minnesota,
according to the recorded plat thereof; and
WHEREAS, the offer to donate the subject property was received by the City of Columbia Heights in a letter dated
December 23, 2008; and
WHEREAS, the property will be used as a park access into Huset Park; and
WHEREAS, accepting the donation and removing the building is consistent with the City of Columbia Heights
Comprehensive Plan; and
WHEREAS, the City Council finds that it is appropriate to accept the donation of the subject property.
NOW, THEREFORE BE IT RESOLVED that the City of Columbia Heights accepts the donations of the subject property
donation based on the following:
1) All utilities are paid by the subject property owner by the date of closing
2) The City will be responsible for any taxes due and payable in 2016 and beyond
3) The building shall be vacant upon closing
4) Staff is authorized to prepare bids and documents for the purpose of demolition to the building on the
subject property.
A resolution of the City Council for the City of Columbia Heights, Minnesota, authorizing the execution of the
Development Contract for Stinson Business Center, between the City of Columbia Heights and Salad Investments, LLC.
Whereas, the Planning and Zoning Commission approved the Site Plan for the Stinson Business Center on March 2nd
2016; and
Whereas, certain public improvements will be completed as a component of the project, including the installation of a
public trail on the north end of the property from Stinson Boulevard to McKinley Street., and a storm water retention
ponding feature on the west side of the property; and
Whereas, certain public improvements associated with the project are necessary to be reviewed and monitored by the
City.
Now, therefore, in accordance with the foregoing, and all ordinances and regulations of the City of Columbia Heights,
the City Council of the City of Columbia Heights approves Resolution No. 2016 -52, authorizing the execution of the
Development Contract for Stinson Business Center, between the City of Columbia Heights and Salad Investments, LLC.
Resolution No. 2016 -52
A resolution of the City Council for the City of Columbia Heights, Minnesota, authorizing the execution of the
Development Contract for Stinson Business Center, between the City of Columbia Heights and Salad Investments, LLC.
Whereas, the Planning and Zoning Commission approved the Site Plan for the Stinson Business Center on March 2nd
2016; and
Whereas, certain public improvements will be completed as a component of the project, including the installation of a
public trail on the north end of the property from Stinson Boulevard to McKinley Street., and a storm water retention
ponding feature on the west side of the property; and
Whereas, certain public improvements associated with the project are necessary to be reviewed and monitored by the
City.
Now, therefore, in accordance with the foregoing, and all ordinances and regulations of the City of Columbia Heights,
the City Council of the City of Columbia Heights approves Resolution No. 2016 -52, authorizing the execution of the
Development Contract for Stinson Business Center, between the City of Columbia Heights and Salad Investments, LLC.
Resolution No. 2016 -53
A resolution of the City Council for the City of Columbia Heights, Minnesota, supporting Federal Surface
Transportation Program (STP) funding application submittal for 37th Avenue Improvements
WHEREAS, the City Council of the City of Columbia Heights is the official governing body; and
WHEREAS, the centerline of 37th Avenue from Central Avenue to Stinson Boulevard represents the municipal
boundary between the cities of Columbia Heights and Minneapolis; and
WHEREAS, the cities of Minneapolis and Columbia Heights jointly desire to reconstruct 37th Avenue from
Central Avenue to Stinson Boulevard; and
WHEREAS, the improvements are intended to create a safe, efficient, pedestrian friendly, "green ", multimodal
compatible roadway; and
WHEREAS, the project is consistent with the City of Columbia Height's Comprehensive Pedestrian and Trail
Plan; and
WHEREAS, the proposed pedestrian improvement on 37th Avenue will provide east- west connectivity of the
local pedestrian system; and
WHEREAS, the City of Columbia Heights accepts responsibility for an amount equal to or greater than 20
percent (cost is shared with the City of Minneapolis) of the eligible project construction cost, together with the
cost for design, administration, right -of -way, and peripheral project costs; and
WHEREAS, the City of Columbia Heights is committed to the operation and maintenance of the improvements
under the City's jurisdiction for the design life of these improvements;
Now, therefore, in accordance with the foregoing, and all ordinances and regulations of the City of Columbia
Heights, the City Council of Columbia Heights makes the following: Findings of Fact:
1. The Council adopts this Resolution in support of the request for Federal RSP funds for the 37th Avenue
Improvements.
2. That a copy of this Resolution be provided to the Metropolitan Council Transportation Advisory Board
and Technical Advisory Commission as part of the 37th Avenue Improvements application for Federal
Funds under the Regional Solicitation Program (RSP)