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HomeMy WebLinkAbout06-27-2022 City Council Meeting MinutesCITY COUNCIL MEETING City Hall —Council Chambers, 590 40th Ave NE Monday, June 27, 2022 7:00 PM MINUTES Mayor Amdda Mdrquez Simula Councilmembers John Murzyn, Jr. Connie Buesgens Nick Novitsky Kt Jacobs City Manager Kelli Bourgeois The following are the minutes for the Meeting of the City Council held at 7:00 pm on Monday, June 27, 2022, in the City Council Chambers, City Hall, 590 40t" Avenue NE, Columbia Heights, Minnesota. Due to the COVID-19 pandemic, this hybrid meeting was held both virtually and in -person. CALL TO ORDER/ROLL CALL Council President Novitsky called the meeting to order at 7:00 pm. Present: Councilmember Buesgens; Councilmember Jacobs; Councilmember Murzyn, Jr.; Council President Novitsky Absent: Mayor Marquez Simula Also Present: Kelli Bourgeois, City Manager; Sanjin Boskovic, Police Officer; Kevin Hansen, Public Works Director; Pylye Her, Community Service Officer; Jim Hoeft, City Attorney; Sara Ion, City Clerk/Council Secretary; Ben Keuler, Community Service Officer; Venaya Kinnunen, Community Service Officer; Joe Kloiber, Finance Director; Matthew Markham, Police Captain; Joy Sabin, Police Lead Record Tech; Rachel James, City Resident; Steve Johnson, Midwest Property Management Representative; Cliff Johnson, City Resident; Nikki Kangas, City Resident; Bill Koontz, City Resident; Amada Marquez Simula, City Resident; Lee Yan, Midwest Property Management Representative; Michelle Hobbs, Midwest Property Management Representative f 24410691ye144:14TA01144 APPROVAL OF AGENDA Motion by Councilmember Jacobs, seconded by Councilmember Murzyn Jr., to approve the Agenda as presented. All Ayes, Motion Carried 4-0. PROCLAMATIONS, PRESENTATIONS, RECOGNITION, ANNOUNCEMENTS, GUESTS A. Police Department New Staff Introductions Captain Markham introduced the new Staff to the Council. He stated that Lead Record Tech Sabin, previously worked at the Anoka County Sheriff's Office for six years; Officer Boskovic is originally from Bosnia and grew up in Columbia Heights, he was a Community Service Officer (CSO) with the City, just graduated from Rasmussen College, and became a United States Citizen. All in attendance applauded. Captain Markham then introduced CSO Her, he stated he is originally from Saint Paul, and for the last six years he served in the Army in the Infantry Division; he is currently attending Metropolitan State University for his bachelor's degree and serves as a part-time CSO. City of Columbia Heights MINUTES June 27, 2022 City Council Meeting Page 2 Next, Captain Markham introduced CSO Kinnunen, who is also a part-time CSO and attends the University of Northwestern majoring in criminal justice and minoring in psychology; he added this is her first job in the criminal justice field. Lastly, Captain Markham introduced CSO Keuler, who went to college in Wisconsin and was involved in wildland firefighting in Montana; now he currently attends Inver Hills Community College, working towards his law enforcement degree, and he previously served as a Metro Transit CSO. The Council welcomed the new Staff with applause. CONSENT AGENDA Motion by Councilmember Murzyn Jr., seconded by Councilmember Buesgens, to approve the Consent Agenda as presented. All Ayes, Motion Carried 4-0. 1. Approve June 6, 2022 City Council Work Session Meeting Minutes MOTION: Move to approve the City Council Work Session Meeting minutes of June 6, 2022. 2. Approve June 13, 2022 City Council Meeting Minutes MOTION: Move to approve the City Council Meeting minutes of June 13, 2022. 3. Accept May 17, 2022 Traffic Commission Minutes MOTION: Move to accept the May 17, 2022 Traffic Commission minutes. 4. Approve Updated Canvas Health Contract for Embedded Social Worker MOTION: Authorize the City Manager to enter into an updated agreement with Canvas Health to provide two full-time mental health professionals to co -respond with police officers to individual in crisis calls. One full-time mental health professional will be paid for by the City through the US DOJ grant, and the second mental health professional will be paid through grant funds received directly by Canvas Health and will not be billed to the City. 5. Approve Resolution 2022-64, Amending Resolution 2022-001, to Designate Pershing Advisor Solutions LLC as an Additional Depository of the City of Columbia Heights for Investment Purposes MOTION: Move to waive the reading of Resolution 2022-64, there being ample copies available to the public. MOTION: Move to adopt Resolution 2022-64, amending Resolution 2022-001, to designate Pershing Advisor Solutions LLC as an additional depository of the City of Columbia Heights for investment purposes. 6. Approve Change Order No.2 for City Hall Communication Conduit Installation MOTION: Move to approve Change Order No.2 amending the Transfer Agreement with BPOZ Columbia Heights, LLC (Alatus) in the amount of $29,842.80 for excavation, concrete scanning, core drilling, waterproofing, and the installation of conduit for the City Hall communication cabling. City of Columbia Heights MINUTES June 27, 2022 City Council Meeting Page 3 7. Approve Furniture Acquisition for City Hall Buildout, Project 1911 MOTION: Move to approve the remaining furniture purchase from Fluid Interiors for City Hall furniture in the amount of $389,244.10 from Fund 411.9999.45180.1911. 8. Rental Occupancy Licenses for Approval MOTION: Move to approve the items listed for rental housing license applications for June 27, 2022, in that they have met the requirements of the Property Maintenance Code. 9. License Agenda MOTION: Move to approve the items as listed on the business license agenda for June 27, 2022 as presented. 10. Review of Bills MOTION: Move that in accordance with Minnesota Statute 412.271, subd. 8 the City Council has reviewed the enclosed list to claims paid by check and by electronic funds transfer in the amount of $1,794,091.59. f all 31 lei: 1:0.1 I i, i:4i 11. Consideration of Resolution 2022-063, Revocation of the License to Operate Rental Units Within the City of Columbia Heights Against the Rental Property at 950 39th Avenue NE for Failure to Meet the Requirements of the Residential Maintenance Codes Assistant Chief O'Brien provided the Council with an update, stating that this item pertains to three properties, two of which out of three properties have been rectified. He said that the owner owns seven rental buildings, totaling 60-63 units; they were notified of the public hearing, along with the renters, by mail and a copy was posted on their individual unit doors. He added that they also notified Junicare and Central Minnesota Legal Services about the affected addresses and the issues with those properties. Assistant Chief O'Brien stated that all items in the packet besides Items D, G, and H in the findings of fact have been addressed and corrected. He said that Item D regarding a tree is pending removal, Item G regarding the incorrect glass in the fire extinguisher box has been ordered, and Item H regarding water damage to a unit 5, has now had three permits pulled. The first permit was to fix a leaking roof, which has been replaced and inspected with a minor correction needed; the second permit was for replacement of the bathroom window, due to the incorrect window glass; the third permit was for plumbing fixtures, which that permit was satisfied. Councilmember Buesgens asked if the work was completed in the last month. Assistant Chief O'Brien stated the corrections have taken place in the last two to three weeks. Council President Novitsky opened the public hearing. Steve Johnson, Lee Yan, and Michelle Hobbs, Midwest Property Management Representatives, addressed the Council. Johnson stated that they did comply with having City of Columbia Heights MINUTES June 27, 2022 City Council Meeting Page 4 the permits pulled but the contractor did not follow through, so they took it upon themselves to do some of the work, such as the ordering of the glass. Councilmember Buesgens asked when the contractor was hired for the work and why it took five months to hire a contractor. Yan stated they began looking for a contractor a month ago. Michelle Hobbs stated that they lost a partner that was overseeing this issue and they failed to transfer the information to them, and they later found out it was not rectified. Johnson stated that there has been recent staff turnover. Yan added that the owners did not have money in their account due to lack of rent collections and some tenants refused entry to maintenance. Councilmember Buesgens questioned why the property owner was not in attendance and if a walk-through of the building was done to know the issues and then resolve them. Yan stated that the owner is out of state and then listed several improvements that the owner did to the building. Councilmember Buesgens asked why unit 5 was not addressed. Yan stated it was difficult to gain entry for repairs, and even offered the tenant another unit or a hotel so that they could make the repairs. Yan again stated they had issues with the contractor, but that they take responsibility. Yan stated that the eviction moratorium that was set up by federal laws, was in place for many months, and they couldn't evict tenants for non-payment. Councilmember Buesgens stated this is their third revocation and the owner may lose their license tonight and 63 families would have difficulty due to this. Yan said that the building has had substantial positive changes in the last two to three years. Councilmember Jacobs stated that she is hearing a lot of excuses and a lack of accountability. She added that she is disappointed that the owner is not in attendance. She proceeded to ask the Midwest Representatives their years of experience in property management and then asked why they waited to take action when they had a combined 21 years of experience. She stated that landlords receive multiple notifications of the violations stating they need to be compliant with City Code and that is why they receive rental payments. She also said that everyone has had staffing issues and contractor or scheduling delays, which is not an acceptable excuse. Jacobs stated that when the owner purchased the building they should have gone through every unit and made any repairs that were necessary. Yan asked the Council to consider the time during COVID and there was less income stream. City of Columbia Heights MINUTES June 27, 2022 City Council Meeting Page 5 Councilmember Jacobs stated that she agreed with Councilmember Buesgens and that if there isn't the bank account to support the business during a crisis then they are not operating as they should. Yan said the owner pulled a line of credit recently to complete the repairs. Johnson stated that staff are now being trained in multiple areas to help in case there is turnover. He again stated there were issues with the contractor. Councilmember Buesgens said that if the owner is not able to fund the maintenance of the properties then he should get into another business. Councilmember Jacobs asked for the timeline on the completion of the other items on the list. Michelle Hobbs stated in March or April they began painting the bathroom and bedroom in unit 5 and abated the mold, and then they believed it was complete. She said that after the snow melted, the mold returned, and they found that it was a roof issue; they had their maintenance do a repair on the area, but it was still leaking and they had to hire a contractor to do a full roof repair. She added that they have been working on the issues for months, but it wasn't actually corrected when they thought it was corrected. Councilmember Jacobs asked when the corrections were made to unit 2. Hobbs stated they were ongoing but in March some repairs were made, and then new doors were put on about a month and a half ago. Councilmember Jacobs asked when the repairs to the fascia were made. Johnson stated they were repaired immediately but the squirrels chewed through it again, so they had to repair the fascia and add flashing. Johnson stated that for unit 2, they repaired the door twice and then then it was damaged again by the tenant, so they replaced the door. Councilmember Jacobs asked when they sealed the hardwood floor in unit 7. Hobbs said it was done in the last week because the tenant needed to move his belongings, but they ended up having to assist him. Councilmember Jacobs recapped what she understood as the timeline that the property managers had given and the reason for the delays but said that their statements were not coming together, and she is disappointed in their delay in taking care of the issues. Councilmember Novitsky asked about the communication they had with the City. Johnson stated that the inspectors were coming out and signing off on items that were completed but they were having trouble getting the tenants to cooperate. He said that the tenants would not notify them of other problems, so the list just got larger, and they ran into a lot of problems while trying to get the items resolved. Johnson stated this isn't how they operate and apologized to the Council. City of Columbia Heights MINUTES June 27, 2022 City Council Meeting Page 6 Councilmember Novitsky asked if Midwest was the company at the time of the other revocation hearings. Johnson stated it was prior. Cliff Johnson, City resident, stated he is also a landlord, and he said that all landlords need to "play by the rules" because they sign an agreement for the license. He said that because there is so much corporate housing in the metropolitan area, this is coming to light now; people came into it for the money rather than taking the time that is needed for proper housing. Johnson stated he didn't like didn't treatment for different people and that unfortunately a precedent was set earlier that year with another landlord issue. He stated that there was money available from the federal government for landlords and tenants, and if they didn't take advantage of that, that's on them. He further talked about how the license and inspection process being used as a tool, that needs to be used, and the rules shouldn't be changed on who needs to adhere to them and who doesn't. Councilmember Jacobs asked Attorney Hoeft for the Council's options. He stated that sometimes when dealing with a corporate landlord it can be a little more bureaucratic but the City generally tries to work with all landlords. Hoeft said that unfortunately the tenants are the ones that take the brunt of what is decided, but as stated, it is a tool for the City to hold them accountable. He said in regard to the revocation, that the City has the legal right to do so, but it would impact the 63 families, whereas they have made good progress on the violations even though not on the City's expected timeline. He said that the Council could table the public hearing to the next Council meeting with majority approval and then they could take action at the next meeting. Councilmember Novitsky asked what would happen if the Council chose to revoke the license. Hoeft stated it would be similar to what happened previously where they would be on a timeclock and that he believed the fire department had been in contact with some legal aid to let them know that there is a possibility of another action like this. Councilmember Novitsky asked if all of tenants had been notified. Hoeft stated that the process had been changed to notify all the tenants of the impacted properties whose housing may be at jeopardy, even if the repairs aren't needed at their property. Councilmember Murzyn Jr. asked if the Council tables the item, if they can specify what items need to be done by the next meeting. Hoeft stated the Council has the authority to revoke the license that evening, so they can make them aware that if certain items are not completed by the next meeting, the Council can revoke the license then. He added that staffing and supply have been impacting many areas of the world, and that we all have experienced that to some extent. He further stated that the Council should think about if the condition is realistic due to the current times, or if progress is good enough. Councilmember Novitsky asked Assistant Chief O'Brien about the communication between the licensee and the City since the original notice. O'Brien stated that it has improved in the last month and a half. City of Columbia Heights MINUTES June 27, 2022 City Council Meeting Page 7 Councilmember Jacobs asked O'Brien if the other items, other than the glass, have a timeline for completion and the contractor is in place. O'Brien stated that they don't have a timeline for some of the items, such as the tree. Attorney Hoeft stated that if a motion is made to table and no new date is given, then it stays tabled until someone brings it back. Hoeft suggested that if it is tabled, to bring it back to the next Council meeting, and to avoid specifying certain conditions or timeframe for repairs. City Manager Bourgeois read a statement from Amada Marquez Simula, City Resident, who was attending via Zoom: "I understand how hard it is to get a phone call and a bid from a contractor especially while dealing with cancer and COVID; appreciate the management communicating with our City Staff and for hustling to get repairs done, even though it is late. I don't want to see tenants having to leave their homes in 45 days, I would rather see this topic tabled as the City Attorney suggested". Councilmember Novitsky stated he isn't in favor of tabling, due to the fact that the owner did not appear. Councilmember Buesgens stated she is concerned about the 63 families. Councilmember Jacobs said she is concerned about the families and disappointed that the owner did not attend since this ultimately falls on the owner, and this is the third potential revocation under the same ownership. She further stated that she is torn between the two options. Councilmember Murzyn Jr. said he felt sorry for the tenants but it the revocation comes up again, he will feel differently, but said he supported tabling the item. Motion by Councilmember Buesgens, seconded by Councilmember Murzyn Jr., to table Resolution 2022-063 to the July 11, 2022, Council meeting. A roll call vote was taken. All Ayes, Motion Carried 4-0. ITEMS FOR CONSIDERATION Bid Considerations 12. Accept Bids (rebids) and Award Contracts for City Hall Buildout, Project 1911 Director Hansen reported that plans and specifications were approved on March 23, 2022, by the City Council along with authorization to seek bids for the buildout of the new City Hall. The bidding process is being administered by the Construction Manager, Doran Special Projects (DSP). Bids were obtained by two means — price quotes for cost items under $175,000 and sealed bids for items over $175,000. Bids were provided in 28 construction areas identified in the project specifications. City of Columbia Heights MINUTES June 27, 2022 City Council Meeting Page 8 The initial bid opening was conducted on April 27, 2022. The initial bid tabulation for the City Hall Buildout (only) provided a total project cost of $6.4 million. DSP analyzed the bids received with a recommendation to award 24 of 28 bid areas and rebid 4 areas. The second round of bids have been received with the recommended awards below. The net of the rebid did reduce the project cost by an estimated $242,000, reducing the construction cost from $6.4 million to $6.15 million. DSP is recommending award of contracts as follows: Publicly Bid (by bid scope category): 6B Architectural Woodwork, $408,174.88; 8A Aluminum Frame Entrances, $294,135.00; 9B Ceramic Tile, $192,826.00; 22A Plumbing, $298,604.00. Bid Quotes (by bid scope category): 27B AV Communications, $403,770.00; 28A Security Systems, $153,227.00. The bid tabulation was included for each section. The bids were reviewed and tabulated by DSP and their recommendation letter was included in the packet. In each bid section, the low bidder is provided for contract award. Staff concurs with DSP's recommendations in both the Publicly Bid and Quoted categories. Staff will continue to work with DSP and each contractor to value engineer each category for additional cost reductions. Motion by Councilmember Jacobs, seconded by Councilmember Murzyn Jr., to accept rebids and award contracts for the City Hall Buildout, Project 1911, to contractors) as listed on the attached summary, based upon their low, qualified, responsible bids, in the total amount identified in each category, with funding from Fund 411.9999.45120.1911, and furthermore, to authorize the Mayor and City Manager to enter into contracts for the same. All Ayes, Motion Carried 4-0. CITY COUNCIL AND ADMINISTRATIVE REPORTS Report of the City Manager Manager Bourgeois reminded residents about yard waste; she stated to call in to Public Works by Monday at noon so that it will be picked up on Tuesday; a roll off is also available at Public Works to those who are able, to drop off at any time. She stated that the Art and Info Fair and Jamboree was last week and thanked those who attended. Bourgeois said the next event will be Music in the Park on July 6, 2022, the Jolly Ramblers will be playing at Huset Park East from 6:30 pm — 8:00 pm. Report of the City Council Councilmember Buesgens stated that at Lomianki Park there is a blooming sunshine food garden and invited the community on Tuesday nights at 5:30 pm when the work group is there. She attended the Jamboree and the Art and Info Fair; she said the parade and fireworks were great and well attended and thanked Staff for their work. Councilmember Murzyn Jr. said the parade and carnival were great, the weather was cool, and thanked Staff and the Lions Club for their efforts. City of Columbia Heights MINUTES June 27, 2022 City Council Meeting Page 9 Councilmember Jacobs stated she received feedback from neighbors that were initially concerned about the new parade route, but were pleased, and participates were also thankful for the shade cover on Quincy Street NE. She attended the Jamboree events; she recognized the fire association for the pancake breakfast, and the kids from Kiwanis for doing the cleanup. Jacobs said on Sunday she attended the Islamic Center Minnesota Annual Picnic; their vice president wanted Jacobs to convey to the police and fire department that he was disappointed they couldn't come over this time due to the other events, but they may consider moving their event to another weekend in the future so they can attend. She also facilitated five resident reach outs. Councilmember Novitsky said that since he is the Jamboree Coordinator, he is excited to hear the positive feedback; he thanked Staff and the many community groups and their members for their efforts, stating that it has turned back into a family -friendly event; he worked at the gates where children were getting their wristbands for the carnival. He stated that those with any ideas for future events contact the Lions Club. COMMUNITY FORUM Council President Novitsky opened the community forum. Bill Koontz, City Resident, stated he is concerned about the solid waste collections service, and asked if there is a charge for the service for Public Works to pick up yard waste. He said the week prior that their recycling was not picked up, and he didn't receive a response from the contractor or the City; they finally picked on Friday, but he had already brought his cart in. Koontz stated that the streets looked messy due to all of the carts and asked that the City continue to work to do something. He also asked if the fire department is still doing yard inspections and expressed concern regarding vehicles without tabs and yards with garbage and tires. Manager Bourgeois stated she forgot to mention during her report that the hiring of a seasonal property maintenance inspection position was delayed, but someone is starting in the next week or two. Nikki Kangas, City Resident, stated she is a longtime resident and is concerned about the solid waste collection service. She said that there has been issues with pick up and asked the location of where residents should be storing their carts. She also expressed concern about the lack of streetlights on 391n Avenue NE on the far end of McKinley Street NE and that there are no basketball hoop nets at Prestemon Park. Rachel James, City Resident, thanked the City and the Lions Club for their work for the Jamboree. She said the parade was wonderful and thanked Lions Club parade coordinator Shawn Clerkin, Art and Info Fair, and thanked the Public Works Staff; she said this is Columbia Heights at its best. She asked that the Council considered opening the splash pad at Huset Park at 9:00 am like other cities do, instead of 11:00 am; families have expressed that they would like to go earlier when it's cooler, they can get home before lunch, and it's safer for smaller children when it's not as busy. Manager Bourgeois read a statement from Amada Marquez Simula, City Resident, who was attending via Zoom: "Thank you to the Columbia Heights Lions for hosting the Jamboree this weekend, what a City of Columbia Heights MINUTES June 27, 2022 City Council Meeting Page 10 fantastic event. Thank you to the City Staff for the Art and Info Fair, very successful; I want to let everyone know why I'm not at the meeting tonight and why I didn't vote earlier, I was busy with all the fun of Jamboree and picked up a summer cold and three days ago, lost my voice. I'm staying home tonight because I don't want our Council or Staff to be subjected to my illness. I also have no voice to lead the meeting. I want to comment that I am happy that I can attend Council meeting virtually, but because of state law, I can only attend virtually but I can't vote or run a meeting virtually. I feel this is an antiquated state law and needs to be changed; we should have the ability to be accessible to our community. This isn't something the Council can change, but I wanted to bring this to our community's attention. Thank you." ADJOURNMENT Motion by Jacobs, seconded by Councilmember Buesgens to adjourn. All Ayes, Motion Carried 4-0. Meeting adjourned at 8:12 pm. Respectfully Submitted, Sara Ion, City Clerk/Council Secretary