Loading...
2024 10 30 CC MinutesCITY OF MENDOTA HEIGHTS DAKOTA COUNTY STATE OF MINNESOTA Minutes of the Regular Meeting Held Wednesday, October 30, 2024 Pursuant to due call and notice thereof, the regular meeting of the City Council, City of Mendota Heights, Minnesota was held at 7:00 p.m. at City Hall, 1101 Victoria Curve, Mendota Heights, Minnesota, CALL TO ORDER Mayor Levine called the meeting to order at 7:00 p.m. Councilors Mazzitello and Paper, were also present. Councilors Lorberbaum and Miller were absent. PLEDGE OF ALLEGIANCE Council, the audience, and staff recited the Pledge of Allegiance. AGENDA ADOPTION Mayor Levine presented the agenda for adoption. Councilor Mazzitello moved adoption of the agenda. Councilor Paper seconded the motion. Ayes: 3 Nays: 0 PUBLIC COMMENTS No one from the public wished to be heard. CONSENT AGENDA Mayor Levine presented the consent agenda and explained the procedure for discussion and approval. Councilor Paper moved approval of the consent agenda as presented. a. Approval of October 15, 2024, City Council Minutes b. Approval of October 15, 2024, Council Work Session Minutes c. Resolution 2024-63 Amending the 2024 Pay Classification Plan for Non -Union Employees d. Approve 2025 Fourth of July Fireworks e. Approve Police Department Out -of -State Training Request f. Accept Grant for the Mendota Heights Police Department Police Cadet Program g. Approve Purchase Orders for the City Hail AV/Cablecast Room Relocation h. Approve Plat Correction for the Springman Addition i. Approve Purchase of a Buffalo Turbine Blower j. Approval of Claims List Councilor Mazzitello seconded the motion. Ayes: 3 Nays: 0 PRESENTATIONS A) CANNABIS ORDINANCE Community Development Manager Sarah Madden provided a presentation and stated that the Council is asked to provide direction on draffing an ordinance regulating cannabis business operations within the city, in compliance with Minnesota Statutes, Chapter 342, Councilor Paper asked about the defmition of minor performance standard. Community Development Manager Sarah Madden provided some examples of what would be use specific standards, such as signage, lighting, and hours. She stated that those standards would need to be comparable to other similar uses that are allowed by Code. Councilor Paper asked if $1,000 is the license fee that can be charged. Community Development Manager Sarah Madden commented that the license fee is either that flat amount or a percentage of the State fee, whichever is lesser. Councilor Paper asked why there is such a discrepancy in what can be charged for a cannabis license versus a liquor license. Community Development Manager Sarah Madden replied that she did not have an answer for that. Councilor Paper asked if a microbusiness is similar to a brew pub. He asked if any of the potential businesses that could be licensed would be a place where people could purchase and consume cannabis. Community Development Manager Sarah Madden explained how micro and mezzo businesses are differentiated by the Office of Cannabis Management kOCM), in that micro means one and mezzo means multiple. She stated that in regard to onsite consumption, she was unsure but noted that there are THC drinks sold at breweries that can be consumed onsite. Councilor Paper referenced the proposed buffers and asked how a school is defined, referencing music schoolsI Police Chief Kelly McCarthy stated that typically onsite consumption is not allowed for a retail business. She stated that consumption could occur under a festival permit. She stated that a school would be defined as a public institution, or private school, rather than simply a place where children are educated. Councilor Paper recognized that the City must allow for at least one retail business, even if it chose to operate a municipal dispensary. He asked if there would be an opportunity for apublic/private partnership that would allow the City to gain funds that could then be used for the park system. Councilor Mazzitello agreed that it could be an option for the City to diversify its revenues. He stated that he was not specifically speaking about operating a municipal dispensary but collecting fees and taxes. Mayor Levine commented that would be limited to what is allowed by the State. October 30, 2024, Mendota Heights City Council Page 2 of 8 Councilor Mazzitello stated that he would be interested in exploring the opportunity of how the City could generate revenue from this. Mayor Levine confirmed the consensus of the Council in just allowing one retail license and not requiring a specific distance between locations, noting a dispensary across the border in Eagan. Councilor Mazzitello asked how city boundaries come into play, noting the location of a school near the Lilydale border and asked if the buffer restrictions for a school would still come into play if the school is in Mendota Heights and the dispensary is in Lilydale. Community Development Manager Sarah Madden provided an example of buffering on a map. Mayor Levine asked if the mixed -use PUD at Highway 62 and Dodd Road could be excluded from allowing this use. Community Development Manager Sarah Madden confumed that it could be excluded and the use could not be listed in the allowed uses for the MU-PUD zoning district. She stated that currently liquor stores and tobacco shops are allowed as conditional uses within that zoning district, which is why she had suggested adding cannabis retailers as a conditional use since they would be similar types of businesses. Mayor Levine commented that she believed that the use would be better suited to the business or industrial zones. She stated that she would also not want to stop a brewery from coming into Mendota Heights because they would not be able to sell THC drinks. Councilor Mazzitello asked if there is a difference in the license required to sell smokable cannabis and selling a THC beverage. Community Development Manager Sarah Madden replied that the OCM outlines the 13 types of licenses and one of those is the lower potency hemp retailer, which is where THC drinks would fall. Councilor Mazzitello stated that he would not want to prohibit a brewery from taking the endcap in the Plaza but would not want a dispensary there. He stated that he would agree with tying cannabis retailers to the same areas where tobacco and alcohol sales can occur, with the exception of the MU-PUD. Councilor Paper commented that the City has to let the businesses in and if a business comes to town, he wants it to be successful. He commented that he also is not the expert on the best location for this type of business and asked for input from public safety. Police Chief Kelly McCarthy replied that it makes no difference to public safety officers. She was unsure ethically how allowing a brewery in one location would be fine, but that location would not be desired for a cannabis retailer. She stated that both uses are legal. She stated that the destruction that alcohol has brought to their community is one million -fold over cannabis. She stated that location does not matter and if there is concern with clandestine activity, the best choice is to keep it in a well -traveled area rather tban tucking it away. She stated that Community Development Manager Sarah Madden is the expert on where those businesses should or should not be located. Councilor Paper agreed that it makes sense not to tuck it into a corner. Mayor Levine commented that there are business parks and industrial areas that are not tucked away. October 30, 2024, Mendota Heights City Council page 3 of Councilor Paper echoed the comment from Police Chief Kelly McCarthy that legal is legal, even though someone may not like it. He stated that if beer, wine and liquor are allowed he was unsure why cannabis would be different as alcohol is also a mind -altering substance. Mayor Levine commented that she cannot explain why, but there is a difference perhaps of the history and tradition. She stated that she has been in cities where cannabis is legal. She commented that a person could not come out of the store and smoke the product, similar to how someone could not come out of the liquor store and drink the alcohol. She noted that the smoking of cannabis is also not allowed in parks, on trails or while driving in vehicles. Councilor Paper asked if the hours of operation should align with liquor stores. Councilor Mazzitello asked if there is a difference in the hours of operation for a liquor store and tobacco shop. Mayor Levine confirmed the consensus of the Council that the hours of operation should align with liquor and tobacco sales, whichever is the most restrictive. Councilor Mazzitello commented that there are signage, lighting and odor mitigation regulations in the business and industrial districts that could be utilized. He believed that the buffer from schools and other allowed uses should be maximized. He also believed that the City should limit the number of licenses to one. He stated that if the City would need to allow a second license at a population of 12,501, he would then want to see the maximum distance between uses established as well. Mayor Levine commented that she did not believe the City was at risk of going over the population threshold. She stated that she would not want to place the distance buffer into effect because that would limit a retailer from going into the area adjacent to the Eagan border. Councilor Mazzitello commented that while he would agree the industrial park could use new businesses, he was unsure now he felt about manufacturing. Councilor Paper commented that it is a legal crop and would therefore be no different than hydroponic tomatoes. Mayor Levine referenced the administrative £nes section and asked if cities are able to impose civil penaltiesI City Attorney Amy Schmidt commented that would be allowed in some circumstance and not allowed in other circumstances, dependent upon the authority provided by the State. Councilor Mazzitello commented that he would like to set the administrative fines at the maximum allowed. Mayor Levine commented that she would like to try to be consistent, to the extent possible, with neighboring communities. She stated that it is easier for businesses when there are consistent regulations between communities. She commented that she does not want Mendota Heights to be a community where you can smell marijuana when you are walking down the streets. Ocrober 30, 2024, Mendota Heights City Coeumr! Page 4 of 8 Community Development Manager Sarah Madden referenced the proposed language related to use in public places. Councilor Paper commented that the community would want to attract a quality operator that is going to do things well rather than a small business that thinks they can make a run of it. He stated that the City would want to have a successful, professional operator. Mayor Levine commented that it would be helpful to have input from cannabis retail operators. Councilor Mazzitello stated that he takes objection to the fact that the State is forcing cities to allow this without providing an option. He did not think that Mendota Heights wants this within their community and there would still be plenty of options within a ten-minute drive. He stated that because the State is forcing this on them, he would like to make it as restrictive as possible. Mayor Levine commented that does not help the community. She stated that they do not get to determine what the State forces them to do and instead should do what is fair and best. She asked if staff needs additional guidance from the Council. Community Development Manager Sarah Madden stated that she has received feedback on the questions, recognizing that two members of the Council are absent tonight. She stated that she feels confident with the feedback received and that she could bring back a draft for the Council to review at a worksession. Councilor Paper asked when this would need to be in place. Community Development Manager Sarah Madden replied that the moratoriums are required to expire by January 1, 2025, and businesses would expect to begin to receive licenses in early 2025. Mayor Levine acknowledged that Mendota Heights did not enact a moratorium and asked if that would be an option at this time that would perhaps buy them some additional time, midway into 2025. Community Development Manager Sarah Madden replied that is not an option as the moratorium would still need to expire by January 1, 2025. Mayor Levine summarized the items that she would like additional information on including breweries, how alcohol and cannabis sales work in the same area, and enforcement. She also encouraged residents to email their thoughts to the Council to aid in the continued discussions on this topic. PUBLIC HEARING A) RESOLUTION 2024-62 ADOPTING AND CONFIRMING ASSESSMENTS FOR THE EMERSON AVENUE STREET IMPROVEMENTS Mayor Levine commented that the Council will be holding the public hearing tonight but will not vote on the resolution tonight as two members are absent, and a super majority of the Council is required for this item. She noted that the action on this item will take place at the meeting next week. Assistant City Engineer Lucas Ritchie explained that the Council was being asked to hold the public hearing and consider adoption of Resolution 2024-62 adopting and confirming assessments for the Emerson Avenue Street Improvements. He acknowledged that a super majority vote is needed for this October 30, 20?4, Mendota Heights City Council Page 5 of 8 item, so staff would recommend that the action be tabled to next week following completion of the public hearing. Larry Poppler, I KDA, provided details on the Emerson Avenue Street Improvement project and related assessment. Mayor Levine asked how the final assessments compared to the estimates. Mr. Poppler commented that there were changes to some quantities, so the residential assessments were about $100 less and the parking bay assessment increased slightly. Councilor Paper asked if there was engagement from the neighborhood signs that were posted. Assistant City Engineer Lucas Ritchie stated that staff can look at the usage on the website before and after the signs were installed. Councilor Paper asked and received confirmation that the parking bay cost is the responsibility of the townhome owners. He asked for more information on the interest rate and whether that changes. Mr. Poppler stated that the interest rate is set and does not change. Councilor Mazzitello asked the length of time in which residents could pay in advance if this is adopted by the Council on November 61h. Assistant City Engineer Lucas Ritchie stated that residents would have 30 days from November 61h to make a partial or full payment before interest is charged. Councilor Mazzitello moved to open the public hearing. Councilor Paper seconded the motion. Ayes: 3 Nays: 0 Laura Doty, 1129 Ivy Hill Drive, asked how the money paid to the City in interest would be used. Jim Mulrooney, 1140 Ivy Hill Drive, asked if the ultimate assessment cost would be altered if there were to be rain or snow in the next few weeks. Mayor Levine replied that would not change the assessment amount Fred Washburn, 598 Maple Park Drive, asked when the payment would be due if the assessment were paid in full. Assistant City Engineer Lucas Ritchie commented that any payment made by December 6/h would not be charged interest. Mr. Washburn commented that the process has been very disruptive. He appreciated the insight provided by staff, noting that he was not aware of the project website. He commented that it would have been nice if residents could have provided their email addresses for updates. October 3Q 2024, Mendota HeigHis City Council Page 6 of 8 Jackie Ellingson, 604 Maple Park Drive, asked if there would be an opportunity to make payment in full during year two. Finance Director Kristen Schabacker replied a resident could pay the remaining balance in full at any time by calling the County as the amount would be certified to the County after December 6th. She explained how interest is charged each year and the bonds are structured to finance the project and the interest paid by residents goes towards that debt service payment. She stated that the City holds a AAA bond rating which means that the City receives a more favorable interest rate on debt that is issued. Chuck Kloos, 669 Laura Court, asked and received confirmation that this is structured differently than an amortized mortgage and the balance will decrease each year. Assistant City Engineer Lucas Ritchie commented that staff continues to look at additional methods of communication for projects and agreed that an email list could be a great option. Ms. Doty asked if she could anticipate that her property tax would increase as a result of this project and assessment. Assistant City Engineer Lucas Ritchie commented that TKDA has done appraisals in the past following street improvement projects. He stated that a pre -project and post -project comparison in another community, observed the property values increasing by about nine or ten percent, consistent with the assessment amount. There being no one further coming forward to speak, Councilor Mazzitello moved to close the public hearing. Councilor Paper seconded the motion. Ayes: 3 Nays: 0 Councilor Mazzitello moved to table RESOLUTION NO. 2024-62 ADOPTING AND CONFIRMING ASSESSMENTS FOR THE EMERSON AVENUE STREET IMPROVEMENTS TO THE NOVEMBER 6, 20245 CITY COUNCIL MEETING, Councilor Paper seconded the motion. Ayes: 3 Nays: 0 NEW AND UNFINISHED BUSINESS No items scheduled. COMMUNITY ANNOUNCEMENTS City Administrator Cheryl Jacobson announced upcoming community events and activities. COUNCIL COMMENTS Councilor Paper stated that he voted early at City Hall the previous day and commented on what a smooth and efficient process that was. He thanked all the election workers. October 30, 2024, Mendota Hetghis City Caunci7 Page 7 of 8 Councilor Mazzitello echoed those thanks and also thanked all that assist with election day. He commented that regardless of who wins and loses in the election, the community is your lifeline and asked people to be respectful and not to show hate regardless of whether their candidate wins or loses. Mayor Levine thanked all that came out to the trick or tee event, which was held the previous weekend and the event was very well attended at the Par 3. She commended the parks and recreation staff for the great event. She commented that Mendota Heights has one of the highest voter turn outs in the state for presidential elections and challenged the residents to increase that rate by voting. ADJOiJRN Councilor Paper moved to adjourn. Councilor Mazzitello seconded the motion. Ayes: 3 Nays: 0 Mayor Levine adjourned the meeting at 8:25 p.m. ATTEST: G✓�Y� Nanef Baue City Clerk �X JY�i�unu R<r v c Stephanie B. Levine Mayor October 3Q 2024, Me»dora Heights Cary Co»nci! page g a�'g