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1999-12-21 Council minutesPage No. 1 December 21, 1999 CITY OF MENDOTA HEIGHTS DAKOTA COUNTY STATE OF M[INNESOTA Minutes of the Regular Meeting Held Tuesday, December 21, 1999 Pursuant to due call and notice thereof, the regular meeting of the City Council, City of Mendota Heights, Minnesota was held at 7:30 o'clock p.m. at City Hall, 1101 Victoria Curve, Mendota Heights, Minnesota. Mayor Mertensotto called the meeting to order at 7:30 o'clock P.M. The following members were present: Mayor Mertensotto, Councilmembers Dwyer, Huber, Krebsbach and Schneeman. AGENDA ADOPTION Councilmember Dwyer moved adoption of the revised agenda for the meeting. Councilmember Schneeman seconded the motion. Ayes: 5 Nays: 0 CONSENT CALENDAR Councilmember Dwyer moved approval of the consent calendar for the meeting, amended to move item h., Livable Communities Demonstration Grant, and items i., j., and m., fire department equipment purchase requests, item s, Resolution Denying Preliminary Plan and Variances, and item t., Additional Payment to RMF Entities, to the regular agenda, along with authorization for execution of any necessary documents contained therein. a. Acknowledgment of the minutes of the Treasurer's Report for November. b. Acknowledgment of the Fire Department monthly report for November. c. Acknowledgment of information on soccer field usage for the spring and summer of 2000. d. Acknowledgment of the Y2k Contingency Plan. e. Acknowledgment of a letter from MnDOT regarding T.H. 110/Delaware Avenue safety concerns. f. Acknowledgment of the League of Minnesota Cities and National League of Cities conference schedules. Page No. 2 December 21, 1999, g. Acknowledgment of a notice from LMCIT regard' casualty regarding insurance dividends. h. Authorization for the issuance of a critical area permit for remodeling and construction of a terrace and porch at 1275 Knollwood Lane. i. Authorization for execution of the revised and restated Gun Club Lake Watershed Management Organization 1999 Joint Powers Agreement and execution of an amendment to the existing Joint Powers Agreement for the Lower Mississippi River Watershed Management Organization so that it remains in effect until January 1, 2002. j. Approval of the Police Liaison Services Agreement between School District 197 and the cities of Eagan, Mendota Heights and West St. Paul. k. Adoption of Resolution No. 99-86, "A RESOLUTION APPROVING THE APPLICATION OF THE CITY OF MENDOTA HEIGHTS FOR FISCAL YEAR 2000 DAKOTA COUNTY COMMUNITY DEVELOPMENT BLOCK GRANT FUNDING." 1. Adoption of Resolution No. 99-87, "A RESOLUTION AMENDING PAY CLASSIFICATION SCHEDULE FOR NON ORGANIZED EMPLOYEES TO REFLECT A THREE PERCENT ANNUAL ADJUSTMENT FOR 2000," and Resolution No. 99-88, "A RESOLUTION ADOPTING A SCHEDULE OF COMPENSATION FOR CERTAIN EMPLOYEES FOR 2000 AND ESTABLISHING CERTAIN OTHER BENEFITS." m. Approval of the list of contractor licenses dated December 21, 1999. n. Approval of the List of Claims dated December 21, 1999 and totaling $1,174,906.42. Councilmember Krebsbach seconded the motion. Ayes: 5 Nays: 0 Page No. 3 December 21, 1999 FIRE DEPARTMENT MATTERS Council acknowledged memos from Fire Chief Maczko requesting authorization for the purchase of hydraulic hose reels and turnout gear and for replacement of the heating and air conditioning control system at the fire station. Chief Maczko was present for the discussion. Mayor Mertensotto stated that the items will not appear on the claims list until January, 2000, and to the extent that the department is overrunning its budget for 1999, the charges would be against the 2000 budget. Treasurer Shaughnessy stated that normally any items budgeted in 1999 would be charged to 1999, and that while capitol outlay will be over budget for 1999 for the fire department, he believes other line items balances are sufficient to cover the purchases. Mayor Mertensotto pointed out that there is a statement in one of the memos from the Fire Chief that the city's General Fund has sufficient funds, but that is not justification for a department to overspend its budget. He stated that when a department is buying capitol items at the end of the year, they should know whether they are over budget or not. Treasurer Shaughnessy responded that the air conditioning control system is the only item that is over the budgeted amount. Chief Maczko stated that the turn out gear is a 2000 budget expenditure and he is just asking for authorization to issue the purchase order for equipment that will come in 2000. The hydraulic hose reels cost more than what was budgeted for them, but the trade off from the fan that was approved by Council last meeting but not purchased will cover the additional cost. The $2,800 that was budgeted, but not spent, for personal alert devices (because their cost increased significantly) can instead be used to offset the added cost for the heating and air conditioning controls. $3,500 was originally budgeted for replacing the control system. The recommended bid from Harris Mechanical, $6,375, is for a new control system that could handle complete building automation. In addition, Chief Maczko recommended that the monitoring system in the apparatus bay be upgraded for a cost of $4,684. This upgrade was not budgeted. Mayor Mertensotto expressed concern about the practice of overspending budgeted amounts, pointed out that there would be significant problems if every department followed that practice. He Page No. 4 December 21, 1999 asked why the proposed improvement cannot be carried over to 2000 if there is not enough funding budgeted in 1999. Treasurer Shaughnessy responded that there are line items in the fire department budget that will be under budget, such that the total department budget will not be overspent. Mayor Mertensotto responded that whether it is the fire department or any other department, he does not want to set the practice of over running budgets. Treasurer Shaughnessy stated that the city has not been billed for hydrant rental since the new agreement with St. Paul Water, and the city will not be billed for hydrant rental. Councilmember Krebsbach suggested approving the purchase from the 1999 budget on the condition that there is sufficient money remaining in other line items to cover the cost. Mayor Mertensotto stated that the procedure should be uniform for all departments. 1 Councilmember Huber stated that it appears that the fire department budget will be all right in total because of the hydrant rental issue but because the chief is proposing to change his spending plan, he must get council approval. Councilmember Huber moved to approve the issuance of a purchase order to Danko Emergency Equipment for six sets of turnout gear for $5,982.00 from the 2000 budget, and to authorize issuance of a purchase order to Alex Air Apparatus, Inc, in the amount of $4174.80, for two 100 foot hydraulic hose reels and to authorize the replacement of heating and air conditioning controls by Harris Mechanical to the extent that the expenditure fits within the balance of the total fire department budget for 1999. Councilmember Schneeman seconded the motion. Ayes: 5 Nays: 0 LIVABLE COMMUNITIES Council acknowledged a memo from Administrator Batchelder GRANT receipt of notice from the Metropolitan Council regarding the award to the city of a Livable Communities Demonstration Block Grant, in the amount of $150,00 for planning and pre- development activities associated with the Mendota Heights Town Center project. Page No. 5 December 21, 1999 Councilmember Schneeman read the comments made by the grant committee relative to the grant approval. Councilmember Schneeman moved to acknowledge the award of the Livable Communities Demonstration Block Grant. Councilmember Krebsbach seconded the motion. Ayes: 5 Nays: 0 PUBLIC COMMENTS Mr. Dominic Alfonso reiterated the feeling of the Freeway Road neighborhood that the density of the proposed Mendota Heights Town Center project is too great. Mr. Brian Birch stated that one of his main purposes for being present tonight is to negotiate for himself and to present alternative designs for the Mendota Heights Town Center that should be feasible for the city. Mayor Mertensotto informed Mr. Birch that Council will not negotiate in the public arena. He stated that Mr. Birch can speak to any Council member or staff about concerns but that Council cannot possibly negotiate any deals. He informed Mr. Birch that Council is interested in hearing the development plan that he proposes. Mr. Birch stated that he owns land behind tom Thumb and MnDOT right -of -way, for about one half acre of land area. The city owns some of the land in the development area and Mrs. Hohenstein owns land. He stated that he has looked at the entire project and the goals of the residents in the area — green space, lower density housing and a tiered effect into the PUD. Mr. Birch reviewed several overheads showing his proposed development plan, including relocated streets and street intersections with Dodd Road. He stated that he has tried to calculate what it would cost to develop as the proposed Town Center and the city is far short of the money he calculates is needed, especially without the $2 million in TIF. He stated that he does not care who develops the project but thinks that his development proposal works. His plan would leave the Hohenstein property out of the development. In response to a question from Mayor Mertensotto regarding inclusion of a Walgreen's store, Mr. Birch stated that it was not his intent to push for Walgreen's and that he is just making suggestions on how to develop the property and use the TIF for acquisitions before the end of the year. He stated that he is offering alternatives on how the area can be developed using Mendota Heights Town Page No. 6 December 21, 1999 Center ideas, neighborhood ideas and the business owners' ideas, including businesses in the Mendota Plaza., Mayor Mertensotto responded that Mr. Birch must have some idea of the range of development costs for his proposal. Mr. Birch responded that if he keeps his property and Mrs. Hohenstein keeps hers and only the roads were built, his plan could be under $1 million. The city does not have to acquire the land if it does not want to. If Freeway Road does not need to be relocated or if a cul -de -sac is constructed, all of the existing utilities can be kept in place. If Council wants residential or multi - family housing, that could be included. He stated that if Council goes ahead with the Town Center project and just develop the land without putting up any buildings, it will cost the city $4.74 per square foot of land. Mayor Mertensotto stated that there will still be land acquisition costs whether Council talks about Mr. Birch's development plan or some other development. Mr. Birch responded that if the city buys his property for $800,000 and buys Mrs. Hohenstein's property, the cost would still be under budget under his proposal. Freeway Road would still be in place. On the city's plan, Freeway Road would be built on his property. Councilmember Krebsbach informed Mr. Birch that she wants to make it clear that the action before Council on this evening's agenda is to place a moratorium on development of land in the project area. She asked Mr. Birch what action he expected Council to take this evening. Mr. Birch stated that he needs to make a decision by January 1, and that would involve a lawsuit against the city. If the city wants to buy his land for $800,000 he will walk. Otherwise, he will file a lawsuit for discrimination, conspiracy and denial of due process. He stated that he wants to retire, and all he is asking is that the city pay him $800,000. Mayor Mertensotto stated that Mr. Birch has come up with a number of proposals and that Council has received proposals from a number of other individuals and even from the Metropolitan Council for a "park and ride" on the site. Council must look at what the total cost will be for acquisition. The TIF will sunset on January 1, but Council does not have to spend that money. He again informed Mr. Page No. 7 December 21, 1999 Birch that Council does not want to negotiate in the public arena and pointed out that Mr. Birch does not represent anyone else. Mr. Birch responded that his developer did not want to make a presentation tonight. Mayor Mertensotto stated that he appreciates that a developer did not appear because Mr. Birch does not have an application pending. After January 1, Council will have a lot more time to consider the various proposals. Mr. Birch responded that the city can buy his land tonight and use TIF. Councilmember Dwyer stated that he thinks Council has satisfied Mr. Birch's need and desire to be heard on his proposals and has a pretty good idea of what Mr. Birch has in mind for development. Council can consider Mr. Birch's plan along with the other plans that have been worked up. With the moratorium in place, Council would have enough time to consider all of the proposals. Mayor Mertensotto stated that he has never seen so much interest 1 from the community as a whole as he has seen on the Town Center project. He thanked Mr. Norman and the other residents who have gotten information out to the residents. HEARING, UTILITY Mayor Mertensotto opened the meeting for the. purpose of a . VACATION continued hearing on an application from MHVS, Ltd., for vacation of a drainage and utility easement along Lot 1, Block 1, Einess Addition and as rededicated in Lots 1 and 2, Block 1, Birch Addition (Mendota Heights Veterinary Clinic property). Council acknowledged an associated report from Civil Engineer Curt Wimpee. Ayes: 5 Nays: 0 Mayor Mertensotto pointed out that the city holds a five foot easement along the new property lines of the replatted lots. He then asked for questions and comments from the audience. There being no questions or comments, Councilmember Dwyer moved that the hearing be closed. Councilmember Huber seconded the motion. Councilmember Dwyer moved adoption of Resolution No. 99 -89, "A RESOLUTION VACATING A 5 FOOT WIDE UTILITY AND Page No. 8 December 21, 1999 DRAINAGE EASEMENT ALONG THE NORTHEASTERLY AND SOUTHEASTERLY LOT LINES OF LOT 1, BLOCK 1, EINESS ADDITION AND AS REDEDICATED IN LOTS 1 AND 2, BLOCK 1 BIRCH ADDITION." Councilmember Schneeman seconded the motion. Ayes: 5 Nays: 0 HEARING — TRUTH IN Mayor Mertensotto opened the meeting for the purpose of TAXATION conducting a subsequent truth in taxation hearing. He then asked for questions and comments from the audience. There being no questions or comments, Councilmember Schneeman moved that the hearing be closed. Councilmember Krebsbach seconded the motion. Ayes: 5 Nays: 0 Councilmember Schneeman moved adoption of Resolution No. 99- 90, "RESOLUTION APPROVING FINAL 1999 TAX LEVY COLLECTIBLE IN 2000 AND ADOPTING PROPOSED BUDGET FOR 2000." Councilmember Dwyer seconded the motion. Ayes: 5 Nays: 0 CASE NO. 99 -39, SKI) Council acknowledged memos from Public Works Director ARCHITECTS Danielson regarding continued discussion on an application from SK) Architects for a critical area permit to construct a new home for Mr. & Mrs. Steven Baldinger at 1147 Orchard Lane. Council also acknowledged a memorandum from SKI) Architects regarding site plan Option B, a letter from Peter Coyle, legal counsel for the Baldingers, a letter from Barr Engineering, the consultant retained by the city to prepare an independent evaluation of the proposal against the critical area requirements and to work with the DNR. Council also acknowledged a letter from the DNR dated December 20. Mr. Steven Kleinman, from SKD, and Mr. Peter Coyle were present on behalf of the Baldingers. Responding to a question from Mayor Mertensotto about whether there have been any changes in the design of the structure since the last discussion, Mr. Coyle stated that there is a modest change in the footprint of the building but it is not substantive. Mayor Mertensotto asked what changes have been made between the original plan and Plan B. He stated that later this evening Council Page No. 9 December 21, 1999 will consider adopting the city's amended comprehensive plan, which includes the DNR requirements with respect to critical area regulations. Mr. Kleinman stated that Plan B is the plan currently before Council, but that the applicants would also like to introduce Plan B- 1. Some slight modifications have been made to the proposed house in both plans in an effort to pull it off the 18% grade. The house has been moved up the hill, away from the bluff, approximately 14 feet from what was originally proposed. Plan B is a summary of what SKD's agreement was with the DNR.. The project was staked by a surveyor and it was determined that the structure was quite a bit farther up the hill that was originally thought. The house has been pulled up to a point where it is at the minimum setbacks. What happened is that there was a natural buffer to the neighbor to the south, and pulling the house farther from the slope means that a number of trees will be lost. When the house location was staked, and it was determined that it was quite a bit farther from the 18% slope, he prepared plan B -1. The structure is still off the 18% slope but only about three feet from the original location. On plan B -1, the house was just adjusted a few feet, which allows it to be moved further away from adjoining neighbors and preserves a number of trees that would have to be removed in the initial plan. One thing that did occur is that the size of the turn around area has been reduced. He informed Council that he has also met with city staff to begin to discuss some of the drainage concerns. Responding to a question from Mayor Mertensotto, Mr. Kleinman stated that B -1 is in compliance with all of the requirements in the DNR letter. Councilmember Dwyer stated that the December 20 DNR letter was in response to plan B. He asked if the DNR has seen B -1 and agreed with Mr. Kleinman that it complies. Mr. Kleinman responded that B -1 responds in virtually the same way as B, but was prepared because it was determined on staking that there was a little more room. The DNR has not seen B -1 but did review B. DNR representatives have not been out to the site. Mayor Mertensotto stated that Council does not want to change the program after the DNR received and approved Plan B, but that he has no problem with B -1 if it meets the DNR requirements and Mr. Kleinman makes that representation. Page No. 10 December 21, 1999 Mr. Coyle responded that it is his understanding that B -1 meets the DNR requirements. Mayor Mertensotto acknowledged a letter from Mr. Jeffrey Olson, legal representative for David Najarian, which was received by Council at the start of the Council meeting. Mr. Najarian stated that the letter outlines what Ms. Sandy Fecht from the DNR spoke about originally and outlines some of the things the city is not in compliance with in regard to the Executive Order. Councilmember Dwyer stated that he understood in a phone conversation with Mr. Najarian that his position was that if the DNR was satisfied he would not pursue it. Mr. Najarian responded that he believes that the letter from the DNR says that Plan B needs variances for them to approve it. Mayor Mertensotto stated that the changes recommended by the DNR are being made to the city' comprehensive plan. The Baldinger property is a buildable lot, and Council is trying to work with state agencies. Council retained Barr Engineering to do an independent analysis and work with the DNR, and out of that process came Option B, which the DNR can live with. He asked for Mr. Najarian's concerns as the adjoining property owner. Mr. Najarian responded that he would be happy to have the applicants comply with the Executive Order and with critical area laws of the state. He stated that he met with Christine Sutter from the Metropolitan Council today. In 1997 the city made an agreement with the Metropolitan Council to update the comprehensive plan. The agreement was for the city to fully comply with Executive Order 79 -19 and the terms were that the city would receive funds from MNRRA to assist with the plan. He showed a January 29, 1996 letter from Administrator Batchelder to the Metropolitan Council applying for the grant. He stated that almost four years ago the city stated it would fully comply and accepted a $15,000 grant to do that. He read portions of the city's grant application, stating that the city fully intended to adopt all of the regulations of 79 -19. Mayor Mertensotto responded that the city did agree and is in that process now. Mr. Najarian referred to a letter from Mr. Thompson of the Metropolitan Council to the city regarding preliminary review of the Page No. 11 December 21, 1999 critical area plan. He stated that the letter lists areas that need to be changed to achieve full conformance. It was pointed out in the letter that the slope needed to be changed from 40% to 18 %. He also referred to a November, 1997 letter to Assistant Hollister from Sandra Fecht regarding minimum standards. He stated that the city needs to meet the MNRRA requirements and the proposed house needs to be moved 40 feet back to comply with the city's resolution. Responding to a question from Councilmember Krebsbach about his position with respect to Plan B, Mr. Najarian stated that the nearest the house can be is 40 feet from the 18% slope line. Plan B -1 is exactly at the 18% slope and needs to be 40 feet back. Mayor Mertensotto responded that if the house were 40 feet from the 18% slope, they could not build a house. Mr. Najarian responded that Barr Engineering showed him where a 5,000 square foot house could be built. Mr. Kleinman stated that the house has about a 3,000 square foot footprint and is close to 6,000 square feet in size. He further stated that when he met with Dennis Palmer and the DNR, they had the same concerns about what could fit on the lot. Because this is a 1 wedge shaped configuration and you take the setbacks for a minimum width, they could not even get a 1,000 square foot house on this piece of property. The issue with this lot is that it is pie shaped and all of the property that is useable is quite flat. Mayor Mertensotto stated that the city had every good intent to amend its ordinance. The DNR approved the grant, but the city has an ordinance uses the 40% slope, not the 18% slope, and the city is trying to act in good faith. Mr. Najarian responded that if the amendment was done in 1998 like it was supposed to, he would not be here tonight. Mayor Mertensotto responded that if the ordinance is amended, its conditions apply. Council has the agreement that the city intended to amend the ordinance. The DNR/MNRRA have set the criteria, but up until this time, they have approved plans under the city's ordinance. That is why Council took the issue out of the political arena and retained Barr to meet with the DNR. He was concerned as to B -1 rather than Plan B if the DNR approved Plan B. What the DNR is trying to protect is the slope and the view of the river valley and primarily preserving the trees and protecting the slope. Page No. 12 December 21, 1999 Councilmember Krebsbach stated that the first point in the DNR letter is that there should be no construction encroaching on slopes greater than 18 %. She asked at what point the structure encroaches on slopes greater than 18 %. The problem Mr. Najarian is raising is that in order to approve this plan Council must grant a variance. She asked what Council would be granting a variance to. Mayor Mertensotto responded that the variance would be to the executive order. He stated that the matter before Council is issuance of a permit, and it has not been Council's practice to issue permits in terms of variances. If there were sideyard setbacks that required variances, Council would have to address that. Public Works Director Danielson stated that he spoke with Steve Johnson at the DNR today and he feels the city's ordinance refers to 79 -19 and because of that, the city should be held to the standard of 40 feet back from the 18% slope. If that is true, Council needs to grant a variance to the 40 foot setback. Mr. Johnson felt there is justification for a variance because of the shape of the lot and the small flat area. Plan B -1 would also be incompliance if a variance is granted. Mr. Kleinman stated that there are some corners of the structure that are three to five feet from the 18'% and others that are perhaps 20 feet from the 18 %. Councilmember Krebsbach stated that if Council grants the building permit, it would also have to grant a variance to the city's ordinance which refers to Executive Order 79 -19. Public Works Director Danielson responded that the DNR feels the building would need a variance from the requirement that it be 40 feet from the 18% slope. City Attorney Hart stated that in a critical area ordinance situation, the city grants permits and does not discuss variances. In the permit situation, Council needs to determine whether applications meet the standards set forth in the ordinance. If they do, they are entitled to a permit. In a variance situation, the city needs to make a finding tht there is a hardship that requires the granting of a variance. He stated that he heard this evening that the DNR has made the interpretation that the city has adopted Executive Order 79 -19 by reference. That would take much more review before he could give a definitive viewpoint. Page No. 13 December 21, 1999 Mayor Mertensotto asked where Council would grant a variance from. He did not remember ever granting a variance for a critical area application. The DNR has given the city eight requirements to meet and if Council adopts those conditions and says the plan consistent with the provisions of the city ordinance, a variance should not be needed. Mr. Najarian informed Council that he took the drawing down to the Dakota County Surveyor's office and met with the Dakota County Surveyor, who showed him how to calculate the 18% slope. Using the information from the county surveyor, Mr. Najarian calculated the 18% slope to be a lot closer to the 890 elevation. Mr. Kleinman responded that both the DNR and Dennis Palmer, from Barr Engineering, have confirmed that the line shown on the plan is very close to correct. Mayor Mertensotto stated that the plan was reviewed by Barr Engineering and there are different ways of determining the slope, and it was incumbent on Barr to inform the DNR and city. Barr was retained by the city because they are very credible and work with the DNR and other agencies. Mr. Kleinman stated that the input from the DNR was that the structure could be built up to the 18% line. When the property was staked, it was discovered that there was a lot more room than was originally thought. Mayor Mertensotto asked if the Baldingers can live with Plan B, which was the plan discussed with the DNR and Barr and which is the basis for the letter from the DNR. Mr. Coyle responded that the Baldingers want Plan B to be approved and would like the option to take B -1 to the DNR. Councilmember Krebsbach stated that she is not comfortable with approving the permit given the letter from Steven Johnson, from the DNR, and the comments attributed to him regarding variances in the memo from Public Works Director Danielson. Councilmember Huber stated that he would like to have enough information clearly before Council and would like to have the matter tabled to get additional information. Page No. 14 December 21, 1999 Mayor Mertensotto stated that Council is either going to allow construction of a home on the lot or not. The DNR went on record in its letter to the city and set forth eight conditions. If the agency had more serious concerns, those concerns would have been stated in the letter. Councilmember Krebsbach responded that Council has before it a letter from Mr. Johnson, and the comments attributed to him regarding variances in the memo from Public Works Director Danielson, and the action required in the memo from Mr. Danielson that calls for a variance. She wanted it to be clear what is needed. Councilmember Dwyer stated that the DNR reference to a variance and city's past practice that it does not want variances is irrelevant. What the DNR has indicated is that the proposal meets their approval and the result is something that the DNR is willing to live with. Councilmember Huber stated that a variance can be granted if Council determines that there is a hardship, and he is not prepared to say that at this time. City Attorney Hart stated that a couple of procedures are being overlaid. There is in fact in Ordinance 303 a variance procedures specified that is different from the procedure Council uses in other instances. There are site approval standards in Section 2.5 that indicate that a development may be permitted within the slopes that Council is discussing if it meets certain standards and in which case no variance is required. If Council wants to grant a permit that is inconsistent with those standards, it would have to grant a variance. Councilmember Krebsbach suggested that the matter be tabled and referred to the City Attorney and Public Works Director for clarification. Attorney Hart responded that if Council makes findings of fact that this application meets the site approval standards of Ordinance 303, Section 2.5, staff would go no further. If Council believes it does not meet those standards but still wants to approve the permit, it could do so by granting a variance and finding a hardship, and one of those standards is the 40 foot setback. Councilmember Krebsbach suggested that Council direct the city attorney and public works director to resolve whether a variance is needed, request a report from Attorney Hart on what it is the Council should look at and what its options are, and some independent Page No. 15 December 21, 1999 confirmation that the applicant has appropriately sited the 18% slope on the plan. Councilmember Dwyer pointed out that the applicants have that information from the DNR and SKD. Mayor Mertensotto stated that if Barr would certify that the 18% slope line is correct, that would be satisfactory. Councilmember Dwyer asked what the estimated costs are for Barr's assistance. Public Works Director Danielson responded that Dennis Palmer is a principal in Barr Engineering, so it will be costly. Councilmember Dwyer stated that he would like to alert everyone to the fact that this is very expensive. He asked who will pay the cost. Mayor Mertensotto responded that the cost will have to be charged against the planning budget. Public Works Director Danielson stated that SKD has submitted a map that shows the slopes, and their surveyor has confirmed them. Once the house is surveyed on a site, that is the most accurate condition. City staff can go out and do a field survey, but from the eye, it is obvious that the structure will not be within the 18% slope. Councilmember Huber stated that if city staff can determine on its own that the house is not over the 18% slope, he would be comfortable with the plan. Councilmember Krebsbach suggested that Council ask for a representation from Barr, who has already reviewed the map, that it is not within the 18 %. It was the consensus to direct Barr Engineering to prepare submit a document to the city certifying that the structure is not within the 18% slope and further to direct the City Attorney to prepare an opinion including review of the eight conditions set forth by the DNR. Councilmember Krebsbach moved to continue the matter to January 18. j Councilmember Huber seconded the motion. Ayes: 5 Page No. 16 December 21, 1999 Nays: 0 TOWN CENTER Council acknowledged a memo from Administrator Batchelder MORATORIUM recommending consideration of a moratorium on planning, development and building permits in the Mendota Heights Town Center Redevelopment District. Mr. Ross Feffercorn and Ms. Carolyn Krall were present for the discussion. Mr. Feffercom stated that there are compelling reasons to consider a moratorium at this time. This site developed originally based on the knowledge that there was going to be a bridge extending from the site to the south side of T.H. 110. A number of parcels were developed based on a dysfunctional circulation plan. If a moratorium is not approved and proposals were to come before Council, they would have to be seriously considered. The Metropolitan Council has granted funds to be used on further planning in the coming year based on the merits of the proposal Council has been working on over the past year. Council can use those planning funds to continue to develop the plan, including the concerns of the neighborhood. Additionally, there are a lot of property owner considerations which were raised tonight that are somewhat confusing in the way they were presented. It will take Council time to sort out different parties' interests. There are a number of reasons to consider the concerns and future development without haste. Mayor Mertensotto stated that there has been considerable publicity on the Town Center issue and Council is getting feedback from the residents. People want this area developed. If Council did not impose a moratorium, someone could come in with a plan and the city would have to process it. Council needs time to study all of the plans and comments that have come before Council. Attorney Hart stated that state statutes specifically authorize moratoriums for planning purposes. Minnesota statutes have provided a mechanism to conduct that planning process in a rational, unpressured setting, and that is what is before Council tonight. Mayor Mertensotto stated that the city has spent $52,000 on consultant planning services thus far, and has received a memo from the City Administrator as part of this evening's agenda that addresses additional charges. He stated that Council can enact a moratorium and use grant resources to continue planning. Mr. Feffercom stated that the grant specifically outlines how the money can be used, including feasibility, architectural planning and Page No. 17 December 21, 1999 controls, engineering and landscaping design and public features that would be built into the project. Almost all of the issues raised as concerns by the residents are within the scope of those funds. Ms. Krall stated that cities frequently put moratoriums in place at the request of property owners to protect them from potential speculation. This allows them to be sure that what is going to be developed is the plan the city is working with them on rather than speculative development coming in and usurping the process. Mr. Brian Birch stated that he has spent 35 years trying to develop his property and Mr. Feffercorn says he wants a moratorium for more time. He did not feel that Mr. Feffercorn has any right to recommend a moratorium and that Mr. Feffercorn was hired by the city to come in with a concept plan. The planner is over budget and is asking for more money and a moratorium. He stated that the city has denied him the right to build a senior center and then turned around and approved one across the highway. He wanted to build a car wash/office building on his property and was told absolutely not, and now SuperAmerica has a car wash. He also planned to build his company building and actually built the footings and foundations. He objected to the moratorium because that would put him off another year in developing his property even though he came up with a very good plan using the residents' concerns. His plan will save the veterinary clinic and Tom Thumb wants to develop its property. He stated that the city has injured him for years and he is going to sue. Mayor Mertensotto asked Mr. Birch if he is saying that he does not want Council to evaluate his proposal. Mr. Birch stated that he does want Council to evaluate his plan but he does not want Council to take a year to do it. He stated that the Mayor and City Administrator have conspired to keep him from developing his property. He stated that he has spoken to Mrs. Dziek and has talked to the veterinarian, Gus Tarr from Tom Thumb, and Bill Ruden from Oasis at his home and they are very upset about the moratorium, and he is speaking for them. He also spoke to Mrs. Hohenstein but does not represent her. He and the other three property owners he speaks for own 50% of the project area and Council is saying they are putting a moratorium on him so the city . can take another six months. Mayor Mertensotto responded that it will take time to evaluate what Mr. Birch presented earlier this evening. Somewhere along the line; Ayes: 5 Nays: 0 Page No. 18 December 21, 1999 Council needs to determine where the money will come from to develop the property. Mr. Birch responded that Council has spent to much money on Mr. Feffercom and that if Council cannot come up with a plan in two or three days that is lots better than Mr. Feffercorn's plan, council should forget it. Mr. Tom Norman stated that Council is elected to make decisions and he applauded the idea of a moratorium to listen to the people and look at more plans. He thanked Council for sending him notices of the meetings and stated that he hopes that Council keeps the neighborhood informed. Mayor Mertensotto responded that Council has been hearing feedback from the community that people want the corner redeveloped but there are a lot of questions that need to be addressed. All Council knows is that this is going to be a mixed PUD use with buffers to the residential area. The TIF financing will be gone on December 31, and if a new development district has to be created, it will take time. Six months will go fast in terms of study on traffic and street layout, circulation patterns, etc. He stated that he is happy to hear that Mr. Norman, as a resident of the neighborhood, appreciates the moratorium. Mr. Dominic Alfonso stated that he is perhaps the closest neighbor to the project and he also applauds the moratorium. Councilmember Dwyer moved adoption of Resolution No. 99 -91, "A RESOLUTION ADOPTING A MORATORIUM ON PLANNING/DEVELOPMENT AND BUILDING PERMIT APPLICATIONS FOR THE TOWN CENTER SITE." Councilmember Huber seconded the motion. Administrator Batchelder reviewed his memo recommending authorization for additional payment to RMF Entities. He explained that $11,762 in additional services, above the contracts, were provided by RMF at the request of the city. Councilmember Schneeman moved to authorize the payment of $11,762 to RMF Entities for additional services that were provided at the request of the city. j Councilmember Huber seconded the motion. Ayes: 5 Page No. 19 December 21, 1999 i Nays: 0 STREET LIGHTS Council acknowledged a memo from Public Works Director Danielson regarding the installation of a street light at the intersection of Decorah Lane and Ocala Lane and another on South Plaza Drive. Mayor Mertensotto stated that he does not think Council should do anything about lighting of the intersection now because of the extra costs due to frost conditions, but the stop signs can be installed at the Decorah/Ocala intersection. He recommended that staff be directed to install the stop signs now and bring back the street lighting issues in the spring. Councilmember Schneeman moved to direct staff to install the Decorah/Ocala stop signs now and to bring the issue of street lights at the intersection and on South Plaza back to Council in the spring. Mayor Mertensotto seconded the motion. Ayes: 5 Nays: 0 Y2K INSURANCE Council acknowledged a memo from Treasurer Shaughnessy regarding expanded insurance coverage for Y2K related problems. Councilmember Krebsbach moved to decline expanded coverage for potential Y2k problems. Councilmember Huber seconded the motion. Ayes: 5 Nays: 0 COMPREHENSIVE PLAN Council acknowledged a memo from Public Works Director Danielson and the final copy of the city's comprehensive plan, which has been amended to incorporate Council's changes and published for submission to the Metropolitan Council. Councilmember Dwyer stated that the document is good as a first submission. Councilmember Krebsbach moved adoption of Resolution No. 99- 92, "A RESOLUTION OF THE MENDOTA HEIGHTS CITY COUNCIL APPROVING THE 1999 UPDATE OF THE COMPREHENSIVE PLAN," along with authorization for staff to submit the document to the Metropolitan Council for review. Councilmember Huber seconded the motion. Ayes: 5 Page No. 20 December 21, 1999 Nays: 0 CASE NO. 99-37, FEFFER Council acknowledged a memo from Assistant Hollister in response to Council action taken on December 7 relative to an application from Mendota Heights Associates (Tony Feffer) for preliminary plat and variances for Mendota Heights Business Center. Councilmember Krebsbach moved adoption of Resolution No. 99- 93, "A RESOLUTION DENYING A PRELIMINARY PLAT, A TWENTY FOOT FRONT YARD SETBACK VARIANCE, AND A SETBACK VARIANCE FOR SHARED PARKING FOR AN OFFICE DEVELOPMENT ON A VACANT PARCEL ON LEXINGTON AVENUE." Councilmember Dwyer seconded the motion. Ayes: 5 Nays: 0 ADJOURN There being no further business to come before Council, Councilmember Huber moved that the meeting be adjourned. Councilmember Dwyer seconded the motion. Ayes: 5 Nays: 0 TIME OF ADJOURNMENT: 10:17 p.m. Kathleen M. Swanson City Clerk ATTEST: Charles E. Mertensotto Mayor