1993-10-19 Council minutesPage No. 3789
October 19, 1993
CITY OF MENDOTA HEIGHTS
DAKOTA COUNTY
STATE OF MINNESOTA
Minutes of the Regular Meeting
Held Tuesday, October 19, 1993
Pursuant to due call and notice thereof, the regular meeting of the
City Council, City of Mendota Heights, 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
Huber, Koch, Krebsbach and Smith.
AGENDA ADOPTION Councilmember Smith moved adoption of the
agenda for the meeting.
Councilmember Krebsbach seconded the motion.
Ayes: 5
Nays: 0
APPROVAL OF MINUTES Councilmember Smith moved approval of the
minutes of the October 5, 1993 regular meeting
as amended.
Councilmember Koch seconded the motion.
Ayes: 5
Nays: 0
CONSENT CALENDAR Councilmember Huber moved approval of the
consent calendar for the meeting, amended to
move item 5g, 3M building permit, and 5h, stop
sign request, to the regular agenda, along
with authorization for execution of any
necessary documents contained therein.
a. Acknowledgment of the minutes of the
October 12, 1993 special Planning
Commission meeting.
b. Acknowledgment of the minutes of the
October 12, 1993 Park and Recreation
Commission meeting.
c. Acknowledgment of the minutes of the
October 13, 1993 Airport Relations
Commission meeting.
d. Acknowledgment of the Treasurer's monthly
report for September.
e. Acknowledgment of the Fire Department
monthly report for September.
Page No. 3790
October 19, 1993
f. Adoption of Resolution No. 93 -67,
"RESOLUTION ESTABLISHING RULES AND RENTAL
FEES FOR USE OF CITY PARKS AND PROPERTY."
g. Acknowledgment of the ice rink report for
the 1992 -93 winter season and approval of
the Ivy Park warming house hours.
h. Adoption of Resolution No. 93 -68,
"RESOLUTION OPPOSING THE IMPOSITION OF
UNFUNDED MANDATES AND ENDORSING A PUBLIC
AWARENESS CAMPAIGN TO DESCRIBE THE FISCAL
BURDENS ASSOCIATED WITH SUCH MANDATES."
i. Scheduling of a public hearing on November
16, 1993 at 7:45 p.m. for the purpose of
expanding the commercial and industrial
street light district.
j. Approval of the list of contractor
licenses dated July 6, 1993 and attached
hereto.
k. Approval of the list of claims dated
October 19, 1993 and totaling $256,951.95.
Councilmember Krebsbach seconded the motion.
Ayes: 5
Nays: 0
3M BUILDING PERMIT Councilmember Koch moved to approve the
issuance of a building permit to 3M to add two
dry chiller units and a fence on the south
side of the 3M building at 2465 Lexington
Avenue South subject to review and approval of
the final plans by the Fire Marshal and Code
Enforcement Officers with the condition that
the proposed landscaping be installed.
Councilmember Huber seconded the motion.
Ayes: 4
Nays: 0
Abstain: 1 Smith
PUBLIC COMMENTS Mayor Mertensotto reviewed a newspaper article
regarding a suit undertaken by the Minnesota
Public Lobby and South Metro Airport Action
Council against the MAC. He informed the
audience that the appeals court ruled against
the MAC on air noise standards. It was the
decision of the court that state noise control
measures established by the Pollution Control
Agency do apply to the airport.
Page No. 3791
October 19, 1993
Councilmember Krebsbach moved to direct staff
to draft a resolution commending the Minnesota
Public Lobby and South Metro Airport Action
Council for their efforts.
Councilmember Smith seconded the motion.
Ayes: 5
Nays: 0
Mayor Mertensotto informed the audience that
on October 26, from 7:00 to 8:00 p.m.
government access channels 19 and 33 will
conduct a live call-in program to discuss the
cable act as it applies to Northern Dakota
County cable operations.
STOP SIGN REQUEST Council acknowledged a letter from Mr. Charles
Skemp, 1060 View Lane, requesting stop signs
at the intersection of Butler Avenue and View
Lane. Council also acknowledged an associated
report from the Public Works Director
recommending that a yield sign be placed on
View Lane at Butler.
Mr. Skemp thanked the police and engineering
departments for their review of his request
but stated that he does not agree with the
recommendation because it does nothing to
address the problem. He informed Council that
he lives near the intersection and that Butler
is heavily used during the summer months as a
route to Ivy Hills Park. He felt that the
angle of the intersection, the incline of the
two streets, and the fact that traffic to the
park in the evening faces into the setting sun
all contribute to a dangerous situation. He
felt that the intersection is particularly
dangerous for people on bikes, stating that
because of the angle of the intersection a
bicyclist nearly hit his car recently as he
was driving through the intersection. He
stated that the slope of Butler increases as
cars go down the hill and drivers cannot see
all the way down the hill from the
intersection. He pointed out that there are
no sidewalks in the neighborhood and people
must walk on the street to get to the park.
He felt that additional housing being built on
Butler at the bottom of the hill will increase
traffic. He pointed out several all-way stop
intersections in the neighborhood, stating
that in his opinion, those intersections are
safer than Butler/View. Mr. Skemp stated that
he would like to see stop signs installed
Page No. 3792
October 19, 1993
before his children or his neighbors' children
get hurt.
Mayor Mertensotto responded that the stop
signs cited by Mr. Skemp were installed to
deter people from using neighborhood streets
as arterials to get to T.H. 13. He explained
that when requests for traffic control devices
are received, they are referred to the police
and engineering departments for review and
recommendation. He stated that the Public
Works Director and Police Chief feel that
Butler should remain a through street but View
could be either stopped or yielded.
Mr. Skemp responded that the recommendation
does nothing to increase the safety of his
children and others who play in the
neighborhood. He asked if the city would
install a "slow - children playing" sign.
Public Works Director Danielson responded that
the city does not install such signs but has
allowed neighborhoods to put them up.
Councilmember Huber asked Mr. Skemp if he
would go along with the recommendation at this
time and that the Police Department can be
directed to review the request again in the
spring or summer when the park use increases
again.
Mr. Skemp responded that he honestly feels
there is a risk to his children.
Public Works Director Danielson stated that
the problem that occurs when stop signs are
installed where they are not warranted is that
people tend to go through them, which creates
a greater hazard for pedestrians who feel more
secure because of the signs.
Staff was directed to return the request to
the Police Department for review again to see
if a four-way stop is warranted because of the
terrain and the angle of the intersection.
Councilmember Koch stated that she would like
to see Council agree to a stop sign on View
Lane at this time and bring the matter back in
the spring for additional signing to alert
people to the steep grade, etc.
Page No. 3793
October 19, 1993
LILYDALE UTILITY Council acknowledged a report from the Public
CONNECTION Director regarding a request from Mr. Bill
Strub to allow sanitary sewer and water
connections to the Mendota Heights mains
located on Victoria Road to serve property
located in Lilydale.
Mr. Strub informed Council that he is
proposing to construct six townhouse units on
the site, located on Victoria at T.H. 13.
Mayor Mertensotto stated that the Public Works
Director has recommended a hook -up charge of
$21,710.90, further stating that anything less
than that figure would amount to subsidizing
the project.
Councilmember Krebsbach asked if the
recommended charge is adequate, pointing out
the cost to individual who recently appeared
before Council for the development of the
Evergreen Knolls outlot.
Mr. Strub responded that when Victoria was
rerouted, the utilities should have been run
across the street and that the County now
wants the utilities brought under the street.
He explained that because of the right -of -way
rerouting he must incur considerable cost
which cannot be assessed.
Councilmember Smith stated that the conditions
of the development have changed since Mr.
Strub will only purchase a portion of the
undeveloped property. She was concerned that
the remainder of the lot may be unbuildable
and could become an eyesore for Mendota
Heights and Lilydale.
Councilmember Krebsbach stated that she has
heard that Dandy's and Chet's, located on T.H.
13, would like to expand.
Mr. Strub informed Council that his project
will include heavy landscaping. With respect
to Dandy's and Chets, he stated that the
property is zoned R -2 and the businesses
cannot expand under that zoning.
Councilmember Smith suggested that approval of
the connection at the recommended charge
should be conditioned upon Mr. Strub
purchasing the whole property and building
only six townhouses.
Page No. 3794
October 19, 1993
Mr. Strub responded that he is not interested
in building anything other than five or six
townhouse units. He explained that they will
technically be walk-outs and will appear to be
one-story structures at the street.
Mayor Mertensotto stated that Council action
will be taken on the matter until Mr. Strub
makes a final request and that conditions of
approval will include a $21,710.90 connection
charge and construction of no more than six
units.
FIRE AWARDS Council acknowledged a memo from Fire Marshal
Kaiser recognizing eleven businesses who have
received a second certificate for fire safety
and the following businesses for being
recognized for 1993 for timely response to the
correction of fire safety deficiencies: the
American Registry of Radiologic Technologists,
Center for Diagnostic Imaging, Cherry-
Richline, LCS Metal Stamping, Mendota Heights
Cycling and Fitness, Minnesota Knitting Mills,
Snyder Drug and Tempco Manufacturing . Mayor
Mertensotto, Fire Marshal Kaiser and Chief
Maczko presented plaques to representatives
who were in attendance.
UNITED PROPERTIES Mr. Dale Glowa, from United Properties,
CASE NO. 93-22 was present to request approval of a
conditional use permit for PUD for a campus
type expansion to the Northland Insurance
(NIC) Corporate Headquarters building located
at 1295 Northland Drive.
Mr. Glowa explained that he is requesting a
conditional use permit including three
variances: a zero lot line for building
setback, an 18 foot setback for a pedestrian
walkway to connect to the existing building,
and a 20 foot front yard setback variance for
a monument sign. He also asked Council to
direct the City Attorney to prepare a
developer's agreement for tax increment
financing and to authorize a building permit
subject to review and approval by city staff.
With respect to Planning Commission
recommendations, Mayor Mertensotto stated that
Council wants to know that there are cross-
easements and covenants but that these are
private matters and Council will not direct
Page No. 3795
October 19, 1993
review by the City Attorney so that the city
does not become involved in any deficiencies.
Mr. Glowa reviewed graphics on the proposed
development, informing Council that Phases 1
and 2 of the development will hold 650
employees combined. Phase three would add
another 100,000 square feet of building on the
site and could accommodate another 950
employees. He stated that NIC will be signing
a 12 year lease and there will be no spec
office space in the building, but rather that
it will be 100% leased by NIC. He explained
that phase 2 of the development will be a
three story building built on the south line
of Lots 2 and 3. All of the parking for phase
2 will be surface or garage parking - there
will only be a ramp is phase three is done.
He informed Council that 31% of the site will
be green space and there will be extensive
irrigation and landscaping, and 689 parking
spaces will be provided. He stated that there
will be 30 parking spaces in the basement of
the new building and there are 25 spaces in
the basement of the existing building.
Mr. Glowa stated that United Properties or its
parent company will continue to own the
property and will have a long term lease with
NIC. With respect to TIF, he stated that
United Properties asks that the TIF benefit go
to NIC as long as NIC is the tenant of the
building.
Mayor Mertensotto stated that Council wants
the benefit to go to NIC but that he is
concerned about transfer of ownership.
Attorney Hart responded that the city is not
investing any up front benefit, so that if NIC
ceases to be the occupant, the pay-as-you-go
benefit immediately ceases - as long as NIC is
the tenant, the pay-as-you-go stream would
continue.
Councilmember Huber pointed out that at the
Council discussion on TIF in May, Mayor
Mertensotto stated that TIF should be
conditioned on United Properties holding an
interest in the building. Mayor Mertensotto
responded that United Properties is in the
same corporate family as NIC and the TIF would
be used to keep an existing employer in the
city.
Ayes: 5
Nays: 0
Ayes: 5
Nays: 0
Page No. 3796
October 19, 1993
Mr. Glowa stated that if NIC moves out of the
building, United Properties would totally
agree that the benefit ceases.
There was discussion over how the TIF benefit
would be treated if NIC were to sublet the
building.
Mayor Mertensotto felt that the agreement
should state that NIC must be the principal
tenant, occupying more than 50% of the
building in order for the pay -as- you -go to
continue.
Councilmember Smith asked Mr. Glowa if he has
given any though as to how a separation of the
buildings can be accomplished in the event
that at some time the development no longer
works as a campus facility. In response, Mr.
Glowa reviewed drawings on how the separation
could occur, stating that the cross - easement
agreements and protective covenants would
become effective if separation occurs in the
future.
Responding to a question from Mayor
Mertensotto, Mr. Glowa stated that the
projection for phase 3 is the year 2000.
Mayor Mertensotto suggested that the second
and third conditions of the third paragraph in
the proposed approving resolution be deleted,
and that the fourth condition be incorporated
into the last paragraph of the resolution. He
also stated that engineering review of grading
and drainage plans should be included in the
resolution.
Councilmember Krebsbach moved adoption of
Resolution No. 93 -69, "A RESOLUTION APPROVING
A CONDITIONAL USE PERMIT FOR PLANNED UNIT
DEVELOPMENT FOR NORTHLAND INSURANCE COMPANIES
CAMPUS HEADQUARTERS BUILDINGS," revised as
suggested by Mayor Mertensotto.
Councilmember Smith seconded the motion.
Councilmember Smith moved to direct the City
Attorney to prepare the appropriate
developer's agreement regarding tax increment
financing.
Councilmember Koch seconded the motion.
Page No. 3797
October 19, 1993
Councilmember Smith moved to approve the
building permit for NIC phase 2 subject to
review and approval of the building plans by
the Code Enforcement Officer and Fire Marshal
and subject to engineering department review
of grading elevations and drainage.
Councilmember Koch seconded the motion.
Ayes: 5
Nays: 0
COMMUNITY SURVEY Council acknowledged a written summary report
of the TH 110/Dodd Road community survey from
Decision Resources. Mayor Mertensotto stated
that the matter is on the agenda for the sole
purpose of accepting the report and
authorizing a final payment to Decision
Resources, not for any action on the issue of
turn-back or retention of the T.H. 149 right-
of-way.
It was the consensus of Council to conduct a
workshop immediately following the November 16
meeting.
Councilmember Krebsbach moved to accept the
Dodd Road/Highway 110 Community Survey report
and authorize final payment of $2,500 to
Decision Resources, Ltd.
Councilmember Smith seconded the motion.
Ayes: 5
Nays: 0
Councilmember Smith moved to conduct a
workshop immediately following the November
16th regular meeting and to establish a time
limit so that the workshop can be adjourned by
10:00 p.m.
Councilmember Koch seconded the motion.
Ayes: 5
Nays: 0 Mr. Brian Birch, present for the discussion,
stated that he believes the results of the
survey are clear that the right-of-way should
be released and asked why Council needs a
workshop.
Councilmember Krebsbach responded that the
responses to the question of whether to hold
the right-of-way or release it for development
were very close, and this is the real need for
the workshop.
Mayor Mertensotto asked that the City
Administrator provide the HRA senior housing
criteria for the workshop.
Page No. 3798
October 19, 1993
Administrator Lawell pointed out to the
audience that the workshop is a public meeting
and that Council is not permitted to take
formal action on an issue at a workshop.
CITY HALL USE POLICY Council briefly discussed the proposed City
Hall Use policy, revising the philosophy
section.
Councilmember Smith moved to adopt as revised,
to be effective on January 1, 1994.
Councilmember Krebsbach seconded the motion.
Ayes: 5
Nays: 0
PUBLIC WORKS REPORT Council acknowledged the Public Works monthly
report for September. It was the consensus
that future reports should be narrative
reports informing Council on unusual events,
progress on projects and information on major
equipment breakdowns.
RECESS Mayor Mertensotto called a recess at 10:10
p.m. The meeting was reconvened at 10:23 p.m.
NDC-4 JOINT POWERS Council acknowledged receipt of the proposed
amended NDC-4 Joint Powers Agreement, along
with an associated memo from the City
Administrator and a letter from NDC-4 Attorney
Mike Sokol.
Mayor Mertensotto stated that the draft
incorporates many of Council's suggestions and
that he believes it addresses all of the
concerns that have been raised. He asked
whether there will still be an executive
committee to authorize bills and stated that
the commission should have the responsibility
for authorizing payments and if the executive
committee is to approve claims there should be
a cap on the amount of an expenditure they can
approve.
Councilmember Smith responded that she feels
the budget approval process is not fully
defined - it takes approval of six of the
seven member cities to pass a budget, and if
there is an objection, the agreement does not
adequately describe what the process is to
resolve the dispute.
Mayor Mertensotto stated that it has been
recommended that each city should get a copy
Page No. 3799
October 19, 1993
of the proposed budget and if they do not
respond in a certain number of days, the
budget is considered approved.
Councilmember Smith stated that she is
concerned about resolving objections in a
timely matter. She stated that another
problem is that any member may withdraw after
March 7, 2000, (page 15 of the agreement) but
it does not say what right any withdrawing
member has to the assets after that time. She
felt that this should be spelled out in the
agreement.
Councilmember Huber stated that the agreement
gives withdrawing members no rights to any
assets.
Councilmember Smith stated that other sections
of the agreement indicate that each member
city does have rights to some of the assets
and also on dissolution. She asked whether
there is implication that members have rights
if they withdraw, and pointed out that if one
or two of the bigger cities withdrew it would
be very difficult for the commission to
survive.
Administrator Lawell responded that four
cities must leave in order to trigger the
dissolution clause - if fewer than four
withdraw, the commission could continue on and
hold the assets.
Attorney Hart stated that the ultimate
determinant will be the intent of the parties
and the only right anyone would have to
distribution of a portion of the assets would
be by an express grant of authority in the
agreement.
Mayor Mertensotto responded that there are no
rights granted in the agreement.
Councilmember Smith stated that based on this
assumption, the agreement is acceptable to
her.
Council directed staff to draft an authorizing
resolution to approve the agreement, including
the stipulation that approval would be
conditioned upon approval by all seven of the
member cities.
Page No. 3800
October 19, 1993
AMM POLICIES Council acknowledged the Association of
Metropolitan Municipalities draft legislative
policies for 1994 along with an associated
memo from the City Administrator recommending
five top priorities.
It was the consensus that the five policies
recommended by the Administrator have the
highest priority for the city.
Councilmember Krebsbach stated that she does
not support the proposed policy for a 6.5 cent
gas tax increase as stated on page 56 of the
draft policies.
It was the consensus that Council opposes
adopting a sales tax on gasoline.
COUNCIL COMMENTS Councilmember Huber informed Council that Jody
Miller has been appointed as the new NDC-4
Executive Director.
Councilmember Smith informed Council that she
had attended the Grauman Field dedication and
that the ceremony was wonderful.
ADJOURN There being no further business to come before
the Council, Councilmember Huber moved that
the meeting be adjourned.
Councilmember Koch seconded the motion.
Ayes: 5
Nays: 0
TIME OF ADJOURNMENT: 11:00 o'clock P.M.
KAthleen M. Swanson
City Clerk
F.,VWWQW
Charles E. Mertensotto
Mayor
LIST OF CONTRACTORS TO BE APPROVED BY CITY COUNCIL
October 19, 1993
Excavating License
Belair Builder's
Fogerty Excavating, Inc.
General Contractors License
Anderson -Mann Construction Co.
B.C. Fire Protection
Diebel Construction
EauClaire Paint and Glass
R. Schuller Construction
Terra North Inc.
Stucco /Drywall License
Chris Brown Drywall