HomeMy WebLinkAbout2022-03-01 CC MINThe Birthplace of Minnesota
216 4th Street N, Stillwater, MN 55082
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CITY COUNCIL MEETING MINUTES
March 1, 2022
REGULAR MEETING 4:30 P.M.
Mayor Kozlowski called the meeting to order at 4:42 p.m.
Present: Mayor Kozlowski, Councilmembers Collins, Junker (remotely)
Odebrecht, Polehna
Absent: None
Staff present: City Administrator McCarty
City Attorney Land
City Clerk Wolf
Community Development Director Gladhill
Finance Director Provos
Fire Chief Glaser
Police Chief Mueller
Public Works Director Sanders
IT Manager Holman
City Planner Wittman
Library Director Troendle
OTHER BUSINESS
Public Parking Ramp/Lowell Inn Safety Improvements
Community Development Director Gladhill briefed the Council on the problem of persons
accessing the Lowell Inn roof from the top level of the parking ramp, causing significant
damage, plugging roof drains and causing flooding of the Lowell Inn. He presented a number
of options to deter trespassing on the Lowell Inn from access from the ramp.
Consensus of the Council was to direct staff to bring back options for a low profile
obstruction that will not detract from the roofline, but make it difficult to climb onto the
roof, possibly including an additional camera.
Future Accessory Structure and Use Ordinance Amendments Discussion
City Planner Wittman stated that staff has found numerous areas of City Code where there
are either inconsistencies or a need for updating to align with community values and
property owner needs. She led discussion on accessory structures and uses, including bulk
and setback regulations in various districts and for various uses (i.e. Accessory Dwelling
Units), the use of accessory structures or a portion thereof (i.e. wood shops, office/studios,
Accessory Dwelling Units), and non-traditional accessory structures (i.e. portable
garages/sheds and shipping containers).
The consensus of the Council was to support the use of accessory buildings for spaces such
as home offices and rec rooms for personal, but not commercial use; to continue to limit the
number of accessory structures to two; to eliminate the story restriction and instead limit
City Council Meeting March 1, 2022
the height by a number of feet; to prohibit non-traditional structures, i.e. shipping
containers, or to allow them on a very temporary basis seasonally for storage, with design
guidelines. Staff will continue to research other communities' regulations and start working
on potential code amendment language.
Short Term Home Rental Discussion
Community Development Director Gladhill reported that as the popularity of Short Term
Home Rentals (STHR) continues to grow, staff would like to improve the program based on
recent applications and renewals. He requested direction on key policy areas, including
building code accessibility requirements (2020 Code Change), owner occupied
status/license type, enforcement, parking, and maximum licenses. Building Code
requirements for Type C Licenses (Non -Owner Occupied) present the primary concern
raised by prospective licensees and consumes the most amount of staff time in
administering the program. These are regulations that the City must administer; the City
does not have the choice to grant Variances to Building Code. A change from a single-family
dwelling to Type C Short Term Home Rental (owner does not reside on site) represents a
change in occupancy classification and requires the owner to install accessibility
improvements. This can be challenging in historic homes. Staff recommends the following:
1) reinforce that conversions to Type C Licenses shall require accessibility improvements
pursuant to Building Code and that staff resources will not be allocated to finding alternative
paths to this requirement; 2) consolidate license types into Owner Occupied and Non -
Owner Occupied; 3) create a Short Term Home Rental Parking Permit to meet demands of
overnight guests; and 4) provide direction on maximum licenses. Additionally, staff
recommends that the City host a meeting with current licensees to discuss potential
changes.
Mayor Kozlowski indicated that his biggest concern is companies buying several properties
and running them as an LLC or investment. St. Paul, for example, limits these to two per
owner. He would like to allow homeowners to have a revenue generating opportunity to fix
up their old homes, but does not want STHR to be a vehicle for companies seeking profit.
City Attorney Land summarized that the issue is making sure the owner is maintaining the
property. To do that, the City can limit the number of properties it feels a single owner can
reasonably manage.
Councilmember Odebrecht remarked that Airbnbs are self regulating and the bar is very
high; bad reviews really impact them.
Mayor Kozlowski stated he would like to make sure they do not turn into event venues or
corporate properties, which would detract from the character of the neighborhood.
Councilmember Odebrecht suggested increasing the number of available licenses.
Councilmember Polehna noted that the hotels downtown represent a $30 million
investment and he sees no point in increasing the number of STHR licenses.
Councilmember Collins stated he would support increasing the number of licenses
downtown because there have been no issues.
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City Council Meeting March 1, 2022
Councilmember Junker stated before increasing the number of available licenses, he would
like to know how many of each type have been issued outside of downtown. Additionally,
the Council should not adjust the number of licenses without addressing parking needs.
Mr. Gladhill recapped that staff will bring back information on parking, consolidating license
types, limiting the number allowed per applicant, possibly switching to owner occupied
versus non -owner occupied, plus possibly increasing the number of licenses available
downtown. He added that at some point the City could create a STHR residential parking
pass as opposed to the 30-day residential parking pass.
STAFF REPORTS
Public Works Director Sanders explained MnDOT's request for a Jurisdictional Boundary
change along Hwy 36 to square off the boundaries.
Motion by Councilmember Polehna, seconded by Councilmember Odebrecht, to approve the
squaring off the boundary on the north side of Hwy 36 pursuant to MnDOT's original request,
continuing all the way west to the City's boundary. All in favor.
Mr. Sanders went on to report that there is a 40% chance of minor spring flooding. He shared
that MnDOT will contribute $225,000 to soil remediation on the Chestnut Plaza project.
Police Chief Mueller offered kudos to Community Resource Officer Brad Junker for the
Chamber Hero of the Year Award. He gave an update on personnel openings and interviews.
Mental health related calls continue. He reminded the public never to leave a car running
due to car thefts.
Fire Chief Glaser stated the Department responded to two structure fires. The Fire
Department Organizational Study will begin this week. The annual Relief Association
meeting is April 5.
Community Development Director Gladhill stated that the Assistant Planner position will be
filled soon. An electric vehicle charging station project is underway. The Chestnut Plaza
project is moving along.
City Administrator McCarty stated an RFP for the Police Department Operational Study has
gone out and a recommendation will be forthcoming. Staff has met with event organizers
and will get input from Commissions and bring the event policy back to the Council. The
bonding bill has been drafted and is scheduled for hearings. Senator Housley's bill has been
introduced requesting the DNR to not enforce all the elements of the litigation in the White
Bear Lake court case.
IT Manager Holman reported that the cybersecurity audit is starting. New help desk
software will be coming soon. She and the Council offered kudos to IT employee Rich Bornt
for his work pulling information together for the EOC.
Library Director Troendle updated the Council on library services and events listed on the
new web site.
RECESS
Mayor Kozlowski recessed the meeting at 6:17 p.m.
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City Council Meeting March 1, 2022
RECESSED MEETING 7:00 P.M.
Mayor Kozlowski called the meeting to order at 7:00 p.m.
Present: Mayor Kozlowski, Councilmembers Collins, Junker (remotely, left at 8
p.m.), Odebrecht, Polehna
Absent: None
Staff present: City Administrator McCarty
City Attorney Land
City Clerk Wolf
Community Development Director Gladhill
Finance Director Provos
Fire Chief Glaser
Police Chief Mueller
Public Works Director Sanders
Assistant City Engineer Abdullah
PLEDGE OF ALLEGIANCE
Mayor Kozlowski led the Council and audience in the Pledge of Allegiance.
RECOGNITIONS OR PRESENTATIONS
Department of Natural Resources (DNR) White Bear Lake Court Case
Jason Moeckel, DNR Ecological and Water Resources Section Manager (via Zoom), presented
the background and key elements of the court order. The DNR contested case process is
underway and expected to take several months to a year. One of the major issues is the
requirement of the DNR to set a collective annual withdrawal limit for White Bear Lake
(WBL) and adjust permits accordingly. He emphasized that under Minnesota Statutes, when
there is not enough water to meet demand, requiring that permits be amended, the DNR
must determine the priority of the uses. The first priority is domestic water supply, for in -
home use only. Schools, hospitals, hotels, and other businesses are not part of the domestic
water category. The DNR must evaluate for efficient use and explore possible alternatives,
such as whether there are alternative aquifers that can help meet demand. A hierarchy of
priorities has been established, which seems not to lend itself to a long term, large
geographic water supply issue as being faced here. He went on to explain the collective
annual withdrawal limit. Under Minnesota Statutes, the DNR may allow only up to 1/2 an
acre foot per acre to be withdrawn from the lake, or the equivalent of six inches of water.
The existing use exceeds this.
Councilmember Polehna stated that engineers have shown that Stillwater's water is not
coming from the direction of WBL, yet the case imposes severe restrictions on Stillwater
residents.
Mr. Moeckel responded that the groundwater model incorporates all the aquifers in the
entire groundwater management area and beyond. The City of Stillwater's municipal wells
are drawing from aquifers that are all hydro -geologically connected, so while Stillwater's
water is not coming from WBL, it is coming from an aquifer that is connected to WBL.
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City Council Meeting March 1, 2022
Mr. Moeckel went on to explain how the DNR determined the effect of domestic supply and
usage on the lake. Engineers had to use inference to determine approximate usage volumes
inside the home versus outside the home, looking at metro and statewide data. It was
determined that 55 gallons per person per day for in home use is a reasonable number.
Running that number through the model to determine what it would do to the lake level
results in a level right at the protected elevation. All the DNR can do under the court order
is authorize the volume of water sufficient to meet the first priority use. All this information
was sent in a report to District Court on February 7. The DNR met with all permittees and
legislators to explain the implications if the permit amendments move forward. It does not
seem that it would work very well because it includes no hospitals, no schools, no industrial
uses, so an alternative proposal is needed. That is where the case stands today.
Mayor Kozlowski asked if this is being driven by the District Court, not the DNR; and Mr.
Moeckel replied that the District Court has required the DNR to apply certain statutes, which
existed prior to the District Court's ruling. The District Court incorporated the five mile
boundary, which adds a level of complexity.
Councilmember Junker inquired how the significant growth of communities such as Hugo,
Lake Elmo and Mahtomedi over the last five years plays into the number of homes using
those wells and aquifers in the five mile radius; and Mr. Moeckel responded that overall
there is a downward trend in water use due to newer appliances, controllers and behavior
changes. The Mount Simon aquifer, as the deepest aquifer, is not connected to the aquifers
above it. But a well in the Jordan aquifer is connected to the lake. The DNR model provides
insight in considering alternative supplies to take the pressure off the aquifer system. There
are 44 permitted entities within five miles of WBL.
Mayor Kozlowski asked, if it were not for the homeowners around the lake who filed the
lawsuit, how much of this would the DNR be doing; and Mr. Moeckel answered absent the
lawsuit, the DNR developed a groundwater management area plan that identified important
issues. All these communities are hydro -geologically related, so tools were needed to
determine how to meet current and future needs. The DNR was already invested in going in
this direction. The court case added an accelerant and also some constraints.
Councilmember Polehna remarked the hardest part for him is that Stillwater has just one
well that is only ten feet inside the five -mile radius, yet the restrictions are being placed on
all residents in the City of Stillwater; and Mr. Moeckel replied that he understands the
concern. He provided the north and east metro groundwater management map and stated
he understood the testimony that led the judge to come up with the five -mile radius. The
whole region needs a sustainable water supply and if some communities go to an alternative
source so that other communities can keep their groundwater source, then everybody
benefits. Not everyone can stay on groundwater and continue to comply with the statutes
and meet the needs of future generations.
Councilmember Polehna stated he understands that a surface water system being
considered would cost about $600 million. He questioned where $600 million would come
from; and Mr. Moeckel replied that the Met Council evaluated several scenarios. One
scenario would have 13 of the communities switching to a surface water source, but that
was before the groundwater modeling. Now it will not take 13 communities switching. One
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City Council Meeting March 1, 2022
proposal was for six communities with a cost estimate of $150 million for capital
construction.
Mayor Kozlowski inquired if there are other lakes in this region that are similarly
threatened; and Mr. Moeckel replied WBL is very unique because it is so deep and is much
more connected to the groundwater. The other lakes in the area aren't nearly as deep.
Councilmember Polehna questioned if the problem could be cyclical; and Mr. Moeckel
responded that in the 1930s during the dust bowl era, WBL had lake levels that were almost
as low as in 2012. We are just coming out of the 30 wettest years on record in MN, yet we
experienced the all time lowest lake level in WBL.
council Service Award - Karie Weldon
The Council recognized Karie Weldon for her contributions, dedication, professionalism,
outstanding performance, and distinguished service to the City and its citizens for one year
as Police Data Specialist.
Council Service Award - Byron Theis
Mayor Kozlowski congratulated Byron Theis for his many contributions, dedication,
professionalism, outstanding performance, and distinguished service to the City and its
citizens for 8 1/2 years as Engineering Technician.
Colorectal Cancer Awareness Month Proclamation
Mayor Kozlowski proclaimed March 2022 as Colorectal Cancer Awareness Month.
Certificate of Retirement - Tom McCarty
Mayor Kozlowski and the Council commended retiring City Administrator Tom McCarty for
serving the City and its citizens faithfully, efficiently and courteously for 7 years.
City Administrator McCarty thanked the Mayor and Council, staff and community members
for their support.
Motion by Councilmember Polehna, seconded by Councilmember Collins, to adopt Resolution
2022-025, Certificate of Retirement - Tom McCarty. All in favor.
OPEN FORUM
There were no public comments.
CONSENT AGENDA
February 15, 2022 regular meeting minutes
Payment of Bills
American Rescue Plan Act (ARPA) - Resolution 2022-026
Designation of Depository for Investments - Resolution 2022-027
Drainage and Utility Easement for 201 Olive Street West
Drainage and Utility Easement for 114 Brick Street East
Employee & Volunteer Recognition Program and Other Public Purpose Expenditures
Policy
Gambling Premise Permit for Stillwater Elks at The Wild Hare - Resolution 2022-028
Parking Restriction on Brick Street South - Resolution 2022-029
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City Council Meeting March 1, 2022
Purchasing Policy Revisions
Sanitary Sewer Manhole Rehabilitation Project Agreement - Resolution 2022-030
Supporting State Legislation Amending State Liquor Laws on Growler Sales and Definition
of Compact and Contiguous for Defining a Premise - Resolution 2022-031
Motion by Councilmember Odebrecht, seconded by Councilmember Junker, to adopt the
Consent Agenda. All in favor.
PUBLIC HEARINGS
Project 2022-02. to consider the street and utility improvements on the 2022 Street
Improvement Projec.t
Assistant City Engineer Abdullah explained the proposed 2022 Street Improvement Project.
In all, there are 3.44 miles of streets proposed for improvements, 1.77 miles of mill and
overlay, 0.71 miles of partial pavement reconstruction, and 0.96 miles of full pavement
reconstruction. The total estimated cost is $2,398,304. Funding is through ten-year
assessments, permanent improvement bonds, State Aid funding, and utility improvement
funding. Construction would take place May to October 2022 with the assessment hearing
in October 2022.
Mayor Kozlowski opened the public hearing.
Don Johnson, 1015 Everett Street, asked why he is getting assessed $4,000 for watermain
while people on Brick Street are getting it paid for by the City. Also he stated part of the
deterioration of Everett Street is from school buses using the street and hospital ramp
employees, both of which were not to use Everett Street according to agreements he recalls
from years ago. He feels the hospital and school district should pay more.
Mr. Abdullah replied the City pays for the main water line, but individual water service
connection from the main to the house is paid for by assessments.
Kyle Brandvik, Brick Street South, asked for an explanation of properties assessed at 70%
and 80% while she is assessed 100%.
Mr. Abdullah replied that Brick Street is a state aid project and Ms. Brandvik is being
assessed at a 50% rate.
Paul Brandvik, Brick Street, stated his neighbor has a corner lot and 1/2 the assessmen,t but
the same amount of footage as he does.
Mr. Abdullah explained that a corner assessment is 1/2 on each street and assessments are
per lot rather than per foot.
Kyle Brandvik asked if there will be any additional costs associated with the main line to the
house and will they be given notice when work will be done?
Mr. Abdullah replied they will be given 24 hours notice when the water will be off so the
contractor can connect their service to the main line.
Summer Seidenkranz, Our Saviors Church, voiced concern about the issue of a break in
water service for a day due to the church activities.
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City Council Meeting March 1, 2022
Mr. Abdullah replied the water service for the church does not come from Brick Street, so
they will not experience a break in service. The City web site has a link to request
notifications on the project.
A resident of Dubuque Street who did not give her name stated one of the homes is in
foreclosure, which has stone from the road up the hill. She asked how it will be handled.
Mr. Abdullah replied engineers have been working on the design for that portion. They may
end up moving the first or second row of boulders which are on the City right of way.
Mary Ellen Soderholm, Cherry Street, stated she noticed the sanitary sewer pipe and
manholes will be replaced. Sixteen years ago she experienced water in the basement and a
backup from the pipe in front of their house. She was told at the time the pipe was
antiquated.
Public Works Director Sanders stated the sanitary sewer main will be replaced from Third
to Fourth Street on Cherry Street. There is nothing wrong with the main on Everett Street.
Kyle Brandvik asked about landscape disturbances.
Mr. Abdullah replied property owners will be notified when the contractors start working
on Brick Street, because concrete curb and gutter will be replaced, they anticipate 1-2'
landscaping behind the curb will be disturbed and the homeowner will be notified of the
need to move plantings if they wish while the project takes place.
Don Johnson stated in the front of his house the road narrows down to less than two lanes
wide. He asked if the street will be widened.
Mr. Abdullah replied no, they are just going to repair the parts that are broken.
Mayor Kozlowski closed the public hearing.
Motion by Councilmember Odebrecht, seconded by Councilmember Collins, to adopt
Resolution 2022-032, Resolution Ordering Improvement and Preparation of Plans &
Specifications for the 2022 Street Improvement Project, Project 2022-02. All in favor.
UNFINISHED BUSINESS
C4ipital Improvement Proj.cts (CIP) Report
City Administrator McCarty presented the Capital Improvement Plan for years 2022-2026.
The CIP includes $90 million in projects, including the bonding bill projects. Projects in the
first year (2022) are included and funded within the approved 2022 City budget. The CIP
will be administratively updated each year during the annual budget cycle based upon
Council, staff and community input.
Motion by Councilmember Polehna, seconded by Councilmember Odebrecht, to adopt
Resolution 2022-033, Resolution Approving the 2022-2026 Capital Improvement Plan for the
City of Stillwater. All in favor.
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City Council Meeting March 1, 2022
NEW BUSINESS
St. Croix Recreation Center Possible Expansion Project Planning Services Contract
Mr. McCarty informed the Council that an RFP to perform a planning level construction cost
estimate for the Rec Center possible expansion project was issued on January 26, 2022 and
proposals were submitted by five consulting firms. An evaluation team comprised of
Councilmembers Polehna and Junker, the St. Croix Valley Rec Center Director, the
Community Development Director, and the City Administrator reviewed all responses. The
team recommends acceptance of the proposal and award of the professional services
agreement to the 292 Design Group in the amount of $28,750.
Motion by Councilmember Polehna, seconded by Councilmember Collins, to adopt Resolution
2022-034, Resolution Accepting Proposal and Awarding Professional Services Agreement to
the 292 Consulting Group for Provision of Planning Level Construction Cost Estimates for the
St. Croix Valley Recreation Center Possible Expansion Project. All in favor.
Charter Amendment Redefining the Election Boundaries - Ordinance 1st Reading
City Clerk Wolf explained a Charter Amendment that redefines the election boundaries
based on 2020 census data. The Charter Commission agreed with the proposed boundary
changes and directed staff to prepare a public hearing for March 7, 2022. Designation of
polling places resolution will come before Council at the March 15 City Council meeting.
Motion by Councilmember Collins, seconded by Councilmember Odebrecht, to adopt first
reading of an Ordinance amending the Stillwater Code, Chapter 21, General Provisions, Section
21, Subd. 11, entitled "Election Wards." All in favor.
COUNCIL REQUEST ITEMS
Motion by Councilmember Odebrecht, seconded by Councilmember Collins, to approve the
cybersecurity contract. All in favor.
ADJOURNMENT
Motion by Councilmember Collins, seconded by Councilmember Polehna, to adjourn. All in
favor. The meeting was adjourned at 8:42 p.m.
Ted Kozlowski, Mayor
ATTEST:
Beth Wolf, City Clerk
Resolution 2022-025, Certificate of Retirement - Tom McCarty
Resolution 2022-026, a Resolution to Elect the Standard Allowance Available Under
the Revenue Loss Provision of the Coronavirus Local Fiscal Recovery Fund
Established Under the American Rescue Plan Act
Resolution 2022-027, Designation of Depository for 2022
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City Council Meeting March 1, 2022
Resolution 2022-028, Approving Minnesota Premises Permit for Lawful Gambling for
Stillwater Elks #179 at the Wild Hare
Resolution 2022-029, Approve Parking Restrictions on S.A.P. 169-123-001 (Brick
Street S) from Myrtle St. W to Olive St W in the City of Stillwater, Minnesota
Resolution 2022-030, Resolution Accepting Proposal and Awarding Contract for 2022
Sanitary Sewer Manhole Rehabilitation Project (Project 2022-05)
Resolution 2022-031, A Resolution Supporting State Legislation Amending State
Liquor Laws Raising or Eliminating Caps on Growler Sales of Microbreweries
and Clarifying the Definition of Compact and Contiguous for Defining a Premise
Resolution 2022-032, Resolution Ordering Improvement and Preparation of Plans &
Specifications for the 2022 Street Improvement Project, Project 2022-02
Resolution 2022-033, Resolution Approving the 2022-2026 Capital Improvement
Plan for the City of Stillwater
Resolution 2022-034, Resolution Accepting Proposal and Awarding Professional
Services Agreement to the 292 Consulting Group for Provision of Planning Level
Construction Cost Estimates for the St. Croix Valley Recreation Center Possible
Expansion Project
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