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HomeMy WebLinkAbout1978-10-17 CC MIN• • COUNCIL CHAMBERS Stillwater, Minnesota October 17, 1978 7:00 P. M. SPECIAL MEETING The meeting was called to order by President Junker. PRESENT: Councilwoman Bodlovick, Councilmen Mahoney, Peterson, Powell and Mayor Junker ABSENT: None ALSO PRESENT: Acting City Clerk, Schnell; City Attorney, Magnuson; Finance Director, Kriesel; Librarian, Lynn Bartolmo Press: Bob Liberty Citizens: Al Ranum, Ed Cain, Sukie Thomsen, Harriet McPherson, Lyman Geary, Bob Miller,(Members of Independent School District No. 824 School Board). CITY DUMP PROPERTY - INDEPENDENT SCHOOL DISTRICT NO. 834 LYMAN GEARY, chairman of the School Board, stated that they would like to get some action on this dumpsite and they had counted on the agreement that was made and originally they had a Junior High School in mind for this site and since the bond issue failed, there is no present plan, but their problem is to get on the books some definite, legal and binding agreement that if and when they build they will have it. There are a number of alternates and they were seeking an agrement to move ahead with it. They currently have no need for this at the present time, but that the City is currently using it and they have no reason to change that. They have three options - that the City give them an option to buy it predicated on and at a time when the school has a need for it for a facility to be built there- another one is that they buy it from the City and let them use it - the City having this option to use it until something is built on it; and the third one is the school can find another site for the City's operations that are there in exchange. He questioned whether the City had some other options. MAYOR JUNKER said that this is our only out for snow removal and the storage of any gravel and it is possible that we would not need it, but we need a piece for these purposes. COUNCILMAN PETERSON indicated that in the past the City has been criticized for dumping the snow in the river by the DNA and the slag which pollutes the river - chey make tar out there and the quonset hut that is still there is used for storage. there is not room at the garage site and we are in a bind for property for these purposes. MAYOR JUNKER indicated that we no longer make cold -mix out there although we did in the past. The location is very good and it serves an excellent purpose. COUNCILMAN PETERSON did not know what could happen in five years to change this need and has a very good access. MR. GEARY stated they have no real incentive for the City not to use it - they do not need it now and the City's using it is no problem for them and the build- ing of a Junior High is remote for them - MAYOR JUNKER asked if they would be willing, if the City would sell it to them to let the City use the property the way it sits for the duration and if they do not build a Junior High there,would the School Board be willing to give the property back in case they did not build a Junior High there - he felt that the Council would be willing to give them the property with the City using it as needed and then if they did not build a Junior High there the City would take the property back - it is an ideal place to dump snow. He did not feel that we could find another suitable location for this purpose. If they woula not build a Junior High there,would they be willing to sell it back to the City or give it back to the City as a part of the deal that we would make. ROBERT MILLER, Superintendent, stated that they got a little bit upset when they made the second inquiry and it came back that the Council was not willing to sell - the bond issue failed and that got them a little bit concerned that there should be some binding document that each board maintains -if there was some planning down the road that binds them together no matter who the people are - that would insure the best interests of everybody that the site would be available for a school site. Maybe in five years that there is no value in their having this dumpsite for having the other property - in fact when Mr. Marshall was here there was talk about the City getting more property to develop a combination park and school site and all was dropped along the way. • • • • 1 • • October 17, 1978 .� COUNCILMAN PETERSON stated the main concern of the City is what happens if the School or some other building is built on that site, then where does the City go. As far as using it and as far as not trying to stop the School District in any way and that no one is interested in doing that - they are concerned if something is built out there and we have a school building or an auxiliary biding or a Junior High, then where do we go, and frankly, right now we do not have anywhere to go - or even in five years. COUNCILMAN MAHONEY indicated that the real problem is the snow dumping which is done there. COUNCILMAN POWELL indicated that we have been dumping concrete and other fill there COUNCILWOMAN BODLOVICK asked what the City used before we had this site and she was informed that we have always had this site - since 1931. MR. GEARY stated that they would not be using it for at least five years and n t he felt that they accommodate each other - the City give them an optioi to '' buy it under a strict set of circumstances - it would be a major school facility - the other one is they buy it from the City and the City has the option to use it until the same thing happens, and the third one is buying the other property and that is almost no answer as they do not know where one is -- COUNCILMAN POWELL - why don't we say we will give it to you in exchange for some property at a later date - because you may want to buy the property right away because the land might be cheaper to buy now, even if it were less con- venient to use they could still probably use the site that they still have to store things until the school district needed it. MR. GEARY - it is a good solution, but in a way it is taking the City's problem and giving it to the school district and they are not really qualified to do that - they could find a site that is seven acres and it probably would not be a suitable dumping site. It would be cleaner if the City gave them an option based on some very strict writing to the point that they can't go out there and buy it from the City or the City get an option from the School District and they would buy it now and it doesn't answer the question what would be done five years or so down the line, and they are not very qualified to solve that problem. MAYOR JUNKER - the City would sell it to them and if they do not use it within the next five years, the Cit, take it back and the City have the first option on the 32 acres of the Radle property - let the City use that property for five years as the City uses it now . . If they would need it in seven years, then that would be a different ballgame and that five years would be too short of a period of time. MR. MILLER stated that suppose that we gave each other the right of refusal and it is conceivable that they will not need this Radle property and about that time the City of Stillwater would be looking for some property - this would make a good park site in that area and on the other hand if the School District would need it they would have access to the dumpsite. COUNCILMAN PETERSON did not feel that will solve the City's problem - the problem is not the fact that someone has the right of first refusal or the fact that the school board has commitments to Hillside or whatever - the City's problem is where do they go - assuming that we grant the School Board the option - that is fine - at some point and time they are going to make a decision as to whether or not they are going to use that Radle property and the dumpsite, and assuming that they do that, then where does the City go. MRS. SUZANNE THOMSEN stated if the school wanted the property, then at that time they would have to come up with something at that time MRS. HARRIET MC PHERSON - she was afraid to say that they would find the City something else - they may have to pay $20,000 per acre for something else. ED CAIN - back several years ago when it all started the agreement was that there was an option for the School Board to buy that and all they want to do is exercise that option and get it cleared up. They have no use for the property and they would be very happy to turn right around and give it to the City for $1.00 per year or whatever is the legal way to do it. They are just trying to carry out the agreement and that was already made. COUNCILMAN PETERSON stated that no binding legal option as such was drawn up - at that point and time the City was not dumping snow out there - there was an understanding between Mr. Powell and Mr. Marshall and the School District at that time - the Council members that were on the Council at that time do not recall it. • 59' • • • 1 1 • 7- • October 17, 1978 COUNCILMAN POWELL stated that one thing that they have to be careful of when they talk about buying land and MR. GEARY stated that they actually need 40 acres and he felt they are back - trailing which he did not feel that was very ethical - they went ahead and bought it based on the fact that they could fill it out and make a site which would be big enough to get the State Department okay. He felt that the City was trying to stick them with a future problem which may not occur - all they wanted if they needed it that they do not have a "white elephant" by relying on the City's word of some years ago, that they could do the right thing by the taxpayers. COUNCILMAN POWELL stated that it is very difficult to buy land to use to dispose of outside the City limits - the City tried to get a dump in Stillwater Township, tried to get one in Grant Township and could not do it - he questioned that any- body would allow us to dump snow and store things out there - they probably would not like that - he felt that what would have to be done would be to transfer property - find some property within the next year or so that is agreeable and just on the other side of that marsh, some of the Lecuyer's property might be suitable for what we need it - but it might be adverse with the school being there - it is close and we could annex it and we could solve our problems that way. MAYOR JUNKER indicated that the City's biggest problem right now is dumping snow and that is why we use the dump and if the School District could give the City a solu- tion for dumping snow that he felt that the Council as a whole would give the School District that property and that the City has a 100 acres that they can buy and they have allocated $20,000 to buy it but he did not feel that we could dump snow there. MR. GEARY felt that the School District has cooperated with the City in the past and felt that the City was trying to put their problem on them - also that the DNR would be against them on anything that they would try to do and that the City better knows their needs are for property and they would then be involved in the City's business. What really is on the table is an option - what they have in mind is to make this a viable school site - they relied on this MR. MILLER indicated that they might have something to trade - they own some lots by the Washington School ravine and he thought that the City might be able to dump snow there and Mayor Junker indicated that this site was too small. COUNCILWOMAN BODLOVICK asked how many acres at the Senior High and she was informed that there are 40 acres there. She also asked if someone dictates to them how much land that a on of they presently have Mwouldlnot further building site. MR. MILLER felt that they could write up an agreement that may be at the end of the five years that they come back together again and make a new decision, but at least they would have something down in writing that would bind both parties. MAYOR JUNKER did not feel that it was a big problem - the City is moving west and south and there is a lot of property out there. COUNCILMAN PETERSON felt that no one objected if they had some place to go and right now the City has no possibility . . . MR. GEARY asked what they feel about what they said they would do - any obligation - the City is pushing a problem on them - something new has come up - he did not feel that it was fair to the School District. COUNCILMAN PETERSON stated that in 1971 the City did not have the problem with the snow dumping and the storage of equipment, but they do now. There was no period of time stated and there has been six years elapsed and nothing has trans- pired during that period of time. MR. MILLER stated they were willing to buy the property at that time - they have a definite quote from the City as to what they could buy it for per acre - the same acre price as they paid for the other property and that Mr. Marshall at that time said to hold off since the bond issue failed. COUNCILMAN POWELL stated that this was shortly after the City went to mandatory refuse pickup and the City knew that they did not need it for that purpose and that was another thing. He felt that he wrote the letter and did not wish to back up on his word. MAYOR JUNKER asked if they would be willing to take it as an option - if the Junior High is built, that the City sell it to them and if it is not built in five years, that they come back and negotiate and take it back. • • • • • • • • j1 October 17, 1978 Suggestions were made that possibly it should be ten or fifteen years. After five years they have to come back and re- negotiate and talk it over again and the right to take the property back and also have the first right on the Radle property - optin of 15 years with a reciew in five years. MR. GEARY asked if they come back in five years, then the sixth and seventh and so on to inform the City if they are going to use the site - then they would have the option, then it would be an advantage to each party. COUNCILMAN POWELL stated that when the School District gets the idea that they are going to have to build, if it were within three years so that the City could start looking - so the City has time to look so they are caught with no place to go. COUNCILWOMAN BODLOVICK stated she was not aware of the fact of that type of negotiations took place back in 1971 - she had heard about it and knew that the School District was interested in buying the property and did not know that there was a mutual agreement. The City's number one concern is the citizens of the City of Stillwater that they answer to and that was her concern. We have to realize that if we have to replace that site and as Mrs. McPherson stated we might have to pay $20,000 per acre and she wished to protect the Stillwater citizens against that. DAVE MAGNUSON stated the option to purchase for a period of fifteen years reviewaSle in five year increments with two year notice with the intention to exercise the option to be acquired - include the right of refusal on the Radle property and if the property is not used for a school facility, the City has the right to demand the property back if they exercise the option - each choose an appraiser and gree on a thire one to determine the price. On motion of Councilman Mahoney, seconded by Councilman Peterson, that the City enter into an agreement to be written up in agreement with our Attorney and the School Board Attorney based on the points that have been brought out here and that the option price be added to it on agreeable terms of five years and that they come back for final approval at the time the option is exercised with independent appraisals at the time the option is exercised with two years notice in good faith that they were to make good use of this property for a school facility. (all in favor) This portion of the meeting adjourned at 7:50 P. M. BUDGET At this time the Council continued the review of the 1979 Budget -Tax Levy -- 1. On motion of Councilman Peterson, seconded by Councilwoman Bodlovick, a resolution was introduced "CLOSING OUT THE POLICE BENEFIT FUND ". AYES -- Councilwoman Bodlovick, Councilmen Mahoney, Peterson, Powell and Mayor Junker NAYS - -None (see resolutions) 2. On motion of Councilman Powell, seconded by Councilman Mahoney, a resolution was introduced "ADOPTING THE TAX LEVY FOR 1979" AYES -- Councilwoman Bodlovick, Councilmen Mahoney, Peterson, Powell and Mayor Junker NAYS -- None (see resolutions) 3. On motion of Councilman Peterson, seconded by Councilwoman Bodlovick, a resolution was introduced "CHANGING CERTAIN MANDATORY LEVIES ". AYES -- Councilwoman Bodlvock, Councilmen Mahoney, Peterson, Powell and Mayor Junker NAYS - -None (see resolutions) RESOLUTIONS- The following resolutions were read and on roll call were unanimously adopted: 1. Closing Out the Police Benefit Fund 2. Adopting the Tax Levy for 1979 3. Changing Certain Mandatory Levies ADJOURNMENT - The meeting adjourned at 10:00 P. M. Attest c.a>- . • Acting City Clerk Mayor 611 • • • • • r • • October 17, 1978 Suggestions were made that possibly it should be ten or fifteen years. After five years they have to come back and re- negotiate and talk it over again and the right to take the property back and also have the first right on the Radle property - optin of 15 years with a reciew in five years. MR. GEARY asked if they come back in five years, then the sixth and seventh and so on to inform the City if they are going to use the site - then they would have the option, then it would be an advantage to each party. COUNCILMAN POWELL stated that when the School District gets the idea that they are going to have to build, if it were within three years so that the City could start looking - so the City has time to look so they are caught with no place to go. COUNCILWOMAN BODLOVICK stated she was not aware of the fact of that type of negotiations took place back in 1971 - she had heard about it and knew that the School District was interested in buying the property and did not know that there was a mutual agreement. The City's number one concern is the citizens of the City of Stillwater that they answer to and that was her concern. We have to realize that if we have to replace that site and as Mrs. McPherson stated we might have to pay $20,000 per acre and she wished to protect the Stillwater citizens against that. DAVE MAGNUSON stated the option to purchase for a period of fifteen years reviewable in five year increments with two year notice with the intention to exercise the option to be acquired - include the right of refusal on the Radle property and if the property is not used for a school facility, the City has the right to demand the property back if they exercise the option - -- each choose an appraiser and gree on a thire one to determine the price. On motion of Councilman Mahoney, seconded by Councilman Peterson, that the City enter into an agreement to be written up in agreement with our Attorney and the School Board Attorney based on the points that have been brought out here and that the option price be added to it on agreeable terms of five years and that they come back for final approval at the time the option is exercised with independent appraisals at the time the option is exercised with two years notice in good faith that they were to make good use of this property for a school facility. (all in favor) This portion of the meeting adjourned at 7:50 P. M. BUDGET At this time the Council continued the review of the 1979 Budget -Tax Levy -- 1. On motion of Councilman Peterson, seconded by Councilwoman Bodlovick, a resolution was introduced "CLOSING OUT THE POLICE BENEFIT FUND ". AYES -- Councilwoman Bodlovick, Councilmen Mahoney, Peterson, Powell and -- Mayor Junker NAYS - -None (see resolutions) 2. On motion of Councilman Powell, seconded by Councilman Mahoney, a resolution was introduced "ADOPTING THE TAX LEVY FOR 1979" AYES -- Councilwoman Bodlovick, Councilmen Mahoney, Peterson, Powell and Mayor Junker NAYS -- None (see resolutions) 3. On motion of Councilman Peterson, seconded by Councilwoman Bodlovick, ✓ a resolution was introduced "CHANGING CERTAIN MANDATORY LEVIES ". AYES -- Councilwoman Bodlvock, Councilmen Mahoney, Peterson, Powell and Mayor Junker NAYS - -None (see resolutions) RESOLUTIONS- The following resolutions were read and on roll call were unanimously adopted: 1. Closing Out the Police Benefit Fund 2. Adopting the Tax Levy for 1979 3. Changing Certain Mandatory Levies ADJOURNMENT - The meeting adjourned at 10.00 P. M. • Attest,�>- ...i - Acting City Clerk • •