HomeMy WebLinkAbout1979-03-27 CC MIN•
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COUNCIL CHAMBER
Stillwater, Minnesota
March 27, 1979 7:30 P. M.
SPECIAL MEETING
The meeting was called to order by Mayor Junker.
The Invocation was given by the City Clerk.
Present: Councilwoman Bodlovick, Councilmen H. Peterson, R. Peterson, and
Mayor Junker
Absent: Councilman Powell
Also Present
City Finance Director /Coordinator, Kriesel; City Clerk,
Schnell; City Atrorney, Magnuson; Superintendent of
Public Works, Shelton; Consulting Engineers, Elliott and
Moore; Planning Commission Chairman, Tom Farrell;
Building Inspector, Niska
Press: None
Citizens: Edward Deiss, Clark Nyberg, Mrs. Tim Cowen, Dick Harold,
Pat Bantli, Bill McDonald, Kathy Buck Al Borsheim,
William Lecuyer, Wayne Johanson, Bill Torseth.
PETITIONS
On motion of Councilman Roger Peterson, seconded by Councilman Harry Peterson,
a resolution was introduced "ACCEPTING THE PETITION FROM GANUS DEISS FOR SEWER
AND WATER IN SOUTH HARRIET STREET, NORTH OF PINE STREET AND SETTING THE DATE
FOR THE PUBLIC HEARING FOR APRIL 10, 1979 AT 7:30 P. M."
AYES -- Councilwoman Bodlovick, Councilmen H. Peterson, R. Peterson and Mayor Junker
NAYS - -None (see resolutions)
UNFINISHED BUSINESS
1. On motion of Councilwoman Bodlovick, seconded by Councilman Roger Peterson,
a resolution was introduced "REQUESTING 1978 -79 PLANNING ASSISTANCE GRANT
FUNDS FROM THE METROPOLITAN COUNCIL ".
AYES -- Councilwoman Bodlovick, Councilmen H. Peterson, R. Peterson and Mayor
Junker
NAYS - -None (see resolutions)
2. On motion of Councilman Roger Peterson, seconded by Councilwoman Bodlovick, a
resolution was introduced "CONFIRMING THE APPOINTMENT OF NILE KRIESEL AS
FINANCE OFFICER - /COORDINATOR AS OF APRIL 2, 1979 ".
AYES -- Councilwoman Bodlovick, Councilmen H. Peterson, R. Peterson and
Mayor Junker
NAYS- -None (see resolutions)
3. On motion of Councilman Harry Peterson, seconded by Councilman Roger Peterson
the Contract for the copying machine was awarded for the Sevin Plain Copier
#700 as recommended by the Finance Officer /Coordinator. (all in favor)
4. This was the day and time set for the public hearing on Local Improvement No.
151 for the utility improvements and street improvements for Interlachen
Plats One and Two.
Notice of the hearing was published in the Stillwater Evening Gazette, the
official newspaper of the City on March 16 and 23, 1979 and copies were mailed
to all property owners benefited by the proposed improvements.
The Mayor opened the hearing.
MR. ELLIOTT explained the location of the two plats for which the improvements are
to be made - the improvements include sewers, watermains, storm sewers drainage
under Trunk Highway 12 and a lift station to tie in with the comprehensive sewer
plan for the City of Stillwater and this will connect with the forcemain that was
put in at the time of the construction of County No. 12 in 1976 which was paid for
by the City which rerminates at Owen and Myrtle. The watermain is an extension
of the main that serves the Croixwood area and stubs were provided for this so that
they will not have to go back into the Croixwood Streers for this work. This project
includes the grading and the improvement of the shaded streets on the maps. The
streets would be 30 feet in width with a multiple type curb. The cost of the
improvements for Interlachen Plat No. 1 and abutting area are:
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Sanitary Sewer $115,700
Watermains 87,800
Streets 173,240
Storm Sewers 47,200
Total $423,940
(This is exclusive of the Lift Station which has an area wide benefit and
exclusive of a pipe going underneath County Road No. 12 which is referred
to as a trunk sewer which has area wide benefit)
The net cost per lot is $8,000 exclusive of the land costs and the
lift station costs.
INTERLACHEN TWO - There is no storm sewer necessary for this plat - the cost
of the utilities and streets - Sanitary Sewer - $32,740.
Watermain 34,600
Street 9,900
Total $77,240
Cost per lot - $19,310 (The remoteness of the development from the sewer and
that there is no benefit to abutting property enroute by the extension of the
sewer accounts for this high cost).
The cost of the lift station and the trunk sewer and the forcemain and the cost
of the forcemain constructed in 1976 by the City including 67, interest over the
period of time for that investment is $127,750 (that lift station will ultimately
serve 235 acres at a cost benefit of $544 per acre for the lift station, forcemain
and trunk sanitary sewer).
Mr. Elliott explained the full area that will be served by the new lift station.
Most of the area is in the Township - 163 acres Township and 72 acres in the
City of Stillwater.
BILL LECUYER, Boutwell Road, failed to see the benefit to area wide - he has 100
acres - and Mr. Elliott explained that if his area was ever to be developed the
only way it could be served with sanitary sewer is through the installation of a
lift station at the location indicated on the map.
MR. LECUYER stated that his property is very much higher than the property in
the City of Stillwater and that the existing lines in the area do not have the
capacity to service this enlarged area according to Mr. Elliott. He felt that
he was getting nothing for the possible $55,000 which would be assessed to his
property for these improvements.
DICK HUELSMAN, 1524 West Myrtle Street, questioned why the entire assessment
could not be charged to the developer and that most of the property other than
the petitioners is owned by the City and the School District and he felt that
it would be of no benefit to his property.
MAYOR JUNKER asked if Reliance Development was made to pay the entire cost, would
the City have the right to charge other citizens who wanted to hookup to the lift
station and MR. ELLIOTT stated that there would be no way to recover more than
the original cost. From the standpoint of City policy lift stations which have
an area benefit and would benefit the property that would ultimately discharge
sewage or be pumping into the system - there is the possibility of putting in
a smaller lift station which would have to be removed and replaced which would
not be good planning.
MAYOR JUNKER asked if it would be legal, if Reliance paid the full amount for
them to get back some of this money and MR. MAGNUSON stated he had never seen
it handled by the developer as the City would own the sewers - the way it is
done, the City would finance and charge them for a hookup charge (that is one
possibility) which would mean that the City would be bank rolling several hundred
thousand dollars of improvements with no guarantee of the development.
MR. ELLIOTT cited the following options for the special cost recovery consider-
ations of this project:
1. The area must become annexed to the City of Stillwater for the
City to impose an assessment.
2. If the area is not annexed, Stillwater Township must hold a hearing
on the lift stion portion of the project in order that the Township
can collect the assessments and forward same to the City.
3. A connection charge could be established for each lift station service
area for cost recovery. This would require that the total district be
developed within the bond retirement period.
WILLIAM LECUYER asked if these assessments would be collectible when the land
is sold or developed and MR. MAGNUSON stated when it is connected to the system
and that this is the problem that the City have assurance that within the next
five or ten years that the property would be developed and a hookup needed they
could take a risk on bank rolling it - bit if it took 20 years and the bonds had
already been retired, then the City would have no way to meet their obligations
without taking the money out of the General Fund. The City could treat it as a
hookup charge and defer it.
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March 27, 1979
BILL MC DONALD asked that Mr. Elliott explain the details of the lift station.
MR. ELLIOTT stated that a similar project like this went on about ten years ago
on the east side of Lily Lake and the options were to go small or go big which
involved the current Industrial Park which was in Stillwater Township and it cost
very little more to make it larger because the pumps are what have to be larger
- -the facility, the tank has to be the same size regardless whether there are
100 gallons per minute pumped into them or 300 gallons per minute. There would
be less cost if the smaller one went in. The breakdown on the costs would be -
the trunk main is $3,000, the cropping under County 12 is $17,000. The lift
station is $24,500 for the larger one and the smaller one would be about $15,000.
The 10 inch forcemain (this could be four inches if it were just for this develop-
ment), but would have to be replaced later for future development. The cost of
same would be $85,000 and the forcemain that was put in the ground in 1976 is
$29,400 and there is also the legal and fiscal and engineering costs. Putting the
smaller lift station in might save about $25,000 or a total of $100,000 lift station
and forcemain and trunk main facilities instead of $127,500.
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MR. LECUYER asked where all the foresight was two years ago when the pipe was put
under Boutwell Road and now they have to put a bigger one and he stated that the
pipe put under County 12 was put in by the County and it is adequate in size and will
serve the drainge and what he was talking about now was the sanitary sewer which
will be taken care of by the lift station - there is nothing wrong with the pipe
that is currently in there for the drainage.
Mr. Lecuyer felt that the cost of the sewer for those four lots was
fantastic.
MR. COWEN requested that they want only one sewer hookup between Lots 9 and 10
since if they sell the lot, they intend to split Lot 10 and half of Lot 9 and
half to Lot 11, and she was informed that if the project is voted in, then she could
request this matter.
A CITIZEN stated that he owns the corner piece at County 12 and he was informed
that the only assessment would be for the proposed lift station at $544 per acre
and he would pay when he ties in with the system.
He asked what benefit he would have from this and MR. ELLIOTT stated that his
property could not be served without the lift station and he made reference to
having pad $375.00 to the Metro Waste for the SAC charge and asked what he got
out of that and he was informed that this is his share of the interceptors.
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AL BORSHEIM, Stillwater Township Supervisor, asked what the alternative was if
the Township does not go along with the assessments.
MR. ELLIOTT stated that the developer would possibly ask that the lift station
be made smaller and the forcemain and it is possible that the developer will feel
the improvements would be pricing the development out of the market. It is the
nature of the location of the property and many other things that brings the
cost up so high.
He personally did not feel that this area could be served strictly by gravity
and this is part of the total plan which was developed in 1971 and look at it
again in 1973. Each time he submits a plan to the Metro Waste they check it to see
that it is in conformance with the over -all plan.
MR. BORSHEIM stated that as a Stillwater Township Supervisor he was reluctant to
vote in favor of any assessments in this area - the Township has not an area designated
at 2% acre lot size and development has been going on at 2k acres and greater lot
size with on -site systems that are fairly new which have an estimated life span of
15 years for the originals and enough areas for additional sites for another 15 years -
he felt that they would be hard pressed to get any use out of that area for 25 to
30 years.
KATHY BUCK, Stillwater Township Chairman, felt that an assessment of that amount of
money is actually going to cause premature development of a more density nature
than what has already been agreed to with the City and that is what was agreed to
in the Orderly Annexation Agreement not to allow any parcels of less than 2k acres
and could not see this as a benefit. She felt that this is a very difficult decision 0 ""
that the City of Stillwater is putting them in on this project.
MAYOR JUNKER stated that if the Reliance Development Corporation wants to develop
they should be made aware that the Stillwater Township does not want any assess-
ments made against their properties.
TOM FARRELL asked if they were assessing people in Fairmeadows and what was
happening to the people on the south side of Interlachen.
MR. ELLIOTT stated that the lots that are abutting Interlachen Lot 11 could be
assessed for street and there are two lots that do not have sewer and water than
would have to be assessed.
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March 27, 1979
DICK HUELSMANN stated that the property he owns has easement rights to hook
onto to the sewer on Birchwood Drive when that was developed and they gave up
some of their property - easement and hook -on rights - did not know why he should
be involved in this assessment when he already has these rights and he has this
written into his deed, and this was all worked out with Henry Radle.
WAYNE JOHANSON, Boutwell Road, just adjacent to this area and one of the reasons
for moving to this area was to get away from the City water and sewer and not
have to worry about the problems of living in a City. He felt with this type
of assessment they are actually being forced upon these people.
MRS. COWEN who lives on the corner of Crestwood Terrace and Interlachen and
she asked that if the Interlachen were to be put down the middle point it would
take 117 of the trees on her property and she requested that the stree be built
to the north of the middle point and MR. ELLIOTT assured her that if the project
is voted in that they would be glad to work with her on this matter.
On motion of Councilman Roger Peterson, seconded by Councilwoman
Bodlovick, the Council recessed the hearing on Local Improvement No.
151 until they get a response from Stillwater Township on the matter.
(all in favor)
THE MAYOR DECLARED A RECESS FROM 8:35 to 8:45 P. M.
UNFINISHED BUSINESS
- - -MR. ELLIOTT reviewed the proposed improvements for County 66 so that the new
supervisors could be fully informed on this project as explained to the full
Council and the other Township Supervisors on March 6, 1979.
KATHY BUCK inquired if there could be a control structure with an open ditch and
MR. ELLIOTT stated that because of the erosion in this area that it is necessary
to have the pipe.
JIM TORSETH, Press On, inquired about the letter that the Council received in
reference to this project. He questioned the right -of -way for ponding areas
and was concerned about the Oasis Pond.
MR. ELLIOTT stated that they are proposing a pond to the right and that the
ownership of the existing pond goes out into the pond and that the State was
involved in a meeting on this matter.
MR. TORSETH stated that there is a natural outfall to the north of the Oasis
Pond now and that the natural outflow does cause quite extensiveponding to the
indicated pond area to the north and he was looking for an interpretation of
tradition which dictates in that kind of a case and that Oasis Pond does have
water in it all of the time and that the water comes from the same source to
both of these areas.
MR. ELLIOTT stated that if it is currently a pond perhaps it is not worth much
if you are going to buy it as a pond, but the City would like to have control
over it and did not know how an appraiser would look at it. The natural flow
is to the north and then to an underground pipe which goes under County 66 and
down by Somerset Systems and then to the Brick PonT. The State Highway Depart-
ment is doing the work on the existing pond with the County and there will be
filling and some excavation work done in this area.
It has been City policy that once an area is completed with storm sewers
that you get assessed one time - but it is proposed that if a street goes in
on the westerly part of Orleans there could be some more improvements, but that
would be taken out of MSA Funds.
MR. TORSETH stated that they would definitely be in favor of a pipe rather than
an open ditch and another concern was what was the capacity of the 24 inch pipe
and what is the control over this if any.
MR. ELLIOTT stated that the normal level of this pond is 910 which is very close
to the ice level out there this winter and the high could be up to 916.5 and that
would temporarily be allowed to rise and that is the reason that the pipe can be
as small as it is with the 24 inch coming in. They did check the high level of
the pond against the rock terracing which has been used to improve the building
site and he could show them the levels that they have in their files.
MR. TORSETH stated that they are concerned as there have been prior ponding
problems and he raised questions as to which terrace level the ponding would
come to and he will get a sketch to them as to this level and MR. TORSETH stated
that this is all natural terracing and create problemsfor them.
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March 27, 1979
MR. ELLIOTT stated that the Hauge property assessment for the storm sewer
would be roughly 60 per square foot of area which would be within this drainage
district, and for a commercial area that is not too bad of an assessment. If
the Town Board would have a hearing and order the improvement at the same time
the City would, the Township would collect the assessments and then turn them
over to the City.
Wity sewer or water there would be a lever on a connection which you must
pay before you connect, but storm sewer if the drainage is in, there is just no
way to collect it at a later date, unless you could withhold a building permit -
he was not familiar with that type of program.
There was a discussion about the "Green Acres" portion within the
boundaries of these improvements and Mr. Elliott pointed them out on
the map.
AL BORSHEIM asked why the City doesn't assess MR. Hauge and the Council informed
him that they can't and he stated that they could not either.
DAVID MAGNUSON stated that the Township would have to a couple of things; first
of all they would have to spread the assessments against the benefited property,
they would have to collect the assessments from the auditor each year and dis-
perse them to the City. There would be no liability on the Township for the
bonds because it would purely be a financial obligation of the City. He felt it
would necessitate a Joint Powers Agreement nothing more than a contract setting
out the various responsibilities and the concerns of the Township getting stuck .
with some of the assessments that might be defeated or we could address ourselves
to that in the contract and he was sure no one contemplated the Township having
any obligation other than administrative obligation and perhaps there would be
a service charge to the administrative handling of these funds.
KATHY BUCK stated that their concern was about their liability beyond the assess-
ing of the benefited property and she would have to ask their attorney to look
this matter over and have it scheduled for a regular Town Board meeting.
MR. MC DONALD requested that Mr. Elliott figure the assessments on this project
for the properties in the Township and he agreed that this would not take too
long and he would be agreeable to do that.
AL BORSHEIM asked about the time requirement for odering the improvement and MR.
HAROLD from the County stated that the plans have been drawn and they are waiting
for these assessment hearings to be completed and voted in before they can start
purchasing the right -of -way and they would be looking for the County Board's
permission for the letting of bids or advertising for bids - the earlier they
advertise usually the better the bids come in.
KATHY BUCK indicated that they have two new members on the Board and this was
their first opportunity to hear and discuss this improvement and the property
owners have also been heard at the meeting on March 6th.
MR. MAGNUSON indicated that the City has 6 months after the hearirg to order the
improvement and he felt that the City has already ordered it by the previous
action.
KATHY BUCK stated that there are two things that they need before they make their
decision - the calculations of the assessments and the copy of the Joint Powers
Agreement.
2. - - -The tentative date of April 18th was set for the joint meeting with Stillwater
Township regarding annexations.
UNFINISHED BUSINESS
1. On motion of Councilman Roger Peterson, seconded by Councilwoman Bodlovick,
the Council authorized the Mayor to sign the two easements in the area of
the Consolidated Lumber property on South Main Street now owned by Gerald
and Ruth Perkl. (all in favor)
2. On motion of Councilman Roger Peterson, seconded by Councilman Harry Peterson,
the Council authorized the Mayor to sign the perpetual easement for the
Dominium Corporation for the Hi -Rise on North Second Street. (all in favor)
3. JACK SHELTON stated that last year there was $3,500 budgeted for a salt shed and
he would like to use this money to purchase a used grader.
On motion of Councilwoman Bodlovick, seconded by Councilman Harry
Peterson, the Council authorized the purchase of the used grader and
using the budgeted monies for the salt shed for the payment of same.
(all in favor)
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RESOLUTIONS
March 27, 1979
4. Mayor Junker informed the Council that there was $4,000 in equipment
purchased from Hooley's T. V. in 1974 and there was an additional $1,700
which was ordered and never picked up by the City and this equipment is
still in his shop.
Considerable discussion followed and Councilwoman Bodlovick volunteered
to check into this matter and report back to the Council on this matter.
The following resolutions were read and on roll call were unanimously adopted:
1. Requesting 1978 -79 Planning Assistance Grant Funds from the Metropolitan
Council (repass)
2. Confirming Appointment of Nile L. Kriesel as Permanent Finance Officer/
Coordinator - April 2, 1979.
3. Acce, ing Petition and Ordering Hearing for Local Improvement No. 163
-South Harriet Street Sewer and Water.
ADJOURNMENT
On motion of Councilwoman Bodlovick, seconded by Councilman Roger Peterson,
the meeting adjourned at 9:35 P. M.
City lerk
,4LY„inz
Mayor
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