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HomeMy WebLinkAbout2016-10-18 CC MIN a,ter TNF OINTMâ–ºLACE OF MINNESOTA CITY COUNCIL MEETING MINUTES October 18, 2016 REGULAR MEETING 7:00 P.M. Mayor Kozlowski called the meeting to order at 7:00 p.m. Present: Councilmembers Menikheim, Junker, Mayor Kozlowski Absent: Councilmembers Weidner and Polehna Staff present: City Administrator McCarty City Attorney Magnuson Police Chief Gannaway Fire Chief Glaser Public Works Director Sanders City Clerk Ward PLEDGE OF ALLEGIANCE Mayor Kozlowski led the Council and audience in the Pledge of Allegiance. APPROVAL OF MINUTES Possible approval of October 4, 2016 regular, recessed and executive session meeting minutes Motion by Councilmember Junker, seconded by Councilmember Menikheim,to approve the minutes regular, recessed and executive session meeting. All in favor. of the October 4, 2016 egu g PETITIONS, INDIVIDUALS, DELEGATIONS & COMMENDATIONS There were no petitions, individuals, delegations or commendations. OPEN FORUM Hank Gray, 231 North Everett Street, coach of the Stillwater Area High School Mountain Bike Team, along with team members Amelia Lehmann and Hannah Brown, thanked the Council for granting a special permit for the team to practice at Brown's Creek Park. They informed the Council that the high school team placed first overall in Division One and the middle school team placed second. STAFF REPORTS Fire Chief Glaser reported that during Fire Prevention Week, crews spoke to over 1,000 students, and over 1,000 people attended the open house. Public Works Director Sanders noted that the Minnesota DNR will not be doing any winter maintenance on the Brown's Creek Trail this year. Staff would like to discuss with the DNR the possibility of the City doing winter maintenance on the trail. Council consensus was to encourage the discussion. City Council Meeting October 18, 2016 CONSENT AGENDA Resolution 2016-191,Directing the Payment of Bills Possible approval of sanitary sewer adjustments Resolution 2016-192, approval of increase to railroad lease payment Resolution 2016-193, approval of agreement with SafeAssure Consultant, Inc. for OSHA and Safety Consultation Resolution 2016-194, a resolution denying the demolition of the structure located at 209 Wilkins Street East(HPC Case No. 2016-22) Amended Ordinance No. 1086, an Ordinance of the City of Stillwater, Minnesota annexing land located in Stillwater Township, Washington County, Minnesota, pursuant to Minnesota Statutes §414.033, Subdivision 2(2), Permitting Annexation by Ordinance Motion by Councilmember Junker, seconded by Councilmember Menikheim, to adopt the Consent Agenda. Ayes: Councilmembers Menikheim, Junker, Mayor Kozlowski Nays: None PUBLIC HEARINGS A public hearing to consider the assessments for the 2016 Street Improvement Project(Project 2016- 02, L.I. 409) Public Works Director Sanders explained the project. Work should be completed this fall except for the final lift of bituminous work on the reconstructed streets. The cost of the project including engineering, construction and administrative costs is estimated at $1,794,318.64. This cost includes water main replacement and street and utility work on some Oak Park Heights streets, which will be paid by the Stillwater Water Board and the City of Oak Park Heights. Less these areas, the cost of the 2016 Street project is $1,392,699.05. The City received a favorable bid on the project, coming in about 20% lower than estimated in the feasibility study, which resulted in the lowering of some assessment rates. The assessment period would be 10 years at an interest rate of 3.5%. Six appraisals were done in the project area. Appraisals found that the value of the improvement increased property values equal to or more than the amount of the assessment. One objection was received from 613 Olive Street. Staff recommends that Council hold the assessment hearing and adopt the assessment roll for the 2016 Street Improvement Project. Mayor Kozlowski asked about the difference in assessment policy for state aid roads, and Public Works Director Sanders replied that state aid roads are assessed at 50% because they take more traffic than local roads. None of the project area streets are state aid streets. Mayor Kozlowski opened the public hearing. Tom Murphy, 601 Olive Street West, commended City staff for fielding questions from the property owners and for trying to maintain the project cost at a lower level. He feels the current assessment is now more in line with other projects, but property owners still will see little or no increase in property values. He stated that property owners feel strongly that the improvements will lead to higher traffic and increased speeds and that will decrease property values. He questioned the findings of the appraisal performed by Ray Kirchner and asked why the interest rate could not be lower. He has researched how the assessment rate went from 50 to 70%.He feels Page 2 of 5 City Council Meeting October 18, 2016 that a significant number of the Councilmembers may have already decided the outcome and that this hearing is really just part of a required process. Mayor Kozlowski agreed that the City should re-examine its assessment policy. He was surprised by the $10,000 assessments. He has struggled with the issue of assessment policy since joining the Council, and has researched what other cities do, which is all across the board. Randy Patterson, 613 Olive Street West, objected to the assessment on the basis that he has a 50 foot lot and will pay over $200 a linear foot. He stated the new street is falling all to pieces and the sidewalk is jagged and uneven. Mr. Sanders replied there was some settling that will be fixed, and another layer of blacktop will be placed in the spring. New streets are expected to last at least 20 years. If a mill and overlay needs to be done in 10 years, property owners would get a credit for the life of the street. The street was tested and found to be hard before it was paved. It will be fixed at the contractor's cost. The sidewalk previously included six and five foot sections in varying condition. Removing the entire length of sidewalk would have increased project costs, so good sections were left, making matching more difficult. Mayor Kozlowski remarked that he would like to see what a City-wide tax increase would look like in comparison with the current method of property assessment. Kathleen Charlsen, 728 Olive Street West, inquired if the $10,000 assessment could be extended to 20 years. She also noted the traffic is outrageous, and suggested lower speed limit signs be placed on Olive Street. Mr. Magnuson stated that 3.5% is a historically very low interest rate and the average term of assessments has been 15 years rather than 10, so the Council could choose the longer term if they wish. Nina Cook, 814 Olive Street West,asked how the project is actually being paid for. She also asked if the speed limit could be lowered to 15 mph. City Attorney Magnuson replied that funding came from bond issues that were done by capital outlay and from reserves. Mr. Sanders added that the City does not set speed limits. The state law for residential roads in the State of Minnesota is 30 mph. Police Chief Gannaway stated that he asked his staff to do more enforcement on Olive. Mr. Sanders added that the City has two flashing speed limit signs that can be placed on Olive. Chris Mikla, 602 Olive Street West, questioned why the assessments are being made in 2016 for a project that will be completed in 2017, and Public Works Director Sanders replied that when projects span a year, the assessment is done in the year the majority of the project is done. Roni Bozvay, 510 Olive Street West, stated she is already working two jobs and will have to get another part time job to be able to afford the assessment. She would like the Council to consider speed bumps. Mayor Kozlowski closed the public hearing. Councilmember Junker reminded the residents that the Councilmembers all get assessments too. If it was decided to assess everybody across the board via higher property taxes,it would generate a lot of complaints. If the assessment rate were dropped down to 50% there still would be complaints about that. Olive is an old street that had to be done. He likes some of the ideas that came up in the hearing. Councilmember Menikheim acknowledged that the assessment process is imperfect. He would like to look at some of the ideas brought up. He thanked residents for showing civility. Page 3 of 5 City Council Meeting October 18, 2016 Motion by Councilmember Menikheim, seconded by Councilmember Junker, to adopt Resolution 2016-195,a resolution adopting assessments for the 2016 Street Improvement Project(Project 2016- 02) L.I. 409, with the term of the assessments to be changed from 10 years to 15 years. Ayes: Councilmembers Menikheim, Junker, Mayor Kozlowski Nays: None UNFINISHED BUSINESS There was no unfinished business. NEW BUSINESS Possible approval of proposal from Brown's Creek Watershed District for an assessment on the Marylane Drainage Easement Public Works Director Sanders reported that during construction of the Rutherford Station Development, City staff and Brown's Creek Watershed District fielded concerns from residents along Marylane and the Brown's Creek Preserve development regarding flooding of their backyards during temporary dewatering activities. Both staffs have concerns that flooding could still occur and conditions may worsen; also that future development of the parcels on the east side of Marylane would increase the runoff in the area and add to drainage issues. Staff feels the easement area should be studied to determine ways to improve the downstream drainage from Marylane. The estimated study cost is $24,127. Since the drainage area is not within City limits it is proposed that the cost of the study be split evenly between the City and the Watershed District. Staff recommends that the Council approve the Marylane easement assessment and share the cost with the Brown's Creek Watershed District in the amount of$12,060. Motion by Councilmember Junker, seconded by Councilmember Menikheim, to approve the Marylane easement assessment study. All in favor. Possible amendment to the Construction Management contract forpolice station and city hall remodel City Administrator McCarty explained that on March 8,2016 the City entered into a contract with Wenck Construction for Construction Management (CM) services related to the Police Station and City Hall remodel project. Based upon the funding authorization for the project, Wenck's contract could only be written for the first phase of work.Now that preliminary approval has been given by the Council for the 2017 City Budget, which includes funding for the second phase of work, the contract needs to be amended accordingly. The total cost is higher than the original contract,but still within the budgeted allocation. Wenck Construction and City staff are requesting adoption of a resolution approving Amendment#2 to the contract. Motion by Councilmember Junker, seconded by Councilmember Menikheim, to adopt Resolution 2016-196, resolution approving Amendment #2 to the contract with Wenck Construction for Construction Management Services. Ayes: Councilmembers Menikheim, Junker, Mayor Kozlowski Nays: None Page 4 of 5 City Council Meeting October 18, 2016 COUNCIL REQUEST ITEMS There were no Council request items. ADJOURNMENT Motion by Councilmember Menikheim, seconded by Councilmember Junker,to adjourn the meeting at 8:42 p.m. All in favor. Agirto ozl o wski, Mayo ATTEST: a ea- c 74. a.44 Diane F. Ward, City Clerk Resolution 2016-191, directing the payment of bills Resolution 2016-192, approval of increase to railroad lease payment Resolution 2016-193, approval of agreement with SafeAssure Consultant, Inc. for OSHA and Safety Consultation Resolution 2016-194, a resolution denying the demolition of the structure located at 209 Wilkins Street East(HPC Case No. 2016-22) Resolution 2016-195, resolution adopting assessments for the 2016 Street Improvement Project (Project 2016-02) L.I. 409 Resolution 2016-196,resolution approving Amendment#2 to the contract with Wenck Construction for Construction Management Services Amended Ordinance No. 1086, an Ordinance of the City of Stillwater, Minnesota annexing land located in Stillwater Township, Washington County, Minnesota,pursuant to Minnesota Statutes §414.033, Subdivision 2(2), Permitting Annexation by Ordinance Page 5 of 5