HomeMy WebLinkAbout2017-05-02 CC MIN ater
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CITY COUNCIL MEETING MINUTES
May 2, 2017
SPECIAL MEETING(CLOSED SESSION) 4:00 P.M.
Pursuant to Minn. Stat. 13D.05, Subd 3(b). Closed meeting permitted by the attorney-client
privilege to discuss a pending legal matter.
REGULAR MEETING 4:30 P.M.
Mayor Kozlowski called the meeting to order at 4:44 p.m.
Present: Mayor Kozlowski, Councilmembers Menikheim, Junker, Weidner and
Polehna
Absent: None
Staff present: City Administrator McCarty
City Attorney Magnuson
Police Chief Gannaway
Fire Chief Glaser
Community Development Director Turnblad
Public Works Director Sanders
Finance Director Harrison
City Clerk Ward
OTHER BUSINESS
County Road 5 Improvements - Washington County
Joe Gustafson,Washington County Traffic Engineer,explained the County Road 5 improvements
proposed for 2018, along with project costs, the City's cost share, and other future projects on
County Road 5. He stated that he will come back in early 2018 to request Council approval of a
construction cost share agreement. The next steps for the 2018 improvements are a public open
house May 16, 2017, and asking the Council to pass a resolution of support in June. Construction
is planned for summer 2018.
Regarding the list of future projects, Councilmember Polehna asked if the Brown's Creek Trail
connection has to wait until there is federal funding. He expressed that the City is very interested
in completing the connection and has talked to legislators about the possibility of obtaining state
funding.
Mr. Gustafson replied that Washington County recognizes the importance of the trail connection,
and that the County was hoping to get federal funding in the last go-round, but that was not
successful. The connection could be funded solely with local dollars.
Mayor Kozlowski asked if the required land acquisitions could start now to accelerate the project;
and Mr. Gustafson responded that if federal monies are obtained, the prescribed federal process
for right-of-way acquisition must be followed, otherwise the project would become ineligible for
federal funding.
City Council Meeting May 2, 2017
Councilmember Weidner asked if the connection will still be completed if federal funding is not
secured.He added that he was surprised the project is eyed for 2021,in light of prior conversations
about its importance. He inidcated that this is the first time he has heard from a County
representative that the project hinged on federal funding.
Mr. Gustafson replied there will be a better idea after the next go around, to see how the project
ranked.
Councilmember Polehna suggested that the County work more closely with the City to
accomplish the trail connection.
Washington County Commissioner Gary Kriesel assured the Council that the County recognizes
the importance of the trail connection, but there are a lot of moving parts, some grade challenges
and property acquisition to accomplish first.
Mr. Gustafson suggested County staff could put together a memo outlining the prospects for
future funding for the trail connection. Regarding the 2018 improvements, he will return to the
Council in about a month to ask for a Council resolution of support,which will allow the County
to go forward with the design plans.
YMCA Discussion
Community Development Director Turnblad informed the Council that a local group is interested
in bringing the YMCA into the Stillwater area. The YMCA has agreed to help the group put
together a feasibility study. He is awaiting further information, so this topic will be put on the
agenda for a future work session.
STAFF REPORTS
Police Chief Gannaway stated that the annual Law Enforcement Memorial Service hosted by the
Washington County Sheriffs Department will be held May 15. The Stillwater Police Department
will host a bike rodeo on May 20. In about three weeks, the department will move to the old fire
station that has been remodeled, and the current department lobby will be closed. Until late
September or early October when the project is done, the front desk at City Hall will serve as the
Police Department lobby.
Fire Chief Glaser warned about distracted driving. He reported that on Saturday, a couple looking
at their GPS drove into telephone pole on Laurel Street,knocking out power and starting their car
on fire.
Community Development Director Turnblad informed the Council that a scoping document for
the 2018 Comprehensive Plan update will be drafted in May and an RFP will be written to find
consultants to assist with the update.
Public Works Director Sanders reported that the sport court was installed at the National Guard
Armory. Councilmember Polehna commented that it is a very nice addition to the community.
Mr. Sanders also stated that the river will likely rise another 1.5 feet over the coming week and
that over next few weeks, Ice Castle organizers will work on repairing some of the damage that
was done in Lowell Park.
City Administrator McCarty reminded the Council that on May 10, Mayor Kozlowski will be on
the agenda for the first Stillwater Area Chamber of Commerce Eggs and Issues program with
other local mayors. He also reminded the Council of the annual League of Minnesota Cities
conference June 14-16, in Rochester.
Page 2 of 10
City Council Meeting May 2, 2017
RECESS
Mayor Kozlowski recessed the meeting at 5:47 p.m.
RECESSED MEETING 7:00 P.M.
Mayor Kozlowski called the meeting to order at 7:06 p.m.
Present: Mayor Kozlowski, Councilmembers Menikheim, Junker, Weidner and
Polehna
Absent: None
Staff present: City Administrator McCarty
City Attorney Magnuson
Police Chief Gannaway
Fire Chief Glaser
Community Development Director Turnblad
Public Works Director Sanders
Finance Director Harrison
City Clerk Ward
PLEDGE OF ALLEGIANCE
Mayor Kozlowski led the Council and audience in the Pledge of Allegiance.
APPROVAL OF MINUTES
Possible approval of April 18, 2017 regular meeting minutes
Motion by Councilmember Junker, seconded by Councilmember Polehna, to approve the April 18,
2017 regular meeting minutes. All in favor.
PETITIONS, INDIVIDUALS,DELEGATIONS & COMMENDATIONS
Council Service Awards - Jeff Johnson (Heritage Preservation Commission); Jean Lifton (Human
Rights Commission); Cameron Kelly (Planning Commission); John Rheinberger (Traffic Safety
Review Committee)
Council Service Awards were presented to: Jeff Johnson for 28 years of service on the Heritage
Preservation Commission; Jean Lifton for 10 years of service on the Human Rights Commission;
Cameron Kelly for six years of service on the Planning Commission; and John Rheinberger six
years of service on the Traffic Safety Review Committee.
Mr. Johnson accepted his service award and thanked Council and staff for the assistance in the
HPC's success in preserving historical significance in the City of Stillwater.
Council Service Award - Don Fixmer(Broadcasting)
Mayor Kozlowski presented Don Fixmer with a Council Service Award for 30 years of
audio/visual broadcasting of City of Stillwater meetings. Former City Administrator Nile Kriesel
recalled Fixmer's role in outfitting the newly remodeled City Hall with recording equipment in
1994. Mr. Fixmer explained how he became the broadcaster for the City and other governmental
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City Council Meeting May 2, 2017
entities, and recognized Ann Bodlovick and Mike Knutson as trail blazing pioneers who got the
local cable franchise started.
OPEN FORUM
There were no public comments.
CONSENT AGENDA
Resolution 2017-076,Directing the Payment of Bills
Possible approval of Retail Fireworks Permit for Dollar Tree#4375
Resolution 2017-077, approving 2017 special event and contract for the Stillwater Half
Marathon/10k/5k
Resolution 2017-078, approving the separate Fire Protection Contracts with the Town of
May, Town of Stillwater and City of Grant
Resolution 2017-079, approving 2017 special event and contract North Star Grand Prix
Possible approval of Temporary Liquor License for a fundraiser for St. Croix Kids
Resolution 2017-080, approval of Joint Powers Agreement between State of Minnesota IT
Services and the City of Stillwater
Resolution 2017-081, approving the limited use of the Maple Island Brewery parking lot for
events and liquor license premises expansion
Possible Purchase Dodge Ram 5500 with Front Plow, Dump Box, Sander and GPS
Possible approval of Chrysler&DeSoto Airflow Club Meet event
Councilmember Menikheim asked to pull Resolution 2017-77,approving 2017 special event and
contract for the Stillwater Half Marathon/10k/5k from the Consent Agenda.
Motion by Councilmember Polehna, seconded by Councilmember Junker, to adopt the Consent
Agenda as amended.
Ayes: Mayor Kozlowski, Councilmembers Menikheim, Junker, Weidner and Polehna
Nays: None
Regarding the Run Stillwater Marathon, Councilmember Menikheim asked if a condition of the
permit requires the event coordinator to apply for next year's permit before advertising the event.
City Administrator McCarty responded that condition is not in the contract, but there has been
discussion on the Special Event Policy to include an earlier application date for events .
Motion by Councilmember Menikheim, seconded by Councilmember Junker,to approve Resolution
2017-77, approving 2017 special event and contract for the Stillwater Half Marathon/1Ok/5k.
Ayes: Mayor Kozlowski, Councilmembers Menikheim, Junker, Weidner and Polehna
Nays: None
Page 4 of 10
City Council Meeting May 2, 2017
PUBLIC HEARINGS
Case 2017-07 First reading of a request by Our Savior's Lutheran Church, property owner and Anne
Stanfield, Ecumen, to amend the Zoning Ordinance to allow senior living facilities on RA zoned
property of 5 acres or more.
Community Development Director Turnblad reviewed the request that Anne Stanfield of Ecumen
has applied for a zoning text amendment to allow senior care living facilities by Special Use
Permit in the RA Single Family Residential zoning district. He stated that if the zoning text
amendment is approved,Ecumen will then apply for a Special Use Permit to develop a senior care
living facility at 114 Brick Street and 1616 West Olive Street, on property presently owned by
Our Savior's Lutheran Church and KLBB Radio . The proposed zoning text amendment language
includes a five-acre minimum property size standard and a clause that the maximum height
allowed for a senior care living facility in the RA district would be 35 feet. Currently, the
maximum is 35 feet, but not more than 2.5 stories. He went on to state there are only seven five-
acre RA properties in the City, including the property being developed by Ecumen. Mr. Turnblad
reminded the Council that the City has few options for seniors who wish to stay in the City, but
no longer want the upkeep of a single family home. Requiring a SUP for senior care living
facilities gives the City the opportunity to weigh whether a specific proposal fits the
neighborhood. He added that Ecumen is requesting only the zoning text amendment at this time.
If approved,then Ecumen would apply for a SUP on that specific site. The Planning Commission
recommended approval, and noted the importance of offering a variety of lifecycle housing. Staff
recommends approval of the first reading with three conditions.
Councilmember Junker asked which of the three streets would provide access to the development;
and Mr. Turnblad replied that information is not known at present, but the application for a SUP
will require a traffic analysis to be done.
Councilmember Menikheim asked if adopting the zoning text amendment sets a precedent of any
kind; and City Attorney Magnuson responded that the law states uses are described as being
permitted by SUP and are given a presumption of validity, so the burden would be on the City to
show meaningful reasons for denying a SUP.
Mayor Kozlowski stated that he likes the idea of the project,but wants to be very careful that the
design of the facility does not negatively impact the neighborhood.
Mayor Kozlowski opened the public hearing.
Community Development Director Turnblad explained that when notice was published for the
Planning Commission public hearing, it did not include the date of the Council public hearing.
Since two readings are required for the ordinance to pass, staff published notice for the second
reading, so the public hearing should continue at the next meeting.
Nan Tate, 1529 Olive Street West, across the street from Our Savior's Church, stated that she did
not receive notice about tonight's hearing or the May 16 hearing,nor did several of her neighbors;
and Mr. Turnblad stated that notices went out to all property owners within 350 feet,but that since
this is a city-wide zoning text amendment and not property-specific, notices are not legally
required.
Councilmembers Weidner,Junker and Mayor Kozlowski indicated that they had anticipated more
public input on the issue. They suggested erring on the side of caution and tabling the first reading
to provide an opportunity for more public input.
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City Council Meeting May 2, 2017
Motion by Councilmember Polehna, seconded by Councilmember Menikheim, to table first reading
of an Ordinance amending the Stillwater City Code Chapter 31, entitled Zoning Ordinance by adding
senior care living facilities to the RA zoning district, to the May 16, 2017 meeting.
Ayes: Mayor Kozlowski, Councilmembers Menikheim, Junker, Weidner and Polehna
Nays: None
Case 2017-08. Public hearing to consider a request by Randy Benson, ILHC of Stillwater, LLC for
the consideration of a Final Plat for a 239 unit senior living facility. The facility is to be known as
'The Lakes' and would be located at 12525 75th Street N and multiple properties located within the
LR &AP district.
Community Development Director Turnblad requested the item be tabled to the May 16, 2017
meeting because it has not been heard by the Planning Commission yet.
Motion by Councilmember Junker,seconded by Councilmember Menikheim,to table Case No.2017-
08, request by Randy Benson, ILHC of Stillwater, LLC for the consideration of a Final Plat for a 239
unit senior living facility to be known as "The Lakes" to be located at 12525 75th Street N and
multiple properties located within the LR& AP district, to the May 16, 2017 meeting.
Ayes: Mayor Kozlowski, Councilmembers Menikheim, Junker, Weidner and Polehna
Nays: None
UNFINISHED BUSINESS
Possible approval of second reading of Ordinance 1093, an ordinance amending the Stillwater City
Code Chapter 31, entitled Zoning Ordinance by adding regulations for Short Term Home Rentals
Community Development Director Turnblad explained that the City Council held the public
hearing and approved the first reading of the ordinance on April 18,2017 with six revisions,which
have been incorporated into the final draft of the ordinance. Homeowners interested in applying
for a license could begin May 12th to contact the Community Development Department to begin
the licensure process.
Councilmember Weidner asked who would substantiate complaints and determine relevancy; and
Community Development Director Turnblad replied that complaints will go to the zoning
administrator. If found to be relevant, an inspection will be done by building staff or possibly fire
department staff, and if the offense is substantiated, the property owner will be fined.
Motion by Councilmember Menikheim, seconded by Councilmember Junker, to adopt Ordinance
No. 1093, an Ordinance amending the Stillwater City Code Chapter 31, entitled Zoning Ordinance
by adding regulations for short term home rentals.
Ayes: Mayor Kozlowski, Councilmembers Menikheim, Junker, Weidner and Polehna
Nays: None
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City Council Meeting May 2, 2017
Motion by Councilmember Weidner, seconded by Councilmember Polehna, to adopt Resolution
2017-082, a resolution amending Resolution No. 2017-017 establishing an application fee for Short
Term Home Rental License Applications.
Ayes: Mayor Kozlowski, Councilmembers Menikheim, Junker, Weidner and Polehna
Nays: None
Motion by Councilmember Polehna, seconded by Councilmember Menikheim, to adopt Resolution
2017-083, a resolution designating offenses to Ordinance No. 1093 as Administrative Offenses.
Ayes: Mayor Kozlowski, Councilmembers Menikheim, Junker, Weidner and Polehna
Nays: None
Possible setting of hearing to establish a Tax Increment Financing District
Motion by Councilmember Junker, seconded by Councilmember Polehna,to table a resolution calling
for a public hearing by the City Council on the proposed adoption of a modification of the
development program for Development District No. 1,and the proposed adoption of the tax increment
financing plan for District No. 12, until May 16, 2017.
Ayes: Mayor Kozlowski, Councilmembers Menikheim, Junker, Weidner and Polehna
Nays: None
NEW BUSINESS
Possible approval of Delinquent Tax and Special Assessments Payment Plan for 601 Main Street N.
City Administrator McCarty informed the Council that David Paradeau has been in discussions
with Washington County regarding a Delinquent Property Tax "Confession of Judgement"
Payment Plan for his property at 601 Main Street North.Minnesota Statute§279.37 allows owners
of class 3a commercial/industrial property to enter into a payment plan for the payment of
delinquent property taxes with the approval of the County auditor. County policy provides that if
the market value of the property is over$1 million, the owner must submit a written request for a
payment plan along with a letter of support (resolution) from the municipality in which the
property is located.The payment plan request is then subject to review and approval by the County
Finance Committee. This law requires the payment of delinquent and current assessments when
the plan is initiated,unless the City chooses to waive the requirement.
Joanne Helm, Washington County Property Records Department, explained that the principal
amount of special assessments certified by the City for the delinquent years in question is
$14,396.57. $19,205.56 includes penalty and interest that has also accrued against that $14,000
due to the lack of payment.The payment plan requires the property owner to pay the current taxes,
otherwise the property can go into tax forfeiture the following year. Any delinquent taxes are
required to be paid before a transfer of title can be recorded.
Councilmember Weidner stated that he sees no reason to agree to the payment plan, due to lack
of communication from Mr. Paradeau over the past several years.
Councilmember Junker pointed out that there is an entity that is trying to buy the property right
now for a theater. If the City agrees to the payment plan, the delinquent taxes would be paid out
in five years or at best case scenario, when the property is sold.
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City Council Meeting May 2, 2017
Councilmember Polehna noted that the City tried to get the property owner to remove the train
from the property for four years and finally had to take the initiative to get rid of it because it was
a safety hazard for the public. He is not in favor of extending the payment of delinquent taxes.
Motion by Councilmember Menikheim, seconded by Councilmember Weidner, to deny the request
for the delinquent tax payment plan for property located at 601 Main Street N., Stillwater, MN.
Ayes: Mayor Kozlowski, Councilmembers Menikheim, Weidner and Polehna
Nays: Councilmember Junker
Possible approval of resolution providing for the competitive negotiated sale of General Obligation
Capital Outlay Bonds, Series 2017A
Finance Director Harrison explained the annual bond issue which will provide funding for the
police station, capital outlay, and a portion of street improvements.
Motion by Councilmember Junker, seconded by Councilmember Polehna,to adopt Resolution 2017-
084, resolution providing for the competitive negotiated sale of $3,405,000 General Obligation
Capital Outlay Bonds, Series 2017A.
Ayes: Mayor Kozlowski, Councilmembers Menikheim, Junker, Weidner and Polehna
Nays: None
Possible approval of first reading of Ordinance—Boards and Commissions
City Clerk Ward explained that at the last meeting, the Council discussed the impacts for open
seats with the Council representative being a voting member. Then it was determined that the
Council representative should vote only on the Planning Commission,and the size of the Planning
Commission would be reduced to seven through attrition. She asked if the Council would like to
reduce the size of the Planning Commission with this year term endings, or next year's term
endings.
Councilmembers Junker, Polehna and Mayor Kozlowski agreed it would be best to reduce the
size of the Planning Commission now.
Councilmember Menikheim stated that since he is presently the Council representative to the
Planning Commission and he does not want to vote, he will trade Commissions with another
Councilmember.
Motion by Councilmember Junker, seconded by Councilmember Weidner, to adopt first reading of
an ordinance amending the Stillwater City Code, and to reduce, through attrition, the size of the
Planning Commission to seven including the Council representative.
Ayes: Mayor Kozlowski, Councilmembers Junker, Weidner and Polehna
Nays: Councilmember Menikheim
Possible approval of appointments to Commissions for Human Rights and Park and Recreation
City Clerk Ward informed the Council that she received recommendations for appointments of
Marce Kelton to the Human Rights, and David Brandt and Robert McGarry III to the Parks and
Recreation Commission.
Motion by Councilmember Junker, seconded by Councilmember Polehna,to adopt Resolution 2017-
086, approval of appointments to the Commissions of Human Rights and Parks and Recreation.
Page 8 of 10
City Council Meeting May 2, 2017
Ayes: Mayor Kozlowski, Councilmembers Menikheim, Junker, Weidner and Polehna
Nays: None
Possible approval of a Separation Agreement
City Administrator McCarty handed out a resolution for a Separation Agreement between City
AFSCME Council 5 and former employee Linda Thompson. He noted the item was discussed in
closed session with labor counsel. Staff and the labor attorney recommend approval.
Motion by Councilmember Weidner, seconded by Councilmember Polehna, to adopt Resolution
2017-085, resolution approving a Separation Agreement between the City of Stillwater, AFSCME
Council 5 and Linda Thompson, authorizing transfer of funds into an assigned fund balance in the
general fund for payment of final wage and benefit separation amounts as provided in the Separation
Agreement.
Ayes: Mayor Kozlowski, Councilmembers Menikheim, Junker, Weidner and Polehna
Nays: None
COMMUNICATIONS/REQUESTS
There were no communications or requests.
COUNCIL REQUEST ITEMS
There were no Council request items.
ADJOURNMENT
Motion by Councilmember Junker, seconded by Councilmember Polehna, to adjourn the meeting at
8:40 p.m. All in favor.
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Tee 'ozlowski, Mayor
ATT ST:
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Diane F. Ward, City Clerk
Resolution 2017-076,Directing the Payment of Bills
Resolution 2017-077, approving 2017 special event and contract for the Stillwater Half
Marathon/10k/5k
Resolution 2017-078, approving the separate Fire Protection Contracts with the Town of May,
Town of Stillwater and City of Grant
Resolution 2017-079, approving 2017 special event and contract North Star Grand Prix
Resolution 2017-080, approval of Joint Powers Agreement between State of Minnesota IT
Services and the City of Stillwater
Resolution 2017-081, approving the limited use of the Maple Island Brewery parking lot for
events and liquor license premises expansion
Resolution 2017-082, a resolution amending Resolution No. 2017-017 establishing an
application fee for Short Term Home Rental License Applications Case No. 2017-03
Page 9 of 10
City Council Meeting May 2, 2017
Resolution 2017-083, a resolution designating offenses to Ordinance No. 1093 as
Administrative Offenses, Case No. 2017-03
Resolution 2017-084, resolution providing for the competitive negotiated sale of$3,405,000
General Obligation Capital Outlay Bonds, Series 2017A
Resolution 2017-085,resolution approving a Separation Agreement between the City of
Stillwater, AFSCME Council 5 and Linda Thompson, authorizing transfer of funds into an
assigned fund balance in the general fund for payment of final wage and benefit separation
amounts as provided in the Separation Agreement
Resolution 2017-086, approval of appointments to the Commissions of Human Rights and
Parks and Recreation
Page 10 of 10