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01/06/2003 - 00024825MINUTES OF THE REGULAR MEETING OF THE FRIDLEY CITY COUNCIL OF JANUARY 6, 2003 The Regular Meeting of the Fridley City Council was called to order by Mayor Lund at 7:34 p.m. PLEDGE OF ALLEGIANCE: Mayor Lund led the Council and audience in the Pledge of Allegiance to the Flag. ROLL CALL: MEMBERS PRESENT: Mayor Lund, Councilmember Barnette, Councilmember Bolkcom, Councilmember Billings MEMBERS ABSENT: None. OTHERS PRESENT: William W. Burns, City Manager Scott Hickok, Community Development Director Senator pon Betzold Representative Connie Bernardy Representative Char Samuelson Representative Barbara Goodwin OATH OF OFFICE TO ELECTED OFFICIALS: Steven E. Billings, Councilmember, Ward 1 Richard P. Wolfe, Councilmember, Ward 2 Ann R. Bolkcom, Councilmember, Ward 3 STATE LEGISLATIVE UPDATE: Senator pon Betzold stated the legislative session would start on Tuesday, January 7. The major issue was the budget. There was a$4.5 billion deficit that was going to have to be addressed. The more immediate problem was the $300 million deficit for the two-year period ending June 30. He said the Fridley School District asked him to offer legislation that would allow the school district to levy for operating expenses at the Community Center. Senator Betzold said he would be the chair of the judiciary committee in the Senate, and would also be on the tax committee, the environment committee and possibly the pension committee. Representative Barbara Goodwin stated that with respect to the State's budget deficit, she believed it was hard for people to understand how much money they were talking about. She thought it would be a$5.5 billion deficit and it could be higher. She said they would need to eliminate all state government, transportation and public safety, family and early childhood FRIDLEY CITY COUNCIL MEETING OF JANUARY 6, 2003 PAGE 2 education, local government and homestead aid credit to meet the deficit. That would leave them with only higher education, health and human services, and K-12 education. She said that $5.5 billion was half of all the education spending for K-12, and over two-thirds of the higher education spending. She stated another way to look at it was the deficit was the size of all revenues collected combined. It was nearly one-half of all the income tax the State collected or two-thirds of all sales taxes. She said this would affect everyone to a great degree. Representative Connie Bernardy stated it might affect the LGA the City gets which helps keeps property taxes down. She said another thing that might affect the community was the proposal for wine in grocery stores. She said when people talk about holding taxes down, they have to look at the whole picture. She stated people could call her at 763-571-0115. She said she would be serving on the education committee this year. Representative Char Samuelson said she represented a portion of Fridley, New Brighton, and Arden Hills. She started as a graduate of city government and had completed nine years on the City Council in New Brighton. Her office would be open for anyone to come and talk to her. Councilmember Barnette asked about selling wine in grocery stores. He indicated the City received revenue from liquor store sales. Dr. Burns, City Manager, replied it was 40 percent. Councilmember Barnette stated he did not want to see wine in grocery stores. Representative Bernardy said she would try to protect the City. Councilmember Barnette also expressed his concern about the Northstar Corridor. Representative Goodwin stated a few months ago she talked to Representative Martin Sabo and he said that they would like to keep the funding for the Northstar Corridor. She said it was important to convince Governor Pawlenty. Councilmember Barnette stated last year when Governor Pawlenty was running for office, he attended a Northstar Corridor meeting and said he would be willing to listen. Senator Betzold said he would be carrying the Northstar bill in the Senate. He said that the funding at the federal level had expired but there might be an opportunity to capture some. If we waited, we might never see it Councilmember Bolkcom stated the Northstar Corridor was very important. It would actually help our economy. She said even President Bush was calling for community rail. Councilmember Billings stated they talk about cuts in local government aids and the property tax structure, which was not established by cities or counties but by state officials and their predecessors. He said the City of Fridley would receive about $2 million in local government aid. If it became necessary in order to balance the budget not to disburse government aid for the FRIDLEY CITY COUNCIL MEETING OF JANUARY 6, 2003 PAGE 3 year 2003, the City would not have the opportunity to go to the property tax base because the amounts have been certified to the County for 2003. He stated that would mean approximately 20 percent of what the City did would have to go away. Over the years, the state legislature has put limitations on the amount that cities can raise their budgets, and the cities have consistently raised their budgets less than the amount that was allowed. He said they already trimmed their budgets, so there was little left to trim. He said it was the legislature that got the State in trouble and it should not be the responsibility of the cities and counties to get the State out of trouble. Senator Betzold encouraged Council and the citizens of Fridley to contact them during their session. APPROVAL OF PROPOSED CONSENT AGENDA: MOTION by Councilmember Barnette to approve the proposed consent agenda with the removal of No. 7 to the regular agenda. Seconded by Councilmember Wolfe. UPON A VOICE VOTE, ALL VOTING AYE, MAYOR LUND DECLARED THE MOTION CARRIED UNANIMOUSLY. NEW BUSINESS: 1. RECEIVE THE MINUTES OF THE PLANNING COMMISSION MEETING OF DECEMBER 18, 2002. RECEIVED. 2. RESOLUTION NO. 1-2003 DESIGNATING OFFICIAL DEPOSITORIES FOR THE CITY OF FRIDLEY. Dr. Burns, City Manager, stated staff recommended Wells Fargo Bank as the official depository for City funds. Staff recommended Council's approval of this resolution. ADOPTED RESOLUTION NO. 1-2003. 3. RESOLUTION NO. 2-2003 AUTHORIZING A CHANGE IN MILEAGE REIMBURSEMENT RATES FOR THE 2003 CALENDAR YEAR. Dr. Burns, City Manager, stated this was consistent with the change in mileage reimbursement rates recently approved by the IRS. As a result, staff recommended that the City's mileage reimbursement rate be reduced from $.365 cents per mile to $.36 cents per mile. Staff recommended Council's approval of this resolution. ADOPTED RESOLUTION NO. 2-2003. FRIDLEY CITY COUNCIL MEETING OF JANUARY 6, 2003 PAGE 4 4. RESOLUTION NO. 3-2003 DESIGNATING AN OFFICIAL NEWSPAPER FOR THE YEAR 2003. Dr. Burns, City Manager, stated staff recommended designating the Sun Focus as the legal newspaper for the City of Fridley. The Star Tribune newspaper would be designated as the second newspaper. ADOPTED RESOLUTION NO. 3-2003. 5. RESOLUTION NO. 4-2003 IMPOSING LOAD LIMITS ON PUBLIC STREETS IN THE CITY OF FRIDLEY, MINNESOTA. Dr. Burns, City Manager, stated the load limits would begin on the date ordered by the Minnesota Commissioner of Transportation and continue until May 15, 2003, unless terminated sooner. Staff recommended Council's approval of this resolution. ADOPTED RESOLUTION NO. 4-2003 6. RESOLUTION NO. 5-2003 DESIGNATING A DIRECTOR AND ALTERNATE DIRECTOR TO THE SUBURBAN RATE AUTHORITY. Dr. Burns, City Manager, stated that staff recommended Council's approval of this resolution. ADOPTED RESOLUTION NO. 5-2003. 7. 2003 CITY OF FRIDLEY CITY COUNCIL AND STAFF APPOINTMENTS. THIS ITEM WAS REMOVED FROM THE CONSENT AGENDA AND PLACED ON THE REGULAR AGENDA. 8. CLAIMS. APPROVED CLAIM NOS. 109188 AND 109504. 9. LICENSES. APPROVED ALL LICENSES AS SUBMITTED. No persons in the audience spoke regarding the proposed consent agenda items. ADOPTION OF AGENDA: MOTION by Councilmember Barnette to adopt the agenda with the addition of Item No. 7. Seconded by Councilmember Wolfe. FRIDLEY CITY COUNCIL MEETING OF JANUARY 6, 2003 PAGE 5 UPON A VOICE VOTE, ALL VOTING AYE, MAYOR LUND DECLARED THE MOTION CARRIED UNANIMOUSLY. OPEN FORUM, VISITORS: Mr. Greg Potasek, 310 — 62"d Way N.E., stated he had received several letters over the last few weeks regarding the diameter of cul-de-sacs in the City. He said in June he received a letter from Mr. Haukaas that stated the City would no longer plow the street in front of his house. In June they produced plat maps that indicated this was a street. It was dedicated by the City of Fridley and registered in Anoka County. It was on the plat map and also the City of Fridley street map, which the Director of Public Works indicated was in error. He asked for a copy of the engineering standards. Councilmember Billings stated if the standards were written somewhere in an engineering document, the Council would see that he received a copy. Mayor Lund thanked Mr. Potasek. OLD BUSINESS 10. ORDINANCE NO. 1170 AMENDING CHAPTER 205, SECTIONS 205.17, 205.18, 205.19, 205.20 AND 205.25 RELATED TO OUTDOOR STORAGE IN THE INDUSTRIAL DISTRICTS -AND- APPROVE OFFICIAL TITLE AND SUMMARY ORDINANCE. Mr. Hickok, Community Development Director, stated this was an ordinance for the industrial districts. It loosened the standards previously required for outdoor storage. Five public hearings were held. The first reading of the ordinance took place at the December 16, 2002, Council meeting. Staff recommended approval of the ordinance and the summary ordinance. He said they also recommended that Council authorize staff to work on a separate te�t amendment regarding storage in the Onaway District. They would bring it back to Council early in the first quarter of 2003. Mayor Lund asked about the gross weight issue. Mr. Hickok replied they did some research on that, and they recommended a statement that would simply state "off-highway or on-highway equipment over 26,000 pounds gross vehicle weight." He said staff was comfortable with their analysis and determination. Councilmember Barnette asked if staff had heard from anyone else in the industrial community about this matter. FRIDLEY CITY COUNCIL MEETING OF JANUARY 6, 2003 PAGE 6 Mr. Hickok said Mr. Jeff Van Keuren from United Defense called and thanked staff and the City for their consideration. MOTION by Councilmember Bolkcom to waive the second reading and adopt Ordinance No. 1170 on the second reading and order publication. UPON A VOICE VOTE, ALL VOTING AYE, MAYOR LUND DECLARED THE MOTION CARRIED UNANIMOUSLY. MOTION by Councilmember Billings to approve and publish the summary ordinance. Seconded by Councilmember Barnette. UPON A VOICE VOTE, ALL VOTING AYE, MAYOR LUND DECLARED THE MOTION CARRIED UNANIMOUSLY. NEW BUSINESS: 11. SPECIAL USE PERMIT REQUEST, SP #02-10, BY GREG KAASA OF THORNE BROS. CUSTOM ROD AND TACKLE, TO ALLOW EXTERIOR STORAGE OF MATERIALS IN A C-2, GENERAL BUSINESS DISTRICT, GENERALLY LOCATED AT 7500 UNIVERSITY AVENUE N.E. (WARD 3). Mr. Hickok, Community Development Director, stated the Petitioner was seeking a special use permit to allow outdoor storage of a storage container in the side yard of the building. He was requesting that a 9' x 29' storage container be allowed on the property on an annual basis from October 15 through January 15. This was the peak demand period for the ice fishing season and the owner wanted to keep more inventory on hand. The property was zoned C-2, General Business. The Petitioner requested that the 9' x 29' storage container be allowed to be directly behind the building on the property. The Petitioner would screen the container with a 10-foot high cedar fence. Code required that the maximum fence height be 8 feet in C-2 zoning; therefore, this would be in violation of the code. A 9-foot storage container would then be visible from beyond the fence at an 8-foot height. He said Wal-Mart had the same problem and built something using the same materials as the building. He said cedar fence material would not be adequate screening material, not only in terms of consistency but because it did require maintenance over time. Mr. Hickok said the storage container would be highly visible from University Avenue, which could potentially diminish the character of the University Avenue corridor. He said they felt that approval of this special use permit would set a precedent. It would also cause problems with parking and delivery. They received a letter from the owner of Perkins who is not in favor of this request. He said alternatives to outdoor storage do exist. Mr. Hickok said the Planning Commission held a hearing on December 18. They unanimously recommended denial of the special use permit request due to the lack of architectural compatibility of the screening materials, disruption of the path and circulation around the building, the impact on neighboring properties, the elimination of parking and the diminution of the image of the building along the corridor. FRIDLEY CITY COUNCIL MEETING OF JANUARY 6, 2003 PAGE 7 Councilmember Bolkcom stated she noticed from reading the Planning Commission minutes that Mr. Kaasa was not at the Planning Commission meeting and was not present at tonight's meeting. She asked if he was aware that this was an agenda item. Mr. Hickok replied that he was. Mr. Kaasa called before the Planning Commission meeting and after the Planning Commission. His position appeared to be that since staff recommended denial, the Planning Commission and Council would not approve it. Councilmember Bolkcom asked Mr. Hickok if he had a copy of the letter from the owner of Perkins. Mr. Hickok stated that he would provide a copy. Councilmember Bolkcom stated she drove by the business. She thought the space was tight behind the building and that it would also set a precedent. She said that unfortunately the petitioner was not at the meeting to explain his situation Mr. Hickok said the owner of Perkins Restaurant of Perkins did call them before the Planning Commission meeting and also left the letter. Mayor Lund said he concurred with Councilmember Bolkcom. MOTION by Councilmember Bolkcom to recommend denial of Special Use Permit Request, SP #02, by Greg Kaasa of Thorne Bros. Custom Rod and Tackle. Seconded by Councilmember Wolfe. UPON A VOICE VOTE, ALL VOTING AYE, MAYOR LUND DECLARED THE MOTION CARRIED UNANIMOUSLY. 7. 2003 CITY OF FRIDLEY CITY COUNCIL AND STAFF APPOINTMENTS. Councilmember Billings requested that with respect to the Northstar Corridor Development Authority, he become the alternate and Councilmember Barnette become the designated representative. Councilmember Barnette agreed to this request. MOTION by Councilmember Billings to adopt the 2003 City Council and Staff Appointments as amended. Seconded by Councilmember Bolkcom. 12. INFORMAL STATUS REPORTS. Dr. Burns stated there would be a joint Council and Housing and Redevelopment meeting on Thursday, January 9 at 6:00 p.m. Mayor Lund wished everyone a Happy New Year. FRIDLEY CITY COUNCIL MEETING OF JANUARY 6, 2003 PAGE 8 Councilmember Wolfe stated there would be a gymnastics meet at Fridley High School on Tuesday, January 7, at 6:30 p.m. ADJOURN: MOTION by Councilmember Barnette to adjourn the meeting. Seconded by Councilmember Wolfe. UPON A VOICE VOTE, ALL VOTING AYE, MAYOR LUND DECLARED THE JANUARY 6, 2003, CITY COUNCIL MEETING ADJOURNED AT 8:28 P.M. Respectfully submitted, Denise M. Letendre Scott J. Lund Recording Secretary Mayor