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12/11/2006 - 29212CITY COUNCIL MEETING CITY OF FRIDLEY DECEMBER 11, 2006 The City Council meeting for the City of Fridley was called to order by Mayor Lund at 7:32 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-at-Large Barnette Councilmember Billings Councilmember Wolfe Councilmember Bolkcom OTHERS PRESENT: William Burns, City Manager Scott Hickok, Community Development Director Layne Otteson, Assistant Public Works Director Richard Pribyl, Finance Director/Treasurer Fritz Knaak, City Attorney Jim Saefke, Councilmember-Elect Dolores Varichak, Councilmember-Elect APPROVAL OF PROPOSED CONSENT AGENDA: 1. Resolution Ordering Final Plans, Specifications and Estimates of Costs Thereof: 2007 Neighborhood Street Improvement Project No. ST. 2007 — 1. William Burns, City Manager, stated that with the completion of preliminary plans and specifications for the 2007 street reconstruction project and the closing of the public hearing, staff recommends the ordering of final plans and specifications. ADOPTED RESOLUTION NO. 2006-88. 2. Resolution Authorizing a Change in Mileage Reimbursement Rates for the 2007 Calendar Year. William Burns, City Manager, stated that the City's mileage reimbursement rate has, in past years, been changed to reflect the current mileage reimbursement rate allowed by the IRS. The IRS has changed their rate from .445 per mile to .485 per mile for 2007. Staff recommends Council's approval. ADOPTED RESOLUTION NO. 2006-89. FRIDLEY CITY COUNCIL MEETING OF DECEMBER 11, 2006 PAGE 2 3. Resolution Providing for Sewer Rate Increases. William Burns, City Manager, stated staff is recommending that the City's sewer rates be increased in accordance with the amount allowed by the City Charter. The 2.8% rate increase will raise sewer rates by $2.59 per thousand gallons of water used. This amount will bring the minimum quarterly sewer charge for residential customers to $31.08. The increase will leave us with a 2007 operating deficit of $393,731. Staff recommends Council's approval. ADOPTED RESOLUTION NO. 2006-90. 4. Resolution Providing for a Storm Water Drainage Rate Change. William Burns, City Manager, stated staff is recommending that the storm water drainage rates be raised by 2.8%, an amount consistent with the requirements of the City Charter. This increase will bring the storm water fee for a residential lot to $3.30 per quarter. The increase will leave us with $12,073 less than needed to cover 2007 expenditures. Staff recommends Council's approval. 5. Resolution Providing for Water Rate Changes. William Burns, City Manager, stated staff is recommending that the City's water rates be raised by 2.8%, an amount consistent with the requirements of the Fridley City Charter. The increase will raise quarterly residential water rates by $1.18 per 1,000 gallons of water used. The increase will leave the City $217,444 short of covering water system expenditures. Staff recommends Council's approval. ADOPTED RESOLUTION NO. 2006-92. 6. Resolution Approving Recycling Service Fees. William Burns, City Manager, stated staff is recommending that the City's recycling fees be raised by 2.8%, an amount consistent with the requirements of the Fridley City Charter. The increase will raise quarterly residential recycling fees for single family residential properties by $.18 The increase will leave us $42,844 short of covering our Solid Waste Abatement Fund expenditures. Staff recommends Council's approval. ADOPTED RESOLUTION NO. 2006-93. 7. Resolution Calling for a Public Hearing on Modifications to the Redevelopment Plan for Redevelopment Project No. 1 and the Tax Increment Financing Plans for Tax Increment Financing Districts Nos. 1-3, 6-7, 9 and 11-18, Creation of Tax Increment Financing District No. 19 and Approval and Adoption of a Tax Increment Financing Plan Relating Thereto. William Burns, City Manager, stated Fridley would like to establish a new TIF district to accommodate a new project on the former Guardian Building Products site at 5110 Main Street. FRIDLEY CITY COUNCIL MEETING OF DECEMBER 11, 2006 PAGE 3 Staff is proposing that the public hearing for this project, known as the Industrial Equities Project, be scheduled for February 26, 2007. Staff recommends Council's approval. ADOPTED RESOLUTION NO. 2006-94. 8. Resolution Authorizing a Salary increase for the Fridley City Manager. William Burns, City Manager, stated he is requesting a 3 percent merit increase effective December 11, 2006. If approved, it would raise the City Manager's base salary from $110,510 to $113,817. The total cost of the increase, including impacts on the City's contribution to the City Manager's retirement plan is $4,130.95. The increase will bring the City Manager's salary closer, but still below, the mean salary for city managers in Fridley's population group. The increase will also leave the City Manager's salary well below the state-imposed salary cap for city managers. This is the first merit increase that the City Manager has had since 1993. The proposed increase is also justified by the fact that he received no COLA or other increase in compensation for the years 2003, 2004, and 2005. ADOPTED RESOLUTION NO. 2006-95. 9. Claims. APPROVED CLAIM NOS. 129686 THROUGH 129815. 10. Licenses. APPROVED THE LICENSES AS SUBMITTED AND AS ON FILE. 11. Estimates. APPROVED THE FOLLOWING ESTIMATES: Midwest Asphalt 5929 Baker Road, Suite 420 Minnetonka, MN 55345 Mill and Overlay Project No. 2006 - 2 FINAL ESTIMATE ................................................................................ $ 12,622.55 Midwest Asphalt 5929 Baker Road, Suite 420 Minnetonka, MN 55345 Third Street Project No. 2006 — 3 FINAL ESTIMATE ................................................................................ $ 2,388.67 FRIDLEY CITY COUNCIL MEETING OF DECEMBER 11, 2006 PAGE 4 Park Construction 500 — 73rd Avenue, Suite 123 Fridley, MN 55432 2006 Street Improvement Project No. ST. 2006 - 1 FINAL ESTIMATE .................................................................... $220,505.80 Councilmember Bolkcom commented that the City Manager did not request the raise. An evaluation was performed and Council looked at other City Managers' salaries. As a result it was recommended that this be brought forward for a vote. MOTION by Councilmember Barnette to approve the consent agenda as submitted. Seconded by Councilmember Wolfe. UPON A VOICE VOTE, ALL VOTING AYE, MAYOR LUND DECLARED THE MOTION CARRIED UNANIMOUSLY. ADOPTION OF THE AGENDA: MOTION by Councilmember Barnette to adopt the agenda as presented. Seconded by Councilmember Wolfe. UPON A VOICE VOTE, ALL VOTING AYE, MAYOR LUND DECLARED THE MOTION CARRIED UNANIMOUSLY. PUBLIC SERVICE ANNOUNCEMENT Greg Kottsick, City Sewer Supervisor, presented an overview of the City Sewer Services. Mr. Kottsick was appointed Supervisor of the City Sewer Department in June of 2000 and has been employed with the City for 20 years. The Sewer Department has five full-time personnel who are in charge of the day-to-day operations of sanitary and storm water maintenance. There have been dramatic changes in the operations over the years. Many of these changes have come from computerized and mechanical equipment. With the use of these tools, the department operates more efficiently and productively. The department has a well trained, educated crew that has adapted to the new high tech advances. Mr. Kottsick presented an overview of Capacity Management Operations and Maintenance (CMOM). CMOM is good business for collection and utilities. CMOM encompasses more than 152 program elements such as sewer inspections and rehabilitation, system capacity, cost analysis, employee training, emergency operations, and preventative maintenance and help preserve infrastructure assets. CMOM is a U. S. environmental protection agency mandate. Correction systems are aging and in need of maintenance and rehabilitation. This area has been under funded and neglected for many years. The US EPA reports that sanitary sewers are the least maintained among all U. S. infrastructures. FRIDLEY CITY COUNCIL MEETING OF DECEMBER 11, 2006 PAGE 5 Mr. Kottsick said the City is compliant. The City has a very proactive maintenance and operations program that addresses many of the guidelines. A few examples of the operation maintenance actives are to clean sewer lines with the use of a jetting machine, house services, work station rehabilitation and maintenance, and computerized alliance systems for pumping stations. Mr. Kottsick reviewed the jetting and televising maintenance activity. The City of Fridley has 110 miles of sanitary sewer lines ranging in size from 6-inch to 24-inch. The City is divided into five areas based on direction of flow. It is the rule to jet all six, eight, ten and twelve inch lines in areas over a two-year period. Last year the department had an exceptional year and completed all areas from September 2005 to September 2006. The camera equipment was purchased in 2004 which made inspection of the sewer lines much easier. The sewer is video taped on a hard drive data base and can be pulled at any time for review. If things go as planned, within the ne�t two years, the entire City should be televised. Mayor Lund asked if there were rules of routine maintenance that residents should take into consideration. Mr. Kottsick responded that if a resident has sewer issues, they should call the City first to check the main line before calling an independent service. If the problem is in the City line, there will be no cost to the resident. Mayor Lund asked what the quickest way to reach the Sewer Department was. Mr. Kottsick provided the following numbers said his number was 763-572-3565 or 763-572- 3560 (Monday through Friday from 7:00 a.m. - 330 p.m.). After hours, there will be a recording with a telephone number to call. In an emergency, ca11911. William Burns, City Manager, asked about how much of the City sewer lines get jet flushed every year. Mr. Kottsick answered that they would like to get the entire system done each year. Last year about 470,000 linear feet was completed. Typically, they clean around 400,000 linear feet each year. Mr. Burns asked if it was State law to clean all the sewers every five years. Mr. Kottsick said the State would like to see the entire system cleaned in a three-year period. The City is meeting this requirement and is well ahead of the standard. Councilmember Barnette asked about sump pumps and if they should drain them into the laundry tub. Mr. Kottsick said no and this was against City Code. All the clean water goes through the system and is metered, which means we would be paying a surcharge on the clean water. FRIDLEY CITY COUNCIL MEETING OF DECEMBER 11, 2006 PAGE 6 Bruce Nustad, President of the Twin Cities North Chamber of Commerce, introduced himself to Council. He expressed the business community's appreciation for the work of Council. He also congratulated Councilmember Wolfe and Councilmember Billings on their retirement. OPEN FORUM (VISITORS): Paul Westby stated that he owns the building at 6425 Central Avenue. He would like Council to look at a clinic and wellness spa proposal. This is not a beauty salon and nothing in the City Code states that he cannot put in a wellness spa. After speaking with Mr. Hickok there seems to be some discrepancy. Mayor Lund stated that Council will look at the information Mr. Westby submitted and give a response. Councilmember Bolkcom asked if this issue could be briefly discussed after the meeting. Councilmember Billings stated that he recalls issuing a special consideration for a chiropractic clinic in a residential neighborhood. The proposed business presented appears to have some therapeutic nature to it, and he asked if the disagreement is regarding if this is actually chiropractic. Mr. Westby answered that he could have a dentist or any type of professional services in the building. He said he owns the building, works there and wants to be specific as to who the tenant is. Donald Anderson, 7304 W. Circle N.E., said there was a pothole on Highway 65 and 73ra Avenue and asked if someone could fix it. Councilmember Bolkcom mentioned that in the future he could call the City and report the issue to the Public Works Department. Councilmember Wolfe spoke up for the realtor office he works for. He said the Toys for Tots signs from his office were taken down. He called the City and asked why the signs were taken down and was told the signs were in the right of way and they also had the real estate office name on them. The Toys for Tots program is for underprivileged children and the intent was not to advertise the company. Some photographs were shared of signs within the City that were inappropriately displayed advertising businesses. An email was received from Paul Bolin with the stipulations of signs and how far away they need to be from a curb and property lines. There were several signs that were found throughout the City that were not meeting this stipulation. The Toys for Tots signs that were displayed would be displayed for 10 to 15 days and were to let residents know where they could drop off toys. Mayor Lund asked Councilmember Wolfe if his office thought of applying for a temporary sign permit. FRIDLEY CITY COUNCIL MEETING OF DECEMBER 11, 2006 PAGE 7 Councilmember Wolfe stated that regardless, it was not right to pull up the signs that were for a good cause. Many signs are displayed advertising for businesses throughout the City that are against code and those signs are not being pulled. Scott Hickok, Community Development Director, stated that the sign that was displayed by Blue Print Homes was legal as it was on the private side of the public right of way. He agreed that some of the real estate signs were not displayed correctly. He said that the real estate signs should be moved away from the curb but he has been in the area and rarely are they 10 feet off the property line. The real estate signs are not put up by the company but by a private contractor. The City believes that Toys for Tots is a good cause and the City also has a drop-off location and advertised the drop-off site on the city marquee sign. The signs that are in the public right of way will be pulled whether they are for Toys for Tots or not. The City cannot differentiate what the sign says, even if the sign is for a good cause. It still cannot stay in the public right of way. Equality and sign enforcement is what the City is after and staff encourages anyone who sees signs in the public right of way to report them to the City. Mayor Lund asked if a temporary sign permit could be granted to put the sign on their own property. Mr. Hickok stated that the sign would have to be on the real estate office property, not the corner where the signs were originally located. Councilmember Wolfe reiterated that the Toys for Tots signs were for a good cause so people could find the drop-off location and in no way were they put in that location to offend the City of Fridley. Mayor Lund stated that this is not the first time we have had sign issues as it happens many times with schools and other businesses. Councilmember Wolfe stated that the City said if the real estate company name was not on the sign, they may have stayed in the right of way. Councilmember Bolkcom suggested Councilmember Wolfe apply for a temporary sign permit and then the sign would be legal. Mr. Hickok agreed that would be within the City Code. Councilmember Wolfe asked how long it takes to get a temporary sign permit. Mr. Hickok answered that if a temporary sign permit was applied for tomorrow, they would get the permit the same day. PUBLIC HEARINGS: 12. Consideration of an Intoxicating Liquor License for Baggan's Pub, 3720 East River Road N.E. (Ward 3) (Continued December 4, 2006). FRIDLEY CITY COUNCIL MEETING OF DECEMBER 11, 2006 PAGE 8 MOTION by Councilmember Bolkcom to remove the item from the table. Seconded by Councilmember Barnette. UPON A VOICE VOTE, ALL VOTING AYE, MAYOR LUND DECLARED THE MOTION CARRIED UNANIMOUSLY. Richard Pribyl, Financial Director, said the original public hearing was presented on November 13, continued to December 4, and continued again to this evening. The hearing has been continued due to concerns about how the requirements for the food to liquor ratio would be met with the operation of the Oops Theater and Catering Services with Joe Vitale. Mr. Bisek has provided staff with a narrative and proforma describing how the two businesses would be working together showing Baggan's providing all of the food and liquor sales for the Pub and for the Theater. After reviewing the information, staff is satisfied with the information provided. Mr. Pribyl stated that there are two components of the liquor ordinance that must be complied with. First of all, 40% of the total of gross sales must come from the business of selling food and intoxicating beverages. The total sales generated on site from sales related to the full operation must be included since they operate under the umbrella of the licensed premises. Second, of that 40% trade requirement related to the definition of a restaurant, a minimum of 40% must be from sales of food prepared on site. Staff recommends closing this public hearing. The liquor license would be listed in accordance with Section 60387C on the meeting of January 8th. Mayor Lund stated that a memorandum was received and he asked if it was incorporated with Mr. Pribyl's data. Mr. Pribyl answered yes, and a conversation was held regarding the revenue generated from the Oops Theatre and that it would be included in the total revenue. Mayor Lund asked if the Pub and Theater were two separate businesses. Mr. Pribyl answered that they are two different businesses to review. MOTION by Councilmember Bolkcom to submit the memorandum dated December 8 into the record. Seconded by Councilmember Barnette. Councilmember Bolkcom questioned the subcontract as it related to the use of the kitchen. Mr. Pribyl stated that the kitchen is of sufficient size for both staff to work independently of one another. Councilmember Bolkcom asked if there was enough work completed on the kitchen to start business. She asked if it would be okay to close the public hearing. Mr. Pribyl stated that the work is progressing quite well. Councilmember Bolkcom asked if the Anoka County would be inspecting the property. FRIDLEY CITY COUNCIL MEETING OF DECEMBER 11, 2006 PAGE 9 Mr. Pribyl said the Health Department would be completing a final inspection. Councilmember Bolkcom asked if the inspection would be completed by the meeting on January 8. Mr. Pribyl answered that staff will watch the progress of this item. MOTION by Councilmember Bolkcom to close the public hearing. Seconded by Councilmember Wolfe. UPON A VOICE VOTE, ALL VOTING AYE, MAYOR LUND DECLARED THE MOTION CARRIED UNANIMOUSLY AND THE PUBLIC HEARING CLOSED AT 8:32 P.M. 13. Consider the Building Located at 136 Horizon Circle Hazardous and Order its Removal or Repair Pursuant to Minnesota Statues, Section 463. (Ward 3) MOTION by Councilmember Bolkcom to waive the reading and open the public hearing. Seconded by Councilmember Billings. UPON A VOICE VOTE, ALL VOTING AYE, MAYOR LUND DECLARED THE MOTION CARRIED UNANIMOUSLY AND THE PUBLIC HEARING OPENED AT 8:35 P.M. Scott Hickok, Community Development Director, said the home is located at 136 Horizon Circle and is a modified story and a hal£ State Statute 463 defines the process by which a building is deemed hazardous. The process begins when staff has completed an investigation and ask Council to deem the property hazardous based on the findings of the investigation. Staff began the investigation on October 16. Based on that inspection, a notice was sent to the owner on October 17. The house has been vacant for months--possibly years. In April 2001, staff contacted the homeowner by letter to notify the owner of the hazardous conditions. The home has evidence of foundation failure on the lower face of the structure's southeast corner. Mr. Hickok stated that since the hearing notice was sent out, both the owner and daughter have come forth regarding this property. A private party has prepared a purchase agreement for the property and the offer has been accepted. The buyer grew up in the neighborhood and plans to demolish the home, make necessary soil corrections and build a new home in its place. Staff recommends that Council approve the hazardous ordinance. Councilmember Bolkcom asked how staff came upon this hazardous home. Mr. Hickok said in 2001, City staff went to inspect two homes on this block One had fixed the problems and this home remained hazardous. Staff was aware that it was abandoned and the conditioned worsened. Councilmember Bolkcom asked why staff waited so long to list the home as hazardous. FRIDLEY CITY COUNCIL MEETING OF DECEMBER 11, 2006 PAGE 10 Mr. Hickok answered that there was a list of actions that was taken with the property owner. Staff had given the owner time to fix the home on their own and thought the owner was seeking solutions. The owner was not seeking solutions and in time the property has deteriorated and is now abandoned. Councilmember Bolkcom asked if the home had been homesteaded since 2001. She asked if the taxes were paid by the homeowner. Mr. Hickok answered that the taxes have been paid, but the homeowner chose not to live in the home. Councilmember Bolkcom stated that staff waited five years to deem this property hazardous and now gives the new owner 20 days to come to a resolution. She asked if the property had been inspected since 2001. Mr. Hickok said the property had not been inspected since 2001. In 2001 after the inspection, staff had hoped that the owner was seeking a solution to fix the problem. This did not happen and the situation got worse. Now that the property is abandoned, it is a liability to leave it sit. Councilmember Bolkcom asked that if staff knew in 2001 the property was hazardous, why did it take so long to come forward. Councilmember Billings questioned what the procedure would be if no buyer was present. Mr. Hickok stated that Council would make a resolution and the property owners would be notified by having papers served. Twenty days would be given to resolve the issues on the property. The 20 days allows time for the owner to respond to staff and come up with a reasonable solution. If nothing happens, an abatement process starts and the City can demolish the property and bill the property owner for the demolition fees. Right now, staff would like something done to rectify this property so it does not present a dangerous situation for residents. Valerie Tatley, buyer of property stated that she has met with the owners and signed a purchase agreement. Mayer Lund asked if she had a problem with the staff's recommendations. Ms. Tatley asked if the 20 days could be pushed back a little to give the owners time to clean out the house and pack up their personal things. Councilmember Barnette asked if all the belongings were still in the home. Ms. Tatley answered yes. Councilmember Bolkcom stated that the 20 days does not mean that the home needs to be demolished. A plan just needs to be in place as to what you plan to do with the property. FRIDLEY CITY COUNCIL MEETING OF DECEMBER 11, 2006 PAGE 11 Ms. Tatley asked if the issue could be dropped with the title transfer as she thought it was a waste of City funds. Mr. Hickok answered that the City would not add their costs on top of the fees. He asked if her request was to stop the proceedings and not put money into the issue of tearing down the structure. Ms. Tatley answered yes. Councilmember Bolkcom stated that the proceeding still needs to be on record in case the sale does not happen. Ms. Tatley stated that she could get the paperwork to Council once the property is closed. Councilmember Billings answered that the paperwork could be submitted after closing. Sometimes it is difficult to find the title of the property, and anything can happen. Hopefully this will not be the case, but we need this on record so if something does happen, we can proceed. Ms. Tatley responded that they should have a clear title prior to closing. Councilmember Billings stated that he hopes everything works out okay. Councilmember Bolkcom asked if the resolution should be tabled until the first meeting in January. Mr. Hickok stated that he is convinced that a workable solution can be made to move ahead with this matter. Ms. Tatley stated that the sale is conditional and could be stopped upon title transfer. Bids are being submitted on the property and she hopes to have a plan in place soon. Councilmember Bolkcom stated that the plan has to be given to staff within 20 days. Attorney Knaak stated that the action by Council is used to initiate a lawsuit. A document is filed with the court in which there are 20 days to respond. If no answer is filed with the court, on the 21st day, the city can raise the property. The issue of the title may create an impediment to the title. This can make it difficult to explain to a mortgage company why there was a lawsuit to destroy the house. This may be a reason to delay the passing of the resolution until the property is closed. You have that option and run a risk of stating that the City knew about the hazardous condition. To eliminate problems, you may want to put off the resolution until the property is closed. Mayor Lund stated that due to Mr. Knaak's response, Council may want to consider tabling this item until the ne�t meeting. Councilmember Bolkcom asked if they could continue the resolution and close the public hearing. FRIDLEY CITY COUNCIL MEETING OF DECEMBER 11, 2006 PAGE 12 Attorney Knaak answered that no additional information would be needed to continue the public hearing. Mayor Lund stated that it is not the intent to use tax dollars to demolish a building that someone is taking care of. The new owners are willing to work with staff. By postponing the action, the new owner would have additional time to take care of matters. MOTION by Councilmember Billings to continue this hearing until January 8, 2007. Seconded by Councilmember Bolkcom. UPON A VOICE VOTE, ALL VOTING AYE, MAYOR LUND DECLARED THE MOTION CARRIED UNANIMOUSLY. 14. Consider the Building Located at 8100 East River Road Hazardous and Order its Removal or Repair Pursuant to Minnesota Statues, Section 463 (Ward 3). MOTION by Councilmember Bolkcom to waive the reading and open the public hearing. Seconded by Councilmember Billings. UPON A VOICE VOTE, ALL VOTING AYE, MAYOR LUND DECLARED THE MOTION CARRIED UNANIMOUSLY AND THE PUBLIC HEARING OPENED AT 9:05 P.M. Scott Hickok, Community Development Director, stated that the property at 8100 East River Road has been deemed hazardous by virtue of fire damage, food waste and lack of underground tank corrosion protection by the City's Chief Building Official, code enforcement staff, and the Fire Marshall. On October 24, 2006, a fire was responded to and the building had been compromised by the fire. A letter was sent to the property owners after the fire. The building has been vacant for months. In the month of November, the Fire Department and staff inet with the property owner to notify him of the concerns of the building's hazardous conditions. The south of the building has been boarded up by the City's contractor and secured, but not repaired. Also, rotting food has been observed and documented to exist inside of the structure. Further, all underground gas tank corrosion protections that require power, have been compromised due to lack of electricity at the site. Anyone entering the structure at this site may be in danger of injury or death. Garbage has been an issue on the site with no collection service scheduled. Mr. Hickok stated that the property owner is present. The owner indicated that he is willing to rebuild the facility as required. Staff recommends Council approve the hazardous building resolution. Councilmember Bolkcom asked how long there has been no electrical current to the building. Mr. Hickok answered that he was not sure of the exact date but at least since the fire. Councilmember Bolkcom asked how long it has been since the business was operating. FRIDLEY CITY COUNCIL MEETING OF DECEMBER 11, 2006 PAGE 13 Mr. Hickok answered that it was June or July of 2006. Councilmember Bolkcom asked if the State inspector has been on the site. Mr. Hickok answered that the inspector has been in contact with the owner and visited the site. Councilmember Bolkcom asked if there was a current license to do business on the property. Mr. Hickok was not sure of the current status of the business license. Councilmember Bolkcom commented on complaints she has heard of garbage in the neighborhood and graffiti. Councilmember Billings asked about the underground tanks and if it had any impact on the hazardous conditions. Mr. Hickok answered that the tanks are a separate issue, and even though it is important, they are a different problem. Councilmember Billings said the hazardous situation we are talking about now is just the structure. Mr. Hickok answered that the integrity of the structure is the question. Engineers will need to access the damage and present a plan to correct the structure. Councilmember Billings asked if the property owner has 20 days to respond and present an acceptable plan of action. Attorney Knaak stated that if a response is not received, the abatement process would start. The owner can negotiate a workable solution under court action up to 20 days. If no solution is resolved, the abatement process will start, a trial will take place and the City will get the court's decision to demolish and abate the property. Soloman Hersh, 8100 East River Road, stated that this issue was brought to his attention from Mr. Hickok. He has owned the property for five years and owns 14 other locations he subleases. This station had a corporate lessee, Fridley Food and Fuel. The lessee has left the store and Mr. Hersh has no key to enter the building. He has received an appraisal from the insurance company and has two contractors lined up to inspect the property and give bids. The intention is to rebuild and reopen the doors with a new lessee. The trash is something he cannot control, but he would like to rebuild and repair the property. Mayor Lund asked if Mr. Hersh had received any information regarding the hazardous property prior to the call from staff. Mr. Hickok stated that a letter was sent out to the property owner with an Eagan address but the owner moved and did not give the City the new address. FRIDLEY CITY COUNCIL MEETING OF DECEMBER 11, 2006 PAGE 14 Mayor Lund asked when the business was last open. Mr. Hersh answered it was open until mid-June. Mayor Lund asked what the future intent of the property was. Mr. Hersh answered that he planned to fix the property, rent it out and open a business. Mayor Lund asked what the business was prior to the fire. Mr. Hersh answered that prior to the fire he was going to clean and remodel the building for a new look. Mayor Lund asked for clarification that the property sublease tenant left a mess and the business has been closed since mid June. Mr. Hersh answered yes. He was not sure what was left inside. Mayor Lund asked if the insurance claim has been settled. Mr. Hersh answered that he was contacted Friday morning and was told the claim was approved. He said he would start to find his own contractor. Mayor Lund thought 20 days was a reasonable amount of time to come up with a solution. Numerous complaints have been received regarding this property. Mr. Hersh respected the Mayor's opinion but compared this business, which has been deemed hazardous for two months, to the previous hearing of the house deemed hazardous for 5 years and they got an e�tension. He said the trash was from people in the neighborhood dumping it there. Mayor Lund responded that it is typical for trash to be dropped off when buildings are abandoned. Mr. Hersh stated that he was interested in fixing up the property as soon as possible and reopen for business. Councilmember Bolkcom stated that the fire was on October 24 and the building is boarded up. The trash is a separate issue and is there because of the abandoned business. Soon this building could be vandalized causing further damage and possibly injury. This building is not secure and is a bigger issue than the previous public hearing. Mr. Hersh commented that he was at the building two days after the fire and the building was already boarded up. He saw the damage through photographs. He did not receive any communication until he received a telephone call about this public hearing. The insurance company has approved the claim and he is getting bids. The 20 days is workable. FRIDLEY CITY COUNCIL MEETING OF DECEMBER 11, 2006 PAGE 15 Councilmember Bolkcom asked Mr. Hersh if he understood the process in that if the resolution was passed, the deadline to get a plan of action to the City would be in 20 days. Councilmember Billings stated this is Mr. Hersh's problem to take care of. The building is dangerous and the City will go ahead with the proceedings as needed. Mayor Lund stated that Mr. Hersh will need a plan submitted in 20 days. Councilmember Billings stated that once the papers are served, he has 20 days to respond and present an action plan. Mr. Hersh stated that he will work with staff to get the business ready to reopen. Councilmember Billings recommended that Mr. Hersh call the insurance adjustor and advise them that the building will be torn down in 20 days if they do not start the process. Tori Swanson, 8080 East River Road, stated that she lives down the street from the gas station. The station has been in shambles since January. No gas has been for sale and because of the food, crows and animals are loitering in the area. The fence is torn down and a new one was never built. This makes the neighborhood look bad. Jody Beyers, 534 Fairmont Street, stated that she agreed with the concerns that were addressed. She added that within the garbage on the property there were receipts with credit card numbers possibly creating concerns for identity theft. She agrees that it is a health hazard and does not think the abandoned property is safe. Brandon Brinkly said he bought a home in the area 6'/z months ago. This property was a concern. People were wondering since the owner left why someone had not come sooner to check on the property. One would think that a business owner would visit the store more than once every six months. MOTION by Councilmember Bolkcom to close the public hearing. Seconded by Councilmember Wolfe. UPON A VOICE VOTE, ALL VOTING AYE, MAYOR LUND DECLARED THE MOTION CARRIED UNANIMOUSLY AND THE PUBLIC HEARING CLOSED AT 9:40 P.M. NEW BUSINESS 15. Resolution Certifying Final Tax Levy Requirements for 2007 to the County of Anoka. MOTION by Councilmember Wolfe to adopt Resolution No. 2006-96. Seconded by Councilmember Barnette. FRIDLEY CITY COUNCIL MEETING OF DECEMBER 11, 2006 PAGE 16 UPON A VOICE VOTE, ALL VOTING AYE, MAYOR LUND DECLARED THE MOTION CARRIED UNANIMOUSLY. 16. Resolution Adopting the Final Budget for Fiscal Year 2007. Councilmember Barnette noted that the budget is down from last year. Richard Pribyl, Finance Director, answered that the City needs to continue to balance the budget and reduce funds from transfers. William Burns, City Manager, stated that the levy is down considerably. Councilmember Barnette stated that residents should be pleased with the efforts of staff. MOTION by Councilmember Wolfe to adopt Resolution No. 2006-97. Seconded by Councilmember Barnette. UPON A VOICE VOTE, ALL VOTING AYE, MAYOR LUND DECLARED THE MOTION CARRIED UNANIMOUSLY. 17. Resolution Ordering the Removal or Repair of a Hazardous building Pursuant to Minnesota Statutes Section 463, Located within the City of Fridley, Minnesota (136 Horizon Circle) (Ward 3). MOTION by Councilmember Bolkcom to table the resolution. Seconded by Councilmember Wolfe. UPON A VOICE VOTE, ALL VOTING AYE, MAYOR LUND DECLARED THE MOTION CARRIED UNANIMOUSLY 18. Resolution Ordering the Removal or Repair of a Hazardous Building Pursuant to Minnesota Statues Section 463, Located within the City of Fridley, Minnesota (8100 East River Road) (Ward 3). MOTION by Councilmember Bolkcom to adopt Resolution No. 2006-98. Seconded by Councilmember Wolfe. UPON A VOICE VOTE, ALL VOTING AYE, MAYOR LUND DECLARED THE MOTION CARRIED UNANIMOUSLY 19. Informal Status Reports Councilmember Bolkcom thanked Councilmember Wolfe and Councilmember Billings for their years of service on the City Council. FRIDLEY CITY COUNCIL MEETING OF DECEMBER 11, 2006 PAGE 17 ADJOURN: MOTION by Councilmember Barnette to adjourn the meeting. Seconded by Councilmember Wolfe. UPON A VOICE VOTE, ALL VOTING AYE, MAYOR LUND DECLARED THE MEETING ADJOURNED AT 9:45 P.M. Respectfully Submitted by, Krista J. Monsrud Scott Lund Recording Secretary Mayor