12/10/2007 - 29209CITY COUNCIL MEETING
CITY OF FRIDLEY
DECEMBER 10, 2007
The City Council meeting for the City of Fridley was called to order by Mayor Lund at 7:30 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 Varichak
Councilmember Bolkcom
MEMBERS ABSENT: Councilmember Saefke
OTHERS PRESENT: William Burns, City Manager
Jim Kosluchar, Public Works Director
Richard Pribyl, Finance Director
Fritz Knaak, City Attorney
APPROVAL OF PROPOSED CONSENT AGENDA:
NEW BUSINESS:
1. Approve Extension for Special Use Permit, SP #05-03 and Variance, VAR #05-14, by
Kinghorn Company for Woodcrest Baptist Church, to Allow an Expansion of an
Existing Church in an R-3, Multi-Family Zoning District, Generally Located at 6875
University Avenue N.E. (Ward 1)
William Burns, City Manger, said Council approved the Special Use Permit and variance
request that would allow the expansion of the church and parking lot on November 7, 2005.
Council granted a one-year extension on December 4 of last year. Due to funding problems,
Woodcrest is asking for another one-year extension. Staff recommends Council's approval.
APPROVED.
2. Approve 2007-2008 City of Fridley Snow Removal Operation's Policies and Procedures.
William Burns, City Manager, said that the 2007-2008 plan provides that plowing of City
streets will begin after a snowfall has subsided. The first streets to be plowed are red line
collector routes. Thereafter (about 4 to 6 hours later), other local streets are plowed over a
FRIDLEY CITY COUNCIL MEETING OF DECEMBER 10, 2007 PAGE 2
period that typically ranges between 6 and 8 hours. The plowing is organized within twelve
plowing districts and begins at alternate starting points in each district.
Dr. Burns said that unless the snowfall exceeds 15 inches, plowing would be done curb to curb.
For an emergency snowfall in excess of 15 inches, crews are divided into two twelve-hour shifts.
During these emergency conditions, they make one pass down the center of the street initially.
After a pass is made on all of the streets, the crews return to plow full width. Plowing includes
cul-de-sacs, improved alleys, concrete sidewalks, and municipal parking lots. It does not include
bikeways or asphalt paths.
Dr. Burns said cleanup operations begin the next day after snow removal operations have been
completed. They include cul-de-sac clearing and hauling, intersection clearing, clearing of
sidewalks, clearing around bus stops, and "winging back" along boulevards. MnDOT is
responsible for clearing University Avenue, Highway 65, and I-694. Anoka County clears East
River Road, the 44th Avenue bridge, Main Street from the south to 57th Avenue, 57th Avenue
from Main Street to University Avenue, 49th Avenue between Main Street and University
Avenue, Mississippi Street, Osborne Road, 85th Avenue, and Old Central Avenue. We ask that
Fridley residents help us with our snow removal operations by following several rules:
Between November and March, do not leave your vehicles on the streets between 2:00 a.m.
and 6:00 a.m.
2. Do not plow snow from private property into City streets.
3. Do not put your garbage cans or recycling bins in the street.
4. Please mark landscaping that is more than 1 foot tall and within 5 feet of the curb.
5. Please keep boulevards free of non-permitted obstructions.
6. Remind your children to stay out of snow banks.
Staff recommends Council's approval of the plan.
APPROVED 2007-2008 CITY OF FRIDLEY SNOW REMOVAL OPERATION'S
POLICIES AND PROCEDURES.
3. Resolution Authorizing Changes in Appropriations for the 2007 Budget for August
through November 2007.
William Burns, City Manager, said the General Fund adjustments amount to $73,913. Most of
the items relate to reimbursable Police and Fire expenditures. They also include emergency
repairs to the Fire Department's hose tower ($11,375) and the municipal parking ramp ($2,888).
The only other change is a$500 SNC expenditure that was funded by a donation.
ADOPTED RESOLUTION NO. 2007-71.
4. Resolution Providing for Water Rate Change.
William Burns, City Manager, stated that we are proposing that the water rate per 1,000 gallons
of usage be raised from $1.18 to $1.30. Water rates for usage in excess of 5,000,000 per quarter
FRIDLEY CITY COUNCIL MEETING OF DECEMBER 10, 2007 PAGE 3
will be raised from $1.23 to $1.36 per 1,000 gallons. Reduced rates for qualifying seniors will
be raised from $.87 per 1,000 gallons to $.96 per 1,000 gallons of water used. The minimum
billing for 12,000 gallons of water used per quarter will be raised from $13.20 to $15.60. The
minimum rate for qualifying seniors will be raised from $9.84 to $11.52 per quarter.
ADOPTED RESOLUTION NO. 2007-72.
5. Resolution Providing for a Storm Water Drainage Rate Change.
William Burns, City Manager, stated staff recommends that the storm water charge for
residential properties be raised from $3.30 per quarter to $3.35 per quarter. For other properties,
staff recommends that the charge be raised from $9.90 to $10.05 per quarter.
ADOPTED RESOLUTION NO. 2007-73.
6. Resolution Providing for Sewer Rate Increases.
William Burns, City Manager, said that staff recommends that the sewer rate be increased from
$2.59 per 1,000 gallons of water usage to $3.01 per 1,000 gallons of water usage. All increases
will be effective for the first billing in January of 2008. The cost to the average water user
(18,000 gallons per quarter) will amount to an additional $34.56 per year ($2.88/month).
ADOPTED RESOLUTION NO. 2007-74.
7. Resolution Authorizing a Change in Mileage Reimbursement Rates for the 2008
Calendar Year.
William Burns, City Manager, said staff is recommending that the mileage reimbursement rate
for City employees who use their own vehicles for work-related purposes be raised from
$0.485/mile to $0.505/mile.
ADOPTED RESOLUTION NO. 2007-75.
8. Resolution in Support of an Application for a Minnesota Lawful Gambling Premise
Permit for CLIMB Theater at AMF Bowling Centers, d/b/a AMF Maple Lanes,
Located at 6310 Highway 65 N.E. (Ward 2).
William Burns, City Manager, said this is a renewal application that, if approved, would license
this group between March 1, 2008, and February 28, 2010. Staff recommends Council's
approval.
ADOPTED RESOLUTION NO. 2007-76.
9. Resolution Approving and Authorizing Signing an Agreement with Police Offices of the
City of Fridley Police Department for the Years 2008 and 2009
FRIDLEY CITY COUNCIL MEETING OF DECEMBER 10, 2007 PAGE 4
William Burns, City Manager, said the main changes include a 3% COLA for each year. They
also include raising the minimum time paid for court standby on days off from 2 hours to 3
hours. Health, dental, and life insurance benefits will be the same as those for non-union
employees. There is also new language that makes it clear that if an employee pursues a remedy
allowed by the Equal Employment Opportunity Commission, he/she may also pursue other
remedies allowed under state law.
ADOPTED RESOLUTION NO. 2007-77.
10. Claims (134657 —134785).
APPROVED.
11. Licenses.
APPROVED THE LICENSES AS SUBMITTED AND AS ON FILE.
12. Estimates.
Forest Lake Contracting
14777 Lake Drive
Forest Lake, MN 55025
2007-1 Street Improvement Project
Estimate No. 9 ............................................... $18,757.75
APPROVED.
APPROVAL OF THE PROPOSED CONSENT AGENDA.
Councilmember Barnette asked about the Police contract and where Fridley fell in comparison
with other groups.
William Burns, City Manager, said that Fridley tries to stay as close as possible to the median
salary of the 27 communities.
Councilmember Bolkcom said with respect to Item 1, how many times has the City granted
extensions for special use permits.
Dr. Burns said we have done this a few times. Nothing will be lost if an extension is granted.
Councilmember Bolkcom asked about Item 9 and what it would cost to extend the time from
two hours to three hours.
Dr. Burns answered $7,500 a year.
FRIDLEY CITY COUNCIL MEETING OF DECEMBER 10, 2007 PAGE 5
Mayor Lund asked about the plowing contract and why some streets are salt only and others are
sand and salt. He asked why we did not use salt and sand in all districts.
Jim Kosluchar, Public Works Director, said the City is trying to get away from using a lot of
sand. In the spring, the streets need to be swept and the storm sewers need to be cleaned. The
hillier areas use some sand for traction. The salt only works when the temperature is above zero.
When it is really cold both sand and salt will be applied.
MOTION by Councilmember Barnette to approve the consent agenda as presented. Seconded
by Councilmember Varichak.
UPON A VOICE VOTE, ALL VOTING AYE, MAYOR LUND DECLARED THE
MOTION CARRIED UNANIMOUSLY.
ADOPTION OF THE AGENDA:
MOTION by Councilmember Bolkcom to adopt the agenda. Seconded by Councilmember
Barnette.
UPON A VOICE VOTE, ALL VOTING AYE, MAYOR LUND DECLARED THE
MOTION CARRIED UNANIMOUSLY.
OPEN FORUM:
Councilmember Bolkcom
concerns of rental property.
non-homestead.
wanted to commend the Fire Department for dealing with the
The latest activity report shows they found 51 properties that were
Mayor Lund said that people who rent single-family homes would need to keep up with codes.
If people are renting dwelling properties it does require a rental license.
PUBLIC HEARING:
13. Consideration of the Issuance of Refunding Revenue Bonds under Minnesota Statutes,
Chapter 462C, for Banfill Crossing, Generally Located at 8310 University Avenue N.E.
(Ward 3)
MOTION by Councilmember Bolkcom to waive the reading of the public hearing notice and
open the public hearing. Seconded by Councilmember Varichak.
UPON A VOICE VOTE, ALL VOTING AYE, MAYOR LUND DECLARED THE
MOTION CARRIED UNANIMOUSLY AND THE PUBLIC HEARING OPENED AT
7:47 P.M.
Richard Pribyl, Finance Director, said earlier this year we were approached by representatives
of Banfill Crossing requesting the authority to put together a document necessary to do the
FRIDLEY CITY COUNCIL MEETING OF DECEMBER 10, 2007 PAGE 6
refinancing of their original bonds issued in 1999. Due to market conditions, they postponed the
project until just recently. As you may recall from the 1999 bond issue, these bonds were issued
under the authority of Minnesota Statutes 462C. This statute provides authority for
municipalities to issue conduit debts for the purposes of financing multiple family rental housing
for elderly persons. It does not create any liability for the City.
Mr. Pribyl said this is a housing-related bond. The Series 2007 bonds will be issued in two
series. The Series 2007A bond will be a global rate bond backed by Fanny Mae Credit and the
Series 2007B Bonds will be marketed to credited investors only and will be paid from surplus
cash flow of the proj ect. The original debt was used to finance the senior rental housing proj ect
adjacent to Wal-Mart known as the Banfill Crossing Home Project. This is a 110 unit senior
housing development. The proceeds of the debt will be used to refund and refinance the prior
bonds. The amount of the debt that will be issued will be in an amount not to exceed
$10,000,000. The City will be charging'/z% to the borrower in conjunction with this issue.
Mayor Lund asked what a conduit debt was.
Mr. Pribyl said this indicates that the City is not under any liability in relation to this particular
type of bond issue. The borrower has to pledge to carry the debt and the transaction flows
through the City.
Mayor Lund asked if the purpose for the refinancing was for a lower interest rate.
Mr. Pribyl said that is correct.
MOTION by Councilmember Bolkcom to close the public hearing. Seconded by
Councilmember Barnette.
UPON A VOICE VOTE, ALL VOTING AYE, MAYOR LUND DECLARED THE
MOTION CARRIED UNANIMOUSLY AND THE PUBLIC HEARING CLOSED AT
7:51 P.M.
NEW BUSINESS:
14. Resolution Certifying Final Tax Levy Requirements for 2008 to the County of Anoka.
Richard Pribyl, Finance Director, said this is the 2008 tax levy and complies with the
requirements of State statutes and the Fridley City Charter. The City passed the proposed levy in
August in the amount of $9,527,433. The attached resolution is considered the final levy in
exactly the same dollar amount.
Mr. Pribyl said the 2008 levy represents an increase of 3.55% over the 2007 levy and includes
the levy for the new bond that was sold in 2007 to finance the street construction project. The
average levy of cities statewide has been computed at 9.2% by the Department of Revenue. Staff
recommends Council's approval.
FRIDLEY CITY COUNCIL MEETING OF DECEMBER 10, 2007 PAGE 7
MOTION by Councilmember Bolkcom to adopt Resolution No. 2007-78. Seconded by
Councilmember Varichak.
UPON A VOICE VOTE, ALL VOTING AYE, MAYOR LUND DECLARED THE
MOTION CARRIED UNANIMOUSLY.
15. Resolution Adopting the Final Budget for the Fiscal Year 2008.
Richard Pribyl, Finance Director, said at the City Council meeting on December 3, 2007, the
City Manager delivered the 2008 budget message during the public hearing held for the budget.
This resolution adopting the 2008 budget will finalize the budget process. The City of Fridley is
not required to hold a public hearing since it is not required to comply with truth and taxation
since it levied under the threshold set by the Department of Revenue, yet the City chose to follow
the same steps.
Mr. Pribyl said the certification of the final budget must be received by the County Auditor by
December 28. The City has complied with the appropriate sections and elements of the City
Charter. If anyone should have any questions regarding the 2008 budget they may access the
budget at the Anoka County Library, or a copy of the budget can be obtained by contacting City
Hall or Richard Pribyl at 763-572-3520. The City Manager's budget message is also on the
City's website at www.ci.fridlev.mn.us. Since there were no open issues to resolve as a result of
the public hearing, staff is presenting the budget for Council's approval. Staff recommends
Council's approval.
Mayor Lund asked about the large increase for the capital projects and if it is larger this year
because this year's street reconstruction is a larger proj ect.
Mr. Pribyl answered that is correct. This is the fourth and final year of the street reconstruction
proj ect.
MOTION by Councilmember Bolkcom to adopt Resolution No. 2007-79. Seconded by
Councilmember Varichak.
UPON A VOICE VOTE, ALL VOTING AYE, MAYOR LUND DECLARED THE
MOTION CARRIED UNANIMOUSLY.
16. Resolution Approving the Issuance and Sale of Revenue Bonds and Authorizing
Execution and Delivery of Documents Related Thereto for Banfill Crossing, Generally
Located at 8310 University Avenue N.E. (Ward 3).
MOTION by Councilmember Bolkcom to adopt Resolution No. 2007-80. Seconded by
Councilmember Varichak.
UPON A VOICE VOTE, ALL VOTING AYE, MAYOR LUND DECLARED THE
MOTION CARRIED UNANIMOUSLY.
FRIDLEY CITY COUNCIL MEETING OF DECEMBER 10, 2007 PAGE 8
17. Informal Status Reports.
Councilmember Bolkcom said the Fridley High School had their Alumni Concert and it was
beautiful and nicely done. A lot of money was raised for scholarships.
Councilmember Barnette said he is Treasurer of that organization and deposited $6,280 so it
was a great fundraiser.
ADJOURN:
MOTION by Councilmember Barnette to adjourn. Seconded by Councilmember Varichak.
UPON A VOICE VOTE, ALL VOTING AYE, MAYOR LUND DECLARED THE
MOTION CARRIED UNANIMOUSLY AND THE MEETING ADJOURNED AT 8:02
P.M.
Respectfully Submitted,
Krista Monsrud Scott J. Lund
Recording Secretary Mayor