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02/22/2010 - 29278CITY COUNCIL MEETING CITY OF FRIDLEY FEBRUARY 22, 2010 The City Council meeting for the City of Fridley was called to order by Mayor Lund at 7:30 p.m. ROLL CALL: MEMBERS PRESENT: Mayor Lund Councilmember Saefke Councilmember Bolkcom Councilmember Barnette MEMBERS ABSENT: Councilmember Varichak OTHERS PRESENT: William Burns, City Manager Fritz Knaak, City Attorney James Kosluchar, Public Works Director Scott Hickok, Community Development Director Hugh Robinson, Executive Vice President for Tri-Land Properties Rob Viera, Clear Wireless, LLC PRESENTATION: Annual National Pollutant Discharge Elimination System (NPDES) Review of Fridley's Stormwater Pollution Prevention Plan (SWPPP) for 2009. James Kosluchar, Public Works Director, stated the NPDES (National Pollutant Discharge Elimination System) stormwater authority legislation by the federal government is delegated to the State of Minnesota through the MPCA. Fridley is an MS4, which is a municipal separate stormwater system incorporating physical characteristics such as ditches, curbs, gutters, storm sewers, and similar means of collecting the main runoff that do not collect to a wastewater collection system or treatment plant. The City of Fridley has issued its own permit under the State of Minnesota's permit. Mr. Kosluchar said in 2008, Fridley received a reauthorization of its MS4 permit which has been e�tended for five years. The heart of the permit is a stormwater pollution prevention program, which has six minimum control measures that are part of the program. This is the completion of Fridley's seventh year under the NPDES program. Fridley has been very proactive over the years in the implementation of a stormwater program even prior to regulatory requirements to do so. Mr. Kosluchar stated the first minimum control measure is public education and outreach. In 2009, the City of Fridley broadcasted 272 programs related to stormwater including 101 that are FRIDLEY CITY COUNCIL MEETING OF FEBRUARY 22, 2010 PAGE 2 specific to stormwater pollution prevention. The City distributed printed materials to the public, such as bookmarks, Mississippi River and Springbrook Watershed brochures, and stormwater educational calendars at City buildings and events (such as recycling drop-offs). The City continues to do the stormwater inlet labeling program. The City attaches a plastic disc within the concrete when it has the opportunity to do so along street rehabilitation work The City also developed an educational program for good housekeeping for our own municipal operations. Mr. Kosluchar said the second control measure is public participation and involvement. Rain gardens are part of this, and the City planted four new rain gardens in 2009 with the street rehabilitation project. This is an activity that involves the participation of residents. If people do desire to have a rain garden, the City tries to educate them on what a rain garden is and how to take care of it. The City will provide for the curb cut and reinstall the curbing to allow for the rain garden, depending on the circumstances. Mr. Kosluchar stated this meeting is also part of the minimum control measure as it allows public information and comment. Mr. Kosluchar stated MCM3 is illicit discharge detection elimination. The City accomplishes this through several activities, including mapping of our storm sewer system. It continues to work to add information on private systems to our database and maps, and staff does still find some of our own system corrections that need to be done from the old as-built drawings. The City also maintains an illicit discharge ordinance prohibiting the dumping of hazardous materials into the storm drainage system or waterway which is enforceable as a public nuisance. It also developed an inspection program for good housekeeping for its municipal operations, and staff does annual outfall inspection and cleaning. This year it was in the northwest area of town. Mr. Kosluchar said the City also identifies non-stormwater discharge and flows, and staff is working on wash water discharge with properties which is an ongoing activity right now. Construction site runoff control is one of the more time-consuming and probably immediately beneficial MCM's that the City enforces. The City has an erosion control ordinance that was approved by the City Council in 2006. Our construction compliance requires use of best management practices by contractors such as silt testing, temporary ponding, concrete washout areas, and soil stabilization. The City maintains its own projects in that fashion. The 2009 projects that were fairly large include the Northstar station, Minneapolis emergency operation training facility, and the Totino-Grace renovations. Mr. Kosluchar said the City also has post-construction stormwater management as part of its minimum control measures. The City maintains compliance with development ordinances. City staff reviews plans and ensures that stormwater management systems are going to perform in as good a fashion as the existing condition. The City requires stormwater management agreements to be filed with large development and redevelopment owners, and it requires them to grant access easements to the City for correction if that is ever needed. Mr. Kosluchar stated the last minimum control measure is pollution prevention and housekeeping for municipal operations. The City does annual treatment device cleaning. These are stormceptors (basically catchments for grit). The City has a pretty intense street sweeping FRIDLEY CITY COUNCIL MEETING OF FEBRUARY 22, 2010 PAGE 3 program. Staff had about 680 hours of street sweeping last year. It removed about 3,400 yards of material from our streets. In addition, it did some storm sewer cleaning last year along 61st and removed 13-14 yards of sediment out of that piping system. The City also reduced the amount of sand applied to roadways. In 2009, it was about 50 percent less than three years prior. That reduced the amount of spring sweeping required and the amount of solids passing down the stormwater system. Mr. Kosluchar stated there is a new draft MS4 permit which will apply to the City and will go into effect in 2011. There will be more requirements, including moving toward the role as being the enforcement arm for stormwater quality. TMDL's are being developed right now, including probably the most famous one in this area, the Lake Pepin TMDL which will affect the City. These TMDL studies define waste load allocations to impaired waters, and Fridley will have to abide by those waste load allocations. We will see additional requirements in the future, possibly including monitoring. Mr. Kosluchar stated sediment disposal controls are on the horizon with testing of existing pond deficiencies and testing for disposal of sediments. Additional costs are coming to comply with the added rules and permit requirements. Councilmember Bolkcom asked about half of sweepings being sand applied to roadways, what makes up the other half. Mr. Kosluchar replied leaves, organic matter, and grass clippings. Councilmember Bolkcom stated if we all kept our leaves in our own yards that would help. Mr. Kosluchar replied, absolutely, and actually that is a requirement of ordinance as well, to maintain any kind of yard debris within your property and to dispose of it properly. Councilmember Bolkcom asked if the additional costs would be unfunded. Mr. Kosluchar replied correct. Mayor Lund asked where the City was dumping its street sweepings. Mr. Kosluchar replied at Bunker Hills Park Anoka County has a facility there for composting. Mayor Lund asked if the sand and dirt was mixed in with the composting. Mr. Kosluchar replied, the sand and the dirt are actually screened on-site at the Public Works garage, and we re-use the sand and dirt. Councilmember Barnette asked why Lake Pepin affected us. Mr. Kosluchar said it affects us because the Mississippi River flows through Lake Pepin. The Mississippi River is also the receiving water from all of the City's drainage. Fridley is not FRIDLEY CITY COUNCIL MEETING OF FEBRUARY 22, 2010 PAGE 4 singled out in these requirements. Columbia Heights will be a part of it and our neighboring cities to the north, south, to the west, and probably many to the east as well. APPROVAL OF PROPOSED CONSENT AGENDA: APPROVAL OF MINUTES: City Council Meeting of February 8, 2010 (amended minutes with resolution numbers added.) Councilmember Bolkcom said she would like the minutes to indicate that she arrived at the meeting at 8:20 p.m. APPROVED AS AMENDED. NEW BUSINESS: 1. Resolution in Support of an Application for a Minnesota Lawful Gambling Premise Permit for Spring Lake Park Youth Hockey Association at Broadway Bar and Pizza Located at 8298 University Avenue N.E. (Ward 3). William Burns, City Manager, stated the Spring Lake Youth Hockey Association currently conducts other lawful gambling at Nicklow's in Spring Lake Park and Time Out in Blaine. Staff has conducted a background investigation for the gambling manager and found no reason to deny the application. A new state law passed last July changes the term of the premise permit from two years to perpetual. This means the license will remain in effect until one of the parties terminates the contract with Broadway Pizza or until the State's charitable gambling control board suspends or revokes the permit. Staff recommends Council's approval. ADOPTED RESOLUTION NO. 2010-14. 2. Resolution Ordering Advertisement for Bids: 2010 Miscellaneous Concrete Repair Project No. 395. William Burns, City Manager, stated this is an annual concrete repair program for City streets. The repairs include repairs to curbs and streets and occur as a result of utility breaks, deterioration of streets or driveway reconstruction. The City has budgeted $45,000 for this work which he believes is the same amount the City budgeted for 2009. Staff expects to open bids on March 16 and to bring this to Council at their March 29 meeting. Staff recommends Council's approval. ADOPTED RESOLUTION NO. 2010-15. 3. Approve Change Order No. 4 for 2008 Street Improvement Project No. ST2008-01. FRIDLEY CITY COUNCIL MEETING OF FEBRUARY 22, 2010 PAGE 5 William Burns, City Manager, stated the work was done on Siverts Lane in 2009 after being held over due to right-of-way issues in 2008. The change order is for Midwest Asphalt Corporation in the amount of $15,281.50. The final cost for this project is $2,365,590.72. Staff recommends Council's approval. THIS ITEM WAS REMOVED FROM THE CONSENT AGENDA AND PLACED ON THE REGULAR AGENDA. 4. Approve Joint and Cooperative Agreement for the Formation and Administration of the Anoka-Hennepin Narcotics and Violent Crimes Task Force. William Burns, City Manager, stated this agreement describes the work of a multi-agency task force whose main objective is to gather evidence and apprehend drug traffickers in the geographic area as represented by its members. The task force has been in existence since 1996. The agreement was last amended in 2001. The agreement formalizes Fridley's role in providing a sergeant who supervises the day-to-day work of the task force. Additionally, a new agreement incorporates Columbia Heights as a member and eliminates the cities of Brooklyn Park and Brooklyn Center which have left the Task Force. The current members include the cities of Anoka, Blaine, Champlin, Coon Rapids, Fridley, Maple Grove, and Anoka County. Dr. Burns stated the Task Force commander is a lieutenant from the Anoka County Sheriff's Office. There are currently 11 full-time law enforcement officers who serve on the Task Force. The Task Force is one of 20 multi-agency groups operating in Minnesota. It has the distinction of ranking No. 1 among the 20 task forces in terms of arrests, felony charges filed, handguns seized, arrests per $1,000 of grant funding, and arrests per full-time detective. Staff recommends Council's approval. THIS ITEM WAS REMOVED FROM THE CONSENT AGENDA AND PLACED ON THE REGULAR AGENDA. 5. Claims (145125 — 145255). APPROVED. 6. Licenses. APPROVED THE LICENSES AS SUBMITTED AND AS ON FILE. 7. Estimates: Midwest Asphalt 5929 Baker Road, Suite 420 Minnetonka, MN 55345 2008 Street Improvement Project No. ST2008-01 FINAL ESTIMATE ... ... ... ... ... ... ... ... ... ... ... ... ... $ 63,638.23 APPROVED. FRIDLEY CITY COUNCIL MEETING OF FEBRUARY 22, 2010 PAGE 6 APPROVAL OF PROPOSED CONSENT AGENDA: Councilmember Bolkcom asked that Item Nos. 3 and 4 be removed from the consent agenda. MOTION by Councilmember Barnette to approve the consent agenda with the removal of Item Nos. 3 and 4. Seconded by Councilmember Saefke. UPON A VOICE VOTE, ALL VOTING AYE, MAYOR LUND DECLARED THE MOTION CARRIED UNANIMOUSLY. ADOPTION OF THE AGENDA: MOTION by Councilmember Bolkcom to approve the agenda with the addition of Item Nos. 3 and 4. Seconded by Councilmember Saefke. UPON A VOICE VOTE, ALL VOTING AYE, MAYOR LUND DECLARED THE MOTION CARRIED UNANIMOUSLY. OPEN FORUM: There was no response from the audience under this item of business. NEW BUSINESS: 8. First Reading of an Ordinance to Amend the City Code of the City of Fridley, Minnesota, by Making a Change in Zoning Districts (Rezoning Request, ZOA #10-01, by Tri-Land Properties, Inc., to Rezone Property from C-3, General Shopping, to Planned Unit Development Zoning, for the Redevelopment of the Site Generally Located at 244, 246, 248 and 250 — 57t'' Avenue N.E.) (Ward 3). Scott Hickok, Community Development Director, stated the City Council held a public hearing on this item at its February 8, 2010, meeting. Staff recommends holding the first reading of the ordinance and approving the rezoning. Councilmember Bolkcom asked why the stipulations do not have actual dates in them. Mr. Hickok said those dates will come with the planned development agreement that will accompany the second reading of the ordinance at the ne�t meeting. Those have to do with phasing, start times, scheduling, specific plans. They will have the dates prior to the second reading. Councilmember Bolkcom asked if they have seen the agreement. Mr. Hickok said it should be coming this week. FRIDLEY CITY COUNCIL MEETING OF FEBRUARY 22, 2010 PAGE 7 Councilmember Bolkcom asked that a representative for the petitioner come forward as she had a change in one stipulation. She referred to Stipulation No. 20. She would like to change it to read, "No fertilizer shall be stored outside the store's principal building, nor shall any other garden center materials be stored outside the garden center's fenced containment area." Hugh Robinson, Executive Vice President for Tri-Land Properties, replied that should be fine. They did have some conversation about small things within plastic containers of fertilizers, etc. He asked whether this was intended to not let Cub do that, too. Mr. Hickok stated there was some discussion regarding product you typically would have ne�t to the checkout. Councilmember Bolkcom asked, such as Miracle Grow? Mr. Robinson replied, yes. Mr. Hickok stated, yes, things like that. It would be on a shelf and would be covered to protect it from rain, etc. Besides that, any bags of fertilizers would have to be inside the store. Mr. Robinson said they understand that. Councilmember Bolkcom said as she previously discussed with him her other issue was about run-off from watering the plants. He reassured her about how the runoff would be handled. Mr. Kosluchar stated that is addressed in the stipulations. Basically they talk about the City's stormwater pollution prevention program. They would need to develop a stormwater management plan that would have to be approved by the City in order to store those kinds of materials outside. William Burns, City Manager, over the last couple of years, people have been led to believe that a project is going to happen but it does not because the financing fell apart. He asked Mr. Robinson, using a scale from 1 to 10, what are the prospects for their project happening at all. Mr. Robinson said that they are not immune to the current commercial real estate problems that will continue to plague the country for some time to come. One of the advantages they have is a new lease with Cub Foods for an e�tended period of time which is attractive even in today's environment from a financing perspective. They will need to bring additional new equity capital to the project, and they believe that it is eminently doable. This is not the project that is going to happen overnight. There are a few things that have to happen, a whole series of phasing that has to take place to get to the point before Cub can even actually start construction. They still have a lot to do on the financing end. Dr. Burns asked if they have raised any equity separate from the equity that Super Valu brings to the project. FRIDLEY CITY COUNCIL MEETING OF FEBRUARY 22, 2010 PAGE 8 Mr. Robinson said they have plus or minus $6 million of existing equity into the deal at this particular point of time. Dr. Burns stated but at the same time they need new equity to build. Is any of that equity around other than the Cub equity? Mr. Robinson not at this point in time. They have successfully raised new equity for other redevelopments they have under construction right now in Kansas City. They know what they have to build as far as the City of Fridley is concerned. They are ten days or so away from signing a letter of intent with Cub and proceeding with the lease negotiations. They hopefully will be entering into negotiations with the City about the Fridley Liquor Store. Simultaneous with that they will be working with both banks and their existing equity sources to put together a financing package that will provide the capital necessary to complete the project. Cub is bringing a significant amount of equity to the table as well. All of those pieces have to come together for them to be able to make this happen. MOTION by Councilmember Bolkcom to amend Stipulation No. 20 to read as follows: "No fertilizer shall be stored outside the store's principal building, nor shall any other garden center materials be stored outside the garden center's fenced containment area." Seconded by Councilmember Saefke. UPON A VOICE VOTE, ALL VOTING AYE, MAYOR LUND DECLARED THE MOTION CARRIED UNANIMOUSLY. MOTION by Councilmember Bolkcom to waive the reading of the ordinance and adopt the ordinance on first reading with the following stipulations: 1. The property shall be developed in accordance to the General Plan for Development Agreement, which will include the architectural plans dated and the Architectural Design and Signage Guidelines dated (This agreement shall be prepared by the petitioner and approved by staff prior to City Council review of the rezoning request.) 2. The General Plan for Development Agreement must include a three-year time limit to construction inactivity between phases until full build out of the site is complete as proposed. 3. The property shall be developed in accordance with the site plan SP.1 dated , which will incorporate the stipulations included herein and approved by staff. (Site plan shall be revised per City staff comments included in staff report prior to City Council review of the rezoning request.) 4. The building elevations and signage shall be constructed in accordance with architectural plans , dated . (Architectural elevations shall be modified to list every material to be used on each side of each of the building and architectural design and signage guidelines shall be modified per City staff's request prior to City Council review of the rezoning request.) 5. Phasing Plan shall be modified to show demolition of the entire 50 feet on the front of the building to be completed within one year of the opening of the Cub FRIDLEY CITY COUNCIL MEETING OF FEBRUARY 22, 2010 PAGE 9 Foods store and the plans and shall be redone to show modification of parking areas and installation of landscaping, signage and pedestrian connections. 6. The applicant shall obtain all necessary permits before each phase prior to construction, including but not limited to building, land alteration, sign permits. 7. The proposed project and phasing shall meet all Building code, Fire code, and ADA requirements. 8. City engineering staff to review and approve grading and drainage plan prior to issuance of building permits. 9. Landscape plan to be reviewed and approved by City Staff prior to issuance of building permit. Any dead trees on the site will need to be replaced annually. 10. Applicant of building permit applications, to pay all water and sewer connection fees prior to issuance of a building permit. 11. The subject property shall not be allowed to have telecommunication facilities or billboards constructed on it. 12. Existing light poles and fi�tures on the south side of the subject property shall be removed during Phase 1 of the proposed project or by June 15, 2010, whichever comes first. 13. Truck route serving all buildings proposed for site shall follow a one-way counter clock-wise loop entering from west entrance of site and exiting the east entrance of site; revised site plan reflecting such change to be submitted for staff approval prior to second reading of ordinance. No truck loading will be allowed on 57tn Avenue. 14. All lighting shall be no more than 3-foot candles at the property line. 15. Site Plan must be redrawn to relocate outdoor sale areas to a location off of an access drive aisle. Fence design around the outdoor sales area shall be reviewed and approved by City staff prior to issuance of a building permit for Phase 2A. If the loss of parking or snow storage space resulting from use of the outdoor sale area creates a parking shortage, the outdoor sale areas use must remain solely for parking. 16. Pedestrian crosswalks shall be clearly delineated with colored striping or colored pavement to accommodate safe pedestrian movement between the retail buildings. 17. The petitioner shall comply with any requirements set forth by the Anoka County Highway Department. 18. The petitioner shall comply with any requirements set forth by the Minnesota Department of Transportation. 19. No firework displays shall occur within the outdoor sales areas. 20. No fertilizer shall be stored outside the store's principal building, nor shall any other garden center materials be stored outside the garden center's fenced containment area. 21. Access to Holiday Station store and CVS Pharmacy shall be maintained during construction. 22. Bike racks shall be provided on site per code requirements. 23. Design detail shall be provided for the main sidewalk running north and south in the parking lot. 24. Specific areas shall be designated for snow storage and a plan shall be submitted showing those areas, prior to issuance of a building permit for Phase 1. FRIDLEY CITY COUNCIL MEETING OF FEBRUARY 22, 2010 PAGE 10 25. The petitioner shall submit a comprehensive sign plan to be attached to the General Plan for Development. 26. Applicant will have to provide a specific stormwater conveyance and treatment system plan for approval by Engineering for each development phase prior to construction commencement. An approved plan may include facilities that have not been shown on plans to date. 27. Applicant will have to provide a specific temporary and permanent erosion control plan for approval by Engineering for each development phase prior to construction commencement. An approved plan may include facilities that have not been shown on plans to date. 28. Access easements for the stormwater collection system, stormwater treatment facilities, and sanitary sewer and water systems will be provided to the City of Fridley as approved by Engineering prior to construction commencement. 29. Maintenance agreements for the stormwater collection system, stormwater treatment facilities, and sanitary sewer and water systems will be provided to the City of Fridley as approved by Engineering prior to construction commencement. 30. As part of a maintenance agreement for the stormwater collection system, a permanent SWPPP will be submitted for the site and approved by Engineering to include consideration for treatment facility maintenance, minimization of contaminated runoff from garden center areas, truck dock areas, snow storage areas, etc. This will be provided prior to construction commencement. 31. Applicant will have to provide a specific utility plan for approval by Engineering for each phase prior to construction commencement. An approved plan may include facilities that have not been shown on plans to date. Note that inclusion of restaurants, cafes, or dining areas of all types will require e�ternal grease traps approved by Engineering on respective sanitary sewer discharge lines. 32. The traffic study shall be revised to show traffic impacts to the site and surrounding road network for a restaurant use or restaurant use with a drive-thru within Retail A and Retail B. Upon completion the petitioner shall provide revised traffic data to the City, County and Mn/DOT for approvals. Seconded by Councilmember Saefke. UPON A VOICE VOTE, ALL VOTING AYE, MAYOR LUND DECLARED THE MOTION CARRIED UNANIMOUSLY. 9. Approve Tower Site Lease Agreements between the City of Fridley and Clear Wireless, LLC, for Water Tower #1, Water Tower #2 and the Marion Hills Reservoir. Mr. Kosluchar, Public Works Director, stated Clear Wireless, LLC contacted the City of Fridley some months ago in regard leasing three sites: Fridley's Water Tower #1 at Commons Park, Water Tower #2 on Highway 65, and the Marion Hills Reservoir on Johnson Street. Clear Wireless intends to construct a 4G mobile internet wireless network The goal of their network is to provide increased internet bandwidth with larger area coverage. They are requesting lease agreements for the three Fridley sites and are permitting three additional non-city sites. Clear FRIDLEY CITY COUNCIL MEETING OF FEBRUARY 22, 2010 PAGE 11 Wireless will require a panel at each site, along with a maximum of six antennas and dishes. Our standard lease rates are geared toward a minimum charge accommodating nine antennas and substantial communications shelters. We prorated this charge for six antennae/dishes and smaller communications panels. Each site would start at a rate of $1,350 per month under the draft leases. Clear Wireless would commit to a CPI adjustment with a minimum 4 percent escalator in addition to that. Modifications to our standard agreement are minimal thanks to the City Attorney. The major change is the major inclusion of the ability of Clear Wireless to delay our first payment until construction starts. Staff recommends Council's approval of the multiple leases. These are basically identical agreements. Councilmember Saefke asked whether this was part of the contemplated Anoka County wireless project. Mr. Kosluchar said he did not believe so. Councilmember Saefke asked if the County went ahead with their project, would they be seeking leases on our towers. Mr. Kosluchar replied, he did not know. They have not really discussed it although he knows Fridley towers, just because of their physical location and height, are typically in demand in this area. Councilmember Saefke asked how much room do we have left on the towers if this is granted. Mr. Kosluchar replied, Commons will have three leases, T-Mobile will be on there. We also have TTM which is a small dish, these three, and the Metro Transit which has another small dish. On Highway 65 these will be the second company there. It will be separate and there is no problem with space. On Marion Hills, there is quite a bit of space up on top. Commons is probably getting the most crowded. William Burns, City Manager, said he heard from John Tomming at the County that they are planning on completely revamping the dispatch center. He did ask if the County had any plans for cell towers for the County, and there are no immediate plans for that. Councilmember Saefke said he knows when Marion Hills was rebuilt, it was structurally designed to support additional towers and stands. He was just wondering how much more room we have on different locations. Mayor Lund asked Mr. Kosluchar if he knew what the capacity was at the Commons Park site. Mr. Kosluchar replied we do have additional space. As far as structural, part of the requirement will be for them to perform a structural analysis and make that determination, which is going to be a fairly significant task for Commons. There still is room on the top. On the rail, it is getting a little bit crowded. FRIDLEY CITY COUNCIL MEETING OF FEBRUARY 22, 2010 PAGE 12 Councilmember Saefke asked as far as future maintenance on any of these towers, when it comes to painting, etc., does the City get contributions or is that just part of the monthly rent. Mr. Kosluchar replied we do not get a contribution from the tenant for painting. The tenant, per the agreement, basically removes their equipment and reinstalls the equipment at their own cost. Councilmember Bolkcom asked about the three non-city sites. Mr. Kosluchar said these are private sites that have permits for telecommunications facilities, and they have permit requests in for those. Councilmember Bolkcom asked but that is not part of this lease agreement? Mr. Kosluchar said correct. Councilmember Bolkcom asked with respect to them not actually paying rent until they actually have them built, what in the agreement keeps them from waiting a year or two and tying up a site the City could be getting rent for. Mr. Kosluchar said the rent starts after 12 months, regardless of construction. Councilmember Bolkcom stated in the meantime, they could tie up these three sites for 12 months without the City getting any rent. Mayor Lund stated there is still space on those towers. Councilmember Bolkcom asked if this is our normal agreement. Mr. Kosluchar said he believes our normal agreement is within a date certain of being passed. He thinks it is either upon the date of the agreement or 30 or 60 days. Councilmember Bolkcom asked why it is being changed. Mr. Kosluchar said it is the one thing they requested that is a material change to the agreement. They requested a lot of things, but they ended up with this one modification. Councilmember Bolkcom asked if they gave a reason. Mr. Kosluchar said he thinks they are looking at cash flow and construction needs. Councilmember Bolkcom said she is balking a little bit because we are not holding them to something and they get a whole year to actually start paying rent. She likes the 4 percent of the cost of living. A whole year to wait on something seems a little too long to her. Someone else could come along and want those very same sites. To her they are just tying up sites all over and they have a whole year to do something about it. FRIDLEY CITY COUNCIL MEETING OF FEBRUARY 22, 2010 PAGE 13 Mayor Lund stated up to a whole year or until they start construction. Councilmember Bolkcom replied, right, but up to a whole year they cannot pay and they have tied up three sites. Everyone is fighting for these sites. Mayor Lund stated he agrees, but we do still have capacity on the sites. Councilmember Bolkcom said if they do it for this one, the ne�t person could ask for the same thing. She thinks they could negotiate something in between such as 0-6 months rather than a whole year. Councilmember Barnette stated it sounds like that was part of the negotiations. They gave a little, we gave a little, and this is what we came up with. Councilmember Bolkcom stated it is similar to the last one where we had the whole thing related to the cost of living and they wanted it bad enough. Does this agreement have to be done tonight? Could we go back to them and say we would like to negotiate six months? Mayor Lund asked if this type of equipment could be installed year-round. Mr. Kosluchar replied, he thinks most of the equipment can be installed year-round. There is some underground work with cabling, etc. MOTION by Councilmember Bolkcom to table the approval of Tower Site Lease Agreements between the City of Fridley and Clear Wireless, LLC, for Water Tower #1, Water Tower #2 and the Marion Hills Reservoir. Seconded by Councilmember Barnette. Rob Viera, Buell Consulting, Inc., stated the reason for the 12 months is because they are building out a network and building on almost 600 different sites. It is hard to determine which ones they are going to build out first. Some approvals take a long time to get done. They do not necessarily need 12 months per se. He would be willing to reduce the amount of time to 9 months. He thinks some point during this calendar year is feasible. This system is different in a sense that all these different sites have to communicate with each other. They have to have line of sight. To devise an entire network in a seven-county area and have 600 different sites makes it hard to determine where they are going to start this network and actually fill them all in. Mayor Lund asked Mr. Viera if he has the authority to change the agreements to 9 months. Mr. Viera said he does. Councilmember Bolkcom asked why 9 months versus 6 months. They have never had this before in all the agreements they have had in the past. There has never been anyone who has not started paying right away. Mr. Viera said Verizon already has a network in place. With Clear Wireless they are trying to build out this entire network They need almost 600 different sites and it is so hard to plan which FRIDLEY CITY COUNCIL MEETING OF FEBRUARY 22, 2010 PAGE 14 ones are going to get approved first, built first, and work with each other. Some of these sites are kind of moving targets, and the engineers are just constantly trying to develop this whole network They just want a little more flexibility than is typical to kind of find a good time to actually build out Fridley. Councilmember Bolkcom said they have already established these are sites they want their cell towers on. Mr. Viera stated they are going to start in one city and then move to another. Just to coordinate 600 different sites, it is difficult to find the personnel to do that in a timely fashion. To have a little flexibility is imperative for network buildout. Some of the agreements have almost two years or just commence upon construction. He thinks the 9 months will work for them. Councilmember Bolkcom asked if he is willing to start to pay in 6 months. Mr. Viera replied, the agreements are not even signed yet which is going to take a while. Councilmember Bolkcom replied but it will be 6 months after the agreement is signed. Mr. Viera said they have to get a building permit so this could put them out another few months--at least two. Councilmember Bolkcom stated no one else has ever had a problem. Mr. Viera replied, but nobody is doing what they are trying to do—build up an entire network in a fairly quick timeframe. Councilmember Bolkcom stated she would like to see this tabled and get a letter in writing from them that they are agreeing to the nine months. She is not saying that Mr. Viera cannot speak for this, but it is not an agreement between Mr. Viera and the City of Fridley. Councilmember Barnette asked if they could get this all done by the March 8 meeting. He asked Councilmember Bolkcom if that would be okay. Councilmember Bolkcom replied, yes. Mayor Lund asked Mr. Viera if a couple of weeks is going to slow them down. Mr. Viera replied, it could. They are doing several of these now. They have to get these leases done and then get building permits and try to get the whole network in place. Councilmember Bolkcom said it is two weeks. Mr. Viera stated they applied for these sites with Mr. Kosluchar back in October. They are looking at late February and to get delayed another two weeks, it is time-sensitive to get this network up and operational. FRIDLEY CITY COUNCIL MEETING OF FEBRUARY 22, 2010 PAGE 15 Councilmember Bolkcom asked why something had not been done since October. Mr. Viera stated they have been going back and forth with Mr. Kosluchar on the lease. It is difficult to say, when you are trying to develop an entire network like this and have so many different sites. They will accept 9 months, but six months would be difficult. If they say 6 months now and the leases get signed and it takes 3 months for a building permit, they would only have a few months to actually start construction. UPON A VOICE VOTE, COUNCILMEMBER BARNETTE AND COUNCILMEMBER BOLKCOM AYE, AND MAYOR LUND AND COUNCILMEMBER SAEFKE VOTING NAY, THE MAYOR DECLARED THE MOTION FAILED ON A 2 TO 2 VOTE. MOTION by Councilmember Saefke to change the time limit from 12 months to 9 months or until construction starts per agreement which will be done in writing. Seconded by Councilmember Barnette. Councilmember Bolkcom asked Mr. Kosluchar who he has been negotiating the leases with. Mr. Kosluchar replied Mr. Viera. UPON A VOICE VOTE, MAYOR LUND, COUNCILMEMBER BARNETTE AND COUNCILMEMBER SAEFKE VOTING AYE, AND COUNCILMEMBER BOLKCOM VOTING NAY, THE MAYOR DECLARED THE MOTION CARRIED ON A 3 TO 1 VOTE. MOTION by Councilmember Barnette to approve the Tower Site Lease Agreements between the City of Fridley and Clear Wireless, LLC, for Water Tower #1, Water Tower #2 and the Marion Hills Reservoir. Seconded by Councilmember Saefke. UPON A VOICE VOTE, MAYOR LUND, COUNCILMEMBER BARNETTE, AND COUNCILMEMBER SAEFKE VOTING AYE, AND COUNCILMEMBER BOLKCOM VOTING NAY, THE MAYOR DECLARED THE MOTION CARRIED ON A 3 TO 1 VOTE. 10. Resolution Authorizing the City Clerk to Withdraw the Certification of Certain Special Assessment for Street Improvement Project No. ST2008-01. James Kosluchar, Public Works Director, said the 2008 street reconstruction project was partially funded by special assessments against benefiting properties for curb and gutter. A parcel located at 6890 Channel Road was included in the assessment roll and subsequent resolution certifying the assessment. Anoka County Parks owns and operates the property. Notice was mailed to the County but it did not get forwarded to the proper person prior to the assessment hearing. Anoka County staff indicated they believe no special benefit was received by the property, and it was dedicated park land with no development allowed. FRIDLEY CITY COUNCIL MEETING OF FEBRUARY 22, 2010 PAGE 16 Mr. Kosluchar stated City staff believed at the time the project was reviewed on the initial assessment that the paved area abutting the property was intended to provide maintenance access to the property. Anoka County Park staff indicated that this is not the case, and the paved area is rather an encroachment upon park property. There is no requirement for the City to withdraw the special assessment as requested by the County in the amount of $9,182.04. It is, however, consistent with our special assessment policy to do so. Anoka County Park staff stated they are working to alleviate the encroachment that exists on their property. Staff recommends Council's approval. Councilmember Saefke asked if it was the dead end portion of Channel Road. Mr. Kosluchar replied correct. Councilmember Saefke asked what part the City assessed. Mr. Kosluchar said the City assessed the parcel based on the consideration it could be developed at the end of the road. There could be a driveway permitted onto that property and access onto that property through an easement agreement with the residential neighbor to the east. Councilmember Saefke asked what they used for footage. Mr. Kosluchar said they took the end of street. They used an area benefit method. Sometimes in cases like this, the land does not have the frontage but it would have some similar benefit to frontages of other properties. They took the common properties on the west side and applied the square footage amount onto that property. Mayor Lund said he can eliminate some of the confusion. What they see is like a converted driveway parking area that is the encroachment to the property owner to the immediate north. He actually looked at this site today to try and figure it out. The property owner was out on the street. He knows the gentleman, and he gave Mayor Lund a history of it. It is an encroachment by the property owner. He said he told the property owner he should resolve the problem and buy the property from the County where he has his driveway/parking lot. A lot of that area is encroaching on the County's property. At some point when he wants to sell his property, he may want to buy that. The owner said the County was amicable to that but made a suggestion that it would be a lot of paperwork for them to do so. He assumed by the City's assessment that meant the City did the asphalt. That improvement was made by the property owner. Mayor Lund stated was wondering why the City should give them a deal and not assess them, but he does not see where their property abuts the actual improved road. He was also wondering why that whole area did not get a cul de sac because it probably makes it difficult for the City to plow that street. He understands why the County should not be assessed. There is no benefit. Mr. Kosluchar said if this was a private parcel and the parcel had access to the roadway, it would actually be benefiting from the project. The improvement gets them to and from the property. Whether it is developed or not is up to the disposition of the property owner and, as FRIDLEY CITY COUNCIL MEETING OF FEBRUARY 22, 2010 PAGE 17 Mayor Lund said, a cul de sac could be in the future there. That is why they included them in the area of benefit. Mayor Lund asked Mr. Kosluchar if he felt the County should still be assessed. Mr. Kosluchar replied, his understanding is the land is park and cannot be developed. Mayor Lund said the County has not done anything about the encroachment. They are not pushing to correct that encroachment, although there is a stake there where they did some surveying to delineate the true property line from the property owner and the County. The County did make them move a shed that has existed according to the property owner for 25 years. Councilmember Bolkcom asked if this should be treated any different than other park encroachments. Mayor Lund replied, no. He said that he does not see, though, where the County is actually benefiting. There is no footage on the road. It does give them some accessibility but the County is not doing anything with the property. Councilmember Bolkcom said that is not the City's issue. Mayor Lund stated he does not see the benefit especially when there is no footage adjacent to the road. Mr. Kosluchar stated there are five other Anoka County properties on that project and all of those have been assessed and actually have all paid. So it is not a matter of whether it is an Anoka County property or not. Mayor Lund stated this one is not touching the road. Councilmember Bolkcom said the County needs to correct that part themselves. It seems odd that it is all totally done and now they are coming forward and saying they do not think they should have to pay for that. Mayor Lund stated he agreed. Councilmember Bolkcom asked how the County found out about it. Mayor Lund said they got the bill. He can see the County's reasons for asking it to be removed. He asked Mr. Kosluchar if there was any discussion about any improvements on that road when they were making improvements. In his presentation he said the County is working on correcting this matter with the homeowner. That is contrary to what the homeowner told him. Mr. Kosluchar stated it was his understanding that they were. FRIDLEY CITY COUNCIL MEETING OF FEBRUARY 22, 2010 PAGE 18 Mayor Lund said he told the property owner that he should really push to rectify it now rather than later. He would like the City to have some contact with them and make sure the two parties get connected. He asked where the money would come from. Mayor Lund asked where the money comes from. Mr. Kosluchar stated the project is paid for out of various accounts. We basically reimburse the street reserve fund. It would come out that street improvement fund. MOTION by Councilmember Saefke to adopt Resolution No. 2010-16. Seconded by Councilmember Bolkcom. UPON A VOICE VOTE, ALL VOTING AYE, MAYOR LUND DECLARED THE MOTION CARRIED UNANIMOUSLY. 11. Receive Bids and Award Contract for the 2009 Street Improvement Project No. ST2009-02. James Kosluchar, Public Works Director, stated the 61st Avenue Mill and Overlay Project is the rehabilitation project from Starlite Boulevard to Old Central on 61st Avenue and Moore Lake Drive. This is the project that is partially funded by ARRA (American Recovery and Reinvestment Act) stimulus funding. The workshops and hearing were held in the fall of 2009. The original project budget was $463,000. Concrete work costs increased as MnDOT required that adjacent pedestrian ramps meet ADA requirements, as this is a federally-funded project and they were talking about the adjacent ramps to every corner along the resurfacing area. They also have some additional work with street signs which are federally mandated for upgrade. Mr. Kosluchar stated there was a bid letting on December 29, 2009. The City received seven bids from $518,660.86 to $609,387.81. Northwest Asphalt of Shakopee, Minnesota, was the low bidder and they have worked in Fridley previously on several projects including the 2004 neighborhood street reconstruction and resurfacings in 2005 and 2007. Since the City has held the bid opening, it forwarded the results to MnDOT which has done reviews for concurrence due to the federal dollars involved. Northwest Asphalt received their disadvantaged business enterprise goal certification by MnDOT's civil rights office, and the civil rights office notified the City of Fridley last week that it can award to Northwest Asphalt. Mr. Kosluchar stated, looking at the bids received, staff did a reanalysis of special assessments that are still in line for the project at approximately $1,400. The lowest asphalt price notably was provided by Northwest Asphalt. Staff wanted to make sure it was not imbalanced and would not create an issue with the assessment. Mr. Kosluchar stated the project, if awarded, would require an additional State Aid contribution of $78,800 for the added project elements they talked about before. Staff recommends the award of this project. The ne�t steps would be for staff to continue to process paperwork required by the delegated contract process with the various MnDOT offices, MnDOT establishes a FRIDLEY CITY COUNCIL MEETING OF FEBRUARY 22, 2010 PAGE 19 reimbursement with FHWA, the City holds a preconstruction meeting, citizen notifications would come out, and construction would begin. Councilmember Bolkcom stated the $78,800 of additional mandates by the federal government to get the federal funds is unbelievable. The $1,400 assessment is for the property owners but the commercial property is still being assessed at that high rate. Mr. Kosluchar replied correct. They calculated both and reviewed both with the bids received, and they are both in line with what they projected. Mayor Lund stated it was estimated at $1,500 but usually those are a little on the high side. Councilmember Bolkcom asked what was so special about the street signs. Does this mean that all of the City's street signs are mandated to meet federal retro reflectivity standards by 2015? Mr. Kosluchar replied correct. It is a federal requirement. William Burns, City Manager, stated money is budgeted for those signs in this year's budget. He asked why could the City not use that money rather than pull new MSAS money? Mr. Kosluchar replied that is a possibility. The complication is staff has budgeted the program to include our own workers so we are only paying for materials. In this case, we are bidding for the purchase and installation of the signs. They could look at the possibility of a deduction off the budgeted amount, therefore saving some of the MSAS dollars. Dr. Burns asked whether it would complicate the contract with Northwest Asphalt. Mayor Lund stated in any case with this added increase for the signage, it does not mean that the residents who are going to be assessed will be paying for it. Dr. Burns replied no. Mr. Kosluchar said nor the curb ramping or the concrete berm. MOTION by Councilmember Bolkcom to receive the bids and award the contract for the 2009 Street Improvement Project No. ST2009-02 to Northwest Asphalt, Inc., of Shakopee, Minnesota, in the amount of $518,660.86. Seconded by Councilmember Saefke. UPON A VOICE VOTE, ALL VOTING AYE, MAYOR LUND DECLARED THE MOTION CARRIED UNANIMOUSLY. 12. Approve Joint Powers Agreement between the City of Fridley and the County of Anoka for Roadway Improvements of CSAH 6(Mississippi Street NE and Rice Creek Road NE) and County Road 106 (Mississippi Street NE). FRIDLEY CITY COUNCIL MEETING OF FEBRUARY 22, 2010 PAGE 20 Mr. Kosluchar stated in 2009, the City of Fridley requested that Anoka County accelerate the resurfacing of Mississippi Street and Rice Creek Road. Anoka County agreed with the concept and asked that a draft agreement be prepared. The City and Anoka County worked out this agreement and, according to the attached Joint Powers Agreement, the estimated cost of roughly $330,000 for the County's mill and overlay work would be reimbursed to the City. The City will bid out the project with its 2010 street project, with the idea that there is economy to both projects by doing so and increasing the quantity. In addition, the City of Fridley would be reimbursed for contract administration costs of 8 percent for any construction. Councilmember Bolkcom asked if the 8 percent for contract administration costs covers the costs. Mr. Kosluchar replied it probably more than covers the costs. Our contract administration costs on this type of work are typically around 4 to 5 percent for this type of project. Councilmember Bolkcom asked if there are overruns in their portion of this and change orders are we still protected with the joint powers agreement. Mr. Kosluchar replied yes. Councilmember Bolkcom asked with this agreement if something should come up, he would just go back to one of their engineers and have that change order approved. Mr. Kosluchar replied on a material change, yes. MOTION by Councilmember Barnette to approve the Joint Powers Agreement between the City of Fridley and the County of Anoka for Roadway Improvements of CSAH 6(Mississippi Street NE and Rice Creek Road NE) and County Road 106 (Mississippi Street NE). Seconded by Councilmember Bolkcom. UPON A VOICE VOTE, ALL VOTING AYE, MAYOR LUND DECLARED THE MOTION CARRIED UNANIMOUSLY. 3. Approve Change Order No. 4 for 2008 Street Improvement Project No. ST2008-01. Councilmember Bolkcom asked about boulevard branches and whether Public Works could have taken care of that. Mr. Kosluchar said he believes Public Works crews did the majority of the work. He is not sure if this is related to stump removal or additional branches that needed to be removed after the fact because of the utility relocations. The Public Works crew did some brushing and clearing there to save some dollars for us. Mayor Lund asked if the final estimate for Midwest Asphalt was for the same project. FRIDLEY CITY COUNCIL MEETING OF FEBRUARY 22, 2010 PAGE 21 Mr. Kosluchar said it is included there. Usually that is delayed two weeks from when the change order is approved. Mr. Kosluchar stated this is the final change order on this project, and Midwest was very good to work with on this project. They had a total of 2 percent change orders on this project and the project final cost is 2.16 percent less than the actual contract cost. He thinks it is important to note that both Midwest and staff worked together to maintain costs. MOTION by Councilmember Bolkcom to approve Change Order No. 4 for 2008 Street Improvement Project No. ST2008-01. Seconded by Councilmember Barnette. 4. Approve Joint and Cooperative Agreement for the Formation and Administration of the Anoka-Hennepin Narcotics and Violent Crimes Task Force. Councilmember Bolkcom said under Section 1 of the contract, it says this agreement for the Task Force Operation shall be in effect from January 1, 2009. She asked why it was coming to them now. She asked if Dr. Burns could get that answered for her. Councilmember Bolkcom said in the agreement it says the Task Force shall lease up to one vehicle for each officer, but the fuel, insurance, and maintenance costs all get billed to the City. She asked how that worked. William Burns, City Manager, said he does not know exactly how that process works. He does know they spend about $5,500 a year towards the Task Force expenses. Mayor Lund asked Councilmember Bolkcom whether she is asking if the City is paying for the fuel here and using our mechanic or if we were paying for them to do it somewhere else. Councilmember Bolkcom replied right. She thought leasing a vehicle for a year would be costly. Councilmember Saefke replied the Task Force itself is doing the leasing. The City is responsible for routine maintenance, such as brakes and tires, fuel and oil changes, etc. If there is anything major, the Task Force pays for the major repairs which should be covered under the terms of the lease. As far as the timing of this, he thinks it was mentioned that Brooklyn Park and Brooklyn Center no longer belong to it, but under the section on membership, they have deleted those and added Columbia Heights so that might be part of the timing of this particular agreement. Dr. Burns stated those are the only changes as he understands it in a long-standing agreement that has been around since 1996. Councilmember Bolkcom stated but why is it not a whole new agreement saying that it is starting from this date then if we are approving a new change. FRIDLEY CITY COUNCIL MEETING OF FEBRUARY 22, 2010 PAGE 22 Mayor Lund stated he thought it would look better if they had something showing what is existing and what is new. Councilmember Bolkcom asked whether they passed something in January of 2009. Dr. Burns replied they did not. It is his understanding that the last one was passed in 2001. Councilmember Bolkcom said it has been in existence supposedly since January 1, 2009, and we are just getting around to looking at it. Mayor Lund stated he thinks all that really was needed was the information that highlighted the actual changes. Councilmember Bolkcom asked if most of the City's joint power agreements are approved or renewed every year. Dr. Burns said no, not every year. For example, we have the joint powers agreement for the fire training site that we have not seen in five or six years. Councilmember Bolkcom asked if they should be looking at them closer. She said they talked about how this was so much clearer than the Hennepin County one. Then they see an agreement that has been in existence since 2001. This agreement been in existence since January 2009 and is over a year old. Dr. Burns stated he will have to ask him why that is like that. Councilmember Bolkcom said it seems a little after the fact. Councilmember Barnette referred to the section of the agreement which talks about the administration, and that the commander will be assisted by the sergeant assigned to the Task Force by the Fridley Police. Has this been in existence since 2001? Dr. Burns said that happened in 2009. Councilmember Barnette stated he is 100 percent for this but asked if we currently had two open positions on our police force unfilled. Somewhere we need to come up with some money to fill those positions. Dr. Burns stated we belong to two task forces--this local task force which is a county-centered one and the Federal DEA Task Force. As they are looking at budget choices for 2011, he thinks they are going to have to look at the DEA Task Force membership. He thinks this one is the higher priority. Councilmember Barnette asked but that is new that the sergeant will be from Fridley. Dr. Burns replied correct. That person is running the day-to-day operations of the task force. FRIDLEY CITY COUNCIL MEETING OF FEBRUARY 22, 2010 PAGE 23 Councilmember Saefke stated this is an example of many communities working together for one purpose. Wherever it is possible, we do try to work together to accomplish a mission. No individual city that belongs to this could afford to do that on its own and protect its citizens and clean up its streets. However, working together we can. It still costs money, but it is a real benefit to the local communities to have these able people to take care of this for us. MOTION by Councilmember Bolkcom to approve the Joint and Cooperative Agreement for the Formation and Administration of the Anoka-Hennepin Narcotics and Violent Crimes Task Force. Seconded by Councilmember Saefke. UPON A VOICE VOTE, ALL VOTING AYE, MAYOR LUND DECLARED THE MOTION CARRIED UNANIMOUSLY. 13. Informal Status Report. There were no informal status reports. ADJOURN. MOTION by Councilmember Barnette, seconded by Saefke, to adjourn. UPON A VOICE VOTE, ALL VOTING AYE, MAYOR LUND DECLARED THE MEETING ADJOURNED AT 9:14 P.M. Respectfully submitted by, Denise M. Johnson Scott J. Lund Recording Secretary Mayor