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10/25/2010 - 31331CITY COUNCIL MEETING CITY OF FRIDLEY OCTOBER 25, 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-at-Large Barnette Councilmember Saefke Councilmember Varichak Councilmember Bolkcom OTHERS PRESENT: William Burns, City Manager Fritz Knaak, City Attorney Scott Hickok, Community Development Director Julie Jones, Planning Manager Alan Folie, Acting Finance Director Layne Otteson, Assistant Public Works Director Joann Zmuda, 6051 4th Street Don Anderson, 7304 West Circle NE Mary Jucick, 1643 Briardale Road NE Robert Melle, 1613 Briardale Road Richard Harris, 6200 Riverview Terrace Dennis Lindboe, 6045 McKinley Street PROCLAMATIONS: Homeless Awareness Month: November, 2010 APPROVAL OF PROPOSED CONSENT AGENDA: APPROVAL OF MINUTES: City Council Meeting Minutes of October 11, 2010. APPROVED. OLD BUSINESS: 1. Approve Agreement for Residential Recycling Program between the City of Fridley and County of Anoka (Tabled October 11, 2010). FRIDLEY CITY COUNCIL MEETING OF OCTOBER 25, 2010 PAGE 2 William Burns, City Manager, said this item was tabled at the last meeting. Staff has since determined that the agreement is for 2010. The item should have been addressed earlier in the year, but was not due to staff error. The contract remains the same from year to year with the exception of the identification of per household SCORE funding from Anoka County. Staff recommends Council's approval. THIS ITEM WAS REMOVED FROM THE CONSENT AGENDA AND PLACED ON THE REGULAR AGENDA. NEW BUSINESS: 2. Appointment — Director of Finance/City Treasurer William Burns, City Manager, said staff recommends the appointment of Darin Nelson to the position of Finance Director effective November 15, 2010. Darin has served as the Assistant Finance Director for the City of Minnetonka since 2005. He has also worked for the State Auditor's Office for more than eight years. Dr. Burns said that Darin holds a Masters Degree in Public and Non-Profit Administration from Metro State University and a B. S. Degree in Accounting from Minnesota State University in Moorhead, Minnesota. Darin has a CPA license and is an active member and Program Committee Chair of the Minnesota Government Finance Officers Association. Staff recommends Council's approval. APPROVED. 3. Claims. APPROVED CLAIMS 148166 — 148316. 4. Licenses. APPROVED THE LICENSES AS SUBMITTED AND AS ON FILE. 5. Estimates. Valley Paving 8800 — 13th Avenue East Shakopee, MN 55379 2010 Street Rehabilitation Project No. ST2010-01 Estimate No. 4 ... ... ... ... ... ... ... ... ... ... ... ... ... ... ... ... ... ... ... ... ... ... ... ... $150,242.02 THIS ITEM WAS REMOVED FROM THE CONSENT AGENDA AND PLACED ON THE REGULAR AGENDA. FRIDLEY CITY COUNCIL MEETING OF OCTOBER 25, 2010 PAGE 3 ADOPTION OF AGENDA: Councilmember Bolkcom asked to remove Item Nos. 1 and 5 from the Consent Agenda. MOTION by Councilmember Barnette to approve the Consent Agenda with the removal of Item Nos. 1 and 5. Seconded by Councilmember Varichak. UPON A VOICE VOTE, ALL VOTING AYE, MAYOR LUND DECLARED THE MOTION CARRIED UNANIMOUSLY. MOTION by Councilmember Bolkcom to adopt the Agenda with the addition of Item Nos. 1 and 5. Seconded by Councilmember Saefke. UPON A VOICE VOTE, ALL VOTING AYE, MAYOR LUND DECLARED THE MOTION CARRIED UNANIMOUSLY. OPEN FORUM: Joann Zmuda, 6051 4th street, asked about an item from the last meeting under Claims. Check No. 147971 for $16,801.94 was paid to Triland Properties. She asked for more detailed information on this payment. Mayor Lund said staff would research this and get back to Ms. Zmuda. William Burns, City Manager, said the payment could be for the lease payment. Councilmember Bolkcom said she recalled asking a similar question at the last meeting and was told it was related to the lease because Triland owns that property. Don Anderson, 7304 west Circle NE, said trains are still going by and blowing their horns in the quiet zone. Mayor Lund said sometimes the conductor has the right to blow the horn if he sees someone or something on the tracks. For safety reasons, they will sound the horn regardless of the quiet zone. Councilmember Saefke reminded residents who are unable to vote on November 2 that they can still pick up an absentee ballot. Come to City Hall anytime through November lst and pick up an absentee ballot or call the City and one will be mailed to you. PUBLIC HEARINGS: 6. Consideration of Off-Sale 3.2% Malt Liquor License for Northern Tier Retail, LLC, d/b/a Super America, for Three Stores Located at 5667 University Avenue 7299 Highway 65, and 7449 East River Road. FRIDLEY CITY COUNCIL MEETING OF OCTOBER 25, 2010 PAGE 4 MOTION by Councilmember Saefke to waive the reading of the public hearing notice and open the public hearing. Seconded by Councilmember Bolkcom. UPON A VOICE VOTE, ALL VOTING AYE, MAYOR LUND DECLARED THE MOTION CARRIED UNANIMOUSLY AND THE PUBLIC HEARING OPENED AT 7:45 P.M. Debra Skogen, City Clerk, said the current SuperAmerica Stores are owned by Marathon Oil as corporate stores. Marathon Oil Corporation is in process of selling most of its Minnesota downstream assets. The sale is being financed with Realty Income Corporation who will sell or lease back the property to Northern Tier Retail LLC. Staff provided a copy of the City Code pertaining to off-sale 3.2% malt liquor with the application to SuperAmerica's legal counsel. Ms. Skogen said staff received their application on September 22. SuperAmerica did request the 2:00 a.m. late night and holiday endorsement. The new owners are retaining the current staff and managers. The Public Safety Department has reviewed the application and found no reason to deny the request. Ms. Skogen said the Notice of Public Hearing was published in the Fridley Sun-Focus on October 18 and mailed to their attorney. The final approval for the license is currently scheduled for November 8. Cassie Myhro, Associate of the firm Faegre & Benson LLP, is here tonight representing SuperAmerica. Staff recommends the City Council hold the public hearing on the transfer of the liquor license. Councilmember Bolkcom asked if by applying for the late holiday endorsement anything special needed to be done or if they just have to pay the additional fee. Ms. Skogen said they would just pay the additional fee. Councilmember Bolkcom asked if any additional public hearings would need to be held because of the late holiday endorsement request. Ms. Skogen answered no, staff just wanted to include that information for Council. MOTION by Councilmember Barnette to close the public hearing. Seconded by Councilmember Saefke. UPON A VOICE VOTE, ALL VOTING AYE, MAYOR LUND DECLARED THE MOTION CARRIED UNANIMOUSLY AND THE PUBLIC HEARING CLOSED AT 7:48 P.M. 7. Consideration of the Assessment for Street Improvement Project No. ST. 2008-01A. MOTION by Councilmember Barnette to waive the reading of the public hearing notice and open the public hearing. Seconded by Councilmember Bolkcom. FRIDLEY CITY COUNCIL MEETING OF OCTOBER 25, 2010 PAGE 5 UPON A VOICE VOTE, ALL VOTING AYE, MAYOR LUND DECLARED THE MOTION CARRIED UNANIMOUSLY AND THE PUBLIC HEARING OPENED AT 7:49 P.M. Alan Folie, Acting Finance Director, said this project assessment pertains to the concrete curb and gutter portion of the 2008-01A Project on Siverts Lane. The total number of properties to be assessed is four, with a total assessed cost of $7,874.98. This assessment for is for 10 years at a rate of 6 1/2% interest. Staff recommends the public hearing be opened for public comment. The resolution adopting the assessment follows under new business. Councilmember Bolkcom asked if the assessment is paid within 30 days of the assessment, there would be no interest and the amount would not be added to the taxes. Mr. Folie said correct. If this is approved tonight the homeowner has 30 days to pay interest fee. If homeowners want the assessment to be added to their property taxes it will go on the 2011 taxes and interest would begin today. Mayor Lund said he has driven through the area and there still seems to be some issues with the sod/seed on the east side toward the cul-de-sac area. Layne Otteson, Assistant Public Works Director, said a resident was trying to establish a wild flower garden in that area. Staff was preparing the area for wildflower seed and the first attempt did not work. The area has been re-graded and mesh has been installed so the wild flowers can be re-seeded. This may take a few years to establish and the area will take some maintenance until the seeds germinate. Mayor Lund asked when the mesh was put down. Mr. Otteson said he thought the mesh was put down in July and the seed would have been spread after that. Staff will continue to work with the homeowner. Mayor Lund asked if there was clear documentation that this was the responsibility of the homeowner. Mr. Otteson said staff made it clear to the homeowner the City will assist with preparation of the soil and turf erosion control. The establishment of vegetation and maintenance would be the responsibility of the homeowner. Mayor Lund asked if any of this information was in writing. Mr. Otteson said there are emails and a verbal agreement. Councilmember Bolkcom said sod and grass have been an ongoing problem. She asked if the specifications were noted to use fresh soil. FRIDLEY CITY COUNCIL MEETING OF OCTOBER 25, 2010 PAGE 6 Mr. Otteson said in 2006, the specifications were changed so the sod mix had to have more organic material which is more conducive to grow sod. Contractors are able to meet these expectations and a sample of soil is requested from the contractor to make sure it is darker in color and has an organic smell. MOTION by Councilmember Bolkcom to close 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 CLOSED AT 8:00 P.M. 8. Consideration of the Assessment for Street Improvement Project No. 2009-02. MOTION by Councilmember Saefke to waive the reading of the public hearing notice and open the public hearing. Seconded by Councilmember Bolkcom. UPON A VOICE VOTE, ALL VOTING AYE, MAYOR LUND DECLARED THE MOTION CARRIED UNANIMOUSLY AND THE PUBLIC HEARING OPENED AT 8:00 P.M. Alan Folie, Acting Finance Director, said this project assessment pertains to the mill and overlay of 61st Avenue and West Moore Lake Drive. The total number of properties is 32, with a total assessed cost of $159,836.40. The assessment for is 10 years at a 6 1/2% interest rate. Staff recommends the public hearing be opened for public comment. The resolution adopting the assessment follows under new business. Councilmember Bolkcom asked if this assessment was similar to Item No. 7. Mr. Folie answered yes. MOTION by Councilmember Barnette to close the public hearing. Seconded by Councilmember Bolkcom. UPON A VOICE VOTE, ALL VOTING AYE, MAYOR LUND DECLARED THE MOTION CARRIED UNANIMOUSLY AND THE PUBLIC HEARING CLOSED AT 8:02P.M. 9. Consideration of the Assessment for Street Improvement Project No. 2010-01. MOTION by Councilmember Bolkcom to waive the reading of the public hearing notice and open the public hearing. Seconded by Councilmember Saefke. UPON A VOICE VOTE, ALL VOTING AYE, MAYOR LUND DECLARED THE MOTION CARRIED UNANIMOUSLY AND THE PUBLIC HEARING OPENED AT 8:03 P.M. FRIDLEY CITY COUNCIL MEETING OF OCTOBER 25, 2010 PAGE 7 Alan Folie, Acting Finance Director, said this project assessment pertains to the scattered mill and overlay of City streets. The total number of properties is 288, with a total assessed cost of $410,412.17. The assessment for is 10 years at a 6 1/2% interest rate. Staff recommends the public hearing be opened for public comment. The resolution adopting the assessment follows under new business. Councilmember Bolkcom said at the pre-meeting information was distributed and one assessment on page 45 should not be included. Mr. Folie said correct. It should not have been assessed based on the assessment policy; for that reason it is being removed. Mary Jucick, 1643 Briardale Road NE, said she and several neighbors are not happy about the quality of roads being put in. They did a terrible j ob. A few weeks ago the contractor was even working at night and they called the City and asked what time they were allowed to work on the street. She recently had company from out of town and her company asked if they were getting new streets. She had to answer that the street was new. She hopes something is done to resolve the quality of the streets before they are assessed. Mayor Lund said they have received several complaints and did inform the contractor about the late night working; that is against City policy. The City is withholding money from the contractor until a resolution is reached. Councilmember Bolkcom added payment for this contractor was pulled from the agenda for further discussion. Council and staff have seen the quality of their work and it is not good. Ms. Jucick asked if a large company did the work. Mayor Lund answered yes. Council will try to get some kind of resolution. The assessment may not change, but Council will get the quality job that was expected. Councilmember Varichak said she has also been approached about the poor quality so it is not just in her neighborhood. Many people are not satisfied with the work. Mayor Lund said the contractor did work in another section of the City earlier this year and the workmanship was better. Ms. Jucick asked if the contractor was under a tight time line and that was why they rushed through the area. Mayor Lund did not know but reassured her that Council would do their best to get a quality road in that area. Ms. Jucick said the neighbors who could not be at the meeting sent letters to staff. FRIDLEY CITY COUNCIL MEETING OF OCTOBER 25, 2010 PAGE 8 Councilmember Bolkcom said the City wants to hear from people who are not happy with their street. Residents who are not happy can call the Public Works Department or send a letter. Robert Melle, 1613 Briardale Road, said that he was dissatisfied with the quality of work The roads did not seem to stand up to specifications. There were rough surfaces in putting two roads together. Ripples can be seen in the road especially where water is standing, and there are big center crevices which is e�tremely dangerous for motorcycle drivers. He did not understand why homeowners would be assessed now. The contractor should not be paid until a quality job is done. Mayor Lund said if the City did not assess the homeowners they would have to wait an entire year for payment. He did not think payment could be withheld from the contractor for an entire year. The City could hold payment to the contractor until quality service is received. Mr. Melle asked how much payment is held from the contractor. Mayor Lund said $150,000 or 5%. Mr. Melle did not think that 5% is enough, especially if the job cannot be completed until ne�t spring. He asked if there was a penalty if the contractor is not done on time. Councilmember Bolkcom said that the hold back is more than 5%. She added that the contractor is also assessed for every day the project is not done on time. Mr. Otteson said there is a completion deadline to encourage work to be done on time. Every day a liquidated damage is assessed based on the size of the contract. If the contractor decides not to complete the work, the contract will be cut off and the City will complete the work and back bill the contractor. Mr. Melle asked if liquidating damages would be applied to the assessment. Mayor Lund said that everyone is assessed the smaller amount. In the event the contractor did not complete the project on time, it would probably go to another contractor. Mr. Melle asked if the City had an estimate on what it would cost to repair the street if another contractor comes in. Mayor Lund said that information is premature, as staff is still obligated to work with the hired contractor. Mr. Melle asked if the contractor has acknowledged the poor quality. Mr. Otteson said most of the work is fine and staff is in disagreement with the contractor. As staff works towards a resolution, they will do a street finish test. Mr. Melle asked if his street had been tested. FRIDLEY CITY COUNCIL MEETING OF OCTOBER 25, 2010 PAGE 9 Mr. Otteson said that the segregation test is a difficult test to administer. Before the test is done, staff plans to have a discussion with the contractor and hopes to find a resolution as the test is expensive to process. The City relies on MnDOT specifications and a larger rock is being used. The contractor has to have better workmanship when using the larger rocks and many contractors struggle using this larger rock mix. Staff has seen better results than what is being done. This mix is required by the state and is difficult to work with. The road should tighten up after cars drive on it. Contractors are allowed'/4 inch unevenness. Councilmember Bolkcom said that '/4 inch did not seem like very much. She asked if this is different asphalt that is being used for this project. Mr. Otteson said that the State of MN required this asphalt to be used a year ago. In doing so, contractors are working with pavement that is harder to work with. This will last longer because it has a lot of rock in it but it doesn't look as nice. The mix with a smaller rock will look nicer but will not last as long. Councilmember Bolkcom asked what makes the road heave. Mr. Otteson said when pavement is laid against existing pavement, it makes it a little higher. It will eventually squish down and overlap. This requires good equipment, workmanship and understanding. This did not happen which is why we are having the problems. Mr. Melle asked if there was a resolution to take care of this problem. Mr. Otteson said areas can be heated up and rolled over again. This process would get the street within project specifications but there will be a darker area on the street where this is done. Councilmember Varichak asked how the street is heated up. Mr. Otteson said they use a torch, get the oil hot until it becomes pliable and then use a heavy roller across the road. This will not look nice; the area will stand out but will be functional. After a few years the discoloration will fade and slowly disappear. Councilmember Bolkcom said the roads do not look good. She suggested grading the road and starting all over. Mayor Lund asked what the minimal pitch requirements were under the contract. Mr. Otteson said that the specification is 2% max of 2'/z feet. Staff will look at the areas and see what needs to be corrected. Mayor Lund said there seems to be an unusual amount of complaints from this project and they seem to be warranted. Staff needs to make sure this project is up to City standards in all areas. Mr. Melle said the specifications are there for a reason. FRIDLEY CITY COUNCIL MEETING OF OCTOBER 25, 2010 PAGE 10 Mayor Lund said the contractor says the work meets specifications. This is why the City holds back money. Mr. Melle said more money should be held back to make contractors accountable. Mayor Lund said staff will look to see if 5% is enough to get them to perform. Staff has to be careful not to hold more than what is legal. The City may end up hiring another contractor to finish this job and then bill back the contractor. First the contractor has to have an opportunity to perform and fix what is not up to specifications. Mr. Melle said it is getting late in the season to finish this up. Mayor Lund agreed and the corrections may not be done till spring. William Burns, City Manager, asked how much time was left to finish this project. Mr. Otteson said to have a good paving job it may be best to wait until May. The 5% hold back is standard across the cities. If that amount is raised, the contractor will not bid the project or will add in additional costs. Mr. Melle asked if liquidating damages were built into contract. Mr. Otteson answered yes. The contractors look at that and raise the assessment. The City provides a generous schedule. The contractor had all summer to do this mill and overlay project. There is a penalty for being late. Councilmember Bolkcom asked if changes were done to the project that caused the contractor not to finish on time. Mr. Otteson said a little work was added to the project, but if you look at amount of work it may have added five days maximum; not 60 days. When a project goes beyond completion date, the contractor is charged $600 per day. Mr. Melle asked about the landscaping and if any correction will be done with that throughout the neighborhood. Mr. Otteson said the landscaping is under warranty. The performance requires 80% germination of the seed. Seed will need to grow in the spring to establish itself. If it does not the contractor will be back to reseed. If the contractor does not reseed, the City will hire someone else and bill the contractor. Richard Harris, 6200 Riverview Terrace, asked what was done with his street. Mr. Otteson said the street was taken down to the sand and 2" was paved back in. FRIDLEY CITY COUNCIL MEETING OF OCTOBER 25, 2010 PAGE 11 Mr. Harris said that the original streets were not the best and he hopes the street is put in right this time. He asked if a 2" overlay is enough for the heavy traffic on his street. Mr. Otteson said he is talking about the structure of the pavement. The street is built stronger than what was there before and the new street will outlast the previous street because a bigger rock mix was used. Mayor Lund asked if this creates a better base. Mr. Otteson answered yes. Mr. Harris asked for an explanation of MN Statute 435.193 and 195 for residents older than 65 years old. Mr. Folie said there is a deferral opportunity for seniors that meet the criteria. The assessment must exceed 1% of the adjusted gross income of property and the first installment would be the largest installment. The household income needs to be below the very low income guidelines. The amount varies from a household size of one -$29,400, to a household size of 8-$55,450. Councilmember Bolkcom suggested Mr. Harris have his neighbors call Mr. Folie to discuss these numbers. Mr. Harris asked if this applies to seniors and disabled persons. Mr. Folie said correct. Mr. Harris said last fall, general improvement bonds were sold for street improvements and sewer and water projects. The rate of the bond sale was 2.83%. Mr. Folie said there is a varying interest rate between 2.5 to 3%. Mr. Harris said the City is charging 6.5% to the homeowner on any unpaid balance. He asked where the difference goes. Mr. Folie said the City's investments earn less than 1%. If everyone prepaid, the City would earn 1%. It is difficult to pay back a bond at 2.5 to 3%. Mr. Harris asked about sewer and water lines and if contractors are putting new streets over old infrastructure. Mayor Lund said sewer mains have been inspected prior to the project because the City does not want to have to tear up the street again. Mr. Harris said he wanted to make sure the City was paying attention to the sewer and water mains when large projects like this are done. FRIDLEY CITY COUNCIL MEETING OF OCTOBER 25, 2010 PAGE 12 Dr. Burns said the Public Works Department offers to televise the laterals and look for problems that can be fixed before the project begins. The City does it free of charge. The cost of replacing 130 miles of water and sewer line in Fridley would be overwhelming. The City has been replacing sewer mains along the way where necessary. Dennis Lindboe, 6045 McKinley Street, said he has been working with Layne Otteson on something that changed on McKinley. The biggest concern is the improvement that was made on 61st Avenue. It is not acceptable to a majority of the homeowners on McKinley and was not proposed to the homeowners at the public hearings. He used to own a sports car and with the street change his car was bottoming out. He had to sell the car. He does not think anyone should be assessed until this issue is resolved. Mayor Lund asked if this had to do with the change that was made regarding the drainage problem. Mr. Otteson said correct. The way the road was built years ago, water came down McKinley and drained across the road to the north. The north curb line on 61st Avenue was taking the water from McKinley and west of 61st Avenue to one curb line and that is not a proper way to have a road drain. Feedback was received from residents and some feedback addressed this drainage issue. The area was surveyed and a valley gutter was installed. The other option was to extend the sewer and assess the home owners. Mayor Lund said it sounds like the valley gutter affected homes. Mr. Lindboe said yes, the valley gutter is very uneven and not safe to drive on. Mr. Otteson said that the bottom out area is at 61st Avenue and McKinley. Dr. Burns said staff tested the bottoming out this afternoon. Councilmember Bolkcom asked if staff informed residents of this change. Mr. Otteson showed photographs of a sports car and there is low ground clearance. Staff measured the clearance. The vehicle cleared but it was very close. Mr. Lindboe said his point was he bought a car before the road was done. When the configuration of the road changed, he could not drive the car on the road and had to sell the car. Mr. Otteson said all valley gutters have MnDOT codes to meet, and this example achieves one- half standard details. Councilmember Saefke asked if residents would be happier if they were assessed for new sewers. The valley gutter is acceptable to correct a nonstandard drainage problem that preexisted. Mr. Lindboe asked why these issues were not brought to the homeowners' attention. FRIDLEY CITY COUNCIL MEETING OF OCTOBER 25, 2010 PAGE 13 Councilmember Bolkcom said it is no different than not knowing about special assessments on the home prior to purchase. It is not the City's responsibility as they addressed the problem, but it did change the street. She asked if any residents were made aware of this change. Mr. Otteson said this was a staff decision. The street meets City standards and some property owners feel that it is a significant change. Councilmember Varichak asked if decisions like this have been made on other projects in the past. Dr. Burns said storm water changes have been made before. Every project has storm water changes. Councilmember Saefke said when two valley gutters cross, residents know it is there and need to drive accordingly. Mr. Lindboe said he moved in four years ago and this issue is bigger than just the road changing. No one was notified. Mayor Lund said staff is trying to correct the problem and make changes if necessary. According to Mr. Otteson, this valley gutter does meet specifications and is less than the max that is allowed. Mr. Otteson said staff looked at the grade of the street with a level and tape and reviewed the requirements for a slope. This is within standard limits. Mr. Lindboe said currently there is a huge lip on the edge of his driveway. The City will meet the specification and fix a 3/4" lip on his driveway but not a 2" heave in the valley gutter. Before he moved into his home he asked the City if there were any drainage or sewage issues with the street and the City sent a letter to him saying there were no issues. Councilmember Bolkcom said that she has heard from property owners that there were drainage issues. Mr. Lindboe said he knew from the beginning the street was built wrong. Councilmember Bolkcom said the City did change the nature of the roadway, but it was done to correct a drainage issue. She thought that a letter should have been sent out saying there was going to be a change. This was poor communication on our part and some of this could have been prevented. Mr. Otteson said that the elevation was established and that is what was needed to improve the drainage. Dr. Burns asked if there were any other complaints. FRIDLEY CITY COUNCIL MEETING OF OCTOBER 25, 2010 PAGE 14 Mr. Otteson said he has not received any complaints but maybe Jim Kosluchar has. Councilmember Bolkcom asked if the driveway issue was being addressed. Mr. Lindboe answered yes. MOTION by Councilmember Varichak to move into record an email from Wayne and Maria Linblad, 1421 Kerry Circle. Seconded by Councilmember Bolkcom. UPON A VOICE VOTE, ALL VOTING AYE, MAYOR LUND DECLARED THE MOTION CARRIED UNANIMOUSLY MOTION by Councilmember Barnette to close the public hearing. Seconded by Councilmember Saefke. UPON A VOICE VOTE, ALL VOTING AYE, MAYOR LUND DECLARED THE MOTION CARRIED UNANIMOUSLY AND THE PUBLIC HEARING CLOSED AT 9:34 PM 10. Consideration of the Assessment for the 2010 Nuisance Abatements. MOTION by Councilmember Bolkcom to waive the reading of the public hearing notice and open the public hearing. Seconded by Councilmember Saefke. UPON A VOICE VOTE, ALL VOTING AYE, MAYOR LUND DECLARED THE MOTION CARRIED UNANIMOUSLY AND THE PUBLIC HEARING OPENED AT 9:35 PM Alan Folie, Acting Finance Director, said this is the annual assessment for those properties in which continuing code violations existed and the City expended resources to bring the properties into compliance. Thirty-seven properties are involved in this assessment, for a total amount of $29,752.51. The assessment will be for one year at a 6 1/2 % interest rate. Staff recommends opening the public hearing for public comment. The resolution adopting the assessment follows under new business. MOTION by Councilmember Bolkcom to move into record a letter from Frank Diagle, 14252 SSth Street. Seconded by Councilmember Saefke. UPON A VOICE VOTE, ALL VOTING AYE, MAYOR LUND DECLARED THE MOTION CARRIED UNANIMOUSLY. MOTION by Councilmember Bolkcom to move into record a memorandum from the Community Development Director related to Donald Findell's code enforcement activity. Seconded by Councilmember Varichak. FRIDLEY CITY COUNCIL MEETING OF OCTOBER 25, 2010 PAGE 15 UPON A VOICE VOTE, ALL VOTING AYE, MAYOR LUND DECLARED THE MOTION CARRIED UNANIMOUSLY. MOTION by Councilmember Bolkcom to move into record a proposed memorandum dated October 18, 2010, from the Community Development Department. Seconded by Councilmember Barnette. UPON A VOICE VOTE, ALL VOTING AYE, MAYOR LUND DECLARED THE MOTION CARRIED UNANIMOUSLY Scott Hickok, Community Development Director, said Mr. Daigle owns property in the Riverview Heights neighborhood--two 25 foot lots. The City has asked Mr. Daigle to join the two lots to make them buildable lots but the lots had to be joined prior to the adoption of the ordinance. Since 2000, these lots have been a maintenance issue with mowing. Mr. Daigle is asking Council to reduce the assessments that are a result of his lack of attention to his properties. Mr. Daigle has paid a portion of his costs but there is a remaining balance. Staff encourages Council to stand firm on this assessment, as tax payers should not be paying for this. Mayor Lund asked what was paid and what is owed. Mr. Hickok said that two payments are left for a total of $414.40. Mr. Daigle stated he did not receive notification of the assessment but has come in to make a partial payment. Mayor Lund said Mr. Daigle has repeated history for an entire decade of staff having to mow and clear brush off of his property. MOTION by Councilmember Bolkcom to move into record the updated abatement record assessments reflecting payments that were received. Seconded by Councilmember Varichak. UPON A VOICE VOTE, ALL VOTING AYE, MAYOR LUND DECLARED THE MOTION CARRIED UNANIMOUSLY. Scott Hickok, Community Development Director, said this assessment is for 6850 Siverts Lane. The first inspection was on April 12, 2010, at 4:08 p.m. where miscellaneous outside storage was observed at 6850 Siverts Lane which violates City ordinance. Code Violation: Outside Storage R-1 stating that nothing can be stored in your yard in view from any public right of way and that all materials shall be kept in a building or shall be fully screened (City Code 205.07.6.C). Exceptions include: firewood, neatly stacked and stored in the side or rear yard only; boats, empty trailers, and non-motorized campers stored in the side or rear yard; boats, empty trailers, campers and motorized vehicles stored on a paved surface. Mr. Hickok said the second inspection was held on May 4, 2010, at 2:05 p.m. A Re-inspection and Preparing to Abate was issued on June 22, 2010 regarding Outside Storage. On June 22, staff re-inspected and found the code violations were not resolved. The Findells had not responded to the Abatement Letter. Staff scheduled an abatement for the ne�t day. FRIDLEY CITY COUNCIL MEETING OF OCTOBER 25, 2010 PAGE 16 Mr. Hickok said that for abatements in the City of Fridley, staff typically brings a community service officer or a second staff person to assist. For billing purposes, staff typically tracks the time spent on a code enforcement case after the abatement letter is mailed. This includes all follow-up inspections, cataloging photos of the items to be removed, scheduling an abatement appointment with the CSOs and contractors, overseeing the abatement activities and processing the final paperwork. Mr. Hickok said on June 28, 2010, at 1:55 p.m. staff and a CSO arrived to see Mrs. Findell was still cleaning up the driveway. Advance Companies was on-call, waiting to proceed with abatement. At 2:10 p.m., staff cancelled the abatement. Advance Companies charged a trip fee for being on-call. By 2:20 p.m., Mr. and Mrs. Findell completed the cleanup of their outside storage. Staff recommends that Don and Julie Findell be required to pay the special assessment of $179.69 for Property ID 13-30-24-12-0017, located at 6850 Siverts Lane, Fridley. Councilmember Bolkcom asked how staff originally found out about this problem and if it was through systematic code enforcement. Mr. Hickok said it was discovered through staff observation. Councilmember Varichak asked if part of a fence was down or the homeowner was repairing part of fence or if the gates were open. Mr. Hickok said that the gates were open and the homeowner could drive in and out but the gate did not screen the materials. Mayor Lund said the letter states most of it happened during reconstruction of the street and the homeowner had to remove a portion of the fence. He asked what the storage items were. Mr. Hickok said that this is more about being able to see this by driving by the property. The photographs were taken through the gate by the public right of way and standing on the public right of way. Councilmember Varichak said the homeowner says he received no citation. Mr. Hickok said that since 2002, four properties owned by the Findells have received a total of 25 letters. There have been several letters along with phone calls. MOTION by Councilmember Bolkcom to close 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 CLOSED AT 9:55 P.M. FRIDLEY CITY COUNCIL MEETING OF OCTOBER 25, 2010 PAGE 17 NEW BUSINESS: 11. Resolution Adopting Assessment for the 2010 Street Improvement Project No. ST. 2008-01A. MOTION by Councilmember Varichak to adopt Resolution No. 2010-76. Seconded by Councilmember Barnette. UPON A VOICE VOTE, ALL VOTING AYE, MAYOR LUND DECLARED THE MOTION CARRIED UNANIMOUSLY. 12. Resolution Adopting Assessment for the 2010 Street Improvement Project No. ST. 2009-02 MOTION by Councilmember Varichak to adopt Resolution No. 2010-77. Seconded by Councilmember Barnette. UPON A VOICE VOTE, ALL VOTING AYE, MAYOR LUND DECLARED THE MOTION CARRIED UNANIMOUSLY. 13. Resolution Adopting Assessment for the 2010 Street Improvement Project No. ST. 2010-01. Councilmember Varichak said staff will need to work with the issues with the contractor, to the liking of the residents with the contractor. Councilmember Bolkcom said she did not think the resolution should be approved. It should be held back for a year because there are so many issues to be resolved. She has a concern on how the contractor is going to fix this project. It is not right to assess homeowners for substandard workmanship. Mayor Lund asked if this needed to be voted on tonight. Alan Folie, Acting Finance Director, said the deadline is November 15. Mayor Lund was not sure what could be done because money has already been spent on this proj ect. Councilmember Bolkcom asked if another public hearing could be held. Mr. Folie said that is possible but the City will lose interest on the dollars that are not collected. Councilmember Bolkcom asked if parts of the resolution could be approved. Fritz Knaak, City Attorney, said that it is a messy thing to do and it will become difficult, but it is possible. FRIDLEY CITY COUNCIL MEETING OF OCTOBER 25, 2010 PAGE 18 William Burns, City Manager, said the project on the west side of town could be assessed now and the east side of town could be assessed later. Attorney Knaak said this is not uncommon and it would be okay to do this. The City would pick up the entire cost and hold it over for the year. This may not be something you can add as a supplemental assessment cost; it cannot be charged back to homeowner. Staff would have to pull the names and assess them ne�t year, re-noticing them and redoing the entire process. Councilmember Bolkcom said there are problems with this contractor. If the City ends up going to court, would it hurt the case at all. Attorney Knaak answered no. Dr. Burns said it would make the City look more reasonable--pay for the good work and not for the substandard quality. Mr. Folie said that staff can work around that, it will take some effort but it is possible. MOTION by Councilmember Saefke to adopt Resolution No. 2010-78, Adopting Assessment for the 2010 Street Improvement Project No. ST. 2008-01A for PIN Nos. 15-30-24-42-0101 through 15-30-24-43-0086. Seconded by Councilmember Bolkcom. UPON A VOICE VOTE, ALL VOTING AYE, MAYOR LUND DECLARED THE MOTION CARRIED UNANIMOUSLY. 14. Resolution Adopting Assessment for the 2010 Nuisance Abatement. MOTION by Councilmember Bolkcom to adopt Resolution No. 2010-79. Seconded by Councilmember Saefke. UPON A VOICE VOTE, ALL VOTING AYE, MAYOR LUND DECLARED THE MOTION CARRIED UNANIMOUSLY. 15. Resolution Certifying Certain Delinquent Utility Services to the County for Collection with the 2011 Property Taxes Alan Folie, Acting Finance Director, said staff certifies the amounts by property and allows payment until mid-November. Those properties that do not pay prior to the cutoff are certified to Anoka County for collection with their 2011 property taxes. Each owner has been notified that the delinquent account is being certified to the County and has been provided an opportunity to pay their bill. Staff's recommends Council adopt the resolution. Councilmember Bolkcom said people's taxes are paying for people who are delinquent on their utility bills. It is a lot of money and there are a lot of repeat offenders. FRIDLEY CITY COUNCIL MEETING OF OCTOBER 25, 2010 PAGE 19 MOTION by Councilmember Bolkcom to adopt Resolution No. 2010-80. Seconded by Councilmember Saefke. UPON A VOICE VOTE, ALL VOTING AYE, MAYOR LUND DECLARED THE MOTION CARRIED UNANIMOUSLY 1. Approve Agreement for Residential Recycling Program between the City of Fridley and County of Anoka (Tabled October 11, 2010). MOTION by Councilmember Bolkcom to this item from the table. Seconded by Councilmember Barnette. UPON A VOICE VOTE, ALL VOTING AYE, MAYOR LUND DECLARED THE MOTION CARRIED UNANIMOUSLY Councilmember Bolkcom asked what happened with this item. William Burns, City Manager, said staff missed this agreement. The County did not think it was a big deal but staff wanted to take care of this small detail. Scott Hickok, Community Development Director, said they will make sure this does not happen again. The 2011 contract would normally be approved in March according to the County system, but staff will work to have it approved in January. Staff has created a tickler file that will help keep track of things that happen annually so it will be caught in the future. The County is a good partner on this and treated this item like there was already a contract in place. MOTION by Councilmember Bolkcom to approve the agreement for the Residential Recycling Program between the City of Fridley and County of Anoka. Seconded by Councilmember Saefke. UPON A VOICE VOTE, ALL VOTING AYE, MAYOR LUND DECLARED THE MOTION CARRIED UNANIMOUSLY 5. Estimates. Councilmember Barnette asked if a portion of the payment could be approved. William Burns, City Manager, asked how much of the bill was for the west/east side of town. Layne Otteson, Assistant Public Works Director, said the $150,000 was spread throughout the project, with the majority on the east neighborhoods. Fritz Knaak, County Attorney, said the City has a contractual obligation. At this point with the underlying dispute, and since it is spread throughout the contract, Council would be within rights to withhold payment. The contractor has an obligation to perform. He would suggest withholding the entire payment with the idea that staff would work through the issues with the contractor. FRIDLEY CITY COUNCIL MEETING OF OCTOBER 25, 2010 PAGE 20 Dr. Burns suggested tabling this item until November 15. MOTION by Councilmember Bolkcom to table the estimate for Valley Paving until the City Council meeting on November 15, 2010. Seconded by Councilmember Saefke. UPON A VOICE VOTE, ALL VOTING AYE, MAYOR LUND DECLARED THE MOTION CARRIED UNANIMOUSLY 16. Informational Status Reports. None presented. 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 10:40 P.M. Respectfully Submitted, Krista Monsrud Scott J. Lund Recording Secretary Mayor