CCM 08/11/2014
CITY COUNCIL MEETING
CITY OF FRIDLEY
AUGUST 11, 2014
The City Council meeting for the City of Fridley was called to order by Mayor Lund at 7:04 p.m.
ROLL CALL:
MEMBERS PRESENT:
Mayor Lund
Councilmember Barnette
Councilmember Varichak
Councilmember Saefke
Councilmember Bolkcom
OTHERS PRESENT:
Wally Wysopal, City Manager
Darcy Erickson, City Attorney
Scott Hickok, Community Development Director
Don Abbott, Director of Public Safety
James Kosluchar, Director of Public Works
Alec DeBar, Engineering Intern
Johnathan Olson, Engineering Intern
SERVICE REPORTS:
Night to Unite - August 5, 2014.
Don Abbott,
Director of Public Safety, stated this was the 31st Night to Unite we have
celebrated in Fridley. The City had more than 94 block parties in the City. That does not
account for a grand total of all the neighborhoods represented, because every year typically two
or three block captains will hold one party. Twenty-seven 27 police officers and reserve officers
participated in the tour that night along with several Fridley firefighters visiting parties with their
trucks. He thanked Mayor Lund and the Councilmembers for attending. Also attending was
Fridley's City Manager, Wally Wysopal, along with Fridley royalty and representatives of
Target, which was one of the sponsors.
SERVICE REPORT:
Engineering Interns
Alec DeBar
stated when he first came on he spent a lot of time watching the water main be
worked on, helping with inspections, measuring curbs, things like that on the 2014 job sites.
Johnathan Olson
stated he also helped out with watching the water main installation and the
curbing. They worked together judging how much depth to be added onto manholes, to raise
them up with the pavement level.
FRIDLEY CITY COUNCIL MEETING OF AUGUST 11, 2011 PAGE 2
Mr. DeBar
stated he was also working on a long-term project with GIS. He took plans they had
scanned previously and placed them into a GIS viewer also known as ArcMap. It is a quick and
easy way to view plans with the utilities on them, sanitary lines, water lines, storm lines etc. It
saves a lot of time. It can be viewed on any smart phone, iPad, or computer. Public Works and
Engineering utilize it a lot. He showed what the application looks like on a mobile device or a
computer.
Mr. DeBar
stated another project they were doing with GIS was pond mapping. They went
throughout the City recording on the GIS all inlets, outlets, spillways and similar structures.
They entered where they were in the City, what kind of condition the area was in, etc.
Mr. Olson
stated they currently have three-fourths of the City completed. There were a lot of
obstacles they encountered. A lot of it was landscaping because usually the ponds were
encompassed by trees and brush, etc.
Mr. DeBar
presented a slide showing a screen shot of an aerial view of a pond in the City. He
explained all the lines coming in and out are either pipes coming into or flowing out of the pond
helping it maintain its level. Essentially they take the GPS unit, go to one of the points on there,
shoot that point with the GPS unit, and record the condition it is in, including the size of the pipe
or the spillway or structure. If it is polluted or needs repairs, they take a picture of what it looks
like.
Mr. Olson
said he worked on a project related to the bus shelters. Mr. Kosluchar provided him
with a Star and Tribune article regarding the bus stop shelters within the Minneapolis area. He
contacted Metro Transit and discovered there were seven stops which qualified with the 25
minimal bus passengers per day. They went from a low to a low-medium priority which means
they were not high priority in order for Metro Transit to upgrade to a shelter. There were two
possibilities he looked at when he researched: University and 53rd which has handicap
accessibility and there are parks around it so it is nice for people to go to those things. Also on
University and Mississippi Avenue there is the municipal building nearby and there is the blood
donation building, dry cleaning, and several other stores. Moving forward, they would have to
create a document and report asking that it be upgraded to the next level of priority to get a
shelter. The main reason is for public access.
Mr. Olson
said he also worked on a road rating project. There are currently three or four
garbage and recycling trucks going on almost every road which damages the road and reduces
the lifetime of the road. He researched a lot of information on how the City currently rates its
road vs. the PCI (Pavement Condition Index). Fridley's road rating was developed roughly in
1983 and the PCI was developed by the military in 1976. The City was just behind that kind of
development of assessing the roads. He had to determine how to convert the road ratings the
City does to the PCI which had a lot of difficult challenges because the City's is a more general
assessment of the roads. It is not very specific, it is very subjective. The PCI is very to the
point, and you have to wheel out the specific cracks and distresses to get a number which you
extrapolate and get a more accurate result of the road condition. The end goal of the whole
project is to save money, as roads are being damaged severely because of too many trucks
driving on them. If they can figure out which roads are being damaged the most, they can
FRIDLEY CITY COUNCIL MEETING OF AUGUST 11, 2011 PAGE 3
separate each garbage truck disposal into a section of the City, coordinating with the
neighborhoods, and save money.
Mayor Lund
asked if they were checking the ponding and streams on public and private
property.
Mr. DeBar
replied they are doing it on both. More of it is on public property.
Mayor Lund
asked for the locations of the two possible sites that met the criteria for bus
shelters.
Mr. Olson
replied University Avenue and 53rd and University Avenue and Mississippi.
Mayor Lund
stated it must be the northbound at Mississippi as there is one already on the
southbound side.
Councilmember Saefke
asked if in their opinion, the City’s contractors were pretty good this
year.
Mr. DeBar
replied, yes, for the most part they were pretty good. The excavating team was
really good. Astech did alright, too. There were some minor issues with patching, but other than
that for the most part they did a good job.
Councilmember Saefke
asked if they would have the survey done before they went back to
school.
Mr. Olson
replied they will get it done.
APPROVAL OF PROPOSED CONSENT AGENDA:
APPROVAL OF MINUTES:
City Council Meeting of July 28, 2014.
APPROVED.
NEW BUSINESS:
1. Claims (164848-165000).
APPROVED.
FRIDLEY CITY COUNCIL MEETING OF AUGUST 11, 2011 PAGE 4
2. Licenses.
Councilmember Barnette
said they have discussed the single-hauler garbage matter. The City
does have a single hauler for recycling, correct?
James Kosluchar,
Director of Public Works, replied, correct.
Councilmember Barnette
asked if they had a contract with the City.
Councilmember Bolkcom
replied, yes,
Councilmember Barnette
asked if he has a problem with his recycling, does he call the hauler
or the City.
Wally Wysopal,
City Manager, replied he believed the City takes the calls.
Scott Hickok,
Community Development Director, replied, that is correct.
Councilmember Barnette
asked if a family does not recycle, they are charged anyway.
Mr. Hickok
replied that is correct.
Mayor Lund
replied, as he recalls, the City has a three-year contract with the recycling hauler.
Mr. Hickok
replied the City got an especially good deal this last time around for an extended
term for five or seven years.
Mr. Kosluchar
replied, if anyone has a question regarding recycling, they should contact Kay
Qualley at 763-572-3594.
Mr. Hickok
replied the State mandates the City to have a recycling service that is available.
They want to encourage people to recycle as much as possible. They can start small with a
couple of plastic bottles, some tin cans. People should take advantage of the recycling to help
the City by adding to its tonnage because that means overall the SCORE funds come back to the
City. The better the City does in terms of tonnage, the better value it is for the City.
APPROVED THE LICENSES AS SUBMITTED AND AS ON FILE.
3. Estimates.
Ron Kassa Construction
6005 East 250th Street
Elko, MN 55020-9447
2014 Miscellaneous Concrete Repair Project No. 453
Estimate No. 2.........................................................$ 21,382.12
FRIDLEY CITY COUNCIL MEETING OF AUGUST 11, 2011 PAGE 5
Astech Corporation, Inc.
P.O. Box 1025
St. Cloud, MN 56302
2014 Street Rehabilitation Project No. ST2014-01
Estimate No. 4.........................................................$334,868.73
APPROVED.
APPROVAL OF CONSENT AGENDA:
MOTION
by Councilmember Barnette to approve the proposed consent agenda. Seconded by
Councilmember Varichak.
UPON A VOICE VOTE, ALL VOTING AYE, MAYOR LUND DECLARED THE
MOTION CARRIED UNANIMOUSLY.
OPEN FORUM:
No one from the audience spoke.
ADOPTION OF THE AGENDA:
MOTION
by Councilmember Bolkcom to approve the agenda. Seconded by Councilmember
Saefke.
UPON A VOICE VOTE, ALL VOTING AYE, MAYOR LUND DECLARED THE
MOTION CARRIED UNANIMOUSLY.
NEW BUSINESS:
4. Resolution Determining that a Certain Parcel is Occupied by Structurally
Substandard Buildings and is to be Included in a Tax Increment Financing District
(Ward 1).
Scott Hickok
Community Development Director, stated the first item is to make a structurally
substandard buildings determination that needs to be made and the second is an interfund loan
for the purchase of the Columbia Arena at 7011 University Avenue NE.
Mr. Hickok
stated the HRA has a purchase agreement and has a tentative date for closing on
August 29. That is pending Phase II results. There is a Phase II environmental analysis being
done right now on that site. We are not expecting any enormous surprises with the analysis, and
anticipate the closing will likely happen on that date.
Mr. Hickok
stated a Phase I analysis was conducted in July. It did raise some concerns about
Freon. Braun test bored on the site and a report was provided for Phase I. A Phase II report will
be back to the City on August 22, 2014.
FRIDLEY CITY COUNCIL MEETING OF AUGUST 11, 2011 PAGE 6
Mr. Hickok
stated the Columbia Arena substandard building analysis needs to be done in order
to have a district created; and it is very important to determine whether it is blighted. That will
have a real impact on whether a tax increment district could ever be created around this site. In
doing this, the building must also be declared substandard. The cost to meet Code standard must
exceed 15 percent. If you were to build this building again and bring it to Code standard, it must
exceed 15 percent of the value of the building. The City has a report from LHB who did an
analysis back in 2009. Council may recall this analysis was done when there was another
development consideration happening on this site--a clinic and residential combination.
Although the building on the site was deemed blighted in 2009, it has not gotten better over time.
At that time, it was 24.3 percent. Lot coverage must also exceed 15 percent of the land area.
This site has over 60 percent lot coverage. It passes both the substandard building standard, and
it also passes the lot coverage.
Mr. Hickok
stated based on their findings, the building and parcel far exceed the minimum
requirements and inclusion in a potential TIF district. Staff recommends Council approve the
resolution determining the parcel is occupied by a structurally substandard building, and it is to
be included in the tax increment district. Adoption allows opportunity to recover costs, and also
allows demolition to move forward.
Mr. Hickok
stated as to funding, purchase and demolition, potentially they could be creating a
Columbia Arena TIF district fund. In doing so, there would be an interfund loan from the HRA
and loan from the City. The City's share of the closed bond fund would be $1.5 million; and the
HRA share would come from its general fund. Loans would be paid through future land sales
and tax increment financing.
Mr. Hickok
stated staff recommends Council’s approval of the resolutions.
Councilmember Saefke
stated, to make things clear, the HRA is intending to purchase the
Columbia Arena site. That does not mean the City will maintain ownership of it. There is a
possibility but not necessarily. That property can be sold. Correct?
Mr. Hickok
replied, that is correct. The City typically is not in a position to own property. It
has its HRA, and the HRA typically is a landowning holding entity. It is a separate corporate
entity. One of its founding principles is that it is able to acquire property for redevelopment.
The HRA will hold the property until they determine what its future use would be.
Councilmember Saefke
stated many people, including himself until a few years ago, had
difficulty separating the HRA from the City of Fridley. They are two separate entities.
Mr. Hickok
said it is important to make that distinction here. The HRA is a five-member board,
appointed by the City Council, and does serve as its own corporate entity.
Councilmember Bolkcom
stated normally, in the past, they have actually seen some kind of
report related to the over 15 percent. Does that report need to be part of this record?
FRIDLEY CITY COUNCIL MEETING OF AUGUST 11, 2011 PAGE 7
MOTION
by Councilmember Saefke to receive the report from LHB dated September 3, 2009.
Seconded by Councilmember Bolkcom.
UPON A VOICE VOTE, ALL VOTING AYE, MAYOR LUND DECLARED THE
MOTION CARRIED UNANIMOUSLY.
Councilmember Bolkcom
asked Mr. Wysopal when he anticipated there would be another
discussion between the HRA and the City Council regarding this property, and what he might
foresee happening?
Wally Wysopal
, City Manager, replied, staff will be taking a look at all of the various options
for utilization of the property, including any municipal use and any private development. They
will be looking at that within the next 30 days, and hopefully have something back to Council
and the HRA in November.
Councilmember Bolkcom
asked Mr. Hickok when he anticipated the building would be
demolished.
Mr. Hickok
replied it is Paul Bolin's intent to have bids taken and the building demolished
before the end of the year--ideally before it is covered in snow.
Mayor Lund
stated once the blight is removed this fall, the clock starts ticking. What is the
timeframe?
Mr. Hickok
replied there is a timeframe that spans about seven years. There is a three-year
timeframe for creating the district. There is a four-year timeframe in which the City can start the
project. They can delay the four-year timeframe for one year in collecting the City's tax
increment. Technically, they could take it out about eight years before the decision has to be
made or before they have to start collecting on tax increment financing.
Councilmember Bolkcom
asked Mr. Hickok when he thought the Phase II report would come
back. She asked if there was a possibility they would pull back and not purchase this property?
Mr. Hickok
replied based on the Phase I report it is not anticipated. If they did find something,
they would discuss it Council before venturing forward. If the report does not come back before
the August 29 closing, they simply would not close until they know for sure.
Councilmember Bolkcom
said the resolution states the City would loan the money on or before
September 1.
Mr. Hickok
replied correct. That would protect the closing that could happen then on august 29.
They will know by September 1. Just because they authorize spending the money, does not
necessarily mean the money needs to be spent.
Mr. Wysopal
stated they alluded to some of the reasons for the City and the HRA to be getting
involved in this parcel which has a tremendous history to it. It is also very large and has failed
FRIDLEY CITY COUNCIL MEETING OF AUGUST 11, 2011 PAGE 8
multiple times in the private market to redevelop itself, and it ended up with kind of a black mark
on it from a developer's standpoint. In other words, when the City contacted developers to try
and spur this new development to happen in the private market, the developers were very
tentative about wanting to even approach it. For those reasons, including the complexity of
clean-up and demolition and re-use of the property, it makes sense for the City and HRA to be
involved in it.
MOTION
by Councilmember Saefke to adopt Resolution No. 2014-53. Seconded by
Councilmember Bolkcom.
UPON A VOICE VOTE, ALL VOTING AYE, MAYOR LUND DECLARED THE
MOTION CARRIED UNANIMOUSLY.
5. Resolution Approving a $1,500,000 Loan to the Housing and Redevelopment
Authority in and for the City of Fridley, Minnesota (Ward 1).
MOTION
by Councilmember Saefke to adopt Resolution No. 2014-54. Seconded by
Councilmember Bolkcom.
UPON A VOICE VOTE, ALL VOTING AYE, MAYOR LUND DECLARED THE
MOTION CARRIED UNANIMOUSLY.
6. Informal Status Report.
Mr. Hickok
stated regarding Mr. Melle's inquiry at the last Council meeting about a property on
Briardale, he wanted Council to know that abatement did take place. The furniture is now gone.
The bank has been notified about the pool and the open windows. He thinks they are in good
shape with that site.
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 7:49
P.M.
Respectfully submitted by,
Denise M. Johnson Scott J. Lund
Recording Secretary Mayor