Loading...
12/10/1979 - 00013649� � _ .J � THE MINUTES OF THE PUBLIC HEARING MEETING OF THE FRIDLEY CITY COUNCIL OF DECEMBER 1�, 1979 The Public Hearing Meeting of the Fridley City Council was called to order at 7:30 p.m. by Mayor Nee. PLE�GE OF ALLEGIANCE: Mayor Nee led the Council and audtence in the Pledge of Allegiance to the Flag. ROLL CALL P7EMBERS PRESENT MEP1BERS ABSENT ADOPTION OF AGENDA: Mayor Nee, Councilman Fitzpatrick, Councilwoman Moses, Counctlman Schneider and Councilman Barnette None MOTION by Councilman Schneider to adopt the agenda as submitted. Seconded by Councilwoman Moses. Upon a voice vote, all voting aye, Mayor Nee declared the motion carried unanimously. PUBLIC HEARINGS: PUBLIC HEARING ON CONSIDERATION OF ISSUANCE OF A LIQUOR LICENSE i0 LUND'S RESTAURANT, TNC. DBA CHARLIES IN FRIDLEY LOCATED AT 8298 UNIVERSITY AVENU NORTHEAST: MOTIOfd b,� Councilman Barnette to waive the reading of the public hearing notice and open the public hearing. Seconded by Councilman Schneider. Upon a voice vote, all voting aye, Mayor Nee declared the motion carried unanimously and the public hearing opened at 7 31 p.m. Mr. Brunsell, City Clerk, stated this is a public hearin9 on the issuance of a liquor l�cense to Lund's Restaurant, Inc. for the establishment formerly knowr� as the House of Lords. Mr. Brunsell stated Richard Lund, the President of the Corporation, is the applicant and the others involved are Charles and James Lund. Mr Brunsell stated the Police Department has conducted a background invest�- gation and finds no reason not to issue the license, and the Fire Department has made an inspection of the bu�lding and has no negattve comments. Mr. Brunsell stated a license was issued to John Purmont for the House of Lords, 6ut a liquor license was never issued to Lund's Mayor Nee asked if Lund's were now operating the restaurant. Mr. Brunsell stated they have been in operation for several months and this hearing normally would have been held sooner, however, there was a mix-up when the appl�cation came through. He stated the appl�cat�on was changed, as the original application indicated that Charles Lund was President, and th�s application shows Richard Lund as President. Mr. Brunsell pointed out that the license fee was paid from the time Lund's took over. Councilwoman Moses asked if the restaurant was known as the House of Lords when the Lund's were operating �t. Mr. Brunsell stated the House of Lords sign was up for a whtle after Lund's took over the operation. Counctlwoman Moses asked if they have been serv�ng liquor and are now �ust getting a license. Y l�,M PUBLIC HEARING MEETING OF DECEMBER 10, 1979 Page 2 Mr Brunsell stated a liquor license was issued to John Purmont for the 1979-80 year for this establtshment so that covered Lund's, but a hearing was never held for a ltquor license for Lund's Restaurant, Inc. Mr. R�chard Lund, the applicant for the liquor license, appeared before the Council and stated they have changed the landscaprng and are working on the exter�or of the building. He stated that last week the brick facing was completed He explained a little of their operation and stated they are trying to run top-quality entertainment in their lounge He stated they hope to cater to the 25 and over age group. He also stated they still have banquet fac�lities available Mayor Nee questioned Mr. Lund if they had a background in this type of operation. Mr. Lund stated he was in the U. S. A. F. for 12 years and was running officer's clubs and his younger brother was successful in restaurant operation and wanted him to get out of the Air Force and go into this business. Councilman Schneider stated that several pages of the application were not filled out. Mr Brunsell stated they are filled out on the copy he has, however, the information was apparently miss7ng on the Council's copy. Mr. Qureshi, City Manager, stated it should be pointed out that the previous owner made commitments about the exterior deve7opment of thts establ�shment. He stated he realized these improvements probably couldn't be completed now because of the weather, but hoped they would l�ve up to this obligation. Mr. Lund stated they have �ust completed the landscaping and �nstallation of a safety ra�l and believes the only thing, to his know- ledge, is the arrangement for screening the trash receptacle. Councilman Schneider asked about a larger s�gn on the roof. Mr. Lund felt this was a sub�ect they would like to address in the future. He stated, 6ecause of the location and being set 6ack from the highway, it is diffi- cult for some people to see their establishment. He stated that II3rd Avenue isn't well-lit and many people come out and can't find the restaurant. He felt even a street light on 83rd might help and stated that, wtth the inter- section so dimly lit, they could have some accidents Mayor Nee thought perhaps staff could check into the possibility of a street light. No persons tn the audience spoke for or against the issuance of th�s liquor license. MOTION by Councilwoman P�oses to close the public hearing. Seconded by Councilman Schneider. Upon a voice vote, all voting aye, Mayor Nee de- clared the motion carried unanimously and the public hearing closed at 7:44 p.m. OL� BUSINESS. CONSIDERATION OF AWARDING INSURANCE BID FOR 1980 (TABLED 12/3/79): Mr. Brunsell, C�ty Clerk, stated staff has done additional research re- garding the question of splitting the um6rella coverage from the balance of the insurance package He stated �t is the staff's recommendation that the bid be awarded to Transcontinental [3rokers for the total package, with the exception of the umbrella coverage, and that the umbrella covera9e be awarded to the Rice Creek Agency. He stated he believed the question an whether the Councll wishes addi� tional umbrella coverage is another matter. MOTION by Councilman Fitzpatrick to concur with the recommendation of staff and award the total tnsurance bid to Transcontinental Brokers, with the exception of the umbrella coverage wh�ch is to be awarded to the Rice Creek Agency. Secondetl by Councilman Schne�der, , 1 I�I {� PUBLIC HEARING MEETING OF DECEMBER 10, 1979 Page 3 Mr. Newman, attorney representative for the City, stated there are certatn statutory lim�ts as to the City's liab7l�ty, and there has been some dis- pute whether these limitations are 1egal. He stated one court overturned the statutory limits and this may be one reason why the C�ty might want to consider insurance beyond those 7imits. Another reason for the addi- tional umbrella coverage might be to protect themselves in the event there is a catastrophe and the limits they have might not be adequate. � Mr Newman also indicated areas not covered by the statutory ltmitations. Councilwoman Moses questioned, tf the umbrella coverage was increased, what would be the additional cost. Mr. Brunsell, Ctty Clerk, stated he does not have firm figures this evening regarding coverage from $1,DOO,OOD to $3,000,000, however, th�s �nformation can he o6tained, if the Council desires Councilwoman Moses questioned Mr. Hadtrath if his company had known that the coverage was going to be split, if they would have bid differently. Mr. Hadtrath stated they wouldn't have btd any dtfferently. Councilwoinan P4oses also asked if the bid is awarded to two different com- panies this evening, tf it would effect how they bid next year. Mr Hadtrath answered tn the negative. UPON A UOICE VOTE TAKEN ON THE ABOVE MOTION, all voted aye, and P1ayor Nee declared the motion carried una m mously. Mr. Brunsell stated he would bring back figures to the Council on the costs for additional umbrella coverage. NEW BUSINESS. CONSIDERATION OF CHANGING W�RKERS' COMPENSATIOPd INSURAPJCE PLAN , Mr. Brunsell, City Clerk, stated the City went with a retrospect�ve plan for workmen's compensatton insurance, when the 6ids m�ere awarded in December of 1978, for a three year period He expla�ned a retrospective plan ts a plan based on loss ratio. He stated it seemed like the way to go at the time because the City had a good loss ratio, but, unfortunately, they have had three large workmen's compensat�on claims in the Police Department. He stated this will affect the C�ty for several years in their ratings and the City's carrier, Western Casualty Company, has urged the City to switch to a straight premium plan. Mr. Brunsell stated this would save the City a considerable amount of money as the cost each year on a straight premium plan would be �105,568 vs. the cost of $137,364 on a retrospecttve plan Councilman Schneider quest�oned what the cost would have been, if the loss record of the City was running the same as tt had previously Mr. Brunsell stated the bid was $95,000, if they had an average loss ratio and less, if the loss ratio was good. He stated, at the time this was bid, the City was down tn the $40,OD0 range, if they had a very good loss ratio. He stated, if these incidents hadn't happened, he was not sure they would be that low, but it would be considerably below the �95,000 f�gure Mr. Hadtrath explained that the City had losses in excess of $600,000, � however, if the�r loss ratio had 6een good, the cost pro6a61y would have been 5D% less than normal. He stated the carrier agreed to take the City off the retrospective plan and have them go on the straight premium plan which would be a savings. MOTION by Councilman Barnette to change to the straight premium plan for workmen's compensation coverage. Seconded 6y Councilman Fitzpatrick. Upon a voice vote, all voting aye, Mayor Nee declared the motion carried unantmously. 36 PU6LIC HEARING MEETING OF DECEMBER 10, 1979 PAGE 4 RESOLUTION N0. 144-1979 APPROPRIATING FUNDS FOR SERUICE ORGANIZATIONS: P1DTION by Councilwoman Ploses to adopt Resolut�on No. 144-1979. Seconded by Councilman Fitzpatrick Councilman Schne�der questioned the $500 amount for contingency. f4r Qureshi, City Manager, stated he felt th�s is what the Council wished and if they want, it can be deleted. Councilwoman Moses felt, �n her mind, they should allow the contingency. Mayor Nee felt they could approve the $9,500, which doesn't include the $500 contingency, and, if necessary, this rould be brought up at a later date. MOTION by Councilman Schneider to amend the above resolution by deleting the �5D0 cont�ngency, reducing the total amount to $9,500 and this amount to come from the emergency reserve. Seconded by Councilwoman Ploses Upon a voice vote, all voting aye, Mayor Nee declared the motion carried unanimously. UPON A VOICE �OTE TAKEN ON THE f4AIP1 f10TI0N, all voted aye, and Mayor Nee declared the mot�on carried unanimously. CLAIMS• MOTION by Councilwoman Moses to authorize payment of Claims No. 3Z2F01 through 343938. Seconded 6y Councilman Fitzpatrick. Upon a voice vote, all voting aye, Mayor Nee declared the motion carried unanimously. ADJOURNMENT P10TION 6y Counc7lwoman Moses to ad�ourn the meeting. Seconded by Counc�l- man Schneider Upon a voice vote, all voting aye, Mayor Nee declared the motion carried unanimously and the Public Hearing Meeting of the Fridley City Council of December 10, 1979 adjourned at 8:05 p.m. Respectfully submitted, �:�,,,�- ��c�� Carole Haddad Secy. to the City Council Approved Decem6er 17, 1979 l.��J �` �i�--�--- � Will�a J. Nee Mayor , , '