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08/28/2006 - 6108� �_ _ _ _ ` _ . � CffY OF FRIDLEIf FRIDLEY CITY COUNCIL MEETING OF AUGUST 28, 2006 ?:30 p.m. - City Council Chambers Attendance Sheet PLFASF AR/NT NAMF, AaDRFSS AMD /TFM NUMS�t YaU ARF /NTFRFSTFD /M. Print Nam+e (Clearl�j Adclress Item N�o. ' � z �' �= � c� r.� � ;,/ G 3 c'� s�ti / Cuc•�� ,�/� D> % _ �- � ! �� /� �. �-/r"''�i y � � v V � �`' , C� � � ✓� /�% �✓• � ,���_;��e , � �s`3sf �� : �o U ! d �, , IU o ` _ G - � � �' zJ r , � °r _ � � CITY COUNCIL MEETING OF AUGUST 28, 2006 CffY OF FRIDLEI' The City of Fridley will not discriminate against or harass anyone in the admission or access to, or treatment, or employment in its services, programs, or activities because of race, color, creed, religion, national origin, sex, disability, age, marital status, sexual orientation or status with regard to public assistance. Upon request, accommodation will be provided to allow individuals with disabilities to participate in any of Fridley's services, programs, and activities. Hearing impaired persons who need an interpreter or other persons with disabilities who require auxiliary aids should contact Roberta Collins at 763-572-3500 at least one week in advance. (TTD/763-572-3534) PLEDGE OF ALLEGIANCE. APPROVAL OF PROPOSED CONSENT AGENDA: APPROVAL OF MINUTES: City Council Meeting of August 14, 2006 NEW BUSINESS: 1. First Reading of an Ordinance for a Text Amendment, TA #06-02, by the City of Fridley, to Amend Chapter 6 of the Fridley City Code to Substitute Members for the Appeals Commission ......................................................... 1- 9 2. Resolution Certifying Proposed Tax Levy Requirements for 2007 to the County of Anoka ............................................ 10 - 11 3. Resolution Adopting the Proposed Budget for the Fiscal Year 2007 ........................................................................................... 12 - 14 FRIDLEY CITY COUNCIL MEETING OF AUGUST 28, 2006 PAGE 2 4. Resolution Authorizing Changes in Appropriations for the 2006 Budget for January through August, 2006 ................................ 15 - 17 5. Resolution Authorizing Staff to Proceed with the Process of Establishing a Quiet Zone in the City of Fridley.................................................................................................. 18 - 20 6. Claims .................................................................................................. 21 7. Licenses .................................................................................................. 22 8. Estimates .................................................................................................. 23 ADOPTION OF AGENDA. OPEN FORUM (VISITORS): Consideration of Items not on Agenda — 15 Minutes PUBLIC HEARING: 9. Consider Revocation of Special Use Permit, SP #89-08, for Sam's Auto World, Generally Located at 7570 Highway 65 N.E. (Ward 2) (Continued August 14, 2006) ...................................................................... 24 - 25 FRIDLEY CITY COUNCIL MEETING OF AUGUST 28, 2006 PAGE 3 NEW BUSINESS: 10. Resolution Declaring a Question to be Placed on the Ballot at the Next Regular Municipal Election, to Increase Water, Storm Water and Sanitary Sewer Rates in Excess of the Inflationary Index or 5%, Whichever is Less, as Required by Section 7.02 of the Fridley City Charter.................................................................................................. 26 - 27 11. Informal Status Reports ................................................................................ 28 ADJOURN. CITY COUNCIL MEETING CITY OF FRIDLEY AUGUST 14, 2006 The City Council meeting for the City of Fridley was called to order by Mayor Lund at 7:32 p.m. ROLL CALL: MEMBERS PRESENT: Mayor Lund Councilmember-at-Large Barnette Councilmember Billings Councilmember Wolfe Councilmember Bolkcom OTHERS PRESENT: William Burns, City Manager Fritz Knaak, City Attorney Scott Hickok, Community Development Director Julie Jones, Planning Coordinator 7on Haukaas, Public Works Director Richard D. Pribyl, Finance Director/Treasurer APPROVAL OF PROPOSED CONSENT AGENDA: APPROVAL OF MINUTES: City Council Meeting of July 24, 2006. APPROVED. OLD BUSINESS: 1. Second Reading of an Ordinance Recodifying the Fridley City Code by Amending Appendix F to Provide for the Adjustment of Salaries for the Mayor and Councilmembers in Accordance with Section 2.07 of the Charter of the City of Fridley. William Burns, City Manager, stated staff is recommending a 3 percent increase in salaries for the Mayor and Council for 2007. This is consistent with the increase for employees contained in the proposed 2007 budget. The increase will provide the following yearly salaries: Mayor, $10,223.85; councilmember-at-large, $8,397.75; and each of the three ward councilmembers, $7,424.42. Staff recommends Council's approval. APPROVED. FRIDLEY CITY COUNCIL MEETING OF AUGUST 14, 2006 PAGE 2 NEW BUSINESS: 2. Receive the Minutes from the Planning Commission Meeting of July 19, 2006. RECEIVED. 3. Resolution to Vacate Two 5-Foot Drainage and Utility Easements that Run Along the West and East Property Lines of Lots 2 and 3 of the Friendly Chevrolet Addition, Generally Located at 7490 Central Avenue and 7500 Central Avenue N.E. (Ward 2). William Burns, City Manager, stated the petitioner, Pat Pastoors of Brenk Properties, would like to vacate the easements to allow for the expansion of the building. Staff recommends Council's approval. This was approved by the Planning Commission. ADOPTED RESOLUTION NO. 2006-45. 4. Approve Change Orders for the Fire Department Aerial Ladder Truck. William Burns, City Manager, stated staff recommends Council's approval of the six change orders to the contract with Crimson Fire, the supplier of the new aerial fire truck The changes include additions as well as deletions. They also include an $18,900 penalty for late delivery of the finished vehicle. Altogether, the amount being paid is $21,586.66 less than the original contract price. The final cost of the aerial ladder truck is $745,188.34. Of this amount $450,000 was covered by a federal grant. Staff recommends Council's approval. APPROVED. 5. Approve Change Order No. 1 for the 2006 Street Improvement Project No. ST. 2006 — 1. William Burns, City Manager, stated staff recommends Council's approval of the change orders which are generally due to underground conflicts which were not identified in the design process. The net cost for Change Order No. 1 is $18,464.88. The revised contract amount is now $3,139,358.73. THIS ITEM WAS REMOVED FROM THE CONSENT AGENDA AND PLACED ON THE REGULAR AGENDA. 6. Resolution Approving MnDOT Agreement No. 89989 for the Maintenance of the University Avenue Decorative Fence (Ward 3). William Burns, City Manager, stated the agreement establishes the City's responsibility for maintenance of the new decorative fencing. There is no assignment of additional City liability for this fence. Staff recommends Council's approval of the agreement. FRIDLEY CITY COUNCIL MEETING OF AUGUST 14, 2006 PAGE 3 THIS ITEM WAS REMOVED FROM THE CONSENT AGENDA AND PLACED ON THE REGULAR AGENDA. 7. Resolution Authorizing the Execution of the Trust Agreement for the City of Fridley Deferred Compensation Plan with Wells Fargo Bank, N.A., as Trustee. William Burns, City Manager, stated the City has been evaluating the transfer of its deferred compensation plan from ICMA to a new plan provider since August 2005. Having carefully studied the alternatives to the existing ICMA deferred compensation plan, staff is prepared to recommend to Council that the current plan be changed to one that is administered by Wells Fargo and directed by an employee investment committee. Staff is also proposing to employ a financial advisor, Financial Concepts, Inc., to assist the employee investment committee and the individual plan participants with the identification and selection of investment options. Staff is requesting Council approve the trust agreement with Wells Fargo for administration of the new deferred compensation plan. The trustee is responsible for the receipt and distribution of the funds as they are paid to individual participants and allocated among the investment options. The agreement also provides that they will pay our financial consultant according to terms contained in our agreement with him. Additionally, they will pay themselves for fees agreed to for managing the City's deferred compensation account. They are not responsible for selecting investments or for advising individual participants in their choice of investment options. Dr. Burns stated if the trust agreement is approved tonight, staff will provide notification to ICMA that the City is terminating their services. We will also be hosting group informational meetings with plan participants in September. By the end of September, staff expects to be transferring funds from ICMA to Wells Fargo. The transferred funds will be mapped into the new plan and invested immediately. On or about October 17, staff will hold an additional meeting for all plan participants. At the October meeting, participants will be given enrollment instructions as well as answers to key questions they may have. They expect to offer opportunities for individual meetings with our financial consultant by late October. Staff recommends Council's approval of the trust agreement with Wells Fargo. Retirees will not be forced to move out of the ICMA plan. ADOPTED RESOLUTION NO. 2006-47. 8. Claims (127622 - 127933) APPROVED. 9. Licenses. APPROVED THE LICENSES AS SUBMITTED AND AS ON FILE. 10. Estimates. William Burns, City Manager, submitted a revised estimate sheet for Council's approval. FRIDLEY CITY COUNCIL MEETING OF AUGUST 14, 2006 PAGE 4 APPROVED THE FOLLOWING ESTIMATES: Maertens-Brenny Construction Company 8251 Main Street N.E. Fridley, MN 55432 Locke Park Water Treatment Plant Improvements FINAL ESTIMATE $ 4,260.00 Allied Blacktop 10503 — 89th Avenue North Maple Grove, MN 55369 2006 Street Sealcoat Program 2006-2 Estimate No. 1 $178,858.00 Concrete Idea 13961 — 44th Lane N.E. St. Michael MN 55376 Miscellaneous Concrete ProjectNo. 365 Estimate No. 4 $ 3, 53 5.99 Park Construction, Inc. 500 — 73rd Avenue N.E. Suite 123 Fridley, MN 55432 2006 Street Improvement Proj ect No. ST. 2006 - 1 Estimate No. 3 $466,856.23 MOTION by Councilmember Barnette to approve the consent agenda as presented with the removal of Items 5 and 6. Seconded by Councilmember Bolkcom. 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 Items 5 and 6. Seconded by Councilmember Billings. UPON A VOICE VOTE, ALL VOTING AYE, MAYOR LUND DECLARED THE MOTION CARRIED UNANIMOUSLY. FRIDLEY CITY COUNCIL MEETING OF AUGUST 14, 2006 PAGE 5 NEW BUSINESS: 5. Approve Change Order No. 1 for the 2006 Street Improvement Project No. ST. 2006 — 1. Councilmember Bolkcom asked for an explanation of the requests contained in the change order. Jon Haukaas, Public Works Director, stated the first one is for the repair of a water main break that happened on June 11. Park Construction Company had the equipment in the area, and it was faster and easier for them to mobilize it since they were right there. That break also caused some material to go down a storm sewer, and staff had them clean it out. The second item was extra work to repair a storm sewer outlet that went from the 67th Avenue cul-de-sac to Meadowlands Pond that was not shown on the drawings. When the new pond area was being graded, it was damaged and they had it fixed. That was extra work and the cost was $708.01. Item No. 3 was to relocate an unmarked sanitary sewer service. A lot of our as-builts from the late 50's, early 60's were not high in detail. This one and four additional items are all related to the Rice Creek Boulevard cul-de-sac. The project required them to put in additional storm sewer treatment structures and, due to the quality of those as-builts from around 1961 to 1962, they did not know exactly where a lot of the utilities where and they ended up having a lot of conflicts. No. 3 was to extend the sanitary sewer service for the amount of $3,168.79. No. 4 was for a water break that happened in that cul-de-sac due to not knowing the exact location of the pipes. That was done at a cost of $1,957.74. Request No. 5 was to repair a water main that was inadvertently hit while excavating. The cost for that was $2,628.97. Item No. 6 was to extend water service around some of these structures due to the relocated water main. The cost for that was $6,785.75. Item No. 7 was another water service for a cost of $2,057.14. Item No. 8 was a credit for installing a slightly smaller drainage structure than the bid item. Councilmember Bolkcom asked, so as this happens, someone is actually recording this and if we ever go back in there, it will all be shown on some plans so we will not have those same problems again, correct? Mr. Haukaas replied, absolutely. They have pictures, additional drawings of where the new locations are and they are documenting everything that was changed. MOTION by Councilmember Bolkcom approving Change Order No. 1 for the 2006 Street Improvement Proj ect No. ST. 2006 — 1. Seconded by Councilmember Billings. UPON A VOICE VOTE, ALL VOTING AYE, MAYOR LUND DECLARED THE MOTION CARRIED UNANIMOUSLY. 6. Resolution Approving MnDOT Agreement No. 89989 for the Maintenance of the University Avenue Decorative Fence (Ward 3). Councilmember Bolkcom asked if they were continuing to try to get some money from MnDOT. FRIDLEY CITY COUNCIL MEETING OF AUGUST 14, 2006 PAGE 6 Mr. Haukaas said they were continuing to work with MnDOT. Councilmember Bolkcom said this item is related to the maintenance agreement and has nothing to do with the actual costs. Mr. Haukaas said the fence is an HRA-funded project; however, MnDOT does require the City to sign a maintenance agreement which says because this is different from the standard, they will take care o£ The City will be required to do all future maintenance on the new decorative style fence. Councilmember Barnette said they have been asked why the fence is not taken down. The City has made an effort to work with the State for removal of some of the fence, and the State has been emphatic in saying that we cannot remove the fence. It is on the State's property. The City can improve it. He said he thinks it is going to be a very nice improvement. University Avenue is a gateway to our City, and the chain link is a detriment to its appearance. Pete Eisenzimmer, 6535 Oakley Drive NE, approached and asked how long the fence was and if another fence would be put in later on. Mayor Lund asked if he was referring to the City or the State. The State does not want to do anything. The City, through its HRA, is replacing the fence along the new section of redeveloped housing. Mr. Eisenzimmer commented because of the high expense he suggested the developer do the work. Mayor Lund stated to keep in mind that is not coming out of the general fund, it comes from the Housing and Redevelopment Authority which has its own budget. MOTION by Councilmember Bolkcom to adopt Resolution No. 2006-46. Seconded by Councilmember Barnette. UPON A VOICE VOTE, ALL VOTING AYE, MAYOR LUND DECLARED THE MOTION CARRIED UNANIMOUSLY. OPEN FORUM (VISITORS): Roger Avery, 600 Glencoe Street NE, approached and thanked Scott Hickok and Councilmember Bolkcom for cleaning up the area near his home. PUBLIC HEARINGS: 11. Consider Revocation of Special Use Permit, SP #03-14, for Central Auto Parts, Generally Located at 1201— 73 �/z Avenue N.E. (Ward 2) (Continued July 10, 2006). FRIDLEY CITY COUNCIL MEETING OF AUGUST 14, 2006 PAGE 7 MOTION by Councilmember Wolfe to remove this item from the table. Seconded by Councilmember Bolkcom. UPON A VOICE VOTE, ALL VOTING AYE, MAYOR LUND DECLARED THE PUBLIC HEARING OPENED AT 7:52 P.M. Julie Jones, Planning Coordinator, stated there were a couple of main issues remaining at the conclusion of the July 10 session of the public hearing which she believed caused the City Council to table the public hearing at that time. One was that the business owner was contending that there were drainage impacts from neighboring sites that had not been resolved and he was looking to the City to help him with that. Staff has met with the owners of the Gustafson Grinding property and believe they have resolved that issue. Ms. Jones stated the other point of concern was that the "property" owner claimed during the public hearing that he had not agreed to the 2003 stipulations. Staff has since looked at the public record of those meetings of 2003 and find at no time did Mr. Buzick voice opposition to those stipulations, and, in fact, there were several occasions where staff, including Dr. Burns and Scott Hickok, and also the attorney representing Mr. Haluptzok, stated that John Buzick had agreed to the stipulations in meetings that happened between staff and the property and business owners. Ms. Jones stated the conditions at the property have improved. The business owner has removed inoperable cars from the main yard entrance creating some space for customer parking. There is still need for more customer parking, because staff is continuing to see a lot of parking on the street in this area. The business owner has also reduced the height of the items stored on the property significantly, at least from the view of the front of the property; however, there are still storage height concerns on the backside of the property. You can see a significant amount of the material above the fence line in the rear of the property. Ms. Jones stated the business owner did submit a grading and drainage plan to staff last Friday. Unfortunately, staff has had very little time to take a close look at the plan. It is a preliminary grading and drainage plan. It is not a complete site plan. They do not have a landscape plan either, and those were part of the requirements that were supposed to be met by 2004. They have indicated that they are submitting that plan to the Rice Creek Watershed District for board review this month. The City and the Rice Creek Watershed District were required to approve the plan and they were to install the new fence and landscaping and irrigation by March 2005. Also, as part of their five-year plan for bringing the property into compliance, they needed to complete their grading and storm sewer piping by March, 2006. The installation of the first phase of the curb and gutter was due by March, 2004, with completion of the installation of curb and paving by March, 2008. She believed that was set aside in a two-year timeline because they are literally going to have to move material from one side of the site, pave the site that is clear, then move the material back and pave the other side. Ms. Jones stated as far as staff's recommendation, they feel the business owner has demonstrated progress by completing the preliminary grading and drainage plan. However, they are concerned because they are dealing not just with a business owner but also the property FRIDLEY CITY COUNCIL MEETING OF AUGUST 14, 2006 PAGE 8 owner as well; and staff has not received any assurances from the property owner since the July 10 meeting that he supports this preliminary plan or is committed to completion of the other 2003 stipulations. Staff is really not confident at this point that the property owner will ensure the plan gets completed. Therefore, staff continues to recommend the City Council takes action to revoke Special Use Permit, SP #03-14, and they have prepared a resolution for a separate agenda item. John Buzick, Central Auto Parts, approached and stated he is one of the principals of the corporation that owns the land. He is quite disturbed by what staff is saying because he will not agree to something he never agreed to in the first place. He said he thinks Mr. Haluptzok has done a fine job of working with the City. He has been trying to help him because he did agree to that. The Rice Creek Watershed District requires stuff that Mr. Haluptzok was not able to get. He talked to people about that so he will be doing that. As he said at the prior meeting, if he is going to do these things that is fine, but he never agreed to them in the first place. Mayor Lund replied they went over that at the last meeting. Staff's memorandum indicated that staff reviewed the videotapes from the 2003 public hearing. Mr. Buzick participated in those. He participated in the meetings afterwards. The record shows that Mr. Buzick was sent notice of the hearings. At that time, staff reported during the adoption of the resolution that the business owner and the property owner had agreed to the stipulations. He asked Mr. Buzick if he is saying three years later that he did not agree to any of that and he was not involved in the process. Mr. Buzick stated, that is correct. Mayor Lund said their goal is compliance. Staff has reiterated their concern that Mr. Buzick is not going to comply with these stipulations. Mr. Buzick and Mr. Haluptzok need to determine whether they are going to do these things. Mr. Buzick said it would be up to Mr. Haluptzok to address what he said he would do. The last agreement he had with the City pertains to the old special use permit. He did not enter into the new one. Mayor Lund said either the City is going to get compliance or they are going to seriously consider revocation of the special use permit. It is his understanding Mr. Buzick does not want that to happen, because the property will not be usable if the special use permit is removed. Whether it is Mr. Halputzok's responsibility or Mr. Buzick's, the goal should be to get compliance. Mr. Buzick said he did not agree to it in the first place. He hopes Council will take that into consideration. Mayor Lund stated, three years ago he agreed to it. The timeframe has not been met. Mr. Buzick stated he did not agree to it three years ago. Blacktopping the salvage yard does not make sense because you are setting cars on it that do not have tires. The cars will sink. FRIDLEY CITY COUNCIL MEETING OF AUGUST 14, 2006 PAGE 9 Councilmember Billings stated as a point of clarification, he asked Mr. Buzick if he is telling them that he has not looked at the plans, he will not look at the plans, and it is his feeling that this is between the City and Mr. Haluptzok. He asked Mr. Buzick if he has seen the current plans that are being offered. Mr. Buzick replied he does not have a full copy. Councilmember Billings asked him if a full copy was made available to him would he look at them and would he tell the City whether he agreed to the work that is proposed there. Mr. Buzick replied if Mr. Haluptzok wants to do it. Councilmember Billings stated he is asking if Mr. Buzick would agree to the work that is being proposed. In the alternative, would Mr. Buzick propose another site plan and another grading plan and whatever as a property owner. Mr. Buzick replied if this does not work out with Mr. Haluptzok, he would be willing to sit down with the City and try and work out an amicable agreement. The one that Mr. Haluptzok got is not amicable. They want to blacktop the salvage yard. Councilmember Billings stated the point he is missing is that in 2003, the special use permit was up for review by the City. The special use permit is between the City and the property. Mr. Buzick was here for those hearings and the meetings with staff. The attorney for Mr. Haluptzok at that time stood at that podium and said he could not speak for Mr. Buzick, but he had been at the meeting. He was not at the podium there to obj ect to it as the property owner. The only conclusion they could come to was that he was in agreement because he was not there objecting to it. They set new stipulations on the special use permit. What they called him in for was a review of the special use permits that were in place because he was not abiding by them. They called him in, along with the business owner, and they offered new stipulations on the special use permit. Now he is standing there telling them he did not agree to them. He did not have to agree to them because they are the City's stipulations that they attach to the special use permit. Unless he agrees to the drainage plan and everything else, they are not going to go through this again in another six years or another three years with him standing there saying he does not agree to it. This is the special use permit hearing. He is going to have to either agree to what is there, or he is going to offer a motion to vacate this special use permit and Mr. Buzick and Mr. Haluptzok can do whatever they want to do with the piece of property and the lease Mr. Buzick has with Mr. Haluptzok Mr. Buzick and his corporation own that piece of property. The City has a special use permit on that piece of property, and the special use permit is not being adhered to. He does not care who Mr. Buzick leases it to. It is between the City and the piece of property. If they revoke the special use permit, nobody is going to do business there as a junk yard. Councilmember Billings stated the other thing is unless he agrees to a drainage plan through this one or a new one, not only is he going to move to revoke this special use permit but he is going to move to revoke the other two special use permits because they are not going to go through this again with him. FRIDLEY CITY COUNCIL MEETING OF AUGUST 14, 2006 PAGE 10 Councilmember Billings stated to Mr. Buzick he has from now until when the hearing closes to decide if he agrees to the drainage plan and everything that has been presented or to provide an alternative or he will make a motion to vacate the special use permit and he will also make a motion to have a hearing on the other special use permits just like they did in 2003. He is just as much in violation of those now as he was in 2003, and he guarantees him if this one goes away, the other two will also. The special use permit that he does have, does not even cover the whole piece of property. It only covers a portion of it. Mr. Buzick stated when Mr. Haluptzok first applied for the grant, there was a license and then there was a special use permit. To the best of his knowledge, that was Mr. Haluptzok's license he was negotiating. He said he did agree to a drainage plan. In fact he had discussions with a man arguing how unpractical that plan was. Mr. Haluptzok seems to be a on plan to get that all done so, if that is what it requires for him to stay in business and his employees are no longer there, he would be willing to help Mr. Haluptzok do that. Having to admit that he agreed to this is not going to happen since it is not true. Councilmember Bolkcom asked regarding an application made to the Rice Creek Watershed, does the City actually have a plan. She asked if a plan had been submitted since the July 10 Council meeting. Ms. Jones replied Mr. Haluptzok submitted a plan to staff last Friday. It is a preliminary grading and drainage plan. It is not everything that they were supposed to submit in the first year of the plan, but it is a start. It is something they need to come before the Rice Creek Watershed District and submit for approval. Councilmember Bolkcom asked what was missing. Ms. Jones said they have not had time to go through it. It was just submitted. Karen Kurth, counsel for Jerry Haluptzok and Central Auto Parts, approached and stated she wanted to clarify that she does not represent Mr. Buzick or his corporate interests or as the landlord or property owner. She just wanted to elaborate on staff's comments regarding what Mr. Haluptzok has been doing since July 10. Mr. Haluptzok retained a company to do the engineering and survey report for the site drainage plan. The preliminary plan was completed on August 2. There were some changes made to it. Attorney Kurth stated a comprehensive plan has been submitted. The engineering company has also been instrumental in dealing with the Rice Creek Watershed District. The plan and application were submitted on August 3. It is her understanding they meet once a month to consider permits. In order for this to be considered for the August 23 meeting, the materials had to be in by August 3. On Friday they received the initial engineering draft as to what changes they wanted them to make to the plan and what else needed to be done. She said there are a few minor things that need to be done. They need to do some soil boring and get some soil samples to determine the depth of the water table. The engineering company said that could be done in a day. They also need to contact the Rice Creek Watershed District because they want to revise the storm water pollution protection plan to deal with spill prevention and spill response. FRIDLEY CITY COUNCIL MEETING OF AUGUST 14, 2006 PAGE 11 Apparently, there needs to be some changes made to the survey and engineering report that was submitted. There are some administrative things that need to be recorded with the County Recorder and an easement needs to be drafted. The next meeting of the watershed district is September 27 and the material has to be submitted by September 7 in order to have the permit approved on September 27. Attorney Kurth said Mr. Haluptzok has continued to make an effort to improve parking, some of the other issues that were a problem. He has started to contact contractors. There really was not much of a need to contact them until they got some idea from the Watershed District on how close they are. Mr. Haluptzok doe not have a proposal yet from a contractor but has started to contact general contractors. If it is approved on September 27 and pending City approval, they would have about four to six weeks, depending on the weather, to start on the contracting part of it. Some of that depends on the contractor and what can get done. Mr. Haluptzok's is committed to being a contributing business member to the City of Fridley. The permit and serving costs to date are running about $17,000. The initial survey was $2,700. They think this survey is going to come in the neighborhood around $12,000 depending on any revisions that have to be made. The permit application to Rice Creek was $2,000; and there is a$2,500 surety bond that has to be posted. He would have no intention of expending that kind of money if he did not have the intention to follow through. He respectfully requests that the license and permit not be revoked and that he be allowed to continue to run his business. Mayor Lund asked if her client was willing to fulfill all the stipulations. Attorney Kurth replied, yes. Mayor Lund asked what kind of timeline they were looking at. Attorney Kurth replied if Mr. Haluptzok retains a contractor, they may be able to complete part of it depending on the weather. Mr. Haluptzok is really committed to this proj ect. Mayor Lund asked if Mr. Haluptzok needed to be overseen by staff. Attorney Kurth said he needed help with the drainage issues. Mr. Haluptzok need to make sure some of the smaller things, such as the cars stacked above the fence, happen. Councilmember Barnette asked if blacktopping the surface was a new condition and if it was a true statement that other yards do not or are not required to have a hard surface. Mr. Hickok said in outlying areas outside the metro area, salvage yards may not have a hard surface. The City Code required it when Mr. Buzick was operating Central Auto Parts, and it should have been there. That was one of the many things that was not in compliance under his ownership and operation of the business. If asphalt is an issue than concrete might be the answer. It is one of those things that is code-required. Councilmember Bolkcom asked if it is realistic, considering the history with the Rice Creek Watershed District, they might still be able to do this project. FRIDLEY CITY COUNCIL MEETING OF AUGUST 14, 2006 PAGE 12 Mr. Haukaas replied he cannot speak on behalf of all the contracts done. Mr. Haluptzok and the engineering company have done a nice job of trying to do it right for the Rice Creek Watershed District. If they are able to get approval by the end of the year, that might allow them enough time to get a lot of the work done, if they have a contractor who is willing to start right away. Mayor Lund said he would like to hear from the property owner and Mr. Haluptzok that they are going to do this, they have the means to do it, and they agree to do it. Attorney Kurth replied they have not gotten any indication that it was not permissible to make the changes that Mr. Haluptzok is ready to make. Mr. Buzick replied if they need his approval for things that Mr. Haluptzok said he would get done and he is committed to them, he does not have any problem with that. He does not need to see his employees on the street or him out of a business. The only other thing he wanted to say is that he never sat at any of the meetings where they were stipulating to any of those things and for him to say anything different is not true. If Mr. Haluptzok wants to do these things and is committed to doing the things he has said he would, he is willing to go along with the plan. MOTION by Councilmember Barnette to close the public hearing. Seconded by Councilmember Wolfe. UPON A VOICE VOTE, ALL VOTING AYE, MAYOR LUND DECLARED THE MOTION CARRIED UNANIMOUSLY AND THE PUBLIC HEARING WAS CLOSED AT 8:40 P.M. 12. Consider Revocation of Special Use Permit, SP #89-08, for Sam's Auto World, Generally Located at 7570 Highway 65 N.E. (Ward 2) MOTION by Councilmember Wolfe to waive the reading of the public hearing notice and open the public hearing. Seconded by Councilmember Barnette. UPON A VOICE VOTE, ALL VOTING AYE, MAYOR LUND DECLARED THE MOTION CARRIED UNANIMOUSLY AND THE PUBLIC HEARING WAS OPENED AT 8:40 P.M. Councilmember Billings stated he would like to enter some correspondence into the record and let Council have some discussion about the correspondence before they continue. He is looking at a letter dated August 10, 2006, from attorney Jeffrey Carson and a fax dated August 14, 2006, making reference to the letter. Mr. Carson indicated he has recently been hired by Samir Awaijane and Sam's Auto World to represent them. In the August 141etter he states he is unable to attend tonight's meeting and that he is directing his client not to attend. He said that he has reviewed the calendar and determined that Monday, September 25, at 7:30 is a meeting that would give him the appropriate time to prepare, and he understands that the City will hear his request to postpone this evening. FRIDLEY CITY COUNCIL MEETING OF AUGUST 14, 2006 PAGE 13 MOTION by Councilmember Billings to enter into the record correspondence dated August 10, 2006, and a fax dated August 14, 2006, from attorney Jeffrey Carlson. Seconded by Councilmember Bolkcom. UPON A VOICE VOTE, ALL VOTING AYE, MAYOR LUND DECLARED THE MOTION CARRIED UNANIMOUSLY. Councilmember Billings stated he would move to continue the public hearing until some time in September. He would hope that he gets a second, but he would hope that no one votes in favor of it. He asked Mr. Hickok if the property owners have been properly advised of the public hearing this evening. Mr. Hickok replied, yes, they have been. Councilmember Billings stated to Ms. Jones, he believed the attorney has been in contact with her, and asked if at any time during those conversations, he indicated there was any kind of lack of notice to his client regarding this public hearing. Ms. Jones replied, no, he did not. His reason for asking for the delay is that he was just retained by his client. He did not indicate that his client was not properly notified. Councilmember Billings asked how much notice has the property owner had about the hearing. Ms. Jones replied Mr. Awaijane was notified about three weeks ago that staff was planning the public hearing. Councilmember Billings asked are they here because there are a number of issues that staff intends that the property owner has not completed in a timely manner? Ms. Jones replied they are here primarily because of the concern of car sales at the site. Councilmember Billings stated personally he sees no reason to delay the public hearing. The property owner has been advised that the public hearing is tonight, it has been published in the newspaper. He thinks it pretty brazen for an attorney to direct his client not to come to a public hearing merely because he cannot make the public hearing. If the property owner or his attorney chooses not to be here, that is their choice. This is the scheduled public hearing and, unless there is some problem with the notification, he sees no reason to continue it. He asked the City Attorney if there is any reason they are legally bound to not continue with this process. Attorney Knaak replied there is no legal requirement that they do so if asked to. Councilmember Billings stated he is planning to vote against the motion he made and he is encouraging all them to do so. Councilmember Bolkcom said not only were they notified three weeks ago, but this has been an ongoing issue. FRIDLEY CITY COUNCIL MEETING OF AUGUST 14, 2006 PAGE 14 Mr. Hickok replied, yes, that is true. There have been problems and there has been dialogue back and forth. Mayor Lund said if they should vote down this motion to continue the public hearing and then, after taking public testimony, make a motion to continue it to a later date after that, would there be any restriction as to who can make the motion? Attorney Knaak replied, no, there is not. MOTION by Councilmember Billings to continue the public hearing. Seconded by Councilmember Barnette. UPON A VOICE VOTE, ALL VOTING NAY, MAYOR LUND DECLARED THE MOTION DENIED. Ms. Jones stated the property is zoned M-1, Light Industrial, which cannot have automobile sales even with a special use permit. The site contains an auto repair business which they do have a special use permit for. The existing special use permit was reassigned to the owners of Sam's Auto World on November 18, 1991. In 1992, the City Council considered revocation of the special use permit for paving and screening of outside storage violations; but then the business owner did comply with those stipulations and the City ceased the revocation process. Other past problems on the site have included high grass, outside storage, and unauthorized signs. Last year they did have an incident with an employee living in a semi-trailer on the site. This year's problems involved vehicle parking in the public right-of-way on the frontage road, as well as the issue of selling cars without a dealer's license from the State of Minnesota. Ms. Jones stated there is actually some history to this site as far as the sale of cars. The business owner, Samir Awaijane, tried to sell cars on this site in the 1990s. When he was informed he was not permitted to do that in an M-1 zoning, he decided to pursue a rezoning of the property in 1999 but then later withdrew the application. She assumed most likely because staff has suggested that a better solution for him would be to find another site with the proper zoning that had a special use permit existing for automobile sales. Mr. Awaijane purchased property on Osborne Road close to his auto body repair business which was zoned G2 and he could sell cars and did so for a number of years. However, about one or two years ago he sold that business, called A& E Auto Sales. The problem was that he had leftover inventory, and it was soon thereafter that staff started receiving complaints that Mr. Awaij ane was selling automobiles at his auto body business location on Highway 65. To help him solve his dilemma and help him get rid of his inventory, staff did agree to sign off on a State dealers leasor's license which allows him to lease vehicles on the site, but only for nine vehicles (four of them being family vehicles and five being loaner vehicles for his customers). In January, staff did ask the Department of Public Safety to investigate; however, they have continued to receive complaints that he was selling vehicles. Ms Jones stated there are also some issues on the site as far as outside storage above the fence line. Section 205.17 in City Code does require screening for outside storage, and the storage behind that screening must be two feet below the fence line. As far as staff's recommendation, FRIDLEY CITY COUNCIL MEETING OF AUGUST 14, 2006 PAGE 15 despite clearly being aware of his inability to sell cars in an M-1 District, Samir Awaijane has violated City Code and his State dealer's license regulations by selling automobiles on site retail. Staff recommends that the City Council take action to revoke Special Use Permit, SP #89-08 for lack of compliance of stipulations for said permit. Primarily, the one that states he must operate his garage in a law-abiding manner. Councilmember Bolkcom stated she wanted to give the benefit of the doubt to the owner saying that he was advised by his attorney not to come tonight, good or bad advice. She suggested continuing the public hearing to August 28. Mayor Lund asked if the operator is in compliance now. Mr. Hickok replied it is their suspicion that auto sales would continue. Mayor Lund stated the State has been advised and they have done an investigation. Mr. Hickok replied the State has concluded there are retail auto sales. Mayor Lund asked if the owner had been cited by the State. Mr. Hickok replied, yes. The state inspector, Marc Peltier, indicated that there was a retail sale (and this is not the first call he has received), and the owner of the site would be cited for it. Councilmember Bolkcom asked if a letter will be sent to the owner stating he has to come to the meeting on August 28. Ms. Jones replied said there would and she has also agreed to telephone the attorney. MOTION by Councilmember Billings to continue the public hearing until August 28, 2006. Seconded by Councilmember Wolfe. UPON A VOICE VOTE, ALL VOTING MOTION CARRIED UNANIMOUSLY CONTINUED AT 8:53 P.M. AYE, MAYOR LUND DECLARED THE AND THE PUBLIC HEARING WAS 13. Consider the Need to Increase the Water, Storm Water and Sanitary Sewer Rates in Excess of the Inflationary Index or 5%, Whichever is Less, as Required by Section 7.02 of the Fridley City Charter. MOTION by Councilmember Bolkcom to waive the reading of the public hearing notice open the public hearing. Seconded by Councilmember Billings. UPON A VOICE VOTE, ALL VOTING AYE, MAYOR LUND DECLARED THE MOTION CARRIED UNANIMOUSLY AND THE PUBLIC HEARING WAS OPENED AT 8:53 P.M. FRIDLEY CITY COUNCIL MEETING OF AUGUST 14, 2006 PAGE 16 Richard Pribyl, Director of Finance, stated tonight's action is to comply with Section 7.02, Subd. 4, of that section of the City Charter which provides directions on how the City can increase taxes or utility rates beyond the limit imposed by the City Charter. This limitation has been in place since 2000. This public hearing is required by the City Charter to set forth the contents of the resolution that was passed by the City Council on July 10, declaring the necessity for the additional rate increase for the water, sanitary sewer, and storm water utilities. The public hearing notice has been published four times in compliance with the City Charter. The resolution published on July 10 outlines some key issues regarding the need for a rate increase beyond the limit as provided in the City Charter. It provided broad information regarding the losses being incurred by the operation. From the year 2000 through the year 2007, they do increase fairly substantially. The water rates have been increased each of the following years by the inflationary rate provided by the Charter. There were small increases to both water and sanitary and storm water. Mr. Pribyl stated over the years, they have tracked the City's standing regarding the cost of municipal utilities with other communities in the metro area. They have always found we have been among the lowest in regards to our quarterly utility cost for the homeowner. The City's budgeting efforts over the past five years have cut non-essential expenses from these operations in an attempt to reduce these losses and close the gap between revenues and expenses. In comparing the nine contiguous cities around Fridley, at $69.27 we are the lowest among our neighbors. Even with the proposed increase we would take to the voters on the ballot, we would still be at $79.90. Mr. Pribyl stated the utility rate would need to be brought before the voters this fall in order to actually do the proj ected monthly $10 increase, which is the rate needed to match the revenues with the expenses in 2007. What was allowed via the City Charter for the inflationary increase is 3 cents per thousand for water, and 7 cents per thousand for sewer. The storm water is based on a residential piece of property and is 9 cents per quarter. The voter-requested increase would be 16 cents per thousand gallons, 32 cents per thousand for the sewer, and 13 cents per quarter for a residential piece of property. The total for 2007 would be 19 cents per thousand for water, 39 cents per thousand on sanitary sewer, and the storm sewer would be 22 cents per quarter per residential piece of property. Councilmember Barnette asked who sets sanitary sewer rates and what control, if any, do we have over them. Mr. Pribyl replied the Met Council Environmental Services actually sets the rate by which they charge us for disposing of waste water into the municipal system. We have very little control over that except for the flows that actually flow from this community. We are actually charged per thousand gallons that we put into that. The amount is based on their cost of correcting the water that is put into the system to their specifications. Dr. Burns added their treatment cost is about 72 or 73 percent of our total operating cost for the sewer fund. FRIDLEY CITY COUNCIL MEETING OF AUGUST 14, 2006 PAGE 17 Councilmember Barnette asked if the Met Council sewer bill was raised for Fridley, by 8 or 9 percent for example, and we are only allowed to raise the rates per the cost of inflation, for example 3 percent, how is the difference made up. Mr. Pribyl replied we have to find that within our reserves until we can actually take that one more time back to the voters again and request an increase from the voters. Councilmember Wolfe said we do not want to raise the rates to make money; we are only raising it to pay what we are being charged. Mr. Pribyl replied, correct. Councilmember Bolkcom asked Mr. Pribyl if he could go over how many customers we have and some percentages. She knows there has been some discussion whether we should be charging some of our high-end users different rates. Mr. Pribyl replied about 97 percent of our customers actually consume under 100,000 and that generates 51 percent of our revenue. Approximately 3 percent of our customers consume over 100,000 gallons and generate 49 percent of our revenue. Councilmember Bolkcom said the $42 per year is a combination of the rates. Spread over 12 months, the amount is less than $4 per month. Mr. Pribyl replied, that is correct. Mayor Lund said if they restructured the rates and increased the rate for the heavy water users, that is not going to significantly offset the losses that we are repeatedly incurring from year to year. The 3 percent are already generating the largest amount of revenue to the City. It seems a little disproportionate to raise the rates at a higher end for heavy water users. Councilmember Bolkcom asked if they had an calculations on increasing the rates for the high- end users. Mr. Pribyl stated they actually took a look at a sample change in the rate structure and incremented at a 100,000 gallons increase. Even at a 0 to 100,000; 100,000 to 200,000; and 200,000 to 300,000 they are still incurring actually a$124,000 shortfall using the Charter limitation. Pam Reynolds, 1241 Norton Avenue NE, asked if the commercial rates were going up. She stated with the current two-tier rate structure in Fridley, it is 0-5,000,000 and then it jumps to 5,000,000 plus. The commercial, industrial, and institutional users are being subsidized by the residential users. The commercial, industrial, and institutional users are using more water and placing a higher demand on all of the system connected to filtering, treating, and delivering water, as well as the sewer. From what she sees there are 11,000 plus households in Fridley; and they are paying the same rate as a handful of large companies. The big users are using the system more and straining the system. FRIDLEY CITY COUNCIL MEETING OF AUGUST 14, 2006 PAGE 18 Ms. Reynolds stated she would recommend a sliding rate scale which many cities use. Other cities around us use an increase in block In fact our own comprehensive plan from 1999, Chapter 9, page 31, calls for a minor physical change to the City's water system. That change reads as follows: development of an increasing block method of water charges and/or summer rate that will promote water conservation. She feels it may help deficits in the future. Andover, Arden Hills, Blaine, Burnsville, Chanhassen, Cottage Grove, Inver Grove Heights, Lakeville, Lino Lakes, Plymouth and others in the 107 city reach of the Met Council have an increase in rate structure and a commercial/industrial/institutional rate higher than residential. Without a rate structure change to go with the rate increase, residential will be subsidizing the payback as well. The 2003 head of household age table, also from the 1999 comprehensive plan, shows 4,242 heads of household between the ages of 55 and 75. So that is a third of Fridley households that are in more of a senior category. Yet those people, the seniors, pay an average of $13.80 a year for unused water. Most of them do not qualify for senior discount because they have a stable income. Not charging a commercial/industrial/institutional rate is not conservation. The high-end users benefit and they are using our reserves because they use millions of gallons of water. There needs to be a two-fold fix to a problem that has plagued the City for almost seven years. We need to come up with a different rate structure so when the 3 percent cost of living increase happens, it takes us to the next level. She understands we need an increase but then it needs to be fixed. Councilmember Billings asked is she suggesting they should eliminate the minimum fee. Ms. Reynolds replied she is suggesting that perhaps the minimum fee needs to be adjusted to go with the residential usage. A lot of cities have a much smaller minimum fee. We have a minimum fee that comes up at 12,000 gallons. From checking with a lot of people, some only use 36,000 gallons per year. So they are actually paying for a whole quarter of water at a minimum fee of $13.80 when they have not used a drop of water. She is saying lower the minimum fee on an increasing block scale. It needs to be a minimum fee and it needs to recognize that most of the households in Friday, 4,242 of them, are not using 12,000 gallons a month. Councilmember Billings asked if there were 4,000 people who are only paying the minimum? Mr. Pribyl replied that seems fairly excessive to him. Councilmember Billings asked Ms. Reynolds where she got the 4,000 number. Ms. Reynolds replied she based it on the number of households in Friday who are between the ages of 55 and 75. Councilmember Bolkcom stated just because they are senior citizens, does not mean they are not using the minimum rate. They are probably still watering their lawns just like others. She is confused how Ms. Reynolds arrived at 4,000 where there are actually 8,200. Ms. Reynolds asked how they came up with 8,200. Mr. Pribyl stated that is right off the system. FRIDLEY CITY COUNCIL MEETING OF AUGUST 14, 2006 PAGE 19 Councilmember Wolfe said a lot of those could be apartments. Mr. Pribyl stated the first tier that they looked at, the 0 to 100,000, is a little shy of 8,000. He does not know how many would actually be at a minimum but it is certainly not that number. They would be sustaining a huge loss at that number. Councilmember Billings asked Ms. Reynolds is she suggesting that the minimum number of gallons per quarter be reduced? Ms. Reynolds stated, yes. Councilmember Billings asked Ms. Reynolds what is her concept of what the minimum fee is for. Ms. Reynolds replied according to her bill 12,000 gallons of consumption. Councilmember Billings asked her why she thought they had a minimum fee. Ms. Reynolds replied she is guessing it has to do with filtering and treating. Councilmember Billings replied the bottom line is that it costs the City just as much to do a meter reading and to generate an invoice whether a person is using 5,000 gallons or 100,000. The minimum fee is also intended to help capture the cost of having the water line run in front of the house. They could take a look at changing the number of gallons that apply to the minimum fee, but he thinks that would be part of a greater fee structure study. Councilmember Billings stated regarding the comprehensive plan and talking about conservations, the way the City would most benefit in terms of conservation would be if that 3 percent of our users who are using such high numbers were to use a smaller number of gallons of water. For example, we have one company in town that is a very large laundry company that goes around to businesses that does towels, uniforms, etc. If they establish a rate that is excessively high, that is going to cause that company to take a look at their water rates and determine whether it is more beneficial for them to conserve, for example, to do things like capturing the rinse water in a holding tank and then reusing that rinse water as the wash water in the next cycle. That would certainly conserve water but it would also tremendously cut down the number of gallons that company is using. If they take a look at the fact that our system is losing money every year, and if that company were to use less water, it is not going to change our infrastructure costs all that much. It is going to change a little bit of the cost of electricity and a few other things that we are using to pump it. It is not going to change it all that much. We are actually going to have a greater deficit if they conserve even more than what they are conserving. Councilmember Billings stated a person has to be cautious on how much fees are raised because that 3 percent is generating approximately half of the revenue. If they start conserving water, then we are going to lose even more money and the rest of us are going to pay more in order to pick up the debt, because it costs us a certain amount of money just to have the system in place. We still have to have wells examined and rebuilt. We still have to do work on filter FRIDLEY CITY COUNCIL MEETING OF AUGUST 14, 2006 PAGE 20 plants. He thinks we are a fairly astute society. That is not to say that we cannot conserve more in our rooms and cannot be more environmentally correct in our homes, but he thinks the amount that we could conserve in homes and in most of our small businesses is minute in comparison to the total amount that we are using for water. Ms. Reynolds stated as she looks at the rates that are charged in cities around us, and she understands that Fridley is the only one who chooses to shy away from increasing commercial rates. Blaine is at $2.10 a thousand for commercial. Why? Because they put a greater strain on the system, simply by the amount that they use. If they conserve, she thinks that the comprehensive plan talks about a state law which says that every city had to come up with conservation measures. She said they are not looking at any kind of a method to increase saving and conserving water. The Minneapolis Star talks about a one-time increase. She asked if that was true. She said this year the City is asking voters to allow a one-time increase, not a change to the City Charter. Is that a one-time this year and then a one-time next year? Or do we try to find a way? The 1999 comprehensive plan pointed out that it was necessary to do some sort of a study. Mayor Lund stated the reason for the 1999 comprehensive plan suggesting that cities look at that was for conservation purposes. Fridley does not have a watering ban like other cities because we have the capacity to service everybody and their demands. We have a good and adequate system. What we do not have is an inherent fixed cost in providing and delivering those services. He is not trying to argue the point because he does appreciate her interest and time and concerns. Ms. Reynolds asked if the rate increases will also affect every gallon of water used by commercial users as well. Councilmember Bolkcom replied, right. It will be increased for everyone right across the board. Everybody is subsidizing everybody right now. She said they do look at the water rates and try to figure out what they can possibly do. To be honest, she thinks they should have been increasing rate a long time ago. We are using the money to fix our wells and deliver a good product, and some of it is also related to federal mandate. We are being very prudent with the things we have to do. The capital improvements that we have done on our wells have been things that had to be done because we are an older city. Ms. Reynolds stated she thinks we cannot keep coming back and asking for more money because the voters already have an issue with 3 percent. Mr. Haukaas stated looking at the list of 29 cities Ms. Reynolds presented them with, only 5 of them he believed had more than 3 tiers, 4 of them had 3 tiers, and the remainder had 1 or 2 tiers similar to us. We are similar to 21 out of 29 with 2 tiers or less. He does not see how what we are doing is contrary to what everyone is doing. In addition to that, the quality of water is something that needs to be looked at. Blaine is cheaper than Fridley. The primary reason is that, at this time, we are able to filter basically 100 percent or our water. Blaine is filtering less than 20 or 30 percent of their water. They have large filtration plant projects in place. When those FRIDLEY CITY COUNCIL MEETING OF AUGUST 14, 2006 PAGE 21 are completed, they will still be filtering less than 50 percent of their water. It comes down to the product we are getting and the cost associated with it. Ms. Reynolds asked early on there was some discussion about street projects and how does that affect monies coming out of the water and sewer enterprise funds. Mayor Lund stated as they do the street reconstruction proj ects, it seems prudent to do repairs where needed under those streets. We are taking monies out of the water and sewer funds as appropriate to fix the infrastructure and that is what the reserves are set aside for. Ms. Reynolds replied the commercial user is paying the same $12 minimum. Councilmember Billings stated if a commercial/industrial user uses 1,000 gallons in a quarter, they are still getting billed the minimum. Ms. Reynolds stated she understands that but if she is a huge user, and using 5,000,000 gallons, she is putting more strain on the infrastructure and she is still only paying the $12 minimum. She is paying for all the water but she is paying a$12 minimum. Councilmember Billings replied if you are paying for 5,000,000 gallons, you are paying for the first 12,000, the second 12,000, the third 12,000, etc. and the next 100,000. He said he is not sure what point she is trying to make. Ms. Reynolds stated they are saying the $13.80 that each residential user pays is for infrastructure and building. Councilmember Billings replied it is based on a minimum usage, not a minimum fee. Dr. Burns stated their problem is not a conservation problem. It is the budget-balancing problem. They really do not solve the revenue problem through conservation measures. If our rate structure were out of line and the residents/customers were paying a disproportionate share of the cost, then it stands to reason they would be paying more, but they are not. Robert King, 5398 Altura Road, asked if they are raising the rates every year to the maximum that is allowed. Mayor Lund replied they have been. Low inflation from year to year has caused them to raise only to the rate of inflation or 5 percent whichever is less as designated by the Charter. For the last five years, it has been 3 cents per 1,000 gallons. Mr. King asked where are they having the problems. Mr. Pribyl replied all three are in a deficit. Mr. King stated if they want something to pass, could they look at raising the sewer rates to match the rates that Metropolitan Waste Commission is charging. FRIDLEY CITY COUNCIL MEETING OF AUGUST 14, 2006 PAGE 22 Mayor Lund replied they would like to but they cannot because of the Charter restriction. Mr. King stated, yes, but if they put it on a ballot. What they are looking for is a ballot that is going to pass, correct? Mayor Lund replied, right, in the previous two years, they have asked at the ballot for removing that part of the restriction that was placed upon the City in 2000 as it relates to the water, sewer, and storm water. That ballot question has failed two years in a row. It tells him the citizens do not want to be asked about a rate increase. We are asking for an increase and we would not be able to do another increase until we ask the voters again. We can do the small increase up until the rate of inflation or 5 percent, whichever is less. Even this increase will not get us to break even. Mr. King stated so the increase that they proposed every year that is on the Charter will not cover the water cost? Mayor Lund replied, no. Even going at the ma�mum that we are allowed to raise the rates now, it is going the wrong way. We are having a larger and larger deficit each year. Mr. King stated he understands that and from what he hears the main reason is the Metro Waste Commission is charging the City more money every year. Mayor Lund replied, that is one of the reasons. Mr. King asked can they live with that on a water increase and just increase the sewer rates to match the Metropolitan Waste Commission's increases? Mayor Lund replied those funds are not co-mingled, they are called enterprise funds. What they gather in revenues, the income for sewer stays in the sewer fund. He asked which one was losing more money. Mr. Pribyl replied actually the sewer fund has the higher loss. Mayor Lund stated Mr. King's point is well taken. Three-quarters of all the money the City derives from the sewer bills is going to Met Council to treat the sewage. The reason why our water fund keeps losing money is because we pretty much take care of our own system. The ever-increasing cost of the chemicals alone is going at a much higher rate than the rate of inflation. Our system is aging so we find more and more need for taking money out of that water reserve to pay for equipment. Mr. King commented he thinks the City does a terrific job. He thinks where we run into trouble with this is that the voters are voting now just because of spite. And the reason for that is because they tried to push through, five or six years ago, the utility fee and somebody went out and got a petition and now we have to vote on it. He thinks if they present something that is true and honest and they have their facts and figures straight, he thinks everybody will vote for it. FRIDLEY CITY COUNCIL MEETING OF AUGUST 14, 2006 PAGE 23 Councilmember Wolfe stated they are just trying to recover what they are being charged. William Holm, 7424 Melody Drive, approached and asked if they are dedicated funds. They cannot be used for any other purpose. So theoretically if the City generates too much revenue, they have to use that money to lower rates. Mayor Lund replied in the reality of the real world, nobody gets a refund or lower rates. What it would do is keep them from raising the rates. Mr. Holm asked how they establish sewer rates. Mayor Lund replied sewer rates are figured for the whole year for everyone in the winter quarter which is probably the most fair because you are not watering your lawn then or using your pool. He guessed the premise is the water you are using in the winter quarter is water that is going down the sewer line. Mr. Holm stated he did not think a lot of residents understand that. Mayor Lund replied that is why that stays fixed and it is changed each year based on your consumption in the winter quarter. It would be unfair to charge a higher rate for sewer when you are paying for more water in the summertime because that is when obviously everybody is using the most water, watering their lawns. Mr. Holm stated right now we are running deficits of $500,000 or more combined and they are projected to increase by even more in the coming year. Has this affected the borrowing capability of the City in any way at this time? Mayor Lund replied as our reserves are diminishing and depleted, since we are in a negative in raising revenues, we cannot bond for future projects. Councilmember Bolkcom stated the City actually had its bond rating downgraded. Mr. Holm pointed out regarding one of the results of the spiteful vote years ago is that there has been a lot of talk regarding changing the rate structure. The City does not have the authority to do that because the Charter restricts them in terms of how much they can increase rates. So they cannot increase rates by more than the rate of inflation for industrial users. Changes need to be made to give them the authority to do that. A1 Stahlberg, 8055 Riverview Terrace, approached and stated people should pay for what they use. He stated he uses 3,000-4,000 gallons a quarter. He is not complaining about the $13.80 but the thing is he can go around and triple the amount and it would not cost him anymore. He stated he cannot believe they are not more concerned about conserving water; that it has to cost them a lot more to filter out 10,000,000 gallons of water than it does 5,000,000. Maybe the 3 percent paying for half the revenue is not paying enough. FRIDLEY CITY COUNCIL MEETING OF AUGUST 14, 2006 PAGE 24 Councilmember Wolfe replied as far as raising the rates, the City is just trying to pay its bills. All the City wants to do is raise the rate to what it is being charged. Right now the City is paying 6.3 percent of everyone's water bill out of our balance and we just keep going backwards. Mr. Stahlberg asked what would it take to get us out of the hole? Mr. Pribyl replied that is exactly what they are looking at in 2007. We are going to be voting on a break-even rate for water, sewer, storm water for what is in place January 1, 2007, for that particular budget year. We do not know what will happen in future years. Councilmember Billings replied this number, based on all the information we have, is going to cause the water fund to get to a break-even point for 2007. We will be here again in 2007 if something we do not know about happens. Three times we have asked to raise it and the voters have turned it down. Once we break even, in theory, the cost of living should take care of it. Unless there are some maj or things that happen that we do not know about at this time. 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 WAS CLOSED AT 10:14 P.M. 14. Consider the Building Located at 5685 Jackson Street N.E. Hazardous and Order its Removal or Repair Pursuant to Minnesota Statutes, Section 463 (Ward 1). MOTION by Councilmember Billings to waive the reading of the public hearing notice and open the public hearing. UPON A VOICE VOTE, ALL VOTING AYE, MAYOR LUND DECLARED THE MOTION CARRIED UNANIMOUSLY AND THE PUBLIC HEARING WAS OPENED AT 10:16 P.M. Mr. Hickok stated on April 21, 2006, this home was involved in a fire and sustained heavy damage. The City's Chief Building Official inspected it after the fire and determined the home sustained heavy enough damage to be determined a hazard and notified the owner. On Apri124, 2006, the property owner was contacted and informed that the Minnesota State Building Code said in part: "Any structure that constitutes a hazard to safety health or other public welfare by reason of disaster or damage, shall be considered unsafe." The State investigator from the Fire Marshall's Office concluded his on May 15, 2006. The building owner was contacted again by the building official and a detailed message was left. On June 8, the owner called and indicated the demolition would be concluded by June 30, 2006. His insurance company then called on June 13 and indicated that their fire investigation was complete. The home remains standing after assurances by the owner that the home would be taken down by June 30. State Statute 463 defines a process for demolition proceedings. That is the point of the hearing tonight. The property will have 20 days from service of notice to respond. The attorney for the property FRIDLEY CITY COUNCIL MEETING OF AUGUST 14, 2006 PAGE 25 owner has now indicated that the home will be removed within the next 7 to 10 days, and a contractor for that property indicates that he will be deconstructing rather than demolishing the home. Staff is recommending that the City proceed with the statutory process so that we can take down the house if it does not come down. Mr. Hickok stated if the owner fails to contact or act in accordance with the notification, the City can repair or remove the structure and bill the expense, plus the administrative expenses, to the owner. Because of the severe damage to the structure, the City has determined the building will be demolished, rather than repaired. Staff is concerned about deconstruction. The company that is doing the demolition in this case has defined it as a deconstruction. That is to save the foundation. They would like to reuse the foundation which is a good principle and seems to make sense. However, it does take time, it leaves the hazard longer and it may make the hazard more attractive as a nuisance as the home becomes picked apart but yet some of it remains. The deconstruction site must be surrounded by a non-climbable chain link fence. The deconstruction site must be secured 24 hours a week, 7 days a week Staff prefers that the deconstruction occur this week and be concluded by Friday, August 18, 2006. The fence should remain around the foundation until it is capped and the hazard can be secured. Staff recommended that the Council hold the public hearing and approve the resolution that will authorize staff to move ahead with the statutory process, notify the property owner, and ultimately take down the structure if necessary. Councilmember Bolkcom asked if it was realistic to have it done in a week. Mr. Hickok replied the property owner's attorney indicated last Friday that it would be done in a 7 to 10 days, and they would like to hold them to that. Councilmember Bolkcom asked if he is recommending that the whole thing, including the whole foundation go or if he is saying they can deconstruct it as long as they follow the stipulations of having a fence around it and cap it. Mr. Hickok replied, the latter. If the City does it, they do not save the foundation. Roger Avery, 600 Glencoe Street NE, approached and stated this guy has 20 days. They have issues that have been going on in his neighborhood that have been going on for a long time. Pat Carline, 5705 Jackson Street, approached and stated he lives two houses away. He wondered if they tear it down and take the foundation down, why would they not fence the new building in. He has never seen a house under construction in the City of Fridley where they fence the foundation. Mayor Lund replied it is a temporary fence used on any construction site. Councilmember Wolfe stated it is for safety and typical for construction in an established neighborhood. Mr. Hickok stated there was a construction project just down the street recently and it was surrounded by chin link fence to keep people out. New construction does not require chin link FRIDLEY CITY COUNCIL MEETING OF AUGUST 14, 2006 PAGE 26 by law, but certain people use it if their project warrants it for the safety of others. In this particular case the fact it has stood for so long has really aroused the curiosity of a lot of people. Mr. Carline stated if they were concerned about safety it should have been fenced in a long time ago. He said he was at the scene and he would think that with the heat of the fire, the foundation would have been weakened. Attorney Knaak, City Attorney, stated the procedure that they are following now is actually kind of exceptional yet it takes special action on the part of the City Council to even be able to access the property in this way and to protect the public in this way. So the City has to follow a process. The resolution that is on the agenda for this matter actually serves as a summons. It is served on the property owner, and they have 20 days to answer. It gets immediately filed with the court and, if there is no answer after the 20 days, the City can actually go in and do what it needs to. The law is designed to protect the private property owner, and the City has to go through some really pretty extraordinary steps to do this kind of thing. This is perhaps the third one which he has seen the City do in ten years. MOTION by Councilmember Billings 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 WAS CLOSED AT 10:32 P.M. NEW BUSINESS: 15. Resolution Revoking Special Use Permit, SP #03-14, for Central Auto Parts, to Operate a Junk Yard in an M-1 Zoning District, Generally Located at 1201 — 73 �/z Avenue N.E. (Ward 2). Councilmember Bolkcom asked the City Attorney if they needed to pass the resolution. She felt they have been working with City staff. She asked what would be the best way to give them a few more months. Attorney Knaak, City Attorney, replied there are a couple of possible procedures they could follow. One is just to continue this action item for another time. A special use permit already exists on the site. Council does not have to act on it this evening. Councilmember Wolfe asked so they could continue it, for example, six months. Attorney Knaak replied they could, although he would caution them on how they handle their review process of special use permits. It is important they do it regularly so that there does not appear to be any wavering. The danger that they run in a situation like this is, if they do it long enough, they will have appeared to have waived their options. Especially if they approach one year. FRIDLEY CITY COUNCIL MEETING OF AUGUST 14, 2006 PAGE 27 Councilmember Bolkcom asked about the license. There is also a license with this whole process is there not? Mr. Hickok replied they are separating those two issues. The license will go ahead, they will continue to operate. Any corrections or modifications will come through the special use. Dr. Burns asked him what would be a reasonable date for continuation of this matter. Mr. Hickok replied, considering the progress that has been made and the comments they have heard back from and conveyed to the Rice Creek Watershed, he would say it would be fair to set it up for 60 days. They will have their answer from the Rice Creek Watershed District at that point, and they will have a better sense probably of other modifications. Councilmember Bolkcom asked, knowing that they are before the Rice Creek Watershed near the end September, would that be 60 days from then or is it from this evening. Mr. Hickok replied he thinks it is realistic they will have their answers and corrections made within 60 days despite the September date. They could start the 60 days from the September date. Councilmember Bolkcom asked Attorney Knaak if they continue it for 60 days it will set a time limit. Attorney Knaak replied that is a reasonable period of time. They have that discretion. Councilmember Billings said they are talking about the October 9, 2006, City Council meeting. Mr. Hickok replied, yes. Councilmember Billings asked if they are also expecting on October 9 that they would not only have approval from Rice Creek Watershed District but a tentative timetable of the rest of the items in the special use permit that need to be completed. Mr. Hickok replied, yes. Councilmember Bolkcom stated so basically they would have a contractor lined up and they would have their landscape plan and everything. Councilmember Wolfe stated but if on October 9 the Rice Creek Watershed District has not gotten back to them, they would just continue it again until they get it. Councilmember Billings stated he thinks at that point in time Council would have to make some kind of decision. MOTION by Councilmember Wolfe to table the Resolution Revoking Special Use Permit, SP #03-14, for Central Auto Parts, to Operate a Junk Yard in an M-1 Zoning District, Generally Located at 1201— 73 '/z Avenue N.E. to October 9, 2006. Seconded by Councilmember Barnette. FRIDLEY CITY COUNCIL MEETING OF AUGUST 14, 2006 PAGE 28 UPON A VOICE VOTE, ALL VOTING AYE, MAYOR LUND DECLARED THE MOTION CARRIED UNANIMOUSLY. Councilmember Billings asked attorney Kurth if she understands what they are looking for on October 9, 2006, is hopefully approval from the Rice Creek Watershed District, a tentative agenda as to when the items are uncompleted will be completed — an aggressive schedule, and asked that she nod in agreement if so. (Attorney Kurth nodded in the affirmative) Councilmember Bolkcom asked Attorney Knaak if tabling this resolution then allows the special use permit to continue until October 9? Attorney Knaak stated, yes. Councilmember Billings stated, just so there is no misunderstandings, he wants to make sure the property owner/fee owner is understanding that these are stipulations and the special use permit is tied to the property and, if they are not completed by the tenant or the property owner, one or the other, at some point in time they will be reviewing this again for a possible view towards revocation. 16. Resolution Ordering the Removal or Repair of a Hazardous Building, Pursuant to Minnesota Statutes, Section 463, Located Within the City of Fridley, Minnesota (5685 Jackson Street N.E.) (Ward 1) MOTION by Councilmember Billings adopting Resolution No. 2006-48. Seconded by Councilmember Barnette. UPON A VOICE VOTE, ALL VOTING AYE, MAYOR LUND DECLARED THE MOTION CARRIED UNANIMOUSLY. 17. Informal Status Reports. Councilmember Bolkcom stated on the soggy National Night Out there were 2,000 pounds of food collected for the food shelves. There were 100 block parties. People from the City did a great job as well as everyone who organized the parties. Councilmember Billings asked if they want to add another item to their agenda. Based on the conversations he has heard tonight and those heard about four weeks ago, in review of the City Council minutes from 2003, there were two special use permits on Central Auto Parts prior to 2003. In 2003 this City Council took action to modify those two special use permits and to issue Special Use Permit, SP #03-14. They never actually vacated the two existing special use permits, and the property owner has argued that as far as he is concerned, this is the tenant's special use permit and, if it goes away, he never agreed to it, so he wants to go by the old special use permits. He asked if it would make sense to add an item to tonight's agenda to set a public hearing for October 9 to hear the revocation of those two old permits and then vacate them. FRIDLEY CITY COUNCIL MEETING OF AUGUST 14, 2006 PAGE 29 Attorney Knaak replied if there is any ambiguity about whether or not those earlier provisions are still in effect or not, he does not think it is at all a bad idea to clarify that and clarifying it does not mean you have to extinguish. The fact of the matter is you really run one special use permit at any given time. The last special use permit is deemed to be the special use permit and it does run against the property owner, notwithstanding what the owner said tonight for the parcel they are looking at. He would think at the very least what they would want to do is make very clear, when they have the newly modified special use permit, that they state in the resolution adopting that special use permit that any and all prior special use permits that may apply to the property have been extinguished. He would suggest that if they do that, they also very carefully review what those may be. It certainly would be appropriate to put that on the agenda for review. What they do normally, as an affirmative action in adopting a new special use permit, is to extinguish the terms and conditions of prior special use permits, and incorporate them into the current special use permit. He would anticipate that would be what they would want to do in this instance. Councilmember Billings said what he is hearing is on October 9 if it is the desire of the Council to not revoke the special use permit, the resolution should clearly state that they are not revoking the special use permit, they are adopting the new timelines as new stipulations and then adding an additional stipulation that any and all prior special use permits on this property would become extinguished. Attorney Knaak replied, that is correct, they would be extinguished. Councilmember Billings asked the staff to take a very close look at those special use permits prior to 2003 and make sure there is nothing in any of those that carries forward and take a more precise look at the language of the actual action from 2003. ADJOURN: MOTION by Councilmember Barnette, seconded by Councilmember Wolfe, to adjourn. UPON A VOICE VOTE, ALL VOTING AYE, MAYOR LUND DECLARED THE MEETING ADJOURNED AT 10:53 P.M. Respectfully submitted by, Denise M. Johnson Scott J. Lund Recording Secretary Mayor � � CffY OF FRIDLEY Date To: AGENDA ITEM CITY COUNCIL MEETING OF AUGUST 28, 2006 August 23, 2006 Wlliam Burns, City Manager From: Scott Hickok, Community Development Director Julie Jones, Planning Coordinator Stacy Stromberg, Planner Subject: First Reading of an Ordinance for an Appeals Commission Substitute M-06-105 ANALYSIS It has been the Community Development Department's policy to have a Planning Commission member substitute for an Appeals Commission meeting if a quorum isn't able to be obtained. Even though it's been a departmental policy, city staff determined that it would be best to make it an official requirement by amending Chapter 6, Commissions of the Fridley City Code. Therefore, city staff is requesting that the City Council adopt of following language. 2. Substitute Members. At any meetin� of the A�peals Commission, if there is less than a quorum present, the Chair of the Plannin� Commission or the Chair's desi�nee shall serve as a member of the A�peals Commission in that member's absence. PLANNING STAFF RECOMMNEDATION City Staff recommends the City Council hold the first reading of the proposed amendment to Chapter 6, Commissions of the Fridley City code. FRIDLEY CITY CODE CHAPTER 6. COMMISSIONS (Ref. 55, 314, 348, 351, 520, 584, 606, 705, 846, 863, 871, 937, 1169, 1173) 6.01 COMMISSION TITLES There is hereby created the following commissions for the City of Fridley. These commissions shall be known as: (Ref. 937) 1. Planning Commission. 2. Parks and Recreation Commission. 3. Environmental Quality and Energy Commission. 4. Appeals Commission. 6.02 COMMISSIONS GENERALLY 1. Membership. A. Each commission, unless otherwise indicated, shall consist of five (5) Fridley residents appointed by City Council. B. The commission chairperson shall be elected by the commission membership and shall also serve as a member of the Planning Commission. C. The commission members shall be appointed by the City Council for three (3) year terms, except the City Council shall stagger the appointments so that the terms of no more than two (2) members shall expire in any one (1) year. Attempt shall be made to have all City wards represented on the commissions. Upon the expiration of their terms of office members shall continue to serve until their successor shall have been appointed. D. The commissions shall each year, from their own members choose a chairperson and vice-chairperson. At any meeting of the commissions if the regular chairperson is unable to attend, the vice-chairperson shall act as chairperson. 2. Vacancy. Commission members may resign or be removed from office by a majority vote of the City Council. The commission member appointed to fill any vacancy shall serve for the remainder of the vacated term. 3 . Organization. A. Following the appointment of inembership, each of the commissions shall meet, organize and elect any officers, as it deems desirable Fridley City Code Section 6.02.07 B Adopt rules for its meetings and the transaction of its business, in order to fulfill the responsibilities of the commission. C. The chairperson shall assure the fulfillment of the following responsibilities. (1) Call and preside over meetings of the commission. (2) Appear or appoint a representative to appear, if deemed necessary before The City Council or any City commission pertaining to matters within the scope of the commission. (3) Provide liaison with other governmental and citizens' groups pertaining to matters within the scope of the commission for the purpose of timely and relevant information for consideration by the commission. 4. Administrative Staff. The City Manager shall assign one member of the Administrative Staff to serve as secretary to each commission. The secretary shall perform only such clerical duties on behalf of a commission as may be assigned by the chairperson and with the consent of the City Manager. Additional advisory staff shall be assigned to the commissions by the City Manager within the restraints of the adopted general fund budget. Administrative Staff shall be limited to commission level unless specifically approved by the City Council. 5. Proj ect Committees. The commissions may establish special project committees to further the objectives of the commissions and provide for greater citizen participation. Such project committees shall be appointed by a commission for special projects and shall cease to exist when their activities are completed. The qualifications for membership, composition and duties of such project committees shall be at the discretion of the commission. The project committee may be chaired by a member of the commission, and at least one member of the commission shall act as a liaison for each proj ect committee. 6. Compensation. The members of the commissions shall serve without pay, but may be reimbursed for actual expenses if funds therefore are provided in the adopted general fund budget. 7. Reports. The commissions shall make such reports as requested by the City Council or Planning Commission. Fridley City Code Section 6.03.04.A 8. Meetings. Meetings shall be called by the chairpersons and shall be held as necessary to fulfill the responsibilities of the commissions. All meetings of the commissions shall be open to the public. Minutes shall be kept of all meetings. Findings and recommendations shall be transmitted by the commission chairpersons to the Planning Commission and from the Planning Commission to the City Council. 6.03 PLANNING COMMIS SION 1. Title. There is hereby created a Planning Commission for the City of Fridley, Minnesota. 2. Purpose. The Planning Commission is established to promote the systematic and continuing application of organized knowledge and foresight in the pursuit of clearly defined and properly related goals and objectives in order to create an increasingly better, healthy, convenient, efficient and attractive environment. 3. Scope. A. The Planning Commission shall serve in an advisory capacity to the City Council. Problems shall be referred to the Planning Commission by the City Council, City Administration or chairperson of the member commissions, and may be assigned to the member commissions for detailed study and recommendations as required. All recommendations by the Planning Commission shall be made to the City Council. B. The Planning Commission is charged with responsibility for continuous community planning and development of comprehensive goals and policies, including but not limited to, land use, housing, environment, parks and recreation, public services, human resources, and other related community activities C. The Planning Commission shall advise the City Council in the development of programs to give increased effectiveness and direction in implementing established City goals and policies and recommend actions needed to carry out planning responsibility. 4. Membership of Planning Commission A. The Planning Commission shall consist of the Planning Commission chairperson, the chairperson of the Parks and Recreation Commission, the chairperson of the Appeals Commission, the chairperson of the Environmental Quality and Energy Commission, and three (3) members-at-large. (Re£ 871, 937, 1169 and 1173) Fridley City Code Section 6.04.03 B. The chairperson of the Planning Commission and two (2) members-at-large shall be appointed by the City Council to serve for three-year terms as voting members of the commission. The City Council shall stagger the appointments so that no more than one (1) of these appointments shall expire in any one (1) year. Nothing herein shall prohibit any of these three Planning Commission members from serving on other commissions; however, none of these three shall be elected as chairperson or vice-chairperson of the member commissions. (Ref. 937) C. The Planning Commission members serve as chairperson of the member commissions and are appointed according to provisions outlined in the ordinance establishing each member commission. D. The Planning Commission shall each year, from their own members, choose a vice-chairperson. At any meeting of the Planning Commission, if the regular chairperson is unable to attend, the vice-chairperson shall act as chairperson. (Re£ .705) E. At any meeting of the Planning Commission, if any commission member is unable to attend, the vice-chairperson of his/her member commission(s) may serve in his/her stead. (Ref. 863, 871) 6.04 PARKS AND RECREATION COMMISSION (Re£ Chapter 508) 1. Purpose. The Parks and Recreation Commission is established to promote the systematic and comprehensive development of park facilities and recreational activities necessary for the physical, mental and emotional health and well being of the residents of the City of Fridley. 2. Scope. A. The Parks and Recreation Commission shall act as an advisory commission to the Planning Commission for continuous community planning and development of comprehensive City goals and policies. Any change in related community planning and comprehensive City goals and policies must be reviewed by the Planning Commission who will then make recommendations to the City Council. B. The Parks and Recreation Commission shall advise the City Council, after a policy review by the Planning Commission, in the development of programs to give increased effectiveness and direction in implementing established City goals and policies and recommend actions as needed to provide park and recreational opportunities. 3. Program. The Commission shall each year, prior to June 1, recommend a capital improvement program for park improvement and acquisition and for public recreation activities for the ensuing year. Fridley City Code Section 606.04.A 4. Funds. For the purpose of financing the parks and recreation program authorized by this Chapter, the accounting shall be the responsibility of the Treasurer of the City. The Commission shall be authorized to establish charges or fees for the restricted use of any facility or to make any phase of the recreation program wholly or partially self-sustaining. Any employees who handle cash in the process of collection shall be bonded. 6.05 ENVIRONMENTAL QUALITY AND ENERGY CONINIISSION 1. Purpose The Environmental Quality and Energy Commission is established to stimulate interest in and to promote an awareness of environmental and energy concerns among citizens and businesses of the City of Fridley; to serve as a resource to the city in the conservation and management of energy and the environment, including information on environmental problems, laws, policies, and regulations of the county, metropolitan, state, and federal levels to the extent of their effect on Fridley; and to advise the City Council, the City Manager, and other appropriate City commissions on matters pertaining to conservation and management of energy and the environment, including the review and recommendation of programs and policies within the City. (Re£ 937) 2. Scope. A. The Environmental Quality and Energy Commission shall act as an advisory commission to the Planning Commission for continuous community planning and development of the comprehensive City goals and policies. Any change in related community planning and comprehensive City goals and policies must be reviewed by the Planning Commission which will then make recommendations to the City CounciL (Ref. 937) B. The Environmental Quality and Energy Commission shall advise the City Council, after a policy review by the Planning Commission, in the development of programs to give increased effectiveness and direction on implementing established City goals and policies, and recommend actions as needed relevant to the conservation and management of environmental and energy resources. (Ref. 937) C. The membership of the Environmental Quality and Energy Commission shall consist of seven (7) residents appointed by the City CounciL (Ref. 937) 6.06 APPEALS COMMISSION 1. Title. The Council hereby creates an Appeals Commission to serve as the Board of Appeals and Adjustments and to exercise all authority and perform all functions of said Board pursuant to Minnesota Statutes Sections 462.351 to 462.364. (1980) 2. Substitute Members. At any meetin� of the A�peals Commission, if there is less than a quorum present, the Chair of the Plannin� Commission or the Chair's desi�nee shall serve as a member of the A�peals Commission in that member's absence. And the rest of this section shall be renumbered accordin,glv. �3. Purpose. The Appeals Commission is established to provide a process by which the public may appeal the literal provisions of the zoning ordinance, sign ordinance and building code, for reasons of exceptional circumstances when strict enforcement would cause undue hardship and strict conformity of the standards would be unreasonable and impractical or not feasible under the circumstances. �4. Scope. A. The Appeals Commission shall act as an advisory commission to the Planning Commission for continuous community planning and development of the comprehensive City goals and policies. Any change in related community planning and comprehensive City goals and policies must be reviewed by the Planning Commission who will then make recommendations to the City Council. B. The Commission shall have the power and duty of hearing and recommending to the City Council appeals or requests in the following cases: (1) Appeals where it is alleged that there is an error in any order, requirement, decision, or determination made by an administrative officer in the enforcement of the zoning ordinance, sign ordinance or of the State Building Code. (2) Requests for variances from the literal provisions of-the zoning ordinance, sign ordinance or of the State Building Code in instances where strict enforcement would cause undue hardship because of circumstances unique to the individual property under consideration. C. In recommending or approving a variance, subj ect to the conditions of section 6.07.5 the commission and the Council may impose conditions to ensure compliance and to protect adj acent properties. 45. Petition by Owner. A. Appeals From Decision of Zoning Administrator At any time within thirty (30) days, any property owner who deems himself aggrieved by an alleged error in any order, requirement, decision or determination made by an administrative officer in the enforcement of this chapter which affects his property, may appeal to the commission by filing a written appeal with the City Manager. The appeal shall fully state the order appealed from, the facts of the matter, and also the mailing address of. the owner. Fridley City Code B. Request for Variances Section 606.07.A. The commission may recommend variances from the strict application of the provision of this chapter and impose conditions and safeguards in the variances so granted in cases where there are practical difficulties or particular hardships preventing the strict application of the regulations of this chapter. An application for a variance shall be filed with the zoning administrator and shall state the exceptional conditions and the peculiar and practical difficulties claimed as a basis for a variance. �6. Recommendation by Appeals Commission. Within thirty (30) days after filing an appeal from an administrative order or determination, or request for variance, the commission shall set a date for hearing thereon and shall hear such persons as want to be heard, either in person or by Agent or attorney. Notice of such hearing shall be mailed not less than ten (10) days before the date of hearing to the person or persons who file the appeal, and to all adjacent property owners within a 350 foot distance of the requested variance location. Within a reasonable time after the hearing, the Appeals Commission shall make its recommendations or approvals subject to conditions of Section 6.07.6, and forward a copy of such recommendation or approval to the City Council. b7. Variances in R-1 Zoning. In residential (R-1 Zoning) areas the Appeals Commission has the authority to approve variances when all the following conditions are met: A. There is unanimous agreement of the Appeals Commission. B. The staff concurs with the recommendation of the Appeals Commission. C. The general public attending the meeting or responding to the notice of public hearing have no obj ection. D. The petitioner is in agreement with the recommendation. When the above conditions are not met, the variance request must be channeled through the normal variance procedure for final approval by the City Council. �8. Record of Action Taken. A. The Appeals Commission shall provide for a record of its proceeding which shall include the minutes of its meeting, its findings and the recommendation or approval on each matter heard by it, subj ect to the condition of Section 6.07.6. Fridley City Code Section 606.09 B. The Commission recommendation or approval shall be in writing and shall contain a finding of fact as to: (1) The public policy which is served by the requirement. (2) The practical difficulties or unique circumstances of the property that cause undue hardship in the strict application of the requirement. (3) Any conditions that attach to the variance. �9. Action of the Council. The Council shall at its next regular meeting after receiving the recommendation of the Appeals Commission, decide on the action to be taken. 310. Lapse of Variance by Non-use. If work as permitted by a variance is not commenced within one year and completed within two years after granting of a variance, then such variance shall become null and void unless a petition for extension of time in. which to complete the work has been granted by the commission. Such extension shall be requested in writing and filed with the City Manager at least twenty (20) days before the expiration of the original variance. The request for extension shall state facts showing a good faith attempt to complete the work permitted in the variance. Such petition shall be presented to the Appeals Commission for hearing and decision in the same manner as the original request for variance. (Ref. 846) � � CffY OF FRIDLEI' AGENDA ITEM CITY COUNCIL MEETING OF AUGUST 28, 2006 TO: William W. Burns, City Manager FROM: Richard D. Pribyl, Finance Director Craig A. Ellestad, Accountant DATE: � August 25, 2006 Resolution Certifying the Proposed Tax Levy Requirements for 2007 In conformance with Chapter 275, Section 065 of the Minnesota Statutes, attached is a resolution certifying the proposed tax levy requirements to the Anoka County Auditor. It is due to the County Auditor on or before September 15. Staff is recommending a 2007 proposed tax levy of $9,200,426. This is a 2.8% increase from what was approved last year, plus the $198,036 for Bonded Indebtedness. The make-up of this is: $8,757,188 Certified to County for 2006 9,002,390 Proposed to County for 2007 Prior to Street Bonding 245,202 Increase = 2.8% 198,036 Bonded Indebtedness (2006A GO Improvement Bonds) 9 200 426 Total 2006 Proposed Levy for 2007 We request the City Council pass the attached resolution to certify the proposed tax levy requirements. /rsc Attachment RESOLUTION NO. 2006 - A RESOLUTION CERTIFYING PROPOSED TAX LEVY REQUIREMENTS FOR 2007 TO THE COUNTY OF ANOKA WHEREAS, Chapter Seven, Section 7.02 of the Charter of the City of Fridley, grants the City the power to raise money by taxation pursuant to the laws of the State of Minnesota; and WHEREAS, Minnesota Statute Chapter 275, Section 065 requires the City to certify its proposed tax levy requirements to the County Auditor on or before September 15; and NOW THEREFORE, BE IT RESOLVED, that the City of Fridley certify to the County of Anoka, State of Minnesota, the following proposed tax levy to be levied in 2006 for the year 2007: GENERAL FUND General Fund CAPITAL PROJECT FUND Capital Improvement Fund - Parks Division AGENCY FUND Six Cities Watershed Management Organization MARKET VALUE BASED REFERENDUM LEVY Springbrook Nature Center BONDEDINDEBTEDNESS 2005A GO Improvement Bonds (Streets 2005) 2006A GO Improvement Bonds (Streets 2006) TOTAL ALL FUNDS $ 8,432,907 103,000 6,200 $ 290,600 169,683 198,036 $ 9,200,426 PASSED AND ADOPTED BY THE CITY COUNCIL OF THE CITY OF FRIDLEY THIS 28th DAY OF AUGUST, 2006. ATTEST: SCOTT J. LUND - MAYOR DEBRA A. SKOGEN - CITY CLERK � � CffY OF FRIDLEI' AGENDA ITEM CITY COUNCIL MEETING OF AUGUST 28, 2006 TO: William W. Burns, City Manager FROM: Richard D. Pribyl, Finance Director Craig A. Ellestad, Accountant DATE: � August 25, 2006 Resolution Adopting a Proposed Budget for the Fiscal Year 2007 In conformance with Chapter 275, Section 065 of the Minnesota Statutes, attached is the 2007 proposed budget. Chapter 275 requires the City to certify a proposed budget to the County Auditor on or before September 15. We request the City Council pass the attached resolution and adopt the 2007 proposed budget. Remember, the levy resolution must be adopted prior to adopting the budget. /rsc Attachment RESOLUTION NO. 2006 - A RESOLUTION ADOPTING THE PROPOSED BUDGET FOR THE FISCAL YEAR 2007 WHEREAS, Chapter 7, Section 7.04 of the City Charter provides that the City Manager shall prepare an annual budget; and WHEREAS, the City Manager has prepared such document and the City Council has met several times for the purpose of discussing the budget; and WHEREAS, Chapter 275.065, subd. 6 of Minnesota Statutes requires that the City shall hold a public hearing to adopt its final budget; and WHEREAS, the City Council will hold a public hearing on December 4, 2006 before determining a final budget; NOW THEREFORE, BE IT RESOLVED that the following proposed budget be adopted and approved: GENERALFUND Taxes Current Ad Valorem Deliquent, Penalties, Forfeited Licenses and Permits Licenses Permits Intergovernmental: Federal State: Local Government Aid All Other Charges for Services: General Government Public Safety Public Works Community Development Recreation Fines and Forfeits Special Assessments Interest on Investments Miscellaneous Revenues Other Financing Sources: Sales of General Fixed Assets Liquor Fund Closed Debt Service Fund Police Activity Fund TOTAL REVENUES AND OTHER FINANCING SOURCES Fund Balance: General Fund Reserve ESTIMATED REVENUE $ 8,432,907 38,000 160, 500 505, 900 8,500 382, 341 611,972 943, 490 213,500 10, 000 22, 700 233, 000 180, 000 4,000 124, 000 230, 500 0 500, 000 250, 000 190, 000 13,041,310 641,682 TOTAL GENERAL FUND $ 13,682,992 Legislative: City Council City Management: General Management Human Resources Legal Finance: Elections Accounting Assessing MIS City Clerk/Records Police: Police Civil Defense Fire: Fire Rental Inspections Public Works: Municipal Center Engineering Lighting Park Maintenance Street Maintenance Garage Recreation: Recreation Community Development Building Inspection Planning Reserve: Emergency Nondepartmental: APPROPRIATIONS $ 121,664 281, 766 188, 792 386, 604 1,750 744, 493 181,701 279,658 147, 939 4, 742, 996 21, 244 1, 240, 433 144, 909 275, 897 529, 473 218, 500 979, 357 1, 047, 922 426, 042 884, 965 349, 303 387, 576 50,000 50,008 $ 13,682,992 SPECIAL REVENUE FUNDS Cable TV Fund Grant Management Fund Solid Waste Abatement Fund Police Activity Fund Springbrook NC Fund Fund Balance TOTAL SPECIAL REVENUE FUNDS CAPITAL PROJECTS FUND Capital Improvement Fund General Capital Improvement Streets Capital Improvement Parks Capital Improvement Fund Balance TOTAL CAPITAL PROJECTS FUND $ 193,735 92, 547 406, 742 5,955 365, 600 203, 915 $ 1,268,494 $0 2, 569, 546 172,110 197, 344 $ 2,939,000 Cable TV Fund Grant Management Fund Solid Waste Abatement Fund Police Activity Fund Springbrook NC Fund Fund Balance General Capital Improvement Streets Capital Improvement Parks Capital Improvement $ 181,973 92, 547 449, 843 190, 000 354,131 $ 1,268,494 $ 140,000 2, 590, 000 209, 000 $ 2,939,000 AGENCY FUND Six Cities Watershed Fund Taxes-Current Ad Valorem 6,200 Six Cities Watershed 6,200 TOTAL AGENCY FUND $ 6,200 $ 6,200 TOTAL ALL FUNDS $ 17,896,686 $ 17,896,686 PASSED AND ADOPTED BY THE CITY COUNCIL OF THE CITY OF FRIDLEY THIS 28th DAY OF AUGUST, 2006. ATTEST: DEBRA A. SKOGEN - CITY CLERK SCOTT J. LUND - MAYOR � � CffY OF FRIDLEI' T0: FROM: DATE: RE: AGENDA ITEM CITY COUNCIL MEETING OF AUGUST 28, 2006 William W. Burns, City Manager Richard D. Pribyl, Finance Director Craig A. Ellestad, Accountant August 25, 2006 Modifications to the 2006 Budget Attached you will find a resolution amending appropriations to the 2006 budget in accordance with the City Charter. The adjustments listed have arising as a result of various donations, unforeseen expenditures and revenues, and reclassification of account codings. You have informally approved all adjustments through the budget reappropriation form. We request that the City Council approve the amendment of the attached budgets. /rsc Attachment RESOLUTION NO. 2006 - A RESOLUTION ADOPTING THE PROPOSED BUDGET FOR THE FISCAL YEAR 2007 WHEREAS, Chapter 7, Section 7.04 of the City Charter provides that the City Manager shall prepare an annual budget; and WHEREAS, the City Manager has prepared such document and the City Council has met several times for the purpose of discussing the budget; and WHEREAS, Chapter 275.065, subd. 6 of Minnesota Statutes requires that the City shall hold a public hearing to adopt its final budget; and WHEREAS, the City Council will hold a public hearing on December 4, 2006 before determining a final budget; NOW THEREFORE, BE IT RESOLVED that the following proposed budget be adopted and approved: GENERALFUND Taxes Current Ad Valorem Deliquent, Penalties, Forfeited Licenses and Permits Licenses Permits Intergovernmental: Federal State: Local Government Aid All Other Charges for Services: General Government Public Safety Public Works Community Development Recreation Fines and Forfeits Special Assessments Interest on Investments Miscellaneous Revenues Other Financing Sources: Sales of General Fixed Assets Liquor Fund Closed Debt Service Fund Police Activity Fund TOTAL REVENUES AND OTHER FINANCING SOURCES Fund Balance: General Fund Reserve ESTIMATED REVENUE $ 8,432,907 38,000 160, 500 505, 900 8,500 382, 341 611,972 943, 490 213,500 10, 000 22, 700 233, 000 180, 000 4,000 124, 000 230, 500 0 500, 000 250, 000 190, 000 13,041,310 641,682 TOTAL GENERAL FUND $ 13,682,992 Legislative: City Council City Management: General Management Human Resources Legal Finance: Elections Accounting Assessing MIS City Clerk/Records Police: Police Civil Defense Fire: Fire Rental Inspections Public Works: Municipal Center Engineering Lighting Park Maintenance Street Maintenance Garage Recreation: Recreation Community Development Building Inspection Planning Reserve: Emergency Nondepartmental: APPROPRIATIONS $ 121,664 281, 766 188, 792 386, 604 1,750 744, 493 181,701 279,658 147, 939 4, 742, 996 21, 244 1, 240, 433 144, 909 275, 897 529, 473 218, 500 979, 357 1, 047, 922 426, 042 884, 965 349, 303 387, 576 50,000 50,008 $ 13,682,992 SPECIAL REVENUE FUNDS Cable TV Fund Grant Management Fund Solid Waste Abatement Fund Police Activity Fund Springbrook NC Fund Fund Balance TOTAL SPECIAL REVENUE FUNDS CAPITAL PROJECTS FUND Capital Improvement Fund General Capital Improvement Streets Capital Improvement Parks Capital Improvement Fund Balance TOTAL CAPITAL PROJECTS FUND $ 193,735 92, 547 406, 742 5,955 365, 600 203, 915 $ 1,268,494 $0 2, 569, 546 172,110 197, 344 $ 2,939,000 Cable TV Fund Grant Management Fund Solid Waste Abatement Fund Police Activity Fund Springbrook NC Fund Fund Balance General Capital Improvement Streets Capital Improvement Parks Capital Improvement $ 181,973 92, 547 449, 843 190, 000 354,131 $ 1,268,494 $ 140,000 2, 590, 000 209, 000 $ 2,939,000 AGENCY FUND Six Cities Watershed Fund Taxes-Current Ad Valorem 6,200 Six Cities Watershed 6,200 TOTAL AGENCY FUND $ 6,200 $ 6,200 TOTAL ALL FUNDS $ 17,896,686 $ 17,896,686 PASSED AND ADOPTED BY THE CITY COUNCIL OF THE CITY OF FRIDLEY THIS 28th DAY OF AUGUST, 2006. ATTEST: DEBRA A. SKOGEN - CITY CLERK SCOTT J. LUND - MAYOR � � � CffY OF FRIDLEY TO: FROM: DATE: RE: AGENDA ITEM CITY COUNCIL MEETING OF AUGUST 28, 2006 William W. Burns, City Manager � � Richard D. Pribyl, Finance Director � Craig A. Ellestad, Accountant August 25, 2006 Modifications to the 2006 Budget Attached you will find a resolution amending appropriations to the 2006 budget in accordance with the City Charter. � The adjustments listed have arising as a result of various donations, unforeseen expenditures and revenues, and reclassification of account codings. You have informally approved all adjustments through the budget reappropriation form. We request that the City Council approve the amendment of the attached budgets. /rsc Attachment � li� Resolution No. 2006 - A RESOLUTION AUTHORIZING CHANGES IN APPROPRIATIONS FOR THE 2006 BUDGET FOR JANUARY THROUGH AUGUST, 2006 WHEREAS, the City of Fridley has involved itself in initiatives that provide for future charges and modifications that will allow for a better delivery of service, and WHEREAS, the City of Fridley had not incorporated these and other necessary changes into the adopted budget for 2006. NOW, THEREFORE, BE IT RESOLVED that the following funds will be amended as follows: REVENUE ADJUSTMENTS Police-Grant Police-Grant Police-Grant Police-Grant Police-Reimbursement Police-Reimbursement Police-Reimbursement Police-Donation Pofice-Donation Police-Donation Police-Donation Police-Donation Potice-Insurance Reimbursement Police-Other Reimbursement Police-Other Reimbursement Police-Other Reimbursement Emergency Mgm't-Grant Fire-Donation Fire-Reimbursement Park Maintenance-Donation APPROPRIATION ADJUSTMENTS Police-Personal Services Police-Other Services & Charges Police-Personal Services Police-Supplies Police-Personal Services Police-Suppfies Police-Other Services & Charges Police-Supplies Police-Supplies Police-Supplies Police-Supplies Police-Supplies Police-Other Services & Charges Police-Other Services & Charges Police-Supplies Police-Supplies Emer Mgm't-Other Services & Charges Fire-Supplies Fire-Personal Services Fire-Personal Services Park Maintenance-Supplies St�eet Main't-Other Services & Charges Garage-Other Services & Charges GENERAL FUND 5,580 13,023 1,140 2,717 4,800 2,919 600 300 1,125 1,075 1,000 5,875 1,312 387 1,675 168 3,472 5,296 230 1,000 53"6J4` 5,580 13,023 1,140 2,717 4,800 2,919 600 300 1,125 1,075 1,000 5,875 1,312 387 1,675 168 3,472 5,296 65 165 1,000 -924 924 �4 Safe & Sober POST Board Underage Liquor Compliance Bulletproof Vests Drug Task Force Anoka County Detox Transport Target Sam's Club Minco Walmart Various Squad Car Restitution - Squad Car Car Seat Clinics - Class Fees Sale of Bike Helmets EOC Phone Upgrade Various Chemical Assessment Team Lions 16 Safe & Sober Conferences 8 Schools Underage Liquor Compliance Bulletproof Vests Drug Task Force-OT DARE Program Detox Transport National Night Out Safe Neighborhood Heroes National Night Out Community Events Safety Camp Repair Squad Repair Squad Car Seat Clinics Bike Helmets EOC Phone Upgrade AED's for Municipal Center Chemical Assessment Team Chemical Assessment Team Tress for Commons Park Moving to 0669-Garage Moved from 0668-Street Main't PASSED AND ADOPTED BY THE CITY COUNCIL OF THE CITY OF FRIDLEY THIS 28th DAY OF AUGUST, 2006. ATfEST: DEBRA A. SKOGEN - CITY CLERK 17 SCOTTJ.LUND-MAYOR � � C�TY OF FRIDLEY TO: FROM: DATE: RE: AGENDA ITEM CITY COUNCIL MEETING 4F AUGUST 28, 2006 William W. Burns, City Manager Donovan W. Abbott, Director of Public Safety August 25, 2006 Quiet Zone Attached is a resolution authorizing and directing staff to continue with the process to esta.blish a Quiet Zone in the City of Fridley. The Quiet Zone includes the two grade crossings on Osborne Road and 77�` Avenue NE. This resolution authorizes and directs staff to cornplete the engineering and planning process, including working with affected property owners and other involved agencies (FRA, Anoka County, MnDOT, and BNSF). T'he resolution does not coxnmit funding to the Quiet Zone. Staff will return to Council for final approval and project funding when the engineering and planning process is complete. Staff recomxnends Council's approval of the resolution. /rsc Attachment : 0 0 � � RESOLUTION NO. 2006 - RESOLUTION AUTHORIZING STAFF TO PROCEED WITH THE PROCESS OF ESTABLISHING A QUIET ZONE IN THE CITY OF FRIDLEY WHEREAS, residents of the City of Fridley have expressed concern over the volume of railroad locomotive horns being sounded within the City; and WHEREAS, Federal law requires locomotive engineers to sound their horns upon the approach to each grade crossing; and WHEREAS, Osborne Road NE and 77th Avenue NE are two grade crossings located in close proximity to residential and commercial properties; and WHEREAS, the number of trains traveling over the two mainline tracks of the Burlington Northern Santa Fe Railway (BNSF) have approximately doubled over the past 15 years; and WHEREAS, Northstar Commuter Rail is expected to add twelve trains per day to this number; and WHEREAS, the City has determined that the sounding of locomotive horns has a detrimental effect on the quality of life for those persons living and working in close proximity to these two grade crossings; and WHEREAS, the Federal Railroad Administration (FRA) has established a procedure whereby local jurisdictions can create a"Quiet Zone" resulting in an order from the FRA directing locomotive engineers to not routinely sound their horns upon approaches to grade crossings within the Quiet Zone; and WHEREAS, the City of Fridley would be required to construct and install safety improvements consisting of concrete medians to these two grade crossings to qualify for a Quiet Zone; and WHEREAS, these safety improvements have been shown to actually improve the overall safety of grade crossings where they have been installed; NOW, THEREFORE, BE IT RESOLVED, that the City of Fridley desires to apply for and establish a Quiet Zone including the two grade crossings at Osborne Road NE and 77th Way NE; BE IT FURTHER RESOLVED, that City staff is directed to complete the necessary engineering studies, planning, and coordination with other involved agencies required for installation of the required safety modifications. BE IT FURTHER RESOLVED, that these studies and plans should be sufficient in nature to maintain continued Quiet Zone approval in the future should rail traffic increase and should BNSF add an additional track within their right of way within the Quiet Zone. BE IT FURTHER RESOLVED, that City staff is directed to minimize adverse impacts to property owners affected by installation of the safety modifications. BE IT FURTHER RESOLVED, that the maintaining or enhancing the safety of motorists, pedestrians, and all persons traversing the grade crossings within the Quiet Zone be of utmost importance. PASSED AND ADOPTED BY THE CITY COUNCIL OF THE CITY OF FRIDLEY THIS DAY OF , 2006. SCOTT J. LUND ATTEST: DEBRA A. SKOGEN � AGENDA ITEM COUNCIL MEETING OF AUGUST 28, 2006 CffY OF FRIDLEI' CLAIMS 127936 - 128118 � AGENDA ITEM CITY COUNCIL MEETING OF AUGUST 28, 2006 �°F LICENSES FRIDLEI' � AGENDA ITEM CITY COUNCIL MEETING OF AUGUST 28, 2006 � °F ESTI MATES FRIDLEI' Park Construction, Inc. 500 — 73rd Avenue N.E., Suite 123 Fridley, MN 55432 2006 Street Improvement Proj ect No. ST. 2006 — 1 Estimate No. 4 ....................................................................................... $269,474.38 � � CffY OF FRIDLEI' Date: To: From: Subj ect: AGENDA ITEM CITY COUNCIL MEETING OF AUGUST 28, 2006 August 23, 2006 William Burns, City Manager Scott Hickok, Community Development Director Julie Jones, Planning Coordinator Public Hearing to Consider Revocation of Special Use Permit #89-08 for Sam's Auto World, generally located at 7570 Highway 65 NE Introduction Staff finds that the sale of vehicles at Sam's Auto World, outdoor storage, and the operation of auto salvage to be a violation of their special use permit, and, therefore, recommends that the City Council revoke SP# 89-08. Background On August 14, 2006, Council held a public hearing regarding the property/SUP violations at 7570 Hwy 65. Council elected to hold that hearing open until August 28, 2006 to allow additional information including input from the property owner's attorney; who was unavailable at the Council meeting of August 14, 2006. Over the past year, staff has been responding to code violation complaints on the property located at 7570 Highway 65, the location of an auto body shop called Sam's Auto World. The City Council reassigned a 1989 special use permit (SUP) for auto body repair in an M-1 zoning district to the owner of this business, a partnership which included Samir Awaijane, in 1991. There were 14 stipulations on the SUP, which are listed in the attached letter. In 1992 Council considered the revocation of SP #89-08. At that time staff had indicated the following: "Although progress is being made in complying with the required outdoor improvements, the June 1, 1992 deadline has been missed and there has been no significant progress to correct the building code defzciencies in the easterly building. Although Mr. Awaijane appears to be cooperating with staff and the police department in completing his required improvements, Mr. Thompson is slow to comply with our requirements. Staff recommends that the City Council establish a public hearing on August 3, 1992 to revoke SP #89-08... ... " When the hearing was held some improvement had been made. By the night that action to revoke had arrived, enough progress had been made that the City Council allowed the SUP to stay intact. Today, a stipulation that the business owner has knowingly violated is, "operating the garage in a law-abiding manner." As you can see from the attached code violation printout, staff has had to deal with numerous problems over the years and the printout cases are only the most recent offenses since 1999. Other violations occurred between 1992 and the recorded 1999 offenses. A violation of great concern is the sale of vehicles from this site. The owner is well aware that car sales are not permitted at his business. In 1994, he was notified by City staff that car sales were not permitted in an M-1 zoning district. The City requested that A1 Krook, inspector, State Dealer's Unit revoke any dealer's license that would allow retail sales in this district where auto sales lots are prohibited. In 1999, Mr. Awaijane applied for rezoning, but later withdrew the application. Mr. Awaijane instead purchased another property on Osborne Road zoned G2, obtained the proper SUP for that site, and sold cars from that location. Sometime over the past couple of years, Mr. Awaijane sold his car sales business on Osborne Rd. Soon after, staff noticed cars displayed for sale at the 7570 Highway 65 auto body business again. Mr. Awaijane argued that the vehicles were not for sale but were being used by his own family and as loaner cars for his auto body repair customers. Staff presented a contrary view and Mr. Awaijane then admitted he was trying to liquidate his inventory from the sale of the Osborne property. The State allowed him until the end of October 2005 to liquidate that inventory. City staff cooperated with that liquidation. Staffthen signed off on a State Lessor Vehicle Dealer's License in November 2005 to allow Mr. Awaijane to have up to 9loaner vehicles on his site (4 for family and 5 for customer loaners), but not a retail license. When staff continued to have complaints and there continued to be many cars lined up with flags attached along the frontage road, we asked, an inspector for the State for information and discovered that Mr. Awaijane has conducted retail sales at his business, violating the City's terms on his State Lessor's License. On August 23, 2006, at the writing of this memorandum, the property at 7570 Hwy 65 has ll(or more) cars licensed to Awaijane Enterprises. This is a direct violation ofthe 9 car ma�mum imposed by the City on the Awaijane Lessor's license filed with the State. The site is also currently (and has in the past been) out of compliance for screening as materials stored above the fence line and auto salvage. The area south of Sam's Auto World's west building appears to be operated as an auto salvage yard, which would require its own special use permit, separate from that required for an auto body shop. No special use permit exists that would allow auto salvage as is evident on this site today. Recommendation Staff finds the sale of vehicles at Sam's Auto World and the outdoor storage violations, along with an apparent operation of auto salvage to be serious violations of this property's SUP. According to the language in Section 205.OS.S.G of the Zoning Code, failure of a property owner to meet the stipulations of their special use permit requires the City to revoke the permit following a public hearing. Mr. Awaijane is well informed of the prohibition of car sales on his property at 7570 Highway 65, as well as the other violations that exist. Allowing him to continue this behavior is unfair to the other car sales, auto salvage, and other body shop business owners in Fridley who have strived to abide by City Code and State car sales regulations. Staff recommends that the City Council to take action to revoke this business owner's SUP for a body shop operation. A resolution for this purpose can be prepared for the Council's consideration at the next meeting on September 11, 2006. M-06-106 MEMOR.ANDUM TO: The Mayor, Council and City Manager, City of Fridley FROM: JeffreyA. Carson, Attorneyfor SamirAwaijane, Awaijane Enterprises and Sam's Auto World and 7570, Inc. RE: 7570 Highway 65 NE DATE: 28 August 2006 This memorandum, together with exhibits, is written in response to the Notice of Public Hearing to consider Revocation of Special Use Permit dated July 25th, 2006 and signed by Planning Coordinator, Ju1ie Jones. BACK�ROUND y " Mr. Awaijane is a Fridley resident and has resided at 5096 Hughes Avenue, Fridley since I983 with his family, including two children. Mr. Awaijane is the owner of Awaijane Enterprises, Inc., Sam's Auto World and 7570, Inc. Mr. Awaijane was also owner of A-E Auto which he sold in 2005. In 1991 Mr. Awaijane commenced business at 7570 Highway 65 NE under the authority of a Special Use Permit (SUP) issued by the city. (Exhibit A; A-1) Mr. Awaijane has 6 full-time employees, a$220,000 annual payroll (appro�mate) and the t�es on 7570 Highway 65 are $18,300 for 2006. The SUI' issued by the City of Fridley in 1991 was actually issued to 7570, Inc. The business known as A-E Auto Sales was located at 990 Osborne Road in the City of Fridley until the fall of 2005, at which time Mr. Awaijane sold A-E Auto and moved the unsold vehicles from that site to 7570. The city was aware of this and worlced with Mr. Awaijane. Mr. Awaijane was, and is, intent on selling off his inventory of between 35 and 40 vehicles from A-E Auto. � BecaL�se the. sale of vehicles was not permitted at 7570 (M-1 zoning) Mr. Awaijane, in eonst�ltation with Mr. Scott Hickolc and state licensing representatives, - applied for and rece.ived a dealer's license from the State of Minnesota. (Exhibit B) The state license permitted the leasing of vehicles (cLLStomers} and the sale of the leased vehicles. This license was given zoning approval by the city in November of 2005. (ExhiUit C) The license calls for 9 Ieased vehicles. Mr. Hickolc testified on August 14th, 2006 that one pt�rpose of the licei�se was to assist Mr. Awaijane in sellitzg his inventory from A-E Auto. T11e reductiol� of inventory is currently in process with appro�imately 14 vehicles in inventory. Under state law (Mini1. Stat. �I68.27, subd. 4) Mr. Awaijane is permitted to sell his le�sed vehicles. (Exhibit D) The inteilt of Mr. Awaijane, aild I believe the cit��, was to permit Mr. Awaijane to sell his A-E Auto inventory t�sing the lease license and, once his inventory was reduced to the nLUnber of 9 vehicles, to keep the number at 9 for use as Ioaner vehicles in the auto body bL�siness. ALLEGED VIOLATIONS ' The languabe relied on by staff in seelcing revocation of Mr. Awaijane's SUP requires Mr. Awaijane to "operate in a peaceful and law-abiding manner". A review of the alieged violations noted for hearing including the following: (only 2003 and forward considered} L Ju1y 21st, 2003 an issue relating to temporary banners; notice given on 07/21/03 and resolved on 07/28/03. (Exhibit E) 2, May 5th, 2005 semi-trailer improperly parked; noticed on 05/04/05 and resolved on 07/15/�5 by permission of compliance officer. Note that the trailer owner was the tenant not Mr. Awaijane. (see revocation notice) 3. Parking of tow trucic in right-of-way; noted on Ol/27/06 and closed on Q2/17/06. (see revocation notice) � 4. Selling cars without a dealer's license; first noted in O1/24/06 to the State of Minnesota (not copied to Mr. Awaijane} (Exhibit F and G) e 2 � Item riumber fot�r is the issue of primary concern to the city cotu�cil as the basis for corisiderii�g revocatioll of Mr. Awaijane's SLJP. In this regard, Mr. ' Awaijane's employee, Bob Becker, is charged �rith the responsibility of bool��eeping, permits, etc. and he recently spoke with state inspector, Mare Pelletier, about the sale of cars. Mr. 13ecicer has 5polcen with Mr. Pelletier on three or four occasions and has learned the following: l. Sale. of vel�icles L�Zder the license l�eld by Mr. Awaijane is lawfi�l and there will be no sales t� if those vehicles are sold after 120 days of ownership. 2. Sale of a vehicle within the first 120 days creates a sales ta� obligation to Mr. Awaijane. (Exhibit H) 3. Three or four vehicles have been sold within the 120 day period of ownership and taYes and fees owed have been paid to the state. _ 4. The only state requirement of Mr. Awaijane for sale of the vehicle prior to the 120 day period is that he pay the sales taY. 5. The state inspector (Mr. Pelletier) contemplates no citations and no action by the state against Mr. Awaijane or Awaijane Enterprises, Inc. relating to the dealer's license. It is true that Mr. Awaijane was notified by the state of four vehicle sales made within the 120 day period. Mr. Awaijane was required to pay t�es and fees on those vehicles to bring his license into compliance. The taYes and fees have been paid. Mr. Awaijane is currently in fi�ll compliance with both his state license and the SUP issued by the City of Fridley. Selling vehicles within 120 days of ownership is not a violation of the SUP condition to operate in a"law-abiding manner". Mr. Awaijane is and was law-abiding. the state license (law) required him to pay a sales ta� on certain vehicles owned for less rhan 120 days. Mr. Awaijane has paid this tax. The state (throug;h Marc Pelletier) has no intent to charge Mr. Awaijane with any � vialation of law and his state license is currently in full compliance. Mr. Awaijane is similarly in full compliance with his SUP. 0 3 ,� To revolce the bt�siness license (SUP) of a 23 year resident of Fridley and a 15 year bt�siness owner of Fridley based on the above facts is not jL�stified or warranted. Mr. Awaijane is a hard working man and runs his business in a clean and positive manner. Mr. Awaijane's business is a credit to him and to the City of Fridley. SETTLEMENT OFFER Notwithstanding the above, and because the issue of selling vehicles from 75 70 Highway 65 NE has become an issue, Mr. Awaij ane has authorized a settlement with the city whereby he will give up his state lease license and will remove the remaining inventory from 7570 within 60 days. Thereafter only auto body repair work will be performed at 75 70 Highway 65 NE. Respectfully Submitted, Jeffrey A. Carson Attorney for Samir Awaijane and related companies � STATE OF MINNESOTA COUNTY OF ANOKA CITY OF FRIDLEY � «�� � ll � _ 1`�! �,- CITY COIINCIL PROCEEDINGS ,� In the Matter of reissuance of a special use permit, SP ��89-08 7570 Incorvorated , Owner SPECIAL USE PERMIT The above entitled matter came before the City Council of the City of Fridley and was heard on the 18th day of November , 19 9l , on a petition for a special use permit pursuant to the City of Fridley's Z oning Ordinance, for the following described property: To reissure the special use permit, SP �689-08, to 7570 inc., to allow a repair garage at 7570 Highway 65 N.E. (see attached for legal description). IT IS ORDERED that a special use permit 'be granted as upon the following " conditions or reasons: ]4 stipulations. See City Council meeting minutes of November 18, 1991. STATE OF MINNESOTA ) CDUNTY OF ANOKA ) CITY OF FRIDLEY ) OFFICE �F THE CITY CLERK I, Shirley A. Haapala, City Clerk for the City of Fridley with and in for said City of Fridley, do hereby certify that I have compared the foregoing copy and Order granting a special use permit with the original record thereof preserved in �y office, and have found the same to be a correct and true transcript of the whoJ.e thereof. IN TESTIMONY WHEREOF, 1 have hereunto subscribed my hand at the City of Fridley, Minnesota, in the County of 6noka on the l�� t°'j day of �,�C,Lt'�.i,Ld'>/L i�1 , '19 � . DRAFTED BY: City of Fridley 6�431 IIniversity Avenue N.E. Fridley, MN 55�132 0 f%'� �� -� �.G::�. , SHIRLEY A. APALA, CI cGi,,EIZI�'„':��! , ..,f..� `Cp°nc . . `•a• , , ��° ('SEAL) EXHIBIT . , �., -: ...,� . � ,� � , � =f- :. � .. _ FRIDLEY CITY COIINCIL MEETING OF NOPEMBER 18, 1991 _ PAGE 14 Jorgenson voted against the motion. Mayor Pro Tem Schneider declared the motion carried by a 4 to 1 vote. - � 14. RESOLUTION NO. 93-1991 IN SUPPORT OF A MINNESOTA LAWFUL GAMBLING APPLICATION FOR EXEMPTION FROM LAWFUL GAMBLING LICENSE TO THE FRIDLEY CHAMBER OF COMMERCE: MOTION by Councilman Fitzpatrick to adopt Resolution No. 93-1991. Seconded by Councilwoman Joxgenson. Upon a voice vote, all voting aye, Mayor Pro Tem Schneider declared the motion carried unanimously. 15. RESOLUTION NO. 94-1991 IN SUPPORT OF AN APPLICATION FOR A MINNESOTA LAWFUL GAMBLING PREMISE PERMIT TO�THE FRIDLEY MOOSE IADGE NO. 38' MOTION by.Councilman Billings to adopt Resolution No. 94-1991. Seconded by Councilman Fitzpatrick. Upon a voice vote, all voting aye, Mayor Pro Tem Schneider declared the moti�n carried unanimously. Z6. RECEIVE THE MINUTES OF THE CABLE TELEVISION ADVISORY COMMISSION MEETING OF OCTOBER 23, 1991: MOTION by Councilman Fitzpatrick to receive the minutes of the Cable Television Advisory Commission Meeting of October 23, 1991. ( ' Seconded by Councilwoman Jorgenson. Upon a voice vote, all voting � aye, Mayor Pro Tem Schneider declared the motion carried unanimously. � 17. EXTENSTON OF VARIANCE, VAR #90-30, AND SPECIAL USE PERMIT, SP #90-07, BY PATRICK AND RITA BOYLE, FOR LOT 1, BLOCK 2, SYLVAN HILLS •GENERALLY IACATED AT 6261 RAINBOW DRIVE N.E.: MOTION by Councilman Billings to extend Variance, VAR #90-30 and� Special Use Permit, 5P #90-07 for one year to December 10, 1992. Seconded by Councilwoman Jorgenson. Upon a voice vote, all voting aye, Mayor Pro Tem Schneider declared the motion carried unanimously. � 18. RE-. T 7570 Ms. Dacy, Community Development Director, stated that this is a reassignment of a special use permit, and the petitioner is 7570 Inc. She stated that the special use permit was reassigned as a result oi the litigation of the Samir Awaijane case. She stated that as part of the settlement agreement the special use permit must be assigned to 7570 Inc. Mr. Greg Herrick, Assistant City Attorney, stated that Council's ordinance placing a moratorium on the issuance of special use FRIDLEY CITY COIINCIL MEETING OF NOVEMBER 18. 1991 PAGE 15 � permits for auta body repair businesses is still in effect, as Council held the first reading this evening to repeal the ordinance. He stated that if the Council reapproved the special _ use permit and the moratorium ordinance is still on the books, he questioned if it would be enforceable. Councilman Billings stated that since there has been a settlement agreement he felt this �reapproval could be considered, and the warst case scenario would seem that Council may have �o repeat the approval after the moratorium is lifted. MOTION by Councilman Billings to reapprove Special Use Permit, SP #89-08. Secanded by Mayor Nee. MOTION by Councilwoman Jorgenson to amend the mation for reapproval �i �peci�l L'se Perff�it, SP ;�a-�8 �i:a� �t �e issue3 t� 75 i Q Inc. , with the following stipulations and contingency: w,,, ;.�= The applicant must apply and be approved for a business m"`�� license to operate a motor vehicle repair garage when the ordinance becomes effective. __,. � All leaking fluids must be drained from vehicles parked on the "�_'°� premises . _ �, . . Damaged vehicle storage area shall contain an environmental drainage system. ' �����^�t The special use permit shall not be transferable to a �"'� different ownership ar control without appraval of City council. :�:;. Applicant must be eighteen years of age. pplicant must maintain current payments to the City, County, �: � or.State of taxes, fees, fines, or penalties assessed against applicant or imposed upon applicant in relation to a motor vehicle repair garage. p����(('`� . +5.. .kY_�'�'.:."t �.;� <�.�� Applicant must operate or manage the motor vehicle garage premises in a peaceful and law-abiding manner. s. �� ���� A�„y.,�3 The applicant, parties of interest in the business, or employees shall not be convicted of any ordinance violations related to the operation oi the business, including theft or crimes involving stolen property or consumer protection statutes. .����� � - :'�"' The applicant shall permit representatives of the Police Department, Fire Department, and Community Development Department to inspect the premises for the purposes of _ _ ensuring �compliance with the law and special use permit stipulations at any time it is occupied or open for business. � FRIDLEY CITY COIINCIL MEETING OF NOVEMBER 18, 1991 PAGE 16 _¢�4� The applicant must pass or correct any deficiency within �� thirty days of applicable government agency inspections such as fire, building codes, and law enforcement. ����" The applicant shall provide and maintain in full force and � ,,,':�,�: �,-<;,n effect public liability insurance to indemnify any person � against loss or injury in the sum of one hundred thousand dollars ($100,000.00) for injury or death to one person, three hundred.thousand dollars ($300,000.00) for each accident or occurrence, and ten thousand dollars ($10,000.00) property damage, and shall contain a provision that no cancellation thereof shall become effective without thirty (30) days prior notice thereof in writing to the City Clerk. In addition, the applicant shall file with the City Clerk a public liability policy or certif�cate of insurance for eacn vehicle used in the business of its motor vehicle repair garage. �•,Q=��.~��The applicant shall maintain, on the premises,. original f' records which shall include all work orders, estimates, invoices, and names of all customers for whom motor vehicle repairs have been performed. As used in this section, the term "invoice" sha11 contain that information required in Minnesota Statutes Chapter 325F.56 to 325F.65. Such records shall be immediately available for inspection and copying by enforcement officials and shall be retained for at least two (2) years. A customer has a right to a copy of documents maintained by the motor vehicle repair garage reflecting any transaction to which he was a party. A. B. � The applicant is required to identify the source of the parts used on repaired vehicles. . The applicant is required to keep a record of parts that are purchased and all purchased parts are to be paid by check rather than cash. The applicant is required to keep invoices and cancelled checks Lo esLablish-the source of parts used on repaired vehicles. . ��� ��. The applicant shall not allow any automotive parts to be on ��'l�p the premises in which manufacturer's identification numbers have been removed or altered. Manufacturer's identification numbers include vehicle identification number (VIN); Federal motor vehicle safety certification label; and component labels. Manufacturer's identification numbers also include all references in the Federal Motor Vehicle Theft Law Enforcement Act of 1984 and the Federal Motor Vehicle Theft Prevention Standard codified as part of the code of Federal regulations. i� ( FRIDLEY CITY COIINCIL MEETING OF NOVEMBER 18, 1992 PAGE 17 �<<s �4*�5aid permit shall be further conditioned on the stipulations � of Special Use Permit, SP #89-08, as set forth in the June 6, 1991 Action Taken Notice, a copy of which is attached hereto as Exhibit A and made part hereof by reference. A copy of the Auqust 3, 1989 letter of Darrel Clark refer�ed to in paragraph 3 of Exhibit A is attached hereto as Exhibit B and made a. part hereof by reference. Notwithstanding the foregoing, the parties agree that the completion date established in paragraphs 3, 4, and 5 of E�ibit A shall be extended to June 1, 1992, and the date of October, 1991 stated in paragraph 6 of Exhibit A shall be extended to July, 1992. � Further, .this re-approva2 is contingent upon the repeal of the moratorium on special use permits for auto body repair businesses. Seconded by Mayor N�e. MOTION by Councilman Billings to amend the above motion by separating the stipulations from the contingency relating to the moratorium. Councilman Billings stated tiiat the action taken this evening is based on the settlement agreement, and it was the.intent that Council would approve the special use permit so the applicant could open for business. He stated he wanted to make sure that Council is not taking any action contrary to the settlement agreement. Ms. Dacy stated that the settlement agreement states that the special use permit shall be eonditioned on the second reading of an ordinance repealing the moratorium on the issuance of such permits adopted by the City on the 22nd day of July, 1991. Mayor Pro Tem Schneider then stated that the motion on separating the stipulations and contingency related to the moratorium would then be moot. UPON A VOICE VOTE TAKEN ON THE AMENDED MOTION, all voted aye, and Mayor Pro Tem Schneider declared the motion carried unanimously. UPON A VOICE VOTE TAKEN ON THE MAIN MOTION, all voted aye, and Mayor Pro Tem 5chneider declared the motion carried unanimously. 19. APPROVAL OF LEASE AGREEMENT WITH ANOKA COUNTY COMMUNITY ACTION PROGRAM FOR THE PROPERTY LOCATED AT 7899 BROAD AVENUE N.E.: MOTION by Councilwoman Jorgenson to approve the lease agreement with Anoka County Community Action Program for the property lc�cated at 7899 Broad Avenue. Seconded by Councilman Fitzpatrick. Upon a voice vote, Councilwoman Jorgenson, Councilman Fitzpatrick, Councilman Billings and Mayor Pro Tem Schneider voted in favor of the motion. Mayar Nee abstained from voting on the motion. Mayor Pro Tem Schneider decZared the motion carried by a 4 ta 1 vote. 0 0 ...'-------- � --'---- .'-'_ -. _ ._... . --..—�P��$.9-0J_�Pa.ul.�ienge 1. ..._..---- - - :w: :: ' � - ._�.._.:,�. :� .. � • �:�.. . �-- 5932 - 6th Str�;e� �1+T:'E. -- ru?„�.�> — FridleY; 3�IDT .;�"5432._.-------�--'� �..� _ .. . ... .... ....----._ _.------- i ��?�' __ Per Section 205.0, ,,�:-:C.(l) of the Fridley City Code, to .;' aw a second accessory liui -----on-Lot 7,-B,�. �c-4, Bonny- Addition.,--the--sam _ __ being 5�,9,��r��6th Street N.E. -�� ------.. - �..__...._._ .._. . .. _ _ ..---- � -------�- - _ • �'8_ Keith's Auto Body `�.. f - ---=--_ �,.o . -----------: - - 7570 Highway 65 N.E.. .----�-�- __---- ------ --- Fridl�ey.�...i�IN.._ 55432-� --�- -.... -------------------- - Per Sectian 205.17.Oi.C.(9) of the��Fridley --Gity--Code-,-t-o�- a-l-low-.-a ..repair.. garage ..on__that____ � part of the East 46 acres af the West ]/2 of �' ------ --- �- -----�_ •� the Northwest 1�4 of Section� l2, �T�30; R=24,--�� ----���4noka-�Gounty,--MN,__.described..as follows:...._.____....; Commencinb at a point on the W line of said --------- ---�--�-�-•---� ------- ._... E 46 acre tract ciistant 623:5 feet-�5�� of" the --- -------�NW--eorner of--said �E-�46 acre . tract.;.. thence ...5___..__ along the W line of said E 46 acre tract _ _..__.... . - ------ -----�----�--...-- .. 16 1.63 feet; thence E parallel with the'� N I-ine - of-- said-E-.46-.acr.e._tract 538.98 . feet , _. mo r e _. o.r___. less, to the W'ly ROW line of State Highway ___... ---- -- --......_ .... _.. 65; thence N'ly along said W'ly ROW line� --� 16 1..63 feet,-__mor.e__or.__less . to...the .intersec;. _on.I of a line drawn from the point of beginning f ---- ...- ------ and parar7wl wit� tfie-�N� line� of said E 46 �� �-" � acre- tr-act;--thence -W--parallel with the--N-�.-.._..__:' line 538.73 feet; same being 7570 HiQhway65 ���� o n .� +�• N� w c-r p. r� �C � c� � o 1.,• �C � �-f� � � m ri � � �' m m a q �n I�• I-� tp �n cY !D N �� � � N C � � rt Z t�i �\ u� � y Q � (�,j �, .F ... � �; �;� ..,, � �� ' .: i� r.;'. f„ '� . � �. ��: , .. T I `� ��. � m Y. � �� ; f " w..�� � I tr f1;'t ° � i �:, � � — � � m �m� �. �� � � .,, . :� � � � :„' �� Q � .. �1 � � v.' 'r'rF � � F� .. ' l Vea r�� �. � � � . � �� �• � � w� �.y ai a � � �, �: ca. r � R'';"W` -?.t i_ ��t.s t`s-I {� i . ....�'. _ _ . . ... e F _ �v _ °� :�t :�7 � C � � � _ ._� .+ .+r � � � � � � � ���_�.� �, �\ 1 ;-� - �� � - � � 0 � �u� ...'�j�iLL`n:�: �`,t.'k. ;i�ii?��lYS.f': ,Yy�'-(!s:l . i;1�5 �. z1= F �•;� � , FRIDLEY MUNICIPAL CENTER • 6431 UNIVERSITY AVE. N.E. FRIDLEY, MN 55432 •(612) 571-3450 • FAX (612) 571-1287 CITY COUNCIL ACTION TAKEN NOTICE Samir Awaijane 5�90 i-iugh�s Avetirie iv.�. Fridley, MN 55421 Dear Mr. Awaijarxe: June 6, 1991 On June 3, 1991, the Fridley City Council officially approved your request to re-issue special use permit, SP �89-08, to permit an auto body repair shop at 7570 Highway 65 N.E. The City Council approved the special use permit subject to the following six stipulations: 1. The special use permit shall be limited to Samir Awaijane, and is not transferrable to another tenant without City Council approval. 2. The special use permit shall be reviewed on an annual basis by staff with a report to the City Council. Should a hearing by the City Council be necessary due to lack of compliance by the petitioner, the item shall be scheduled for City Council consideration as soon as possible. 3. The building code improvements outlined in Darrel Clark's letter of August 30, 1989 shall be completed for the building �i- }t.c i.r..'.�..i. vf .i-.:'c '•- �-i �;� 1�• .'f. u� �. '1 � �Q01 �n� fnr �}10 .. .�. ' �+: �t' 2 .i� 1 i - = remaining building by September 1, 1991. 4. The storage area for the auto body outdoor storage must be screened in compliance with the petitioner's submitted site plan which includes an eight foot wood fence enclosing the stor.age area. The surface of the storage area for the wrecked vehicles shall be constructed, as recommended by staff, either bituminous surface or gravel surface with or without impervious liner. The storage area screening shall be completed by August 1, 1991. 18C EXHIBIT � , � Samir Awaijane June 6, 1991 Page 2 5. The parking lot shall be hardsurfaced, striped, lined with concrete curb, and landscaping installed as per the staff recommended plan by September 1, 1991, unless the City Council, via a variance request, approves an alternate plan. 6. The staff's review and report to the City Council shall be scheduled on the first regularly scheduled Council meeting of October, 1991 for compliance with the above stipulations. I have already forwarded to you an Appeals Commission variance application and the schedule for the Appeals Commission and City Council action. If you have any questions regarding the above action, please call the Planning Department at 571-3450. S' cer , � �� G�' �i . arbara Dac � Y Community Developme t irector - BD/dn Please review the above, sign the statement below and return one copy to the City of Fridley Planning Department by June 19, 1991. ' •- r Concur with a i taken : � � � � W � z � � � :z.i � � � W � � U ._ � ■ �r � L� W U W � � W U ■ r � L � .�� � Q� � � � � W � �, �, � � � .^ 1"' U � ^ CC � � � � U � � W � � � � W z w z � � � � 3 Q � w a � 0 � w � � M � �' H � z Q �-��- � � W � �' � xA � o,..,, � � �w � � y J L,: t,.. � v: f � � � M .". ^D i �° ~ Q O z ^ � r F L" L !, � L � � .J � C r Z W L F- � YI � �� L � ` �� �.. Q%�� " ,L S l___� EXHIBIT b a a 3 0 � ��E�,�,�� MINNESOTA DEPARTMENT OF PUBLIC SAFEfY ° DRIVER AND� VEHlCLE SERVICES 445 Min�iesota St�eet, .Suite 186, St Paul, MN. 55101-5186 ' OFYN�S�~ PHONE: 651 296-2977 ' FAX: 651-297-1480 . EMAIL: DealerQuestion@mndriveinfo.org OFFICE USE ONLY DEALER NUMBER: DATE RECEIVED: . •INITIALS: � S�"i �/ � Minnesota.Vehicle Dealer License — Zoning Verificafion ��� The Zoning Official for the jurisdiction in which.the dealership resides must .complete this forcn �/� - I � � 1G� �% r;��,��J�- � �- � � Zoning District: T�:is form is for {cheek one): �Prunary L�cation .❑ Additional Location (Attach a separate � Commercial C.hecklist PS2410 for each location) DEALER S�� ��� /�i r ��j,�� .��.�/��/.�"E"� ..�,� � �s ^/ � � �, - � . _�� ! � L C • State '/,�!C�'�iP .�'��,3'�` County /✓2��,� Gity . , . . Type of Dealer's License (check one) . � NEW � USEIl �LESSOR ❑ WHOLESALE Please check appropriate statemenN p R❑ BROKER ❑ AIICtIONEER ,❑ SALVAGE POOL • � L[M1TED USE VEACILE ;� �;'� :�✓I�� ���,�:; �� �w,qrJ/�n� l��t���--� �s��%e�.�•� � ..� LG�A%�-`r�J? ��Y�rj-rGc_ � �'��^ ����.�/�t�.�_� • - - - - .,, Q This dealership is permitted use within the above zoning dis'trict for. �he tyg� � there�are no zoiung eomplaints or enforcement actions. �ending at this titne. �business indicated above and ❑ This dealership is permitted condilional use within the �above zoning distriet for the type of business indicated above and theie are no zoning complaints or. enforcement actions pending at this time. ..� (Must attach a copy of tfie conditional use permiG) �. � . Printed Name of Zoning Authority: � . ��l'r�T"'� J .• 1-�1�.����- � Zaning Authority Phone Nuniber .� � £� � Z - ���J X PS2421-01 (S � �c . Subscribed and sworn to before me this � ��' day oe �emb�' ao 05 NOTARY PUBLI���Q/�� /�• I�P��✓ of Zoning Authority) � cot�rrrY: � $���- EXHIBIT MY COMMISSION EXPIRES - - �O`D � JULIANNE M. BEBERG � Notary Public-Minnesota INy Commission E�ires Jan 31, 2010 § 168.27 TRANSPORTATION Subd. 4. Motor vehicle lessor. A motor vehicle lessor licensee may lease or rent either by the hour, day, or longer period for a fee and may solicit and advertise the lease or rental of motor vehicles. A motor vehicle lessor having leased motor vehicles, may sell the vehicles upon their return to the lessor after termination or expiration of the lease without obtaining a used motor vehicle dealer license. Su . 4a. Limited used vehicle license. (a) A limited used vehicle license shall be provided to a nonprofit charitable organization that qualifies for tax exemption under section 501(c)(3) of the Internal Revenue Code' whose primary business in the transfer of vehicles is to raise funds for the corporation, who acquires vehicles for sale through donation, and who uses a licensed motor vehicle auctioneer to sell vehicles to individuals, or who sells and reassigns vehicles to a licensed motor vehicle dealer. This license does not apply to educational institutions whose primary purpose is to train students in the repair, maintenance, and sale of motor vehicles. A limited used vehicle license allows the organization to accept assignment of vehicles without the require- ment to transfer title as provided in section 168A.10 until sold or donated to an individual or licensed motor vehicle dealer. Limited used vehicle license holders are not entitled to dealer plates, and shall report all vehicles held for resale to the Department of Public Safety in a manner and time prescribed by the department. (b) A nonprofit charitable organization with a limited used vehicle license shall, within 90 days after a vehicle donation, send a donor a receipt for the donated vehicle which states its model; age; level of use, including, but not limited to, the mileage; its condition, and whether a visual inspeclion disclosed any readily apparent defects that would materially reduce the value of the property. The receipt must include the date of the donation and must state whether the vehicle was operable or inoperable at the time of the donation. Subd. S. Repealed by Laws 1984, c. 549, § 34; Laws 1984, c. 654, art. 3, § 153, eff. May 3, 1984. Subd. 5a. Consignment sales. No person may solicit, accept, offer for sale, or sell motor vehicles for consignment sale unless licensed as a new or used motor vehicle dealer, a motor vehicle wholesaler, or a motor vehicle auction- eer. This requirement does not apply to a licensed auctioneer selling motor vehicles at an auction if, in the ordinary course of the auctioneer's business, the ; sale of motor vehicles is incidental to the sale of other real or personal '; property. Incidental means up to a total of ten but no more than ten percent of ' the items in the posted auction bill are motor vehicles. Subd. 6. Motor vehicle wholesaler. A motor vehicle wholesaler licensee may sell, solicit or advertise the sale of motor vehicles at wholesale for resale; provided that a wholesaler may sell, solicit, or advertise the sale of new motor ` vehicles only to dealers duly licensed to sell the same make of motor vehicles. : Subd. 7. Motor vehicle auctioneer. A motor vehicle auctioneer licensee may sell, solicit and advertise the sale of used motor vehicles belonging to others at auction. 234 VEHICLE REGIST Subd. 7a. Motor each buyer or lessee broker receives a ff � The new or used � transactions. The n for brokering servicf (1) advertise and vehicle broker shal] ' imply, or suggest th ized to sell vehicle manufacturer. All a shall disclose that sa motor vehicle dealer (2) negotiate or qL (3) prepare and de (4) accept a down payment in full or in of a negotiable instru (5) accompany a n the selling dealer of � (6) be present wh selling dealer in conj� (b) A motor vehicle (1) engage in the b in subdivisions 2 and (2) execute contra� motor vehicle; (3) describe a new the delivery of a new (4) display motor v (5) perform any de; All dealer preparatior dealer. (c) This subdivision not be construed to motor vehicle leases e accordance with subd Subd. 8. Exempti� dealers under this s �b) Isolated or occa eXempt from this sec sales or leases is nc considered to be in th EXHIBIT :� a a � _ � CiTY OF FRIDLEY -(" �� �1(i(j'l tJ'✓1 I � U /� v ��� ��1,(�l I� �/1� i� �ii'��10 l� �,�,���, ��'�� � � L' f l/ '� - '1 � ��. �'(�� � �� FRIDLEY' �fliNICIPAL CENTER • 6-131 liNIVERSITY AVE. N.E. FRIDLEY, �1�1 55-�3? • i763j �71-3-t50 • F.AX (763) �7 i-1287 July 21, 2003 SAMS AUTO WORLD 7570 HIGHWAY 65 �;t FRIDLEY MN 55432 Dear Owner/Manager: The City of Fridiey has an ordinance regulating the display of temporary signs such as banners, pennants, balloons, porta-panels, etc. This ordinance regulates how many times a year and for how long a business may disp{ay such signs. This ordinance requires a$200 deposit and either a$50 or $80 permit fee, depending upon the square footage of the sign. I observed a banner on the pylon sign. I have no permit or deposit from you for this sign; therefore, this sign is illegal and shall be removed immediately upon receipt of this letter. If you do not wish to remove this sign at this time, please complete the enclosed sign permit and return it to me with a deposit of $200 and the appropriate permit fee. The deposit will ba refunded upon prompt removal of the sign. This sign will count as one of the two temporary signs your business is allowed to display during the year, whether you immediately remove the sign or apply for a sign permit. You have until July 28, 2003, to complete the attached temporary sign permit application and return it to the City with the appropriate fees and deposit. If you choose to ignore this letter and the sign remains in pface, a misdemeanor citation will be issued. Violations of the Fridley Sign Code are a criminal offense punishable by up to 90 days in jail and/or a$700 fine. Thank you for your cooperation in this matter. Please call me with ariy questions af 572- 3595. Sincerely, Stacy Stromberg Planner c: Address File CE-03-427 EXHIBIT � ;: � ���4. Motor vehicle sales durati on). Tne vehicle has been tax has been paid (or sales tax has been paid on a lease of at least 120 days placed in actual operation and not held for resale by a dealer. �` if a USED Motor Vehicle Dealer purchases a new vehicle, OR if a NEW Motor Vehicle Dealer purchases a new motor vehicle for which they have no franchise, they are NOT entitled to motor vehicle sales tax exemptions because they are not licensed nor fr`anchised to acquire or sell the new vehicle. Therefore, � the USED Motor Vehicle Dealer must pay motor vehicle sales tax, title the vehicle into their dealership name, and pay full registration fees. The Dealer is then entitled to use their demonstration plates on the vehicle. NEW MOTOR VEHICLE DEALER MS168.27 Subd 2 Licensed new motor vehicle dealers are entitled to: 1. Sell, wholesale, broker, or auction and to solicit and advertise the sale, broker, wholesale, or auction of new motor vehicles covered by their franchise* or to lease and to so(icit and advertise the lease of new motor vehicles at retail for consumer use or for resale to a duly licensed motor vehicle dealer. 2. Sell, lease, wholesale, broker or auction and solicit and advertise the sale, lease, wholesale, broker or auction of used rnotor vehicles of any make. 3. Operate as a salvage pool. *A current bonafide franchise for each type of new vehicle offered for sale must be on fiie with the Dealer Unit prior to the sale of that make of new vehicle. ��q e, . . . r ,, ; �e �ea�ers = , A Iicensed NEW motor vehicle dealer is entitled to lease all makes of new motor vehicles. However, if a separate company or corporation owned by a NEW motor vehicle de.al.er-�engages,in the�blw��ss of . . ��; _. : leasing motor vehicles, a separate lessor license is required :�I��r�e�i��p:Ur�h�s��f�r�lfe �`� �m t I�,e;�ra��-� �a�xi�ue�l.ea�e�for,�at„Ie�a�t�:120 �tlays to quafify�for�the motor vehicle sales tax exemptio:n.�t � . t. A licensed New Motor Vehicle dealer does not need a Broker License to broker leases. A New Motor Vehicle dealer may broker the sale of new vehicles covered by a franchise. USED MOTOR VEHfCLE DEALER MS168.27 Subd 3 Licensed used motor vehicle dealers are entitled to: 1. Sell, lease, wholesale, broker, or auction and solicit and advertise the sale, lease, wholesale, broker or auction of used motor vehicles. 2. Buy or otherwise acquire vehicles for dismantling and selling used parts and remaining scrap metal. SALVAGE POOL MS168.27 SL1bd 3C. Licensed salvage pool dealers are entitled to: 1. Store, display, and solicit and advertise the storing and displaying, for sale, of damaged or junked vehicles as an agent or escrow agent of an insurance company. 2. Sell junked vehicles to licensed used parts dealers only. Note: a used or new motor vehicle dealer may operate as a salvage pool under its USED or NEW motor vehicle dealer license. MOTOR VEHICLE BROKER MS168.27 subd 7a Licensed motor vehicle brokers are entitled to: 1. Arrange the sale or lease of NEW or USED motor vehicle between a buyer/lessee and a seller/lessor. 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MN��% C� CC O�.+ � C� RS � CCI ^ � :� Q� N cd � F�j �� �.w �.+ �:..i ,,,y ...� :.�.i :.n :.r ...i � 3 W,� � �� � � � � � °' � 3 � 3 � � z��Haati����¢a�3����� N ���(� cn M oo ,-, oo O� '� ,--� l� M� � N �� V'1 l� V'� �0 O� oo � M � l� N � M o � cn � � �n .-� �o �o � � w o v� �.,�, � �n a���� � x�xaa������ a �� ���a�a�A * � � .S� r..+ . ,..� 3 � a� � � ... U O ti ti cd N � � c�t�r �'r C� � y � � � � 'C� cd N � 'b b � � .� U O y y � a� � � .� � r-�+ � �, � � � y � � 0 U � . ! � CITY OF FRIDLEY AGENDA ITEM CITY COUNCIL MEETING OF AUGUST 14, 2006 Date: August 7, 2006 � To: William Burns, City Manager �� From: Subject: Scott Hickok, Community Development Director Julie Jones, Planning Coordinator Public Hearing to Consider Revocation of Special Use Permit #89-08 for Sam's Auto World, generally located at 7570 Highway 65 NE Introduction Staff finds that the sale of vehicles at Sam's Auto World is a violation of their special use permit, and, therefore, recommends that the City Council revoke SP# 89-08. Background Over the past year, staff has been responding to code violarion complaints on the property located at 7570 Highway 65, the location of an auto body shop called Sam's Auto World. The City Council reassigned a 1989 special use permit (SUP) for auto body repair in an M-1 zoning district to the owner of this business, a partnership which included Samir Awaijane, in 1991. There were 14 stipulations on the SUP, which are listed in the attached letter. You'll note, one of the stipulations stated that the business owner shall operate the garage in a law-abiding manner. As you can see from the attached code violation printout, staff has had to deal with numerous problems over the years. The one that is of most concern, however, is the sale of vehicles from this site. The owner is well aware that car sales are not permitted at his business. In 1994, he was notified by City staff that car sales were not pernutted in an M-1 zoning district. In 1999, he applied for rezoning, but later withdrew the application. Mr. Awaijane instead purchased another property on Osborne Road zoned C-2 and sold cars from that property. Sometime over the past couple of years, Mr. Awaijane sold his car sales business on Osborne Rd. Soon after, staff noticed cars displayed for sale at the 7570 Highway 65 auto body business again. Mr. Awaijane argued that the vehicles were not for sale but were being used by his own family and as loaner cars for his auto body repair customers. Staff signed off on a State Lessor Vehicle Dealer's License in November 2005 to allow Mr. Awaijane to have up to 9loaner vehicles on his site (4 for family and 5 for customer loaners). When staff continued to have complaints and there continued to be many cars lined up with flags attached along the frontage road, we asked the State Department of Public Safety to investigate compliance with the lessor license. Recently, an inspector foi the State reported to us that they have documentation noting that Mr. Awaijane has conducted several retail sales at his business, violating the terms of his State license. The site is also currently out of compliance for screening as materials are being stored above the fence line. Recommendation Staff finds the sale of vehicles at Sam's Auto World to be a serious violation of this property's SUP. According to the language in Section 205.OS.S.G of the Zoning Code, failure of a property owner to meet the stipulations of their special use pernut requires the City to revoke the pernut following a public hearing. Mr. Awaijane is well informed of the prohibition of car sales on his property a�7�70 Highway 65. Allowing him to continue this behavior is unfair to the other car sales business owners in Fridley who have strived to abide by City Code and State car sales regulations. Staff recommends that the City Council take action to revoke this business owner's SUP. A resolution for this purpose can be prepared for the Council's consideration at the next meeting on August 28. It should be noted that one of the stipulations of SP #89-08 was that the SUP could not be transferred to another owner without City Council approval. This notice was sent to Mr. Mike Thompson, who apparently was one of the owners at the time. According to our records, Samir Awaijane was also one of the business partners at the time. M-06-92 51 _ ; Cl 1 I OF FR[ DLEY FR[DLEY MUN[CIPAL CENTER • 6431 UNIVERSITY AVE. N.E. FRIDLEY, MN 55432 •(612) 57 (-3450 • FAX (612) 571-12�7 November 20, 1991 Mike Thompson 10600 University Avenue N.W. Coon Rapids, MN 55433 Dear Mike: This is to confirm that the City Council at its November 18, 1991 meeting reassigned special use permit, SP #89-08, solely to 7570 Inc., to allow a repair garage at 7570 Highway 65 N.E., subject to the second reading of an ordinance repealing the moratorium on the issuance of special use permits, adopted by the City on July 22, 1991, and subject further to the stipulations below: l. The applicant must apply and be approved for a business license to operate a motor vehicle repair garage when ordinance becomes effective. 2. All leaking fluids must be drained from vehicles parked on the premises. 3. Damaged vehicle storage area shall contain an environmental drainage system. 4. The special use permit shall not be transferable to a different ownership or control without approval of City Council. 5. Applicant must be 18 years of age. 6. Applicant must maintain current payments to the city, county, or state of taxes, fees, fines, or penalties assessed against applicant or imposed upon applicant in relation to a motor vehicle repair garage. 7. Applicant must operate or manage a motor vehicle garage premises in a peaceful and law-abiding manner. 8. The applicant, parties of interest in the business, or employees shall not be convicted of any ordinance violations related to the operation o� the business, including theft or 52 Mike Thompson November 20, 1991 Page 2 crimes involving stolen property or consumer protection statutes. 9. The applicant shall permit representatives of the Police Department, Fire Department, and Community Development Department to inspect the premises for the purposes of ensuring compliance with the law and special use permit stipulations at any time it is occupied or open for business. 10. The applicant must pass or correct any deficiency within 30 days of applicable government agency inspections such as fire, building codes, and law enforcement. 11. The applicant shall provide and maintain in full force and effect public� liability insurance to indemnify any person against loss or injury in the sum of one hundred thousand dollars ($100,000.00) for injury or death to one person, three hundred thousand dollars ($300,000.00) for each accident or occurrence, and ten thousand dollars ($10,000.00) property damage, and shall contain a provision that no cancellation thereof shall become effective without thirty (30) days prior notice thereof in writing to the City Clerk. In addition, the applicant shall file with the City Clerk a public liability policy or certificate of insurance for each vehicle used in the business of it's motor vehicle repair garage. ' 12. The applicant shall maintain, on the premises, origi�al records which shall include all work orders, estimates, invoices, and names of all customers for whom motor vehicle repairs have been performed. As used in this section, the term "invoice" shall contain that information required in Minnesota Statutes Chapter 325F.56 to 325F.65. Such records shall be immediately available for inspection and copying by enforcement officials and shall be retained for at least two (2) years. A customer has a right to a copy of documents maintained by the motor vehicle repair garage reflecting any transaction to which he was a p�rty. A. The applicant is required to identify the source of the parts used on repaired vehicles. B. The applicant is required to keep a record of parts that are purchased and all purchased parts are to be paid by check rather than cash. C. The applicant is required to keep invoices and cancelled checks to establish the source of parts used on repaired vehicles. 53 Mike Thompson November 20, 1991 Page 3 13. The applicant shall not allow any automotive parts to be on the premises in which manufacturers identification numbers have been removed or altered. Manufacturers identification numbers include vehicle identification number (VIN); federal motor vehicle safety certification label; and component labels. Manufacturers identification numbers also include all references in the federal motor vehicle theft law enforcement act of 1984 and the federal motor vehicle theft prevention standard codified as part of the code of federal regulations. 14. Said permit shall be further conditioned on the stipulations of special use permit, SP �89-08, as set forth in the June 6, 1991 Action Taken Notice, a copy of which is attached hereto as Exhibit A and made part hereof by reference. A copy of the August 3, 1989 letter of Darrel Clark referred to in• paragraph 3 of Exhibit A is attached hereto as Exhibit B and made a part hereof by reference. Notwithstanding the foregoing, the parties agree that the completion date established in paragraphs 3, 4, and 5 of Exhibit A shall be extended to June 1, 1992, and the date of October, 1991 stated in paragraph 6 of Exhibit A shall be extended to July, 1992. Also at the meeting, the City Council approved for first reading an ordinance to repeal the ordinance establishing a moratorium on issuance of special use permits for repair garages. Second and final reading is scheduled for December 2, 1991. In regards to the improvements required in #14 above, please note the enclosed memorandum from Mark Winson regarding storm water drainage from the property. Prior to paving the parking area, you need to submit a drainage plan to Mark Winson for review and approval. If you have any questions regarding the above action, please call the me at 572-3590. Sincerely, Barbara Dacy, AICP , Community Development Director BD/dn cc: Darrel Jensen Samir Awaijane 54 Mike Thompson November 20, 1991 Page 4 Please review the above, sign the statement below and return one copy to the City of Fridley Planning Department by December 3, 1991. Concur with action taken 55 CASES BY ADDRESS: 7570 HIGHWAY 65 NE Complaint Date Opened By Complaint Description Case Notes Actions 8/6/1999 Saba high grass on property 7/6/1999 First Inspection 8/6/1999 Send 1st Notice 8/23/1999 Second Inspection 8/23/1999 Close Case 8/6/1999 Saba job-related materials not prope�ly screened 8/6/1999 First Inspection 8/6/1999 Send 1st Notice 8/23/1999 Second Inspection 8/23/1999 Close Case 4/6/2001 Saba numerous garage doors improperly stored outside the building 8/9/2006 4/6/2001 First Inspection 4/6/2001 Send 1st Notice 5/3/2001 Second Inspection 5/4/2001 Close Case Doors have been removed. 7/21/2003 Stromberg temporary banner on pylon sign 7/18/2003 First Inspection 7/21/2003 Send 1st Notice 7/29/2003 Secondlnspection 7/29/2003 Close Case 5/4/2005 Jones Semi Truck trailer being stored on property and used for storage-not permitted. 5/4/2005 First Inspeation . 5/4/2005 Send 1st Notice 5/16/2005 Grant Extension Owner of trailer - not owner or business - reqested the extension in person May 16, 2005. 7/15/2005 Extension Followup 7/15/2005 Close Case 1/24/2006 Jones Selling cars without a dealer s license ' - �• and parking the cars on the public ROW: • � � JJ sent letter to State asking for an investiga6on ot aealers license 012406. 3-3-06 JJ observed displaying � cars for sale. Flags on car antenna 3/3/2006 First �nspection 3/29/2006 Second Inspection 3/29/2006 Close Case 56 ' of2 CASES BY ADDRESS: 7570 HIGHWAY 65 NE 8!s/20o6 Complaint Date Opened By Complaint Description Case Notes Actions 1/27/2006 Jones Parking business tow truck lic. #89047 in public right-of-way. 1/27/2006 First Inspection 1/27/2006 Send 1st Notice 1l27l2006 Send 1st Notice 2/17/2006 Secondlnspection 2/17/2006 Close Case 2of2 57 � � CffY OF FRIDLEY T0: FROM: AGENDA ITEM COUNCIL MEETING OF AUGUST 28, 2006 WILLIAM W. BURNS, CITY MANAGER RICHARD D. PRIBYL, FINANCE DIRECTOR DEBRA A. SKOGEN, CITY CLERK SUBJECT: RESOLUTION DECLARING A QUESTION TO BE PLACED ON THE BALLOT AT THE NEXT REGULAR MUNICIPAL ELECTION, TO INCREASE THE WATER, STORM WATER AND SANITARY SEWER RATES IN EXCESS OF THE INFLATIONARY INDEX OR 5%, WHICHEVER IS LESS, AS REQUIRED BY SECTION 7.02 OF THE FRIDLEY CITY CHARTER DATE: August 25, 2006 This resolution identifies the ballot language that would appear on the ballot at the next regular municipal election if approved by at least a 4/5's vote of Council. In order to ensure the question is placed on the November ballot, the resolution must be adopted no later than September 11, 2006, to meet the election requirements. This increase and the inflationary portion of the rate increase is estimated to cost an average consumer in Fridley (18,000 gallons/quarter) a total of approximately $42.00 per year. The Notice of Public Hearing was published in the Fridley Sun-Focus on July 27, August 3 and August 10, as required by the Charter and the public hearing was held this evening. Staff recommends a motion adopting the resolution shown in Attachment 1. Attachment 1 RESOLUTION NO. 2006 - A RESOLUTION DECLARING A QUESTION TO BE PLACED ON THE BALLOT AT THE NEXT REGULAR MUNICIPAL ELECTION, TO INCREASE WATER, STORM WATER, AND SANITARY SEWER RATES IN EXCESS OF THE INFLATIONARY INDEX OR 5%, WHICHEVER IS LESS, AS REQUIRED BY SECTION 7.02 OF THE FRIDLEY CITY CHARTER WHEREAS, the Fridley City Council adopted Resolution No. 2006-42 on July 10, 2006, declaring the necessity for an increase in water, storm water and sanitary sewer rates and specifying the purpose of the increase for the year 2007; WHEREAS, after publishing a hearing notice on July 27, August 3 and August 10, 2006 as required by Section 7.02 of the Fridley City Charter, the City Council held a public hearing on August 14, 2006; and WHEREAS, Section 4.02 of the Fridley City Charter allows the City Council by resolution to designate a regular municipal election that shall be held on the first Tuesday after the first Monday of November, provided 15 days' published notice shall be given of said regular municipal election; and WHEREAS, the City Clerk is authorized and directed to cause printed ballots to be prepared for the use in said election in which the question shall be stated in substantially the following form: The City is required to run the water, sanitary sewer, and storm water operations like a business. Due to the City Charter limitation on rate increases, the operations lostapproximately $500,000 in 2005. The City expects similar or greater losses in 2006 and beyond unless these rates are raised as follows: Water -16 cents per 1, 000 gallons used; Sanitary Sewer — 32 cents per 1, 000 gallons of water used; and Storm Water —13 cents per quarter per residential property. YES Do you approve the utility rate increases listed above that are needed to bring revenues even with expenses? ���;, NO NOW, THEREFORE, BE IT RESOLVED that the City Clerk shall cause notice of said election for November 7, 2006, is given to the Anoka County Elections Division within at least 49 days of said election and that notice of said election be published in the official newspaper of the City for at least three weeks prior to said election. BE IT FURTHER RESOLVED that the election shall be held at the usual polling locations for the state general election and that said election shall be held and conducted in accordance with the Minnesota State Statutes applicable to municipal elections and the provisions of the Home Rule Charter. BE IT FURTHER RESOLVED that the City Council shall meet within seven days from said election as required by law for the purpose of canvassing said election and declaring the results thereof. PASSED AND ADOPTED BY THE CITY COUNCIL OF THE CITY OF FRIDLEY THIS DAY OF 2006. Scott J. Lund, Mayor ATTEST: Debra A. Skogen, City Clerk � � AGENDA ITEM ��F CITY COUNCIL MEETING OF AUGUST 28, 2006 FRIDLEI' INFORMAL STATUS REPORTS