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06/26/2006 - 00027543CITY COUNCIL MEETING CITY OF FRIDLEY JUNE 26, 2006 The City Council meeting for the City of Fridley was called to order by Mayor Lund at 7:30 p.m. ROLL CALL: MEMBERS PRESENT: Mayor Lund Councilmember-at-Large Barnette Councilmember Billings Councilmember Wolfe Councilmember Bolkcom OTHERS PRESENT: William Burns, City Manager Fritz Knaak, City Attorney Scott Hickok, Community Development Director Julie Jones, City Planner Jon Haukaas, Public Works Director Richard Pribyl, Finance Director John Berg, Fire Chief PRESENTATION: ANOKA COUNTY PARTNERS David Piggot, Director of Anoka County Partners, provided a brief presentation regarding Anoka County Partners. Anoka County Partners is funded through County funding, private sectors and local municipalities. The County funded $100,000 to Anoka County Partners this year. Anoka County Partners is approaching various municipalities asking for participation, which can be anything from having an elected official on the board of directors to a financial donation. Anoka County Partners has been approaching various communities seeking representation or financial contribution. Anoka County Partners is asking cities for $0.50 per capita which would total $13,544 for the City of Fridley per year. The total financial goal is $450,000 which can be reached from donations of 1/3 County, 1/3 private sector and 1/3 municipalities. Councilmember Billings questioned what the benefits would be to the City of Fridley if they were to participate financially. Mr. Piggot stated that although Fridley is a unique city within the County, Anoka County Partners would work with regional organizations to build up business in Anoka County. The idea is to promote a regional concept and Anoka County Partners can build solid opportunities for this area. The goal of Anoka County Partners is to have each community see all business opportunities. CITY COUNCIL MEETING OF JUNE 26, 2006 PAGE 2 Mayor Lund thanked Mr. Piggot and stated Council would take this request under advisement. Mr. Burns, City Manager, asked if the City had received a formal request. Mr. Hickok, Community Development Director, answered that a letter had been received. SPRINGBROOK WATERSHED CLEAN WATER PARTNERSHIP FINAL REPORT Julie Jones, City Planner, reviewed the final report of the Springbrook Watershed Clean Water Project. She said it was a ten-year project that began in 1997. The project was divided into phases, and phase one was a resource investigation which was completed in 2000. Phase two failed twice in a row to get funding, but thanks to special legislation funding from the State, it was approved and began in 2002. Phase two was slated to end in May of 2005 but an e�tension was granted until May of 2006. The goal of this project was to restore the Springbrook Nature Center wetland ecosystem. The current wetland drawdown condition was not conducive to wild life or feed stock habitat. It was decided to draw down water to see what would grow in the Springbrook Nature Center. The process was started in August of 2002 and many citizens were not happy with the wet look and mess this created. After the first year of growth, 63 species of plants were found and another growing season was granted to generate seeds and establish the plants. In June of 2005, stop logs were installed in the outlet and the water level was restored. The goal was to increase the wetland complex by 12 acres and an increase of 10 '/z acres was achieved. Ms. Jones stated that they worked with MnDOT and started the University Pond E�tension Plan. Staff negotiated with MnDOT to expand the pond project and it was successful. The stream was severely eroded and the plan was to install a bypass pipe to allow the storm water from large storm events to flow. Many trees needed to be removed to allow for installation of this large pipe and the end result was great. The bypass pipe is working as it was designed and is a success. This project is a very nice amenity for the park area and citizens are enjoying the open wildlife views for nature photography. Ms. Jones stated that a lot of things were done for public education. Staff participated in a kids fair at Northtown to educate children on watershed and storm water management. Staff participated on the University E�tension Nature Resource Field Trip with children. Software was purchased called "Alex the Frog" which teaches children about storm water management. This is currently at the Springbrook Nature Center and can travel to schools and other locations. The Yard and Garden Fair was also a success, offering citizens free workshops such as how to plant a rain garden. Ms. Jones stated that the greatest success of this ten-year project is that it was accomplished with $650,000 in funds with less than $50,000 coming from the City of Fridley. The following public partners were recognized for their contributions: the Cities of Blaine, Coon Rapids, and Spring Lake Park, cash contributions from the Six Cities Watershed District, Anoka Conservation Management, Northtown Mall, Wal-Mart, Springbrook Apartments, Landscape Alternatives, Met Council, the MPCA, and the McKnight Foundation. Mayor Lund congratulated staff for the success of this project. CITY COUNCIL MEETING OF JUNE 26, 2006 PAGE 3 APPROVAL OF PROPOSED CONSENT AGENDA APPROVAL OF MINUTES: City Council Meeting of June 12, 2006 APPROVED. NEW BUSINESS: 1. Receive the Minutes from the Planning Commission Meeting of June 7, 2006. RECEIVED. 2. Special Use Permit Request, SP #06-06, by Kenneth Goldman, to Increase the Lot Coverage Requirement from 40% to 43% to Allow the Construction of a Building Addition, Generally Located at 7830 Elm Street N.E. (Ward 3) William Burns, City Manager, stated that the petitioner is Mr. Kenneth Goldman, the owner of K& N Labs. The adjustment to the lot coverage requirement for his property will enable him to construct a building addition which will house an additional laboratory, a conference room, and office space. The Planning Commission unanimously approved this request at their June 7 meeting. Staff recommends Council's approval subject to concurrence, subject to seven stipulations. APPROVED SPECIAL USE PERMIT REQUEST, SP #06-06, BY KENNETH GOLDMAN WITH THE FOLLOWING SEVEN STIPULATIONS: 1. THE PETITIONER SHALL OBTAIN ALL NECESSARY PERMITS PRIOR TO CONSTRUCTION. 2. THE PETITIONER SHALL COMPLY WITH MN RULES, CHAPTER 1306, FOR FIRE SPRINKLER REQUIREMENTS. 3. THE PETITIONER SHALL COMPLY WITH ALL ADA REQUIREMENTS FOR PARKING. 4. ADDITION SHALL BE ARCHITECTURALLY COMPATIBLE WITH THE EXISTING BUILDING AND FINISHED WITH COMPLEMENTARY EXTERIOR BUILDING MATERIAL AND COLOR SCHEME. 5. NO OUTDOOR STORAGE OF EQUIPMENT OR MATERIALS IS PERMITTED WITHOUT A SPECIAL USE PERMIT. CITY COUNCIL MEETING OF JUNE 26, 2006 PAGE 4 6. PETITIONER SHALL SUBMIT LANDSCAPE PLAN TO BE REVIEWED AND APPROVED BY CITY STAFF PRIOR TO ISSUANCE OF A BUILDING PERMIT; AND 7. PETITIONER SHALL SUBMIT GRADING AND DRAINAGE PLAN TO BE REVIEWED AND APPROVED BY CITY ENGINEERING STAFF PRIOR TO ISSUANCE OF A BUILDING PERMIT. 3. Award the Design Contract for the 2007 Neighborhood Street Improvement Project. William Burns, City Manager, stated that the Public Works Director, Jon Haukaas, recommends that we contract with Short Elliot & Hendrickson, Inc. to design and oversee the construction of the 2007 Neighborhood Street Reconstruction Project for a not-to-exceed fee of $155,967. The project includes 3.7 miles of local streets located in the Melody Manor area and the streets generally south and west of Fridley High School. AWARDED THE DESIGN CONTRACT FOR THE 2007 NEIGHBORHOOD STREET IMPROVEMENT PROJECT TO SHORT ELLIOT & HENDRICKSON INC. FOR A NOT-TO-EXCEED FEE OF $155,967. 4. Receive Bids and Award for the Community Park Ballfield Phase 1 Irrigation Installation Project. William Burns, City Manager, stated that the City capital improvement plan includes drainage improvements at Community Park that are to be built in three phases. Each phase of the project includes raising the grade for two fields with granular material to improve drainage. It also includes the installation of new infield materials, new turf and new irrigation systems. Staff is requesting Council's approval of a bid award for the installation of the irrigation system for the first phase of the project. The low bidder for this work is Mickman Brothers at a cost of $24,990. Staff recommends that the project be awarded to the low bidder. RECEIVED BIDS AND AWARDED THE CONTRACT FOR THE COMMUNITY PARK BALLFIELD PHASE 1 IRRIGATION PROJECT TO MICKMAN BROTHERS IN THE AMOUNT OF $24,990. 5. Resolution Receiving Final Plans and Ordering Advertisement for Bids for the Mill and Overlay Project No. ST. 2006 — 2. William Burns, City Manager, stated that this project is on portions of Matterhorn Drive and 73rd Avenue. The cost of the project will be covered by assessments to benefiting property owners and MSAS funds. Staff recommends Council's approval. ADOPTED RESOLUTION NO. 2006-34. CITY COUNCIL MEETING OF JUNE 26, 2006 PAGE 5 6. Resolution Supporting the Independent School District No. 13 Grant Application under the "Safe Route to School" Program. William Burns, City Manager, stated that School District No. 13 is asking the City Council to support their 100% federally funded "Safe Route to School" grant application. The grant program funds educational programs and biking and walking improvements for kids in grades K-8. Staff recommends Council's approval. ADOPTED RESOLUTION NO. 2006-35. 7. Resolution Providing for the Issuance and Sale of $2,505,000 General Obligation Improvement Bonds, Series 2006A, Pledging for the Security Thereof Special Assessments, and Levying a Tax for the Payment Thereof. William Burns, City Manager, stated that this is a$2,505,000 bond issue that will be retired over a ten-year period through the use of general levy money and special assessments. Preparation for this issue involved a financial review by Moody's Investor Services. We received the official analysis from Moody's today. They attributed the reduction in rating from Aal to Aa2 to changing demographic characteristics of Fridley and the decline of our fund balances. The low bidder was Piper Jaffrey with a true interest rate of 4.2267%. Staff recommends Council approval. ADOPTED RESOLUTION NO. 2006-36. 8. Resolution Authorizing the Use of the ES&S AutoMARK Election Equipment in all Precincts. William Burns, City Manager, stated the City does not have a choice in election equipment the State requires us to use. The ES&S AutoMARI� equipment will be used as a ballot marking device in conjunction with our Diebold Accu-Vote optical scan voting system. Staff recommends Council's approval. ADOPTED RESOLUTION NO. 2006-37. 9. Claims (127065 — 127245). APPROVED. 10. Licenses. APPROVED THE LICENSES AS SUBMITTED AND AS ON FILE. CITY COUNCIL MEETING OF JUNE 26, 2006 PAGE 6 11. Estimates APPROVED THE FOLLOWING ESTIMATE: Shank Constructors 3501 — 85th Avenue North Brooklyn Park, MN 55443 Commons Park Water Treatment Plant Upgrade Estimate No. �(8) ............................................. $ 44,701.00 MOTION by Councilmember Barnette to approve the consent agenda as presented. Seconded by Councilmember Wolfe. 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 as presented. Seconded by Councilmember Wolfe. UPON A VOICE VOTE, ALL VOTING AYE, MAYOR LUND DECLARED THE MOTION CARRIED UNANIMOUSLY. OPEN FORUM (VISITORS): NONE. PUBLIC HEARINGS: 12. Consider Special Use Permit, SP #73-05, for Sinclair Fridley, Generally Located at 6071 University Avenue N.E. (Ward 1) MOTION by Councilmember Billings to waive the reading of the public hearing notice and open the public hearing. Seconded by Councilmember Bolkcom. UPON A VOICE VOTE, ALL VOTING AYE, MAYOR LUND DECLARED THE PUBLIC HEARING OPENED AT 8:00 P.M. Scott Hickok, Community Development Director, stated that the Sinclair Fridley location has recently received a site visit, letter, follow up visit, another letter, notice of violation, re- inspection and now we are at the point to revisit the use for permit. The property is generally located at 6071 University Avenue N.E. The special use permit allowed an auto service at the station, motor vehicle fuel and oil distribution and light auto repair. The stipulations of this permit are to be reviewed and renewed annually by the City and can be revoked if necessary. CITY COUNCIL MEETING OF JUNE 26, 2006 PAGE 7 This business previously was operated primarily as a gas station and secondarily as a light duty car repair shop. It was sold in July of 2005 and currently is operated as primarily a light duty car repair shop. He reviewed the history of the station and said staff is working on bringing the current business use up to date. The business was sited numerous times in 2005 and 2006 for violations of the City Code. Some of the violations included cars parked on the property long hours and at odd angles. In 2006, staff responded with a site visit and letter. Mr. Hickok shared some of the items in violation and whether they had been taken care oi 1. Vehicles shall not park closed or within 15 feet of the propane tank in any direction. (Completed) 2. Vehicles leaking fluid shall not be stored outside without a device to prevent fluids from running offsite. (Completed) 3. In accordance with C-2 zoning requirements, no heavy duty car repair performed on site which would include transmission, engines, drive shaft, front end or body work. (Completed) 4. Alterations to the site shall comply with the IBC and International Fire Code. (Completed) 5. Signage shall comply with Chapter 214 of the City Code. (Completed) 6. Apply for any necessary City and County and State Licenses for sale of products. (Completed) 7. Vehicles parking stalls shall be striped after the first 40 degree F day of spring 2006. (Not Completed) 8. No items shall be visible from the public right of way. The used tires, dumpster and the waste oil tank shall be stored within a screened area. (Fence is not complete.) 9. Vehicles shall not be stored for more than 48 hours on site. (Reoccurrence) 10. The drive aisles shall be kept clear. (Reoccurrence) 11. Vehicles shall park in stalls that are striped and designated for parking. (Reoccurrence) Mr. Hickok stated staff recommends that Council hold the public hearing and take comment. Staff will prepare a revised set of stipulations prior to July 10, 2006. These stipulations will be set for Council review and approval at the City Council meeting on July 10, 2006. Abraham Ahmed, Sinclair owner, thanked Mr. Hickok for his support. He apologized for the inconvenience. He said the fence is complete. He said many of the vehicles that are parked longer than 48 hours are waiting for customer pickup and the customer does not have the funds to pay for the repair work. He said if the car is released without payment, the money would be difficult to collect. He is trying to be careful with the customers he works with. Mayor Lund asked if the parking lot is striped. Mr. Ahmed stated that the parking lot is not striped. He is concentrating on keeping the aisle clear and not having cars on the lot for more than 48 hours. Councilmember Billings asked if Mr. Ahmed was currently selling gas or propane. CITY COUNCIL MEETING OF JUNE 26, 2006 PAGE 8 Mr. Ahmed said he is currently not selling gas because of the flexible prices. Councilmember Billings suggested that Mr. Ahmed work with staff to maximize the parking space on the lot. Councilmember Bolkcom asked if the 48 hour parking rule is different from other businesses in Fridley. Mr. Hickok said it exists in the City Code. Councilmember Billings commented that City staff is not advocating revocation but what is reasonable to insure that these violations are stopped. He asked if staff would have adequate time to get the list of stipulations to the owner so he would have time to comply. Mr. Hickok stated staff would get the stipulations ready this week and hand deliver if necessary so the owner has adequate time to review them prior to the July 10 meeting. MOTION by Councilmember Billings to close the public hearing. Seconded by Councilmember Barnette. UPON A VOICE VOTE, ALL VOTING AYE, MAYOR LUND DECLARED THE PUBLIC HEARING CLOSED AT 8:27 P.M. 13. 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 June 12, 2006). MOTION by Councilmember Billings to re-open the public hearing. Seconded by Councilmember Bolkcom. UPON A VOICE VOTE, ALL VOTING AYE, MAYOR LUND DECLARED THE PUBLIC HEARING OPENED AT 8:28 P.M. Councilmember Billings stated that a letter was received in the packet for a continuance on this item. He asked if anyone was present to represent Central Auto Parts. Karen Kurth, attorney for Central Auto Parts, stated that she was here to represent Central Auto Parts if the continuance could not be granted; however, Mr. Malone would prefer to represent this business. Councilmember Billings explained that the letter for continuance was received on June 24, so Council was not able to discuss whether rescheduling was possible. If Ms. Kurth was able to represent Central Auto Parts, he did not have a problem going ahead with this item tonight. Councilmember Bolkcom asked the City Attorney if Council would need to convene with Mr. Malone or if they could go ahead tonight with Ms. Kurth. CITY COUNCIL MEETING OF JUNE 26, 2006 PAGE 9 Mr. Knaak, City Attorney, stated that Mr. Malone told him that he had a conflict with tonight's meeting and asked for a continuance. He suggested to Mr. Malone that he write a letter to Council. Councilmember Bolkcom asked if it was up to the City Council to reply to the letter. Mayor Lund said he did not have a preference either way. Ms. Kurth stated that Mr. Malone would like to represent this case as he is more familiar with the case and would like the continuance if at all possible. Councilmember Wolfe replied that it was okay with him to wait until the ne�t meeting. Councilmember Bolkcom questioned if it would be reasonable to assume Mr. Malone can attend the July 10 meeting and if he is unable to attend, would Ms. Kurth be able to attend. Ms. Kurth said that Mr. Malone would be at the July 10 meeting. Councilmember Wolfe suggested that this item be resolved at the ne�t meeting and not to grant another continuance. Councilmember Billings said Mr. Malone requested a copy of the presentation from the last meeting and asked if Mr. Malone had received this document. Mr. Hickok said the presentation had been forwarded to Mr. Malone and the landowner. MOTION by Councilmember Wolfe to close the public hearing. Seconded by Councilmember Bolkcom. UPON A VOICE VOTE, ALL VOTING AYE, MAYOR LUND DECLARED THE PUBLIC HEARING CLOSED AT 8:36 P.M. MOTION by Councilmember Wolfe to continue this item to the July 10 City Council meeting. Seconded by Councilmember Barnette. UPON A VOICE VOTE, ALL VOTING AYE, MAYOR LUND DECLARED THE MOTION CARRIED 14. Consider Suspension/Revocation of Rental Property License (Properties Located at 190 Island Park Drive, 191 Island Park Drive, 6551 Channel Road and 6571 Channel Road) (Wards 2 and 3) (Continued June 12, 2006). MOTION by Councilmember Bolkcom to re-open the public hearing. Seconded by Councilmember Barnette. CITY COUNCIL MEETING OF JUNE 26, 2006 PAGE 10 UPON A VOICE VOTE, ALL VOTING AYE, MAYOR LUND DECLARED THE PUBLIC HEARING OPENED AT 8:37 P.M. John Berg, Fire Chief, stated that a public hearing was held on June 12, 2006, and was continued to June 26, 2006, for the purpose of taking testimony and receiving evidence pertaining to the suspension or revocation of the rental licenses issued to Hyder R. Jaweed for Sunshine Management. Staff requested the public hearing due to the increasing number and severity of housing code complaints and issues occurring on 191 Island Park Drive, 190 Island Park Drive, 6551 Channel Road, and 6571 Channel Road. In addition to non-compliance with correction orders, Sunshine Management has failed to obtain proper permits for electrical work. Mr. Berg stated that due to the number of outstanding housing violations, the amount of the fees due to the City, and Sunshine Management's unwillingness to cooperate, the Fire Department staff is recommending revocation of the rental licenses for the four properties owned by Sunshine Management in the interest of protecting the occupants of these properties and the citizens of Fridley as described in Chapter 220 of the Rental Housing Section of the City Code. Mr. Berg stated that to the best of his knowledge, all interested parties, including Sunshine Management and the occupants of the four properties were notified 20 days prior to the public hearing held on June 12, 2006, as specified by City Code. During the June 12, 2006, public hearing, Council requested copies of correction orders from previous inspections and correction orders for the properties located at 6551 Channel Road and 6571 Channel Road. Inspections of the properties on Channel Road were conducted on June 19, 2006. A generic list of corrections, not specifying the specific property address for the purpose of data privacy, was distributed to Council. All but 2 units on 6551 and 6571 Channel Road were inspected in four hours. 98 correction items were noted. Some were minor in severity, and some items provided by tenants were no longer an issue. After surveying the properties on Channel Road, Fire Department staff still recommends revocation of the rental licenses until all units are in compliance with City Code. The properties on Island Park Drive have recently applied for permits but staff also recommends revocation of the rental licenses until all items are resolved. Councilmember Billings stated that the at the June 12 meeting, a fence was still in need of repair and a few other small issues remained. After inspection, it was noted that not all items on the list were legitimate complaints. Mr. Berg replied that is correct. Terri Kanis, representing the management group for the Channel Road properties, stated that the other units have been inspected and the 48 hour items have been removed. The last two units have been inspected and one unit had no issues, and the other had one or two issues. She did not receive a list of items from latest inspection and requested a copy of the list. Councilmember Bolkcom asked where the list was sent. Mr. Berg stated that the list was sent to the address listed on the rental license. CITY COUNCIL MEETING OF JUNE 26, 2006 PAGE 11 Ms. Kanis stated that as of today she had not received the list. She commented that some of the 98 items were resident issues. The fence was fixed and some other items were corrected. They are ready to have some areas re-inspected. Councilmember Bolkcom asked for clarification on the process of the revocation and renewal of the license. She asked if the property owner took care of the issues on the list, could they reapply for their license at the July 10 Council meeting. Mr. Berg answered that Council would need to recommend that the property be licensed again and he would need to check the schedule to see if there would be time to re-inspect the property. He does understand that the property manager is working on correcting the items. Councilmember Bolkcom recommended closing the public hearing and putting this item back on the agenda when the work is complete and property is in compliance. Ms. Kanis stated she did not know about the broken fence issue until she received a copy of the citation. Scott Hickok, Community Development Director, stated that there were many violations out of compliance and no work was completed. The list of items to be fixed was sent to the address on the license. Mayor Lund questioned how long Ms. Kanis has worked for Sunshine Management. Ms. Kanis stated that she has been with the company since last August and has never failed to receive other orders. Councilmember Billings said he has a difficult time from the standpoint that, yes, the Fire Department did inspect and send out notices on all four properties, but so many items are not in compliance. Anyone trying to manage this property in a professional manner would have noticed these items. A professional manager would not need a letter from the City to alert them of dangerous situations on the property. Councilmember Wolfe said Section 8 Housing would not allow them to rent with so many items wrong. They are usually thorough and would not allow rental of this property. Ms. Kanis stated that Sunshine Management tries to keep the repairs cost effective and to take care of safety and hazardous items first. Councilmember Bolkcom asked about the caretaker of the properties and if a visual inspection was done regularly. Ms. Kanis replied that a walk-through is done and a request to repair needed items is made. The caretaker is responsible for fixing the items and if he cannot repair the items, he is to alert management. Councilmember Wolfe commented that a lot of the items date back to three years ago. CITY COUNCIL MEETING OF JUNE 26, 2006 PAGE 12 Ms. Kanis replied that the property was in compliance at the last inspection. Mr. Hickok talked about the broken fence on one of the properties and said he did not understand how management could not see that the fence needed to be fixed. It is the property owner's responsibility to take care of issues like this. Ms. Kanis replied that they did not know the fence was part of their property. Councilmember Bolkcom stated that pursuant to the City Code, a fence is required around the property. It does not matter whose fence it is, you would need to have one there to be in compliance. Some of the items are life threatening and the caretaker should be aware of these issues. This has been an on-going problem with this property and you must work with the Fire Department to resolve these issues. Councilmember Barnette stated that at the last hearing, many tenants were present. He asked if any tenants that attended that meeting had received any eviction notices. Ms. Kanis replied that no eviction notices were given as a result of that meeting. Mayor Lund suggested they continue to work on the corrections and to take a proactive approach in the future. Ms. Kanis stated that they would continue to work on the property and maintain the common areas. They will try to be more proactive in maintaining the property. Bertina Dockery, 6551 Channel Road, Apartment No. 1, stated that she did receive an eviction notice after the last meeting. She stated that she was in court today and was setting a trial date. The eviction notice was received right after the June 12 meeting. The eviction reason on her notice stated it was because of non-payment of rent. She admitted to paying her rent late, but she did pay the late fee. Section 8 will not pay the rent because the property is not up to code. She said that some of the little things are not done and more items need to be fixed. Section 8 did give a list to management of the items that need to be fixed before they will pay their portion of the rent. Kim Sherva, 6571 Channel Road, Apartment 11, stated that she received an eviction notice on June 19 that was dated June 13. Her situation was different and she was not able to pay rent. She explained her financial difficulty and would pay when she was able. She has been working with management to negotiate a pay plan. Currently June rent is paid but it needs to be paid up through August. Councilmember Billings stated that if they truly wanted to evict her they would not work on negotiating a pay plan. It sounds like they are trying to help keep her as a tenant. Grant Rudolph, owner of the property at 190 and 191 Island Park Drive, said he has taken over ownership. He said good things are happening and it looks great. He is living on-site and hiring people to clean up the area. There is a website, www.islandparkmn.com, to view the property CITY COUNCIL MEETING OF JUNE 26, 2006 PAGE 13 and see the vision for the future. As photos are available they will be posted on the website as well. Mayor Lund asked how many violations remain uncorrected on the list. Mr. Rudolph stated that many items have been fixed and an inspection was done on Thursday. All plumbing and electrical issues are completed. New locks have been installed and tenants have keys to access the building. Councilmember Bolkcom asked if Mr. Rudolph was aware of these issues when the property was purchased and if he understood that the license may be revoked until all items are complete. She asked what it will take to insure that all items are completed. Mr. Rudolph replied that he was aware of the issues and has been working hard to clean up the property. His plan is to convert the units to condominiums. He will take care of the safety issues to bring the property to compliance, but other items he may leave because the units will eventually be gutted out and rebuilt. Mr. Berg stated that an inspection did take place last Thursday and the paperwork did not make it into the mailing. Most of the code issues are still outstanding. Mr. Hickok commented that he has been on site recently and looked at the buildings. The change is remarkable compared to a month ago. He attested that the safety issues appear to be getting taken care of and he is happy with the progress in the short period of time. Mr. Rudolph stated that he has moved tenants to other units so he can begin remodeling. He is trying to not inconvenience the tenants. Councilmember Bolkcom asked if the license is revoked, if the tenants would be kicked out or if the property owner could not rent any new units. Mr. Rudolph stated that he was concerned if the license was revoked that he could not move people to other units for construction purposes. Councilmember Bolkcom questioned if Mr. Rudolph planned to remodel all properties and then sell them as condos. Mr. Rudolph replied yes. Councilmember Bolkcom asked if a three-month temporary license could be granted as long as immediate health and safety issues were taken care of. Mr. Knaak, City Attorney, responded that it would be under the discretion of Council whether to grant a temporary license or not. It would have to be under very unique circumstances to grant a temporary license and he did not know if the conversion would be unique enough. CITY COUNCIL MEETING OF JUNE 26, 2006 PAGE 14 Councilmember Bolkcom said they do not want to set a precedence. Councilmember Billings stated that they have applied for a rental license and the process is on- going. The property owner could apply for a new rental license once the property has satisfied the Fire Department. In any instance, the City would require that life threatening and safety issues be completed before the license is issued. Mr. Berg replied that this is a license transfer and after the inspection is completed, the owner will have sufficient time to correct the issues. Councilmember Billings asked if the transfer would be revoked if the license was revoked. Mr. Berg replied that is correct. Councilmember Billings stated that he understood that the license had not been transferred. Mr. Berg answered that the property was purchased but the transfer has not been made yet. Councilmember Billings asked how long it would take to renovate, convert and sell building 191. Mr. Rudolf replied that it depends how fast the demand is. Councilmember Billings recommended revoking the license based on the fact that a time cannot be determined for how long this remodel process will take. He asked Mr. Rudolph how many units were currently vacant. Mr. Rudolph replied that building 190 is almost full and building 191 has 5 of 12 units full. Councilmember Billings stated that if they revoke the license it would not be a big deal. If the property owner would take care of the heath and safety issues, it would not harm the owner to revoke the license. Mr. Hickok has given the property owner high remarks for his diligent work. Mayor Lund commented that if the license is revoked, he would still like to see the code violations corrected for the current tenants. Mr. Rudolph agreed to fix the health and safety issues but one unit had a bad furnace and he would not fix it because of the renovation. This unit would not be rented out. Mr. Berg stated that as a license provider, the property owner has 30 days to fix the items and even some of the cosmetic issues are considered a code violation. The list will be enforced and additional inspection fees will be accessed accordingly. In the process of a revocation of a license, the tenants have the right to maintain their lease. Councilmember Bolkcom asked if the property owner could still rent out the units without a license. CITY COUNCIL MEETING OF JUNE 26, 2006 PAGE 15 Mr. Berg replied that they can operate without a license but the owner could be sited as operating without a license. Jason Stratton, Island Park Drive resident, stated that he is a new resident and has spoken with other residents who agreed Mr. Rudolph has done more in one week than the previous owner has done in the last few years. He is interested in staying and buying property. MOTION by Councilmember Bolkcom to close the public hearing. Seconded by Councilmember Wolfe. UPON A VOICE VOTE, ALL VOTING AYE, MAYOR LUND DECLARED THE PUBLIC HEARING CLOSED AT 9:50 P.M. NEW BUSINESS: 15. Resolution Revoking the Rental Housing License for the Property Located at 190 Island Park Drive, Fridley, Minnesota (Ward 3) Councilmember Wolfe said that in order to hold the property owner accountable to bring the property up to code, the tenants would be allowed to stay and this would assure that the work is completed. After the work is completed, the property owner will be able to get their rental license back. Mayor Lund stated that these items need to be fixed and renovation has been started. This is the first positive influence in the area in a long time and by revoking the license we can ensure the process continues to move quickly. Councilmember Bolkcom agreed that sometimes it takes revocation of a license to get things done. Councilmember Billings stated that there is a specific reason to go through this process. It seems that the owner will handle the issues and he was aware of the problems prior to purchasing the property. This should not cause e�tensive harm to the property owner and revocation must be done so other landlords keep their properties up to code. MOTION by Councilmember Bolkcom adopt Resolution No. 2006-38. Seconded by Councilmember Billings. UPON A VOICE VOTE, ALL VOTING AYE, MAYOR LUND DECLARED THE MOTION CARRIED UNANIMOUSLY. 16. Resolution Revoking the Rental Housing License for the Property Located at 191 Island Park Drive, Fridley, Minnesota (Ward 3). MOTION by Councilmember Bolkcom to adopt Resolution No. 2006-39. Seconded by Councilmember Barnette. CITY COUNCIL MEETING OF JUNE 26, 2006 PAGE 16 UPON A VOICE VOTE, ALL VOTING AYE, MAYOR LUND DECLARED THE MOTION CARRIED UNANIMOUSLY. 17. Resolution Revoking the Rental Housing License for the Property Located at 6551 Channel Road, Fridley, Minnesota (Ward 2). MOTION by Councilmember Wolfe to adopt Resolution No. 2006-40. Seconded by Councilmember Barnette. UPON A VOICE VOTE, ALL VOTING AYE, MAYOR LUND DECLARED THE MOTION CARRIED UNANIMOUSLY. 18. Resolution Revoking the Rental Housing License for the Property Located at 6571 Channel Road, Fridley, Minnesota (Ward 2). Mr. Berg said if someone is having problems with a wrongful eviction, the Minnesota Attorney General's telephone number is 651-296-3353. MOTION by Councilmember Wolfe to adopt Resolution No. 2006-41. Seconded by Councilmember Bolkcom. UPON A VOICE VOTE, ALL VOTING AYE, MAYOR LUND DECLARED THE MOTION CARRIED UNANIMOUSLY. 19. Informal Status Report Councilmember Bolkcom stated that the `49er Days Celebration was a success. The parade was one of the largest ever and City staff and did a great job coordinating the events. Mayor Lund congratulated the Lions Club for the successful parade. He also thanked the community and volunteers for their efforts. 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 10:00 P.M. Respectfully submitted by, Krista Monsrud Scott J. Lund Recording Secretary Mayor