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08/10/2009 - 4540� � CITY COUNCIL MEETING OF AUGUST 10, 2009 �ffY �F FRIDLEY 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 572-3500 at least one week in advance. (TTD/572-3534) PLEDGE OF ALLEGIANCE. APPROVAL OF PROPOSED CONSENT AGENDA: APPROVAL OF MINUTES: City Council Meeting of July 13, 2009 (Tabled July 27, 2009) City Council Meeting of July 27, 2009 OLD BUSINESS: 1. Second Reading of an Ordinance Amending Chapter 206, Building Code, of the Fridley City Code Pertaining to the Minnesota State BuildingCode ........................................................................................................ 1 - 2 NEW BUSINESS: 2. Resolution Authorizing Changes in Appropriations For the 2009 Budget for January through July, 2009 ............................................................................................................. 3 - 4 FRIDLEY CITY COUNCIL MEETING OF AUGUST 10, 2009 PAGE 2 APPROVAL OF PROPOSED CONSENT AGENDA: NEW BUSINESS (CONTINUED): 3. Approve Antenna Site Lease Agreements Between the City of Fridley and TTM Operating Corporation, Inc., for Water Tower No. 1 and Water Tower No. 2 .................................................................... 5- 18 4. Claims ............................................................................................................. 19 5. Licenses ............................................................................................................. 20 - 21 6. Estimates ............................................................................................................. 22 ADOPTION OF AGENDA: OPEN FORUM, VISITORS: Consideration of items not on Agenda — 15 minutes. NEW BUSINESS: 7. Consideration of a Revision for Special Use Permit, SP #09-01, by Glenn Nelson, for Samir Awaijane, of 7570 Inc., (Sam's Auto World), for Automobile Repair for a Multi-Tenant Business, Generally Located at 7570 Highway 65 N.E. (Ward 2) ......................................................................... 23 - 25 8. Informal Status Report .......................................................................................... 26 ADJOURN. CITY COUNCIL MEETING CITY OF FRIDLEY JULY 13, 2009 The City Council meeting for the City of Fridley was called to order by Mayor Lund at 730 p.m. ROLL CALL: MEMBERS PRESENT: Mayor Lund Councilmember-at-Large Barnette Councilmember Saefke Councilmember Varichak Councilmember Bolkcom OTHERS PRESENT: William Burns, City Manager Rick Pribyl, Finance Director Scott Hickok, Community Development Director Deb Skogen, City Clerk Fritz Knaak, City Attorney Richard Harris, 6200 Riverview Terrace Joan Olson, 6320 Van Buren Street Pam Reynolds, 1241 Norton Avenue Pete Eisenzimmer, 6535 Oakley Drive A1 Stahlberg, 8055 Riverview Terrace Steve Ling, 120 Hartman William Holm, 7424 Melody Drive Carol Hoiby, 5380 7th Street NE John Heffken, 7374 Able Street Sean Warren, 7439 Concerto Curve Joanne Zmuda, 6051 4th Street NE Pete Borman, 120 River Edge Way Pat Gabel, 5947 2'/z Street PRESENTATION: Sarah Lackore, Community Outreach Coordinator Big Brothers Big Sisters of the Greater Twin Cities, presented information about this organization. APPROVAL OF PROPOSED CONSENT AGENDA: APPROVAL OF MINUTES: City Council Meeting of June 22, 2009 APPROVED. FRIDLEY CITY COUNCIL MEETING OF JULY 13, 2009 PAGE 2 OLD BUSINESS: 1. Second Reading of an Ordinance Amending Chapter 101, Animal Control, of the Fridley City Code Pertaining to Prohibition of Waterfowl Feeding. William Burns, City Manager, said this ordinance would prohibit the feeding of waterfowl on City park property. The ordinance change is based on the perception that the feeding of waterfowl at Moore Lake Park and other City parks creates problems for the park users and the waterfowl (principally Canadian geese). The problems include accumulation of droppings in the picnic and swimming areas as well as in playgrounds and athletic fields. The popcorn, bread and potato chips they are fed also lead to malnourishment and potentially death of the birds. The feeding of the birds creates crowding and unsanitary conditions for the birds. It also creates a dependence on donated food that can delay or halt the migration of these birds to wintering sites. Dr. Burns said there have also been several instances where people use food to harm the birds. The ordinance would make it unlawful to provide food, including food bi-products, garbage and animal food to waterfowl in City Parks. Food bi-products include matter left over from manufacturing or processing human food. It can be fruit and vegetable waste or meat and dairy product waste. The prohibition includes placing food or allowing food to be placed on the ground, shoreline, water body, or any structure unless these items are screened or protected in a manner that allows waterfowl to feed on them. The first reading of the ordinance was approved at the June 22 Council meeting. Staff recommends Council's approval of the second and final reading. WAIVED THE READING OF THE ORDINANCE AND ADOPTED ORDINANCE NO. 1259 ON SECOND READING AND ORDERED PUBLICATION. NEW BUSINESS: 2. Special Use Permit Request, SP #09-06, by Altare Signs, Inc., for Speedway Super America, LLC, to Allow a Free-Standing Automatic Changeable LED Gas Pricing Sign, Generally Located at 7299 Highway 65 N.E. (Ward 2) William Burns, City Manager, said petitioner is proposing to replace an existing free-standing sign with an electronic gas pricing sign. The LED section of the sign is will be 14.4 square feet. The total square footage of the sign is 80 square feet. The Planning Commission unanimously approved this request at their June 17 meeting. Staff recommends Council's approval subject to three stipulations. APPROVED SPECIAL USE PERMIT REQUEST, SP #09-06, WITH THE FOLLOWING THREE STIPULATIONS: 1. PETITIONER SHALL OBTAIN SIGN PERMIT AND CURRENT SIGN ERECTOR LICENSE PIROR TO INSTALLING ANY SIGNAGE ON SITE. FRIDLEY CITY COUNCIL MEETING OF JULY 13, 2009 PAGE 3 2. MESSAGE ON L.E.D. SIGN SHALL NOT CHANGE MORE OFTEN THAN AUTHORIZED UNDER SECTION 214.07 OF THE FRIDLEY CITY CODE. 3. MESSAGE ON L.E.D. SIGN SHALL NEVER FLASH OR HAVE MOTION THAT MAY DISTRACT VEHICULAR TRAFFIC IN THE AREA. 3. Approve Extension for Variance Request, VAR #08-05, by Jay Thorson of Daily Companies, on Behalf of Miller Funeral Home, to Reduce the Side Yard Setback on the North Side of the Building from 15 Feet to 3.7 Feet to Allow an Expansion of the Existing Garage; and to Increase the Encroachment of a Canopy into the Required Side Yard from 3 Feet to 7 Feet, Generally Located at 6210 Highway 65 N.E. (Ward 2) William Burns, City Manager, said Council granted the two variances on July 18, 2008. Variance #1 would allow the expansion of an existing garage by extending an existing 3.7' (instead of the 15' required) setback 60' to the west. The second variance on the south side of the building will allow a 7' canopy over an existing door. The petitioner is requesting a one-year extension of these two variances. Staff recommends Council's approval. THIS ITEM WAS REMOVED FROM THE CONSENT AGENDA AND PLACED ON THE REGULAR AGENDA. 4. Resolution Calling for a Public Hearing on Modifications to the Redevelopment Plan for Redevelopment Project No. 1 and the Tax Increment Financing Plans for Tax Increment Finance Districts Nos. 1, 6-7, 9, 11-14 and 16-19, Creation of Tax Increment Financing District No. 20 and Approval and Adoption of Tax Increment Financing Plan Relating Thereto. William Burns, City Manager, said the new TIF District would be located on the 12 acre Columbia Arena site. Staff recommends Council's approval. THIS ITEM WAS REMOVED FROM THE CONSENT AGENDA AND PLACED ON THE REGULAR AGENDA. 5. Approve Memorandum of Understanding for the Edward Byrne Memorial Justice Assistance Grant (JAG). William Burns, City Manager, said Fridley and three other Anoka County cities have been awarded additional JAG money. Fridley's share of the money is $19,132. The Police Department plans to use the grant money for the following items: 1. Six .233 caliber rifles; 2. Two Ballistic Shields; 3. Six mobile ammunition caches; 4. Sales Tax (6.5%); and , 5. 10 % administrative expense to the City of Coon Rapids (Administrator of the grant.) Staff recommends approval of the Memorandum of Understanding. FRIDLEY CITY COUNCIL MEETING OF JULY 13, 2009 PAGE 4 THIS ITEM WAS REMOVED FROM THE CONSENT AGENDA AND PLACED ON THE REGULAR AGENDA. 6. Approve Change Order No. 2 for 85t'' Avenue Trail Project No. ST2007-4. William Burns, City Manager, said the cost of the change order is $22,293.54. Of this amount, $21,945 is needed to build a split rail fence with cedar posts and three rails a distance of 2,100 feet along the Springbrook Nature Center (SNC) frontage. The fence will be located on the south side of the trail between sections of boardwalk, and will discourage bikers and pedestrians from entering the SNC through the woods. The change order brings the revised project cost with Colt Construction Services to $800,057.44. Staff recommends Council's approval. APPROVED. 7. Claims (142272 —142542). APPROVED. 8. Licenses. APPROVED THE LICENSES AS SUBMITTED AND AS ON FILE. 9. Estimates. APPROVED THE FOLLOWING ESTIMATES: Colt Construction Services, LLC 285 Forest Grove Drive, Suite 126 Pewaukee, WI 53072 85th Avenue Trail Proj ect No. ST. 2007-4 Estimate No. 5 .................................................................................. $ 86,124.52 Ellingson Drainage, Co. P.O. Box 68 West Concord, MN 55985 2009 Watermain Rehabilitation Project No. 386 Estimate No. 1 .................................................................................. $122,575.87 Veit & Company, Inc. 14000 Veit Place Rogers, MN 55374 2009 Sanitary Sewer Lining Project No 383 Estimate No. 1 .................................................................................. $156,334.00 FRIDLEY CITY COUNCIL MEETING OF JULY 13, 2009 PAGE 5 APPROVAL OF PROPOSED CONSENT AGENDA: Councilmember Bolkcom asked for Item Nos. 3 and 4 to be removed from the consent agenda. Richard Harris, 6200 Riverview Terrace, asked for Item No. 5 to be removed. MOTION by Councilmember Barnette to approve the Consent Agenda with the removal of Item Nos. 3, 4 and 5. Seconded by Councilmember Varichak. UPON A VOICE VOTE, ALL VOTING AYE, MAYOR LUND DECLARED THE MOTION CARRIED UNANIMOUSLY. ADOPTION OF AGENDA: MOTION by Councilmember Bolkcom to Adopt the Agenda with the addition of Item Nos. 3, 4 and 5. Seconded by Councilmember Saefke. UPON A VOICE VOTE, ALL VOTING AYE, MAYOR LUND DECLARED THE MOTION CARRIED UNANIMOUSLY. OPEN FORUM (VISITORS): Pete Borman, 120 River Edge Way, thanked everyone for the work that was put forth for Fridley `49er Days. It was a successful event and he thanked the city for all their support. Mayor Lund thanked Mr. Borman for his volunteer efforts in the event. He also thanked School District 14 and the Parks and Recreation Department. Everyone on the committee and the numerous volunteers did a great job. Richard Harris, 6200 Riverview Terrace, said he has a problem about what to do with people who bring unlicensed vehicles onto his property. According to a letter he received, the City can tag and tow the vehicles. There is a City impound lot and he asked if the City towed and impounded vehicles. Mayor Lund said the impound lot is for police issues. The letter he received is to make him aware of what is going on. Mr. Harris said that it would be easier if the City would tag and tow the vehicles. He questioned if there was a policy change. Mayor Lund asked if he had spoken with the Community Development Director regarding this issue. Mr. Harris asked if there was a policy change. FRIDLEY CITY COUNCIL MEETING OF JULY 13, 2009 PAGE 6 Mayor Lund said he was not aware of any change. He said the City does not make it a habit to tow vehicles on private property. A property owner can tow a vehicle that does not belong on their property, but the property owner or vehicle owner would be responsible for the towing fee. He suggested Mr. Harris contact Scott Hickok to discuss this matter. Councilmember Bolkcom said there will be a discussion of the traffic signal by Stevenson Elementary School on July 30 from 5:00 p.m. to 7:30 p.m. Anoka County Commissioner Kordiak will be in attendance with County engineers to discuss the impact on the neighborhood. The County will be sending a letter out to residents within one-half mile radius of the traffic signal. NEW BUSINESS: 1. Approve Memorandum of Understanding for the Edward Byrne Memorial Justice Assistance Grant (JAG). Richard Harris, 6200 Riverview Terrace, asked if the firearms purchased would be automatic or semiautomatic weapons. William Burns, City Manager, said he would let Mr. Harris know what kind of firearms were being purchased. MOTION by Councilmember Bolkcom to approve the Memorandum of Understanding for the Edward Byrne Memorial Justice Assistance Grant (JAG). Seconded by Councilmember Saefke. UPON A VOICE VOTE, ALL VOTING AYE, MAYOR LUND DECLARED THE MOTION CARRIED UNANIMOUSLY PUBLIC HEARING: 10. Consideration of an Amendment to Chapter 7 of the Fridley City Charter. MOTION by Councilmember Bolkcom to waive the reading of the public hearing notice and open the public hearing. Seconded by Councilmember Saefke. UPON A VOICE VOTE, ALL VOTING AYE, MAYOR LUND DECLARED THE MOTION CARRIED UNANIMOUSLY AND THE PUBLIC HEARING OPENED AT 8:05 P.M. Rick Pribyl, Finance Director, said this proposed Charter amendment has two elements of change in Section 7.02. First, it would allow the City to bring a question to the voters on a timelier basis for issues that require voter input to property taxes and fees that are restricted by the Charter and allow language for a special election. Second, it would change the 51% of the votes cast to a maj ority of those votes cast on said question. FRIDLEY CITY COUNCIL MEETING OF JULY 13, 2009 PAGE 7 Mr. Pribyl said when developing the 2010 draft budget, a number of difficult obstacles were encountered. The State of Minnesota unallotted 20081oca1 government aid, and will be reducing local government aid in 2009 and 2010 to solve the budget problems and shifting some burdens to local property tax payers. Due to the economy, staff has also seen revenue reductions in interest earnings, licenses and permits, and liquor store sales. Mr. Pribyl said for 2010 an additional $700,000 was cut from the General Fund Budget. Revenue adjustments for 2010 were also made where possible. Due to the continued General Fund reliance on transfers from the "rainy day" fund, this fund is projected to be out of money soon. By this time next year, the City will be facing the choice of either cutting services or attempting to raise revenue. In order to enable the City to get the issue to the voters in a timely manner, City staff approached the Charter Commission on June 10 with a request to initiate a change to Chapter 7 of the Fridley City Charter that would enable the City to bring a revenue issue to the voters in a special election. Mr. Pribyl said the proposed amendment also asks that the 51% majority requirement for approval be changed to a majority of those voting on the issue. This is the public hearing for the proposed Charter change. It is not intended to be a discussion related to potential revenue increases or changes to the 2010 Budget. The first reading of the ordinance to amend the Charter will follow the public hearing. Councilmember Bolkcom asked if staff received a report from the City's auditors, and if any comment related to fund balance was received that would be prudent to the discussion tonight. Mr. Pribyl said comments were received regarding the long-term reduction on fund balance and the elimination of other reserves that were approved. Councilmember Bolkcom commented this is not only a concern of Council and staff but also a concern of an independent accounting firm. Joan Olson, 6320 Van Buren Street, said that she was in favor of changing this as long as it does not open up franchise fees. The City has no control over franchise fees and if people have to pay extra she would rather do that through property taxes than franchise fees. Cutting services would be detrimental to citizens because sewer, water, police and fire are necessities. Mayor Lund said staff has been doing some number crunching on losses and the City has to stop losses soon or it will run out of money. Even with the substantial cuts and the local government aid, preliminary numbers show that the City needs to raise revenues by about $1 million, which would mean for the average value home in Fridley, taxes would increase about $82 a year. Fridley is an aging community and there is record unemployment, so it is hard to ask for the money. Mayor Lund said in comparison, if there were franchise fees, it would equate to about $36 a year per household. People wonder how there can be such a difference between raising taxes or having a franchise fee. With the franchise fee, everyone shares the burden including tax exempt properties like schools, apartments and hospitals. The non-profits would get hit heavier than the FRIDLEY CITY COUNCIL MEETING OF JULY 13, 2009 PAGE 8 homeowner. With those things in mind, the administrative cost is a lost less and the collection is done through the utility bill. If the franchise fee did come about, it would be a flat fixed rate. William Burns, City Manager, said that quite a few other cities have adopted a franchise fee. The utility companies favor a flat rate meter charge. Under this preferred route, a flat rate is used, not a percentage. The reason Fridley is better served is because of the huge industrial commercial tax base. Richard Harris, 6200 Riverview Terrace, asked about commercial industrial industries and what the franchise fee would mean to those businesses. Dr. Burns said that nothing has been designed yet but there would be a separate franchise fee attributed to different types of users. The larger users would pay a higher fee. Tonight's public hearing is not to discuss franchise fees. Mr. Harris said that Mayor Lund raised a point and he wanted to know what it would cost and who would be responsible for the maintenance of the meters. Dr. Burns said that the utility company would be responsible for the meters. Mr. Harris said that he watched a program on Channel 17 saying if this does not pass, services would have to be cut. Dr. Burns said the conversation about cutting services is premature at this time. Any services that would be cut would be significant because the City is already at the bare minimum. All services are important and the City needs to do all it can to preserve what is offered right now. Mayor Lund said that the remaining employees have had to take cuts too. There will be no salary increases or insurance increases given to staff. If additional revenues are not found, all aspects of budget cuts will need to be looked at. It is premature right now to say things may be cut in one way or another but residents will notice cuts in services if it were to happen. Pam Reynolds, 1241 Norton Avenue, said she is in opposition to changing the language in the Charter. At the June Charter Commission meeting, she cast one of the two opposing votes for this change. The Charter Commission bylaws say that the purpose of the Charter Commission is to frame and amend the Charter to meet the needs of the people. The language currently in the Charter not only meets the needs of the people but also represents the will of the people as established in the 2000 election. She believed the desire to change the Charter language was designed to circumvent voters by using a process that would normally reduce the number of voters who go to the poll. It is well known that special elections typically draw a lower number of voters as was the case in the election held in 2007. Ms. Reynolds said she did not think this public hearing was even necessary. She saw the cable television program of the discussion regarding the proposed Charter Amendment. It sounded like Council was planning to approve the amendment before the public hearing even happened. During the cable show when Deb Skogen was asked by Bill Burns what the language changes FRIDLEY CITY COUNCIL MEETING OF JULY 13, 2009 PAGE 9 were, she responded that they were minor. These changes in the literal sense may be minor but the words have maj or consequence to the citizens of Fridley. Ms. Reynolds said in today's economy many people would like to know their jobs are secure through 2011. She understands staff's desire to increase the City's revenue flow, but with 75% of the City's budget tied up into personnel costs covering nonessential services, cutting non- essential services requires cutting wages. With unemployment in Fridley at 9.3% no one is guaranteed employment. The City may have to make hard choices like any other employer in the United States. Ms. Reynolds said currently, over $3 million is tied up in tax increment financing further putting burden on taxpayers. She asked Council to vote no on this Charter change and make the necessary budget cuts and put the increased levy issue on the next general election ballot. Mayor Lund said the Charter Commission was asked in February after the end of year local government aid unallotment, and the Charter Commission said they wanted to wait and see what the legislation would do. A special election is needed in December and the timeline is such that the City is restricted. Ms. Reynolds said that the Charter Commission was scheduled to meet on July 27 after it was known what the unallotments would be. When this first came to the Charter Commission, staff recommended that the Charter Commission agree to take the language back to pre-2000. Mayor Lund said that the Charter Commission did not have consensus and were suppose to work on it. Ms. Reynolds said they were working on a compromise and looked at the Mounds View language. The Charter Commission agreed to look at the language and agreed on May 18 to adopt the language from the Mounds View Charter to allow an additional2% up to 5%. She said a special election would not serve any purpose. The vote must be held during a general election and it needs to stay that way. Pete Eisenzimmer, 6535 Oakley Drive, said he read in the Focus that the City wants to amend the Charter. The City tries to take the Charter apart every year and each time it is not able to be on the ballot unless there is a petition, so it should not be on the ballot without a petition. Mayor Lund said he would go along with the change if the Charter would allow a special election and ask for some type of tax increase. Mr. Eisenzimmer said the Charter should not have to force themselves to collect signatures to get on the ballot. Mayor Lund said the only way it will get on the ballot is for a change in the wording on the Charter by petition. FRIDLEY CITY COUNCIL MEETING OF JULY 13, 2009 PAGE 10 Mr. Eisenzimmer said he did not agree to change the ordinance. He does not think the City should be able to make a special election whenever they need money. Residents have to live on their income and the City should have to make it work and quit spending money. He asked for Council to think about it before they put it through. A1 Stahlberg, 8055 Riverview Terrace, said that in February of this year, there was an article in the Minneapolis Star and Tribune about how low the taxes are in Fridley. The article listed the top 10 and bottom 10 taxed cities and Fridley was not on the list. Councilmember Barnette asked if there were any cities on the list from Anoka County. Mr. Stahlberg said Ham Lake. He said that Fridley has expenses that may not be necessary, like the fact that eight City parks have irrigation systems. He wondered why the parks were sprinkled because then the grass needs to be cut twice a week instead of once a week. He also noted that Chemlawn is hired to spray the park. Councilmember Bolkcom said if Mr. Stalhberg has ideas to cut the budget, he should bring them to the budget meeting. Tonight's item is about the Charter. Mr. Stahlberg said he did not want a special election in December. He was concerned about the weather and how people would get out to vote. Mayor Lund said people could fill out an absentee ballot. Mr. Stahlberg said the City would have to pay a fee for a special election and the election should be in November with the general election. Mayor Lund said if the city waited until November, this issue would fall into the 2011 budget. If the voters voted no, the City would really be in a crisis mode. Mr. Stahlberg said the City is not even close to running as cheap as it could. Councilmember Bolkcom asked Mr. Stahlberg to show her $1 million in cuts that could be done and come to the next budget session. Not using Chemlawn, and decreasing the mowing and sprinkling does not even put a dent into the crisis. Mr. Stahlberg said it would be a start. William Holm, 7424 Melody Drive, said he is a member of the Charter Commission and is the longest standing member. A special meeting was held in June to discuss a proposal brought to the Charter Commission by City staf£ The majority of the Charter Commission felt this did indeed meet the needs of the people and voted 8 to 2 in favor of it. His reason for voting in favor is because it enabled the City to bring forth the issue of cuts before the cuts have to be made. Mr. Holm said citizens have a chance to vote on whether or not they want to go ahead with these cuts or look at other revenues to avoid those cuts. It is not uncommon for City staff to make FRIDLEY CITY COUNCIL MEETING OF JULY 13, 2009 PAGE 11 suggestions on Charter changes. The Charter Commission has agreed with some changes and not with others. It is also true that individual members of the Charter Commission can suggest changes to the Charter and if there is consensus it can be brought to Council. Charter Commission meetings are not closed; if anyone wants to come they can do so and bring up suggestions to be considered. This is an open process to all citizens of Fridley. Mayor Lund said the Charter Commission was working on some issues to help the City and was looking at the Mounds View Charter restriction and adding the 2%. He asked why the Charter Commission went with this recommendation rather than the one they were working on. Mr. Holm said he missed that meeting. The Charter Commission was going to consider the item in July. Mr. Pribyl brought forth the proposal and noted the importance of rapidly bringing this to the voters. Councilmember Bolkcom said all during last year with the budget cuts and unallottments, staff and Council wanted to bring the concerns to the community. This is why she brought up the audit, because it is not just a city staff issue; numerous discussions have been held with the Mayor and City Council regarding this issue. Carol Hoiby, 5380 7th Street NE, Charter Commission member, said she was absent at the June meeting but if she were present, the vote would have been 9 to 2 because she is in favor of it. John Heffken, 7374 Able Street, said he was opposed to a special election because it cost money and the City doesn't have money. Quite a while ago the City found $3.0 million to start a rail station. The Council is elected to take care of business for residents and if they found money for the rail station, there must be other monies set aside. Mayor Lund said that the $3 million came out of HRA Funds. Dr. Burns said a large part of the funds for the rail station were from CTIB monies that had nothing to do with the General Funds. Councilmember Bolkcom added the monies came from sales tax and could not be spent in any other way for the rail station. Mr. Heffken said the City does not need to spend any more money and needs to find a way to do it for less. Joanne Zmuda, 6051 4th Street NE, said the City wants to change the Charter language again because they feel the language is too restrictive to raise city revenues. The City has many ways to cut the budget like many of us have had to do. Ms. Zmuda said in her opinion, it is unfair and unethical to have a special election on such an important issue. We need a break from taxes, not more taxes. Regarding public safety cuts, scare tactics do not work anymore. If this goes through, there will be a petition going around. FRIDLEY CITY COUNCIL MEETING OF JULY 13, 2009 PAGE 12 Mayor Lund said it is unfortunate she feels that way. He said he is a tax payer and resident. Pete Borman, 120 River Edge Way, said he is a member of the Charter Commission and was Chair in February when this started. The change being proposed is to go to the voters and ask for an increase above the rate of inflation or 5%, and the City has the ability to ask that question. The Charter Commission had three proposals they were looking at and it was a wait and see situation with the Charter Commission because it was unknown what the state was going to do. If a special election is granted or not, if people are concerned and care, they will come vote when the question is posed. Council is just going through the process to go to the voters and ask them for an increase in taxes. He said he supports this item. Sean Warren, 7439 Concerto Curve, said he does not agree with Mr. Borman. Water rates came around a while back and he also suggested a 20 cent increase instead of 10 cents. There needs to be a certain amount of money available to run the City and the City needs to have fiscal responsibility. Funding revenue sources are needed to make it work The LGA has been cut many times and the City should not count on a nickel from LGA. The City needs to look out 3 to 5 years. He asked if $1.2 million would be enough. Mr. Warren said he has seen special elections abused, and if the City doesn't get what they want, they will run another special election. People are tired of special elections because it is a major hassle. If taxes continue to rise, soon people will start to move. Dr. Burns said the funds needed depend on what happens at the state legislature. The rainy day funds that have been used have been anywhere from $900,000 to $2.0 million. The $1.2 million amount is an average being used that may get the City back to balancing the budget. Staff does not want to ask for too much because they do not want to burden people. Mr. Warren asked how the numbers work. Dr. Burns said that there would need to be 51% of people that voted on the issue. Mr. Warren said that he was against a special election because it could lead to abuse down the road. Mayor Lund said at least the City is going to the voters and the voters have the right to say no. Mr. Warren said the voter turnout has not been that great. Mayor Lund said there is a problem with waiting until November 2010. Mr. Warren said the information that was printed on the water issue was not easy to read or understand. He asked why the information was printed and distributed to the people. Dr. Burns said the information was not something staff generated. It is required to be published. Mr. Warren agreed with others that there are areas of the City that could be cut. FRIDLEY CITY COUNCIL MEETING OF JULY 13, 2009 PAGE 13 Councilmember Bolkcom said for those who do not come to the election, shame on them for not being involved. People are given the opportunity to be educated and become involved. Staff thought they would give people the opportunity and let them what they were talking about. Dr. Burns spent time on the newsletter to let people know what is going on. It is the people's taxes and money that is being spent. People should come to an election and vote whenever an election is held. Dr. Burns said in the general election, you get voter falloff because people are voting for the President or Governor. People vote on issues at the top but do not always fill out the voting items at the bottom. In a general election, there usually is not a lot of participation on the local issues which has a bearing on the 51%. Dr. Burns said regarding the use of tax increment financing, this is an economic development or redevelopment tool that enables Fridley to attract offices and valuable projects that would not ordinarily build here. The increment is the increase of change in the base and the value of the taxes after the project is complete. A portion of the increment is an incentive for developers to bring projects to Fridley. TIF was used based in incremental increases to help Medtronic with their parking ramp and now they are one of the largest employers in Fridley. Councilmember Bolkcom said there was recently a public hearing held for a TIF request for the Columbia Arena and not one person came to that public hearing that was against the proj ect. Dr. Burns said that just because TIF is granted, there is no guarantee Fridley will get the project. Staff is continually working very hard to get new businesses in Fridley that are attractive. Mr. Pribyl said there are now some TIF districts that are coming on line that are full market value. Councilmember Bolkcom said another example of what allows Fridley to do development is the commuter rail area. This would not be in the community and will happen because of TIF. Steve Ling, 120 Hartman, said he had concerns with the Charter amendment because it is changing it to special election and 51%. Statistics show that a special election does not have good voter turnout. Issues should be presented to public where most people will show up and avoid the cost of a special election. Council was addressed several years ago about the budget and the fact that the rainy day funds kept on being spent. He asked how many general elections have passed when something could have been done before the crisis. Now the City is in an emergency situation and asking for a special election. Special elections do not work in emergency situations. This should go to the general public as part of a general election. Mayor Lund said in 2000, the City did not know in three years there would be a deficit and unallottment that would cost the City to lose millions of dollars. Then after the funds had already been spent, the Governor makes another unallotment. There will be tougher times to come and there is no crystal ball to let the City what is going to happen. The City has tried to FRIDLEY CITY COUNCIL MEETING OF JULY 13, 2009 PAGE 14 raise additional funds through liquor sales but that has even taken a downturn from $500,000 to $350,000. Mr. Ling said the City government budget is similar to a household budget. The City has been spending down the rainy day fund since 1999. If someone has a savings account with a limited amount of funds and dips into it, sooner or later the money will be gone. Now the City must increase revenues or cut expenses. Things happen, the current Charter works if they ask people for additional revenues. He is opposed to a special election because of the voter turnout. Councilmember Bolkcom reminded people that in 2001 and 2002 the City was criticized because there was too much money in reserves and the last few years, the City has had huge local government aid cuts. If there was a crystal ball, the city should have been raising the rates all the time but they wanted to be a community that could offer all these services for the least amount of money. Water and sewer had to be addressed first and now this issue needs to be addressed. Councilmember Bolkcom encouraged people to talk to neighbors to come and vote. This cannot wait another year because the City will continue to lose money. Mr. Ling advised to be cautious in amending the local Charter and how often it is amended. Dr. Burns said Fridley is one of few Charter cities--one of three--that has these kinds of restrictions. Fridley has the lowest taxes and water rates in the area. Staff feels there is some justification in getting rid of the restrictions altogether. Let your elected representatives bring forth the good choices they were elected for. Mr. Ling said that he did not live in the City when the Charter was adopted but with the current spending and expenses, he would expect Council to do what is appropriate to run the City. Councilmember Bolkcom said the Charter was not approved by the entire public, it was written by a small group of people who do not speak for everyone. Pat Gabel, 5947 2'/z Street, said Council was elected to do a job for the City and now there are 5% of the people preventing that from happening. She asked what needs to be done to get rid of the 5% of the people that caused this to happen. She asked if she could run around with a petition. Mayor Lund said that Ms. Gabel could inform people fairly and encourage them to vote. Ms. Gabel said she is tired of hearing from 5% of the people and does not want them representing her. Now the City is in financial trouble and people do not see it. Mr. Eisenzimmer said the Charter passed in 1999/2000 and the City Council and City Manager knew what the Charter was. At that time there should have been money put away for what was coming yet many proj ects were started that cost a lot of money. These are the proj ects that have to be cut back on and not finished. The citizens of Fridley cannot afford to have taxes raised any FRIDLEY CITY COUNCIL MEETING OF JULY 13, 2009 PAGE 15 more. The Charter states what the City has to do to get money, yet there are people who run the City that believe the Charter should be changed. The Charter change would have never been created if it had not been for the franchise fee. Deb Skogen, City Clerk, said the Fridley City Charter was adopted in 1957. Restrictions were put into place and the initiative referendum by a petition group and went to municipal restriction. City Council had the ability if the City was in a crisis to request a public hearing and adopt a resolution to raise taxes. Council can only go for an annual election on even years so a question cannot be on the ballot this year. Councilmember Saefke said Council has been accused of not following the Charter and he asked Ms. Skogen if Council was following the procedure in the Charter. Ms. Skogen said this is the correct procedure in the Charter. Notice was published in the paper, the City offered education and the public hearing is being held and it is up to Council to adopt the ordinance. Councilmember Saefke said he wanted to make sure the listening audience was aware what the process is and that Council is following what is written in the Charter. Councilmember Bolkcom said the 2000 Charter amendment had nothing to do with this crisis. The City could have been increasing taxes and not spending down fund balances and raising taxes all along. She asked if it was fair to say that because of the Charter amendment the City has already cut budgets and the City has also had to live with the cost of living increases and spending down fund balances. Dr. Burns said the City was put in a position to use rainy day funds. Rather than accept existing Charter increases the City felt a change was needed to be made to the Charter and the City made an effort to turn it around. Councilmember Bolkcom said the City had to play catch up on water and sewer because of water restrictions. A1 Stahlberg said an area where funds could be cut is where the City spent $175,000 on a sidewalk to nowhere because Coon Rapids did not put in the other part of the sidewalk. Mayor Lund said there have been a lot of comments about what the City is spending and there are funds that cannot be used for the General Fund to keep the City afloat. If these funds were not spent in a certain way, the City would lose the funds and the 20% match that came from state aid money. The money for that sidewalk did not come from the General Fund, so that would not help the City in financing the General Fund. People need to see the bigger picture before they criticize the Council. The City does not want to have to ask for an increase but there is no easy clear solution. The Governor has even told city Mayors in the past to spend down reserves because it restricted cities from asking for a tax increase. FRIDLEY CITY COUNCIL MEETING OF JULY 13, 2009 PAGE 16 Mayor Lund said Council is willing to listen to people's comments on how to save money but this is not appropriate as the money mentioned cannot be used for General Funds. Even if the City cut back on watering the City parks, that money savings would not help with the General Fund. Those funds come out of the Enterprise Funds in the water and sewer department. People need to understand the entire picture. Mr. Stahlberg said the threat is the City may lose current staf£ That may not be a bad idea. New blood means new ideas which may be good for the City. Mayor Lund reminded people that if staff is cut, it would be difficult to take care of code enforcements. Councilmember Bolkcom added some Park and Recreation programs are self-supporting like baseball and softball. Council is elected to take care of the budget and there are many components to the budget. People need to trust that Council wants to give citizens the best services they can for the least amount of money. Mr. Stahlberg said the trust is gone now. Mr. Harris said according to the U. S. Constitution, people have the right to regress their grievances. Right now he is exercising that right. People have looked down on TIF and it is a good development tool but from time to time TIF was not used well. TIF is better used these days but in the past, business owners built on their own, they did not need help and wanted to come to this town. This used to be a thriving growing community and the City used to operate in an efficient way. Councilmember Barnette said things have changed tremendously. Fridley has gone through the same changes as other communities have. We are all taxpayers and are doing the best job we can. Councilmember Bolkcom said the climate is much different now than it was then. Who would have predicted our country would be in the shape it is right now? MOTION by Councilmember Barnette to close the public hearing. Seconded by Councilmember Varichak. UPON A VOICE VOTE, ALL VOTING AYE, MAYOR LUND DECLARED THE MOTION CARRIED UNANIMOUSLY AND THE PUBLIC HEARING CLOSED AT 10:25 P.M. NEW BUSINESS: 11. First Reading of an Ordinance Amending Section 7.02 of the Fridley City Charter. MOTION by Councilmember Bolkcom waive the reading of the ordinance and adopt the ordinance on first reading. Seconded by Councilmember Saefke. FRIDLEY CITY COUNCIL MEETING OF JULY 13, 2009 PAGE 17 Councilmember Bolkcom said a lot of information was discussed and she understands it makes sense to try and do this in a general election, but she hopes people have the opportunity to know what is going on. The City is trying to be prudent with people's taxes and everyone is on a fixed income. Something needs to be done now and she hopes people understand the questions and issues. Mayor Lund said it is difficult to ask for increases in taxation given the climate of the economy, but he does not want to go the other route with further cuts. He firmly believes that making further cuts will noticeably make changes in our community. There is a cost in keeping up the community. The Charter Commission approved this item on an 8 to 2 vote. Hopefully people are willing to pay a few more dollars, but if the majority of people say no, the City will end up with significant cutbacks to the community. UPON VOICE VOTE, ALL VOTING AYE, MAYOR LUND DECLARED THE MOTION CARRIED UNANIMOUSLY. 3. Approve Extension for Variance Request, VAR #08-05, by Jay Thorson of Daily Companies, on Behalf of Miller Funeral Home, to Reduce the Side Yard Setback on the North Side of the Building from 15 Feet to 3.7 Feet to Allow an Expansion of the Existing Garage; and to Increase the Encroachment of a Canopy into the Required Side Yard from 3 Feet to 7 Feet, Generally Located at 6210 Highway 65 N.E. (Ward 2). Councilmember Bolkcom asked how many extensions could be granted for a variance and why an extension would be granted. She asked what would happen if petitioner came back next year asking for another extension. William Burns, City Manager, said they are looked at on a case-by-case basis. This is the first variance request in this case. Councilmember Bolkcom said at some point Council should look at how many extensions are going to be granted. MOTION by Councilmember Bolkcom to approve an extension for Variance Request, VAR #08-05. Seconded by Councilmember Saefke. UPON VOICE VOTE, ALL VOTING AYE, MAYOR LUND DECLARED THE MOTION CARRIED UNANIMOUSLY. 4. Resolution Calling for a Public Hearing on Modifications to the Redevelopment Plan for Redevelopment Project No. 1 and the Tax Increment Financing Plans for Tax Increment Finance Districts Nos. 1, 6-7, 9, 11-14 and 16-19, Creation of Tax Increment Financing District No. 20 and Approval and Adoption of Tax Increment Financing Plan Relating Thereto. Councilmember Bolkcom asked why this was not going before Council until September. FRIDLEY CITY COUNCIL MEETING OF JULY 13, 2009 PAGE 18 Scott Hickok, Community Development Director, said that there is a statutory process in creating a district and holding a public hearing. There is a timeline and September 28 is the first date this can be on the agenda. The senior building will start construction this year and the clinic is not sure if it will start construction in the fall or spring. MOTION by Councilmember Bolkcom to adopt Resolution No. 2009-25. Seconded by Councilmember Saefke. UPON VOICE VOTE, ALL VOTING AYE, MAYOR LUND DECLARED THE MOTION CARRIED UNANIMOUSLY. 12. Informal Status Report Scott Hickok, Community Development Director, said there was another successful paper shredding event last week resulting in 2,700 pounds of paper shredded. Councilmember Bolkcom announced the "Night to Unite" event will be held on Tuesday, August 4. The new logo takes place of the old "National Night Out" logo. Mayor Lund said the Fridley Historical Society is looking for nominations for the Hall of Fame Event. Nomination forms can be found at City Hall, libraries and the History Center. Nominations are being accepted now and people can nominate themselves or someone deserving of this award. Nominations can be dropped off at City Hall by July 31. Councilmember Bolkcom said they received a memorandum from the League of Minnesota Cities indicating that Senator Betzold will be recognized for his leadership to communities in Minnesota. He will be one of 27 recognized by the League of Minnesota Cities. Senator Betzold has been very receptive to issues in our community. Councilmember Barnette said that a grand opening ceremony will be held for the North Star Commuter Rail Station at the Fridley station on 61st Avenue and East River Road in November. They are expecting 700 to 1,000 participants at each of the stations. There is a link on Fridley's website for more information and photographs. ADJOURN: MOTION by Councilmember Barnette to adjourn. Seconded by Councilmember Varichak. UPON VOICE VOTE, ALL VOTING AYE, MAYOR LUND DECLARED THE MOTION CARRIED UNANIMOUSLY AND THE MEETING ADJOURNED AT 10:45 P.M. Respectfully Submitted, Krista Monsrud Scott J. Lund Recording Secretary Mayor CITY COUNCIL MEETING CITY OF FRIDLEY JULY 27, 2009 The City Council meeting for the City of Fridley was called to order by Mayor Lund at 730 p.m. ROLL CALL: MEMBERS PRESENT: Mayor Lund Councilmember-at-Large Barnette Councilmember Saefke Councilmember Varichak Councilmember Bolkcom OTHERS PRESENT: William Burns, City Manager Richard Pribyl, Finance Director Fritz Knaak, City Attorney Scott Hickok, Community Development Director Jim Kosluchar, Public Works Director Debra Skogen, City Clerk Myra Harris, Special Projects Coordinator Don Maurer, Former Member of Fridley Police Reserves Pam Reynolds, 1241 Norton Avenue Peter Eisenzimmer, 6535 Oakley Drive William Holm, 7424 Melody Drive Joanne Zmuda, 6051 4th Street NE Blaine Jones, 54 Locke Lake Road Mr. and Mrs. Don Wegler, 6815 East River Road Barb Parcells, 5641 6th Street PRESENTATION: Alyssa Carlson and Alyssa Paradise, Fridley `49er Days Royalty, updated Council on the upcoming events as Royalty and encouraged residents to participate in the Night to Unite event on August 4, 2009. PROCLAMATION: Mayor Lund presented a proclamation for Nite to Unite which is being held on Tuesday, August 4, 2009, to Myra Harris, Special Projects Coordinator. FRIDLEY CITY COUNCIL MEETING OF JULY 27, 2009 PAGE 2 APPROVAL OF PROPOSED CONSENT AGENDA: APPROVAL OF MINUTES: City Council Meeting of July 13, 2009. THIS ITEM WAS REMOVED FROM THE CONSENT AGENDA AND PLACED ON THE REGULAR AGENDA. OLD BUSINESS: 1. Second Reading of an Ordinance Amending Section 7.02 of the Fridley City Charter. William Burns, City Manager, said the City Council held the public hearing and approved the first reading of this ordinance at their meeting on July 13, 2009. If adopted, the amendment would allow the City Council to call for a special election to increase the tax levy or create new fees. It would also establish that these measures shall be approved by a majority of those voting on the issue rather than 51% of those voting in the election. Dr. Burns said although special elections do draw fewer voters than general elections, they permit all interested voters to vote by coming to the polls or by absentee ballot. Additionally, they allow issues to be brought to the voters in a timely manner. Dr. Burns said the City of Fridley, like its residents, is trying to exist in a very volatile economic climate. Like many families, the City has had to make deep cuts to accommodate lost state funding. These include a wage freeze, a freeze of inerit step increases, employee health insurance cuts, elimination of travel and conference expenses, and reductions in vehicle and equipment purchases. Altogether we have cut more than $1.2 million from the 2009 and 2010 budgets. This is on top of fourteen employees that have been cut since the year 2000. Although things may change between now and next spring when we begin our 2011 budgeting process, we appear to be headed for significant cuts in local services. Dr. Burns said while it is premature to single out specific cuts that might occur next spring, our estimate is that we will need $1.2 million in new revenues to balance the General Fund budget. This is the equivalent of the entire Street Division budget for 2010. It is also the equivalent of about 10 to 12 additional employee cuts. These cuts will come from all major service areas of the City and are likely to result in major program and service reductions for Fridley residents. While we recognize that these cuts may be unavoidable, we also realize that a special election will give Fridley residents a chance to choose between these service reductions and providing additional dollars to support local government. Dr. Burns said he would like to remind the participants in tonight's meeting of three things. First, demands for local government service remain strong. We have the same number of streets to plow and the same number of parks to mow regardless of the economy. We have also seen a 28% increase in the number of fire and medical assist calls between 2001 and 2008. Although the number of Police calls declined slightly since 2002 to about 21,000, Fridley continues to FRIDLEY CITY COUNCIL MEETING OF JULY 27, 2009 PAGE 3 have the 4th highest crime rate in the metro. There is also the increasing rate of requests for code enforcement. Our records indicate that we addressed 965 code enforcement violations in 2005. That number grew to 1,142 in 2006, to 1,184 in 2007 and to 2,047 in 2008. Dr. Burns said in addition to greatly increased code enforcement violations, we have also seen a sharp rise in the number of property abatements, including everything from mowing grass to removing blighted buildings. In 2007, our code enforcement staff conducted 40 abatements. The number rose to 991ast year and is already at 86 in 2009. Dr. Burns said the second comment has to do with the cost of Fridley services compared with other cities in our area. If you consider the costs of property taxes and utilities among Fridley and its nine contiguous neighbors, Fridley has the ninth lowest costs of the ten communities. He said his third closing comment is to ask you to remember that the proposed cuts for 2010 are not necessarily permanent. The City, for example, may not choose to freeze employee wages forever. Nor is it healthy to eliminate costs for professional training forever. We also do not have the choice of permanently eliminating vehicle purchases. There are also many external costs, such as the cost of gasoline and electricity that are largely outside of our control. Dr. Burns said staff recommends the approval of the second reading of this ordinance. THIS ITEM WAS REMOVED FROM THE CONSENT AGENDA AND PLACED ON THE REGULAR AGENDA. NEW BUSINESS: 2. First Reading of an Ordinance Amending Chapter 206, Building Code, of the Fridley City Code Pertaining to the Minnesota State Building Code. William Burns, City Manager, said staff recommends that Council adopt the energy code amendments added to the State Building Code during the last legislative session. THIS ITEM WAS REMOVED FROM THE CONSENT AGENDA AND PLACED ON THE REGULAR AGENDA. 3. Receive the Minutes of the Planning Commission Meeting of the June 17, 2009. RECEIVED. 4. Receive the Minutes of the Planning Commission Meeting of July 15, 2009. RECEIVED. 5. Special Use Permit Request, SP #09-07, by Universal Signs, on behalf of Walgreens, to Allow an Electronic Readerboard Sign as Part of Their Free-Standing Sign, Generally Located at 6525 University Avenue N.E. (Ward 1). FRIDLEY CITY COUNCIL MEETING OF JULY 27, 2009 PAGE 4 William Burns, City Manager, said Walgreens is planning to replace a 42.9 square foot manual reader board sign with a 23 square foot electronic readerboard sign. The total square footage of the existing pylon sign after the change will be 60 square feet. The Planning Commission gave their unanimous approval to the request at their July 15 meeting. Staff recommends Council's approval subj ect to three stipulations. APPROVED WITH THE FOLLOWING THREE STIPULATIONS: 1. THE PETITIONER SHALL OBTAIN A SIGN PERMIT AND CURRENT SIGN ERECTOR LICENSE PRIOR TO INSTALLING ANY SIGNAGE ON SITE. 2. MESSAGE ON L.E.D. THAN AUTHORIZED CITY CODE. SIGN SHALL NOT CHANGE MORE OFTEN UNDER SECTION 214.07 OF THE FRIDLEY 3. MESSAGE ON L.E.D. SIGN SHALL NEVER FLASH OR HAVE MOTION THAT MAY DISTRACT VEHICULAR TRAFFIC IN THE AREA. 6. Resolution Authorizing Participation in the Safe and Sober Communities Grant Program. William Burns, City Manager, said Fridley, along with ten other Anoka County cities and the Anoka County Sheriff, is seeking $52,800 under the State's Safe and Sober Communications Grant program to fund their joint DWI saturation campaigns and community education. Fridley's share of the grant is $4,800. The money would be used between October 1, 2009, and September 30, 2012. Staff recommends Council's approval. ADOPTED RESOLUTION NO. 2009-26. 7. Resolution in Support of the Veterans Clinic in the Ramsey Town Center Development Located in Ramsey, Minnesota. William Burns, City Manager, said the United States Department of Veterans Affairs is planning the construction of a community-based outreach clinic in our area. The City of Ramsey is being considered as a site for the project, and they have asked Mayor Lund to provide a resolution of support. Unity Hospital supports the Ramsey site as does City staf£ Staff recommends Council's approval. THIS ITEM WAS REMOVED FROM THE CONSENT AGENDA AND PLACED ON THE REGULAR AGENDA. 8. Claims (142545 —142700). APPROVED. FRIDLEY CITY COUNCIL MEETING OF JULY 27, 2009 PAGE 5 9. Licenses. APPROVED THE LICENSES AS SUBMITTED AND AS ON FILE. APPROVAL OF PROPOSED CONSENT AGENDA: Councilmember Bolkcom asked to remove the City Council meeting minutes of July 13, 2009, and Item Nos. 1, 2, and 7 from the consent agenda. MOTION by Councilmember Barnette to approve the Consent Agenda with the removal of the minutes from the City Council meeting of July 13, 2009, and Item Nos. 1, 2 and 7. Seconded by Councilmember Varichak. UPON A VOICE VOTE, ALL VOTING AYE, MAYOR LUND DECLARED THE MOTION CARRIED UNANIMOUSLY. ADOPTION OF AGENDA: MOTION by Councilmember Bolkcom to Adopt the Agenda with the addition of the minutes from the City Council meeting of July 13, 2009, and Item Nos. 1, 2 and 7. Seconded by Councilmember Saefke. UPON A VOICE VOTE, ALL VOTING AYE, MAYOR LUND DECLARED THE MOTION CARRIED UNANIMOUSLY. 9A. Approval of the Minutes from the City Council Meeting of July 13, 2009. Councilmember Bolkcom said Pam Reynolds pointed out errors in her presentation from that meeting. She asked Attorney Knaak if the minutes were supposed to be a word for word documentation of the meeting or a summary of the meeting. Fritz Knaak, City Attorney, said the minutes are adopted as the official record of the Council proceedings. Minutes are usually a summary of the meeting and must be written, reviewable and revisable. MOTION by Councilmember Bolkcom to table approval of the minutes from the City Council meeting of July 13, 2009, until the August 10, 2009, City Council meeting. Seconded by Councilmember Saefke. UPON A VOICE VOTE, ALL VOTING AYE, MAYOR LUND DECLARED THE MOTION CARRIED UNANIMOUSLY. OLD BUSINESS: 1. Second Reading of an Ordinance Amending Section 7.02 of the Fridley City Charter. FRIDLEY CITY COUNCIL MEETING OF JULY 27, 2009 PAGE 6 Councilmember Bolkcom said she received an email related to tax levy increases. Richard Pribyl, Finance Director, said new information was received that was not available at the time of the public hearing. Staff was told a general or special election must be held on or before November 3 to be effective for a 2011 levy. Anything approved after that date would be applicable in 2012. He said it still provides the City the ability to discuss the possibility of a franchise fee. The one tool that has been removed is the tax levy. Councilmember Bolkcom said a special election could still be held but it would not have an effect on taxes payable in 2011. Mr. Pribyl said correct. A special election to increase the tax levy had to take place on or before November 3 to apply to the 2011 taxes. Councilmember Bolkcom asked why. Mr. Pribyl said it has to do with timing and the process of notification. Peter Eisenzimmer, 6535 Oakley Drive, thought Council was trying to push this ordinance through. He hopes people can see what is going on and will vote it down so the City doesn't get anything at all. Mayor Lund said if residents vote against this ordinance they need to remember that the additional revenue that would be collected is for the benefit of the community, not for staff or Council. Don Wegler, 6815 East River Road, said the Charter Commission is here to keep Council from doing what they are trying to do. He said employees should be reduced and should take a cut in salary. He said Council needs to show good governing and pull out of this without raising taxes. Ms. Don Wegler, 6815 East River Road, said she and her husband have lived here for 60 years. They are retired and have one income and can't afford increased taxes. Mayor Lund said everyone is on a fixed income and does not want to see an increase in taxes. This item is not about raising taxes. We are talking about changing our local constitution to allow the City Council to ask voters for a special election and to reduce the margin of passage from 51% of all voters to a majority of people voting on the issue. Ms. Wegler said there should be a meeting about taxes in December. Mayor Lund said there will be a meeting in December about taxes. Blaine Jones, 54 Locke Lake Road, said he is a member of the Fridley Appeals Commission. He read the article in the Sun Focus about the amendment and it was still unclear to him. His point is that if he was unfamiliar with this Charter amendment, it would not have been clear to him after reading the article either. He does agree that any discussion about taxes or any cuts in FRIDLEY CITY COUNCIL MEETING OF JULY 27, 2009 PAGE 7 services are a separate discussion. There is a relationship with those issues but that will need to be faced in the future. Mr. Jones said that if a special election were to be held, he is in favor of changing the 51% of all those who voted in the last election to the majority of the people who vote yes/no on the issue. When people find this out they would agree that this is wrong. This is a big miscarriage of justice that someone who does not vote for this issue has a more important vote than someone who votes for or against it. That is not how this country or city was built and what we should be standing for. No one wants their taxes raised or services cut. He has talked and explained this to other people and they were surprised to hear that this is how it works. Mayor Lund said that Mr. Jones is correct and it is hard to get information to the people. Staff is asking for this change to allow for a special election so the City Council can go to the voters. Mr. Jones said he would like to challenge everyone to help communicate this information to people so they understand what it is about. It is to allow for a special election, not to increase taxes. Pam Reynolds, 1241 Norton Avenue, said she was not sure Mr. Jones understood that this is not an amendment that is being voted on unless a petition comes forward. A normal Charter amendment brought to the voters would require the 51% requirement. The language that is being changed by this ordinance is to allow a special election in order to increase levies and fees as if it were the same language as if it were a Charter amendment. The Charter amendment will not go to the voters without a petition and the 51% Charter amendment does not go away. Deb Skogen, City Clerk, said that if a petition comes forward and goes to an election, it would require 51% of those who vote on the question. If there is no petition it would be effective in 90 days. Bill Holm, 7424 Melody Drive, said the Charter Commission voted 8 to 2 to recommend this amendment to the City Council, so they could pass it and permit the voters the opportunity to consider an increase in revenue or cuts in services. The Charter needs to be updated from time to time. The people opposing this issue are the same who opposed the utility amendment. If the utility amendment had not passed, the City would have gone flat. MOTION by Councilmember Bolkcom to waive the reading of the ordinance and adopt Ordinance No. 1260 on second reading. Seconded by Councilmember Barnette. UPON A VOICE VOTE, ALL VOTING AYE, MAYOR LUND DECLARED THE MOTION CARRIED UNANIMOUSLY. NEW BUSINESS: 2. First Reading of an Ordinance Amending Chapter 206, Building Code, of the Fridley City Code Pertaining to the Minnesota State Building Code. FRIDLEY CITY COUNCIL MEETING OF JULY 27, 2009 PAGE 8 Councilmember Bolkcom said she understands this is a building state energy code requirement that is asking Fridley to have this put in as part of the City ordinance related to the building code. She asked if we really needed to adopt it by ordinance. Fritz Knaak, City Attorney, answered yes, codes are required to be adopted by cities. Part of city ordinances and codes is incorporated by reference, enforced by the city ordinance and allows the city to charge violations as a crime in order to enforce the ordinances. If they have not incorporated the changes or language, cities find themselves with enforcement problems. Councilmember Bolkcom said Council doesn't have the opportunity to pick and choose what they want to adopt, everything needs to be adopted. Attorney Knaak said that sometimes there is a rare occasion where the city may request to opt in or opt out but not in this case. Councilmember Bolkcom asked if the City had to buy the code book from the state because the information is not available online. Scott Hickok, Community Development Director, said that is correct. The set of code books cost several thousand dollars and the City is required to have the document. The document is available at libraries too. MOTION by Councilmember Bolkcom to waive the first reading and adopt the ordinance on first reading. Seconded by Councilmember Saefke. UPON A VOICE VOTE, ALL VOTING AYE, MAYOR LUND DECLARED THE MOTION CARRIED UNANIMOUSLY 7. Resolution in Support of a Veterans Clinic in the Ramsey Town Center Development Located in Ramsey, Minnesota. Councilmember Bolkcom said having read the article in the Star Tribune, not only the city of Ramsey but the cities of Anoka and Elk River were also selected. She was surprised Fridley would support the City of Ramsey for the clinic over Anoka or Elk River. Mayor Lund said he did see that article. He asked Dr. Burns if staff had any reason for Council not to endorse this item. Councilmember Bolkcom said that the County Commissioners would like to see this in Anoka. She felt Council was stepping on the toes of another city. Councilmember Barnette said that he supports the resolution. The City of Ramsey has been a part of the Northstar Commuter Rail for the last 11 to 12 years. There was a time when Fridley and Ramsey was competing for the station. The City of Ramsey lost out on the deal and the current Mayor is still working hard to get facilities to come into Ramsey that would lead to a commuter rail station there. A Veteran's outpatient clinic could use services in Ramsey and ride FRIDLEY CITY COUNCIL MEETING OF JULY 27, 2009 PAGE 9 the train there; it would be a wonderful facility close to home. This is not indifference to the city of Anoka or Elk River or anyone who else wants this. The only city who asked for support is Ramsey and they have been a great supporter for Fridley. Councilmember Bolkcom asked if a different city asked for support other than Ramsey if Councilmember Barnette would support the resolution. Councilmember Barnett answered no. Councilmember Bolkcom said she would not support this because there are other communities who are interested. Just because other communities have not come forward it is not for her to decide as a City Council member where the clinic should be located. Mayor Lund said that he is inclined to vote in favor because Ramsey has asked us for this. He has done some research and it seems preferable and favorable to vote for this. This is the first he has heard that there are other cities interested and he has not received any requests from other communities on this issue. The Ramsey Town Center would make it a preferable site because the infrastructure is already there. MOTION by Councilmember Barnette to adopt Resolution No. 2009-27. Seconded by Councilmember Saefke. UPON A VOICE VOTE, MAYOR LUND, COUNCILMEMBER BARNETTE, COUNCILMEMBER SAEFKE AND COUNCILMEMBER VARICHAK VOTING AYE AND COUNCILMEMBER BOLKCOM VOTING NAY, MAYOR LUND DECLARED THE MOTION CARRIED ON A 4 TO 1 VOTE. OPEN FORUM (VISITORS): Joanne Zmuda, 6051 4th Street NE, asked what is going on at the Sandy's site. She said it was time the City makes the owner fix it or take it down. Mayor Lund said the property is in an abatement process and notices have been sent out. This process takes time and any work needed to secure the building from vandals has been done. Unless the building is so dilapidated to become a health and safety issue, it cannot be torn down. The building is quite secure right now and the City has made an honest attempt to secure building. The City has some guidelines to meet a minimum standard. He agreed that it is an eyesore. When a closing takes place on this property, the City will get their money back. Scott Hickok, Community Development Director, said this property was recently sold in a sheriff's sale. He has been in contact with the new owners and has informed them of the abatement costs which are about $30,000. He agreed with Mayor Lund that there are limits in what the City can do. The new owners have bought the property as investment for resale. There is a plan that needs to be followed and staff will remain optimistic the new owner will do something. Hopefully we will see good activity happening soon. FRIDLEY CITY COUNCIL MEETING OF JULY 27, 2009 PAGE 10 Councilmember Bolkcom asked if this property was in bad enough shape to be considered a hazard. Mr. Hickok said no. The difference is that some of the properties that were declared hazardous had foundations that were crumbling so the building could fall over. Structurally this building is good. The gas and power supply have been shut off so if lights were seen in there people were in there with flashlights. The new owner will have to meet code provisions before the gas and power can be turned back on. Councilmember Bolkcom said that if people see unusual activity in this building they should ca11911 and report it. Pete Eisenzimmer, 6535 Oakley Drive, said in January staff took time to come and see a problem he was having with water in his back yard and took pictures. He called Jim Saefke and he has not returned his call. He asked if there were any answers to his problem. Mayor Lund said he talked to Mr. Kosluchar and said the back yard is the lowest property in the immediate neighborhood. He suggested filling and raising the elevation and filling in the swale that was in there. The house was built a little low, like eight inches. There is no natural swale in the yard. Instead of raising or filling in the area a rain garden could be created to absorb and retain water. Mr. Eisenzimmer said the problem comes when there is frost in the ground. Jim Kosluchar, Public Works Director, said that he stopped by Mr. Eisenzimmer's home and did not catch him at the house. He said he could stop by and offer some suggestions. Councilmember Saefke clarified that he did call Mr. Eisenzimmer back concerning this problem and property taxes. Barb Parcells, 5641 6th Street, said she is having ongoing issues with the rental property behind her home. Mayor Lund said it sounds like she is having conversations with the code enforcement people so they may be aware of some of the issues. Ms. Parcells said she has called the police and has taken pictures of things that have happened to her property. Six weeks ago she had over 165 rocks thrown in her yard from kids trying to break her windows. Officer Stevens came and was given the names of the kids and where they lived. She was wondering at what point it has to be with an absentee landlord for the City to revoke the rental license. She asked how long this can go on with nothing being done. There have been code violations but they are corrected and then shortly after the correction, the violations are back again. Mayor Lund said the code violations must be extreme to justify revocation of the rental license but this sounds like it has been ongoing for the last few years. FRIDLEY CITY COUNCIL MEETING OF JULY 27, 2009 PAGE 11 Ms. Parcells said kids are now starting to destroy the lilac bushes in the alley to make a fort inside. She is not sure if the lilacs are on City property or the rental property because she does not know where her property ends. She said that she is being retaliated against for trying to correct these problems and the quality of the tenants is going down every day, every year. Mr. Hickok said staff is not happy with these rental people either. This issue has been in court for about 1'/z years. The property owners are great to reschedule or have the attorney appear in their absence. This case is getting close to going to court and staff is e�tremely frustrated. There are three owners and all three owners have been sited. Some of the issues being addressed are behavioral issues, code issues, dumpsters, parking on grass, inoperable vehicles on site, etc. Councilmember Bolkcom said there is a part in the rental license related to behavior and police calls and she encouraged Ms. Parcells to continue to call the police. Licenses can be revoked if owners are not holding renters to certain behavior expectations. Ms. Parcells said she would like the property owner to install an 8' wooden privacy fence. Mayor Lund said he did not know if he could force that on the owner but if prudent, they could look into revocation of the rental license. Attorney Knaak said that part of the issue here is the corporate ownership and part of problem was finding the owners. Two criminal preliminary hearings are coming up in August. The first one is August 11 and he is anticipating things will start to happen as early as August. He advised Ms. Parcells to contact Julie Jones to confirm the date and time of the hearing. Don Maurer, Retired Fridley Police Reserves, said a program is coming up with the Police Department. The Citizens' Academy starts September 2 and will run for eight weeks from 6 p.m. to 9 p.m. every Wednesday. This is an opportunity for citizens of Fridley and anyone who is working within the city to learn and get an understanding of the Police and Fire Departments and how they operate and what they do. Participants will work in rescue scenarios, put on Fire Department gear, find victims in a dark room, etc. He invited members of the Council to participate. It is a fun program going on its fourth year. Applications are available at the Police Department and anyone 18 years or older may participate. Mayor Lund asked if there was a fee for this program. Mr. Maurer said it is free of charge and the majority of the participants are volunteers. Mayor Lund asked if there was a restriction to the number of participants. Mr. Maurer answered yes, there is a max of 25 people and with Nite to Unite coming up the class will fill up fast. Contact the Police Department if you are interested or call Sergeant Mork at 763-502-1952. FRIDLEY CITY COUNCIL MEETING OF JULY 27, 2009 PAGE 12 Councilmember Varichak said she participated in this event last year and it was a positive experience. She never realized what the Police and Fire Departments go through in all their different scenarios and encouraged people to participate as it was very enlightening. NEW BUSINESS: 10. Preliminary Plat Request, PS #09-03, by the City of Fridley's Housing and Redevelopment Authority, to Create Three New Lots to Allow for the Construction of the Northstar Commuter Rail Station Site, Generally Located at 5990 Main Street N.E. (Ward 3). Scott Hickok, Community Development Director, said petitioner is seeking to replat the property located at the southwest corner of Main Street and 61st Avenue to create new lots and legal descriptions. This would allow the Housing and Redevelopment Authority (HRA) to lease the land necessary for the Northstar Commuter Rail park and ride facility to the Metropolitan Council. Mr. Hickok said the City's HRA purchased the property necessary for the Northstar station on the east side of the BNSF rail line after the Federal funding for the Northstar project came up short. The HRA will retain ownership of the site, but is entering into a long-term (200 year) lease agreement with the Metropolitan Council for the operation of the park and ride site on the HRA property. In order to create the necessary legal documents for the agreements and to provide the HRA with an opportunity to develop a portion of the site in the future, it is necessary to replat the property into the proposed preliminary plat layout. Mr. Hickok said Metro Transit will operate the 337 parking stall park and ride facility on Lot 2 and Lot 2A through the lease agreement with the HRA. The HRA is responsible for providing adequate storm water ponding on the site, but due to the uncertainty of the site's future layout, the HRA is providing an easement for the use of the pond found on the northern lot, which is Lot 3. The Planning Commission held a public hearing on this item on July 15, 2009, and unanimously recommended approval. City Staff recommends concurrence with the Planning Commission. Councilmember Bolkcom asked if the development has to work around the pond or if there would be opportunities to pond elsewhere. Mr. Hickok said an elaborate land lease has to be approved. With this in place, language will go into the lease agreement to allow the City to redevelop this site. The agreement would allow the City, as long as there were 337 parking stalls, to build as we choose to build. This could include moving the pond and developing that parcel. Part of Council's early requirement is that the parking portion be set back from the residents on 61stAvenue. Councilmember Bolkcom said a minimum of 337 parking stalls is required and no more could be put in there unless a parking ramp was developed. FRIDLEY CITY COUNCIL MEETING OF JULY 27, 2009 PAGE 13 Mr. Hickok said that would need to be a renegotiated piece to this, not anticipating more than 337 parking stalls would be needed. This is part of the land lease agreement. Councilmember Bolkcom said Lot 1 and lA are yet to be developed Mr. Hickok said correct. The City, through the HRA, would be the developers so Council would be the first to know about the redevelopment. MOTION by Councilmember Bolkcom to approve the Preliminary Plat Request, PS #09-03, by the City of Fridley's Housing and Redevelopment Authority. Seconded by Councilmember Saefke. UPON A VOICE VOTE, ALL VOTING AYE, MAYOR LUND DECLARED THE MOTION CARRIED UNANIMOUSLY. 11. Resolution Receiving Preliminary Report, Ordering Preparation of Preliminary Plans and Specifications, and Calling for a Public Hearing on Improvement for Street Rehabilitation Project No. ST. 2009-02. Jim Kosluchar, Public Works Director, said staff is continuing in the fourth year under the City's assessment policy for major maintenance of streets that have concrete curb and gutter. This program will continue in future years to continue the necessary upkeep of city streets. This project has been initiated to rehabilitate the deteriorated asphalt surface. It has been included in the 5-Year Capital Improvements Plan and draft 2010 Budget. Mr. Kosluchar said staff has been successful in obtaining stimulus funding under the American Recovery and Reinvestment Act of 2009 (ARRA) for a portion of this project. One reason this proj ect was selected as a candidate for stimulus funding was the amount of abutting property that is non-assessable under our policy. With the use of ARRA funding, a more aggressive schedule for the proj ect is required. This is why the proj ect initiation is occurring at this time. Mr. Kosluchar said the project includes a resurfacing of 61St Avenue and Moore Lake Drive from Starlite Boulevard to Central Avenue. The segment from University Avenue to 7th Street is excluded as it was resurfaced in 2007. The length of street construction is estimated at 1.7 miles and includes approximately 1.4 miles of full-width road resurfacing. The project also includes upgrade to bicycle and pedestrian facilities through reconstruction of walk ramps and installation of signage and striping. Mr. Kosluchar said staff is planning on holding an open house and assessment hearing on the following dates: Open House on August 18, from 5:30 p.m. to 6:30 p.m. and Assessment Hearing on August 24, at 7:30 p.m. A notice of the hearing will be published in two editions of the Sun Focus and individual letters will be mailed to owners subject to the assessment. This project was originally scheduled for 2010. With availability of ARRA funding, the schedule is accelerated. Certification of assessments are planned with the same schedule, however. FRIDLEY CITY COUNCIL MEETING OF JULY 27, 2009 PAGE 14 Mr. Kosluchar reviewed the Costs and Funding. The project cost equals $463,000 of which $370,000 is for milling and overlay, $50,000 for bicycle/pedestrian accessibility improvements, $27,000 for road upgrades, and $16,000 for utilities. Funding sources include $254,000 from ARRA/State Aid, $193,000 assessed to adj acent properties, and $16,000 from respective utility funds. He reviewed the schedule. MOTION by Councilmember Bolkcom to move into record the feasibility report. Seconded by Councilmember Varichak. UPON A VOICE VOTE, ALL VOTING AYE, MAYOR LUND DECLARED THE MOTION CARRIED UNANIMOUSLY. Councilmember Bolkcom asked for clarification that it is necessary to receive this report tonight so a public hearing date can be set. William Burns, City Manager, said that is correct. Councilmember Bolkcom said she was uncomfortable ordering a public hearing when she did not know a lot about the proj ect. She asked if staff was comfortable the timeline would be met. Mr. Kosluchar said he was not concerned with the timeline of the proj ect but submitting all the paperwork for the Federal permit process may take time. Until all the documents are in the appropriate hands, the schedule is in question. If the documents are turned around in a timely manner, the timeline will not be a problem. Councilmember Bolkcom asked whether the project would be done if the documents were not received in a timely manner. Mr. Kosluchar said the requirement is to pursue and do this project as quickly as possible. If the documents are not available to start construction, there is no requirement to construct by that date. Councilmember Bolkcom asked if the Stimulus Funds would go away if the project is underway. Mr. Kosluchar said the bid must be scheduled prior to November 13, 2009. That is the deadline. Fridley was selected because this project can be turned around in a short amount of time. This is a pretty simple proj ect with the exception of the paperwork. Councilmember Bolkcom asked if the Federal Stimulus money runs through MnDOT. Mr. Kosluchar said MnDOT did the selection process. Information on the other 60 projects selected statewide can be found on MnDOT's website. Councilmember Bolkcom asked if this happened this year if another project was in the works for next year. FRIDLEY CITY COUNCIL MEETING OF JULY 27, 2009 PAGE 15 Mr. Kosluchar said a number of projects were on the list. This project is less than half of the total program for next year but the largest section. Councilmember Bolkcom asked about the non-assessed properties involved in this project. Mr. Kosluchar said the project includes City and school properties, HRA and rail properties, the water plant and a number of other segments that are not subj ect for assessments. Mayor Lund asked if there were any storm water issues in this area. Mr. Kosluchar said that he was not aware of any complicated issues. The sewer system was televised and looked good. Some inlets may be repaired and other issues may come about at the open house. MOTION by Councilmember Bolkcom to adopt Resolution No. 2009-28. Seconded by Councilmember Barnette. UPON A VOICE VOTE, ALL VOTING AYE, MAYOR LUND DECLARED THE MOTION CARRIED UNANIMOUSLY. 12. Resolution Approving the Fina12030 Comprehensive Plan for the City of Fridley. Scott Hickok, Community Development Director, said on November 10, 2008, the City Council approved the draft plan by resolution. Staff submitted the draft document to the Met Council following City Council approval. On December 16, 2008, Met Council staff found the plan incomplete so staff spent the next few months providing additional information to Met Council staff. Mr. Hickok said all changes were insignificant and only further clarified the City's intent or updated information that had changed since the plan update began in 2006. The Metropolitan Council completed its formal review on June 10, 2009, and the last step in the process is adoption of a resolution by the City Council. Staff recommends Council's approval. Each Council member and Planning Commission member has been provided a copy of the final plan for reference. Printed copies of the 299-page plan are available at City Hall and at the library for viewing. The plan can also be viewed electronically on the City's web site at www. ci.fridlev.mn.us. Councilmember Bolkcom said about $80,000 in staff time was spent on this report which will not be reimbursed by anyone. People ask about what staff does and what can be cut, and this is an example that involved a number of parties and had to be done. Councilmember Barnette said the plan was very well done. Councilmember Varichak said this is a plan, and it is not written in stone. Everything needs a plan and this is well documented. FRIDLEY CITY COUNCIL MEETING OF JULY 27, 2009 PAGE 16 MOTION by Councilmember Barnette to adopt Resolution No. 2009-29. Seconded by Councilmember Saefke. UPON VOICE VOTE, ALL VOTING AYE, MAYOR LUND DECLARED THE MOTION CARRIED UNANIMOUSLY. 13. Informal Status Report. Jim Kosluchar, Public Works Director, said on July 30 there will be an open house about the 61st Way road signal. Neighbors concerned or interested in this project should come to City Hall from 5:30 p.m. to 7:30 p.m. William Burns, City Manager, said this gives staff the opportunity to talk to individuals and address any concerns. Councilmember Bolkcom said people are encouraged to come and discuss with County Engineers their concerns related to the left hand and stacking lane. This meeting is run by the County and there will be no formal presentation. Mr. Kosluchar said over 300 notifications were mailed by Anoka County about this open house. Dr. Burns said that the August newsletter will be coming out soon and encouraged residents to read it. He also announced that a survey was sent to employers and employees regarding a shuttle service for the Northstar Commuter Rail. Scott Hickok, Community Development Director, said the next paper shredding event will be at the Municipal Center parking lot on Saturday, August 1, from 9:00 to noon. Councilmember Bolkcom reminded City residents that the Nite to Unite event is on Tuesday, August 4. Mayor Lund said Monday, August 3 is the August Fest sponsored by the Fridley Historical Society. It starts at 6:00 p.m. Councilmember Varichak said Wednesday, August 5 is the Charity Softball Game at Huset Park in Columbia Heights at 6:00 p.m. Mr. Kosluchar said Wednesday, July 29 is a wine tasting event sponsored by the Rotary at the Springbrook Nature Center. ADJOURN: MOTION by Councilmember Barnette to adjourn. Seconded by Councilmember Varichak. FRIDLEY CITY COUNCIL MEETING OF JULY 27, 2009 PAGE 17 UPON A VOICE VOTE, ALL VOTING AYE, MAYOR LUND DECLARED THE MOTION CARRIED UNANIMOUSLY AND THE MEETING ADJOURNED AT 9:55 P.M. Respectfully Submitted, Krista Monsrud Scott J. Lund Recording Secretary Mayor � � CffY DF FRIDLEY DATE: TO: FROM: SUBJECT: AGENDA ITEM CITY COUNCIL MEETING OF AUGUST 10, 2009 August 5, 2009 Dr. Wlliam W. Burns, City Manager Scott J. Hickok, Community Development Director Second Reading of an Ordinance Adopting the State Energy Code INTRODUCTION As you are aware, the State Building Codes Division has been working on modifications to the State Building Code. In 2007 the City adopted the Revised State Building Code and its amendments. At the time of that adoption, the Minnesota Energy Code was not ready for adoption. That has now changed; the Energy Code amendments are now ready for adoption. Chapters 7670, 7672, 7674, 7676, and 7678 have now been modified and re-numerated as Chapters 1322 and 1323. Council approved the first reading of this ordinance on July 27, 2009. Staff recommends the second reading of the attached ordinance as proposed. STAFF RECOMMENDATION Staff recommends approval of the Second reading of an ordinance adopting Minnesota State Building Codes Chapters 1322 and 1323. ORDINANCE NO. AN ORDINANCE AMENDING CHAPTER 206 BUILDING CODE OF THE FRIDLEY CITY CODE PERTAINING TO THE MINNESOTA STATE BUILDING CODE The City Council of the City of Fridley hereby finds, after review, examination and recommendation of staff, that the Fridley City Code be hereby amended as follows: Section 1: That Section 206.01.2 of the Fridley City Code be hereby amended as follows: FRIDLEY CITY CODE CHAPTER 206. BUILDING CODE 206.01. Building Code 2. The following chapters of the Minnesota State Building Code including the following chapters of Minnesota Rules are adopted by the City: U. Chapters 1322 and 1323, ''ti''�, ''ti'''', ''ti''^, ''ti''ti, ^��' ''ti'74 Minnesota Energy Code PASSED AND ADOPTED BY THE CITY COUNCIL OF THE CITY OF FRIDLEY THIS DAY OF 2009. SCOTT J. LUND, MAYOR ATTEST: DEBRA A. SKOGEN, CITY CLERK First Reading: July 27, 2009 Second Reading: August 10, 2009 Published: � � �ffY �F FRIDLEY To: From Date: Re: AGENDA ITEM CITY COUNCIL MEETING OF August 10, 2009 William W. Burns, City Manager Richard D. Pribyl, Finance Director Craig A. Ellestad, Accountant July 30, 2009 Modifications to the 2009 Budget Attached you will find a resolution amending appropriations to the 2009 budget in accordance with the City Charter. The adjustments listed have arisen as a result 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 Council approve the amendment of the attached budgets. Resolution No. 2009 - A RESOLUTION AUTHORIZING CHANGES IN APPROPRIATIONS FOR THE 2009 BUDGET FOR JANUARY THRU JULY, 2009 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 2009. NOW, THEREFORE, BE IT RESOLVED, by the City Council of the City of Fridley that the following funds will be amended as follows: REVENUE ADNSTMENTS Police-Reimbursement Police-Reimbursement Police-Reimbursement Police-Reimbursement Police-Reimbursement Police-Reimbursement Police-Reimbursement Police-Reimbursement Police-Reimbursement Police-Reimbursement Emergency Mgm't-Reimbursement Fire-Reimbursement Reallocation of Ad Valorem Reallocation of Ad Valorem APPROPRIATION ADNSTMENTS Police-Supplies Police-Supplies Police-Other Services & Charges Police-Personal Services Police-0ther Services & Charges Police-Other Services & Charges Police-Personal Services Police-Supplies Police-Personal Services Police-Personal Services Emergency Mgm't-Supplies Fire-Personal Services Inspections-Other Services & Charges GENERAL FUND / CIP 320 320 415 1,200 1, 500 1,830 2,400 3,860 8,962 12,374 3,276 1,105 107,300 -107.300 37.562 320 320 415 1,200 1,500 1,830 2,400 3, 860 8,962 12,374 3,276 1,105 -5.347 32215 State Grant Federal Grant Hajicek & Tomala Federal Grant Hardrives Anoka County Anoka County Anoka County Anoka County Federal Grant Federal Grant North Metro CAT From Parks-Current Ad Valorem To General Fund Bullet Proof Vests Bullet Proof Vests Board Up of Unsecured Dwellings Full-Time OT Damage to Squad Detox Transportation Drug Task Force lst & 2nd Qtr. DARE Auto Theft Task Force Operation NightCAP Operating Supplies Full-Time OT Vehicles Fully Paid Off in 2008 PASSED AND ADOPTED BY THE CITY COUNCIL OF THE CITY OF FRIDLEY THIS lOTH DAY OF AUGUST 2009. Scott J. Lund, Mayor ATTEST: Debra A. Skogen, City Clerk . • TO: FROM: DATE: SUBJECT: . ,. �1 , �� .�,.. .. � ..� . ,.. . ��,. �,.., ,..,. ; 1. � 1. 1 _ , Wiliiam W. Burns, City Manager ��` n ' I ° _..----�-___--------�_ James Kosluchar, Public Works Director,� / August 10, 2009 �': . �. �, � Approval of Leases for Water Tower #1 and Water Tower #2 with Telecom Transport Management, Inc. Telecom Transport Management (TTM) contacted the City of Fridley some months ago in regard to a possible lease for telecommunications equipment on the City of Fridley's Water Tower #1 (Commons Park) and Water Tower #2 (Highway 65). TTM provides a different service than those companies that we currently lease with. They propose to expand their existing service for what is known in the telecommunications industry as "backhaul service". This is a system of point to point communications that is basically a substitute for fiber-optic underground communication lines. With this system and recent technology advancements, smaller equipment is needed. Rather than the dozen or so antennae required to provide typical multi-directional cellular phone coverage, transmitting data with this system requires a single directional antenna. Therefore, TTM will require a panel at each site, along with a single 2-foot diameter antenna. Our standard lease rates are geared toward a minimum charge accommodating 9 antennae and substantial communications shelters. We collected some local rates being paid for similar installations for a single small antenna, and set our lease rate at the high end of this sampling. The rates are more progressive, and if the system were expanded, it would generate more revenue for the City than would our standard rate. TTM accepted this, but requested that a 3% inflation rate be applied, rather than our standard 5% or CPI adjustment. We have had other lease negotiations with current and prospective lessees where our standard escalator is pointed to as exceeding the current market rates. We have included the 3% annual adjustment in the TTM leases, One final variation on our standard lease includes added language that if TTM subleases to a current lessee of the City, and they reduce their facility accordingly, TTM will pay both leases for their term. Fritz Knaak, City Attorney, has reviewed the leases and approves of the language included in the proposed agreements, Staff recommends the City Council approve the terms of the attached leases with Telecom Transport Management, Inc. for Water Tower #1 and Water Tower#2. Since both agreements are identical, we have attached one, and would ask that the City Council approve of them as one item. JPK/jpk 5 Attachments 3D H-frame ( 22"wide x 15"deep x 41"high x 14"x18"x8" cell pack) 2 ft Round Antenna � � AGENDA ITEM � COUNCIL MEETING OF AUGUST 10, 2009 � �F CLAI MS FRIDLEY CLAIMS 142703-142�96 � AGENDA ITEM � CITY COUNCIL MEETING OF AUGUST 10, 2009 ��F LICENSES FRIDLEY 'TYPE OF LICENSE:' ' APPLICANT: ' APPROVEI?' BY: ' Solid Waste and Rec clin LePa e& Sons Public Safet Clint LePa e, President Rec clin Coordinator City Clerk Used Motor Vehicle Copart Auto Auctions Public Safety Paul A. Styer, Secretary Community Development � AGENDA ITEM � CITY COUNCIL MEETING OF AUGUST 10, 2009 ��F LICENSES FRIDLEY Contractor T e A licant A roved B Air Comfort Heatin & AC Heatin Jim Hazeman Ron Julkowski, CBO Altare Si ns Si n Erector Nathan McPhersun Ron Julkowski, CBO Assured Heatin AC & Ref Inc Heatin Dan Becker Ron Julkowski, CBO HJ 1 11 DBA Channel Rd A ts Commercial Jawed H der Ron Julkowski, CBO Kalmes Mechanical Inc Heating Bruce Kalmes Ron Julkowski, CBO One Wa Buildin Services Inc Commercial Jeff Bormes Ron Julkowski, CBO Otse o Heatin and A/C Heatin Dave Kolb Ron Julkowski, CBO Ron Winkelman Construction LLC Commercial Ron Winkelman Ron Julkowski, CBO St Cloud Refri eration Heatin Michael Fitch Ron Julkowski, CBO St Cloud Refri eration Commercial Michael Fitch Ron Julkowski, CBO � � �ffY �F FRIDLEY AGENDA ITEM CITY COUNCIL MEETING OF AUGUST 10, 2009 ESTI MATES Colt Construction Services, LLC 285 Forest Grove Drive, Suite 126 Pewaukee, WI 53072 85th Avenue Trail Proj ect No. ST. 2007-4 EstimateNo. 6 ............................................................................. Ellingson Drainage, Co. P.O. Box 68 West Concord, MN 55985 2009 Watermain Rehabilitation Project No. 386 EstimateNo. 2 ..................................................... $132,926.47 $ 70,828.30 � � �ffY �F FRIDLEY Date: To: From: Subj ect: AGENDA ITEM CITY COUNCIL MEETING OF AUG. 10, 2009 August 5, 2009 William Burns, City Manager Scott Hickok, Community Development Director Julie Jones, Planning Manager Special Use Permit SP #09-Olfor repair garages at 7570 Hwy. 65 Background In November 2008, the City Council revoked a special use permit (SUP) for auto repair uses at 7570 Highway 65. This properiy is owned by Samir Awaijane, who has operated a business named Sam's Auto World out of this location for a number of years. Early this year, Glenn Nelson, Mr. Awaijane's brother-in- law, petitioned the Council for a new special use permit for three repair garages on site. The City Council granted the property special use permit SP#09-01 on February 9, 2009, for repair garage use. There were 17 stipulations tied to the special use permit. Many had a six month deadline since they involved physical repairs or changes to the site design. Therefore, the SUP was scheduled to come back to the City Council for review at that six month mark, which is occurring at the August 10 City Council meeting. Over the past six months, Mr. Nelson has kept staff informed regarding progress on the site. In addition, staff recently met with the properiy owner and Mr. Nelson on site to review and discuss the stipulations. Some of the businesses that were leasing space from Mr. Awaijane last February are no longer on site. Grand Central Auto has moved to a different space in the front building and Mr. Awaijane has moved back from Florida and has decided to continue to operate Sam's Auto World, which is consuming most of the space in both buildings. Due to the owner's health issues, long-term tenant, Ronson Door has also vacated the building. Mr. Nelson continues to search for suitable tenants for the remaining vacant building space. Much has been done to clean up the site. While not stipulated, the building e�teriors were repainted following repair of the damaged garage door lintels. All of the exterior storage on site has been removed and customer vehicles being worked on have been kept in the back of the building. A revised site plan has been submitted demonstrating that seven additional parking stalls can be added to the rear of the building. A revised sign plan has also been submitted for Council approval. The petitioner is in the process of coming into compliance with all of the other stipulations except two -#4 and #6, removal of an outside storage area fence and racking. The petitioner was unaware at the previous hearing that staff was indicating removal of a building addition on the back building in stipulation #4. After reviewing the case further, staff agrees that this stipulation is unreasonable since a variance was granted for the addition. All of the car parts and racking have been removed from the addition, which can now be used for inside storage. Staff had stipulated that the fencing around the rear storage area be removed since outside storage was not going to be permitted on the site. The owner has since argued that his insurance company requires customer vehicles to be stored in a secure area. Four different options have been presented on the revised site plan by the petitioner, which allow a fenced in area in some fashion to remain. The existing fence has metal fence posts with wooden screening boards, making it a solid fence. Staff's concern regarding the fenced-in area is that parts storage will accumulate again in this area of the site. Staff needs to be able to easily inspect compliance with the SUP. Since staff understands that sometimes customer vehicles need to be stored in this type of business, staff recommends a compromise of allowing the fence and gate frame to remain in the current location, but require that the solid wooden boards be removed and replaced with chain link, making the area visible for inspection from the front of the building. Staff has had some difficulty obtaining the ventilation rate and balance report data required in stipulations # 12 and 13, but the petitioner has indicated that they will obtain this information soon. The property owner is awaiting a determination of which fencing plan Council approves before they reseal cracks in the parking lot and restripe, which is why they have not completed stipulation #10. Recommendation Staff recommends that the City Council give the petitioner 30 more days to come into compliance with the remaining stipulations not met. This would mean that this item would need to be placed on the September 14 Council meeting agenda. � AGENDA ITEM � CITY COUNCIL MEETING OF AUGUST 10, 2009 �ffY �F FRIDLEY INFORMAL STATUS REPORTS