Loading...
1989-01-19 CC Workshop . . . WORK COUNCIL MEETING JANUARY 19. 1989 A work meeting of the Albertville C1ty Counc1l was called to order by Mayor Gary Schwenzfeier Members present 1ncluded Donatus Vetsch and Don Cornelius Members Bob Braun and Jim Krystosek were absent from the meeting Others present 1ncluded Maureen Andrews The Council was 1nformed that a developer had contacted David L1cht regard1ng setting up a meeting regarding a proposal for development Since the C1ty contracts w1th Northwest Associated Consultants to reV1ew individual projects. Dav1d contacted Maureen and asked if the Council would approve the meeting The Council agreed that it was acceptable for Maureen and David to meet with the developer and d1scuss the proJect. answer1ng any quest10ns that might ar1se There was some concern by the Council members present that the City should be sure that the expense of th1s type of meeting be passed onto the development and not become a burden of the taxpayers Maureen stated that 1n the past the City has charged for meet1ngs. hearings. ect through the developer's agreement and hearing fees In th1s case the City w1ll be incurr1ng expenses before such fees have been collected compared to earlier developments in which the proJect would have already been presented to the Council before any cost were incurred In an effort to clar1fy th1s matter uP. the Counc1l approved the following resolut1on ~ - -\ - \ \" \ " A RESOLUTION ESTABLISHING PROCEDURES REZONING APPLICATIONS. CONDITIONAL VARIANCE. APPEALS AND SUBDIVISIONS FEES FOR PERMITS. AND USE The motion was made by Don Cornelius and seconded by DonatuB Vetsch All were 1n favor and the motion carried. Hearing no other d1scusoion a motion was made to adjourn the meeting The mot1on was made by Donatus Vetsch and seconded by Don Cornel1us All were in favor and the mot1on carried . . . WORK MEETING JANUARY 24, 1989 A work meeting of the Counc11 was called to order by Mayor ~ Schwenzfe1er Members present mcluded Jim KrYstosek, lxmatus Vetsch fun Cornel1us and Bob Braun Others present mcluded Maureen Andrews, Bob Miller, Bob Sullentrop and Brad Farnham The ~ of the work meetmg was to discuss the City:' s QPt10ns in undertakmg the implementat10n of the WEST ALBERTVILLE STORM WATER STUDY and d1scuss the optl.ons of refunding the FmHA loan and take any necessary act10n regardmg the same The Counc11 f1rst d1scussed in some deta11 what Opt1ons the City mudlt have available to finance and install the needed stonn sewer system for the draillage of the west port1on of the C1 ty Options d1scussed included the use of CoUnty D1 tch #9 or establishmg another system which would tie mto the City's ex1sting stonn sewer system Bob M11ler remmded the Council that by outletting the water mto the County Ditch the City of Albertv11le would be c~ing the ~ for which the d1tch was or:i;;dnally 1llStalled, that 1S county d1t..clies were built m order to reclaim land for farming that would otherw1se be too wet to cultivate He also pointed out that th1s fact would not preclude the City from look~ mto the opt1on, becallSe in other instances county d1 tches have been llSed m the urb9rl1zation process of rural areas It was noted that if the C1ty proceeds w1th l:'equestJ..ng outlet into County Ditch #9 that there could be a lot of oppoen tion from others on d1 tches #9 and #21 and from the City of St Michael and the C1ty would not be gqaranteed approval of the County Board Th1S could result in costly delays in developmg the western ~rt1on of the City A member of the Council stated that 1f th18 1S true that 1 t was his opinion that should the C1 ty decide to go to the expense of outlettmg the storm water through a different manner than the county d1 tell system then the County Board shoula recognize it and take 1 t into consideration when additional work needs to be done m the area bemg discussed The other option that the City is considermg is that of transferring t..he water over t..o the existing storm sewer ~stem wh1ch would mvolve the acqu1ring of land to install the system m Th1S proposal would most 11kely require the C1 ty negotiating a purchase of the land requ1red to undertake this opt1on or 1f needed acquire the land through the condemnation process. It was pointed out that if the City would proceed with this option that both the negotiation and condemnation processes should start at the same tune so that there would not be any untunely delays At this ~int Bob Sullentro~ d18cusSed with the Council some prelimmary costs that might be mvolved 1f the C1ty opt10ns to d1scharge water to the east through a connection to the existing storm sewer Some issues d1scussed was whether or not the C1 ty would be able to open cut C. S A H 19 and 1f so would if be advantages to install the proposed sewer interceptQr lme for future developnent so that the City would not have to incur the labor costs tW1ce or whether or not the County. would even ~ant a permit for cross cutting C S A H 19. Bob pomted out that 1f the C1 ty would have t..o Jack under the hJ.ghway that there was no real cost savings to mstall the mtel:'l'"'...ePtor at this time, because of the depth of the line There was some discuss10n regardmg the fact that the WES'IWIND cormnerc1al p'lat WI-II really be ~cted by what act10n the Council takes on th18 matter The question wa.e. ra1sed regarding whether or not the developers would be requ1red to p1ck IJP most of the cost related to th1s 1ssue Bob pomted out that .John GeOrge, Inc could be ~uired to cover some of the front end cost of this proJect b.1t that mall actual1 ty, evetyone benef1 tting from the 1mProvement w111 need to share m the cost of installation The engineers had prepared a ser1es of quarter sect10n maps showmg who would be ]lDpacted l:>y the 1llStallat1on of th1s storm sewer In reV1eW1IJg th1s map there was some addi t10nal discussion about the acqU1r1ng of the land '. . . At thJ.s tune Brad Farnham arrJ. ved at the meetl.Ilg and was asked how the CJ. ty should 'be lookJ.IJg at fmancing a ~roJect of thJ.S type. He fJ.rst guestJ.oned whether or not the CJ.ty was changloo the dramage a great deal and now many people might 'be ~cted by the J.nStallatJ.on of the new storm sewer After receJ.VJ.ng some of the general bac~ mformation that had already 'been dJ.scussed. Brad stated that J. t would 'be his mJ. tJ.al reaction to attempt to do thJ.s type of improvement through a taxJ.IJg dJ.strJ.ct. Brad went on to e~lam that the use of taxing distrJ.ct simply means that the coe. t is levied ~aJ.nSt the entJ.re dJ.strJ.ct ana not Just those J.Jl'IlDediately 'benefJ.ttJ.IJg from the llllprovement He explamed that this kee~ the cost of an undertak1l)g of thJ.s type to a minJ.mal, therefore reducJ.IJg the llllpact on individuals that might otherwJ.6e benefit He also explained that once the districts are set up mJ.tJ.ally that there J.S no appeal process to the costs levJ.ed agaJ.nSt the pro:pE3rty, provJ.ded that costs do not dJ.ffer greatly than those proposed at the publJ.c hearing Brad noted that this process works the rest if the City creates ~e enough die trJ.cts so that costs can be spread over a larger number of propertJ.es There was a question regardmg whether or not "old town" would be placed into a storm water taxipg dJ.strJ.ct smce J. t is already serviced? It was suggested that J.t should be placed m a dJ.str:J.,ct of J.ts own, because at some pomt the Ci tf wJ.ll be lookmg at repairs or mture improvements m the area and mechanJ.sm wJ.ll be in place to undertake any work that mJ.ght be needed In order for the CJ. ty to undertake the establJ.shment of storm water taxing districts the following events wJ.ll need to occur 1 The City Engmeer wJ.ll need to UPdate the draJ.I'!8,ge study to mclude discussJ.on pertammg to area being proposed for the new taxJ.IJg districts 2 The City Engineer wJ.ll need to redefine the map included m the dramage studY into larger taxing dJ.Stricts 3 The CJ. ty will need to pass an Ordmance pertaining to the use of taxmg dJ.stricts for storm water dramage 4 A mailing of public notJ.ce would need to be prepared and sent to all effected land owners (basically thJ.S would require a mailed notice to all land owners m the City of AlbertvJ.lle). 5 Public hearJ.ngs would need to be held on the formulation of taxl.Ilg distrJ.cts and for any work that might be undertaken m the Phase I improvement At thJ.s point the CouncJ.l asked the engmeer to make the necessary changes to the report and come back to the CouncJ.l so that the CJ.ty can consIder proceedmg with the project The next issue the CouncJ.l dJ.scussed was the advanced refundJ.IJg of the FmHA mon~ that the CJ. ty had receJ. ved to fmance the Main Avenue IIDI?l;'Ovements m 1979 The mmutes should note that the definitJ.ve fmancglg by FmHA was put into place in 1981 to replace the temporary fmancmg of 1979 Brad e~lained to the CouncJ.l, that as in the past few years, FmHA was offer1r!g CJ.tJ.es with proJects fmanced through them, a b.lyout optJ.on m order to redUce theJ.r holdJ.IJgs He pomted out that thJ.s has been the fJ.rst tune that the City has 'been m a posJ.tion to refund their J.ssue WJ.th any type of savmgs and therefore was recoumendmg that the Council consider the issue Because of the new CouncJ.l member Brad walked through the schedule m great detaJ.l The mJ.nutes should note that the schedules snowJ,ng the savJ,ngS have been attached to the minutes for revJ.ew The net effect of the refunding J.S that the City would save $16,584 81 over the life of the J.ssue Brad P9mted out that the savings comes as a result of FmHA - s offer to sell back the debt for less than the dollar amotmt the debt was orlgmally J.Ssued at, in thJ.s case, for approximately 79 5 cents on the dollar for the FmHA R-1 issue and 71 5 on the FmHA R-2 J.Ssue It was p:>mted out that the CJ.ty would 'be usmg some $80,~ e0 of cash on hand to reduce the debt Brad dJ.d note that there would be a pay~ agent and registers fee chame that would need to be figured mto the issue smce J.t was not requJ.red WJ.th FmHA money. -2- . . . There was some discuss~on regardJ.ng the assessments already ~~d on the improvement and the fact that it a~ that the City had been under levyl,pg to cover the debt W~ th the refundJ.ng the City will now have a new debt structure prepared to assure that there are adequate funds set as~de to pay the debt I t was pointed out to the Counc~l that FmHA had structured the ab~l~ ty to refund mto grids w~th "wmdows" that close on regular bas~s Because of the grid Brad mformed the Counc~l that the C~ ty needed to close on the ~ssue before February 9th in order to real1Ze the savJ.ngs already d~scussed w~ th th~s m mind, Juran and Moody was prepared to purchase the bonds at the meetJ.ng through a negot~ated sale If the Counc~l dec~ded to sell the bonds the rates would be locked in at the rates on schedule #3, wh~ch had a net effective rate of 7 76% When asked what needed to be done to move things mto act~on. Brad stated that the C~ty would need to enter mto a contract w~ th Juran and Moody for the sale of the bond and author~ze the sale through a motion of the Counc~l After some limited discuss~on the Counc~l agreed that the savings on the refundJ.ng was too great to wa~ t 60 it was agreed to sell the bonds A mot~on was made to approve Resolut~on 1989-21. AuthorizJ.ng the Sale of $215t020 General Obl1gat~on RefundJ.ng Ibnds of 198~ The mot~on was made by IOna~us Vetsch and seconded by IOn Cornelius All were m favor and the mot~on carr~ed The Council next entered into an agreement w~ th Juran and M<.:x>qy to purchase the bonds at rates established in the contract A mot~on was made by fun Cornelius and seconded by J 1m Krystosek to authorize the Mayor and the City Admm~trator/Clerk to enter into the contract w~th Juran and Moody for the sale of $215,020 r20 All were in favor and the motion carr~ed The Council was also informed that there needed to be some work done on the pickup It was ~ that Ken should go ahead and make arrangements for the work to be completed There was some other d~s~on regardJ.ng the b..1ming of the old b1ulding at the wastewater plant. No act~on was taken on th~s matter. w~ th no other hlsmess the meeting was adJourned '-iYl~ "1.~~ -3-