2015-09-21 City Council Minutesj10--1 "- - `
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ALBERTVILLE CITY COUNCIL
Monday, September 21, 2015
APPROVED MINUTES
ALBERTVILLE CITY HALL
1. CALL TO ORDER - PLEDGE OF ALLEGIANCE
Mayor Hendrickson called the meeting to order at 7:01 p.m.
2. ROLL CALL
7:00 PM
Present: Mayor Hendrickson and Council members Hudson, Olson, Sorensen, and Vetsch
Absent: None
Others Present: City Administrator -PWD Adam Nafstad, City Attorney Mike Couri, Finance
Director Tina Lannes, Fire Chief Eric Bullen, and City Clerk Kimberly Olson
3. RECOGNITIONS — PRESENTATIONS — INTRODUCTIONS
A. Women of Today Proclamation
Hendrickson read a proclamation proclaiming the week of September 20 -26 as Women of Today
Week. She presented the proclamation to President Nancy Thompson, Past President Laurie
Goutermont, Vice President Jennifer Feuerborn, and member Julie Davis.
4. PUBLIC FORUM — (time reserved 5 minutes)
There was no one present to speak at the forum.
5. AMENDMENTS TO THE AGENDA
Motioned by Hendrickson, seconded by Olson, to approve the Agenda as presented Ayes:
Hendrickson, Hudson, Olson, Sorensen, and Vetsch. Nays: None. Absent: None. MOTION
DECLARED CARRIED.
6. CONSENT AGENDA
All items under the Consent Agenda are considered to be routine by the City staff and will
be enacted by one motion. In the event an item is pulled, it will be discussed in the order it
is listed on the Consent agenda following the approval of the remaining Consent items.
These items will be approved by a separate motion.
A. Approve the September 8, 2015 regular City Council meeting minutes as presented
B. Authorize the Monday, September 21, 2015 payment of claims as presented, except
bills specifically pulled which are passed by separate motion. The claims listing has
been provided to City Council as a separate document and is available for public view
at City Hall upon request
C. Approve the Memorandum of Understanding between Wright County and the City of
Albertville for the Purchase of Salt for the 2015 -2016 Snow and Ice Removal Season at
a cost of $82.46 per ton, which is subject to fuel escalation
D. Reduce Letter of Credit No. 163905277 held as security for the Guardian Angels
development from $31,200 to no less than $24,500, conditioned on any outstanding
balances owed to the City being paid in full
E. Accept the municipal improvements and to reduce Letter of Credit No. 2220 held as
security for the Hunters Pass 2 °d development from $37,170 to no less than $15,973,
conditioned on any outstanding balances owed to the City being paid in full
Motioned by Hendrickson, seconded by Vetsch, to approve the Consent Agenda as presented.
Ayes: Hendrickson, Hudson, Olson, Sorensen, and Vetsch. Nays: None. Absent: None.
MOTION DECLARED CARRIED.
7. PUBLIC HEARINGS — None
8. DEPARTMENT BUSINESS
A. City Council
1). Committee Updates (STMA Ice Arena, Planning, JPWB, Parks, Fire Board,
FYCC, etc.)
Fire Board
Sorensen reported the Fire Department received a $22,000 grant for turnout gear and the
Albertville Lions donated $5,000 to help with the purchase of a thermal imaging camera.
FYCC
Vetsch reported the STMA Open Streets was successful with a large turnout at the event.
Nafstad stated the new location seemed to work well and may be used again next year.
STMA Arena Board
Hudson stated that the STMA Youth Hockey Association was at the last meeting and informed
them they had met the previous criteria outlined that was needed to fund a second sheet of ice.
Utilizing a bank line of credit, Kraft Hockeyville USA dollars, cash on hand, and a Mighty
Ducks grant, they can raise $1 million for the second sheet.
2). STMA Ice Arena Board Minutes of September 14, 2015 — Information Only
There was no discussion on the minutes.
City Council Meeting Minutes
Regular Meeting of September 21, 2015 Page 2
B. Fire
1). Fire Update
Bullen reported he has finished his employment with the City of Minneapolis Police Department
and thanked the Council for allowing a flexible schedule to allow him to complete his twenty
years with the City of Minneapolis.
He reported the grant money for the turnout gear will replace about one third of the equipment
and will help with the budget so they do not have to replace all of the gear at one time. The
department's current thermal camera is about ten years old and is in need of replacement. These
cameras are used to find heat sources.
Bullen stated that he has reserved six spots in the Fire Inspector I class for the department.
Completion of the course and certification will occur in January.
Bullen stated that the training burn has been rescheduled for Sunday, October 4 at 8:00 p.m. at
7423 Kadler Avenue NE. The next Fire Board meeting is Wednesday, September 30, at 6:15
p.m.
Hendrickson inquired how the fire inspection will work. Bullen replied five people have
expressed interest and they hold varying work schedules and that will help to accommodate a
variety of inspection times. He said that initially multiple firefighters would be present at an
inspection until they are all fully trained. Nafstad said the ultimate goal is to have one person at
each inspection.
C. Legal
1). Sale of Tax Forfeited Lots in Prairie Run (pgs 18 -26)
Couri reported that Fieldstone Family Homes previously purchased ten detached townhome lots
in Prairie Run from the City and received right of first refusal on an additional fifteen detached
townhome lots. Fieldstone has begun building on the first ten and wishes to purchase the
remaining fifteen lots. City staff and Fieldstone have negotiated a purchase agreement for the
fifteen remaining lots for a price of $25,000 per lot. The agreement will have Fieldstone close
on three lots every six months beginning September 1, 2016 with the final three to close by
September 1, 2018. Couri reported the agreement is similar to the previous purchase agreement
except this one does not require planting of trees in the back yards since trees were planted ten
years ago.
Olson had concerns that only four lots have been purchased in the original ten lots and inquired
what would happen if they walked away from those remaining six in the first agreement and
developed the next fifteen lots. Couri replied there is earnest money that the City would keep
from the first purchase agreement that would write down the cost and the City could recoup the
cost by sales to someone else. He also stated that if it is a concern of Council's, they could
include language that Fieldstone may not close on the first lots of the fifteen until development is
completed of the first ten lots. Lannes stated her concern is to receive money for all the lots in
order to pay down the cost of the municipal improvements done on the lots.
City Council Meeting Minutes
Regular Meeting of September 21, 2015 Page 3
Couri stated that he did not see Fieldstone walking away from any of the first ten lots. He stated
the City was approached by Fieldstone for purchase of these lots and sales and demand seem to
going well. They also have a fair history with the product in Albertville.
Sorensen and Hendrickson stated they were fine with the purchase agreement as drafted.
Motioned by Sorensen, seconded by Olson, to approve the purchase agreement to sell lots 1-
15, Block 1, Prairie Run to Fieldstone Family Homes for $25,000 per lot. Ayes: Hendrickson,
Hudson, Olson, Sorensen, and Vetsch. Nays: None. Absent: None. MOTIONDECLARED
CARRIED.
D. Finance —None
E. City Clerk — None
F. Public Works/Engineering — None
G. Planning/Zoning — None
H. Building —None
I. Administration
1). Mighty Ducks Grant Application
Hudson/Nafstad stated that the STMA Arena Board meeting the STMA Youth Hockey
Association (STMA YHA) spoke about their ability to raise $1 million to contribute to the
second sheet of ice. The funds would come from cash on hand, a line of credit from a bank, the
KRAFT Hockeyville USA money, and a Mighty Ducks grant. The STMA YHA would like the
three entities that make up the Arena Board to pass a resolution to apply for a $250,000 Mighty
Ducks grant. Nafstad stated that resolution is before the Albertville City Council and the STMA
School Board tonight for consideration and will go to the St. Michael City Council tomorrow.
Nafstad stated the proposed resolution is slightly different from the program's sample resolution
in that it more accurately describes the current status of the STMA Arena Board's funding
position for a second sheet. He stated there is no formal financing plan for a second sheet. He
stated there are current unknowns, so the resolution had to be tailored due to those unknowns.
Nafstad noted the Minnesota Amateur Sports Commission will likely want more commitment
that a second sheet will be constructed if a grant is awarded.
Sorensen inquired about the second sheet having to be completed 18 months after award of the
grant money. Nafstad replied that Minnesota Amateur Sports Commission would require the
second sheet to be completed from the date the agreement is signed. Sorensen inquired about
matching the Mighty Ducks grant dollars. Nafstad stated that it could be met by either the
STMA YHA or proof that the entities have the ability to construct a multimillion dollar project.
He stated the grant funds would be given once the second sheet is completed and would be in the
form of a reimbursement. Hudson stated that clearly the second sheet will be more than
$250,000 and that will not be an issue. He stated that applying for the grant does not bind them
to complete the project and stated that it is the first step in moving towards a second sheet. By
City Council Meeting Minutes Page 4
Regular Meeting of September 21, 2015
not applying for the grant, they would be choosing not to pursue a second sheet. He stated that
he perceived the STMA Arena Board consensus was to not walk away from an opportunity such
as this. Nafstad stated that MASC may not allow grant funds for this type of improvement every
year; they may rotate different types of funding categories.
Olson inquired why this is being brought up now as they have already set the preliminary budget.
Hudson invited Chris Hansen and Roger Lucy, STMA YHA, to speak. Hansen stated they had
worked with MASC last year on the second sheet feasibility study and he stated it was that
organization that prompted them to look into this Mighty Ducks grant. He stated it was only
very recently that the STMA YHA was able to possibly meet that $1 million figure that was
given to them years ago. Hansen discussed the line of credit they are eligible for and how they
would pay that down. Olson inquired what assurances there are that a facility can be built in 18
months that would meet the STMA Arena Board and STMA YHA's standards. Hudson stated
that much more conversation is needed and more concrete items need to be in place such as the
$250,000 Mighty Ducks dollars. However, this is a place to start.
Olson inquired if they would be setting themselves up for failure if they received the grant funds
and then began the discussions; he felt that would eat away the time in which they would be
required to build the second sheet. He stated that it will take time to design and develop plans.
Both Sorensen and Olson could see them applying next year for the grant funds. Sorensen stated
that he can see both sides. Hudson agreed and stated that it is gambling either way. Vetsch stated
that it was implied they would receive the grant funds if they applied this year and he did not
want to waste that opportunity. Lucy stated that now is the time as they have developed a very
good relationship with MASC. They worked on the feasibility study and they know how to build
ice rinks. Hansen stated the announcement of the grant awards would be in December and
conversations could begin in interest immediately after that.
Nafstad stated that because the arena is located in Albertville, Albertville would likely have to be
the ones to issue a bond. Lannes outlined how that would work or that the City would have to
borrow from the SAC fund which could jeopardize other projects. Sorensen stated that original
discussions had the total amount of a second sheet quite a bit different than what has been
discussed lately. Hansen stated that until they get started they don't know what they are dealing
with and the current estimates were for a fully loaded arena and there may be other options or
phasing that can be done. Hansen stated that the STMA YHA has gone out and brought $1
million to the table.
Hudson stated that he doesn't see the downside of applying for the grant. He stated that
ultimately if there is not a second sheet, it is not a failure but shows they had the conversation
and it didn't work. Olson stated that if they had discussed this several months ago, the
preliminary levy may have been different. Nafstad stated the grant announcement was just
recently sent out in August and the Arena Board just recently met for the first time since May.
Hudson stated that the STMA Arena Board had instructed staff to move forward with the
application.
City Council Meeting Minutes
Regular Meeting of September 21, 2015 Page 5
some
Vetsch felt that the STMA School Board is a partner
of Albertville and St. M'chael�rSorensen
contribution, even if it's not the same as the Cities
stated that he can see it is worth pursuing, but is concerned they Ducks do it within the 18
months, that it could hurt any future chances of receiving P
Hansen stated that the demands are not currently being met.
Sorensen stated there is a benefit to the schools and the S to hold MA School those cooards h ulld be part of
the conversation. Hansen stated there are creative way
inquired if there has been discussion of putting this to a referendum. Hanson stated hockey is a
niche group and it would be difficult.
Nafstad reviewed the changes that he made to the rlstat d that theyHendrickson
would, ut the chSange will
have issues with the changes that were made. Nafstad
were the only way all three entities would and che did not relution. Sorensen asked
the resolution was an
City attorney if he saw any red flags. Couri replied that
honest view of where all the entities are at.
Olson would like to see conversations begin sooner rather than later, not in December or
January. Hansen agreed they will have to move quickly. Nafstad stated that if awarded, the next
steps would include professional services such as an architect, etc. The application itself will
include letters of support, the feasibility study, demand study, and more. Sorensen and Olson
would support a future joint meeting of all the entities. Sorensen suggested after the next STMA
Arena Board meeting and Clerk Olson stated they could set that at the October 5, 2015 City
Council meeting if the other entities agree.
Motioned by Olson, seconded by Hudson, to approve Resolution of STMA Arena Mighty
Ducks Grant Application. Ayes: Hendrickson, Hudson, Olson, Sorensen, and Vetsch. Nays:
None. Absent. None. MOTIONDECLARED CARRIED.
2). City Administrator's Update
Nafstad reported the recycling contract expires at the end of the year and the Council will need to
consider whether to renew with Republic Services or go out for Request for Proposal (RFP's).
He has begun discussions with Republic about possible options for a renewal contract. Olson
stated that he has not heard any issues with Republic and customers seem happy. Sorensen felt
they should pursue the RFP option in order to get the best price. Nafstad stated that one concern
that staff has is that if the City goes with a new vendor, the switch out of recycling carts will
occur in the winter right after the holidays and could cause issues for residents. Lannes stated
that the last time carts were switched out it created a lot calls and staff time. Sorensen inquired if
the recycling fund could buy down any increases in recycling costs in a new contract. Lannes
reported that it could and they would want to ladder that out over several years.
Nafstad stated there have been some issues with the cleaning services provided at City Hall and
currently Public Works staff is filling in for the contract cleaners.
City Council Meeting Minutes Page 6
Regular Meeting of September 21, 2015
Nafstad reported that the CSAH 19 and 70`h Street NE intersection will be turned into a four way
stop due to visibility and crash history at the location. This will happen within the next several
weeks.
Vetsch inquired about the completion of the 57`" Street NE and Church of St. Albert construction
project. Nafstad replied the contractor is expected to be done by October 15.
9. ANNOUNCEMENTS AND /OR UPCOMING MEETINGS
September 28
Joint Powers Water Board, 6:30 p.m.
Th F Sa
Parks Committee, 8:00 p.m.
October 5
City Council, 7:00 p.m.
October 12
STMA Ice Arena Board, 6:00 p.m.
October 13
Planning Commission, 7:00 p.m.
October 19
City Council, 7:00 p.m.
October 26
Joint Powers Water Board, 6:30 p.m.
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10. ADJOURNMENT
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Motioned by Hendrickson, seconded by Sorensen, to adjourn the meeting at 9:16 p.m. Ayes:
Hendrickson, Hudson, Olson, Sorensen, and Vetsch. Nays: None. Absent. None. MOTION
DECLARED CARRIED.
Respectfully submitted,
Kimberly A lson, City Clerk
City Council Meeting Minutes Page 7
Regular Meeting of September 21, 2015