2018-07-16 City Council MinutesNbert�ville
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ALBERTVILLE CITY COUNCIL
Monday, July 16, 2018
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ALBERTVILLE CITY HALL
CALL TO ORDER - PLEDGE OF ALLEGIANCE
Acting Mayor Vetsch called the meeting to order at 7:08 p.m.
2. ROLL CALL
7:00 PM
Present: Acting Mayor Vetsch and Council members Cocking, Hudson, and Olson
Absent: Mayor Hendrickson
Staff Present: City Administrator-PWD Adam Nafstad, City Attorney Mike COUri, Finance Director
Tina Lannes, Fire Chief Eric Bullen, and City Clerk Kim Hodena
Others Present: Monica Potter, Jay Eull, Denise Busch
A. Legislative Update - Senator Kiffineyer
Senator Kiffrneyer reported there has been a good working relationship with both the Senate and the
House, especially with Representative Eric Lucero.
Kiffineyer reported they had much success with funding for wastewater improvements and
transportation, specifically the 1-94 and Highway 169 improvement projects. She also mentioned
improvements to the 610/Brockton interchange.
Cocking thanked Kiffmeyer for her support of the funding to Albertville for the 2019 wastewater
improvements, stating the $2 million funding is a saving to taxpayers.
4. PUBLIC FORUM
There was no one present for the forum.
5,. AMENDMENTS TO THE AGENDA
Nafistad added Letter of Credit release for Albertville Medical Clinic as Item GI and STMA Ice
Arena Parking as Item G2 under Public Works.
Page 1
Motioned by Cocking, seconded bye Hudson, to approve tile Agenda as presented. Ayes: Vetsch,
Cocking, Hu(Ison, and Olson. Nays: None. Absent: Hendrickson. MOTIONDECLARED
CARRIED.
201MM39117.0
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. 'I "here items will be
approved by a separate motion.
A. Approve the June 4, 2018 regular City Council meeting minutes as presented
B. Authorize the Monday, June 18, 2018 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 a Therapeutic Massage Enterprise License for St. Michael Massage, located at
10904 57th Street NE, Suite 109, to provide massage therapeutic services contingent upon
inspection and approval of the Building Official, payment of license fees, and proof of
liability insurance
D. Authorize the purchase of 2 portable radios for the Fire Department
E. Adopt Resolution No. 2018-015 establishing and appointing members to the Absentee
Ballot Board for the 2018 Primary and General Elections
F'. Approve Resolution 2018-016 Approving Assignments of Tax Increment Financing and
Regulatory Agreement in Connection with Cottages of Albertville
Vetsch pulled Item Ffrorn the Consent Agenda.
Motionetl by Cocking, seconded bj7 Hudson, to approve the Consent Agenda as amended. Ayes:
Vetsch, Cocking, Iludson and Olson. Navas: None. Absent. lIendrickson. MOTION
DECLARED CARRIED.
Approving Assignments of Tax Increment Financing and RegulatoEy Agreement in Connection
with Cottages of Albertville
COUri stated the original tax increment financing was put into place in 1998 or 1999. The current
property owner is selling and the new owner would like to, take over and receive the tax increment
assignments.
There are five years left in the district and he stated that it would be difficult to withhold assignments
without cause.
Vetsch questioned ifthe assignments could be held because there are code violations with the
property. Nafstad reported that since it Is a rental property, they have done inspections and
documented the repairs needed. The current owner has been cooperating and receptive to making
the repairs. The buyer is also aware of the needed repairs. He reported that staff has consulted bond
counsel and they have recommended not tying the assignments to inspections.
City Council Meeting Minutes Page 2
Regular Meeting of July 16, 2018
Couri reported that the original development agreement required that the property/developer comply
will all local, state, and federal laws or code.
Alex Bisanz, Real Estate Equities, stated they are the current owners of the property. He reported
that they have made a good faith effort with the repairs and to improve tenant relations. He stated
that unfortunately the previous property managers had not followed through. He stated that all units
have had a walk through and been inspected. He felt they are not in violation of the city's standards
and the repairs are maintenance related.
Vets,ch questioned the repercussions if the closing was delayed in order to finalize: the issues.
Council discussed adding a condition to the consent agreement removing the statement that the
developer (new owner) is in compliance with the development agreement and stating that the city
still has the right to enforce its standards.
Motioned by
7. PUBLIC HEARINGS — None
8. DEPARTMENT BUSINESS
A. City Council
1). Committee Updates (STMA Ice Arena, Planning, JPWB, Parks, Fire Board, FY( C,
etc.)
Cocking reported on his Washington D.C. trip. He stated that he had the opportunity to meet
many our local representatives and senators. He stated it was a very positive trip.
Hudson reported that both the Planning Commission and STMA Ice Arena Board meeting
were cancelled. Ile then inquired when the Council's amival trip to D.C. would be and
Nafstad stated it will be in the fall and he will get back to Council with the dates. He added.
that the focus of the fall trip would be federal transportation funding.
B. City Clerk
1). Set Preliminary 2019 Budget Workshop #1
Motioned ky Cocking, seconded by Olson, to set a workshop for July 16, 20,18 immediately
jolloWng the regular Council meeting to discuss the 2019 preliminary budget. Ayes: Vetsch,
Cocking, Hudson, and Olson. Nays: None. Absent: Hendrickson. MOTIONDECLARED
CARRIED.
2). STMA Youth Hockey Lawful Gambling Permit
Clerk Hodena, reported staff has a received an application from the STMA Hockey Association to
take over the gambling at Villa Bar and Grill.
City Council Meeting Minutes Page 3
Regular Meeting of July 16, 2018
Nafstad stated that staff also received an inquiry if the city would consider implementing the 10%
tax on gambling proceeds that is allowed by state law. fie stated it brings up a good discussion of
gambling in general in relation organization allowed to conduct gambling with the city.
Vetsch stated that the Lions gambling proceeds are after donated back to the city and are in excess of
10%. Cocking stated that he would not like to take away from groups that donate to the city. Vetsch
replied it may easier to just collect the 10% to be fair. Couri also reported that state law can allow
cities to require the proceeds be spent within a specific trade area.
Monica Potter, gambling manager for STMA Hockey Association, stated that the association is
under new leadership and they do contribute to the community. They are also looking into
additional ways they can contribute.
Nafstad reported staff will look into the history of gambling activity within the city and report back
to Council at another meeting.
Motioned kv Cocking, seconded by Hudson, to adopt Resolution 2018-017 approving a new
Lawful Gambling Premises Permit far the STIkM Youth Hockey Association far Villa Bar & Grill,
located at 11935 59"' Place NE. Ayes: Vetsch, Cocking, Hudson, and Olson. Nays. None.
Absent: Hendrickson. MOTION DECLARED CARRIED.
C. Public Works/Engineering
1). Award Bid for Westwind Park
Nafstad reported that two bids were received and are for general site work such as excavation and
grading, concrete, trail and turf restoration. Olson inquired if the bids came in high or low and
Nafstad replied they came in lower than anticipated. Nafstad also reported that the board estimates
are anyway from $75,000 to $200,000. They have to address one element of the park at a time.
Motioned Olson, seconded fay Hudson, to approve Resolution 2018-018 awarding contract to
Otnann Bros. for Westwind Park improvements in the amount of $134Y4 71.50. Ayes: Vetsch,
Cocking, Hudson, and Olson. Nkvs: None. Absent: Hendrickson. MOTION DECLARED
CARRI, D.
D. Fire — None
E. Finance — None
F. Planning/Zoning -plane
G. Building — None
H. Legal — None
City Council Meeting Minutes Page 4
Regular Meeting of July 16, 2018
I. Administration
1). Wastewater Treatment Plant Grant
Nafstad reported that having received word they will get the $2 million in funding for the wastewater
improvements, they will need provide information and enter into a grant agreement with Minnesota
Public Facilities Authority.
Motioned by Olson, seconded ley Hudson, to adopt Resolution 2018-019 to submit information to
the MN Public Facilities A uthority and to enter into a grant agreement. Ayes: Vetsch, Cocking,
Hudson, and Olson. Nays: None. Absent: Hendrickson. MOTION DECLARED CARRIED.
2). Driveway Assessment Program — Discussion
Nafstad reported that during last year's sidewalk project, they allowed residents who wished to
replace the entirety of their driveway rather than just a portion to use the city's contractor and
pricing to so if they entered into an assessment agreement. Nafstad inquired if the Council would
like to offer this on an annual basis in order to increase curb appeal and keep, up on neighborhood
appearances. With interest on the assessments, the program would fund itself, they would just need
to identify where the initial funds would come from. He suggested a small fee for the administrative
costs associated with the assessment. Lannes clarified the interfund loan cannot be used as it only
for businesses.
Cocking inquired if there is any risk to the city and Couri they would need to require each property
owner to sign a waiver that they would not appeal the assessment.
Olson had a couple of concerns:
1. Will each assessment be reviewed on a case by case basis and with their own contractor?
2. They will need a max amount to be set that the assessment will be for.
3. They should require the administrative fee upfront.
Lannes stated that assessments could be for three or five years depending on the arnount of the quote
received.
Olson inquired about licensing provisions for contractors doing the work and Couri replied that staff
can check the Department of Labor and Industry website to see if contractors are licensed and
bonded.
Nafstad they have already received several requests for this year. Cocking stated that he is reticent
until the full scope of the program is flushed. Couri reported he could draft a standard agreement
and Olson suggested an annual cap. Cocking felt it would be better to stagger agreements over a
number of years, such as five. Olson inquired if there were: to be another neighborhood
improvement would those driveways use up the money designated for that year and Nafstad stated
they would work those driveways into the project bid.
Nafistad reported staff will come back will a program outline.
City Council Meeting Minutes Page 5
Regular Meeting of July 16, 2018
3). City Administrator's Update
Nafstad reported he has a draft agreement for one of the properties along 58"' Street Ne in terms of
acquisition for park land and is still negotiating with other who is receptive to the idea.
He stated that Buffalo had inquired if Albertville would be interested in conduit financing for a
development in Buffalo.
Cocking inquired about risk to the city and Couri replied that Buffalo would use their rating. Lannes
also stated that Albertville would receive an administrative fee for use of the conduit financing and
Nafstad reported that he had tentatively negotiated 0.5%. However, he will have more information
at a later date.
9. Announcements and/or Upcoming Meetings
June 25
Joint Powers Water Board, 6:00 p.m.
Parks Committee, 7:00 P.m.
July 2
City Council, CANCELLED
July
City Offices Closed, Independence Day
July 9
STMA lee Arena Board, 6:00 pm.
July 10
Planning Commission, 7:00 p.m.
July 16
City Council, 7:00 p.m.
July 23
Joint Powers Water Board, 6:00 p.m.
Parks Committee, 7.00 p.m.
July 30
Joint Governance Meeting, TBD
10. ADJOURNMENT
Motioned by Cocking, seconded by Hudson, to adjourn the meeting at 9:15 p.m. Aves:
Hendrickson, Cocking, Hudson and Olson. Nltys: one. Absent: Vetsch. MOTION DECLARED
CARRIED.
Respectfully submitted,
Kimberly A Ddena, City Clerk
City Council Meeting Minutes Page 6
RegLdar Meeting of July 16, 2018