07-17-01A regular meeting of the Hopkins City Council was held on July 17, 2001, in the
Council Chambers of the Hopkins City Hall.
Present were Mayor Maxwell and Council Members Brausen, Jensen, Hesch, and
Johnson. Also, present were staff members Genellie, Stadler, Bot, Kerrigan, Reid,
Yager, Davidson, and City Attorney Jerre Miller.
I. CALL TO ORDER
Mayor Maxwell called the meeting to order at 7:34 p.m.
II. OPEN AGENDA -PUBLIC COMMENTS AND CONCERNS
There were none.
At this time, Mayor Maxwell asked that Chief Reid present the Life Saving Award
to Jill Forrest and son Tyler Furu.
Chief Reid said that because Tyler responded to events in just the right way, a life
was saved. Tyler was on his way to his baseball game and saw Mason Salinas,
two years of age, in Shady Oak Pond. Tyler ran to get his mother, Jill Forrest, who
told Tyler to call 91 1 immediately, which he did. Jill ran to the pond and pulled
Mason from the water. Emergency vehicles arrived in a matter of a few minutes,
thanks to the quick actions of Jill and Tyler. Chief Reid awarded the Life Saving
Medal to Jill and Mayor Maxwell awarded Certificates to both.
III. REPORTS -COMMITTEES/COMMISSIONS
1. Park Board
Patty Schuessler said that the Park Board met on Monday evening and they
discussed alcohol and tobacco in the parks. The current policy allows softball
teams in Central Park to obtain seasonal permits for beer. Other recreation teams
are excluded. They would allow all recreational teams to obtain seasonal permits
for beer consumption in Central and Valley Parks. Ron Schwartz appeared to
report on the Shady Oak Beach incident. They made a decision to recommend an
increase to the prime time rates at the Pavilion and they discussed the master plan
for City trails.
IV. CONSENT AGENDA
1. Minutes of July 3, 2001, City Council Meeting
2. Minutes of July 10, 2001, City Council Work Session
3. Reappointments to Boards and Commissions
July 17, 2001 City Council Meeting Minutes Page 1
4. Second Reading of Ordinance 2001-856 (Memo)
5. Second Reading of Ordinance. Repealing Section 1 160 and amending
Sections 11 65 and 1 185 (Memo)
Council Member Brausen asked that Maura Swenson be changed to Maura
Swanson in the Minutes of July 3, 2001 under "Reports -
Committees/Commissions".
Council Member Jensen moved and Council Member Hesch seconded a motion to
approve the Consent Agenda as amended. A poll of the vote was as follows:
Council Member Brausen, aye; Council Member Jensen, aye; Council Member
Hesch, aye; Council Member Johnson, aye; Mayor Maxwell, aye. The motion
carried unanimously.
V. PRESENTATION
1. Life Saving Award to Jill Forrest
This took place at the beginning of the meeting.
2. 2000 Year-end CAFR Presentation
Lori Yager introduced Radeen Hagen of KPMG who said that the audit went very
well this year. The auditors were in Hopkins during the months of May and June.
Ms. Hagen anticipates that Lori will receive the Award for Excellence for
accounting practices for 2000. Ms. Hagen reviewed the aspects of the audit
report. Nothing was found to report and there were no big adjustments in the
budget. No adjustments were needed after the audit.
Ms. Yager gave a brief presentation regarding the financial position of the City.
The City is in good financial health.
VI. OLD BUSINESS
1. Variance, Side Yard Setback at 345 - 16th Ave N (CR2001-83)
Jim Kerrigan said that this item was continued from the July 3`d meeting.
The applicant is requesting a setback variance of three and one half feet.
The current setback is five feet from the property line. The applicant would
like to go to one and one half feet from the property line. [Steve C. Mielke]
Staff recommended denial based upon a finding of no hardship. The Planning
Commission also recommended denial.
July 17, 2001 City Council Meeting Minutes Page 2
Steve Stadler gave a brief report on the impact of reducing 4th St S from 66 feet to
60 feet. His reasons for recommending the retention of the full right-of-way were:
1) future lost revenue in the event the street would qualify as a State Aid street
(550,000 over a period of 20 years); 2) the possible need for changing 4th St S to a
collector street; and 3) the cost of filing legal descriptions for all the lots along the
right-of-way.
Mr. Brandel appeared and said that he would be happy at this time with a one and
one half foot variance. An eight and one half foot addition would not be
esthetically pleasing or usable. Don Johnson, a neighbor came forward and said
that Mr. Brandel has done a lot to the home since he bought it and has greatly
improved the appearance of the neighborhood. He felt that the request should be
granted.
Jim Gartner, 4th St S and 16th Ave S, said that Mr. Brandel is always working on
the property to improve the appearance.
Mr. Halstad came forward to say that he owns rental property in the City and
owners are always trying to find ways to add value to their properties. He
encouraged Council to allow the variance.
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Council Members discussed the difficulties of allowing a variance with no hardship.
Mr. Kerrigan said that the City is under obligation to follow the State Statutes. The
City has been responsive to the issue by lowering the set back requirements from
eight feet to five feet. A five-foot setback is a very small setback. State Statutes
dictate that there has to be a hardship that is unique to that property. Staff and
Council understand that there are personal issues, but Statute does not recognize
that as a hardship. The fact that the variance would be one foot or five feet has
no bearing according to the Statute. There has to be something unique about the
property that causes that property to be not usable under the regulations.
Council Member Jensen said that common sense should take precedent over
ordinances and statutes and that she favored granting the variance.
Council Member Hesch said that she had hoped that there would be more tools
made available to allow the construction to go ahead. Usually a hardship can be
found.
Council Member Johnson moved and Council Member Brausen seconded a motion
to adopt Resolution 01-41, denying aside-yard variance at 345 - 16th Ave N. A
poll of the vote was as follows: Council Member Brausen, aye; Council Member
Jensen, nay; Council Member Hesch, nay; Council Member Johnson, aye; Mayor
Maxwell, aye. The motion carried.
July 17, 2001 City Council Meeting Minutes Page 3
VII. NEW BUSINESS
1. Indemnity Agreement, Scherer Brothers Lumber (CR2001-83}
City Attorney Jeremy Steiner said that his agreement is the result of the pending
sale of Justus Lumber Company. Justus is selling the business, not the buildings
at this time. Scherer Brothers will be leasing the property. The agreement will
commit the City of Hopkins to certain obligations relative to environmental
contamination on the Justice Lumber property and will provide for specific
protection for the City relative to investigation of the site. The property was a
manufactured gas plant site and a burn and fill refuse site, owned and operated by
the City of Hopkins. In the 1970s, the property was purchased by Justus Lumber.
If the City has contaminated the site, the City has a potential liability. The City
acknowledges that liability in this agreement. The agreement will make Scherer
Brothers accountable for any contamination that occurs after the agreement is
signed. The indemnity agreement provides a very specific and time limited
indemnity to Scherer Brothers, giving them protection against potential negative
impacts of contamination related issues. If the property is sold, any mortgage
- company will require clean up of the property. Claims cannot be brought for loss
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or interruption of business.
Council Members discussed the agreements and the motion. An agreement with
Justus Lumber is also included, but the motion is specific to Scherer Brothers.
Jim Justus said that he spoke with Mr. Mielke and that Mr. Mielke indicated that
an agreement with Justus would be done at a later date.
Council discussed the fact that the agreement is with Royal Lumber, LLC Royal, but
that Scherer Brothers is not mentioned in the agreement. The attorney
representing Scherer Brothers said that Scherer Brothers are one hundred percent
owners of Royal Lumber, LLC Royal.
Council Member Hesch moved and Council Member Jensen seconded a motion to
approve an indemnity agreement between Scherer Brothers Lumber and Royal
Lumber, LLC Royal, with Scherer Brothers as sole owners of Royal Lumber, LLC
Royal and the City of Hopkins, relative to the property at the corner of Excelsior
Boulevard and 1 1 th Ave, known as Justus Lumber property and directed staff to
amend the agreement to reflect the motion. A poll of the vote was as follows:
Council Member Brausen, aye; Council Member Jensen, aye; Council Member
Hesch, aye; Council Member Johnson, aye; Mayor Maxwell, aye. The motion
carried unanimously.
July 17, 2001 City Council Meeting Minutes Page 4
2. Vacation of Easement, 1 10 Wayside Rd (CR2001-90)
Steve Stadler said that the property owner of 1 10 Wayside Rd has asked that the
City vacate a portion of the drainage and utility easement running along the west
side of Highway 169. Mr. Stadler explained that there is a 16-inch water main and
the embankment rising up to the Hwy 169 sound wall within the easement. The
water pipe is located about 18 - 20 feet from the east easement line, near the
base of the sloped embankment. When the water pipe needs maintenance or
repair, it will be necessary to have room for the excavation plus equipment and
trucks on the west side of the pipe. The east side of the pipe is the embankment.
Stadler explained that the area is unique because of the adjacent Hwy 169
embankment and that the entire width of the easement would be necessary in
order to have adequate room on the west side of the pipe to perform
maintenance/repair. Stadler showed a drawing that illustrated the edge of a typical
excavation to this pipe would be 7-8' from the wall of the applicant's proposed
storage building. He contended that this was insufficient space for future pipe
maintenance.
Dan Latham, the applicant, appeared. Mr. Latham said that his contractor said that
the easement is excessive.
In response to Council's questions, Steve Bot said that an ordinance, first and
second reading, along with a public hearing to notify utilities would be required to
do the vacation.
Council Members discussed the distance. Council Member Brausen said that he
would like to take a closer look at the site before he makes a decision. Mayor
Maxwell suggested that they continue the request until they can take a closer look
at the property.
Council Member Jensen moved and Council Member Johnson seconded a motion
to continue the item to the August 8'h meeting. A poll of the vote was as follows:
Council Member Brausen, aye; Council Member Jensen, aye; Council Member
Hesch, aye; Council Member Johnson, aye; Mayor Maxwell, aye. The motion
carried unanimously.
3. Adoption of the Capital Improvement Plan (CIP) (CR2001-87)
Adoption of this plan will allow staff to begin efforts to implement 2002 projects
by including them in the 2002 budget process. The CIP is a planning document
July 17, 2001 City Council Meeting Minutes Page 5
intended to help the City anticipate major capital items and to consider the financial
impact of proceeding with those planned improvements.
The plan outlines funding implications if all projects are implemented. Necessary
funding changes have been anticipated as part of this plan and are recommended
along with the plan. Ms. Yager reviewed the elements of the plan.
Steve Stadler said that all those who would be affected by the projects in 2002
were notified that Council would be considering the plan at this meeting. He had
one call as a result of the letter questioning the approximate amount of an
assessment. Mr. Stadler also said that the Shady Oak Pond improvement would be
moved to 2003 so that work could be done in conjunction with Hennepin County's
improvements to Shady Oak Road, that the alley project would not include the alley
in the 300 block between 5th and 6th Aves N, and Storm Water Management
Projects will be moved out to 2003.
Mayor Maxwell added that the CIP is a planning document, not implementation
action. Additional approvals are necessary for projects to proceed.
Council Member Jensen moved and Council Member Hesch seconded a motion to
adopt the 2002-2006 Capital Improvements Plan with amendments made by Mr.
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Stadler. A poll of the vote was as follows: Council Member Brausen, aye; Council
Member Jensen, aye; Council Member Hesch, aye; Council Member Johnson, aye;
Mayor Maxwell, aye. The motion carried unanimously.
4. Adopt Equipment Replacement Plan (ERP) 2002-2006 (CR2001-88)
Lori Yager said that the Equipment Replacement Plan (ERP) is a detailed summary
of the next five years of a twenty-year replacement plan. Ms. Yager reviewed the
plan. Ms. Yager said that after forecasting the future needs of the general and
special revenue funds, it has been determined that a service charge increase of
S 10,000 will be needed to help level off the need for larger increases in the future
and also sustain the equipment fund until 2020.
Mayor Maxwell said that this is also a plan and that further approvals will be
needed.
Council Member Brausen moved and Council Member Johnson seconded a motion
to adopt the 2002-2006 Equipment Replacement Plan. A poll of the vote was as
follows: Council Member Brausen, aye; Council Member Jensen, aye; Council
Member Hesch, aye; Council Member Johnson, aye; Mayor Maxwell, aye. The
motion carried unanimously.
VIII. ADJOURNMENT
July 17, 2001 City Council Meeting Minutes Page 6
Mayor Maxwell announced that Dick Wilson, formerly with the Park and Recreation
Department for over thirty years, passed away this morning.
Mayor Maxwell also thanked the Public Works Department for the good job that
was done with the Raspberry Festival and also thanked all those who participated.
The parade and Family Days were a great success.
Jim Genellie said that the reason that the Human Rights Commission did not appear
tonight was because they would like to formally thank those who participated in
the Heritage Celebration. There was not enough time to get a resolution ready for
tonight. Mr. Genellie said that the Heritage Celebration was a big success.
In response to Council Member Johnson's statement, Steve Stadler reviewed the
water ban and the reasons for it.
There being no further business, Council Member Johnson moved and Council
Member Brausen seconded a motion to adjourn the meeting. The meeting was
adjourned by unanimous consent at 9:45 p.m.
Respectively Suby~ted,
rry Ob~iaier, City Clerk
ATTEST:
Eu ne .Maxwell, Mayor
July 17, 2001 City Council Meeting Minutes Page 7
COUNCIL MEMBERS