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03-15-05A regular meeting of the Hopkins City Council was held on March 15, 2005, in the Council Chambers of the Hopkins City Hall. _ Present were Mayor Maxwell and Council Members Brausen, Thompson, Johnson, and Rowan. Also, present were staff members Getschow, Stadler, Bradford, Kerrigan, Anderson, and City Attorney Jerry Steiner. I. CALL TO ORDER Mayor Maxwell called the meeting to order at 7:30 p.m. II. OPEN AGENDA -PUBLIC COMMENTS AND CONCERNS There were none. III. REPORTS -COMMITTEES/COMMISSIONS 1. Chemical Health Commission No one appeared on behalf of the Chemical Health Commission IV. CONSENT AGENDA 1. Minutes of March 1, 2005 City Council Meeting 2. Minutes of March 1, 2005 City Council Work Session 3. Second reading of Ordinance 2005-941, used car lots; (Memo) -Anderson 4. Second reading of Ordinance 2005-944, fireworks sales from temporary structures; (Memo) -Genellie 5. Second reading of Ordinance 2005-945, dog licenses; (Memo) -Genellie 6. Resolution, Bridging the water Gap; (Memo) -Genellie 7. License agreement Henn Co digitized data; (CR2005-037) -Bradford Council Member Brausen moved and Council Member Rowan seconded a motion to approve the Consent Agenda. A poll of the vote was as follows: Council Member Brausen, aye; Council Member Thompson, aye; Council Member Rowan, aye; Council Member Johnson, aye; Mayor Maxwell, aye. The motion carried unanimously. V. PUBLIC HEARING 1. Right-of-way vacation, Goodrich Road; (CR2005-037) Council member Rowan stepped down. There is a resident interest in the vacations of certain unimproved alley rights of way and the vacation of a portion of the 80' wide Goodrich Street right-of-way. Staff has discussed these vacations with City Council at a work session and sent notice of the public hearing to all affected property owners and public utility companies. Minnesota March 15, 2005 City Council Meeting Minutes Page 1 State Statutes allow cities to vacate public rights-of-way when they have determined it to be in the best interest of the public. In accordance with City Charter and Minnesota State Statutes the vacations are accomplished by resolution and ordinance after a public hearing is held. Steve Stadler reviewed the plans. He stated that he has received some public input on Goodrich Street, stating it is unique to the neighborhood and its historic character. There is a difficulty where one driveway crosses over another driveway to the garage. There is also concern about whose responsibility it will be to pay for tree removal because of the number of Elm trees there are in the areas that will be vacated. Mayor Maxwell opened the public hearing at 7:48 pm. Bill Ellerbrock of 205 and 207 - 21 s` Avenue North asked about private property encroachments that have been extended into and beyond the current ROW. Mr. Stadler responded that the city would not be involved in these issues. Dale Specken of 205 - 20`" Avenue North stated that one of the driveways that were mentioned by Mr. Stadler is his driveway and that four property owners are involved. He is concerned about how the issue will be resolved. There was discussion about the responsibility for the tree maintenance. Council member Brausen moved and Council member Johnson seconded a motion to close the public hearing. The public hearing was closed by unanimous consent at 8:10 pm. Mayor Maxwell stated that these issues need to be addressed before a decision can be made. Council member Johnson moved and Council member Brausen seconded a motion to continue the Right-of-Way vacation of Goodrich Road to April 5. A poll of the vote was as follows: Council Member Brausen, aye; Council Member Thompson, aye; Council Member Johnson, aye; Mayor Maxwell, aye. The motion carried unanimously. Council member Rowan returned to the meeting VI. NEW BUSINESS 1. Site Plan Review, SuperValu (CR20O5-025) SuperValu is proposing to construct a 120,000-square-foot addition to the existing building at 300 Second Avenue South. The proposed addition will be located on the south side of the existing building. SuperValu is proposing to remove the existing fence, and construct a new fence that would meet the requirements of the Fire March 15, 2005 City Council Meeting Minutes Page 2 Marshal if the neighborhood wants the fence replaced. When the existing building was constructed, a height variance was granted. If the building addition is to match the existing building, a height variance will have to be granted. There will be no dock doors, truck traffic, yard noise, tractor/trailer fumes/noise on the South side of the new addition. The only lighting on the south side will be lighting above the fire doors. SuperValu brought additional plans showing landscaping and berming on the south side. Nancy Anderson reviewed the proposed addition to SuperValu. Janel Haugarth, SuperValu Northern Region; Bob King, Facilities Manager; and Linda Fisher, Larkin Hoffman, appeared before the Council to represent SuperValu. They reviewed the site plan and landscaping plans, and explained that the additional height is needed to accommodate new technical equipment SuperValu wishes to purchase that will automate and make loading the semis that transport their products more efficient. The following residents appeared before the Council and spoke in opposition to the height variance: • Kathy Undestad, 408 Seventh Street South • Sandy Lien, 629 Sixth Avenue South • Roger Peterson, 513 Fifth Avenue So • Mike Reinitz, 533 Fifth Avenue So • Mel Wolter, 605 Fifth Avenue So • Helen Lovingfoss, 538 Park Valley Drive E • Curt Wellumson, 605 Park Valley Drive W • Pam Tanaka, 606 Park Valley Drive E • Eli VanLuyk, 618 Park Valley Drive E • Craig Hinricks, 621 Park Valley Drive E • Ruby Olson, 625 Fifth Avenue So • Steve Olson, 215 Maple Hill Road Sandy Lien read a letter from the following resident: • Steven and Casey Berquist, 509 Park Valley Drive E Additional petitions were also given to the Council from residents who are opposed to granting the variance. The following residents appeared before the Council and spoke in support of granting the height variance: • Frank Peters, 513 Park Valley • Fran Hesch, 246 Fifth Avenue No March 15, 2005 City Council Meeting Minutes Page 3 There was discussion about what options are available to move the planned expansion to another part of the building. Jeremy Steiner agreed to petition to have the deadline for the application extended an additional 30 days. Council Member Rowan moved and Council Member Johnson seconded a motion to continue the SuperValu site plan review and height variance to April 5, to tentatively schedule a special Zoning and Planning Commission meeting on April 12, and a special City Council meeting on April 13. A poll of the vote was as follows: Council Member Brausen, aye; Council Member Thompson, aye; Council Member Rowan, aye; Council Member Johnson, aye; Mayor Maxwell, aye. The motion carried unanimously. At the point in the meeting, the Council took a 15-minute break. 3. Approving the purchase of a new Fire Department pumper and equipment. Engine 3 was purchased in 1982 and has seen 23 years of service with the Fire Department. The truck was built by Luverne Fire Apparatus and was designed for a 20-year service life. Engine 3 and the equipment on the truck is no longer serviceable as a primary response unit. Dave Klocek reviewed the history of the truck and explained the need for a new truck. It was noted that the total bid was incorrect on the Council Report and the Resolution. The documents will be corrected to read 5402,255.80. Council Member Brausen moved and Council Member Thompson seconded a motion to adopt Resolution 2005-024, Resolution approving the purchase of a new fire department pumper and equipment. A poll of the vote was as follows: Council Member Brausen, aye; Council Member Thompson, aye; Council Member Rowan, aye; Council Member Johnson, aye; Mayor Maxwell, aye. The motion carried unanimously. 4. Approve final plans and order bids, 2005 street and utility improvements and Lot 800 reconstruction (CR2005-039) At the January 18, 2005 meeting, the Hopkins City Council conducted a public hearing concerning street and utility improvements on Madison Avenue North, Madison Circle North and South, Jackson Avenue North, Sunnyside Lane, Van Buren Avenue and Shadyside Circle. Council authorized the project to proceed allowing the preparation of plans and specifications. At the September 16, 2004 meeting, the Hopkins City Council authorized SEH Inc. to prepare plans and specifications for the reconstruction of Parking Lot 800. In order to minimize construction costs, staff is proposing to combine these two projects into a single construction contract to be awarded to a single contractor. March 15, 2005 City Council Meeting Minutes Page 4 The plans are substantially complete and staff now seeks final design approval and authorization to continue to the bidding phase of the project. John Bradford presented the proposal. A bid opening is scheduled for April 12, 2005. There was discussion about plans for grass and plantings. Council Member Thompson moved and Council Member Rowan seconded a motion to adopt Resolution 2005-027, approving plans and specifications and authorizing advertisement for bids 2005 street and utility improvements, and Lot 800 improvements, City project No 04-10, 04-1 1. A poll of the vote was as follows: Council Member Brausen, aye; Council Member Thompson, aye; Council Member Rowan, aye; Council Member Johnson, aye; Mayor Maxwell, aye. The motion carried unanimously. 5. Approve settlement agreement between Ugorets Properties, LLC, and City of Hopkins (CR2005-036) In 2002, shortly after the completion of the Lake Street bridge replacement project a dispute arose regarding the location of the Lake street bridge right-of-way. Ugorets Properties, LLC, the owner of the property directly west and adjacent to the new bridge, asserted that the bridge improvements encroached on its property. After what has been a long process to reach a settlement, staff is requesting that the City Council approve the proposed settlement agreement. Staff last discussed a settlement agreement with City Council at the August 10, 2004 work session. The terms of the settlement agreement are similar to what was presented at the work session. The agreement is contingent upon approval by the City Council of Ugorets application for rezoning the property to "B-1 "and approval of a CUP for office building use. The League of Minnesota Cities Insurance Trust are covering this private action against the City and have provided legal services along with Jerry Steiner, City Attorney. Staff recommends approval of the settlement agreement. Steve Stadler reviewed the agreement for discussion. Council Member Johnson moved and Council Member Brausen seconded a motion to approve the settlement agreement between Ugorets Properties, LLC, and the City of Hopkins. A poll of the vote was as follows: Council Member Brausen, aye; Council Member Thompson, aye; Council Member Rowan, aye; Council Member Johnson, aye; Mayor Maxwell, aye. The motion carried unanimously. 6. PUD Agreement, former Hopkins House Hotel (CR2005-34) Last year a PUD agreement was approved for the redevelopment of the Hopkins House. After the approval of the PUD agreement, the applicant amended his plans March 15, 2005 City Council Meeting Minutes Page 5 and eliminated the townhomes on the east side of the property. The agreement has been modified. As part of the rezoning to R-5 PUD of the former Hopkins House Hotel, a PUD agreement has been drafted. The site will be rezoned R-5 PUD, and the rezoning will allow the redevelopment of the site to 56 condos. The agreement outlines the terms and conditions for this specific development. If for some reason this development does not take place, the site reverts to the base zoning of B-3, General Business. The basic agreement is similar to other PUD agreements that the City Council has approved. The PUD agreement, as presented, was prepared by Jerry Steiner of the City Attorney's office. Nancy Anderson reviewed the agreement and there was discussion. Council Member Rowan moved and Council Member Thompson seconded a motion to approve the PUD agreement for the former Hopkins House Hotel. A poll of the vote was as follows: Council Member Brausen, aye; Council Member Thompson, aye; Council Member Rowan, aye; Council Member Johnson, aye; Mayor Maxwell, aye. The motion carried unanimously. 7. Development agreement, Starbucks (CR2005-035) Last year the City Council approved the construction of a Starbucks Coffee, located on a commercial pad east of the Walgreen's on Highway 7. The agreement outlines the terms and conditions for this specific development. The basic agreement is similar to other development agreements that the City Council has approved. The development agreement as presented, was prepared by Jerry Steiner of the City Attorney's office. Nancy Anderson reviewed the agreement and discussion took place. Council Member Brausen moved and Council Member Rowan seconded a motion to approve the development agreement, Starbucks. A poll of the vote was as follows: Council Member Brausen, aye; Council Member Thompson, aye; Council Member Rowan, aye; Council Member Johnson, aye; Mayor Maxwell, aye. The motion carried unanimously. 8. Resolution supporting Community Development Block Grant (CDBG) program (Memo) President Bush's 2006 budget proposes the elimination of the CDBG program. CDBG funds are the primary source of funding for the City's housing rehabilitation loan and March 15, 2005 City Council Meeting Minutes Page 6 grant program and support many other important projects and services for Hopkins residents. Jim Kerrigan presented the Resolution. There was discussion about whether or not the proposal will be passed by Congress. There is a lot of opposition to the proposal, so the consensus is that it will not be passed. Council Member Thompson moved and Council Member Rowan seconded a motion to adopt Resolution 2005-023, requesting that the State of Minnesota representatives in Congress do not support any legislation reducing or eliminating CDBG funding. A poll of the vote was as follows: Council Member Brausen, aye; Council Member Thompson, aye; Council Member Rowan, aye; Council Member Johnson, aye; Mayor Maxwell, aye. The motion carried unanimously. VIII. ADJOURNMENT There being no further business, Council Member Brausen moved and Council Member Rowan seconded a motion to adjourn the meeting. The meeting was adjourned by unanimous consent at 12:50 a.m. Respectfully Submitted, ~ , ~~ Bish Johns ministrative Assistant ATTEST: Eugene J axwell, Mayor March 15, 2005 Cky Council Meeting Minutes Page 7 COUNCIL MEMBERS