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09-11-01 WSSeptember 11, 2001 Page 1 MINUTES CITE' C®UNCIL W®RK SESSI®1!T -SEPTEMBER 11, 2001 A work session of the Hopkins City Council was held at 6:30 p.m. on September 11, 2001, at the City Hall. Council members present were Mayor Maxwell and Council members Brausen, Hesch, Jensen and Johnson. City personnel present were City Manager Mielke, Assistant to the City Manager Stahmer, Assistant City Manager Jim Genellie, Police Chief Reid, Captain James Liddy, City Attorney Wynn Curtis, police officer Darin Hill, Economic Development Director Kerrigan, City Attorney Jerre Miller, Diane Goings of Records, Martin Ledbetter as acting vice president of the Hopkins Police Association, Patrol officer Craig Krieling, and Housing Coordinator Kersten Elverum. Also present were Terry Herberg (representing the sergeants' LELS union), Mary McGlinch of SuperValu, John Vegter of SuperValu, CETOM attorney Lonny Thomas, Sid Inman of Ehlers & Associates. Police Civil Service Commission Abolishment Chief Reid provided a brief history of the evolvement of CSC's. He said nowadays most cities have abolished theirs as collective bargaining units have basically taken over the reasons for their establishment. Hopkins has 4 bargaining units in its police department, an unusually high number. Their policies and that of the CSC are sometimes in conflict and often duplicate each other. His biggest problem with keeping the CSC, however, is that it slows hiring down, leaving Hopkins without the ability to get the prime candidates for the force, noting that the dispatch position of May 2000 is still unfilled. He said the CSC has basically "rubber stamped" every decision he and Captain Liddy make. The only group that CSC has a special benefit for is veterans who feel they have been disciplined unfairly, and there is an alternate mediation system to replace that. In fact, since the 1980's the CSC has never been used for suspension or termination hearings. City Attorney Curtis commented he had looked at the collective bargaining agreements now in place and the CSC offers nothing better. Police officer Darin Hill said he has no problem with CSC being taken out of the hiring practices. His concern is what happens if he has to shoot someone. CSC has a policy in place for that. He feels that something in writing should be given to the force and their unions to study before being asked to agree to abolishment of an option now open to them in such an event. Chief Reid said he had asked the force to let him know what they wanted in a letter of intent; the dispatchers were the only unit to reply. Mr. Herberg of LELS said he had noted that CSC rules say a person who has to take leave, etc. , must be returned to his former position; the contract does not say that. He had not known he was to supply a letter. The sergeants realize hiring needs to be streamlined, but want to see it done by keeping "in the system." Diane Goings of Records said she recognizes CSC makes hiring cumbersome, but feels the dispatcher replacement problem has been due more to the hiring market than the CSC. Records is not represented by a union, but belongs to a bargaining unit that is made up mostly of non-police members. CSC requires 6 weeks' notice, layoffs by seniority, CSC would give a free method for mediation otherwise September 11, 2001 Page 2 unavailable to her as she is non-union and would have to pay for an attorney. Mark Ledbetter of the Hopkins Police Association said his group was uneasy because they had nothing in writing to take to their attorneys. Drafting their own ideas would create too many billable hours for their union. His union is also against any addition to their contract outside of the official negotiating period. Craig Krieling agreed with Mr. Ledbetter that he felt the city should draft something to show the police staff, not expect the bargaining units to write something first for the city. Attorney Curtis said the problem has been that CSC is established by statute, and is "all or nothing," one cannot eliminate only parts of it. However, he feels the goal of streamlining hiring while keeping the CSC pluses could be reached by ordinances. Mr. Mielke said he felt an appeals board much like CSC might be the answer. Mr. Curtis noted some details may take work, for example seniority rehire has a 2 year window in CSC, but only 3 bargaining units have it in their contracts. The issue is does everyone want everything but hiring to be put in ordinance form. Ms. Hesch and Ms. Jensen emphasized they wanted the police force to feel protected and appreciated, but felt not being able to hire the best candidates because of the slowdown of hiring due to the CSC was their issue. Ms. Hesch asked how soon a draft of an ordinance that replicated CSC except for hiring issues could be drafted; could it be done by the second voting meeting of the Council in December before Council make-up might change. Mr. Genellie noted he would need to check out if the appeals board portion would be legal. General Consensus: City Manager Mielke will oversee the development and analysis of an ordinance to take the place of the present process, involving all divisions in the working out of such an ordinance. The ordinance should basically reflect the CSC except for involvement in the hiring process. Rezoning of Knox Property Mr. Mielke said on August 8, 2001, the Council had approved the first reading to rezone the Knox site from Industrial to Business Park. CETOM Attorney Thomas asked the rezoning be continued to allow Knox more time and this was done. Now SuperValu is interested in purchasing the property for a truck maintenance facility. Conditional rezonings are illegal; it cannot be rezoned on the condition SuperValu buy the property. If the Council determines the site should be left as industrial, the Comprehensive Plan would need to be amended to Industrial zoning for the site. City Attorney Miller said it is now I-2 and if that is kept, compliance ("same or similar") means the full list of I-2 uses would be open in the future. Mary McGlinch of SuperValu said their intended use is fleet maintenance, some office space, and miscellaneous storage now at 101 Jefferson as most of North Annex has moved there. They have tried to acquire EPCO and General Resources. The Knox lease expires with their bankruptcy. Mr. Vegter added the Knox building would be kept as it is except for larger doors. The Duke area would be used for truck parking so the canopies over the lumber area would be removed. CETOM Attorney Thomas said the liquidation deadline is October 15. Ms. McGlinch said SuperValue wonders if the Council would give them anon-transferable CUP. Answering Ms. Johnson, Mr. Kerrigan said noise would have to meet ordinance levels and Mr. Mielke said screening would be required. City Attorney. Miller said the new legislation is that September 11,.2001 Page 3 once anon-conforming use is discontinued after 1 year it can not be reinstated. Mr. Kerrigan said this leaves a "window" when someone other than SuperValu could come in with any I-2 use. One solution might be to make a new I-3 classification that would allow only truck maintenance. Also it could be CUP approved with conditions as to noise level, landscaping Answering Ms. Hesch, Ms. McGlinch said the lease with CETOM would be 10 years with multiple renewable options. Answering Mr. Mielke, Attorney Miller said once CUP conditions were put in place, if a business there ceases, assuming no distinctive changes, the same CUP would need to apply. A CUP should not be considered until CETOM and SuperValu have alandlord/tenant agreement. Mr. Kerrigan said one consideration is that other properties have been changed from industrial to business park and since this has had its first reading, other property owners may react adversely. Ms. Hesch said she felt this was a Z&P issue. Mr. Mielke said at the second reading it could be sent back to Z&P. General Consensus: This should be presented at the next Z&P meeting for a concept review. City staff shall find out what CUPs could do and not do. The second reading the first week of October shall include Z&P input, but it is understood the Council may not take action on it. Staff shall check out rezoning and nonconforming uses allowed. East CBD Project Discussion Update on Property Purchasing. Mayor Maxwell said Luthers seem to be hanging onto their figure, but he has not been able to talk to David Luther personally. The appraisal is $317,000; the city is willing to go to $370-390,000; Luthers are asking $430,000. Ms. Hesch said she thinks eminent domain proceedings may be needed. Mr. Kerrigan noted if Hopkins pays Luthers' price, it will lose negotiation ability with others. Mayor Maxwell was called out of the meeting and left. General Consensus on Property Purchase: David Luther must be contacted personally; if a reasonable agreement cannot be reached, eminent domain proceedings should be started by asking the city attorney to draft condemnation papers the first week of October. Discussion of Developers: Ms. Elverum said Cornerstone had called her saying they were willing to take less return to get the job. She felt Beard had not responded to what they were asked for. Mr. Kerrigan said he felt his department could work with either developer. A summary of Council member comments on the developers follows. Pro Beard: familiarity, known retail--restaurant (2 persons), track record, trust, responsive to city requests, understand what best for Hopkins. Con Beard: didn't know where going, didn't like what showed (2 persons), money source (2 persons), housing component, choosing him may be seen as city favoritism. Pro Cornerstone: new influence, creativity, thoroughness of presentation, healthy competition, housing has more character, tax base increment higher, liked the architect. Con Cornerstone: no history with Hopkins, unknown retail, financing, "spinning dreams," he stated "never sued" and has, could be strip mall, not comfortable with Pfefferkorn. There was discussion of the attempt of Beard to work with Cornerstone. City Attorney Miller said neither he nor Attorney Steiner had been contacted by Mr. Ganst as Ms. Hesch was told. The indemnification agreement he was shown was totally one-sided for Beard, not mutual. All members agreed they wanted upscale residential mixed with retail, with all but Ms. September 11, 2001 Page 4 Hesch wanting owner-occupied, and Ms. Jensen wanting a mix of owner- and rental-occupied. Mr. Inman said the city could have right of first refusal for any transfers. Ms. Jensen said she wanted to see concept drawings of the outside of 7"' from each one. Ms. Hesch suggested that Cornerstone could be accepted without Pfefferkorn. General Consensus: At this point there is no consensus on which developer should be chosen. One difficulty is the partners involved with the main developers. There will be a brief work session on this issue on Sept. 18 at 6:30 p.m. before the HRA meeting. Other Mr. Mielke handed out e-mails from last week's Citizens' Academy as well as an outline for city manager evaluation. The meeting adjourned on motion by Ms. Johnson and second by Ms. Jensen at 10:30 p.m. Kasey Kester, Secretary ATTEST: s~`~r's Eugene J. axwell, Mayor