City Council

GLENCOE CITY COUNCIL MEETING MINUTES MAY 21, 2018 7:00 P.M. Mayor Wilson called the regular meeting of the city council to order at 7:00 p.m. Members present: Schrupp, Alexander, Robeck, Ziemer and Neid. Also present: City Administrator Larson, City Attorney Ostlund, Finance Director Trippel, Ass’t City Administrator Ehrke, Public Works Directors Schreifels and Voigt, and Police Chief Raiter. PLEDGE OF ALLEGIANCE AND MOMENT OF SILENCE CONSENT AGENDA Councilor Alexander motioned approval of the consent agenda. Councilor Ziemer seconded. All members voted in favor. A. Approve the minutes of the regular meeting of May 7, 2018. B. Approve the following building permits: 1. Arnold Brinkmann, 1305 Dogwood Ave N; Shed 2. John Glawe, 214 18th St W; Window 3. Don Severson, 508 Abby Lane; Remodel Garage 4. Jeremy Siers, 102 Wacker Dr; Deck Rebuild 5. Jose Amaya, 1430 Owen Ave N; Re-roof 6. Lloyd Eastling, 522 7th St E; Mechanical Permit 7. Marge Posusta, 1601 Newton Ave N; Re-roof 8. Lisa Lewin, 1612 Knight Ave N; Re-roof 9. Bruce Miller, 1313 20th St E; Re-Roof 10. Greg Wedin, 1703 Fairway Dr; Window Replacement 11. Larry Clausen, 1106 Abbott Ave N; Re-side 12. Jerry Paul, 706 Ford Ave N; Re-Roof Garage 13. Ray Howell, 2004 12th St E; Re-Roof Garage C. Approve the following licenses: 1. Shopko, Retailer’s Fire Works Permit PUBLIC HEARINGS: None Scheduled BIDS AND QUOTES: None Scheduled A. SUPPLEMENTAL LETTER AGREEMENT WITH SEH FOR 14TH STREET EXTENSION/PANTHER HEIGHTS APARTMENTS City Administrator Mark Larson presented the Supplemental Letter Agreement with SEH for proposed services for feasibility report, final design, bidding services and construction administration for the 2018 14th Street Extension Project. The street extension is needed for the Panther Heights Apartment Project. The agreement cost is not to exceed $19,800.  Discussion and comments concerned bidding out engineering services for specific projects. SEH has been involved in initial project. The City has committed to constructing the road to keep the project moving along. Councilor Neid motioned approval of the Supplemental Letter Agreement for extension of 14th Street. Councilor Ziemer seconded. All members voted in favor. B. SET BID OPENING FOR DEMOLITION OF 1128 HENNEPIN AVE Councilor Ziemer motioned to set the bid opening for the demolition of 1128 Hennepin Avenue structure for June 14th at 2:00 p.m. Councilor Alexander seconded. All members voted in favor. REQUESTS TO BE HEARD: A. INTER FUND LOAN RESOLUTION NO. 2018-11 FOR PANTHER HEIGHTS LAND PURCHASE Councilor Alexander introduced the following resolution and moved for its adoption, motion seconded by Councilor Neid: RESOLUTION NO. 2018-11 RESOLUTION AUTHORIZING AN INTERFUND LOAN FOR ADVANCE OF CERTAIN COSTS IN CONNECTION WITH TAX INCREMENT FINANCING DISTRICT NO. 3-19. BE IT RESOLVED by the City Council (the "Council") of the City of Glencoe, Minnesota (the "City"), as follows: Section 1. Background. 1.01. The City has approved the establishment of Tax Increment Financing District No. 3-19 (the "TIF District") within Municipal Development District No. 3 (the "Project Area"), and has adopted a Tax Increment Financing Plan (the "TIF Plan") for the purpose of financing certain improvements within the Project Area. 1.02. The City has determined to pay for certain costs identified in the TIF Plan consisting of site improvements/preparation, interest, and administrative costs (collectively, the "Qualified Costs"), which costs may be financed on a temporary basis from City funds available for such purposes. 1.03. Under Minnesota Statutes, Section 469.178, Subd. 7, the City is authorized to advance or loan money from the City's general fund or any other fund from which such advances may be legally authorized, in order to finance the Qualified Costs; provided the loan or advance is authorized by resolution of the City not later than 60 days after money is transferred, advanced, or spent, whichever is earliest. 1.04. The City intends to reimburse itself for the Qualified Costs from tax increments derived from the TIF District in accordance with the terms of this resolution (which terms are referred to collectively as the "Interfund Loan"). Section 2. Terms of Interfund Loan. 2.01. The City hereby authorizes the advance of up to $125,000 from the General Fund or so much thereof as may be paid as Qualified Costs. The City shall reimburse itself for such advances from Available Tax Increment (defined below) together with interest at the rate of [4%], which does not exceed the greater of the rates specified under Minnesota Statutes, Section 270C.40 or Section 549.09 as of the date the loan is authorized. Interest accrues on the principal amount from the date of each tranche.  2.02. Principal and interest ("Payments") on the outstanding Interfund Loan balance shall be paid annually on each [December 31] (each a "Payment Date"), commencing on the first Payment Date on which the City has Available Tax Increment (defined below), or on any other dates determined by the City Administrator, through the date of last receipt of tax increment from the TIF District. 2.03. Payments on this Interfund Loan are payable solely from "Available Tax Increment," which shall mean, on each Payment Date, tax increment available after other obligations have been paid, or as determined by the City Administrator , generated in the preceding twelve (12) months with respect to the property within the TIF District and remitted to the City by McLeod County, all in accordance with Minnesota Statutes, Sections 469.174 to 469.1794, all inclusive, as amended. Payments on this Interfund Loan may be subordinated to any outstanding or future bonds, notes, or contracts secured in whole or in part with Available Tax Increment, and are on parity with any other outstanding or future interfund loans secured in whole or in part with Available Tax Increment. 2.04. The principal sum and all accrued interest payable under this Interfund Loan are pre-payable in whole or in part at any time by the City without premium or penalty. No partial prepayment shall affect the amount or timing of any other regular payment otherwise required to be made under this Interfund Loan. 2.05. This Interfund Loan is evidence of an internal borrowing by the City in accordance with Minnesota Statutes, Section 469.178, Subd. 7, and is a limited obligation payable solely from Available Tax Increment pledged to the payment hereof under this resolution. This Interfund Loan and the interest hereon shall not be deemed to constitute a general obligation of the State of Minnesota or any political subdivision thereof, including, without limitation, the City. Neither the State of Minnesota, nor any political subdivision thereof shall be obligated to pay the principal of or interest on this Interfund Loan or other costs incident hereto except out of Available Tax Increment, and neither the full faith and credit nor the taxing power of the State of Minnesota or any political subdivision thereof is pledged to the payment of the principal of or interest on this Interfund Loan or other costs incident hereto. The City shall have no obligation to pay any principal amount of the Interfund Loan or accrued interest thereon, which may remain unpaid after the final Payment Date. 2.06. Before the latest decertification of any tax increment financing district from which the interfund loan is to be repaid, the City may modify or amend the terms of this Interfund Loan, in writing, by resolution of the City Council, including a determination to forgive the outstanding principal amount and accrued interest to the extent permissible under law. 2.07. The City shall report in its annual report to the State of Minnesota (1) the amount of the Interfund Loan or advance made in a calendar year; and (2) any amendment of the Interfund Loan or advance made in a calendar year. Upon a roll call vote all members voted in favor. Whereupon said resolution was adopted and approved. B. ORDERLY ANNEXATION RESOLUTION NO. 2018-12 FOR PANTHER HEIGHTS City Attorney Mark Ostlund informed the council that during the annexation process the wrong statute number was referenced in Ordinance No. 600. The State of MN Office of Boundary Adjustments caught the error. Instead of starting over with a new ordinance and the three readings required, the State recommended that the City and Helen Township pass a joint resolution approving the annexation, as the Township is not contesting. This resolution will streamline the process as the State confirmed their approval will only take a couple of days after the resolution is passed and sent to them. Councilor Ziemer introduced the following resolution and moved for its adoption. Councilor Neid seconded.  RESOLUTION NO. 2018-12 IN THE MATTER OF THE ORDERLY ANNEXATION BETWEEN THE CITY OF GLENCOE AND HELEN TOWNSHIP PURSUANT TO MINNESOTA STATUTE §414.0325 The complete resolution is on file in the office of the city administrator. Upon roll call vote all members voted in favor. Whereupon said resolution was adopted and approved. Motion to rescind Ordinance No. 600 for annexation of the Panther Heights property by Member Robeck and second by Member Neid. All members voted in favor. C. SOCIAL MEDIA POLICY –PERSONNEL & LEGISLATIVE COMMITTEE Chief Raiter reviewed the Social Media Policy as recommended by the Personnel and Legislative Committee. Policy is based on the League of Minnesota Cities recommended policy language. The scope of the police applies to existing or proposed social media web sites sponsored, established, registered or authorized by the City of Glencoe. The City wishes to establish a positive and informative social media presence. Representatives of the City have the responsibility to use social media resources in an efficient, effective, ethical and lawful manner. The policy provides guidelines and standards for city representatives regarding the use of social media for communication with residents, colleagues and all other followers. Motion to adopt the social media policy as presented by Member Ziemer and second by Member Neid. Members voting in favor of the motion: Neid, Ziemer, Alexander and Schrupp. Robeck entered a no vote. Motion carried. D. AMEND LIQUOR ORDINANCE TO ALLOW BREWERY WITH TAPROOM AND BREW PUBS Assistant City Administrator Dan Ehrke provided some background information on the micro -brewery that will be relocating to Glencoe and opening a brewery with a taproom. Target date for start-up is September 1st. The city liquor ordinance will need to be amended to allow for the licensing of a brewery with a taproom and for brew pubs for on and off sale. The Personnel and Legislative Committee recommended to authorize the City Attorney to draft the necessary changes and prepare the ordinance for approval. Councilor Alexander entered that motion with Councilor Ziemer seconding. All members voted in favor. E. REQUEST TO EXTEND WORK HOURS FOR CENTRAL STORM SEWER PROJECT R&R Excavating is requesting to extend work hours on Central Storm Sewer Project until 9:00 p.m. to take advantage of the longer days. Currently the contract states work hours  of 7:00 a.m. to 7:00 p.m. It is recommended that if too many residents complain that the City reserves the right to cancel the extended hours. Discussion led to a motion approving the extension to 9:00 p.m. and to re-address the extension at an August council meeting for further consideration on the extension by Member Neid and second by member Alexander. All members voted in favor. ITEMS FOR DISCUSSION: A. LEGISLATIVE UPDATE City Administrator Mark Larson stated bonding bill is in the Governor’s hands and needs to be signed! Included is $8.5 million for Waste Water Treatment Plant Project. ROUTINE BUSINESS: PROJECT UPDATES: 10th Street paved by end of week and open to traffic. ECONOMIC DEVELOPMENT: Ass’t City Administrator Ehrke informed the members that Hotel Study is complete and shows the market is favorable for new apartments. Harpels working with developer to have hotel built on their property and another business is interested in locating their business on some of their property also. PUBLIC INPUT: Marlene Robeck Cemetery Board meetings –set quarterly, 2nd Wednesday of the Month – informed her the next meeting is scheduled for June 13th at 9:00 a.m. Cemetery web page – no information posted for cemetery –was informed page is under services/cemetery. Marie Thurn had questions about website policy. REPORTS: Jetter repairs status? At Reviers yet being repaired. CITY BILLS: Councilor Neid motioned approval of payment of the city bills. Councilor Ziemer seconded. All members voted in favor. ADJOURN: Vice President Alexander called for adjournment at 8:02 p.m. Councilor Neid entered the motion. Councilor Robeck seconded. All members voted in favor.