City Council
Regular MeetingOwatonna, MN · March 20, 2018
Minutes
Owatonna City Council Minutes
The Owatonna City Council met in regular session on Tuesday, February 20, 2018 at 7:00 p.m. in Council
Chambers. Council President Schultz called the meeting to order and welcomed everyone in attendance.
Attending were Council Members Voss, Schultz, Dotson, Burbank, Svenby, and Raney; Mayor Kuntz;
Community Development Director Klecker; Public Works Director Skov; City Attorney Walbran; City
Administrator Busse and Administrative Specialist Clawson. Council Member Okerberg was not present.
Following the Pledge of Allegiance, Council Member Dotson made a motion to approve the agenda as
presented, Council Member Svenby seconded the motion; all members present voted aye in approval.
Council President Schultz explained council members review the Consent Agenda Items prior to the
meeting for approval in one motion. Consent Agenda Items for approval include:
Minutes – Council Meeting February 5, 2018.
Event Permit – Jeff Kath Memorial: Good Golly Ms Molly May Fest – May 19, 2018.
Temporary Liquor Permit – Owatonna Elks – Jeff Kath Memorial – May 19, 2018.
Exempt Permit – Sacred Heart Church – Raffle at SCFF – August 14-16, 2018.
Exempt Permit – St Joseph Church – Raffle at SCFF – August 17-19, 2018.
Event Permit – National Day of Prayer – May 3, 2018.
Human Rights Commission – January 9, 2018.
Library Board Meeting – December 19, 2017.
Library Board Meeting – January 16, 2018.
Airport Commission Meeting – January 11, 2018.
Park & Rec Board Meeting – February 12, 2018.
Council Member Burbank made a motion to approve these Consent Agenda Items, Council Member Voss
seconded the motion; all members present voted aye in approval.
Vice President Raney recapped the expenses for the period. Bills presented for payment totaled
$513,868.56. Council Member Dotson made a motion to approve these payments; Council Member Voss
seconded the motion; all members present voted aye for approval.
Community Development Director Klecker presented Conditional Use No. 1398 (C-1398); a request from
Stadheim Properties of Owatonna, LLC for a self-storage facility at 1210 Frontage Road East. The current
building will be converted to climate controlled storage units on both levels. The Planning Commission
held a public hearing on this request and are recommending approval with the following conditions:
1) Any additional uses, such as automobile sales, exterior storage, and similar uses on the property
shall require an amendment to the conditional use permit.
2) All signs shall have a sign permit prior to being erected.
3) No freestanding sign will be permitted in the SE corner of the property without first obtaining
the title to the area.
Council Member Svenby questioned if the area along the southwest portion of the property remained
right-of-way after the 2013 street improvement project on 12th Avenue NW. Klecker explained this
property was not included in the vacated right-of-way properties. Council Member Svenby made a
motion to approve C-1398 with the three conditions recommended by the Planning Commission,
Council Member Burbank seconded the motion; all members present voted aye for approval.
Community Development Director Klecker presented Conditional Use No. 1399 (C-1399); request
from Nathan and Arianna Finholdt to allow an automobile repair facility at 435 26th Street NE. The
applicants are proposing to convert a former gas station and car wash to an automobile repair shop
with a retail/office space on the north side of the building. The repair area will have three bays, each
capable of holding two vehicles. They plan to offer full auto engine repair but no auto body work.
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February 20, 2018
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The Planning Commission held a public hearing for this at which three items were discussed in detail:
access; additional screening and operations. The Planning Commission is recommending approval of
C-1399 with these five conditions:
1) All signs shall have a sign permit prior to being erected.
2) The applicant shall have until May 31, 2020 to remove the easternmost access on the property.
This area shall be restored to match the surrounding area.
3) The applicant shall apply for work in the right of way permit prior to performing the work.
4) The applicant shall stripe a total of 18 off street parking stalls on the property to meet the parking
requirements.
5) Inoperable vehicles shall not be stored on the property.
Nathan Finholdt and council discussed these recommended conditions; Finholdt assured council he
plans to keep an orderly shop and not have junk lying about. Council Member Raney made a motion
to approve C-1399 with the conditions recommended by the Planning Commission; Council Member
Dotson seconded the motion, all members present voted aye for approval.
City Attorney Walbran presented the first reading of Proposed Ordinance 17-15 to amend §94.095 which
governs use of sidewalks to prohibit the placement of garbage bins on public sidewalks in the Central
Business District and, further, to provide that certain sidewalk amenities such as tables, chairs, and planters
are permitted. The City has received a number of complaints about owners and tenants of property in the
Central Business District storing garbage bins on public sidewalks adjacent to their properties on days other
than the days allowed for collection of garbage. Council questioned how this would be enforced and if
business would be permitted to place their garbage bin out for early pick up the following morning.
Community Development Director Klecker explained the ordinance amendment serves as the first step to
change current practices; businesses will be forced to look at what options they have. Council Member
Svenby asked if there is a standard width required for pedestrian traffic. City Attorney Walbran will review
for consideration prior to the second and final reading of this proposed ordinance. Council Member Raney
made a motion for approval; Council Member Svenby seconded the motion. With a roll call vote, voting aye
were Council Members Svenby, Voss, Dotson, Burbank, Raney and Schultz; there were no ayes so the
motion was approved. The second and final reading for Proposed Ordinance 5-17 will be heard during the
next council meeting on March 6, 2018.
Public Works Director Skov presented Resolution 12-18 to approve the repair and order plans and
specifications for the 2018 Street and Utility Project. Action on this resolution was tabled during the last
council meeting. Skov advised he is proposing to proceed with the project as originally proposed, a
bituminous pavement reconstruction on Mill Street from Cedar to Oak; Caleta Place NE and on Hemlock
Avenue from 16th Street to 20th Street. He reviewed the street rating on Caleta Place NE, a low score of 35
and an aerial photo confirms this street needs repair. OPU reviewed the project plans and advised they are
unaware of any service issues. Council Member Dotson made a motion to approve Resolution 12-18,
council Member Burbank Seconded the motion; all members present voted aye in approval.
Public Works Director Skov presented Resolution 16-18 to accept the bids and award the contract for the
2018 Crack Sealing Project. Four bids were received; Pearson Brothers, Inc. of Hanover MN considered
the lowest responsible bidder with a bid or $252,602.00. Council Member Dotson made a motion to
approve Resolution 16-18, Council Member Voss seconded the motion; all members voted aye for approval.
Public Works Director Skov presented Resolution 17-18 to accept the bids and award the contract for the
2018 Downtown Stormwater Improvement Project. This project will construct two temporary holding
basins on city owned property by the library to reduce the water ponding on the street between the post
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February 20, 2018
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office and the library. Bids were received from eight companies with James Brothers Construction
submitting the low bid of $143,795.26. Council Member Raney made a motion to approve Resolution
17-18, Council Member Burbank seconded the motion; all members present voted aye in approval.
Public Works Director Skov presented Resolution 18-18 authorizing preparation of plans and specifications
for the 2018 project for Mosher Avenue Sanitary Sewer Replacement. The sanitary sewer in Mosher
Avenue from McKinley Street to approximately 1,500 feet north is undersized and in poor condition. This
repair project will replace the existing 10” line with an appropriately sized 12” sanitary sewer line. Council
Member Svenby made a motion to approve Resolution 18-18, Council Member Dotson seconded the
motion; all members present voted aye in approval.
Public Works Director Skov presented Resolution 19-18 approving plans and specifications and ordering
bids for a repair to McKinley Street. The concrete parking panel on the north side of McKinley Street
between Elm and Cedar Avenue has sunk resulting in an unsafe condition on the parking panel and on the
sidewalk. This project will include replacement of the concrete parking panel, concrete curb and a new
concrete sidewalk on the north side. There are no assessment for this project; however, the School District
has agreed to pay $20,000 toward repairing this sidewalk area which they use to transfer students between
buses. Council Member Burbank made a motion to approve Resolution 19-18, Council member Dotson
seconded the motion; all members present voted aye in approval.
Community Development Director Klecker requested approval of a Letter of Support for the USDA Rural
Development Mortgage Program. The USDA is currently reviewing the City’s eligibility for this program
and accepting public comments until February 28, 2018. This USDA program is desirable, it allows a 0%
down payment and has higher income qualifications than other loan packages. The next mortgage option
is an FHA mortgage, which requires a 3.5% down payment and carries a household income cap $25,000
lower than the USDA program. Local mortgage brokers estimate 20% - 30% of the loans they
process use this USDA program. Last year 88 mortgages for properties within the City were processed
using this program with a total value of over $12,000,000. Council Member Dotson asked if there was
any data regarding mortgage defaults of homeowners using this USDA program. Klecker responded the
number of all defaults are low, the mortgage brokers say this is a frequently used and highly successful
mortgage program. Council Member Raney made a motion approving a Letter of Support be sent,
Council Member Voss seconded the motion; all members voted aye in approval.
During Public Comment, Roger Wacek, 464 Vine Street thanked City Administrator for her letter in response
to his previous suggestions to reduce the cost of employee health insurance premiums and then distributed a
pamphlet for the Principles of Healthy Diets to encourage healthy choices.
During Council Comments, Council Member Svenby thanked the City’s street crew for their work sanding
the icy streets on President’s Day.
At 7:45, Council Member Raney made a motion to adjourn the meeting. Council Member Dotson seconded
the motion, all members voted aye and the meeting adjourned.
Dated: February 21, 2018 Respectfully submitted,
Jeanette Clawson, Administrative Specialist
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