HomeMy WebLinkAbout09-12-11-R--AITEN HILLS
Approved: October 10, 2011
CITY OF ARDEN HILLS, MINNESOTA
CITY COUNCIL REGULAR MEETING
SEPTEMBER 12, 2011
7:00 P.M. - ARDEN HILLS CITY COUNCIL CHAMBERS
CALL TO ORDER/ROLL CALL
Pursuant to due call and notice thereof, Mayor David Grant called to order the City
Council Regular Meeting at 7:00 p.m.
Present: Mayor David Grant; Councilmembers Brenda Holden, Fran Holmes, Nick
Tamble and Ed Werner.
Absent: None
Also present: City Administrator Patrick Klaers; Director of Finance and Administrative
Services Sue Iverson; Parks & Recreation Manager Michelle Olson; Community
Development Director Jill Hutmacher and Deputy Clerk Rebecca Brazys
1. APPROVAL OF AGENDA
Councilmember Holden requested that Item 4B Resolution 2011 -041: Adopting the Special
Assessment Roll for the Lexington Avenue Sidewalk Improvements be removed from Consent.
MOTION: Councilmember Holden moved and Councilmember Holmes seconded a
motion to approve the agenda as amended. Motion carried unanimously (5-
(.1
2. PUBLIC INQUIRIES / INFORMATIONAL
A. State of the City / Celebrating Arden Hills
State of the City
Community Development Director Hutmacher explained that the Council has set as one of its
goals an increased focus and outreach to the business community. She explained that the State of
the City event is a part of that effort. The State of the City event is scheduled for Wednesday,
September 14, 7:30 a.m. to 9:30 a.m. at North Heights Lutheran Church, 1700 West Highway 96.
Councilmember presentations will include the following: City management and the 2012 budget,
upcoming road improvements, park and trail plan, B -2 District Implementation Plan and other
ARDEN HILLS CITY COUNCIL WORK SESSION — SEPTEMBER 12, 2011 2
development projects, and TCAAP development and the stadium proposal. She added that this
event is scheduled to be taped and broadcast on the City's cable channel.
Celebrating Arden Hills
Parks and Recreation Manager Olson reported that the City's fall festival will be held
September 17 from 3:00 p.m. until dusk. There will be events at both the Tony Schmidt Regional
Park and Bethel University. Parking will be available at Bethel from 5:00 to 8:30 p.m., limited
parking at Tony Schmidt Park and Perry Park, with shuttles running to and from venues until after
the fireworks. "Swing into the Parks" will be held at Tony Schmidt Park and will include hay
rides, Ramsey County K -9 demonstration, rock climbing wall, and other activities with fireworks
at dusk. "Swing into the Arts" will be held at Bethel University and will include school and
professional art work. She stated that the City has received $10,000 in sponsorships and that
those donors will receive recognition for their contributions at the festival and in a thank -you
article in the Bulletin after the festival.
B. TCAAP and Stadium Update
Community Development Director Hutmacher stated that in early August, Governor Dayton
directed the Metropolitan Council and the Metropolitan Sports Facilities Commission to evaluate
the stadium proposal. The Metropolitan Council has hired Kimley -Horn to assist with the
evaluation. The report is scheduled to be completed in mid - October. On August 30, Staff was
invited to a meeting at the Metropolitan Council, along with representatives of the Minnesota
Vikings and Ramsey County staff, to discuss the review. Staff has been invited to participate in
weekly conference call updates during the evaluation process.
Community Development Director Hutmacher further explained that last week Staff met with
Greg Mack, Ramsey County Parks and Recreation Director, at which time Mr. Mack updated
Staff on the discussions with the Minnesota Pollution Control Agency and the General Services
Administration on the process for site acquisition and remediation in the event that the stadium
project moves forward. Staff was also invited to a meeting with Ramsey County staff to discuss
the County's ongoing due diligence process.
Community Development Director Hutmacher stated that the City has invited Metropolitan
Councilmember John Doan, along with any other Metropolitan Councilmembers and staff who
are interested, on a tour of the TCAAP site. Regardless of whether the stadium proposal moves
forward, an increased understanding of and familiarity with the site will enable the Metropolitan
Council to better partner with the City to achieve the site's remediation and return to some sort of
productive use.
Councilmember Tamble and Councilmember Werner both expressed their appreciation for the
opportunity to tour the AHATS property recently.
Councilmember Holmes asked if City Staff are being invited to all of the Ramsey County
meetings and if Staff is getting updates from the County.
ARDEN HILLS CITY COUNCIL WORK SESSION — SEPTEMBER 12, 2011 3
Community Development Director Hutmacher stated she believes Staff members are receiving
more updates and more invitations to meetings at the County level and that Staff is being
informed of what is going on.
City Administrator Klaers stated that communications with Ramsey County have vastly
improved.
Public Inquiries / Informational
Pat Kentfield, 4371 Arden View Court, questioned the status of the engineer's report on the
drainage problems at Townhouse Villages.
Finance and Administrative Services Director Iverson responded that all claims related to the
storm damage have been submitted to the City's insurance company and those claims are now
under review. She also reported that the City has entered into a contract with Bolton and Menk
for the engineering study.
City Administrator Klaers reported that MnDOT will be holding an open house regarding the 1-
694 / TH 51 improvements on Thursday, September 15, 3:00 to 6:00 p.m. at City Hall. Also,
MnDOT has been encouraged to contact the major employers in the area to notify them of the
Hamline Avenue closure that is part of the I -694 / TH 51 project.
3. APPROVAL OF MINUTES
A. August 15, 2011, Council Work Session
B. August 29, 2011, Council Work Session
MOTION: Councilmember Tamble moved and Councilmember Holden seconded a
motion to approve the minutes as presented. Motion carried unanimously (5-
0),
4. CONSENT AGENDA
A. Claims and Payroll
B. Motion to approve Resolution 2011 041: Adopting the Special Assessment Roll for
the Lexington Avenue Sidewalk Improvements.
C. Motion to approve 2011 Pavement Management Program Payment #2 to Astech
Corporation in the Amount of $432,730.42
D. Motion to Allow the Director of Finance and Administrative Services to Enter Into a
V7 Addenda and Order Form with Springbrook in the Estimated Amount of $18,860
for the Human Resource, Dashboard, and Business Analytics Modules.
MOTION: Councilmember Holden moved and Councilmember Holmes seconded a
motion to approve the Consent Agenda as amended. Motion carried
unanimously (5 -0).
5. PULLED CONSENT ITEMS
ARDEN HILLS CITY COUNCIL WORK SESSION — SEPTEMBER 12, 2011 4
B. Motion to Approve Resolution 2011 -041: Adopting the Special Assessment Roll for
the Lexington Avenue Sidewalk Improvements.
Councilmember Holden explained that she pulled this item so she would have the opportunity to
explain that the business community is sharing the cost of this project which will provide a
sidewalk from the railroad to Shannon Square.
MOTION: Councilmember Holden moved and Councilmember Holmes seconded a
motion to Approve Resolution 2011 -041: Adopting the Special Assessment
Roll for the Lexington Avenue Sidewalk Improvements. Motion carried
unanimously (5 -0).
7. NEW BUSINESS
A. 2011 Operating Levy Payable 2012 and 2011 Truth -in- Taxation Hearing Date
Director of Finance and Administrative Services Iverson explained that the figures presented
this evening are based on the Council's direction at their August 29th Work Session. The 2012
proposal shows an increase of 3% or $91,300 over the 2011 levy. She stated that the median
home value in Arden Hills decreased 1.16% from $276,000 to $272,800 and the County wide
average decreased 4.01%. The Market Value Homestead Credit (MHVC) was replaced with the
Market Value Exclusion (MVE) program by the State Legislature and this has reduced the overall
taxable value of the City. The preliminary levy is proposed at a 3% increase and public safety
contract costs account for 1.9% of that levy increase. Of the proposed 2012 increase of $31.63 on
the median valued home, $24.01 or 73.9% of the increase is related to public safety contracts. She
stated the City is required to schedule and announce a regular meeting to discuss the budget and
levy. The budget and final levy may be adopted during that meeting after the public hearing. That
meeting must be held between November 24 and December 26 after 6:00 p.m. The County will
mail parcel - specific hearing notices between November 10 and 22. She presented two options for
the Council's consideration with regards to the Truth in Taxation hearing; one being December 5
at 6:00 p.m. and the other being December 12 during the regularly scheduled Council meeting.
The Council is also being asked to approve Resolution 2011 -045 setting the preliminary levy for
taxes payable in 2012 in the amount of $3,132,264.
Mayor Grant explained that the 3% is a preliminary figure which can be lowered but not
increased when the final levy is set. He also commented that currently the City reserves are at
48% which is not in compliance with the City policy of 50 %. He stated that he hopes the 3% levy
rate can come down somewhat but stressed that we must have sufficient funds for the increasing
public safety costs.
Councilmember Holmes asked about the chart on the first page of the memo. She questioned
how the 3% levy increase over 2011 results in a 7% tax rate increase.
Director of Finance and Administrative Services Iverson reviewed the Minnesota property tax
statute and how the calculations are made using Arden Hill's data.
ARDEN HILLS CITY COUNCIL WORK SESSION — SEPTEMBER 12, 2011 5
MOTION: Councilmember Holden moved and Councilmember Tamble seconded a
motion to approve Resolution 2011 -045 Setting the Preliminary Levy for
Taxes Payable in 2012 in the Amount of $3,132,264. Motion carried
unanimously (5 -0).
Council discussed options for the Truth -in- Taxation hearing.
MOTION: Councilmember Holden moved and Councilmember Werner seconded a
motion to set the Truth -in- Taxation Hearing Date for December 5, 2011, at
7:00 p.m. Motion carried (4 -1) Tamble -Nay.
B. Northwestern College Conduit Debt Interest Rate Mode Change
Director of Finance and Administrative Services Iverson explained that in November 2010,
the City issued bonds for the benefit of Northwestern College to finance a portion of the costs of
constructing and equipping the student center. The bonds were originally issued in a short -term
fixed interest rate mode and privately placed with M &I Marshall & Ilsley Bank. The project has
been completed and Northwestern College would like to convert the interest rate on the bonds to a
variable rate of interest that resets on a weekly basis. For tax purposes, this will cause a refunding
of the current bond issue and a re- issuance of the bonds, but it will not affect the City's ability to
issue debt in this calendar year nor will it have any effect on the Presbyterian Homes conduit debt
issue. The Council is asked to approve the interest rate mode change and the reoffering of the
bonds to the public.
Director of Finance and Administrative Services Iverson stated that the City's bond counsel,
Julie Eddington of Kennedy & Graven, and Doug Schroeder of Northwestern College, are present
to answer any Council questions.
Mayor Grant commented that this will result in no cost to the City and no City liability. He then
asked Ms. Eddington what the current bond interest rate is.
Julie Eddington, Kennedy & Graven, explained that bond rates are variable and reset weekly
but she believes the current rate is 1.5% to 2 %.
MOTION: Councilmember Holden moved and Councilmember Tamble seconded a
motion to Approve Resolution 2011 -044 Approving the Conversion of the
City's Adjustable Rate Revenue Bonds (Northwestern College Project), Series
2010, to a Variable Rate Mode; and Approving and Authorizing the
Execution and Delivery of Documents Related Thereto. Motion carried
unanimously (5 -0).
8. UNFINISHED BUSINESS
None
9. COUNCIL COMMENTS
ARDEN HILLS CITY COUNCIL WORK SESSION — SEPTEMBER 12, 2011 6
Councilmember Tamble stated he would like to remind the Council and residents that the
Neighborhood Watch programs help reduce public safety costs and he encouraged participation.
Councilmember Werner asked for clarification on the ribbon - cutting ceremony for McDonalds
as their sign states September 15.
Mayor Grant stated the Council is invited to attend the ceremony on September 14.
Councilmember Holden asked Community Development Director Hutmacher to look into
whether or not Carroll Furniture is actually going out of business. She also stated they currently
have fax too many signs posted.
Councilmember Holden stated the Northwest Youth and Family Services "Taste of NYFS"
event is scheduled for September 29 from 5:30 to 8:30 p.m.
Councilmember Holden stated the MnDOT open house regarding I -694 / TH 51 improvements
is scheduled for Thursday, September 15, 3:00 to 6:00 p.m. at City Hall. She then asked if
MnDOT was receptive to the City's request that they contact local employers.
Community Development Director Hutmacher stated that MnDOT contacted City Staff today
for the contact information for large employers in the area.
Councilmember Holmes stated that she had not seen the speed board on Valentine Road the first
week of school as had been promised.
City Administrator Klaers stated that the City is limited in the number of locations where the
speed boards can be placed. He stated that he would follow -up on Councilmember Holmes'
comment.
Councilmember Holmes commented that the trail from Venus to County Road E2 had been
closed over the weekend so repairs could be made to the trail surface that had been caused by
water damage.
Mayor Grant suggested that Shoreview be made aware of the upcoming road closures in Arden
Hills.
Mayor Grant stated that the speed board on County Road E2 has not been fixed. He asked that
this be a priority now that school is in session.
Mayor Grant announced that the ribbon cutting ceremony for the Presbyterian Homes
construction is scheduled for the first week of October.
Councilmember Holden questioned when Presbyterian Homes will be holding the neighborhood
meeting.
Community Development Director Hutmacher responded that she will find out the date and
time and share that information with Council.
ARDEN HILLS CITY COUNCIL WORK SESSION — SEPTEMBER 12, 2011 7
Director of Finance and Administrative Services Iverson reminded Council that they were
welcome to attend the Financial Planning and Analysis Committee meeting Tuesday, September
13, where they would be offering training on Fund Accounting 101. She stated the new
Councilmembers might find this helpful.
ADJOURN
MOTION:
Mayor Grant
Councilmember Holden moved and Mayor Grant seconded a motion to
adjourn. Motion carried on a unanimous vote (5 -0).
adjourned the City Council Work Session meeting at 8:18 p.m.
Patrick Klaers
City Administrator
David Grant
Mayor