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HomeMy WebLinkAboutCC 09-13-1993 . . . MINUTES CITY OF ARDEN HILLS, MINNESOTA REGULAR CITY COUNCIL MEETING September 13, 1993 7:30 P.M. - City Hall CALL TO ORDER/ROLL CALL Pursuant to due call and notice thereof, Mayor Sather called to order the regular City Council meeting at 7:30 p.m. Present: Councilmembers Beverly Aplikowski, Paul Malone, Dennis Probst; Mayor Sather. Absent: Counci Imember Dal e Hicks. Also present were: Public Works Superintendent, Dan Winkel; City Accountant, Terry Post; City Administrator, Dorothy Person; Recording Secretary, Shar Foster. ADOPT AGENDA Note was made that agenda item Case #93-16 under Unfinished and New Business had been reschedul ed (at the appl icants' request) for the regular September 27, 1993 Council agenda. MOTION: Malone revised (4-0) . ApI ikowski, to adopt the Motion carried unanimously moved, seconded by agenda as presented. APPROVAL OF COUN~~~._MINUTES Councilmember Probst asked that the second paragraph on page five of the August 30, 1993 minutes (under the heading relating to "Painting of the City Name or Logo on the Fernwood Water Tower") be revised to read: "Councilmember Probst expressed opposition to painting the City logo or name on the water tower based on the fact that $3,500 is a significant cost, the work is unnecessary, and it is acceptable for Arden Hills to be a little anonymous". MOTION: Malone moved, seconded by Aplikowski, minutes of the August 30, 1993 Regular with the revision to page five noted carried unanimously (4-0). to approve the counci I Meeting above. Motion CONSENT CALENDA~ In response to inqui ri es f rom the Counci 1, Publ i c Works Director Winkel explained that: 1) Consent Calendar item "d" relates to easements which City Attorney Filla has recently finalized relative to a project done early last year to extend sewer and water north of Lametti Lane, and . Arden Hills Council 2 September 13, 1993 2) With regard to Consent Calendar item "e", the seal coating project appears to be satisfactory despite rising to the surface of streets, but as retainage will not be reI eased until the rechecked in the spring. excess oi 1 assurance, project is Malone moved, seconded by ApI ikowski, to approve the Consent Calendar and authorize execution of all necessary documents contained therein. Motion carried unanimously (4-0). MOTION: . a. Set public hearing date of September 27, 1993 at 7:30 p.m. to consider revocation of liquor license for CharI i e Chung, Inc., Great Lake Restaurant, 1310 West County Road E. Adopt Resolution #93-42 Receiving the Revised Feasibil i ty Report and Ordering a publ i c Hearing (October 12, 1993 at 7:30 p.m.) on the Improvement in the Matter of the Arden Place Drainage Improvement of 1993. Adopt Resolution #93-43 Specifications and Ordering Bids in the Matter of the Improvement of 1993. Execute the acceptance of final easement extension agreements from five of the six parcels on the east shore of Lake Johanna relating to the Sanitary Sewer Improvement project (Merle Meyer; Carolyn A. Mohn; Robert H. Carl son, Jr. & Gregg S. Larson; Eleanor D. Farkas; Carolyn A. & Carl A. Mohn. Approve final payment of $143,453.33 less retainage to T.A. Schifsky & Sons for the 1993 Pavement Management Improvement project pending assurance of project acceptability. Change designation of the Council worksessions day to the third Thursday of each month. Approve 1993 1999 Recycl ing Agreement with Ramsey County. Set a publ ic hearing date of December 20, 1993 at 7:30 p.m. for a possible continuation of the "Truth In Taxation" hearing, and designate the location for the hearings of December 13 and 20, 1993 as the Mounds View High School Cafeteria. Approve List of Claims/Payroll. b. c. Accepting pI ans and the Advertisement for Arden PI ace Drainage d. e. f. g. Joint Powers h. i. . !,UBLI~__~:.m4MEN_'I'q There were no public comments. . . . Arden Hills Council 3 September 13, 1993 UNFINISHED AN!LNEW ~U~~NESS CASE #93-16 ~ SID~E ANDJL~AR lARD VARIANCE RQ~ERT & BARBARA LECHNER, 1151 EDGEWATER AVENUE Consideration of this case was postponed, at the applicants' request, until September 27, 1993. CO~SIDERATION OF 1994 PROPOSED LEVY ~~~_RESOLUTION #93-41 Mayor Sather commented that, after a great deal of staff work and Council deliberation, the 1994 proposed levy figures have been established, which provides the City with the same level of service as exists. City Accountant Post, explained that Truth In Taxation rules require the City establish a preliminary levy amount and officially report that amount to the County no later than September 15, 1993. He added that the preliminary figures can be reduced after September 15, but they cannot be increased. Post noted that Resolution No. 93-41 had been drafted outlining the following proposed sums of money to be levied for levy year 1993, payable in 1994: Levy Before HACA* Levy After HACA* HACA* General Fund $1,718,918 $95,345 $1,623,573 Aerial Platform Ladder Truck Certificate of Indebtedness 12,285 681 11,604 Capital Equipment Program #1 Certificate of Indebtedness 27,371 1. 518 25.853 TOTAL $1,758,574 $97,544 $1,661,030 *HACA = Homestead and Agricultural Credit Aid MOTION: Probst moved, seconded by Aplikowski, to 93-41 Clarifying Proposed Sums of Money Levy Year 1993 Payable in 1994. unanimously (4-0). adopt Resolution to be Levied for Motion carried . Arden Hills Council 4 September 13, 1993 D I SCUSQlON_.-B]:Q[l.R12ING_ IMP_ACT_Q~ REDUCTION IN COMMERCIAL & INDUSTRIAL M1\.RKET VALUATION ON CITY'S TAX BASE City Accountant Post explained that, at the Council's request, he has reviewed available information as t.o t.he impact. of reduced commercial and indust.rial market valuation on the Cit.y's tax base. Post reported that several commercial and industrial properties have petitioned for market valuation reductions and already received reductions and/or refunds and/or abatements. He added that there is a trend amongst commercial and industrial property owners to seek tax relief by petitioning for reductions in market valuations. . Post further explained that approximately 5% of Arden Hills' total tax base has already been eliminated through reductions in commercial and industrial market valuations. The effect of that action is that more tax burden is shifted to residential property owners. He indicated that several commercial and industrial property owners are reportedly currently involved in some stage of the petition process. It appears the number of petitions in process has significantly increased from last year, therefore, there is a great possibi 1 i ty that further market valuation reductions will occur. As information becomes available, the Council will be informed of new developments. Post reported the apparent rationale in successful market valuation reductions for corporat.e campus-type properties is two-fold. First, the assumption that it would be unlikely that t.he complex could be resold to another single corporate occupant; and secondly, the retrofit costs for multiple tenants coupled with the depressed commercial rental market all combine to drive down valuations for these types of properties. Councilmember Probst commented that apparently the City has no voice in the market valuation reduction process. Post. confirmed that the City is not involved in the process and most market valuation reductions are settled out of court. . Counci Imember Ma lone commented that the Counci 1 has been watching this trend for several months, and the effect of reduced commercial and industrial valuations is beginning to have a drastic impact on the City. He emphasized that when there is a significant market valuation reduction on a commerci a 1 or indus tria 1 property, the ensuing loss in tax revenue is substantial, and since there is no other means to . . . Arden Hills Council 5 September 13, 1993 recoup the loss in tax revenue, all other taxpayers are affected by having to share the additional tax burden. Malone commented that Arden Hills operates on a very tight budget, but despite that fact, citizens will notice an increase in their tax bills to cover lost tax revenue resulting from commercial and industrial valuation reductions. PISCUSSION REGARDING POSSIBLE ASSESSMENTS RELATING TO ARDEN PLACE DRAINAGE IMPROVEMENT & CONSIDERATION OF RESOLUTION ~93-44 Mayor Sather recalled that the City conducted hearings on the matter of Arden place drainage in the past, but no improvement project was ordered due to citizen objections. He noted that Council recently instructed staff and City engineers to revisit this matter and determine how best to improve the drainage situation surrounding the Arden Place neighborhood. Public Works Director Winkel reported that the City Engineer has updated the feasibility study of the Arden Place neighborhood, which was originally prepared in 1991. He added that various options for assessing a drainage improvement project for this neighborhood have been outlined, and staff is seeking Council direction as to assessments. Councilmember Probst noted that the Council has initiated the public hearing process in the matter of Arden Place Drainage Improvement of 1993 within this evening's consent calendar. He commented that the drainage problems of this neighborhood have not and will not simply go away, and he believes the City must go forward with a project. He suggested that Council consider a cost sharing formula whereby 50% of the project cost be paid by assessments and 50% be paid by the City's storm water management utility. He further suggested that the lion's share of the portion to be assessed be contributed by the owner of 1553 Arden Place, since the source of the problem appears to be that this drainage situation should have been corrected prior to development of 1553 Arden Place. Council concurred with Probst's general philosophy regarding paying for the project. Councilmember Malone emphasized that the storm water management utility was only recently established; in the past it was not available as a optional means of paying for a project of this type. Malone recalled that there were several properties proposed to be assessed when this project was considered in the past. He commented that 1553 Arden Place and 3487 and 3505 Ridgewood should definitely be assessed a portion of the cost of the improvement since they undeniably receive benefit. . . . Arden Hills Council 6 September 13, 1993 Mayor Sather commented that all potentially assessable property owners need to be notified of the potential assessment. Sather suggested, and the Council concurred, that the amount on notices should reflect 100% of the estimated project cost. Sather commented that doing so would give the Council room to negotiate. Administrator Person reminded that the amount listed on notices may be reduced but not increased. Warren McGuire, 1553 Arden Place, stated that although eight homes were previously identified as contributing to the drainage problem, six of those owners objected to being assessed based upon the argument that their properties would not benefit from a project. He added that it would be a waste of time for the City to attempt to assess those six property owners because, although they are supportive of correcting the drainage problems, they have in the past clearly stated their position that they would bring a suit against the City if assessed, which could delay the improvement indefinitely. Regarding the degree of benefit to particular properties, McGuire questioned whether his property at 1553 Arden Place would receive more benefit than property at 3505 Ridgewood. He recalled that Dale Noyed of 3505 Ridgewood has filed complaints with the City for several years regarding drainage problems affecting 3505 Ridgewood. McGuire noted that in high water events, about one-half of Noyed's yard floods while only a small portion of MCGuire's property floods. Councilmember Malone said while he appreciates McGuire's comments, the question of paying for this project still remains unanswered because although the Council has the power to decide the f ormul a, there is a questi on whether the taxpayers of the entire City, through the storm water management uti 1 i ty, should pay for a project which benefits only a particular neighborhood. MOTION: Malone moved, seconded by Aplikowski, to adopt Resolution 93-44 Determining Assessed Cost of Improvement and Ordering Preparation of Proposed Assessment Roll in the Matter of Arden Place Drainage Improvement of 1993, and Setting an Assessment Hearing at 8:00 p.m., October 12, 1993. Motion carried unanimously (4-0). . . . . ' , . Arden Hills Council 7 September 13, 1993 COUNCIJ:.__COMMENTS Announcements were made that 1) The Rotary club has expressed an interest in speakers for their meetings to present messages of general interest, and 2) Mounds View High School is conducting "brown bag" seminars on "The Life of Public Officials" and speakers for these seminars are being sought. ADJQllKt!: MOTION: Probst moved, seconded by Aplikowski, to adjourn the meeting at 8:16 p.m. Motion carried unanimously (4-0). Thomas R. Sather, Mayor Dorothy A. Person, Clerk Administrator NOTICE OF MEETINGS: The next regul ar Counci 1 meeting wi 11 be hel d at 7: 30 p. m. on September 27, 1993 at City Hall.