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HomeMy WebLinkAbout2023-07-26 WS & CC Minutes - Approved Approved CITY OF CENTERVILLE CITY COUNCIL WORK SESSION AND MEETING JULY 26, 2023 5:00 & 6:30 p.m. Pursuant to due call and notice thereof, the City of Centerville held their regularly scheduled City Council Work Session & Meeting on July 26, 2023 in Council Chamber of City Hall and the Regular Council meeting was live streamed by North Metro TV at 6:30 p.m. WORK SESSION MEETING I. CALL TO ORDER Mayor D. Love called the meeting to order at 5:00 p.m. ROLL CALL PRESENT: Mayor D. Love Council Member Russ Koski Council Member Darrin Mosher Council Member Steve King Council Member Raye Taylor Junior Council Member Rowan Shaw (Non-Voting) ABSENT: None STAFF: City Administrator, Mark Statz Assistant City Administrator, Athanasia Lewis Finance Director, Bruce DeJong City Attorney, Scott Baumgartner II. ITEMS OF DISCUSSION 1. 2024 Budget Items Item #2 was discussed first as Mr. Mike Brass, Broker – Titus Commercial Real Estate, was present. Finance Director DeJong, review the memorandum that was contained in Council’s packet with them. He discussion two large increases: Centennial Lakes Police Department expenditures increasing approximately $275,000 and Centennial Fire District expenditures also increasing approximately $36,000. He stated that the majority of the increases would be covered by a $171,000 safety grant that would be received in 2023 but utilized for these expenditures in 2024 if allowed by grant/accounting regulations/practices. Finance Director DeJong also discussed an increase of $34,600 in salaries to due the future anticipation of two Public Works Staff retirements allowing for a year or two of experience working with the current employees. He stated that there was an additional, minor increase of $2,667 for inflation associated with the transfer for equipment replacement. Finance Director DeJong addressed Council’s questions. City of Centerville City Council Meeting Minutes July 26, 2023 2. Block 7 Proposals This item was discussed prior to Item #1 due to Mr. Bass’s attendance. Administrator Statz stated that the city had two concept plans for the block. He stated that Kennedy Development Group was proposing a 37-unity market rate apartment building with underground parking and Lennar was proposing 21 row-style townhomes similar to Centra Homes’ proposal. Administrator Statz stated that the Planning & Zoning Commission provided feedback to both developers and advised that Council would review each of the concepts this evening. Administrator Statz stated that Lennar provided the city with notice that they were stepping back from their concept plan for the time being. Mr. Mike Brass addressed council stated that interest rates were increased today, that Lennar was probably attempting to determine the economic forecast and its ramifications and whether their concept plan would continue to provide their pre-planned packaged-type development versus additional architectural requirements that may be imposed by the Downtown Master Plan. Mr. Brass address wanted to get a feeling of whether the Council was interested in an apartment or townhomes and whether Tax Increment Financing was an option (TIF). Administrator Statz stated that previously Council was against an apartment building or providing assistance for a development on the block other than the requirement imposed by utilizing CDBG funds to purchase the property. Lengthy discussion ensued regarding the property being city owned with the city’s ability to determine what was constructed there, additional jobs with the construction of Amazon and Kwik Trip being in the community bringing more employees that may desire to living closer to their job, diversification of housing, concerns for the school and population, safety concerns for increased traffic, quality versus quantity, public safety, previous consensus of row/townhomes on the block by neighboring properties, potential for mixed use site, retaining small town feel, “incubator” space in the downtown area, and declining an apartment building with assistance on the site at this time. 3. LaLonde Property Administrator Statz stated that in the council’s packet was concept sketch for the property located 1687 Westview Street, west of the school, approximately 3 acres and zoned M-2 which allows for retail with a minimum of 36 units. He stated that it would be developed as townhomes (36 units or more) but there are site challenges. He explained that the appointed executors were exploring all options for the property and that staff has been working with them by providing potential developers for the site. He reported that they been working with two developers who have been working with North Shore Development who has submitted the concept sketch which would include the abutting parcels to the south also. Their proposal is for a 110 unit Market Rate Apartment with underground parking on the LaLonde site and 10,000 square feet of mixed retail and a 6,000 square foot restaurant. He stated that their focus was on just the LaLonde property at this time and that he was seeking interest in financing options that the city may want to provide the developer. Page 2 of 8 Not Approved City of Centerville City Council Meeting Minutes July 26, 2023 Discussion ensued regarding whether this project was different than Block 7 with financing options being available, the property being privately owned with the city having limited ability to guide other than zoning requirements, not the city’s responsibility to make it profitable for a developer, same concerns for public safety, school and population, financing/TIF for 10 to 20 years may be too long, this project assisting additional development in the downtown area and the seller believing that there is value in the existing home but the developer does not. Administrator Statz would provide additional information regarding financing options in a future meeting. 4. Marijuana Legislation Update – Scott Baumgartner Mr. Scott Baumgartner, partner, BBKG Law appeared before Council, presented them with a handout regarding the legalization of adult-use cannabis and its legalization as of August 1, 2023. He reviewed the presented handout with council. Mr. Baumgartner stated that the current language allows smoking of marijuana in public places with many communities considering banning of the smoking in public places and well within the municipalities’ authority to do so. Discussion ensued that if the city desired, they could take action on the item at their next meeting, where sales could occur, not wanting individuals to walk around town smoking marijuana and sample language from the League of MN Cities and other communities being utilized to achieve an amendment prohibiting use in public places. III. ADJOURNMENT Mayor Love adjourned the Work Session at 6:28 p.m. COUNCIL MEETING I. CALL TO ORDER Mayor D. Love called the meeting to order at 6:31 p.m. 1. Roll Call ROLL CALL PRESENT: Mayor D. Love Council Member Russ Koski Council Member Darrin Mosher Council Member Steve King (Arrived at 6:32 p.m.) Council Member Raye Taylor Junior Council Member Rowan Shaw (Non-Voting) ABSENT: None STAFF: City Administrator, Mark Statz Page 3 of 8 City of Centerville City Council Meeting Minutes July 26, 2023 Assistant City Administrator, Athanasia Lewis City Attorney, Kurt Glaser (Via Zoom) II. PLEDGE OF ALLEGIANCE III. APPROVAL OF AGENDA Mayor Love provided an opportunity for others to add or delete any items. Mayor Love reviewed the Set Agenda with Council and stated that an Encroachment Agreement – 7320 Deer Pass Drive, Fence and a Special Event Permit – Night to Unite, Meadow Court Neighborhood were added at Items #9 and 10 under Consent Agenda, the addition of Check #36088 under Item #1, Consent Agenda and that the added Centennial Fire District Proposed 2024 Budget was deleted. Motion by Council Member Koski, seconded by Council Member Taylor to Approve the Set Agenda as Presented. All in favor. Motion carried. IV. APPEARANCES/PRESENTATIONS 1. None. V. PUBLIC HEARINGS 1. None. VI. APPROVAL OF THE MINUTES 1. May 24, 2023 City Council Work Session & Council Meeting Minutes Mayor Love provided an opportunity for Council members to make additions or clarifications to the presented minutes. Motion by Council Member Mosher, seconded by Council Member King to Approve the May 24, 2023 City Council Work Session & Council Meeting Minutes as presented. All in favor. Motion carried. 2. June 14, 2023 City Council Meeting Minutes Mayor Love provided an opportunity for Council members to make additions or clarifications to the presented minutes. Motion by Council Member Koski, seconded by Council Member Taylor to Approve the June 14, 2023 City Council Meeting Minutes as presented. All in favor. Motion carried. VII. CONSENT AGENDA 1. City of Centerville Claims through July 19, 2023 (Check #36073-36088) & (2103E- 2109E) Page 4 of 8 City of Centerville City Council Meeting Minutes July 26, 2023 2. Centennial Lake Police Department Claims through July 20, 2023 (Check #14801- 14866), (E2023052-2023056), Voided Check #14801 & Payroll (Check #14853-14854) 3. Centennial Fire District Claims through July 25, 2023 (Check #9526-9541), (Payroll Check #9532-9534) & (E2023008-E2023009) 4. North Metro Telecommunications Commission Budget 5. Res. #23-0XX - Authorizing a Donation to the Anoka County Historical Society 6. Tri-State Bobcat Extended Warranty Quote 7. Massage Establishment License Request – Ms. Christina Luger, 7087 Centerville Road (Subject to Submission of Appropriate Insurance) 8. Encroachment Agreement – 1846 73 rd Street – Fence 9. Encroachment Agreement – 7320 Deer Pass Drive – Fence 10. Special Event Permit – Night to Unite – Meadow Court Neighborhood Mayor Love provided an opportunity for members to pull items for additional discussion. Administrator Statz stated that Check #36088 was needed to pay a vendor for Main Street Market upon services delivered (Facepainting – Kids Night). Motion by Council Member Koski, seconded by Council Member King to Approve of the Consent Agenda as Presented. All in favor. Motion carried. VIII. OLD BUSINESS 1. City Hall Parking Lot Lights Administrator Statz stated that Council previously authorized the submittal of a grant that would offset some of the costs associated with the installation, the city was unsuccessful with the first submittal and submitted an additional time. He reported that the additional submittal was also unsuccessful so bids were obtained with Vetter’s Electric, Inc. being the least expensive at: $38,200 with funding coming from the Street Fund. Discussion ensued regarding installation prior to winter, necessity of safety, Street Capitial Improvement Fund incorporating municipal parking lots, electrical outlets attached to poles, same plan as presented previously. Motion by Council Member Mosher, second by Council Member King to Enter into a Contract with Vetter’s Electric, Inc. for the Installation of City Hall Parking Lot Lighting as Presented. All in favor. Motion carried. IX. NEW BUSINESS 1. Set Date for City Council Retreat Assistant City Administrator Lewis stated that the regular scheduling time (early year), the EDA was completing a Downtown Study and Council determined that they wanted to wait for the results of that study prior to scheduling. She stated that the results have been received. She asked whether the Council wanted two meetings (implementation, new goals, population 5,000, planning session and other topics). Page 5 of 8 City of Centerville City Council Meeting Minutes July 26, 2023 Discussion ensued regarding a Work Session that may narrow the topics, a Saturday, being flexible, Chairs of Committees attending, week nights/two, a poll for availability, review of what has been completed not needed to be a part of what is going forward, discussion on moving forward should be on a Saturday and not attached to a Council meeting, the importance of a plan and not missing out on the opportunity. Assistant Administrator Lewis asked if an update was appropriate at a Work Session or on a different evening. She discussed that she understood that items of discussion would be population 5,000 and economic development, but asked if there were additional topics of discussion. 2. Massage Therapist License Application – Ms. Judy Cruz Administrator Statz stated that earlier there was for a Massage Establishment on the Consent Agenda and that background check was satisfactory. However, a Therapist License is required to work within the establishment and this background check came to staff with several issues that were felt should be discussed. He stated that the discussion needed to take place in a public forum, that it may be uncomfortable and needs to be completed in a public setting. He stated contained in the packet was her application and a letter addressing some of the issues addressed in the background check. He also stated that he stated that Council should review the documents contained in the packet and both applicants were available this evening, Attorney Glaser read the City Code which states “Certificates shall be issued only to persons free of convictions for offenses which involve moral turpitude or which relate directly to the person’s ability, capacity or fitness to perform the duties and discharge the responsibilities of the occupation”. He stated that it gives the Council discretion on whether on not the two convictions should barre her from this license and it is not an automatic and the reason is that the term “moral turpitude” is a wide-open term and typically used for crimes of dishonesty and can include her conviction in 2009 for burglary, but there are no set rules. He wanted to add that in criminal proceedings in court and they are not allowed as they are 10 years old or older and that they should not be held against someone forever. Mayor Love provided an opportunity to Ms. Cruz to speak. Ms. Cruz addressed Council, stated that she was a changed person, has been a massage therapist for over 12 years and that Ms. Luger (Connor James Salon) is very aware of her past. Mayor Love stated that he would like an opportunity to request why the submitted letter, the background check do not specifically correspond and asked for her to elaborate. Ms. Cruz stated that because the event happened at her sister’s residence those were the charges that she was charged with. Additional discussion ensued regarding renewal of the license, annual licensing, not feeling that someone should be penalized forever, protecting the residents and City, having a difficult time going against the Centennial Lakes Police Department’s recommendation, past being the past, being proud of the applicant for coming forward, being given forgiveness, 14 years of no convictions, thanks for answering questions provided to you, reputation of city and welcoming new businesses, the opportunity for expungement, ability of revocation if violations at any time and working in other communities. Motion by Council Member Taylor, seconded by Council Member King to Approve A Massage Therapist License for Ms. Jody Cruz as Presented. All in favor. Motion carried. X. COUNCIL/ADMINISTRATOR ANNOUNCEMENTS Page 6 of 8 City of Centerville City Council Meeting Minutes July 26, 2023 1. Administrator/Engineer Report – Administrator Statz stated that his report was emailed, that there was a large amount of development inquiries, Amazon is getting close to opening with 80% of EV stations being installed along with landscaping/screening, progress on Max Storage (foundation and utilities installed) and would be happy to answer any questions. 2. Council Reports a. Taylor –  Parks & Recreation – Council Member Taylor gave no report. b. Koski –  Planning & Zoning Commission – Council Member Koski gave no report.  Fire Steering Committee – Council Member Koski stated that there was a meeting the previous Thursday. He reported that discussions were held for the 2024 Budget. He stated that equipment, personnel and maintenance costs were increasing, and he did not feel it was excessive. c. King -  Economic Development Authority – Council Member King gave no report.  Fire Steering Committee – Council Member King gave no report.  Anoka County Fire Protection Council – Council Member King gave no report. d. Mosher –  Economic Development Authority – Council Member Mosher reported that funds have been moved into a Money Market/Savings Account at Midwest One for 3.25% interest for 12 months. Assistant City Administrator Lewis stated that several grant applications were placed before the EDA regarding environmental/geotechnical studies, wetland delineation, demolition studies for areas within Centerville that would assist in developer development. It was stated that several different studies had expiration timelines but for the most part lasted several years.  Police Governing Board – Council Member Mosher gave no report. e. Love – Stated that the Administrator’s Report contained information for parents regarding Fentanyl and if residents had questions, they could contact City Hall for additional resources. He reported that this was the first Council meeting since Fete des Lacs and thanked all individuals involved with making the events fantastic, (i.e., Lions, P & R, Council Members, the Jr. Council Member and parade organizers). He also reported that there would be no Main Street Market this week due to extreme heat, air quality and hopefully individuals would attend the following week. He stated that he recently attended a Hennepin County Sheriff Deputy Swearing-In Ceremony where life-saving awards were afforded to Deputies prior to the swearing in and he felt that it was very similar to Centennial Lakes Police Department Ceremonies, and he felt fortunate for those who serve. He referenced that his son was sworn in at the event. He stated that he attended a ribbon cutting ceremony for Humble Roots and welcomed them to Centerville. He also stated that there was a boutique across the street from City Hall and that there were plenty of options for purchasing from local businesses.  North Metro Telecommunications Commission – Mayor Love gave no report.  Police Governing Board – Mayor Love gave no report.  Other Mayoral Reports - Mayor Love gave no report. Page 7 of 8 City of Centerville City Council Meeting Minutes July 26, 2023 XI. ADJOURNMENT Motion by Council Member Taylor, seconded by Council Member King to Adjourn the Regularly Scheduled Council Meeting of July 26, 2023 at 7:21 p.m. All in favor. Motion carried. Respectfully submitted by City Clerk, Teresa Bender. Page 8 of 8