HomeMy WebLinkAbout7. Approval of Minutes: August 03, 2005, August 16, 2005 (5 p.m.) and September 06, 2005 (5 p.m.)
OFFICIAL PROCEEDINGS OF THE CITY COUNCIL
REGULAR SESSION SEUU(OPEE,MINNESOTA AUGUST 3, 2005
Mayor Schmitt called the meeting to order at 7:00 p.m. with Council members Menden,
He1kamp, Lehman, Joos present. Absent: None. Also Present: Mark McNeill, City
Administrator; Kris Wilson, Assistant to the City Administrator; Judith S. Cox, City
Clerk; R. Michael Leek, Community Development Director; Bruce Loney, Public
WorkslCity Engineer and Jim Thomsen, City Attorney.
The pledge of allegiance was recited.
The following item was added to the Agenda. Item 15.D.8 Request for a certificate of
occupancy on lot 15 block 3, Valley Creek Crossing.
Menden/Joos moved to approve the agenda as modified. Motion carried 5-0.
Mayor Schmitt asked Dan Hughes, Police Chief, and Ed Schwaesdall, Fire Chief to come
forward and do the honor of recognition of Community Emergency Response Team
(CERT) Members. Mr. Dennis Walter addressed the Council. He is a volunteer resource
coordinator for the MN division of homeland security and emergency management,
branch of the MN Department of Public Safety. His job is to be the State point of contact
for the citizens. He is very proud to have the City of Shakopee be part of the citizen core
family and sees it valuable for communities to help build the continuum of preparedness.
Interesting statistic is that 95 times out of 100 the first people to come to the aid of
disaster victims when something happens are neighbors, friends, and other victims.
Officer Cody Horner handed out certificates to: Dean Carleton, Sara Hockers, Aaron
Weyer, Steve Rachac, Jason Zander, Jeanne Douglas, Tara Aldridge
The following item was removed from the Consent Agenda. 15. C.1. Upholding the
Board of Adjustment and Appeal's Denial of the Expansion of a Non-conforming Use on
Fuller Street Requested by Mark Menke (Res. No. 6277).
LehmanlHelkamp moved to approve the Consent Agenda as modified. Motion carried 5-
O.
Mayor Schmitt asked if there were any citizens present in the audience who wished to
address any item not on the agenda. There was no response.
Lehman/Helkamp moved to approve the meeting minutes for June 7, 2005 (7:00 p.m.
session). (Motion carried under the Consent Agenda).
Lehman/Helkamp moved to approve the bills in the amount of $466,057.96 plus
$156,675.04 for refunds, returns and pass through for a total of $622,733.00. (Motion
carried under the Consent Agenda).
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Mayor Schmitt has been contacted by the U.S. Postal Service and informed that they are
beginning the process.of expanding and relocating the carrier operations of the Shakopee
Post Office. Gary Maddox came forward to give presentation. There is money set aside
for Shakopee.
Mr. Maddox reported that the retail presence would stay downtown the mail carrier
function can go anywhere. First step will be to find a place to move the existing carriers.
Looking at an existing industrial building with 15,000-20,000 square feet. Presumably a
stand-alone with security with approximately 2 ~ to 3 acres. If that doesn't exist the last
resort would be to build from ground up. A timeline was provided. Just looking for
carrier space, not retail. The retail space will be remodeled.
Cncl. Lehman questioned at what point is a second retail site considered and is it a cost
savings to consider a satellite retail space in the expansion with today's dollars compared
to the cost to do it at a future date. The industrial park should have own drop off
location.
Mr. Maddox replied that it is a pretty big building and would meet Shakopee's needs for
years. He referred to Minneapolis and how they add other offices as the town keeps
growing out.
Cnc1. Menden questioned the timeframe from start to end. Mr. Maddox replied it will
depend on what type of building is found and if one is found. Once a site is picked he
will have to go back to Washington DC and say that we have a place and give us the rest
of the money. The money right now is to advertise and do surveys and appraisals.
Cnc1. He1kamp asked if anything needs to be done about contacting Reps. Not right now.
Cnc1. J oos commented on the city's appreciation to keep the retail facility downtown.
Mayor Schmitt asked what would happen during the interim time when it is being
renovated. Mr. Maddox responded that nothing will change until the carriers move out,
then they would relocate to the back part of the building while the front is being done.
Kris Wilson showed the new city website - www.cLshakopee.mn.us and gave a brief
overview of what's available. This site will continue to be updated and enhanced.
LehmanlHe1kamp moved to acknowledge receipt of an update on the 2004-2006 Goals
and Action Plans. (Motion carried under the Consent Agenda).
Cnc1. Joos reported that he really enjoyed attending national night out, and he attended a
Chamber of Commerce Board meeting, nothing to report from that.
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Cncl. Helkamp noted that he also did attend national night out. He attended a SPUC
meeting on Monday night. They talked about some of the growth strategies and did
approve the trunk water charges.
Cncl. Menden attended a downtown partnership meeting and talked about the need for a
new post office. He also attended national night out and enjoyed talking with some of the
residents and received some comments. Had the opportunity to meet two additional
policemen on the force. Thanked individuals of the police force who helped set up
national night out.
Cncl. Lehman attended the Freemont's unveiling of their new fleet of vehicles and
attended the Park and Recreation Board meeting and also did national night out.
Mayor Schmitt noted that this morning he and Mark and Dan, the police chief, attended a
meeting with the hospital board on strategic actions in terms on where the hospital is
going. It's very important that we are all looking at the strategic initiatives on how we
get value out of what we are doing with our community.
He1kamplJoos moved to recess at 7:45 p.m. for the purpose of conducting the Economic
Development Authority meeting. Motion carried 5-0.
Mayor Schmitt re-convened the City Council meeting at 7:47 p.m.
Lehman/He1kamp moved to declare the items surplus property and authorize staff to
appropriately dispose ofthese items, as outlined in the memo dated July 25, 2005 from
Sergeant Balfanz. (Motion carried under the Consent Agenda). (CC Document No. 391)
Mr. Themig asked the City Council to consider ordering the under grounding of power
lines for the Levee Drive parking lot. This would run from the west side of MNDOT
Bridge No. 4175 east to where the current lines daylight on west side CSAH 101. The
revised estimate for this work is $80,000.
LehmanlJ oos moved to order the under grounding of power lines located in the vicinity
of 129 Levee Drive from the west side ofMNDOT Bridge No. 4175 in order to
accommodate the construction of the Levee Drive parking lot and trail amenities.
Cncl. Lehman noted that there is no funding for the under grounding, but the
redevelopment is for the whole community. He suggested exploring the use of no more
than one-half of the cost being paid by the Economic Development Authority. Cncl. Joos
advised that Shakopee Public Utilities doesn't believe that their policy pertains to paying
for the under grounding in this right-of-way. Discussion followed.
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Mr. Thomson will check into the possibility ifEDA funds can be used to pay for part of
the cost of the under grounding of the power lines in the vicinity of 129 Levee Drive.
Motion carried 5-0.
Mr. Themig asked the City Council to authorize the Community Built Playground
planned for Huber Park to proceed, and the construction of a temporary parking lot and
roadway. The design firm is Leathers & Associates out of NY. They have done
approximately 3,000 ofthese play structures throughout the US. Mr. Themig explained
that the project, community built playground, is funded by volunteers in the community
and built by volunteers in the community. The Playground is a wood structure. The
volunteer committee is responsible for the design, coordinating the tools and equipment.
The city's role is to prepare the site by bringing in additional fill. The committee is also
asking to store some of the equipment and materials. A front end loader may be needed
from the city. If this play structure is maintained properly on an annual basis, it should
last forat least 20 years, Annual maintenance includes: Wood sealing, inspecting and
replacing worn moving parts and topping off surfacing material. The estimated annual
cost is $2,000-$3,000. Mr. Themig provided an overview of what the city's
responsibilities would be and discussed the need for a temporary parking lot.
Bill Mars, Chairman of the building committee, approached the podium.
The community build date is set for October 4-9. The building permit has been applied
for and is in the process of being reviewed. There will be four semi loads of lumber.
Volunteers will have to sign in everyday and they will be dispersed to the building or
material handling. There will be at least 300 people therelday and more on the weekends.
Mr. Mars encouraged everyone to come out and take part in this activity.
CncL Joos questioned transport of additional fill as needed. Equipment trucks would be
used.
Menden/Helkamp moved to authorize the Community Built Playground Committee to
proceed with the playground plans and construction in Huber Park as identified in the site
plan and authorize construction of a temporary parking, construction staging area, and
parking area with funding from the Huber Park project budget and work by Public
Works. Motion carried 5-0.
Joos/Menden moved for a five minute recess at 8: 19 p.m. Motion carried 5-0.
Mayor Schmitt re-convened the meeting at 8:30 p.m.
Bruce Loney talked about a letter from Chad & Angela Tamke who reside at 409 11 th
Avenue E. and an email from Dan Walker who resides at 1908 Rochelle Curve, in regard
to construction of retaining walls within City right-of-way and easements. Council is
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asked to discuss these encroachments and decide whether to require the property owners
to remove the retaining walls or enter into an encroachment agreement for these
installations. Mr. Loney identified the code requirements. He checked with other cities
and most don't require a permit for a retaining wall and those that do, do not charge a fee.
The city can update the website with information on easements to inform the public, so
the process is improved. He said residents did call city hall.
Cncl. J oos mentioned that 17th A venue will someday be turned over to the County and
they will want the wall to be moved.
Discussion followed.
McNeil suggested setting up a workshop to discuss easements and what can be
constructed within them.
Chad and Angela Tamke, 409 11th Avenue East, approached the podium. Mr. Tamke
explained that this townhome does not have an association. He also talked about the
grade.
Mr. Loney explained that the property owner has written a letter to City Council outlining
the facts as to how the retaining wall did get built and what attempts were made to
discuss with City staff, prior to construction. In the handout from the city is the
requirement of a 3-foot setback from the rear property line abutting a public alley. The
property owner misinterpreted the requirement to be 3 feet off of the edge of the alley and
measured from the gravel surface portion of the alley.
Discussion ensued. Cnc1. He1kamp noted that there is an issue with snow plowing as
there is insufficient room for snow storage if the retaining wall remains in its present
location. It is best served if it is moved before the whole project is completed.
J oos/Helkamp moved to require that the property owner remove the retaining wall at 409
11 th A venue East from the city's right-of-way. The wall should be moved three feet back
from the rear property line. Motion carried 5-0.
Dan and Michelle Walker, 1908 Rochelle Curve, approached the podium. He stated that
he gave Mr. Loney an e-mail letter for City Council with the facts as he understands them
in the installation of the retaining wall. He stated they were misinformed by the City.
He stated several different proposals for the Council to consider.
Mr. Walker stated that he was not aware of any easements. No survey of the property
was provided when they purchased their house. He didn't have the fence handout.
Anyone buying a home should be given a copy of the survey.
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Discussion followed.
Staffwas directed to review the city's existing ordinance on Prohibitions and Limitations
within city easements
Helkamp/Menden moved to require the retaining wall at 1908 Rochelle Curve be
removed from the city's right-of-way and drainage and utility area. Motion carried 5-0.
LehmanlHelkamp moved to direct staff to prepare a workshop on easement and right-of-
way issues. Motion carried 5-0.
Mr. Leek stated that on July 19th the City Council voted 3-2 to uphold the determination
of the Board of Adjustment and Appeals regarding nonconformities on property at 1250
Fuller Street. Mark Menke had filed an appeal of the Board of Adjustment and Appeals
determination to not allow the expansion of a nonconforming use.
Helkamp/Joos offered Resolution No. 6277, A Resolution Upholding the Board of
Adjustment and Appeals Determination Regarding Nonconformities at 1250 Fuller
Street, and moved its adoption. Motion carried 3-2. Cncl. Menden and Cncl Lehman
dissenting. (The request to demolish and reconstruct was denied.)
Michael Leek provided a draft resolution approving a residential growth policy for the
City of Shakopee. The development of a residential growth policy was undertaken at the
direction of the City Council, which has had growth management as its number one. goal.
The City's Planning Commission held a public hearing on the draft on May 19 and June
9,2005, and has recommended to the City Council that it adopt the draft resolution
approving a residential growth policy for the City of Sh~opee.
Mr. Leek stated that he has looked across the country as well as the Twin Cities. The
approach is one that is very specifically designed to try and control the creation of new
residential opportunities. It doesn't limit the number of building permits. It's based on
the City of Woodbury policy, with modifications. The city currently has an Inventory of
766 vacant lots.
Cnc1. Joos questioned how enforceable is this. Mr. Leek responded that would not take a
lot of staff time.
Mr. Leek stated that we need resolution on Metropolitan Council sewer capacity issues
before we can address annexation.
Cnc1. Menden asked about the number being derived. Mr. Leek responded that
experience from 1998-2004 indicates on average 740-760 residential units. This is an
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elevated rate of development for current city resources; a lot of work for the size of staff
available. He explained that the analysis went back to the inspection, staffing level, and
planning staff level and with the demands on engineering staff came up with a range of
400-600 building permits per year that is manageable.
Cncl. Lehman's concern under section 1.F. about the language that states the public
welfare requires the establishment of a Growth Management Policy. He doesn't like the
wording. Mr Leek stated that in the comp plan update the council is allowed the ability
to go into or modify the 2nd phase - still have that flexibility.
Cncl. Helkamp questioned that the policy shall only apply to properties in phase 1. Need
to clarify what happens when we spend phase 1 and nothing is left for 2 and 3. Mr. Leek
responded that a note that outlines it clearly was not the intent to say we are only going to
address phase 1. There will be an annual review. Properties that this would not apply to
are ag preservation which is 1/40 and rural resident which is 1/10 because there would
not be much of an impact.
Mayor Schmitt commented that there are a number of ways to deal with growth. The lot
sizes can be looked at. The population growth over the last five years is approximately
1,900/year which is 375 grade school students and equivalent of a new elementary school
every two years. Mayor Schmitt supports 600, but would prefer to see the number go
down to 500 residential units per year.
Cncl. Helkamp talked about the staff being so heavily overburdened just trying answer
questions from all the developers. This policy would reduce their workload dealing with
plats.
Cncl. Joos mentioned that with the larger lot sizes you lose the affordable housing. He
likes the flexibility, but doesn't believe you need to go to a larger lot size. New schools
are going to happen either way. Complemented Michael, the planning committee and
everybody else on the great job of putting together this policy to slow down the number
of lots platted each year.
Cncl. Lehman agrees with Joos and clarified the lot size.
With regard to the lot sizes, Mr. Leek indicated that could be part of the scoring and
could be discussed later.
Cncl. Menden looks at the policy as a population control mechanism and it tells
everyone. This is an opportunity to let everyone know that we are going to grow at a
pace. He would like to see the number 600 lower as well. Starting out with a lower
number, it would be easier to raise than lower.
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Helkamp/Menden offered Resolution No. 6279, A Resolution Adopting a Growth
Management Policy with the following revisions: move the total number of units per year
down to 500 and change the 1 st review period (currently set as 1/17, but there will be 3
new council members), and move its adoption.
JooslLehman moved to table Resolution No. 6279 to allow for discussions at a future
meeting and allow the developers some input. Motion carried with Mayor Schmitt and
Cncl. Helkamp dissenting.
Cncl. Lehman gave his concerns and asked to respect the fact that he hasn't had enough
time to study this policy.
Attorney Thomson suggested directing staff to come back with a revised resolution with
500 as the number. The Council is not in a position to adopt a resolution tonight; need to
change Exhibit A.
Helkamp/Menden moved to direct staff to prepare a resolution for the Growth
Management Policy with the revisions presented and to be recalculated to 500 and alter
the date of the first review period. Motion carried 3-2 with Menden and Lehman
dissenting.
Council Members would like to hear the public comments at the next meeting.
Lehman!Helkamp offered Resolution No. 6276 Setting a Public Hearing to consider a
petition to Annex Property from Jackson Township, and move its adoption. (Motion
carried under the Consent Agenda). (Forty-five acres east of CR15 and south of
Countryside)
Helkamp/Menden moved to suspend the stop time for City Council to 11: 15 p.m. Motion
carried 3-1. Joos dissenting. (Lehman left the room for a moment.)
Lehman!Helkamp offered Resolution No. 6282, A Resolution Accepting Work on the
2003 Soccer Complex, Project No. 2003-5, and moved its adoption. (Motion carried
under the Consent Agenda).
Lehman!Helkamp offered Resolution No. 6283, A Resolution Accepting Work on the
River District Trunk Sewer Reconstruction, from Adams Street to 900 Feet East of L-16,
Project No. 2003-1, and moved its adoption. (Motion carried under the Consent
Agenda).
LehmanlHelkamp moved to authorize staff to use the repurchase agreements with
Siemon Implement, Inc. on unit #152 a 2004 John Deere 1445 Mower and unit #132 a
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John Deere 5420 Tractor with the total cost not to exceed $12,000.00. (Motioncarried
under the Consent Agenda).
Lehman/Helkamp moved to authorize staffto purchase one new Toro Versa Vac from
MTI Distributing for the price of $21 ,761. 7 5 with the purchase price to be expended from
the Internal Service Equipment Fund. (Motion carried under the Consent Agenda).
Staffprovided information regarding the failure of two GMC trucks with 6.5 Litre Turbo
Diesel Engines in the trucks that were purchased in 1998.
The only vehicle available in the state is a silver vehicle from Elk River Ford. We would
have to paint it to get the standard blue color, if desired. Another option would be to. wait
until 2006.
Menden/He1kamp moved to deny the request to purchase a new cab and chassis from Elk
River Ford at this time and wait for 2006 State bid pricing acknowledging that this truck
will be out of service until replaced. Motion carried 5-0.
Mr. Loney reported on a request from Scott and Lindsay Puffer regarding damages they
incurred resulting from a sewer backup claim. Mr. Loney explained that in this case, it
appears that the backup was likely to have been the result of a long, slender piece of
wood being placed in hole in the manhole cover, which then lodged in a portion of the
sewer main, downstream from the Puffer's. When the backup of sewage occurred, the
backup went into the Puffer's basement. Unfortunately, they were away for the weekend,
and the backup was significant. Sewer back up occurred on June 5th.
Mr. Loney pointed out that in April the Sanitary Sewer Policy was adopted. It provides
for cleaning every three years. The sewer in this area was maintained on September 30,
2003. The insurance adjuster has said that the City is not liable. Even though the City is
not liable, this is an unfortunate situation.
Scott and Lindsay Puffer, 1042 Merritt Street, approached the podium and stated that
they cleaned up in their bare feet, thought it was just water. They didn't do anything
wrong. Use of appropriate manhole covers that cannot be vandalized should have been in
place. This has been a lot of money out of the pocket and it's not something they should
have to deal with.
Cncl. Helkamp stated that he felt that the council was inclined to get into a discussion
that should possibly be held in a closed meeting.
Helkamp/Lehman moved to have a closed meeting to discuss the sewer backup claim
from Scott and Lindsay Puffer. Motion carried 5-0.
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Mr. Thomson stated that the Pumpers have indicated that they will pursue litigation and
that the City has information now so that it is appropriate to discuss the matter in a closed
session. Mayor Schmitt added that because of potential litigation, the Council is limited
as to what we can discuss in public.
Mr. Loney stated that Mr. Dale Dahlke, Vice President of Associated Capital Corporation
with the Valley Creek Crossing development, is present asking for a certificate of
occupancy on Lot 15, Block 3, Valley Creek Crossing. Mr. Loney explained that the
building permit was issued in January and that there is a closing tomorrow on the
property. A condition placed on the building permit by City Council was that there be
bituminous pavement on the street prior to the issuance of a certificate of occupancy.
Due to rain, the developer was unable to accomplish this but expects to complete it by
August 8th or 9th.
Joos/Helkamp moved to allow the issuance of a certificate of occupancy for Lot 15,
Block 3, Valley Creek Crossing. Motion carried 5-0.
Lehman/Helkamp moved to extend the 11: 15 p.m. adjournment time. Motion carried 4-1
with Cnc1 Joos dissenting.
Lehman/Helkamp moved to promote Terri Valiant to the 20 hour/week position of
Receptionist at pay Grade 1, Step E, $12.809 per hour effective August 1,2005, subject
to the completion of a one year probationary period. Further, Ms. Valiant shall have full-
time benefit status eligibility subject to meeting the minimum hours eligibility
requirement. (Motion carried under the Consent Agenda).
Lehman/Helkamp moved to offer and pass a motion declaring that Carrie Duckett has
successfully completed the probationary period, and grant her full-time regular
employment status. (Motion carried under the Consent Agenda).
Lehman/Helkamp moved to accept successful completion of Richard Hartwell's
probationary period and grant him regular full-time status. (Motion carried under the
Consent Agenda).
LehmanlHelkamp moved to approve the status change request of Pat Pennington from
full time status to part time at 36 hours per week effective August 8, 2005. (Motion
carried under the Consent Agenda).
Lehman/He1kamp moved to accept the completion of Ryan Halverson's probationary
period. (Motion carried under the Consent Agenda).
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Lehman!He1kamp moved to accept the completion of Christian Diaz's probationary
period. (Motion carried under the Consent Agenda).
Lehman!Helkamp moved to accept successful completion of Andrea Weber's
probationary period and grant her regular full-time status. (Motion carried under the
Consent Agenda). .
Lehman/Helkamp moved to accept the propertylliability insurance renewals from the
League of Minnesota Cities Insurance Trust with increasing the bond for the City Clerk
and Treasurer to $250,000 for a deposit premium of $313,312, and not waive the
monetary limits on tort liability established by Minnesota Statutes 466.04. (Motion
carried under the Consent Agenda).
Lehman/Helkamp move to table the application of Shakopee K wik Mart Inc. for an off
sale 3.2 percent malt liquor license to August 19,2005. (Motion carried under the
Consent Agenda).
Helkamp/Lehman moved to cancel the budget meeting scheduled for August 22, 2005.
Motion carried 5-0.
Helkamp/Lehman moved to recess for an executive session at 11: 17p.m. Motion carried
5-0.
Mayor Schmitt re-convened the meeting at 11 :28 p.m.
Cncl. Lehman announced that there was no action taken during the executive session.
Helkamp/Lehman directed staff to pursue further discussions with Puffers regarding the
sewer backup claim. Motion carried 5-0.
LehmanlMenden moved to adjourn to August 9, 2005 at 5:00 p.m. Motion carried 5-0.
The meeting adjourned at 11 :30 p.m.
ca.j.tJ~d. 0/
dith S. Cox,
City Clerk
Tanya Schmieg
Recording Secretary
OFFICIAL PROCEEDINGS OF THE CITY COUNCIL
ADJ. REGULAR SESSION SEUU{OPEE,NUNNESOTA AUGUST 16, 2005
Mayor John J. Schmitt presiding called the meeting to order at 5:00 p.m.
Council members Menden, Helkamp, Lehman, Joos present. Absent: None. Also Present:
Mark McNeill, City Administrator; Judith S. Cox, City Clerk; R. Michael Leek, Community
Development Director; Bruce Loney, Public Works DirectorlCity Engineer; Gregg V oxland,
Finance Director; and Jeff Weyandt, Assistant City Engineer.
Mr. Leek stated that members with the Metropolitan Council are here to discuss negotiations
regarding sewer capacity in the Shakopee-Chaska Interceptor. Council is also asked to address
the proposed change in the rules regarding the SAC credit system, as these potentially affect
credits that the City expected to receive once Rahr Malting comes off the metropolitan sanitary
sewer system.
Bryce Pickart, Assistant General Manager for the Metropolitan Council Environmental Services,
(MCES) presented issues on: re-conveyance, Rahr Malting, growth and Blue Lake WWTP.
Mr. Pickart stated that they have been working on turning back to cities the sewers that serve as a
local trunk. Regarding the lift station at 1 st and Marschall, they must turn it over in good
operation. Mr. Loney stated that staff has been working with the Metropolitan Council staff to
see how the city can incorporate it into our operation.
Cnc1. Lehman questioned the reliability of the lift station at 1 st and Marschall. Mr. Pickart
responded that the lift station is very reliable. The average expected life and cost to replace it is
30 years and $3-4 million. It was built in 1997-1998.
Mr. Pickart stated that the issue with Rahr Malting is unusual. They are in the system, but in
1995 they asked to withdraw from the system; however, they are still in the system. They were
building their own treatment facility, but after 10 years, Blue Lake still serves as a backup. If
they withdraw from the system, there are SAC credits available to the City. The Blue Lake
Treatment Plant is not set up to continue to process for Rahr Malting.
Mr. Pickart stated that they wanted to talk to the City, and Rahr later. There needs to be a date
established when Rahr comes off of the system. Then SAC credits become available to the City.
Cncl. Lehman expressed concerned about what happens if Rahr decides they don't want to
withdraw from the system and want to go back to being on the system? Mr. Pickart responded
that if they want to be in the system they need to come to the Cityand ask to be in the system
and then at that point there would be a building code situation. This is a difficult situation to
work with because they are running out of capacity. If Rahr changes their mind to withdraw, this
will create an impact that we are not prepared to handle.
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Mr. Pickart talked about SAC credits. He stated that the policy change had nothing to do with
Rahr. MCES is proposing a policy change regarding eliminating grandfathering SAC credits. If
this is adopted, Shakopee would not get the SAC credits when Rahr leaves the system. He
suggested that Shakopee request an exception to the proposed policy change, officially, so that it
is on record.
Cncl. Joos asked ifthere were any indications ofRahr wanting to stay in the system. Mr. Pickart
responded that so far they have gone a long period of time not talking about the issue and the
deadline. They have heard the message and will be spoken to again in early September.
He also commented on the state of the art treatment facility and having another process unit for
capacity. Cncl. Joos commented that that this is a very dynamic business in Shakopee and has
been in the community for a long time. He expressed concerned with the impact and putting
them in a situation that could impact their liability in the community.
Mayor Schmitt stated that it would be appropriate to initiate contact with Rahr and have a
meeting with them and staff. Need something more constructive and an action plan.
Cncl. Lehman asked ifRahr opts out of the system do we pick up that capacity. Mr. Pickart
answered yes, it would be available. This could be an issue of not having anywhere to go.
Cncl. Menden talked about the recent impact on the court decision for Maple Lake.
Cncl. Joos asked about the 593 acres owned by the Shakopee Mdewakanton Sioux Community
(SMSC) within the city of Shakopee and how that affects the sewer capacity. Mr. Pickart
responded generally, the regional plan has flexibility to handle growth. With the SMSC building
their own treatment plant, it will help the city and the Blue Lake.
Mr. Pickart commented on Laketown and Chaska Township. He stated that the total capacity of
that interceptor is 9 mg/day. Shakopee is not being penalized for growth on the other side of the
river. Not a question of allocation for the cities based on needs and anticipated growth.
Mr. Pickart acknowledged understanding the issues for Shakopee and would like to help. They
plan to build to provide regional capacity. It is in the regional interest to work with the City.
The total capacity of the Shakopee-Chaska Interceptor is 9 mg/day on the average today with a
19 mglday total capacity. It is their intention to provide additional capacity to Shakopee and
other communities.
Mr. Pickart identified the objectives of the Blue Lake Treatment Plant improvements. There will
be a public hearing on the draft facility plan on September 14th.
In response to a question, Mr. Pickart answered how much capacity is contemplated in the
expansion? By 2030 it would go to 47 million gallons/day. This will be built in phases.
Official Proceedings of the August 16, 2005
Shakopee City Council Page -3-
Cncl. Joos asked about the tank floating problem and if the issue is resolved with the water.
Ground water has been installed, but the project didn't work as intended. An alternative system
has been implemented to accomplish the objective in a different way.
Mayor Schmitt talked about the problems with Blue Lake. There has been 20 years of
forecasting actual population growth. It took 45 years to build a bridge. We are a host for this
facility. The Community hasn't had any benefits of being the host. There needs to see
constructive happenings that benefit both.
There was talk about 312 in the 30 year plan and the growth being similar to 169. Mr. Pickart
stated that the goal is to build capacity ahead of time.
Cncl. Menden noted the need for short-term resolutions for additional interceptor capacity in the
southwest community. This proposed expansion will be one to three years out.
Cncl. Joos expressed concern about loosing land because of the lack of sewer capacity.
Julius Smith, Member of the Metropolitan Council, acknowledged that it is the Metropolitan
Council's job to make sure Shakopee has sewer capacity. The system plans are coming out here
within a month. If there is a difference in projected population between the Metropolitan
Council and the City, we need to talk about that now. He . explained that there are sewer
expansion issues throughout the area, not just Shakopee. The Council is pushing to have
capacity before it is needed and is interested in moving fast.
Mayor Schmitt thanked everyone for coming. He stated that Shakopee has a lot of issues and
that we are counting on the Metropolitan Council to solve them.
Menden/Helkamp moved to adjourn the meeting to 6:35 p.m. Motion carried 5-0. The meeting
recessed at 6: 17 p.m.
Mayor Schmitt re-convened the meeting at 6:48 p.m.
In follow up to recent discussion, Mr. McNeill stated that Kris Wilson, Assistant to the City
Administrator, has put together information on the average 2005 salaries for City Councils in
other communities. He noted that Shakopee's salaries are below average.
Mr. McNeill stated that any new salaries would not be effective until after the next election.
They would be effective for all five on the Council, regardless if you are up for election or not.
Discussion followed.
Helkamp/Lehman motioned to direct staff to amend the proposed 2006 budget to reflect Council
members' salary at $6,715 and the Mayor' salary at $7,854. Motion carried 5~0.
Official Proceedings of the August 16, 2005
Shakopee City Council Page -4-
Staff will prepare the appropriate resolution or ordinance to be adopted before the November
election.
Sergeant Robson addressed the police department staffing requests for 2006. He stated that the
police department would like to add four sworn police officers to the 2006 budget. The average
forthe Midwest is 1.43/1,000 population. Adding four officers would bring the number to 46
sworn officers. The four requested for 2006 are in addition to the currently unfilled four
positions. The city currently has 38 sworn officers.
Sergeant Robson reported on the transition of firearms proposed for 2006.
Joos/Menden motioned to adjourn to Tuesday, August 16,2005 at 7:15 p.m. Motion carried 5-0.
The meeting was adjourned at 7:12 p.m.
flI~~'(Jp
City Clerk
Tanya Schmieg
Recording Secretary
OFFICIAL PROCEEDINGS OF THE CITY COUNCIL
ADJ. REGULAR SESSION SHAKOPEE, MINNESOTA SEPTEMBER 6, 2005
Mayor John Schmitt called the meeting to order at 5:05 p.m. with Council members Joe
Helkamp, Terry Joos, Matt Lehman, and Steve Menden present. Staffpresent: Mark McNeill,
City Administrator; Kris Wilson, Assistant to the City Administrator; Judith S. Cox, City Clerk;
Gregg V oxland, Finance Director; R. Michael Leek, Community Development Director; Bruce
Loney, Public Works DirectorlCity Engineer; Dan Hughes, Chief of Police; and Mark Themig,
Park, Recreation, and Facilities Director.
Mr. Voxland stated that for 2004-2005, the current tax year, that net tax levy spread was $8.7
million, the tax capacity was $28 million, giving a tax rate of31.115. For next year, the lost
market value credit of $560,000 adds to levy, debt service adds.$301,000 to levy, $260,000 for
general revenues equals a net levy to spread in the amount of$9.8 million, or a 12.8% increase.
The tax capacity was 28, roughly one-half the increase was due to inflation and one-half due to
new construction. 12.8% increase on the tax capacity.
Mr. Vox1and stated that one of the things that Council wanted staff to look at was to increase the
tax rate by one point. The would equal $317,000 to levy and increases the tax rate by 3.2%.
Mr. V ox1and responded to questions from the Council members.
Mr. V oxland identified one time expenditures that could be funded from the general fund fund
balance equating to $616,675. This will result in a 40%-45% fund balance for cash flow. Mr.
McNeill stated that Council did not have to make a decision tonight on the items coming from
fund balance. What is needed tonight is direction on the items that will affect thelevy for 2006.
Mr. Voxland identified the stand alone items recommended by staff to be included in the 2006
budget which would retain the current tax rate of31.115 and which equates to $359,195.
Discussion followed on increasing the tax rate to 32.115 to include the additional stand alone
items recommended by staff. It was the consensus of City Council members to certify to the
county the one point tax levy increase of 32.115 with the understanding that future discussions
may result in the elimination of stand alone items thereby decreasing the tax levy.
Menden/Joos moved for a 20 minute recess at 5:30 p.m. Motion carried 5-0.
Mayor Schmitt re-convened the meeting at 5:38 p.m.
Mr. Themig presented the Capital Improvement Plan (CIP) for 2006-2010 for parks. He gave an
over view of the CIP identifying time lines for purchases and funding for major park
'improvements. He stated that the estimates are based on the best available information at the
time.
Official Proceedings of the September 6, 2005
Shakopee City Council Page -2-
Mr. Themig stated that $20.5 million will be needed over the next five years to fund all projects
identified; and he explained the various sources for funding, i.e.: park dedication fees, reserve
fund, and the Xce1 Energy agreement. The current fund balance is $711,798 and $2 million is
estimated to be received this year. An interfund loan of$l million will be needed in 2007. He
said that funding needs to be monitored each year and that there will be a deficit in the 5-year
park CIP in 2010, with the projects as identified.
Discussion ensued on what happens if the revenue stream changes.
Mr. Themig identified the park projects for 2005: Greenfield West Neighborhood Park,
Community Built Playground, Church Addition Neighborhood Park, and Lions Park
improvement. He has met with Aggregate Industries regarding the purchase of Quarry Lake and
the only city commitment at this time is $250,000 for acquisition, site improvements will come
later.
Mr. Themigthen identified the various projects in the CIP for 2006,2007,2008,2009, and 2010.
Mr. Themig identified a couple of projects that have been deleted: 10th and Spencer park
development, Mound and CR 79 park development, small trail projects, community center
expansion, and community center multi use facility.
Joos/Menden moved to adjourn to Tuesday, September 6,2005, at 7:10 p.m. Motion carried 5-0.
The meeting was adjourned at 7:02 p.m.
~J.4
~th s. Cox
ity Clerk