HomeMy WebLinkAbout06/24/2014
OFFICIAL PROCEEDINGS OF THE SHAKOPEE CITY COUNCIL
WORKSHOP SESSIONSHAKOPEE MINNESOTAJune 24, 2014
Present: Mayor Brad Tabke; Councilmember Matt Lehman; Councilmember Jay
Whiting; Councilmember Kathi Mocol; Councilmember Mike Luce
Staff Assistant City Administrator Kris Wilson; Community Development
Present: Director R. Michael Leek; Public Works Director/Engineer Bruce Loney;
Police Chief Jeff Tate; Parks, Recreation & Natural Resources Director
Jamie Polley; Fire Chief Rick Coleman; Finance Director/City Clerk
Julie A Linnihan
1. Roll Call
2. Pledge of Allegiance
3. Approval of Agenda
Ms. Wilson advised Council there were several updates to the agenda. They are as
follows:
4.B, approval of Lease Agreement with Minnesota Department of
Transportation for Park Usage, Res. No. 7461.
7.A, June 19, 2014 Stormwater Event
7.F, Review of Franchise Transfer Application from Comcast Corporation
7.G, "Forget the Flood Friday" Authorization
Moved byCouncilmember Matt Lehman, seconded byCouncilmember Kathi Mocol to
approve the agenda as amended.
Vote: 5 - 0
4. Consent Business (All items listed in this section are anticipated to be routine. After a
discussion by the Mayor there will be an opportunity for members of the City Council
to remove items from the consent agenda for individual discussion. Those items
removed will be considered following the public hearing portion of the agenda. Those
items remaining on the consent agenda will otherwise not be individually discussed
and will be enacted in one motion.)
Moved byCouncilmember Jay Whiting, seconded byCouncilmember Matt Lehman to
approve the Consent Agenda as amended.
Vote: 5 - 0
A. Approve the Application for Temporary Liquor License for the Parish of St. Joachim &
Anne (St. Mark's Church) (F)
Moved to approve the application and grant a temporary on-sale liquor license to the
Parish of St. Joachim & Anne (St. Mark's Church), 350 South Atwood Street, for July
25th through July 27th, 2014. (Motion carried under the Consent Agenda)
B. Approval of Lease Agreement with the Minnesota Department of Transportation for
Park Usage - Resolution No. 7461 (D)
Offered Resolution No. 7461, A Resolution Approving a Lease Agreement with the
Minnesota Department of Transportation for Park Usage. (Motion carried under the
Consent Agenda)
5. RECOGNITION OF INVOLVED CITIZENS BY CITY COUNCIL (Limited to five
minutes per person/subject. Longer presentations must be scheduled through the City
Clerk. As this meeting is cablecast, speakers must approach the microphone at the
podium for the benefit of viewers and other attendees.)
No one responded.
6. Business removed from the Consent Agenda will be discussed at this time
Nothing removed from the Consent agenda.
7. Workshop Discussion
A. June 19, 2014 Stormwater Event.
Mr. Loney said on the morning of June 19, 2014, the City of Shakopee experienced a
severe rain storm event. Most rain gauges indicated a 5.5” rainfall total and from most
estimates was in a 3 to 4 hour period.
Previously, the area had experienced several inches of rainfall thus saturating the
ground and filling water bodies such as wetlands and ponds to their overflow levels.
From the extreme weather cycle which records indicate the wettest first months of the
year, the City experienced flooding in 7 areas:
1.Vierling Drive & Thistle Lane-flooding of intersection.
2.Patterson Drive-channel overflowed by adjacent house.
3. Blue Lake Channel south of Valley View Road-channel overflowed to the
north flooding Valley View Road.
4.Blue Lake Channel overflow down Independence Drive to Greenfield Pond
then overflowed to Wyndam Drive properties.
5.Channel overflow on Valley View Road west of Pheasant Run Street.
6.CR 16 channel overflow of Prior Lake channel damaging trails and roadways.
7.Boiling Springs Lane Pond overflow flooding residential properties.
Mr. Loney discuss options on improving the draining system:
1.Vierling & Thistle-staff will review the hydraulic model and see what
improvements can be made to the Upper Valley Drainage system.
2.Patterson Drive channel-a storm water project is included for 2015 for the area,
which includes this area.
3.Channel overflow on Valley View Road west of Pheasant Run Street-need to
make improvements on preventing debris from clogging pipe in Valley View
Road.
4.Blue Lake Channel-a study was authorized by Council earlier this year and the
study needs to be completed with recommendations on improvements to be
done.
5.Flooding in Wyndam Drive area- consider additional pipes in Greenfield Park
or emergency overflow pipe in Shakopee Gravel Mine.
6.CR 16 drainage- a new and larger culvert should be considered.
7.Boiling Springs Lake pond and wetland-the City has an agreement to connect
to the Savage Storm sewer system up to 4 cubic per second. Consider a 2015
storm sewer project to extend a pipe to this area.
Staff will review the areas with Council and propose projects for the 2015-2019 CIP.
Rob Runchey, 1865 Wyndam Dr., asked if the City is prepared if another rain event
happens such as an emergency response to place pumps in areas that are known to
flood. Mr. Loney said that the amount of water that collected in the Wyndam area
was so great that pumps would not have helped. He did say the City will be
purchasing more pumps for future use.
Mayor Tabke said he's been getting a lot of questions about the Presidential streets
area and the water people have had in their basement. Some believe the water in
basements is due to the street reconstruction that was done in 2013. Mr. Loney said
he has also received calls from residents in this area. He does not believe the street
reconstruction had anything to do with flooded basements in the area but will continue
to monitor the area. The City has received 21 inches of rain in the last two months
which is a historic event.
Cristeta Boarni, Shakopee Valley News, asked why the city did not call a state of
emergency and what the criteria is for calling a state of emergency. Chief Tate said
that Scott County did declare a state of emergency but Shakopee didn't because staff
was able to handle the event. Chief Tate explained the criteria of declaring a
statement of emergency.
B. Presentation by the Shakopee Tennis Association on 3rd Party Assessment and
Analysis (A&D)
Ms. Polley said on May 21, 2012 the Park, Recreation Advisory Board (PRAB) held a
work session with the Shakopee Tennis Association (STA) to further discuss the
proposal of an Indoor Tennis Facility located on Shutrop Park.
The STA presented their preliminary plan but indicated that a more in depth review of
the business plan needed to take place. At that time the STA indicated that they would
move forward with the internal business plan study if the PRAB supported the idea of
the facility and the Shutrop Park location. The PRAB gave their support and the
Tennis Association completed their internal review of the business plan.
The City Council endorsed the concept of the Shutrop Park site as the location for the
indoor tennis facility through a letter of intent until a 3rd party assessment and
analysis was completed. The endorsement was good for up to one year. The STA's
next step would be to hire a professional fundraiser.
Kevin Hamlin & John VandeCastle, STA representatives addressed Council with the
concept plan of the proposed tennis facility. They said the STA hired Management
Vision, Inc from New York, NY, who said the facility is very feasible because it has
no nearby competition. The market analysis indicates a Positive Net Balance overall,
with the demand side exceeding the supply. The entire complex would cost about
$16.5 million. The association would lease the land from the City for a nominal
fee. Once the complex is built , recreational users would pay a small yearly fee with a
discount for Shakopee residents. Mr. Hamlin said the association would expect to run
the facility at a slight loss the first year but with profits in years two and three. The
studies included proposed hours, court usage projections and proposed costs of
lessons.
The STA presented the findings to the PRAB on June 9, 2014. The PRAB voted 6-0
to recommend to the City Council that the City further support the Shakopee Tennis
Association in proceeding with the indoor tennis facility project.
Moved byCouncilmember Matt Lehman, seconded byCouncilmember Kathi Mocol to
proceed with the proposed Shakopee Tennis Association partnership on the Shutrup
Park property. Discussion followed: Cncl. Whiting asked if the STA wanted a time
limit in the motion. Mr. Hamlin said that he would like to work out an agreement with
the City before they being fund raising.
Vote: 5 - 0
C. 2015 Budget Process Overview
Ms. Linnihan said the annual budget process was impacted by several major items due
to changes in the legislature such as sales tax and PERA changes. She then discussed
legislative action that will take place in 2015. A major change for 2015 budget
preparation is the removal of the property tax levy limits. The 2014 budget allowed a
3% cap on the preliminary and final property tax levy. As a result, the General fund
levy increase was limited to an additional $459,997. The debt service levies were not
restricted under the levy limits legislation. This allows the local governmental units to
establish the property tax levies. The sales tax exemption, which was partially enacted
in 2014, has been revised to allow for a broader interpretation of the exempt
activities.
Regarding personnel, Ms. Linnihan said employee positions were added to the
General fund and Economic Development fund budgets in 2013 and 2014. The 2015
budget preparation will provide for the personnel costs specific to these position
additions.
The City’s three union contracts have been settled for the years 2014, 2015 and 2016.
The benefit costs specific to insurance will be estimated for 2015, but she anticipate
single digit percentage increases. The estimates for personnel related costs will be
provided to departments. The 2015 budget will also allow for the full year costs of the
newly created positions of 2013 & 2014 or any position upgrades per department.
With regarding transfers, she said in 2013 and 2014, the General fund budgets
provided for a specific transfer from the General fund to the Capital Improvement
Project Fund (CIP). Ms. Linnihan said the City has been increasing the level of this
transfer for the specific projects and recommends $1,000,000 for 2015. The
establishment of this transfer will continue to allow the Engineering staff to plan for
the 5 year plans.
Ms. Linnihan said the most significant change that will be discussed during the budget
process is what Scott County has determined for the property tax values. The most
recent data received from Scott County states that the City will experience a roughly
13% increase in value from the prior year.
The City currently has 9 outstanding debt service levies. The 2015 budget will
provide a detail of the status of the funds for Council review, and subsequent
determination of the necessary 2015 levies.
Staff will continue to work closely with the Chamber of Commerce, the EDAC,
developers, and other government entities, and business partners, large and small, to
provide for an economic climate in Shakopee that will generate robust job and tax
base growth.
Ms. Linnihan said the information she provided is to update Council on the budget
process and no action was needed at this time.
D. Early Retirement Incentive
Ms. Wilson asked Council to consider authorizing an early retirement incentive for
employees that meet certain eligibility requirements related to years of service to the
City of Shakopee and proximity to full-retirement eligibility. The proposed incentive
will take the form of a combination of severance pay and continue insurance
contributions for a set period of time.
After discussion, Council agreed to move forward with an early retirement incentive
program.
Moved byCouncilmember Mike Luce, seconded byCouncilmember Kathi Mocol to
direct staff to proceed to develop a formal Early Retirement Incentive program and
bring back to Council for review and approval in July, 2014.
Vote: 5 - 0
Moved byCouncilmember Kathi Mocol, seconded byCouncilmember Matt Lehman to
take a ten minute break.
Vote: 5 - 0
E. Discussion on Proposed Letter to be sent to the Union Pacific Railroad.
Ms. Wilson said that Cncl. Mike Luce has been involved with research regarding the
establishment of a Quiet Zone (QZ) in Shakopee. In order to create this "no train
horn" designation from the Federal Railroad Administration (FRA), it is likely that
physical improvements will need to be done to a dozen or more at-grade crossings in a
section of tracks from generally from Sarazin Street, to west of Rahr
Malting. Financial participation is sought from the Union Pacific in order to make
those improvements.
Council was asked to approve a draft letter to be sent to the FRA with the additions to
the letter that including street closures and the affects to structure if the train speed is
increased.
Moved byCouncilmember Matt Lehman, seconded byCouncilmember Jay Whiting to
approve the proposed letter to be sent to Union Pacific Railroad with additions to the
letter to include street closures and structural integrity with the increase of train
speeds. Discussion followed. Cncl. Whiting asked that the letter be signed by the
Mayor and to include City Council members.
Vote: 5 - 0
F. Review of Franchise Transfer Application from Comcast Corporation.
Ms. Wilson said that several weeks ago it was announced in the media that Comcast
Corporation is divesting itself of cable systems in Minnesota in order to strengthen its
efforts to obtain FCC approval for the purchase of Time Warner. Comcast is looking
to transfer all of its cable franchise agreements in the Twin Cities metropolitan area to
a newly formed, independent company called Midwest Cable, Inc. This new
company will be partially owned by Charter Communications, a cable company that
serves many non-metro cities such as Rochester, Mankato, St. Cloud, Duluth, etc. It is
expected that Midwest Cable will enter into a contract arrangement with Charter to
manage the systems acquired from Comcast.
The City received the official notification and request to transfer the franchise. The
City has 30 days to determine whether Comcast’s application is complete and 120
days to review and make a ruling on the application. The City’s review is to
determine whether Midwest Cable, Inc. has the legal, technical and financial
wherewithal to provide quality service to the City’s residents.
This is a technical and highly specialized topic, which the City last went through in
2005 with the transfer of our franchise from Time Warner to Comcast. Therefore,
staff is recommending that the City retain the services of Brian Grogen of the law firm
Moss & Barnett to guide our review of the transfer application.
The initial cost estimate from Moss & Barnett is a not to exceed amount of
$7,500. Depending on Comcast’s level of cooperation, a larger amount could be
needed before the review is complete. The Telecommunications Division budget has
only $3,000 allocated for attorney’s fees, but additional funds should be available in
the larger Administration Department budget and/or the Council’s unallocated line.
Moved byCouncilmember Matt Lehman, seconded byCouncilmember Mike Luce to
authorize the appropriate officials to enter into the attached Engagement Agreement
with Moss & Barnett for the review of the cable franchise transfer application received
from Comcast Corporation. To also bring back the Telecommunications Advisory
Board as necessary.
Vote: 5 - 0
G. "Forget the Flood Friday" Authorizations
Mayor Tabke would like to proposed a “Forget the Flood Friday” event Friday, June
27 from 5:00 to 8:00 p.m. in an effort to draw residents to the downtown area despite
the flooding and bridge closure, This would include the Fire Department using its
hoses and equipment to create a temporary “Splash Pad” for kids and families to play
in. In order to facilitate this, 1st Avenue will need to be closed from Holmes to Lewis
and there will need to be no parking starting at 4:00 p.m. in order to allow for set-up.
Secondly, Mayor Tabke suggested a temporary suspension of the City ordinance
prohibiting consumption or open containers of alcohol on City streets for this one
block on this one evening.
Staff researched allowing beverages to be purchased from nearby bars and restaurants
and carried out into the street, but due to state liquor licensing laws and insurance
issues for the establishments, we are unable to make that option available given the
short timeline.
There will be personnel costs to the Fire Department for staging this event. There
may also be a charge for the water used.
Chief Tate said that if alcohol is allowed, it would make it more difficult for the
officers on duty. Council agreed not to allow alcohol at the event on June 27, 2014.
Moved byCouncilmember Matt Lehman, seconded byCouncilmember Kathi Mocol to
make a motion to order no parking and authorize the closure of both lanes of traffic on
1st Avenue from Holmes St. to Lewis St from 4:00 to 8:30 p.m. on Friday, June 27,
2014. Discussion followed. Cncl. Whiting is concerned about the perception this
event is sending the the community. Cncl. Luce is concerned about what will be used
to block off the street during the event. Mayor Takbe said the streets will be barricaded
during the event.
Vote: 5 - 0
8. Adjourn
Moved byCouncilmember Matt Lehman, seconded byCouncilmember Mike Luce to
adjourn to July 1, 2014 at 7:00 p.m. in the Police Department Training Room.
Vote: 5 - 0
Julie A Linnihan
Finance Director/City Clerk
Kim Weckman
Recording Secretary