041293 CC Reg Min
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CITY OF SHOREWOOD
REGUlAR CITY COUNCIL MEETING
MONDAY, APRIL 12, 1993
COUNCIL CHAMBERS
5755 COUNTRY CLUB ROAD
7:00 P.M.
MINUTES
1. CONVENE CITY COUNCIL MEETING
The meeting was called to order by Mayor Brancel at 7:00 p.m.
A
Pledge of Allegiance
B.
Roll Call
Present:
Mayor Brancel; Councilmembers Benson, Daugherty and Lewis;
Administrator Hurm, Attorney Keane, Planning Director Nielsen and
Financial Director Rolek.
Absent:
Councilmember Stover.
C.
Review Agenda
Daugherty moved, Lewis seconded to approve the Agenda for April 12, 1993, with the
postponement of Consent Agenda items 4.D. and 4.E.
Motion passed 4/0.
2. APPROVAL OF MINUTES
Daugherty moved, Lewis seconded to approve the City Council Minutes of March 22, 1993.
Motion passed 4/0.
3. REOUEST OF THE CITY OF CHANHASSEN REGARDING DEER RIDGE
SUBDIVISION
Mr. Don Chmiel, Mayor of Chanhassen, introduced Mr. Don Ashworth, Chanhassen's City
Manager. Ashworth presented a request that Shorewood consider a friendly annexation/de-
annexation agreement with Chanhassen of 1 or 2 lots located in the Deer Ridge plat of the
J. Scotty Builders development (detailed in Ashworth's letter and attachments to Hurm
dated March 30, 1993). The purpose of the request is to ensure that Chanhassen continues
to be eligible to receive Community Development Block Grant (CDBG) funds.
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. REGULAR CITY COUNCIL MINUTES- APRIL 12, 1993 - PAGE TWO
Ashworth outlined the benefits for both cities. He noted that without Chanhassen's
cooperation to allow for the extension of sewer and water to the Deer Ridge development,
the developer would have been limited to three lots whereas the utility extension from
Chanhassen allows five lots giving economic gain to Shorewood from increased taxes from
the additional two lots. He noted, however, the request is being made solely to continue
Chanhassen's eligibility under the CDBG program. He explained that under that program,
a city split by counties may count it's entire population as long as there are residents in both
counties. With the widening of Highway 5, two Chanhassen residences previously in
Hennepin County were eliminated by that highway expansion thereby rendering Chanhassen
ineligible for the CDBG program beginning in 1994. A final determination of ineligibility
has been received after appeals at various levels of HUD. Ashworth pointed out that with
the loss of the Block Grant funds, the South Shore Senior Center and the Chanhassen
Center, frequented by residents of Shorewood/Excelsior/Tonka Bay as well as Chanhassen,
would lose significant contributions heretofore provided by Chanhassen. Ashworth
explained that under the CDBG distribution program., with the deletion of Chanhassen, the
remaining cities in the entitlement area, would lose the availability of $53,000 in funds. In
addition, he pointed out that to retain secret balloting, the annexation of two lotslresidences
is preferred.
Lewis noted that according to Mr. Ashworth's letter, the Chanhassen Council has made this
matter a condition of approval of the extension of utility service to the Deer Ridge
development and requested clarification of the status of the previously approved water and
sewer connections and other joint actions related to that development. Ashworth noted that
the Chanhassen Council was adamant that if the Shorewood Council denied this request,
the J. Scotty Builder's development should be reconsidered as soon as possible. Ashworth
noted that Chanhassen has been contributing to the Senior Centers and providing handicap
accessibility at two of its parks with CDBG funds.
Lewis stated that according to Ashworth's remarks the previous agreements between
Shorewood and Chanhassen in connection with the Deer Ridge development would be
suspended if Shorewood acted to deny Chanhassen's annexation request and expressed
concern that those agreements. are being held hostage for approval of the annexation
request. Chanhassen's representatives confirmed that position.
Brancel questioned why Chanhassen is making this request of Shorewood at this time while
they have known of their dilemma for several years. Ashworth indicated that Chanhassen
has been investigating other avenues for- maintaining its eligibility including requesting that
interpretations of Federal law be made in favor of Chanhassen. Ashworth pointed out that
there is a possibility that Federal legislation may be introduced to allow for continued
participation in the CDBG program since the highway expansion program was a
Federal/State program. He indicated that it has only recently become clear that all possible
avenues have been pursued and exhausted for retaining eligibility.
Ashworth stated that other Chanhassen property located in Hennepin County is zoned
commercial whereas HUD guidelines restrict qualification to residences only. Ashworth
stated that it is possible that the Annexation Board could deny the approval of the described
annexation if it was determined that it did not provide for continuous borders and if
Chanhassen could not demonstrate that the provision of sewer and water allows for the
development of the lots. However, Chanhassen feels confident the request would meet the
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REGULAR CITY COUNCIL MINUTES
APRIL 12, 1993 - PAGE 3
. necessary annexation requirements.
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Barbara Montgomery spoke on behalf of the senior citizens pointing out that Chanhassen
has been most supportive of senior issues not only in Chanhassen but in the surrounding
area and that the seniors support the City's annexation request. Montgomery further stated
that funds are distributed wisely and responsibly with input from the senior citizens. She
pointed out support of the Southshore Center and Sojourn is important to the entire
community and a loss of funds is a major concern.
Larry Blackstad, Senior Planner, Hennepin County, provided the background to
Chanhassen's eligibility for CDBG funds as a split-county city. He stated that a contract
cannot be offered to Chanhassen for the next three years (1994-95-96) because of this
ineligibility situation, however, if and when the City of Chanhassen does have a resident in
Hennepin County and it's eligibility is reinstated, a participation contract for would again
be granted under the program. Blackstad indicated that even if the requested annexation
were approved, eligibility could not be restored in time for 1994 funding. Blackstad
described the proposed Federal legislation that would recognize that population was lost in
Hennepin County due to no action of the city, but that the residential property was
purchased through State and Federal action for the purpose of widening the highway, thus
rendering Chanhassen ineligible.
At Daugherty's request, the method used by HUD to distribute CDBG funds within an
entitlement area was described. In order for Chanhassen to be included in the program for
1994-95, Blackstad stated that resolution of this problem must be completed one year from
now.
Brancel asked whether the Chanhassen Council considered the possibility of swapping lots
to avoid Shorewood's loss of tax income. Chmiel indicated that would be a possibility and
reiterated that Chanhassen's major concern was the loss of CDBG funds by the entire
community particularly with regard to support of the senior citizens programs and facilities.
Chmiel noted that currently Chanhassen owned property located in Hennepin County is
commercial which provides a $1.1 million tax base to the County. Ashworth stated that a
swap of property would be a preferred solution to the problem if property at the west end
(Cathcart) could be combined with Shorewood property to make a developable lot.
Ashworth assured that if an annexation agreement could be reached, other possible
resolutions to the problem would continue to be pursued and followed through and the
annexation would not be finalized until the summer of 1994. He stated that he was not
aware of any reason that work involving the Deer Ridge development would be suspended
at this time.
Hurm stated that additional problems to be considered in crossing County lines including
different 911 lines, radio frequencies, ballot concerns and municipal board problems.
Rather than exchanging property, Hurm suggested that if possible the City of Chanhassen
. reimburse Shorewood for the loss of municipal taxes.
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REGULAR CITY COUNCIL MINUTES
APRIL 12, 1993 - PAGE 4
. Lewis stated that Shorewood and it's residents should derive benefits from this appeal and
requested that a formal proposal be developed by Chanhassen incorporating those benefits.
Chmiel indicated willingness to pursue that course if necessary.
Daugherty explained that Shorewood is also very supportive of the senior centers and of the
Sojourn program. He stated that it is necessary to analyze the ramifications of a land swap
to the citizens of Shorewood and supported having the staff explore alternatives including
reimbursement of tax loss to Shorewood. Chmiel reiterated willingness to consider
reimbursement of tax loss.
Lewis supported tabling further consideration of the request to allow staff from both cities
to work together in a joint effort to maintain Chanhassen's eligibility in the CDBG program
for the mutual benefit of all the communities. He reiterated his concern that the Deer
Ridge development not be jeopardized while seeking resolution of this issue.
The Councilmembers agreed to continue further consideration of the request presented by
Chanhassen and of other alternatives with the primary objective of maintaining that city's
eligibility for CDBG funds for the mutual benefit of the surrounding communities.
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Benson moved, Daugherty seconded to table action on the request from the City of
Chanhassen for two weeks to allow the staffs of Shorewood and Chanhassen to develop
other options.
Motion passed 4/0.
4. CONSENT AGENDA
Mayor Brancel read the Consent Agenda for April 12, 1993.
Daugherty moved, Lewis seconded to approve the Consent Agenda and to adopt the
Resolutions and Motion contained therein:
A RESOLUTION NO. 35-93 "A Resolution Granting a Conditional Use Permit
to Develop a Substandard Lot to Pat Pechacek."
B. RESOLUTION NO. 36-93 "A Resolution Approving Subdivision and
Combination of Real Property."
C. Motion Approving Criteria for Drainage Projects.
Motion passed 4/0.
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REGULAR CITY COUNCIL MINU1ES
APRIL 12, 1993 - PAGE 5
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5.
PARK COMMISSION - Report on Park Commission Meetings
Elizabeth Fuller, Park Commission member, stated that the Commission recommends that
a vacant property identified by the staff owned by the City be sold and that the proceeds be
used for construction of the Manor Park shelter building. In addition, Fuller stated that
over the next several weeks, the Commission will be carefully reviewing each City park site
to determine the best allocation of available funds for park improvements.
A. Recommendation on Sale of Property and Use of Proceeds for a Manor Park
Warming House
Hurm requested the Council's authorization to place the identified vacant property on
Academy Avenue on the market for sale at a fair market price.
Daugherty suggested that an analysis of all City-owned property be made. Nielsen indicated
that an analysis is in process in connection with a land use study and that study which
includes a park land inventory will be available within 30 days.
Lewis moved, Benson seconded to authorize the City to sell at market value a vacant
property located on Academy Avenue and designated the proceeds from the sale of the
property to construction of a shelter building at Manor Park.
. Motion passed 4/0.
6. PIANNING COMMISSION - Report on Planning Commission Meetings
Doug Malam, Planning Commission member, reported on the action taken by the
Commission at it's April 6 meeting regarding a request from Jim Pyle for a C.U.P. and
variances for the addition of gasoline service at the Vine Hill Market. He stated that by a
3/2 vote, the Commission voted to table action and requested the staff to initiate a study
to determine if a revision of the zoning ordinance text regarding parking requirements for
convenience grocery stores with gas pumps is warranted.
7. FINAL REPORT ON PUBLIC WORKS FACILITY CONSTRUCTION PROJECT
- NICK REUHL. EOS ARCHITECTURE
Mr. Nick Reuhl, EOS Architecture, presented a brief report on the Public Works facility
construction project and thanked the City for the opportunity to be of service. He stated
the project was completed in 6 months and the overall cost of the project including site work
and the building was $40.43 per square foot. He noted that there is a one-year warranty on
the project and inspections will be conducted from time to time during the year.
Hurm pointed out some landscaping work remains to be completed and that the project was
. completed al?out $40,000 under budget.
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REGUlAR CITY COUNCIL MINU1ES
APRIL 12, 1993 - PAGE 6
8.
CONSIDER AN ORDINANCE REVISING RENTAL HOUSING CODE
Nielsen stated that comments from the Council and the City Attorney have been
incorporated into the revised Ordinance. He stated that if this Ordinance is approved, an
amendment to the City's fee schedule establishing a fee for the inspection and licensing of
rental units will be presented for the Council's action at a future meeting.
Brancel stated the Ordinance as written includes the issues discussed at various levels and
by the Council.
Lewis moved, Daugherty seconded to adopt ORDINANCE NO. 272, Rental Housing Code,
effective July 1, 1993, and approved for publication the Official Summary of Ordinance No.
272.
Motion passed 4/0.
9. CONSIDER FINAL PlAT - SPRUCE lDIL
Applicant:
Location:
Paul Kelly
Yellowstone Trail
Nielsen noted that the final plat shows a change from the preliminary plat to combine the
southerly two lots to accommodate a prospective buyer. This eliminates the issue related
to the driveway. Nielsen noted, however, that if that lot is subsequently split, the lot would
have to be re-platted and the driveway issue resolved at that time.
Lewis moved, Benson seconded to adopt RESOLUTION NO. 37-93 "A Resolution
Approving the Final Plat of Spruce Hill," subject to the approval of the City Engineer of
revised plans and specifications.
Motion passed 4/0.
10. SEASONS P.U.D. - CONSIDER PETITION FOR PUBLIC FINANCING OF
IMPROVEMENTS/ORDER FEASffiILITY STUDY
Nielsen stated that a signed petition for public financing of improvements, to be reviewed
by the City Attorney, has been received from Mr. Boyer, developer of the Seasons, a
proposed development for mature adults. The Council is requested to authorize a feasibility
report regarding 'the improvements.
Lewis moved, Daugherty seconded to adopt RESOLUTION NO. 38-93 "A Resolution
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REGUlAR CITY COUNCIL MINUTES
APRIL 12, 1993 - PAGE 7
. Declaring the Adequacy of the Petition for Improvement and Ordering the Preliminary
Feasibility Report in the Matter of the Seasons P.U.D. Improvement of 1993."
Motion passed 4/0.
11. CONSIDER APPROVING PIANS AND SPECIFICATIONS AND ORDERING
ADVERTISEMENTS FOR BIDS FOR MODIFICATIONS AND APPURTENANT
WORKS TO LIFf STATIONS NO.9 & 10
Hurm stated this budgeted project is similar to those previously completed for other lift
stations.
Lewis moved, Benson seconded to adopt RESOLUTION NO. 39-93 "A Resolution
Approving Plans and Specifications and Ordering Advertisements for Bids for Lift Station
Modifications to Lift Stations No.9 and 10 and Appurtenant Works."
Motion passed 4/0.
12. CONSIDER A RESOLUTION AUTHORIZING THE PURCHASE OF A
BRIDGE CRANE FOR THE PUBUC WORKS DEPARTMENT
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Hurm stated that Public Works Director Zdrazil requests authorization to purchase a used
Manning, Maxwell and Moore bridge crane for the Public Work~ facility. The cost of the
crane and hoist installed is $9,235 plus approximately $500 for wiring and electrical work.
He explained that the work for which it is to be used for such as moving motors and
maintenance of heavy equipment would not be a compatible shared function with other
communities.
Daugherty moved, Lewis seconded to adopt RESOLUTION NO. 40-93 "A Resolution
Authorizing the Purchase and Installation of a Bridge Crane" for the Public Works facility,
subject to the provision of operating procedures including adequate supervision and
designation of authorized operators; subject to the approval of the City Engineer relative
to the safety and adequacy of installation; and subject to a reasonable warranty on the unit.
Motion passed 4/0.
13. MATIERS FROM THE FLOOR - None.
14. STAFF REPORTS
A. City Attorney - None.
B. City Engineer - None.
C. City Planner - None.
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REGUlAR CITY COUNCIL MINUTES
APRIL 12, 1993 - PAGE 8
D.
Finance Director - None.
E. City Administrator
Hurm reported that the Metropolitan Waste Control Commission has scheduled an
informational meeting at City Hall on April 14 in conjunction with work it has scheduled
for re-lining of pipes in the Covington Road area.
15. COUNCIL REPORTS
A. Mayor Brancel
1. Proclamation Reading - Southshore Senior Center Anniversary and
Celebration of Older American Month
Brancel read a Proclamation designating Friday, May 7, as the 10th anniversary celebration
of the Southshore Center, proclaiming May 1993 as Older Americans Month and the Year
1993 as Senior Center Year "...to recognize the special contributions of the Senior Center
participants and the special efforts of its staff and volunteers who work every day to enhance
the well-being of the older persons in our city."
B.
Councilmembers - None.
16. ADJOURNMENT TO WORK SESSION SUBJECf TO APPROVAL OF ClAIMS
Daugherty moved, Benson seconded to adjourn the City Council Meeting, subject to the
approval of claims, at 8:25 p.rn. to a Work Session.
Motion passed 4/0.
RESPECTFUIL Y SUBMfl.l'ED,
Arlene H. Bergfalk
Recording Secretary
TimeSaver Off Site Secretarial
ATIEST:
J
C. HURM, CITY ADMINISTRATOR
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