062606 CC Reg Min
CITY OF SHOREWOOD
CITY COUNCIL REGULAR MEETING
MONDAY, JUNE 26, 2006
5755 COUNTRY CLUB ROAD
COUNCIL CHAMBERS
7:00 P.M.
MINUTES
1. CONVENE CITY COUNCIL MEETING
Mayor Love called the meeting to order at 7:00 P.M.
A.
Roll Call
Present.
Mayor Love; Councilmembers Callies, Turgeon, and Wellens; Administrator Dawson;
Attorney Keane; Finance Director Burton; Director of Public Works Brown; and Acting
City Engineer Gurney
Absent:
Councilmember Lizee
B.
Review Agenda
Wellens moved, Turgeon seconded, Approving the Agenda as presented. Motion passed 4/0.
2. APPROVAL OF MINUTES
A. City Council Regular Meeting Minutes, June 26, 2006
Wellens moved, Callies seconded, Approving the City Council Regular Meeting Minutes of June
26, 2006, as Amended, in Item 5.C., Page 3, Paragraph 11, Sentence 1, change "Councilmember
Turgeon stated she had requested the 2005 contribution be given directly to South Lake
Minnetonka Police Department for its services, and that council had not agreed to do so." to
"Councilmember Turgeon stated she had requested the 2005 contribution be given directly to
South Lake Minnetonka Police Department for its services, and that had not happened.". Motion
passed 4/0.
B. City Council Work Session Minutes, June 26, 2006
Callies moved, Turgeon seconded, Approving the City Council Work Session Meeting Minutes of
June 26, 2006, as presented. Motion passed 4/0.
3. CONSENT AGENDA - Motion to approve items on Consent Agenda & Adopt Resolutions
Therein:
Mayor Love reviewed the Items on the Consent Agenda.
Director Brown stated a resolution for Item 3.F. had not been prepared. He asked that Council approve
the motion, and he stated a resolution would be prepared for the next Council meeting.
CITY OF SHOREWOOD REGULAR COUNCIL MEETING
June 26, 2006
Page 2 oflO
Turgeon moved, Callies seconded, Approving the Motions Contained on the Consent Agenda and
Adopting the Resolutions Therein:
A. Approval of the Verified Claims List
B. Staffing - Liquor Staffing Recommendation
C. Storm Water Pollution Prevention Program Annual Report
D. Appeal Notice to Remove
Appellant: Dennis Kronberg
Location: 5760 Eureka Road
E. Appeal Notice to Remove
Appellant: John McMasters
Location: 4530 Enchanted Point
F. Change Order for Sanitary Sewer Lift Stations No.8 and No. 18
G. Approval of MCWD Declaration Regarding Wedgewood, Mallard, Teal Project
H. Accept Proposal for Professional Services - KLM Engineering - Antenna
Installation SE Area Water Tower
I. Accept Proposal for Services - Safe Assure
J. Authorization for Expenditure of Funds for a Network Server
Motion passed 4/0.
4. MATTERS FROM THE FLOOR (No Council action will be taken)
Steven Pahl, 24860 Smithtown Road, stated a neighbor's (James Quast, 24800 Smithtown Road), use of
an outdoor wood-burning stove for heating his house and heating his water was creating health problems
for his son. The smoke from the stove was inundating the Pahls' home. He and his family had not
realized how bad the problem was until they had their house windows open this spring and summer. His
son (who already had health issues) had been stricken with strep-throat, pneumonia, earaches, etc. The
son had been missing an average of three days per week of school since OctoberlNovember 2005, which
is approximately the same time as Mr. Qaust started using the stove.
Mr. Pahl stated he had pictures that showed how the smoked came down across the yards. City Staff,
members of the SLMPD, and the EPD had been to his home to smell the smoke. Mr. Pahl stated he had
an employee of his and his son's personal care attendant who both experienced health issues as a result of
the smoke. He asked that something be done to alleviate the smoke problem; maybe the stove could be
shutdown or the height of the chimney could be raised (noting the manufacturer of the stove indicated
raising the chimney would not correct the smoke problem). Mr. Pahl stated previously Mr. Qaust had
used a wood burner located inside his house to heat with. He also stated his family needed to keep their
windows closed in June 2006 because the smoke would fill their home.
CITY OF SHOREWOOD REGULAR COUNCIL MEETING
June 26, 2006
Page 3 of 10
Shirley Bergslein, 24785 Smithtown Road, stated she had her bedroom window open all winter, and she
had suffered from serious sinus problems the entire past winter. She had not realized there was smoke
coming from Mr. Quast's direction. She also stated her husband, who was 80 years old, had suffered
from a chronic cough all winter long, and the doctors could not determine why. Ms. Bergslein went on to
state she and her husband were now feeling much better (Mr. Pahl noted the stove had been temporarily
shutdown). Once Ms. Bergslein was made aware the stove had not been in operation, she began to
understand what the source of their health issues was.
A resident of 24845 Smithtown Road, stated she lives across from Mr. Quast's property. She stated her
house was generally downwind from Mr. Quast's wood-burning stove, and if she had her windows open
her house became engulfed with smoke. She also stated if she had left her windows open while gone,
when she returned home she would have to try and rid her house of smoke through the use of fans. She
found it difficult to breath in those situations. She went on to state she wanted to be able to have her
windows open on nice summer evenings; and she wanted the smoke problem resolved so she and other
neighbors could enjoy their houses and being outside.
Jessie Meyers, 2030 Melody Hill Road, Chanhassen, stated he was an employee of Mr. Pahl's and he had
suffered from asthma his entire life. He stated when Mr. Quast was using his wood-burning stove he
would suffer from chronic headaches while at the Pahl's. He also stated the last three days he had not
suffered headaches while at the Pahls' house, noting the wood-burning stove was not being used.
Mayor Love stated he had received calls from the Pahls on a couple of occasions. He had spoken with
City Staff and the Staff was reviewing the City's codes and regulations with regard to the matter. It was
necessary for the City to work within its own rules.
Administrator Dawson stated this matter had come to the attention of City Staff approximately 3 weeks
ago. City code did have a public nuisance definition - Section 501.04. Subd.lO. "The emission of dense
smoke, gas and soot, dust or cinders, and other noxious and offensive fumes, in the quantities as to
render the occupancy of property uncomfortable to a person of ordinary sensibilities." He stated the
SLMPD had been contacted because it was the enforcement agency of the City. He went on to state the
SLMPD had been contacted to go out to the Quast property a few times, and he had reviewed a SLMPD
report of one of the site visits. The SLMPD had not yet been able to observe a violation of the City code.
Dawson explained Director Brown had contacted the Minnesota Pollution Control Agency (MPCA) to
evaluate the emission from the stove's chimney. The MPCA declined the request. He stated the City did
not have the equipment or experience necessary to determine if noxious elements were in the emissions.
Staff had discussed the possibility of contacting the Hennepin County Environmental Health Department
to see if it could be of assistance. The SLMPD was monitoring the situation when it was in the vicinity.
The SLMPD must be able to observe activity that may be in violation. The City was following the City's
Attorney's advice in terms of possible prosecution.
Mr. Pahl stated companies that test for mold could possibly conduct a test on the emissions. The
emissions were affecting his health, his family's health, his employees' health, and the health of the other
neighbors present at the meeting. He commented he had not contacted other neighbors to determine if
they had experienced health problems. He asked the City contact Mr. Quast and explain to him that his
neighbors thought the wood-burning stove was causing health issues for them. Mr. Pahl stated Mr.
Quast's type of stove had been shutdown in other cities in Minnesota and Wisconsin. He explained if the
wind conditions were a certain way the smoke would be cleared by the time the SLMPD arrived, the
arrival time averaging 20 - 35 minutes. He also explained the stove was emitting smoke at all times.
CITY OF SHORE WOOD REGULAR COUNCIL MEETING
June 26, 2006
Page 4 of 10
Mayor Love stated the City had to follow a process, and the City could not just be arbitrary.
Attorney Keane stated the SLMPD was working in coordination with the City. If the SLMPD determined
there had been a violation of the City code, a citation for violation would be issued.
Mr. Pahl questioned what could be done to prohibit Mr. Quast from using his wood-burning stove
permanently.
The resident of 24845 Smithtown Road stated the smoke problems appeared to be worse during the
evening and early morning hours.
In response to a question from Mayor Love, Mr. Pahl explained the manufacturer of the stove had called
Mr. Quast and encouraged him to discontinue using the stove after Mr. Pahl had called the manufacturer
and complained. He commented the manufacturer had been sued because of emissions from similar type
stoves. He explained he had researched that type of stove 3 - 4 years ago when he was considering a
purchase of one, and he found out the stove was a health hazard. He stated a friend of his had the same
type of stove and he needed to relocate the stove because it affected his health.
In response to a question from Councilmember Wellens, Mr. Pahl stated Mr. Quast had received the
necessary permit for the structure. Mr. Pahl then stated he believed the City's nuisance code should be
sufficient to prohibit use of the stove, as would the Minnesota Indoor Quality Clean Air Act.
Councilmember Callies questioned if Mr. Pahl had considered private action with regard to the situation
with his neighbor. She stated the City did not have the ability to assess what was in the emission, but
there was an issue because of the intrusion into enjoying one's personal property. She questioned if there
was any knowledge of other cities' ordinances that prohibit the use of that type of stove. Attorney Keane
stated Staff was researching what other cities were doing.
Mayor Love stated Mr. Pahl and the other individuals present had been provided the opportunity to have
the issue be a matter or record, and to inform Council of the situation. Staff had already contacted the
MPCA, and the SLMPD was well informed of the matter.
In response to a question from Mr. Pahl, Mayor Love explained the City was trying to determine if it had
the authority to ask Mr. Quast to discontinue use of the stove.
Mayor Love, on behalf of the Council, asked the Staff to report back to Council at its next meeting with
regard to what authority the City had with this matter and what other cities were doing.
5. REPORTS AND PRESENTATIONS
A. Patrick Hodapp, LMCC Representative, report on Lake Minnetonka
Communications Commission Activities
Lake Minnetonka Communications Commission (LMCC) Representative Patrick Hodapp provided an
update on the major LMCC activities.
. The LMCC voted to accept Maple Plain as a member, bringing the membership to 17
communities. The addition should result in an additional $ I 0,000 in Franchise/PEG fees.
CITY OF SHORE WOOD REGULAR COUNCIL MEETING
June 26, 2006
Page 5 ofl 0
. COPE: Communications Opportunity, Promotion, and Enhancement Act of 2006 passed
the House of Representatives. The highlights ofthe bill were reviewed.
. The LMCC had started to web stream channel 8 and channel 20, which allowed access to
council meetings and selected other meeting to anyone with internet access.
. Patrick Hodapp was elected to be the LMCC Treasurer.
. The LMCC established a wireless committee. The purpose of the committee was to
monitor developments, stay informed, and be a forum for discussion among members.
The LMCC would consider budgeting for associated expenses in 2007. The LMCC had
no plans to promote the development of a government owned wireless network at this
time.
Mr. Hodapp stated there was no downside to waiting on the wireless network; in 2 - 3 years the network
technology would be both better and cheaper. If there was an opportunity to provide great value to the
communities by providing a wireless network, then it was prudent for the LMCC to consider that. He
would appreciate the City's feedback regarding the sense of urgency in providing wireless networking
capabilities.
In response to a question from Mayor Love, Councilmember Wellens stated he liked the direction the
LMCC was taking with regard to wireless networking.
Mr. Hodapp stated he thought all Shorewood residents could have wireless internet access even if they
did not have access to cable. He then stated he did not think it was appropriate for the LMCC to spend a
large amount of money on wireless network related activities, but it was appropriate to spend a modest
amount of funds to stay abreast of the wireless networking technology. He questioned if the City would
support the use of specific funds for that effort. He explained the amount would be approximately $2,000
combined for all member cities; the funds would not be additional contributions from the cities monies
just reallocation of budgeted dollars.
Administrator Dawson explained there had been discussion within the LMCC whether it was appropriate
to spend cable franchise fees on non cable activities, and there had been discussion on requesting a
general fund allocation from the member cities.
Mr. Hodapp explained the LMCC had previously contacted member cities regarding the possible funding
of a wireless networking study, and the feedback was not supportive.
Mayor Love stated he was supportive of the monitoring effort.
In response to a request from Mr. Hodapp, Councilmember Wellens stated he was aware of a few island
residents that wanted wireless networking capabilities and Administrator Dawson stated he had received
less than a dozen calls regarding the matter over the last two years.
6. PUBLIC HEARING
None.
CITY OF SHORE WOOD REGULAR COUNCIL MEETING
June 26, 2006
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7. PARKS - Report by Representative
A. Report on Park Commission Meetings and Park Tours Held June 13,2006
Director Brown reported on matters considered and actions taken at the June 13,2006, Park Commission
meeting and Park Tours (as detailed in the minutes ofthat meeting and those tours).
Discussion ensued with regard to the number of varying types of signs that would be posted on the Lake
Minnetonka LRT Regional Trail.
In response to a question from Councilmember Wellens, Director Brown stated he thought the Three
Rivers Park District would be receptive to feedback on the Trail signage and kiosks.
In response to a question from Councilmember Turgeon, Director Brown stated the Trail kiosks would be
similar to those found in Victoria.
In response to a question from Councilmember Turgeon, Director Brown clarified the desired water
fountain at Skate Park and the yearly $1,000 annual donation from the American Legion were two
separate issues. The Park Commission did question if the donation could be used for the installation of a
water fountain at the park.
In response to a question from Director Brown, Mayor Love stated he would like to know what Hennepin
County's goals were with regard to signage on the Trail before expressing an opinion on the number of
sIgns.
Director Brown stated Staff would ask that the Three Rivers Park District come before Council to review
its signage policies and goals for the Lake Minnetonka LRT Regional Trail.
In response to a question from Councilmember Wellens, Director Brown stated efforts were being taken
to ensure Staff would not inadvertently mow the grass along the shoreline of Manor Pond.
Council member Callies stated there had been continued interest in having a water fountain installed at
Freeman Park, and she would prefer a water fountain be installed at Freeman Park before the Skate Park
because there appears to be higher usage of Freeman Park.
In response to a question from Councilmember Turgeon, Director Brown stated a sanitary sewer drain
was required to be underneath a fountain. It was possible to install a drain at Freeman Park, and the
installation of a drain at Skate Park would be more difficult.
8. PLANNING - Report by Representative
Commissioner Conley reported on matters considered and actions taken at the June 20, 2006, Planning
Commission meeting (as detailed in the minutes of that meeting).
CITY OF SHORE WOOD REGULAR COUNCIL MEETING
June 26, 2006
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9. GENERAL/NEW BUSINESS
A. Discussion of SLMPD Arbitration
Administrator Dawson explained the SLMPD Arbitration Panel issued its clarification Order on June 15,
2006, which started the 60-day clock for any member city to serve notice of withdrawal from the joint
powers agreement (JPA) at the end of 2007. He noted that was the only avenue for not abiding by the
binding arbitration. It was on the meetings agenda for Council to consider what it would like to do with
regard to the Order. He commented if Council took no action it would be deemed as approval.
Dawson explained the Panel clarified the findings - the formula applied to operations only, not
operations and rent. Beginning 2007 the allocation for operations would be as follows - Excelsior 27%,
Greenwood 8%, Shorewood 50%, and Tonka Bay 15%. He also explained if the formula had been in
place currently, the additional cost to the City would have been approximately $62,000 for 2006. He then
explained when the formula was revisited in 20 I 1 for 2012, it would be a refinement of the formula
based on changes in tax capacity, population, and incident complaint reports per city.
In response to a question from Councilmember Callies regarding the second question of clarification for
the Arbitration Panel, Mayor Love explained the base line would remain a factor in refining the funding
formula. Attorney Keane commented 2006 was the baseline and any adjustments would be to the 2006
figures.
Councilmember Turgeon stated she was having difficulty accepting the City would pay 50% of the costs,
yet it would only be allowed one vote. She noted the Arbitration Panel had no authority over voting
rights.
Both Councilmember Turgeon and Councilmember Wellens would prefer voting privileges to be
comparable to contributions made.
Mayor Love stated a change to voting privileges would require a change to the JP A. He stated although
he appreciated the concept of weighted voting, there were advantages to a single vote for each member
city. He then stated he would carry the concern forward to the SLMPD Operating Committee, although
now may not be the most appropriate time to request a change to the JP A.
Administrator Dawson stated there were two issues with regard to the number of votes each city has: 1)
each city had one representative on the Operating Committee; and 2) each city council had one vote on
the budget but with the 4th amendment to the JP A, if there was not full agreement to funding changes
there would be a default adjustment in the municipal funding.
Mayor Love stated he thought the Panel attempted to preserve the existing SLMPD governance model.
Councilmember Callies stated she would support continuing on with the governance model in place. She
would appreciate a discussion on the pros and cons ofthe existing governance model at a future date.
In response to a statement from Councilmember Wellens, Mayor Love stated because each member city
had an equal vote the tendency to form alliances on issues was almost non-existent. He then stated the
Coordinating Committee, for the most part, had acted in good faith with reasonable process and he would
not like to see that jeopardized in the future.
CITY OF SHORE WOOD REGULAR COUNCIL MEETING
June 26, 2006
Page 8 of 10
Councilmember Wellens suggested Council do nothing with regard to the Order. Mayor Love concurred.
In response to a comment by Councilmember Callies, Councilmember Turgeon stated the only option
Council had with regard to the Order was to reject it.
Mayor Love stated because Council had differing opinions on the outcome, he recommended Council
accept the Order without comment.
B. Approval of Compensation Plan
Administrator Dawson stated the City contracted with Labor Relations Associates, Inc., to prepare a
compensation and classification study. The process had been lengthy, with the goals of:
. Updating position descriptions, to provide a uniform base for any changes;
. Developing information and recommendations for any revisions to the City's levels of pay
(external labor market) and pay structure (internal relationships for compliance with the
Minnesota Pay Equity); and
. Changing the City's rigid tenure-based step system for salaries with a system that is designed to
reward performance and provide flexibility for salaries at time of hire.
Dawson then stated Council reviewed the draft of the report at work sessions on April 24 and May 22,
and at the latter work session indicated a preference to implement the new compensation plan with one or
two adjustments (July I, 2006, and January 1, 2007) to bring all position incumbents with at least five
years' experience to the market wage. The draft was before Council for additional comment and action.
He stated Staff recommended Council approve the Classification and Compensation Plan dated May 31,
2006.
Councilmember Turgeon stated she disagreed with the method the consultant used to gather data and
what data was used to determine averages of the external labor market. She then stated when she began
talking about changing the compensation policy and practices 6 years ago, the compensation component
was supposed to be part of a larger effort. Performance evaluation forms were also to have been included
in the effort, along with job descriptions, and an employee handbook. She stated she was uncomfortable
with the fact the City had not fully implemented a performance evaluation system to-date, and she
thought that should be completed before the compensation policy was modified.
Turgeon went on to state she had requested Administrator Dawson provide her with the raw data used for
the study. She explained the averages used were maximum averages and minimum averages, and the
averages for actual wages had not been provided before. She then stated the difference between actual
averages and current Staff compensation were not drastically different.
Turgeon then explained she would prefer to have the performance evaluation process in place,
documentation on how the process would work, and a process for administering compensation increases
identified before the compensation system was changed. She commented she was supportive of
eliminating the step-adjustment approach for compensation increases. She stated she was not implying
any Staff was not performing as expected, but there was no way of determining to what level Staff was
performing without performance evaluations for all positions.
Councilmember Callies stated part of the reason for the recommended compensation changes was
because of the Pay Equity Act. She was aware that not all the Staffs' compensation was less than the
CITY OF SHOREWOOD REGULAR COUNCIL MEETING
June 26, 2006
Page 9 of 10
market rate, but there were some discrepancies. She stated without making a judgment on the severity of
the discrepancy, she did think the process used was thorough and well accepted in the field.
Administrator Dawson explained for purposes of the Pay Equity Act a city must identify what the
maximum pay range and maximum compensation was. He stated there were variations from city to city
on a position's actual wage based on the employee's tenure in the position. He then explained the City
had performance evaluation forms for each Staff position. He also explained staff members work toward
the market rate for their position; and anything beyond the market rate required justification be provided
to the City Administrator for consideration.
Councilmember Turgeon expressed concern that all department heads would have an employee that was
performing exceptionally. She stated there was not a performance evaluation system in place for
department heads.
Councilmember Wellens stated he understood there was a need for average maximum market rates, but
he stated there was also a need for Council to review the average actual market rates. He then stated he
was supportive of eliminating the step-adjustment compensation system, but he did not support
administering increases such that employees with 5 or more years tenure would be brought up to the
maximum market rate by January 1,2007.
Mayor Love stated pay ranges do increase over time.
In response to a question from Mayor Love, Administrator Dawson stated performance evaluations were
done on the non-director level Staff. While the director-level Staff had not had formalized performance
evaluations, all director-level Staff had been meeting expectations. He then stated he preferred to reward
performance, rather than administer step adjustments.
Mayor Love suggested this topic be continued to a July 10, 2006, City Council meeting where Council
could discuss the average actual rates.
10. ENGINEERING/PUBLIC WORKS
None.
11. STAFF AND COUNCIL REPORTS
A. Administrator & Staff
None.
B. Mayor & City Council
Mayor Love stated the next EFD Board meeting was scheduled for June 28, 2006, at the East Side
Station. He also stated the Excelsior Firefighters Relief Association dance was scheduled for July 21,
2006. He requested Staff inform the residents around the West Side Station of the event.
CITY OF SHOREWOOD REGULAR COUNCIL MEETING
June 26, 2006
Page 10 of 10
12. ADJOURN
Turgeon moved, Wellens seconded, Adjourning the Regular City Council Meeting of June 26,
2006, at 8:21 P.M. Motion passed 4/0.
RESPECTFULLY SUBMITTED,
Christine Freeman, Recorder
ATTEST:
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Woody Love, Mayor