10-25-10 CC Reg MinCITY OF SHOREWOOD
CITY COUNCIL REGULAR MEETING
MONDAY, OCTOBER 25, 2010
MINUTES
1. CONVENE CITY COUNCIL REGULAR MEETING
5755 COUNTRY CLUB ROAD
COUNCIL CHAMBERS
7:00 P.M.
Mayor Lizde called the meeting to order at 7:00 P.M.
A. Roll Call
Present. Mayor Lizee; Councilmembers Bailey, Turgeon, Woodruff and Zerby; Attorney Tietjen;
City Administrator Heck; Finance Director DeJong; Planning Director Nielsen; Director
of Public Works Brown; and Engineer Landini
Absent: None.
B. Review Agenda
Turgeon moved, Woodruff seconded, approving the agenda as presented. Motion passed 510.
2. APPROVAL OF MINUTES
A. City Council Work Session Minutes, October 11, 2010
Zerby moved, Woodruff seconded, Approving the City Council Work Session Minutes of October
11, 2010, as presented. ':Motion passed 510.
B. City Council Regular Meeting Minutes, October 11, 2010
Turgeon moved, Zerby seconded, Approving the City Council Regular Meeting Minutes of October
11, 2010, as amended in Item 8, Page 2, Paragraph 4, Sentence 1 change "Director Nielsen had
indicted" to "Director Nielsen had indicated ". Motion passed 510.
3. CONSENT AGENDA
Mayor Lizde reviewed the items on the Consent Agenda.
Woodruff moved, Turgeon seconded, Approving the Motions Contained on the Consent Agenda
and Adopting the Resolutions Therein.
A. Approval of the Verified Claims List
B. Adopting RESOLUTION NO. 10 -049 "A Resolution Approving Licenses to
Retailers to Sell Tobacco Products for CUB Foods Shorewood, Holiday Station
Store 412, and SASA, LLC, dba Metro Petro Gas and Food."
C. Authorize Expenditure of Funds for Sanitary Sewer Lift Station Repairs
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October 25, 2010
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D. Setting the Date of the Canvassing Board Meeting
E. Authorize Expenditure of Funds for Stormwater CIP Project
Motion passed 510.
4. MATTERS FROM THE FLOOR
There were no matters from the floor presented this evening.
5. REPORTS AND PRESENTATIONS
A. Silver Lake Drainage Update
Administrator Heck stated on October 20, 2010, Engineer Landini and he met with residents in the Silver
Lake area. He noted that Councilmembers Turgeon and Woodruff were also present. He stated the
purpose of the meeting was to discuss the energy dissipater and drainage concerns about stormwater flow
off Covington Road and into Silver Lake. They all walked around the Sweetwater area to look at the four
ponds utilized in the stormwater management system and that discharge into Silver Lake. Two of the
ponds are natural ponds and two were created as part of the Sweetwater development. Heck then stated
residents raised the concern of polycyclic aromatic hydrocarbons (PAHs) in Silver Lake. He noted that
PAHs are present in the sediment in Manor Pond. He stated the sediment in Silver Lake has not been
tested to determine whether or not PAHs are present. He stated testing will be part of the clean -out
process.
Heck went on to state the group discussed what the City's responsibilities are and what the Riley
Purgatory Bluff Creek Watershed District's (RPBCWD's) responsibilities are. He commented the
Minnesota Pollution Control Agency and /or Minnesota Department of Natural Resources may get
involved at some point. He noted Staff explained to the residents that the City manages the majority of the
stormwater component and the RPBCWD deals with flooding and water quality issues. He noted he
informed the residents that the RPBCWD has told him Silver Lake will undergo three years of water
sampling and testing during 2011 — 2013. The data collected is sent to the Minnesota Pollution Control
Agency (MPCA) for inclusion in their data base. When that is completed, the RPBCWD can identify
improvement alternatives.
Heck indicated he thought the meeting was good. He noted he will attend a RPBCWD meeting on
November 3, 2010. The residents in the Sweetwater area will address the RPBCWD representatives about
their concerns.
Heck stated he has spoken with stormwater management personnel at the MPCA and they have indicated
they may be interested in working with the City and the RPBCWD on a pilot project.
Mayor Lizde stated she assumed the City will be on the agenda for the RPBCWD's November 3`
meeting. Administrator Heck stated the City will be given a couple of minutes at the start of the meeting.
Mayor Lizee expressed her disappointment that the Staff memorandum on this topic was not displayed on
the screen in the Council Chamber this evening. She would have liked residents in attendance and those
who will view the recording of this meeting to have been able to read the complete memorandum about
the drainage issues and Silver Lake's water quality. She stated she received phone calls this past weekend
from people with questions that could easily be answered with the information in the memorandum. She
expressed her hope that the residents in the Silver Lake area will receive the information. She noted the
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October 25, 2010
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City does not use undiluted coal tar sealants on City roadways. She also noted the City is trying to work
in partnership with the RPBCWD and the MPCA on the Siler Lake water quality issue. She stated this
will be a multi -year process. She asked if the information in the memorandum could be disseminated to
the concerned residents. Administrator Heck responded Staff will at least get it to the residents Staff had
met with.
Councilmember Zerby stated PAH is a contaminant in some asphalt sealers. He asked if the City should
be considering a policy that would prohibit the use of products that contain the contaminant. He noted
Council chose not to have the sediment dredged out of Manor Park because of the great expense
associated with removal and disposal. He asked if the City should be testing all of the lakes and ponds in
the City to see if they are contaminated, and researching if there are any state or federal grant
opportunities to help deal with the problem.
Administrator Heck stated a bill was passed in 2009 directing the MPCA to conduct studies to identify
best practices for mitigating and controlling PAHs. Part of that statute prohibits State agencies from using
undiluted coal tar sealants. There was a bill introduced late in 2010 that would have made it a state -wide
ban.
6. PUBLIC HEARING
A. Star Lane and Star Circle Road Improvement Project, City Project 11 -01
Mayor Lizee explained the City has had quite a few meetings with owners of properties abutting Star
Circle and Star Lane about proposed improvements including the possible extension of water main. This
evening Council will hold a public hearing on this item. Council will make a decision as to whether or not
to rehabilitate the roadways. If the decision is made to rehabilitate them, Council will then decide if they
should be reconstructed or reclaimed. If they are reconstructed, Council will decide if water main should
be extended as part of the reconstruction effort. If the roadways are rehabilitated, water is not extended.
Mayor Lizee then explained that Council has had a lot of discussion about what constitutes the need for
roadway rehabilitation. The City uses the Pavement Surface Evaluation and Rating (PASER) System to
determine the roadway rating. During Council's October 11, 2010, work session there was Council
consensus that a PASER System rating of two (2) should trigger Council discussion about rehabilitating a
roadway. She noted that the Star Circle and Star Lane rating is three (3). She also noted that two years
ago the city patched and sealcoated the roads.
Mayor Wee noted Council has accepted a petition from the majority of the property owners indicating
they are not interested in having anything done to Star Circle and Star Lane.
Mayor Lizee opened the Public Hearing at 7:18 P.M.
Engineer Landini stated a roadway improvement project is proposed for Star Circle and Star Lane.
Landini gave a short presentation about roadways and roadway improvements. The highlights follow.
A newly constructed roadway has a projected life of 25 years if it is not maintained, assuming heavy
vehicles don't use the roadway frequently. Over time, the oil in the blacktop starts to dry out and begins
to crack. As that happens a roadway deteriorates from the top down. If a roadway has a poor foundation
and /or poor drainage, the roadway deteriorates from the bottom up. The projected life for a roadway
without maintenance is projected at 20 years. The City uses the PASER System from the University of
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October 25, 2010
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Wisconsin to evaluate and rate roadways annually. The PASER System ratings go from I to 10 with 10
being a newly constructed roadway.
A roadway with a PASER rating of 1 has failed and requires reconstruction.
A roadway with a PASER rating of 2 is in very poor condition. It must be reconstructed with extensive
base repair because it has severely deteriorated. The road has more than 25 percent alligator cracking,
sever distortions and rutting, as well as potholes and extensive patching. A roadway with a PASER rating
of 3 is in poor condition; structural repair is warranted. The road surface will show severe block cracking
and some alligator cracking. It's patching is in fair to poor condition. Milling and overlay is warranted if
the road base is good.
Landini went over the different types of roadway maintenance. Patching involves placing fill material in a
roadway's defects. Sealcoating involves applying a sealant to preserve and protect the blacktop. It keeps
the oils from drying out and flaking off. Rock is added to provide additional life on the wear surface. The
City's goal is to sealcoat a roadway every five years. Mill and overlay involves grinding the existing
asphalt surface down at the edges then applying two inches of new asphalt over the existing asphalt
surface.
The City has two options for rehabilitating a roadway: reclamation and reconstruction
Reconstruction involves installing edge control, a sand base under the roadway, drain tile, and a
foundation of rock and fabric to build the roadway on. As part of the effort, drainage issues, if any, are
addressed and sanitary sewer repairs will be made as needed. The reconstructed roadway will have two
standard -width driving lanes. A graphic was displayed showing the cross - section detail of a standard
reconstructed roadway.
Reclamation requires a good rock base; however, additional rock can be added during the process. It does
not provide the sand layer under the roadway to drain moisture away from the road. Drain the can be
added, but it does not perform as well without the sand base. Reclamation costs approximately 30 — 50
percent of the cost to reconstruct. Edge control cannot be added as part of a reclamation effort. The
reclamation process involves pulverizing the asphalt surface with a milling machine. The ground up
asphalt is mixed with the underlying aggregate. The mixture is put back down and a layer of new asphalt
is put down over the mixture. A diagram depicting the reclamation process was displayed.
Mayor Liz6e opened the Public Testimony portion of the Public Hearing at 7:25 P.M.
A resident in the audience asked when Council will make a decision on what will be done. Mayor Liz6e
responded this evening.
Greg Karas, 5600 Star Lane stated the last he heard Star Circle and Star Lane were rated 3. He asked if
the rating has been changed to 2. Engineer Landini responded they are still rated 3. Mr. Karas asked who
rated the roadways. Landini explains he personally drives every street in the City annually and evaluates
them. Mr. Karas stated he thought Star Lane is in fair condition and felt an overlay would be sufficient
and would last a number of years. The money that would be spent to rehabilitate the two roadways could
be better spent on something else.
Mayor Liz6e closed the Public Testimony portion of the Public Hearing at 7:28 P.M
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In response to a question from Councilmember Bailey, Administrator Heck stated the survey results
reflect that seven property owners are interested in or would like to have City water. There are total of
fifteen properties abutting the roadways. Engineer Landini stated five property owners indicated they
were very interested and two were somewhat interested in having City water.
Councilmember Zerby stated he continues to believe that rehabilitation of these two roadways would be
premature; noting the trigger -point rating for rehabilitation has been lowered to a 2. He stated Staff has
drafted three resolutions to consider for this proposed roadway improvement project. They are: 1)
reconstruct the roadways and extend water main; 2) reconstruct the roadways without water main; and, 3)
terminate the project. He recommended the project be terminated at this time. It can be reconsidered at a
later date when the roadways deteriorate 'further.
Councilmember Woodruff reiterated a PASER rating of 3 justifies maintenance; it does not justify
rehabilitation. He stated he does not support rehabilitating the roadway. He then stated at a later date he
would like to discuss with Staff a mill and overlay of the roadways. He would also like to discuss, at a
future date, what can be done to address the stormwater management issues without rehabilitating the
roadways. He went on to state that it was clear to him by the petition submitted that the residents did not
want the roadways reconstructed. He clarified the petition does not drive Council to make a particular
decision.
In response to a comment from Councilmember Turgeon, Engineer Landini stated the roadways were
patched and sealcoated two years ago. Turgeon asked if the sewer system repairs can be made without
rehabilitating the roadways. Landini stated the sewer repairs can be completed without construction.
Councilmember Bailey stated it's clear that Star Circle's and Star Lane's best days are behind us. At some
point there will have to be some type of rehabilitation done to them. If residents want City water, they
will have to be reconstructed. He suggested that those property owners who would like city water
encourage those against it to change their minds. He stated Council has to hear some consensus from the
residents regarding water main extension. The majority of the property owners would have to be in
support of the extension before the City would move forward with that sort of project.
Zerby moved, Adopting RESOLUTION NO. 10 -050 "A Resolution Terminating the Star Lane and
Star Circle Improvement Project."
Councilmember Zerby clarified that from his perspective the resolution is just postponing the project. The
roadways will eventually be rehabilitated.
Turgeon seconded.
Mayor Liz& expressed her appreciation for the neighborhood residents attending the various meetings
and being a big part of the process. She noted Council is trying to be prudent with the use of roadway
rehabilitation funds. She explained it costs about $1 million to reconstruct one mile of roadway. She
stated it's not a prudent use of the funds to reconstruct a roadway without addressing all of the
infrastructure needs.
Motion passed 5/0.
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October 25, 2010
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PARKS
Commissioner Trent reported on matters considered and actions taken at the October 12, 2010, Park
Commission meeting (as detailed in the minutes of that meeting). He noted the Commission's 2010 work
program has basically been completed.
Councilmember Zerby complimented the Commission on the outstanding job it did this year and he
thanked the Commission for all of the work it has done. He stated he thought the grand opening at Manor
Park on October 16"' was the highlight of the year.
In response to a question from Councilmember Turgeon, Director Brown explained a handicap access to
the new shelter in Silverwood Park will be installed. The Public Works crew will pave a trail behind the
new curb and install a handicap ramp by the chain.
Mayor Liz6e stated the refurbished and expanded shelter and the new boundless playground in Manor
Park are wonderful. She asked if there are plans to replace the sidewalk part of the project. Commissioner
Trent stated it's not in the Commission's 2011 work program. Liz6e commented that it would be rated a 1
by the PASER System which is used to rate roadways. Liz6e stated it's difficult for children and adults
with challenges to get to the new playground. She expressed hope that would be done as part of the
improvements noting a drainage issue in the Park that needs to be addressed and that the Park could use
some additional beautification.
8. PLANNING
Director Nielsen reported on matters considered and actions taken at the October 19, 2010, Planning
Commission meeting (as detailed in the minutes of that meeting). The Commission discussed two
amendments to the City Zoning Code. The Commission will hold two public hearings during its
December meeting of the draft ordinance amendments.
A. No Right Turn — Shorewood Village Shopping Center Westerly Entrance
Director Nielsen explained when the CUB Foods store was proposed for the Shorewood Village
Shopping Center the site plan included a westerly access egress point with restricted right -turn traffic onto
Lake Linden Drive. The purpose was to prohibit traffic from going north on Lake Linden Drive and to
discourage using it as a shortcut to County Road 19. He noted that the redesign of the County Road 19
and Smithtown Road intersection was also underway. He stated the City agreed to the restriction and to
revisit it after a few years.
Nielsen noted the City has received complaints over the years from people who received tickets. Nielsen
stated the Planning Commission held a public forum during its September 21, 2010, meeting on the no
right -turn restriction. Property owners within 1000 feet of the site were notified of the forum. A number
of people spoke on the issue during the forum. Others submitted comments in writing. The Commission
recommends the restriction be applied to trucks with a Gross Vehicle Weight over 8000 pounds. If
Council agrees, the Commission recommends increasing the radius on the curbing to make it safer. He
related that Director Brown recommends the signage not change until after altering the curb.
Mayor Liz6e asked how many people from that neighborhood came to the forum. Director Nielsen stated
there were a number of people from throughout the community that came to the forum.
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October 25, 2010
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Councilmember Turgeon stated she agrees with the Planning Commission's recommendation. She
commented the restriction ends up causing traffic to build up at the southerly entrance to the Center. She
asked about the cost to increase the radius on the curbing. Director Nielsen responded $4,000.
Woodruff moved, Zerby seconded, to accept the Planning Commission recommendation to restrict
the right turn onto Lake Linden Drive from the westerly entrance to the Shorewood Village
Shopping Center to vehicles with a gross vehicle weight over 8000 pounds, increasing the radius of
the curbing at that intersection for an amount not -to- exceed $5000, and changing the sign once the
radius has been increased.
Mayor Liz& expressed her appreciation to the Planning Commission going through the process. She
noted that when CUB Foods was built there was a lot of concern about increased traffic on Lake Linden
Drive, Yellowstone Trail, and Country Club Road. She stated if Staff and the Commission have received
feedback that this would be an appropriate change with the curb cut and if truck traffic can be minimized
to County Road 19, then this is a good solution.
Councilmember Bailey asked what priority this project would have in the spring of 2011. Director Brown
stated it will be included in the January 2011 bid schedule and the work will be done as soon as the
weight restriction is lifted next spring.
Councilmember Turgeon asked Staff to contact First Student and again ask them not to drive their empty
buses on Lake Linden Drive, Yellowstone Trail, and Country Club Road. The empty buses can use
County Road 19. Director Brown stated First Student has been contacted before and will be contacted
again.
Councilmember Zerby asked where the money to do the project will come from. Director Brown
responded the Local Street Reconstruction Fund.
Motion passed 510.
9. ENGINEERING/PUBLIC WORKS
There was nothing additional to report.
10. GENERAL/NEW BUSINESS
A. Wellhead Protection Plan
Administrator Heck stated the City received notification this past week from the Minnesota Department
of Health (MDH) that it must prepare and submit a Wellhead Protection Plan (WPP) for the City -owned
wells. The City has to begin the WPP by March 1, 2011, and complete it by March 1, 2015. He stated the
City of Excelsior is not required to do this, and as of today, he has not heard if the City of Tonka Bay is
required to do this. He noted the Cities of Deephaven and Greenwood do not have public water systems;
therefore, they are exempt from the requirement.
Heck noted the MDH will provide assistance with completing a substantial portion of Part I of the WPP
for well systems serving no more than 3,300 water customers. The MDH will also provide training,
technical assistance, guidance documents, maps, budget assistance, forms, and so forth. The MDH will
also provide support for Part 2 of the program.
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October 25, 2010
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Heck then stated Director Brown, Engineer Landini, and lie have discussed hiring an intern to work on the
WPP, hiring a consultant to do it, or utilizing existing staff to do it. If the staff option is chosen, the
current priorities will have to be adjusted from existing roadway and stormwater management projects.
The option does not preclude the use of consultants. Heck stated an intern would be between $10-$15 per
hour and it is unknown what a consultant would charge; however, based on the park planning he
anticipates a cost of approximately $20,000.
Administrator Heck recommended Council authorize Staff to research the intern option. He noted the
funding would come out of the Water Fund. If the City is unable to find an intern with the necessary
skills, then Staff will prepare a request for proposals for consulting services to prepare and complete the
plan.
Councilmember Turgeon asked what will happen if the City doesn't do this. Director Brown explained
that each year the City applies for a permit for each well.. The immediate effect of not completing the
WPP is the DNR and other agencies will put a halt on installing new municipal wells even if the well
would be a replacement well. Should that fail to get the City's attention the City's permit could be
suspended.
Councilmember Woodruff stated he did not want to take any action on it during this meeting. He asked
Staff to ask those in the City's pool of consultants for quotes to do this project. Staff should continue to
find out what, if anything, Tonka Bay is going to do. He also wants Staff to prepare an outline for the
WPP. He stated he does not have enough information.
Administrator Heck stated lie will forward to Council an attachment to the letter the City received from
MDH describing what has to be done.
Councilmember Bailey stated that before Staff canvasses consultants he would like the City to get a
model plan from the MDH.
There was Council consensus to gather some additional information on this topic
B. Ordinance Banning Coal Tar
Administrator Heck stated during the earlier discussion about the Silver Lake drainage, carcinogenic
polycyclic aromatic hydrocarbons (PAHs) was discussed. One source of PAHs is undiluted coal tar based
driveway sealants. A few residents raised the issue of the City not having an ordinance banning the use of
coal tar based sealants. Because the City does not have an ordinance, the City is not eligible to apply for
grants through the Minnesota Pollution Control Agency (MPCA). He noted that the deadline for applying
for grants is October 29, 2010, and there is no way the City could adopt such an ordinance by then.
Heck explained Council discussed this issue during its January 11, 2010 meeting as part of dredging
Manor Pond.. Staff indicated the grant funds available from the MPCA and the requirement for an
ordinance banning the use of products containing undiluted coal tar to qualify for a grant. Heck noted the
difficulty of enforcement and stated his impression during the January meeting was that Council wanted
to wait and see if the State was going to impose a State -wide ban on the sale of such products.
Heck recommended Council hold off on adopting an ordinance banning undiluted coal tar sealant
products to see what the State Legislature is going to do about this. He also recommended working with
the legislative delegation in support of a State -wide ban. He suggested the City educate residents on the
hazards of such products and encourage the use of different products.
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October 25, 2010
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Mayor Lizde noted the City spearheaded the effort to ban the sale of fertilizers containing phosphorous a
number of years ago in partnership with the City of Plymouth. She expressed hope that the Legislature
will pick this up. She noted PAH is one of 128 listed pollutants with the MPCA and maybe more than just
PAH should be discussed by the Legislature. She explained the City of White Bear Lake has been looking
at the levels of PAHs in White Bear Lake and in its treatment basins. She questioned what other sources
of PAHs besides driveway sealants there are. She stated she thought prohibiting the use of products with
PAHs requires more than a City Ordinance,
Councilmember Zerby stated this reminds him of the State -wide phosphorous ban enacted a number of
years ago. The sale of phosphorous was banned because that is what could be enforced. He then stated
that although he would love to ban the product, he did not think there is a way to enforce a ban on the use
of it. He expressed he would support a ban on the sale of products containing PAHs in the City as well as
lobbying the local delegation to support a State -wide ban. Councilmember Bailey stated he agreed with
Zerby's comments, as did Councilmember Turgeon.
Councilmember Turgeon stated there may be some value in having Staff contact the one supplier of such
products in the City and ask them how much product they sell.
Councilmember Woodruff stated he supports going to the legislative delegation, but he is reluctant to
amend the City Ordinance to ban the use of such products.
Mayor Lizde agreed with pursuing this through the legislative delegation. She also agreed with educating
the City's residents.
C. Waterford Right -of -Way Encroachment
Director Nielsen explained part of the boulder retaining wall located on the north side of Waterford Place,
west of Waterford Circle, is failing. The Waterford Homeowners Association proposes to rebuild the
entire wall. Nielsen stated that parts of the lower tier of the two -tier watt encroaches into the right -of -way.
The City Code requires approval by the City Council of an encroachment permit and agreement for
structures located in the city's right of way.
Director Nielsen stated Staff recommends approving the encroachment permit and agreement, noting a
copy of which is included in the meeting packet.
Bailey moved, Turgeon seconded, approving the encroachment permit and agreement with the
Waterford Homeowners Association.
Councilmember Woodruff asked if the new wall will be sturdy enough. Director Brown explained the
plan for the wall is designed and signed by a registered engineer.
Motion passed 510.
D. Shady Hills Neighborhood Petition — Traffic
Director Nielsen explained a number of years ago the City installed signage to restrict turning movement
in and out of the Shady Hills neighborhood at the request of the residents. The rationale was to discourage
traffic, primarily motorists going to and from the Minnetonka High School, from cutting through the
neighborhood.
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October 25, 2010
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Nielsen stated Robert Edmondson, 19585 Shady Hills Road, submitted a neighborhood petition
requesting changes to traffic controls, in particular at the intersection of the highway 7 service road and
the street that serves as the westerly outlet from the neighborhood. A copy of the petition is included in
the meeting packet.
Nielsen then stated when the City first considered putting in the restrictions, the City held a public forum
to talk with those residents about the various measures to control traffic. Staff recommends holding a
forum again and wants to know if Council or the Planning Commission should conduct the forum and
make a recommendation to Council.
Mayor Lizee asked Mr. Edmondson if he wanted to address Council
Robert Edmondson, 19585 Shady Hills Road reviewed the history of the petition. He noted that 44 out of
49 property owners signed the petition. He also noted seven (7) residents received tickets due to the turn
restriction. He stated he did some curb distance measuring and took traffic counts during a certain time
period in the morning on a weekday. That information is included on the petition.
There was Council consensus to have the Planning Commission and Public Works look into this further
to provide cost estimates and to conduct the public forum. Council will await a recommendation.
Director Nielsen stated the Planning Commission's agenda for November is full. He asked if it would be
okay for the Planning Commission to address this in January 2011. Mr. Edmonson responded he had no
problem with that.
Mayor Lizee thanked Mr. Edmondson for his efforts
11. STAFF AND COUNCIL REPORTS
A. Administrator and Staff
Administrator Heck stated on October 28, 2010, from Noon — 1:30 P.M. the City will be hosting a
webinar put on by the International City /County Managers Association (ICMA) on Collaborative
Leadership. The City Administrators from Deephaven, Excelsior, and Tonka Bay as well as South Lake
Minnetonka Police Chief Litsey and Excelsior Fire District Chief Scott Gerber were invited. The
department heads will also be in attendance. He invited Councilmembers to attend if they would like.
1. Financial Report —September 2010
Director DeJong stated the meeting packet contains a copy of the September 2010 financial report. He
explained he revised the monthly budget report to include the actual percentage of year -to -date spending
against budget for the same time period in 2007 — 2009. The average of the 2007 — 2009 expenditures are
compared to the 2010 expected expenditures to date. He asked Council if the new information is of value.
DeJong then stated his understanding is that Council would like a calendarized budget. He asked Council
they want him to work on this for 2010, or can this be an item for 2011. He noted he and the rest of Staff
are currently working on a number of other high priority items.
Councilmember Woodruff stated he did not think it would be worthwhile to develop a calendarized
budget for the rest of 2010. He would like to have that available for 2011. He requested the current month
actual information added back to the report.
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October 25, 2010
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Councilmember Bailey stated he would like developing a calendarized financial report be the focus for
2011. He asked Director DeJong if he could bank on a $300,000 favorable variance at the end of the year.
He stated a reasonably sized surplus at the end of the year could be used to make the Equipment Fund
more solvent.
Director DeJong explained one of the challenges is to make sure all accounting entries from the beginning
of the year have been done correctly. He already identified a number of journal entries to make. He
expressed he is perplexed by the fact that the property tax revenue is more than 50 percent of the 2010
budget when the City has only received property taxes for the first half of the year. He stated he has to
conduct a review of revenues and expenditures before he can adequately answer Councilmember Bailey's
question.
Councilmember Zerby asked Staff to comment on the Municipal Building budget, noting the total 2010
budget is approximately $70,300 and the adopted budget is $373,600. Administrator Heck stated the City
has made bond payments that have not been accounted for. Zerby stated that would be under capital
outlay. Zerby noted that the line item support and services year -to -date amount is almost $14,000 and the
budget is $133,000. Heck explained in 2010 the final payment to the Sanitary Sewer Fund for the loan on
the City -owned house has not been accounted for, and lie is not sure if that will be a capital item or not.
Director DeJong stated the City has generally done transfers at the end of a calendar year and that impacts
year -to -date compared to budget information.
2. Report on Therapeutic Massage License Fees
Administrator Heck related that Director Nielsen has indicated there is no need to have the Planning
Commission involved with the setting of therapeutic massage license fees. He stated Staff will likely
make a recommendation to Council to lower the individual massage license fee because the City's fee is
significantly higher than other communities' fees. Councilmember Bailey stated Council and Staff
discussed doing away with the individual fee and just having a facility fee. Heck stated Staff is still
discussing that.
Councilmember Bailey asked why the City does back ground checks for the therapeutic massage.
Councilmember Turgeon stated she wants the Planting Commission to make sure that any changes to
therapeutic massage license fees will not impact anything in the City Code and also to ensure people are
charged 'fees. Director Nielsen stated there is consistency.
Director Nielsen stated the original request was to pro -rate the individual therapeutic massage license fee
and to reduce that fee.
Administrator Heck explained Staff is going to assess the license fee. There has been some discussion
about whether the organizations providing the service should be licensed at all; noting Councilmember
Zerby had raised that question. He noted requiring a license is part of the City Ordinance and therefore
the Planning Commission would have to be involved. He stated that the initial concentration will be on
looking at the fee and the prorating of the fee because a new fee structure will have to be adopted soon.
Councilmember Woodruff stated if the structure of the licensing changes the Planning Commission will
have to be involved.
Councilmember Bailey stated the City has received a legitimate request to reduce the fee and prorate the
fee. There is a second discussion to be had about the need for a license.
CITY OF SHOREWOOD REGULAR COUNCIL MEETING MINUTES
October 25, 2010
Page 12 of 12
Councilmember Woodruff expressed willingness to discuss prorating the fee.
Administrator Heck stated Staff will provide Council with information about prorating the fee and
reducing the individual license fee for its November 8, 2010, meeting. He then stated in 2011 Staff will
look at the entire licensing structure.
Councilmember Zerby stated he would like to get rid of all of it. He noted there is already something to
address background checks.
B. Mayor and City Council
Councilmember Woodruff stated during a meeting of the area police chiefs on October 28"' he will make
a presentation on the topic of the enforcement of aquatic invasive species laws.
Mayor Liz6e stated the grand opening at Manor Park on October 16`" was successful. She thanked the
Park Commission and Staff for their efforts on improving Manor Park.
12. ADJOURN
Turgeon moved, Woodruff seconded, Adjourning the City Council Regular Meeting of October 25,
2010, at 8:55 P.M. Motion passed 5/0.
RESPECTFULLY SUBMITTED
Christine Freeman, Recorder
ATTEST-
Christine Liz6e, Mayor