11-22-10 CC Reg MinCITY OF SHOREWOOD
CITY COUNCIL REGULAR MEETING
MONDAY, NOVEMBER 22, 2010
MINUTES
1. CONVENE CITY COUNCIL REGULAR MEETING
5755 COUNTRY CLUB ROAD
COUNCIL CHAMBERS
7:00 P.M.
Mayor Lizec called the meeting to order at 7:00 P.M.
A. Roll Call
Present: Mayor LizBe; Councilmembers Woodruff and Zerby; Attorney Tietjen; City
Administrator Heck; Finance Director DeJong; and, Planning Director Nielsen.
Absent: Councilmembers Bailey and Turgeon.
B. Review Agenda
Woodruff moved, Zerby seconded, approving the agenda as presented. Motion passed 310.
2. APPROVAL OF MINUTES
A. Canvassing Board Minutes, November 8, 2010
Zerby moved, Woodruff seconded, Approving the Canvassing Board Minutes of November 8, 2010,
as presented. Motion passed 310.
B. City Council Work Session Minutes, November 8, 2010
Zerby moved, Woodruff seconded, Approving the City Council Work Session Minutes of
November 8, 2010, as presented. Motion passed 310.
C. City Council Regular Meeting Minutes, November 8, 2010
Woodruff moved, Zerby seconded, Approving the City Council Regular Meeting Minutes of
November 8, 2010, as amended in Item 6.A, Page 5, Paragraph 5, Sentence 1 change "those that live
on Enchanted and Phelps Islands" to "those that live on the Islands ". Motion passed 310.
3. CONSENT AGENDA
Mayor Lizee reviewed the items on the Consent Agenda.
Zerby moved, Woodruff seconded, Approving the Motions Contained on the Consent Agenda and
Adopting the Resolutions Therein.
A. Approval of the Verified Claims List
B. 2011 Benefits
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November 22, 2010
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C. Approving ORDINANCE NO. 471 "An Ordinance Titled "License, Permit, Service
Charges and Miscellaneous Fees."
D. Shorewood Yacht Club Update
E. Upper Minnetonka Yacht Club Update
F. Authorization for Expenditure of Funds — HVAC Equipment for Wells
G. Silver Lake Silt Curtain Installation
Motion passed 310.
4. MATTERS FROM THE FLOOR
There were no matters from the floor presented this evening.
5. PUBLIC HEARING
None.
6. REPORTS AND PRESENTATIONS
A. Lake Minnetonka Conservation District Activities Report by Representative
Richard Woodruff
Councihnember Woodruff, the City's representative to the Lake Minnetonka Conservation District
(LMCD), provided a report on recent LMCD activities. The highlights of the report are as follows.
The LMCD made minor changes to its strategic plan which was developed in 2009. There was lengthy
discussion about a request from the Hennepin County Sheriff's Water Patrol asking the LMCD to adopt
an ordinance which would require a straight -arm between a motorized vehicle and something the vehicle
is towing with a person on it on Lake Minnetonka. The LMCD chose not to adopt that requirement. There
were changes made for winter speed limits on Lake Minnetonka. The speed limit in the shore zone
(within 150 feet of the shore) or within 150 feet of a person or structure was increased to 25 miles per
hour (mph) from 15 mph. The speed limit for snowmobiles in the night was increased to 50 mph from 30
mph with some exceptions. The speed limit for all motorized vehicles on Black Lake, Emerald Lake and
Seton Lake is 25 mph all hours of the day.
The LMCD is in ongoing discussions with the Wayzata Yacht Club and Sailing School about its desire to
reconfigure its facilities. The LMCD, as the local government agency, has filed an Environmental
Assessment Worksheet and is waiting for comments from other State agencies. 'the LMCD has had two
work sessions so far with Woodland Cove Development about its proposed development on Halstead's
Bay. The developer wants to put in 137 docks. The City of Minnetrista is heavily involved.
The Hennepin County Sheriff's Water Patrol has issued 48 boating while intoxicated citations year -to-
date in 2010 compared to 104 in 2009 and 76 in 2008. It issued 21 citations for minor consumption year -
to -date in 2010 compared with 33 in 2009 and 50 in 2008. It issued 1 careless boating citation year -to-
date in 2010 compared to 23 in 2009 and 8 in 2008. No one drowned in Lake Minnetonka year -to -date in
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November 22, 2010
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2010. There was one deputy available for patrol activities during the 2010 boating season compared to 2
or 3 in previous years. The hours worked year -to -date in 2010 is 3035 compared to 4011 in 2009.
The result of the LMCD's biannual shoreline storage count (how many watercrafts are moored on Lake
Minnetonka) is 9,230. The 2008 count was 10,233 and the 2006 count was 10,278. The 10 -year average
count is 9,917.
With regard to aquatic invasive species (AIS) activities, the Army Corps of Engineers has provided the
Minnesota Department of Natural Resources (MnDNR) with its report on the results of the 2010 3 -Bay
chemical treatment program. It's expected to be available to the LMCD in the near future. Once the report
has been published discussion about potential treatment activities for 2011 can begin. The LMCD
harvested 384 acres in Lake Minnetonka for Eurasian Watermilfoil in 2010 and it removed 137 truck
loads of growth. In 2009 350 acres were harvested and 170 truck loads of growth were removed. In 2008
309 acres were harvested and 97 truck loads of growth were removed. There was extensive growth in
2009.
The Minnehaha Creek Watershed District engaged lake shore property owners via survey forms it mailed
out asking what the owners found regarding zebra mussels. New AIS signage stating Lake Minnetonka is
infested with zebra mussels has been installed at all public boat launches. Three cities in the LMCD area
have adopted a resolution so far regarding how Fine revenue from AIS transportation violations is
distributed. A meeting was held with the Lake area police departments, of which all but two were
represented, to discuss enforcement of AIS laws. The MnDNR and Hennepin County Sheriff's Water
Patrol will provide the needed training for patrol officers. Minnesota Waters and the MnDNR hosted a
session for lake associations on AIS. During a technical discussion it was noted there are many different
mitigation programs used in lakes. Three subject matter experts indicated people are still learning about
AIS control, mitigation and treatment. It appears that Lake Minnetonka AIS related activities have been
reasonable.
Woodruff noted he attended 4 out of 5 of the LMCD Board meetings and work sessions, he co- chaired
one LMCD Invasive Species Task Force meeting, lie presented AIS enforcement information during the
Lake Minnetonka area police chiefs' meeting, and he represented the LMCD at the Minnesota Waters and
MnDNR lake association session.
7. PARKS
Mayor Liz& noted Park Commissioner Swaggert was not able to be in attendance this evening to give a
report on the Park Commission's last meeting.
Mayor Liz6e gave a brief report on matters considered and actions taken at the November 9, 2010, Park
Commission meeting (as detailed in the minutes of that meeting).
8. PLANNING
Commissioner Hasek reported on matters considered and actions taken at the November 16, 2010,
Planning Commission meeting (as detailed in the minutes of that meeting).
A. Zoning Violation Appeal — Birch Bluff Road
Director Nielsen stated Gale Olson, Jr. owns the property located at 25755 Birch Bluff Road. The City
has received resident complaints citing a number of issues with that property. The complaints resulted in
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November 22, 2010
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the City sending Mr. Olson a Zoning Violation Notice and a Notice to Remove in October 2010 for a
number of zoning and nuisance violations on that property. He noted the City is in the process of
investigating a potential violation with the number of accessory structures on the property but that is not
included in these notices. He stated the meeting packet includes a number of copies of photographs of the
premises taken by the City's Building Inspector. Mr. Olson has appealed the notices, but his appeal letter
does not explain the nature of the appeal. It's unclear whether Mr. Olson is requesting additional time to
comply or if he objects to the notices for other reasons.
Nielsen then stated when a property owner requests more time Council generally grants the request,
frequently for up to 30 days, provided the individual has demonstrated a good faith effort to comply. It's
unclear if Mr. Olson has made a good faith effort because City representatives have not gone back on to
the property to see what progress has been made. He noted that during the inspection Mr. Olson asked the
City's Building Inspector to leave the premises part way through the inspection. He stated the City has
continued to monitor the numbers of vehicles on the premises, noting most of them are registered to
people living on the property but a couple of them are not. He explained there is a provision in the City
Ordinance that talks about screening more than five motor vehicles.
Mayor Lizee noted the City received a letter of appeal from Mr. Olson on October 14, 2010. She asked
Mr. Olson if he would like to address Council.
Gale 01son . Jr., 25755 Birch Bluff Road stated he disagreed with what the City Building Inspector was
doing on his property. When lie spoke with the Inspector oil the phone before he came out to the property,
the Inspector indicated Mr. Olson had stuff going over to the west side of his property and the Inspector
was going to inspect that. When the Inspector was at the property Mr. Olson pointed out to him that there
was not anything over on the west side of the property. The Inspector replied that lie was not out at the
property to check that; he was out there to check vehicles and to measure the size of the sheds. Mr. Olson
noted that he has been before Council about his sheds 4, 8 and 12 years ago. He explained that he
received permits to put up the sheds he has on the property. He questioned why he has to repeatedly come
before Council to talk about sheds he got permits for.
Mr. Olson then stated the Building Inspector gave him two different reasons for his visit. He commented
lie does not like to keep dealing with people who keep changing their mind about wiry they are inspecting
his property. He explained that from his vantage point the Inspector started to nit pick and when that
happened Ile told the Inspector "I think we're done ". After that they walked partly up the hill and then the
Inspector looked at his watch and said "you're kicking me off the property at 6:30 ". They continued to
talk in front of the house until 7:30.
Mr. Olson explained the vehicles on the property are owned by people living in the house. The one
vehicle that Director Nielsen had stated was registered to someone else is being used by his brother -in-
law who lives in the house and it's on loan to him from another brother -in -law. He received a letter
informing him that he has to remove that vehicle from the property immediately, so he told his brother -in-
law who is using the vehicle to get to and from work that he has to remove the vehicle. He is unsure of
where the City got the license plate number from for a trailer. That plate is not on any of the trailers on his
property. He noted he had told the Building Inspector at the time he was on his property that lie uses the
tractor, owned by him and his brother, on the property to grade the driveway after heavy rains and to plow
his driveway during the winter. He also noted he puts a portable canvas over the tractor.
Mr. Olson stated people can drive by his property and see what has or has not been done to it. The
vehicles, with the exception of one or two of them, are all gone during the day. They are there during the
evening when people come back home. The same number of vehicles has been there for four years.
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Mr. Olson noted that his next door neighbor has told him he has not complained about his property, and
the neighbor knows that if he were to complain to him it would get changed. He explained that a person
has to walk down the hill behind his house to see anything. After the Building Inspector left his property
he took a picture from where the Inspector was standing of what you could see behind his property. He
noted he can't see anyonCs house behind his property and lie doesn't think anyone can see his property
from their house. He stated there is a shed back there that is not his and it's not on his property.
Mr. Olson submitted pictures for the record.
Mr. Olson explained he put a fence around a ladder and plank behind his shed and a person has to be
standing behind the shed to see it. A person would also have to be behind his shed to see some of the
materials that are supposed to be in violation. From the roadway to the back of the shed is more than a 30-
foot drop. He has heard from people in the neighborhood that sometimes they can't see around trailers on
the road when they are trying to go faster than the 25 miles per hour speed limit.
Mr. Olson stated everything is licensed and gets used. The gazebo shown in one of the photographs is
taken down during the winter months. He asked what is wrong with a portable gazebo. Director Nielsen
responded it's the number of accessory buildings in total. Mr. Olson responded the number of accessory
structures has not changed. Nielsen noted the sheds are not included in either of the notices. Nielsen also
noted the City is acting on a complaint received; the City doesn't go out looking for violations. Mr. Olson
stated the Building Inspector had told him he had to measure the sheds.
Mayor Lizee stated that this evening's meeting packet includes a council action form about the violations
at 25722 Birch Bluff Road prepared by Staff and attached to it are copies of photographs of the premises,
copies of the two notices dated October 6, 2010, that were sent to Mr. Olson at his Birch Bluff residence,
and a copy of Mr. Olson's letter to appeal. She explained the City received complaints about Mr. Olson's
property and the City is asking him to do something about that.
Mayor Lizee asked Mr. Olson to clarify what he is appealing. She noted the Building Inspector is not
present to clarify actions he took when he visited Mr. Olson's property. She suggested that she, the City
Administrator, the Zoning Director and Mr. Olson meet to see if they can reach consensus on how to
work together on this. This can then be reconsidered during Council's December 13, 2010, meeting.
There was consensus to meet after regular working hours.
Zerby moved, Woodruff seconded, continuing the consideration of appeal to code violation notice
from Gale Olson, Jr., 25755 Birch Bluff Road, to the City Council regular meeting on December 13,
2010.
Councilmember Woodruff reiterated Director Nielsen's comments that the City is not here to cause
problems for residents, and that the City has to act on complaints it receives. He stated if there is
something in the notices that is incorrect the City would Tike to correct that.
Mayor Liz& asked Mr. Olson to call Administrator Heck tomorrow during business hours to arrange a
meeting time.
Motion passed 310.
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November 22, 2010
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9. ENGINEERING/PUBLIC WORKS
Mayor Liz6e stated Public Works Department personnel did a terrific job dealing with the problems
caused by freezing rain the past weekend.
10. GENERAL/NEW BUSINESS
A. Commission and Board Appointments
Mayor Liz& explained that every year Council makes appointments to the Park and Planning
Commissions and to various boards. There will be two seats open for each of the Commissions in 2011.
It's important for the incoming 2011/2012 Council to give some thought to appointments before
Council's first meeting in January 2011. She commented she did not think anything more needed to be
said about this topic.
Administrator Heck stated Staff is not asking Council to take any action this evening. He then stated
Council will also need to make an appointment to the Lake Minnetonka Communication Commission in
January. He suggested Council consider having the City make a general announcement about the
positions that will be vacated rather than advertising for the various positions specifically.
B. 2010 Audit Services
Director DeJong stated the City's auditor Abdo, Eick and Meyers, LLP, has proposed providing audit
services for fiscal year 2010 for an amount of $25,872. The cost for it providing the 2009 fiscal year audit
services was $25,073; about 3 percent less. He noted that in 2008 Council selected the firm to provide
audit services over a three -year contract period. He stated Staff recommends Council accept the contract.
Director DeJong reviewed some transfers Staff recommends Council authorize before the end of 2010,
noting Council will consider a resolution authorizing transfers during its December 13, 2010, meeting.
The first is a transfer of approximately $12,000 in unspent funds in the Waterford III TIF District Fund to
the Local Street Reconstruction Fund to cover the cost of sealcoating Old Market Road and repainting the
intersection of Old Market Road and Highway 7. Those activities are allowed by the TIF plan. Another
transfer proposed is from the Public Facilities Fund to the City Hall Construction Fund to fund an
approximate $32,000 deficit. A third transfer proposed is from the unspent funds in the EDA Public
Safety Facilities Project Fund in the approximate amount of $68,000 to the 2007 FDA Debt Refunding
Bonds Fund for use in retiring the bonded debt associated with the construction of the Public Safety
Facilities.
Woodruff moved, Zerby seconded, accepting the contract with Abdo, Fick & Meyers, LLC for
audit services for fiscal year 2010 in the amount of $25,872. Motion passed 310.
C. Capital Improvement Plan Discussion
Director DeJong stated the 2011 — 2015 Capital Improvement Program (CIP) included in the meeting
packet includes changes discussed during Council's October 25, 2010, work session. If Council agrees
with the CIP it will be on the December 13, 2010, Council meeting agenda for approval.
DeJong explained that Council had discussed wanting to prioritize the projects in the individual CIPs. The
projects scheduled to be done in 2011 are in effect the highest priority projects (a priority of I) and those
in 2012 — 2015 are priority 2 — 5 respectively. The projects in the Stormwater Management CIP
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November 22, 2010
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identified in the report prepared by WSB & Associates titled Analysis of Drainage Problems Areas within
the City of Shorewood are prioritized a 1, 2 or 3. Projects in that CIP not identified in the report have a
priority of 4.
DeJong stated Staff recommends combining the Public Facilities Fund, the Equipment Replacement Fund
and the Technology Fund into one fund. He then stated that will be left for Council discussion.
DeJong explained that based on the 2011 — 2015 Equipment Replacement CIP the Equipment
Replacement Fund will enter into a deficit state in 2015. He commented Councilmember Woodruff has
discussed this with him. He stated he thought it is Staff role to prepare projected funding documents for
Council, but it's up to Council to decide how to address funding deficits. He noted Staff has not taken any
corrective action to fix the projected deficit in this Fund. He stated Staff proposes putting revenues from
antenna leases into this Fund and that would eliminate the deficit. They currently are placed into the
Water Fund. Other alternates for addressing the deficit is to reduce the amount of equipment that is
replaced or transferring funds from other funds. He noted there is enough money in the Fund for the
proposed 2011 replacements.
DeJong then explained the Local Street Reconstruction CIP has been updated to reflect the changes made
to the 20 -Year Pavement Management Plan as well as the street maintenance financing plan that were
discussed during Council's November 8, 2010, work session. The 2011 — 2015 CIP includes each
proposed street maintenance project during that 5 -year period. A lump -sum amount is budgeted each year
for sealcoating.
DeJong noted the water main extension projects previously included in the Water Fund CIP have not been
removed. Some of the projects were previously anticipated to be done in conjunction with a street
reconstruction project. Some of those roadways will not be reconstructed during the next five years. He
stated Staff would like direction from Council on how to handle potential water main extension projects.
Mayor Lizee thanked Staff for its efforts.
Mayor Lizee recommended the discussion about combining the Public Facilities Fund, the Equipment
Replacement Fetid and the Technology Fund occur in 2011.
Councilmember Woodruff stated he could support waiting to have that discussion. He asked Staff to
schedule that discussion for early in the year before 2012 budget discussions begin. He suggested waiting
to discuss where antenna lease revenues should be put until 2011. He stated he did not think there is a
need to put the revenues in the Water Fund because that Fetid is well funded. He then stated the Capital
Equipment Summary Sheet does not include the transfer in from the General Fund to the Equipment
Replacement Fund.
Councilmember Zerby stated he appreciates the work Director DeJong did on this, noting DeJong
addressed past issues and identified creative options. He expressed his agreement with DeJong's comment
that it's up to Council to set the policy for how to fund things.
D. 2011 General Fund Budget Discussion
Director DeJong stated the copy of the 2011 General Fund Budget included is the meeting packet is the
same as the one Council discussed last during its August 23, 2010, regular meeting. The budget reflects a
zero percent increase in the levy over the 2010 and 2009 levies. He then stated Staff is asking for
CITY OF SHOREWOOD REGULAR COUNCIL MEETING MINUTES
November 22, 2010
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confirmation that this budget will be presented during the Truth -In- Taxation hearing scheduled for
December 6, 2010.
Councilmember Woodruff stated when Council last discussed the 2011 budget it left it with a revenue
surplus of $36,649. The reason there is a surplus is because Council chose to use $160,000 in General
Fund reserves. He had spoken with Director DeJong about reducing the planned use of reserves so that
expenses equal revenues (a zero balance). He then stated Administrator Heck has asked Council to
consider using some of the surplus to fund a program called "Measurable Management ". He noted that in
an email to Heck lie suggested that if the program is going to move forward the funding for it should be
included in the Administration Budget and then the use of reserves could be adjusted to balance the 2011
General Fund Budget.
Administrator Heck stated he has spoken again with Staff and Council about the Measurable Management
program. It doesn't appear there is a lot of good support for such a program. 'There's suggestion that some
of the efficiencies achieved by going through such a program could be accomplished with internal
resources. He asked Council to consider allocating funds in the Council Budget for a Council and Staff
retreat to discuss roles and priorities. He also asked Council to consider allocating funds for community
engagement activities. He suggested budgeting $15,000 — $20,000 as a placeholder for those activities,
noting Council can decide at a latter date if it wants to move forward with them.
Councilmember Zerby stated he did not think there would be any problem with including that
placeholder. The incoming Council can decide if it wants to use the funds.
Mayor Liz& stated she thought it would be reasonable to put a placeholder in the Council Budget equal to
the amount of the revenue surplus ($36,649) to potentially fund the things Administrator Heck mentioned.
Councilmember Woodruff stated he can support having a placeholder in either the Council Budget or
Administration Budget. He then stated that a few years ago he passionately encouraged Council to delete
a contingency line item in the Council Budget because it had not been spent for a few years. He asked that
the placeholder not be called contingency.
Administrator Heck stated there will be two new council members joining Council in January 2011 and
he thought there should be sufficient funds to provide them with needed training.
Councilmember Woodruff stated that during the Southshore Community Center (SSCC) Operating
Oversight Committee meeting on November 18, 2010, there was discussion that the current 2010 revenue
projection for the SSCC could result in the 2010 SSCC budget breaking even. The budget documents
show the SSCC will end the 2010 in a deficit state and that deficit will have to be funded out of the
General Fund. He asked that the 2010 year -end revenue projection for the SSCC be adjusted to a more
realistic number and the amount of reserves used be adjusted so that the projected 2010 General Fund
Budget year -end balance is zero. He expressed he thought that was good news for the SSCC, and that
break -in status was within reach.
Mayor Liz& noted the SSCC is a wonderful asset.
Administrator Heck stated if need be Council can extend the Truth -In- Taxation hearing to December 13,
2010.
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November 22, 2010
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E. Cell Tower Lease Rate Discussion
Director Nielsen stated that earlier in the year Council asked Staff to review the City's lease rates for
telecommunication facilities on the City's water towers. Council wanted to know if the rates should be
increased because they have not been for several years. Council also wanted to know if the City should
charge for rental of the ground space needed for mechanical/electrical equipment.
Nielsen explained most cities don't charge for ground space. In most instances ground space is considered
incidental to the tower space. In the past there were some instances where carriers needed to build
structures to house ground equipment. That has diminished substantially because today's equipment fits
within a- cabinet the size of a residential refrigerator. He stated Staff recommends not charging for ground
space.
Nielsen stated the City of Cottage Grove conducted a water tower rate survey this past July. He explained
the survey shows that on average cities' lease rates are $19,000 per year. The City currently charges
$18,000 per year, noting that at one time that was one of the highest rates charged in the metropolitan
area. The lease rate escalates by 5 percent every five years for lessees. The question has been raised as to
why a carrier that has been leasing space from the City for a while pays a higher rate than a first time
lessee. One way to address that is to raise the rate to what ever the highest rate being paid is (it may be
$27,995 but that has to be verified). The lease rate should escalate to keep pace with what carriers are
paying. He noted that raising the rate to $28,000 would result in the City having almost the highest rate
compared to other cities in the survey.
Nielsen stated Staff recommends increasing the lease rate. He asked Council if it would like to have new
lessees pay the same amount as existing lessees.
Mayor Liz& noted the City has a finite amount of tower space to lease.
Director Nielsen stated some of the Planning Commissioners have questioned how many antennas the
City wants to accommodate. The Commission is going to discuss that topic.
Councilmember Zerby stated he thought it would make sense to bring equity to the rates carriers are
paying.
Councilmember Woodruff stated he supports making some adjustments to the rates. He suggested setting
the lease rate and then escalating it annually. lie expressed concern about setting a lease rate so high that
it prices the City out of the market. He asked Staff to verify what the highest lease rate is that the City
charges. He stated that Director Nielsen has recommended the City not set the rate in the City Ordinance
and he is okay with that.
Mayor Liz& suggested Staff come back to Council with a lease rate structure recommendation.
Verna Garrison with T- Mobile Central LLC stated that on behalf of T- Mobile she has submitted an
application to add an antenna on the SE Area Water Tower. She noted T- Mobile currently has three
existing antennas in the City. She stated it appears to her that this doesn't apply to a carrier that currently
leases space from the City. She explained she was present to get information only.
Councilmember Woodruff stated the Planning Commission discussed T- Mobile's application during its
last meeting. He then stated Staff is recommending that if T- Mobile is allowed to do what it's proposing
that it be treated as a new lease rather than an addition to its existing lease.
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November 22, 2010
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Ron Johnson, 5355 Shady Hills Circle encouraged Council not to set the lease rates so high that it prices
the City out of the market. He then stated his nephew who managed one of the CUB Foods stores allowed
several antennas to be put up on the store. Lease revenue for antenna space goes directly to the bottom
line for private enterprise and private enterprise is willing to lease space at very good rates.
11. STAFF AND COUNCIL REPORTS
A. Administrator and Staff
Administrator Heck stated he is going to attend a community engagement meeting hosted by the League
of Minnesota Cities the morning of November 23' d . He then stated he has been speaking with the City
Manager for the City of Brooklyn Park about that city's comprehensive civic engagement initiative.
Brooklyn Park has a rural area, a suburban area and a'first rank urban area. He will provide Council with
information about that initiative.
Heck noted City Hall will be closed on November 25' and November 26`' for the Thanksgiving holiday.
He stated the City truck that was damaged during the recent ice storm will be out of commission for a
while. The City will only have three trucks for a while.
Heck stated he attended an Excelsior Fire District (EFD) Board meeting on November 17`'. He then stated
Councihnembers Bailey and Zerby were also in attendance, noting Zerby asked some very good
questions. He also stated part of the meeting was devoted to discussing the proposed investment policy
for the Excelsior Firefighters Relief Association (EFRA). The EFD Board and EFRA Board both
acknowledge they have conflicting interests. The member cities want the EFRA to invest in lower risk
lower return investments and the EFRA wants to invest in higher risk higher return investments. He noted
that Bailey helped the EFRA Board draft the new policy and has offered to continue to work with the
EFRA to implement the policy if it's adopted.
Heck then stated another topic discussed was the replacement of self contained breathing apparatus; both
the replacement cycle and the financing of the acquisition of the equipment. The most recent proposal for
a lease- purchase finance alternate was based on an interest rate of 4.49 percent. He offered up the idea of
the City financing the acquisition for a lower interest rate, and he suggested he and Director DeJong work
with EFD Chief Gerber to determine if that option is feasible.
Councihmember Zerby stated there was also discussion about the poor flow of information initially
regarding the incident in Excelsior where there was a significant breach in the Metropolitan (Met)
Council's sewer system line resulting in sewage flowing into Lake Minnetonka. He noted that EFD Chief
Gerber agreed the initial flow of information from the Met Council, the state agency controlling the
situation, was less than desirable.
1. September 2010 Quarterly Investment Report
Director DeJong stated the meeting packet included a copy of the September 2010 quarterly investment
report. He noted that the City has approximately $15 million in investments as of that time. A lot of that is
in cash or mutual fund type of investments. He noted he is working on cash flow projections to determine
when the City will need money over the next couple of years. He stated there will be an Investment
Committee Meeting the first week of December.
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November 22, 2010
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B. Mayor and City Council
Comreilmember Woodruff stated he, Administrator Heck and Director DeJong attended the Metro Cities
annually meeting on November 17' during which the legislative policies adopted this past summer were
approved, One of the topics discussed was a survey done about baby boomers to determine what their
housing and life style expectations are. He then stated the Lake Minnetonka Communications
Commission (LMCC) held its quarterly full Commission meeting this past week and during the meeting
the City's resident representative to the LMCC was elected to the LMCC Executive Committee. He
commented a Shorewood Economic Development Authority meeting needs to be scheduled once the
Councilmembers -elect have been sworn into office.
Mayor Lizee again thanked Director Brown and his Public Works staff for the excellent job they did in
dealing with the recent ice storm. She then stated on November 24 ° i elected officials and other members
of the community will be bagging for tips at the CUB Foods store located in the City of Minnetonka. The
tips will go to the ICA food shelf. She went on to state she attended a meeting of the mayors of the cities
in the Minnetonka School District hosted by the District's Superintendent on November 17` A theme
that kept coming up during the meeting was collaboration; working together, sharing services, and
providing services to residents. The topic will be discussed again during the group's January 2011
meeting. She expressed she pleased to see so much support for collaboration, and commented
collaboration is the word for 2011.
12. ADJOURN
Woodruff moved, Zerby seconded, Adjourning the City Council Regular Meeting of November 22,
2010, at 8:19 P.M. Motion passed 310.
RESPECTFULLY SUBMITTED
Christine Freeman, Recorder
ATTEST:
Christine Lizee, Mayor