06-13-11 CC Reg Mtg MinCITY OF SHOREWOOD
CITY COUNCIL REGULAR MEETING
MONDAY, JUNE 13, 2011
MINUTES
1. CONVENE CITY COUNCIL REGULAR MEETING
5755 COUNTRY CLLR ROAD
COUNCIL CHAMBERS
7:00 P.M.
Mayor Liz& called the meeting to order at 7:00 P.M.
A. Roll Call
Present. Mayor Liz&e; Councilmembers Hotvet, Siakel, Woodruff and Zerby; Attorney Keane;
City Administrator Heck; Finance Director De7ong; Planning Director Nielsen; Director
of Public Works Brown; and Engineer Landini
Absent: None.
B. Review Agenda
Zerby moved, Siakel seconded, approving the agenda as presented. Motion passed 5/0.
2. APPROVAL OF MINUTES
A. City Council Work Session Minutes, May 23, 2011
Zerby moved, Woodruff seconded, Approving the City Council Work Session Minutes of May 23,
2011, as amended in Item 2, Page 2, Paragraph 3, Sentence 1, change "the dog has been tested" to
"the dog has been vaccinated ". Motion passed 5/0.
B. City Council Regular Meeting Minutes, May 23, 2011
Woodruff moved, Hotvet seconded, Approving the City Council Regular Meeting Minutes of May
23, 2011, as presented. Motion passed 5/0.
C. City Council Work Session Minutes, June 1„ 2011
Siakel moved, Zerby seconded, Approving the City Council Work Session Minutes of June 1, 2011,
as presented. Motion passed 510.
3. CONSENT AGENDA
Mayor I,izec reviewed the items on the Consent Agenda.
Hotvet moved, Zerby seconded, Approving the Motions Contained on the Consent Agenda and
Adopting the Resolutions Therein.
A. Approval of the Verified Claims List
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June 13, 2011
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B. Accept Bid And Award Contract For Smithtown Way (This item was moved to Item
9.1) under Engineering /Public Works.)
C. Covington Road Storm Sewer Outlet Cover
Motion passed 5/0.
4. MATTERS FROM THE FLOOR
There were no matters from the floor presented this evening.
5. PUBLIC HEARING
None.
6. REPORTS AND PRESENTATIONS
A. Minnetonka Community Education (MCE) Report by Tad Shaw and Tim Litfin
Mayor Liz6e stated Tad Shaw, the City's representative on the Minnetonka Community Education (MCE)
Advisory Council, and Tim Litfin, NICE Executive Director, are present this evening to discuss NICE
activities and the Tour de Tonka event, au event the MCE coordinates.
Mr. Shaw stated he had been the City's representative on the MCE Advisory Council for many years.
Enough years that he thinks he as set a record for his tenure on the Advisory Council. MCE has grown
from giving music lessons and running sports programs to the all encompassing program it is today.
There have been three Executive Directors since MCE was started with Executive Director Litfin being
the third one. He noted Mr. Litfin has been with the MCE, for six years and he brought a new breath of
creativity to the MCE program. He also noted that Mr. Litfin started the Tour de Tonka event and the
event is becoming one of the premier bicycle events in the area. Shaw turned control of the podium over
to Mr. Litfin.
Mr. Litfin stated the City of Shorewood is well represented on the Advisory Council with Mr. Shaw,
Mr. Litfin first highlighted the Tour de Tonka event. The event begins and ends at the Minnetonka High
School. This year's event is scheduled for August 6 He explained 2,425 riders participated in the 2010
event. Twelve states and 170 communities were represented. The number of Shorewood residents
participating ranked number 2. In 2010 there were 2 -mile, 16 -mile, 23 -mile, 38anile, 65 -mile and 100 -
mile routes. The 2 -mile ride is for young riders and it's held before the actual day of the event. There
were representatives from 22 cities, 10 police departments, 7 fire departments and approximately 394
community volunteers who helped with the 2010 event. He thanked the volunteers and noted the event
could not happen without them. This year there will be a 3,000 cap for the number of riders that can
participate in this event. There will be some new routes this year and routes will go through 26 cities
combined. There will be 2 -mile, 17 -mile, 23 -mile, 40 -mile, 70 -mile and 100 -mile routes this year.
Mr. Litfin then recapped 2010 MCE activities.
Christine Best, a MCE Program Manager in recreation, received a Minnesota Communication Education
Association (MCEA) Emerging Leader Recognition award (only two were given out) and Lynn Johnson,
CITY OF SHOREWOOD REGULAR COUNCIL MEETING MINUTES
June 13, 2011
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a member of the MCE Advisory Council, received the one MCEA Outstanding Advisory Council
Member award.
With regard to marketing, MCE publishes a catalogue of programs it offers three times each year. Early
Childhood Family Education publishes one catalogue a year. A youth summer catalogue is also
published. MCE also does a number of email blasts.
MCE surveys all of its customers in all of the program areas. Since the start of the survey in 2008, the
average has been that for 20 percent of the participants, it's the first time they have taken a MCE
class /program. The recent winter survey results indicate that 94 percent of the respondents rated the MCE
class /activity as excellent or good. It's the highest rating the MCE has received. The MCE is drawing
people from outside of the MCE community into classes /activities through its open enrollment program.
Mr. Litfm reviewed the participation in several areas. In its survey the MCE asks what new programs the
survey responders would like the MCE to provide. MCE works with the Minnetonka High School on a
Youth Development Council. Five seniors received a Caring Youth Award from the City of Minnetonka
this year.
The MCE wrote a new curriculum for adult basic education early language learners (ABE /ELL) where
they can become certified as child care providers. Participation in some ABE/ELL programs is paid for by
the State. For this new program participants had to pay a fee.
Mr. Litfin concluded by informing Council that the MCE Center is again being remodeled to
accommodate growth, noting that it was expanded two years ago.
Couneilmember Woodruff commented that for those Shorewood residents who are not part of the
Minnetonka School District (i.e., those that live on the Islands) the Westonka School District has a similar
program. He noted those residents can take advantage of the MCE programs as well.
Couneilmember Zerby asked Mr. Litfin if there is anything the City can be doing better or different for
MCE. Mr. Litfin stated the cooperation MCE and the schools in the Minnetonka School District receive
from the cities represented by the District is remarkable. He then stated he can't think of anything.
Councihmember Siakel asked Mr. Litfin if he envisions expanding some of the MCE programming to
utilize the Southshore Community Center (SSCC) and maybe focus on a senior population or some other
group that is under served. Mr. Litfin stated MCE doesn't offer as many activities at the SSCC as it once
did, but it does offer some there. He then stated the MCE is going to have a summer program in the parks
with the City.
Mayor LizBe stated collaboration is key and not just between the School District and MCE and the cities
served by the District, but also all of the other community assets such as the SSCC.
Mayor Liz&e thanked Mr. Shaw and Mr. Litfin for coming this evening.
Mayor Lizee noted volunteers are needed to help with the Tour de Tonka event. Mr. Litfin explained that
for the 2010 event there were almost 400 volunteers that helped with it. For 2011 there is a need to fill
almost 500 spots, noting volunteers can serve in multiple locations based on scheduling.
Discussion moved to Item 7 on the agenda
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B. Linda Murrell, Director of the South Lake — Excelsior Chamber of Commerce,
Request for Funding for the Lake Minnetonka Fourth of July Celebration
This was discussed after Item 9.1) on the agenda.
Mayor Liz& stated Linda Murrell, Director of the South Lake — Excelsior Chamber of Commerce, was
present this evening to make an annual request for funds for the Lake Minnetonka Fourth of July
celebration.
Ms. Murrell noted that three weeks from tonight at this time a salute to the veterans will begin at the
Excelsior Commons for the Lake Minnetonka Fourth of July Celebration. That will be preceded by a
bevy of events. Ms. Murrell then stated the day's activities as outlined on the South Lake Excelsior
Chamber of Commerce website.
Ms. Murrell stated attempts are being made to get more sponsors for the events. She made a request of
the public to make donations for the fireworks display. The fireworks display is not funded by
corporations or out of the Chamber budget. It's been harder to get corporate contributions and
sponsorships during these tough economic times. She asked if the City of Shorewood would contribute
at least the same amount as it contributed in 2009. Some funds for the display were raised in February
2011 with an auction. She noted that approximately $11,000 has been raised to date and the goal is
$23,000. The amount of fireworks that will be displayed will depend on the amount of funds raised.
She would appreciate it if those that plan on watching the display would contribute a few dollars to the
fireworks fund.
Mayor Lizcre stated each year the City makes a contribution to the celebration held in the City of
Excelsior. She commented that many Shorewood residents consider downtown Excelsior as their
downtown. She stated on our national holiday many residents spend a lot of time in Excelsior. The
celebration starts at 8:00 A.M. and ends at 11:59 P.M. People of all ages can enjoy at least some of the
events. She encouraged everyone to make a donation to the fireworks fund. She stated personal
contributions are needed from people community wide. She likened the contribution amount to that
equal to the cost of going to a movie. She stated the display is 20 minutes of visual excitement.
Lizde noted the 2011 budget anticipates a $2,500 donation to the celebration. She suggested increasing
the amount to $7,500 which equates to approximately $3.00 per household. She opened this up for
discussion.
Councilmember Z.erby explained that he recently watched a video recording of the most recent
Greenwood City Council meeting and that Council increased the Greenwood contribution. It used a
formula to justify it somewhat similar to the funding formulas in the police and fire joint powers
agreements. That Council considered what its percentage of the population is when compared to the
entire South Lake community [the Cities of Deephaven, Excelsior, Greenwood, Shorewood and Tonka
Bay] as well as its tax capacity when compared to the entire South Lake community tax capacity. If that
same approach were to be used to determine what the City's contribution would be the amount would
be more than $8,600. IIe stated he thought at some point a joint powers agreement should be entered
into to help fund the celebration because it does serve the five South Lake cities. The Chamber is
currently burdened with all of the cost and the risk associated with it. The event should be sponsored by
the community. He noted the Chamber is a not for profit organization. He expressed his support for a
$7,500 contribution.
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June 13, 2011
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Councilmember Siakel stated she has not missed the celebration in 25 years and that she believes that
everyone should contribute in some way. In response to a question from Siakel, Ms. Murrell stated she
has developed a direct mail list she uses to solicit donations. Ms. Murrell explained that of the $11,000
collected so far almost all of has come from about 50 people. Pledges are not included in the $11,000; it
only includes what has been received. Siakel stated that means $7,500 would get the fireworks fund
closer to the $23,000 goal.
Councilmember Woodruff asked what the other South Lake cities have contributed. Ms. Murrell
responded Greenwood has pledged $1,345. Excelsior approved the permit early this evening but it did
not talk about a contribution. To date Deephaven hasn't made a donation and it's her recollection it
contributed $2,000 in 2010. She explained she thought the South Lake cities contributed a combined
amount of $7,200 in 2010. She noted that $7,200 did not go toward the fireworks display.
Woodruff then asked what the total amount contributed toward the display in 2010 was. Ms. Murrell
stated last year $23,500 was spent of fireworks.
Woodruff expressed his reluctance to tripling the amount of the City's contribution. He stated that
during the 2011 budgeting process a need for $7,500 was never discussed.
Councilmember Siakel asked what the $2,500 amount budgeted for in 2011 was based on.
Councilmember Woodruff stated it was based on what had been donated before and it was what Staff
suggested. He commented that Mayor Liz&e, Councilmember Zerby and he approved the 2011 budget.
Administrator Heck explained the amount was based on what had been done the previous year. Heck
noted that one year the amount went down from the previous year,from $2,500 to $2,200. Zerby noted
that was done by mistake. Heck stated he didn't know how the $2,500 amount was arrived at.
Siakel agreed with increasing the amount of the contribution. She stated that maybe it should be
increased to $5,000.
Councilmember Hotvet asked how many years the contribution had been $2,500. Ms. Murrell
responded in 2009 it was $2,500 and in 2010 it was $2,200 and prior to that it had been $2,000. Ms.
Murrell noted that the City has the largest population of all the five cities.
Mayor Liz6e stated it's time to increase the amount of the contribution. She again explained that $7,500
amounts to about $3.00 per household. The costs are not just about fireworks. Police and fire services
have to be provided. Emergency services have to be provided. The Hennepin County Sheriff s Office is
always present with one of its large vans. She then stated it's a wonderful event for the South Lake
community.
Councilmember Woodruff asked Mayor Liz& where she would like to take the funding for the
additional $5,000 from. Liz6e expressed confidence that $5,000 can be found in the budget.
Administrator Heck explained that Council allocated $36,000 to the Council budget for consulting
services of which has not all been spent and he thought the $5,000 could be taken out of there.
Mayor Liz6e expressed support for taking the $5,000 from the Council budget.
Councilmember Siakel stated that although she appreciates Councilmember Woodruffs concern she
thought it was time to increase the City's contribution. She commented that some unbudgeted projects
have come up and some projects were deleted.
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Councilmember Hotvet stated during times like this there is an even greater need to celebrate the
national holiday and recognize all of the aspects of the holiday.
Ms. Murrell noted that the celebration is a teaching tool for children. When children see the right way
to celebrate the Fourth of July it has an impact on them and it sets a nice tradition going forward
beyond our lifetimes.
Siakel moved, Hotvet seconded, approving a $7,500 contribution toward the 2011 Fourth of July
fireworks display and directing that $5,000 of that come from Council budget. Motion passed 4/1
with Woodruff dissenting.
Ms. Murrell thanked Council and the City
Discussion moved to Item 10.A on the agenda.
7. PARKS
No report was given because there had not been a Park Commission meeting since the last Council
meeting.
8. PLANNING
Commissioner Arnst reported on matters considered and actions taken at the June 7, 2011, Planning
Commission meeting (as detailed in the minutes of that meeting).
A. Deer Feeding Ban Survey
Director Nielsen explained during 2010 the Planning Commission asked the City to include three or four
articles in various publications of its newsletter advising people not to feed deer and explaining the
reasons why. In spite of that there are a number of people in the City who continue to do that. IIe noted
the most recent aerial deer survey showed some extensive feeding operations. He explained because the
feeding continues the Planning Commission has recommended Council approve an ordinance that would
ban deer feeding. The Commission and Staff have crafted a model ordinance.
Nielsen then explained the Commission decided it would be appropriate for the City to conduct a brief
resident survey to find out what type of support there would be for such an ordinance. Council has been
provided with a sample survey card that will be placed in with the utility bills for next quarter. The survey
asks whether or not a person supports an ordinance banning the feeding of deer. The bottom of the card,
which will be perforated, can be mailed in with a person's utility payment. People dropping their payment
off at City Hall can clip the response to their payment. People who pay their bill electronically,
approximately 16 percent, can mail their payment in because the response portion will be set up like a
post card. Responses are due by the billing due date of July 31". The Commission will analyze the results
of the survey during its first meeting in August. The Commission will hold an informal public meeting
after that.
Nielsen stated if Council is in agreement it would like to have the ordinance in place this fall, noting
people start feeding the deer in earnest during the winter. He complimented the Commission on making
the survey brief.
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Councilmember Zerby suggested putting the name of a short link on the survey card that would point to
the articles published in the newsletter to make it easier for residents to get to additional information on
deer feeding. He stated it may be worthwhile to allow people to answer the survey online. Director
Nielsen explained the Commission decided to conduct the survey in print form to control the number of
times a resident can vote. There was concern a person would load the ballot box if they could do it online.
Zerby stated the survey could require a person to enter their address and thereby control duplicates.
Nielsen stated he wasn't sure that could be set up in time, but he will look into that.
Councilmember Hotvet asked how such an ordinance would be enforced. Director Nielsen responded the
Commission discussed enforcing the draft ordinance on a complaint basis similar to other nuisances.
Nielsen explained there is the exception of the extensive feeding stations; those may be addressed without
receiving a complaint.
Councilmember Siakel stated she supports soliciting community feedback on this.
Woodruff moved, Siakel seconded, approving the deer ban feeding ordinance questionnaire and
authorizing it be included with utility bills for the next quarter.
In response to a question from Councilmember Zerby, Director Nielsen stated the weblink will be
included on the questionnaire card.
Motion passed 510.
9. ENGINEERING /PUBLIC WORKS
A. Shoreline Restoration Grant
Engineer Landini explained in 2010 the City received a Cynthia Krieg Watershed Stewardship Grant
through the Minnehaha Creek Watershed District (MCWD) to help restore some shoreline along Lake
Virginia. Staff met with Metro Blooms and representatives from the MCWD at the site to discuss the
restoration project. MCWD informed Staff that it did not think the selected site was appropriate for a
demonstration project because of its location. MCWD suggested restoring a ditch that feeds Lake Virginia
instead. It would be a better demonstration and there would be access from the road. Because of the
change in site the City asked for and obtained an extension to allow the restoration to be done in 2011.
Landini displayed a photograph of the ditch site. He explained the ditch is starting to undercut. As the
water moves through the ditch it erodes some of the soil and deposits it into Lake Virginia. A phosphorus
total maximum daily load study has been approved for Lake Virginia. There is now a waste load
allocation which means the City has to remove a specified amount of phosphorous from the stormwater
before it flows into the Lake. The proposed project will assist in removing some of the phosphorous. The
grant will fund $5,730 of the restoration.
Landim explained the culvert that runs under Lake Virginia Drive is rusted and the roadway has heaved.
According to the Capital Improvement Program Lake Virginia Drive is scheduled to be milled and
overlaid in 2014 and the culvert will be replaced as part of that project. Staff is proposing replacing the
culvert this year and providing excavation assistance to the shoreline restoration project. If the culvert is
not replaced until 2014 the area will be disrupted a second time.
Councilmember Siakel asked what the difference in cost is between the grant and what it will cost for the
restoration, replacing the culvert and providing excavation assistance. Engineer Landim stated he does not
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June 13, 2011
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have plans or quotes for the culvert replacement and excavation assistance. Landini explained he did not
want to spend a great deal of time on this until he received some direction from Council. Siakel asked
Landini to provide his best guess. Landini estimated the cost to replace the culvert at $8,000 — $10,000
and the excavation assistance at $4,000.
Councilmember Hotvet asked how long the project would take. Engineer Landini stated he anticipated it
would take a contractor a day to replace the culvert. The patching of Lake Virginia Drive would probably
take two days. Landini explained Metro Blooms will be the project manager for all of the plantings and
the Minnesota Conservation Corp will actually do the planting all the way down the creek for the creek
restoration.
Councilmember Siakel stated Lake Virginia's water quality is rated a D and she assumed doing the
proposed work will help improve the quality. Engineer Landini explained that all of the cities that border
Lake Virginia have a waste load allocation. The mandated removal requirement for the City is relatively
small and it's being accomplished through sweeping the streets. Part of the reason the City received a
grant was to remove more phosphorous than is required.
Director Brown stated the mill and overlay of Lake Virginia Drive will be a minor inconvenience to the
residents. IIe then stated from his vantage point the proposed project has more significance; it provides
the City an opportunity to restore a problem area with some external financial assistance. If the City were
to find such as restoration on its own it may not make the priority list.
Councilmember Zerby asked if the City owns the property or has an easement for it. Engineer Landini
stated the City does not have an easement but the owner of the property is willing to at least give the City
• maintenance agreement provided the City commits to maintaining the area. Zerby then asked if there is
• plan to create a holding pond to capture some of the phosphorous. Landini stated Metro Blooms' project
proposal includes installing "check dams ", for lack of a better word, on the way down with some organic
rolls to provide some pooling. It would be somewhat like speed bumps.
Zerby stated based on his experience engineers are not are not always the best landscapers. Engineers
focus on practicalities and not so much on aesthetics. Engineer Landini noted that an engineer has not
drawn up the landscaping plan. Mehra Blooms has been responsible for the plantings plan.
Councilmember Siakel stated that Metro Blooms does nice projects. Zerby stated he would error on the
side of over communicating with the residents in the area about the project. Mayor Liz&e stated she's
impressed with the projects she has seen that Metro Blooms has done in collaboration with different cities
and the MCWD. Lizee expressed confidence that Metro Blooms would give the City a project plan to
look at.
Councilmember Woodruff asked Engineer Landini if this evening he was asking Council for
authorization to prepare plans and solicit quotes for the culvert replacement. Engineer Landini responded
that is correct. Woodruff then asked if the project restoration, culvert replacement and excavation will
again be brought before Council with design and cost information. Engineer Landini responded that is
correct. Woodruff stated based on photograph of the ditch area it's obvious something has to be done.
Councilmember Siakel stated she thought the proposed project is worthy and that the City should proceed
with it. She then stated she thought the MCWD has done a good job establishing various pilot projects.
She asked why the ditch area was selected over other places in the City that could use some restoration.
Engineer Landini explained that Lake Virginia had been sold to the MCWD because of the total
maximum daily load study that had recently been completed. MCWD wants to reduce the phosphorous
levels in the Lake.
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June 13, 2011
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Councilmember Zerby commented that a speed bump isn't always bad and that he has some concern
about removing it. He stated it hasn't been his experience that rust causes a roadway to heave. Engineer
Landini stated the rusty pipe has nothing to do with the bump in the road.
Zerby moved, Siakel seconded, directing Staff to replace the culvert and provide excavation
assistance for the grant project.
Mayor Lizee thanked Staff for pursuing the grant for the restoration project
Motion passed 510.
B. Otta Seal Enchanted Point Road
Engineer L.andini explained during its March 14, 2010, meeting Council authorized a project to Otta seal
Enchanted Point Road this year provided results of the soil borings were favorable. Two borings were
taken and showed there was a sufficient gravel base to move forward with the Otta seal. Staff solicited
quotes from four firms to do the project. The only quote it received is from Allied Blacktop for an amount
of $52,800. The project estimate was $12,000. He encouraged Council to accept the quote and direct Staff
to come back with other options for doing maintenance to that roadways' surface.
Councilmember Woodruff commented he read a memorandum authored by someone at the Minnesota
Department of Transportation (MnDOT) in 2008 describing the Otta seal process. It included some cost
estimates. He stated the $52,800 quote is out of line. He asked that Staff come back with other options
soon being the plan was to improve the surface of the roadway this summer.
Councilmember Siakel asked what the sense of urgency is for repairing the roadway. Engineer Landim
stated Council does not have to move forward with the project, noting it's a maintenance project. The
City could continue to do what it has been doing to the roadway's surface which is grading it and adding
rock to the surface a few times a year. That could be done indefinitely, but the residents prefer something
else be done.
Administrator Heck stated this Otta seal project was approached from a pilot perspective. Staff and
Council wanted the City to get some experience about the benefits of using the Otta seal process on the
surface of gravel roads. The process is supposed to reduce dust and the number of potholes. Otta seal was
thought to be a reasonable alternative for maintaining a roadway's surface until the quote came in.
In response to a comment from Councilmember Siakel, Administrator Heck explained the residents want
the roadway's surface restored to what it was like before it was disturbed when the City installed a sewer
system. There are a couple of other gravel roads in the City that if this process works it could be
considered for them.
Councilmember Hotvet stated she looked at the MnDOT study and found it to be very intriguing. She
expressed hoped that the City could find firms that would do this type of process for a much lower cost.
Jim Thibault 4565 Enchanted Point Road stated he lived at this location when the surface on Enchanted
Point Road was either tarred or something similar to that. After the roadway was torn up to install the
sewer system, crushed rock was put down for the surface. He and his wife would like to have some
improvements made to the surface and the residents with properties abutting the roadway are willing to
work with the City to help getter pricing. He commented they don't know what the bid criteria were.
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June 13, 2011
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Wallv Larson. 4385 Enchanted Point Road stated after having spent more than 40 years in the
construction industry he doesn't think the quote the City received represents that job that needs to be
done. The roadway surface being discussed is less than two tenths of a mile long. He explained the
surface of the roadway alternates between dust and mud because it's too low. He noted that during the
fifteen years he has lived in this location he has tried to get the City to put down a decent amount of class
5 rock. He stated that to keep grading the road and putting down a small amount of rock costs the
taxpayers a lot of money. He then stated he thought if the roadway surface was elevated and crowned to
shed water the surface would last a much longer tine.
Mayor Liz& stated Council and Staff want to do the right thing. She then stated the next step is to have
Staff research additional options and bring some options back that would be at a more reasonable cost.
Zerby moved, Woodruff seconded, accepting the quote for the Otta seal of Enchanted Point Road
but not authorizing the project.
Without objection from the maker, the seconder amended the motion directing Staff to research
other options for improving the roadway's surface as soon as possible. Motion passed 510.
C. 5750 Covington Road Storm Water Land Acquisition
Engineer Landini explained Staff has met with the owners of the property located at 5750 Covington
Road several times over the previous six months regarding the City's desire to acquire a portion of that
property located near a storm sewer outlet. Staff and the owners have agreed upon a purchase price of
$23,000 for the land. A copy of the offer had been placed at the dais.
Landini then stated the land is intended to be used for stormwater retention and installation of a
stormwater tank system/grit chamber to reduce sediment and improve water quality flowing into Silver
Lake. The acquisition is subject to the following covenants, conditions and restrictions: no construction of
buildings or structures above grade; no public parking; and no hard surface paving beyond that necessary
to maintain the shoreline, water quality and stormwater facilities.
Landini went on to explain that in order to proceed with the purchase of the land Staff will have to order
an ALTA certified survey, title work and legal documents associated with the lot division and purchase of
the property. He advised the City to offer $1,000 in earnest money and to have the simple lot division go
through the Planning Commission process.
Landini stated Staff recommends Council accept the offer and authorize Staff to proceed with the
acquisition.
Woodruff moved, Siakel seconded, directing Staff to prepare a purchase agreement, process a
$1,000 earnest money check, prepare closing documents and commence with survey, title work and
Planning Commission minor lot split procedures for a portion of the property located at 5750
Covington Road. Motion passed 510.
D. Accept Bid and Award Contract for Smithtown Way
This item was removed from the consent agenda at Councilmember Hotvet's request
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June 13, 2011
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Councilmember Hotvet stated she didn't think Smithtown Way was very old. She asked if there is any
recourse with the 'firm that constructed the roadway. She noted the cost to replace the storm sewer pipe
and repair the roadway's surface is very expensive.
Administrator Heck stated after speaking with Councilmember Hotvet about this item he understands one
of her questions to be about whether or not there are any warranties or other commitments that the City
could pursue to help offset the cost of the repairs. He noted he left a message about this with someone at
the League of Minnesota Insurance Trust but he has not received a response as of yet. He stated he is all
but certain the City doesn't have insurance coverage for stormwater infrastructure that moves due to
freeze and thaw conditions and water table issues.
Engineer Landini explained the utilities and the first lift of blacktop and curb and gutter were installed in
the construction season of 1996 and 1997. The then council accepted the project on October 26, 1998.
The City did have to draw on the letter of credit to finish the roadway because the contractor (Topline)
had gone out of business. The developer's agreement included a one -year workmanship defect from
materials clause. The clause expired at the end of 1999.
Director Brown explained fifteen years ago the City had a one -year warranty policy and that term was
fairly common throughout the metropolitan area. The City has a fair amount of clay in its road bases. The
roadways surfaces started to heave after about two years. The City did what many other cities in the area
did and that was to extend the warranty demand in the contract document to two years. The two -year
period seemed to cover the period when most roadways began to heave. Because of the frost conditions
and water conditions that occurred over the last fall /winter season there were a number of roadways that
heaved and had unique configurations that had not been seen before. For example, there had been minor
deformations on the pavement surface area of Dellwood Circle. He stated he thought there was a unique
set of heave conditions for Smithtown Way; conditions that would not be covered by a warranty of
workmanship or insurance.
Councilmember Hotvet asked if it's possible to purchase insurance coverage for these types, of issues.
Director Brown explained most of the warranties that are put in place deal with workmanship or
something that would not be foreseeable. The issue on Smithtown Way would not be covered. He stated
Staff will look into insurance coverage.
Administrator Heck stated maintenance of the storm sewer infrastructure and Smithtown Way are not
planned for in the Capital Improvement Program.
Woodruff moved, Siakel seconded, Adopting RESOLUTION NO. 11 -029 "A Resolution Accepting
Bid and Awarding Contract for the 2011 Smithtown Way Street and Storm Sewer Reconstruction
Project, City Project No. 11 -05." Motion passed 510.
Discussion returned to Item 6.13 on the agenda.
10. GENERAL /NEW BUSINESS
A. Investment Policy
Director DeJong stated there is an issue in the City's investment policy that needs to be clarified. The
current policy only allows the City to invest in state bonds that are general obligation and rated "A ".
There is some confusion over that. There are three items in State Statute 118A.04 that talk about
investments. One item talks about bonds of any state or local government. He explained that he interprets
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the current policy to allow the City to buy local government general obligation bonds which are probably
not allowed under the strict language of the current policy. The City has seven investments in those types
of bonds equaling about $1.9 million in total. They mainly average under $300,000. The bonds were
primarily Build America Bonds. Special federal legislation allowed local governments to issue bonds on a
taxable basis and that provides for a higher interest rate. They are a much better investment for the City.
DeJong asked if Council wants the City to only invest in state obligations or amend the language in the
policy to allow investing in general obligation bonds of local governments. He stated he made a few other
minor corrections to make sure the policy tracks the language in the State Statute for allowable
investments. He noted copies of the current policy and the proposed revised policy are provided.
Councilmember Woodruff stated the current investment policy was put in place three years ago when the
financial market was crashing. At that time there was a great deal of concern about the credit worthiness
of non Minnesota local government bonds. The market has stabilized somewhat and there have been few
defaults. He expressed his comfort with taking on some additional risk in order to earn a little more
interest. He stated the revised policy has removed a restriction about how much money the City needs to
keep in money market fands and in cash. He expressed confidence that Director DeJong's investment
strategy will keep the City solvent.
h7 response to a question from Councihnember Siakel, Director DeJong explained the interest rates on the
local government bonds range from 0.75 percent to 2.58 percent. The rates for bonds allowable under the
current policy range from I percent to 1.25 percent for bonds he would be comfortable with. Earning 0.5
percent on $1 million is $5,000. He stated it's worthwhile for the City to invest in local government
bonds.
Woodruff moved, Zerby seconded, Adopting RESOLUTION NO. 11 -030, "A Resolution Modifying
the Investment Policy." Motion passed 510.
B. Support for the Hennepin County Sheriff's New 911 Communications Facility
Mayor Liz6e stated Hennepin County Sheriff Stanek is present to ask Council to adopt a resolution
expressing the City's support for a new Hennepin County Sheriff's 911 communications facility. She then
stated the aging facility located in Golden Valley has not kept up with modem advances.
Hennepin County Sheriff Stanek stated at 40 years old the existing facility was doing pretty good, but at
64 years old it's really hurting. He noted that he has spoken with South lake Minnetonka Police
Department (SLMPD) Chief Bryan Litsey and Excelsior Fire District (ETD) Chief Scott Gerber about the
proposed new facility and they both understand the importance of the project and what it means for 911
dispatch services and interoperable radio communications in the County and particularly in Shorewood.
Sheriff Stanek gave a brief overview of the resolution he was asking Council to adopt.
The Sheriffs Office provides emergency 911 dispatch services to 42 local police and fire agencies
covering 36 communities located in Hennepin County. It is the largest consolidated dispatch facility in the
Upper Midwest. There is a need to replace critical infrastructure (e.g., heating and cooling systems).
There is also a need to be able to handle the new generation of 911 communications technologies people
are using.
The new facility will be located in Plymouth adjacent to the Hennepin County Adult Correctional
Facility. The County already owns the land the facility will be built on and there is already a more than
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100 foot tall antenna near the location. The schematic design of the facility is underway. Last fall the
Hennepin County Board approved moving forward with the project. The project is included in the
County's 5 -year capital improvement project plan.
The reason cities are being asked to adopt the resolution is because of the regional and statewide
significance of the 911 center. The County 911 center provides redundancy for those communities in the
County that want to have an independent PSAP.
The Sheriff's Office is working with the Hennepin County Board to secure state and federal funding to
support the project. That funding would help decrease the amount of property taxes necessary to fund this
project. Adopting the resolution will tell the state and federal elected officials that represent the residents
in the City that the City of Shorewood supports the new facility.
Sheriff Stanek stated the Sheriff's Office has been before 19 city councils that have adopted the
resolution. Seven city councils will be visited this week alone. He noted the high quality public safety
personnel and supportive local elected officials in this area.
Mayor Lizee stated 911 dispatch services are an important part of public safety. She noted SLMPD Chief
Litsey did discuss this request with the SLMPD Coordinating Committee and ETD Chief Gerber has
spoken about it with the ETD Governing Board.
Councilmember Woodruff asked Sheriff Stanek to identify two or three reasons why the existing 911
facility can't be used to enhance the services Stanek is talking about providing.
Sheriff Stanek provided four reasons. First, when the current facility was built over 60 years ago it was
built for a certain amount of capacity. That capacity was exceed 20 years ago in terms of 911 calls. He
noted that about 60 — 65 percent of the 911 calls received at the dispatch center come from cellular
phones or smart devices. The existing center wasn't built for that. That infrastructure needs to be changed.
Second, the current facility is located in a residential neighborhood. There is no room to expand the
facility. The County sold additional land it had close to the facility 15 years ago. There are issues with the
heating and cooling systems. Third, if one facility could be raised and a new one built in its place he
asked who would answer the 600,000 911 calls received annually during that construction period. The
Sheriffs Office is working with the County Board on an overall integration plan for the other public
safety answering points in the County. Fourth, the Sheriffs Office communications facility does more
than just dispatch 911 emergency calls. It also provides the interoperable radio system for all police and
fire agencies and for emergency medical services in the County. It's also the hub for the rest of
Minnesota. The State can't function without the radio system. When a disaster happens regionally, across
the metro area, in greater Minnesota and in the Upper Midwest agencies rely on the communications
facility.
Councilmember Zerby asked if the existing communications facility functions as an emergency
operations center (EOC). Sheriff Stanek responded the existing facility is not an EOC. Stanek explained
traditionally the County operates its EOC at its facility located in Medina. The County also relies on
communities themselves. There are 47 municipalities in the County and 37 of them have local police
departments with some of them covering more than one municipality. Stanek stated Sheriff s Office is the
County's first line of response when a disaster hits. The Sheriffs Office uses mobile command posts
when a disaster occurs and it provides personnel to be at the scene.
Councilmember Zerby clarified that he wanted to know if the current facility is strong enough to survive a
disaster like a tornado or severe hail or a flood. He stated he assumed a 64 year old structure would have
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some structural deficiencies. He then stated the communications facility is a building that needs to survive
a disaster. Sheriff Stanek stated he calls making a facility capable of surviving a disaster target hardening.
At the current facility in Golden Valley the employees, the communications equipment and millions of
dollars of gear are at risk if a tornado, flood or fire came through that area. The new facility will be target
hardy in the areas that need to be in terms of the infrastructure and the employees.
Sheriff Stanek noted when he became sheriff the project was projected to cost $53 - $54 million. That
cost has been reduced substantially by making difficult choices.
Councilmember Siakel stated that adopting the resolution makes common sense. She applauded Sheriff
Stanek and his colleagues for going to the many city councils in Hennepin County and asking them for
their support. She noted that her husband is one of a number of volunteers that dedicate a lot of time to the
Hennepin County Sheriff s Water Patrol. She stated the Water Patrol does an amazing job. She then stated
when it comes to the Water Patrol she thought Stanek has been very efficient with the taxpayer's dollars.
She thanked Stanek and his organization for everything it does for the community.
Zerby moved, Hotvet seconded, Adopting RESOLUTION NO. 11 -031 "A Resolution Supporting
Hennepin County Sheriffs New Regional 911 Emergency Communications Facility." Motion
passed 510.
Sheriff Stanek thanked Council for providing him the opportunity to come before Council. He stated it
appears to him that city councils in the western part of the County seem to get things done quickly, noting
it's not like that everywhere. He then stated the Sheriffs Office likes to work with the areas local police
and fire agencies.
C. Reimbursement Resolution for the Smithtown Way Storm Water Project
Director DeJong explained that this item allows the City the flexibility to keep open the option to
potentially issue bonds for stormwater management projects. The City's Financial Management Plan
reflects the Stormwater Management Fund will go into a deficit state in 2012. By the end of 2014 the
Fund will be approximately $700,000 in the red if the Smithtown Way Storm Water Project and all of the
other projects in the 5 -year Stormwater Management Capital Improvement Program (CIP) are done and
the scheduled maintenance is done for the existing stormwater infrastructure. That deficit has to be funded
through either transfers in from other City funds or by bonding for those costs and then increasing the
residents' stormwater utility fee to pay back the bonds.
DeJong stated the meeting packet contains a document describing the reimbursement regulations provided
by the City's financial advisors as well as a resolution prepared by the City's bond counsel that will give
the City the flexibility to consider bonding in the future. He explained that CIP reflects there are about
$1.9 million in projects over the next five years. The existing fees for stormwater management are
insufficient to pay that expense off. He noted a reimbursement resolution would have to be passed within
60 days of expenditure for the project. That is why this came before Council during the same meeting
Council was considering approval of the Smithtown Way Storm Water Project. He also noted this does
not commit the City to issuing bonds for the project.
Councilmember Woodruff stated the Smithtown Way Storm Water Project amounts to about 10 percent
of a maximum of $1.6 million in bonds that could be issued. He questioned why there was such a
difference. Director DeJong explained the resolution contains an upper dollar figure on the total amount
of bonds the City would issue. Councilmember Woodruff suggested the resolution be amended to include
other projects as designated in the CIR
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Woodruff moved, Zerby seconded, Adopting RESOLUTION NO. 11 -032 "A Resolution Declaring
the Official Intent of the City of Shorewood to Reimburse Certain Expenditures from the Proceeds
of Bonds to be Issued by the City" subject to changing: in Item I "The City proposes to under take
the following project ( "the Project)" to "The City proposes to under take the following" and
"Construction of stormwater utility improvements on Smithtown Way" to "Construction of
stormwater utility improvements on Smithtown Way and other projects as designated in the 5 -year
Shorewood Capital Improvement Program "; in Item 2 "the Project" to "projects"; in Item 3 "by
the City to finance the project" to "by the City to finance a project"; and, in Item 4 "The
anticipated original expenditures for the Project' to "The anticipated original expenditures for a
project'. Motion passed 5/0.
D. Adopting Performance Measures
Director DeJong stated he recently became aware of an opportunity for the City to get funds from the
Office of the State Auditor (OSA) through the adoption of performance measures. He explained he has
participated in a few Council on Local Results and Innovation (CLRI) meetings. During the last CLRI
meeting the State Auditor related that there is reimbursement funding available for 2011. People had been
under the assumption that funding would not be available until 2012. . The appropriation is a standing
appropriation for 2011. The reimbursement rate is $0.14 per capita. Therefore, the City could receive
about $1,000 in both 2011 and 2012 if it decided to move forward with this.
He stated that a lot of the performance measures are survey based. Council and Staff have discussed
engaging the residents more through surveys. This would be a great way to help defray the costs of
surveys the City was planning to conduct anyway. He noted the performance measures resolution has to
be adopted by the Council and received by the OSA by no later than June 30, 2011, in order to participate
in the program in 2011. He also noted that by the City participating in this program it removes the City
from any levy limits. The City has not exceeded any levy limits the last few years.
Mayor Lizee stated it makes sense to her.
Woodruff moved, Siakel seconded, Adopting RESOLUTION NO. 11 -033 "A Resolution Adopting
Performance Measures." Motion passed 510.
Mayor Liz& recessed the meeting at 8:58 P.M.
Mayor Liz& reconvened the meeting at 9:03 P.M.
IL OLD BUSINESS
A. Monument Sign for the Southshore Community Center
Administrator Heck stated during its May 23, 2011, meeting Council approved the purchase and
installation of a monument digital display sign for the Southshore Community Center (SSCC) to replace
the existing sign on located near County Road 19. During that meeting Council asked staff to bring back
cost estimates for doing that and to identify the total amount of donations that have been contributed to
date. The quoted price for the sign and installation is $21,116. To date the donations for this purpose total
$12,080. That leaves $9,036 for the City to fund.
Heck then stated during that same meeting Council asked Staff to identify funding sources for the $9,036
being the sign was not budgeted for in 2011. Staff recommends the sign be funded out of either the Public
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June 13, 2011
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Facilities Fund or the Community Investment Fund. The Community Investment Funds was established
with the funds earned by the City's liquor operations and from the sale of those liquor operations. Staff
needs to know where Council wants the sign to be located, noting Staff recommends putting it where the
current sign is.
Mayor Liz& stated this item has been discussed numerous times.
Councilmember Woodruff asked if the total price includes electrical work that may be needed to hookup
the sign. SSCC contract manager Kristi Anderson stated she didn't think there would be any required.
Woodruff then asked how about the computer connection to change the sign. Anderson stated a wireless
connection will be used.
Director Brown stated there will be some small amount of electrical costs incurred for the hookup of the
sign. State Statute requires the City to have a commercial licensed electrician involved and it will be
inspected by the State. He estimated the cost to be no more than $1,000 and that would be in addition to
the $21,116.
Councilmember Siakel recommended the City's contribution come out of the Community Investment
Fund.
Siakel moved, Zerby seconded, authorizing the purchase and installation of a monument sign for
the Southshore Community Center as presented and locating the sign where the current sign is
located.
Councilmember Woodruff suggested the motion include the City's portion of the funding will come from
the Community Investment Fund.
Without objection from the maker or the seconded, the motion was amended to specify the City's
contribution toward this will come out of the Community Investment Fund. Motion passed 510.
Mayor Liz& suggested some tree and under brush trimming be done around that area.
B. Monument Sign for Shorewood City Hall
Administrator Heck stated during its May 23, 2011, meeting Council directed Staff to bring back to
Council design concepts and costs for a monument sign to complete the City Hall renovation project.
Staff was also directed to identify funding options for the sign being it isn't budgeted for in 2011.
Heck explained Staff has prepared a single -sign option and a dual -sign design option for Council's
consideration. The single -sign option will say City of Shorewood and the street address and it will have
directional arrows on it pointing to City Hall, Badger Park and Community Center. One of the two signs
in the dual -sign option will say the City of Shorewood and street address, and the second sign will have
directional arrows pointing to City Hall, Badger Park and Community Center. The cost for purchase and
installation for the single -sign option is $9,385 and the cost for the dual -sign option is $12,379. Staff
recommends the single -sign option and taking funds from the Public Facilities Fund to pay for this.
Councilmember Zerby stated he prefers the single -sign option and he recommended Community Park be
changed to Community Center. Mayor Lizde suggested it say Southshore Community Center.
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June 13, 2011
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Councihnember Woodruff asked if there will be a need for electrical work for this sign. Administrator
Heck stated Staff has not looked into what it will cost to install ground lighting, noting that will be an
added cost.
Woodruff moved, Zerby seconded, authorizing the purchase and installation of a monument sign
for City Hall as presented in the single -sign option subject to the changes recommended above and
using funds in the Public Facilities Fund to pay for this expenditure. Motion passed 510.
C. Lake Minnetonka Communications Commission Fiber to the Homes Discussion
Mayor Liz €e noted that Sally Koenecke, Lake Minnetonka Communications Commission (LMCC)
Executive Director, is present this evening.
Administrator Heck stated during its last meeting Council asked that a work session be scheduled to
discuss the potential LMCC's fiber to the premise (FTTP) initiative (tonkaeonneet""). Since then Mayor
Liz& asked that it be put on a regular Council meeting agenda sooner versus later. He then stated the
meeting packet contains a document he prepared regarding background information he was aware of
about the initiative. He noted that to date the LMCC has spent just under $64,000 on the initiative.
Mayor Lizde stated the reason she asked for this to be put on tonight's agenda is there has been discussion
at different levels about the initiative. The LMCC has been talking about it for quite a while. She noted
she has spoken with some of the Shorewood Councihnembers as well officials on other LMCC member
city councils. She stated Council discussed this during its last meeting. She asked the other
Councilmembers if this Council supports the LMCC continuing to pursue this initiative. The initiative
would cost tens of millions of dollars.
Councihnember Zerby stated it's his impression that Council wanted to see this initiative through the
recently conducted market interest survey. He stated the survey results do not reflect there is an
overwhelming demand for a government entity to provide a FTTP service. The results also show the
majority of responders are satisfied with the service they receive from Mediacom. Sixty percent of the
responders are not dissatisfied with the service they receive from Mediacom. Only 3 - 4 percent of the
responders would work from home more if they had FTTP (a faster service). People were willing to
consider changing to the FTTP service provider if they could get it for a lower price than they pay today
and still get the same or better service. lie questioned if that can really be provided by a relatively new
organization when it's not currently being offered by current service providers. He stated the cost to put
the enterprise together is estimated to be $50 — $80 million. Financing for it would be done through
bonding and that will likely have to be guaranteed by some type of municipality. He noted he does not
think the demand is there.
Councihnember Siakel stated she concurs with Councihnember Zerby. She then stated that during the
May 23r Council meeting she stated the LIVICC had spent about $65,000 to date on the initiative. In
actuality, to date the LMCC has spent $63,988.23. She expressed concern about the LMCC's General
Fund reserves.
Siakel explained it's her understanding that entering into 2011 the LMCC had an approximate $400,000
fund balance. The next phase of this initiative is going to cost $40,000 — $50,000 and that will be paid out
of the 2011 budget. The phase after that will cost $70,000 and that will be paid in 2012. In 2011 the
LMCC received a windfall from Mediacom for underpaying the public, environment and government
(PEG) fees due the LMCC. She stated the continued spending of money on the initiative is draining the
LMCC's reserves and that concerns her. She then stated she can see that there may be benefit in the
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June 13, 2011
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LMCC community being able to access a FTTP network, but she doesn't think its value is worth $50 —
$80 million to the public. She then stated FTTP is a want and not a need.
Siakel stated it's her understanding a board of directors has been proposed to manage tonkaconnect
moving forward. She doesn't think there has been a lot of discussion about who will be on that board. She
expressed concern that those involved with building the enterprise tonkaconnect could potentially be on
the proposed board. She also expressed concern over possible conflicts of interest.
Ms. Koenecke stated Councilmember Woodruff chairs the tonkaconnect Work Group Committee (the
Committee). The LMCC has been studying FTTP for about three years. A number of the Committee
members have been to many different seminars and educational sessions at both the state and national
level to learn about what's going on with regard to FTTP around the country and the world. She stated
because Woodruff has led the Committee for the last three years he is best suited to explain why spending
of LMCC funds have been warranted. The first step in the FTTP initiative was to conduct a survey to
determine in people in the LMCC community even want FTTP.
Ms. Koenecke stated the next thing the Committee has to do is develop a business plan and identify the
costs to build a FTTP system. The Committee and the LMCC doesn't have that information yet. In order
to provide the LMCC member cities with educated answers about whether or not tonkaconnect would be
viable the Committee has felt it worthwhile to spend LMCC funds to accomplish that. She commented in
2006 the LMCC had a wireless study done and questions about cost, reliability and what problems would
be solved were raised in terms of Mediacom issues. She stated in the market survey Mediacom came out
looking pretty good. She noted at this time Mediacom doesn't have a FTTP system; it does have a fiber to
the node system.
Councilmember Woodruff stated the research into FTTP was initiated at the request of the LMCC. He
noted he became involved with the initiative shortly after he became a Commissioner. The full
Commission and the LMCC Executive Committee have had discussions about tonkaconnect during most
of their meetings. In 2010 a workshop was held to present technology information and details of the
tonkaconnect project plan. There was a panel discussion of experts about FTTP. The work to date on
tonkaconnect has been driven by the LMCC and its member cities at some level.
Woodruff then stated he has not been involved with the financial side of the LMCC even when he was a
Commissioner with regard to the budget. In 2010 the Committee did request $30,000 be included in the
2011 budget to fund a market survey and to pay any potential Legal expenses related to tonkaconnect. The
survey was done earlier in the year and it cost less than the $20,000 budgeted. No expenditures have been
incurred to date in 2011 for legal expenses.
Woodruff went on to state the Committee recommended to the full Commission that the next logical step
would be to develop a business plan and a financial model. After that is done a decision can be made
whether or not it makes sound business sense to move forward with tonkaconnect. He commented that he
partially disagreed with Councilmember Zerby's comment that 60 percent of the market survey
responders are satisfied with the service they receive from Mediacom. That's only true if those that are
neutral are included. The opposite could be said if those that were neutral were included in those that are
disappointed with the service. He commented the full Commission has spent time discussing the LMCC's
level of reserves.
Ms. Koenecke stated the Commission created a contingency fund in part to ensure there were funds
available for these types of investigation projects. The LMCC has been given the mandate to do
investigations of communication technology for its member cities. She noted the LMCC has a 10 percent
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June 13, 2011
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contingency fund in its budget for projects that might come up, like tonkaconnect, need to be moved on
quickly. The contingency funds could be used for anything that was not budgeted for. The $30,000 in the
2011 budget was in an assessment and education fund and it was used for tonkaeonnect related
expenditures. A portion of that was used to pay for the tonkaeonnect market survey.
Councilmember Zerby stated he has a philosophical issue with where the funding is coming from. He
explained the only money the LMCC gets is from cable television subscribers. There is a 5 percent fee
and there are PEG fees cable subscribers are paying for. He expressed his displeasure with building a
digital network that competes with Mediacoms's digital network with Mediacom cable subscribers paying
for it. He stated this is a time people want less government involvement not more. He noted he strongly
opposed spending any more money coming from the cable subscribers to pursue tonkaconnect. He stated
if people are interested in FTTP and if there is a demand for it then the LMCC member cities can fund the
next steps He also stated he does not want this to proceed at the LMCC level.
Zerby moved, Siakel seconded, stating the City of Shorewood does not support the Lake
Minnetonka Communications Commission spending any more money on its tonkaconnect project.
Councilmember Woodruff stated he thought doing that is ill conceived and it's a mistake. He then stated
he agreed that the funding the LMCC receives comes from Mediacom cable subscribers. He expressed he
thought there is a significant value to moving forward with tonkaconnect even if it doesn't come to
fruition. He stated the City of Shorewood does have a vote on the Commission and that the LMCC
operates under a joint powers agreement. The City's representative on the Commission needs to express
this Council's perspective in a full LMCC Commission meeting. He commented that the City did not
have a voting member present at the last meeting.
Woodruff then stated during the last Council meeting Councilmember Siakel commented that LMCC
residents don't know what's going on with tonkaconnect. Articles have been published in the local
newspapers about tonkaconnect. He commented he had a document that described what's going around
the country with regard to similar projects. He stated that to say people have to rely on private industry is
not the correct approach at this juncture.
Councilmember Zerby noted that he is not apposed to FTTP; he would love to have the internet speed. IIe
is opposed to the funding coming from the LMCC. He stated if the tonkaconnect project is going to
continue he is willing to have it at the Council level. He noted that he could not attend the last LMCC
Commission meeting because he was celebrating his twenty -fifth wedding anniversary. Unfortunately, the
City did not have an alternate who could vote. He also noted that his technology business relies on digital
downloads; it's his income. He wants to have more and faster digital download capabilities for everyone.
Mayor Liz& stated this Council supports FTTP technology but not by having the public pay for it. The
FTTP is a business that is viable and certain to be a money maker for the private industry. She then stated
FTTP isn't a need for public infrastructure it's a desire.
Councilmember Zerby stated the LMCC's mission is to provide community access. Taking LMCC funds
away from community access needs is not appropriate.
Motion passed 4/1 with Woodruff dissenting.
D. Lake Minnetonka Communications Commission Appointment of an Alternate
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June 13, 2011
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Mayor Lizee asked Council if it would Iike to appoint an alternate member with voting privileges to the
Lake Minnetonka Communications Commission (LMCC). Administrator Heck stated he had not
reviewed the LMCC joint powers organization to determine if the City can do that.
Sally Koenecke, LMCC Executive Director, stated the LMCC joint powers agreement states each
member city can appoint at least one alternate director.
Lizee moved, Hotvet seconded, nominating Councilmember Siakel to be the Shorewood alternate to
the Lake Minnetonka Communications Commission.
Councilmember Woodruff stated the idea of having an alternate is well founded. He expressed concern
that having been a Commissioner for three years he knows that the City's representative is only obligated
to attend four meetings a year. If the regular representative and the alternate tag team in attending
meetings he would be really concerned about lack of continuity and that the City would not be
represented well. If the City would be represented by someone every other meeting that would be a
problem for him. Mayor Lizee stated that is not her intent in making the motion; it was to have the
availability of an alternate with voting privileges.
Councilmember Siakel stated she would not be in favor of attending every other LMCC Commission
meeting. She would simply be a backup if Councilmember Zerby could not attend.
Motion passed 510.
Mayor Lizee thanked Ms. Koenecke for coming this evening
12. STAFF AND COUNCIL REPORTS
A. Administrator and Staff
Administrator Heck stated the City ranked nineteenth for overall steps and eighth for the average steps per
participant in the Step To It challenge. The results reflect that Councilmembers did not participate in the
challenge. Councilmember Woodruff clarified he thought three Comrcilmembers participated and he
noted he made an entry every day of the challenge.
Heck then stated Director DeJong and he met with representatives from the Minnetonka School District to
discuss the City possibly using the District's fiber optic network to connect into Carver County's fiber
ring that's being built. The District has twelve pairs of fiber that go off to the Minnewashta Elementary
School. The District is going to research the legal aspects of possibly allowing the City to do that. The
District is also going to look at the feasibility of doing that long term from a capacity perspective because
ninth grade high school students in the District are going to be getting ipads to use. The District plans to
push that type of technology into the elementary schools. The City has the option of running two fiber
lines to patch into the Carver County fiber ring.
Heck went on to state Councilmember Hotvet and he had a good meeting to talk about the strategic
planning process and he thought Hotvet presented him with some very good ideas. He noted he will write
up notes from that discussion and distribute them to Council.
Heck reviewed topics for upcoming work sessions. They are: the review of the City's licensing and
permitting processes and fees; the water connection charge; and the 2012 budget starting the first meeting
in July. There will also be a need to discuss how Council wants the City to proceed with regard to a
CITY OF SHOREWOOD REGULAR COUNCIL MEETING MINUTES
.June 13, 2011
Page 21 of 22
managing the Southshore Community Center (SSCC). The City's commitment to managing the SSCC is
up in 2012.
Director Brown stated he has been asked by Administrator Heck and Director DeJong to update Council
on the following situation. He explained the City's loader, a critical piece of equipment for the Public
Works Department, stopped working this past week. The Public Works staff had the equipment at
Crescent Beach while it was putting in the dock when the loader experienced a mechanical failure. The
Caterpillar dealer was called to take the loader away. The loader is one of the two pieces of front fine
equipment. If trees go down that is the first piece of equipment out the door. The Excelsior Public Works
Department has been asked to provide backup to the City for that.
Brown noted that he has been working with the dealer regarding what the problem is. He explained the
equipment is sixteen years old and the goal was to try and get twenty years out of it. He noted that the
loader was scheduled to be replaced in 2014. He also noted that when he first started with the City the
loader was on a ten -year replacement schedule. He took some flack for pushing it out to a fifteen -year
replacement schedule. Due to budget constraints the schedule was pushed out to twenty years. He
explained Staff is discussing whether the loader should be repaired or replaced. The current estimate to
repair the loader is about $25,000, and the first estimate he received was $50,000. A new machine costs
approximately $190,000. He and the Public Works shop technician have been discussing how to adjust
the Equipment Capital Improvement Program (CI'P) to advance the purchase of a new loader and delay
the purchase of other replacement equipment.
Mayor Lizee expressed that she was pleased Director Brown is working with the City of Excelsior
Update on Zoning Violations
a. Mr. Mason
Director Nielsen explained the property located at 27680 Island View Road and owned by Bill Mason had
multiple decks /docks on it. The City's Code limits the number of docks per lot to one. Therefore, the
property was in violation. Mr. Mason had appealed the City to consider allowing more than one dock on a
pieced of property or to consider his dock a deck. Since then Mr. Mason has removed the older dock so he
is no longer in violation.
b. Mr. Johnson
Director Nielsen explained Ron Johnson appealed a zoning violation he had received. The City initiated
its administrative enforcement process by issuing an administrative citation to Mr. Johnson and he
appealed that. An administrative hearing was started two weeks ago to begin to hear arguments. Mr.
Johnson appealed for additional time in order to have his attorney present at the hearing. The hearing has
been continued to July 26, 2011.
C. Mr. Eastman
Director Nielsen explained Jerry Eastman received a zoning violation notice for property he resides at
located at 5490 Vine Hill Road about a car repair business he is allegedly running on that property. Mr.
Eastman has not responded to the notice. Complaints persist. The City is going to take the next steps.
B. Mayor and City Council
CITY OF SHOREWOOD REGULAR COUNCIL MEETING MINUTES
June 13,2011
Page 22 of 22
Councilmember Siakel explained the Lake Minnetonka Conservation District (LMCD) has removed its
high water declaration for Lake Minnetonka earlier in the day. Milfoil harvesting on the Lake is
scheduled to begin the week of June 20` Four out of five bays in the Lake that were selected for
herbicide treatment of Eurasian WatermilfoIl and Curly Leaf Pondweed have been treated. The LMCD
has been receiving a lot of support from the Army Corps of Engineers about the treatment program.
During the June 10`' the LMCD Aquatic Invasive Species Task Force meeting a representative from the
Corps that was there from Florida doing some point intercept studies and looking at different invasive
species in the Lake. Grays Bay may not be treated this year because of the heavy flow of water from the
Lake into Minnehaha Creek.
Councilmember Zerby stated he attended the Excelsior Fire District (EFD) Board's regular meeting on
June I". Things are going well for the District. There was a report from the EFD Reserve Unit Captain
that was very informative. The Reserve Unit does a lot for the District and the Department. The draft
2012 EFD Operating Budget was discussed for the third time. The original proposed budget projected a
mandatory contribution in the amount of $80,000 to the Excelsior Firefighters Relief Association (EFRA)
frond for pensions. That amount in the budget has been reduced to $40,000 because the most recent
contribution calculations indicate the required contribution will be significantly less. EFD Chief Gerber
identified some areas to reduce the budget per the Board's direction and the Board asked him to make a
few of the proposed cuts. There was a lengthy discussion about the medical response service the EFD
provides to the EFD community.
Mayor Liz& stated the Art on the Lake event held this past weekend was very successful. She noted see
saw many Shorewood residents and Shorewood staff members at the event.
13. ADJOURN
Siakel moved, Zerby seconded, Adjourning the City Council Regular Meeting of June 13, 2011, at
9:57 P.M. Motion passed 510.
RESPECTFULLY SUBMITTED
Christine Freeman, Recorder
ATTEST:
Christine Lizde, Mayor
�Bfia#J1e6 ck, City " strator /Clerk