08-22-11 CC Reg Mtg MinCITY OF SHOREWOOD
CITY COUNCIL REGULAR MEETING
MONDAY, AUGUST 22, 2011
MINUTES
1. CONVENE CITY COUNCIL REGULAR MEETING
5755 COUNTRY CLUB ROAD
COUNCIL CHAMBERS
7:00 P.M.
Mayor Liz6e called the meeting to order at 7:02 P.M.
A. Roll Call
Present. Mayor Liz&e; Councilmembers Hotvet, Siakel, Woodruff and Zerby; Attorney Keane;
City Administrator Heck; Finance Director DeJong; Planning Director Nielsen; Director
of Public Works Brown; and Engineer Landini
Absent: None.
B. Review Agenda
Zerby moved, Hotvet seconded, approving the agenda as presented. Motion passed 5/0.
2. APPROVAL OF MINUTES
A. City Council Work Session Minutes, August 8, 2011
Woodruff moved, Siakel seconded, Approving the City Council Work Session Minutes of August 8,
2011, as presented. Motion passed 510.
B. City Council Regular Meeting Minutes, August 8, 2011
Zerby moved, Hotvet seconded, Approving the City Council Regular Meeting Minutes of August 8,
2011, as presented. Motion passed 5/0.
3. CONSENT AGENDA
Mayor Liz6e 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. Authorizing Submittal of the Three Rivers Park District Regional Trail System 2011
— 2012 Winter Use Permit
Motion passed 510.
4. MATTERS FROM THE FLOOR
There were no matters from the floor presented this evening.
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5. PUBLIC HEARING
None
6. REPORTS AND PRESENTATIONS
A. Excelsior Fire District 2012 Capital Improvement Program and Operating Budget
Mayor Liz& stated the meeting packet contains a copy of the recommended Excelsior Fire District (ETD)
2012 Capital Improvement Program (CIP) and the 2012 Operating Budget. She noted Chief Scott Gerber
is present to briefly highlight the documents.
Chief Gerber stated the recommended budget comes from the EFD Board which is comprised of a
representative from each EFD member city. The Board recommended the member cities adopt the
Budget and CIP. The recommended budget was forwarded to the member city City
Administrators /Manager and they were asked to forward it on to their City Councils.
Chief Gerber highlighted a couple of budget summary items. He explained the overall 2012 Budget
amount of $1,526,572 reflects a 1.39 percent (or $20,956) overall increase over the 2011 adopted budget.
The member cities' 2012 contribution amount of $1,516,292 reflects a 0.30 percent (or $4,541) increase
when compared to the 2011 contribution amount of $1,511,751.
The total overall budget of $1,526,272 is comprised of: $807,005 for the Operating Budget; $165,000 for
the Capital Improvement Fund; and $554,567 for the Fire Facilities Fund. The total budget was reduced
through the use of part of the anticipated $40,000 surplus in the Fire Facilities Fund at the end of 2011
and this in turn reduced the municipal contribution. The surplus is the result of using unspent proceeds
remaining in the construction fund for the public safety facilities to offset part of the first 2011 . bonded
debt payment for the ETD. The $40,000 surplus is proposed to be allocated as follows: $12,679 for the
2012 required mandatory contribution to the Excelsior Firefighters Relief Association's (EFRA) fund for
pensions; $17,040 will be placed in a reserve account to be used for specific District needs or future
required contributions to the EFRA; $2,500 for replacement furniture in the lounge at EFD Station 1;
$1,000 for cabinets for boat and water supplies at Station 1 and Station 2; $5,000 for the replacement of a
mobile data computer as the EFD Chief deems necessary; and, $1,777 for an additional 2 percent increase
in compensation and benefits for the EFD Chief.
Mayor Liz6e thanked Chief Gerber for all of his hard work and for the quality group of firefighters that he
leads. She also thanked Councilmember Zerby for his efforts as the City's representative on the ETD
Board. She stated the EFD Board has had a number of discussions about the budget and the Board had
held a joint budget work session of the member City Councils to discuss the recommended budget.
In response to a question from Councilmember Woodruff, Chief Gerber explained the amount of the 2012
required contribution to the EFRA's fund for pensions has been locked in. Gerber then explained the 2012
budget timeline had been adjusted to allow for trying to make the contribution amount as concrete as
possible.
Councilmember Zerby stated he thought Chief Gerber did a great job with the budget and the budget
process. Everything was transparent. He then stated from his vantage point he thought everything Gerber
asked for is necessary in running the department. He expressed his appreciation for Gerber's frugalness
and also his patience when dealing with the Board.
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Zerby moved, Siakel seconded, approving the recommended Excelsior Fire District 2012 — 2032
Capital Improvement Program dated August 2011 and the 2012 Operating Budget dated August
12, 2011, as recommended.
Councilmember Siakel thanked the District personnel for the awesome job they do.
Motion passed 5/0.
Chief Gerber thanked Council for its support day in and day out and for the budget.
Councilmember Woodruff noted that the City contracts with the Mound Fire Department (MFD) to
provide services out on the islands. He stated the MIT) provides good service to the City's residents on
the islands.
B. Jeff Casale, Report on Minnehaha Creek Watershed District Board Activities
Mayor Liz& introduced Jeff Casale, a Shorewood resident who is on the Minnehaha Creek Watershed
District's (MCWD) Board of Managers, who is present to provide an update on MCWD Board activities.
Mr. Casale commented that during the April 11, 2011, Council meeting Councilmember Zerby asked if
there were resources available to identify the City's water resources; those that are visible today as well as
those that were once there. Zerby asked if someone could prepare some maps reflecting that.
Mr. Casale reviewed a list of programs the MCWD is working on. They are: water quality sampling, carp
management, education and communications, aquatic invasive species (AIS) prevention, flood
prevention, capital projects and cost share. He explained the MCWD was established in 1967. During the
1970s flood protection programs were put in place and sewerage discharge into Lake Minnetonka was
eliminated. During the 1980s the MCWD was given mandates beyond flood control.
Mr. Casale displayed a map of entire MCWD. The map was animated to show how water flows through
the MCWD. He noted the MCWD's boundaries are hydrological. He also noted there are 27 communities
in the MCWD. He explained that water within the upper watershed flows into Lake Minnetonka and
eventually into Minnehaha Creek.
Mr. Casale then displayed a map of the City that showed where the historical wetlands had been. He also
displayed maps of how the topography of the City changed with regard to wetlands. He noted in the
1950s, 1960s and 1970s there were a lot wetlands. He explained that during the 1980s and 1990s a
number of the large wetlands were filled in. On the western edge of Shorewood, there was a fairly
expansive wetland that remained largely untouched until the 1980's. Today, it's completely covered by
development. At one time there was a large wetland where City Hall is now located. In the 1980s and
1990s storm sewers were installed in the City. Each of storm sewers is like a small creek that brings water
into Lake Minnetonka. A few years ago the MCWD did a wetland restoration project at Gideon Glen and
as part of it grit chambers were installed for protection.
Mr. Casale explained that because there will not be a great deal of redevelopment within the City, the City
and the MCWD may want to consider opportunities for parking lot improvements. Parking lots can be
removed, grit chambers installed and a parking surface reinstalled. The grit chambers can be bottomless
so that water flows back into the water tables. Or, if the water tables are too high, they can serve as
holding tanks so that the water goes back into the water tables more slowly. Wetlands do both of those
things. That could be an opportunity for the parking lot at City Hall since it used to be a wetland. Another
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August 22, 2011
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parking lot opportunity could be near the nursery in the City because that area also used to be a wetland.
There are also opportunities for the MCWD to have private partnerships with residential property owners
where the MCWD would participate financially if the property owner were to reduce large impervious
surface areas.
Mr. Casale stated the City of Edina has incorporated oil /grit separators systems into its stormwater
management plan. Those systems are designed to remove trash, debris and some amount of sediment, oil
and grease from stormwater runoff. They operate based on the principles of sedimentation for the grit and
phase separation for the oil.
Mayor Lizde asked if grit chambers require a lot of maintenance. Mr. Casale responded they do have to be
vacuumed out periodically.
Mr. Casale stated the parking lots and grit chambers are the greatest opportunities for restoring wetlands
in the City.
Councilmember Zerby stated he would like the opportunity to study the maps in more detail at a later
time, noting the Council agenda for this meeting is very full.
Mayor Lizde thanked Mr. Casale for his presentation this evening.
7. PARKS
Commissioner Hartmann reported on matters considered and actions taken at the August 9, 2011, Park
Commission meeting (as detailed in the minutes of that meeting).
A. Badger Park Warming House Rehabilitation
Mayor Lizde stated the meeting packet contains a copy of a memorandum requesting Council approval to
move forward with the rehabilitation of the Badger Park warming house. She noted the City has received
bids for painting the warming house, doing construction preparation work and repairing two stoops.
Councilmember Zerby commended the Park Commission for being frugal by looking at ways to improve
existing park resources. He stated the warming house is used a lot.
Zerby moved, Woodruff seconded, awarding the contract to paint the Badger Park warming house
to Eclipse Painting Contractors in the amount of $2,090, awarding the contract for construction
prep work to Pete Seamans Construction in the amount of $1,975, and awarding the contract for
repair work for two stoops to Pete Seamans Construction for an estimated amount of $4,500.
Councilmember Woodruff commented that the warming house is one of the more heavily used buildings
and that for years it has needed some work. The proposed improvements will help a great deal.
Councilmember Siakel asked if the Park Commission has discussed a longer terns plan for the warming
house. Commissioner Hartmann responded that the Commission will be doing that.
Motion passed 510.
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8. PLANNING
Director Nielsen reported on matters considered and actions taken at the August 16, 2011, Planning
Commission meeting (as detailed in the minutes of that meeting).
Director Nielsen commented that Planning Commissioner Hasek recently underwent hip replacement
surgery. Mayor Liz& wished him well.
A. Deer Feeding Ban Draft Ordinance
Director Nielsen stated the Planning Commission discussed the possibly instituting a deer feeding ban a
couple of months ago as a result of complaints the City received from residents who did not think feeding
deer was a good thing to do. He explained that during 2010 the City published four different articles,
written by the Department of Natural Resources, encouraging residents not to feed deer. Unfortunately, a
number of people are still feeding deer. Therefore, the Commission thought the City should approve an
ordinance banning such feeding and it suggested doing a one - question residential survey soliciting
feedback on such an ordinance. The survey was distributed with residential sewer bills and approximately
one -third responded to the survey. Of the 904 responders 726 responded yes to having an ordinance that
bans feeding deer.
Nielsen then stated the Commission has drafted an amendment to the City Code which would ban the
feeding of deer for Council to consider and a copy was included in the meeting packet. The Commission
would like the ordinance to go into effect this fall. He noted that the ordinance was carefully crafted so it
did not include the residential feeding of birds.
Mayor Liz& read a section of the proposed ordinance amendment. It states No person may place or
permit to be placed on the ground, or within five (S) feet of the ground surface any grain, fodder, salt
licks, fruit, vegetables, nuts, seeds, hay or other edible materials which may reasonably be expected to
intentionally result in deer unless such items are screened orprotected in a manner thatprevents
deer from feeding on them. Living fruit trees and other live vegetation shall not be considered as
supplemental deer feeding." She noted it was specific to those who feed deer.
Councilmember Zerby stated he looked at one of the Minnesota Department of Natural Resources' (DNR)
bans. That ban contained some things that made a lot of sense. That ban defined attractants and feed as
two separate items. He stated that he has spoken with some hunters who explained that salt licks are
considered an attractant and not food. He suggested using some of the language the DNR used. He
explained the DNR included language about who is responsible. For example, the DNR includes the
property owner or the lessee of the property in its language and it ties that back to the responsible party.
The DNR uses a height of six feet versus five feet. He noted he tends to lean toward using language
similar to the DNR's language.
Zerby then stated he is not sure banning the feeding of deer is going to solve the problem of deer eating
property owners' vegetation. From his vantage point, the City's deer harvesting program is a more
effective solution. He explained the ordinance will be enforced on a complaint basis and that could result
in neighbors being pitted against each other. He acknowledged that the residents have spoken in favor of
such an ordinance through the survey and he will support that. He suggested there be a one year trial
period for the ordinance so the effectiveness of the ban can be evaluated.
Councilmember Siakel stated she concurs with Councilmember Zerby's comments. She noted that she
read the comments the survey respondents included in their replies. She stated the problem is about deer
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August 22, 2011
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invading residents' yards and eating their vegetation. If the deer aren't harvested they are going to
continue to eat the vegetation. She suggested having an aggressive deer management program for 2011.
She stated she can support the wishes of the community even though she thinks the way to handle the
problem is more about controlling the deer population than banning the feeding of deer.
Mayor Lizee asked if the City should have a policy about banning the feeding of deer rather than an
ordinance banning the feeding of deer. She clarified she agrees with banning the feeding of deer in the
City for a variety of reasons. She noted an ordinance is only good if it can be enforced. She stated she
thought enforcement would be a big issue. She asked what a Class A offense is and what the penalty for it is.
Director Nielsen explained the Planning Commission spent a great deal of time discussing enforcement.
He noted that a number of the survey responders questioned how the ordinance would be enforced. He
stated the Commission and Staff suggest it be enforced on a complaint basis only. The Commission
suggests that for those feeding sites where there is a lot of food the City should advise people putting the
food out to stop what they are doing and if they don't then issue them a ticket. He noted a Class A offense
carriers a $100 fine and a warning is issued before a ticket is issued.
Mayor Lizde asked if other cities have deer feeding bans. Director Nielsen responded some do.
Director Nielsen explained the reason the Planning Commission decided to go with five feet off the
ground is some people can't fill a bird feeder that is six feet off the ground.
Mayor Lizee asked if cities that have ordinances that ban the feeding of deer are successful in controlling
the deer population.
Director Nielsen explained the ordinance to ban the feeding is just part of the solution to control the
population. He then explained the 2011 deer harvesting program will done for five weekends as opposed
to four which was done in the past. Consideration is also being given to starting the harvesting early on
Friday evening. He stated some of the 2011 sites should produce better results. He explained the City's
white tail deer policy does specify a deer population goal.
Mayor Lizee stated she can support an ordinance with a one -year sunset date. Councilmember Siakel
stated she agrees with that.
Zerby moved, Siakel seconded, Approving Ordinance No. 478 "An Ordinance Amending the
Shorewood Municipal Code as it Pertains to Supplemental Feeding of Deer" subject to it including
a sunset date of September 1, 2012, and Section 704.02 being amended to change "No person may
place ..." to "No property owner may place ... ".
Councilmember Woodruff suggested changed "No person may place" to "No resident may place ".
Without objection from the maker or seconded, the motion was amended to say change "No person
may place..." to "No resident may place..." Motion passed 510.
9. ENGINEERINGIPUBLIC WORKS
A. Waterford Pond Planting Plan
Engineer Landmi explained that in 2010 the City did a maintenance project for Waterford Pond. The
outlet structure was replaced, the inlets were rebuilt, the water level was lowered one foot, rip rap was
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added around the structure for erosion control protection, and the rip rap near one inlet structure that had
washed into the Pond was collected and restacked. After completing the project residents living near the
Pond contacted Staff to express their concern and dissatisfaction about the aesthetics of the project area.
The water level has since been raised one foot (it's now at the level it was at before the project) and it is
flowing over the new outlet structure. Staff worked with Metro Blooms on a planting plan for around the
Pond to provide more aesthetics, improve water quality, create a buffer area and provide screening of the
outlet structure once the plants mature. Staff and representatives from Metro Blooms have met with the
residents to discuss plan specifics and they seemed to be pleased with the proposed plan and are looking
forward to having the area improved.
Landini noted Metro Blooms estimates the cost for the project to be approximately $13,450 which
includes a dense planting of 1,585 plants. Metro Blooms intends to do the project jointly with the
Minnesota Conservation Corps.
Mayor Liz €e stated it looks like a good plan and she thought it would be a vast improvement for
Waterford Pond.
Councilmember Woodruff stated he likes the plant selection and it appears to be a good plan. He asked if
there is any requirement to solicit bids from more than one company. Administrator Heck responded there
is not.
Councilmember Zerby stated he liked the plan and he commented that Metro Blooms does great work. He
asked if the residents understand that it will take time for the plants to mature to the point where they
provide screening and the desired aesthetics. Engineer Landini stated Staff is working with the Minnesota
Conservation Corps about the annual maintenance of the rain gardens at Gideon Glen and the Waterford
Pond site will likely be included in that annual maintenance effort to get the plants established.
Administrator Heck noted the City received a request from Mr. Johnson, who owns the property to the
east of the site, asking for several documents to be presented this evening. The documents were not
presented because he did not think they were relative.
In response to a question from Councilmember Hotvet, Engineer Landini explained he and representatives
from Metro Blooms rnet with the residents on August 18, 2011, to discuss the plan and walk the site.
Zerby moved, Woodruff seconded, directing Staff to contract with Metro Blooms to stabilize the
area adjacent to Waterford Pond for an amount not to exceed $13,500. Motion passed 510.
B. Otta Seal for Enchanted Point Road
Engineer Landini explained that Enchanted Point Road, a gravel road located out on the islands, was
selected in March 2011 to be stabilized and the dust reduced by using the Otta seal process. Staff solicited
quotes from four firms and Allied Blacktop provided the only quote in an amount of $52,800. Staff then
asked Midwest Asphalt to provide a quote to pave the Road with an experimental road base. Midwest
Asphalt provided a quote of $50,560 to do that. Staff then worked with both firms to jointly do the project
and they provided a quote of $36,881 to Otta seal the roadway. Midwest Asphalt will raise the sanitary
manholes, provide the rock, do the base grading and preparatory work, and they will deliver the rock to
Allied Blacktop for the Otta seal process.
Director Brown complimented Midwest Asphalt for its efforts as a design partner with Staff on this
project. The project had tamed into a designibuild project. He explained that Midwest Asphalt had
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August 22, 2011
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inquired about what was going on with the Otta seal project and they were informed that the bids the City
had received were unfavorable. At that point Midwest Asphalt offered to work with Staff on the design
process.
Mayor Lizee stated it was an example of a great collaborative and team effort.
Woodruff moved, Zerby seconded, directing Staff to use the team contractor concept for the Otta
seal of Enchanted Point Road for an amount not to exceed $36,881. Motion passed 5/0.
Engineer Landim noted that Flint Hills Resources will not make its Otta seal oil product until it receives
an order for at least 40,000 gallons. Flint Hills Resources is the only supplier of the oil.
10. GENERAL/NEW BUSINESS
A. Rental Housing Code Ordinance Amendment Pertaining to Private Well Drinking
Water Testing
Administrator Heck explained during its May work sessions Council discussed whether or not the City
Code Chapter 1004 Rental Housing should be amended to require rental property owners who have
private wells to provide proof that their well water met the same criteria the City's municipal water must
meet. The issue carne about because some residents expressed concern about the quality of the water in a
unit they were renting. Staff was directed to work with Attorney Keane to draft such an amendment.
Heck then explained that the Building Official Pazandak found out that it would be fairly difficult and
cost prohibitive for rental property owners to test for all of the contaminants the City's municipal water is
tested for. Very few testing labs will test for that number of contaminants. The Minnesota Department of
Health (MDH) recommends testing for coliform bacteria, nitrates and arsenic. If the level of those
contaminants exceeds the acceptable level for municipal water the MDH and the testing labs suggest
requiring purification systems for water used for consumption and not a whole house system.
Heck noted the proof of testing by a certified testing laboratory would be required for initial rental license
applications, license renewals and change of property ownership if the property will continue to be a
rental property.
Jacque Ridgway, a rental property owner in the audience, stated she was concerned by the original letter
she received about well water testing because of the number of contaminants that were going to be
required to be tested. Now that the list of contaminants has been downsized her concerns have been
alleviated.
Zerby moved, Woodruff seconded, Approving ORDINANCE. NO. 479 "An Ordinance Amending
the Shorewood Rental Housing Code as it Pertains to Private Well Drinking Water Testing."
Motion passed 5/0.
B. Ordinance Regarding Background Checks for Employment and Licenses
Administrator Heck explained that South Lake Minnetonka Police Department (SLMPD) Chief Litsey
has informed the SLMPD member cities that law enforcement agencies connected to the state and federal
criminal justice databases are subject to a triennial quality assurance review /audit. The review is
conducted by auditors with the Minnesota Bureau of Criminal Apprehension (BCA). Part of the audit
process is making sure the member cities have the appropriate ordinances in place authorizing the
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SLMPD to conduct background checks on their behalf. The BCA auditors determined that the member
cities either don't have the proper ordinance or the ordinance lacks the proper wording to conduct
background checks for employment purposes and peddler licenses. The BCA asked the SLMPD to
suspend conducting those types of checks for member cities until things are brought into compliance.
Litsey provided the member cities with a copy of a model ordinance prepared by the League of Minnesota
Cities. He noted the City has used the SLMPD to conduct background checks in the past.
Councilmember Hotvet stated she is in favor of having background checks conducted. She asked what the
proper definition is for a solicitor and for a canvasser.
Councilmember Woodruff stated the draft ordinance Section 105.06 Subd. 2 and Subd. 2.a.(1) list
SLMPD and Excelsior Fire District personnel as requiring background checks for employment. He
explained the City has no control over those personnel. He suggested removing those references from the
ordinance.
Woodruff moved, Siakel seconded, Approving ORDINANCE NO. 480 "An Ordinance Relating to
Criminal History Background Checks for City Employment and City Licenses" subject to the
removing the requirement for background checks for South Lake Minnetonka Police Department
and Excelsior Fire District personnel from the ordinance.
Councilmember Zerby read the definitions of canvasser and solicitor which are found in the City Code
Section 308.02. The definition for a canvasser is "Any person canvassing for funds door -to -door in this
city on behab` of a charitable, religious or nonprofit organization as defined in IRS Code § 501(c)(3)."
The definition for a solicitor is "Any person who goes from place to place and/or house to house
soliciting or taking or attempting to take orders for the purchase of any foods, wares or merchandise,
including magazines, books, periodicals or personal property of any nature whatsoever for delivery in the
future or orders for the performance of a service in or about the home or place of business, such as
furnace cleaning roof repair or blacktopping."
Motion passed 510.
C. Southshore Community Center
Administrator Heck explained the City has been managing the Southshore Community Center (SSCC)
since July 2009 on behalf of the SSCC partner cities of Deephaven, Excelsior, Greenwood and Tonka
Bay. The City entered into an agreement to lease and operate the SSCC until the end of 2012. The City
then contracted with Community Rec Resources to provide management services for that entire period.
He stated to avoid the situation that occurred in 2009 when there was uncertainty as to the future of the
SSCC Staff recommends Council direct Staff to work with the other partner cities on extending the
agreement to lease and operate the SSCC. Staff also recommends working with Community Rec
Resources to negotiate an extension of that agreement to provide management services.
Councilmember Hotvet noted she was not on the Council when those agreements were entered into. She
stated she would like to gain an understanding of the agreement the City entered into with the other
partner cities. She asked if the other four partner cities are participatory and if they are pleased with how
things have been working out. She then asked if the partnership between the City and the other four
partner cities is a true partnership. She commended Community Rec Resources and those that volunteer at
the SSCC for building the culture around the SSCC.
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Administrator Heck explained the agreement between the City and the other four partner cities turns
responsibility for managing the SSCC over to the City. Council has the authority to set the rates for using
the SSCC, establish the policies regarding use of the SSCC and so forth as well as the authority to hire the
firm to provide management services if it chooses to contract those services out. The City receives all of
the benefits if SSCC operations make a profit and it also assumes all liability if the SSCC operations have
to be subsidized. The other four partner city City Administrators/Manager have indicated to him that they
are happy to have the City manage the SSCC. The City received approximately $8,200 in total from the
Cities of Deephaven ($3,000), Excelsior ($4,000) and Greenwood ($1,200) to put toward the purchase of
a new digital sign for the SSCC. Whether or not the other cities will make contributions to the SSCC in
the future is not known. Excelsior has indicated it may consider making contributions toward capital
improvements in the future, but it will not make contributions toward SSCC operations. Deephaven has
indicated it may consider making future contributions depending on the need.
Councilmember Hotvet asked if a joint powers agreement (JPA) has ever been considered by the five
partner cities. Administrator Heck stated he is not sure if a JPA would be welcomed by the cities unless
there was agreement on a funding formula, and that was the issue the last time around.
Councilmember Woodruff stated the City has a lease to use and operate the SSCC and the cost of the
lease is $1 per year. The five partner cities funded the construction of the SSCC and they all own a
prorated portion of it. There is an agreement that defines that ownership, but it does not define the
operation of the SSCC. He asked Administrator Heck if he should assume that the other partner cities
have not expressed any interest in taking over management of the SSCC. Heck responded that is a fair
statement.
Mayor Lizee stated the other four partner cities have indicated they recognize that Shorewood has the
staff, capability and capacity to run the SSCC being the SSCC is located in the City, and they commend
the City for stepping up to the plate and take over responsibility for managing the SSCC. She then stated
it is important to her both personally and as a member of the community that the City continues its
support of the SSCC. She asked Council to commit to continuing the management of the SSCC
operations. She stated she thought it prudent to let the public know about such a commitment.
Councilmember Zerby expressed he whole heartedty agrees with Mayor Lizee's comments. He stated he
views the SSCC operations as part of the City's park system. He noted ball fields in the City -owned parks
are used by people who are not residents of Shorewood. Residents throughout the broader community use
the fields and the parks in general. He stated he was comfortable with the current agreement and he
expressed gratitude for contributions the other partner cities have made toward the digital sign. He
expressed his agreement for making the agreement a longer term agreement.
Councilmember Siakel asked the other Councilmembers how long they would like to extend the
agreement for. Mayor Lizee suggested an additional five years.
Mayor Lizee asked Council if there is consensus for the City to commit to managing the SSCC for an
additional five years after the current agreement expires.
Administrator Heck asked Council to consider having the agreement automatically renew at the end of
each five -year period unless specific action is taken not to renew it.
There was Council consensus to have the agreement automatically renew at the end of each five -year
period unless specific action is taken not to renew it.
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Council directed Staff to work with the other four cities that share in the ownership of the
Southshore Community Center (SSCC) to extend the agreement for the City to lease and operate
the SSCC and include an automatic renewal clause in it, to negotiate an extension of the agreement
with Community Rec Resources for providing management services to the SSCC, and to have these
tasks completed by the end of the year for Council's consideration.
D. Request for Proposals — Community Survey
Administrator Heck explained Council directed Staff to issue a request for proposals (RFPs) for
conducting a community survey for the City. The City has received four RFPs and copies of the RFPs are
included in the meeting packet. He stated Staff recommends the City contract with National Research
Center (NRC) to conduct the survey. He explained that Staff s recommendation is based on: NRC works
almost exclusively with counties and cities; NRC is affiliated with the National Performance Institute;
NRC did its homework on the City and based on the City's demographics NRC is recommending
conducting a mail survey with a web based option available; NRC will identify key drivers for the City;
NRC will to train staff on how to conduct surveys; NRC will give the City all of the data; and, for an
additional cost NRC is willing to conduct a "next steps" workshop to assist Council and staff in creating
an action plan.
Councilmember Woodruff stated he thought the RFP submitted by N'RC is very complete, detailed and
complex. NRC is proposing to send out 1200 surveys by mail but it is not guaranteeing any response and
that concerns him. Springsted Incorporated proposed conducting and completing 339 phone surveys. He
recommended the City ask for a guaranteed response if Council selects NRC to do the survey and he
suggested it be at least 5 percent.
Councilmember Hotvet stated she like some of the language in the RFP submitted by the University of
Minnesota. She requested Council have the opportunity to review the questions proposed for a survey
before the survey is conducted. She recommended some of the questions in the survey relate to the South
Lake Minnetonka Police Department and the Excelsior Fire District. Administrator Heck stated he has
spoken with the fire chief about this and he will also speak with the police chief. Hower stated her top
choice is NRC.
Woodruff moved, fiotvet seconded, authorizing Staff to contract with National Research Center to
conduct a community survey subject to there being a proviso that guarantees a 5 percent
confidence rate on the results.
Councilmember Hotvet asked if the intent is to let the residents know that a survey will be conducted
before it is started. Administrator Heck responded it is.
Motion passed 510.
E. Policy on Recognition of Services for Commissioners
Administrator Heck stated the company the City has used to produce the walnut plaques given for
recognition of services for council members and commissioners has gone out of business. The plaques
cost about $90 and there is a one -time set -up fee of $70 - $150. Rather than finding another company to
purchase the engraved plaques from Staff is proposing giving an outgoing commissioner a gift certificate
or gift card along with a nicely framed certificate of recognition thanking the commissioner for their
service. The meeting packet includes a copy of a draft resolution adopting a policy for recognition of park
and planning commissioners.
CITY OF SHOREWOOD REGULAR COUNCIL MEETING MINUTES
August 22, 2011
Page 12 of 18
Councilmember Zerby expressed his preference for continuing to present wooden plaques for recognition
of service. He stated he did a quick search on the intemet and he found one source of solid wood plaques
for a cost of around $27 with up to twelve lines. He then stated he finds it hard to believe that trophy
plaques are hard to find. He challenged Staff to search for another vender that can supply wood plaques at
a reasonable price. He stated there are people who do laser engraving in kiosks in malls.
Councilmember Woodruff stated he supports having Staff do more research on this
There was Council consensus to leave the recognition program as is.
F. Park Commissioner Appointment
Mayor Lizee stated earlier this evening Council interviewed two applicants for opening on the Park
Commission.
Hot moved, Siakel seconded, Adopting RESOLUTION NO 11 -044 "A Resolution Making the
Appointment of Susan Gordon to the Park Commission Effective August 22, 2011, and Expiring
February 28, 2013." Motion passed 5/0.
Mayor Liz& thanked the two applicants for applying and welcomed Ms. Gordon to the Park Commission
G. Adopt the Preliminary 2012 General Fund Operating Budget and Tax Levy
Director DeJong stated during its work session preceding this meeting Council had its final wrap -up
discussion about the preliminary 2012 General Fund Operating Budget. Council did not recommend any
changes to the preliminary budget during the work session. The budget is set at $5,302,777 and it reflects
an approximate $33,400 (or 0.6 percent) increase above the 2011 adopted budget. Offsetting revenues
have been increased also. The net budget requires a property tax levy of $4,763,319 and that levy is the
same as the 2011 levy. The amount of the 2012 levy can not be increased in the December 2011 Truth -in-
Taxation hearing. The levy can be lowered before the final budget adoption. The expenditure amounts in
the preliminary budget can be reduced. If Council adopts the preliminary budget this evening Staff will
certify it with Hennepin County. The County will take the tax levy and combine it with other jurisdictions
that have taxing authority over the City's residents and put that combined amount into a Truth -in-
Taxation property tax statement for each residential property in the City.
Director DeJong asked Council to adopt the preliminary budget and property tax levy as presented.
Councilmember Zerby noted Council has been discussing the budget for quite some time. He explained if
you take the approximate $33,000 increase in the budget and divide it by the number of utility bills the
City sends out the increase amount is about $12 on average per utility bill. He stated Council worked
together well during budget process. He expressed his support for the preliminary budget.
Zerby moved, Siakel seconded, Adopting RESOLUTION NO. 11 -045 "A Resolution Adopting the
Preliminary 2012 General Fund Operating Budget and Property Tax Levy."
Councilmember Woodruff clarified the City is not increasing its tax levy to the residents even though the
operating expense budget is increasing. He noted an individual property owner's tax statement may
change because of the valuation of a property.
Motion passed 510.
CITY OF SHOREWOOD REGULAR COUNCIL MEETING MINUTES
August 22, 2011 .
Page 13 of 18
Mayor Liz6e thanked Director DeJong, staff and Council for their efforts during the budget process
H. Selection of the Truth -In- Taxation Hearing Date
Director DeJong stated the meeting packet includes a resolution setting December 5, 2011, as the date for
the Truth -in- Taxation hearing date with a follow -up hearing and budget adoption at the December 12,
2011, Council meeting.
Zerby moved, Woodruff seconded, Adopting RESOLUTION NO. 11 -046 "A Resolution Selecting
the Truth -In- Taxation Public Hearing Date."
Councilmember Woodruff stated the Truth -in- Taxation hearing is an opportunity for residents to learn
about the City's budget. It's not an opportunity to talk about property valuations.
Councilmember Zerby suggested Staff prepare simple illustrations depicting where the tax dollars are
being spent and the impact on the average household in the City.
Director DeJong stated he will attempt to do that. He explained the State Legislature has complicated
things by changing the market value homestead credit program. It will no longer be a credit paid for by
the State. It is turning into a reduction in the property classification rate. Properties will get a reduced
taxable value based on how the market value homestead credit would have potentially affected the
properties. The new program is more confusing; it will not lead to increased clarity in how property taxes
are calculated. It may well lead to an increase in property taxes for Shorewood property owners.
Councilmember Zerby suggested Director DeJong explain what the City has control over
Motion passed 510.
Mayor Liz6e recessed the meeting at 8:55 P.M.
Mayor Liz6e reconvened the meeting at 8:59 P.M.
I. Approve the Purchase of Property on Smithtown Road
Director DeJong stated Council had directed Staff to pursue the purchase of the property located at 24620
Smithtown Road through the use of a broker. Council set the maximum amount that could be offered for
the property at $131,000. The first purchase offer made was $118,000. The offer was not accepted so the
broker offered the maximum amount. There was no response to that offer either. Staff was advised not to
provide another offer so the matter was dropped with the expiration of the purchase agreement time limit
for acceptance. Last week the City's broker received a call from the listing agent stating the owners had
decided to accept the $131,000 offer from the City. Staff took the original $131,000 purchase offer
documents and changed the dates on it and it was re- presented to the property owners. A copy of the
signed copy of the purchase agreement was placed at the dais before the meeting.
DeJong then stated Staff recommends the City purchase the property for an amount of $131,000 plus the
usual and customary closing fees. The broker will be compensated through the 2.7 percent participating
agent portion of the real estate commission. The City has signed off on the property as is, so there will be
no lead paint based addendum. There is no basis for rejecting the offer based on a property inspection.
CITY OF SHOREWOOD REGULAR COUNCIL MEETING MINUTES
August 22, 2011
Page 14 of 18
DeJong went on to state that he recommends the funds for the purchase come from the Community
Investment Fund which has abalance of more than $1.8 million dollars. The City would be reimbursed by
a redeveloper of the Smithtown Crossing area whenever that redevelopment occurs. He recommended the
property will be titled in the name of the Shorewood Economic Development Authority (EDA) in the
event that a future redevelopment of that property requires tax increment financing or some other sort of
financial assistance to the developer as that would likely come through the EDA. Be also noted that the
Planning Commission strongly endorses the City's acquisition of the property.
Councilmember Woodruff stated the purchase agreement stipulates the City has to pay any 2011 property
tax that has not been paid which is customary. He then stated it's his understanding there are past due
taxes. He asked how the City knows it will be able to get clear title to the property and that there won't be
some encumbrance. Attorney Keane responded the City is going to obtain title insurance and that it's the
seller's obligation to pay all tax arrearages as a condition for recording the deed.
Councilmember Siakel stated this is a great opportunity.
Woodruff then stated the City and the Planning Commission have for the last few years been discussing
the redevelopment of the area called Smithtown Crossing. There has also been discussion about what
potential opportunities there may be to acquire property in that area that would allow for future
development to be done in a coordinated manner.
Woodruff moved, Zerby seconded, Adopting RESOLUTION NO. 11 -047 "A Resolution
Authorizing the Purchase of Real Property at 24620 Smithtown Road for a cost of $131,000 plus the
customary closing costs."
CouncilmemberLerby stated some of the paper work references a shared well. He asked if that created a
complication. Attorney Keane responded the City only requires disclosure and abandonment of wells on
property the City is buying.
Motion passed 510.
Mayor Lizde thanked Staff for its efforts. She recommended the house on the property be offered to the
Excelsior Fire District for a five burn training exercise.
J. Supporting Moving Aquatic Invasive Species (AIS) Management from the Lake
Minnetonka Conservation District to the Minnehaha Creek Watershed District
Mayor Lizde stated she and Councilmember Siakel asked that the topic of moving aquatic invasive
species (AIS) management from the Lake Minnetonka Conservation District (LMCD) to the Minnehaha
Creek Watershed District (MCWD) be placed on this agenda. For years the battle against AIS has been
going on and the discovery of zebra mussels in the Lake Minnetonka (the Lake) in 2011 have stepped up
the efforts. She then stated the City also has residents who own property that fronts Christmas Lake.
Attempts are being made to implement a collaborative pilot program to keep zebra mussels from infesting
Christmas Lake. She indicated that from her perspective the management of AIS needs to be brought to a
new level.
Councilmember Siakel thanked Administrator Heck for helping to draft the resolution included in the
meeting packet for this item. She explained that in July one of the LMCD's three harvesting machines
capsized. The machines are used to harvest Eurasian Watermilfoil (milfoil) in the Lake. The LMCD will
be discussing if and when the harvester should be replaced. The LMCD has been involved in the three-
CITY OF SHOREWOOD REGULAR COUNCIL MEETING MINUTES
August 22, 2011
Page 15 of 18
bay chemical treatment program for milfoil and curlyleaf pondweed and that program has been extended
to five bays. The original three -bay program is a five year program with one year remaining in it.
Siakel then explained the LMCD was created by State enabling legislation in 1967. Its responsibilities
were to regulate the use of Lake and to come up with a comprehensive program to eliminate sewage from
flowing into the Lake. The LMCD does a good job of fulfilling those responsibilities. Since it was
initially created the LMCD responsibilities have evolved. For example, it has implemented dock
regulations, established quiet water areas, and it processes special permits. In the late 1980s when milfoil
was introduced into the Lake the LMCD took on the role of harvesting milfoil and that is when the
LMCD purchased its harvesters. The goal of the harvesting program has been to clear the channels and
keep them open.
Siakel stated after the infestation of the Lake with zebra mussels and with more serious AIS species on
the horizon this may be the appropriate time to identify what type of AIS management and prevention is
needed. She suggested this could be the appropriate time for the City of Shorewood to take a leadership
position on helping to move the discussion of management of AIS forward. She questioned if the LMCD
has the financial resources, the technical expertise, and the scientific background needed to coordinate an
effective comprehensive AIS management and prevention plan for the Lake going forward. She also
questioned if the LMCD is the best entity to do that. She stated the MCWD has more technical expertise,
scientific background and financial resources to reach out to a broader base than the LMCD and its
fourteen member cities can support. She then stated AIS management and prevention is a regional and
state issue not just a local issue.
Siakel noted she has some changes she would like to suggest be made to the draft resolution. She
recommends deleting paragraph which states "WHEREAS, theses over lapping and at times competing
interests results in haphazard and poorly coordinated efforts that lead to inefficient use of available
resources, and" and in paragraph one change "the City of Shorewood recognizes currently existing
aquatic invasive species" to "the City of Shorewood recognizes aquatic invasive species ".
Councilmember Zerby said if paragraph four is eliminated he asked if the harvesting of the channels will
be at risk or would the MCWD take over doing that. Councilmember Siakel responded the MCWD taking
over control of AIS management and prevention would happen gradually. Siakel stated harvesting has
met the needs in the past but she is not sure it will continue to do so going forward. She then stated people
have been pleased with the results of the chemical treatment program but she's not sure that is
sustainable. She noted the LMCD AIS Task Force has done a good job partnering and collaborating with
other agencies, but the LMCD only has two full -time staff and one part-time administrator. The MCWD
has more resources. She stated she thought the process of comprehensively addressing AIS management
and prevention needs to be started.
Councilmember Siakel read the resolution including the changes she proposed for the record. It is as
follows.
A RESOL UTION IN SUPPORT OF THE MINNEHAHA CREEK WATERSHED DISTRICT
(MCWD) TO MANAGE THE AQUATIC INVASIVE SPECIES (AIS) EFFORTS IN THE REGION
WHEREAS, the City of Shorewood recognizes aquatic invasive species (AIS) in lakes pose real,
tangible, and negative impacts; and
WHEREAS, potential new AIS, yet to infest our lakes, pose substantial threats to water quality
and ecosystems; and
WHEREAS, existing AIS management and prevention efforts are inadequate due to the many
CITY OF SHOREWOOD REGULAR COUNCIL MEETING MINUTES
August 22, 2011
Page 16 of 18
agencies at the state, regional, and local level; and
WHEREAS, to be effective, AIS must be addressed and managed on a regional, if not statewide
basis; and
WHEREAS, the City of Shorewood recognizes the Minnehaha Creek Watershed District
(MCWD) has the staffing capability, scientific expertise, and financial capacity to manage AIS on a
regional basis.
NOW THEREFORE BE IT RESOLVED by the City Council of the City of Shorewood that it
hereby recommends and supports empowering the MCWD to manage AIS in the region.
BE IT FURTHER RESOLVED that the City Council of the City of Shorewood endorses and
supports the MCWD take on the leadership in coordinating and implementing a comprehensive AIS
program throughout the watershed as a model for metro or statewide implementation.
ADOPTED BY THE CITY COUNCIL OF THE CITY OF SHORE WOOD this 22nd day of
August, 2011.
Councilmember Woodruff commented that he had been the City's representative to the LMCD for a
couple of years and a member of the LMCD AIS Task Force. He stated during that time the LMCD was
limited in its efforts to deal with AIS because of its limited funding. Also, the LMCD only has
jurisdiction over the Lake. It doesn't have any jurisdiction over the streams that feed the Lake or are fed
from the Lake, or any other water bodies in the City of Shorewood. The LMCD doesn't have the
wherewithal to pull off a comprehensive AIS management and prevention plan.
Woodruff stated that up until recently the MCWD had been a member of the AIS Task Force but it had
not taken up any leadership role in managing AIS. The MCWD has decided that it's something it can do
and something it wants to do. He endorsed that happening. He stated from a parochial perspective it
would spread the cost of that activity over the entire MCWD jurisdiction instead of making it the
responsibilities of the fourteen cities that surround the Lake. He thought that would be the right thing to
do because a significant number of people that use the Lake do not own property that fronts the Lake.
Woodruff then stated he is generally supportive and noted there are lots of details that need to be worked
out. He indicated he assumes the LMCD will continue to have some role in AIS management and
prevention. He stated he is not sure if the LMCD will continue its harvesting program or stop it. But, he
does think harvesting has to be continued until something replaces it. Harvesting provides a way for
people to navigate the Lake in areas where milfoil growth can prevent that from happening.
Councilmember Zerby stated he supports the MCWD having the responsibility for managing AIS in the
region. He thanked Mayor Lizee and Councilmember Siakel for bringing this forward. He asked
Councilmember Woodruff if the LMCD AIS Task Force oversaw the harvesting program. Woodruff
responded yes and no. Woodruff explained the Task Force is a recommending body. The harvesting plan
was always reviewed by the AIS Task Force and approved by the entire LMCD Board.
Zerby moved, Woodruff seconded, Adopting RESOLUTION NO. 11 -048 "A Resolution in Support
of the Minnehaha Creek Watershed District to Manage the Aquatic Invasive Species Efforts in the
Region" as read by Councilmember Siakel. Motion passed 5/0.
Administrator Heck stated he would distribute a copy of the adopted resolution to the other thirteen cities
in the LMCD.
Mayor Lizee noted there is a MCWD Board of Managers meeting scheduled for August 25, 2011, at 6:45
P.M. and it will be held in the City of Minnetonka Council Chambers. Jeff Casale noted during that
CITY OF SHOREWOOD REGULAR COUNCIL MEETING MINUTES
August 22, 2011
Page 17 of 18
meeting there will be an extensive review of AIS activities and AIS management directions. Liz& noted
the meeting will be posted.
11. OLD BUSINESS
None.
12. STAFF AND COUNCIL REPORTS
A. Administrator and Staff
Administrator Heck stated he met with Department of Natural Resources (DNR) representatives on
August 15` regarding the Christmas Lake situations. The DNR is going to verify where the funding came
from for the development of the landing at Christmas Lake to make sure there were no restrictions on the
use of those funds. The DNR is going to provide an opinion on revising the agreement. The DNR is not
sure if the Minnehaha Creek Watershed District can be included in an amendment to the agreement
because it was not part of the original agreement.
Director Brown stated with regard to the Murray Hill Road storm sewer improvement project asphalt has
been put down and the road is open to local traffic. With regard to the 2011 mill and overlay project the
asphalt has been put down on Rustic Way, Ivy Lane, and Christopher Road. Smithtown Way is under
construction. The 2011 sealeoating efforts have been completed and that involves sealcoating one -fifth of
the City's roadways. Crews should sweep up the roadways in the next week or two. The Public Works
Department took possession of one vehicle lift. The lift addresses a number of safety issues and concerns.
Director Nielsen stated the contractors are ready to begin installing a new City Hall sign. Because of the
location of utilities, the sign will be installed on the north end of the berm. He then stated he distributed
the findings from the hearing officer on the Ron Johnson appeal, noting the appeal did not go in the City's
favor. The Planning Commission is going to discuss an ordinance amendment during its September 20
meeting and the amendment will address the issue that came up in that instance.
1. Monthly Budget Report
Director DeJong stated the meeting packet contains a copy of the July 2011 Monthly Budget Report. The
budget is on target.
B. Mayor and City Council
Councilmember Zerby stated he attended an Excelsior Fire District (EFD) joint council budget work
session and EFD Board meeting on August 10` The EFD recommended the 2012 EFD Operating Budget
and 2012 — 2032 Capital Improvement Program for approval. He attended a Lake Minnetonka
Communications Commission (LMCC) full commission meeting on August 16` During the LMCC
meeting the 2012 budget was approved. The budget did not include any funding for the tonkaconnect"
initiative. Funding was approved for studio lighting. The tonkaconnect initiative was suspended for the
time being and a new committee will be created to explore communication issues and challenges.
Mayor Liz& reiterated there is a Minnehaba Creek Watershed District Board of Managers meeting
scheduled for August 25, 2011, at 6:45 P.M. and it will be held in the City of Minnetonka Council
Chambers. She stated on September S"' the South Tonka League of Women Voters is sponsoring a
CITY OF SHOREWOOD REGULAR COUNCIL MEETING MINUTES
August 22, 2011
Page 18 of 18
mayors' forum and it will be held at the Southshore Community Center. Apple Day will be held on
September l O in the City of Excelsior.
13. ADJOURN
Zerby moved, Woodruff seconded, Adjourning the City Council Regular Meeting of August 22,
2011, at 9 :33 P.M. Motion passed 5/0.
RESPECTFULLY SUBMITTED
Christine Freeman, Recorder
ATTEST:
Christine Lizee, Mayor
,p k Citdminist ator
Brra Y ec �
�� Clerk