05-22-17 CC Reg Mtg MinutesCITY OF SHOREWOOD
CITY COUNCIL REGULAR MEETING
MONDAY, MAY 22, 2017
MINUTES
1. CONVENE CITY COUNCIL REGULAR MEETING
5755 COUNTRY CLUB ROAD
COUNCIL CHAMBERS
7:00 P.M.
Mayor Zerby called the meeting to order at 7:05 P.M.
A. Roll Call
Present. Mayor Zerby; Councilmembers Johnson, Labadie, Siakel, and Sundberg; Attorney
Keane; City Administrator Lerud; City Clerk Thone; Planning Director Darling; Director
of Public Works Brown; and, City Engineer Hornby
Absent: None.
B. Review Agenda
Mayor Zerby noted staff asked that Item 11 be removed from the agenda.
Sundberg moved, Labadie seconded, approving the agenda as amended. Motion passed 510.
2. CONSENT AGENDA
Mayor Zerby reviewed the items on the Consent Agenda.
Siakel moved, Johnson seconded, Approving the Motions Contained on the Consent Agenda.
A. Approving the City Council Regular Meeting Minutes of May 8, 2017.
B. Approval of the Verified Claims List
C. Authorization for Expenditure of Funds, Public Works — Two Toro Groundmaster
Mowers
D. Accept Proposal for OSHA Safety Compliance Training — Safe Assure Consultants
Motion passed 510.
3. MATTERS FROM THE FLOOR
Paul Sandor, 23950 Elder Turn, explained that every year he and his wife Anna have been noticing the
water keeps going further on to their property. Lake Mary is on one side of their property, there is a pond
on the other side and a pond to the back of their property. Their sump pumps need to be continually
replaced because it burns out from such high use as a result of the high water. They continue to lose trees
because they cannot survive the high saturation of water in the ground. This year the lake water is up
much higher; it covers about one -half of their front yard. He asked if there is any way to pump some of
the water out of the Lake. That would help mitigate some of the mold they get in their house.
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May 22, 2017
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In response to a comment from Mayor Zerby, Engineer Hornby clarified the area Mr. Sandor referred to
is not included in the City's Surface Water Management Plan.
Engineer Hornby explained some of the water in Mary Lake has been pumped out a few times in the past
in order to reduce the water level. The Lake has no natural outlet. After receiving a call from some
residents he asked Public Works to assess the situation. He also contacted the Minnesota Department of
Natural Resources (DNR) to find out if a permit would be required to pump water out of the Lake and if
so what the process to obtain a permit would be.
Director Brown explained the Lake was pumped two other tunes. The Lake level is not as high as it had
been the other two times. In the past if there was a home that was in danger of flooding and if there were
steps that could be taken to help reasonably mitigate the circumstances Public Works would attempt to do
so. The last time there was an issue of high water in Lake Mary that warranted pumping the then Council
made it clear that the City did not have the funding to construct a separate outlet. Before pumping the
Lake the City would have to obtain the necessary permit; a process that takes five days.
Engineer Hornby noted the DNR has given staff the name of a person to work with to expedite the
issuance of permit to authorize the pumping should Council decide to do that. Public Works would have
to find out how much it would cost to rent the pump.
Councilmember Labadie asked if other homes are in danger because of the high water. Director Brown
stated based on his observation he does not think any homes are in danger. There are turf areas that are
covered with standing water.
Mr. Sandor noted their property is the lowest in the area. He then noted there is a utility box in the area
that is under water.
Mayor Zerby stated Council in the past has struggled with determining what the City's responsibility is to
address issues that only impact a few properties.
Mr. Sandor stated he had spoken with Director Brown in the past about what the problem would be with
elevating part of the yard to where it used to be. Ever year it continues to flood that area. They have all of
that saturation that continues to come into their home. He asked if it would be possible to raise the
property at the shoreline up to where it used to be.
Director Brown stated there are two issues. The property owner would have to take on raising the level of
their private property. The City cannot make improvements to private properties. The other is if the
Sandor's property was raised that would increase the water level for the other properties around the Lake.
The DNR would require that some land would have to be excavated so that the water level would not be
increased for other properties.
Ms. Sandor asked if an outlet could be installed. Director Brown stated one could be constructed but
doing so would be costly.
Director Brown stated it is up to Council to decide if the City should pump the Lake. If Council decided
constructing an outlet is the best long term solution it would have to decide how to pay for that.
Mr. Sandor stated the runoff from higher elevation properties around that area flows into Mary Lake.
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May 22, 2017
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4. PUBLIC HEARING
A. Vacate Public Right -of Way
Location: East Side of Lake Linden Drive
Mayor Zerby opened the Public Hearing at 7:17 P.M.
Director Darling explained that Mike Seifert requested the vacation of a paper street known as White
Street. It is an undeveloped right -of -way (ROW). It is approximately 155 feet long and 60 feet wide and
extends eastward from Lake Linden Drive. It begins approximately 300 feet south of the Yellowstone
Trail /Lake Linden Drive intersection. Because the segment contains a sewer main the resolution stipulates
the applicant must submit a 20 -foot drainage and utility easement centered on the existing sewer main.
Darling noted the same vacation was approved in 2007 and staff recommends it be approved again.
Mayor Zerby asked why the vacation had not been recorded.
Mike Seifert 312 Third Street Excelsior, clarified the vacation had been approved twice for him. He
explained he never recorded it because he did not have plans to build the lots at that time. By not
recording the vacation he avoided the expense of recording fees and extra taxes. He noted he has a plan
this time.
Attorney Keane asked if the vacation includes the reservation of the utility easement in favor of the City.
Director Darling noted the resolution does include that the applicant must submit the easement.
Seeing no one present to comment on the case, Mayor Zerby opened and closed the Public Testimony
portion of the Public Hearing at 7:20 P.M.
Sundberg moved, Labadie seconded, Adopting RESOLUTION NO 17 -0509 "A Resolution Vacating
Part of White Street." Motion passed 5/0.
Mayor Zerby closed the Public Hearing at 7:21 P.M.
5. REPORTS AND PRESENTATIONS
A. Draft 2018 Lake Minnetonka Conservation District Budget (information only)
Administrator Lerud stated the Lake Minnetonka Conservation District has a 2018 budget comment
meeting scheduled for Jame 1. If members of Council have comments and cannot attend the meeting he
asked that they send their comments to him and he will bring them forward.
6. PARKS
7. PLANNING
A. Report by Janet Sylvester on the May 2, 2017, Planning Commission Meeting
Commissioner Sylvester reported on the May 2, 2017, Planning Commission meeting during Council's
May 8 meeting.
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May 22, 2017
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B. Conditional Use Permit for Accessory Space
Applicant: Erin and Michael Neilon
Location: 5795 Club Lane
Director Darling explained Erin and Michael Neilon have purchased the property located at 5795 Club
Lane. They propose to demolish the existing home on the property and build a new home. The new home
would have an attached garage. They would like to keep an existing garage located on the north side of
the property. The new garage would be 748 square feet in size and the size of the existing garage is 510
square feet. The combined area of the two garages would be 1258. Because it exceeds the 1200 square
feet allowed for accessory space it requires approval of a conditional use permit (C.U.P.).
With regard to the analysis of the case, Darling reviewed how the applicants' proposal complies with the
four criteria in Section 1201.03 Subd.2.d.(4) of the Shorewood Zoning Code for granting this type of
C.U.P.
a. The total area of accessory buildings (1258 square feet) does not exceed the proposed floor area
(3190 square feet) above grade of the proposed home.
b. The total area of accessory buildings does not exceed 10 percent of the minimum lot size for the
R -1C zoning district ( 10 x 20,000 = 2000 square feet).
c. The proposed garage complies with R -1C setback requirements. The total area of impervious
surface on the property will only be 13.4 percent; much less than the 33 percent allowed. The
faces of the two garages are oriented in different directions. Therefore, the nearest property owner
will only see a triple garage fagade from their property.
d. The applicants propose to re -side and re -roof the existing garage to match the new home and
garage.
Darling noted that based upon the analysis of the case the Planning Commission unanimously
recommended granting the C.U.P. as proposed.
Labadie moved, Sundberg seconded, Adopting RESOLUTION NO. 17 -041, "A Resolution
Granting a Conditional Use Permit for Additional Accessory Space to Erin and Michael Neilon for
their property located at 5795 Country Club Road." Motion passed 5/0.
C. Minor Subdivision
Applicant: Mike Seifert
Location: 6085 Lake Linden Drive
Director Darling noted this item is related to Item 4.A on the agenda. She explained Mike Seifert owns
the property located at 6085 Lake Linden Drive and he proposes to subdivide the property into two lots.
The City approved it for a subdivision two other times; in 2008 and again in 2014. The applicant chose
not to record the division at that time and is now reapplying. Both lots would comply with the lot area and
width requirements of the R -1C zoning district. The applicant proposes a shared driveway for the two lots
and would be required to submit a shared driveway easement and maintenance agreement that would be
recorded with the resolution approving the subdivision.
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May 22, 2017
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She then explained the wetland outlot to the immediate north of the right -of -way was supposed to have
been deeded to the City as part of the approval of the original Linden Hills subdivision. Staff noticed the
applicant never did that. The resolution for approval of this subdivision contains a condition that the
applicant submit a draft deed and related title work that transfers ownership of the outlot to the City. The
applicant must record that deed at the same time he records this minor subdivision.
Darling noted that based upon the analysis of the case the Planning Commission unanimously
recommended approval of the minor subdivision.
Johnson moved, Labadie seconded, Adopting RESOLUTION NO. 17 -042, "A Resolution
Approving Subdivision of Real Property for Milton H. Seifert for his property located at 6085 Lake
Linden Drive." Motion passed 510.
D. Minor Subdivision
Applicant: Warren Anderson
Location: 25000 Yellowstone Trail
Director Darling explained Warren Anderson and Mary Penly own the property located at 25000
Yellowstone Trail. Their property is zoned R -lA, Single- Family Residential. It is located north of the
intersection of Yellowstone Trail and Pleasant Avenue. They propose to subdivide their lot into two
building sites. Both lots would conform with the requirements for the R -lA District. Staff included
conditions in the resolution approving the minor subdivision requiring standard easements along the
property lines.
Darling noted that based upon the analysis of the case the Planning Commission unanimously
recommended approval of the minor subdivision.
Sundberg moved, Labadie seconded, Adopting RESOLUTION NO. 17 -043, "A Resolution
Approving Subdivision of Real Property for Warren Anderson for his property located at 25000
Yellowstone Trail." Motion passed 510.
E. Minor Subdivision
Applicant: Jay Venero/ Mattamy Homes
Location: 5985 Seamans Drive
Director Darling explained Jay Venero owns the property located at 5985 Seamans Drive. He proposes to
split off the rear 117 feet of his property (on the east) and sell it to Mattamy Homes, LLC for inclusion
into its Minnetonka Country Club (MCC) 2" d Addition Alarmed Unit Development (PUD). The subject
property is zoned R -IA, Single- Family Residential. Mr. Vanero's home along with a detached accessory
building are located on the westerly portion of the proposed subdivision. That parcel will conform to the
minimum lot size requirements of the R -lA zoning district. Once the subdivision is approved and the sale
of the east parcel is complete, the developer will remove the existing garage /greenhouse located on that
parcel and it will become part of two lots for single- family homes in the PUD. A condition of approval of
the subdivision is Mr. Vanero must provide deeds for drainage and utility easements, 10 feet around the
west parcel. The easements for the east parcel will be addressed with the final plat of the MCC 2nd
Addition.
Darling noted that based upon the analysis of the case the Planning Commission unanimously
recommended approval of the minor subdivision.
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May 22, 2017
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Jay Vanero, 5985 Seamans Drive, noted he and his wife purchased the property in 1973 and that their
house was built in 1923. He explained they have worked on improving the property ever since then.
Except for the spruce trees near the street, they planted all of the trees on their property. They learned
about the utility easement requirement after the last Planning Commission meeting. During numerous
discussions with Rick Packer, from Mattamy Homes, that requirement never came up. That requirement
never came up over those 1.5 years or longer of discussion about Mattamy purchasing a portion of their
lot. There is about $250,000 worth of landscaping in the areas (at today's retail rates) where the utility
easements would be.
He thought the easements requirement would be an unnecessary encumbrance of their property. He
seriously doubted the easements would ever be used for any of the purposes given. The encumbrance
would be approximately 8,000 square feet of their property. The easements have never been registered on
any of the surveys they had done for construction. To him it seems like an after the fact, last minute
imposition. The easements would create a huge cost and he questioned if the City wants to do that. His
lot is established. All of the utilities, with the exception of water, are in. He knows where the water would
go. There is a possibility of storm sewer. Because there is less than 12 inches that fall southwest to
northeast through two other properties, he does not think that would work for the City.
Mr. Vanero reiterated the easements would be an unnecessary encumbrance to a very old property. He
asked the City to forego the utility easements. He stated if the City requires the easements he thought it
would be because the City could do it not because the City needs them.
On a different topic, Mr. Vanero stated he has approached staff three times about trimming the trees along
the sides of the road for clearance reasons. They are bad from the exit at off Highway 7 and all the way
along Yellowstone Trail.
Mr. Vanero thanked Council for its time.
Director Darling noted the drainage and utility easement requirement is a requirement for every minor
subdivision. It was a requirement for the other minor subdivisions Council considered this evening.
Councilmember Siakel asked where the easements would be. Attorney Keane clarified it would be the
outside boundary of the property in the setback area. Siakel stated because there is an easement she asked
if that means that all of the landscaping would be removed from the easement. Keane responded no.
Keane explained every newly created lot in the City since, he thought, the adoption of the subdivision
regulations has required the outside perimeter drainage and utility easements.
Siakel commented that she thought the Vanero property is a beautiful area and she understood the
emotional attachment to it. She stated requiring the easements protects the City in the future. Therefore,
she supports making them a condition of approval of the subdivision.
Mr. Vanero stated there is a provision for the ROW that if it is disturbed that it must be restored to
substantially as it was. He asked if that is the same for the easements.
Mayor Zerby inquired if utilities were put in the easements would trees and landscaping be restored.
Mr. Vanero stated he thought trees and landscaping are separate issues. He asked who determines what
substantially means.
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May 22, 2017
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Engineer Hornby explained that with the use of the easement there is not a requirement to restore the
easement to its original condition. The City would restore it to a condition that has turf on it, but it would
not restore landscaping and trees. Mr. Vanero asked if the value of the loss would solely be theirs. If it
would he does not think that would be fair. He stated he thought it was unreasonable to require easements
this far along in the process. He reiterated it would be a significant encumbrance to the property. Attorney
Keane reiterated that requiring easements is a standard provision for a subdivision.
Mr. Vanero stated he thought the City would be taking the easements after the fact and he was just told
the City would not be obligated to restore the easements if easements were disturbed when installing
utilities or making drainage improvements.
Mayor Zerby clarified the City would not be acquiring the easements after the fact. The subdivision
approval is the moment when that decision is made. He stated Mr. Vanero could withdraw his application.
Mr. Venero noted his property is a homestead property and stated the easement acquisition is a current
City requirement. He asked why the City would require the easements if it is unlikely they would not be
used.
Mr. Vanero asked if there is any exception the City would be willing to make. Councilmember Siakel
expressed she did not support making a policy exception for one property owner.
Councilmember Johnson asked if the Planning Commission discussed the easements when this request
was discussed. Director Darling stated there was some discussion about the easements and staff was asked
to consider some flexibility in the language. The language Mattamy included in the easement documents
submitted to the City basically negated the premise of having any easements on the property.
Siakel moved, Sundberg seconded, Adopting RESOLUTION NO. 17 -044, "A Resolution Approving
Subdivision of Real Property for Jay and Doris Venero, 5985 Seamans Drive."
Councilmember Sundberg stated if Council approves the minor subdivision she asked if the applicant
could decide not to subdivide his property. Director Darling confirmed that yes he could.
Mayor Zerby clarified that Council has been asked to vote on an application by the landowner that would
allow him to subdivide his property. The City's policy requires there to be drainage and utility easements.
That requirement is not a punitive action.
Motion passed 5/0.
F. Grading Permit for Minnetonka Country Club Planned Unit Development 2 °d
Addition
Mayor Zerby stated Council first discussed the request from Mattamy Minneapolis, LLC to begin early
grading for the second phase of its Minnetonka Country Club planned unit development (PUD) during its
May 8, 2017, meeting. The request would allow Mattamy to begin earthwork prior to having its final plat
approved for the second phase. Council chose to defer taking action until this meeting in order to allow
more members of Council to comment on the request. There was also some concern regarding the status
of MCC Phase 1 improvements.
Director Darling noted the meeting packet contained a copy of a memorandum from Engineer Hornby
describing the land development work that remains for the 1 st Addition.
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May 22, 2017
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The memo also addressed the concern regarding whether or not the financial securities were sufficient to
cover the remaining 1St Addition work. She also noted that staff recommends Council adopt the resolution
authorizing Administrator Lerud to execute the Agreement Regarding Grading and Site Utility Work of
Phase 2 of the MCC PUD. She explained early grading would allow the internal trail system to be
completed earlier. It would also allow the heavy construction activity to be completed earlier when there
would be fewer residents living in the development.
In response to a comment by Councilmember Sundberg, Mayor Zerby explained that during the May 8
meeting he expressed concern that because of the change in ownership of the MCC development site that
Mattamy may not complete the construction of the amenities for public use it had promised to put in the
development. The amenities were in exchange for some of the compromises the City made. A lot of the
work on the amenities had not been completed. There had been several months when limited, if any, work
was done on the project site. He thought approving the early grading could reduce the amount of leverage
the City had in making sure Mattamy honored its commitments. He had asked Council to delay approval
to this meeting to see what progress was made over those two weeks. He has observed that sidewalks
have been carved out and there has been some grading since May 8. There are stakes in the ground for the
trail along Country Club Road. Rain during the week of May 15 delayed work. He asked if
Councilmembers are comfortable that Mattamy will complete the promised work.
Councilmember Sundberg stated holding up the early grading would place a burden on the new owners of
the site and not on Mattamy. Mayor Zerby stated it is his understanding that the agreement between
Mattamy and the new owners had not been signed.
Councilmember Labadie stated that during the May 8 meeting she commented that nothing draws a crowd
like a crowd. Once houses are built and occupied that should increase the interest in the development. If
the land development work does not get completed prior to the ground freezing next fall /winter that will
delay housing construction. She cited the example of the ice skating rink in Freeman Park not getting
built last year because the ground froze early. She noted she understands the concerns Mayor Zerby has
expressed and she shares some of them.
Mayor Zerby stated as a result of the progress that has been made since the May 8 meeting his position
has softened. He clarified the original schedule for the project had Phase 2 land development work
beginning in 2018. Therefore, not approving the early grading, would not delay the project.
Councilmember Sundberg stated from her perspective slowing the Phase 2 land development work down
would not be advantageous to anyone. She clarified she understands and shares Mayor Zerby's concern
but she is not sure delaying the early grading would alleviate the concern.
In response to a question from Mayor Zerby, Engineer Hornby explained the value of the remaining
Phase 1 land development work is $718,400 and by policy the City requires 150 percent of that (or
$1,077,600) be held from the letter of credit for Phase 1 for security. Zerby asked if that amount would
fund the completion of Phase 1 land development work if need be.
Sandberg moved, Johnson seconded, Adopting RESOLUTION NO. 17 -0451 "A Resolution
Authorizing City Administrator to Execute an Agreement Regarding Grading and Site Utility
Work of Phase 2 Minnetonka Country Club Planned Unit Development."
Councilmember Siakel stated she drove through the MCC development site the previous weekend. She
wants to make sure the trail along perimeter, the public amenities and the access are completed.
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May 22, 2017
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Siakel inquired if the early grading would help accomplish that. Those items were part of the reason for
approving the project.
Councilmember Johnson stated that during the May 8 meeting he asked the Mattamy representative what
percent of the trails were part of Phase 2. There was no specific answer given but it is clear a number of
them will be done as part of Phase 2.
Councilmember Siakel stated she would like the location of the trails to be visible
Mayor Zerby stated staff has assured him numerous times that there are a number of controls in place to
ensure things get completed. He wants Mattamy to understand the City intends to require the amenities
get constructed. He thanked Council for its patience.
Motion passed 510.
8. ENGINEERINGlPUBLIC WORKS
A. Accept Quotes and Award Contract — Freeman Park South Parking Lot Paving
Engineer Hornby explained the City solicited quotes from six local contractors for minor grading and
paving of the Freeman Park south parking lot. The City received four quotes. The lowest responsive quote
was received from Wm Mueller & Sons, Inc. for an amount of $63,854. The Engineer's Opinion of Cost
was $71,150. There is $60,000 in the budget for this project. The remainder would be paid for out of
reserve funds.
Hornby noted staff recommends Council adopt the resolution accepting the quotes and awarding the
contract to Wm Mueller & Sons.
Mayor Zerby noted that this was discussed during Council's May 8, 2017, meeting and Council decided
to continue it to this meeting when more Councilmembers would be in attendance.
Councilmember Labadie stated Council heard about this extensively last summer. Many residents living
near the area and people from the Minnetonka Baseball Association were in support of doing this.
Labadie moved, Zerby seconded, Adopting RESOLUTION NO. 17 -046, "A Resolution Accepting
Quotes and Awarding Contract for the Freeman Park South Parking Lot Improvement Project,
City Project NO. 17 -12, to Wm Mueller & Sons, Inc. for a bid amount of $63,854." Motion passed
5/0.
Jerry Brecke, a resident, stated it was anticipated the project would be done in June. He asked what
impact the two -week delay in making a decision would have on the project. Engineer Hornby stated the
contractor has more than one project in the area. The contractor was waiting to hear about the outcome of
this meeting before scheduling this project.
Councilmember Labadie stated some time was lost due to the rainy weather.
Councilmember Johnson stated he wanted to take ownership for the two -week delay. As a relatively new
member of Council he did not have the background on this that other members of Council had.
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May 22, 2017
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Councilmember Siakel asked if the project would get done in 2017. Engineer Hornby confirmed it would.
Mayor Zerby stated the City would make a concerted effort to keep the project on track.
Engineer Hornby noted the City is posting all of its construction projects on the City's website. People are
being encouraged to sign up to receive construction news via email.
B. Accept Improvements and Authorize Final Payment — Smithtown Road Trail East
Sidewalk Extension Improvements
Engineer Hornby explained the Capital Improvement Program (CIP) slated $795,000 for the construction
of the Smithtown Road East Sidewalk Extension and $1,340,000 was slated for the project in total. The
final project construction amount was $860,284.47 including all project change order costs. The
contractor has submitted Final. Pay Voucher No. 10 for an amount of $71,472.24. Hornby noted staff
recommends Council adopt the resolution included in the meeting packet that would accept the
improvements and authorize the final payment to S. M. Hentges & Sons, Inc.
Mayor Zerby asked if everything on the project punch list has been completed. Engineer Hornby
responded yes. Zerby stated when he rides his bike past that area he has seen some construction debris
and miscellaneous work that needs to be done. Hornby stated Mattamy Homes needs to complete that
work with its subdivision. Zerby stated he received an email from a resident about a drainage issue where
there has been some erosion. Hornby stated he is not aware of that. Zerby noted he would get that email to
Hornby.
Councilmember Siakel stated that once the final payment is authorized she assumes that closes the Project
out. Engineer Hornby clarified there is a warranty period for the work.
Siakel moved, Labadie seconded, Adopting RESOLUTION NO. 17 -047, "A Resolution Accepting
Improvements and Authorizing Final Payment to S. M. Hentges & Sons, Inc. for an amount of
$71,472.24 for the Smithtown Road East Sidewalk Extension Project, City Project 14 -10." Motion
passed 510.
GENERAL/NEW BUSINESS
A. Purchase Card
Administrator Lerud explained in 2014 Council authorized the City to enter into a purchase card (P -Card)
program through PFM Financial Services. For some reason the paper work was never completed to enter
the program. The P -Card is similar to a credit card but it is a broader way to charge things on behalf of the
City. It keeps employees from having to use their own credit card for City related charges and then be
reimbursed for them later. There would be fewer checks for the City to write. There would be central
control over the use of the P- Cards. The City Administrator and Finance Director would have
responsibility for approving the cards and setting the limits on cards. The City already has a pay card
system for fuel purchases; it would be eliminated when the new program goes into effect. In 2014 Council
adopted a resolution allowing employees to be able to pay expenses with the P -Card provided purchase
was authorized by the City Administrator or Finance Director in advance. That resolution remains
unchanged. The new resolution Council is being asked to consider this evening would restart the program
through PFM and establish policy for its use.
Councilmember Siakel asked how many employees would get a P -Card. Administrator Lerud replied that
many would receive them as Public Works employees would use them for gas purchases.
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May 22, 2017
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Department heads would receive one. Cards would be given out on an as needed basis. Siakel then asked
if there would be a process like expense reporting put in place. Lerud stated they would have to submit a
log along with receipts for charges monthly. Siakel went on to ask if the City would charge anywhere
close to $50,000 annually. Lerud stated when fuel purchases are included yes.
Siakel asked if there is a process in place for expense reporting. Lerud conformed that. He noted that PFM
sent the City a model one with its paper work; the City will have to modify it a little. Siakel stated an
expectation needs to be set for employees that they have to submit their expense reports by a certain day
each month. Lerud explained PFM issues its invoice to the City on the 28 of the month. Employees would
have to submit their expenses by that date.
Mayor Zerby noted he supports the process. He questioned if doing so would make it easier for
employees to buy things that are not truly needed. Administrator Lerud explained the P -Cards use would
be used for purchases the City already has to make.
Councilmember Siakel asked Administrator Lerud if he is going to establish a policy for the use of the P-
Cards. Lerud explained there is an 8 -page policy that employees would have to read and acknowledge.
Siakel stated she does not think it is appropriate for employees to have to pay for City items on their
personnel credit cards. She then stated she supports the P -Card program but included that there has to be a
process that employees have to adhere to. Administrator Lerud noted that misuse of the P -Card is subject
to discipline and possible termination.
Johnson moved, Sundberg seconded, Adopting RESOLUTION NO. 17 -048, "A Resolution
Establishing a Purchase Card Program Operated by PFM and Establishing a Policy for its Use."
Motion passed 510.
B. Ordinance Amending City Code Regarding Schedule of Fees
Clerk Thone explained municipalities are required to set forth fees to be reimbursed for administrative
costs and expenses associated with issuing permits, licenses and providing other city services. She
explained Shorewood has had a long standing practice of establishing and amending fees by ordinance.
Land use fees are required to be set by ordinance pursuant to MN Statute §5462.353 Subd. 4.a if a city
collects in excess of $5,000 cumulative on an annual basis. Shorewood typically collects in excess of this
amount.
Council is being asked to approve an ordinance that would repeal and replace Chapter 1301 of the
Shorewood Municipal Code relating to license, permit service charges and miscellaneous fees. The new
ordinance would allow for reference of a Master Fee Schedule to allow the establishment and amendment
of fees by resolution, with the exception of the land use fees. A city is required to review its fees annually;
she added there is value in reviewing the schedule on a more frequent basis to ensure relevance.
The new process would be more efficient and economical while continuing to ensure council has control
of the fees charged by the City. The cost and time savings should be significant. Currently each time the
City changes a fee there is an amendment codification process and a publication process since ordinances
must be published before they take effect. Resolutions do not require publication or re- codification.
Thone clarified the Council is being asked to take action on three items. The first is approving the
ordinance repealing and replacing Chapter 1300, the second is approving the publication of the ordinance
by title and summary, and the third is adopting the resolution adopting the Master Fee Schedule.
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May 22, 2017
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Mayor Zerby stated he thought that what has been proposed makes sense. He thanked Clerk Thone for her
efforts.
Councilmember Siakel complimented Clerk Thone on the items provided to Council, stating the work
was very thorough. She expressed her appreciation for Thone clearly stating what actions Council needs
to consider.
Siakel moved, Sundberg seconded, Approving ORDINANCE NO. 541, "An Ordinance Repealing in
its Entirety Chapter 1300 Titled Municipal Fees Chapter 1301 License, Permit, Service Charges
and Miscellaneous Fees and Adopting a New Chapter 1300 Titled Municipal Fees Chapter 1301:
Establishing a Master Fee Schedule for the City of Shorewood." Motion passed 510.
Siakel moved, Johnson seconded, approving the publication of Ordinance 541 by title and summary
pursuant to MN Statute §331A.01. Motion passed 510.
Siakel moved, Johnson seconded, Adopting RESOLUTION NO. 17 -049, "A Resolution Adopting
Master Fee Schedule." Motion passed 5/0.
10. STAFF AND COUNCIL REPORTS
A. Administrator and Staff
Director Brown stated that about 540 customers left things off at Public Works for Spring Clean -up day
on May 20. That was down when compared to other years and it was likely because it was a very rainy
day. There were 10,286 pounds of paper collected at the shredding event the same day.
Engineer Hornby stated staff is working on getting a new schedule for the restoration of the watermain
extension project area north of Highway 7. That was scheduled to have happened on May 1.6 but did not
because of the rain that day. He then stated that on May 18 he spent the day dealing with drainage issues.
Clerk Thone stated she completed the paperwork for the City to receive an $8,334 rebate from Xcel
Energy for the LED Lighting Initiative at City Hall and the Public Works Facility. The check should
arrive within approximately six weeks.
Director Darling stated the Metropolitan Council has sent out the new population estimates. Since 2010
Shorewood's population grew by 1.89 people; its population is now 7,496. The number of households
grew by 78; the number of households is now 2,736.
Lerud explained he has worked through a natural gas agreement and sent it to Attorney Keane. He
anticipates it will be sent to CenterPoint Energy soon. He is in the process of working on the franchise
agreement for Xcel Energy; there are many differences between Xcel's proposed agreement and the
League of Minnesota Cities' (LMC) model. He plans on sending it to Keane for review in the near future.
Lerud noted the 2016 audit starts on May 30; he has been assured that it will be done in the required time.
He anticipates it will be presented to Council during its June 26 meeting.
Lerud said that at the last Tonka Bay City Council meeting, the council directed their Administrator to
contact him and discuss having a formal traffic study done for the Birch Bluff /Pleasant Avenue area.
Lerud said that he and Engineer Hornby met with the Tonka Bay Administrator and their engineer and
discussed a study, but he did not commit Shorewood to participating in a study.
CITY OF SHOREWOOD REGULAR COUNCIL MEETING MINUTES
May 22, 2017
Page 13 of 14
He said that both cities have the same engineering firm, and WSB will be submitting a proposal that the
council could consider at its next meeting.
Mayor Zerby stated it is his understanding that Tonka Bay would like Shorewood to pay for part of the
cost of the traffic study. He questioned why the City would pay for something if it does not have a say in
it. He clarified he would consider funding part of it provided Shorewood has a vote on it.
Councilmember Siakel stated that she would like whatever is discussed or done to become part of the
public record. She noted she attended the Tonka Bay Council meeting when the study was discussed. She
thanked staff for keeping abreast of what is going on with that.
Attorney Keane stated the State Legislature was scheduled to conclude its work tonight. Within one or
two meetings he will provide Council with a legislative update. From his perspective it was not a good
session for cities. Generally, there were a number of initiatives and bills to reign in the economy of
municipalities of city initiatives. The State Aid to cities has been reduced.
Councilmember Sundberg stated in Attorney Keane's report she asked him to report to Council regarding
his thoughts on how the Senator and Representative did in support of representing City of Shorewood
issues.
Attorney Keane stated the small cell tower initiative that had been pushed back by the LMC early in the
legislative session came roaring back. He encouraged the City to pay attention. It was a national effort
undertaken by the industries to strategically go state by state and impose upon the local municipalities,
through the State Legislature, their industry preferences. He thought that trend would occur with more
regularity in the future.
Mayor Zerby asked Engineer Hornby to provide an update on improvements recommended by the traffic
committee. Hornby explained the request for quotes for pavement markings are going out this week.
Fresh markings will help calm traffic. Public Works assessed intersections for sight distance clearing
along the Country Club Road / Yellowstone Trail / Lake Linden Drive corridor. There had been
discussion about installing curb at the radii to tighten up the curves on each end. That work will be added
to the reclamation projects. Staff has not ordered the blinker stop signs yet. Director Brown stated staff
has obtained quotes for blinker signs; they came in at $2000 per sign. Staff believes the proper time to
install them is when the curb radii are installed. He explained the corridor has six stop signs. Staff
believes four of them would warrant being a blinker stop sign; the minor approach for each intersection
would not.
Mayor Zerby asked when staff anticipates bringing those items to Council for review. Director Brown
stated the pavement project will dictate that. Engineer Hornby explained that it is in design now and he
anticipates having plans in about four weeks. Council will then have to authorize advertising for bids. He
and Director Brown discussed putting the signs in the bid and having the contractor install them.
Ken Huskins 24075 Mga Lake Trail, (a member of the Traffic Committee), asked if the widening of
Country Club Road is included in the amenities for the Minnetonka Country Club (MCC) development
project. Mayor Zerby explained as part of that project the City is acquiring additional right -of -way but the
developer has no responsibility for widening the road. Mr. Huskins asked when the road might get
widened. Zerby stated that has not been scheduled while noting it is on the list.
Engineer Hornby explained staff is working on updating the 20 -Year Pavement Management Plan and the
street inventory. The previous Saturday he worked on the street inventory.
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May 22, 2017
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There are 198 streets and five categories used to estimate costs. He had to relink the spreadsheets to
ensure all of the necessary information was being captured. Staff is scheduled to review and discuss that
on May 25.
Mayor Zerby said based on an email exchange with Director Brown, Hennepin County is scheduled to
have its speed display sign along Chaska Road installed by mid -June. Brown stated that is what he has
been told. Brown explained the County offered to purchase one of the two signs for that area; the City is
going to purchase the other. The City asked the vendor to match the quote the County got for its sign; the
vendor did that. He noted the County is being cooperative in determining the location for its sign. Also,
the County agreed to have Shorewood's sign shipped directly to the County and the County is going to
install both signs. He expressed his appreciation for the County's help.
Mayor Zerby asked Director Brown to get another update for Council for its June 12 meeting.
B. Mayor and City Council
Councilmember Siakel thanked Public Works staff for its extra efforts on May 20. It rained very heavy
that day during the spring clean -up event.
Director Brown thanked. Communications Coordinator Moore and Administrative Assistant Pricco for
their efforts in preparing for and working the shredding and spring clean -up event. He also thanked Rick
Moore and the Moore's daughter for helping with the event.
Mayor Zerby noted there was a going away gathering before the meeting for departing Planning Director
Nielsen.
Zerby stated he thought the relatively new City Clerk and Planning Director did a good job during the
meeting. He noted he is looking forward to working with them.
11. ENTER INTO CLOSED SESSION TO CONDUCT PERFORMANCE REVIEW UNDER
COUNTIL'S AUTHORITY
This item was removed from the agenda.
12. ADJOURN
Labadie moved, Siakel seconded, Adjourning the City Council Regular Meeting of May 22, 2017, at
8:28 P.M. Motion passed 5/0.
RESPECTFULLY SUBMITTED,
Christine Freeman, Recorder
TEST:
Sandie Thone, City Clerk