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10-15-19 CC WS MinutesCITY OF SHOREWOOD 5755 COUNTRY CLUB ROAD CITY COUNCIL WORK SESSION MEETING COUNCIL CHAMBERS TUESDAY, OCTOBER 15, 2019 6:00 P.M. MINUTES 1. CONVENE CITY COUNCIL WORK SESSION MEETING Mayor Zerby called the meeting to order at 6:00 P.M. A. Roll Call Present. Mayor Zerby; Councilmembers Johnson, Labadie, Siakel, and Sundberg; City Administrator Lerud; City Attorney Tim Keane; City Clerk Thone; Planning Director Darling; and Director of Public Works Brown. Absent: None B. Review Agenda Siakel moved, Labadie seconded, approving the agenda as presented. Motion passed 5/0. 2. CODY DIETRICH, DORAN COMPANIES, EASEMENT VACATION REQUEST City Administrator Lerud explained that Doran Companies has been working with the City of Tonka Bay to construct an apartment building on land near the Tonka Bay water tower and part of the existing mall. He reviewed the past discussion regarding the easement area including its proximity to the Public Works building and potential future complaints from residents in the building. He stated that Doran had gone to the Tonka Bay City Council with a new concept design that worked around the easement area, but the Tonka Bay Council preferred the original concept, so they are now before the Shorewood Council to request that the City vacate the easement. He stated that this agenda item is for the Council to discuss whether they will call for a public hearing to consider vacating this easement. Tony Kuechle, Doran Development, stated that they have met twice with staff regarding this issue. He stated that they expended almost one - hundred thousand dollars to get the original design made and approved by the Tonka Bay City Council which was when they were made aware of the potential problem with the easement. He stated that they did show Tonka Bay that there was an alternative plan but noted that they would prefer the original plan. He stated that he does not see a problem with the proximity of the Public Works facility because of the type of glass they use and the limited amounts the windows can be opened. Gerry De Le Vega, Mayor for the City of Tonka Bay, stated that Tonka Bay preferred the original plan for this development and hopes that there is a way to get back to that plan. He stated that this will also allow the City of Shorewood to have new water and sewer connections as part of this project which is why, in his opinion, the original plan will be better for both Tonka Bay and Shorewood. Councilmember Siakel asked why he preferred the original plan over the alternatives. Mr. De Le Vega stated they prefer that plan because of the location of the buildings. Councilmember Siakel CITY OF SHOREWOOD WORK SESSION COUNCIL MEETING MINUTES October 15, 2019 Page 2 of 4 stated that it appears as though both options have the same number of units. Mr. De Le Vega stated that both options have 82 units. Mr. Kuechle noted that they are still planning to relocate utilities regardless of which plan moves forward. Mayor Zerby asked if before this process started whether they were aware that there was an easement in this location. Mr. Kuechle stated that they did know there was an easement, but in the meeting with City Administrator Lerud, Planning Director Darling and Public Works Director Brown, he said they did not believe it would be a problem vacating the easement. Mayor Zerby noted that staff does not speak make the decision for the Council and asked where the project was when this conversation with staff occurred. Mr. Kuechle stated that it had not been approved by Tonka Bay at that time, but it was where they kicked off their design plans. Councilmember Labadie stated that she is in her second term on Council and never once has staff gone to a meeting and assured anyone that something like this would not be an issue. She stated that she has complete faith in the City staff that they would never go ahead and presume Council actions. She stated that Mr. De Le Vega stated that Tonka Bay has been working on this project since December of 2018 and that the easement is right in the middle of this property. She asked why this is coming to Shorewood a year later and has never come before the Council before tonight. Mr. Kuechle stated that he stands by his statements that they were told at the meeting that vacating the easement would not be an issue provided they met certain criteria. He stated that he takes responsibility for not submitting the application for vacating the easement at that time. Councilmember Siakel stated that she agrees with Councilmember Labadie but noted that this project is well on its way. She stated that the communication surrounding this issue was very poor and this should have come before the Council well before now. She stated that she does not know which design option will be better because they both have the same density. She stated that while Tonka Bay is well within their rights to develop this property as they see fit, it would have been nice to have a little more collaboration and communication between the cities. She stated that she firmly believes that there will be complaints from residents when the snow plows are loading up with salt at 2:00 a.m. to go clear the streets. She stated that she also does not believe that the traffic from this development will not have an impact on County Road 19. Mr. Kuechle stated that regarding the design options, they met with members of the community, staff and Tonka Bay Council and chose the original design because it allows them to move the building back a bit and put in some additional landscaping in front as well as more effective parking. He reviewed some of the original design details as a mixture of two -story townhomes and apartments. Mr. De Le Vega stated that they listened to feedback when they chose the original plan designs. Mayor Zerby stated that at the September 10, 2019 Tonka Bay Council meeting, Mr. De Le Vega stated that the traffic study had "issues ". He asked what those issues were. Mr. Kuechle stated that traffic study information can be construed many different ways. He stated that if the retail space is filled that will have much more of an impact on the traffic than a residential building. Mr. De Le Vega stated the question right now is whether the City wants to keep their easement in its same location or let it be moved and have new connections. Mayor Zerby stated that he CITY OF SHOREWOOD WORK SESSION COUNCIL MEETING MINUTES October 15, 2019 Page 3 of 4 doesn't see the negative aspect to the second design. He stated that to him, this request is similar to a variance request. Mr. Kuechle stated that he sees this as coming down to expense for the City, because if Shorewood needs to replace utilities, they will need to shore up these buildings. Mayor Zerby stated that he would have to rely on staff and engineering to make that determination. Councilmember Sundberg stated that she would like more information that is specific to how either of these designs will affect Shorewood. She asked Public Works Director Brown to share his concerns about the Public Works building. Public Works Director Brown stated that the two basic concerns are noise and the stockpiles of materials that are stored on site which essentially make it an industrial type site. Councilmember Sundberg asked if there were concerns about residents accessing the area and causing issues. Public Works Director Brown stated that they have had some theft, but it has been rare and would not expect residents at this building to be involved in that type of activity. Councilmember Labadie stated that she had questions that she would like staff to research and provide answers to the Council at a future meeting. She quoted from a memo sent by Doran on October 3, 2019 regarding the life cycle of a water /sewer line and asked what the life cycle is of a water /sewer line. She stated that the water and sewer lines in this area are working perfectly and asked if it would be more detrimental to disrupt a perfectly working system than allegedly adding life to the water /sewer lines. Public Works Director Brown stated that he can answer those questions tonight. He stated that the lines are twenty -seven years old and were designed specifically for the Public Works facility. He stated that water and sewer lines typically have a fifty -year life cycle. He stated that the sanitary sewer has not been televised so he is unsure if there are issues with that line. Councilmember Sundberg stated that she thinks the City should go ahead and call for a Public Hearing to give citizens a chance to voice their opinion. Councilmember Johnson asked if it would be possible to have elevations available at the Public Hearing. Mr. De Le Vega stated that the design of the project is not the question before the Council, it is simply about the easements. Mayor Zerby stated that he feels design is relevant to the discussion regarding the easements because Mr. De Le Vega stated that Tonka Bay has a preference for the original design which involves the easement. Mr. Kuechle noted that the architectural designs of the buildings are the same for both designs, it is the site layout that is different. Planning Director Darling noted that the earliest a Public Hearing could be held is November 12, 2019. 3. BEV MATHIASEN, REPUBLIC SERVICES RECYCLING CONTRACT Bev Mathiasen, Republic Services gave an overview of the recycling industry and the trends that have stressed the industry. She reviewed the reasons for the plunging commodity prices and the changing business model while end markets are developing. She stated that their pricing proposal for 2020 is $3.45 for collection and $0.68 for processing, per month, per household. She stated that the residents in Shorewood are doing a fantastic job with recycling. CITY OF SHOREWOOD WORK SESSION COUNCIL MEETING MINUTES October 15, 2019 Page 4 of 4 Councilmember Sundberg noted that the City has a Recycling Committee and asked if Ms. Mathiasen had spoken with them. Ms. Mathiasen stated that she had not because Julie Moore wanted to get the Recycling Committee firmly established before she was brought it. She noted that there are plans for her to speak to them in the future. 4. ADJOURN Johnson moved, Siakel seconded, Adjourning the City Council Work Session Meeting of October 15, 2019, at 6:55 P.M. Motion passed 5/0. ATTEST: 1j" ' ScotfArbyl , May Sandie Thone, i y Clerk