HomeMy WebLinkAbout2008-08-04 Council Regular Meeting MINUTES
OF THE REGULAR MEETING OF THE
EDINA CITY COUNCIL
HELD AT CITY HALL
AUGUST 4, 2008
7:00 P.M.
ROLLCALL Answering rollcall were Members Bennett, Housh, Masica, Swenson and Mayor
Hovland.
CONSENT AGENDA ITEMS APPROVED Motion made by Member Swenson and seconded by
Member Housh to approve the Council Consent Agenda as revised with the exceptions of
Agenda Item IV.C. Imp. No. S-048, Contract Eng No. 08-11 Sidewalk Highway 100 West
Frontage Road, and Agenda Item V.G.3. Set Hearing Date (08/19/08), Preliminary Plat, 3510
Galleria, Westin Galleria.
Rollcall:
Ayes: Bennett, Housh, Masica, Swenson, Hovland
Motion carried.
ICMA "NEXT BIG GIG" VIDEO CONTEST AWARD PRESENTED Communications Director
Bennerotte explained the ICMA contest to highlight a career in local government. She reported
that first place was awarded to Patrick Smith for his "A Job That Makes A Difference" video. Third
place was awarded to Brian Smith for his "Why Local Government Management Is Right For You"
video. Both videos were played, and Mayor Hovland presented Patrick Smith with his award.
2008 IMAGES OF EDINA PHOTO CONTEST PRESENTED Communications Coordinator Doll
explained the Images of Edina photo contest and named the 200 winners for each category as
follows: "Claude Sigmund and Students" by Jolene Goldade, which won the "Learning" Category;
"Flight of the Egret" by Denis Plaster, which won the "Living" category; "Family Fun" by Arlene
Green, which won the "Raising Families" category; "Ice Cream Store Delight," by Frannie Kuhs,
which won the "Doing Business" category; "Spiral at the Park," by Jenna Klein, which was awarded
the "Judges Choice" award; "Speed Racer," by Marni Kirchmaier, which was awarded the "Staff
Choice" award; and, "Ice Cream Store Delight," by Frannie Kuhs, "Best of Show" award. Mayor
Hovland presented the contest winners with their awards.
2008 STATE CHAMPION BOYS TENNIS TEAM COMMENDED Mayor Hovland congratulated the
2008 Edina Boys Tennis Team on their winning season and State Championship. Member
Masica made a motion, seconded by Member Housh adopting Resolution No. 2008-67
commending the 2008 Edina Boys Tennis Team on their 2008 Classic Lake Conference,
Section and State Championships.
Ayes: Bennett, Masica, Swenson, Hovland
Motion carried.
2008 STATE CHAMPION BOYS SWIMMING & DIVING TEAM COMMENDED Mayor Hovland
congratulated the 2008 Edina Boys Swimming & Diving Team on their winning season and State
Championship. Member Masica made a motion, seconded by Member Housh adopting
Resolution No. 2008-68 commending the 2008 Edina Boys Swimming & Diving Team on
their State Championship.
Ayes: Bennett, Masica, Swenson, Hovland
Motion carried.
-APPROVED MINUTES - REGULAR MEETING OF JULY 15, 2008, AND WORK SESSION OF
JULY 15 2008 AND STUDY SESSION OF JULY 22, 2008 Motion made by Member Swenson
and seconded by Member Housh to approve the minutes of the Regular Meeting of July 15,
2008, Work Session of July 15, 2008, and Study Session of July 22, 2008.
Motion carried on rollcall vote —five ayes.
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Minutes/Edina City Council/August 4, 2008
*PUBLIC HEARING CONTINUED TO SEPTEMBER 2 2008 REVISED FINAL DEVELOPMENT
PLAN 7300 BUSH LAKE ROAD, MIKE PALM, RINHWROPERTIES, LLC Motion made by
Member Swenson and seconded by Member Housh to continue action on revised final
development plan for 7300 Bush Lake Road, Mike Palm, Rink Properties LLC to September
2, 2008.
Motion carried on rollcall vote —five ayes.
PUBLIC HEARING — APPROVED NEW ON-SALE INTOXICATING LIQUOR LICENSE
MCCORMICK & SCHMICK SEAFOOD RESTAURANT Affidavits of Notice presented and ordered
placed on file.
Manager Hughes explained that McCormick & Schmick Seafood Restaurant, to be located at 3203
Galleria in the new Westin Hotel, applied for new on-sale intoxicating and Sunday Sale liquor
licenses. McCormick & Schmick have filed all necessary paperwork and paid the applicable
fees for the licenses. Mr. Hughes said the licenses have been reviewed by the City's
Administration, Health, Planning and Police Departments and have been found to be in order.
He reported the Police background check indicated no negative findings. It was noted the grand
opening was August 21, 2008.
Public Testimony
Edward Munson, representing McCormick & Schmick Seafood Restaurant, introduced himself as
well as General Manager of the Edina location Mike Herstine and Regional Manager Kevin
Finegold. Mr. Herstine commented on the restaurant's operations, size, and features, noting this
restaurant and Westin Hotel would bring approximately 350 jobs to Edina.
Member Swenson made a motion, seconded by Member Masica, to close the public hearing.
Ayes: Bennett, Housh, Masica, Swenson, Hovland
Motion carried.
Member Masica made a motion, seconded by Member Swenson, to approve New On-Sale
Intoxicating Liquor License and Sunday On-Sale Liquor License to McCormick & Schmick
Restaurant Corp dba McCormick & Schmick Seafood Restaurant, for the period beginning
August 4, 2008 and ending March 31, 2009.
Ayes: Bennett, Housh, Masica, Swenson, Hovland
Motion carried.
PUBLIC COMMENT
No one appeared.
AWARD OF BID EDINBOROUGH PARK POOL VENTILATION UPGRADE Edinborough Park
Assistant Manager Miller reviewed the scope of the upgrade to replace the current 21-year-old
system that was in danger of failing with a new ventilation system for the swimming pool at
Edinborough Park. Staff had researched this upgrade for over a year and found an energy saving
unit. It was staff's recommendation to award the low base bid of $312,000 to Master Mechanical
Incorporated with the understanding that the City would implement a $25,000 deduct change order
to eliminate the 3-year warranty from the equipment manufacturer. Professional engineering fees
would be $18,000 for this project, which brings the total project cost to a total of $305,000.00. Ms.
Miller advised that if this upgrade was approved, the project would be $28,000 over budget. The
budget overage would be covered by the Edinborough/Centennial Lakes Park Trust Fund balance
that currently had a balance of just over$4 million.
Kyle Simonson, Hallberg Engineering, responded to the Council's questions about the operation of
the new equipment that used 20 to 30-year old energy recovery technology. He also advised of
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Minutes/Edina City Council/August 4, 2008
other projects that used this system, estimating it would be a 25 to 35-year system for Edina and
result in lower electric costs and humidity levels at the pool.
Member Masica requested staff provide the specific amount to be saved on electric costs.
The Council discussed the impact to pool ticket admissions during the two-week shutdown, noting
it will be minimal. It was also noted that rebidding this project would result in bids that would be
about the same because the higher cost was for a state-of-the-art system.
Following discussion, Member Masica made a motion, seconded by Member Housh, to award
the bid for Edinborough Park Pool ventilation upgrade to the recommended low bidder,
Master Mechanical, Inc. at $312,000.
Ayes: Bennett, Housh, Masica, Swenson, Hovland
Motion carried.
*AWARD OF BID CONTRACT NO. PW08-6 SEWER TELEVISION INSPECTION SYSTEM
Motion made by Member Swenson and seconded by Member Housh to award Contract No.
PW08-6, Sewer Television Inspection System to the recommended low bidder, Aries
Industries, Inc., at $124,978.
Motion carried on rollcall vote —five ayes.
AWARD OF BID IMP. NO. S-048, CONTRACT ENG NO. 08-11 SIDEWALK HIGHWAY 100
WEST FRONTAGE ROAD Engineer/Public Works Director Wayne Houle reviewed the cost of the
bituminous trailway and funding that was within the Capital Improvement Plan. Mr. Houle noted
State Aid Funds would partially fund this six-foot wide walkway project. It was anticipated this first
phase of construction would be completed in the fall of 2008.
Member Masica made a motion, seconded by Member Housh, to award the Bid for
Improvement No. S-048, Contract Eng. No. 08-11, Sidewalk Highway 100 West Frontage
Road to the recommended low bidder, DMJ Corporation, at$145,157.
Ayes: Bennett, Housh, Masica, Swenson, Hovland
Motion carried.
*AWARD OF BID PAMELA PARK SOCCER/FOOTBALL FIELD LIGHTING PROJECT Motion
made by Member Swenson and seconded by Member Housh to award the bid for Pamela
Park soccer/football field lighting project to the recommended low bidder, Gunnar Electric
Company, Inc., at$71,900.
Motion carried on rollcall vote —five ayes.
*AWARD OF BID 50TH & FRANCE SURFACE PARKING LOT MILL & OVERLAY Motion made
by Member Swenson and seconded by Member Housh to award the bid for 50th and France
surface parking lot mill and overlay to the recommended low bidder, Ace Blacktop Inc., at
$25,200. Motion carried on rollcall vote —five ayes.
RECEIVED HENNEPIN COUNTY 4TH JUDICIAL DISTRICT COURT UPDATE Chief Judge Jim
Swenson updated the Council on the court's recent activities and tremendous impact of budget
cuts since over 90 percent of their budget was staff. He also advised of innovative initiatives for
DWI repeat offenders, mental health court, and modifications to the drug court that have been
successful. Chief Judge Swenson answered questions of the Council and complimented the City's
Prosecutor, Patrick Leach, for his work on behalf of Edina.
*RESOLUTION NO. 2008-70 APPROVED APPOINTING PRIMARY ELECTION JUDGES Motion
made by Member Swenson and seconded by Member Housh to adopt Resolution No. 2008-
70 appointing primary election judges.
Motion carried on rollcall vote —five ayes.
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Minutes/Edina City Council/August 4, 2008
*SET DATE FOR CANVASS OF GENERAL ELECTION RETURNS ON NOVEMBER 6 2008
Motion made by Member Swenson and seconded by Member Housh to set November 6,
2008, for canvass of general election returns.
Motion carried on rollcall vote—five ayes.
APPOINTMENT TO TRANSPORTATION COMMISSION FROM BIKE EDINA TASK FORCE
Mr. Hughes presented the recommendation from the Bike Edina Task Force to appoint
Jennifer Janovy to serve on the Transportation Commission. Member Masica made a
motion, seconded by Member Bennett, to appoint Jennifer Janovy to serve on the
Transportation Commission.
Ayes: Bennett, Housh, Masica, Swenson, Hovland
Motion carried.
RESOLUTION NO. 2008-69 ACCEPTING VARIOUS DONATIONS Mayor Hovland explained
that in order to comply with State Statutes; all donations to the City must be adopted by
Resolution and approved by four favorable votes of the Council accepting the donations.
Member Swenson introduced Resolution No. 2008-69 accepting various donations. Member
Bennett seconded the motion.
Ayes: Bennett, Housh, Masica, Swenson, Hovland
Motion carried.
*APPROVAL OF VARIOUS DOCUMENTS — GRANDVIEW SQUARE Motion made by Member
Swenson and seconded by Member Housh to authorize execution of documents submitted
by Opus Corporation to complete final documentation of the Grandview Square project.
Motion carried on rollcall vote —five ayes.
*SET HEARING DATE OF AUGUST 19, 2008 FOR PLANNING ITEMS Motion made by
Member Swenson and seconded by Member Housh to set August 19, 2008, as the hearing
date for: 1) Final Development Plan, 5415 70th Street West, Murphy Automotive; and, 2)
Final Development Plan And Final Rezoning, 4010 65th Street West, Crosstown Medical.
Motion carried on rollcall vote —five ayes.
SET HEARING DATE OF AUGUST 19, 2008 FOR PLANNING ITEM Planning Director Teague
explained the Westin Galleria plat would establish lot lines on the existing Westin project for the
restaurant and individual condos. Member Masica made a motion, seconded by Member
Housh to set August 19, 2008, as the hearing date for Preliminary Plat, 3510 Galleria, Westin
Galleria.
Ayes: Bennett, Housh, Masica, Swenson, Hovland
Motion carried.
*APPROVED ALLIED WASTE RECYCLING CONTRACT — ONE-YEAR EXTENSION Motion
made by Member Swenson and seconded by Member Housh to approve a one-year
extension of the Allied Waste Recycling contract.
Motion carried on rollcall vote—five ayes.
*RESOLUTION NO. 2008-74 APPROVING SAFE & SOBER GRANT Motion made by Member
Swenson and seconded by Member Housh to adopt Resolution No. 2008-74 approving Safe
and Sober Grant.
Motion carried on rollcall vote —five ayes.
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Minutes/Edina City Council/August 4, 2008
*APPROVED CONSENT TO ENCROACHMENT — 4924 FRANCE AVENUE SOUTH Motion
made by Member Swenson and seconded by Member Housh to authorize execution of
Consent to Encroachment at 4924 France Avenue South.
Motion carried on rollcall vote —five ayes.
APPROVED LETTER OF INTENT / SET HEARING DATE OF AUGUST 19, 2008 FOR 7450
METRO BOULEVARD Mr. Hughes explained this was a follow up to direction from the July 15,
2008, meeting for staff to commence negotiations with ConAgra with respect to the City's potential
acquisition of 7450 Metro Boulevard for a new Public Works facility. He reported that he and Jack
Rice held discussions with ConAgra representatives resulting in the non-binding letter of intent
before the Council. Mr. Hughes suggested if the Council were amenable that authorization be
granted to sign the letter of intent and a public hearing be scheduled on August 19, 2008. The
letter of intent would serve as the basis for a formal purchase agreement that the Council would
consider at a later date.
Mr. Hughes presented the anticipated schedule that could be followed through preparation and
approval of a purchase agreement, calling for a bond sale, selling $14 million general obligation
capital improvement bonds, and closing on the purchase from ConAgra on November 1 or earlier.
If approved, the concept was to issue $14 million in general obligation CIP bonds to finance the
acquisition of the property ($8 million) and fund the initial renovation costs of the ConAgra building.
There would be a supplementary issue of lease revenue bonds (similar to those issued for the
gyms and City Hall) to fund the balance of the renovation costs that would be issued at a later date
when these costs were better defined. Mr. Hughes presented details of the letter of intent and
purchase agreement.
The Council discussion included: the length of time available to perform due diligence, the
assessed valuation, and difficulty of determining value on the property; potential for new
negotiations to be opened should mitigation costs go beyond $100,000, noting the desire for
closing costs to be negotiated in the City's favor, and question whether the environmental
assessments had been completed.
Jack Rice, 4801 Hilltop Lane, stated the environmental issues would be the same with any buyer
so he believed ConAgra would resolve the issue. He stated real estate transactions were rarely
negotiated at the assessed value but the assessed was always considered as one piece of the
information in the negotiation. Mr. Rice stated he believed both parties have a unique interest in
the property. Attorney Knutson commented on the need to comply with the confidentiality aspects
required by the Government Data Practices Act, which may limit the scope of any confidentiality
agreement entered into by the City by requiring that certain data be public. The Council indicated
their desire to move forward with the letter of intent and to schedule a public hearing.
Member Swenson made a motion, seconded by Member Housh, to authorize execution of
the letter of intent as revised, for the acquisition of 7450 Metro Boulevard and setting
August 19, 2008, as the hearing date for consideration of this acquisition.
Ayes: Bennett, Housh, Masica, Swenson, Hovland
Motion carried.
APPROVED CONSIDERATION OF A CHANGE TO THE BUILDING ELEVATION FOR THE
APARTMENT BUILDING AT 3101 69 STREET WEST Mr. Teague explained that Robb Miller,
on behalf of TE Miller Development was requesting consideration of an amended building elevation
for their recently approved apartment building at the corner of 69t" Street and Xerxes. He
displayed the exterior elevation of the building as approved, noting that a second stairwell had now
been added to the roof to comply with a building code requirement that two entrance/exits must
exist on the roof. Additionally, window locations have been slightly altered. Mr. Teague asked
whether these changes were significant enough to require an additional public hearing. If so, staff
would recommend that the Council set a public hearing for August 19, 2008.
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Minutes/Edina City Council/August 4, 2008
The City Council confirmed that the building materials must remain the same. Council reviewed
Zoning Code language defining review thresholds that can be approved by the City Planner or
require another public hearing and review by the Council.
Rob Miller, TE Miller Development, LLC, 7760 France Avenue, applicant, indicated there had been
minor adjustments with window placement to coordinate with the unit play layouts, a stairwell
access point to the roof was added to meet the Building Code requirement, and windows adjacent
to the patio doors were added to allow more light into the units. Mr. Miller stated there were no
materials changed and requested approval be made conditioned on the same materials being used
as previously approved by the Council. It was clarified that all previous conditions still applied to
the project and if the building materials have changed, the project must come back for Council
consideration.
Member Masica made a motion, seconded by Member Swenson, to approve an amended
building elevation for the apartment building at 3101 69th Street West, as requested.
Ayes: Bennett, Housh, Masica, Swenson, Hovland
Motion carried.
APPROVAL STANDARDS — FINAL DEVELOPMENT PLAN AND CONDITIONAL USE PERMIT
Mr. Teague presented and explained the recommended changes to applications for conditional use
permits and final development plans. He explained that applicants would be put on notice that
changes to plans would require public hearings before the Planning Commission and City Council
It was noted that such a public hearing requirement before the Planning Commission and City
Council could be an eight-week process.
The Council discussion included the need for flexibility in the planning process, while maintaining
integrity of the approvals. Staff pointed out the revised applications were an attempt to amplify the
notice to applicants that they should have their projects much further along the design
development process before gaining approvals without necessitating a second round of hearings
and reviews. Council consensus was reached to authorize staff to modify the application forms for
final development plans and conditional use permits, as requested, to support a larger degree of
scrutiny of plans and changes made between approval and the building permit issuance, and to
place the onus on the developer to provide a list of any changes between schematic design and
design development, with staff feedback on this process provided to the Council in four to six
months.
*CONFIRMATION OF CLAIMS PAID Motion made by Member Swenson and seconded by
Member Housh approving payment of the following claims as shown in detail on the
Check Register dated July 17, 2008, and consisting of 36 pages; General Fund
$286,596.52; Communications Fund $9,131.51; Working Capital Fund $98,901.26;
Construction Fund $11,589.51; Art Center Fund $6,915.36; Golf Dome Fund $2,520.21;
Aquatic Center Fund $5,606.71; Golf Course Fund $55,881.63; Ice Arena Fund $7,897.31;
Edinborough/Centennial Lakes Fund $11,043.13; Liquor Fund $192,464.93; Utility Fund
$143,105.87; Storm Sewer Fund $12,412.81; Recycling Fund $35,380.00; PSTF Agency
Fund $150.93; TOTAL $879,597.69, and for approval of payment of claims dated July 24,
2008, and consisting of 34 pages: General Fund $391,891.05; CDBG Fund $23,831.36;
Communications Fund $1,322.95; Working Capital Fund $699,562.72; Construction Fund
$13,228.43; Art Center Fund $1,861.70; Golf Dome Fund $1,845.80; Aquatic Center Fund
$29,109.83; Golf Course Fund $42,175.11; Ice Arena Fund $6,087.69;
Edinborough/Centennial Lakes Fund $25,327.11; Liquor Fund $144,510.23; Utility Fund
$1,152,232.83; Storm Sewer Fund $395,529.91; PSTF Agency Fund; $4,021.07; TOTAL
$2,932,537.79, and for approval of payment of claims dated July 31, 2008, and
consisting of 36 pages: General Fund $500,244.42; Communications Fund $12,878.52;
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Minutes/Edina City Council/August 4, 2008
Working Capital Fund $16,018.73; Art Center Fund $21,859.11; Golf Dome Fund $125.83;
Aquatic Center Fund $6,139.41; Golf Course Fund $33,390.50; Ice Arena Fund $347.25;
Edinborough/Centennial Lakes Fund $26,811.50; Liquor Fund $239,050.15; Utility Fund
$81,067.46; Storm Sewer Fund $5,258.05; PSTF Agency Fund $2,692.29; TOTAL
$945,883.22.
Motion carried on rollcall vote — five ayes.
ADOPTED RESOLUTION NO. 2008-72 SERIES 2008A SELLING $13,985,000 G.O. UTILITY
REVENUE BONDS AND RESOLUTION NO. 2008-73 SERIES 2008B SELLING $7,755,000 G.O.
PERMANENT IMPROVEMENT REVOLVING FUND BONDS Finance Director, Wallin introduced
Jonathan North, Ehlers & Associates, the City's Bond Counsel. Mr. North explained the impact to
the municipal bond market caused by the downturn in the subprime and housing markets. He
congratulated Edina for having a firm AAA rating from Moody's and S & P, which positioned the
City favorably in the market. He presented the results of the four Series 2008A bids received,
advising the winning bid was very favorable and received from Piper Jaffrey for 3.6115 percent.
Six bids were received for the Series 2008B bonds, with the winning bid from Piper Jaffrey for
3.74+ percent, again very favorable. Mr. North referenced the summary of updated debt service
schedules, updated amortization schedules for the 2008A and 2008B bond series, and 25-year
history of the bond buyer.
The Council discussed that S&P had previously rated Edina's financial management system as
"good" and had recently upgraded the rating to "strong." Edina was also one of fewer than 20
cities of its size with an AAA bond rating. Because of the lower than expected interest rates
received, the special assessment interest rate would be lowered to 5.74 percent. The lower
borrowing costs could also impact utility rates.
Member Swenson introduced Resolution No. 2008-72 relating to Series 2008A $13,985,000
G.O. Utility Revenue Bonds.
Member Bennett seconded the motion.
Roll call vote:
Ayes: Bennett, Housh, Masica, Swenson, Hovland
Motion carried.
Member Masica introduced Resolution No. 2008-73 relating to Series 2008B $7,755,000 G.O.
Permanent Improvement Revolving Fund Bonds.
Member Housh seconded the motion.
Roll call vote:
Ayes: Bennett, Housh, Masica, Swenson, Hovland
Motion carried.
SCHEDULE AUGUST 26, 2008 COMMITTEE OF THE WHOLE EXECUTIVE SESSION Following
discussion, Council consensus was reached to schedule a Committee of the Whole Executive
Session on August 26, 2008, at 11:00 a.m., in the Community Room for the purpose of evaluating
City Manager, Gordon Hughes.
There being no further business on the Council Agenda, Mayor Hovland declared the meeting
adjourned at 10:05 p.m.
Respectfully submitted,
Debra A. M ngen ity Clerk
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