HomeMy WebLinkAboutCity Council - 05/03/2005 APPROVED MINUTES
EDEN PRAIRIE CITY COUNCIL
TUESDAY, MAY 3, 2005 7:00 PM, CITY CENTER
Council Chamber
8080 Mitchell Road
CITY COUNCIL: Mayor Nancy Tyra-Lukens, Councilmembers Brad Aho, Sherry Butcher,
Ron Case, and Philip Young
CITY STAFF: City Manager Scott Neal, Parks & Recreation Director Bob Lambert, Public
Works Director Eugene Dietz, City Planner Michael Franzen, Community Development Director
Janet Jeremiah, City Attorney Ric Rosow and Council Recorder Deb Sweeney
I. ROLL CALL/CALL THE MEETING TO ORDER
Mayor Tyra-Lukens called the meeting to order at 7:00 p.m. City Manager Scott Neal was
absent.
II. PLEDGE OF ALLEGIANCE
III. COUNCIL FORUM INVITATION
IV. HUMAN RIGHTS AND DR. JEAN L. HARRIS YOUTH SCHOLARSHIP
AWARDS
Mayor Tyra-Lukens introduced Larry Piumbroeck, Chair of the Human Rights and
Diversity Commission.
Piumbroeck stated there were many applications for the awards, especially for the youth
recipients, all of them inspiring in their accomplishments and energy. He noted there
were no applications from the business community and said the Commission would work
on that next year.
Tyra-Lukens read the award citation for the 2004 Human Rights Award—Non-Profit
Organization Recipient, awarded to the Eden Prairie School District for its "Elder
Wisdom, Children's Song"project. Nanette Missaghi, Coordinator of the Integration
Program for Eden Prairie Schools, and Larry Long of the Children's Project for Peace,
accepted the award. Tyra-Lukens explained the project grew from informal sharing of
experiences at immigrant gatherings. The project received rave reviews from participants
and touched many people. She praised the district for bringing these stories to a wider
audience.
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Tyra-Lukens read the award citation for 2004 Human Rights Award—Individual
Recipient, given to longtime resident George Schell. Schell arranged a speaker on
diversity for his Lions Club and has been very active in the community.
Piumbroeck explained the youth scholarship awards are named for former Mayor Dr.
Jean L. Harris in honor of her lifelong commitment to human rights and diversity. Each
recipient receives a one-time scholarship of$1000.
Tyra-Lukens read the citations for the two 2004-2005 Dr. Jean L. Harris Youth
Scholarship Award recipients, Anna Affias and Christopher En. She congratulated all the
winners and thanked them and the Human Rights and Diversity Commission for their
efforts to appreciate the City's diversity.
V. APPROVAL OF AGENDA AND OTHER ITEMS OF BUSINESS
Case added an additional update on cable franchising and an update on Southwest Metro
Transit to Reports of Councilmembers. Aho added an item on potential Hennepin
County stadium funding under Reports of Councilmembers. Young added an item on
getting input on City financial policy from citizens to Reports of Councilmembers.
MOTION: Young moved, seconded by Butcher, to approve the agenda as published and
amended. Motion carried 5-0.
VI. MINUTES
A. COUNCIL WORKSHOP HELD TUESDAY,APRIL 26, 2005
MOTION: Aho moved, seconded by Young, to approve the Council Workshop
minutes as published. Motion carried 5-0.
B. CITY COUNCIL MEETING HELD TUESDAY,APRIL 26, 2005
Young said he had abstained on the motions under VIIIB and VIIIC.
MOTION: Butcher moved, seconded by Case, to approve the City Council
minutes as published and amended. Motion carried 5-0.
VII. CONSENT CALENDAR
A. THE RIDGE AT RILEY CREEK by EPIC Development. Second Reading for
Planned Unit Development District Review with waivers, and Zoning District
Change from Rural to R1-13.5 on 42.22 acres. Location: North and west of the
Sky Lane, south and east of Riley Creek. (Ordinance No. 8-2005-PUD-4-2005
for PUD District Review and Zoning District Change)
B. APPROVAL OF DEVELOPER AGREEMENT FOR HENNEPIN VILLAGE-
EDEN BLUFFS HOLDINGS, LLC.
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C. ADOPT RESOLUTION NO. 2005-66 RECEIVING FEASIBILTY REPORT
AND SETTING PUBLIC HEARING FOR TECHNOLOGY DRIVE AND
MITCHELL ROAD IMPROVEMENTS, I.C. 00-5508
D. AWARD CONTRACT FOR REPAIRS AT CUMMINS GRILL AND
RILEY JACQUES HOMES
E. AWARD CONTRACT FOR FLOWER MAINTENANCE TO LYNN'S
FLOWERS DESIGN
F. AWARD CONTRACT FOR IRRIGATION MAINTENANCE TO
ABSOLUTE RAIN
G. AWARD CONTRACT FOR LAWN MAINTENANCE FOR CITY HALL
AND FIRE STATION 1 TO AP LAWN
H. AWARD CONTRACT FOR LAWN MAINTENANCE FOR DEN ROAD,
FIRE STATION 2 & 3 & BUILDING 51 TO BENIEK PROPERTY
SERVICES
I. APPROVE RELEASE OF LAND FROM SPECIAL ASSESSMENT
AGREEMENT FOR LOT 1. BLOCK 2, FOUNTAIN PLACE
J. ADOPT RESOLUTION NO. 2005-67 CONSENTING TO ASSIGNMENT
OF KMC TELECOM AGREEMENT
MOTION: Butcher moved, seconded by Case, to approve Items A-J on the Consent
Calendar. Motion carried 5-0.
VIII. PUBLIC HEARINGS/MEETINGS
IX. PAYMENT OF CLAIMS
MOTION: Young moved, seconded by Aho, to approve Payment of Claims as
submitted. The motion was approved on a roll call vote with Aho, Butcher, Case,
Young, and Tyra-Lukens voting "aye."
X. ORDINANCES AND RESOLUTIONS
XI. PETITIONS, REQUESTS AND COMMUNICATIONS
A. EDEN PRAIRIE READS —JAN MOSMAN
Tyra-Lukens shared information on Eden Prairie Reads at Mosman's request. She
said Eden Prairie Reads is designed to promote reading, discussion, and community.
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It is collaboration between the schools, Barnes and Noble, community groups, and
grassroots organizers. Over 2000 residents read the first selection,Neither Wolf
Nor Dog. Events included speakers, discussions, and an author event. The 2005
selection, Ordinary People, was also written by a local author. Its theme of how
tragedy affects an ordinary family should spark a lot of discussion.
XII. REPORTS OF ADVISORY BOARDS & COMMISSIONS
XIII. APPOINTMENTS
XIV. REPORTS OF OFFICERS
A. REPORTS OF COUNCILMEMBERS
1. City Manager's Performance Review—Mayor Tyra-Lukens
Tyra-Lukens reported the Council had met in closed session to discuss the
City Manager's performance review. Using a similar process to past reviews,
City employees, department heads, and four members of the Council all gave
input. Areas reviewed included significant accomplishments, items not
accomplished, things done well, things the Manager could do more or less,
opportunities seen for the next 12 months, and comments.
Tyra-Lukens noted the evaluator commented on the high quality of the
evaluation, stating that employees seemed to be searching for areas to
improve. More direct contact from Neal was Staff's only suggestion. Neal
was seen as positive and enthusiastic, with strengths in the areas of open
communication and representing the city positively. He was also
commended for his reorganization of City departments.
Tyra-Lukens stated Neal had done an exemplary job and his leadership is
an asset to the City. The Council has raised Neal's salary to the state cap,
which represents a modest increase. Tyra-Lukens noted the cap precluded
any merit payment for Neal, but said the Council is looking for other
options that would be allowable under state law.
2. Cable Franchising—Councilmember Case
Councilmember Case discussed a letter drafted by the Southwest
Suburban Cable Commission for cities to send to legislators regarding
cable franchising. The main issue is that voice, video, and data providers
are merging. Traditionally, voice/telephone lines were overseen by the
State, data was overseen by the federal government, and video was
overseen by local government. Now the lines between these different
types of providers are blurring. There are both state and federal bills to
dissolve the concept of franchise fees. While an overhaul of the current
system might seem logical, eliminating franchise fees would cost the City
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$350,000 in general funds. In addition, cable providers would no longer
need to provide public access channels. Case said the City needs to
preserve its rights-of-way.
Young agreed the City should maintain its ability to regulate. He said
telephone companies are trying to use the City's rights-of-way without
paying. Aho agreed this was a fairness issue.
Tyra-Lukens directed Staff to send the letter.
2. Time Warner/Comcast Swap— Councilmember Case
Case said Time Warner would be swapping the Twin Cities market over to
Comcast as part of an industry consolidation. Some people had asked if
this would make cable even more of a monopoly,but it already is a
monopoly. The only competition is non-cable providers like Direct TV.
Case noted the City has encouraged other cable providers but conditions in
the industry have caused those efforts to fall through.
Case said the market swap would come before the City for written
consent,but the City is not allowed to withhold consent if Comcast
upholds its end of the franchise agreement. He said the biggest change for
residents would probably be a change in Roadrunner email addresses to
Comcast email addresses.
3. Southwest Metro Transit— Councilmember Case
Case updated the Council on current issues with Southwest Metro Transit.
He noted Southwest Metro Transit has a large budget, about$275,000.
Funding comes from motor vehicle sales taxes, which varies from year to
year. As a result, Southwest Metro budgets at 88 percent of projected
revenues and maintains significant reserves. Only 24 percent of the
budget comes from fares. The rest is government subsidized. Case noted
roads and LRT are similarly government funded and to a greater level.
Case explained the original 1986 joint powers agreement between Eden
Prairie, Chaska, and Chanhassen was drawn up when Southwest Metro
Transit was funded through property taxes. With the current funding
structure, it is harder to determine each city's share. Discussions have also
arisen regarding division of assets and liabilities should the Legislature
decide to dissolve Southwest Metro Transit, which they could at any time.
Case said the assets are basically zero,but liabilities could amount to $5 to
$6 million,particularly if the new parking deck is not paid off. Case noted
that with prior notice and planning, the cities could plan to avoid that
liability, but nevertheless the potential liability needs to be divided. The
new agreement, calculated on property taxes and population, assigns 60
percent of the liability to Eden Prairie, 23 percent to Chanhassen, and 17
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percent to Chaska. Case noted this might seem unfair since Eden Prairie
only has 33 percent of the vote on the Commission,but that was what was
agreed to. Case praised Southwest Metro as a well-managed,high-quality,
award-winning bus service, noted its commitment to environmental
excellence, and urged everyone to ride.
4. Stadium Input for Hennepin County Commissioners—
Councilmember Aho
Aho noted Plymouth had passed a resolution to share with the Hennepin
County Commissioners that the City might want to consider copying. The
resolution stated that if funding from Hennepin County for a stadium is
pursued, it should be put to a public referendum. It would be unfair to put
this tax burden on County residents without a vote. Tyra-Lukens
requested Aho draft a resolution for the Council's consideration.
5. Community Input on Budget—Councilmember Young
Young said he wanted to revisit the issue of getting input on the City's
budget from the community through a task force of citizens expert in
finance. Getting input on financial questions, such as whether the level
fund balance is adequate, or how the City distinguishes capital and
operating expenses, or projecting cash needs would be valuable. Young
said the task force would have a very narrow scope—not looking at the
City's scope of offerings, but examining financial and accounting options
only. These issues are complex and getting more input would be useful.
Young noted he had found a town in Massachusetts where senior business
executives assess the state of the town's cash reserves, debt levels, and
capital and operating expenses.
Tyra-Lukens asked whether the Massachusetts task force was permanent
or ad hoc. Young said it was not a standing committee,but met for two or
three months every two years during the budget cycle. Young said this
would be a valuable tool.
Aho concurred. He said the intention was not to disrespect Staff,but
merely to conduct prudent due diligence and perhaps get some creative
ideas. It would lend credence to the budget to have an independent group
agree with it.
Butcher expressed reservations. Expert feedback is needed, and Staff are
best equipped to provide it. She was concerned that Staff had found very
few citizen budget committees in Minnesota. Butcher also said it must be
clear that financial authority rests with the Council.
Case also expressed reservations. He said if the group did not agree with
the City, the City's credibility could be unfairly weakened. Government
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and business are very different. He noted the City has a stellar AAA bond
rating that validates its financial policy. Case said he trusted Staff's
expertise and their willingness to seek outside expertise when needed, as
they did regarding the airport. Case said the task force felt like a solution
in search of a problem.
Young said it is hard for Council members to evaluate financial issues,
such as the adequacy of the City's cash reserve,because they are not
financial experts. He said he didn't fear business leaders on the task force
would change the nature of the City. They would assist and give input.
Young cited the 95 percent policy as an example of a policy that hung
around for years as the fund balances grew, and should perhaps be
reexamined. Young said he had spent time researching this issue, but
someone with a financial background could do so more effectively and
efficiently.
Butcher reiterated the Council is elected to create and review financial
policy. Taxpayer hearings and the State Auditor provide checks and
balances. As an alternative, Butcher suggested educating the community
on the budget process through the website and meetings, and including a
statement of the City's financial policies in the annual report.
Case questioned the idea that Councilmembers are not up to the task of
evaluating the City's financial policy. He asked who was better suited to
the task. The Council should educate itself if it needs more information on
the budget process. He favored getting business perspectives informally.
Case said the Council uses the lens of municipal government, which is
very different from a business view. If a business task force criticized the
City's policy, unfair damage could result.
Aho said the task force would be due diligence. He compared it to having
an expert inspector check a home for safety before purchasing it. Because
the Councilmembers are not financial professionals, evaluating the budget
is hard even with training. Aho said there is a wealth of financial
expertise that could be used in a time-limited way, not to change the City's
policy necessarily,but just to gauge it.
Tyra-Lukens challenged the home inspector analogy. She said having
business executives evaluate the City budget would be like having an
airplane inspector evaluate a house. City budgets and business budgets are
entirely different. She did not see the benefit. It would be far more
valuable to direct Staff to work with other cities' staff to critique each
others' budgets, and to send City finance staff to national training. She
asked Young to draft a memo of his proposal.
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B. REPORT OF CITY MANAGER
1. Update on Senior Issues Task Force
Parks & Recreation Director Bob Lambert gave the update on Neal's
behalf, reading the charter statement. He reviewed the timeline for the
project, which would run from June 2005 to January 2006.
MOTION: Case moved, seconded by Butcher, to approve the charter
statement and recommendations in the City Manager's memorandum.
Motion carried 5-0.
C. REPORT OF THE COMMUNITY DEVELOPMENT DIRECTOR
1. Authorization to Develop an Agreement with the City of Minnetonka
to Administer CDBG Funds (Resolution No. 2005-68)
Community Development Director Janet Jeremiah explained the City is
party to a joint cooperative agreement with Hennepin County to
administer Community Development Block Grant(CDBG) funds. Up to
now, the County has administered them for free. Starting in 2006,
however, the County plans to charge entitlement cities (cities that can opt
out) a 13% fee. Since the City receives approximately $300,000 in CDBG
funds, this translates to a $36,000 fee. City Staff contacted Minnetonka,
which is in a similar position, and found that Minnetonka city staff have
developed expertise to self-administer the funds. City Staff are confident
the City would save money by entering into a joint powers agreement with
Minnetonka to administer the funds.
Jeremiah reviewed the actions needed to pursue this route: withdraw from
the Hennepin County CDBG program, execute a joint powers agreement
with Minnetonka, and execute a joint powers agreement with Hennepin
County to remain in the HOME Consortium. This arrangement would not
affect the City's ability to hold its own public hearings or make its own
policies. Jeremiah said City staff would be trained in administering the
CDBG funds, in case the collaboration with Minnetonka didn't work out.
Case asked if the County would care if Eden Prairie withdrew. Jeremiah
said the plan had been presented to the County Commissioners without
negative comment. She noted it seems fair for the county to charge, since
they have charged non-entitlement cities for years. It's purely a financial
matter of how to minimize the City's administration costs.
Aho asked if there were any risks in taking this action. Jeremiah said the
exact amount Minnetonka would charge is not known,but based on
comparisons with Bloomington and Plymouth, even the worst-case
scenario would generate savings.
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MOTION: Case moved, seconded by Butcher, to adopt Resolution No.
2005-68 authorizing the Mayor and City Manager to execute such letters,
agreements and other documents necessary to discontinue participation in
the Urban Hennepin County CDBG Program; execute a Joint Cooperation
Agreement between Hennepin County and Eden Prairie to allow Eden
Prairie to participate in the Hennepin County Housing Consortium, and
thereby remain eligible to participate in the HOME consortium program;
and execute a Joint Powers Agreement between the cities of Minnetonka
and Eden Prairie to collaboratively administer federal CDBG funds.
Motion carried 5-0.
D. REPORT OF PARKS AND RECREATION DIRECTOR
1. Community Theater Feasibility Study
Lambert updated the Council on the possible development of a community
theater space at Eden Prairie Center. Additional discussion with General
Growth has made it obvious that the plan is unworkable without a major
partner like AMC, since General Growth is basically quoting a market rate.
AMC would want their own architects involved, which could drive up the
costs of developing a plan. Staff was therefore no longer asking for any
funds to explore the community theater option. Lambert asked the Council
to authorize Staff to continue discussions with General Growth and AMC
to see if a reasonable plan could be developed.
Case added that right now, the plan looked very annually expensive,but it
was worth talking to see if the plan had truly hit a dead end.
Aho shared citizen input that partnering with Hennepin Technical College
and materials providers like Home Depot might bring down costs, if
discussion got to that stage.
MOTION: Butcher moved, seconded by Tyra-Lukens, to authorize Staff
to initiate a feasibility study to evaluate the construction and operating
costs of a community theater using the space available at the Eden Prairie
Center and furthermore to evaluate the possibilities of operating this space
in partnership AMC or another viable partner. Motion carried 5-0.
E. REPORT OF PUBLIC WORKS DIRECTOR
F. REPORT OF POLICE CHIEF
G. REPORT OF FIRE CHIEF
H. REPORT OF CITY ATTORNEY
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XV. OTHER BUSINESS
XVI. ADJOURNMENT
MOTION: Butcher moved, seconded by Aho, to adjourn the meeting. Motion carried
5-0.