City Council - 12/19/1978 APPROVED MINUTES
EDEN PRAIRIE CITY COUNCIL
b
TUESDAY, DECEMBER 19, 1978 7:30 PM, CITY HALL
'OUNCIL MEMBERS: t tiayor Wolfgang Penzel , Billy Bye, Joan a
Meyers, Dave Osterholt and Sidney Pauly
k
COUNCIL STAFF PRESENT: City Manager Roger Ulstad; City Attorney
Roger Pauly; Planning Director Chris
Enger; Finance Director John Frane;
Director of Community Services Bob Lambert;
City Engineer Carl Jullie; and Joyce
Provo, Recording Secretary
INVOCATION: Councilman Dave Osterholt
PLEDGE OF ALLEGIANCE
ROLL CALL: All members present.
Mayor Penzel presented plaques to outgoing Council Members Joan Meyers and Billy Bye on
behalf of the City Council in appreciation for their dedication and service to the City of
Eden Prairie.
1 . APPRnh;L OF AGENDA AND OTHER ITFMS OF BUSINESS
The following items were requested to be added to the agenda:
A. Cable TV under the "Reports of Council Members''' category
B. Menard 's GradingL and Elevation Plan under the "New Business"
category
MOTION: Meyers moved, seconded by Bye, to approve the agenda as amended and
published. Motion carried unanimously.
II . MINUTES OF THE CITY COUNCIL MEETING HELD TUESDAY, NOVEMBER 21, 1978
Pg. 2, 4th para. , last line, strike "inhouse" and insert in lieu thereof
"at Hustad's offices" .
Pg. 3, 1st para. , 3rd line, strike "waste" and insert in lieu thereof "wastes" .
Pg. 6, item VII . A. , 2nd para. , 2nd line, strike "granting preliminary approval
MOTION: Bye moved, seconded by Meyers, to approve the minutes of the November 21,
1978 Council meeting as amended and published. Motion carried unanimously.
III . CONSENT CALENDAR 1
A. Clerk 's License List
B. Set Public Hearing for removal of diseased trees on private property for f '
February 6, 1979
q
C. Set Public Hearing for Round Lake Estates for February 6,, 1979
MOTION: Meyers moved, seconded by Bye, to approve items A - C on the Consent
Calendar. Motion carried unanimously.
Counzi 1 Minutes - 2 - Tues . , December 19, 1978
IV. PUBLIC HEARINGS
A. Bluff' s West 2nd Addition by Hustad Development Corporation, Dr. & Mrs . Brandt,
and B.F. I . Request for rezoning from ,Rural to R1-13.5 on 97 acres Resolution
No. 78-154 and Ordinance No. 78-41 )' Continued Public Hearing from December 5,
1978.
Mayor Penzel referred to communication from Richard Putnam, Hustad Development
Corporation, requesting the Bluff' s West 2nd Addition Public Hearing to be
continued to permit resolution of the park and overall development plan question.
MOTION: Meyers moved, seconded by Bye, to continue the Bluff's West 2nd
Addition Public Hearing to the January 16, 1979 Council meeting . Motion carried
unanimously.
B. Thrift-Way Stores, request by Mr. Salzburg to rezone 5. 409 acres from Hwy.-Comm.
and Rural to Commercial-Regional Service for a grocery store. The site is
located on the north side of West 78th Street and south of Leona Road (Ordinance
No. 78-55) Continued Public Hearing from December 19, 1978
City Manager Ulstad explained the proponent called last Thursday, December 14,
and requested that his application for consideration of rezoning be withdrawn.
Mr. Ulstad talked to the proponent again on Monday of this week, December 18,
and they did not wish to change their request.
MOTION: Meyers moved, seconded by Bye, to close the Public Hearing on the
rezoning request for Thrift-Way Stores without action due to the proponent's
request for withdrawal . Motion carried unanimously.
. 4/5 Planned Study, recommendation on reinstating pro erti es in SW, SE and
NE quadrants back into Planned Study Ordinance No. 78-57
City Manager Ulstad explained there is an affidavit on file calling for this
Public Hearing and property owners in the 4/5 quadrants have been notified of
this hearing.
G
City Planner Enger spoke to the Staff Report dated 11/16/78 and the recommendation
by the Planning Commission of December 11 , 1978, to place the areas as outlined
in the Staff Report into Planned Study for a period of one year.
MOTION: Faye moved, seconded by Meyers, to close the Public Hearing and give
a lst Reading to Ordinance No. 78-57, reinstating properties in the SW, SE and f
NE quadrants back into Planned Study. Motion carried unanimously.
V. REPORTS OF ADVISORY COMMISSIONS
A. Development Commission Report from Chairman Dean Edstrom on the Eden Prairie
Foundation
Dean Edstrom, Chairman of the Development Commission, explained the commission
has been considering the establishment of an Eden. Prairie Foundation. The purpose
of the Foundation would be to receive gifts from anyone in the community who
wished to contribute to the community.. There is some feeling if a Foundation
is established it would be somewhat easier for people to give gifts to the
community, i .e. , they don't feel that any gift would be tangled up perhaps in the
political process , might feel a Foundation would have a more objective view
to the use of gifts, and the Foundation would be in a position to use gifts of
money, property, etc. , as it deemed fit for the community.
G�
- 7�3�i�
council Minutes - 3 - Tues . ,December 19, 1978
i
A. Development Commission (continued)
Edstrom stated a number of Foundations have been set up throughout the country,
r larger ones in this area would include the Minneapolis Foundation and the St.
Paul Foundation, which are quite weil !known. Edina also has one and the City
Staff has been working with the Development Commission and have communicated
with the Edina people to see how their Foundation i s operated. The concept
is this would be a tax exempt corporation. Tax exempt status would be necessary
for the purpose of keeping the fund in tact and used completely for the benefit
of the community. There would be no minimum or maximums on the gifts that could
be made. The gifts could be made in cash or in property, however, the Foundation
Board would be in a position to refuse gifts if they felt the gift inappropriate,
uneconomical , etc. Edstrom spoke to the Development Commission minutes from
the meeting held November 15, 1978 where the Foundation was discussed in detail .
One of the questions that came up during the consideration of the Foundation
by the Development Commission was whether gifts of land by landowners or developers
might be made to the Foundation, perhaps in lieu of cash park fees or park
dedication in connection with development. Based on inquiries made, it does not seem
that would be the appropriate or possible direction for the Foundation simply
because the Internal Revenue Service would look at those gifts as, in effect, a
condition of development and consequently the developers would not achieve the
tax advantages they would hope for by making a gift. Edstrom pointed out the
recommendation of the Development Commission is that the Council at this time
authorize the City Attorney to commence drafting the Articles of Incorporation
and the Bylaws and to work again with the Development Commission to refine same,
and then bring them back to the Council for review.
General discussion took place regarding the formation of an Eden Prairie
Foundation and Mr. Edstrom answered questions of Council members .
Osterholt suggested Staff get a copies of other communities bylaws and maybe a
representative from one of the other Foundations to appear before the Council
to tell how their Foundation functions and what the values are.
MOTION: Osterholt moved, seconded by Pauly, to direct Staff to investigate
further the success of these Foundations in other communities and report back to
the City Council at the earliest opportunity. Motion carried unanimously.
VI . ORDINANCES & RESOLUTIONS
A. 2nd Reading of Ordinance No. 78-31, rezoning from Rural to RM 6.5 for
Prairie East 7th and developers agreement
Mayor Penzel explained the proponents have requested this item to be
continued to a future Council meeting as there is a wording difficulty
in the developers agreement.
Penzel requested that somewhere in the developers agreement the name
of "Windsor Development Corporation" appear.
Bye stated it would help the Council if proposals would clearly delineate
who the proponents are.
MOTION: Osterholt moved, seconded by Pauly, to continue the 2nd Reading
of Ordinance No. 78-31 and the developers agreement for Prairie East 7th
to a future Council meeting. Motion carried unanimously.
�o
-_.-- r - -
Council Minutes - 4 - Tues. ,Uecember 19, 1978
B. Resolution No. 78-228, granting preliminary approval for MIDB's for United
Properties
f
Boyd Stofer, Vice President of United Properties, spoke to their request
and outlined in detail their application for an Industrial Development Bond
Project. Mr. Stofer showed slides of other properties in Minnesota owned
by The Northland Company and properties managed by United Properties, a
division of The Northland Company, along with aerial photographs of the property
they are intending to purchase in Eden Prairie should the Council give
favorable approval to the tax exempt mortgage. The property is located just
west of the intersection of Washington Avenue and Valley View Road on an 8-acre
site in the Norseman Industrial Park, 2nd Addition, and the intended use will be
for office, warehouse and service uses . Stofer stated their reasons for approach-
ing the Council on tax exempt financing is that the project is unfeasible with
conventional financing. At this time they are looking at rates in excess of
10% and they have put an option on the property in anticipation of approval of
tax exempt financing, and the option expires the 22nd of December.
Bill Balsiger, Northland Mortgage Company, stated their intent is to sell this
tax exempt mortgage to one investor, that investor is yet unnamed. They have
talked to two investors who have shown interest in the program, those being
Metropolitan Life and New England Mutual . They cannot move forward with these
investors until they receive approval of the MIDB request from the City Council .
MOTION: Bye moved, seconded by Meyers, to adopt Resolution No. 78-228, granting
preliminary approval for Municipal Industrial Development Bonds for United
Properties . Motion carried unanimously.
' 2nd Reading of Ordinance No. 78-46 licensin n• 9 licensing and d regulating the use and sale of
intoxicating liquor
MOTION: Osterholt moved, seconded by Pauly, to approve the 2nd Reading of
Ordinance No. 78-46, licensing and regulating the use and sale of intoxicating
liquor. Motion carried unanimously.
VI I. REPORTS OF OFFICERS,L BOARDS & COMMISSIONS
A. Reports of Council members
1. Councilwoman Sidney Pauly - Resolution No. 78-332, recommending the
appointment of Edward Hjermstad to the Metropolitan Transit Commission
Councilwoman Pauly spoke to Resolution No. 78-332, and recommended
adoption of same.
MOTION: Pauly moved, seconded by Osterholt, to adopt Resolution No. 78-332,
recommending the appointment of Edward Hjermstad to the Metropolitan
Transit Commission. Motion carried unanimously.
2. Councilwoman Joan Meyers - Cable TV
Meyers spoke to the Joint Powers Commission meeting held December 6, 1978
and reported on two items from that meeting: 1) Mr. Hanks, Chairman of
the Joint Powers Commission and a Councilman from St. Louis Park, requested #
that the members point out to their City Councils that the consideration
of Cable TV doesn' t cost the City anything, and even the approval of Cable
�0 0
... ..__ z.....�.�.✓?.'" .G,� a ac s_E_. try._.:.r.� YF'
wUnc� i i%i nuies
2. Councilwoman Joan Meyers - Cable TV (continued)
TV doesn' t cost the City anything. However, there will be many people '
hours of commission work and franchise development, etc. Once the question
is addressed by the Council to gd or not to go with Cable TV, unless
we go into the area of public programming, there isn 't a cost and then it
is up to the private decision of homeowners along the wire whether or not
they want to join. Mr. Hanks urged our City Council to consider the .
question of Cable TV in each of our communities: 2) To start with that
consideration the Council should appoint a Citizens Advisory Commission
as soon as possible. Meyers urged the Council to consider the appointment
of this Commission at the 2nd Council meeting in January and explained that
anybody appointed to the Commission has to be a resident of the City.
Meyers suggested the Council include representatives from homeowners groups,
churches, senior citizens, Chamber of Commerce, and maybe the library or
friends of the library, and the School District.
B. Report of City Manager
1. Adjustment to the 1979 Budget
City Manager Ulstad spoke to his memo dated December 15, 1978.
w MOTION: Osterholt moveu, seconded by Bye, to approve the recommendation
of the City Mana er to amend the 1979 Public Safety Department Budget
by transferring ?18,750 from the unappropriated surplus of the. General
Fund to the Public Safety Department for the purpose of adding one
additional police officer. Roll Call Vote: Osterholt, Bye, Meyers,
Pauly and Penzel voted "aye" . Motion carried unanimously.
2. Federal Wage and Price Guidelines
City Manager U1 stad requested the Council 's support of the Federal
Wage and Price Guidelines as outlined in PELRA newsletter dated.
November 1 , 1978.
MOTION: Osterholt moved, seconded by Pauly, to approve the City Manager's
recommendation to support the Federal Wage and Price Guidelines . Motion
carried unanimously.
C. Report of City Attorney
No report.
D. Report of Director of Community Services
I. Park Dedication Ordinance (Ordinance No. 78-229)
l
Director of Community Services Lamberts spoke to the Y po proposed park dedication
ordinance nothing that the ordinance was before the Parks, Recreation &
Natural Resources Commission on 12/18/78 and the Commission requested
additional time to review same.
Penzel suggested the Council members make their recommendations to Mr.
Lambert as to any modifications, and in the meantime wait for the Parks,
Recreation & Natural Resources Commission to make a recommendation to
the Council .
G �
Cowic ;1 Minutes - 6 - Tues . , December 19, 1978
I . Park Dedication Ordinance (continued)
Osterholt commented if there is a thought in mind to make any increases
in the fees, there should be some, kind of a uniform adjustment or across
the board increase.
Pauly questioned if something could be put in the ordinance that land
to be dedicated be good land. Also in the tot lot recommendation something
that would be very cheap and would not have to be required, is when land is
being excavated and if there are any enormous boulders , a few of these
boulders in a park are a tremendous thing to play on.
Bye suggested input from potential developers as to their attitudes and
ideas .
Council members referred this item back to Staff.
2. Mitchell Lake Park Option
Director of Community Services Lambert spoke to his memo dated 12/15/78,
recommending that the City enter into a five-year option on the Miller
property that would allow the City to acquire warranty deeds on portions
of the property acquired through grants . Lambert commented he has talked
about this proposal with representatives from the Miller 's and they have
some concern about the interest. The option agreement talks about 6% per
annual interest, therefore the only way it could possibly be worked out
would be when the City acquires the property each year, that interest
cost would have to be added on to the price of the property. Lambert stated
he is not comfortable about having to buy land this way, but doesn't see
any other way to enter into this and try to secure grant money.
Art Miller was in attendance at the meeting represented by his legal
counsel , Dennis Moriarity and Jerome Jaspers .
Mr. Mori ari ty commented if the City buys the first parcel , the 5th year
they don' t want the City to come in and buy the 2nd parcel - it has to be
contiguous.
Council members agreed the property under consideration is a beautiful
choice piece of property for a park.
Osterholt asked that figures be provided to the Council to identify what
the City will have to pay and when they are obligated to pay.
MOTION: Meyers moved, seconded by Pauly, to direct Staff to draw up an
option agreement for the purchase of the Miller property as outlined in
memo dated 12/15/78, incorporating concerns and figures that were discussed
this' evening, and bring the matter back for Council consideration for
approval at the 1/2/79 Council meeting, or that it be brought before a
special meeting unless an extension of the option is obtained for a 30-day
period, at which time it could be presented then at a regular Council meeting.
Motion carried unanimously.
MOTION: Osterholt moved, seconded by Bye, to change the name of the park
from "Mitchell Lake Park" to "Miller Park on Mitchell Lake". Motion carried
unanimously.
7�
LuUr1C1 i i'1111�1E'b — IUL25 . ,Lck CL� —LjO- IV, I �t
E. Report of city Engineer
1 . Consider bids for public works maintenance equipment
City Engineer Jullie spoke to his memo dated December 14, 1978, and
in addition informed the Council that the Long Lake Ford Tractor Company
on the bottom of one of their proposal forms did submit a bid price
for a different modeled mower on the Ford 5600 tractor. They indicated
a deduct price of $375.00 from their base bid of $15,431 for the roadside
maintainer, which made their bid $8.00 lower than that of Valley Equipment.
Company. However, Staff still recommends the awarding of the bid to Valley
Equipment for the tractor mower because the Ford 5600 tractor did not
conform to the specifications. Jullie therefore recommended the awarding
of the contract to McQueen Equipment Company in the amount of $53,231 .00 for
the jetting machine and the eductor machine, and to Valley Equipment
Company in the amount of $15,064.00 for the tractor mower.
MOTION: Bye moved, seconded by Meyers, to award the bid to McQueen
Equipment Company in the amount of $53,231 .00 for the jetting machine
and eductor machine, and to Valley Equipment Company in the amount of
$15,064 .00 for the tractor mower as the low bid of Long Lake Ford Tractor
did not meet the specifications . Roll Call Vote: Bye, Meyers, Osterholt,
Pauly and Penzel voted "aye". Motion carried unanimously.
2. Final lat approval for Mitchell Lake Estates (Resolution No.
78-230)
MOTION: Bye moved, seconded by Meyers , to adopt Resolution No. 78-230,
approving the final plat of Mitchell Lake Estates subject 'to the
requirements of the Engineer' s Report dated December 13, 1978. Motion
carried unanimously.
3. Change Order No. 1, I .C. 51-320, Eden Road sanitary sewer contract,
Northdale Construction Company
City Engineer Jullie spoke to his memo dated December 14, 1978, and
recommended approval of Change Order 1 , I .C. 51-320 in the amount of
$3,906.30.
MOTION: Meyers moved, seconded by Pauly, to approve Change Order 1 ,
I .C. 51-320, Eden Road sanitary sewer contract, and authorize payment
of $3,906.30 to Northdale Construction Company. Roll Call Vote:
Meyers, Pauly, Bye, Osterholt and Penzel voted "aye". Motion carried
unanimously.
F. Report of Finance Director
1 . Payment of Claims Nos. 2433 - 2621
MOTION: Osterholt moved, seconded by Meyers, to approve Payment of
Claims Nos. 2433 - 2621. Roll Call Vote: Osterholt, Meyers, Bye,
Pauly and Penzel voted "aye". Motion carried unanimously.
Council Minutes - $ - Tues. ,December 19, 1978
S
2. Adjustments to the 1978 Budget (Resolution No. 78-231)
- - — i
Finance Director Frane spoke to memo dated 12/14/78 regarding adjustments
to the 1978 budget, and recommended Council adopt Resolution No. 78-231
approving the budget adjustments:
MOTION: Oste rholt moved, seconded by Pauly, to adopt Resolution No. 78-231 ,
approving the adjustments to the 1978 Budget as per memo dated December 14,
1978. Roll Call Vote: Osterholt, Pauly, Bye, Meyers and Penzel voted
"aye" . Motion carried unanimously.
VIII . NEW BUSINESS
- i
A. Menard's Grading and Elevation Plan
Dan Johnson, Suburban Engineering, displayed the concept development plan and
how grading is proposed to take place on the Menard's site.
Planning Director Enger explained that he, along with City Engineer Jullie,
received this plan today, 12/19/78, and it is what they had asked for in terms
of what Menard's had in mind. Enger believes once the grading is accomplished
it will enhance the development. The general overall grading plan is good,
once the mass grading begins to happen. Does have concern about the
prolification of the number of separate individual small commercial uses.
City Engineer Jul 1 i e commented the grading up along and close to Valley View
Road along the Ring Road alignment would be such so as to not encroach into
the road bed of Valley View Road, and there would be no tie-in of the service road
or Ring Road until such time as the City completes its project, which would
include extending the Ring Road and Valley View Road all the way over to Mitchell
Road. At that time the City would include the connection of the Ring Road,
as Menard's shows, over to the bridge and cul-de-sacing Valley View Road. To do
it now is just about impossible because of the grade separation between the
grades on Schooner Boulevard and Valley View Road.
Penzel suggested striking "concept plan" in the developer's agreement. Council
members concurred.
f
MOTION: Bye moved, seconded by Meyers, to receive the grading plan as submitted
and make it part of the file on the Menard's request for approval . Motion
carried unanimously. y
IX. ADJOURNMENT !
MOTION: Bye moved, seconded by Meyers, to adjourn the Council Meeting at 10:45 PM.
Motion carried unanimously.
7�