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HomeMy WebLinkAbout01/25/2007 CITY OF APPLE VALLEY Dakota County, Minnesota January 25, 2007 Minutes of the regular meeting of the City Council of Apple Valley, Dakota County, Minnesota, held January 25th, 2007, at 8:00 o’clock p.m., at Apple Valley Municipal Center. PRESENT: Mayor Hamann-Roland; Councilmembers Bergman, Erickson, Goodwin, and Grendahl. ABSENT: None. City staff members present were: City Administrator Lawell, City Clerk Gackstetter, City Attorney Dougherty, City Engineer Manson, Finance Director Ballenger, Police Sergeant Bermel, Associate City Planner Bodmer, Assistant City Administrator Grawe, Public Works Director Heuer, Parks and Recreation Director Johnson, Police Chief Johnson, Acting Community Development Director Lovelace, Police Captain Marben, Police Captain Rechtzigel, Police Sergeant Rutzen, Human Resources Manager Strauss, Police Officer Thelen, Crime Prevention Specialist Walter, Fire Chief Wassmund, and Recreation Supervisor Zinck. Mayor Hamann-Roland called the meeting to order at 8:00 p.m. Everyone took part in the Pledge of Allegiance to the flag. APPROVAL OF AGENDA MOTION: of Erickson, seconded by Grendahl, approving the agenda for tonight’s meeting as written. Ayes - 5 - Nays - 0. AUDIENCE Mayor Hamann-Roland asked if anyone was present to address the Council, at this time, on any item not on this meeting’s agenda. No one was present to speak. CONSENT AGENDA Mayor Hamann-Roland asked if the Council or anyone in the audience wished to pull any item from the consent agenda. Councilmember Grendahl requested items 4.D, 4.F, and 4.G.2 be placed on the regular agenda. Councilmember Grendahl requested item 4.G.1 be placed on the regular agenda. MOTION: of Grendahl, seconded by Bergman, moving items 4.D – Receive Cemetery Advisory Committee 2006 Annual Report, 4.F – Authorize SEH to Update City’s Transportation Plan, 4.G.1 – Approve Agreement with TeeMaster for Reservation System at Valleywood Golf Course, and 4.G.2 – Approve Agreement with PBBS Equipment Corporation for Aquatic Center Pool Heater Re-Conditioning/Repair, and approving all remaining items on the consent agenda. Ayes - 5 - Nays - 0. CITY OF APPLE VALLEY Dakota County, Minnesota January 25, 2007 Page 2 CONSENT AGENDA ITEMS MOTION: of Grendahl, seconded by Bergman, approving the minutes of the regular meeting of January 11, 2007, as written. Ayes - 5 - Nays - 0. Resolution No. 2007-13 MOTION: of Grendahl, seconded by Bergman, adopting accepting, with thanks, the donation of cash and prizes from various businesses toward sponsorship of the 2007 Mid-Winter Fest Celebration. Ayes - 5 - Nays - 0. Resolutions No. 2007-14 MOTION: of Grendahl, seconded by Bergman, adopting approving issuance of a lawful gambling exempt permit, by the State Gambling Control Board, to Apple Valley Sons of the American Legion, Squadron 1776, for use on February 10, 2007, and waiving any waiting period for State approval. Ayes - 5 - Nays - 0. MOTION: of Grendahl, seconded by Bergman, approving the Special Outdoor Promotion/Temporary Sign Permit for placement of signage on City property, as described in the application, in connection with the 2007 Home & Garden Expo. Ayes - 5 - Nays - 0. MOTION: of Grendahl, seconded by Bergman, approving the Collateral Assignment of Development Documents for Village at Founders Circle Founders Circle, in the amount of $10,300,000.00, as attached to the City Attorney’s memo dated January 22, 2007; and approving the Acknowledgement and Consent, also as attached to the City Attorney’s memo dated January 22, 2007, subject to final revisions as approved by the City Administrator and City Attorney, and authorizing the Mayor and City Clerk to sign the same. Ayes - 5 - Nays - 0. MOTION: of Grendahl, seconded by Bergman, approving the reduction of financial guarantees for Walgreen’s – East Valley Plaza from $16,781.25 to $4,000.00; Cobblestone Lake 3rd Addition from $163,425.00 to $15,000.00; Cobblestone Lake Egret Lodge from $160,450.00 to $20,000.00; Cobblestone Lake South Shore from $627,500.00 to $100,000.00; and Cobblestone Lake 5th Addition from $28,437.50 to $5,000.00, as listed in the Community Development Department Specialist’s memo dated January 22, 2007. Ayes - 5 - Nays - 0. MOTION: of Grendahl, seconded by Bergman, tabling consideration of a resolution approving a Conditional Use Permit for All Stars Montessori Daycare, located on the northwest corner of Glenda Drive and 145th Street W., until February 8, 2007, as requested by the petitioner. Ayes - 5 - Nays - 0. CITY OF APPLE VALLEY Dakota County, Minnesota January 25, 2007 Page 3 MOTION: of Grendahl, seconded by Bergman, tabling consideration of a resolution approving site plan/building permit authorization for All Stars Montessori Daycare, located on the northwest corner of Glenda Drive and 145th Street W., until February 8, 2007, as requested by the petitioner. Ayes - 5 - Nays - 0. MOTION: of Grendahl, seconded by Bergman, approving Change Order No. 1 to the contract with Keys Well Drilling Company, for Project 06-338, Well Pump No. 4, 13, 16 & LZP1 Maintenance, in the amount of $36,425.00. Ayes - 5 - Nays - 0. MOTION: of Grendahl, seconded by Bergman, approving Change Order No. 1 to the contract with Matrix Communications, Inc., for City Wide Telephone System Project, in the amount $5,422.00. Ayes - 5 - Nays - 0. MOTION: of Grendahl, seconded by Bergman, approving the hiring, termination, and resignation of employees as listed in the Personnel Report dated January 25, 2007. Ayes - 5 - Nays - 0. END OF CONSENT AGENDA INTRODUCTION OF NEW POLICE OFFICER SCHYMA Police Captain Marben introduced newly hired Police Officer Daniel Schyma to the Council. The City Clerk administered the oath of office to Officer Schyma. Police Chief Johnson then presented him with his badge. The Council congratulated Officer Schyma and welcomed him to his new position. MID-WINTER FEST 2007 Mr. Randy Johnson and Mr. Jim Zinck reviewed activities planned for this year’s Mid-Winter Fest celebration. New this year are the Mid-Winter Fest mural, the baton twirling demonstration, the chili cook-off, a 4 on 4 hockey tournament, and a GPS event. Activities are scheduled at Hayes Park, Apple Valley Community Center, the Senior Center, and Valleywood Golf Course. Buttons are required for admission to the events on February 10 and 11, 2007, and are for sale at various locations for $1.00. This year’s button was designed by Matt Hintz,a senior at Apple Valley High School. Senior Volunteers of the Year Dick and Carol Geiger will be recognized as part of the activities. Mr. Johnson also thanked the members of the business community who support this event. Resolution No. 2007-15 MOTION: of Erickson, seconded by Goodwin, adopting proclaiming February 10 and 11, 2007, as “Apple Valley Mid-Winter Fest 2007” and encouraging citizens to support and participate in the celebration. Ayes - 5 - Nays - 0. CITY OF APPLE VALLEY Dakota County, Minnesota January 25, 2007 Page 4 PUBLIC ACCESS DEFIBRILLATOR UPDATE AND NATIONAL WEAR RED DAY Sergeant JoEllen Rutzen said in 2001 efforts began to introduce the Apple Valley business community to public access defibrillators. The Police Department, American Heart Association, ALF Ambulance, and Fire Department formed a group which is now known as the Apple Valley Cardiac Emergency Partnership. Largely due to the efforts of this partnership, there are currently 16 public access defibrillators located in Apple Valley businesses, and 36 units located throughout Independent School District 196. Meetings are held annually to promote and educate the business community on this important effort. She then introduced Ms. Barb DuCharme, Marketing Director with the American Heart Association. Ms. Barb DuCharme commented on the National Wear Red campaign sponsored by the American Heart Association designed to help increase women's awareness of heart health. Heart disease is the leading killer of women. In order to bring attention to the cause, women and men are encouraged to wear red on February 2, 2007. Ms. DuCharme read the “National Wear Red Day” proclamation. MOTION: of Grendahl, seconded by Erickson, proclaiming February 2, 2007 as “National Wear Red Day” in Apple Valley. Ayes - 5 - Nays - 0. CRIME FREE MULTI-HOUSING PROGRAM CERTIFICATION Sergeant Bermel, Crime Prevention Specialist Walter, and Multi-Housing Officer Thelen presented Mr. David Boysen, Manager of the Palomino East Apartments with a plaque awarding certification in the Crime Free Multi-Housing Program. The Crime Free Multi-Housing Program is a national program consisting of three phases: manager training, a security survey of the property, and a tenant meeting. The Palomino East Apartments, located at 12555 Pennock Avenue, is the only fully certified complex in Apple Valley to date. They commended Mr. Boysen for their partnership in public safety. The Council congratulated Palomino East Apartments for their leadership and commitment to this program. Councilmember Erickson asked if other complexes are progressing towards certification. Ms. Walter said there are approximately 30 applicable properties in Apple Valley. Approximately one-third of them have completed Phase I. Three have had the security survey completed, which is required for Phase II. Efforts will continue this year to help additional multi-housing complexes become fully certified. Mr. David Boysen said he and the property owners are proud of this accomplishment. They want their residents and neighbors to know they are committed to a safe and crime-free complex. CITY OF APPLE VALLEY Dakota County, Minnesota January 25, 2007 Page 5 Councilmember Bergman asked staff to provide the Council with information on this program. He also asked about recertification. Ms. Walter said in order to stay certified, the complex must undergo an annual inspection and hold an annual resident meeting. The resident meeting is typically held on National Night Out. MOTION: of Erickson, seconded by Grendahl, approving the full certification of the Crime Free Multi-Housing Program by Palomino East Apartments, located at 12555 Pennock Avenue. Ayes - 5 - Nays - 0. BGH ESTATES Ms. Bodmer reviewed the request by BGH Properties to subdivide the Cedar Brook Market property located at 12503 Germane Avenue, to allow the construction of a two-unit townhome. This item came before the Council on November 21, 2006. At that time, the Council authorized submittal of the Comprehensive Plan Amendment from “C” (Commercial) to “MD” (Medium Density Residential 6-12 units/acre) to the Metropolitan Council for its review and approval. The Metropolitan Council’s reply indicates the amendment meets their guidelines and the City may put the amendment into effect. In order to proceed, the following actions are needed: approval of the Comprehensive Plan Amendment and rezoning of the southern portion of the property, approval of a preliminary plat subdividing the property into three parcels, site plan review and building permit authorization for construction of the townhome, a 15-foot setback variance from the convenience store parking lot to the new property line, and a 5-foot setback variance from the townhome to the north property line. Ms. Bodmer said the current lot is 30,800 square feet. It would be split into three lots with the convenience store located on Lot 3, with a lot size of 19,143 square feet. The townhome would share the remaining 11,657 square feet. In order to meet the density requirement for rezoning Lots 1 and 2, the petitioner will add two density bonus items: upgraded sound proofing and private outdoor space. Ms. Bodmer said the two main issues brought forth at the November 21, 2006, Council meeting were the screening or buffering between the two lots and the loss of commercial property. With regard to the screening of the two lots, there are no changes in the landscaping plan. The petitioner intends to plant techny arborvitae, as recommended by the Natural Resources Coordinator. They will be spaced 5 feet on center and reach maturity at approximately 15 feet. She said the petitioner pointed out that the convenience store is not a 24-hour operation, which also helps offset negative impacts and the need for screening. There is not a free standing light pole in the parking lot. All lighting comes from under the sign canopy and the building. Ms. Bodmer noted the property is zoned “RB” (Retail Business) which means a review is not required if the convenience store owner decided to stay open 24 hours a day. However, because of the low traffic counts in this area, it is unlikely the store would operate 24 hours a day. CITY OF APPLE VALLEY Dakota County, Minnesota January 25, 2007 Page 6 Ms. Bodmer then addressed the issue regarding the loss of commercial property. She said the property is approximately three-quarters of an acre, or 30,800 square feet. The minimum area for a retail business lot is 15,000 square feet. Two 15,000 square foot commercial lots could be created but the lot line would run through the existing parking lot. The petitioner argues it is not feasible to expand the existing store and there is not enough traffic to support a new business which could fit on this lot. The Average Daily Traffic (ADT) on Germane Avenue is approximately 2,000 trips per day. Ms. Bodmer reviewed traffic counts near other retail areas. Those sites abut two roads and have significantly higher traffic counts on both roads. The store on Garden View Drive has an ADT of 4,300 on Garden View Drive and 28,800 on County Road 42. The store on Galaxie Avenue has an ADT of 16,600 on Galaxie Avenue and 19,400 on 140th Street W. Ms. Bodmer clarified the Comprehensive Plan Amendment requires a super majority or 4/5 vote. The other items only require a simple majority or 3/5 vote. She said the Planning Commission voted unanimously to recommend approval of the project. Councilmember Bergman asked how the lighting of the canopy and building might impact the residential property. Ms. Bodmer said a light study was not done but could be required as a condition of the building permit. City Code requires a maximum of .5 foot candles at the property line. Councilmember Goodwin said he is very familiar with the area and believes the petitioner would have presented a commercial use if it was feasible. Considering the lot is surrounded by townhomes and traffic counts in this area are low, a townhome is a reasonable request. Councilmember Erickson said this situation is unique in that the commercial use precedes the residential use. Usually the concern is from residential property owners who learn a commercial business is moving in next door. The Council works to shield these homeowners from the commercial use. Anyone moving into the townhome will know they are located next to a convenience store. Councilmember Goodwin commented that the proposed townhome is no closer than an existing townhome structure to the west of this property. Mayor Hamann-Roland stated the owners of the property are business persons who wanted a secondary business on this site. However, it may not be feasible, and this may be their best option. Mr. Michael Falk, of McDonald Construction, Inc., said the plan presented this evening was a business decision derived from various facts including the size of the lot, the traffic counts, the existing neighborhood business, the current zoning district, and the neighborhood context. He said Bruce and Gigi Helmbolt, the property owners, are on-site managers and are very CITY OF APPLE VALLEY Dakota County, Minnesota January 25, 2007 Page 7 hardworking. The townhome units will be rented initially, but will be platted so they may be sold in the future. Mayor Hamann-Roland commented that the owners of this property also operate a store on Garden View Drive, and she wants to support Apple Valley businesses. Mr. Bruce Helmbolt said commercial property is worth more than residential property. They struggled with rezoning the property from a monetary standpoint. However, after exploring a variety of commercial options for the site including a mini storage facility and car wash, they determined the townhome was the best option. Other options were eliminated based on the size of the lot, its location, the traffic counts, the current zoning, and the economics of the neighborhood. Mayor Hamann-Roland said it was important to hear that the owners tried to find commercial options for this site but concluded they were not feasible. She said she respects Mr. and Mrs. Helmbolt’s rights as property owners. Resolution No. 2007-16 MOTION: of Goodwin, seconded by Erickson, adopting approving the Comprehensive Plan Amendment from “C” (Commercial) to “MD” (Medium Density Residential at 6-12 units/acre) on the southern portion of the property located at 12503 Germane Avenue. Ayes - 3 - Nays - 2 (Bergman, Grendahl). Mr. Dougherty recommended the Council direct the Findings of Fact for the denial. MOTION: of Grendahl, seconded by Bergman, directing staff to prepare Finding of Fact, for consideration on February 8, 2007, to deny BGH Properties, LLC, the Comprehensive Plan Amendment from “C” (Commercial) to “MD” (Medium Density Residential at 6-12 units/acre on the southern portion of the property located at 12503 Germane Avenue. Councilmember Erickson asked if the message the City is sending is that this property cannot be used for anything but retail business. Ms. Bodmer stated this district has a provision which would allow residential above a commercial use with a Conditional Use Permit, but she did not believe it was feasible in this case. Councilmember Erickson asked if the City may be putting the property owner in a situation where it is impossible to develop the remainder of his property. He asked how the property would be zoned. Mr. Dougherty said the current zoning would stand. CITY OF APPLE VALLEY Dakota County, Minnesota January 25, 2007 Page 8 Councilmember Goodwin stated directing the Findings of Fact is a routine procedure and the Council can vote on it either way. Mr. Dougherty explained that directing the Findings of Fact allows the Council to bring this item back in order to make a determination as to whether or not it approves the Comprehensive Plan Amendment based on the findings. Councilmember Goodwin said he intends to vote against the Findings of Fact. It is important to know the property. This is a very small piece of property located next to a convenience store in a high density area consisting of manufactured homes, apartment buildings, and townhomes. By denying this use, the property owners may not be able to utilize a portion of their property, and it is unfair to the people who own it. Councilmember Bergman stated he has been by the property a number of times. He asked what might happen if owners of other little pieces of commercial property try to rezone their property residential. He further stated he believes some type of commercial use will come about. Councilmember Erickson said that if a property owner in a residential neighborhood wanted to tear down his house and put up a commercial building, there would be an outcry from the neighborhood saying they do not want commercial in their neighborhood. In this case, the petitioner wants to make a residential lot in a residential neighborhood and the Council says no. He said he believes the neighborhood would be happy with this proposal. Councilmember Grendahl said she has received several emails and letters from residents asking the Council to maintain the current zoning on this property. Councilmember Erickson indicated he has seen one letter and asked to see additional letters if they have been submitted. Councilmember Goodwin and Mayor Hamann-Roland said they also believe only one letter has been submitted asking the Council to deny the request. Councilmember Goodwin said it is a reasonable request for a difficult piece of property. The street is a dead end and traffic counts are extremely low. The property owner is a business man who would prefer a commercial use but is unable to proceed due to traffic counts and the neighborhood. Councilmember Goodwin further said it is unreasonable to deny the request because a commercial use may come up later. By denying this use, the Council is essentially saying the owner has a nice green space next to his store and that is the way it is going to stay. CITY OF APPLE VALLEY Dakota County, Minnesota January 25, 2007 Page 9 Ms. Bodmer again reviewed the traffic counts for this and other locations. She noted this site does not have northbound freeway access nor does it have visibility from Cedar Avenue. Mayor Hamann-Roland said the petitioner is trying to stay afloat, and it is important for this business owner to want to stay in Apple Valley. She recalls having received letters from residents indicating they do not want to lose their neighborhood convenience store. This store serves a need in this area. She said she wants to help the owner stay viable. As a result, she is not in support of the Findings of Fact. Councilmember Bergman asked how the size of this lot compared to other commercial lots in the City. Ms. Bodmer said she could research that information and get back to the Council. Councilmember Erickson questioned what would happen if the vote on the Findings of Fact failed. Mr. Dougherty said the City is required to provide written notice to the applicant of the Council’s decision. If the vote on the Finding of Fact fails, the City will be left to present the minutes of the meeting as the justification for the decision. As a result, the minutes should reflect the rationale as to why the item was not approved. Ms. Bodmer asked if the decision on the Comprehensive Plan Amendment is denied tonight or after approving the Findings of Fact. Mr. Dougherty said it is denied tonight if the Findings of Fact are not ordered. Vote was taken on the motion: Ayes - 3 - Nays - 2 (Goodwin and Hamann- Roland). Mr. Dougherty clarified the process for reviewing and voting on the Findings of Fact. Ms. Bodmer noted review and approval of the Findings of Fact would not be necessary if the petitioner withdraws his request. Councilmember Grendahl asked if comments from the November 21, 2006, Council meeting will be included in the Findings. Mr. Dougherty said yes. Mayor Hamann-Roland asked staff to work with the petitioner to find the most effective way to proceed. CITY OF APPLE VALLEY Dakota County, Minnesota January 25, 2007 Page 10 2006 CEMETERY ADVISORY COMMITTEE REPORT Mr. Heuer said the Cemetery Advisory Committee is required to submit an annual report to the Council by March 31 each year. He reviewed the 2006 Cemetery Report approved by the Cemetery Advisory Committee which details various activities and accomplishments. Councilmember Grendahl said in the past the Council has voiced concern over the ratio of resident versus non-residential sales. She is happy to see a greater separation of residential sales in 2006. She asked if staff could explain the closer ratio as related to columbarium niche sales. Mr. Heuer said he does not have an explanation. Both columbarium niches and lots cost non- residents twice as much as a resident. Councilmember Grendahl asked if non-residents find those rates to be of value. Mr. Heuer said non-residents have made fewer purchases since the non-resident rate increased to twice that of a resident. He noted there are fewer columbarium niche sales than traditional or cremation lot sales. The columbarium itself does not use much space and the original cemetery plans show a total of 16 columbaria. He said he believes the cemetery can accommodate both resident and non-resident niche sales. Mayor Hamann-Roland noted total sales depict a three to one ration of resident versus non- resident sales. MOTION: of Grendahl, seconded by Erickson, receiving the Cemetery Advisory Committee’s 2006 annual report. Ayes - 5 - Nays - 0. UPDATE OF TRANSPORTATION PLAN Councilmember Grendahl said the proposed contract with SEH for the Transportation Plan update is a significant dollar amount. Staff obviously determined SEH is the best qualified consultant for this job. She asked staff to explain their reasoning so that she can be comfortable knowing the City is getting the best bang for its buck. Mr. Heuer said the Transportation Plan update is a required component of the Comprehensive Plan, which must be submitted to the Metropolitan Council in 2008. The Plan will include both pedestrian and vehicle transportation and must be updated to standards and requirements of the Metropolitan Council, the Minnesota Department of Transportation, and Dakota County. SEH has worked closely with the City for a number a years as well as the Minnesota Department of Transportation, Dakota County, and other agencies. Staff is very comfortable SEH is the best qualified consultant to update the City’s Transportation Plan. CITY OF APPLE VALLEY Dakota County, Minnesota January 25, 2007 Page 11 Mayor Hamann-Roland noted SEH is also the consultant on the Cedar Avenue Corridor Study. Mayor Hamann-Roland asked if it is likely that another consultant’s fee would be higher because they are unfamiliar with Apple Valley and would need to get up to speed. Mr. Heuer said he would anticipate quotes from other consultants would be higher. Bonestroo, Rosene, Anderlik & Associates would likely be the next closest competitor. Councilmember Grendahl said she understands consistency but is worried about monopolies. She questioned how staff came up with the amount of $50,000 and asked to see the consultant’s hourly rates. She further asked if staff has checked to see what other cities are paying for their transportation plan updates. She wants assurance that it could not be done for less. Mr. Heuer said the Pilot Knob Road study is being done by another consultant. It involves the corridor south of County Road 42 to 185th Street. The original quote for this limited area was $50,000, and the costs are going well beyond that. Mr. Heuer further said the quote from SEH is an estimate for the entire cost of the project except for meetings with the City Council, Planning Commission, Metropolitan Council, and other task forces. Councilmember Goodwin noted SEH is known throughout this area for their expertise in transportation. However, it may be helpful to check with other cities to see what they are doing and to compare costs with other consultants. Councilmember Erickson pointed out that SEH provided the quote of $50,000 based on the estimated services. In addition, their proposal includes a Work Program which lists eight items justifying their proposal. He asked how specialized the traffic engineering market is and how many firms might compete for this type of traffic contract. Mr. Heuer said there are probably four or five firms who would submit a proposal. MOTION: of Bergman, seconded by Grendahl, tabling consideration regarding authorizing SEH to update the City’s Transportation Plan until February 8, 2007, to provide staff time to get cost comparisons from other cities as well as hourly rates from the consultant. Ayes - 5 - Nays - 0. VALLEYWOOD RESERVATIONS SYSTEM Councilmember Bergman asked if Valleywood’s rates are up or down from the previous year. Mr. Johnson said the fees are up less than 2 percent from 2006. CITY OF APPLE VALLEY Dakota County, Minnesota January 25, 2007 Page 12 Councilmember Bergman questioned whether TeeMaster provides the best value for the services received. He asked if it would not be better having a current employee answer phones and book tee times. Mr. Johnson said he believes TeeMaster is a valuable service for three reasons. First, the annual contract amount with TeeMaster is $13,496. For that fee, TeeMaster sets up reservations through the internet. Mr. Johnson said that in discussions with the City’s IT Manager, he learned setting up a similar service on the City’s internet would cost over $50,000, and would require hiring an additional employee to operate and maintain it. Second, TeeMaster takes all reservation phone calls made to Valleywood. Without this service, the golf course would need to hire another employee to answer the phone and book tee times. This saves the City approximately eight or nine dollars an hour over the course of the summer. Third, TeeMaster requires all golfers to set up a credit card account which guarantees play and reduces no shows. Prior to utilizing this service, the golf course would experience several hundred dollars of no shows every week. Mr. Johnson said staff analyzed the services very closely and is confident the City is getting a very good value for its money. Councilmember Erickson asked if TeeMaster provides reservation services 24-7. Mr. Johnson said yes. Councilmember Bergman asked if TeeMaster receives rounds of golf for resale at a wholesale rate as listed under number 6 of Exhibit B to the Agreement. Mr. Johnson said the City does not participate in that option. Councilmember Bergman stated 24 new members are listed on TeeMaster’s home page. With all the golf courses listed on the site, he questioned if golfers are comparing fees. Of the sites he compared, Valleywood’s weekday rate is fairly comparable; however, the weekend rate is approximately $4.00 a round higher. He asked if staff is keeping an eye on competitor rates. He does not want Valleywood priced out of the competition. Considering Valleywood’s financial situation, he wants more rounds of golf played on the course. Councilmember Erickson asked about weekend utilization. Mr. Zinck said weekends are definitely busier than weekdays. Valleywood runs close to 100 percent capacity up until noon. From noon to 4:00 p.m., it is typically 40 to 50 percent booked. Councilmember Goodwin said he likes that TeeMaster’s system guarantees credit card payment for no shows, and believes that item alone justifies the fee. CITY OF APPLE VALLEY Dakota County, Minnesota January 25, 2007 Page 13 Mayor Hamann-Roland said the Council recently talked about reducing its risk for uncollectible debt from bad checks at another enterprise operation. The credit card payment required by TeeMaster eliminates that risk. Councilmember Goodwin said the Council should discuss Valleywood Golf Course’s rates if it believes they are out of line, but they do not have anything to do with the reservations agreement with TeeMaster. Councilmember Grendahl said she doesn’t have any problem with TeeMaster, but as long as Council is discussing the golf course, she wondered if staff is responding to the letter from the State Auditor about the enterprise fund loosing money. Mr. Johnson said staff is currently working on a response, and a draft should be ready in about a week. MOTION: of Grendahl, seconded by Bergman, approving an Agreement for promotional and reservation services for Valleywood Golf Course with TeeMaster Corporation, in the amount of $13,496.00, annually, for 2007, 2008, and 2009, and authorizing the Mayor and City Clerk to sign the same. Councilmember Bergman asked staff to schedule a review of golf course fees at an upcoming work session. Mr. Johnson said the Parks and Recreation Advisory Committee reviewed the 2007 rates in November and the City Council approved them in December. He can still bring them to a work session for further review. Councilmember Goodwin recommended leaving the 2007 rates alone since they were already approved and further recommended reviewing the proposed 2008 rates sometime this fall. Vote was taken on the motion: Ayes - 5 - Nays - 0. AQUATIC CENTER POOL HEATER RECONDITIONING Councilmember Grendahl asked where the City advertised for the reconditioning and repair of the Aquatic Center pool heater. Ms. Gackstetter clarified that an advertisement was not required because the estimated cost of the project was not $50,000 or more. Mr. Johnson said request for quotes were sent to half a dozen local vendors. CITY OF APPLE VALLEY Dakota County, Minnesota January 25, 2007 Page 14 Councilmember Grendahl asked if that list is included in the packet. Mr. Johnson said it is not included but he can provide the list to the Council. Councilmember Grendahl said the agreement and the specifications reference the bonding required for the project, and yet the contractor indicates in their letter they were unsure if bonding was required. Mr. Johnson said the contractor will be required to provide the necessary bonds. He also said the piece of equipment is unique. PBBS Equipment Corporation may be the only qualified agent in Minnesota to perform this work. The City has contracted with them to repair the pool heater in the past. Councilmember Grendahl said she has concerns about going back to the same people time after time without verification they are providing the best value. MOTION: of Bergman, seconded by Goodwin, approving the Agreement for Apple Valley Family Aquatic Center Pool Heater Re-Conditioning/Repair with PBBS Equipment Corporation, in the amount of $24,353.00, and authorizing the Mayor and City Clerk to sign the same. Ayes - 4 - Nays - 1 (Grendahl). COUNCIL COMMUNICATIONS Mayor Hamann-Roland invited the public to attend the Cedar Avenue Transitway Open House on February 13, 2007, from 3:30 to 6:30 p.m., at the Dakota County Western Service Center, to learn about the various scenarios being considered and provide input. A panel will discuss the same topic at the Chamber Luncheon on February 14, 2007. CALENDAR OF UPCOMING EVENTS MOTION: of Bergman, seconded by Grendahl, approving the calendar of upcoming events as included in the City Clerk’s memo dated January 22, 2007, and noting that each event listed is hereby deemed a Special Meeting of the City Council. Ayes - 5 - Nays - 0. CLAIMS AND BILLS MOTION: of Goodwin, seconded by Bergman, to pay the claims and bills, check registers dated January 17, 2007, in the amount of $4,237,695.23; and January 24, 2007, in the amount of $1,269,439.84. Ayes - 5 - Nays - 0. CLOSE MEETING - ATTORNEY-CLIENT PRIVILEGE CITY OF APPLE VALLEY Dakota County, Minnesota January 25, 2007 Page 15 Mr. Dougherty asked the City Council to convene in a closed session, under the provisions of M.S. 471.705, to discuss the Farquar and Long Lakes litigation. MOTION: of Erickson, seconded by Grendahl, to close the regular meeting and convene in closed session to discuss Farquar and Long Lakes litigation with the City Attorney. Ayes - 5 - Nays - 0. The meeting was closed at 9:40 p.m. and the Mayor and all Councilmembers convened in the Regent Conference Room, at 9:45 p.m., along with City Attorney Dougherty, City Administrator Lawell, City Clerk Gackstetter, and Public Works Director Heuer. Mr. Dougherty advised the Council that its discussion must be limited to matters for which the meeting was closed and if issues are discussed outside of this meeting the attorney-client privilege will be lost. Mr. Dougherty then discussed the Farquar and Long Lakes litigation with the Council. The Council reconvened in open session at 10:05 p.m. MOTION: of Grendahl, seconded by Bergman, to adjourn. Ayes - 5 - Nays - 0. The meeting was adjourned at 10:06 o’clock p.m.