HomeMy WebLinkAbout02/11/1988CITY OF APPLE VALLEY
Dakota County, Minnesota
February 11, 1988
Minutes of the regular meeting of the City Council of Apple Valley, Dakota County,
Minnesota, held February 11th, 1988, at 8:00 o'clock p.m. at City Hall.
PRESENT: Mayor Branning; Councilmembers Goodwin, Holton, Humphrey and Savanick.
ABSENT: None.
City staff members present were: City Administrator Melena, City Clerk Mueller, City
Attorney Sheldon, City Engineer Gordon, Public Works Director Gretz, Personnel Director
Boland, City Planner Kelley, Assistant Administrator Lawell and Police Chief Rivers.
Mayor Branning called the meeting to order at 8:00 p.m. The Councilmembers and everyone
in attendance took part in the pledge of allegiance to the flag.
MOTION: of Goodwin, seconded by Holton, approving the agenda Nor
tonight's meeting as amended. Ayes - 5 - Nays - 0.
APPROVE AGENDA
JAN. 28, 1988
MINUTES
AUDIENCE DISCN.
CONSENT AGENDA
RES. 1988-18
CONFIRM TUTHILL
FIRE CHIEF
RES. 1988-19
ASSESSMENT
DIVISIONS
RENEW LEGION
GAMBLING LICENSE
ZOO TEMPORARY
LIQUOR LICENSE
MOTION: of Goodwin, seconded by Holton, approving the minutes of the
regular meeting of January 28th, 1988, as written. Ayes - 4
- Nays - 0 (Branning Abstained).
Mayor Branning asked if any one was present to address the Council at
this time on any item not on this meeting's agenda. There was no one
present to speak.
MOTION: of Holton, seconded by Humphrey, approving all items on the
consent agenda with no exceptions. Ayes ~ 5 - Nays - 0.
CONSENT AGENDA ITEMS
MOTION: of Holton, seconded by Humphrey, adopting Resolution No.
1988-18 confirming the election of Richard D. Tuthill as
Chief of the Apple Valley Fire Department for a three-year
term beginning February 1, 1988. Ayes - 5 - Nays - 0.
MOTION of Holton, seconded by Humphrey, adopting Resolution No.
1988-19 approving special assessment divisions numbered:
17474, Morningview 4th Addition; 17481, Valley Meadows; 17482
Apple Valley Business Center; 17484, Southport 4th Addition;
and 17485, Pinecrest Townhomes. Ayes - 5 - Nays ~ Oo
MOTION of Holton, seconded by Humphrey, approving renewal of a State
Charitable Gambling License for Apple Valley American Legion
Post 1776. Ayes - 5 - Nays - O.
MOTION of Holton, seconded by Humphrey, approving issuance of a
temporary on-sale liquor license by the Minnesota Liquor
Control Director for the Minnesota Zoological Garden for use
on March 19, 1988. Ayes - 5 - Nays - 0.
CITY OF APPLE VALLEY
Dakota County, Minnesota
February 11, 1988
Page 2
MOTION: of Holton, seconded by Humphrey, adopting Resolution No.
1988-20 approving a revised policy regarding tax increment
financing usage and review criteria as attached to the
resolution. Ayes - 5 - Nays - 0.
MOTION of Holton, seconded by Humphrey, approving a contract with
the Dakota County Soil and Water Conservation District for
environmental review of planned subdivisions in the City and
authorizing the Mayor and Clerk to sign the same. Ayes - 5
Nays - 0.
MOTION of Holton, seconded by Humphrey, approving an agreement with
Short-Elliott-Hendrickson, Inc., for a traffic study of the
138th Street and Pennock Avenue area at a fee not to'exceed
$3,500.00 and authorizing the Mayor and Clerk to sign the
same. Ayes - 5 - Nays - O.
MOTION of Holton, seconded by Humphrey, approving an agreement with
Albert and Janet Noff for a storm sewer easement at Diamond
Path and Farquar Lake and authorizing payment of $11,000.00
for the easement. Ayes - 5 - Nays - O.
MOTION of Holton, seconded by Humphrey, adopting Resolution No.
1988-21 prohibiting parking on Johnny Cake Ridge Road within
the corporate limits of the City. Ayes - 5 - Nays - O.
MOTION of Holton, seconded by Humphrey, granting a frontyard setback
variance at 13654 Dunbar Way (Lot 1, Block 2, Oaks of Apple
Valley III 2nd Addition) to allow construction of a house to
within 20 feet of the front lot line as recommended by the
Planning Commission. Ayes - 5 - Nays - 0.
MOTION of Holton, seconded by Humphrey, granting a variance to
height restrictions for a fence at 14405 Garrett Avenue (Lot
10, Block 4, Scott Highlands 4th Addition) allowing it to
extend seven feet into the frontyard setback as recommended
by the Planning Commission. Ayes - 5 - Nays - 0.
MOTION of Holton, seconded by Humphrey, adopting Resolution No.
1988-22 granting a special use permit to "Bob's Plants to Go"
for a temporary garden store and two signs at Menard's from
April 1 through July 1, 1988. Ayes - 5 - Nays - 0.
MOTION of Holton, seconded by Humphrey, approving reduction of
subdivision financial guarantees for: Apple Ponds from
$611,200.00 to $499,187.74; Briar Oaks from $419,000.00 to
$99,000.00; and Summerfield 2nd from $279,500.00 to
$149,500.00~ Ayes - 5 - Nays - O.
RES. 1988-20
TAX INCREMENT
FINANCING POLICY
SOIL & WATER
ENVIRONMENTAL
REVIEW CONTRACT
138TH & PENNOCK
TRAFFIC STUDY
AGREEMENT
HOFF EASEMENT
AGREEMENT
RES. 1988-21
NO PARKING
ON JOHNNY CAKE
SETBACK VARIANCE
13654 DUNBAR WAY
FENCE VARIANCE
14405 GARRETT
RES. 1988-22
SPECIAL USE
GARDEN STORE
SUBDIVISION
GUARANTEE
REDUCTIONS
CITY OF APPLE VALLEY
Dakota County, Minnesota
February 11, 1988
Page 3
MOTION: of Holton, seconded by Humphrey, adopting Resolution No.
1988-23 denying the preliminary plat of Heritage Hills 8th
Addition, as recommended by the Planning Commission, because
it is inconsistent with the City's and County's thoroughfare
plans and does not provide for dedication of County Road 38
right-of-way. Ayes - 5 - Nays - O.
RES. 1988-23
DENY HERITAGE
HILLS 8TH PLAT
PREPARE REPORT
DEEP WELL 12
RES. 1988-24
SET HEARING
PROJ. 88-287
RES. 1988-25
SET HEARING
PROJ. 88-289
RES. 1988-26
TUITION REIMB.
PROGRAM
HIRE ADEN
BLDG. INSPECTOR
MOTION: of Holton, seconded by Humphrey, directing the Engineer to
prepare a preliminary feasibility report for construction of
Deep Well No. 12. Ayes - 5 - Nays - O.
MOTION: of Holton, seconded by Humphrey, adopting Resolution No.
1988-24 receiving the preliminary engineering report for
Project 88-287, Georgia Drive Construction, and setting a
public hearing on it at 8:00 p.m. on March 10, 1988. Ayes -
5 - Nays - 0.
MOTION: of Holton, seconded by Humphrey, adopting Resolution No.
1988-25 receiving the preliminary engineering report for
Project 88-289, Carrollton Estates 4th Addition Improvements,
and setting a public hearing on it at 8:00 p.m. on March 10,
1988. Ayes - 5 - Nays - 0.
MOTION: of Holton, seconded by Humphrey, adopting Resolution No.
1988-26 establishing a tuition reimbursement program for
employees and outlining procedures for its implementation.
Ayes - 5 - Nays - 0.
MOTION: of Holton, seconded by Humphrey, approving hiring Ernest G.
Aden, Jr., for the fulltime position of Building Inspector
effective February 29, 1988, at a starting hourly salary of
$13.00. Ayes - 5 - Nays - 0.
END OF CONSENT AGENDA
Mr. Melena reviewed his memo dated February 8, 1988, concerning tax PUBLIC HEARING
increment financing for Apple Valley Theaters, Inc. The proposal A.V. THEATER
provides for eight years of increment at $50,000 per year and is T.I. FINANCING
secured by a note. It is structured under a "pay-as-you-go" plan and
should taxes not generate $50,000 per year, the annual assistance would be decreased.
The $50,000 represents 75 percent of the increment available. The developers have also
provided adequate evidence they could not obtain financing without the assistance.
Mayor Branning called the public hearing on the proposal to order at 8:10 p.m. and noted
receipt of the affidavit of publication of the hearing notice. Alan Felkner said he is
a member of the Planning Commission, but was speaking for himself. He questioned
whether this is the type of project on which tax increment financing should be used.
The three issues to be addressed were is it desirable, does it provide employment and
does it increase tax base. It is desirable, but so is a restaurant and such financing
CITY OF APPLE VALLEY
Dakota County, Minnesota
February 11, 1988
Page 4
would not be used for that. The only employment provided is parttime. Location of a
theater in the City would probably not encourage people to move to the City. The
location in downtown is good, but it should stand on its own. The developer already has
two of the six tax increment plans in the City and should not be subsidized any further.
Dick Guetschoff was present and said he is the developer of the project. He does not
have any connection with other tax increment plans in the City; however, some of his
minor partners do. This is a single use building and would not be a feasible investment
without assistance.
Sid Inman, of Publicorp, the City's financial advisor, said the project qualifies under
the "but for" test and is extremely difficult to finance privately. The type of
parttime employment provided is looked on favorably in some communities for high school
and college students. It is a destination type use which will'draw people downtown.
Councilmember Holton asked for an explanation of the note arrangement. Jim O'Meara, the
City's bond counsel, said the term bonded indebtedness is contained in the tax increment
laws and signing a note is the same terminology. The obligation of the City to the
developed can be changed to "note" if desired. Bonds are not being sold by the City to
finance this project. The note is payable only from tax increments of the district and
if not enough taxes are received in a year the amount collected is all that is paid. If
the developer does not live up to the terms of the agreement, the City does not have an
obligation to pay. The note also is not issued until the project is completed. It is a
non-recourse note and has no more value to a bank if used for collateral than it does to
the developer.
Councilmember Holton asked if the Planning Commission looked at other developments in
the area and traffic when it reviewed the proposal? Mr. Kelley said yes it did and
suggested moving the building as far west as possible.
Councilmember Coodwin asked what a second run theater means? Mr. Guetschoff said it is
geared to lower prices, $1.00 admission, and shows movies approximately 30 to 60 days
after a first run theater does. Councilmember Holton asked how many people will be
employed? Mr. Guetschoff said about 40 are employed at his theater in Roseville and
they are mostly parttime jobs.
Mayor Branning said there is no entertainment of this type in the City and he does not
believe this development would be here for quite some time unless assistance is
provided. Councilmember Holton said it will be an enhancement to the downtown.
Councilmember Goodwin said the jobs will be important for the youth of the community.
In reference to the developer being involved in two other tax increment districts, he
said in almost any community there are usually only one or two major developers. The
policy is to give only as much assistance as necessary and he asked how the 75 percent
was determined. Mr. Melena said it resulted from $50,000 being necessary to make the
project work and is the best judgment of what is needed.
Joe Sutilla, a resident, said he is skeptical that the theater will be able to continue
to operate and charge only $1.00 admission. There being no further questions or
comments, the hearing was declared closed at 8:58 p.m.
CITY OF APPLE VALLEY
Dakota County, Minnesota
February 11, 1988
Page 5
MOTION: of Savanick, seconded by Goodwin, adopting Resolution No.
1988-27 approving the establishment of Tax Increment
Financing District No. 6 for Apple Valley Theaters, Inc., and
adopting the plan therefor in Development District No. 2 of
the City, amending the development plan and amending the tax
increment financing plans for Districts No. 1 through 5
therein. Ayes - 5 - Nays - O.
RES. 1988-27
ESTABLISH
T.I DISTRICT
RES. 1988-28
THEATER DEV.
CONTRACT
MOTION: of Savanick, seconded by Goodwin, adopting Resolution No.
1988-28 approving the contract for private development with
Apple Valley Theaters, Inc., related to tax increment
financing, and authorizing the Mayor and Clerk to sign the
same. Ayes - 5 - Nays - O.
Mayor Branning called the public hearing to consider vacation of an PUBLIC HEARING
easement on Lot 10, Block 1, The Highlands to order at 9:12 p.m. and EASEMENT
noted receipt of the affidavit of publication of the hearing notice. VACATION
The City has acquired the northern portion of the lot for expansion of
Belmont Park and the drainage easement is no longer necessary and will be replaced by a
storm sewer pipe. The Mayor asked for questions or comments. There were none and the
hearing was declared closed at 9:13 p.m.
MOTION: of Savanick, seconded by Humphrey, adopting Resolution No.
1988-29 completing vacation of a drainage easement on Lot 10,
Block 1, The Highlands and directing filing appropriate
documents with Dakota County. Ayes - 5 - Nays - O.
RES. 1988-29
VACATE LOT 10,
BLK 1 HIGHLANDS
ORDINANCE 413
REZONE APPLE
PONDS 3RD
APPLE PONDS
PRELIMINARY PLAT
MOTION: of Humphrey, seconded by Goodwin, passing Ordinance No. 413
rezoning Apple Ponds 3rd Addition from Agriculture to Planned
Development as recommended by the Planning Commission. Ayes
- 5 - Nays - 0.
MOTION: of Goodwin, seconded by Humphrey, approving the preliminary
plat of Apple Ponds 3rd Addition, as recommended by the
Planning Commission, and directing preparation of a
development agreement.
Councilmember Savanick said she believes it is a mistake to have so many small lots in
the development. It is developing as an area that is inconsistent with the rest of the
City. The lots do not sell for that much less and the frontage should remain at 80
feet. Dick Winkler, the developer, was present and said the lots are not all small and
the sizes are varied. He estimated they would be approximately $10,000 less than in
Carrollton Estates. Councilmember Humphrey commented that it may be difficult for the
Building Inspection Department to ensure that a variety of home styles are placed on the
lots and this should be considered when lots are sold.
Vote was taken on the motion. Ayes - 4 - Nays - 1 (Savanick).
CITY OF APPLE VALLEY
Dakota County, Minnesota
February 11, 1988
Page 6
MOTION: of Goodwin, seconded by Humphrey, approving the preliminary
plat of Carrollton Estates 4th Addition, as recommended by
the Planning Commission, and directing preparation of a
development agreement.
CARROLLTON 4TH
PRELIMINARY PLAT
Mayor Branning questioned the location of the ponding area. Mr. Kelley said it will be
on Outlot A. The exact location has not been determined, but it can be anywhere on the
outlot. Councilmember Holton questioned whether additional lots near Hayes Road were to
be reserved. Mayor Branning said building permits should not be issued for Lots 1, 2,
3, 15 and 16, Block 1, until a determination has been made by the City whether this area
may be traded for other property.
Councilmember Savanick questioned the width of 147th Street and where sidewalks will be
constructed. Mr. Kelley said 147th Street will be constructed to normal width on a
reduced right-of-way of 64 feet and the entire street will be constructed with this
plat. Sidewalks will be constructed along both sides of 147th Street and the east side
of Hayes Road. Sidewalk or pathway along the west side of Pennock will not be part of
this project.
Vote was taken on the motion. Ayes - 5 - Nays - O.
MOTION: of Holton, seconded by Goodwin, ratifying the one-year 1988
labor agreement with Law Enforcement Labor Services, Inc.,
Local 71, representing Police Officers, as approved by the
union on February 8, 1988, and authorizing the Mayor and
Clerk to sign the same. Ayes - 5 - Nays - O.
1988 LELS
POLICE AGREEMENT
The Council received the City Clerkts memo dated January 25, 1988, TELEPHONE SYSTEM
concerning a maintenance agreement for the City's telephone system. MAINTENANCE
Mayor Branning said he is concerned about the $3,720.00 cost of the
service and asked that replacement or improvement of the system be explored during the
next year.
MOTION: of Goodwin, seconded by Humphrey, approving a telephone
system maintenance agreement effective February 13, 1988, for
one year period, with Fujitsu Business Communications in the
amount of $3,720.00. Ayes - 5 - Nays - 0.
TELEPHONE
MAINTENANCE
AGREEMENT
R.T.B ADVISORY
COMMITTEE
LMC LEGISLATIVE
CONFERENCE
POLICE OFFICERS
RECOGNITION
The Council received a notice that the Chairman of the Regional
Transit Board is establishing an advisory committee of local
officials. Mr, Melena advised that anyone interested in serving
should submit their name for appointment.
The Council received notice of the League of Minnesota Cities 1988
Legislative Conference scheduled for February 16, 1988. Mr, Melena,
Mr. Lawell and Councilmembers Humphrey and Savanick will be 'attending.
Mr. Melena read the Police Chief's memo dated February 11, 1988,
concerning a call to assist a family of six overcome by carbon
monoxide poisoning. The Police Officers involved performed
exceptionally and should be commended.
CITY OF APPLE VALLEY
Dakota County, Minnesota
February 11, 1988
Page 7
MOTION: of Holton, seconded by Humphrey, adopting Resolution No.
1988-30 recognizing outstanding performance and commending
Police Officers Joe Shaw, Dave Beckstrom and Jim Eagle, as
well as Fire, Dispatch and Ambulance personnel, for their
response to a call on February 8, 1988. Ayes - 5 - Nays - 0.
RES. 1988-30
PERFORMANCE
COMMENDATION
The Council received a memo dated February 8, 1988, from Mr. Kelley SCOTTSBRIAR
concerning the building location of the Scottsbriar apartment project APARTMENT BLDG.
(also known as Valley Ponds). The original proposal was for three LOCATION
buildings located on the east side of Pilot Knob Road between 142nd
and 144th Streets. One building was deleted and two buildings were approved for the
site. Concrete work has begun for the southernmost building which the neighbors have
expressed concern about.
Jerome and Gwen Bents were present and said when they purchased their lot, they were
informed by their realtor that the southern building would be located closer to 144th
Street. Their's is the only house constructed now and the southern building is being
built directly east of their house. If it were moved farther south it would not
directly affect them.
Mr. Sheldon said the property owners have two courses of action if they believe the
property was misrepresented; that would be either giving back the house or suing for
damages. The City approves the plans and has them on file for inspection and that is
generally all it can do to make sure information is available. Before the property was
developed, public hearings were held and the property owners at that time would have
received notice of the action.
MOTION: of Savanick, seconded by Humphrey, to pay the claims and
bills, checks numbered 59387 through 59487, 59497 through
59572 and 59574 through 59609, in the total amount of
$8,849,970.00. Ayes - 5 - Nays - 0.
CLAIMS & BILLS
MOTION: of Holton, seconded by Savanick, to adjourn. Ayes - 5 - Nays - 0.
The meeting was adjourned at 10:32 p.m.