REGULAR MEETING JUNE 26, 2001 6:00 P.M. TOWN HALL
Pursuant to due call and notice thereof, Mayor Richard Bauer called the Zumbrota City Council to order at 6:00 p.m. PRESENT: Mayor Bauer, Councilmembers David Benson, Betty Jo Grothe, Sue Lewison, Deb Wilkinson. Others present: City Administrator Ron Johnson, City Accountant Mary Rohe, Community Development Director Tricia Hinckley, Reporter Sandy Hadler, Bill Svrluga (WJS Consulting), and others as per the attached list.
It was requested to add item 7e- 2001 Street Project to the agenda.
Motion Lewison, second Grothe to approve the June 7, 2001 regular meeting minutes. Carried 5-0-0.
Motion Wilkinson, second Grothe to approve the June 19, 2001 special meeting minutes. Carried 4-0-1 (Lewison abstained).
1. 6:06 p.m.- Mayor Bauer opened the public hearing to consider acceptance of the Strategic Planning Project Report. Paul Qualy suggested that there be a short mission statement in addition to the vision statement, and suggested that the necessity of a "transfer station" for commuters be included in the transportation section of the report. Councilmember Benson appreciated the statement that it would be reviewed every 2 to 3 years. The committee was thanked for their time and effort in seeing the plan to its conclusion. Mayor Bauer closed the public hearing at 6:08 p.m.
Motion Wilkinson, second Grothe to accept the Strategic Planning Project Report. Carried 5-0-0.
Councilmember Wilkinson requested that discussion of a planning retreat be included on the next regular meeting agenda.
1. There was nothing to report related to sidewalk policies.
2. There was nothing to report related to the Roald and John Mona petition for annexation.
3. Administrator Johnson presented additional information related to SAC and WAC charges. Councilmember Lewison and Mayor Bauer stated they would volunteer to work with staff on bringing a recommendation of said charges to Council.
4. Councilmember Wilkinson presented a motion for consideration related to a potential recreational/fitness center, stating that a group of Zumbrota and area Citizens has proposed building a recreational/fitness center at an estimated cost of four million dollars, and a feasibility study by Crescendo Consulting, LLP, of Winona, Minnesota in March of 2001 indicated Zumbrota and the surrounding area could raise approximately 2.5 million dollars from the philanthropic community the study indicating a high level of interest in the fitness center project and significant financial capacity in Zumbrota and the surrounding area. The study authors also noted that public ownership is essential to a successful campaign. A Capital Improvement Planning Study by David Drown Associates has concluded that, "Zumbrota is in a very good financial position when compared with other comparable cities", and that, "The city is in excellent financial condition to undertake additional projects". The City currently operates an outdoor pool which is in poor repair and requires about sixty thousand dollars of annual financial support. About three hundred thousand dollars of reserves has been set aside to handle major improvements needed shortly. The expectation is that the fitness center will be operated on a break even basis with operating revenue just covering expenses. The City of Zumbrota will have a significant equity position in a four million dollar facility and a minimum $125,000 land site. The proposed Fitness Center will be of significant benefit to many of the citizens of Zumbrota. by providing opportunities for year round physical fitness, wellness programs for all ages and genders, educational programs to support schools and community education, networking for adults and social well-being for the senior population. The City of Zumbrota will commit 1.5 million of resources to a fitness center in $500,000 matching increments to be matched by private resources through a fund raising capital campaign with pledges from individuals, businesses, and foundations that would extend over a three year period and the City's commitment extending over two years. The matching funds will be held in escrow by the Zumbrota Community Foundation and/or the Minnesota Foundation and returned to the City (minus architectural and development costs) if the private community does not meet its financial goals. No construction will take place until 100% of the funds are in hand or pledges are judged to be sufficient to qualify as collateral for a short term loan. The City agrees to contract with Crescendo Consulting, LLP, of Winona, for an amount not to exceed $150,000 for time and expenses to reach the campaign goal over an approximately 10-12 month time period. Mayor Bauer seconded said motion. Ms. Wilkinson commented as follows: a no vote declines a $2.5 million gift; although not a no-risk project, it is a low risk project; and a no vote would kill the project. Councilmember Benson stated that although the project would be nice for some people, the project should go to a vote of the public if the city decides to assist with $1.5 million in funding. Dave Grimsrud stated that the risk of the project falls completely on the private contributors. Joanne Atkinson stated that only a certain portion of the residency would be able to use the fitness center. Norm Edwards, former Perham, MN resident, stated that he was against a facility in Perham (built in 1989), but ended up being a proponent once completed. Paul Qualy stated that he had approximately 20 pages of signatures calling for a referendum, if the city opts to proceed. Discussion took place related to the possibility of the use of a sliding fee scale, based on income. Operations of other facilities were discussed, but Mayor Bauer stated that comparing other facilities is like comparing oranges to apples.
Motion defeated 1-4-0 (Bauer, Benson, Grothe, Lewison opposed).
1. A proclamation declaring August 6, 2001 as National Night Out, was presented for consideration. Kelly Cage, Goodhue County Wings of Wellness, and Eugene Leifeld, Police Officer, were present to discuss the event. This event will be combined with the Family Fun Fest this year.
Motion Wilkinson, second Lewison to accept the proclamation of August 6, 2001 as National Night Out. Carried 5-0-0.
Councilmember Lewison left the meeting at this point.
2. LeAnn Grover, Zimmerman, Hemann, Grover & Co., was present to review the 2000 Annual Audit Report.
Motion Grothe, second Benson to accept the 2000 annual audit report as submitted by Zimmerman, Hemann, Grover & Co. Carried 4-0-0.
3. On June 12, 2001 the Planning Commission meeting, considered a Conditional Use Permit request from James Borden, for parcel 72.240.0230 (pt of 1045 Mill Street). Mr. Borden requested approval to construct an addition onto an existing garage, with a portion of the structure reaching 35' in height. He also requested to use the structure for his home occupation and to allow for equipment used in the wood-working industry to be stored and operated in said structure. The Planning Commission recommended that Council approve the Conditional Use Permit for James Borden, 1045 Mill Street, to construct an addition onto an existing garage, with a portion of the structure reaching 35' in height and to allow Mr. Borden to exceed the maximum floor area dedicated to a home occupation, not to exceed 65%, and allow for equipment used in the wood-working industry to be stored and operated in said structure. The permit is to terminate when the use of the structure changes substantially or materially, or said structure is sold or conveyed.
Motion Wilkinson, second Grothe to accept the recommendation of the Planning Commission and approve the Conditional Use Permit for James Borden, 1045 Mill Street, to construct an addition onto an existing garage, with a portion of the structure reaching 35' in height and to allow Mr. Borden to exceed the maximum floor area dedicated to a home occupation, not to exceed 65%, and allow for equipment used in the wood-working industry to be stored and operated in said structure- permit to terminate when the use of the structure changes substantially or materially, or said structure is sold or conveyed. Carried 4-0-0.
4. Premiums for employee health insurance will increase by 14% effective July 1. The city’s portion of contribution needs to be determined.
Motion Grothe, second Wilkinson to continue to pay for the full amount of single coverage for the employees’ medical insurance, and pick up the full cost of the 14% increase for family coverage effective with the July 1 renewal. Carried 4-0-0.
It was suggested to review the employee benefit package prior to the July 1, 2002 renewal.
5. Administrator Johnson reviewed a potential mill and overlay street project for 2001. Yaggy Colby estimated a project construction cost of approximately $150,000.
Motion Wilkinson, second Benson to authorize Yaggy Colby Associates to advertise for bids for a 2001 mill and overlay street project, bids to be due and opened at 10:00 a.m., July 19. Carried 4-0-0.
-Thanked Council for the opportunity to attend the League of MN Cities Annual Conference. He informed Council that he won a 25" TV/VCR combo for the city during the conference.
-Reported that street light project, for the most part, has gone well.
-Community Development Director Tricia Hinckley-
-Reported that the Zumbrota Hwy 52 Sub Area Policy Committee (ZPC) will meet on July 11. It was suggested by the consultants that Mayor Bauer and Councilmember Wilkinson, as an extension of their involvement in the strategic plan, be invited to be on this committee. Both agreed to volunteer for the committee.
-Asked if Council wanted to implement a licensing process for cats as requested by Chris Huston, local Boy Scout. No action was taken.
-Informed Council that the budget for street projects needs to be increased substantially next year.
Mayor Bauer adjourned the meeting at 8:34 p.m.
Ronald S. Johnson, City Administrator