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HomeMy WebLinkAbout02-11-2013 Council Minutes � . MINUTES OF THE � ORONO CITY COUNCIL MEETING ." Monday,February 11,2013 7:00 o'clock p.m. ROLL CALL The Orono City Council met on the above-mentioned date with the following members present: Mayor Lili Tod McMillan, Council Member Cynthia Bremer,Aaron Printup,Kristi Anderson, and Lizz Levang. Representing Staff were City Administrator Jessica Loftus,Assistant City Administrator for Long-Term Strategic Planning Michael Gaffron, Planning Coordinator Melanie Curtis, Finance Director Ron Olson, City Engineer/Public Works Director Jesse Struve, City Attorney Soren Mattick,and Recorder Jackie Young. Mayor McMillan called the meeting to order at 7:00 p.m., followed by the Pledge of Allegiance. APPROVAL OF AGENDA CONSENT AGENDA Item Nos. 10, 12,and 13 were added to the Consent Agenda. Anderson moved,Printup seconded,to approve the Consent Agenda as amended. VOTE: Ayes 5, Nays 0. APPROVAL OF MINUTES *2. COUNCIL WORK SESSION OF JANUARY 28,2013 Anderson moved,Printup seconded,to approve the minutes of the January 28,2013,City Council work session as submitted. VOTE: Ayes 5,Nays 0. *3. REGULAR COUNCIL MEETING OF JANUARY 28,2013 Anderson moved Printup seconded,to approve the minutes of the January 28,2013,City Council meeting as submitted. VOTE: Ayes 5,Nays 0. PRESENTATION 4. DONATION GARDEN Lizz Levang indicated this will be the third year for the donation garden. Last year fresh vegetables were provided to the Long Lake/Orono Meals on Wheels participants,Westonka area community members in need, and also the Gillespie Center to supplement their meals. Due to the donations,the Gillespie Center was able to save money on food costs and serve extra fresh vegetables to everyone. April Wysocki noted the land for the donation garden was graciously donated by Orono and additional help was provided by Otten Brothers and Kelly&Kelly. The first year produced approximately 3,200 pounds of produce and last year the garden produced over 6,000 pounds of produce. Page 1 of 24 MINUTES OF THE , ORONO CITY COUNCIL MEETING � Monday,February 11,2013 ' 7:00 o'clock p.m. � (4. DONATION GARDEN, Continued) Levang stated when they first started the garden, it was basically clay soil and that a substantial amount of nutrients and mulch have been added to the soil over the past couple of years. This year students from a variety of schools were invited to help with the garden,which added another dimension to the garden by providing an education to the students. This past year the garden included sweet potatoes and regular potatoes. Levang noted they unfortunately lost quite a bit of produce due to a rat problem that resulted from the use of hay. There were some crops that did not do well, such as zucchini,but that they had a bunker crop in tomatoes and other vegetables. As part of this year's garden,the volunteers plan on utilizing soaker hoses that have been donated. The City of Long Lake last year installed a spigot near the garden,which allowed them to have access to water close by rather than having to haul it in. Levang thanked the Long Lake Mayor and City Council for allowing that. � Levang noted they have approximately$2,000 in their bank account and that some of that money will be used to purchase additional nutrients for the soil. They have experienced problems with deer jumping the fence and eating some of the produce. The core group of volunteers for the garden came from Long Lake, Orono,Independence, and Mound. Overall 17 volunteers helped out at the garden last year and they donated approximately 615 volunteer hours. Most volunteers worked at the garden two to three times per week. A number of individuals and businesses also donated a variety of crops and herbs that were grown as well as flowering plants that were given away. Levang stated the donation garden is a very valuable asset to the local community. Levang thanked Mayor McMillan for installing two blue bird houses and noted that they now the very proud parents of blue birds. The plan for this coming year is to invite more local churches and community groups to help with the group as well as add more volunteers. In addition, a master gardener will be helping the volunteers with the garden this year and a meeting has been scheduled for this Saturday. Another goal is to partner with other groups who have donation gardens. McMillan noted two year ago the group experimented with a truckload of milfoil on the garden. The milfoil was rather stringy so it was hard to work with but once it was put down, it made a nice mat around the plants. McMillan thanked the donation garden volunteers for all their hard work. The Orono City Council took no formal action on this item. 5. BOW-FISHING REGULATIONS—GREG NYBECK,LAKE MINNETONKA CONSERVATION DISTRICT(LMCD) Greg Nybeck,Executive Director of the LMCD, addressed the Orono City Council regarding bow fishing regulations. Bow fishing is not currently a problem on Lake Minnetonka but it is increasing in popularity. The LMCD is currently working with various local cities on identifying how they interpret bow fishing and the regulations they have in place. Nybeck noted bow fishing is allowed by state law but regulated by local ordinances. Page 2 of 24 . MINUTES OF THE � ORONO CITY COUNCIL MEETING ` Monday,February 11,2013 � 7:00 o'clock p.m. (S. BOW-FISHING REGULATIONS—GREG NYBECK,LAKE MINNETONKA CONSERVATIONDISTRICT(LMCD), Continued) Nybeck stated the LMCD will periodically receive calls from the water patrol and others regarding bow fishing and whether it is allowed on Lake Minnetonka. In an effort to streamline public communication and provide documented guidance to both the water patrol and MN/DNR enforcement personnel,the LMCD Board of Directors has been working to determine whether it is feasible to have a single bow fishing ordinance which would result in consistent lake-wide regulations for Lake Minnetonka. The LMCD is looking for the City Council's ranking and input on the following three options: 1. Continue to operate as the LMCD currently does,which is per state law and local city ordinances. If this is the option the LMCD were to proceed with,the following should be considered: a. The public will be referred directly to the member cities to receive information on local firearms,weapons,and archery ordinances and whether a permit is required. b. Should this option be chosen,the LMCD will be requesting each member city to forward the contact name or department at the city to whom public inquiries should be referred. 2. MN/DNR and Water Patrol enforcement personnel have indicated that it would be each City's responsibility to enforce its own ordinances. 3. Prohibit bow-fishing entirely on Lake Minnetonka. 4. Consider an ordinance more restrictive than state law but less than a total prohibition. The ordinance could perhaps prohibit nighttime bow-fishing. Nybeck noted the City of Orono currently prohibits nighttime bow fishing. Nybeck displayed a picture of a typical bow fishing boat. The LMCD has received a few complaints about bow fishing at night. McDermott noted typically the bow is tethered to the boat and the line on the arrow is approximately 50 feet in length. McMillan asked whether they are able to catch more fish at night than during the day. Nyberg stated the general feedback the LMCD has received to date is that the fishing is generally better at night but that shortly after sunrise is also a good time. The LMCD has been dealing with this issue for about 18 months and they would like to get some closure to it. The Orono Police Department has been very helpful with providing information to various questions. Nyberg indicated the LMCD will continue to update their website to include the names of the cities that allow bow fishing and the name of a person at each city that they can contact for information. Nybeck noted another problem that they have encountered is that the LMCD is not aware of what each city's jurisdictional lines are in the water. Page 3 of 24 MINUTES OF THE . ORONO CITY COUNCIL MEETING • Monday,February 11,2013 ' 7:00 o'clock p.m. (S. BOW-FISHING REGULATIONS—GREG NYBECK,LAKE MINNETONKA CONSERVATIONDISTRICT(LMCD), Continued) Printup commented he does not want to see more regulations added to bow fishing. Printup noted people can invest a significant amount of money into their equipment and that most of the fishermen are responsible. Levang asked if there is any concern that this is a nuisance to the City. Police Chief Farniok indicated the Police Department gets very few complaints regarding bow fishing and that the majority of bow fishing is done in creeks. There have been several organized events this past year which resulted in some discussion about whether they required a permit or not. Farniok indicated they were told that they need to check with each jurisdiction and see whether a permit is necessary. In 2012, six permits for bow fishing were issued,which is a slight increase. Farniok indicated one possible reason for the additional permits is that more and more people are finding out that permits are required and not necessarily an increase in the number of people who are engaged in bow fishing. Bremer asked if the Police Department has received any complaints regarding the restriction of nighttime � bow fishing in Orono. Farniok indicated they have not. Farniok noted that the Orono Police Department would also not respond to calls regarding bow fishing on the wate�but that they would respond to a complaint if someone is bow fishing on private property. Bremer asked whether the LMCD has heard about any complaints from Hennepin County. Nybeck indicated they have not heard anything. The water patrol has indicated that it is difficult to enforce the setback distance that is set forth in the state statute during the day and that it is even more difficult at night. Nybeck noted he did include an article on bow fishing in the LMCD newsletter last spring and that he received feedback from two residents who had concern about the compatibility of people using perceived swimming areas on the lake. Bremer asked what kind of feedback the LMCD has received from other cities on the drafting of an ordinance. Nybeck indicated from a complaint standpoint,he has not gotten much feedback. The City of Spring Park has discussed the issue. Bow fishing is currently prohibited by their local ordinances and they will likely make a recommendation to prohibit it during the day and nighttime hours. The City of Minnetrista has asked the LMCD to continue to allow bow fishing. The sheriffl s water patrol is looking to the LMCD for an ordinance if they are being asked to do enforcement of the state law. Nybeck noted the ordinance would still be difficult to enforce due to the size of the lake and the limited number of people available to enforce it. Anderson stated given her past experience with a bow fishing boat, she likely would support a nighttime restriction on bow fishing. Printup commented it sounds like Orono already has a nighttime restriction and setback requirements, which is sensible and does not over regulate the sport. Page 4 of 24 , MINUTES OF THE � ORONO CITY COUNCIL MEETING � Monday,February 11,2013 7:00 o'clock p.m. (S. BOW-FISHING REGULATIONS—GREG NYBECK,LAKE MINNETONKA CONSERVATIONDISTRICT(LMCD), Continued) McDermott stated if the LMCD is able to pass ordinance regulating bow fishing, it would allow the Water Patrol to enforce it. McMillan asked if there would still be a permitting mechanism if an ordinance is adopted. Nybeck indicated he is not able to answer that at this point but that it would make sense to streamline the permitting process. Printup asked if the City Council is interested in removing bow fishing from its fee schedules since there is such low demand for a permit. Loftus stated in Staff's opinion,having an ordinance through the LMCD would simplify things. The biggest complaint the City receives is from sportsmen who are attempting to organize events and the lack of consistency among the cities. Staff would recommend that the LMCD have one ardinance,which would eliminate the need to obtain a permit from the City. Nybeck noted there was a tournament this past summer and that he offered to meet with the tournament coordinator. That person declined to meet but he did indicate that through his research, he found out that the only city requiring a permit was Orono. Nybeck indicated he was informed that was incorrect and that there are actually five or six other cities that require permits. Nybeck stated there is some confusion on the part of the cities and the general public regarding this issue and that one single ordinance would be beneficial to all parties. It was the consensus of the Orono City Council to recommend the LMCD adopt an ordinance regulating bow fishing on Lake Minnetonka with a nighttime restriction being included. LMCD REPORT—ANDREW McDERMOTT,REPRESENTATIVE Greg Nybeck stated milfoil was first discovered in Lake Minnetonka in 1987. At that time the LMCD began working with various municipalities and a number of forums were held in an attempt to identify the means to manage the milfoil. The conclusion at that point was to do mechanical harvesting of the milfoil, which did commence in 1989. Currently the LMCD owns three paddle wheel harvesters and a transport barge. The main elements to the milfoil program involve clearing impediments to open water, which could mean clear cutting or channel cutting, and a harvesting season that lasts from June through August. The LMCD has adopted a rotating schedule to avoid starting each year in the same spot. The statistics collected as part of the program are truck loads, harvester loads and acreage. The acreage number is to meet a DNR requirement for permitting and does not indicate the success or nonsuccess of the program. Page 5 of 24 MINUTES OF THE . ORONO CITY COUNCIL MEETING � Monday,February 11,2013 " 7:00 o'clock p.m. � (LMCD REPORT—ANDREW McDERMOTT,REPRESENTATIVE, Continued) Nybeck stated a good analogy is that the milfoil harvesting program functions very similar to a city snow plowing program. The LMCD will clear the public areas up to the dock and then it is the responsibility of the properly owner to take care of the area close to the shore. The one thing that the LMCD has to deal with is fragments of milfoil going up on the lakeshore but those are typically caused by wind,waves and propellers. The harvesters are staggered to allow for a wider path and also to help catch the milfoil fragments. The seasonal data collected show that the average working days range from 32 to 35. The LMCD has four-day work weeks for 10 weeks. In 2011,there were only 21 work days and that was due to the state shutdown. The total acres harvested average about 400 acres each year. The LMCD does provide some milfoil for composting purposes. Nybeck displayed a map from 2010 depicting the five-year chemical treatment project that has recently ended. The LMCD has not conducted harvesting in those bays and it was found that there is not a significant amount of milfoil in Maxwell Bay but quite a bit of milfoil in North Arm Bay, Crystal Bay, and Orono Park. Nybeck noted these maps are generated from hand-held GPS. The harvesting budget in 2011 was a little over$91,000 and in 2013 it is approximately$95,000. Nybeck indicated the LMCD does attempt to keep the levy fairly consistent from year to year for the harvesting program and that the levy to the member cities ranges from$50,000 in 2011 to almost$62,000 for this year. Although there was a levy increase this year for the harvesting program,the levies have remained relatively flat from 2011 to 2013. Orono's share of the budget for the milfoil program is approximately 18 percent,which accounted for approximately$9,000 in 2011 and$11,000 in 2013. The LMCD did receive a$35,000 grant ftom the DNR in 2012 but that number is expected to be smaller this year. Levang asked why North Arm is so bad. Gabriel Jabbour indicated it is due to the nature of the soil and the fact that it is a shallower bay. McDermott noted that Carmen's Bay, Gray's Bay and Phelps Bay were the three bays that were chemically treated for a five-year period. That study period is now over and the next step is to develop a lake-wide management plan to deal with milfoil and curly leaf pond weed. They have found other invasive aquatic species in Lake Minnetonka but they are not being addressed at this time. Currently the Minnehaha Watershed District is handling the flowering rush problem by hand pulling it since it is a relatively small amount of area. Following the conclusion of the demonstration project in 2012,the LMCD commenced work on a comprehensive vegetation management plan in conjunction with the DNR,the Minnehaha Watershed District,the Lake Minnetonka Association, and Three Rivers Park. The LMCD received the draft document in October to review and have provided some comments. A public meeting was held in December. The findings in the report conclude that there are really only seven bays that are truly suitable for chemical treatment, and those include Carman's Bay,Carson's Bay, Gideon's Bay, Grays Bay,North Arm Bay, Phelps Bay, and St. Albans Bay. The other bays throughout the lake have too much water going through them and would not be conducive to chemical treatment. Page 6 of 24 , MINUTES OF THE � ORONO CITY COUNCIL MEETING � Monday,February 11,2013 � 7:00 o'clock p.m. (LMCD REPORT—ANDREW McDERMOTT,REPRESENTATIVE, Continued) The task force has recommended an additional $75,000 annually be allocated in the LMCD budget to support chemical treatment. McDermott noted this will not pay for all the treatment but will supplement whatever the residents raise. Orono's portion of that amount will be roughly$13,500. McDermott noted the LMCD has not taken the plan up for a vote at this point but at some point a vote among the member cities will need to be held. Minnetonka has expressed the view that they are not in favor of the chemical treatment. Currently Minnetonka and Orono contribute the highest percentage to the LMCD. McMillan stated she would like whatever the City Council's decision is to be put into a letter. Levang asked if Minnetonka is the only city that has provided input at this point. Nybeck indicated Minnetonka Beach did put something in writing for the public hearing and that they indicated they are not in favor of funding for chemical treatment. At this point there are some cities that do support it and some cities that are undecided. The part of the plan that talks about the funding mechanism is where some concerns are being raised. Nybeck noted there are some funding inequities among the member cities, and if it is fixed through the state legislature, someone else will have to absorb it. McMillan noted this program would be more expensive than the milfoil harvesting program if the DNR grant is taken out of the calculation and that the chemical treatment would cover a smaller percentage of the lake. McDermott noted the residents will still have to contribute almost at the same level as before. McMillan commented they are talking about chemically treating less than 10 percent of the lake. Nybeck noted the harvesting program will cover approximately half of the lake and cost approximately $90,000. Jabbour stated the City of Minnetonka has objected to the mission creed of the LMCD and not just the funding. Jabbour noted at the time the milfoil harvesting program was started,Orono's representative raised$350,000 for the harvesters for the sole purpose of clearing passageways. The milfoil program has drifted from plowing passageways to aesthetic appearance of the lake. Jabbour commented if the LMCD is interested in changing the mandate,they should go to the legislature. Jabbour stated in his view the LMCD is going to have a substantial amount of negative backlash if this plan goes through and that he is not speaking tonight on behalf of any group. Jabbour stated there are a number of individuals that feel the LMCD should rethink the funding mechanism. Bremer asked what McDermott's thoughts are on chemically treating the lake. Page 7 of 24 MINUTES OF THE , ORONO CITY COUNCIL MEETING • Monday,February 11,2013 ' 7:00 o'clock p.m. � (LMCD REPORT—ANDREW McDERMOTT,REPRESENTATIVE, Continued) McDermott indicated he does live on Carman's Bay,which has not been chemically treated. McDermott indicated he personally has a philosophical issue with the use of chemicals in the lake and that even though everyone says the chemicals are all safe,he still has a worry with using them. The bays that have been treated have shown good results but originally it was thought that the amount of chemicals would decrease over the years and that by the fifth year no chemicals would be required. The milfoil keeps coming back and it appears it will never been cleared out of the lake. McDermott stated chemical treatment will be a constant expense to the residents and that he does not feel it is sustainable since the residents will likely not want to keep paying for it year after year. McDermott noted the LMCD does not have another mechanism to fund the chemical treatment. Anderson noted there are also other invasive species that are coming as well. McDermott noted there is nothing that can be done to address those invasive species as this point. McMillan commented she concurs with the philosophical component and that Orono has always been very conscious on runoff into the lake. McMillan stated she was reminded by a former public works director that the City at one time did not want any salt going into Lake Minnetonka, so they were very adamant about clearing the roads only with a grader. To this day Orono mixes only a little bit of salt with sand. If you look at Orono's philosophy,the City has tried to keep chemicals out of Lake Minnetonka and the chemical treatment goes somewhat contrary to that philosophy. Anderson stated at the last meeting Gabriel Jabbour raised some points that dealt with the philosophical component as well. Anderson noted the Minnehaha Creek Watershed District has a greater ability for finding funding partners and a larger budget and that she would question whether the City should continue to throw money at this. Printup indicated he has the same concerns and that Orono is being asked to contribute once again even though there are a number of other stakeholders in the lake. Printup noted this project puts a great deal of burden on the LMCD to come up with the funding. Nybeck stated the efforts by the Watershed District for dealing with AIS will be more prevention rather than management and that they have not indicated any desire to participate in chemical treatment at this point. Bremer stated the philosophical struggle she is having is that she is in agreement that Orono, as a community overall,has been very steadfast in preventing chemicals from running into the lake, but that she has a concern that the City also has a philosophical dedication to the lake and to doing whatever we can to save it. Bremer stated it is not the amount of money being requested but the fact that the Council needs to make the decision once and for all whether or not that philosophy is in line with this plan being proposed. Bremer indicated she trusts Drew McDermott's comments and that she is attempting to weigh those with her own personal philosophy. Bremer stated she knows there are lots of times in our lives that we do not have that many tools at our fingertips and that this is one of those times. Page 8 of 24 MINUTES OF THE � ORONO CITY COUNCIL MEETING , Monday,February 11,2013 7:00 o'clock p.m. (LMCD REPORT—ANDREW McDERMOTT,REPRESENTATIVE, Continued) McDermott stated the only other demonstration project to date has been the weevil project in Christmas Lake. Nybeck noted biological control is a long way off at this point and that anything being done at this time is simply a demonstration project. Loftus noted in 2011 Orono had a pretty large group of residents come before the City Council with the argument that property values were, in part,the City's responsibility and that the City should be contributing to the treatment of the bays and controlling milfoil. The City Council, at least on one occasion,has decided to support that. Loftus commented the Council has the opportunity to support that mission with all the member cities versus the residents coming to individual cities asking for support, which is something to consider. McMillan noted all of the Orono residents would be contributing to this if the City Council agrees with it versus the lakeshore owners. McDermott noted that the cities of Mound, Shorewood, and Minnetrista have consistently contributed to the chemical treatment. Nybeck stated his recollection was that for Carman's and Gray's Bay,the public/private breakdown was approximately 50 percent from the private sector and 40 percent from public. As it relates to Phelps Bay, three-quarters was publicly funded based upon the contributions by the cities of Mound, Shorewood, and Minnetrista. If the LMCD were to put a levy through to the cities,there was a concern that some of the funding might go to the LMA and the Bay Captains. McMillan stated she also has a concern about a disproportionate amount of money going towards one bay and noted that the AIS issue is such a small percentage of the lake but requires a large dollar amount to deal with it. McDermott noted not all seven bays would be treated each year and that it would be likely that only three bays would be treated each year on a rotating basis. Jabbour commented the Council should look at who we are and what we stand for. The Council has to figure out if this a private sector issue or a public sector issue. Orono provides very few services to the citizens. This project was clearly sold to the residents on the principle that it would only be a five-year deal. The residents have since found out that it does not work that way and that they will need to do it every year. Jabbour stated the City of Orono should stay who we are and welcome those who want to join us. Jabbour distributed a letter to the City Council from Judd Brackett,whose grandfather helped establish Orono. Jabbour noted he is being solicited for funds to chemical treat the lake again. In the second to the last paragraph,the last sentence reads, "Many lakes treated with this chemical have been milfoil free after four to five years. Jabbour noted the Corps of Engineers says that never happens after four to five years and that this will become a maintenance program. -------- -- ----------------- -- ---- Page 9 of 24 ------------------------- --- - ------- MINUTES OF THE ORONO CITY COUNCIL MEETING • Monday,February 11,2013 . 7:00 o'clock p.m. (LMCD REPORT—ANDREW McDERMOTT,REPRESENTATIVE, Continued) "Jabbour noted the DNR's AIS program is a$3.6 million budget for the entire state of Minnesota." Printup stated the Council needs to take into consideration the people who do not live on the lake and that putting that many resources into it is not something he would be comfortable with. Levang indicated she also is not comfortable with contributing to this. Levang stated she concurs that the City Council should make a decision and then stand by it. McMillan commented she also is opposed to the use of chemicals in the lake and that she could never envision a partnership where certain private individuals receive money in some form for chemical treatment that has been shown does not kill the milfoil. Even if the lakes are treated,the milfoil will come back. In addition, the chemicals have to be monitored on a regular basis,which also costs money. McMillan noted a considerable amount of time and energy will need to be put into the chemical treatment program, and if the LMCD gets involved in this,there may be no stopping it. Anderson noted the scope of the service area has grown tremendously from the original intent of the LMCD. Anderson commented that everyone wants to preserve the lake but that they do not want to keep throwing chemicals in it year after year. McMillan stated when they did the pilot program,they were hoping for better results. This project involves chemicals and lots of money way down the road to simply maintain the status quo. Bremer stated her personal reasons for being reticent are not monetary based and that the Council may not have all of the information at this time regarding the true costs of the program over time. Bremer noted the entire community benefits from Lake Minnetonka to some degree. Bremer stated her biggest concern is the lack of knowledge that everyone has for determining what the best way to control this is and that she also has a concern with what has happened in some other bays. Bremer stated given the state of technology,harvesting and chemical treatment are the only options available at this point and that she hopes the Council does not foreclose a conversation from happening if other technology becomes available. McDermott indicated the LMCD will continue to look at other options and that he would encourage the City Council to speak to the other cities. McMillan indicated Staff will put together a letter regarding the Council's stance on this issue. Nybeck noted the LMCD did hold a public safety meeting regarding vehicles driving on Lake Minnetonka. Levang asked what options they are pursuing to keep cars from falling into the lake. ------ Page 10 of 24 — , MINUTES OF THE • ORONO CITY COUNCIL MEETING � Monday,February 11,2013 � 7:00 o'clock p.m. (LMCD REPORT—ANDREW McDERMOTT,REPRESENTATIVE, Continued) Nybeck indicated they did install some small fences to try to highlight the channel and the thin ice. The LMCD is also talking about placing some barrels in that area in future years. Nybeck indicated they did discuss placing lights in the area but that they felt the lights might attract people to the place. Nybeck indicated the big thing that is different this year is the lack of snow so people are going into different areas on the lake. Nybeck stated the LMCD is somewhat limited in how to handle bad judgment calls when there are signs posted saying thin ice. PLANNING COMMISSION COMMENTS—JOHN THEISSE,REPRESENTATIVE Theisse stated he had nothing to report but would be available for questions. PUBLIC COMMENTS Ralph Kempf, 3675 Togo Road, stated he would like to correct a statement he had made at the end of the meeting on Navarre regarding bringing Navarre back from the dead. Kempf stated Navarre is actually quite a strong and vital business district and that he wanted to correct himself on the record for saying something that was incorrect. PLANNING DEPARTMENT REPORT 6. #12-3582 COLSON CUSTOM HOMES ON BEHALF OF BWB HOLDINGS,LLC,4731 NORTH SHORE DRIVE—VARIANCE—RESOLUTION—TABLED Rodney Colson with Colson Custom Homes was present. Curtis stated in 2006,variances were granted for both the subject property and the neighboring property to the east in order to approve a lot line rearrangement and vacation combining three lots into two lots. The developer at the time intended to build two homes for sale following the approvals. One home was constructed. Extenuating circumstances,most notably the decline in the housing market,topped developed. As a result, prior to the certificate of occupancy,both of the properties went into foreclosure and were returned to the bank. In 2010,Bridgewater Bank,the owner at the time,renewed the 2006 approvals in order to resolve the issues with the resolutions, finalize the lot line rearrangement,and sell the properties separately. At this time Colson Custom Homes,the applicant,wishes to construct a home with a nearly identical plan as was originally approved in 2006. This plan requires lot area, lot width, side street setback and bluff setback variances. In 2006,hardcover variances were granted. However,due to the City's recently revised hardcover regulations,the proposal fits into the allowed 25 percent hardcover for a Tier 1 lot and a hardcover variance is no longer requested. The Planning Commission,at its January meeting,voted to recommend approval of variances allowing a 10-foot side street yard setback from the west, lot width and lot area variances to build a single-family residence on the property. Variances to the bluff setback and the bluff impact zone were also recommended for approval as follows: Page 11 of 24 MINUTES OF THE - ORONO CITY COUNCIL MEETING • Monday,February 11,2013 � 7:00 o'clock p.m. � (6. #12-3582 COLSONCUSTOMHOMES ONBEHALF OFBWB HOLDINGS,LLC, 4731 NORTH SHORE DRIVE— VARIANCE—RESOL UTION—TABLED, Continued) 1. The proposed patio to be reoriented so as to not encroach into the 20-foot bluff impact zone. 2. The proposed deck should be reoriented and/or resized so that there is no more encroachment into the 30-foot bluff setback than that of the home. In 2006,the submitted survey contained topographical information that indicated the bluff was 24 feet from the corner of the proposed home, outside the bluff impact zone,yet within the 30-foot bluff setback. The top of bluff was missing from the current applicant's initial survey. The applicant has since provided a revised survey showing the top of bluff to Staff the day of the Planning Commission meeting. The information reviewed by the Planning Commission at their January meeting was based on the revised survey dated 1/18/13 depicting a similar top of bluff location as the 2006 survey. The recommendations made by the Planning Commission were also based on the 1/18/13 survey. Due to the timing,Planning Staff did not have an opportunity to fully review the 1/18/13 survey. Following the Planning Commission meeting, Staff reviewed the bluff as shown on the current survey and disagreed with its depicted location. The topographic information provided on the recent surveys differs quite a bit from the 2006 survey. For instance,the slope on the western portion of the lot in the 2006 survey is depicted as 20-25 percent, while the 2013 survey reflects approximately 50 percent slopes in the same location. The location ofthe proposed home on the current plan is consistent with the 2006 approved plan. Due to the other constraints of the property,the proposed location may still be the best option even though the top of bluff appears to be as close as 12 feet from the proposed home in places. The 30-foot bluff setback extends halfway through the home. The Planning Commission's direction at the January meeting was to move the patio out of the 20-foot bluff impact zone and reorient the deck to encroach no more than the house based on the location of the top of bluff shown on the 1/18/13 survey. The applicant has provided a plan responding to the direction on both the patio and deck. The bluff location has also been revised based on the current topographic information. Staff has reviewed and agees with the top of bluff as shown on the most recent survey dated 2/1/13. The revised top of bluff location results in an even more restricted buildable envelop than previously realized. The applicant's proposed home is generally consistent with the 2006 plans and reflects only an additional four feet of depth added on to the garage to make it more functional. This results in the 10' x 13' side proposed setback from the alley. To further push the house away from the bluff results in an unreasonably small house considering the established driveway location. The proposed location will result in minor grading within the bluff and bluff impact zone to accommodate drainage. Planning Staff has reviewed the revised plans and recommends approval of the variances as requested consistent with the 2/1/13 survey and revised house plans showing the reoriented deck. Levang asked if the Planning Commission reviewed the latest surveys. Page 12 of 24 • MINUTES OF THE • ORONO CITY COUNCIL MEETING � Monday,February 11,2013 7:00 o'clock p.m. (6. #12-3582 COLSON CUSTOM HOMES ON BEHALF OF BWB HOLDINGS,LLC, 4731 NORTH SHORE DRIVE— VARIANCE—RESOL UTION—TABLED, Continued) Curtis indicated they had not but that they were given an update at their work session. Curtis stated the Planning Commission has not revisited this since the new surveys. Levang asked if the DNR has evaluated this application. Curtis indicated they have not. Levang asked if the City Engineer has reviewed the plans. Curtis indicated they have reviewed the plans. Levang noted those comments are not included in the packet. Struve indicated he does not have his specific comments available but that they related mainly to the drainage. Levang asked if he was aware of the change in the bluff to 50 percent. Struve indicated he is not. Levang stated those are her two main concerns. Levang asked to see the average setback. Curtis stated the City owns the adjacent property so Staff would use the home on the east side. Curtis indicated this house is even with or slightly behind the average lakeshore setback. The home to the east is at 98.5 feet and this home is at 99.5 feet from the lake,which is what Staff would use for their point of reference. Levang asked if the patio has been pushed back. Curtis indicated it has been pushed back and is out of the 20-foot setback. Levang asked if the deck is still in the bluff setback area. Curtis indicated it is and noted that the deck is elevated,which would minimize the impact in that area. Levang asked what the difference is between 25 and 50. Gaffron stated E�ibit D depicts the topography of the area and that it shows a much flatter topography. The topography depicted on the current survey shows a much steeper slope and it essentially doubles from 25 percent to 50 percent. The City's definition of the top of bluff relies on the change in slope from greater than 18 percent to less than 18 percent. The top of the bluff is best depicted by the 966' contour, which is shown in Exhibit B. Page 13 of 24 MINUTES OF THE - ORONO CITY COUNCIL MEETING - Monday,February 11,2013 � 7:00 o'clock p.m. � (6. #12-3582 COLSON CUSTOM HOMES ON BEHALF OF BWB HOLDINGS,LLC, 4731 NORTH SHORE DRIVE— VARIANCE—RESOL UTION—TABLED, Continued) Gaffron noted there are still slopes of 20 percent in the area where the house is located. If you were to try to meet the setback,the lot would be barely buildable. Exhibit B shows a 12-foot setback for the house and then a deck that is shown within a couple of feet from the top of bluff on posts. Gaffron stated he would caution the builder that they are close to the bluff and that they will have to have some good engineering and be knowledgeable about what they are doing. Struve stated he would also recommend that the applicant submit engineering to prove the stability of the slope. Levang asked if that bluff has failed previously. Gaffron stated approximately 20 plus years ago there was a failure on this property that was repaired with internal bracing and tiebacks. With the recent situation next door where there was a failure,the area had been walled years and years ago. There is no indication at this point what the condition is of that existing wall and at the moment it appears to be stable. Levang asked what accounts for the differences between the 2006 survey and the newest survey. Gaffron indicated it is simply two different surveyors doing two different versions of the topography. Gaffron stated Staff has to go by what is presented by the surveyors and that they are not aware of any changes made to the slope between the old survey and the newer one. Bremer stated the question is whether the Planning Commission should review this application again,but that the topography does not look that much different on the two surveys and that it comes down to the location of the bluff line. Gaffron stated the difference between the contours is half on one survey than on the other,which significantly changes the percent of slope. Bremer commented the angles at which they were done appear similar and that there could be a variation of nature that could have changed it. Gaffron noted the drainage on both surveys is basically the same. Rodney Colson, Colson Custom Homes, stated the aerial photograph does show the property and the bluff. The reason the bluff line has changed is due to the unimproved street from North Shore Drive down to the lake, which essentially has its own ravine or ditch running straight down to the water. The contour line dips up,the bluff line turns and goes through where the building pad is,and then follows a different line other than the water line. Colson stated to his understanding it is a15-foot unimproved street to the lake. Curtis indicated it might be 30 feet. Page 14 of 24 � MINUTES OF THE • ORONO CITY COUNCIL MEETING . � Monday,February 11,2013 7:00 o'clock p.m. (6. #12-3582 COLSON CUSTOM HOMES ON BEHALF OF BWB HOLDINGS,LLC, 4731 NORTH SHORE DRIVE— VARIANCE—RESOL UTION—TABLED, Continued) Colson stated the unimproved street is causing the bluff line to turn and go up and is not actually affecting the distance to the lake. The proposed residence is very consistent with what was approved in 2006. Colson stated if they were held to those restraints of the bluff line,the property would be basically unbuildable and result in an unreasonable small home considering the established driveway. Levang asked if the driveway will be widened. Colson indicated they will be using a shared entrance. The existing driveway for 4725 North Shore is already set,which sets the elevations and location of the garage. Levang commented the driveway appears to be pretty steep. Colson noted the driveway is steeper but that it is a poured concrete driveway that is heated. Levang asked what his thoughts are about the engineering. Colson stated they will be working hand-in-hand with the City on the engineering issues and that they will be addressing as many as possible before construction commences. Colson indicated they have been working regularly with Staff and that they have made revisions to their plans to best meet the recommendations of the Planning Commission. McMillan indicated the City has a concern given the bluff failure on the adjacent property. Colson pointed out the location of the bluff line on the subject property. Colson indicated this bluff is not necessarily a bluff that could fail into the lake but is located more to the side of the unimproved street. Bremer noted the bluff setback does offer some protection to the residence in the event of a bluff failure. Bremer commented this is an example of a hardship lot and that the only thing that has really changed is the survey. Bremer indicated she is okay with proceeding with the project as long as there is a strict eye kept on the engineering issues. Colson stated they did stick with the original or as close to the original plan as much as possible. The building envelope is essentially the same as what was passed in 2006 for those same reasons. McMillan asked what the building encroachment line is. Curtis indicated that was the direction given by the Planning Commission and that the building encroachment line is not a setback but is merely a reference point. The 20-foot bluff impact zone is the dotted line and the yellow line is the 30-foot setback. Curtis noted they are at 15 percent structural coverage with the house and deck. Gaffron noted the property is over 10,000 square feet, so the City goes with a 15 percent structural coverage number. Page 15 of 24 MINUTES OF THE . ORONO CITY COUNCIL MEETING • Monday,February 11,2013 � 7:00 o'clock p.m. � (6. #12-3582 COLSON Cl1STOM HOMES ON BEHALF OF BWB HOLDINGS,LLC, 4731 NORTH SHORE DRI i�E— VARIANCE—RESOL UTION—TABLED, Continued) Levang asked how close the deck is to the top of the bluff. Curtis indicated it is probably just a few feet. The deck was moved out of the area that the Planning Commission saw as the bluff depicted on the survey they reviewed. Since the deck is going to be built on post footings and not have a foundation,the impact to the bluff is not as severe. Levang noted it is still a few feet from the top of the bluff. McMillan asked if the application has to be renoticed for public hearing. Mattick indicated what is being discussed is not a substantial change and that it would not need to be renoticed. Colson stated they have been trying for quite some time to get this approved and that they initially felt that it would go through relatively quickly since it was already approved in 2006. Printup stated since this plan has previously been approved,the only thing that stood for him out was the deck. Printup indicated he is okay with the deck going into the bluff impact zone. Colson stated being a deck,there are other things they can do in order to carry the load points for the deck. Colson indicated on one side of the property there is more of a swale between the two properties and that there is not lakeshore there. Levang stated she would be in favor of the application going back to the Planning Commission. McMillan indicated she also would be in favor of the Planning Commission revisiting the plan. Levang stated she would also like the DNR to weigh in on this application since there was a failure in the past. Curtis indicated she does not know whether that would happen before the Planning Commission meeting but that she will forward the information to the DNR. John Rodel,4725 North Shore Drive, stated the reason the hillside failed was that a number of years ago whoever lived there threw all their garbage over the side. When the hillside failed,there were plastic bottles and milk cartons that caused the less friction slide that sent the entire hillside into the lake. Rodel stated it was a garbage issue and not a structural dirt issue. Rodel stated hopefully the subject property does not have this same problem. Colson stated the deck will not disturb the soil and that it could be as simple as drilling a screw into the ground. Colson stated they will not be changing or disturbing the soil. Levang moved,Bremer seconded,to send Application#12-3582,Colson Custom Homes on behalf of BWB Holdings,LLC,4731 North Shore Drive,back to the Planning Commission for an additional review at their February meeting. VOTE: Ayes 5,Nays 0. Page 16 of 24 • MINUTES OF THE • ORONO CITY COUNCIL MEETING � Monday,February 11,2013 7:00 o'clock p.m. *7. #12-3583 CARL AND ANDREA RHAME,3245 WATERTOWN ROAD—VARIANCES— RESOLUTION NO.6204 Anderson moved,Printup seconded,to adopt RESOLUTION NO.6204,a Resolution Granting Variances to Orono Municipal Code Sections 78-1279,78-1435,78-1680,and 78-1700,for the property located at 3245 Watertown Road. VOTE: Ayes 5,Nays 0. *8. #12-3588 WIPO HOMES ON BEHALF OF NSTIN AND SUSAN KELLY,2990 SUSSEX ROAD—CUP—RESOLUTION NO.6205 Anderson moved,Printup seconded,to adopt RESOLUTION NO. 6205,a Resolution Granting a Conditional Use Permit Pursuant to Municipal Zoning Code Section 78-418,for the property located at 2990 Sussex Road. VOTE: Ayes 5,Nays 0. 8:00 P.M.—HItA MEETING (The City Council meeting was adjourned from 9:08 p.m.to 9:12 p.m.for the HItA meeting) MAYOR/COUNCIL REPORT Levang reported she attended the Leadership Conference for Newly Elected Officials. There were approximately 300 people in attendance and discussions were had relating to finances,planning, legal issues, and leadership skills. Levang indicated they also had an opportunity to network with other lakeshore cities and that overall it was a wonderful experience. Levang noted she also attended the emergency management training and that she was impressed with how respected the leadership in each the cities is and what a wonderful working relationship the cities have with each other. Levang commented that she left there feeling that if there is an emergency in our community,we will be well served. Anderson noted that the Navarre Community Initiative met with Jim Grube, Hennepin County Transportation Director,representatives from the Orono City Council,and Navarre business owners earlier this evening. The next meeting on Navarre is schedule for Apri18`h. At tonight's meeting they looked at options for streetlights and redevelopment plans for the intersection of County Roads 19 and 15. McMillan reported she had lunch with Eric Evenson and Sherri White of the Minnehaha Watershed District and that they discussed general watershed issues. McMillan indicated she brought up the issue of wetland buffers since Orono has had a couple of recent applications that dealt with that. McMillan indicated she also spoke with the City Administrator about scheduling a joint work session with the Planning Commission and that one of the topics of the agenda could be about the differences in the wetland buffers. Loftus requested the City Council check their calendars far April 3`a at 5:30. McMillan noted she received a sample resolution from the LMCC relating to the negotiations and that she has requested the City Administrator include it in the Council packets for the upcoming work session. Page 17 of 24 MINUTES OF THE • ORONO CITY COUNCIL MEETING • Monday,February 11,2013 � 7:00 o'clock p.m. � (MAYOR/COUNCIL REPORT, Continued) Loftus stated the LMCC has done a very comprehensive study on a 10-year outlook that will also be provided to the Council prior to the work session. The LMCC is looking for comments and feedback from the Council. McMillan noted there was a very interesting article on streetlights in the newsletter entitled"The Municipal"and that she will provide it to the City Administrator for distribution to the Council. McMillan noted the community drug forum is scheduled for February 21 S` McMillan asked if the sales tax exemption for local governments will help Orono. Loftus indicated the City currently pays sales tax so it would have a small impact. Loftus noted the governor is proposing to add sales tax to professional services, which will greatly impact the City. The MN League of Cities is attempting to get an exemption for local government. Mattick stated the League has been attempting to get local cities exempted from the sales tax issue. Mattick noted cities also used to be exempted from paying sales tax. McMillan noted the governor's proposal includes a property tax rebate up to $500 regardless of where you live. In discussions with the local mayors,the mayors would prefer to see structural improvements. McMillan encouraged the City Council and Staff to stay on top of the state budget discussions. CITY ADMINISTRATOR'S REPORT 1. Orono Fire Lanes McMillan indicated that Council Member Levang would like to discuss the fire lanes in Orono. Levang stated earlier tonight the City Council discussed an application that was adjacent to a fire lane. Levang noted the Park Commission did create a list of all the fire lanes in the city and that some fire lanes are marked and some are not. Gaffron stated some fire lanes were marked at that time but most were not. Levang stated part of the reason some of them were not marked was due to the cost of the survey. Gaffron indicated there was also the question that people who are not in the neighborhood would suddenly understand where the access points are. Most of the neighborhoods do not have parking available to handle people coming into the neighborhoods and utilizing the fire lanes. The fire lanes were intended to serve the neighborhoods and not draw in people from the outside. The Park Commission and Staff had a concern with marking the various fire lanes since there would be the potential of increased traffic and parking in those neighborhoods. Levang stated some of them are quite improved and are enjoyed by the local residents. In other cases,the City has experienced some problems with residents encroaching on the fire lanes and some are overgrown and have challenging terrain. Page 18 of 24 . MINUTES OF THE � ORONO CITY COUNCIL MEETING . � Monday,February 11,2013 7:00 o'clock p.m. (CITYADMINISTRATOR'S REPORT, Continued) Levang stated she would propose developing a new policy that would allow the City to use the surveys from the adjoining properties to help mark the fire lanes in the event the City ever decided to do that. Gaffron stated the City has adjacent survey work for more than half of the fire lanes. Gaffron stated if those areas have been surveyed,there are probably markers that are fairly easy to find. Bremer suggested this be discussed at a future work session. Bremer indicated she does have somewhat mixed feelings on this issue. One issue is that some of the neighborhoods have experienced turnover and the residents are not familiar with the fire lane and then they become overgrown. In other cases,the topography makes them unusable. Gaffron noted the City's comprehensive plan contains language relating to the fire lanes,their value, historic and potential uses. Gaffron noted some of the fire lanes are not open for public use. McMillan commented the marker could be more inconspicuous for the neighbors. Anderson noted that some of the fire lanes were somewhat controversial when this was discussed at the Park Commission level but that the markers would help remind the residents of where the fire lanes are. 9. CITY CLERK RECRUITMENT Loftus stated in October,the Council voted to approve the City Clerk position for advertisements. At the January 28`�'work session,the Council requested this item be placed on the Council agenda for this evening, and Staff is asking for Council discussion and action regarding this position. McMillan noted the City Council had a fairly lengthy discussion regarding this at their last work session. Printup commented he does not want to sound like a broken record since they have discussed this a couple of times, but that he is comfortable in looking at the city clerk position as a positive since it would be attrition and would not cause any layoffs. Printup noted the City currently has six supervisory department heads to eight line staff below them and that it is important that that gets addressed. Printup stated in his view this helps address that. Also, in looking over the 30-year span in Orono,the City has gained approximately 500 homes and about 700 people in 30 years. Those numbers have stayed basically the same along with the same amount of roads, lakeshare acres,etc.,which leads to the question of whether growth in the city has plateaued. Printup noted that is something that has come in conversations he has had. Printup stated based on those issues,he would be comfortable that the City's statutory responsibilities will be maintained because they have to be and that as a city, it will be okay for Orono to contract in size at the city hall. Page 19 of 24 MINUTES OF THE . ORONO CITY COUNCIL MEETING • Monday,February 11,2013 � 7:00 o'clock p.m. � (9. CITY CLERK RECR UITMENT, Continued) Anderson pointed out the city clerk position itself has those critical state statutory requirements attached to it that really cannot be easily absorbed or feasibly absorbed by other staff inembers as described by the League of Minnesota Cities. Having worked in different city hall capacities far quite a long time, Anderson indicated she looks at the City of Orono and sees that there are perhaps other front-end positions that could be reorganized or lost through attrition. Anderson stated she has some reservation about the level of service that Orono residents have come to expect and that this might be something that will be lacking. Anderson indicated another issue to consider is how Orono's election process will be handled,which consumes a great deal of time. Anderson stated she does have some reservations about not filling this position, especially after the City Council vote in October was 5-0 in favor of moving forward to fill the city clerk position McMillan commented there are times when a person gets time to rethink things and that the City Council deals with a number of different issues at the meetings. McMillan stated this time the Council has an opportunity to reconsider the city clerk position since the City's first round of interviews did not produce someone that the Council felt was right for the position. McMillan indicated that gave her the opportunity to rethink the whole idea of the city clerk position. McMillan stated the city clerk position is a title and that there are certain duties associated with that title. The other function of the city clerk position is to handle the city elections. During the interview process, the Council found out that Plymouth had developed other ways of bringing in additional staff during election times to help out,which was kind of a creative way. McMillan stated there are other ways the city clerk title can happen and that for her it was a big educational piece. McMillan stated she tended to identify the clerk position more with the person who held the position, and that when she detached herself from the personality of it, she realized that maybe the City could incorporate that position into the present staff. McMillan noted that Anderson was correct that the City Council was going in a different direction in October but that they have had a chance to rethink the process. Loftus stated to her understanding the City of Plymouth had approximately 8,000 absentee ballots in 2012, and with that many absentee ballots,they decided that rather than absorbing front office time,they had their election judges hand out ballots and accept or reject them,which is a good way to free up staff time. Loftus noted Orono's city clerk spent 50-plus hours coordinating the election. While Plymouth's actions helped during the election process, Loftus indicated she is not sure that it relieved the actual coordination of the elections. Levang indicated she is standing firm with her prior position that she would like to see this position go away and that it can be handled through attrition. Levang stated in her view the City can be more creative. What Plymouth did is certainly something to look at, but the City can also look at other ways of handling the election responsibilities. Levang agreed that coordination of the elections needs to happen, but that she would like to believe and trust that the City can do that internally. Page 20 of 24 • MINUTES OF THE • ORONO CITY COUNCIL MEETING � � Monday,February 11,2013 7:00 o'clock p.m. (9. CITY CLERK RECR UITMENT, Contin ued) Levang commented that she would take it as a compliment that the Council trusts the City Administrator to be able to do this and that there is staff available. Levang stated there are times when you give people a challenge and they come back with remarkable results. Bremer stated the struggle she has is that she also knew the prior city clerk for many years and that she saw her run in circles in an exempt role where she was not being paid overtime. Bremer expressed concern that the City is being pennywise but pound foolish. Bremer commented whether that will be the case will not be figured out until we go along,but that the City has to be prepared for the answer, at least in the short-term,that it was not a cost savings. If that happens, Bremer stated the Council should not look at it as a criticism of what occurred or the fault of anyone here, but that they need to be prepared for that possibility. Bremer indicated she has been involved in cost saving measures as a business person for many years. In the operation of law,there are very few positions you can do without. With the City at this time and the talent we have,Bremer indicated she felt strongly that the Council needed to replace the city clerk. The replacement person would grow into that position and be a good addition to our group. Bremer commented she is relying on Orono's city administrator who recommended that the position be filled and that she would like to support that management decision. Bremer stated in her view not all of the tasks will be accomplished,and that if the City does see a downturn in customer service,the Council needs to be mindful of that by prioritizing duties and determine how the transition can be made better. Mattick sated since it is a statutory position,the Council will need to appoint someone to the position. Mattick cautioned the City Council that there may be a lot of things that they don't know that she did, such as reviewing and signing off on the minutes and keeping the resolution book. Because there are statutory obligations and liabilities with the position,Mattick stated whoever is appointed,he would recommend the City offer some training to them so they understand the full gamut of the duties. Mattick indicated there are also quarterly and semi-annual issues regarding elections and the City needs to make sure that the work load is appropriately shifted. Mattick stated the Council needs to make sure they understand all of the City's obligations and that when that position is appointed,that person has the appropriate resources available to them. McMillan asked how long he would recommend they should operate with a deputy city clerk. Mattick indicated as short of a time as possible,and that perhaps the motion tonight would be to suspend or cancel the advertisements and then at the next meeting appoint someone to fill that position. Mattick noted Rachel Dodge is currently the deputy city clerk. Printup moved,Levang seconded,to cancel the advertisements for the city clerk position and to identify a staff person to be appointed as city clerk at the next city council meeting. VOTE: Ayes 3, Nays 2,Bremer and Anderson opposed. Page 21 of 24 MINUTES OF THE . ORONO CITY COUNCIL MEETING • Monday,February 11,2013 � . 7:00 o'clock p.m. *10. WESTERN COMMUNITIES ACTION NETWORK(WeCAI�REQUEST FOR CDBG SUPPORT Anderson moved,Printup seconded,to approve sending a letter of support for the CDBG grant application being submitted by the Western Communities Action Network. VOTE: Ayes 5,Nays 0. 11. 2012 GENERAL FUND BUDGET INFORMATION Ron Olson,Finance Director, noted some preliminary numbers are available for 2012. The revenues numbers are close to 100 percent accurate and that he does not foresee any major changes to those numbers. Because the City is still receiving and processing some transactions from 2012,the amounts should be considered preliminary. Currently revenues are at 99 percent of budget. Delinquent property taxes are the main reason why the City is only at 99 percent. Olson noted the City also had some tax abatements that happened dating back to 2007. In December, delinquent ta�c collections were negative numbers,which resulted in less revenue. Licenses and permits are at 105 percent. Other government revenues ended the year at 93 percent. The line item for police state aid was at 94.6 percent of the budget. This revenue source can vary based on the surcharge collected and the number of officers employed in the state. Another item in this category that was under budget was the line for state grants(other). This revenue source is received from the State of Minnesota and reimburses participating cities for the overtime costs associated with programs like Safe and Sober. Charges for services are under budget at 97.6 percent as a result of the engineering and legal fees. These are pass-through charges that are associated with variance applications. This revenue shorlfall is offset by reduced expenditures in the Special Services Department. The final revenue category that is significantly under budget is the golf course,which finished the year at only 80.9 percent of revenue. Olson stated the City will need to come up with a way to increase revenues for the golf course. As it relates to the golf course,revenues have gradually decreased over the years and this year they are down to $110,000 from $215,000 in 2003. In addition to revenues being down,the expenditures were over budget this year. Olson noted they have previously made some pretty significant cuts to the golf course and that it will be difficult to cut any more from their budget. For the year the golf course had an operating loss of$57,225. The overall General Fund expenditure amounts are currently at 94.6 percent of budget. This figure is based on actual expenditures to date,with an estimated amount added for expenditures that have not yet been processed. Taxes represent 68 percent of the budget. If you take out the taxes and charges for services,there are not too many ways to increase revenues. Some other cities receive more in aid but Orono's state aid is limited. Olson noted the assessing department was over budget and finished the year at 101.9 percent. This overage was the result of additional work required as part of new construction. The 2013 budget does include an estimated amount above the base contract to avoid the need for a budget adjustment next year. Page 22 of 24 MINUTES OF THE . ORONO CITY COUNCIL MEETING • Monday,February 11,2013 � , 7:00 o'clock p.m. (Il. 2012 GENERAL FUND BUDGET INFORMATION, Continued) The remaining departments were either at or below budgeted amounts. The Police Department represents 40 percent of the General Fund budget and was at 96.33 percent. Savings in the city benefit contribution represents a large percentage of the savings. This is the result of officers that either waive or choose single coverage and overtime being down. The City's tax levy history demonstrates that as a City we are very dependent on ta�ces for revenue. Keeping taxes flat the past few years has resulted in expenditures needing to be cut. Olson stated after three or four years of a flat levy, it is getting tougher and tougher to find ways to cut expenditures. Last year the City received$350,000 for building permits. Building permit revenue has been increasing gradually since 2009 but the City is still not at the levels experienced in 2007. The City is, however, starting to move in the right direction. Building and zoning is at 92 percent of budget. Olson indicated Jesse Struve has been very good at reviewing applications,which saves the City money by not having to send the applications out to the consulting engineer. Approximately$17,000 was saved because of the RFP last year. In addition,Consulting Engineer Dave Martini does not charge the City for attending a meeting at the City. The total savings in engineering between those two departments is approximately $45,000. The Public Works Department is at 91 percent of budget. The Public Words Department used less salt and sand and perhaps less patching materials, which helps account for them being under budget. McMillan asked what happens next with the City's finances for 2012. Olson indicated the auditors have been here and have done their preliminary field work. The auditors were originally scheduled for three days but only came for one day. The auditors will be back out to the City in April to do their final work and then will appear before the City Council with their results at one of the meetings in May. The City Council took no formal action on this item. *12. 2013 PAY F.QUITY REPORT Anderson moved,Printup seconded,to approve the City's 2013 Pay Equity Report. VOTE: Ayes 5,Nays 0. CITY ATTORNEY'S REPORT Mattick stated he had nothing to report. Page 23 of 24 . MINUTES OF THE � ORONO CITY COUNCIL MEETING r � Monday,February 11,2013 7:00 o'clock p.m. *13. LICENSES & PERMITS Residential Kennel Licenses 1. Britt and Richard Gage 2180 Abingdon Way 2. Gregg Rutter 900 Dakota Avenue Massage Therapy License 3. All Bodies Pilates and Wellness Andrea Odenwald 3384 Shoreline Drive Anderson moved,Printup seconded,to approve the above-listed licenses. VOTE: Ayes 5,Nays 0. *14. BILLS Anderson moved,Printup seconded,to approve payment of the All Funds Account. VOTE: Ayes 5,Nays 0. ADJOURNMENT Levang moved,Printup seconded,to adjourn the Orono City Council meeting at 9:59 p.m. VOTE: Ayes 5,Nays 0. ATTEST: t c��---,�-e--.�� �a�' Rachel Dodge, Deputy City Clerk Lili Tod Mc illan, Mayor Page 24 of 24