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CC - November 7, 2012
C VN66Y I © 1685 CROSSTOWN BOULEVARD N.W. • ANDOVER, MINNESOTA 55304 • (763) 755 -5100 FAX (763) 755 -8923 • WWW.ANDOVERMN.GOV Regular City Council Meeting — Wednesday, November 7, 2012 Call to Order — 7:00 p.m. Pledge of Allegiance Resident Forum Agenda Approval 1. Approval of Minutes (10/2/12 Regular; 10/16/12 Regular; 10/23/12 Workshop; 10/23/12 Closed) Consent Items 2. Approve Payment of Claims — Finance 3. Accept Resignation of Planning and Zoning Commissioner Michael Olsen and Appoint Michael Steel to Serve the Remaining Term — Planning 4. Award Demolition Quote /12- 31/31/3535 —16151 Avenue NW (Sports Complex) /(Supplemental) - Engineering 5. Approve Land Purchase Agreement/Open Space /40 acres /PID #11- 32 -24 -31 -0001 - Administration 6. Approve Land Purchase Agreement /Open Space /10 acres/PID #11- 32 -24 -24 -0001 - Administration 7. Approve Land Purchase Agreement/Open Space /Easement/PID #11- 32 -24 -23 -0001 — © Administration 8. Approve Resolution Calling for a Public Hearing on Proposed Property Tax Abatements for a Cormnunity Center Project — Administration 9. Approve LMCIT Liability Coverage - Administration Discussion Items 10. Hold Public Hearing— Delinquent Utilities & Sewer Charges/Fines - Administration 11. Hold Public Hearing/Adopt Assessment Roll /12 -2a (Ivywood Estates) /2012 Street Reconstruction - Engineering, 12. Hold Public Hearing/Adopt Assessment Roll /12 -2b (Johnson's Oakmount Terrace) & 12 -2c (147t�' Avenue NW) /2012 Street Reconstruction — Engineering 13. Discuss /Approve Amendment to the City Code 12 -12 — Hours of Operation — Planning 14. Discuss Safe Routes to Schools for Trail System — Engineering Staff Items 15. Set Date to Canvass Election Results — Administration 16. Administrator's Report — Administration Mayor /Council Input Closed Session: Land negotiation contingencies: PID #s 11- 32 -24 -31 -0001, 11- 32 -24 -24 -0001 & © 11- 32 -24 -23 -0001 Adjournment H "Y'Y ^v LND REGULAR ANDOVER CITY COUNCIL MEETING — NOVEMBER 7, 2012 MINUTES The Regular Bi- Monthly Meeting of the Andover City Council was called to order by Mayor Mike Gamache, November 7, 2012, 7:03 p.m., at the Andover City Hall, 1685 Crosstown Boulevard NW, Andover, Minnesota. Councilmembers present: Mike Knight, Sheri Bukkila (arrived at 7:06 p.m.), Julie Trude and Tony Howard Councilmember absent: None Also present: City Administrator, Jim Dickinson Community Development Director, Dave Carlberg City Engineer, David Berkowitz City Attorney, Scott Baumgartner Others PLEDGE OFALLEGIANCE RESIDENT FORUM Mr. John Stong, 2333 155"' Lane NW, Andover, asked if the Council would be taking public input in regard to the proposed ordinance amendment, hours of operation. Mayor Gamache stated the Council would take public input during the discussion. AGENDA APPROVAL Mayor Gamache stated staff had provided supplemental information for Item 4 and Item 8. He also added Item 9a. Accept Resignation of Irwin Russell, Streets Supervisor to the Consent Items. Motion by Councilmember Trude, Seconded by Councilmember Howard, to approve the Agenda as amended. Motion carried 4 ayes, 1 absent ( Bukkila). Councilmember Bukkila arrived at 7:06 p.m. © APPROVAL OF MINUTES October 2, 2012 Regular City Council Meeting © Regular Andover City Council Meeting Minutes —November 7, 2012 Page 2 u Councilmember Trade stated on page 6, line 8, the word "asked" should be deleted. Motion by Councilmember Trade, Seconded by Councilmember Howard, to approve the October 2, 2012, Regular City Council minutes as amended. The motion carried unanimously. October 16, 2012 Regular City Council Meeting Motion by Councilmember Trade, Seconded by Councilmember Bukkila, to approve the October 16, 2012, Regular City Council minutes as presented. The motion carried unanimously. October 23, 2012 City Council Workshop Meeting Councilmember Trade stated on page 5, line 28, the word "allocated" should be "allocate ". Motion by Councilmember Trade, Seconded by Councilmember Howard, to approve the October 23, 2012, City Council Workshop minutes as amended. The motion carried unanimously. October 23, 2012 Closed City Council Meeting Motion by Councilmember Bukkila, Seconded by Councilmember Trade, to approve the October 23, 2012, Closed City Council Meeting minutes as presented. The motion carried unanimously. CONSENT ITEMS Item 2 Approve Payment of Claims Item 3 Accept Resignation of Planning and Zoning Commissioner Michael Olsen and Appoint Michael Steele to Serve the Remaining Term Item 4 Award Demolition Quote /12- 31/31/3535 —1615` Avenue NW (Sports Complex) /(Supplemental) Item 5 Approve Land Purchase Agreement /Open Space /40 acres/PID #11- 32 -24 -31 -0001 Item 6 Approve Land Purchase Agreement/Open Space /10 acres /PID #11- 32 -24 -24 -0001 Item 7 Approve Land Purchase Agreement/Open Space /Easement/PID #11- 32 -24 -23 -001 Item 8 Approve Resolution Calling for a Public Hearing on Proposed Property Tax Abatements for a Community Center Project (Supplemental) (See Resolution R108 -12) Item 9 Approve LMCIT Liability Coverage © Item 9a Accept Resignation of Irwin Russell, Streets Supervisor Motion by Councilmember Bukkila, Seconded by Councilmember Knight, for approval of the Consent Agenda as amended. Motion carried unanimously. © Regular Andover City Council Meeting Minutes —November 7, 2012 Page 3 PUBLIC HEARING: DELINQUENT UTILITIES AND SEWER CHARGES /FINES City Administrator Dickinson stated City Code Title 10 Chapter 3, 10 -3 -313; City Code Title 10 Chapter 1, 10 -9F; and City Code Title 8 Chapter 5, 8 -5 -31) provide for the collection by assessment of unpaid sewer, water, storm sewer, street lighting service charges, false alarm fines, tree removal, mowing fees and miscellaneous abatement fees. The assessment procedures directed by State Statute 429 are being followed by holding the public hearing. The total delinquent services to be assessed are $54,696.24. The delinquent balances as of October 19, 2012 are charged an administrative fee of 15% and will carry an 8% interest rate when certified to Anoka County for collection with the 2013 taxes. The highest delinquent amount the City of Andover has had was $98,400 in 2008 and has been decreasing since that time. Motion by Councilmember Howard, Seconded by Councilmember Knight, to Open the Public Hearing at 7:12 p.m. The motion carried unanimously. There was no public input. Motion by Councilmember Knight, Seconded by Councilmember Bukkila to Close the Public QHearing at 7:13 p.m. The motion carried unanimously. Motion by Councilmember Trude, Seconded by Councilmember Bukkila, to approve a resolution adopting the assessment roll for the certification of delinquent sewer, water, storm sewer, street lighting charges, false alarm fines, tree removal, mowing fees and/or miscellaneous abatement fees. The motion carried unanimously. (See Resolution R109 -12) PUBLIC HEARING /ADOPT ASSESSMENT ROLL112 -2a (IVYWOOD ESTATES) 12012 STREET RECONSTR UCTION City Engineer Berkowitz stated during the summer of 2012, the streets in the Ivywood Estates development were reconstructed with the Roadway Reconstruction Assessment Policy, 25% of the total project costs are being assessed to the benefiting properties. The estimated assessments were $5,160.00 and the actual assessment rate per unit is $3,822.08. Based on current market conditions, the Finance Department is recommending these assessments be extended over a 10 -year period at a 4.5% interest rate. Motion by Councilmember Bukkila, Seconded by Councilmember Knight, to Open the Public Hearing at 7:16 p.m. The motion carried unanimously. There was no public input. Motion by Councilmember Bukkila, Seconded by Councilmember Howard to Close the Public Hearing at 7:17 p.m. The motion carried unanimously. © Regular Andover City Council Meeting Minutes —November 7, 2012 Page 4 Motion by Councilmember Howard, Seconded by Councilmember Trude to approve a resolution adopting the assessment roll for the improvement of project no. 12 -2a, Ivywood Estates /2012 Street Reconstruction for $3,822.08 at a rate of 4.5% for 10 years. The motion carried unanimously. (See Resolution R110 -12) PUBLIC HEARING /ADOPT ASSESSMENT ROLL112 -2b (JOHNSON'S OAKMOUNT TERRACE) AND 12 -2c 147TH AVENUE NW) 12012 STREET RECONSTRUCTION City Engineer Berkowitz stated during the summer of 2012, the streets in the Johnson's Oakmount Terrace development and 147' Avenue NW were reconstructed with the Roadway Reconstruction Assessment Policy, 25% of the total project costs are being assessed to the benefiting properties. The estimated assessments were $7,070.00 and the actual assessment rate per unit is $4,566.79. Based on current market conditions, the Finance Department is recommending these assessments be extended over a 10 -year period at a 4.5% interest rate. There have been restoration concerns with this project and the City will respond to these concerns and reseed in the spring. © Motion by Councilmember Howard, Seconded by Councilmember Bukkila, to Open the Public Hearing at 7:21 p.m. The motion carried unanimously. Ms. Pam Odash, 14597 Guarani Street NW, Andover, stated the landscaping company that had been used with this project did not do a good job and she would recommend not using them for future projects. She also stated at the last public hearing the City Council had discussed the possibility of extending the terms from 10 years to 15 years. She asked if this was still an option being considered by the Council. She would like to see the term extended in order to reduce the annual amount. Councilmember Bukkila stated this had been discussed by the Council but it had been determined this option would be dependant on what the actual assessment amount would be. Staff would need to review this request in order to determine if the extended time would be beneficial and if a higher interest rate should be charged for this. Councilmember Trude stated she would support extending the terms to lower the annual rate. The Council had told the residents this would be something the Council would consider. Councilmember Knight stated he would also support extending the term if needed. City Administrator Dickinson stated if the term was extended 5 years this would lower the payment to high $300 per year but the City should look at the interest rate. If the rate is extended it is not unusual to charge a higher interest rate. If the property were sold then the assessment would need to be paid. Regular Andover City Council Meeting Minutes —November 7, 2012 Page 5 Ms. Odash stated the extended time would help her family at this time due to a personal hardship. Councilmember Trude asked if the entire project would need to be assessed the same or if the Council could choose to assess this particular property differently due to her request. City Administrator Dickinson stated the Council could choose to assess this property with a different term. He would request the Council approve two (2) separate resolutions to identify the exclusion of the property from one resolution and identifying it at the new term in a second resolution. Mayor Gamache asked what would happen if a resident calls after the meeting saying they would like to have their term extended as well but they had not been at the meeting. City Administrator Dickinson stated this is the risk they run by not attending the meetings. Ms. Odash stated she would like to extend the term to 12- years. ® Mr. Joe Zborowski, 14582 Guarani Street, Andover, stated he had discussed his landscaping concerns with City Engineer Berkowitz but he would like to have the sod that was placed redone. The landscapers did not do a good job in releveling the property and the sod did not take in all areas. He had done all the proper maintenance but it did not take. City Engineer Berkowitz asked Mr. Zborowski to contact the City in the spring and he would work with him on this issue. Motion by Councilmember Knight, Seconded by Councilmember Bukkila, to Close the Public Hearing at 7:31 p.m. The motion carried unanimously. City Administrator Dickinson clarified the deadline to payoff the assessed amount before it would be certified to the property taxes is December 7, 2012. Motion by Councilmember Bukkila, Seconded by Councilmember Howard, to approve a resolution adopting the assessment roll for the improvement of project nos. 12 -2b, Johnson's Oakmount Terrace and 12 -2c, 147`h Avenue Nw /2012 Street Reconstruction, excluding PID #30- 32 -24 -13 -0040, for an amount of $4,566.79 for a term of 10 -years at 4.5 %. The motion carried unanimously. (See Resolution R111 -12) Motion by Councilmember Trude, Seconded by Councilmember Howard, to approve a resolution adopting the assessment roll for the improvement of project nos. 12 -2b, Johnson's Oakmount Terrace and 12 -2c, 147`h Avenue Nw /2012 Street Reconstruction for PID #30- 32 -24 -13 -0040, for an amount of $4,566.79 for a term of 12 -years at 4.5 %. The motion carried unanimously. (See Resolution R112 -12) © Regular Andover City Council Meeting Minutes — November 7, 2012 Page 6 DISCUSS /APPROVE AMENDMENT TO THE CITY CODE 12 -12 — HOURS OF OPERATION Community Development Director Carlberg stated the Council is requested to review and consider an amendment to the City Code 12 -12 to allow the "continuous operation" of a business as a permitted use in the Shopping Center (SC), General Business (GB) and Industrial (I) Districts and as a conditional use in the Limited Business (LB) and Neighborhood Business (NB) Districts. The Planning and Zoning Commission at their October 9, 2012 workshop reviewed a recent amendment to the City Code defining continuous and non - continuous hours of operation. The Commission reviewed the definitions in reference to section 12 -12, the land use table. The Commission found that the definition of non - continuous operation limited retail business from expanding their hours during the holiday shopping season. However, in the Neighborhood Business and Shopping Center Districts 24 -hour continuous operation is permitted. The majority of the Commission agreed that in the SC, GB, and I Districts continuous operation should be allowed as a permitted use due to the more intense land uses allowed in these districts. They also agreed that in the LB and NB Districts, which are commonly located closer to residential areas and have more of an impact on adjacent residences, to allow continuous operation only with the granting of a conditional use permit. © Councilmember Trade asked if any of the surrounding property owners had received notice of this meeting. She stated if this had been a zoning request then notice would have been sent to property owners within 350 -feet of the property. Community Development Director Carlberg stated the City did not notify any individual property owners. This is a text amendment, not related to a specific parcel. Councilmember Trade stated this request is changing zoning and does impact the properties surrounding these districts. Community Development Director Carlberg stated this request is similar to the text amendment done by the Council defining continuous and non - continuous hours of operation. The approved uses in these districts would not be changing. The City did not notify property owners of the meeting when the definitions were discussed. Councilmember Trade stated with the text change the uses did not change but with this request the zoning and use chart will be changed. It would make uses permitted that were not previously. Community Development Director Carlberg stated there were changes being proposed but the City followed the legal process, which is to do a publication in the local newspaper. © Councilmember Trade stated it was her understanding, at the Commission workshop that Wal- Mart presented a letter asking for this change. She asked if anyone else had presented a letter asking for this change. ® Regular Andover City Council Meeting Minutes —November 7, 2012 Page 7 Community Development Director Carlberg stated the City did not receive any letters asking for this change. The City has received a -mails and public correspondence in support of the request. Councilmember Trade stated Wal -Mart did appear and presented a letter on October 8`" and they wanted the Planning Commission to change the 24 -hour continuous operation for the GB District on the land use chart to a permitted use. This letter was part of the discussion at the Planning Commission workshop. Community Development Director Carlberg stated the referenced letter is included in the Council packet. Councilmember Trade asked why the City or Wal -Mart did not have to send notice to anyone living within 350 -feet of their site of the meeting because they were requesting this change. Councilmember Bukkila stated the change was not initiated by Wal -Mart. Councilmember Trade stated she was asking Community Development Director Carlberg and City Attorney Baumgartner. Community Development Director Carlberg stated it is not a requirement. The letter received from Wal -Mart was in support of the change. Wal -Mart was aware that the Planning Commission would be discussing this issue and they sent a letter of support. Councilmember Trade stated she was clarifying the facts because she has had people calling her trying to figure out what has happened. These people were surprised that people who lived 5- miles away were showing up to support all night business but they did not get notice that there could be all night business in their backyards. She clarified that no one got a personal notice. When the City Council looked at changing the definitions a notice was mailed to business owners. Community Development Director Carlberg stated at that time a notice was sent to all of the City's business owners as a courtesy. Councilmember Trade asked if any courtesy notices were sent in regard to this last discussion. Community Development Director Carlberg stated the City did not send notices but the meeting was posted in the official newspaper as required. Councilmember Trade clarified that if Wal -Mart had requested the change then the residents within 350 -feet of the property would have received a letter of notification from the City. Mayor Gamache stated there had been a public hearing at the Planning and Zoning Commission meeting and public input was taken at that time. The Council will also accept additional © Regular Andover City Council Meeting Minutes —November 7, 2012 Page 8 comments tonight. Councilmember Trade asked for the history of the GB District and how it had been zoned. The GB zoning was in place when there were junkyards and the superfund site. Community Development Director Carlberg stated the zoning changed south of Bunker Lake Boulevard happened after the junkyards were acquired. These had been zoned Industrial. With the development of Parkside at Andover Station area, Target and Festival these areas were rezoned to general business. The General Business area has expanded as development has occurred. Councilmember Bukkila asked for clarification on the differences between the General Business and Neighborhood Business Districts. Community Development Director Carlberg stated the biggest difference would be the intensity of uses. The NB District is typically adjacent to residential areas and serves those neighborhoods that are adjacent to it. The GB District is the larger commercial area that serves a larger area and could be more regional in nature. The idea is that the lower intensity of uses would be located acloser to residential areas to the general business and industrial areas would be located near residential areas with buffering such as multi - family housing between those areas and single family homes. Mayor Gamache stated currently the SC and NB Districts can currently operate 24 -hour continuous. He asked for additional clarification regarding the service stations located on the corners of Hanson Boulevard and Bunker Lake Boulevard. Community Development Director Carlberg stated these are service stations and they operate under Conditional Use Permits (CUPS). If they had wanted to operate 24 -hours they could have had that set during that process. Mayor Gamache stated past Councils had put these zones in place and determined at that time the GB and I District would not be allowed to operate 24 -hour continuous. Community Development Director Carlberg stated in 2002 there had been a Neighborhood Commercial study done. This was a trigger mechanism that allowed the NB District to operate 24 -hour and as a default the SC District was included because this district allows all the same uses as the NB District. The original code prior to this was set in the 1970s. Councilmember Trade stated the shopping center business owners had operated 24 -hour previously. These businesses had expressed concern that the Planning Commission had stated they could be continuous with the change but they are now allowed 24 -hour continous. She clarified the recommendation from the Planning Commission did not make any changes to the SC District hours of operation. Q Regular Andover City Council Meeting Minutes —November 7, 2012 Page 9 Community Development Director Carlberg stated this was correct. Councilmember Trude stated the big change she has seen since being on the Council and living in Andover is the cleanup of the junkyards and the issuance of $6 Million in Tax Increment Bonds to get rid of the junkyards and auto salvage yards. She stated she was not here when the superfund site was cleaned up but this area of the City has changed dramatically. The vision and the goal that the Council had in the late 1990s, as Andover Station was developed, was a small town community where people could walk and bike and live adjacent or nearby the small downtown community. These types of communities just do not operate 24 -hours because people are sleeping next door. She stated she sees this going on and people who live in the townhomes behind Target and Festival Foods are walking and shopping the stores in that area and at night everything shuts down and is quiet. The City zoned this housing in the middle of this to go in line with this vision of what Andover Station was. This has served the City well and the City received an award in the early 2000s for this small town community design. The EDA talked about this again at 6:00 p.m. tonight in regard to the area between the landfill site and the current Pov's site. There are new single family homes selling at $200,000 plus and people want to live in an area that is compatible to sleeping and shopping but this all night thing was not part of the picture when they bought their lots. This was not part of the picture when the City contracted the development of this area. The EDA took over a foreclosed and abandoned project that was involved in a bankruptcy and foreclosure and the EDA bought that land back and began working with Mr. Minks to build homes. People want to live in Andover and they like the quiet neighborhoods and lifestyle. They knew they were next to a place that was open until 2:00 a.m. but they knew it would close at 2:00 a.m. and this was only two (2) nights a week. Now everything around them and near them might go 24 -hour every single day with the traffic, the light, the car doors slamming, and people yelling and this spoils the whole vision the City has worked so hard on creating for this community. She stated she is not willing to give this up. She was part of creating this vision and the City has won awards for it. People are coming to Andover and talking about the business climate. She stated every business owner that has talked to her has stated they are content and happy and they are not concerned about the City's business climate but they are concerned about the change in the business climate this change would create. If some of the neighboring shops are open 24 -hour and they are not, they have concerns about security for their shops in a different way than they have now. If a law enforcement officer is patrolling the community now they know they are not expected to see traffic, customers, and people. Recently there was a situation where kids were walking down the street with a backpack and they were arrested because they had broken into Pov's. This would not have been noticed if there were people coming and going all night. The people that are buying homes now and other residents have stated they felt betrayed because the Council had told them that if Wal -Mart asked for a zoning change for their property or something that impacted them, there would be metal signs on the property and they could come to City Hall and let the Council know what they © thought about it. They feel betrayed because there was a workshop and this was brought up and it was only published in the Anoka Union. The Anoka Union is a half -inch thick with all the notices and they may have missed it. It all comes to the Council and they are following these agendas and meetings and she does not want to give up the vision she has for the community. If © Regular Andover City Council Meeting Minutes —November 7, 2012 Page 10 Wal -Mart wants a rezoning of their property they need to do it the right way. Councilmember Bukkila stated the discussions have gotten sidetracked from what it is the City has been trying to do for the last four (4) years she has been on the Council. The City has been trying to lower the taxes, increase the tax base, reevaluate what is on the books for regulations and ordinances, and determine if these are just as applicable today as they were then. Andover needs to determine what they need to do to be a fiscally responsible community that does not have high taxes during a recession. Some of these things were to direct staff to find ways for the City to be more business friendly and ways of being more responsive to the business community. Recognizing that a vast majority of the business owners are not voters in Andover. She stated she has heard from residents in the City who do own businesses they say they would not own one in Andover for similar reasons that are being looked at now. The City wanted to fix this. Part of what that mission entailed was a retail market analysis and a review by the Planning and Zoning Commission. This review was starting early in 2012 and this is what they had taken up as part of this discussion. Some of these discussions have been derailed by Wal -Mart coming into the community and the development of the Pov's area. The idea that it was Wal -Mart that initiated these discussions is not true. The Council and their direction to staff, through the request of the retail market analysis, initiated this. This analysis told the City that their primary weaknesses were a lack of commercial and industry or retail operation businesses and lack of growth. Four (4) respondents felt that Andover had high property taxes. Andover is a tough crowd because they expect more and community standards are high. Councilmember Trude stated she would challenge these statements. Mayor Gamache stated Councilmember Bukkila has the floor at this time. Councilmember Bukkila stated the analysis stated the City is difficult to work with. There are no major roadways or highways, politics are negative, and it is not a business friendly community. There are not a lot of restaurants and there is no reason to come to Andover to mill around. When asked what types of business respondents would like to see in Andover they overwhelming responded they would like to see something that created more jobs and employment in the area. When asked what changes would improve their business, respondents stated more employees. As part of this analysis business owners were asked if they had any further comments or questions the responses were "City and government tend to get in the way of businesses by passing ordinances that get in the way of development ", "Andover is making positive moves, however; policies, procedures, and ordinances need to be reviewed if the goal is to grow the City ", and "there is no uniformity on laws and ordinance enforcement, business owners need to get involved and support each other for the common goal of growth." She stated she had gone to the League of Minnesota Cities website and reviewed their new report talking about market value and tax capacity composition and the make up of the tax -base. When talking about a thriving community people will say they need businesses because they help with the tax -base. This is because businesses pay more in taxes than homeowners do. Businesses help support what the residents want in the community such as roads, the Community Center, lower assessments, Regular Andover City Council Meeting Minutes —November 7, 2012 Page 11 and trails. The amenities cost money. The Council just approved 200 delinquent utilities to be assessed to the tax rolls. People are still suffering economically. There are things changing politically at the State and Federal level that the City can't see at this time and this could cost the City more money. When it comes to businesses moving to town the City needs to be fair. Residents do not have to shop at these locations and the City should not interfere in the market. Business should compete with each other and this is part of the risk of doing business. The business community says that Andover's reputation is that it is extremely difficult to work with. When it comes to what the City can afford and the standards that Andover has developed this reputation has cost the City and increased taxes to residents. The City and residents need to understand that this is a give and take. If there are higher standards then there will be higher taxes and without the business tax -base this responsibility falls on the residents. The City is looking at increasing the size of the Community Center and this will take a tax increase. She stated she does not have a problem with the City paying for things as long as the City is maximizing their opportunities. Andover is not on a state highway so there will never be significant commercial enterprise in Andover. It will always be "bedroom" because the City is not capable of growing that large. The idea that Andover will become a metropolis is a far- fetched notion. She stated she lives 400 -feet from the commercial district and she is accepting of this change. Other cities around the metro do not regulate hours of operation. A retail operation, ® isn't something most cities are concerned about. Brooklyn Center, Forest Lake, Inver Grove Heights, Richfield, St. Louis Park, and Vadnais Heights only restrict hours of operation through a planned unit development or conditional use permit when the business is abutting a neighborhood. Hours of operation are not routinely regulated. Setting hours of operation in the GB District will restrict the City and delay the development. The retail market analysis showed it could take 20 -years to develop 60% of the commercial area the City has to develop. The added restrictions will cause a prolonged delay in this development and this will cause the residential taxes to not be offset by business. She stated she supports what the Planning and Zoning Commission has tried to do by looking at what is relevant, what the City needs to do to grow as a community, what is good common sense planning. They believe there should be more restrictions in neighborhood business areas but in the main commercial areas they do not believe these restrictions are applicable. The commercial area needs to have more density. The City needs to do more to get rid of parking lots and build up the commercial business. The City is not living up to its potential and their standards are getting in the way. Mayor Gamache stated the Council would provide 15- minutes for public comment. Ms. Dawn Schnickles- Johnson, 1553 140t1i Lane NW, Andover, stated she sat at the City Council meeting where the definitions were approved for what general business was. Shortly after that Peggy Scott, the State Representative for this area, sent an e -mail that states she should get involved and show up and she was pushing to have this go back to the Planning and Zoning for further discussion. She stated the residents have been before the Council before and even though the Council has a responsibility to the businesses they also have a responsibility to the residents. The residents felt that a reasonable thing for those people who live around the business area would be to have businesses close for 5 -hours during the overnight hours. This is not unrealistic. Regular Andover City Council Meeting Minutes — November 7, 2012 Page 12 She stated she has had several residents come and thank her for coming to the Council and speaking for them because they are not ready for the traffic and noise that would be in this area. She would like to see the Council continue to listen to the residents and not allow businesses to be open 24- hours. They can operate and make money and they do not have to be open 24- hours. Cory Podany, Anytime Fitness, 3450 Bunker Lake Boulevard, Andover, stated the facility is intended to operate as a 24 -hour location. Members have access to the facility after regular hours through a card key and he would not like to see the hours of operation for this area change because at this time he is allowed to operate 24- hours. Councilmember Trude stated the Anytime Fitness location is in the NB District and this district does allow 24 -hour operation. If the Council does not follow through with the recommendation of the Planning and Zoning Commission then there would be no changes to the hours of operation for this location. Councilmember Bukkila asked if Mr. Podany would be agreeable to this business being "grandfathered" in if the hours of operation were changed for this district and the City waived the fee for the CUP. Mr. Podany stated he would be agreeable to this as long as there was no fee involved. Mr. Hugh Ward, 13350 Nightingale Street NW, Andover, stated he would have no problem paying more taxes to keep his neighborhood quiet. A business that operates 24 -hours will not significantly contribute that much to the City's tax base. Residents want the small town feel that Andover has. Not many residents in Andover would work a minimum wage job overnight. The Council needs to consider the residents and what kind of living conditions they are providing for them. The community needs the quiet hours to keep the small town feel. Mr. John Stong, 2333 155th Lane NW, Andover, stated other communities do not tell businesses when they can be open. There may be a few people that go to Wal -Mart in the overnight hours. This is an area that does not have a major roadway and is not really that good of a location. The City is telling businesses when and how they can run their businesses. There are several Wal- Mart locations near residential areas and these communities have not dictated when they should be open. If Wal -Mart is not open it is because they have chosen not to be open. Wal -Mart is a business with a solid reputation that will provide employment for the residents. He stated he would not like to pay more in taxes to support the City. The City needs more businesses to offset the costs of the amenities the residents want. If the City wants to say they are open to businesses then they should not restrict them. Councilmember Trude stated the Shopping Center and Neighborhood Business Districts are able to operate 24 -hour if they choose. Mr. Jeff Sears, 2334 158th Avenue, stated he supports lowering taxes as long as it is a reputable Q Regular Andover City Council Meeting Minutes —November 7, 2012 Page 13 business and Wal -Mart may have a bad rap but they are a profitable and reputable business. He stated he likes the amenities in the community but he would not like to see his taxes go up. This is a location that will not have hundreds of people coming and going from it during the overnight hours. There will not be an increase in delinquency because there are businesses open 24 -hours in this district. He stated he is a business owner but chose to operate in Fridley because they were easier to work with than Andover. He stated he would support the General Business District being open to operate 24- hours. Community Development Director Carlberg stated the General Business District was not designed to service just Andover residents but rather to bring people to our community to shop. This is a district that is the focal point of the City's commercial activity. Anytime there is an amendment to Chapter 12 of the City Code the Comprehensive Plan needs to be reviewed and the Planning and Zoning Commission did this. There were no residential properties noticed when the Council took action on the definitions. The business community received a courtesy notice so they would be involved in the process as it affects business. The letter from Wal -Mart was in support of 24 -hour operation because the Planning Commission was already planning to review this and how it affects the businesses. The Planning Commission looks at how things affect the business community. In regard to Wal -Mart specifically, research showed that only two (2) Wal- Mart stores in Minnesota had their hours regulated through a PUD. All the other stores set their own hours. There were a couple of communities that regulated other businesses but this was because they were adjacent to a residential area. Mayor Gamache stated it is true that Andover does not have any state highways or freeways and they are dependant on the County roads to bring business to the City. Commercial development has some barriers based on this. It is difficult to bring in a business that has large trucks because of the problems with access. Andover does have standards similar to other communities. The State also has several regulations that restrict business such as being able to purchase an automobile or alcohol on Sundays. The ordinances are set according to what is important to the community. The original code only stated there was no continuous operation allowed. Wal -Mart was interested in 24 -hour operation but there was no set definition on what non - continuous and continuous hours of operation were. The City Council set these definitions so businesses were aware of what the City expected. Until this time there has not been a business interested in operating 24 -hour in the City except in the NB and SC Districts and this is why those districts were changed. There are also CUPS approved in the City for businesses. The City needs to compromise. There needs to be more businesses in Andover. He stated he did not believe the inability to operate 24 -hour would keep Wal -Mart from moving into Andover. This is a good location for them. The City has seen some growth with the other businesses in this area. The City has been working with the businesses in order to maintain the standards the City wants. Councilmember Howard stated the 5 -hour closing requirement was a clarification of what the City already had in place. Wal -Mart knew that the City had a shutdown period and the City just made this clear in the ordinance for all businesses. Andover is business friendly. The 24 -hour is not important for Andover because it is quiet during the overnight hours. Having businesses Regular Andover City Council Meeting Minutes —November 7, 2012 Page 14 open 24 -hour would loose some of the appeal of the community as a family orientated community. Having the GB District area open 24 -hour would also hurt the housing project the EDA is currently working on at Parkside at Andover Station. The City does need to determine a way to work with the retail establishments during their large sales and holiday shopping hours. Mayor Gamache provided a document for the Council to consider in regard to how to accommodate the holiday shopping hours and the changes to the City's ordinance. He proposed the City consider having the GB, I, and LB District remain as prohibited continuous operation and the SC and NB District continue to be permitted and add footnote 11 stating from November 15 to January 1 continuous operation of a business will be allowed in the commercial and industrial districts. This would allow the City to see how having continuous operation in these districts impacts the City and potentially make changes in the future. City Administrator was asked to provide a copy for the public records. Motion by Councilmember Trude, Seconded by Councilmember Howard, to deny the recommendation of the Planning and Zoning Commission for an Ordinance amending the City Code to allow for the continuous operation of a business as a conditional use in the LB and NB Districts and as a permitted use in the SC, GB, and I Districts. Councilmember Trude apologized to Councilmember Bukkila for interrupting her. She stated she had been frustrated because she has heard a number of times from people that the City has a large amount of vacant land that needs to be built out. Andover is not like the City of Ramsey with hundreds of acres along the highway. The people that came before in the 1970s and 1980s laid Andover out as a residential community. No one expected a business to locate on a County road. All the concentration of businesses is on Highway 65 and Highway 10. As the housing boom happened people wanted to shop closer and the City had businesses develop along the County road corridor. The forefathers of Andover designed this to be a residential, bedroom community and many people came here because of this. The discussions make it sound like there are a lot of commercial vacancies in Andover and this is not the case. Andover has been written up in the Star Tribune as one of the communities with the lowest retail vacancy rate. Andover has a good retail community and a good business commercial community. She has store managers telling her they are happy in Andover and the analysis Councilmember Bukkila referenced had four (4) respondents and this is giving the City a bad rap. The City did have concerns regarding Black Friday shopping. It has been done in the past and other cities have passed resolutions authorizing the hours of operation. The City also discussed special use permits for this. She stated she would like to see a permit process for extended hours in the future, similar to that done for tent parties. There are security issues with these extended hours and Andover does not have a lot of law enforcement in the overnight hours. She stated she would be agreeable to the proposed language by Mayor Gamache at this time but would like to see the City do a permit process for these events. She suggested the word "commercial" in the footnote be changed to "general business ". If the Council approves the proposed language from the Planning and Zoning there would be a negative impact to Anytime Fitness. Regular Andover City Council Meeting Minutes —November 7, 2012 Page 15 Councilmember Bukkila stated there would not be a negative impact to Anytime Fitness because the Council has the authority to waive the fees for the Conditional Use Permit that would be required for them to operate as a 24 -hour location. She also countered Councilmember Trude in that Andover does have a significant law enforcement presence in the overnight hours. Councilmember Trude stated she does not want to see the City pay for this coverage. Councilmember Bukkila stated the City already pays for this coverage and it is based on the level of calls. Officers are already in the community working. The motion to deny the recommendation of the Planning and Zoning Commission was called to a vote. The motion carried 3 ayes, 2 nays (Knight, Bukkila). City Administrator Dickinson stated the title for the ordinance amendment submitted by Mayor Gamache should be changed to "An Ordinance Amending the City Code to Allow for the Continuous Operation Of a Business in the General Business or Industrial Zoning District' and in the table adding footnote 10 and in footnote 11 changing the word "commercial' to "general business ". © Councilmember Knight asked what criteria would be used to determine if the 24 -hour operation is working. Mayor Gamache stated the set time would provide an opportunity for the City to see how things are working and will give businesses the ability to set the hours they would like for the holiday season without having to come to the Council for a special permit. It would be up to a future Council to look at how things are working and if they would like to change the hours of operation in the district based on this experience. Motion by Councilmember Howard, Seconded by Councilmember Trude moved the Ordinance proposed as amended. The motion carried 3 ayes, 2 nays (Knight, Bukkila). (See Ordinance 424) DISCUSS SAFE ROUTES TO SCHOOLS FOR TRAIL SYSTEM City Engineer Berkowitz stated the Safe Route to School Grant Applications are currently available and they are due in early February. The City has applied for two (2) grants in the past but these were not selected. The section of road that was applied for was along the east side of Hanson Boulevard from 148th Lane to 150th Lane. Staff is recommending using the segment of trail north of Crosstown Boulevard from Andover Boulevard to South Coon Creek Drive. Councilmember Trude suggested including information that this trail segment could also be used by the school for training purposes because there are several kids from Andover High School that ran for their activities. Regular Andover City Council Meeting Minutes — November 7, 2012 Page 16 City Engineer Berkowitz stated the criteria for the grant is specific but this can be looked at. Staff would be talking to the High School to obtain a letter of support and this may be something they could include in that. This trail segment is approximately 1,800 feet. Mayor Gamache asked if staff had looked at any trail segments closer to the elementary school. City Engineer Berkowitz stated this was a trail segment that had been used in the past but it had not scored well and the City did not receive the grants. It was the consensus of the Council to direct staff to make application for the Safe Routes to School Grant using the trail segment north of Crosstown Boulevard from Andover Boulevard to South Coon Creek Drive. SET DATE TO CANVASS ELECTION RESULTS City Administrator Dickinson stated the City Council is required to canvass the results of the General Election that was held on Tuesday, November 6, 2012. According to Minnesota Statute the City is to canvass election results between November 9th and November 16t". A minimum of three (3) Councilmembers would need to be available. Motion by Councilmember Howard, Seconded by Councilmember Trude to schedule November 14, 2012 at 12:00 p.m. to Canvass Election Results of the General Election that was held Tuesday, November 6, 2012. The motion carried unanimously. ADMINISTRATOR'S REPORT City Administrator Dickinson updated the City Council and the residents regarding administration and city department activities, legislative activities, development and CIP projects, and upcoming meetings and community events including the election results. He stated everything went smoothly at the Community Center as well. There were two (2) precincts voting at this location. It would be possible to operate a third precinct from this location if needed. The City Council would remain the same based on the election results. He stated staff had been working on purchases agreements for open space and the Council would be discussing contingencies for these agreements during the closed session. There have been 71 new home permits issues this year and it is likely there would an additional four (4) this year. This is double what the City had projected for the year. City Engineer Berkowitz stated the RFP process for the 40 -acre park has started. There was a pre - proposal meeting with eight (8) firms. The RFP's are due November 21St and the Park Commission will review the bids and the City will interview the top three (3) proposals. Staff is also working on an RFP for intersection evaluations around City Hall. Staff would look at several options for these intersections. He stated the Council had accepted the retirement Regular Andover City Council Meeting Minutes —November 7, 2012 Page 17 resignation of Irwin Russell. Staff thanked him for his hard work and commitment to the City. Councilmember Knight stated Mr. Russell has done a great job for the City. City Administrator Dickinson stated the 10th annual Youth First Taste of Community event would be on Thursday, November 8th, at Greenhaven. MAYOR/COUNCIL INPUT (Election) Mayor Gamache thanked all the election judges for their hard work with the elections held on Tuesday, November 6th. He stated everything went smoothly throughout the City. The returns were in quickly. (Joint Powers Agreement) Councilmember Trade stated the Joint Powers Agreement with Anoka County for election equipment would be coming to the Council for approval in December. Mayor Gamache recessed the regular City Council meeting at 9:12 p.m. to a closed session of the City Council to discuss Property Negotiations for PID #11- 32 -24 -31 -0001, 11- 32 -24 -24 -0001, and 11- 32 -24 -23 -0001. The City Council reconvened at 9:49 p.m. ADJOURNMENT Motion by Councilmember Howard, Seconded by Councilmember Bukkila, to adjourn. Motion carried unanimously. The meeting adjourned at 9:50 p.m. Respectfully submitted, Tina Borg, Recording Secretary O © Regular Andover City Council Meeting Minutes —November 7, 2012 Page 18 REGULAR ANDOVER CITY COUNCIL MEETING MINUTES — NOVEMBER 79 2012 TABLE OF CONTENTS PLEDGEOF ALLEGIANCE .......................................................................... ............................... 1 RESIDENTFORUM ....................................................................................... ............................... 1 AGENDAAPPROVAL ................................................................................... ............................... 1 APPROVALOF MINUTES ............................................................................ ............................... 1 CONSENTITEMS .......................................................................................... ............................... 2 Item 2 Approve Payment of Claims .......................................................... ............................... 2 Item 3 Accept Resignation of Planning and Zoning Commissioner Michael Olsen and Appoint Michael Steele to Serve the Remaining Term ....................... ............................... 2 Item 4 Award Demolition Quote /12- 31/31/3535 —1615 Avenue NW (Sports Complex) /(Supplemental) .................................................................... ............................... 2 Item 5 Approve Land Purchase Agreement/Open Space /40 acres /PID #11- 32- 24 -31- 0001.... 2 Item 6 Approve Land Purchase Agreement /Open Space /10 acres /PID #11- 32- 24 -24- 0001... 2 Item 7 Approve Land Purchase Agreement/Open Space /Easement/PID #11- 32 -24 -23 -001 ... 2 Item 8 Approve Resolution Calling for a Public Hearing on Proposed Property Tax Abatements for a Community Center Project (Supplemental) See Resolution R108 -12).. 2 Item 9 Approve LMCIT Liability Coverage ............................................. ............................... 2 Item 9a Accept Resignation of Irwin Russell, Streets Supervisor .............. ............................... 2 PUBLIC HEARING: DELINQUENT UTILITIES AND SEWER CHARGES/FINES See ResolutionR109 -12) ................................................................................... ............................... 3 PUBLIC HEARING /ADOPT ASSESSMENT ROLL /12 -2a (IVYWOOD ESTATES) /2012 STREET RECONSTRUCTION See ResolutionR110 -12 .......................... ............................... 3 PUBLIC HEARING /ADOPT ASSESSMENT ROLL /12 -2b (JOHNSON'S OAKMOUNT TERRACE) AND 12 -2c 147' AVENUE NW) /2012 STREET RECONSTRUCTION See Resolutions RI 11 -12 and R112 -12 ............................................................. ............................... 4 DISCUSS /APPROVE AMENDMENT TO THE CITY CODE 12 -12 — HOURS OF OPERATIONSee Ordinance 424 ............................................................... ............................... 6 DISCUSS SAFE ROUTES TO SCHOOLS FOR TRAIL SYSTEM ............ ............................... 15 SET DATE TO CANVASS ELECTION RESULTS .................................... ............................... 16 ADMINISTRATOR'S REPORT ................................................................... ............................... 16 MAYOR/COUNCIL INPUT ......................................................................... ............................... 17 ( Election) .................................................................................................... ............................... 17 (Joint Powers Agreement) .......................................................................... ............................... 17 0