04-22-1991 City Council MinutesSTATE OF MI 'SOTA The City Council of the City of
COUNTY OF WRIGHT Otsego met this 22nd day of April
CITY OF OTSEGO 1991, at 6:3OPM. Norman F Freske,
Mayor, Doug Lindenfelser, Floyd
Roden Larry Fournier and Ron Black, Council Members, Jerome
Perrault, Clerk, Elaine Beatty, Deputy Clerk, Judy Hudson,
Secretary, Larry Koshak, Engineer, Bob Kirmis, Planner, and
Bill Radzwill, Attorney, were present.
The meeting was called to order by Mayor Norman F
Freske. This meeting was called prior to the regularily
scheduled Council meeting as a discussion meeting with
Developers to assist them in planning their Developments in
the light of the possibility of sewer and water coming into
the City of Otsego. Tony Emmerich and his partner, Steve
Scharber (Country Ridge Development) said they are willing to
work with the City and the School Board in regard to sewer
and water. They said they would be willing to put in a well
to serve their development and the school. Larry Koshak said
that in order to be feasible to put in a main truck line, it
would be necessary to have the Kalway Development, Country
Ridge and the new school hooked on. This would be about 500
rec-units, the equivalent of 500 homes, and you can expect an
installation cost of about $1,000.00. As each home is built,
there would be a rec-charge and these charges could be used
to pay off the bonds. Bill Radzwill said the City could sell
bonds to finance the project under the #429 statute, however
there would need to be provisions made to pay off the bonds
and he suggested a letter of credit from developers to
guarantee payment of the bonds. He said he knows of cases
where projected development did not occur and the Cities had
to take money from their General Account to pay the sewer
bonds. Mr Emmerich said his company would be willing to
furnish a letter of credit for their share of the sewer
project. Larry Koshak said that commercial development uses
about 8 rec-units per acre and Bill Radzwill replied that we
will need commercial and industrial development in order to
be feasible to put sewer lines in.
Bob Kirmis said new developments could be planned so
that they could be re -subdivided in the future. Larry Koshak
agreed but said the problem is that this does not always
happen. He suggested platting the development with three
lots per acre and only selling one lot per acre until sewer
and water came in and then sell the rest of the lots.
Bill Radzwill said water systems are more profitable
than sewer systems. Larry Koshak replied that you could
figure on almost a year to dig a well, put in the water lines
and the necessary building and get the system in operation.
Larry Fournier said the School Board indicated they would
prefer to have City water available to the school.
Ron Black asked what rec-units are usually figured for
Industrial Development. Larry Koshak said for planning
purposes he usually figures eight (8) per acre, but it can
run as high as twenty (20). A rec-unit is two -hundred and
thirty gallons (230 gal) per day. Bill Radzwill said that in
STATE OF MI SOTA, COUNTY OF WRIGHT, CITY OF OTSEGO, CITY
COUNCIL MINUTES OF 4-22-91 6:3OPM - PAGE 2 -
order to guarantee payment of the bonds, it may be necessary
to assess in excess of one -hundred percent (100%) of the cost
of putting in the sewer lines.
Steve Scharber replied that his firm will need direction
from the City Council on how to proceed with planning their
Country Ridge Development. Norm Freske replied that the
Otsego Council will be meeting with the Elk River Council in
late May and following that meeting will have a better
indication of how the Elk River Council feels about selling
sewer capacity to the City of Otsego.
At this time the prelimary discussion meeting adjourned
and Mayor Norman F Freske called the regular Council Meeting
to order. Treasurer James Barthel was now present at the
meeting.
Motion by Douglas Lindenfelser to approve the minutes of
the April 8, 1991 Council Meeting. Seconded by Larry
Fournier, all Council Members voted in favor of the motion.
Motion by Ron Black to approve the Minutes of the April
16, 1991 joint meeting of the Otsego City Council - Elk River
School Board. Seconded by Larry Fournier, all Council
Members voted in favor of the motion.
Regarding the Jones Intercable Tower, Bob Kirmis said a
provision has been made so that in case of abandonment the
property the tower is located on would revert to the City.
His office has prepared an Amendment allowing Jones
Intercable to have a two (2) acre lot in an Ag Zoned Area.
Motion by Larry Fournier to adopt the Zoning Ordinance
Amendment relating to the construction, maintenance and
provision of essential services. Seconded by Ron Black, all
Council Members voted in favor of the motion.
An easement would be needed along the West side of the
Jones Intercable Property in the event Co 37 (O'dean Ave) was
straightened out where it intersects Co 122.
Motion by Floyd Roden to grant a Conditional Use Permit
to Jones Intercable for it's tower contingent that a forty
foot (40') easement on the West side of the Jones Intercable
property be granted to the City of Otsego. Seconded by Larry
Fournier, all Council Members voted in favor of the motion.
Regarding the Packard Avenue project, Larry Koshak
advised the Council that all the easements have not been
signed as yet.
Bill Radzwill advised the Council they have to set next
year's levies by October 10. He also advised them that as
far as recycling, State Law does not permit the Council to
have Special Assessment for that purpose.
Judy Hudson advised the Council that recycling plastic
would cost $495.00 per month extra.
Motion by Floyd Roden to purchase a camera for city
staff use. Seconded by Ron Black, all Council Members
voted in favor of the motion.
(Note: See Cont. File CC -43091)
STATE OF MI -SOTA, COI OF WRIGHT, CITY OF OTSEGO, CITY
COUNCIL MEETING MINUTES OF 4-22-91 6:30PM - PAGE 3 -
(Continued from File CC -359L)
Motion by Larry Fournier to postpone the May 27, 1991
City Council Meeting until May 29, 1991 at 7:30PM. Seconded
by Doug Lindenfelser, all Council Members voted in favor of
the motion.
The 1991 Fire Department Protection Contract has been
received from the City of Elk River.
Motion by Larry Fournier to request the City of Elk
River to further clarify their rate of charges in their 1991
Fire Department Protection Contract. Seconded by Ron Black,
all Council Members voted in favor of the motion.
Regarding the new Engineers Contract, Bill Radzwill
asked Larry Koshak what the deductable limits were on the
Errors and Omissions Insurance his firm carries? Larry
replied that the deductable limits were $27,000.00. His firm
pays the first $27.000.00 and the Liability Insurance limits
were $1,000,000.00. Bill Radzwill reminded him that the City
will need Certificates of Insurance.
Motion by Ron Black to approve the new contract with
Hakanson Anderson Associates, Inc for Engineering Services.
Seconded by Larry Fournier, all Council Members voted in
favor of the motion.
Regarding right-of-way easements for MSA Streets, the
right-of-way plan has to be approved by MN/DOT before the
actual right-of-way is acquired in order to be re-embursed
for the right-of-way cost. The Nashua Avenue right-of-way
will need to be approved before we begin the purchase of the
right-uf-way. He advised the Council they should consider
purchasing additional easement from the VFW as 77TH Street
and Quaday Avenue are in the MSA Street Plan.
Larry Koshak showed the Council the half -section and
plat maps his firm has prepared for the City. Larry Koshak
said that he and Doug Lindenfelser had met with Bob Kozel, an
Engineer on the MN/DOT Research Site Project, regarding the
reconstruction of Jalger Avenue from 77TH ST to 85TH ST and
were advised it was not possible to attach this project to
the current State project. In order to attach it to the next
phase of the State Project, a cost share agreement would need
to be signed with MN/DOT by this May 1, 1991 and this was not
possible. Also the next phase of the State project is highly
specialized and therefore, would not be advisable to enter
into a cost -share agreement with that project. The Council
decided to wait until mid -summer to see how the State project
progresses and then decide whether to consider the re-
construction of Jalger Ave as a City project for next year.
Dan Greene of the First National Agency appeared before
the Council regarding Insurance coverage for the City. He
said that coverage under his policies would be broader than
current policies. Using 1991 projected payroll figures and
included all elected and appointed officials, the cost for
STATE OF MI SOTA, COUNTY OF WRIGHT, CITY OF OTSEGO CITY
COUNCIL MEETING OF 4/22/91 AT 6:OOPM - PAGE 4 -
Workmen's Compensation Insurance would be $6,949.00 per year
less under the League of Cities Insurance Trust than under
the current Wausau Insurance Co Policy. The League of Cities
Insurance Trust Policy would be $1,155.00 per year less than
the current MSI Multi -Pak Policy which covers all City
buildings and contents, all vehicles and equipment, and
liability insurance and would also include Errors and
Omissions Insurance. MSI goes to $200,000 per person per
occurence and his policy coverage is $600,000.00. MSI has an
aggregate limit of $2,000,000.00, his policy is not limited.
Motion by Larry Fournier to accept the entire Insurance
Package from the League of Cities Insurance Trust contingent
upon receipt of a premium refund from MSI. Seconded by Ron
Black, all Council Members voted in favor of the motion. The
current MSI Policy does not expire until Devember 8, 1991.
Motion by Larry Fournier to request an addendum to the
previous motion to in effect request Workmens Compensation
Insurance Coverage for all elected and appointed City
Officals. Seconded by Ron Black, all Council Members voted
in favor of the motion.
Motion by Ron Black to approve a permit for Wright -
Hennepin Electric to remove their present power line on the
East side of Jaber Avenue and attach their power line to NSP
poles on the West side of Jaber Ave and the North side of
Kadler Ave from Co 37 to the Wright Co Bag Co. Seconded by
Doug Lindenfelser, all Council Members voted in favor of the
motion.
Northwest Animal Control of Champlin, Mn has offered to
provide Dog Catcher Service to the City of Otsego for $275.00
per month. Linda Kadlec will be requested to appear before
the City Council to discuss the Dog Catcher Contract her firm
is offering. Bill Radzwill will be requested to review the
contract.
Motion by Floyd Roden to order an appliqued City Flag
for the City of Otsego from Banner Creations. Seconded by
Doug Lindenfelser, all Council Members voted in favor of the
motion.
Carl Swenson, Randy Reznicek, Jacquie Rognli and Darlene
Solberg have volunteered to serve on the Otsego Parks
Committee.
Motion by Ron Black to appoint a five (5) member Parks
Committee. Seconded by Larry Fournier, all Council Members
voted in favor of the motion.
The Council requested Carl Swenson to serve as Acting
Chairman of the Parks Committee and he accepted.
Floyd Roden reported that Otsego residents West of
Albertville on the South side of 1-94 do not receive the Star
News or the Otsego Newsletter. Norman Freske said he would
speak to the Star News Editor Don Heinzmen about the problem.
Elaine Beatty said we may have to consider mailing the
Newsletters to residents of that area instead of using ADS
STATE OF MI SOTA, COIOF WRIGHT, CITY OF OTSEGO, CITY
COUNCIL MEETING OF 4/22/91 AT 6:00PM - PAGE 5 -
delivery service.
Proceeding as a Board of Audit, the City Council audited
and allowed Verified Accounts Nos. 329 to 361 inclusive.
On motion the meeting adjourned.
DOUGLAS LINDENFELSER, COUNCIL
FLOYD RODEN, COUNCIL
ROIfALD G BLACK, COUNCIL
ATTEST: JEROME PERRAULT, CLERK
EB