2023.02.13 City Council MinutesOTSEGO CITY COUNCIL MEETING
MONDAY, FEBRUARY 13, 2023
7:00 PM
OTSEGO PRAIRIE CENTER
Call to Order:
Mayor Stockamp called the meeting to order at 7:00 PM.
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Mayor Jessica Stockamp and Councilmembers: Brittany Moores, Jeff Dahl, and Ryan Dunlap.
City Staff: City Administrator/Finance Director Adam Flaherty, Human Resources/Assistant City
Administrator Sabrina Hille, Street Operations Manager Kevin Lamson, Utility Operations
Manager Kurt Neidermeier (*), City Engineer Ron Wagner, City Planner Daniel Licht, City
Attorney Dave Kendall, and City Clerk Audra Etzel. Absent: Councilmember Tina Goede.
Those indicated with a (*) attended via video conference.
Pledge of Allegiance:
Mayor Stockamp led in the Pledge of Allegiance.
1. Open Forum:
Mayor Stockamp opened the Open Forum at 7:02 PM.
Mary Valerius, 13701 70th Street NE, was at a January meeting to discuss the lighting on the
water tower and the franchise fee being billed by Wright -Hennepin. City Engineer Wagner said
a contractor has been hired to reduce the lighting. Mr. Valerius asked if security cameras were
installed at the water tower. City Administrator/Finance Director Flaherty confirmed the City
has security systems in place for some utility sites, and noted staff is in communication with
Wright -Hennepin regarding the billing.
Mayor Stockamp closed the Open Forum at 7:04 PM.
2. Consider Agenda Approval:
CM Dunlap motioned to approve the agenda as written, seconded by CM Dahl. All in favor.
Motion carried 4-0.
3. Consent Agenda.
3.1 Approve Claims List.
3.2 Approve City Council Meeting Minutes.
A. January 23. 2023 Meeting.
B. January 23, 2023 Special Meeting.
C. January 24, 2023 Special Meeting.
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MINUTES OF THE CITY OF OTSEGO REGULAR CITY COUNCIL MEETING FEBRUARY 13, 2023
3.3 ADDrove Citv Council Special Comaensation for January 2023.
3.4 Approve Pay Estimate #14 for the Water Tower #4 Project.
3.5 Adopt Ordinance 2023-02 Granting a Nonexclusive Gas Energy Franchise to CenterPoint
Energy.
3.6 Approve the Hiring of Two Recreation Leader Positions.
3.7 Calling for the Local Board of Appeal and Equalization Special Meeting on April 24, 2023,
3.8 Adopt Resolution 2023-07 Reimbursement Bond Regulations Under the Internal
Revenue Code.
3.9 Adopt Resolution 2023-08 Appointing Commissioners to Advisory Commissions.
3.10 ADDrove a Land Survevor's Certificate of Plat Correction for Harvest Run East 4th
Addition.
3.11 Approve Pay Application #6 for the West WWTF Improvements Phase 1 Project.
3.12 ADDrove Plans and Specifications and Order Advertisement for Bids — 2023 Street
Maintenance.
3.13 Approve Pay Application #2 for the Well #10 Prosect.
3.14 Adopt Resolution 2023-09 Authorizing Application for Grant Navigation Support.
CM Dunlap would like to correct his January time sheet (item 3.3) to remove the January 21St
Townhall Meeting.
CM Dunlap motioned to approve the consent agenda as amended, seconded by CM Moores.
All in favor. Motion carried 4-0.
4. Enaineerina:
4.1 2023 Street Renewal Project:
A. Presentation by City Engineer.
B. Public Hearing on Proposed Improvement.
C. Consider Resolution 2023-10 Ordering Improvement and Preparation of
Plans/Specifications.
City Engineer Wagner said an open house was held last week for residents to learn about the
2023 Street Renewal Project.
City Engineer Wagner reviewed a PowerPoint presentation.
Mayor Stockamp opened the Public Hearing at 7:15 PM.
Mary Valerius, 13701 70th Street NE, said he aware of a program through Wright County for
septic systems, he is wondering if there is a program to assist with special assessments? City
Administrator/Finance Director Flaherty said Wright County does offer some assistance for
septic systems, but is not sure if this would be applicable to this specific project. City Planner
Licht said Wright County does have a program for septic systems to bring systems up to code.
Mr. Valerius asked if the City would check into programs for Wright County residents. Mayor
Stockamp said residents are welcome to contact Wright County.
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MINUTES OF THE CITY OF OTSEGO REGULAR CITY COUNCIL MEETING FEBRUARY 13, 2023
Gerard Zachman, 6194 Oakwood Avenue NE, said a couple years ago he had two properties
assessed a much larger amount and wants to know why residents are now only assessed $1,092
for this project. City Administrator/Finance Director Flaherty said the assessment policy was
revised two years ago to reduce the impacts of special assessments and also to incorporate
franchise fees to offset the cost of street projects.
Shari Nordquist, 8190 Packard Avenue NE, did not attend the open house and would like a copy
of the materials presented. City Engineer Wagner will send her the information. Ms. Nordquist
asked about the 5' setback from the edge of the road. City Engineer Wagner said it depends on
how steep the driveway is, the steeper the further back they have to go to match where the
finished street level is located and matching the driveway. Ms. Nordquist asked about her
culvert being replaced. City Engineer Wagner noted the centerline culverts are included in the
project, however private culverts are not being replaced.
Mayor Stockamp closed the Public Hearing at 7:23 PM.
CM Dunlap noted three properties have been removed since the last meeting. City Engineer
Wagner said two were removed due to being narrow and the third lot has wetland delineation
issues not allowing the lot to be developed. City Planner Licht said the third lot is unbuildable
due to the wetlands.
Mayor Stockamp attended the open house last week, noting there were 14 residents in
attendance. There were concerns regarding driveways, slopes, and edge of road. City Engineer
Wagner addressed the items noted by the Mayor. CM Moores asked about access to the road
during the project. City Engineer said the residents will have access to their homes and
mailboxes. Staff will notice the residents of the project dates along with the contact
information for the City Engineer if there are any questions or concerns.
CM Dahl motioned to approve Resolution 2023-10 Ordering Preparation of Plans and
Specifications for the 2023 Street Renewal Project, seconded by CM Moores.
CM Dunlap would like to amend the motion to strike item 1 from Resolution 2023-10 removing
special assessments. There was no second to CM Dunlap's amendment.
In favor: Stockamp, Moores and Dahl. Opposed: Dunlap. Motion failed for a lack of a four-
fifths vote as required by Minnesota Statute 429.031, subd. 1(f).
Mayor Stockamp said there were no residents at the open house and public hearing opposed to
the project or special assessment.
City Attorney Kendall said the City does have an assessment policy, if this project was exempt, it
would be a violation of the policy. This would be a fundamental policy change, this would need
to be discussed before having this project exempt from a special assessment. CM Dunlap said
the policy states the City Council can dictate the dollar amount and he doesn't want to charge
$1,092 per property.
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MINUTES OF THE CITY OF OTSEGO REGULAR CITY COUNCIL MEETING FEBRUARY 13, 2023
CM Dunlap motioned to allow the public to speak, seconded by CM Dahl. Attorney Kendall said
he did not recommend reopening the public hearing. Mayor Stockamp did not reopen the
public hearing.
Attorney Kendall said the motion for Resolution 2023-10 failed due to a lack of super majority,
he discussed possible options. The prevailing side can make a motion to reconsider.
CM Dunlap motioned to continue the work on the project and to have a meeting at a later date
for the special assessments. Motion failed without a second.
City Administrator/Finance Director Flaherty said the resolution is written to address state
statue and would need to be adopted as written if the Council had any intention of special
assessments as funding source. The hearing would not have been necessary if the City were to
choose to not assess a portion of the project. Staff is following procedure and policy as City
Council directed. City Attorney Kendall said the improvement could be ordered with a four-
fifths vote, which would allow for a future assessment, but not require an assessment. City
Planner Licht noted the schedule includes a special assessment hearing at a later date. CM
Dunlap said he would like to discuss the special assessment policy at future meeting.
CM Dunlap motioned to reconsider Resolution 2023-10, seconded by CM Dahl. All in favor.
Motion carried 4-0.
CM Dunlap motioned to adopt Resolution 2023-10 Ordering Preparation of Plans and
Specifications for the 2023 Street Renewal Project, seconded by CM Dahl. All in favor.
Motion carried 4-0.
5. Planning:
5.1 Waterfront Commons:
A. Presentation by City Planner.
B. Consider Resolution 2023-11 Vacating Existine Drainaee and Utilitv Easements.
C. Consider Approval of a Preliminary Plat, Final Plat, and PUD Development Stage
Plan.
D. Consider Resolution 2023-12 Approving a Development Contract.
E. Consider Resolution 2023-13 Approving a Site Improvement Performance
Agreement.
City Planner Licht reviewed the staff report.
The applicant Steve Fisher with Arrow Companies was present to answer questions.
CM Dunlap stated the Planning Commission noted there is no delivery access in the back, is
there a possibility to add? City Planner Licht noted without acquiring additional property, there
is not enough space to meet the setback requirements.
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Arrow Companies representative Steve Fisher, 7365 Kirkwood Court N #335, Maple Grove, said
the Planning Commission had concerns about some of the parking stalls backing up into the
drive aisle, however he is open to adding the stalls now. City Planner Licht said with the change
to angle parking stalls, it would remove the conflict and does not see any issues with
construction of those parking spaces at this time. City Planner Licht said staff can approve the
change to the site plan. The City Council agreed with the change.
CM Dahl motioned to adopt Resolution 2023-11 vacating existing drainage and utility
easements; approve a preliminary plat, final plat and PUD Development Stage Plan for
Waterfront Commons; subject to the stipulations stated as by the Findings of Fact and
Decision; adopt Resolution 2023-12 approving a Development Contract with Otsego
Development, LLC; and adopt Resolution 2023-13 approving a Site Improvement Performance
Agreement with Waterfront Commons I, LLC., seconded by CM Moores.
All in favor. Motion carried 4-0.
6. Utilities:
6.1 Wellhouse No. 4 Water Treatment Improvements Project:
A. Presentation by AE2S.
B. Consider ADaroval of a Professional Services Agreement.
Engineer Scott Schaefer with AE2S presented a power point. A professional services agreement
includes the pilot testing, design, and bidding phases. Construction and post -construction
phases are anticipated to be considered via contract amendment concurrent with the award of
the construction contract to the recommended general contractor.
CM Dunlap asked about the timing of the east -west water connection between Water Tower 4
and the east water system. City Engineer Wagner said the City is working on easements
needed to move forward with the project, once received the plans and specifications would be
brought back for approval and authorization of bids; anticipate being completed by the end of
the summer.
City Council is excited to receive the grant funds, Engineer Schaefer agreed.
CM Dunlap motioned to approve the Professional Services Agreement between the City of
Otsego and Advanced Engineering and Environmental Services, LLC (AE2S) for the Wellhouse
No. 4 Water Treatment Improvements Project in the amount of $390,200.00, seconded by
Dahl. All in favor. Motion carried 4-0.
7. Citv Council Resorts and Updates:
CM Dunlap will be attending an upcoming event hosted by the Elk River Area Chamber of
Commerce.
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MINUTES OF THE CITY OF OTSEGO REGULAR CITY COUNCIL MEETING FEBRUARY 13, 2023
8. Staff Reports and Updates:
8.1 Schedule City Council Photos
City Administrator/Finance Director Flaherty said the photographer is available on February 27th
at 6pm, the meeting has already been called for 5:30 PM; staff will update. The City Council
agreed with this.
8.2 Schedule Special Meeting for City Council Onboarding Session.
Mayor Stockamp motioned to call for a Special City Council Meeting on March 13, 2023 at
5:30 PM to be held at the Prairie Center for the purpose of council onboarding, seconded by
CM Dunlap. All in favor. Motion carried 4-0.
8.3 Discussion on Council Particiaation for Facilitv Tours.
City Administrator/Finance Director Flaherty said the core planning group has been working
with Wold on scheduling tours. The City Council would like to be involved in the tours, pending
the date(s) and time(s). City Administrator/Finance Director Flaherty will provide City Council
with date(s) once known.
Human Resources/Assistant City Administrator Hille said the Emergency Services Director will
close March 2nd, there are currently 11 applicants. The Parks Maintenance I position will be
posted on February 14th, closing March 1St
City Administrator/Finance Director Flaherty said he sent out an email to City Council from the
City's audit firm regarding employment information and noted that City Hall will be closed next
Monday for Presidents Day.
City Planner Licht said an application was received for a coffee shop to be located at 88th Street
and Parrish Avenue on the Bank of Elk River property, and staff is expecting an application for a
second multi -tenant building to be located north of Aldi.
City Engineer Wagner said the installation and programming of the TH101 left turn signals
should be wrapped up in two weeks. Mayor Stockamp asked about the light programming.
City Engineer Wagner said he doesn't know the exact programing, MnDOT will set the times
based on volumes of traffic.
Jason Oltmanns, Wright County Sheriff's (*) will be in attendance at the Public Safety
Commission tomorrow.
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MINUTES OF THE CITY OF OTSEGO REGULAR CITY COUNCIL MEETING FEBRUARY 13, 2023
9. Adiourn.
CM Dahl motioned to adjourn at 8:28 PM, seconded by CM Moores. All in favor. Motion
carried 4-0.
ATTEST: -G4Iu '�kL
Audra Etzel, City Clerk
-p oxmILK
Jes ca Stockamp, Mayor
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