Minutes of the October 8, 2012 City Council Meeting

Date: 
October 8, 2012

Pursuant to due call and notice thereof, a regular meeting of the City Council of the City of Saint Peter was conducted in the Governors' Room of the Community Center on October 8, 2012.

A quorum present, Mayor Strand called the meeting to order at 7:01 p.m.  The following members were present:  Councilmembers Eichmann, Pfeifer, Kvamme, Carlin, Zieman, Brand and Mayor Strand.  The following officials were present: City Administrator Prafke, City Attorney Brandt, and City Engineers Domras and Loose.

Approval of Agenda – A motion was made by Pfeifer, seconded by Brand, to approve the agenda.  With all in favor, the motion carried. 

Approval of Minutes –   A motion was made by Eichmann, seconded by Zieman, to approve the minutes of the September 24, 2012 regular City Council meeting.  With all in favor, the motion carried and the minutes were approved.  A complete copy of the minutes of the September 24, 2012 regular City Council meeting is contained in the City Administrator’s book entitled Council Proceedings 18.

Public Hearing:  Tax Increment Financing District No. 1-18 Creation – Mayor Strand opened the public hearing on creation of Tax Increment Financing District No. 1-18 at 7:02 p.m.  Mayor Strand reviewed the process to be followed during the public hearing including the order of speakers being staff, citizens supporting the issue, citizens opposed to the issue and general citizen comments or questions; the length of time speakers will be allowed (five minutes); and that the Council will refrain from engaging in discussion with the speakers.  Community Development Director Wille and David Drown Associates advisor Shannon Sweeney provided information on the creation of a Tax Increment Financing District that would provide increments for the redevelopment of the area around Hallett’s Pond.  Sweeney reviewed the proposed plan for the district which outlined the parcels to be included, the proposed budget, and the term and type of district to be created.  Sweeney noted the district could be in place for up to twenty-six (26) years and the first increments would be collected one year from creation of the district.  Wille and Sweeney both indicated the plan adoption and district creation would be done at a future Council meeting and indicated the proposed budget was quite large because it was hard to predict the redevelopment that could occur in the district and if the budget were to be changed at a later date, the public hearing process would need to be re-done.

Leon Tellijohn, 1021 North Washington Avenue, addressed the Council to question where the proposed district was located. 

There being no further speakers, the hearing was declared closed at 7:15 p.m.

Consent Agenda – In motion by Kvamme, seconded by Carlin, Resolution No. 2012-144 entitled “Resolution Approving Consent Agenda“ was introduced.  Upon roll call, with all in favor, the Resolution was declared passed and adopted.  A complete copy of Resolution No. 2012-144 is contained in the City Administrator’s book entitled Council Resolutions 19.

Revolving Loan Settlement:  Schettler/Hunter Hardwood –  Community Development Director Wille presented the Economic Development Authority’s recommendation to accept a $3,000 offer from First National Bank Minnesota to release the City’s second mortgage on the Hunter Hardwood property at 220 Dodd Avenue.  Wille reported Hunter Hardwood had received a $40,000 loan in 2004 to purchase real estate for the Dodd Avenue facility and another loan in the amount of $29,748 in 2009 to expand the business.  Wille also noted that following close of the business, the furniture, fixtures and equipment had been sold for $46,101, with those funds being paid to the bank, and the bank had initiated foreclosure on the property to recoup the remainder of debt owed to the bank.  Wille also pointed out that the Schettler’s had voluntarily signed over the property to the bank as part of the foreclosure process and the bank would be marketing the property for sale but needed the second mortgage claim waived to do so.  Wille stated acceptance of the settlement offer would not preclude the City from moving forward with collection of the personal guarantee which had been required as part of the original revolving loan and the proposed resolution provided for that action to be initiated.  In motion by Kvamme, seconded by Carlin, Resolution No. 2012-145 entitled “Resolution Accepting $3,000 Settlement From First National Bank Minnesota To Relinquish The City’s Subordinate Mortgage On The Hunter Hardwood Property At 220 Dodd Avenue“, was introduced with the a request to change the phrase “The City Attorney is ordered…” to “The City Attorney is instructed…”.  Upon roll call, with all in favor, the Resolution was declared passed and adopted as modified.  A complete copy of Resolution No. 2012-145 is contained in the City Administrator’s book entitled Council Resolutions 19. 

Greater Mankato Growth Contract – Community Development Director Wille recommended the City execute an amended agreement with Greater Mankato Growth to be part of the Regional Economic Development Alliance (REDA).  Wille stated the agreement would be for a period of three years with the City’s cost being $25,095 in 2013, $24,492 in 2014, and $25,895 in 2015 all being funded by the General Fund.  Wille also pointed out that the agreement included a ninety day “opt out” notice for any of the members.  In motion by Carlin, seconded by Eichmann, Resolution No. 2012-146 entitled “Resolution Approving Renewal Of Membership In Regional Economic Development Alliance And Authorizing Execution Of Joint Economic Development Service Agreement With Greater Mankato Growth“, was introduced.  A motion was made by Kvamme, seconded by Pfeifer, to modify the resolution to indicate that the agreement is for a period of three years.  With all in favor, the motion carried.  Upon roll call, with all in favor, the Resolution was declared passed and adopted as modified.  A complete copy of Resolution No. 2012-146 is contained in the City Administrator’s book entitled Council Resolutions 19. 

Receptionist/Accounts Payable Clerk Position Description – City Administrator Prafke recommended approval of modifications to the position description for Receptionist/Accounts Payable.  Prafke indicated the position description had been better defined since the position was created in 2009 and a recent vacancy in the position allowed for the changes.  In motion by Zieman, seconded by Brand, Resolution No. 2012-147 entitled “Resolution Approving Modifications To The Receptionist/Accounts Payable Clerk Position Description“, was introduced.  Upon roll call, with all in favor, the Resolution was declared passed and adopted.  A complete copy of Resolution No. 2012-147 is contained in the City Administrator’s book entitled Council Resolutions 19. 

 

Reports

Mayor Strand thanked Councilmember Carlin for serving as Mayor pro tem during his recent lengthy absence.

Mayor’s Reports – Mayor Strand reported on his recent activities which included welcoming the King and Queen of Sweden to Saint Peter on October 5th.

Winter Trail/Sidewalk Closures – Public Works Director Giesking reviewed the trails and sidewalks that have been designated as “no maintenance” during the winter of 2012-2013.

Downtown Sidewalk Repairs – Public Works Director Giesking reported repair work was beginning on sidewalks in the central business district and the walks at the Fire Station were being repaired first.  Giesking also reported all of the repair work would take 2-3 weeks to complete.

Dog Park Open House – City Administrator reported the weather for the dog park open house was cold and blustery, but noted that each time he has passed the dog park site there have been cars in the parking lot and several dogs at play.

 

There being no further business, a motion was made by Pfeifer, seconded by Carlin, to adjourn the meeting.  With all in favor, the motion carried and the meeting adjourned at 7:54 p.m.