Minutes of the regular meeting of the City Council of Apple Valley, Dakota County, Minnesota, held January 23rd, 2003, at 8:00 o'clock p.m., at Apple Valley Municipal Center.

PRESENT: Mayor Hamann-Roland; Councilmembers Bergman, Erickson, and Goodwin.

ABSENT: Councilmember Grendahl.

City staff members present were: City Administrator Lawell, City Clerk Mueller, City Attorney Dougherty, City Engineer Gordon, Building Official Aden, Police Captain Anglin, Finance Director Ballenger, Assistant Planner Bodmer, Assistant to the Administrator Grawe, Public Works Director Heuer, Parks and Recreation Director Johnson, Police Chief Johnson, Community Development Director Kelley, Police Captain Lohse, City Planner Lovelace, Human Resources Manager Strauss, and Fire Chief Wassmund.

Mayor Hamann-Roland called the meeting to order at 8:00 p.m. Everyone took part in the pledge of allegiance to the flag.

APPROVAL OF AGENDA

MOTION: of Erickson, seconded by Bergman, approving the agenda for tonight's meeting as amended. Ayes - 4 - Nays - 0.

AUDIENCE

Mayor Hamann-Roland asked if anyone was present to address the Council, at this time, on any item not on this meeting's agenda. There was no one was present to speak.

CONSENT AGENDA

MOTION: of Bergman, seconded by Goodwin, approving all items on the consent agenda with no exceptions. Ayes - 4 - Nays - 0.

CONSENT AGENDA ITEMS

MOTION: of Bergman, seconded by Goodwin, approving the minutes of the regular meeting of January 9th, 2003, as written. Ayes - 4 - Nays - 0.

MOTION: of Bergman, seconded by Goodwin, adopting Resolution No. 2003-22 accepting, with thanks, the donation of $100.00 from Wilton and Nancy Anderson toward the purchase of trees, shrubs, and/or landscape materials for beautification of Lebanon Cemetery. Ayes - 4 - Nays - 0.

MOTION: of Bergman, seconded by Goodwin, adopting Resolutions No. 2003-23 and 2003-24 approving issuance of lawful gambling exempt permits, by the State Gambling Control Board, to Eastview Community Foundation for use on April 5 and May 12, 2003; respectively, at Eastview High School, and waiving any waiting period for State approval. Ayes - 4 - Nays - 0.

MOTION: of Bergman, seconded by Goodwin, approving renewal and issuance of various licenses and permits for 2003 as listed in the attachment to the City Clerk's memo dated January 17, 2003. Ayes - 4 - Nays - 0.

MOTION: of Bergman, seconded by Goodwin, continuing the public hearing on the application of Los Tequilas, Inc., d/b/a El Tequila Restaurant, for On-Sale Wine and 3.2 Percent Malt Liquor Licenses at 7538 West 149th Street, until February 13, 2003, at 8:00 p.m., as described in the City Clerk's memo dated January 17, 2003. Ayes - 4 - Nays - 0.

MOTION: of Bergman, seconded by Goodwin, authorizing accepting $8,350.00 of grant funding from ISD 196 Family Services Collaborative for the Police Family Group Conferencing Program as requested in the Police Chief's memo dated January 15, 2003. Ayes - 4 - Nays - 0.

MOTION: of Bergman, seconded by Goodwin, approving the Revised D.A.R.E. and Police Liaison Services Agreement with Independent School District No. 196, for the 2002-2003 school year, providing for funding to the City of $134,847.00, and authorizing the Mayor and City Clerk to sign the same. Ayes - 4 - Nays - 0.

MOTION: of Bergman, seconded by Goodwin, appointing Assistant to the City Administrator Charles Grawe and Golf Course Manager Rick Dodge to the Apple Valley Convention and Visitors Bureau Board, as recommended in the Assistant to the City Administrator's memo dated January 23, 2003. Ayes - 4 - Nays - 0.

MOTION: of Bergman, seconded by Goodwin, adopting Resolution No. 2003-25 approving specifications for a "Fire Truck, Triple Combination Pumper", and authorizing advertising for receipt of bids, at 2:00 p.m., on February 18, 2003. Ayes - 4 - Nays - 0.

MOTION: of Bergman, seconded by Goodwin, approving Change Order No. 1 to the contract with McNamara Contracting, Inc., for Project 98-418, Galaxie Avenue Widening North of 140th Street, in the additional amount of $86,016.33. Ayes - 4 - Nays - 0.

MOTION: of Bergman, seconded by Goodwin, approving the Stipulation of Settlement with Brandtjen Farms Limited Partnership, as attached to the City Attorney's memo dated January 15, 2003, and authorizing payment of total compensation for the condemnation, in connection with Project 95-425, Trunk Storm Sewer; in the amount of $250,000.00. Ayes - 4 - Nays - 0.

MOTION: of Bergman, seconded by Goodwin, approving a Joint Powers Agreement for purchase of 2003-2004 Traffic Markings, Street Sweeping, Crack Sealing, Screening, and Seal Coating Services with the Cities of Burnsville, Eagan, Lakeville, Rosemount, Savage, Prior Lake, Shakopee, and Inver Grove Heights as attached to the Public Works Supervisor's memo dated January 23, 2003, and authorizing the Mayor and City Clerk to sign the same. Ayes - 4 - Nays - 0.

MOTION: of Bergman, seconded by Goodwin, adopting Resolution No. 2003-26 approving Amendment No. 2 to the Local Government Information Systems Joint and Cooperative Agreement related to authorization to administer a group health and medical insurance plan and other personnel benefits. Ayes - 4 - Nays - 0.

MOTION: of Bergman, seconded by Goodwin, adopting Resolution No. 2003-27 approving the Summary of Material Modification to the Apple Valley Health Care and Dependent Day Care Expense Reimbursement Plan in accordance with revised Federal Regulations. Ayes - 4 - Nays - 0.

MOTION: of Bergman, seconded by Goodwin, approving hiring Brent Thorfinnson for the position of Technical Specialist - Mechanic, Fleet Maintenance, as listed in the Personnel Report dated January 23, 2003. Ayes - 4 - Nays - 0.

MOTION: of Bergman, seconded by Goodwin, approving hiring Joshua Wilske for the position of Information Technology Specialist, as listed in the Personnel Report dated January 23, 2003. Ayes - 4 - Nays - 0.

MOTION: of Bergman, seconded by Goodwin, approving hiring the seasonal employee as listed in the Personnel Report dated January 23, 2003. Ayes - 4 - Nays - 0.

END OF CONSENT AGENDA

MID-WINTER FEST 2003

Parks and Recreation Director Johnson and Jim Zinck, of the Mid-Winter Fest Committee, were present and reviewed activities planned for this year's celebration at Hayes Park, Apple Valley Community Center, and Valleywood Golf Course. Buttons are required for admission to the events on February 8 and 9, 2003, and are for sale at various locations for $1.00. This year's button was designed by Ian Gordon, a sophomore at Apple Valley High School. Mr. Johnson also thanked the members of the business community who support this event.

MOTION: of Erickson, seconded by Bergman, adopting Resolution No. 2003-28 proclaiming February 8 and 9, 2003, as "Apple Valley Mid-Winter Fest 2003" and encouraging citizens to support and participate in the celebration. Ayes - 4 - Nays - 0.

MOTION: of Bergman, seconded by Goodwin, authorizing the use of a snowmobile in Hayes Park on February 8, 2003, as described in the Recreation Supervisor's memo dated January 13, 2003. Ayes - 4 - Nays - 0.

CEDAR AVENUE TRANSITWAY STUDY

Gene Franchett, Dakota County Transportation Planner, and Rick Nau, URS Project Consultant, presented a report regarding the Cedar Avenue Transitway Feasibility Study. Phase I of the Study was completed in 2001 and concluded that Bus Rapid Transit (BRT) is the favored alternative for transit extending from the Mall of America to the Apple Valley Transit Station on 157th Street. Phase II of the Study will look at extending the corridor through Lakeville and along I-35E/I-35 through Burnsville. It will complete a required Alternatives Analysis and environmental scoping document and develop an implementation plan to prioritize improvements in the corridors.

The schedule is to complete the Study in one year with a final report in January of 2004. They are asking for public involvement in the process and will be distributing a newsletter and news releases providing information. A public meeting on the subject will be held at the Western Service Center on March 5, 2003, from 5:00 to 8:00 p.m.

Councilmember Bergman asked whether there are any assurances that funding will be available for implementation? County Commissioner Branning was present and reviewed the work that was done to obtain funding for the study. The Metropolitan Council supported funding and there is pending legislation for it. However, he encouraged contacting Senators Coleman and Dayton and Congressman Kline for their support.

Councilmember Erickson said he supports transit, but increasing traffic makes expansion of Cedar Avenue to six lanes all the way to County Road 30 critical. Mr. Franchett said the Metropolitan Council Transportation Plan does not include any expansion of Cedar Avenue. That type of improvement is going to be very difficult to fund and needs to be brought to the attention of the Legislature. He encouraged anyone with questions or comments to contact him or attend the public meeting March 5th.

HILLCREST ACRES LOT 3 COMMERCIAL BUILDING

Mr. Lovelace reviewed the Planning Commission recommendation on a proposed commercial building in Hillcrest Acres, south of County Road 42 between Foliage and Flagstaff Avenues. The 4,672 square foot building is planned for a restaurant with an outdoor patio area on the west side. He reviewed the site plan, landscape plan, and building exterior elevations.

MOTION: of Goodwin, seconded by Bergman, adopting Resolution No. 2003-29 approving the site plan and authorizing issuance of a building permit for a retail building on Lot 3, Block 1, Hillcrest Acres, with conditions as recommended by the Planning Commission. Ayes - 4 - Nays - 0.

APPLE VALLEY TOWN OFFICES

Mr. Lovelace reviewed the Planning Commission recommendation on Manley Land Development's proposal for 11 owner occupied office and office/warehouse buildings on a 10.37-acre site west of Energy Way between County Road 42 and Upper 147th Street. An unplatted one-acre parcel along County Road 42 will be incorporated into a new plat and will require rezoning from "A" to "BP". Part of this parcel will be required for additional right-of-way along County Road 42. The City will also be locating a new well in the area and working with the developer to acquire an approximately 100-foot by 100-foot site for it.

He reviewed the site plan, landscaping plan, and architectural renderings of the proposed buildings indicating brick and stucco for the primary exterior finish materials. The site plan shows access provided by three driveways to Energy Way. The southernmost driveway will be readjusted to be perpendicular to Energy Way. The southernmost building will also be relocated to avoid encroachment onto a 35-foot wide drainage and utility easement that crosses the site.

MOTION: of Erickson, seconded by Bergman, adopting Resolution No. 2003-30 approving the site plan and authorizing issuance of building permits for 11 office and office/warehouse buildings on Outlot B, Valley Business Park, and a one-acre parcel lying south of it, with conditions as recommended by the Planning Commission.

Frank Blundetto, representing the developer, was present to answer questions. He said approximately half of the building space is already spoken for indicating this should be a successful project.

Vote was taken on the motion. Ayes - 4 - Nays - 0.

MOTION: of Goodwin, seconded by Bergman, adopting Resolution No. 2003-31 ordering the City Engineer to prepare a preliminary feasibility report for Project 03-215, Manley Apple Valley Town Office Buildings Utility Improvements. Ayes - 4 - Nays - 0.

ORDINANCE AMENDING BUILDING PERMIT & SAC FEES

Mr. Aden gave the second reading of an ordinance amending certain permit fees as summarized in his memo dated January 6, 2003. The changes include an increase in the mandated Metropolitan Council Environmental Services service availability charge from $1,200.00 to $1,275.00. The fee for Individual Sewage Treatment System (ISTS) permit is proposed to be amended to $150.50 to cover the subcontracted inspection and plan review costs. State law now specifies that the permit fee for replacing a residential water heater or water softener is $15.00 and that amendment is included. Finally fees for miscellaneous small building projects are amended to $39.25, the cost of a permit based on a $1,000 valuation, to cover the cost of two inspections.

MOTION: of Erickson, seconded by Goodwin, passing Ordinance No. 721 amending the Fee Schedule Appendix of Title III of the City Code by adjusting fees and charges for some building and plumbing permits and inspections and increasing the Metropolitan Council Environmental Services sewer availability charge to $1,275.00. Ayes - 4 - Nays - 0.

ORDINANCE AMENDING ADULT ENTERTAINMENT REGULATIONS

Mr. Dougherty reviewed the memo dated January 23, 2003, concerning a proposed ordinance amending some of the definitions contained in the Adult Entertainment Regulations. The City established its regulations in 1996 and since that time additional court cases and new ordinance language have occurred. The new language clarifies definitions and provides that a business that derives 25 percent or more of its gross receipts during any calendar month from the sale of specified items is subject to the regulations. He recommended the Council waive a second reading of the ordinance and pass it.

MOTION: of Bergman, seconded by Erickson, waiving the procedure for a second reading and passing Ordinance No. 722 amending the definitions of some terms contained within Section 110.02 of the City Code regarding adult entertainment regulations. Ayes - 4 - Nays - 0.

COMMUNICATIONS & CALENDAR

The Council received a memo dated January 17, 2003, with a calendar listing upcoming events.

CLAIMS AND BILLS

MOTION: of Goodwin, seconded by Bergman, to pay the claims and bills, check registers dated January 16, 2003, in the amount of $1,024,977.83; and January 23, 2003, in the amount of $21,882,909.67. Ayes - 4 - Nays - 0.

CLOSE MEETING, LABOR NEGOTIATIONS

Mr. Dougherty reviewed the provisions of M.S. 471.705 that allow the Council to close a meeting to consider labor negotiations strategy. The Council has been asked to meet in closed session to discuss Police Officers and Sergeants LELS Union negotiations.

MOTION: of Goodwin, seconded by Bergman, to close the regular meeting and convene in closed session to discuss Police Officers and Sergeants LELS Union negotiations. Ayes - 4 - Nays - 0.

The meeting was closed at 9:22 p.m. Mayor Hamann-Roland Councilmembers Bergman, Erickson, and Goodwin convened in the Regent Conference Room, at 9:34 p.m., along with City Attorney Dougherty, City Administrator Lawell, City Clerk Mueller, Human Resources Manager Strauss, Police Chief Johnson and Police Captains Anglin and Lohse. The meeting was tape recorded as required by law. Mr. Dougherty advised the Council that its discussion must be limited to matters for which the meeting was closed. The Council reconvened in open session at 11:25 p.m.

MOTION: of Goodwin, seconded by Bergman, to adjourn. Ayes - 4 - Nays - 0.

The meeting was adjourned at 11:26 o'clock p.m.