December 27, 2016

REGULAR COUNCIL MEETING
CITY COUNCIL CHAMBERS, CITY OF ALBERT LEA
Monday, December 27, 2016, 7:00 P.M.

PRESENT: Mayor Vern Rasmussen Jr., Councilors John Schulte V, Larry Baker, George Marin, Reid Olson, Larry Anderson and Al Brooks. Also present were City Manager Chad Adams, City Planner Molly Patterson-Lundgren, and City Clerk Shirley Slater-Schulte.

RECOGNITION OF COUNCIL MEMBERS FOR SERVICE TO CITY OF ALBERT LEA

Rasmussen recognized the outgoing members of the City Council. He presented Councilors Schulte, Marin and Anderson with plaques.

PROCLAMATION DECLARING NATIONAL MENTORING MONTH IN ALBERT LEA

Rasmussen read a proclamation declaring that January 2017 is National Mentoring Month. He presented the proclamation to Mary Jo Volkman.

PUBLIC FORUM

Laura Cunningham, President of the Albert Lea Lakes Foundation, thanked Council for discussing the matter with constituents and their work on the sales tax issue. She reported what occurred at the listening sessions that the Lakes Foundation hosted and briefed the Council about the upcoming legislative effort to pass the sales tax.

CONSENT AND APPROVAL OF AGENDA

A. Approve Minutes of the December 12, 2016 Regular Council Meeting
B. Approve Minutes of the December 8, 2016 Work Session
C. Licenses & Permits (See Attached List)
D. Resolution 16-267-Accepting Donations Presented To the City Of Albert Lea
E. Resolution 16-268-Approving Application to Conduct Off-Site Gambling – Albert Lea Amateur Hockey Association
F. Resolution 16-269-Declaring Unclaimed and Abandoned Property and Authorizing City Sale Following Published Notice
G. Resolution 16-270-Approving Encroachment and Easement Agreement between the City Of Albert Lea and Freeborn County Properties, LLC
H. Resolution 16-271-Authorizing Funds Transfer

MOTION: Move to approve the consent agenda.

Motion made by Councilor Baker, seconded by Councilor Anderson. On roll call vote, the following councilors voted in favor of said motion: Schulte V, Baker, Marin, Olson, Anderson, Brooks and Mayor Rasmussen. Mayor Rasmussen declared the motion passed.

(See Secretary’s Original Resolution 16-267 – 16-271
included with these minutes.)

PETITIONS, REQUESTS, AND COMMUNICATIONS

RESOLUTION 16-272 ACCEPTING MERNA SUNDE ESTATE TRUST DONATIONS FOR SPLASH PAD AND MARION ROSS PERFORMING ARTS CENTER

Adams stated that the attached resolution would accept donations from the Merna Sunde Estate Trust. The estate designated $25,000 for the Splash Pad project and $25,000 to the Marion Ross Performing Arts Center. The City will display Merna Sunde’s art as a requirement of accepting the funds. Art pieces will be selected in the near future. Staff recommends acceptance of the donations.

MOTION: Move to accept Merna Sunde Estate Trust donations for the Splash Pad and Marion Ross Performing Arts Center.

Motion made by Councilor Schulte V, seconded by Councilor Olson. On roll call vote, the following councilors voted in favor of said motion: Schulte V, Baker, Marin, Olson, Anderson, Brooks and Mayor Rasmussen. Mayor Rasmussen declared the motion passed.

(See Secretary’s Original Resolution 16-272 included with these minutes.)

UNFINISHED BUSINESS

ORDINANCE 202,6D APPROVING REZONING FROM I-1 LIMITED INDUSTRIAL DISTRICT TO B-2 COMMUNITY BUSINESS DISTRICT FOR PROPERTY DESCRIBED AS LOT 1, BLOCK 1, BRIDGEPORT FOURTH ADDITION (2nd Reading)

Patterson-Lundgren showed Council property that could be rezoned, informing them that the zoning change was requested to make the zoning of the land in the area uniform. The first reading of this ordinance was held at the December 12th council meeting. Cedar House, Inc. is a clinic providing mental health services in Albert Lea for over 17 years. Rezoning the property to B-2 Community Business makes it consistent with adjacent lots and will facilitate their development of a new facility in this location. Staff recommends approval of the 2nd reading.

Motion made by Councilor Anderson, seconded by Councilor Baker. On roll call vote, the following councilors voted in favor of said motion: Schulte V, Baker, Marin, Olson, Anderson, Brooks and Mayor Rasmussen. Mayor Rasmussen declared the motion passed.

(See Secretary’s Original Ordinance 202,6d included with these minutes.)

RESOLUTION 16-273 APPROVING SOUTH BROADWAY URBAN RENEWAL GRANT/LOAN POLICY

Adams explained that the South Broadway Urban Renewal Grant/Loan policy was established to provide guidelines and funding assistance to owners that may need to make façade or site improvements for their buildings on the South Broadway Avenue corridor. This corridor was listed as a high priority redevelopment area in the City’s Comprehensive Plan via a Comprehensive Plan Amendment a couple of years ago. Eligible projects must be located between the National Commercial Historic District on the north and Todd Avenue on the south. With the recent South Broadway road improvement, staff recommends this corridor to be an additional and complementary focus to the success of downtown Broadway. A public meeting was held December 20th for building owners to learn more about the program with six persons attending. Staff recommends approval of the policy.

Marin said that he believes the City of Lacrosse, Wisconsin offers a similar façade improvement program that does not require matching funds from the owner. He asked if the federal or state governments offered funding for this initiative. Rasmussen and Adams responded that neither government provided funding. Marin suggested the City consider broader aspects to the grant in the future.

Rasmussen said he is excited about this initiative moving forward.
Motion made by Councilor Anderson, seconded by Councilor Brooks. On roll call vote, the following councilors voted in favor of said motion: Schulte V, Baker, Marin, Olson, Anderson, Brooks and Mayor Rasmussen. Mayor Rasmussen declared the motion passed.

(See Secretary’s Original Resolution 16-273 included with these minutes.)

NEW BUSINESS

PUBLIC HEARING AND RESOLUTION APPROVING SOUTH BROADWAY AVENUE (CSAH 18) 14TH STREET TO TH-65 IMPROVEMENT PROJECT (JOB 1604)

Rasmussen stated that the agenda item concerning the public hearing for South Broadway Avenue (CSAH18) 14th Street to TH-65 Improvement Project (Job 1604) would be delayed until the January 9th Council meeting.

ORDINANCE 203,6D APPROVING REZONING FROM R-2 (ONE TO FOUR FAMILY RESIDENCE DISTRICT) TO R-3 (MULTI-FAMILY RESIDENCE DISTRICT) FOR THE PROPERTY DESCRIBED AS LOTS 9, 10, 11, & 12 AND THE SOUTHERN FORTY-FIVE FEET OF LOTS 1&2, BLOCK 4, HALLS ADDITION (1st Reading)

Patterson-Lundgren displayed an overhead photo of the location of the proposed zoning change. She reported that the owner of the property intends to create 12 housing units in the existing building and then construct a new building, which could create 29 total units at the location. The proposed zoning change allows for both projects.
Marin asked if the land has been surveyed. Patterson-Lundgren answered that there is not a requirement for a survey. She reported that the Planning Commission unanimously approved the project.

Brooks inquired if government assistance was provided to fund this project. Adams replied that the owner has not inquired, nor applied for assistance.

Motion was made by Councilor Schulte V, and seconded by Councilor Marin. On roll call vote, the following councilors voted in favor of said motion: Schulte V, Baker, Marin, Olson, Anderson, Brooks and Mayor Rasmussen. Mayor Rasmussen declared the motion passed.

(See Secretary’s Original Ordinance 203,6d included with these minutes.)

RESOLUTION 16-274 AUTHORIZING A BILL FOR AN ACT RELATING TO THE CITY OF ALBERT LEA, MODIFYING LOCAL SALES TAX AUTHORITY

Adams explained that Minn. Stat. § 645.021, Subd. 2 states that before the governing body of a political subdivision requests legislative approval of a special law for a local sales tax that is administered under this section, it shall adopt a resolution indicating its approval of the tax. The resolution must include, at a minimum, information on the proposed tax rate, how the revenues will be used, the total revenue that will be raised before the tax expires, and the estimated length of time that the tax will be in effect. The attached resolution addresses the state’s requirements along with specific language that was drafted in collaboration with the Albert Lea Lakes Foundation. Staff recommends approval.

Motion made by Councilor Baker, seconded by Councilor Marin. On roll call vote, the following councilors voted in favor of said motion: Schulte V, Baker, Marin, Olson, Anderson, Brooks and Mayor Rasmussen. Mayor Rasmussen declared the motion passed.

(See Secretary’s Original Resolution 16-274 included with these minutes.)

RESOLUTION 16-275 RECORDING PREVIOUSLY DEFERRED SPECIAL ASSESSMENTS FOR CITY PROJECTS AGAINST REAL PROPERTY

Adams explained that the attached Exhibit ‘A’ lists special assessments against real property which were previously deferred due to age or disability. Although these assessments were previously approved by resolution, they were not recorded with the Freeborn County Recorder. The attached resolution approves the recording of these assessments according to the City’s assessment policy.

Motion made by Councilor Brooks, seconded by Councilor Anderson. On roll call vote, the following councilors voted in favor of said motion: Schulte V, Baker, Marin, Olson, Anderson, Brooks and Mayor Rasmussen. Mayor Rasmussen declared the motion passed.
(See Secretary’s Original Resolution 16-275 included with these minutes.)

RESOLUTION 16-276 AMENDING CITY MANAGER EMPLOYMENT AGREEMENT

Rasmussen said that Adams has served as City Manager for five and a half years and it is customary to review the employment agreement. He said that language regarding his relocation expense to Albert Lea would be removed from the agreement as it is no longer applicable. He stated that the proposed agreement increases the travel allowance, reduces the amount of time that Adams has to provide before voluntarily leaving city employment and will examine his salary after completion of a market rate study.
Marin asked Rasmussen to clarify what is meant by travel allowance. Rasmussen responded that the allowance pays for Adams to travel to locations for city-related business. Marin said the City could consider purchasing a vehicle for Adams to use.

Motion made by Councilor Anderson, seconded by Councilor Schulte V. On roll call vote, the following councilors voted in favor of said motion: Schulte V, Baker, Marin, Olson, Anderson, Brooks and Mayor Rasmussen. Mayor Rasmussen declared the motion passed.

(See Secretary’s Original Resolution 16-276 included with these minutes.)

MAYOR AND COUNCIL REPORTS

First Ward, Councilor Schulte V:
• Schulte reported that he attended an HRA board meeting. He thanked the Mayor, Council and staff for conversation, debate and the learning experience.

Second Ward, Councilor Baker:
• Attended the informational meeting about the South Broadway grant. He said it has been a pleasure to serve with Schulte, Marin and Anderson.

Third Ward, Councilor Marin
• Marin read a prepared statement. He thanked the constituents of the third ward and city staff. He recognized four city employees: Shirley Slater-Schulte, Scott Overland, Peggy Havener and Joanne Hagen. He then thanked the Council and congratulated the incoming Councilors. He expressed concern about city spending and encouraged the City to abstain from real estate purchases.

Fourth Ward, Councilor Olson:
• Attended a Parks and Recreation Advisory Board meeting. Members debated the location of the potential pollinator park. He informed Council that bleachers are being replaced at the arena. He thanked the outgoing Councilors.

Fifth Ward, Councilor Anderson:
• Encouraged the public to apply for positions on the Airport Advisory Board. He discussed the benefits that the airport provides. He thanked his wife and applauded the city staff.

Sixth Ward, Councilor Brooks:
• Attended a CVB meeting. He wished Councilor Anderson’s mother a happy birthday. He closed by stating that it has been an honor to serve with the current Council.

Mayor Rasmussen:
• Stated that the City is seeking volunteers for a committee on holiday lights. He encouraged the public to submit nominations for awards and to apply for vacancies on City Boards and Commissions. He thanked the outgoing members of the Council.

CITY MANAGER REPORT

Adams updated the Council on a residential home tax abatement program. The intent of the program is to encourage developers to sell land, assist homeowners to purchase a home, increase the tax base and create more housing options in Albert Lea. He showed a PowerPoint deck showing the guidelines, noting that abatement may not exceed the greater of 2% of City net tax capacity, or $200,000. He said that staff is seeking to meet with the School District and Freeborn County Board of Commissioners to determine if those entities would be willing to provide tax abatement, but needs support from Council before he does so.

MOTION: Move to support the residential home tax abatement program as presented.

Motion made by Councilor Baker, seconded by Councilor Schulte V. On roll call vote, the following councilors voted in favor of said motion: Schulte V, Baker, Marin, Olson, Anderson, Brooks and Mayor Rasmussen. Mayor Rasmussen declared the motion passed

APPROVAL OF CLAIMS
RESOLUTION 16- 277 APPROVING CONTRACT WITH COUNCILMEMBER SCHULTE
The attached resolution directs the Mayor and City Clerk to make payment in the amount of $9,235.98 on behalf of the City for a claim from Jones, Haugh & Smith and to issue payment for filing the affidavit of official interest by the interested official, Councilor Schulte.
Motion made by Councilor Brooks, seconded by Councilor Anderson. On roll call vote, the following councilors voted in favor of said motion: Baker, Marin, Olson, Anderson, Brooks and Mayor Rasmussen. Mayor Rasmussen declared the motion passed. Councilor Schulte abstained.

(See Secretary’s Original Resolution 16- 277 included with these minutes.)

RESOLUTION 16-278 APPROVING CONTRACT WITH COUNCILMEMBER BROOKS
The attached resolution directs the Mayor and City Clerk to make payment in the amount of $89.95 on behalf of the City for a claim from Brooks Safety Equipment and to issue payment for filing the affidavit of official interest by the interested official, Councilor Brooks.

Motion made by Councilor Schulte V, seconded by Councilor Baker. On roll call vote, the following councilors voted in favor of said motion: Schulte, Baker, Marin, Olson, Anderson and Mayor Rasmussen. Mayor Rasmussen declared the motion passed. Councilor Brooks abstained.

(See Secretary’s Original Resolution 16- 278 included with these minutes.)

RESOLUTION 16-279 APPROVING CLAIMS

Adams did not have a slide showing claims over $25,000. He said he would bring it at the next meeting. The resolution directed the Mayor and City Clerk to issue the payment of claims as presented in the Detail of Claims report.

Motion made by Councilor Brooks, seconded by Councilor Baker. On roll call vote, the following councilors voted in favor of said motion: Schulte V, Baker, Marin, Olson, Anderson, Brooks and Mayor Rasmussen. Mayor Rasmussen declared the motion passed.

(See Secretary’s Original Resolution 16-279 included with these minutes.)

ADJOURNMENT – 7:45 PM

Motion made by Councilor Schulte V, seconded by Councilor Marin, that there being no further business, the Council meeting adjourn until the next regular meeting of the Albert Lea City Council at 7:00 p.m., on Monday, January 9, 2017. On roll call vote, all councilors voted in favor of said motion. Mayor Rasmussen declared the motion passed and the meeting adjourned.
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Mayor Vern Rasmussen Jr.

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Jerry Gabrielatos
Council Secretary Pro Tem