Approved Minutes 11-12-1998 SUMMARY MINUTES OF THE SAINT PAUL CITY COUNCIL
Thursday, November 12, 1998 - 3:30 - 5:00 P.M.
CITY COUNCIL CHAMBERS, 3RD FLOOR
City Hall and Court House
15 West Kellogg Boulevard
Saint Paul, MN
The meeting was called to order at 3:35 p.m. by Council President Bostrom.
Present - 7 - Benanav, Blakey, Bostrom, Coleman, Harris, Lantry, Reiter
Absent - 0
CONSENT AGENDA (Items 1 - 16)
Councilmember Lantry requested Item 15 be removed for discussion.
Councilmember Benanav requested Item 16 be withdrawn.
Councilmember Harris moved approval of the consent agenda as amended Yeas - 7 Nays - 0
FOR ACTION
1. Letter from the Office of Citizen Service/Property Code Enforcement declaring 907
Margaret Street (rear house) as nuisance property and setting date of Legislative Hearing
for November 17, 1998 and City Council Hearing for November 25, 1998.
2. Letter from the Office of the City Attorney setting date of hearing before an Administrative
Law Judge for November 24, 1998 at 1:30 p.m., Room 42 City Hall/Courthouse, to
consider adverse action against the cigarette license held by Grand 7 Saloon, Inc., 315 7th
Street West.
3. Administrative Order:
D001611 Amending the 1998 budget of the City Attorney's Office to provide funds for a
file server, microfiche equipment, and temporary employees needed for clerical
vacancies.
Noted as on file in the City Clerk's Office
4. Resolution - 98-997 - Approving the 1998-2001 Maintenance Labor Agreement between
the City of Saint Paul and the Bricklayers and Allied Craftworkers Local No. 1 of
Minnesota. (Laid over from November 4 for adoption)
Adopted Yeas - 7 Nays - 0
November 12, 1998 City Council Summary Minutes Page 2
5. Resolution - 98-1009 - Approving the appointments of Shirley Alexander, Maria DeLeon,
Brennan Elliott Brooks, William (Billy) Collins, Diana Rodriguez, Miriam Rykken, Jim
Kelley, Greg Simbeck, Charles Redmond, Jennifer Bozicevich, Leah Olson, and Michael
Lohman, by Mayor Coleman, to the Youth Fund Board.
Adopted Yeas - 7 Nays - 0
6. Resolution - 98-1010 - Approving the appointment of Edward Tacheny, by Mayor
Coleman, to the Certificate of Competency Fuel Burner Examining Board.
Adopted Yeas - 7 Nays - 0
7. Resolution - 98-1011 - Approving the appointments of Isaac Contreras, Rick Dagenais,
Kim Hunter, and John Siekmeir, and the reappointments of Paul Gilliland, Wayne
Lundeen, Ferdinand Peters, Randall Reetz, Paul Savage, Gary Unger, and Bob Voeller, by
Mayor Coleman, to the Saint Paul Long-Range Capital Improvement Budget Committee
(CIB).
Adopted Yeas - 7 Nays - 0
8. Resolution - 98-1012 - Finalizing City Council action taken October 28, 1998, denying the
license application of Pooja, Inc., dba Travel Inn, 149 East University Avenue.
Adopted Yeas - 7 Nays - 0
9. Resolution - 98-1013 - Approving Amendment No. 4 to Lease Agreement PD/19 with the
State of Minnesota for 120 parking spaces in "Parking Lot Y."
Adopted Yeas - 7 Nays - 0
10. Resolution - 98-1014 - Reducing the assessment for the Bates McLean storm sewer
connection project for property at 296 Bates Street which was assessed incorrectly.
Adopted Yeas - 7 Nays - 0
11. Resolution - 98-1015 - Amending the 1998 budget in the Division of Parks and Recreation
to allow for the spending of revenues received from Seasonal Swimming Program Lessons
in 1998 that exceed the budgeted amount.
Adopted Yeas - 7 Nays - 0
12. Resolution - 98-1016 - Directing the Division of Parks and Recreation to renew a lease
agreement with Ramsey County Corrections for office space at North End Multi-Service
Center.
Adopted Yeas - 7 Nays - 0
November 12, 1998 City Council Summary Minutes Page 3
13. Resolution - 98-1017 - Authorizing the proper City officials to request SCORE state
recycling grant funds from Ramsey County in the amount of$542.216 for support of the
citywide curbside and multi-family recycling collection program in 1999.
Adopted Yeas - 7 Nays - 0
14. Resolution - 98-1018 - Amending Council File 98-148 requiring rehabilitation or
demolition of the property located at 774 Ashland Avenue within six months.
Adopted Yeas - 7 Nays - 0
15. (Discussed after the consent agenda)
16. Resolution - 98-1020 - Accepting donations from the City's Marketing Office for the
University Avenue Corridor Initiative and establishing an activity code for the
expenditures.
Withdrawn Yeas - 7 Nays - 0
15. Resolution - 98-1019 - Approving the decision of the Legislative Hearing Officer on
Property Code Enforcement Appeals for property located at: 960 Juno Avenue, 1171
Minnehaha Avenue East, 769 Seventh Street East, 55 Front Street, 76 Stevens Street West,
53 Dale Street North, 149 Morton Street West, and 642 Thomas Avenue.
Councilmember Lantry moved to introduce a substitute resolution and to lay over 1564
Upper Afton Road to May 5, 1999.
Substitute introduced and adopted as amended Yeas - 7 Nays - 0
FOR DISCUSSION
17. Resolution - 98-713 - Ordering the owner to remove or repair the building at 766 Jackson
Street within fifteen (15) days from adoption of resolution. (Laid over from August 12)
(Legislative Hearing Officer recommends approval)
Gerry Strathman, Legislative Hearing Officer, reported that neither bonds or permits were
pulled.
Councilmember Reiter moved approval.
Adopted Yeas - 7 Nays - 0
November 12, 1998 City Council Summary Minutes Page 4
18. Report from the Administration regarding any City funds to be spent on Titanic, The
Exhibition. (Requested by the Council on October 28, C.F. 98-995; laid over from
November 4)
Joe Zappa, Citizen Service Office, reported that a site has been created for the Titanic
exhibit on the City's web page. The estimated cost is $3,000-5,000. Inter-office
promotions will be done through the e-mail system and other City communications as the
year progresses. Mr. Zappa said he will be submitting a resolution allocating $20,000
from the joint marketing fund to the Convention and Visitors Bureau to assist restaurants
and bars with recognition and bringing business to them. It will be a restaurant guide
which will be distributed at the visitors' booth at the Union Depot. An additional $5,000 is
being requested for banners. In addition, they are working on transportation issues for
large groups.
19. Resolution - 98-1021 - Authorizing City officials to enter into an agreement with Media
One to extend the completion deadline for the Institutional Network.
Gerry Strathman, Council Research Director, reported that staff had reached an agreement
in principle with Media One on this issue. However, they have been unable to come to a
written agreement and the attorneys for both parties were working on this issue at the time
of this meeting. Mr. Strathman said he was confident an agreement would be reached and
he requested that this item be held over until the end of the meeting.
Councilmember Coleman moved to lay Item 19 over to after the public hearings.
Yeas - 7 Nays -0
The meeting was recessed from 3:45 to 5:35 p.m.
Roll Call: Present - 5 Absent - 2 (Blakey, Harris - arrived shortly after roll call)
PUBLIC HEARINGS
20. Resolution - 98-1000 - Concurring with action taken by the Board of Water Commissioners
establishing the water rates for 1999. (Laid over from November 4 for public hearing)
No one appeared in opposition; Councilmember Reiter moved to close the public hearing and
approval.
Adopted Yeas - 5 Nays - 0 (Blakey & Harris not present for vote)
(Blakey & Harris arrived)
November 12, 1998 City Council Summary Minutes Page 5
21. Resolution - 98-1022 - Approving the 1999 Sanitary Sewer Rates and the 1999 Storm Sewer
System Charges.
Gary Kazivkewicz, Regulatory Compliance Manger for Waldorf Corporation, appeared and
commended the Department of Public Works staff on the zero percent increase
Councilmember Harris moved to close the public hearing and approval.
Adopted Yeas - 7 Nays - 0
22. Resolution - 98-1023 - Authorizing Street Maintenance Assessment Rates for 1999 at basically the
same level as 1998.
Gary Erichson, Department of Public Works, appeared and stated that the street maintenance
assessment rates will remain the same for the sixth consecutive year.
Mr. Erichson talked about the department's main problem which is the alleys. The Public Works'
Design Group reviewed the possibility of paving all the alleys in the City, however, the cost
would be approximately $40 million. The Street Maintenance section then looked at a
compromise to improve the alleys and a lot of heavy maintenance was emphasized this year. Mr.
Erichson explained in detail some of the procedures that were used and said they attempted to
improve the alleys the best they could. There are 2,700 alleys in the City, and the alleys that were
improved were selected based on the most complaints they had been received. Public Works
would like to do an additional 70 alleys in 1999 with a new method they found to be highly
effective.
Councilmember Harris said he would like to get information on the cost for the new method of
improvements to pass on to property owners. Mr. Erichson said they were in the process of
assembling the costs and projecting what the right size crew should be to accomplish the work.
Councilmember Harris moved to close the public hearing and approval.
Adopted Yeas - 7 Nays - 0
23. Resolution - 98-1024 - To consider the vacation of a portion of the alley in Block 1, Westminster
Addition for better access to the abutting property.
Councilmember Benanav questioned if there is a cost charged to people to vacate alleys or streets.
Peter White, Real Estate Division, responded that there is a $100 fee to file a petition and if it is
approved by the City Council, there is an administrative fee of$500 that the petitioner must pay in
order for the vacation to be approved.
Councilmember Benanav responded that he felt the fee was quite low. Mr. White responded that
until about 1991 the policy was to charge market value for the vacated areas which generated some
money for the City. However, at that time the City Council established a policy of charging an
administrative fee of$500. It is a Council policy but the Council can change it and set the amount
for vacations.
November 12, 1998 City Council Summary Minutes Page 6
Councilmember Reiter moved to close the public hearing and approval.
Adopted Yeas - 7 Nays - 0
24. Appeal of Richard Fowler to a summary abatement order for property at 1084 Edgerton Street.
(Laid over from October 14) (Legislative Hearing Officer recommends denying the appeal)
Gerry Strathman, Legislative Hearing Officer, reported that this issue involved yard clean-up and
a vehicle on the property. All of the matters have been taken care of except the vehicle is not yet
licensed. The orders were corrected and he recommended that the appeal be denied.
Councilmember Lantry moved to close the public hearing and denial of the appeal.
Appeal denied Yeas - 7 Nays - 0
25. Public hearing to consider the appeal of Melvin Spiegler Properties LP to a decision of the
Planning Commission approving a parking ramp proposed by Park N Jet at 2751 Shepard Road.
Tom Beach, Office of Licensing, Inspections and Environmental Protection, provided a staff
report. In September, 1998, the Planning Commission approved three zoning actions to allow
Jerry Troien to construct a parking ramp on the parking lot of the US Bank building at Shepard
Road and Davern Street. An appeal of this decision was filed by Melvin Spiegler Properties LP
who owns the apartment buildings immediately north of where the ramp would be built. Mr.
Troien purchased the property, which formerly was the Unisys building, he has renovated the
building and US Bank is in the process of moving in. Mr. Troien first proposed to build the
parking ramp last spring and originally wanted to build it across the street on the east side of
Davern Street. However, the district council and city staff had some concerns about this area even
though it did not need any variances or modifications since it would have been much closer to
Shepard Road and the river. They felt it would be more in keeping with the recommendations of
the Shepard-Davern Small Area Plan to build the ramp west of Davern where it could be set back
further from the river.
The ramp would have four levels, one at grade and three above, and have room for 996 vehicles.
Initially, 300 of the parking spaces would be used by US Bank employees and the other spaces
would be used for an airport remote parking lot business. Eventually, Mr. Troien would like to
construct another building on the US Bank site and then the entire ramp would be used for the two
buildings.
Mr. Beech reviewed the site plan and three zoning actions, with conditions, that were approved by
the Planning Commission. A setback variance was approved to allow the ramp to be set back 15
feet from the north property line. Since the property is zoned industrial, a setback of 65 feet
would have been required without the variance. Mr. Troien asked to have the required setback
reduced because he wants to build the ramp as far north as possible in order to preserve the south
portion of the site for future development of another building. The Planning Commission found
that the arrangement of the building proposed was in conformance with the recommendations of
the Shepard-Davern Plan.
November 12, 1998 City Council Summary Minutes Page 7
In Mr. Spiegler's appeal, he stated that there is no hardship to this property that justifies a
variance and that his property will be negatively impacted by increased traffic and that his garages
will have an increased snow load due to the ramp being built so close to the garages. He also
contends that the property line shown on the site line is not correct and the ramp would only be set
back seven or eight feet from his property line.
The second action approved with a river corridor modification would allow the ramp to be 42-1/2
feet high rather than 40 feet high. Mr. Troien asked to have the 2-1/2 foot modification in order
to build a four-level ramp. The Planning Commission found that the modification was in
conformance with the intent of the river corridor ordinance in part because it would be set back
over 200 ft. from the river bluff and would not be visible from the river valley.
Mr. Spiegler again stated in his appeal that there was no hardship to justify this modification and
that it is not consistent with the general purposes of the river corridor requirements and state law.
The Department of Natural Resources sent a letter in opposition, Beech noted.
The site plan for the ramp was approved by the Planning Commission with a condition that the
landscaping, lighting, storm water drainage, and some of the other details be left out for staff to
work out with Mr. Troien.
Mr. Spiegler responded in his appeal that the plan is not consistent with applicable ordinances or
the Shepard-Davern Small Area Plan and the ramp would negatively affect his and other nearby
property.
Two conditions were placed on the ramp; the north side of the ramp must be solid so the noise and
light from the ramp would not carry over to the property of the apartment buildings and that it be
constructed with materials compatible with the surrounding neighborhood, and that the north side
of the ramp be landscaped.
At the public hearing, the applicant and his attorneys spoke in favor of the project. The appellant
and a member of the Highland Area Community Council spoke in opposition. The staff
recommendation was to approve with conditions. Staff recommended an additional condition that
approximately 70 spaces be eliminated so that the northern tier of the ramp could be lowered to a
height of 30 feet where it is visible from the apartments.
Councilmember Coleman noted that Mr. Spiegler indicates there is a property line dispute at the
present time and if it is resolved in his favor the actual setback would be eight feet. Coleman
questioned what would happen to this project if that was the case.
Phil Byrne, Assistant City Attorney, responded that if the ramp were under construction, it would
be an issue for the court to resolve. If construction was not started, the property line could be
moved or they would have to move the building out in accordance with the variance established.
November 12, 1998 City Council Summary Minutes Page 8
Appearing in support of the appeal were:
- Jeff Ansel and Carl Robinson, Law Firm of Winthrop & Weinstein, representing Melvin
Spiegler.
Appearing in opposition to the appeal were:
- James Lockhart, Law Firm of Locomen, Nelson, Cole & Stageberg, representing Jerry
Troien
- Jerry Troien
Discussion ensued amongst the Councilmembers.
Councilmember Harris pointed out that the building was an old manufacturing building and is
zoned industrial. It was a vacant building, it has been complete refurbished and is an immense
improvement on Shepard Road. In addition, there has been a big job impact with over 2,000 new
jobs going onto the property. The lease agreement with US Bank does include parking, Harris
said. He further noted that there has been no public money involved with this project.
Councilmember Harris moved to deny the appeal, adopt the findings of the Planning Commission
with conditions, and have staff review and approve the site plan.
Additional discussion took place.
Motion of Intent - Appeal Denied Yeas - 5 Nays - 2 (Coleman, Lantry)
19. Resolution - 98-1021 - Authorizing City officials to enter into an agreement with Media One to
extend the completion deadline for the Institutional Network.
(Discussion continued from earlier in the meeting)
Gerry Strathman, Council Research Director, stated that this issue involves the Institutional
Network (I-Net) - a cable network built for the use of public entities. It serves all City buildings,
schools, libraries, police stations, etc. throughout the City of Saint Paul. It was originally built as
part of the cable television franchise agreement in 1983 and functions, to some extent, through the
15 years of the original franchise. The City became concerned about the failure of the I-Net,as
originally built, to fulfill the expectations of the City. As part of other cable negotiations that took
place about a year ago, an agreement was reached with the cable television company that they
would correct the deficiencies that existed in that system so it would be useful and effective for all
public entities in the future.
The corrective plan which was agreed to in December, 1997, stipulated that the new, corrected,
high-performance I-Net was to be completed by August 1, 1998. Last summer the cable company
requested an extension of time to complete the system as they felt they could not build it to their
intended quality and specifications if they didn't have additional time past August 1. Negotiations
November 12, 1998 City Council Summary Minutes Page 9
took place between the cable company and City staff and an agreement was reached which was
later ratified by the City Council whereby, in exchange for other considerations, the deadline for
completion of the I-Net was extended from August 1 to September 30, 1998, and then extended
again to November 15, 1998. It now appears that the system will not be completed by November
15.
One option that would be available to the City under the terms of the agreement, Mr. Strathman
said, is that if the system is not constructed by November 15, 1998, it would be an event of
default. The City could then notify MediaOne that default has occurred and they would have 15
days to correct. If the system is not completed at the end of the 15 days, under the terms of the
current agreement the City has rights to make claims against a $500,000 letter of credit that is
currently held in a Boston bank as surety for construction of the system. The view of City staff
and the consulting attorney is that under this contingency, the City would have a right to make a
claim for the entire amount of$500,000. MediaOne's view is that the City would not have such a
right and that the City may have a right to certain claims for damages but the claims would be
limited to demonstrable damages.
If the City makes claim against the letter of credit, it would lead to a dispute which would most
likely be resolved through a legal process. Staffs assessments, based upon the advice of the City
Attorney's Office and the consulting attorney in Washington, is that the City would probably end
up with something less than the entire amount. Mr. Strathman said MediaOne and City staff have
tried to develop an agreement that would avoid this potentiality. Mr. Strathman reviewed the
major points of the agreement that staff was recommending to the Council.
Councilmember Harris said he was in favor of staff proceeding with negotiations but said he
would like the Council to discuss an appropriate expenditure related to the I-Net. Mr. Strathman
responded that the money will have to be budgeted in order to be spent which will require City
Council approval.
Holly Hansen, Cable Communication Officer, appeared and stated that the way the agreement is
presently structured, payment would be received in January, 1999. It is anticipated that there will
be additional costs involved and it will go back to the Council in the form of a budget amendment.
Councilmember Harris moved approval.
Adopted Yeas - 7 Nays - 0
November 12, 1998 City Council Summary Minutes Page 10
There was no further business; Councilmember Coleman moved to adjourn the meeting.
Yeas - 7 Nays - 0.
ADJOURNED AT 7:10 P.M.
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Daniel Bostrom, Council President
ATTEST:
Minutes approved by Council
Nancy A erson .2`3 ��ck r
Assistant Council Secretary
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SUMMARY MINUTES OF THE SAINT PAUL CITY COUNCIL
Thursday, November 12, 1998
1:00 p.m.
Northwest Conference Room
Third Floor City Hall and Court House
15 West Kellogg Boulevard
Saint Paul, Minnesota
CLOSED DOOR SESSION
Present - 7 - Councilmembers Jay Benanav, Jerry Blakey, Dan Bostrom, Chris Coleman,
Mike Harris, Kathy Lantry and Jim Reiter.
Also present were: Phil Byrne, Gail Langsfield and Frank Villaume, City Attorney's
Office; Chief William Finney, Saint Paul Police Depai liiient; and Gerry Strathman,
Council Research Center.
The meeting was called to order by Council President Bostrom at 1:05 p.m.
Session discussed pending litigation.
AD ED T 2:10 P.M.
ouncil President Dan Bostrom
ATTEST: Minutes approved by Council
Gerry Strhman
Council S tary