1. Call to Order.  The regular meeting of the Council of the City of Rogers was called to order by Mayor Grimm on Tuesday, July 26, 2011 at 7:00 p.m. at Rogers Community Center, 21201 Memorial Drive, Rogers, MN, 55374.

Council present: Rob Bell, Jay Bunting, Jason Grimm, Rick Ihli, and Maureen Stanley.

Staff present:  Shibani Bisson, City Engineer; Jeff Carson, City Attorney; Stacy Doboszenski, Assistant City Administrator; Brad Feist, Fire Chief; Rose Lorsung, City Planner; Mike Miller, Police Captain; John Seifert, Public Works Supt.; Steve Stahmer, City Administrator; and Lisa Wieland, Finance Director.

2. Open Forum. 
None.

3. Presentations. 
None.

4. Approve agenda.
No items were added to the agenda.  Agenda was set as submitted.

5. Consent Agenda.
5.01  Approval of Minutes from July 12, 2011 City Council Meeting
5.02  Approval of Bills and Claims
5.03  Approval of Resolution No. 2011-31, A Resolution Memorializing Park Dedication for Brookside Meadows
5.04  Water Conservation Initiatives
5.05  WWTP Valve Actuator/Automation
5.06  WSB Scope of Service for Cartegraph WORKdirector System
5.07  Approval of Resolution No. 2011-32, A Joint Resolution for Request for Proposal for Joining Hassan and Rogers Park Plans
5.08  Approval of a Request by St. Jude’s Medical (lessee) and AorTech Biomaterials (sublessee) for a Conditional Use Permit for Outside Storage, Located at 19725 S. Diamond Lake Road
5.09  Approval of Ordinance No. 2011-04, An Ordinance of Minor Amendments to the Zoning Ordinance, Section 125-57 and Section 125-58, Relating to Variances and Summary Ordinance No. 2011-04
5.10  Approval of Amended Minnesota Lawful Gambling Exempt Permit for Knights of Columbus to Conduct Bingo at Mary Queen of Peace Church in October, 2011 and Approval of Minnesota Lawful Gambling Exempt Permit for Knights of Columbus to Conduct Bingo at Mary Queen of Peace Church in Jan., Feb., Oct. and Nov., 2012, located at 21304 Church Avenue, Rogers, Minnesota
5.11  Call for the Public Hearing for the Extension of Trail and Lighting Improvements Along Rogers Drive from South Diamond Lake Road to 141st Avenue North (CSAH 144) and East on 141st Avenue North to the Rogers Middle School
5.12  Award a Construction Contract to Twin Pines Earthworks for the 133rd Court Drainage Improvement Project
5.13  Authorize Sale of Police Vehicle
5.14  Minnesota Institute of Public Health Alcohol Compliance Grant

5.05 pulled by Bunting, 5.06 pulled by Stanley, and 5.12 pulled by Grimm.

Bunting moved, Ihli seconded a motion to approve the consent agenda less 5.05, 5.06, and 5.12.  Motion carried 5-0.

5.05  Bunting asked how much the savings would be by putting the valve actuator in place.  Seifert addressed how off-peak would work with the new system.  The operators have looked at this for several years to implement a more efficient system.  Wear and tear savings as well.
Bunting moved, Bell seconded a motion to approve 5.05.  Motion carried 5-0.

5.06  Stanley stated the project looks great and understands the project is budgeted and questioned the future support of the software.  Stanley questioned if it is being budgeted for into the future.  Seifert stated the future cost would be prorated across all departments that use the system.  Stanley moved, Ihli seconded a motion to approve 5.06.  Motion carried 5-0.

5.12  Grimm stated he had the opportunity to speak with one of the land owners in this situation and the landowner was saying it is a waste of money for the City to do this project and their plan would have the other neighbor place fill in the easement.  Grimm asked if that would rectify the situation without additional cost.
Seifert stated the resident impacted to the west is seeing flooding outside of the drainage and utility easement.  Both SEH and WSB have worked on this project.  The emergency overflow is determined to be 9/10 too high.  Filling the neighbor’s back yard where the flooding takes place does not address the height of the emergency overflow.  The solution proposed considers the future development to the west.

Seifert stated this is not a time sensitive issue and doesn’t believe we would lose our quote in two weeks.  Also, Engineer Weiss may have additional information that Seifert doesn’t; Weiss having attended a neighborhood meeting.

Grimm moved, Bell seconded a motion to table 5.12 to the next meeting.  Motion carried 5-0.

6.   Public Hearings
6.01 Public Hearing to Consider a Business Subsidy Agreement Between the City and Medline Industries, Inc. or a related entity (the “Developer”). (Resolution No. 2011-33)
Administrator Stahmer provided background information on the request for a business subsidy by Medline Industries, Inc.  Stahmer also introduced Steve Bubal who will take the Council through the business subsidy agreement along with Stephanie Murphy with Medline.  Staff is recommending Council hold the public hearing and adopt resolution 2011-33; adopting the business subsidy agreement.  Stahmer discussed the protection for the City as a look-back clause in the event the taxes were not realized over a period of five years.  The funds are TIF District No. 1 cash funds, not the creation of a new district.  In staff’s opinion, the value and benefit of this development outweighs the value of the proposed subsidy.

Steve Bubal then addressed the Council on the business subsidy agreement.  Bubal stated it is a simple and straight forward agreement outlining the City’s responsibility and the Developer’s responsibility.  The disbursement of the $200,000 does not happen until the building is completed along with invoices for eligible costs.  The developer’s responsibilities are more detailed in the agreement; building the structure, completed project by September 1, 2012, maintain insurance while constructing and continuing liability and casualty insurance, obligated by the agreement to pay property taxes, additional “look back” or tax guarantee; new value that creates city taxes, job creation of 24 full-time equivalent jobs within two years of completion, and maintain as a distribution center for at least five years.  Also, they agree to pay all of the City’s out-of-pocket costs for the project.

Mayor Grimm opened the meeting for public hearing at 7:25 p.m.
No comments were made during the public hearing.

Bunting moved, Ihli seconded a motion to close the public hearing at 7:25 p.m.

Grimm moved, Stanley seconded a motion to adopt Resolution No. 2011-33, A Resolution Approving a Business Subsidy Agreement Between the City of Rogers and Medline Industries, Inc.
Bunting stated he is thrilled to have Medline, but for philosophical differences he will be voting against it.

Bell stated he is excited to have Medline and Liberty in the community.  In general he is not enthusiastic regarding subsidies and given the financial situation, he is not opposing it.

Motion carried 4-1; with Bunting voting no.

7.  General Business
7.01 Items Relating to Liberty Property Limited Partnership Industrial Development
• Approval of Resolution No. 2011-34, A Resolution Granting a Planned Unit Development Final Plan and Final Plat for Liberty Property Limited Partnership for the Liberty Industrial Park at Diamond Lake
• Approval and Authorize Execution of Master Planned Unit Development Agreement
Lorsung stated multiple staff members have worked on this development.  Plans have been finalized and staff is working on some minor details needing engineer approvals.  Staff is seeking final approvals from Council.

Bunting moved, Ihli seconded a motion to approve Resolution No. 2011-34, A Resolution Granting a Planned Unit Development Final Plan and Final Plat for Liberty Property Limited Partnership for the Liberty Industrial Park at Diamond Lake.  Motion carried 5-0.

Bunting moved, Bell seconded a motion to approve and authorize the execution of the Master Planned Unit Development Agreement.  Motion carried 5-0.

7.02  Items Relating to Medline Industries Inc. Site Plan Approval:
• Approval of Resolution No. 2011-35, A Resolution Granting Site Plan Approval to Medline Industries, Inc. for Property Within the Liberty Industrial Park at Diamond Lake
• Approval and Authorize Execution of Site Development Agreement
Lorsung provided brief background on the requested approvals.

Bell moved, Bunting seconded a motion to approve Resolution No. 2011-35, A Resolution Granting Site Plan Approval to Medline Industries, Inc. for the Property Within the Liberty Industrial Park at Diamond Lake.  Motion carried 5-0.

Bell moved, Bunting seconded a motion to approve and authorize execution of the Site Development Agreement.  Motion carried 5-0.

Lorsung stated this project has been a fun project to work on and a lot of work on everyone’s behalf and an amazing development in the City.

Liberty thanked the Council and staff for all their work.

7.03 Consider Traffic Calming Measures Along Oakwood Drive
Engineer Bisson explained the options available to Council for concrete medians at various locations on Oakwood Drive.  The cost estimate is $3,000 each. The staff recommended median is at 129th Avenue and Oakwood Drive.

Seifert addressed the history of the traffic issues along Oakwood Drive and expressed the staff reason for evaluating all the intersections.

Bunting stated he has no sympathy for ticketing those speeding in residential areas.

Ihli asked Capt. Miller if medians will slow people down.  Miller stated his component was the educational piece.  If they (police) are sitting at the intersections, they get 100% compliance from drivers.  The median at 129th and Oakwood would reduce the speeds of the traffic entering Oakwood Drive.

Bell is all for enforcement and education, but does not see the benefit of the medians or adding the expenses; not in favor of adding the physical components.

Stanley would rather see the data when it comes from the new speed trailer before money is spent on the medians.

Bunting is willing to wait to see the data, if the data shows the medians are needed, then will be in favor.

Grimm is in favor of looking at the medians, and is willing to wait for the data.

Bunting moved, Stanley seconded a motion to table 7.03 until the data collection from the new speed trailer is complete.  Motion carried 5-0.

7.04 Discussion of Hassan Tax Rate Phase-in Impacts and Offers
Administrator Stahmer stated staff has nothing further to add from the 6:00 work session, staff would recommend reiterating to Hassan the four year phase-in offer. 

Grimm is willing to keep the four years on the table as previously stated.  However, if Hassan is going to keep coming at us with a zero levy, then he proposes a four-year phase-in with a January 1st full annexation date.

Bunting is not thrilled with four years, was okay with three years and is receiving feedback from community of why give them anything?  It is not something required of the Council to do.  Bunting stated he is hesitant to do anything over three years at this point.

Ihli stated he agrees with Mayor Grimm.

Grimm moved, Ihli seconded a motion to propose four years on residential/agricultural properties with a January 1st annexation date.  Motion carried 4-1 with Bunting voting no.

8.  Other Business
None.

9. Correspondence and Reports
9.01 Purchase of MSA Thermal Imaging Camera
9.02 Maple Crest Landscape Payment for CSAH 81 Improvements
No formal action was taken.

10. ADJOURN
Bunting moved, Bell seconded a motion to adjourn at 7:54 p.m.

Respectfully submitted,
Stacy Doboszenski
Assistant City Administrator/Clerk