02/08/1993 - City Council Special
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MINUTES OF A SPECIAL MEETING OF THE
EAGAN CITY COUNCIL
Eagan, Minnesota
February 9, 1993
A special meeting of the Eagan City Council was held on Tuesday, February 9, 1993 at 5:00
p.m. Present were Mayor Tom Egan, Councimembers Ted Wachter, Pat Awada, Shawn Hunter and Sandy
Masin. Also present were City Administrator Hedges, Acting Community Development Director Hohenstein,
Assistant City Attorney Dougherty, City Planner Sturm, representatives of the sign industry and the public.
OUTDOOR ADVERTISING SIGN ORDINANCE
City Administrator Hedges Introduced the Rem and stated that the issue of billboard
advertising had been before the City Council in various forms over the past two years. He indicated that
the business Rem was a result of work done by the City's Outdoor Advertising Sign Task Force which
culminated in late 1992. Acting Community Development Director Hohenstein provided additional
background on the history of the sign issue and the outcome of the task force deliberations which resulted
in a 6 to 3 vote to ban additional billboard signs in the City. He indicated that the policy issues before the
City Council were whether or not the Council wished to adopt a ban as recommended by the task force,
add additional regulation to the existing ordinance or retain the existing ordinance and what public purposes
the Council perceived in banning, further regulating or maintaining existing regulations on such signs. He
then distributed a map showing existing sign locations and their ownership.
Council member Awada stated that she supports maintaining the same number of billboards
and opposes the addition of any new signs but stated that she is open to existing signs being relocated to
specific zones within the City as long as there is no net gain. Mayor Egan stated that there are pros and
cons to any approach to the sign issue and noted that many signs will be removed with the eventual
development of the underlying property. Councilmember Hunter stated that he feels the economic liabilities
of billboard signs outweigh their benefits. He stated he agreed with Councilmember Awada's comments
about banning new signs, but asked for more discussion of the relocation of existing signs. Mayor Eagan
stated that the City needs to foster economic development but not at the expense of the visual clutter that
many billboards would create. He stated that a further discussion of all business signage Issues would be
beneficial in the future to determine If additional signage of any kind would foster business in the City.
Cheryl Casey of 4706 Beacon Hill Road, a member of the task force, stated that the sign
task force had recommended against a no net gain policy and the relocation of signs because they were
concerned that the same number of billboards might be concentrated in permitted signage areas and cause
more blight and visual impacts in specific areas of the City.
Councilmember Hunter stated that If the City were to adopt a no net gain policy, it would
only support what he perceived as the existing Naegele monopoly and would be unfair to other sign
companies who did not have as many signs to relocate or replace. Councilmember Awada stated that she
feels Naegele has a monopoly metro-wide anyway. Mike Cronin of the Naegele Company, stated that
Naegele currently has 70 - 80% of the billboard signage in the Minneapolis/St. Paul region. He stated that
if the core cities are excluded, the number drops to approximately 50%. Councilmember Wachter stated
that he is not in favor of adding new signs or altering the existing signs. He stated that he has not
supported billboards within the City in the past and that many residents and some corporations and
developers oppose such signage. He stated that he feels that the signage is visual pollution. He stated that
he does support the use of freeway Identification and directional signs such as the MnDOT signage
announcing food, gas and/or lodging for various exits on the freeway system. Councilmember Hunter
agreed with Wachter's comments about visual pollution and stated that permitting the relocation of existing
signs will concentrate the negative affects in specific areas.
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Mayor Egan stated that it was Important for the Council to leave the meeting with a firm
decision and not a middle ground decision which would leave issues unresolved. He asked how the "Omni
Case" affected this issue. Assistant City Attorney Dougherty and Mike Cronin of Naegele Signs responded
that the Omni Case dealt primarily in the area of sign content. Assistant City Attorney Dougherty stated that
there is nothing to prevent the Council from banning additional billboard signs provided they do not base
their decision on signage on the content of those signs. Councilmember Hunter stated that if the City bans
billboards entirely, it avoids the legal issues associated with content.
Egan Chamber President Gary Morgan stated that he was concerned by the conduct of the
Sign Task Force meetings. He stated that the task force could have been better controlled in its
deliberations. He noted that there was some gray area concerning what did and did not constitute a
billboard sign since certain on-premise signs in Bloomington such as that at the Mall of America are actually
billboards, but are permitted because they are on the premises of the business. Cheryl Casey stated that
some of the confusion about the task force outcome resulted because two members changed their votes
from a previous meeting to the final meeting and that the majority of six to three supported the banning of
additional signs. Morgan stated that he felt the Sign Task Force had not completed its work because other
business signage had not been addressed In its entirety.
Mayor Egan then stated the need for the Council to arrive at a conclusion relative to the
issue. He suggested that staff draft an ordinance consistent with the task force majority report banning new
signs. The other Councilmembers stated their support for this direction. The Mayor went on to suggest that
discussion needed to occur regarding a comprehensive business signage policy and asked staff to prepare
information in that regard as well.
Councilmember Awada asked if it would be possible to craft a no net increase ordinance
which would still permit Council flexibility to deny requests for relocations. Assistant City Attorney Dougherty
stated that a no net increase ordinance would have to be applied to all sign companies wishing to take
advantage of it but that the Council always has the discretion to deny signs if they find that they are
deleterious to the area or do not meet City sign standards. He stated that the only way for the Council to
insure that they did not have to review all applications for relocation would be to Institute a ban.
Gary Graves, also a member of the task force, indicated that the City Council is affecting
the ability of the sign industry to do business In the area. Jack Young of Young Outdoor Advertising stated
that he is concerned about the direction for a ban when his company has a sign application pending. He
stated that he felt a ban would be arbitrary. Assistant City Attorney Dougherty reviewed the circumstances
surrounding the existing sign applications and stated that the Council's decision relative to a ban would not
be considered to be arbitrary. The Mayor indicated his belief that the pending applications for Young and
Adams would fall under the new ordinance. He directed Legal Counsel to review the Issue for the March
2 Council meeting with recommendations as to how to address those applications.
Bob Graiziger of Adams Sign Company stated that he is concerned about an ordinance
banning additional signs or capping them at their current number. He stated that he feels that it is unfair
for certain applications to be pending for over a year and then not be heard on their merits. He stated that
there are only four or five sites within the City that are feasible for additional signs anyway. Jeff Evrard of
the Naegele Sign Company stated that the Council should approve the existing Adams and Young sign
applications under the old ordinance. He stated Naegele's interest in maintaining flexibility to survive. He
suggested that the City adopt greater spacing requirements to protect the aesthetics of the area. He said
that billboards are not bad and that many billboards provide tax and other advantages if appropriately
regulated.
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Councilmember Wachter stated that the Council has been elected by the people and that
he feels that residents agree that billboard signage Is not attractive and should be strictly controlled. Mayor
Egan stated that it was time to make a decision and put the Issue behind the Council. He stated that It was
Important not to take a middle ground.
PRESENTATION AND REVIEW OF
DRAFT 1993 - 1997 CIP
City Administrator Hedges opened the discussion on the Draft 1993 -1997 CIP by providing
a general overview of the history of the CIP process In the City and a review of the work that had been
undertaken since the City Council's earlier review on December 8, 1992. City Administrator Hedges stressed
that it is Important to view the document as a multi-year planning instrument and that upon approval only
the year 1993 becomes an approved budget. All subsequent years would be subject to additional review
as additional research was completed and new CIP's prepared. Hedges pointed out the desire to focus the
evening's discussion on the major policy Issues Identified In the draft CIP. These major policy issues
Incorporated many hours of meetings and work on the part of both the City Council and the staff as well
as other groups such as the Volunteer Firefighters and the Hockey Association.
After a brief overview of the entire document, Hedges noted that he and Mayor Egan had
determined after review of the City Council agenda and the document that It would be most beneficial and
productive to consider the policy issues In reverse order, that is Part III (Public Facilities Infrastructure and
Park Improvement Projects), Part II (Vehicles and Equipment) and Part I (Public Facilities).
PART III
(Public Facilities Infrastructure and Park Improvements)
City Administrator Hedges pointed out the major policy Issue centering around the fact that
there is a variance of approximately $4,000,000 between identified park acquisition and development needs
and funding currently available. General discussion followed about the relationship of the Draft CIP to the
update of the Park Master Plan last completed In 1984. Interest was expressed about how much land needs
to be acquired for complete implementation of the master plan along with concerns that today's actions do
not preclude acquisition in the future or make acquisition unreasonably expensive. Other concerns were
expressed about the relationship between acquisition and development of park land and resulting operating
costs. Mayor Egan pointed out the very subjective nature of Part III planning and the importance today of
addressing the time frame, the process and the priorities, not total adoption. Councilmember Hunter
expressed concern about the timing of the systems plan in relationship to the CIP and suggested a two
phase process Involving gross planning to come to terms with the size of the problem and detailed planning
within the scope of completing the master plan. Councilmember Wachter noted a concern about getting the
best return on today's dollars between acquisition, development and the need for active facilities.
The general consensus was that there is currently only so much money and current
acquisition and development would be prioritized to operate within that budget. Also, that this did not entail
a restructuring of the 5 year priorities as they are known today and that the completion of the new master
plan would provide additional guidance and direction at a later date. it was also noted that a referendum
would probably be required at some point In the future, however, a great deal of additional work would be
required to determine specific parks and projects.
Mayor Egan then noted the CIP was truly subjective when applied to Infrastructure.
Councilmember Hunter pointed out the obvious trade off between capital and operational costs throughout
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the entire document and noted a desire for any analysis of the trade off costs to be presented to the City
Council. Mayor Egan concurred with the observation and noted that even though the current document was
well done in that regard there is a need to broaden benchmarks and criteria even more.
City Administrator Hedges briefly reviewed the amount of work and study that has gone into
the preparation of this section of the document, the need for some additional revisions based on new
information, and the relationship of funding to match the projects. The concern about having dollars
available to complete projects as proposed was again raised. Mayor Egan expressed a concern about the
potential for assessments and what happens If there is a shortage of money in the Major Street Fund or
other trunk funds. Director of Public Works Colbert said it may be necessary to scale back and possibly
take advantage of the proposed transportation utility If enabling legislation is passed.
The importance of considering the effect of the Cedar Grove reconstruction project on this
process was mentioned.
PART II
(Vehicles and Eauicment)
City Administrator Hedges Introduced the discussion on Part 11 by explaining the history of
Equipment Certificates In the City and the process used since December 8, 1992, to revise the draft CIP.
He covered the process used to determine departmental allocations, variances that still exist by departments
and the discussion points used by the management team in conducting their evaluation. Hedges
acknowledged and reiterated the concern that reductions in capital spending have the potential to increase
operational costs through increased maintenance and the need for more contractual services. The City
Administrator pointed out that major equipment of City wide benefit such as a radio system was not included
in this allocation process although none was proposed in this five-year CIP. He then raised the two policy
questions which had been identified; 1) is the proposed annual spending level of $500,000 appropriate and
2) is the administrative process used okay for ratification.
Mayor Egan stated that while he does not necessarily agree with all the equipment, it has
become more sophisticated and he was willing to rely on the expertise of the professional staff noting that
they were operating for the City Council. A question was asked about the advisability of stretching the use
of today's equipment. Director of Public Works Colbert, Police Chief Geagan and Director of Parks and
Recreation Vraa agreed that because of better specs used for purchase, the use of heavier equipment, and
the work of the Central Maintenance Division on vehicle upkeep that the useful life of today's equipment can
be stretched. Councilmember Awada commended the staff In having done what was asked and even gone
beyond. City Administrator Hedges noted that even after approval the City Council will have the opportunity
to approve specs and bids on the major equipment purchases. Mayor Egan and Councilmember Hunter
stated for the benefit of those who had not been involved that even though there were not a lot of questions
being asked tonight and little discussion about particular equipment, there had already been a great deal
of both at earlier meetings.
Consensus was reached that Part 11 (Vehicles and Equipment) was acceptable as presented
in this draft of the CIP document.
PART I
(Public Facilities(
City Administrator Hedges Introduced the Part I discussion by again calling attention to the
major policy issues outlined in the document. He covered potential alternatives In using the Community
Investment Fund such as spending some of the principal rather than only 90% of interest earnings. He also
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stressed that the goal of the meeting for this part of the CIP was to receive general direction, prioritize
projects and authorize the use of additional expertise and other individuals to review more detailed concepts
and Ideas. The details would be brought back to the City Council at a later date. He noted that to the
extent possible discussion should focus on 1993 so the process could continue. Mayor Egan stated that
the City Council was trying to come to grips with what the real needs are as of today. Mayor Egan further
noted that it was his understanding that the Community Investment Fund is for capital at some time but not
necessarily for generations Into the future. He felt it is more Important at this time to create a balance In
the community than to worry about something that might come up in the future. It was noted that through
previous efforts the City Is now in much better shape than it would be without the $10 million.
There was a great deal of discussion about Fire Department needs as listed on the draft CIP.
It was the consensus that additional work and study is needed before the complete Part I CIP regarding Fire
could be approved. Concerns covered such items as congestion of emergency vehicles, cooperation within
the City and with other cities, the optimum location for administrative offices as well as stations and the
ambulance. It was agreed that an architect would be helpful to guide the discussion given the various
possibilities and combinations of options. A potential funding problem was Identified assuming a
combination of fire and police services at the municipal center location given the fact that the municipal
center/police facility has probably been estimated too low at $2.5 million. City Administrator Hedges noted
that that should save money on other projects which could be used and it might be necessary to
appropriate more money from the Community Investment Fund.
Discussion then turned to the Recreational Facility and covered issues of the appropriate
year for consideration, appropriate use of today's dollars, referendum history, appropriate financing sources
and how private dollars could be raised. In addition, the Hockey Association representatives expressed their
willingness to enter into a financing agreement with the City to assist with the project. Director of Parks and
Recreation Vraa reviewed general concept plans and how he had arrived at his estimated costs. Vraa was
authorized to engage an estimator at an estimated cost of $5,000 to help refine the project and potential
costs.
Consensus was reached that the City's commitment to the Recreational Facility of
$1,350,000 and $50,000 to the proposed wading pool should proceed in 1993 and that the "bare bones"
facility should receive no further consideration. It was further agreed that a task force should be put
together that can help the community understand the nature of the facility and coordinate the fund raising
effort. The project can proceed only upon successful completion of the community goal and needs to
involve the entire community. It was also noted that it will be essential for the project to retain options for
later expansion into a full community center if desired by the community.
Mayor Egan closed the discussion by noting how far the effort had come to arrive at the
consensus and how important it was to continue In that vein and how very Important community perception
will be to the success of the project.
City Administrator Hedges said that the CIP will be placed on the March 2,1993 City Council
agenda, for ratification.
There being no further business, the meeting was adjourned at 10:20 p.m.
TLH
February 9, 1993
Date City Clerk