11/13/1984 - City Council Special
MINUTES OF A SPECIAL MEETING OF THE EAGAN CITY COUNCIL
EAGAN, MINNESOTA
November 13, 1984
A special meeting of the Eagan City Council was held on November 13,
1984, at 5:15 p.m. at the Yankee Square Inn and, later, said meeting was
reconvened at the Eagan Municipal Center Building at 7:15 p.m. Present were
Mayor Blomquist, and City Councilmembers Wachter, Egan and Smith. City
Councilmember Thomas arrived at the Municipal Center Building at approximately
8:30 p.m. Also present at Yankee Square Inn were Director of Finance
VanOverbeke, Director of Parks and Recreation Vraa, Director of Public Works
Colbert, City Attorney Hauge, and City Administrator Hedges. Present from the
staff for that part of the meeting held at the Municipal Center Building were
City Administrator Hedges and Director of Finance VanOverbeke.
YANKEE SQUARE INN/FEDERAL LAND COMPANY PRESENTATION
Mr. Vernon Colon, representing Federal Land Company, thanked the
Mayor, members of the City Council, City staff and Advisory Planning
Commission members Chuck Hall, Lloyd Krob, Garrett Mulrooney and Doris Wilkens
for the opportunity to meet and deliver a presentation concerning the proposed
development of a large commercial site generally described as south of Yankee
Doodle Road and east of Pilot Knob Road. He stated that Federal Land Company
is proposing to construct a large shopping center with peripheral development
such as a Target or a KMart, a large office building and hotel with
approximately 160 rooms. Mr. Colon stated that his company has re3ently
acquired the Hillcrest property and Krause Anderson site and in addition to
the 100 acre site that is located immediately north of Duckwood Estates, their
company now owns 170 acres of commercial property. He stated that it will be
necessary to rezone part of the Krause Anderson acquisition in order to make
the proposed development a viable project. Consultants for Federal Land
Company presented concept designs for the shopping center, a review of the
proposed architecture and finally, a discussion of public utilities and street
improvements. The Director of Public Works reviewed the amount of public
improvements that are anticipated with the development of the project and
stated that a major concern is the improvement of the storm sewer. He stated
that it will be necessary to acquire easements for drainage onto the O'Neill
property north of Yankee Doodle Road and the proposed development. Members of.
the City Council expressed concern that the developer assume the cost for
these easements stating that the City's storm sewer trunk fund cannot absorb
easement acquisition costs above and beyond the approved policy. After fur-
ther discussion, Mayor Blomquist stated that due to the magnitude of the
proposed development, it was advantageous for the City Council and members of
the Planning Commission to meet in this review session and thanked Federal
Land Company for their presentation. There was no formal action taken and the
meeting was moved to the Municipal Center Building.
ARTHUR YOUNG JOB EVALUATION/SALARY COMPENSATION STUDY
The special City Council meeting was reconvened at approximately
7:30 p.m. at the Eagan Municipal Center Building. Mr. Mark Christianson,
representing Arthur Young and Associates, was present and provided an update
to the City Council on the status of the job evaluation/salary compensation
SPECIAL CITY COUNCIL MINUTES
NOVEMBER 13, 1984
PAGE TWO
study that is currently being performed by that firm. He stated that the
evaluation committee has reviewed all non-organized job descriptions and
properly designated a decision band rating for those positions. Mr.
Christianson stated that a salary compensation plan for all non-unionized
personnel and a position evaluation/decision band determination for all
collective bargaining positions are the next steps in the review process.
There were questions posed by the City Council reviewing the process and
results to date, with no action taken on this item.
1985 PUBLIC ENTERPRISE BUDGET
The City Administrator presented the proposed Public Enterprise Fund
Budget for 1985 stating that all expenditures and revenues were presented and
reviewed by the Director of Public Works, Director of Finance and his own
department. He stated that the largest increases are reflected in the Water
Department budget due to operation of the Water Treatment Plant beginning in
January of 1985. Members of the City Council expressed concern about the
amount that was budgeted as an expenditure for the permanent transfer and
asked for additional information regarding that request. The Director of
Finance reviewed the status of the retained earnings and also cash position of
the Water Department as it appears in the 1983 audit report. The City
Administrator stated that the entire Water Department cash position will be
evaluated and a report is to be given to the City Council prior to final
adoption of the 1985 budget. A need for a water foreman in the Water and
Sewer Departments was discussed in detail and it was agreed by the City
Council that dollars would be budgeted for the position; however, additional
information regarding a classification and organizational breakdown would be
necessary before the final position classification was adopted for that
department. After review of the sewer funds and all capital and manpower
adjustments, the City Administrator was directed to finalize the Public
Enterprise Fund budget for further consideration by the City Council.
ORGANIZATIONAL AND INFORMATION CHANGES
City Administrator Hedges presented changes that have been
implemented to streamline the delivery of information to members of the City
Council. He stated that most of the changes regarding delivery of information
were directly related to preparation of City Council packets. There were also
some organizational changes, such as, the Chief of Police appearing at City
Council meetings for Department Head Business, the City Clerk filling in at
City Council meetings in the absence of the City Administrator and other minor
organizational changes that would help the efficiency of City Council meetings
during this high-growth cycle.
M.B.O. UPDATE
City Administrator Hedges reviewed the Management by Objective
outline that was first adopted on February 28, 1984. He stated that it is not
necessary to discuss each objective during the review process; however, any
SPECIAL CITY COUNCIL MINUTES ~1 ri6.
NOVEMBER 13, 1984 PAGE THREE
changes in priority status of certain objectives or the addition of new
objectives are certainly appropriate. City Councilmembers expressed satisfac-
tion toward the number of high and medium priority objectives that were
accomplished and completed during 1984. There was no action taken; however,
members of the City Council expressed interest in continuing the M.B.O.
program by reviewing a new list of objectives, in addition to those objectives
that were not completed in 1984 and early 1985.
INTEREST RATE REDUCTION/HOUSING REVENUE BOND CRITERIA
City Administrator Hedges reported that the Finance Committee met on
November 8, 1984, with bond counsel from Holmes and Graven and the City's
fiscal consultants and program administrator for multifamily housing revenue
bonds, Miller & Schroeder Municipals Inc., to discuss criteria for
establishing a fair equity contribution for all multifamily housing bond
projects and, secondly, to expand on the criteria if a tax increment/interest
rate reduction program is to be implemented for any multifamily housing
project. Finance Committee Chairman and City Councilmember, Smith, stated
that the committee is recommending a 20% equity contribution for multifamily
housing bond projects. He stated that the committee reviewed many options to
provide different structures for equity contribution, all of which are
directly affecting the mortgage financing for the applicant. City Council-
members expressed interest in reviewing an example of a project where a 20%
equity contribution was designated before criteria are finalized for multi-
family housing revenue bonds. After further discussion, the City
Administrator was directed to place this item on the November 20 City Council
meeting for consideration.
Finance Committee Chairman and City Councilmember, Smith, also
reviewed proposed changes to the tax increment criteria/interest rate
reduction program that was developed by the Finance Committee at the special
committee meeting held on November 8. After reviewing the criteria and with
some modification, the City Council expressed a desire to meet as an HRA and
consider the adoption of tax increment/interest rate reduction guidelines for
multifamily housing projects at the November 20 City Council meeting. The
City Administrator was instructed to place these policy considerations on the
agenda prior to public hearings at the November 20 City Council meeting.
BUILDING CODE ENFORCEMENT
Members of the City Council expressed a desire to strengthen the
enforcement of the Uniform Building Code by issuing citations and penalties if
inspections are violated by builders in the community. City Councilmember
Wachter stated that he has received complaints from residents and observed
builders who are proceeding with phases of construction without proper
inspection. He stated that often the inspection is performed after a phase of
construction has been completed, using the example of an insulation inspection
that is performed after the sheetrock has been installed. It was also
suggested that the City consider working with other communities to strengthen
SPECIAL CITY COUNCIL MINUTES rs
NOVEMBER 13, 1984
PAGE FOUR
the Uniform Building Code to improve the quality of construction. There were
a-number of other issues reviewed and the City Administrator was directed to
prepare a memorandum and directive to the Building Inspection Department
regarding tighter enforcement by issuing citations if necessary and also
recommending to the City Council, cancellation of their contractor's license
if certain builders are found to be in violation of the Uniform Building Code
regulations.
ADJOURNMENT
There being no further business, the meeting was adjourned at 12:00
p.m.
Dated: November 13, 1984 TLH
C' y Clerk