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2009-10-19 specMOUND CITY COUNCIL MINUTES OCTOBER 19, 2009 The City Council of the City of Mound, Minnesota, met in special session on Monday, October 19, 2009 at 7:00 p.m. in the council chambers of city hall. Members present: Mayor Mark Hanus; Councilmembers David Osmek, Ray Salazar, and Greg Skinner Members absent: Councilmember Heidi Gesch Others present: City Attorney John Dean, City Manager Kandis Hanson, City Clerk Bonnie Ritter, Finance Director Catherine Pausche, Public Works Director Carlton Moore, Paul Pond 1. Open meeting Mayor Hanus called the meeting to order at 7:01 p.m. 2. Pledge of Allegiance MOTION by Osmek, seconded by Salazar to approve the agenda. All voted in favor. Motion carried. 3. 2008 Street Improvement Proiect Carlton Moore reported on questions regarding the apron charges on the previous assessment roll of October 13. A revised assessment roll was presented that was the result of removal of apron charges that were replaced due to any city utility work or to correct or improve a drainage problem. The apron charges that were removed will be charged to the respective city utility fund. Osmek stated that he feels that the property at 5636 Alder Lane should not be charged a full unit charge for his property. Severson has an easement that takes him to a county road not a city street. He feels that he should be assessed Y2 unit charge. Hanus disagreed stating that he fronts a public street just like his neighbors. Some properties don't front a city street at all and still get charged a full unit charge. MOTION by Osmek, seconded by Salazar to reduce the assessment for 5636 Alder Lane to'/ unit charge. The following voted in favor: Osmek and Salazar. The following voted against: Hanus and Skinner. Motion fails. MOTION by Osmek, seconded by Salazar to adopt the following resolution with 6% interest indicated. All voted in favor. Motion carried. RESOLUTION NO. 09 -81: RESOLUTION ADOPTING ASSESSMENT FOR THE 2008 STREET IMPROVEMENT PROJECT — LEVY #17448 4. Construction and Realignment of CASH 15/110 project Carlton reviewed the history of the project and presented the proposed assessment roll showing 20% being assessed, which is the minimum established for the type of bond that financed this project. Osmek stated that he prefers to charge 0% interest on the 20% assessment figure. The 0% interest is not setting a precedent because of the nature of this project. Skinner doesn't agree with 0% interest. Paul Pond, 5424 Shoreline Drive, agreed with Osmek's statement of 0% interest. He feels they have been wronged enough and he'd rather deal with the item here rather than in District Court. He stated that 0 %is a pretty good deal. He stressed that his business has been in Mound for over 30 years and he thinks the city should do something to keep their old businesses rather than just try to attract new business. MOTION by Osmek, seconded by Hanus to adopt the resolution adopting the 20% assessment at 0% interest. The following voted in favor: Hanus and Osmek. The following voted against: Salazar and Skinner. Motion fails. Salazar expressed concern that residents on the regular street projects would not see the difference in this project and think they, too, should receive 0% interest. Osmek explained that this is nothing like the 10 -year street project. Skinner agrees with the 20% assessment roll, but not with 0% interest. He stated that anyone else getting assessed gets charged some sort of interest. Catherine Pausche stated that this project has not been levied for in the past and believes the minute the Council assesses at 4% everyone will prepay and essentially receive the 0% interest. MOTION by Osmek, seconded by Hanus to adopt the following resolution, which adopts the 20% assessment at 0% interest. The following voted in favor: Osmek, Salazar and Hanus. The following voted against: Skinner. Motion carried. RESOLUTION NO. 09 -82: RESOLUTION ADOPTING ASSESSMENT FOR CONSTRUCTION AND REALIGNMENT OF CSAH /15/110 - LEVY #17453 5. Informational: Draft of October 13. 2009 minutes 6. Adjourn MOTION by Osmek, seconded by Skinner to adjourn at 7:50 p.m Motion carried. AWE- Mayor Mark Hanus Attest: Bonnie Ritter, City Clerk All voted in favor. 1