The minutes of the Fairmont City Council meeting held on August 22, 2011, at the City Hall Council Chambers. Mayor Randy Quiring called the meeting to order at 5:30 p.m. Council members Clerc, Gorath, Kallemeyn, Lucas and Rahm were present. Also in attendance: City Administrator Jim Zarling; Assistant City Administrator Mike Humpal; City Finance Director Paul Hoye; Public Works Director/City Engineer Troy Nemmers; Police Detective Eric Tonder; City Clerk Susan Olson. It was moved by Council member Lucas, seconded by Council member Gorath and carried to approve the minutes of the regular City Council meeting on August 8, 2011. The following comment(s) were received by the City Council during Open Discussion: o Council member Gorath congratulated the Martin County Fair Board for this year’s very successful Martin County Fair event. o Council member Gorath expressed appreciation to the members of the Fairmont Police Department who assisted with crowd control Thursday evening at the Martin County Fair. o Mayor Quiring requested future Council discussion concerning the possibility of limiting the number of consecutive days a person is allowed to camp in Cedar Creek Park. Mayor Quiring read a proclamation proclaiming September as “Forget-Me-Not” month in the City of Fairmont. Mayor Quiring read a proclamation proclaiming Sunday, September 11, 2011, as “2011 Dude Salute Day – A Day to Honor, A Day to Remember” in the City of Fairmont. A resolution enlarging Development District No. 1 and establishing Tax Increment Financing District No. 22 was presented to the City Council on July 25, 2011. A public hearing was scheduled to be held on Monday, August 22, 2011. Mayor Quiring opened the public hearing to allow all interested persons an opportunity to speak to the proposed resolution. There being no public input, a motion was made by Council member Kallemeyn, seconded by Council member Clerc and carried to close the public hearing. Council member Kallemeyn introduced and moved for the adoption of Resolution No. 2011-34 to enlarge Development District No. 1 and to establish Tax Increment Financing District No. 22 and authorize execution of a development agreement. Council member Rahm seconded the motion for its adoption. On roll call: Council members Lucas, Rahm, Gorath, and Kallemeyn all voted aye. Council member Clerc abstained. No one voted nay. Mayor Quiring declared said resolution to have received the affirmative vote of the Council and he then declared the same to be passed, approved and adopted. The City’s Community Development Department has requested an amendment be made to the official zoning map to reflect a change in the zoning classification of the Dr. Pepper Addition. At their regular meeting on August 8, 2011, the City Council scheduled a public hearing to be held on Monday, August 22, 2011, to allow all interested persons an opportunity to speak to the proposed amendment. Mayor Quiring opened the public hearing. There being no public input, a motion was made by Council member Clerc, seconded by Council member Gorath and carried to close the public hearing. Council member Lucas introduced and moved for the adoption of Ordinance No. 2011-07 to amend Fairmont’s official zoning map changing the zoning classification of the Dr. Pepper Addition from a B-1 Neighborhood Business zoning district to a B-3 General Business zoning district. Council member Rahm seconded the motion for adoption. On roll call: Council members Gorath, Kallemeyn, Lucas, Rahm, and Clerc all voted aye. No one voted nay. Mayor Quiring declared said ordinance to have received the affirmative vote of the entire Council and he then declared the same to be passed, approved and adopted. The City’s Community Development Department has requested an amendment be made to Section 26-156. B-1 Neighborhood Business zoning district. At their regular meeting on August 8, 2011, the City Council scheduled a public hearing to be held on Monday, August 22, 2011, to allow all interested persons an opportunity to speak to the proposed amendment. Mayor Quiring opened the public hearing. There being no public input, a motion was made by Council member Kallemeyn, seconded by Council member Lucas and carried to close the public hearing. Council member Clerc introduced and moved for the adoption of Ordinance No. 2011-08 amending the Fairmont City Code, Section 26-156. B-1 Neighborhood Business zoning district to include single family residences and twin homes as a permitted use in this zoning district. Council member Rahm seconded the motion for its adoption. On roll call: Council members Kallemeyn, Lucas, Rahm, Clerc, and Gorath all voted aye. No one voted nay. Mayor Quiring declared said ordinance to have received the affirmative vote of the entire Council and he then declared the same to be passed, approved and adopted. The City’s Community Development Department has requested an amendment be made to City Code, Division 5. Variances, Section 26-101. At their regular meeting on August 8, 2011, the City Council scheduled a public hearing to be held on Monday, August 22, 2011, to allow all interested persons an opportunity to speak to the proposed amendment. Mayor Quiring opened the public hearing. There being no public input, a motion was made by Council member Rahm, seconded by Council member Gorath and carried to close the public hearing. Council member Gorath introduced and moved for the adoption of Ordinance No. 2011-09 amending the Fairmont City Code, Division 5. Variances, Section 26-101 amending this language to conform with variance language as amended by the State legislature this past legislative session. Council member Lucas seconded the motion for its adoption. On roll call: Council members Lucas, Rahm, Clerc, Gorath and Kallemeyn all voted aye. No one voted nay. Mayor Quiring declared said ordinance to have received the affirmative vote of the entire Council and he then declared the same to be passed, approved and adopted. A request was received from the neighbors living in the vicinity of Holden Place to block off the public street entering into the Holden Place cul-de-sac. A motion was made by Council member Lucas, seconded by Council member Rahm and carried to approve this request to block off this portion of the public street for a neighborhood party on Sunday, August 28, 2011 beginning at 5:00 p.m. The organizers of the “Dude Salute – A Day to Honor, A Day to Remember” have requested a parade permit for the parade they are planning for Sunday, September 11, 2011 to begin at 12:00 noon. A motion was made by Council member Rahm, seconded by Council member Gorath and carried to approve this parade permit. The members of the Grace Lutheran Church Children, Youth and Family Ministry have requested Council approval to block off a portion of public street on South Grant Street in front of the church for their Rally Sunday Carnival on Sunday, September 11, 2011 from 10:30 a.m. to 2:00 p.m. A motion was made by Council member Rahm, seconded by Council member Clerc and carried to approve this request. A request has been received from the organizers of the Fairmont High School Homecoming event for a parade permit for their annual homecoming parade to be held on Friday, October 7, 2011 beginning at 4:00 p.m. A motion was made by Council member Kallemeyn, seconded by Council member Lucas and carried to approve this permit. Legal counsel for the Southern Minnesota Municipal Power Agency has requested the City Council adopt a resolution affirming the City’s support for legislation that was approved during the special legislative session in July exempting personal property and machinery used on the SMMPA power plant project from property tax assessment. Council member Kallemeyn introduced and moved for the adoption of Resolution No. 2011-33 approving this personal property tax exemption for the SMMPA project. Council member Rahm seconded the motion for its adoption. On roll call: Council members Kallemeyn, Lucas, Rahm, Clerc, and Gorath all voted aye. No one voted nay. Mayor Quiring declared said resolution to have received the affirmative vote of the entire Council and he then declared the same to be passed, approved and adopted. This year’s airport improvements include a fueling pad replacement. The Federal Aviation and Administration (FAA) has agreed to fund 95% of the project costs; the City will fund the remaining 5%. Council member Lucas introduced and moved for the adoption of Resolution No. 2011-36 approving the FAA grant agreement for Project 3-27-0029-12-11. Council member Clerc seconded the motion for its adoption. On roll call: Council members Clerc, Gorath, Kallemeyn, Lucas and Rahm all voted aye. No one voted nay. Mayor Quiring declared said resolution to have received the affirmative vote of the entire Council and he then declared the same to be passed, approved and adopted. In order to fund the construction of the City’s new water treatment plant, the City has applied for a loan from the Public Facilities Authority (PFA). As part of the loan documentation, the PFA is requesting the City adopt Resolution No. 2011-35 establishing anticipated water rate increases at 10% for 2012 and 10% for 2013. Council member Kallemeyn introduced and moved for the adoption of this resolution. Council member Lucas seconded the motion for its adoption. On roll call: Council members Rahm, Clerc, Gorath, Kallemeyn and Lucas all voted aye. No one voted nay. Mayor Quiring declared said resolution to have received the affirmative vote of the entire Council and he then declared the same to be passed, approved and adopted. City Administrator Jim Zarling introduced the proposed 2012 Budget and Tax Levy to the City Council. Staff is recommending a 4.3% tax levy increase for 2012 in order to continue to provide citizens with out current level of service. No Council action was taken at this meeting. City Administrator Jim Zarling presented documentation summarizing the discussion that took place at the planning meeting held on Monday, July 25, 2011. Discussion will continue at the special City Council meeting to be held on Monday, August 29, 2011. A motion was made by Council member Kallemeyn, seconded by Council member Gorath and carried to approve payment of the accounts payable for the month of August, 2011 in the amount of $1,186,634.33. A motion was made by Council member Lucas, seconded by Council member Clerc and carried to adjourn the meeting at 6:48 p.m. ____________________________________ ATTEST: Mayor ____________________________________ City Clerk