At the August 2 Preston City Council meeting, the council formally approved the transfer of 16.6 acres for the veterans home site including the Anderson triangle to the State of Minnesota.
City Administrator Joe Hoffman explained the veterans home donation escrow fund will be released to the state as requested by the state. This fund is approximately $1.4 million and includes contributions from the city and public utilities, Fillmore County, other surrounding counties, the Preston Area Community Foundation, Rushford Community Foundation, Harmony Community Foundation, and individual and group donations.
Gabby Kinneberg said everything is set for the ground breaking ceremony which will be at the site (1112 Overlook Dr.) at 10 a.m. on August 9. Over 100 invitations were sent out, one to every single donor. It is expected to be a 45-minute program with a community celebration lunch afterwards. Parking is expected to be on the site.
Councilman Robert Maust started a discussion on the need for another access road to the veterans home site. He insisted that Golf View Dr. was not designed for the heavy truck traffic that will be needed during construction. He asked that Stantec and Brett Grabau provide a cost estimate to build a gravel road for construction traffic. It could eventually be a through road.
Grabau said he had done a cost estimate a couple of years ago and the cost would be over a million even without bituminous surfacing and curb and gutter. The major cost is the amount of earth and trees which will need to be moved. In order to build what Maust suggested the city would have to get some property back from the state. Mayor Kurt Reicks noted that all agree on this ideal access road, but his concern is finding the money. City attorney Dwight Luhmann repeated that they would have to get some property back from the state to build the road. Reicks said the state does not want a through road or two accesses to the veterans home site. The only hope is that the local legislators can get money for a road in a bonding bill next year.
A motion was approved to look into it more. Grabau said they will need to consult with the state to see if they are remotely interested. Anything would be pending state approval. Grabau said he can take the old estimate and plug in 2022 costs. Grabau suggested it would be much less costly to build up the existing roads. They expect to be breaking ground for the veterans home in September.
Other business in brief
•A resolution was unanimously approved to apply for American Rescue Plan Act (ARPA) funding. Once the application is approved, the city will receive about half the funds this year and the rest late in the year or next year. Sheila Marzolf said the use of the funds is very restricted. They can be used for water and sewer improvements; they could potentially be used for some of this year’s utility project. The city has until December 2024 to spend the funds.
•The third pay request for the 2021 Street and Utility Improvements in the amount of $445,129.21 was approved. There is a 5% retainage. Grabau said much of the utility work is complete.
Chuck Jeffers had requested a 24-foot driveway to his rental property which would allow his renters to park off the street in the winter. He will be responsible for the cost. The council has to approve any new driveways in town. The additional driveway requested by Jeffers was approved contingent upon city staff approval.
•Scott Wilson applied to have 1.2 acres rezoned from R-1 (Agriculture/Residential) to R-2 (one to two Family Residential). The property to be rezoned is the house and yard, located in the southwest corner of the intersection of CR 12 (Fillmore St. W) and River Rd. Wilson wants to sell the homestead and not any of his cropland. Planning and Zoning held a public hearing with no public feedback and then recommended approval of the application. A resolution was approved allowing the rezoning as requested. A motion to allow the split of the parcel was approved.
•Hoffman said the city has received the Blue Jay Ridge final plat from Mark Welch. The plat was mostly unchanged from a previous version and staff recommended approval. Grabau said the only real change is an easement requested by the city. Welch said Griffin Construction is on schedule to begin work the last week of August. The final plat was approved.
The council then considered a development agreement with Welch. It includes cost sharing with the city. Welch has requested $6,000 in assistance for each of 12 lots ($2,000 when wear course is constructed and $4,000 when home is built). Hoffman said it is reasonable for the city and utility to share the assistance cost, a total of $72,000 or $36,000 for the city and the same for the utility. Hoffman will take it to the Utility Commission next week. Grabau and Luhmann were comfortable with the agreement. The agreement was approved contingent on the Utility approving half of the total cost of the assistance.
•Jayne Overstreet, Southern Minnesota Initiative Foundation, thanked the city for being a donor and partner with SMIF for the past 20 years. SMIF concentrates its efforts on economic development, early childhood development, and community vitality. Hoffman said SMIF has been a great partner for Preston.
•Hoffman said the city last reviewed compensation data in 2003. He recommended a full review partly because a pay equity report is due in 2022. Only one firm submitted a proposal, the HR division of David Drown Associates. The proposal will include a market analysis, a new pay plan, updated job descriptions and a pay equity compliance review at a cost of $11,500. Hoffman also recommended the cost should be split with Utility. It is a challenge to retain employees in some positions. We need to treat everyone fairly and attract employees. The proposal for the study was approved, 4-1. Maust voted no.
•There was a very long discussion of the Brownsville St. stormwater work. Grabau reported that a stormwater comprehensive plan was completed by Stantec, which included Brownsville St. The city wants the stormwater to be piped underground to the Root River. The intent is make underground connections during the current Street and Utility Project.
The trailer court property is owned by Mr. Johnston. Johnston’s attorney at one point said he agreed to grant an easement to the city, but after a few weeks he said he wasn’t interested. After several communications, he will not grant the easement. Grabau said with this portion missing there is no benefit to any of it.
There was a long discussion about other options. Several property owners (six homes involved) in the area were present. They wanted the stormwater piped underground to protect their basements and yards from flooding. One option is to continue allowing the stormwater to run over bituminous surfaces as it has in the past. The group urged them to install underground piping around the block, down, and back to Spring St. NE.(three extra blocks), where it would connect if it was run though Johnston’s property. This would require running under the boulevard and removing trees. The stormwater pipe would need to be upgraded. Luhmann said they could take court action for a prescriptive easement. Property owners asked about pursuing eminent domain.
Luhmann said he would call Johnston’s attorney in the morning to negotiate. Reicks said we don’t know what Johnston wants because he won’t tell us. If negotiation does not work, they will have to look at other options.
Unless a special city council meeting is called, the next meetings will likely be August 31 and September 8.
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