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HomeMy WebLinkAbout_Minutes PROCEEDINGS OF THE COMMON COUNCIL CITY OF OSHKOSH, WISCONSIN JUNE 12, 2018 REGULAR MEETING held Tuesday,June 12,2018, at 6:00 p.m. in Council Chambers, City Hall Mayor Cummings presided. PRESENT: Council Members Deb Allison-Aasby, Lori Palmeri, Matt Mugerauer, Jake Krause, Tom Pech, Jr., Steven Herman and Mayor Steve Cummings ALSO PRESENT: Mark Rohloff, City Manager; Pamela Ubrig, City Clerk; Lynn Lorenson, City Attorney; and Allen Davis, Director of Community Development Council Member Allison-Aasby read the Invocation. The Pledge of Allegiance was led Council Member Allison-Aasby. STAFF INTRODUCTION Dean Smith, Chief of Police, introduced Michael Hotter, Police Sergeant. Mr. Rohloff introduced Mike Stanley, Fire Chief. CITIZEN STATEMENTS There were no citizen statements to Council. CONSENT AGENDA Report of Sills by the Finance Director Receipt & Filing of the Oshkosh Public Library Minutes from April 26, 2018 Receipt & Filing of Common Council Minutes from May 22, 2018 PROCEEDINGS OF THE COMMON COUNCIL—JUNE 12, 2018 Receipt of Claims filed with the City's Insurance Company: A) Paul L. Jansen& Son Inc., for alleged property damage as a result of filling the new water tower Resolution 18-309 Accept Dedication of Street Right-of-Ways; A) 1634 through 1810 Oshkosh Avenue S) North Westfield Street Extended North of Oshkosh Avenue (Plan Commission Recommends Approval) Resolution 18-310 Approve Spot Slight Designation; Authorize Redevelopment Authority to Accept Donation of 421 Monroe Street (RDA Recommends Approval) Resolution 18-311 Approve Spot Slight Designation; Authorize Redevelopment Authority to Acquire 1524 Rush Avenue ($22,000.00) (RDA Recommends Approval) Resolution 18-312 Approve Spot Slight Designation; Authorize Redevelopment Authority to Acquire 1302 Eastman Street ($38,000.00) (RDA Recommends Approval) Resolution 18-313 Approve Change Order No. 1 for Public Works Contract No. 17-01 Parking Lot Construction (+$5,277.31) Resolution 18-314 Award Sid to M.V. Klinger Painting Co. Inc. for GO Transit Sus Maintenance Garage Painting ($45,877.00) Resolution 18-315 Award Sid to De Cleene Truck Refrigeration & Trailer Sales Inc. for End Dump Trailer for the Street Division ($49,357.31) Resolution 18-316 Award Sid for Public Works Contract No. 18-13 to PTS Contractors, Inc. for Sanitary Sewer & Lateral Relay, Paving & Miscellaneous Utility Repairs ($3,895,768.30) Resolution 18-317 Declare End to Emergency for Replacement of Sanitary Sewer, Storm Sewer & Water Main on Eveline Street from Ceape Avenue to Say Shore Drive 2 PROCEEDINGS OF THE COMMON COUNCIL—JUNE 12, 2018 Resolution 18-318 Approve Engineering Services Agreement for Contract No. 18-16 Wastewater Treatment Plant Digester Mixing System Upgrade / Donohue & Associates, Inc. ($99,210.00) Resolution 18-319 Resolution determining to issue $5,545,000.00 aggregate principal amount of General Obligation Corporate Purpose Bonds, Series 2018A, of the City of Oshkosh, Winnebago County, Wisconsin, in such amount, providing details, prescribing the form of bond, awarding the bonds to the best bidder & levying taxes Resolution 18-320 Resolution determining to issue $5,895.000.00 aggregate principal amount of General Obligation Promissory Notes, Series 2018B,of the City of Oshkosh, Winnebago County, Wisconsin, in such amount, providing details, prescribing the form of note, awarding the notes to the best bidder & levying taxes Resolution 18-321 Resolution determining to issue $10,060,000.00 aggregate principal amount of Storm Water Utility Revenue Bonds, Series 2018C, of the City of Oshkosh, Winnebago County, Wisconsin, in such amount providing details, prescribing the form of bond, awarding the bonds to the best bidder & providing for the payment of said bonds & covenants with respect thereto Council Member Pech asked for an explanation of the interest rates. Todd Taves, Senior Municipal Advisor, Ehlers, stated Baird had been selected for the general obligation bonds, and the total interest paid on the bonds would be approximately $52,000 more than what the estimate had been, while on the notes it had been approximately$45,000 less. He explained the revenue bonds had been awarded to Hutchinson Shockey and the interest paid would be approximately $142,000 more than the original estimate. He stated there had been an uptick in interest rates, which was a reflection of supply and demand in the market. Council Member Pech questioned if there were typically more bidders than what was received this cycle. Mr. Taves stated it was less than average due to an increase of supply in the market. 3 PROCEEDINGS OF THE COMMON COUNCIL—JUNE 12, 2018 Resolution 18-322 Approve Amendment to 2018 Operation Budget—Park Subdivision Improvement Budget for Parkland Acquisition 173 West Ripple Road Resolution 18-323 Create Voting Ward 42, District 1 Resolution 18-324 Approve Appointments to Landmarks Commission (Landmarks Commission & Grand Opera House consolidations) Resolution 18-325 Disallowance of Claim by Brian Blaha Resolution 18-326 Approve Special Class "B" Licenses, Operator Licenses, Taxi-Cab Driver & Taxi-Cab Licenses MOTION: ADOPT CONSENT AGENDA EXCLUDING RESOLUTIONS 18-310, 18-311 & 18-312 (Pech; second, Mugerauer) CARRIED: Ayes (7) Allison-Aasby, Palmeri, Mugerauer,Krause, Pech, Herman, Mayor Cummings Resolution 18-310 Approve Spot Blight Designation; Authorize Redevelopment Authority to Accept Donation of 421 Monroe Street (RDA Recommends Approval) MOTION: ADOPT (Pech; second, Herman) CARRIED: Ayes (7) Allison-Aasby, Palmeri, Mugerauer,Krause, Pech, Herman, Mayor Cummings Resolution 18-311 Approve Spot Blight Designation; Authorize Redevelopment Authority to Acquire 1524 Rush Avenue ($22,000.00) (RDA Recommends Approval) MOTION: ADOPT (Pech; second, Herman) CARRIED: Ayes (7) Allison-Aasby, Palmeri, Mugerauer,Krause, Pech, Herman, Mayor Cummings Resolution 18-312 Approve Spot Blight Designation; Authorize Redevelopment Authority to Acquire 1302 Eastman Street ($38,000.00) (RDA Recommends Approval) MOTION: ADOPT (Pech; second, Mugerauer) CARRIED: Ayes (6) Allison-Aasby, Mugerauer, Krause, Pech, Herman, Mayor Cummings Noes (1) Palmeri 4 PROCEEDINGS OF THE COMMON COUNCIL—JUNE 12, 2018 Council Member Palmeri stated she had wanted to pull resolutions 18-310, 18-311 and 18-312 to discuss the relation to the City's strategic plan and neighborhood planning. She questioned if 421 Monroe Street was part of a neighborhood association that had an active or approved plan. Mr. Davis explained he wasn't certain; he believed the property was close to the neighborhood association. Council Member Palmeri questioned if there was a neighborhood plan. Mr. Davis stated River East neighborhood association had a plan, and South Menominee neighborhood association was in the process of adopting a plan. Council Member Palmeri questioned if 1524 Rush Avenue and 1302 Eastman Street were part of a plan, as she understood in addition to the purchase, the City would complete significant rehabilitation. Mr. Davis explained they were not part of a neighborhood association. He stated City staff scanned the City on a regular basis looking for projects. He explained the home on Rush Avenue had been brought to the attention of City staff as there had been a fire that had destroyed the inside of the home, although it remained structurally intact. He stated it was a good neighborhood, and would be a rehabilitation project in which the City could recoup the costs. He explained 1524 Rush Avenue was near the former Waite Rug Company, and the redevelopment authority (RDA) was actively working to redevelop that area. Council Member Palmeri questioned if the purchases were approved, would the Community Development Block Grant (CDBG) funds that had been identified be used for the rehabilitation. Mr. Davis stated there was revolving CDBG funds that needed to be spent, and the City would be receiving new funds for rehabilitation. He explained the rehabilitation projects aligned with neighborhood goals and would be an appropriate project for the CDBG funds. Council Member Palmeri explained she was a proponent of revitalizing neighborhoods, and recognized the blight situation needed to be addressed. She questioned if the funds were invested in these projects, and the City recouped the costs though did not receive additional income, would it deny neighborhood associations who had established plans those funds to be invested in their projects to accomplish their objectives. 5 PROCEEDINGS OF THE COMMON COUNCIL—JUNE 12, 2018 Mr. Davis stated there would still be CDBG funds available. He explained City staff was particular when it came to projects and required they have a positive impact on the neighborhood. Council Member Palmeri questioned if the RDA had a strategy for the various scattered sites or if it was opportunity based. Mr. Davis stated if he were to speak for the RDA, he believed they adhered to strict financial guidelines, which carried more weight than the neighborhood impact. An individual from the audience questioned how Mr. Davis could speak for the RDA. Mayor Cummings explained if the individual would like to speak, he would need to sign up with the police officer. Ms. Ubrig indicated the individual was the gentleman who had signed up for citizen statements and was not present at that time. Mayor Cummings requested pictures of the properties to be displayed on the projector. Fred Masten, 123 Peckham Street, Neenah, stated he unfortunately had already forgotten his questions and believed citizens should have the same opportunity to speak as Council Members. He questioned how Mr. Davis could speak on behalf of the entire RDA. Council Member Krause questioned if Mr. Masten had an interest in one of the properties. Mr. Masten indicated he had an interest in all of the properties. He explained he believed the properties themselves did not make up the community, citizens did, and questioned what would happen if the houses were not there. He stated he believed the focus needed to be on how to save the earth, and solve the recycling problem. He explained it was important to promote awareness and positivity in the community. Council Member Pech asked for an explanation of the RDA. Mr. Davis explained the RDA was a separate body from Common Council that had certain legislative duties. Ms. Lorenson indicated they were a public body created by Council and Mr. Davis served as the executive director. 6 PROCEEDINGS OF THE COMMON COUNCIL—JUNE 12, 2018 Council Member Pech stated therefore Mr. Davis had the credentials to speak on behalf of the RDA. Mr. Davis explained he had spoken on behalf of the RDA to answer Council Member Palmeri s question. Council Member Pech questioned if Mr. Masten had seen the pictures of the houses, in regards to his concern about the houses no longer being there. Mr. Masten stated that he had, and was concerned that the lots would no longer be present for a solid foundation for a house to be built. He explained he was trying to express that he believed there was a bigger concern that needed to be addressed. Council Member Pech questioned what the concern was. Mr. Masten stated promoting awareness about recycling. He explained he was not aware of the recycling rules. He stated he had been asking questions related to recycling throughout the City, and nobody had the answers. He explained there needed to be promotion of a positive movement, especially with children, to get them to be proactive. He made suggestions about recycling bin placement and signage. Council Member Palmeri thanked Mr. Masten for sharing his thoughts. She questioned if he was interested in promoting recycling,if he was in favor of the houses being recycled in a sense to benefit the community. Mr. Masten stated he would need to see how the rest of the funds were being allocated in the City before commenting. Council Member Palmeri explained he should attend the budget hearing. She stated specific to resolution 18-312, due to the proposed investment of $100,000, notes in the memo regarding working with Greater Oshkosh Healthy Neighborhoods Initiative (GO- HNI) and the requirement to meet their criteria, which had not yet been achieved, she would not support the project. Mr. Davis explained the$100,000 CDBG fund commitment would not occur this evening; it would need to go back to the RDA for approval. Mayor Cummings stated they would be approving spot blight designation and acquisition, with the exception of the donated property. 7 PROCEEDINGS OF THE COMMON COUNCIL—JUNE 12, 2018 ACTION TAKEN ON ORDINANCES AND RESOLUTIONS Resolution 18-327 Approve Conditional Use Permit&Specific Implementation Plan for Fuel Station & Convenience Store; Northeast Corner of Oshkosh Avenue & North Westfield Street (Plan Commission Recommends Approval) MOTION: ADOPT (Pech; second, Palmeri) CARRIED: Ayes (6) Allison-Aasby, Palmeri, Mugerauer, Krause, Pech, Herman Noes (1) Mayor Cummings Jason White, 1204 Fairfax Street, stated he was in support of the proposed store. He explained there had been a Casey's in every community he had worked in, besides Oshkosh. He stated he believed it would be a great addition to Oshkosh Avenue by enhancing the aesthetics of the north side City gateway. He explained Casey's would provide needed services for people and businesses on the north side of the City in a way that did not presently exist. He stated he had spent considerable time in Des Moines, Iowa, which was home to the chain. He explained Des Moines was stringent when it came to quality of design of their establishments, and one mile from a$100 million dollar Wells Fargo campus was a Casey's. He stated in his experience, Casey's had been a good corporate partner, through food and cash donations to charitable causes. He explained the fact that Casey's was looking to Oshkosh for growth was another sign that the City was gaining momentum. Gary Gray, 815 W. Linwood Avenue, questioned if the City had any additional environmental regulations related to underground storage tanks that would impact the site. Mr. Davis stated the City did not have any regulations above and beyond what the State had in place. Ryan Swanson, 5291 Zenith Parkway, Loves Park, IL, ARC Design Resources, explained he represented the project engineers for Casey's. He stated his team had worked to create a high quality development for the new district through architecture, materials and landscaping. He explained they had worked to make sure the right of way access and cross access for potential future developments was appropriate for the site. He stated they had implemented input from City staff and the plan commission into the building itself. He explained the federal and state government regulated the underground storage of fuel and Casey's followed all applicable codes and regulations. 8 PROCEEDINGS OF THE COMMON COUNCIL—JUNE 12, 2018 Council Member Palmeri stated it was her understanding the proposed front elevation for the Jackson Street and Oshkosh Avenue stores were distinctly different. She asked for an explanation of the difference in the number of front windows. Mr. Swanson explained it was a combination of code restrictions while trying to maintain branding. He stated the new corporate business park code set the standard in terms of architecture for the Oshkosh Avenue site. He explained the Jackson Street site incorporated Casey's preferred branding traits such as the flat roof and red sign, which did not meet the new codes for the Oshkosh Avenue area. Mayor Cummings stated the City had the opportunity to design the Oshkosh Avenue gateway carefully from the beginning, as there had been a number of complaints about the other gateways in the City. He explained he was concerned with the lack of vision for the area and if it was not planned, it would look like a hodgepodge of businesses. Council Member Herman explained he had initially been hesitant with the project, however, complimented Casey's for working with City staff and the plan commission. He stated he believed although there were plenty of convenience stores in Oshkosh, the upgrades Casey's had committed to would allow the store to fit the desired aesthetic of Oshkosh Avenue. He explained he did agree that a plan should be developed for the gateway. Council Member Pech stated there were things the City had been given challenges that they had to work around, such as the landfill and the prison. He explained it was up to the City to partner with economic development, not dictate, and he believed Casey's was an example of this. He stated the City had set design standards for the new district, and Casey's had exceeded them. Fred Masten, 123 Peckham Street, Neenah, interrupted from the audience. Mayor Cummings stated he would need to be quiet or he would be asked to leave. Mr. Masten explained he had signed up to speak and was not being allowed to. Council Member Pech indicated Mr. Masten had signed up to speak during citizen statements, and had not been present at that time. He stated he had been permitted to speak regarding a resolution, and would be allowed to speak to an agenda item if he desired. He explained he believed the City had adequately laid out the vision for Oshkosh Avenue through setting high quality standards. He stated the City should partner with, and not dictate, economic development. 9 PROCEEDINGS OF THE COMMON COUNCIL—JUNE 12, 2018 Council Member Mugerauer thanked Casey's for their due diligence and working with City staff. He stated although he agreed with the high standards that were set for the area, he did not believe it was the City's place to determine what the market wanted. Council Member Palmeri stated she had initially been conflicted about the difference in design between the two stores, however, had come to appreciate that there would not be 'Disneyfication' in which everything looked the same. She encouraged caution in denigrating the Jackson Street area, which was also a gateway, to the lowest standards that the City would accept. She stated she would support the development. Council Member Allison-Aasby explained while the store was not what she had in mind for the gateway, the properties that were for sale in the area had been for a considerable amount of time. She stated it was not enough reason to say no to the project just because it was not what she had imagined for the area. She explained she had discussed a number of concerns with Steve Hoopman, the developer, including the potential for Casey's to put the smaller gas station down the street out of business. She stated she agreed with Council Member Palmeri and hoped that it would not be a pattern where the same businesses located in different parts of the City would be held to lesser design standards. She complimented Casey's for working with City staff to meet the requirements of the district, and stated she would support the project. Resolution 18-328 Approve Annual City Licenses (Renewals) MOTION: ADOPT (Pech; second, Palmeri) CARRIED: Ayes (7) Allison-Aasby, Palmeri, Mugerauer,Krause, Pech, Herman, Mayor Cummings Resolution 18-329 Approve Combination "Class S" License — Morgan District (228 W 61h Avenue) Including Hearing on Non-Renewal of License (Staff Recommends Non-Renewal) Ms. Lorenson questioned if Mr. Lang had received the non-renewal paperwork. She indicated the agent was Grant Schwab, and City staff had attempted to serve him the paperwork and had not been successful. She stated it had been served initially, and the date had been changed. Peter Lang, 2300 White Swan Drive, explained he was aware it was on the agenda for the meeting which was why he had appeared. He stated he was not aware if Mr. Schwab had received the paperwork. 10 PROCEEDINGS OF THE COMMON COUNCIL—JUNE 12, 2018 Ms. Lorenson questioned if Mr. Lang was present to represent the limited liability company, MP Development 2 LLC, who held the license, with Mr. Schwab as the agent. Mr. Lang stated that he was. Mayor Cummings explained the purpose of the meeting was to conduct a hearing per section 125-12 of the Wisconsin State Statutes on the decision to renew or not renew the license of MP Development 2 LLC doing business as the Morgan District, agent Grant Schwab, for premises located at 228 W. 61h Avenue, Oshkosh, Wisconsin. He stated the City Clerk would review the notice to the licensee and enter the certified public records into the record of the hearing. He explained the licensee would then be given an opportunity to present any evidence that he wished the Council to consider in relation to the decision whether or not to renew the license. He stated anyone giving testimony before the Council would be sworn in by the City Clerk. He explained after the licensee had been given the opportunity to present information, Council Members would be permitted to ask questions, thereafter the licensee would be given a final opportunity to make a statement to the Council. Ms. Ubrig stated the Clerk's office maintained liquor license files for the City of Oshkosh and Grant Schwab was the agent for MP Development 2 LLC that holds the license located at 228 W. 61h Avenue, known as the Morgan District. She explained the license was transferred from Vitale's Restaurant, 215 W. Murdock Avenue, after they closed in November of 2014. She stated Mr. Schwab filed his application and Council approved the license transfer. She explained Mr. Schwab had filed renewals for 2015-2016, 2016- 2017 and 2017-2018. She stated the licenses were granted by Council to MP Development 2 LLC, agent Grant Schwab, doing business as the Morgan District, located at 228 W. 61h Avenue for the years mentioned, though they were never issued from the Clerk's office. She explained Mr. Schwab had applied for the 2018-2019 license. Ms. Lorenson clarified in the Council packets was the supporting documentation and an affidavit from the City Clerk indicating that they were the official records from her office. Ms. Ubrig swore in Mr. Lang. Ms. Lorenson explained it was Mr. Lang's opportunity to share any applicable information with Council in relation to the license. Mr. Lang thanked Council for changing the date of the original hearing to accommodate his schedule. He stated he was frustrated with the potential at the license being revoked. He explained they had obtained the license from the former Vitale's, the site of which he and his colleagues had developed into a successful financial institution. He stated he had 11 PROCEEDINGS OF THE COMMON COUNCIL—JUNE 12, 2018 worked with City staff to obtain the license with the goal of using it as a development tool for the Morgan District project. He explained throughout the project, Council had demanded a dialogue about the plans for the development. He stated they had been open to the point of feeling uncomfortable, as a result of feeling forced to reveal plans that were not fully developed. He explained he did not feel it was appropriate that they had learned of the non-renewal hearing by being served, and had not been contacted by City staff or Council. He stated he understood the City needed to accomplish goals, however, in a partnership, he would expect communication to come out ahead of the process of the non-renewal hearing. He explained they had participated in the partnership by allowing the public access to property along the river walk that had been private for 150 years, and was disappointed in how the City had not acted as though a partnership existed. He stated the original development plan for that site had been single family homes, and City staff had indicated they would not support the development and asked them to realign the project to denser multi-family. He explained the liquor license was a tool for the development. He stated they were moving forward with plans. He explained he hoped Council would understand the importance of the liquor license to the future of the project. Council Member Pech questioned if the City had directed them to change the development to an office complex. Mr. Lang stated no. Council Member Pech questioned if he understood there was a legal process that had to be followed which included the license holder being served the non-renewal documents. Mr. Lang stated yes. Council Member Pech questioned if he understood the license had been under review and questioned for several years. Mr. Lang stated yes, and they had been present for the dialogue and had met with City staff several times. Council Member Pech explained saying they had not been aware of the process did not sound accurate. Mr. Lang stated he disagreed with that statement. He explained he understood the City wanted to see development and the liquor license utilized. He stated although they could have done something temporary to put the license in use, which was not their goal. He 12 PROCEEDINGS OF THE COMMON COUNCIL—JUNE 12, 2018 explained they had been upfront and honest with the Council in that the license was a development tool for the parcel. Council Member Pech read from the proceedings of the Common Council from May 9, 2017. He questioned, based on the statements Mr. Lang had made during those proceedings, if he intended to begin construction in 2018. Mr. Lang stated they had a plan in place, and the current review process from the plan submission to plan approval within the City's new zoning framework was approximately 6-7 months. Mr. Davis explained the plan had been recently submitted and would be presented to the plan commission at the end of June or beginning of July. Mr. Lang stated the most rapid framework, if architectural and landscaping plans were complete, would at best be four months. He explained their goal was to have the most financially responsible plans as possible, to prevent multiple revisions. He stated they would like to break ground this year, however, it was dependent on how quickly the plans moved through the process. He explained to be clear, this was in reference to the apartments, not for the multi-tenant commercial space. He stated the potential tenants for the multi-tenant commercial space were often engaged in competitive discussion with City staff regarding other sites. He explained he believed Council and the redevelopment authority (RDA) was one of their biggest competitors. Council Member Pech clarified that the plans included apartments only, and no retail space or restaurant/bar. Mr. Lang stated that was correct. Council Member Pech questioned what the timeline on that portion of the project was. Mr. Lang explained as soon as he had someone ready to sign a lease. He stated although they continued to pitch to prospects, there were challenges. Council Member Pech questioned if it was fair to allow an entity to hold a liquor license with no activity for nearly 4 years, when there may be another developer ready to begin a project that would require a license. Mr. Lang stated he understood the concern. He questioned if there were currently licenses available within the City. 13 PROCEEDINGS OF THE COMMON COUNCIL—JUNE 12, 2018 Ms. Ubrig indicated there was a license available from the former Repp's Sar, Robbin's Restaurant and the two new premier economic development district licenses in the Sawdust District. Mr. Lang explained he understood a license had been held for the Marion Road development, and he was asking for the same consideration. He stated they had been straightforward and honest about their intentions with the license. Council Member Pech stated he understood they were not being dishonest, however, each year they requested the renewal of the license by setting the expectation that development was coming soon. Mr. Lang explained they continued to work on the site and admitted they did not currently have a user for the liquor license. He stated two years ago they believed they had a user for the license, which despite being diligently pursued, had selected another site. He explained he believed Council was aware of the complexities that came with large parcel developments. Council Member Pech stated there was currently not a waiting list for liquor licenses, and if they reached a point where they were ready for a license, they could apply. He explained he believed having a bank of available licenses was a better economic development tool than having a license that had been held for nearly 4 years with no activity. Council Member Palmeri questioned if Mr. Lang and the agent, Mr. Schwab, had been aware of the annual renewal period and the license expiration date. She stated it should not have been a surprise that this was going to be addressed. Mr. Lang stated he was aware that the license would be up for renewal. He explained he had not been aware that Council and City staff would take the position of non-renewal until they had been served. He stated that was the part that had caught him off guard, and where he thought communication was lacking. Council Member Palmeri questioned if it had been assumed that the license would be indefinitely granted until the project was complete. She stated there had been truck storage located on the site for quite some time,and now there was a large pile of dirt. She explained it did not appear that there had been an immediate need for the license. Mr. Lang explained he believed indefinite was a strong term, however, he believed they had been clear about retaining the license as a development tool. 14 PROCEEDINGS OF THE COMMON COUNCIL—JUNE 12, 2018 Mayor Cummings questioned if Mr. Lang had indicated there would not be a bar or restaurant located at the development. Mr. Lang stated at the present time they were moving forward with the apartments, and there was currently not a prospective user for a bar/restaurant. Mayor Cummings explained they did not have a current need for the license as there was no bar/restaurant. Mr. Lang stated those were Mayor Cummings words, not his, as he believed there was a need for the license as a tool for redevelopment. He explained the open application process would provide a hurdle. Council Member Mugerauer asked how much of the parcel would be used for the apartment development, and how much potential space would be remaining for commercial or other mixed use. Mr. Lang stated the tentative plan was to have approximately 8 acres east of Minnesota Street available for commercial or mixed use development. He explained it was possible the remaining space could become residential or apartments if a commercial partner was not secured. He stated he was not comfortable indicating under oath exactly how much of the space would be committed to commercial space. Council Member Mugerauer explained he understood they had experienced a number of hurdles in the last several years. He questioned if they believed they had done their due diligence related to the project. Mr. Lang stated they were actively trying to engage tenants and wanted to see the right development take place, not just any development. He explained he was personally invested in the success of the south shore area. He stated the economics in the central City could be challenging. He explained they had been a successful developer of retail space and the pitch was unique for a central City site. Council Member Pech questioned what had happened with the grocery store development. Mr. Lang explained they had put it on hold while they tried to sell to a large office group. He stated he believed the economics of that development had been lacking. Council Member Pech stated he understood there had been economic concerns, and the 15 PROCEEDINGS OF THE COMMON COUNCIL—JUNE 12, 2018 City did appreciate the easement on the river walk. He questioned if the investment the City had made into the river walk also benefited their development. Mr. Lang explained it was helpful, however, they had given the most valuable asset they had in the riverfront to allow that to happen. Council Member Pech questioned if there had been a partnership in that instance. Mr. Lang stated yes. Council Member Allison-Aasby explained when she considered the City's goals for the central City, she would be hesitant to take away a development tool. She stated she was surprised by Mr. Lang's approach. She explained when property was purchased in the central City, where it was part of several plans, it meant they would be open to speculation and criticism. She stated based on the location of the property, she believed they should have been prepared for public opinion to impact Council, and therefore tough questions being presented. She explained the while the easement was located on the riverfront, if they had to pay for the development of that on their own, it would have been a significant investment that would have required investors or a bank loan. She stated she believed it was a fair act of partnership, as she believed no matter what was developed on the site, the river walk would be a tool. She explained she was willing to give them another year, and encouraged development this year as interest rates were rising which she believed would make obtaining a tenant more difficult. She stated she did not believe Council intended to let a liquor license remain inactive for 7 years again as it had with the Marion Road development. She explained having a development at that site would help complete the puzzle for the downtown area. Mayor Cummings explained it sounded as though there were concerns regarding the notification, and asked for an explanation of the legal process for the non-renewal hearing. Ms. Lorenson stated the license holder was required to be given notice. She explained the license agent was Grant Schwab, and she understood the Clerk's office had attempted to contact him on more than one occasion in regards to the hearing. She stated he indicated he would pick up the paperwork and had not done so. She explained her office had tried to have the paper work served by a process server, and they were unable to do so. She stated that was why they had clarified that Mr. Lang was representing the licensee at the beginning of the hearing. Mr. Lang explained he would be able to complete any necessary paperwork that evening. 16 PROCEEDINGS OF THE COMMON COUNCIL—JUNE 12, 2018 Ms. Lorenson stated City staff had wanted to make sure Mr. Lang was comfortable discussing the license and present to represent the license holder, which he had indicated he was at the beginning of the hearing. Mr. Lang explained he appreciated the Council's consideration and thanked them for their time. Mayor Cummings closed the hearing. Council Member Palmeri stated as she understood it, if the license was renewed without conditions, it would require a 'yes' vote, and if the license were to be renewed with conditions, it would require a 'no' vote. Ms. Lorenson explained Council would need to make a motion to amend and include whatever conditions they would like to put on at that time. Council Member Pech stated he was under the assumption that if Council approved a license, it was approved for a year. Ms. Lorenson indicated that was correct. Council Member Pech questioned what conditions could be put on the approval. Ms. Lorenson stated City staff gave Council the option in the event that there were conditions they would like to discuss. Council Member Pech questioned if a condition could restrict the approval to six months. Ms. Lorenson explained there would need to be a revocation hearing in six months. Council Member Pech stated it was his understanding that they either had the option to renew or not renew the license. He questioned if that was correct. Ms. Lorenson explained Council could direct City staff to bring the license back to Council in six months for a revocation hearing. Council Member Pech questioned how long the approval process would take if an individual applied for one of the open licenses. Ms. Ubrig stated the Clerk's office would accept applications and present them to 17 PROCEEDINGS OF THE COMMON COUNCIL—JUNE 12, 2018 Council, similar to when Evergreen and The Howard recently appeared. Council Member Pech questioned if an individual were to apply, how long would it take to get before Council for approval. Ms. Ubrig stated per state law, it would need to remain on file for 15 days prior to Council approval. Mayor Cummings questioned if the police department also needed to review the application. Ms. Ubrig explained the agent would need to interview with the police department and need take the responsible beverage course, it would need to be published, the business would need to go through inspections and taxes would need to be paid. She stated there were procedures to follow. Council Member Pech stated he believed if there was a dire need to get a license, it could be handled in a timely manner. Ms. Ubrig indicated that was correct. Mayor Cummings explained over the years, there had been a number of licenses that had remained inactive, despite promises that activity was forthcoming. He questioned if there had been instances in the past where applicants ready to utilize a liquor license had been unable to do so due to a lack of license pool, as a result of entities holding licenses that were inactive. Ms. Ubrig stated that while that had occurred in the past, it had not occurred recently. Mr. Rohloff explained Council had asked City staff to look at maximizing the response to entities or individuals that had a legitimate business that may benefit from a liquor license. He stated they could accomplish this by pooling the licenses together to create a tool for the entire community. He explained once the licenses were pooled, City staff would need to come back to Council with a process. He stated the process he had seen work was a waiting list; if a license became available and the applicant at the top of the list was not ready to utilize it, they would move to the bottom of the list and the next applicant would, if ready, would receive the license. He explained the process typically worked quickly, and if there was an immediate project ready, City staff would work with the applicant in contacting the individuals higher in the list to expedite the process. He stated Council could waive the rules at any time to grant a license to an applicant they 18 PROCEEDINGS OF THE COMMON COUNCIL—JUNE 12, 2018 believed had the potential for a great project. Council Member Herman stated he had always supported the Morgan District development, and was concerned about some of the comments Mr. Lang made as he felt they were accusatory against the City and he did not believe that was accurate. He explained he understood there were challenges and the City was a competitor with the Morgan District. He stated he understood the value of the liquor license in the district, however, it did not appear that there would be any development to utilize the license in the near future. He explained he was leaning towards non-renewal, and when they had a project ready to utilize a license, he believed there would be one available with the process that was being established. He stated he would not support renewing the license at this time. Council Member Palmeri explained the Morgan District project could add to the existing growth of the area with the Granary and Menominee Arena. She questioned what the impact would be of the Class S versus a beer and wine license. Ms. Lorenson stated if Mr. Lang were to testify, the hearing would need to be reopened. Council Member Palmeri explained she was concerned that during this extended time of inactivity, they could be disabling the completion of some of the other visions for the City. Mayor Cummings stated the inactive licenses had become a pattern, leading Council to give direction to City staff to pool the inactive licenses to use as a tool. He explained while he was not looking to penalize anyone, he believed the fair approach was to bring inactive licenses back into the City. Council Member Mugerauer explained the property was a valuable, shovel-ready piece of land. He stated he understood the developers had faced unique challenges over the last several years. He explained he believed the lack of a liquor license would be a hindrance to the project, and the City had set precedence by holding a license for a development for a number of years. He stated with two licenses currently available and the potential for two or more coming back to the City within the next few months, there was not a need to pull one additional license away from the developer. He explained he would support the license renewal. Council Member Pech agreed that the license could spur investment, however, it had been sitting inactive for nearly four years. He explained the City had allowed licenses to remain inactive in the past, however, the current Council had decided to maximize the 19 PROCEEDINGS OF THE COMMON COUNCIL—JUNE 12, 2018 licenses in the City to use as a community tool. He stated he believed there should have been at least an interest from an investor in the bar/restaurant aspect of the project by this point. He explained he was conflicted and was not certain how he would vote. He stated Council had heard each year that a development would be forthcoming and nothing had happened yet. Council Member Krause questioned if he would like to ask Mr. Lang a question if the hearing would need to be reopened. Ms. Lorenson stated yes. Council Member Krause explained he would like to do so. Ms. Lorenson stated Council would need to vote to reopen the hearing. Council Member Pech explained the question should have been asked while the hearing was open. Council Member Krause stated he had not thought of the question at that time, and thought it could add valuable insight to the discussion. MOTION: REOPEN HEARING FOR THE MORGAN DISTRICT (Krause; second, Palmeri) CARRIED: Ayes (7) Allison-Aasby, Palmeri, Mugerauer,Krause, Pech, Herman, Mayor Cummings Council Member Krause questioned how long Oshkosh Corporation had stored their vehicles on the property. Mr. Lang explained since before they had purchased the site. Council Member Krause questioned if when the purchase had been completed, if Oshkosh Corporation entered into a month to month lease. Mr. Lang stated it was an initial term of one year, and the lease vacated and reestablished within 10 days. Council Member Krause questioned if they had received a profit from storing the vehicles. 20 PROCEEDINGS OF THE COMMON COUNCIL—JUNE 12, 2018 Mr. Lang stated it covered he holding costs for the property, including taxes, storm water and site maintenance. Council Member Krause questioned if there had been opportunities that were more profitable than the rental at that time. Mr. Lang explained they although they pursued opportunities, nothing had developed. Council Member Krause questioned if they had turned down any opportunities that they would have pursued if Oshkosh Corporation had not been there. Mr. Lang stated they had the ability to vacate the lease with 60 days notice. Council Member Krause questioned if they had vacated due to Oregon Street construction. Mr. Lang stated they had received input from the City that the vehicles were no longer welcome on that site. He explained Oshkosh Corporation had asked to utilize additional space on the site, and they were advised it would not be well received by Council or City staff. Council Member Palmeri questioned what the difference in value between the Combination Class S license and a beer/wine license. Mr. Lang stated it was dependent on the client. He explained the vision for the site was not a single, standalone building for the bar/restaurant; it would be an ancillary component to the larger development. He stated he was concerned about the delays in the application process should they need to apply for a full liquor license while trying to pull together a business deal. Council Member Palmeri questioned if that meant it may be a potential deal breaker. Mr. Lang stated it was possible, and having to apply for a liquor license slowed down the development process. Mayor Cummings questioned if the plan was to build four or five apartment buildings on the site. Mr. Lang stated they had submitted a plan for the first building, and the plan was to build and fill the first building and install the foundation for the second building. He explained 21 PROCEEDINGS OF THE COMMON COUNCIL—JUNE 12, 2018 depending on how quickly the first building filled would depend on how soon they continued the process with the second and additional buildings. Mayor Cummings questioned what the timeline was. Mr. Lang stated it would be years. He explained it was 23 acres, and the City had begun the Marion Road development in the early 2000's, and the last parcel was just leased. Council Member Pech explained he was getting frustrated with the criticism of the City. Mr. Lang questioned what he was referring to. Council Member Pech stated in his opening comments he had indicated that the City had not been forthcoming or communicative, and he had just made an aside that the City had been involved in the Marion Road project since the early 2000's. Mr. Lang explained that the reality of the development process was the site was 23 acres that required subsurface work and would take time to complete. He stated his intention was not to criticize the City; he had been frustrated by the lack of communication. He explained he had been aware that there would be a renewal process,however, he had not been expecting the notice of non-renewal. Council Member Pech stated Mr. Lang had indicated the development process was lengthy with many components. He explained he believed because the liquor license application process was a relatively short timeframe, there should not be a conflict as the development process was lengthy. Mr. Lang explained it was possible, although he did not have clarity as to what that process looked like. He stated the City zoning review process could take anywhere from three months to eight months. He explained if the City could provide assurance and details regarding the length of the application/approval process he could be more lenient in considering that route. Council Member Pech questioned if it was complicated to apply for a liquor license. Ms. Ubrig stated it was not; when an individual was interested in a license, they completed the paperwork and submitted it to the Clerk's office. She explained a publication was completed, the police department conducted an interview, inspections took place and a resolution was presented to Council. 22 PROCEEDINGS OF THE COMMON COUNCIL—JUNE 12, 2018 Council Member Pech questioned if the applicant needed to have a physical building for the license. Ms. Ubrig explained they needed to have an address. Council Member Pech questioned if the address could be a vacant lot or a home, as he believed was the case for this license. Ms. Ubrig stated it could be a vacant lot, and the address for the current license was not listed as a home address; it was listed on 61h Avenue. Council Member Pech clarified that there did not need to be a physical building, just an address. Ms. Ubrig stated that was correct; Council would grant the license, which would not be issued by the Clerk's office until it went through inspections for the health and fire departments, and the interview with the police department was complete. Council Member Pech questioned if the inspections would be of the actual facility. Ms. Ubrig stated yes. Council Member Pech questioned how long it may take for a facility to be constructed. Mr. Lang stated it was dependent on how long the City review process took. Council Member Pech questioned how a license could be issued to a location that did not have a facility that could be inspected by the health and fire departments. Ms. Lorenson explained Council would grant the license to the applicant, and the Clerk's office would issue the license on completion of the additional steps. Ms. Ubrig stated Council had granted the license to the Morgan District, and it had not been issued yet. Council Member Pech questioned what the developers had. Ms. Ubrig explained she was holding their liquor license in the Clerk's office. Ms. Lorenson stated that was part of the reason for the non-renewal hearing was that 23 PROCEEDINGS OF THE COMMON COUNCIL—JUNE 12, 2018 there was an ordinance that required issuance and use of the license. Mayor Cummings explained the process for liquor licenses was based on State statutes and City ordinances. Ms. Ubrig stated that was correct. Mayor Cummings explained Council had provided City staff clear direction on what to do with inactive licenses. He stated he also believed Council needed to consider what a fair process would be, and licenses should be available to applicants who have a project that was ready to go. Mr. Lang stated he did not understand or believe Council had a threshold established as to what a'ready to go' project was. Ms. Lorenson indicated the issue before the Council was whether or not to renew the license, not to establish a general liquor license procedure. Mayor Cummings declared the hearing closed. Council Member Pech stated he had decided he would support the renewal, however, if there was not activity by the end of the year, he would pursue a revocation hearing. He explained the City wanted to work with them, and while he understood how difficult it was, needed to see some action. Mayor Cummings questioned if the license would be renewed with conditions. Council Member Pech stated no; the license would be renewed, and if no activity took place, Council could bring the license forward for a revocation hearing. Ms. Lorenson explained it would need to be brought forward with a sworn complaint for a revocation hearing. Council Member Pech questioned if it would be the same process as the non-renewal hearing. Ms. Lorenson stated it would be a similar process. Council Member Palmeri questioned if a condition could be put on the renewal that the licensee voluntarily relinquish their license at the end of the year if they did not have a 24 PROCEEDINGS OF THE COMMON COUNCIL—JUNE 12, 2018 user for the license. Ms. Lorenson stated they would be able to surrender the license at any time to the City Clerk's office. MOTION: ADOPT ON THE CONDITION IF NO ACTIVITY TOOK PLACE BY THE END OF 2018 LICENSE WOULD BE VOLUNTARILY SURRENDERED (Palmeri; second, no second) Ms. Lorenson indicated that was not permitted. MOTION: ADOPT (Pech; second, Herman) CARRIED: Ayes (6) Allison-Aasby, Palmeri, Mugerauer, Krause, Pech, Mayor Cummings Noes (1) Herman COUNCIL DISCUSSION, DIRECTION TO CITY MANAGER &FUTURE AGENDA ITEMS Mayor Cummings stated the proposed date for the ACT 317 Rental Inspection presentation was June 261h at 5:00 p.m. Mr. Rohloff explained the intention was to include the rental housing advisory board. Mayor Cummings stated strategic planning workshops were scheduled for June 21s' at the Best Western Premier Waterfront Hotel and July 191h at the Convention Center from 8:00 a.m. until 4:30 p.m. He explained the first budget workshop was scheduled for July 251h at 5:00 p.m. in room 404 at City Hall and the Council workshop on public works contracts was scheduled for July 31s' at 5:00 p.m. in room 404 at City Hall. Council Member Allison-Aasby stated she would be out of state on June 21s' and 261h CITIZEN STATEMENTS TO COUNCIL Lois Luebke, 600 W. Packer Avenue, stated she was concerned about the veteran's office on Algoma Boulevard. She explained there was no flag and the sign was in poor condition. Council Member Pech explained the veteran's office was a county building. 25 PROCEEDINGS OF THE COMMON COUNCIL—JUNE 12, 2018 Ms. Luebke stated she had brought it up as she had heard it mentioned at the Winnebago County meeting that there were millions of dollars missing. Mayor Cummings explained that was a county concern. Ms. Luebke questioned if she would need to go to the county to express her concern. Council Member Pech stated yes. He explained Council would be happy to listen to any comments she had regarding City related items. Ms. Luebke explained she believed it was difficult for Council to read and absorb the information in the agenda while working other jobs. She stated the amount of money they were compensated did not seem just. Council Member Pech stated compensation was not the reason individuals served on Council. Ms. Luebke questioned if the Pledge of Allegiance was said before each meeting. Council Member Pech stated that it was. CO UNCIL MEMBER ANNO UNCEMENTS & STATEMENTS Council Member Herman stated the ribbon cutting for the Lifest stage was scheduled on June 261h from 4:00 p.m. until 6:00 p.m. He explained Council had been invited, and as it was an invitation only event, they would need to individually RSVP if they planned to attend. Mayor Cummings explained it was tradition for Council Members to hand out candy at the 41h of July parade. CITY MANAGER ANNO UNCEMENTS & STATEMENTS Mr. Rohloff explained the July 101h Council meeting would have a light agenda due to the Wednesday before the meeting, when City staff typically prepared, being the 41h of July. He stated if there was anything Council would like to put on the agenda, to please get it to City staff as soon as possible. He reviewed the various options City staff had compiled for the 2019 operations budget and CIP schedule. He stated the Christmas parade was scheduled for November 131h Council Member Herman stated the Council meeting could be rescheduled. 26 PROCEEDINGS OF THE COMMON COUNCIL—JUNE 12, 2018 Mr. Rohloff stated that it could be, via ordinance change in September. Council Member Pech stated he would be out of the area on October 191h and 22nd. He explained he had a commitment with a different organization for the Christmas parade, therefore if the Council meeting date was not changed, he would not be present. Council Member Palmeri stated she believed having the fifth Council workshop immediately before the budget hearing would prevent individuals from watching the workshop after the fact via Oshkosh Media to determine if they wished to attend the budget hearing. Mr. Rohloff stated that was correct, and the sixth Council workshop would take place immediately after. He requested Council review the information and provide direction. He stated the transload facility ribbon cutting ceremony was scheduled for June 131h at 11:00 a.m. at the transload facility in the southwest industrial park, and Governor Walker planned to attend. He explained the Wisconsin Economic Development Corporation (WEDC) was scheduled to present a local economic development initiative on June 131h at 1:30 p.m. at The Waters. He stated a ribbon cutting for the new GO transit buses was schedule for June 191h at 12:00 p.m. at the downtown transit center. He explained the ribbon cutting for the sea, sand and sailorland play equipment was scheduled for June 281h at 4:30 p.m. at Menominee Park. He stated an update had been provided in the Council packets regarding the 41h quarter status of the 2017 strategic plan. He explained there had been a workshop with Tim Franz, former Fire Chief, regarding ambulance contracts with outlying communities. He stated the outlying communities had been cooperative and the fire department was working with the City Attorney's office to prepare the contracts. He explained the Oshkosh Corporation update had been included in the Council packets. Council Member Palmeri requested when the strategic plan was being updated with percentages, if they could be tied in with specific targets. MOTION: ADJOURN (Mugerauer; second, Herman) CARRIED: VOICE VOTE The meeting adjourned at 8:26 p.m. PAMELA R. UBRIG CITY CLERK 27