1. Call to Order. The special meeting of the Council of the City of Rogers was called to order by Mayor Bunting at 6:05 p.m. on Friday, December 20, 2013 at the Rogers City Hall, 22350 South Diamond Lake Road, Rogers, MN, 55374.

Council present: Jay Bunting, Don Hall, Rick Ihli, and Darren Jakel.
Council excused: Maureen Stanley.

Staff present: Jeff Beahen, Police Chief; Jeff Carson, City Attorney; Stacy Scharber, Assistant City Administrator/Clerk; Steve Stahmer, City Administrator; John Seifert, Public Works Supt.; and Lisa Wieland, Finance Director.

2. Resignation Agreement
Council was given a confidential memo from Attorney Carson and Administrator Stahmer prior to the consideration of the resignation agreement.

Council questioned if there was any issue with setting a precedence. Stahmer read from the agreement where it states it does not set precedence.

Bunting moved, Ihli seconded a motion to approve the Resignation Agreement for Joleen Pitts and authorize its execution. Motion carried 3-1; Jakel opposed.

3. Letter of Intent – Scannell Properties
Engineer Weiss provided a draft letter to Scannell Properties. Weiss stated staff has met members of the Vevea family regarding the extension of Rogers Drive stating the meeting went well. Weiss stated the letter that has been drafted is satisfactory to both Kinghorn and Elam. Weiss then proceeded through the following points contained in the letter:
1. Rogers Drive - Extension of the current four lane roadway including utilities from its current termination point near Cabela's to Brockton Lane. This project has an estimated project cost, excluding the dedicated ROW, of $2,400,000. It is proposed that this cost be funded by Fedex through cash and assessments to their site
2. Rogers Drive and Brockton Lane – Installation of a three leg traffic signal with adequate turning lanes on Brockton Lane to support the anticipated traffic movements. This project has an estimated project cost of $500,000 and will be assessed against Kinghorn Development.
3. Hennepin CSAH 81 and Brockton Lane – A major reconstruction of the intersection with multiple through lanes and turning lanes in each direction. This project has an estimated project cost, excluding the ROW, of $2,500,000. The City and Hennepin County have agreed to pursue acquisition of the ROW necessary to construct the project as proposed. This funding for this project would be assumed by Fedex and funds received by DEED.

Council discussed the right-of-way acquisition piece and asked that the language be changed to read "the City is requesting Hennepin County to pursue acquisition..."

4. South Diamond Lake Road and Brockton Lane – Widening of the intersection in the southwest corner to support right turn movements on Brockton Lane and increasing the storage capacity in the northbound left turn lane. This project has an estimated project cost of $200,000. The City of Rogers would assume the funding of this project.
5. David Koch and Brockton Lane—Adding a left turn movement for northbound Brockton Lane and adding a right or left turn lane for eastbound David Koch at Brockton Lane. This project has an estimated project cost of $245,000. The City of Rogers would assume the funding of this project.
6. South Diamond Lake Road and Rogers Drive—Extending the existing left turn lane to add additional capacity and to improve operations for westbound South Diamond Lake Road. This project has an estimated project cost of $125,000. The City of Rogers would assume the funding of this project.

Weiss stated the City of Rogers contribution to the project would be approximately $570,000.
Weiss then reviewed the funding portion of the letter:
• Department of employment and economic development (DEED)
• Innovative Business development public infrastructure grant: $1,000,000
This grant is dependent on funds being appropriated by the legislature in 2014. This is a 50% match, but can offset roadway and utility costs.
• Minnesota Investment fund: $1,000,000
This is a loan program that can be forgiven and is related to developing at least 250 new jobs. This fund was recapitalized in July, 2013.
• Minnesota Job creation fund: TBD up to $1,000,000
This fund is related to number of jobs created and capital expenditures and cannot be applied for until January, 2014
• City of Rogers: Transportation/utility trunk fees
• Hennepin County: Possible County state aid funds for ROW
• Fedex: Cash and Assessments
• Kinghorn: Assessments
• Vevea: Deferred assessments

Staff stated that FedEx is seeking the letter in order to make a decision on where to locate. Staff stated anything that says FedEx will be changed to read FedEx/Scannell.

There was discussion on if this project moves forward, then Kinghorn would execute a purchase agreement on the Henry property.

There was discussion between Council and staff regarding the financing of the project, special assessments, and the need to borrow money to complete the project.

Staff stated this project would open up 100 acres for development.

There was continued discussion regarding assessments, the guarantee of assessment payments (property taxes), and right-of-way acquisition.

Hall moved, Ihli seconded a motion to approve the letter with a change to item three (regarding right-of-way acquisition) as noted by Council. Motion carried 4-0.

4. Donation Received by City – Information Only
Administrator Stahmer provided an update on an anonymous donation that was given to a Public Works employee while he was out plowing over the last snow event. $200 cash was given to the employee as a thank you for the work they are going. Stahmer stated the employee tried to refuse the money, but the anonymous resident insisted; the employee then brought the donation to his supervisor.

The formal receipt of the donation will be on the next City Council agenda for Council to determine where they would like the funds donated to. Staff suggested the Veteran's Memorial Fund.

No formal action was taken.

5. Bunting – Update on Taxing Legislation
Bunting stated in a meeting with Warren Limmer, Joyce Peppin, and Archway there was a discussion regarding a newly enacted tax on goods that are warehoused by companies that do not own the goods. Bunting stated Archway has stopped negotiating on their lease because of this legislation. Bunting wanted to make Council aware of the legislation and the efforts being made to get rid of it.

No formal action was taken.

6. Bunting – Update on Shop with a Cop
Bunting updated the Council on the Shop with a Cop program that our police department took part in. Bunting suggested possibility next year the Council could be included.

7. Adjourn
Jakel moved, Hall seconded a motion to adjourn at 2:47 p.m. Motion carried 4-0.

Respectfully submitted,

Stacy Scharber
Assistant City Administrator/Clerk