This transcript has been updated with speaker identifications based on the provided city official list and the internal context of the meeting. [0:23] [Music] [0:44] [Music] [1:01] **Mayor Luke Hellier:** Good evening and welcome to the July 1st City Council meeting. If you'll join me for a moment of silence and the Pledge of Allegiance. [1:19] **All:** I pledge allegiance to the flag of the United States of America, and to the Republic for which it stands, one Nation under God, indivisible, with liberty and justice for all. [1:34] **Mayor Luke Hellier:** All right, Ms. Orlofsky, roll call please. [1:41] **Councilmember Michelle Volk:** Here. [1:42] **Mayor Luke Hellier:** Luke Hellier. John Bermel? [1:43] **Councilmember John Bermel:** Here. [1:44] **Mayor Luke Hellier:** Dan Wolter? [1:44] **Councilmember Dan Wolter:** Here. [1:45] **Mayor Luke Hellier:** Joshua Lee? [1:45] **Councilmember Joshua Lee:** Here. [1:46] **Mayor Luke Hellier:** Okay. Uh, moving on to item number three, Citizens Comments. This is an opportunity for those in the audience that want to address the council for up to three minutes. If you're here for an issue that's on the agenda, we typically will open up comment for that agenda item. Okay, seeing none, we'll move on. Additional agenda information—Mr. Miller? [2:12] **City Administrator Justin Miller:** Nothing tonight, Mayor. [2:14] **Mayor Luke Hellier:** Okay. Um, and now I'm going to read a proclamation recognizing the importance of volunteerism. I thought it was important as we get close to Pan-Prog week and all the many, many volunteer hours that are put in by the police reserves and civic groups and others, that it would be good to highlight that. So I'm going to read that and then I will sign it. Whereas the City of Lakeville recognizes that volunteerism is a cornerstone of community service, fostering a spirit of cooperation and promoting a sense of belonging among residents; and whereas civic groups and faith organizations in Lakeville play a vital role in addressing community needs, providing support, and enhancing the quality of life for all residents through their selfless acts of volunteerism; and whereas the volunteers from these groups dedicate countless hours to a wide range of activities including, but not limited to, supporting schools, organizing community events, assisting the elderly, providing meals to those in need, and contributing to the beautification and maintenance of our public spaces; and whereas the efforts of these volunteers have a profound and positive impact on the well-being of individuals and families in our community, fostering social cohesion, resilience, and a culture of giving; and whereas the City of Lakeville acknowledges that the contributions of volunteers are essential to the success of many programs and initiatives that benefit the community, often going unnoticed and without expectation of recognition or reward. Therefore, the city extends its deepest gratitude for all our volunteers, their unwavering commitment to help others, their dedication to making Lakeville a better place to live, and inspiration to others to engage in volunteerism. In addition, we encourage all residents to recognize the efforts of these volunteers and to consider participating in volunteer activities themselves, thereby strengthening the bonds of community and ensuring the continued prosperity and vitality of Lakeville. The city will continue to support and promote volunteerism by providing opportunities, resources, and recognition for those who serve the community through civic groups and faith organizations. Signed by me, Mayor Luke Hellier, on July 1st, 2024. Thank you for allowing me to do that. We will now move on to our Liquor Department mid-year report, and I'll turn it over to our Operations Manager, Tana Wold. [4:36] **Liquor Operations Manager Tana Wold:** Mr. Mayor and council members, thanks so much for the opportunity to present the Liquor Department's mid-year report tonight. Um, the first slide there, you can see—you probably already know—we changed our logo a little bit from the wine glass. So, um, we wanted to more effectively represent our operation, our community involvement, and our ownership by the city. So we've been slowly moving our branding over to this new logo. First slide: Sales revenues. Year-to-date our sales have increased by 0.85%, so we're basically flat but a little bit up. We're at $10.6 million in sales, and our year-to-date customer counts have increased 3.75%. The Emporium Room: Year-to-date we've rented out the Emporium Room 52 times to private events. Year-to-date we've also hosted 28 educational classes for our customers. These 28 classes have increased sales $101,000 over our average sales, so these have been very beneficial for us. E-commerce: Year-to-date we've had 265 online orders with a total of almost $18,000 in sales. The second half of this year, we're really going to put a strong focus on our online promotions throughout the end of the year and try to bolster that number a little bit more. Partnerships: During the month of March, we held our annual fundraiser to benefit our local food shelves where we donated almost $35,000 to them. Accomplishments: This is the third year in a row we were named a Top 100 Retailer in the United States by *Beverage Dynamics* magazine. I was able to go to the national conference earlier this month; I was asked to present on an expert panel to talk about our social media and I also accepted our award. More accomplishments: Jesse Rogers was named WSET Level 3 in Spirits with Merit. There are less than 10 in the state of Minnesota, so it's a very prestigious honor for her. She also competed in the prestigious "Somm Slam" earlier this year, which—she was the first off-sale person to do this since I think 2001, something like that. So that was fun for her; she placed second. And I also completed the Business of Cannabis Management certification through St. Cloud State earlier this year. I had to learn a little bit more about our growing category. Um, more accomplishments: We've been hiring quite a bit recently. We internally promoted Roman Tco to Assistant Manager at Kenrick. We also hired Jake M. and promoted him internally as well to a full-time lead at Galaxy. And we have an open Assistant Manager position right now at Keokuk that we're in the process of hiring for. Upcoming events: We have Taste of Lakeville coming up in August. We have, currently right now, our July fundraiser benefiting the children's environmental programming at Ritter Farm Park. And then in November, we'll be doing our annual fundraiser again for the Yellow Ribbon program. And you may or may not know, we're turning 90 this year. So, um, October will be our big anniversary celebration month. We'll be doing lots of fun events; we have a 5k Fun Run/Walk scheduled, a collaboration beer coming out with Badger Hill, numerous tastings in the store and the Emporium Room, and then we'll have a 90s-themed tasting party and lots of other fun things. So check out our calendar; we'd love to see you there. And that is all I have for tonight. I will now stand for questions. [8:29] **Mayor Luke Hellier:** Very good. Thank you. Council, any questions? [8:31] **Councilmember Dan Wolter:** Just a couple comments real quick. Good job on the logo; I like that it's clean, it's crisp, it says something. And I'm always impressed by the engagement with the community and how the liquor stores are able to raise funds for local nonprofits and how our community also jumps in and supports those. And for the collaboration beer, any hints on what the can's going to look like, or is that a secret? [9:02] **Tana Wold:** So right now we are having a contest, and the public was welcome to submit submissions for that. We're going to make a T-shirt, and the can is going to be the submissions that we received. We haven't gone through all of them yet, so it's kind of a surprise, but you'll be one of the first to know. [9:14] **Mayor Luke Hellier:** Joshua? [9:15] **Councilmember Joshua Lee:** Okay, thank you, T. [9:16] **Mayor Luke Hellier:** Okay. Moving on to item six, our Consent Agenda. Any items to highlight, Mr. Miller? [9:21] **City Administrator Justin Miller:** Thank you, Mayor and Council. Just a few tonight. Item 6D is a report on the Lakeville Police Department 2024 Body Worn Camera Audit. This is something that we're required to do by state statute to audit our use of our body cams, and once again we had no findings through that report. Item 6G is a donation to the Lakeville Police Department; this is a $750 donation from the Invictus Law Enforcement Motorcycle Club, and this is going to go toward the Pink Patch Project that the Police Department does every year. And then lastly, 6H is a resolution appointing election judges for the August 13th primary, and we appreciate them stepping up and doing that good work. [10:04] **Mayor Luke Hellier:** Very good. Um, Council, any item that you want to pull for further discussion? If not, I'll take a motion to approve. [10:11] **Councilmember Dan Wolter:** So moved. [10:12] **Councilmember John Bermel:** Second. [10:13] **Mayor Luke Hellier:** Okay. Any further discussion about the consent agenda? All those in favor say Aye. [10:17] **Council:** Aye. [10:18] **Mayor Luke Hellier:** Opposed? Consent agenda passes. We'll now move on to item number seven: Sundance Lakeville Preliminary Plat. And I think we'll turn it over to our applicant, Mr. Davis, to give us a rundown, and then we'll have a staff report. [10:44] **Mark A. Davis (Applicant):** Mayor and City Council, thank you so much for having us tonight. We're excited to be back to do another project in your great city. Uh, we've got a two-phase project. The first one we're presenting tonight is a 14,000 square foot building. It's been leased by Midwest ENT; they're a great group, long-term client of ours, and they're really excited to come to Lakeville and move their practice into your community. Um, we've got a second similar-sized site that we'll bring later on. We've got lots of interest in Lakeville and many groups that we know and work with that have focused their efforts really on the growth and the great community you have. And so I've got Pat Gana, the lead architect, here tonight and two people from Allon Engineering—the civil group and traffic group—if there's questions that you have as you go through your discussion. [11:30] **Mayor Luke Hellier:** Okay, very good. Thank you so much. [11:42] **Community Development Director Tina Goodroad:** Mayor and Council, um, I'll just highlight a few things before we turn over to discussion and any more questions of the applicant. But Mark A. Davis, Davis HRE representatives, have submitted plans for a preliminary plat for Sundance Lakeville, which does include two commercial lots. It's located just north of 162nd Street (or County Road 46) and west of Buck Hill Road. Um, the proposed property is zoned C3. And if you recall, last fall we approved a Comprehensive Plan amendment to reguide some of the property where the townhomes will be located for high density. The total acreage is 18.75 acres, and so both—with that land use amendment—both the medical office buildings and the housing development will be in compliance with both zoning and land use. This is the preliminary plat, so they're proposing to create one block and two lots for the two medical office buildings and Outlot B for the remaining property that will be platted in the future for the rental townhomes. And as you can see, the property abuts 162nd Street and Buck Hill Road. Um, there is an east-west private drive that will be constructed up to a point to serve the medical office buildings. Initially, that road will continue over to Kendale Drive in the future when the residential portion of the development is completed. A maintenance agreement will be required with a final plat approval. It will be evaluated by staff for details on construction, maintenance, as well as snow removal, and that'll be a requirement of the final plat. The County did review the project during their plat review. This site plan does show the two buildings in relationship with the rest of the development, and the County Plat Commission reviewed not only the access off Buck Hill Road but also made a note that access to Kendale Drive will change—may change in the future. The direction that they're taking is any left-hand turns for traveling public coming south will be limited. And so that will happen at a point—we do not have a date specific. I am expecting that the residential development will be built out, they'll test warrants, and determine when it is the right time to make that closure. So the private drive will allow for full access for the public as well as use by the medical buildings and anybody entering the residential area. And again, the private drive will be built as a city street; it'll function just like a city street with the agreements that we're putting into place. Some of the other details on the site plan: As Mr. Davis said, the first building in Phase 1 is a little over almost 14,000 square feet, and Phase 2 is about 12,076 square feet. Both projects will meet requirements for parking on an individual basis, but there will be a cross-access parking arrangement so that you could park over that property line depending on which medical building you are going to. The first phase is required to provide 63 spaces and they're providing 73; and Phase 2 is required to provide 54 spaces and they're allocating 57. So they are meeting all of those parking requirements for the use. And then on the landscaping plan, they're proposing a variety of evergreens as well as overstory and ornamental trees around abutting the property along County Road 46, Buck Hill Road, the private drive, as well as interior to the site to really break up the parking lot and to provide some green space, and then along the building perimeter. So all of the landscaping requirements are being satisfied. As Mr. Davis mentioned, they do have a tenant for this first building. This is a rendering of the elevation. It's going to consist of brick, stone, glass, and some architectural metal where the signage is focused. All of the requirements for design for the C3 district are being met with this elevation. And then here's a sneak peek of Phase 2 and what that building will look like. The Planning Commission did hold a public hearing on June 20th and they unanimously recommended approval at that meeting. I would stand for any questions or the applicant. [16:13] **Mayor Luke Hellier:** Okay. Council, any questions or comments? [16:16] **Councilmember Joshua Lee:** One question about—thank you to the microphone people. Um, my apologies. Could you explain a little bit more about how the maintenance agreement works for the new access road that'll be constructed? When you say it functions as a city street, what does that actually entail? [16:40] **Tina Goodroad:** It means, um, well from a usability standpoint, there will be no prevention of the public being able to use it. It'll look like a normal city street, it'll drive like a normal city street, it's the same width as a normal city street. But from a maintenance standpoint, we will not have the responsibility of maintaining it—if there's potholes and so forth. So the underlying ownership of these lots and blocks will own it. It works in this scenario because we're dealing with just a couple of entities: we're dealing with Mr. Davis's entity for the medical office buildings, and then we're dealing with, I believe it's Timberland, the underlying owners of the rental property. And so those two, through both of those final plats, will enter into the same agreement for that maintenance—for the construction first and foremost. So just like any development that has to build a city street, we include those requirements into a development contract. We will include that into our development contract and then have an additional maintenance agreement for, again, the long-term maintenance as well as the snow removal. There's a chance we may work with these entities and provide that snowplow service—that is an option we can work with Public Works about—but we want this street to for all intents and purposes operate for the neighborhood that may have to use it eventually when that access is changed, as well as any visitors to the medical facility and the new residents. [18:10] **Councilmember Joshua Lee:** Thank you. [18:41] **Councilmember Dan Wolter:** Other questions? Um, my question has to do with the Plat Commission recommendation. I have to admit, maybe it's just because I'm new, I don't recall a Plat Commission recommendation like this before. Is it uncommon? I after watching the hearing—the Planning Commission hearing—I have to say I agree with the concerns raised about that limiting of the left turn. So talk to us a little bit about that Plat Commission. Obviously we're not there yet, it's when the residential development happens, but how does that all work? [18:55] **Tina Goodroad:** Yeah, um, thank you, Councilmember Wolter. I was not the planner on this; Frank attended those meetings. I think, you know, the County's going to look at... I think the idea's been kind of some time in thinking, is my understanding of the County, in knowing that as these neighborhoods in this area have developed, we've had this 18.75 acres remain undeveloped. And so it's just a matter of time with this amount of impact at how it's going to impact the functionality of Kendale, and the County is all about access and making sure that flow is maintained. And so I think that's where they're coming from with this change because of this development. But it's going to take the full development of both the medical office as well as the residential to have those trips to cause that change. I hope that answers your question. [19:55] **Councilmember Dan Wolter:** Thank you. [19:59] **Mayor Luke Hellier:** Okay. Oh, sorry, Michelle. [20:00] **Councilmember Michelle Volk:** Um, just a quick thought. So if they were to change that on Kendale, what about across the street from them behind the bowling alley? I don't know the name of the street; I just know that it's there. It's almost like across the street—I mean cross 46. Would they also limit left turn out of there then too? Because you can turn left there, I believe. [20:25] **Tina Goodroad:** That is an excellent question. I don't know the answer to that. I don't know if the engineer knows; he may be able to help me answer that one. [20:31] **Nick Rage (Aline Engineering):** Hello, Nick Rage with Aline Engineering. On the south side of Kendale, it's actually already restricted to a 3/4 [intersection]. You can't make a left out there. Um, you can make a left in at the south leg at Buck Hill Road. Um, so the County is already—when they built that intersection—they already restricted the south side, and the intent is to match the north leg with the south side. [21:00] **Councilmember Michelle Volk:** So that’s... okay. Per the County. I think the map... behind Bolero into the neighborhood you can't... right? [21:10] **City Administrator Justin Miller:** Sorry, Justin. Yeah, we might call this the Daryl Mory Memorial Intersection, because I know they fought long and hard over this when the Bolero project came in. Um, if you look at the aerial, it kind of veers to the right, and so that prevents you from making that left turn. [21:40] **Councilmember Michelle Volk:** I see now. Got it. So it’s... yeah, okay. I see that. All right, thank you. I only live over around there but I just don't remember. [21:55] **Tina Goodroad:** It's my understanding from the traffic study as well that the natural traffic increase of 160th is going to increase over time, and so that is part of that planning. It's not that this particular development in and of itself is going to cause that additional change or that trigger to restrict that access, but that in the next 10, 15, 20 years, it's the natural increase of just density around the area. [22:05] **Mayor Luke Hellier:** Yeah, the cumulative impact. Correct. [22:07] **Mayor Luke Hellier:** Unfortunately it's like a state highway, not a county road. Question for you on Kendale: I know it's not necessarily on... you know, when you drive there now it's like a minor kind of road. Can you talk a little bit about how the enhancements will go eventually there? I think we're adding curb and gutter and those type of things? [22:25] **Tina Goodroad:** So it’ll feel... yeah. And the reason I say that, I know that that came up quite a bit in the Plat Commission—people are concerned about the capacity and so forth. My understanding, and the engineer can correct me if I'm wrong, but it'll be, you know, urbanized improvements plus a sidewalk along Kendale. [22:42] **Mayor Luke Hellier:** Okay. Um, this is not a public hearing, but we typically will open it up if there's anyone in public to comment. I don't think there's anybody for that. Okay. Council, any further questions? [22:54] **Councilmember Michelle Volk:** I do have one more question, I guess. So with the agreement being that it's a private road, and because it's so costly to... how I want to say... take care of the asphalt, is there like a trigger between the city saying "you really need to do something"? Because it's private, usually you probably only can make a suggestion. But if enough people are using it as if it's a city street because of the housing development behind there and not being able to make a left turn any longer and then they're going to utilize it... um, I guess I'm just trying to make sure, I'm trying to understand in the agreement how strongly we can encourage to make sure that street’s kept up since it's private. Thank you. [23:55] **Tina Goodroad:** That's a great question. Um, we haven't worked out the details of the maintenance agreement; that will be part of the final plat. It'll be a statement in the development contract that a maintenance agreement has to be created, prepared, and agreed to. Um, I just made note of that. I don't know if the attorney wants to add any comments, but my assumption is we can work with them on some of those kinds of points of wear and tear and so forth that we observe in terms of getting them to pay attention to it. [24:26] **Amy Schmidt (Acting City Attorney):** Mayor, members of the Council, I'm Amy Schmidt. Just by way of introduction, I'm filling in for Andrea tonight. Um, I think the answer has already been said that, you know, in the maintenance agreement and in the development agreement we can address those kinds of concerns. Um, if it's to be, you know, the equivalent of a city street, then the expectation would be that it would be built to city street standards and maintained in the same way, if that answers your question. [25:10] **Councilmember Michelle Volk:** How many agreements do we have like that across the city? [25:15] **Tina Goodroad:** The one I'm most familiar with that exists is Idyllic Way through Heritage Commons. That north-south roadway through Heritage Commons is a private street. [25:35] **Councilmember Michelle Volk:** It doesn't get a lot of... I'm a little nervous about this, about handing it over, I guess. I almost feel like it should be our responsibility, eventually turned over to us when it's fully developed, um, because I've run into a situation or two where I've asked, "Oh, you know, there's some potholes," and those were private exits from businesses, etc. You know, and so that's the reason it kind of concerned me is because all we could do is make the suggestion. Now, the business did take care of it after the suggestion was made, but that's just a small area, not a full street that's going to be getting car traffic—I mean, there's going to be car traffic. [26:30] **Mayor Luke Hellier:** Would the agreement, though, have, you know, kind of language in there that the city can hold them responsible? I mean, unlike, you know, an apron out of a... so there would be... we could enforce a contract language if it's not being upheld, I think, right? [26:38] **Amy Schmidt:** Yes. Yes. [26:40] **Councilmember Michelle Volk:** Okay. I guess I would strongly make sure that we have that pretty tight so that if we make the suggestion based on engineering, as they're looking at streets... and we'd also have to encourage that our engineers, just because it's a private street, should be going over there to check the status of the asphalt to see where it's laying in the process of when it needs to have an overlay, etc. So just because it's private, don't set it aside. [27:10] **Tina Goodroad:** Exactly. Understood. [27:14] **Councilmember Joshua Lee:** It was very similar to my question. I just want to make sure that we're able to write something in there about the asphalt standards. But is there also any kind of an escrow that they'd be required to set aside? Because I know that once these things need to happen, you know, they're not cheap. Road maintenance has a cost, and would there be any kind of escrow that they would need to put in to make sure that the money is there when the time comes? [27:32] **Amy Schmidt:** There certainly would be throughout the construction and for the completion and, you know, basically some language in terms of the acceptance of the construction to determine that it's built to city standards. Long-term escrow, I'm not certain if that's typical in these kind of maintenance agreements. No. [27:47] **Mayor Luke Hellier:** Okay. Uh, I think we kind of dove right into the traffic and the details of the project, but I just want to say I think this is a good project. Commercial development—we need medical building in space. So I appreciate the developer bringing it forward, and with that, I'm happy to move approval. I have moved to approve the preliminary plat of Sundance Lakeville. Is there a second? [28:20] **Councilmember John Bermel:** Second. [28:21] **Mayor Luke Hellier:** Any further discussion about... [28:29] **Councilmember Joshua Lee:** No discussion, but just a comment just acknowledging the work that the Planning Commission and the residents that attended those meetings did to flush out some of those concerns. I know that there are other conversations that will continue as the remainder of this plat is developed, so just appreciate the time and continued effort there. [28:50] **Mayor Luke Hellier:** Well said. Anyone else? Okay. Roll call, please. [28:53] **City Clerk Ann Orlofsky:** Volk? [28:57] **Councilmember Michelle Volk:** Aye. [28:58] **City Clerk Ann Orlofsky:** Hellier? [28:58] **Mayor Luke Hellier:** Aye. [28:59] **City Clerk Ann Orlofsky:** Bermel? [28:59] **Councilmember John Bermel:** Aye. [29:00] **City Clerk Ann Orlofsky:** Wolter? [29:00] **Councilmember Dan Wolter:** Aye. [29:01] **City Clerk Ann Orlofsky:** Lee? [29:01] **Councilmember Joshua Lee:** Aye. [29:06] **Mayor Luke Hellier:** Very good. Thank you, Tina. Uh, moving on to unfinished and new business—I don't think we have any. Announcements: next regular City Council meeting is Monday, July 15th at 6 o'clock. Our next work session is July 22nd. And don't forget that we have fireworks on Thursday at Century Middle School, and Pan-Prog starts slowly on Saturday with a cricket tournament and finishes a strong week after that. With that, I'll take a motion to adjourn. [29:36] **Councilmember John Bermel:** So moved. [29:37] **Councilmember Dan Wolter:** Second. [29:38] **Mayor Luke Hellier:** All those in favor say Aye. [29:40] **Council:** Aye.