This transcript has been formatted with speaker names based on the context provided and the dialogue within the meeting. [00:00] **Mayor Kevin Zabel**: All right everybody, we're going to go ahead and call to order the meeting of the Oakdale City Council, October 29th, 2024. Chris, will you take the roll please? [00:09] **Christina Volkers (City Administrator)**: Council Member Inabritston? (Here). Council Member Morcomb? (Here). Council Member Willenbring? (Here). Mayor Zabel? (Here). [00:22] **Mayor Kevin Zabel**: Please join me for the Pledge of Allegiance. [Pledge of Allegiance]. All righty, first up on the agenda tonight, the approval of the agenda. Council members, we have a slightly amended version in front of us. Can I get a motion to approve the agenda as amended? [00:46] **Council Member Andy Morcomb**: So moved. [00:48] **Council Member Gary Severson**: Second. [00:49] **Mayor Kevin Zabel**: Motion and a second. All those in favor say aye. (Aye). Opposed? And the agenda is adopted. Next up we have approval of the minutes—two sets in front of us tonight. First up, Workshop meeting minutes from October 8th, 2024. Council members, any changes or corrections? I’ll look for a motion. [01:13] **Council Member Katie Wrich**: Moved. [01:14] **Council Member Andy Morcomb**: Second. [01:16] **Mayor Kevin Zabel**: Motion and a second. Final comments? All those in favor say aye. (Aye). Opposed? And the Workshop meeting minutes from October 8th, 2024 are approved. Next up we have regular meeting minutes from October 8th, 2024. Council members, any changes or corrections? I’ll look for a motion. [01:36] **Council Member Gary Severson**: So move. [01:38] **Council Member Katie Wrich**: Second. [01:39] **Mayor Kevin Zabel**: Motion and a second. Final comments? All those in favor say aye. (Aye). Opposed? And the regular meeting minutes from October 8th, 2024 are approved. Next up on our agenda are public hearings. We have a number of them tonight. First up is a public hearing for the issuance of an on-sale 3.2% malt liquor license to Quantum Sports LLC. Do we have a staff presentation? Administrator Volkers, welcome. [02:12] **Christina Volkers (City Administrator)**: Mr. Mayor, City Council, this application before you tonight for consideration is for a new on-sale 3.2% malt liquor license for Quantum Sports, as the Mayor said, doing business as Smash Hub. A public hearing notice was published 10 days prior as required. In addition, the Oakdale Police Department did do the background checks and found no disqualifying factors. So what's before you today is an action to—a suggestion to approve the issuance of the on-sale license. [03:00] **Mayor Kevin Zabel**: Council members, any questions for Chris? [03:02] **Council Member Andy Morcomb**: Just a quick question. I’m just curious why it's only till March 31st of 2025? Why such a short period? [03:10] **Christina Volkers (City Administrator)**: The license year, Council Member Morcomb, is April 1st. So if they're late, they only get it till the next renewal. [03:17] **Council Member Andy Morcomb**: Okay, perfect. Thank you. [03:19] **Mayor Kevin Zabel**: Council members, any other questions for Chris? At this time I'm going to open the public hearing and invite comment from the audience on this specific agenda item. If anybody would like to speak to this item, please feel free to step up to the podium, state your name and address for the record. Comments are confined to 3 minutes per individual and 20 minutes in total. At this time, please feel free to step up if you'd like to speak on this public hearing. Seeing none, I'm going to go ahead and close the public hearing and bring it back for Council consideration. Council members, any final questions? I’ll look for a motion. [03:59] **Council Member Andy Morcomb**: I’ll make a motion to approve the issuance of a new on-sale 3.2% Malt Liquor license to Quantum Sports LLC, DBA Smash Hub, at 895 Hale Avenue North for the current term which expires on March 31, 2025. [04:14] **Council Member Katie Wrich**: Second. [04:15] **Mayor Kevin Zabel**: Motion and a second. Final comments? All those in favor say aye. (Aye). Opposed? And the issuance of a liquor license has been approved. Next up we have another public hearing for certifying delinquent utility and inactive accounts. Chris, staff presentation? [04:31] **Christina Volkers (City Administrator)**: Mr. Stasica, our Finance Director. Welcome. [04:35] **Kyle Stasica (Finance Director)**: Thank you. Good evening, Mayor and Council. This public hearing is the annual certification for the delinquent utilities and inactive accounts to Washington County for payment on the 2025 property taxes. The certification is the city's collection process and follows state statutes. Currently, there are 293 accounts with an approximate balance of $138,000 for certification. If the certification is adopted by Council, any unpaid amounts would be submitted to the county. Just to note, staff would be collecting on these balances until December 15th. At that point, the $138,000 and 290 accounts is the maximum that would be submitted. Any collections until then would be included in their balances and then the remaining would be submitted to the county. I stand for any questions. [05:32] **Mayor Kevin Zabel**: Council members, any questions for Kyle? All right, at this time I'm going to open up the public hearing on this specific agenda item. Similar as before, if anybody would like to speak to the certification of delinquent utilities and inactive accounts, please approach the podium, state your name and address for the record, and proceed with your comments. Seeing none, I'm going to go ahead and close the public hearing, bring it back for Council consideration. Council members, final questions? I'll look for a motion. [06:05] **Council Member Katie Wrich**: I’ll make a motion to wave reading and adopt Resolution 2024-91, certifying certain delinquent utility and inactive accounts to Washington County for payment with 2025 property taxes. [06:20] **Council Member Andy Morcomb**: Second. [06:22] **Mayor Kevin Zabel**: Motion and a second. Final conversation? All those in favor say aye. (Aye). Opposed? And Resolution 2024-91 is adopted. Next up we have a public hearing on amendments to the Oakdale Marketplace and Oakdale Station Planned Unit Developments. Is there a staff presentation? Planning Manager Luke McClanahan, welcome. [06:45] **Luke McClanahan (Planning Manager)**: Thank you, Mayor and Council. So, I’ll try and be as brief as possible, but there's a lot of details here and I want to cover the important information. For these two Planned Unit Development amendments, the location is shown there on the screen. The Oakdale Station is on the left and Oakdale Marketplace is on the right. Just for geographical reference, I-694 is on the west and 34th Street is on the north. The area was originally designated for commercial uses back in the mid-2000s, pre-recession era. There are two different PUDs as I mentioned, but essentially they function as a unified neighborhood. [07:27] Market changes have occurred since the original plans have been adopted and deviations have been approved to facilitate certain development, notably the Harland Apartments and several other deviations approved by Council in the past, notably a couple restaurant areas. In response to a development proposal from October of last year, the City Council directed staff to conduct a PUD study of the area. The study began in early 2024; the city hired a consultant, WSB. An overarching goal was to determine appropriate land uses for both PUD areas. The proposed amendments we're bringing forward tonight are based on the study findings. [08:14] In general, we're proposing to allow additional land use options throughout the area. [Shows map]. This is the original site plan for Oakdale Marketplace from Pins all the way to Target. Development must be in substantial conformance with this PUD site plan unless a deviation is approved. Moving on to Oakdale Station, this is the original site plan for site plan option one—LA Fitness and then to the south, undeveloped land. Here is Oakdale Station site plan option two. [09:12] Before moving on, I want to explain what the current uses are. Commercial uses are allowed with the exception of Ideal Storage, which is essentially a non-conforming use. Then we have the Harland Apartments. Moving on to the proposed amendments: Based on the analysis, we want to designate land use options, allow residential on very specific lots, and specify certain commercial uses. We also want to introduce additional exterior design standards, more signage, and additional landscaping, particularly along the southern portion to help buffer from the existing residential neighborhood. [10:11] Here is Tract A, south of LA Fitness. Permitted uses we're proposing: commercial, retail, office, but also opening up to medium and high-density multi-family use. Moving on to Tract 1, the Ideal Storage site. Proposed permitted uses include self-service storage, commercial retail, brewpubs, taprooms, and multi-family residential townhomes. Tract 2 is a 1.5-acre vacant site; proposed uses include retail, service, restaurant including fast food, or townhomes. Tract 3 is the southeast quadrant of 34th Street and Marketplace. This track must contain at least one restaurant, which can be a convenience food restaurant with or without drive-thru. [11:34] Tract 4 is the parcel south of McDonald's and west of Target. Proposed uses: multi-tenant retail, restaurants including fast food, and brewpubs. Mixed-use would be permitted provided both commercial and residential are in a single building. The final Tract, Number 5, is the southern portion of the Target parking lot. It includes retail, restaurant, and brewpubs. [12:12] Finally, we have additional standards: a joint pylon sign off I-694, more wayfinding signage, and a provision for four-sided architecture so there's no apparent back side of a building. We also have requirements for sidewalks and additional landscaping. Finally, we're proposing a sewer availability charge surcharge for new residential development. Planning Commission heard this on August 1st. They recommended approval of the Oakdale Station PUD Amendment, but did *not* recommend approval of the Oakdale Marketplace PUD Amendment. Staff recommends approval of both. [13:30] **Mayor Kevin Zabel**: Thank you, Luke. Council members, any questions for Luke right off the bat? How about our City Attorney? I wasn't asking if you had any questions, I was asking if we had questions for you. Come on, Jim. [13:46] **Jim Thompson (City Attorney)**: Oh, sorry. No. [13:50] **Mayor Kevin Zabel**: At this time I'm going to go ahead and open the public hearing pertaining to amendments to the Oakdale Marketplace and Oakdale Station Planned Unit Development. Three minutes time limit per person. Please step up to the podium and state your name and address for the record. [14:12] **Jack Perry (Taft Law Firm)**: Mr. Mayor, members of the Council, City Administrator, City Clerk, and Mr. Thompson. Jack Perry here from the Taft Law Firm. I'm going to take three minutes both for Oakdale Marketplace LLC and for Launch Properties LLC. I sent a letter to you individuals last night. What you saw in there is something you'll never see: three different law firms all representing different parties told you the same thing. Lawyers don't agree on anything. What we are saying, in essence, is what the city planner just told you is fundamentally legally flawed. It's flawed because the planning department thinks that the plan attached to the PUD agreement trumps the PUD agreement. [15:10] The problem with that—I will read the language to you written by your Council, Tim Keen: "Allowable uses and vested rights. Except for the special conditions set forth in Section 10, allowable uses within the PUD shall be governed by the community commercial zoning district." The agreement trumps what the planning department just told you. As it relates to the uses, the allowable use and vested rights are set forth in Paragraph 11A and 11B. To be clear, if you go forward with this, you will be sued on this. You do not have the ability under this agreement to unilaterally do anything with this PUD. Period, end of story. And there's consequences if we sue you. [16:04] **Mayor Kevin Zabel**: Mr. Perry, your time has expired. Thank you. [16:06] **Jack Perry**: I will finish my sentence. This is a situation where there are constitutional issues because of the compensable takings clause. If you're liable, you pay for damages, my fees, and your own fees. You also are liable under contract— [16:21] **Mayor Kevin Zabel**: Your time has expired. Take your seat, please. Is there anybody else in the audience that would like to speak under the public hearing tonight? Seeing none, I'm going to go ahead and close the public hearing, bring it back up for Council consideration. City Attorney Thompson? [16:44] **Jim Thompson (City Attorney)**: Mr. Mayor, members of Council. Because of the threatened lawsuit over the Oakdale Marketplace PUD, I am going to recommend that you not act on that tonight. We just received the letter late in the day yesterday, and we have added an agenda item tonight for me to meet with you in closed session to discuss that threat. I want to emphasize that we will not be meeting to discuss the merits of whether these are good land uses; we're meeting solely so I can talk to you in confidence about the merits of any potential lawsuit. You're free to act on the Oakdale Station PUD if you want; there's no controversy over that one. [17:35] **Mayor Kevin Zabel**: So Jim, what would be the action item or the language to move past the first two items? [17:41] **Jim Thompson (City Attorney)**: A motion to continue it to a future meeting is fine. We'll make sure the developer and his attorney get notice. [17:58] **Mayor Kevin Zabel**: I will make a motion to continue consideration of Resolution 2024-89 and Ordinance Number 937 to a future meeting. Jim, language good? (Yes). There's a motion, is there a second? [18:13] **Council Member Andy Morcomb**: Second. [18:14] **Mayor Kevin Zabel**: Motion and a second. All those in favor say aye. (Aye). Opposed? And those are continued to a future meeting. Next up, I’ll look for a motion on the resolution for Oakdale Station. [18:28] **Council Member Katie Wrich**: I'll make a motion to wave reading and adopt Resolution 2024-90, approving the second amendment to the Oakdale Station PUD site plan. [18:38] **Council Member Gary Severson**: Second. [18:39] **Mayor Kevin Zabel**: Motion and a second. All those in favor say aye. (Aye). Opposed? And Resolution 2024-90 is adopted. Next action item, Jake, would you take that for us? [18:50] **Council Member Gary Severson**: Sure, I'll make a motion to wave reading and adopt Ordinance Number 936, amending the Oakdale Station Planned Unit Development to allow residential use on certain property. [19:02] **Council Member Andy Morcomb**: Second. [19:03] **Mayor Kevin Zabel**: Motion and a second. All those in favor say aye. (Aye). Opposed? And Ordinance 936 is adopted. Next up is open forum, but before we get to that, I do have a few proclamations. First up is a proclamation recognizing National First Responders Day, which was yesterday. [Reads Proclamation]. To Chief Newton and Chief Wold, thank you to your tremendous teams. This city owes you all a tremendous debt of gratitude. [21:18] We also have three proclamations recognizing business anniversaries: Canvas Health (55th Anniversary), Hearing of America (10th Anniversary), and The Waters Oakdale (10th Anniversary). Congratulations to all three. We are still under open forum. This is an opportunity for anybody in the audience to step up. [23:00] **Samantha Jean Grenell**: Hi, I'm Samantha Jean Grenell. I live at 395 Simmeron, Lake Elmo. I’m very bad at public speaking. I’ve had a lot of dreams and I’m literally living in my dream and it’s really weird. We've been hurt for far too long. I don’t know how I’m going to change the world, but God speaks to us and through us. My headlights are out, my car is breaking down, I ain't got no money to pay bills. I have a plan on how we can do this. Costco and Sam's Club have a lot that the world needs. If people just gave a little and had less greed... it's time for a change. [25:52] **Mayor Kevin Zabel**: Thank you. Is there anybody else that would like to speak under open forum tonight? [26:05] **Matthew Ball**: My name is Matthew Ball, I live at 6590 Second Street North in Oakdale. [26:11] **Joe Stoy**: My name is Joe Stoy, I live at 168 Greenway Avenue. I’ve been there since 1959, but I got a problem with my neighbor. He’s got thistle and it's coming into my yard. I talked to him and he gives me a smart attitude. I came here two weeks ago and met a guy named Chris, and he said he didn't think they could do anything because of a state law about weeds. [27:43] **Matthew Ball**: One of our concerns is that we feel we are forgotten in the older section of the city, Tanner Lake Heights. We want the Police Department to actually take action on traffic, speeding, and yard upkeep. Diversity is great, but new residents should be notified of the rules of keeping a home proper. We had a little boy get killed on Greenway a few years ago. We would like to see more police presence. [31:50] **Mayor Kevin Zabel**: City Administrator Volkers, can you send code enforcement down and start writing stuff up, please? [31:56] **Christina Volkers (City Administrator)**: 100% yes. We are staffed up now and we have a new code enforcement officer, Chris, as he referenced. We will follow up. [32:20] **Mayor Kevin Zabel**: Is there anybody else for open forum? [None]. Let's move on to consensus motions A through H. Can I have a motion to approve? [32:44] **Council Member Gary Severson**: I'll make a motion to approve consensus motions A through H as presented. [32:49] **Council Member Andy Morcomb**: Second. [32:51] **Mayor Kevin Zabel**: All those in favor say aye. (Aye). Next up, Staff Reports. Fire Chief Wold, welcome. Are you asking for money? [33:05] **Kevin Wold (Fire Chief)**: Good evening Mayor and Council. I’m here tonight to talk through approvals for Fire Department vehicles. We continue to run into supply chain issues and price increases. We have a new ambulance listed in the 2026 VERF, and we're looking to order that this year; we still won't take delivery until 2027. There's no financial commitment until delivery. The other is an Assistant Chief's response vehicle. We’re trying to get that ordered before the state contract ends this week. [34:38] **Council Member Andy Morcomb**: Didn't we just get you guys those Tahoes, or was that five years ago already? [34:42] **Kevin Wold (Fire Chief)**: Six years ago. The ambulance we're replacing will be 12 years old. [34:55] **Mayor Kevin Zabel**: Look for a motion. [34:56] **Council Member Katie Wrich**: I’ll make a motion to authorize the City Administrator to sign documents related to the ordering of Fire Department vehicles for 2025 and 2026. [35:06] **Council Member Andy Morcomb**: Second. [35:08] **Mayor Kevin Zabel**: All those in favor say aye. (Aye). Opposed? Go forth and order. Police Chief Newton, welcome. [35:25] **Nick Newton (Police Chief)**: Good evening. Tonight I'll be providing information concerning the business "Super Smoke." The owner requested a public hearing after receiving an administrative fine for selling THC product without a license. In 2023, their application was denied due to proximity to a daycare. On September 30, 2024, the Office of Cannabis Management notified us they were selling THC without a license, including high-potency THC which is outside the scope of state law. On October 4th, we inspected and confirmed they were selling without a license. We believe the administrative fine is a prudent measure for a business owner who knowingly sells without a license. [36:45] **Mayor Kevin Zabel**: Is there any ambiguity as to whether or not there's guilt here? [36:51] **Nick Newton (Police Chief)**: No. They received an official denial letter. [36:58] **Mayor Kevin Zabel**: Jim, can violations be stacked, or do we have to take infractions as standalone areas? [37:15] **Jim Thompson (City Attorney)**: This is before you for the licensee to appeal the administrative fine for a second violation of the tobacco license ordinance. While there's nothing specific in the tobacco license about THC, the Council has inherent authority to impose that penalty when a licensee violates city code related to selling products that require a license they didn't obtain. [38:52] **Mayor Kevin Zabel**: Is the applicant here tonight? [38:58] **Mahmoud Hanon (Super Smoke Manager)**: Hello Mayor and Council. I’m the manager. Regarding the citation in June for selling to a minor, that employee was fired immediately. Regarding the THC license, we applied in 2023 and thought we were able to sell. The state stopped by multiple times and didn't mention a license was needed. If I had an intention to sell illegally, why would I be filing and paying the 10% THC taxes? We have removed $50,000 worth of inventory. We just need a break; we got hit with so many fines. [42:30] **Mayor Kevin Zabel**: Thank you. Council members, I'll look for a motion. [42:43] **Council Member Katie Wrich**: I'll make a motion under Resolution 2024-95 to uphold the administrative fine. [42:50] **Council Member Andy Morcomb**: Second. [42:52] **Mayor Kevin Zabel**: All those in favor say aye. (Aye). Resolution 2024-95 is passed. Next up, Administrator's report. [43:24] **Christina Volkers (City Administrator)**: I have two items. First is Chapter 15 for Parks and Recreation. We are asking for motions to adopt Ordinance 935 and the summary publication. [43:55] **Council Member Gary Severson**: I’ll make a motion to wave reading and adopt Ordinance Number 935. [Seconded and Approved]. [44:18] **Council Member Andy Morcomb**: I’ll make a motion to adopt Resolution 2024-92 for summary publication. [Seconded and Approved]. [44:35] **Christina Volkers (City Administrator)**: Second is Chapter 10 regarding Liquor Control and Charitable Gambling. We need motions for Ordinances 933 and 934 and their summaries. [45:10] **Council Member Katie Wrich**: I’ll make a motion to adopt Ordinance Number 933. [Seconded and Approved]. [45:30] **Council Member Gary Severson**: I’ll make a motion to adopt Resolution 2024-96. [Seconded and Approved]. [45:50] **Council Member Andy Morcomb**: I’ll make a motion to adopt Ordinance Number 934. [Seconded and Approved]. [46:12] **Council Member Katie Wrich**: I’ll make a motion to adopt Resolution 2024-97. [Seconded and Approved]. [46:40] **Christina Volkers (City Administrator)**: We also have a $100 donation from Katherine Tronson for the Veterans Memorial. [47:05] **Council Member Gary Severson**: I'll make a motion to adopt Resolution 2024-93 accepting the donation. [Seconded and Approved]. [47:35] **Mayor Kevin Zabel**: [Announcements regarding Halloween at the Fire Station, Pumpkin recycling, Volunteer of the Year nominations, Zoning code survey, Winter parking restrictions starting November 1st, and Election Day voting hours]. Finally, the bills. Claims roster is 2.25 million. Can I have a motion? [52:50] **Council Member Katie Wrich**: Motion to approve claims as presented. [Seconded and Approved]. [53:10] **Mayor Kevin Zabel**: We're going to go into closed session. This is to discuss matters protected by attorney-client privilege relating to threatened litigation over the Oakdale Marketplace PUD. [53:40] **Jim Thompson (City Attorney)**: I’ve determined that the need for confidentiality to give legal advice outweighs the need for the public to participate. [53:50] **Mayor Kevin Zabel**: I will look for a motion to close the meeting pursuant to Minnesota Statute Section 13.05. [54:02] **Council Member Andy Morcomb**: So moved. [54:04] **Council Member Gary Severson**: Second. [54:06] **Mayor Kevin Zabel**: All those in favor say aye. (Aye). The October 29th, 2024 meeting of the Oakdale City Council is now closed.