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HomeMy WebLinkAbout2011_04_26 CC PKT1 Brookings City Council Tuesday, April 26, 2011 City Hall Council Chambers 311 Third Avenue The City of Brookings is committed to providing a high quality of life for its citizens and fostering a diverse economic base through innovative thinking, strategic planning, and proactive, fiscally responsible municipal management. 4:00 p.m. Reception for Council Member Mike Bartley The citizens of Brookings are cordially invited to attend a reception honoring Council Member Mike Bartley for his dedicated service to the City of Brookings. The reception will be held on: Tuesday, April 26, 2011 from 4:00 to 5:00 p.m. City Hall Community Room 5:00 p.m. Work Session Work sessions are open to the public. During the work session the city staff would brief the council on items for that particular meeting, introduce future topics, and provide a time for Council members to introduce topics. 1. Update on Brookings Municipal Utilities Wastewater Plant. 2. Brookings Economic Development Corporation (BEDC) Land Sale Proposal. 3. City Council Member Ex-Officio Reports. 4. Joint Powers Board members‘ Report. 5. City Council member introduction of topics for future discussion. 6. Council Invites & Obligations *Any Council member may request discussion of any issue at a future meeting only. Items cannot be added for action at this meeting. A motion and second is required starting the issue, requested outcome, and time. A majority vote is required. 6:00 p.m. REGULAR MEETING 1. Call to order. 2. Pledge of Allegiance. 3. Record of Council Attendance. 4. Action to approve the following Consent Agenda Items:* A. Action to approve the agenda. B. Action to approve City Council minutes. C. Action on Mayoral appointments. D. Action on Resolution No. 50-11 authorizing the City Manager to sign a mid-term renewal / Liquor Operating Agreement for the Lantern Lounge/Half Pint Ent. E. Action on Resolution No. 51-11 authorizing the City Manager to sign a mid-term renewal / Liquor Operating Agreement for 9 Bar Nightclub/Nine Inc. F. Action on Resolution No. 53-11, acknowledging reciprocal land use between the City of Brookings and Brookings Municipal Utilities. 2 Action: Motion to Approve, Request Public Comment, Roll Call *Matters appearing on the Consent Agenda are expected to be non-controversial and will be acted upon by the Council at one time, without discussion, unless a member of the Council or City Manager requests an opportunity to address any given item. Items removed from the Consent Agenda will be discussed at the beginning of the formal items. Approval by the Council of the Consent Agenda items means that the recommendation of the City Manager is approved along with the terms and conditions described in the agenda supporting documentation. Open Forum/Presentations/Reports 5. Open Forum 6. SDSU Student Senate Report Contract Awards / Change Orders 7. Renewal of Management Contract for the Swiftel Center. Action: Motion to Approve, Request Public Comment, Roll Call 8. Action on Resolution No. 54-11, awarding a contract for 2011-07STI Main Avenue and Front Street Project. Action: Motion to Approve, Request Public Comment, Roll Call 9. Action on Resolution No. 55-11, awarding a contract for 2011-06STI Chip Seal Project. Action: Motion to Approve, Request Public Comment, Roll Call 10. Action on Resolution No. 56-11, awarding a contract for a police vehicle. Action: Motion to Approve, Request Public Comment, Roll Call First Readings** 11. Ordinance No. 9-11: An Ordinance providing for the sale of food, beverages and merchandise by temporary vendors upon sidewalks in the Central Business District in the City of Brookings. Public Hearing: May 10th 12. Ordinance No. 10-11: An Ordinance entitled ―An Ordinance authorizing a supplemental appropriation to the 2011 Budget for the purpose of providing for additional funds for the operation of the City. Public Hearing: May 10th 13. Ordinance No. 11-11: An Ordinance to change the Zoning within the City of Brookings (Foster): the NE ¼ of Section 19-T110N-R49W, excluding Lots H-4, H-5, the east 1620 feet, and the platted areas thereof be and the same is hereby rezoned and reclassified from an Agricultural A District to an Industrial I-1R District; and the east 1,620 feet of the NE ¼ of Section 19-T110N-R49W, excluding Lots H-4, H-5, and platted areas thereof be and the same is hereby rezoned and reclassified from an Agricultural A District to an Industrial I-1 District. Public Hearing: May 10th **No vote is taken on the first reading of an Ordinance. The title of the Ordinance is read and the date for the public hearing is announced. 3 Second Readings / Public Hearings 14. Ordinance No. 05-11: An Ordinance amending Section 6-6 of the Code of Ordinances of the City of Brookings, South Dakota and pertaining to Video Lottery Machine Placement in the City of Brookings, South Dakota. Action: Open & Close Public Hearing, Motion to Approve, Roll Call 15. Public hearing and action on Temporary Liquor License requests for The Shamrock for events on 5/7 (Reception) and 5/7 (Graduation Party). Action: Open & Close Public Hearing, Motion to Approve, Roll Call Other Business 16. Action on Resolution No. 57-11, establishing charges for Collections and Disposal of Refuse in the City of Brookings, South Dakota. Action: Motion to Approve, Request Public Comment, Roll Call 17. Capital Project budget adjustment for Bob Sheldon Field concession/restroom building. Action: Motion to Approve, Request Public Comment, Roll Call 18. Brookings Health Systems Year-End Report. Action: Informational 19. Action to direct the City Manager to investigate the feasibility of Tax Increment District Number Five (5). Action: Motion to Approve, Request Public Comment, Roll Call 20. Continued discussion on New Liquor Licenses policies issues.  Proposed Operating Agreement revisions - Economic assessment criteria for Liquor Operating Agreements.  Liquor Policy revisions  Applicant Criteria  Transfer Fee Discussion – clarification on fee  Finalize Process, Schedule & Application Packet 21. Adjourn. Brookings City Council Tim Reed, Mayor Mike Bartley, Deputy Mayor & Council Member Council Members Tom Bezdichek, John Kubal, Mike McClemans, Jael Thorpe, Keith Corbett Council Staff: Jeffrey W. Weldon, City Manager Steven Britzman, City Attorney Shari Thornes, City Clerk View the City Council Meeting Live on the City Government Access Channel 9. Rebroadcast Schedule: Wednesday @ 1pm Thursday @ 7 pm Friday @ 9 pm 4 Saturday @ 1 pm The complete City Council agenda packet is available on the city website: www.cityofbrookings.org If you require assistance, alternative formats, and/or accessible locations consistent with the Americans with Disabilities Act, please contact Shari Thornes, City ADA Coordinator, at 692-6281 at least 3 working days prior to the meeting. City Council Packet April 26, 2011 5 5:00 P.M. WORK SESSION ** Work sessions are open to the public. During the work session the city staff would brief the council on items for that particular meeting, introduce future topics, and provide a time for Council members to introduce topics. 1. Update on Brookings Municipal Utilities Wastewater Plant. Brookings Municipal Utilities has hired HDR Engineering to conduct the facility plan study of the City‘s aging wastewater plant. This study is necessary to start the planning process to renovate the plant, which is expected to be constructed somewhere in the 2013-2016 timeframe. BMU and HDR representatives will be present to brief the City Council and public on the proposed project. Estimate Time: 20 Minutes City Council Packet April 26, 2011 6 5:00 P.M. WORK SESSION ** Work sessions are open to the public. During the work session the city staff would brief the council on items for that particular meeting, introduce future topics, and provide a time for Council members to introduce topics. 2. Brookings Economic Development Corporation (BEDC) Land Sale Proposal. Economic Development Policy Purpose Statement Brookings Economic Development Corporation is requesting City Council approval of the attached resolution to expedite the transfer of land for economic development. Approving the transfer of economic development land in one blanket resolution will greatly assist efforts to compete for both local business and industry expansion and the recruitment of new business and industry to the community. The ability to provide information and close deals in a timely manner is essential. BEDC is requesting that the transfer price be set at $0, or $1, per parcel to provide a high degree of latitude in the negotiation process. To ensure that the community and City of Brookings receive an adequate return on investment BEDC has formulated a review process, criteria to calculate return on investment, and enforceable business/industry performance measures. We look forward to discussing this important topic with the City Council. Estimate Time: 20 Minutes City Council Packet April 26, 2011 7 DRAFT – FOR DISCUSSION PURPOSES BEDC Economic Development Policy Recommendation – Process 1. Approve Resolution - see attached Steve Britzman draft. (BEDC desires - a statement regarding the blanket transfer of economic development land to BEDC for qualifying projects.) 2. Qualifying projects are broadly characterized within the following categories: a. Industry Target: i. Plant Sciences & Food Production – Food & Energy Crop Research and Production, Value –added Processes ii. Green Energy – Solar, Wind, PV, Biomass, Energy Management iii. High Technology – Imaging Sciences, Financial Analytics, Engineered Products and Services, Materials R&D and Analysis iv. Animal Health – Vaccines, Diagnostics, Nutrition v. Human Health – Food & Nutrition, Drugs & Drug Delivery, Genetic & Diagnostic Testing Services, Value-added processes vi. Retail – select retail establishments b. Industry Type: i. Research & Development ii. Professional Services iii. Production c. Return on Investment (ROI) Scorecard (See attached) d. ROI/Incentive Investment break points i. TBD e. Required performance guarantees i. FTE‘s, Wages and Total Payroll ii. Capital Investment – Equipment & Leasehold Improvements 3. Decision-Making Process : a. Investment Committee Composition – three to five board appointed BEDC members. (Two city council members, if deemed necessary.) BEDC Director and City Manager serve as ex-officio members. (Committee is empowered to close the deal.) b. Scoring – to be conducted based upon the following two criteria as depicted in the ROI Scorecard: i. Objective Criteria – 75% of total score ii. Subjective Criteria – 25% of total score 4. Economic Development Fund Replenishment : a. Several methods exist to replenish an economic development investment fund as follows: i. Land sale proceeds. City Council Packet April 26, 2011 8 ii. Portion of estimated sales tax of new projects. iii. Portion of 2nd penny tax similar to VPC 3rd penny tax funding mechanism. (The preferred method to establish an ongoing funding mechanism would be this option.) Since this fund would likely not be used every year it could be established with a $1 million cap. Other decisions, such as the use of TIF Districts in these improvement areas could also be considered. City Council Packet April 26, 2011 9 Resolution No. XX-11 A Resolution Authorizing the Transfer of Real Property to the Brookings Economic Development Corporation, Inc. Pursuant to SDCL 9-27-36 for Economic Development Purposes Be It Resolved by the City Council of the City of Brookings, SD as follows: Whereas, the Brookings Economic Development Corporation, Inc., (referred to herein as ―BEDC‖), which is a local nonprofit industrial development corporation, has determined that its economic development efforts will be furthered if it can expedite its real estate transactions due to the time intensive competition for companies evaluating possible sites; and Whereas, SDCL 9-27-36 authorizes a municipality to sell on a negotiated basis its real property to a local industrial development corporation for economic development purposes; and Whereas, in order to assist BEDC expedite its real property transactions, the City agrees to sell certain real property to BEDC for economic development purposes, with the description, selling price and terms of sale of the real property set forth in this Resolution; Now Therefore, the City Council of the City of Brookings, South Dakota, approves the foregoing policies and as follows: A. That the City agrees to sell the real property described on Exhibit ―A‖ and for the price per parcel also as set forth therein. The City will convey title to the above described property to the Brookings Economic Development Corporation, Inc. when BEDC provides notice to the City of a qualifying prospect and identifies a specific parcel or parcels as set forth on Exhibit ―A‖, and thereafter pays the full purchase price; B. That any real estate title transfers by the City to BEDC shall contain covenants which require that the real property be used only as the site for a company or organization which constitutes an economic development purpose consistent with this Resolution; and C. That the City Manager and City Clerk are authorized to execute the documents and agreements in accordance with this Resolution. Passed and approved on the (day) of (month), 2011. CITY OF BROOKINGS: ATTEST: Tim Reed, Mayor Shari Thornes, City Clerk Exhibit “A” Description of Property Price per Parcel Economic Impact & ROI Scorecard (10 Year) Objective Criteria Employment Impact  #FTE's Wage (Per Hour)Total 1 48 100,000                                4 38 320,000                                2 36 150,000                                1 31 65,000                                  10 29 600,000                                Total Wage Impact 1,235,000                             Wage Impact Multiplier (2.5)3,087,500                             Capital Investment & Construction Impact Equipment Value Tax Rate 15,000,000 0.02 300,000                                Building or Leasehold Imp. Value Annual city property taxes after formula 10 Year 30,000,000 62,696 One Time Constuction Impact Construction Impact 30,000,000 664,213 per 1 M with Multiplier 19,926,390                           Total Capital Investment Impact 20,289,086                           Utility Sales Impact (Annual Usage) Electric Kwh per Year Tax Rate Annual Taxes 566,122 0.02 11,322 Water 119,643 0.02 2,393 Sewer 317,817 0.02 6,356 Natural Gas (Mcf) 54,000 Total Utility Sales Impact 20,072 Total Objective Criteria Impact 54,743,801                 Industry Benefit Subjective Criteria    (1 to 5 High) Nature of Firm’s Brookings Location     Start‐up     Satellite 4     Relocation (incl. HQ)      Existing Industry Retention or Expansion Other Industry/Firm Stablity 4 Competition for Existing Labor 4 Benefit Package 3 Adds Value to Local Products 5 Potential for Spin‐off/Supplier Firms 3 Diversifies Economic Base 5 SDSU Alliance/Student Retention 5 Total Subjective Criteria Score 29 ROI Score (10 Year Calculation) City Investment      Land 570,000      Discrentionary Property Tax Loss 125,392      Utilities 92,000      Sales Tax Rebate.0      Other 0 Total 787,392 Industry Benefit       Wages 30,875,000      Tax Benefit  (Start‐up & On‐going annual)20,853,350      Utility Tax Generation 200,717 Total 51,929,067 ROI 66 City Council Packet April 26, 2011 12 5:00 P.M. WORK SESSION** Work sessions are open to the public. During the work session the city staff would brief the council on items for that particular meeting, introduce future topics, and provide a time for Council members to introduce topics. 3. City Council Member Ex-Officio Reports. Pursuant to council direction, ―City Council Member Ex-Officio Reports‖ will be a standing agenda item at all Council Work Sessions. The Council Members that serve as Ex-Officio members on the Brookings Health System Board of Trustees and Utility Board will provide verbal reports regarding recent meetings they have attended. Brookings Municipal Utility Board: 1. Council Member Bezdichek 2. Council Member Corbett Brookings Health Systems Board: 1. Council Member Kubal 2. Council Member McClemans City Council Packet April 26, 2011 13 5:00 P.M. WORK SESSION ** Work sessions are open to the public. During the work session the city staff would brief the council on items for that particular meeting, introduce future topics, and provide a time for Council members to introduce topics. 4. Joint Powers Board Council Member’s Report. Pursuant to council direction, ―Joint Powers Board City Member Updates‖ will be a standing agenda item at all Council Work Sessions. The Council Members serving on the Joint Powers Board will provide verbal updates regarding recent meetings they have attended. Mayor Tim Reed & Council Member Kubal City Council Packet April 26, 2011 14 5:00 P.M. WORK SESSION ** Work sessions are open to the public. During the work session the city staff would brief the council on items for that particular meeting, introduce future topics, and provide a time for Council members to introduce topics. 5. City Council member introduction of topics for future discussion. Any Council member may request discussion of any issue at a future meeting only. Items cannot be added for action at this meeting. A motion and second is required stating the issue, requested outcome, and time frame. A majority vote is required. City Council Packet April 26, 2011 15 5:00 P.M. WORK SESSION ** Work sessions are open to the public. During the work session the city staff would brief the council on items for that particular meeting, introduce future topics, and provide a time for Council members to introduce topics. 6. Council Invites & Obligations. Date Day Event & Brief Description Time Location / Town / Address / Directions April 26-27 Tuesday- Wednesday Governor‘s Economic Development Conference Best Western Ramkota – Sioux Falls April 28 Thursday Airport Board Meeting – Aero Metric Presentation 4:00 p.m. City Hall Meeting Room May 3 Tuesday New Council Member Orientation 1:30 p.m. City Hall Meeting Room May 10 Tuesday Council Meeting 5:00 p.m. Council Chambers May 24 Tuesday Council Meeting 5:00 p.m. Council Chambers June 9 Thursday 139th Brigade Support Battalion Logistics Task Force Activation 2:00 p.m. PAC June 14 Tuesday Council Photos 4:30 p.m. Council Chambers June 14 Tuesday Council Meeting 5:00 p.m. Council Chambers June 18-26 Friday- Saturday Open World Leadership Center – Russian Delegates in Brookings June 28 Tuesday Council Meeting 5:00 p.m. Council Chambers July 12 Tuesday Council Meeting 5:00 p.m. Council Chambers July 26 Tuesday Council Meeting 5:00 p.m. Council Chambers August 9 Tuesday Council Meeting 5:00 p.m. Council Chambers August 23 Tuesday Council Meeting 5:00 p.m. Council Chambers September 13 Tuesday Council Meeting 5:00 p.m. Council Chambers September 15- 17 Thursday- Saturday NLC 19th Annual Leadership Summit Minneapolis, MN September 27 Tuesday Council Meeting 5:00 p.m. Council Chambers October 4-7 Tuesday- Friday SDML Annual Conference Sioux Falls, SD October 11 Tuesday Council Meeting 5:00 p.m. Council Chambers October 25 Tuesday Council Meeting 5:00 p.m. Council Chambers City Council Packet April 26, 2011 16 Date Day Event & Brief Description Time Location / Town / Address / Directions November 8 Tuesday Council Meeting 5:00 p.m. Council Chambers November 8-12 Tuesday- Saturday NLC Congress of Cities Phoenix, AZ November 22 Tuesday Council Meeting 5:00 p.m. Council Chambers December 13 Tuesday Council Meeting 5:00 p.m. Council Chambers December 20 Tuesday Council Meeting 5:00 p.m. Council Chambers City Council Packet April 26, 2011 17 6:00 p.m. REGULAR MEETING 1. Call to order. 2. Pledge of Allegiance. 3. Record of Council Attendance. 4. Action to approve the following Consent Agenda Items:* A. Action to approve the agenda. B. Action to approve City Council minutes. C. Action on Mayoral appointments. D. Action on Resolution No. 50-11 authorizing the City Manager to sign a mid-term renewal / Liquor Operating Agreement for the Lantern Lounge/Half Pint Ent. E. Action on Resolution No. 51-11 authorizing the City Manager to sign a mid-term renewal / Liquor Operating Agreement for 9 Bar Nightclub/Nine Inc. F. Action on Resolution No. 53-11, acknowledging reciprocal land use between the City of Brookings and Brookings Municipal Utilities. Open Forum/Presentations/Reports 5. Open Forum 6. SDSU Student Senate Report Contract Awards / Change Orders 7. Renewal of Management Contract for the Swiftel Center. 8. Action on Resolution No. 54-11, awarding a contract for 2011-07STI Main Avenue and Front Street Project. 9. Action on Resolution No. 55-11, awarding a contract for 2011-06STI Chip Seal Project. 10. Action on Resolution No. 56-11, awarding a contract for a police vehicle. First Readings (Public Hearings: May 10th) 11. Ordinance No. 9-11: An Ordinance providing for the sale of food, beverages and merchandise by temporary vendors upon sidewalks in the Central Business District in the City of Brookings. 12. Ordinance No. 10-11: An Ordinance entitled ―An Ordinance authorizing a supplemental appropriation to the 2011 Budget for the purpose of providing for additional funds for the operation of the City. 13. Ordinance No. 11-11: An Ordinance to change the Zoning within the City of Brookings (Foster): the NE ¼ of Section 19-T110N-R49W, excluding Lots H-4, H-5, the east 1620 feet, and the platted areas thereof be and the same is hereby rezoned and reclassified from an Agricultural A District to an Industrial I-1R District; and the east 1,620 feet of the NE ¼ of Section 19-T110N-R49W, excluding Lots H-4, H-5, and platted areas thereof be and the same is hereby rezoned and reclassified from an Agricultural A District to an Industrial I-1 District. Second Readings / Public Hearings 14. Ordinance No. 05-11: An Ordinance amending Section 6-6 of the Code of Ordinances of the City of Brookings, South Dakota and pertaining to Video Lottery Machine Placement in the City of Brookings, South Dakota. 15. Public hearing and action on Temporary Liquor License requests for The Shamrock for events on 5/7 (Reception) and 5/7 (Graduation Party). Other Business 16. Action on Resolution No. 57-11, establishing charges for Collections and Disposal of Refuse in the City of Brookings, South Dakota. 17. Capital Project budget adjustment for Bob Sheldon Field concession/restroom building. 18. Brookings Health Systems Year-End Report. 19. Action to direct the City Manager to investigate the feasibility of Tax Increment District Number Five (5). 20. Continued discussion on New Liquor Licenses policies issues. A) Proposed Operating Agreement revisions - Economic assessment criteria for Liquor Operating Agreements, B) Liquor Policy revisions, C. Applicant Criteria, D) Transfer Fee Discussion – clarification on fee, E) Finalize Process, Schedule & Application Packet 21. Adjourn. City Council Packet April 26, 2011 18 CONSENT AGENDA #4 4. Action to approve the following Consent Agenda Items: * A. Action to approve the agenda. B. Action to approve City Council minutes. C. Action on Mayoral appointments. D. Action on Resolution No. 50-11 authorizing the City Manager to sign a mid-term renewal / Liquor Operating Agreement for the Lantern Lounge/Half Pint Ent. E. Action on Resolution No. 51-11 authorizing the City Manager to sign a mid-term renewal / Liquor Operating Agreement for 9 Bar Nightclub/Nine Inc. F. Action on Resolution No. 53-11, acknowledging reciprocal land use between the City of Brookings and Brookings Municipal Utilities. *Matters appearing on the Consent Agenda are expected to be non-controversial and will be acted upon by the Council at one time, without discussion, unless a member of the Council or City Manager requests an opportunity to address any given item. Items removed from the Consent Agenda will be discussed at the beginning of the formal items. Approval by the Council of the Consent Agenda items means that the recommendation of the City Manager is approved along with the terms and conditions described in the agenda supporting documentation. ACTION: Motion to Approve, Request Public Comment, Roll Call City Council Packet April 26, 2011 19 CONSENT AGENDA #4 B. Action to approve City Council Minutes. The draft March 22nd, April 5th, April 7th, April 14th, and April 21st Brookings City Council minutes are enclosed for Council review and approval. City Council Packet April 26, 2011 20 Brookings City Council March 22, 2011(unapproved) The Brookings City Council held a meeting on Tuesday, March 22, 2011 at 5:00 p.m., at City Hall with the following members present: Mayor Tim Reed, Council Members John Kubal, Mike McClemans, Tom Bezdichek, Mike Bartley, Jael Thorpe and Keith Corbett. City Manager Jeff Weldon, City Attorney Steve Britzman and City Clerk Shari Thornes were also present. Brookings Area Master Transportation Study Update. The consulting team of HDR, Inc. and Banner Associates, Inc. provided an update on the Brookings Area Master Transportation Study. The following website has been set up for providing information to the public concerning the study as well as related minutes, displays, and presentations: www.Brookingsonthemove.com . Brookings Economic Development Corporation (BEDC) Economic Development Recommendations Report. Al Heuton, BEDC Executive Director, presented a draft resolution for council consideration which would expedite the transfer of land for economic development. Approving the transfer of economic development land in one blanket resolution will greatly assist efforts to compete for both local business and industry expansion and the recruitment of new business and industry to the community. The ability to provide information and close deals in a timely manner is essential. BEDC requested the transfer price be set at $0, or $1, per parcel to provide a high degree of latitude in the negotiation process. To ensure the community and City of Brookings receive an adequate return on investment, BEDC has formulated a review process, a list of qualifying industry types, criteria to calculate return on investment, and enforceable business/industry performance measures. The BEDC is requesting this resolution apply to existing and future economic development land. ACTION: A motion was made by Reed, seconded by Thorpe, to ask the BEDC bring back more information on this process, looking at the review process which would be formulated. All present voted yes, except Kubal voted no, motion carried. Policy Discussion regarding Change Orders on Consent Agenda. Council Member Thorpe asked to revisit the Council‘s policy regarding action on change orders. Currently, pursuant to Council direction from 10/27/2009, all change orders are scheduled on the regular agenda and are no longer placed on the consent agenda. Council Member Thorpe has suggested minor change orders, under a certain price threshold, be placed on the consent agenda. ACTION: A motion was made by Reed, seconded by Thorpe, that a written policy be brought back for City Council approval following the city manager‘s recommendations on how change orders are put on the consent or regular agenda. All present voted yes; motion carried. City Attorney Video Lottery Opinion. Steve Britzman, City Attorney, provided a briefing on the city‘s video lottery ordinance and recent law development. In 2000, the City of Brookings adopted Ordinance 04-00 which limited the number of video lottery establishments, based upon video lottery statute SDCL 42-7A-64. Due to recent clarifications with respect to City Council Packet April 26, 2011 21 the interpretation of SDCL 42-7A-64 and with respect to municipal powers concerning issues regulated by the State of South Dakota, it would be appropriate to revise the Brookings Code Section 6-6 limiting it to wine and malt beverage retailers and would not be applicable to any other type of alcoholic beverage licensee. Britzman provided a recent decision, which holds, in part, that 42-7A-64, a video lottery statute upon which our video lottery Ordinance (Code Section 6-6) is based, is only applicable to wine and malt beverage retailers, and regulation of video lottery by municipalities is otherwise prohibited. He agreed, as a matter of law, with the conclusions reached in the Sioux Falls video lottery decision. Accordingly, a municipality cannot regulate the issuance of video lottery licenses at any other types of alcoholic beverage establishments, such as those holding operating agreements. Therefore, new Operating Agreements should be fully entitled to video lottery without limitation. There was council consensus for the city attorney to bring back a new ordinance at a future meeting. Topics for future discussion. A motion was made by Corbett, seconded by McClemans, to hold a public hearing at the next council meeting to discuss the following bike paths: 8th Street from Main Ave. to 20th Street, 11th Street from Sexauer Park to the University, and 12th Avenue from the railroad tracks to the University. All present voted yes; motion carried. 6:00 P.M. REGULAR MEETING. Consent Agenda. Resolution No. 39-11 was removed from the agenda. An executive session for contractual matters was added to the agenda. A motion was made by Thorpe, seconded by McClemans, to approve the consent agenda: A. Action to approve the agenda as amended. B. Action to approve the March 8, 2011 City Council Meeting minutes. C. Action on Resolution No. 33-11, a Resolution appointing election judges for the April 12th Municipal Election. Resolution No. 33-11 - Appointment of Election Judges Whereas, a City of Brookings Municipal Election will be held on April 12, 2011 for the positions of two Council members; and Whereas, as required by SDCL 9-13-16.1, the City Council must appoint Election Superintendents and Deputies and set their rate of compensation; and Whereas, the following superintendents and deputies are hereby appointed at a rate of $10.50 per hour for superintendents, $10.00 per hour for deputies, and a flat fee of $20.00 for the April 11, 2011 Election School: RESOLUTION BOARD: David Peterson, Larry Hult, and Ken Ahartz as Alternate; PRECINCT 1 – Tompkin‘s Alumni Center: Bobbe Bartley, Superintendent, LaRayne Wahlstrom, Barb Telkamp, and Richard Wahlstrom as Alternate; PRECINCT 2 – 1st Lutheran Church: Neva Jean Corlett, Superintendent, Norma Linn, Marcella headley, and Dona Kornbaum as Alternate; PRECINCT 3 – City Hall: Verle Barg, Superintendent, Barb Woolworth, Russell Lokken, and Carol Dusharm as Alternate; City Council Packet April 26, 2011 22 PRECINCT 4 – Ascension Lutheran Church: Marilyn Foerster, Superintendent, Sharon Anderegg, Robert Bell, and LaVonne Kurtz as Alternate; PRECINCT 5 – Bethel Baptist Church: Joann Kruse, Superintendent, Marlys Berkland, Bev Carlson, and Marlys Schutt as Alternate; and PRECINCT 6 – United Church of Christ: Kris Cooper, Superintendent, Mary Peterson, Charleen Forsyth, and Dorothy Williamson as Alternate. D. Action on Resolution No. 34-11, a Resolution authorizing the Brookings Summer Arts Festival Committee to have exclusive use of Pioneer Park. Resolution No. 34-11 - A Resolution Authorizing the Brookings Summer Arts Festival Committee to Have Exclusive Use of Pioneer Park Whereas, the Brookings Summer Arts Festival will be held in Pioneer Park on July 6-11, 2011, and Whereas, the Summer Arts Festival Committee has requested the exclusive use and control of Pioneer Park and its facilities for said festival, plus additional days for preparation and takedown, and Whereas, the Summer Arts Festival Committee will provide evidence of liability insurance coverage including the City of Brookings as named insured, and Whereas, the Summer Arts Festival Committee has agreed to accept responsibility for the conduct of the Summer Festival on said premises, now therefore, Be It Hereby Resolved, that the use of Pioneer Park and its facilities as a public park shall terminate for the period of July 6 through July 11, 2011. Be It Further Resolved, that the City Council does hereby grant the exclusive use of Pioneer Park and its facilities during the Brookings Summer Arts Festival to the Summer Arts Festival Committee. Further, It Is Resolved, that the Summer Arts Festival Committee shall be responsible for maintaining said facilities and cleaning them and returning them to the City of Brookings in good condition following the festival. E. Action to appoint Sylvia Alejandra Lozada to the SDSU Student Position on the Brookings Committee for People who have Disabilities: term expires 5/1/2011. F. Action on Resolution No. 36-11, Bridge Reinspection Program Resolution for use with SDDOT Retainer Contracts. Resolution No. 36-11 - Bridge Reinspection Program Resolution for use with SDDOT Retainer Contracts Whereas, Title 23, Section 151, United States Code and Title 23, Part 650, Subpart C, Code of Federal Regulations, requires initial inspection of all bridges and reinspection at intervals not to exceed two years with the exception of reinforced concrete box culverts that meet specific criteria. These culverts are reinspected at intervals not to exceed four years. City Council Packet April 26, 2011 23 Therefore, the City of Brookings is desirous of participating in the Bridge Inspection Program using Bridge Replacement funds. The City of Brookings requests SDDOT to hire Clark Engineering Corporation (Consulting Engineers) for the inspection work. SDDOT will secure federal approvals, make payments to the Consulting Engineer for inspection services rendered, and bill the City for 20% of the cost. The City of Brookings will be responsible for the required 20% matching funds. There are a total of four (4) bridges in the City of Brookings, South Dakota that require inspection. On the motion, all present voted yes; motion carried. Open Forum. Susie Ryks, Chamber Director, gave the following prepared statement: “The Brookings Area Chamber of Commerce is a non-profit business organization that was organized to promote, connect, and enrich the Brookings Business Community. A core service and benefit that we provide our members is advocating for local businesses. The Chamber is also actively engaged, through our Government Affairs committee, in working with local and state governments on the issues that impact business. The concept of providing preference to local business and retaining local economic impacts has been a continuing topic of discussion for the Chamber and Brookings public entities. As we enter the 2011 bidding and construction season, it is timely to engage in additional discussion regarding the topic of retaining the benefit of public fund expenditures in the community. Local Brookings businesses employ people that live in the community, shop at local businesses, contribute to local charities, and participate in service organizations. It is estimated that every dollar spent by employing local firms generates an additional $1.50 in local economic impact. However if the dollar leaves town, it will generate little or no benefit for the community. In addition Brookings development strategy involves creating and expanding professional service firms and businesses. The Brookings Area Chamber of Commerce advocates that the City of Brookings develop and adopt a formal policy providing special consideration to local firms and businesses in cases where a competitively priced quality product can be provided. The Brookings business community, represented through the Chamber of Commerce, invites local government bodies to work with the Chamber to explore policy options that help retain local dollars and economic impact while ensuring sound procurement practices and good stewardship of public funds. Adopted: Brookings Area chamber Board of Directors, 3/22/2011” This item will be scheduled for the April 5th work session. Resolution No. 41-11. A motion was made by Bartley, seconded by Kubal, to approve Resolution No. 41-11, awarding contract on pole building lumber and steel to Pro-Build of Brookings, SD in the amount of $28,336.94. All present voted yes; motion carried. City Council Packet April 26, 2011 24 Resolution No. 41-11 - Resolution Awarding Bid for Forestry Shop Building Materials Whereas, the City of Brookings held a bid letting at 1:30 p.m. on Tuesday, March 15, 2011; and Whereas, the City of Brookings has received the following bid(s) for Forestry Shop Building Materials: Pro-Build of Brookings in the amount of $28,336.94, and Homestead Do-It Center in the amount of $29,028.56. Now Therefore, Be it Resolved that the bid from Pro-Build of Brookings in the amount of $28,336.94 be accepted. Resolution No. 42-11. A motion was made by McClemans, seconded by Thorpe, to approve Resolution No. 42-11, awarding contract on concrete golf cart paths to Howrey Construction, Rockwell City, IA in the amount of $42,450. All present voted yes; motion carried. Resolution No. 42-11 - Resolution Awarding Bid for EdgeBrook Golf Course Cart Paths Whereas, the City of Brookings held a bid letting at 1:30 p.m. on Tuesday, March 15, 2011; and Whereas, the City of Brookings has received the following bid(s) for EdgeBrook Golf Course Cart Paths: Howrey Construction Base Bid of $40,000.00, Optional Bid of $2,450.00, for a total bid of $42,450.00. Now Therefore, Be it Resolved that the bid from Howrey Construction in the amount of $42,450 be accepted. Resolution No. 37-11. A motion was made by Kubal, seconded by Bartley, to approve Resolution No. 37-11, authorizing Change Order No. 1 (Final) for 2010-08STI Street Maintenance Project, Bowes Construction, Inc. All present voted yes; motion carried. Resolution No. 37-11 - A Resolution Authorizing Change Order No. 1 (CCO#1 Final) for 2010-08STI Street Maintenance Project, Bowes Construction Inc. Be It Resolved by the City Council that the following change order be allowed for 2010-08STI Street Maintenance Project: Construction Change Order Number 1; Adjust contract cost to as-built quantities for a total decrease of $72,482.76 to the contract; and Adjust contract completion date by 9 working days to close out the project, which will result in 6.5 working days at $100 per day being charged to the contract. Award Bids for Brookings City/County Government Center, Bid Package #1. A motion was made by Bartley, seconded by Corbett, to award the contracts for the Brookings City/County Government Center, Bid Package Number One to: Contract #0330, Peska Construction, Inc., Sioux Falls, SD in the amount of $697,000.00; Contract #0340 & 0510, Gil Haugen Construction, Inc., Sioux Falls, SD in the amount of $460,400.00; Contract #0420, Olson Masonry, Brookings, SD in the amount of $464,940.00; Contract #0512, Egger Steel Company, Sioux Falls, SD in the amount of $995,600.00; Contract #1420, Schindler Elevator Corporation, Urbandale, IA in the amount of $138,000.00; Contract #3100, Mills Construction, City Council Packet April 26, 2011 25 Inc., Brookings, SD in the amount of $684,000.00; Contract #3210, Bowes Construction, Inc., Brookings, SD in the amount of $83,182.00; Total bids of $3,523,122.00. All present voted yes; motion carried. The following is a summary of all bids received: Contract #0330 – Cast-In-Place Concrete: Peska Construction, Inc. bid of $697,000, Mills Construction Inc. bid of $794,000, Gill Haugen Construction, Inc. bid of $813,700, Waltz Construction Company bid of $814,250, Steenberg-Watrud Construction bid of $836,925, Clark Drew Construction bid of $850,500, and Kelleher Construction, Inc. bid of $1,059,490. Contract #0340 – Precast Structural Concrete: Sioux Falls Construction Inc. bid of $280,000, Feigen Construction Corp. bid of $293,000, Hanson Structural Precast, Inc. bid of #357,276. Contract #0420 – Masonry: Olson Masonry, Inc. bid of $464,940, Rupp Masonry bid of $535,800, Jensen Masonry, Inc. bid of $557,775, S&S Masonry, Inc. bid of $597,000, Rice Lake Contracting Corp. bid of $608,250, M&L Masonry, Inc. bid of $616,900, Bladholm Construction, Inc. bid of $675,726, and Steenberg Watrud Construction LLC bid of $697,687. Contract #0510 – Structural Steel – Erection: Gray Construction Co. bid of $279,000, Fiegen Construction Corp. bid of $292,000, Mills Construction, Inc. bid of $312,000, Sioux Falls Construction Co. bid of $344,000, and MCSE, Inc. dba Mid Central Steel Erectors bid of $399,000. Contract #0512 – Structural Steel – Supply: Egger Steel Co bid of $995,600, P&M Steel Co., bid of $1,099,650, LeJeune Steel Co. bid of $1,110,900, Mid America Steel, Inc. bid of $1,131,232, Katelmann Steel Fabrication, Inc. bid of $1,135,000, Construction Systems, Inc. bid of $1,159,464, and Ben‘s Construction bid of $1,193,295. Contract #1420 – Elevators: Schindler Elevator Corp. bid of $138,000, Kone, Inc. bid of $152,000, Thyssen Krupp Elevator Corp. bid of $168,634, Otis Elevator Co. bid of $177,900, Schumacker Elevator bid of $220,699, and Minnesota Elevator, Inc. bid of $283,501. Contract #3100 – Earthwork/Utilities: Mills Construction, Inc. bid of $684,000 and Bowes Construction bid of $753,651. Contract #3210 – Asphalt Paving: Bowes Construction bid of $83,182 and Mills Construction, Inc. bid of $95,000. Ordinance No. 06-11. A first reading was held on Ordinance No. 06-11, pertaining to an application for a Conditional Use for a Brewpub in the Business B-1 District, East 65 feet of Lots 15 and 16, Block 14, Second Addition, also known as 309/311 5th Street. Public Hearing: April 5, 2011. Ordinance No. 07-11. A first reading was held on Ordinance No. 07-11, pertaining to an application for a Conditional Use for an Office in the Residence R-2 District, Lot 3, Block 3, Hill Park Addition, also known as 1112 6th Street. Public Hearing: April 5, 2011. City Council Packet April 26, 2011 26 Ordinance No. 08-11. A first reading was held on Ordinance No. 08-11, rezoning Lot 3, Block 10, Folsom Addition and the vacated street lying between Blocks 10 and 11, Folsom Addition from a class Industrial I-1 District to a class Residence R-3A District. Public Hearing: April 5, 2011. Ordinance No. 04-11. A public hearing was held on Ordinance No. 04-11, an Ordinance Creating a Sustainability Council for the City of Brookings, South Dakota. A motion was made by Thorpe, seconded by Corbett, to approve Ordinance No. 04-11. No public comment. All present voted yes; motion carried. Temporary Liquor Licenses – The Shamrock. A public hearing was held on Temporary Liquor License requests for the Shamrock for events on: 3/24 (Country Dance), 3/26 (KOCF MMA Event), and 4/2 (Sigma Phi Delta Banquet). A motion was made by Kubal, seconded by Corbett, to approve. No public comment. All present voted yes; motion carried. Temporary Liquor Licenses – Swiftel Center. A public hearing was held on Temporary Liquor License requests for the Swiftel Center for events on: 4/2 (Little ―I‖ Dance), 4/8-9 (Jackrabbit Rodeo Dances), 4/16 (Buschido Cage Fight), 4/17 (Willie Nelson Concert), and 4/30 (Wedding Reception). A motion was made by Bartley, seconded by McClemans, to approve. No public comment. All present voted yes; motion carried. Resolution No. 40-11. A motion was made by McClemans, seconded by Corbett, to approve Resolution No. 40-11, to annex the north 1,580 feet of the E½ of the NW¼ of Section 2-T109N-R50W and the abutting rights-of-way of 20th Street South and Main Avenue South but excluding Lot C, Christie Addition and Outlots A, 1A, B, and 1B. All present voted yes; motion carried. Resolution No. 40-11 - A Resolution to Annex the North 1,580 feet of the E½ of the NW¼ of Section 2-T109N-R50W and the abutting rights-of-way of 20th Street South and Main Avenue South but excluding Lot C, Christie Addition and Outlots A, 1A, B, and 1B. Whereas, The City of Brookings is authorized pursuant to South Dakota Codified Law 9-4-1 to annex contiguous territory upon receipt of a written petition, describing said territory sought to be annexed, signed by not less than three-fourths (3/4) of the legal voters and by the owner or owners of not less than three-fourths (3/4) of the value of said territory, and Whereas, The City of Brookings desires to annex the following described property, to wit: The north 1,580 feet of the east ½ of the NW ¼ of Section 2-T109N-R50W and the abutting rights- of-way of 20th Street South and Main Avenue South, but excluding Lot C, Christie Addition and Outlots A, 1A, B, and 1B of the NW ¼ of Section 2-T109N-R50W, and Whereas, the aforesaid land is contiguous to the present boundaries of the City of Brookings, and City Council Packet April 26, 2011 27 Whereas, the City of Brookings has received a Petition for Annexation of Territory signed by the owners of greater than three-fourths (3/4) of the value of the aforesaid property and by not less than three-fourths (3/4) of the legal voters residing in said territory, now therefore Be It Resolved by the City of Brookings, South Dakota that the property described above is hereby annexed to the City of Brookings. City/County Government Center technology-security-telephone system Update. Staff has worked on some final system developments for the building now that the construction programming is underway with Bid Package #1 completed and Bid Package #2 about to go out for advertising. These considerations provide for owner-provided systems such as technology, security, telephone, and furniture/furnishings. Conference Technologies, Inc. services have been engaged for the audio/visual equipment; Safe-N-Secure Security Equipment for building security features; and Swiftel Communications for the telephone system. Central Business Products, Inc. has begun a room analysis for furniture/furnishings for any furniture which will not be taken from the existing City Hall. Following is an analysis given of where things stand for the above aforementioned items, except for furniture. 1) Audio-Visual technology: County portion (52%) $304,115.27, City portion (48%) $280,721.77 for a total of $584,837.04. Audio-Visual Technology itemized detail (Shared program space): Paging/mass notification/emergency messaging/security cameras $48,242.82, Sound masking $20,591.32, Kiosk/digital signage/way-finding/building directory/legal notice postings $85,766.06, Community room video-conference center $59,146.09, Council chambers/Board room $279,575.40, Executive Session conference room $63,650.49, and Technical control room $27,864.86 for a total amount of $584,837.04. Conference technology by conference room (Individual program space): County Conference Rooms: Room 138 $32,565.29, Room 237 $39,124.99, Room 241, $31,344.39 and Room 312 $31,344.39 for a total of $134,379.06. City Conference Rooms: Room 111 $33,500.17 and Room 220 $34,828.15 for a total of $68,325.32. Audio-visual technology total for county: $438,494.33, and audio-visual technology total for city: $349,047.09. 2) Building Security system: Door security system, panic buttons, alarm system total $72,868.00. County share (52%) $37,891.36; City share (48%) $34,976.64. 3) Telephone system: Avaya/Nortel phone system, 4 trunk analog ports, 48 digital trunk ports, 96 digital ports, 16 voice mail ports, 91 voice mail boxes, 17 unified messaging seats, 4 IP phone ports, & 7 wireless headsets. (County system will be re-used and transported into new City Council Packet April 26, 2011 28 building; system will be expanded to accommodate City.) Phone system total cost of $53,898.06. County share (52%) $28,026.99; City share (48%) $25,871.07. SYSTEM TOTALS for technology, security, & telephone: County share: $504,412.68, and City share: $409,894.80. Resolution No. 35-11. A motion was made by Kubal, seconded by Corbett, to approve Resolution No. 35-11, a Resolution increasing the Application Fee for new Liquor Operating Agreements. All present voted yes; motion carried. Resolution No. 35-11 - A Resolution increasing the Application Fee for new Liquor Operating Agreements Whereas, the Governing Body for the City of Brookings, South Dakota, has established a process to review and consider applications for any new or unused liquor operating agreements; and Whereas, the Office of City Clerk is responsible to process all alcohol applications and, in an effort to recover administrative costs for processing said applications, has established a minimal, nonrefundable application fee, Now Therefore Be It Resolved, by the Governing Body of the City of Brookings, South Dakota that the application fee be increased to $100.00 and is payable with the application by all applicants for new or unused liquor operating agreements. Resolution No. 38-11. A motion was made by Corbett, seconded by Thorpe, to approve Resolution No. 38-11, a Resolution establishing a one-time fee for new Liquor Operating Agreements of $25,000. Public hearing: Garner Hansen asked the reason for the change. Britzman noted a law change in 2009 which clarified local option communities are licensees, triggering SDCL 35- 4-2(4) which requires cities to set a minimum fee of $1.00 per person based on the last census. Hansen asked if the $25,000 fee was refundable. No, it’s a one-time fee. Hansen asked if transfers would be subject to the fee. Britzman said the City Council will need to establish a policy on transfer fees. Hansen questioned the likelihood of a court challenge. Britzman said no, very unlikely because the law is clear on this issue. Hansen asked for clarification if this fee was just for the licenses going forward from 2009 and not retroactive to one-year lease agreements. Yes. All present voted yes; motion carried. Resolution No. 38-11- Resolution Establishing the License Fee for the Issuance of Operating Agreements in the City of Brookings Be It Resolved by the City Council of the City of Brookings, South Dakota as follows: Whereas, SDCL 35-4-2(4) provides the minimum fee for the initial issuance of on-sale alcoholic beverage liquor licenses, and this statute is also applicable to municipalities under local option, and City Council Packet April 26, 2011 29 Whereas, the City Council has been advised by its City Attorney that SDCL 35-4-2(4) and recent statutory changes to alcoholic beverage statutes require a municipality to set the fee for the initial issuance of an operating agreement at not less than one dollar for each person residing within the municipality as measured by the last preceding Federal census, and the Federal Census having recently determined the population of Brookings to be 22,056, and Whereas, SDCL 35-4-2(4) does not establish a maximum fee for the issuance of Operating Agreements, and accordingly, the fee may be set by the City Council provided the fee equals or exceeds the minimum fee, Now Therefore, Be It Resolved that the fee for the issuance of initial on-sale Operating Agreements shall be $25,000.00. Ad Hoc Parking Committee & Traffic Safety Committee Recommendations. The Brookings City Council discussed the recommendations from the Ad Hoc Parking Committee at their February 8, 2011 council meeting. The City Council asked the Traffic Safety Committee to study the following two recommendations: Remove parking from city streets at night in the older parts of town (4th Street to 8th Street and 12th Avenue to 16th Avenue) from November 15 to March 15 from midnight to 5:00 a.m. and deny parking of boats, construction trailers, RVs, and large vehicles on city streets. The Traffic Safety Committee discussed these topics at their February 24th and March 10th meetings, with the following summary: At the February 24th meeting, the committee discussed the request to remove parking from city streets. Lanning indicated that input from City staff suggested that the area of discussion should be from 4th Street to 11th Street and 8th Avenue to 16th Avenue. The committee decided to have the engineering department mail a notice to all property owners in this area and they would hold a public hearing at their March 10th meeting. The committee also discussed the recommendation to deny parking for boats, construction trailers, RVs and large vehicles on city streets. After much discussion, a motion was made to deny parking of these vehicles on city streets and all present voted no and the motion failed. At the March 10th meeting, the committee held a public hearing on the request to remove parking from city streets from 4th Street to 11th Street and 8th Avenue to 16th Avenue. Numerous citizens phoned in their comments, and several wrote emails or letters, which are attached. Numerous citizens spoke both in favor and against this item during the public hearing, and their comments are included in the following meeting minutes. After much testimony, a motion was made to remove parking from city streets between 4th Street and 11th Street and 8th Avenue and 16th Avenue from November 15th to March 15th from midnight to 5:00 p.m. All present voted no and the motion failed. A motion was made by Kubal, seconded by McClemans, that we accept the removal of parking on city streets at night from midnight to 5:00 a.m. in parts of town (4th Street to 8th Street and 12th Avenue to 16th Avenue) from a date to be determined by the City Manager in collaboration with the Street Department to a date to be determined in the spring. Friendly amendment City Council Packet April 26, 2011 30 made by Reed that a resolution be brought back to the council stating the following: ―we accept the removal of parking from city streets at night from 12:00 midnight to 5:00 a.m. in parts of town (4th Street to 8th Street and 12th Avenue to 16th Avenue) from a date to be determined by the City Manager in collaboration with the Street Department to a date to be determined in the spring. AMENDMENT: A motion was made by Thorpe, seconded by Kubal, to remove any designated area and leave that up to the City Manager and Street Superintendent. On the amendment, all present voted yes, except Bezdichek; Amendment passed. On the main motion as amended, Kubal and Reed voted yes; Bartley, Bezdichek, Corbett, McClemans and Thorpe voted no; motion failed. A motion was made by Thorpe, seconded by Kubal, to change the ordinance to deny the parking of boats, RV‘s and large vehicles, except construction trailers at job sites, on city streets. Thorpe and Kubal voted yes, Bartley, Bezdichek, Corbett, McClemans and Reed voted no; motion failed. AGENDA ITEMS TABLED: A motion was made by Reed, seconded by Bartley, to table Item #23 – 2010 Phase II Storm Water Management Program Summary and Item #25 – City of Brookings 2011 Strategic Plan to the next agenda. All present voted yes; motion carried. Front Street / Main Avenue Project Update. City Engineer Jackie Lanning provided an update on the project design along with current street and parking lot layout drawings. The South Dakota Department of Transportation has issued grant funding, provided by the Railroad Crossing Improvement Program (RCIP), to Brookings for the Main Avenue Rail Crossing project. The project will include construction work on Main Avenue for the new crossing gate layout, and installation of the new railroad safety crossing gates. Front Street, along with the Park and Recreation parking lot, will require reconstruction. A public Open House was held on March 3rd. The project design is completed and this project will be bid on March 29, 2011. Executive Session. A motion was made by Thorpe, seconded by Corbett, to enter executive session at 9:27 p.m. for purposes of consulting with legal counsel on pending contractual matters, with the city attorney, council, manager and clerk present. All present voted yes, motion carried. A motion was made by Thorpe, seconded by McClemans, to leave executive session at 9:52 p.m. All present voted yes; motion carried. Adjourn. A motion was made by McClemans, seconded by Kubal, to adjourn. All present voted yes; motion carried. Meeting adjourned at 9:53 p.m. CITY OF BROOKINGS ATTEST: Tim Reed, Mayor Shari Thornes, City Clerk City Council Packet April 26, 2011 31 Brookings City Council April 5, 2011 (unapproved) The Brookings City Council held a meeting on Tuesday, April 5, 2011 at 5:00 p.m., at City Hall with the following members present: Mayor Tim Reed, Council Members John Kubal, Mike McClemans, Tom Bezdichek, Mike Bartley, Jael Thorpe and Keith Corbett. City Manager Jeff Weldon, City Attorney Steve Britzman, and City Clerk Shari Thornes were also present. Review of City’s Americans with Disabilities (ADA) Policies. The Council reviewed the following ADA policies: City Facilities Policy, Family Restroom Policy, Automatic Door Openers, Platform Lifts, Compliance with Americans with Disabilities Act and City of Brookings ADA Policies Required as Condition of Funding, and ADA Compliance Procedures. No changes were recommended. Governance & Ends Policy Annual Review. The Council reviewed the G&E policy for any updates, revisions, or modifications. Changes were requested to the following areas: Ends Policy 1, Financial Stability, Guideline C, 2 Lowers the following funds below the following: The Industrial Development Fund – a cash flow reserve of 10% and a capital reserve of 90% funded with revenue from the sale of industrial lands with a minimum of $500,000 in capital reserve. (CHANGE: Bring back options in the next budgeting process. Also insert “Land” in the language.) Guideline H: Appropriation and Subsidy Policy & Guidelines. Economic Development / Promotions Subsidies. A subsidy from the 3rd B Fund shall meet the requirements of the SD State Statute 10-52-8*. Funds will be appropriated from the 3rd B Fund to entities with the capacity to promote and advertise the city, its facilities, attractions, and activities. In any fiscal year, the City may require the unencumbered funds be returned to the City 3rd B Fund. (CHANGE: Compare city’s current 3rd B Ordinances to recent changes in state statutes. Change ordinances and this policy to reflect current statutes.) Ends Policy 2, Municipal Services, Guideline B: In terms of Functional Services, which include all departments of the City other than Life Safety, the City Manager will: #4 - Be intolerant to waste or inefficiency of any kind; #5 - Be intolerant to poor service by City Employees. (CHANGE: Rewrite second in positive format). Ends Policy 2, Municipal Services, Guideline C: (CHANGE: Bring this topic back during budget process to include updated data and examples.) Council Introduction of Future Topics. A motion was made by Reed, seconded by Corbett, to schedule a hearing to review the pub crawl. Staff was asked to invite DBI, downtown businesses, and other interested parties including the Police Chief to report on any issues. All present voted yes; motion carried. City Council Packet April 26, 2011 32 REGULAR MEETING. Consent Agenda. The agenda was pulled from the consent agenda. A motion was made by Thorpe, seconded by Kubal, to approve the consent agenda as amended: A. Agenda – Pulled off consent. B. Action to schedule a special council meeting on April 14th at 9:00 a.m. for the Election Canvass. C. Action on Resolution No. 44-11, a Resolution for Federal Aid Surface Transportation Program for County and Urban Projects. Resolution No. 44-11 - Federal Aid Surface Transportation Program Resolution for County and Urban Projects Whereas, the City of Brookings has desires the construction and improvement of the road and/or bridge as hereinafter described: Year Project Location Type of Work Length Cost 2012 Medary Ave. S. from Milling & Asphalt Overlay 1.6 $1,000,000 6th St. to 15th St. S. & Pavement Markings 2013 12th St. S. from Main Av. S. Milling & Asphalt Overlay .02 $400,000 to 22nd Ave. S. & Pavement Markings 2013 Intersection of 12th St. S. New Traffic Signal & .02 $180,000 and 17th Ave. S. Pavement Markings 2013 Intersection of Main Av. S New Traffic Signal & .02 $180,000 and 20th St. S. Pavement Markings 2013 Medary Ave. from Milling & Asphalt Overlay 0.8 $400,000 N. Campus Dr to NCL & Pavement Markings 2014 Sunrise Ridge Rd. from 6th Milling & Asphalt Overlay .63 $250,000 St. to Eastbrook Dr. & Pavement Markings 2014 17th Ave. S. from 6th St. Milling & Asphalt Overlay 1.0 $350,000 to 8th St. S. & Pavement Markings 2014 Eastbrook Dr. from Milling & Asphalt Overlay .33 $150,000 Sunrise RidgeRd. to & Pavement Markings 22nd Ave. S. 2015 Main Ave. S. from 1st St. S. Milling & Asphalt Overlay .34 $200,000 to 4th St. S & Pavement Markings Whereas, the City of Brookings is obligated and hereby agrees to provide proper maintenance as required by the Federal Highway Act as amended and supplemented thereto for the project after construction is completed and to regulate or cause to be regulated the installation of utility facilities within the limits of the right of way of the proposed project in accordance with State and Federal requirements. Whereas, the City of Brookings is obligated and hereby agrees to reimburse the State for all costs not reimbursable with Surface Transportation Program (STP) Funds and associated State matching funds. Whereas, the City of Brookings will utilize STP funds for 100% of the project. City Council Packet April 26, 2011 33 Now Therefore Be it Resolved that the South Dakota Department of Transportation be and hereby is authorized and requested to program for construction, in accordance with the ―Secondary Road Plan‖ and the State‘s ―Standard Specifications for Roads and Bridges,‖ the project described. D. Action on Resolution No. 45-11, to declare surplus property (marquee). Resolution No. 45-11 - Declaring Surplus Property Whereas, the City of Brookings is the owner of the following described equipment formerly used at the Swiftel Center: Galaxy LED Display Marquee (size: 17‘ x 7‘ 5‖) Whereas, in the best financial interest, it is the desire of the City of Brookings to sell same as surplus property; Whereas, the City Manager hereby authorized to appoint three qualified appraisers to appraise the value of the property; Now, Therefore, Be It Resolved by the governing body of the City of Brookings, South Dakota, that this property be declared surplus property according to SDCL Chapter 6-13. E. Action to appoint Sean Binker to the Park & Recreation Board; term expiring 5/1/2013. On the motion, all present voted yes; motion carried. Agenda. A motion was made by Bartley, seconded by Thorpe, to approve the agenda. Amendment #1: A motion was made by Kubal, seconded by Bezdichek, to remove Resolution No. 47-11, a position statement on the Northwest Quadrant, from the agenda. All present voted yes; except Corbett abstained, motion carried. Amendment #2: A motion was made by Reed, seconded by Bartley, to add an executive session as Item #20A for purposes of consulting with legal counsel for contractual matters. All present voted yes; motion carried. On the agenda as amended, all present voted yes; motion carried. Ordinance No. 05-11. A first reading was held on Ordinance No. 05-11, an Ordinance amending Section 6-6 of the Code of Ordinances of the City of Brookings, South Dakota and pertaining to Video Lottery machine placement in the City of Brookings, South Dakota. Public Hearing: April 26, 2011 Ordinance No. 08-11. A public hearing was held on Ordinance No. 08-11, an Ordinance rezoning Lot 3, Block 10, Folsom Addition and the vacated street lying between Blocks 10 and 11, Folsom Addition from a Class Industrial I-1 District to a Class Residence R-3A District. A motion was made by McClemans, seconded by Corbett, to approve Ordinance No. 08-11. Public Hearing: Darrell Wheeldon questioned what impact this rezoning would have on his property setbacks. Deb Delaney, applicant, requested positive consideration of the rezoning in order for her family to build a house and remain on the property. Council Discussion: Several options were discussed and determined infeasible including a variance and planned development district. Vacating the street City Council Packet April 26, 2011 34 was also discussed. On the motion, Thorpe and Corbett voted yes, Bartley, Bezdichek, Kubal, McClemans and Reed voted no; motion failed. Ordinance No. 06-11. A public hearing was held on Ordinance No. 06-11, an Ordinance pertaining to an application for a Conditional Use for a Brewpub in the Business B-1 District, east 65 feet of Lots 15 and 16, Block 14, Second Addition, also known as 309/311 5th Street. A motion was made by Kubal, seconded by Corbett, to approve Ordinance No. 06-11. No public comment. All present voted yes; motion carried. Ordinance No. 07-11. A public hearing was held on Ordinance No. 07-11, an Ordinance pertaining to an application for a Conditional Use for an office in the Residence R-2 District, Lot 3, Block 3, Hill Park Addition, also known as 1112 6th Street. A motion was made by McClemans, seconded by Bartley, to approve Ordinance No. 07-11. No public comment. All present votes yes; motion carried. Temporary Liquor License – The Shamrock. A public hearing was held on Temporary Liquor License requests for the Shamrock for the following events: 4/14 (banquet), 4/20 (concert), 4/23 (wedding reception), 4/28 (dance), 4/29 (banquet), and 4/29/2011 (concert). A motion was made by Corbett, seconded by Kubal, to approve. No public comment. All present voted yes; motion carried. Temporary Liquor License – Swiftel Center. A public hearing was held on Temporary Liquor License requests for the Swiftel Center for the following events: 4/30 (wedding reception), 5/11-12 (conference), 5/13 (celebration), and 5/21/2011 (wedding reception). A motion was made by Kubal, seconded by McClemans, to approve. No public comment. All present voted yes; motion carried. Resolution No. 46-11. A motion was made by Bartley, seconded by Thorpe, to approve Resolution No. 46-11, a Resolution authorizing Vacation of an Alley located on the west 10 feet of the east 165 feet of the north 57.5 feet of Temple Block Addition is hereby vacated. (Located behind the Johnson-Henry Funeral Home.) All present voted yes; motion carried. Resolution No. 46-11 - Alley Vacation Whereas, a petition to vacate has been filed with the City Clerk of the City of Brookings, and Whereas, the petition was filed in proper form and signed by one hundred percent (100%) of the adjacent property owners. Now, Therefore, Be It Resolved, by the City Council of the City of Brookings: That the alley located on the west 10 feet of the east 165 feet of the north 57.5 feet of Temple Block Addition is hereby vacated. Resolution No. 39-11. A motion was made by Bartley, seconded by Kubal, to approve Resolution No. 39-11, a Resolution approving a Storm Water Funding Application for financial assistance, authorizing the execution and submittal of the application and designating an authorized representative to certify and sign payment requests. All present voted yes; motion carried. City Council Packet April 26, 2011 35 Resolution No. 39-11 - Resolution Approving a Storm Water Funding Application for Financial Assistance, Authorizing the Execution and Submittal of the Application and Designating an Authorized Representative to Certify and Sign Payment Requests Whereas, the City of Brookings (the ―City‖) has determined it is necessary to proceed with improvements to its Storm Sewer System, including but not limited to the 15th Street South and 7th Avenue South (Detention Pond) (the ―Project‖); and Whereas, the City has determined that financial assistance will be necessary to undertake the Project and an application for financial assistance to the South Dakota Board of Water and Natural Resources (the ―Board‖) has been prepared; and Whereas, the City has reviewed the Application to be submitted to the Board, true copies of which are attached hereto, and finds it proper in all respects; and Whereas, it is necessary to designate an authorized representative to execute and submit the Application on behalf of the City and to certify and sign payment requests in the event financial assistance is awarded for the Project, Now Therefore Be It Resolved by the City as follows: 1. The City hereby approves an Application for financial assistance to the South Dakota Board of Water and Natural Resources for the Project as set forth with particularity in the Application attached hereto, which Application is hereby approved. 2. The City Manager is hereby authorized to execute the Application and submit it to the South Dakota Board of Water and Natural Resources, and to execute and deliver such other documents and perform all acts necessary to effectuate the Application for financial assistance submitted to the Board in accordance with all terms herein set forth. 3. The City Manager is hereby designated as the authorized representative of the City to do all things on its behalf to certify and sign payment requests in the event financial assistance is awarded for the Project. Request to modify parking for bike lanes. SDSU students presented a request to modify the bike lane plan. A motion was made by Reed, seconded by Corbett, to direct the Traffic Safety Committee to review the students‘ proposal for changing parking on the bike routes. Council requested the review to be conducted as soon as possible to allow students to attend, otherwise will have to wait until the fall when students return. All present voted yes; motion carried. Preliminary action on Gateway Entry Project concept. Mike Struck, City Community Development Director, presented an overview of the new gateway entry project. The Gateway Project is a public/private partnership focused on creating and enhancing a memorable introduction to Brookings and South Dakota State University. The project envisions softening the hardscape from Interstate 29 to 20th Avenue with the installation of landscaping, decorative City Council Packet April 26, 2011 36 light fixtures, signage, and pedestrian improvements. The branding image has been incorporated into the signage improvements as appropriate. Discussions are ongoing in regards to cost sharing/financing options between public and private entities. The first phase of the concept implementation would be the improvements from 22nd Avenue to 20th Avenue with a grand memorable statement at the intersection of 22nd Avenue and 6th Street with a tapering effect to 20th Avenue. Construction of the first phase is planned for 2011. The second phase of the concept envisions improvements from Interstate 29 to 22nd Avenue. A motion was made by Bartley, seconded by Corbett, to give approval to go forward with the project. All present voted yes; motion carried. Resolution No. 43-11. A motion was made by Kubal, seconded by Thorpe, to approve Resolution No. 43-11, Consent Agenda Policy. No public comment. All present voted yes; motion carried. Resolution No. 43-11 - A Resolution Determining whether Contract Change Orders shall be considered on the Consent or Regular Agenda for City Council Meetings Whereas, City Council agendas are developed to expedite the efficient and effective consideration of items of business for consideration by the governing body, and Whereas, the Consent Agenda is a mechanism intended to expedite the transaction of such items of business considered to be routine where multiple items can be considered in a single motion, and Whereas, change orders to contracts require City Council approval and, depending upon their specifics, may be considered either routine or non-routine; constituting a placement on either the Consent or Regular agenda; and Whereas, it is desirable to have consistency in addressing the issue of executing contract change orders. Now, Therefore, Be It Resolved by the City Council of the City of Brookings that contractual change orders that adjust the number of days to the contract period, result in a decrease to the dollar amount of the contract, result in an increase in the contract in an amount less than $5,000 be placed on the Consent Agenda. Change orders in excess of $5,000 shall be placed on the Regular Agenda. 2010 Phase II Storm Water Management Program Summary. City Engineer Jackie Lanning presented a brief overview on the 2010 Annual Report to the Council. City of Brookings 2011 Strategic Plan. A motion was made by Thorpe, seconded by Bartley, to approve the following 2011 Strategic Plan. All present voted yes; motion carried. City Council Packet April 26, 2011 37 Tier #1: A) Code enforcement, rental housing registration and compliance, B) Improvements of the Campus-Community relationship with SDSU, C) Coordination of economic development initiatives and economic development workplan, D) Health care model; relationships of BHS and other health care provider, E) Continued operation of Brookings Municipal Liquor Store, F) Acquisition of Department of Transportation excess property (Hwy 14/I-29), and G) Re- examination of role of business in local government. Tier #2 (construction projects): A) Airport Layout Plan, B) Construction of City/County Government Building, C) Remodel planning of City Hall for Police Department, D) Sixth Street (Highway 14) Gateway entrance features, E) Update of 2020 comprehensive plan, F) Public awareness campaign for public safety. Tier #3: A) Continued lobbying/planning for 34th Ave./20th St. Improvement Project, B) Continued brand implementation, C) Analysis of Swiftel Center space needs, D) Usage analysis of baseball/softball facilities, E) Staff succession planning, F) Funding of PAC II request, G) Infrastructure expansion, So. Main Ave. and 20th St., H) Infrastructure expansion, 25th Ave., and I) South Fire Station planning. Executive Session. A motion was made by Kubal, seconded by Corbett, to enter executive session at 8:15 p.m. for purposes of consulting with legal counsel on pending contractual matters, with the City Attorney, City Council, City Manager and City Clerk present. All present voted yes, motion carried. A motion was made by Thorpe, seconded by Corbett, to leave executive session at 8:47 p.m. All present voted yes; motion carried. Adjourn. A motion was made by Kubal, seconded by Corbett, to adjourn. All present voted yes; motion carried. Meeting adjourned at 8:48 p.m. CITY OF BROOKINGS ATTEST: Tim Reed, Mayor Shari Thornes, City Clerk City Council Packet April 26, 2011 38 Brookings City Council April 7, 2011 (unapproved) The Brookings City Council held a special meeting on Tuesday, April 7, 2011 at 1:00 p.m., at City Hall with the following members present: Mayor Tim Reed, Council Members John Kubal, Mike McClemans, Mike Bartley, Jael Thorpe and Keith Corbett. City Manager Jeff Weldon, City Attorney Steve Britzman and City Clerk Shari Thornes were also present. Council member Tom Bezdichek was absent. A motion was by Reed, seconded by McClemans, to set the adjournment time at 3:00 p.m. All present voted yes; motion carried. Discussion on Brookings Health System. The Council reviewed a written report dated April 6th listing the major highlights the Board and Interim CEO are working on. Pursuant to a Council motion from November 9, 2010, Brookings Health Systems will present quarterly financial information at the April 26th meeting. The Council noted that information should be provided to the City Clerk by her packet deadline (4/19). Information to include financials, project plans, and CEO search updates. The interim CEO and other personnel should be there in person to present the report. Discussion on Liquor Operating Agreements. The City Council continued its review of liquor operating agreement policy issues, including the pending new license schedule, current agreement language, policies, and new license application materials. Specific details regarding payment of bills, insurance levels, and credit deposits are handled internally by city administration. Habitual non-payment or a felony would be cause for agreement suspension. Consideration of agreements‘ economic impact was discussed. A motion was made by Thorpe, seconded by McClemans, to change the liquor operating agreement to include criteria regarding purchases from the liquor store to reflect economic performance to be taken into consideration in the renewal process; to be developed by staff and reviewed by the City Council for possible action. Corbett, Kubal, McClemans and Thorpe voted yes, Bartley and Reed voted no; motion carried. Adjourn. A motion was made by Corbett, seconded by Kubal, to adjourn. All present voted yes; motion carried. Meeting adjourned at 3:00 p.m. CITY OF BROOKINGS ATTEST: Tim Reed, Mayor Shari Thornes, City Clerk City Council Packet April 26, 2011 39 Brookings City Council April 14, 2011 (unapproved) The Brookings City Council held a special meeting at 9:00 a.m. on Thursday, April 14, 2011, at City Hall with the following members present: Council Members Tim Reed, Mike McClemans, John Kubal, Jael Thorpe, Keith Corbett and Tom Bezdichek. Council Mike Bartley was absent. City Clerk Shari Thornes was also present. Mayor Reed called the meeting to order. The City Council conducted the official canvass of the April 12, 2011 Municipal Election. A motion was made by Kubal, seconded by Corbett, to approve Resolution No. 48-11, a resolution approving the official canvass of the April 12, 2011 municipal election ballot. All present voted yes; motion carried. Resolution No. 48-11 - Canvassing the April 12, 2011 Municipal Election Whereas, on the 12th day of April 2011, there was held in the City of Brookings, South Dakota, an election for the purpose electing two city council members, and Whereas, the judges and clerks of said election have returned to the City Council of the City of Brookings the official results for the purpose of the official canvass, and Whereas, the City Council on April 14, 2011 has canvassed the results for the purpose of determining the official election outcome, and Now, Therefore, Be It Resolved by the City Council of the City of Brookings, South Dakota that the official vote at the City Election held April 12, 2011 was as follows: City Council 3 Year (2) Opeke ‗Ope‘ Niemeyer Ginger Thomson Michael J. McClemans Over Votes Under Votes Total Ballots Cast Total Votes Cast Precinct 1 33 28 29 0 8 49 90 Precinct 2 127 67 65 0 45 152 259 Precinct 3 91 73 69 0 31 132 233 Precinct 4 285 171 208 0 76 370 664 Precinct 5 351 184 247 0 82 432 782 Precinct 6 248 155 204 0 69 338 607 TOTAL 1,135 678 822 0 311 1,473 2,635 Adjourn. A motion was made by Kubal, seconded by Corbett, to adjourn. Meeting was adjourned at 9:15 a.m. CITY OF BROOKINGS Tim Reed, Mayor ATTEST: Shari Thornes, City Clerk City Council Packet April 26, 2011 40 Brookings City Council April 21, 2011 (unapproved) The Brookings City Council held a special meeting on Thursday, April 21, 2011 at 9:30 a.m., at City Hall with the following members present: Mayor Tim Reed, Council Members John Kubal, Mike McClemans, Mike Bartley (via conference call), Jael Thorpe and Keith Corbett. City Manager Jeff Weldon, City Attorney Steve Britzman and City Clerk Shari Thornes were also present. Council member Tom Bezdichek was absent. Executive Session. A motion was made by Thorpe, seconded by Corbett, to enter executive session pursuant to SDCL 1-25-2(3) and (5) at 9:35 a.m. for purposes of consulting with legal counsel about proposed contractual matters and discussing marketing or pricing strategies of industrial development property owned by the city with the city attorney, community development director, council, manager, clerk, BEDC representatives Al Heuton, Spence Hawley, Ryan Brunner, Dan Little and Ryan Krogman present. All present voted yes, motion carried. A motion was made by Thorpe, seconded by Corbett, to leave executive session at 10:21 a.m. All present voted yes; motion carried. Resolution No. 49-11. A motion was made by Bartley, seconded by Corbett, to approve Resolution No. 49-11, authorizing the Transfer of Real Property to Brookings Economic Development Corporation for Economic Development Purposes. No public comment. All present voted yes; motion carried. Resolution No. 49-11 - Resolution Authorizing the Transfer of Real Property to Brookings Economic Development Corporation for Economic Development Purposes Be It Resolved by the City Council of the City of Brookings, South Dakota as follows: Whereas, the Brookings Economic Development Corporation, Inc. desires to acquire approximately 50 acres of the following described property: Foster Industrial Park: The east 50 acres, more or less, of the northeast one-fourth (NE ¼), except Lots One (1) and Two (2) and except Lots H-4, H-5 and the platted lots thereof, of Section Nineteen (19), Township One Hundred Ten (110) North, Range Forth-nine (49) West of the 5th P.M., County of Brookings, State of South Dakota, and Whereas, the City is authorized to enter into this transaction as an economic development activity under the laws of the State of South Dakota; Now Therefore, It Is Hereby Resolved by the City Council of the City of Brookings, South Dakota, as follows: A. That the City convey title to the above-described property to the Brookings Economic Development Corporation, Inc. for the purposes of furthering economic growth and development of the City of Brookings, South Dakota; and B. That the Mayor, City Clerk and City Manager are authorized to execute the required documents in accordance with this Resolution. City Council Packet April 26, 2011 41 Adjourn. A motion was made by McClemans, seconded by Kubal, to adjourn. All present voted yes; motion carried. Meeting adjourned at 10:23 a.m. CITY OF BROOKINGS ATTEST: Tim Reed, Mayor Shari Thornes, City Clerk City Council Packet April 26, 2011 42 CONSENT AGENDA #4 C. Action on Mayoral appointments. Mayor Tim Reed has submitted the following appointment recommendations for City Council advice and consent: 1) Airport Board: Reappoint Jeff Boulware. Term expires 5/1/2016. 2) Brookings Committee for People who have Disabilities: Reappoint Sylvia Lozada. Term expires 5/1/2012. 3) Park & recreation Board: Reappoint Keith Rounds. Term expires 5/1/2016. 4) Utility Board: Reappoint Tim Harvey. Term expires 5/1/2016. City Council Packet April 26, 2011 43 CONSENT AGENDA #4 D. Action on Resolution No. 50-11, authorizing the City Manager to sign a mid-term renewal/Liquor Operating Agreement for the Lantern Lounge/Half Pint Ent. The City of Brookings enters into Liquor Operating Agreements for a ten- year period with a renewal at five years. The Operating Agreement for The Lantern Lounge/Half Pint Ent., located at 303 Third Street, is at the five-year point in the 10-year agreement. Resolution No. 50-11, would allow the City Manager to enter into the remaining five years of the agreement. Resolution No. 50-11 Lantern Lounge/Half Pint Ent. Operating Agreement Renewal BE IT RESOLVED by the City of Brookings, South Dakota, that the City Council hereby approves a Lease Renewal Agreement for the Operating Liquor Management Agreement between the City of Brookings and Troy Hicks, Lantern Lounge/Half Pint Ent., for the purpose of a liquor manager to operate the on-sale establishment or business for and on behalf of the City of Brookings at 303 Third Street, also known as the Lantern Lounge. BE IT FURTHER RESOLVED that the City Manager be authorized to execute the Agreement on behalf of the City, which shall be for a period of five (5) years. Passed and approved this 26th day of April 2011. CITY OF BROOKINGS Tim Reed, Mayor ATTEST: Shari Thornes, City Clerk City Council Packet April 26, 2011 44 CONSENT AGENDA #4 E. Action on Resolution No. 51-11 authorizing the City Manager to sign a mid-term renewal / Liquor Operating Agreement for 9 Bar Nightclub/Nine Inc. The City of Brookings enters into Liquor Operating Agreements for a ten- year period with a renewal at five years. The Operating Agreement for 9 Bar Nightclub / Nine Inc., located at 303 Main Avenue, is at the five year point in the 10-year agreement. Resolution No. 51-11 would allow the City Manager to enter into the remaining five years of the agreement. Resolution No. 51-11 9 Bar Nightclub/Nine Inc. Operating Agreement Renewal BE IT RESOLVED by the City of Brookings, South Dakota, that the City Council hereby approves a Lease Renewal Agreement for the Operating Liquor Management Agreement between the City of Brookings and Gus Theodosopoulos, 9 Bar Nightclub/Nine Inc., for the purpose of a liquor manager to operate the on-sale establishment or business for and on behalf of the City of Brookings at 303 Main Avenue, also known as the 9 Bar Nightclub. BE IT FURTHER RESOLVED that the City Manager be authorized to execute the Agreement on behalf of the City, which shall be for a period of five (5) years. Passed and approved this 26th day of April 2011. CITY OF BROOKINGS Tim Reed, Mayor ATTEST: Shari Thornes, City Clerk City Council Packet April 26, 2011 45 CONSENT AGENDA #4 F. Action on Resolution No. 53-11, acknowledging reciprocal land use between the City of Brookings and Brookings Municipal Utilities. TO: Mayor and City Council Members FROM: City Manager Jeff Weldon RE: Resolution acknowledging reciprocal land use; City and BMU This resolution clarifies the intent of the City and Brookings Municipal Utilities for use of two parcels of property each previously used by the other party. The first parcel involves the old BMU transformer site on Front Street which will now be used as a garage and excess parking lot for the City- County Government Center. BMU no longer needs the site for a transformer and it has been dismantled. The second parcel involves a small section of Pioneer Park just south of the access road on Western Avenue which BMU would like to use as an expansion of the adjacent electrical sub- station. It is also adjacent to property owned by the Brookings County Highway Department. Both parcels are identified on attached aerial photos. The park parcel will have negligible impact on Pioneer Park, except to displace some parking during the Arts Festival. Since both parcels are in the name of the City of Brookings, there is no need for any formalized land transfer and this resolution will suffice as a mutual understanding of the change in uses and express permission thereto. City Council Packet April 26, 2011 46 Resolution No. 53-11 A Resolution approving an Agreement with Brookings Municipal Utilities Pertaining to the Use of Certain Real Property in the City of Brookings, SD Whereas, Brookings Municipal Utilities intends to discontinue the use of the electrical substation located southeast of the intersection of Front Street and Fifth Avenue and desires to transfer use of the electrical substation property (Tract I below) from the property under the management and control of Brookings Municipal Utilities to the City of Brookings for such use as the City Council deems appropriate, and Whereas, the City of Brookings and Brookings Municipal Utilities, have identified a parcel of real property (Tract 2 below) which is no longer required for park and recreation purposes and is therefore available for use by Brookings Municipal Utilities for the improvement and expansion of an existing electrical substation, and Whereas, the Resolution is intended to set forth the plan for the future use of the above referenced properties, and to designate the properties, as legally described below, to be under the control of the City of Brookings and Brookings Municipal Utilities, respectively, Now, Therefore, Be It Resolved by the City Council of the City of Brookings, South Dakota, that Tract I, described below, shall become immediately available and is hereby designated as property under the management and control of the City of Brookings. Be It Further Resolved that Tract 2, also described below, shall become immediately available and is hereby designated as property under the management and control of the Brookings Municipal Utilities for municipal utilities purposes. Tract I -Exhibit I Lot 4 of the Railroad Second Addition to the City of Brookings, County of Brookings, State of South Dakota, in the northeast quarter of Section 26 Township I 10 North Range 50 West of the Fifth Principal Meridian Tract 2 -Exhibit 2 An irregular parcel, bounded by Outlot "A" on the southern edge and bounded on western edge by the west section line of the northwest quarter of Section 26 Township I 10 North Range 50 West of the Fifth Principal Meridian Passed and approved this 26th day of April, 2011. CITY OF BROOKINGS ATTEST: Tim Reed, Mayor Shari Thornes, City Clerk City Council Packet April 26, 2011 49 Open Forum 5. Invitation for a Citizen to schedule time on the Council Agenda for an issue not listed. At this time, any member of the public may request time on the agenda for an item not listed. Items are typically scheduled for the end of the meeting; however, very brief announcements or invitations will be allowed at this time. 6. SDSU Student Senate Report. President – Mark York Vice-President – Anthony Sutton Administrative Assistant – Brooke Reiner Finance Chair – Brian Gottlob State & Local Chair – Jameson Berreth SDSU Senate Website: http://www.wix.com/sdsu_sa/sa City Council Packet April 26, 2011 50 Contract Awards / Change Orders 7. Renewal of Management Contract for the Swiftel Center. April 12, 2011 TO: Mayor and Council Members FROM: City Manager Jeff Weldon RE: Renewal of management contract for Swiftel Center Our management contract with VenuWorks is scheduled to expire July 1, 2011 after a five-year agreement. VenuWorks has requested a renewal with the same terms and conditions as the existing agreement. The attached document identified as ADDENDUM #1 provides for a five-year extension under the same terms and conditions. There are two technical changes which involve changing the vendor name from COMPASS (the company‘s previous name) to VENUWORKS, and changing the date to provide for the extension. VenuWorks has done a very good job for us the past five years. I have reviewed the current agreement and recommend we continue with the same terms and conditions. City Manager Introduction Action: Motion to Approve, Request Public Comment, Roll Call 1 SWIFTEL CENTER, BROOKINGS, SOUTH DAKOTA MANAGEMENT AGREEMENT ADDENDUM 1 This Addendum (“Addendum”) to the Management Agreement (“Agreement”), for the management of Swiftel Center, is made and entered into as of April 1, 2011, by and between the City of Brookings (CITY), a South Dakota municipality with offices at 311 Third Avenue, Brookings, SD 57006 and VenuWorks of Brookings, LLC, an Iowa limited liability corporation with primary offices at 4611 Mortensen Road, Suite 111, Ames, IA 50014 (VenuWorks”), formerly known as Compass of Brookings, LLC. W I T N E S E T H WHEREAS, CITY is the Owner of facilities known as the Swiftel Center, this Management Agreement shall continue to make reference to the management of the Swiftel Center, the holding Barn attached to the Larson Ice Center and to the County Resource Center for limited purposes. The CITY facilities being governed by this document shall hereinafter be referred to as “FACILITY”; and WHEREAS, VenuWorks is in the business of providing management, operation, marketing and food and beverage services to entertainment and meeting facilities such as this FACILITY and possesses the knowledge and expertise to manage and market the FACILITY; and WHEREAS, CITY and VenuWorks executed an agreement for the management of the FACILITY , dated July 1, 2006, the Management Agreement, which is hereby incorporated along with its exhibits into this Addendum; and WHEREAS, CITY and VenuWorks are desirous of extending the Agreement, with certain modifications and updates, as set forth herein; 2 NOW, THEREFORE, in consideration of the mutual promises contained herein and other consideration the sufficiency of which is hereby acknowledged, the parties hereto agree as follows: A. All references to “Compass of Brookings, LLC” are hereby changed to “VenuWorks of Brookings, LLC”. B. The term of the Agreement as stated in ARTICLE 2 of the Agreement, shall be extended for a period of five years, beginning August 1, 2011 and ending July 31, 2016, unless earlier terminated as set forth in the Agreement. C. Management Fee and Incentive calculation will continue as per the original agreement and any attached addendums, continuing at rates established for the 2011 Fiscal Year. Annual increases for the Base Management Fee will occur January 1 of each Fiscal Year. WHEREOF, the parties hereto have caused this Addendum to be executed on the day and year first above written. For City of Brookings, South Dakota ________________________________________ _______________________ By Jeff Weldon, City Manager Date For VenuWorks of Brookings, LLC ________________________________________ _______________________ By Tom Richter, Executive Director Date City Council Packet April 26, 2011 82 Contract Awards / Change Orders 8. Action on Resolution No. 54-11, awarding a contract for 2011- 07STI Main Avenue and Front Street Project. This project was designed by Civil Design Inc. and it entails the construction of new curb & gutter and islands at the railroad tracks on Main Avenue in preparation for the new railroad safety crossing gate project, realignment and reconstruction of Front Street between 3rd Street and Main Avenue, and the construction of the Fire Department Parking Lot and the Park & Recreation Parking Lot. The City will be reimbursed for $100,000 from the Railroad Crossing Improvement Program (RCIP) through the SD Department of Transportation for the new railroad safety crossing gates. The program‘s purpose is to provide funding for the implementation of safety improvements where a public roadway intersects active railroad tracks. In the design of the project, the Front Street intersection at Main Avenue was moved to the north of its current location to provide the appropriate stacking distance on the north side of the railroad tracks. The layout of the new alignment is included with this memo. The City opened bids on Tuesday, April 12, 2011 at 1:30 pm at Brookings City Hall; and the following bids were received: Bowes Construction Carstensen Contracting Rounds Construction Carlson Company Engineers Brookings, SD Pipestone, MN Brookings, SD Tea, SD Estimate Base Bid $323,511.58 $330,189.50 $352,524.69 $394,239.07 $357,432.54 Alternate 1 (concrete p.lot) $54,093.00 $68,612.70 $65,272.22 $67,454.92 $60,736.00 Alternate 2 (asphalt p. lot) $31,524.00 $46,476.60 $41,961.00 $44,044.14 $33,760.50 Total Base Bid + Alt 1 $377,604.58 $398,802.20 $417,796.91 $461,693.99 $418,168.54 Total Base Bid + Alt 2 $355,035.58 $376,666.10 $394,485.69 $438,283.21 $391,193.04 This project was designed such that the Base Bid plus either Alternate 1 or Alternate 2 would be selected. The base bid entailed the majority of the project including pavement removal, grading, curb and gutter and a 41‘ wide City Council Packet April 26, 2011 83 concrete street (Front Street). Alternate 1 would construct the parking lots with 6" non-reinforced Concrete Pavement and Alternate 2 would construct the parking lots with Class E, Type 1 Asphalt Pavement. The attached letter from Civil Design, Inc. describes the bid prices in comparison to the engineer‘s estimate. The attached Life Cycle Cost Analysis Report details the cost savings with Alternate 1 (concrete parking lots) of $71,416 over a 40 year service life of the parking lots. Civil Design, Inc. and the City both recommend awarding the base bid plus Alternate 1 (concrete parking lot) due to these reasons. This resolution will award the project to the low bid from Bowes Construction, Inc., Brookings, SD, for base bid of $323,511.58 and Alternate 1 (concrete parking lot) for $54,093.00 for a total contract of $377,604.58. City Manager Introduction Action: Motion to Approve, Request Public Comment, Roll Call City Council Packet April 26, 2011 84 Resolution No. 54-11 Resolution Awarding Bids on Project 2011-07STI Main Avenue & Front Street Project Whereas, the City of Brookings opened bids for Project 2011-07STI Main Avenue & Front Street Project on Tuesday, April 12, 2011 at 1:30 pm at Brookings City Hall; and Whereas, the City of Brookings has received the following bids for Project 2011-07STI Main Avenue & Front Street Project: Bowes Construction Carstensen Contracting Rounds Construction Carlson Company Brookings, SD Pipestone, MN Brookings, SD Tea, SD Base Bid $323,511.58 $330,189.50 $352,524.69 $394,239.07 Alternate 1 concrete parking lot $54,093.00 $68,612.70 $65,272.22 $67,454.92 Alternate 2 asphalt parking lot $31,524.00 $46,476.60 $41,961.00 $44,044.14 Total Base Bid + Alt 1 $377,604.58 $398,802.20 $417,796.91 $461,693.99 Total Base Bid + Alt 2 $355,035.58 $376,666.10 $394,485.69 $438,283.21 Whereas, the City of Brookings has selected Alternate 1, concrete parking lot, due to the lower life-cycle costs over a 40-year pavement life compared to asphalt. Now Therefore, Be It Resolved that the low base bid of $323,511.58 and Alternate 1 (concrete parking lot) for $54,093.00 for a total $377,604.58 for Bowes Construction, Inc., Brookings, SD be accepted. Passed and approved this 26th day of April 2011. CITY OF BROOKINGS Tim Reed, Mayor ATTEST: Shari Thornes, City Clerk City Council Packet April 26, 2011 87 Contract Awards / Change Orders 9. Action on Resolution No. 55-11, awarding a contract for 2011- 06STI Chip Seal Project. This project is the chip seal project for the 2011 Project Area, which is located between 8th Street South and 20th Street South and between Medary Avenue and 22nd Avenue. This is an annual project, where the contractor applies oil and city-purchased pea rock chips to the streets. The City then sweeps up the excess chips a few days afterward. This year we will utilize washed pea rock for the chip seal, which should minimize the dust after the application. The City opened bids on Tuesday, April 19, 2011 at 1:30 pm at Brookings City Hall; and the following bids were received: Bituminous Paving, Inc., Ortonville, MN $197,325.00 Topkote, Inc., Yankton, SD $205,920.00 The Road Guy Construction Co., Yankton, SD $214,500.00 The low bid was approximately 7% lower than the Engineers Estimate of $213,750.00. The City of Brookings does not have any chip seal experience with Bituminous Paving, Inc., but they are an established company and it is recommended that the project be awarded to them as the low bidder. This resolution will award the project to the low bid of Bituminous Paving, Inc., Ortonville, MN, for the contract amount of $197,325.00. City Manager Introduction Action: Motion to Approve, Request Public Comment, Roll Call City Council Packet April 26, 2011 88 Resolution No. 55-11 Resolution Awarding Bids on Project 2011-06STI Chip Seal Project Whereas, the City of Brookings opened bids for Project 2011-06STI Chip Seal Project on Tuesday, April 19, 2011 at 1:30 pm at Brookings City Hall; and Whereas, the City of Brookings has received the following bids for Project 2011-06STI Chip Seal Project: Bituminous Paving, Inc., Ortonville, MN $197,325.00 Topkote, Inc., Yankton, SD $205,920.00 The Road Guy Construction Co., Yankton, SD $214,500.00 Now Therefore, Be It Resolved that the low bid of $197,325.00 for Bituminous Paving, Inc., Ortonville, MN be accepted. Passed and approved this 26th day of April 2011. CITY OF BROOKINGS Tim Reed, Mayor ATTEST: Shari Thornes, City Clerk City Council Packet April 26, 2011 89 Contract Awards / Change Orders 10. Action on Resolution No. 56-11, awarding a contract for a police vehicle. One bid was received on April 19th for the purchase of a Rapid Deployment Vehicle for the Brookings SWAT Team from The Armored Group of Fort Worth, TX in the amount of $62,297.49. Currently the tactical response team (SWAT) deploys in police cars and carries their equipment in a pickup or SUV. The acquisition of the rapid deployment vehicle will allow the tactical response team to deploy as one unit, carrying their equipment with them and respond as a cohesive unit. The Brookings SWAT Team has been in existence since the early 1980‘s and has gradually increased their size and capabilities. The police department went through a lengthy proposal and study to the Department of Homeland Security to approve this acquisition as a necessary vehicle for the Brookings SWAT Team. The addition of the Rapid Deployment Vehicle (RDV) will enhance response time and capability. As a part of this purchase, the Brookings Police Department secured a reimbursement for the purchase of this vehicle through Homeland Security. The police department is requesting approval from the council for the initial purchase of this vehicle for $62,297.49, which will later be reimbursed by the Department of Homeland Security. A letter of verification for reimbursement is available upon request. City Manager Introduction Action: Motion to Approve, Request Public Comment, Roll Call City Council Packet April 26, 2011 90 Resolution No. 56-11 Purchase of Rapid Deployment Vehicle (RDV) Whereas, the City of Brookings purchases police vehicles to add to the fleet of the Brookings Police Department and Whereas, the City of Brookings has acquired a reimbursement from a Homeland Security Grant, the addition and purchase of a rapid deployment vehicle for its SWAT Team for the fiscal year 2011 and Whereas, the Brookings Police Department has requested the purchase of a rapid deployment vehicle for its SWAT Team to be reimbursed by Homeland Security and Whereas, the Brookings Police Department has received an offering according to specifications set forth from The Armored Group LLC of Fort Worth Texas of a Ford E450 Dual Wheel Chassis Rapid Deployment Vehicle. Now, Therefore, Be It Resolved by the governing body of the City of Brookings, South Dakota, shall approve the purchase of a 2011 Ford E450 Dual Wheel Chassis Rapid Deployment Vehicle from The Armored Group LLC of Fort Worth Texas. Passed and approved this 26th day of April, 2011. CITY OF BROOKINGS Tim Reed, Mayor ATTEST: Shari Thornes, City Clerk City Council Packet April 26, 2011 91 First Readings** 11. Ordinance No. 9-11: An Ordinance providing for the sale of food, beverages and merchandise by temporary vendors upon sidewalks in the Central Business District in the City of Brookings. Public Hearing: May 10, 2011 **No vote is taken on the first reading of an Ordinance. The title of the Ordinance is read and the date for the public hearing is announced. An ordinance to permit the sale of food, beverages and merchandise on the sidewalks in the downtown area was approved in 2003. This ordinance allows business owners/operators to sell their products on the public sidewalk that abuts their business. The ordinance prohibits someone other than the current business owner/operator from doing this now. This amendment would allow a temporary vendor to come into the downtown area and sell food, beverages, or merchandise on the sidewalk in front of a business only if that business gave them permission to do so. The vendor would be required to obtain a permit from the city, pay a fee, and follow the same regulations as a downtown business would have to follow, plus several new regulations that are in the proposed ordinance. There is also a non-compete type clause built into the regulations. The underlined words, sentences and sections in the attached ordinance are new. Temporary vendors can now only set up on private commercial property when there is ample room to do so. This occurs from time to time on commercial properties with surface parking lots or other outdoor areas. City Council Packet April 26, 2011 92 Ordinance No. 09-11 An ordinance providing for the sale of food, beverages and merchandise by temporary vendors upon sidewalks in the Central Business District in the City of Brookings Be it ordained by the Council of the City of Brookings, State of South Dakota that Article II. of Chapter 74 of the Code of Ordinances shall be amended as follows: Section 1. DIVISION 1.5. USE OF SIDEWALKS AND STREETS IN THE CENTRAL BUSINESS DISTRICT Subdivision A. Placement of Advertising, Décor, Merchandise, and Articles on Sidewalks in the Central Business District. (Ord. No. 26-03, § I, 9-9-2003) Sec. 74-34. Placement and sale of goods and articles on sidewalk or street No person shall place any advertising, decorative articles, merchandise, tables or other articles upon any sidewalk or street in the city unless otherwise permitted by this chapter, except that, for the purpose of loading or unloading, such articles may be placed upon the sidewalk or street for such time as may be necessary to load or unload the same. In no instance shall any such articles be left upon the sidewalk or street after sunset and before sunrise in such a way as to obstruct the sidewalk. Outdoor sale of merchandise and placement of outdoor advertising and decorative structures in the Central Business District shall be subject to the regulations set forth in this subdivision. Sec. 74-35. - Definitions. [The following definitions shall apply when used in this subdivision:] Central Business District means the zoning district defined by that name in the Zoning Ordinance of the City of Brookings. Merchandise includes goods and items for sale, including plants, flowers, wearing apparel, jewelry, ornaments, art work, household or office supplies, books, and other goods or wares, but excludes food or beverages of any kind. Outdoor advertising and decorative structures includes, but is not limited to menu boards, benches, flower pots, portable signs. Outdoor merchandise area means an area in front of or adjacent to a retail business where merchandise is located on a public sidewalk for the purpose of displaying, exhibiting, selling or offering merchandise for sale. Sidewalk means all that area legally open to public use as a pedestrian public way between the curb line and the public right-of-way boundary along the abutting property. Temporary Vendor means any person or persons who engages in the sale to the public of any food or food products, goods, services, or merchandise of whatever nature, from either their City Council Packet April 26, 2011 93 person or mobile or stationary device, on a temporary basis on any sidewalk in the central business district. Sec. 74-36. - Outdoor merchandise areas, outdoor advertising and decor permitted in central business district. Outdoor sale of merchandise and placement of outdoor advertising and decorative structures are permitted on sidewalks in the Central Business District by the owner or operator of the business whose business is adjacent to the sidewalk upon which the merchandise, outdoor advertising or decorative structures are placed. Outdoor sale of merchandise and placement of outdoor advertising and decorative structures in the Central Business District shall be subject to the regulations set forth in this subdivision. Exception: An owner or operator of a business in the Central Business District may allow a temporary vendor to sell merchandise on the sidewalk adjacent to the business subject to the regulations in this subdivision and Division 2. Sec. 74-37. - Regulations pertaining to outdoor merchandise areas, advertising and decor in the central business district. (1) Advertising, decorative structures, merchandise and fixtures or devices upon which merchandise is displayed shall be located so that they do not impede, endanger or interfere with pedestrian traffic, with a minimum of six feet of passage for pedestrian traffic. (2) No fixtures or devices upon which outdoor merchandise is displayed shall be attached to the sidewalk or other public area. (3) Outdoor merchandise areas will be permitted only adjacent to the building or structure in which the business is located. Outdoor merchandise shall not be permitted next to the curb of the street. (4) Outdoor advertising, decorative structures or merchandise and fixtures or devices upon which merchandise is displayed shall not block regulatory signs, crosswalks or intersections and shall be sufficiently lit during times of low light in order to provide for safe pedestrian passage alongside the outdoor advertising, decorative structures or merchandise. All displays of merchandise within the outdoor merchandise area must meet a minimum height of 12 inches tall or be of sufficient size so that safe pedestrian traffic is not impeded. All merchandise located within the area that outdoor merchandise is displayed shall be placed so that the outdoor merchandise and the fixtures or devices on which the merchandise is displayed are stable and not easily tipped and do not include sharp edges, protrusions or other features which may be hazardous to the public. (5) All merchandise and the fixtures or devices upon which the merchandise is displayed shall be moved inside the building wherein the retail business is located during hours the retail business is not in operation. The hours of operation for temporary vendors are regulated by Division 2. (6) All merchandise and the fixtures, or devices upon which the merchandise is displayed must be secured so that it may not be dislodged during windy or stormy weather prior to being moved inside the building wherein the retail business is located. City Council Packet April 26, 2011 94 (7) The owner or operator of the business or temporary vendor displaying the outdoor merchandise shall be responsible for the maintenance, upkeep and security of the fixtures or devices upon which the merchandise is displayed. (8) The owner or operator of the business or temporary vendor displaying the outdoor merchandise shall be responsible for keeping the outdoor merchandise area clean of garbage, trash, paper, cups, cans or litter associated with the operation of the outdoor merchandise area. (9) Signs attached to the outdoor merchandise fixtures shall be secured so that they are not dislodged during windy or stormy weather. (10) Outdoor merchandise areas shall not contain any live animals. Subdivision B. Outdoor Food and Beverage Service and Dining in the Central Business District Sec. 74-38. – Outdoor food and beverage service and dining areas permitted in central business district. (Ord. No. 26-03, § II, 9-9-2003) Outdoor food and beverage service and dining is permitted on sidewalks in the Central Business District by the owner or operator of the business whose business is adjacent to the sidewalk upon which the food and beverages are to be sold, served or consumed. Outdoor sales and service of food, beverages and outdoor dining in the Central Business District shall be subject to the regulations set forth in this subdivision. Exception: An owner or operator of a business in the Central Business District may allow a temporary vendor to sell food or beverages on the sidewalk adjacent to the business subject to the regulations in this subdivision and Division 2. Sec. 74-39. - Definitions. [The following definitions shall apply when used in this subdivision:] Central Business District means the zoning district defined by that name in the Zoning Ordinance of the City of Brookings. Outdoor dining area means an area on a public sidewalk in front of and adjacent to a business where food or beverages are sold, served or consumed. Sidewalk means all that area legally open to public use as a pedestrian public way between the curb line and the public right-of-way boundary along the abutting property. Temporary Vendor means any person or persons who engages in the sale to the public of any food or food products, goods, services, or merchandise of whatever nature, from either their person or mobile or stationary device, on a temporary basis on any sidewalk in the central business district. Sec. 74-40. - Regulations pertaining to outdoor food and beverage service and dining areas in the central business district. (1) Outdoor sales and service of food, beverages and outdoor dining in the Central Business District shall be subject to the regulations set forth in this subdivision. City Council Packet April 26, 2011 95 (2) No alcoholic beverages may be sold, served or consumed on a sidewalk unless a license has been issued pursuant to applicable law. (3) Outdoor food or beverage sales and outdoor dining shall be located so that such service and dining does not impede, endanger or interfere with pedestrian traffic. Tables, chairs, benches and food and beverage carts and equipment shall be located so that they do not impede, endanger or interfere with pedestrian traffic, with a minimum of six feet of passage for pedestrian traffic. (4) No fixtures or devices on which food or beverages are sold or consumed shall be attached to the sidewalk or other public area. (5) Outdoor food or beverage sales and outdoor dining will be permitted only adjacent to the building or structure in which the business providing the outdoor food and beverage service is located. No tables, chairs, benches and food and beverage carts or equipment shall be permitted next to the curb of the street. (6) Tables, chairs, benches and food and beverage carts and equipment shall not block regulatory signs, crosswalks or intersections and shall be sufficiently lit during times of low light in order to provide for safe pedestrian passage alongside the outdoor dining area. All tables, chairs, benches and food and beverage carts and equipment shall not have sharp edges, protrusions, or other features which may be hazardous to the public. (7) All tables, chairs, benches and food and beverage carts and equipment used for food and beverage sales or consumption shall be moved inside the building wherein the business is located during hours the business is not in operation, unless the tables and chairs are secured to the building or secured together with a cable in a preapproved fashion. The hours of operation for a temporary vendor are regulated by Division 2. (8) All tables, chairs, benches and food and beverage carts and equipment used for food and beverage sales or consumption must be secured so that they may not be dislodged during windy or stormy weather. (9) The business owner or operator, or temporary vendor who conducts outdoor food or beverage sales and outdoor dining shall be responsible for the maintenance, upkeep and security of all tables, chairs, benches and food and beverage carts and equipment used for food or beverage sales and outdoor dining. (10) The business owner or operator or temporary vendor who conducts outdoor food or beverage sales and outdoor dining shall be responsible for keeping the outdoor merchandise area clean of garbage, trash, paper, cups, cans or litter associated with the operation of the outdoor dining area. (11) Signs used to advertise to the outdoor food or beverage sales and the outdoor dining area shall be secured so that they are not dislodged during windy or stormy weather. Secs. 74-41—74-60. - Reserved. DIVISION 2. –PERMIT Sec. 74-66. Temporary vendor permit; fee required It shall be unlawful for any temporary vendor to engage in such business upon any sidewalk in the Central Business District without first obtaining a permit as required by this division. A fee shall be paid for said permit, as set by resolution from time to time by the City Council. City Council Packet April 26, 2011 96 Sec. 74-67. Application An application for a permit shall be submitted to the city with the following information: 1. Applicant‘s name, address and phone number (personal and business) 2. Applicant‘s drivers license number and date of birth 3. Adjacent business owner‘s/operator‘s signature of consent 4. Type(s) of food, beverage, or merchandise to be sold 5. Tax ID number and other state required license information (food service license, etc.) 6. Photo of device to be used for vending 7. Certificate of Insurance with City of Brookings as additionally insured ($1,000,000 for food and $25,000 for merchandise) 8. Site map showing exact location on sidewalk of operation including maximum length and width of proposed space to be used. 9. All proposed signage on the stationary or mobile device or umbrella. Sec. 74-68. Restrictions and operational limits 1. No permit may be used for food, beverages or merchandise not stated on the application 2. Food, beverages and merchandise shall be sold only to pedestrians. Soliciting motorists is strictly prohibited. 3. No permit shall be granted for a period exceeding 14 consecutive days. Renewals shall be permitted subject to the applicant‘s compliance history. 4. Glass containers are prohibited 5. The permit is not transferable in any manner 6. The permit is valid only at the location shown on the application 7. All vendors must have a trash receptacle 8. The use of any noise producing devices is prohibited 9. Total signage shall not exceed 8 square feet. Freestanding signage is prohibited. 10. Operating hours are limited to the hours between 7:00 am and 10:00 pm. Devices must be removed from the sidewalk during non-operating hours. Hours may be extended by an authorized city official. 11. No food, beverages, or merchandise may be sold within 100 feet of the door of a business owner or operator selling the same product. The distance shall be measured in a straight line from the device to the main entrance to the business. Sec. 74-69. Misrepresentation It shall be unlawful for any temporary vendor to make false or fraudulent statements concerning the quality or the nature of its goods, wares, merchandise or services for the purpose of inducing another to purchase the same. Sec. 74-70. Suspension or Revocation City Council Packet April 26, 2011 97 The city may suspend or revoke any permit issued pursuant to this article if false information was submitted in the permit application or if any local, state or federal law or regulation has been violated. Section 2. Any or all ordinances in conflict herewith are hereby repealed. First Reading: April 26, 2011 Second Reading: Published: CITY OF BROOKINGS, SD Tim Reed, Mayor ATTEST: Shari Thornes, City Clerk e TEMPORARY VENDOR PERMIT Date of application         Fee $ Vendor's Name    Home/mobile phone Vendor's address Vendor's business name Vendor's driver's license #        DOB: Address of business (business adjacent to vendor's location) Owner/Operators signature         Date:                      (consent to occupy abutting sidewalk) Type of product to be sold (list all) Tax ID #             Food Service License # Proposed days and hours of operation Please attach the following: Photo of device to be used for vending Certificate of InsuranceCertificat of Insurance Site plan showing exact location of device on sidewalk Size of signage to be used on device/umbrella (freestanding signage is prohibited) Distance to business selling same product (measured from device to front door) The undersigned hereby certifies that he/she has reviewed and agrees to abide by the requirements for temporary sidewalk vending as set forth in Divisions 1.5 and 2 of Article II of Chapter 74 of the Code of Ordinances of the City of Brookings. Vendor's signature:       Date: OFFICE USE ONLY Permit form complete attachments Fee paid Permit approved City Official Date City Council Packet April 26, 2011 99 First Readings** 12. Ordinance No. 10-11: An Ordinance entitled “An Ordinance authorizing a supplemental appropriation to the 2011 Budget for the purpose of providing for additional funds for the operation of the City. Public Hearing: May 10, 2011 **No vote is taken on the first reading of an Ordinance. The title of the Ordinance is read and the date for the public hearing is announced. Date: April 26, 2010 To: Mayor and City Council Members From: Jeffrey W. Weldon, City Manager Subject: 2011 Budget Amendment #1 Budget amendment #1 in 2011 is increasing General Fund revenues by $275,680, increasing expenditures by $275,680, and moving land purchased in 2010 from the General Fund to the Industrial Land Development Fund. The additional revenue in the general fund is made up of a transfer from the 25% S&U Tax fund for 2010 purchases received in 2011 and a transfer from the Public Improvement fund for the 34th Avenue improvement, a grant for a rapid deployment vehicle in the amount of $64,068, remainder of the Safe Routes to School $2,414, a donation by Paul Moriarty for signage at the Moriarty Park, a donation by Modern Woodsmen for benches along the bike trail, the Friends of Baseball payment reimbursing expenditures in 2010 was not received until 2011, and Forestry has completed additional line clearance for the utilities. The breakdown of revenue follows: Swat team gas mask & vest & radio antenna $20,600 Transfer 34th Ave overlay & Fire Range Building $151,550 RD vehicle & SRTS Grants $69,482 Donation for signage in park & benches $5,950 BMU payment for line clearance service $20,000 Friends of Baseball 2010 payment $12,398 Maintenance on rentals-loss of rent -$4,300 Total $275,680 City Council Packet April 26, 2011 100 The increased expenditures of $275,680 in 2011 are made up of additional expenditures from 2010 in the amount of $213,099. The 2010 expenditures are as follows: Finance lease payment $1,949 Swat gas mask & radio tower antenna $20,600 Fire Range building $48,550 34th Avenue overlay $103,000 Streetscape benches, tables, & sign $39,000 2010 General Fund Expenses $213,099 The 2011 budget expenditures lines for insurance purposes are being adjusted to actual. For the general fund this is a decrease of $137,087. The property and liability insurance premiums is being reduced with the general fund $18,508. The work comp 2011 premium in the general fund is being reduced $11,258, and the group health insurance premiums are being reduced $107,321. The 2011 budget has been impacted substantially by the 2010-2011 snow fall. The additional $44,000 requested is for the additional overtime, contracted services, and repair of equipment necessary for snow removal last winter. Most snow storms occurred on weekends necessitating the overtime. There is an increase in expense lines to match grant income and donations in the amount of $70,018. There are small miscellaneous adjustments for unforeseen expenses. A few examples are additional auditing cost created by the amount of grants received in 2010, retirements or resignations announced in 2011, equipment repairs. The Special Revenue Funds are being amended to design the 32nd Avenue North project and design 20th Street South west. 25th Avenue project was budgeted within the Public Improvement fund however it has been determined this street will be assessable to the land owners and therefore we are moving the cost of designing and building the 25th Avenue project to the Special Assessment fund. Within the Public Improvement fund this will appear as a reduction of an expense and a transfer to Special Assessment fund will be added. The allocated monies for the S Main Sewer project are being reduced to zero as this project will be completed in future years. E-911 is being amended to recognize the grant money and expenditure for four computers and insurance lines adjusted. The Swiftel Center is being reimbursed for sales tax payable in previous years per audit and forwarding the balance of the 2010 capital improvement money. We are transferring the land purchased from Foster in 2010 for industrial land development from the General Fund to the Industrial Land Development Fund. Capital projects are being amended to recognize grant income and 2010 expenditures paid in 2011. Tax increment districts are being amended to complete the construction per the agreements. City Council Packet April 26, 2011 101 The Airport budget amendment of $80,000 is to build the addition to the ARFF building approved in 2010 to house airport equipment. Edgebrook Golf Course is being amended to allow a transfer from the public improvement fund to pay for the rebuilding of two tee boxes. In 2010 when the irrigation system was installed the project was completed under budget by $45,900. We are requesting using $10,000 of the reduced cost to build the tee boxes. The Landfill is recognizing a grant for the recycling of tires, increased ticket sales, and the transfer from the capital reserve for the purchase of a crawler loader per the capital improvement plan adopted last year. The budget lines for gasoline fuel and diesel fuel are a concern however we are recommending waiting until later in the year before doing a budget amendment. Oil tumbled more than 3 percent Tuesday (April 12) after Goldman Sachs warned investors that crude is due for a "substantial pullback." We have reviewed the previous year budget, usage, and average cost both nationally and locally. The departments within the general fund use approximately 49,500 gallons of gasoline a year and 16,700 gallons of diesel a year. We have budgeted a total of $213,200 for fuel expense in the general fund for 2011. If fuel stays at approximately $4 per gallon the budget would be short in the general fund an estimated $50,000. If the fuel would raise and hold at $5 per gallon the budget would be short in general fund approximately $100,000. I would recommend using a portion of the $225,000 contingency built into the 2011 budget to fund the shortage rather than cutting services. It is imperative we continue to provide the same level of essential services to the citizens of Brookings. City Council Packet April 26, 2011 102 Ordinance No. 10-11 An Ordinance Entitled “An Ordinance authorizing a supplemental appropriation to the 2011 Budget for the purpose of providing for additional funds for the operation of the City. Be It Ordained by the City of Brookings, South Dakota: Whereas, there are 2010 funds not expended in the amount of $213,099 within the general fund, and Whereas, there are 2010 capital not expended in the amount of $509,023 within the special revenue funds for the SDSU Wellness Center and Swiftel Center capital, and Whereas, there is a need to complete Innovation Campus project and the bike trail project from 2010 in the amount of $373,696, and Whereas, there is a need to complete tax increment capital projects, TIF#3 Valley View Addition and TIF#4 Sieler Addition from 2010 in the amount of $69,493, and Whereas, the money budgeted in 2010 to build an ARFF building to store equipment at the Airport were not spent, and Whereas, the land purchased by the General Fund for industrial land development was not transferred to the Industrial Land Development Fund, and Whereas, the railroad crossing arms and the redesign of Front Street and Main Avenue will be completed in 2011, and Whereas, the design and build of 25th Avenue will be completed in 2011, and Whereas, 34th Avenue overlay was not completed in 2010, and Whereas, 32nd Avenue North design will be completed in 2011, and Whereas, the Main Avenue South sewer main will not be completed in 2011, and Whereas, the EdgeBrook Golf Course needs improvements to two tee boxes, and Whereas, there is a need to recognize grants and grant expenditures, and Whereas, the landfill needs to recognize a tire grant and additional revenue and expenses, and Whereas State Law (SDCL 9-21-7) and the City Charter (4.06 (a) permit supplemental appropriations provided there are sufficient funds and revenues available to pay the appropriation when it becomes due, City Council Packet April 26, 2011 103 Now, Therefore, Be It Resolved by the City Council that the City Manager be authorized to make the following budget adjustments to the 2011 budget: Budget Amendment #1 Revenue Expense Policy & Adm-City Coucil,City Clerk, City Manager (5,422) Financial Adm-Finance, Human Res (1,777) Other-Non-Dept, Gen Gov Buildings, IT 172,150 1,560,794 Public Safety-Police, Fire, Animal Control 64,068 105,405 Public Works-Comm Dev, Engineer, Street 1,114 155,971 Culture & Recreation-Park,Rec,Forestry,Library 38,348 7,492 Total General Government 275,680 1,822,463 25% Sales & Use Tax 2,920 20,600 75% Public Improvement 100,000 442,573 E-911 4,093 (12,302) Swiftel Center 26,868 26,868 Industrial Park 1,546,783 50,361 Special Assessment 300,000 (360,000) Storm Drainage 1,873 Total Special Revenue 1,980,664 169,973 TIF#1 Innovation Campus 203,696 TIF#3 Valley View Addition 47,393 47,393 TIF#4 Sieler Addition 22,000 22,000 Bike Trail 70,696 170,000 Total Capital Projects 140,089 443,089 Airport Fund 80,000 EdgeBrook Golf Course 10,000 10,000 Landfill 632,000 632,000 Total Enterprise Funds 642,000 722,000 All Ordinances or parts of Ordinances in conflict herewith are hereby repealed. First Reading: April 26, 2011 Second Reading: May 10, 2011 Published: May 13, 2011 CITY OF BROOKINGS _________________________ ATTEST: Tim Reed, Mayor ____________________________ Shari Thornes, City Clerk Budget Ordinance  xx‐11 Amendment #1 April 26, 2011 By Function Original Amended Difference Account Number Department Description Detail Budget Budget 101‐401‐5‐421‐00 Mayor & Council Insurance Premium Disb $1,146 $911 ‐$235 101‐403‐5‐123‐00 City Clerk Group Ins Premium Disb $41,764 $37,091 ‐$4,673 101‐406‐5‐123‐00 City Manager Group Ins Premium Disb $5,954 $5,440 ‐$514 Policy & Adm Expenses ‐$5,422 101‐414‐5‐123‐00 Human Resources Group Ins Premium Disb $20,806 $18,967 ‐$1,839 101‐414‐5‐429‐10 Human Resources Safety Committee Safety & Wellness $5,000 $5,600 $600 101‐415‐5‐123‐00 Finance Group Ins Premium Disb $45,473 $36,853 ‐$8,620 101‐415‐5‐421‐00 Finance Insurance Premium Disb $593 $476 ‐$117 101‐415‐5‐422‐02 Finance Auditing Services Grants‐more hrs $41,600 $47,350 $5,750 101‐415‐5‐429‐09 Finance Miscellaneous Decals all vehicles $100 $600 $500 101‐415‐5‐940‐00 Finance Other Capital 2010 lease pay $3,897 $5,846 $1,949 Financial Adm Expenses ‐$1,777 101‐000‐4‐700‐04 Transfer In 25% S&U Tax 2010 Swat & radio tower $470,000 $490,600 $20,600 101‐000‐4‐700‐03 Transfer In 75% S&U Tax Fire Range Bldg $1,125,818 $1,174,368 $48,550 101‐000‐4‐700‐03 Transfer In 75% S&U Tax 34th Ave overlay $0 $103,000 $103,000 101‐000‐4‐691‐40 Insurance Refund/Disc Insurance Disc $0 Other & Nondepartmental Revenue $172,150 101‐405‐5‐422‐03 Consulting Environmental Study $63,500 $73,500 $10,000 101‐405‐5‐856‐96 Matching Grant Grant match $15,000 $4,500 ‐$10,500 101‐416‐5‐123‐00 Information Tech Group Ins Premium Disb $4,825 $4,409 ‐$416 101‐417‐5‐421‐00 Gen Gov Buildings Insurance Premium Disb $12,730 $9,812 ‐$2,918 101‐495‐7‐899‐03 Transfer Out Swiftel Transfer Sales tax audit $300,000 $317,845 $17,845$,$,$, 101‐495‐7‐899‐02 Transfer Out Industrial Asset transfer Foster Property $0 $1,546,783 $1,546,783 Other & Nondepartmental Expense $1,560,794 101‐421‐4‐334‐06 Police Grants Homeland Security $21,000 $85,068 $64,068 Public Safety Revenue $64,068 101‐421‐5‐123‐00 Police Group Ins Premium Disb $361,160 $338,264 ‐$22,896 101‐421‐5‐130‐00 Police Workers Comp Premium Disb $48,040 $46,363 ‐$1,677 101‐421‐5‐421‐00 Police Insurance Premium Disb $22,288 $20,842 ‐$1,446 101‐421‐5‐911‐00 Police Buildings Shooting Range $0 $48,550 $48,550 101‐421‐5‐930‐00 Police Machinery & Auto RDV $99,000 $163,068 $64,068 101‐421‐5‐950‐01 Police Capital less $5,000 Swat & Radio Tower $20,754 $41,354 $20,600 101‐422‐5‐123‐00 Fire Group Ins Premium Disb $36,703 $33,762 ‐$2,941 101‐422‐5‐130‐00 Fire Workers Comp Premium Disb $11,361 $10,978 ‐$383 101‐422‐5‐421‐00 Fire Insurance Premium Disb $24,559 $27,284 $2,725 101‐442‐5‐123‐00 Animal Control Group Ins Premium Disb $13,248 $12,053 ‐$1,195 Public Safety Expense $105,405 101‐418‐4‐662‐01 Community Dev Rental Occupancy $22,800 $18,500 ‐$4,300 101‐418‐4‐334‐09 Community Dev SRTS Grant ‐ SRTS $0 $2,414 $2,414 101‐431‐4‐334‐09 Street Grants Flood reimburse $10,000 $13,000 $3,000 Public Works Revenue $1,114 101‐418‐5‐123‐00 Community Develop Group Ins Premium Disb $52,484 $45,398 ‐$7,086 101‐418‐5‐425‐05 Community Dev Maintenance Bldg Rentals $1,000 $2,000 $1,000 101‐418‐5‐423‐05 Community Dev Adv/Public Education $0 $1,000 $1,000 101‐419‐5‐123‐00 Engineering Group Ins Premium Disb $49,276 $56,772 $7,496 101‐419‐5‐421‐00 Engineering Insurance Premium Disb $8,028 $5,863 ‐$2,165 101‐431‐5‐123‐00 Street Group Ins Premium Disb $127,593 $105,505 ‐$22,088 101‐431‐5‐130‐00 Street Workers Comp Premium Disb $33,489 $29,870 ‐$3,619 Page 1 Budget Ordinance  xx‐11 Amendment #1 April 26, 2011 By Function Original Amended Difference Account Number Department Description Detail Budget Budget 101‐431‐5‐421‐00 Street Insurance Premium Disb $37,648 $33,081 ‐$4,567 101‐431‐5‐101‐04 Street Overttime COLA & PP $25,000 $50,000 $25,000 101‐431‐5‐422‐07 Street Contracting Services Contractors $55,000 $68,500 $13,500 101‐431‐5‐425‐04 Street Maintenance Eqp 2 Snowblower $14,500 $20,000 $5,500 101‐431‐5‐960‐00 Street Digouts & Repair 2010‐34th Ave overlay $420,000 $523,000 $103,000 101‐431‐5‐920‐00 Street Streetscape Benches/Tables/Sign $0 $39,000 $39,000 Public Works Expense $155,971 101‐451‐4‐446‐07 Recreation Reimbursement 2010 Friends/Baseball $9,000 $21,398 $12,398 101‐452‐4‐446‐10 Donations Signage/Moriarity Bench's on trail/Signage $3,000 $8,950 $5,950 101‐454‐4‐441‐09 Forestry Miscellaneous Reimb Exp‐BMU $15,000 $35,000 $20,000 Culture & Recreation Revenue $38,348 101‐451‐5‐101‐00 Recreation Regular Pay $206,934 $209,198 $2,264 101‐451‐5‐123‐00 Recreation Group Ins Premium Disb $34,300 $18,906 ‐$15,394 101‐451‐5‐130‐00 Recreation Workers Comp Premium Disb $24,244 $1,291 ‐$22,953 101‐451‐5‐421‐00 Recreation Insurance Premium Disb $12,968 $11,480 ‐$1,488 101‐452‐5‐101‐00 Parks Regular Pay $371,777 $398,442 $26,665 101‐452‐5‐123‐00 Parks Group Ins Premium Disb $89,648 $91,612 $1,964 101‐452‐5‐130‐00 Parks Workers Comp Premium Disb $20,090 $32,847 $12,757 101‐452‐5‐421‐00 Park Insurance Premium Disb $30,661 $24,246 ‐$6,415 101‐452‐5‐940‐00 Parks Other Cap Signage & Benches $77,416 $83,366 $5,950 101‐454‐5‐101‐00 Forestry Regular Pay $224,444 $234,970 $10,526 101‐454‐5‐123‐00 Forestry Group Ins Premium Disb $45,794 $34,664 ‐$11,130 101‐454‐5‐130‐00 Forestry Workers Comp Premium Disb $52,713 $57,053 $4,340 101‐454‐5‐421‐00 Forestry Insurance Premium Disb $4,689 $4,013 ‐$676 101‐454‐5‐426‐06 Forestry Horticulture Trees $10,000 $15,000 $5,000 101‐454‐5‐911‐00 Forestry Buildings Addn'l cost $50,000 $65,000 $15,000 101‐455‐5‐123‐00 Library Group Ins Premium Disb $79,432 $61,443 ‐$17,989 101‐455‐5‐130‐00 Library Workers Comp Premium Disb $1,577 $1,854 $277 101‐455‐5‐421‐00 Library Insurance Premium Disb $8,254 $7,048 ‐$1,206 Culture & Recreation Expense $7,492 Total General Fund Revenue $275,680 Total General Fund Expense $275,680 General Fund Transfer of Asset $1,546,783 212‐000‐4‐441‐08 25% Sales & Use Wildfire Reimb $0 $2,920 $2,920 25% Sales & Use Revenue $2,920 212‐000‐7‐899‐00 25% Sales & Use Transfer to GF 2010 Swat Vest $1,125,818 $1,146,418 $20,600 25% Sales & Use Expense & 10 Radio Tower $20,600 213‐000‐4‐441‐08 75% Sales & Use Grant Main Ave & Front St $0 $100,000 $100,000 75% Sales & Use Revenue $100,000 213‐000‐5‐856.67 75% Public Improve Wellness Center $0 $500,000 $500,000 213‐000‐5‐911‐01 75% Public Improve RR Crossings Main Ave & Front St $250,000 $522,000 $272,000 213‐000‐5‐940‐00 75% Public Improve Other Cap/25th Ave Build 25th Ave $800,000 $0 ‐$800,000 213‐000‐7‐899‐00 75% Public Improve Transfer to GF Fire Rge Bldg‐Antenna $470,000 $518,550 $48,550 213‐000‐7‐899‐00 75% Public Improve Transfer to Spl Assmnt 2010‐34th Ave overlay $0 $103,000 $103,000 213‐000‐7‐899‐03 75% Public Improve 10 bal CIP Swiftel Center $316,500 $325,523 $9,023 213‐000‐7‐899‐28 75% Public Improve Transfer to Edgebrook T1 & 7 boxes $62,000 $72,000 $10,000 213‐000‐7‐899‐29 75% Public Improve Transfer to Spl Assmnt S Sewer Main $500,000 $0 ‐$500,000 213‐000‐7‐899‐29 75% Public Improve Transfer to Spl Assmnt 25th Ave build $0 $800,000 $800,000 Page 2 Budget Ordinance  xx‐11 Amendment #1 April 26, 2011 By Function Original Amended Difference Account Number Department Description Detail Budget Budget 75% Public Improve $442,573 214‐000‐4‐334‐09 E‐911 Grant Computer‐Dispatch $0 $4,093 $4,093 E‐911 Revenue $4,093 214‐000‐5‐123‐00 E‐911 Group Ins Premium Disb $81,982 $62,422 ‐$19,560 214‐000‐5‐130‐00 E‐911 Workers Comp Premium Disb $876 $686 ‐$190 214‐000‐5‐940‐00 E‐911 Software Pictomerty $0 $3,355 $3,355 214‐000‐5‐950‐01 E‐911 Capital less $5,000 4 Computers $0 $4,093 $4,093 E‐911 Expense ‐$12,302 224‐000‐6‐700‐00 Transfer In GF Sales tax due audit $300,000 $317,845 $17,845 224‐000‐6‐700‐04 Transfer In 75% Capital 2010 bal forward $316,500 $325,523 $9,023 Swiftel Center Revenue $26,868 224‐000‐5‐429‐09 Swiftel Center General Operations Sales Tax Audit $451,287 $469,132 $17,845 224‐000‐5‐940‐01 Swiftel Center Capital 2010 bal forward $316,500 $325,523 $9,023 Swiftel Center Expense $26,868 278‐000‐6‐700‐00 Transfer In GF Transfer Land Foster Property $0 $1,546,783 $1,546,783 Industrial Land Development  Asset Transfer $1,546,783 278‐000‐5‐422‐03 Industrial Park Design 32nd Ave N Proj $0 $50,000 $50,000 278‐000‐5‐701‐00 Industrial Park Cost of land sold RE taxes $0 $361 $361 Industrial Land Development  $50,361 280‐000‐6‐700‐20 Special Assessment Transfer In S& U tax 25th Ave build $0 $800,000 $800,000 280‐000‐6‐700‐20 Special Assessment Transfer In S&U tax S Main Sewer $500 000 $0 ‐$500 000280‐000‐6‐700‐20 Special Assessment Transfer In S& U tax S Main Sewer $500,000 $0 ‐$500,000 Special Assessment Revenues $300,000 280‐000‐5‐960‐00 Special Assessment Design 20th Street South $0 $60,000 $60,000 280‐000‐5‐960‐00 Special Assessment Design n build Design n Build 25th $970,000 $1,050,000 $80,000 280‐000‐5‐960‐04 Special Assessment S Main Sewer $500,000 $0 ‐$500,000 Special Assessment Expenditures ‐$360,000 282‐000‐5‐123‐00 Storm Drainage Group Ins Premium Disb $7,697 $10,550 $2,853 282‐000‐5‐130‐00 Storm Drainage Workers Comp Premium Disb $2,435 $1,455 ‐$980 Storm Drainage Expense $1,873 514‐000‐5‐429‐10 Innovation Campus 2010 bal Storm Dr Sewer $0 $61,150 $61,150 514‐000‐5‐433‐01 Innovation Campus 2010 bal Street,curb,gutter $0 $141,691 $141,691 514‐000‐5‐450‐08 Innovation Campus 2010 bal Designing Fee $0 $855 $855 Innovation Campus Expenses $203,696 516‐000‐4‐653‐50 TIF#3 Valley View Addn Loan Proceeds $0 $47,393 $47,393 TIF#3 Valley View Addn Revenue $47,393 516‐000‐5‐429‐09 TIF#3 Valley View Addn Other Project Exp $0 $7,393 $7,393 516‐000‐5‐433‐01 TIF#3 Valley View Addn Project Construct $40,000 $40,000 TIF#3 Valley View Addn Expense $47,393 517‐000‐4‐653‐50 TIF#4 Sieler Addn Loan Proceeds $0 $22,000 $22,000 TIF#4 Sieler Addn Revenue $22,000 517‐000‐5‐429‐09 TIF#4 Sieler Addn Other Project Exp $0 $22,000 $22,000 TIF#4 Sieler Addn Expense $22,000 Page 3 Budget Ordinance  xx‐11 Amendment #1 April 26, 2011 By Function Original Amended Difference Account Number Department Description Detail Budget Budget 550‐000‐4‐334‐09 Bike Trail 2010 bal Grants $70,696 550‐000‐6‐700‐04 Bike Trail 2010 bal Transfer in $0 Bike Trail Revenues $70,696 550‐000‐5‐940‐00 Bike Trail 2010 bal Improvement $170,000 Bike Trail Expenses $170,000 606‐000‐5‐911‐00 Airport Bldgs from 2010 ARFF Building $800,000 $880,000 $80,000 Airport Expenses $80,000 607‐000‐6‐700‐09 75% Sales & Use Tax Transfer in 75% S&U Rebuild T1&7 $62,000 $72,000 $10,000 Edgebrook Revenues $10,000 607‐000‐5‐940‐00 Edgebrook Other Cap Reconstruct T‐1&7 $55,000 $65,000 $10,000 Edgebrook Expenses $10,000 625‐000‐4‐861.09 Landfill Misc Capital Reserve $300,000 $750,000 $450,000 625‐000‐4‐334‐09 Landfill Grants Tire Grant/DENR $0 $100,000 $100,000 625‐000‐4‐848‐03 Landfill Ticket Sales $1,930,000 $2,012,000 $82,000 Landfill Revenues $632,000 625‐000‐5‐930‐00 Landfill Equipment Crawler Loader $310,000 $802,000 $492,000 625‐000‐5‐422‐07 Landfill Contracting Services Waste Tires $25,000 $125,000 $100,000 625‐000‐5‐425‐04 Landfill Maintenance Eqp 973 track repair $60,000 $100,000 $40,000 Landfill Expenses $632,000 Page 4 City Council Packet April 26, 2011 108 First Readings** 13. Ordinance No. 11-11: An Ordinance to change the Zoning within the City of Brookings (Foster): the NE ¼ of Section 19-T110N- R49W, excluding Lots H-4, H-5, the east 1620 feet, and the platted areas thereof be and the same is hereby rezoned and reclassified from an Agricultural A District to an Industrial I-1R District; and the east 1,620 feet of the NE ¼ of Section 19-T110N- R49W, excluding Lots H-4, H-5, and platted areas thereof be and the same is hereby rezoned and reclassified from an Agricultural A District to an Industrial I-1 District. Public Hearing: May 10, 2011 **No vote is taken on the first reading of an Ordinance. The title of the Ordinance is read and the date for the public hearing is announced. Applicant: City of Brookings Proposal: Rezone 83 acres of farmland for industrial uses Background: This acreage was purchased by the city in April 2010 and annexed in August 2010. The land is still farmed at this time. There is a sanitary sewer line and water line in an easement where the last section of 32nd Avenue will be constructed in the future to connect two dead end streets. Specifics: There are several abutting zoning districts. The B-3 District on the north side was established in the late 1960s. Farm implement sales, contractors‘ shops, and repair garages occupy this area. The B-5 Business Park District and Industrial I-1R District to the south are home to five smaller businesses. The B-4 District is city owned property. The I-1 zoning would permit ―light‖ manufacturing and processing uses. The initial thought was that an I-1 District would be appropriate, but there are other permitted uses that could become quite intensive given the location. The I-1R District could be an option since the site plan regulations would require a higher level of design/review. A combination of the two districts is another option with 32nd Avenue as a zone boundary line. Recommendation: The Planning Commission voted 8 yes and 0 no to recommend rezoning the land into two industrial districts with an Industrial I-1R District between I- 29 and the future 32nd Avenue, and an Industrial I-1 District between the future 32nd Avenue and 34th Avenue. City Council Packet April 26, 2011 109 Ordinance No. 11-11 An Ordinance to change the Zoning within the City of Brookings Be it ordained by the governing body of the City of Brookings, South Dakota, Section 1. That the real estate situated in the City of Brookings, County of Brookings, State of South Dakota, described as follows: The NE ¼ of Section 19-T110N-R49W, excluding Lots H-4, H-5, the east 1620 feet, and the platted areas thereof be and the same is hereby rezoned and reclassified from an Agricultural A District to an Industrial I-1R District; and The east 1620 feet of the NE ¼ of Section 19-T110N-R49W, excluding Lots H-4, H-5, and platted areas thereof be and the same is hereby rezoned and reclassified from an Agricultural A District to an Industrial I-1 District. In accordance with Section 94.7 of Article I of Ordinance 25-02 of the Code of Ordinances of Brookings, South Dakota, as said districts are more fully set forth and described in Articles III and IV of Ordinance No. 25-02 of the City of Brookings, South Dakota. Section 2. The permitted use of the property heretofore described be and the same is hereby altered and changed in accordance herewith pursuant to said Ordinance No. 25-02 of the City of Brookings, South Dakota. Section 3. All sections and ordinances in conflict herewith are hereby repealed. First Reading: April 26, 2011 Second Reading and Adoption: May 10, 2011 Published: CITY OF BROOKINGS Tim Reed, Mayor ATTEST: Shari Thornes, City Clerk City Council Packet April 26, 2011 110 NOTICE OF HEARING UPON PETITION TO REZONE NOTICE IS HEREBY GIVEN That the City of Brookings has submitted a petition to rezone the following described real estate in the City of Brookings, in Brookings County, South Dakota: The NE ¼ of Section 19-T110N-R49W, excluding Lots H-4, H-5, and the platted areas thereof from an Agricultural A District to an Industrial I-1 District. NOTICE IS FURTHER GIVEN That said request will be acted on by the City Planning Commission at 7:00 PM on Tuesday, April 5, 2011 in the Community Room in the lower level of City Hall, 311 3rd Avenue, Brookings, South Dakota. Any action taken by the City Planning Commission is a recommendation to the City Council. Any person interested may appear and be heard in this matter. Dated this 25th day of March 2011. ____________________________ Dan Hanson Planning & Zoning Administrator City Council Packet April 26, 2011 111 Planning Commission Brookings, South Dakota April 5, 2011 OFFICIAL MINUTES Chairperson Al Heuton called the regular meeting of the City Planning Commission to order on April 5, 2011, at 7:00 PM in the Community Room at City Hall. Members present were Wayne Avery, Hal Bailey, Mike Cameron, Donna DeKraai, Greg Fargen, Alan Gregg, John Sydow, and Heuton. John Gustafson was absent. Others present were Community Development Director Mike Struck and Planning and Zoning Administrator Dan Hanson. Item #4 – The City of Brookings has submitted a petition to rezone the NE¼ of Section 19- T110N-R49W, excluding Lots H-4, H-5, and the platted areas thereof from an Agricultural A District to an Industrial I-1 District. (Fargen/Avery) Motion to approve the rezoning. Fargen/Gregg) Amendment to the motion to rezone the west 1,020 feet between I-29 and 32nd Avenue to an Industrial I-1R District with the remaining land rezoned to an I-1 Industrial District. All present voted aye. AMENDMENT CARRIED. The motion, as amended, was voted on. All present voted aye. MOTION CARRIED. SUMMARY OF DISCUSSION Item #4 – Hanson offered two options for zoning the acreage. One option would be to establish an I-1R District between I-29 and 32nd Avenue. This district required additional landscaping and building setbacks than the I-1. The city‘s image would also be enhanced when viewed by interstate travelers. The second option would be to extend the I-1R District to the east side of the Midwest Microtek/Brookings Biotech lot. The Commission compared the setbacks of the two districts. The I-1 District had 20 foot setbacks on all sides while the I-1R had 60 feet front yard setbacks and 50 foot side and rear yard setbacks. The Commission felt the additional landscape regulations were important in this area and favored splitting the I-1R and I-1 Districts along 32nd Avenue. City Council Packet April 26, 2011 112 Sec. 94-136 INDUSTRIAL I-1 LIGHT DISTRICT (a) Intent. This district is intended to provide for a number of light manufacturing, light processing, warehousing and service uses. This district includes the supportive commercial uses for the industrial businesses. (b) Scope of Regulations. The regulations set forth in this section or set forth elsewhere in this title, when referred to in this section, are the district regulations of the Industrial I-1 Light District. (c) Permitted Uses. 1. Assembling and packaging 2. Freight handling 3. Manufacturing, light 4. Storage and warehousing 5. Processing, light 6. Parking facility or lot 7. Office 8. Truck stop 9. Automobile service station 10. Public utility facility 11. Reverse vending machine 12. Contractors shop and storage yard 13. Motor vehicle repair shop 14. Semi-trailer storage 15. Farm Implement Sales 16. Telecommunications Tower (d) Permitted Special Uses. A building or premises may be used for the following purposes in conformance with conditions prescribed herein: 1. Day care facility a. A four-foot (4') high transparent fence shall be constructed between the play area and the street. b. An off-street pick-up and drop-off area shall be provided. 2. Light processing facility for recyclables a. All storage and processing areas shall have perimeter fencing on all sides. 3. Buy back center for recyclables a. A list of the types of recyclable material to be collected shall be approved prior to the issuance of any permit 4. Citizens drop-off facility for recyclables a. Containers or bins shall be provided for all waste material. b. No container shall be located within 100 feet of a residential district. 5. Household hazardous waste site a. Such uses shall be within a completely enclosed building. b. The applicant shall comply with the provisions of all applicable laws and ordinances. 6. Transfer site for recyclables City Council Packet April 26, 2011 113 a. All storage areas shall have perimeter fencing on all sides. b. A list of the types of recyclable material to be collected shall be approved prior to the issuance of any permit. 7. Automobile storage yard a. Impound area shall be surfaced with gravel, asphalt or concrete. (e) Conditional Uses. 1. 1 Kennel 2. Broadcast Tower 3. Outdoor Sales 4. Concrete Plant (f) Density, Area, Yard and Height Regulations. The I-1 district regulations shall be as follows: Min. Min. Min. Min. Min. Max. Lot Lot Front Side Rear Height Density Area Width Yard Yard Yard Sq.Ft. Sq.Ft. All Uses 20' 20'* 20'* 50' *A fifty foot (50') landscaped area shall be required between an abutting residential district boundary line and any structure, access drive, parking lot or other accessory use. (g) Accessory Uses. Accessory uses and building permitted in the I-1 District are buildings and uses customarily incidental to any of the permitted uses in the district. (h) Parking Regulations. Parking, loading and stacking within the I-1 District shall be in conformance with the regulations set forth in division 4 of article VI of this chapter (i) Sign Regulations. Signs within the I-1 District shall be in conformance with the regulations set forth in division 5 of article VI of this chapter (g) Other Regulations. Development within the I-1 District shall be in conformance with the regulations set forth in article II of this chapter City Council Packet April 26, 2011 114 DIVISION 2. OVERLAY DISTRICTS Sec. 94-161. INDUSTRIAL I-1R RESTRICTED DISTRICT (a) Intent. This district is intended to provide for aesthetically designed industrial areas primarily near and adjacent to major arterials. Design standards regulating storage, vehicular movement, parking, location of buildings, landscaping, access drives and signage will insure compatibility with surrounding uses. (b) Scope of Regulations. The regulations set forth in this section or set forth elsewhere in this title, when referred to in this section, are the district regulations of the Industrial I-1R Restricted District. (c) Permitted Uses. 1. Assembling and packaging 2. Freight handling 3. Manufacturing, light 4. Storage and warehousing 5. Processing, light 6. Parking facility or lot 7. Office 8. Truck stop 9. Automobile service station 10. Public utility facility 11. Reverse vending machine 12. Telecommunications Tower (d) Permitted Special Uses. A building or premises may be used for the following purposes in conformance with conditions prescribed herein: 1. Day care facility a. A four-foot (4') high transparent fence shall be constructed between the play area and the street. b. An off-street pick-up and drop-off area shall be provided. (e) Conditional Uses. None (f) Density, Area, Yard and Height Regulations. (1) The I-1R district regulations shall be as follows: Min. Min. Min. Min. Min. Max. Lot Lot Front Side Rear Height Lot Area Width Yard Yard Yard Coverage Sq.Ft. All Uses 35%* - 60‖*** 50'** 50'** 50' *Buildings used solely for storage and/or warehousing operations may occupy no more than 50% of the area of the lot. City Council Packet April 26, 2011 115 **A one hundred foot (100') landscaped area shall be required between an abutting residential district boundary line and any structure, access drive, parking lot or other accessory use. ***The yard area abutting Interstate 29 shall be considered a rear yard. (g) Accessory Uses. Accessory uses and building permitted in the I-1R District are buildings and uses customarily incidental to any of the permitted uses in the district. (h) Parking Regulations. Parking, loading and stacking within the I-1R District shall be in conformance with the regulations set forth in division 4 of article VI of this chapter. (i) Sign Regulations. Signs within the I-1R District shall be in conformance with the regulations set forth in division 5 of article VI of this chapter. (j) Other Regulations. Development within the I-1R District shall be in conformance with the regulations set forth in article II of this chapter. (k) Site Plan Requirement. (1) All proposed uses within the I-1R industrial district shall be accompanied by a site plan. The plan must conform to the following regulations and be approved by the Planning Commission and City Commission before a building and use permit is issued. The following data is required: a) The size and location of all buildings, structures, walls or other architectural features. b) The location and number of on-premise parking spaces and all internal access drives and vehicular circulation routes. c) The location and width of all ingress and egress points. d) The location of all off-street loading docks. e) The character, type and extent of landscape development. f) The location and size of unenclosed, screened areas for storage of raw materials and finished goods. g) The location, height and facing of all signs. h) The location of public sidewalks. (2) Additional site plan regulations are as follows: a) All parking areas, access drives, vehicular circulation routes, loading and unloading areas shall be hard surfaced. b) Freight loading and unloading shall face a side or rear yard. c) Outdoor storage of raw materials and finished goods shall be screened with approved fencing or landscaping so that it cannot be viewed from adjacent properties or any right- of-way. d) Landscaped areas shall be developed in the front fifty feet (50') of a front yard and twenty-five feet (25') of a side or rear yard. Landscaped areas shall include shrubbery or trees. A minimum of ten (10) trees per acre shall be required based on the total acreage of the site. The requirements of Section 94-399 are also applicable and constitute additional site plan requirements. City Council Packet April 26, 2011 118 Second Readings / Public Hearings 14. Ordinance No. 05-11: An Ordinance Amending Section 6-6 of the Code of Ordinances of the City of Brookings, South Dakota and pertaining to Video Lottery Machine Placement in the City of Brookings, South Dakota. To: Mayor and Council, Jeff Weldon, City Manager and Shari Thornes, City Clerk From: Steven J. Britzman, City Attorney Date: April 15, 2011 Re: Video Lottery I have prepared an analysis of video lottery licensing which accompanies this brief memo, and the purpose of this memo is to explain my understanding of the choices available concerning the regulation of video lottery. My previous memo on the topic outlines the reason for the revision of our ordinance - that State law - particularly SDCL 42-7A-64 only allows regulation of video lottery at on-sale malt and on-sale wine establishments and not upon any other type of establishment. SDCL 42-7A-64 provides, in pertinent part, that a municipality in establishments issued an on-sale malt beverage or on-sale wine license may consider… ―the following criteria for authorizing video lottery machine placement‖: the number of establishments currently licensed for video lottery; the proximity of the business to other establishments licensed for video lottery; the type of business and manner in which the applicant proposes to operate it; the location of the business in relation to other businesses in residential areas, or activities within the same general area; the extent to which minors frequent a business connected to the one proposed; and the effect the proposed business has on economic development. Our proposed ordinance change limits the foregoing criteria to on- sale malt beverage and on-sale wine licensees, consistent with the Circuit Court‘s decision in the Sioux Falls ―video lottery zoning case‖. As a result, our ordinance, which uses a quota system of 1 video lottery license per 880 residents, no longer applies to those holding City Council Packet April 26, 2011 119 operating agreements or convention and club licenses, and we therefore only have 7 video licenses issued under our current quota system, and if the quota remains the same, we could therefore issue up to 19 more video lottery licenses. If that increase would appear to be excessive when considering the foregoing criteria, it would be necessary to change the quota to a larger number, thereby reducing the number of video lottery licenses available to malt and on-sale wine establishments since we no longer count establishments holding operating agreements, club licenses or convention facilities operating agreements for purposes of the video lottery quota. During the second reading, a change in the quota number could be made upon motion to amend if the Council believes a revision is appropriate. City Council Packet April 26, 2011 120 VIDEO LOTTERY LICENSES/ANALYSIS OF QUOTA SET BY BROOKINGS ORDINANCE Malt Current Ordinance 7 Issued 1. Carpy‘s Pub 2. Casino 2000 3. Oly‘s Neighborhood Pub & Grill 4. PNP Pub 5. Schoon‘s Pump N Pak South 6. Sixth Street Diner 7. South Main Diner Revised Ordinance Currently under Consideration (2nd Reading to be held April 26th)/Same Quota 7 Issued 19 licenses available under current quota due to elimination of on-sale/convention licensees from quota. Wine 0 Issued 0 Issued On-Sale Liquor/ Convention Facility 15 Issued 1. Cubby‘s Sports Bar & Grill 2. Danny‘s 3. Elks Lodge 4. Jim‘s Tap 5. Lantern Lounge 6. 9 Bar 7. Pheasant Café & Lounge 8. Ram & O‘Hare‘s 9. Ray‘s Corner 10. Sully‘s Irish Pub 11. Skinner‘s Pub 12. VFW 13. Fireside Lounge, Inc. 14. Pavilion 15. Prairie Lanes 15 Issued No limit on On-Sale or Convention Video Lottery Licenses permitted under State law. Total Available Under Ordinance 22 (18,504 pop.) 1 License per 880 persons 26 (22,056 pop.) 1 License per 880 persons, on-sale and convention facilities not subject to quota or limitation per State law. City Council Packet April 26, 2011 121 Ordinance No. 05-11 An Ordinance Amending Section 6-6 of the Code of Ordinances of the City of Brookings, South Dakota and pertaining to Video Lottery Machine Placement in the City of Brookings, South Dakota. Be It Ordained and Enacted by the Council of the City of Brookings, State of South Dakota, as follows: I. Sec. 6-6. Authorizations for video lottery machine placement. (a) After the effective date of this Ordinance, not more than one authorization for a video lottery machine placement for establishments issued an alcoholic beverage license pursuant to subdivisions 35-4-2(12) and SDCL 35-4-2(16) who apply for video lottery establishment authorization will be granted for each 880 persons, or a fraction thereof, of the population of the city as determined each August 1 by the city planning department. No establishment authorized for a video lottery machine placement may be denied authorization in subsequent years solely by reason of any limitations of the number of authorizations under the provisions of this section. The quota and the criteria and requirements set forth in this section do not apply to any type of alcoholic beverage licensee other than wine and malt beverage retailers. (b) New video lottery sites shall be selected according to the following criteria and which satisfy the requirements set forth in subsection (b)(3) of this section: (1) The proximity of the proposed new video lottery site to other establishments which have been licensed as video lottery establishments. (2) The type of business the applicant proposes for the proposed new video lottery site and the manner in which the applicant proposes to operate it. (3) Consistent with state law, video lottery establishments shall be a bar, restaurant or lounge which is primarily maintained and operated for the selling and consumption of alcoholic beverages and food on the premises. In order to ensure that only bars, restaurants and lounges are authorized as video lottery establishments, proposed new video lottery establishments must derive 75 percent or more of their gross business income, excluding video lottery income, from the sale of beverages, room rentals and food which is prepared and consumed on the premises. Any applicant for authorization as a video lottery establishment shall certify that the applicant complies with this subsection. The city may require the applicant to provide proof through business records of compliance with this requirement. Bona fide chartered veterans' organiza- tions, religious, charitable or fraternal organizations are excluded from the requirements of this subsection (b)(3). City Council Packet April 26, 2011 122 (4) The location of the proposed new video lottery site to other businesses, residential areas, or activities within the same general area. (5) The extent to which minors frequent a business connected to the proposed new video lottery site. (6) The effect the proposed new video lottery site has on economic development. II. All ordinances in conflict herewith are hereby repealed. First Reading: April 5, 2011 Second Reading and Adoption: April 26, 2011 Published: April 29, 2011 CITY OF BROOKINGS Tim Reed, Mayor ATTEST: Shari Thornes, City Clerk City Council Packet April 26, 2011 123 Ordinance No. 05-11 (MARKED) An Ordinance Amending Section 6-6 of the Code of Ordinances of the City of Brookings, South Dakota and pertaining to Video Lottery Machine Placement in the City of Brookings, South Dakota. Be It Ordained and Enacted by the Council of the City of Brookings, State of South Dakota, as follows: I. Sec. 6-6. Authorizations for video lottery machine placement. (a) After the effective date of this Ordinance, not more than one authorization for a video lottery machine placement for establishments issued an on-sale alcoholic beverage license pursuant to subdivisions 35-4-2(12) and SDCL 35-4-2(16) who apply for video lottery establishment authorization as provided in SDCL 42-7A-64 will be granted for each 880 persons, or a fraction thereof, of the population of the city as determined each August 1 by the city planning department. No establishment authorized for a video lottery machine placement may be denied authorization in subsequent years solely by reason of any limitations of the number of authorizations under the provisions of this section. The quota, as established in this section, does not limit other types of non-video lottery licenses issued pursuant to SDCL 35-4-2; however, the quota and the criteria and requirements set forth in this section do not apply to any type of alcoholic beverage on-sale licensee other than wine and malt beverage retailers including those holding operating agreements, and on-sale malt and wine licensees who apply for video lottery establishment authorization after the effective date of the ordinance from which this section is derived. (b) New video lottery sites shall be selected according to the following criteria and which satisfy the requirements set forth in subsection (b)(3) of this section: (1) The proximity of the proposed new video lottery site to other establishments which have been licensed as video lottery establishments. (2) The type of business the applicant proposes for the proposed new video lottery site and the manner in which the applicant proposes to operate it. (3) Consistent with state law, video lottery establishments shall be a bar, restaurant or lounge which is primarily maintained and operated for the selling and consumption of alcoholic beverages and food on the premises. In order to ensure that only bars, restaurants and lounges are authorized as video lottery establishments, proposed new video lottery establishments must derive 75 percent or more of their gross business income, excluding video lottery income, from the sale of beverages, room rentals and food which is prepared and consumed on the premises. Any applicant for authorization as a video lottery establishment shall certify that the applicant complies with this City Council Packet April 26, 2011 124 subsection. The city may require the applicant to provide proof through business records of compliance with this requirement. Bona fide chartered veterans' organiza- tions, religious, charitable or fraternal organizations are excluded from the requirements of this subsection (b)(3). (4) The location of the proposed new video lottery site to other businesses, residential areas, or activities within the same general area. (5) The extent to which minors frequent a business connected to the proposed new video lottery site. (6) The effect the proposed new video lottery site has on economic development. II. All ordinances in conflict herewith are hereby repealed. First Reading: April 5, 2011 Second Reading and Adoption: April 26, 2011 Published: April 29, 2011 CITY OF BROOKINGS Tim Reed, Mayor ATTEST: Shari Thornes, City Clerk City Council Packet April 26, 2011 125 Second Reading / Public Hearing 15. Public hearing and action on Temporary Liquor License requests for The Shamrock for events on 5/7 (reception) and 5/7 (graduation party). The Shamrock has applied for a temporary liquor licenses for the following events: 5/7 Reception and 5/7 Graduation Party. Pursuant to changes in state law, all temporary alcohol licenses must be approved by the City Council through use of a public hearing. All documents have been filed with the City pertaining to insurance and other licensing requirements. Notice of Public Hearing On Application for Temporary Liquor Licenses NOTICE IS HEREBY GIVEN that the Brookings City Council in and for the City of Brookings, South Dakota, on April 26, 2011, at 6:00 p.m. in the City Council Chambers, 311 Third Avenue, City of Brookings, will meet in regular session to consider Temporary Liquor Licenses for The Shamrock, 1104 22nd Avenue South for 5/7 (Reception) and 5/7 (Graduation Party). NOTICE IS FURTHER GIVEN that any person, persons of the attorney, may appear and be heard at said scheduled public hearing who are interested in the approval or rejection of any such application. Dated at Brookings, South Dakota, this 15th day of April, 2011. Shari Thornes, City Clerk Published 1 time at an approximate cost: $ . City Manager Introduction Action: Open & Close Public Hearing, Motion to Approve, Roll Call City Council Packet April 26, 2011 126 Other Business 16. Action on Resolution No. 57-11, establishing charges for Collections and Disposal of Refuse in the City of Brookings, South Dakota. The proposed Resolution raises rates for both the solid waste collection and landfill operations, effective January 1, 2012. Traditionally the rates are reviewed and increased every three years to provide stability to the local solid waste industry. The rate increase is based on inflation of the past three years and the inflation projections for the next three years; 7.5% over three years. The rate increases are also attributed to steady increases in operating expenses and capital equipment replacement. The last landfill rate increase went into effect January 1, 2009. The resolution for adjusting rates is passed approximately six months in advance of the rate increase, so the haulers and cities in our service area have adequate time to adjust their contracts and rates accordingly. The garbage collection rate is proposed to increase from $16.50/month plus sales tax to $17.50/month plus sales tax. This increase should raise approximately $55,000 in additional revenue per year. The landfill rate for regular garbage will increase from $40.00/ton plus a $1/ton DENR fee plus sales tax to $43.00/ton plus a $1/ton DENR fee plus sales tax. For items such as lumber, roofing, concrete, and trees, the rate will increase from $20.00/ton plus sales tax to $21.00/ton plus sales tax. These increases should raise approximately $125,000 in additional revenue per year. Special Waste Rates: The landfill rate for tires will increase 21%. In 2010, our tire recycling company, New Deal Tire, out of Groton, SD, increased their rates from $165.00 per ton to $200.00 per ton. The rate increase was based on transportation costs and the new air quality laws prevent them from shipping the tires to the Big Stone Power Plant near Milbank, SD to be burned. Asbestos Rates: The cost per bag has not increased since 1994. The rate will be increased from $5.00/bag to $7.50/bag. The cost per ton will be $43.00 plus a $1.00 state fee. South Dakota Landfills which accept asbestos have changed their policies to state they will only take asbestos from their region. The City of Brookings Landfill should adopt this policy to protect itself from any unwanted asbestos material being disposed of at the landfill. City Council Packet April 26, 2011 127 Petroleum Contaminated Soil. The DENR has required landfills, which accept contaminated soil, to have a separate holding area where the soil can be turned and aired out. Once the process is completed, the soil is retested and used for daily cover. The state regulations were changed in 2009 to permit landfills to use the contaminated soil as daily cover as it is received. The change in the handling has South Dakota landfills charging one rate for soil. Based on our rates and the rates of other landfills, the landfill rates should be increased to $11.00/per ton. Appliances with Freon. White goods/appliances with Freon will increase from $11.00 to $12.00 per unit. Mobile Homes. The demolition of Mobile Homes will increase from $125.00 to $135.00 per home. This helps offset the cost to the city to remove the trailer house from its frame. City Manager Introduction Action: Motion to Approve, Request Public Comment, Roll Call City Council Packet April 26, 2011 128 Resolution No. 57-11 Establishing Charges for Collections and Disposal of Refuse in the City of Brookings, South Dakota. Be It Resolved By the City of Brookings As Follows, TO WIT: I. Monthly charges for Residential Accounts The cost of collection and disposal of refuse for family domestic units shall become a charge against the occupant of each dwelling and shall be payable monthly together with other public service charges as defined by the City of Brookings. A fair and reasonable charge for the collection of refuse at each regular collection time, from each residential account shall be seventeen dollars and fifty cents ($17.50) plus sales tax per month. The monthly charge shall be based on one automated cart provided by the City or one or more fly tight container(s) provided by the citizen for those areas not yet served by the automated collection system. The monthly charge shall be based upon once a week pickup for garbage and refuse, and once a week pickup for recyclable material. A fair and reasonable charge for a second automated cart provided by the City for the collection of garbage and refuse shall be three dollars and fifty cents ($3.50) plus sales tax per month. Yard waste (grass and leaves) will be collected once per week. The yard waste will be collected in special bags sold by the city at various locations. A fair and reasonable charge for the bags to offset the cost of the bags, the collection and composting activity, shall be eighty five cents ($.85) per bag. The various locations may charge an agent‘s fee. II. Monthly Charges for Commercial Establishments The cost of collection and disposal of refuse from commercial establishments, the public schools, or any other institution or facility not otherwise classified herein shall become a charge against the occupant of such commercial establishment and shall be payable monthly together with other public services as defined by the City of Brookings. A fair and reasonable charge for collection of the contents shall be a minimum charge of thirty five dollars ($35.00) plus sales tax per month for five (5) carts with an additional charge of three dollars and fifty cents ($3.50) plus sales tax per cart thereafter. Apartments and other institutions or facilities utilizing containers for trash receptacles, shall be charged ninety dollars ($90.00) plus sales tax per month for a one and one-half (1 ½) cubic yard container; one hundred fifteen dollars ($115.00) plus sales tax per month for a 2-cubic yard container; one hundred forty dollars ($140.00) plus sales tax per month for a 3-cubic yard container; one hundred sixty five dollars ($165.00) plus sales tax per month for a 4-cubic yard container; one hundred ninety dollars ($190.00) plus sales tax per month for a 5-cubic yard container; two hundred seventeen dollars ($217.00) plus sales tax per month for a 6-cubic yard container; two hundred forty three dollars ($243.00) plus sales tax per month for a 7-cubic yard container; and two hundred sixty eight dollars ($268.00) plus sales tax per month for a 8- cubic yard container. Said charges shall be based upon a twice a week pickup. The charges for each additional pickup per week at the same location, with the necessity of moving the City Council Packet April 26, 2011 129 collection vehicle shall be twenty-nine dollars ($29.00) plus sales tax for a 1 ½ cubic yard container; thirty five dollars ($35.00) plus sales tax for a 2-yard container; forty seven dollars ($47.00) plus sales tax for a 3-yard container; and fifty eight dollars ($58.00) plus sales tax for a 4-yard or larger container. III. Monthly Charges for State Institutions The cost of the disposal of refuse from a state institution or facility located within the City of Brookings where the institution or facility maintains its own collection service, shall be at the same rate or charge imposed upon licensed commercial garbage haulers, as provided in paragraph II and which rate or charge shall be imposed on each load whether the same be a partial or full load. The Director of Solid Waste Management shall keep a monthly record of the number of loads brought to the sanitary landfill each month by a state institution. Said institution shall be billed at the end of each calendar month on the basis of the number of loads of refuse brought to the sanitary landfill during the prior month. IV. Charges for Use Each commercial hauler, and each commercial establishment hauling its own garbage, rubbish and waste material, shall pay to the City of Brookings for the use of the sanitary landfill the following charges per vehicle load: A. For loads of refuse material not requiring additional compaction or processing (lumber, roofing, concrete or trees), the sum of $21.00 per ton plus state sales tax will be charged. The minimum fee will be $5.00 for 500 pounds of material. B. For loads of waste material requiring additional compaction or processing (paper, food waste, plastic, lumber, grass, leaves, etc.) the sum of $43.00 per ton plus $1.00 per ton state fee, plus state sales tax will be charged. The minimum fee will be $5.00 per 240 pounds of material. V. Landfill Charges for Special Waste Each hauler of special waste, including tire, asbestos and petroleum contaminated soil, shall pay to the City of Brookings for the use of the landfill the following charges, plus state sales tax: (a) Tires Passenger car tires $ 3.00 Light pickup tires $ 5.00 Truck tires $11.00 Tractor tires $30.00 (b) Asbestos Per bag $ 7.50 Per ton (Accepted in Region Only) $43.00 (c) Petroleum Contaminated Soil All Contaminated Soil (per ton) $11.00 VI. Tires Tires will not be collected on city garbage routes. Tires may be disposed of at the landfill at the prices listed in Paragraph V. (a) City Council Packet April 26, 2011 130 VII. Appliances White goods/appliances having freon will be charged twelve dollars ($12.00) per appliance, plus state sales tax. VIII. Mobile Homes Mobile homes will be charged one hundred thirty-five dollars ($135.00) per home, plus sales tax. IX. Effective Date All charges established by this resolution will be effective January 1, 2012. Passed and approved this 26th day of April, 2011. CITY OF BROOKINGS Tim Reed, Mayor ATTEST: Shari Thornes, City Clerk City Council Packet April 26, 2011 131 Other Business 17. Capital Project budget adjustment for Bob Sheldon Field concession/restroom building. TO: Mayor and City Council Members FROM: City Manager Jeff Weldon RE: Bob Sheldon restroom/concession capital project We are proceeding with the budgeted replacement of the restroom / concession building at Bob Sheldon Field and have currently completed the design phase of the project. We have budgeted $100,000 for the project when the budget was prepared last year. Unfortunately, the construction estimate from Banner Associates has priced the project at $149,093.00, substantially higher than our budgeted amount. We have examined ways of reducing the cost of the building but none have produced significant savings. The building is very basic and would be a replacement with little in the way of any upgrades except being slightly larger to accommodate current ADA requirements and more space for concession sales/storage. The Baseball Association will also be contributing to some of the interior concession arrangements so they will have some costs as well. An exact amount of such improvements from the Association is unknown at this time, but it is estimated at approximately $20,000.00. All user groups are asked to help finance some capital or operating expenses of the facilities they use. Director Allyn Frerichs has suggested we could defer another scheduled improvement project and use those funds to apply to this project to make up the difference. That would be to defer the planned irrigation improvements to the Medary School ball fields ($55,000.00) and push this project to next year. Of course, the actual cost would not be known until bidding and the low bid could be within budget. Before staff proceeds any further with the project, I wanted to alert you to this budget issue and ask for specific direction. You have the following options: 1) Bid the project and see where the bids come in and decide at that time. 2) Delay the Medary field irrigation project and apply these budgeted funds to the building. 3) Ask the Baseball Association to help pay the difference. 4) Cancel the project. City Manager Introduction Action: Motion to Approve, Request Public Comment, Roll Call City Council Packet April 26, 2011 139 Other Business 18. Brookings Health Systems Year-End Report. Pursuant to City Council request, representatives of Brookings Health Systems will provide the City Council and public with an overview of financial and activity operations of the municipal hospital. Financial reports will be provided on a quarterly basis. City Manager Introduction Action: Informational BROOKINGS HEALTH SYSTEMBrookings Health SystemBrookings City CouncilApril 26, 2011 BROOKINGS HEALTH SYSTEM BROOKINGS HEALTH SYSTEM BROOKINGS HEALTH SYSTEM BROOKINGS HEALTH SYSTEMPeriod Ending Date3/31/201112/31/201012/31/200912/31/2008Number of Months in Period3121212BalanceAssetsCurrent Assets$13,788,766$12,780,468$17,651,046$24,597,679Fixed Assets$17,862,665$17,977,213$16,188,500$15,987,751Other Assets$12,345,335$12,521,752$9,737,670$1,996,875Total Assets$43,996,766$43,279,433$43,577,216$42,582,305Liabilities and Fund BalancesCurrent Liabilities$2,785,069$2,904,525$3,268,373$3,389,332Long-Term Liabilities$1,291,567$1,291,567$1,304,000$1,161,625Total Liabilities$4,076,636$4,196,092$4,572,373$4,550,957Total Fund Balances$39,920,130$39,083,341$39,004,843$38,031,348Total Liabilities & Fund Balances$43,996,766$43,279,433$43,577,216$42,582,305 BROOKINGS HEALTH SYSTEMPeriod Ending Date3/31/201112/31/201012/31/200912/31/2008Number of Months in Period3121212FinancialsInpatient Revenue$5,746,158$18,727,977$19,249,336$18,040,533Outpatient Revenue$8,371,955$34,371,038$30,489,696$29,190,619Total Patient Revenue$14,118,113$53,099,015$49,739,032$47,231,152Contractual Allowance (Discounts)$5,516,402$22,462,874$19,524,117$18,628,195Net Patient Revenues$8,601,711$30,636,141$30,214,915$28,602,957Total Operating Expense$7,991,802$30,378,867$29,827,107$27,743,482Operating Income$609,909$257,274$387,808$859,475Other Income (Contributions, Bequests, etc.)$57,328$251,008$78,557$172,380Income from Investments$69,204$38,753$276,931$483,809Governmental Appropriations$0$0$0$0Miscellaneous Non-Patient Revenue$100,347-$135,702$655,676$529,116Total Non-Patient Revenue$226,879$154,059$1,011,164$1,185,305Total Other Expenses$132,045$332,835$425,477$479,443Net Income or (Loss)$704,743$78,498$973,495$1,565,337 BROOKINGS HEALTH SYSTEM BROOKINGS HEALTH SYSTEM City Council Packet April 26, 2011 148 Other Business 19. Action to direct the City Manager to investigate the feasibility of Tax Increment District Number Five (5). TO: Mayor and City Council Members FROM: City Manager Jeff Weldon RE: Consideration of Tax Increment District #5 for purposes of financing arterial roads The City of Brookings will be facing substantial funding challenges in the near future relative to major street systems which need to be upgraded. The citywide transportation plan, which is nearing completion, identifies County Road 16 (20th Street South) from Rio Grande Drive to Main Avenue; and County Road 77 (Main Avenue South) from 20th Street South to 32nd Street South, as being slated for significant upgrading from their current rural design to an urban design. Twentieth Street will need to be brought to an urban three-lane design while Main Avenue will need to be brought to an urban three- lane design with the future capacity to be expanded to a five- lane design as growth warrants. Main Avenue will be classified as ―Major Arterial‖ while 20th Street will be a ―Minor Arterial.‖ Each road design will match the corresponding road design at their intersection for existing streets. We are scheduled to undertake 20th Street in 2012 at a cost of $1.5 million and South Main Avenue in 2014 at a cost of another $1.5 million. I expect these costs to increase. Signalization at this intersection will cost $150,000. Storm drainage considerations will need to be a part of the street design and construction. Why 20th Avenue and South Main Avenue need to be improved. These improvements are needed for the following reasons: (1) These rural roads are carrying traffic loads that warrant urban design standards because of the growth of rural subdivisions in River Ridge and other rural neighborhoods as well as Esther Heights and Valley View Addition. (2) Projected growth and development of Christie Springs, Prairie Hills, and the future elementary school along South Main Avenue will further add traffic demand to these two streets. We have undertaken preliminary review of the Christie Springs and Prairie Hills Additions which easily warrant these street improvements. (3) Long-range future growth indicate more demand on South Main Avenue to accommodate the future school and other currently-rural property that may likely develop decades into the future. It is imperative these streets are upgraded for the continued growth and development of the City. Along with corresponding utility systems, this collective infrastructure is a vital linchpin to our southern growth corridor defined in our comprehensive plan. City Council Packet April 26, 2011 149 Water and sewer utility extensions In addition to road infrastructure, we have a major challenge to extend trunk water and sewer to service Christie Springs, Prairie Hills, and other future development locations along South Main Avenue. We have been planning for the past three years for the water and sewer extensions and propose they be financed by hook-up charges based on area costs to the benefitting subdivisions. So far, the respective Phase I of each Christie Springs and Prairie Hills do not need this utility extension but their respective Phase II Additions likely will. I propose we wait until development drives the initial demand for the utility costs. It is likely the City will need to front a pro rata portion of such initial costs until such time as the benefiting property can hook-up to them for users who tap onto the system at the end. New funding mechanisms for these streets needed The conventional means of financing arterial streets is no longer available to us. State and federal grants are woefully inadequate to finance local infrastructure needs and the gas tax revenue through the State will not keep up with financing costs required to upgrade these roads. What‘s more, our gas tax revenue is best used to upgrade community collector streets while city funds pay for the repair and maintenance of neighborhood streets. The City‘s second penny will also not be adequate to finance these street systems in addition to the other expenditures of the Capital Improvement Plan. A financing alternative It is possible to establish a tax increment district over benefitting property subdivisions that could provide tax increment to reimburse the city the cost of these improvements. Attached is a map of several existing and pending subdivisions in the City that will directly benefit from the improvement of these two streets. As such, increment derived from these subdivisions could help finance all or a portion of these costs. For interim financing, the City could fund them upfront with reimbursement from tax increment over 20 years. Alternatively, the City could issue tax increment public improvement bonds and have the bond payments on a schedule coterminous with the increment revenue. Of course, the schedule of increment will depend upon the rate of development of these subdivisions as there is a direct relationship to build-out and tax increment revenue that would be generated. City Council Packet April 26, 2011 150 Requested action More detailed analysis by staff and our financial advisor will be needed to assess the feasibility of this financing mechanism for this project. This item is on the agenda in order to assess the Council‘s level of interest in pursuing this further. If the Council deems it to be a viable option, I would recommend adoption of the following motion: MOTION directing the City Manager to work with Northland Securities to further investigate the feasibility of establishing a tax increment district to provide for the necessary financing for transportation infrastructure improvements associated with the design and upgraded construction of 20th Street South and Main Avenue South and associated storm drainage. City Manager Introduction Action: Motion to Approve, Request Public Comment, Roll Call ¯Main Avenue South20th Street South Medary Avenue32nd Street South 0 600 1,200 1,800 2,400300 Feet City Council Packet April 26, 2011 152 Other Business 20. Continued discussion on New Liquor Licenses policies issues. A. Proposed Operating Agreement revisions - Economic assessment criteria for Liquor Operating Agreements. B. Liquor Policy revisions C. Applicant Criteria D. Transfer Fee Discussion – clarification on fee E. Finalize Process, Schedule & Application Packet April 12, 2011 TO: Mayor and City Council Members FROM: City Manager Jeff Weldon RE: Economic assessment criteria for liquor operating agreements At the last Council meeting, you directed me to explore ideas for criteria that could be incorporated into the application and evaluation of on-sale liquor operating agreements that attempted to measure the economic impact of the holder of the operating agreement. The intent is to attempt to have quantifiable data to assist in making a determination if an applicant produces sufficient enough economic impact to justify having an on-sale liquor operating agreement. One concept would be to have the applicant submit business plan information and have BEDC conduct a comprehensive economic impact analysis. This approach would be quite laborious, could be quite intrusive, and still may not yield data sufficiently objective to satisfy the desired outcome. Another concept would be to simply establish a minimum threshold of projected override (for new applicants), or the previous year‘s override (for renewal applicants), as a justification for issuance of an operating agreement. The intent is that if establishments cannot generate in excess of a certain amount of override, it should not entitled to hold an operating agreement. Attached is an unidentified listing all 15 holders of on-sale liquor operating agreements and the amount of liquor and wine override they paid for 2010. City Council Packet April 26, 2011 153 This data can be used as a guide if you wish to establish a minimal amount of override. On the report, liquor and wine are combined for accounting purposes because they have the same 11 percent override mark-up. If you wish to pursue this option, I would suggest the following specifics: 1) Set a specific minimal dollar amount to be determined as projected for new applicants or the last year‘s amount for renewal applicants. 2) This would apply to liquor and wine only and not malt purchases. 3) This would apply to new agreements as a result of the population expansion such as the three we are now able to issue, and existing operating agreement holders only at the time of their ten-year renewal. Current agreements would be honored without this provision and it would apply only at the time of their renewal. (OPTION: Instead of the ten-year renewal, we could use the five- year ―look-back‖ provision.) Based on this information, and if you wish to use this method, I would suggest establishing a minimum override threshold of $2,000 for liquor and wine. A $ 3,648.20 B $ 1,358.68 C $ 3,738.39 D $ 2,288.77 E $ 5,106.53 F $ 3,021.31 G $ 8,232.27 H $ 975.17 I $ 2,203.75 J $ 10,556.03 K $ 1,541.82 L $ 13,237.42 M $ 7,528.28 N $ 8,668.13 O $ 8,687.85 City Manager Introduction Action: Motion to Approve, Request Public Comment, Roll Call City Council Packet April 26, 2011 154 LIQUOR OPERATING AGREEMENT Name of business THIS AGREEMENT made and entered into by and between the CITY OF BROOKINGS, a municipal corporation of the State of South Dakota, hereinafter referred to as the ―City‖ and ________________. (dba _________), _____________, owner, hereinafter referred to as the ―Manager‖. WITNESSETH: WHEREAS, the City has been issued an on-sale alcoholic beverage license and is engaged in the sale of alcoholic beverages, and WHEREAS, the City desires to enter into an operating agreement on a limited basis with the Manager for the purpose of operating an on-sale establishment or business for and on behalf of the City pursuant to law, and WHEREAS, the Manager has offered to have facilities in which to operate said on-sale establishment solely upon the premises hereinafter described. NOW, THEREFORE, IT IS MUTUALLY AGREED AS FOLLOWS: I. This Agreement is made and entered into on a limited basis between the parties hereto to allow the Manager to operate a retail on-sale premises, pursuant to and in accordance with all of the terms and conditions of this Agreement in accordance with all State laws and City Ordinances now in effect and as may be enacted in the future. II. The Manager shall be individually responsible for all operating expenses of said on-sale establishment, including but not limited to utilities, taxes, insurance and license fees, if any. The Manager shall furnish all equipment and fixtures necessary to operate the establishment. III. The on-sale establishment shall be located upon real estate in the City of Brookings, South Dakota, described as: (LEGAL DESCRIPTION), City of Brookings, Brookings County, South Dakota City Council Packet April 26, 2011 155 IV. The Manager shall dispense only alcoholic beverages supplied by the Municipal off-sale establishment. V. This Agreement shall be in full force and effect for a period of five (5) years with the Manager having the option and privilege of a five (5) year extension, subject to the approval of the governing body of the City of Brookings. VI. Either the Manager or the City may terminate this Agreement without cause upon ninety (90) days written notice served by either party upon the other. The City reserves the right to immediately suspend or revoke this Agreement without ninety (90) days written notice for alcohol related violations in accordance with the provisions of Resolution No. 25-88 or any amendments thereto or for any late payments for alcoholic beverages supplied by the Municipal off-sale establishment to be sold on the premises of Manager. VII. The Manager shall receive as full compensation for its services rendered, the net profit from the on-sale establishment under its management, and the sole profit to be derived by the City shall be the markup hereinafter set forth on alcoholic beverages furnished by the municipality to the Manager for the purposes of resale on the premises as above described. VIII. The Manager shall pay to the City for all alcoholic beverages sold by the City to the Manager for resale on the above-described premises, the actual cost of distilled spirits and wine supplied by the City, plus eleven percent (11%) in excess of such cost; the Manager shall pay to the City for all malt beverages sold by the City to the Manager for resale on the above- described premises, the actual cost of malt beverages, plus ten percent (10%) in excess of such cost. The actual cost shall include cost price and transportation charges. The markup percentages provided in this Agreement are subject to change by the City of Brookings. In the event markup percentages are changed by Ordinance, then the markup percentages provided by City Ordinance shall supercede the markup percentages provided herein. The Manager further agrees that if either of the markup percentages shall be increased at any time by the City, the Manager shall pay the markup as so increased. City Council Packet April 26, 2011 156 IX. A complete and detailed record shall be maintained by the City of all alcoholic beverages supplied to the on-sale Manager and such alcoholic beverages so supplied shall be evidenced by prenumbered invoices prepared in triplicate showing the date, quantity, brand, size and actual cost of such item, and such invoice shall bear the signature of the authorized representative of the on-sale Manager or its authorized representative. One copy thereof shall be retained by the Municipal off-sale establishment, one copy shall be retained by the on-sale establishment, and one copy shall be filed with the City Clerk. All copies shall be kept as permanent records and made available for reference and audit purposes. The Manager also agrees to maintain a complete record of all alcoholic beverages received from the City. X. In consideration of the covenants and agreements herein contained, the Manager agrees to pay the CITY OF BROOKINGS, One Thousand Five Hundred and no/100 Dollars ($1,500.00), constituting the Annual License Fee on or by January 1, _________, and on or by the first day of each year thereafter as long as this agreement shall remain in force and effect. The Manager further agrees that if the annual fee shall be increased at any time by the legislature, the Manager shall pay the amount of any such increase. In addition, the Manager agrees to pay the federal stamp fee. XI. The Manager agrees to keep the premises in a neat, clean and attractive appearance, and Manager further agrees to operate said on-sale establishment only on such days and at such hours as permitted by state law and city ordinances. XII. The Manager shall have the right to return, at any time, alcoholic beverages received from the City and to receive in return any deposit made for such alcoholic beverages; in the event of termination of the business, all unused alcoholic beverages, which may be resold without discount may be returned to the City and the Manager shall be reimbursed for the cost of such alcoholic beverages. XIII. The Manager agrees to abide by the credit policies of the City and acknowledges, by execution of this Agreement, receipt of a copy of the credit policies of the City. The City reserves the right to change or terminate its credit policies at any time, but shall be required to provide written notice to Manager prior to the effective date of the change or termination date of the credit policies. XIV. City Council Packet April 26, 2011 157 The Manager agrees to furnish the City upon demand, evidence of payment of the following: A. All salaries of on-sale employees; B. Social Security and withholding taxes on said employees; C. Worker‘s Compensation insurance premiums covering said employees; D. Unemployment taxes on the payrolls of said employees; E. General liability insurance protecting both the City and Manager against claims for injury or damages to persons or property, said policy to have general liability limits of at least Five Hundred Thousand Dollars ($500,000.00) single limit, and One Million Dollars ($1,000,000.00) aggregate, and a limitation of Fifty Thousand Dollars ($50,000.00) for damage to property. The general liability insurance limits are subject to change and Manager agrees to change limits of insurance if required by the City; F. Rent and utility bills; G. Any and all miscellaneous expenses, including taxes. XV. The Manager agrees to observe all Federal and State laws and all ordinances of the City of Brookings. XVI. The City covenants and agrees to furnish the on-sale license to Manager pursuant to the terms and conditions of this Operating Agreement and the terms and conditions of the on-sale license. XVII. The City shall have the right to make inspections and investigations of the premises during the hours of operation, and make audits and examinations of the records of the Manager relating to the on-sale establishment. XVIII. It is further specifically understood and agreed that the waiver of the rights of the City under this Agreement shall not constitute a continuous waiver, and any violation or breach of the terms of this agreement by the Manager shall constitute a separate and distinct offense and grounds for immediate termination and revocation of this Agreement. City Council Packet April 26, 2011 158 XIV. This agreement shall not be assignable to another person or location without the written consent of the City. IN WITNESS WHEREOF, the parties hereto have executed this agreement this _____ day of ________, 2011. CITY OF BROOKINGS, South Dakota A Municipal Corporation By: Jeffrey W. Weldon, City Manager ATTEST: Shari Thornes, Brookings City Clerk MANAGER By: Operating Agreement/Business Owner City Council Packet April 26, 2011 159 City Council Policy Liquor Operating Agreements Adopted August 13, 2001 The City of Brookings is the holder of State Liquor Licenses for the sale of alcoholic beverages. The City of Brookings enters into operating agreements with business owners permitting them to sell alcoholic beverages purchased from the City. The City of Brookings established a policy for the consideration of additional operating agreements with the City. The policy establishes the criteria for applying for an available, but un-issued operating agreement. This addition to that policy will clarify the City Council‘s policy on the consideration of changes in existing operating agreements. 1. It is not the City‘s intention to allow operating agreements to be sold. 2. It is not the City‘s intention to have issued operating agreements be unused by the manager. Failure to use the agreement will be grounds for termination by the City. The city manager will report any inactive operating agreements to the City Council to consider the circumstances and for appropriate action. 3. Operating agreements are not assignable or transferable to another person or location by the named manager; only the City Council can assign or transfer an agreement to another person or location. 4. The purchaser of an establishment holding an operating agreement must apply for an assignment of that operating agreement. It is the City‘s intent to allow an assignment of an operating agreement to an applicant that passes the ―character of the applicant‖ requirement as a new owner of an existing business in the same location. 5. The owner of an establishment holding an operating agreement must apply for an assignment of that operating agreement if there is a desire to move the business to a different location. It is the City‘s intent to allow an assignment of an operating agreement to a new location providing the location is suitable, ―second tier criteria‖ is considered and the business identity is the same as in the initial application. 6. Unless the circumstances are as described in number 4 and 5 above, it is not the City‘s intent to allow the assignment of an operating agreement from one business to another or one location to another. In these instances, an application for a new operating agreement is necessary. City Council Packet April 26, 2011 160 Policy Establishing Criteria for the Issuance of Additional On-sale Liquor Licenses South Dakota Codified Laws (SDCL) limit the maximum number of on-sale liquor licenses and provides criteria for the issuance of licenses. Maximum Number of on-sale licenses SDCL 35-4-11 provides in part: The number of on-sale licenses issued may not exceed three each for the first one thousand of population or fraction thereof and not exceed one each of such licenses for each additional one thousand five hundred of population or fraction thereof. The quotas established in this section do not apply to malt beverage retailers. SDCL 35-4-1 defines ―population‖ as the number of inhabitants as determined by the last preceding federal census. A 1939 Attorney General Opinion states that ―preliminary census bulletins‖ are official. Criteria for Issuance of Alcoholic Beverage Licenses SDCL 35-2-1.2 provides all applications for retail licenses …shall be submitted to the governing board of the municipality within which the applicant intends to operate….The governing board: ―shall have discretion to approve or disapprove the application depending on whether it deems the applicant a suitable person to hold such license and whether it considers the proposed location suitable.‖ SDCL 35-2-6.2 provides the ―character‖ requirements for alcoholic beverage licensees: ―Any license under this title…..must be a person of good moral character, never convicted of a felony, and, if a corporation, the managing officers thereof must have like qualifications.‖ Procedure for issuance of licenses Procedurally, SDCL 35-2-3 provides that ―no license for the on or off-sale at retail of alcoholic beverages….shall be granted to an applicant for any such license, except after public hearing, upon notice.‖ SDCL 35-2-5 provides the procedure for the time and place of hearing and for publication of notice. If an application for a license is refused, ―no further application may be received from a person until after the expiration of one year from the date of a refused application.‖ The City of Brookings is anticipating that the 2000 census will count a population of at least 17,501 people, allowing one additional On-Sale Liquor License. The population may increase by 2,731 which would allow two additional On-Sale Liquor Licenses. Several business people have expressed a desire to obtain an on-sale license when it becomes available. With this knowledge, the City Council of the City of Brookings desires to establish criteria for the issuance of licenses over the current fifteen issued. Currently, the fifteen license holders are: City Council Packet April 26, 2011 161 ON-SALE 1. 9Bar On-Sale 2. Brookings Inn On-Sale (Convention) 3. Jim‘s Tap On-Sale 4. The Lantern Lounge On-Sale 5. Pheasant Lounge On-Sale 6. Prairie Lanes, Inc. On-Sale 7. The Ram & O‘Hare‘s On-Sale 8. Sully‘s On-Sale 9. Staurolite Inn & Suites On-Sale (Convention) 10. Danny‘s Lounge On-Sale 11. Ray‘s Corner On-Sale 12. Cubby‘s Sports Bar & Gril On-Sale 13. Applebee‘s On-Sale 14. Skinner‘s On-Sale 15. Bravo‘s On-Sale 16. Elks Club Club 17. VFW Club Club SDCL and case law support the premise that the decision to issue an alcoholic beverage license is discretionary. Therefore, the City of Brookings hereby establishes a two-tiered process to evaluate on-sale liquor applications. The first tier will assess the character of the applicant and whether the location is suitable. A person convicted of a felony is prohibited from applying for a license; therefore, a convicted felon would fail the character test. In determining suitable location, the Council will involve the determination of whether the location is suitable, consistent with the procedure developed through South Dakota Case Law. This includes the manner in which the business is operated; the extent to which minors frequent or are employed in such place of business; the adequacy of the police facilities to properly police the proposed location, and other factors associated with the sale of alcoholic beverages. The City will check for compliance with the State requirement that the ―character of the applicant‖ be acceptable. Upon finding evidence that the character of the applicant is acceptable and the location suitable, the City Council will consider second tier criteria. This process can include examining the best location for economic and tourism development, the best ancillary uses (restaurant, etc.) developed with the sale of liquor, the best location in accordance with the city long-range plan, the size of the facility, parking facilities, closeness to existing supplementing businesses and activities deemed important by the City Council. City Council Packet April 26, 2011 162 City of Brookings Liquor Operating Agreement Application Process Schedule (adopted __________2011) DRAFT Dated 4/07/11 Feb 22nd City Council initial discussion regarding issue March 8th City Council Meeting (WORK SESSION)  Draft Process & Schedule March 22nd City Council Meeting  One-time license fee *  Application fee increase from $25 to $100*  Video Lottery ordinance revisions* March 25th Publish Resolutions Res. 35-11: A Resolution increasing the Application Fee for new Liquor Operating Agreements Res. 38-11: Resolution Establishing the License Fee for the Issuance of Operating Agreements in the City of Brookings April 5th City Council Meeting  1st reading – video lottery ordinance April 7th City Council Special Planning Retreat  Operating Agreement revisions*  Liquor Policy revisions *  Applicant Criteria *  Transfer Fee Discussion – clarification on fee o Types: Location, New Owner(s), Change in Corporate Structure, Change in family ownership  Finalize Process, Schedule & Application Packet * items must be finalized for inclusion in application packet April 14th Effective Date for Resolutions No 35 & 38 April 26th City Council Meeting  2nd reading – video lottery ordinance April 29th Publish Video Lottery Ordinance May 19th Video Lottery Ordinance Effective Date Possible timeline on remaining items (with 4/7/11 as start date) 4 weeks City Council Meeting (ACTION)  Action on operating agreement revisions City Council Packet April 26, 2011 163  Action on liquor related policies 1 week Notifications  Press release on availability of agreements issued to media  Legal notice on availability of agreements sent to the newspaper 4 weeks Deadline for submission of complete applications and supporting materials 1 week Legal notice published in newspaper regarding the Council public hearings 2 weeks Action Meeting – City Council – presentations – no action 2 weeks Action Meeting – City Council – for presentations (if needed) or action 2 weeks Action Meeting - Action to award agreement(s), if any City Council Packet April 26, 2011 164 ______________2011 FOR IMMEDIATE RELEASE City of Brookings Liquor Operating Agreement Application Process The City of Brookings, South Dakota, has three (3) on-sale liquor operating agreements available. Applicants are required to provide the following information: 1. State Uniform Alcoholic Beverage License Application 2. Business Plan 3. Site Plan 4. Interior Building Floor Plan 5. Other required supplemental forms and applications Completed applications to include a business plan, site plan, floor plans and any other supplemental information must be submitted to the City Clerk, 311 Third Avenue, not later than 5:00 p.m. on ______________. For additional information or clarification, please contact Jeffrey Weldon, City Manager, at 605-692-6281 or Shari Thornes, City Clerk, 605-692-6281, or email at sthornes@cityofbrookings.org. Please be advised that the City Council may choose not to enter into any new operating agreements. City Council Packet April 26, 2011 165 Draft Dated 4/21/2011 Date: ____________, 2011 TO: Liquor Operating Agreement Applicant FROM: Brookings City Clerk RE: Application Requirements and Process The City of Brookings, South Dakota, has three (3) on-sale liquor operating agreements available. If you are interested in applying for a liquor operating agreement, please complete and return 10 complete applications packets with all required attachments to the Office of City Clerk, 311 Third Avenue, Brookings, SD 57006 not later than 5:00 p.m. on ______________. Applicants are required to provide the following information: 1. STATE ALCOHOL APPLICATION: A. Complete and check all information on the application. The highlighted areas on the application must be completed or the application will be returned. B. If your firm is incorporated, the reverse side of the application must be fully completed even if there have been no changes since last year. Please come to the City Clerk‘s Office, 311 3rd Avenue, to sign your application in order for us to witness your signature OR have the form witnessed by a Notary.  Please complete and check all information on the application. Instructions are included in the packet.  If your firm is incorporated, the reverse side of the application must be fully completed. 2. BUSINESS PLAN 3. SITE PLAN. If the proposed project is new construction or a new business, the exact legal description must be provided. Location of the property, including whether the building is owned or leased. If the property is leased, provide a copy of the proposed lease or letter from the property owner verifying the potential of a lease covering the life of this agreement. 4. INTERIOR BUILDING FLOOR PLAN. Indicating building layout (designating stand-alone status or add-on to an existing structure), emergency exits and other relevant information, additionally describing if there will be dedicated floor space for the off-sale activities, including whether the premises will have a separate entrance or the entrance will be a shared common entrance with other activities of the premises. The premises shall meet ADA requirements. City Council Packet April 26, 2011 166 5. FEES: A. APPLICATION: There is a $100.00 application fee to apply. B. ONE TIME FEE: If awarded, new agreement holders would pay a one- time, non-refundable fee of $25,000 to the City of Brookings. C. ANNUAL RENEWAL: New agreement holders would also be required to submit the annual license fee of $1,500 in November 2011, effective from January 1-December, 2012. 6. OTHER REQUIRED SUPPLEMENTAL FORMS AND APPLICATIONS A. BACKGROUND CHECK FORM FOR ALL OWNERS OF THE BUSINESS OR CORPORATION. The Brookings Police Department will review the backgrounds of all renewal applicants for felony convictions. Please provide a date of birth and driver‘s license number for all owner(s). B. CERTIFICATE OF RESALE FORM: The Brookings Municipal Liquor Store is required to maintain a copy of this certificate of Resale on file for each business in Brookings that sells alcoholic beverages. Please complete the form and return it with your application. C. INSURANCE. Note that proof of insurance must be filed prior to the final license issuance. Your business will be required to maintain general liability insurance protecting both the City and the City Manager against claims for injury or damages to persons or property. This policy must have general liability limits of at least Five Hundred Thousand Dollars ($500,000.00) single limit, and One Million Dollars ($1,000,000.00) aggregate, and a limitation of Fifty Thousand Dollars ($50,000.00) for damage to property. D. CREDIT CHECK. Be advised the City of Brookings may institute additional requirements to include a credit history check. You may be contacted to complete additional documentation at the time the competitive process commences. E. SUNDAY SALES APPLICATION (if applicable) F. VIDEO LOTTERY APPLICATION (if applicable) FURTHER REVIEW OF THIS ISSUE IS NEEDED. AN ORDINANCE REVISION MAY BE REQUIRED. 7. ADDITIONAL INFORMATION. Enclosed for your information are the following materials:  HOURS OF OPERATION. Enclosed is a Days & Hours of Sale for Alcoholic Beverage License Holders specific to the City of Brookings. City Council Packet April 26, 2011 167  REMINDERS FOR LIQUOR/BEER RETAILERS. This is an important summary of key state laws pertaining to alcohol that you and your employees should know.  TRAINING INFORMATION.  SIDEWALK ALCOHOL SALES APPLICATION. The City Council passed a new ordinance in 2009 that will allow for the sale and consumption of alcoholic beverages on the sidewalk for businesses that derive more than 50% of its gross receipts from the sale of prepared food for consumption on premise. There is a one-time fee of $100. For an application and additional information, please contact the City Clerk‘s Office at 692-6281.  MUNICIPAL LIQUOR STORE ARRANGEMENTS. Prior to receiving the license, the applicant is required to meet with Municipal Liquor Store personnel for a briefing on the process and determine payment arrangements. You will be required to return the enclosed form and $2000 deposit in order to obtain the final license.  SAMPLE OPERATING AGREEMENT FOR SALE OF LIQUOR  LIQUOR RELATED POLICIES  STATE REVIEW. After Council approval, your application is then sent to the State Department of Revenue for final review and processing. Please note that your license renewal is not official until the State mails the final license card. They will withhold your license for the following reasons: o Delinquent real estate taxes (for those licensee‘s who own the property) o If an owner now has a felony conviction o If the alcoholic beverage license and sales tax license are not in the same name o If any other taxes are in arrears or returns have not been filed Please complete and return 10 complete applications packets with all required attachments to the Office of City Clerk, 311 Third Avenue, Brookings, SD 57006 not later than 5:00 p.m. on ______________. For additional information or clarification, please contact Jeffrey Weldon, City Manager, at 605- 692-6281 or Shari Thornes, City Clerk, 605-692-6281, or email at sthornes@cityofbrookings.org . Please be advised that the City Council may choose not to enter into any new operating agreements. City Council Packet April 26, 2011 168 21. Adjourn.