Agenda - Council - 09/12/1995 - Laserfiche WebLink

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I I I I I I I I I I I I I I I I I I I City Administt'ator Schroeder stated he has not been able to schedule a workshop bringing in a consultan~ to discuss how to handle situations wherein there could potentially be a conflict of interest. He hoped to be able to schedule such meeting in late September or October. He ~esented the letter from Attorney Goodrich to the County Attorney regarding the alleged vi~lation of statutes, as well as a letter from the Northeast State Bank on the same issue. !A letter was also included from the Anoka County Attorney's office concluding th~rt after conducting an investigation, "there is no criminal conduct in the facts we have found and are closing our file in this matter". An alleged manipulation of the Amber R~dger development agreement by then Counc~Imember Hardin has also been discussed. Hi~ stated that he (Schroeder) was ~nnmately ~nvolved m thxs development agreement. T~.e developer had suggested using a pledge and payment agreement to meet our security d{mands. He (Schroeder) contacted Mr. Hardin for his opinion on the use of that security/~nd was informed that he (Hardin) preferred not to discuss it in that the developers did business with the Northeast State Bank. No other discussion/contact with Mr. Hardin w~Is made. Mr. Schroeder felt that the net of this summary is that no member of Council wa~ involved in the development agreement; the Council as a whole received the staff recommendation on the agreement and Mayor Hardin abstained on the final plat approval whe~in the security instrument was approved by Council. He recommended that Council bring ~:losure to this issue and added that if that is what Council determines, he will not place "co~. flict of issue" on any future agenda, with the exception of the workshop, without specific Council direction. He pointed out that since he's been at the City, he has put issues on the agenda that someone wants to bring to City Council, but as it relates to the on-going allege- tions - it seems to him that there's a definite pattern that if satisfaction is not found in an afiswer, then another issue comes back. He explained he wants to get out of the middle of ,that. He does not want to be the person that brings this to the table. If City Council tells ~im to, he will then, but only then. Councilmember Zimmerman inquired if the pledge and payment that Amber Ridge developers w~e allowed to use has been used by other contractors also. Mr. Schroedet* stated that he does not recall but, typically, as it relates to securities, he will allow any type. of fin.'mcial agreement that is satisfactory with the Finance Officer. Finance Offic~er Hart stated that the City has handled different pledge and payments and used Wood Pc~nd Hills as an example. She explained that any developer is able to use this type of securitry. Councilmemher Beahen stated that last week, City Council met for a workshop with the Planning Co~mission. Following that workshop, she asked Councilmember Peterson if she might have a minute of his time to discuss an issue; he agreed. They left the Council Chambers to ~iscuss this issue. Prior to this, she heard Mayor Hardin say he was going to meet with Zor!ing Administrator Sylvia Frolik because she had some things for him to look at. She did not know where the. City Administrator and the other two Councilmembers were. Counci~lmember Peterson and she went in to the Administrative offices and about three-quarter~ of the way through their discussion, she noted Mayor Hardin and City Administrato~ Schroeder walk through to go to Mr. Schroeder's office. They did not interrupt the c~nversation she was having with Councilmember Peterson. Councilmember Peterson thenr left and she walked to Mr. Schroeder s office to say goodmght to Mayor Hardin and Ma'. Schroeder. They all then left together. She got in her van and left while Mayor Hardifi and Mr. Schroeder were still talking in the parking lot. Councilmember Beahen stated', she has now become aware of a fax transmission to the City Attorney from Mr. Terry HeOdriksen. She stated she wasn't sure she was going to bring this all public, but because ~erry l-lendriksen has had other issues, she decided it should be public. She proceeded to l'ead the fax from Mr. Hendriksen which basically stated that the meeting City Council/August 8, 1995 Page 13 of 15