Minutes - Council Work Session - 04/03/2007

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3. An increase to the percentage required to the City's Lawful Gambling Fund. Councilmember Jeffrey expressed concern with the amount of Climb Theater's contribution that went to training Connexus Energy employees. Ms. Wetley explained Connexus Energy funded a Climb Theater performance and then gave Climb Theater a large grant to fund performances of the play "Shattered" next year in the schools. Council further discussed the proposed changes to the charitable gambling ordinance, including the trade area and the net profits to the City's Lawful Gambling Fund. Councilmember Dehen stated he would like as much of the proceeds as possible to come to the City of Ramsey, even beyond the 10% range with more of the trade area proceeds coming into Ramsey. Finance Officer Lund indicated staff will need to research what is allowed under the State Statute. She believes the Statute requires that the City cannot claim more than the 10%. Councilmembers expressed support in an increase to 5% of net profits required to the City's Lawful Gambling Fund. Interim City Administrator Nelson indicated a decision on this ordinance is not needed tonight. The topic can be presented to Council again in a couple of weeks. Consensus of the Council was to direct staff to include this topic on a future worksession with further information provided regarding the State Statute requirements in relation to the percentage required for trade area proceeds. 4) McKusick Easement Public Works Director Olson reviewed that on August 14, 2006, City Council directed staff to settle with Dale and Barb McKusick of 6801 157th Lane NW for an amount of $7,500 for a 66 foot drainage and utility easement. In October 2006, the City Attorney completed drafting the easement document and sent McKusick's attorney a check for $7,500. Mr. Olson provided Council with background information leading up to the determination to settle with the McKusicks. He noted the initial offer to the McKusicks was $1,800, which was 30% of .25 acres and was the amount the other property owners had signed easements for. Mr. Olson stated the City went forward with the project due to the timeline. There was a triangle area that had not been acquired and there was tree damage in that area. There had been verbal communication with the contractor not to clear the triangle area, as well as a trail easement the City was attempting to maintain to the manhole; however the triangle area was cleared by the contractor. In August 2006, when Council approved the additional amount to the McKusicks of more than four times the original offer it was increased to $7,500 due to the tree loss. Mr. Olson stated on October 20th the McKusicks were sent a check for $7,500 with a letter from the City Attorney stating that $3,000 is for tree damage. The McKusicks did not cash the check and indicated they City Council Work Session I April 3, 2007 Page 11 or 14