The signing, or lack of signing, of the city’s new code of conduct policy for elected officials, boards and the public sparked the continuation of tensions on the city council dais Tuesday.
At the beginning of Tuesday’s regular meeting, the city council and Mayor Johanna Mouton were asked to hand in the newly adopted code of conduct documents with their signatures to city manager Jeff Dahl. After a short recess more than 2 hours later, Mouton and Dahl brought to the attention of the room that one document was returned without a signature. This document was returned by councilor Cathy Iverson.
Code of Conduct discsussion at the August 16th, 2022 Wayzata City Council Meeting.
The code of conduct was unanimously passed by the council during its Aug. 3 meeting.
“I voted in favor knowing I would not sign it,” Iverson answered. “It’s a personal decision and I would not like to discuss it on public TV.”
Councilor Alex Plechash asked that the code be shared with the public.
“I have grave concerns if I have a colleague that does not want to abide in a code of conduct we passed,” he said. “I want the public that has elected that council member to actually see what she has decided not to agree to.
Iverson noted that while she did not sign the document, she has carried herself according to the code at meetings. While Iverson was speaking, Plechash voiced his disagreement.
“I feel like I’m being bullied right now, and that’s part of the reason I am not signing it,” Iverson responded.
Iverson is not legally obligated to sign such a document, which she mentioned and Mouton agreed.
What inspired the code of conduct?
The code of conduct will be given to all members of the city government’s boards and commissions for signatures moving forward. Dahl noted it will also be included in the orientation process for new board and commission members, as well as a reference point for evaluations.
The code also carries expectations for members of the public who attend these meetings.
City manager Jeff Dahl
In an interview with Dahl, he said it was an incident last fall which inspired the drafting of the code. He did not elaborate on what that incident was.
“It is to keep everyone safe and have a well functioning meeting,” he said. “It’s just nice to have clear expectations for rules and responsibilities of elected officials, staff and members of the public.”
Prior to the vote approving the code of conduct on Aug. 3, Iverson and Mouton engaged in a debate related to conduct. At that meeting, Dahl reiterated the conversation was not a catalyst for the drafting of the code.
“This is just best practice for local government to have an effective and efficient governing body,” he said. “It is not a result of any one thing with the councilors.”
Iverson maintains stance
Mouton referred to Iverson not signing the code of conduct as “another disappointing example.” Iverson quickly answered the comment.
“Do we want to talk about censurship and the repercussions of you guys censuring me?” she asked. “Because that was a question that was asked. What happens if we feel somebody is not following the code of conduct? We will censure them.”
Councilor Cathy Iverson
In government, censuring is a formal acknowledgement of disapproval from a body towards one of its representatives. It does not carry any direct punishment such as removal of position, but it can be damaging to public trust in an elected official or among that official and their colleagues.
Mouton answered Iverson’s question by stating censurship is an option anytime a colleague ‘falls outside the norms of behavior,’ or breaks the law.
“It’s a violation of my First Amendment,” Iverson said.
Mouton disagreed.
Wayzata Gateway ignites disagreement
The conversation over Iverson’s conduct at council dates back to a meeting on July 19. During that meeting the council approved a redevelopment proposal for 900 Wayzata Blvd E., known as the site of the Wells Fargo building.
The project, referred to as the Wayzata Gateway, will include the construction of an office building, apartments and 5,500 square foot bank.
Iverson was the only council member to vote against the proposal, citing concerns about the design, height and overall massing of the buildings. After the vote, Iverson exited the meeting. There was another new business agenda item remaining, the approval of excessive fund transfers. She was marked on record for leaving at 10:39 p.m.
A rendering of the one story bank building and the new apartments submitted by Mithun Enterprises. ESG | Architecture & Design.
On Aug. 3, Iverson expressed her disappointment about the approval of the project before the council entered the consent agenda portion of the meeting. She said the approval of the project was not consistent with the 2040 Comprehensive Plan, or with other projects which had been denied by the council.
“In my 11 years involved with the city I have never seen a project of this size approved without any changes to the design, scaling or massing of the building,” she said. “I don’t even know how to react to it. I am just completely baffled.”
Mouton took exception to the comments and the setting in which they were shared.
“It’s an unfair statement to make that this council — were not willing to entertain discussion about many of those items, because we were,” Mouton continued. “We discussed many of those. I am disappointed in that at this juncture you choose to make a statement that you feel we have not done our job.”
Iverson disagreed, stating she did not feel she was given the chance to have an open discussion about her concerns.
“I tried and it did not happen,” she said. “The decision for me to put something on paper did not come lightly.”
Mayor Johanna Mouton
Mouton added that she was also disappointed in Iverson’s actions after the item was approved, referring to her leaving the meeting while it was in session.
“You not only disappointed this council but you stormed out and you neglected your duties as a council member,” Mouton said. “You failed your duties as a councilor.”
“My decision to walk out may not have been a professional decision,” Iverson responded. “It was my reflection of the view of the council, of the decision of the council to continue to disregard my design expertise.”
Mouton said no members of the council have tried to limit another’s point of view.
Iverson denied a request for comment. Mouton did not respond before the publishing deadline.
The city council will next meet for a regular meeting on Aug. 30.
The council approved the design of the Panoway boardwalk, docks and Section Foreman House renovation by a 4-1 vote on Tuesday.
Proposed Wayzata Boardwalk. Image courtesy City of Wayzata.
Phase 2a and 2b of the project will now move for the construction design step in the process. This is where city staff and its consultants will fine tune the details of the project, including a cost estimate, before putting the project out to bid.
Jessica Houlihan, founder of development consulting firm Onyx Strategic Partners, outlined the timeline of what is to come. Her expectation is construction design will be finished to return in front of council by December. Once the designs are approved, the project will go out to bid. After a contractor is chosen, construction could begin as soon as March 2023.
Panoway on Wayzata Bay Phase 2 Schedule, courtesy City of Wayzata.
“We walked all the way through the schedule with one firm and it’s about a six month project,” Houlihan said. “We should be done in the fall.”
Phase 2a, the boardwalk and shoreline, carries a $6.78 million budget while the docks are estimated at $770,000. The budget for the Section Foreman House, Phase 2b, is $1.27 million.
The city has secured $4 million in bond funding for the project. It will draw an estimated $2.62 million from tax increment financing and the remaining portion is slated to come from private or ‘other’ sources. The Wayzata Conservancy has pledged funding for the Section Foreman House, which it is currently fundraising for, as well.
Wayzata Section Foreman House. Image Dan Gustafson.
“What we’ve done is plan for the maintenance and operations for 10 years,” said city manager Jeff Dahl. “The Wayzata Conservancy, to decrease the burden on the city, have agreed to fund maintenance and operations for the remainder of the project so taxpayers of Wayzata won’t be burdened with that.”
According to community development director Emily Goellner, the conservancy has raised about $250,000 for the Section Foreman House and will also pay for construction design plans for that part of the project.
Councilor Cathy Iverson was the lone council member to vote against approving the design.
“Can we feel confident telling the residents this will not be a tax burden,” Iverson said. “I have a lot of concerns about how it’s going to be paid for.”
Mayor Johanna Mouton noted a better picture of the costs will not come until after construction design is completed. Councilor Alex Plechash said he also had reservations about the funding, but not enough for him to vote against the design. The mayor and other members of the council said they were comfortable with the funding sources.
“We’ve been steadfast that we would not levy the taxpayers of Wayzata to pay for this,” Mouton said. “We have not done so.”
Baja Haus outdoor patio approved
The council unanimously approved a conditional use permit for a seasonal outdoor patio at Baja Haus, 830 E. Lake Street.
Applicant and co-owner Josh Friedt said his restaurant’s temporary outdoor patio was helpful for his business during the height of the coronavirus pandemic in 2020-21.
“To me it was a huge success,” Friedt said. “I don’t want to say it saved my business but it was definitely a big help.”
The request was to use four parking spaces outside of the restaurant for a temporary pergola. Inside it would fit eight tables seating four each. The patio would be used from May to October. When not in use, the space would be opened back up for parking.
“The people I spoke to that used the outdoor patio during the pandemic really loved it,” Iverson said. “I only heard positive things from the community.”
Former Wayzata Texaco Site
The council also approved a lot combination, comprehensive plan amendment and rezoning of two parcels at 1022 E. Wayzata Blvd.
These parcels were discussed for development in front of the council in April with the proposal of adding a drive thru coffee business. The property is home to a gas station which is no longer in use. To the south, there is a small residential parcel which is considered difficult to develop because of its size and location.
The rezoning of the property changes the newly combined parcel to a C-3 property for retail use.
The planning commission unanimously recommended approval and the council voted 4-1 in favor.
City to study new THC law for up to a year, manufacturing and sales prohibited
The Wayzata City Council declared an emergency moratorium on the manufacturing, distribution and sale of edible cannabinoid products containing hemp.
The moratorium immediately prohibits anyone from selling or manufacturing edibles in Wayzata. The council approved the emergency declaration, and subsequent ordinance with a four-fifths vote in favor on Wednesday. Councilor Alex Plechash was not in attendance for the meeting.
The discussion over what to do about edible cannabinoid products comes after the Minnesota Legislature enacted a new law allowing certain edible and beverage products containing THC to be sold. The decision came during the legislative session in May. The law came into effect officially on July 1.
“Regardless of how this all came to be, little information was provided to cities to determine the level of regulation if needed,” said Jeff Dahl, City Manager. “We think, similar to alcohol and tobacco, there certainly could be impacts to our community with licensing, zoning and general public safety.”
Dahl expects the legislature to come forward with regulations at some point, which he said is often what happens.
The moratorium is effective for one year, or until it is ended through a vote by the city council. During this time, the city is required to study the issue and take action.
If someone is in violation of the moratorium they will face penalties similar to violating a zoning ordinance, according to Dahl. He also stated the moratorium has no impact on people who are prescribed medical marijuana. It is specifically targeted at edible cannabinoid products containing hemp.
“Swear to God I didn’t know what cannabinoid oil was before this,” Dahl said. “It’s essentially a mind altering substance.”
Mayor Johanna Mouton asked if the moratorium would immediately stop someone who has already started selling products. Dahl said it would.
If the state were to come forward with regulations before the end of the moratorium, the moratorium would remain in effect. The city would have the option to end the moratorium and adopt the state regulations if it chooses.
At the beginning of July, a bathroom facility began to take shape on what was previously the CōV Restaurant parking lot along Lake Street in downtown Wayzata.
It is a portion of a $9 million construction project.
A month later, it has become the town talker.
Wayzata.com photo – July 29, 2020
“I know there’s a lot of talk in the community about that,” said Dahl during the Aug. 4 city council meeting referring to the construction of the plaza bathroom.
Wayzata.com photo – July 16, 2020
“I have received a few comments recently about the design of the project, particularly relating to the restroom which is currently under construction,” stated Dahl.
“Public restrooms were demanded by the business community and property owners as a part of our lengthy engagement process,” added Dahl. “Restrooms are usually ‘necessary evil’ when it comes to public space design. While they are needed there is never an ideal location for them.”
Plaza bathroom discussion during the Wayzata City Council Meeting 8/4/20
“One of the conversation pieces around the location of the restroom was also with regard to the relocation of the trail head and bike parking in the public ramp and close proximity to all those things,” said city council member Johanna McCarthy during the Aug. 4 city council meeting. “So, as I remember the conversation, that was certainly also a discussion point in terms of where we would locate the restroom facilities.”
To get a better idea of the community concerns, Wayzata.com asked Facebook followers what they thought of the bathroom’s location.
The comments were mostly negative. A small sampling includes:
“Absolutely terrible. No one wants to look at a latrine when you are enjoying $15 cocktails and a $250 dinner. Admit it is in the wrong location and move it while you still can.”
“It looks ridiculous. Sit on the patio of COV, McCormicks & Gianni’s and enjoy a view of the toilet.”
“Horrendous, the planners and the city should be embarrassed they approved this into their plans. The goal of the Lake Effect Program was to beautify the landscape of our incredible city.”
“I would move it.”
“I feel bad for the businesses that now have a view of the bathrooms instead of the beautiful lake.”
During the planning stages, the city looked at three options for the restroom:
1.) West end of plaza
2.) Within the central plaza
3.) Just west of Cov Restaurant (current location)
Dahl admits that while it currently looks like a cinder block, the final product will be different.
Photo courtesy City of Wayzata
Photo courtesy City of Wayzata
“The structure will be skinned in a semi-reflective material with a series of white ‘fins’ wrapping the structure to provide further articulation and tying it into the design of the shade structure in the central plaza. The reflective material will reflect the trees, lake sky and adjacent activities, further softening it appearance and further help it blend into its surroundings,” said Dahl.
“Additionally, because it is the only vertical structure currently installed it stands out,” said Dahl.
As new asphalt paved the way along Lake Street as part of the Panoway (Lake Effect) Project Phase 1, a $10 million request for Phase 2 stalled at the state Capitol.
Courtesy Lake Effect Conservancy/City of Wayzata
A week-long special session ended Saturday morning with many items still on the table.
One of these includes a bonding bill.
But even if legislators passed a bonding bill, both the House version, HF107, and the Senate version, SF4, did not include the $10 million the city of Wayzata had asked for.
This is the second time Wayzata’s request did not make the cut.
In May, as the regular session wrapped up, Panoway Project Phase 2 was not on the final version of bonding bills before the legislature.
This hasn’t deterred the city.
“We fully anticipate being a part of the bonding bill and need the funding in order to move forward Phase 2,” said Wayzata City Manager Jeff Dahl. “It’s a long process of obtaining public funds, though, that may continue beyond this year.”
With a lot of unfinished business in St. Paul, the Legislature could be called back for another session in July.
That means Wayzata’s $10 million ask may have another chance.
In an effort to secure state funds, the city hired Lockridge, Grindal, Nauen PLLP in August of 2019 to advocate for Wayzata.
The firm was initially hired on a 12-month, $40,000 contract.
“We have no interest in ending our partnership with LGN on capturing public funds to assist in meeting the initiatives of the City,” said Dahl.
Back in October, Wayzata city officials hosted the Minnesota Senate Capital Investment Committee to educate them on the importance of a boardwalk and ecological restoration along the shoreline of Lake Minnetonka as a part of Phase 2.
In January, Minnesota Gov. Tim Walz recommended a $10 million for a grant to the City of Wayzata.
But funding Panoway Phase 2 is not limited to a $10 million request of the state.
In 2016, the city council approved an agreement with the Lake Effect Conservancy.
“The Wayzata Conservancy role in support of the City of Wayzata’s efforts to bring forward Panoway are as follows: Advocacy, Fundraising, and Project Coordination,” said Conservancy Board Chair Andrew Mullin.
Mullin says that the Conservancy has pledges of nearly $2 million dollars.
But that number could be negatively impacted because of the current economic downturn.
“The Covid pandemic and resulting recession/depression have made an already challenging fundraising task even more difficult and will likely place some of our private pledges to date at risk,” said Mullin.
Pledged money aside, Mullin says the Conservancy’s cash balance as of May 31, was $201,224.90.
“The project will continue to evolve and the City with support from the Conservancy will pursue both regional and state public dollars in addition to private support for Panoway on Wayzata Bay to complement any funding we may receive from bonding,” said Mullin.
Mullin says the Conservancy plans to have some community engagement events on or around Phase 1 construction completion this fall.
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Panoway (Lake Effect) Project Phase 1 is already underway – reconstructing Lake Street from Barry Avenue to Broadway Avenue, creating a multi-use park, and extending the Dakota Rail Regional Trail.
Panoway (Lake Effect) Project Phase 2 includes the restoration of the Section Foreman House, building a boardwalk along the lakefront, and restoring the Lake Minnetonka shoreline.
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Panoway (Lake Effect) Background
In February of 2011, the city council appointed a Lakefront Task Force to research and provide a recommendation for the future of the City’s lakefront.
The city council adopted the Report of the Wayzata Lakefront Taskforce in January of 2012.
In March of 2014, the city council adopted the Wayzata Lakefront Final Framework Report.
Wayzata selected Civitas as the design team for the Lake Effect Signature Park schematic design in September of 2015.
On December 15, 2016, the city council approved an agreement with the Lake Effect Conservancy as a part of Resolution 29-2016 which defined the scope of the Lake Effect Project and its next steps.
That agreement states that the Conservancy will actively raise Private and Philanthropic Funding.
This is a part of the Panoway on Wayzata Bay (Lake Effect) Project Phase 1.
Right now, part of it looks like a sandbox (as you can see on the WayzataLive.com web cam), but soon it will transform into something different.
A Plaza Park will replace a surface parking lot at Lake Street and Broadway Avenue.
The Panoway Project is currently in Phase 4B.
Courtesy City of Wayzata
The big question now – when will the project be complete and when will Lake Street open again?
“Full completion is later this summer,” said Wayzata City Manager Jeff Dahl. “We are hopeful, however, to open up the 600 block sidewalk and street to pedestrian and vehicular traffic over the next few weeks.”
The city allocated roughly $9 million toward the first phase of the project.
It recently used $25,000 of a contingency fund to speed up the project and pay overtime for construction workers.
“This will be primarily used to work longer days during the work week as well as on Saturdays,” said Dahl. “We hope that we will gain a week’s worth of work so we can get out of the way even quicker, so our business can get back up and running.”
“We are grateful for the patience and support of the local community and the City as we continue to build momentum on the Panoway Project,” said Jessie Houlihan, President of Stahl Construction.
He stated that restaurants can open for outdoor sit-down dining beginning on June 1.
There must be six feet between customers. Staff must wear masks. Max capacity is 50 people. Restaurant reservations are required.
“As people venture out and doors open, we hope everyone safely ventures out to support their local businesses,” said Houlihan. “When you do so, please stay mindful of pedestrian and directional signage indicating the available routes.”
Panoway on Wayzata Bay (Lake Effect) Background
In February of 2011, the city council appointed a Lakefront Task Force to research and provide a recommendation for the future of the City’s lakefront.
The city council adopted the Report of the Wayzata Lakefront Taskforce in January of 2012.
In March of 2014, the city council adopted the Wayzata Lakefront Final Framework Report.
Wayzata selected Civitas as the design team for the Lake Effect Signature Park schematic design in September of 2015.
On December 15, 2016, the city council approved an agreement with the Lake Effect Conservancy as a part of Resolution 29-2016 which defined the scope of the Lake Effect Project and its next steps.
That agreement states that the Conservancy will actively raise Private and Philanthropic Funding.
The City of Wayzata’s Mayor Ken Willcox and City Manager Jeff Dahl present information about the Lake Effect to the Minnesota Senate Capital Investment Committee including a request for $10,000,000 of the $20,000,000 total budget to help fund the shovel ready project.
Completed design work includes increased public access to Lake Minnetonka, a boardwalk, restoration of the Section Foreman House, ADA compliant railroad crossings, a plaza park, public restrooms Dakota Rail Trail improvements, and more.
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