Council kills

KFC parking

proposal

By CHRIS VETTER

Journal Staff Writer

NEW ULM -- The New Ulm City Council rejected a proposal Tuesday that would have allowed a new restaurant to open in the former KFC site under the existing parking arrangement.

By a 2-2 vote, the council prevented passing the amendment that would have allowed the new owners to use the site without adding curb, gutter and a sidewalk.

Councilors Ron Fleischmann and Joel Albrecht voted against the measure. Councilor Ruth Ann Webster abstained because her employer, Gislason & Hunter law firm, negotiated the proposed sale. Council President Dan Beranek and Councilor Clark Tuttle III supported the amendment.

Under city code passed 32 years ago, the council has the right to order a curb and gutter installed at the KFC site. When that restaurant was open, patrons simply pulled up to the building on a flat paved surface from 13th North Street.

Richard Prim, attorney for the KFC owner, Lorline Enterprises, Inc., said the council move likely killed the deal to sell the former restaurant.

"What I'm telling you is they won't buy it. The council has effectively defeated this purchase," Prim said. "When you drive by that property and you don't like the way it looks, remember that there could have been someone in there shortly."

Prim noted that several area businesses, from Dairy Queen to Taco Johns, allow patrons to pull off a side street and directly up to the restaurant, without a curb and gutter blocking the route.

The perspective buyer attended the meeting. The woman, who asked to not be identified, was visibly disappointed by the council's action. She said the sale -- which was set to close April 3 pending the council's approval of the city code amendment -- is up in the air.

"I couldn't tell you at this point," she said with a sigh.

Albrecht said the need for a sidewalk is a safety issue. He noted that the nearby Brown County Fairgrounds will see increased traffic in coming years due to the new ice rink/exhibit hall. Many patrons will be walking from that facility to the hotel near the old KFC, and need a safe place to walk, Albrecht said.

"There are people walking in the streets now for Heritagefest," Albrecht said. "I see no way we cannot legitimately order in a sidewalk."

Prim countered, saying safety has never been a problem.

"There haven't been any safety issues there in the business' 32 years of operation," Prim said.

Under the failed amendment, Lorline Inc. and the perspective buyer had agreed to close the curb cut and driveway off North Broadway and plant at least two trees on the boulevard to improve the beauty of the area. While councilors would like to close the curb cut, the proposal still did not pass council muster.

Tuttle explained that it would be unfair for the city to agree to not install curb, gutter and sidewalk this year to appease the purchasers, then order it in the following year.

Albrecht agreed, saying the sidewalk should go in before a new business opens. The buyer should factor in those costs when negotiating a sale, he said.

"At the time of a sale is the logical time for the city to move," Albrecht said. "This is the time it should be done."

Albrecht then asked the council to set an April 17 hearing to require curb, gutter and sidewalk installed on the street.

Marktplatz sign

In other news, the council tabled a plan for a new electronic sign that would be installed in the city hall parking lot on Broadway and First North Street.

The free-standing, 26-foot sign would point visitors toward the Marktplatz Mall. The sign would include an electronic message system, which would advertise sales within the mall as well as upcoming Chamber of Commerce or city events.

The sign structure could cost up to $30,000. The city, Chamber of Commerce and Marktplatz owners would split the cost. The Marktplatz owners also would pay for the electronic message system, which costs another $35,000. The city would provide electricity to the sign at no cost, under the proposal.

Beranek spoke in favor of the sign, but suggested the issue be studied further. He said the size of the sign should be reduced.

The issue will return at the April 17 meeting.

Local sales tax

The councilors approved the use of a Minnesota Statute to define what is a "motorized vehicle." Under the now-accepted definition, a car, pickup and trailer pulled behind the vehicle qualify as a motorized vehicle.

The city half-percent sales tax takes effect April 1. Motorized vehicles, as defined above, will face a flat $20 excise tax if the vehicle costs more than $4,000. A vehicle under $4,000 will be charged with the half-percent sales tax.

For example, a car that costs $3,000 will have an added $15 in city sales tax. But a car that exceeds $4,000 will have a flat tax of $20 added to the purchase cost.

While the new city definition adds trailers to the list of motorized vehicles, the definition does not cover boats, snowmobiles or all-terrain vehicles, said City Attorney Hugh Nierengarten.

Thus, a person who purchases a $6,000 snowmobile will pay an additional half-percent of sales tax, or $30. An $8,000 boat purchase means a $40 city sales tax.

Library roof

Councilors approved hiring Gag Sheet Metal to replace the roof at the New Ulm Public Library at a cost of $82,050. The council had previously spent $7,150 on preliminary designs. Another $4,000-$5,000 will be spent hiring an inspecting and management team to oversee the work.

City Manager Dick Salvati noted that the city had anticipated the roof would cost $95,000, so the project will come in under budget.