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HomeMy WebLinkAbout2016/11/21 - ADMIN - Agenda Packets - City Council - RegularAGENDA NOVEMBER 21, 2016 6:30 p.m. SPECIAL STUDY SESSION – Community Room Discussion Items 1. 6:30 p.m. Westwood Hills Nature Center Project 2. 7:00 p.m. Vision Steering Committee 7:30 p.m. CITY COUNCIL MEETING – Council Chambers 1. Call to Order 1a. Pledge of Allegiance 1b. Roll Call 2. Presentations 2a. Presentation Accepting Monetary Donation from the American Legion Post 282 3. Approval of Minutes 3a. Study Session Meeting Minutes October 10, 2016 3b. Special Study Session Meeting Minutes October 17, 2016 3c. City Council Meeting Minutes October 17, 2016 3d. Special City Council Meeting Minutes October 24, 2016 3e. Study Session Meeting Minutes October 24, 2016 4. Approval of Agenda and Items on Consent Calendar NOTE: The Consent Calendar lists those items of business which are considered to be routine and/or which need no discussion. Consent items are acted upon by one motion. If discussion is desired by either a Councilmember or a member of the audience, that item may be moved to an appropriate section of the regular agenda for discussion. The items for the Consent Calendar are listed on the last page of the Agenda. Recommended Action: Motion to approve the Agenda as presented and items listed on the Consent Calendar; and to waive reading of all resolutions and ordinances. (Alternatively: Motion to add or remove items from the agenda, or move items from Consent Calendar to regular agenda for discussion.) 5. Boards and Commissions -- None 6. Public Hearings 6a. Roitenberg Family Assisted Living Residence Private Activity Revenue Bond Refinancing Recommended Action:  Mayor to open the public hearing for comments and close the public hearing.  Motion to Adopt Resolution Authorizing the Issuance of Revenue Bonds for the Benefit of Sholom Community Alliance, LLC; and Approving the Form of and Authorizing the Execution and Delivery of the Revenue Bonds and Related Documents. 7. Requests, Petitions, and Communications from the Public – None 8. Resolutions, Ordinances, Motions and Discussion Items – None 9. Communications – None Meeting of November 21, 2016 City Council Agenda Auxiliary aids for individuals with disabilities are available upon request. To make arrangements, please call the Administration Department at 952/924-2525 (TDD 952/924-2518) at least 96 hours in advance of meeting. CONSENT CALENDAR 4a. Adopt Resolution authorizing Worker’s Compensation insurance renewal effective December 1, 2016 and ongoing. 4b. Adopt Resolution approving acceptance of a monetary donation from the American Legion Post 282 in the amount of $5,000.00 to fund the initial purchase and implementation of the residential Knox Box key vault program. 4c. Authorize execution of a contract with S & S Tree and Horticultural Specialists, Inc., as the 2017 - 2019 (3 year contract) Boulevard Tree Pruning contractor in an amount not to exceed $60,000 per year. 4d. Adopt Resolution of Support for Sela Group’s submission of a grant application to the Hennepin County Transit Oriented Development (TOD) Program for its Parkway 25 Project. 4e. Adopt Resolution authorizing the special assessment for the repair of the water service line at 7606 North Street, St. Louis Park, MN. P.I.D. 20-117-21-21-0060. St. Louis Park Economic Development Authority and regular City Council meetings are carried live on Civic TV cable channel 17 and replays are frequent; check www.parktv.org for the schedule. The meetings are also streamed live on the internet at www.parktv.org, and saved for Video on Demand replays. The agenda is posted on Fridays on the official city bulletin board in the lobby of City Hall and on the text display on Civic TV cable channel 17. The agenda and full packet are available by noon on Friday on the city’s website. Meeting: Special Study Session Meeting Date: November 21, 2016 Discussion Item: 1 EXECUTIVE SUMMARY TITLE: Westwood Hills Nature Center Project RECOMMENDED ACTION: None at this time. Staff desires to discuss and receive direction from the Council regarding the purpose and desired outcomes of the proposed Interpretive Center building at the Westwood Hills Nature Center. POLICY CONSIDERATION: Is the purpose and desired outcomes of a new interpretive center, as expressed in this report, in keeping with the City Councils expectations? If so, should staff move forward with the next steps of advancing this project by selecting an architect and beginning the schematic design process? SUMMARY: The City completed a comprehensive Master Plan for the Westwood Hills Nature Center in May 2016. This plan addressed facility development and programming goals for the Nature Center. The plan included the nature center facilities, outdoor programming sites, infrastructure and programming needs. The master plan serves as the vision, identifies guiding principles, resource allocation and an action plan to meet the identified needs of the community and to assist the city in planning for future building development at the Nature Center. Citizen input played a key role in shaping this plan. After the City Council tour of Eastman Nature Center, the Council discussed the need for clarity and agreement regarding the intended purpose and desired outcomes of the future Interpretive Center building. Under the “Discussion” section of this report staff has provided suggested language identifying the purpose and outcomes of the future Interpretive Center for Council consideration. FINANCIAL OR BUDGET CONSIDERATION: The City’s CIP has $300,000 in 2017 to begin preliminary design for the construction of a new Nature Center building. VISION CONSIDERATION: St. Louis Park is committed to being a connected and engaged community. St. Louis Park is committed to being a leader in environmental stewardship. SUPPORTING DOCUMENTS: Discussion Community Input (from Master Plan) Estimated Debt Service Schedule Prepared by: Jason T. West, Recreation Superintendent Mark Oestreich, Westwood Hills Nature Center Manager Reviewed by: Cynthia S. Walsh, Director of Operations and Recreation Brian Hoffman, Inspections Director Tim Simon, Chief Financial Officer Approved by: Tom Harmening, City Manager Special Study Session Meeting of November 21, 2016 (Item No. 1) Page 2 Title: Westwood Hills Nature Center Project DISCUSSION BACKGROUND: The City completed a comprehensive Master Plan for the Westwood Hills Nature Center in May 2016. This plan addressed facility development and programming goals. The plan included the nature center facilities, outdoor programming sites, infrastructure and programming needs. The master plan serves as the vision, identifies guiding principles, resource allocation and an action plan to meet the identified needs of the community and to assist the city in planning for future building development at the Nature Center. Citizen input played a key role in shaping this plan. This input is laid out on pages 18 and 19 of the Master Plan, which is attached for your reference. PURPOSE AND OUTCOMES: Statement of Purpose: In practice, Westwood Hills Nature Center will model and promote stewardship, sustainability and a deeper ecological understanding through direct experience, using our resources to provide connecting places for all and enhance quality of life in the community. Intended Outcomes: Creation of a multi-use facility to expand programming, improve accessibility, offer additional rental opportunities, improve staff workspace, increase storage capacity, provide for a separate exhibit/exploration area, and accommodate educational groups while allowing the general public to enjoy the facility separate from large groups. Design Considerations:  The current size of the Interpretive Center Building is 2,700 sq. ft. The proposed size of the building is projected to be 12,000 to 15,000 sq. ft., similar in size to Eastman which is 14,000 sq. ft.  Energy efficient based on the most current standards  Low maintenance both inside and out  Building location closer to the parking lot  Separate community gathering space that does not interfere with programming  Warmer and inviting feel  Maintain and expand three classrooms for adult and youth programs. Insure the classrooms are flexible so that they can open into one large room for reservations  Flexibility/accommodating for Hearing Loop  Target audience is everyone o Increased adult programming outside and inside of Interpretive Center building o Interactive exhibits that users can enjoy without interfering with programs taking place o Increased youth and family programming that can occur simultaneously with programs occurring in other rooms  Restrooms available for public even during off hours  Enhance the existing partnership with St. Louis Park School District through programming opportunities for Pre-K to senior adults  Appropriate staff office space and work areas  Public gathering area (i.e. interpretive exhibits, animal display, etc.)  Adequate storage locations  Consider creating a small rental room that can be used by book clubs or neighborhood groups Special Study Session Meeting of November 21, 2016 (Item No. 1) Page 3 Title: Westwood Hills Nature Center Project FINANCIAL AND BUDGET IMPLICATIONS: The City’s CIP has $300,000 in 2017 to begin preliminary design for the construction of a new Nature Center building, the current CIP (2017- 2026) estimates an $11 million project in 2019. Based on a 20-year bond at a rate of 3.5% (only an estimate) the annual impact to the median value home ($240,100) would range from $32-$35 per year. The size and term of the bond will be modified as we annually update the CIP and the estimates. Based on the proposed goals for the Nature Center building and related site changes, the Master Plan process developed the estimated cost for a tentative 2019 start. This is a cost higher than what was reported for the Eastman Nature Center when construction of that facility began in 2011. A sustainable building design which focuses on energy conservation, material types, occupant health, and possible renewable energy sources will have a higher initial cost. Additionally, incorporating maintenance free exterior and low maintenance interior materials at a higher initial cost, will provide a building with lower future operating expenditures. This approach will help maintain the buildings appearance and increase useful longevity. Provisions for increased parking, utility services, emergency power generation, and the continuing trend of significantly rising building construction costs during the past few years are reflected in the proposed project budget. NEXT STEPS: If directed by Council, staff would move forward with this project beginning with selecting an architectural firm to work with. We would come back to the City Council at the completion of each step below to check in and affirm direction to move to the next step. 1. Select an Architecture firm 2. Schematic Design 3. Design Development 4. Construction Documents VISION Westwood Hills Nature Center Miller Dunwiddie Architecture Master Plan SLP1505 May 23, 2016 18 COMMUNITY INPUT Based on an understanding of the existing conditions and conversations with the community and staff, it is very apparent that the (WHNC) does a number of things wonderfully. The WHNC also has a number of challenges. The programming, energy, and creativity of the staff often make up for the challenges of the building and space. The main emphasis and focus of the community comments that were gathered online, during the Halloween party, and during the first community meeting, is that WHNC is great as it is. Change very little unless change is required to allow WHNC to function and continue to offer the great programming it always has. Many of these sentiments are not new to the center or program. Some of the original programming work that was completed prior to the construction of the 1981 building identified a number of needs that still remain today. The existing building does provide a space for staff and a space to gather but does not provide room to truly realize the WHNC’s full potential. A number of the program aspects outlined during the early planning for the original 1981 WHNC area all sentiments that align and resonate with the information received and discussed with the community, city, and staff. These program aspects include:  Support full range of environmental programs  Reflect concern of awareness for natural environment  Meet challenges of seasonal needs for curriculum  Flexible and adaptable design to meet variable situations  Nature is the focal point of the site-not building  Building should complement site and blend into surroundings  Function is to support programs  Design should express need to conserve and utilize various forms of energy available  Ease of maintenance  Configuration of rooms should create feeling of openness and intimacy with the outdoors  Minimize visual and audio distractions This original vision for the center’s main focus is still valid today. It demonstrates how the center has been steadfast in its goals. It also demonstrates that there is a parallel to the issues identified by staff and the community today and that a number of the issues and goals remain unsatisfied. The challenges of the existing building make the full realization of these aspects very difficult. The limited space and inability to divide the space both physically and acoustically limits the ability to achieve Special Study Session Meeting of November 21, 2016 (Item No. 1) Title: Westwood Hills Nature Center Project Page 4 VISION Westwood Hills Nature Center Miller Dunwiddie Architecture Master Plan SLP1505 May 23, 2016 19 many of the center’s goals. Programming is often altered based on how many the building can fit or schedules are based on when no other activity is scheduled onsite rather than what is needed or desired for the community. Based on the deficiencies, needs, and how the site is currently configured, the design team looked at a number of options. These options included expanding the existing building footprint at the current location or providing a new facility at numerous locations on the property. A presentation of the options was made to city staff. Based on city staff input, a preliminary recommendation to relocate the main building to the south was presented during the second community meeting. At the meeting, the design team discussed the facility’s needs and offered images and diagrams of how a new facility could be designed and situated on the site and to determine peoples’ reaction to a number of varying facility types. Removing the existing building allows expanded programming to occur adjacent to the water feature and garden. Bringing the facility building further to the south also allows parking to remain relatively in the same location. This keeps the impact of the construction on the site to a contained area and allows the many other natural features of the center to remain untouched. Those attending felt that the ideal building would fit into the larger natural context of the site and would disappear. Images of grass roofs and open window walls for viewing were preferred over more utilitarian structures. Planned outdoor space was discussed and opportunities for development of alternative gathering areas within the building were reviewed but overall the comments reflected on what the facility needs to do in order to perform and maintain the great feel and function of it currently offers. Energy efficiency and sustainable practices were seen as opportunities and necessities. Alternative energy and best practice for thermal performance were noted. These goals were also reinforced at the city level and future design should strive to meet the criteria of net zero. Similar nature center facilities either just completed or in planning, confirm the vision and necessary physical changes needed at the WHNC. Eastman Nature Center just recently completed a new building and determined that in order to adequately provide the space and facility they need, the new building needed to be just under 12,000 SF. Many of these facilities include ample staff space for quiet work, activity preparation, and storage. Two to three classrooms, sized to accommodate 50 students is very typical. Varied types of gathering from small groups to areas that can hold mid-sized events are designed into the overall layout. Special Study Session Meeting of November 21, 2016 (Item No. 1) Title: Westwood Hills Nature Center Project Page 5 City of St. Louis ParkDebt Planning ModelPRELIMINARY - For Discussion OnlyPurpose:Westwood Nature Center (Charter Bonds)Dated:2019Original Amount:$11,000,000Term (years):20Subject to Debt Limit:YesAverage Coupon:3.500%0% 0% 0% 0% 0% 0% 100%TermPrincipal Interest TotalP&I Subject to Tax Levy105% of LevyLess: Special AssessmentLess: Sanitary SewerLess: WaterLess: Storm WaterLess: Tax IncrementLess: Other Revenues Net Tax LevyTotal Source of Funds201900 0 $11,000,0000 0 0 000 00 0 01 2020 390,000 385,000 775,000 $10,610,000775,000 813,750 0 0 0 0 0 0 813,750 813,7502 2021 400,000 371,350 771,350 $10,210,000771,350 809,918 0 0 0 0 0 0 809,918 809,9183 2022 415,000 357,350 772,350 $9,795,000772,350 810,968 0 0 0 0 0 0 810,968 810,9684 2023 430,000 342,825 772,825 $9,365,000772,825 811,466 0 0 0 0 0 0 811,466 811,4665 2024445,000 327,775 772,775 $8,920,000772,775 811,4140 0 0 0 0 0 811,414811,4146 2025 460,000 312,200 772,200 $8,460,000772,200 810,810 0 0 0 0 0 0 810,810 810,8107 2026 480,000 296,100 776,100 $7,980,000776,100 814,905 0 0 0 0 0 0 814,905 814,9058 2027 495,000 279,300 774,300 $7,485,000774,300 813,015 0 0 0 0 0 0 813,015 813,0159 2028 510,000 261,975 771,975 $6,975,000771,975 810,5740 0 0 0 0 0 810,574810,57410 2029 530,000 244,125 774,125 $6,445,000774,125 812,831 0 0 0 0 0 0 812,831 812,83111 2030 550,000 225,575 775,575 $5,895,000775,575 814,3540 0 0 0 0 0 814,354814,35412 2031 570,000 206,325 776,325 $5,325,000776,325 815,141 0 0 0 0 0 0 815,141 815,14113 2032 590,000 186,375 776,375 $4,735,000776,375 815,1940 0 0 0 0 0 815,194815,19414 2033 610,000 165,725 775,725 $4,125,000775,725 814,511 0 0 0 0 0 0 814,511 814,51115 2034630,000 144,375 774,375 $3,495,000774,375 813,0940 0 0 0 0 0 813,094813,09416 2035 650,000 122,325 772,325 $2,845,000772,325 810,941 0 0 0 0 0 0 810,941 810,94117 2036 675,000 99,575 774,575 $2,170,000774,575 813,3040 0 0 0 0 0 813,304813,30418 2037 700,000 75,950 775,950 $1,470,000775,950 814,748 0 0 0 0 0 0 814,748 814,74819 2038 720,000 51,450 771,450$750,000771,450 810,023 0 0 0 0 0 0 810,023 810,02320 2039 750,000 26,250 776,250$0 776,250 815,063 0 0 0 0 0 0 815,063 815,063204000 0$0000 0 0 0 0 0 0 0204100 0$0000 0 0 0 0 0 0 0204200 0$0000 0 0 0 0 0 0 0204300 0$0000 0 0 0 0 0 0 020440 0 0 $0 0 0 0 000 00 0 0204500 0$0000 0 0 0 0 0 0 0204600 0$0000 0 0 0 0 0 0 0204700 0$0000 0 0 0 0 0 0 0204800 0$0000 0 0 0 0 0 0 0204900 0$0000 0 0 0 0 0 0 0Total 11,000,0004,481,925 15,481,92515,481,925 16,256,021 0 0 0 0 0 0 16,256,021 16,256,021Year Principal Paid 2/1DEBT SERVICE PAYMENTSOUTSTANDING BONDSSOURCE OF FUNDS FOR DEBT SERVICE PAYMENTS11/15/2016Page 1 of 1Special Study Session Meeting of November 21, 2016 (Item No. 1) Title: Westwood Hills Nature Center ProjectPage 6 Meeting: Special Study Session Meeting Date: November 21, 2016 Discussion Item: 2 EXECUTIVE SUMMARY TITLE: Vision Steering Committee RECOMMENDED ACTION: Direct staff on Vision Steering Committee appointment process POLICY CONSIDERATION: Does the City Council want to modify the Vision Steering Committee appointment process? SUMMARY: The Vision Steering Committee will serve as a liaison between the community and the City Council throughout the Vision process. The Committee will help in reaching out to and engaging with as many community members as possible, including those who may not normally engage with the city; working collaboratively with Vision consultant Next Generation and with city staff; and serving as advocates for the Vision process throughout the community. Vision Consultant Rebecca Ryan specified preferred characteristics for the Steering Committee members: visionary, entrepreneurial and innovative in approaching the future; able to think outside the box and experiment; and positive about St. Louis Park’s future. The City Council asked that the Steering Committee include a diverse group of individuals representing a range of demographics who could reach deeply and widely into the community for input. The Vision Steering Committee will be assisted by a Communications and Outreach Committee of city staff. This staff committee’s first charge was to recruit and recommend people for the nine- member Steering Committee, the process for which was outlined in the October 10th and 17th reports to the Council. The Communications and Outreach Committee identified 36 candidates for the Steering Committee and invited each individual to submit a Statement of Interest. Fourteen statements were received. Community Engagement: Individuals contacted for the Steering Committee will be invited and have the opportunity to participate in many other aspects of the visioning process. Four core strategies are described in the consultant’s Scope of Work including town-hall style meetings, training facilitators for neighbor-to-neighbor conversations, special efforts to engage the under- represented, and highly visible, creative community activities and events. FINANCIAL OR BUDGET CONSIDERATION: The Vision update contract amount is $120,000 and the source of funding is the Development Fund. VISION CONSIDERATION: St. Louis Park is committed to being a connected and engaged community. SUPPORTING DOCUMENTS: Discussion Prepared by: Meg J. McMonigal, Principal Planner Jacqueline Larson, Communications and Marketing Manager Reviewed by: Kevin Locke, Community Development Director Approved by: Tom Harmening, City Manager Special Study Session Meeting of November 21, 2016 (Item No. 2) Page 2 Title: Vision Steering Committee DISCUSSION BACKGROUND: Communications and Outreach Committee Jacqueline Larson and Meg McMonigal are co-chairing the Communications and Outreach Committee, which includes staff from various departments who are engaged in the community and involved with a variety of organizations, people and groups. Members include:  Jacqueline Larson, Communications and Marketing Manager  Meg McMonigal, Principal Planner  Afton Martens, Joint Community Police Partnership Coordinator  Laura Smith, Wellness and Volunteer Coordinator  Jack Sullivan, Senior Project Engineering Manager  Nate Rosa, Recreation Supervisor  Breanna Freedman, Community Liaison  Kala Fisher, Solid Waste Program Coordinator  Julie Grove, Economic Development Specialist Communications and Outreach Meetings and Process:  Meeting #1: Introduction to Committee and to Vision Process. Assigned to find candidates for the Vision Steering Committee  Meeting #2: Share names; 36 names suggested. Assigned each committee member to invite those he/she suggested. Committee members were provided a script for invitation and “Statement of Interest” to provide to candidates.  Meeting #3: “Statements of Interest” submitted by 14 individuals. Committee analyzed sectors represented, geography/location in city, gender, availability, etc. to arrive at the recommended nine people for the Steering Committee. Recommendations from the Communications and Outreach Committee Recommendations were made based on the following:  Representation of different sectors including neighborhoods, businesses, schools, youth, faith, recreation and arts  Geographic location within the city  Gender balance  Racial diversity PRESENT CONSIDERATIONS: If the Council wishes to submit additional names for the Committee, staff will invite those individuals to submit a Statement of Interest. Additional discussion on the committee members and appointment could occur before the end of the year. NEXT STEPS: 1. The initial meeting of the Steering Committee will likely take place in January and be followed by regular monthly meetings through May or June. 2. The “Train the Facilitator” training date will be set for February. The Communications and Outreach committee will work on outreach and recruitment of facilitators in January. From 40 to 60 community members will be trained to host “future-focused conversations” to gain input on the future of St. Louis Park. The Vision consultant will provide “meeting in a tube” materials to host and facilitate local meetings. Special Study Session Meeting of November 21, 2016 (Item No. 2) Page 3 Title: Vision Steering Committee 3. Dates for three Town Hall meetings will be set to occur between January and May. One of the meetings is expected to be a Facebook Live meeting, which allows people to provide input and feedback via social media, wherever they are located. When the Steering Committee is selected and notified, dates for meetings and the specific Vision events can be set. The Communications and Outreach Committee will be reaching out and involving people to work with the consultant to publicize activities and events. Meeting: City Council Meeting Date: November 21, 2016 Presentation: 2a EXECUTIVE SUMMARY TITLE: Presentation Accepting Monetary Donation from the American Legion Post 282 RECOMMENDED ACTION: Fire Chief Steve Koering will be present to accept the donation to the Fire Department noted below. The donation will be officially accepted by the City Council as a consent item following the presentation. From Amount For American Legion Post 282 $5,000 The St. Louis Park Fire Department to fund the initial purchase and implementation of the residential Knox Box key vault program. Prepared by: Debbie Fischer, Administrative Services Office Assistant Approved by: Tom Harmening, City Manager Meeting: City Council Meeting Date: November 21, 2016 Minutes: 3a UNOFFICIAL MINUTES CITY COUNCIL STUDY SESSION ST. LOUIS PARK, MINNESOTA OCTOBER 10, 2016 The meeting convened at 6:56 p.m. Councilmembers present: Mayor Jake Spano, Tim Brausen, Steve Hallfin, Gregg Lindberg, Anne Mavity, Thom Miller, and Susan Sanger. Staff present: City Manager (Mr. Harmening), Engineering Director (Ms. Heiser), Director of Operations and Recreation (Ms. Walsh), Director of Inspections (Mr. Hoffman), Director of Community Development (Mr. Locke), Economic Development Coordinator (Mr. Hunt), Planning and Zoning Supervisor (Mr. Walther), Chief Information Officer (Mr. Pires), Communications and Marketing Manager (Ms. Larson), IT Manager (Mr. Huber), and Recording Secretary (Ms. Pappas). Guest: Rebecca Ryan, Visioning Consultant; Brian Ryks, Metropolitan Airports Commission Executive Director; and Chris Velasco, PLACE developer. 1. Future Study Session Agenda Planning – October 17 & 24, 2016 Mr. Harmening proposed moving this agenda item to the end of the meeting, in order to begin the meeting on time. The council agreed and the topic was moved. 2. Update on Community Visioning Process with Consultant Rebecca Ryan Mr. Locke noted the contract for the visioning process will be presented to the council for approval at the next regular meeting. He also noted that city staff is currently working to identify who will be on the Visioning Steering Committee. He then introduced Consultant Rebecca Ryan, who provided the council with an update on the visioning process. Ms. Ryan explained community engagement is the priority and there will be four ways for the community to be involved: meetings, chalk boards, social media, and city hall meetings. She will interweave trends and futuristic concepts into the process. She added that the first two methods are the city going to the community, and the second two methods are the community coming to the city. All methods will be instrumental in gaining visioning information from the community. Additionally, Ms. Ryan noted the “meeting in a box/tube” concept that will be introduced to facilitators. These items in the tube will be utilized to present the community with consistent messages at meetings. Ms. Ryan added that chalkboards on wheels will be taken to various locations in the community, and while questions are asked at the meetings, participants are invited to step up and write their ideas on the board until it is full. Facilitators will take a photo of the board for reference, and this then becomes a very accessible and low-barrier area for the exchange of ideas. Ms. Ryan noted that with social media, the strategy will be to use Twitter, Facebook, and newsletters to put a question out each week, to engage the community and receive responses. She noted the questions City Council Meeting of November 21, 2016 (Item No. 3a) Page 2 Title: Study Session Minutes of October 10, 2016 can go viral, adding that folks are open and honest in this method; however, it would be important to watch that special interest groups do not overpower this process. Ms. Ryan added that town hall meetings at City Hall will also increase dialogue. She is expecting thousands of inputs from the community, which will all be ordered and prioritized. A hard launch is planned for January, 2017. Ms. Ryan noted she and her team are futurists who pay attention to trends, and all community input will be paired with actual trends and data, with verified projections of what the community will face in the next 20 years. She added current work is focused on building, getting the steering committee ready, and doing a soft roll out on social media. Special emphasis will be on communicating with ethnic minorities and non-English speakers, and on weaving in folks who are not the usual players in the typical visioning process. Councilmember Brausen stated the council has done a lot of work on trends, goals and visions for the city, noting that this should be the starting point for the steering committee. He stated that the city’s values are already built into the goals, adding that all the work the council has done with racial equity will also need to be incorporated into the process. He stated that Parktacular is in June, and if the visioning schedule ends in May, he has concerns that it will miss a very important event at which to gather community input. Councilmember Miller asked if facilitators will be invited into people’s homes for meetings. Ms. Ryan stated they will be invited into homes, coffee shops, community rooms, church basements, and added that signage from the meeting in a tube will be utilized. Councilmember Miller asked if the city’s neighborhood groups will be utilized. Ms. Ryan stated yes, and added that there will be a push to get into the city’s rental units and talk with non-English speakers, as well. Councilmember Miller asked how the residents of the apartments in the Birchwood Neighborhood, on the north end, will be able to be heard. Ms. Ryan stated it will be a challenge, but if landlords will allow, they will use flyers, while also possibly providing daycare for these folks so they are able to participate in the meeting process. Ms. Ryan added they are also considering some creative artwork be done on the side of a building in winter, with a live stream of tweets, as another way to reach the community and create buzz about visioning. Councilmember Sanger agreed with Councilmember Brausen on goals being the starting point of this process but added she saw nothing in Ms. Ryan’s plan about how businesses would be included in the process. Ms. Ryan stated that is an error of omission and will be added to the plan. Councilmember Sanger noted there are very established businesses in the community that will need to be included in the process. She continued that neighborhood association leaders will also need to be on the steering committee and asked if it was fair to say the steering committee will reflect the demographics of St. Louis Park. Ms. Ryan stated 100% representation from all is probably impossible, but they will make sure to vet the neighborhood networks and to reach out to folks who represent all of these networks. City Council Meeting of November 21, 2016 (Item No. 3a) Page 3 Title: Study Session Minutes of October 10, 2016 Councilmember Sanger added she has concerns about folks who are not on social media, and hopes Ms. Ryan will find other ways to reach these people. Otherwise, a whole group may be excluded from the process. Councilmember Sanger asked if there will be a way to invite these folks to city hall for meetings via email. She also added with respect to the “train the trainer” meetings, if Ms. Ryan would be able to piggy-back onto neighborhood association meetings, as well. Councilmember Mavity stated in general she likes the approach and is hopeful about it. However, she does share Councilmember Brausen’s concerns about rolling the process out in the winter as this might limit some folks. She added she does not want this to start off on the wrong foot and assumes the need to utilize the schools, also, in order to gain feedback from families and children. She noted it may take meeting folks on the sliding hill or at the warming house in order to gather feedback from families in the winter, and asked if they would be able to do this. Ms. Ryan agreed that they could engage groups in this way. Mr. Locke added neighborhoods and groups representing the schools, sports, activities, arts, etc., would all be included in the process. Councilmember Mavity stated it will be important to make sure the meetings are accessible to everyone. She added she does not want it to be the same old, same old, and they will need to get out further into the community. Councilmember Lindberg agreed with the other councilmembers, noting it will be important to get to the large population of renters in the Louisiana Court area, as well. He stated engagement is very important to him, and it will be important to reach out to the neighborhood organizations, as well as to folks who are not in organized neighborhood associations. Mayor Spano stated that if a meeting is conducted in the Meadowbrook Apartments, there will need to be multiple meetings over the 5-6-month period of time. He added it will be important to solicit input from these folks, and conversations will need to start earlier than January in this area, in order to gain some traction. He added that reaching out earlier to this group will be useful in order to have some robust conversations when meetings do begin in January. Councilmember Sanger asked if there is any plan to solicit information from the non-profits in St. Louis Park. Ms. Ryan noted they will be taking the citizen approach vs. the organization approach. However, Mr. Locke added that the schools will definitely be part of the process, as well as residents who are deeply involved in many of the non-profits organizations in St. Louis Park. He added that this network of folks will definitely be involved and tapped into. Councilmember Brausen added he would like to see Bob Ramsey involved in this process, as he represents the aging community. Councilmember Mavity stated she would like staff to provide more context around the schedule of the visioning process, so as not to miss out on major events, such at Parktacular in June. She asked staff to consider spreading out the process a bit more. Councilmember Brausen agreed. Mayor Spano stated the council is aligned with where the process is headed. City Council Meeting of November 21, 2016 (Item No. 3a) Page 4 Title: Study Session Minutes of October 10, 2016 3. Metropolitan Airport Commission (MAC) Update with Executive Director Brian Ryks Mr. Hoffman introduced Metropolitan Airport Commission (MAC) Executive Director and CEO, Brian Ryks. MAC Commissioner Lisa Peilen was not able to attend this evening’s meeting. Mr. Hoffman noted that Mr. Ryks came into this leadership role at MAC this past May and is in attendance this evening to discuss recent activities and the direction of MAC, including ongoing support of surrounding communities working with the FAA and the Noise Oversight Commission. Mr. Ryks noted the background of the MAC and stated that Minnesota has a very large airport system, with six airports, and is ranked 16th in the nation for size. He noted that Delta Airlines has 73% of their operations in the Twin Cities hub, and Sun Country is expanding. He added that while the number of flight operations have declined since 2005, passenger numbers continue to increase at a rate of 2 – 3.5%. Mr. Ryks attributed this increase to the effort to keep planes filled with passengers at all times and also that airlines have phased out many of their smaller aircraft in the last few years, reducing numbers of planes from their fleets and trending toward larger aircraft that can hold more passengers. Mr. Ryks stated with regard to noise mitigation, MAC has had one of the most aggressive programs in the country. There is collaboration around this issue with community representation, airport representation, FAA, and MAC representation. He said that issues and concerns are discussed related to noise. FAA operation changes due to converging runway concerns (aircraft on the north/south runway potentially crossing those on the parallel runways) has become evident as one reason for increased flights and noise in St. Louis Park and other communities. MAC is committed to continuing their program of public outreach to address this issue. He added the next generation of airplanes will be constructed to address these noise issues. Mr. Ryks stated he is focused on collaboration, while continuing to reach out to community stakeholders to create a more productive dialogue. He invited the council to contact him at any time if they have concerns on environment and noise abatement, and MAC will respond. Councilmember Sanger stated she has heard that one of the reasons there is more noise is that pilots are lowering landing gear earlier in the landing process. She stated this was discussed last time MAC visited the council. She added MAC had stated they would look into this issue; however, she has not heard any follow up. Mr. Hoffman explained that airline pilots are required to have aircraft stabilized at least 3-6 miles out from approach, and this has always been the practice according to Delta and Sun Country pilots who presented information to the NOC. He added they often lower the flaps and gear by 7-8 miles to slow, and in St. Louis Park, that is about over city hall. Councilmember Sanger added the planes that come from the northwest toward the airport seem to be more spread out but now are lining up in a narrower band. Councilmember Miller commented there is talk about normalization, but this seems to be in opposition to the FAA rules, asking if this is a non-achievable goal. Mr. Ryks stated he believes it is an achievable goal; however, the FAA was required to make changes related to converging City Council Meeting of November 21, 2016 (Item No. 3a) Page 5 Title: Study Session Minutes of October 10, 2016 runways, and this is now affecting many major hub airports. He added the FAA is working to implement procedures that are more consistent. Councilmember Mavity stated she often utilizes flight tracker and pointed out to the council and Mr. Ryks the intensity of air traffic in St. Louis Park. She added she noticed that last summer was very bad, and that is when the council asked to have the air traffic tracked. She added she heard MAC talk about engagement; however, sometimes the council is only told about future plans. She asked how MAC sees this as engagement with the community. Mr. Ryks stated through the noise oversite committee - which includes FAA members, airline members, and residents - a productive dialogue occurs. He added this is the best way to hear issues and concerns. He noted the flight tracking data can be reviewed again so as to determine the best way to address issues. Councilmember Mavity stated she understands, but when looking at the flight tracking data, she noted it almost defines where St. Louis Park is and asked if there is any hope the noise impact will be lessened for residents. Mr. Ryks stated the hope is from a percentage of use standpoint, having the noise levels go back to past levels. Councilmember Mavity reiterated her questions, asking if they think St. Louis Park will see a decrease in noise in the coming years. Mr. Ryks stated the data has shown that with quieter aircraft being constructed and next generation runway configurations, there will be less noise. He added MAC has done studies on noise over the years, and they will continue to communicate and collaborate with the city to reduce the impact. Councilmember Brausen noted that as he was leaving the terminal recently, a wheel on his car fell off. He noted that workers from MAC helped him out, and he was grateful for that. Councilmember Sanger stated if the most likely source of noise reduction is the airlines using aircraft that is better designed to reduce noise that is good. However, solutions don’t really have anything to do with people’s complaints, and the solution is really out of the community’s hands anyway. Mr. Hoffman added this is a difficult issue to resolve, but it is still important for folks to communicate as that can make a difference. 4. PLACE Development Update Mr. Locke gave an overview of the PLACE development. The development will be on property north and south of the Wooddale SWLRT Station, with a mixed-use, mixed-income, transit- oriented, and sustainable component. A total of 300 residential units are proposed, with 200 being affordable and 100 market rate. Included also will be a 110-room hotel; a 15,000 square foot e- generation/co-generation/greenhouse facility; approximately 25,000 square feet of ground floor commercial/retail space; and one acre of urban forest. In June, 2016, the council discussed this development, and the plans have been reworked to incorporate the council’s suggestions. Mr. Velasco presented the site plan and described the developmental components. The construction of this development is slated to begin next spring, with completion during 2018. He stated that financing of the project will be through private activity bonds. The goal of this project will be a focus on transit, biking, walking, living and working in the same location. He added that the idea is to create some design strategies to have people living and working at the same site. He City Council Meeting of November 21, 2016 (Item No. 3a) Page 6 Title: Study Session Minutes of October 10, 2016 noted there will be over 100 jobs at the development, along with light rail; a bike trail; shared bikes and cars, which can be rented by the hour. Monthly transit passes will also be available to residents. Mr. Locke noted that private activity bonds will be used for the project’s $152 million total cost. By setting it up as an annual fee, this will generate revenue designated for the rehab housing fund. He noted a more extensive analysis will be presented to the council at a later date. Mr. Velasco explained the changes to the overall project plan, pointing out how the development would be built on both sides of the tracks. He added the e-generation project will be housed on Wooddale, and a bike shop will be located right off the trail. Along with this will be an urban forest area, hotel, woonerf for pedestrians and cyclists. He added the development will be open to the public. Mr. Velasco stated there were a few challenges because of the split development, which cut out the preschool. Otherwise, the project remains the same as presented earlier in June. He added there are now also more building entrances, more public entrances, and a place for exercise on both north and south sides. The warehouse and frame shop will need to be removed in order to allow for development on the south side. Parking will be open to the public, as well for as those living and working in the space. Along with this, he added that signage will need to be included that this is not a park and ride lot. Councilmember Sanger asked about the parking, noting her concerns that there will not be the 400 spots needed for hotel residents, visitors, customers, and residents. Mr. Velasco stated there will be 485 parking spaces total, with 182 on the north side alone. Councilmember Mavity stated she thinks the project is going in the right direction with the north south split, noting it is a better plan. However, she is concerned about traffic at the intersection. Councilmember Sanger added that over 60% of the residents will be lower income, and she has concerns about the affordability of transportation. Councilmember Mavity stated these folks will be able to utilize the light rail, and a shuttle will also be available to them. She added residents will be paid to not have vehicles at the location. Councilmember Lindberg stated he is in favor of the overall concept but has some concerns about the level of financial assistance needed. He would like more discussion on it. He added that 21 years is a long time for payback on this project, and he would like to be certain there is public benefit in it, adding he wants what is best for the whole of St. Louis Park. Councilmember Brausen asked if it would be possible to build a bridge over the light rail line. Mr. Velasco stated there has been discussion about a pedestrian bridge; however, costs for this would be around $2 million. Councilmember Brausen added he is very supportive of the project, and the TIF makes sense, because of the affordable housing, arts concepts, and environmental savings, which meet the city’s goals. Councilmember Hallfin stated he is on board 100%, and if the project were broken up into 4 or 5 different developers, it would not make sense. City Council Meeting of November 21, 2016 (Item No. 3a) Page 7 Title: Study Session Minutes of October 10, 2016 Councilmember Miller stated he has come to like this grand plan, and it seems to work well with traffic. He added he likes the workspace and the urban forest. He stated his concern is with a TIF request this large. He questioned if there a possibility of getting more grants if financing becomes difficult. He added he is concerned about non-profitability if portions of the project were to go away. Mr. Velasco stated if they are forced to downscale portions of the development, they would still keep the mixed use elements, while the living workspace may need to be scaled back. He added that if necessary, they would scale back the whole financial model, adding the project is non-profit. Mr. Hunt added that PLACE’s request for TIF financing would be presented at a subsequent study session for EDA consideration. Mr. Locke added if the development had to be changed, the TIF is not issued until the full project is completed. Councilmember Miller added parts of this project are great for the community, but he has concerns about some parts that might not be revenue generating. Councilmember Sanger stated she does not like the woonerf concept, asking why pedestrians should be pushed together with cyclists, especially when we are looking to separate pedestrians and cyclists in all other areas of St. Louis Park. Mr. Locke asked Councilmember Sanger to think of it as a European plaza. Councilmember Sanger added she is concerned about the financing and the dollar amount. It is not clear how there will be sufficient resources to do ongoing maintenance when most of the residents are lower income, and rents can’t really be raised. Councilmember Sanger added she still has questions on who will pay for any roadway changes that will be made in order to accommodate traffic. She asked if it will be assessed back, adding she believes overall costs will need to be factored in. She does not see this addressed in the report. She added she will not support the financing of this development. Mayor Spano stated this project is bold and grand and it hits so many of the things the city is trying to do. He added this project is not low income. It is about what the average teacher makes in St. Louis Park, adding he wished Councilmember Sanger would stop using that phrase. He said that this project provides average people in St. Louis Park with a cool place to live, adding he likes the e-generation. He stated he is on board with the concept, but wants to see more explanation with regard to the TIF request. Councilmember Lindberg asked what the e-generation building will look like on this corner and how it will interplay with the rest of the project. Mr. Velasco stated Allianz is a partner on the project, and it will most certainly be a beautiful trash facility, with the south side linked to a green house. He added it will be striking. Councilmember Lindberg stated this will be great with public engagement and more discussion. Mr. Velasco assured the council all his projects are in the black, and he has not ever had to come back and ask for more resources. The consensus of the council was for the developer to continue to move forward with the project. City Council Meeting of November 21, 2016 (Item No. 3a) Page 8 Title: Study Session Minutes of October 10, 2016 5. Outdoor Recreation Facility Naming and Marketing Ms. Larson, along with two consultants from Nemer Fieger, presented the final two names for the new outdoor recreation facility at The Rec Center campus. The city hired Nemer Fieger in June to develop a name and logo, and city staff and Nemer Fieger hosted two focus groups with 15 stakeholders and community members representing a wide variety of interests in the city. The final options were presented to the Parks and Recreation Advisory Commission on September 7, 2016, for input and recommendations. The recommendation from the commission was to name the facility either the ROC (Recreation Outdoor Center) or the ARCHES (Athletic/Recreation/Community/Health/ Education/Skating). Total fees for research, name and logo development, and file delivery is $23,400, with an additional $3,000 authorized to provide design concepts for both names to aid in making the final decision. Funding will come in part from the city’s Visitor Bureau Administrative Fee Fund, as well as the communication budget. Councilmember Hallfin asked if the Park and Recreation Advisory Commission had a particular recommendation. Ms. Walsh stated they were split and did not have a preference. Councilmember Mavity stated she would be fine with either name, but noted with the ROC, there might be some boulders set at the front of the center. Councilmember Sanger stated ROC is totally bland and suggested another name, Hockeyhenge, similar to Stonehenge. Mayor Spano stated he liked both names, but prefers the ROC. However, he said could live with either name. Councilmember Hallfin said the ARCHES reminded him of the Golden Arches, and has a negative connotation. He said he is leaning toward the ROC. Councilmember Lindberg stated he likes ARCHES more than ROC, stating the branding will be important. After Mayor Spano polled the council, the consensus was to name the facility the ROC. 6. Website Development Update Mr. Pires explained this project had been worked on with the consultant Vision over the last four months to provide redesign, content management services, and hosting of the city website. He also stated search engine improvement continues to be a major aspect of the new site. The launch is scheduled for the first quarter of 2017. Mr. Huber stated the community was surveyed, and the features of greatest importance included plain language; an improved search engine; data drive design; fewer steps to complete tasks; and highlighting services the city provides. Mr. Huber added one main area of concern for citizens is not being able to easily find how to pay utility bills on the website. Mr. Huber demonstrated several pages of the potential new website to the council. He noted there are 1.4 million page views per year on the site, while many people are moving toward mobile use City Council Meeting of November 21, 2016 (Item No. 3a) Page 9 Title: Study Session Minutes of October 10, 2016 vs. laptops and PC’s. The focus groups added they want more illustrations of city’s character; clean clear titles; and meetings and events in one calendar, with tabs for review. Mr. Huber noted the next step will be content review – plain language; menu organization; site map; development of the server; website refinement; overall site testing; beta testing with city staff; and launch of the new website in March, 2017. Mr. Harmening added another step will be to look at the website through the lens of racial equity, noting this will be discussed further in the future. Mayor Spano said the website will need to be utilized by all, not just staff. He noted the pages will need to be set up to be intuitive, with embedded links. Councilmember Sanger stated she liked the focus on making it easier to do tasks, along with making it easier for folks to ask a question or register a complaint. Mr. Huber stated this will be called “report an issue.” Councilmember Sanger added she would like one place to click for all plans; all meeting minutes; and all the meetings that have included discussion of a certain topic, noting this would be very helpful for residents. Additionally, she stated the website needs to show people on the first page how to contact their city council member. Mr. Pires noted that other areas of the website will continue to grow over time. He stated staff will keep the council updated as things progress. With this council input, the overall new web site approach and design were accepted by council. Communications/Meeting Check-In (Verbal) Mr. Harmening stated the St Louis Park girls fast pitch softball association has contacted the city expressing concerns about a perceived lack of equity between the fields and amenities made available to the girls versus what has been made available to boys for baseball. He further stated that staff was proposing a task force be formed made up of representatives of the softball association, the Park and Rec Advisory Commission and the School District to look into this matter further and make recommendations to the Council. Councilmember Hallfin stated the group is looking for a central location for a playing field. Councilmember Miller stated the girl’s fields have been substandard and split up in various locations, which makes it difficult to host a tournament. Councilmember Mavity stated the challenge is that the association is not speaking in one voice. She added they need to formally appoint the representatives who will serve on the task force on its behalf as currently there are too many voices through the association, and it has become chaotic. Councilmember Sanger stated she feels blind-sided on this issue, as she was informed it was under control and now is hearing differently. City Council Meeting of November 21, 2016 (Item No. 3a) Page 10 Title: Study Session Minutes of October 10, 2016 Councilmember Hallfin stated some things were done this past summer including improvements at Pennsylvania Park, but it wasn’t what everyone in the softball association wanted, so now they are back again. Councilmember Miller stated the group just wants four fields together that they can access at any time. Councilmember Hallfin stated that the task force process will take time and that things won’t happen overnight. Councilmember Miller stated it does not seem like it needs to be a long process. Mayor Spano indicated that staff should provide a report for an upcoming study session that provides more background on the task force process proposed by staff. 1. Future Study Session Agenda Planning –October 17 & 24, 2016 – (continued) Councilmember Mavity asked when further discussion would occur on naturally occurring affordable housing. Mr. Harmening stated that at a November study session this topic was tentatively scheduled to be discussed. The meeting adjourned at 10:20 p.m. Written Reports provided and documented for recording purposes only: 7. Shared Services Agreements with City of Golden Valley for Central Park West 8. Partial Plan Review Fee at Application and Electronic Plan Review Program 9. 2017 Fee Schedule 10. Made in MN Solar Project for Fire Station #2 11. Two Wheels on 28th – Event Summary 12. Update on Hotel Phase of Central Park West Redevelopment Contract ______________________________________ ______________________________________ Melissa Kennedy, City Clerk Jake Spano, Mayor Meeting: City Council Meeting Date: November 21, 2016 Minutes: 3b UNOFFICIAL MINUTES CITY COUNCIL STUDY SESSION ST. LOUIS PARK, MINNESOTA OCTOBER 17, 2016 The meeting convened at 6:15 p.m. Councilmembers present: Mayor Jake Spano, Tim Brausen, Steve Hallfin, Gregg Lindberg, Anne Mavity, Thom Miller, and Susan Sanger. Staff present: City Manager (Mr. Harmening), Director of Operations and Recreation (Ms. Walsh), Engineering Director (Ms. Heiser), Deputy City Manager/Human Resources Director (Ms. Deno), Chief Information Officer (Mr. Pires), Chief Financial Officer (Mr. Simon), Facilities Supervisor (Mr. West), Inspections Services Manager (Ms. Boettcher), and Recording Secretary (Ms. Pappas). Guest: None. 1. Review of Proposed 2017 CIP, LRFMP and Utility Rates Mr. Simon presented the report regarding the 2017-2026 Capital Improvement Plan (CIP), Long Range Financial Management Plan (LRFMP) and Utility Rates. Along with Mr. Simon, directors or designees who have a key role in the CIP were in attendance to discuss significant projects being proposed and answer questions of the council. Mr. Simon explained the CIP and LRFMP work in conjunction with the city’s annual budgeting process in helping to determine an appropriate property tax and HRA levy and to assist in maintaining the City’s AAA bond rating. Mr. Simon reviewed the 10 year plan of the various funds, including Cable Television Fund; Police, Police and Fire Pension Funds; Housing Rehabilitation Fund; Development Fund; HRA levy; Permanent Improvement Revolving Fund; Park Improvement Fund; Pavement Management Fund; Sidewalk and Trails Fund; Capital Replacement Fund; and Utility Funds. Ms. Heiser noted the 2017 engineering plan, specifically the $4 million Texas Avenue project. She stated the project involves the reconstruction of the road between Minnetonka Blvd. and Highway 7. The new road will include a segment of bikeway called out in the Connect the Park implementation plan, which will connect to a proposed 28th Street bikeway. Along with this, there is a project to reconstruct the bridge over Minnehaha Creek at 37th Street, for which the city has received federal funding. It will be discussed at a future study session. Ms. Heiser also noted the pavement management project in the Sorenson Neighborhood, including water main replacement and pavement rehabilitation. She stated Utica Avenue is also proposed for reconstruction. There are 2.5 miles of sidewalk proposed as a part of the pavement management in 2017. Additionally, gravel alleys in the Lenox neighborhood will be reconstructed in concrete, and the Gorham parking lot will be reconstructed in this area. Councilmember Mavity asked about the 40th and France parking lot, stating she does not recall this being set in motion. Ms. Walsh pointed out this project is part of the master planning with the City of Edina and is slated for 2017 if planning with Edina begins. She added that at this point it is a place holder, but the council can decide when to begin this project. City Council Meeting of November 21, 2016 (Item No. 3b) Page 2 Title: Special Study Session Minutes of October 17, 2016 Ms. Walsh stated the city is purchasing the top part of the lot, while Edina is purchasing the lower two-thirds of the lot. She added it is at the City of St. Louis Park’s discretion when to begin. It would also include a public process, but the funds are in place. Ms. Walsh noted the community gardening at Shelard Park is another project being considered as a prime opportunity for gardening. Additionally, in 2018 there will be a Browndale project expansion. Councilmember Lindberg stated he would like the city to be more aggressive on community gardens and do more for those who do not have yards. Ms. Walsh stated there will also be updates at various city parks in 2017, including Bass Lake, Nelson Park, Rainbow, Shelard, Splash Pad, Twin Lakes, and Webster. She added that at Webster (Highways 7 and 100) the city will eventually gain additional property when MnDOT turns back a portion of Highway 100 to the city. She noted there will be meetings on this matter. Councilmember Sanger asked if the council can infer from this that in 2017 the city will take ownership of this area from MnDOT. Ms. Heiser stated it will be another two to three years before MnDOT releases the area to the city. In 2018 there will be a landscaping project conducted there, but until that project is completed, there will not be a right-of-way release by MnDOT. Councilmember Sanger asked why the city is spending money there if there is uncertainty the city will eventually own the land. Ms. Walsh stated staff is optimistic the city will eventually own this land; however, MnDOT is not ready to let it go yet. She added it is taking a bit longer than the city had hoped. Councilmember Mavity stated she appreciates the sidewalk on 36½ Street. She asked about sidewalks on Monterey Avenue in 2017 and if there will be anything done there, as the sidewalks in that location are very narrow. Ms. Heiser stated Monterey Avenue is part of the long-range CIP, along with a bikeway planned for 2018. She added that a pavement rehabilitation project, which includes the Beltline area, is also planned for 2018; however, timing will be dependent on the Southwest Light Rail. Mr. Pires discussed the 2017 website launch, noting an in-depth review was provided to the council at the last study session. He noted that the Sorenson Neighborhood, along with Texas and Utica Avenues, will be included in a fiber expansion and clean-up work at the Central Park West area. Additionally, in 2017 the City Council Chambers will be remodeled. Mr. Pires noted that staff has toured other council chambers in the area, and the audio visual in the chamber design will be well- funded for state-of-the-art performance. Mr. Pires indicated that Oak Hill Park is the last major park to need security and locking of restrooms, and it will be completed in 2017. Mr. Pires stated Ms. Boettcher is leading the effort on finding new software for electronic planning development, noting that while the Council Chambers are being remodeled, cameras will also be added to the Community Room. Rutager West stated that with a greater interest in making the Council Chambers more state-of-the-art, the $300,000 budget will need to increase. The bidding process will begin soon. He added that there are also ADA issues to consider, as well as any deficiencies to correct throughout city hall, along with upgrades to air conditioners, the boilers, and the booking counter at the Police Station. He added that MSC Solar Panels will be added and owned by the city versus being leased. City Council Meeting of November 21, 2016 (Item No. 3b) Page 3 Title: Special Study Session Minutes of October 17, 2016 Mr. Simon commented on the Cable TV Fund; Comcast franchise fees and renewal contracts; the Police and Fire Pension Funds; and the Housing Rehabilitation Fund, which funds many programs to maintain the high housing stock in St. Louis Park. Mr. Simon noted the primary funding source for the Development Fund is the 2017 sale of the various EDA properties around the McGarvey property. He added that whether this sale happens in 2017 or 2018, the fund remains healthy, with the internal loan repayments continuing. Mr. Simon added that the HRA levy will include a policy discussion going forward. He noted that he will discuss with the council what this levy should be used for and possible future opportunities in the next budget cycle. Mr. Simon noted the pavement management project is being tracked and monitored closely with the amounts of projects planned over the next few years. Mr. Simon reviewed the Sidewalk and Trails fund, and the primary funding source is G.O. bonds. Bonds will need to be issued in 2017 for the upcoming projects. Mr. Harmening added that because some bridge projects are included, it makes the sidewalk and bikeway projects more costly than if it were just sidewalks. Councilmember Mavity stated that Ward 2 residents are appreciative of the sidewalks. Mr. Simon noted the Capital Replacement Fund has a healthy cash and fund balance through 2026. Councilmember Sanger asked what the $11 million bond is for. Mr. Simon explained it is for Westwood Hills Nature Center improvements. Councilmember Miller asked if the $8 million for water in 2018 is funded and accounted for. Mr. Simon stated that may be funded by bonds or a state grant; however, that is unknown at this time. He added that water, sewer, and storm water are enterprise funds, which have capital assets booked, and if there is a big variation between cash balances and net assets. Mr. Simon also noted with more retirements and separations, more money will be used from the Benefits Administration Fund. He added there will need to be a cash infusion to this fund because of the cycle it is currently in, with higher payouts. Additionally, there have been more tuition reimbursements taken from this fund. Councilmember Mavity asked for an explanation related to the $1.5 million for Bass Lake Preserve and also what the status of this project is. Ms. Heiser stated that staff brought an update for this project to a council study session in June. She explained that the $1.5 million is for the following improvements: Bass Lake Preserve outlet, Carpenter Park regional treatment, and the Park Glen storm water project. Councilmember Mavity asked if the project included boardwalks for the Bass Lake Preserve. Ms. Heiser stated that the Bass Lake Preserve improvements are funded using storm water utility funds, which can only be used for storm water improvements. There is no plan to construct boardwalks; however, there is a plan to rehabilitate the existing trail around the basin Mr. Harmening asked the council to notify staff if there are projects missing from the 2017 plan that council would like to see. City Council Meeting of November 21, 2016 (Item No. 3b) Page 4 Title: Special Study Session Minutes of October 17, 2016 Councilmember Mavity noted the Carpenter Park regional treatment will address about 3% of the capture area, so it is forward progress; however, she thought this was a step in the process, not the whole project. She would like to be sure the council is seeing and acting on further steps related to the Bass Lake Preserve sub-watershed. Ms. Heiser added that as opportunities present themselves in the various infrastructure projects, staff will highlight storm water treatment as part of the council’s approval process. Councilmember Sanger asked about the money for the fire point of contact system and what this refers to. Mr. Harmening stated he will look further into this and report back to the council. Councilmember Mavity noted the Wooddale Bridge widening project. She stated that council has not yet voted on it so including it with a project title sends the wrong message to neighbors. The title should be more general. Mr. Simon reviewed the interactive debt model he has been working on, where projects can be entered and real time debt impacts with detail can be reviewed and drilled down. It will be helpful for staff and council to view specific projects and the financial impact they will have on homeowners. Mr. Harmening added he asked Mr. Simon to layer in assumptions of tax levy adjustments of operations in this model, for general projects and also utility fee increases, so council can view a cumulative impact on homeowners. Councilmember Mavity presented to the council a report from advocate group Minnesota Housing Partnership entitled Sold Out MN Housing. She asked the council to review it. Mayor Spano stated he wants to be sure there will be sufficient funds in the budget for the ongoing race and equity work the council and staff are doing. Ms. Deno stated there will be funds set aside for programming, training, and consultant fees TAB Alternate Representative Councilmember Sanger noted she is a member of TAB and stated the group would like an alternate representative if she is not able to attend a meeting. She stated metro cities appoint representatives, and if any councilmembers are interested, please let her know. She added the meetings are the third Wednesday of each month from 12:30 p.m. – 3 p.m. Councilmember Brausen stated he is interested in being appointed an alternate. The meeting adjourned at 7:27 p.m. ______________________________________ ______________________________________ Melissa Kennedy, City Clerk Jake Spano, Mayor Meeting: City Council Meeting Date: November 21, 2016 Minutes: 3c UNOFFICIAL MINUTES CITY COUNCIL MEETING ST. LOUIS PARK, MINNESOTA OCTOBER 17, 2016 1. Call to Order Mayor Spano called the meeting to order at 7:35 p.m. Councilmembers present: Mayor Jake Spano, Tim Brausen, Steve Hallfin, Gregg Lindberg, Anne Mavity, Thom Miller, and Susan Sanger. Councilmembers absent: None. Staff present: City Manager (Mr. Harmening), City Attorney (Mr. Mattick), Deputy City Manager/Human Resources Director (Ms. Deno), Engineering Director, (Ms. Heiser), Chief Financial Officer (Mr. Simon), Community Development Director (Mr. Locke), Operations & Recreation Director (Ms. Walsh), Senior Engineering Project Manager (Mr. Shamla), Principal Planner (Ms. McMonigal), Transportation Engineer (Mr. Iverson), Assistant Zoning Administrator (Mr. Morrison), Public Works Services Manager (Mr. Merkley), Public Works Superintendent (Mr. Hanson), Finance Supervisor (Mr. Ebensteiner), and Recording Secretary (Ms. Pappas). Guests: Mr. Coyle, Kimley Horn Consultants. 1a. Pledge of Allegiance 1b. Roll Call 2. Presentations 2a. Recognition of Donations Mayor Spano recognized donations. Councilmember Brausen commented on the estate of Alice Trainor, who donated a gift to the city previously for $88,000, and has now donated an additional $2,400 for the Fire Department and for Lamplighter Park. He stated the city is very appreciative of this, and he is sure her family and friends in the neighborhood of Lamplighter Park are smiling and very appreciative of the great neighbor she was. Mayor Spano added Athletic Business has donated up to $2,000 for the Rec Center Manager to attend a convention in Orlando, FL. Also, the Society of Aborioculture donated up to $2,000 for the Natural Resources Coordinator to attend the International Conference in Champaign, IL. 3. Approval of Minutes 3a. City Council Special Study Session Minutes September 6, 2016 City Council Meeting of November 21, 2016 (Item No. 3c) Page 2 Title: City Council Meeting Minutes of October 17, 2016 Councilmember Mavity noted a minor correction related to housing issues. It should read: ...we are trying to provide more options for young families and others to purchase town homes and condos… It was moved by Councilmember Mavity, seconded by Councilmember Brausen, to approve the Special Study Session Meeting Minutes of September 6, 2016, as revised above. The motion passed 7-0. 3b. City Council Minutes September 6, 2016 Councilmember Sanger noted in paragraph 3D, it should read: Ottawa Avenue, not Auto Avenue. It was moved by Councilmember Brausen, seconded by Councilmember Mavity, to approve the City Council Meeting Minutes of September 6, 2016, as revised above. The motion passed 7-0. 3c. City Council Special Study Session Minutes September 19, 2016 It was moved by Councilmember Brausen, seconded by Councilmember Hallfin, to approve the City Council Special Study Session Meeting Minutes of September 19, 2016 as presented. The motion passed 7-0. 3d. City Council Minutes September 19, 2016 Councilmember Sanger noted on page 5, it should read: Mr. Jerry Engber stated there is no public property sidewalk adjacent to his house. It was moved by Councilmember Brausen, seconded by Councilmember Lindberg, to approve the City Council Meeting Minutes of September 19, 2016, as revised above. The motion passed 7-0. 4. Approval of Agenda and Items on Consent Calendar 4a. Authorize the City Manager to execute a Shared Services Agreement with the City of Golden Valley relating to the Central Park West redevelopment. 4b. Adopt Resolution No. 16-116 electing not to waive the statutory tort limits for liability insurance. 4c. Adopt Resolution No. 16-117 approving acceptance of a monetary donation from the International Society of Arboriculture in an amount not to exceed $2,000 for all related expenses for Jim Vaughan, Natural Resources Coordinator, to attend the 2016 International Society of Arboriculture Leadership Workshop in Champaign, Illinois. City Council Meeting of November 21, 2016 (Item No. 3c) Page 3 Title: City Council Meeting Minutes of October 17, 2016 4d. Adopt Resolution No. 16-118 approving acceptance of a monetary donation from Athletic Business in an amount not to exceed $2,000 for all related expenses for Jason Eisold, Rec Center Manager, to attend the Athletic Business Conference in Orlando, Florida. 4e. Adopt Resolution No. 16-119 authorizing the special assessment for the repair of the sewer service line at 2605 Xylon Avenue South, St. Louis Park, MN P.I.D. 07- 117-21-42-0013. 4f. Accept for filing City Disbursement Claims for the period of August 27th through October 7, 2016. 4g. Adopt Resolution No. 16-120 approving acceptance of a monetary donation from the Estate of Alice Trainer in the amount of $1,200 for improvements to Lamplighter Park via the Operations and Recreation Department and $1,200 to the Fire Department for use at their discretion. 4h. Adopt Resolution No. 16-121 setting the 2017 Utility Rates. 4i. Adopt a Resolution No. 16-122 authorizing the execution of a grant agreement with Hennepin County for a Moving the Market grant to be used in the Walker/Lake Street area. 4j. Approve the HealthPartners contract for health insurance for 2017 and 2018. 4k. Adopt Resolution No. 16-123 accepting work and authorizing final payment in the amount of $7,590.43 for Project 4016-3000 Sanitary Sewer Lining with Michels Corporation, City Contract No. 42-16. 4l. Award bid for Concrete Replacement– Project No. 4017-0003. 4m. Approve a Temporary On-Sale Intoxicating Liquor License for Minnesota Cycling Center at Aquila Park, 3110 Xylon Avenue So., for November 5, 2016. 4n. Adopt Resolution No. 16-124 to approve the application for an Environmental Response Fund (ERF) Grant from Hennepin County for the Carpenter Park Regional Stormwater Improvement. 4o. Adopt Resolution No. 16-125 authorizing the special assessment for the repair of the water service line at 2901 Vernon Avenue South, St. Louis Park, MN P.I.D. 31- 029-24-33-0010. 4p. Adopt Resolution No. 16-126 approving the Assignment and Subordination Agreement with ACSLP, LLC (TPI Hospitality) and Johnson Bank relative to the Amended and Restated Contract for Private Redevelopment with Central Park West, LLC. 4q. Adopt Resolution No. 16-127 authorizing the preparation of a feasibility report for the Gorham Parking Lot Reconstruction Project. 4r. Adopt Resolution No. 16-128 calling a public hearing regarding the issuance of revenue bonds for the benefit of Sholom Community Alliance, LLC. 4s. Approve for filing Planning Commission Minutes of August 17, 2016. 4t. Approve for filing Parks & Rec Advisory Commission Minutes of April 20, 2016. It was moved by Councilmember Brausen, seconded by Councilmember Hallfin, to approve the Agenda as presented and items listed on the Consent Calendar; and to waive reading of all resolutions and ordinances. The motion passed 7-0. 5. Boards and Commissions – None City Council Meeting of November 21, 2016 (Item No. 3c) Page 4 Title: City Council Meeting Minutes of October 17, 2016 6. Public Hearings 6a. Hennepin Distilling, LLC dba Copperwing Distillery - On-Sale Cocktail Room and Off-Sale Microdistillery Liquor Licenses Ms. Kennedy presented the staff report regarding an application from Hennepin Distilling, LLC, dba Copperwing Distillery, for an on-sale cocktail room and off-sale microdistillery liquor license for the property at 6409 Cambridge Street. Hennepin Distilling is licensed by the State of Minnesota to produce less than 40,000 proof gallons of alcohol per year. The cocktail room will be 600 square feet in size with seating for 40 guests. Additionally, the applicant plans to open for business in December of 2016. It was noted the city code does not allow a restaurant at a cocktail room, and a microdistillery may be issued a license for the off-sale of distilled spirits. On sale of spirits is not allowed on Sundays as they can only be sold in conjunction with the sale of food. State law currently prohibits off-sale on Sundays. Ms. Kennedy noted the police department conducted a full background investigation, and nothing was discovered during the course of the investigation that would warrant denial of the license. The application and police report are on file in the city clerk’s office. Mayor Spano opened the public hearing. A property owner in the area stated he is supportive of the project. He stated it seems the city is departing from the industrial area in allowing this project, and he would like to understand the city’s vision for this area, as he is confused. Councilmember Mavity stated the plan will be to have a light rail station at Louisiana Avenue that will be available to folks in this industrial area of the city. She noted this will feed Methodist Hospital and other businesses in the area, and this is part of the long-range plan here. Councilmember Mavity added there will be more robust vision and development in this area after the station is added, along with fiber and improvements for pedestrians with walkways. Mayor Spano closed the public hearing. Councilmember Mavity added she is very excited about this project and together with the Warehouse Winery in this area, this will be a forward-thinking place that folks will want to have access to. It was moved by Councilmember Mavity, seconded by Councilmember Brausen, to approve the application from Hennepin Distilling, LLC, dba Copperwing Distillery, for On-Sale Cocktail Room and Off-Sale Microdistillery Liquor Licenses for the premises located at 6409 Cambridge Street, with a license term through March 1, 2017. The motion passed 7-0. 6b. MSA Rehabilitation Project - Texas Avenue - Project No. 4017-1101. Resolution No. 16-129 City Council Meeting of November 21, 2016 (Item No. 3c) Page 5 Title: City Council Meeting Minutes of October 17, 2016 Mr. Shamla gave an update on the project. He noted that in 2017, Texas Avenue between Highway 7 and Minnetonka Boulevard is proposed to be reconstructed. The street is an important north/south route in the city and is designated as a Municipal State Aid (MSA) road, which makes it eligible for state funding (gas tax dollars). In order to qualify for funding, the road needs to be constructed to state aid standards. Given work load demands, the city engaged the consulting firm Kimley Horn to complete the study and design of Texas Avenue. Mr. Shamla explained that additionally, CenterPoint Energy (CPE) will be replacing their 24-inch high-pressure gas main on this segment of Texas Avenue in 2017. After reviewing the condition of the road, staff recommends the city pursue a reconstruction project on Texas Avenue. Coordinating the project with the CPE project will result in cost savings, as well as reduce inconvenience to the property owners and the traveling public. Mr. Shamla explained the scope of the project, which includes street reconstruction; bike lanes; sidewalk reconstruction; streetlight replacement; signal replacement (33rd Street and 36th Street); and miscellaneous utility rehabilitation. Mr. Shamla stated there have been two open houses with neighbors to date, and comments and concerns from the public have been received. Feedback from residents on the proposed design included comments on parking, traffic and bike lanes. Residents have indicated that on-street parking is important to them. Additionally, residents have said they are concerned about speed of traffic on the corridor. Residents have also stated they are concerned about the inclusion of bike lanes in the project scope. Mr. Shamla noted the traffic study showed there were approximately 8,200 vehicles per day on Texas Avenue. This is comparable to Tracy Avenue in Edina, Cleveland Avenue in St. Paul, and Minnehaha Avenue in Minneapolis. Bike traffic on Texas Avenue is approximately 20-50 bikes per day. Councilmember Hallfin asked about the traffic counts conducted and how the counts were determined. Mr. Shamla stated the count was conducted on June 23 at each intersection and the numbers were averaged. Councilmember Lindberg asked staff how this data was tabulated. Mr. Shamla stated they used a video collection method recorded over a 24-hour period and a counting process, which captured car, bike, and pedestrian activity. He added that the data was categorized, and the numbers can be validated at any time. Councilmember Brausen asked about Concept 2 related to use of the public right-of-way, and expanding the road from 42 to 46 feet. Mr. Shamla stated that at 36th Street there would be a bus turning area, and public right-of-way may need to be acquired for this. Mr. Iverson stated the Texas Avenue corridor project was reviewed in 2007, and through the visioning process and the Comprehensive Plan at that time, the community wanted this type of project implemented. Councilmember Sanger commented on safety issues, noting she had received a number of emails from residents concerned about safety if this plan moves forward. She asked for City Council Meeting of November 21, 2016 (Item No. 3c) Page 6 Title: City Council Meeting Minutes of October 17, 2016 comments on this from staff and if adding buffers helps with safety. Mr. Coyle stated that crash data has been reviewed, and the bump outs will lead to slower traffic. This, along with additional design improvements, will improve pedestrian and bike safety. Councilmember Lindberg asked about the impact to residents if curbs would be brought closer to resident’s doors. Mayor Spano opened the public hearing. Marc Berg, 2913 Webster Ave. S., stated he is very enthusiastic about biking and wants to make the most of it with this project. He stated he is the former chair of the city’s Human Rights Commission and also the administrator of the Facebook group Bike and Walk in the Park. He added that he had sent a letter to the council urging them to adopt Concept 2, as it is the best compromise for pedestrians and bikes, noting this is simply paint - not a new bikeway. Mr. Berg stated he was involved in the visioning process for the project, noting there was universal support about the community being more connected. However, he added that when bike lanes are proposed, there tends to be vocal opposition. He pointed out that residents may want to bike from Oak Lawn to Erik’s or to the West End. He asked the council not to only listen to concerns from the residents on Texas and thereby give a small group veto power over a project for the whole city. Mr. Berg added he had heard many objections about safety issues related to backing out of driveways when bikers are present and stated that as a cyclist he watches for cars backing out of driveways, so he is not sure why there is a concern of danger. Mr. Berg stated he would like to see unanimous agreement for Concept 2 and in the future would like to have more intelligent conversations about biking. He added there is a need to change the dynamic on this topic and stated support to apply to be a bike-friendly city. Dave Carlson, 7706 West 23rd St., stated he was involved in the visioning process, also. He saw challenges with traveling north and south, noting there is only Texas Avenue, Virginia Avenue, and Louisiana Avenue that are north/south streets. He added it was evident early on that Texas and Virginia are the best routes for bikes and pedestrians. Additionally, he noted there is an increase in bicyclists in the city, connecting the Middle School, the nature center, Highway 394 and other areas. He urged the council to support Concept 2, which addresses parking and doesn’t seem to impinge on residents. Sarah Maaske, 5911 Oxford St. #9, stated she supports this plan but leaves the decision to the council on which plan is chosen. She stated there are more people biking and more will continue to bike, adding we must connect St. Louis Park. She stated this will be a community-wide asset, and we need to be sure there is equity in all forms of transportation. She urged the council to approve bike lanes on Texas Avenue. George Hagemann, 8242 Westwood Hills Curve, stated he wants to support this proposal. He has no safety and speed concerns, as this project will actually improve safety. He noted he is not concerned about drivers backing out as bike lanes provide a buffer between the driveways and the traffic, noting this will allow drivers to see bikers more easily. Mr. Hagemann added if this is not approved, the project will not be revisited in our lifetime. He stressed to not move the project to Rhode Island Avenue, as there is no good access to City Council Meeting of November 21, 2016 (Item No. 3c) Page 7 Title: City Council Meeting Minutes of October 17, 2016 Highway 7. Mr. Hagemann stated this is a viable concept, and he knows staff will do great job on it. Andrew Willitte, 2541 Rhode Island Ave., stated he supports Concept 2 and added that having bike lanes is moving the city in the right direction. Steve Hahn, 3036 Texas Ave., stated he has been a resident of Texas Avenue for 55 years and is in favor of doing the construction, the lighting, and the boulevards; however, he is absolutely against bike lanes and is concerned about putting a bike lane on a street that has 9,000 cars per day. He suggested the bike path move to Rhode Island Avenue. Mr. Hahn added that the majority of residents on Texas Avenue do not want bikes there. He added if one person were to be killed or injured, none of the studies will matter, as the margin of error for this bike path is too close. He noted texting, drinking, and distracted driving will be a cause for concern. Additionally, the city would be taking two feet of resident’s property, and with the recently installed retaining walls, receiving nothing in return is unacceptable. Mr. Hahn stated it is too much to ask of residents. He added that most of the bikers who support this plan do not live on Texas Avenue, nor do they live in St. Louis Park, and many who support this plan will not be biking there over the long term. He urged the council to look for another street for the bike lane. Bill Glad, 3349 Texas Ave., stated he is not in favor of bike lanes on Texas Avenue. He stated with the right-of-way acquisition, some houses will lose mature trees and retaining walls. He noted it will take years for new trees to grow, and he doesn’t like the proposed idea at all. Tom Racette, 3341 Texas Ave. S., stated he dropped off the original petition to the city and also sent a letter to council members regarding neighbors’ concerns. He found tonight interesting and also the fact that Mr. Harmening said the city wants to do what is right. Mr. Racette stated he has not heard anyone say they want to do what is safe, and he is concerned about hearing one thing and a different thing being done. He believes shrinking traffic lanes to 11 feet creates an accident waiting to happen, noting bike accidents and fatalities are going up. He asked how the council will react if a person is hurt or killed on Texas Avenue. He also is concerned that the consultant only did one day of bike traffic study, and he thinks it needs to be multiple days. Mr. Racette urged the council to reject Concept 2 and to start over on this project. Nicholas Slade, 2316 Westridge Lane, stated he is a regular bike commuter and recently returned from Washington, D.C., where he had spent 5-months bike commuting. He stated that bike lanes increase safety, and he witnessed that in DC. He added that the extra five feet of bike lane allows “breather” space for the biker so as not to ride close to parked cars. With this added caution, there is no worry to bikers about opening parked car doors. Mr. Slade stated if bikers have their own lane, this will help with the safety issue. He added that walking and biking are good for folks to get out and move around. This is an important part of the city’s future economic development. He encouraged the council to support this project. Rachel Callahan, 2315 Westridge Ln., stated she grew up in St. Louis Park and came back to raise her kids here. She has a long-standing commitment to the city, and one of the things that makes her want to stay is Connect the Park. She added that biking and walking can City Council Meeting of November 21, 2016 (Item No. 3c) Page 8 Title: City Council Meeting Minutes of October 17, 2016 help ward off fatalities from heart attack and stroke. She noted her son is 20 years old and puts a lot of miles on his bike. He wants to live in an area where he doesn’t have to have a car. Ms. Callahan stated she would love to keep him in St. Louis Park. She urged the council to support this and the bigger vision of the city as the council is in a position to implement this vision, which will continue to bring in young people. Catherine Perkins, 3046 Texas Ave., stated she would gladly offer her house to the bicyclists. She has lived on Texas since 1995 and is not in favor of bike lanes. She stated her garage is below the house, and she backs into her driveway. She stated that living on Texas Avenue is difficult, noting she sits in her driveway for several minutes to try and drive out. She added that speeding on Texas Avenue is a problem, which is the city’s responsibility. She stated she has concerns about the end of her driveway, right at the bike lane. If there are bike lanes, when winter comes, she wonders how she will blow the snow out of her driveway. Ms. Perkins is also concerned about moving sidewalks closer to her home, adding that traffic on Texas Avenue is horrendous, and pictures sway on her walls in her home because of it. She stated there are emergency runs from police and fire on Texas and lots of other issues, noting she would be devastated if she were to hit a biker. Ms. Perkins pointed out that bikers do not always follow the traffic rules. They run traffic stops and lights. She suggested the council move bike lanes to Rhode Island Avenue or elsewhere. Brian Shekleton, 2657 Toledo Ave. S., noted for the last five years he has worked for Hennepin County and with restriping streets. He stated no one wants to hit a biker. He added that 60% of bikers are casual riders - working class people who don’t wear helmets or lights while biking. He stated that Texas Avenue connects two major areas, and it is not safe for bikers. He disagreed that Texas Avenue is comparable with Minnehaha Avenue in Minneapolis, stating there the bikers are not riding on bike lanes in the street. Ryan Griffin, 4980 West 40th St., stated he fully supports either option as long as the routes can be safer. He noted that data shows people are most likely to get hit in intersections, and each plan addresses that, adding that he cares about both sides of this issue. However, he noted that future generations don’t want to own cars, and the city needs to be designing for 50 years into the future. He stated that Concept 1 is more progressive, but reduces impervious surface and makes the boulevards bigger. He believes the city is subsidizing parking more than what is necessary, which leads to taxes that residents don’t need. Mr. Griffin thanked city staff and the council for bringing forward two options that will move St. Louis Park forward, noting that either option will be acceptable and help build a legacy. Daryll Mackereth, 3324 Sumter Ave. S., stated he is empathetic with the issue of bike lanes and has lived on Sumter Avenue for 27 years, only one block off the section of Texas Avenue under discussion. He stated he has never had a bike accident on Texas Avenue because he never took his family on a bike trip there. He noted that with 8,000 cars on Texas Avenue, a painted line is not protective of bikers with small children or bike trailers, and there are other north/south streets that can be used for biking purposes. He added the risk factor here is very large, and this project needs more evaluation. Mary Kay Racette, 3341 Texas Ave., stated she used to bike and noted that St. Louis Park needs bike lanes, but the council needs to look at alternatives and find safer roads for this project. City Council Meeting of November 21, 2016 (Item No. 3c) Page 9 Title: City Council Meeting Minutes of October 17, 2016 Katie Lucy, 3321 Texas Ave., stated she is not in favor of this project, and her neighbor’s nine-year-old daughter even realizes that bikes lanes on Texas Avenue would be dangerous. She stated she would never think of taking her son biking there and is not in support of this or of land acquisition. Ms. Lucy added what has really shaken her to her core with Concepts 1 and 2 is the thought of a bus stop in her front yard. She does not want a bus stop in her front yard or people sitting on her steps waiting for the bus, adding that there is a large amount of garbage on Texas Avenue already, and residents deserve better. Steve Skewes, 3105 Texas Ave., stated his father bought their home on Texas Avenue in 1962, but this is the first time anyone in his family has ever come to the city council to say they disagree with a project. He asked where the data is that supports doing this project, noting people walk or jog on Texas Avenue but do not bike there. He stated his experience is that people bike on Minnetonka Boulevard. Mr. Skewes disagreed with the Mayor’s idea of “build it and they will come,” adding he wants to see hard data to support this project. Mr. Skewes stated on average there are 23 bikers on Texas Avenue each day in the summer, but noted there are four seasons in Minnesota, and people are not biking in the winter. He thought the traffic study was not valid if it was only done on one day in the summer, and it needs to be conducted multiple days and various times. Mr. Skewes said this is an incredible amount of money to spend for such a small number of bicyclists, and the council should look at other streets for the bike lanes. He added MnDOT has a program to help set up a traffic study. He stated he counted 120 households on Texas Avenue that this project will affect, and he would prefer better data. David Yates, 2001 Virginia Ave., stated he is an avid biker and would love to bike to work. He agreed with the vision and stated that he lives near the northern part of Texas Avenue. Mr. Yates noted he is concerned with overall safety and is still undecided on the project at this point. Mayor Spano stated Mr. Yates can contact city staff for more information on the details of the project. Lydia Buster, 3373 Texas Ave., stated she is also an avid biker and has lived in St. Louis Park for three years. However, she will not bike on Texas Avenue. She will walk her bike there and access the rest of the biking network offered in St. Louis Park. She stated this concept is not the right answer and that she personally would not feel safe biking on Texas Avenue. She added it seems the statistics don’t always reflect reality and urged the council to consider this as well. Jodi Dezale, 3308 Texas Ave., stated that when she bikes, she is always trying not to bike on Texas Avenue. She added she did observe Cleveland Avenue in St. Paul, but there are not nearly as many driveways there. She believes Texas Avenue has too much traffic, and it is a concern getting out of her driveway. Justin Swenson, 3357 Texas Ave., noted he loved to bike in the past. However, after having his three children, two of which are autistic, he has major concerns about living on Texas Avenue. He stated he wants to push for serious thought for safety and speed on Texas Avenue. Mr. Swenson stated the issue is speed, and with police and fire and speeding cars on Texas Avenue, he would not support adding bikes lanes. He encouraged the council to City Council Meeting of November 21, 2016 (Item No. 3c) Page 10 Title: City Council Meeting Minutes of October 17, 2016 look at bump outs and also to take video footage too see how many bikers go through stop signs. Margaret Rog, 2817 Zarthan Ave. S., stated that bike lanes are the future and if the street is not safe, the city should make it safe. She encouraged the council to enforce bikers to use helmets and lights and to make this a campaign. Tony Shedlan, 3020 Texas Ave. S., stated he has lived in St. Louis Park since 1975 and moved here because of the schools. He stated that he travels down 70th Street in Edina on his way to Southdale quite often and only one time has he seen a biker there. He added that the speed limit is 25 miles per hour on 70th Street, which helps in that area. Mr. Shedlan stated that biking is the wave of the future; however, he doesn’t see traffic laws being enforced for bikers. He is in favor of licensing bikers for riding in the streets, but stated they have to take responsibility, also, just as drivers take responsibility. He noted that he likes Concept 2. Carol Solberg, 3326 Texas Ave. S., stated she is not in favor of bike lanes for various reasons. She stated she does approve of Concept Plan 2 and does not like that there will not be parking on full lengths of the street. She stated she and her husband want to stay in their home for as long as possible, and they have elderly folks coming to visit them quite often. Ms. Solberg stated she would opt for parking on both sides of the street and boulevard, making the sidewalk wider, and adding a dedicated bike lane on the sidewalk. She didn’t see any reason to have a five-foot boulevard as trees and grass die with all the salt used during the winter. Steve Nelson, 3415 Texas Ave., stated he is not in favor of Concept 2 and would agree more with putting the bike lanes on the sidewalk. He added that residents maintain the boulevard, even though it is city property. To him, the plan still seems very intrusive. Lynne Broski, 2741 Westridge Ave. S., stated she is not a huge biking advocate, but does bike and enjoys it. However, she will not give up her car. She added it is important to increase the visibility of bikers, especially with many children in the neighborhood riding on weekends. Dimitrios Atsidakos, 3409 Texas Ave., stated he thinks bike lanes are a good idea, but the council needs to think whether Texas Avenue is the best place for them. He stated he bikes on Sumter. He also doesn’t want to lose five feet of his front yard. He asked the council to look at this and see what homes and trees are impacted, adding just because it is legal, it doesn’t make it right. Mr. Atsidakos stated it is difficult to keep the grass salt free, with all the salt during winter. He is very appreciative of the city cleaning the sidewalk. Steve Hahn, 3036 Texas Ave., spoke again stating he is in favor of biking, but in other areas. He noted there are bike trails, the lakes, and other areas for biking. He added that the study conducted on June 23 was in the middle of summer, and 20 bikes were noted that day; however, there are six months of the year during which people don’t bike. Mr. Hahn asked the council why they would take all this property for 25 bikers. Mayor Spano closed the public hearing. City Council Meeting of November 21, 2016 (Item No. 3c) Page 11 Title: City Council Meeting Minutes of October 17, 2016 Councilmember Lindberg thanked the residents for coming and noted this has been a robust process. He stated that this is the most emails he has received from residents since he has been on the council. He said that he will not support the staff recommendation tonight as he must weigh in that Ward 3 residents have been clear that this is not a viable option. Councilmember Lindberg added that his decision is about timing and asked his colleagues to consider this and make sure this is the right project at the right time for the right reasons. Councilmember Brausen stated he appreciated the passion of residents on this issue and thanked them all for being there. He noted there was a similar discussion in his ward, and he will be supporting either of the two options. He knows that not everyone will be happy with the decision, stating he lives just off Texas Avenue and Cedar Lake Road. He has heard it is safer biking since the changes were made in that area. He added that after a short adjustment period, he has not heard any further issues in the area, and the biking community also appreciates the safer route. Councilmember Brausen stated his concern is for street right-of-way and safe movement of people - for walkers and bikers. He agrees with this project - with the 25-50-year impact and the need to make decisions for the majority. Councilmember Brausen added that while there will be some disruption to the status quo, it is important to make the city multi-modal. He added the studies are consistent. People do slow down with bikes lanes on the street, and he will support this. Councilmember Hallfin stated this has been an interesting discussion. He was keeping tally of who lives on Texas Avenue and who does not, and of who supports the project and who does not. He stated that this decision weighs heavily on him and his colleagues. He noted when the council makes a decision, half will be happy and half will not, adding there has been a lot of communication from people both for and against this project. He stated the city does need a north/south bike route, but he does not think Texas Avenue is the place to do it. So he would propose an alternative – that being Rhode Island Avenue. Councilmember Hallfin stated this would be a safe option, and it hits the trail on 28th Street, but the issue would be on the south side getting across Highway 7. However, he added that city staff can figure this out. He stated he empathizes with residents on Texas Avenue and noted there needs to be a different alternative. He thanked the residents for presenting their opinions and stated he and the councilmembers take this issue seriously. Councilmember Sanger thanked everyone for coming and speaking on this issue, adding she is very supportive of the city’s plan. She stated the city needs to improve bike lanes so people can bike safely, and it is important to have bikes lanes included on Texas Avenue. She noted that by narrowing the roadway, cars will slow down, and striping will cue the drivers of vehicles to pay attention. She added that bikers will not weave all over the road but be confined to a space. Councilmember Sanger stated she will support Concept 2 in that there will be parking on both sides. She added that those backing their cars out should be looking to see if bikers are coming, and now there will be a specific striped area that will make it easier for those folks. She stated that Rhode Island Avenue is not workable. For anyone coming from north of Minnetonka Boulevard, the only safe spot to cross is at the light, so folks would still have to go to Texas Avenue to cross. She added it is not practical to move to another street, and with the work that CenterPoint will be doing, the city is under deadlines to move forward. So she will support Concept 2 tonight. City Council Meeting of November 21, 2016 (Item No. 3c) Page 12 Title: City Council Meeting Minutes of October 17, 2016 Councilmember Miller thanked everyone for attending and stated that the trend for the city is to be multi-modal. He added that when he was campaigning last year, he had stated that sidewalks are for neighborhoods and bike lanes are for the entire community. He added a few weeks ago, he was leaning toward the Rhode Island Avenue plans, due to safety concerns. However, he noted that at the previous two meetings he did not hear from the biking community. Tonight, he heard from both sides and noted he will support Concept 2. Councilmember Mavity stated how much she loves the community, and appreciates that residents can have a civil discussion on this issue. She thanked everyone for setting that tone and added that no matter what the council decides tonight, half will not be happy. She added she is in support of Concept Plan 2, adding the city is building a system. In order to do that, there is a need to have all components. Councilmember Mavity stated she agreed with most of what Councilmember Miller said, adding that the sidewalk in front of her house is also not just for her, but for everyone else in the community. The same holds true for bike lanes, which are for the whole community. She added in Ward 2, staff has been extraordinarily responsive to work to accommodate the particular concerns of residents in the area, and staff will work closely to mitigate the issues. She added that in Minneapolis, bikers are required to wear lights after dark, and we should consider that here, also, as we move forward. She added also that with regard to bus stops, she wants to make sure the city is accommodating bus riders and that benches or shelters are added. She added how she bikes to and from work and how much she appreciates bike lanes, as they make bike riding so much safer. She added she is very much in support of this project. Mayor Spano stated he too is very supportive of this plan and acknowledged the many emails he had received from residents and the many emails he replied to. He stated he spent several hours looking at the road, during rush hour today to get a sense of the street. The city is building a system. He added he did hear clearly that taking away the right-of- way is a concern, and while he does understand where Councilmember Hallfin is coming from, he feels pushing the bike lane to Rhode Island will only move concerns to a new street. He stated the design and the traffic calming measures in Concept 2 will help with safety issues and will remind folks who are familiar with this neighborhood to be mindful. He stated he will support Concept 2 tonight. It was moved by Councilmember Mavity, seconded by Councilmember Sanger, to adopt Resolution No. 16-129, accepting the project report, establishing improvement project No. 4017-1101 for the MSA Rehabilitation Project – Texas Avenue, approving preliminary layout Concept 2 and ordering the development of final plans. The motion passed 5-2 (Councilmembers Lindberg and Hallfin opposed) Councilmember Lindberg stated now that this is passed, he does want to be sure the city does the project right. He asked staff what the next steps are so that Ward 3 residents will be aware. Mr. Shamla stated the project will move forward, and staff will come out to meet again with residents and conduct another open house as soon as the design rolls out. After that the project will come before council again, and there will be bids for contractors. He added if there are any issues to please let staff know. Councilmember Lindberg added, for those watching from home, please contact him if needed. City Council Meeting of November 21, 2016 (Item No. 3c) Page 13 Title: City Council Meeting Minutes of October 17, 2016 Councilmember Brausen stated he wanted to reiterate what Councilmember Mavity had said - that he respects the residents who came forward tonight, and that it is a remarkable and positive reflection on how great a community this is. 6c. Consolidated Public Hearing (1) 2017 Budget & Property Owner Service Charges for Special Service District No. 1 and Extension of Special Service District through 2026. Resolution No. 16-130 (2) 2017 Budget & Property Owner Service Charges for Special Service District No. 2. Resolution No. 16-131 (3) 2017 Budget & Property Owner Service Charges for Special Service District No. 3. Resolution No. 16-132 (4) 2017 Budget & Property Owner Service Charges for Special Service District No. 4. Resolution No. 16-133 (5) 2017 Budget & Property Owner Service Charges for Special Service District No. 5. Resolution No. 16-134 (6) 2017 Budget & Property Owner Service Charges for Special Service District No. 6. Resolution No. 16-135 Mr. Merkley explained that the 2017 proposed budgets and service charges are similar to that of past years. Staff has received the required number of signed petitions from property owners supporting the extension of the district through 2026. Staff also has held meetings with property owners from each of the six districts and received their support for approving the 2017 budgets and service charges. Mr. Merkley noted that the areas within each district and the proposed service charge for 2017 is $23,066. Councilmember Mavity stated that in District 4 at Xenwood it seems there is one property that is not included and asked why. Mr. Merkley stated the property is included; however, the graphic showing the districts needs to be updated. Mayor Spano opened the public hearing for Special Service District Nos. 1 through 6. Alberto stated he is the property owner of the gas station at France and Excelsior. He does not understand how the Ellipse pays only $3,800 for the district fees and he pays $2,500 for his much smaller business. He stated this makes no sense, and he believes the fees are pushing people out of business. He stated he owns eight properties in the special service district, and the costs are making it impossible for him to make money. He feels every property should be treated the same, and while he wants the boulevard to look nice, he wonders how the council makes this decision. Mr. Merkley explained the decision is made by the amount of footage and density of the businesses, as well as planters and banners. The more amenities in the area, the more the charges. Mr. Harmening added that state law does not allow the city to apply a charge against each apartment unit at the Ellipse. In this case, the city worked with the property owners many years ago to come up with the fairest formula in order to apply the charges. Property owners decided on the formula, and in two years it will come up again for reauthorization. Until City Council Meeting of November 21, 2016 (Item No. 3c) Page 14 Title: City Council Meeting Minutes of October 17, 2016 that time, it will remain as is until it expires. At that time, it can be brought forward again for discussion and changes. Mayor Spano closed the public hearing for Special Service District Nos. 1 through 6. Councilmember Mavity stated she appreciated the comments and didn’t realize the history in setting up the formula. She stated this process is good for the city and provides an overall aesthetic and welcoming look. She added she is glad that property owners are participating in this process. Councilmember Hallfin asked how change would be made in this process and what would happen if the special service districts were eliminated. Mr. Merkley that stated letters and petitions would be sent to property owners. He noted that he understands the situation, but no one except for the property owner who addressed the council has been negative about the formulas. Mr. Merkley added he has spoken with this particular property owner regarding his concerns in the past, and when the district is up for reauthorization, this can be reviewed with all of the property owners in the districts. Mr. Harmening added the special districts were created in agreements between the property owners and the city and have been a great tool for the city to make ongoing improvements. It was moved by Councilmember Mavity, seconded by Councilmember Sanger, to adopt Resolution No. 16-130 setting the 2017 Budget & Property Owner Service Charge and approve 10-year extension for Special Service District No. 1 and directing staff to certify the annual service charges to Hennepin County; adopt Resolution No. 16- 131 setting the 2017 Budget and Property Owner Service Charge for Special Service District No. 2 and directing staff to certify the annual service charges to Hennepin County; adopt Resolution No. 16-132 setting the 2017 Budget and Property Owner Service Charge for Special Service District No. 3 and directing staff to certify the annual service charges to Hennepin County; adopt Resolution No. 16-133 setting the 2017 Budget and Property Owner Service Charge for Special Service District No. 4 and directing staff to certify the annual service charges to Hennepin County; adopt Resolution No. 16-134 setting the 2017 Budget and Property Owner Service Charge for Special Service District No. 5 and directing staff to certify the annual service charges to Hennepin County; and, adopt Resolution No. 16-135 setting the 2017 Budget and Property Owner Service Charge for Special Service District No. 6 and directing staff to certify the annual service charges to Hennepin County. The motion passed 7-0. 6d. Consider First Reading of 2017 Fee Ordinance Mr. Ebensteiner noted that each year fees are reviewed by departments prior to renewal and as part of the budget process. Some fees must be set and adjusted in accordance with the ordinance, and other fees are allowed to be set administratively. At the October 10, 2016, Study Session, council received a written report that included all proposed citywide fees for 2017. No objections were raised by council at that time. City Council Meeting of November 21, 2016 (Item No. 3c) Page 15 Title: City Council Meeting Minutes of October 17, 2016 Councilmember Brausen stated the fee schedule, as it is today, does not uniformly increase across the board. It is set as fee for service and is not a revenue raising mechanism on the part of the city. Mayor Spano opened the public hearing. No speakers were present. Mayor Spano closed the public hearing. It was moved by Councilmember Brausen, seconded by Councilmember Hallfin, to approve First Reading of an Ordinance Adopting Fees for 2017 and set the Second Reading of Ordinance for November 7, 2016. The motion passed 7-0. 6e. Assessment of Delinquent Charges. Resolution No. 16-136 Mr. Ebensteiner reviewed the report, and noted the city certifies delinquent charges to Hennepin County as a means to collect on these accounts. The certification is done via the special assessment process and becomes a lien on the individual properties that is due over the next year or several years, depending upon the type of charge. Mr. Ebensteiner noted the due date is October 28 for assessment of delinquent charges. Mayor Spano opened the public hearing. No speakers were present. Mayor Spano closed the public hearing. Mayor Spano stated the amounts of fees have gone up, and the trend line appears to be going up. Councilmember Lindberg stated it struck him that delinquent accounts are going up even though the city has made changes. He asked why this is occurring. If this is a conversation that needs to happen, at what point should they change these charges to a monthly payment basis. It was moved by Councilmember Sanger, seconded by Councilmember Mavity, to adopt Resolution No. 16-136 to access delinquent water, sewer, storm water, refuse, abating grass/weed cutting, tree removal/injection, false alarm fees and other miscellaneous charges. The motion passed 7-0. 7. Requests, Petitions, and Communications from the Public – None 8. Resolutions, Ordinances, Motions and Discussion Items 8a. Consultant Contract for Vision Process Ms. McMonigal presented the staff report. She noted that Rebecca Ryan, the vision consultant, presented at last week’s study session. City Council Meeting of November 21, 2016 (Item No. 3c) Page 16 Title: City Council Meeting Minutes of October 17, 2016 Councilmember Mavity stated she is very excited about the consultant and the process. There will be many issues brought forth, and this process will provide folks the opportunity to be heard. She added that she is excited about what is to come, and asked staff about the timeline and completing the process in June rather than in May. There are many larger community activities in June, when feedback can be gathered. Ms. McMonigal stated staff is discussing this and trying to keep on the timeline of the Comprehensive Plan process as well, but noted the time can be adjusted and the engagement process can continue past the consultant’s formal work. Councilmember Lindberg added he is excited for the community to meet the consultant and have an opportunity to engage a diverse audience. He noted he is happy with where the process is going and thanked staff for their work. Councilmember Brausen echoed these sentiments and encouraged community members to engage in the process and come forward. Mayor Spano added the city will ask the community for feedback, and tonight was a perfect example of this with the Texas Avenue project. He noted that this next 10-year vision process will set the table for all of us to develop our Comprehensive Plan and the direction the city wants to take in the future. He added if ever there was a time for community engagement, this is it. It was moved by Councilmember Brausen, seconded by Councilmember Sanger, to approve the contract with Rebecca Ryan of NEXT Generation Consulting, Inc. for services related to the City’s upcoming community visioning process. The motion passed 7-0. 8b. Conditional Use Permit/Variance – Communication Tower, City of St. Louis Park Resolution No. 16-137, Resolution No. 16-138 Mr. Morrison presented the staff report requesting a CUP to allow a communication tower that is 70 feet high, and a variance to allow the communication tower to be 106 feet from the property line instead of the required 140-foot minimum setback. There was a neighborhood meeting conducted on September 6, 2016. The Planning Commission conducted a public hearing on October 5, 2016. A letter was received from a neighbor at 2317 Westridge Lane in opposition of the application. After considering the application and the letter, the Planning Commission recommended approval. Councilmember Sanger stated this is a two-inch wide antenna which adds 10 feet on top of an existing antenna, it will not be lit or disruptive and will serve the purpose for new water meters. She added she supports this. It was moved by Councilmember Hallfin, seconded by Councilmember Sanger, to adopt Resolution No. 16-137 approving the Conditional Use Permit for a 70-foot tall communication tower, with conditions as recommended by staff and to adopt Resolution No. 16-138 approving a 34-foot variance to the required 140-foot setback for the communication tower with conditions as recommended by staff. The motion passed 7-0. City Council Meeting of November 21, 2016 (Item No. 3c) Page 17 Title: City Council Meeting Minutes of October 17, 2016 8c. 1st Reading of Zoning Ordinance Amendment Related to Fences Mr. Morrison presented the staff report regarding the first reading of a zoning ordinance amendment related to fences. Councilmember Lindberg stated he is happy to see this move forward. It was moved by Councilmember Lindberg, seconded by Councilmember Brausen, to approve the First Reading of an Ordinance amending Chapter 36 of the St. Louis Park Code of Ordinances relating to zoning, and set the Second Reading of Ordinance for November 7, 2016. The motion passed 7-0 9. Communications Mr. Harmening noted the Made in MN solar program and final agreements related to install will be discussed at the Oct. 24, 2016 Study Session. It was noted that 65-70 residents recently cleaned up the Westwood Nature Center. 10. Adjournment The meeting adjourned at 11:10 p.m. ______________________________________ ______________________________________ Melissa Kennedy, City Clerk Jake Spano, Mayor Meeting: City Council Meeting Date: November 21, 2016 Minutes: 3d UNOFFICIAL MINUTES SPECIAL CITY COUNCIL MEETING ST. LOUIS PARK, MINNESOTA OCTOBER 24, 2016 1. Call to Order Mayor Spano called the special meeting to order at 6:15 p.m. Councilmembers present: Mayor Jake Spano, Tim Brausen, Steve Hallfin, Gregg Lindberg, Anne Mavity, Thom Miller, and Susan Sanger. Councilmembers absent: None Staff present: City Manager (Mr. Harmening), Environmental & Sustainability Coordinator (Ms. Pinc), Planning and Zoning Supervisor (Mr. Walther), Director of Engineering (Ms. Heiser), Chief Financial Officer (Mr. Simon), Economic Development Coordinator (Mr. Hunt), Planner (Ms. Monson), and Recording Secretary (Ms. Pappas). 1a. Pledge of Allegiance 1b. Roll Call 2. Resolutions, Ordinance, Motions and Discussion Items 2a. Made in MN Solar Project for Fire Station #2. Resolution No. 16-139 Ms. Pinc explained that the city entered into agreements with the help of an energy consulting firm, Apex, and applied for the Made in Minnesota (MIM) Solar Rebate Program. The city was awarded the opportunity to commit to the program requirements. The program allows the city to embark on renewable energy as is required in the Environmentally Preferable Purchasing Policy and as stated in the goals of the city’s Energy Action Plan. The program requires the city to enter into a 10-year lease and power purchase agreement with the developer, Viridi Investments, LLC. Financial incentives from the program for the 10-year agreements include: no initial construction or operating costs to the city; a slight reduction on monthly electric bills; and an annual production financial credit from the program based on the amount of solar electricity generated by the panels the previous year. These incentives offset the cost to the city for the power purchased from the developer, which is at a higher rate than the current utility rate for a 10-year agreement. The system is to be installed and operational by June 1, 2017, and the city attorney has reviewed, modified, and approved the contractual agreements with Apex and Viridi Investments, LLC. Ms. Pinc reiterated there is no up-front cost to the city and, at the end of the 10-year lease, the city is able to retain the whole system at a very low cost. The system could then continue to be used for its remaining life, under a 30-year warranty. An added bonus is that it would reduce annual electric costs. City Council Meeting of November 21, 2016 (Item No. 3d) Page 2 Title: Special City Council Meeting Minutes of October 24, 2016 Mayor Spano asked why the system would not be free to the city at the end of the 10-year agreement. Ms. Pinc stated it is a tax issue with the IRS. Councilmember Miller asked if the process to receive the rebate involved a lottery. Ms. Pinc stated a lottery was involved, adding there are strict requirements. Additionally, she noted there are rebates every year from the state fund for having the system. Councilmember Brausen questioned why the kilowatt hours go up over time, but production decreases over time. Ms. Pinc noted there is a 1% depreciation per year on solar panels. Councilmember Brausen asked if there is 90% functionality on the panels at the end of the 10 years, to which Ms. Pinc answered yes. Councilmember Mavity asked about selling at the end of the 10-year tax credit period. She noted there is no mention of a range of fair market value and asked if this could be better defined. Ms. Pinc stated this is virtually unknown, and a value cannot be put on the panels. Councilmember Mavity asked if we cannot agree on a fair market value, are they required to remove the panels from the roof and, if so, in what time frame. Ms. Pinc stated they would remove the panels or sell them to the city through the agreement. Councilmember Mavity stated she would like clarity on this language in the agreement. Mr. Harmening stated the language in the agreement is acceptable, and other cities have accepted it also; however, if council is not comfortable with the language, he is not sure the project could be completed. Councilmember Sanger asked if this agreement would only be used for the fire station or other buildings, as well. Ms. Pinc stated it is only for the fire station building. It was moved by Councilmember Hallfin, seconded by Councilmember Sanger, to adopt Resolution No. 16-139, authorizing the Mayor and City Manager to enter into agreements with Viridi Investments, LLC. The motion passed 7-0. 3. Adjournment The meeting adjourned at 6:30 p.m. ______________________________________ ______________________________________ Melissa Kennedy, City Clerk Jake Spano, Mayor Meeting: City Council Meeting Date: November 21, 2016 Minutes: 3e UNOFFICIAL MINUTES CITY COUNCIL STUDY SESSION ST. LOUIS PARK, MINNESOTA OCTOBER 24, 2016 The meeting convened at 6:30 p.m. Councilmembers present: Mayor Jake Spano, Tim Brausen, Steve Hallfin, Gregg Lindberg, Anne Mavity, Thom Miller, and Susan Sanger. Staff present: City Manager (Mr. Harmening), Engineering Director (Ms. Heiser), Economic Development Coordinator (Mr. Hunt), Senior Planner (Mr. Walther), Economic Development Specialist (Ms. Grove), Planner (Ms. Monson), and Recording Secretary (Ms. Pappas). Guest: Mr. Ron Mehl, Developer, Bridgewater/Dominium; Don Kasbohm, Developer, 36th Street LLC; Stacie Kvilvang, Ehlers. 1. Future Study Session Agenda Planning – November 7 & 14, 2016 Mr. Harmening presented the proposed Study Session agenda for November 7 and 14, 2016. He noted that Preservation of Naturally Occurring Affordable Housing will be discussed on November 14, as well as a Race and Equity update. Councilmember Lindberg asked if staff would invite the Human Rights Commission members, as well as the Multicultural Advisory Group, to the November 14 meeting. Councilmember Sanger asked if the agenda was too long for the November 14 meeting and if all topics listed needed to be addressed at this meeting. Mr. Harmening stated he appreciated Councilmember Sanger’s comments and found them helpful. He noted there are topics that can be removed and presented at later dates, such as the Council Chambers remodel. However, he would like Chief Luse to present an update on body cameras before he retires at the end of the year. Councilmember Miller asked about adding the plan to put air strippers into the water system to reduce VSCs, as a discussion topic as it relates to the 2017 budget. He asked if the council could use Mr. Simon’s budget tool in order to see how this project could be funded in the 2017 budget. Mayor Spano stated he is okay with this, but having seen how state and federal agencies provide funding, if the council is comfortable with these safety issues, he would like to hold to be sure not to jeopardize the $5 million in funding. Councilmember Sanger stated she shares these concerns. Councilmember Brausen added he would like to leave it alone for now, noting the fix is built into the budget. Councilmember Hallfin stated he is fine having the conversation. City Council Meeting of November 21, 2016 (Item No. 3e) Page 2 Title: Study Session Meeting Minutes of October 24, 2016 Councilmember Lindberg agreed with Mayor Spano, and while he has no problem having the conversation, he also wants to be sure funding is not jeopardized. He added he wants to make sure the conversation is that St. Louis Park water is safe, and plans are being made to make it better, while being careful in how this is communicated. Councilmember Mavity added she is not inclined to bring this up, and that the city water is safe. She added staff has developed the improvements and prioritized this project. Mayor Spano asked Mr. Harmening for a written report, with financial information included, to present to council for review. Councilmember Miller asked about further discussion on the topic of the girls’ softball fields. He noted the group is pulling together a task force to see what is needed. He also asked if this project could be assigned in the budget in the $10,000-$20,000 range, and see if it could be completed in 2018. Councilmember Brausen stated the City Manager has discretion on this, adding he is not convinced there is a need for four fields and would like to see more information on the project before making a decision. Councilmember Mavity agreed there is a need to move forward with this plan; however, there is no clear timeline, and there is a need to be able to communicate a plan to residents. Additionally, she noted that because of differences of opinion between community stakeholders, the task force has been comprised. She would like them to vote on who their representatives are and report back, before moving forward on this. Councilmember Hallfin added he did not think it was necessary to earmark funds, as he assumed discretionary funds would be used. He agreed with Councilmember Mavity that the group needs to report back to staff and council as soon as possible on this issue. Councilmember Sanger added it is important to move forward on this. She added if the city has discretionary funds for this, she is fine with it. She also asked if existing fields can be reconfigured in order to meet the needs of the group. Councilmember Hallfin stated the task force can look further into this question. Mayor Spano agreed that the city has discretionary funds for this and also noted that the girls’ softball association needs to speak in a uniform voice to be able to move forward. Councilmember Mavity added the Parks and Recreation Advisory Commission is leading on this and asked Mr. Harmening for another written report on the topic in order to see a current timeline. 2. Excelsior & Monterey Redevelopment (Bridgewater/Dominium) Mr. Walther introduced the developer, Mr. Ron Mehl with Dominium. Mr. Walther stated that Dominium and Bridgewater Bank have applied for development approvals for the properties at 4424 and 4400 Excelsior Blvd., and 3743 Monterey Drive. He added that Bridgewater is working with Dominium as the developer for the site. The city approved a Comprehensive Plan amendment to guide the property for mixed use, and the city is also processing applications for a preliminary City Council Meeting of November 21, 2016 (Item No. 3e) Page 3 Title: Study Session Meeting Minutes of October 24, 2016 plat, variances, and preliminary planned unit development (PUD). A public hearing was held and the Planning Commission recommended approval of the applications on March 16, 2016. Mr. Walther added that the city council last discussed the proposal in April, 2016, and Dominium has made revisions to the development proposal based on the city council’s discussions. These changes include:  Reduced from 167 to 163 dwelling units  Reduced overall density from 69.9 to 68.2 units per acre  Removed units from the sixth floor on the northeast corner of the building  Changed the access on Monterey Drive across from Park Commons Drive to an entrance only driveway  Added a raised landscape planter in the boulevard of Monterey Drive to discourage pedestrian crossings Mr. Walther noted the development continues to include a substantial affordability component with at least 33 units (20% of the total units) affordable at 50% of the area median income. It continues to include 17,500 square feet of commercial space on the first floor, and Bridgewater Bank would occupy 10,000 square feet of that space. It also continues to include three levels of structured parking and ranges from three to six stories tall. Additionally, the redevelopment would require acquisition of the EDA’s property located at 3743 Monterey Drive. It is the EDA’s practice to sell property at market rate. In order for redevelopment to occur on the assembled site at the proposed scale and density, approximately $4.5 million in TIF is requested. Mr. Mehl noted that previous feedback from the council expressed concerns with the development related to traffic, building density, building height, and outdoor greenspace. Mr. Mehl presented the design showing the proposed building set back from the curb, along with planters and landscaping. He noted that several units were removed, which lowers the building height. The terrace is back farther, and the unit mix will include 20% affordable housing at 50% of area median income (AMI), while the city’s requirement is 10% and 60% of AMI. He presented images of landscaping and a rooftop courtyard and noted that the 14% Designed Outdoor Recreation Area exceeds the city requirements. Councilmember Lindberg asked about the width of the area between the street and planters. The developer stated it varies from 7-9 feet. Councilmember Miller asked if that is the same as the current footprint. The developer stated it will be recessed back a bit from the footprint. Mr. Mehl also noted there is a placeholder for artwork and sculpture at the development along Monterey. Additionally, with the building set back being farther than what currently exists along Monterey Drive, there will be more sidewalk space for pedestrians. Councilmember Mavity noted the large number of residents in attendance at the meeting tonight, and stated they have been paying attention to this project from the beginning. She stated that some of the concerns have been addressed today, but some improvements may not go the distance to satisfy what people are concerned about. Councilmember Mavity stated that something will be developed on the corner of Excelsior and Monterey, and how can the city be sure it is the right fit and right scale compared to other City Council Meeting of November 21, 2016 (Item No. 3e) Page 4 Title: Study Session Meeting Minutes of October 24, 2016 buildings located there. She stated there are concerns about circulation and traffic and how residents will move around, as well as have a safe, more comfortable pedestrian experience. She noted the council would like to see plans related to this corner from staff, also. Councilmember Mavity asked about the bike lanes presented in the design and said she does not understand how they fit into the full plan, especially with the current narrow turn from Excelsior to Monterey. She would like staff to speak to this, also. She noted while the entrance proposed across from Trader Joe’s looks like an improvement, she is not certain entrances and exits can be closed here. Additionally, Councilmember Mavity stated that after Highway 100 is completely reopened, she hopes Ward 2 will receive some relief from the heavy traffic they have had for the past two years. She stated everyone will need to reconsider what normal traffic is in the area. She also noted that the 36½ Street intersection will need to be made safe for pedestrian crossing. Councilmember Mavity stated that density is also a concern. A large group of neighbors believe there is too much density on this corner. Additionally, many think that six stories is too high. She is not certain the developer has listened to these concerns. Councilmember Mavity stressed that the council has discussed the process for St. Louis Park’s vision, and through this process she invited all to participate to include their vision for the Comprehensive Plan. This process will begin soon and extend through June of 2017, and she encouraged all to participate. Mr. Mehl noted they have worked on the entrance and landscaping of the development, and understand the concerns about the scale of the building, but noted the area is zoned for six stories. Mr. Harmening noted one clarification on the pedestrian signal at the crossing from the Rec Center and also the sidewalk from 36½ Street. He stated a meeting will be held related to this area, to address the sharp grade that drops into the parking lot there. Staff realizes this needs to be improved for the multi-family community. Mr. Walther noted the width on Monterey east of the median is 18 feet and is wide enough for a bike lane to be added. He also noted on the west side of Monterey, additional work would need to be done in order to accommodate a southbound bike lane. Councilmember Lindberg asked when a bike lane is scheduled for Monterey Avenue. Ms. Heiser answered 2018. Councilmember Lindberg added to Councilmember Mavity’s point that coordinating the planning and creating active pedestrian crossings need to be part of conversations with residents. He asked if the access through easement on the neighboring property will still be included or if the entrance or exit will be removed. The developer stated it has not been removed, and they are speaking with Park Health on improvements to widen the easement driveway. The developer added that the entrance/exit onto Excelsior would be the same as it is now, and residents would move in and out farther to the north, with parking areas also included for visitors. Councilmember Lindberg noted he has concerns about traffic using the easement because of the emergency vehicles that use that area. City Council Meeting of November 21, 2016 (Item No. 3e) Page 5 Title: Study Session Meeting Minutes of October 24, 2016 Councilmember Brausen stated he is generally supportive of this project. He added that on Excelsior Boulevard and with light rail he does see high density making sense. After seeing the traffic study, the intersection improvements look fine and the bike lanes look like they can work. He is glad they are programmed in, as St. Louis Park is building a system here, which was noted at last week’s meeting with the discussion related to Texas Avenue. Councilmember Brausen added he is, however, not impressed with the building colors and is tired of brown. Councilmember Sanger asked about affordable housing at the development and how long the units will remain affordable. The developer noted they would remain affordable for the same term as the requested amount of TIF, which is 15 years. He added, after that time, they could go for market rate. Mr. Hunt pointed out that in compliance with the Inclusionary Housing Policy, the redevelopment contract would require 25 years of affordable housing, not 15, with the caveat that after 15 years the number of affordable units could be reduced from 20% to 10% of the units. Councilmember Sanger asked when building affordable housing if they are the same finishes and quality as market rate developments. The developer stated, yes, they are exactly the same. Councilmember Sanger noted she is concerned about traffic implications at the site, noting the developer only moved the traffic a bit with the entrance-only driveway, and this does not solve the problem. She also has concerns about density and height. She added she is not as concerned about having five stories, but would rather have a smaller footprint with more green space. Councilmember Sanger added that too many units create too much traffic, noting that on Monterey there will still be a lot of traffic. She is concerned that drivers will want to cross over Monterey from Park Commons to get to the entrance of the development, and this will create three different traffic movements on the street. She is also concerned about adding more traffic to this intersection and Excelsior Boulevard in general and stated she cannot support the plan as it is. Councilmember Mavity agreed on this point, and stated she would like staff to look at this again. Ms. Heiser stated staff would review this again. Councilmember Sanger stated she also does not like the look of the proposed building. Mayor Spano stated he is frustrated hearing this, and council has had this discussion in the past. He added that consensus was that the council is not supposed to deal with design elements as they relate to colors of buildings. Councilmember Miller stated that while he was not on the council when this project was first proposed, the whole area of Excelsior and Grand was meant to be pedestrian friendly, with wide setbacks, similar to the 50th and France area. He stated this is not the case on Excelsior, and he would have appreciated wider setbacks and more pedestrian-friendly sidewalks. He added the development is much too large, dense, and tall for this area. Mayor Spano stated the idea of varying the depth of the pedestrian experience is a valid point. It creates points to stop, gather and chat. He added that he is less concerned about green space because this development sits right next to Wolfe Park. He stated he has been driving in this area to review the turn width, especially during rush hour, and noted the turn creates a different City Council Meeting of November 21, 2016 (Item No. 3e) Page 6 Title: Study Session Meeting Minutes of October 24, 2016 dynamic and accommodating a future bike lane. He added he is not concerned about the height or footprint but had hoped to see the units reduced by 10-15, and is concerned about density. Mayor Spano stated this development is an improvement to the area. The city had more flexibility at the West End, but there is not as much space available on Excelsior Boulevard. Councilmember Lindberg stated when comparing this project to Texas Avenue, he has concerns that the city is stopping short of Minnetonka Boulevard on the Texas Avenue project. There is a need to look further at this in light of the Connect the Park project. Councilmember Lindberg stated it is tough for pedestrians to feel safe on Excelsior, and this project is massive. He added that he would like to see more progress in lowering density. Councilmember Sanger asked if bikers on Monterey will be expected to use Excelsior Boulevard. Mr. Walther stated they will most likely come from the north and south neighborhoods, rather than using Excelsior Boulevard. Councilmember Sanger pointed out to the developer that they may need to have some fresh eyes look at this project in order to meet the concerns being raised. Councilmember Brausen stated he thinks this is a good plan and asked if it is zoned for offices, also. Mr. Walther answered, yes, offices are permitted there. Councilmember Brausen asked what the setbacks would be on an office that is six stories in the same area. Mr. Walther commented the height of the building would influence the setback, but six-story buildings are allowed in the district. Councilmember Mavity noted the council is hearing a lot of consistent themes here, including massing and density, and while neighbors may like the development and walkability of the project, the height is a bit much and traffic is a concern also. She added she is also hearing there is a willingness to consider how the city partners with affordability, but this needs to be reduced to something more manageable, which will take more work from the developer. Councilmember Hallfin reminded the council and residents that the Highways 100 and 7 projects will be completed soon and that this development may be very different related to traffic after the completion of Highways 100 and 7. Councilmember Hallfin added that in a few weeks, it might feel very different driving down Excelsior. Mr. Walther noted the traffic studies for this project controlled for the temporary construction disruptions created from the Highways 100 and 7 projects. Councilmember Miller stated the TIF and density are still a long way off. Councilmember Sanger agreed. 3. Development Concept Plan for “The Elmwood” Ms. Monson gave a brief overview of the project. She noted that 36th Street, LLC, has acquired 5605 W. 36th Street (36th Street Business Center/American Legion) for The Elmwood development, a mixed-use building marketed toward St. Louis Park’s active senior residents. The developer would like to raze the existing American Legion building and construct a 5-story, 70- unit mixed-use active senior apartment building on the one acre site. City Council Meeting of November 21, 2016 (Item No. 3e) Page 7 Title: Study Session Meeting Minutes of October 24, 2016 The developer Mr. Kasbohm was present to answer questions and provide information to the council regarding the redevelopment. Ms. Monson noted staff and the developer are interested in council’s input regarding the amount of commercial on the first floor, parking circulation, and any thoughts on the proposed development. Additionally, the development would require several discretionary approvals from the council, including rezoning to PUD; allowing a PUD less than 2 acres in size; allowing an increase in residential density from 50 units per acre to 70 units per acre; vacation of a city alley; and Tax Increment Financing (TIF). Mr. Kasbohm added that in order for the redevelopment to occur at the proposed scale and density, an application for TIF assistance is pending to defray a portion of the building demolition, site preparation, and structured parking costs. The developer believes that $950,000 may be necessary to make the project financially feasible. A traffic study was completed, and the design would accommodate the City’s plans for on-street parking and bike lanes on 36th Street. Councilmember Mavity stated the project appears to be appropriate in size and use and seems to be well suited for active seniors. She stated it seems a good fit for this area, and she is willing to leave the PUD question to staff. She added that since it is across from light rail, she would prefer to go light on parking, with one per unit vs. one per bedroom. She added that the alley is included in order to ensure the future development of the Burlington site. Ms. Monson noted that there is an existing and proposed retaining wall that separates the Burlington site from the development. A future connection between the two sites could be explored. Councilmember Lindberg asked about the affordability plan for this site and the market rate on average. Mr. Murray stated the units will be $1,600/month. Ms. Monson added that 10% of the units would be affordable at 60% of area median income per the city’s inclusionary housing policy. Councilmember Lindberg stated he likes the idea of senior housing and senior affordable housing but has concerns on the size of the building, how residents interact, and the types of services offered in the facility. He asked if there are dining services and what level of amenities are available with active senior living. Ms. Monson stated along with light commercial office space, there will be an exercise facility, yoga room, party room, club rooms, bike workroom and large Designed Outdoor Recreation Area at grade south of the building, as well as a rooftop deck with a view of downtown. Mr. Walther noted this is independent living with no care services. Councilmember Sanger stated in general she is okay with the idea, stating that it makes sense. She is fine with vacating the alley way and also positive on having a couple units on first floor, especially if they have separate entrances. She added, however, she did not believe the green space was adequate for seniors who may have grandchildren over or who may want to walk dogs. The developer noted the DORA space is 11,000 square feet, which is one-quarter of an acre. Councilmember Sanger stated she is not sure what the advantage is of proposing a PUD here and asked what the long-term plan is for Burlington and the Micro Center site. Mr. Walther stated the redevelopment plan for the area anticipated more commercial and office development on the City Council Meeting of November 21, 2016 (Item No. 3e) Page 8 Title: Study Session Meeting Minutes of October 24, 2016 American Legion site, but during the Comprehensive Planning process, the site was instead guided Mixed Use, which would allow for either office or residential uses over commercial on the first floor. The redevelopment plan expected future office redevelopment at the Burlington site, and the city has subsequently re-guided it to office and rezoned it from C2 to Office zoning. Councilmember Hallfin stated he remembered this rezoning for future development. He stated a PUD usually needs two acres, so why is the council being asked to rezone for a PUD for one acre. Mr. Walther stated because it cannot be developed at the proposed density of 70 units per acre under the current Comprehensive Plan, except with a PUD. Although the site is less than 2 acres, the code allows the Council to waive that requirement. Staff thought the City Council may be open to this smaller PUD because it is generally consistent with the redevelopment plan and Comprehensive Plan designation. The redevelopment plan, however, generally expected the subject property and the Burlington site to be combined and redevelop at the same time. He asked if council is comfortable with development of the American Legion site at this time, not knowing what the future site will hold. Mr. Kasbohm stated he has followed the planning process for the area and listened to the council’s goals for a more affordable senior project, and he tried to incorporate this at the site. He added that One Liberty has purchased the Burlington site, and they have no interest currently in redevelopment at the site; however, they might do some improvements. He added his firm is asking the council for 70 units, adding they need the density in order to keep employees there, including a full-time manager and maintenance workers. He added being a senior project, there will be less traffic. Councilmember Hallfin asked if this project has gone to the Planning Commission. Mr. Walther stated the project had not yet been considered by the Planning Commission. Councilmember Hallfin asked what the height is at the Hoigaard’s development across the street. Mr. Walther answered five stories. Councilmember Hallfin asked if the city ever had a project on a less than one acre PUD. Mr. Walther answered, yes, at the Ellipse II. That site similarly was part of the broader redevelopment plan that included the Ellipse on Excelsior property. Councilmember Brausen stated the PUD makes more sense to him in order to have more control on what happens on the site, adding he views it as a guideline. He stated the density near the light rail makes sense to him, and he would like to see 10 units at affordable rates. He noted he would consider more TIF there and would also consider reducing parking. He asked why street parking is allowed there. Mr. Walther stated it is needed and encouraged to support commercial businesses in the area. Councilmember Brausen added he is fine with the green space, as there will be urban forest on the other side of light rail near this location. He added most people won’t live at this development with the idea of there being a lot of green space. Councilmember Miller asked why this is called senior living, noting that no amenities there are different. Mr. Kasbohm noted the 55+ designation caters to those who are selling their homes, want to travel more, and want to be near the action in the city. Councilmember Miller added this project feels like a one-off, and he doesn’t feel there is a concept plan in this area. He noted this project might be blocking the city from doing something else there, and it will be premium land near light rail. He added he does not feel this offers a lot to the community. City Council Meeting of November 21, 2016 (Item No. 3e) Page 9 Title: Study Session Meeting Minutes of October 24, 2016 Councilmember Lindberg stated he had earlier concerns; however, he does understand the branding and noted the council needs to consider who this development is for and how it fits into the current fabric of our community. He added he shares concerns that owners of Burlington and Microcenter are happy with their current use, noting possibly this senior living project could go in a different area. He added he has thought a great deal about senior affordable housing. Councilmember Lindberg added that people want options in St. Louis Park, but either it’s too expensive or their current house is not affordable. He added he wants to be certain the services will be favorable to seniors and meet their needs. He also noted he has concerns about parking there and wants to be certain the council is not assuming that less is more. Mr. Kasbohm added he has spoken with Ebenezer, Tower Light, Parkshore, and Silvercrest properties, noting these properties are all full, and they are $2,800 for a two bedroom. He noted his development will be more affordable, with nicer amenities. He added that as seniors in this development feel they need more care, they can feed into Parkshore, noting there is a market for active senior living, with plenty of supportive properties close by if needed. Councilmember Sanger asked about the monthly rental rates. Mr. Kasbohm stated rates will be starting at $1,200 for one bedroom, and up to $2,000 for two bedrooms plus den, noting this all includes parking. He also pointed out at least one resident must be 55+ in order to live there. Councilmember Mavity noted that Councilmember Miller stated this project feels like a one-off; however, this redevelopment plan has been in motion since 2003, when the whole area started to be developed. She added this feels like the continuation of that plan and is consistent and part of the larger plan and vision. With regard to Councilmember Sanger’s questions about green space, Councilmember Mavity feels there is enough green space in the area, with the Rec Center and Wolfe Park. Mr. Kasbohm added he will talk to MnDOT about using adjacent right-of-way for gardening or a dog run. Mayor Spano stated he thinks this is entirely consistent with the area and serves a niche with affordable housing for seniors. He anticipates there is no problem with the PUD. Councilmember Hallfin asked if there would be cash in lieu of land dedication for park and recreation on this project. Mr. Walther stated this would be about $100,000 and is based on the number of units. Mr. Harmening stated this discussion will continue at a future study session when the Tax Increment Financing request has been evaluated in more detail. 4. Walker-Lake Street Initiatives Ms. Grove presented the report, noting that over the past year and a half, staff has been working with the businesses, high school, and community members in the Walker-Lake Street area to promote the area businesses and further define the neighborhood’s identity. She noted as an older business center, it has had a wide variety of commercial uses and is now poised to raise its profile to become a more dynamic and identifiable commercial area. She continued, the intent is not necessarily to change the area, but rather to enhance its visibility and viability. She noted a City Council Meeting of November 21, 2016 (Item No. 3e) Page 10 Title: Study Session Meeting Minutes of October 24, 2016 recent event brought several hundred people to the area to enjoy live music and food. The city received positive feedback, and business owners also were very positive about the event. Ms. Grove noted that in October, 2015, the city applied for a Business District Initiative (BDI) grant from Hennepin Country, with the intent of using the funds to make improvements to the Walker-Lake Street commercial area. The city did not receive the grant; however, since that time staff has continued to work with area stakeholders and has searched for additional funding opportunities to enhance the area. This past summer, after more discussion, Hennepin County offered to provide the city a Moving the Market grant in the amount of $35,000. These funds will be used on measures to reactivate the business area, do brand development, and install place making elements that could include signage and benches. Staff is also in discussions with area businesses working to determine the feasibility of developing an organized business partnership/business district. Councilmember Miller commented he thought the event was fantastic and a great area for a street event, with the athletic fields in the background. He asked when a plan for the area would be discussed and when this grant would be provided. Ms. Grove stated this could all be reviewed during the visioning process for the Comprehensive Plan. Mr. Hunt added the project will focus on creating new energy in the area - not redeveloping it, but infusing it with more energy. Councilmember Miller asked if a TIF district might be created there to improve businesses without redevelopment. Mr. Hunt stated a special service district might be implemented, but it would be asking business owners to create a self-imposed tax on themselves for beautification of the area. Mr. Hunt stated the city needs to be respectful of the business owners’ needs. If there is no redevelopment going on there, it would be difficult to create a TIF Councilmember Miller asked if the city would be open to doing a matching grant for the area. Councilmember Sanger said she thinks the plan is fine, but it doesn’t go far enough. She noted that one of the business owners asked for a crosswalk painted on the street to make it easier and safer for students to cross over to businesses. Councilmember Sanger added that some of the buildings could also use paint on their trim and asked if it would be possible to do an incentive program, giving $2,000 to owners to make some improvements to their buildings. Councilmember Mavity added she supports this effort, noting she’d like to see the area made a little edgier with benches, stone, and places to play chess, or other things to energize it in a different way. She prefers doing things that might be cemented into the area, to create an old time feel. She added that with light rail in the area, possibly some glow in the dark trails would work in getting people there. Mr. Harmening stated Walker-Lake Street draws a lot of people for events, and doing work on it would help the businesses there, also. Councilmember Lindberg agreed that this area should be supported. He noted the importance of investing to help these businesses succeed and also to freshen up the area in order to keep it vibrant and lively, yet in a way that maintains the existing character and considers how neighbors use the area. He added this is a perfect way to engage residents, adding that doing similar things in the Texa-Tonka area would also be smart and encouraging. He is not speaking of massive redevelopment there, but encouraging clean-up and enhancements. City Council Meeting of November 21, 2016 (Item No. 3e) Page 11 Title: Study Session Meeting Minutes of October 24, 2016 Councilmember Hallfin stated he is on board with this project and asked if the city pulled permits for the fires on the street during the recent event. Ms. Grove answered yes. Councilmember Brausen stated he agrees with this work and location, and the project should be considered for a future study session. Mayor Spano stated he is supportive of this project, adding that the city will need to be sure the business owners are on board with it, noting it cannot just be the council’s idea. He trusts this will be done through the process, noting there are also residents who live above the business units, and their wishes will need to be considered as well. Staff agreed on this point, and noted they have been speaking with the owners of buildings with residential units. Councilmember Sanger added she would like to make sure staff is consulting with the historical society throughout this project. Staff indicated they have been doing this. 5. Annual TIF District Management Report Mr. Simon and Mr. Hunt presented the annual report, along with Stacie Kvilvang from Ehlers. Ms. Kvilvang discussed the Management Review and Analysis Tax Increment Financing Districts report at a high level. The purpose of the report is to review the status, financial condition, debt management, and future value of the city’s Tax Increment Financing Districts. The report also describes the revenues generated from each TIF district and presents recommendations. Additionally, portions of the report are used by staff throughout the year to provide a quick reference guide when making recommendations to the council or EDA. Ms. Kvilvang presented the 17 TIF districts and explained them to the council. She noted that St. Louis Park has a AAA rating and is pointed to as an example by other communities as a place where great development occurs, making it a sustainable community through tax increment. She noted that the city is currently at an 814% increase in market value over the original market value. Mr. Harmening added that St. Louis Park seems to be very aggressive in their redevelopment, which allows for an increase to the tax base, and the community is better for it. Ms. Kvilvang noted 69% of the obligations are within two districts, the West End and Excelsior and Grand. She stated pooling is recommended in order to support other districts within the city that want to do development projects. Additional recommendations include using TIF in districts with on-going cash balances; returning the fund balance in Victoria Ponds to the county for redistribution to the city, county and school district; and making use of the five-year and six-year rules in order to avoid lost opportunities for new projects within the district boundaries. Along with these items, further discussion should be conducted to determine timing, use and potential increments available for pooling for the interfund loan for Elmwood. Additionally, Ms. Kvilvang explained that excess increment is a new law that impacts the ability to use increment above any outstanding budgeted or actual obligations, and calculations are required each year. She added that based on 2015 TIF reports, no districts show an excess increment issue; however, total budgets should continue to be monitored carefully to avoid excess increment. Ms. Kvilvang noted that the city’s TIF districts are in good financial health. City Council Meeting of November 21, 2016 (Item No. 3e) Page 12 Title: Study Session Meeting Minutes of October 24, 2016 Councilmember Sanger stated this is a good story for the city and should be communicated to all residents, as the public has no idea of how well this is working in St. Louis Park. Councilmember Lindberg asked if council needs to be concerned about numbers sliding up as the City continues to add districts. Ms. Kvilvang stated there is no need for concern as St. Louis Park’s use of TIF has been very strategic. She added that the success of big investments like Excelsior and Grand and the West End have paid off. Councilmember Mavity asked if TIF could be further reviewed at the council’s upcoming retreat. Mr. Hunt noted PLACE will be returning to discuss the TIF in more detail with council. Councilmember Brausen thanked Mr. Kvilvang and Ehlers for all their work on this. Communications/Meeting Check-In (Verbal) Mr. Harmening updated the City Council on the retreat, noting he had sent a summary of discussion ideas to the council for review. He noted there were some themes that emerged, and a sub-committee of the council will be established to prepare for the retreat and components of the meeting. Councilmembers Sanger, Miller, and Brausen volunteered to be this sub-committee. Additionally, it was noted that Mark Johnson’s mother passed away, and a memorial service will be held. Mr. Harmening added that he is wrapping up the process now on the police chief recruitment, and interviews have been completed. He asked for input from the commissions and all block captains, noting this was a very helpful way to gain information. Councilmember Sanger asked if the city had been asked for police assistance for the protests in North Dakota at the Dakota Access pipeline. Mr. Harmening stated no, but he would check on this. The meeting was adjourned at 9:45 p.m. Written Reports provided and documented for recording purposes only: 6. EDA Redevelopment Contract Status Report 7. September 2016 Monthly Financial Report 8. Third Quarter Investment Report (July – September 2016) 9. Update: Future Housing Discussion Topics 10. Task Force Process for Girls’ Fastpitch Softball Field Improvements 11. Metropolitan Airport commission (MAC) Response to City Council Questions 12. Update on Grant Applications Related to the PLACE Redevelopment ______________________________________ ______________________________________ Melissa Kennedy, City Clerk Jake Spano, Mayor Meeting: City Council Meeting Date: November 21, 2016 Consent Agenda Item: 4a EXECUTIVE SUMMARY TITLE: Worker’s Compensation Insurance Renewal RECOMMENDED ACTION: Motion to Adopt Resolution authorizing Worker’s Compensation insurance renewal effective December 1, 2016 and ongoing. POLICY CONSIDERATION: Does Council wish to approve continuing worker’s compensation insurance through the League of MN Cities Insurance Trust (LMCIT) on an ongoing basis? SUMMARY: From 1993 to 2003, the City was self-insured and used Sedgwick Claims Management to administer our claims. Claim administration of the old self-insured claims was transferred to LMCIT in 2014. These funds are included in the 2017 budget. Beginning December 1, 2003, Council approved participation with LMCIT for fully insured Worker’s Compensation coverage. LMCIT has provided us with the following renewal quote for the new contract year: Current Renewal Change 12/1/15 – 11/30/16 12/1/16 – 11/30/17 $465,992 $475,239 +2% The premium is based on estimated payroll and our experience modification factor (review of claims activity) of .67. An experience factor above 1.0 indicates we need to pay more due to previous years of high claim activity. Our 2017 experience modification factor is based on claims from 2012, 2013, and 2014. This shows we had a low number of claims in those years. Worker’s compensation coverage for our elected officials and volunteers is covered in the annual premium noted above. Approval of this resolution will authorize staff to continue to work with LMCIT in subsequent years to secure worker’s compensation coverage for all eligible staff. FINANCIAL OR BUDGET CONSIDERATION: Funds for fully-insured worker’s compensation coverage are included in the 2017 budget and are charged back to departments. Funds for administration of old self-insured claims are also included in the 2017 budget. VISION CONSIDERATION: Not applicable. SUPPORTING DOCUMENTS: Resolution Prepared by: Ali Timpone, HR Coordinator Reviewed by: Nancy Deno, Deputy City Manager/HR Director Approved by: Tom Harmening, City Manager City Council Meeting of November 21, 2016 (Item No. 4a) Page 2 Title: Worker’s Compensation Insurance Renewal RESOLUTION NO. 16-____ RESOLUTION OF THE CITY COUNCIL OF ST. LOUIS PARK, MINNESOTA, APPROVING CONTINUED PARTICIPATION IN THE LEAGUE OF MINNESOTA CITIES INSURANCE TRUST (LMCIT) WORKER’S COMPENSATION PROGRAM WHEREAS, the City Council wishes to adopt Worker’s Compensation coverage and programs to limit liability to the City of St. Louis Park; NOW, THEREFORE BE IT RESOLVED that the City Council of the City of St. Louis Park, Minnesota hereby approves continued coverage with the League of MN Cities Insurance Trust for Worker’s Compensation coverage effective December 1, 2016 and going forward in subsequent years. Reviewed for Administration: Adopted by the City Council November 21, 2016 Tom Harmening, City Manager Jake Spano, Mayor Attest: Melissa Kennedy, City Clerk Meeting: City Council Meeting Date: November 21, 2016 Consent Agenda Item: 4b EXECUTIVE SUMMARY TITLE: Accept Monetary Donation from the American Legion Post 282 RECOMMENDED ACTION: Motion to Adopt Resolution approving acceptance of a monetary donation from the American Legion Post 282 in the amount of $5,000.00 to fund the initial purchase and implementation of the residential Knox Box key vault program. POLICY CONSIDERATION: Does the City Council wish to accept the donation with the restrictions as noted? SUMMARY: When a person calls for help and they are within their homes, many times they are unable to get to the door to let in whatever help has arrived. This program will allow residents to provide a key to their home in a secured lockbox located at the entry point of the home. This eliminates the need for forced entry into the home which can cause significant damage. The Fire Department was approached by Fire Commissioner and American Legion Post 282 member Bill MacMillan about the need to serve our residents better through a quick access key box program, as it would save valuable time in gaining access to the person in need and potentially save a life. The American Legion Post 282 has graciously agreed to donate $5,000.00 to implement this program. Many of the potential users of this program may be veterans. The initial donation of $5,000.00 will cover the cost of 29 units. This program will be administered by the Fire Department and lock boxes will be leased with a one-time fee of $50.00 to cover installation. These residential lock boxes will be installed by a member of the Fire Department and will remain the property of the St. Louis Park Fire Department. Key boxes are to be returned to the Fire Department when no longer needed. Key box holders will be audited every six months to determine if the need to use them still exists. Should the demand for these residential lock boxes increase over the initial donation, we will seek additional funding. FINANCIAL OR BUDGET CONSIDERATION: None VISION CONSIDERATION: St. Louis Park is committed to being a connected and engaged community. SUPPORTING DOCUMENTS: Resolution Prepared by: Sue Rasmussen, Office Assistant Reviewed by: Cary Smith, Assistant Chief/Fire Marshal Steve Koering, Fire Chief Approved by: Tom Harmening, City Manager City Council Meeting of November 21, 2016 (Item No. 4b) Page 2 Title: Accept Monetary Donation from the American Legion Post 282 RESOLUTION NO. 16-____ RESOLUTION APPROVING ACCEPTANCE OF DONATION IN THE AMOUNT OF $5,000.00 FOR THE FIRE DEPARTMENT WHEREAS, The City of St. Louis Park is required by State statute to authorize acceptance of any donations; and WHEREAS, the City Council must also ratify any restrictions placed on the donation by the donor; and WHEREAS, the use of this program will reduce the potential damage and costs of forced entry and improve response times to a person in need; and NOW THEREFORE BE IT RESOLVED, by the City Council of the City of St. Louis Park that the gift is hereby accepted with thanks to the American Legion Post 282 with the understanding that $5,000.00 must be used for program implementation and purchase of residential Knox Box key vaults at the discretion of the Fire Department. Reviewed for Administration Adopted by the City Council November 21, 2016 Tom Harmening, City Manager Jake Spano, Mayor Attest: Melissa Kennedy, City Clerk Meeting: City Council Meeting Date: November 21, 2016 Consent Agenda Item: 4c EXECUTIVE SUMMARY TITLE: 2017 - 2019 Boulevard Tree Pruning Contract RECOMMENDED ACTION: Motion to authorize execution of a contract with S & S Tree and Horticultural Specialists, Inc., as the 2017 - 2019 (3 year contract) Boulevard Tree Pruning contractor in an amount not to exceed $60,000 per year. POLICY CONSIDERATION: Should the city continue with the boulevard tree trimming program for 2017-2019? SUMMARY: Next year, 2017, will be our fifteenth year of city-wide contract rotation boulevard tree pruning. The goal of this contract is to increase the safety, health and function of all boulevard trees by removing low branches, removing deadwood and eliminating future impediments to growth. This contract only covers boulevard trees. S & S Tree and Horticultural Specialists, Inc. has successfully completed 2014 and 2015 boulevard tree pruning contracts for the City of Shorewood and Osseo and the City of St. Louis Park contract in 2009. Parks and city-owned property trees are rotationally pruned by Parks Maintenance staff. S & S Tree & Horticultural Specialists, Inc. presented the lowest responsible quote of $67.50 per hour/per person. The comparison quotes, based upon specifications of “per person” using a four person crew with adequate equipment on a per hour basis, are: S & S Tree and Horticultural Specialists, Inc.…..…...$67.50 per hour/person Ostvig Tree, Inc…………………………………….. $69.00 per hour/person Nature’s Tree/SavaTree, Inc…………………………$72.00 per hour/person Northeast Tree, Inc..…………………………………$82.50 per hour/person Rainbow Treecare……………………………………$84.50 per hour/person Beginning on approximately January 2 and continuing until March 31, 2017 (with same pruning times for 2018 and 2019) this contractual rotational pruning will be performed. In 2017, the contractor will start in the Lake Forest neighborhood, continuing into the Sorenson Neighborhood, and then moving to the Birchwood neighborhood. This rotational pruning keeps our cyclical tree maintenance on a nine year rotation. FINANCIAL OR BUDGET CONSIDERATION: The 2017 proposed budget does include $60,000 in the Natural Resource section of the Operations and Recreation budget for the purpose of contracting out boulevard tree trimming. VISION CONSIDERATION: St. Louis Park is committed to being a leader in environmental stewardship. We will increase environmental consciousness and responsibility in all areas of city business. SUPPORTING DOCUMENTS: None Prepared by: Stacy Voelker, Administrative Secretary Jim Vaughan, Natural Resources Coordinator Reviewed by: Cynthia S. Walsh, Director of Operations & Recreation Approved by: Tom Harmening, City Manager Meeting: City Council Meeting Date: November 21, 2016 Consent Agenda Item: 4d EXECUTIVE SUMMARY TITLE: Resolution Supporting Sela Group’s Submission of a Grant Application RECOMMENDED ACTION: Motion to Adopt Resolution of Support for Sela Group’s submission of a grant application to the Hennepin County Transit Oriented Development (TOD) Program for its Parkway 25 Project. POLICY CONSIDERATION: Does the city council support Sela Group’s application for a TOD grant to facilitate its proposed mixed-use redevelopment at CSAH 25 and Glenhurst Ave? SUMMARY: Sela Group has purchased the Vescio Cucina and Valu Stay Inn properties respectively located at 4001 County Road 25 and 4025 Highway 7. On September 6, 2016 the city council approved Sela’s redevelopment application for a planned unit development for Parkway 25. Parkway 25 is a five-story mixed-use redevelopment consisting of 111 market rate residential rental units, approximately 9,500 square feet of commercial space, and parking located in two surface lots and in an underground ramp. On-site amenities include bike parking and bike repair station, a dog-run, landscaping and active areas over parking, new sidewalks and a corner plaza at the NE corner of the site. Construction is anticipated to begin in March 2017 and be complete by late March 2018. The project is pursuing LEED certification for sustainable, environmental, site design and site selection criteria. To help defray some of the public improvement costs, Sela has applied for a $1,131,684 Hennepin County TOD grant for site amenities; landscaping; streetscaping; lighting; stormwater, a pedestrian plaza, and pedestrian and bike improvements including sidewalks and bike infrastructure. Hennepin County requires a resolution of support from the governing body of the city where the project site is located indicating that the city supports the grant application. Grant awards are typically announced by December/January. The resolution of support is attached. FINANCIAL OR BUDGET CONSIDERATION: This grant program does not require any financial match from the City. Sela Group is the grant applicant, and should funds be awarded, Sela will work directly with Hennepin County to administer the grant. VISION CONSIDERATION: St. Louis Park is committed to providing a well-maintained and diverse housing stock. SUPPORTING DOCUMENTS: Resolution Prepared by: Julie Grove, Economic Development Specialist Reviewed by: Greg Hunt, Economic Development Coordinator Michele Schnitker, Housing Supervisor/Deputy CD Director Approved by: Tom Harmening, City Manager City Council Meeting of November 21, 2016 (Item No. 4d) Page 2 Title: Resolution Supporting Sela Group’s Submission of a Grant Application RESOLUTION NO. 16-___ RESOLUTION OF SUPPORT OF AN APPLICATION FOR A HENNEPIN COUNTY TRANSIT ORIENTED DEVELOPMENT (TOD) GRANT SUBMITTED BY SELA GROUP FOR REDEVELOMENT AT 4001 AND 4025 HIGHWAY 7. WHEREAS, the City of St. Louis Park acknowledges the Hennepin County Board of Commissioners has authorized approximately $2 million in the 2016 budget for transit oriented development (TOD) projects; and WHEREAS, Sela Group submitted an application requesting grant funds from the Hennepin County Transit Oriented Development Program; and WHEREAS, the grant funds will be used for certain Public Improvement Costs associated with the proposed redevelopment project at 4001 and 4025 Highway 7 in the City of St. Louis Park; and WHEREAS, the Hennepin County Transit Oriented Development Program Guidelines require support by the governing body of the City of St. Louis Park for submission of a grant application to the Hennepin County Transit Oriented Development Program; and NOW, THEREFORE, BE IT RESOLVED that the City of St. Louis Park, in accordance with Minnesota Statutes 383B.77, subd. 3., supports the submission of a Transit Oriented Development Program grant application to the Hennepin County Housing and Redevelopment Authority by Sela Group for the proposed development-Parkway 25. Reviewed for Administration: Adopted by the City Council November 21, 2016 Thomas K. Harmening, City Manager Jake Spano, Mayor Attest: Melissa Kennedy, City Clerk Meeting: City Council Meeting Date: November 21, 2016 Consent Agenda Item: 4e EXECUTIVE SUMMARY TITLE: Special Assessment – Water Line Repair at 7606 North Street RECOMMENDED ACTION: Motion to Adopt Resolution authorizing the special assessment for the repair of the water service line at 7606 North Street, St. Louis Park, MN. P.I.D. 20-117-21-21-0060. POLICY CONSIDERATION: The proposed action is consistent with policy previously established by the City Council. SUMMARY: Martha Whipps, owner of the single family residence at 7606 North Street, has requested the City to authorize the repair of the water service line for his/her home and assess the cost against the property in accordance with the City’s special assessment policy. This is a repair that was made between the home and the curb box and is not impacted by the City’s new waterline ownership policy. Homeowners are still responsible for water lines repairs that occur between their home and the curb box located in the right of way. The City requires the repair of service lines to promote the general public health, safety and welfare within the community. The special assessment policy for the repair or replacement of water or sewer service lines for existing homes was adopted by the City Council in 1996. This program was put into place because sometimes property owners face financial hardships when emergency repairs like this are unexpectedly required. Plans and permits for this service line repair work were completed, submitted, and approved by City staff. The property owner hired a contractor and repaired the water service line in compliance with current codes and regulations. Based on the completed work, this repair qualifies for the City’s special assessment program. The property owner has petitioned the City to authorize the water service line repair and special assess the cost of the repair. The total eligible cost of the repair has been determined to be $2,285. FINANCIAL OR BUDGET CONSIDERATION: The City has funds in place to finance the cost of this special assessment. VISION CONSIDERATION: Not applicable. SUPPORTING DOCUMENTS: Resolution Prepared by: Jay Hall, Utility Superintendent Reviewed by: Mark Hanson, Public Works Superintendent Patricia A. Sulander, Accountant Tim Simon, Chief Financial Officer Cynthia S. Walsh, Director of Operations and Recreation Approved by: Tom Harmening, City Manager City Council Meeting of November 21, 2016 (Item No. 4e) Page 2 Title: Special Assessment – Water Line Repair at 7606 North Street RESOLUTION NO. 16-____ RESOLUTION AUTHORIZING THE SPECIAL ASSESSMENT FOR THE REPAIR OF THE WATER SERVICE LINE AT 7606 NORTH STREET, ST. LOUIS PARK, MN P.I.D. 20-117-21-21-0060 WHEREAS, the Property Owner at 7606 North Street, has petitioned the City of St. Louis Park to authorize a special assessment for the repair of the water service line for the single family residence located at 7606 North Street; and WHEREAS, the Property Owner has agreed to waive the right to a public hearing, right of notice and right of appeal pursuant to Minnesota Statute, Chapter 429; and WHEREAS, the City Council of the City of St. Louis Park has received a report from the Utility Superintendent related to the repair of the water service line. NOW, THEREFORE, BE IT RESOLVED by the City Council of the City of St. Louis Park, Minnesota, that: 1. The petition from the Property Owner requesting the approval and special assessment for the water service line repair is hereby accepted. 2. The water service line repair that was done in conformance with the plans and specifications approved by the Public Works Department and Department of Inspections is hereby accepted. 3. The total cost for the repair of the water service line is accepted at $2,285. 4. The Property Owner has agreed to waive the right to a public hearing, notice and appeal from the special assessment; whether provided by Minnesota Statutes, Chapter 429, or by other statutes, or by ordinance, City Charter, the constitution, or common law. 5. The Property Owner has agreed to pay the City for the total cost of the above improvements through a special assessment over a ten (10) year period at the interest rate of 4.00%. 6. The Property Owner has executed an agreement with the City and all other documents necessary to implement the repair of the water service line and the special assessment of all costs associated therewith. Reviewed for Administration: Adopted by the City Council November 21, 2016 Tom Harmening, City Manager Jake Spano, Mayor Attest: Melissa Kennedy, City Clerk Meeting: City Council Meeting Date: November 21, 2016 Public Hearing Agenda Item: 6a EXECUTIVE SUMMARY TITLE: Roitenberg Family Assisted Living Residence Private Activity Revenue Bond Refinancing RECOMMENDED ACTION:  Mayor to open the public hearing for comments and close the public hearing.  Motion to Adopt Resolution Authorizing the Issuance of Revenue Bonds for the Benefit of Sholom Community Alliance, LLC; and Approving the Form of and Authorizing the Execution and Delivery of the Revenue Bonds and Related Documents. POLICY CONSIDERATION:  Does the City Council desire to refinance Roitenberg Family Assisted Living Residence Revenue Bonds, Series 2006 for Sholom Community Alliance, LLC?  The proposed action is consistent with the City’s approved policy. SUMMARY: The City issued prior bonds (Series 2006) to refinance the acquisition, development, construction, and equipping of a seventy-six (76) unit multifamily housing development for the benefit of Sholom Community Alliance (the “Company”), located at 3610 Phillips Parkway. This development is operated as an assisted living and memory care facility for seniors (the “Project”). The Project is owned and operated by the Company and was designed and is used for rental occupancy, primarily by elderly persons. Nursing, medical, personal care, and other health-related assisted living services are available on a twenty-four (24) hour basis to residents of the Project. The Company has proposed to refinance the Project through the redemption and prepayment of the Prior Bonds and is requesting that the City issue its revenue bonds, in one or more series, as taxable or tax-exempt obligations (the “Bonds”), in an estimated aggregate principal amount not to exceed $12,500,000, in order to (i) refinance the Project through the redemption and prepayment of the outstanding Prior Bonds; (ii) fund any required reserves; and (iii) pay costs of issuance of the Bonds. NEXT STEPS: Pending Council approval the bonds will close in the next few weeks. FINANCIAL OR BUDGET CONSIDERATION: Per the City’s private activity revenue bond policy Sholom Community Alliance, LLC will pay an annual administration fee in the amount of 1/8th of 1% (.125%) of the outstanding principal of the bonds. The City has no liability regarding repayment of these bonds. The estimated admin fee remaining to be paid on the 2006 Bonds is just over $200,000, and the refinanced bonds will pay approximately $302,000 in admin fees to the Housing Rehab Fund. VISION CONSIDERATION: Not applicable. SUPPORTING DOCUMENTS: Resolution Prepared by: Tim Simon, Chief Financial Officer Reviewed by: Nancy Deno, Deputy City Manager/HR Director Approved by: Tom Harmening, City Manager City Council Meeting of November 21, 2016 (Item No. 6a) Page 2 Title: Roitenberg Family Assisted Living Residence Private Activity Revenue Bond Refinancing CITY OF ST. LOUIS PARK, MINNESOTA RESOLUTION NO. 16-____ AUTHORIZING THE ISSUANCE OF REVENUE BONDS FOR THE BENEFIT OF SHOLOM COMMUNITY ALLIANCE, LLC; AND APPROVING THE FORM OF AND AUTHORIZING THE EXECUTION AND DELIVERY OF THE REVENUE BONDS AND RELATED DOCUMENTS WHEREAS, the City of St. Louis Park, Minnesota (the “City”) is a home rule charter city and political subdivision duly organized and existing under its Charter and the Constitution and laws of the State of Minnesota; and WHEREAS, Minnesota Statutes, Chapter 462C, as amended (the “Act”), authorizes a municipality to carry out the public purposes described in the Act by providing for the issuance of revenue bonds to provide funds to finance or refinance multifamily housing developments (including nursing and assisted living facilities); and WHEREAS, on August 10, 2006, the City issued its Revenue Refunding Bonds (Roitenberg Family Assisted Living Residence Project), Series 2006 (the “Prior Bonds”), pursuant to the Act, in the original aggregate principal amount of $12,300,000, and loaned the proceeds thereof to Sholom Community Alliance, LLC, a Delaware limited liability company (the “Company”), whose sole member is Sholom Community Alliance, a Minnesota nonprofit corporation (the “Alliance”), for the purpose of refunding the following obligations of the City: (i) the Revenue Bonds (Roitenberg Family Assisted Living Residence Project), Series 2001A (the “Series 2001A Bonds”), issued in the original aggregate principal amount of $10,000,000; (ii) the Revenue Bonds (Roitenberg Family Assisted Living Residence Project), Series 2001B, Extendable Rate Adjustable Securities (EXTRAS) (the “Series 2001B Bonds”), issued in the original aggregate principal amount of $1,800,000; and (iii) the Revenue Bonds (Roitenberg Family Assisted Living Residence Project), Series 2001C, Extendable Rate Adjustable Securities (EXTRAS) (the “Series 2001C Bonds,” and collectively with the Series 2001A Bonds and the Series 2001B Bonds, the “Series 2001 Bonds”), issued in the original aggregate principal amount of $3,200,000; and WHEREAS, the Company applied the proceeds of the Series 2001 Bonds to finance the acquisition, development, construction, and equipping of a seventy-six (76) unit multifamily housing development located at 3610 Phillips Parkway in the City, operated as an assisted living and memory care facility for seniors (the “Project”), which is owned and operated by the Company and was designed and is used for rental occupancy, primarily by elderly persons, with nursing, medical, personal care, and other health-related assisted living services are available on a twenty-four (24) hour basis to residents of the Project; and WHEREAS, the Company has requested that the City issue its revenue bonds, in one or more series, as taxable or tax-exempt obligations (the “Bonds”), in an aggregate principal amount not to exceed $12,500,000, for the purposes of (i) refinancing the Project through the redemption and prepayment of the outstanding Prior Bonds; (ii) funding a debt service reserve fund for the Bonds; and (iii) paying costs of issuance of the Bonds; and City Council Meeting of November 21, 2016 (Item No. 6a) Page 3 Title: Roitenberg Family Assisted Living Residence Private Activity Revenue Bond Refinancing WHEREAS, the Alliance has represented to the City that it is exempt from federal income taxation under Section 501(a) of the Internal Revenue Code of 1986, as amended (the “Code”), as a result of the application of Section 501(c)(3) of the Code; and WHEREAS, Section 147(f) of the Code, and regulations promulgated thereunder, and Section 462C.04 of the Act require that prior to the issuance of the Bonds, the City Council approve the issuance of the Bonds after conducting a public hearing thereon preceded by publication of a notice of public hearing (in the form required by Section 147(f) of the Code and applicable regulations) in a newspaper of general circulation within the City at least fifteen (15) days prior to the public hearing date; and WHEREAS, a notice of public hearing (the “Public Notice”) was published at least fifteen (15) days before the regularly scheduled meeting of the City Council of the City in the Sun-Sailor, the official newspaper of and a newspaper of general circulation in the City, with respect to the required public hearing under Section 147(f) of the Code and the Act; and WHEREAS, on the date hereof, the City Council conducted a duly noticed public hearing at which a reasonable opportunity was provided for interested individuals to express their views, both orally and in writing, on the issuance of the Bonds pursuant to the requirements of Section 147(f) of the Code and the regulations promulgated thereunder; and WHEREAS, the Bonds are to be issued by the City pursuant to the Act and an Indenture of Trust (the “Indenture”) between the City and Wells Fargo Bank, National Association, as trustee (the “Trustee”), and the City will loan the proceeds of the Bonds to the Company pursuant to a Loan Agreement (the “Loan Agreement”) between the City and the Company; and WHEREAS, the principal, premium (if any), and interest on the Bonds (i) shall be payable solely from the revenue pledged therefor; (ii) shall not constitute a debt of the City within the meaning of any constitutional or statutory limitation; (iii) shall not constitute nor give rise to a pecuniary liability of the City or a charge against its general credit or taxing powers; and (iv) shall not constitute a charge, lien, or encumbrance, legal or equitable, upon any property of the City other than the City’s interest in the Loan Agreement; and WHEREAS, the Loan Agreement requires the Company to make payments thereunder in amounts and at times sufficient to pay the principal of, premium (if any), and interest on the Bonds when due, and the loan repayments required to be made by the Company to the City under the terms of the Loan Agreement will be assigned by the City to the Trustee to secure the payment of the principal of, premium (if any), and interest on the Bonds; and WHEREAS, the loan repayments to be made by the Company under the Loan Agreement will be secured by a Mortgage and Security Agreement (the “Mortgage”) by the Company in favor of the City, which the City will assign to the Trustee pursuant to an Assignment of Mortgage (the “Mortgage Assignment”); and NOW, THEREFORE, BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF ST. LOUIS PARK, MINNESOTA, AS FOLLOWS: 1. For the purposes set forth above, there is hereby authorized the issuance, sale, and delivery of the Bonds in the aggregate principal amount not to exceed $12,500,000. The Bonds shall City Council Meeting of November 21, 2016 (Item No. 6a) Page 4 Title: Roitenberg Family Assisted Living Residence Private Activity Revenue Bond Refinancing bear interest, shall be numbered, shall be dated, shall mature, shall be subject to redemption prior to maturity, shall be in such form, and shall have such other terms, details, and provisions as are prescribed in the Indenture, in substantially the form now on file with the City. 2. All of the provisions of the Bonds, when executed as authorized herein, shall be deemed to be a part of this resolution as fully and to the same extent as if incorporated verbatim herein and shall be in full force and effect from the date of execution and delivery thereof. The Bonds shall be substantially in the form on file with the City, which is hereby approved, with such necessary and appropriate variations, omissions, and insertions (including changes to the principal amount of the Bonds, the determination of the interest rates on the Bonds, and changes to the terms of redemption of the Bonds) as the Mayor and the City Manager of the City (the “Mayor” and “City Manager,” respectively), in their discretion, shall determine. The execution of the Bonds with the manual or facsimile signatures of the Mayor and the City Manager and the delivery of the Bonds by the City shall be conclusive evidence of such determination. 3. The Bonds shall be special, limited obligations of the City payable solely from the revenues provided by the Company pursuant to the Loan Agreement and other funds pledged pursuant to the Indenture and shall be issued in an aggregate principal amount not to exceed $12,500,000. The City Council of the City hereby authorizes and directs the Mayor and the City Manager to execute and deliver the Indenture to the Trustee, hereby authorizes and directs the execution of the Bonds in accordance with the terms of the Indenture, and hereby provides that the Indenture shall provide the terms and conditions, covenants, rights, obligations, duties, and agreements of the owners of the Bonds, the City and the Trustee as set forth therein. 4. All of the provisions of the Indenture, when executed as authorized herein, shall be deemed to be a part of this resolution as fully and to the same extent as if incorporated verbatim herein and shall be in full force and effect from the date of execution and delivery thereof. The Indenture shall be substantially in the form on file with the City, which is hereby approved, with such necessary and appropriate variations, omissions, and insertions as do not materially change the substance thereof, or as the Mayor and the City Manager, in their discretion, shall determine, and the execution thereof by the Mayor and the City Manager shall be conclusive evidence of such determination. 5. The Mayor and the City Manager are hereby authorized and directed to execute and deliver the Loan Agreement, the Mortgage, the Assignment of Mortgage, and the Bond Purchase Agreement (the “Bond Purchase Agreement”), between the City, the Company, and Dougherty & Company LLC, as the original purchaser of the Bonds (the “Underwriter”). All of the provisions of the Loan Agreement, the Mortgage, the Assignment of Mortgage, and the Bond Purchase Agreement, when executed and delivered as authorized herein, shall be deemed to be a part of this resolution as fully and to the same extent as if incorporated verbatim herein and shall be in full force and effect from the date of execution and delivery thereof. The Loan Agreement and the Bond Purchase Agreement shall be substantially in the forms on file with the City which are hereby approved, with such omissions and insertions as do not materially change the substance thereof, or as the Mayor and the City Manager, in their discretion, shall determine, and the execution thereof by the Mayor and the City Manager shall be conclusive evidence of such determination. 6. The Bonds shall be revenue obligations of the City the proceeds of which shall be disbursed pursuant to the Indenture and the Loan Agreement, and the principal, premium, if any, and interest on the Bonds shall be payable solely from the proceeds of the Bonds, the revenues derived from the Loan Agreement, the revenues and assets pledged and assigned under the terms of the City Council Meeting of November 21, 2016 (Item No. 6a) Page 5 Title: Roitenberg Family Assisted Living Residence Private Activity Revenue Bond Refinancing Mortgage and the other sources set forth in the Indenture. The Trustee is hereby authorized and directed to accept from the Company any additional instruments, documents, or other security provided by the Company, at its direction, to secure the obligations of the Company under the Loan Agreement and Mortgage or to secure the Bonds. 7. The Trustee is hereby appointed as Paying Agent and Bond Registrar for the Bonds. 8. The Mayor and the City Manager are hereby authorized to execute and deliver, on behalf of the City, such other documents as are necessary or appropriate in connection with the issuance, sale, and delivery of the Bonds, including one or more certificates of the City, an endorsement to the Company’s Tax Certificate, an Information Return for Tax-Exempt Private Activity Bond Issues, IRS Form 8038 (Rev. April 2011), and all other documents and certificates as shall be necessary and appropriate in connection with the issuance, sale, and delivery of the Bonds. The City hereby approves the execution and delivery by the Trustee of the Indenture and all other instruments, certificates, and documents prepared in conjunction with the issuance of the Bonds that require execution by the Trustee. The City hereby authorizes Kennedy & Graven, Chartered, as bond counsel of the City, to prepare, execute, and deliver its approving legal opinion with respect to the Bonds. 9. The City has not participated in the preparation of the Preliminary Official Statement (the “Preliminary Official Statement”) or the Official Statement (the “Official Statement”) relating to the Bonds and has made no independent investigation with respect to the information contained therein, including the appendices thereto, and the City assumes no responsibility for the sufficiency, accuracy, or completeness of such information. Subject to the foregoing, the City hereby consents to the distribution and the use by the Underwriter in connection with the sale of the Bonds of the Preliminary Official Statement and the Official Statement. The Preliminary Official Statement and the Official Statement are the sole materials consented to by the City for use in connection with the offer and sale of the Bonds. The City hereby approves the Continuing Disclosure Agreement (the “Disclosure Agreement”), between the Company and Wells Fargo Bank, National Association, as the dissemination agent (the “Dissemination Agent”), in the form now on file with the City, and hereby authorizes the Dissemination Agent to execute and deliver the Disclosure Agreement. 10. All covenants, stipulations, obligations, and agreements of the City contained herein and in the aforementioned documents shall be deemed to be the covenants, stipulations, obligations, and agreements of the City to the full extent authorized or permitted by law, and all such covenants, stipulations, obligations, and agreements shall be binding upon the City. Except as otherwise provided herein, all rights, powers, and privileges conferred and duties and liabilities imposed upon the City or the City Council by the provisions of this resolution or of the aforementioned documents shall be exercised or performed by the City or by such members of the City Council, or such officers, board, body or agency thereof as may be required or authorized by law to exercise such powers and to perform such duties. No covenant, stipulation, obligation or agreement herein contained or contained in the aforementioned documents shall be deemed to be a covenant, stipulation, obligation or agreement of any member of the City Council of the City, or any officer, agent or employee of the City in that person’s individual capacity, and neither the City Council of the City nor any officer or employee executing the Bonds shall be liable personally on the Bonds or be subject to any personal liability or accountability by reason of the issuance thereof. City Council Meeting of November 21, 2016 (Item No. 6a) Page 6 Title: Roitenberg Family Assisted Living Residence Private Activity Revenue Bond Refinancing No provision, covenant or agreement contained in the aforementioned documents, the Bonds or in any other document relating to the Bonds, and no obligation therein or herein imposed upon the City or the breach thereof, shall constitute or give rise to any pecuniary liability of the City or any charge upon its general credit or taxing powers. In making the agreements, provisions, covenants, and representations set forth in such documents, the City has not obligated itself to pay or remit any funds or revenues, other than funds and revenues derived from the Loan Agreement and the Mortgage, which are to be applied to the payment of the Bonds, as provided therein and in the Indenture. 11. Except as herein otherwise expressly provided, nothing herein or in the aforementioned documents expressed or implied, is intended or shall be construed to confer upon any person or firm or corporation, other than the City or any holder of the Bonds issued under the provisions of this resolution, any right, remedy or claim, legal or equitable, under and by reason of this resolution or any provisions hereof, this resolution, the aforementioned documents and all of their provisions being intended to be and being for the sole and exclusive benefit of the City and any holder from time to time of the Bonds issued under the provisions of this resolution. 12. In case any one or more of the provisions of this resolution, other than the provisions contained in the first sentence of Section 3 hereof, or of the aforementioned documents, or of the Bonds issued hereunder shall for any reason be held to be illegal or invalid, such illegality or invalidity shall not affect any other provision of this resolution, or of the aforementioned documents, or of the Bonds, but this resolution, the aforementioned documents, and the Bonds shall be construed and endorsed as if such illegal or invalid provisions had not been contained therein. 13. The Bonds, when executed and delivered, shall contain a recital that they are issued pursuant to the Act, and such recital shall be conclusive evidence of the validity of the Bonds and the regularity of the issuance thereof, and that all acts, conditions, and things required by the laws of the State of Minnesota relating to the adoption of this resolution, to the issuance of the Bonds, and to the execution of the aforementioned documents to happen, exist and be performed precedent to the execution of the aforementioned documents have happened, exist and have been performed as so required by law. 14. The officers of the City, bond counsel, other attorneys, engineers, and other agents or employees of the City are hereby authorized to do all acts and things required of them by or in connection with this resolution, the aforementioned documents, and the Bonds for the full, punctual, and complete performance of all the terms, covenants, and agreements contained in the Bonds, the aforementioned documents and this resolution. In the event that for any reason the Mayor is unable to carry out the execution of any of the documents or other acts provided herein, any other member of the City Council of the City shall be authorized to act in his capacity and undertake such execution or acts on behalf of the City with full force and effect, which execution or acts shall be valid and binding on the City. If for any reason the City Manager is unable to execute and deliver the documents referred to in this resolution, such documents may be executed by a member of the City Council, with the same force and effect as if such documents were executed and delivered by the City Manager. 15. The City understands that the Company will pay directly to the City any and all costs paid or incurred by the City in connection with the transactions authorized herein, whether or not the Bonds are issued. The City further understands that the Company will pay to the City its administrative fee for the issuance of conduit debt. 16. This resolution shall be in full force and effect from and after its passage. City Council Meeting of November 21, 2016 (Item No. 6a) Page 7 Title: Roitenberg Family Assisted Living Residence Private Activity Revenue Bond Refinancing Reviewed for Administration: Adopted by the City Council November 21, 2016 Thomas K. Harmening, City Manager Jake Spano, Mayor Attest: Melissa Kennedy, City Clerk