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HomeMy WebLinkAbout2003/03/10 - ADMIN - Minutes - City Council - Study Session DF ffIST.I CTY LOUIS OFFICIAL MINUTES RK CITY COUNCIL STUDY SESSION Minutes of March 10, 2003 The meeting convened at 7 00 p m. Present at the meeting were Councilmembers Jim Bnmeyer, Chris Nelson, Paul Omodt, Sue Santa, Sally Velick, and Mayor Pro-tem Susan Sanger. Staff present Deputy City Manager(Mr. Pires), Director of Community Development (Mr Harmening), Economic Development Coordinator(Mr. Hunt), Director of Inspections (Mr. Hoffman), Inspections Supervisor (Ms. Boettcher), and City Clerk (Ms. Reichert). 1. Smoking Task Force Update Mr. Jim Rhodes, Smoking Task Force Chair, gave an update to Council on the progress of the task force He stated that the task force looked at health effects of tobacco smoke, ventilation systems, the limitations of purification systems, Building Code requirements, effects on businesses, other communities' efforts, and testing equipment & procedures. The task force recommended development of a public disclosure program as well as testing for relative levels of tobacco smoke in restaurants, and development of an incentive program to assist businesses in reducing tobacco levels Mr Hoffman stated that funding would be needed to initiate the program. Councilmember Nelson inquired if MPAT could provide funding. Dr. Hanson, Smoking Task Force member, replied that he was supportive of the proposal and funding from MPAT could very well be a possibility Councilmember Sanger was concerned that creating incentives for establishments to become smoke free would not result in a total ban on smoking. Councilmember Nelson replied that peer pressure and public awareness are incentives as well. Councilmember Velick asked for the opinions of the establishment owners. Mr. Phil Weber, Smoking Task Force member, replied that restrictions would have a definite impact on business and added that many patrons to his establishment go there to smoke. He stated that even though the trend is toward non-smoking establishments, most of his workers choose to work there because they smoke themselves The Council consensus was that the task force did a good job on how they approached the issue. Councilmember Sanger stated that they need to inform the public about the task force report as well as develop an organized effort to obtain information from the public on the issue. Councilmember Brimeyer would like to see that effort realized. Councilmember Nelson suggested that they accept the report and bring forth an ordinance. He added that public meetings should be held in conjunction with the ordinance process Councilmember Sanger stated that she did not want to have a response similar to those in other cities that have gone smoke-free Councilmember Bnmeyer felt a major difference is that St. Louis Park involved the community and developed a task force which had achieved consensus from members with widely differing perspectives Study Session Minutes -2- March 10, 2003 Mr Fires suggested holding forums to inform the public then proceeding with an ordinance. Councilmember Nelson felt that the work of the task force could be compromised if the information process is not handled correctly. Dr. Hanson felt that there is too much controversy when trying to adopt a broad ban ordinance and that the process that the task force developed was innovative and constructive Council concluded that the task force process has ended and thanked them for their good work. Councilmember Sanger asked the members of the task force to continue participating in the public education process. Mr Hoffman stated that staff would put together a summary and move forward with the process. 2. Belt Line Industrial Park, Inc. Tax Increment Application John and Charlie McCain were present at the meeting. Mr Hunt reported that the proposal would demolish the original building and construct a two- story building as well as a one-story building on the vacant, western edge of the property. The proposed names of the buildings would be Wolfe Lake Professional Center and Wolfe Lake Professional Center West. He added that the land use has already been changed-to commercial and both a Preliminary Plat and PUD have been approved. Staff had concerns that the proposed twenty-five year term could establish a precedent that does not follow the EDA's preferred repayment schedule Councilmember Bnmeyer inquired if the soils were contaminated or of poor quality. Mr. Harmening replied that the soil was soft. He added that the proposal did not originally address TIF, but now the applicant is asking for TIF due to the soil condition. Councilmember Nelson was concerned about the size of the gap in funding and the fact that the soil is bad, not contaminated. Councilmember Bnmeyer stated that he would support TIF only for improving the soil condition and demolition of the existing building. Mr Harmening stated that Council needs to make a policy decision of whether to move forward with the proposal Councilmember Nelson inquired about the future plans for the Post Office. Mr. McCain replied that they are in the process of negotiating with the Post Office for retail and distribution. He stated that they are also working with the other tenants. Councilmember Santa felt that a twenty-five year payback period was too long and would like to see a ten to fifteen year period. She also would like to see the number of jobs that this redevelopment would create Councilmember Velick inquired if staff would have the resources to handle this project. Mr. Harmening replied that a lot of work has already been accomplished and he believed that staff could handle it Councilmember Nelson inquired how the negotiations with the others tenants are going. Mr. McCain replied that it is difficult to get feedback without development approvals. Study Session Minutes -3- March 10, 2003 Councilmember Sanger asked if the density levels could be raised. Mr. McCain replied that the floodplain is an issue and the density is as high as they can get it. Councilmember Sanger inquired about the public purpose this project would serve Mr. Harmening responded that the public purposes were very clear, it would redevelop an underutilized site, help to correct traffic issues, increase the value of properties significantly, increase the density in the area and is also consistent with the Comprehensive Plan. Mr Harmening wants to make sure that the interest rate in the feasibility study was realistic to ensure that the financial outlook was accurate. Council would like more information and for staff to verify the need to approve tax increment financing to see redevelopment in this area. Councilmember Sanger inquired if this project would redirect resources from the Texa-Tonka efforts Mr. Harmening replied that it would not. He stated that staff would bring this issue back to Council in 60 days. 3. Northeast Corner of Louisiana Ave S and Walker St Mr. Hunt reported that the previous business that showed interest in the site has moved to another site within the city Anderson Builders is now interested in entering into a preliminary development agreement to research the feasibility of constructing a fourteen to fifteen thousand square foot office building in which it would move some of its offices as well as rent out a portion to another tenant. He recommended moving forward with the process. Council was concerned about parking for the Park Tavern establishment as the site in question has been leased to them on a month to month basis for that purpose. Mr. Hunt responded that he believed a solution could be found 4. Business Subsidy Policy Staff reported that the Business Subsidy Policy needs to be changed due to amendments made to the business subsidies law by the State Legislature Councilmember Nelson would like to see a preamble added to the document stating the policy. Council inquired if a payback option could be considered criteria for granting a business subsidy. Councilmember Santa felt the policy needed a feasibility requirement. Councilmember Sanger felt that the proposed requirement stating that any business granted a business subsidy pay their employees at least 110% of the Federal minimum wage was too low a number. Mr Harmening stated that keeping that figure low would help developers meet the cnteria. Mr. Hunt suggested adding a statement to the policy indicating preference for higher wage jobs, Staff would be back with changes and would set the public hearing for April 7, 2003. 5. Hennepin County Environmental Response Fund Grant Agreement Mr Hunt reported to Council that the grant has been approved by Hennepin County and recommended that the grant be approved by Council on March 17th so that work on Phase I of the clean-up could begin Council directed staff to move forward with the process. Study Session Minutes -4- March 10, 2003 6. Communications Mr. Brimeyer inquired about general obligation bonds and if more projects should be considered, such as storm sewer and the pavement management program. Staff replied that the timing is difficult now and the Legislature is considering limiting general obligation bonds to those projects that are currently under contract or that have already been approved. Councilmember Santa informed Council that she had received a request for reallocation of CDBG funds. In light of current state budget issues and cuts to programs, it may be wise for council to revisit their policies about contnbutions to social services organizations. Staff was directed to place the issue on an agenda for future discussion. 7. Adjournment The meeting was adjourned at 9.55 p.m. L , , _ Ci Clerk Mayor F"