HomeMy WebLinkAbout2008/07/14 - ADMIN - Minutes - City Council - Study Session IffSt. Louis Park OFFICIAL MINUTES
MINNESOTA CITY COUNCIL STUDY SESSION
JULY 14, 2008
The meeting convened at 6:45 p.m.
Councilmembers present: Mayor Jeff Jacobs, John Basill, C. Paul Carver, Phil Finkelstein, Paul
Omodt, and Loran Paprocki.
Council members absent: Susan Sanger
Staff present: City Manager (Mr. Harmening), Director of Inspections (Mr. Hoffman),
Community Development Director (Mr. Locke), City Attorney (Mr. Scott), Fire Chief (Mr.
Stemmer), and Recording Secretary (Ms. Larrea).
Guest: Scott Bader, President of Bader Development, LLC. and principal of Steven Scott
Management Company; and Dean Dovolis, Principal and CEO of DJR Architecture.
1. Future Study Session Agenda Planning—July 21 and July 28, 2008
Mr. Harmening presented the staff report for the upcoming study session on July 21, 2008 and July
28, 2008. He noted that there may be a Special Study Session on July 21, 2008 to discuss the TIF
report and the Vision Strategic Directions Update. The three focus areas will be: remodeling,
property maintenance, and affordable home ownership.
On July 28, 2008, the Council will be participating in a Critical Incident Preparedness Drill.
2. Preliminary TIF Application for the Redevelopment of the Northwest Corner of
Excelsior Boulevard and France Avenue (Al's Liquors and Anderson Cleaners Sites)
Mr. Hunt presented the staff report regarding Bader Development, LLC's request for $900,000 in
TIF assistance to facilitate an $18 million mixed use redevelopment project at the Northwest corner
of Excelsior Boulevard and France Avenue. The purpose of a Preliminary TIF Application is to
allow a developer to present a proposal to the EDA/Council in the initial stages of a project to
determine if it merits consideration for TIF financing.
Mr. Hunt advised that Bader Development, LLC, has obtained options to purchase 2.23 acres at the
northwest corner of Excelsior Boulevard and France Avenue with the intention of redeveloping the
site. The subject site consists of nine parcels; eight of which are owned by Al's Liquor and one of
which is owned by Excelsior Boulevard LLC (Anderson Cleaners). The proposed redevelopment site
does not incorporate the former American Inn property. The site would have underground heated
parking to accommodate the residents. The developer is also open to including some green elements
in the construction of the site, such as a green roof, if additional TIF assistance is provided. The
proposed project conforms to the City's Comprehensive Plan and is consistent with the majority of
the standards listed in the France Avenue and Excelsior Boulevard Development Guidelines. Mr.
Hunt noted that Bader Development LLC's Preliminary TIF Application was evaluated according to
the City's TIF Policy and according to the scale within the Policy the proposed project received a
final grade of"B" or "very good".
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Mr. Hunt continued that it would take approximately 8 years to pay off the proposed TIF Note and
that a new redevelopment district would need to be created. If the EDA was interested in pursuing
the proposed project further, staff would negotiate business terms with the developer which would
then be brought back to the EDA for its review.
It was also noted that a meeting with the surrounding neighborhoods was scheduled for July 22,
2008.
Mr. Scott Bader introduced himself as principal of Bader Development and Steven Scott
Management Company. Both firms have been based in St. Louis Park for many years. He noted
that his company has completed numerous other apartment projects in the past and several recently.
He noted that he is aware that there is a history of attempted redevelopment at the proposed site.
He believes that he would be able to complete the project. He currently has both Al's Liquors and
Anderson Cleaners sites under contact and does not foresee any issues.
Councilmember Basill asked why Mr. Bader thought that this was a good time to develop that area.
Mr. Bader responded that the location is unbeatable. He also noted that the rental market is good
right now and is softened by people that should be renting or returning to renting. He thinks that
there is a market for renters in that area.
Mr. Bader continued that the price for the condos will be $1.50 to $1.60 per square foot. There will
be approximately 60% 1 bedroom condos and 40% two bedrooms condos.
Dean Dovolis, Principal, DJR Architecture, presented the proposed site and building plans. They
are proposing a contemporary residential building with commercial space and a public plaza. There
would be white limestone on the exterior and possibly a green roof. This would also include a roof
top sun deck where residents would be able to gather and view the Minneapolis skyline. They plan
to construct a mixed use building featuring approximately 136 luxury apartments and ground floor
retail. The proposed structure would have five stories with one level of underground heated parking.
It would consist of approximately 175,000 square feet; the majority of which would be residential
and approximately 15,000 square feet of which would be commercial. Potential commercial uses
would likely include a mix of neighborhood-oriented service and retail businesses. Also included on
the redevelopment site is a public gathering area overlooking the Excelsior Boulevard/France Avenue
intersection. The main entrance to the site would be off Excelsior Boulevard. The key is to have
bike parking, moped parking, the parking that will work under the building.
Mr. Dovolis continued that they plan to have row style townhomes in one section that would have
access to the street. They are currently proposing 5% studios, 44% one bedroom/one bath units,
21% one bedroom/ 1.5 bath units, and 30% two bedroom/ two bathroom units. The rowhomes
would maintain an active front along Excelsior Boulevard. He believes that the building will have a
lot of character.
Mayor Jacobs questioned where deliveries would take place. Mr. Dovolis responded that they would
take place on the back side of the building and he would not like them parking on Excelsior
Boulevard.
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Major Jacobs asked if there will be some kind of buffering for the noise from the deliveries. Mr.
Dovolis responded that there will be dense landscaping and fencing. He also noted that the TIF
aspect would increase the green interest; it takes a lot of cash upfront to create green roof. He hopes
that they can make this site more of a demonstration project. The plan would be to complete the
project by the spring of 2010. The total development project is thought to cost around $30 million.
Councilmember Paprocki noted that the buffer is going to be very important to the surrounding
neighborhood. He thinks that thought needs to be given to how it is going to look in the
neighborhood around all sides of the site, not just off Excelsior Blvd. He also questioned what the
plan would be if the motel decided to sell one day and if they have included this in their plan.
Mr. Bader responded that there is a plan in place if the motel did decide to sell. They are thinking
that they might develop the site with office space above and retail space below. It would be a
commercial residential mixed development. They have not "crunched" any numbers on this type of
project. The motel is still in discussion about selling. Councilmember Finkelstein believed that his
project was a rational one and that the City would be interested if they could include the hotel as
part of it.
Councilmember Omodt proposed to give the staff the go ahead to move forward on the project.
He said that he likes the look of the project and how a green roof would soften the look of the
building. He also noted that the Council was aware prior to this proposal that any building in this
location would require some TIF. He thinks that the value of the land there is now a more fair value
and he would like to move ahead and see where this project leads.
Major Jacobs agreed. Councilmember Finkelstein agreed, but questioned if there will be issues with
the soil in that area because of the dry cleaners.
Mr. Bader responded that Anderson's never cleaned on that site but that it was simply a drop off
location. The site was a fuel station at one point but there are not any soil issues in the area that
they are aware of.
Councilmember Paprocki thought that it was a good idea, but raised concerns about the amount of
traffic this would bring onto France Avenue. He felt that if they were able to purchase the motel site
it would help a lot with this issue.
Mr. Locke said that staff is going to be looking at areas like traffic and they do no see anything that
is going to be an insurmountable issue.
Mayor Jacobs asked whether there was anything else needed from the Council. They felt they had
all of the information they needed to move forward.
3. Review of Business and Contractor License Requirements
It was noted the Council had directed the City Attorney and staff to develop a draft ordinance
modifying the business licensing of non-owner occupied homes. This coincided with staff review of
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all City business and contractor licensing programs. Several years have passed since re-codification
of the City Code occurred, establishing most of the current language. Experience has revealed some
modifications, which would be helpful to improve effectiveness of the programs. The proposed
revisions and discussion are as follows:
Mr. Hoffman began by reviewing massage therapy establishments. The first issue is that health and
sanitation requirements necessary for the physical space to properly operate a licensed massage
therapy establishment are currently not specified in the license agreement. Mr. Hoffman proposed
to establish minimum requirements as a condition of License. The other issue is that currently a
license to operate a massage therapy establishment may be issued to someone with a criminal
background in prostitution or related illegal activities. He proposed to require applicants to provide
a copy of their current government issued identification, complete an application addendum and be
subject to a background check by the Police Department. The reason for the concern is that they
have recently seen an increase in the amount of license applicants.
Mr. Hoffman continued on to the rental inspection program. It was expanded from multi-family
apartments to include one and two family residential properties beginning in 2005. During
development of the program Council and staff discussed if the need existed to include rental
condominium and townhome units. Since all of these units are within an association of some type,
the exterior property maintenance concerns did not seem to warrant inclusion. Another staff
concern at the time was the inspection capacity to include them when adding approximately 600
homes and duplexes. Over the past few years several incidents at rental condominiums/townhomes
have occurred requiring Environmental Health and Police involvement. Complaints regarding
renter living conditions, unit condition (i.e. odor, trash) effecting neighbors, and crime/drug and
disorderly use violations justify including all rental units within the program.
Mr. Hoffman proposed to begin a public process with the associations to amend the licensing.
Councilmember Finkelstein agreed.
Mr. Hoffman stated that another area that has been a problem is the scope of the rental license
category. It is very broad and includes all non-owner occupied facilities providing housing. Some
types of facilities currently part of the program may not be an appropriate fit into this category.
Examples include large assisted living complexes, group homes, protective shelters, and sober houses.
The current rental program requirements, inspection for property maintenance and crime-free
provisions, do not fully address these types of establishments.
Mr. Hoffman continued that staff and City Attorney Tom Scott have drafted a new business license
category for Community Residential Facilities. He believes that there are a number of properties
that are not licensed. They have put together an ordinance with criteria that the operators would
have to meet. There are benefits to this ordinance but he fears that they may not be able to
accomplish what they would like to. As far as sober homes, there is some potential that the
ordinance would be challenged.
Mr. Scott then explained the proposed ordinance in more detail, explaining there would be spacing
requirement for these types of facilities. The length of stay is up to a year, with 90 days being the
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average length of stay. He suggested looking at the concept and deciding what way the Council
would like to go. If these types of facilities get a rental license, they are treated just as you would
treat any rental property. If you treat them more like a business, then specific criteria would apply.
This is the concept that staff took away from the last meeting with the Council. In some ways, from
a legal standpoint, there are questions with any of these approaches. He feels that they are in a
strong legal position. He then asked Council if they wanted to continue with what they have now or
explore the concept of having a separate business license required for these properties. He noted that
under the zoning ordinance non-statutory group homes can have six occupants but they could look
at making it a maximum of 4 occupants. State licensed facilities by law can have up to 6 occupants
because they have to be treated like a single family home. Non-State facilities would be different.
Mayor Jacobs inquired as to why there would be State group homes and non-State group homes.
Councilmember Carver replied that the non-State group homes are not State licensed. If you would
like to run a certain type of group home then you are required to obtain a State license.
Councilmember Carver noted that currently the City is treating these properties as rentals and
clearly they are not. He believes that there are several issues involved and he is for dealing with these
issues head on. He thought that it seemed that they could write an ordinance that addressed these
issues and would keep the occupant level at 4. He suggested that they not place regulations on the
whole and just focus on the area at hand. One of the big issues is having a qualified full time staff
member on site for the health and safety of those individuals and for the people who live in the
neighborhood.
Mayor Jacobs agreed and felt that it is not appropriate to make general assertions for specific
problems.
Councilmember Carver suggested that they retrieve statistical data on transitional facilities, perhaps
getting some information from Perspectives.
Councilmember Paprocki noted that there were some things in this that he had an issue with. He
felt that there are a number of homes that are doing well and are helping people out. He didn't
want to have a "bad apple" ruin it. He noted that there are also other facilities that would be
included in this ordinance.
Mr. Hoffman stated that there is an umbrella of groups and facilities that this ordinance could
include. He questioned whether foster care homes would be included in this group.
Councilmember Paprocki questioned if there was a full time staff member at the site 24 hours,
would the number of occupants allowed be 4 plus the staff member or would the staff member be
included as one of the occupants. Mr. Scott responded this is something that staff would have to
look into.
Councilmember Omodt suggested that they focus on one rather then the general. He inquired as to
how a staff member is going to be defined. If it is a treatment facility has a full time staff member
does the person need to be qualified? Councilmember Finkelstein also had issues with the term
Study Session Minutes -6- July 14, 2008
"reside," and noted that one full time staff member should be present. He further stated it was well
within the authority of the City to pass this and was well within their police powers, including
health and safety and that we should also look at considering it on a licensing basis."
Mr. Harmening responded that they are now getting into an area where they are making the City
liable for making sure that there is a person on staff and that the person is qualified. This would
mean assuring that people living there are properly trained and certified.
Mr. Scott said that the City is approaching this from a business standpoint. The full time staff
member would be classified as an on site caretaker.
Councilmember Carver stated that the City can't get into the area of saying when and how people
are qualified. The important part is having someone on site that makes sure that the residents are
sober and accountable.
Councilmember Basil agreed that they need to have one staff caretaker and that the City does not set
the qualification. The facility needs to provide proof that the staff member is there whether that is
by W-2 or by some other means. It should be noted that the caretaker should not be non-owner
related.
Mr. Locke stated that in all of these situations they are not standard lease agreements.
Mr. Hoffman and Mr. Scott discussed that another component of the proposed ordinance would
change the way our rental crime-free requirement would apply. The proposed ordinance would
make the operator responsible for controlling behavior and repeat police calls.
Mayor Jacobs questioned if staff felt that they have enough direction to move forward.
Councilmember Carver asked if it is possible to have a shortened the time for a suspension from 30
days to 10 days if you don't pay your property taxes. He also questioned if it would be possible to
go to 5 days or would they run into issues with due process. Mr. Scott answered that it would be his
thought to leave it at 10 days.
Mr. Hoffman questioned if there were any other issues to be addressed.
Councilmember Omodt inquired if there are any other areas besides schools that fall under having
multiple food preparation and distribution sites operating as a single entity. Mr. Hoffman replied
that it was likely just the schools.
4. Council Role in Critical Incident Preparedness Training on June 28th
Fire Chief Stemmer talked to the Council about the upcoming Critical Incident Preparedness
Training. Some of the other groups that will be involved in the training include the school district,
multiple police and fire agencies, Park Nicollet, and HCMC Ambulance. They have arranged for
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the Council to attend and participate. His goal tonight was to review with the Council what their
role would be in the case of an emergency or natural disaster.
Fire Chief Stemmer began by reviewing the requirements and authority of elected members. If there
was an emergency, he would need the Council to know what is going on and to be familiar to the
City's plan. He then handed out a pamphlet that reviewed the Council's responsibility in an
emergency.
Fire Chief Stemmer stressed how important leadership would be in an emergency situation. The
pamphlet noted that it is important to stay in touch with elected officials in the case of an
emergency. When the supervisors are not connected then there will be issues. It is important for the
Council to ask the tough questions. It is hard for the emergency personnel to stay focused in crisis
situations. They need help from the Council to stay focused on the needs of the citizens. It is
important that they also review policy decisions that may need to be made by the Council. There is
no question that tough decisions will need to be made and it is important to have a plan in place on
who will be making what decisions.
Councilmember Finkelstein noted that he would not like the Council as a whole or individual
Council Members directing emergency relief. Mayor Jacobs responded that this is what he would
like to review, who would deal with what issues. He would like to come up with a plan of what the
Council would do in these types of situations. It is in this situation that these policies get tested.
Fire Chief Stemmer continued that you need a disaster declaration, citizens are going to be
concerned and you need to let them know that there is a plan in place. Councilmember Carver
noted that there is an outline in the pamphlet that outlines what the Council's role would be in
emergency situations and what the Council would need to focus on.
Councilmember Finkelstein thought that it would be beneficial for the Council to do a run through.
Major Jacobs noted that the Council did this about 10 years ago, during which a tornado that had
hit the City. He felt that they had dealt with this situation very well.
Fire Chief Stemmer noted that the Council is not alone in an emergency; there is a lot of help out
there. One of the things that they are going to work on in this upcoming drill is the piece of
communication with the school district. This includes issues such as, who is responsible if there is a
school shooting. They will discuss what the City's role would be, what the role of the City would be
in relation to the school district, how it all comes together and plays out. There are "grey areas"
between the roles of the school district and the City. This is one of items that will be reviewed at the
Critical Incident Preparedness Training.
Fire Chief Stemming asked that Council look at the Minnesota Incident Management System
Model. This outlines the order of command if there was an emergency. He suggested possibly
putting together a model like this together with the school. The idea for having this type of model is
that the City would have a plan in place. This would also allow them to use the press to inform the
citizens of information. He noted that this may look like a simple plan, but it is about giving people
Study Session Minutes -8- July 14, 2008
a role, so that people know what their role is. Doing drills really does answer a lot of the questions
that come up.
Fire Chief Stemmer noted that the idea of the drill is not to be perfect but to learn where the
weaknesses are. They need to know how to change the roles or what we needs to added. These
drills cover a number of different situations for police and fire response. They will be training on
several areas of tactical response. The Council can watch the drills at 4:00 p.m. on July 28; there
will be a van for anyone that is interested. They will be giving tours of the different training
situations. At 6:00 pm everyone will get together to discuss the training and eat a box lunch. After
the drill, there will be an opportunity to meet and talk about other issues if it is necessary.
Mr. Harmening asked the Council who will be there at 4:00 p.m. The following Councilmembers
indicated they would be available at 4:00 p.m.: Finkelstein, Omodt, and Paprocki. The pick up will
be in the lobby. There will not be any items on the agenda after the Preparedness Training.
Councilmember Paprocki asked if it would be possible to have web cams for people to watch or to
review later. Fire Chief Stemmer said that he can't answer that question.
Councilmember Finkelstein inquired as to how many staff members will be involved. Mr.
Harmening answered that there would be over 100 staff members involved. This includes a director
from every department.
The Council agreed to continue the discussion on July 28, at the Critical Incident Preparedness
Training.
5. Communications (Verbal)
Mr. Harmening passed around an article from the Sun Sailor to inform the Council on the lawsuit
regarding the softball fields.
The meeting adjourned at 9:00 p.m. /`�
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Nancy Stroth, City Clerk Jeff Jac. .s, Mayir