Loading...
HomeMy WebLinkAbout2010/05/10 - ADMIN - Minutes - City Council - Study Session I/I St. Louis Park OFFICIAL MINUTES MINNESOTA CITY COUNCIL STUDY SESSION ST. LOUIS PARK, MINNESOTA MAY 10, 2010 The meeting convened at 7:00 p.m. Councilmembers present: Mayor Jeff Jacobs, Phil Finkelstein, Anne Mavity, Paul Omodt, Julia Ross, Susan Sanger, and Sue Santa. Councilmembers absent: None. Staff present: City Manager (Mr. Harmening), Deputy City Manager (Ms. Gohman), City Clerk (Ms. Stroth), City Attorney (Mr Scott), Director of Park and Recreation (Ms. Walsh), Finance Accountant (Mr. Swanson), Recreation Superintendent (Mr. Birno), Community Development Director (Mr. Locke), Economic Development Coordinator (Mr. Hunt), Planning/Zoning Supervisor (Ms. McMonigal), and Recording Secretary (Ms. Russo). Guests: Frank Dunbar, Dunbar Development; Stacy Kvilvang, Ehlers &Associates. 1. Hoigaard Village Project and Redevelopment Contract Update — EDA Discussion Mr. Locke presented the staff report and introduced Mr. Frank Dunbar. Mr. Dunbar presented a brief recap of the Hoigaard Village project including current status updates on Harmony Vista, The Adagio, The Medley Row, and The Camerata. Councilmember Sanger asked what caused the delay in financing. Mr. Dunbar explained that once a member of the ownership offered to acquire the TIF Notes, it changed the direction of financing, which he believes is a better option than offering notes to the public. Mr. Dunbar explained they believe it is safer from a global perspective because the buyer of the note also owns the project and will not do anything to damage their investment in the TIF. In addition, being the buyer allowed them to reduce the amount to be financed by TIF, making for a better financial environment and long-term opportunity. Mr. Dunbar explained it also took some time for the partner making the purchase to clearly understand the investment requirements and dynamics of changing from a public sale to a private sale. Councilmember Sanger asked whether they will meet the construction deadline for the two additional phases. Mr. Dunbar explained they have over $3 million invested in the townhomes (Medley Row) and feel the construction will occur after the market comes back and the light rail system comes to fruition. Mr. Dunbar stated he thinks the horizon for the condos (The Adagio) is a ways off and that product first needs to come down to marketability. He believed there was a great market for senior housing if seniors are able to sell their homes at their expectations. Mr. Dunbar noted that Volunteers of America have pulled back their interest as contributions have declined and their support from the State was also reduced. Thus, they have moved on to conversations with other providers such as Presbyterian Homes. Mr. Dunbar noted they are working daily on these properties, have invested approximately $2.89 million into the project, and have much to gain from developing the sites Study Session Minutes -2- May 10, 2010 Councilmember Sanger clarified the developer would not meet the required deadlines for the remaining phases and the condos may now be senior housing and rentals. Mr. Locke replied that is correct and indicated he would be stunned if either project started on schedule because the market conditions are uncertain. He added the Council does not need to make amendments to the Redevelopment Contract at this time. Councilmember Mavity clarified that the TIF dollars are not impacted at this point and would only be impacted if the construction schedule changes in the future. Mr Locke agreed the impact would not be determined until that time. Councilmember Omodt referred to the values noted on page 4, asking what happens if the developments don't meet the expected value. Stacy Kvilvang replied this would then affect the developer, not the City; therefore, the developer has every motivation to meet the estimated assessed value. Councilmember Sanger indicated she is nervous about the project and while she appreciated Mr. Dunbar's efforts, felt the City is never going to see the other two buildings. Mr. Dunbar replied the City would see the other buildings as they have too much money invested in them. Mr. Hunt agreed with Mr. Dunbar, adding it is just a question of"when." He stated interest in the property will accelerate as plans for the nearby LRT station move forward. There was consensus to consider the refinancing of the developer's two taxable TIF notes at the June 7, 2010 EDA meeting. 2. Updated Business Terms for Redevelopment Contract with Greco Development (Wooddale Pointe project) — EDA Discussion Mr. Locke presented the staff report and indicated staff feels this is a very nice project and would be an asset to the City. He requested direction regarding the additional financing Mr. Hunt added this is a very high quality, mixed use project and would be worth the investment in the long run. He also noted the developer has likely secured a major tenant for the first floor commercial space; a child daycare. There was consensus to consider the updated Wooddale Point Redevelopment Contract at the June 7, 2010 EDA meeting. 3. Cedar Knoll Dog Park Mr. Harmening presented the staff report asking if there is anything else staff should undertake. Councilmember Mavity stated she had taken her dog to the park and walked the perimeter. She indicated that if noise ordinances are not being violated, she is not sure what else could be done. Councilmember Sanger stated she also has been to the dog park and only found one location in the park where she could see the home of the resident whom complained. Study Session Minutes -3- May 10, 2010 Councilmember Ross asked if there had been any other complaints. Ms. Walsh replied no. Councilmember Ross stated she spoke with other residents and it is not just an issue of privacy, but how their dogs are being affected by the dogs in the park. Councilmember Sanger added when she was at the park, this resident's dog was barking, not the dogs in the park. Councilmember Ross noted the resident indicated one reason they purchased their property was because there were no abutting properties. She noted that users of the dog park have expressed a reluctance to use the park because of this resident. It was the consensus of the City Council to complete efforts to raise the berm, place additional vegetation, and to continue the current operation of the dog park. 4. Council Policy Discussion — Environmental Stewardship — Councilmembers Sanger and Mavity Councilmember Mavity presented background information stating she and Councilmember Sanger would like to discuss a policy question regarding the City's role with environmental stewardship, as related to Vision St. Louis Park, and the City's strategic direction related to the environment. Councilmember Sanger stated she most often hears about environmental issues from residents, such as recycling, recycling in the park, and why water bottles are still in use. She stated many residents are frustrated and feel a better process should be created to provide input on a variety of environmental stewardship ideas. She recommended creating a time limited Task Force to gain community input on how to create a process to gather information, which would eventually be an ongoing process. Councilmember Santa asked Ms. Walsh if this would fall under the purview of the Park and Recreation Commission. Ms. Walsh replied that it could be but was not a primary focus of theirs at this time. Councilmember Mavity stated staff had started the E-Group, a vehicle to coordinate staff actions, and asked how the City could best funnel and incorporate resident's ideas. Mayor Jacobs agreed stating there is no structure to gather community input. Councilmember Omodt noted it is every Councilmember's responsibility to take input from residents and residents can, at any time, contact Councilmembers. He stated he is not convinced there is a need to set up something additional. Councilmember Mavity stated she and Councilmember Sanger are not proposing to create a commission. Councilmember Ross stated she sees this more as a communication issue, encouraging residents to write, email or call. She noted this should be an on-going process that is communicated throughout the City and expressed concern that residents who are very passionate about an issue may only act for their own benefit. Councilmember Ross stated she feels leadership needs to come through the staff and Council. Study Session Minutes -4- May 10, 2010 Councilmember Santa indicated she is unfamiliar with the mission of the E-Group and would like information on work that has been accomplished or underway relating to the environment since the recent Vision process. It was the consensus of the City Council to direct staff to inventory and report back on what groups are currently doing from an environmental standpoint, obtain a status from the E-Group, and review and report on previous meeting minutes and past actions by the Council, staff or others in the community. 5. Future Study Agenda Planning Mr. Harmening presented the proposed study session agenda for May 17, and May 24, 2010. 6. Communications (Verbal) Mr. Harmening reported he would be meeting with Hennepin County and raise Councilmember Sanger's question regarding the freight rail location options, conditions, constraints, and time frame. Councilmember Sanger referenced report #7, potential EDA acquisition of 7015 Walker Street (formerly Reynolds Welding Supply Building), and asked if it is possible for the City to acquire this property and not be liable for future clean up costs. Mr. Harmening stated he would research that matter. Councilmember Santa expressed concerns with the Reilly site and indicated she would like additional information on soil conditions if the City is going to purchase the Reynolds site. Councilmember Ross indicated she would be on vacation June 5 through June 12, 2010. She advised she will attend a meeting on June 4, 2010, with a group of African American civic leaders and asked the Council to let her know if there is anything Council would like addressed. The meeting adjourned at 8:25 p.m. Written Reports provided and documented for recording purposes only: 7. Potential EDA acquisition of 7015 Walker Street (formerly Reynolds Welding Supply Building) 8. Groves Academy Private Activity Revenue Bonds Refinancing for Phase I and Debt Issuance for Phase II 9. Proposed Housekeeping Amendments regarding Staff Positions and Municipal Election 10. City Council Bike Ride 11. Fire Stations Project Update 12. Reilly Site — Update on the Proposed Soil Vapor •Gas Study (ma ►-t., E Nancy Stroth,tity Clerk Jeff Jacobs, Mayor