HomeMy WebLinkAbout2013/03/11 - ADMIN - Minutes - City Council - Study Session I1/ St.. Louis Park OFFICIAL MINUTES
MINNESOTA CITY COUNCIL STUDY SESSION
ST. LOUIS PARK, MINNESOTA
MARCH 11,2013
The meeting convened at 6:34 p.m.
Councilmembers present: Mayor Pro Tern Susan Sanger, Anne Mavity, Julia Ross (arrived at
6:51 p.m.), Sue Santa, and Jake Spano.
Councilmembers absent: Mayor Jeff Jacobs and Councilmember Steve Hallfin.
Staff present: City Manager (Mr. Harmening), Deputy City Manager/Director of Human
Resources (Ms. Deno), City Attorney (Mr. Scott), City Clerk (Ms. Stroth), Director of Public
Works (Mr. Rardin), City Engineer (Mr. Brink), Controller (Mr. Swanson), Environmental
Coordinator (Mr. Vaughan), Utilities Superintendent (Mr. Anderson), and Recording Secretary
(Ms. Hughes).
1. Future Study Session Agenda Planning—April 1 and April 8, 2013
Mr. Harmening presented the proposed special study session agenda for April 1st and the
proposed study session agenda for April 8h. He noted the April 8th study session agenda
includes a comprehensive update on SWLRT including a report from Mr. Jim Alexander of the
Met Council project office, adding this item will require more than 45 minutes on the agenda.
2. Liquor Ordinance and Licenses Review
Ms. Deno presented the staff report and advised that the City currently has 20 off-sale liquor
licenses issued in three different categories and has 35 on-sale liquor licenses issued in five
different categories. She stated all on-sale liquor license holders are currently in compliance
with the City's 50/50 requirement for gross receipts of food and liquor.
Councilmember Santa stated that this item was of interest to Councilmember Ross particularly as
it relates to the 50/50 requirement and added she was fine with the City's 50/50 requirement.
Councilmember Mavity stated that the City's liquor ordinance is not dramatically different
compared to neighboring communities as it relates to the number of licenses issued and felt the
City should not place limits at this point on how many liquor licenses are issued. She added
there is a lot of development going on in the City and did not think the City should have a heavy
hand on the market at this time as it relates to liquor licenses.
Councilmember Spano stated he felt the City has done a good job of managing its liquor licenses
and indicated he was fine with the current ordinance. He agreed with Councilmember Mavity's
comments and stated he was fine with the current 50/50 requirement.
Mayor Pro Tem Sanger stated she was in agreement with the current 50/50 requirement adding
she did not want to see the ratio lowered as it relates to food sales. She stated she was also in
agreement with not putting any limit on the number of liquor licenses issued. She added she has
been led to believe that in communities where the number of liquor licenses is limited, a black
market develops where a restaurant owner going out of business ends up selling its liquor license
for a hefty sum. She asked if that was correct and whether it was lawful.
Study Session Minutes -2- March 11, 2013
Mr. Scott stated the liquor license is tied to the premises location so you cannot buy a liquor
license. He added if there is a limitation on the number of licenses being issued and one of those
locations is up for sale, it will add value to the business but the license cannot be sold separately.
Ms. Deno advised that staff takes a proactive approach to its licensing and works with the
various establishments to educate them on the City's expectations and liquor license
requirements.
It was the consensus of the Councilmembers present to make no changes to the City's current
liquor ordinances as they relate to the sale of liquor.
3. Storm Water Follow-Up—Chemical Pond Treatments
Mr. Rardin presented the staff report and a summary of the eight water bodies identified for
possible treatment. He advised that the effectiveness of these treatments would vary depending
on the amount of runoff in any given year. He stated that vegetation is not beneficial from an
aesthetic perspective but from a water quality perspective, these ponds are doing what they are
supposed to be doing.
Mayor Pro Tern Sanger felt it would be important to have some sort of neighborhood process in
order to get input from people living adjacent to water bodies. She stated it might also be
appropriate to start looking at some other best practices to address water quality issues such as
buffer strips that would make a meaningful dent in the water quality and odor of these lakes.
Councilmember Ross indicated that a solution to one problem may create another problem down
the line and felt it was key to educate residents so they know that the ponds are doing what they
were designed to do.
Councilmember Spano stated he was not sure any of the water bodies should be treated given the
estimated cost of$70,000 per year and stated he was not comfortable with chemically treating
these water bodies, particularly since Council has not agreed on the problem and it is not clear
that the proposed treatments will work.
Councilmember Santa felt this issue should be considered by the new Environment and
Sustainability Commission. She agreed the City should not spend $70,000 per year for
something that may or may not work and that the DNR may or may not approve.
Mayor Pro Tern Sanger indicated that the City can undertake a more gradual approach to this
issue and stated her request with respect to Twin Lakes would be to initiate a public process with
residents to educate them about the pros and cons and get their feedback.
Councilmember Ross supported Mayor Pro Tern Sanger's request regarding Twin Lakes.
Councilmember Mavity stated Council is talking about odor and vegetation as well as the issue
of water quality and there is another separate issue with respect to functionality that will result in
different goals for the various water bodies. She stated that she was having a hard time
determining which direction to give to staff when Council should be addressing the broader
questions related to water quality management.
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Mayor Pro Tern Sanger suggested that staff be directed to come up with a goal statement for
each of the water bodies and recommendations regarding what, if anything, might be done.
Councilmember Spano stated he would like staff to prepare a report that explains the natural
purpose of these bodies of water so that all of Council's decisions are primarily driven off the
natural function of the body of water.
Mayor Pro Tem Sanger stated it appears Council can either have a blanket policy not to
chemically treat any of its water bodies or a policy that indicates Council will consider them on a
case-by-case basis, adding that she preferred the latter.
Councilmember Mavity stated she was in agreement with chemical treatment of the three water
bodies currently being done by the City with the understanding that this is one small piece of a
larger pie and Council may need to change its policy depending on what happens elsewhere.
It was the consensus of the Councilmembers present to not pursue treatment of the five
additional water bodies at this time.
4. Pedestrian and Bicycle System Implementation Plan Update
Mr. Brink presented the staff report and updated sidewalk and trail plan based on Council input.
He stated staff would like to get the public information plan underway soon, including a mailing
to all properties with sidewalks proposed on their street. He stated the City will also use social
media to get feedback and provide forums for discussion with the public feedback process
completed in the next month or so, followed by a public hearing to adopt the plan in June.
Councilmember Santa stated she was pleased to see the sidewalks on 31s1 and 33`d Streets deleted
entirely and was pleased to see the sidewalk on 36th advanced a year. She felt the issue of
proposed bikeways and bike lanes needed a little more public discussion given resident's
concerns about parking.
Councilmember Ross requested clarification regarding the report and the need for additional
sidewalks on the east side of Virginia.
Mr. Brink explained there is a trail on the east side and the City has been in contact with the
railroad about that trail. He added the City is still proposing a sidewalk on the west side of
Virginia.
Councilmember Ross stated that accessibility in and out of the West End has been an issue for
bicyclists in the past and asked if Council talked about adding a bike lane on the frontage road
along Wayzata Boulevard to address safety concerns. She also asked about a bike lane along
Louisiana Avenue.
Mr. Brink stated that Wayzata Boulevard is included on the bikeway plan and there are
pedestrian bridges to ease the mobility,issues and improve West End accessibility.
Councilmember Mavity asked if 41s` Street would be done this year adding she would like to see
this done sooner rather than later. She stated she wanted to make sure neighbors on all sides of a
street are notified and indicated she was not convinced that the proposed location of the sidewalk
Study Session Minutes -4- March 11, 2013
on 39`h Street was the most appropriate and wanted to make sure neighbors on all sides of the
street were provided an opportunity to participate in the discussions.
Mr. Brink stated that the City will try to get started on 41st Street this year.
Councilmember Spano expressed support for the overall plan.
Mayor Pro Tem Sanger felt the City has not given the public sufficient information about
bikeways but was otherwise in support of the plan as outlined.
Mr. Swanson explained that staff is proposing to issue General Obligation bonds in 2014, 2019,
and 2024 of approximately $5.7 to $8 million financed over 15 years and noted this estimate
does not include continuing maintenance or necessary staff to maintain the system. He stated
there is a period of time in 2019-2024 where the City would be paying debt service on three bond
issues related to the proposed sidewalks and trails program and for a residential homesteaded
property of median value, the property tax increase would be approximately 5.9%-8.2%based on
2013 information. He stated the City has approximately $150 million of debt capacity based on
the City's total taxable market value and the City's current debt service is $1.9 million on
approximately $45 million of outstanding debt, which includes the fire station. He stated it
would be the goal of staff to consider what makes the most sense from a debt versus cash
financing perspective and to then look at the City's long range financial management plan to
determine the best course of action.
Mayor Pro Tern Sanger asked if staff's analyses had taken into account the drop-off of some TIF
districts.
Mr. Swanson replied that the analysis did not include TIF districts coming off line and stated the
City's tax levy increase has averaged 5.3% over the last ten years and the levy will have to be
increased for these projects. He noted that a 10% levy increase was possible given the
magnitude of these projects and added that a 1% levy adjustment for a median residential
property is $9-10 per year on the City share of taxes.
It was the consensus of the Councilmembers present to support the proposed financing for the
sidewalk and trail plan.
Mayor Pro Tern Sanger thanked Mr. Brink and his staff for all their work on the plan.
5. Proposed Storm Water CIP
Mr. Rardin presented the staff report and proposed storm water capital improvement program.
Mr. Swanson advised that when the CIP was originally formulated for 2013-2017 it did not
include these significant storm water projects and Exhibit A represents an updated version of the
Barr summary from 2012 with all project costs estimated at approximately $11 million not
including operational costs. He stated that the City's Storm Water Utility rates will need to be
increased in the next five years from $16 per quarter in 2013 to $24.83 per quarter by 2018 and
noted these increases are required due to the large projects proposed in the early years of the CIP
and rate increases after year five would likely be zero to 1%. He added that staff recommends
the City also issue Utility Revenue Bonds in 2014 and again in 2019 to pay for these projects.
Study Session Minutes -5- March 11, 2013
He suggested that the City hold off on issuing the bonds until a more definitive plan is in place
for these projects.
Councilmember Mavity suggested that the City's public process on these projects piggyback
with the annual water quality hearings so that residents have a complete understanding of all
these water issues.
Councilmember Ross stated that Council has set lofty goals for the City and indicated she was
concerned about becoming a community that is pricing certain people out because of high taxes.
She stated it will be important to properly communicate with residents so they know what they
are being taxed for, e.g., the potential community recreation facility, the sidewalk and trail
program, and the storm water program.
Mr. Swanson stated the cumulative impact of the three capital projects outlined in the staff report
looked at a residential homesteaded property of median value and considered a low as well as a
high estimated cost for each project resulting in increased property taxes and utility rates of
$100-160 per year.
Mayor Pro Tem Sanger stated it was important to consider what residents are getting for their
$160 and these projects will deliver direct improvements to quality of life that are very tangible
and very visible.
It was the consensus of the Councilmembers present to pursue the storm water capital
improvement program as proposed including a robust public process and education component
tied to the City's annual water quality hearings.
Communications/Meeting Check-In (Verbal)
Mr. Harmening stated that Rep. Keith Ellison would like to present at the Apnl 1st City Council
meeting. He advised that the City is being encouraged to support the Governor's transit funding
proposal, particularly the quarter cent sales tax. He stated he has drafted a letter to the Governor
from Mayor Jacobs supporting the transit funding proposal and added that at the Regional
Council of Mayors meeting today there was discussion about cities adopting a resolution in
support of the quarter cent sales tax.
It was the consensus of the Councilmembers present to support the Governor's transit funding
proposal and proposed quarter cent sales tax and to support sending a letter to the Governor from
Mayor Jacobs supporting the transit funding proposal. The Council was also receptive to
adopting a resolution in support of the sales tax for transit.
Mr. Harmening requested input regarding Council's desire to meet with the City's boards and
commissions on an annual basis.
Councilmember Mavity felt that Council should meet with the boards and commissions if the
board or commission wants to meet or if they have an issue to discuss with Council.
Mayor Pro Tem Sanger felt that Council should be provided with the annual reports and work
plans of the various boards and commissions but did not otherwise need to routinely meet with
them unless Council or the board or commission has an issue to discuss.
Study Session Minutes -6- March 11, 2013
Councilmember Santa felt that the annual reports and work plans have been thorough and was
pleased with the board and commission agendas as laid out. She agreed there was no reason to
meet with them at this time.
Mr. Harmening stated that the organizational studies for police/fire and public works/parks are
progressing and one of the recommendations with respect to public works/parks will be to have
operations and maintenance of those departments overseen by one person/department to provide
better overall efficiencies and customer service. He indicated that further updates would be
provided to Council.
Mr. Swanson advised that the sequester has resulted in the Federal government not providing full
rebates on the Build America bonds which were used by the City for the new fire station. He
stated this will be a nonissue for residents and the next debt service payment is due August 1s`.
Mr. Harmening stated the sequester impact on other parts of the City is minimal at this time
adding the Housing Authority gets Federal money, the Police Department gets some Federal
money, with the biggest allocation coming from the Federal government through the Met
Council for Highway 7 and Louisiana Avenue. He stated there is nothing to suggest that the
Highway 7 and Louisiana Avenue funding will not happen.
Mr. Swanson stated the Housing Authority has some reserves available that could be used if the
sequestration impacts the Housing Authority's funding.
The meeting adjourned at 8:54 p.m.
Written Reports provided and documented for recording purposes only:
6. 2012 Housing Authority(HA)Annual Report and 2013 Work Plan
7. Amendment of City Code Chapter 8, Subdivisions IV — Food and Beverage, V —
Public Sanitary Facilities, and VII- Lodging
8. Healthy Eating Active Living Policy
9. Telecommunications Advisory Commission 2012 Annual Report and 2013 Work
Plan
10. Update on Potential Redevelopment Sites/Projects
Nancy Strotlt,City Clerk usan Sanger, _ ayor Pro Tern