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HomeMy WebLinkAbout2014/10/27 - ADMIN - Minutes - City Council - Study Session Ai/ASt. Louis Park OFFICIAL MINUTES J MINNESOTA CITY COUNCIL STUDY SESSION ST. LOUIS PARK, MINNESOTA OCTOBER 27, 2014 The City Council met at 5:00 p.m. for a tour of the Rec Center site. The study session meeting convened at 6:09 p.m. Councilmembers present: Mayor Pro Tern Steve Hallfin, Tim Brausen, Gregg Lindberg, Anne Mavity, Susan Sanger, and Jake Spano Councilmembers absent: Mayor Jeff Jacobs. Staff present: City Manager (Mr. Harmening), Director of Operations and Recreation (Ms. Walsh), Director of Community Development (Mr. Locke), Director of Engineenng (Ms. Heiser), Senior Engineering Project Manager (Mr. Sullivan), Rec Center Manager (Mr. Eisold), Recreation Supenntendent (Mr. West), Economic Development Coordinator (Mr. Hunt), Communications & Marketing Coordinator (Mr Zwilling), and Recording Secretary (Ms Hughes). Guests: Steve Maurelli (RSP Architects), Aaron Mullins (Hammel, Green and Abrahamson, Inc.), Ted Beckman (RJM Construction), Victor Pechaty (Hammel, Green and Abrahamson, Inc.), John Basill (St. Louis Park Hockey Association), and Steve Rosen (St Louis Park Hockey Association). 1. Future Study Session Agenda Planning—November 10, 2014 Mr. Harmening presented the proposed study session agenda for November 10th. He requested that Council hold a special study session on November 3rd to receive an update on the Bally's housing project and the McGarvey site/PLACE project. Councilmember Brausen requested that the record reflect his opposition to discussion and action on a requested resolution at this time related to the freight rail reroute issue. He indicated that Council is already on record regarding this issue and should not lock in future City Councils. He felt that in order to make sure Southwest LRT is a success, Council should forego such action. Councilmember Sanger requested that Council consider a zoning change or a possible overlay district for the area paralleling 394. She referenced the recent car dealership proposal and questioned whether this represents the best land use for this area and suggested that staff research the issue and provide Council with its recommendations. She stated she felt that Council should take up the discussion regarding the freight rail reroute resolution and stated that the intent is not to bind future City Councils but rather to make a clear statement so that if the issue anses in the future, those City Councils will know clearly this Council's position. Councilmember Mavity agreed with Councilmember Brausen and stated she did not believe a freight rail reroute resolution would advance anything or represent a substantive policy change Councilmember Spano stated he did not want to spend time on a freight rail reroute resolution at this time, adding he was not opposed to considering such a resolution in the future. Mayor Pro Tern Hallfin stated his support for the freight rail reroute resolution but wanted to wait until the planning was completed for Southwest LRT before having that conversation Study Session Minutes -2- October 27, 2014 Councilmember Lindberg stated the freight rail reroute represents a significant issue for a number of residents. It was his impression that Council agreed to consider a freight rail reroute resolution some time after it voted on municipal consent, and he felt this issue required some policy action by Council. Mayor Pro Tern Hallfin requested that Council have a study session discussion regarding the Police Department's use of body cameras. 2. Outdoor Refrigerated Ice Schematic Design Presentation Ms. Walsh presented the staff report and introduced Steve Maurelli from RSP Architects. Mr. Maurelli presented several renderings of the site and described the proposed facility and components of Phase I, including construction of the outdoor rink, fabric roof, and artificial turf, and Phase II, including a viewing plaza, locker rooms, and bleachers. Ms. Walsh indicated that Phase I includes the purchase of the artificial turf, adding that staff has received many positive comments from the athletic associations about their potential use of the facility during those months when the ice comes out, adding that the site could host a number of different types of events such as exhibits, car shows, and expos. Councilmember Spano asked how many people the bleachers would accommodate. Mr. Maurelli replied that the bleachers consist of nine rows of seating and would accommodate approximately 280 people. Councilmember Spano questioned whether this was sufficient and asked if there was any opportunity to add additional seating. Mr Eisold replied that temporary bleachers could be added and there are opportunities throughout the sides of the building to bnng in additional seating Mr. Maurelli advised that a decision has not yet been made regarding the roof fabnc and this item will need to be discussed further with Council. Mayor Pro Tern Hallfin stated if Council supports moving forward with the project, he would prefer to do the entire project all at once and not in phases. Councilmember Mavity requested that staff provide Council with examples of this type of facility in other locations. Councilmember Sanger stated it was her understanding that fabric roofs are not allowed under the zoning code and referenced an earlier discussion regarding the MSC's use of a fabric roof. Mr. Eisold advised that the salt structure at the MSC included fabric walls and the zoning code regulates the percentage of building materials used and in that case, the salt storage shed was all fabric. Mr. Locke agreed to follow up on this matter. Study Session Minutes -3- October 27, 2014 Councilmember Spano stated he liked the design including the fabric roof and suggested that the design include the City's logo or some other identification on the 36th Street side He also agreed with Mayor Pro Tern Hallfin about constructing the facility all at once and not phasing the project. He added he was concerned this facility might generate a lot of interest in terms of attendance and he wanted to make sure the City had the ability to expand the available seating. Mr Basill acknowledged there would be a demand for temporary stands for some events. He stated they are confident that the site will be booked for other events such as weddings, reunions, and graduation parties, and the site represents an opportunity to showcase the community. Mr. Beckman presented the cost estimate for Phase I and stated the estimate is based on 2015 construction pricing. He also pointed out the Phase I estimate includes the additional capacity to the refrigeration system. He stated there would be an approximate $125,000 cost savings if the project was completed all at once rather than phased. He advised they have been tracking escalation of costs and have attempted to accurately reflect increased costs, noting that potential matenal shortages are harder to predict. He stated the cost estimates include an escalation factor of 3% and they feel this is reasonable to bid the project for construction next year. Councilmember Sanger asked if staff has the capacity to manage this project as well as a potential community center project if approved Ms. Walsh advised that the City would work with a construction management firm similar to the fire stations project and felt it would be manageable. Councilmember Spano stated he was comfortable moving forward to define the terms of the agreement with the Hockey Association, including the Hockey Association's financial commitment Councilmember Sanger thanked the Hockey Association for its willingness to be a financial partner with the City on this project She felt the project made sense and was willing to have staff negotiate an agreement with the Hockey Association. She stated she felt it would be wrong to build a facility devoted to hockey and to not build the proposed community center and she wanted the City to build both projects. She also agreed that this facility should be done all at once and not in two phases. Councilmember Mavity agreed the project should be built all at once and not in phases. She did not believe this project and the potential community center project should be tied together and felt this project should stand on its own, that it adds value on its own, and should be a separate conversation from the potential community center. She requested information regarding ongoing capital improvement costs and operational costs and questioned whether the Hockey Association would be willing to contribute anything on an ongoing basis toward capital or operational costs. Councilmember Brausen stated he liked the design of the project but was worned about the cost, particularly given the timing with Southwest LRT and the City's major infrastructure investments in Southwest LRT, adding that he was committed to seeing the Southwest LRT project done right and he also felt there was ment to this proposal and would like to see it happen He agreed with Councilmember Mavity that this project should not be attached to the potential community center and should stand on its own. Study Session Minutes -4- October 27, 2014 Mr. Basill stated that the issue of an increased donation from the Hockey Association could be brought back to the Hockey Association's Board for further discussion. It was the consensus of the City Council to direct staff to negotiate the final business terms with the Hockey Association and present to Council for approval. It was also the consensus of the City Council to direct staff to prepare an overall funding plan and timeline for Design Development and construction of the project for consideration by Council 3. Community Center Update Ms. Walsh presented the staff report and advised that staff would like to apply for three separate grants to assist with further soil exploration. She stated the grant applications are due Monday, November 3`d, and pointed out that applying for these grants only commits the City to actual soil exploration and not to a future project. It was the consensus of the City Council to direct staff to apply for the Hennepin County Environmental Response Fund grant, the Met Council Tax Based Revitalization grant, and the DEED grant to assist in additional site assessment. Mr. Pechaty presented histoncal background information regarding the community center project and introduced Aaron Mullins, project designer. Mr. Mullins presented the site plan depicting major site components and stated the building has been situated as close as possible to the existing Rec Center with a parking structure on the northwest portion of the site that holds 688 cars. He presented the first floor and second floor plans and described various amenities throughout the building including community gathenng space, banquet facility, concessions, as well as the running track, fitness center, and aquatics area. He also presented a material palette depicting various matenals proposed to be used He stated that options for the parking structure material are currently being considered and could include public art. He also presented several bird's eye view rendenngs of the project. Mr. Beckman advised that the cost estimate for constructing the entire project at one time based on a 2016 construction start date is $47,961,920, and the estimate includes a project contingency of 7% and escalation factor. He advised if the project were phased, the cost estimate for Phase 1 is $39,718,867 and the estimate for phase 2 is $9,533,028, and a phased project would add $1 3 million to the total project cost, for a total of$49,251,895 Councilmember Mavity stated the design is aesthetically attractive and is welcoming but was concerned about the parking ramp and felt it was massive and uninviting. She questioned whether a smaller ramp could be constructed with additional parking located at another site. Ms. Walsh stated that from a functional standpoint, this area has a difficult crossing for pedestnans and staff was concerned about safety. Councilmember Mavity also expressed concern about the different architectural materials contained in the community center, rec center, and outdoor nnk and questioned whether the three uses could be better unified in terms of aesthetics. Mr. Pechaty stated that staff's vision is to transform this area into a community center campus and that the teams are working together to create a campus aesthetic with common architecture. Study Session Minutes -5- October 27, 2014 Councilmember Spano expressed concern that the community center has been designed such that it is hidden behind a parking ramp and the majonty of traffic will never see the building. He stated he was not satisfied that Council has all the answers it needs to make a decision regarding a community center project, particularly given the uncertainty around the City's obligations with Southwest LRT. Councilmember Sanger stated she was comfortable moving forward with the community center project, particularly given the demand in the community for indoor spaces suitable for all ages She felt that the impact on property taxes would not be that much spread over 20 years and if the project is not built now, it will only get more expensive in the future and she would rather do the project all at once and not in phases. Councilmember Mavity felt the design of the building does not feel engaging from the street level and it does not look like there are places for people to walk and it will be important to plan for a lot of people coming to this area by light rail or bus She expressed continued concern about the cost of the project and the cost of the Locally Requested Capital Investments (LRCIs) as part of Southwest LRT, adding that if she had to prioritize the projects, the LRCIs associated with Southwest LRT ranks first and the community center project ranks second. Councilmember Lindberg stated he was concerned about the significant impact on taxpayers but would like to see the City move forward into the public input process because this project represents building a community that attracts and maintains many different types of people and keeps them connected and he felt strongly that providing a space for recreation was worth a significant investment by the community. Councilmember Brausen stated he liked the building design but was not convinced about the ments of having a pool, which adds $10 million to the cost of the project. He also questioned the need for a parking ramp at a cost of$10 million and suggested using shuttle buses. He spoke in favor of postponing this item until a later date, adding he would love to see a community center built, but was not sure it represented an absolute need for the community nght now and in light of the potential obligations related to Southwest LRT. Councilmember Spano stated he would like to see a community center built, but was not prepared at this time to move forward on a community center project and would not be prepared until the City has clear answers about what it is going to have to pay for Southwest LRT improvements. Councilmember Brausen stated he would be happy to revisit this item in six or eight months and did not want to table the matter indefinitely. Mr. Locke discussed the Southwest LRT timeline and advised that LRCIs will be bid as bid alternates and the LRCIs are scheduled to go out for bid in second quarter 2016. Mr. Harmening noted that by the end of 2014, Council needs to decide whether to commit spending approximately $2 million on engineering for grade separation at Beltline, adding that this amount is non-reimbursable. Mayor Pro Steve Hallfin complimented everyone for all the work completed to date on this project. He stated he would like to have a better idea of the City's potential obligations related to Southwest LRT before committing to the community center project, adding that he did not feel Study Session Minutes -6- October 27, 2014 there was any urgency to build a community center and felt the City needs to be cautious until there is more certainty around the LRCIs. Mr. Pechaty indicated the design team factored in a six to eight month delay in the cost estimate such that a community center project could be delayed until spring 2016 and they will continue to monitor any escalation in construction prices. It was the consensus of the City Council to table this item until January 2015 when more information is known about the City's obligations related to other significant capital projects, including Southwest LRT. Councilmember Sanger requested that staff design the public process for Council review in January. She also suggested that the community center project be part of Council's workshop on January 15`h. 4. Southwest LRT Update Mr. Locke presented the staff report and explained that if the City desires to move forward with the LRCIs identified as part of municipal consent, the SPO requires a commitment from the City shortly after the first of the year that the City will cover the design costs of these LRCIs. Mr. Harmening advised that staff recently met with representatives of Three Rivers Park District and representatives of Hennepin County to discuss the Cedar Lake Regional Trail grade separations and it appears that Three Rivers and Hennepin County are taking the lead on moving forward in terms of committing to the engineering cost associated with designing the trail grade separation at Beltline and Wooddale. Council discussed the Beltline Boulevard underpass vis-a-vis the Cedar Lake trail separation and the associated design and construction costs. Councilmember Sanger stated Council has already made a decision to pursue the Beltline underpass and this represents her highest priority among the LRCIs and did not agree that it may not be necessary to pursue an underpass at Beltline. Councilmember Mavity referenced the previous traffic analysis and stated that train traffic is increasing tremendously and she wanted to make sure the City is modeling this in a way that uses accurate assumptions. She expressed continued concern about the station area plans and felt there was a disconnect between the resident-dnven work completed on the station area plans and the station area plans presented by Met Council. Councilmember Sanger stated she was comfortable with committing to the design costs for the Beltline Boulevard underpass and the Xenwood Avenue underpass. Councilmember Mavity stated if Council is going to move forward on Xenwood, she wanted to have further discussion about controlling the zoning and development in this area. Mr. Harmening advised that Council will need to make a decision regarding whether to cover the design costs for the LRCIs around the first of the year Study Session Minutes -7- October 27, 2014 Communications/Meeting Check-In (Verbal) None. Mayor Pro Tern Hallfin adjourned the meeting at 10.03 p.m. Wntten reports provided and documented for recording purposes only: 5. September 2014 Monthly Financial Report 6. Third Quarter Investment Report (July—September 2014) 7. Proposed Property Assessed Clean Energy (PACE) Program 8. City Publications Update 9. Inclusionary Housing Strategy Update 10. DLC West End Affordable Housing Mix 11. Oppidan/Bally's Affordable Housing Proposal e<7; Nancy Stroth, City Clerk Steve Hallfin, May/or .Pr. Tern