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HomeMy WebLinkAbout2014/04/21 - ADMIN - Minutes - City Council - Study Session I/I St. Louis Park OFFICIAL MINUTES MINNESOTA CITY COUNCIL SPECIAL STUDY SESSION ST. LOUIS PARK, MINNESOTA APRIL 21, 2014 The meeting convened at 6:00 p.m. Councilmembers present: Mayor Jeff Jacobs, Tim Brausen, Steve Hallfin, Gregg Lindberg, Anne Mavity(arrived at 6:05 p.m.), Susan Sanger, and Jake Spam (arrived at 7:06 p.m.). Councilmembers absent: None. Staff present: City Manager(Mr. Harmening), Director of Engineering (Ms. Heiser), Director of Community Development (Mr. Locke), Planning and Zoning Supervisor (Ms. McMonigal), Housing Coordinator (Ms. Schnitker), Housing Programs Coordinator (Ms. Olson), Marketing and Communications & Marketing Coordinator (Mr. Zwilling), and Recording Secretary (Ms. Hughes). 1. Southwest LRT Update Mr. Locke presented the staff report and the Preliminary Design Plans prepared by the SPO. He advised that the City is required to hold a public heanng on the Preliminary Design Plans and suggested that the public hearing be scheduled for May 19th with an open house pnor to the public hearing where representatives from the SPO will be in attendance to answer questions and provide a brief presentation of the Preliminary Design Plans. He noted that the Preliminary Design Plans related to St. Louis Park are available on the City's website and the entire set of plans is available on the Met Council website. He discussed the Preliminary Design Plans and stated that new bridges are proposed near the Louisiana Avenue station, which is situated along Oxford rather than the Methodist Hospital switching wye location proposed by the City. He stated that the SPO proposes to acquire parcels on the north side of Oxford for a park and ride, adding that the SPO is showing all park and rides in the City at grade. He explained that in order to make it relatively easy to go from the trail to the Louisiana Avenue station, the SPO has proposed a pedestrian underpass underneath the freight rail/LRT/trail corridor. He indicated that the storage yard for Construction Materials' operation is located in this area and the City has asked if the SPO plans to acquire the property on the south side of Oxford where it's building as well. If that happens, that would provide an opportunity to create a more direct pedestrian connection to Methodist Hospital from the station platform. This is one of the items in the City's station area plans for Louisiana Avenue. He advised that the only part of the switching wye being removed as part of the SWLRT project is the northern tip of the north leg of the wye. The SWLRT plan includes construction of a connection to the MN&S going south from the Bass Lake spur. The connection south bridges over the light rail tracks dust east of the Louisiana Station platform. The connection south is elevated above Oxford and a retaining wall is shown along the elevated section. He explained that the plans include a signal bungalow near the Wooddale station to contain the controls for a switch that makes it possible for the light rail trains to shift between the pair of LRT tracks. Councilmember Mavity asked if the City has any flexibility as to the location of the signal bungalows, particularly since the proposed location near the Wooddale station is close to single family homes. Mr. Locke replied that the City has raised that question with the SPO and will remain sensitive to the location of the signal bungalow, adding that an ideal location for the signal bungalow would be in an industrial area rather than near a residential area. He explained that the Wooddale Special Study Session Minutes -2- April 21, 2014 Avenue station does not include a park and ride and the plans show the regional trail crossing of Wooddale Avenue as an at grade crossing, adding that the City has indicated an at grade crossing will not be acceptable at this location and further discussion needs to take place with the SPO. He stated the plans include a kiss-and-ride drop-off at Yosemite as well as on the frontage road on the north side of the LRT. The City has expressed concerns about the frontage road kiss-and- ride location due to traffic and access issues. Councilmember Mavity stated it was her understanding the proposal with PLACE included moving the frontage road to provide a complete development site and asked how that impacts these plans. Mr. Locke stated the City will need to further discuss this with the SPO once the PLACE proposal is further developed, including the best way to get people in and out of this area. He then descnbed the light rail alignment moving to the east past Cityscape Apartments and the old McGarvey site and stated the plans show new bridges for the trail, light rail, and freight rail crossing over Highway 100 as well as a potential traction power substation east of Highway 100. He stated the plans include an at grade crossing of Beltline Boulevard with the station to the east of Beltline and a surface park and ride in the southeast quadrant of Beltline and CSAH 25. He advised that the City has been working with the SPO on a point development project for this quadrant that could include a mixed use transit oriented development integrating the parking either on site or in a parking structure over the station. He stated the plans include a traffic signal at Lynn to control access in and out of the parking facility with Lynn connecting into the frontage road along CSAH 25. Staff will continue to work with the SPO on the Joint Development of this site, as well as the location of the kiss-and-ride and bus access. Councilmember Hallfin asked who owns the section of vacant land south of the tracks. Mr. Locke replied that the Hennepin County Regional Rail Authority owns this parcel and their intent is to sell the parcel for transit oriented development and noted that the City purchased its site for redevelopment purposes with the thought of integrating the parcel with the County's parcel. Councilmember Sanger requested that staff provide Council with a drawing that shows the access points in this area and how traffic is going to get in and out from all directions. Councilmember Mavity expressed significant concern about the Preliminary Design Plans and stated the City has been working for many years with the neighborhoods about transit oriented development as well as access issues around Beltline and was disappointed that the plans show a mass of surface parking lots. She stated the City needs to present the SPO with an overlay that clearly shows what this is going to look like to make it work, adding that the plans do not address any of the circulation issues previously discussed by the City, including the circulation issues at Nordic Ware. Councilmember Sanger stated she met with Jim Brimeyer this morning and he provided her with a letter he presented to the Met Council and asked that copies be provided to Council and to Safety in the Park representatives. She stated that Council should have a discussion in the near future about the process for adding contingencies to the municipal consent resolution. Mr. Locke advised that staff has asked the SPO to provide the City with more specific information about what should and can be included in the City's municipal consent resolutions as Special Study Session Minutes -3- April 21, 2014 well as how the SPO envisions the City dealing with the joint development issue; in addition, staff has asked the City Attorney to comment on municipal consent in the context of State law. Councilmember Sanger advised that Mr. Brimeyer mentioned that he expected many of the communities would be attaching contingencies in their municipal consent resolutions and he stated he did not have a problem with that conceptually. Councilmember Brausen stated the City needs to focus on joint development funds related to the Beltline station and felt it would be key to include some affordable housing. He also felt that Park Nicollet should be brought into the conversation quickly in order to voice their opinion regarding the station location and to see if they are willing to make a financial commitment. It was the consensus of the City Council to set and publish notice for the public hearing with open house on May 19, 2014. 2. Review of City's Housing Goals Mr. Harmening presented the staff report. Ms. Schnitker presented the draft housing goals that were revised based on Council's conversation at its retreat and are intended to reflect where Council wants to focus its efforts and meet the needs of the community going forward. She also presented a report prepared by Maxfield Research that includes a comparison of the number of subsidized units to surrounding communities and includes demographic characteristics as background. Councilmember Sanger felt that the first bullet point under affordable housing (promote and facilitate a mix of housing types, prices, and rents suitable for households of all income levels including affordable housing for low and moderate income households) did not belong under the title of Affordable Housing because that statement encompasses all of the City's housing and the statement should be placed at the beginning of the policy or integrated into the first sentence of the policy. Councilmember Mavity suggested including a statement that states the City is committed to providing affordable housing throughout the community. Councilmember Brausen noted that the first bullet point under Affordable Housing references housing types, prices, and rents for households of all income levels. Ms. Schnitker stated the City's intent is that affordable housing should be disbursed throughout the City and not concentrated in any one area. Councilmember Sanger indicated the policy previously stated that mixed income units should be disbursed throughout the City and not concentrated in any one area or project and felt that statement needs to be placed back in the revised policy so that the City does not end up with projects that are all low income. Councilmember Mavity strongly disagreed and stated that it is often easier to do a building that is all affordable housing, which does not mean they are all one level of income and that does not represent concentration if you have sixty affordable units within a five block area of 1,000 units, adding that is how the financing for these projects works. Special Study Session Minutes -4- April 21, 2014 Councilmember Sanger stated the problem is that Council has approved too many high end apartment buildings and she did not want to go back to where there is a building with all low income and the building is not kept up, adding it has worked well in the past to have low income scattered in other buildings. Councilmember Mavity disagreed and felt this interpretation was too narrow. She stated that property management issues should be kept separate, adding that the majority of affordable housing providers are not projects that are run down. Councilmember Brausen agreed with Councilmember Mavity. Mr. Locke stated the draft policy is intended to focus on an area or sub-district as having a mix of housing and not all one type of housing, e.g., areas where there are 1,000 units of various buildings and types and perhaps 30-50 units that are some type of affordable housing. Councilmember Hallfin felt Council could all agree that it does not want affordable housing concentrated in any one area. Councilmember Mavity felt that the City's role was to create healthy balanced neighborhoods and not to be involved at a level that gets into the private financing of a project, adding she felt that level of involvement was overreaching and would not accomplish what the City is trying to do in having a strong and balanced community without concentrations of poverty. Councilmember Hallfin stated that Excelsior and Grand has scattered affordable housing and represents a model for what he would like to see the City do more of, adding that he felt the statement in the draft policy was sufficient. Mr. Harmening noted that if a proposed development includes an affordability component, the City will have a say in that and/or will need to support it in some way so Council retains the ability to review these types of projects on a case by case basis. Councilmember Hallfin noted that Council agreed at its retreat that City staff would have a conversation up front about affordable housing whenever a developer presents a project. Councilmember Sanger stated she was not sure that the fourth bullet point should state that the City promotes the inclusion of affordable housing, adding that having a conversation about the feasibility of including affordable housing was different than promoting it. Councilmember Brausen proposed including language in the policy to require affordable housing and felt if the policy does not contain this language, the market is not going to have to respond by including affordable housing in any project. He stated if affordable housing is required, developers will find a way to include it, otherwise, it is not going to happen and that is why the City is hundreds of units behind in meeting its Livable Communities goals. Councilmember Sanger indicated the City is doing a better job of including affordable housing than other communities and did not feel the City needed to be aggressive by requiring it. She questioned whether it was the City's job to require more affordable housing when peer communities are not doing their share. Special Study Session Minutes -5- Apnl 21, 2014 Councilmember Brausen referenced the cost burdens contained in the Maxfield report that about 30% of households are spending more than 30% of their income on housing and 40.8%of renters are spending more than 30% of their income on housing. He noted that 8.8% of households are below the poverty line, which is a reflection of the affordability of available rentals and felt that the City needed to set aggressive goals and demand that developers include affordable housing. Councilmember Mavity stated the City is already seeing the market respond to the anticipation of light rail based on the increase in the number of high end luxury units and if the City puts nothing in place, that is all the City will get and if the City does nothing, all the development proposals will be market rate. Mr. Hannening asked if it made sense to address housing development near the City's light rail stations where developers request some help from the City, adding that even if a developer wanted to do only market rate apartments, the City would have leverage to require them to include affordable housing or make a payment in lieu thereof. Councilmember Hallfin agreed that the housing policy should require affordable housing and include a process whereby the City retains the flexibility to approve a project without an affordable housing component. Councilmember Spano stated he was surprised that the City has more affordable housing units than its peer cities and questioned what Hennepin County is doing to push other cities to catch up. He stated he did not want to mandate more affordable housing units in the City, adding that he feared that some developer would offer the City significant cash to tear down Meadowbrook and build something else there and could not envision a scenario where he would support that, adding he supported the idea of developing targeted strategic decisions for affordable housing around the light rail stations and making sure people do not get pushed out of their neighborhoods. Councilmember Hallfin indicated the City has more affordable housing units because it has two areas of naturally occurring affordable housing, adding he would not object to someone replacing Meadowbrook with a percentage of affordable housing instead of being concentrated in one area. Councilmember Lindberg reminded Council that the City has done a good job of providing affordable housing. He stated he was not in favor of requiring developers to include affordable housing and supported including language that states the City promotes the inclusion of affordable housing,particularly around the light rail station areas. Mayor Jacobs expressed support for quality housing throughout the City and agreed that the City should require affordable housing around transit nodes, adding that he was not a huge fan of mandating but unless affordable housing is mandated in these areas, it will not happen. It was the consensus of the majority of the City Council to direct staff to draft language for Council consideration that speaks more specifically to focusing affordable housing opportunities around the light rail stations. The meeting adjourned at 7:29 p.m. i ( AA Nancy Stro Clerk Jeff Jacobs, ayor