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HomeMy WebLinkAbout2019/04/22 - ADMIN - Minutes - City Council - Study Session Official minutes City council study session St. Louis Park, Minnesota April 22, 2019 The meeting convened at 8:55 p.m. Councilmembers present: Mayor Jake Spano, Tim Brausen, Steve Hallfin, Rachel Harris, Anne Mavity, Thom Miller, and Margaret Rog. Staff present: City Manager (Mr. Harmening), Economic Development Coordinator (Mr. Hunt), Director of Community Development (Ms. Barton), Principle Planner (Ms. McMonigal), Planner (Ms. Monson), and Recording Secretary (Ms. Pappas). Guest: ESC Commission members: Ryan Griffin, Bridget Rathsack, Larry Kraft, Katie Christiansen, Nicole Ciulla; Dean Dovolis and Michael Margulies, DJR Architects. 1. Future study session agenda planning – May, 2019 Councilmember Mavity asked for a written report on the city’s housing activity as it relates to 23% AMI and below. Councilmember Rog asked if the STEP discussion is on hold until the Community Center is further discussed. Mr. Harmening stated yes. 2. Parkway Commons development proposal Mr. Dovolis presented the design proposal, stating Sela Group, LLC, the developer has acquired 12 properties along 31st Street to develop Parkway Commons. The proposed development includes 191 new residential multi-family apartment units in three buildings. The proposed development would also include the rehabilitation of two existing apartment buildings. Mr. Margulies explained the project area has 55 naturally occurring affordable housing (NOAH) units and the developer is proposing to demolish 41 of the units and renovate the remaining 14 units, keeping those rents affordable. Under the city’s inclusionary housing policy, the developer would be required to replace all existing NOAH units that are demolished . The developer is requesting a change from that requirement to reduce the number of new affordable units in the proposed project from 55 to 41, in consideration for keeping the 14 renovated units as affordable. Mr. Margulies stated the developer owns many other NOAH properties in St. Louis Park, and is also proposing to assist existing tenants in relocating to other apartments he owns within the city, or elsewhere, with similar apartments , similar rents, and financial assistance for relocation. Councilmember Rog stated after meeting with the developer several weeks ago, she is generally supportive of the project as it is, adding it’s a good location . She added more discussion needs to take place related to the 1 for 1 replacement of NOAH properties, as well as being aware of how this will fit into the city’s climate action plan. DocuSign Envelope ID: 28CE1EA8-0F03-4BDE-B8A3-E343204D4E0E Study session minutes -2- April 22, 2019 Councilmember Rog asked about building #4. Mr. Dovolis stated it is still in negotiations, and pointed out it will be located in the far southwest corner of the project. Councilmember Rog noted that 44% of the city’s residents are renters, and that contrary to the developers comments, where renters live, are neighborhoods too, and asked about congestion in the area and future plans. Mr. Dovolis stated they plan to include trails, sidewalks, and create more intimate space by changing the nature of the streets, and including bump outs, green space, and landscaping. Mr. Dovolis asked if the council would consider creating a connection there to France Avenue, to West 31st Street and if so, this could help alleviate congestion in the area as well. Councilmember Harris commented on stormwater management in the area . Mr. Dovolis stated there will be need for a storm system to deal with overflows and reduce water load from city streets. He added by reducing pavement areas to help with water management, operating costs go down, and while cars drive slower a better neighborhood feel is created. Councilmember Harris stated this resonates with the city’s living streets policy, and creating more green space in the area. She stated the project feels like a campus of housing and asked how many buildings would be owned and managed there. Mr. Dovolis stated that all the buildings are rental units and will be owned by the developer. Councilmember Harris noted the city’s affordable housing policy, adding th is project would be close to light rail transit and a shopping area, all within walking distance. She stated the city does not have a lot of affordable housing within proximity to these amenities, and it will be important to keep NOAH units in that location, especially with TIF taken into account here. Councilmember Miller said he supports the concept in general, adding this area can support density. He likes that the project is creating a neighborhood and asked what the city’s formal procedure is for determining the exact number of NOAH units. Ms. Monson stated this will be addressed when the developer submits the formal application. Councilmember Miller agreed with Councilmember Harris adding he wants this area to be as affordable as possible and to see affordability spread out across the city, not in pockets only. Councilmember Mavity reminded the council of the city’s inclusionary housing policy, which is a 25-year commitment, and must be indistinguishable from market units . She stated she does not want to put affordable housing in other properties instead of the one being considered for approval at that moment, and would want to find other ways to meet the inclusionary policy, such as going higher than 4 stories and reducing parking requirements, especially since there is close proximity to the light rail. Councilmember Mavity stated she is generally supportive of the concept, and would want to build higher, adding TIF would make sense here as well. Councilmember Brausen agreed with Councilmember Mavity. DocuSign Envelope ID: 28CE1EA8-0F03-4BDE-B8A3-E343204D4E0E Study session minutes -3- April 22, 2019 Councilmember Hallfin pointed out the house at 4015 Inglewood Ave. and stated this may be one of the oldest homes in St. Louis Park adding he wants the developer to be cognizant of that . He added he is in favor of the project and the density is fine. Mayor Spano also supported the project, adding he would also like the developer to look at mid-block crossings here. He appreciated the fact that the buildings are unique, and agreed about land use changes and TIF. Mayor Spano stated he supports the inclusionary housing policy and appreciates the creativity mentioned by the developer; however, he is reluctant to make exemptions for the ordinance. He noted one of the principle tenants of the housing ordinance is that folks will not be displaced and he does not want to push affordable housing into other various buildings and places in the outside of the city. It was the consensus of the council to support questions 1, 2, and 4, but to continue discussions related to question 3, affordable housing. 3. 2019 Work plan for Environment and Sustainability Commission Ms. Rathsack noted the commission’s 2019 work plan goals: a. Advising city council and staff on Climate Action Plan (CAP) and sustainability topics b. Business engagement in the city’s CAP c. Resident engagement in the city’s CAP d. CAP tracking and support Mr. Griffin stated the commission is very thankful for support from the council on the CAP ; however, they are frustrated things are not moving as fast as they could be. He stated there are several items that can be quick wins right now related to the CAP, including having the city purchase 100% renewable energy to offset energy use in municipal building – the EP3 policy which was unanimously adopted by the council in 2015. Additionally, Mr. Griffin noted the ESC requests that the council accelerate the energy benchmark ordinance and have the ordinance in place by the end of 2019. Thirdly, the ESC requests a monthly standing study session item be discussed by council to review CAP priorities and measures, with ESC involvement. Mr. Griffin stated the Roots and Shoots volunteers have begun to meet with city businesses; however, there is only so much that volunteers can do, and the city must make this a priority and engage staff and the council in this process. Ms. McMonigal added that staff is working with Twin West Chamber on a program reaching out and talking with businesses, including the city’s Environmental Coordinator. Councilmember Harris stated early conversations related to the CAP were very enthusiastic and she agreed the city needs to transition to clean energy sooner rather than later, and needs to demonstrate to businesses that the city is committed. She asked staff what it would take financially to convert the city to renewable energy and is it feasible to do it within the next 12 months. DocuSign Envelope ID: 28CE1EA8-0F03-4BDE-B8A3-E343204D4E0E Study session minutes -4- April 22, 2019 Ms. McMonigal stated staff has researched this and it would take an estimated $100,000 in costs per year to do this. Councilmember Harris stated this becomes a budget question then . Councilmember Harris asked about the process for benchmarking. Ms. McMonigal stated this would be the record keeping piece, and would be an ordinance that staff would ask the council to adopt. Mr. Griffin added there might be opportunities to provide incentives for businesses to purchase electricity, and this might need to be considered. Councilmember Harris stated she supports both the renewable energy and benchmarking requests of the ESC, but does not feel the council can include monthly reviews of the CAP priorities at this time. Councilmember Rog agreed with Councilmember Harris and asked if the ESC has a connection to the consultant. Ms. Rathsack stated the ESC has met twice with the consultant, and Mr. Griffin noted the consultant only presents at the commission meetings to communicate; however, it is not the goal of the consultant to meet CAP goals. Mr. Harmening noted part of the consultant’s duties are to have them help staff meet goals on the roadmap. Ms. McMonigal added the consultant will be at the May and June ESC meetings as well. Councilmember Mavity asked about the green purchasing policy and if it has been implemented. Mr. Harmening stated yes it had, and includes the city purchasing green products for cleaning. Councilmember Mavity noted that race equity has been implemented into the city’s day to day operations, and asked how staff is imbedding the CAP into its daily operations and budgeting. She stated the city needs to continue to move forward on this and hold itself accountable, and asked if it can be addressed in the upcoming budgetary meetings. Mr. Harmening stated yes, it will be discussed in upcoming budget discussions for 2020, and there is more to be done. He added the $100,000 per year might be better used as incentives to businesses. Councilmember Mavity noted, however, it will be difficult to ask businesses to do something that the city is not doing. She added she wants to understand more from the consultant. She also noted the council will not be able to meet once per month related to the CAP; however, she would like a 6-month check in with the ESC, and quarterly written reports. Councilmember Miller stated the renewable energy is a slam dunk, and if the city is spending millions on things that don’t meet goals, this can be one step. He also agrees with the benchmark ordinance and would prefer to meet more often for discussion . He stated he values the ESC and would like consistent feedback from them. Councilmember Miller stated we are not moving fast enough and he is frustrated as well. He added going from business to business DocuSign Envelope ID: 28CE1EA8-0F03-4BDE-B8A3-E343204D4E0E Study session minutes -5- April 22, 2019 with volunteers is not the way to do this, and the city must invest in order to get the commercial sector on board. Councilmember Brausen added this is the singular most important challenge for our generation to address, and he is willing to spend money in order to get to renewable energy, as well as incentivize. He stated this is a priority and he likes the benchmarking ordinance, adding this all needs to happen as soon as possible and must be built into the city’s budget. Councilmember Brausen added at some point, the city will need to require businesses through regulation to meet these requirements, and he is open to meeting with the ESC 2-3 times per year. Councilmember Hallfin asked about the budget’s discretionary funds and if any were available to use on these items. Mr. Harmening stated the discretionary funds were used on race equity and climate action. Councilmember Hallfin commented the city must lead by example and find a way to take care of the low-hanging fruit. He stated he appreciated the ESC coming forward with this information and would be open to meeting with them 1-2 times per year. Mayor Spano added the city cannot talk to the business community if they are not doing renewables. He stated the benchmarking ordinance needs to move forward, and he would like to see more information from the ESC on a regular basis, perhaps with a monthly written report and a quarterly meeting. He added he has a contact at Twin West that he will connect with further on these issues. It was the consensus of the council to support the ESC’s requests for Windsource and the benchmarking ordinance and to meet with the ESC once every 6 months and have a written report from the ESC every quarter. Communications/meeting check-in (verbal) Ms. Carrillo Perez has interviews set up for Monday, April 29 and May 6th, for potential HRC members. She will send out both applications again to the council for scoring of the two candidates. The meeting adjourned at 10:45 p.m. Written Reports provided and documented for recording purposes only: 4. Food security and access study 5. March 2019 monthly financial report 6. First quarter investment report (Jan-Mar 2019) ______________________________________ ______________________________________ Melissa Kennedy, City Clerk Jake Spano, Mayor DocuSign Envelope ID: 28CE1EA8-0F03-4BDE-B8A3-E343204D4E0E