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HomeMy WebLinkAbout2023/03/20 - ADMIN - Agenda Packets - City Council - RegularAGENDA MARCH 20, 2023 The St. Louis Park City Council is meeting in person at St. Louis Park City Hall, 5005 Minnetonka Blvd. in the council chambers located on 3rd floor. Members of the public can attend the meeting in person, watch by web stream at bit.ly/watchslpcouncil, or watch on local cable (Comcast SD channel 17/HD channel 859). You can provide comment on agenda items for the regular EDA or city council meetings in person or by emailing your comments to info@stlouispark mn.gov by noon the day of the meeting. Comments must be related to an item on the meeting agenda. Comments will be shared with the city council by provi ding copies for their review at the meeting. Public comment is generally not taken during study sessions. Recordings of city council meetings are available to watch on the city’s YouTube channel at https://www.youtube.com/user/slpcable, usually within 24 hours of the end of the council meeting or study session. 6:20 p.m. Economic Development Authority meeting 1.Call to order. a. Roll call. 2.Approve agenda. 3.Minutes. a.EDA meeting minutes of December 19, 2022. 4.Consent items. a.Resolution approving early start agreement with Beltline Station LLC. b.Resolution approving amendment to contract for private development with Beltline Station LLC. (Ward 1) 5.Public hearings – none. 6.Regular business – none. 7.Communications and announcements. 8.Adjournment. 6:30 p.m. City council meeting 1.Call to order a.Roll call. b.Pledge of Allegiance. 2.Approve agenda. 3.Presentations. a.Discover St. Louis Park update. b.Retirement recognition for Jeff Stevens. c.Proclamation honoring the beginning of Ramadan. d.Proclamation recognizing Mental Health Awareness month. e.Recognition of donations. Agenda EDA/city council meeting of March 20, 2023 4.Minutes. a.Study session minutes of October 24, 2022. b.Study session minutes of November 7, 2022. c.Study session minutes of November 28, 2022. d.Study session minutes of December 12, 2022. 5.Consent items – business that generally does not require discussion or separate action. Consent items are acted upon by one motion. If a separate vote is desired by either a council member or a member of the public, that item may be moved to an appropriate section of the agenda under regular business. a.Resolution accepting city manager's performance evaluation. b.Adopt ordinance amending city code chapter 36 pertaining to zoning. c.Approve professional services contract for the Cedar Lake Road improvement project (4023-1100) d.Award contract for reconstruction Aquila Park tennis courts. e.Accept grant from Park Nicollet Foundation to Fire department. f.Accept donation from Minnesota American Water Works Association g.Reject yard waste proposals and authorize staff to solicit yard waste collection RFP. h.Resolution recognizing retirement of Jeff Stevens, operations superintendent. i.Resolution authorizing grant application and execution of grant agreement for sanitary sewer lining projects. j.Resolution approving amendment to contract for private development with Beltline Station LLC (Ward 1). k.Bid tabulation: 2023 street maintenance (4023-1200) – Ward 4. l.Amend 2023 budget for the water utility fund and solid waste fund. 6.Public hearings – none. 7.Regular business – none. 8.Communications and announcements. 9.Adjournment. Immediately following regular council meeting – Special study session Discussion items 1. 60 min. Police officer recruitment and hiring strategies: Pathways to Policing Program 2. 30 min. 2023 Market value update 3. 30 min. Winter parking restrictions Written reports 4. Snow emergency exempt parking 5. January 2023 monthly financial report 6. February 2023 monthly financial report St. Louis Park Economic Development Authority and regular city council meetings are carried live on civic TV cable channel 17 and replays are frequent; check www.parktv.org for the schedule. The meetings are also streamed live on the internet at www.parktv.org, and saved for video on demand replays. If you need special accommodations or have questions about the meeting, please call 952.924.2505. Meeting: Economic development authority Meeting date: March 20, 2023 Minutes: 3a Unofficial minutes Economic Development Authority St. Louis Park, Minnesota Dec. 19, 2022 The meeting convened at 6:30 p.m. Councilmembers present: Mayor Jake Spano, Tim Brausen, Sue Budd, Lynette Dumalag, Larry Kraft, Nadia Mohamed, and Margaret Rog Councilmembers absent: none Staff present: City Manager (Ms. Keller), Economic Development Manager (Mr. Hunt), Community Development Director (Ms. Barton), Communications and Technology Director (Ms. Smith). Guests: Stacie Kvilvang, Ehlers 1. Annual TIF management update and pooled TIF policy discussion Ms. Kvilvang presented the staff report. Councilmember Rog asked what would be returned to developers in 2023 through TIF agreements, and what would be received in tax revenue to the city. Ms. Kvilvang stated if districts will be taken off, there would be nothing going to developers. Ms. Kvilvang added she does not have that number but can get that to the council. Councilmember Rog asked about the future tax capacity in TIF for the Beltline Station. Ms. Kvilvang stated it is not yet included as it is planned for future TIF. Councilmember Kraft asked if the increase in market value noted is for the whole community. Ms. Kvilvang stated yes, over the last 10 years. Councilmember Kraft referenced the city tax rate and asked if Hopkins is high, and Edina is low. Ms. Kvilvang stated when comparing a $300,000 home in Edina, and a $300,000 home in St. Louis Park, a person will pay more taxes in St. Louis Park, adding it is a lower tax rate in Edina because they have a bigger base to spread the tax across, per market value. Councilmember Budd asked about comparable cities. Ms. Kvilvang stated this is the comparable group that has been looked at historically, these cities are in redevelopment mode, they are similar in AAA rating, and they look at neighboring cities and demographics. Councilmember Mohamed stated Minnetonka and Edina have large malls and asked if sales tax has an impact. Ms. Kvilvang stated no, sales tax has no impact, it is only property tax valuation. Economic development authority meeting of March 20, 2023 (Item No. 3a) Page 2 Title: EDA meeting minutes of Dec. 19, 2022 Councilmember Mohamed asked why it is lower in Edina. Ms. Kvilvang stated this is how much tax capacity is captured in a TIF district, so in Edina they do not have as many TIF districts or as much value captured in TIF districts. Councilmember Rog asked if the legislature would extend the special legislation allowing cities to deposit pooled TIF into their affordable housing trust funds depending on their success. Ms. Barton stated that is the hope. Councilmember Kraft asked about the total numbers and if in 2021, the $2.125 is what was transferred in or the overall housing trust fund balance. Ms. Kvilvang stated that is what has been transferred in, which is only tax increment funds. Councilmember Kraft asked if there are any different restrictions versus the HRA levy. Ms. Barton stated yes, the HRA levy is more flexible, but once that is transferred into the affordable housing trust fund, the dollars are used the same as the pool of TIF dollars per the trust fund policy. A portion of the levy is transferred into housing rehab, which is a more flexible use. Councilmember Kraft asked about the money in TIF districts. Ms. Kvilvang stated it could be pooled and used for the needs of the district. She continued for redevelopment districts, it would have to be used for the elimination of blight and for housing, it would have to be used for affordable housing. Councilmember Kraft asked if districts can be decertified and then monies can be moved. Ms. Kvilvang stated the only ones that will decertify naturally are Victoria Ponds and Wolfe Lake. She noted the council can choose to decertify districts at any time. Councilmember Rog asked where blighted property is in the community. Ms. Kvilvang stated every time a redevelopment is created, there are inspections required and if the code deficiencies are more than 15% of the cost to construct the building new today, it is blighted. Councilmember Rog asked if this works against renovations of buildings. Ms. Kvilvang stated not necessarily, adding this is the state’s definition of blight. Councilmember Rog asked if these funds can be transferred into the general fund. Ms. Kvilvang stated no, adding the city has no authority to transfer the funds out of the TIF district except for special circumstances such as affordable housing needs. Councilmember Rog asked if education would receive $500,000-600,000 from this. Ms. Kvilvang stated no, adding the school districts are capped at $25,000 and are funded by the state on a per student basis. Councilmember Rog stated this is hard to understand and she would like further discussion on this topic. Councilmember Kraft added he is interested in this topic as well and pointed out Councilmember Rog had referred to the state education budget versus the city’s school district funding. Ms. Kvilvang explained the state set up this funding and have a budget they set for this. She added she can bring an expert from Ehlers in for further discussion on this issue. Economic development authority meeting of March 20, 2023 (Item No. 3a) Page 3 Title: EDA meeting minutes of Dec. 19, 2022 Councilmember Brausen noted this is based on forecasts the state already has set for education. Councilmember Kraft stated there is confusion about money at the state level for education and taxes collected for school districts, adding this needs further clarification. Councilmember Rog stated as elected officials, the councilmembers need to understand that if one-third of property tax is going for education and schools or not, then this needs to be clarified for residents. Mayor Spano stated this information already comes to residents on their county property tax statements. He stated the school district levies, residents, and the state have another way to tax on a per student rate. Councilmember Kraft asked if the return on increment is new. Ms. Kvilvang stated this has been an ongoing process, adding it is to help plan for the city’s capital budgeting process. Mayor Spano stated he has been through 11 of these discussions on TIF and it remains as complicated as ever. He encouraged Ehlers to think a bit more about competitive cities and not comparing St. Louis Park to Edina, Bloomington, and Golden Valley, all of which have many different characteristics as compared to St. Louis Park. He added the report presented is very long, and the policy questions are focused on means and not ends. He is less concerned with the policy questions and asked if these things are achieving goals of the city, and then let staff figure out the tools to get the city there. He is not interested in having someone come in to discuss how the school district is funded unless the school district has concerns about the impacts of the levies. Ms. Kvilvang stated Ehlers does not select the comparative cities, adding that staff and former council have selected them, noting that council can change those. Ms. Kvilvang added TIF is a tool to help the city meet their priorities and the question is, does the council want to continue with it. Councilmember Brausen stated he agrees with all the recommendations of Ehlers and staff, noting that in past years there was no affordable housing, and now the city has it. He stated 11% is tied up in TIF, but added it has been balanced, and some districts are expiring, while others are coming on, and the return on investment makes this worthwhile. He added imposing our climate action goals on developments work well with TIF, and he supports the recommendations. Councilmember Dumalag asked about blight and for clarification on this. Ms. Kvilvang stated it relates only to code deficiencies. Councilmember Dumalag referenced the Rise on 7 development and asked, because the past property was a church and was tax exempt if the baseline is zero. Ms. Kvilvang stated no, the baseline is never zero when it is placed into the TIF district. Economic development authority meeting of March 20, 2023 (Item No. 3a) Page 4 Title: EDA meeting minutes of Dec. 19, 2022 Councilmember Dumalag asked how TIF affects the city’s bond rating. Ms. Kvilvang stated they look at how the tax base is increasing, adding TIF is a good thing for the bond rating. Councilmember Dumalag stated she supports recommendations 1 and 2, adding TIF helps get the developments the city wants in areas they want it in. She added she likes how the city’s racial equity policy is included in TIF and sees this as a way for others to hire diverse contractors and help folks build wealth. Councilmember Kraft stated he appreciated the mayor’s thoughts on this and tying this into the housing development process. He stated the question of how much affordable housing should be in St. Louis Park and how much should be spent on affordable housing are both good to review, but these have not been adopted as goals. He added the amount of affordable housing added in the city is extraordinary but noted discussing 30% levels and setting policy goals are also important, as well as reviewing the status. Councilmember Kraft added there is a limit on how much the city can invest. He added he wants to look at how much the community invests in affordable housing annually, and how much the city government spends on this annually. He stated that money is collected and then it is spent, and the HRA levy and the TIF captured that goes to affordable projects is how this is collected. He noted of the $14.274 million of TIF that is coming in, about $7.2 million is associated with projects that have a significant affordable housing component. He stated there are opportunities to have a lower HRA levy this year and still have a tremendous amount of investment in affordable housing. Councilmember Kraft stated he agrees with recommendations 1a, b, c, and d, but noted it ties into the budget discussion. He stated he is a no on recommendation number 2. Councilmember Budd agreed with Mayor Spano’s comments, and noted the 24% stood out to her, adding this is something to be proud of. She stated she does not disagree with any of the recommendations adding it is a win-win and will support the recommendations. Councilmember Mohamed stated she supports 1a, b, c, and d. She asked who sets the spending plan. Ms. Kvilvang stated the city creates the spending plan and it can be related to any new development that comes in, with the staff recommendation she agrees with discussing with the school board and the effects of the levy and who gets what monies. She stated TIF is solely the primary tool that leads to affordable housing but noted there is not a lot of affordable housing for larger families or townhomes. Councilmember Rog asked why some developers cannot build without TIF and some can. Ms. Kvilvang stated the Roars Development was much more willing to not take TIF because they were interested in the property, the senior housing product type, and the financing structure, and sometimes this happens with developers, especially as it relates to affordable housing. Councilmember Rog stated that possibly, we are too generous in our city with TIF, and developers come to build here, which may not be a bad thing, but there are impacts on taxpayers and cost burdens for seniors, especially due to maintenance and taxes. She stated she does not have enough knowledge on TIF, and while there are many affordable housing Economic development authority meeting of March 20, 2023 (Item No. 3a) Page 5 Title: EDA meeting minutes of Dec. 19, 2022 projects coming up, many are studio and 1-bedroom units. She is not sure this is the best tradeoff for the tax impact. She asked if this is the proper tool for the community – adding she struggles with the but-for clause. Councilmember Rog added the city is very desirable to build in and it can be competitive, adding there is interest here. She asked about recommendation 1d and the spending plan and if that is increasing the amount of TIF provided to developers. Ms. Kvilvang stated it puts TIF dollars into a bucket to give the city more flexibility. Councilmember Rog stated she agrees with all the recommendations under the current conditions with the understanding that more discussions will take place on the use of TIF. It was the consensus of the council to have the discussion with the school board about TIF and levies. Mayor Spano stated for comparable cities he would like to see less from a geographic perspective and more of an apples-to-apples comparison and would like to hear that from staff in providing context related to population, properties. Councilmember Brausen stated he would like to see Roseville, Brooklyn Park, and Brooklyn Center, and added he’d like to continue to see the ones shown as well. Written Reports 2. Quarterly development update – 4th Quarter 2022 3. City Service impacts of new development Councilmember Rog referenced the city services impacts of new development report noting it is hard to believe there are zero cost impacts on city services. Ms. Barton stated there are impacts and costs as well as benefits, so there is a balance. Councilmember Rog added with TIF she is focused on tax burden and has concerns about if the city is adding to expenditures for city services and then adding onto the tax bill. Councilmember Brausen stated he appreciated the fact that staff does the analysis of all the costs in a development. He noted his property tax value went up this year, and if the general levy is increased by 8%, his social security will go up by 9%, so he will be covered. Councilmember Kraft added TIF has been a useful tool for the city and the results have been phenomenal for affordable housing but noted sometimes the analysis can be a bit too rosy, adding it is hard to back this on anything. Mayor Spano stated the concern is whether we are getting enough for all the development the city is doing. He stated many things can be quantified such as police and fire calls. He also noted that more federal funding is available to the city because the population has increased over 50,000, which would not have been there if not for this development and growth. 4. Third quarter investment report (July – Sept. 2022) Economic development authority meeting of March 20, 2023 (Item No. 3a) Page 6 Title: EDA meeting minutes of Dec. 19, 2022 5. Sept. 2022 monthly financial report Communications/meeting check-in (verbal) Mayor Spano encouraged all to vote in the coming election. He also noted the Twin Cities Film Fest is open and running. Ms. Keller stated the MN Wild are going to practice at the ROC on Nov. 5 at 10:30 a.m., and no are tickets needed. Polestar showroom grand opening is Thursday from 6-8 p.m. The meeting adjourned at 8:10 p.m. ______________________________________ ______________________________________ Melissa Kennedy, city clerk Jake Spano, mayor Meeting: Economic development authority Meeting date: March 20, 2023 Consent agenda item: 4a Executive s ummary Title: Resolution approving early start agreement with Beltline Station LLC Recommended action: Motion to adopt Resolution approving the early start agreement between the EDA and Beltline Station LLC. Policy consideration: Does the EDA wish to permit Sherman Associates to perform specified site cleanup work on the Beltline Station redevelopment site prior to the EDA’s property transfer? Summary: In June 2022, the EDA entered into a Purchase Agreement with Beltline Station LLC for its property at the southeast corner of Beltline Boulevard and Hwy 7 on which the approved Beltline Station Development is to be constructed. The purchase agreement was amended in December 2022 and requires land closing with the EDA no later than June 20, 2023, to coincide with the final bond closing for the development’s all-affordable component. Financial closing and property acquisition is anticipated to occur in May 2023. A portion of the development funding pertaining to site cleanup provided by the Minnesota Department of Employment and Economic Development (DEED) requires the contamination cleanup work to begin no later than April 1, 2023. If work is not started by that date, DEED could rescind the grant. As such, the developer requests an early start agreement to commence remediation on the EDA property prior to full financial closing and property acquisition. To retain the DEED grant, staff and Kennedy and Graven, the EDA’s legal counsel, recommend the EDA approve an early start agreement to allow cleanup activities to begin on the northeast parcel of the site by April 1st. The EDA’s legal counsel is supportive of the proposed agreement as cleanup work poses no significant liability to the EDA. Financial or budget considerations: There are no financial impacts to the EDA to allow the early start agreement and under the approved Redevelopment Contract dated July 7, 2022, the Redeveloper is wholly responsible for the cost of the site’s environmental cleanup. Strategic priority consideration: St. Louis Park is committed to providing a broad range of housing and neighborhood oriented development. Supporting documents: Resolution Prepared by: Jennifer Monson, redevelopment administrator Reviewed by: Greg Hunt, economic development manager Karen Barton, community development director, EDA executive director Approved by: Kim Keller, city manager Economic development authority meeting of March 20, 2023 (Item No. 4a) Page 2 Title: Resolution approving early start agreement with Beltline Station LLC EDA Resolution No. 23-_____________ Resolution approving a right of entry agreement with Beltline Station Limited Partnership Be it resolved by the Board of Commissioners (the “Board”) of the St. Louis Park Economic Development Authority (the “Authority”) as follows: Section 1. Recitals; Authorization. (a) The Authority and the City of St. Louis Park, Minnesota (the “City”) are the owners of certain real property located within the City (the “Property”). The parcels owned by the City will be conveyed to the Authority. (b) The Authority and Beltline Development LLC, a Minnesota limited liability company (“Beltline Development”), entered into a Purchase Agreement, dated July 7, 2022, as amended by the First Amendment to Purchase Agreement, dated December 5, 2022 (collectively, the “Purchase Agreement”), to acquire the Property from the Authority. The Purchase Agreement will be partially assigned by Beltline Development to Beltline Station Limited Partnership, a Minnesota limited partnership (“Beltline Station”). (c) The Authority and Beltline Station entered into a Contract for Private Development, dated July 7, 2022 (the “Contract”), pursuant to which Beltline Station agreed to develop a portion the Property by constructing an affordable multifamily housing development. The Contract requires Beltline Station to perform certain contamination cleanup on the Property in accordance with the State of Minnesota Contamination Cleanup Grant Contract Agreement, Grant Contract Agreement No.: CCGP -21-0022-Z-FY22 (the “Grant Contract”) between the State of Minnesota and the Authority. (d) The Authority propose to allow Beltline Station, Beltline Development, or another affiliate thereof or entity related thereto and their employees, officers, contractors, subcontractors, representatives, and agents to enter the Property in order to commence the work described in the Grant Contract (the “Cleanup Activities”). (e) The Authority and Beltline Station have negotiated a Right of Entry Agreement (the “Agreement”), a form of which is on file with the Board, setting forth the terms under which Beltline Station may enter the Property. Section 2. Approval of Agreement. (a) The Board approves the Agreement in substantially the form presented to the Board, together with any related documents necessary in connection therewith, including without limitation all documents, exhibits, certifications, or consents referenced in or attached to the Agreement (the “Documents”). (b) The Board hereby authorizes the President and Executive Director, in their discretion and at such time, if any, as they may deem appropriate, to execute the Documents on Economic development authority meeting of March 20, 2023 (Item No. 4a) Page 3 Title: Resolution approving early start agreement with Beltline Station LLC behalf of the Authority, and to carry out, on behalf of the Authority, the Authority’s obligations thereunder when all conditions precedent thereto have been satisfied. The Documents shall be in substantially the form on file with the Authority and the approval hereby given to the Documents includes approval of such additional details therein as may be necessary and appropriate and such modifications thereof, deletions therefrom and additions thereto as may be necessary and appropriate and approved by legal counsel to the Authority and by the officers authorized herein to execute said documents prior to their execution; and said officers are hereby authorized to approve said changes on behalf of the Authority. The execution of any instrument by the appropriate officers of the Authority herein authorized shall be conclusive evidence of the approval of such document in accordance with the terms hereof. This resolution shall not constitute an offer and the Documents shall not be effective until the date of execution thereof as provided herein. (c) In the event of absence or disability of the officers, any of the documents authorized by this resolution to be executed may be executed without further act or authorization of the Board by any duly designated acting official, or by such other officer or officers of the Board as, in the opinion of the City Attorney, may act in their behalf. Upon execution and delivery of the Documents, the officers and employees of the Board are hereby authorized and directed to take or cause to be taken such actions as may be necessary on behalf of the Board to implement the Documents. Section 3. Effective date. This resolution shall be effective upon approval. Reviewed for Administration: Adopted by the Economic Development Authority March 20, 2023 Karen Barton, executive director Nadia Mohamed, president Attest Melissa Kennedy, secretary Meeting: Economic development authority Meeting date: March 20, 2023 Consent agenda item: 4b Executive s ummary Title: Resolution approving amendment to contract for private development with Beltline Station LLC (Ward 1) Recommended action: Motion to adopt Resolution approving a first amendment to the contract for private development related to the affordable component of the Beltline Station Development. Policy consideration: Does the EDA wish to approve the first amendment to the contract for private development with Beltline Station LLC (an affiliate of Sherman Associates) to adjust the development’s construction commencement and completion dates? Summary: In June 2022, the EDA approved a Purchase Agreement with Beltline Station LLC (“Redeveloper”) for the sale of the Beltline Station development site (located at the southeast quadrant of Highway 7 and Beltline Boulevard) as well as a Contract for Private Development for the development’s 82-unit all-affordable component. Under the development contract, construction of the affordable building was to commence by January 31, 2023 and be completed by December 31, 2024. However, per the purchase agreement, a reciprocal easement and operating agreement (REOA) for the public/private parking ramp on the development site between the Redeveloper and the Metropolitan Council is required to be in its final form prior to the EDA’s sale of the property to the Redeveloper. While significant progress has been made to date on an REOA acceptable to all parties, more time is needed to complete it. Additionally, supply chain issues pertaining to the major force sewer mains on the development site required a delay in the construction commencement of the affordable building. Given the above, staff and the EDA’s legal counsel recommend the EDA amend the contract for private development to require construction of the affordable component to commence by July 13, 2023 and be completed by June 30, 2025. Financial or budget considerations: There are no financial implications for the EDA relative to the proposed amendment. Strategic priority consideration: St. Louis Park is committed to providing a broad range of housing and neighborhood oriented development. Supporting documents: Resolution Prepared by: Jennifer Monson, redevelopment administrator Reviewed by: Greg Hunt, economic development manager Karen Barton, community development director, EDA executive director Approved by: Kim Keller, city manager Economic development authority meeting of March 20, 2023 (Item No. 4b) Page 2 Title: Resolution approving amendment to contract for private development with Beltline Station LLC (Ward 1) EDA Resolution No. 23-_____________ Resolution approving a first amendment to contract for private development with the City of St. Louis Park and Beltline Station Limited Partnership Be it resolved by the Board of Commissioners (the “Board”) of the St. Louis Park Economic Development Authority (the “Authority”) as follows: Section 1. Recitals; Authorization. (a) The Authority, the City of St. Louis Park, Minnesota (the “City”), and Beltline Station Limited Partnership, a Minnesota limited partnership (the “Developer”), entered into a Contract for Private Development, dated July 7, 2022 (the “Original Agreement”), pursuant to which the Developer agreed to acquire certain property located in the City (the “Development Property”) and construct thereon approximately 82 units of multifamily rental housing together with approximately 59 underground parking spaces (the “Minimum Improvements”). (b) In connection with the execution of the Original Agreement, the Authority and the Developer executed a Minimum Assessment Agreement, dated July 7, 2022 (the “Original Assessment Agreement”), setting forth the assessor’s minimum market value for the Development Property and the Minimum Improvements constructed thereon. (c) The Authority, the City, and the Developer have negotiated a First Amendment to Contract for Private Development (the “First Amendment to Agreement”), a form of which is on file with the Board, which amends the Original Agreement to extend the dates of commencement and completion of construction of the Minimum Improvements. (d) Based on the extension of the construction commencement and completion dates, the Authority and the Developer have also negotiated an Amended and Restated Minimum Assessment Agreement (the “Amended and Restated Assessment Agreement”), which amends, restates, and replaces the Original Assessment Agreement. (e) The Board has reviewed the First Amendment to Agreement, including an Amended and Restated Assessment Agreement and finds that the execution thereof and performance of the Authority’s obligations thereunder are in the best interest of the City and its residents. Section 2. Approval of Documents. (a) The Board approves the First Amendment to Agreement in substantially the form presented to the Board, together with any related documents necessary in connection therewith, including without limitation all documents, exhibits, certifications, or consents referenced in or attached to the First Amendment to Agreement, including the Amended and Restated Assessment Agreement (the “Documents”). Economic development authority meeting of March 20, 2023 (Item No. 4b) Page 3 Title: Resolution approving amendment to contract for private development with Beltline Station LLC (Ward 1) (b) The Board hereby authorizes the President and Executive Director, in their discretion and at such time, if any, as they may deem appropriate, to execute the Documents on behalf of the Authority, and to carry out, on behalf of the Authority, the Authority’s obligations thereunder when all conditions precedent thereto have been satisfied. The Documents shall be in substantially the form on file with the Authority and the approval hereby given to the Documents includes approval of such additional details therein as may be necessary and appropriate and such modifications thereof, deletions therefrom and additions thereto as may be necessary and appropriate and approved by legal counsel to the Authority and by the officers authorized herein to execute said documents prior to their execution; and said officers are hereby authorized to approve said changes on behalf of the Authority. The execution of any instrument by the appropriate officers of the Authority herein authorized shall be conclusive evidence of the approval of such document in accordance with the terms hereof. This resolution shall not constitute an offer and the Documents shall not be effective until the date of execution thereof as provided herein. (c) In the event of absence or disability of the officers, any of the documents authorized by this resolution to be executed may be executed without further act or authorization of the Board by any duly designated acting official, or by such other officer or officers of the Board as, in the opinion of the City Attorney, may act in their behalf. Upon execution and delivery of the Documents, the officers and employees of the Board are hereby authorized and directed to take or cause to be taken such actions as may be necessary on behalf of the Board to implement the Documents. Section 3. Effective date. This resolution shall be effective upon approval. Reviewed for Administration: Adopted by the Economic Development Authority March 20, 2023 Karen Barton, executive director Nadia Mohamed, president Attest Melissa Kennedy, secretary Meeting: Study session Meeting date: March 20, 2023 Presentation: 3a Executive s ummary Title: Discover St. Louis Park (DSLP) update Recommended action: No action required. Becky Bakken, President & CEO of Discover St. Louis Park, will be in attendance to provide an annual update on the activities of our destination marketing organization. Summary: Every year Discover St. Louis Park prepares an annual report on the state of the local tourism industry, their activities, and results. The mission of Discover St. Louis Park is to enhance St. Louis Park and Golden Valley’s economy, image, and quality of life by promoting the area as a prime meeting and visitor destination. Ms. Bakken will provide a summary of 2022 activity, including economic impacts, employment trends, and performance statistics of nine (9) hotel properties in the area. Financial or budget considerations: Pursuant to state law (M.S. 469.190) a 3% lodging tax is collected on applicable short-short term rentals. The city retains five percent of the lodging tax proceeds collected each month. State law requires that 95% of the gross proceeds from any lodging tax imposed be used to fund a local convention or tourism bureau for the purpose of marketing and promoting the city as a tourist or convention center. Strategic priority consideration: St. Louis Park is committed to creating opportunities to build social capital through community engagement. Supporting documents: 2022 DSLP Year-End presentation 2022 Year-End Marketing report 2022 Year-End Business Development Summary Prepared by: Melissa Kennedy, city clerk Reviewed by: Kim Keller, city manager 11 Around here, life is SWEET! City council meeting of March 20, 2023 (Item 3a) Title: Discover St. Louis Park (DSLP) update Page 2 TWO GREAT CITIES. ONE SWEET DESTINATION! City council meeting of March 20, 2023 (Item 3a) Title: Discover St. Louis Park (DSLP) update Page 3 City council meeting of March 20, 2023 (Item 3a) Title: Discover St. Louis Park (DSLP) update Page 4 M.S. 469.190 Local Lodging Tax Ninety-five percent of the gross proceeds from any tax imposed under subdivision 1 shall be used by the statutory or home rule charter city or town to fund a local convention or tourism bureau for the purpose of marketing and promoting the city or town as a tourist or convention center. Minnesota State Statute Discover St. Louis Park is a non-profit organization 501 (c) 6, governed by a board of directors. City council meeting of March 20, 2023 (Item 3a) Title: Discover St. Louis Park (DSLP) update Page 5 City council meeting of March 20, 2023 (Item 3a) Title: Discover St. Louis Park (DSLP) update Page 6 City council meeting of March 20, 2023 (Item 3a) Title: Discover St. Louis Park (DSLP) update Page 7 Tourism in Minnesota -2020 2020 Travel Spending in MN decreased 8.6 billion (Nearly half of 2019) Hospitality Employment decreased 73,000 (-27%) Hospitality Employment Losses by Sector (2020) •Food & Drink •Accommodations •Arts, Entertainment, Recreation •Total Private Sector (for comparison) Leisure travel has led the way to recovery. Business travel has been much slower to return. -23% -37% -36% -7% City council meeting of March 20, 2023 (Item 3a) Title: Discover St. Louis Park (DSLP) update Page 8 Nine Hotel Properties We track the performance of Discover St. Louis Park hotels on a monthly basis: •AC Hotel by Marriott West End •Courtyard by Marriott Minneapolis West •DoubleTree by Hilton Minneapolis-Park Place •Holiday Inn Express-Golden Valley •Homewood Suites by Hilton West End •Minneapolis Marriott West •Ramada Minneapolis Golden Valley •SpringHill Suites by Marriott-Minneapolis West •TownePlace Suites Minneapolis West 8 City council meeting of March 20, 2023 (Item 3a) Title: Discover St. Louis Park (DSLP) update Page 9 Discover St. Louis Park –Lodging Tax St. Louis Park and Golden Valley Combined 0.00 20,000.00 40,000.00 60,000.00 80,000.00 100,000.00 120,000.00 140,000.00 160,000.00 2019 2020 2021 2022 City council meeting of March 20, 2023 (Item 3a) Title: Discover St. Louis Park (DSLP) update Page 10 0.0% 10.0% 20.0% 30.0% 40.0% 50.0% 60.0% 70.0% 80.0% U.S.Minnesota MSP Metro Minneapolis Discover St. Louis Park OCCUPANCY –MONTHLY COMPARISON City council meeting of March 20, 2023 (Item 3a) Title: Discover St. Louis Park (DSLP) update Page 11 Year End Occupancy 2022 77% 74%72%72% 68%68%66%66%64%64% Minneapolis Denver Total US Indianapolis Chicago Milwaukee Kansas City Louisville Columbus S t. Louis Minneapolis City council meeting of March 20, 2023 (Item 3a) Title: Discover St. Louis Park (DSLP) update Page 12 Year End Occupancy 2019 77% 74%72%72% 68%68%66%66%64%64% Minneapolis Denver Chicago Indianapolis Milwaukee Minneapolis Columbus Total US St. Louis Kansas City Louisville City council meeting of March 20, 2023 (Item 3a) Title: Discover St. Louis Park (DSLP) update Page 13 DSLP Lodging Tax Summary $357,589 $860,761 $978,573 $1,226,779 $1,268,815 $- $200,000 $400,000 $600,000 $800,000 $1,000,000 $1,200,000 $1,400,000 2016 2017 2018 2019 2020 2021 2022 +32,538 +117,812 $645,101 $1,123,087 -911,226 +477,986+207,389 +42,036 +287,512 Down $145,728 from 2019 City council meeting of March 20, 2023 (Item 3a) Title: Discover St. Louis Park (DSLP) update Page 14 City council meeting of March 20, 2023 (Item 3a) Title: Discover St. Louis Park (DSLP) update Page 15 •Tourism generated $37 million in lodging spending in 2022 and another $149 million in visitor spending throughout our communities. •Tourism generates vitality. It employs a high volume of people and supports existing businesses, while stimulating the development of new business and event opportunity. 15 Economic Impact 2022 25% 20% 16% 16% 16% 7% Travel Spending by Sector Food & Beverage Lodging Retail Transportation Recreation Other City council meeting of March 20, 2023 (Item 3a) Title: Discover St. Louis Park (DSLP) update Page 16 Questions? City council meeting of March 20, 2023 (Item 3a) Title: Discover St. Louis Park (DSLP) update Page 17 2022 Year-End Marketing Report Website •Audience - 2022 performance vs 2021 (and 2019) o 94,543 users vs 31,130 – 204% increase over last year (135% better than 2019)) o 110,232 sessions vs 35,420 – 211% increase (139% over 2019) o 228,041 pageviews vs 54,797 – 316% increase (217% over 2019) o 1:18 avg. session duration vs :53 – 47% increase (58% over 2019) o 2.08 pages per session vs 1.54 – 35% increase (32% over 2019) o Bounce rate is down 5% (down 8% from 2019) •Acquisition o 43% Organic search o 25% Email o 15% Direct •Behavior (Most visited webpages) o Home page – 10% (21,197 pageviews) o Experiences, Arts & Entertainment – 9% (19,095 pageviews) o Events, MinnesoThai Street Food Festival – 4.2% (9,235 pageviews) o Experiences, Adam Turman Artventure – 3.9% (8,574 pageviews) o Other top pages include: Restaurants, Spectator Sports, Perfect Patio Places (blog), Event Calendar, July 4th Fireworks, Schaper Park, Walkable Neighborhoods – The West End, and Live Music. (Average time on page is over 1:30 and often higher.) Special Offers has had 1,619 visitors with an average time on page of 3:13. Social Media •Instagram – 1,710 followers, 12% increase over 2021 o 72.8% women, 27.2% men o 33.2% St. Louis Park, 10.1% Minneapolis, 3.2% Minnetonka, 2.1% Golden Valley, 2% Edina o Top 10 Posts Feb 8 – La Bodega Taco Bar is now open – 931 reached June 22 – Check out all the cool AT merch you can win (reel) – 926 reached June 27 – Meet Oscar the Oriole (reel) – 3,319 reached July 6 – Meet Paul & Babe at Brookview (reel) – 2,896 reached Aug 9 – Urban Wok grand opening – 820 reached Sept 12 – MinnesoThai Street Food Festival is this weekend – 849 Sept 16 - MinnesoThai Street Food Festival starts tomorrow – 876 Sept 20 – Sato Sushi kosher restaurant now open – 807 reached Nov 9 – Head to the reimagined Texa-Tonka Shopping Center – 956 reached •Facebook – 9,612 followers, 2% increase over 2021 o 69.1% women, 30.9% men City council meeting of March 20, 2023 (Item 3a) Title: Discover St. Louis Park (DSLP) update Page 18 o 13.5% St. Louis Park, 11.7% Minneapolis, 3.1% St. Paul, 2.3% Chicago, 2.1% Minnetonka, 1.7% Winnipeg, 1.4% Duluth o Top 10 Posts April 6 – Hold the Wheat is now open – 4,322 reached June 1 – Introducing the Art of Adam Turman Artventure – 19,315 reached June 2 – Meet Lucette the Lumberjill – 4,039 reached June 15 –Week 2 Winner – 3,499 reached June 27 – Oscar the Oriole – 3,319 reached July 6 – Week 5 Winner – 2,811 reached July 6 – Meet Paul and Babe – 2,896 reached July 11 – Meet Jerry the Filmmaker – 2,700 reached Aug 29 – Last week to explore the Artventure – 3,520 reached Nov 9 – Head to the reimagined Texa-Tonka Shopping Center – 3,795 reached •Twitter – 1,285 followers, same as 2021 o Top 8 Tweets May 17 – World Baking Day / Honey & Rye – 1,666 impressions June 27– Meet Oscar the Oriole – 2,132 impressions Aug 1 – Meet Billie the Barred Owl – 1,497 impressions Aug22 – Only 2 weeks left for Adam Turman Artventure – 1,526 impressions Sept 20 – Sato Sushi & American Fusion is now open – 1,425 impressions Sept 12 – MinnesoThai is this weekend – 2,082 impressions Oct 18 – TCFF opens Thursday – 1,360 impressions Nov 9 – Head to the re-imagined Texa-Tonka – 1,501 impressions •TikTok – New this winter, 5 followers o Currently have 8 TikTok videos with 16 more to come. We are working on growing this channel. Print Advertising •2022 Explore Minnesota Official Visitors Guide •2022 Minneapolis Official Visitors Guide – CVB special section •Minnesota Monthly o Jan/Feb Winter Wonders, March April Spring Bucket List, Ultimate Travel Guide, and Nov/Dec Winter Fun Destinations •Minnesota Meetings & Events o Summer & Fall, with bonus leaderboard ads on digital versions; featured vendor in newsletter, May through December •Twin Cities Business o Feb/March – TCB Resource Guide; Jun/July – Venue Guide Radio •70 spots (:30 sec) on KFAN, March 23 – May 6: 392,000 impressions •70 spots (:30 sec) on KOOL 108 (broadcast + streaming), Nov 21 – Dec 23: 604,000 impressions City council meeting of March 20, 2023 (Item 3a) Title: Discover St. Louis Park (DSLP) update Page 19 Billboards •Duluth: Feb 14 – April 10, 2nd most prominent board at entrance to tourist district o Two Great Cities, One Sweet Spot messaging o 242,383 impressions/week, 1.9 million total impressions •Fargo/Moorhead: Feb 1 – March 31, on I-94 as you head toward the Twin Cities o Two Great Cities, One Sweet Spot messaging o 176,295 impressions/week, 1.4 million total impressions •Duluth: Aug 1 – Aug 28, I-35 at 4823 W Superior o Adam Turman Artventure o 158,508 impressions/week, 634,032 total impressions Eblasts •Women’s Final Four NCAA Basketball Campaign) – March 29 o 40K emails each to Stanford, UConn, Louisville and South Carolina o Open rates of 21.08% to 25.37% and CTR’s (click thru rate) of 2.48 – 3.29% o Over 4,500 website visitors •Adam Turman Artventure # 1 – June 1 o 300K recipients in greater MN, ND, SD and IA – 17.24% open rate, 2.99% CTR o 30K recipients in the metro area – 19.83% open rate, 2.89% CTR o Just under 10,000 website visitors •Adam Turman Artvenure #2 – July 20 o 200K recipients in greater MN, ND, SD and IA – 21.5% open rate, 2.1% CTR o 4,200 website visitors •Event Email, MinnesoThai and Twin Cities Film Fest – Sept 8 o 100K recipients in greater MN (Duluth, St. Cloud, Moorhead, Rochester, Mankato) o 24% open rate, 2.17% CTR; over 2,000 website visitors •A Sweet Winter Getaway – Dec 6 o 150K recipients – ND, SD, IA and WI o 19.7% open rate, 2.43% CTR; over 3,600 website visitors Avg. open rate is 12-15% and avg. CTR is 1.75-2%. Google DMO Program & Street View/360 Audited and updated/corrected Google listings for over 200 businesses in SLP and GV. Virtual Google Business training webinar for local business owners in March and September. Worked with Miles Partnership to create photos/street view tours/and 360-degree images of popular locations in St. Louis Park & Golden Valley. Images were uploaded to Google profiles. Influencers •Contracted with SHRPA, a platform that matches DMO’s with influencers o 27 influencer itineraries have been created to date. •Worked with Explore MN Tourism to host an Accessible Travel Influencer – “Curb Free with Cory Lee” – Cory visited Westwood Hills Nature Center and REM5 VR Lab with rave reviews. Cory has 37K followers on Facebook and 31.2K followers on Instagram. Print Projects •Updated DSLP “Map of Dining & Attractions.” Maps were distributed to all 9 hotels. City council meeting of March 20, 2023 (Item 3a) Title: Discover St. Louis Park (DSLP) update Page 20 •Placed framed QR codes at each hotel, as well as key locations (e.g., Rec Center, Brookview, City Halls, Citizens Independent Bank) to drive people to our website. o 185 scans to date Adam Turman Artventure - Received Explore Minnesota Tourism’s Marketing Campaign of the Year Award for 2022 Display Advertising Campaign •Geo-fencing campaign: 966,000 impressions, .12% CTR (benchmark average is .03-.05%) o 949 resulting visits: 360 hotel visits, 589 visits to character locations •StarTribune.com campaign: 400,000 impressions, .07 CTR •Website retargeting campaign: 140,000 impressions, .24% CTR •1,191 additional view-thru conversions (i.e., saw the ad, didn’t click, but went to website) Adam Turman Artventure Media Coverage Total Local TV Audience: 33,763 ● Total Online Audience: 1,288,475 ● Total Publicity Value: $104,702 •Patch.com, June 2 •Minnesota Parent, June 17 – homepage featured article (for 1 week) and then ongoing during June, article in their newsletter to 30K subscribers •Sun Sailor (SLP paper) – June 23, print edition; June 29, website homepage feature •Sun Post (GV paper) – June 23, print edition; June 29, website homepage feature •WCCO Live Interview – June 24 •CCX Media Interview, Part 1 – June 27 •Star Tribune – June 28, featured on the front and back covers of the Variety section •CCX Media Interview, Part 2 – July 2 •NewsBreak.com (national reach) – July 2 •DailyAdvent.com (national reach) – July 9 •KARE11 Interview – July 10 •The Current – Aug 11 Adam Turman Artventure Promotions •From May 31 – Sept 5, Facebook reach was up 2300% (234,979), Instagram reach was up 2100% (51,954). Profile visits were up 332.6% on Facebook and we picked up 132 new followers. On Instagram profile visits were up 188.1% and we picked up 125 new followers. •Paid Facebook and Instagram advertising, July 15 – Sep 5: 846,544 impressions, 271,868 reached, 2,958 post engagements, 4,170 clicks, 2,115 website sessions. •City of SLP and City of GV made social media posts for us, plus SLP also posted on Nextdoor. •Quirky Minnesota Places, Twin Cities Kids Club, Access Hopkins and Minnesotan’s Spotlight on the Arts shared our social media posts. •Emails were sent to area business owners to encourage participation. •Minneapolis Regional Chamber included an announcement in the Chamber Insider Newsletter •Posters in the community - SLP & GV libraries and area businesses – 87 QR code scans •Artventure slide at ShowPlace ICON Theatre shown before every movie for July & August. •Listed on Explore Minnesota Tourism Calendar of Events – under Arts & Theater Events •QR Codes on the Artventure characters were scanned 586 times by the end of the promotion. That number is now up to 641 as the characters remain in the community. City council meeting of March 20, 2023 (Item 3a) Title: Discover St. Louis Park (DSLP) update Page 21 2022 Year-End Business Development Summary January 1 – December 31, 2022 LEAD COUNT ROOM NIGHTS Discover St. Louis Park – Internal/Partnership (IDSS) 346 26,810 CVENT - Partnership 59 32,118 MN Sports & Events Partnership 32 297,039 TOTAL 437 1,260,037 CVENT Yearly RFP Activity YEAR LEAD COUNT ROOM NIGHTS 2022 59 32,118 2021 12 6,798 2020 29 14,335 2019 42 21,915 Event Activity EVENT MinnesoThai Slavic Experience MyHockey Quadball Tournament City council meeting of March 20, 2023 (Item 3a) Title: Discover St. Louis Park (DSLP) update Page 22 Meeting: City council Meeting date: March 20, 2023 Presentation: 3b Executive s ummary Title: Jeff Stevens retirement recognition Recommended action: Read resolution and present plaque to Jeff for his years of service to the City of St. Louis Park. Policy consideration: None at this time. Summary: City policy states that employees who retire or resign in good standing with over 20 years of service will be presented with a resolution from the mayor, city manager and city council. Jeff will be in attendance for the presentation at the beginning of the meeting. The mayor is asked to read the resolution for Jeff in recognition of his years of service to the city. Financial or budget considerations: Not applicable. Strategic priority consideration: Not applicable. Supporting documents: Resolution Prepared by: Rita Vorpahl, HR director Approved by: Kim Keller, city manager City council meeting of March 20, 2023 (Item No. 3b) Page 2 Title: Jeff Stevens retirement recognition Resolution No. 23-____ Resolution of the City Council of the City of St. Louis Park, Minnesota recognizing the contributions and expressing appreciation to Operations Superintendent Jeff Stevens Whereas, Jeff Stevens began his employment with the City of St. Louis Park 44 years ago in April 1979 as a seasonal employee for parks and streets before being hired on full-time as a Public Service Worker in the public works department in September 1985; and Whereas, Jeff’s dedicated service and work ethic to all aspects of public works maintenance allowed him to rise from a seasonal employee to operations manager/superintendent. Jeff spent 14 years as a public service worker, 13 years as streets field supervisor, and the remaining 10 years as public works operations manager/superintendent; and Whereas, Jeff has been involved or taken the lead on snow removal totaling over 160 feet over his 37-year career with the city to include three of the top five single-storm snowfalls in the city, the: 28.4” Halloween Blizzard 1991, 21.1” Thanksgiving 1985, and 17.1” Dome Buster 2010; and Whereas, Jeff provided maintenance, history, and design suggestions to the 153 miles of streets throughout the city. His knowledge and understanding of maintenance needs across departmental lines was integral in designing a system that is user and maintenance friendly; and Whereas, Jeff plans to enjoy the journey called retirement working on his bucket list, spoiling his grandchildren, and exploring the backroads of the country from the seat of his motorcycle; trying not to compare or rate each city’s infrastructure; and Now therefore be it resolved that the City Council of the City of St. Louis Park, Minnesota, by this resolution and public record, would like to thank Operations Superintendent Jeff Stevens for his great contributions and his 44 years of dedicated service to the City of St. Louis Park and wish him the best in his retirement. Reviewed for administration: Adopted by the City Council March 20, 2023 Kim Keller, city manager Jake Spano, mayor Attest: Melissa Kennedy, city clerk Meeting: City council Meeting date: March 20, 2023 Presentation: 3c Executive s ummary Title: Proclamation honoring the beginning of Ramadan Recommended action: Mayor to read proclamation honoring March 23, 2023, as the beginning of the Islamic holy month of Ramadan 2023 Policy consideration: None Summary: Ramadan begins on March 23 where Muslim Americans across the world come together to fast from sunrise to sunset, pray, and reflect. Ramadan is the ninth month in the Islamic lunar calendar. For Muslims who are able, fasting in Ramadan is expected and fulfills one of the important five pillars of the Islamic faith. Muslims in all walks of life fast during the day for Ramadan; through sports events, college exams, and job responsibilities. The end of the month of Ramadan is called Eid-Al-Fitr and is celebrated with food, gifts, family, and community. In the month of Ramadan, the City of St. Louis Park invites you to: • Learn about the ways that Muslims observe the month of Ramadan and why it’s important in their faith. • Consider participating in Ramadan community events happening across the county. o Grand Iftar 2023 o Guide to Ramadan in Minneapolis o Community Iftar dinner o Iftar with Muslim women electeds Financial or budget considerations: None Strategic priority consideration: St. Louis Park is committed to being a leader in racial equity and inclusion in order to create a more just and inclusive community for all. Supporting documents: Proclamation Prepared by: Jocelyn Hernandez Swanson, race, equity, and inclusion specialist Reviewed by: Radious Guess, race, equity, and inclusion director Approved by: Kim Keller, city manager City council meeting of March 20, 2023 (Item No. 3c) Page 2 Title: Proclamation honoring the beginning of Ramadan Proclamation honoring March 23, 2023, as the beginning of Ramadan Whereas, the Muslim community is an integral part of the diversity that makes St. Louis Park a great place to experience life, and; Whereas, Islam has been present in our country since its founding, with Muslim leaders having made significant contributions in the areas of science, politics, arts, the protection of civil rights, and civic engagement, and; Whereas, acknowledgement and understanding can help break negative stereotypes and assumptions about Muslims and the Islamic faith and furthers the city’s commitment to being a leader in racial equity and inclusion, and; Whereas, small business owners, community leaders, and religious leaders of the Muslim faith have helped create a more just and inclusive community for all, and; Whereas, Ramadan is the ninth month in the Islamic calendar, observed by Muslims across the world and in St. Louis Park as a month of fasting, prayer, reflection and community, with participation being regarded as one of the five pillars of the Islamic faith, and; Whereas, the observance of the Islamic holy month of Ramadan begins with the sighting of the crescent moon on March 23, 2023 and continues for one lunar month from sunrise to sunset each day. Now therefore, let it be known that the mayor and city council of the City of St. Louis Park, Minnesota, hereby honor March 23, 2023 as the beginning of Ramadan 2023 in St. Louis Park, and encourage all people to consider the importance of this month to Muslims in St. Louis Park and across the world. Wherefore, I set my hand and cause the Great Seal of the City of St. Louis Park to be affixed this 20th day of March 2023. Wherefore, I set my hand and cause the Great Seal of the City of St. Louis Park to be affixed this 20th day of March 2023. _________________________________ Jake Spano, mayor Meeting: City council Meeting date: March 20, 2023 Presentation: 3d Executive s ummary Title: Mental Health Awareness Month proclamation Recommended action: Mayor to read the Mental Health Awareness Month proclamation Policy consideration: Does the council wish to raise awareness about mental health? Summary: Each year, millions of Americans face the reality of living with a mental illness. Mental Health Awareness Month has been observed during May in the U.S. since 1949. The month is traditionally recognized through local events, media opportunities, and film screenings. In addition to sharing information through city communication channels, the Louisiana Avenue bridge will be lit green on May 1 to demonstrate the city’s support and recognition of Mental Health Awareness Month. The purpose of Mental Health Awareness Month is to raise awareness, educate the public about mental health conditions, and reduce the stigma that surrounds these conditions. One in five Americans will experience a mental health condition each year, and 50% of Americans will experience a mental health condition in their lifetime. More people than ever before are struggling with their mental health, and the city can help by joining the effort to raise mental health awareness and work to reduce stigma during Mental Health Awareness Month. Financial or budget considerations: None Strategic priority consideration: St. Louis Park is committed to creating opportunities to build social capital through community engagement. Supporting documents: Proclamation Prepared by: Melissa Kennedy, city clerk Approved by: Kim Keller, city manager City council meeting of March 20, 2023 (Item No. 3d) Page 2 Title: Mental Health Awareness Month proclamation Proclamation Mental Health Awareness Month: May 2023 Whereas, Mental Health Awareness Month has been observed in the United States since 1949; and Whereas, nearly one in five Americans will experience a mental illness in a given year; and Whereas, 21% of all U.S. adults and 16.5% of all U.S. youth live with a mental health condition; and Whereas, 14% of Asian adults, 17% of Black adults, 18% of Hispanic or LatinX adults, 19% of Native American adults, and 32% of adults identifying as two or more races live with a mental illness; and Whereas, the prevalence of mental health conditions is highest (44%) among adults identifying as members of the LGBTQIA+ community; and Whereas, people are facing isolation, turmoil, and unrest, and a growing number of Americans experience mental health symptoms; and Whereas, we’ve learned through experience that we all struggle during challenging times and need support and access to care so we can thrive; and Whereas, for too long, stigma and discrimination have silenced those living with mental health conditions; and Whereas, Mental Health Awareness Month provides an opportunity to challenge the stigma, change the conversation and shine a spotlight on helpful mental health resources. Now therefore, let it be known that the Mayor and City Council of the City of St. Louis Park, Minnesota, do hereby proclaim May 2023 as MENTAL HEALTH AWARENESS MONTH in the City of St. Louis Park. Wherefore, I set my hand and cause the Great Seal of the City of St. Louis Park to be affixed this 20th day of March 2023. _________________________________ Jake Spano, mayor Meeting: City council Meeting date: March 20, 2023 Presentation: 3e Executive s ummary Title: Recognition of donations Recommended action: Mayor to announce and express thanks and appreciation for the following donation and grant being accepted at the meeting and listed on the consent agenda. From Donation For Minnesota American Water Works Association (MN AWWA) Up to $2,000 Related expenses for Austin Holm, utilities superintendent, to attend and compete in the 2023 Annual Conference and Exposition (ACE) training in Toronto, Canada From Grant For Park Nicollet Foundation $270,000 Funding for a full-time community health referral coordinator over the next three years Strategic priority consideration: St. Louis Park is committed to creating opportunities to build social capital through community engagement. Supporting documents: None. Prepared by: Chase Peterson-Etem, deputy city clerk Approved by: Kim Keller, city manager Meeting: City council Meeting date: March 20, 2023 Minutes: 4a Unofficial minutes City council study session St. Louis Park, Minnesota Oct. 24, 2022 The meeting convened at 6:30 p.m. Councilmembers present: Mayor Jake Spano, Tim Brausen, Sue Budd, Lynette Dumalag, Larry Kraft, Nadia Mohamed, and Margaret Rog Councilmembers absent: none Staff present: City Manager (Ms. Keller), Economic Development Manager (Mr. Hunt), Community Development Director (Ms. Barton), Communications and Technology Director (Ms. Smith). Guests: Stacie Kvilvang, Ehlers 1. Annual TIF management update and pooled TIF policy discussion Ms. Kvilvang presented the staff report. Councilmember Rog asked what would be returned to developers in 2023 through TIF agreements, and what would be received in tax revenue to the city. Ms. Kvilvang stated if districts will be taken off, there would be nothing going to developers. Ms. Kvilvang added she does not have that number but can get that to the council. Councilmember Rog asked about the future tax capacity in TIF for the Beltline Station. Ms. Kvilvang stated it is not yet included as it is planned for future TIF. Councilmember Kraft asked if the increase in market value noted is for the whole community. Ms. Kvilvang stated yes, over the last 10 years. Councilmember Kraft referenced the city tax rate and asked if Hopkins is high, and Edina is low. Ms. Kvilvang stated when comparing a $300,000 home in Edina, and a $300,000 home in St. Louis Park, a person will pay more taxes in St. Louis Park, adding it is a lower tax rate in Edina because they have a bigger base to spread the tax across, per market value. Councilmember Budd asked about comparable cities. Ms. Kvilvang stated this is the comparable group that has been looked at historically, these cities are in redevelopment mode, they are similar in AAA rating, and they look at neighboring cities and demographics. Councilmember Mohamed stated Minnetonka and Edina have large malls and asked if sales tax has an impact. Ms. Kvilvang stated no, sales tax has no impact, it is only property tax valuation. City council meeting of March 20, 2023 (Item No. 4a) Page 2 Title: Study session minutes of Oct. 24, 2022 Councilmember Mohamed asked why it is lower in Edina. Ms. Kvilvang stated this is how much tax capacity is captured in a TIF district, so in Edina they do not have as many TIF districts or as much value captured in TIF districts. Councilmember Rog asked if the legislature would extend the special legislation allowing cities to deposit pooled TIF into their affordable housing trust funds depending on their success. Ms. Barton stated that is the hope. Councilmember Kraft asked about the total numbers and if in 2021, the $2.125 is what was transferred in or the overall housing trust fund balance. Ms. Kvilvang stated that is what has been transferred in, which is only tax increment funds. Councilmember Kraft asked if there are any different restrictions versus the HRA levy. Ms. Barton stated yes, the HRA levy is more flexible, but once that is transferred into the affordable housing trust fund, the dollars are used the same as the pool of TIF dollars per the trust fund policy. A portion of the levy is transferred into housing rehab, which is a more flexible use. Councilmember Kraft asked about the money in TIF districts. Ms. Kvilvang stated it could be pooled and used for the needs of the district. She continued for redevelopment districts, it would have to be used for the elimination of blight and for housing, it would have to be used for affordable housing. Councilmember Kraft asked if districts can be decertified and then monies can be moved. Ms. Kvilvang stated the only ones that will decertify naturally are Victoria Ponds and Wolfe Lake. She noted the council can choose to decertify districts at any time. Councilmember Rog asked where blighted property is in the community. Ms. Kvilvang stated every time a redevelopment is created, there are inspections required and if the code deficiencies are more than 15% of the cost to construct the building new today, it is blighted. Councilmember Rog asked if this works against renovations of buildings. Ms. Kvilvang stated not necessarily, adding this is the state’s definition of blight. Councilmember Rog asked if these funds can be transferred into the general fund. Ms. Kvilvang stated no, adding the city has no authority to transfer the funds out of the TIF district except for special circumstances such as affordable housing needs. Councilmember Rog asked if education would receive $500,000-600,000 from this. Ms. Kvilvang stated no, adding the school districts are capped at $25,000 and are funded by the state on a per student basis. Councilmember Rog stated this is hard to understand and she would like further discussion on this topic. Councilmember Kraft added he is interested in this topic as well and pointed out Councilmember Rog had referred to the state education budget versus the city’s school district funding. Ms. Kvilvang explained the state set up this funding and have a budget they set for this. She added she can bring an expert from Ehlers in for further discussion on this issue. City council meeting of March 20, 2023 (Item No. 4a) Page 3 Title: Study session minutes of Oct. 24, 2022 Councilmember Brausen noted this is based on forecasts the state already has set for education. Councilmember Kraft stated there is confusion about money at the state level for education and taxes collected for school districts, adding this needs further clarification. Councilmember Rog stated as elected officials, the councilmembers need to understand that if one-third of property tax is going for education and schools or not, then this needs to be clarified for residents. Mayor Spano stated this information already comes to residents on their county property tax statements. He stated the school district levies, residents, and the state have another way to tax on a per student rate. Councilmember Kraft asked if the return on increment is new. Ms. Kvilvang stated this has been an ongoing process, adding it is to help plan for the city’s capital budgeting process. Mayor Spano stated he has been through 11 of these discussions on TIF and it remains as complicated as ever. He encouraged Ehlers to think a bit more about competitive cities and not comparing St. Louis Park to Edina, Bloomington, and Golden Valley, all of which have many different characteristics as compared to St. Louis Park. He added the report presented is very long, and the policy questions are focused on means and not ends. He is less concerned with the policy questions and asked if these things are achieving goals of the city, and then let staff figure out the tools to get the city there. He is not interested in having someone come in to discuss how the school district is funded unless the school district has concerns about the impacts of the levies. Ms. Kvilvang stated Ehlers does not select the comparative cities, adding that staff and former council have selected them, noting that council can change those. Ms. Kvilvang added TIF is a tool to help the city meet their priorities and the question is, does the council want to continue with it. Councilmember Brausen stated he agrees with all the recommendations of Ehlers and staff, noting that in past years there was no affordable housing, and now the city has it. He stated 11% is tied up in TIF, but added it has been balanced, and some districts are expiring, while others are coming on, and the return on investment makes this worthwhile. He added imposing our climate action goals on developments work well with TIF, and he supports the recommendations. Councilmember Dumalag asked about blight and for clarification on this. Ms. Kvilvang stated it relates only to code deficiencies. Councilmember Dumalag referenced the Rise on 7 development and asked, because the past property was a church and was tax exempt if the baseline is zero. Ms. Kvilvang stated no, the baseline is never zero when it is placed into the TIF district. City council meeting of March 20, 2023 (Item No. 4a) Page 4 Title: Study session minutes of Oct. 24, 2022 Councilmember Dumalag asked how TIF affects the city’s bond rating. Ms. Kvilvang stated they look at how the tax base is increasing, adding TIF is a good thing for the bond rating. Councilmember Dumalag stated she supports recommendations 1 and 2, adding TIF helps get the developments the city wants in areas they want it in. She added she likes how the city’s racial equity policy is included in TIF and sees this as a way for others to hire diverse contractors and help folks build wealth. Councilmember Kraft stated he appreciated the mayor’s thoughts on this and tying this into the housing development process. He stated the question of how much affordable housing should be in St. Louis Park and how much should be spent on affordable housing are both good to review, but these have not been adopted as goals. He added the amount of affordable housing added in the city is extraordinary but noted discussing 30% levels and setting policy goals are also important, as well as reviewing the status. Councilmember Kraft added there is a limit on how much the city can invest. He added he wants to look at how much the community invests in affordable housing annually, and how much the city government spends on this annually. He stated that money is collected and then it is spent, and the HRA levy and the TIF captured that goes to affordable projects is how this is collected. He noted of the $14.274 million of TIF that is coming in, about $7.2 million is associated with projects that have a significant affordable housing component. He stated there are opportunities to have a lower HRA levy this year and still have a tremendous amount of investment in affordable housing. Councilmember Kraft stated he agrees with recommendations 1a, b, c, and d, but noted it ties into the budget discussion. He stated he is a no on recommendation number 2. Councilmember Budd agreed with Mayor Spano’s comments, and noted the 24% stood out to her, adding this is something to be proud of. She stated she does not disagree with any of the recommendations adding it is a win-win and will support the recommendations. Councilmember Mohamed stated she supports 1a, b, c, and d. She asked who sets the spending plan. Ms. Kvilvang stated the city creates the spending plan and it can be related to any new development that comes in, with the staff recommendation she agrees with discussing with the school board and the effects of the levy and who gets what monies. She stated TIF is solely the primary tool that leads to affordable housing but noted there is not a lot of affordable housing for larger families or townhomes. Councilmember Rog asked why some developers cannot build without TIF and some can. Ms. Kvilvang stated the Roars Development was much more willing to not take TIF because they were interested in the property, the senior housing product type, and the financing structure, and sometimes this happens with developers, especially as it relates to affordable housing. Councilmember Rog stated that possibly, we are too generous in our city with TIF, and developers come to build here, which may not be a bad thing, but there are impacts on taxpayers and cost burdens for seniors, especially due to maintenance and taxes. She stated she does not have enough knowledge on TIF, and while there are many affordable housing City council meeting of March 20, 2023 (Item No. 4a) Page 5 Title: Study session minutes of Oct. 24, 2022 projects coming up, many are studio and 1-bedroom units. She is not sure this is the best tradeoff for the tax impact. She asked if this is the proper tool for the community – adding she struggles with the but-for clause. Councilmember Rog added the city is very desirable to build in and it can be competitive, adding there is interest here. She asked about recommendation 1d and the spending plan and if that is increasing the amount of TIF provided to developers. Ms. Kvilvang stated it puts TIF dollars into a bucket to give the city more flexibility. Councilmember Rog stated she agrees with all the recommendations under the current conditions with the understanding that more discussions will take place on the use of TIF. It was the consensus of the council to have the discussion with the school board about TIF and levies. Mayor Spano stated for comparable cities he would like to see less from a geographic perspective and more of an apples-to-apples comparison and would like to hear that from staff in providing context related to population, properties. Councilmember Brausen stated he would like to see Roseville, Brooklyn Park, and Brooklyn Center, and added he’d like to continue to see the ones shown as well. Written Reports 2. Quarterly development update – 4th Quarter 2022 3. City Service impacts of new development Councilmember Rog referenced the city services impacts of new development report noting it is hard to believe there are zero cost impacts on city services. Ms. Barton stated there are impacts and costs as well as benefits, so there is a balance. Councilmember Rog added with TIF she is focused on tax burden and has concerns about if the city is adding to expenditures for city services and then adding onto the tax bill. Councilmember Brausen stated he appreciated the fact that staff does the analysis of all the costs in a development. He noted his property tax value went up this year, and if the general levy is increased by 8%, his social security will go up by 9%, so he will be covered. Councilmember Kraft added TIF has been a useful tool for the city and the results have been phenomenal for affordable housing but noted sometimes the analysis can be a bit too rosy, adding it is hard to back this on anything. Mayor Spano stated the concern is whether we are getting enough for all the development the city is doing. He stated many things can be quantified such as police and fire calls. He also noted that more federal funding is available to the city because the population has increased over 50,000, which would not have been there if not for this development and growth. 4. Third quarter investment report (July – Sept. 2022) City council meeting of March 20, 2023 (Item No. 4a) Page 6 Title: Study session minutes of Oct. 24, 2022 5. Sept. 2022 monthly financial report Communications/meeting check-in (verbal) Mayor Spano encouraged all to vote in the coming election. He also noted the Twin Cities Film Fest is open and running. Ms. Keller stated the MN Wild are going to practice at the ROC on Nov. 5 at 10:30 a.m., and no are tickets needed. Polestar showroom grand opening is Thursday from 6-8 p.m. The meeting adjourned at 8:10 p.m. ______________________________________ ______________________________________ Melissa Kennedy, city clerk Jake Spano, mayor Meeting: City council Meeting date: March 20, 2023 Minutes: 4b Unofficial minutes City council study session St. Louis Park, Minnesota Nov. 7, 2022 The meeting convened at 5:30 p.m. Councilmembers present: Mayor Jake Spano, Tim Brausen, Sue Budd, Lynette Dumalag, Larry Kraft, Nadia Mohamed, and Margaret Rog Councilmembers absent: none Staff present: City Manager (Ms. Keller), Economic Development Manager (Mr. Hunt), Director of Community Development (Ms. Barton), Planning Manager/Deputy Community Development Director (Mr. Walther), Communications and Technology Director (Ms. Smith) Guests: none. 1. Managing change in residential neighborhoods Ms. Barton and Mr. Walther presented the report. Mr. Walther asked for council feedback related to the 2040 comp plan goals and strategies. Councilmember Kraft noted that as land use evolves within the city, engagement of the community will be important. Councilmember Brausen stated both strategy 3a and 3d involve community engagement with development strategies. He agreed this is important, explaining we will need to explain to the community about housing options. Councilmember Dumalag noted with land use changes, the education will be a big component and how the community is changing, as well as who will be doing the education, including staff. Councilmember Rog noted the unique neighborhoods and character component and added she is interested in hearing council’s thoughts on this. Mayor Spano noted throughout the strategies and goals, are we doing these things, noting he was not sure the city is doing things, and how does staff call this out and try to point this out to council. He added some strategies related to affordable housing may need to be reviewed again when looking at location especially around light rail stations. Councilmember Kraft added what does success look like and how do we know if we are achieving it or not. Councilmember Rog noted she wanted to elevate walkable neighborhoods with businesses and services that people can walk to, and that are safe and comfortable. City council meeting of March 20, 2023 (Item No. 4b) Page 2 Title: Study session minutes of Nov. 7, 2022 Councilmember Budd noted public gathering places and the importance of where there is public art. Councilmember Dumalag noted the re-use opportunities, and retail repurposed can be an opportunity for different uses and is another amenity to the neighborhood. Councilmember Rog noted home ownership and affordable home ownership as a subset. Councilmember Kraft added the theme of diversity of housing options and types and that it’s important to understand where the city is doing well and where it is not. Mayor Spano added how do we measure diversity, and what is needed in each neighborhood. He noted another item related to public art heritage and culture and wants to look deeper into this with commercial development and how it stands out in the community. Councilmember Mohamed stated mixed income neighborhoods, and preservation of homes and renovations and that seeing funding and creative methods going into this would be helpful. Goals already embraced by council. Councilmember Rog noted affordable rental multifamily housing. Councilmember Mohamed added apartment style is more embraced versus home ownership. Councilmember Dumalag added this is also a function of the market and availability. She stated this council is supportive of home ownership in a variety of levels of price point, but again it is a function of the marketplace. Councilmember Brausen stated the council is committed to all seven goals, but they don’t promote preservation of existing housing as vigorously as they do for new housing. He stated the greenest thing to do is preservation of existing buildings, and he would like to see more of this done, especially with multifamily housing. Councilmember Mohamed stated she sees a lot of public art, but not a lot of cultural heritage art that speaks to residents in St. Louis Park. Based on priorities, what would need to change? Councilmember Rog stated zoning and land use regulations would need to be more expansive to include triplexes and fourplexes. Councilmember Brausen stated promotion of ADU’s is important. Councilmember Mohmed added more out of the box thinking. Councilmember Rog added zoning that allows commercial businesses in areas where they are currently not allowed – true neighborhood commercial. City council meeting of March 20, 2023 (Item No. 4b) Page 3 Title: Study session minutes of Nov. 7, 2022 Councilmember Kraft added how density could be increased to create more affordability. He noted the green side is an integral component, so increasing density and increasing tree canopy, which is a challenge. Councilmember Rog added perhaps prohibiting what changes can happen in neighborhoods to preserve green space and trees and not simply expanding and increasing density. Councilmember Brausen added educating the community about the city’s goals and creating affordable space. Councilmember Dumalag liked the use of the tables related to multifamily housing and zoning, and the education will be important. She added obstacles still exists however with the city’s market limitations. What does race equity and inclusion mean to council members in the context of low-density residential areas? Councilmember Mohamed stated this would mean larger homes for immigrant families, and the challenges that come with larger families living in 2–3-bedroom homes. She stated how we look at single family homes in the city is important. Councilmember Rog added access generally to living in single family neighborhoods, and generational wealth issues. She stated people of color are usually in rental homes, and if there is access it is temporary and not the same opportunity to build wealth as other single-family homeowners. Councilmember Kraft stated there are problems with zoning, adding it created barriers to people of color for home ownership, so we need to create opportunities in the city for homeownership, so we evolve as a city. He noted entry-level homeownership, is key. Mayor Spano stated he does not know, and it is a question that others in the community may be better suited to answer. He understands the structural parts of this. He asked how the council can make sure the voices of folks that represent those groups and neighbors within the city, can articulate their own vision for what they want for housing and not be pushed out because it doesn’t align with what the council may want. How can the council advance that work based on information directly from those seeking housing opportunities, rather than what council thinks is needed within the community. Councilmember Dumalag noted her experience as a child with her parents as immigrants and her multi-generational living situation. She stated having her grandparents live with them, being in a safe and walkable neighborhood. Their experience was being in a neighborhood without sidewalks, adding she is happy the city is making the effort to add sidewalks. She noted access to amenities and transit, and changing homes to accommodate multi-generational living are important to think about. Councilmember Budd stated listening to residents, and to STEP, as well as early education groups have been helpful. City council meeting of March 20, 2023 (Item No. 4b) Page 4 Title: Study session minutes of Nov. 7, 2022 Sharing learnings Councilmember Dumalag stated the council should spend time discussing what racial equity means in neighborhoods and look deeper at communities that are already in St. Louis Park. Mayor Spano added the council meets with and talks to residents and each have different experiences, noting he values the multiple viewpoints everyone offers. Councilmember Mohamed appreciated having a refresher on goals and strategies and what is currently being done will go on the backburner and recentering will be helpful. Councilmember Rog stated there is cohesion between the strategic plan and goals. She added the cultural food opportunities points made, reflected synergy with unique neighborhoods. Councilmember Kraft noted the nuance and type of housing and multifamily housing created interesting thoughts. Councilmember Brausen stated having this discussion and educating capital providers to the needs of the community is important and how do we get there. Recess and reconvene The council recessed the meeting at 6:11 p.m. to hold the EDA and council meetings, noting the study session will continue following the council meeting. The council reconvened the study session at 6:50 p.m. Notes from Workshop Mr. Walther facilitated a consensus workshop with the council and conducted a brainstorming exercise with the council. Ideas were shared in successive rounds with discussion after each set of ideas were shared. Ideas were organized into categories, and eventually each category was named. The first set of ideas shared included: • Eliminate language barriers to housing options. • Duplexes throughout. • Affordable homes to buy. • Educating community on needs. • Art history/walkable. • Neighborhoods create a workplan on how to align with goals. • More townhomes. Councilmember Dumalag noted art history/walkable refers to something like Chicago art history walks and with sidewalks. City council meeting of March 20, 2023 (Item No. 4b) Page 5 Title: Study session minutes of Nov. 7, 2022 Mayor Spano stated he is interested in creating a vacuum effect to pull neighborhoods along, while operationalizing the city’s race equity work. He added what if each neighborhood helped in this process that reflected their own uniqueness and character -- and they then become more aligned with the city’s goals and strategies. Councilmember Rog asked how far we go with asking the community again for input, when we have already gotten input from them through the visioning process. Councilmember Brausen asked if this aligns with social capital. He stated we cannot get the Cedar Manor neighborhood organized, so not sure how this might happen. Councilmember Kraft stated there is an important community aspect to this but has concerns about starting over with the process on what do residents want. Mayor Spano noted, however, this might be a space for neighborhoods to state what they might be missing and provide more of a voice in what is going on in the city, to help them live the city’s vision. Councilmember Dumalag noted we will need to invite those that don’t have the privilege of living in a certain area, or who gets to have what say. Mr. Walther read aloud each successive round of ideas, council members discussed the ideas to understand them better collectively, and similar ideas were sorted into categories. The final topic headings and sets of ideas that the council agreed upon and responded to the workshop question, “How can our low-density neighborhoods become more aligned with our adopted strategic priorities?” were as follows: • Engagement and Education • Neighborhoods create a work plan on how to align with goals • Educating the community on needs • Exposure to strategic priorities – do they know them? • Listen to school district • Equity in neighborhood leadership • Events to ease concerns • Gradual evolution • Eliminate language barriers to housing options • Housing Types • Duplexes throughout • More townhomes • Larger family sized homes • Expand number of bedrooms in single-family homes • Multigenerational living • Rezone for duplex/triplex/quad homes at minimal expense • Rowhomes • Create more ADUs (accessory dwelling units) • More duplexes City council meeting of March 20, 2023 (Item No. 4b) Page 6 Title: Study session minutes of Nov. 7, 2022 • Smaller lot sizes and smaller homes • Multigenerational housing • Trees and Nature • Expand / preserve tree canopy. • Increase tree canopy. • Tree preservation (Legacy tree ordinance +). • Tree preservation incentives or regulation. • Limit pesticide weed control. • More yards with native plantings. • Culture • Art History Walkable. • Cultural events like Wat Promwachirayan. • Cultural-specific art. • Bike lane festivals. • Home Ownership • Affordable homes to buy. • Entry-level ownership for BIPOC (Black, Indigenous, and People of Color) community. • Limit investors to preserve ownership opportunities. • More affordable home ownership opportunities. • Complete Neighborhoods • Retail gap analysis. • 5/15-minute neighborhoods. • More places to walk to. • $ (Financing) • NOAH preservation incentives. • $ for incentives. • Pilot programs. • Create 30% AMI (area median income) options. • Financial assistance for smart expansion. • Energy Efficient Homes Mr. Walther ask for council’s final reflections on the consensus they had reached. Councilmember Rog noted the housing category stands out and what opportunities are there for this. Councilmember Mohamed stated these topics stay true to community education and keeping neighborhoods in the loop. City council meeting of March 20, 2023 (Item No. 4b) Page 7 Title: Study session minutes of Nov. 7, 2022 Mayor Spano added coming out of COVID there is a need for communities and neighbors to re- connect with each other, noting he agrees housing and community engagement are core. Mr. Walther stated next steps will be to address these topics and ideas with council in future agendas while presenting how they align with workplans. Written Reports Councilmember Brausen supports the parking policy. Mayor Spano added council needs to continue to think about how parking affects neighborhoods and moving away from issues related to who is allowed to park in neighborhoods, while reducing the need to drive to all locations. Councilmember Kraft stated this ties in with the complete neighborhoods area, where residents should be able to walk to businesses in the area. He added more creative use of the right of way in neighborhoods is something that can be developed more. The meeting adjourned at 8:00 p.m. Written Reports 2. Corridor parking policy ______________________________________ ______________________________________ Melissa Kennedy, city clerk Jake Spano, mayor Meeting: City council Meeting date: March 20, 2023 Minutes: 4c Unofficial minutes City council study session St. Louis Park, Minnesota Nov. 28, 2022 The meeting convened at 6:30 p.m. Councilmembers present: Mayor Jake Spano, Tim Brausen, Sue Budd, Lynette Dumalag, Larry Kraft, and Margaret Rog Councilmembers absent: Nadia Mohamed Staff present: City Manager (Ms. Keller), Building and Energy Director (Mr. Hoffman), City Attorney (Mr. Mattick), Director of Community Development (Ms. Barton), Housing Supervisor (Ms. Olson), Property Management and Licensing Manager (Mr. Pivec), Communications and Technology Director (Ms. Smith), Solid Waste Manager (Ms. Fisher) Guests: none 1. Single-family rental density cap Ms. Olson provided an overview of the topic. She noted the policy considerations for council’s feedback: • Would creating a rental density cap in single-family neighborhoods achieve the council’s desired outcome of preserving homeownership options? • Does limiting the number of single-family rentals per block align with the city’s adopted strategic priorities? Councilmember Rog commented there is a problem, with 92% of the black residents in St. Louis Park living in rentals. This is the result of past government actions, and it is the city’s responsibility to explore all avenues to address this past harm. She added billions are provided to developers each year to incentivize rental housing and renters walk away with no equity. She added if the city has ways to deal with wealth and equality then she wants to explore this. She stated she wants to talk about rental caps and about single-family homes not becoming rentals. Councilmember Rog noted 842 single family rental homes are in St. Louis Park. She asked what percentage of single-family housing that represents. Ms. Olson stated 7%. Councilmember Rog asked how this percentage compares to neighboring cities. Ms. Olson stated she does not know. Councilmember Rog pointed out the change of homes status from one year to the next. Mr. Hoffman stated over the years the number of single-family homes fluctuated. He stated they don’t always know the reasons for that, and it is not static. City council meeting of March 20, 2023 (Item No. 4c) Page 2 Title: Study session minutes of Nov. 28, 2022 Councilmember Rog asked about single-family homes providing for larger families and if the city has any data on that. Ms. Olson stated they do not, and the information comes from assessing. She added on subsidized housing side, all 3-4 bedroom are single-family homes and voucher residents who need larger units also look to rent single-family homes. Ms. Olson stated there are other reasons people want a 3-4 bedroom house, as people like to have a choice such as having a yard, or having a basement, but the city has no data on this. Councilmember Rog asked about first-generation home ownership. Ms. Olson noted the Family Self-Sufficiency Program, that STEP coordinates, where home ownership is part of the program’s goals. Councilmember Rog asked if rental rates for city-owned properties are comparable to investor- owned rental properties. Ms. Olson stated in public rental it is based on their income. Ms. Barton stated with vouchers, a home must be found that fits within the parameters of the renter’s income. Councilmember Rog commented on people who needed to do a temporary relocation, that other cities allow for temporary rental licenses up to two years, and asked why we don’t do that in St. Louis Park. Ms. Olson noted accidental landlords do occur and the city could set up rules around temporary rental housing so if the percentage on the block is exceeded, then they would need to do something else with the house, as a rental license would not be available. Mr. Hoffman added if council would want staff to look at these types of exceptions, they could be written into the ordinance. Ms. Barton stated people can get a rental license from the city for 2- 3 years, and therefore would not need a temporary rental license. Councilmember Budd asked if the city has short-term rentals. Mr. Hoffman stated if someone is occupying the property, that is fine, but the city does not allow for short-term rentals such as Airbnb. Also, if a home is not owner occupied for 6 months, then it must be licensed as a rental property. Councilmember Budd asked if there are ways to circumvent abuse of rental licenses. Ms. Barton stated a rental license is still needed if an owner is not living in their home. Ms. Olson stated not every homeowner occupied home has homesteaded their home. Mr. Hoffman stated the city also has many rental homes that are homestead, which is legal. Ms. Olson stated the city does not collect data on single-family home tenants. Councilmember Budd stated 296 of 840 rental homes in the city that are investor owned, which is about 35% being investor owned. She asked if there is any data related to the 10 plus investor rental and if that is trending upward. Ms. Olson stated the data from the Fed is a newer tool. Mr. Hoffman stated there was a period in the past where people owned multiple properties, but a lot of this depends on the real estate market. He stated the market does influence the rental market. Mr. Pivec stated he has noticed trends over the past 10 years, that when the housing market takes a turn, you do see more commercial investments. He stated recently the market has been City council meeting of March 20, 2023 (Item No. 4c) Page 3 Title: Study session minutes of Nov. 28, 2022 more stable and the housing stock in St. Louis Park has allowed for homes to be purchased, rented, and sold back into the market. He stated this seems to be more of the current trend. Councilmember Kraft referenced the staff report noting research that shows owners tend to stay away from purchasing rentals in cities that have more rental protections. He asked for more detail on this. Ms. Olson explained a 2010 report was done on this, adding this was about disinvestment of rental properties, where owners were purchasing multiple homes in cities where there is not solid licensing or coding, and then not maintaining those homes. Councilmember Kraft asked if rental license training applies to all owners in St. Louis Park. Ms. Olson stated yes, it is required, unless the owner is renting the home to a family member. Councilmember Kraft stated prior than to the great recession, the city was a 2-3% rental and then it jumped and stayed. He asked if this happens again, how do we know if that is happening, is it a problem, and would the city be too late in reacting to that. Ms. Olson stated it depends whether the council thinks that’s a problem. Mr. Hoffman stated the city would notice if the numbers were going up because of rental licenses. Ms. Olson stated staff would take notice. Ms. Barton stated if a trend was noted, staff would dig deeper into it and look at why. She added this is a policy decision and there are folks that want to rent and like to rent. Councilmember Dumalag stated this has been a problem in other communities. St. Louis Park has strong rental policies in place and protections. She stated she is glad only 47 properties are investor-owned, so it’s most likely not an issue. She stated if we are encouraging diverse communities to own here, she would like to see programs in place for this to happen. However, she would not want that to be in competition with our rental homes. Councilmember Rog stated this has so do with the supply issue. She added the supply is equally important to pay attention to and how do we preserve as many for sale opportunities as possible. She agrees with what’s been said tonight and added she agrees we need to watch for trends, and she is mindful of watching supply as well as programs for homeownership. Mayor Spano stated he appreciates this report. He agrees home ownerships gaps are worse in Minnesota versus other states, which is interesting. He asked about Hopkins versus St. Louis Park, noting one-fourth of the houses in Hopkins are investor owned. Ms. Olson stated city staff spoke to Hopkins city staff who stated they did not feel that was an accurate depiction. Mayor Spano asked is this the tool that will help more diverse folks be able to purchase homes in St. Louis Park. He noted if there are increases in certain areas, it should be brought back to council for response, and added there would be a concern if an investment company owned multiple homes in one area. Councilmember Brausen stated he appreciates looking at this issue and the local structure in St. Louis Park. He stated we don’t have depressed housing prices that investors are interested in as they can’t make a profit. He added he doesn’t think corporate landlords are looking to invest in St. Louis Park and based on the data, there have not been major changes and he would hate to City council meeting of March 20, 2023 (Item No. 4c) Page 4 Title: Study session minutes of Nov. 28, 2022 see competition between rental and single-family home ownership for diverse populations. He stated staff time and money is better well spent on developing programs for home ownership opportunities, and if it’s funded more robustly, there might be more participation. Councilmember Dumalag asked if share of sales is monitored. Ms. Olson stated a homeowner recently sold their home for $35,000 less to help make it more affordable. She added there are more folks in this community that might want to do something similar. Ms. Barton added other programs include the land trust program, the down payment assistance program, and first generation and legacy home sales, as well as building eight new affordable home ownership opportunities, noting these programs will all continue. Ms. Olson added the Homes within Reach program is another way affordable homes can be included into neighborhoods. Councilmember Kraft stated this is something that should be monitored, and supply is also important. He noted tools such as ADU and single-family zoning are ways to potentially address supply over time. He stated as changes are made over time, will this open the city up to investors coming in. He asked if the city has ever thought about additional ways to help with wealth building, separate from homeownership. Councilmember Kraft stated we want opportunities for diverse people and families in St. Louis Park and too many homes owned by investors, especially for the wrong reasons, can have a negative effect on this. He stated the policies in place round inspections and rental training seem to discourage this from happening, so this seems like the way to go, especially with unintended consequences with a cap. He added that said, this should be monitored. Councilmember Rog stated she appreciates this conversation, but noted this was only one item, adding this is really about the supply-side issue and finding affordable entry level homes and then helping people acquire those homes. She noted continuing to monitor is important and added there are opportunities to link the rental housing database with assessing data to get the information on trends. She stated it is not worth our time to pursue the cap. She shared information from the local economies committee she serves on related to home ownership and investor ownership trends. She stated others are thinking about this, and there are opportunities to work with others on this. Councilmember Budd stated a lens belongs on programs such as the first-generation home buying program, and it would be helpful to see how these programs are utilized. Ms. Olson stated in March, she sends a report to council about usage of programs over the last 10 years. She stated staff does monitor these programs and pointed out the Live Where you Work Program, which later ended, but helped other down payment programs within the city to come out of it. She added programs are amended and modified ongoing. 2. Solid waste program update City council meeting of March 20, 2023 (Item No. 4c) Page 5 Title: Study session minutes of Nov. 28, 2022 Ms. Fisher presented the report regarding request for proposal contracts for 2023 – 2028 timeframe and noted program recommendations. She noted the policy question: Does council agree with the proposed changes to the 2023-2028 RFP outlined in the report. Councilmember Brausen stated he supports the RFP’s and would like to explore yard waste collection, asking if we do a separate fee. Ms. Fisher stated that yard waste service is included in all solid waste rates, and yard waste can be set out at any time for pick up. Councilmember Brausen stated the yard waste collection seemed to be the issue this year. He added yard waste could be cut back and it seems repetitive. He noted it’s a non-green practice to keep putting yard waste on the curb and having it collected, even though we encourage mulching. He stated he composts everything, and this doesn’t seem like we are doing the right thing with weekly collection of grass clippings. He stated it’s against the goals we have on climate, and he suggests a separate charge for it and moving it to bi-monthly pick up. Councilmember Kraft thanked staff for all their work during the past challenging two years, and he was impressed with staff stepping up to do pickups. He stated he supports the RFP, and asked if there were two different companies used, he would not want both going down the streets and increase trucks on the road. Ms. Fisher stated it would not increase the number of trucks but would increase the number of haulers providing overall service, with contractors assigned to one or more material types. Councilmember Kraft asked if garbage goes to the HERC for burning. Ms. Fisher stated yes, and some is diverted to landfill if needed. Councilmember Kraft added he is interested in anything we can do to decrease waste, adding there are environmental justice concerns with the HERC. He added he is interested in organics at multi-family properties and is interested in looking at this ordinance. Ms. Fisher stated to require multi-family to collect organics, there would need to be an ordinance amendment to include organics. She noted this would fit into our climate action plan as well. Councilmember Kraft stated the organics program cost was more initially and now it is part of the full rates. He asked if the rates could be increased and then give a discount for those who do organics. Councilmember Brausen stated he asked this previously and the city attorney stated this could not be done because the service fee must be commensurate with the rates. Councilmember Kraft stated the challenge is you can’t force people to do organics collection. Ms. Fisher stated that is why we structure the program this way and only give the cart to those interested in doing organics collection. She added previously there was a temporary signup discount for doing organics, and this could be explored again. Councilmember Rog stated she supports research into requiring multi-family to do organics recycling. She added she is also interested in Councilmember Brausen’s comments about yard waste and staff’s solutions to educating people on what yard waste is. She added she supports City council meeting of March 20, 2023 (Item No. 4c) Page 6 Title: Study session minutes of Nov. 28, 2022 more than one hauler. She asked if there is a fine when businesses do not dispose properly and what the penalty is for those that do not comply. Ms. Fisher stated there is a fine for businesses that do not comply with zero waste packaging ordinances, adding they are provided education first to come into compliance. She added there have been no fines in the last four years or more, mostly due to the pandemic. She said they will do more outreach in 2023 to work with them to come into compliance. Ms. Fisher stated if a company generates more than four cubic yards of waste in a week, they do have to follow the recycling practices, and food service businesses are required to have garbage, recycling, and organics depending on the type of single use packaging they use to serve food in. She added the city does not monitor collection bins inside of restaurants, but if a complaint is received, the city does look into that and work with the restaurant, but there is no program in place, nor do we have capacity to monitor collection bins in establishments. She added this could be discussed in the future though. Mayor Spano noted there are several establishments that are not following the ordinances in place regarding recycling and organics, and the city is not enforcing it. He stated this may need to be reviewed again and would like a discussion about multi-family organics collection. Mayor Spano asked for a review again of what goes into recycling and what goes into organics and are residents accurately using the program. Ms. Fisher stated contamination levels are very low and rates are under 1.5% when this was reviewed in 2019 and she will share this with council. Mayor Spano stated he is happy to have a discussion around yard waste, but does not want this part of the proposal, adding there could be unintended consequences. He stated resilience with multiple haulers is fine, but with accountability, he would like to look at incentives versus penalties. He asked if we looked at contracts less than five years so we can get out of them, if needed. Ms. Fisher stated we have not contemplated incentives, and this could be researched and discussed further. She added shorter contract periods make it difficult for haulers to recoup on trucks and equipment, so shorter contracts might be less appealing and longer contracts are what haulers are looking for. Mayor Spano stated he is concerned about residents and how do we have the performance we are entitled to in the agreement, so he wants to review mechanisms versus the same form we have used for RFPs in past. Councilmember Budd stated she supports the multi-family organics program and with yard waste going with every other week without extra costs would be appealing to her. Councilmember Dumalag added she is supportive of the changes noted and having more than one vendor. She agreed with multi-family organics collection discussions and agreed with Councilmember Budd’s comments on yard waste. City council meeting of March 20, 2023 (Item No. 4c) Page 7 Title: Study session minutes of Nov. 28, 2022 Councilmember Brausen stated he is agreeable to every other week on yard waste collection and added yard waste collection is needed in spring and fall. He agreed with showing a separate charge for yard waste. He added multi-family housing organics collections is difficult because of logistics, so we will need to work with owners to get them on board with this. Councilmember Rog thanked Ms. Fisher for her work on assisting residents and her responsiveness to them, especially over the last few years. Written Reports Mayor Spano noted business eco mapping that will be happening in St. Louis Park. Councilmember Brausen asked about the National League of Cities sessions. Mayor Spano reported it went well and there was focus on civility and community culture. Ms. Keller stated it was helpful to have councilmembers there and workshops focused on funding and jobs act and a lot of discussion of core projects and cross pollenating related to federal grant opportunities. Councilmember Rog noted focus groups for small business owners and noted affordable space is a concern and she wants to be sure this is included in the Aware program. Communications/meeting check-in (verbal) Ms. Keller noted applications are being accepted for the councilmember at large seat and are due Dec. 6, 2022. She also noted snow emergency notifications can be signed up for on the city website. She added the Ugly Sweater Dash will be at Louisiana Oaks on Dec. 4 at 5:30 p.m., and everyone is encouraged to sign up. The Holiday Train is coming Dec. 13 at 6 p.m. at STEP. Councilmember Budd referenced the infrastructure report and encouraged residents to watch for it. The meeting adjourned at 8:50 p.m. Written Reports 3. Business program update 4. October 2022 monthly financial report ______________________________________ ______________________________________ Melissa Kennedy, city clerk Jake Spano, mayor Meeting: City council Meeting date: March 20, 2023 Minutes: 4d Unofficial minutes City council study session St. Louis Park, Minnesota Dec. 12, 2022 The meeting convened at 6:30 p.m. Councilmembers present: Mayor Jake Spano, Tim Brausen, Sue Budd, Lynette Dumalag, Larry Kraft, Nadia Mohamed, and Margaret Rog Councilmembers absent: none Staff present: City Manager (Ms. Keller), Deputy City Manager (Ms. Walsh), Engineering Director (Ms. Heiser), Finance Director (Ms. Schmitt), Building and Energy Director (Mr. Hoffman), Redevelopment Administrator (Ms. Monson), Director of Community Development (Ms. Barton), Race, Equity, and Inclusion Director (Ms. Guess) Communications and Technology Director (Ms. Smith) Guests: none. 1. REI system introduction Ms. Guess presented to the council. Councilmember Rog asked about strategic priorities mentioned here, how new tools will be incorporated, and if this will be staff or council. Ms. Guess stated it will be staff, but council can also be involved. She added there are opportunities to imbed REI into strategic priorities. Ms. Keller added there has not been metrics imbedded here in the past, and she is interested in seeing this. Mayor Spano noted training opportunities for councilmembers will need to be included as part of next steps. He added he is curious about the metrics and interested in actionable, achievable steps. Councilmember Rog asked how this work will be communicated to the broader community. Ms. Guess stated she is not sure yet, but quarterly accountability meetings with staff could be an opportunity to showcase as well as staff updates to council. She added she is open to more ideas as well. Ms. Keller noted that getting communications out to residents related to strategic topic study sessions will be a priority, and as the work is completed, that information will go out, and showing the work. Councilmember Rog stated it’s been difficult to quantify anything with many fits and starts on REI, so this will be important work in getting information out to the community. She asked if there is a plan to collaborate with the school district on this work. Ms. Guess stated she hopes City council meeting of March 20, 2023 (Item No. 4d) Page 2 Title: Study session minutes of Dec. 12, 2022 for many collaborations with the school district and noted a community event is being planned for January 16 – that National Day of Racial Healing. Councilmember Rog noted a decision to reorient REI staff away from direct service and more toward internal capacity building. She is curious about this process and how the decision was made on future work with neighborhood associations. Ms. Keller stated the pivot happened when Racially Conscious Collaboration came in to help look at structure and roles of the REI team. She added it was learned that city staff was relying only on three people to do all the work. Now there are three people to train the broader staff to do this work, within their areas. She added staff is looking at how to engage neighborhoods and build on what exists. Councilmember Mohamed stated she appreciates the thoughts that went into this, adding the internal work the REI staff does with staff and council and the trainings are helpful and she likes the holistic approach here. Ms. Guess stated she will also be part of the council retreat and will work some trainings into that meeting. Councilmember Kraft stated he likes how the presentation was laid out and appreciates the focus on capacity building, to make change, and hit the metrics needed. He asked how we know we are making progress, and in what way can staff and council be held accountable. Ms. Guess stated she likes this, adding the metrics will help staff understand what is needed and how to support that. Councilmember Mohamed stated when we have asked for data on REI work in the past, we haven’t gotten it. She added looking for measurable data can sometimes limit us in our work, and she wants to be sure this doesn’t happen. Ms. Guess agreed, but noted she needs the data to see where REI is excelling and where they are failing. Ms. Guess stated she was hearing climate and environment, the sense of belonging, and how to measure that. Councilmember Mohamed stated she doesn’t want to focus too much on the quantitative data only. Councilmember Brausen added he is glad the city is back to doing this work and sooner things can be operationalized the better. Ms. Guess added in the coming weeks staff will come to the council to present about how REI looks in their work within the city. Councilmember Dumalag added she appreciates coming back to this again and likes the idea of real-time learning. She appreciates doing the systems work together, noting that data can be used to weaponize, so there are cautions here to watch for. Ms. Guess added meeting people where they are at will be important – depending on experience. She stated they will work to meet staff where they are at, noting they asked for feedback from staff in designing the curriculum. Councilmember Budd stated she is encouraged about the efforts with the school board, and the impact this can have on students and families. She was also encouraged about the article regarding REI in St. Louis Park in the Star Tribune. She asked about the staff of three and how City council meeting of March 20, 2023 (Item No. 4d) Page 3 Title: Study session minutes of Dec. 12, 2022 that compares to the past. Ms. Keller stated until 2022 budget there were 2.5 staff, so there are two vacancies being filled now. Councilmember Budd asked if the neighborhood work could still fit into the capacity work. Ms. Keller stated they found it’s a lot of logistics and paperwork, so this change will allow the REI staff to do the higher-level capacity building and training. Councilmember Rog asked in the performance measures and indicators and tools, how will it be decided what to measure. Ms. Guess stated she will be leaning on the directors, who will lean on their staff, and then they will all lean on one another to determine priorities. She added each department will have a different outcome, goal, and a different way of meeting goals. She added their outcomes and timelines will be different. Councilmember Rog noted in the past she was frustrated when more quantitative data was being looked at. She asked for more detail on this and how this will reflect what the community values are. Ms. Guess stated building and energy will have a goal, and how they meet and approach it will be different than engineering. She added community engagement and asking them what success looks like will be important here as well and supporting that. Councilmember Brausen stated it’s important for council to do this work, as well as staff, and the community, and he looks forward to doing that work. Ms. Guess thanked him for that and added this is heart work. Mayor Spano stated data that was generated in the last visioning process was eye-opening with the black population feeling isolated in 43% of the cases. He stated it will be important to follow up on this in the next visioning process and he looks forward to this work. He asked when this will be back to council for further conversation. Ms. Keller stated in January a new council member will be joining, so we will have to be thoughtful on that, adding that there will be more work conducted in February. Councilmember Rog asked about person of culture versus person of color. Ms. Guess stated there are new concepts that talk about this, adding that bodies of culture experienced systemic racism, so this is the terminology that captures all, not just BIPOC, but brings in Indigenous and Asian Pacific Islanders as well and other demographic realities. She added this terminology is being used around the country now. 2. Diversity, Equity, and Inclusion Policy in Development Projects Ms. Monson presented the report. She noted the policy are goals only, not requirements, and are not enforceable. Councilmember Mohamed asked why they are only goals and not requirements. Ms. Monson stated some of the goals are very difficult to meet, such as BIPOC or AAPI owned businesses. Ms. Barton added to make them requirements, the city would have to prove that there a problem the city is trying to solve, and then would have to do a multi-year study to prove City council meeting of March 20, 2023 (Item No. 4d) Page 4 Title: Study session minutes of Dec. 12, 2022 disparities exist, and the studies need to continue. With goals, this moves the city forward legally and provides the first work, should the city decide to enact requirements. Mayor Spano asked why the city didn’t need to do a multi-year study related to affordable housing but would need to do one related to DEI and development. Ms. Barton stated one relates to people and discrimination and the other talks about buildings, adding she would need to discuss with the city attorney for more clarity. Councilmember Brausen stated he is happy the input from the developers was received. He noted the Met Council employment practices and goals related to the construction of the Southwest light rail are difficult to reach as they are not able to find the workers that are trained to do the work that needs to be done. Councilmember Rog agreed it is difficult to find people of color to do these jobs and noted also through her work at Dunwoody she saw that many women quit technical careers because of the harassment. She noted it is a cultural problem as well. Councilmember Rog asked if developers would increase their TIF ask if costs increase. Ms. Monson stated this goes into their total pro forma, and any extraordinary costs of doing business in St. Louis Park. Councilmember Rog asked what happens if they don’t meet their goals. Ms. Monson stated these are goals and we can look at the reasons they are not being met. She added this will give the city the ability to track data and see where we could go into the future. Ms. Barton added it is the expectation that they do meet the goals though, and we will look at any obstacles they have to reach them. She added if developers don’t work with the city to strive to meet these goals, then the city will not work with them in the future. Ms. Barton added all the pro forma information goes into the development project and all the numbers are factored into the project, including any assistance from the city. Councilmember Kraft asked if this is a unique policy. Ms. Monson stated no, other cities have DEI policies, but there are provisions that are unique to St. Louis Park such as peripheral business requirements and construction workers hours. Councilmember Kraft stated he is not sure he would approve of being asked to pay more in order for a developer to do the right thing. He added we will want those developers that want to do this, and then other cities will follow. He stated this should be built into what developers are already doing. Councilmember Kraft stated the developer should come back in after receiving the TIF and do a public presentation about their project. He added maybe the funding should be used to address the problem. Ms. Monson stated no one has asked the city for more money in their pro forma in order to do this, but they have said that in order to meet these goals, they will need more money to pay for staffing to track these goals. Ms. Barton stated staff is hearing this from both for and non-profit organizations. City council meeting of March 20, 2023 (Item No. 4d) Page 5 Title: Study session minutes of Dec. 12, 2022 Councilmember Dumalag stated she is familiar with this work, and she appreciates that the city is talking to them about goals. She agreed we should be looking at these as targeted goals with the expectation council will be asking these questions in person potentially in front of a developer when a project is complete. She added there is a lot that goes into this, and she appreciates the tracking. She stated this will take time and effort, but we have to start somewhere. Mayor Spano stated to get behind this, we will need to discuss this with developers and create some sort of accounting on this, and then create a framework that others can use. Councilmember Brausen added the city has required a green building policy and developers do follow this. He stated we should not demand but get them to comply with the policy. Councilmember Rog stated she is supportive of having developers come to council and report back their learnings, and to spotlight these issues. She understands the complexities and some developers will bring on women and people of color for low-level short-term jobs to check the box, but not provide the advancement opportunities. She asked if there is a way to monitor this. Ms. Barton stated this is why we have the periphery part included in the policy to try to get to the higher wage jobs. Mayor Spano stated he is fine with written information from developers, and it does not necessarily need to be a presentation. He stated we are trying to point out this is a problem, there needs to be some sort of transparency in the process, and in the asking for money to do this. Ms. Monson stated much of this can go into the policy guide and make changes to the policy as things go along. The council directed staff they want to move forward with the policy. Councilmember Brausen added he would like to meet with developers at some point to learn about TIF projects and policies the city has adopted and what has been easy and harder to comply with. Written Reports Councilmember Kraft noted on the housing report related to TIF and affordable housing and how much the city is investing. He stated the HRA levy and any TIF money that goes toward affordable housing, and the numbers from 2018-2023 go from $1.4 million to $3.5 million and next year, to $4.2 million. He added that doesn’t include other investments like Sherman, Bigos, and Texa-tonka. He stated the portion of the TIF request would be lower if not for the affordability portion. He noted taxpayers are investing in affordable housing, there is a limit on what we can ask taxpayers to invest for this, and we are hearing this is a problem for many residents. City council meeting of March 20, 2023 (Item No. 4d) Page 6 Title: Study session minutes of Dec. 12, 2022 Councilmember Rog appreciated Councilmember Kraft’s comments and being as thoughtful as we can be is helpful, but the tax burden on many residents is significant and likely to grow with new developments. Councilmember Kraft stated he will share his research on this. Mayor Spano stated that is a very singular view on how residents’ taxes are impacted. He stated it is a much more complex issue and he cautioned a causal relationship here. Councilmember Kraft stated the city’s affordable housing policy has been wonderful but asked is this the most effective way to invest -- through TIF. He added the TIF investment is sound, but asked if investing additional money for affordability, is the best way to do this. Councilmember Mohamed stated she would like to hear more about this, but noted this feels like a slippery slope, with no solutions and she has concerns. Councilmember Kraft stated he has a sense that the city may be able to reduce the HRA levy this year and not affect the city’s affordable housing goals. Councilmember Rog asked about the MnDOT report, which is of interest to residents. She asked for the rationale on doing a closed meeting related to the parcels. Ms. Barton stated MnDOT has asked for this because of potential negotiations for the city to purchase it. Councilmember Kraft noted the Comp Plan update was overwhelming. He stated the sustainability and micro grids information was interesting and the budget of $183,000 seems like a high reasonable, but we haven’t yet gotten the community engaged here. Otherwise, there would be an ask for more money. Councilmember Brausen agreed adding encouraging residents and businesses on solar and electrification is key. Mayor Spano asked for an update on Texa-tonka Liquor. Ms. Barton stated as of today the plan submitted has been approved, with an ask for a bit more detail on the metal and artwork. Mayor Spano added it looks like Texa-tonka is full now, and the area is fully up and running, which is positive news. Communications/meeting check-in (verbal) Ms. Keller noted the Holiday Train will go through the city on Tues., Dec. 13, at 6 p.m., with festivities beginning at 4:30 p.m. Ms. Keller noted at the meeting on Dec. 19, council and staff will say goodbye to Councilmember Kraft and outgoing Police Chief Harcey, while also swearing in new police Chief Kruelle. The meeting adjourned at 8:40 p.m. City council meeting of March 20, 2023 (Item No. 4d) Page 7 Title: Study session minutes of Dec. 12, 2022 Written Reports 3. Housing and neighborhood-oriented development systems discussion wrap-up 4. 2023 sustainability division programs and budget 5. 2040 comprehensive plan implementation update 6. 2023 pavement management project – Lenox, Oak Hill, Texatonka and Eliot View 7. MNDOT excess land update – Toledo and 28th Avenues 8. Title VI Plan framework ______________________________________ ______________________________________ Melissa Kennedy, city clerk Jake Spano, mayor Meeting: City council Meeting date: March 20, 2023 Consent agenda item: 5a Executive s ummary Title: Resolution accepting annual city manager evaluation. Recommended action: Motion to adopt resolution accepting the annual city manager evaluation and adjusting compensation effective January 1, 2023. Policy consideration: Does the city council want to formally accept the city manager’s performance evaluation? Summary: On Monday, March 13, 2023, the council met in a closed executive session to discuss the 2022 annual city manager performance evaluation. Consultant J. Forrest of Employee Strategies, Inc., facilitated the evaluation discussion. The mayor will provide a summary of the evaluation results, which includes an overall above average performance rating for City Manager Kim Keller. Financial or budget considerations: Not applicable. Strategic priority consideration: Not applicable. Supporting documents: Resolution Prepared by: Rita Vorpahl, HR director Approved by: Kim Keller, city manager City council meeting of March 20, 2023 (Item No. 5a) Page 2 Title: Resolution accepting annual city manager evaluation. Resolution No. 23-___ Resolution accepting the annual city manager evaluation and adjusting compensation effective January 1, 2023 Whereas, the city council provides an opportunity to hold an annual evaluation of the city manager; and Whereas, on March 13, 2023, a closed executive session of the council was held to discuss the annual performance evaluation, Whereas, council has agreed that City Manager Kim Keller’s annual performance evaluation was above average; Now therefore be it resolved that the city council of the City of St. Louis Park hereby accepts the annual performance evaluation of the city manager and recommends adjusting the city manager’s compensation effective January 1, 2023. Reviewed for administration: Adopted by the city council March 20, 2023 Cindy Walsh, deputy city manager Jake Spano, mayor Attest: Melissa Kennedy, city clerk Meeting: City council Meeting date: March 20, 2023 Consent agenda item: 5b Executive s ummary Title: Adopt ordinance amending city code chapter 36 pertaining to zoning Recommended action: Motion to adopt an ordinance amending chapter 36 of the city code pertaining to zoning and approve the summary ordinance for publication. Policy consideration: Does the city council support the proposed ordinance amendments? Summary: The council approved the first reading on March 6, 2023, with a change to section 7 of the ordinance to increase the maximum number of vehicles that can be parked on a property outside a garage from three to four for single-unit dwellings. The council also asked staff to review the parking limits for two-unit dwelling to determine if the parking limits should be increased to match the limits at single-unit dwellings. Staff recommends increasing the maximum to four (4) vehicles per dwelling for two-unit dwellings for the following reasons: 1. To maintain equity between properties improved with either one or two-unit dwellings. 2. It shouldn’t be assumed that households living in a two-unit dwelling are smaller than households living in a single-unit dwelling. 3. Living in a duplex isn’t an indication that there will be a diminished need for vehicles. 4. Blocks with duplexes may have an increased demand for on-street parking due to the increased number of dwelling units, residents, and guests. Providing additional parking on driveways will alleviate some of this demand. The requested changes have been made to the proposed ordinance as highlighted: “No more than three four vehicles can be parked or stored outside an enclosed building on a lot that contains a single-family residence. For a duplex, each dwelling unit may have up to four vehicles six vehicles can be parked or stored outside. This regulation shall not apply during snow emergencies. If there are more than three persons residing at a single-family dwelling, inclusive of an accessory dwelling unit or a boarder, who have valid state driver's licenses showing the residence addresses on the lot, then the total number of vehicles allowed to be parked outside is increased to a number equal to the number of licensed drivers residing at the property not to exceed five vehicles. The provisions of this subsection shall not apply during snow emergencies.” Previous/future actions Governing body Date Discussed in study session. Planning commission 1/18/2023 Public hearing conducted, and no comments were received. Recommended approval. Planning commission 2/15/2023 First reading of ordinance approved City council 3/6/2023 Financial or budget considerations: None. Strategic priority consideration: Not applicable. Supporting documents: Draft ordinance, summary ordinance for publication Prepared by: Gary Morrison, zoning administrator Reviewed by: Sean Walther, planning manager Karen Barton, community development director Approved by: Kim Keller, city manager City council meeting of March 20, 2023 (Item No. 5b) Page 2 Title: Adopt ordinance amending city code chapter 36 pertaining to zoning Draft ordinance Ordinance No. ___-23 Ordinance regarding miscellaneous zoning amendments The City of St. Louis Park does ordain: Whereas, the city, from time-to-time, updates and clarifies provisions of the zoning ordinance, and Whereas, the planning commission conducted a public hearing on February 15, 2023 on the ordinance, and Whereas, the City Council has considered the advice and recommendation of the planning commission (case no. 22-29-ZA), and Now, therefore be it resolved that the following amendments shall be made to Chapter 36 of the City Code pertaining to zoning: Section 1. Land use definitions. Chapter 36-73(b) of the St. Louis Park City Code is hereby amended to add the following underlined text: (4) Uncovered porches, stoops, patios or decks which do not extend above the height of the ground floor level of the principal building and are a minimum of two feet from any interior side or rear lot line and 15 feet from any front lot line and do not encroach on any side yard abutting a street. Ground level patios and decks on non-residential properties may extend up to the property line provided it is part of a non -residential use, adjacent to a right-of-way or a non-residential property, and does not encroach into an easement without prior approval. Section 2. Fence regulations. Chapter 36-74(e) of the St. Louis Park City Code is hereby amended to delete the struck-out language and to add the following underlined text: (2) A fence or wall may be up to eight feet in height if placed in any side or rear yard in an R district which abuts property in the C, O, MX, PUD, BP or I districts, or abuts a railroad right-of-way, school, churchreligious institution, or other public building. Section 3. Temporary uses. Chapter 36-82(b) of the St. Louis Park City Code is hereby amended to delete the struck-out language and to add the following underlined text: (3) Temporary structures. a. Temporary structures shall not be permitted for more that 14 days than 180 days per calendar year, except that temporary structures used for the storage of vehicles, equipment, or other household items shall not be permitted for more than 14 days per calendar year on any parcel that is zoned residential and used or subdivided for City council meeting of March 20, 2023 (Item No. 5b) Page 3 Title: Adopt ordinance amending city code chapter 36 pertaining to zoning residential. with the exception of temporary structures allowed under “agricultural commodities.” Section 4. Land use by zoning district. Section 36-115 of the St. Louis Park City Code is hereby amended to delete the struck-out language and to add the following underlined text: (e) Land uses permitted as accessory uses. Land uses listed as "permitted as an accessory use" are permitted subject to all of the requirements applicable to uses permitted by right, plus any additional requirements applicable to that particular land use contained in divisions 3 through 6 10 of this article. Accessory uses other than required off-street parking may not occupy more than 25 percent of the total floor area of any development unless further restricted in the district regulations. Section 5. Land use definitions. Chapter 36-142(d) of the St. Louis Park City Code is hereby amended to add the following underlined text: (18) In-vehicle sales or service means sales or service to persons in vehicles. It may include drive-in, drive-up and drive-through facilities, but does not include motor fuel stations, curbside pick- up or automated teller machines (ATMs). Characteristics include high traffic volumes during the typical peak hour traffic period. Section 6. Residential restrictions and performance standards. Section 36-162(d)(1) of the St. Louis Park City Code is hereby amended to delete the struck-out language and to add the following underlined text: h. Swimming pools, whirlpools, saunas, sport courts, and swing set/climbing structures are permitted in the backyard and side yards only and shall meet the following requirements: 1. They are a minimum of five feet from the rear lot line. 2. They meet the same side yards as required for the principal building. 3. A six-foot privacy fence shall be required to screen the portion of the swimming pool, whirlpool, or sport court located within 25 feet of the rear lot line. 4. Mechanical equipment shall meet the same setback required for the pool, whirlpool, or sauna unless it is contained within an accessory building. Section 7. Residential restrictions and performance standards. Section 36-162(f)(3)a of the St. Louis Park City Code is hereby amended to delete the struck-out language and to add the following underlined text: (3) The following provisions shall apply to the parking and storage of vehicles on residential parcels in the R-1, R-2 and R-3 districts: a. No more than three four vehicles can be parked or stored outside an enclosed building on a lot that contains a single-family residence. For a duplex, each dwelling may have up to four vehicles six vehicles can be parked or stored outside. This regulation shall not apply during snow emergencies. If there are more than three persons residing at a single-family dwelling, inclusive of an accessory dwelling unit or a boarder, who have valid state driver's licenses showing the residence addresses on the lot, then the total number of vehicles allowed to be parked outside is increased to a number equal to the number of licensed drivers residing at the property not to exceed five vehicles. The provisions of this subsection shall not apply during snow emergencies. City council meeting of March 20, 2023 (Item No. 5b) Page 4 Title: Adopt ordinance amending city code chapter 36 pertaining to zoning Section 8. Residential restrictions and performance standards. Section 36-162(f)(3)k of the St. Louis Park City Code is hereby amended to delete the struck-out language and renumber the list in code accordingly: k. The total area in the front yard of a single-family lot improved for parking and driveway purposes shall not exceed 30 percent of a front yard area. Additionally, the average width of a driveway shall not be more than 22 feet. This provision will not prohibit an average driveway width of up to 22 feet for all single-family lots. Section 9. Residential restrictions and performance standards. Section 36-162(f) of the St. Louis Park City Code is hereby amended to add the following underlined text and image: (9) Driveway and parking areas. The following provisions shall apply to driveway and parking areas for single and two-family dwellings: a. Permit required. A driveway permit shall be issued prior to the installation, replacement, or expansion of any driveway or parking area. b. Width. 1. The maximum width for the driveway apron shall not exceed 22 feet. 2. The maximum cumulative width for driveways, parking areas, and turnarounds shall not exceed 36 feet for single family, and 44 feet for two-family dwellings. 3. Horseshoe driveways are permitted when additional driveway accesses are allowed. The secondary driveway width shall be deducted from the maximum driveway width allowed and shall not exceed 12 feet in width. c. Setbacks. 1. No side setbacks are required for driveways, parking areas, and turnarounds. 2. The start of the transition to a driveway or parking area that is wider than the driveway apron may start immediately after the driveway apron and cannot exceed 45 degrees. 3. Turnarounds must be located on private property. d. Driveway access. 1. One access to a street and/or alley is allowed for single-family dwellings on lots less than 80 feet wide. 2. Two accesses to a street and/or alley is allowed for two-family dwellings, or single-family dwellings on lots greater than or equal to 80 feet wide. 3. Two street accesses are allowed for corner lots with the condition that one access is allowed per street frontage for lots less than 80 feet in width. e. Miscellaneous. 1. The maximum slope on the driveway shall not exceed 10%. 2. The surface of the driveway shall be paved with asphalt, concrete, or pavers. Permeable pavers and ribbon driveways may be used on private property if vegetation is maintained between the ribbons of the driveway and the open areas of the permeable pavers. City council meeting of March 20, 2023 (Item No. 5b) Page 5 Title: Adopt ordinance amending city code chapter 36 pertaining to zoning Section 10. C-1 neighborhood commercial district. Section 36-193(c) of the St. Louis Park City Code is hereby amended to delete the struck-out language and to add the following underlined text: (7) Food service. The condition for food service is that the maximum floor area shall be 7,500 square feet and shall not exceed intensity classification 4 for all other measures.The conditions are as follows: a. Access shall be to a roadway identified in the comprehensive plan as a collector or arterial roadway, or shall be otherwise located so that access can be provided without generating significant traffic on local, residential streets. b. No building may be located within 25 feet of any parcel that is zoned residential and used or subdivided for residential, or has an occupied institutional building, including but not limited to schools, religious institutions, and community centers. Section 11. C-2 general commercial district. Section 36-194(b) of the St. Louis Park City Code is hereby amended to add the following underlined text: (17) Food service. Section 12. C-2 general commercial district. Section 36-194(c) of the St. Louis Park City Code is hereby amended to delete the struck-out language: (11) Food service. The conditions are as follows: a. Building shall be located a minimum of 25 feet from any parcel that is zoned residential and used or subdivided for residential, or has an occupied institutional building, including but not limited to schools, religious institutions, and community centers. City council meeting of March 20, 2023 (Item No. 5b) Page 6 Title: Adopt ordinance amending city code chapter 36 pertaining to zoning Section 13. Electric vehicle supply equipment. Section 36-361 of the St. Louis Park City Code is hereby amended to delete the struck-out language and to add the following underlined text: (e) Electric vehicle supply equipment. The intent of this section is to facilitate and encourage the use of electric vehicles, to expedite the establishment of a convenient, cost-effective electric vehicle infrastructure, and establish minimum requirements for such infrastructure to serve both short and long-term parking needs. (2) Number of Required Electric Vehicle Charging Stations. a. All new, or reconstructed, or expanded parking structures or lots with 14 or fewer parking spaces shall be allowed, but not required, to install EVSE. b. All new, or reconstructed, or expanded parking structures or lots with at least 15 but no more than 49 spaces, or expanded parking structures or lots that result in a parking lot with 15 to 49 parking spaces, shall install EVSE as required below. 1. Multiple-family residential. At least 10% of the surface parking spaces shall be land uses shall have 10% of required residential parking served by EVCSs with at least 5% as Level 2 stations. At least one handicapped accessible parking space shall have access to an EVCS. 2. Non-residential land uses. At least two level 2 stations shall be provided. with parking spaces available for use by the general public shall have two Level 2 stations. At least one handicapped accessible parking space shall have access to an EVCS. c. All new, or reconstructed, or expanded parking structures or lots with at least 50 parking spaces, or expanded parking structures or lots that result in a parking lot with 50 or more parking spaces, shall install EVSE as required below. 1. Multiple-family residential. At least 10% of the surface parking spaces shall be land uses shall have 10% of required residential parking as served by Level 2 stations. At least one handicapped accessible parking space shall have access to an EVCS. 2. Non-residential land uses. At least with parking spaces available for use by the general public shall have at least 5% of required the surface parking spaces shall be served by as Level 2 stations, with at least one station adjacent to an accessible parking space. In non-residential zoned districts, DC charging stations may be installed to satisfy the EVCS requirements described above on a one-for-one basis. *** e. In addition to the number of required EVCSs, the following accommodations shall be required for the anticipated future growth in market demand for electric vehicles: 1. Multiple-Family Residential Land Uses: all new, expanded and reconstructed parking lots areas shall provide the electrical capacity necessary to accommodate the future hardwire installation of Level 2 EVCSs for a minimum of 50% of the surface required parking spaces. 2. Non-Residential Land Uses: all new, expanded and reconstructed parking lots areas shall provide the electrical capacity necessary to accommodate City council meeting of March 20, 2023 (Item No. 5b) Page 7 Title: Adopt ordinance amending city code chapter 36 pertaining to zoning the future hardwire installation of Level 2 or DC EVCSs for a minimum of 50% of the surface required parking spaces. Section 14. Architectural design. Chapter 36-366(c) of the St. Louis Park City Code is hereby amended to delete the struck-out language and to add the following underlined text: (2) New construction mMinimum class I materials. At least 60 percent of each building face visible from off the site must be of class I materials except as permitted by subsection (d)(4)c. of this section. Not more than 10 percent of each building face visible from off the site may be of class III materials. Portions of buildings not visible from off the site may be constructed of greater percentages of class II or class III materials if the structure otherwise conforms to all city ordinances. The mixture of building materials must be compatible and integrated. (3) New construction bBuildings in I-G and I-P districts. a. Not on major streets and not near residential. For buildings in the I-G and I-P districts which are not located on a principal arterial, minor arterial, major collector, or adjacent to or across from any residentially zoned property, class I materials may be reduced to a minimum of 25 percent provided that the remaining materials are functionally and durably equal to a class I material as certified by the architect or manufacturer. b. On major streets or near residential. For building walls in the I-G and I-P districts facing on a principal arterial, minor arterial or major collector, or adjacent to or across from any residentially-zoned property, class I materials may be reduced to a minimum of 25 percent provided that the remaining materials are functionally and durably equal to a class I material as certified by the architect or manufacturer and that the architectural design and site plan are superior quality as determined by the zoning administrator. The architecture and site plan shall meet the following minimum criteria to be considered superior quality: 1. The exposed height of the building wall shall not exceed 15 feet. 2. The number of required plant units shall be increased by 20 percent or the size of 20 percent of the overstory trees installed shall be increased to 3 1/2 caliper inches. 3. A minimum of ten percent of the building facade must be windows or glass spandrels. (4) Existing buildings. Existing buildings may paint or stain their exterior utilizing product specifically formulated for its intended use. All painted or stained surfaces shall be maintained so it is free of chipping and peeling. (5) Temporary materials. On non-residential properties, covered patios with a permanent solid roof may enclose the wall openings with transparent non -glass materials for up to six months per calendar year provided the permanent exterior wall materials are not covered. Section 15. Land use descriptions and characteristics. Chapter 36-142(d) of the St. Louis Park City Code is hereby amended to delete the struck-out language and to add the following underlined text: (20) Marijuana dispensary means a dispensary location where patients or consumers can access cannabis in a legal and safe manner. The use may include Users get assistance from experts (bud tenders) who find an optimal dosage and recommend the delivery method to achieve optimal results when using medical cannabis. Section 16. M-X Mixed use district. Chapter 36-264 – Table 263(b) of the St. Louis Park City Code is hereby amended to delete the struck-out text: City council meeting of March 20, 2023 (Item No. 5b) Page 8 Title: Adopt ordinance amending city code chapter 36 pertaining to zoning Offices PL P Section 17. This ordinance shall take effect 15 days after publication. Reviewed for administration: Adopted by the city council March 20, 2023 Kim Keller, city manager Jake Spano, mayor Attest: Approved as to form and execution: Melissa Kennedy, city clerk Soren Mattick, city attorney First reading March 6, 2023 Second reading March 20, 2023 Date of publication March 30, 2023 Date ordinance takes effect April 14, 2023 City council meeting of March 20, 2023 (Item No. 5b) Page 9 Title: Adopt ordinance amending city code chapter 36 pertaining to zoning SUMMARY FOR PUBLICATION Ordinance No. ____-23 An ordinance amending the St. Louis Park zoning ordinance This ordinance amends Chapter 36 of the City of St. Louis Park city code relating parking, driveways, temporary structures, architectural standards, electric vehicle charging stations, and other miscellaneous items for updates and omissions. This ordinance shall take effect 15 days after publication. Adopted by the city council March 20, 2023 Jake Spano /s/ Mayor A copy of the full text of this ordinance is available for inspection with the City Clerk. Published in St. Louis Park Sailor: March 30, 2023 Meeting: City council Meeting date: March 20, 2023 Consent agenda item: 5c Executive summary Title: Approve professional services contract for the Cedar Lake Road improvement project (4023-1100) Recommended action: Motion to authorize execution of a professional services contract with Kimley-Horn and Associates, Inc. in the amount of $2,039,040 for the Cedar Lake Road improvement project – city project no. 4023-1100. Policy consideration: Does the city council wish to continue to implement the city’s Pavement Management Program? Summary: The city council approved the preliminary design for Cedar Lake Road and Louisiana Avenue at the Feb. 6, 2023 city council meeting. The city is proposing to reconstruct Cedar Lake Road, between Jordan Avenue and Nevada Avenue, in 2024 and Louisiana Avenue, between Wayzata Boulevard and the bridge over the railroad located south of Cedar Lake Road, in 2025. The 2025 project also includes the construction of a roundabout at the Louisiana Avenue and Cedar Lake Road intersection. A consultant is needed to complete the final design, right of way acquisition, and construction services for the 2024 Cedar Lake Road improvement project. Staff is recommending that a contract be awarded to Kimley-Horn for $2,039,040. Kimley-Horn and Associates completed the preliminary design for Cedar Lake Road and Louisiana Avenue in February. They have also completed other designs for the city. Their most recent project was the Louisiana Bridge Reconstruction project in 2020. Financial or budget considerations: This project is included in the city’s Capital Improvement Program (CIP) for 2024. The estimate for the Cedar Lake Road Project is $10,518,740. Funding will be provided by a combination of federal funds, utility funds and general obligation bonds. Strategic priority consideration: St. Louis Park is committed to providing a variety of options for people to make their way around the city comfortably, safely and reliably. Supporting documents: Discussion Location map Preliminary plan Prepared by: Joseph Shamla, engineering project manager Reviewed by: Debra Heiser, engineering director Approved by: Kim Keller, city manager City council meeting of March 20, 2023 (Item No. 5c) Page 2 Title: Approve professional services contract for the Cedar Lake Road improvement project (4023-1100) Discussion Background The city council received a written report for the Cedar Lake Road and Louisiana Avenue improvement projects on Jan. 9, 2023 and held a public hearing on Jan. 17, 2023. The preliminary layout for both projects was approved by the city council at the Feb. 6, 2023 city council meeting. These projects are the reconstruction of Cedar Lake Road, between Jordan Avenue and Nevada Avenue, in 2024 and Louisiana Avenue, between Wayzata Boulevard and the bridge over the railroad located south of Cedar Lake Road, in 2025. The 2025 project also includes the construction of a roundabout at the Louisiana Avenue and Cedar Lake Road intersection. In order to move ahead with the Cedar Lake Road improvement project in 2024, a consultant is needed for final design, right of way acquisition, and construction services. Kimley-Horn and Associates, Inc. was awarded the contract to complete concept layouts and preliminary plans for Cedar Lake Road and Louisiana Avenue on Jan. 3, 2022. This contract did not include final design, right of way acquisition, or construction services. The reason for not including these services with the original contract is due to not having a clearly defined scope of work. Now that the preliminary layout is approved, the scope for final design, right of way acquisition, and construction services is defined. Project scope Cedar Lake Road is a bituminous roadway that was constructed in 1995. Staff is recommending reconstruction of this roadway because routine maintenance activities such as bituminous overlays are no longer cost-effective in preserving the road. In addition, the existing condition and geometry pose challenges for people biking, walking, and with limited mobility. The north side of the road currently has sidewalk. The south side of Cedar Lake Road does not have a sidewalk. The Cedar Lake Road improvement project will include the following: • New pavement. • Narrowing the roadway to provide traffic calming. • Construction of a one-way cycle track on both sides of the road. • Constructing a new sidewalk on the south side of the road. • Crosswalk enhancements for people walking and rolling, including raised medians and user-actuated flashing beacons. • New curb ramps meeting the requirements of the Americans with Disabilities Act (ADA). • Potential removal of the traffic signal at Cedar Lake Road and Texas Avenue and Cedar Lake Road and Nevada Avenue. Further evaluation is required. A recommendation will be provided when the plans are brought to council for final approval. • Storm sewer modifications as needed to align catch basins with the new curb lines. • Minor modifications to the watermain and sanitary sewer. • Removal of existing on-street parking. City council meeting of March 20, 2023 (Item No. 5c) Page 3 Title: Approve professional services contract for the Cedar Lake Road improvement project (4023-1100) Financial considerations The total cost for preliminary design for both corridors was $430,499. The amount spent on each corridor is approximately half of the total cost, or $215,250. The consultant used the preliminary design and guidance from staff to provide a cost estimate to complete the final design, right of way acquisition, and construction services for this project. A summary of cost is below. Cedar Lake Road consulting engineering costs Amount Preliminary design contract cost - complete $215,250 Final design, right of way acquisition, and construction services contract cost $2,039,040 Total consulting engineering cost $2,254,290 The estimated construction cost for this project is $7,814,992. The total consulting engineering cost, $2,254,290, is approximately 29% of the estimated construction cost. Industry standard for engineering costs on construction projects can range from 25% to 35%, depending on the complexity of the project. Projects that receive federal funding are more complex and have additional approval requirements. The cost provided above includes final design and construction administrative services. Staff has high expectations from the consultant for resident and business support and responsiveness. Cedar Lake Road will require coordination with MnDOT, utility companies, residents and businesses. As a result, we believe that the contract cost is consistent with the scope and demands of this project. This project will require the city to obtain temporary and permanent easements. Most of the permanent easement is for construction of the sidewalk. The city will also need to acquire the property in the northeast corner of the intersection of Cedar Lake Road and Louisiana Avenue. Staff plans on obtaining all the permanent easement needed for the roundabout at the Louisiana Avenue intersection with this consultant contract. Schedule A significant amount of work is required to complete the final plans, acquire right of way, and bid the project prior to the start of the 2024 construction season. Please see the schedule below: Right of way acquisition April 2023 – January 2024 60 percent plans complete July 2023 Final design open house October 2023 Final plans complete January 2024 City council approval of final plan and specifications and authorize ad for bid February 2024 Award contract March 2024 Construction April – November 2024 CEDARMANOR LAKE HANNAN LAKE VICTORIA LAKE COBBLECREST LAKE WESTWOODLAKE WESTLING POND MINNETONKA BLVDHIGHWAY 16914TH ST W WAYZATA BLVD 28TH ST W C E D A R L A K E R D TEXAS AVE SINTERSTATE 394 Q UEBECAVES16TH ST W 27TH ST W 18TH ST W PENNSYLVANIAAVESVIRGINIAA V E S 22ND ST W22NDSTW CLUB RD 24TH ST W LOUISIANA AVE S2 5 TH ST W PENNSYLVANIA AVE SBOONE AVE SOREGON AVE S16T H STW VIRGIN IA CIRN LOUISIANAC T RHODE ISLAND AVE S18TH ST W C AVELL AVESUTAHAVES24TH LN W 24TH ST WFLAG AVE S24TH ST W 25T H S T W ZINRAN AVE SFRANKLINAVEW VICTORIA W AYUTAHDR VIRGINIAAVESTEXAS AVE SKENTUCKYAVESWE S T WOODHILLSDRBURD PLWESTWOODH I L L S RD PENNSYLVANIA AVE SGETTYS BURGAVES WAYZATA BLVD QUEB EC A V E S OREGON AVE SNEVADA AVE SSUMTER AVE SMARYLAND AVE SFRANKLIN AVE W KENTUCKY AVE S18TH ST W 16TH ST W13THLNW RH O D E ISLANDAVES2 6 T H S T W18TH ST WHIL L S B O R OAVESFAIRWAYLNFRAN K L I N A V E W 23RDST W BOONEAVES PENNSYLVANIAAVESJORDANAVESHILLSBOROAVES2 2 N D ST WFLAGAV E S WESTMORELA NDLN13TH LN W OR EGONCTVIRGINIAA VES QUEBECDR AQUILAAVES16TH STW MARYLAND AVE SNEVADA AVE SDECATUR AVE SVIRGINIA CIR S QUEBEC AVE SQUEBEC AVE SGETTYSBURGAVESFLAG AVE S28TH ST W NEVADA AVE S22ND LN W Y UKONAVES23RD ST W T E X A TONKAAVEVIRGINIAAVES 14TH ST W UTAHAVESSUMTERAVES22ND ST W S T A NLEN RD X YLONAVESWESTWOODHILLSCU RV28TH ST W Northside Park Lamplighter Park Cedar Knoll Park Westwood Hills Nature Center 0 0.5 10.25 Miles Cedar Lake Road and Louisiana Avenue Improvements Legend 2023-2024 construction 2024-2025 construction Municipal boundary City council meeting of March 20, 2023 (Item 5c) Title: Approve professional services contract for the Cedar Lake Road improvement project (4023-1100)Page 4 X X XX XXX X XXXXXXXXXX X X X X X XXX X X X X X X X X X XX X X X X X X XXX X X X X XX XX X X X X XX X X X X X X XXX X XX X X X X X X X X X X X X X NORTH NORTH NORT H City council meeting of March 20, 2023 (Item 5c) Title: Approve professional services contract for the Cedar Lake Road improvement project (4023-1100)Page 5 Meeting: City council Meeting date: March 20, 2023 Consent agenda item: 5d Executive s ummary Title: Award contract for reconstruction of Aquila Park tennis courts Recommended action: Motion to designate Minnesota Roadways Company as the lowest responsible bidder and authorize execution of a contract with the firm in the amount of $502,205.00 for the reconstruction of eight tennis courts at Aquila Park, CIP No. 21230301. Policy consideration: Does the city council wish to reconstruct the tennis courts at Aquila Park? Summary: A total of six (6) bids were received for this project on February 24, 2023. A summary of the bid results is shown below: Contractor Bid Amount Minnesota Roadways Company $502,205.00 Park Construction Company $532,714.00 Bituminous Roadways $539,895.00 K.A. Witt Construction Inc. $547,000.00 Goodmanson Construction $557,000.00 Urban Companies, Inc. $655,000.00 Staff recommends that a contract be awarded to Minnesota Roadways Company in the amount of $502,205.00. Minnesota Roadways Company has successfully completed similar work for the City of Woodbury with positive feedback from Woodbury’s parks staff. This reconstruction is a joint project with Benilde-St. Margaret’s School. Financial or budget considerations: The reconstruction of the courts is included in the city’s budget, under the Capital Improvement Program (CIP). Benilde-St. Margaret’s School will reimburse the city 50% of the cost of this project. Strategic priority consideration: St. Louis Park is committed to creating opportunities to build social capital through community engagement. Supporting documents: None. Prepared by: Stacy M. Voelker, senior office assistant Reviewed by: Rick Beane, parks superintendent Jason T. West, parks and recreation director Approved by: Kim Keller, city manager Meeting: City council Meeting date: March 20, 2023 Consent agenda item: 5e Executive s ummary Title: Accept grant from Park Nicollet Foundation to fire department Recommended action: Motion to adopt resolution accepting a grant from the Park Nicollet Foundation for funding a full time Community Health Referral Coordinator in the fire department over the next three years. Policy consideration: Does the city council wish to accept this grant with restrictions on the use? Summary: State statute requires that the city council formally accept grants. This requirement is necessary to make sure the city council has knowledge of any restrictions placed on the use of each grant prior to it being expended. The Park Nicollet Foundation is graciously providing a grant to the fire department for $270,000. The grant is given with restrictions, outlined below. Financial or budget considerations: This grant will be used for funding a full time Community Health Referral Coordinator over the next three years. Strategic priority consideration: St. Louis Park is committed to creating opportunities to build social capital through community engagement. Supporting documents: Resolution Prepared by: Steve Koering, fire chief Approved by: Kim Keller, city manager City council meeting of March 20, 2023 (Item No. 5e) Page 2 Title: Accept grant from Park Nicollet Foundation to fire department Resolution No. 23-___ Resolution accepting grant to fire department Whereas, the City of St. Louis Park is required by state statute to authorize acceptance of any grant; and Whereas, the city council must ratify any restrictions placed on the grant by the donors; and Whereas, the grant from Park Nicollet Foundation is directed toward the funding of a full time Community Health Referral Coordinator position over the next three years; and Now therefore be it resolved by the city council of St. Louis Park that this grant is hereby accepted with thanks and appreciation. Reviewed for administration: Adopted by the City Council March 20, 2023 Kim Keller, City Manager Jake Spano, Mayor Attest: Melissa Kennedy, City Clerk Meeting: City council Meeting date: March 20, 2023 Consent agenda item: 5f Executive s ummary Title: Accept donation from Minnesota American Water Works Association (MN AWWA) Recommended action: Motion to adopt a resolution approving acceptance of a monetary donation from MN AWWA in an amount not to exceed $2,000 for all related expenses for Austin Holm, Utilities Superintendent, to attend and compete in the 2023 ACE Conference sponsored Annual Conference and Exposition (ACE) training in Toronto, Canada. Policy consideration: Does the city council wish to accept the gift with restrictions on its use? Summary: State statute requires city council’s acceptance of donations. This requirement is necessary in order to make sure the city council has knowledge of any restrictions placed on the use of each donation prior to it being expended. The City of St. Louis Park’s Utilities Superintendent, Austin Holm, will be competing in the 2023 ACE Conference Meter Madness Competition and training sessions and representing Minnesota as the state’s meter madness champion to be held in Toronto, Canada on June 11-14, 2023. This competition and training in Toronto are for professionals in the water industry worldwide with topics to include filtration systems, best management practices, new water treatment technology, locating, changing workforce, watermain replacement, etc. There will also be timed competition for fire hydrant and water meter rebuilding. MN AWWA has offered to pay all related workshop expenses in an amount not to exceed $2,000. State law permits the payment of such expenses by this organization, regardless of whether the funds come from primary or secondary sources. It is treated as a gift to the city and needs to be a resolution adopted by the city council determining that attendance at this event serves a public purpose and accepting the gift. The City of St. Louis Park will pay for travel, the conference and hotel accommodations up front and submit receipts to MN AWWA for reimbursement. Financial or budget considerations: This donation will be used toward the expenses incurred by Austin Holm’s attendance to the 2023 ACE Conference training in Toronto, Canada. Strategic priority consideration: St. Louis Park is committed to continue to lead in environmental stewardship. Supporting documents: Resolution Prepared by: Jay Hall, public works director Reviewed by: Cynthia S. Walsh, deputy city manager Approved by: Kim Keller, city manager City council meeting of March 20, 2023 (Item No. 5f) Page 2 Title: Accept donation from Minnesota American Water Works Association (MN AWWA) Resolution No. 23-____ Resolution accepting donation from MN AWWA for expenses for Austin Holm to attend the 2023 ACE Conference in Toronto, Canada Whereas, The City of St. Louis Park is required by State Statute to authorize acceptance of any donations; and Whereas, the city council must also ratify any restrictions placed on the donation by the donor; and Whereas, MN AWWA will compensate all related costs, in an amount not to exceed $2,000.00 for the city’s Utilities Superintendent Operator, Austin Holm, to attend this workshop held on June 11-14, 2023, in Toronto, Canada; and Now therefore be it resolved, by the City Council of the City of St. Louis Park that the gift is hereby accepted with thanks to MN AWWA with the understanding that it must be used for expenses incurred by Austin Holm to attend the 2023 Ace Conference training in Toronto, Canada. Reviewed for Administration Adopted by the City Council March 20, 2023 Kim Keller, city manager Jake Spano, mayor Attest: Mellissa Kennedy, city clerk Meeting: City council Meeting date: March 20, 2023 Consent agenda item: 5g Executive s ummary Title: Reject yard waste proposals and authorize staff to solicit yard waste collection RFP Recommended action: Motion to reject the only proposal received on January 23, 2023 for 2023-2028 residential yard waste collection and motion to authorize staff to issue a new Request for Proposals (RFP) for 2023-2028 yard waste collection services. Policy consideration: 1) Does the city council wish to reject the yard waste proposal? 2) Does council wish for staff to issue a new request for proposals (RFP) for yard waste services only? Summary: A total of one (1) proposal and one (1) alternate proposal was provided by Waste Management for yard waste collection by the January 23, 2023 proposal deadline. Due to the lack of additional proposals to consider and the proposed rate increase required, council gave staff direction at the February 27, 2023 study session to reject the proposals and allow staff to negotiate an extension of the current yard waste collection contract through December 1, 2023, which is the end of the 2023 yard waste season. Staff attempted to negotiate a two-month extension with the city’s current contractor, Waste Management. The cost provided was $20.50 per household, or an estimated $504,300 total for October and November yard waste services. This is a $450,426 increase over the current contract rate for a two-month period. The contract extension is not a viable option at 836% increase. To secure a contractor in time to avoid interruptions to service, staff is requesting authorization to issue a new yard waste collection RFP and request pricing for (1) weekly collection for full season and (2) weekly collection, except seasonal every-other-week (June – August) to compare pricing and (3) an optional service for residents to opt in or out of yard waste collection service. Below is a draft schedule with major steps to award a new contract to begin on October 1, 2023. Future actions Governing body Date Request for proposals sent to haulers Staff March 2023 Proposals and staff recommendations reviewed with council Staff/council April 2023 Staff negotiates collection contract with vendor Staff May 2023 Council approves new collection contract Council May/June 2023 Financial or budget considerations: None at this time. Strategic priority consideration: St. Louis Park is committed to continue to lead in environmental stewardship. Supporting documents: None Prepared by: Kala Fisher, solid waste manager Reviewed by: Jay Hall, public works director Approved by: Kim Keller, city manager Meeting: City council Meeting date: March 20, 2023 Consent agenda item: 5h Executive s ummary Title: Resolution recognizing retirement of Jeff Stevens, operations superintendent Recommended action: Motion to adopt resolution to recognize Jeff Stevens for more than 44 years of service. Policy consideration: None. Summary: City policy states that employees who retire or resign in good standing with over 20 years of service will be presented with a resolution from the mayor, city manager and the city council. Jeff will be in attendance for a presentation of this resolution. This consent item will officially adopt the resolution that honors Jeff for his years of service. Financial or budget considerations: Not applicable. Strategic priority consideration: Not applicable. Supporting documents: Resolution Prepared by: Rita Vorpahl, HR director Reviewed by: Cheyenne Brodeen, administrative services director Approved by: Kim Keller, city manager City council meeting of March 20, 2023 (Item No. 5h) Page 2 Title: Jeff Stevens Retirement Recognition Resolution No. 23-____ Resolution recognizing the contributions and expressing appreciation to Jeff Stevens, Operations Superintendent Whereas, Jeff Stevens began his employment with the City of St. Louis Park 44 years ago in April, 1979 as a seasonal employee for parks as well as streets before being hired on full-time as public service worker - streets for the public works department in September, 1985; and Whereas, Jeff’s dedicated service and work ethic to all aspects of public works maintenance allowed him to rise from a seasonal employee to operations manager/superintendent. Jeff spent 14 years as a public service worker - streets, 13 years as streets field supervisor, and the remaining 10 years as public works operations manager/superintendent; and Whereas, Jeff has been involved or taken the lead on snow removal totaling over 160 feet over his 37-year career with the city to include three of the top five single-storm snowfalls in the city; 28.4” Halloween Blizzard 1991, 21.1” Thanksgiving 1985, and 17.1” Dome Buster 2010; and Whereas, Jeff provided maintenance, history, and design suggestions to the 153 miles of streets throughout the city. His knowledge and understanding of maintenance needs across departmental lines was integral in designing a system that is user and maintenance friendly; and Whereas, Jeff plans to enjoy the journey called retirement that opens the door to begin working on his bucket list, spoiling his grandchildren, and exploring the backroads of the country from the seat of his motorcycle often; trying not to compare or rate each city’s infrastructure; and Now therefore be it resolved that the city council of the City of St. Louis Park, Minnesota, by this resolution and public record, would like to thank Jeff Stevens for his great contributions and his 44 years of dedicated service to the City of St. Louis Park and wish him the best in his retirement. Reviewed for administration: Adopted by the city council March 20, 2023 Kim Keller, city manager Jake Spano, mayor Attest: Melissa Kennedy, city clerk Meeting: City council Meeting date: March 20, 2023 Consent agenda item: 5i Executive s ummary Title: Resolution authorizing grant application and execution of grant agreement for sanitary sewer lining projects Recommended action: Motion to adopt a resolution authorizing the submission of a grant application and execution of a grant agreement in the amount of $50,000 to assist with funding for city sewer lining projects. Policy consideration: Does the city council wish for staff to apply for the grant to help with funding of the city sewer lining projects? Summary: Metropolitan Council offers a grant program that is funded with $5 million in state bond funds appropriated by the 2020 Minnesota Legislature and championed by Metro Cities. The city will apply for a $50,000 grant to assist with the expense of inflow and infiltration mitigation work that was done from January 1, 2021 through December 31, 2022. Staff continues to inspect and determine which sanitary sewer mains are candidates for sewer lining to prevent inflow and infiltration (I/I). Cracks in the sewer main allows groundwater to flow into the sewer system which can overwhelm our sewer system and add cost for sewer discharge to Metropolitan Council. The city lines three to four miles of sanitary sewer main annually as part of our capital improvement project (CIP). Financial or budget considerations: This grant will recover some expenses from the 2021 – 2022 sanitary sewer main lining capital improvement projects and will be used toward future lining projects. Strategic priority consideration: St. Louis Park is committed to continue to lead in environmental stewardship. Supporting documents: Resolution Prepared by: Jay Hall, public works director Reviewed by: Cynthia S. Walsh, deputy city manager Approved by: Kim Keller, city manager City council meeting of March 20, 2023 (Item No. 5i) Page 2 Title: Resolution authorizing grant application and execution of grant agreement for sanitary sewer lining projects Resolution No. 23-____ Resolution authorizing submission of a grant application and execution of a grant agreement for citywide sanitary sewer lining projects Whereas, The Metropolitan Council coordinates applications and distributes state bond funds for Inflow/Infiltration mitigation; and Whereas, the City Council of St. Louis Park unanimously adopted the capital improvement projects for 2021 and 2022 sewer lining: and Whereas, sewer lining projects are a critical component to protect the city’s sanitary sewer system from Inflow/Infiltration and reduce expenses for sewer treatment by the Metropolitan Council; and Now therefore be it resolved, by the City Council of the City of St. Louis Park supports the application and execution of a grant agreement with the Metropolitan Council for the 2020 Inflow and Infiltration Grant Program to Mitigate Inflow/Infiltration in the sanitary sewer collection system. Reviewed for Administration Adopted by the City Council March 20, 2023 Kim Keller, city manager Jake Spano, mayor Attest: Mellissa Kennedy, city clerk Meeting: City council Meeting date: March 20, 2023 Consent agenda item: 5j Executive s ummary Title: Resolution approving amendment to contract for private development with Beltline Station LLC (Ward 1) Recommended action: Motion to adopt Resolution approving a first amendment to the contract for private development related to the affordable component of the Beltline Station Development. Policy consideration: Does the city council wish to approve the first amendment to the contract for private development with Beltline Station LLC (an affiliate of Sherman Associates) to adjust the development’s construction commencement and completion dates? Summary: In June 2022, the EDA approved a Purchase Agreement with Beltline Station LLC (“Redeveloper”) for the sale of the Beltline Station development site (located at the southeast quadrant of Highway 7 and Beltline Boulevard) as well as a Contract for Private Development for the development’s 82-unit all-affordable component. Under the development contract, construction of the affordable building was to commence by January 31, 2023, and be completed by December 31, 2024. However, per the purchase agreement, a reciprocal easement and operating agreement (REOA) for the public/private parking ramp on the development site between the Redeveloper and the Metropolitan Council is required to be in its final form prior to the EDA’s sale of the property to the Redeveloper. While significant progress has been made to date on an REOA acceptable to all parties, more time is needed to complete it. Additionally, supply chain issues pertaining to the major force sewer mains on the development site required a delay in the construction commencement of the affordable building. Given the above, staff and the EDA’s legal counsel recommend the city council amend the contract for private development to require construction of the affordable component to commence by July 13, 2023, and be completed by June 30, 2025. Financial or budget considerations: There are no financial implications for the city relative to the proposed amendment. Strategic priority consideration: St. Louis Park is committed to providing a broad range of housing and neighborhood oriented development. Supporting documents: Resolution Prepared by: Jennifer Monson, redevelopment administrator Reviewed by: Greg Hunt, economic development manager Karen Barton, community development director, EDA executive director Approved by: Kim Keller, city manager City council meeting of March 20, 2023 (Item No. 5j) Page 2 Title: Resolution approving amendment to contract for private development with Beltline Station LLC (Ward 1) Resolution No. 23-_____________ Resolution approving a first amendment to contract for private development with the St. Louis Park Economic Development Authority and Beltline Station Limited Partnership Be it resolved by the City Council (the “City Council”) of the City of St. Louis Park, Minnesota (the “City”) as follows: Section 1. Recitals; Authorization. (a) The St. Louis Park Economic Development Authority (the “Authority”), the City, and Beltline Station Limited Partnership, a Minnesota limited partnership (the “Developer”), entered into a Contract for Private Development, dated July 7, 2022 (the “Original Agreement”), pursuant to which the Developer agreed to acquire certain property located in the City and construct thereon approximately 82 units of multifamily rental housing together with approximately 59 underground parking spaces (the “Minimum Improvements”). (b) The Authority, the City, and the Developer have negotiated a First Amendment to Contract for Private Development (the “First Amendment to Agreement”), a form of which is on file with the City Council, which amends the Original Agreement to extend the dates of commencement and completion of construction of the Minimum Improvements. (c) The City Council has reviewed the First Amendment to Agreement and finds that the execution thereof and performance of the City’s obligations thereunder are in the best interest of the City and its residents. Section 2. Approval of First Amendment to Agreement. (a) The City Council approves the First Amendment to Agreement in substantially the form presented to the City Council, together with any related documents necessary in connection therewith, including without limitation all documents, exhibits, certifications, or consents referenced in or attached to the First Amendment to Agreement (the “Documents”). (b) The City Council hereby authorizes the Mayor and City Manager, in their discretion and at such time, if any, as they may deem appropriate, to execute the Documents on behalf of the City, and to carry out, on behalf of the City, the City’s obligations thereunder when all conditions precedent thereto have been satisfied. The Documents shall be in substantially the form on file with the City and the approval hereby given to the Documents includes approval of such additional details therein as may be necessary and appropriate and such modifications thereof, deletions therefrom and additions thereto as may be necessary and appropriate and approved by legal counsel to the City and by the officers authorized herein to execute said documents prior to their execution; and said officers are hereby authorized to approve said changes on behalf of the City. The execution of any instrument by the appropriate officers of the City herein authorized shall be conclusive evidence of the approval of such document in City council meeting of March 20, 2023 (Item No. 5j) Page 3 Title: Resolution approving amendment to contract for private development with Beltline Station LLC (Ward 1) accordance with the terms hereof. This resolution shall not constitute an offer and the Documents shall not be effective until the date of execution thereof as provided herein. (c) In the event of absence or disability of the officers, any of the documents authorized by this resolution to be executed may be executed without further act or authorization of the City Council by any duly designated acting official, or by such other officer or officers of the City Council as, in the opinion of the City Attorney, may act in their behalf. Upon execution and delivery of the Documents, the officers and employees of the City Council are hereby authorized and directed to take or cause to be taken such actions as may be necessary on behalf of the City Council to implement the Documents. Section 3. Effective date. This resolution shall be effective upon approval. Reviewed for Administration: Adopted by the City Council March 20, 2023 Kim Keller, city manager Jake Spano, mayor Attest: Melissa Kennedy, city clerk Meeting: City council Meeting date: March 20, 2023 Consent agenda item: 5k Executive s ummary Title: Bid Tabulation: 2023 Street Maintenance (4023-1200) - Ward 4 Recommended action: Motion to designate OMG Midwest, Inc. dba Minnesota Paving & Materials, the lowest responsible bidder and authorize the execution of a contract with the firm in the amount of $468,356.58 for the 2023 Street Maintenance Project no. 4023-1200. Policy consideration: Does the city council wish to continue to implement our pavement management program? Summary: A total of nine (9) bids were received for this project. A summary of the bid results is as follows: Contractor Bid amount OMG Midwest Inc. dba Minnesota Paving & Materials $ 468,356.58 Northwest Asphalt, Inc. $ 473,992.38 GMH Asphalt Corp. $ 514,878.31 Park Construction Company $ 514,889.61 Bituminous Roadways, Inc. $ 570,061.00 S.M. Hentges & Son, Inc. $ 589,969.30 Asphalt Surface Technologies Corp. $ 595,211.13 Omann Brothers Paving, Inc. $ 604,671.13 C.S. McCrossan Construction, Inc. $ 641,239.75 Engineer's estimate $588,835.00 A review of the bids indicates OMG Midwest, Inc. dba Minnesota Paving & Materials submitted the lowest bid. OMG Midwest, Inc. dba Minnesota Paving & Materials is a reputable contractor. Staff recommends that a contract be awarded to the firm in the amount of $468,356.58. Financial or budget considerations: This project is included in the city's Capital Improvement Plan (CIP) for 2023. This project is funded by pavement management funds. Funding details are provided in the discussion section. Strategic priority consideration: St. Louis Park is committed to providing a variety of options for people to make their way around the city comfortably, safely and reliably. Supporting documents: Discussion 2023 Street Maintenance project map Overall 2023 financial summary Prepared by: Aaron Wiesen, project engineer Reviewed by: Debra Heiser, engineering director Approved by: Kim Keller, city manager City council meeting of March 20, 2023 (Item No. 5k) Page 2 Title: Bid Tabulation: 2023 Street Maintenance (4023-1200) Discussion Background Most streets in St. Louis Park were reconstructed between the mid-60s to early 80s. There are many variables, i.e., weather, traffic, soils, utility cuts, etc., that contribute to a pavement's deterioration. In general, pavement lifecycle can range from 20 to 30 years. Applying this standard to St. Louis Park, most of the streets in the city have exceeded their useful life. Fortunately, the city's streets are still in relatively good condition. This is because the streets were built well, are situated on good soils, utilize curb and gutter for drainage, and have been well-maintained. However, as pavements age, more extensive maintenance is needed to "catch" certain streets and extend their life before total reconstruction is necessary. Bids were received on March 9, 2023, for the 2023 Street Maintenance project. This year's work, project no. 4023-1200, will be performed in Areas 7 and 8 of the city's eight pavement management areas. It includes work in the Eliot View and Blackstone neighborhoods (Ward 4). Selection of street segments included in the project was based on street condition and field evaluations to determine the current conditions of the pavement. This routine maintenance involves edge milling the existing pavement and overlaying a thin layer of bituminous. This maintenance will extend the life of these streets by 15 years, creating a new pavement surface until we are next in the area for full-depth pavement replacement. An advertisement for bids was published in the St. Louis Park Sun Sailor on Feb. 16, 2023, and Feb. 23, 2023, and in Finance and Commerce from Feb. 21, 2023 to Feb. 25, 2023. In addition, plans and specifications were available for viewing at City Hall and electronically via the internet on the city's OneOffice website. Information regarding this bidding opportunity was shared with three minority associations and 35 Disadvantaged Business Enterprises (DBE) contractors, as well as posted on the Association of Women Contractors Bid Opportunity Board. Thirty contractors/vendors downloaded plan sets, of which five (5) were DBE companies. Financial considerations Staff has analyzed the bids and determined that OMG Midwest, Inc. dba Minnesota Paving & Materials is a qualified contractor that can complete this work during the 2023 construction season. The low bid is 24.5% lower than the CIP. Based on the low bid received, cost and funding details are as follows: CIP Low bid Construction cost $620,000.00 $ 468,356.58 Engineering and administration $ 34,040.00 $ 34,040.00 Base bid total $ 654,040.00 $ 502,396.58 Funding sources Pavement management $ 654,040.00 $ 502,396.58 Base bid total $ 654,040.00 $ 502,396.58 Due to the nature of our construction projects, unexpected costs do come up. To address this, past practice has been to show a contingency for the project. What follows is a table that shows this contingency and how this would affect the project costs. City council meeting of March 20, 2023 (Item No. 5k) Page 3 Title: Bid Tabulation: 2023 Street Maintenance (4023-1200) Low bid Contingency (10%) Engineering/ administration Total Pavement management $ 468,356.58 $ 46,835.66 $ 34,040.00 $ 549,232.24 Total $ 468,356.58 $ 46,835.66 $ 34,040.00 $ 549,232.24 Attached is the overall financial summary for the transportation and maintenance projects included in the 2023 CIP. As each project is brought to the council for final approval and for bid award, this summary will be updated to reflect the bids received. Final numbers will depend on bids received. Next steps Once approved, city staff will work with the contractor to determine a construction schedule. Construction is anticipated to be completed by August 2023. Meeting: City council Meeting date: March 20, 2023 Consent agenda item: 5l Executive s ummary Title: Amend 2023 budget for the water utility fund and solid waste fund Recommended action: Motion to adopt resolution modifying Resolution No. 22-197 and adopting amended 2023 budgets for the Water Utility Fund and Solid Waste Fund Policy consideration: Does the proposed Resolution meet the intent of the city council’s 2023 budget? Summary: On December 19, 2022, the city council approved the 2023 property tax levy and budget in accordance with Minnesota Statutes. When finalizing the 2023 budget book, staff discovered two errors in the 2023 Resolution adopting the 2023 general fund budget, other 2023 budgets and authorizing the 2023 final property tax levy. While the property tax levy resolution is correct, the budgeted amounts for the Water Utility Fund and Solid Waste Fund are incorrect. Financial or budget considerations: The Water Utility Fund expenses did not include $596,887 for the Reilly G&A expenses. There is no financial impact as the $596,887 was included in the financial software 2023 budget. The error was in transferring the total budgeted amount to the resolution. By doing an amendment to the 2023 Water Utility Fund budget, the $596,887 will be appropriately included in the approved 2023 budget. The Solid Waste Utility Fund budget was also incorrectly placed in the 2023 budget resolution. In reviewing the 2023 budget resolution, the 2022 budgeted dollars were included in the resolution rather than the 2023 budgeted dollars. In addition, there were rate changes in the Solid Waste Utility Fund and the budget narrative report to the city council indicates no change in this fund. As with the Water Utility Fund, the budget within the financial software reflects the appropriate 2023 budget and the numbers were not transferred correctly to the resolution. Strategic priority consideration: Not applicable. Supporting documents: Resolution Prepared by: Jean McGann, interim finance director Reviewed by: Cheyenne Brodeen, administrative services director Cindy Walsh, deputy city manager Approved by: Kim Keller, city manager City council meeting of March 20, 2023 (Item No. 5l) Page 2 Title: Amend 2023 budget for the water utility fund and solid waste fund Resolution No. 23-____ Resolution amending the 2023 water utility fund budget and the 2023 solid waste utility fund budget Whereas, The City of St. Louis Park is required by Charter and State law to approve a resolution setting forth an annual tax levy to the Hennepin County Auditor; and Whereas, Minnesota Statutes currently in force require approval of a property tax levy and a budget in December of each year; and Whereas, the City Council has received the budget information and formally adopted the 2023 budget for all funds on December 19, 2022. Whereas, there is a need to amend the 2023 water utility fund budget and the 2023 solid waste utility fund budget to reflect the original intent of the budgets based on the financial software system budgets. Now therefore be it resolved by the city council of the City of St. Louis Park, that the 2023 Water Utility Fund budget and 2023 Solid Waste Fund Budget are amended as presented: 2022 Adopted 2023 Adopted 2023 Amended Enterprise Funds Water Utility Fund Total Water Revenues 8,390,627$ 9,613,660$ 9,613,660$ Total Water Expenses 7,925,491$ 8,569,794$ 9,166,681$ Solid Waste Utility fund Total Solid Waste Revenues 4,170,097$ 4,170,097$ 4,426,740$ Total Solid Waste Expenses 4,281,322$ 4,281,322$ 4,462,350$ Water Utility Fund and Solid Waste Utility Fund Summary of Budgeted Revenues and Expenses Reviewed for administration: Adopted by the city council March 20, 2023 Kim Keller, city manager Jake Spano, mayor Attest: Melissa Kennedy, city clerk Meeting: Special study session Meeting date: March 20, 2023 Discussion item: 1 Executive s ummary Title: Police Officer Recruitment and Hiring Strategies: Pathways to Policing Program Recommended action: None Policy consideration: Does council support the staff recommendation to enable hiring above the projected police department authorized sworn-officer strength as needed, if the Pathways to Policing program is being utilized? Summary: The purpose of this report is to provide information to the council on an opportunity to proactively address officer recruiting and hiring challenges – an issue that is significantly impacting all police agencies with no signs of resolving in the near future. Current officer candidate pools have diminished at a significant rate, with all police agencies forced to compete with one another for the opportunity to hire the few qualified applicants available. With educational systems around Minnesota mirroring the same reduced student interest in a police career, this traditional pipeline of officer candidates underscores a prolonged staffing problem. As the path forward in hiring qualified police officers will necessitate leveraging a variety of new and existing strategies, one in particular, the Pathways to Policing program, provides an opportunity to simultaneously address multiple challenges. Over the past half-decade plus in which the St. Louis Park police department has helped establish and lead the program in partnership with other agencies, the program has launched the careers of a stream of high- quality candidates. Financial or budget considerations: Additional staffing dollars will need to be allocated; dedicated amount to be determined upon better understanding council support of the concept. Strategic priority consideration: • St. Louis Park is committed to being a leader in racial equity and inclusion in order to create a more just and inclusive community for all. • St. Louis Park is committed to creating opportunities to build social capital through community engagement. Supporting documents: N/A Prepared by: Bryan Kruelle, police chief Siar Nadem, deputy police chief Approved by: Kim Keller, city manager Special study session meeting of March 20, 2023 (Item No. 1) Page 2 Title: Police Officer Recruitment and Hiring Strategies: Pathways to Policing Program Discussion Background: The purpose of this report is to provide information to the council on an opportunity to proactively address officer recruiting and hiring challenges – an issue that is significantly impacting all police agencies with no signs of resolving in the near future. Current officer candidate pools have diminished at a significant rate, with all police agencies forced to compete with one another for the opportunity to hire the few qualified applicants available. With educational systems around Minnesota mirroring the same reduced student interest in a police career, this traditional pipeline of officer candidates underscores a prolonged staffing problem. The path forward in hiring qualified police officers will necessitate leveraging a variety of new and existing strategies . One in particular, the Pathways to Policing program, provides an opportunity to simultaneously address multiple challenges. The Pathways to Policing program was designed to remove barriers for non-traditional candidates who had at least a two-year associates degree from a regionally accredited college or university and were interested in pursuing a career in law enforcement. By identifying diverse candidates at this stage, the program helps them transition into a policing career by bridging opportunity gaps for those without the means to pay for, or ability to attend, a law enforcement academic program. This approach thus made it possible to capture diverse candidates from two tracks – those already in another career, along with those who have been unable to get started in one. Over the past half-decade plus in which the St. Louis Park police department has helped establish and lead the program in partnership with other agencies, the program has launched the careers of a stream of high-quality candidates. St. Louis Park began hosting the Pathways to Policing program in 2017, with annual participation occurring in nearly every year since its adoption. This long-term commitment to the program has resulted in the hiring of eight police officers here in St. Louis Park. Three quarters have successfully completed their probationary period, which is especially significant given that they are embarking upon a new career. As such, a typical year sees the city host and hire a single program participant. Current conditions: The Pathways to Policing program has proven to be extremely successful in attracting and training high quality, diverse candidates to policing and St. Louis Park. The department would like to invest more heavily in it by obtaining authorization to hire above and beyond the sworn-officer strength (currently 60), as needed. A limitation of the Pathways to Policing program is its timeline. It takes approximately one year from the point of recruitment to completion of field training. This makes it hard to match the number of recruits to actual vacancies in the department at the time the program is completed. With market conditions critically converging with program timelines and success rates, the police department seeks to change its Pathways staffing philosophy to address existing and anticipated staffing challenges, while also meeting internal and community expectations for officer diversity. By targeting sworn staffing hiring levels between 5-10% above our existing sworn level of 60, we believe police service, staffing, and budget priorities can all be achieved. Special study session meeting of March 20, 2023 (Item No. 1) Page 3 Title: Police Officer Recruitment and Hiring Strategies: Pathways to Policing Program Next steps: With council support secured, the police department would work with the city manager and finance staff to understand needed financial resources and work to include this into the 2024 proposed budget. Meeting: Special study session Meeting date: March 20, 2023 Discussion item: 2 Executive s ummary Title: 2023 Market Value Update Recommended action: No action needed. This summary report is provided for informational purposes to update Council on the local real estate market dynamics and preparing for the Local Board of Appeal and Equalization process that begins in April. Policy consideration: None at this time. Summary: The assessed market valuation and classification for each property determines their individual tax capacity and thus the overall tax capacity of the community. In addition to fiscal budgeting and property tax implications, the composition of value and trending are important for Council to understand as they focus on overall governance of the community. This review is being made to give the Council additional information on how the community’s real estate is reacting to the significant evolution of the housing stock (single-family, condo, cooperatives, townhomes and apartment complexes), market performance trends for commercial-industrial space, thoughts on the current market cycle, and the foundation to look forward. Pandemic guidance: This overview is reflective of the assessment as of January 2nd with a reminder that in the equitable sense all adjustments are derived from the preceding year market activity. Events occurring during 2022 have been decidedly uneven in terms of real estate values, interest rate impact on the market and the valuation outlook. The St. Louis Park Local Board of Appeal and Equalization convenes its organizational meeting on Monday April 10th, 2023 with the follow-up meeting, if necessary, tentatively as April 24th. Financial or budget considerations: Not applicable. Strategic priority consideration: Not applicable. Supporting documents: Following market overview and discussion. Prepared by: Cory Bultema, city assessor Approved by: Cindy Walsh, deputy city manager Special study session meeting of March 20, 2023 (Item No. 2) Page 2 Title: 2023 Market Value Update Discussion Background: Overview of the Minnesota Property Tax System Minnesota law establishes a specific process and timeline for the entire property tax system, including the assessment of property. The system is summarized as follows: 1. All real property is valued annually at fee simple market value and classified according to actual use. The owners are notified of the assessed valuation and classification in March with informal and multiple formal options for discussion and appeal. 2. State law defines how the value is translated into tax capacity annually via class rate structures, programs, exclusions and credits (e.g. blind, disabled, homestead, veteran exclusion, low-income rental, agricultural et al). These refinements are administratively maintained. 3. Budgets for each taxing jurisdiction are set annually. Funding sources include the property tax levy, voter approved market value referendums, bonding, special assessments, user fees, grants and programs in a variety of operational sources which vary among jurisdictions. 4. In Minnesota, property taxes are a levied budget. The property tax budget levied in each jurisdiction is divided by the total tax capacity of that unique area (e.g. city, county, school district, met council et al). The result is the respective total levy extension multiplier (rate). The multipliers are applied to each individual property in calculating the property taxes in the year following the assessment and setting of the budget. It is essential to understand that the property tax “rate” is simply a math equation and not a full reflection of all revenue sources, tax base composition, service level, efficiency or performance. The Assessing function deals primarily with the first step and portions of the second while our work is such that we often explain the basic system outline to taxpayers/owners. As noted above, the process begins with measurement of market activity as staff renders an opinion of market value and classification annually for 17,000+ parcels in St. Louis Park as of January 2 each year. The assessment must comply with standards established by the Minnesota Department of Revenue, Minnesota law and with review/approval by the Hennepin County Assessor’s Office. Market value is defined in Minnesota Statute 272.03 subd 8 as “the usual selling price at the place where the property to which the term is applied shall be at the time of assessment; being the price which could be obtained at a private sale or an auction sale, if it is determined by the assessor that the price from the auction sale represents an arm's-length transaction. The price obtained at a forced sale shall not be considered.” Classification of the property use is also defined by Minnesota statute. The rationale for this requirement is that the Minnesota property tax system applies differing classification rates in determining how the value is translated into tax capacity. The classification system greatly favors residential property types (single-family, condo, townhome, apartments) versus business property types (commercial and industrial). This differential is increased further by specific programs and laws such as fiscal disparities and state-wide levies. Special study session meeting of March 20, 2023 (Item No. 2) Page 3 Title: 2023 Market Value Update The Assessment Process The purpose of the assessment is to annually render an accurate and equitable opinion of market value of each parcel of property. Doing so requires current information about the properties being assessed and the local real estate market. In addition to the economic forces at work, the individual property location, use and physical characteristics play a major role in the valuation. The St. Louis Park Assessing division maintains a record of every property in the city including its size, location, physical characteristics and condition. As there are 17,000+ parcels in the city, it is impossible to have complete knowledge of each property, which may or may not sell each year. The Minnesota property tax system therefore requires periodic inspections. The current cycle of inspection is on a five year rotating schedule (known as the quintile) which may be altered due to physical change of the property due to new construction, renovations, additions and damage. The goal of the periodic and interim inspection process is to assess the characteristics and corresponding market value of each property as closely as possible versus the property’s competitive position. Due to the importance of current and accurate information on the property characteristics and condition, we must have an interior inspection in the last year prior to reviewing for appeals. It is important to know that the initial valuation process for residential properties in the State of Minnesota is based on mass appraisal. The valuations are modeled by a computer assisted mass appraisal (CAMA) methodology. To summarize, the physical characteristics for each property are maintained in a large database which allows recalibration of the individual valuations based upon the location, style and physical characteristics for each property. While sometimes viewed as a mathematical equation to be manipulated, a truly functional CAMA system allows focused modeling on properties with similar marketability. The purpose of modeling is to fashion a mirror image of market performance based on properties that have sold during the comparison time period (time trended and fact based modeling). Minnesota requires almost all sales to be recorded in an electronic Certificate of Real Estate Value (e-CRV) data system. The sales information is scrutinized and qualified. Initial clerical screening occurs at the city and county level. The sale information is then frequently augmented with more detail from a variety of professional data services and staff may follow-up with direct buyer/seller verifications and re-inspections in cases where we may have imperfect information. Evidence suggesting anything but an arms-length transaction (a forced sale, foreclosure, a sale to a relative, etc.) results in the sales information being excluded from study. This is important as the market information constitutes the measurable database for the statistical comparisons necessary to make the property assessment. The mass appraisal process is different from the individual appraisal system used by banks, mortgage companies and others. Mass appraisal is a modeling exercise using groups of sales to review competitively similar groups of properties. The individual appraisal process is comparing one subject property with a limited number of similar competing properties. In the appeal process, assessing staff looks to both the mass valuation and a current individual appraisal analysis for further review. Special study session meeting of March 20, 2023 (Item No. 2) Page 4 Title: 2023 Market Value Update Big Picture of the Residential Market – Realtor Perspective Before discussion of the 2023 assessment, we want to provide a big picture overview from the perspective of Realtors. The broad spectrum of owner based residential real estate is often carried in news media and the industry does comprise a highly significant variable in the local, regional and national economy. The following chart is an aggregate of single-family homes, condos and townhomes from 2014 through 2022 on an annual basis. This provides a comparative reference for St. Louis Park and our immediate neighbors through the last decade. Historic Median Sale Price – Aggregate of Single-Family Homes, Condos and Townhomes 2014 2015 2016 2017 2018 2019 2020 2021 2022 St. Louis Park 230,000 239,000 245,000 264,663 287,000 305,000 327,750 340,000 360,000 Edina 380,000 397,000 435,005 460,000 450,000 473,606 520,000 595,000 580,000 Golden Valley 248,700 264,900 290,275 312,750 309,950 343,000 367,450 388,620 425,000 Hopkins 182,000 213,500 215,000 218,650 250,000 259,950 288,000 297,450 315,000 Minnetonka 273,984 300,000 307,350 335,000 347,500 358,250 358,250 437,000 460,000 Source: Minneapolis Association of Realtors Sales Data (MAAR) In contemplating the historical figures above, the primary owner-based housing options are included. This aggregate price structure gives an interesting overall perspective for each community. The variation from year-to-year depends on which market segment has more sales as well as the volume of sales with new construction/major renovations. The refinement chart below breaks out the dominant options available and their sale performance in the past year. Annual 2022 Market Performance: Sale Volume – Median Sale Price – Days on Market Single-Family Condominiums Townhomes # Median Days on # Median Days on # Median Days on Sales Sale Price Market Sales Sale Price Market Sales Sale Price Market St. Louis Park 580 399,450 9 183 188,250 24 61 280,000 13 Edina 546 795,000 14 287 197,500 26 47 500,000 21 Golden Valley 291 447,950 8 27 226,500 19 25 290,000 18 Hopkins 113 375,000 7 61 131,000 17 33 251,000 12 Minnetonka 518 573,000 12 153 215,000 19 149 352,250 17 Source: Minneapolis Association of Realtors Sales Data (MAAR) Several facts in the above table are notable. First and often surprising to some is that our annual transaction volume is generally high in terms of turnover rate. This is due in part to our pricing structure, the housing options available, the mix of options available, and the balance between single-family, condo and townhome stock. The most significant fact in the table above, however, is timing of market exposure (Days on Market). All of the local communities are clearly showing extremely short exposure times which has continued over multiple years. The move to a seller’s market has been particularly emphasized in recent years from the realtor perspective. While prior value appreciation has been predominantly in the lower priced brackets, market activity in 2020 was appreciating throughout the price points, intensified for the upper brackets during 2021 and became somewhat mixed in 2022 as interest rates became a major market factor. How that supply/demand equation is influenced by the general economy, local competition, interest rates and household income is the annual question in setting the assessment. Special study session meeting of March 20, 2023 (Item No. 2) Page 5 Title: 2023 Market Value Update Summary of the St. Louis Park 2022 Assessment Roll The Notice of Valuation and Classification commence mailing in March of each year. Each notice reflects the property value and classification for a two-year period with the format as required by the MN Department of Revenue. As of January 2, 2023, the total valuation of the city stands at $9.71 billion versus $9.41 billion for 2022, $8.55 billion in 2021 and $8.13 billion for 2020. Further understanding of value composition and year-over-year trending is explored below. Assessed Market Value Change for Dominant Sectors (Comparing 2023 to 2022 Assessment) Single-Family Residential + 0.6% Market Basis versus + 1.2% with Improvements Condominium + 8.1% Market Basis versus + 8.1% with Improvements Townhomes - 2.1% Market Basis versus - 2.1% with Improvements Apartments + 2.6% Market Basis versus + 7.0% with Improvements Commercial + 5.5% Market Basis versus + 6.5% with Improvements Industrial + 7.9% Market Basis versus + 8.5% with Improvements St. Louis Park Total + 2.4% Market Basis versus + 3.6% Gross Change Source: St. Louis Park Assessing Office. The “total” line is subject to slight refinement (0.3% to 0.5% generally) as the state assessed rail and utility values are assumed and not available at report writing. The market driven adjustment reflects a roughly apple-to-apple comparison. This measure is inherently the primary focus for the mass appraisal methodology reflected by review of transactions. There are also factors relating to use change, divisions, and exemption changes. Gross change reflects the total valuation movement which includes improvement values arising from new construction, additions, renovations and use repositioning. This metric reflects the full scale of economic activity as assessed and by tax capacity. Improvement values were moderately strong for the 2023 assessment which partially alleviates the impact of the uneven market forces. Each of the above categories will be explained at further length in the following summary with reminder that an assessment is fashioning a mirror image of the market. It has included the traditional sales review, extensive qualification review, on-market listings multiple times per year, income-expense relationships and quintile and renovation-based inspections. We begin our review of the overall residential sector by breaking it down into the three dominant categories: low density (single-family homes); mid-to-high density ownership based (condos and townhomes) and apartment units. THE largest factor during the sales study period (10-01-21 through 09-30-22) was interest rates for virtually all property types be they residential, commercial-industrial or apartments. When the Federal Reserve raised their funds rate it quickly rippled out into the lending sectors leading to a rapid uptick for virtually all mortgage rates. As can be expected, this cooled the real estate economy. This resulted in the immediate leveling off of residential valuation growth following the rapid run-up of residential values seen in the preceding study period (10-01-20 through 9-30-21). Single Family Homes: Just under one-half of the total housing units are single family homes. For reference, the city’s median market value was at $306,400 for assess 2020, at $330,250 for assess 2021, at $371,800 for assess 2022 and plateauing at $373,300 for the 2023 assessment. Special study session meeting of March 20, 2023 (Item No. 2) Page 6 Title: 2023 Market Value Update The city of St. Louis Park is broken down into 35 distinct neighborhoods which are configured to local history rather than cohesive competitive influences. Of the 32 neighborhoods with single- family properties, the full range of adjustment was -3.2% to +9.5% with eleven (11) neighborhoods adjusting downward and the other twenty-one (21) adjusting upward. The majority of market movement was in a range of -3.0% to +6.0% with the lower value brackets more on the lower end of the spectrum while the upper brackets, being slightly less interest rate sensitive, were toward the upper end of the range. This is viewed from the context of a more balanced market following multiple years where the lower end stock was moving upward much more rapidly than the upper brackets. This return to a broader market value range is somewhat of a misnomer however as annual appreciation at 12% for the 2022 assessment is not normally viewed as a sustainable or healthy movement. And that played out in 2023 with the interest rates being the dominant market driver for the most recent assessment. Condominiums: There are 46 distinct condominium complexes in the community. The complexes are a decidedly diverse stock in terms of structural vintage and structural design format (apartment conversions, row-house, low-rise, high-rise, and most everything in between). As noted in prior years, condos tend to be considerably more volatile year-over-year. This is generally due to four major factors: condos tend to have an in-complex sub-market which can swing quickly; the complexes compete locally and more readily with those in nearby cities; perceptions of value differ between the owner-occupant buyer versus the investor/rental buyer; and sale pricing can be affected in a significant manner by association assessments and maintenance. This complexity and variety of market options has continued with the 2023 assessment being relatively strong in the aggregate sense. The city-wide median value was at $171,6000 for 2020, at $173,000 for 2021, at $193,500 for 2022 and now at $208,800 for the 2023 assessment which is an increase of 7.9% and the strongest of the owner-occupied residential stock. Townhomes: There are 19 distinct complexes in the community. Just under one-half of them are relatively small with fewer than 20 units. The other half are predominantly in the 20-50 unit count bracket with three larger complexes that tend to dominate the aggregate percentage change annually. In general, the market forces at play in this property type are similar to that of the condos with price point being a significant point of departure. The higher median unit value is normally a more moderating influence but with the rapid uptick of interest rates this niche of housing options cooled more rapidly for the 2023 assessment following very robust appreciation for 2022. The city-wide median market value for this stock advanced from $211,200 in 2020 to $222,100 in 2021, rapid growth to $272,900 in 2022 and is at $260,700 for the 2023 assessment. While the 2023 assessment represents an aggregate value decline, it is important to recognize that it came following the extremely high one-year value change of 22.9% in the preceding year. The following charts provide additional overview for the 2023 assessment. The first page reflects the single-family neighborhoods. The next two pages provide the complex based breakdown of the condos and townhomes. The charts present a five-year time span which includes parcel count reference, the median market value and shaded colors showing the quintile inspection schedule to allow additional insight and perspective over time. Special study session meeting of March 20, 2023 (Item No. 2) Page 7 Title: 2023 Market Value Update St. Louis Park -- Single Family Residential Properties Historical Change of Assessed Market Values (Quintile Cycle) Year of Assessment 2019 2020 2021 2022 2023 a. Median Assessed Value: 297,800 306,400 330,250 371,800 373,300 b. City-Wide Change: 6.7% 1.3% 7.8% 12.6% 0.4% # Neighborhood Reference 2019 2020 2021 2022 2023 Parcels Median 1 Shelard Park N/A N/A N/A N/A N/A 0 N/A 2 Kilmer 8.2% 3.9% 6.8% 14.3% -2.4% 243 317,750 3 Crestview 4.4% 2.7% 10.7% 6.3% 3.4% 68 494,000 4 Westwood Hills 0.6% 2.0% 3.7% 13.4% 9.5% 292 588,550 5 Cedar Manor 8.5% -0.7% 12.0% 13.1% 0.3% 573 373,850 6 Northside (x) Willow Park 6.1% -4.1% 7.8% 17.7% -1.5% 303 376,300 7 Pennsylvania Park 4.2% 9.2% 7.8% 10.9% 6.0% 304 373,450 8 Eliot 8.2% -2.2% 13.0% 12.0% -1.7% 510 335,700 9 Blackstone 9.5% 8.1% 13.9% 5.9% 3.1% 95 286,850 10 Cedarhurst 18.3% 3.8% 7.0% 14.4% 5.0% 48 354,300 11 Eliot View 7.0% 5.1% 11.1% 9.1% 5.7% 165 364,400 12 Cobblecrest 10.2% 0.9% 7.9% 12.0% 5.5% 382 434,900 13 Minnehaha 7.8% 2.2% 4.0% 14.7% 0.8% 129 495,400 14 Amhurst N/A N/A N/A N/A N/A 0 N/A 15 Aquila 5.3% 5.0% 12.0% 15.1% -0.9% 504 320,350 16 Oak Hill 11.0% 3.5% 10.3% 10.2% -2.9% 638 329,250 17 Texa Tonka 7.4% 1.9% 5.1% 16.9% 0.6% 385 324,100 18 Bronx Park 6.9% 4.3% 7.8% 10.6% -0.8% 992 338,000 19 Lenox 7.5% 2.3% 10.0% 11.6% -3.1% 831 334,000 20 Sorenson 8.1% 2.0% 3.6% 13.9% 5.2% 451 377,850 21 Birchwood 7.0% 2.8% 6.7% 12.2% 0.2% 649 370,150 22 Lake Forest 3.3% -3.1% 3.7% 3.9% 2.7% 196 691,650 23 Fern Hill 4.4% 0.9% 6.1% 12.9% 1.9% 962 533,600 24 Triangle 10.3% 4.5% 6.7% 17.9% -3.2% 108 336,350 25 Wolfe Park 3.8% 5.4% 6.1% 15.8% 0.2% 16 361,400 26 Minikada Oaks 2.3% -1.6% 10.2% 10.9% 4.8% 76 513,000 27 Minikada Vista 5.1% -2.5% 7.9% 12.2% -0.3% 798 548,800 28 Browndale 7.9% 1.7% 5.5% 9.2% 1.3% 549 510,800 29 Brookside 6.1% -2.9% 10.7% 16.9% 2.0% 328 388,600 30 Brooklawns 2.6% -0.4% 15.5% 12.4% -2.5% 149 383,400 31 Elmwood 3.7% 5.0% 3.4% 14.3% -3.1% 267 387,800 32 Meadowbrook N/A N/A N/A N/A N/A 0 N/A 33 South Oak Hill 11.4% 8.2% 8.3% 9.4% 1.2% 291 318,100 34 Westdale 14.9% -2.8% 6.0% 9.9% 2.6% 106 337,800 35 Creekside 4.4% 1.3% 2.0% 16.8% 0.8% 172 416,300 Quintile Counts 2,554 2,281 2,464 2,923 1358 11,580 Special study session meeting of March 20, 2023 (Item No. 2) Page 8 Title: 2023 Market Value Update St. Louis Park -- Condominium Properties Historical Change of Assessed Market Values Year of Assessment 2019 2020 2021 2022 2023 a. Median Assessed Value: 169,900 171,600 173,000 193,500 208,800 b. City-Wide Change: 6.5% 4.0% 0.8% 11.8% 7.9% Code Complex Reference 2019 2020 2021 2022 2023 Units Median MO Monterey Coop 6.6% 3.3% 3.8% 5.4% 6.6% 8 119,100 AC Aquila Commons Coop 6.6% 3.3% 0.7% 0.0% -1.0% 106 228,200 33 3300 On The Park 4.4% 3.6% 0.0% 15.4% 4.9% 128 213,300 35 35th St Condos - Apt Conver 0.0% 3.3% 20.0% 16.8% -8.9% 11 165,000 55 55+ Condos 21.1% 6.8% 6.9% -1.1% -1.0% 60 248,350 BK Brookside Lofts - 4100 Vernon 15.5% -2.1% 0.0% 20.9% 9.7% 27 321,000 BK Brookside Lofts - 4132 Vernon 15.5% -2.1% 0.0% 0.0% 0.0% 14 N/A BR Bridgewalk - Conversion 12.0% 2.4% 4.9% 1.4% 14.9% 92 153,700 CA Calhoun Hill 4.9% 3.4% 12.2% -7.1% 6.6% 7 401,000 CH Coach Homes 13.7% 10.6% 1.5% 5.0% 13.2% 128 189,400 CS Cedar Trails - (South Twnhme) 9.9% 1.7% 2.3% 9.2% 5.8% 32 238,800 CT Cedar Trails - (North of CLR) 8.6% 3.8% 7.4% 10.6% 3.4% 280 175,700 CW Cedar Trails - (S-West Twnhme) 9.9% 13.4% 0.0% -1.0% 25.0% 48 285,150 EV Elmwood Village 6.8% 1.7% 0.0% 7.8% 9.0% 77 396,900 FH Fern Hill -2.9% -7.3% -4.8% 26.0% 4.7% 30 217,900 GR Greensboro Condos - HIA 2.1% 22.0% 2.8% 16.4% -0.7% 164 133,000 HV Harmony Vista (Hoigaards) 6.7% 6.9% 3.9% 0.0% 6.7% 74 254,500 IB Inglewood Boutique 3.0% -9.3% 5.2% 5.5% 4.5% 6 385,950 LN Lynn Ave Condos - Apt Conver 7.4% 5.1% 3.9% -1.0% -8.9% 12 198,400 LY Lynwood Condos 8.9% 8.1% 12.0% 5.5% 6.7% 11 226,100 MC Monterey Pl - Apt Convers 6.9% -0.1% -3.7% 3.7% -0.2% 30 262,200 MR Murphy Ridge Condo Twnhme -5.9% 3.3% 3.8% 5.4% 6.6% 4 186,100 MW Monterey West - Condo Twnhme -9.0% 3.3% 3.9% 5.5% 6.7% 7 265,400 NP Natchez Pl 14.9% 13.7% -2.6% 5.4% 20.9% 27 249,000 OX Oxford Gardens - Apt Convers 6.6% 3.3% 3.9% -4.8% 6.5% 12 106,200 P0 Parkside Urban Lofts - 460 Bldg 2.2% 1.8% 6.1% 1.0% 15.7% 24 401,800 P2 Parkside Urban Lofts - 462 Bldg 6.4% -1.1% 11.7% 2.6% 16.1% 22 389,600 P4 Parkside Urban Lofts - 464 Bldg 2.2% 8.9% -1.1% 4.6% 2.0% 22 326,500 PP Pondview Park - Apt Conver 6.7% 14.0% 4.1% 0.2% 15.2% 30 177,500 PW Pointe West Condos 10.3% -2.4% 0.0% 5.6% 14.4% 86 407,300 S1 Sungate 1 - East of Alabama (N) 6.6% 5.3% -1.1% 5.4% 15.8% 20 180,200 S2 Sungate 2 - East of Alabama (S) 14.9% 0.9% 1.3% 17.1% 6.7% 26 224,500 S3 Sungate 3 - West of Alabama 6.7% 1.4% 0.0% 1.7% 6.7% 14 236,100 SR Sunset Ridge - HIA 9.7% 3.0% 3.1% 7.1% 12.8% 240 179,400 TF Twin Fountains 10.3% 1.1% 7.2% 1.7% 5.7% 88 151,300 EL Excelsior Lofts (T Joe Site) 8.4% -1.5% 2.1% -2.2% 6.6% 86 285,800 Special study session meeting of March 20, 2023 (Item No. 2) Page 9 Title: 2023 Market Value Update GW Grand Way (NE Bldg) 0.4% 5.6% -4.5% 4.0% 9.1% 124 395,750 TG The Grand NW @ Excelsior -4.2% 4.4% 0.0% 3.6% 5.1% 96 473,900 VL Village Lofts 9.7% 6.6% 7.7% 4.1% 1.4% 60 247,500 WE Westmoreland - HIA 7.1% 11.3% 2.1% 7.6% 7.7% 72 131,400 WF Wooddale Flats 1.0% 2.9% -9.1% 9.1% -2.0% 33 470,200 WL Wolfe Lake 3.8% 2.3% 4.3% -2.9% 6.2% 131 205,500 WM Westmarke Condos 6.6% 1.7% 8.1% 2.7% 16.2% 64 274,000 WO West Oaks 10.5% 1.0% 1.2% 3.1% 6.1% 75 293,700 WV Westwood Villa - HIA 19.5% 10.7% 0.0% 4.9% 20.8% 66 159,200 WY Wynmoor 11.2% 3.3% 0.0% 11.0% 2.9% 56 143,700 Quintile Counts 437 693 435 440 437 2,830 St. Louis Park -- Townhome Properties Historical Change of Assessed Market Values Year of Assessment 2019 2020 2021 2022 2023 a. Median Assessed Value: 190,200 211,200 222,100 272,900 260,700 b. City-Wide Static Change: 9.5% 9.5% 5.2% 22.9% -4.5% Code Complex Reference 2019 2020 2021 2022 2023 Units Median BG Brunswick Gables 7.1% 7.9% 3.0% 14.1% -8.5% 7 285,700 DB Dan-Bar Twnhme 4.0% 8.0% 3.0% 14.1% -2.0% 4 245,400 EW Excelsior Way 26.5% 14.0% 5.0% 21.4% -1.9% 38 268,500 GR Greensboro - HIA 10.0% 15.2% 0.5% 9.0% -2.7% 96 217,500 HE Hampshire Estates 10.2% 15.2% -3.0% 16.4% 0.0% 8 215,000 HH Hampshire House 8.6% 14.3% 2.9% 11.8% 0.0% 13 211,000 LL Lamplighter Park 6.9% 8.7% -2.2% 14.2% -2.1% 5 465,400 LA Lohmans Amhurst 12.8% 7.0% -0.4% 22.9% -4.5% 276 256,800 ME Medley Row 7.9% 11.0% 3.0% 14.2% -2.1% 22 378,000 MP Montery Park 7.0% 2.5% 6.8% 14.9% -2.1% 18 468,900 PC Princeton Court 4.8% 1.8% 3.2% 21.7% 5.9% 13 577,400 QC Quentin Court 17.5% 2.3% 3.0% 14.2% 4.0% 10 523,900 SH Shamrock 7.6% 18.8% 1.4% 15.7% -5.1% 16 225,250 SK Skyehill 11.5% 9.4% -8.1% 14.2% 0.1% 31 299,800 SW Sungate West -0.1% 11.5% -7.6% 21.7% 3.5% 48 243,500 VP Victoria Ponds 5.2% 7.7% 1.1% 17.5% -1.7% 72 456,600 WT Westwood 3.7% 19.2% 4.6% 22.1% -1.3% 38 287,500 ZA Zarthan Apt Twnhomes 8.4% 16.0% 2.3% 15.3% 9.2% 18 297,900 ZP Zarthan Park 10.3% 16.7% 2.9% 3.5% -1.0% 16 254,700 Quintile Counts 132 293 50 132 293 749 a: Median assessed market values – aggregate change including improvement values. b: Localized market driven change – does not include improvement values. Source: Annual compilations by the St. Louis Park Assessing Office. Special study session meeting of March 20, 2023 (Item No. 2) Page 10 Title: 2023 Market Value Update Apartments: This sector is largely driven in the historic sense by tenant supply/demand, the income stream and owner return expectations. This use category has exhibited very robust growth for an extended period of time (effectively increasing total unit counts by 40%+ in the last decade with many more projects under construction and in the pipeline). Thus, we provide a longer historical perspective on market change and improvement values: - For 2014 – market change at + 8.2% and + 20.2% with multiple new complexes on-line. - For 2015 – market change at + 12.1% and + 13.3% for the next phase of new complexes. - For 2016 – market change at + 12.0% and + 17.8% including new construction. - For 2017 – market change at + 6.4% and + 9.5% including new construction. - For 2018 – market change at + 7.5% and + 13.3% including new construction. - For 2019 – market change at + 8.2% and + 11.4% including new construction. - For 2020 – market change at + 11.4% and + 15.2% including new construction. - For 2021 – market change at + 2.3% and + 3.9% including new construction. - For 2022 – market change at + 9.7% and + 13.6% including new construction. - For 2023 – market change at + 2.6% and + 7.0% including new construction. Looking at the above historical pattern presents a very clear picture of both market appreciation and very active renovations including new construction. The totals above reflect aggregate value change which includes mixed market appreciation rates annually for the Class A-B-C stock. The market demand for units is primarily attributed to our location adjacent to the Minneapolis core with proximity to major employers in the west metro as well as cultural and natural amenities. Class A projects have been the primary focus for new construction due to the inter-connected nature of the traditional approaches to valuation… cost to build, income stream and sales. It is important to recognize that the Class A and B stock were severely under-built dating back to the mid-1980 to mid-1990 time periods. The new complexes are helping to broaden and diversify the housing stock in that the total unit count is now distributed with approximately forty percent being class C stock (typically less than 3 stories, built circa 1960-1975) and sixty percent being Class A and B stock. For your reference, the 2023 median unit values for the stock are: Class A at $280,500 reflecting an increase of 1.0%; the B’s are in a range of $175,000 to $228,000 at overall increase of 0.4%; and the median value for the Class C stock at $124,000 at an overall increase of 4.3%. Value changes for the 2022 assessment were more robust with the Class A increasing 7.5%; Class B increasing 9.5%; and the Class C properties increasing 11.7%. The current assessment reflects the influx of additional units still being absorbed in the Class A market as well as ramifications from interest rate increases. Commercial and Industrial: This sector had exhibited continuous market appreciation and new construction growth for an extended period approaching two decades. The 2021 assessment ended that market appreciation streak due to the pandemic with the general economy limitations continuing into the 2022 assessment. While sectors of this market have come back for the 2023 assessment, specific use types have been slower to rebound. Value changes year over year are dependent on how these uses are performing in a range of national, regional and immediately local economies. Commercial and industrial properties are valued across Special study session meeting of March 20, 2023 (Item No. 2) Page 11 Title: 2023 Market Value Update jurisdictional boundaries to a significant extent with the specific use dictating the extent of geographic market areas. The overall market adjustment for the 2023 valuation on the commercial properties was 6.5% inclusive of new construction while the market driven adjustment of the existing stock was limited to 5.5% year-over-year. While this group of properties saw an overall gross increase in value due to new construction, many use niches saw no movement in value due to the effects of the pandemic on their business which ripples down to their underlying market value in the fee simple sense … specifically noted as the economic variables of business value, value-in-use, and leased fee may or may not align with fee simple which is the required standard for valuation in the MN property tax system. All sub-sectors have been adjusted as closely as possible in relation to market evidence including sales, active usage and leasing. The overall market adjustment for the industrial stock was 8.5% which was predominantly market driven with nominal new construction value for the year. Looking at these figures brings three observations to mind. The first is that value changes in this use category become tricky as demand for buildings – previously viewed as functionally obsolescent – are varying due to the economy. Whether that use extension beyond economic/physical life will continue is an annual question. Secondly, a significant volume of the current industrial stock is located near the future light rail station areas which are major drivers of use change, demolition, redevelopment and interim holding. The two preceding issues bring us to the economic reality of under-lying land values. As a mature inner ring suburb – heavily engaged in redevelopment – our land value can be a limiting factor for industrial users. The reason being that industrial uses are typically land intensive and low-rise while our location and associated land values are effectively a self-reinforcing value premium driven by density. To close, the commercial sector saw overall growth. Segments of this sector saw no movement in value due to the impact of the pandemic still playing out. The industrial market saw overall increases in value due to location, especially those close to the future light rail stations and those that allow for outdoor storage which is a very rare commodity in the market. Meeting: Special study session Meeting date: March 20, 2023 Discussion item: 3 Executive s ummary Title: Winter parking restrictions Recommended action: The purpose of this report is to provide the council background on this topic and discuss formalizing winter parking restrictions to promote climate resilience. Policy consideration: Does council wish to formalize winter parking restrictions on certain streets in the city? Summary: During the winter, we average 51.2 inches of snow each year. With average snowfall, there is enough space in most of our right of way and boulevards to store the snow from routine snow removal operations. The streets may be a little narrower; however, there is still adequate room to provide emergency vehicle access. During winters when the amount of snow is greater than average, the boulevards are no longer able to accept additional snow. When this happens, the snow falls back into the roadway, resulting in narrower streets. When cars are parked on both sides of the street, it can create access challenges for emergency vehicles, especially fire trucks. With this in mind, each winter, city staff from public works, fire and police monitor the condition of our local streets to make sure that they are wide enough to be accessible by emergency vehicles to ensure public safety. When the width of certain streets is reduced, creating public safety access concerns, one-side parking restrictions will be placed on a street-by-street basis. Since 2010, the city has posted one-side parking restrictions four (4) times. During the winters of 2010-2011, 2013-2014, 2018- 2019 and 2022-2023. The same street segments are usually included each time these restrictions are put in place. Due to the amount of effort it takes to implement these restrictions and that they are always on the same streets, staff has been considering ways to adapt our efforts to promote climate resilience. Financial or budget considerations: Please see the discussion section for information on cost. Strategic priority consideration: St. Louis Park is committed to providing a variety of options for people to make their way around the city comfortably, safely and reliably. Supporting documents: Discussion Prepared by: Debra Heiser, engineering director Reviewed by: Jeff Stevens, operations superintendent; Mike Okey, public works services manager; Jay Hall, public works director Approved by: Kim Keller, city manager Special study session meeting of March 20, 2023 (Item No. 3) Page 2 Title: Winter parking restrictions Discussion Background During the winter, we average 51.2 inches of snow each year. With average snowfall, there is enough space in most of our right of way and boulevards to store the snow from routine snow removal operations. The streets may be a little narrower; however, there is still adequate room for parking and to provide emergency vehicle access. During winters when the amount of snow is greater than average, the boulevards are no longer able to accept additional snow. When this happens, the snow falls back into the roadway, resulting in significantly narrower streets. When cars are parked on both sides of the street, it can create access challenges for emergency vehicles, especially fire trucks. With this in mind, each winter, city staff from public works, fire, and police monitor the condition of our local streets to make sure that they are wide enough to be accessible by emergency vehicles to ensure public safety. If too much snow builds up along the curb resulting in significantly narrowing streets, we may put temporary winter parking restrictions into place. Winter parking restrictions If it is determined that the conditions warrant it, one-side parking restrictions will be placed on a street-by-street basis. Care is taken to minimize hardship to the residents or abutting property owners. Some examples of sensitive locations and areas for consideration are: 1. Public and private school facilities. 2. Businesses within the restricted area. 3. The number of properties on a particular side of the restricted area. 4. Traffic patterns within the area. Restrictions shall be placed only when the street width has been reduced so that, in winters with above average snow accumulation, emergency vehicles do not have space to drive down the street, making parking on both sides of the roadway unacceptable. Requests for the placement of restrictions shall be evaluated by city staff, including members of the fire department, police department, and public works. From their analysis, recommendations for street segments where restricted parking should be installed will be made to the city manager for consideration. In addition, the same individuals or their representatives will recommend when restrictions may be lifted in accordance with current conditions. To implement the restrictions, temporary “No Parking” signs are placed in intervals in such a manner as to be obvious to all using the right of way. Current considerations Following the heavy snowfall through January 2023, road width conditions on certain streets in the city warranted the implementation of temporary winter parking restrictions. This reduced parking on these streets to only one side. This was done to help protect public safety by ensuring fire trucks and other emergency vehicles are able to access city streets. Special study session meeting of March 20, 2023 (Item No. 3) Page 3 Title: Winter parking restrictions When these temporary winter parking restrictions are put in place, there are many departments involved. Public works staff is called on to install, monitor, and remove the temporary signs. In addition, crews will return to areas to remove snow to widen the roads for access. Police are called on to enforce the restrictions. Our communications staff will use our communication channels to get the word out to the community. We are seeing higher than average snow totals and more frequent snow events. According to the MnDNR’s climate data of the top 20 snow total years, six (6) of them have been since 2000. This is the fourth time since the 2010-2011 winter that we have implemented winter parking restrictions. The streets where we post these restrictions are mostly the same each time the restrictions are implemented. Due to the amount of effort it takes to implement these restrictions, staff has been considering ways to adapt our efforts to promote climate resilience. Other community restrictions To help inform this conversation, staff reached out to our surrounding communities. Many of our neighbors have year-round overnight parking restrictions, two communities have implemented overnight parking restrictions during the winter months and two communities have conditional winter restrictions similar to ours. A summary: City Citywide restriction Timeframe Crystal No Parking – 2 a.m. to 5 a.m. All year Edina No parking – 1 a.m. to 6 a.m. Nov. 1 to April 1 Golden Valley No Parking – 2 a.m. to 6 a.m. Nov. 1 to March 31 Hopkins None outside of snow emergencies NA Minneapolis No parking on even side of non-snow emergency streets and in other locations that are posted no parking (no temporary signs are installed) When winter parking restrictions are declared Minnetonka No Parking – 2 a.m. to 6 a.m. All year New Hope No Parking – 2 a.m. to 6 a.m. All year Plymouth No Parking – 2 a.m. to 5 a.m. All year St. Paul No parking on even side of non-snow emergency streets and in other locations that are posted no parking (no temporary signs are installed) When one-sided ban is in effect Options Potential ways to formalize winter parking restrictions and eliminate the need to install, monitor and remove temporary parking signs. Special study session meeting of March 20, 2023 (Item No. 3) Page 4 Title: Winter parking restrictions • Option 1: Citywide parking restrictions overnight or during the winter months: this is usually implemented by code, and signs are only installed at the city boundaries. • Option 2: Study the impacts of installing permanent No parking signs on certain streets: with this option, permanent signage would be installed, formalizing one-side parking restrictions, for statistically problematic months. These would be installed only on streets that have a history of warranting temporary parking restrictions in the past. Criteria for consideration for future streets to include would also be developed. Staff recommendation Staff recommends Option 2: Studying the impacts of installing permanent signage on certain streets for the following reasons: • Prohibiting parking on one side of the street every winter eliminates the concerns for public safety by ensuring the minimum width for emergency vehicles to navigate these streets. • Reduction in public works staff time spent installing/monitoring/removing the temporary winter parking restriction, which currently redirects staff from their normal maintenance work. This other work is delayed. • This option provides flexibility. Staff can monitor the streets not posted and impose temporary parking restrictions when conditions warrant on a case-by-case basis. • The public feedback when restrictions are implemented is supportive. Staff does not recommend Option 1: Overnight restrictions, since they do not relieve the narrow street concerns during the higher daytime traffic volumes. Imposing citywide parking restrictions adversely affects the high parking demand in and around high-density residential areas and other areas of the city. Eliminating parking on one side of the street for four (4) months will not meet parking needs of our residents in these high-density areas. In addition, communicating these bans to the community without signs on every street can prove challenging. Financial considerations The estimated costs are as follows: • Install temporary winter parking restrictions (per season) One time cost Weekly cost Monthly cost Temporary sign cost $2,500 Monitoring signs (labor) $910 $3,640 Installing signs (labor) $2,730 Removing signs (labor) $2,730 Total cost if in place for four (4) months* $22,520 *Public works staff time only, does not include other department staff time. • Option 2: Installing permanent No parking signs on certain streets = $50,000-75,000. Special study session meeting of March 20, 2023 (Item No. 3) Page 5 Title: Winter parking restrictions Next steps If the council is supportive of staff recommendation to formalize winter parking restrictions as described in Option 2 above, the following steps will be completed: • Staff from fire, police and public works will begin the process of analyzing the potential streets to sign, along with recommended time period. Metrics such as street width, available off-street parking, existing on-street parking restrictions, surrounding land use, snow emergency parking exemptions and demographics, will be used. • A more refined cost estimate will be developed, along with potential funding, implementation, and communication strategies. • The attorney will be consulted to understand if city code changes are needed to implement. This information can be brought back to council later this year. Meeting: Special study session Meeting date: March 20, 2023 Written report: 4 Executive s ummary Title: Snow emergency exempt parking streets Recommended action: The purpose of this report is to provide the council background on this topic, summarize previous council discussions, and inform the council on how staff will move forward with managing snow removal exempt parking streets. Policy consideration: Does council wish to update city process to be consistent with city code for identifying snow emergency exempt parking streets for plowing? Summary: The city, using a combination of available forecasts, will declare a snow emergency when warranted. On-street parking is restricted during a snow emergency until the city has declared that the snow emergency has ended. City code Sec. 30-158. Snow removal parking restrictions (2) b allows for exemptions to the snow emergency parking ban; it reads: The City Manager or designee is authorized to establish and maintain a listing of the public streets which are not subject to the snow emergency parking ban. The exempted streets will generally be high density residential streets without or very limited off-street parking. Last fall, during the annual review of the code and map, it became clear that 1) the practice of bringing this to council is out of alignment with the authority provided to staff and 2) many of the snow emergency exempt streets are not adjacent to high-density residential. Instead, they are located on streets with commercial land uses. During the 2022-2023 snow season, Public Works staff observed the parking usage in these areas during snow emergencies to understand if there is a need to have the exemptions remain in place. In addition, staff has reviewed the evolution of the city’s snow removal practice and how it aligns with streets currently designated with exempt parking status. This report is a summary of updates to the streets designated as exempt. Financial or budget considerations: The cost of modifying the parking restrictions will be minimal and will be paid for using the public works general operating budget. Strategic priority consideration: St. Louis Park is committed to providing a variety of options for people to make their way around the city comfortably, safely and reliably. Supporting documents: Discussion Snow removal program ordinance council report Nov. 3, 2014 Resolution 22-175 Snow emergency exempt street map changes Prepared by: Debra Heiser, engineering director Reviewed by: Jeff Stevens, operations superintendent; Mike Okey, public works services manager; Jay Hall, public works director Approved by: Kim Keller, city manager Special study session meeting of March 20, 2023 (Item No. 4) Page 2 Title: Snow emergency exempt parking streets Discussion Background St. Louis Park’s snow removal ordinance restricts on-street parking after a declared snow emergency. The city, using a combination of available forecasts, will declare a snow emergency when it is deemed warranted. On-street parking is restricted during a snow emergency until the city has declared that the snow emergency has ended. The city institutes a parking ban during snow emergencies in order to facilitate a more thorough plow across the city. City code Sec. 30-158. Snow removal parking restrictions (2) b allows for exemptions to the snow emergency parking ban; it reads: The City Manager or designee is authorized to establish and maintain a listing of the public streets which are not subject to the snow emergency parking ban. The exempted streets will generally be high density residential streets without or very limited off-street parking. In these areas, parking is allowed during the entire snow event. In the weeks after the snow event, to clear snow in these areas, staff temporarily posts one side of the street as “No Parking,” allowing for parking on the other side while the posted side is being cleared to the curb. The same procedure would occur the next day for the other side. This allows parking on the street in high-density residential areas where residents have limited or no option for parking other than on the street. Vehicles that aren’t moved during the follow-up snow removal operations are subject to ticketing and towing. The exemption does not override any posted, on-street parking restrictions. To clear up any confusion, staff annually reviews the list and updates it to reflect new on-street parking restrictions that have been approved by council and are in conflict. Last fall, during the annual review of the code and map, it became clear that 1) the practice of bringing this to council is out of alignment with the authority provided to staff and 2) many of the snow removal exempt streets are not adjacent to high-density residential. Instead, they are located on streets with commercial land uses. During the 2022-2023 snow season, Public Works staff observed the parking usage in these areas during snow emergencies to understand if there is a need to have the exemptions remain in place. In addition, staff has reviewed the evolution of the city’s current snow removal practice and how it aligns with streets currently designated with exempt parking status. History of snow removal in St. Louis Park In 1997, the city created the ability to enact snow emergencies that included authorizing the City Manager (or designee) to impose parking restrictions between 8:00 a.m. – 5:00 p.m. once two (2) or more inches of snow had accumulated. This was done to create a more efficient way to plow, a faster completion time, and to reduce the number of return trips to clean up where cars were parked. As part of that process, staff also created exempt parking areas that would allow vehicles to park on selected streets not subject to the parking ban. There were two types of snow removal exempt street classifications, non-residential and residential. Special study session meeting of March 20, 2023 (Item No. 4) Page 3 Title: Snow emergency exempt parking streets • The non-residential designation was for streets adjacent to commercial/industrial land uses, which relied on street parking for customers or employees between the hours of 8:00 a.m. – 5:00 p.m. • Residential designations were segments in or around high-density residential where there were not enough off-street parking spaces for all residents who owned cars. The exempt status was assigned to the street segment that abutted the property the building was situated on. As described above, plowing practice was to start between 4:00 – 5:00 a.m. to focus on mains for the morning commute; then, plows would move into residential streets after 8:00 a.m. to allow as many vehicles to get to work and off the street. Hence the 8 a.m. – 5 p.m. snow emergency. This system worked well even when the snow emergency declaration was changed to any time snow reached or exceeded 3 inches at any time during the day. This allowed staff to start residential areas earlier. There were a few downsides to this approach: • The message didn’t reach very many residents when the snow emergency was declared between 10:00 p.m. – 6:00 a.m. • The message didn’t reach patrons of businesses and institutions when the snow emergency was declared during business hours or scheduled events. • Enforcement was challenging due to the short notice for the police department and the need to ram p up staffing on short notice. • Due to timing, it was possible for a resident to wake up to plowed streets, with their car plowed in, and a ticket on the windshield while they slept overnight. To address these and other challenges, city code section 30-158 Snow removal parking restrictions was updated in 2014. This update reflected a change to plowing and notification practices. Snow emergencies are no longer enacted solely on accumulation but on when the message can get out to as many residents as possible, such as using the news cycle at 9:00 p.m. and 10:00 p.m. Current practice is to have snow emergency parking bans go into effect at 10:00 p.m. with plowing commencing shortly after with a goal of having as much of the system completed before mid-morning. As a part of the 2014 ordinance update, the oversight of managing snow emergency exempt areas was transferred to the City Manager or designee. Prior to that, the list was brought to council for approval by resolution. This change was done to create efficiencies in operations by eliminating the step where council approved exempt streets by resolution. Current considerations The current list of streets with snow removal exempt parking status has not changed all that much in the last 15 years. However, as outlined above, over that same time period, the city’s plowing and notification process has changed. In addition, some of the land uses on these streets have changed. Allowing cars to remain on the street during a snow event impacts the quality of snow removal operations. Plowing around parked cars in snow removal parking exempt areas results in a lower level of service for those streets and requires additional return trips to clean up where Special study session meeting of March 20, 2023 (Item No. 4) Page 4 Title: Snow emergency exempt parking streets cars were parked. Removing street segments exempt from the parking ban, where there is not a clear need, would result in clearer streets and reduce the amount of time crews spend revisiting streets. Due to this, staff recommends removing all street segments on the snow emergency exempt parking list that are not adjacent to high-density residential buildings without or very limited off-street parking. This will bring it into alignment with the city code and 2014 changes in snow removal practices. The locations of these changes are highlighted on the attached map. Staff recommended changes Staff recommends the following streets no longer be designated as snow removal exempt parking streets: 1. Commercial/industrial/institutional streets: Snow emergency parking bans go into effect at 10:00 p.m., with plowing commencing shortly after with a goal to have as much of the system done before mid-morning. Removing the exempt zone in these areas will not impact the customers and patrons visiting properties along these roads, which is different than when the zone was implemented. 2. Redeveloped commercial/industrial streets: There are several streets that are designated because they used to be adjacent to commercial/industrial land uses. Over the last 15-20 years, these properties have redeveloped into high-density residential. When the new developments were approved, they were built with off-street parking, consistent with the city’s parking requirements. Due to this, they do not meet the code’s consideration of “without or very limited off-street parking.” 3. Single and two-family residential streets: There are street segments designated as exempt that are adjacent to low-density housing with adequate off-street parking. These do not meet the code’s consideration of “without or very limited off-street parking.” 4. Streets adjacent to high-density residential with adequate off-street parking. Next steps Prior to the 2023-2024 snow season, the following steps will be completed: • The snow emergency exempt list will be updated to reflect the changes on the attached map. • Information will be shared with the residents along these streets about the changes. • A council action will be brought forward to rescind the current resolution. Moving forward, this list will be managed by the Public Works Director. 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S !!!!!!!!!! n !!!!!ow emergency exempt streets Legend Proposed Changes No change Commercial/industrial/institutional streets Single and two family residential streets Redeveloped commercial/industrial streets High-density residential with adequate off street parking Neighborhood Boundary Waterbodies Parks (Maintenance) Special study session meeting of March 20, 2023 (Item 4) Title: Snow emergency exempt parking Page 5 Meeting: Special study session Meeting date: March 20, 2023 Written report: 5 Executive Summary Title: January 2023 Monthly Financial Report Recommended action: No action is required. Policy consideration: Monthly financial reporting is required as part of our financial management policies. Summary: The monthly financial report provides an overview of general fund revenues and departmental expenditures comparing them to budget throughout the year. Financial or budget considerations: Expenditures in January should generally be at about 8% of the annual budget. General fund expenditures in total are running approximately 2% under budget. Revenues are more difficult to measure in the same way because they are not collected evenly throughout the year. A summary of revenues and departmental expenditures compared to budget is included with a few comments provided below. Revenue bond fees are included in the other income roll up and account for approximately $158,000 of other revenue. License and permit revenues are higher than expected budget by approximately 10.5%, but lower than last year at this time which was 26%. Most departmental expenditures are at or are under budget. Public Works Administration is exceeding budgeted expenses in line items associated with wages and benefits (i.e., salaries, PERA). Engineering is also exceeding budget expectations due to vehicle allowance and subscriptions/memberships. However, Public Works Operations is under budget. Strategic priority consideration: Not applicable. Supporting documents: Summary of revenues and departmental expenditures – General Fund Prepared by: Kelli Truver, Abdo Financial Solutions Reviewed by: Jean McGann, interim finance director Approved by: Kim Keller, city manager 2023 2023 2021 2021 2022 2022 2023 2023 Balance YTD Budget Budget Audited Budget Unaudited Budget YTD Jan Remaining to Actual % General Fund Revenues: General Property Taxes 29,601,811$ 29,446,907$ 30,532,470$ 30,427,027$ 32,041,296$ -$ 32,041,296$ 0 Licenses and Permits 4,621,829 4,997,980 4,750,604 7,257,600 5,000,977 528,033 4,472,944$ 10.56% Fines and Forfeits 231,000 150,965 231,000 167,052 181,000 10,238 170,762$ 5.66% Intergovernmental 1,661,549 1,773,949 1,748,770 1,915,087 2,129,139 15,297 2,113,842$ 0.72% Charges for Services 2,013,834 2,278,004 2,284,483 2,615,090 2,586,338 4,502 2,581,836$ 0.17% Rents 1,459,641 1,451,279 1,553,984 1,735,789 1,604,857 5,750 1,599,107$ 0.36% Transfers In 2,055,017 2,054,819 2,198,477 2,092,977 2,865,766 - 2,865,766$ 0.00% Investment Earnings 200,000 (314,347) 200,000 175,483 320,821 - 320,821$ 0.00% Other Income 632,750 628,053 562,779 1,144,062 539,550 264,057 275,493$ 48.94% Use of Fund Balance 25,000 250,000 -$ Total General Fund Revenues 42,502,431$ 42,467,610$ 44,312,567$ 47,530,168$ 47,269,744$ 827,877$ 46,441,867$ 1.75% General Fund Expenditures: General Government: Administration 1,617,882$ 1,362,006$ 2,010,605$ 1,522,518$ 2,109,231$ 108,750$ 2,000,481$ 5.16% Finance 1,129,591 1,190,180 1,178,516 990,881 1,200,411 68,700 1,131,711$ 5.72% Assessing 798,244 767,705 821,530 803,912 849,561 63,964 785,597$ 7.53% Human Resources 837,736 823,448 882,849 724,894 834,585 60,462 774,123$ 7.24% Community Development 1,576,323 1,443,624 1,606,474 1,441,612 1,444,732 130,016 1,314,716$ 9.00% Facilities Maintenance 1,349,365 1,413,873 1,407,116 1,479,605 1,352,084 76,727 1,275,357$ 5.67% Information Resources 1,683,216 1,650,478 1,622,619 1,217,613 1,587,692 47,051 1,540,641$ 2.96% Communications & Marketing 970,934 807,217 974,064 1,028,271 1,006,224 53,922 952,302$ 5.36% Total General Government 9,963,291$ 9,458,531$ 10,503,773$ 9,209,305$ 10,384,520$ 609,591$ 9,774,929$ 5.87% Public Safety: Police 11,307,863$ 11,347,597$ 11,846,760$ 11,996,623$ 13,048,059$ 862,324$ 12,185,735$ 6.61% Fire Protection 4,998,636 5,066,383 5,364,179 5,395,507 5,806,478 389,616 5,416,862$ 6.71% Building 2,571,968 2,493,832 2,712,400 2,764,994 2,938,906 213,037 2,725,869$ 7.25% Total Public Safety 18,878,467$ 18,907,812$ 19,923,339$ 20,157,125$ 21,793,443$ 1,464,977$ 20,328,466$ 6.72% Public Works: Public Works Administration 249,256$ 239,575$ 255,766$ 263,264$ 264,485$ 49,454$ 215,031$ 18.70% Public Works Operations 3,285,820 2,957,465 3,523,669 3,317,311 3,603,624 150,886 3,452,738$ 4.19% Vehicle Maintenance 1,303,159 1,259,534 1,368,929 1,342,399 1,578,775 69,408 1,509,367$ 4.40% Engineering 523,547 655,722 556,115 880,596 750,625 146,153 604,472$ 19.47% Total Public Works 5,361,782$ 5,112,296$ 5,704,479$ 5,803,571$ 6,197,509$ 415,901$ 5,781,608$ 6.71% Parks and Recreation: Organized Recreation 1,639,358 1,516,192 1,769,060 1,748,671 1,972,508 101,981 1,870,527$ 5.17% Recreation Center 2,082,697 2,198,272 2,274,043 2,484,099 2,301,981 89,583 2,212,398$ 3.89% Park Maintenance 1,916,643 1,857,392 2,034,509 2,087,583 2,209,742 108,218 2,101,524$ 4.90% Westwood Nature Center 736,515 652,505 794,170 767,359 831,437 56,206 775,231$ 6.76% Natural Resources 496,497 412,015 612,110 860,808 769,479 11,078 758,401$ 1.44% Total Parks and Recreation 6,871,710$ 6,636,376$ 7,483,892$ 7,948,521$ 8,085,147$ 367,066$ 7,718,081$ 4.54% Other Depts and Non-Departmental: Racial Equity and Inclusion 341,293$ 185,280$ 292,194$ 275,975$ 389,258$ 13,718$ 375,540$ 3.52% Sustainability 432,043 297,217 404,890 363,381 419,867 28,126 391,741$ 6.70% Transfers Out 4,878,845 4,878,845 Contingency and Other 225,000 Total Other Depts and Non-Departmental 5,877,181$ 5,361,342$ 697,084$ 639,356$ 809,125$ 41,844$ 767,281$ 5.17% Total General Fund Expenditures 46,952,431$ 45,476,356$ 44,312,567$ 43,757,878$ 47,269,744$ 2,899,379$ 44,370,365$ 6.13% Adjustments made: None As of January 31, 2023 Summary of Revenues & Departmental Expenditures - General Fund Page 2 Meeting: Special study session Meeting date: March 20, 2023 Written report: 6 Executive Summary Title: February 2023 Monthly Financial Report Recommended action: No action is required. Policy consideration: Monthly financial reporting is required as part of our financial management policies. Summary: The monthly financial report provides an overview of general fund revenues and departmental expenditures comparing them to budget throughout the year. Financial or budget considerations: Expenditures in February should generally be at about 17% of the annual budget. General fund expenditures in total are running approximately 9% under budget. Revenues are more difficult to measure in the same way because they are not collected evenly throughout the year. A summary of revenues and departmental expenditures compared to budget is included with a few comments provided below. Revenue bond fees are included in the other income roll up and account for approximately $170,000 of other income. Most departmental expenditures are at or are under budget. Public Works Administration is exceeding budgeted expenses by approximately 2% in line items associated with wages and benefits (i.e., salaries, PERA). Engineering is exceeding budget expectations by 3% due to insurance (life and long-term disability) and subscriptions/memberships. However, Public Works Operations is under budget. Strategic priority consideration: Not applicable. Supporting documents: Summary of revenues and departmental expenditures – General Fund Prepared by: Kelli Truver, Abdo Financial Solutions Reviewed by: Jean McGann, interim finance director Approved by: Kim Keller, city manager 2023 2023 2021 2021 2022 2022 2023 2023 Balance YTD Budget Budget Audited Budget Unaudited Budget YTD Feb Remaining to Actual % General Fund Revenues: General Property Taxes 29,601,811$ 29,446,907$ 30,532,470$ 30,427,027$ 32,041,296$ -$ 32,041,296$ 0 Licenses and Permits 4,621,829 4,997,980 4,750,604 7,257,600 5,000,977 718,638 4,282,339$ 14.37% Fines and Forfeits 231,000 150,965 231,000 167,052 181,000 23,479 157,521$ 12.97% Intergovernmental 1,661,549 1,773,949 1,748,770 1,915,087 2,129,139 30,875 2,098,264$ 1.45% Charges for Services 2,013,834 2,278,004 2,284,483 2,615,090 2,586,338 115,965 2,470,373$ 4.48% Rents 1,459,641 1,451,279 1,553,984 1,735,789 1,604,857 8,068 1,596,789$ 0.50% Transfers In 2,055,017 2,054,819 2,198,477 2,092,977 2,865,766 - 2,865,766$ 0.00% Investment Earnings 200,000 (314,347) 200,000 175,483 320,821 - 320,821$ 0.00% Other Income 632,750 628,053 562,779 1,144,062 539,550 177,724 361,826$ 32.94% Use of Fund Balance 25,000 250,000 -$ Total General Fund Revenues 42,502,431$ 42,467,610$ 44,312,567$ 47,530,168$ 47,269,744$ 1,074,748$ 46,194,996$ 2.27% General Fund Expenditures: General Government: Administration 1,617,882$ 1,362,006$ 2,010,605$ 1,522,518$ 2,109,231$ 202,873$ 1,906,358$ 9.62% Finance 1,129,591 1,190,180 1,178,516 990,881 1,200,411 111,489 1,088,922$ 9.29% Assessing 798,244 767,705 821,530 803,912 849,561 70,311 779,250$ 8.28% Human Resources 837,736 823,448 882,849 724,894 834,585 69,204 765,381$ 8.29% Community Development 1,576,323 1,443,624 1,606,474 1,441,612 1,444,732 131,470 1,313,262$ 9.10% Facilities Maintenance 1,349,365 1,413,873 1,407,116 1,479,605 1,352,084 156,415 1,195,669$ 11.57% Information Resources 1,683,216 1,650,478 1,622,619 1,217,613 1,587,692 66,239 1,521,453$ 4.17% Communications & Marketing 970,934 807,217 974,064 1,028,271 1,006,224 95,409 910,815$ 9.48% Total General Government 9,963,291$ 9,458,531$ 10,503,773$ 9,209,305$ 10,384,520$ 903,410$ 9,481,110$ 8.70% Public Safety: Police 11,307,863$ 11,347,597$ 11,846,760$ 11,996,623$ 13,048,059$ 921,309$ 12,126,750$ 7.06% Fire Protection 4,998,636 5,066,383 5,364,179 5,395,507 5,806,478 430,686 5,375,792$ 7.42% Building 2,571,968 2,493,832 2,712,400 2,764,994 2,938,906 226,503 2,712,403$ 7.71% Total Public Safety 18,878,467$ 18,907,812$ 19,923,339$ 20,157,125$ 21,793,443$ 1,578,498$ 20,214,945$ 7.24% Public Works: Public Works Administration 249,256$ 239,575$ 255,766$ 263,264$ 264,485$ 50,048$ 214,437$ 18.92% Public Works Operations 3,285,820 2,957,465 3,523,669 3,317,311 3,603,624 239,196 3,364,428$ 6.64% Vehicle Maintenance 1,303,159 1,259,534 1,368,929 1,342,399 1,578,775 73,711 1,505,064$ 4.67% Engineering 523,547 655,722 556,115 880,596 750,625 148,950 601,675$ 19.84% Total Public Works 5,361,782$ 5,112,296$ 5,704,479$ 5,803,571$ 6,197,509$ 511,904$ 5,685,605$ 8.26% Parks and Recreation: Organized Recreation 1,639,358 1,516,192 1,769,060 1,748,671 1,972,508 116,203 1,856,305$ 5.89% Recreation Center 2,082,697 2,198,272 2,274,043 2,484,099 2,301,981 165,235 2,136,746$ 7.18% Park Maintenance 1,916,643 1,857,392 2,034,509 2,087,583 2,209,742 126,007 2,083,735$ 5.70% Westwood Nature Center 736,515 652,505 794,170 767,359 831,437 57,203 774,234$ 6.88% Natural Resources 496,497 412,015 612,110 860,808 769,479 92,472 677,007$ 12.02% Total Parks and Recreation 6,871,710$ 6,636,376$ 7,483,892$ 7,948,521$ 8,085,147$ 557,119$ 7,528,028$ 6.89% Other Depts and Non-Departmental: Racial Equity and Inclusion 341,293$ 185,280$ 292,194$ 275,975$ 389,258$ 13,803$ 375,455$ 3.55% Sustainability 432,043 297,217 404,890 363,381 419,867 34,842 385,025$ 8.30% Transfers Out 4,878,845 4,878,845 Contingency and Other 225,000 Total Other Depts and Non-Departmental 5,877,181$ 5,361,342$ 697,084$ 639,356$ 809,125$ 48,645$ 760,480$ 6.01% Total General Fund Expenditures 46,952,431$ 45,476,356$ 44,312,567$ 43,757,878$ 47,269,744$ 3,599,577$ 43,670,167$ 7.61% Adjustments made: None As of February 28, 2023 Summary of Revenues & Departmental Expenditures - General Fund Page 2