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HomeMy WebLinkAbout2023/08/21 - ADMIN - Agenda Packets - City Council - Regular AGENDA AUGUST 21, 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 comments 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. 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 July 17, 2023 b. Special EDA meeting minutes of July 24, 2023 4. Consent items a. Approve EDA disbursements for period ending July 28, 2023 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. Recognition of Westwood Hills Nature Center junior naturalists b. Recognition of service for Julie Grove, community and economic development analyst 4. Minutes a. City council study session minutes of July 24, 2023 Agenda EDA/city council meeting of August 21, 2023 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. Approve bid for 2023 broadcast equipment upgrade project b. Approve bid for Dakota Park infrastructure improvement project (2122-1806) – Ward 1 c. Approve temporary extension of licensed premises – The Dampfwerk Distillery d. Authorize request for proposal for multifunction printer equipment e. Resolution supporting and prioritizing 2024 capital budget requests to the Minnesota Department of Management and Budget for Governor’s capital budget 6. Public hearings – none. 7. Regular business a. First reading of ordinance amending city code chapter 8, sec. 474 related to cannabinoid products 8. Communications and announcements 9. Adjournment. 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: August 21, 2023 Minutes: 3a Unofficial minutes EDA meeting St. Louis Park, Minnesota July 17, 2023 St. Louis Park, Minnesota 1. Call to order. President Mohamed called the meeting to order at 6:00 p.m. a. Roll call. Commissioners present: President Nadia Mohamed, Tim Brausen, Sue Budd, Yolanda Farris, Margaret Rog, Jake Spano Commissioners absent: Lynette Dumalag Staff present: Deputy executive director (Ms. Walsh), economic development coordinator (Mr. Hunt), finance director (Ms. Cruver), community development director (Ms. Barton), housing supervisor (Ms. Olson) city attorney (Mr. Mattick), redevelopment administrator (Ms. Monson), planning manager (Mr. Walther) 2. Approve agenda. It was moved by Commissioner Spano, seconded by Commissioner Rog, to approve the EDA agenda as presented. The motion passed 6-0 (Commissioner Dumalag absent). 3. Minutes. a. EDA meeting minutes of June 5, 2023 It was moved by Commissioner Rog, seconded by Commissioner Brausen, to approve the EDA meeting minutes of June 5, 2023, as presented. The motion passed 6-0 (Commissioner Dumalag absent). 4. Consent items. a. Approval of EDA disbursement claims for the period ending June 30, 2023 b. Resolution No. 23-15 approving a subordination agreement for Honey & Rye Bakehouse c. Amendment to the redevelopment contract – Central Park West LLC (Ward 4) (This item was removed from consent and placed on the agenda under regular business as item 6a.) Economic development authority meeting of August 21, 2023 (Item No. 3a) Page 2 Title: Economic development authority meeting minutes of July 17, 2023 Commissioner Brausen asked to move 4c from consent to discuss further under regular business. It was moved by Commissioner Brausen, seconded by Commissioner Farris, to approve consent items 4a and 4b, to move consent item 4c to regular business as item 6a, and to waive reading of all resolutions. The motion passed 6-0 (Commissioner Dumalag absent). 5. Public hearings. a. Purchase Agreement and Business Subsidy with Sherman Associates related to the Beltline Station market rate components. • Proposed amendment to the purchase agreement with Beltline Station LLC • Proposed business subsidy with Beltline Station LLC Ms. Monson presented the staff report. Commissioner Rog noted she will address her questions at the July 24, 2023, meeting and focus on the public hearings this evening. President Mohamed opened the first public hearing on the proposed amendment to the purchase agreement with Beltline Station LLC. No members of the public were present to speak. President Mohamed closed the first public hearing. President Mohamed opened the second public hearing on the proposed business subsidy with Beltline Station LLC. No members of the public were present to speak. President Mohamed closed the second public hearing. Formal action by the EDA is scheduled to take place at the July 24, 2023, meeting. 6. Regular business. a. Resolution approving amendment to the redevelopment contract – Central Park West LLC Commissioner Brausen stated this is a motion to amend the contract relating to phase 5 of the Central Park West development. He stated the construction was going to begin in April 2023 and be completed by September 30, 2024 according to the terms of that agreement. He explained that because of conditions of commercial rental market and increased costs of construction, the developers asked the city to extend the construction dates to April 21, 2026 through September 28, 2026. He supports this request, noting how the West End development process began in 2010 Economic development authority meeting of August 21, 2023 (Item No. 3a) Page 3 Title: Economic development authority meeting minutes of July 17, 2023 and has been a slow process. He added COVID changed the commercial rental market as well. He stated the fact that the developers were able to construct 10 West End and lease it out is commendable in the depressed commercial rental conditions and a surplus of open lease space. Commissioner Brausen added it makes sense to allow this development to proceed slower and he will support it. Commissioner Budd asked what the situation will be if the completion date is pushed out and conditions have not changed. Mr. Hunt noted staff will have to assess the market and economy at that time and will take these into consideration before bringing it back to the EDA. Commissioner Spano stated this is a good question and when challenges have come up in the past, the city has tried to take a creative approach to better balance what is occurring in the market. It was moved by Commissioner Brausen, seconded by Commissioner Rog, to adopt Resolution no. 23-16 approving the seventh amendment to the amended and restated redevelopment contract related to The West End/Central Park West. The motion passed 6-0 (Commissioner Dumalag absent). 7. Communications and announcements – none. 8. Adjournment. The meeting adjourned at 6:20 p.m. ______________________________________ ______________________________________ Melissa Kennedy, EDA secretary Nadia Mohamed, EDA president Meeting: Economic development authority Meeting date: August 21, 2023 Minutes: 3b Unofficial minutes Special EDA meeting St. Louis Park, Minnesota July 24, 2023 1. Call to order. President Mohamed called the special meeting to order at 6:02 p.m. a. Roll call. Commissioners present: President Nadia Mohamed, Tim Brausen, Sue Budd, Lynette Dumalag, Yolanda Farris, Margaret Rog, and Jake Spano Commissioners absent: none. Staff present: City manager (Ms. Keller), deputy city manager (Ms. Walsh), executive director (Ms. Barton), economic development manager (Mr. Hunt), housing supervisor (Ms. Olson), planning manager (Mr. Walther), redevelopment administrator (Ms. Monson) Guests: Chris Sherman, Will Anderson with Sherman Associates; Stacy Kvilvang with Ehlers 2. Approve agenda. Commissioner Rog asked to move item 4a from consent to item 6a under regular business. It was moved by Commissioner Rog, seconded by Commissioner Brausen, to approve the EDA agenda as amended. The motion passed 7-0. 3. Minutes – none. 4. Consent items. a. Resolution approving contract for private redevelopment and amendments to purchase agreement with Sherman Associates related to the Beltline Station market rate components. This item was removed from consent to item 6a under regular business. 5. Public hearings – none. 6. Regular business. a. Resolution approving contract for private redevelopment and amendments to purchase agreement with Sherman Associates related to the Beltline Station market rate Economic development authority meeting of August 21, 2023 (Item No. 3b) Page 2 Title: Special economic development authority meeting minutes of July 24, 2023 components and Resolution amending the interfund loan resolutions to allow pooled tax increment to be used to repay the interfund loans. Ms. Monson presented the report. Commissioner Rog noted the total cost of the affordable component is about $26 million. Ms. Monson stated that was correct. Commissioner Rog asked if $24 million in financing for the affordable component is between federal, state and local resources. Ms. Monson stated that was not correct. Commissioner Rog stated there is $8 million in low-income housing tax credits, $14 million in tax- exempt bonds, and $2 million from the city including affordable housing trust funds and TIF. Mr. Sherman stated of the $26 million referenced, there is $12,150,000 of private debt financing and $2 million of deferred developer fees they are bringing to the project, for a total of $14,000,000 of financing. He noted the tax-exempt bonds are a tool that allows the developer to access lower-cost interest rates, but they are not a direct subsidy to the project. Commissioner Rog stated the EDA sold the affordable housing parcel valued at $2.6 million to the developer a year ago for $1. She added the building permits were approved and cleanup activities have begun. Ms. Monson clarified the property has not yet been sold and the bonds have not yet been fully closed. Commissioner Rog stated the total cost of the market rate and mixed-use project is about $142 million. Ms. Monson noted that cost includes the affordable component. Commissioner Rog stated the developer will contribute $24 million in owner equity to the mixed- use and market rate component, and the city is being asked to contribute $16.41 million. Ms. Monson stated that is correct. Commissioner Rog stated the developer entered into a purchase agreement last year and agreed to pay $6 million for the 3 parcels and $1 for the fourth parcel. Ms. Monson stated that is correct. Commissioner Rog stated that the bank assessed the parcels at $3.4 million. Ms. Monson stated that is correct. Commissioner Rog stated the city is proposing that the developer pay $3 million for the parcels, which is $400,000 less than the assessed value and $3 million less than the purchase agreement. Ms. Monson stated that is correct. Commissioner Rog stated the city made a $3.1 million bridge loan to the developer in 2019 to buy the Vision Bank property, and that was provided to the developer because the city had quicker access to capital at the time and the city wanted this to happen quickly so a surface parking lot would not be built there. Ms. Monson stated yes, and added the land is still being used to construct the required parking, and noted the funds were provided to Sherman to get more than just the surface parking lot. She also noted that Met Council recorded a permanent transit easement on the property which requires permanent transit parking as well as supporting further development. Economic development authority meeting of August 21, 2023 (Item No. 3b) Page 3 Title: Special economic development authority meeting minutes of July 24, 2023 Commissioner Rog stated those funds came from the city’s development funds and there is $1 million outstanding on the bridge loan. Ms. Monson stated that is correct. Commissioner Rog stated a temporary COVID-related loophole allows the city to use pooled TIF for private market rate projects and this pooled TIF could be used for other affordable housing projects if deposited into the affordable housing trust fund or the general fund. Stacy Kvilvang with Ehlers stated the spending plan depends on the districts where those dollars are coming from, as they have certain restrictions. She added some of those dollars have to stay in those specific districts for affordable housing and would be available for future redevelopment projects. She stated the majority of those dollars were made into spending plan dollars because they had no restrictions. Commissioner Rog stated the total direct financing being requested tonight is $16.41 million which includes the land write-down, loan forgiveness and additional TIF. Ms. Monson stated that is correct. Commissioner Rog stated the total additional financial assistance above what was presented in February is then about $5.5 million. Ms. Monson stated the spending plan dollars were already included in the February 2023 report and the EDA approved utilizing spending plan dollars for redevelopment at the end of 2022. Commissioner Rog stated the city is being asked to provide an additional $5.5 million in direct financial assistance to Sherman and Assoc, adding this is a $5 billion for profit enterprise. This would bring the total direct financial assistance for this project to $18.47 million, and as noted with the exception of Excelsior and Grand and the West End, this is the highest amount of direct financial assistance the city has ever been asked to provide to a private developer in this city. Commissioner Rog added that this project is not on the scale of either Excelsior and Grand or the West End, in her view. Commissioner Rog stated she has supported every request for financial assistance made by this developer to date, but she would like the EDA to draw the line here. She stated she understands inflationary pressures and labor shortages, increased materials costs and other economic pressures and noted that residents do too. She noted residents are experiencing the same pressures, but not getting the same relief with debt forgiveness, price reductions and public subsidies. She added she objects to all of this additional assistance, noting these are valuable financial resources that belong to the community, but she noted while she objects, she is a realist and believes her colleagues will support a compromise. It was moved by Commissioner Rog, seconded by Commissioner Dumalag, to adopt the resolution with the following changes: delete all references to forgiveness of the EDA loan, modify the purchase price to be paid in cash by the developer in the amount of $3.4 million for the market rate and mixed-use property and direct staff to take all actions necessary to amend the resolutions and documents subject to final review and approval by the EDA attorney. Economic development authority meeting of August 21, 2023 (Item No. 3b) Page 4 Title: Special economic development authority meeting minutes of July 24, 2023 The motion failed 2-5 (Commissioners Farris, Dumalag, Spano, Brausen and President Mohamed opposed). Commissioner Dumalag asked if staff has run numbers based on the present value of the land and loan forgiveness changes to the proposed resolutions. Ms. Monson stated no. Commissioner Spano asked if anything has substantially changed in the financial package since this was viewed by the EDA in May and June of this year. Ms. Monson stated no financial components have changed since May and June. Commissioner Spano added this is a big number and when looking at this comparatively the 8.1% of total project budget coming in support is within range of other projects approved such as Texa- tonka and Bigos, but smaller than Excelsior and Grand. He stated he appreciated the consistency of Commissioner Rog’s comments and healthy skepticism around the use of TIF. He stated he is struggling with this concern being brought to the table at the last decision point. He stated he is curious as to why this was not brought forth in May or June so staff could have investigated it more and brought it to the EDA earlier. Commissioner Rog stated she was prepared to meet with community development staff earlier, but because there were delays in agreements with the developers and tasks they needed to complete, this item was withdrawn from the agenda as an item for approval. She stated she was surprised this was presented last week for approval one week later, and when this happened, she immediately set to work to meet with community development staff. Commissioner Rog summarized that she had been prepared to explore the entire issue in May or June, and at that time it was withdrawn from the approval process. Ms. Monson stated the development contract was not ready to approve in June, but added the EDA did approve an amendment to the purchase agreement to extend the date of closing from June 30 to September 15. Commissioner Spano stated when he looks at this compared to other projects, he was surprised at the costs, but then realized these items are comparable with what other developers would be requesting. He is comfortable with the proposal and will not support Commissioner Rog’s amended motion. Commissioner Budd stated she does agree with Commissioner Rog’s concerns, adding this project is very complex. She shares concerns that the timeframe is short and very tight. She noted also that if the resolution is not approved tonight, it will put the whole project at risk; she does not like the feel of that and added that calling a special meeting next week to reconsider changes in the amount of $1.4 million would be a reasonable expectation. Reflecting that the time for an additional meeting was not available, Commissioner Budd said she will support the amended motion. Commissioner Brausen stated he appreciates Commissioner Rog’s concerns, and stated this is the highest and best use of the Beltline parcels, which achieves so many goals that he cannot see not supporting it. He stated it has affordable housing, green building policy, 380 housing units and 21,000 square feet of commercial space, including a 592-stall parking ramp. He added there Economic development authority meeting of August 21, 2023 (Item No. 3b) Page 5 Title: Special economic development authority meeting minutes of July 24, 2023 is public utility work that has to be done regardless of who purchases the property, adding those costs will not be cheaper. He stated there is environmental remediation that must be done on the property, and that will occur regardless. He noted there is full reimbursement on the land cost and a small profit as well and this is the type of development the city wants. He noted given the size, it is slightly smaller than Excelsior and Grand and West End, and in those instances, there was no affordable housing or environmental measures included. He added it also complies with the city’s TIF policy as adopted by the EDA and staff was given direction to implement it. Commissioner Brausen understands that Commissioner Rog may not agree with it, these are the rules that have been adopted. He added changing the rules at the last-minute feels unfair to him. Commissioner Brausen stated the public grant the city is getting for the park and ride is a major issue, adding that failure to begin the project by September would result in either building a parking lot or the city absorbing the costs to put in a parking ramp. He noted the developer is not making an excessive profit on this project, the rate of return on their equity investment is reasonable, given other developers’ projects, and added he really trusts staff to get the best deal possible when negotiating. He stated these are incredibly complex deals to put together, and for the landscape to evolve as the project progresses is not unusual. \Commissioner Brausen stated that he will not support Commissioner Rog’s motion as proposed. Commissioner Rog clarified that she is supportive of the TIF requests but has issues with the investments that could be recouped by the city. Commissioner Dumalag stated she is supportive of staff’s recommendation and while $18 million is a lot of money, it is within the threshold of other assistance the city has given to developers. She added for 380 families that will live here, park here, do commerce here, and take transit, along with the 82 units of deeply affordable housing, she is supportive. She added she is uncomfortable moving forward with Commissioner Rog’s changes when the numbers have not been vetted by consultants nor agreed to by the developer, adding she will support the project as presented. Commissioner Rog noted for clarification she is supportive of the development and believes it would move forward if some of the investments could be recouped by the city. Commissioner Farris stated she will support the staff’s recommendations. Commissioner Budd stated we are being asked to change the goal post at this stage, and that she is having an issue with the loan forgiveness and the appraisal price, not the TIF portion. Commissioner Brausen added that he had sent staff a question about what the legal landscape is in the event that the project is not approved, and there are risks associated with that choice. President Mohamed asked if the all-affordable building would have the same amenities as the other two buildings. Mr. Anderson stated Sherman prides itself on developing homes that all will be proud of. He noted it will have similar amenities as the other units and other buildings and will be 2 and 3-bedroom units for families, meeting a significant need for the community. Economic development authority meeting of August 21, 2023 (Item No. 3b) Page 6 Title: Special economic development authority meeting minutes of July 24, 2023 President Mohamed stated she has been concerned about the dollar amounts and the affordable unit details, noting she was hoping for more affordable units, especially since it is right next to a transit station. She stated she is happy to hear there are 82 units, and 77 are at 60% AMI and the units feature more bedrooms. She asked if, considering the dollar amount, there is any tax burden or tax impact. Ms. Monson stated all the financial assistance being provided to the development is paid through pay-as-you-go TIF notes, pooled TIF, and loan forgiveness through the development fund. She noted they are the most flexible and noted no private citizens’ taxes will be used to pay for this development. President Mohamed stated if the project does not go through, the affordable housing units will be lost, and this will just become a parking lot which does not generate any taxes. Ms. Monson stated that is correct. President Mohamed stated she will also support staff’s recommendations and will not support Commissioner Rog’s proposed amendment. Commissioner Rog stated she is disappointed, and it is unfortunate the council is not willing to stand up for taxpayers on this issue. She stated there is no way this development would be scrapped over $1.4 million, and they have the opportunity to recoup that money back for the city’s development fund and not have to tax our residents for this through the EDA levy. She cautioned residents that higher taxes will be coming because the EDA was unable to recoup funds for other developments in the city and stated she will not support staff’s motion. It was moved by Commissioner Spano, seconded by Commissioner Brausen to adopt Resolution No. 23-17 approving contract for private redevelopment and amendments to purchase agreement with Sherman Associations related to the Beltline Station market rate components. The motion passed 5-2 (Commissioner Rog and Budd opposed). It was moved by Commissioner Spano, seconded by Commissioner Brausen to adopt Resolution No. 23-18 amending the interfund loan resolutions to allow pooled tax increment to be used to repay the interfund loans. The motion passed 5-2 (Commissioners Rog and Budd opposed). 7. Communications and announcements – none. 8. Adjournment. The special meeting adjourned at 6:55 p.m. ______________________________________ ______________________________________ Melissa Kennedy, EDA secretary Nadia Mohamed, EDA president Meeting: Economic development authority Meeting date: August 21, 2023 Consent agenda item: 4a Executive summary Title: Approve EDA disbursements Recommended action: Motion to approve EDA disbursement claims for the period of July 1 - July 28, 2023. Policy consideration: Does the EDA approve the disbursements listed for the period ending July 28, 2023? Summary: The finance division prepares this report monthly for the EDA to review and approve. The attached report shows both EDA disbursements paid by physical check and those by wire transfer or Automated Clearing House (ACH) when applicable. Financial or budget considerations: Review and approval of disbursements by the EDA is required and provides another layer of oversight to further ensure fiscal stewardship. Strategic priority consideration: Not applicable. Supporting documents: EDA disbursement summary Prepared by: Huy Le, accounting specialist Reviewed by: Amelia Cruver, finance director Approved by: Kim Keller, city manager CITY OF ST LOUIS PARK R55CKS2 LOGIS400V Note: Payment amount may not reflect the actual amount due to data sequencing and/or data selection. Council Check Summary 7/1/2023 - 7/28/2023 Amount ObjectVendorBU Description 18.53CENTERPOINT ENERGY 4300 36 1/2 (affordable comm)HEATING GAS 18.53 4,362.00KENNEDY & GRAVEN ESCROWS UNION PARK APTS 1,725.00ESCROWSSATURDAY PROP (S WOOD STATION) 12,159.70ESCROWSSEMBLE EXCAVATING 2,123.00ESCROWSPLACE 6,759.50BELTLINE SWLRT DEVELOPMENT LEGAL SERVICES 28.744300 36 1/2 (affordable comm)LEGAL SERVICES 4,057.00WOODDALE STATION TIF DIST G&A LEGAL SERVICES 1,007.00DEVELOPMENT - EDA G&A LEGAL SERVICES 32,221.94 219.80WHIPPER SNAPPER LAWN SERVICE MTKA BLVD PROPERTIES LAND MAINTENANCE 219.80 Report Totals 32,460.27 Economic development authority meeting of August 21, 2023 (Item No. 4a) Title: Approve EDA disbursements Page 2 Meeting: City council Meeting date: August 21, 2023 Presentation: 3a Executive s ummary Title: Westwood Hills Nature Center junior naturalist recognition Recommended action: The city council is asked to recognize the junior naturalists for their service this summer. Summer junior naturalist coordinator, Renee McSherry and naturalist, Becky McConnell, will be in attendance to assist with the presentation. Policy consideration: Not applicable. Summary: There were 40 youth volunteers that served in the junior naturalist program this summer. Collectively they volunteered over 1,600 hours. The junior naturalist program has been part of Westwood Hills Nature Center for 32 years. The goal of the program is to foster responsibility, community service, initiative, teamwork and leadership skills in youth in grades 7 – 12. By volunteering in a cooperative, goal-oriented and engaging work environment, the junior naturalists gain important job skills, knowledge and experience. The junior naturalist program is one of two teen volunteer programs in the Parks and Recreation Department. Junior naturalists assist the naturalists with camps providing valuable support with nature hikes, games, activities, crafts, set-up and clean-up. This year they helped serve 424 summer camp participants. Because of the junior naturalists’ dedication and willingness to serve, summer camp participants’ experience is safer and more engaging. Additionally, junior naturalists maintain the beautiful upper water garden and waterfall area and take care of the nature center’s education animals. The junior naturalists are rewarded with this special recognition, a letter of recommendation, a celebration in appreciation of their service and passes to The Rec Center’s ice arena and Aquatic Park. Financial or budget considerations: Not applicable. Strategic priority consideration: St. Louis Park is committed to creating opportunities to build social capital through community engagement. Supporting documents: None Prepared by: Stacy Voelker, senior office assistant Becky McConnell, interpretive naturalist Reviewed by: Mark Oestreich, nature center manager Jason T. West, parks and recreation director Approved by: Kim Keller, city manager Meeting: City council Meeting date: August 21, 2023 Presentation: 3b Executive s ummary Title: Recognition of Community and Economic Development Analyst Julie Grove’s 18 years of service Recommended action: Read certificate and recognize Julie Grove for 18 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 10 years of service will be presented with a framed certificate from the mayor, city manager and city council. Community and Economic Development Analyst Julie Grove is resigning after 18 years of service to the city. Julie will be in attendance at this meeting. The mayor is asked to read the certificate and present it to Julie in recognition of her years of service. Financial or budget considerations: Not applicable. Strategic priority consideration: Not applicable. Supporting documents: Not applicable. Prepared by: Rita Vorpahl, HR director Reviewed by: Cheyenne Brodeen, administrative services director Approved by: Kim Keller, city manager Meeting: City council Meeting date: August 21, 2023 Minutes: 4a Unofficial minutes City council study session St. Louis Park, Minnesota July 24, 2023 The meeting convened at 7:15 p.m. Councilmembers present: Tim Brausen, Sue Budd, Yolanda Farris, Lynette Dumalag, Mayor Pro Tem Nadia Mohamed and Margaret Rog Councilmembers absent: Jake Spano Staff present: City manager (Ms. Keller), deputy city manager (Ms. Walsh), city clerk (Ms. Kennedy), elections and civic engagement coordinator (Mr. Sund), elections specialist (Ms. Stacey), elections intern (Mr. Paul) 1.Elections and voter services overview The elections team presented the staff report. Ms. Stacey and Mr. Paul provided an overview of ranked-choice voting and Mr. Sund discussed the upcoming election cycles, voter services, recent changes in election law, and metrics. Councilmember Budd asked if there is a limit on the number of candidates who could run for a local office and questioned why voters are only allowed to rank up to three (3) choices for each office on the ballot. Mr. Sund responded this was the policy decision made by council when ranked-choice voting was implemented and clarified there is no limit on the number of candidates who can file for an office. Ms. Kennedy explained the number of choices allowed was looked at very closely and is also tied to ballot layout and how ranked-choice contests are tabulated. The rules were written to allow for flexibility in the future by providing that voters would be allowed to rank at least three (3), but and not more than six (6) choices on the ballot. Future changes would be dependent on availability of technology, equipment, and need. Councilmember Rog noted it seems there will be more activity with early voting at city hall versus at polling places on Election Day. She asked if fewer election workers will be needed based on this trend. Ms. Kennedy stated that this trend has been happening since 2016 and has already been incorporated into staffing plans. The number of election workers at each polling place reflects voting trends and projected turnout. Ms. Kennedy noted it is important to continue to staff polling places appropriately to ensure the high level of service voters expect is maintained and that voters are able to participate safely and efficiently. Councilmember Rog noted opportunities to increase awareness about candidacy and asked if staff is measuring outcomes or only inputs. Mr. Sund responded that staff has developed and implemented a survey to measure voter experience and services. The survey also provides an opportunity to assess outreach and education strategies. This data is analyzed with other known data from the census or actual voter participation data from each election to identify gaps, needs, and plan for voter services. City council meeting of August 21, 2023 (Item No. 4a) Page 2 Title: City council study session minutes of July 24, 2023 Councilmember Rog asked if the survey offered to voters leaves anyone out. Ms. Kennedy stated St. Louis Park is one of the few cities that is attempting to measure the effectiveness of voter services and then use the data to design strategies to target known gaps or barriers. She noted one group that is tough to connect with is non-voters. If a person made a choice to not participate in an election, they are not as likely to want to participate in a survey to explain why. She stated this is an area they will continue to explore to try to find ways to connect with non-voters and learn more about why people may not participate. Councilmember Budd asked if any of the metrics have ever been presented to council. Ms. Kennedy stated yes, elections staff have presented to the council annually since 2018. In 2022 this information was included and combined with discussions and policy decisions about redistricting. Councilmember Rog asked about artificial intelligence (AI) and the potential to impact elections security. Mr. Sund stated the election community is routinely thinking about, discussing, and planning for security needs and emergency management plans. St. Louis Park is active in these efforts and pay very close attention to opportunities to combat disinformation or enhance both physical and cyber security measures. Ms. Kennedy added voters are very astute and do a great job of asking questions and reporting anything that seems suspicious. She noted as technology changes, staff will continue to address emerging issues in conjunction with partners at the county, state and federal levels. The consensus of the council was that they agreed with the current metrics being used by staff to assess voter services and they appreciated the work being done. Councilmember Dumalag asked how St. Louis Park handles school district elections. Ms. Kennedy replied that school district elections in St. Louis Park happen in odd-number years and are run concurrently with elections for city offices. She explained from an administrative standpoint the team is always looking at what is best for the voter and because the elections happen at the same time, it makes sense for the city to take the lead because the city has elections staff with the knowledge and expertise to provide this service. Functionally voters do not see a difference between the city and the school district, they simply want a good experience when they choose to vote, and they want the services to be accessible and efficient. She noted if a special school board election was ever held not in conjunction with a local or state election, and the school district wanted the city to run it, the district would be responsible for those costs, including staff time. Mayor Pro Tem Mohamed asked if the city charges the school district for election assistance. Ms. Kennedy stated no, noting the school district does pay costs associated with their portion of the ballot, but the city does not charge the district for staff time, or any other costs related to the administration of elections. Communications/meeting check-in (verbal) Written Reports City council meeting of August 21, 2023 (Item No. 4a) Page 3 Title: City council study session minutes of July 24, 2023 Councilmember Budd asked about the Via Sol project. Ms. Keller stated she will look into the e- generation portion of the project and report back. Councilmember Brausen stated it was good to see the affordable housing units increase St. Louis Park, however noted the units are still expensive. 2.Quarterly development update – 3rd quarter 2023 The meeting adjourned at 8:30 p.m. ______________________________________ ______________________________________ Melissa Kennedy, city clerk Jake Spano, mayor Meeting: City council Meeting date: August 21, 2023 Consent agenda item: 5a Executive s ummary Title: Approve bid for 2023 broadcast equipment upgrade project Recommended action: Motion to designate Alpha Video and Audio the lowest responsible bidder and authorize execution of a contract with the firm in the amount of $245,782.06 for the 2023 broadcast equipment upgrade project #1123-1014. Policy consideration: Does the city council wish to approve the expenditures for the upgrade of broadcast equipment in the council chambers and community room at city hall, as directed in the 2023 capital improvement plan? Summary: Summarized below are the three bids received for this project. Company Amount Alpha Video and Audio $245,782.06 AVI Systems, Inc. $268,182.89 AVI-SPL $268,873.89 Project estimate $250,000 A review of the bids by David Soukup of FinePoint Technology, consultant on this project, showed that Alpha Video and Audio submitted the lowest bid. Alpha Video and Audio is a responsible contractor. Staff recommends that a contract be awarded to the company in the amount of $245,782.06. Per city policy, contracts over $175,000 require council approval. This project will update production, playback and broadcast equipment in the council chambers control room; replace cameras and add an additional camera in the council chambers; replace cameras in the community room with the current council chambers cameras; and streamline live broadcasting and recording from the community room. This project will allow for more efficient and reliable call-in for public hearings, should the city council and/or planning commission wish to implement that service again. Financial or budget considerations: This project is included in the city’s Capital Improvement Plan (CIP) for 2023 and was discussed at the Oct. 3, 2022, study session of the city council. Funding is provided through cable franchise fees received by the city from Comcast under the terms of a 10-year franchise agreement approved by the city council in May 2021. The low bid received was under the $250,000 cost included in the CIP. Strategic priority consideration: St. Louis Park is committed to creating opportunities to build social capital through community engagement. Supporting documents: •Bid recommendation and summary from FinePoint Technology Prepared by: Jacque Smith, communications and technology director Approved by: Kim Keller, city manager 416 Gateway Blvd. Burnsville, MN 55337 M: (612) 254-7462 | F: (612) 254-7386 August 14, 2023 Jacque Smith Communications and Technology Director City of St. Louis Park, MN 5005 Minnetonka Blvd. St. Louis Park, MN 55416 Ms. Smith, On August 10th, 2023, bids for the 2023 Broadcast Equipment Replacement Project for St. Louis Park City Hall bid were received and read aloud. I was pleased to see that there were three vendors that responded to RFP. The allocated budget for the project was $250,000.00. All bids came in within 10% of the budgeted a mount and had less than a 10% variance between the bidders. Alpha Video and Audio, Inc was the lowest bidder with a base bid amount of $245,782.06. After reviewing the additional documentation requested as part of the bid, my recommendation is that the city move forward with awarding the project to Alpha. Please let me know if you would like to discuss further. Cordially, David Soukup, CTS-I, CTS-D, RCDD Principal Consultant FinePoint Technology, LLC Attachment: Bid Summary – 2023 Broadcast Equipment Upgrade City council meeting of August 21, 2023 (Item No. 5a) Title: Approve bid for 2023 broadcast equipment upgrade project Page 2 City council meeting of August 21, 2023 (Item No. 5a) Title: Approve bid for 2023 broadcast equipment upgrade project Page 3 Meeting: City council Meeting date: August 21, 2023 Consent agenda item: 5b Executive s ummary Title: Approve bid for Dakota Park infrastructure improvement project (2122-1806) - Ward 1 Recommended action: Motion to designate New Look Contracting, Inc. the lowest responsible bidder and authorize execution of a contract with the firm in the amount of $576,818.50 for the Dakota Park infrastructure improvement project no. 2122-1806. Policy consideration: Does the city council wish to pursue the infrastructure improvements described in this report? Summary: A total of five (5) bids were received for this project. A summary of the bid results is as follows: Contractor Bid amount New Look Contracting, Inc. $576,818.50 Max Steininger, Inc. $623,243.37 Vada Contracting, LLC $640,275.50 Geislinger & Sons, Inc. $682,156.01 Ramsey Companies $923,312.50 Engineer's estimate $442,382.00 A review of the bids indicates New Look Contracting, Inc. submitted the lowest bid. New Look Contracting, Inc. is a reputable contractor. Staff recommends that a contract be awarded to the firm in the amount of $576,818.50. Financial or budget considerations: This project is included in the city's Capital Improvement Plan (CIP) for 2023. Funding will be provided by the following sources: sanitary sewer utility, storm sewer utility, park improvement funds and American Rescue Plan Act (ARPA) funds. The low bid is lower than the CIP, and it is recommended to award the bid as submitted. Additional information on the breakdown of the funding can be found later in this report. 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 Overall 2023 financial summary Prepared by: Jack Sullivan, engineering project manager Reviewed by: Debra Heiser, engineering director Approved by: Kim Keller, city manager Page 2 City council meeting of August 21, 2023 (Item No. 5b) Title: Approve bid for Dakota Park infrastructure improvement project (2122-1806) Discussion Background Bids were received on Aug. 10, 2023, for the Dakota Park infrastructure improvement project (previously known as the Dakota Park Pedestrian Bridge Project) that includes: •Replacement of approximately 350 feet of sanitary sewer pipe that runs under the west softball field just north of the trail bridge. •Removal of the bridge that spans over a stormwater retention basin and creation of a new trail connection between the playground and the dog park using a trail reroute around the stormwater retention basin. These two improvements are combined into one project due to their proximity to each other and to limit the impact on the park and ballfield. An advertisement for bids was published in the St. Louis Park Sun Sailor on July 6, 2023, and July 13, 2023, and in Finance and Commerce from July 6, 2023 to July 12, 2023. In addition, plans and specifications are made available 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. Thirty-one contractors/vendors downloaded plan sets, of which six were DBE companies. Funding details Staff has analyzed the bids and determined that New Look Contracting, Inc. is a qualified contractor that can complete this work during the 2023 construction season. The low bid is within the city 's 2023 CIP. Based on the low bid received, cost and funding details are as follows: CIP Low bid Construction cost $ 830,001.00 $ 576,818.50 Engineering and administration $ 139,616.00 $ 173,045.55 Base bid total $ 969,617.00 $ 749,864.05 Funding sources Sanitary sewer funds $ 425,500.00 $ 418,887.05 Stormwater utility funds $ 275,891.00 $ 62,751.00 Park improvement funds $158,226.00 $158,226.00 American Rescue Plan Act (ARPA) funds $ 110,000.00 $110,000.00 Base bid total $ 969,617.00 $ 749,864.05 Attached is the overall financial summary for the transportation and maintenance projects included in the 2023 CIP. This is the last 2023 project. Overall, except for sanitary sewer utility funds, all bids are under the amounts expected in the CIP. City council meeting of August 21, 2023 (Item No. 5b) Page 3 Title: Approve bid for Dakota Park infrastructure improvement project (2122-1806) Recommendation While the project is 23% under the CIP amount, it is 30% over the engineer's estimate of $442,382.00. There are three options open to the city when a bid is higher than the engineer's estimate. These are: reject the bid and rebid for this year, reject the bid and delay the project until a future year, and award the bid after a review of the overall financial management plan to understand available funding. To prepare the recommendation for award, staff explored these three options and is recommending that the city award the bid. This recommendation was developed after reaching out to contractors to better understand the bidding climate and bid prices. Contractors consistently indicated that the prices are based on the project conditions, cost of materials and labor. They shared that rebidding would likely not reduce these costs and also that they are looking for work this fall. Due to this, staff does not recommen d going back out to bid for this project since it is unlikely that the pricing will go down. To ensure that the city can repair the sanitary sewer so it will continue to serve the community and that the softball fields are available for play in 2024, staff recommends that the city move forward with this project in 2023. To accomplish this, engineering has reviewed the contract costs with the finance director. The project cost is less than the CIP in all funding areas except sanitary sewer. There are available funds to cover this slight increase. Next steps Construction is anticipated to begin in September and continue into late October. The project will be completed in the spring of 2024. Overall financial summary 2023 Budget Pavement management (Area 1) Concrete replacement Mill and overlay (Area 7 & 8) Alley construction Dakota Park bridge and sanitary sewer 4023-1000 4023-0003 4023-1200 4023-1500 2122-1806 ARPA 110,000 - - - 110,000 GO Bonds-New sidewalk construction 485,000 485,000 - - - - Pavement management fund 5,002,250 3,775,000 82,500 654,000 490,750 - Park improvement fund 158,226 - - - - 158,226 Stormwater 1,237,141 587,000 110,000 264,250 275,891 Water 2,639,000 2,639,000 - - - - Sanitary sewer 719,500 294,000 - - - 425,500 Operations budget 95,000 - 95,000 - - - Total funding 10,446,117 7,780,000 287,500 654,000 755,000 969,617 Table 1: 2023 Transportation and maintence projects funding -CIP 2023 Budget Pavement management (Area 1) Concrete replacement Mill and overlay (Area 7 & 8) Alley construction Dakota Park bridge and sanitary sewer 2023 project balance 4023-1000 4023-0003 4023-1200 4023-1500 2122-1806 ARPA 110,000 - - - 110,000 - GO Bonds-New sidewalk construction 485,000 303,919 - - - - 181,081 Pavement management fund 5,002,250 3,761,148 60,910 502,397 440,623 - 237,172 Park improvement fund 158,226 - - - - 158,226 - Stormwater 1,237,141 784,569 80,930 237,259 62,751 71,633 Water 2,639,000 2,636,364 - - - - 2,636 Sanitary sewer 719,500 345,354 - - - 418,887 (44,741) Operations budget 95,000 - 71,133 - - - 23,867 Total funding 10,446,117 7,831,354 212,973 502,397 677,882 749,864 471,647 Bid award Bid award Bid award Bid award Bid Award Table 2: 2023 Transportation and maintence projects funding - actual City council meeting of August 21, 2023 (Item No. 5b) Title: Approve bid for Dakota Park infrastructure improvement project (2122-1806) Page 4 Meeting: City council Meeting date: August 21, 2023 Consent agenda item: 5c Executive s ummary Title: Temporary extension of licensed premises - The Dampfwerk Distillery Recommended action: Motion to approve temporary extension of the licensed premises for a one-day event at The Dampfwerk Distillery, located at 6311 Cambridge Street. Policy consideration: Does the applicant meet the requirements for temporary extension of their licensed premises for a special, one-day event? Summary: The Dampfwerk Distillery, located at 6311 Cambridge Street, has requested a temporary extension of their licensed premises for a one-day event on September 16, 2023, from 12 – 9 p.m. The current licensed premises does not include outdoor space. The applicant has proposed expanding the licensed premises temporarily to include the area immediately adjacent. None of the other businesses in or adjacent to the property will be open during the event, however the applicant has obtained permission from the landowner and these businesses. Additionally, the applicant has communicated with neighboring residential properties regarding the event. The event is a celebration of the start of Oktoberfest and the release of a new product by The Dampfwerk, a german-style distillery. Approximately 300 guests are expected to attend throughout the day and will be able to enjoy the distillery’s alcoholic and non-alcoholic beverages, food from Gerhard brats, and music. Barriers will be placed around the event space to control entry and exit from the proposed area. IDs will be checked at the entry and either a wristband or a stamp provided to those of legal drinking age. The boundary will be secured and monitored by staff throughout the event. Outdoor music will end no later than 9 p.m. Ample parking is available, with approximately 160 parking spaces available, not including on-street parking. Guests will also be encouraged to bike or rideshare to the event. Staff reviewed the request and found no issues with the proposed plans. Police and fire have been notified and will ensure all safety and security measures are being met. St. Louis Park City Code Section 3-106 states that “proposed enlargement or substantial alteration which changes the character of the licensed establishment or extension of a premise previously licensed shall not be allowed unless the city council approves an amendment to the liquor license”. If approved, the temporary extension of the licensed premises would be valid only for the dates and times outlined in the request. Financial or budget considerations: Not applicable. Strategic priority consideration: St. Louis Park is committed to creating opportunities to build social capital through community engagement. Supporting documents: Prepared by: Melissa Kennedy, city clerk Approved by: Kim Keller, city manager Meeting: City council Meeting date: August 21, 2023 Consent agenda item: 5d Executive s ummary Title: Authorize request for proposal for multifunction printer equipment Recommended action: Motion to authorize staff to issue a request for proposal for a five-year lease of multifunction printer equipment for use by city staff. Policy consideration: Does the city council agree with city staff’s recommendation to issue a request for proposal for a new five-year lease of multifunction printer equipment for use by city staff? Summary: Multifunction printer equipment allows for printing, copying, and scanning of documents for city business by staff in various facilities. The current five-year lease for multifunction printer equipment expires March 15, 2024. Staff is preparing a request for proposal to provide multifunction printers for another five-year lease period (2024-2029), with the following goals: •Assess inventory and consider reducing the number of units needed through use of updated technology and current best practices. •Improve energy efficiency and sustainability and promote best practices to minimize use of consumables and reduce paper waste. •Minimize costs while maintaining or improving current services. Financial or budget considerations: The city’s multifunction printers are currently budgeted through the information technology budget and the technology capital improvement plan (CIP). As costs are expected to exceed $175,000 over the course of the five-year lease agreement, city staff will be engaging in a competitive bidding process to identify the lowest responsible bidder, in accordance with the city’s purchasing policy. Staff will return at a later council meeting for approval of the bid. Strategic priority consideration: St. Louis Park is committed to continue to lead in environmental stewardship. Supporting documents: None Prepared by: Jason Huber, IT manager Reviewed by: Jacque Smith, communications and technology director Approved by: Kim Keller, city manager Meeting: City council Meeting date: August 21, 2023 Consent agenda item: 5e Executive s ummary Title: Resolution supporting and prioritizing 2024 capital budget requests for Governor’s capital budget Recommended action: Motion to adopt resolution establishing project priority for 2024 capital budget requests. Policy consideration: Does the city council support the staff-recommended prioritization for these two capital projects in its submission to the Governor’s capital budget? Summary: The request before council is a step in the process to solicit financial support from the state. It does not take the place of the city’s regular engineering and financial review processes for these projects. The State of Minnesota's capital budget is primarily funded by issuing state general obligation bonds. It includes grants to local governments to acquire and improve public lands and buildings and other public improvements of a capital nature. This means projects must: •be for a public purpose, •be publicly owned, •have a purpose clearly set forth in the law, and •constitute capital expenditures. On June 16, city staff submitted two capital improvement project requests for consideration. When a city submits more than one request, it is asked to prioritize them by approving a resolution. Due to timing, staff was unable to bring this item to council prior to submitting the request. The city has until Oct. 13, 2023, to edit its requests. Staff recommends the following prioritization for the projects submitted: Priority 1: TH 100 service road loop infrastructure investments Priority 2: Oxford/ Louisiana area infrastructure investment Additional details are included in the discussion section of this report. Financial or budget considerations: Details regarding the estimated cost for these two projects are included in the discussion section of the report. If the city is successful in its request to have one or both projects included in the governor's bonding bill, it will need to provide at least a 50% local match. 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 Resolution TH 100 service road loop location map Oxford/ Louisiana area location map Prepared by: Debra Heiser, engineering director Reviewed by: Michael Sund, elections and civic engagement coordinator Approved by: Kim Keller, city manager City council meeting of August 21, 2023 (Item No. 5e) Page 2 Title: Resolution supporting and prioritizing 2024 capital budget requests for Governor’s capital budget Discussion Background The capital budget process begins in odd-numbered years with the collection of requests from state agencies and local units of government. The Minnesota Department of Management and Budget (MMB) issues instructions to agencies on how to submit capital budget requests in April of the year preceding its submission to the legislature. All local unit of government and political subdivision capital project requests were due to MMB by June 16, 2023. On June 16, city staff submitted two capital improvement project requests for consideration. When a city submits more than one request, it ise asked to prioritize them by approving a resolution. Due to timing, staff was unable to bring this item to council prior to submitting the request. The city has until Oct. 13, 2023, to edit its requests. The two projects are: •TH 100 service road loop infrastructure investment (2028) •Oxford/ Louisiana area infrastructure investment (2027- 2028) In addition, it is common for project proposers to work with their area legislators to have bills introduced that authorize state bonds for the project. While these bills are not passed individually, they do draw attention to the issue and often receive brief hearings to allow the proposal to be explained. Project descriptions TH 100 service road loop infrastructure investment (2028) The area south of Highway 394 along TH 100 is a section of the City of St. Louis Pak many Minnesotans are familiar with as they navigate their way around the west metro area. The city's roadway system in this project plan is along TH 100. It provides regional movement of goods and connections to commerce and also local connections to homes, schools, places of worship and parks. The project features a new multi-use trail for bicycles and pedestrians, new LED street lighting, enhanced pedestrian crossings, replacement of aging pavement and modifications to existing intersections. To create a safe bicycle and pedestrian facility, this project also includes the construction of the West end trail connection along the East TH 100 service drive. This represents the only regional north-south connection in the area for pedestrians and cyclists. Project improvements that would be completed using state funding include: •Replacement of 1.31 miles of roadway pavement. •Construction of 0.7 miles of new trail. •Crosswalk enhancements for people walking and rolling, including shorter crossing distances, raised pedestrian refuge islands and pedestrian-actuated flashing beacons. •Operational and access management changes at intersections to improve efficiency and safety. •Modifications of existing sidewalks and trails to meet ADA requirements and operation needs. •Replacement of existing street lighting with new LED systems and enhanced lighting at conflict areas. City council meeting of August 21, 2023 (Item No. 5e) Page 3 Title: Resolution supporting and prioritizing 2024 capital budget requests for Governor’s capital budget •Stormwater treatment. •Public utility repair and replacement. The infrastructure reconstruction and safety improvements included in these corridors will benefit all users: vehicles, pedestrians, transit riders, and bicyclists, for years to come. The roadway segments included in this project: •West TH 100 service drive between Westside Drive and the TH 100 southbound ramp. •Westside Drive loop, between West TH 100 service drive and the East TH 100 service drive. •East TH 100 service drive, between Old Cedar Lake Road and Barry Street. The total project cost is $11 million. The city is requesting 50% of the project cost in state funds and will match the remaining 50% with local funds. Key funding sources are general obligation bonds, pavement management funds, and city utility funds. This project is included in the city's CIP, with construction scheduled for 2028. Total cost: $11 million Bonding request: $5.5 million Oxford/ Louisiana area infrastructure investment (2027- 2028) Once complete, the METRO Green Line extension light rail will run through St. Louis Park with a stop near the project area. In anticipation of the significant need to use this stop to access local amenities and Methodist Hospital, the city plans to improve the area for more general use. The new station will be on Oxford Street, adjacent to a major throughway in the region – Louisiana Avenue. The public improvements for the Oxford/ Louisiana area include the construction and repair of aging sidewalk; critical repairs to water, sewer, and storm sewer facilities; other improvements or upgrades related to street work, including replacement of streetlights, striping, and signs; replacement or repair of pavement, curb, and gutter; roundabout construction; stormwater quality improvements and flood storage; property acquisition; and other improvements associated with street rehabilitation work. Altogether these represent a significant long-term investment in the regional infrastructure. Project improvements that would be completed using state funding include: •Crosswalk enhancements for people walking and rolling, including shorter crossing distances, raised pedestrian refuge islands, and pedestrian-actuated flashing beacons. •Operational and access management changes at intersections to improve efficiency and safety. •Modifications of existing sidewalks to meet ADA requirements and operation needs. •Replacement of existing street lighting with new LED systems and enhanced lighting in conflict areas. •Replacement of 1.67 miles of roadway pavement. •Construction of 0.75 miles of new sidewalk. •Construction of a new roundabout at the intersection of Louisiana Avenue and Oxford Street. •Stormwater treatment and flood storage. •Public utility repair and replacement. City council meeting of August 21, 2023 (Item No. 5e) Page 4 Title: Resolution supporting and prioritizing 2024 capital budget requests for Governor’s capital budget The construction of this project is proposed to be phased over two years, with construction starting in 2027 and completed in 2028 to coincide with the expected operational dates of the light rail line. The first phase will occur in 2027. The city will construct a new roundabout at the intersection of Louisiana Avenue and Oxford Street. Also included in this project is the reconstruction of the following public infrastructure: •Oxford Street from Minnehaha Creek bridge to Edgewood Avenue. •Edgewood Avenue from Oxford Street to Cambridge Street. •Cambridge Street from Edgewood Avenue to Alabama Avenue. •Louisiana Avenue from 100 ft north of the intersection with Oxford Street to 300 ft south of the intersection. Sidewalk will also be constructed with this project to fill in gaps in the sidewalk system at the following locations: •South side of Oxford Street from the Meadowbrook bridge to the existing sidewalk approximately 750 ft from the Meadowbrook bridge. •North side of Oxford Street between Louisiana Avenue and Edgewood Street. •East side of Edgewood Street between Oxford and Cambridge streets •North side of Cambridge Street between Edgewood Avenue and the railroad tracks. •South side of Cambridge Street between Brunswick and Alabama avenues. Also included in this project are regional stormwater improvements and flood mitigation. This project is adjacent to Minnehaha Creek. Building in flood storage and water quality treatment in the area will support redevelopment and promote climate resiliency. The second phase is scheduled for 2028. The scheduled work is on Meadowbrook Road, which includes the following infrastructure rehabilitation: •Replacing the deck of the Meadowbrook bridge over Minnehaha Creek. •Reconstruction of Meadowbrook Road from the Meadowbrook bridge south to Excelsior Boulevard. Also included in this project is the construction of a new sidewalk connection to close a gap in the sidewalk network, creating connections to transit route 612, the Green Line LRT and the south Cedar Lake regional trail: •Meadowbrook Road from the Meadowbrook bridge to the existing sidewalk on the east side of Meadowbrook Road (450 feet). The total project cost is $13.8 million. The city is requesting 50% of the project cost in state funds and is prepared to match the remaining 50% with local funds. Key funding sources are general obligation bonds, municipal state aid dollars and city utility funds. This project is included in the city's Capital improvement plan (CIP). Total cost: $13.8 million Bonding request: $6.9 million City council meeting of August 21, 2023 (Item No. 5e) Page 5 Title: Resolution supporting and prioritizing 2024 capital budget requests for Governor’s capital budget Financial considerations The following table outlines the estimated project cost and anticipated funding sources for these two projects. If we are successful in our request to have one or both projects included in the governor's bonding bill, state funds will be used to pay for up to 50% of the cost. TH 100 Service Road loop Oxford/ Louisiana area Construction cost $8,815,000.00 $11,215,000.00 Engineering and administration $2,185,000.00 $2,610,000.00 Total $11,000,000.00 $13,825,000.00 Funding sources General obligation bonds $6,100,000.00 $1,428,000.00 Municipal state aid $0.00 $7,613,000.00 Pavement management funds $4,500,000.00 $0.00 Sanitary sewer $49,000.00 $1,063,000.00 Storm water $212,000.00 $3,126,000.00 Water utility $139,000.00 $95,000.00 Total $11,000,000.00 $13,325,000.00 Staff recommendation Community development and engineering staff reviewed the two projects submitted and recommend that the city prioritize them as follows: Priority 1: TH 100 service road loop infrastructure investments. Priority 2: Oxford/ Louisiana area infrastructure investment It is in the best interest of the public to modernize the TH 100 service loop roads to provide equitable opportunities for transportation to underserved populations, improve neighborhood livability, and replace facilities at the end of their useful life. While both projects have a regional benefit, staff believes the TH 100 service road loop project is a higher priority based on the following rationale. •These roadways provide regional movement of goods and connections to commerce, while also providing local connections to homes, schools, places of worship, and parks. •The roadways also provide regional connections to properties in the TH 100 corridor, including at least 1,612 affordable housing units. These units currently have walk scores of 30, indicating that the area is car-dependent. •The railroad is a barrier for transit users. The Route 9 bus serves the West End; however, due to the tracks and lack of a trail connection, access to this service is not available for the 3,900 residents and 883 employees south of the tracks. The closest stop is only 0.2 miles away from Westside Center, one of the employers in the area. •At the census block group level, 21 percent of project area residents identified as people of color in the 2020 census. •These roadways are currently used by almost 17,000 vehicles daily due to their connection to and circulation under TH 100. City council meeting of August 21, 2023 (Item No. 5e) Page 6 Title: Resolution supporting and prioritizing 2024 capital budget requests for Governor’s capital budget •77-96% of the traffic using them is from outside of St. Louis Park. •Almost 2,000 vehicles a day use West TH 100 service drive and East TH 100 service drive to get off TH 100 and back on again to bypass the congestion that occurs daily on TH 100 between Barry Street and Cedar Lake Road. Next steps If the council supports the staff recommendation, the resolution will be submitted to the MMB. Here are some key dates for this process June 16, 2023 All local unit of government requests are due to MMB. July 17, 2023 MMB submits all local unit of government requests and state agency preliminary requests to the legislature. Oct. 13, 2023 Final edits to local government requests are due to MMB. Nov. 14, 15 and 16, 2023 Regional bonding tour dates. Jan. 16, 2024 Governor Walz submits 2024 Capital Budget Recommendations to the legislature and MMB publishes all requests. City council meeting of August 21, 2023 (Item No. 5e) Page 7 Title: Resolution supporting and prioritizing 2024 capital budget requests for Governor’s capital budget Resolution No. 23-___ Resolution supporting and prioritizing 2024 capital budget requests to the Minnesota Department of Management and Budget Whereas the Minnesota Department of Management and Budget begins the capital budget process in odd-numbered years with the collection of requests from state agencies and local units of government; and Whereas the City of St. Louis Park has submitted two capital improvement project requests for consideration for inclusion in Governor Walz's 2024 capital budget recommendations to the legislature; Now therefore, be it resolved that the City of St. Louis Park supports the submittal of these capital budget requests, that the city council accepts the responsibility of matching an amount equal to or greater than 50 percent of the eligible costs of the project and that the following is the project priority: Priority 1: TH 100 service road loop infrastructure investments. Priority 2: Oxford/ Louisiana area infrastructure investment. Reviewed for administration: Adopted by the city council August 21, 2023 Kim Keller, city manager Jake Spano, mayor Attest: Melissa Kennedy, city clerk UTICA AVE S26TH ST WPARKPLACEBLVDHIGHWAY 100 SNATCHEZAVESQUENTI NAVESHIGHWAY 100 SHIGHWAY 100 SPARKDALE D R O L D C E D A R L A K E R D C E D A R W OOD RD ALLEYUTICA AVESH I L L LNS BARRY ST WESTRIDGE LN2 7 TH S T W QUENTIN AVE STOLEDO AVE SSALEM AVE SRALEIGH AVE SWESTSIDE DR VERNON AVE SC EDAR L AK E R D PARKW OO D S R D UTICAAVES2 3 R D S T W Twin LakesTwin Lakes ParkPark 0 500 1,000250 Feet TH100 service road loop improvements Legend Street reconstruction New trail Existing trails Existing bikeways Existing sidewalks Planned trails Planned bikeways Intersection improvements Transit routes Date: 6/12/2023 City council meeting of August 21, 2023 (Item No. 5e) Title: Resolution supporting and prioritizing 2024 capital budget requests for Governor’s capital budget Page 8 GWXLOUIS IANA AVES42ND ST W SERVICE DR HIGHWAY 7 EXCELSIOR BLVD GOODRICH AVE MEADOWBROOK RDEDGEWOODAVE S 39TH ST W POWELL RD 41ST ST W 37TH ST W SERVICE DR HIGHWAY 7 3 9TH ST W BROOKVIEW LN LAKE ST W LOU I S I A N A A V E STAFT AVE SDAKOTA AVE SLOUISIANA CIR BROOKSIDEAVE SALABAMA AVE SOXFORD ST CAMBRIDGE ST GOODRICH AVE COLORADO AVE SMEADOW BRO OKLNOREGON AVE SEXCELSIORWAYCOLORADO AVE SMO N I T O R S T MEADOWBR O O K BLV D H OSP ITAL SERVICE DR Jackley ParkJackley Park Justad Park Justad Park Jorvig Park Jorvig Park Creekside/Isaac Walton League Creekside/Isaac Walton League Edgebrook Park Edgebrook Park Meadowbrook Manor Park Meadowbrook Manor Park ALABAMA AVE SHIGHWAY 7 42ND ST WPENNSYLVANIAAVE S OXFO R D S T 36TH ST W37TH ST W LAKE S T W ALABAMA AVE S37TH ST W NORT H S T EDGE B R O O K D R BRUNSWICK AVE SCOLORADO AVE SH O S PIT ALSERVICEDR3 0 1,000 2,000500 Feet´ Oxford/ Louisiana area infrastructure investment Phase 1 Street reconstruction New sidewalk Phase 2 Street reconstruction New sidewalk Existing trails Existing bikeways Planned trails Planned bikeways Existing sidewalks Louisiana light rail station METRO Green Line Extension Bus routes Date: 8/16/2023 City council meeting of August 21, 2023 (Item No. 5e) Title: Resolution supporting and prioritizing 2024 capital budget requests for Governor’s capital budget Page 9 Meeting: City council Meeting date: August 21, 2023 Action agenda item: 7a Executive s ummary Title: First reading of ordinance amending city code related to cannabinoid products Recommended action: Motion to approve the first reading of an ordinance amending Sec. 8- 474(a)(7) to allow exclusive liquor stores to obtain licensure for the sale of hemp-derived THC products. Policy consideration: Does council want to allow exclusive liquor stores to obtain a license for the sale of cannabinoids as currently allowed by Minnesota state law? Summary: On January 1, 2023, the City of St. Louis Park adopted an ordinance allowing for the sale of hemp-derived THC products. The ordinance included a provision that exclusive liquor stores were not eligible to hold a license pursuant to Minnesota Statute § 340A.412, subd. 14. A recent amendment to state law now allows for the sale of edible products at exclusive liquor stores. To align the city’s ordinance with the recent change in state law, staff recommend removing Sec. 8-474 (a)(7) and allowing for the sale of hemp-derived THC products at exclusive liquor stores. Next steps: If council approves the first reading, the second reading is scheduled for September 5, 2023. 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: Proposed ordinance Prepared by: Michael Pivec, property maintenance & licensing manager Reviewed by: Brian Hoffman, building and energy director Melissa Kennedy, city clerk Approved by: Kim Keller, city manager City council meeting of August 21, 2023 (Item No. 7a) Page 2 Title: First reading of ordinance amending city code related to cannabinoid products Ordinance No. _____ -23 Ordinance amending St. Louis Park City Code Chapter 8, Article II, Division 3 related to Cannabinoid Products The City Council of the City of St. Louis Park, Minnesota does ordain: Section 1. Sec. 8-474 of the St. Louis Park City Code is hereby amended by deleting the strikethrough language as follows: Sec. 8-474. Denial of license. (a)Grounds for denial. The following will be grounds for denying the issuance or renewal of a license under this article: (1)The applicant is under the age of 21 years. (2) The applicant has been convicted of a controlled substance-related felony within three years of the application that: (a)was violent, fraudulent, or deceitful in nature; or (b) involved more than 42.5 grams of marijuana or any amount of any other controlled substance. (3) The applicant has had a license to sell Cannabinoid Products revoked within the past five years. (4) The applicant fails to provide any information required on the license application or provides false or misleading information on such license application. (5) The applicant is prohibited by state, or other local law, ordinance, or other regulation from holding a license under this article. (6) The proposed licensed premises is within 300 feet of a school measured from property line to property line. (7) Pursuant to Minnesota Statute § 340A.412, subd. 14, no license shall be issued to an exclusive liquor store. (b) Rehabilitation. Persons convicted of a felony described in (a)(2) of this section may provide evidence of rehabilitation to the city through the process outlined in Minn. Stat. §364.03 subd. 3. (c) Mistakenly Issued. If a license is mistakenly issued or renewed, it shall be revoked upon the discovery that the person was ineligible for the license under this section. City council meeting of August 21, 2023 (Item No. 7a) Page 3 Title: First reading of ordinance amending city code related to cannabinoid products Section 2. This ordinance shall take effect fifteen days after its publication. Adopted this day of , 2023 by the City Council of the City of St. Louis Park. Reviewed for administration: Kim Keller, city manager Jake Spano, mayor Attest: Approved as to form and execution: Melissa Kennedy, city clerk Soren Mattick, city attorney First Reading August 21, 2023 Second Reading September 5, 2023 Date of Publication September 14, 2023 Date Ordinance takes effect September 29, 2023