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HomeMy WebLinkAbout2023/11/20 - ADMIN - Agenda Packets - City Council - RegularAGENDA NOVEMBER 20, 2023 5:45 p.m. Special study session Discussion item 1. 30 min. Cannabis zoning discussion 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 November 6, 2023 4.Consent items a.Decertification of Eliot Park, Ellipse and Shoreham TIF districts b.Administrative modification of TIF plan budgets for 4900 Excelsior, West End and Park Commons TIF districts c.Transference of pooled tax increment for affordable housing 5.Public hearings – none. 6.Regular business – none. 7.Communications and announcements – none. 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 – none. 4.Minutes a.Minutes of November 6, 2023 city council meeting b.Minute of November 6, 2023 special study session 5.Consent items a.Administrative modification of TIF plan budgets for 4900 Excelsior, West End and Park Commons TIF districts b.Transference of pooled tax increment for affordable housing c.Authorize removing permit parking on the east side of the 3300 block of France Avenue d.Resolution approving The West End alternative urban areawide review update - Ward 4 e.Resolution authorizing alternating stop conditions on 29th Street between Louisiana and Texas Avenues - Ward 3 Agenda EDA, city council meeting and special study session of November 20, 2023 f.Approval of retainer for PFAS settlement g.Resolution appointing alternate representative to the Basset Creek Watershed Management Commission h.Resolution authorizing cancellation of special assessment at 3912 Inglewood Avenue South and voidance of contract no. 111-23 i.Hennepin County West Metro Drug Task Force participation 6.Public hearings a.First reading of ordinance establishing utility rates for 2024 7.Regular business – none. 8.Communications and announcements – none. 9. Adjournment. Immediately following city council meeting - special study session, continued Discussion item 2. 60 min. City/EDA owned excess land disposition discussion Members of the public can attend St. Louis Park Economic Development Authority, city council meetings and study sessions in person or watch live by webstream at bit.ly/watchslpcouncil or at www.parktv.org, or on local cable (Comcast SD channel 14/HD channel 859). Recordings of the meetings are available to watch on the city's YouTube channel at www.youtube.com/@slpcable, usually within 24 hours of the end of the council meeting or study session. The council chambers is equipped with Hearing Loop equipment and headsets are available to borrow. If you need special accommodations or have questions about the meeting, please call 952.924.2505. Meeting: Special study session Meeting date: November 20, 2023 Discussion item: 1 Executive summary Title: Cannabis zoning discussion Recommended action: Provide feedback and comments related to how the zoning code should address the sale of cannabis products. Policy consideration: Does the council agree with staff’s recommendation to: 1. Regulate the sale of cannabis edibles and beverages for on-site consumption in the same manner as the city currently regulates on-site consumption of low potency (LP) Tetrahydrocannabinol (THC) edibles. 2. Regulate the sale of cannabis for off-site consumption (dispensaries) in the same manner as the city currently regulates liquor stores. Summary: In 2023, the State of Minnesota passed legislation to legalize adult use of cannabis which included the creation of the Office of Cannabis Management (OCM) to oversee the regulation of commercial production and sale of cannabis and related products. Municipalities have been granted authority to enact regulations related to the zoning, local registration and enforcement of cannabis sales, although the finalization of some regulations by the OCM will not occur until 2025. The city enacted a moratorium on cannabis-related businesses to protect the planning process as the city researches and considers zoning controls for cannabis products and related activities. Next steps: Staff will continue to also consider the following topics: 1. Amendments that may be needed to zoning code definitions, land use descriptions, home occupation regulations and appropriate conditions to protect against unintended impacts and nuisances that may be associated with this new use. 2. Equity considerations regarding the sale of cannabis. 3. Zoning regulations for growing and manufacturing cannabis products. Financial or budget considerations: There are no financial or budget considerations at this time. 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: Discussion, map showing liquor store buffers from other uses, map showing cannabis business exclusion areas Prepared by: Gary Morrison, zoning administrator Harrison Maxwell, community development intern Reviewed by: Sean Walter, planning manager, deputy CD director Approved by: Kim Keller, city manager Page 2 Special study session of November 20, 2023 (Item No. 1) Title: Cannabis zoning discussion Discussion Background: Land uses related to cannabis are subject to general zoning requirements. This report focuses solely on zoning regulations related to the sale of cannabis for on- and off-site consumption. Additional uses related to commercial growing and manufacturing cannabis will be discussed another time. Cities may impose reasonable restrictions on land use activities. The restrictions typically include: 1.Determining in which zoning districts the use is permitted. 2.Determining the manner of approval such as, permitted by right, permitted with conditions or permitted by conditional use permit. 3.Establishing specific standards and conditions to mitigate potential nuisances, and health and safety concerns that may accompany the use. 4.Establishing additional restrictions, which may include limits on the hours of operation and separation requirements from other uses. Present considerations: Staff is in the early stages of researching and preparing regulations pertaining to the sale of cannabis products. At this time, staff is prepared to offer zoning recommendations related to the sale of cannabis products for on- and off-sale consumption. Recommendation for regulations pertaining to the sale of cannabis products for on-site consumption. Staff recommends the city regulate sale of cannabis edibles and beverages for on- site consumption in a manner similar to the city’s current regulation of the sale of low potency tetrahydrocannabinol (LP THC) edibles and beverages for consumption on-site. The city license regulations allow on-site sale of LP THC at food and beverage establishments only. The city will not grant a license to a liquor store or to an establishment that is located within 300 feet of a school. These controls would be added to the zoning code. Recommendation for regulations pertaining to the sale of cannabis at dispensaries for off-site use. Staff also recommends the city regulate dispensaries in the same manner as it currently regulates liquor stores. Liquor stores are allowed in specific zoning districts and have setback requirements for schools, places of worship and several types of commercial uses. Staff considered several possibilities for how to regulate cannabis sales in the zoning code, summarized into three options which are outlined in the table below. Page 3 Special study session of November 20, 2023 (Item No. 1) Title: Cannabis zoning discussion Cannabis dispensary options (off-site use) Option Type of existing allowable business used as reference Allowed districts* Setbacks 1: Moderate level of regulation (Staff recommendation) Liquor store model C-2 MX-1 MX-2 The lot must be at least 1,000 feet from a pawnshop, currency exchange, payday loan agency, firearms sales or sexually-oriented business. The lot must also be 300 feet from a school or place of worship. 2: Most lenient option considered Tobacco sale model Where retail is allowed None 3: Strictest allowed by state statute No current models: Separation from sensitive use or specific zoning districts Districts of choosing: BP C-1 C-2 MX-1 MX-2 Industrial State Law – Local/Optional A local unit of government may prohibit the operation of a cannabis business within 1,000 feet of a school, or 500 feet of a day care, residential treatment facility or public park. *The districts are defined as: C-1 Neighborhood Commercial C-2 General Commercial MX-1 Vertical Mixed-Use MX-2 Neighborhood Mixed Use BP Business Park Industrial includes both IP Industrial Park and IG General Industrial Staff prepared two maps that illustrate how various setback scenarios impact the potential locations of dispensaries. These maps are attached to the report. The first map shows the staff recommendation, which follows the liquor store model. The map also shows the 1,000-foot-buffer that is required around each of these uses. Please note the 1,000-foot-buffer is not required between two liquor stores. The second map is the “Cannabis Business Exclusion Area” map which shows where cannabis businesses would be excluded if the city adopted option 3 as outlined in the table above. Racial, equity, and inclusion considerations. Racial equity and inclusion (REI) considerations will be reviewed while drafting the zoning ordinance. Legally, the zoning code must be race neutral. At the same time, REI impacts can and will be included in the city’s registration approval process. For example, concentrating businesses in one part of the city may impact surrounding properties or neighborhoods. Additionally, concentrating dispensaries in certain areas may reduce access for consumers. Dispersing the dispensaries in some manner throughout the city Page 4 Special study session of November 20, 2023 (Item No. 1) Title: Cannabis zoning discussion appears to be an equitable solution that ensures access and minimizes disproportionate impacts to nearby properties. Next steps: Staff will utilize council feedback on level of zoning regulation desired for commercial cannabis sales and prepare the following: 1.Amendments to zoning code definitions, land use descriptions, home occupation regulations and appropriate conditions to protect against unintended impacts and nuisances that may be associated with this new use. 2.A registration process that has built-in equity considerations. 3.Additional potential regulations for growing and manufacturing cannabis products. Special study session of November 20, 2023 (Item No. 1) Title: Cannabis zoning discussion Page 5 Cumulitive Exclusion Area 500' Child Care Facilities Buffer 500' Playground & Athletic Facilities Buffer 1000' School Buffer Municipal Boundary Parcel Boundaries POS Park and Open Space Residential Zones Source: Foursquare, ESRI 0 0.50.25 Mile ± Path: O:\Geo\Projects\Comm_Dev\Cannabis Business Operations\Cannabis Business Operations.aprx Date Saved: 11/13/2023 3:31 PM Cannabis Business Exclusion Areas Special study session of November 20, 2023 (Item No. 1) Title: Cannabis zoning discussion Page 6 Meeting: Economic development authority Meeting date: November 20, 2023 Minutes: 3a Unofficial minutes EDA meeting St. Louis Park, Minnesota Nov. 6, 2023 1. Call to order. President Mohamed called the meeting to order at 6:20 p.m. a. Roll call. Commissioners present: President Nadia Mohamed, Tim Brausen, Sue Budd, Lynette Dumalag, Yolanda Farris, and Jake Spano Commissioners absent: Margaret Rog Staff present: City manager (Ms. Keller), deputy city clerk (Ms. Scott-Lerdal) 2. Approve agenda. It was moved by Commissioner Spano, seconded by Commissioner Dumalag, to approve the EDA agenda as presented. The motion passed 6-0 (Commissioner Rog absent). 3. Minutes. a. EDA meeting minutes of Oct. 16, 2023 It was moved by Commissioner Dumalag, seconded by Commissioner Brausen, to approve the EDA meeting minutes of Oct. 16, 2023 as presented. The motion passed 6-0 (Commissioner Rog absent). 4. Consent items. a. Approve EDA disbursements Commissioner Budd asked about legal fees reflected as charges for the Wooddale Station TIF District and asked for clarification. Ms. Keller responded she will follow up with Commissioner Budd after consulting with city staff. Economic development authority meeting of November 20, 2023 (Item No. 3a) Page 2 Title: Economic Development Authority meeting minutes of Nov. 6, 2023 It was moved by Commissioner Brausen, seconded by Commissioner Spano, to approve the consent items as presented. The motion passed 6-0 (Commissioner Rog absent). 5. Public hearings – none. 6. Regular business – none. 7. Communications and announcements - none. 8. Adjournment. The meeting adjourned at 6:23 p.m. ______________________________________ ______________________________________ Melissa Kennedy, EDA secretary Nadia Mohamed, EDA president Meeting: Economic development authority Meeting date: November 20, 2023 Consent agenda item: 4a Executive summary Title: Decertification of Eliot Park, Ellipse on Excelsior and The Shoreham TIF Districts (Wards 4, 2 & 1) Recommended action: Motion to adopt Resolutions approving the decertification of the Eliot Park, Ellipse on Excelsior and The Shoreham TIF Districts. Policy consideration: By state law, the EDA is required to decertify the Eliot Park, Ellipse on Excelsior and The Shoreham TIF Districts as the Notes have been paid and the districts have accumulated the allowable pooled tax increment for affordable housing purposes. Summary: The final payments on the Eliot Park, Ellipse on Excelsior and The Shoreham Tax Increment Financing (TIF) Notes (related to the respective redevelopments) have been paid in full and have accumulated the allowable 35% of pooled tax increment for affordable housing purposes. As a result, these three redevelopment TIF districts must be decertified early. Per the 2023 Annual TIF District Management Review & Analysis prepared by Ehlers (the EDA’s financial consultant) and discussed at the October 23, 2023 study session, Ehlers indicated that these three TIF districts must be formally decertified and recommended that a portion of their remaining cash balances be transferred to the city’s Affordable Housing Trust Fund and that $100,000 be retained in each of the TIF districts to resolve any outstanding tax court petitions within them to prevent any impact to the city’s General Fund. The remaining tax increment in these districts would then be returned to the county for redistribution to the city, county, and school district as general property taxes. These decertifications would add approximately $3.6 million in tax capacity to the city’s tax base in 2024. Financial or budget considerations: The city is legally required to decertify these three TIF districts early and return their remaining balances (total of approximately $1.2 million) to the county for redistribution. The county will then redistribute the property tax dollars back to the various taxing jurisdictions and the city’s proportionate share of these dollars is estimated at $476,000. These will be unrestricted dollars and the city may utilize them for any General Fund purpose. Strategic priority consideration: St. Louis Park is committed to providing a broad range of housing and neighborhood oriented development. Supporting documents: Resolutions decertifying the Eliot Park, Ellipse on Excelsior and The Shoreham TIF Districts Prepared by: Greg Hunt, economic development manager Reviewed by: Karen Barton, community development director, EDA executive director Approved by: Cindy Walsh, deputy city manager Economic development authority meeting of November 20, 2023 (Item No. 4a) Page 2 Title: Decertification of Eliot Park, Ellipse on Excelsior and The Shoreham TIF Districts (Wards 4, 2 & 1) EDA Resolution No. 23 - ______ Decertifying the Eliot Park Tax Increment Financing District Whereas, the City of St. Louis Park, Minnesota (the “city”) and the St. Louis Park Economic Development Authority (the “authority”) previously established the Eliot Park Tax Increment Financing District (the “TIF district”), a redevelopment district within Redevelopment Project No. 1 in the city, pursuant to Minnesota Statutes, Sections 469.174 through 469.1794, as amended (the “TIF act”); and Whereas, the TIF district is administered by the authority; and Whereas, it has been proposed that the authority decertify the TIF district as of December 31, 2023; and Whereas, as of the date hereof, the projects have been completed, all obligations to which tax increment from the TIF district has been pledged have been paid in full or defeased, and the authority has determined that it is in the best interests of the city to terminate and decertify the TIF district; and Now therefore be it resolved by the board of commissioners of the St. Louis Park Economic Development Authority as follows: 1. The TIF district shall be decertified as of December 31, 2023. 2. Authority staff are authorized and directed to deliver a copy of this resolution to the auditor/treasurer of Hennepin County, Minnesota (the “county auditor/treasurer”) with instructions to decertify the TIF district as of December 31, 2023, it being the intent of the city and authority that any tax increment derived from the TIF district and collected after December 31, 2023 should be redistributed by the county auditor/treasurer to the taxing jurisdictions within the TIF district pursuant to the TIF act. 3. Authority staff are further directed to return any remaining tax increment in the accounts established for the TIF district after December 31, 2023, which is not eligible for spending, as determined by authority staff, to the county auditor/treasurer for redistribution to the taxing jurisdictions within the TIF district. Reviewed for administration: Adopted by the Economic Development Authority November 20, 2023 Karen Barton, executive director Nadia Mohamed, president Attest Melissa Kennedy, secretary Economic development authority meeting of November 20, 2023 (Item No. 4a) Page 3 Title: Decertification of Eliot Park, Ellipse on Excelsior and The Shoreham TIF Districts (Wards 4, 2 & 1) EDA Resolution No. 23-______ Decertifying the Ellipse on Excelsior Tax Increment Financing District Whereas, the City of St. Louis Park, Minnesota (the “city”) and the St. Louis Park Economic Development Authority (the “authority”) previously established the Ellipse on Excelsior Tax Increment Financing District (the “TIF district”), a redevelopment district within Redevelopment Project No. 1 in the city, pursuant to Minnesota Statutes, Sections 469.174 through 469.1794, as amended (the “TIF act”); and Whereas, the TIF district is administered by the authority; and Whereas, it has been proposed that the city and the authority decertify the TIF district as of December 31, 2023; and Whereas, as of the date hereof, the projects have been completed, all obligations to which tax increment from the TIF district has been pledged have been paid in full or defeased, and the authority has determined that it is in the best interests of the city to terminate and decertify the TIF district; and Now therefore be it resolved by the board of commissioners of the St. Louis Park Economic Development Authority as follows: 1. The TIF district shall be decertified as of December 31, 2023. 2. Authority staff are authorized and directed to deliver a copy of this resolution to the auditor/treasurer of Hennepin County, Minnesota (the “county auditor/treasurer”) with instructions to decertify the TIF district as of December 31, 2023, it being the intent of the city and authority that any tax increment derived from the TIF district and collected after December 31, 2023 should be redistributed by the county auditor/treasurer to the taxing jurisdictions within the TIF district pursuant to the TIF act. 3. Authority staff are further directed to return any remaining tax increment in the accounts established for the TIF district after December 31, 2023, which is not eligible for spending, as determined by authority staff, to the county auditor/treasurer for redistribution to the taxing jurisdictions within the TIF district. Reviewed for administration: Adopted by the Economic Development Authority November 20, 2023 Karen Barton, executive director Nadia Mohamed, president Attest Melissa Kennedy, secretary Economic development authority meeting of November 20, 2023 (Item No. 4a) Page 4 Title: Decertification of Eliot Park, Ellipse on Excelsior and The Shoreham TIF Districts (Wards 4, 2 & 1) EDA Resolution No. 23-______ Decertifying the Shoreham Tax Increment Financing District Whereas, the City of St. Louis Park, Minnesota (the “city”) and the St. Louis Park Economic Development Authority (the “authority”) previously established the Shoreham Tax Increment Financing District (the “TIF district”), a redevelopment district within Redevelopment Project No. 1 in the city, pursuant to Minnesota Statutes, Sections 469.174 through 469.1794, as amended (the “TIF act”); and Whereas, the TIF district is administered by the authority; and Whereas, it has been proposed that the city and the authority decertify the TIF district as of December 31, 2023; and Whereas, as of the date hereof, the projects have been completed, all obligations to which tax increment from the TIF district has been pledged have been paid in full or defeased, and the authority has determined that it is in the best interests of the city to terminate and decertify the TIF district; and Now therefore be it resolved by the board of commissioners of the St. Louis Park Economic Development Authority as follows: 1. The TIF district shall be decertified as of December 31, 2023. 2. Authority staff is are and directed to deliver a copy of this resolution to the auditor/treasurer of Hennepin County, Minnesota (the “county auditor/treasurer”) with instructions to decertify the TIF district as of December 31, 2023, it being the intent of the city and authority that any tax increment derived from the TIF district and collected after December 31, 2023 should be redistributed by the county auditor/treasurer to the taxing jurisdictions within the TIF district pursuant to the TIF act. 3. Authority staff are further directed to return any remaining tax increment in the accounts established for the TIF district after December 31, 2023, which is not eligible for spending, as determined by authority staff, to the county auditor/treasurer for redistribution to the taxing jurisdictions within the TIF district. Reviewed for administration: Adopted by the Economic Development Authority November 20, 2023 Karen Barton, executive director Nadia Mohamed, president Attest Melissa Kennedy, secretary Meeting: Economic development authority Meeting date: November 20, 2023 Consent agenda item: 4b Executive summary Title: Administrative modifications to the tax increment financing plans for the 4900 Excelsior, West End, and Park Commons TIF Districts (Wards 2 & 4) Recommended action: Motion to adopt resolution approving modifications to the tax increment financing plans for the 4900 Excelsior, West End and Park Commons TIF Districts to allow for additional pooling for qualified affordable housing uses. Policy consideration: Does the EDA support pooling an additional 10% of the tax increment from the 4900 Excelsior, West End and Park Commons TIF Districts to use for qualified affordable housing purposes? Summary: The Minnesota TIF Act allows for the EDA/city to pool up to an additional 10% of tax increment from TIF districts above the standard allowable limit for rental housing that meets low-income housing tax credit requirements. Funded projects need to be tax credit eligible, meaning that they are both rent and income restricted. Eligible uses include acquisition and site preparation, construction, rehabilitation, and public improvements directly related to the rental housing, provided these costs were not funded through tax credits. The funds can be spent anywhere within the city. The final payments on the 4900 Excelsior, West End and Park Commons TIF Notes (related to the 4900 Excelsior, West End and Park Commons redevelopments) are expected to be paid on February 1, 2024. Once these payments are made, these redevelopment TIF districts must either be decertified or their TIF districts plans modified. Per the recommendations in the 2023 Annual TIF District Management Review & Analysis prepared by Ehlers and presented at the October 23, 2023 study session, and resulting EDA direction, it is recommended that the TIF plans for the 4900 Excelsior, West End and Park Commons TIF Districts be modified to allow up to 35% of its tax increment be retained annually for qualified affordable housing uses through the required decertification date of December 31, 2026. As permitted under special legislation, these pooled funds would then be transferred to the Affordable Housing Trust Fund (AHTF) to be used per the AHTF Policy. The remaining 65% of the increment would be returned to the county each year for redistribution to the city, county, and school district as general property taxes. Financial or budget considerations: Ehlers estimates there could be approximately $2.1 million in pooled tax increment from the 4900 Excelsior, West End and Park Commons TIF Districts that could be used for qualified affordable housing uses through 2026. Strategic priority consideration: St. Louis Park is committed to providing a broad range of housing and neighborhood oriented development. Supporting documents: Discussion and resolutions Prepared by: Greg Hunt, economic development manager Reviewed by: Karen Barton, community development director, EDA executive director Approved by: Cindy Walsh, deputy city manager Economic development authority meeting of November 20, 2023 (Item No. 4b) Page 2 Title: Administrative modifications to the tax increment financing plans for the 4900 Excelsior, West End, and Park Commons TIF Districts (Wards 2 & 4) Discussion Background: As stated in the 2023 Annual TIF District Management Review & Analysis, prepared by Ehlers and presented at the October 23, 2023 study session, the Minnesota TIF Act allows for the EDA/city to pool up to an additional 10% of tax increment from TIF districts above the standard allowable limit of 25% for rental housing purposes that meet low-income housing tax credit requirements. The projects need to be tax credit eligible, meaning that they are both rent and income restricted. Eligible uses include acquisition and site preparation, construction, rehabilitation and public improvements directly related to the rental housing, as long as these costs were not funded through tax credits. The funds can be spent anywhere within the city. Present considerations: The final payments on the 4900 Excelsior, West End and Park Commons TIF Notes (related to the 4900 Excelsior, West End and Park Commons redevelopments) are expected to be paid on February 1, 2024. Once these payments are made, these redevelopment TIF districts must either be decertified or their TIF districts plans modified. Proposed Administrative Modification to 4900 Excelsior, West End, and Park Commons TIF Plan Budget: As discussed at the October 23, 2023, study session, Ehlers recommends modifying the 4900 Excelsior, West End and Park Commons TIF Plan budgets to authorize an additional 10% of the district’s pooled tax increment be retained for affordable housing purposes (total of 35%). It is estimated there could be approximately $2.1 million in tax increment from these districts available for affordable housing through the district’s required decertification date of 2026. With the proposed TIF plan modifications, 35% of the tax increment from these districts will be retained annually starting in 2024 and transferred to the Affordable Housing Trust Fund pursuant to special legislation the city received from the state in 2021. The remaining 65% of the tax increment will be returned to the county each year for redistribution to the city, county and school district as general property taxes. Next steps: Following EDA/city council approval of the proposed TIF district plan modifications and final payments on the 4900 Excelsior, West End and Park Commons TIF Notes on February 1, 2024, 35% of the tax increment from the 4900 Excelsior, West End and Park Commons TIF Districts will be annually retained and transferred to the Affordable Housing Trust Fund annually through 2026 to be used for eligible affordable housing purposes. These modifications can be revisited by the EDA/city council annually until the required decertification date, should the EDA/city council wish to change the pooling. Economic development authority meeting of November 20, 2023 (Item No. 4b) Page 3 Title: Administrative modifications to the tax increment financing plans for the 4900 Excelsior, West End, and Park Commons TIF Districts (Wards 2 & 4) EDA Resolution No. 23 - ______ Approving a modification to the tax increment financing plan for the 4900 Excelsior Tax Increment Financing District Whereas, the City of St. Louis Park, Minnesota (the “city”) and the St. Louis Park Economic Development Authority (the “authority”) have established the 4900 Excelsior Tax Increment Financing District (the “TIF district”), a redevelopment district within Redevelopment Project No. 1 in the city, and the city and the authority have approved a tax increment financing plan (the “TIF plan”) for the TIF district pursuant to the provisions of Minnesota Statutes, Sections 469.174 through 469.1794, as amended (the “TIF act”); and Whereas, the TIF district is administered by the authority; and Whereas, pursuant to Section 469.1763, subdivision 2(d) of the TIF act, the authority may elect to increase by up to ten percent (10%) the permitted amounts of expenditures for activities located outside of the geographic area of the TIF district if such expenditures (a) are used exclusively to assist housing that meets the requirement for a qualified low-income building, as that term is used in Section 42 of the Internal Revenue Code of 1986, as amended (the “code”); (b) do not exceed the qualified basis of the housing, as defined under Section 42(c) of the code, less the amount of any credit allowed under Section 42 of the code; and (c) are used to (i) acquire and prepare the site of the housing; (ii) acquire, construct, or rehabilitate the housing; or (iii) make public improvements directly related to the housing; and Whereas, pursuant to Laws of Minnesota 2021, First Special Session, Chapter 14, Article 9, Section 5 (the “special law”), in particular subdivision 1(c), the city and the authority are authorized to transfer tax increment accumulated for housing and development purposes under Section 469.1763, subdivision 2(b) or (d) of the TIF act, to the Affordable Housing Trust Fund (the “trust fund”) established by the city; and Whereas, the city and the authority have determined to amend the Budget (the “budget”) set forth in the TIF plan to use up to 10% of the tax increment from the TIF district, less any amount utilized for administrative expenses, and transfer such amount to the trust fund for housing development purposes authorized by the special law; and Whereas, pursuant to Section 469.175, subdivision 4(b) of the TIF act, a tax increment financing plan may be modified without public hearing or the findings required to be made for the original tax increment financing plan if the modification does not include (a) any reduction or enlargement of the geographic area of the project or tax increment financing district; (b) an increase in the amount of bonded indebtedness to be incurred; (c) a determination to capitalize interest on debt if that determination was not a part of the original plan; (d) an increase in the portion of the captured net tax capacity to be retained by the authority; (e) an increase in the estimated cost of the project, including administrative expenses, to be paid or financed with tax increment from the district; or (f) the designation of additional property to be acquired by the authority; and Economic development authority meeting of November 20, 2023 (Item No. 4b) Page 4 Title: Administrative modifications to the tax increment financing plans for the 4900 Excelsior, West End, and Park Commons TIF Districts (Wards 2 & 4) Whereas, there has been presented before the board of commissioners of the authority (the “board”) a proposed form of amendment to the TIF plan (the “amendment”), which proposed amendment to the budget in the TIF plan does not increase the total estimated tax increment expenditures, amount of bonded indebtedness, or capitalized interest and does not make any other changes that require a new public hearing pursuant to Section 469.175, subdivision 4 of the TIF act; and Whereas, the proposed amendment is set forth in Exhibit A attached hereto; and Whereas, the on the date hereof, the city council of the city will consider the proposed amendment to the TIF plan; and Now therefore be it resolved by the board of commissioners of the St. Louis Park Economic Development Authority as follows: 1. The budget shall be amended as set forth in the amendment to the TIF plan. 2. The amendment to the TIF plan is hereby approved, subject to the approval of the amendment by the city council. The board hereby transmits the amendment to the city council for consideration. 3. Upon approval of the amendment to the TIF plan by the city council, staff of the Authority are hereby authorized and directed to transmit a certified copy of this resolution to the Auditor/Treasurer of Hennepin County, Minnesota, the Commissioner of Revenue of the State of Minnesota, and the State Auditor, as required by Section 469.175, subdivision 4 of the TIF act. 4. Authority staff, the authority’s advisors, and legal counsel are authorized and directed to proceed with the implementation of the amendment to the TIF plan. Reviewed for administration: Adopted by the Economic Development Authority November 20, 2023 Karen Barton, executive director Nadia Mohamed, president Attest Melissa Kennedy, secretary Economic development authority meeting of November 20, 2023 (Item No. 4b) Page 5 Title: Administrative modifications to the tax increment financing plans for the 4900 Excelsior, West End, and Park Commons TIF Districts (Wards 2 & 4) Exhibit A Adoption Date: November 16, 2015 Modification #1 Approval Date: November 20, 2023 City of St. Louis Park St. Louis Park Economic Development Authority Hennepin County, Minnesota MODIFICATION to the Tax Increment Financing (TIF) Plan 4900 Excelsior Tax Increment Financing District (a redevelopment district) Located in Redevelopment Development Project No. 1 by: Ehlers 3060 Centre Pointe Drive Roseville, Minnesota 55113 BUILDING COMMUNITIES. IT’S WHAT WE DO. Prepared Economic development authority meeting of November 20, 2023 (Item No. 4b) Page 6 Title: Administrative modifications to the tax increment financing plans for the 4900 Excelsior, West End, and Park Commons TIF Districts (Wards 2 & 4) Economic development authority meeting of November 20, 2023 (Item No. 4b) Page 7 Title: Administrative modifications to the tax increment financing plans for the 4900 Excelsior, West End, and Park Commons TIF Districts (Wards 2 & 4) Modification to the Tax Increment Financing Plan for 4900 Excelsior Tax Increment Financing District FOREWORD The St. Louis Park Economic Development Authority (the ”EDA”), City of St. Louis Park, Minnesota (the "City"), staff and consultants have prepared the following information to expedite the Modification of the 4900 Excelsior Tax Increment Financing District (the "District"), a redevelopment district, located in Redevelopment Project No. 1. STATEMENT OF OBJECTIVES As modified November 20, 2023 The TIF Plan is being modified to amend the budget and to make an election to authorize certain expenditures for affordable housing pursuant to Section 469.1763, Subdivision 2(d) of the TIF Act. USES OF FUNDS As modified November 20, 2023 The budget is being modified to allow up to 35% in expenditures for affordable housing pursuant to Section 469.1763, Subdivision 2(d) of the TIF Act. SOURCES Tax Increment 21,611,861 21,611,861 Interest 2,161,139 2,161,139 TOTAL 23,773,000 23,773,000 USES Land/Building Acquisition 3,000,000 275,000 Site Improvements/Preparation 2,000,000 2,000,000 Construction of Affordable Housing - 7,564,151 Utilties 1,000,000 1,000,000 Other Public Improvements 6,508,567 1,669,416 Administrative Costs (up to 10%) 2,161,096 2,161,096 PROJECT COSTS TOTAL 14,669,663 14,669,663 Interest 9,103,337 9,103,337 PROJECT AND INTEREST COSTS TOTAL 23,773,000 23,773,000 St. Louis Park Economic Development Authority 4900 Excelsior TIF District Amendment No. 1 November 2023 Economic development authority meeting of November 20, 2023 (Item No. 4b) Page 8 Title: Administrative modifications to the tax increment financing plans for the 4900 Excelsior, West End, and Park Commons TIF Districts (Wards 2 & 4) EDA Resolution No. 23 - _____ Approving a modification to the tax increment financing plan for the West End Tax Increment Financing District Whereas, the City of St. Louis Park, Minnesota (the “city”) and the St. Louis Park Economic Development Authority (the “authority”) have established the West End Tax Increment Financing District (the “TIF district”), a redevelopment district within Redevelopment Project No. 1 in the city, and the city and the authority have approved a tax increment financing plan (the “TIF plan”) for the TIF district pursuant to the provisions of Minnesota Statutes, Sections 469.174 through 469.1794, as amended (the “TIF act”); and Whereas, the TIF district is administered by the authority; and Whereas, pursuant to Section 469.1763, subdivision 2(d) of the TIF act, the authority may elect to increase by up to ten percent (10%) the permitted amounts of expenditures for activities located outside of the geographic area of the TIF district if such expenditures (a) are used exclusively to assist housing that meets the requirement for a qualified low-income building, as that term is used in Section 42 of the Internal Revenue Code of 1986, as amended (the “code”); (b) do not exceed the qualified basis of the housing, as defined under Section 42(c) of the code, less the amount of any credit allowed under Section 42 of the code; and (c) are used to (i) acquire and prepare the site of the housing; (ii) acquire, construct, or rehabilitate the housing; or (iii) make public improvements directly related to the housing; and Whereas, pursuant to Laws of Minnesota 2021, First Special Session, Chapter 14, Article 9, Section 5 (the “special law”), in particular subdivision 1(c), the city and the authority are authorized to transfer tax increment accumulated for housing and development purposes under Section 469.1763, subdivision 2(b) or (d) of the TIF act, to the Affordable Housing Trust Fund (the “trust fund”) established by the city; and Whereas, the city and the authority have determined to amend the Budget (the “budget”) set forth in the TIF plan to use up to 10% of the tax increment from the TIF district, less any amount utilized for administrative expenses, and transfer such amount to the trust fund for housing development purposes authorized by the special law; and Whereas, pursuant to Section 469.175, subdivision 4(b) of the TIF act, a tax increment financing plan may be modified without public hearing or the findings required to be made for the original tax increment financing plan if the modification does not include (a) any reduction or enlargement of the geographic area of the project or tax increment financing district; (b) an increase in the amount of bonded indebtedness to be incurred; (c) a determination to capitalize interest on debt if that determination was not a part of the original plan; (d) an increase in the portion of the captured net tax capacity to be retained by the authority; (e) an increase in the estimated cost of the project, including administrative expenses, to be paid or financed with tax increment from the district; or (f) the designation of additional property to be acquired by the authority; and Economic development authority meeting of November 20, 2023 (Item No. 4b) Page 9 Title: Administrative modifications to the tax increment financing plans for the 4900 Excelsior, West End, and Park Commons TIF Districts (Wards 2 & 4) Whereas, there has been presented before the board of commissioners of the authority (the “board”) a proposed form of amendment to the TIF plan (the “amendment”), which proposed amendment to the budget in the TIF plan does not increase the total estimated tax increment expenditures, amount of bonded indebtedness, or capitalized interest and does not make any other changes that require a new public hearing pursuant to Section 469.175, subdivision 4 of the TIF act; and Whereas, the proposed amendment is set forth in Exhibit A attached hereto; and Whereas, the on the date hereof, the city council of the city will consider the proposed amendment to the TIF plan; and Now therefore be it resolved by the board of commissioners of the St. Louis Park Economic Development Authority as follows: 1. The budget shall be amended as set forth in the amendment to the TIF plan. 2. The amendment to the TIF plan is hereby approved, subject to the approval of the amendment by the city council. The board hereby transmits the amendment to the city council for consideration. 3. Upon approval of the amendment to the TIF plan by the city council, staff of the Authority are hereby authorized and directed to transmit a certified copy of this resolution to the Auditor/Treasurer of Hennepin County, Minnesota, the Commissioner of Revenue of the State of Minnesota, and the State Auditor, as required by Section 469.175, subdivision 4 of the TIF act. 4. Authority staff, the authority’s advisors, and legal counsel are authorized and directed to proceed with the implementation of the amendment to the TIF plan. Reviewed for administration: Adopted by the Economic Development Authority November 20, 2023 Karen Barton, executive director Nadia Mohamed, president Attest Melissa Kennedy, secretary Economic development authority meeting of November 20, 2023 (Item No. 4b) Page 10 Title: Administrative modifications to the tax increment financing plans for the 4900 Excelsior, West End, and Park Commons TIF Districts (Wards 2 & 4) Exhibit A Economic development authority meeting of November 20, 2023 (Item No. 4b) Page 11 Title: Administrative modifications to the tax increment financing plans for the 4900 Excelsior, West End, and Park Commons TIF Districts (Wards 2 & 4) Economic development authority meeting of November 20, 2023 (Item No. 4b) Page 12 Title: Administrative modifications to the tax increment financing plans for the 4900 Excelsior, West End, and Park Commons TIF Districts (Wards 2 & 4) Economic development authority meeting of November 20, 2023 (Item No. 4b) Page 13 Title: Administrative modifications to the tax increment financing plans for the 4900 Excelsior, West End, and Park Commons TIF Districts (Wards 2 & 4) EDA Resolution No. 23 - ____ Approving a modification to the tax increment financing plan for the Park Commons Tax Increment Financing District Whereas, the City of St. Louis Park, Minnesota (the “city”) and the St. Louis Park Economic Development Authority (the “authority”) have established the Park Commons Tax Increment Financing District (the “TIF district”), a redevelopment district within Redevelopment Project No. 1 in the city, and the city and the authority have approved a tax increment financing plan (the “TIF plan”) for the TIF district pursuant to the provisions of Minnesota Statutes, Sections 469.174 through 469.1794, as amended (the “TIF act”); and Whereas, the TIF district is administered by the authority; and Whereas, pursuant to Section 469.1763, subdivision 2(d) of the TIF act, the authority may elect to increase by up to ten percent (10%) the permitted amounts of expenditures for activities located outside of the geographic area of the TIF district if such expenditures (a) are used exclusively to assist housing that meets the requirement for a qualified low-income building, as that term is used in Section 42 of the Internal Revenue Code of 1986, as amended (the “code”); (b) do not exceed the qualified basis of the housing, as defined under Section 42(c) of the code, less the amount of any credit allowed under Section 42 of the code; and (c) are used to (i) acquire and prepare the site of the housing; (ii) acquire, construct, or rehabilitate the housing; or (iii) make public improvements directly related to the housing; and Whereas, pursuant to Laws of Minnesota 2021, First Special Session, Chapter 14, Article 9, Section 5 (the “special law”), in particular subdivision 1(c), the city and the authority are authorized to transfer tax increment accumulated for housing and development purposes under Section 469.1763, subdivision 2(b) or (d) of the TIF act, to the Affordable Housing Trust Fund (the “trust fund”) established by the city; and Whereas, the city and the authority have determined to amend the Budget (the “budget”) set forth in the TIF plan to use up to 10% of the tax increment from the TIF district, less any amount utilized for administrative expenses, and transfer such amount to the trust fund for housing development purposes authorized by the special law; and Whereas, pursuant to Section 469.175, subdivision 4(b) of the TIF act, a tax increment financing plan may be modified without public hearing or the findings required to be made for the original tax increment financing plan if the modification does not include (a) any reduction or enlargement of the geographic area of the project or tax increment financing district; (b) an increase in the amount of bonded indebtedness to be incurred; (c) a determination to capitalize interest on debt if that determination was not a part of the original plan; (d) an increase in the portion of the captured net tax capacity to be retained by the authority; (e) an increase in the estimated cost of the project, including administrative expenses, to be paid or financed with tax increment from the district; or (f) the designation of additional property to be acquired by the authority; and Economic development authority meeting of November 20, 2023 (Item No. 4b) Page 14 Title: Administrative modifications to the tax increment financing plans for the 4900 Excelsior, West End, and Park Commons TIF Districts (Wards 2 & 4) Whereas, there has been presented before the board of commissioners of the authority (the “board”) a proposed form of amendment to the TIF plan (the “amendment”), which proposed amendment to the budget in the TIF plan does not increase the total estimated tax increment expenditures, amount of bonded indebtedness, or capitalized interest and does not make any other changes that require a new public hearing pursuant to Section 469.175, subdivision 4 of the TIF act; and Whereas, the proposed amendment is set forth in Exhibit A attached hereto; and Whereas, the on the date hereof, the city council of the city will consider the proposed amendment to the TIF plan; and Now therefore be it resolved by the board of commissioners of the St. Louis Park Economic Development Authority as follows: 1. The budget shall be amended as set forth in the amendment to the TIF plan. 2. The amendment to the TIF plan is hereby approved, subject to the approval of the amendment by the city council. The board hereby transmits the amendment to the city council for consideration. 3. Upon approval of the amendment to the TIF plan by the city council, staff of the Authority are hereby authorized and directed to transmit a certified copy of this resolution to the Auditor/Treasurer of Hennepin County, Minnesota, the Commissioner of Revenue of the State of Minnesota, and the State Auditor, as required by Section 469.175, subdivision 4 of the TIF act. 4. Authority staff, the authority’s advisors, and legal counsel are authorized and directed to proceed with the implementation of the amendment to the TIF plan. Reviewed for administration: Adopted by the Economic Development Authority November 20, 2023 Karen Barton, executive director Nadia Mohamed, president Attest Melissa Kennedy, secretary Economic development authority meeting of November 20, 2023 (Item No. 4b) Page 15 Title: Administrative modifications to the tax increment financing plans for the 4900 Excelsior, West End, and Park Commons TIF Districts (Wards 2 & 4) Exhibit A Adoption Date: January 16, 2001 Modification #1 Approval Date: November 20, 2023 City of St. Louis Park St. Louis Park Economic Development Authority Hennepin County, Minnesota MODIFICATION to the Tax Increment Financing (TIF) Plan Park Commons Tax Increment Financing District (a redevelopment district) Located in Redevelopment Development Project No. 1 Prepared by: Ehlers 3060 Centre Pointe Drive Roseville, Minnesota 55113 BUILDING COMMUNITIES. IT’S WHAT WE DO. Economic development authority meeting of November 20, 2023 (Item No. 4b) Page 16 Title: Administrative modifications to the tax increment financing plans for the 4900 Excelsior, West End, and Park Commons TIF Districts (Wards 2 & 4) TABLE OF CONTENTS Modification to the Tax Increment Financing Plan for Park Commons 1 Tax Increment Financing District 1 FOREWORD 1 STATEMENT OF OBJECTIVES 1 USES OF FUNDS 1 Economic development authority meeting of November 20, 2023 (Item No. 4b) Page 17 Title: Administrative modifications to the tax increment financing plans for the 4900 Excelsior, West End, and Park Commons TIF Districts (Wards 2 & 4) Modification to the Tax Increment Financing Plan for Park Commons Tax Increment Financing District FOREWORD The St. Louis Park Economic Development Authority (the ”EDA”), City of St. Louis Park, Minnesota (the "City"), staff and consultants have prepared the following information to expedite the Modification of the Park Commons Tax Increment Financing District (the "District"), a redevelopment district, located in Redevelopment Project No. 1. STATEMENT OF OBJECTIVES As modified November 20, 2023 The TIF Plan is being modified to amend the budget and to make an election to authorize certain expenditures for affordable housing pursuant to Section 469.1763, Subdivision 2(d) of the TIF Act. USES OF FUNDS As modified November 20, 2023 The budget is being modified to allow up to 35% in expenditures for affordable housing pursuant to Section 469.1763, Subdivision 2(d) of the TIF Act. SOURCES Tax Increment 75,000,000 75,000,000 Sale/Lease Proceeds 3,250,000 3,250,000 Interest 250,000 250,000 TOTAL 78,500,000 78,500,000 USES Land/Building Acquisition 15,000,000 5,000,000 Site Improvements/Preparation 5,000,000 5,000,000 Construction of Affordable Housing - 26,250,000 Utilties 2,000,000 2,000,000 Other Public Improvements 27,750,000 11,500,000 Administrative Costs (up to 10%) 7,500,000 7,500,000 PROJECT COSTS TOTAL 57,250,000 57,250,000 Interest 45,000,000 21,250,000 PROJECT AND INTEREST COSTS TOTAL 102,250,000 78,500,000 St. Louis Park Economic Development Authority Park Commons TIF District Original January 16, 2001 Amendment No. 1 November 2023 Meeting: Economic development authority Meeting date: November 20, 2023 Consent agenda item: 4c Executive summary Title: Transference of pooled tax increment from specified TIF districts to the city’s Affordable Housing Trust Fund (AHTF) Recommended action: Motion to adopt Resolution authorizing transfers of tax increment from the Wolfe Lake, Mill City, Zarthan, Ellipse, Eliot Park and The Shoreham TIF Districts to the city’s Affordable Housing Trust Fund (AHTF). Policy consideration: Does the EDA support the continued pooling of an additional 10% of the tax increment from the Wolfe Lake, Mill City, Zarthan, Ellipse, Eliot Park and The Shoreham TIF Districts and transferring funds from these TIF districts to the AHTF? Summary: During the 2021 legislative session, the state approved special legislation authorizing the city of St. Louis Park to transfer tax increment accumulated for housing purposes from its housing TIF districts and 35% from its redevelopment TIF districts to the city’s Affordable Housing Trust Fund (AHTF). The EDA/council previously elected to retain an additional 10% of the tax increment in six (6) of its redevelopment TIF districts (Wolfe Lake, Mill City, Zarthan, Ellipse, Eliot Park and The Shoreham) for qualified affordable housing uses. This allowed the city to retain a total of 35% of the tax increment from these districts for affordable housing and is providing a crucial funding source to assist the city meet its affordable housing goals. Per the recommendations in the 2023 Annual TIF District Management Review & Analysis prepared by Ehlers and presented at the October 23, 2023 study session, and resulting EDA direction, it is recommended that transfers of tax increment from the Wolfe Lake, Mill City, Zarthan, Ellipse, Eliot Park and The Shoreham TIF Districts to the AHTF fund be authorized. This means that the EDA would continue to allow up to 35% of the tax increments from the Wolfe Lake, Mill City, Zarthan, Ellipse, Eliot Park and The Shoreham TIF Districts to be annually retained and dedicated to the city’s AHTF for qualified affordable housing uses through the required decertification date of December 31, 2026. By separate resolution, the authority will authorize amendments to the Ellipse, Eliot Park and The Shoreham to allow additional pooling for affordable housing that will also be transferred to the AHTF for qualified affordable housing uses through the required decertification date of December 31, 2026. As permitted under the special legislation, these pooled funds would continue to be transferred to the Affordable Housing Trust Fund (AHTF) to be used per the AHTF Policy. Financial or budget considerations: Ehlers estimates there could be approximately $12.2 million in pooled tax increment from the Wolfe Lake, Mill City, Zarthan, Ellipse, Eliot Park and The Shoreham TIF Districts that could continue to be used for qualified affordable housing uses through 2026. Strategic priority consideration: St. Louis Park is committed to providing a broad range of housing and neighborhood oriented development. Supporting documents: Discussion & Resolution Prepared by: Greg Hunt, economic development manager Reviewed by: Karen Barton, community development director, EDA executive director Approved by: Cindy Walsh, deputy city manager Economic development authority meeting of November 20, 2023 (Item No. 4c) Page 2 Title: Transference of pooled tax increment from specified TIF districts to the city’s Affordable Housing Trust Fund (AHTF) Discussion Background: During the 2021 legislative session, the State approved special legislation authorizing the city of St. Louis Park to transfer tax increment accumulated for housing purposes from its housing TIF districts and 35% from its redevelopment TIF districts to the city’s Affordable Housing Trust Fund (AHTF). The Special Legislation allows the EDA/city to provide grants, loans, and loan guarantees for the development, rehabilitation, or financing of housing; or match other funds from federal, state, or private resource for housing projects. Housing projects are not defined in the Special Legislation, but it is the intent of the EDA/council to use it for rental and for-sale housing projects in accordance with its AHTF guidelines. Present considerations: The EDA/council previously elected to retain an additional 10% of the tax increment in six (6) of its redevelopment TIF districts (Wolfe Lake, Mill City, Zarthan, Ellipse, Eliot Park and The Shoreham) for qualified affordable housing uses. This allowed the city to retain a total of 35% of the tax increment from these districts for affordable housing and is providing a crucial funding source to assist the city meet its affordable housing goals. To date, the EDA/council has utilized over $3.9 million in pooled TIF to facilitate the creation of 385 affordable units. Authorization to transfer pooled tax increment from the Wolfe Lake, Mill City, Zarthan, Ellipse, Eliot Park and The Shoreham TIF Districts for affordable housing purposes: Per the 2023 Annual TIF District Management Review & Analysis prepared by Ehlers and presented at the October 23, 2023 study session, and resulting EDA direction, transfers of tax increment from the Wolfe Lake, Mill City, Ellipse, Eliot Park, The Shoreham and Zarthan TIF Districts to the AHTF fund continue to be authorized. This means that the EDA/council would continue to allow up to 35% of the tax increments from the Wolfe Lake, Mill City, Zarthan, Ellipse, Eliot Park and Economic development authority meeting of November 20, 2023 (Item No. 4c) Page 3 Title: Transference of pooled tax increment from specified TIF districts to the city’s Affordable Housing Trust Fund (AHTF) The Shoreham TIF Districts be annually retained and dedicated to the city’s AHTF for qualified affordable housing uses through the required decertification date of December 31, 2026. By separate resolution, the EDA/council will authorize amendments to the Ellipse, Eliot Park and The Shoreham to allow additional pooling for affordable housing that will also be transferred to the AHTF for qualified affordable housing uses through the required decertification date of December 31, 2026. As permitted under the special legislation, these pooled funds would continue to be transferred to the Affordable Housing Trust Fund (AHTF) to be used per the AHTF Policy. The remaining 65% of the increment would be returned to the county each year for redistribution to the city, county, and school district as general property taxes. Next steps: Following EDA/city council approval of the proposed transfers to the AHTF fund, 35% of the tax increment from the Wolfe Lake, Mill City, Zarthan, Ellipse, Eliot Park and The Shoreham TIF Districts will be annually retained and transferred to the AHTF through 2026 to be used for eligible affordable housing purposes. These approvals can be revisited by the EDA/council annually until the required decertification date, should the EDA/council wish to change its pooling election. Economic development authority meeting of November 20, 2023 (Item No. 4c) Page 4 Title: Transference of pooled tax increment from specified TIF districts to the city’s Affordable Housing Trust Fund (AHTF) EDA Resolution No. 23 - _____ Authorizing transfers of pooled tax increment from tax increment financing districts in the City of St. Louis Park for affordable housing purposes Whereas, the legislature of the State of Minnesota passed a special law authorizing the City of St. Louis Park, Minnesota (the “city”) or the St. Louis Park Economic Development Authority (the “authority”) to transfer tax increment accumulated for housing development purposes under Minnesota Statutes, Section 469.1763, subdivision 2(b) or (d), to the housing trust fund established by the city, all as provided in Laws of Minnesota 2021, First Special Session, Chapter 14, Article 9, Section 5 (the “special law”), in particular subdivision 1(c) thereof; and Whereas, the city has created its Affordable Housing Trust Fund (the “trust fund”); and Whereas, pursuant to the special law, the authority to make such transfers shall expire on December 31, 2026; and Whereas, the authority has transferred or proposes to transfer pooled tax increment from the following tax increment financing districts with Redevelopment District No. 1 in the city to the city for purposes of funding the city’s trust fund: (a) the Wolfe Lake Commercial Tax Increment Financing District; (b) the Zarthan and 16th Street Tax Increment Financing District; (c) the Mill City Tax Increment Financing District; (d) the Park Commons Tax Increment Financing District; (e) the Aquila Commons Tax Increment Financing District; (f) the Park Center Boulevard Housing Tax Increment Financing District; (g) the Ellipse on Excelsior Tax increment Financing District; (h) the Eliot Park Tax Increment Financing District; (i) the Shoreham Tax Increment Financing District; (j) the 4900 Excelsior Tax Increment Financing District; and (k) the West End Tax Increment Financing District (collectively, the “tif districts”); and Whereas, pooled tax increment transferred to the trust fund may be returned to the appropriate authority tax increment fund if the funds are not spent on or before December 31, 2026; and Now therefore be it resolved by the board of commissioners of the St. Louis Park Economic Development Authority as follows: 1. The authority hereby approves the transfer of pooled tax increment from the TIF districts listed above to fund the trust fund. The authority hereby authorizes, ratifies and reaffirms all past transfers of tax increment from the TIF districts that were made to fund the trust fund. Economic development authority meeting of November 20, 2023 (Item No. 4c) Page 5 Title: Transference of pooled tax increment from specified TIF districts to the city’s Affordable Housing Trust Fund (AHTF) 2. The authority hereby delegates to the city’s finance director the authority to transfer funds from the TIF districts each year to the trust fund in the amounts determined at the finance director’s discretion in consultation with the city’s municipal advisor. Such transfers shall be made to the extent pooled tax increment is available for such purposes under Minnesota Statutes, Section 469.174 through 469.1794 and the Special Law and is authorized by the tax increment financing plans approved for the TIF districts. 3. The tax increment transferred to the trust fund must be accounted for separately and may be used only for the following purposes: making grants, loans, and loan guarantees for development, or financing of housing or providing matches for other federal, state, or private resources for housing projects. 4. This resolution is effective upon approval. Reviewed for administration: Adopted by the Economic Development Authority November 20, 2023 Karen Barton, executive director Nadia Mohamed, president Attest Melissa Kennedy, secretary Meeting: City council Meeting date: November 20, 2023 Minutes: 4a Unofficial minutes City council meeting St. Louis Park, Minnesota Nov. 6, 2023 1. Call to order. Mayor Spano called the meeting to order at 6:30 p.m. a. Pledge of allegiance b. Roll call Council members present: Mayor Jake Spano, Tim Brausen, Sue Budd, Lynette Dumalag, Yolanda Farris, Nadia Mohamed Council members absent: Margaret Rog Staff present: City manager (Ms. Keller), city attorney (Mr. Mattick), deputy city clerk (Ms. Scott-Lerdal Guests: Sue Zelickson and friends and family; Representatives from Perspectives Inc; members of the public. 2. Approve agenda. It was moved by Council Member Budd, seconded by Council Member Mohamed, to approve the agenda as presented. The motion passed 6-0 (Council Member Rog absent). 3. Presentations. a. Proclamation honoring the contributions of Sue Zelickson to the St. Louis Park community Council Member Farris read the proclamation. Council Member Farris said that she has known Ms. Zelickson for the last ten years and she loves her so much. Council Member Farris added the kids love Ms. Zelickson, she has the best hugs and laugh. Council Member Farris thanked Sue for all that she does. Council Member Budd noted that as the Council Member for Ward 3, she has visited the Kids Café a few times and always received a warm reception. She described the Kids Café as a wonderful program, and she thanked all who attended tonight to honor Ms. Zelickson. City council meeting of November 20, 2023 (Item No. 4a) Page 2 Title: City council meeting minutes of Nov. 6, 2023 Mayor Spano stated Ms. Zelickson is partially responsible for his decision to run for mayor. He recalled a dinner event at the Kid’s Café a few years ago and how it was that event that sparked his deeper interest in city government. He thanked Ms. Zelickson for creating the space at Perspectives and helping the kids develop confidence and strength. Sharon Guffan, St. Louis Park resident, stated she has known Ms. Zelickson for many years. Ms. Guffan described how alongside a successful career, Ms. Zelickson is also a mother and wife. Ms. Zelickson was a trailblazer – at one time, the only woman on WCCO radio - and her outstanding work at Perspectives was done for the benefit of the children. Ms. Guffan thanked the mayor and city council for the proclamation, noting it is well-deserved. Ms. Zelickson stated it was a pleasant shock when she received the proclamation from the city and a further surprise that staff and participants from Perspectives were planning to be in attendance. She noted her first home was in St. Louis Park on Quentin Avenue, before moving to Golden Valley. She described the proclamation as a true honor, adding that her time with Kids Café was a wonderful experience. The head chef at Perspectives Kids Café said she has known Ms. Zelickson for 20 years and started her path to culinary success as one of the kids at the café. She added Ms. Zelickson is an inspiration, her legacy will live on, and she loves her so much. b. Proclamation declaring November 25, 2023 as “Small Business Saturday” Mayor Spano read the proclamation. 4. Minutes. a. Minutes of Oct. 9, 2023 city council study session b. Minutes of Oct 23, 2023 city council study session Council Member Dumalag requested a revision to page 9, paragraph 1, to state: “Councilmember Dumalag stated she was in favor of the bridge at the time the council discussed it at a study session. She added it has already been decided and she is not in favor of discussing it again. The work is already started and will be completed at the end of October.” It was moved by Council Member Brausen, seconded by Council Member Mohamed, to approve the Oct. 9, 2023, city council study session minutes as amended, and the Oct. 23, 2023 city council study session minutes as presented. The motion passed 6-0 (Council Member Rog absent). 4. Consent items. a. Approve city disbursements b. Approve bid for multifunction printer equipment lease c. Resolution No. 23- 139 accepting work and authorizing final payment for Dakota- Edgewood Trail Bridge project (4019-2000), Ward 1, 4 City council meeting of November 20, 2023 (Item No. 4a) Page 3 Title: City council meeting minutes of Nov. 6, 2023 d. Resolution No. 23-140 removing permit parking restrictions at 2720 Utica Avenue (traffic study #779) – Ward 1 e. Resolution No. 23-141 accepting donations to the parks and recreation department f. Approve second reading and adopt interim Ordinance No. 2673-23 for moratorium related to commercial cannabis activities g. Resolution No. 23-142 authorizing special assessment for sewer service line repair at 2201 Louisiana Avenue South Mayor Spano noted the incorrect set of city disbursements was attached to the packet for today’s meeting and the correct packet has now been replaced and is at the dais for the public to view, as well as updated copies for each of the council members. It was moved by Council Member Mohamed, seconded by Council Member Brausen, to approve the consent items as listed; and to waive reading of all resolutions and ordinances. The motion passed 6-0 (Council Member Rog absent). 6. Public hearings – none. 7. Regular business – none. 8. Communications and announcements. Mayor Spano stated there is one more day left for early voting in the Municipal General Election and please make sure to vote on Tuesday if you have not already done so. Ms. Keller added polling locations are open from 7 a.m. to 8 p.m. and election information is noted on the city website. She asked everyone to thank the election workers who work many hours and are our friends and neighbors. 9. Adjournment. The meeting adjourned at 6:49 p.m. ______________________________________ ______________________________________ Melissa Kennedy, city clerk Jake Spano, mayor Meeting: City council Meeting date: November 20, 2023 Minutes: 4b Unofficial minutes City council special study session St. Louis Park, Minnesota Nov. 6, 2023 Council members present: Mayor Jake Spano, Tim Brausen, Sue Budd, Yolanda Farris, Lynette Dumalag, and Nadia Mohamed Council members absent: Margaret Rog Staff present: City manager (Ms. Keller), deputy city clerk (Ms. Scott-Lerdal) Guests: none Discussion items – none. Written Reports. 1. Three Rivers Park District CP rail regional trail – St. Louis Park: route recommendation One written report was submitted for council review, there was no discussion. ______________________________________ ______________________________________ Melissa Kennedy, city clerk Jake Spano, mayor Meeting: City council Meeting date: November 20, 2023 Consent agenda item: 5a Executive summary Title: Administrative modifications to the tax increment financing plans for the 4900 Excelsior, West End and Park Commons TIF Districts (Wards 2 & 4) Recommended action: Motion to adopt Resolution approving modifications to the tax increment financing plans for the 4900 Excelsior, West End and Park Commons TIF Districts to allow for additional pooling for qualified affordable housing uses. Policy consideration: Does the city council support pooling an additional 10% of the tax increment from the 4900 Excelsior, West End and Park Commons TIF Districts to use for qualified affordable housing purposes? Summary: The Minnesota TIF Act allows for the EDA/city to pool up to an additional 10% of tax increment from TIF districts above the standard allowable limit for rental housing that meets low-income housing tax credit requirements. Funded projects need to be tax credit eligible, meaning that they are both rent and income restricted. Eligible uses include acquisition and site preparation, construction, rehabilitation, and public improvements directly related to the rental housing, provided these costs were not funded through tax credits. The funds can be spent anywhere within the city. The final payments on the 4900 Excelsior, West End and Park Commons TIF Notes (related to the 4900 Excelsior, West End and Park Commons redevelopments) are expected to be paid on February 1, 2024. Once these payments are made, these redevelopment TIF districts must either be decertified or their TIF districts plans modified. Per the recommendations in the 2023 Annual TIF District Management Review & Analysis prepared by Ehlers and presented at the October 23, 2023 study session, and resulting EDA direction, it is recommended that the TIF plans for the 4900 Excelsior, West End and Park Commons TIF Districts be modified to allow up to 35% of its tax increment be retained annually for qualified affordable housing uses through the required decertification date of December 31, 2026. As permitted under special legislation, these pooled funds would then be transferred to the Affordable Housing Trust Fund (AHTF) to be used per the AHTF Policy. The remaining 65% of the increment would be returned to the county each year for redistribution to the city, county, and school district as general property taxes. Financial or budget considerations: Ehlers estimates there could be approximately $2.1 million in pooled tax increment from the 4900 Excelsior, West End and Park Commons TIF Districts that could be used for qualified affordable housing uses through 2026. Strategic priority consideration: St. Louis Park is committed to providing a broad range of housing and neighborhood oriented development. Supporting documents: Discussion, Resolutions, and Modifications to TIF Plans for the 4900 Excelsior, West End and Park Commons TIF Districts (see related EDA staff report, Exhibit A) Prepared by: Greg Hunt, economic development manager Reviewed by: Karen Barton, community development director, EDA executive director Approved by: Cindy Walsh, deputy city manager City council meeting of November 20, 2023 (Item No. 5a) Page 2 Title: Administrative modifications to the tax increment financing plans for the 4900 Excelsior, West End and Park Commons TIF Districts (Wards 2 & 4) Discussion Background: As stated in the 2023 Annual TIF District Management Review & Analysis, prepared by Ehlers and presented at the October 23, 2023 study session, the Minnesota TIF Act allows for the EDA/city to pool up to an additional 10% of tax increment from TIF districts above the standard allowable limit of 25% for rental housing purposes that meet low-income housing tax credit requirements. The projects need to be tax credit eligible, meaning that they are both rent and income restricted. Eligible uses include acquisition and site preparation, construction, rehabilitation and public improvements directly related to the rental housing, as long as these costs were not funded through tax credits. The funds can be spent anywhere within the city. Present considerations: The final payments on the 4900 Excelsior, West End and Park Commons TIF Notes (related to the 4900 Excelsior, West End and Park Commons redevelopments) are expected to be paid on February 1, 2024. Once these payments are made, these redevelopment TIF districts must either be decertified or their TIF districts plans modified. Proposed Administrative Modification to 4900 Excelsior, West End and Park Commons TIF Plan Budget: As discussed at the October 23, 2023, study session, Ehlers recommends modifying the 4900 Excelsior, West End and Park Commons TIF Plan budgets to authorize an additional 10% of the district’s pooled tax increment be retained for affordable housing purposes (total of 35%). It is estimated there could be approximately $2.1 million in tax increment from these districts available for affordable housing through the district’s required decertification date of 2026. With the proposed TIF plan modifications, 35% of the tax increment from these districts will be retained annually starting in 2024 and transferred to the Affordable Housing Trust Fund pursuant to special legislation the city received from the state in 2021. The remaining 65% of the tax increment will be returned to the county each year for redistribution to the city, county and school district as general property taxes. Next steps: Following EDA/city council approval of the proposed TIF district plan modifications and final payments on the 4900 Excelsior, West End and Park Commons TIF Notes on February 1, 2024, 35% of the tax increment from the 4900 Excelsior, West End and Park Commons TIF Districts will be annually retained and transferred to the Affordable Housing Trust Fund annually through 2026 to be used for eligible affordable housing purposes. These modifications can be revisited by the EDA/city council annually until the required decertification date, should the EDA/city council wish to change the pooling. City council meeting of November 20, 2023 (Item No. 5a) Page 3 Title: Administrative modifications to the tax increment financing plans for the 4900 Excelsior, West End and Park Commons TIF Districts (Wards 2 & 4) Resolution No. 23 - _____ Approving a modification to the tax increment financing plan for the 4900 Excelsior Tax Increment Financing District Whereas, the City of St. Louis Park, Minnesota (the “city”) and the St. Louis Park Economic Development Authority (the “authority”) have established the 4900 Excelsior Tax Increment Financing District (the “TIF district”), a redevelopment district within Redevelopment Project No. 1 in the city, and the city and the authority have approved a tax increment financing plan (the “TIF plan”) for the TIF district pursuant to the provisions of Minnesota Statutes, Sections 469.174 through 469.1794, as amended (the “TIF act”); and Whereas, the TIF district is administered by the authority; and Whereas, pursuant to Section 469.1763, subdivision 2(d) of the TIF act, the authority may elect to increase by up to ten percent (10%) the permitted amounts of expenditures for activities located outside of the geographic area of the TIF district if such expenditures (a) are used exclusively to assist housing that meets the requirement for a qualified low-income building, as that term is used in Section 42 of the Internal Revenue Code of 1986, as amended (the “code”); (b) do not exceed the qualified basis of the housing, as defined under Section 42(c) of the code, less the amount of any credit allowed under Section 42 of the code; and (c) are used to (i) acquire and prepare the site of the housing; (ii) acquire, construct, or rehabilitate the housing; or (iii) make public improvements directly related to the housing; and Whereas, pursuant to Laws of Minnesota 2021, First Special Session, Chapter 14, Article 9, Section 5 (the “special law”), in particular subdivision 1(c), the city and the authority are authorized to transfer tax increment accumulated for housing and development purposes under Section 469.1763, subdivision 2(b) or (d) of the TIF act, to the Affordable Housing Trust Fund (the “trust fund”) established by the city; and Whereas, the city and the authority have determined to amend the budget (the “budget”) set forth in the TIF plan to use up to 10% of the tax increment from the TIF district, less any amount utilized for administrative expenses, and transfer such amount to the trust fund for housing development purposes authorized by the special law; and Whereas, pursuant to Section 469.175, subdivision 4(b) of the TIF act, a tax increment financing plan may be modified without public hearing or the findings required to be made for the original tax increment financing plan if the modification does not include (a) any reduction or enlargement of the geographic area of the project or tax increment financing district; (b) an increase in the amount of bonded indebtedness to be incurred; (c) a determination to capitalize interest on debt if that determination was not a part of the original plan; (d) an increase in the portion of the captured net tax capacity to be retained by the authority; (e) an increase in the estimated cost of the project, including administrative expenses, to be paid or financed with tax increment from the district; or (f) the designation of additional property to be acquired by the authority; and City council meeting of November 20, 2023 (Item No. 5a) Page 4 Title: Administrative modifications to the tax increment financing plans for the 4900 Excelsior, West End and Park Commons TIF Districts (Wards 2 & 4) Whereas, there has been presented before the city council a proposed form of amendment to the TIF plan (the “amendment”), which proposed amendment to the budget in the TIF plan does not increase the total estimated tax increment expenditures, amount of bonded indebtedness, or capitalized interest and does not make any other changes that require a new public hearing pursuant to Section 469.175, subdivision 4 of the TIF act; and Whereas, the proposed amendment is set forth in Exhibit A attached hereto; and Whereas, on the date hereof, the board of commissioners of the authority approved the amendment to the TIF plan and transmitted the amendment to the city council for consideration; and Now therefore be it resolved by the city council of the City of St. Louis Park as follows: 1. The budget shall be amended as set forth in the amendment to the TIF plan, and such amendment is hereby approved. 2. Staff of the authority are hereby authorized and directed to transmit a certified copy of this resolution to the Auditor/Treasurer of Hennepin County, Minnesota, the Commissioner of Revenue of the State of Minnesota, and the State Auditor, as required by Section 469.175, subdivision 4 of the TIF act. 3. City staff, the city’s advisors, and legal counsel are authorized and directed to proceed with the implementation of the amendment to the TIF plan. Reviewed for administration: Adopted by the city council November 20, 2023 Kim Keller, city manager Jake Spano, mayor Attest: Melissa Kennedy, city clerk City council meeting of November 20, 2023 (Item No. 5a) Page 5 Title: Administrative modifications to the tax increment financing plans for the 4900 Excelsior, West End and Park Commons TIF Districts (Wards 2 & 4) Exhibit A Modification to TIF Plan for the 4900 Excelsior TIF District is located in EDA staff report City council meeting of November 20, 2023 (Item No. 5a) Page 6 Title: Administrative modifications to the tax increment financing plans for the 4900 Excelsior, West End and Park Commons TIF Districts (Wards 2 & 4) Resolution No. 23 - ______ Approving a modification to the tax increment financing plan for the West End Tax Increment Financing District Whereas, the City of St. Louis Park, Minnesota (the “city”) and the St. Louis Park Economic Development Authority (the “authority”) have established the West End Tax Increment Financing District (the “TIF district”), a redevelopment district within Redevelopment Project No. 1 in the city, and the city and the authority have approved a tax increment financing plan (the “TIF plan”) for the TIF district pursuant to the provisions of Minnesota Statutes, Sections 469.174 through 469.1794, as amended (the “TIF act”); and Whereas, the TIF district is administered by the authority; and Whereas, pursuant to Section 469.1763, subdivision 2(d) of the TIF act, the authority may elect to increase by up to ten percent (10%) the permitted amounts of expenditures for activities located outside of the geographic area of the TIF district if such expenditures (a) are used exclusively to assist housing that meets the requirement for a qualified low-income building, as that term is used in Section 42 of the Internal Revenue Code of 1986, as amended (the “code”); (b) do not exceed the qualified basis of the housing, as defined under Section 42(c) of the code, less the amount of any credit allowed under Section 42 of the code; and (c) are used to (i) acquire and prepare the site of the housing; (ii) acquire, construct, or rehabilitate the housing; or (iii) make public improvements directly related to the housing; and Whereas, pursuant to Laws of Minnesota 2021, First Special Session, Chapter 14, Article 9, Section 5 (the “special law”), in particular subdivision 1(c), the city and the authority are authorized to transfer tax increment accumulated for housing and development purposes under Section 469.1763, subdivision 2(b) or (d) of the TIF act, to the Affordable Housing Trust Fund (the “trust fund”) established by the city; and Whereas, the city and the authority have determined to amend the budget (the “budget”) set forth in the TIF plan to use up to 10% of the tax increment from the TIF district, less any amount utilized for administrative expenses, and transfer such amount to the trust fund for housing development purposes authorized by the special law; and Whereas, pursuant to Section 469.175, subdivision 4(b) of the TIF act, a tax increment financing plan may be modified without public hearing or the findings required to be made for the original tax increment financing plan if the modification does not include (a) any reduction or enlargement of the geographic area of the project or tax increment financing district; (b) an increase in the amount of bonded indebtedness to be incurred; (c) a determination to capitalize interest on debt if that determination was not a part of the original plan; (d) an increase in the portion of the captured net tax capacity to be retained by the authority; (e) an increase in the estimated cost of the project, including administrative expenses, to be paid or financed with tax increment from the district; or (f) the designation of additional property to be acquired by the authority; and City council meeting of November 20, 2023 (Item No. 5a) Page 7 Title: Administrative modifications to the tax increment financing plans for the 4900 Excelsior, West End and Park Commons TIF Districts (Wards 2 & 4) Whereas, there has been presented before the city council a proposed form of amendment to the TIF plan (the “amendment”), which proposed amendment to the budget in the TIF plan does not increase the total estimated tax increment expenditures, amount of bonded indebtedness, or capitalized interest and does not make any other changes that require a new public hearing pursuant to Section 469.175, subdivision 4 of the TIF act; and Whereas, the proposed amendment is set forth in Exhibit A attached hereto; and Whereas, on the date hereof, the board of commissioners of the authority approved the amendment to the TIF plan and transmitted the amendment to the city council for consideration; and Now therefore be it resolved by the city council of the City of St. Louis Park as follows: 1. The budget shall be amended as set forth in the amendment to the TIF plan, and such amendment is hereby approved. 2. Staff of the authority are hereby authorized and directed to transmit a certified copy of this resolution to the Auditor/Treasurer of Hennepin County, Minnesota, the Commissioner of Revenue of the State of Minnesota, and the State Auditor, as required by Section 469.175, subdivision 4 of the TIF act. 3. City staff, the city’s advisors, and legal counsel are authorized and directed to proceed with the implementation of the amendment to the TIF plan. Reviewed for administration: Adopted by the city council November 20, 2023 Kim Keller, city manager Jake Spano, mayor Attest: Melissa Kennedy, city clerk City council meeting of November 20, 2023 (Item No. 5a) Page 8 Title: Administrative modifications to the tax increment financing plans for the 4900 Excelsior, West End and Park Commons TIF Districts (Wards 2 & 4) Exhibit A Modification to TIF Plan for the West End TIF District is located in EDA staff report City council meeting of November 20, 2023 (Item No. 5a) Page 9 Title: Administrative modifications to the tax increment financing plans for the 4900 Excelsior, West End and Park Commons TIF Districts (Wards 2 & 4) Resolution No. 23 - _____ Approving a modification to the tax increment financing plan for the Park Commons Tax Increment Financing District Whereas, the City of St. Louis Park, Minnesota (the “city”) and the St. Louis Park Economic Development Authority (the “authority”) have established the Park Commons Tax Increment Financing District (the “TIF district”), a redevelopment district within Redevelopment Project No. 1 in the city, and the city and the authority have approved a tax increment financing plan (the “TIF plan”) for the TIF district pursuant to the provisions of Minnesota Statutes, Sections 469.174 through 469.1794, as amended (the “TIF act”); and Whereas, the TIF district is administered by the authority; and Whereas, pursuant to Section 469.1763, subdivision 2(d) of the TIF act, the authority may elect to increase by up to ten percent (10%) the permitted amounts of expenditures for activities located outside of the geographic area of the TIF district if such expenditures (a) are used exclusively to assist housing that meets the requirement for a qualified low-income building, as that term is used in Section 42 of the Internal Revenue Code of 1986, as amended (the “code”); (b) do not exceed the qualified basis of the housing, as defined under Section 42(c) of the code, less the amount of any credit allowed under Section 42 of the code; and (c) are used to (i) acquire and prepare the site of the housing; (ii) acquire, construct, or rehabilitate the housing; or (iii) make public improvements directly related to the housing; and Whereas, pursuant to Laws of Minnesota 2021, First Special Session, Chapter 14, Article 9, Section 5 (the “special law”), in particular subdivision 1(c), the city and the authority are authorized to transfer tax increment accumulated for housing and development purposes under Section 469.1763, subdivision 2(b) or (d) of the TIF act, to the Affordable Housing Trust Fund (the “trust fund”) established by the city; and Whereas, the city and the authority have determined to amend the budget (the “budget”) set forth in the TIF plan to use up to 10% of the tax increment from the TIF district, less any amount utilized for administrative expenses, and transfer such amount to the trust fund for housing development purposes authorized by the special law; and Whereas, pursuant to Section 469.175, subdivision 4(b) of the TIF act, a tax increment financing plan may be modified without public hearing or the findings required to be made for the original tax increment financing plan if the modification does not include (a) any reduction or enlargement of the geographic area of the project or tax increment financing district; (b) an increase in the amount of bonded indebtedness to be incurred; (c) a determination to capitalize interest on debt if that determination was not a part of the original plan; (d) an increase in the portion of the captured net tax capacity to be retained by the authority; (e) an increase in the estimated cost of the project, including administrative expenses, to be paid or financed with tax increment from the district; or (f) the designation of additional property to be acquired by the authority; and City council meeting of November 20, 2023 (Item No. 5a) Page 10 Title: Administrative modifications to the tax increment financing plans for the 4900 Excelsior, West End and Park Commons TIF Districts (Wards 2 & 4) Whereas, there has been presented before the city council a proposed form of amendment to the TIF plan (the “amendment”), which proposed amendment to the budget in the TIF plan does not increase the total estimated tax increment expenditures, amount of bonded indebtedness, or capitalized interest and does not make any other changes that require a new public hearing pursuant to Section 469.175, subdivision 4 of the TIF act; and Whereas, the proposed amendment is set forth in Exhibit A attached hereto; and Whereas, on the date hereof, the board of commissioners of the authority approved the amendment to the TIF plan and transmitted the amendment to the city council for consideration; and Now therefore be it resolved by the city council of the City of St. Louis Park as follows: 1. The budget shall be amended as set forth in the amendment to the TIF plan, and such amendment is hereby approved. 2. Staff of the authority are hereby authorized and directed to transmit a certified copy of this resolution to the Auditor/Treasurer of Hennepin County, Minnesota, the Commissioner of Revenue of the State of Minnesota, and the State Auditor, as required by Section 469.175, subdivision 4 of the TIF act. 3. City staff, the city’s advisors, and legal counsel are authorized and directed to proceed with the implementation of the amendment to the TIF plan. Reviewed for administration: Adopted by the city council November 20, 2023 Kim Keller, city manager Jake Spano, mayor Attest: Melissa Kennedy, city clerk City council meeting of November 20, 2023 (Item No. 5a) Page 11 Title: Administrative modifications to the tax increment financing plans for the 4900 Excelsior, West End and Park Commons TIF Districts (Wards 2 & 4) Exhibit A Modification to TIF Plan for the Park Commons TIF District is located in EDA staff report Meeting: City council Meeting date: November 20, 2023 Consent agenda item: 5b Executive summary Title: Transference of pooled tax increment from specified TIF districts to the city’s Affordable Housing Trust Fund (AHTF) Recommended action: Motion to adopt Resolution authorizing transfers of tax increment from the Wolfe Lake, Mill City, Zarthan, Ellipse, Eliot Park and The Shoreham TIF Districts to the city’s Affordable Housing Trust Fund (AHTF). Policy consideration: Does the city council support the continued pooling of an additional 10% of the tax increment from the Wolfe Lake, Mill City, Zarthan, Ellipse, Eliot Park and The Shoreham TIF Districts and transferring funds from these TIF districts to the AHTF? Summary: During the 2021 legislative session, the state approved special legislation authorizing the city of St. Louis Park to transfer tax increment accumulated for housing purposes from its housing TIF districts and 35% from its redevelopment TIF districts to the city’s Affordable Housing Trust Fund (AHTF). The EDA/council previously elected to retain an additional 10% of the tax increment in six (6) of its redevelopment TIF districts (Wolfe Lake, Mill City, Zarthan, Ellipse, Eliot Park and The Shoreham) for qualified affordable housing uses. This allowed the city to retain a total of 35% of the tax increment from these districts for affordable housing and is providing a crucial funding source to assist the city meet its affordable housing goals. Per the recommendations in the 2023 Annual TIF District Management Review & Analysis prepared by Ehlers and presented at the October 23, 2023 study session, and resulting EDA direction, it is recommended that transfers of tax increment from the Wolfe Lake, Mill City, Zarthan, Ellipse, Eliot Park and The Shoreham TIF Districts to the AHTF fund be authorized. This means that the EDA would continue to allow up to 35% of the tax increments from the Wolfe Lake, Mill City, Zarthan, Ellipse, Eliot Park and The Shoreham TIF Districts to be annually retained and dedicated to the city’s AHTF for qualified affordable housing uses through the required decertification date of December 31, 2026. By separate resolution, the authority will authorize amendments to the Ellipse, Eliot Park and The Shoreham to allow additional pooling for affordable housing that will also be transferred to the AHTF for qualified affordable housing uses through the required decertification date of December 31, 2026. As permitted under the special legislation, these pooled funds would continue to be transferred to the Affordable Housing Trust Fund (AHTF) to be used per the AHTF Policy. Financial or budget considerations: Ehlers estimates there could be a total of approximately $12.2 million in pooled tax increment from the Wolfe Lake, Mill City, Zarthan, Ellipse, Eliot Park and The Shoreham TIF Districts that could continue to be used for qualified affordable housing uses through 2026. Strategic priority consideration: St. Louis Park is committed to providing a broad range of housing and neighborhood oriented development. Supporting documents: Discussion & Resolution Prepared by: Greg Hunt, economic development manager Reviewed by: Karen Barton, community development director, EDA executive director Approved by: Cindy Walsh, deputy city manager City council meeting of November 20, 2023 (Item No. 5b) Page 2 Title: Transference of pooled tax increment from specified TIF districts to the city’s Affordable Housing Trust Fund (AHTF) Discussion Background: During the 2021 legislative session, the State approved special legislation authorizing the city of St. Louis Park to transfer tax increment accumulated for housing purposes from its housing TIF districts and 35% from its redevelopment TIF districts to the city’s Affordable Housing Trust Fund (AHTF). The Special Legislation allows the EDA/city to provide grants, loans, and loan guarantees for the development, rehabilitation, or financing of housing; or match other funds from federal, state, or private resource for housing projects. Housing projects are not defined in the Special Legislation, but it is the intent of the EDA/council to use it for rental and for-sale housing projects in accordance with its AHTF guidelines. To date the EDA/council has provided $3.9 million from the AHTF to developers, creating 385 units of affordable housing. Present considerations: The EDA/council previously elected to retain an additional 10% of the tax increment in six (6) of its redevelopment TIF districts (Wolfe Lake, Mill City, Zarthan, Ellipse, Eliot Park and The Shoreham) for qualified affordable housing uses. This allowed the city to retain a total of 35% of the tax increment from these districts for affordable housing and is providing a crucial funding source to assist the city meet its affordable housing goals. To date, the EDA/council has utilized over $3.9 million in pooled TIF to facilitate the creation of 385 affordable units. Authorization to transfer pooled tax increment from the Wolfe Lake, Mill City, Zarthan, Ellipse, Eliot Park and The Shoreham TIF Districts for affordable housing purposes: Per the 2023 Annual TIF District Management Review & Analysis prepared by Ehlers and presented at the October 23, 2023 study session, and resulting EDA direction, transfers of tax increment City council meeting of November 20, 2023 (Item No. 5b) Page 3 Title: Transference of pooled tax increment from specified TIF districts to the city’s Affordable Housing Trust Fund (AHTF) from the Wolfe Lake, Mill City, Ellipse, Eliot Park, The Shoreham and Zarthan TIF Districts to the AHTF fund continue to be authorized. This means that the EDA/council would continue to allow up to 35% of the tax increments from the Wolfe Lake, Mill City, Zarthan, Ellipse, Eliot Park and The Shoreham TIF Districts be annually retained and dedicated to the city’s AHTF for qualified affordable housing uses through the required decertification date of December 31, 2026. By separate resolution, the EDA/council will authorize amendments to the Ellipse, Eliot Park and The Shoreham to allow additional pooling for affordable housing that will also be transferred to the AHTF for qualified affordable housing uses through the required decertification date of December 31, 2026. As permitted under the special legislation, these pooled funds would continue to be transferred to the Affordable Housing Trust Fund (AHTF) to be used per the AHTF Policy. The remaining 65% of the increment would be returned to the county each year for redistribution to the city, county, and school district as general property taxes. Next steps: Following EDA/city council approval of the proposed transfers to the AHTF fund, 35% of the tax increment from the Wolfe Lake, Mill City, Zarthan, Ellipse, Eliot Park and The Shoreham TIF Districts will be annually retained and transferred to the AHTF through 2026 to be used for eligible affordable housing purposes. These approvals can be revisited by the EDA/council annually until the required decertification date, should the EDA/council wish to change its pooling election. City council meeting of November 20, 2023 (Item No. 5b) Page 4 Title: Transference of pooled tax increment from specified TIF districts to the city’s Affordable Housing Trust Fund (AHTF) Resolution No. 23 - ______ Accepting pooled tax increment from tax increment financing districts for the affordable housing trust fund Whereas, the legislature of the State of Minnesota passed a special law authorizing the City of St. Louis Park, Minnesota (the “city”) or the St. Louis Park Economic Development Authority (the “authority”) to transfer tax increment accumulated for housing development purposes under Minnesota Statutes, Section 469.1763, subdivision 2(b) or (d), to the housing trust fund established by the city, all as provided in Laws of Minnesota 2021, First Special Session, Chapter 14, Article 9, Section 5 (the “special law”), in particular subdivision 1(c) thereof; and Whereas, pursuant to the special law, the authority to make such transfers shall expire on December 31, 2026; and Whereas, the city has created its Affordable Housing Trust Fund (the “trust fund”); and Whereas, pursuant to a resolution to be considered by the board of commissioners of the authority on the date hereof, the authority has authorized the transfer pooled tax increment from the following tax increment financing districts with Redevelopment District No. 1 in the city to the city for purposes of funding the city’s Affordable Housing Trust Fund (the “trust fund”): (a) the Wolfe Lake Commercial Tax Increment Financing District; (b) the Zarthan and 16th Street Tax Increment Financing District; (c) the Mill City Tax Increment Financing District; (d) the Park Commons Tax Increment Financing District; (e) the Aquila Commons Tax Increment Financing District; (f) the Park Center Boulevard Housing Tax Increment Financing District; (g) the Ellipse on Excelsior Tax increment Financing District; (h) the Eliot Park Tax Increment Financing District; (i) the Shoreham Tax Increment Financing District; (j) the 4900 Excelsior Tax Increment Financing District; and (k) the West End Tax Increment Financing District (collectively, the “tif districts”); and Whereas, pooled tax increment transferred to the trust fund may be returned to the appropriate authority tax increment fund if the funds are not spent on or before December 31, 2026; and Now therefore be it resolved by the city council of the City of St. Louis Park as follows: 1. The city hereby accepts the transfer of pooled tax increment from the TIF districts listed above to fund the trust fund. The city hereby authorizes, ratifies and reaffirms all past receipts of tax increment from the TIF districts that were made to fund the trust fund. City council meeting of November 20, 2023 (Item No. 5b) Page 5 Title: Transference of pooled tax increment from specified TIF districts to the city’s Affordable Housing Trust Fund (AHTF) 2. The city shall deposit such transferred pooled tax increment into the trust fund to be used for affordable housing purposes. 3. The city hereby delegates to the city’s finance director the authority to accept funds from the authority tif districts each year to the trust fund on behalf of the city in the amounts determined at the finance director’s discretion in consultation with the city’s municipal advisor. Such transfers shall be made to the extent pooled tax increment is available for such purposes under Minnesota Statutes, Section 469.174 through 469.1794 and the Special Law and is authorized by the tax increment financing plans approved for the tif districts. 4. The tax increment transferred to the trust fund must be accounted for separately and may be used only for the following purposes: making grants, loans, and loan guarantees for development, financing of housing or providing matches for other federal, state, or private resources for housing projects. 5. This resolution is effective upon approval. Reviewed for administration: Adopted by the city council November 20, 2023 Kim Keller, city manager Jake Spano, mayor Attest: Melissa Kennedy, city clerk Meeting: City council Meeting date: November 20, 2023 Consent agenda item: 5c Executive summary Title: Resolution modifying permit parking on the 3300 block of France Avenue (traffic study no. 782) – Ward 2 Recommended action: Motion to adopt resolution modifying permit parking restrictions on the 3300 block of France Avenue. Policy consideration: Does the city council wish to authorize the removal of permit parking on the east side of France Avenue from 3328 France Avenue to 34th Street? Summary: In May 2023, staff received a request from a resident to modify the permit parking limits from 3328 France Avenue north to Randall Avenue. The current permit parking area results in a concentration of cars parking on the street on the north half of the 3300 block of France Avenue, where the permit parking ends. Permit parking was first installed in select locations in the Minikahda Oaks neighborhood in 2010 to address parking related to an adjacent mixed-use development. Permit parking was expanded in 2012 to include both sides of France Avenue from 3328 France to 34th Street to address parking that was occurring further away from the development. Extending the permit parking along France Avenue will likely result in moving the parking further into the neighborhood. Due to this unattended consequence, expanding the permit parking is not recommended. To allow for more available parking in front of the single-family homes on the west side of the 3300 block of France Avenue, the traffic committee recommends removing permit parking along the east side of France Avenue north of 34th Street. Financial or budget considerations: The cost of removing the parking restrictions on the east side of France Avenue is minimal and will come out of the 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 Permit parking map Resolution 12-097 – to be rescinded Resolution Prepared by: Kerrwin Dempsey, engineering technician III Jack Sullivan, engineering project manager Reviewed by: Debra Heiser, engineering director Approved by: Cindy Walsh, deputy city manager City council meeting of November 20, 2023 (Item No. 5c) Page 2 Title: Resolution modifying permit parking on the 3300 block of France Avenue (traffic study no. 782) Discussion Background: In May 2023, staff received a request from a resident on France Avenue to modify the permit parking limits north of 3328 France Avenue up to Randall Avenue to allow more street parking for residents. The current permit parking areas result in a concentration of vehicles parking on the street on the north half of the 3300 block of France Avenue. Permit parking was first installed in the Minikahda Oaks neighborhood on both sides of 34th Street and on the west side of France Avenue south of 34th Street in 2010 to address parking related to an adjacent mixed-use development. Permit parking was expanded in 2012 to include both sides of France Avenue from 3328 France to 34th Street to address parking that was occurring further away from the development. This included the east side of France Avenue along the Minikahda Club Golf Course, an area that does not have any homes or driveways. Permit parking is typically only employed in areas that are adjacent to residential properties to ensure residents can park in front of their homes when there are other heavy parking uses in an area. Traffic committee recommendation: The request was made to the traffic committee, where the history and use of the permit parking in this area were discussed. To allow for more available parking in front of the single-family homes on the west side of the 3300 block of France Avenue, the traffic committee recommends removing permit parking along the east side of France Avenue north of 34th Street for the following reasons: • Permit parking was put in place to ensure available on-street parking in front of single- family homes for the use of the residents at those addresses. However, there are no single-family homes on the east side of France Avenue at this location. • The current permit parking area results in a concentration of cars parking on the street on the north half of the 3300 block of France Avenue towards Randall Avenue, where the permit parking ends. • Extending the permit parking along this street will likely result in moving the parking further into the neighborhood. Due to this unattended consequence, expanding the permit parking is not recommended. • Removing the permit parking along the Minikahda Club golf course will increase available parking and limit parking further into the neighborhood. In addition, the development near the intersection of France Avenue and Excelsior Boulevard has been operational for more than ten years. In that time, the apartment and commercial uses have refined their parking requirements to meet their parking needs on-site. Removing some of the on-street permit parking areas will add flexibility for everyone in the Minikahda Oaks neighborhood. All on-street parking is required to comply with the city’s ordinances that limit parking to no more than 48 hours, and vehicles must be moved off the street after a snow emergency has been declared. Resolution: The existing permit parking restrictions from Resolution 12-097 authorize permit parking along both sides of France Avenue from 3328 France Avenue to 34th Street. To remove permit parking on the east side of France Avenue, the resolution is recommended to be City council meeting of November 20, 2023 (Item No. 5c) Page 3 Title: Resolution modifying permit parking on the 3300 block of France Avenue (traffic study no. 782) rescinded in its entirety. Staff recommends maintaining permit parking on the west side of France. To accomplish this, the attached resolution includes the following actions: • rescind Resolution 12-097 • authorize permit parking on the west side of France Avenue from 3328 France Avenue to 34th Street. Community feedback: In October 2023, a letter was sent to the 17 residential properties in the area that have adjacent permit parking restrictions to inform them of the recommended changes. Only one property owner responded to the letter and was in support of the recommendation. Next steps: If approved by council, the removal of the permit parking signage on the east side of France Avenue north of 34th Street will be completed before winter. City council meeting of November 20, 2023 (Item No. 5c) Page 4 Title: Resolution modifying permit parking on the 3300 block of France Avenue (traffic study no. 782) Resolution No. 23-____ Modify permit parking on the 3300 block of France Avenue Traffic Study No. 782 Whereas, the City of St. Louis Park authorized resolution 12-097 in 2012 to install permit parking on both sides of France Avenue from 3328 France Avenue to 34th Street in anticipation of adjacent redevelopment; and, Whereas, the City of St. Louis Park received a request to modify the permit parking restrictions on the 3300 block of France Avenue to allow more flexibility in on-street parking; and, Whereas, the traffic committee has reviewed the request and recommended the removal of permit parking restrictions on the east side of the 3300 block of France Avenue. Now therefore be it resolved, by the city council of the City of St. Louis Park, Minnesota, that Resolution 12-097 is rescinded; and, It is further resolved by the city council of the City of St. Louis Park, Minnesota, that the engineering director is hereby authorized to: 1. Reinstate permit parking on the west side of France Avenue from 3328 France Avenue to 34th Street. Reviewed for administration: Adopted by the city council November 20, 2023 Kim Keller, city manager Jake Spano, mayor Attest: Melissa Kennedy, city clerk Removal of permit parking on France Ave HUNTINGTON AVE SRANDA L L A V E GLENHURST AVE SFRANCE AVE SEXCELSIOR BLVD34TH ST W 3332 3404 3326 3301 3308 3400 3337 3313 3317 3924 3330 3309 3313 3320 3329 3328 3316 4030 3400 3300 3327 3304 3305 3336 3309 3336 3345 3402 4106 3300 3401 3400 4112 3324 3914 3310 3344 3344 3930 3336 3301 3542 3333 3348 4024 3327 3352 3200 3341 4000 3315 3900 4014 3901 3335 3332 3304 3308 3320 3305 3318 4008 3450 3906 3328 4020 3500 3317 3900 3924 3312 3340 3316 3910 4121 3300 3321 4100 3341 3330 3401 3349 3325 3340 3405 3918 0 100 20050 Feet Permit parking only No parking any time The Minikahda Club G olf Course The Minikahda Club Golf Course Remove permit parking Remove permit parking Date: 10/6/2023 City council meeting of November 20, 2023 (Item No. 5c) Title: Resolution modifying permit parking on the 3300 block of France Avenue (traffic study no. 782) Page 5 Meeting: City council Meeting date: November 20, 2023 Consent agenda item: 5d Executive summary Title: West End alternative urban areawide review (AUAR) update – Ward 4 Recommended action: Motion to adopt resolution approving the final AUAR update for the West End redevelopment project located in the southwest corner of Highways 394 and 100. Policy consideration: Does the city council accept the final AUAR update for the West End redevelopment project? Summary: The city council adopted an environmental analysis for the West End in 2007. The type of analysis used was an alternative urban areawide review (AUAR). The council also approved formal updates in 2013 and 2018. The AUAR is due for its third 5-year update as not all phases of the development have been built. The draft AUAR update was distributed to required jurisdictions on September 28, 2023, and published in the EQB Monitor on October 3 and October 15, 2023. The notice of the availability appeared in the Sun Sailor on October 26, 2023. The formal comment period closed at 4:00 p.m. on November 7, 2023. The city hired Kimley-Horn and Associates, Inc. to complete the AUAR update. The document is attached for your review. The report focuses on three issues that were identified as potential limiting factors for development under the original AUAR: sanitary sewer use, water use, and traffic. The analysis used the latest information on existing conditions and planned development. The AUAR analysis determined that sanitary sewer capacity is no longer a limiting factor for the development. It also determined that the capacity to handle the projected water use improved since the original study and the last formal updates. The study found traffic in the area is well within the parameters of the AUAR. No state agencies, Metropolitan Council or local agencies objected to the AUAR update. The comments received were technical in nature and are addressed in the attached final AUAR update. The letters from the Metropolitan Council, Minnesota Department of Natural Resources, Army Corps of Engineers, and U.S. Environmental Protection Agency and the responses to each can be found in Appendix A. Financial or budget considerations: Not applicable. The City of St. Louis Park collected an escrow from property owners within the West End to fund the AUAR study. Strategic priority consideration: St. Louis Park is committed to continue to lead in environmental stewardship. Supporting documents: Resolution, final AUAR update Prepared by: Sean Walther, planning manager/deputy community development director Reviewed by: Karen Barton, community development director Approved by: Cindy Walsh, deputy city manager City council meeting of November 20, 2023 (Item No. 5d) Page 2 Title: West End alternative urban areawide review (AUAR) update – Ward 4 Resolution No. 23-____ Adopting the final alternative urban areawide review (AUAR) update for the West End redevelopment project located in the southwest corner of Highways 394 and 100 Whereas, redevelopment continues of approximately 35 acres of land located in the southwest corner of Highways 394 and 100; and Whereas, an environmental review is required by state law; and Whereas, an alternative urban areawide review (AUAR) was completed for the property in 2007 and formally updated in 2013 and 2018, and is required to be updated every five years per State Law; and Whereas, a public and agency comment period was provided and comments were addressed in accordance with the environmental review process and requirements; and Whereas, a mitigation plan addressing environmental impacts has been reviewed and updated; Now therefore be it resolved that the City of St. Louis Park hereby adopts the final alternative urban areawide review (AUAR) update and mitigation plan for the West End redevelopment project located in the southwest quadrant of Highways 394 and 100. Reviewed for administration: Adopted by the city council November 20, 2023 Kim Keller, city manager Jake Spano, mayor Attest: Melissa Kennedy, city clerk The West End AUAR Update DRAFT Published September 26, 2023 Comments due October 10, 2023 and extended to November 7, 2023 (Update of Final AUAR Adopted April 9, 2007) Prepared for: Prepared by: C i t y c o u n c i l m e e t i n g o f N o v e m b e r 2 0 , 2 0 2 3 ( I t e m N o . 5 d ) T i t l e : W e s t E n d a l t e r n at i v e u r b a n ar e aw i d e r e v i e w ( A U A R ) u p d at e - W ar d 4 P ag e 3 ALTERNATIVE URBAN AREAWIDE REVIEW UPDATE THE WEST END FOR THE CITY OF ST. LOUIS PARK, MN Published September 26, 2023 City council meeting of November 20, 2023 (Item No. 5d) Title: West End alternative urban areawide review (AUAR) update - Ward 4 Page 4 The West End AUAR Update November 2023 i TABLE OF CONTENTS 1 Introduction ....................................................................................................................................... 1 2 Existing Conditions .......................................................................................................................... 1 3 Updated Scenario ............................................................................................................................. 4 4 Impact Analysis................................................................................................................................. 4 5 Mitigation Summary and Update .................................................................................................... 9 6 AUAR Update Review ..................................................................................................................... 20 City council meeting of November 20, 2023 (Item No. 5d) Title: West End alternative urban areawide review (AUAR) update - Ward 4 Page 5 The West End AUAR Update November 2023 1 1 INTRODUCTION The West End study area consists of 48.6 acres located at the southwest corner of I-394 and Trunk Highway 100 in St. Louis Park, MN, with eastern portions of the site in Golden Valley, MN (see Figure 1 and Figure 2). The City of St. Louis Park adopted The West End Final Alternative Urban Areawide Review (AUAR) in March 2007. Since that time, development within the study area has occurred. Pursuant to Minnesota Rules 4410.3610 Subp. 7, an AUAR and plan for mitigation must be revised every five years until all development in the study area has received final approval. The first update to the AUAR was adopted by the City of St. Louis Park in October 2013, and a second update to the AUAR was adopted by the City of St. Louis Park in 2018. Since the study area is not yet fully developed, the purpose of this document is to provide another update to the West End AUAR pursuant to Minnesota Rules. The 2007 AUAR included an analysis of five development scenarios as follows: • Scenario 1 – 1,750,000 square feet (SF) of redevelopment • Scenario 2 – Maximum Build Scenario – 3,085,00 SF of redevelopment • Scenario 3 – Minimum Build Scenario – 1,530,000 SF of redevelopment • Scenario 4 – 1,700,000 SF of redevelopment • Scenario 5 – Comprehensive Plan Scenario – 2,000,000 SF of redevelopment The 2007 adopted AUAR and the two AUAR Updates completed in 2013 and 2018 are available on the City’s website at www.stlouispark.org. This report is intended to serve as an update of the 2018 AUAR and includes a report on development to date, disclosure of updated development scenarios, an update to the environmental analysis as necessary, and a review of mitigation measures. 2 EXISTING CONDITIONS Scenario 1 as evaluated in the 2007 AUAR most closely resembles actual plans for the site and has been consistently used as a comparison for reviewing development proposals. The 2007 AUAR Scenario 1 includes: • 1.0 million SF of office space • 400,000 SF of retail space (this number also includes restaurant and entertainment uses) • 250 condo units Since 2007, some of the planned development types have changed slightly. Existing development on the site includes: • 266,649 SF of retail space including: o movie theater o restaurants • 876,785 SF of office • 839 apartment units • 126 room hotel City council meeting of November 20, 2023 (Item No. 5d) Title: West End alternative urban areawide review (AUAR) update - Ward 4 Page 6 The West End AUAR Update November 2023 2 Figure 1: Project Location City council meeting of November 20, 2023 (Item No. 5d) Title: West End alternative urban areawide review (AUAR) update - Ward 4 Page 7 The West End AUAR Update November 2023 3 Figure 2: Existing and Future Land Use City council meeting of November 20, 2023 (Item No. 5d) Title: West End alternative urban areawide review (AUAR) update - Ward 4 Page 8 The West End AUAR Update November 2023 4 These development conditions were incorporated into the analyses completed for this AUAR Update. In addition, a significant industrial facility has been removed from the city’s system since the 2007 AUAR was completed. The Novartis/Nestle facility is located outside of the AUAR boundary and was removed from the city’s system in April 2013. This facility used approximately eight percent of the city’s water capacity, so its removal reduces existing demand on the system. This adjustment was made to the baseline condition for purposes of this update. 3 UPDATED SCENARIO This AUAR Update includes one additional scenario as outlined by the developer, which increases the amount of office use within the site and proposes an additional 1,200 stall parking ramp. This 2023 Scenario includes: • Existing conditions • Additional 350,000 sq ft of office space • Additional 1,200 stall parking ramp The new scenario is evaluated in comparison to Scenario 1 from the 2007 AUAR, which most closely represents the actual plans for the site. Component Existing Conditions (as of August 2023) 2023 Scenario Scenario 1 from 2007 AUAR Retail 266,649 SF 266,649 SF* 400,000 SF Office 876,785 SF 1,226,785 SF 1,000,000 SF Residential 839 Apartment Units 839 Apartment Units* 250 Condo Units Hotel 126 Rooms 126 Rooms -- Parking Ramp -- 1,200 stalls -- *no change from existing conditions 4 IMPACT ANALYSIS 4.1 AREAS OF NO ANTICIPATED CHANGE The analysis that was completed in 2007 for the following issue areas remains valid. While there have been changes related to these areas, the changes are not anticipated to exceed the thresholds established in the 2007 AUAR. Areas requiring updated analysis are discussed in 4.2. No changes to impacts or mitigation are anticipated for the following areas: • Land Use • Cover Types • Physical Impacts on Water Resources • Water-Related Land Use Management District • Water Surface Use • Erosion and Sedimentation • Water Quality: Surface Water Runoff City council meeting of November 20, 2023 (Item No. 5d) Title: West End alternative urban areawide review (AUAR) update - Ward 4 Page 9 The West End AUAR Update November 2023 5 • Geological Hazards and Soil Conditions • Solid Wastes, Hazardous Wastes, Storage Tanks • Vehicle-Related Air Emissions • Stationary Source Air Emissions • Odors, Noise, and Dust • Nearby Resources (Cultural Resources, Farmlands, Parks, Scenic Views) • Visual Impacts • Compatibility with Plans • Impact on Infrastructure and Public Services • Cumulative Impacts • Other Potential Environmental Impacts 4.2 AREAS REQUIRING UPDATED ANALYSIS Impact analysis of the 2023 Scenario focuses on water use, sanitary sewer, and traffic. These were the issues that approached thresholds established in the 2007 AUAR. For other issue areas, changes in conditions and regulations were reviewed. Fish, Wildlife, and Ecologically Sensitive Areas Kimley-Horn conducted a review of the DNR Natural Heritage Information System (NHIS) per license agreement LA-1074 for the study area and the surrounding 1-mile area. Since the 2007 AUAR, there has been one new record of a state-listed special concern species, the Peregrine Falcon, identified within a one-mile radius of the AUAR area. Peregrine Falcon habitat includes cliffs along waterbodies and buildings in urban areas. The AUAR is built out except for one parcel and any future development on that parcel would not require any existing buildings to be demolished. Therefore, no adverse impacts to this species are anticipated. The Minnesota DNR determined that the proposed development will not negatively impact any known occurrences of rare features in a letter dated November 1, 2023 (see Appendix A). Water Use Since the 2007 AUAR, 2013 AUAR update, and the 2018 AUAR update, the city has not experienced major changes in water infrastructure. The previously identified changes in water capacity infrastructure and guidelines include: • The 2018 AUAR identified the loss of one water well included in previous AUAR documentation and GAC improvements at other wells, resulting in a reduction in total firm system capacity from 13.32 million gallons per day (MGD) to 12.24 MGD • The 2018 AUAR identified a shift in city policy to base peak water usage calculations on a five-year average instead of a 10-year average to better reflect actual conditions, resulting in a 2018 peak usage of 9.2 MGD instead of 11.88 MGD • For the 2023 Scenario, the 5-year and 10-year peak factor for the water system is 1.69 and 1.71, respectively. A conservative water peak factor of 2 was applied to the 2023 usage. Based on Table 1 below, water use will not be a limiting factor for the 2023 Scenario. Water use under the 2023 Scenario falls beneath the thresholds identified in the AUAR and results in less than 90 percent City council meeting of November 20, 2023 (Item No. 5d) Title: West End alternative urban areawide review (AUAR) update - Ward 4 Page 10 The West End AUAR Update November 2023 6 of the city’s total system being used, which is the City’s preference and leaves water available for emergency scenarios. No mitigation is necessary. Table 1: Water Use Summary Scenario 1 from 2007 AUAR 2018 Scenario1 2023 Scenario Total Firm System Capacity (million gallons per day (MGD))2 13.32 12.24 12.24 City Firm Peak Usage (MGD)3 11.88 9.23 9.24 Capacity Available (MGD) 1.44 3.01 3.00 Proposed Project Usage (MGD) 0.64 1.33 0.22 Total City Usage (MGD) 12.52 10.56 9.46 Capacity Available (Post-Construction) 0.80 1.68 2.78 Percent Total System Utilized 93.98% 86.31% 77.25% Wastewater Sanitary sewer use is not anticipated to be a limiting factor to development under the 2023 Scenario. The baseline condition has been adjusted to reflect the 2023 existing conditions. All development at the West End, existing and planned is captured within the analysis below. The peak hour factor was updated for the 2023 scenario to reflect the Metropolitan Council of Environmental Services' (MCES) goal for inflow and infiltration peak factor of 3.3, which is conservative. The 2018 AUAR used a peak factor 2.7 based on the MCES table. The inflow and infiltration peak factor table is slightly higher and used in the 2023 report. Sanitary use under the 2023 Scenario falls beneath the thresholds identified in the AUAR and within the available capacity of the current MCES system which includes two separate wastewater conveyances from St. Louis Park, an interceptor and lift station L81 (5.3 million of gallons per day (MGD), and 5-MGD respectively). The total design peak capacity is 10.3-MGD, as shown in Table 2. No mitigation is necessary. 1 Baseline numbers are from winter 2015 and include the already constructed portions of the West End development. 2 Since 2007, there have been changes in the water capacity infrastructure, including loss of one water well included in previous AUAR documentation and granular activated carbon (GAC) improvements at other wells, resulting in a reduction in total firm system capacity from 13.32 MGD to 12.24 MGD. 3 City peak usage was adjusted for removal of the Nestle factory. In addition, there has been a shift in city policy to base peak water usage calculations on a five-year average instead of a 10-year average to better reflect actual conditions, resulting in a peak usage of 9.23 MGD instead of 11.88 MGD. City council meeting of November 20, 2023 (Item No. 5d) Title: West End alternative urban areawide review (AUAR) update - Ward 4 Page 11 The West End AUAR Update November 2023 7 Table 2: Net Sanitary Peak Flow Scenario 1 from 2007 AUAR4 2018 Scenario 2023 Scenario Existing Average Daily Flow (MGD)5 2.60 2.60 2.1 Average Daily Flow Increase (MGD)6 0.27 0.47 0.10 Average Daily Flow Decrease (MGD)7 0.04 0.51 N/A Net Average Daily Flow Adjustment (MGD) 0.23 0.04 0.1 Total Average Daily Flow (Existing + Net Flow Adjustment) (MGD) 2.83 2.56 2.20 Peak Hourly Flow (2.7 Peak Factor) (MGD) 7.63 6.92 N/A Peak Hourly Flow (2.37 Peak Factor) (MGD) 6.70 6.08 N/A Peak Hourly Flow (3.3 MCES Goal Inflow and Infiltration Peak Factor) (MGD) - - 7.27 Traffic Under the 2023 Scenario, anticipated trips would exceed AUAR thresholds for the inbound and outbound movements during both peak hours using the same trip generation methodology used in 2007 (see Table 3). However, there are new modeling systems available today which more accurately reflect trips. 4 Decrease includes the demolition of existing buildings from the 2007 AUAR. 5 Baseline numbers for sanitary do not incorporate the West End development. 6 Increase is adjusted based on current/future demolition of Chili's and Olive Garden. For the 2023 scenario, the Chili’s and Olive Garden were demolished, the 2023 increase is based on the proposed development scenario. 7 Decrease includes the demolition of existing buildings from the 2007 AUAR and the closing of the Nestle factory. The Nestle flow decrease was estimated to be 95 percent of the Nestle water use information provided by the City, to account for irrigat ion and infiltration. The 2023 decrease is zero, and the measured flows shown in the existing conditions reflect the decrease. City council meeting of November 20, 2023 (Item No. 5d) Title: West End alternative urban areawide review (AUAR) update - Ward 4 Page 12 The West End AUAR Update November 2023 8 Table 3: 2023 Scenario Traffic Summary 8 Use Size Daily Trips AM Peak Hour PM Peak Hour In Out In Out Office (existing) 876,785 SF 9,504 1,173 160 202 1,061 Office (proposed) 350,000 SF 3,794 458 74 81 423 Retail 116,341 SF 4,306 61 37 190 206 Restaurant (sit-down) 72,392 SF 6,069 42 11 378 186 Restaurant (casual) 10,318 SF 1,106 54 44 58 35 Grocery 55,288 SF 5,188 95 63 252 242 Movie Theater 2,643 Seats 4,652 0 0 116 95 Hotel 126 Rooms 1,007 34 24 38 36 Apartments 839 Units 3,809 81 230 200 128 Trip Generation Subtotal 39,435 1,971 670 1,515 2,412 Multi-Use Reduction (-10%) -3,944 -197 -67 -152 -241 Total 35,491 1,774 603 1,363 2,171 AUAR Trip Generation Limit 1,320 528 1,167 1,883 Difference (Total – AUAR Trip Generation Limit) (454) (75) (196) (288) The AM and PM peak hours exceed the AUAR thresholds by 529 trips and 484 trips, respectively, using the ITE Trip Generation manual calculations. However, using Replica, a travel demand model that compiles US Census, aggregate mobile location, credit transactions, and other data to estimate geography-based traffic data, it is a more accurate reflection of trips. Replica modeling determined that the existing AUAR area generates approximately 26,000 average daily trips into the AUAR study area. This is approximately 6,000 less daily trips than the initial ITE estimates. Therefore, while the trip generation presented in Table 3 estimates a notable increase in trips from the 2007 AUAR plan to the 2023 Update, it is likely that the actual daily trip generation from the existing uses is more comparable to the 2007 AUAR estimate of approximately 24,000 daily trips and does not significantly exceed the AUAR trip generation limits, if at all. Several measures as identified in the 2007 AUAR mitigation plan for Phases 1 and 2 of development have already been completed and address key movements at intersections that provide access to the site. There may be other mitigation measures not yet implemented that may provide additional relief for traffic congestion. Based on the real-world trip generation of the AUAR area, no additional traffic mitigation or analysis is needed prior to build out of the last remaining parcel in the study area. 4.3 SUMMARY The 2023 Scenario is anticipated to utilize less of the water system than Scenario 1 from the 2007 AUAR, and less than the City’s preferred threshold of 90 percent total system usage. No additional mitigation measures or adjustments are necessary. 8 Trip generation calculations as documented in the 2007 West End AUAR were based on ITE Trip Generation, 7th Edition (2003). Current trip generation calculations are based on the most recent version, ITE Trip Generation, 11th Edition (2021). City council meeting of November 20, 2023 (Item No. 5d) Title: West End alternative urban areawide review (AUAR) update - Ward 4 Page 13 The West End AUAR Update November 2023 9 Sanitary sewer usage under the 2023 Scenario can be accommodated within the limits established in the 2007 AUAR. No additional mitigation is needed. AUAR traffic thresholds are exceeded for inbound and outbound movements during both peak hours. Several measures as identified in the 2007 AUAR mitigation plan for Phases 1 and 2 of development have already been completed, and address inbound traffic movements. There may be other mitigation measures not yet implemented that may provide additional relief for traffic congestion. A traffic analysis should be completed following implementation of the second office building to evaluate intersections and determine if there are specific movements requiring mitigation that have not already been completed as part of the mitigation plan. 5 MITIGATION SUMMARY AND UPDATE Based on this AUAR Update, the West End has developed generally as anticipated under Scenario 1 in the 2007 AUAR. Mitigation measures outlined in the 2007 AUAR remain valid or have been completed, or may no longer apply. The mitigation measures are outlined below, including a progress update. As a result of the analysis update, no additional mitigation measures are proposed over those identified in the 2007 AUAR. 5.1 REDEVELOPMENT PHASING The developer will not incorporate condominiums into the proposed redevelopment at this time. If in the future condominiums are desired on the site, a re-evaluation of impacts will need to occur. No longer applies. Apartments have been built instead of condominiums on the site. Development will be phased to allow for incremental monitoring of utility usage. Timing of all phases will be market dependent, but the following is an estimated schedule: •Phase 1 – Retail development on western half of site (Summer 2007 – Winter 2008-2009) Completed •Phase 2 – Office building and hotel on eastern half of site (Summer 2007 – Fall 2008) Complete; Apartments built instead of hotel •Phase 3 – Remaining office buildings (market dependent)Incomplete The 2007 AUAR proposed four office buildings totaling approximately 1 million square feet in the area east of Utica Avenue South. In place of two previously proposed office buildings located north of 16th Street, a 199-unit apartment building and 126-room hotel were completed in 2017, and another 164-unit apartment building was completed in 2020. One office building totaling 343,000 sq. ft. including 3,200 sq. ft. of commercial opened in 2021. One more office building is still planned (market dependent) south of 16th Street totaling approximately 350,000 square feet. 5.2 WATER USE The City’s goal is that total water usage not exceed 90 percent of the City’s existing capacity. The 90 percent threshold is a concern only during periods of extreme summer peak water usage (1 to 5 week period). To manage water usage, the following strategies will be implemented: Site users will abide by the City’s restrictions on lawn sprinkling, including no watering between noon and 6:00 P.M., and adhering to the odd/even schedule (properties with odd numbered C i t y c o u n c i l m e e t i n g o f N o v e m b e r 2 0 , 2 0 2 3 ( I t e m N o . 5 d ) T i t l e : W e s t E n d a l t e r n at i v e u r b a n ar e aw i d e r e v i e w ( A U A R ) u p d at e - W ar d 4 P a g e 1 4 The West End AUAR Update November 2023 10 addresses sprinkle on odd numbered days, and properties with even numbered addresses sprinkle on even numbered days). Additional use restrictions can also be implemented in accordance with the City’s Water Supply and Conservation Plan.Remains valid Developer will follow State requirements for use of standard low-flow fixtures.Complete for development to date. The City will monitor water use via meter readings after Phases 1 and 2 of the redevelopment are complete (retail and one office building, respectively). Water use calculations will be re- evaluated at this time.Complete. If water use exceeds expectations, and/or future phases are anticipated to exceed 90 percent total system capacity, the City and the developer will cooperate to explore both city-wide and project-specific measures to increase capacity and minimize peak water consumption. Methods could include reclamation of stormwater for irrigation purposes.No longer applies – capacity no longer a limiting factor. The City will explore the possibility of adding a treatment plant to Well #6, which is currently inactive. This project is not currently identified in the City’s Capital Improvement Plan, however it could add 1.5 million gallons per day (MGD) to the existing system capacity. This or other strategies will be evaluated for providing additional water capacity. A target implementation date has not been identified. If the need is shown, the timing of this project may be accelerated in the Capital Improvement Plan. No longer applies – capacity no longer a limiting factor. With regards to the existing monitoring well located near the study area, the developer will: Coordinate with the Minnesota Pollution Control Agency (MPCA) regarding procedure for sealing this well, if deemed necessary. If well replacement is required, the location of the new well will be determined in coordination with the MPCA.Completed Dewatering during construction will require: The developers will obtain a Groundwater Appropriation Permit as required if dewatering will exceed 10,000 gallons per day.Remains valid All water pumped during construction dewatering activities will be discharged in compliance with the City, watershed, and the Minnesota Department of Natural Resources’ requirements and the NPDES permit.No discharge water will be directed to surface waters without prior retention in a temporary settling basin.Remains valid 5.3 EROSION AND SEDIMENTATION Project proposers are required to acquire National Pollutant Discharge Elimination System (NPDES) General Stormwater Permit for Construction Activity from the MPCA prior to initiating earthwork for each phase of project. This permit requires that the MPCA’s Best Management Practices (BMPs) be used to control erosion and that all erosion controls be inspected at least once every seven days and after each rainfall exceeding 0.5 inch of precipitation.Remains valid C i t y c o u n c i l m e e t i n g o f N o v e m b e r 2 0 , 2 0 2 3 ( I t e m N o . 5 d ) T i t l e : W e s t E n d a l t e r n at i v e u r b a n ar e aw i d e r e v i e w ( A U A R ) u p d at e - W ar d 4 P a g e 1 5 The West End AUAR Update November 2023 11 The City will require project proposers to meet the erosion and sediment control regulations in all applicable regulations, ordinances and rules of the City, MPCA, and Minnehaha Creek Watershed District (MCWD).Remains valid The developer will carry out soil correction for the proposed buildings. Existing fill and buried organic soils must be subcut and removed to expose medium dense to dense non-organic granular soils, after which approved compacted backfill must be placed. Possible methods for project building foundations, as recommended in the Preliminary Report of Geotechnical Exploration (AET, Inc., September 2006) include: •Carry out conventional soil correction, which will require dewatering, backfill with approved compacted granular soils and crushed rock, and support the buildings on conventional spread footing foundations. Additional borings and pressure meter testing would be required for this method.Remains valid •Use rammed aggregate piers to improve the existing fill and naturally-occurring soils in situ, and support the buildings on conventional spread footing foundations.Remains valid •Use driven pile foundations, with structural slabs for the lowest levels.Remains valid 5.4 WATER QUALITY – SURFACE WATER RUNOFF The City will require stormwater management systems to be developed in accordance with Minnehaha Creek Watershed District Rules, City ordinances and National Urban Runoff Program standards.Remains valid The City will require project proposers to use techniques that reduce total phosphorus content of proposed runoff by 50 percent, per MCWD requirements.Remains valid The developer will work with MCWD to determine acceptable BMPs and/or treatment systems to accommodate required phosphorous removal. Remains valid The City recommends that project proposers use stormwater management techniques that encourage infiltration of stormwater runoff whenever possible, to maximize the infiltration potential of the AUAR Study Area.Remains valid Implement provisions of the City’s Erosion Control Ordinance that require the use, management and enforcement of BMPs to provide pretreatment of water discharged during and after construction.Remains valid The City will require that the stormwater management system be designed to hold the 100-year event rate on-site and release it at the 10-year event rate, per City standards.Remains valid 5.5 WATER QUALITY – WASTEWATER The City will require that construction and operation of the sanitary system maintain existing City peak flow of 2.37 and no greater than 6.5 peak MGD at M-120 as required by Metropolitan Council Environmental Services (MCES). To accomplish this, the following strategies will be implemented: The City and MCES will monitor flow readings at M-120 after construction of Phases 1 and 2 are complete (retail and one office building), and after a major rain event. No longer applies – capacity no longer a limiting factor. C i t y c o u n c i l m e e t i n g o f N o v e m b e r 2 0 , 2 0 2 3 ( I t e m N o . 5 d ) T i t l e : W e s t E n d a l t e r n at i v e u r b a n ar e aw i d e r e v i e w ( A U A R ) u p d at e - W ar d 4 P a g e 1 6 The West End AUAR Update November 2023 12 Upon completion of Phase 2, flow projections will be re-evaluated based on post-Phase 2 monitoring. Sanitary flow calculations will be re-evaluated at this time. If sanitary flow into M-120 for full development is projected to exceed 6.5 peak MGD prior to planned MCES improvements to the interceptor, the City and developer will coordinate to design and construct appropriate temporary peak flow storage until the MCES interceptor is upgraded or other solutions are implemented. The specific obligations of the developer will be addressed in the Developer’s Agreement for its project.No longer applies – capacity no longer a limiting factor. The City will place priority on inflow and infiltration projects within the flowshed of this interceptor in the next 3 years.No longer applies – capacity no longer a limiting factor. The City will coordinate with MCES to encourage construction and completion of the planned interceptor improvements by the end of 2010, as stated in an MCES letter to City of St. Louis Park dated December 13, 2006.Completed. 5.6 SOLID WASTES, HAZARDOUS WASTES, AND STORAGE TANKS Efforts will be made by the developer to minimize pollution during construction by properly disposing of construction debris in accordance with federal, state and local regulations.Remains valid The developer will inspect, sample, and remove building materials prior to demolition, as required by state law. All asbestos-containing materials or lead-based paint will be disposed of according to state and federal regulations in an MPCA-licensed demolition landfill.No longer applies - all demolition activities complete. Any disturbance of lead-based paint will require compliance with the Occupational Safety and Health Administration (OSHA) Lead in Construction Standard.No longer applies - all demolition activities complete. Other solid waste materials found in the buildings may also require special disposal or recycling prior to demolition, such as fluorescent bulbs, furnace and other utility materials, motors, drinking fountains, electronic equipment, and electrical materials. The developer will handle and dispose of these materials in accordance with state and federal regulations.No longer applies – all demolition activities complete. The City will require that the demolition contractor consider, if applicable, a source separation and recycling plan for concrete, wood, and metal.No longer applies – all demolition activities complete. The developer will remove all tanks and associated underground piping in accordance with applicable state and federal laws.Remains valid Any party that may discover contaminated materials shall follow state law and report immediately to the state duty officer at 651-649-5451 or 800-422-0798.Remains valid C i t y c o u n c i l m e e t i n g o f N o v e m b e r 2 0 , 2 0 2 3 ( I t e m N o . 5 d ) T i t l e : W e s t E n d a l t e r n at i v e u r b a n ar e aw i d e r e v i e w ( A U A R ) u p d at e - W ar d 4 P a g e 1 7 The West End AUAR Update November 2023 13 5.7 TRAFFIC The following list of mitigation strategies includes all of the transportation improvements recommended in the Minneapolis West Redevelopment Traffic Analysis, Final Report, prepared by SRF Consulting Group, Inc. in January 2007. Following approval of the 2007 AUAR, the City of St. Louis Park worked with the developer on the feasibility of, and phasing required for each mitigation strategy, and how each was linked to the proposed development phasing. Responsibility for constructing and funding of these strategies was determined between the City and developer, and was documented in the developer’s agreement. The following mitigation strategies were recommended to be completed prior to the completion of Phases 1 and 2 for all scenarios studied in the 2007 AUAR, with additional mitigation strategies recommended prior to Phase 3. Based on the current level of development, it can be assumed that Phase 1, Phase 2, and part of Phase 3 of development has been completed. This list was reviewed by the City of St. Louis Park to document what mitigation measures have been completed, and which mitigation measures remain, see Figure 3. The analysis completed for this AUAR Update did not identify any additional traffic mitigation measures and the following mitigation measures remain valid as other development, outside of the AUAR boundary, occurs in the area. Phases 1 and 2 Recommended Improvements Park Place Boulevard/I-394 North Ramp: Install a westbound right-turn lane to provide a dual right-turn lane. In addition, modify the signal phasing to provide a right-turn overlap phase and optimize timing.Remains valid but not required as part of AUAR development Park Place Boulevard/I-394 South Ramp Install a northbound right-turn lane to provide a single right-turn lane.Completed Park Place Boulevard/Wayzata Boulevard: Install a southbound left-turn lane to provide dual left-turn lanes. In addition, widen eastbound Wayzata Boulevard to accommodate the dual-left turn lane. Completed Park Place Boulevard/West 16th Street: Modify the westbound approach to provide dual left-turn lanes, one through lane and a right-turn lane. Completed In addition, modify the signal phasing to provide a right-turn overlap phase.Completed Modify the eastbound shared through/left-turn lane to an exclusive left-turn lane to provide dual left-turn lanes. Completed Modify the existing exclusive eastbound right-turn lane to provide a shared through/right-turn lane. Completed Eliminate the current split phasing and optimize the signal timing. Completed C i t y c o u n c i l m e e t i n g o f N o v e m b e r 2 0 , 2 0 2 3 ( I t e m N o . 5 d ) T i t l e : W e s t E n d a l t e r n at i v e u r b a n ar e aw i d e r e v i e w ( A U A R ) u p d at e - W ar d 4 P a g e 1 8 The West End AUAR Update November 2023 14 Quentin Avenue/Wayzata Boulevard: Install a southbound right-turn lane.Completed Install an eastbound right-turn lane.Completed Quentin Avenue/Old Cedar Lake Road: Install a northbound left-turn lane.Remains valid but not required as part of AUAR development Modify the current striping to provide a southbound right-turn lane. Remains valid but not required as part of AUAR development TH 100 East Frontage Road/Old Cedar Lake Road: Modify and widen the westbound approach and re-stripe as two lanes.No longer applies, not elected after evaluation Widen the west end of the concrete island to create a 90-degree T-intersection. No longer applies, not elected after evaluation Phase 3 Recommended Improvements Park Place Boulevard/I-394 South Ramp: Install an eastbound right-turn lane to provide a dual right-turn lane.In addition, modify the signal phasing to provide a right-turn overlap phase. Remains valid but not required as part of AUAR development Park Place Boulevard/Wayzata Boulevard: Install a westbound right-turn lane to provide dual right-turn lanes. Completed In addition, modify the signal phasing to provide a right-turn overlap phase and optimize timing.Completed Install an additional northbound through lane beginning at north of Wayzata Boulevard and ending at the I-394 South Ramp. Completed Park Place Boulevard/West 16th Street: Extend the existing southbound left-turn lane to provide 300 feet of storage. Completed Modify the existing northbound shared through/right-turn lane to a through lane only. Completed Install a northbound right-turn lane. Completed Park Place Boulevard/Gamble Drive: Modify the existing westbound shared through/left-turn lane to an exclusive left-turn lane to provide dual left-turn lanes. Completed C i t y c o u n c i l m e e t i n g o f N o v e m b e r 2 0 , 2 0 2 3 ( I t e m N o . 5 d ) T i t l e : W e s t E n d a l t e r n at i v e u r b a n ar e aw i d e r e v i e w ( A U A R ) u p d at e - W ar d 4 P a g e 1 9 The West End AUAR Update November 2023 15 Convert the existing westbound right-turn lane to a through lane and install an exclusive right- turn lane on this approach. Completed In addition, modify the signal phasing to provide a right- turn overlap phase.Completed Eliminate the current split phasing and optimize the signal timing.Completed Scenario 2 and 4 Recommended Improvements Based on the trip generation estimates, Scenarios 2 and 4 were the most intensive redevelopment scenarios. In addition to the improvements listed above, the following improvements are also recommended to maintain acceptable operations at all key intersections for future year 2010 build conditions under Scenarios 2 and 4. Park Place Boulevard/Wayzata Boulevard Install an additional northbound through lane beginning at West 16th Street, connecting to the through lane recommended at Wayzata Boulevard.Completed as a shared northbound through/right turn lane from the north side of 16th Street to Wayzata Boulevard Install an exclusive northbound right-turn lane.Remains valid but not required as part of AUAR development Even with all of the proposed improvements, it was determined in the 2007 AUAR that the intersection of Park Place Boulevard/West 16th Street, would continue to operate at a poor level of service under the maximum build scenario (Scenario 2). Therefore, it was determined that the adjacent roadway network cannot support the full build (100 percent) of Scenario 2. A sensitivity analysis was conducted and it was concluded that with the improvements identified, the adjacent roadway systems could accommodate 90 percent of the development assumed for Scenario 2, or 90 percent of the estimated peak hour trips under this scenario. Therefore, the final site plan cannot generate traffic that exceeds the following thresholds: •1,320 inbound trips and 528 outbound trips in the A.M. peak hour •1,167 inbound and 1,883 outbound trips in the P.M. peak hour The AUAR Update traffic analysis was compared to these thresholds. Other Improvements Several traffic changes were made since the 2018 AUAR update near the project site that were not listed as recommended improvements: Cedar Lake Rd and Zarthan Ave W Changes to the intersection of Cedar Lake Road and Zarthan Ave S and lanes leading up to the Park Place Blvd Cedar Lake Road intersection. 16th St. W and West End Blvd Install pedestrian-activated flashing lights at the pedestrian crosswalk. Cedar Lake Rd (west of Park Place Blvd) C i t y c o u n c i l m e e t i n g o f N o v e m b e r 2 0 , 2 0 2 3 ( I t e m N o . 5 d ) T i t l e : W e s t E n d a l t e r n at i v e u r b a n ar e aw i d e r e v i e w ( A U A R ) u p d at e - W ar d 4 P a g e 2 0 The West End AUAR Update November 2023 16 Add a cycle track on the south side of Cedar Lake Road west of Park Place Blvd. Quentin Ave S (between Cedar Lake Rd and Old Cedar Lake Rd) Add a shared use trail between Cedar Lake Rd and Old Cedar Lake Rd. City council meeting of November 20, 2023 (Item No. 5d) Title: West End alternative urban areawide review (AUAR) update - Ward 4 Page 21 The West End AUAR Update November 2023 17 Figure 3: Status of Intersection Improvements for Scenario 1 C i t y c o u n c i l m e e t i n g o f N o v e m b e r 2 0 , 2 0 2 3 ( I t e m N o . 5 d ) T i t l e : W e s t E n d a l t e r n at i v e u r b a n ar e aw i d e r e v i e w ( A U A R ) u p d at e - W ar d 4 P a g e 2 2 The West End AUAR Update November 2023 18 TRAFFIC MANAGEMENT MEASURES The cities of St. Louis Park and Golden Valley have established a joint task force, which reviews Travel Demand Management (TDM) Plans for development in the established I-394 overlay zoning district. The AUAR study area lies completely within Zone A of this overlay district (City of St. Louis Park Code, Article IV, Sections 36-321 through 36-330). All developments proposed within the area covered by this overlay district which contain more than 0.6 square foot of gross floor area per each square foot of land area within a lot or parcel shall obtain a conditional use permit which conforms to the terms of this division. The conditional use permit shall contain measures to reduce travel demand within the district, including the following conditions: • A TDM Plan initially shall be prepared when the traffic generated for one hour during the P.M. peak hour three out of five consecutive business days reaches LOS E at more than half of the intersections (I-394 ramps and frontage road intersections) of the Xenia/Park Place interchange. Remains valid • Each development shall monitor the traffic generated by it (the locations and times to be determined by the joint task force) Remains valid • The TDM plans prepared by the owners may require the use of rideshare incentive programs, public transit incentives, bicycle and pedestrian incentive measures, variable work hours or flex- time programs under which employees are required to stagger their work hours, measures to reduce reliance on single-occupancy vehicles, shared parking and the like. Remains valid Based on these criteria and the traffic analysis that was completed for the AUAR study area, a TDM plan was not required for this area under city code. However, the City of St. Louis Park elected to require the development of a TDM plan for this study area, which may reduce the number of traffic improvements that may be required and could also reduce the on-site parking requirements. The TDM plan was required with the Developer Agreement. A TDM plan for the West End was completed in 2008. The measures listed below are intended to encourage residents, employees and visitors of The West End to use alternative modes of transportation instead of driving alone. The implementation of such measures is/will be facilitated by the developer or current building owner(s). (1) Ridesharing incentive programs • Provide information on all of the transportation alternatives, such as: bus-route maps, carpooling, and other information at on-site key locations. Information may be provided to new employees/residents in orientation or welcome packets. Remains valid • Conduct an annual transportation alternatives awareness campaign which will include information on all transportation alternatives. Remains valid (2) Public transit incentive programs • Promote transit through information dissemination. Remains valid • Provide discount bus passes, such as Metro Pass, to provide incentives for transit use. Remains valid (3) Improvements in public transit City council meeting of November 20, 2023 (Item No. 5d) Title: West End alternative urban areawide review (AUAR) update - Ward 4 Page 23 The West End AUAR Update November 2023 19 •Work with Metro Transit to reroute bus service to serve the study area directly, especially the office buildings.Completed. In 2017, major changes were implemented on Routes 9, 25, 604, 649, and 675 in Minneapolis, Golden Valley, St. Louis Park, and Minnetonka centered around the West End near I-394 and Highway 100. •Promote transit use through the provision of transit stops, bus shelters, and bus layover areas within the study area.Remains valid (4)Bicycle and pedestrian incentive measures •Promote bicycling and walking through information dissemination and the provision of bicycle storage facilities (i.e. bike racks and/or bike lockers), with nearby shower facilities for employees biking or walking to work.Remains valid (5)Variable work hours, or flex time •Promote flexible schedules for employees Remains valid •Provide telecommuting information. All residential units will be provided with digital cable access, giving residents the option of subscribing to high speed internet access.Remains valid (6)Measures to reduce the reliance on single-occupancy vehicles: •Promote car and vanpooling through information dissemination and with the assistance of Metro Commuter Services. Incentives such as preferential parking location for carpoolers may be offered as well. Remains valid (7)Provision of less parking area than that required under the provision of this chapter, shared parking arrangements, the incorporation of residential units Remains valid (8)Any other technique or combination of techniques capable of reducing the traffic and related impacts of the proposed use.Remains valid •The plan should designate an individual to act as the traffic management program coordinator to disseminate materials and participate in training or informational sessions about traffic- management programs.Remains valid •Work with delivery vehicles to access the site during off-peak traffic periods.Remains valid 5.8 VISUAL IMPACTS Developer will design lighting to minimize impact on surrounding land uses, and a lighting plan will be developed to comply with City requirements.Remains valid Developer shall consider the effect of sun angles and shade patterns on other buildings, per City requirements. Remains valid City will review lighting impacts on surrounding neighborhoods during the Planned Unit Development (PUD) process.Remains valid Developer will fully screen all cooling towers in accordance with City requirements.Remains valid C i t y c o u n c i l m e e t i n g o f N o v e m b e r 2 0 , 2 0 2 3 ( I t e m N o . 5 d ) T i t l e : W e s t E n d a l t e r n at i v e u r b a n ar e aw i d e r e v i e w ( A U A R ) u p d at e - W ar d 4 P a g e 2 4 The West End AUAR Update November 2023 20 5.9 COMPATIBILITY WITH PLANS Developer will request re-zoning with the City of Golden Valley to ensure that proposed land uses are consistent with current zoning.Completed The proposer will work with the City of St. Louis Park to create a site plan which incorporates all City Code requirements.Remains valid 5.10 GENERAL IMPLEMENTATION TOOLS The proposed development will require an amendment to the City’s current Zoning Ordinance and other City Code and permit requirements.Completed. Approval of plans through the City’s development process, together with the necessary development agreements, which include specific requirements.Remains valid Enforcement of the permitting requirements of all applicable local, state, and federal agencies.Remains valid Update the AUAR if the following conditions or assumptions change in accordance with MN Rules 4410.3610, subp. 3: •Five years have passed since the RGU adopted the original environmental analysis document and plan for mitigation or the latest revision. This item does not apply if all development within the area has been given final approval by the RGU.Remains valid •A comprehensive plan amendment is proposed that would allow an increase in development over the levels assumed in the environmental analysis document.Remains valid •Total development within the area would exceed the maximum levels assumed in the environmental analysis document.Remains valid •A substantial change is proposed in public facilities intended to service development in the area that may result in increased adverse impacts on the environment.Remains valid •Development or construction of public facilities will occur on a schedule other than that assumed in the environmental analysis document or plan for mitigation so as to substantially increase the likelihood or magnitude of potential adverse environmental impacts or to substantially postpone the implementation of identified mitigation measures.Remains valid •New information demonstrates that important assumptions or background conditions used in the analysis presented in the environmental analysis document are substantially in error and that environmental impacts have consequently been substantially underestimated.Remains valid •The RGU determines that other substantial changes have occurred that may affect the potential for, or magnitude of, adverse environmental impacts.Remains valid 6 AUAR UPDATE REVIEW Pursuant to Minnesota Rules 4410.3610 Subp. 7, this AUAR Update is available for a comment period of 10 business days. Once the comment period is over and if no objections are filed by state agencies or the Metropolitan Council, the City of St. Louis Park will adopt the AUAR Update. The West End AUAR will remain valid for an additional five years from the adoption date. C i t y c o u n c i l m e e t i n g o f N o v e m b e r 2 0 , 2 0 2 3 ( I t e m N o . 5 d ) T i t l e : W e s t E n d a l t e r n at i v e u r b a n ar e aw i d e r e v i e w ( A U A R ) u p d at e - W ar d 4 P a g e 2 5 Appendix A. Agency Comments and Comment Responses City council meeting of November 20, 2023 (Item No. 5d) Title: West End alternative urban areawide review (AUAR) update - Ward 4 Page 26 November 2023 1 1. Metropolitan Council Comment Response Section 3. Updated Scenario The AUAR Update describes existing conditions as 877,000 square feet of office space, 267,000 square feet of retail space, apartment buildings with a total of 839 apartments, and a 126-room hotel. This resembles AUAR Scenario #1. A new “2023 Scenario” describes additions to the existing conditions including an additional 350,000 square feet of office space and a new parking structure. The City has allocated household, population, and employment forecasts to transportation analysis zones (TAZs). TAZ #1376, which includes the entire West End Study Area as well as the area west to Cedar Lake Road, may have exceeded the 2040 forecast allocation of 619 households and 1,223 population. The employment forecast allocation remains reasonable for the new “2023 Scenario.” Council staff will reexamine forecasts in upcoming forecast revisions for the Council’s regional development guide. Comment noted. The City will coordinate with the Metropolitan Council to increase the TAZ allocations, if needed. Section 5.7. Mitigation Update – Traffic Metro Transit appreciates being included as a key traffic management measure and encourages the City and its partners to continue to work together to incentivize public transit use for residents and visitors to the area. Thank you for your comment. The North Cedar Lake Regional Trail is approximately 0.3-mile south of the AUAR study area, on the opposite side of the Burlington Northern Santa Fe railroad, but not immediately accessible to bicyclists and pedestrians in this area. (Trail users must access the North Cedar Lake Regional Trail approximately 1.2-mile west, at the Dakota-Edgewood Bikeway and Bridge, or approximately 0.9-mile east.) Council Parks staff Thank you for your comment. City council meeting of November 20, 2023 (Item No. 5d) Title: West End alternative urban areawide review (AUAR) update - Ward 4 Page 27 November 2023 2 2. MnDNR Comment Response As requested, the Minnesota Natural Heritage Information System has been reviewed to determine if the proposed project has the potential to impact any rare species or other significant natural features. Based on the project details provided with the request, I do not believe the proposed project will negatively affect any known occurrences of rare features. To ensure compliance with federal law, conduct a federal regulatory review using the U.S. Fish and Wildlife Service's (USFWS) online Information for Planning and Consultation (IPaC) tool. The Natural Heritage Information System (NHIS), a collection of databases that contains information about Minnesota’s rare natural features, is maintained by the Division of Ecological and Water Resources, Department of Natural Resources. The NHIS is continually updated as new information becomes available, and is the most complete source of data on Minnesota's rare or otherwise significant species, native plant communities, and other natural features. However, the NHIS is not an exhaustive inventory and thus does not represent all of the occurrences of rare features within the state. Therefore, ecologically significant features for which we have no records may exist within the project area. If additional information becomes available regarding rare features in the vicinity of the project, further review may be necessary. For environmental review purposes, the results of this Natural Heritage Review are valid for one year; the results are only valid for the project location and project description provided with the request. If project details change or the project has not occurred within one year, please resubmit the project for review within one year of initiating project activities. Thank you for your review and comment. Comment Response appreciate the improvements that have been made since the 2018 AUAR update that promote bicycle and pedestrian safety, including installing pedestrian-activated flashing lights at the intersection of 16th Street West and West End Boulevard and adding a cycle track on the south side of Cedar Lake Road west of Park Place Boulevard. City council meeting of November 20, 2023 (Item No. 5d) Title: West End alternative urban areawide review (AUAR) update - Ward 4 Page 28 November 2023 3 Comment Response The Natural Heritage Review does not constitute project approval by the Department of Natural Resources. Instead, it identifies issues regarding known occurrences of rare features and potential impacts to these rare features. Visit the Natural Heritage Review website for additional information regarding this process, survey guidance, and other related information. For information on the environmental review process or other natural resource concerns, you may contact your DNR Regional Environmental Assessment Ecologist. Please include a copy of this letter and the MCE-generated Final Project Report in any state or local license or permit application. Thank you for consulting us on this matter, and for your interest in preserving Minnesota's rare natural resources. 3. US Army Corps of Engineers Comment Response This letter is in response to correspondence we received from Kimley-Horn regarding the West End Final Alternative Urban Areawide Review Update study. This letter contains our initial comments on this project for your consideration. The purpose of this letter is to inform you that based on the West End AUAR Update dated September 2023 for the project referenced above, a Department of the Army (DA) permit would not be required for your proposed activity. In lieu of a specific response, please consider the following general information concerning our regulatory program that may apply to the proposed project. If the proposal involves activity in navigable waters of the United States, it may be subject to the Corps of Engineers’ jurisdiction under Section 10 of the Rivers and Harbors Act of 1899 (Section 10). Section 10 prohibits the construction, excavation, or deposition of materials in, over, or under navigable waters of the United States, or any work that would affect the course, location, condition, or capacity of those waters, unless the work has been authorized by a Department of the Army permit. If the proposal involves discharge of dredged or fill material into waters of the United States, it may be subject to the Corps of Engineers’ jurisdiction under Section 404 of the Clean Water Act (CWA Section 404). Waters of the United States include navigable waters, their Thank you for your review and comment. City council meeting of November 20, 2023 (Item No. 5d) Title: West End alternative urban areawide review (AUAR) update - Ward 4 Page 29 November 2023 4 Comment Response tributaries, and adjacent wetlands (33 CFR § 328.3). CWA Section 301(a) prohibits discharges of dredged or fill material into waters of the United States, unless the work has been authorized by a Department of the Army permit under Section 404. Information about the Corps permitting process can be obtained online at http://www.mvp.usace.army.mil/regulatory. The Corps evaluation of a Section 10 and/or a Section 404 permit application involves multiple analyses, including (1) evaluating the proposal’s impacts in accordance with the National Environmental Policy Act (NEPA) (33 CFR part 325), (2) determining whether the proposal is contrary to the public interest (33 CFR § 320.4), and (3) in the case of a Section 404 permit, determining whether the proposal complies with the Section 404(b)(1) Guidelines (Guidelines) (40 CFR part 230). If the proposal requires a Section 404 permit application, the Guidelines specifically require that “no discharge of dredged or fill material shall be permitted if there is a practicable alternative to the proposed discharge which would have less adverse impact on the aquatic ecosystem, so long as the alternative does not have other significant adverse environmental consequences” (40 CFR § 230.10(a)). Time and money spent on the proposal prior to applying for a Section 404 permit cannot be factored into the Corps’ decision whether there is a less damaging practicable alternative to the proposal. If an application for a Corps permit has not yet been submitted, the project proposer may request a pre-application consultation meeting with the Corps to obtain information regarding the data, studies or other information that will be necessary for the permit evaluation process. A pre-application consultation meeting is strongly recommended if the proposal has substantial impacts to waters of the United States, or if it is a large or controversial project. If you have any questions, please contact Raelene Hegge in our St. Paul office at (651)290-5355 or Raelene.Hegge@usace.army.mil. In any correspondence or inquiries, please refer to the Regulatory file number shown above. City council meeting of November 20, 2023 (Item No. 5d) Title: West End alternative urban areawide review (AUAR) update - Ward 4 Page 30 November 2023 5 4. US EPA Comment Response EPA’s NEPA program is in receipt of the City of St. Louis Park’s email requesting comments on the Notice of Availability for the West End Alternative Urban Areawide Review (AUAR) Update in Hennepin County, MN. At this time, due to staffing constraints, EPA will not be reviewing or providing comments on the documents you submitted. However, we appreciate you notifying of us the document’s availability. To ensure that all City of St. Louis Park’s planning and NEPA documents are received by the NEPA program, please be sure to continue to submit all NEPA-related documents and requests to the EPA Region 5 NEPA email box at R5NEPA@epa.gov. Thank you for letting us know. We will continue to submit documents in the future to the Region 5 email provided. City council meeting of November 20, 2023 (Item No. 5d) Title: West End alternative urban areawide review (AUAR) update - Ward 4 Page 31 Metropolitan Council (Regional Office & Environmental Services) 390 Robert Street North, Saint Paul, MN 55101-1805 P 651.602.1000 | F 651.602.1550 | TTY 651.291.0904 metrocouncil.org An Equal Opportunity Employer October 17, 2023 Sean Walther, Planning Manager City of St. Louis Park 5005 Minnetonka Boulevard St. Louis Park, MN 55416 RE: City of St. Louis Park - Alternative Urban Areawide Review [Update] (AUAR) – The West End Metropolitan Council Review File No. 19929-5 Metropolitan Council District No. 8 Dear Sean Walther: Metropolitan Council received The West End AUAR Update on September 28, 2023. The AUAR Update represents the 5-year update required under environmental rules for a study area of approximately 48.6 acres located at the southwest corner of I-394 and Trunk Highway 100. Metropolitan Council staff completed its review of The West End AUAR Update to determine its accuracy and completeness in addressing regional concerns. Staff concludes that the AUAR Update is complete and accurate with respect to regional concerns and does not raise major issues of consistency with Council policies. However, staff offers the following comments for your consideration: Section 3. Updated Scenario (Todd Graham, 651-602-1322) The AUAR Update describes existing conditions as 877,000 square feet of office space, 267,000 square feet of retail space, apartment buildings with a total of 839 apartments, and a 126-room hotel. This resembles AUAR Scenario #1. A new “2023 Scenario” describes additions to the existing conditions including an additional 350,000 square feet of office space and a new parking structure. The City has allocated household, population, and employment forecasts to transportation analysis zones (TAZs). TAZ #1376, which includes the entire West End Study Area as well as the area west to Cedar Lake Road, may have exceeded the 2040 forecast allocation of 619 households and 1,223 population. The employment forecast allocation remains reasonable for the new “2023 Scenario.” Council staff will reexamine forecasts in upcoming forecast revisions for the Council’s regional development guide. Section 5.7. Mitigation Update – Traffic (Ben Picone, 612-349-7679) Metro Transit appreciates being included as a key traffic management measure and encourages the City and its partners to continue to work together to incentivize public transit use for residents and visitors to the area. Section 5.7. Mitigation Update – Traffic (Colin Kelly, 651-602-1361) The North Cedar Lake Regional Trail is approximately 0.3-mile south of the AUAR study area, on the opposite side of the Burlington Northern Santa Fe railroad, but not immediately accessible to bicyclists and pedestrians in this area. (Trail users must access the North Cedar Lake Regional City council meeting of November 20, 2023 (Item No. 5d) Title: West End alternative urban areawide review (AUAR) update - Ward 4 Page 32 Page - 2 | October 17, 2023 | METROPOLITAN COUNCIL Trail approximately 1.2-mile west, at the Dakota-Edgewood Bikeway and Bridge, or approximately 0.9-mile east.) Council Parks staff appreciate the improvements that have been made since the 2018 AUAR update that promote bicycle and pedestrian safety, including installing pedestrian- activated flashing lights at the intersection of 16th Street West and West End Boulevard and adding a cycle track on the south side of Cedar Lake Road west of Park Place Boulevard. The Council will not take formal action on the AUAR Update. If you have any questions or need further information, please contact Michael Larson, Principal Reviewer, at 651-602-1407 or via email at Michael.Larson@metc.state.mn.us. Sincerely, Angela R. Torres, AICP, Senior Manager Local Planning Assistance CC:Tod Sherman, Development Reviews Coordinator, MnDOT - Metro Division Anjuli Cameron, Metropolitan Council District No. 8 Judy Sventek, Water Resources Manager Michael Larson, Sector Representative/ Principal Reviewer Reviews Coordinator N:\CommDev\LPA\Communities\St. Louis Park\Letters\St. Louis Park 2023 The West End AUAR Update 19929-5.docx C i t y c o u n c i l m e e t i n g o f N o v e m b e r 2 0 , 2 0 2 3 ( I t e m N o . 5 d ) T i t l e : W e s t E n d a l t e r n at i v e u r b a n ar e aw i d e r e v i e w ( A U A R ) u p d at e - W ar d 4 P a g e 3 3 Minnesota Department of Natural Resources Division of Ecological & Water Resources 500 Lafayette Road, Box 25 St. Paul, MN 55155-4025 November 1, 2023 Correspondence # MCE 2023-00510 Madeline Roess Kimley-Horn and Associates, Inc. RE: Natural Heritage Review of the proposed West End AUAR Update, T29N R24W Section 30, Hennepin County Dear Madeline Roess, As requested, the Minnesota Natural Heritage Information System has been reviewed to determine if the proposed project has the potential to impact any rare species or other significant natural features. Based on the project details provided with the request, I do not believe the proposed project will negatively affect any known occurrences of rare features. To ensure compliance with federal law, conduct a federal regulatory review using the U.S. Fish and Wildlife Service's (USFWS) online Information for Planning and Consultation (IPaC) tool. The Natural Heritage Information System (NHIS), a collection of databases that contains information about Minnesota’s rare natural features, is maintained by the Division of Ecological and Water Resources, Department of Natural Resources. The NHIS is continually updated as new information becomes available, and is the most complete source of data on Minnesota's rare or otherwise significant species, native plant communities, and other natural features. However, the NHIS is not an exhaustive inventory and thus does not represent all of the occurrences of rare features within the state. Therefore, ecologically significant features for which we have no records may exist within the project area. If additional information becomes available regarding rare features in the vicinity of the project, further review may be necessary. For environmental review purposes, the results of this Natural Heritage Review are valid for one year; the results are only valid for the project location and project description provided with the request. If project details change or the project has not occurred within one year, please resubmit the project for review within one year of initiating project activities. City council meeting of November 20, 2023 (Item No. 5d) Title: West End alternative urban areawide review (AUAR) update - Ward 4 Page 34 Page 2 of 2 The Natural Heritage Review does not constitute project approval by the Department of Natural Resources. Instead, it identifies issues regarding known occurrences of rare features and potential impacts to these rare features. Visit the Natural Heritage Review website for additional information regarding this process, survey guidance, and other related information. For information on the environmental review process or other natural resource concerns, you may contact your DNR Regional Environmental Assessment Ecologist . Please include a copy of this letter and the MCE-generated Final Project Report in any state or local license or permit application. Thank you for consulting us on this matter, and for your interest in preserving Minnesota's rare natural resources. Sincerely, James Drake Natural Heritage Review Specialist James.F.Drake@state.mn.us City council meeting of November 20, 2023 (Item No. 5d) Title: West End alternative urban areawide review (AUAR) update - Ward 4 Page 35 DEPARTMENT OF THE ARMY U.S. ARMY CORPS OF ENGINEERS, ST. PAUL DISTRICT 332 MINNESOTA STREET, SUITE E1500 ST. PAUL, MN 55101-1323 October 18, 2023 Regulatory File No. MVP-2018-03121-RMH City of St Louis Park c/o: Sean Walther 5005 Minnetonka Blvd St. Louis Park MN 55416 SWalther@stlouisparkmn.gov Dear Sean Walther: This letter is in response to correspondence we received from Kimley-Horn regarding the West End Final Alternative Urban Areawide Review Update study.This letter contains our initial comments on this project for your consideration. The purpose of this letter is to inform you that based on the The West End AUAR Update dated September 2023 for the project referenced above, a Department of the Army (DA) permit would not be required for your proposed activity. In lieu of a specific response, please consider the following general information concerning our regulatory program that may apply to the proposed project. If the proposal involves activity in navigable waters of the United States, it may be subject to the Corps of Engineers’ jurisdiction under Section 10 of the Rivers and Harbors Act of 1899 (Section 10). Section 10 prohibits the construction, excavation, or deposition of materials in, over, or under navigable waters of the United States, or any work that would affect the course, location, condition, or capacity of those waters, unless the work has been authorized by a Department of the Army permit. If the proposal involves discharge of dredged or fill material into waters of the United States, it may be subject to the Corps of Engineers’ jurisdiction under Section 404 of the Clean Water Act (CWA Section 404). Waters of the United States include navigable waters, their tributaries, and adjacent wetlands (33 CFR § 328.3). CWA Section 301(a) prohibits discharges of dredged or fill material into waters of the United States, unless the work has been authorized by a Department of the Army permit under Section 404. Information about the Corps permitting process can be obtained online at http://www.mvp.usace.army.mil/regulatory. The Corps evaluation of a Section 10 and/or a Section 404 permit application involves multiple analyses, including (1) evaluating the proposal’s impacts in accordance with the National Environmental Policy Act (NEPA) (33 CFR part 325), (2) determining whether the proposal is contrary to the public interest (33 CFR § 320.4), and (3) in the case of a Section 404 permit, determining whether the proposal complies with the Section 404(b)(1) Guidelines (Guidelines) (40 CFR part 230). If the proposal requires a Section 404 permit application, the Guidelines specifically require that “no discharge of dredged or fill material shall be permitted if there is a practicable alternative to the proposed discharge which would have less adverse impact on the aquatic ecosystem, so long as the alternative does not have other significant adverse environmental consequences” (40 CFR § 230.10(a)). Time and money spent on the proposal prior to applying City council meeting of November 20, 2023 (Item No. 5d) Title: West End alternative urban areawide review (AUAR) update - Ward 4 Page 36 Regulatory Branch (File No. MVP-2018-03121-RMH) for a Section 404 permit cannot be factored into the Corps’ decision whether there is a less damaging practicable alternative to the proposal. If an application for a Corps permit has not yet been submitted, the project proposer may request a pre-application consultation meeting with the Corps to obtain information regarding the data, studies or other information that will be necessary for the permit evaluation process. A pre-application consultation meeting is strongly recommended if the proposal has substantial impacts to waters of the United States, or if it is a large or controversial project. If you have any questions, please contact Raelene Hegge in our St. Paul office at (651) 290-5355 or Raelene.Hegge@usace.army.mil. In any correspondence or inquiries, please refer to the Regulatory file number shown above. Sincerely, Raelene Hegge Regulatory Specialist cc: Leila Bunge, Agent (Leila.Bunge@kimley-horn.com) City council meeting of November 20, 2023 (Item No. 5d) Title: West End alternative urban areawide review (AUAR) update - Ward 4 Page 37 1 From: EPA Region 5 NEPA Program <R5NEPA@epa.gov> Sent: Friday, September 29, 2023 4:27 PM To: Bunge, Leila <Leila.Bunge@kimley-horn.com> Cc: Sean Walther <SWalther@stlouisparkmn.gov> Subject: RE: Notice of Availability for the West End AUAR Update - City of St. Louis Park, Hennepin County, MN Good afternoon, Leila- EPA’s NEPA program is in receipt of the City of St. Louis Park’s email requesting comments on the Notice of Availability for the West End Alternative Urban Areawide Review (AUAR) Update in Hennepin County, MN. At this time, due to staffing constraints, EPA will not be reviewing or providing comments on the documents you submitted. However, we appreciate you notifying of us the document’s availability. To ensure that all City of St. Louis Park’s planning and NEPA documents are received by the NEPA program, please be sure to continue to submit all NEPA-related documents and requests to the EPA Region 5 NEPA email box at R5NEPA@epa.gov. Thanks, Krystle McClain City council meeting of November 20, 2023 (Item No. 5d) Title: West End alternative urban areawide review (AUAR) update - Ward 4 Page 38 Meeting: City council Meeting date: November 20, 2023 Consent agenda item: 5e Executive summary Title: Resolution authorizing alternating stop conditions on 29th Street between Louisiana and Texas Avenues (traffic study no. 781) – Ward 3 Recommended action: Motion to adopt the following resolutions: •Rescind existing resolutions 5545, 20-049, 14-059 pertaining to existing stop sign controls along 29th Street between Louisiana and Texas Avenues. •Authorize installation of alternating stop conditions along 29th Street between Louisiana and Texas Avenues. Policy consideration: Does the city council support the installation of alternating stop control on 29th Street between Louisiana and Texas Avenues? Summary: Staff received a request to reduce driver confusion at the intersection of 29th Street and Pennsylvania Avenue by installing stop signs. The current intersection is uncontrolled. Another request was received to add stop signs to the intersection of 29th Street and Maryland Avenue. This intersection currently is two-way stop controlled. There are seven intersections in the 29th Street corridor between Louisiana and Texas Avenues. Two of the seven intersections are uncontrolled. A review of the remaining five controlled intersections suggests that each intersection was evaluated independently of each other. This has resulted in a mix of controlled and uncontrolled intersections. In the fall of 2022, council directed staff to use a systems approach to the evaluation of intersection control instead of intersection by intersection. Staff developed an alternating stop control pattern for the corridor – stop signs at every other intersection. This stop control pattern, often referred to as a basket-weave, had minimal impact on the traffic controls in place today. The configuration was shared with 329 residents within the Texa Tonka Neighborhood, which is bordered by 28th Street in the north, Minnetonka Boulevard to the south, Louisiana Avenue to the east, and Texas Avenue to the west. More information on questions from the neighborhood can be found in the discussion section of the report. Staff is recommending an alternating stop control pattern along 29th Street between Louisiana Avenue and Texas Avenue, as illustrated in the attached location map. Financial or budget considerations: The cost of installing these stop signs is estimated to be $2,000 and is expected to come from the general operating budget. Similar traffic signs last roughly ten years in the field. 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, resolutions 5545, 20-049, 14-059 – to be rescinded, location map Prepared by: Kerrwin Dempsey, engineering technician III Jack Sullivan, engineering project manager Reviewed by: Debra Heiser, engineering director Approved by: Cindy Walsh, deputy city manager Page 2 City council meeting of November 20, 2023 (Item No. 5e) Title: Resolution authorizing alternating stop conditions on 29th Street between Louisiana and Texas Avenues (traffic study no. 781) – Ward 3 Discussion Background: Staff received a request to reduce driver confusion at the intersection of 29th Street and Pennsylvania Avenue by installing stop signs. The current intersection is uncontrolled. Another request was received to add stop signs to the intersection of 29th Street and Maryland Avenue. This intersection currently is two-way stop controlled. Past practice for stop sign requests was to review each intersection traffic control request as a stand-alone request. If the intersection did not meet certain requirements, the traffic committee did not recommend the installation of stop signs. When a stop sign was not recommended, the requestor could submit a petition to the city council to reconsider this recommendation. In the fall of 2022, during the connected infrastructure study session system, this approach to traffic controls was discussed with the city council. The past practice resulted in a reactive approach to traffic safety within the community, considering traffic control as an individual choice instead of as a system. The council directed staff to use a systems approach to the evaluation of intersection control instead of intersection by intersection. Following this direction, staff has been working on developing a systems approach to traffic requests. Staff reviewed 29th Street between Louisiana and Texas avenues to see how all of the intersections within the corridor were controlled. There are seven intersections in the corridor between Louisiana and Texas avenues. Two have no controls, two have east- and westbound controls, and three have north- and southbound controls. This seven-intersection segment of 29th Street is a great candidate to utilize a systems approach to traffic control due to the mix of existing intersection controls and grid street network bordered on all four sides by higher volume roadways. The findings showed inconsistent traffic control, resulting in no discernable pattern in the current control configuration of the seven intersections. This can lead to driver confusion. Traffic review and recommendation: The Minnesota Manual of Uniform Traffic Control Devices (MnMUTCD) guides the installation of stop signs. The MnMUTCD sets out warrant criteria that an intersection should meet to have stop signs installed. The criteria include intersection volume, number of crashes and intersection visibility. None of the intersections along 29th Street meet the warrant criteria typically used to recommend stop signs. However, removal of all the stop signs is not recommended. Instead, after a review of the corridor and surrounding intersection traffic control, staff recommends the installation of alternating stop sign pattern (stop signs at every other intersection), otherwise known as a basket-weave. This creates a repeatable pattern, resulting in a more predictable approach to vehicle right of way control along 29th Street. Basket-weave implementation has been shown to reduce accidents and increase stop sign compliance. Using this stop sign pattern, a vehicle traveling on 29th Street would stop at every other intersection. The result will provide stop signs at every other intersection for drivers on 29th Street as follows and is illustrated on the attached map: Page 3 City council meeting of November 20, 2023 (Item No. 5e) Title: Resolution authorizing alternating stop conditions on 29th Street between Louisiana and Texas Avenues (traffic study no. 781) – Ward 3 Intersection Action Result – stop signs are located on Maryland Avenue No change 29th Street approaches Nevada Avenue No change Nevada Avenue approaches Oregon Avenue Rotate signs 29th Street approaches (from Oregon Avenue approaches) Pennsylvania Avenue New Pennsylvania Avenue approaches Quebec Avenue Rotate signs 29th Street approaches (from Quebec Avenue approaches) Rhode Island Avenue Rotate signs Rhode Island approaches (from 29th Street approaches) Sumter Avenue New 29th Street approaches Community questions: A letter was sent out to the 329 addresses within the Texa Tonka Neighborhood, which is bordered by 28th Street in the north, Minnetonka Boulevard to the south, Louisiana Avenue to the east, and Texas Avenue to the west. The letter and graphic informed the residents that a basket-weave pattern for traffic controls is recommended on 29th Street between Louisiana and Texas avenues. Residents were encouraged to contact the engineering department with questions. Staff was contacted by ten individuals in the neighborhood. Two comments were made in support of the plan. The remaining eight individuals had questions about the changes at the intersection of 29th Street and Oregon Avenue. To establish an alternating pattern on 29th Street, the stop signs at this intersection are recommended to be rotated to stop traffic on 29th Street instead of Oregon Avenue. The two main concerns communicated to staff were that vehicle speeds on Oregon Avenue may increase without a north-south stop sign and that stopping along 29th Street may be challenging with the hill to the east. Staff responded to these questions by providing the following information regarding the recommended stop sign changes: •National research has shown that stop signs do not have a lasting impact on traffic speed. Stop signs tend to reduce speed only in the immediate vicinity of the sign; vehicles are able to accelerate to the previous speed very quickly beyond the stop sign. •Review of the stop sign history at this intersection showed that the initial reasoning for the resident requesting and city installing the stop signs on 29th Street was limited visibility caused by the hill to the east. Rotating the stop signs from Oregon Avenue to 29th Street still addresses the limited sight lines. •Public works staff were consulted to determine if rotating these stop signs would create challenges in the winter due to the hill to the east. They indicated that it would not. Schedule: Implementation of the alternating stop signs on 29th Street between Louisiana and Texas Avenues will be completed before winter. Page 4 City council meeting of November 20, 2023 (Item No. 5e) Title: Resolution authorizing alternating stop conditions on 29th Street between Louisiana and Texas Avenues (traffic study no. 781) – Ward 3 Resolution No. 23 - ____ Rescind resolutions 5545, 20-049, 14-059 Traffic Study No. 781 Whereas, the city received requests to install stop signs along 29th Street between Louisiana and Texas Avenues; and Whereas, staff used a systems approach to evaluate intersection controls along 29th Street between Louisiana and Texas Avenues; and Whereas, staff has reviewed the requests and recommended the installation of alternating stop signs for 29th Street between Louisiana and Texas Avenues; and Whereas, the alternating control pattern will require rescinding the three existing resolutions, which authorized the installation of stop signs at intersections along 29th Street at Rhode Island, Quebec and Oregon Avenues; and Now therefore be it resolved by the City Council of the City of St. Louis Park, Minnesota that the engineering director is authorized to: 1.Rescind resolution 5545, 29th Street and Rhode Island. 2.Rescind resolution 20-049, 29th Street and Quebec Avenue. 3.Rescind resolution 14-059, 29th Street and Oregon Avenue. Reviewed for administration: Adopted by the city council November 20, 2023 Kim Keller, city manager Jake Spano, mayor Attest: Melissa Kennedy, city clerk Page 5 City council meeting of November 20, 2023 (Item No. 5e) Title: Resolution authorizing alternating stop conditions on 29th Street between Louisiana and Texas Avenues (traffic study no. 781) – Ward 3 Resolution No. 23 -___ Authorize alternating stop conditions on 29th Street between Louisiana and Texas Avenues Traffic Study No. 781 Whereas, the city received requests to install stop signs along 29th Street between Louisiana and Texas Avenues; and Whereas, staff used a systems approach to evaluate intersection controls along 29th Street between Louisiana and Texas Avenues; and Whereas, staff has reviewed the requests and recommended the installation of alternating stop signs for 29th Street between Louisiana and Texas Avenues; and Whereas, the alternating control pattern will require resolutions to install stop signs at intersections along 29th Street between Louisiana and Texas Avenues; and Whereas, stop signs already exist in the alternating traffic control pattern at the intersection of 29th Street at Maryland and Nevada Avenues; and Now therefore be it resolved by the City Council of the City of St. Louis Park, Minnesota that the engineering director is authorized to: 1.Install stop signs on 29th Street at Oregon Avenue (east and west approaches). 2.Install stop signs on Pennsylvania Avenue at 29th Street (north and south approaches). 3.Install stop signs on 29th Street at Quebec Avenue (east and west approaches). 4.Install stop signs on Rhode Island Avenue at 29th Street (north and sound approaches). 5.Install stop signs on 29th Street at Sumter Avenue (east and west approaches). Reviewed for administration: Adopted by the city council November 20, 2023 Kim Keller, city manager Jake Spano, mayor Attest: Melissa Kennedy, city clerk !"$!"$!"$29TH ST W MINNETONKA BLVD 28TH ST W LOUISIANA C T VICT RHODE ISLAND AVE SVIRGINIAAVESTEXAS AVE SSUMTER AVE SLOUISIANAAVE SUTAH AVE SPENNSYLVANIA AVE SOREGON AVE SNEVADA AVE SMARYLAND AVE SQUEBEC AVE STEXA T ON K A AVE!"$!"$!"$!"$!"$!"$!"$!"$ !"$!"$!"$!"$!"$!"$!"$!"$!"$!"$!"$!"$!"$!"$!"$!"$!"$!"$!"$!"$!"$!"$!"$!"$!"$!"$!"$!"$ !"$!"$!"$!"$!"$!"$!"$!"$!"$ Texa-Tonka/Lake Victoria Park Texa-Tonka/Lake Victoria Park Rainbow Park Rainbow Park Ainsworth Park Ainsworth Park !"$!"$!"$29TH ST W MINNETONKA BLVD 28TH ST W RHODE ISLAND AVE STEXAS AVE SSUMTER AVE SLOUISIANAAVESPENNSYLVANIA AVE SOREGON AVE SNEVADA AVE SMARYLAND AVE SQUEBEC AVE S!"$!"$!"$!"$!"$!"$!"$!"$!"$!"$ Current Vehicle right of way No change to stop signs Stop signs switched Stop signs added¯0 500250 Feet Date: 6/29/2023 == LOUISIANA CT VIRGI NI A A VE S = Vehicle right of way City council meeting of November 20, 2023 (Item No. 5e) Title: Resolution authorizing alterating stop conditions on 29th Street between Louisiana and Texas avenues (traffic study no. 781) - Ward 3 Page 6 Meeting: City council Meeting date: November 20, 2023 Consent agenda item: 5f Executive summary Title: Approval of retainer for Per- and Polyfluorinated Substances settlement Recommended action: Recommend entering into an agreement with Lockridge Grindal Nauen P.L.L.P. and Napoli Shkolnik PLLC to represent the city in a Per- and Polyfluorinated Substances settlement. Policy consideration: Does the council approve of the city entering into this agreement? Summary: Staff is asking for council action to approve a retainer with Lockridge Grindal Nauen and Napoli Shkolnik PLLC to represent us in a Per- and Polyfluorinated Substances (PFAS) settlement with 3M and DuPont. As the entity that provides public water to the residents of St. Louis Park, the city has an opportunity to join the class action settlements and hold the various corporations responsible that were responsible for contaminating the groundwater with PFAS chemicals. We are below the proposed EPA standards for PFAS. Although there are not any current maximum containment levels (MCL) set yet by EPA, our city water has consistently tested at or better than EPA standards for PFAS. Financial or budget considerations: The representation would be on a contingent fee basis as reflected in the proposed retainer agreement. Strategic priority consideration: St. Louis Park is committed to continue to lead in environmental stewardship. Supporting documents: Lockridge Grindal Nauen P.L.L.P. and Napoli Shkolnik PLLC Prepared by: Cindy Walsh, deputy city manager Reviewed by: Soren Mattick, city attorney Approved by: Kim Keller, city manager City council meeting of November 20, 2023 (Item No. 5f) Page 2 Title: Approval of retainer for Per- and Polyfluorinated Substances settlement Discussion Background: Per- and Polyfluorinated Substances (PFAS) are a large, complex group of synthetic chemicals that have been used in consumer products around the world since about the 1950s. They are ingredients in various everyday products. For example, PFAS are used to keep food from sticking to packaging or cookware, make clothes and carpets resistant to stains, and create firefighting foam that is more effective. They are also known as “forever chemicals” as they do not degrade easily and some PFAS can build up over time from repeated exposure in animal and human blood levels that can cause health problems such as liver damage, thyroid disease, obesity, fertility issues and cancer. St. Louis Park and cities across Minnesota are being approached to join a class action settlement regarding PFAS chemicals found in public water supplies. We are below the proposed EPA standards for PFAS. Although there are not any current maximum containment levels (MCL) set yet by EPA, our city water has consistently tested at or better than EPA standards for PFAS. Current considerations: As the entity that provides public water to the residents of St. Louis Park, the city has an opportunity to join the class action settlements and hold the various corporations responsible that were responsible for contaminating the groundwater with PFAS chemicals. To date, DuPont and 3M recently entered into settlements to resolve claims by public water supply systems relating to the impacts of PFAS on their water supplies. The settlements apply on a class-wide basis and include all active public water supply systems that either have impacted water sources or are required to test for PFAS. The City of St. Louis Park is included within the class covered by the settlements. The city has three options: 1. It can opt-out of the settlement and pursue its own claims against DuPont and 3M. 2. It can remain in the class and submit a claim or object to the settlement. 3. It can do nothing (in which case it remains in the class and releases potential claims against 3M and DuPont but receives nothing from the settlement). While there are three paths forward, option 2 puts the city in the best position to appropriately handle PFAS litigation. Based on advice from our city attorney, staff recommends that the city retain Lockridge Grindal Nauen P.L.L.P. and Napoli Shkolnik PLLC to represent St. Louis Park in connection with PFAS litigation. City staff and the city attorney have met with outside counsel and believe this is the best path forward. The representation would include advising the city regarding its options related to the 3M and DuPont settlements; taking all necessary actions on behalf of the city to either participate in, or opt out of, the settlements; working to maximize the city’s recovery throughout the term of the settlements; and initiating and pursuing litigation on behalf of the city against all remaining defendants related to public water supply issues and against all defendants (including DuPont and 3M) addressing all other PFAS-related claims the city may have against PFAS manufacturers. City council meeting of November 20, 2023 (Item No. 5f) Page 3 Title: Approval of retainer for Per- and Polyfluorinated Substances settlement Next steps: Upon receiving support from council, staff will finalize the retainer with Lockridge Grindal Nauen and Napoli Shkolnik PLLC to represent us in the 3M and DuPont settlements. 1 4871-5068-9422, v. 1 RETAINER AGREEMENT The City of St. Louis Park, Minnesota (“Client”) retain the Law Firms of Lockridge Grindal Nauen P.L.L.P. and Napoli Shkolnik (collectively “Law Firms”) , as our attorneys to prosecute any legal claim for negligence (or other viable causes of action) against any and all parties individuals and/or corporations that are found to be liable under the law for injuries and/or property damages suffered by us and/or our members arising out of the contamination of water supplies by per- and polyfluoroalkyl substances (PFAS) and other hazardous water contaminants. We specifically agree as follows: 1. FEE PERCENTAGE: Client and Law Firms agree that the Law Firms shall be paid Twenty-Five Percent (25%) of the sum recovered, whether by suit, settlement or otherwise. Client will not be liable to pay the Law Firms if there is not any form of recovery. 2. DISBURSEMENTS: In the event there is no recovery, the Client shall not be obligated to pay the Law Firms any fees for services rendered, including disbursements. Disbursements may include some of the following expenses: court filing fees, sheriff fees, medical and hospital report/record fees, doctor’s report, court stenographer fees, deposition costs, expert fees for expert depositions and court appearances, trial exhibits, computer on-line search fees, express mail, postage, photocopy charges, document management charges, long distance telephone charges among other charges. Document management charges are the fees charged by the law firm for processing documents during litigation, such as medical records, documents produced by defendant(s) and/or other parties, etc. Processing of the documents may include but is not limited to the following: (1) scanning; (2) conversion of native files to PDF documents; (3) OCR (optical code recognition); and/or (4) indexing. At the time of settlement and distribution of proceeds, these expenses shall be deducted from the Client’ share after computation of the Attorney’s Fee. 3. COMPUTATION OF FEES. The contingency fee shall be computed on the gross recovery, resulting in a net settlement (or judgment), from which all appropriate disbursements in connection with the institution and prosecution of this claim is deducted, as set forth in paragraph 2 above. Examples of how a contingency fee is computed are as follows: Gross settlement $100.00 25% Attorney’s Fee $ 25.00 Net settlement $ 75.00 Disbursements - $ 10.00 Net to Client $ 65.00 City council meeting of November 20, 2023 (Item No. 5f) Title: Approval of retainer for Per- and Polyfluorinated Substances settlement Page 4 2 4871-5068-9422, v. 1 4. WITHDRAWAL: The Law Firms expressly reserve the right to withdraw their representation at any time upon reasonable notification to the Client. In the event that the Client advise the Law Firms to discontinue the handling of this claim, or if the Client fail to cooperate with the Law Firms in the handling of this claim, Client agree to compensate the Law Firms a reasonable amount for their services, and for the time spent on this claim on an hourly basis or under such other arrangement that may be agreed upon by the parties. The Client understand that the Law Firms have conditionally accepted this case based upon independent confirmation of all facts and injuries claimed to have been sustained by Client. In the event that the Client desire to transfer the file from this office, the Client shall be responsible to compensate the Law Firms for the reasonable value of their services. Such transfer shall not include documents or attorney work product regarding the general liability of the defendants. 5. APPEALS: The above contingency fee does not contemplate any appeal. The Law Firms are under no duty to perfect or prosecute such appeal until a satisfactory fee arrangement is made in writing regarding costs and counsel fees. 6. STATUTE OF LIMITATIONS: We understand that any lawsuit must be commenced within a certain limited time period, (that may vary, depending upon the defendant) starting from the "discovery of the injury" or of "the date when through the exercise of reasonable diligence such injury should have been discovered… whichever is earlier". We further understand that the Statute of Limitations period for any case must be investigated, and that this Agreement is made subject to that investigation as well as an investigation of the entire case. 8. RESULTS NOT GUARANTEED: No attorney can accurately predict the outcome of any legal matter, accordingly, no representations are made, either expressly or impliedly, as to the final outcome of this matter. We further understand that we must immediately report any changes in address and telephone number to the Law Firms. 9. AUTHORIZATION TO INITIATE LITIGATION: Attorneys are hereby authorized to initiate litigation on behalf of Client asserting any legal claim for negligence (or other viable causes of action) against any and all parties individuals and/or corporations that are found to be liable under the law for injuries and/or property damages suffered by Client arising out of the contamination by per- and polyfluoroalkyl substances (PFAS). Attorneys shall coordinate with City of St. Louis Park staff, including the City Manager, Deputy City Manager, regarding such litigation. 10. CONFLICTS OF INTEREST: Client acknowledges that Lockridge Grindal Nauen P.L.L.P. (“LGN”) represents individuals associated with Douglas Corporation and understands that LGN may not represent Client in any action against Douglas Corporation. City council meeting of November 20, 2023 (Item No. 5f) Title: Approval of retainer for Per- and Polyfluorinated Substances settlement Page 5 3 4871-5068-9422, v. 1 11. APPROVAL NECESSARY FOR SETTLEMENT: Attorneys are hereby granted a power of attorney so that they may have full authority to prepare, sign and file all legal instruments, pleadings, drafts, authorizations, and papers as shall be reasonably necessary to conclude this representation, including settlement and/or reducing to possession any and all monies or other things of value due to the Client under the claim as fully as the Client could do so in person. Attorneys are also authorized and empowered to act as Client’ negotiator in any and all negotiations concerning the subject of this Agreement. 12. ASSOCIATION OF OTHER ATTORNEYS: The Law Firms may, at their own expense, use or associate other attorneys in the representation of the aforesaid claims of the Client, but such association does not alter the computation of fees in section 3 above. Client understands that Law Firms employ numerous attorneys that may work on Client’ case. 13. ASSOCIATE COUNSEL: The Law Firms may participate in the division of fees in this case and assume joint responsibility for the representation of the Client either in the event that the Attorney retains associate counsel or that the Client later choose new counsel, provided that the total fee to the Client does not increase as a result of the division of fees and that the attorneys involved have agreed to the division of fees and assumption of joint responsibility. The Client will be advised of such joint responsibility and full disclosure will be made to Client regarding the division of fees so that the consent of the Client can be obtained. 14. MINNESOTA LAW TO APPLY: This Agreement shall be considered construed under and in accordance with the laws of the State of Minnesota and the rights, duties, and obligations of Client and of Attorneys regarding Attorney’s representation of Client and regarding anything covered by this Agreement shall be governed by the laws of the State of Minnesota. 15. ARBITRATION: Any and all disputes, controversies, claims or demands arising out of or relating to (1) this Agreement or (2) any provision hereof or (3) the providing of services by the Law Firms to Client or (4) the relationship between the Law Firms and Client, whether in contract, tort or otherwise, at law or in equity, for damages or any other relief, shall be resolved by binding arbitration pursuant to the Federal Arbitration Act in accordance with the Commercial Arbitration Rules then in effect with the American Arbitration Association. Any such arbitration proceeding shall be conducted in Hennepin County, Minnesota. This arbitration provision shall be enforceable in either federal or state court in Hennepin County, Minnesota pursuant to the substantive federal laws established by the Federal Arbitration Act. Any party to any award rendered in such arbitration proceeding may seek a judgment upon the award and that judgment may be entered by any Court in Hennepin County, Minnesota having jurisdiction. City council meeting of November 20, 2023 (Item No. 5f) Title: Approval of retainer for Per- and Polyfluorinated Substances settlement Page 6 4 4871-5068-9422, v. 1 16. PARTIES BOUND: This Agreement shall be binding upon and inure to the benefit of the parties hereto and their respective heirs, executors, administrators, legal representative, successors, and assigns. Client or the Law Firms can execute this document electronically, by indicating “I agree” (or similar language) via electronic mail after receiving the Agreement via electronic mail. By indicating “I agree” (or similar language) Client will be bound by the terms of the Agreement and is executing the document electronically via Client’ electronic signature, indicated as “/s/” in the signature field and elects the Law Firms advance disbursements. 17. LEGAL CONSTRUCTION: In case any one or more of the provisions contained in this Agreement shall for any reason be held invalid, illegal or unenforceable in any respect, such invalidity, illegality, or unenforceability shall not affect any other provisions thereof and this Agreement shall be construed as if such invalid, illegal, or unenforceable provision had never been contained herein. 18. PRIOR AGREEMENTS SUPERSEDED: This Agreement constitutes the sole and only Agreement of the parties hereto and supersedes any prior understandings or written or oral agreement between the parties respecting the within subject matter. We certify and acknowledge that we have had the opportunity to read this Agreement and have answered any questions pertaining thereto. We further state that we have voluntarily entered into this Agreement fully aware of the terms and conditions. City council meeting of November 20, 2023 (Item No. 5f) Title: Approval of retainer for Per- and Polyfluorinated Substances settlement Page 7 5 4871-5068-9422, v. 1 SIGNED AND ACCEPTED ON THIS _____ day of_______________, 20_____ THIS CONTRACT IS SUBJECT TO ARBITRATION UNDER THE FEDERAL ARBITRATION ACT AND THE MINNESOTA GENERAL ARBITRATION STATUTE CITY OF ST. LOUIS PARK, MN By: ______ ____________________________________ Printed Name Email Address:______________________ Title:_______________________________ Address: ___________________________ Phone:______________________________ LOCKRIDGE GRINDAL NAUEN P.L.L.P. ________________________________ David J. Zoll NAPOLI SHKOLNIK ________________________________ Printed Name of Attorney City council meeting of November 20, 2023 (Item No. 5f) Title: Approval of retainer for Per- and Polyfluorinated Substances settlement Page 8 Meeting: City council Meeting date: November 20, 2023 Consent agenda item: 5g Executive summary Title: Appoint alternate representative to Bassett Creek Watershed Management Commission Recommended action: Motion to adopt resolution appointing David Johnston to the Basset Creek Watershed Management Commission (BCWMC) to serve as alternate commissioner. Mr. Johnston’s appointment will fill the remainder of the three-year term expiring January 31, 2026. Policy consideration: Does the city council support appointment of the alternate representative to the Bassett Creek Watershed Management Commission? Summary: The City of St. Louis Park is partially located in the Bassett Creek Watershed. The BCWMC was established by a Joint Powers Agreement authorized under Minnesota State Statues to oversee and coordinate the management of surface water between the nine member cities, which include Crystal, Golden Valley, Medicine Lake, Minneapolis, Minnetonka, New Hope, Plymouth, Robbinsdale and St. Louis Park. Their mission is to control flooding and to maintain and enhance the quality of the surface and ground water resources in the watershed. Each member city is entitled to appoint one Commissioner, one Alternate Commissioner, and one member to the Technical Advisory Committee (TAC) of the BCWMC. The Basset Creek Watershed Management Commission requires committee appointments to be approved by resolution. The city’s alternate role is currently vacant. Staff recommend the appointment of David “DJ” Johnston to fill this position. Mr. Johnston has the knowledge to be a great asset to the commission and is a passionate naturalist and active outdoorsman. The city’s alternate commissioner was formerly Angela Lawrence, who vacated the position in March of 2023. Financial or budget considerations: Each member city is required to contribute each year to the BCWMC general fund. The city’s assessment of costs associated with the BCWMC is $23,597 for 2023. Strategic priority consideration: St. Louis Park is committed to continue to lead in environmental stewardship. Supporting documents: Resolution Prepared by: Amanda Scott-Lerdal, deputy city clerk Reviewed by: Erick Francis, water resources manager Approved by: Cindy Walsh, deputy city manager City council meeting of November 20, 2023 (Item No. 5g) Page 2 Title: Appoint alternate representative to Bassett Creek Watershed Management Commission Resolution No. 23 -____ Appointing David Johnston to the Basset Creek Watershed Management Commission (BCWMC) to serve as alternate commissioner Whereas, the City of St. Louis Park is partially located in the Bassett Creek Watershed Management Commission area and is required under state law to manage its storm water runoff; and Whereas, the Bassett Creek Watershed Management Commission has been organized under Minnesota State Statutes to manage the storm waters of cities whose boundaries fall within the water management area; and Whereas, the City of St. Louis Park has adopted a Joint Powers Agreement joining the Bassett Creek Watershed Management Commission; and Now therefore be it resolved by the city council of the City of St. Louis Park: 1. Appoints David Johnston as alternate commissioner of the Bassett Creek Watershed Management Commission to fill the remainder of the three-year term expiring January 31, 2026. Be it further resolved that the city clerk shall, within 30 days of its adoption, file a certified copy of this resolution with the secretary of the Bassett Creek Watershed Management Commission. Reviewed for administration: Adopted by the city council November 20, 2023 Kim Keller, city manager Jake Spano, mayor Attest: Melissa Kennedy, city clerk Meeting: City council Meeting date: November 20, 2023 Consent agenda item: 5h Executive summary Title: Cancellation of special assessment at 3912 Inglewood Avenue South and voidance of Contract No. 111-23. Recommended action: Motion to adopt a resolution approving cancellation of a special assessment at 3912 Inglewood Avenue South and void contract number 111-23. Policy consideration: The proposed action is consistent with policy previously established by the city council. Summary: Public works is requesting the special assessment of $5,500, approved by Resolution No. 23 - 129, at 3912 Inglewood Avenue South be cancelled as well as void contract number 111-23 associated with this assessment. This special assessment relates to an October of 2023 sewer line repair service. The owner, Kathleen Reilly, contacted the city and advised the special assessment is no longer needed as a grant paid ASAP Underground, the contractor, for the sewer line repair. PID 07-028-24-11-0093. Financial or budget considerations: none. Strategic priority consideration: St. Louis Park is committed to continue to lead in environmental stewardship. Supporting documents: Resolution Prepared by: Stacy Voelker, senior office assistant Reviewed by: Emily Carr, assessment technician Austin Holm, utilities superintendent Amelia Cruver, finance director Approved by: Cindy Walsh, deputy city manager City council meeting of November 20, 2023 (Item No. 5h) Page 2 Title: Cancellation of special assessment at 3912 Inglewood Avenue South and voidance of Contract No. 111-23. Resolution No. 23-____ Approving cancellation of special assessment for the sewer service line repair at 3912 Inglewood Avenue South, St. Louis Park, MN and voidance of contract no. 111-23 Whereas, the city approved a special assessment for the repair of the sewer service line against Kathleen Reilly (3912 Inglewood Avenue South, St. Louis Park, MN 55416 – PID 07-028-24-11-0093) in the total amount of $5,500 in 2023 via contract no. 111-23, and Whereas, the owner received grant funding for the repair, and Whereas, the payment voucher has been canceled by the city, and Whereas, contract number 111-23 is hereby voided; Now therefore be it resolved, the special assessment of $5,500 is cancelled at 3912 Inglewood Avenue South and will not be certified to property taxes. Reviewed for administration: Adopted by the city council November 20, 2023 Kim Keller, city manager Jake Spano, mayor Attest: Melissa Kennedy, city clerk Meeting: City council Meeting date: November 20, 2023 Consent agenda item: 5i Executive summary Title: Hennepin County West Metro Drug Task Force participation Recommended action: Council approval of the cooperative agreement for the St. Louis Park police department to join the Hennepin County West Metro Drug Task Force. Policy consideration: Does the council wish to authorize the St. Louis Park police department to join the Hennepin County West Metro Drug Task Force with the Southwest Hennepin Drug Task Force being dissolved on 12/31/23, where it is a current member? Summary: For over 20 years, the Hennepin County Sheriff’s Office has led two drug task forces: the Southwest Hennepin Drug Task Force (SWHDTF) and the West Metro Drug Task Force (WMDTF). Currently, the SWHDTF is comprised of officers from the Eden Prairie, Edina, Hopkins, Minnetonka, and St. Louis Park police departments, along with deputies from the Hennepin County Sheriff’s Office. The WMDTF is comprised of officers from the Medina, Minnetrista, Orono and West Hennepin police departments, along with deputies from the Hennepin County Sheriff’s Office. With almost daily operational collaboration between the SWHDTF and the WMDTF occurring already, and an opportunity to secure more consistent funding through the Minnesota Office of Justice Programs (OJP), Violent Crime Enforcement Team (VCET) grant program, a merger of the two groups is recommended. The merger would be affected by the members of the SWHDTF joining the WMDTF under an expanded leadership model of the Hennepin County Sheriff’s Office, which already provides operational oversight of the two groups independently. Additionally, a commitment from the Hennepin County Attorney’s Office to dedicate a senior attorney to the WMDTF will advance an already strong partnership further. Financial or budget considerations: None 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. •St. Louis Park is committed to creating opportunities to build social capital through community engagement. Supporting documents: Resolution Hennepin Co. West Metro Drug Task Force Joint Powers Agreement Southwest Hennepin Drug Task Force Joint Powers Agreement Task Force Joint Powers Agreement Signature Page Prepared by: Bryan Kruelle, police chief Approved by: Cindy Walsh, deputy city manager Page 2 City council meeting of November 20, 2023 (Item No. 5i) Title: Hennepin County West Metro Drug Task Force participation Resolution No. 23-____ Approving the St. Louis Park Police Department transferring its membership in the Southwest Hennepin Drug Task Force to the West Metro Drug Task Force. Whereas, the city of St. Louis Park on behalf of its police department desires to enter into a cooperative agreement with the Hennepin County West Metro Drug Task Force (WMDTF). The resolution approving a cooperative agreement with the WMDTF, would replace an already existing agreement with the Southwest Hennepin Drug Task Force (SWHDTF); Now therefore be it resolved by the City Council of St. Louis Park, Minnesota as follows: 1. That the city of St. Louis Park on behalf of its police department enter into a cooperative agreement with the Hennepin County West Metro Drug Task Force on 12/04/23. 2. Mayor Jake Spano and City Manager Kim Keller, or successors, are hereby authorized to execute such agreements and amendments as are necessary to join membership with the Hennepin County West Metro Drug Task Force, on behalf of the city of St. Louis Park. Reviewed for administration: Adopted by the city council November 20, 2023 Kim Keller, city manager Jake Spano, mayor Attest: Melissa Kennedy, city clerk City council meeting of November 20, 2023 (Item No. 5i) Title: Hennepin County West Metro Drug Task Force participation Page 3 City council meeting of November 20, 2023 (Item No. 5i) Title: Hennepin County West Metro Drug Task Force participation Page 4 City council meeting of November 20, 2023 (Item No. 5i) Title: Hennepin County West Metro Drug Task Force participation Page 5 City council meeting of November 20, 2023 (Item No. 5i) Title: Hennepin County West Metro Drug Task Force participation Page 6 City council meeting of November 20, 2023 (Item No. 5i) Title: Hennepin County West Metro Drug Task Force participation Page 7 City council meeting of November 20, 2023 (Item No. 5i) Title: Hennepin County West Metro Drug Task Force participation Page 8 City council meeting of November 20, 2023 (Item No. 5i) Title: Hennepin County West Metro Drug Task Force participation Page 9 City council meeting of November 20, 2023 (Item No. 5i) Title: Hennepin County West Metro Drug Task Force participation Page 10 City council meeting of November 20, 2023 (Item No. 5i) Title: Hennepin County West Metro Drug Task Force participation Page 11 City council meeting of November 20, 2023 (Item No. 5i) Title: Hennepin County West Metro Drug Task Force participation Page 12 City council meeting of November 20, 2023 (Item No. 5i) Title: Hennepin County West Metro Drug Task Force participation Page 13 City council meeting of November 20, 2023 (Item No. 5i) Title: Hennepin County West Metro Drug Task Force participation Page 14 City council meeting of November 20, 2023 (Item No. 5i) Title: Hennepin County West Metro Drug Task Force participation Page 15 SOUTHWEST HENNEPIN DRUG TASK FORCE AGREEMENT This SOUTHWEST HENNEPIN DRUG TASK FORCE AGREEMENT is between the County of Hennepin, the City of Eden Prairie, the City of Edina, the City of Hopkins, the City of Minnetonka, the City of St. Louis Park and the other governmental units that subsequently agree to its terms pursuant to the provisions herein ("SWHDTF Agreement"). In 1996, the County of Hennepin, the City of Eden Prairie, the City of Edina and the City of Minnetonka ("the Cooperative Parties") executed the DRUG TASK FORCE COOPERATIVE AGREEMENT (the "1996 Agreement"). The Cooperative Parties have been, and currently are, operating a drug task force pttrsuant to the 1996 Agreement. The Cooperative Parties hereby agree that the 1996 Agreement is hereby amended such that it shall be replaced in its entirety with this Agreement and that the provisions in the 1996 Agreement that by their nature are intended to survive the termination of that Agreement, including but not limited to Article VII, Indemnification and Insurance, shall survive with respect to matters occurring under or related to the 1996 Agreement. For all matters occurring hereunder or related hereto, this SWHDTF Agreement shall apply and control the parties rights, duties and obligations. The parties hereto acknowledge and agree that (i) this SWHDTF Agreement does, not terminate or dissolve the task force that has been operating under the 1996 Agreement; (ii) the task force that has been operating under the 1996 Agreement shall continue in full force and effect pursuant to the terms herein; (iii) the Cjty of Hopkins and the City of St. Louis Park will join the task force operating under the SWHDTF Agreement; (iv) that task force, which includes the City of Hopkins and the City of St. Louis Park, may hereinafter be referred to as the Southwest Hennepin Drug Task Force (SWHDTF or Task Force); and (v) the parties hereto agreed to be bound by the terms herein. The parties to this Agreement are units of government responsible for the enforcement of controlled substance laws in their respective jurisdictions. The parties desire to work cooperatively in the enforcement of controlled substance laws and, for that purpose, are hereby forming the Southwest Hennepin Drug Task Force pursuant to the authority conferred upon the parties by Minnesota Statutes,§ 471.59. 1.No Separate Entity. It is the intent of the parti�s that the SWHDTF does not constitute a separate municipal entity under Minnesota law. City council meeting of November 20, 2023 (Item No. 5i) Title: Hennepin County West Metro Drug Task Force participation Page 16 City council meeting of November 20, 2023 (Item No. 5i) Title: Hennepin County West Metro Drug Task Force participation Page 17 City council meeting of November 20, 2023 (Item No. 5i) Title: Hennepin County West Metro Drug Task Force participation Page 18 City council meeting of November 20, 2023 (Item No. 5i) Title: Hennepin County West Metro Drug Task Force participation Page 19 City council meeting of November 20, 2023 (Item No. 5i) Title: Hennepin County West Metro Drug Task Force participation Page 20 City council meeting of November 20, 2023 (Item No. 5i) Title: Hennepin County West Metro Drug Task Force participation Page 21 City council meeting of November 20, 2023 (Item No. 5i) Title: Hennepin County West Metro Drug Task Force participation Page 22 City council meeting of November 20, 2023 (Item No. 5i) Title: Hennepin County West Metro Drug Task Force participation Page 23 City council meeting of November 20, 2023 (Item No. 5i) Title: Hennepin County West Metro Drug Task Force participation Page 24 City council meeting of November 20, 2023 (Item No. 5i) Title: Hennepin County West Metro Drug Task Force participation Page 25 City council meeting of November 20, 2023 (Item No. 5i) Title: Hennepin County West Metro Drug Task Force participation Page 26 City council meeting of November 20, 2023 (Item No. 5i) Title: Hennepin County West Metro Drug Task Force participation Page 27 City council meeting of November 20, 2023 (Item No. 5i) Title: Hennepin County West Metro Drug Task Force participation Page 28 City council meeting of November 20, 2023 (Item No. 5i) Title: Hennepin County West Metro Drug Task Force participation Page 29 City council meeting of November 20, 2023 (Item No. 5i) Title: Hennepin County West Metro Drug Task Force participation Page 30 City council meeting of November 20, 2023 (Item No. 5i) Title: Hennepin County West Metro Drug Task Force participation Page 31 City council meeting of November 20, 2023 (Item No. 5i) Title: Hennepin County West Metro Drug Task Force participation Page 32 City council meeting of November 20, 2023 (Item No. 5i) Title: Hennepin County West Metro Drug Task Force participation Page 33 City council meeting of November 20, 2023 (Item No. 5i) Title: Hennepin County West Metro Drug Task Force participation Page 34 City council meeting of November 20, 2023 (Item No. 5i) Title: Hennepin County West Metro Drug Task Force participation Page 35 WEST METRO DRUG TASK FORCE CO-OPERATIVE AGREEMENT The following city was unanimously voted to become a member of the Hennepin County West Metro Drug Task Force on Thursday, October 12th, 2023, by the WMDTF Governing Board. CITY OF ST. LOUIS PARK, MN The ST. LOUIS PARK City Council duly approved this Agreement on the ______ day of ______________, 2023. City of St. LOUIS PARK By: _________________________ Its mayor And by: ______________________ Its city manager Approved as to form and legality: ___________________________ ST. LOUIS PARK City Attorney City council meeting of November 20, 2023 (Item No. 5i) Title: Hennepin County West Metro Drug Task Force participation Page 36 Meeting: City council Meeting date: November 20, 2022 Public hearing: 6a Executive summary Title: First reading of ordinance establishing utility rates for 2024 Recommended action: Mayor to open public hearing, take testimony, and close hearing. Motion to approve first reading of ordinance adopting utility rates for 2024 and set second reading for Dec. 4, 2023. Policy consideration: Is council supportive of the modifications to the utility rates to ensure long term sustainability of the city’s utility operations and capital plans? Summary: Each year St. Louis Park updates rates charged for water, sewer, storm water and solid waste services. Solid waste rates will need to be meaningfully increased to cover the cost of the new five-year contracts approved by council in summer 2023. Staff explored several options for rate increases that would: 1. Cover the cost of budgeted expenses over the next 5 years. 2. Ensure all funds meet target fund balances at the end of the 5-year period. 3. Minimize costs to rate payers without preferencing one pool of ratepayers over another. Council reviewed the new contracts for solid waste this summer and gave feedback on two scenarios for rate increases to all utility funds at the council study session on Nov. 13, 2023. The proposed fee changes include a 15.5% or $55 increase in quarterly bills for the median user in 2024, and a 5% or $20 increase in quarterly bills for 2025 through 2028. Next steps: The second reading and adoption of this ordinance is scheduled for Dec. 4, 2023. If approved, the fee changes will be effective Jan. 1, 2024. Financial or budget considerations: The proposed fee changes have been incorporated into the 2024 budget. Water, sewer, storm water and solid waste are enterprise funds and are anticipated to have rates that cover the fund for all the related costs incurred by debt service, operations, and capital improvement plans. The utility rates will support necessary city services and capital improvements during 2024 and beyond. Strategic priority consideration: Not applicable. Supporting documents: Proposed ordinance Fee Schedule Prepared by: Amelia Cruver, finance director Reviewed by: Cheyenne Brodeen, administrative services director Approved by: Cindy Walsh, deputy city manager City council meeting of November 20, 2022 (Item No. 6a) Page 2 Title: First reading of ordinance establishing utility rates for 2024 Discussion Background: Each year, St. Louis Park updates rates charged for water, sanitary sewer, storm water and solid waste services. In the summer of 2023, the city signed contracts for new solid waste services including garbage, recycling, organics and yard waste. The winning contracts represented an increase in services and quality as well as a substantial increase in cost. Cities around the metro entering new solid waste contracts have also experienced steep increases in prices over the last year. In 2024 and throughout the 5-year contract, solid waste rates will need to be increased to cover the cost. Present considerations: To give perspective on the utility rate increases for 2024, the approximate cumulative effect on a typical residential property for all the utility rate adjustments would be an increase of $55.55 per quarter, or $18.52 per month. The calculation is based on a household using 32 units of water per quarter (24,000 gallons) and 60-gallon solid waste service. Solid waste rates continue to support “pay as you throw,” and encourages recycling and organics use. Water rates are structured to encourage water conservation. The large increase in solid waste rates is due to new contracts which were discussed and approved this summer. The proposed rates were analyzed by city staff as well as Ehlers and discussed by council on Nov. 13, 2023 where the proposed rates were tentatively approved. The intent of utility funds is to maintain sufficient revenue to cover costs incurred by the funds including operations, capital projects and debt. Things to note for each fund: Water Fund – 4.5% recommended increase • Base fee covers fixed costs. Varies by meter size. • 750 gallons = one unit of water. • Rates increase as residents and businesses use more water, to promote conservation. • Capital projects in 2024 include local street rehab, and Minnetonka Blvd from HWY 100 to France. • Suggested increase of 4.5% annually through 2028. Sanitary Sewer Fund – 5.5% recommended increase • Base charge covers fixed costs. • Rates are the same for residential and commercial properties. • Capital projects in 2024 include local street rehab, and sanitary sewer lining. • Suggested increase of 5.5% annually through 2028. Stormwater/Storm Sewer Fund – 4.5% recommended increase • Billed by residential equivalent factor, per city code. • Residential equivalent factors adjust stormwater runoff for non-single-family properties to the appropriate share of water runoff that goes into the storm sewer system. • Capital projects in 2024 include local street rehab. • Suggested increase of 4.5%, down from the recommended 6% increase from 2022 rate study, annually through 2028. City council meeting of November 20, 2022 (Item No. 6a) Page 3 Title: First reading of ordinance establishing utility rates for 2024 Solid Waste Fund – 45% recommended increase • Rates include garbage, recycling, organics, and yard waste for residential customers. • Rates are dependent on garbage service level, residents with larger service levels may save money by reducing garbage cart size and participating in recycling and organics programs. • New contracts were enacted in October that increased the level of service as well as the cost. • The 20-gallon weekly and 20-gallon every-other-week service levels were phased out for new customers in 2023 and will no longer be offered in 2024. Two low-volume service levels will still be available below the 60-gallon service level used to demonstrate fee impacts in this report. • Suggested increase of 45% for 2024, then 5.15% annually through 2028. Next steps: The second reading of this ordinance is scheduled for Dec. 4, 2023. If approved, the fee changes will be effective Jan. 1, 2024. City council meeting of November 20, 2022 (Item No. 6a) Page 4 Title: First reading of ordinance establishing utility rates for 2024 Ordinance No. ____-23 Ordinance adopting fees for calendar year 2024 The City of St. Louis Park does ordain: Section 1. Fees called for within individual provisions of the city code are hereby set by this ordinance for calendar year 2024. Section 2. The attached fee schedule shall be included as Appendix A of the city code and shall replace those fees adopted October 17, 2022 by Ordinance No. 2656-22 for the calendar year 2023 which is hereby rescinded. *See attached PDF for full fee schedule* Section 3. This ordinance shall take effect January 1, 2024. First Reading November 20, 2023 Second Reading December 4, 2023 Date of Publication Date Ordinance takes effect January 1, 2024 Reviewed for administration: Adopted by the city council ______ 2023 Kim Keller, city manager Jake Spano, mayor Attest: Approved as to form and execution: Melissa Kennedy, city clerk Soren Mattick, city attorney City council meeting of November 20, 2023 (Item No. 6a) Title: First reading of ordinance establishing utility rates for 2024 Page 5 City council meeting of November 20, 2023 (Item No. 6a) Title: First reading of ordinance establishing utility rates for 2024 Page 6 Meeting: Special study session Meeting date: November 20, 2023 Discussion item: 2 Executive summary Title: Disposition of public land policy discussion Recommended action: Review the current policy and share comments or areas of interest as city staff undertake potential policy updates and define appropriate internal processes. Policy consideration: Does the city council support updating the adopted policy from 1997? Summary: The city owns and manages a significant amount of public land, including but not limited to approximately 1,500 gross acres of public right-of-way (21.7% of the city land area) and 250 parcels totaling more than 800 acres (11.6% of the city land area). These figures do not include all the public drainage, utility, sidewalk, slope, and other easements the city controls. The city is a steward of these properties and interests. While much of this land was acquired for specific public purposes, some of the lands we received through transfers from State agencies or through tax forfeiture. In these cases, the type of ownership interest in the property (e.g., fee simple, easement, leasehold, etc.), public purpose, and highest and best use of the property if it were not in public ownership may be less clear. To help the city manage and provide guidance for the inevitable inquiries the city receives from others or generated internally about city property, the city adopted a disposition of public land policy with Resolution 97-30. Disposition refers to permanent transfer, gift, or sale of property, as well as temporary use of land. The policy addresses four basic areas: vacation, sale, public service use and private use. For each type of request, the policy describes who is eligible to make a request, the information that must accompany a request, city procedures, and any restrictions the city imposes. The policy does not apply to land owned by the St. Louis Park Economic Development Authority, St. Louis Park Housing Authority, or other partner agency with public land in the city. However, it could still be a useful tool for those entities. The policy has served the city well for 26 years. Some recent land acquisitions and sales elevated this discussion. Staff would like to raise awareness of the policy, and if council has concerns with the policy, staff will prepare updates for council consideration. Supporting documents: Resolution 97-30, city-owned parcels map Financial or budget considerations: Not applicable. Strategic priority consideration: St. Louis Park is committed to continue to lead in environmental stewardship. St. Louis Park is committed to providing a broad range of housing and neighborhood-oriented development. St. Louis Park is committed to providing a variety of options for people to make their way around the city comfortably, safely, and reliably. 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. Prepared by: Sean Walther, planning manager/deputy community development director Laura Chamberlain, senior planner Reviewed by: Karen Barton, community development director Approved by: Cindy Walsh, deputy city manager Page 2 Special study session of November 20, 2023 (Item No. 2) Title: Disposition of public land policy discussion Discussion Background: The city stewards public land and is responsible to protect its interests to deliver public services, including operating its streets, utilities, parks, and other programming, as well as managing the natural resources such as streams, wetlands, and other drainage areas, woodlands, and habitat in the city’s jurisdiction. However, holding land that is not needed for public purposes adds to public expenses to manage and maintain that land. There is also an opportunity cost when land could be used for expanded housing and employment opportunities in the community, owned and managed by a private property owner instead of the city and returned to the tax rolls, and furthering the city’s strategic priorities. Disposing of underused property is a considerable task. Unneeded or underutilized property can vary widely in type and value. Most recently the city sold a tiny landlocked parcel at 1639 Utah Drive to a neighbor. This was a noncontroversial decision, and yet, from the time that the city determined that the property was surplus and should be disposed of, the process to obtain city council approvals and close on the property took nearly six months to complete. More consequentially, in the early 2000s, the city went through an extensive excess and surplus land process to identify parcels that did not serve an obvious public purpose or were not actively programmed spaces. Staff identified parcels that were underutilized and not essential to city functions and considered excess land. A committee of residents reviewed the excess land parcels for suitability as single-family housing development for several months. At that time, creating more move-up, owner occupied housing was a high city priority. The city commissioned title research and appraisals on the parcels identified by the committee and marketed the properties for sale through a public bidding process. Buyers were required to build a new single-family house with at least three bedrooms, two bathrooms, a two-car garage and meeting certain design guidelines. This was an enormous multiyear undertaking. It also cleared out most of the surplus buildable properties in the city’s inventory. Some properties were re-guided in the comprehensive plan, rezoned or platted. These sparked neighborhood concerns about loss of park land, undeveloped open space, or concerns about development in general in the neighborhoods. In a few cases, the city council decided not to sell the land or sold less land than initially identified. To respond to the community concerns, the city amended its zoning code and map to add a parks and open space zoning district. The parks and recreation section of city code was amended to expand the city-required notification process when property that is zoned park is proposed to be sold and added a 4/5th vote requirement for city council to sell property zoned park. The city has acquired a few properties or received development interest for city holdings since that time. Four examples are provided below. •2810 Toledo Avenue South: The city purchased the land north of the Rock Garden in 2023 from the Minnesota Department of Transportation (MNDOT) for fair market value as unimproved residential land. The land was once used as a wayside rest. The city has fee ownership of the parcel. The transfer did not require public use of the land. •3940 France Avenue South: The city purchased from City of Minneapolis the parcel at 3940 France Avenue South near Edina’s Weber Pond in 2016. Half the property is actively used as park, half is wooded and unprogrammed space, the southeast corner Page 3 Special study session of November 20, 2023 (Item No. 2) Title: Disposition of public land policy discussion has an easement for City of Minneapolis utilities, and the city has an easement over the northern boundary for a storm sewer main. At the time the city bought the parcel, a few council members had interest in selling a portion of the land for housing to recuperate the city’s purchase price. The site is guided for park and open space use in the comprehensive plan and zoned R-1 single-family residential. There is current development interest in this parcel for affordable ownership housing. •7015 Walker Street: The EDA acquired a blighted property on Walker Street west of The Block. The EDA cleared the blighted building and explored using the land for area storm water management. However, due to soil contamination the cost-benefit analysis did not warrant pursuing it further. The land is likely surplus property being held without a clear public purpose. •9258 Club Road: Based on meeting minutes from the time of the purchase, the city and school district intended to jointly acquire this land for park purposes and potential joint use with Cedar Manor School (now Park Spanish Immersion) for outdoor classroom nature programming. The school district is not an owner, and it is not clear that the district contributed to the purchase. The property is guided for park and open space use and zoned R-1 single-family residential. The city received a development inquiry within the past 5 years. The proposal was deemed to be inconsistent with the disposition of public land policy, comprehensive plan, and the stated purpose of the original property purchase as park. This site might be a candidate to rezone to park to clarify its status on the zoning map. Staff are not seeking specific policy direction regarding the parcels listed above. These examples provide context as the council reviews the disposition of public land policy. Policy issues: Staff identified at least one flaw in the policy, which is the statement that the city will not sell land acquired through tax forfeiture. There are good reasons for this to be the standard response, because there are State limitations on the use of many of these properties for 30 years and it can be difficult to obtain clear title. However, there are a few exceptions to those rules. Also, after 30 years have passed there is more flexibility to dispose of the land. These sales can be complicated, and in the city’s experience there is little to no profit from the sale of forfeited land, because the expenses tend to exceed the fair market value land sale price. Even so, there are some benefits to putting the land to new use, returning the land to the tax rolls, and reducing city property maintenance and management costs. One of the main findings required for selling city land owned in fee is that the city must find the property has no current or future public need. That is a high bar. Therefore, it is relatively uncommon that the city sells property. Staff intend to review the city’s internal procedures and checklists to better standardize and guide the process for determining whether a parcel is excess or surplus land. This will add efficiency and help to avoid potential missteps. Our goal would be to also include guidance for the public notice and public input process, so there can be healthy public discourse to inform city council decision making. Staff would like to hear at this early stage from the city council any concerns or considerations regarding the disposition of public land policy which may inform these proposed changes to the policy or the city’s internal procedures. Page 4 Special study session of November 20, 2023 (Item No. 2) Title: Disposition of public land policy discussion Next steps: Staff will incorporate any specific considerations the city council raises in this discussion and prepare any updates to the policy that may be needed. If the policy is fully supported as written, staff would value affirmed support for this 26-year-old policy. Staff review of internal procedures will generate additional policy questions that we will share with the city council within the next year. Staff will also inform the city council of any specific parcels that are deemed to be excess or surplus and seek policy direction at that time. r RESOLUTION N0~7 -JO RESOLUTION ESTABLISHING POLICY FOR THE DISPOSITION OR USE OF PUBLIC LAND WHEREAS, the purpose of a disposition or use of public land is to provide fair and uniform treatment of all requests for the private use of public land; and WHEREAS, the City Council is granted the authority, to approve or deny all requests for the private use of public land; and WHEREAS, it is felt that adoption of a Policy will equitably guide the City in disposing of said requests. NOW, THEREFORE, BE IT RESOLVED by the City Council of the City of St. Louis Park, Minnesota, that: All private use of public land requests will be reviewed by staff, but requests will only be considered and processed if supported by staff, by Council, or in accordance with said Policy. Requests for private use of public land are hereby classified in four ( 4) basics areas: t I. 2. ' ~- Permanent disposition by vacation. Permanent disposition by sale. Temporary public service use. Temporary private use. 4. Adopted by the City Council March 3, 1997 Attest: ~ I P--,,__ D. ,t, , Q - CiClerk Reviewed for administration: Special study session of November 20, 2023 (Item No. 2) Title: Disposition of public land policy discussion Page 5 • • • Resol1.1 .... ion No. 97-30 2/25/97 POLICY FOR THE DISPOSITION OR PRIVATE USE OF PUBLIC LAND Policy Statement Property owners adjacent to City owned land or public easements will from time to time request consideration ,from the City to allow the owner to acquire a portion of the City land, vacate a City right of way or easement, or authorize temporary use of City land. The City acknowledges that it only desires to own land or easements that serve a present or future public purpose, meet the goals of the Comprehensive Plan, or provide open space for flora and fauna, and provide environmental protection. In response, the City will allow the reka,e or use of public iana and easements in accordance with :his policy and its established criteria. Permanent Disposition By Vacation (Applies to easements and dedications, not ownership by deed or title.) There are occasions when property owners desire the use of City owned right of way or easements for permanent structures or other permanent uses. Examples of this ir,dude the desire tc, ~xpmd existina-s:rucmres or add g,irages or J,e:-ks which wm:id encroach onto an easement, City right of way, or into a required setback; or for commercial uses, the need to meet the requirement for additional parking . The City will not allow private permanent uses of any public land. The City will instead consider the permanent disposition of such land by vacation or sale if it meets with the requirements set forth below. Eligibiljty A. Eligibility ofan applicant to request vacation ofpub!ic land. I. Applicant shall be the owner of land adjacent to and abutting the land requested to be vacated. 2. The applicant's.property shall not be delinquent on any property taxes . . B. Eligibility of the land to be vacated. I. The City Council must find that the easement in question has no existing or fut1;re public need or use . 2. The easement must not have been acquired by the City through tax forfeiture or dedication. Special study session of November 20, 2023 (Item No. 2) Title: Disposition of public land policy discussion P Page 6 Resolution No 97-30 3. Toe land must not be designated on the Comprehensive Plan as park land. 4. The easement requested to be vacated must be under the jurisdiction of the City. 5. The City shall not vacate easements across any wetland. 6. A resulting right of way vacation will not landlock any existing parcel or lot ofrecord. Requirements. A. Applicant must present documentation justifying the need for the additional land. B. All structures, existing or proposed must be in conformance with all applicable codes and ordinances (Comprehensive Plan, Zoning Ordinance, Uniform Building Code) C. Applicant must provide the following: 1. Proof of ownership of the adjacent private property. 2. Legal description of the adjacent private property. 3. Survey of the ac!jacent private property shov.'in:; all boundaries, structures, topographic contours, and if in a floodplain, building elevations. 4. Legal description of the public property being requested. 5. Survey of public prope:-:y being ,·~quested. 6. Application fee. D. If request is determined to be eligible for vacation of street, alley or easement, applicant inust comply with City Ordinance Section 6-110 and City Charter Section 11. 03. Hardship -The applicants need forthe land to be sold or vacated shall be based on the same principles as those used to issue a Zoning Varfance, i.e. hardship due to the unique nature of the applicant's existing parcel that iimits the ability of the applicant to enjoy the same liberties as other property owners within the general area. example: The need for additional living space that cannot be accommodated on the existing lot due to unusual conditions such as shape of the lot, water conditions? grade changes, etc. 2 • • •• Special study session of November 20, 2023 (Item No. 2) Title: Disposition of public land policy discussion Page 7 • • • Resolution No. 97-30 Procedure A. All requests must comply with or bring the properties into conformance with all applicable City, County, State, and/or Federal laws, codes and ordinances. B. Petition for vacation of property shall be in conformance with the provisions of City Ordinance Section 6-110, City Charter Section 11.03 and shall be processed in accordance with procedures set by Community Development Department. C. All requests for vacation shall be brought to the Development Review Committee for review by all City departments. Permanent Disposition By Sale Intent Whenever the City holds fee ownership of property which has no current or future public need, and the sale of which shall not conflict with the Comprehensive Guide Plan, the City may choose to sell the property for development or other use. The City will consider the permanent disposition of land by sale if it meets with the requirements set forth below. EligjhiJity A. Eligibility of an applicant to request sale of public land. 1. If the applicam is an abutting property owner. the eiigibility is the san:e :i:; for a vacation above. 2. lfthe applicant is not an abutting property owner, eligibility requirements are the same as for ownership of any real property. B. Eligibility of the land to be sold. 1. The City Council must find that the land in question has no existing or future public need. 2. The land must not have been acquired by the City through tax delinquency (forfcitur~) or dedication. 3. The land must not be designated on the Comprehensive Plan as park or open space. 4. Land requested-to be sold or vacated must be under the jurisdiction of the City. 5. The land shall not contain any wetland. 6. The parcel must meet all of the size requirements of the Zoning Ordinance for a buildable parcel, except that an unbuildable parcel may be sold to an abutting property owner. 3 Special study session of November 20, 2023 (Item No. 2) Title: Disposition of public land policy discussion Page 8 Resolution No. 97-30 7. The sale will not result in a remnant parcel that does not meet Zoning · Ordinance requirements for a buildable parcel or which does not have direct access from a public street. Reqyjrements. The applicant must provide the following: l. Proof of ownership of the adjacent private property if the applicant is the abutting property owner. 2. Legal description of the adjacent private property if the applicant is the abutting property owner. 3. Survey of public property being requested. Procedure A. All requests must comply with or bring the properties into conformance wiih all applicable City, County, State, and/or Federal laws, codes and ordinances. B. Requests for the sale of public property shall be processed in accordance with requirements of the City Charter Section 11.02. All requests shall be taken to the Planning Commission for review and recommendation. C. All requests for the sale of City property shall be brought to the Development Review Committee for review by all City departments. Temporary Public Service Use Temporary public service uses are those uses which utilize public rights of way to offer a service to the general public. These uses include phone booths, vending machines, mail boxes, automatic cash machines, bus benches, etc. which are not owned or operated by an abutting property owner. It is the policy of the City to allow these uses when the use promotes the general welfare and safety of the public as long as the location of any structures does not impede any other public use or inhibit.safety or maintenance of the public right of way. F;ligjbiljty A. Eligibility of an applicant to request temporary use of public land. 4 • • • Special study session of November 20, 2023 (Item No. 2) Title: Disposition of public land policy discussion Page 9 • • • - Resolution No. 97-30 1. Applicant shail be a vendor whose product, service. or facility pro vices a public service. B. Eligibility of the land to be temporarily used I. Except for bus benches, land must be located within the C-1, C-2, O, I-P, or I- O Zoning District. 2. Land must be within a public right of way or easement for street or pedestrian purposes. Location Restrictions A. Bus Benches -Bus benches shall comply with all of the provisions of Ordinance Code 13-740 through 13-744. B. Vending Machines, ATM Machines, Phone Booths, Mail Boxes, Bus Shelters 1. The use cannot be located between the street and sidewalk. In the event a sidewalk does not exist. the use is prohibited. 2. The use cannot block visibility at intersections and shall comply with visibility requirements of the Zoning Ordinance. 3. The use cannot be located within 5 feet from a fire hydrant. 4. All structures must be in conformance with all applicable codes and ordinances (Comprehensive Plan, Zoning Ordinance. Uniform Building C0de) 5. If more than one vending machine is located abutting a s_ing]e property, these shall be grouped. However, no more than five (5) vending machines or ten (10) feet in overall length, whichever is less, shall be located within a single bank. Other Restrictions A. The location of any structure shall not impede other public uses or maintenance of the street or sidewalk. B. No signs may be located upon a vending machine or phone booth, except to display the publication or item within the vending machine. C. No reflective or fluorescent materials or colors shall be used on the vending machine. D. No vending mnchine shall exceed a heigi1t of: .5 feet. unless it is located withi11 one foot of a building wall, then the height shall not exceed 6 feet. Procedure .A. The applicant shall submit to the Department of Public Works an application for the private use of public property together with applicable fees and the application requirements under B. and C. below . 5 Special study session of November 20, 2023 (Item No. 2) Title: Disposition of public land policy discussion Page 10 Resolution No. 97-30 R B. The applicant shall provide to the City a site plan indicating the proposed location of any structures to be placed on public land. This site plan shall show the location of all property lines, curbs, sidewalks, fire hydrants, light poles, trees, etc. C. The applicant shall provide to the City evidence of approval from the abutting property owner. D. After all of the application materials are received, the Department of Public Works shall determine whether the application meets all of the requirements for the temporary use of public land and also determine what fees, if any should be charged to the applicant to cover any City costs which may be associated with the proposed use or structure being placed on City right of way. · E. If the applicant's request is granted, the applicant shall execute an Encroachment Agreement, in the form approved by the City, for the use of public property. (This agreement contains a clause which exempts the City from any responsibility for loss or damage to any structure. The agreement also contains a clause which allows the City to terminate the agreement with a 60-day notification.) F. If the Department of Public Works denies any application for the temporary public service use of a public right of way or easement, the applicant may appeal the decision to the City Councll within 30 days of that decision. Temporary Private Cise An abutting property owner may desire the temporary use of public land. Temporary private use of public land are those uses which provide a convenience to a property owner, but are not essential for the operation of business or residential use of the property. These uses include commercial uses such as outdoor seating for restaurants, fences, canopies, irrigation systems, sidewalk sales, etc; or residential uses such as driveways, sidewalks, retaining walls, shrubs, or gardens. Eligibility A. Eligibility of an applicant to request private temporary use of public land. 1. Applicant shall be the owner of land adjacent to and abutting the land requested to be temporarily used. 2. The appli~ai1t's property shall not be delinquent on any property taxes. B. Eligibility of the land to be temporarily used. I. The land must not have been acquired by the City through tax delinquency (forfeiture) or dedication. '.?.. The land must not be designated on the Comprehensive Plan as park land. 3. Land must be under !he jurisdiction of the City. 6 • • • Special study session of November 20, 2023 (Item No. 2) Title: Disposition of public land policy discussion Page 11 • • • Resolution No. 97-30 4. The private use of the property shall not impede any public use of the property. Application Requirements. A. Applicant must present documentation justifying the need for the additional land. B. All structures or uses proposed must be temporary in nature, and shall be in conformance with all applicable codes and ordinances (Comprehensive Plan, Zoning Ordinance, Uniform Building Code, etc.) C. Applicant must provide the following: 1. Application Fee 2. Proof of ownership of the adjacent private property. 3. Legal description of the adjacent private property. 4. Description of the public property being requested. 5. A site plan, drawn to scale, indicating the proposed location of any structures/uses to be placed on public land. This site plan shall show the location of all property lines, curbs, sidewalks, fire hydrants, light poles, trees, utilities, etc . Procedure A. The applicant shall submit an application to the Department of Public Works for the private use of public property together with all application requirements. B. The Department of Public Works shall determine whether the application meets all of the requirements of this policy and also determine what appropriate fees, if any should be charged to the applicant to cover any City costs which may be associated with the proposed use or structure being placed on City land or right of way. C. If the applicant's request is granted, the applicant shall execute an Encroachment Agreement, in the form approved by the City, for the use of public property. (The agreement contains a clause which exempts the City from any responsibility for loss or damage to any structure. The agreement also contains a clause which allows the City to ll:rminate the agreement with a 30-day notification.) D. If the Department of Public Works denies any application for the temporary public service use of a public right of way or easement, the applicant may appeal the decision to the City Council within 30 days of that decision . C97/useland.doc 7 Special study session of November 20, 2023 (Item No. 2) Title: Disposition of public land policy discussion Page 12 • 02/06/ 07 Till' 10: JJ Fil 6lZ ~52 5550 C It S & F ~~~ ST LUCIS PARK ENCROACHMENT AGREEMENT AGREEMENT made this day of , 19__, by and between the CITY OF ST, LOUIS PARK, a Minnesota. municipal cmporation ("City"), and ------------------' husband and wife ("Owner"). 1. BACKGROUND. Owner is the fee owner of __________ _ in the City of St. Louis Park, County of Hennepin, and State of Minnesota ("subject property"). The City owns an easement for dr.rinage and utility puzposes over part of the subject property. Owner wants to construct a on the subject property wbich would encroacb. on the City's easement. 2. ENCROACHMENT AUTHORIZATION. The City hereby approves the encroachment on its easement for the cons1IUction of a---------e,a;ept over QJ OllZ • existing utilities. • 3. HOLD HA.R?,il,ESS AND INDEMNITY. In consideration of being allowed to encroach on the City's easement, Owner, for themselves, their heit:s and assigns, hereby agree to indemnify and hold the City harmless from any damage caused to the subject property, including the on the subject property, caused in whole or in part by the encroachment·onto the City's easement. 4. TERMINATION OF AGREEMENT. The City may, at i.t3 sole discretion, terminate this Agreement at any time by giving the Owner of the subject property thirty (30) days advance written notice. Toe property owner shall remove the --------- by the effective date of the termination of thb Agri:cment. If the owna fails to do ~o the City may remove the --------at the Owner's expense. 47276 • Special study session of November 20, 2023 (Item No. 2) Title: Disposition of public land policy discussion Page 13 • • • OZ/08/97 nnr 10: J4 F,1.1 812 4S2 5550 CltS&F ........ ST LOL'IS P.uut 5. property. RECORDING. This Agreement shall be tec0tded against the title to the subject CITY OF ST. LOUIS PARK (SEAL) BY:------------- ' Mayor AND---------,,,-.,,.,,.---, City Manager PROPERTY OWNER: STATE OF MINNESOTA ) ( S.S. COUNTY OF HENNEPIN ) Toe foregoing instrument was acknowledged before me this day of ____ ____,_,19_,by andby , respectively the Mayor and City Manager of the City of St. Louis Park, a Minnesota municipal corporation, on behalf of the corpmation and pursuant to the authority granted by its City Council. NOTARY PUBUC 47276 2 ltJ OOJ Special study session of November 20, 2023 (Item No. 2) Title: Disposition of public land policy discussion Page 14 Special study session of November 20, 2023 (Item No. 2) Title: Disposition of public land policy discussion Page 11