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HomeMy WebLinkAbout2025/02/18 - ADMIN - Minutes - City Council - RegularOfficial minutes City council meeting St. Louis Park, Minnesota Feb. 18, 2025 1. Call to order. Mayor Mohamed called the meeting to order at 6:35 p.m. a. Pledge of allegiance b. Roll call Council members present: Mayor Nadia Mohamed, Paul Baudhuin, Tim Brausen, Sue Budd, Lynette Dumalag, Yolanda Farris, Margaret Rog Council members absent: none Staff present: City manager (Ms. Keller), city attorney (Mr. Mattick), community development director (Ms. Barton), finance director (Ms. Cruver), administrative services director (Ms. Brodeen), senior planner (Ms. Chamberlain), community engagement coordinator (Mr. Coleman), economic development manager (Mr. Hunt), zoning administrator (Mr. Morrison), housing supervisor (Ms. Olson), deputy city clerk (Ms. Scott-Lerdal), HR director (Ms. Vorpahl), planning manager (Mr. Walther) 2. Approve agenda. Motion by Council Member Dumalag, seconded by Council Member Brausen, to approve the agenda as presented. The motion passed 7-0. 3. Presentations. a. Recognition of donations Mayor Mohamed thanked Park Coin for their donation of $250 to the fire department. 4. Minutes. a. Minutes of Jan. 21, 2025 city council meeting b. Minutes of Jan. 21, 2025, study session meeting c. Minutes of Feb. 10, 2025, closed executive session Motion by Council Member Rog, seconded by Council Member Budd, to approve the Jan. 21, 2025, city council meeting and study session meeting minutes, and Feb. 10, 2025, closed executive session minutes as presented. The motion passed 7-0. Docusign Envelope ID: B931013C-C532-4411-A9FD-87D707798AA5 City council meeting -2- Feb. 18, 2025 5. Consent items. a. Resolution No. 25-025 accepting donations to the Fire Department b. Resolution No. 25-026 approving 2025-2027 LELS Local #218 Police Sergeants Labor Agreement c. Resolution No. 25-027 updating employee personnel manual d. Resolution No. 25-028 authorizing special assessment for sewer service line repair at 2941 Kentucky Avenue South - Ward 1 e. Approve bid for South Oak Pond Water Quality Improvement project (4024-4000) - Ward 2 f. Reject bid for 2025 Sanitary Sewer Mainline Rehabilitation project (4025-3000) g. Resolution No. 25-029 approving cooperative construction agreement with MnDOT for Shelard Parkway/ TH169 intersection project (4025-8000) - Ward 4 h. Approve city council travel for National League of Cities Congressional Cities Conference 2025 i. Approve business owner changes for liquor licensees j. Resolution No. 25-030 to approve off-site gambling for Community Charities of Minnesota k. Approve boards and commissions workplans l. Resolution No. 25-031 accepting city manager's performance evaluation and adjusting compensation Council Member Brausen commented regarding consent item 5b, thanking the city’s human resources department and the police sergeants for coming to an agreement that will last three years. Council Member Brausen noted that four council members will be traveling to the National League of Cities Congressional Cities Conference 2025 in March, stating they will meet with their congressional delegation to discuss the new political landscape in Washington D.C. and also lobbying federal officials for local projects. He thanked residents for supporting this work being done on their behalf. Council Member Dumalag noted consent item 5k, approving boards and commissions workplans. She thanked staff for their work, as well as those serving on boards and commissions. She noted workplans give guidance on their work. Council Member Budd added there is renewed energy around the workplans; she is excited the commissions are in place and launching a fresh start. It was exciting to see all the good ideas reflected in the workplans Council Member Rog agreed that a lot of work and energy went into the workplans, adding it is good to see. She stated this will be the last time council will approve workplans on the consent agenda; in the future, it will be better to interface individually with boards and commissions. Mayor Mohamed added the council is also accepting the city manager’s annual performance review. She pointed out that Ms. Keller continues to receive high scores and her work with staff, council and the community reflects the positive impact of her caring, strategic spirit, and Docusign Envelope ID: B931013C-C532-4411-A9FD-87D707798AA5 City council meeting -3- Feb. 18, 2025 her focus on collaboration. Mayor Mohamed thanked Ms. Keller for her work and leadership in her role. Council Member Farris stated the city manager’s annual review was a good experience and Ms. Keller continues to do a good job. Council Member Farris observed that the city manager has a big role, and Ms. Keller carries herself well. She thanked Ms. Keller for supporting the council. Motion by Council Member Brausen, seconded by Council Member Dumalag, to approve the consent items as listed; and to waive reading of all resolutions and ordinances. The motion passed 7-0. 6. Public hearings. a. Resolution No.25-032 allocating 2025 Community Development Block Grant (CDGB) funds Ms. Olson presented the staff report. Council Member Rog asked if any St. Louis Park non-profits have applied for and received CDGB funding through this grant process. Ms. Olson stated she does not know if anyone has applied this year, but in the past, STEP has applied for and received funds for the emergency rental program. Mayor Mohamed opened the public hearing. No speakers were present. Mayor Mohamed closed the public hearing. Council Member Brausen stated it is appropriate to allocate funds this way, as there is uncertainty on how Hennepin County may change the formula in the future. Motion by Council Member Brausen, seconded by Council Member Baudhuin, to adopt Resolution No. 25-032 approving the allocation of 2025 Community Block Development Grant funds. The motion passed 7-0. 7. Regular business. a. Resolutions amending special permit and approving conditional use permit for West End Office Park, second reading and adoption of Ordinance No. 2688-25 for planned unit development for Terasa – Ward 4 Ms. Chamberlain presented the staff report. Council Member Rog stated she is not opposed to the development and will support this. Docusign Envelope ID: B931013C-C532-4411-A9FD-87D707798AA5 City council meeting -4- Feb. 18, 2025 Council Member Brausen stated this development is in the interest of the community and he will support it. Motion by Council Member Brausen, seconded by Council Member Farris, to adopt Resolution No. 25-033 and 25-034 amending special permit and approving conditional use permit for West End Office Park, second reading and adoption of Ordinance No. 2688-25 for planned unit development for Terasa. The motion passed 7-0. b. Resolution establishing the Terasa Tax Increment Financing District and the TIF plan – Ward 4 Mr. Hunt presented the staff report. Council Member Rog said for reasons stated earlier at the EDA meeting, she will vote in opposition. Motion by Council Member Brausen, seconded by Council Member Dumalag, to adopt Resolution No. 25- 035 establishing the Terasa Tax Increment Financing District and the TIF plan. The motion passed 6-1 (Council Member Rog opposed). c. Resolution approving private redevelopment contract and interfund loan for Terasa LLC – Ward 4 Mr. Hunt presented the staff report. Motion by Council Member Brausen, seconded by Council Member Farris, to adopt Resolution No. 25-036 establishing the Terasa Tax Increment Financing District. The motion passed 6-1 (Council Member Rog opposed). d. Resolution approving amendments to the comprehensive plan, first reading of zoning ordinance amendments pertaining to residential districts Mr. Morrison presented the staff report. Council Member Rog noted the required alley access with the minimum lot width being 10 feet narrower and asked why the lot is less and if it is because there is no driveway. Mr. Morrison stated yes and added that the additional width for lots without alley access can accommodate a driveway to get to the backyard, or an attached garage. Council Member Rog stated a concern she has about folks accessing alleys and plowing of alleys and if this will be a higher priority in the future. Docusign Envelope ID: B931013C-C532-4411-A9FD-87D707798AA5 City council meeting -5- Feb. 18, 2025 Karen Dorn, 2817 Quentin Avenue, asked if Rock Island is designated as open space. She stated she is also concerned about efforts to increase the density in St. Louis Park. She shared concerns about traffic, air quality, noise pollution, congestion and parking on roads in N1 neighborhoods. When looking at duplexes and triplexes, she noted that already many existing single family houses do not have room to park because they have single-car garages or have driveways that do not accommodate three cars. The proposed code would allow duplexes to have up to six cars on the property and that is a lot of traffic in any given neighborhood. She is finding that many residents have not engaged with this process, been informed, or expressed their thoughts and opinions on how the proposed changes affect residential neighborhoods. She has concerns about a triplex next door to her home and thinks there are more appropriate locations for triplexes, such as high transit corridors. She asked the council to reconsider the proposal and have a limited allowance for triplexes. She added there will be an increase in rental properties; she already has three houses across the street from her that are rentals. She shared the opinion that people who are renting do not get committed or involved in the neighborhood and the upkeep of properties is generally lax. She is concerned with accessory dwelling units (ADUs) being located five feet away from her backyard. She has lost her privacy in her backyard and that proximity is inappropriate. She added there needs to be distance, nature, space, clean air and privacy. Council Member Brausen asked about the mechanism related to the change in the recommendation for four of the parcels the city owns and if the council had discussed at a study session. He asked if the planning commission changed the planned zoning on two of these parcels. Mr. Walther responded affirmatively. Mr. Walther stated this was discussed by city council and a clear majority of four council members agreed to keep parcels open for potential future development. Staff’s recommendations was meant to uphold the status quo with regard to the zoning and land use guidance and require additional public feedback before action was taken. He stated this was presented at the planning commission, parks and recreation advisory commission, and environment and sustainability commission meetings as well. All input was brought to the planning commission, as well as public input, and the planning commission's recommendation was to zone two of the parcels entirely park and open space, instead of partially N1 as staff proposed. Mr. Walther continued that staff’s practice is to bring the planning commission’s recommendations to council. Council Member Brausen asked if the environment and sustainability commission sent a recommendation to the planning commission. Mr. Walther stated yes, that is correct. Council Member Brausen stated all the parcels were discussed by the council and the consensus was to zone these two parcels N1. He stated he is not sure this proposal from the planning commission still reflects that consensus. He asked if it would require five council member votes later on to rezone the parcels to N1 if it is considered in the future. Mr. Walther stated for the zoning change, state statute requires a simple majority. If there is a change in the comprehensive plan, which is the case for both sites, then that requires five votes from city council. He said 3940 France Avenue is currently guided as park and open space in the comprehensive plan, and 2800 Toledo Avenue is shown as right-of-way in the comprehensive Docusign Envelope ID: B931013C-C532-4411-A9FD-87D707798AA5 City council meeting -6- Feb. 18, 2025 plan. He stated in either case, a comprehensive plan amendment will be required to develop the property, despite any decision made this evening. Council Member Brausen stated he appreciates that, and asked if the council is making a comprehensive plan amendment if five votes are received today. Mr. Walther stated staff did not propose land changes to these parcels because there was not clear support from five council members, so staff was looking only to change the zoning. He stated the N1 zoning is not in conflict with the comprehensive plan designation plan, but if the council were looking to move ahead with a development, there would need to be a comprehensive plan amendment. Council Member Rog noted the Rock Island proposal is eight-tenths of an acre, so this is a tiny plot that folks are working to preserve with a recommendation from the planning commission. If it is kept as-is, a large group of community advocates would be required to continue to preserve the space. She stated the council could rezone this space as park and open space, which would generate goodwill. As the representative of Ward 1, she stated the council needs to listen to community on this issue. She is pleased that the planning commission unanimously advocated to preserve the small open space for the community. Council Member Baudhuin stated there are many held values that come into conflict with open space, especially with a massive lack of housing in the community. He stated the city must start doing some things differently or they will keep getting the same result. People’s concerns are very valid, but there is not a lot of data to support that the proposed reality can come to fruition. He stated he is in favor of the proposal and thanked staff for their hard work on the issue. He noted the city has to do more on housing, especially with a nationwide crisis. This city should be open to all and be affordable; it is not. He appreciates and has read all the feedback from residents. He stated he is hopeful the city will be a better and more diverse community because of finding a balance. Council Member Brausen agreed and added it is a tough decision. He is in favor of park and open space, and at the same time, is aware of the need for additional housing and of those who cannot afford to purchase a house in St. Louis Park because it is too expensive. He stated the city must provide for all, but it is hard to balance these competing interests. Council Member Dumalag commented on the four city parcels and noted that the council’s direction was not unanimous and somewhat close. She stated for 3940 France Avenue her opinion was in the context of the neighboring city having recently taken actions to address flooding concerns and she wanted some open space and natural habitat to be preserved in this area. She is looking at the four parcels in the context of what is coming before council. She acknowledged the need for housing and that folks do need open spaces. She will support the two parcels to be zoned park and open space because of the context being discussed tonight. Council Member Rog agreed that putting this in context makes sense. Many more developments are being created for affordable housing, while also keeping open spaces that the community values and anyone can use. Council Member Rog thanked staff for their hard work in getting the city to this point. She stated staff acted on the direction the community expressed through the visioning processes Docusign Envelope ID: B931013C-C532-4411-A9FD-87D707798AA5 City council meeting -7- Feb. 18, 2025 and reinforced over many years and the adjustments that were made based on that input. These proposed changes help meet city goals and provide a broad range of housing options for current and future residents. Council Member Rog stated staff has also taken steps to address the wishes of the council and the community to preserve the character of residential neighborhoods. She gave the example of maintaining current footprint, yard and height requirements in single-family neighborhoods, which make up most of the residential land in the community. Staff created opportunities for new types of housing that residents have been asking for as well, such as bungalows, townhomes, twin homes, courtyard-style homes and cottages. Council Member Rog added her thanks to staff for acknowledging the petition received via Change.org which asked the council to pause on approving these changes. As of about a week ago, over 300 people had signed the petition and only about sixty were people who live in St. Louis Park. She stated it looked like the rest of the petition signers were from other cities and states. As she read the petition, she looked at the names and recognized some of them as constituents or friends. Council Member Rog noted that over the weekend, she communicated with a Ward 1 resident who had signed the petition and reached out to her directly with questions. Through conversation, she was able to correct some misperceptions, including that a triplex could be built on any parcel where a single-family home currently stands. Council Member Rog added she shared data on home values that show property taxes have not historically been impacted and noted the resident felt better after hearing this and was ready to support the changes. She is hopeful that others who signed the petition or have unanswered questions will reach out to her, to city staff, or to other council members to discuss their concerns. Council Member Rog noted her lingering concern is that over time, these changes could impact the availability of entry-level for sale single-family homes. While this is not inevitable, it does seem possible if investors are allowed to buy up smaller homes, tear them down and construct multifamily rental properties without limit, along with wanting to create more housing options for all. She added the council has shown its support for wealth-building through home ownership. She urged staff and the council to be vigilant about monitoring trends. She asked them to be ready to respond with policies or other actions that will preserve for-sale housing for individuals and families along with wealth-building. Limiting the activity of outside investors in the housing in our community will be important as well. She is fully supportive of both of staff’s recommendations and will vote to approve the first reading. Council Member Budd added it is disconcerting to see so many signatures on the petition, adding she did not know how many were from the city’s residents and how many were not. She stated this feels different to her now because she was part of the open houses and part of the listening sessions. She saw the care and the work that went into making sure the community had access to this information. Council Member Budd stated she tried to ascertain how many of the petition signers could be in her Ward 3 because she would like to engage with them in discussion, especially regarding comments about resulting reduction in enrollment in St. Louis Park schools, or resulting in Docusign Envelope ID: B931013C-C532-4411-A9FD-87D707798AA5 City council meeting -8- Feb. 18, 2025 many teardowns. She noted there is a lot of fear of change in this proposal, but there are also opportunities to seek better ways to stay on top of the change, including monitoring outside investor properties as Council Member Rog noted. She stated she will be supporting the recommendation. Council Member Dumalag added she will also support the recommendations of staff. She noted that housing has been an issue for many years in St. Louis Park, and she has been involved in this issue for many years as well. When she was on Vision 3.0, a clear desire to have a variety of housing options in the city was noted. The planning commission recommended an Accessory Dwelling Unit (ADU) policy that was adopted, along with an inclusionary housing policy. The work of creating more affordable homes specifically within St. Louis Park has been the goal. When she would visit neighbors, she would often hear a concern that residents’ children or grandchildren would not be able to afford a home in St. Louis Park. Council Member Dumalag stated that when thinking about policy, the council needs to look at what will allow more people to live here, and “missing middle” housing will help alleviate that demand. People of diverse backgrounds also consider multi-generational living. When she moved to St. Louis Park 20 years ago, the Ellipse was a development of concern. Over time, it doubled property values and offers a restaurant and physician’s office. We do need to make space for others to live in our community, and noted how residents have benefitted from living in St. Louis Park. She stated that it is time that we share these benefits. Mayor Mohamed stated she is in favor of all the recommendations, and stated we tackle affordability in St. Louis Park with grants, funding, loans, and also through zoning. She added when the council address zoning to allow for more diverse housing stock, it brings down the demand. She stated she is happy about increasing affordability in the city. She added that she heard a comment about renters not being invested in the community. She shared for the last 20 years she and her family have been renters in St. Louis Park. She noted firsthand experience of seeing renters engage in the community. Owning a home is a privilege and some people prefer to be renters. She stated the city loves renters and homeowners and promotes both renting and homeownership. Council Member Farris agreed with all the previous comments. She stated she works three jobs and cannot afford to buy a home, but hopes someday to rent a home. Motion by Council Member Brausen, seconded by Council Member Baudhuin, to adopt Resolution No. 25- 037 to approve amendments to the comprehensive plan as presented. The motion passed 7-0. Motion by Council Member Brausen, seconded by Council Member Dumalag, to approve the first reading of zoning ordinance amendments pertaining to residential districts and to set the second reading for March 3, 2025. The motion passed 7-0. Docusign Envelope ID: B931013C-C532-4411-A9FD-87D707798AA5 City council meeting -9- Feb. 18, 2025 e. First reading of ordinance amending city code Chapter 2 regarding boards and commissions Mr. Coleman presented the staff report. Council Member Budd asked about proposed term limits. Mr. Coleman stated this was discussed in the study session held May 20, 2024, and several council members agreed to the implementation of term limits. Council Member Budd asked how many individuals the term limits will impact. Mr. Coleman stated that the change would be effective in June 2025, and it will take time for the entire process of appointments and term limits to correct itself. He noted staff could follow up with more information on how many existing commissioners may be impacted. Council Member Budd noted if some commissioners had been serving for a long time and sought reappointment, they were re-interviewed. She asked how those positions were filled. Mr. Coleman stated once term limits were met, specifically for those who are filling seats that were vacant as a result of the redesign project, commissioners would then able to apply for reappointment and be allowed to serve two consecutive three-year terms. He added this situation was unique because of the number of vacancies that existed. Ms. Brodeen added the term limits would apply to any new appointment processes going forward, so if someone has been a current member who has served two three-year terms, they would be ineligible to reapply. This gives others the opportunity to serve. The draft ordinance provides that the individual would need to take a break for at least one term and could reapply in the future. Council Member Rog stated she is concerned about the term-limit concept coming up now. She added it is about a collection of individuals, and she feels strange discussing the question now. She stated this may be surprising for some commissioners who may be done with their term in June, and added she is not comfortable about voting on this tonight. Ms. Brodeen stated staff’s understanding based on previous discussions was that the council supported term limits, but noted it is ultimately up to the council to decide. She stated term limits are considered best practice, but encouraged council to discuss further before any decisions are finalized. Council Member Dumalag stated the council did previously discuss term limits. She stated in that meeting, the council discussed how it is normal good governance to have term limits as well as to have a pipeline to serve on boards and commissions. Council Member Dumalag noted her experience on the planning commission. When certain commissioners were not reappointed, hard feelings could result because there was not another way to say that it was time for other voices to be heard. Boards and commissions are a political appointment and term limits are a way to have other voices in the room and allow for leadership while in these seats. Council Member Brausen added he is also a proponent of term limits and that it allows others the opportunity to serve and develop their leadership skills. If they like serving, they can take a Docusign Envelope ID: B931013C-C532-4411-A9FD-87D707798AA5 City council meeting -10- Feb. 18, 2025 short-term break and then serve again at a later date. He stated this gives a structure to have regular turnover. He stated he supports term limits. Council Member Baudhuin stated he also supports term limits and appreciates staff’s work on this recommendation. He stated the boards and commissions work has come to a good place and he will support it. Council Member Rog added she agrees with term limits. She clarified that her concern is that term limits might come as a surprise to some that are serving now on boards and commissions. She asked if a person’s two terms is completed, would they be able to apply immediately to another board or commission. Ms. Brodeen confirmed that they could. Council Member Rog also asked if the housing authority is also moving to three-year terms. Mr. Coleman explained state statute requires that the terms for members of the housing authority be five years. Mayor Mohamed thanked staff and council for their work on this and she will also support this as well as the term limits. Motion by Council Member Brausen, seconded by Council Member Baudhuin, to approve first reading of ordinance amending city code Chapter 2 regarding boards and commissions and to set the second reading for March 3, 2025. The motion passed 6-1 (Council Member Budd opposed). 8. Communications and announcements. Ms. Keller stated information on the Vision 4.0 process is now on the city website. She added the community committee will kick off their work on Thursday, Feb 20. This is a smaller cohort of people who will help champion and shape the work and act as ambassadors to help bridge the gap between the community and city staff and to increase engagement and participation. Council Member Baudhuin complimented the St. Louis Park Theatre Department which made it to the one-act festival this year. He noted this is a huge accomplishment and the first time in many years. 9. Adjournment. The meeting adjourned at 8:26 p.m. ______________________________________ ______________________________________ Melissa Kennedy, city clerk Nadia Mohamed, mayor Docusign Envelope ID: B931013C-C532-4411-A9FD-87D707798AA5