HomeMy WebLinkAbout02-14-11-R EN HILLS
Approved: March 14, 2011
CITY OF ARDEN HILLS,MINNESOTA
REGULAR CITY COUNCIL MEETING -_
FEBRUARY 14,2011
7:00 P.M. -ARDEN HILLS CITY COUNCIL CHAMBERS
CALL TO ORDER/ROLL CALL
Pursuant to due call and notice thereof, Mayor David Grant called to order the regular City
Council meeting at 7:00 p.m.
Present: Mayor David Grant, Councilmembers Fran Holmes, Brenda Holden, and
Ed Werner.
Absent: Nicholas Taznble (excused)
Also present: City Administrator Patrick Klaers; City Attorney Jerry Filla; Community
Development Director Jill Hutmacher; and Recording Secretary Tina Borg.
PLEDGE OF ALLEGIANCE -
1. APPROVAL OF AGENDA
Mayor Grant added Item 2A. TCAAP Update to the agenda.
Mayor Grant requested Item 4B be pulled from the Consent Calendar.
MOTION: Councilmember Holden moved and Councilmember Holmes seconded a
motion to Approve the Agenda as amended. The motion carried unanimously
2. PUBLIC INQUIRIESANFORMATIONAL
A. TCAAP Update
Mayor Grant read the following statement: Ramsey County Officials have held meetings with
the Minnesota Vikings to discuss the suitability of the former Twin Cities Army Ammunition
Plant, also known as TCAAP, as the site of a new stadium. City Officials attended some of those
meetings. On Thursday, February 10, 2011, Ramsey County notified the City that at the February
15, 2011, County Board meeting it would consider a Resolution in response to a letter received by
the County from the Minnesota Vikings. The proposed Resolution declares the County's interest
in pursuing the potential acquisition and remediation of land and making public
ARDEN HILLS CITY COUNCIL—February 14, 2011 2
2.A. TCAAP Update (continued)
infrastructure improvements to allow for a stadium project on the former TCAAP site in Arden
Hills. The proposed County Resolution further authorizes the County Manager to discuss the site
with applicable Federal agencies, the Minnesota Vikings, the City of Arden Hills, Governor —
Dayton, and the Minnesota Legislature. The County Manager would also be authorized to initiate
due diligence including financial and legal analysis, transportation studies and environmental —
consulting necessary to determine whether a stadium development at the TCAAP site is feasible
and in the best interest of Ramsey County. The letter from the Minnesota Vikings and the draft
Ramsey County Resolution are posted on the Arden Hills website. As part of the City Council's
Saturday, February 12, 2011, Annual Goal Setting and Strategic Planning Workshop and in light
of Ramsey County's scheduled action on February 15, 2011, the City Council discussed the City's
reaction to the letter from the Minnesota Vikings and the draft Ramsey County Resolution. It was -
noted that the current zoning of the TCAAP site does not prohibit a stadium. The City Council
will monitor the action taken by Ramsey County and, if necessary, will direct Staff to work with
Ramsey County on due diligence analysis. The Arden Hills City Council may take action at its —
February 28, 2011, Regular City Council meeting. The City Council emphasizes its commitment
to protecting the residents and businesses of Arden Hills and ensuring that TCAAP is remediated
and developed in a manner that is beneficial to the City.
Councilmember Holmes stated she would be attending the Ramsey County Commissioner
Meeting on February 15, 2011.
Mayor Grant stated as the process moves forward there will be updates posted on the City's
website and during City Council meetings.
B. Northwest Youth and Family Services
Mr. Jerry Hromatka, President and CEO of Northwest Youth and Family Services, provided the
City Council with an annual update about the services they provide to the residents of Arden Hills.
He shared background information about Northwest Youth and Family Services, the programs
they offer the community (including mental health counseling, youth development, and day
treatment for youth); and information on how the City's financial support is utilized. He also
explained the partnerships Northwest Youth and Family Services have with communities, school
districts, businesses, and other collaborations. He stated Northwest Youth and Family Services
also raises other funds beyond those provided by communities.
Councilmember Holden asked what residents could do to support Northwest Youth and Family
Services. She also asked for details on the Northwest Youth and Family Services Leadership
Luncheon.
Mr. Hrom.atka stated residents could help directly by donating time or money to the facility. The
Northwest Youth and Family Services website, www.n s.org, provides an opportunity for people
to make contributions using credit or debit cards. He also stated residents could support them
indirectly in the choices people make when voting. The Northwest Youth and Family Services
Leadership Luncheon was one of two fundraising opportunities. Community Leaders will be on
ARDEN HILLS CITY COUNCIL—February 1 4, 2011 3
2.B_ Northwest Youth and Family Services (continued)
hand to discuss what is going on in the community. The luncheon is free and will be held the first
Wednesday in May.
Councilmember Holmes stated Councilmember Holden had received the Paul Harris Award for
her service to the community. —
Mayor Grant asked how the completion of the gym had improved the facility's services.
Mr. Hromatka stated the completion of the Discovery Center has enabled the facility to provide
more services to the residents and the community. The Discovery Center provides an opportunity
for the community's youth to get active and learn sportsmanship and teamwork. Programs outside -
of Northwest Youth and Family Services are utilizing the facility as well.
Mayor Grant thanked Mr. Hromatka and Northwest Youth and Family Service for the services
they provide to the community of Arden Hills.
C. North Suburban Communication Commission (NSCC)
Ms. Cor Wilson, North Suburban Communications Commission Executive Director, updated the
Council on current NSCC events including their recent relocation to the site of the previous
Roseville Library's temporary location. NSCC will be operating out of a portion of this facility
while construction is completed in another portion of the building for their operations. Currently
the NSCC is working on franchise renewals. Under Federal law the cable companies are required
to provide 36 months' notice regarding franchise renewals. This process requires NSCC to hire
outside consultants to do a needs assessment. At this time the City is being asked to formally
appoint NSCC to start the formal renewal proceedings and give them authority to negotiate in
both the formal and informal process.
Mayor Grant asked Ms. Wilson to give a statement about the CTV Scholarship program.
Ms. Wilson stated the Commission accepts and evaluates scholarship applications. There is an
application available on the website, www.ctvl5.or , and the deadline is April 8. The Scholarship
is available to those students who are in the process of completing their first year of secondary
education in some form of communications. It is not available to high school students. The
applicant must be a resident of one of the ten communities that are part of the Commission and
there are 10-15 scholarships given each year.
Councilmember Holden asked what type of programming was available on CTV 21.
Mr. Wilson clarified that Channel 21 was reserved for non-local programming, which has been
sponsored by a resident of one of the Commission's ten cities.
Councilmember Holmes asked where NSCC gets its funding_
ARDEN HILLS CITY COUNCIL—February 14, 2011 4
2.C. North Suburban Communication Commission (continued)
Ms. Wilson stated the cities get franchise fees from the cable company and a portion of this is
used to support the Commission. Access Corporation is largely funded by an operating grant that
was negotiated with the cable company in the 1980's to provide community programming. The _
NSCC also utilizes an equipment grant.
Councilmember Holmes asked what type of consultants would be hired by NSCC for the
negotiations and if these consultants would be local residents.
Ms. Wilson stated NSCC would need to hire engineering consultants who understand cable
systems and how they are built to evaluate how the current system is working and what the future
needs will be, a financial consultant to evaluate the cable company's financials, and a needs
assessment person to meet with cities, schools, non profits, and employees to find out what they
feel their future cable needs will be. Because of the specialized nature of these consultants it is
not likely they will be local residents.
Mayor Grant thanked Ms. Wilson for the cable TV update.
PUBLIC
Mayor Grant opened the Public Inquiries/Informational at 7:54 p.m,
Mayor Grant closed the Public Inquiries/Informational at 7:55 p.m.
3. APPROVAL OF MINUTES
None.
4. CONSENT CALENDAR
A. Claims and Payroll
1 caJ 111Vii.,of.y AV,VVL.LJ for the 2010 Saftitat=y Se
C. 2010 Capital Reimbursement to Lake Johanna Fire Department
D. Approve 2011 Animal Control Services Agreement
MOTION: Councilmember Holden moved and Councilmember Holmes seconded a
motion to approve the Consent Calendar as amended and to authorize
execution of all necessary documents contained therein. The motion carried
unanimously(4-0).
5. PULLED CONSENT ITEMS
A. Adopt Resolution 2011-006: Accepting Work Completed and Authorizing Final
Payment of$18,862.25 for the 2010 Sanitary Sewer Lining Project
Mayor Grant stated the Staff report noted that the final contract amount is $3,710 more than the
revised awarded amount and this cost increase is the result of the actual quantities being slightly
higher than estimated quantities. He stated the memo does not specify if the increase in atcual
ARDEN HILLS CITY COUNCIL—February 14, 2011 5
5.A. Adopt Resolution 2011-006: Accepting Work Completed and Authorizing Final Payment
of$18,862.25 for the 2010 Sewer Lining Project(continued)
quantity was due to an increase in linear feet being done or if it was the result of increased pipe
sizes. He requested that in the future an explanation outlining the exact reason for the increases be —
provided to the Council. The project was under the budgeted amount even with this increase. He
requested Staff provide additional information in the next Administrator's Update. —
MOTION: Councilmember Holden moved and Mayor Grant seconded a motion to Ado t
Resolution 2011-006: Accepting Work Completed and Authorizing Final
Payment of $18 862.25 for the 2010 Sanitary Sewer Lining Project. The
motion carried unanimous) 4-0 .
6. PUBLIC HEARINGS
None.
7. NEW BUSINESS
A. Cable Franchise Agreement
City Administrator Klaers stated the 15-year franchise agreement with Comcast is up for
renewal in 2013. The North Suburban Communications Commission (NSCC) is requesting
approval of a Resolution which will reinforce the City's permission to allow NSCC to renegotiate
the franchise renewal on behalf of Arden Hills. This Resolution will make it clear that NSCC has
the authority to negotiate this renewal.
MOTION: Councilmember Holden moved and Councilmember Holmes seconded a
motion to -Approve Resolution 2011-007 Which Reinforces the City's _
Approval to Have North Suburban Communications Commission Renegotiate
the Franchise Renewal on Behalf of Arden Hills. The motion carried
unanimously (4-0).
B. Approve Resolution 2011-008 in Support of Arden Village HOMEICDBG
Application
Community Development Director Jill Hutmacher stated Sand Companies, Inc. (SCI) has
requested support of their application for the Ramsey County HOME Investment Partnership
Program (HOME) or Community Development Block Grant (CDBG) funds for Arden Village.
SCI has proposed the development of an affordable rental housing development at 1296 County
Road F. The proposal required the property to be rezoned and that the City's Comprehensive Plan
be amended. On March 8, 2010, the City Council gave land use approvals for the Arden Village
project including Conditional Use Permit Amendment, Rezoning, Comprehensive Plan
Amendment, Preliminary and Final PIat, and Master and Final Planned Unit Development. SCI
was unsuccessful in the last round of Minnesota Housing Finance Agency (MHFA) tax credit
funding. SCI is now trying to fill its funding gaps so that it will be more competitive in the next
ARDEN HILLS CITY COUNCIL—February 14, 20l 1 6 rs
7 B. Approve Resolution 2011-008 in Support of Arden Village HOME/CDBG Application
(continued)
round of tax credit funding. SCI intends to apply for $300,000 in Ramsey County HOME or
CDGB funds. Applications are accepted annually and are due on February 25, 2011. The —
application requires a resolution of support from the City. With the City's March 8, 2010, Iand
use approvals and the June 14, 2010, good faith commitment for up to $225,000 in TIF assistance, —
SCI closed on the purchase of land in December 2010, and is currently pursuing funding to fill its
funding gaps. If SCI is awarded HOME or CDGB funds, and having already received land use
approvals and acquired the land, they should be quite competitive for the next round of MHFA tax
credit funding. An updated letter of support including a restatement of the City's good faith
commitment for TIF assistance will be needed for SCI's June 2011, MHFA tax credit funding
application, which will be requested at a later date.
Mayor Grant clarified the deadline for this application is different from the deadline for the
Housing Tax Credit grant application. —
Community Development Director Hutmacher clarified the grant that is being applied for at
this time is the Ramsey County HOME/CDBG and the deadline for this is February 25, 2011.
The MHFA tax credit funding has two funding cycles with the majority of their funds being
allocated in the June cycle. SCI did receive a small amount of$35,000 from Ramsey County in
November.
Mayor Grant asked if this project was classified as work force housing or affordable housing.
Community Development Director Hutmacher stated the project is classified as work force
housing but the term affordable housing in general includes work force housing. Work force
housing is exclusively for those individuals that are working or have some form of income.
Mr. Jamie Thelen, CEO for Sand Companies, Inc. stated the project is for individuals that have
some form of income and this can include seniors. In other facilities they have built, the one
bedroom design has been popular for seniors and the two and three bedrooms are designed more
for families. He clarified seniors do not have to be working but they must have a form of income.
Councilmember Werner stated there was $1.6 million available with the HOME/CDBG funds.
He asked what the chances were that SCI would be able to secure the $300,000 they would be
requesting.
Mr. Thelen stated he did not know what requests there would be this year. He stated it has been
several years since Arden Hills has received any funds so this may increase the chances that they
are able to receive funds. He stated this application with Ramsey County is the second time SCI
has applied and in June it will be third application for MFHA with last year's application being
the first application in the large allocation round.
Councilmember Holden clarified the only time a person needs to prove income for this
development is at the time of application for an apartment.
ARDEN HILLS CITY COUNCIL—February 14, 2011 7
7.B. Approve Resolution 2011-008 in Support of Arden Village HOME/CDBG Application
(continued)
Mr. Thelen stated this was correct.
Councilmember Holden stated when the TIF run was originally done it was set at a maximum of
up to $225,000, which was based on the cost of the land and other factors. She asked if the price that SCI paid for the property when they closed on it in December was the same as the amount
that was used in the TIF run.
Community Development Director Hutmacher answered that she did not have the amount that
was paid at closing available and was not sure at this time if it was the same number that was used
in the TIF run. In order to determine TIF eligibility a new TIF run would need to be reviewed.
Mr. Thelen stated he did not have the exact amount but a purchase agreement had been provided
to the City when the original TIF run was performed. The price that SCI paid for the property is
the same as the amount that was on the purchase agreement.
Councilmember Holmes asked for clarification regarding how the SCI project that was
completed in White Bear Lake would support additional TIF funding in Arden Hills,
Community Development Director Hutmacher stated the prior TIF runs had been based on the
estimated assessed value of the property and the projected tax revenue the property would
generate. The tax-assessed values were lower than what was expected. The SCI project in White
Bear Lake is similar to the one being proposed in Arden Hills and the values are higher on this
property. SCI is questioning if the values that were being estimated for the Arden Hills
development were lower than they ought to be, especially when compared to a similar project that
has been completed. SCI would like to have this reviewed.
Mayor Grant clarified the City was being asked to endorse up to $225,000 in funding but not
committing to a TIF District.
Councilmember Holden clarified that even if the TIF runs show the project was eligible for
$225,000 the City could approve any amount they wished up to this maximum.
Community Development Director Hutmacher stated the City had previously approved a letter
of support for up to $225,000 in TIF funding, based on the but/for analysis and SCI receiving
funding from MFHA. SCI is requesting support from the City for their application to Ramsey
County for the HOME/CDBG funds.
City Administrator Klaers stated the letter of support provided to SCI in June for up to
$225,000 in funds is not a guarantee but is a good faith commitment and it would be difficult for
the City to back out of this.
Councilmember Holden clarified that by supporting the application to Ramsey County the City
was providing a commitment to up to $225,000 in TIF because the project is based on this
amount.
ARDEN HILLS CITY COUNCIL—February 14, 2011 8
7.B. Approve Resolution 2011-008 in Support of Arden Village HOME/CDBG Application
(continued)
Community Development Director Hutmacher stated the City made a good faith commitment
in June for up to $225,000 in TIF funding and SCI has invested time and money into this project —
based on this information. SCI has also used this information when applying for other funding for
the project. The City can choose to provide a lesser amount and the City would need to approve a —
TIF District.
Councilmember Holden stated the June 14, 2010 Resolution was support for the MFHA
application in June. She asked how long this letter would be in effect.
Community Development Director Hutmacher stated it is not unusual for this process to take a - -
long time but she could not say if there was a set time frame for expiration.
City Attorney Jerry Filla stated SCI was asking for this resolution to clarify the support the City —
offered nine months ago with its June 2010 letter. He asked Mr. Thelen if this was correct.
Mr. Thelen stated SCI was looking at adding another funding source to cover the $1.7 million
gap for the project and this would provide for additional points when they reapply for MFHA
funds in June. SCI is not asking the City to change its commitment at this time. They may come
back to the City in a couple of months to review this commitment but at this time SCI is asking
for the City's support in applying for the Ramsey County HOME/CDBG funds.
City Attorney Filla clarified the resolution was for support of the grant funding application only
and not a change in the TIF commitment.
Councilmember Holden stated the whole foundation of the resolution rests on the commitment
of TIF.
Mr. Thelen stated he did not know if Ramsey County would be asking if there was any local
participation in the project and so he did not know if the June 14, 2010, letter of support would
need to be included in the application. The letter from June 14, 2010, providing a good faith
commitment from the City for up to $225,000 in TIF funding is completely separate from the
request to support SCI's grant application to Ramsey County. SCI will ask the City for an
updated letter of support, including TIF funding, for the grant application to MFHA in June. SCI
understands that the City is under no obligation to support or approve an increase in the TIF
support previously approved.
Councilmember Holmes stated at this time she would not be comfortable with not agreeing to
the TIF support at this time. SCI purchased the property for the development based on the City's
commitment. The City has a commitment to stand by the June 14, 2010, letter for a reasonable
length of time.
Mr. Thelen stated SCI has done a market study for the project. The recently completed project in
White Bear Lake has been successful. SCI has gotten the approvals from the PIanning
Commission and the City Council for the project. SCI purchased the property in hopes of
continuing the project.
ARDEN HILLS CITY COUNCIL—February 14, 2011 9
7.B. Approve Resolution 2011-008 in Support of Arden Village HOME/CDBG Application
(continued)
Councilmember Holden agreed the City has made a commitment up to $225,000 in TIF funding
but not an increased amount even if the TIF run supported more. She asked how much funding the developer had invested in the project.
Mr. Thelen stated the owner and developer have equity, related to the tax credits, into the
development in the amount of$5.6 million of$10 million total project cost and this amount is not
reimbursed back to the owner or developer.
MOTION: Councilmember Holden moved and Councilmember Holmes seconded a
motion to Approve Resolution 42011-008 in Support of Arden Villa e
HOME/CDBG Application.
Mayor Grant stated the record should reflect the Council referenced the previous memo of June
14, 2010, which indicated up to $225,000 in TIF funding as part of the discussion on approving
the request to support the grant application to Ramsey County.
The motion to approve Resolution 42011-008 was called to a vote.
The motion carried(3-1: Councilmember Holden)
City Administrator Klaers stated the TIF commitment is not good forever. He stated FPAC is
aware of this issue. The length of time may be a matter of legal issue and should be discussed.
City Attorney Filla stated the approvals that were granted in March 2010 might be close to
expiring. He asked if the City has received extension requests for this project.
Mr. Thelen stated the county just finalized review of the final plat so SCI should be able to
complete the filing next week. The PUD approval expires in the spring and he would check the
exact date. SCI would be coming back to the City with a request for extension on the building
permits.
8. UNFINISHED BUSINESS
A. Senator Goodwin Meeting Update
Councilmember Holmes stated on February 9 there had been a meeting facilitated by Senator
Goodwin. Representative Knuth, 2 representatives from Ramsey County, 5 representatives from
MnDOT, City Administrator Klaers, Public Works Director Maurer, Councilmember Holden and
Chris Chromey from Bolton & Menk were in attendance. The timing for the I-694 improvements
at Snelling Avenue had been discussed. The improvements are scheduled to start in August 2011
and be completed by August 2013 and 1-694 will not close during the improvements at Snelling
Avenue. Additionally, the Highway 10 and County Road 96 project will be starting in 2012. The
State has indicated agreement that due to the 1-694 and Snelling project, there will be additional
ARDEN HILLS CITY COUNCIL—February 14, 2011 10
$.A. Senator Goodwin Meeting(continued)
stress on Lexington Avenue and County Road F and they would give cooperative agreement
funding for the bridge on Lexington Avenue as part of this project. The State will send a letter to
the City memorializing this conversation. —
Councilmember Holden clarified that this is the first time that MnDOT has agreed Lexington —
Avenue will be affected by the improvement project on I-694.
Councilmember Holmes clarified that MnDOT has committed to the bridge work on Lexington
Avenue but they will not be able to have this project completed prior to the 2011 start of the I-694
project. MnDOT has not committed to funding improvements at the County Road F intersection
but they will look at funding for improvements on this bridge. Regarding the Highway 10 and -
County Road 96 project, she stated she had talked to Mr. Joe Lutz about considering having a
right hand turn to east County Road 96 and his response was that this was not possible. The
traffic counts for this did not warrant inclusion of these traffic movements. Also, Ramsey County
has agreed to the improvements on the County Road E Bridge. They would like the City to
prepay for this project with reimbursement in 2014.
Mayor Grant asked if the County Road E project would include pedestrian crossings.
Councilmember Holden stated the County is in discussions with MnDOT on this point.
MnDOT's plan that they submitted to the County is substandard regarding the pedestrian crossing.
At this time the only commitment is that the County is scoping out the 2014 Bridge improvements
to County Road E.
Councilmember Holden stated the County has been designated as the lead agency on the
Highway 10 and County Road 96 project. This project will need to come to the City for
municipal consent. The first access point to be removed as part of the I-694 project will be the
Hamlin/Snelling access. MnDOT may come across with not wanting any pedestrians on
Snelling Avenue in the future. The City had been asking for a commitment for a
pedestrian bicycle type crossing and MnDOT is completely against this for safety reasons. The
City requested to have berms constructed from the extra dirt from the project. It became apparent
that there is no place that a berm can be constructed that would be of any value to the City or its
residents. MnDOT also stated they did not want to go through the Appeals process.
Mayor Grant asked Staff to forward a copy of the letter from MnDOT memorializing these
conversations to Shoreview.
B. Update on Union Mediation
City Administrator Klaers stated the City and Public Works Union representatives had a
meeting with the State Bureau of Mediation Services on Thursday, February 10, 2011. At the end
of a series of meetings, a tentative agreement was reached. This tentative agreement is consistent
with direction Staff received at the February 7, 2011, Executive Session. The tentative agreement
is subject to a vote of the Union membership, which is scheduled for February 23, 2001, and City
ARDEN HILLS CITY COUNCIL—February 14, 2011 11
&B Update on Union Mediation (continued)
Council approval. He clarified that the agreement is tentative and would need to be voted on
before it could become final.
9. COUNCIL COMMENTS
Councilmember Holden stated that she had heard that Japan was working on a new device that
was about the size of a checkbook that could potentially replace cell phone towers_ This device is
small and could be mounted virtually anywhere. This would provide more coverage because more
of them could be placed in areas without the need for large towers. She stated with the significant
changes in technology she is glad that Arden Hills has been on the defense with allowing large
cell towers that may soon be obsolete.
ADJOURN
MOTION: Councilmember Holmes moved and Councilmember Holden seconded a
motion to ad'ourn the meetin . The motion carried unanimous) 4-0 .
Mayor Grant adjourned the meeting at 8:56 p.m.
Patrick Klaers, City Administrator David Grant, Mayor -