HomeMy WebLinkAbout10-29-12-WS for TCAAP Update "I't
-TEN_ HILLS
Approved: December 10, 2012
CITY OF ARDEN HILLS, MINNESOTA
SPECIAL CITY COUNCIL WORK SESSION MEETING
OCTOBER 29,2012
IMMEDIATELY FOLLOWING REGULAR CITY COUNCIL—COUNCIL CHAMBERS
CALL TO ORDER/ROLL CALL
Pursuant to due call and notice thereof, Mayor Grant called to order the Special City
Council Work Session meeting at 8:45 p.m.
Present: Mayor David Grant; Councilmembers Brenda Holden, Fran Holmes, Nick
Tamble, and Ed Werner
Absent: None
Also present: City Administrator Patrick Klaers; Public Works Director Terry Maurer;
Community Development Director Jill Hutmacher; and Deputy City Clerk Amy Died
1. AGENDA ITEMS
A. TCAAP Update
City Administrator Klaers stated that he wanted the City Council to meet in a work session for
the purpose of discussing TCAAP and the proposed Joint Powers Agreement (JPA) between the
City and the County; and ultimately, where that partnership is heading.
City Administrator Klaers noted that in June, the County moved the project forward by applying
for a grant for DEED money for the acquisition and cleanup of the TCAAP site. He explained
that the County did not receive the DEED grant, but they are still moving ahead with the
acquisition of the property. Additionally, the County has officially extended their deadline with
Bolander for remediation of TCAAP as well as their Offer to Purchase with GSA.
City Administrator Klaers stated that the City and the County have a common goal of getting
the land cleaned up and put back into productive use. He explained that a defined set of roles and
responsibilities needs to be established. He indicated that a proposed Memorandum of
Understanding between the County and the City for TCAAP has now led to a draft JPA, and
Michael Norton, of Kennedy& Graven, has been hired to help the City with this document.
City Administrator Klaers stated that in late September/early October, he met with
Councilmembers both individually, and/or in small groups, to talk about where the project is
ARDEN HILLS SPECIAL CITY COUNCIL WORK SESSION—OCTOBER 29, 2012 2
going. The message that he took away from those meetings is that the City needs to minimize its
risks. Working with a private developer, such as Ryan Companies, is different than working with
the County. He stated that in general, the feedback provided during his meetings with the
Councilmembers was positive.
City Administrator Klaers stated that the conversations with individual Councilmembers further
identified two additional concerns. First, is the issue of off-site transportation and the second is
regarding the need for a third access onto the property. He indicated that he does not have a good
answer for those concerns,but noted that the issues are the County's responsibility.
City Administrator Klaers noted that there are questions regarding the initial establishment of
the Joint Development Authority(JDA) and how this new board should function and operate. It is
known that it would be comprised of two members of the County Board, two members of the City
Council, and one member appointed by the City Council.
City Administrator Klaers stated that the two key sections of the JPA are the ones related to the
establishment of the JDA and the creation of a Master Plan. There are unknowns with the JPA
such as how the JDA will operate and function, questions on how the Master Plan is implemented
(phased in), and the cost of the Master Plan. He noted that the cost of the AUAR is likely going to
be between $100,000 - $200,000. There is also the trunk utility financial issue that will ultimately
be passed on to the developers as well as the financial responsibility of operating the JDA itself.
At this time, it is unclear how expensive it will be to create the JDA and there will be ongoing
expenses.
City Administrator Klaers stated that the AUAR is a City requirement. Staff has met with
Kimley Horn and WSB and was given estimates as to what AUAR's have cost in other cities. He
was also given a timeframe estimate. He met with the County and discussed some of the financial
issues. The County has indicated that they will make sure the City is reimbursed for some of its
planning expenses. He said that ways in which reimbursement may happen is with building
permit surcharges, increased SAC/WAC fees, or application development fees. There are other
ways to recapture the money, and the County will support the City in getting its money back.
City Administrator Klaers stated that staff has met with Ehlers to discuss this project and Ehlers
has done bond runs, so the City knows those costs. With this project, the County is the landowner
and as such, they are required to pay for the infrastructure, and they would like the City to bond
for it. He indicated that the City should not bond unless the County can guarantee payment.
Councilmember Holmes questioned why the County is not going to bond for the infrastructure
costs.
City Administrator Klaers stated that the County does not see themselves as a developer; only
as temporary landowners, and the County views the City as being responsible for utilities.
Councilmember Holmes stated that the County wants the City to bond and to be responsible for
the construction and initial expense of sewer and water. She reminded staff that during previous
discussions, the consensus of the Council is that they would not put the burden of TCAAP-related
expenses on the residents.
ARDEN HILLS SPECIAL CITY COUNCIL WORK SESSION—OCTOBER 29, 2012 3
Mayor Grant stated that they City would be issuing the bonds, but the County would make the
payments. The County would get its money by selling land, and essentially, the County is
covering the costs of trunk utilities.
Councilmember Holden inquired about the County's bond rating.
City Administrator Klaers stated that according to Ehlers, it is marginally better than the City's.
Discussion ensued regarding estimated costs and timeframes involved in the TCAAP project,
including the operating and ongoing costs of the JDA, Master Plan, and trunk utilities. The
Council requested estimates and assumptions involved for the project.
ADJOURN
Mayor Grant adjourned the Special City Council Work Session meeting at 10:10 p.m.
Patrick Klaers David Grant
City Administrator Mayor
--S EN HILLS
Request for Special Council Meeting
A special meeting may be called by the Mayor or by any two Council Members.
Reason for meeting: Work Session for a TCAAP Update
Requested Date: 10/29/12
Requested time: Immediately following the Regular City Council Meeting
Open meeting X Closed meeting
Signatur f person s) ma i g request:
a � 10/25/12
Mayor or Council Member Date
Council Member Date
-This section to be completed by City staff-
Date received: 10/25/12
Date meeting to be held: 10/29/12
Time of meeting: Immediately following Regular City Council Meeting
Location: Council Chambers City Hall
All necessary posting and notices have been completed.
J-ni ,'LL, I0 /
Signature of Dep ty Clerk Date
City of Arden Hills * 1245 West Highway 96 Arden Hills,MN 55112-5743
Phone 651.792.7800 0 Fax 651.634.5137 www.charden-hills.mn.us