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HomeMy WebLinkAbout03-17-14-WS 'It ,- S ZEEN HILLS Approved: May 12, 2014 CITY OF ARDEN HILLS,MINNESOTA CITY COUNCIL WORK SESSION MARCH 17,2014 5:00 P.M. - ARDEN HILLS CITY COUNCIL CHAMBERS CALL TO ORDER/ROLL CALL Pursuant to due call and notice thereof, Mayor Grant called to order the City Council work session at 5:00 p.m. Present: Mayor David Grant; Councilmembers Brenda Holden, Fran Holmes, Dave McClung, and Ed Werner Absent: None Also present: City Administrator Patrick Klaers; Director of Finance and Administrative Services Sue Iverson; Public Works Director Terry Maurer; Community Development Director Jill Hutmacher; City Planner Ryan Streff; Associate Planner Matthew Bachler; and City Clerk Amy Died Planning Commission Members present: Commissioners Brent Bartel, Andy Holewa, Steven Jones, and Vice Chair Roberta Thompson APPROVAL OF AGENDA The Council accepted the agenda as presented. 1. AGENDA ITEMS A. TCAAP Discussion City Administrator Klaers stated that City staff, County staff, and consultants have had a series of meetings concerning development issues. At this time, Council discussion and direction is needed to facilitate continued progress. Infrastructure Study. Heather Worthington and Beth Engum, Ramsey County, will present information on a proposed infrastructure study which would examine issues related to stormwater/wetlands, utilities, transportation, land title/platting, and infrastructure financing. ARDEN HILLS CITY COUNCIL WORK SESSION—MARCH 17, 2014 2 Development Constraints. Heather Worthington will provide information on development constraints which may limit types of land use and development in certain areas of the site. City Financial Modeling. Stacie Kvilvang, Ehlers and Associates, will discuss City financing for utilities. Budget Amendment. Sue Iverson, Director of Finance and Administrative Services, is recommending a budget amendment to move TCAAP expenses into a capital fund for improved tracking and transparency. PTRC Review. Terry Maurer, Director of Public Works, will report on the plan to work with the Parks, Trails, and Recreation Committee as requested by the City Council to complete an analysis of park and open space needs on the TCAAP site. Future Meeting Schedule. As TCAAP development proceeds, the issues above as well as other and discussion b the City Council and a proposed meeting topics will need regular review y y p p g p schedule will be discussed. Seth Engum, Ramsey County, reviewed the infrastructure study with the Council noting that an RFP for consultant work was being drafted at this time for design of the TCAAP site. She anticipated that the infrastructure work (stormwater, wetlands, utilities, sanitary, sewer, transportation, spine road, mass grading and platting) would be completed in phases. The County hoped to have the RFP completed at the beginning of April. This was a tight timeframe, but would ensure the project was properly moving forward. Public Works Director Maurer recommended that the City attach the water and sanitary sewer analysis and feasibility study onto this RFP. He anticipated that a cost sharing agreement could be reached between the City and the County for these specific tasks. Mayor Grant questioned if the proposed construction timeline would lead to work beginning on TCAAP in 2016. Ms. Engum believed roadways and construction of buildings could begin in 2016. She commented that the County viewed the infrastructure study to be a pre-development investment. She indicated that the feasibility of the spine road and potential assessments would be included in the scope of the RFP. Councilmember Werner questioned if TCAAP could be developed without a water tower. Public Works Director Maurer stated that this may be possible but this is one of the issues a consultant would analyze. Mayor Grant questioned how the cost sharing for the infrastructure study would be arranged. Ms. Engum reported that Mike Norton, attorney for the Joint Development Authority (JDA), would be drawing up a cost sharing agreement. The City would then enter into the agreement with the County. ARDEN HILLS CITY COUNCIL WORK SESSION—MARCH 17, 2014 3 Councilmember Holden requested further information on what would be included in the scope of the infrastructure and feasibility studies. Ms. Engum explained that the following categories would be addressed within the infrastructure plan: transportation, mass grading plan, utilities, water and sanitary sewer, stormwater, wetlands and platting. She noted that the feasibility study would meet the Chapter 429 (assessments) requirements. Councilmember Holmes asked who the County would be assessing for roadway and utility improvements. Ms. Engum reported that the assessments would be passed along to future landowners. Mayor Grant questioned how the City would recover its costs. Stacie Kvilvang, Ehlers &Associates,reviewed how the City could recover its costs. Councilmember McClung inquired if the water feature would be addressed through the infrastructure study. He explained that a great deal of information would be needed before he could make an informed decision regarding the water feature. Public Works Director Maurer stated that the water feature would be addressed in the infrastructure study. He understood the Council's concerns with the water feature and explained staff would continue to work with consultants on this issue before any final decisions were made regarding this amenity. Councilmember Holden asked when the Master Plan had to be approved. City Administrator Klaers indicated that the Master Plan should be approved this summer in order for the City to move forward with the Policies and Regulations. The goals for the water feature should be able to be addressed by that time. Further discussion ensued regarding the water feature. i Public Works Director Maurer understood that the Council wanted the water feature to hold water and be a positive amenity for the area. Staff would need to investigate how much land would be required to ensure the water feature meets the RCWD requirements, wetlands laws, and Council's goals. Mayor Grant questioned what direction the County was seeking from the Council this evening. Ms. Engum explained that the County was hoping the City would agree to enter into a cost sharing agreement per the Joint Powers Agreement to share in the stormwater study. Councilmember Holden asked if the water from the groundwater treatment process the Army operates on TCAAP would be analyzed through the RFP in terms of its potential use for the water feature or a geo-thermal system. ARDEN HILLS CITY COUNCIL WORK SESSION—MARCH 17, 2014 4 Heather Worthington, Ramsey County, commented that she had spoken with Mike Fix today regarding this matter and a request could be made to the Army. Councilmember Holmes inquired if the City had already approved a water resources study. Public Works Director Maurer noted that the County and City were working to hire a consultant through the City to complete a water resource study. However, this effort was put on hold as the County and City felt it would be more beneficial to prepare a global infrastructure RFP to address all issues including water resources. Mayor Grant questioned if the Council supported a cost sharing agreement with the County per the Joint Powers Agreement for the stormwater study. Councilmember Holmes believed this to be a part of the JPA. I Councilmember' Werner recommended that the cost sharing venture as it would reduce duplication of services. For this reason, he was in favor of the cost sharing agreement with the County. Councilmember Holden agreed stating that the work needed to be done. Councilmember McClung had concerns regarding when the results would be available and if they could be used for the Master Plan. Mayor Grant summarized that the Council was in support of the cost sharing venture. Ms. Worthington understood that the Council had questions about the development constraints on the TCAAP site. She indicated certain portions of the site had TCE contamination in the ground that went into the water table and required monitoring/mitigation into the future. A couple of these sites would require vapor barriers for basements and sub basements. Therefore, these areas would not be economically feasible for residential uses. These areas of the site would be more conducive to commercial or slab based developments. Mayor Grant requested further information on the location of TCE contaminated areas. Ms. Worthington reviewed the general locations in detail with the Council. Councilmember McClung questioned if the current Master Plan conflicted with any of the contaminated areas. Ms. Worthington believed that the current layout for the land uses did not cause a conflict with any of the contaminated areas. Councilmember Werner questioned why the federal government would not pay for vapor mitigation of these areas. ARDEN HILLS CITY COUNCIL WORK SESSION—MARCH 17, 2014 5 Ms. Worthington stated that the government would not cover the expense for the vapor mitigation but would pay to treat the water. She reported that a composite map of the TCAAP site was available on TCAAP's website. Further discussion ensued regarding the location and development opportunities for the sites that had development constraints. Councilmember Holmes questioned if the entire TCAAP site would be cleaned to residential standards. Ms. Worthington indicated that the entire site would be cleaned to a residential soil value standard. However, there is existing pollution in the water table that will be the responsibility of the Army for the next 50 years. Councilmember Holden asked if the Certificate of Completion for residential would explain what areas needed further mitigation. Ms. Worthington explained that the Certificate of Completion would address the MPCA's residential soil value standards. It would not address the vapor concerns. She reported that this was consistent throughout the entire metro area. Councilmember McClung commented that there were two broad areas with significant vapo r issues. He stated that there were other hot pockets throughout the site but that they were not large enough to cause economic viability issues. However, the two larger areas would lead to economic difficulty if developed as residential homes. Ms. Worthington agreed stating that these two areas are the best candidates for significant vapor issues. She explained that the County worked with City staff and Kimley-Horn to provide l information to help guide the Master Planning process. Councilmember Holden questioned how the Master Plan would be reviewed if the proposed plan works best economically. She asked how changes could be proposed by the Council. City Administrator Klaers stated that he believed the City had a reasonable amount of flexibility and could shift property masses by 5% to 10%. The economic impacts would have to be jconsidered when making these changes. He explained that the PTRC will review the Master Plan and will be forming recommendations for park and recreational space. Mayor Grant asked if the County had any other constraints for the Council to consider. j Ms. Worthington did not. Mayor Grant thanked Ms. Worthington and Ms. Engum for addressing the Council's questions/comments and for the information provided to the Council. Ms. Kvilvang reviewed the financial responsibilities of the City with regard to TCAAP. She reported that the first major component would be the trunk utilities that would need to be installed I i ARDEN HILLS CITY COUNCIL WORK SESSION—MARCH 17, 2014 6 along the spine road. The County would be the developer and the responsible party for these trunk utility expenses and the City would follow the 429 process in order to allow for the cost of the improvements to be assessed back to the property owner. Ms. Kvilvang commented that the County will be reviewing their financial options for the utilities. The City had a risk free proposition, while the County may have to analyze the use of temporary bonds. The use of temporary bonds would depend greatly on how quickly the County anticipates the site would develop. Councilmember Holden asked about SAC and WAC charges. City Administrator Klaers commented that the SAC and WAC fees received by the City would be used to assist the City in maintaining the utilities, booster stations, pumps, etc. installed on the TCAAP property in the future. He further noted that the amount of the SAC and WAC fees needs to be evaluated. Councilmember Holden asked about how the assessment would be paid. i Ms. Kvilvang stated that the expense for the trunk utilities along the spine road would be assessed back to the County and the County would pay those assessments in the future. The County could then sell the land cheaper to the end developer with the developer assuming the assessments; or the land could be sold for more, with the County paying the assessments. The second way that the assessments could be paid would be through private developers petitioning the City for sub- utilities. These developers would pay less for land due to the fact that they would be installing roads and utilities to support the development. I Mayor Grant inquired who would be paying for the spine road. Ms. Kvilvang reported that the County would be paying for the spine road. The City would use its bonding authority for sewer and water utilities along the road, which would then be assessed back to the developer(County). She reported that the City would own the utilities. Further discussion ensued regarding the installation and payment of utilities on TCAAP. Councilmember Holmes questioned how the City would be impacted if the thumb was developed first. Ms. Kvilvang stated that this would not impact the City because the County was proposing to have a private developer pay for extending the utilities into the thumb. Councilmember Holmes asked who would be responsible for installing water, if deemed necessary. Public Works Director Maurer reported that this expense could be assessed 100% to the County. I ARDEN HILLS CITY COUNCIL WORK SESSION—MARCH 17, 2014 7 Councilmember Holmes questioned if the Council would have to raise its levy to support the bonding on TCAAP. Ms. Kvilvang stated that this would be part of the City's debt, but she explained that the budget would have a line item for debt service which would be covered 100% through special ecial assessments. Councilmember Holden inquired how the City would be impacted if there was another economic downturn and the TCAAP property was not selling quickly. Ms. Kvilvang reported that the City's biggest expense would be the trunk utilities; however, there was little risk that the County would default on its assessments. The only other risks are with the residential developers not paying their property taxes. Councilmember Holmes asked what would happena p if private residential developer went bankrupt. Ms. Kvilvang explained that the City would not receive payments and would actually become responsible for the bonds. The City would need to evaluate its risk threshold in order to best mitigate this situation. This could be done by the Council analyzing how long it is willing to issue debt, along with considering letters of credit or up-front cash deposits. Mayor Grant commented that another solution would be to limit how much of the development could be developed at any one moment in time. Director of Finance and Administrative Services Iverson reported that the Council could consider completing the TCAAP development in phases. City Administrator Klaers added that the County may also have ideas about the pace of the development. The County may not want any residential development until the commercial/business park is completed. This would ensure that the commercial areas are supported. He explained that this topic will have to be further discussed with the County at a future work session. j Councilmember Holden questioned if the City had an understanding of the expense required to develop areas with vapor issues into residential. Ms. Kvilvang did not have information on this topic. She believed that it would be reasonable for the City to make this request and reported that she would request this information from the County. i City Administrator Klaers believed that the County had not run proformas regarding this topic. Councilmember Holmes inquired if the City wanted to do TIF on the TCAAP site. I ARDEN HILLS CITY COUNCIL WORK SESSION—MARCH 17, 2014 8 Ms. Kvilvang stated that the City may want to receive property taxes sooner rather than later. She noted that the County did not feel it was necessary to provide TIF to attract future businesses to this site. Councilmember Holden asked if all private utilities would be buried on TCAAP. Public Works Director Maurer stated that this was the case. Director of Finance and Administrative Services Iverson reviewed the 2013 and 2014 TCAAP h the Council. She recommended a separate capital account be created for TCAAP budgets with p g p capital expenditures with budget amendments made effective for 2013 and 2014. This would allow the City to track capital expenses for all projects and studies for TCAAP. In addition, this would ensure the expenditures would not distort the General Fund. Councilmember Holden questioned how staff time would be billed. Director of Finance and Administrative Services Iverson explained how staff time would be billed back for the TCAAP project. The Council supported the budget adjustment as recommended by staff. Public Works Director Maurer commented that he would be meeting with the PTRC on March 18, 2014, to discuss a park analysis. He reported that the planners were good in addressing the number of ball fields needed on TCAAP; however, the space identified for the fields and other amenities is too small based on staffs analysis. He will discuss this matter further with the PTRC and a report will be provided to the Council at a future meeting. B. 2014 Joint City Council and Planning Commission Meeting City Planner Streff stated that the City Council is being asked to provide input and feedback on the Planning Commission's draft 2014 Work Plan. In addition, this meeting is intended to be an open dialog and an opportunity to discuss other planning-related items. The City Council may provide feedback to the Planning Commission on their role, ask questions and discuss items of concern. The Planning Commission may provide input to the City Council on important planning items they see in the community and bring up topics of interest or concern. City Planner Streff reported that the Planning Commission differs from the City's other committees and commissions in that the purpose and scope of the Commission's work is largely determined by State Statute. The majority of the Planning Commission Work Plan is dedicated to continuing the work of evaluating and providing recommendations on land use applications, zoning code amendments, and other planning-related items that come before the City. Vice Chair Thompson reviewed the Planning Commission Work Plan in detail with the Council. She commented that the City was hoping to recruit another Commission member in 2014. Commissioner Holewa stated that the Commission would like to see the Sign Code more closely aligned to those of neighboring communities. He believed that the most common requests it ARDEN HILLS CITY COUNCIL WORK SESSION—MARCH 17, 2014 9 reviewed by the Planning Commission are sign standard adjustments and this could be streamlined by reviewing and making appropriate revisions to the City's Sign Ordinance. Councilmember Holden recommended that the Commission consider the base size for monument signs when the sign standards are reviewed. Commissioner Bartel wanted to see more structure in the sign code as this would provide further guidance to the Commission when reviewing requests for sign standard adjustments. Councilmember McClung believed that even if the Sign Code was amended, there would always be future applicants requesting additional signage. Commissioner Bartel explained that b making the sign sizes proportionate to building sizes, this p Y g would address a number of the requests for sign standard adjustments. He was in favor of temporary sign requests being approved at a staff level. Commissioner Jones suggested that the number of tenants within a building and the size of the parking lot be considered in the Sign Code. Councilmember Holden stated that the Sign Ordinance was developed due to the number of large sign requests. She reported that Arden Hills did not want to become a neon lit community with extremely large signs. Mayor Grant reported that a level of flexibility could be written into the Sign Code, however, there had to be a limit. He asked if the Council opposed the Planning Commission reviewing the Sign Ordinance. The Council supported the Commission moving forward with reviewing the Sign Ordinance. Mayor Grant discussed LED lighting and recommended that the City and Planning Commission get out in front of this issue. He suggested that staff speak with neighboring communities regarding the regulation of LED lighting. Vice Chair Thompson agreed. Councilmember Holden questioned which aspects of LED lighting would be reviewed by the Planning Commission. Vice Chair Thompson indicated that this has yet to be determined by the Planning Commission. City Planner Streff anticipated that this would include LED lighting on canopies and signs. Community Development Director Hutmacher reported that more and more businesses were changing light fixtures out from incandescent or fluorescent to LED's for cost saving measures. She distinguished between LED's used for traditional lighting purposes and LED's used in a neon-like manner as decorative accents. ARDEN HILLS CITY COUNCIL WORK SESSION—MARCH 17, 2014 10 Councilmember Holden discussed the brightness of Presbyterian Homes' new sign. She suggested that the Commission review all areas where LED lights could be used. Commissioner Jones suggested that the Commission consider the different lumens available in LED lights and which areas are most appropriate for brighter LED lights and which are not. I Vice Chair Thompson commented that the Commission would have to research how other areas of the metro were managing this issue. Mayor Grant requested further information on the Illustration Guide for the B-2 and B-3 design standards. Vice Chair Thompson explained how the Planning Commission was approaching the B-2 design standards. Associate Planner Bachler commented that t Y made he City had mad dates to the B-2 and B-3 district a design standards last year. He explained that building materials and architectural features were reviewed to provide guidance to future developers in these zoning districts. Commissioner Bartel hoped that the Commission could find visual examples of preferred streetscape design and building materials that the City could incorporate into an Illustration Guide. This would assist future developers with planning for redevelopments. Councilmember Holden recommended that the design standards include LEED building standards. She commented that these standards would push the use of recycled materials in redevelopment of the City. She suggested that the Commission create a checklist that can be reviewed for each Planning Case. She explained that she depends on the Planning Commission to address drainage and building material issues. Commissioner Holewa commented that LEED building standards have been discussed, however, he believed it would be more important to have good economical design. Commissioner Jones had an issue with the LEED standards given the increased building expense. He proposed the City pursue Energy Star ratings instead. Mayor Grant agreed that the energy ratings for buildings should be considered. I Associate Planner Bachler explained that staff had checklists that were reviewed with each of the different land use applications. The plans necessary in order to consider an application complete are spelled out within these checklists. Depending on the nature of the proposed project, required plans might include lighting plans, traffic studies, grading and drainage plans, etc. Councilmember Holmes recommended that the Planning Commission further review the issue of transparent windows. She believed that this issue would continue to come before the City. Councilmember Werner requested further information on the League of Minnesota Cities training. ARDEN HILLS CITY COUNCIL WORK SESSION—MARCH 17, 2014 11 City Planner Streff discussed the training courses proposed for the Planning Commission members and staff. Vice Chair Thompson explained that the training courses provided valuable information to the Commissioners. Councilmember Holden thanked the Planning Commission for their efforts stating that they did a wonderful job reviewing Planning Cases. Mayor Grant agreed and thanked the Planning Commission for their attendance this evening. A. TCAAP Discussion (continued) City Administrator Klaers provided the Council with a brief overview of the future meeting schedule. He anticipated that regular and frequent TCAAP discussions would be necessary to keep the project moving forward. For this reason, he requested that the Council plan on holding a special Council work session the second and last Monday of every month. He suggested that these meetings be held from 5:15 p.m. to 6:45 p.m. A list of potential meeting topics for TCAAP was reviewed with the Council. Mayor Grant recommended that the meetings begin at 5:30 p.m. and run until 7:00 p.m. This would allow the Council additional time to get to City Hall. The Council agreed. Councilmember Holmes indicated that this schedule would have to take into consideration that the EDA would meet on a quarterly basis prior to Council meetings. 2. COUNCIL COMMENTS AND STAFF UPDATES Councilmember Werner discussed a recent Arden Hills/Shoreview Business Council meeting he attended. Councilmember Holden noted that Mayor Dave Jacobsen of New Brighton was voted Chair of the Energy and Environmental Natural Resources Committee for the National League of Cities. ADJOURN Mayor Grant adjourned the City Council work session at 7:44 p.m. 4 )a,112'acz — Amy Died David Grant City Clerk Mayor