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HomeMy WebLinkAbout04-13-15-WS 'It �- DIDEEN HILLS Approved: May 26, 2015 CITY OF ARDEN HILLS, MINNESOTA SPECIAL CITY COUNCIL WORK SESSION APRIL 13,2015 5:30 P.M. -ARDEN HILLS CITY HALL CALL TO ORDER/ROLL CALL Pursuant to due call and notice thereof, Mayor Grant called to order the special City Council work session at 5:35 p.m. Present: Mayor David Grant; Councilmembers Brenda Holden, Fran Holmes, Dave McClung, and Robert Woodburn(arrived at 5:37 p.m.) Absent: None Also present: City Administrator Patrick Klaers; Director of Finance and Administrative Services Sue Iverson; Finance Analyst Dave Perrault; Public Works Director Terry Maurer; Community Development Director Jill Hutmacher; City Planner Ryan Streff; Associate Planner Matthew Bachler; City Attorney Joel Jamnik; and City Clerk Amy Dietl 1. AGENDA ITEMS A. Rice Creek Commons (TCAAP) Community Development Director Hutmacher stated that Kimley-Horn has completed work on the second part of the Fit Test. A memo from Michael Lamb, Kimley-Horn, describing the assumptions used for Option 2 as well as general recommendations was included in the agenda packet. During the Fit Test, Ramsey County and Kimley-Horn consulted with Maxfield Research on residential market trends. Mark Ruff, Ehlers &Associates, has provided staff and Council with a comparison of tax values in Options 1 and 2. Community Development Director Hutmacher indicated that Stacie Kvilvang, Ehlers & Associates, has updated the City financial model based on current cost estimates for pre- development work, trunk utilities and storm water, and parks. A memo describing costs, fees, and financing mechanisms and detailed spreadsheets was included in the agenda packet. Community Development Director Hutmacher reported that at the February 24, 2015, special work session, the Council made revisions to the draft TCAAP Redevelopment Code (TRC). A clean copy of the draft TRC was given to the Council in the agenda packet and changes were highlighted. She noted that a new Attachment 7 has been inserted which lists recommended color ARDEN HILLS SPECIAL CITY COUNCIL WORK SESSION—APRIL 13, 2015 2 palettes for all buildings. The color palettes are based on Sherwin Williams paints in the America's Heritage, Suburban Traditional, and Suburban Modern collections. Ramsey County Commissioner Huffman provided an overview of the shared goals of the County and City with regard to Rice Creek Commons. He wanted this site to be something special. He discussed the Fit Study and appreciated the Council's work on the TRC. There were a few concerns with the constraints within the TRC, which resulted in fewer people living and working within Rice Creek Commons than was originally planned. He wanted to see 4,000 people living and 4,000 people working on this site. Michael Lamb, Kimley-Horn, discussed Option 2 for the Fit Test with the Council in detail. He noted he received feedback from Mary Bujold from Maxfield Research, which was extremely helpful. He reviewed the proposed density of 1,580 units suggesting a wide variety of building types and reduced lot sizes within Option 2. He noted that park area was reduced within the Hill neighborhood and a larger portion of land was set aside for retail and commercial mixed use in the Town Center neighborhood. He stated that a wider range of unit types was suggested after speaking with Ms. Bujold from Maxfield. Mr. Lamb reviewed how Option 2 would amend the Hill, Creek and Town Center neighborhoods. He commented that lot sizes had been reduced to address the comments provided by Maxfield. He further discussed how Ms. Bujold from Maxfield responded to the proposed development on Rice Creek Commons. He reported that the Hill could be more dense that previously proposed. Mayor Grant saw there was significant activity in home sales around the $400,000 to $600,000 price point. Councilmember McClung clarified that a Maxfield study was not completed on the site, but rather comments from an employee at Maxfield had been provided to the County. Mr. Lamb stated that this was correct but provided comment on the broad depth of experience that Ms. Bujold had at Maxfield in evaluating the market potential for this site. Councilmember Holden did not support the location of the parks within the residential area. She believed that the lighting would be a concern to the surrounding homeowners. Mr. Lamb compared the differences between Option 1 and Option 2 with the Council. Councilmember Woodburn asked how the amount of retail space was determined within the Town Center. Mr. Lamb explained that the retail within the Town Center would be to provide convenience and supportive retail. He reported that the retail in the Town Center was fairly compact. He recommended that the Council consider amending the land use boundaries to provide for a more dense development. He suggested a street and block pattern that would reinforce frontage along the Spine Road and the Town Center. He also suggested additional retail within the Town Center area. ARDEN HILLS SPECIAL CITY COUNCIL WORK SESSION—APRIL 13, 2015 3 Mayor Grant stated that Option 2 of the Fit Test was a possibility for the Rice Creek Commons site but it is not a master plan. Mark Ruff, Ehlers & Associates, discussed the financial implications between Option 1 and Option 2 of the Fit Test. He reviewed the differential in the tax base between the options, noting that there was a $50 million difference for residential property value. This equates to $6 million a year in Option 1 for taxes and $6.76 million in taxes for Option 2. Mr. Ruff provided comment on several charts on how taxes would be impacted for the City, County, and School District based on Option 1 and Option 2. The land sale potential for the County was discussed. He estimated that there was a $5 million difference between the two options. He anticipated that based on the costs that would be incurred by the County for the property, the County would incur a loss. Ramsey County Commission Huffman noted that Option 1 was 100 units below the Council's plan and Option 2 was approximately 100 units over the City's plan. It was his opinion that Option 2 was a great option for the Rice Creek Commons site. He encouraged the Council to broaden the housing types within the three neighborhoods and proceed with Option 2 of the Fit Test. He encouraged the Council to approve Option 2 in May. Mayor Grant asked for comments from the Council. Councilmember Holden stated that she did not recall that the City was on board with 4,000 new residents in Arden Hills. She was not in favor of creating housing for as many people as possible on this site. She stated that she could not support Option 2 as it did not support the original Maxfield Study. While she agreed that the housing types on Rice Creek Commons should be broadened, she wanted to see more single family homes than townhomes and condos. She reported that the 1,700 housing units was derived by the Council through the AUAR. She feared that the density proposed by the County would create major traffic concerns. She stated that she was going to do what was best for the City of Arden Hills. Ramsey County Commissioner Huffman noted that the difference between Fit Test Option 2 and the TRC was only an increase in density of 7%. Councilmember Woodburn stated that he mostly agreed with Councilmember Holden's comments. Councilmember McClung stated that he supported Option 2. He had concerns with Option 1. He wanted Rice Creek Commons to be a high-class development across all of the varying aspects of the development (commercial, retail, and residential). He appreciated the proposed diversification. Councilmember Holmes believed that the changes within Option 2 benefited the Town neighborhood. She indicated that the City had a planner assist with the TRC. She questioned why additional plans continue to be created for this site. She inquired why the Creek and the Hill neighborhoods were changed so drastically by the County. ARDEN HILLS SPECIAL CITY COUNCIL WORK SESSION—APRIL 13, 2015 4 Mayor Grant did not support Option 2 of the Fit Test. He believed that no matter the number of units on TCAAP, the product types can be diversified. He recommended that this argument be avoided. He believed that the Hill and Town neighborhoods would benefit from more flexibility. He feared that it would be difficult for people to build to exact zoning classifications, and for this reason,the Council was recommending more flexibility. Mayor Grant did not like the way the Hill neighborhood was redesigned. He understood that the County wanted to achieve a nice taxable value for the property, but he also wanted to create unique and desirable neighborhoods that are not overly dense. He saw the value in the Fit Test and learned a great deal about how the Town neighborhood should be designed. Mr. Lamb provided further comment on the Creek neighborhood as discussed with Ms. Bujold from Maxfield. He indicated that she felt it would be appropriate for this neighborhood to have larger single family lots abutting the creek and smaller lots to the central portion of the Creek. The density should then be increased in the other portions of the Creek neighborhood. Councilmember Holmes expressed concern that none of this information has been provided to the Council and differed greatly from the previous Maxfield Study and developer information that the Council has received. Councilmember Holden hoped that the County would provide the City with additional information regarding how the property would be marketed as well as address the water feature in the near future. Mr. Ruff stated that there are always uncertainties with development. He provided further comment on how municipal entities can manage land sales. He suggested that the City Attorney and JDA Attorney work through and discuss the issues surrounding the land sales. Mayor Grant explained that the Council would need to consider how to amend the TRC given the new information that has been provided to the City. City Administrator Klaers discussed the Council's meeting schedule and upcoming agenda items. Mayor Grant was in favor of moving forward and taking action on the TRC. He wanted to see the City and County make some headway on the water feature and some other outstanding issues. Councilmember McClung was prepared to meet when necessary in order to get the TRC approved. However, he did not see how the City could bridge the differences between Fit Test Option 2 and the City's TRC. City Administrator Klaers stated that the City has learned a lot from the Fit Test. He believed that the City Council needed to digest this information and would then need to review the TRC in detail in order to keep this item moving forward. Mayor Grant recessed the City Council work session at 6:58 p.m. ARDEN HILLS SPECIAL CITY COUNCIL WORK SESSION—APRIL 13, 2015 5 Mayor Grant reconvened the City Council work session at 10:09 p.m. Councilmember McClung left the work session. Mayor Grant requested that Stacie Kvilvang provide the Council with a presentation on her findings. Councilmember Holmes believed that the presentation from Ms. Kvilvang would take a great deal of time and should take place at another time. She indicated that she had a number of questions and some concerns regarding SAC and WAC fees. She stated that the numbers did not add up and were hard to understand. Stacie Kvilvang, Ehlers & Associates, started to give her presentation on the utility and engineering numbers with the Council. Councilmember Holmes recommended that given the late hour, this matter be further discussed at a future work session. Mayor Grant agreed with this suggestion. 2. COUNCIL COMMENTS AND STAFF UPDATES None. ADJOURN Mayor Grant adjourned the special City Council work session at 10:15 p.m. Amy Dietl U David Grant City Clerk Mayor Request for Special City Council Work Session A special meeting may be called by the Mayor or by any two Councilmembers. Reason for meeting: 1. Rice Creek Commons (aka TCAAP) Requested Date: 4/13/15 Requested time: 5:30 PM Open meeting X Closed meeting Signature of person(s) making request: hm4i_,X� 4 / 7 15 Mayor or Council Member Date Council Member Date -This section to be completed by City staff- Date meeting to be held: 4/13/15 Time of meeting: 5:30 PM Location: City Hall All necessary posting and notices have been completed. �&wm 0/'/,(2, � / ID Signature of City Clerk Date