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HomeMy WebLinkAbout03-30-15-R '21t ,-AIQEN.HILLS Approved: May 11, 2015 CITY OF ARDEN HILLS, MINNESOTA REGULAR CITY COUNCIL MEETING MARCH 30,2015 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 Brenda Holden, Fran Holmes, Dave McClung, and Robert Woodburn Absent: None Also present: City Administrator Patrick Klaers; Director of Finance and Administrative Services Sue Iverson; Public Works Director Terry Maurer; Assistant City Engineer John Anderson; Community Development Director Jill Hutmacher; City Planner Ryan Streff; Associate Planner Matthew Bachler; City Attorney Joel Jamnik; and City Clerk Amy Dietl PLEDGE OF ALLEGIANCE 1. APPROVAL OF AGENDA Councilmember Holden requested Item 3A under Staff Comments be referred to as TCAAP as well. Mayor Grant requested Item 5J be removed from the agenda as this staffing request was not reviewed by the Personnel Committee. MOTION: Councilmember Holden moved and Councilmember McClung seconded a motion to approve the meeting agenda as amended. The motion carried unanimously (5-0). 2. PUBLIC INQUIRIES/INFORMATIONAL None. 3. STAFF COMMENTS ARDEN HILLS CITY COUNCIL—MARCH 30, 2015 2 A. Rice Creek Commons (TCAAP) Update Community Development Director Hutmacher stated Kimley-Horn has completed the first part of the Fit Test. The results were presented to the City Council at a special work session at 5:30 pm on Monday, March 30, 2015. The second part of the Fit Test is tentatively scheduled to be presented to the City Council at a special work session on Monday, April 13. The Energy Integration Resiliency Framework (EIRF) will be presented to the Joint Development Authority at their meeting on Monday, April 6, 2015. 4. APPROVAL OF MINUTES A. February 17, 2015, Special Closed City Council Meeting B. February 17, 2015, City Council Work Session C. February 23, 2015, Special City Council Work Session MOTION: Councilmember McClung moved and Councilmember Holden seconded a motion to approve the February 17, 2015, special closed City Council meeting minutes; the February 17, 2015, City Council work session minutes; and February 23, 2015, special City Council work session minutes as presented. The motion carried unanimously (5-0). 5. CONSENT CALENDAR A. Motion to Approve Consent Agenda Item - Claims and Payroll B. Motion to Approve NSCC Joint and Cooperative Agreement C. Motion to Approve Purchase of Residential Recycling Carts — Resolution 2015- 023 D. Motion to Approve EDC Appointments E. Motion to Approve Proposed Revision to 2015 Fee Schedule F. Motion to Approve of Development Agreement and CUP — PC 14-036 Red Fox Business Center G. Motion to Approve PUD Amendment Agreement- PC 15-001 Boston Scientific H. Motion to Approve PC 15-003 Site Plan Review and Variance—CSM Properties I. Motion to Approve Lexington Avenue and CRF—No Parking Resolution j. Motion to Approve Advertisement for-Offiee Suppeft Vaeane K. Motion to Authorize City Staff to Begin Summer Work Hours Michael Hands, EDC Appointee, introduced himself to the Council noting he was a recent graduate of Bethel University. Kyle Lassen, EDC Appointee, introduced himself to the Council and noted he lives near Lake Johanna. MOTION: Councilmember McClung moved and Councilmember Holden seconded a motion to approve the Consent Calendar as amended removing Item 5J and to authorize execution of all necessary documents contained therein. The motion carried unanimously (5-0). ARDEN HILLS CITY COUNCIL—MARCH 30, 2015 3 6. PULLED CONSENT ITEMS None. 7. PUBLIC HEARINGS A. Adopting and Confirming Quarterly Special Assessments for Delinquent Utilities Director of Finance and Administrative Services Iverson reviewed the delinquent utility assessment roll dated February of 2015. She recommended that the homeowners with outstanding delinquencies as of March 20th (plus an 8% penalty) be certified with Ramsey County to the homeowner's property taxes. Staff asked that the Council hold a public hearing, take comments from the public and adopt a Resolution certifying the list of delinquent utility accounts to Ramsey County. Mayor Grant questioned who received the 8%penalty fee. Director of Finance and Administrative Services Iverson reported the City received this fee. Mayor Grant opened the public hearing at 7:11 p.m. With no one coming forward to speak, Mayor Grant closed the public hearing at 7:12 p.m. MOTION: Councilmember McClung moved and Councilmember Holmes seconded a motion to adopt Resolution #2015-025, Certifying the list of delinquent utility accounts to Ramsey County. The motion carried (5-0). B. Approval of Transfer of Great China Liquor License City Clerk Dietl stated Lhasa Cafe LLC, dba Great China, has requested to transfer its on-sale wine and Sunday liquor license due to new ownership of the restaurant. The new owners (Tenzin Wangyaz, Jampa Tender, and Sangya Dhondup) officially closed on the purchase of Great China, located at 3547 Lexington Avenue North, on March 13, 2015. City Clerk Dietl reported that staff was in receipt of all the necessary paperwork and associated fees, and background checks have been successfully completed by the Ramsey County Sheriffs Office. In addition to holding a public hearing tonight, the on-sale wine and Sunday liquor license application is also being presented for approval. All required information will be submitted to the Minnesota Department of Public Safety Alcohol & Gambling Enforcement upon approval of the license by the City Council. Mayor Grant opened the public hearing at 7:13 p.m. With no one coming forward to speak, Mayor Grant closed the public hearing at 7:14 p.m. ARDEN HILLS CITY COUNCIL—MARCH 30, 2015 4 MOTION: Councilmember McClung moved and Councilmember Holden seconded a motion to approve the transfer of an on-sale wine and Sunday liquor license to Great China, located at 3547 Lexington Avenue North, Arden Hills, Minnesota. The motion carried (5-0). 8. NEW BUSINESS A. PC 15-004 Preliminary and Final Plat, Rezoning and Comp Plan Amendment City Planner Streff stated that Landmark of Arden Hills has a purchase agreement with Bethel University for approximately 4.77 acres of land consisting of two contiguous parcels at 1941 and 1901 County Road E2. The property at 1941 County Road E2 is the site of the former Ramsey County library, which closed in December of 2010. The Minnesota Baptist Conference occupied the facility at 1901 County Road E2 for a number of years beginning in the early 1970s, but this structure is also currently vacant. The applicant is requesting approval for a project that would result in the redevelopment of both properties for seven(7) single-family homes. City Planner Streff reported that the property at 1941 County Road E2 is zoned R-1 Single Family Residential and is guided for Public Institutional uses in the City's 2030 Comprehensive Plan. The adjacent property at 1901 County Road E2 is now zoned N-B Neighborhood Business and is also guided for Neighborhood Business uses in the Comprehensive Plan. The site is bordered to the north and east by a system of wetlands within Tony Schmidt Regional Park, managed by Ramsey County. Generally, the topography of the properties is relatively flat around where the existing structures are located, but slopes down more significantly along the northern and eastern edges of the site. Small wetland areas are present in the far northeast and southeast corners of the site and are currently protected by easements held by the Rice Creek Watershed District. The Ramsey County Parks and Recreation Department has a sixty-eight (68) foot wide easement across the western portion of the 1941 County Road E2 property for the purpose of a future trail connection through the wetland complex in Tony Schmidt Regional Park. City Planner Streff indicated that the site is approximately 4.77 gross acres in size and located near the intersection of New Brighton Road and County Road E2 and bordered by Tony Schmidt Regional Park to the north. The site is comprised of two contiguous parcels, both of which have existing structures on them that would be demolished as part of the project. Three separate driveways on County Road E2 currently provide access to the properties. After accounting for the right-of-way area that extends into County Road E2 and the flood plain/wetlands areas located on the site, 4.54 acres of net buildable area exists on the site. The applicant is requesting approval to subdivide the site into seven (7) single-family lots. In this case, the applicant is proposing four(4) driveways from County Road E2 in order to provide access to the residential lots. Limiting driveways from County Road E2 is accomplished by incorporating shared access from the County roadway for six of the proposed lots. The plans indicate that every other property would share an access with the neighboring property, except the easternmost lot would have its own individual access from County Road E2. City Planner Streff stated that in addition to the Preliminary & Final Plat for the subdivision, a rezoning and Comprehensive Plan amendment are being requested. Both properties would be rezoned to the R-2 Single and Two Family Residential District. In order to rezone the properties, ARDEN HILLS CITY COUNCIL—MARCH 30, 2015 5 the City's 2030 Comprehensive Plan needs to be amended to reflect the new Very Low Density Residential land use for the site. City Planner Streff commented that Planning Case 15-004 includes three (3)requests: 1. Preliminary&Final Plat. 2. Rezoning to amend the zoning designation for 1941 County Road E2 and 1901 County Road E2 to R-2 Single and Two Family Residential District. 3. Comprehensive Plan Amendment to amend the 2030 Future Land Use Map to classify 1941 and 1901 County Road E2 as Very Low Density Residential land use. City Planner Streff reviewed the Plan Evaluation, Zoning Regulations and Traffic Study in detail with the Council. City Planner Streff explained that the Planning Commission reviewed Planning Case 15-004 at their regular meeting on March 4, 2015. The Planning Commission offers the following findings of fact for consideration: General Findings: 1. The proposed Valentine Bluff subdivision is comprised of 4.77 acres. 2. The proposed Valentine Bluff subdivision property located at 1941 County Road E2 is currently zoned R-1 Single Family Residential and the property located at 1901 County Road E2 is currently zoned N-B Neighborhood Business. 3. The Valentine Bluff subdivision is proposed as R-2 Single &Two Family Residential. 4. The R-2 Single&Two Family Residential District permits up to five (5)units per acre. 5. The proposed Valentine Bluff development is proposed at 1.54 units per acre. 6. The Valentine Bluff subdivision property currently has the land use designations of Public & Institutional and Neighborhood Business in the City's 2030 Comprehensive Plan. 7. The applicant is proposing to re-plat the property into seven(7) single-family lots. 8. The applicant is proposing to construct seven(7) single-family homes. 9. No new streets will be constructed as a result of this development. 10. The proposed development requires park dedication. 11. The park dedication requirement for this application is six percent of the land in dedication or a fee of six percent of the purchased price or some combination thereof. The current purchase agreement between Landmark of Arden Hills, LLC (Developer/Purchaser), and Bethel University (Owner/Seller) indicates a purchase price of $856,000 for the two properties. Based on the purchase price the park dedication if paid in a fee would be $51,360. 12. As currently designed the proposed plan is not in conformance with the City's 2030 Comprehensive Plan in regards to the land use classifications; the property at 1941 County Road E2 is guided for Public & Institutional and the property at 1901 County Road E2 is guided for Neighborhood Business. 13. The development plan would require that both properties be re-zoned to R-2 Single&Two Family Residential District and designated in the Comprehensive Plan as Very Low Density Residential. ARDEN HILLS CITY COUNCIL—MARCH 30, 2015 6 Comprehensive Plan Amendment Findings: 14. The applicant is proposing to amend the City's Comprehensive Plan to re-designate the land use classifications at 1941 & 1901 County Road E2 to Very Low Density Residential in order to permit a density of 1.5 to 3 units per net acre. 15. The development will built at approximately 1.54 units per acre. 16. The proposed land use designation of Very Low Density Residential would be compatible with the adjacent land uses. 17. The proposed redevelopment is a permitted use in the R-2 Residential District. 18. The proposed CPA would advance the City's goal to promote the development properties that are in keeping with the character of existing and established neighborhoods within the City. 19. The City staff has been in contact with the staff at the Metropolitan Council regarding the proposed development and they have indicated their support for the proposed CPA. City Planner Streff explained the findings of fact for the Preliminary& Final Plat, Rezoning, and Comprehensive Plan Amendment support approval. However, if the City Council chooses to deny the application, the Findings of Fact would need to be amended to reflect the reasons for the denial. The Planning Commission reviewed Planning Case 15-004 and unanimously recommends approval (7-0) of the Preliminary & Final Plat, Rezoning, and Comprehensive Plan Amendment for the Valentine Bluff redevelopment project located at 1941 & 1901 County Road E2, based on the findings of fact and the submitted plans as presented in the March 30, 2015, Report to the City Council, as amended by the following nineteen (19) conditions: 1. That the project shall be completed in accordance with the submitted plans as amended by the conditions of approval. Any significant changes to these plans, as determined by the City Planner, shall require review and approval by the Planning Commission and City Council. 2. That the execution of the Final Plat shall be contingent upon the Metropolitan Council's approval of the Comprehensive Plan Amendment. 3. That the development agreement shall be prepared by the City Attorney and subject to City Council approval. The development agreement shall be executed prior to execution of the Final Plat. 4. That the Developer shall submit a park dedication, subject to the approval of the City Council, equal to six percent ($51,360) of the total land area, which is currently under a purchase agreement for $856,000. The City shall use the park dedication to expand the City's parks, trails, and recreation system. 5. That the Developer shall submit a financial surety in the amount of 125 percent of the estimated costs of site improvements including grading, utilities, retaining walls, stormwater filtration systems, and driveway openings, prior to the issuance of a building permit. The financial surety shall be in the form of a letter of credit issued by a FDIC- insured Minnesota bank, and be in a form acceptable to the City. The purpose of the letter of credit is to ensure that site improvements are completed in the event that the developer defaults on the Development Agreement. 6. That the Developer shall submit a cash escrow in the amount of 25 percent of the estimated costs of site improvements including grading, utilities, retaining walls, stormwater filtration systems, and driveway openings, prior to the issuance of a building ARDEN HILLS CITY COUNCIL—MARCH 30, 2015 7 permit. The escrow will be used for City costs related to review, approval, and inspection of site improvements or any costs incurred by the City in the event of a developer default. 7. That the Developer shall submit a financial surety in the amount of 125 percent of the estimated costs of landscaping prior to the issuance of a building permit. The financial surety shall be in the form of a letter of credit issued by a FDIC-insured Minnesota bank. The purpose of the letter of credit is to ensure that landscaping is completed in the event that the developer defaults on the Development Agreement. The City will hold the letter of credit for two years after the installation of landscaping. The letter of credit should not expire during the two-year period. 8. That the Developer shall submit a cash escrow in the amount of 25 percent of the estimated costs of landscaping prior to the issuance of a building permit. The escrow will be held by the City for two years after installation of landscaping and used for City costs related to review, approval, and inspection of landscaping, or developer default. 9. That the proposed project may require permits, including, but not limited to, MPCA- NPDES, Rice Creek Watershed District, Minnesota Department of Health, MPCA- Sanitary Sewer Extension, Ramsey County and City Right of Way, and City Grading and Erosion Control permits. Copies of all issued permits shall be provided to the City prior to the issuance of any building permits. 10. That the final plans shall be subject to approval by the Fire Marshal prior to the issuance of a building permit. 11. That the final grading, drainage, and utility plans shall be subject to approval by the City Engineer prior to the commencement of any construction on the site. 12. That upon completion of grading and utility work on the site, a grading as-built and utility as-built shall be provided to the City for review. 13. Sanitary sewer and water shall be accepted by the City and ready for hookup prior to the issuance of any building permits. 14. That the application shall be required to meet the requirements as outlined in the memo from the City Engineer dated 2/19/15. 15. That all landscaping materials shall be put in place as the approved grading plan is completed with the exception of the required three front yard trees, which shall be the responsibility of the applicant to install at the time each house is constructed. 16. That the maintenance agreement between the RCWD and the developer for the stormwater filtration system shall be provided to the City before the issuance of any development permit. 17. That the RCWD Easements on Lot 7 shall be revised to reflect the flood plain limits or provided in writing to indicated that an encroachment is permitted into the easements held by the RCWD. The easement revision or encroachment permit shall be provided to the City and approved by the City Attorney prior to the execution of the final plat. 18. Driveway easements providing for cross access and maintenance agreements shall be submitted to the City and approved by the City Attorney and recorded by the Developer prior to the execution of the final plat. 19. The applicant shall conform to all other City regulations. Mayor Grant thanked City Planner Streff for his report and asked if the Council had any questions. ARDEN HILLS CITY COUNCIL—MARCH 30, 2015 8 Councilmember Holden asked if staff was recommending to remove Condition 19 as stated within the Planning Commission staff report. City Planner Streff commented that based on staff s discussion, SRF is recommending that the driveway be aligned with New Brighton Road. However, the Planning Commission removed this condition. Public Works Director explained that Condition 19 from the Planning Commission report was SRF's recommendation after completing the traffic study. However, after Ramsey County reviewed the proposed development, they were willing to issue permits for the driveways as requested. Ramsey County did not believe that the driveways would be an issue based on the limited number of trips coming to and from the driveways. City Planner Streff stated that the developers are requesting to build a model home with this project and staff supports this request. Councilmember McClung requested staff repeat the recommendation. City Planner Streff explained that the motion for approval should include allowing the applicant to build a model home on site before all development permits have been issued. Councilmember Holmes inquired if the property had a Ramsey County easement. City Planner Streff noted that the property had an existing 68 foot easement with Ramsey County. This easement was to provide future trail access to Tony Schmidt Regional Park. Councilmember Holden questioned if a building permit would be issued for the model home. City Planner Streff stated this was the case, the City would issue a building permit. Councilmember Holden inquired if there was a way to tie the proposed housing development to the requested zoning change. City Attorney Jamnik explained this was not effectively possible. He commented that the site would have to be rezoned by the Council if the proposed development was not constructed. Councilmember Holden asked the maximum number of homes that could be built on the site for the R-2 zoning district. City Planner Streff indicated 5 units per acre would be allowed, which would mean 20 units could be built on the proposed site. He provided further comment on the types of structures that were allowed in the R-1 and R-2 zoning districts. MOTION: Councilmember Woodburn moved and Mayor Grant seconded a motion to approve the Valentine Bluff redevelopment proiect in Planning Case 15-004 for a Preliminary & Final Plat, Rezoning, and Comprehensive Plan Amendment in order to subdivide the two (2) parcels of property into seven ARDEN HILLS CITY COUNCIL—MARCH 30, 2015 9 (7) single-family lots at 1941 & 1901 County Road E2, based on the fmdings of fact, submitted plans, and the nineteen (19) conditions approved by the Planning Commission in the March 30,2015, Report to the City Council. Dean Hanson, Hanson Builders, introduced himself and his company to the City Council. He commented that his company has been in business for the past 35 years and that he constructs approximately 75 upscale custom homes each year. He provided comment on the neighborhoods he has constructed throughout the metro area. He believed he was proposing a special development with signature homes that would range in price from $750,000-950,000. He anticipated that the total build out would take approximately 18 months. Mr. Hanson reported that he had a purchase agreement for the site with Bethel University. He discussed the lot size and noted all seven lots conformed with Arden Hills' requirements. He stated that of the 98 significant trees on the site, 67 of them would be saved. He reported that each lot would also be irrigated and well landscaped. He explained how the hard surface would be reduced on the site, which would improve the water quality for the area. He explained how each home would be highly energy efficient and be well landscaped. He noted the HERS score on his homes ranged from 46 to 56. He requested that the Council allow him to construct a model home prior to receiving all development permits. Councilmember Holden requested further comment on the shared driveways. Mr. Hanson discussed the site plan alignment in further detail with the Council. He noted that each driveway was mostly independent and only 12 feet of the entrance would be shared. Mayor Grant questioned what the model home would look like. Mr. Hanson provided a visual for the model home and discussed the typical designs for his custom homes. Mayor Grant asked how staff would suggest the conditions for approval be amended to allow for the construction of a model home. City Attorney Jamnik recommended that Condition 13 be revised to read: Sanitary sewer and water shall be accepted by the City and ready for hookup prior to the issuance of any building permits. To allow construction of model home prior to final testing and acceptance of the sewer and water, at sole right of developer and on the condition of occupancy permit prior to full utility services. AMENDMENT: Mayor Grant moved and Councilmember McClung seconded a motion to amend Condition 13 to read: Sanitary sewer and water shall be accepted by the City and ready for hookup prior to the issuance of any building permits. To allow construction of model home prior to final testing and acceptance of the sewer and water, at sole right of developer and on the condition of occupancy permit prior to full utility services. ARDEN HILLS CITY COUNCIL—MARCH 30, 2015 10 Mayor Grant supported allowing the developer to construct a model home. Mr. Hanson added that the model home would allow potential buyers to see the vision for the proposed custom built neighborhood. The amendment carried (5-0). The amended motion carried (5-0). 9. UNFINISHED BUSINESS A. Approval of PC 15-002 Preliminary and Final Plat and Master PUD Amendment—Arden Plaza Associate Planner Bachler explained that the City Council reviewed Planning Case 15-002 for a Preliminary Plat, Planned Unit Development Amendment (PUD), and Conditional Use Permit (CUP) Amendment for the Arden Plaza retail center at their Regular Meeting on February 23, 2015. The Council voted to table this request to allow the applicant time to provide the City with information on the business plan for the Frattallone's Ace Hardware Store and to address alternative options for exterior storage and seasonal outdoor displays on the property. Associate Planner Bachler reported that at the Work Session on March 16, 2015, the City Council reviewed a proposed Garden Center/Outdoor Seasonal Sales Display Site Plan submitted by Frattallone's Ace Hardware. The Site Plan addressed the proposed location of exterior storage, outdoor displays and sales, and trash and recycling collection on the property. Staff has since met with the applicant to discuss the feedback provided at the Work Session and has determined that additional time is needed to further refine the garden center Site Plan prior to City Council consideration. However, the applicant desires to proceed with other aspects of the application in order to facilitate a pending land sale for a new business. Associate Planner Bachler indicated that after reviewing the applicant's request, staff is recommending that the City Council take separate action tonight on the components of Planning Case 15-002 not pertaining to the proposed Frattallone's outdoor seasonal sales area. These components include the Preliminary Plat for the Arden Plaza subdivision and the PUD Amendment, which would account for the subdivision, increase the footprint for Building#4, and modify the parking lot at the north and south end of the retail center. Approval of these parts of the application would allow the pending sale by Wellington Management of the proposed Lot 1, Arden Plaza 2nd Addition, which will otherwise be delayed until approval of the subdivision plans. Associate Planner Bachler stated that consideration of the remaining requests in Planning Case 15-002 relating to the expansion of the Frattallone's outdoor seasonal sales area would be delayed to the April 13, 2015, Regular City Council meeting. At that time, the City Council could consider approval of a PUD Amendment and CUP Amendment for the expanded seasonal sales area. A PUD Amendment is needed as part of the April 13 request due to the parking lot modifications associated with the garden center. ARDEN HILLS CITY COUNCIL—MARCH 30, 2015 11 Associate Planner Bachler stated that the City Attorney has reviewed the course of action being proposed by staff for City Council consideration of Planning Case 15-002 and concurs with the staff recommendation. Associate Planner Bachler commented that the first component of the application is the Preliminary Plat to subdivide Lot 3 within the existing Arden Plaza Plat into three separate parcels. The proposed Final Plat name for the subdivision would be Arden Plaza 2nd Addition. Frattallone's Ace Hardware, which is a current tenant in the retail center, has approached Wellington Management regarding the purchase of its store and the existing outdoor seasonal sales area. To accommodate this, Lot 3, Arden Plaza 2nd Addition would be created comprised of the Frattallone's portion of the building, the area now occupied by the seasonal sales area, and related parking and service areas. Associate Planner Bachler indicated that the second lot created by the subdivision, Lot 2, Arden Plaza 2nd Addition, would be comprised of the remaining retail center, the primary parking area, access drives on County Road E and Lexington Avenue, and the stormwater pond at the southeast corner of the site. The lot line between the retail center on Lot 2, Arden Plaza 2nd Addition and the Frattallone's Ace Hardware store on Lot 3, Arden Plaza 2nd Addition would be defined by a demising wall, which is a common wall used by separate real estate entities erected on a line dividing two parcels of land. The City Building Official has been working with the property owner on the specifications of the demising wall and building permits will be required prior to construction. Approval of the Final Plat will be conditioned on the issuance of a Certificate of Occupancy for the proposed remodeling work. The Final Plat will be brought back to the City Council for approval once the Certificate of Occupancy has been issued. Associate Planner Bachler explained that the third lot, Lot 1, Arden Plaza 2nd Addition, is located on Lexington Avenue and would include the future Building #4, which is proposed to be constructed in Phase III of the redevelopment. The proposed footprint of Building #4 has increased from the approved Master PUD. The submitted master site plan indicates that this building would be 20,136 square feet in size, an increase of 2,136 square feet from the 2009 PUD approval. Associate Planner Bachler reported Wellington Management is requesting an amendment to the Master PUD to address the following four items: 1. Account for the subdivision of Lot 3 within the existing Arden Plaza Plat into three separate lots. 2. Allow for the creation of a non-conforming parcel (Lot 3, Arden Plaza 2nd Addition) that does not have frontage on a public street. 3. Increase the size of Building #4 on the proposed Lot 1, Arden Plaza 2nd Addition from 18,000 square feet, as approved in Planning Case 09-011, to 20,136 square feet. 4. Modify the parking lot layout in the Master Site Plan to retain 12 existing parking stalls at the north end of the retail center and accurately account for the outdoor seasonal sales area footprint approved in Planning Case 97-009. Associate Planner Bachler reviewed the Plan Evaluation in detail with the Council. ARDEN HILLS CITY COUNCIL—MARCH 30, 2015 12 Associate Planner Bachler indicated that the Planning Commission reviewed Planning Case 15- 002 at their regular meeting on February 4, 2015. The Planning Commission offers the following findings of fact for consideration: Subdivision Findings 1. The applicant has requested approval of a Preliminary and Final Plat for the property at 3527-3557 Lexington Avenue North. 2. The subdivision would create three new parcels: Lot 1, Lot 2, and Lot 3, Arden Plaza 2nd Addition. 3. The proposed Lot 1, Arden Plaza 2nd Addition and Lot 2, Arden Plaza 2nd Addition are in conformance with the Subdivision Ordinance in Chapter 11 of the Arden Hills City Code. 4. The proposed Lot 3, Arden Plaza 2nd Addition is not in conformance with the Subdivision Ordinance in Chapter 11 of the Arden Hills City Code because it is an interior parcel with no frontage on a publicly dedicated street. 5. The proposed Lot 3, Arden Plaza 2nd Addition is entitled to access and parking under an existing Reciprocal Easement Agreement (Doc. No. 2156888) that has been recorded against the property with Ramsey County. 6. The applicant has requested flexibility through the PUD Amendment process for the proposed nonconforming Lot 3, Arden Plaza 2nd Addition. PUD Amendment Findings 7. The applicant is requesting approval of an amendment to the Master PUD for the Arden Plaza property. 8. The original Master PUD for the development was approved in Planning Case #09-011. A subsequent PUD Amendment was approved in Planning Case#11-016. 9. The PUD Amendment is being requested in order to accommodate the proposed subdivision, to increase the size of Building#4 to be constructed in Phase III, and to allow for minor modifications to the existing parking lot. 10. The PUD process allows for flexibility within the City's regulations through a negotiated process with a developer. 11. The Arden Plaza development is located in the B-2 General Business District. 12. The City has adopted the Guiding Plan for the B-2 District that outlines future development principles for the area. 13. The City has adopted Design Standards for the B-2 District within the Zoning Code. 14. The Master PUD Amendment is in substantial conformance with the requirements of the City's Zoning Code. 15. The Master PUD Amendment is in substantial conformance with the Guiding Plan for the B-2 District. 16. The Master PUD Amendment is in substantial conformance with the City's Comprehensive Plan. 17. The application is not anticipated to create a negative impact on the immediate area or the community as a whole. Associate Planner Bachler explained that the Planning Commission recommended approval (4- 2, Zimmerman and Bartel) of Planning Case 15-002 for a Preliminary Plat, Planned Unit Development Amendment, and Conditional Use Permit Amendment at 3527-3557 Lexington Avenue North. The Planning Commission recommended that the twelve (12) conditions within ARDEN HILLS CITY COUNCIL—MARCH 30, 2015 13 the staff report to the City Council be included in an approval of the Preliminary Plat and PUD Amendment requests specifically. Associate Planner Bachler reported that the Planning Commission recommended an additional ten (10) conditions pertaining to the Conditional Use Permit Amendment for the proposed expanded outdoor seasonal sales area. These conditions would be presented and considered separately by the City Council at the meeting on April 13, 2015. Associate Planner Bachler reviewed the twelve (12) conditions recommended by the Planning Commission: 1. Prior to City Council review of Planning Case 15-002, the issue regarding the design and location of the demising wall between Lot 2, Arden Plaza 2nd Addition and Lot 3, Arden Plaza 2nd Addition shall be resolved to the satisfaction of the Building Official and Fire Marshal. 2. The applicant shall continue to abide by the conditions of all previous Master PUD Agreements, permits, and reviews, except as hereinafter amended. 3. The project shall be completed in accordance with the submitted plans as amended by the conditions of approval. Any significant changes to these plans, as determined by the City Planner, shall require review by the Planning Commission and approval by the City Council. 4. A Development Agreement Amendment shall be prepared by the City Attorney and subject to City Council approval. The agreement shall be executed by all parties within the Arden Plaza development prior to the issuance of any building or development permits. 5. The final construction plans for the demising wall between the Frattallone's Hardware store and the remainder of the Arden Plaza retail building shall meet the standards as outlined by the City Building Official in the memo dated January 29, 2015. 6. The execution of the Final Plat shall be conditioned on the demising wall construction between the Frattallone's Hardware store and the remainder of the Arden Plaza retail building receiving final approval from the City Building Official. 7. Prior to the execution of the Final Plat, a copy of the supplemental declaration between Frattallone's Hardware and Arden Plaza, LLC addressing the issues of drainage and driveway maintenance shall be provided to the City. 8. Prior to the execution of the Final Plat, a copy of an agreement addressing the Sewer and Water services provided to Lot 3, Arden Plaza 2nd Addition through the building on Lot 2, Arden Plaza 2nd Addition shall be provided to the City. 9. Prior to the execution of the Final Plat, a copy of an agreement addressing the operation, maintenance, and ownership of all sanitary sewer, water, and storm sewer within the development, and the process by which future land use applications will be submitted to the City for properties within the development, shall be provided to the City. 10. The applicant shall file the Final Plat with Ramsey County within 180 days of the date of the City's approval of the Final Plat. An extension request must be submitted in writing to the City at least forty-five (45) days prior to the expiration date. 11. The City currently holds a Letter of Credit (American Bank Letter of Credit No. 2527) for the patching and seal coating of the parking lot next to the Frattallone's Hardware store. This work shall be completed by September 30, 2015 or the LOC maturity date shall be extended. ARDEN HILLS CITY COUNCIL—MARCH 30, 2015 14 12. The applicant shall construct the main parking area and landscaping improvements previously planned for Phase I prior to the issuance of a Certificate of Occupancy for either Building#2 or Building#4. Mayor Grant thanked Associate Planner Bachler for his report and asked if the Council had any questions. Councilmember Holden requested further information on signage. Associate Planner Bachler noted that there was a Master Sign Plan that was approved in the original PUD in 2009, which included two monument signs. He reported that no additional monument signs would be allowed unless a PUD Amendment was approved. Councilmember McClung requested clarification on what was being requested. Associate Planner Bachler stated that a Preliminary Plat and PUD Amendment were being requested. He reported that no action regarding the Frattallone's garden center would be taken this evening. Councilmember Holden questioned if there were 440 parking spaces on the site plan. Associate Planner Bachler explained that the Planning Commission has recommended that before a certificate of occupancy is issued for Building #2 or #4 that Wellington Management complete the parking improvements as shown on the Master Site Plan. This would require Wellington Management to install additional parking spaces in front of Arden Plaza. He provided further comment on the phasing of the development and how this would impact parking. Councilmember McClung indicated the Council received an email regarding a pending land sale within this development. He questioned which lot had a pending sale. City Administrator Klaers stated there was a pending sale on the proposed Lot 1. Councilmember Woodburn asked if the proposed parking in front of the retail center would be approved by the Fire Marshal and suggested this area be set aside for a parking lane. Associate Planner Bachler reported that the parking plan had been reviewed and approved by the Lake Johanna Fire Department. Councilmember Holmes expressed concern with the parking lot and asked if the entire site would develop with retail. Associate Planner Bachler provided comment on the City's parking requirements. He commented that the parking requirements would be more closely examined as Phase 2 and 3 are completed in the future. Councilmember Holden wanted to see the parking lot full as this would mean the development was successful. She discussed how the shared parking would be divided out by each of the ARDEN HILLS CITY COUNCIL—MARCH 30, 2015 15 businesses and noted parking times may vary depending on business hours. She questioned why the Council should consider approval of the plat when the site was not currently in compliance with the B-2 design regulations. Associate Planner Bachler reported that properties in the B-2 District are only required to comply with these new design regulations if requesting a significant change to a building or site. City Attorney Jamnik noted that the City could not require existing businesses in the B-2 district to adhere to the recently approved design regulations, but these guidelines would be followed by all new plats and site redevelopments. Councilmember Woodburn believed that the empty and half empty pallets behind the Frattallone's building should be addressed. He thought that the south side of Lot 3 should be cleaned up. He questioned if the applicant supported action on this item being delayed until April 13th City Attorney Jamnik stated that the delay was requested by the applicant. Associate Planner Bachler explained that Tom Frattallone was out of town this week and therefore could not attend this evening's meeting to address the Council's questions. Mayor Grant questioned who would be completing the demising wall. Community Development Director Hutmacher discussed the condition surrounding the demising wall. Councilmember Holden asked what Wellington Management could do to address the unsightly mess behind the Frattallone's building. David Bergstrom, Wellington Management, explained that he was addressing this concern with Frattallone's and understood this was part of building management. He stated that additional language may have to be added to the lease in order for the rear of the building to remain sightly. Councilmember Holden questioned if the City had a fine system in place. City Administrator Klaers reported that the City does not have a fine system in place. Mr. Bergstrom did not believe that he needed to be fined. He commented that he would bring this concern back to his management in order to ensure that the rear of the building was kept in better order. MOTION: Councilmember McClung moved and Councilmember Holmes seconded a motion to approve Planning Case 15-002 for a Preliminary Plat and Planned Unit Development Amendment at 3527-3557 Lexington Avenue North, based on the findings of fact and submitted plans, as amended by the twelve (12) conditions in the March 30, 2015, Report to the City Council. The motion carried (5-0). ARDEN HILLS CITY COUNCIL—MARCH 30, 2015 16 MOTION: Councilmember McClung moved and Councilmember Holmes seconded a motion to continue consideration of Planning Case 15-002 for a Planned Unit Development Amendment and Conditional Use Permit Amendment at 3527- 3557 Lexington Avenue North to the April 13, 2015, Regular City Council meeting. The motion carried (5-0). B. Order Assessment Hearings for Venus/Crystal Area PMP and for the Grant/Noble/Lake Lane Area PMP Assistant City Engineer Anderson explained as per Council direction, bids were opened on Thursday, March 19, 2015 for both 2015 Pavement Management Program (PMP) projects: Venus/Crystal Neighborhood and Grant/Noble/Lake Lane Neighborhood. There were a total of 8 bids received. The following list provides the bidder's name and their total bid. Valley Paving, Inc. $3,911,980.18 Astech Corporation $4,236,436.72 Palda& Sons, Inc. $4,309,867.43 Park Construction Co. $4,339,078.97 Northwest Asphalt, Inc. $4,536,575.67 T.A. Schifsky& Sons, Inc. $4,758,548.31 Redstone Construction $4,972,862.29 Meyer Contracting, Inc. $5,323,532.06 Assistant City Engineer Anderson stated the low bid of $3,911,980.18 received from Valley Paving Inc. compares favorably with construction cost estimates from both of the Feasibility Reports which is a total of $4,181,300. Further analysis of the low bid; adding overhead according to the City's Assessment Policy and dividing it into the cost for the two specific neighborhoods results in the following total project costs: • $3,719,403.67 Total Project Cost for the Venus/Crystal Neighborhood • $1,493,126.36 Total Project Cost for the Grant/Noble/Lake Lane Neighborhood Assistant City Engineer Anderson reported each of these total project costs were then analyzed for the assessable cost which as described in the City's Assessment Policy is half of the street project cost. The results of this analysis is as follows: • Venus/Crystal Neighborhood Assessment Rate of $8,614.27 per unit as compared to the Feasibility Report estimate of$11,450. • Grant/Noble/Lake Lane Neighborhood Assessment Rate of $5,563.07 per unit as compared to the Feasibility Report estimate of$6,600. Assistant City Engineer Anderson indicated in order to move both of these projects forward, it would be appropriate for the Council to consider adopting Resolution 2015-015 which declares the Cost to be Assessed and Orders the Preparation of the Assessment Roll. The second, Resolution 2015-016 Sets the Date for the Assessment Hearing as April 27, 2015 for the Venus/Crystal Neighborhood. The next two Resolutions do the same for the Grant/Noble/Lake ARDEN HILLS CITY COUNCIL—MARCH 30, 2015 17 Lane Neighborhood with the Hearing date of May 4, 2015. Staff recommends adoption of all four Resolutions. Assistant City Engineer Anderson noted that in discussions with City Attorney Joel Jamnik it was his suggestion to hold the two Assessment Hearings on separate nights due to the difference in proposed assessment rates. In order to get the project to construction as early as possible staff is suggesting a special Council meeting on May 4th after the regularly scheduled JDA meeting for the Grant/Noble/Lake Lane Assessment hearing. MOTION: Councilmember Holden moved and Councilmember Holmes seconded a motion to adopt Resolution #2015-015 — Declaring Cost to be Assessed and Ordering the Preparation of the Assessment Roll for the 2015 PMP — Venus Crystal Neighborhood. The motion carried (5-0). MOTION: Councilmember Holden moved and Councilmember McClung seconded a motion to adopt Resolution #2015-016 — Setting the Date for the Assessment Hearing for the 2015 PMP — Venus/Crystal Neighborhood on Monday, April 27, 2015. The motion carried (5-0). MOTION: Councilmember Holden moved and Councilmember Woodburn seconded a motion to adopt Resolution #2015-017 — Declaring Cost to be Assessed and Ordering the Preparation of the Assessment Roll for the 2015 PMP — Grant/Noble/Lake Lane Neighborhood. The motion carried (5-0). MOTION: Councilmember Holden moved and Councilmember Woodburn seconded a motion to adopt Resolution #2015-018 — Setting the Date for the Assessment Hearing for the 2015 PMP — Grant/Noble/Lake Lane Neighborhood on Monday May 4, 2015. The motion carried (5-0). 10. COUNCIL COMMENTS Mayor Grant discussed how the April 13t1i bridge closure would impact local businesses. Public Works Director Maurer showed a letter that was sent out by MnDOT to local business owners. He reported that the contractor would be responsible for posting signs noting the dates for the bridge closure. He noted a detour plan was available on MnDOT website. The City's website has a link to MnDOT's website. Councilmember Holmes requested the bridge project information be placed on the front page of the City's website and not on the Public Works page. Councilmember Holden recommended that residents of Arden Hills and Bethel students also be notified of the bridge closure. Public Works Director Maurer stated he would investigate this further with MnDOT and encourage them to post the signs sooner rather than later. ARDEN HILLS CITY COUNCIL—MARCH 30, 2015 18 Councilmember McClung commented the Ramsey County League of Local Government recently discussed how auto aid may be important this summer due to the bridge closures. Councilmember Holmes asked when County Road F would be reconstructed. Public Works Director Maurer anticipated that this project would begin the end of April or early May. He noted that the City would be speaking with the school. He reported that Ken Barnard with MnDOT would be more than happy to speak with school administration. Mayor Grant commented that the County Road H bridge was scheduled to be reconstructed in 2016. He noted that Mounds View had a number of concerns with this project and further discussions would need to be held in order for Mounds View to resolve their concerns. Councilmember Holden requested the flags be removed near E-Street Flats. Community Development Director Hutmacher responded that this would be addressed. Councilmember Holden invited the public to participate in an Easter Egg Hunt on Saturday, April 4th at 10:30 a.m. Councilmember Holden requested staff provide the Council with the updated TRC. Community Development Director Hutmacher replied that would be done. Councilmember Holden reported that the City would be transitioning from recycling bins to carts the week of April 271h to May 1St Councilmember Holden suggested that the City Council send a letter of congratulations to the Governor of Oregon as she was a former resident of Arden Hills. Councilmember Holden recommended that Staff Comments include the road construction projects during the summer months. Public Works Director Maurer noted that he would begin providing reports to the Council with the"Transportation Update" at regular Council meetings starting in April. Councilmember Holden suggested that the Council refer to Rice Creek Commons as both TCAAP and Rice Creek Commons in order to keep the residents informed as to the name change. Councilmember Holden discussed an article in the Minnesota League magazine regarding residential developments. Councilmember McClung stated April 17th was the last day of the Ramsey County Friends of the Park tree sale. He encouraged residents to participate in this wonderful event. ARDEN HILLS CITY COUNCIL—MARCH 30, 2015 19 ADJOURN MOTION: Councilmember McClunjZ moved and Councilmember Holden seconded a motion to adjourn. The motion carried unanimously (5-0). Mayor Grant adjourned the regular City Council meeting at 9:14 p..m. Amy Dietl David Grant City Clerk Mayor