HomeMy WebLinkAbout12-12-16-R I't
"ENILLS
Approved: February 13, 2017
CITY OF ARDEN HILLS, MINNESOTA
REGULAR CITY COUNCIL MEETING
DECEMBER 12,2016
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 Jonathan Wicklund
Absent: None
Also present: Interim City Administrator and Director of Finance and Administrative
Services Sue Iverson, Interim Public Works Director/City Engineer Andy Brotzler, Interim
City Planner Eric Zweber, Assistant City Attorney James Monge and City Clerk Julie
Hanson
PLEDGE OF ALLEGIANCE
1. APPROVAL OF AGENDA
Mayor Grant indicated Item 8B was to be removed from the Agenda per the request of the
applicant.
Mayor Grant requested Items 8D and 8E be discussed after Item 8A.
MOTION: Councilmember Holden moved and Mayor Grant seconded a motion to
approve the meeting agenda as amended. The motion carried unanimously
(5 -L
2. PUBLIC INQUIRIES/INFORMATIONAL
None.
3. STAFF COMMENTS
A. Rice Creek Commons (TCAAP) and Joint Development Authority (JDA) Update
ARDEN HILLS REGULAR CITY COUNCIL—DECEMBER 12, 2016 2
Interim City Administrator and Director of Finance and Administrative Services Iverson
provided the following update on TCAAP:
Meetings
• On November 28, 2016, the City Council met in a work session with the Master
Development Team to review updated change requests to the TRC from the November 21,
2016 work session and to provide the Council with a final opportunity to raise any other
issues or concerns with the development and TRC. Final changes recommended to the
TRC and agreed to with the Master Development Team included:
o Minimum unit sizes for high density multi-family apartments
o Addition to Section 3.3 (f)that the JDA cannot grant flexibility to minimum unit sizes
o Removal of Section 3.4—Special Development Plan and process
o Changing or adding 10% reduction allowance in Table 3-3 under #2 (Building Form
and Development Standards), with the exception that no % reduction was needed for
parking garages and porte-cocheres
o Adding memory care and skilled nursing to assisted living as permitted uses in TC-2
and TC-3 (removed from TC-I) and removing reference to nursing homes altogether
o Removal of senior independent living as a permitted use in TC-1
o Adding the Energy Integration and Resiliency Framework (EIRF)as attachment 8
• On December 7, 2016, the Planning Commission held a public hearing on the
Comprehensive Plan Amendment, TCAAP Regulating Plan Amendment and TCAAP
Redevelopment Code (TRC) Amendment. The amendments to the TRC that were
recommended by the City Council after their work session on December 5th were
incorporated into the final approvals. Three residents spoke in favor of the amendments at
the meeting and no one spoke in opposition. The amendments were approved 5-0.
• No project team meetings with Staff and the Master Development Team have occurred
since the last TCAAP update on November 28, 2016.
Communications
• Staff provided articles from the Pioneer Press (December 3, 2016) and Star Tribune
(December 8, 2016)related to TCAAP.
B. Transportation Update
Interim Public Works Director/City Engineer Brotzler reported crews conducted a full plow
yesterday after the snow event. He anticipated crews would be out working again tomorrow.
Interim Public Works Director/City Engineer Brotzler stated there was a watermain break
today off of Arden View Drive within an easement. During the repair of the watermain break 75
homes were without water. It was noted crews had the watermain fixed within several hours and
water service was fully restored to these homes.
Councilmember McClung indicated he was one of the homes impacted by the watermain break.
He sent his thanks to the.Public Works crew for their great work.
ARDEN HILLS REGULAR CITY COUNCIL—DECEMBER 12, 2016 3
4. APPROVAL OF MINUTES
A. October 31, 2016, Regular City Council
B. November 14, 2016, Regular City Council
C. November 14, 2016, Special City Council Work Session
D. November 21, 2016, City Council Work Session
Councilmember Holden requested a change to the October 31" minutes on Page 2, stating the
last sentence of the second paragraph should read residents should be patient as efforts were
underway with the County to use County right of way for cost savings. One Page 12, she asked
that the reference to Rick Harris be amended to note Rick Harris had been interviewed by the Star
Tribune.
Councilmember Holden requested a change to the November 21St minutes on Page 7, asking that
the last sentence of Ms. Kvilvang's comment be removed. She wanted it clarified for the record
that the Council was not in attendance at the land value meetings.
Councilmember Holmes requested a change to the October 31st minutes on Page 11, stating her
comment should read she believed that since there is already existing lighting along the corridor
the bell tower lighting in the evening hours would not add significantly to the lighting already
there.
MOTION: Councilmember Holden moved and Councilmember Holmes seconded a
motion to approve the October 31, 2016, Regular City Council meeting
minutes, November 14, 2016, Regular City Council meeting minutes,
November 14, 2016, Special City Council Work Session meeting minutes; and
November 21, 2016, City Council Work Session meeting minutes as amended.
The motion carried unanimously (5-0).
5. CONSENT CALENDAR
A. Motion to Approve Consent Agenda Item - Claims and Payroll
B. Motion to Adopt the 2017 Employee Compensation Plan—Non-Union Employees
C. Motion to Adopt Resolution 2016-041 Approving the 2017 City Contribution to
Employee Monthly Benefits
D. Motion to Approve Resolution 2016-37 Accepting the Liability Coverage Limits
from the League of Minnesota Cities Insurance Trust(LMCIT)
E. Motion to Approve Sheriff Contract Public Safety Capital Equipment Purchase
F. Motion to Approve Lift Station No. 11 Reconstruction—Payment No. 2
G. Motion to Approve Ordinance 2016-010 Adopting the 2017 Fee Schedule and
Authorizing Publication of the Ordinance Summary
H. Motion to Approve Resolution 2016-042 Approving Charitable Gambling License
for Roseville Area Youth Hockey Association at Welsh's Big Ten
I. Motion to Approve Resolution 2016-043 Approving Charitable Gambling License
for St. Katherine Ukrainian Orthodox Church at Pot-O-Gold Bingo
J. Motion to Approve 2017 Liquor License Renewals
K. Motion to Approve 2017 Tobacco License Renewals
ARDEN HILLS REGULAR CITY COUNCIL—DECEMBER 12, 2016 4
L. Motion to Approve 2015 PMP Final Payment No. 8
MOTION: Councilmember Holden moved and Councilmember Holmes seconded a
motion to approve the Consent Calendar as presented and to authorize
execution of all necessary documents contained therein. The motion carried
unanimously (5-0).
6. PULLED CONSENT ITEMS
None.
7. PUBLIC HEARINGS
A. Rice Creek Commons (TCAAP) Development Discussion Opportunity for
Residents
Mayor Grant stated under the Public Hearing section, citizens would have an opportunity to
discuss ideas regarding the TCAAP development.
Mayor Grant opened the public hearing at 7:15 p.m.
Jackie Dewore, resident of Arden Manor, stated she sent the Council an email this morning. She
explained she lived in Arden Manor as it was the most affordable option in the City. She
questioned how affordable the housing would be within TCAAP. She expressed concern with
how effective the new development would be and how the remainder of Arden Hills would be
impacted by TCAAP. She indicated there were many residents within Arden Manor interested in
working on TCAAP during construction and thereafter.
Mayor Grant encouraged Ms. Dewore to pass along a list of those interested in jobs to the
Master Developer.
Steve Scott, 4286 Norma Avenue, addressed the Council as a concerned citizen and noted he was
the Councilmember elect. He discussed his work history and explained he had decades of
government contracting work experience. He addressed the risks that have been identified for
TCAAP and commended the City on its strong financial position. He believed the Council has
invested wisely in parks and trails making Arden Hills a truly first class City. He was pleased that
multiple builders would be used to construct the residential homes on TCAAP as he did not want
them all to look the same. He provided further comment on his views of the TCAAP
development as being risky. He did not believe the Arden Hills taxpayer should bear the brunt of
this project. He asked the Council to delay approval of the project until all risks have been
mitigated.
Len Pratt, Pratt Homes and Development, spoke on behalf of Bob Lux and the Alatus proposal.
He believed something very exciting was about to happen in the City of Arden Hills. He
supported Bob Lux and his proposal to have a variety of housing types within the development as
this would meet the life cycle needs of both the City and the County. In addition, he supported the
ARDEN HILLS REGULAR CITY COUNCIL—DECEMBER 12, 2016 5
10-story condominium building at its proposed location as it would add vitality to the Town
Center. He wished the Council only success on this project.
With no one else coming forward to speak, Mayor Grant closed the public hearing at 7:31 p.m.
B. Truth-in-Taxation Hearing
Interim City Administrator and Director of Finance and Administrator Services Iverson
provided the Council with a presentation on the 2017 proposed budget and tax levy. She
described how property values in Arden Hills were anticipated to change for the coming year. She
discussed how the median value home would be impacted by the proposed tax levy. It was noted
the proposed levy increase would be 4.7% which consisted of a 2.7% increase in public safety
costs. She reviewed the City's tax rate in comparison to neighboring cities stating the Arden Hills
was on the low end. She commented on the key budget elements noting revenues and
expenditures for the coming year.
Mayor Grant opened the public hearing at 7:50 p.m.
With no one coming forward to speak, Mayor Grant closed the public hearing at 7:51 p.m.
C. Resolution 2016-44 Adopting and Confirming Quarterly Special Assessments
for Delinquent Utilities
Interim City Administrator and Director of Finance and Administrator Services Iverson
stated delinquent utility amounts are certified to Ramsey County quarterly. A list of utility accounts
with a delinquent balance was compiled and notices dated November 7, 2016 were mailed. These
customers were informed of their delinquent status and were asked to make payment of the delinquent
balance by December 7, 2016. Utility accounts with an unpaid delinquent balance after December 7,
2016 would be certified to Ramsey County to be added to property taxes payable in 2017. The
certification amount is equal to the unpaid delinquent balance plus an eight percent penalty. Staff
recommended the Council approve a Resolution certifying the list of delinquent utility accounts to
Ramsey County.
Mayor Grant opened the public hearing at 7:51 p.m.
With no one coming forward to speak, Mayor Grant closed the public hearing at 7:52 p.m.
MOTION: Councilmember McClung moved and Councilmember Holmes seconded a
motion to adopt Resolution #2016-044 — Adopting and Certifying the
Ouarterly Special Assessments for Delinquent Utilities to Ramsey County.
The motion carried (5-0).
D. Approve Ordinance No. 2016-013, Amending Chapter 7, Section 700-.06, to
Adopt Slow-No Wake Speed Restrictions on Lake Johanna during Specified
High Water Periods and Authorizing Publication of the Ordinance Summary
Interim City Planner Zweber stated over the last several years, the City Council has had to
convene an emergency meeting to declare slow-no wake speed restrictions on Lake Johanna
ARDEN HILLS REGULAR CITY COUNCIL—DECEMBER 12, 2016 6
during times when the water was very high. Due to the time it takes to convene an emergency
session, the speed restrictions were not in place quickly enough. It is the goal of the City to be able
to implement these restrictions administratively during times of need. This will allow the
restrictions to be in place without delay and without having to convene an emergency meeting.
Interim City Planner Zweber commented in order to pass a Water Surface Use Ordinance,
certain Minnesota Department of Natural Resources (DNR) requirements must be completed. The
DNR requires a Water Surface Use worksheet be submitted, a map created of the area, public
feedback be accepted and the proposed Ordinance be submitted to the DNR. After they have
received all of the application materials, they make the determination on whether or not to accept
the proposed Ordinance.
Interim City Planner Zweber reported staff prepared the Water Surface Use worksheet. The
worksheet required coordination with the DNR and the Ramsey County Sherriff s department to
obtain data and historical information about Lake Johanna. The worksheet also required a survey
of use of the lake. Staff surveyed the lake three times per day; morning, afternoon and evening, on
both a weekday and a weekend day. The survey included a count of boats on the lake and trailers
in the parking lot. This allowed us to get a count of usage by people who reside on the lake and
visitors to the lake. Staff recommended the Council approve the Water Surface Use Worksheet
and associated information, and that the public comments received at the public hearing to be sent
to the DNR for final approval.
Mayor Grant opened the public hearing at 7:54 p.m.
With no one coming forward to speak, Mayor Grant closed the public hearing at 7:54 p.m.
MOTION: Councilmember McClung moved and Councilmember Holden seconded a
motion to adopt Ordinance No. 2016-013 —An Ordinance Amending Chapter
7, Section 700.06 to adopt slow-no wake speed restrictions on Lake Johanna
during specified high water periods; authorizing publication of the Ordinance
summary; and directing staff to submit the Water Use Worksheet to the
Minnesota Department of Natural Resources. The motion carried (5-0).
E. Consider Approval of Liquor License Application—The Tavern Grill
City Clerk Hanson stated HRP Arden Hills, LLC has requested an On-Sale liquor license (ONSS
— beer, wine and intoxicating liquor) for their new restaurant, The Tavern Grill. The Tavern Grill
is scheduled to open in January 2017 and is located at 3561 Lexington Avenue North, Arden
Hills, Minnesota. Staff is in receipt of all the necessary paperwork and associated fees, and
background checks have been successfully completed by the Ramsey County Sheriff's Office.
City Clerk Hanson reported in addition to holding a public hearing tonight, the On-Sale and
Sunday liquor license application is 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. Staff recommended the Council hold a public
hearing regarding an On-Sale and Sunday liquor license for The Tavern Grill, located at 3561
Lexington Avenue North, Arden Hills, Minnesota and consider approval of the issuance of an On-
ARDEN HILLS REGULAR CITY COUNCIL—DECEMBER 12, 2016 7
Sale and Sunday liquor license for The Tavern Grill, located at 3561 Lexington Avenue North,
Arden Hills, Minnesota.
Mayor Grant opened the public hearing at 7:55 p.m.
With no one coming forward to speak, Mayor Grant closed the public hearing at 7:55 p.m.
MOTION: Councilmember Holden moved and Mayor Grant seconded a motion to
approve an On-Sale and Sunday Liquor License for The Tavern Grill located
at 3561 Lexington Avenue North. The motion carried
8. NEW BUSINESS
A. Adoption of the 2017 Budget and Tax Levy
• Approve the 2017-2021 CIP
• Resolution 2016-038 Adopting the Proposed 2017 Budget in the Amount of
$14,149,839
• Resolution 2016-039 Setting the Final Tax Levy for Taxes Payable in 2017
in the Amount of$3,641,290
Interim City Administrator and Director of Finance and Administrator Services Iverson
requested the Council approve the CIP, adopt the proposed 2017 budget and set the final tax levy
for 2017.
Councilmember Holden asked if staff had received any comments from residents regarding the
resurfacing of the Johanna Marsh tennis court.
Interim Public Works Director/City Engineer Brotzler explained he discussed this matter with
several representatives last week and this information was going to be passed along to the larger
association.
Councilmember Holden questioned if the trail for E2 down to New Brighton Road was included
within the CIP.
Interim City Administrator and Director of Finance and Administrator Services Iverson
believed staff was looking into the costs for this project.
Interim Public Works Director/City Engineer Brotzler stated this was correct as he was
working with the County on preliminary project designs for this trail project. He provided further
comment on the project timeline for this trail segment.
Councilmember Holden requested the trail segment for E2 be added to the 2017 CIP at an
amount of$100,000.
MOTION: Councilmember McClung moved and Councilmember Holmes seconded a
motion to Approve the 2017-2021 CIP as amended. The motion carried 5-0 .
ARDEN HILLS REGULAR CITY COUNCIL—DECEMBER 12, 2016 8
Interim City Administrator and Director of Finance and Administrator Services Iverson
reported that staff would adjust the budget to include the E2 trail segment which would increase
expenditures $100,000.
MOTION: Councilmember Holden moved and Councilmember Holmes seconded a
motion to_adopt Resolution #2016-038 — Adopting the 2017 Final Budget in
the Amount of$18,777,880. The motion carried (5-0).
Mayor Grant stated there has been a great deal of discussion by the Council regarding the levy
amount. He explained the current levy increase was proposed to be 4.7%.
MOTION: Councilmember McClung moved and Mayor Grant seconded a motion to
adopt Resolution #2016-039 — Setting the 2017 Final Levy for Taxes Payable
in 2017 in the Amount of$3,641,290.
Councilmember McClung stated he would not be supporting a 4.7% levy increase. He
explained he could support a 3.5% levy and believed adjustments could be made to reduce the
proposed levy increase.
Councilmember Holmes supported the tax levy and understood residents wanted to see the
Council investing in the City's parks and trails.
Mayor Grant indicated he did not support the proposed levy. He had hoped the percentage
would be reduced to 3.5%through a portion of the 2016 budget surplus. He understood that trails
and parks were important to Arden Hills' residents and were included within the CIP. He
believed it would be very simple to use a portion of the surplus to buy down the levy.
Councilmember Wicklund asked if historically the Council has worked to reduce the levy
percentage.
Mayor Grant commented this has been done in the past.
Councilmember Holden stated she would be supporting the 4.7% levy. She explained the three
trail segments proposed to be completed in 2017 would cost the City $525,000. She did not
believe there was much of a difference between a 3.5% and 4.7% tax levy. For this reason, she
recommended the levy amount remain as is.
Councilmember Wicklund indicated he was comfortable with the 4.7%tax levy increase.
The motion carried 3-2 (Mayor Grant and McClung opposed).
D. Approve Memorandum of Understanding with Alatus Arden Hills LLC
Regarding Park Land Dedication and Improvements to TCAAP/Rice Creek
Commons
Stacie Kvilvang, Ehlers & Associates, stated at the November 28th City Council Worksession,
staff provided a set of reconciled park improvement costs estimates for the Creek, Hill, and Town
ARDEN HILLS REGULAR CITY COUNCIL—DECEMBER 12, 2016 9
Center parks. The reconciled cost estimate totaled approximately $14,500,000 and was based
upon a joint review with WSB, Ehlers, Tradition Homes, and Alex Duval of Alatus.
Ms. Kvilvang explained the cost reconciliation identified a path that was intended to maintain the
overall integrity of the parks while adjusting park dedication fees to cover the improvement costs.
The residential per unit park dedication fee will be increased to $6,500/unit and is already
included in the fee scheduled to be approved by the Council on December 12, 2016. The City
Council will need to update the park dedication fee ordinance to increase the park land and park
improvement fee paid by commercial property to 7.5%of fair market value (FMV) of the land for
each category (total of 15%). This is an increase from a collective total of 10% of FMV (prior
split was 5%for land dedication and 5% for park improvements).
Ms. Kvilvang reported the Master Development team has stated they would like to spearhead and
pay for the design of the park improvements, in consultation with the City Council and the Parks,
Trails, and Recreation Committee. In addition, the Master Developer may have an interest to
construct the parks and deliver them "turn-key" to the City upon completion. This approach
allows greater design and construction cost efficiencies since construction can occur in
combination with the broader infrastructure improvements. The final designs remain subject to
City Council approval.
Ms. Kvilvang stated since the actual park construction is several years away, the costs and related
fees will continue to evolve with the final park designs. The Memorandum of Understanding (the
"MOU") between the City and Master Developer formalizes the understanding that:
• The Master Developer will coordinate the design of the Creek, Hill, and Town Center
parks and the final designs are subject to City Council approval;
• The amenities will be in conformance with the attached TCAAP Park Standards prepared
by WSB;
• The City and Master Developer will work together on the timing and who will be
responsible for construction and future maintenance of the Parks; and,
• The park dedication fees may be modified to align with the final design costs
MOTION: Councilmember McClung moved and Councilmember Holden seconded a
motion to approve a Memorandum of Understanding with Alatus Arden Hills
LLC regarding Park Land Dedication and Improvements to TCAAP/Rice
Creek Commons. The motion carried (5-0).
E. Approve Option Agreement with Alatus Arden Hills LLC for City Purchase
of Civic Use Land to be Platted as Part of TCAAP/Rice Creek Commons
Stacie Kvilvang, Ehlers & Associates, stated at the November 28th City Council Worksession,
the Council directed staff to work with the Master Developer to prepare a proposed timeframe and
cost structure whereby the City could acquire the Civic zoned property on the TCAAP site. The
proposed sale terms were presented to the City Council at the December 5th Worksession, and the
City Attorney has since memorialized those terms in the Option Agreement. The document will be
executed by the City and the Master Developer upon approval by the City Council.
ARDEN HILLS REGULAR CITY COUNCIL—DECEMBER 12, 2016 10
Ms. Kvilvang explained the proposed Option Agreement provides the City up to seven years to
acquire the civic property from the Master Developer. The timeframe begins once the Joint
Development Authority (the "JDA") approves the Master Development Agreement (the MDA")
with the Master Developer. While the MDA approval timeframe is not set, it could reasonably
occur within the next three to twelve months. The MDA approval initiates the Option Agreement
timeline.
Ms. Kvilvang reported the actual sale terms depend on when the City is prepared to move
forward with construction on a mutually agreeable civic use as defined in the TCAAP Regulatory
Code. An earlier sale results in more favorable cost terms for the City. The Master Developer will
be constructing the underground parking structure, utilities, and road improvements for the Civic
site (the "Infrastructure Improvements"), which are a value to the property. Depending on when
the sale occurs,the general sale terms are as follows:
Timeframe Terms:
Within 2 years of MDA approval City pays $1 for the land. No cost to the
City for the Infrastructure Improvements.
Between 2 and 5 years after MDA approval City pays 50% of the actual land purchase
price paid by the Master Developer AND
50% of the Infrastructure Improvement
costs.
Between 5 and 7 years after MDA approval City pays 100% of the actual land purchase
price paid by the Master Developer AND
100% of the Infrastructure Improvement
costs.
7 years after MDA approval The Option Agreement expires and the
City agrees to rezone the property to TC-3.
Note.At any time during the term ojthe Option Agreement the City can choose not to proceed with a civic use and rezone the property to TC-3
Ms. Kvilvang indicated as discussed at the December 5th worksession, the timeframe and cost
structure is intended to encourage a plan for the civic site sooner rather than later. The City has the
potential to benefit from low or no land and infrastructure costs. The Master Developer has the
potential to benefit from a civic use that adds another amenity for the development along with
increased construction efficiency for the infrastructure.
Councilmember Holden asked if ready to proceed meant the same as shovel ready.
Ms. Kvilvang reported this was the case.
Councilmember McClung questioned when the time period would begin.
Ms. Kvilvang explained the time period would begin two years from the date Alatus signed a
Master Development Agreement with the JDA. She anticipated an agreement would be signed
between these two groups within the next three to six months.
Mayor Grant commented there were items he liked and items he did not like within the Option
Agreement. He stated on the balance, he was pleased that the City would have an option to do
something special on the Civic Property and he believed this was important.
ARDEN HILLS REGULAR CITY COUNCIL— DECEMBER 12, 2016 11
MOTION: Councilmember McClung moved and Councilmember Wicklund seconded a
motion to Approve an Option Agreement with Alatus Arden Hills LLC for
City Purchase of Civic Use Land to be Platted as part of TCAAP/Rice Creek
Commons.
Councilmember McClung was pleased the City was moving forward with TCAAP and he
looked forward to developing a Civic use within the Town Center. He understood this was an
ambitious schedule for the Council to meet, but he felt confident the timeline could be met.
Councilmember Holmes stated there was nothing within the agreement that she did not like. She
believed the developer was being very generous by providing all of the infrastructure
improvements. She noted the timeline had to be two years in order to coordinate with the
surrounding construction. She commented she would be supporting the agreement.
The motion carried (5-0).
B. Planning Case 16-028 — University of Northwestern — Zoning Code
Amendment and CUP— 1265 Grey Fox Road
This item was removed from the agenda per the applicant's request.
C. Planning Case 16-025 — Former Twin Cities Army Ammunition Plant
(TCAAP) Comprehensive Plan Amendment and Amendment to the TCAAP
Redevelopment Code
• Approve Resolution 2016-040 Adopting an Amendment to the
Comprehensive Plan for the TCAAP Property
• Approve Ordinance 2016-011 Amending Chapter 13 of the Arden Hills
City Code, Zoning Code
• Approve Ordinance 2016-12 Amending Chapter 13 of the Arden Hills City
Code, Zoning Code
• Authorize Publication of Summary Ordinances 2016-011 and 2016-012
Amending Chapter 13 of the Arden Hills City Code, Zoning Code
Interim City Planner Zweber stated the Planning Commission reviewed and conducted a Public
Hearing for the Twin Cities Army Ammunition Plant (TCAAP) Comprehensive Plan
Amendment, TCAAP Regulating Plan Amendment, and TCAAP Redevelopment Code (TRC)
Amendment during their December 7, 2016 meeting. Within a PowerPoint presentation, staff
reviewed the further amendments to the TRC that the City Council discussed at the December 5,
2016 Work Session. Staff also noted that there are two errors in the proposed amendments that
were inadvertently been made by staff that will be fixed: the Regulating Plan is missing the
pedestrian friendly frontage line on the east of the spine road and that the 4-story building in the
TC-3 district should have a maximum height of 52 feet.
Interim City Planner Zweber commented that during the Public Hearing, three residents spoke
in favor of the amendment. Their statement in favor of the amendments including:
• The excitement that something is about to happen after years of discussion and planning.
ARDEN HILLS REGULAR CITY COUNCIL—DECEMBER 12, 2016 12
• Their support for the increased density and height.
• It will be an exciting and vibrant place to go.
• The Town Center's commercial area will not be like the strip malls in the communities to
the south and to the north.
• The hopefulness that the increased density and jobs will bring additional public
transportation to the area.
Interim City Planner Zweber explained no one spoke against the amendments during the Public
Hearing. It was noted one email received before the meeting stating a resident was in opposition
to the increased density was provided to the Planning Commission.
Interim City Planner Zweber stated a summary of the discussions conducted by the Planning
Commissioners included:
• That the proposed amendment is in line with the City's Vision.
• Support for the small units sizes.
• Inquired from the developers why they are requesting the additional height and where will
these 10 stories building be visible from.
• That the developer's explanation for the height increase and the limitations on where that
increased height can be located removed their reluctance to vote for increasing the
maximum height.
• If the increase in density would increase the cost to provide public safety services.
• Clarified the amendments to the marquee signs and the electronic changeable copy signs.
• Encouragement from the Open House survey responses that a number of Arden Hills'
residents are supportive of the increased height and density.
Interim City Planner Zweber indicated following those discussions, the Planning Commission
voted unanimously(5-0)to recommend approval of the Comprehensive Plan, Regulating Plan and
TRC Amendments including the Amendment suggested by the City Council at the December 5
Work Session.
Interim City Planner Zweber clarified that at the December 5 Work Session, the City Council
recommended a number of further amendments to the TRC that was provided to the Planning
Commission. These amendments include:
• Add Attachment 8: TCAAP Energy Integration Resiliency Framework(page 3)
• Section 3.3 (f): Items that the JDA shall not grant flexibility: o Add Minimum Multi-
Family Unit Size(page 13)
• Table 3-3 2. Permitted Adjustments: Change all of the permitted adjustments to no more
than 10% (page 14 and 15)
• Subsection 3.4 Special Development Plan: Remove Completely(page 15 and 16)
• Change "Nursing Home and Assisted Living" use to "Assisted Living, Memory Care and
Skilled Nursing"use throughout the document. (page 34, 38, 40)
• Remove Assisted Living, Memory Care and Skilled Nursing from the TC-1 and TC-2
Districts (page 34)
• Remove Senior Independent Living from the TC-1 District(page 34)
• Adding Minimum Multi-Family Units Sizes as follows:
ARDEN HILLS REGULAR CITY COUNCIL—DECEMBER 12, 2016 13
6.3 (b) (iv)Minimum Multi-Family Units Sizes' (page 48 and 49)
Alcove Units 475 square feet*
Efficiency Units 550 square feet**
One-Bedroom Units 635 square feet
Two-Bedroom Units 950 square feet
Three-Bedroom Units 1,200 square feet
Each Additional Unit +150 square feet
o ' Assisted Living, Memory Care and Skilled Nursing Units are Exempt
o *No more than 10%of the total number of units per building shall be Alcove Units
o ** No more than 15% of the total number of units per building shall be Efficiency
Units
• Remove the term "clapboard" from cementitious fiber and engineered wood siding. (pages
77 and 79)
• Remove"Other durable material approved by the JDA." (page 77)
Interim City Planner Zweber stated these amendments are included in the redlined copy and the
clean copy of the TRC. The page numbers listed above are the redline TRC page numbers.
Interim City Planner Zweber reported the Planning Commissioners offers the following
Findings of Fact:
1. The proposed CPA, Rezoning, and TRC advance the City's Comprehensive Plan to
develop and maintain a land use pattern that strengthens the vitality, quality, and character
of the residential neighborhoods, commercial districts and industrial areas, while
protecting the community's natural resources to develop a sustainable pattern for future
development.
2. The proposed CPA, Rezoning, and TRC advance the City's Comprehensive Plan to
develop TCAAP in a way that accommodates a mix of land uses that is sensitive to the
natural environment, economically sustainable and a benefit to the community.
3. The proposed CPA, Rezoning, and TRC advance the City's Comprehensive Plan to
promote the development, redevelopment and maintenance of a viable, innovative, and
diverse business environment that serves Arden Hills and the metropolitan area.
4. The proposed CPA, Rezoning, and TRC advance the City's Comprehensive Plan to
develop and maintain a strong, vital, diverse, and stable housing supply for all members of
the community.
5. The proposed CPA, Rezoning, and TRC advance the City's Comprehensive Plan to
enhance the health, safety, and well-being of all who live, work, and play in the City.
6. The proposed CPA, Rezoning, and TRC advance the City's Comprehensive Plan to create
a comprehensive, maintained, and interconnected system of parks, pathways, and open
spaces, as well as a balanced program of recreational activities for residents of all ages,
incomes and abilities.
7. The proposed CPA, Rezoning, and TRC advance the City's Comprehensive Plan to
preserve, protect, and restore the community's natural resources, including open spaces,
lakes, wetlands, other significant natural features, and historic resources.
8. The proposed TRC implements the vision for a walkable, mixed-use, resilient, and vibrant
TCAAP development.
ARDEN HILLS REGULAR CITY COUNCIL—DECEMBER 12, 2016 14
Interim City Planner Zweber reported the Planning Commission unanimously recommends
approval (5-0) of Planning Case 16-025 Comprehensive Plan Amendment, TCAAP Regulating
Plan Amendment, and TCAAP Redevelopment Code Amendment, based on the findings of fact
and the submitted amendments in the December 7, 2016, Report to the Planning Commission, as
amended to include the December 5, 2016 City Council suggested amendments.
Mayor Grant stated the Council was being asked to approve the TRC this evening. If this did
not happen there would be a Special City Council meeting on December 19.
Councilmember Holden asked if a payment in lieu of taxes (PILOT) for PUD's would be
determined by the JDA.
Assistant City Attorney Monge advised this matter would have to be further reviewed by staff.
Councilmember Holmes did not recall the City taking this action in the past.
Councilmember Wicklund questioned if this was a zoning issue.
Councilmember Holden was uncertain but wanted to be assured the matter was addressed.
Assistant City Attorney Monge recommended the issue of pilot payments be investigated
further, along with proper guiding documents in order to further understand the requirements.
Mayor Grant requested comment from Ms. Kvilvang on this matter.
Ms. Kvilvang stated pilot fees were not a zoning matter. She explained this issue would be
addressed in the Master Development Agreement between the Master Developer and the JDA.
Councilmember Holden inquired if the City would responsible for any necessary sewer upgrades
for TCAAP.
Interim Public Works Director/City Engineer Brotzler believed this issue would be addressed
by the City during the building permit phase.
Bob Lux, Alatus, stated he does not have experience building senior housing. He anticipated any
sewer line upgrades that were necessary would be addressed during the building permit phase.
Councilmember Holden proposed the apartment building behind the hotel have no alcove units.
She believed this was necessary given the fact this complex would have no additional amenities.
MOTION: Councilmember McClung moved and Councilmember Wicklund seconded a
motion to adopt Resolution #2016-040 — Adopting an Amendment to the
Comprehensive Plan for the TCAAP Property.
AMENDMENT: Councilmember Holden moved and Major Grant seconded an
amendment requiring the apartment building behind the hotel to have
no alcove(475 square foot) units.
ARDEN HILLS REGULAR CITY COUNCIL—DECEMBER 12, 2016 15
Councilmember Holmes understood that the residents in this building would have underground
access to the apartment complex with all of the amenities. For this reason, she did not believe the
amendment was necessary.
Mr. Lux discussed the proposed apartment buildings. He explained residents would be able to
migrate from one building to another. It was noted the building behind the hotel would have its
own separate set of amenities for the 230-unit complex. He requested 10%of the units within this
building be allowed to remain alcoves.
Councilmember Holden questioned how other cities were handling alcove sized apartments.
Interim City Planner Zweber commented that some cities are embracing the size while others
are not.
Councilmember Holmes expressed concern with the proposed amendment and believed the City
was proposing to spot zone this building.
Councilmember Wicklund asked if Councilmember Holden was proposing a zoning change or a
specific change to unit sizes.
Councilmember Holden stated she was requesting a TRC change to the allowed apartment sizes
within a specific building.
Councilmember Wicklund stated he would not be supporting the amendment.
Councilmember Holden called the question.
The amendment failed 2-3 (Holmes,McClung and Wicklund opposed).
Councilmember Holden understood senior housing was not an economic engine. She proposed
the senior apartment building (Building 23) be made into brownstones for seniors, similar to those
on the corner of County Road D and Lake Johanna Boulevard. She commented this would get the
City away from institutional senior housing. She supported the same number of units being
constructed.
AMENDMENT: Councilmember Holden moved and Mayor Grant seconded an
amendment requiring the senior apartment building to be made into
medium multi-family housing, such as brownstones.
Interim City Planner Zweber reviewed the portion of the TRC that would be amended if this
were approved by the Council.
Mayor Grant questioned if this housing style could be made while maintaining the same density
level.
Mr. Lux stated this has been addressed within the TRC revisions and noted this block within TC3
had been moved down to a four-story maximum. He commented he has held discussions with
ARDEN HILLS REGULAR CITY COUNCIL—DECEMBER 12, 2016 16
Presbyterian Homes about this block. He discussed the framework that has been established for
each block of the development and requested the Council to not script what will be placed on each
block. He explained his vision for this area of the development was to be pedestrian friendly. He
recommended the Council not use the term institutional as this would not be the correct term for
the proposed senior housing.
Interim City Planner Zweber reviewed the definitions for multi-family and senior housing
within the TRC.
Councilmember Wicklund believed the option to build brownstones was already available
within TC3. He recommended the Council let market demand drive the senior housing on this
block.
Councilmember Holden did not believe the mall area would be sustainable with the proposed
amount of senior housing. She stated she wanted to see a sustainable and unique development.
She believed that the brownstones would add vitality to the development in order to create
sustainability.
Councilmember McClung was of the opinion the proposed amendment was too prescriptive. He
anticipated that if the market called for brownstones, brownstones would be constructed.
Councilmember Holmes questioned what the proposed amendment would be.
Councilmember Holden explained she would like to see only medium multi-family for the
building behind the theater. She suggested a definition of brownstones be added to this area.
Mayor Grant believed there was a large number of senior units proposed for this development.
With that being said, he also understood the number of units had to remain at 1460. He asked
how 300 units of institutional senior housing would bring vibrancy to the Town Center.
Councilmember McClung pointed out that Arden Hills' residents were looking to age in place.
He thought the market would bear the number of senior units being proposed.
Councilmember Holden discussed the numerous senior housing projects that were being
constructed around Arden Hills and neighboring communities.
Councilmember McClung commented there were a large number of Arden Hills' residents
interested in downsizing to senior housing within the City limits.
Councilmember Holmes asked if the entire portion of TC3 would be senior housing.
Mr. Lux explained this was the case. He commented the units would be split between
independent seniors, memory care, and assisted living. It was noted the percentage of these units
has yet to be determined. He anticipated that 200 units would be constructed in Phase I and 100
units would be constructed in Phase II. He discussed the number of visits that these seniors would
be receiving on a weekly basis.
Councilmember Holden did not believe that the number of visits was accurate.
ARDEN HILLS REGULAR CITY COUNCIL—DECEMBER 12, 2016 17
Mayor Grant summarized that the developer was proposing 300 senior units which was roughly
20% of the units within the entire development or 37% of the units within the Town Center. He
saw an advantage to having forward momentum in the project by offering senior housing,
however he also wanted for the development to remain sustainable.
Councilmember Holmes expressed confusion with the proposed amendment.
Councilmember Wicklund clarified that Councilmember Holden was proposing a constriction
on what could be placed on TC3. He did not support further constriction on this area of the
development.
Mayor Grant stated all throughout the code there was constriction. He believed the purpose of
the TRC was to guide.
The amendment failed 1-4 (Mayor Grant, Holmes, McClung and
Wicklund apposed).
Councilmember Holmes asked if there was any support for reducing the number of senior units
within the development.
Mayor Grant stated he wanted the Town Center to be vibrant and believed this could occur with
independent senior living rather than skilled nursing.
Councilmember Wicklund questioned if the Mayor would support a reduction in senior housing
units if overall density was increased.
Mayor Grant commented he could support 200 senior living units in the Town Center.
Councilmember McClung reminded the Council that the viability of the downtown area would
not be determined by one or two blocks within the development. He believed the vitality of the
Town Center had to do with the entire 470 acres and the access this development would have off
of 35W and Highway 96. He believed that seniors these days were vibrant, active and mobile. He
discussed how the State of Minnesota was aging and encouraged the Council to consider the value
of providing a variety of housing options to allow Arden Hills' residents to age in place.
Councilmember Wicklund asked for a response from the developer on how he would feel about
reducing the number of senior units in return for more density.
Mr. Lux reported this was an interesting scenario. He stated if 100 units were taken away from
seniors, that would put a 100-unit complex elsewhere and this was not popular. He explained
how large complexes were necessary for vibrancy and vitality. He discussed how the density and
proposed units within TC3 could shift around.
Further discussion ensued regarding the redevelopment of the area formerly known as Apache
Plaza.
ARDEN HILLS REGULAR CITY COUNCIL—DECEMBER 12, 2016 18
Councilmember Holden asked if the City could restrict 50% of the density within TC3 to be
independent living.
Assistant City Attorney Monge advised this would be problematic.
Councilmember McClung questioned what Alatus was hearing from providers in this senior
housing field.
Mr. Lux stated there would be a progression. He anticipated the assisted living and memory care
units would fill over time. He reported the vast majority of the units (60-75%) would be
independent living. He commented this percentage would migrate over time as the individuals in
the units aged in place.
Councilmember Holden asked what the long-term outcome would be for senior apartments.
Mr. Lux stated an independent unit could evolve into an apartment complex. He explained he
did not see the number of seniors changing over time.
Councilmember McClung reported the State Demographer reflected these same numbers.
Councilmember Holden stated she would not be supporting the TRC. She believed the City had
not done its due diligence to see if the proposed plans were sustainable.
Mayor Grant wished there were portions of the plan that were changed, however he indicated he
would be offering his support.
Councilmember McClung stated he would also be offering his support of the plan. He thanked
the City Council and staff for all of their assistance in drafting the TRC.
The motion carried 4-1 (Holden opposed).
MOTION: Councilmember McClung moved and Councilmember Wicklund seconded a
motion to adopt Ordinance 2016-011 Amending Chapter 13 of the Arden Hills
City Code, Zoning Code. The motion carried 4-1 (Holden opposed).
MOTION: Councilmember McClung moved and Councilmember Wicklund seconded a
motion to adopt Ordinance 2016-12 Amending Chapter 13 of the Arden Hills
City Code, Zoning Code. The motion carried 4-1 (Holden opposed).
MOTION: Councilmember McClung moved and Councilmember Wicklund seconded a
motion to Authorize Publication of Summary Ordinances for Ordinance
2016-011 and 2016-12 Amending Chapter 13 of the Arden Hills City Code,
Zoning Code. The motion carried (5-0).
9. UNFINISHED BUSINESS
None.
ARDEN HILLS REGULAR CITY COUNCIL—DECEMBER 12, 2016 19
10. COUNCIL COMMENTS
Councilmember McClung thanked Public Works staff for their great work on the watermain
break.
Councilmember Holmes was pleased the TRC was passed this evening. She thanked staff and
the developer for their assistance on this document.
Councilmember Holden reported the Chair of the Met Council would be speaking to the North
th
Chamber of Commerce Business Council on Wednesday, December 14. at 7:30 a.m.
Mayor Grant thanked everyone who worked on the TRC, in particular Eric Zweber and Andy
Brotzler. In addition, he appreciated the efforts of the developer and Ramsey County. He looked
forward to this project moving forward.
Mayor Grant noted committee assignments would be made in January of 2017.
ADJOURN
MOTION: Mayor Grant moved and Councilmember Holden seconded a motion to
adjourn. The motion carried unanimously (5-0).
Mayor Grant adjourned the Regular City Council Meeting at 10:14 p.m.
ie Hanson David Grant
y Clerk Mayor