HomeMy WebLinkAboutCC 08-08-2005 (2)
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Approved: August 29, 2005
CITY OF ARDEN HILLS, MINNESOTA
REGULAR CITY COUNCIL MEETING
AUGUST 8, 2005, 5:00 P.M.
CITY HALL COUNCIL CHAMBERS, 1245 WEST HIGHWAY 96
PLEDGE OF ALLEGIANCE
REGULAR CITY COUNCIL MEETING CALLED TO ORDER/ROLL CALL
Pursuant to due call and notice thereof, Mayor Beverly Aplikowski called to order the
regular City Council meeting at 7:10 p.m.
Present:
Mayor Beverly Aplikowski, Councilmembers David Grant, Gregg Larson,
and Brenda Holden.
Absent:
Councilmember Lois Rem.
Also present were City Administrator, Michelle Wolfe; City Attorney, John Miller;
Director of Operations & Maintenance, Thomas Moore; Finance Director/Treasurer,
Murtuza Siddiqui; Community Development Director, Scott Clark; City Engineer, Greg
Brown; Assistant to City Manager, Schawn Johnson; City Planner, Pete Hellegers; and
Recording Secretary, Kathleen Altman.
1.
APPROVAL OF MEETING AGENDA
MOTION: Councilmember Grant moved and Councilmember Holden seconded a
motion to approve the meeting agenda as presented. The motion carried
unanimously (4-0).
2. APPROVAL OF MINUTES
A. July 26,2005 Special City Council Meeting Minutes
B. July 18, 2005 City Council Meeting Minutes
C. July 18, 2005 City Council Work Session Minutes
D. July 11, 2005 City Council Minutes
MOTION: Councilmember Larson moved and Councilmember Grant seconded a
motion to approve the July 26, 2005 Special City Council Meeting Minutes
as presented, the July 18, 2005 City Council Meeting Minutes as presented,
the July 18, 2005 City Council Work Session Minutes as presented, and the
July 11, 2005 City Council Minutes as presented. The motion carried
unanimously (4-0).
I \Metro- ine!. uslardenhills IAdminICounci1\MinuteslRegular\2005108-08-05 Approved.doc
ARDEN HILLS REGULAR CITY COUNCIL MEETING MINUTES
AUGUST 8, 2005
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3. CONSENT CALENDAR
a.
b.
c.
d.
e.
f.
g.
h.
1.
J.
k.
. I.
Claims and Payroll
Lift Station #4 and #9 Reconstruction - Partial Payment #1 to Gridor Construction,
Inc.
Payment #6 to Arnt Construction for the Edgewater Neighborhood PMP Project
Final Payment to MCI Builders, Inc. for construction of the Perry Park Pavilion
Resolution #05-51: Minnesota Department of Transportation Administrative
Variance for tbe 2005 Red Fox-Grey Fox PMP Project
Authorize City Staff to Prepare Plans and Specifications for tbe 2006 Lift Station
Reconstruction Project in the amount of $26,600
Resolution #05-48: Approve the Appointments of Nancy Kneeland and Rob
Davidson to the Economic Development Commission
Resolution #05-49: Designating the National Incident Management System as the
Basis for All Incident Management in the City of Arden Hills
Resolution #05-50: Promoting the Use of Intrastate Mutual-Aid Agreements in the
City of Arden Hills
Final Payment to Amt Construction for the Ingerson - 2003 PMP Project
City Council Acceptance of the 2006 PMP Ridgewood Neighborhood Feasibility
Study and Public Hearing Schedule Date
Approval of the bid submitted by Valuation Group, Inc. for $17,000 to perform a
property appraisal ofthe TCAAP property.
MOTION: Councilmember Grant moved and Councilmember Larson seconded a
motion to approve the Consent Calendar and to authorize execution of all
necessary documents contained therein. The motion carried unanimously
(4-0).
4. PUBLIC INQUIRIES/INFORMATIONAL
Gale Van Buskirk, 1390 Arden View Drive, summarized what she believed it meant to live in
America and requested that Council listen to the citizens.
5. PUBLIC HEARINGS
None.
6. NEW BUSINESS
A. Awardinl!: the 2005 PMP Red Fox/Grev Fox Proiect Bids
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Mr. Brown stated bids were received and opened for this project on June 29, 2005. Bids were
received from six contractors with Amt Construction Company submitting the low bid with a total
ARDEN HILLS REGULAR CITY COUNCIL MEETING MINUTES
AUGUST 8, 2005
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bid amount of $1,375,247.66. The low bid was approximately $35,000 greater than the
Engineer's estimate.
He recommended the award of the 2005 Pavement Management Program to Amt Construction
Company, Inc. for the total amount of$I,375,247.66.
Councilmember Holden asked what was happening with the Xcd Energy parking issues in this
area. Mr. Brown replied Xcel Energy had begun some of the work that was being done in
conjunction with Qwest. The main parking issue was with East Side Beverage and they had
prepared a draft scheme to get parking on their site. He stated East Side Beverage needed to
finalize their parking and they were looking at possibly using some of Smith's parking across the
street. With respect to Intemational Paper, the project as is, included the removal of the frontage
road on the west side ofInternational Paper and they want to shorten Fox Road, which would take
some property of Intemational Paper and they were working with them on a purchase of this land.
He noted this purchase would be of benefit to the City, but it was possible to also do the project as
is, and if they could not reach a mutual agreement, they would proceed with the project as
proposed.
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Councilmember Grant asked if there was a poor bidding environment at the current time
because all of the bids came in over estimate. Mr. Brown replied unfortunately inflation was
catching up and generally when they had a lot of bids and they were in a fairly tight pattem, he felt
it was a good representation of the market at this time and it was an underestimate on his part by
not catching up with the current costs of construction.
MOTION: Councilmember Larson moved and Councilmember Grant seconded a
motion to award the 2005 Pavement Management Program bid to Amt
Construction Company, Inc. in the total amount of $1,375,247.66. The
motion carried unanimously (4-0).
MOTION: Councilmember Grant moved and Councilmember Larson moved to instruct
staff to adjust the CIP budget by an increase of $80,000.00. The motion
carried unanimously (4-0).
B. Extension of Roval Oaks Purchase Al!reement
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Mr. Clark stated on July 18, 2005, the City Council voted three to two to approve the Planned
Unit Development and related documents for the Royal Oaks condominium office park located at
the old City Hall site at the southwestern quadrant of Hamline A venue and Highway 96. Since
the P1auned Unit Development required four votes to affirm, the project was denied. Due to this
action staff is seeking direction from the Council on how to proceed with the disposal of the
property. He indicated there appeared to be three general options: Do nothing for a selected
period of time; renegotiate with Royal Oaks regarding a new purchase agreement; or start a new
sales process which could include a request for proposal, marketing by signage and/or contacting
selected developer/brokers as appropriate.
ARDEN HILLS REGULAR CITY COUNCIL MEETING MINUTES
AUGUST 8, 2005
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Councilmember Holden asked if they renegotiated with Royal Oaks Realty, would the existing
Purchase Agreement be null and void. Mr. Clark responded that was correct.
Mayor Aplikowski asked if they did nothing, wben would it be necessary they look at this again.
Mr. Clark replied they would need to look at this again in the next couple of years before all of
the reports previously prepared were outdated.
Councilmember Grant stated he would not support retail or restaurant businesses on this site.
Mr. Clark responded retail or restaurant businesses would not be allowed.
Mayor Aplikowski noted a number of residents wanted to speak and asked Council if they
wanted to hear the comments.
Councilmember Larson noted Council has heard many hours of resident comments and
indicated he would support only new information being presented.
Councilmember Grant noted the proposed design was previously turned down by Council, so it
was not necessary to address the design. He indicated he would like to receive comments on the
three options being presented to Council tonight.
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Stan Harpstead, 1277 Nursery Hill Lane, thanked Council for honoring the community's core
values. He believed a new purchase agreement was in order and recognized redevelopment was
necessary. He stated timing of this was also sensitive and encouraged Council to tie the
community together with the TCAAP development. He asked Council to have an open bidding
process for this property.
Rebecca Hauch-Schmid, 1313 Karth Lake Circle, requested Council keep in mind that
whatever happens with the property that they stay true to the integrity of the neighborhood. She
noted there were a lot of children in the area and that this was a neighborhood. She asked they
preserve their neighborhoods.
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Gale Van Buskirk, 1390 Arden View Drive, requested Council keep in mind inflation with the
price of the property. She requested a new purchase agreement indicate a specific sized
development. She believed the purchase price was too low and requested they also look at this.
She asked why let a purchaser pay 2004 prices (appraisal in November 2004) for property in
2006? She noted property values increase due to inflation. She noted the current Purchase
Agreement did not address extensions or changes to the agreement and asked how would this be
legally amended. She indicated the current Purchase Agreement was not specific as to the
development size, in that it states "an office/condominium project of approximately 70,000 square
feet." She asked why the size was not specified, at least with an upper limit. She asked if other
developers could submit their proposals for developing the property if Royal Oaks proposal is not
extended. She indicated the purchase price in the Purchase Agreement is extremely low compared
to a current Arden Hills commercial property with offer pending. As understood, Collins
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AUGUST 8, 2005
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Commercial is purchasing 130,680 square feet for $980,000, which is $7.50 per square foot.
Royal Oaks is purchasing 294,466 square feet for $1,385,000, which is $4.70 per square foot. If
Royal Oaks paid $7.50 per square foot, the purchase price would be $2,208,495 (7.50 x 294,466).
The difference between $2,208,495 and $1,385,000 is $823,495.
Mike Giel, 4534 Keithson Drive, asked if Council had agreed that the major problem with
development of the area was traffic. He stated he believed someone on Council had noted the
traffic problem needed to be addressed prior to any development. He asked if there would be any
possibility to address the traffic situation first keeping in mind that there would be a development
at some point. He noted the land was not going anywhere and if current values continued, the
land should go up in value. He recommended Council address the traffic issue prior to a
development being proposed.
Councilmember Larson stated the City was in a unique situation because this was land owned by
the City and the Council was stewards of this land. He indicated he had voted for the
development previously and he believed that was a good development. He believed if the density
was reduced, the value of the property would also be reduced. He stated it would be great if the
developer came back and offered the same amount of money with less density, but he did not
believe that would happen. With respect to access, he still believed there should not be any access
onto Hamline Avenue. He indicated he would support the renegotiation of the Agreement with
Royal Oaks Realty.
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Councilmember Holden stated price was an important issue, but asked why they were only
getting $5.00 per square foot for the property. She believed the land was worth more and believed
Council owed it to the citizens to obtain the best price for the land. She indicated she had
attended seven neighborhood meetings last week and the number one comment she received was
that the residents wanted open/green space and they wanted to keep their neighborhood rustic
looking. She noted they had a stewardship to the community. She stated the citizens did not want
more asphalt. With respect to traffic, she was concerned about "U" turns being made if this
development would have passed. She indicated she would not support a development of 70,000
square feet. She noted she would support a development oflesser density with a Hamline access.
She stated she was in support of renegotiation of the Agreement, but she wanted a totally different
proj ect.
Mayor Aplikowski stated if Council was going to instruct staff to renegotiate with Royal Oaks,
what was the size of development they would support. Councilmember Holden stated she would
support a development size 2/3rds of 70,000 square feet.
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Councilmember Grant stated he was also concerned about the density and traffic, especially the
"U" turns being required. He noted Council also represents the people who traveled through the
City, as well as the residents who lived in the City. He stated he wanted to see a lower density
development with a well designed access onto Hamline Avenue. He cautioned people to not
compare commercial properties to each other because there were sizable differences between
ARDEN HILLS REGULAR CITY COUNCIL MEETING MINUTES
AUGUST 8, 2005
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commercial developments. He stated he was looking for less density, less traffic, and more green
space. He did not believe maximizing the density automatically made them a good steward.
Mayor Aplikowski stated they had a willing developer who showed willingness to wanting to be
in the City. She stated she would rather work with the known developer rather than putting it on
the open market for another year. She recommended they renegotiate with Royal Oaks Realty.
MOTION: Mayor Aplikowski moved and Councilmember Holden seconded a motion
to reopen negotiations with Royal Oaks Realty. The motion carried
unanimously (4-0).
Councilmember Larson asked how they were going to do this with respect to density, access,
and traffic. He asked if they would address this at a Work Session to try and reach a consensus.
Mr. Clark responded staff had a good general idea of what the Council wanted and recommended
staff meet with the developer and bring back a proposal fTOm the developer for review by Council.
Mayor Aplikowski requested staff also follow-up with Ramsey County about a stop light on
Hamline Avenue and curb-cuts off of Highway 96.
Councilmember Holden asked what did renegotiate mean and how long would this take. Mr.
Clark replied he believed Council should be able to have a Development Agreement completed
by October 1,2005.
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C. PC 05-18 Mitchell Minor sub-division
Mr. Hellegers stated at the August 3, 2005 Planning Commission meeting the Commissioners
recommended approval of the minor subdivision and lot consolidations, after making a finding
that the proposed subdivision and consolidation will not have an adverse impact on the
surrounding properties or on the community as a whole, subject to one condition as noted in
staffs August 8, 2005 report.
MOTION: Councilmember Grant moved and Councilmember Holden seconded a
motion to adopt Resolution No. 05-52, approving the requested Minor
Subdivision and Lot Consolidation. The motion carried unanimously (4-0).
7. UNFINISHED BUSINESS
A. TCAAP Update
Mr. Clark updated the Council on recent TCAAP developments.
B. Miscellaneous
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Mayor Aplikowski thanked the Mayor of Long Prairie for attending tonight's meeting and
requested he give an update on his City.
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ARDEN HILLS REGULAR CITY COUNCIL MEETING MINUTES
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Long Prairie Mayor Rasmnssen summarized the industry base they had in Long Prairie. He
invited the Councilmembers to visit Long Prairie.
CITY COUNCIL REPORTS
Ms. Wolfe - No report given.
Councilmember Holden - Stated the Newsletter articles were due on August 17. She stated she
had attended seven neighborhood watch meetings this past week.
CounciImember Grant - Stated after next weeks work session, he was unavailable for an
undetermined amount of time due to work obligations and he would keep staff advised of his
schedule.
Council member Larson - No report given.
Mayor ApIikowski - Stated she had also attended seven published neighborhood watch
meetings, as well as one unpublished meeting. She indicated she was unavailable until next
Monday's meeting. She noted there was a Mayor's meeting on Thursday, August II, to discuss
their participation in the 800 megahertz and invited any Councilmembers who were interested to
attend.
Mayor ApIikowski adjourned the Regular City Council Meeting at 8:45 p.m.
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/ Beverly plik wski Michelle Wolfe
Mayor City Administrator
NOTICE OF MEETINGS
The next Council Meeting will be held Monday, August 29, 2005 at 7:00 p.m. at the Arden Hills
Council Chambers.