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Home My WebLink About02-03-2025 Special JDA Work Session Packet Joint Development Authority TCAAP Redevelopment Project Joint Development Authority TCAAP Redevelopment Project SPECIAL JDA WORK SESSION AGENDA Monday, February 3, 2025, 5:30 p.m. at Arden Hills City Hall 1. Roll Call 2. Public Input 3. New Business a. Review Communications Update b. Review JDA Annual Report c. Discuss Sustainability and Clean Energy d. Review Developer Agreements e. Review Road Map 4. Administrative Director’s Report 5. Development Director’s Report 6. Commissioner Updates 7. Adjournment Joint Development Authority TCAAP Redevelopment Project Joint Development Authority TCAAP Redevelopment Project AGENDA ITEM 2 MEMORANDUM DATE: February 3, 2025 TO: Joint Development Authority Board of Commissioners FROM: Directors Collins and Jagoe SUBJECT: Public Input The public is invited to provide input. Comments will be limited to three minutes per person. Joint Development Authority TCAAP Redevelopment Project Joint Development Authority TCAAP Redevelopment Project AGENDA ITEM 3a MEMORANDUM DATE: February 3, 2025 TO: Joint Development Authority Board of Commissioners FROM: Director Jagoe and Ella Mitchell, Ramsey County SUBJECT: Review Communications Update Goff Public is working with Ramsey County to develop content for a winter 2025 newsletter to be sent via email to the Rice Creek Commons subscriber list in February. The newsletter will share updates on Joint Development Authority board membership and organization, development updates and sustainability guidelines. Goff Public continues to discuss communications opportunities with county staff for future development updates. There have been no media inquiries since the December update. Rice Creek Commons development updates were featured in Ramsey County Board Chair Rafael Ortega’s January column in the Community Reporter. There have been two inquiries through the Rice Creek Commons microsite contact portal that staff responded to. Joint Development Authority TCAAP Redevelopment Project Joint Development Authority TCAAP Redevelopment Project AGENDA ITEM 3b MEMORANDUM DATE: February 3, 2025 TO: Joint Development Authority Board of Commissioners FROM: Director Jagoe and Ella Mitchell, Ramsey County SUBJECT: Review JDA Annual Report Per the Joint Power Agreement (JPA), the JDA must prepare an annual report at the end of each calendar year and submit to the City and County no later than February 15 of the following year. The JDA Annual Report for 2024 is presented for discussion. Attachment: JDA Annual Report 2024 1 JDA Annual Report 2024 About the Joint Development Authority In 2012, a Joint Powers Agreement (JPA) between the City of Arden Hills and Ramsey County created the Joint Development Authority (JDA). The JDA oversees the development of the site now known as Rice Creek Commons, a 427-acre piece of land formerly part of the Twin Cities Army Ammunition Plant (TCAAP). The Rice Creek Commons site is located in the City of Arden Hills and currently owned by Ramsey County. JDA Membership The JDA Board consists of two members from the Arden Hills City Council, two members from the Ramsey County Board of Commissioners, and one appointed resident from Arden Hills serving as the JDA Chair for a two-year appointment. In 2024, the JDA Board membership was: • Jon Wicklund, Arden Hills Resident, JDA Chair • Nicole Frethem, Ramsey County Commissioner, JDA Vice Chair • Tom Fabel, Arden Hills City Councilmember • Tena Monson, Arden Hills City Councilmember • Victoria Reinhardt, Ramsey County Commissioner JDA Business Meetings and Work Sessions The JDA met approximately monthly in meetings and work sessions to conduct JDA business, listen to public input on the project, and take actions to support the development of Rice Creek Commons. The JDA continued its committee work with a JDA Advisory Committee, consisting of Commissioners Fabel and Frethem and an Energy Advisory Committee, consisting of Commissioners Monson and Reinhardt. The JDA Advisory Committee met as needed to discuss project updates, provide guidance to staff, and recommend topics to bring to JDA meetings and work sessions. The Energy Advisory Committee (EAC) worked with consultants and external partners to advance the Green Energy Vision for the site and make recommendations on sustainability measures to the JDA. Communications The JDA worked with Goff Public to communicate about Rice Creek Commons. This included preparing for proactive and reactive opportunities, such as: • Outlot A purchase and sale agreement with Ryan Companies (11 media stories) • Public infrastructure development and design request for proposals (1 media story) Additionally, the JDA sent shared projects updates through the Rice Creek Commons e-newsletter in the summer and fall, and staff fielded inquiries from the public submitted through the website. 2 Land Use Updates The TCAAP Redevelopment Code (TRC) and Regulating Plan are the zoning documents that dictate the land use for the Rice Creek Commons site. In 2024, the JDA approved three amendments to these documents, following the approval process laid out in the TRC. Following extensive community engagement and analysis of real estate market trends, the JDA approved an amendment to the TRC to increase the allowable density from 1,460 to 1,960 housing units, as reflected in the TCAAP Regulating Plan. This change was largely accommodated by converting the southwest portion of the site from a flex office use to a residential use. As part of this amendment, an affordable housing requirement was approved, establishing that at least 20% of the units must be affordable at 60% of the Area Median Income (AMI) or below. The process for approving this amendment started in 2023 and completed in April 2024. Per the required process, this was approved by the Arden Hills City Council on January 8, 2024 and the Ramsey County Board on March 12, 2024, and the corresponding Comprehensive Plan amendment was approved by the Metropolitan Council on March 27, 2024. The second amendment allowed ground-mounted solar energy systems within neighborhood residential districts, in alignment with a change made to the Arden Hills Code. Per the required process, this was approved by the Arden Hills City Council on February 12, 2024, and the Ramsey County Board on March 12, 2024. The third amendment was a simple administrative update, correcting an oversight in the TRC. In 2016 amendment, the JDA development review process was updated, but a corresponding attachment visualizing this process was not updated to be consistent with that change. This 2024 amendment corrected Attachment 3 – Development Flow Chart to match the process described in Section 3.3. Per the required process, this was approved by the Arden Hills City Council on March 6, 2024, and the Ramsey County Board on May 21, 2024. Development Progress In 2024, the JDA and its constituent parties, the City of Arden Hills and Ramsey County, made significant steps toward beginning development on Rice Creek Commons. Alternative Urban Areawide Review The City of Arden Hills updated the Alternative Urban Areawide Review (AUAR) for the site, which is a hybrid of the environmental assessment worksheet and environmental impact statement review processes. This planning tool evaluates how different development scenarios might impact the community's environment before construction begins and outlines how to mitigate these impacts. This document is required to be updated every five years, so the 2024 update was the first since 2019. 3 California Parcel The JDA continued to work with Alatus LLC to move development plans forward on the California Parcel, the name commonly used to refer to the larger, 387-acre portion of the development site. JDA staff worked with Alatus throughout the year toward solutions for horizontal development in order to prepare the site for vertical development. Outlot A Outlot A (sometimes called the Thumb Parcel) is the 40-acre portion of Rice Creek Commons along Old Highway 8 that is development-ready with infrastructure in place. In 2023, the JDA undertook a Request for Development Interest (RDI) process find a development partner for Outlot A and selected Ryan Companies. Following the JDA’s selection process, Ramsey County negotiated a Purchase and Sale Agreement (PSA) for Outlot A with Ryan Companies in January 2024. Ryan Companies thus commenced its due diligence period and began working directly with City and County staff on pre-development activities such as the entitlement process and document review. In alignment with the site zoning and their concept proposal, Ryan Companies marketed the site to light industrial and office users throughout the year. Development on the site is expected to begin in 2025. Public Infrastructure To prepare for private development, Ramsey County executed an engineering contract with consultant team Kimley-Horn and Bolton & Menk for county public infrastructure on the site. This work includes grading, roadways, drainage, stormwater management features, mitigated wetlands and public utilities. The proposal will also include the final design of the Spine Road (CSAH 4), which will provide primary access to future residential neighborhoods and commercial areas throughout the site, as well as a direct connection to Interstate 35W. Final design and engineering of the Spine Road began in summer 2024 and is on track for completion at the end of 2025. This will result in final construction documents for the county public infrastructure and is a critical step toward preparing the California Parcel for vertical construction. Ramsey County sought $25 million in state bonding assistance in 2024 to support these public infrastructure needs. State legislators did not pass a bonding bill by the end of the 2024 session, so this funding was not secured. 4 Clean Energy and Sustainability Through a Request for Proposals (RFP) process in late 2023, the JDA selected consultants with Ever-Green Energy and LHB to analyze implementation strategies for the JDA’s Green Energy Vision. The consultant team worked over the course of the year to understand the feasibility of developing a sustainable, carbon-free community. Their work consisted of a comprehensive analysis of the energy demands of the planned development, a review of strategies to reduce that energy demand (primarily through energy-efficient building design), and a study of renewable energy technologies that could meet the remaining energy demand. As a part of this process, consultants and staff met with project developers to discuss these strategies and financing solutions to support them. After a review of sustainability certification systems, in August the JDA approved the Energy Advisory Committee’s recommendation to pursue LEED for Communities certification for the project. This globally recognized standard establishes benchmarks for energy efficiency and sustainability. Achieving this certification will guide the project in meeting its ambitious energy and environmental goals while ensuring accountability through independent third-party verification. Ever-Green Energy and LHB presented an energy analysis at the October 2024 JDA work session and a final report, the Clean Energy Analysis Report, was accepted by the JDA at the November 2024 meeting. The report outlines potential options for clean energy solutions to power the site, including geothermal, solar, and community district energy systems. One key finding is that it is technically feasible for the development to be all-electric (installing no natural gas connections), which would enable it to be a carbon-free community. It also identifies strategies for minimizing building energy use, incorporating additional sustainability measures, and financing options. Based on these findings, the JDA approved a Clean Energy Policy: Rice Creek Commons seeks to be an all- electric, carbon-free community. The JDA also directed staff to identify steps to implement this policy and provide updates back to the JDA. More Information For more information on the work of the JDA and the development of Rice Creek Commons, please visit: • Joint Development Authority webpage • Rice Creek Commons project webpage Joint Development Authority TCAAP Redevelopment Project Joint Development Authority TCAAP Redevelopment Project AGENDA ITEM 3c MEMORANDUM DATE: February 3, 2025 TO: Joint Development Authority Board of Commissioners FROM: Director Jagoe and Ella Mitchell, Ramsey County SUBJECT: Discuss Sustainability and Clean Energy Budget To accommodate the implementation of the Sustainability Design Guidelines and community engagement around sustainability and clean energy, staff have worked with LHB to develop a new scope of work. The JDA will be asked to consider a budget amendment at the next meeting. Sustainability Design Guidelines As a follow-up from the approval of the Sustainability Design Guidelines at the January JDA meeting, staff would like further direction on the waiver process from the JDA. Planned topics of discussion: • Acceptable and unacceptable justifications for waivers • Threshold for staff approval of waivers • Waiver request rubric concept A draft of the Sustainability Design Guidelines Documentation Package is attached. This further describes the compliance process and includes worksheets for developers to provide technical details on their proposed project and a waiver request form. Community Engagement Sustainability and clean energy are planned to be a key topic at the spring JDA community event. Staff is requesting feedback on what JDA members would like to see at this event on this topic. Attachment: Sustainability Design Guidelines Documentation Package - Draft Rice Creek Commons Sustainability Design Guidelines Documentation Package Rev. 1/31/25 Page | 2 Table of Contents Documentation of Sustainability Design Guidelines...................................................................................................... 3 Sustainability Guidelines Compliance Process............................................................................................................... 5 Project Details ................................................................................................................................................................ 7 Compliance Steps .......................................................................................................................................................... 8 Energy Efficient Design/Operations and Electrification Worksheet .............................................................................. 9 Renewable Energy Worksheet .................................................................................................................................... 10 Embodied Carbon Worksheet ..................................................................................................................................... 11 Electric Vehicle Infrastructure Worksheet ................................................................................................................... 12 Waiver Request Form .................................................................................................................................................. 13 Appendix: Rice Creek Commons Sustainability Design Guidelines .............................................................................. 14 Page | 3 Documentation of Sustainability Design Guidelines The Rice Creek Commons Sustainability Design Guidelines are in support of the TCAAP Joint Development Authority’s mission to advance sustainable development, reduce energy use and carbon dioxide emissions, and thereby mitigate the impacts of climate change from the Rice Creek Commons development. Refer to section 2 of the Guidelines for full details. The purpose of this documentation package is to enable a streamlined submittal and review of the requirements as listed in section 3.3: 3.3. Documentation. Developers will work with consultants and staff to submit documentation of SDG compliance. 3.3.1. Sustainability Certification 3.3.1.1. Proof of registration with LEED (or other accepted certification). 3.3.1.2. Checklist of the planned certification credits to be achieved. 3.3.1.3. Within one year of building occupancy, provide documentation reporting the certification level and credits achieved. 3.3.2. Energy Efficiency 3.3.2.1. All buildings and tenant improvements: energy model report showing achievement of 50% better efficiency than the applicable Minnesota Energy Code, certification from the DOE’s Zero Energy Ready Home (ZERH) program, or Phius CORE certification as a Passive House. 3.3.3. Electrification 3.3.3.1. Mechanical plans documenting that buildings are all-electric. 3.3.3.2. If granted a waiver to use gas service, documentation showing offset of an equivalent amount of carbon emissions from offsite sources. 3.3.4. Renewable Energy 3.3.4.1. PV system specifications showing that panels meet requirements of Section 2.2.3. 3.3.4.2. PV system sizing documentation indicating that system will generate enough electricity to meet requirements of Section 2.2.3. 3.3.5. District Energy 3.3.5.1. Mechanical plans documenting that buildings will be connected to a District Energy System for heating and cooling, if provided by Declarant, its affiliates, or other unrelated third parties. Page | 4 3.3.6. Embodied Carbon 3.3.6.1. All buildings (except tenant improvements and detached single family residential) shall provide documentation for LEED MR Credit: Reduce Embodied Carbon indicating achievement of at least 2 points. 3.3.7. Electric Vehicle Infrastructure 3.3.7.1. For each parking area, provide a site plan indicating the total number of parking spaces and number achieving the EV infrastructure requirements of Section 2.5. 3.3.8. Reporting 3.3.8.1. Upon building occupancy, set up Energy Star Portfolio Manager to enable sharing with the Declarant. 3.3.8.2. Annually, report monthly whole-building energy consumption, on-site energy generation, electrical demand, and water use to Energy Star Portfolio Manager. Page | 5 Sustainability Guidelines Compliance Process Sustainability Design Guidelines Kickoff Development teams shall participate in an introductory meeting with the JDA’s Sustainability Consultant (LHB) to review guideline requirements. At a minimum, project team attendees shall include the developer, sustainability compliance lead, architect, & general contractor (if known). Energy Design Assistance (EDA) Program Participation Development teams shall apply to the free Xcel Energy Design Assistance program by filling out and submitting the Energy Design Assistance Application. JDA Approval Process Following the kickoff meeting and additional meetings as necessary, the Sustainability Consultant will provide a summary memo of SDG compliance measures to the JDA’s staff. Upon agreement of the Developer and staff regarding compliance with the guidelines, or upon agreement with the JDA regarding the terms of a waiver, Staff incorporates SDG compliance measures into Development Agreement between JDA and Developer. Submittals Development teams shall submit all materials described in the Compliance Checklist to the Sustainability Consultant upon completion of each of the phases below: • Design Development • Final Design/Construction Documents • Construction Close-out • Post-occupancy (within 12 months of occupancy) Page | 6 Waivers The requirements of these guidelines may be modified by the JDA only for reasons of hardship. Hardship includes the inability to physically achieve the standard due to circumstances unique to the property. Economic reasons alone do not constitute a hardship. Alternative strategies that show demonstrable and quantifiable progress towards the Green Energy Vision may be considered as alternative compliance. Types of Acceptable Waivers • Full Waiver – Programmatic: conflict with the intended use of the project • Full Waiver – Technological: limitation of available technologies or methodologies • Provisional Exemptions: Pass-through to the next phase for guidelines without enough information to determine compliance Examples of Not Acceptable Waivers • Budgetary or project schedule constraints e.g., cost of chargers • Requirements missed by the project team that cannot be addressed at later phases e.g., waste management • Not included in standard design and construction processes e.g., embodied carbon • Small or irregular sites are not an automatic reason for a waiver Developers will go through the following process to request waivers to the guidelines: • Developer completes waiver request form, including justification for requested waivers. • Sustainability consultant reviews waiver request form and determines whether sufficient documentation and justification of alternative approach was provided and prepares memo for staff. This memo includes discussion of the impacts of requested waivers on JDA sustainability goals, such as greenhouse gas emissions and LEED for Communities certification, and the reasonableness of the waiver request. • Staff reviews waiver request memo and requests more information, approves/disapproves the request, or presents the waiver request to JDA. • JDA reviews waiver request memo and approves, disapproves, or otherwise provides direction to the Developer on waivers and/or alternative acceptable SDG compliance measures. Developer may present to JDA on sustainability plans and waiver request. • Sustainability consultant incorporates acceptable SDG compliance measures into summary memo, for staff to incorporate into Development Agreement. Page | 7 Project Details Submit this completed form in advance of the kickoff meeting. Project name Project owner Design firm Sustainability point person General Contractor Project Building Area (GSF) Start data of schematic design Anticipated occupancy date Building Use Type Page | 8 Compliance Steps Guidelines Reference Design Development Final Design/CDs Close-out Re-submit relevant documentation if changes are made during construction Post-Occupancy Sustainability Certification Section: 3.3.1 Register project with LEED (or similar) and submit proof of registration Submit a checklist of the planned credits to be achieved in LEED (or similar) Submit documentation reporting the LEED (or similar) certification level and credits achieved Building Decarbonization Sections: 3.3.2, 3.3.3, 3.3.5 Submit completed Energy Efficient Design/Operations and Electrification Worksheet Submit updated Energy Efficient Design/Operations and Electrification Worksheet Set up Energy Star Portfolio Manager to enable sharing of ongoing whole- building energy consumption, on- site energy generation, electrical demand, and water use with the JDA Renewable Energy Sections: 3.3.4 Submit completed Renewable Energy Worksheet Submit updated Renewable Energy Worksheet Submit updated Renewable Energy Worksheet Embodied Carbon Section: 3.3.6 Submit completed Embodied Carbon Worksheet Submit updated Embodied Carbon Worksheet EV Infrastructure Section: 3.3.7 Submit completed Electric Vehicle Infrastructure Worksheet Submit updated Electric Vehicle Infrastructure Worksheet Page | 9 Energy Efficient Design/Operations and Electrification Worksheet At design development review, submit this worksheet, energy model report, and mechanical plans documenting all-electric systems and district energy connection. Re-submit if changes are made. Per Guideline 2.2.1, all buildings and tenant improvements shall provide an energy model report showing achievement of 50% better energy efficiency than the applicable Minnesota Energy Code. ☐ Design Development Submittal ☐ Final Design Submittal ☐ Close-out Submittal Industrial/Commercial/Multifamily Buildings What is the building area (GSF)? What code baseline is being used? (e.g., ASHRAE 90.1-2022) Metric Code Baseline Proposed Design Energy Use Intensity (kBtu/sf-year) Percent better efficiency of proposed design compared to code baseline EUI Electric energy use (kWh) Other fuel use (MMBtu) 1 Please specify: [Optional] Unregulated process loads (kBtu/sf-year) 2 1 Use of fossil fuels may only be incorporated with written consent through the waiver process. If granted, submit documentation showing offset of an equivalent amount of carbon emissions from offsite sources. 2 In addition to providing their total energy use, projects that would like to be evaluated based only on the energy loads that are regulated in ASHRAE 90.1 may provide a separate estimate of their unregulated process loads. Page | 10 Renewable Energy Worksheet At design development review, submit this worksheet, a roof plan showing PV system coverage (for multifamily buildings), PV system specifications showing efficiency rating, and PV system sizing documentation confirming guideline compliance. Re-submit if changes are made. Per Guideline 2.2.3, all buildings shall include PV systems to generate on-site renewable energy. Refer to the Guideline for detailed requirements. ☐ Design Development Submittal ☐ Final Design Submittal ☐ Close-out Submittal Industrial/Commercial Buildings PV system size (kW) Predicted annual electricity generation (kWh) Percentage of annual energy use generated by the PV system (120% required) PV panel efficiency (%) Owner of the renewable energy credits generated from the PV system ☐ Design Development Submittal ☐ Final Design Submittal ☐ Close-out Submittal Multifamily Buildings Building roof area (gsf) Rooftop PV system size (kW) Predicted annual electricity generation of the rooftop PV system (kWh) Parking area PV system size (kW) Predicted annual electricity generation of the parking area PV system (kWh) If parking area is over 20 spaces, % covered by PV system (≥30% required) PV panel efficiency (%) Owner of the renewable energy credits generated from the PV system Page | 11 Embodied Carbon Worksheet At design development review, submit this worksheet and documentation of LEED points. Re-submit if changes are made. This worksheet is not required for single family homes or tenant improvements. Per Guideline 2.4, projects shall conduct a whole building life-cycle assessment and achieve at least a 10% reduction in global warming potential using the calculation methods established in LEED BD+C: New Construction. This section does not apply to single family homes or tenant improvements within commercial buildings. Impact category Baseline Building* Proposed Building % Change Global Warming Potential (kg CO2e) Depletion of stratospheric ozone layer (kg CFC-11e) Acidification of land and water sources (moles H+ or kg SO2e) Eutrophication (kg nitrogen eq or kg phosphate eq) Formation of tropospheric ozone (kg NOx, kg O3 eq, or kg ethene) Depletion of nonrenewable resources (MJ using CML/depletion of fossil fuels in TRACI) Number of LEED points pursuing *Baseline building shall be of comparable size, function, orientation, and operating performance to the proposed building. Page | 12 Electric Vehicle Infrastructure Worksheet At design development review, submit this worksheet and a site plan indicating EV-supported parking spaces. Re-submit if changes are made. Per Guideline 2.5, all parking areas shall include infrastructure to support electric vehicles. Refer to the Guideline for detailed requirements. ☐ Design Development Submittal ☐ Final Design Submittal Total number of parking spaces Percentage of EV-installed parking spaces Percentage of EV-ready parking spaces Percentage of EV-capable parking spaces ☐ Construction Close-Out Submittal Was electric vehicle supply equipment installed? Y/N Terminology guidance: Electric Vehicle Supply Equipment (EVSE): The conductors, including the ungrounded, grounded and equipment grounding conductors, and the EV connectors, attachment plugs, and all other fittings, devices, power outlets, or apparatuses installed specifically for the purpose of transferring energy between the premises wiring and the EV. EV-installed: A designated parking space that has all the infrastructure and a charging station to charge an electric vehicle on the day the building permit is approved. The EVSE shall be Level 2 or greater. EV-ready: A designated parking space which is provided with a minimum 40-amp, 208/240-volt, dedicated branch circuit for future dedicated Level 2 EVSE servicing EVs. The circuit shall terminate in a suitable point such as a receptacle, junction box, or an EVSE, and be near the proposed location of the EV parking spaces. The circuit shall have no other outlets. The service panel shall include an over-current protective device and provide sufficient capacity and space to accommodate the circuit and over-current protective device and be near the proposed location of the EV parking spaces. For two adjacent EV-capable spaces, a single branch circuit is permitted. EV-capable: A dedicated parking space which is provided with electrical panel capacity and space to support a minimum 40-amp, 208/240-volt branch circuit for each EV parking space, and the installation of raceways, both underground and surface mounted, to support the EVSE. For two adjacent EV-capable spaces, a single branch circuit is permitted. Page | 13 Waiver Request Form The requirements of the guidelines may be modified by the JDA only for reasons of hardship. Hardship includes the inability to physically achieve the standard due to circumstances unique to the property. Economic reasons alone do not constitute a hardship. Approved modifications must show demonstrable and quantifiable progress towards the Green Energy Vision. Acceptable • Full Waiver – Programmatic: conflict with the intended use of the project • Full Waiver – Technological: limitation of available technologies or methodologies • Provisional Exemptions: Pass-through to the next phase for guidelines without enough information to determine compliance Waiver type (Full or Provisional) Guideline number Reason (Programmatic, Technological, or Pass-Through) Describe request for modification and how the project will remain in harmony with the intent of the sustainability guidelines Page | 14 Appendix: Rice Creek Commons Sustainability Design Guidelines Last Revised: January 17, 2025 1. Purpose. The purpose of the Sustainability Design Guidelines (SDG) is to advance the TCAAP Joint Development Authority’s (JDA’s) mission to advance sustainable development, reduce energy use and carbon dioxide emissions, and thereby mitigate the impacts of climate change from the Rice Creek Commons development. These guidelines establish the sustainability standards for development on the site and serve to implement the Green Energy Vision and Clean Energy Policy, which has the goal of an all-electric, carbon-free development. These guidelines also support the JDA’s pursuit of LEED for Communities (Leadership in Energy and Environmental Design v4.1 for Communities: Plan + Design) certification. It is the goal of the JDA that each building and parcel in Rice Creek Commons shall comply with the SDG. The JDA will apply these guidelines within the Rice Creek Commons development through Development Agreements that are subject to JDA approval 2. Guidelines 2.1. Sustainability Certification. Each building and tenant improvement shall achieve LEED BD+C New Construction certification at the silver level or above using the newest version available at the time of registration. The LEED boundary for each improved parcel of land within the Development shall be the same as the boundary of that parcel. Other certification systems will be considered for one- to four-unit residential buildings, including the DOE’s Zero Energy Ready Home (ZERH) program and Phius Passive House standards. 2.2. Building Decarbonization. 2.2.1. Energy Efficiency. All buildings and tenant improvements shall achieve: 50% better energy efficiency than the applicable Minnesota Energy Code, certification from the DOE’s Zero Energy Ready Home (ZERH) program, or Phius CORE certification as a Passive House. 2.2.2. Electrification. Except as otherwise expressly provided herein, all buildings shall be all-electric and shall not use any fossil fuels. Any waivers of this provision will be restricted to systems or devices for which an equivalent all-electric system or design is unavailable, impractical, or is determined to present an equity gap, as reasonably determined by JDA. In the event of a waiver, buildings the JDA allows to use any fossil fuels must offset an equivalent amount of carbon emissions each year. 2.2.3. Renewable Energy. All buildings in the Development must install photovoltaic (PV) systems that either: 2.2.3.1. generate, on an annual basis, enough electricity to meet one hundred twenty percent (120%) of the building's anticipated energy use; or 2.2.3.2. include a rooftop array with a rated capacity of not less than 10.75 watts per gross square foot of roof area and a covered parking array for all parking lots containing twenty or more parking spaces -- including the top level of multi-level parking structures – with a rated capacity of not less than 7.5 watts per gross square foot of parking area. All panels used in PV systems must be rated as Tier 1 panels and, if applicable, qualify under the Inflation Reduction Act for the Investment Tax Credit. Any renewable energy credits generated from PV systems in the Development shall be credited to the Development as a whole. Projects that are not able to generate enough energy, on an annual basis, to meet one hundred percent of their energy use, based on meeting this guideline, must purchase green Page | 15 power for the remainder. 2.3. District Energy. If a District Energy System is available, all buildings shall connect to the District Energy System for heating and cooling. 2.4. Embodied Carbon. Except as otherwise expressly provided herein, all buildings shall conduct a whole building life-cycle assessment and achieve at least a 10% reduction in global warming potential, using the calculation methods established in LEED BD+C: New Construction. This Section does not apply to single family homes or tenant improvements within commercial buildings. 2.5. Electric Vehicle Infrastructure. The Development shall include infrastructure to support electric vehicles (EV) – as defined by the International Building Code – as follows: 2.5.1. For non-residential parcels where four or more vehicle parking spaces are provided, not less than 4% of the total number of parking spaces or not less than 8% of designated employee-only parking spaces shall be EV ready spaces or EV-installed spaces. Not less than 30% of the total number of parking spaces shall be EV capable spaces, EV ready spaces, or EV-installed spaces. 2.5.2. For residential parcels, not less than 20% of the total number of parking spaces shall be EV ready spaces or EV-installed. Not less than 75% of the total number of parking spaces shall be EV capable spaces, EV ready spaces, or EVSE spaces. 2.6. Reporting. On an annual basis, all owners shall report monthly whole-building energy consumption, on- site energy generation, electrical demand, and water use to Energy Star Portfolio Manager and ensure this information is accessible to the JDA. Owners shall provide other building data upon the reasonable request of JDA. 3. Implementation and Compliance. Developers will comply with these guidelines by following the below approval and documentation processes concurrent with all other JDA review processes. 3.1. Approval Process. 3.1.1. Developer reviews Sustainability Design Guidelines and participates in kickoff meeting with sustainability consultant (LHB). Developer also participates in Energy Design Assistance (EDA) Program, a free energy consulting service, to understand energy efficiency options for their development and develop a whole building energy model (single-family homes exempted from EDA program). 3.1.2. Following the kickoff meeting and additional meetings as necessary, sustainability consultant provides summary memo of SDG compliance measures. 3.1.3. Upon agreement of the Developer and staff regarding compliance with the guidelines, or upon agreement with the JDA regarding the terms of a waiver, Staff incorporates SDG compliance measures into Development Agreement between JDA and Developer. 3.2. Waivers. If the Developer determines they cannot adhere to all items in the SDG, Developer must complete the Waiver Request Process. The measures in these guidelines may be modified for individual developments for reasons of hardship. Alternative strategies that show demonstrable and quantifiable progress towards the Green Energy Vision may be considered as alternative compliance. Developers will go through the following process to request waivers to the SDG. Page | 16 3.2.1. Developer completes waiver request form, including justification for requested waivers. 3.2.2. Sustainability consultant reviews waiver request form and prepares memo for staff who will make a recommendation to the JDA. This memo includes discussion of the impacts of requested waivers on JDA sustainability goals, such as greenhouse gas emissions and LEED for Communities certification, and the reasonableness of the waiver request. 3.2.3. JDA reviews waiver request memo and approves, disapproves, or otherwise provides direction to the Developer on waivers and/or alternative acceptable SDG compliance measures. Developer may present to JDA on sustainability plans and waiver request. 3.2.4. Sustainability consultant incorporates acceptable SDG compliance measures into summary memo, for staff to incorporate into Development Agreement. 3.3. Documentation. Developers will work with consultants and staff to submit documentation of SDG compliance. 3.3.1. Sustainability Certification 3.3.1.1. Proof of registration with LEED (or other accepted certification). 3.3.1.2. Checklist of the planned certification credits to be achieved. 3.3.1.3. Within one year of building occupancy, provide documentation reporting the certification level and credits achieved. 3.3.2. Energy Efficiency 3.3.2.1. All buildings and tenant improvements: energy model report showing achievement of 50% better efficiency than the applicable Minnesota Energy Code, certification from the DOE’s Zero Energy Ready Home (ZERH) program, or Phius CORE certification as a Passive House. 3.3.3. Electrification 3.3.3.1. Mechanical plans documenting that buildings are all-electric. 3.3.3.2. If granted a waiver to use gas service, documentation showing offset of an equivalent amount of carbon emissions from offsite sources. 3.3.4. Renewable Energy 3.3.4.1. PV system specifications showing that panels meet requirements of Section 2.2.3. 3.3.4.2. PV system sizing documentation indicating that system will generate enough electricity to meet requirements of Section 2.2.3. 3.3.5. District Energy 3.3.5.1. Mechanical plans documenting that buildings will be connected to a District Energy System for heating and cooling, if provided by Declarant, its affiliates, or other unrelated third parties. Page | 17 3.3.6. Embodied Carbon 3.3.6.1. All buildings (except tenant improvements and detached single family residential) shall provide documentation for LEED MR Credit: Reduce Embodied Carbon indicating achievement of at least 2 points. 3.3.7. Electric Vehicle Infrastructure 3.3.7.1. For each parking area, provide a site plan indicating the total number of parking spaces and number achieving the EV infrastructure requirements of Section 2.5. 3.3.8. Reporting 3.3.8.1. Upon building occupancy, set up Energy Star Portfolio Manager to enable sharing with the Declarant. 3.3.8.2. Annually, report monthly whole-building energy consumption, on-site energy generation, electrical demand, and water use to Energy Star Portfolio Manager. Joint Development Authority TCAAP Redevelopment Project Joint Development Authority TCAAP Redevelopment Project AGENDA ITEM 3d MEMORANDUM DATE: February 3, 2025 TO: Joint Development Authority Board of Commissioners FROM: Director Jagoe and Ella Mitchell, Ramsey County SUBJECT: Review Developer Agreements The JDA requested to review agreements in place with developers for Rice Creek Commons. There are currently two agreements in place. •Outlot A: Purchase and Sale Agreement (PSA) o Parties: Ramsey County and Ryan Companies o Term: January 17, 2024 to March 31, 2025 o Status: amendment for Phase 1 development at Outlot A under negotiation •California Parcel: Preliminary Development Agreement (PDA) o Parties: JDA and Alatus LLC o Term: December 3, 2024 to June 30, 2025 o Status: currently in place In addition, there is a term sheet that the JDA and Alatus agreed to in December 2023. This is a nonbinding document that outlines terms the parties agree should be included in a development agreement. Attachments: 1.Preliminary Development Agreement 2.Term Sheet TCAAP JOIN-T DEVEI.OPMENT AUTIIORIry By Its: (lhair By: Ils: Administrative Director .-),**tl.F,O;L\-- d Rice Creek Commons Terms for Final Development Agreement February 2025 Working Draft 1 Term Sheet Parties: Alatus LLC and the Joint Development Authority (JDA) Current Status To Be Determined A. Assumptions This Term Sheet is intended to set forth the general terms that the developer and the JDA may be willing to enter into in a definitive final Development Agreement to be negotiated. Neither this Term Sheet nor approval thereof shall constitute an offer or agreement and no agreement with respect to the matters set forth herein shall be effective until the date of execution of a definitive final Development Agreement in writing by all parties thereto. The Final Development Agreement shall be consistent with the Joint Powers Agreement. Bonding bill not passed in 2024, no state funding received for site infrastructure. Alternate funding options being explored. B. Infrastructure Financing The parties understand that the infrastructure funding for the project is critical to its advancement and will work collaboratively to ensure the infrastructure financing is achieved in a manner mutually agreeable to the parties. The City’s goal is to have their respective infrastructure financed and paid for by the development and not burden existing residents. Contract with Kimley-Horn for final design of spine road and related infrastructure signed on 6/27/24. Infrastructure financing analysis underway. • Financial commitments of all parties to infrastructure • Who will be responsible for managing infrastructure project(s) C. Public/Private Financing The parties understand from financial analysis that there are funding gaps in the project. The parties will actively pursue Financial analysis underway. • Financial commitments of all parties to other parts of the development Rice Creek Commons Terms for Final Development Agreement February 2025 Working Draft 2 both public and private sources of funding with the goal of identifying a path to filling these gaps by the end of 1Q 2024. The parties understand that beyond infrastructure financing, there may be opportunities to leverage financing tools available to the site, which may include City, County, State, Federal, and/or private funds. The parties will work collaboratively to explore funding opportunities and find mutually agreeable solutions. The County expects to invest money in affordable housing on the site through its funding sources, such as the Housing and Redevelopment Authority levy, CDBG, and HOME. D. Housing Density The parties will work toward developing a maximum of 1,960 housing units on the site, pending final approval of the necessary regulatory changes. Lesser densities may be considered upon mutual agreement. Housing will include a range of types, including but not limited to single-family houses, townhouses, and apartments. TRC updated to reflect these changes. • Number of units of each housing type planned (single-family, townhomes, multifamily, co-ops, etc.) E. Housing Affordability The parties share a goal of providing affordable housing on the site. A minimum of 20% of the total housing unit count (392 units based on the maximum buildout of 1,960 total units) will consist of affordable rental housing units at 60% AMI or below. The developer will pursue opportunities for funding and submit applications to make these rental units more deeply affordable, from sources such as Minnesota Housing (low-income housing tax credits (LIHTC)), CDBG-HOME, County HRA levy funds, Local Affordable Housing Aid (metro area sales tax funding), etc. and with partners such as Habitat for Humanity. Goal affirmed. Terms and funding to be discussed. • Financial commitments for housing affordability – will be part of future discussions at the individual development level • Number of units of affordable rental housing planned and affordability/AMI level • Number of units of affordable for-sale housing planned (i.e. eligible for down payment assistance) • Affordability terms • Rental policies (e.g. projects must accept Section 8 vouchers) Rice Creek Commons Terms for Final Development Agreement February 2025 Working Draft 3 The parties will additionally work toward constructing 10% of the owner-occupied units to accommodate Ramsey County down payment assistance, which is accessible to households who make less than 115% of area median income (AMI) (in 2023, that equates to a for-sale price of less than $372,000). F. Housing Ownership versus Rental The parties share a goal of providing opportunities for homeownership opportunities in the development, and as part of the final development agreement will come to a mutually agreeable ratio of owner-occupied units to rental units. To be discussed. • Number of homeownership and rental units planned • Mechanism for ensuring this balance comes to fruition G. Commercial/Industrial Development and Job Creation The parties understand that new employment at well-paying jobs is an important objective for Rice Creek Commons, for which reason certain areas have been zoned for commercial or industrial usage. Accordingly, the parties agree to pursue appropriate buyers or tenants for such areas as will maximize the opportunities for such employment. Affirmed. • Details about job creation goals • Contracting goals H. Green Energy Goals and Infrastructure The parties share the goal of building an ambitious, sustainable development. The parties endorse the Rice Creek Common Energy Vision, as adopted by the JDA on 10/2/23, and will collaborate in alignment with the guiding principles therein. As part of working toward this vision, the parties will explore the feasibility of an all-electric development and work with the selected energy consultant to create metrics to be included in the final development agreement to achieve these goals. Carbon-free is the stated goal of the JDA. Results of clean energy and sustainability analysis to be incorporated into agreement. • Energy technologies to be used to achieve carbon-free • Metrics • Financing for green energy work • Other sustainability requirements beyond energy Rice Creek Commons Terms for Final Development Agreement February 2025 Working Draft 4 I. Building 116 The JDA will support the developer’s exploration of the feasibility of moving Building 116 off the site, including identifying a way to pay for the relocation. Strategy underway. • Financial resources to pay for potential relocation • Regulatory process and permissions necessary J. Maintenance and Operating Costs/Responsibilities The parties understand that ongoing maintenance and associated costs will need to be addressed in the final development agreement. Furthermore, each party may have its own goals in the short and long term. The parties will work collaboratively to address these in the final development agreement. For example, it is important to the City to ensure the Rice Creek Commons does not put undue financial risk or burden on the entire City and will seek to have short-term and long-term funding gaps addressed. Analysis underway. • Financial responsibilities of all parties for long-term maintenance and operating costs of the development K. Ordinances and Policy Applicability The developer will comply with all applicable federal, state, and local ordinances. To be discussed. • Other construction standards including green building standards, quality of construction, etc. • Applicability of ordinances including Ramsey County Prevailing Wage Ordinance No. 2013-329 L. Conveyance of Property The property will be conveyed to the developer in tranches. The parties will establish performance metrics, and the JDA will assess performance on these metrics prior to the conveyance of the next tranche. Analysis underway. • What exactly each tranche comprises • Order in which tranches will be conveyed M. Timeline The parties will work together in earnest to negotiate and sign a Final Development Agreement by the August JDA meeting, scheduled for 8/5/2024. Timeline delayed due to financial constraints. • PDA extends through June 2025 so this timeline is not set in stone but is a goal. Joint Development Authority TCAAP Redevelopment Project Joint Development Authority TCAAP Redevelopment Project AGENDA ITEM 3e MEMORANDUM DATE: February 3, 2025 TO: Joint Development Authority Board of Commissioners FROM: Ella Mitchell, Ramsey County SUBJECT: Review Road Map The Road Map has been updated to reflect JDA feedback. Attachment: 2025 JDA Road Map Month Date Meeting/Action or Deadline Topics or Notes JDA Commissioner Onboarding City/County onboarding of respective new commissioners 21 JDA Meeting Organizational Items, Sustainability Design Guidelines, Outlot A Concept Review 3 JDA Work Session 2024 JDA Annual Report, Legislative and Communications Update 15 Mar 17 JDA Meeting Outlot A, Budget Review, Committee Assignments 7 JDA Work Session Potential Community Engagement New Commissioner Intros, Infrastructure, Sustainability 1 5 JDA Meeting 2 JDA Work Session 30 Jul 7 JDA Meeting Aug 4 JDA Work Session 1 Deadline: Coordinate JDA Budget with City and County budget processes 9 JDA Meeting Oct 6 JDA Work Session 3 JDA Meeting 15 Deadline: Report back on City/County approval of JDA budget Dec 1 JDA Meeting Adopt 2026 JDA budget Jan Rice Creek Commons 2025 Roadmap Feb Deadline: JDA Annual Report due to City and County Deadline: Draft 2026 JDA Budget Sept Apr Nov May Jun Expiration: Preliminary Development Agreement with Alatus Joint Development Authority TCAAP Redevelopment Project Joint Development Authority TCAAP Redevelopment Project AGENDA ITEM 4 MEMORANDUM DATE: TO: FROM: SUBJECT: February 3, 2025 Joint Development Authority Board of Commissioners Ella Mitchell, Ramsey County Administrative Director’s Report A verbal update will be provided by staff. Joint Development Authority TCAAP Redevelopment Project Joint Development Authority TCAAP Redevelopment Project AGENDA ITEM 5 MEMORANDUM DATE: TO: FROM: SUBJECT: February 3, 2025 Joint Development Authority Board of Commissioners Director Jagoe Development Director’s Report A verbal update will be provided by Director Jagoe.