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HomeMy WebLinkAbout04-28-25-R It -ARPEN HILLS Approved: May 12, 2025 CITY OF ARDEN HILLS, MINNESOTA REGULAR CITY COUNCIL MEETING APRIL 28, 2025 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, Tena Monson, and Kurt Weber Absent: Councilmember Emily Rousseau(excused) Also present: City Administrator Jessica Jagoe and Assistant to the City Administrator/City Clerk Julie Hanson PLEDGE OF ALLEGIANCE 1. APPROVAL OF AGENDA MOTION: Councilmember Monson moved and Councilmember Holden seconded a motion to approve the meeting agenda as presented. The motion carried a±h 2. TCAAP/RICE CREEK COMMONS UPDATE City Administrator Jagoe stated Since the last City Council meeting, the Joint Development Authority has not met. Also, the JDA Advisory Committee meeting scheduled for April 23id was canceled. The Energy Advisory Committee met on April 17'where staff provided onboarding to the new Advisory Committee members with an overview on the Energy Vision and Guiding Principles from 2023 as well as the November 2024 Clean Energy Analysis Report prepared by Ever-Green Energy and LHB, and lastly the JDA's adoption of the Sustainability Design Guidelines. The next JDA meeting will be Monday, May 5d' at 5:30. Advisory committee meetings as they are scheduled, will continue to be posted on the City's website. ARDEN HILLS CITY COUNCIL—APRIL 28, 2025 2 Councilmember Monson reported a ground breaking ceremony will be held on Wednesday, April 30 for Outlot A. Councilmember Holden asked if anyone was looking at Site K from the County. City Administrator Jagoe stated she would check with the County on this and report back to the Council. Councilmember Holden reported she was happy to see Outlot A was being developed, but noted this was the prime site with no pollution and she looked forward development occurring on the remainder of the site. Mayor Grant explained the City Council was instrumental in getting the infrastructure in place for Outlot A back in 2017. He questioned when the spine road would be constructed. City Administrator Jagoe commented the plans would be completed in 2025 with construction occurring in 2026. Mayor Grant questioned if the City would be paying for the truck utilities on the spine road or are they moving forward in a similar vein as Outlot A where the County did the road and utilities. City Administrator Jagoe stated there has been no change in the previous discussions items with regard to the City having the responsibility for the costs for the trunk utilities. She indicated she would be bringing this item to the City Council in May. Mayor Grant noted that he would like to go on record as saying as we don't have a development agreement that it would be very difficult for me to authorize the City to pay for trunk utilities on the project without a development agreement knowing there is going to be development and revenue. Mayor Grant noted he looked at the preliminary development agreement with Alatus, stating this agreement runs through June 30, 2025. He reported there was no criteria for an extension within the agreement. He indicated the substantial completion only applies to some time after October 31 through June 30 at which point either party could say there has not been substantial progress. City Administrator Jagoe concurred there was no language in place within the preliminary development agreement to address an extension. Mayor Grant explained by stating the road would be constructed, he questioned if this meant a development agreement was coming soon. City Administrator Jagoe reported she was not foreshadowing this, but stated the County was moving ahead with their portion of the project, which meant they were moving forward with the design plans for the spine road. Mayor Grant noted the property belongs to the County and they could choose to install a road on their own property. City Administrator Jagoe stated this was correct. ARDEN HILLS CITY COUNCIL—APRIL 28, 2025 3 Mayor Grant reported through the joint powers agreement the City would be responsible for the trunk utilities. City Administrator Jagoe commented this was the case and noted the Council would be discussing this matter at a future worksession meeting. Councilmember Monson asked if the trunk utilities would be funded under the 429 special assessment process. City Administrator Jagoe stated this was the most recent discussion, but noted in the past there was discussion the trunk utilities would be paid for through SAC and WAC charges. Councilmember Monson indicated the City and JDA were well aware of this issue and have made the County aware that this matter has to be addressed. She agreed the City was not interested in funding these utilities without having some form of repayment. She reiterated that this project has a developer named within the preliminary development agreement and the JDA was working with them in order to achieve substantial progress. Mayor Grant explained the JDA has an Advisory Committee that Councilmember Monson sits on. He reported he was intentionally excluded from these meetings but noted he would continue to watch out for the City and would voice his concerns. Councilmember Monson commented she did not intend to offend the Mayor. She stated she would continue to ask questions and noted she looked forward to addressing this matter at a future worksession meeting. Mayor Grant indicated he was not offended, but stated he was doing his job representing the City. He stated he would continue to ask questions given the fact there were some unknowns, and these unknowns were substantial. He reported he asked about the spine road with the knowledge that the County funded the entire surface and utilities for the roadway serving Outlot A. He commented further on how June 30 was rapidly approaching and would be the end of the preliminary development agreement. Councilmember Monson reiterated that the JDA was very aware of the June 30 deadline. Councilmember Holden stated as a City, the utility work that has been done in the past was done for redundancy purposes and the City was to be reimbursed for this work. She indicated this work needs to be paid for by TCAAP as well. Mayor Grant commented two and a half years have gone by and money has been spent, the project has changed, density has changed, affordability has changed, acreage has changed, and certain climate action plans have been instituted. He looked forward to hearing more on this project. He asked if there was a general agreed upon definition of what might trigger an extension. Councilmember Monson stated there has been no discussion as to what this would look like. She reported she did not believe the development agreement had to be completed by June 30, but if there was light at the end of the tunnel she could be open to an extension. She indicated there has been no discussion as to what substantial progress looks like. ARDEN HILLS CITY COUNCIL—APRIL 28, 2025 4 3. PUBLIC INQUIRIES/INFORMATIONAL Gretchen King, 1459 Glen Hill Road, stated she read about the issue of the thrift store and understood a special amendment had been passed to allow thrift in the B-4 district. She believed this was wrong and recommended thrift should be allowed in any normal retail space. She explained she was a thrifter and spoke to how it was her environmental responsibility to reduce, reuse and recycle. She believed the City was sending a bad message by relegating thrifting, by considering it less than other retail spaces. She commented on how she had to go elsewhere to do her thrifting because thrifting was currently not allowed in Arden Hills. 4. RESPONSE TO PUBLIC INQUIRIES None. 5. PUBLIC PRESENTATIONS None. 6. STAFF COMMENTS None. 7. APPROVAL OF MINUTES None. 8. CONSENT CALENDAR A. Motion to Approve Consent Agenda Item - Claims and Payroll B. Motion to Approve 2026 Budget Calendar C. Motion to Approve Payment No. 1 (Final) to M&B Services, Inc. — 2025 CIPP Sewer Repair D. Motion to Approve Resolution 2025-037 awarding the Sale of General Obligation Capital Improvement Plan(CIP) Bonds, Series 2025A E. Motion to Accept Resignation of Building/Code Enforcement Inspector F. Motion to Authorize Recruitment of Building/Code Enforcement Inspector G. Motion to Approve Metropolitan Council Regional Solicitation Safe Routes to School Grant Agreement H. Motion to Approve T-Mobile Lease Agreement Amendment No. 1- South Tower (1230 Red Fox Road) I. Motion to Acknowledge Financial Surety Obligations for Rice Creek Watershed District Permit Number 24-064 for the Lake Johanna Fire Department Headquarters Project MOTION: Councilmember Holden moved and Councilmember Weber seconded a motion to approve the Consent Calendar as presented and to authorize execution of all necessary documents contained therein. The motion carried 4-Il . ARDEN HILLS CITY COUNCIL—APRIL 28, 2025 5 9. PULLED CONSENT ITEMS None. 10. PUBLIC HEARINGS A. Planning Case 25-001 —Variance and Conditional Use Permit for 1126 Benton Way City Administrator Jagoe stated 1126 Benton Way ("Subject Property ) is zoned R-3, Townhouse and Low-density Multiple Dwelling District, and is designated for Low Density Residential Uses in the 2040 Comprehensive Land Use Plan. The Subject Property is the site of a single-family dwelling owned by the Applicant. All adjacent properties to the north, east, and south are also zoned R-3, Townhouse and Low-density Multiple Dwelling District, and designated for Low Density Residential Uses in the 2040 Comprehensive Land Use Plan. The parcel to the west is zoned B-2, General Business District, and designated for Commercial Uses in the 2040 Comprehensive Land Use Plan. City Administrator Jagoe explained in the 1970s, the Subject Property was established as part of the Hunters Park neighborhood and homeowners associations through a Planned Unit Development (PUD). A PUD can permit a greater amount of flexibility for developments from the underlying zoning regulations. The Hunters Park PUD used the flexibility permitted in the PUD process, and the neighborhood was designed with varying lot sizes, structure setbacks, and lot coverages. A number of the lots were permitted to have structures that did not meet the underlying zoning requirements, which is a legitimate use of the PUD process. Because the lot sizes and building locations were approved as part of the PUD process, they are not considered nonconforming even if they do not meet the underlying R- 3 zoning requirements. In 1985, the City Council approved a process evaluating future changes to structures in Hunters Park: • If additions or alterations to the homes do not require setback or coverage variances from the R-3 Zone, only a building permit issued administratively by the City shall be required. This removed the need for a PUD amendment with every change. • If additions or alterations to cluster homes do require additional variances of any kind from the R-3 Zone, the standard variance procedure set by the City shall apply. • If both cases, the Architectural and Environmental Committee of the Hunters Park Homeowners Association shall review and approve the proposed addition or alteration before submitting the same to the City. It shall assist individual homeowners in determining if a variance is required for proposed alterations. City Administrator Jagoe commented according to the planning case files, the Hunters Park homeowner association approved this process along with the City. Since many of the lots and structures are "nonconforming" under the R-3 regulations, a variance is almost always required. There have been at least five variances approved for additions in the Hunters Park neighborhood; however, past variance approvals are not a basis for current variance reviews. In 2009, a previous owner of the Subject Property requested three variances to construct a 585 square foot addition to the dwelling. The proposed addition encroached eight (8) feet into the required 30 foot rear yard setback, encroached four (4) feet into the required 40 foot front yard setback, and increased the structure coverage on the lot from 19.4 percent to 26 percent. The variance was approved by the ARDEN HILLS CITY COUNCIL—APRIL 28, 2025 6 City Council with approval from the Architectural and Environmental Committee of the Hunters Park Homeowners Association. The proposed addition was constructed before the Applicant became the owner of the Subject Property. City Administrator Jagoe reviewed the site data and plan evaluation in further detail with the Council. Staff requested the Council determine if a variance request for flexibility on the structure coverage should be approved. The submitted survey shows the location of the proposed addition. The evaluation of the proposal should be based on the District Provisions in Section 1320 and the Requirements for a Variance in Section 1355.04, Subd. 4. In addition, a Conditional Use Permit is required for Class 11 Accessory Home Occupations. A home occupation is allowed in residential zoning districts as an accessory use, but it becomes a Class 11 Home Occupation when there are patrons visiting the premises. City Code Section 1355.04 Subd. 3 of the Arden Hills Zoning Code lists the criteria for evaluating a Conditional Use Permit. The City Council should consider the effect of the proposed use upon the health, safety, convenience and general welfare of the owners and occupants of the surrounding land and the community, in general, including but not limited to the following factors: 1. Existing and anticipated traffic and parking conditions; 2. Noise, glare, odors, vibration, smoke, dust, air pollution, heat, liquid or solid waste, and other nuisance characteristics; 3. Drainage; 4. Population density; 5. Visual and land use compatibility with uses and structures on surrounding land; 6. Adjoining land values; 7. Park dedications where applicable; 8. Orderly development of the neighborhood and the City within the general purpose and intent of the Zoning Code and the Comprehensive Development Plan for the City. City Administrator Jagoe reviewed the plan evaluation in further detail with the Council and requested the Council hold a public hearing. Councilmember Monson asked if home occupation requirements was being reviewed by the City's consultants. City Administrator Jagoe stated this has not been addressed, but staff could pass along feedback to the consultant to see if there are any review comments as part of their analysis. Councilmember Monson supported the City not having to review CUP's for in-home piano lesson businesses. She explained she would be supporting both the variance and the CUP. Councilmember Holden indicated she supported the City having some regulations in place when it comes to home occupations and suggested the allowed uses be listed within City Code. Councilmember Weber stated he agreed with both points of view and recommended the Council further discuss which uses are allowed and which are not for home occupations at a future worksession meeting. He commented on the number of people who spoke on behalf of the applicant at the Planning Commission meeting and noted he would be supporting the proposed requests. ARDEN HILLS CITY COUNCIL—APRIL 28, 2025 7 Mayor Grant indicated the request before the City Council was quite minimal and noted he would be offering his support as well. Mayor Grant opened the public hearing at 7:43 p.m. Philip Lowe, 1126 Benton Way, reported his neighbors were in support of the request and stated he was available for comments or questions. Mayor Grant closed the public hearing at 7:45 p.m. 11. NEW BUSINESS A. Planning Case 25-001 - 1126 Benton Way • Resolution 2025-038 Approving a Variance • Resolution 2025-039 Approving a Conditional Use Permit City Administrator Jagoe stated Philip Low ("Applicant") has submitted an application for a Variance to construct an addition to the southwest elevation of the existing principal structure at 1126 Benton Way ("Subject Property"). To construct this proposal, the Applicant is seeking a variance to exceed the maximum structure coverage of 25 percent to 27.3 percent. The Applicant is proposing a 4.4 foot by 6.8 foot addition to expand the existing principal structure footprint by 30 square feet. The Applicant has also submitted an application for a Conditional Use Permit to allow a Class II Accessory Home Occupation at 1126 Benton Way. The Applicant is the owner of a piano lessons business. A home occupation is allowed in residential zoning districts, but a Conditional Use Permit is required when there are customers visiting the residence. The Applicant is proposing to meet with customers in person by appointment only which triggered the Class II designation requiring a Conditional Use Permit. City Administrator Jagoe reported the Planning Commission reviewed this application at their April 9, 2025 meeting and have offered the following findings of fact for your consideration: General Findings: 1. City Staff received a land use application for the subject property located at 1126 Benton Way. 2. The Subject Property is zoned R-3, Townhouse and Low-density Multiple Dwelling District and is designated for Low Density Residential uses on the 2040 Comprehensive Plan. 3. The Applicant's land use application includes a request for a variance to the required R-3 Zoning District maximum structure coverage requirement to construct a 30 square foot principal structure addition. 4. The Subject Property is part of the Hunters Park neighborhood development. If a variance is required for a proposed alteration, the Architectural and Environmental Committee of the Hunters Park Homeowners Association shall review and approve the proposed addition or alteration before submitting the same to the City. 5. A single-family dwelling is a permitted use within the R-3 Zoning District. 6. The Applicant has provided documentation that the Hunters Park Homeowners Association Architectural and Environmental Committee and both of their neighbors have reviewed and approved the submitted plans. 7. The Applicant states that the addition would be located between the house and the garage and that most people would be unlikely even to notice it is there. ARDEN HILLS CITY COUNCIL—APRIL 28, 2025 8 8. The proposed addition would result in the Subject Property having an increased structure coverage of 27.3 percent. Variance Criteria Findings: 9. Variances are only permitted when they are in harmony with the general purposes and intent of the ordinance. 10. The proposed addition would not alter the essential character of the neighborhood because the proposed design will look and feel consistent with the existing structure. 11. The variance request is not based on economic considerations alone. Conditional Use Permit Findings: 12. The Applicant's land use application also includes a request for a Conditional Use Permit for a Class II Home Occupation to conduct piano lessons at the Subject Property. 13. A home occupation is allowed in residential zoning districts, but a Conditional Use Permit is required when there are patrons visiting the premises. 14. The proposed home occupation would have a limited number of patrons visiting the home during set hours, as the Applicant would only be seeing one client at a time,by appointment. 15. The Applicant is the sole owner and employee of a piano lesson business. 16. The Applicant is the sole owner and occupant of the Subject Property. 17. The home occupation is conducted entirely within the dwelling. 18. Clients visiting the dwelling would park in the driveway on the Subject Property. 19. There will be no exterior evidence of the home occupation. 20. A public hearing for a Conditional Use Permit request is required before the request can be brought before the City Council. 21. The required public hearing was held at the April 9, 2025, Planning Commission meeting. City Administrator Jagoe reported the Planning Commission reviewed this application at their April 9, 2025, meeting. At that time, they recommended approval of the variance request with two conditions by a 6-0-1 vote (Commissioner Burlingame abstained). If the Council supported approval of the variance, the motion language options for the City Council to consider would be Approval with Conditions: Motion to approve Resolution 2025-038, approving Planning Case 25- 001 for a Variance to construct a 30 square foot principal structure addition at 1126 Benton Way, based on the findings of fact and submitted plans in the April 28, 2025, Report to the City Council, subject to the following conditions: 1. A Building Permit shall be issued prior to commencement of construction. 2. The proposed building addition shall conform to all other standards and regulations in the City Code. City Administrator Jagoe explained at their April 9, 2025, meeting, the Planning Commission recommended approval of the Conditional Use Permit request for the Applicant's piano lessons business with four conditions by a 6-0-1 vote (Commissioner Burlingame abstained). The Planning Commission recommended amending Condition Number 4 to read "No exterior signage shall be permitted as evidence of the home occupation." If the Council supported approval of the Conditional Use Permit, the motion language options for the City Council to consider would be Approval with Conditions: Motion to approve Resolution 2025-039, approving Planning Case 25- 001 for a Conditional Use Permit to allow a Class II Accessory Home Occupation at 1126 Benton Way, based on the findings of fact and submitted plans in the April 28, 2025 Report to the City Council, subject to the following conditions: ARDEN HILLS CITY COUNCIL—APRIL 28, 2025 9 1. No exterior evidence of the home occupation shall be permitted. 2. No exterior signage shall be permitted as evidence of the home occupation. 3. The Applicant shall comply with all sections of the City Code, including no more than four vehicles parked in a driveway at any one time. 4. The Applicant shall be required to submit and maintain a Home Occupation Accessory Class II License with the City while the home occupation is active. MOTION: Councilmember Holden moved and Mayor Grant seconded a motion to adopt Resolution #2025-038, approving Planning Case 25-001, for a Variance to construct a 30 square foot principal structure addition at 1126 Benton Way, based on the findings of fact and submitted plans in the April 28, 2025 report to the City Council, subiect to the recommended conditions. The motion carried (4-0). MOTION: Councilmember Holden moved and Councilmember Monson seconded a motion to adopt Resolution #2025-039 approving Planning Case 25-001 for a Conditional Use Permit to allow a Class II Accessory Home Occupation at 1126 Benton Way, based on the findings of fact and submitted plans in the April 28, 2025 Report to the City Council, subiect to the recommended conditions. The motion carried (4-0). B. Resolution 2025-040 Amending City Resolution 2025-007 to Revise Conditions for Approval of a Master and Final Planned Unit Development and Conditional Use Permit for Lot 1, Block 1,Arden Heights Addition City Administrator Jagoe stated on January 13, 2025, the City Council approved a Master and Final Planned Unit Development, Final Plat, Site Plan Review, Conditional Use Permit and Easement Vacation for Trident Development ("Developer") at 1700 Highway 96 W. The project would subdivide the property into two conforming lots, to facilitate construction of a 162,819 square foot, 119-unit multiple family dwelling on an approximately 41.10-acre property, and construct additional parking for the existing house of worship. The project was approved with 33 conditions. One of the conditions of approval was added by the City Council to require the Developer to install, at their expense, a trail extension as part of the development project. City Administrator Jagoe reported Condition 28 of the City Council's approval requires the Applicant shall install at their expense a trail along Snelling Avenue and within Snelling Avenue right-of-way, adjacent to the Subject Property, which shall be approximately 1,373 feet in length to serve as a connection to Royal Hills Park to be consistent with City Code requirements. The final location and specifications of the trail connection shall be determined by the PW Director/City Engineer and Community Development Director. Since the City Council's January 13, 2025 approval, Staff has been in communication with the Developer to draft the Development Agreement. Conditions 28 is included in the draft language for the Development Agreement. As part of the Development Agreement review, the Developer has met with Staff to discuss the proposed final location and specifications of the trail. City Administrator Jagoe explained in an April 22, 2025 narrative letter to the City Council the Developer proposes to make a financial contribution toward the cost of the trail in the amount of $90,000.00 in place of bearing the total expense of the 1,373-foot trail as referenced in Condition 28. The Developer also proposed that a portion of the Park Development and Park Dedication ARDEN HILLS CITY COUNCIL—APRIL 28, 2025 10 fees to be paid as part of the development project, totaling $1,223,500, be allocated toward the additional costs of the trail. The narrative notes that the trail could be constructed by Trident's contractor or by the City. City Administrator Jagoe commented on the request before the Council is a revision to Condition 28 to read: "The Applicant shall install at their expense a trail along Snelling Avenue and within Snelling Avenue right-of-way, adjacent to the Subject Property, which shall be approximately 1,373 feet in length to serve as a connection to Royal Hills Park and consistent with City Code requirements. The final location and specifications of the trail connections shall be approved by the PW Director/City Engineer and Community Development Director. The costs in excess of$90,000 incurred to the Applicant for the installation of the approximately 1,373 feet will be deducted from the Applicant's park development fee." Mayor Grant stated the total length of the trail was 1,373 feet. City Administrator Jagoe explained this was only the length of the trail abutting the North Heights property. She estimated the length of the trail adjacent to the property to the north of the subject property to be 396 feet. Councilmember Weber asked whether the original proposal was not intended for a grade separated trail. City Administrator Jagoe reported this was correct, noting after the developer looked at the area, an initial trail plan was created to start a dialogue with the Public Works Director. She indicated it was at this time, the Public Works Director noted the proposed trail would not meet MSA standards because the trail would have to be grade separated. Councilmember Holden explained the City was supposed to be getting something in return for the flexibility offered for this project and this was supposed to be the trail. She reported the costs were what staff had estimated and the developer had agreed to this. However, she understood there were things the Council did not understand at that time. She stated she appreciated the proposal and appreciated the fact there would be a trail up to the playground. She supported the trail moving forward as proposed by staff. Councilmember Weber clarified the applicant would only be paying $90,000 towards the trail and the City would be paying the remainder. He indicated the developer had readily agreed to put in this trail in order to get the additional density, but then changed their minds, once the costs came in for the actual trail. He did not believe the trail costs were hidden and commented on how the additional density that was approved would be worth more than $1.3 million for the developer. He was of the opinion the developer received a good deal. He supported the developer paying for all trail costs. Mayor Grant commented if his math was correct, the developer would be paying $1.23 million and the City would be paying $253,000. He noted this leaves about $900,000 that the developer will have to bring forward. He indicated these funds could be used for this project or the Old Highway 10 Trail. He stated that particular trail was an important connection for the City because it goes from Roseville to Highway 96. He explained the City has Safe Routes to School dollars from the Met Council and if these funds were applied to this project, the City's portion would be close to fully funded. ARDEN HILLS CITY COUNCIL—APRIL 28, 2025 11 Councilmember Weber stated denying this portion of the project would not end the project. He anticipated this project would move forward. He expressed frustration with the fact there was now push back from the developer after the City had been very generous in approving additional density. He did not recommend that discussion about this trail segment be combined with the Old Highway 10 trail. He indicated the developer was not offering to pay more, but rather was offering to pay less. Councilmember Monson recalled Condition 28 had a lengthy Council discussion and required the developer to build a trail because they wanted density. She explained this was seen as a benefit to the City and the trail was to be funded by the developer. She commented the developer offered to complete the 396 foot trail also. She stated now the developer was not going to fund the 396 foot trail and now they would only be funding a portion of the entire length and the trail was to be funded by the $1.2 million. She expressed frustration with the fact the recording of the final plat was extended presuming the City was almost there, and now there was a sticking piece. She indicated she did not want to go back on what the Council approved, but she was open to having a negotiation on a cap amount. She believed there should be a priority on where this money should go and she was uncertain if that priority was the Old Highway 10 Trail. Councilmember Holden questioned how much additional density was approved for this project. City Administrator Jagoe explained the project received an additional 17 units, noting 102 were allowed and the project was approved with 119 units. Councilmember Holden stated this project was a PUD, and whether or not the developer received additional density, the project had to offer a benefit to the City given the flexibility that was being considered for the project. She noted she was making a decision on this project asking for a trail based on information received from the public works director. She understood the trail was proposed to be next to the curb and has since learned the trail had to be grade separated. She reported the trail was proposed because the project was a PUD and not because extra density was being requested. She was sorry that people didn't get what they wanted out of this, but noted she wanted a 10 by 20 easement. Councilmember Weber called for a point of order regarding Councilmember Holden's statement. Mayor Grant commented Councilmember Holden was making a general statement about the Council and was not speaking against any one Councilmember. Councilmember Holden indicated to her when she was strong arming these people, it was based on information from the Public Works Director. To her, she was ready to negotiate,but she would never ask for another $300,000 because the City didn't get everything they wanted. She reported it was the Council's fault because when Councilmember Fabel brought it up at the meeting, the rest of the Council sat silent. She reported the Planning Commission are not elected officials and they do not get to say, give us this, or we will not approve it. She understood this threat was made even before this item came to the City Council. She believed this entire thing was ridiculous. Mayor Grant explained one of the interesting aspects for this project was that that Council added a condition regarding the trails because this item was a PUD. He indicated there should be some give and take with this project and he believed a trail would be good for the project and the City. ARDEN HILLS CITY COUNCIL—APRIL 28, 2025 12 He stated when this action is taken at the last minute, the Council is relying on the public works director and the developer. He reported it turns out the trail was going to be more expensive than originally thought. He stated this matter was now being brought back to the Council given how much more the trail was going to cost. He did not believe this reflected poorly on the Public Works Director or the developer. He explained he was looking at this as a project that would benefit the City in a lot of different ways and he sees an opportunity to get a trail segment on a portion of North Snelling. He stated if the Council did not want to spend the additional funds on Old Snelling, the City did not have to do this. Rather, the dollars could be used on parks. However, the dollars were available to closely fund this gap. He was of the opinion a north south connection from Roseville to Highway 96 was important and the City was close to achieving that. Councilmember Weber stated the word he used was conflate, and that the discussion was again conflating the two trails. He pointed out again, that the funding the City would lose from agreeing to this could take away funding from Old Highway 10 and giving it to the developer. He explained to Councilmember Holden's point that she reached out to the Public Works Director regarding a grade separated trail. He did not believe anyone driving through this area would state this was a super easy trail. He reiterated that the developer was readily agreeable to building this trail within the original agreement. He explained when he asked for affordable housing he was a City Councilmember and was no longer serving on the Planning Commission. Councilmember Holden called for a point of order stating she felt like she was being attacked. Councilmember Weber stated he was responding to Councilmember Holden's comment. Mayor Grant encouraged the Council to speak for themselves. Councilmember Monson reported she was not confused about the cost for the trail. In her mind, this was what the City was going to do for the PUD, whether or not it was because this was a PUD or because of the extra density. She recommended the developer pay for the entirety of the trail and that the $1.2 million be used for the Old Highway 10 trail. She explained she could support the City Council having further discussions about the cap. She indicated the $90,000 was not acceptable to her. Councilmember Holden questioned where the $90,000 came from. City Administrator Jagoe deferred this question to the applicant, noting this number came from the applicant through this narrative. Councilmember Holden stated she came up with the trail idea and the Council supported it. She commented further on how she proposed the trail and that costs were not fully understood at that time. She indicated she works to try and get a public benefit out of every PUD. She recommended the $1.2 million be put in the City coffers and not be allotted for any one project. She stated the developer agreed to complete the proposed trail along with the trail to the Ukrainian project. MOTION: Mayor Grant moved and Councilmember Holden seconded a motion to adopt Resolution #2025-040 — Amending City Resolution 2025-007 to revise Condition 28 in the conditions of approval of a Master and Final Planned Unit Development and Conditional Use Permit for Lot 1, Block 1 for the Arden Heights Addition. ARDEN HILLS CITY COUNCIL—APRIL 28, 2025 13 Councilmember Monson asked if there was appetite to increase the $90,000, which was the payment being paid by the developer towards the trail. Mayor Grant recommended the applicant address this question. Councilmember Holden stated she could support asking the developer for more funding, setting the payment at $200,000. Mayor Grant supported the developer paying half of$343,250, which was $171,625. Councilmember Monson questioned if the Council would support not putting any City funding into this project and using the entire $1.2 million for the Old Highway 10 trail. Mayor Grant stated this was another option and he would not have a problem with this. Councilmember Weber explained if the Council were to delete this amendment, the developer would not be required to build a trail. He reported the only cost difference would be the City would not build a 373 foot section on the north end. He was of the opinion it would be a good deal to spend $100,000 to get 1,500 feet of trail. Councilmember Monson indicated she liked the original amendment, but could also be supportive of requiring the developer to pay $200,000. Mayor Grant commented a trail section could be constructed at some point in the future that would benefit the project as there could be a trail section on the other side of Old Highway 10 for pedestrians trying to walk to downtown Arden Hills or to Roseville. Councilmember Holden stated the City would not receive any money if the trail segment were removed, the City would only be receiving park dedication funding. She indicated she was uncertain what $90,000 would do for the Old Highway 10 trail because this funding would have to be used to make the PUD better. She explained the City did not know where it sat with the Safet Routes to School funding and the City may have to come up with the funding someone for the Old Highway 10 trail. She questioned if the City wanted to get two trails or just the Old Highway 10 trail. City Administrator Jagoe clarified that this item would need four votes in order for this item to be approved. Councilmember Weber indicated he was not sure why the Council kept discussing the Old Highway 10 trail. He requested the Mayor call the question. Mayor Grant requested a roll call vote. A roll call vote was taken. The motion failed 2-2 (Councilmember Monson and Councilmember Weber opposed). City Administrator Jagoe reported if the Council would be making a motion for denial, the Council would need to state reasons for denial and to direct the City Attorney to draft these findings for consideration at a future meeting. ARDEN HILLS CITY COUNCIL—APRIL 28, 2025 14 MOTION: Councilmember Weber moved and Councilmember Monson seconded a motion to deny Resolution #2025-040—Amending City Resolution 2025-007 to revise Condition 28 in the conditions of approval of a Master and Final Planned Unit Development and Conditional Use Permit for Lot 1, Block 1 for the Arden Heights Addition. Mayor Grant commented this was a $30 million project that would bring new tax dollars to the City. He reported North Heights Lutheran Church would like to see this project moving forward. He indicated he did not know what the right answer was,but it was not to deny the Planning Case. He explained the Council was now debating a trail or where to put some money and now a $30 million project would be denied. Councilmember Monson questioned what the implications were for a denial. She indicated she would be happy to deny this Resolution if it meant the developer had to come back with a proposal that was more appealing to the City. City Administrator Jagoe stated if this Resolution were denied, the City Attorney would draft findings for the City Council to consider at the May 12 City Council meeting. She indicated the applicant could then come back with a new proposal, but were under the time constraints to file the final plat. She commented the Council could table action on this item and provide direction to staff and the applicant to bring something back for Council discussion on May 12. Councilmember Weber asked if this item were denied, would this terminate the agreement and the development would not move forward. City Administrator Jagoe explained if this Resolution were denied the developer has the option to move forward with the 33 conditions as originally approved by the City Council. Councilmember Holden recommended the reasons for denial be more clearly stated. She stated Condition 28 should read: The developer will pay $200,000 towards the 1,373 foot long trail. Mayor Grant indicated this amendment would be out of order given that Councilmember Weber was recommending denial. Councilmember Monson asked if Councilmember Weber was open to receiving a new proposal from the applicant, if action on this item were tabled. She clarified that this item needed four votes in order to approve or deny the Resolution. She stated she would prefer to table this item in order to make the applicant come back to the City Council. Councilmember Weber inquired what the timeline would be for this item. City Administrator Jagoe stated the final plat extension is through June 13, 2025. Mayor Grant stated he would like to hear from the applicant. Roger Fink, Trident Development, explained he had never been in a situation quite like this before where he had over committed to a commitment to the City Council and it was made clear the cost for the trail would be quite this large. He reported he came up with the $90,000 amount after speaking with a contractor noting this would cover a trail of this length under ideal ARDEN HILLS CITY COUNCIL—APRIL 28, 2025 15 conditions. He stated he was open to another proposal, but he has limits on how much his budget can absorb. Mayor Grant questioned how much his budget could absorb. Mr. Fink stated if the Council could agree to a cap he would need to speak to his partners, but he could agree to $100,000. He did not know if he could absorb a$200,000 expense. Councilmember Monson requested the Mayor call the question. A roll call vote was taken. The motion failed 2-2 (Councilmember Holden and Mayor Grant opposed). MOTION: Councilmember Monson moved and Councilmember Holden seconded a motion to adopt Resolution #2025-040 — Amending City Resolution 2025-007 to revise Condition 28 in the conditions of approval of a Master and Final Planned Unit Development and Conditional Use Permit for Lot 1, Block 1 for the Arden Heights Addition, with costs in excess of $200,000 be incurred by the Applicant. Councilmember Weber stated he could support setting the cap at $250,000. Councilmember Holden called the question. A roll call vote was taken. The motion failed 3-1 (Councilmember Weber opposed). MOTION: Councilmember Monson moved and Councilmember Holden seconded a motion to adopt Resolution #2025-040 — Amending City Resolution 2025-007 to revise Condition 28 in the conditions of approval of a Master and Final Planned Unit Development and Conditional Use Permit for Lot 1, Block 1 for the Arden Heights Addition, with costs in in excess of$250,000 be incurred by the Applicant. Mayor Grant asked if this item were passed could the applicant come back to the City prior to filing the Final Plat with another proposal. City Administrator Jagoe reported this was the case. Councilmember Holden called the question. A roll call vote was taken. The motion failed 2-2 (Councilmember Holden and Mayor Grant opposed). MOTION: Councilmember Monson moved to table action on this item to the May 12, 2025 City Council meeting. The motion carried (4-0). 12. UNFINISHED BUSINESS ARDEN HILLS CITY COUNCIL—APRIL 28, 2025 16 None. 13. COUNCIL COMMENTS Councilmember Weber stated he met with Arden Hills Greening where he discussed buckthorn removal. He encouraged the public to consider attending a buckthorn workshop on Saturday, May 17, 2025. Councilmember Holden reported the National Guard held their Norwegian ruck back on Saturday, April 19. She indicated this event would be held again in 2026. Councilmember Holden stated the fire department held an appreciation dinner for those retiring last week. She thanked all of those who served on the fire department for their commitment to the community. Councilmember Holden asked if staff had an update on Round Lake. City Administrator Jagoe reported she would speak with staff and have something posted on the City's website. Councilmember Monson stated she would like to see the audio issues in the Council Chambers addressed. City Administrator Jagoe reported she was working with Nine North to address the audio concerns. She explained there was an app that was available to provide audio for the City's meetings. Mayor Grant stated he attended the Norwegian foot march on Saturday, April 19. He commented on the different organizations that were in attendance at this event. He thanked the military who provided the City with a nice summation on the history of this event. Mayor Grant reported on Saturday, April 26 he attended the touch a truck event. ADJOURN MOTION: Councilmember Monson moved and Councilmember Holden seconded a motion to adjourn. The motion carried (4-0). Mayor Grant adjourned the Regular City Council Meeting at 8:55 p.m. Q�!L ,�Vw� r Julie anson David Grant City Jerk Mayor