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HomeMy WebLinkAbout09-09-25 JDA amendedJoint Development Authority Monday, September 9, 2025 Arden Hills City Council Chambers Minutes 5:30 pm Roll Call Joint Development Authority: Chair Jon Wicklund, Commissioner Tara Jebens-Singh, Commissioner Kurt Weber, Commissioner Mary Jo McGuire, Commissioner Tena Monson Also present: Jessica Jagoe (Arden Hills); Ella Mitchell (Ramsey County), Jenny Boulton (Kutak Rock) Roll call taken. Approval of Agenda Motion by Commissioner Monson seconded by Commissioner Jebens-Singh to approve the agenda as presented. Motion carried. Approval of Minutes Motion by Commissioner Jebens-Singh seconded by Commissioner Weber to approve the July 2, 2025 Closed JDA meeting minutes, July 7, JDA meeting minutes, July 21 Closed JDA meeting minutes and August 4, JDA work session minutes. as presented. Motion carried. Public Input Steve Scott, 4286 Norma Avenue, addressed the JDA regarding the County’s mismanagement of this project, especially over the past eight years. He indicated the early phases of TCAAP had Ryan Companies working on a plan only to withdraw after a number of years noting tackling the largest superfund site in the State was too risky for their investors. He explained an NFL stadium was once proposed by several County Commissioners. Concerns soon rose about where the residents of Arden Manor would live and one Commissioner stated they would have to find somewhere else to live, which sparked an outcry from Arden Hills residents. He stated affordable housing did not appear to be a priority for the County at that time. After the NFL choose downtown the County purchased the TCAAP site from the federal government. He reported a joint powers agreement was drafted and the JDA was formed. He indicated the JDA was responsible for the cleanup and sale of the property, while the City was tasked with zoning the parcel, producing a master development agreement and an AUAR. He noted all of these deliverables were accomplished and delivered on time. He stated late in 2016 the County members of the JDA presented an extensively redlined project vision vastly increasing the proposed housing density, levels of affordability and demanding the City front a much larger financial contribution. The County insisted the City sign off on this within four days, which occurred over a holiday weekend. The City indicated they would have to take this matter back to the taxpayers but offered the opportunity to negotiate the differences/sticking points. He explained the County agreed to special worksession in early 2017 to hammer out the sticking points but never showed up for the meeting. In fact, the County boycotted all subsequent JDA meetings for the next four years and ultimately sued the City for being an unwilling partner despite the City continuing to show up at all scheduled meetings. He reported the County withdrew its funding and participation in the JDA and focused on other redevelopment projects in the County, one being the Rivers Edge Project in St. Paul. He noted the Rivers Edge Project was completed with zero affordable housing units in downtown St. Paul. Meanwhile, the County sued the City of Arden Hills for being an unwilling partner and sought to have the County nullify the joint powers agreement citing a hopeless impasse. He reported during court ordered mediations, the City offered a higher level of density, which was rejected by the County. After the court rejected the County’s claim that the City was the unwilling partner, the court suggested the City and developer start direct negotiations and this was done. He stated a new term sheet was produced where the developer greatly reduced the financial risk for Arden Hills taxpayers. He indicated the County then rejected that agreement insisting that the City accept higher housing density and affordable levels or else. Chair Wicklund asked that Mr. Scott jump to his conclusion. Mr. Scott noted from 2016 to 2022 was considered a golden time to start construction because interest rates were low, construction costs were low and the job market was strong. However, the County squandered this opportunity for reasons that have not been explained. He asked at what point do the taxpayers get an honest and transparent of the projects viability and costs. He noted a current member of the JDA recently vowed to move the project forward but he stated at the edge of a cliff moving forward may not be the most prudent action. He explained Ryan Companies saw this many years ago and now the Arden Hills taxpayers are wondering how much of their funding will be poured into this risky project. Megan Howard, 1323 Watson Avenue in St. Paul, supported this development moving forward because the Twin Cities desperately need more housing. She encouraged the JDA not let perfect become the enemy of good. She recommended the proposed plan move forward in order to provide more housing. Paige Kale, resident of St. Paul, explained she was with Yes in my Backyard. She questioned if now was the time to talk about the development. Chair Wicklund stated now would be the time to speak. Ms. Kale thanked Director Mitchell for reaching out to her today regarding this project. She indicated she has been in communications with Bob Lux with Alatus as well as Maplewood Development. She commented she has heard their side of the story and understood the JDA decided to allow the agreement with Alatus to expire back in June. She explained after watching the June JDA meeting, it appears there was frustration with Alatus and their lack of response. She expressed frustration with the fact the JDA let this frustration get in the way of a 10 year partnership with Alatus. She stated Alatus had millions of dollars invested in this project. She was of the opinion there were two members on the JDA that may have voted to extend the agreement, but the majority was unhappy with Alatus. She encouraged the JDA not to throw the baby out with the bath water. She reported this development was becoming a national case study for what was wrong with getting housing on the ground. She indicated she lived in St. Paul and she saw homeless people every day. She explained she had a lot of emotions when it came to the JDA’s inability to get this much needed project off the ground with the housing that was so desperately needed for the region. She stated Alatus has pledged tens of millions of dollars of private financing to make this project happen and the JDA does not want to see this project move forward. She indicated she was an environmentalist and she understood sustainability guidelines were important, but she also knew it was important for people to have housing. She questioned what the cost of the sustainability guidelines would be. She reported one of the members of the JDA was the vice president of a solar panel company and this was not a good look for the JDA. She stated Alatus would gladly come back to the table and negotiate with the JDA, but in the meantime has filed a lawsuit against the JDA. She understood the judge has stated Alatus has a case and that Ramsey County, the JDA and taxpayers will have to pay millions of dollars to Alatus. She encouraged the JDA to renegotiate with Alatus. She suggested the JDA members do what was right as public servants. Lyle Salmela, 1480 Arden Vista Court, stated for his 30 years of involvement with the RAB, ERAB and the JDA, he believed Rice Creek Commons was a tremendous opportunity for the growth of Arden Hills and the metro area. He supported building the roads next year as this will set the development on a path of major development occurring in 2030. He wished the JDA all the best with its visions and goals. Alex Punski, 16025 37th Avenue N in Plymouth, noted he was an employee of Alatus. He understood there was a lawsuit between Alatus and the JDA team. He commented he was the head of construction for Alatus and he does all of the fun finish details. He reported Alatus wants to complete this development and would be willing to drop the lawsuit. He asked that he be allowed to meet with the JDA team as soon as possible in order to get this project moving forward. He stated Alatus had a great team assembled to complete this project. Noah Schneider, 808 Airy Street in St. Paul, stated in listening to recent JDA meetings, he understood there was a vision to have an all-electric development on Rice Creek Commons. He explained he agreed with this, but noted he has not heard how much this will cost and add to each home price. He reported there was a need for more housing, especially affordable housing. He asked if these costs were being considered. He feared that the sustainability goals would greatly impact the affordable units within this development. It was his hope the JDA could prioritize the additional housing and not let perfect be the enemy of good. Consent Agenda None. Old Business None. Public Hearings a. Planning Case 25-003 and Resolution 2025-002 – Preliminary Plat and Final Plat – Outlot C, TCAAP – Ramsey County Director Jagoe stated Ramsey County (“Applicant”) has requested approval of a Preliminary Plat and Final Plat to subdivide Outlot C (“Subject Property”), often referred to as the “California Parcel”, of the TCAAP Plat for Rice Creek Commons. The Rice Creek Commons site is in the northwest corner of the City located to the east of U.S. Highway 10 and I-35W, north of Highway 96, west of the Arden Hills Army Training Site, and south of County Road I. Director Jagoe reported the purpose of this platting process is for dedication of the public road right-of-way for the Spine Road. Two large Outlots would be created as part of the plat for the future Rice Creek Commons development. These Outlots would be further subdivided and replatted at the time of the future development. The current platting process is not associated with any specific development on the site. A copy of the proposed Preliminary and Final Plat named “Rice Creek Commons Second Addition” was reviewed with the JDA. The following is a description of the proposed Outlots and right-of-way dedication on the plat: x Outlot A = 93.25 acres (4,062,028 s.f.) o This parcel will be further subdivided and developed in the future as part of the Rice Creek Commons development. x Outlot B = 252.88 acres (11,015,634 s.f.) o This parcel will be further subdivided and developed in the future as part of the Rice Creek Commons development x Rice Creek Boulevard Right-of-Way = 25.92 acres (1,128,912 s.f.) Overall Subject Property Platted Area = 372.04 acres Director Jagoe stated future further subdivisions of the newly created Outlot A and Outlot B within the Rice Creek Commons development area would be brought forward for review by the Joint Development Authority (JDA) in accordance with the TCAAP Redevelopment Code (TRC). Director Jagoe commented further on the Plan Evaluation and offered the following Findings of Fact: x The former Twin Cities Army Ammunitions Plant (TCAAP) site is in the northwest corner of the city located to the east of U.S. Highway 10 and I-35W, north of Highway 96, west of the Arden Hills Army Training Site, and south of County Road I. x Ramsey County has requested a Preliminary Plat and Final Plat of the TCAAP, Outlot C site in order to subdivide the parcel for delineation and dedication of the public right-of way for the Spine Road. x The current platting process is not associated with any specific development on the site. x The future subdivision and replatting of Outlots A & B - Rice Creek Commons Second Addition for the Rice Creek Commons development would be evaluated at that time based on all applicable provisions and regulations in the City Code and the TCAAP Redevelopment Code. x The proposed Preliminary Plat and Final Plat are consistent with the Arden Hills Zoning Map, TCAAP Regulating Plan, and the 2040 Comprehensive Plan. Director Jagoe reviewed the options available to the JDA, noting staff recommended approval of JDA Planning Case 25-003 and adopt Resolution 2025-002 for a Preliminary Plat and Final Plat of Outlot C a 372.04 acre parcel within Rice Creek Commons, based on the findings of fact and the submitted plans, as amended by the conditions in the September 9, 2025 Report to the Joint Development Authority Board: 1. The Applicant shall record the Final Plat with Ramsey County within sixty (60) days of the JDA’s approval and a copy of the recorded plat shall be provided to the City. 2. All items identified in the September 2, 2025, City PW/Engineering Division memo shall be addressed prior to the recording of the Final Plat. All comments shall be adopted herein by reference. Chair Wicklund opened the public hearing at 5:59 p.m. Ian Adams, 1328 Watson Avenue in St. Paul, thanked the JDA for their service and for allowing him to speak. He questioned why it was advantageous for the JDA to pursue another developer, given that the Alatus contract had expired. He suggested the JDA consider hiring a real estate or legal professional that has experience in doing projects close to $1 billion to negotiate with Alatus to see if a deal could be struck. He encouraged the JDA to reduce friction instead of increasing power as this project moves forward. He stated the United States was behind when it came to building costs compared to Europe. Chair Wicklund closed the public hearing at 6:02 p.m. Commissioner McGuire thanked staff for all of their efforts on this matter. She asked if this action was for platting to allow the public road right of way to be installed, which was a basic step to move this project forward. Director Jagoe reported this was the case. She noted this process would dedicate the public right of way for the spine road and would allow the County to continue with their design plans and construction in 2026. Commissioner McGuire stated she appreciated how this action would move the project forward. Commissioner Weber expressed concern with the fact the proposed right of way would be 130 to 140 feet wide. He was of the opinion this width was exceptionally wide. Director Jagoe reported the 130 to 140 foot width was correct noting this aligns with the TRC and would allow for the trails, public sidewalks and roadway. Commissioner Weber indicated he would have liked to review the 60% design plans. He was of the opinion 100 feet would have been adequate for the trail, sidewalk and roadway right of way. He did not believe the County should be taking more than they needed, even if this was only 10 to 20 feet on each side of the roadway. He feared this was wasted space. Director Jagoe commented the standard the County was proposing for the right of way corridor meets the TRC standards. She indicated the tree plantings, utility installation, street lighting, sidewalks, right of way, and roadway does cover the proposed expanse. She anticipated the County could come back to the JDA with design plans for the roadway corridor. Commissioner Weber stated he would like to see the plans to ensure the JDA was not over dedicating. Chair Wicklund commented he would like to see the plans. Commissioner Monson explained the corridor has to be this wide because the TRC requires it. Director Jagoe indicated this was the case. Commissioner Monson reported if the corridor was to be narrowed, adjustments would have to be made to the TRC. Director Jagoe explained standards would have to be reviewed to see where adjustments could be made. Commissioner Monson stated a traffic study was completed for this project. Director Jagoe indicated a traffic study was completed through the AUAR process. Commissioner Monson inquired if the proposed roadway width was necessary for the traffic that would be flowing through this area. Director Jagoe explained she did not have the engineering background to answer this question. However, she understood the layers of amenities included along this corridor would require 130 to 140 feet of right of way. John Masatello, Deputy Director of Public Works for Ramsey County, introduced himself to the JDA. He explained he designed all of the construction projects for Ramsey County. He reported he was the project manager for the spine road. He stated the right of way was established based on the need of the infrastructure that needs to be built with the spine road that includes the roadway width, curb and gutter, storm drainage, boulevard, sidewalk, trails and lighting. In addition, to having space for a district energy or geothermal component. Commissioner Monson questioned if this roadway would be wide enough to handle the level of traffic that would be flowing through this area. Mr. Masatello indicated he was comfortable with the proposed roadway width for the traffic that would be generated by the site. Commissioner Monson stated she appreciated having this information and thanked Mr. Masatello for addressing the JDA. Motion by Commissioner Weber seconded by Commissioner McGuire to approve Planning Case JDA Planning Case 25-003 and adopt Resolution 2025-002 for a Preliminary Plat and Final Plat of Outlot C a 372.04 acre parcel within Rice Creek Commons, based on the findings of fact and the submitted plans, as amended by the conditions in the September 9, 2025 Report to the Joint Development Authority Board. Commissioner Monson explained being able to put the spine road in is key to any future development. She understood the history of this project and indicated the JDA was doing its best to get this project across the finish line. She reported the plan was to move forward with the construction of the spine road in 2026. She discussed how the JDA had new faces and these individuals would continue to work to move this project forward. Commissioner McGuires stated Ramsey County was in the budgeting process right now and supported this item coming forward. She indicated the County Board was aligned as a Board in getting this project done. Motion carried. New Business a. Approve Revised Sustainability Design Guidelines Director Mitchell stated at the August JDA work session, the JDA reviewed updates from the Energy Advisory Committee and consultants, including proposed revisions to the Sustainability Design Guidelines. These revisions clarify language and requirements around electric vehicle chargers. Commissioner McGuire commented she believed these guidelines were a great step forward and reflect the values of both the County and JDA. Commissioner Weber assured the public that the energy committee had considered the cost of the proposed sustainability guidelines. He indicated this was a big concern and noted Ryan Companies reviewed and provided the JDA with feedback on the sustainability process, noting no major hurdles were reported. Commissioner Jebens-Singh explained these guidelines were revisited in order to build a process that walks along side any future developers and meets with them with the technical guidance that was necessary, while also having ways to request waivers. Commissioner Monson indicated when it came to the sustainability guidelines, the JDA was pragmatic while also trying to do big things. She was disappointed that there was a narrative that sustainability was in contrast to affordability. She reported experts have been brought in to assist the JDA with this project. She commented on how much residents in Arden Hills were paying for energy bills each year. She discussed how important it was for homes to have tight envelopes in order to reduce energy costs. Motion by Commissioner McGuire seconded by Commissioner Jebens-Singh to approve the revised Sustainability Design Guidelines. Motion carried. b. Review Draft Request for Interest Director Mitchell stated a Request for Information (RFI) has been drafted for JDA review and approval. As stated in the RFI document, its purpose is to gain information to inform a future solicitation for development at Rice Creek Commons. The Anticipated Timeline section is not yet filled in as the timing may vary depending on the need for revisions or additional promotion. Staff will distribute the RFI through channels including but not limited to DemandStar, the Rice Creek Commons newsletter, and RiceCreekCommons.com. Commissioner McGuire commented she was curious to see what new interests there may be in this site and what new ideas people may have. She supported the JDA moving forward with an RFI. She questioned how long the RFI process would take. Director Mitchell proposed keeping the RFI process open for four weeks, noting there would always be an option to extend. Commissioner Weber stated he was pleased to see the RFI got put together so quickly. He noted he had no proposed changes. Commissioner Jebens-Singh indicated the RFI was drafted after considering the sustainability goals and missions for this project. She explained the JDA was interested in learning if there were developers that would engage with this project. She appreciated the fact that all founding documents have been put in one place as this would provide all future developers with the goals and requirements for this development, which included having at least 20% of the total housing units will be affordable at 60% AMI or below and 10% of the total for sale housing will be eligible for Ramsey County down payment assistance. She thanked staff for the quick turnaround on the RFI. She indicated the JDA was being mindful and responsible as this project moves forward. Commissioner Monson inquired if staff should draft a question for Page 9 that addresses the challenges surrounding district energy within the RFI. Chair Wicklund supported staff adding this question to the RFI. Commissioner Weber indicated district energy was important to him and he wanted to see this move forward. Commissioner Monson explained she wanted to see district energy called out to ensure developers understand this was a requirement and that feedback would be helpful. Director Mitchell noted district energy was mentioned on Page 6 and was addressed within the sustainability guidelines. She suggested a sentence be written into the RFI that encourages developers to read the supporting documents, which would include the Sustainability Guidelines. Commissioner Monson suggested further language be written into the RFI that addresses how the developers will create foot traffic. Director Mitchell stated she could draft language to address this matter. Commissioner McGuire supported this recommendation noting she wanted to see this development becoming a walkable community. Commissioner Jebens-Singh recommended the language speak to all levels of accessibility and not just walking. Commissioner Monson inquired if the JDA would be able to speak to the developers who respond to the RFI in person. She commented she was interested in speaking with a developer that has a unique vision for this property. She suggested this be a recommendation but not a requirement. She recommended the City use its channels to advertise the RFI. Chair Wicklund questioned how fast the RFI would be put out the door. Director Mitchell indicated she was confident the RFI could be put out prior to the next JDA meeting. Chair Wicklund stated if this was the case, he would like the JDA to receive an update on the RFI process at the October JDA meeting. He discussed how this project moved from 10% to 20% affordable units as well as moving from 1,460 to 1,900 housing units. He understood the pace of the development may not feel great for everyone, but stated the JDA would continue to move this project forward. Motion by Commissioner Jebens-Singh seconded by Commissioner Weber to approve Request for Information as amended. Motion carried. c. Discuss Community Engagement Proposal Director Mitchell stated there was a discussion at the August JDA meeting about organizing digital informational sessions instead of an in-person community event this fall. Some of the advantages of an online format include more accessibility to residents, less time commitment for both residents and staff, and the ability to post the recording online for viewing at any time. After discussing with consultants, staff propose organizing a webinar focused on sustainability and clean energy that will include a presentation on the advances made over the past two years and time for questions and answers. This webinar could also include a review of how residents can learn more about the project and a request for topic suggestions for future info sessions. The webinar would be advertised on the project website and through the newsletter, and the recording would also be posted on the website. If the webinar is successful, then the JDA may consider repeating this format on other topics. Director Mitchell explained staff has noted comments on the materials available on the project website and are working to strategize, within technical constraints, on how to ensure as much information is readily accessible as possible. Residents are encouraged to use the comment box on RiceCreekCommons.com or reach out to JDA members or staff to request information or documents. Chair Wicklund stated doing an electronic webinar would save time and could assist with focusing the topic for the event. He questioned what success would look like for this type of event. Commissioner McGuire explained she loved the idea of an informational webinar. She suggested the JDA consider hosting at least two webinar events. Commissioner Weber commented he was interested in documents being readily available on the Rice Creek Commons website. He hoped that people would attend the webinar events and come forward with questions. He believed success would be people asking questions and providing new topics. Commissioner Jebens-Singh stated a webinar like this would allow for multiple audiences to engage with this topic in a transparent manner over time. She asked how these events would overlap with the RFI. Director Mitchell indicated she would be open to feedback from the JDA on this, noting the event could be geared towards the public, or RFI responders were also welcome to join. Commissioner Monson explained she liked the idea of surveying people about future topics. She anticipated these events would be successful. She recommended the webinar event be well marketed and suggested the event be open to the public. Chair Wicklund asked how urgent it was to get this project completed. He questioned if staff could begin working out details and the JDA could finalize the plans for the webinar in October. Commissioner McGuire wanted to see the website updated as quickly as possible and noted she could wait for the webinar to be finalized in October. Commissioner Weber stated the RFI was the priority and he did not believe the webinar had to inform the RFI. Commissioner Jebens-Singh commented she liked the idea of making sure staff can stagger this work in order to get the RFI out first and that the webinar would be finalized in October. Commissioner Monson stated she would like to see the community engagement done before the end of the year because people want to know what’s going on. Director Mitchell inquired if the JDA wanted to see the material from the consultants before it is released. Chair Wicklund recommended the content be reviewed on October 6 before being released to the public. He suggested the webinar be 30 to 35 minutes, noting success to him would be having at least 50 people in attendance. He encouraged the JDA members to consider what topic should be covered in the second webinar. d. Review Road Map Director Mitchell reviewed the Road Map with the JDA. Administrative Director’s Report Director Mitchell stated she had nothing further for the JDA. Development Director’s Report Director Jagoe stated she had nothing further for the JDA. Commissioner Updates Commissioner McGuire thanked staff for all of their efforts to keep this project moving forward. Commissioner Weber indicated he ran for city council in order to move the Rice Creek Commons projects forward and to get affordable housing in Arden Hills. He stated this project remains a high priority for him and he thanked the public for voicing their concerns. Commissioner Jebens-Singh thanked the public for voicing their concerns surrounding affordable housing. She indicated she has felt the same frustrations but noted the County and City were in alignment when it came to affordable housing and a commitment to moving this project forward. Adjournment Meeting adjourned at 7:19 pm. Approved _____________________________________ _______________________ Jon Wicklund, Chair Date November 3, 2025