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HomeMy WebLinkAboutCity Council Minutes 07-24-2012Adopted Minutes Regular Council Meeting July 24, 2012 Mayor Slavik called a Regular Meeting of the Plymouth City Council to order at 7:00 p.m. in the Council Chambers of City Hall, 3400 Plymouth Boulevard, on July 24, 2012. COUNCIL PRESENT: Mayor Slavik, Councilmembers Willis, Bildsoe, Stein, Black, Johnson, and Wosje. ABSENT: None. STAFF PRESENT: City Manager Ahrens, City Attorney Knutson, Park and Recreation Director Evans, Public Works Director Cote, Community Development Director Juetten, Police Chief Goldstein, Fire Chief Kline, Housing Manager Barnes, Deputy Police Chief Plekkenpol, Water Resources Engineer Asche, Administrative Services Director Callister, and City Clerk Engdahl. Plvmouth Forum David Larson, 2919 Troy Lane North, stated he's a Minnesota Volunteer Firearm Safety (FAS) instructor. He voiced his displeasure with the Council's action at the July 10 meeting when they closed the police firearms range at Fire Station No. 3. He asked the Council two questions. The first question was if the Council decided to break their lease/agreement/commitment with the youth, parents and FAS instructors for their August 18 field day shooting segment, and secondly, if the Mayor has now told protesting individuals that the building will be kept in good condition and that the latest reason for abandoning their agreement is that the fire range no longer works for police tactical training. He indicated their desire to use the firearms range for their FAS field days as mandated by state law effective July 1. Mayor Slavik replied there is no lease/agreement/commitment in place with FAS. Regarding the future use of the facility, the Council's mission is to ensure that officers have the best training opportunities available to them, and currently, the officers can't receive that at the City's facility. Closing the City's facility will give the officers better opportunities. By request of Mayor Slavik, Public Works Director Cote show photos of the facility depicting the mold and water damage. He stated in 2011, the City did a fairly significant project to excavate the foundation and do waterproofing and install interior drain tile, which they thought would resolve the issue. After last evening's rainfall, there is water coming in through the foundation, walls, and ventilation system. Adopted Minutes t of 9 Regular Meeting of July 24, 2012 Mayor Slavik stated at the previous Council meeting, the majority of the Council didn't support allocating additional tax dollars into the facility as there other training facilities available for officers. Councilmember Johnson added this is a facility management issue. If the facility didn't have the maintenance problems and it took care of the City's training needs, she wouldn't have a problem continuing to use the site. Given the resources and the tight economy, elected officials are being asked to do more with less and explore partnerships with other entities. The City could potentially collaborate with the City of Maple Grove for their facility that is under construction which would be constructed to current standards and be available for the public's use. Presentations and Public Information Announcements 4.01) Oath of Office for Police Officer Drew Gilmore City Clerk Engdahl administered the oath of office to Police Officer Gilmore. 4.02) Presentation of 2012 Environmental Champion Awards Environmental Champion Awards were presented to Kathleen Hartman, Christine Lantinen, Ken Urke, Dave Turbenson, Vision of Glory Lutheran Church, Mount Olivet Lutheran Church, Cushman & Wakefield/NorthMarq, BioAmber Inc., and Honeywell Aerospace Plymouth. Councilmember Johnson announced that filings will open on July 31 for Wards 1, 2, 3, and At Large. She announced that she would be filing for reelection as did Councihnembers Willis, Stein, and Wosje. Mayor Slavik announced the Farmers Market tomorrow at 2:30 p.m. at Life Time Fitness. Approval of Agenda Motion was made by Councilmember Bildsoe, and seconded by Councilmember Johnson, to approve the agenda. With all members voting in favor the motion carried. Consent Agenda Motion was made by Councilmember Bildsoe, and seconded by Councilmember Willis, to adopt the Consent Agenda that included the following items: 6.01) Resolution Approving a Site Plan and Variances for a Medical Office Building at 15535 34th Avenue (2012037 — Res2012-205). Adopted Minutes 2 of 9 Regular Meeting of July 24, 2012 6.02) Resolution Approving Disbursements ending July 14, 2012 (Res2012-206). 6.03) Ordinance Amending Sections 730 and 1015 of the City Code Regarding Street Light Utility and Rates (Ord2012-20). 6.04) Receive the 2013 Suburban Rate Authority Budget. 6.05) Resolution Ordering Improvement for the Kingsview Heights Edge Mill and Overlay Project (12002 - Res2012-207), Resolution Adopting Assessments for the Kingsview Heights Edge Mill and Overlay Project (12002 — Res2012-208), and a Resolution Awarding Contract for Kingsview Heights Edge Mill and Overlay Project (12002 — Res2012-209). 6.06) Resolution Ordering Preliminary Engineering Report for the Fox Glen, Pike Lake and 37th Avenue Edge Mill and Overlay Project (12002 - Res2012-210), Resolution Receiving Preliminary Engineering Report, Ordering Preparation of Plans and Specifications, and Calling for a Public Hearing for the Fox Glen, Pike Lake and 37th Avenue Edge Mill and Overlay Project 12002 — Res2012-211), Resolution Declaring Cost to be Assessed, and Ordering Preparation of Proposed Assessment for the Fox Glen, Pike Lake and 37th Avenue Edge Mill and Overlay Project (12002 — Res2012-212), and a Resolution Calling for Hearing on Proposed Assessment for the Fox Glen, Pike Lake, and 37th Avenue Edge Mill and Overlay Project (12002 — Res2012- 213). 6.07) Resolution Terminating the Water Quality Pond Maintenance Agreement for Wynfield Place (2003081 — Res2012-214). 6.08) Resolution Affirming the City as the Local Government Unit for Administration of the Wetland Conservation Act and Delegating Authority for Staff Decisions (Res2012-215). 6.09) Resolution Approving Not to Exceed Amounts for 2013 Watershed Assessments Res2012-216). 6.10) Resolution Approving a PUD Amendment for Signage at Cornerstone Auto Resource located at 3901 Vinewood Lane (2011037 — Res2012-217), Ordinance Amending the Zoning Ordinance of the City Code Amending the Cornerstone Auto PUD for Property located at 3901 Vinewood Lane (2011037 — Ord2012-21), and a Resolution Approving Findings of Fact for Amending the Zoning Ordinance Text related to Signage at Cornerstone Auto PUD, 3901 Vinewood Lane (2011037 — Res2012-218). 6.11) Resolution Approving a Final Plat and Development Contract for T Creek 3, Inc., for Taylor Creek 3rd Addition" located in the South Portion of Taylor Creed PUD (2012042-F - Res2012-219). 6.12) Approval of 2011 Community Development Block Grant Consolidated Annual Performance and Evaluation Report and authorize submission to the Department of Housing and Urban Development. Adopted Minutes 3 of 9 Regular Meeting of July 24, 2012 6.13) Resolution Denying an Acknowledgement of Consent to Assignment of the Development Contract for Crossroads Commons (2011014-F — Res2012-220). 6.14) Resolution Approving a One -Year Extension of the Development Approvals for Quantum Development for Property located at 12325 State Highway 55 (2008052 — Res2012-221). With all members voting in favor, the motion carried. Public Hearings 7.01) On -Sale Liquor and Sunday Liquor License Applications from Flying Swine, LLC, d/b/a Eat Shop, 16605 County Road 24. City Clerk Engdabl reported on the On -Sale Liquor and Sunday Liquor License applications from Flying Swine, LLC, d/b/a Eat Shop, 16605 County Road 24. Mayor Slavik opened the public hearing. Mayor Slavik declared the public hearing closed. Motion was made by Councilmember Bildsoe, and seconded by Councilmember Willis, to adop a Resolution Approving the On -Sale Liquor and Sunday Intoxicating Liquor Licenses for Flying Swine, LLC, d/b/a Eat Shop, 16605 County Road 24 (Res2012-222). With all members voting in favor, the motion carried. 7.02) Compliance Check Violation Hearing for Second Violation in 36 Months for Wandering Spirits, 3435 Highway 169 Deputy Police Chief Plekkenpol reported tonight is the hearing on the second compliance check violation for Wandering Spirits, 3435 Highway 169. As this is a second violation within a 36 month period of time, the penalty would be $1,000 fine and six day suspension. Mayor Slavik opened the public hearing. Deputy Police Chief Plekkenpol stated this case involves the establishment selling to a minor on June 21 as part of required compliance checks. The employee thought the buyer had purchased from them in the past which is why he didn't request an identification. The administrative hearing was held on July 6 at which time the licensee requested to reduce the six day suspension by paying a higher fine. He stated in order to deviate from the penalty grid, that would require a hearing before the Council. The licensee called him following their meeting and stated that the employee sold to the minor because he was upset with him. Adopted Minutes 4 of 9 Regular Meeting of July 24, 2012 Vinh Do Nuygen, licensee, agreed with Deputy Police Chief Plekkenpol's statements. He stated they do understand the importance of not selling liquor to a minor. He asked the Council if they could pay more in the fine because if he closes their business for six days, that would negatively impact their business. Mayor Slavik declared the public hearing closed. Motion was made by Councilmember Bildsoe, and seconded by Councilmember Johnson, to adopt a Resolution Approving Presumptive Penalty for Compliance Check Violation for Second Violation in 36 Months for Wandering Spirits Highway 169 (Res2012-223) - $1,000 fine and 6 - day suspension. With all members voting in favor, the motion carried. 7.03) Project and Assessment Hearing for the Revere Lane/6th Avenue/Kilmer Lane Mill and Overlay Project (12005) Public Works Director Cote reported on the proposed project and assessments for Revere Lane/6th Avenue/Kilmer Lane mill and overlay project. If the project is awarded this evening, the construction would be completed by September 14. Mayor Slavik opened the public hearing. Lee Bachman, representing Bachman's, Inc., asked if they would be landlocked if they can't exit out on 6th Avenue or Revere Lane. Roger Hork, who owns the building occupied by Arby's, stated they are opposed to the assessment as they are being assessed approximately 10% of the total amount being assessed for this project. Their property is the only parcel that has assessed property on both sides of the roadway. Mayor Slavik declared the public hearing closed. Public Works Director Cote stated accessibility to the properties will essentially be maintained throughout the entire project since this isn't a full reconstruction project. Parts of the project would be staged such as driveway access. He stated there should be minimal disruption to the property owners. He stated regarding the Arby's property, it fronts both Revere Lane and 6th Avenue, and the Rainbow shopping center is also being accessed the sante way. Mr. Hork submitted a written objection to the proposed assessment. Motion was made by Councilmember Willis and seconded by Councilmember Wosje, to adopt a Resolution Ordering Improvement for the Revere Lane/6th Avenue/Kilmer Lane Mill and Overlay Project (12005 — Res2012-224), Resolution Adopting Assessments for Revere Lane/6th Avenue/Kilmer Lane Mill and Overlay Project (12005 — Res2012-225), and a Resolution Awarding Contract for Revere Lane/6th Avenue/Kilmer Lane Mill and Overlay Project (12005 — Res2012-226). With all members voting in favor, the motion carried. Adopted Minutes 5 of 9 Regular Meeting of July 24, 2012 General Business 8.01) Consider Ordering Improvements, Adopting Assessment Roll, Award the Contract, and Authorize "No Parking" for the Plymouth Boulevard Mill and Overlay Project (12006) Public Works Director Cote stated the Council conducted a project and assessment hearing for this project at the July 10 meeting. In order to proceed with the project as proposed, a minimum of six votes were needed to order the improvements. Due to two Councilmembers being absent at that meeting, this item was tabled to this evening. He explained discussion was held regarding how the property is being assessed at 3850 Plymouth Boulevard. He stated this property contains 72 living units and 80 garage units, all of which have an individual property identification number (PIN) but share the same property description. The proposed assessment was calculated based on the parcel frontage and distributed evenly to all associated PINS sharing the parcel description. There are nine living units that have two garages each. The Council has the options of assessing the project as proposed, or assessing only one garage for each living unit, or only assessing the living units excluding the garages. He stated an objection was received from the property owner at 15600 37th Avenue North, and staff is recommending to assess the property as proposed as the property fronts Plymouth Boulevard and was assessed for previous improvements to Plymouth Boulevard. He stated the last two objections were received from the property owners at the northwest comer of 35th Avenue and Plymouth Boulevard, more specifically, the more westerly building on this property. The owners objected in part because the building doesn't have direct access to Plymouth Boulevard although there is on -street parking available on Plymouth Boulevard. He explained the history of this project, the property being assessed for previous improvements, and the request for parking bays on Plymouth Boulevard when this property was developed. He stated staff is recommending to assess this property as originally proposed. Motion was made by Councilmember Willis, and seconded by Councilmember Black, to adopt a Resolution Ordering Improvement for the Plymouth Boulevard Mill and Overlay Project (12006 Res2012-227, Resolution Adopting Assessments for Plymouth Boulevard Mill and Overlay Projeet (12006 — Res2012-228 ), Resolution Authorizing "No Parking" on Pl- ,. outh Boulevard Mill and Overlay Project (12006 — Res2012-229), and a Resolution Awarding Contract for Plymouth Boulevard Mill and Overlay Project (12006 — Res2012-230). Councilmember Johnson stated she's understands the concerns expressed by the property owners off 35th Avenue. Mayor Slavik stated she agreed, but given the fact that they requested the City to install the parking bays on Plymouth Boulevard in order that they could meet the parking requirements when the property was developed, they are receiving the benefit of the street improvement. Adopted Minutes 6 of 9 Regular Meeting of July 24, 2012 All members voted in favor of adoption of all the resolutions with the exception of the Assessment resolution where Councilmember Johnson registered a no vote. 8.02) Consider Amending Tax Increment Financing Plan for TIF District 7-8 (Quest Development, Inc.) Housing Manager Barnes stated on April 12, the Council approved the creation of tax increment financing (TIF) district on behalf of Quest Development to assist with the construction of a 157 - unit apartment complex, which provided for 40% of the units to be affordable to households at 60% of the area median income. They were awarded one grant from the Metropolitan Council for $750,000. In May, the City was informed by the developer that they could no longer provide the 64 affordable units in this project and still make the entire project work financially. The Metropolitan Council's Community Development Committee considered the developer's request to reduce the affordable units from 40% to 10% on July 16 and agreed to the amendment. The developer is requesting that the City continue to provide TIF financing in an amount not to exceed $2.5 million. Councilmember Willis stated he can't support their request at this time. Council approval of that development was based on 40% of the units being affordable, which equates to only 16 units being affordable from the proposed 64 units. Jim Waters, applicant, stated when they were approved for TIF, they were looking at a site that had been vacated over a decade, and options to develop this site were limited. This parcel has a number of issues, but they're transforming this site to a development that the City desires, which is a high visibility gateway project. They would be providing substantial expansion of the property tax base, adding well paid construction jobs, and creating affordable housing units that would otherwise not exist. He stated without tax credits you can't possibly do that level of housing. They would use the TIF for demolition of blighted structures, soil corrections, covered parking, protecting the Bassett Creek marsh by reducing storm water run off volumes, using green roof technology over part of the parking garage, and reducing the impervious surface. He requested the Council's approval of this amendment to the development. Councilmember Stein stated his concern is that the whole project was presented as an affordable housing project. He would like to look at anew application for just 10% of the units being affordable. Mr. Waters explained there is a point structure in place for low income tax units. That point structure doesn't favor this type of project. They couldn't clear the hurdle to get enough points to get seriously considered. If they present a second application, they still won't meet that threshold. It would have to be a different project and be affordable. This is substantially a redevelopment project. He stated there is a timing issue. There's a short period of time where they can construct this development, and that will expire at some point. They also have the risk of interest rates increasing, and costs are starting to escalate. If the City wants to see this property redeveloped, this project needs to proceed. If that doesn't occur, he's unsure when they could do something on this site. Adopted Minutes 7 of 9 Regular Meeting of July 24, 2012 Councilmember Wosje asked if they quantified the amounts for the removal of the structure, hotel foundation, and soil corrections. Mr. Waters replied the $2.5 million was slated for those things, not for affordable housing per say. Councilmember Black asked Mr. Waters if he currently owns the property. Mr. Waters replied no, but they do have a relationship with the property owner. Councilmember Willis stated the cost of the property should reflect the cost of demolition and soil corrections as that is a cost that should really be home by the property owner. That's a private cost, not a public cost. If the property were priced to recognize the cost that is going to be required to use the land productively, it wouldn't be near the $2.5 million. He stated that's an enormous amount of public support for 25 years for TIF. He reiterated that he's disappointed that this development doesn't help achieve the City's housing goals of 40% of the units being for low income. Councilmember Johnson stated she understands the funding is competitive, but she's glad that there would still be 10% of the units affordable. She stated for her, it's the redevelopment piece because without TIF, this site isn't going to develop. She's interested in seeing this project proceed. She noted there are other good redevelopments occurring along the Highway 55 corridor. Councilmember Black also noted her disappointment with the reduction in the affordable units. However, this property has been vacant for a very long time. She asked how this property compares with pieces of property where the City has approved TIF for redevelopment. Housing Manager Barnes replied during the last 10 years, the majority of the TIF projects were housing projects. He stated the City normally doesn't see TIF assistance on redevelopment sites, but this site is unique, as it's a housing development. Mayor Slavik stated she won't be supporting the amendment to this development for the same reasons that Councilmember Willis noted. Councilmember Wosje stated he's unsure if he's prepared to vote on this project tonight if there have been other projects that the City has approved TIF assistance for demolition, soil corrections, and improvements, so he understands what would be equitable for TIF in this case. Councilmember Johnson stated this project meets the "but for" provision in State Statutes for TIF. Mr. Waters stated they are acquiring the land for this project for less than the appraised value. He stated they will be spending more than $2 million in the parking structure alone, which is a qualified TIF expense. Adopted Minutes 8 of 9 Regular Meeting of July 24, 2012 Councilmember Bildsoe stated he supports this project as it's a good project, it satisfies the concerns that the Council had regarding the design of the building, traffic flow, etc., and there are still affordable housing units. Councilmember Wosje asked if the Council would consider tabling this to the August 14 meeting. He asked staff to provide history on TIF projects to determine if this project is equitable to other TIF projects that have had site improvements, soil corrections, etc. Councilmember Black asked Mr. Waters about the timing of this project. Mr. Waters replied timing is of essence, but he's not opposed to tabling it for two weeks if the Council needs additional information. Motion was made by Councilmember Black and seconded by Councilmember Wosje, to table this item to the August 14 meeting Staff is to provide a report to the Council as Councilmember Wosje requested above. Mr. Waters stated they would also try to outline the public benefit of this development for the Council. Councilmember Willis also requested information regarding the duration and interest rate of the TIF note. With all members voting in favor, the motion carried. Reports and Staff Recommendations There were no reports and staff recommendations. Adiournment Mayor Slavik adjourned the meeting at 8:50 p. 9 014 7 1 andra R. Engdahl, ity Clerk Adopted Minutes 9 of 9 Regular Meeting of July 24, 2012