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HomeMy WebLinkAboutCity Council Minutes 01-23-1995 SpecialMINUTES COUNCIL STUDY SESSION JANUARY 23, 1995 A study session of the Plymouth City Council was held at 6:00 p.m. in the Council Conference Room of the City Center, 3400 Plymouth Blvd., on January 23, 1995. PRESENT: Mayor Tierney; Councilmembers Edson, Lymangood, and Wold. ABSENT: Councilmembers Anderson, Granath, and Helliwell. LEGISLATORS PRESENT: Representative H. Todd Van Dellen, District 3413; Representative Ron Abrams, District 45A; and Representative Peggy Leppik, District 45B. Senator Gen Olson, District 34, arrived at 7:35 p.m. STAFF PRESENT: City Manager Johnson, Assistant Manager Lueckert, Public Works Director Moore, Community Development Director Hurlburt, Park Director Blank, Public Safety Director Gerdes, and City Clerk Ahrens. Mayor Tierney convened the dinner meeting at 6:30 p.m. She explained that the purpose of the meeting was to discuss upcoming legislative issues which impact Plymouth, and to highlight other issues of interest to the City. Manager Johnson explained the issues outlined in a discussion paper (attached). The Senator and Representatives presented their viewpoints and ideas, and there was general discussion among councilmember and legislators about the 1995 Legislative session. The meeting was adjourned at 8:20 p.m. Laurie F. Ahrens City Clerk City of Plymouth 1995 Legislative Issues Affordable Housing The City of Plymouth is keenly interested in legislative proposals relating to affordable housing issues. Plymouth staff has done extensive study on affordable housing in Plymouth, and key information from this study is attached for your use. The research shows that Plymouth has quite a variety and diversity of housing opportunities, especially in comparison with other similar cities. The legislative debate on affordable housing has sometimes seemed to imply that some developing suburbs are not contributing their fair share in solving the problems of poverty in the region. Recent studies show that Plymouth makes a net contribution of $5.8 million per year in fiscal disparities and contributed $10.3 million per year more to the Local Government Trust Fund than it received in state aid in 1993. These figures relate only to City revenues, and do not take into account school aid formulas, which are similarly disproportionate. Plymouth is interested in being a responsible participant in solving the problems of poverty in the metro area, and believes the solutions must encompass the following principles: The existing contributions of our taxpayers to metro and statewide revenues should be acknowledged and considered. The solution should not have the direct or indirect effect of raising property taxes on Plymouth residents. Incentives should be used to encourage the market place and cities to accept affordable housing rather than mandates and penalties. The solutions should maintain the ability of the community to create and maintain jobs, many of which would be otherwise lost to the metro area. The solutions should focus on all of the causes and effects of poverty, not just the housing component. Action Requested: Receive the information developed by the City and keep the City informed of affordable housing initiatives. Staff Contact: Ed Goldsmith, HRA Supervisor, 550-5047 Metropolitan Land Planning Act Amendments Amendments will be introduced in 1995 to the Metropolitan Land Planning Act (MLPA), which governs adoption and amendment of local comprehensive plans and their review by law, but would encourage legislators to provide more realistic guidelines for its application. Action Requested: Change the Gifts Law to establish a realistic dollar threshold. Staff Contact: Kathy Lueckert, Assistant City Manager, 550-5013 Ice Arena Grant Program The 1994 Legislature established the Minnesota Mighty Ducks Ice Arena Task Force. Chaired by Representative Robert Milbert, the task force has members from across the state and has examined the need for ice arenas state-wide. The Might Ducks Task Force has concluded that Minnesota is short 30 - 50 indoor ice sheets. The Minnesota Mighty Ducks Ice Arena Task Force will propose legislation to assist Minnesota communities in developing a minimum of 20 new indoor ice sheets. The plan calls for a state-wide grant program in the amount of $250,000 during the next biennium. The Plymouth -Wayzata -New Hope -Maple Grove areas are short at least two ice facilities to meet the current demand. The City of Plymouth supports the Mighty Ducks legislation and the grant program it would establish. Action Requested: Support Mighty Ducks legislation, in particular grant funding, to help build indoor ice arenas. Staff Contact: Eric Blank, Park and Recreation Director, 550-5131 Property Tax Law Changes For several years, there have been proposals to change the funding mechanism for schools from the property tax to some other source. While the City does not receive any LGA funds, some of these proposals would substantially affect our HACA aid (currently $1.8 million per year). It is important that any new school funding mechanism provide a more reasonable property tax burden for our residents and that cities be provided with a viable transition plan which might include alternative local revenue options, and a revised Truth in Taxation statement. Action Requested: Keep the City informed of any pending property tax law changes, support the principles regarding change noted above. Staff Contact: Dale Hahn, Finance Director, 550-5101 A growing property rights movement has indicated that it will be advocating repeal of the state wetlands conservation act. The Board of Water and Soil Resources is looking at a variety of changes to the act, including 1) relating protection to wetland classification 2) giving credit for wetland improvement, buffer creation and wetland type conversion, and 3)instead of requiring 2:1 wetland replacement, providing credit for buffers as replacement beyond 1:1, etc. Major changes in the law or its repeal would have an impact on Plymouth's new wetlands ordinance, because much of our new local ordinance is coordinated with the existing law. Plymouth believes it has used a creditable methodology to classify its wetlands and is requiring buffers. An information sheet on Plymouth's Wetlands Ordinance is attached for your information. Action Requested: Oppose major changes in the Wetlands Conservation Act which would undermine our new ordinance, and keep the City informed of legislative proposals for change in the Wetlands Conservation Act. Staff Contact: Barbara Senness, Planning Supervisor, 550-5052 Transit Funding Plymouth has been an "Opt Out" community for many years. Our transit system, known as Metrolink, has two components, a fixed route commuter service and a Dial -a -Ride service. The City is concerned about any proposals to replace the Regional Transit Property Tax with a Regional Sales Tax, which would eliminate funding for "Opt Out" transit systems. The City is also concerned about any efforts to eliminate "Opt Out" systems altogether and roll these operations into the Metropolitan Council Transit Organization (MCTO). Action Requested: Oppose any legislation adversely impacting "Opt Out" systems. Staff Contact: John Sweeney, Assistant City Engineer, 550-5072 Modifications to the Gifts Law During the 1994 legislative session a law was passed which prohibited gifts to local elected and appointed officials. While the intent of the law is good, its application in "the real world" is troublesome. Adhering to the letter and spirit of the law has led to unintended consequences and expenses for elected and appointed officials alike. For example, during the National Night Out event last summer, the City had to obtain a legal opinion that city officials visiting neighborhood groups could wear "DARE" tee-shirts and eat the food offered to them. The City of Plymouth agrees with the philosophy behind the Municipalities (AMM) committee that is reviewing the changes. The amendments will probably require that cities update their comprehensive plans periodically, and may expand the range of issues that must be included in the plans. Plymouth is committed to keeping its plans for future development up to date. However, while it is possible that some of the changes in the MLPA may be beneficial, the legislation is likely to impose additional costs to Plymouth and to all cities in the region. It appears from early drafts of the legislation that no financial support to the cities will be provided in order to carry out these new requirements. Even cities that have in-house planning staff will find it difficult to carry out the additional planning without some assistance. Support in the form of grants or loans should be included if the legislation is passed, to avoid creating another unfunded mandate. Action Requested: Support grant or loan funding to localities for any changes to the Metropolitan Land Planning Act. Staff Contact: Anne Hurlburt, Community Development Director, 550-5059 Highway Funding and System Improvements Several major metropolitan highways are located in Plymouth: highways 55, 169, and I- 494. All of these corridors experience congestion within the City. Plymouth residents depend on these highways for mobility, and they also have significant effects on our local street system. Drivers looking for alternative routes are increasing traffic on residential streets, which has become a major concern for Plymouth residents. Plymouth seeks a high priority for projects to improve the corridors in the city, especially highway 169. Action Requested: Support actions and policies which will alleviate the congestion on our major highway corridors. Reassess the statewide funding levels for highways and base funding levels on highway use and congestion. Staff Contact: Barbara Senness, Planning Supervisor, 550-5052 Amendments to the Wetlands Conservation Act Legislation amending the Wetland Conservation Act (WCA) is expected to be introduced in 1995. Plymouth recently adopted a wetlands protection ordinance which incorporates the requirements of the WCA, and further protects wetlands through requiring buffers and setbacks from wetlands. Adoption of this ordinance took nearly a year of extensive research, development, and public input. All wetland basins were inventoried and rated for function and value. The new ordinance demonstrates that environmental protection is a very high priority for Plymouth. 2000 1800 1600 1400 1200 1000 800 600 400 200 0 Low Income Households that Paid More than 30 and 50 Percent of Their Income for Housing 30% of 31-50% of 51-80% of Median Median Median Income Level Paid >30% paid >50% ® Households Source: HUD CHAS Databook, 1990 Affnrdahlp Anncine TT ue 4.. v_ --__L _. Income Level Total Housing Number of Shortage/Surplus Special Units Households of Units0-30% of Median Income 214 752 31-50% of Median Income 473 744 538- 51-80% of Median Income 3,876 1,971 271 Qnnrrp- M Tn OLr A Q 1,905 Publicly-SUP13orted Affordable Housin its Program/Development Units for Units for 50% of < 60% of Median Median Income Incomp HRA UNITS Section 8 Certificates Section 8 Vouchers Plymouth Towne Square Housing Rehabilitation Scattered Site Homeownership First Time Homebuyer Program Non-profit Homeownership Non-profit special Needs Housing Subtotal NON -HRA AFFORDABLE HOUSING Housing Revenue Bonds for Multi -Family Rehabilitation Section 8 New Construction Housing Finance Aeenev nrnamme Low Income Tax Credit development to be built Units for Units for TOTAL 80% of Special Median Needs Income Individuals Affordable Housing in Plymouth The Housing Stock: There were 19,616 housing units in Plymouth in 1990. Seventy-four percent were owner -occupied units and26percentwererentalunits. The mix of housing types available in Plymouth became more varied during the 1980s. The proportion of non -single family detached housing increased from 33 percent to 40 percent. At the time of the U.S. Census, nearly half of all housing units in Plymouth (9,297 units) had been built during the 1980s. Only 4 percent of the housing units were built prior to 1950. This high proportion of newer units is a major reason why the cost of housing in Plymouth is above average. Housing Cost and Affordability Plymouth's 1990 median housing value was $127,400, compared to $87,400 for the Twin Cities. The median rent in 1990 was $611, compared to $479 for the Twin Cities. In 1990, 75 percent (563) of Plymouth households with incomes 30 percent of median income or less paid more than 30 percent of their income for housing. Sixty-eight percent (509) of the households at this incomelevelpaidmorethan50percentoftheirincomeforhousing. Seventy-six percent (564) of Plymouth households with incomes from 31 to 50 percent of median income paid more than 30 percent of their income for housing. Thirty-six percent (265) paid more than 50 percentoftheirincomeforhousing. There is a shortage of housing affordable to households with incomes less than 50 percent of median income. There is, however, a surplus of units affordable to households between 51 and 80 percent of medianincome. Despite this "surplus", 52 percent (1,030) of households at this income level paid more than 30 percent of their income for housing. This mismatch occurs because households with higher incomes live inunitsforwhichtheypaylessthan30percentoftheirincome. In total, there are 6,901 housing units affordable to households earning less than 80 percent of median. Public -Sector Housing Activities: The City has used 74 percent ($2.4 million) of its Community Development Block Grant (CDBG) funds for housing activities. These funds have assisted 304 units through the Housing and Redevelopment Authority'sHRA) Rehabilitation and Homeownership Programs, grants to non-profit developers, and the pre - development costs of senior citizen housing. With CDBG and other funding sources, the HRA has spent $9.46 million on housing since 1975. In October 1994, the first subsidized apartment building for senior citizens was completed. The ninety-nineunitbuildingprovidessubsidizedhousingforseniorcitizens, with priority given to applicants whose incomes are at or below 50 or 80 percent of median income. Plymouth Towne Square is financed, owned, operated and subsidized by the HRA with local funds. Rents are subsidized by the City through $275,000 inpropertytaxesleviedeachyear. The City is currently negotiating assistance for 64 units of private rental housing to serve households withincomesupto60percentofmedian. Adding up all publicly -supported housing activities in the City, 760 units of affordable housing in the Cityhavebeenassistedwithpublicfundssince1975. Issues and Barriers: Current land and building prices make the cost of developing new, affordable single family housingprohibitive. The shrinking supply of vacant land within the Metropolitan Urban Service Area (MUSA), market demand, and environmental restrictions are likely causes of the higher land and housing costs. Vacant land outside of the MUSA is a potential resource for the development of new affordable housing. The City is examining local requirements that may inhibit affordable housing development and will be considering making changes to these requirements as it updates its land use plans in 1995. To meet the housing needs of residents and employees in the present and future, a community needs toprovidehousingchoicethrougharangeofhousingtypesandprices. This policy requires that publicresourcesbeavailabletofosterthedevelopmentofaffordablehousing. For further information on housing affordability in Plymouth, contact Ed Goldsmith, HRA Supervisor, at 550-5047. Railroad Crossings For several years the City has been working with CP Rail (formerly the Soo Line) to construct crossing controls at a track crossing along a busy street, Pineview Lane. The City has offered to pay the full cost of installing the crossing device. CP Rail promised to have the device installed by October 1994, but there are still no crossing devices. Plymouth's experience indicates a need for legislation which would compel the railroad to construct crossing controls within a set period of time if the cost of the devices is borne by the requesting jurisdiction. Action Requested: Sponsor legislation to compel railroads to construct crossing controls within a set period of time if the cost of the devices is borne by the requesting jurisdiction. Staff Contact: Fred Moore, Public Works Director, 550-5080 WETLAND PROTECTION ORDINANCE On January 3, 1995, the City of Plymouth adopted a wetland protection ordinance. This ordinance was developed over roughly a one year period with substantial input from residents, developers, public agencies and experts in the field. The ordinance incorporates by reference the Wetlands Conservation Act of 1991 WCA) and any future amendments adopted by the State Legislature. In addition, it regulates the use of lands surrounding wetlands by requiring buffer strips to protect wetland shorelines from erosion, while serving to filter sediment, chemicals and other nutrients before storm water discharges into the wetland. Buffer strips are also beneficial in providing habitat for wildlife. The wetland ordinance affects only new development in the City. However, the City Council has recognized the importance of also addressing water quality in the developed portions of the City and will be identifying appropriate measures for protecting wetlands in these areas in the surface water management plan scheduled for completion by the end of 1995. The ordinance establishes four classifications of wetlands, based on their functions and values. The WCA does not currently differentiate among wetland classes, but changes to the legislation proposed by the Wetland Heritage Advisory Committee would add this feature at the state level as well. The ordinance establishes two sets of standards for wetland buffer strips and setbacks. The basic standard applies to structures, roadways and trails in all zoning districts. It establishes average buffers of 75 feet for exceptional quality wetlands, 50 feet for high quality, 30 feet for medium quality and 15 feet for low quality wetlands. The ordinance establishes a 15 -foot structure setback from buffer strips, regardless of the quality of the wetland. The City has also developed alternative buffer strip standards that may be applied where the physical characteristics of a parcel of land may necessitate narrower buffer strips to allow for reasonable use of the land. The ordinance establishes standards roughly one half the size of the basic standards. This is a unique element of the City's ordinance. It strengthens the ordinance because in these instances an applicant must both show how the subject parcel meets the standards for narrower buffers and design extraordinary management measures that at least duplicate the performance of the standard buffer. It also strengthens the ordinance legally in that it provides an additional option in cases that might otherwise result in a taking. Another relatively unique element of Plymouth's ordinance is that it establishes buffer strip vegetation performance standards. The ordinance sets out planting and maintenance requirements for buffer areas that are not vegetated or have been cultivated or otherwise disturbed within 10 years of permit application.