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HomeMy WebLinkAboutCCMin_03Apr23CITY OF FALCON HEIGHTS COUNCIL MINUTES APRIL 23, 2003 Mayor Gehrz called the regular City Council meeting to order at 7:00 PM. PRESENT: Mayor Sue Gehrz, Council members Laura Kuettel, Robert Lamb, and Richard Talbot Also present: City Administrator Heather Worthington, City Attorney Roger Knutson and Deputy Clerk Mary Shea Kodluboy ABSENT: Council member Peter Lindstrom COMMUNITY FORUM: There was no commentary from the audience. APPROVAL OF MINUTES: The Council minutes dated April 9, 2003 were unanimously approved as presented. PUBLIC HEARINGS: Consider Approval of a Business Subsidy Agreement with Town Square Apartments LLC, Falcon Heights Town Square Limited Partnership and Town Square LLC Administrator Worthington said that in 2002, the City created a TIF district encompassing the two commercial parcels located on the SE Corner of Snelling and Larpenteur Avenues with the intention of providing TIF assistance to the developer of the SE Corner—Sherman and Associates. This TIF district will be a “pay as you go” district. In order to provide this subsidy, the City must have an agreement in force with the developer that spells out the conditions placed upon the parties. The agreement is required by the State of Minnesota and for audit purposes. The Public Hearing was opened to the audience for commentary. There was no commentary from the audience and the Public Hearing was closed. Council member Kuettel asked how common this type of agreement is. Attorney Knutson said that about three or four years ago, it became very common. Now you can’t do this type of development without it. This is a formality, a process issue. 15,000 SF is commercial and the rest is housing. The agreement is needed for the commercial business subsidy. Council member Lamb asked how the five-year deadline relates to the TIF District itself. Attorney Knutson said the TIF District is for 25 years maximum. Council member Lamb asked why the business subsidy agreement would only last five years. Attorney Knutson said it is a statutory requirement that a deadline be specified. It prevents conversion of that space to housing during that time. Administrator Worthington said the agreement covers just the commercial component of the development. Council member Lamb asked why the business subsidy agreement doesn’t run for the term of the TIF District. FALCON HEIGHTS CITY COUNCIL MINUTES -2- April 23, 2003 PUBLIC HEARINGS: Consider Approval of a Business Subsidy Agreement with Town Square Apartments LLC, Falcon Heights Town Square Limited Partnership and Town Square LLC (continued) Mr. Mark Ruff, Ehlers and Associates, said that could be put into the agreement but the developer might not want to agree to that because of financing. The developer might say that 25 years is too long. Attorney Knutson said that if the commercial space is not successful during the five-year subsidy period, neither the City nor the developer is going to want that space left vacant for the life of the TIF District. Council member Kuettel asked about the ability of the City or the developer to call the agreement. Attorney Knutson said the agreement does not preclude the City or the developer from calling the agreement anytime they want. Mayor Gehrz said this is the first time the City Council has been asked to approve something that contains different names. When they structure a business relationship like this, they are breaking it into pieces for financing purposes. Does any of this structure prevent the City from being able to protect the interests of the City? Attorney Knutson said that this is a “pay as you go” district. If any of the City’s ordinances are violated, it doesn’t matter who controls it. The City relies upon the letters of credit. Kuettel moved that the business subsidy agreement with Town Square Apartments LLC, Falcon Heights Town Square Limited Partnership and Town Square LLC be approved as presented. The motion was unanimously approved. CONSENT AGENDA: Mayor Gehrz asked that Consent Agenda Item F4: City Administrator Compensation Increase, be tabled this evening and continued to the May 14, 2003 Council meeting because she has not had an opportunity to discuss this item with Council member Lindstrom. Talbot moved approval of the Consent Agenda, as amended and outlined below. The motion was unanimously approved. General Disbursements through April 17, 2003 in the Amount of: $108,111.77 Payroll (4/1/03-4/15/03) $ 11,263.43 Licenses – The Council, to encourage residents to patronize local businesses, read aloud the names of the most current businesses renewing their licenses for 2003. FALCON HEIGHTS CITY COUNCIL MINUTES -3- April 23, 2003 CONSENT AGENDA (continued) 3. Reappointment of Neighborhood Commissioners – Chris Mikkelsen, Beth Duncan, Tom Brace and William Downing for one year terms. 4. City Administrator Compensation Increase – Tabled and continued to the May 14, 2003 Council meeting. POLICY AGENDA: Consider Field Rental Policy Change Administrator Worthington said that the existing field reservation policy permits rental of athletic fields by any group. This policy permits residents and non-residents to reserve fields for $10.00 a day. The low cost of field rental has made Community Park field popular with various athletic associations from throughout the metro area. This increased use means that the fields are less available for neighborhood children and resident athletic groups. An increase in fees for non-residents would raise revenue, recover cleaning and field maintenance costs, and promote field availability for Falcon Heights residents. This issue was discussed at the March 10, 2003 Parks Commission meeting and the Commissioners voted unanimously to recommend a change in the field rental price structure. One option discussed was a flat rate structure, but Commissioners felt strongly that a higher hourly rate would more effectively recover costs and promote field availability for Falcon Heights residents. Council member Kuettel, Council liaison to the Parks Commission, said the increasing cost associated with park maintenance is a factor. She would strongly recommend that this item also be reviewed before the sports season next year. A brief discussion followed. Lamb moved approval of the Community Park field rental charges for non-residents, as outlined below. The motion was unanimously approved. Field rental - $15.00 per hour for a maximum of six hours Field and restroom rental - $20.00 per hour for a maximum of six hours 3. Keep rental fees at current levels for Falcon Heights residents. A valid ID showing Falcon Heights residency shall be required to receive the resident rate. FALCON HEIGHTS CITY COUNCIL MINUTES -4- April 23, 2003 POLICY AGENDA: Consideration of the SE Corner Planned Unit Development (PUD) Administrator Worthington asked that this item be tabled this evening and continued to the May 14, 2003 Council meeting, at the request of the Capitol Region Watershed District. Staff had met with them earlier in the week about the development plans and they asked that they be given more time to study the plans and formulate recommendations. Talbot moved that this item be tabled this evening and continued to the May 14, 2003 Council meeting. The motion was unanimously approved. INFORMATION AND ANNOUNCEMENTS: Council member Talbot said that he wanted to thank the four Neighborhood Commissioners who decided to re-up for another year. Mayor Gehrz said that she had two announcements. On Thursday, April 24, 7-8:30 PM, Shoreview Community Center, there will be a meeting with elected officials and legislators from Ramsey County to discuss dealing with the deficit, mandates, expenditures, revenue generation, restructuring and consolidation. Anyone interested in participating is invited to attend. On Tuesday evening, April 29, 6:30 PM, City Hall, there will be a participatory training about how to throw super duper block parties. There will be presentations and the sharing of ideas. The training is open to anyone wishing to attend. Administrator Worthington said that on May 13, 6:30 PM, City Hall, there will be an informational meeting about the new Dino’s, which will be rebuilding where Embers is located right now. Residents and businesses in the vicinity of the SE Corner will be receiving a mailing in the near future about the meeting. The regular City Council meeting was adjourned at 7:40 PM. Respectfully submitted, Mary Shea Kodluboy Deputy Clerk