06-06-2018 Workshop Minutes - Laserfiche WebLink

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MINUTES CITY COUNCIL WORKSHOP JUNE 6, 2018 make investments that significantly lower their energy usage with a finance option that in most cases is more than covered by the amount saved on utilities. Mr. Klein reported that Suite Living Little Canada has applied for the MinnPACE (Property Assessed Clean Energy) Program. He explained that the St. Paul Port Authority would enter into a joint powers agreement with the local government entity and the building owner decides on projects to reduce energy. He stated that there is no risk to the City. He noted that the mortgage holders must also agree to this since it is a primary lien. Mr. Klein stated that senior housing properties are a newer niche that is now being funded with the PACE program. Suite Living would be funded by the private sector in this case. This project would be a win for everyone involved and Suite Living would install more efficient equipment. Mr. Klein noted that Premier Bank will be the mortgage holder for this project and they have signed off on several of these PACE projects. He explained that an assessment would be certified to the property for no more than 20 years. If the Council is supportive, the Port Authority would send a letter to the City asking for Council approval of the assessment to be placed on the property. The joint powers agreement is simply an agreement with the City to have the Port Authority administer the PACE program. Mr. Klein stated that Suite Living's project would cost $1,125,000 with a 20 -year payback at a fixed interest rate around seven percent. There was Council consensus to approve the joint powers agreement and assessment request when the documents are approved. Mr. Bruce Bahneman, Avison Young, stated that he has met with Uldis Erdmanis, owner of Buck Blacktop, who is looking to sell his property at 32 South Owasso Boulevard. He explained that he spoke to the City Planner and was told that the property is currently zoned I -P, Industrial Park, which does not allow much outdoor storage. He noted that outdoor storage is very important to most industrial businesses. Mr. Harrison Wagenseil, a broker with Standard Commercial, stated that he is representing an industrial property in White Bear Township, and got a call from the On -Site Sanitation owner who is still looking for land because they need more space. He noted that the On -Site owner indicated they would comply with the City's zoning and want to build a new 30,000 square foot building. Mr. Bahneman stated that On -Site would need outdoor storage, which means the property would have to be rezoned to I-1, Light Industrial. He stated that he is here tonight to ask the Council for feedback about this user and would they considered rezoning this property. McGraw stated that he is not sure what kind of screening that would be acceptable and protect surrounding properties, but is still affordable to On -Site. 2