HomeMy WebLinkAboutCC MINUTES 08222000 Meeting Sheet
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Folder: CC MINUTES AND AGENDAS 2000
Document: CC MINUTES 08222000
I CITY OF ST. ANTHONY
:0 CITY COUNCIL REGULAR MEETING MINUTES
3 August 22, 2000
4 I. CALL TO ORDER.
5 Mayor Cavanaugh called the meeting to order at 7:00 p.m.
6 II. PLEDGE OF ALLEGIANCE.
7 Mayor Cavanaugh invited the Council and the audience to join in the Pledge of Allegiance.
8 III. ROLL CALL.
9 Councilmembers present: Mayor Cavanaugh; Councilmembers Sparks, Thuesen, Horst, and
10 Hodson.
11 Councilmembers absent: None.
12 Also present: City Manager Michael Momson; City Attorney William Soth.
13 IV. APPROVAL OF AUGUST 22,2000 CITY COUNCIL REGULAR MEETING AGENDA.
14 Motion by Sparks to approve the August 22, 2000 City Council Regular Meeting Agenda as
15 presented.
6 Motion carried unanimously.
17 V. PROCLAMATIONS AND RECOGNITIONS.
18 A. Jim Nelson from the Metropolitan Council will present the Cily with a plaque for
19 participation in Livable Communities._ : - .
20 Mayor Cavanaugh recognized Metropolitan Council Commissioner Jim Nelson who represents
21 the City of St. Anthony.
22 Jim Nelson, Metropolitan Council,presented Mayor Cavanaugh with a plaque in appreciation of
23 their participation in Livable Communities and commented on the importance of providing a
24 liveable community and the need for.careful planning. He urged the Council to carefully
25 consider these issues and offered the assistance of the Metropolitan Council's staff.
26 VI. COMMUNITY FORUM.
27 Mayor Cavanaugh asked for input from the audience for items that are not on the regular agenda.
28 Mary Rockwood, 3404 Silver Lake Road, advised of the great opportunity for residents to
29 participate in developing a St. Anthony Community Concert Series. She announced the concert
30 series will begin September 28, 2000 and advised of their schedule,ticket prices, and where
31 tickets can be purchased. George Rockwood presented the Mayor and Councilmembers with
32 concert tickets that are for sale. Ms..Rockwood urged the community to participate in this very
33 important event.
f4 Mayor Cavanaugh extended his appreciation to Mary Rockwood for her work towards this
35 effort, which has-been undertaken almost single-handedly. All in attendance displayed their
, t
City Council Regular Meeting Minutes
• August 22, 2000
Page 2
1 VII. CONSENT AGENDA.
2 Motion by Sparks to approve the Consent Agenda for the August 22, 2000 City Council meeting,
3 which consisted of-
4 1. City Council Meeting Minutes of August 8, 2000;
5 2. Licenses and Permits; and
6 3. Claims.
7 Vote: Councilmembers Horst, Sparks, Thuesen and Mayor Cavanaugh voted aye. Councilmember
8 Hodson abstained due to his absence at the August 8, 2000 meeting.
9 Motion carried.
10 VIII. PUBLIC HEARINGS.
11 None.
12 IX. GENERAL POLICY BUSINESS OF THE COUNCIL.
13 None.
X. REPORTS FROM COMMISSIONS AND STAFF.
MI5 A: En ink Items:
ems:
16 1. Resolution 00-069, re: Award bid for Harding Lift Station and Resolution 00-077,
17 re: Award bid for Force Main Construction.
18 City Manager Mornson reviewed the three resolutions that are under consideration by the
19 City Council tonight and the purpose of each.
20 Mayor Cavanaugh requested a report'from Todd Hubmer of WSB. Mr. Hubmer
21 presented the bids that were received for the lift station improvements at Harding Avenue
22 and the forcemain improvements. He advised that Great Western Corporation submitted
23 the lowest bid in'the amount of$64,744 for the lift station improvements, and
24 MinnComm Utilities Construction submitted the lowest bid in the amount of$60,190 for
25 the forcemain improvements "Mr. Hubmer recommended approval of the low bids to
26 complete the improvements.
27 Thuesen asked if the bids were competitive. Mr. Hubmer reviewed the bids, noting there
28 was quite a wide range.
29 Motion by Thuesen to approve Resolution 00-069, a Resolution Awarding a Contract to
30 Complete Harding Street Sanitary Sewer Lift Station improvements and Resolution 00-
31 077, a Resolution Awarding a Contract'to Complete Harding Street Sanitary Sewer
City Council Regular Meeting Minutes
August 22, 2000
• Page 3
1 Forcemain Improvements.
2 Motion carried unanimously.
3 2. Resolution 00-070, re: Decorative Ligh`g,
4 Mr. Hubmer reviewed the work of the Planning Commission to obtain public input to
5 select decorative lighting for the Village of St. Anthony which included a display during
6 VillageFest and a public forum where invitations were mailed to residents along MSA
7 streets. The results of those events were presented to the Planning Commission on
8 August 15, 2000 and following discussion, the Planning Commission recommends that
9 black colored Vernon fixtures be adopted as the standard fixture for municipal state aid
10 streets and that the shoebox fixture be utilized at intersections or areas where the
11 decorative fixtures do not supply ample light to meet lighting requirements. Mr. Hubmer
12 advised that the City of Minneapolis,selected the Lantern fixture and the Planning
13 Commission felt the lighting fixtures;in St. Anthony should be a bit different. In
14 addition,there were concerns by residents about light pollution. He commented on the
15 Dark Sky movement that is underway and desire to not emit lights upward into the
16 atmosphere. Mr. Hubmer notedthe lantern fixture on display in the Council Chambers,
17 advising it was the second most efficient fixture available from NSP. He explained the
18 light is actually within the.top;of the fixture and is directed downward via lenses and
reflector.
20 Horst asked if this is a standard fixture with economies or what the cost is above the
21 standard fixture. Mr Hubmer stated the Vernon fixture is about$500 more per fixture
22 than the lantern selected by the City of Minneapolis. He presented the costs for the eight
23 fixtures styles considered and advised that there is an economy of scale with the fixture
24 being recommended and the costs may be reduced further since it is one of the most
25 popular NSP fixtures and they are beginning to warehouse them.
26 Horst stated his understanding there werelo be no assessments to residents for these
27 fixtures and he wondered if that was still possible based on the higher cost. Mr. Hubmer
28 stated the cost of the Vernon,fixture remains in line with the cost estimates presented to
29 the Council last fall.
30 Thuesen stated he shared the same concern after reviewing the Planning Commission
31 minutes. He stated his support to hold to that standard while achieving this type of
32 decorative lighting.
33 Cavanaugh noted the policy specifically includes decorative lighting to be installed only
34 during reconstruction projects.
35 Mr. Hubmer stated staff will work with NSP to create a lighting plan which will develop
ilN _
City Council Regular Meeting Minutes
August 22, 2000
Page 4
1 lighting standards, amount of light desired, spacing, and costs. Horst asked if the City
2 will financially subsidize the lighting-plan. Mr. Hubmer stated it had been discussed that
3 the City's assessment policy has a 65%'City/35%resident split which may be a
4 consideration should lighting be petitioned. Mr. Hubmer stated they anticipated using
5 MSA funds to make up a portion of the lighting budget and there are other options such
6 as splitting the additional,cost ion the 65%/35%basis. He noted the money.is in hand for
7 the 26th Avenue project.
8
9 In response to Sparks, Mr. Hubmer displayed pictures of.several contemporary-style
10 lighting fixtures that were considered.
11 The Council concurred to revise the resolution to include the Vernon fixture in a black
12 color.
13 Motion by Hodson to approve Resolution 00-070, a Resolution Adopting Decorative
14 Lighting Standards for Municipal State-Aid Streets.
15 Sparks stated her appreciation;for,the-large amount of public input received on this issue
16 and thanked staff for their..effort.
Motion carried unanimously.
19 3. Resolution 00-076,re: Evergreen Land Survey to conduct appraisals and
20 negotiate for Hardin flood mitiization.
21 Mr. Hubmer stated the proposed resolution would hire Evergreen Land Services
22 Company to conduct appraisals and negotiate for Harding Street easements for the storm
23 water improvement project. He explained the estimated costs involved for appraisals are
24 a little higher than in the past but noted the critical nature of these appraisals for the
25 completion of this project.
26 Hodson asked if staff believes this is one of the best appraisers available, noting the
27 importance of assuming theappraisals include all of the needed information. Mr.
28 Hubmer stated the appraiser comes highly recommended and reviewed the other
29 controversial projects this appraiser has been involved with.
30 Mayor Cavanaugh asked if residents have been notified of the schedule. Mr. Hubmer
31 stated residents were informed of the meeting tonight and some have indicated a need to
32 know where the boundaries are before proceeding. He stated those boundaries will be
33 surveyed and staked in the field so the appraiser can talk with the land owner and explain
34 the area under negotiation.
35 Motion by Thuesen to approve Resolution 00-076, a Resolution Authorizing Appraisal
r
City Council Regular Meeting Minutes
August 22, 2000
• Page 5
1 and Acquisition Services for Properties Relating to Flood Mitigation in the City of St.
2 Anthony.
3 Motion carried unanimously.
4 B. Planning Commission Issues df Auizust 15, 2000 meeting.
5 1. Resolution 00-071,re: Sign variance request by MgWhy's Service Center, Inc.,
6 for 3501-29th Avenue NE.
7 Mayor Cavanaugh invited Doug Bergstrom,Chair of the Planning Commission,to
8 address the Council. Mr. Bergstrom-reviewed for the Council the public hearings held by
9 the Planning Commission at their August 15,2000 meeting, noting the minutes from that
10 meeting are in abbreviated summaryform rather than in a detailed verbatim form. He
11 reviewed their consideration of this request for a variance to replace a business sign at the
12 Murphy's Service Center gas station located at 3501 - 29th Avenue NE, .and
13 recommendation for approval as the criteria for a variance consideration exist.
14 Motion by Horst to approve'Resolution 00-071, a Resolution Relating to a Request for a
15 Sign Variance for 3501 -.20t1 'AAvenue NE.
Mayor Cavanaugh asked if this sign will be lit with flood lights 24-hours a day. Richard
Graff, applicant, stated the new sign will be lit from the interior 24-hours a day as it will
18 provide a measure of security. He stated there will be no spotlights on this sign but
19 currently there is a floodlight on the driveway sign.
20 Motion carried unanimously.
21 2. Resolution 00-072, re: Subdivision/plat by Village North LLP and Apache
22 Animal Medicine.
23 Mayor Cavanaugh stated his understanding that all three of the next considerations hinge
24 on the issue of parking. Mr.-Mornson suggested Mr. Bergstrom present all three cases
25 and then the issues can be-considered separately.
26 Mr. Bergstrom reviewed for the Council that the first consideration related to replatting
27 the property from two lots into three lots to expand the Animal Clinic lot, decrease the
28 Industrial Custom Products lot, and create a new lot on the other side of the Industrial
29 Custom Products lot. He presented a map to better explain the new lot configurations.
30 Mr. Bergstrom stated Mr. Hubmer determined the utility line on the east side would
31 benefit from a dedicated City easement.and a 10 foot easement will be created for the
32 City between Lots 1 and 2. The Plannirig Commission recommends approval subject to
33 two conditions relating to the easements.
City Council Regular Meeting Minutes
August 22, 2000
Page 6
1 Mr. Bergstrom stated the second public hearing related to the parking which, in the
2 Industrial zone, is based on"head counts" in the building. He noted that can fluctuate
3 quite a bit depending on the tenants but if the parking requirements are based on square
4 footage, it would be more consistent. Mr. Bergstrom advised that the applicant was
5 asked if he could acquire.property from the railroad but after negotiations it is not yet
6 known if he can acquire it. Therefore, since he does not own the property., it could not be
7 included in the parking calculations. Mr. Bergstrom stated a lengthy discussion was held
8 with the Planning Commission including the light industrial parking requirements of
9 other cities but it is difficult to determine what the appropriate parking requirement
10 should be. He stated they reached a conclusion that even after research that".right
11 number"may not be known so they recommended approval of the rezoning subject to a
12 condition to change the square footage from 1,000 to 800 and recommendations of the
13 City staff and City attorney.
14 Mr. Bergstrom stated the third consideration was a rezoning of Apache Animal Medicine,
15 which is currently not zoned,to Commercial and the Industrial Custom Products parcel
16 rezoned to Commercial to be,consistent with the newly created parcel. The Planning
17 Commission recommends;approval of the rezonings based on positive findings of fact.
18 Hodson questioned the parking element and if that is something which could be dealt
with via a variance. *Mr. Bergstrom stated the application submitted was to amend the
Zoning Ordinance which is what the Planning Commission acted on. He stated the
21 Planning Commission shares the concern about a"global"consideration.
22 City Manager Morrison noted the resolution indicates going to 1,000 square feet but the
23 meeting minutes indicate 800 square feet. Mr. Bergstrom corrected that the minutes are
24 correct and the recommendation is for.800 square feet.
25 City Attorney Soth explained that a variance consideration is not appropriate since to
26 grant one, a hardship must.be,found which includes the ability to make reasonable use
27 without the variance. He noted;.this property has been put to a reasonable use for many
S rya,_:
28 years so that finding could not be met. He stated the applicant is making a case that 350
29 square feet creates a parking requirement that is unusually high, although it is the same as
30 New Brighton. In this case, the building has about 72,500 square feet of floor area
31 requiring over 260 parking spaces and the question is whether this type of property needs
32 260 spaces. Using 1,000 square feet, it would require 72 parking spaces and the Planning
33 Commission determined that something in between those numbers (800 square feet) is a
34 better number.
35 Mr. Bergstrom stated the current ownersl'ease and use of the railroad property so there is
36 ample area for parking if the railroad proerty can continue to be used. However, that
,
City Council Regular Meeting Minutes
August 22, 2000
Page 7
1 property is not in their ownership so it could not be considered by the Planning
2 Commission.
3 Thuesen inquired regardin"4h6;recommendation by City Attorney Soth at the Planning
4 Commission. City Attorney Soth stated he recommended the City change the ordinance
5 to eliminate the process of counting employees and that the number be changed.
6 Ken Solie, applicant, stated the issue of impact to other properties is a valid one. He
7 displayed the City's zoning map, noting the light industrial area is fullydeveloped so
8 changing the parking requirement shouldnot be an impact. He suggested.the parking
9 deals with the use of the building and is a self-limiting issue.
10 Sparks asked if a solution is to buy property from the railroad. Mr. Solie stated they
11 currently lease a strip of land behind their building from the railroad for about$6,000 per
12 year. It is about 55 feet deep, leased until 2003, and then it will be renewed. To
13 purchase the land, the cost would be approximately $200,000. He noted they have
14 adequate parking, even without;the added railroad land.
15 Cavanaugh asked if the present lease arrangement cannot be considered in the parking
16 requirements. Mr. Soth stated Mr. Solie does not own the land so it cannot be considered
and the current parking situation is in compliance since it is grandfathered.
AW
18 Cavanaugh expressed concern about-considering an ordinance amendment for this one
19 property, noting this property will be in compliance until 2003 and then the lease will
20 probably be renewed. Mr. Solie stated'his belief that they have adequate parking and
21 reiterated that all of the other light industrial land is developed so there will not be a
22 similar request for the development of.a.light industrial property.
23 City Attorney Soth recommended the Council fust deal with the parking ordinance.
24 3. Resolution 00-073 and Ordinance 2000-008. re: Zoning ordinance amendment
25 relating to parking requirements in LI Districts(only one reading is required).
26 Sparks expressed concern with considering an ordinance amendment without additional
27 research and study or knowledge of implications for St. Anthony. Mr. Bergstrom stated
28 the Planning Commission did discuss those issues at some length but determined that
29 even after study, it would be difficult to determine what that exact"right number"would
30 . be. He noted that the allowed uses do not compare to what is allowed by other cities in
31 their light industrial districts. Another,point is that there are other administrative
32 measures the City has at its control.
33 Mr. Solie noted the City has an Occupancy Permit procedure which can be used to
34 restrict a business that is over.parking. He suggested that the recommended number of
City Council Regular Meeting Minutes
August 22, 2000 ". :
• Page 8 ;
1 parking spaces may be arbitrary but is considered to be reasonable by other cities.
2 Cavanaugh stated his preference to have rationale for selecting the square footage
3 number. He stated it looks like bad planning to arbitrarily pick out the number 800
4 without having a solid basis to make that consideration so he isnot comfortable with the
5 process used.
6
7 Hodson stated he understands the argument of Mr..Bergstrom about how much study
8 would be needed to gain quantitative data to gain that rationale. -He-stated he is
9 comfortable with the Planning Commission recommendation of 800 square feet:-
10 Morrison reviewed the history of this business,noting it is grandfathered and there is a
11 long history with the railroad lease that.extends back farther than Industrial Custom
12 Products. He stated staff could look at,the three industrial areas to determine what the
13 existing parking ratio is currently. However,those areas were built prior to the City
14 having any industrial restrictions in place and are all grandfathered.
15 Motion by Hodson to approve Ordinance 2000-0008, an Ordinance Relating to Zoning;
16 Amending Section 1650.05, Subd. 1(e)(7) of the City of St. Anthony Code of Ordinances
17 with 800 square feet.
0 Vote: Councilmembers Hodson, Horst, Thuesen and Mayor Cavanaugh voted aye. Councilmember
19 Sparks voted nay.
20 Motion carried.
21 Motion by Horst to approve Resolution.00-072, a Resolution Relating to a Joint Request
22 for a Subdivision/Preliminary Plat Approval for 280.1 and 2501 - 37th Avenue NE.
23 Motion carried unanimously.
24 4. Resolution 00-074 and Ordinance 2000-09,re: Rezoning request by Apache
25 Animal Medicine for portion of 2801 - 37th Avenue NE from LI to C and a.
26 rezoned railroad parcel to C (only one reading, is required).
27 Mr. Morrison noted this consideration is contingent upon recording of the final plat.
28 Motion by Horst to approve Ordinance 2000-0009, an Ordinance Relating to Rezoning.
29 Motion carried unanimously.
30 Mayor Cavanaugh called a recess at 8:20 p.m. The meeting was reconvened at 8:25 p.m.
City Council Regular Meeting Minutes
August 22, 2000
Page 9
1 C. Hillcrest (Apache)Project Items:
2 1. Resolution 00-066',,-'i&e Preliminga and Final Development Plans for Apache
3 Plaza property.
4 Mayor Cavanaugh stated this item has been before the Planning Commission and Council
5 since January and the consideration tonight is approval of the development plans and
6 rezoning to a PUD which will allow the community and developer a measure of
7 flexibility. He stated he has received a request from Mr. Shardlow, Mr. Tankenoff, and
8 the community to speak. He invited John Shardlow, DSU, to speak first noting the
9 Council can ask questions during any,of the presentations.
10 Mr. Shardlow presented the latest revisions as detailed in Mr. Gleekel's August 17, 2000
11 letter to the City, revised Exhibits A, B, O and P. He advised the applicant has agreed to
12 upgrade the baseline facade treatment to be Exhibit I which is a higher quality exterior
13 finish than previously agreed to.
14 Scott Tankenoff,managing partner of Hillcrest Development, distributed a letter
15 indicating Liberty's interest in the project. He advised that Liberty has met with City
16 staff to present their company's history and goals.
Paul Malone, Liberty Vice President of Planning& Research, introduced himself and
Liberty, explaining they offer checks but the larger part of their business is to provide
19 Internet website hosting, Internet banking, and marketing services to credit services. He
20 advised of their current office space,number of employees, and need to expand their
21 corporate offices. He stated they believe.St. Anthony would be a great geographic
22 market in a good employee market. Mr. Malone stated the image they cast to their
23 customers is very important as being professional, capable, and a good value. In that
24 effort, a remodeling of Apache Plaza to reuse existing buildings and not contribute to
25 sprawl is supported by their corporate image. He stated they have been negotiating a
26 lease with Hillcrest since February but cannot sign a lease until the plans are furthered
27 through a PUD process. However, they have drafted a letter of understanding with only
28 two outstanding business issues so he expects, if approved, they will sign a lease within
29 several weeks and take occupancy as soon as possible.
30 Thuesen welcomed Mr. Malone and stated it is important for the Council and community
31 to meet a possible entity for this site. He asked questions of Mr. Malone with regard to
32 the level of quality and aesthetics of tle,-building,where Liberty sees themselves in the
33 future as a long-term tenant at this site, and what happens should the check market fail.
34 Mr. Malone stated it would be important for their building to be viewed as an attractive
35 building and advised that concern was raised by corporate officers that the other users
36 along Silver Lake Road may,detract to their building so they would prefer to have a
37 building that is visually separated from other current uses. He explained that if all the
City Council Regular Meeting Minutes
August 22, 2000
Page 10
1 Internet banking should not occur as predicted, their check business will survive and they
2 believe it will be a good and"profitable business for them for years to come. Mr. Malone
3 commented on the structure of credit unions as a non-profit entity and struggle to
4 compete with large banks in bringing services to their clients. He explained how they
5 have determined a strategy to work with credit unions to assist them in marketing
6 products to their clients. Mr. Malone advised that Liberty is privately owned, has turned
7 down several offers for purchase, and is in the process of devising a plan to sell the
8 company to the employees upon the owner's death. -He stated while they are planning
9 very carefully, no one can guarantee.the longevity of a business. Thuesen stated it
10 appears Liberty has made an effort to`diversify.
11 Horst asked if Liberty will have significant input on what happens with the rest of the
12 development related to outside appearance and other tenant mix. Mr. Malone stated they
13 do not have veto power but-hare indicated the uses must be compatible with Liberty's
14 image to assure it does nov&tract from their operation. He stated they have made it
15 clear in the.written specifications to Hillcrest Development that the other uses cannot be
16 incompatible with Liberty or effect them negatively (noise, dust, heavy traffic).
17 Cavanaugh inquired regarding the size. Mr. Malone stated the first phase is 80,000
18 square feet.
Mr. Tankenoff clarified the schedule dates Mr. Shardlow mentioned are the"outside"
20 dates and the landscape percentages hre.minimum amounts. He stated the exclusive
21 marketing date is June of 2001. Mr. Tankenoff stated Liberty has agreed to speak with
22 the Council and community but other tenants are not comfortable coming forward at this
23 time. He stated that while Liberty will be the anchor tenant, the fascia would have to be
24 something that is compatible;for all tenants. He noted the 30%to 40%increase in the
25 preferred plan with a tenant-like Liberty. Mr. Tankenoff stated their goal is to meet more
26 than the mark and to over deliver what is being stated.
27 Mr. Tankenoff delivered a lengthy statement reviewing the number of public meetings
28 held on this project since January 2000, input from a neighborhood group, and their
29 diligent work with City staff and the Council on TIF issues. He stated his professional
30 opinion that this building is not suitable for demolition. He stated that while there are
31 worn components, the infrastructure is not flimsy and this issue has been studied and
32 confirmed by their consultants. Mr. Tankenoff suggested that other types of uses could
33 result in impacts to the tax structure, school system, and levy. He suggested that the
34 market has spoken, since this property has been studied and considered in different ways
35 and is still being discussed today. Mr Tankenoff stated that there is probably not a
36 perfect plan or a perfect contract but there are good intentions and asked the Council to
37 consider other projects by::.I illcrest Development and its track record. He suggested the
38 existing building shows a lack of ownership commitment, dedication, and long-term
•
City Council Regular Meeting Minutes
August 22, 2000
• Page 11
1 corporate misuse. 1,i3l
2 Mr. Tankenoff stated they agreed to the PUD process rather than a zoning district and
3 have responded to every question raised by the City or residents in an honest and direct
4 manner. He noted the PUD was applied for and there has been consistent work with the
5 PUD and TIF agreements at a large-time and financial commitment. Mr. Tankenoff
6 reviewed the dates for various submittal and considerations,noting the unanimous
7 recommendation of the Planning Commission for approval after two considerations. Mr.
8 Tankenoff stated they have made changes in an effort to receive unanimous Council
9 support and suggested the City is basically getting the preferred plan. He emphasized
10 that Hillcrest Development feels so strongly about this project that they were willing to
11 put their money in first and proceed with no tenants.
12 Mr. Tankenoff noted the percentages for the interim plan, marketing deadline, fascia
13 upgrades, preleasing commitment, and interim use.of the New Market site as a soccer
14 field. He commented on the letter from Liberty, noting this is a premier company with a
15 desire to grow and invest in their office. Mr. Tankenoff suggested that the loss of a client
16 like Liberty will result in the loss of the other two tenants and send out a negative
17 marketing message.
Mr. Tankenoff suggested the highest and best use is clearly what they are proposing. He
noted other prospects have attempted!to work with this site but not succeeded. He stated
20 that retail is out of the question due to not having freeway visibility or adequate access.
21 This leaves business or residential uses; noting a residential use would need to be
22 balanced with the schools. He stated this proposal allows them to use existing
23 infrastructure which is adequate and does not promote sprawl,noting they have
24 completed projects in the 1950s that remain vital and have stood the test of time. He
25 stated this project is consistent°`with the newly adopted Comprehensive Plan and they
26 have tried to be sensitive to.the City grant application with the Metropolitan Council.
27 Mr. Tankenoff stated this site needs a massive updating and they will work with the
28 watershed district to address issues related to Silver Lake. He noted they will pay up-
29 front for the drainage improvements and there is no bonding or administrative costs to
30 the City. He suggested their project in the Stinson neighborhood is an example that they
31 can accommodate projects in residential neighborhoods. Mr. Tankenoff stated they have
32 seen the vision and path to progress that-is possible and stand before the Council as being
33 ready to make the financial commitment to see the project through. He stated they want
34 to move forward in a partnership mode with the City, suggesting it would be
35 unreasonable to not proceed. He offered to answer questions that arise during public
36 comment and stated his appreciation to stand before the Council and represent this
37 project, assuring the Council`that they will not miss the mark_with this project.
•
City Council Regular Meeting Minutes
August 22, 2000
• Page 12
1 DougJones, 2505 Silver Lane, stated his main concern is the water quality issues with
2 water that flows to Silver Lake. He stated he spoke with Mr. Hubmer who.assured him
3 the plan, as proposed, includes standards that exceed the Rice Creek Watershed District
4 standards if the entire property were torn down and redeveloped. He stated he wants it
5 on record that the drainage improvements include the flow of water from the roof,
6 parking lots, and areas around the building to be treated in ponds to remove phosphorus
7 prior to flowing into Silver Lake. On that basis, he supported the project since it meets
8 the requirements of the neighborhood.
9 Perry Thorvik, 3112 Townview Avenue;stated he,was amazed that the Planning.
10 Commission passed this project with a 7-0 vote knowing what they knew at that time.
11 He stated the plans have changed since that time and in the proposal today, it is obvious
12 that his concerns about the--facade, landscaping, dates, and percentages of nonoffice space
13 were heard and taken into.consideration. He stated he does not know if this has gone far
14 enough, but he has seen compromise, even though it took 24 meetings to.getAhose
15 compromises by the developer.
16 Motion by Thuesen to approve Resolution 00-066, a Resolution Approving the
17 Preliminary and Final Development Plans Relating to the Apache Plaza Property, _.
18 submitted by Hillcrest Development.Limited Partnership.
Sparks read a prepared statement indicating her belief that Hillcrest.Development has
20 done an incredible job in putting together-this proposal and there no doubt they are
21 reputable with a good track record. However, when running for Council she talked about
22 the need for planning and to hire economic development staff to address the best use of
23 Apache Plaza. Spark stated ,he.believes the Council is reacting with the Hillcrest
24 proposal because it was sii$ tted and sounds good. However, as the plan unfolded, she
25 believed it became less likely that what the Council wanted would occur. She asked if St.
26 Anthony has explored all of the options and recommended the City do a thorough plan
27 including Apache Plaza along with the other assorted pieces mentioned tonight so it is
28 looked at as a whole. Sparks stated her regret that she did not come to this realization
29 sooner and save Hillcrest Development and City staff, who worked so hard to his
30 proposal,their time and money. She suggested if this were the preferred plan, the
31 Council would not be seeing that 51%0 of the plan is likely to be wholesale and similar
32 uses. Spark stated she does not want that type of use and have them as permitted uses
33 over time.
34 Hodson stated he agrees with Spark's comments and recommends the City gather more
35 information and get more definition on this project He stated he is looking for more
36 certainty and feels this projecf,has been pushed rapidly. Hodson stated he believes that
37 Hillcrest Development is dreputable company and he wants to work with this
38 corporation. However, he believes the City has been rushed too quickly to make all of
j1.
City Council Regular Meeting Minutes
August 22, 2000
Page 13
1 the right decisions.
2 Horst read a prepared statement suggesting this is a bigger question than if this project is
3 right or wrong but, rather, about how things are run in the City. He commented on the
4 involvement of the City Manager,planning staff, Planning Commission, and number of
5 meetings held, suggesting that to indicate the process is moving too fast is ludicrous. He
6 agreed that there may.be some risk but.cautioned the Council about losing an opportunity
7 to develop the most blighted property in the City under the notion that there are other
8 developers out there since there have been no other developers it the past 12 years. Horst
9 commented on the plan, vision, money, and track record of Hillcrest Development,
10 noting that when Apache Plaza was built, there was probably not 100%tenants. Horst
11 stated this proposal is to build a high.quality office complex and fill it with quality
12 tenants. He questioned if there are other developers willing to "jump through hoops"and
13 withstand the scrutiny this'.developer has had to endure. Horst suggested it is impractical
14 to develop housing due to the impact on the school district, major development costs,
15 need for more TIF assistance, and the high cost of demolition. He asked what it would
16 cost to demolish Apache Plaza and install sewers, roads, and drainage. Despite tax
17 compression efforts by the State, he felt commercial properties still paid higher taxes
18 than can be paid by homeowners and that this project would be valued higher than
19 housing. He asked how St. Anthony_can work with another developer when it is still
nitpicking and playing word games with this developer.
21 Horst asked if residents want Apache Plaza redeveloped at all, noting staff has come up
22 with a plan to make that happen. He noted there is risk and uncertainty but that is
23 because all of the components-,have not yet been identified. However, this developer has
24 stated it will happen and h"7atrack record so he believes it will happen and so should the
25 residents. Horst urged the residents to look at the real issues and what is allowed under
26 the PUD. He stated this project would result in a new building that meets codes with new
27 landscaping. If the PUD is voted down and the opportunity lost,he predicted that when
28 he leaves office, Apache Plaza will look the same or worse than it does today. He stated
29 he served on the Planning Commission when the CUB Foods site was considered and
30 even though there were some nay sayers,the City got the CUB Foods store which is a
31 testament of what can be done if the City pulls together with a common goal.
32 Horst stated City staff and the consultants recommend approval because it is the right
33 deal and right timing. He urged approval.of the project so they can all stand before the
34 new St. Anthony Technology Center and say they had a part in it.
35 Thuesen read a prepared statement indicating that to say he is disappointed is an
36 understatement but he is much more disappointed as a resident of the City. He expressed
37 his desire to be true to himself and the community so they know where he is coming from
38 and to be the final judge. He stated he has never hidden or run away from a controversial
•
City Council Regular Meeting Minutes
August 22, 2000
• Page 14
1 issue while an elected representative and is happy to be held accountable. Thuesen stated
2 most of the conversations have been peaceful and productive dialogues but along the way
3 it turned into an emotional, nasty debate. He stated he had received a call whereby he
4 was treated with abuse which showed him something had gone astray. Thuesen
5 commented on the high regard he holds his responsibility as a teacher in being
6 responsible for children, which he finds to be the most precious commodity and worth
7 more than anything, including Apache Plaza. He stated in comparison,the Apache Plaza
8 consideration was not pressure to him., .
9 Thuesen commented on the impact of this project on the City and suggested there is a
10 fine line between analyzing a situation and losing objectivity and your viewpoint. He
11 stated he asked himself if.he,was remaining objective and not locking himself into a
12 position too early. Thuesen stated he finds the redevelopment as proposed stands on its
13 own merits and he judged it on its own merits, suggesting that a yes vote is not an act of
14 desperation on the part of the City Council. He stated that he would vote against the
15 project without hesitation if he believed it was a bad deal for the City, even if there were
16 no other deals"waiting in the wings." He noted the overwhelming vote of confidence
17 and support from the Planning Commission which is a body of diverse residents who did
18 an outstanding job in analyzing this project. Thuesen commended the Planning
19 Commission for their effort and congratulated them for a job well done. He noted the
consultants that worked on this project in an effort to guide the City through these issues.
Thuesen noted there are little or no financial risks to the City, even with the
22 condemnation process should that occur.
23 Thuesen noted that Hillcrest,I)evelopment has hit targets at a high level and you cannot
24 ignore history as it is a great predictor of what will occur in the future. He stated there
25 will be pros and cons and a level of uncertainty and risk but, after weighing those issues,
26 he still believes residents will benefit in the short and long term for Hillcrest
27 Development to work their preferred plan in the redevelopment of Apache Plaza.
28 Thuesen stated he is not on the Hillcrest payroll and owes them nothing but wanted to
29 thank them for coming in and putting up with the"games"played. He congratulated the
30 community Liberty decides to move to and thanked Hillcrest for being above board,
31 incredibly honest, and straight forward.:,Thuesen stated he hopes St. Anthony is that
32 lucky the next time.
33 Cavanaugh stated it has been 12 to 15 years since the tornado hit Apache Plaza and it has
34 been on the decline since that time. He stated the question before the Council is the
35 redevelopment of 35 acres which is no small matter and he appreciates the frustration and
36 anxiety of his colleagues: He rioted that CUB Foods was not a stand alone project but
37 part of what was expected to be a renaissance of retail development, however,that did
38 not happen. Cavanaugh stated previous Councils supported retail so that was the driving
39 force sent to developers as the preference of the Council. As a result,two movie theater
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City Council Regular Meeting Minutes
August 22, 2000 `
• Page 15
1 proposals came and went.
2 Cavanaugh noted the proposal being considered tonight was not sought by the City and
3 the question Mr. Tankenoff raised initially was whether the City was interested in
4 something other than retail. He stated'a nontraditional proposal was made that contained
5 a lot of unpredictability and he sees it as having an inordinate amount of risk. Cavanaugh
6 stated that changes have been made but there are still three facades in the portfolio. He
7 suggested that not having a focus has been difficult in determining the risk and end use of
8 the property which brought him to the most serious consideration which is that of use.
9 He stated a high tech office..complex was presented with the flexibility to rent the
10 remaining space while getting;to the-preferred plan. Then it was presented that the
11 interim uses could become permanent. Cavanaugh stated he does not think that range of
12 uses is in the best interest of the community. He noted the level of financial assistance
13 offered as an incentive to get to the preferred plan,not the interim plan. Cavanaugh
14 stated he understands the concern about impact to schools but believes there is a need for
15 housing.
16 Cavanaugh suggested this is the opportunity for the community to be proactive and do its
17 own planning rather than relying on what;comes through the door. He stated the
18 challenge to the community is to plan.for.this 3 5 acres rather than considering uses for
this building which will be 65 years old,.when TIF is over. Cavanaugh stated he supports
a moratorium on this property and working cooperatively to determine the best use and
21 assure the highest value to,this community.
22 Mr. Morrison noted the resolution motion on the floor is to approve the rezoning which
23 requires a 4/5ths vote.
24 Vote: Councilmembers Horst and Thuesen voted aye. Councilmembers Hodson and Sparks and Mayor
25 Cavanaugh voted nay.
26 Motion failed.
27 City Attorney Soth advised that the attorney for applicant has raised a technical point that
28 a motion for denial was not made. He xecommended the Council vote on denial of the
29 application to rezone.
30 Tony Gleekel, attorney for.Hillcrest Development, stated they submitted an application
31 and met all of the requirements..Mr. Gleekel stated the motion made and voted on by the
32 Council was to approve the rezoning but denial of a motion to approve does not result in
33 a denial.
34 City Attorney Soth stated with a motion to deny,the 60-day clock is no longer running
City Council Regular Meeting Minutes.'
August 22, 2000
• Page 16
1 and there is no question about the disposition of the case.
2 Motion by Sparks to deny the request of Hillcrest Development to rezone Apache Plaza
3 from C to a PUD designation.
4 Vote: Councilmembers Hodson and Sparks and Mayor'Cavanaugh voted aye. Councilmembers Horst
5 and Thuesen voted nay.
6 Motion carried.
7 2. Resolution 00-075;'re: PUD Agreement with Hillcrest Development.
8 This item was not acted on."�'
9 3. Resolution 00-061, re: Amend Tax IncrementFinancingDistrict#3.
10 This item was not acted on.
11 4. Resolution 00-062, re: Amend Redevelopment Plan for Area#3 and on the
12 Proposed Tax Increment Financing Plan for Tax Increment Financing District#5.
13 This item was not acted on.
XI. REPORTS FROM CITY MANAGER AND COUNCILMEMBERS.
City Manager Morrison noted the December 2000 calendar identifying the Truth in Taxation
16 meeting dates and recommended the December 22, 2000 meeting be canceled. He recapped that
17 the meetings will be as follows: December 12 Regular and Truth in Taxation meetings, and
18 December 20 regular meeting.
19 Monnson updated the Council regarding the park grants submitted by BRW on the City's behalf,
20 estimating a response should be received within eight weeks. He noted the summary provided
21 by the Finance Director on how to pay for the park improvements without a tax increase and
22 requested Council input on that information.
23 Mornson reminded all of the September 26 joint meeting with the School Board from 6:00 p.m.
24 to 7:30 pm. At that meeting, the Council will receive a presentation for redevelopment of the
25 Central Park by the Park Board Chair, discuss,phasing and funding, and reach an agreement on
26 how to proceed. He noted construction on that project is likely to proceed next spring.
27 Mayor Cavanaugh suggested this.be;placed on the agenda so Council discussion can occur on
28 City participation with funding.
29 Cavanaugh reported on his meeting with the Sports Booster President to discuss the potential for
30 redevelopment of the Stonehouse corner and impact on their proceeds. He also discussed several
31 other park-related issues in an attempt to open a dialog with the Sports Boosters.
•
City Council Regular Meeting Minutes-.., .
August 22, 2000
• Page 17
1 XII. INFORMATION AND ANNOUNCEMENTS.
2 Thuesen noted the letter dated July 20 that all received from Hennepin Parks stating they are
3 interested in working with the Salvation Army Camp. He advised the Park Commission has a
4 sense of urgency in wanting the Council to explore this issue and place it as an agenda item at
5 the first meeting in September. -:
6 Thuesen stated it has been brought to his attention that a charter bus with about 50 kids stopped
7 at Watertower Park, noting this park is known,outside of St. Anthony.
8 Mayor Cavanaugh stated his understanding that Hennepin Parks would not mind some indication
9 of support from the City Council about.what they are doing. He noted the City has no funding
10 for those projects and asked if the Council should adopt a resolution in support of Hennepin
11 Parks projects.
12 Thuesen stated he had indicated he personally supports a Council discussion because he believes
13 it would be a good thing with Hennepin Parks project. He stated he got a sense that Mr. Bryant
14 wanted to know there was a"pulse" on the Council and where they were. He agreed with the
15 Park Commission that this should be addressed-soon.
16 Cavanaugh asked Mr. Mornson to talk with Doug Bryant to see what he is looking for from the
Council.
.9
18 Horst stated the issue of Apache Plaza-has occupied much of his time but he wants to say those
19 who cannot remember the past are condemned to repeat it. He stated it is apparent to him that
20 the Council is not wiling to consider-past failures or successes and he believes.this decision will
21 haunt the Council for many years, noting the Council did not take the advise of consultants or
22 the Planning Commission who represents the voice of the people. The Council also turned away
23 from a priority set at goal setting. He stated his disappointment, noting the people who put in
24 countless time and hours in putting this project forward. Horst extended his appreciation to them
25 for their work.
26 Cavanaugh reported on a League meeting and the creation of subcommittees related to loss of
27 sales tax to the state and cities due to e-commerce.
28 Cavanaugh commented on-the flea market held at the Community Center which was an
29 enormous success.
30 Cavanaugh thanked the Planning Commission and staff for their effort in the Apache Plaza
31 proposal, stating he hoped it was not a venomous, vindictive, or mean spirited issue. He stated
32 he found his callers to be quite constructive,noting there are two sides to the issue and he did not
33 take this vote lightly and voted honestly.
•
• City Council Regular Meeting Minutes.:,,,.
August 22, 2000
• Page 18
1 XIII. ADJOURNMENT.
2 Motion by Horst to adjourn the meeting at 10:28 p.m.
3 Motion carried unanimously.
4 Respectfully submitted,
5 Carla Wirth
6 TimeSaver Off Site Secretarial, Inc.
7
8 Mayo
9 ATTEST:
10 City Clerk
•