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CR 2014-048 Met Council Livable Communities TOD Program - Shady Oak Station_Qez June 3, 2014 01� v ,I 11"pk111- Council Report 2014-048 Metropolitan Council Livable Communities Transit Oriented Development Program — Shady Oak Station Proposed Action Staff recommends adoption of the following motion: Move to approve Resolution 2014- 025 identifying the need for Livable Communities Transit Oriented Development Fundina and authorizina an aoDlication for arant funds. Overview The Metropolitan Council offers Livable Communities Act (LCA) grant funding for transit oriented developments that promote moderate to high density development projects located within walking distance of major transit stops. This year a certain portion of available grant funds are allocated towards pre -development and zoning implementation projects that promote transit oriented development patterns. Eligible project areas must be located within an LCA-TOD Eligible Area and be within'/2 mile of a transit stop. Station stops along the SW LRT line are considered within the eligible area. While the Shady Oak Station and park and ride are located within the City of Hopkins, the station area straddles the border of Hopkins and Minnetonka. The City of Minnetonka has plans to fund and complete a station area master plan in the coming months. Subsequent to the master planning work, the staffs of both cities have found a need to complete a zoning study with the goal of identifying zoning regulations in the form of a district or overlay that will reflect the outcome of the master planning process and unify the vision of the station area between the two communities. It is likely that development will traverse into both cities and staff would like to conduct a zoning study and review of the two communities land use approval processes and regulations in order to ensure that the development that will occur within the station area fits together and that infrastructure improvements such as roads and utilities are efficient and cost effective. In addition to the zoning study, staff would like to conduct an analysis of regional storm water opportunities within the station area that might allow for collective holding and treatment of storm water, allowing for more intense development on a given site. As part of this analysis we would be looking at implementation strategies as well as a fee based structure that would allow for up front improvements to be paid back over time. Staff of Minnetonka and Hopkins would like to jointly apply for LCA-TOD pre - development grant funds to pay for the zoning study and storm water analysis. We would be requesting $50,000. The grant program requires a 25% match from the local community, which can be an in-kind match using staff time. Council Report 2014-048 Page 2 Primary Issues to Consider • Is the City interested in creating a cohesive zoning district within the Shady Oak Station area with the City of Minnetonka? • Would the City be willing to modify its land use approval process in order to streamline the development process within the Shady Oak Station area? Supporting Information • Resolution 2014-025 Meg Beekman Community Development Coordinator Financial Impact: $ Budgeted: Y/N Source: Related Documents (CIP, ERP, etc.): Notes: Analysis of the Issues Because of the size and layout of redevelopment parcels within and around the Shady Oak Station area it is likely that there will be development projects that traverse into both Hopkins and Minnetonka. There may be benefit to development if the two communities can align their vision and regulatory approach in order to maximize development potential. In addition, there will be infrastructure requirements, such as roads, storm sewer, and utilities that can be more efficiently installed and maintained if the two communities have a shared vision for development within the station area. The City of Hopkins will be partner with Minnetonka on their station area master plan. Creating zoning regulations and an approval process based on the outcomes of the station area master planning is a logical next step to continue to forward the City's goals for the Shady Oak Station area. Alternatives The Council has the following alternatives: Approve Resolution 2014-025 Approve Resolution 2014-025 with changes Deny Resolution 2014-025 and opt not to apply for grant funding RESOLUTION NO. 2014-025 CITY OF HOPKINS, MINNESOTA RESOLUTION IDENTIFYING THE NEED FOR LIVABLE COMMUNITIES TRANSIT ORIENTED DEVELOPMENT FUNDING AND AUTHORIZING AN APPLICATION FOR GRANT FUNDS WHEREAS the City of Hopkins is a participant in the Metropolitan Livable Communities Act ("LCA") Local Housing Incentives Program for 2014 as determined by the Metropolitan Council, and is therefore eligible to apply for LCA Livable Communities Demonstration Account and Tax Base Revitalization Account Transit Oriented Development (collectively, "TOD") funds; and WHEREAS the City has identified a proposed project within the City that meets TOD purposes and criteria and is consistent with and promotes the purposes of the Metropolitan Livable Communities Act and the policies of the Metropolitan Council's adopted metropolitan development guide; and WHEREAS the City has the institutional, managerial and financial capability to adequately manage an LCA-TOD grant; and WHEREAS the City certifies that it will comply with all applicable laws and regulations as stated in the grant agreement; and WHEREAS the City acknowledges TOD grants are intended to fund projects or project components that can serve as models, examples or prototypes for TOD development or redevelopment elsewhere in the Region, and therefore represents that the proposed project or key components of the proposed project can be replicated in other metropolitan -area communities; and WHEREAS only a limited amount of grant funding is available through the Metropolitan Council's Livable Communities TOD initiative during each funding cycle and the Metropolitan Council has determined it is appropriate to allocate those scarce grant funds only to eligible projects that would not occur without the availability of TOD grant funding. NOW THEREFORE BE IT RESOLVED that, after appropriate examination and due consideration, the governing body of the City: 1. Finds that it is in the best interests of the City's development goals and priorities for the proposed TOD Project to occur at this particular site and at this particular time. 2. Finds that the TOD Project component(s) for which Livable Communities TOD funding is sought: (a) will not occur solely through private or other public investment within the reasonably foreseeable future; and (b) will occur within the term of the grant award (two years for Pre -Development grants, and three years for Development grants, one year for Cleanup Site Investigation grants and three years for Cleanup grants) only if Livable Communities TOD funding is made available for this project at this time. 3. Authorizes its City Manager to submit on behalf of the City an application for Metropolitan Council Livable Communities TOD grant funds for the TOD Project component(s) identified in the application, and to execute such agreements as may be necessary to implement the TOD Project on behalf of the City. Adopted this 3`d day of June, 2014. -0 Eugene J. Maxwell, Mayor Attest: Amy Domeier, City Clerk