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02-14-2017 Work SessionHOPKINS CITY COUNCIL WORK SESSION PROCEEDINGS FEBRUARY 14, 2017 CALL TO ORDER Pursuant to due call and notice thereof a regular work session of the Hopkins City Council was held on Tuesday, February 14, 2017 at 6:31 pm. in the Raspberry Room at City Hall, 1010 First Street South, Hopkins. Mayor Cummings called the meeting to order with Council Member Campbell, Gadd, Halverson and Kuznia attending. Staff present included City Manager Mornson, Community Development Coordinator Beekman, City Clerk Domeier, Planning and Development Director Elverum, Building Official Kearney, Assistant City Manager Lenz, Public Works Director Stadler and Rental Housing Inspector Zasada. AMENDMENT TO SIDEWALK CAFE POLICY City Clerk Domeier gave an overview of the amendment to the Sidewalk Cafe Policy. Ms. Domeier explained the modifications to the policy which include the Mainstreet site specification and the provision to review each application to make a determination based upon the business's circumstances and impacts to parking. There was Council discussion regarding restaurants potentially impacted by the policy. Council commented that the conditions for approval gives the City the opportunity to review and deny the application based upon circumstances. Ms. Domeier commented that if LTD expands the business in the future to include Mainstreet the sidewalk cafe would not be allowed. Staff will review the amended policy with LTD business owners and discuss Sidewalk Cafe design standards and the upcoming Artery construction project. CDBG ALLOCATION Planning and Development Director Elverum and Community Development Coordinator Beekman discussed the CDBG fund objectives and public service activities allocation. The estimated 2017 allocation is approximately $141,000, a$20,000 increase from 2016. Ms. Beekman commented that the amount is subject to change and there is no guarantee that the increase in funds would continue in the future. Ms. Beekman reviewed the requests received from three public service agencies. Staff recommendation is to allocate $5,000 per entity with the balance to the Housing Rehabilitation Program. Councii Member Gadd asked about the types of projects used for the Housing Rehabilitation funds. Ms. Beekman commented that the funds are used for needed housing maintenance issues. Council Member Halverson asked if all the funds were used. Ms. Beekman commented that all the funds were used and two households are on the waiting list. Council Member Campbell and Mayor Cummings asked about promotion of the Housing Rehabilitation Program and suggested advertising the program through the neighborhood associations and the Nextdoor app. Ms. Beekman commented that the program would be advertised to residents through city communications. There was discussion how the County allocate funds. Ms. Beekman commented that the County allocation is based upon factors such as age of the housing stock, population and income. Mayor Cummings asked if there were other organizations HOPKINS CITY COUNCIL WORK SESSION PROCEEDINGS FEBRUARY 14, 2017 that would qualify to receive CDBG funds. Staff discussed the application process and commented that only three groups requested consideration for the funds this year. There was discussion about how to deal with communicating the allocation of funds in the future. Council consensus was for staff to keep the Council updated in a staff report. Staff gave Council an update on a property with a rehabilitation loan which is requesting a partial lien release in order to purchase property and subdivide a lot for driveway access. The process would require an amendment and it will be on a future City Council agenda. Ms. Beekman updated the Council regarding the new white lighting along Mainstreet and on the clock tower. Ms. Beekman explained that the old colored lighting system did not hold up and malfunctioned. Staff is evaluating proposals for permanently fixed lights on the clock tower and will continue to assess future products of color changing lights along Mainstreet. PARK DEDICATION FEES Planning and Development Director Elverum and Public Works Director Stadler discussed the Park Dedication Fees, a fund used for park improvements. Ms. Elverum explained the fee structure when a residential unit is constructed. Currently the City collects $1500 per residential unit constructed but the fee is reviewed and can be negotiated on a case by case basis. The last increase was 2012 and the rate is below the metro average. Staff reviewed the Metro city comparison chart. The average fee is $4000 per residential unit. Staff is recommending a fee of $3500 per residential unit. Council consensus is that parks are a draw for developers and they are comfortable with the increase in the per residential unit fee. Public Works Director Stadler and Park Board Member Laura Cooper discussed the potential revenue for upcoming park projects. INSPECTIONS DEPARTMENT FEE STUDY AND DIVISION UPDATE Building Official Kearney and Rental Housing Inspector Zasada presented an overview of the Inspections Department fee study and comparison to surrounding cities. Ms. Zasada discussed the proposed rental licensing fee increase and explained that the fees have not been raised since 2010 and that the City of Hopkins fee is low in comparison to other cities. Mayor Cummings asked if there were any comments regarding the rental licensing fees. Mr. Kearney commented that staff only receives one or two calls per year and that the program is designed to put the fee on the investor. Council Member Campbell asked about the Inspection Fee. Ms. Zasada commented that the Inspection Fee is separate from the Rental Licensing Fee and is designed to give a break to those who maintain their property. Council Member Gadd commented that an inspection is labor intensive. Ms. Zasada gave an overview of the inspection process and explained that each property is provided a pre-inspection packet, the inspection takes 45 to 60 minutes and is an opportunity to educate property owners. HOPKINS CITY COUNCIL WORK SESSION PROCEEDINGS FEBRUARY 14, 2017 Mayor Cummings commented that it is important to keep the property standards high and that it would be beneficial to keep fees increases lower by implementing them more frequentiy. Mr. Kearney commented that staff would evaluate fees every year. Mr. Kearney discussed the Truth-In-Housing Fees. The fees have not been raised since 2003 and that the proposed fees are in line with administrative costs. Mr. Kearney explained that the program is a requirement for the home sale and the annual fee is charged to the evaluator so they can work in the City of Hopkins. Mr. Kearney gave an overview of the Truth-In-Housing inspection process and commented that staff is working on new guidelines. Staff will train the evaluators on the new guidelines once complete. Mr. Kearney reviewed the Building Permit Fees. The fees have not been raised since 2003 and are low compared to neighboring cities. There was Council discussion regarding the financial impact of increasing the fees. The amount would be significant and staff will update the Council. Council commented that having the same fees as the City of Minnetonka may be beneficial with the joint development process. Mr. Kearney discussed the Mechanical Permit Fees and Plumbing Permit Fees. The fees have not been raised since 2011. Council consensus was to approve the proposed licensing and inspection fee increases. Mr. Kearney gave an update on the new Permit Works software program that has been installed and is ready for implementation. Mr. Kearney discussed the functions and benefits of the program which will improve work flow, reporting, the licensing process and code enforcement. Mr. Kearney reviewed the past and projected building activity, project valuation and projected permit revenue. Assistant City Manager Lenz discussed staffing and succession planning in the Building Inspection Department. Mayor Cummings commented on the great overview of the Inspection Department and anticipated projects. City Manager Mornson commented that the Building Inspection Department has received many compliments regarding their customer service. Mayor Cummings commented that the Council hears about the high level of customer service and that it is appreciated. The City Council would like an annual update from the Building Inspection Department. The fee changes would require an Ordinance amendment. A presentation summarizing the fee changes will be on a future City Council agenda. COUNCIL SALARY INCREASE Assistant City Manager Lenz gave an overview of the staff report regarding raising Council salaries. The City Attorney is evaluating the automatic salary review and increase component. The automatic salary limit would be based upon the Consumer HOPKINS CITY COUNCIL WORK SESSION PROCEEDINGS FEBRUARY 14, 2017 Price Index. Ms. Lenz discussed a study comparing annual salaries and the proposed salaries which can only be increased after an election year. Council consensus was to approve the salary increase and to continue examine the automatic salary increase component. UPDATES • Council Member Halverson discussed a resident comment regarding the need for a pedestrian bridge over Highway 7 between Alice Smith and Eisenhower Elementary. • Council Member Gadd discussed quality of life issues for the homeless in Hopkins. There was discussion about having resources more readily available for individuals who need information and referral. Staff would discuss the issue further with the Police Department. • Council Member Kuznia commented that the street lights on Excelsior Blvd are still not working. The information was communicated to Public Works staff. • Council Member Kuznia gave an overview of the Met Council Pigs Eye Waste Treatment tour. • Council Member Kuznia commented that the Blake water tower is featured on a contractor's calendar. • The Walser vehicles have been moved to temporary holding location in Minnetonka. • Mayor Cummings commented that she reached out to the resident who requested a statement on diversity but was not able to connect with her. . Mayor Cummings received comments regarding the increase in water and sewer rates. • Mayor Cummings gave an update on a Star Tribune Mainstreet article for future publication. . Mayor Cummings met with the Boy Scouts. • Mayor Cummings discussed a candidate recommendation for the Park Board opening. • City Manager Mornson commented that the Classification & Compensation Study for employees has had the kick off meetings. . Assistant City Manager Lenz discussed the upcoming employee Classification & Compensation study, a holistic view of the current pay structure and job descriptions. The study will assist with future employee recruitment and pay equity compliance. . City Manager Mornson commented that the Hopkins School District toured the Hopkins Pavilion. • Meyer Contracting Inc., the contractor for the lift station and Park Valley street project has asked permission to store equipment at Valley Park. • The bid opening for the Artery project is Wednesday. • City Engineer Stanley and Mike Waltman of Bolten and Menk gave a presentation to the Hopkins Elks regarding the Artery construction project. • Staff is meeting with the Met Council regarding the storm water pond relocation at the Shady Oak Station area. Staff will keep the Council updated. HOPKINS CITY COUNCIL WORK SESSION PROCEEDINGS FEBRUARY 14, 2017 . Hopkins Police Department is hosting a community notification meeting regarding a Level III Predatory Offender at Gethsemane Lutheran Church on Wednesday. A neighborhood meeting regarding the Ring property in Minnetonka is on Wednesday. ADJOURNMENT There being no further business to come before the City Council and upon a motion by Campbell, second by Gadd, the meeting was unanimously adjourned at 9:05 p.m. Respectfully Submitted, Debbie Vold ATTEST: �G �y�%� �?tivLwv� % ��' I i���l/��-li W l Molly C mings, Mayor Amy Domeier, City Clerk