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IV.3. Minutes of the March 14, 2017 City Council Work Session Proceedings HOPKINS CITY COUNCIL WORK SESSION PROCEEDINGS MARCH 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, March 14, 2017 at 6:32 pm. in the Raspberry Room at City Hall, 1010 First Street South, Hopkins. Mayor Pro Tem Halverson called the meeting to order with Council Member Campbell, Gadd and Kuznia attending. Mayor Cummings was absent. Staff present included City Manager Mornson, Community Development Coordinator Beekman, Planning and Development Director Elverum,Solid Waste Coordinator Hove, Assistant City Manager Lenz, City Planner Lindahl and Public Works Director Stadler. UPDATE ON THE FUTURE OF A RESIDENTIAL CURBSIDE ORGANICS PROGRAM IN HOPKINS Solid Waste Coordinator Hove discussed the staff report regarding the future of the Hopkins residential curbside organics program. Ms. Hove commented that the best option is the Organix Solution’s Blue Bags program, a co-mingled collection with garbage. The Hennepin County transfer station does not accept co-mingled loads. Ms. Hove discussed factors for the Council to consider regarding the program. The Waste Management Transfer Station in Maple Grove is the best location for mileage but at this time the tipping fees for the Maple Grove location are not known. Public Works Director Stadler and Ms. Hove discussed the estimated of costs of blue bag program. The costs are based upon 5% participation or approximately 150 Hopkins households. Currently other cities based on Hopkins size have 2% participation rate. Mr. Stadler commented that expenses would increase with every household that enrolls in the program. A proposed $1 rate increase in the recycling revenue would cover the costs. All households would be charged for the program whether they participate or not. There was discussion regarding rates, annual costs and participation. There was discussion regarding other cities that have curbside organics programs. Ms. Hove commented that only 12 cities in metro have curbside organics program at this time and that Hennepin County is requiring an organics program to be in place by 2020. Council asked what the decision deadline would be for a 2018 start to the program. Ms. Hove commented that a July 1 deadline would be necessary to complete contracts and begin the public education process for a January, 2018 program start-up. Council Member Campbell commented that she has had resident requests for an organics program. There was discussion regarding the program promotion and blue bag program. Ms. Hove commented that residents would enroll at Public Works and would be supplied information to order a one-year supply of blue bags. Public Works could purchase blue bags to hand out as a promotional tool. Ms. Hove explained that the blue bags are ordered directly from Organix Solutions. The bags are manufactured to hold together for co-mingled collection and they breakdown in 30 days in a composting facility. The transfer station would report the weights and actual usage of the organics program to the City. Staff recommendation is to wait before moving forward on the curbside organics program to see if the Waste Management transfer station in Maple Grove is an option. HOPKINS CITY COUNCIL WORK SESSION PROCEEDINGS MARCH 14, 2017 If nothing progresses then staff will have a conversation with the Dem-Con transfer station in Shakopee. Staff will update the Council this summer and continue to determine a realistic lead time for a start-up date 169 UPDATE th Public Works Director Stadler updated the Council on the 11 Avenue cut-through traffic due to the Highway 169 closure. Mr. Stadler commented that the Hopkins Police th Department continues to monitor traffic at 11 Avenue and Smetana and diverts traffic as needed to Shady Oak Road. Signage will be installed directing SuperValu semi- trucks to the designated detour route. MnDOT would like a traffic count and may consider installing a temporary signal and peak time message board rather than police enforcement. Staff commented that the peak traffic time is the evening rush hours. City Manager Mornson commented that Washington Avenue is closed for 8 weeks due to construction. Staff will continue to monitor the traffic and update the Council. CONCEPT PLAN REVIEW FOR CREEKVIEW APARTMENTS In addition to City staff, representatives present for the item were Mr. Kurt Krumenauer, KM2 Development and Mr. Pete Keely, Collage Architects. City Planner Lindahl gave an overview of the staff report on the concept plan for the Creekview Apartments on Blake Road. The applicant is looking for guidance, comments and issues that are important to the City Council prior to making a formal application. Mr. Lindahl gave an overview of the property and surrounding neighborhood. The existing site has a 3-story, 37 unit building with no covered parking. The proposal is to raze the building and build a new 5- story, 140 unit market-rate building with underground parking. The Zoning and Planning Commission reviewed the plan and commented that the project priorities were architectural design, building materials, natural resource protection, storm water management and pedestrian & bicycle facilities. Other comments were to balance affordability and accommodate higher density for greater setback from Minnehaha Creek. Ms. Ann Beuch, Blake Road Corridor Collaborative representative attended the Zoning and Planning Commission meeting to present her concerns. Mr. Lindahl discussed the concept plan that includes an outdoor pool, Blake Road right- of-way incorporated into the site, internal parking, 1.1 parking ratio and a completely redeveloped site. Mr. Lindahl discussed the 2030 Comprehensive Plan and the Blake Road LRT Development Guide, policies that could be incorporated to support redevelopment in the Blake Road Corridor. Mr. Lindahl discussed the site and development standards and staff recommends that the project require a Planned Unit Development (PUD) because the site design does not conform to the R-4 development standards. Mr. Lindahl discussed the environmental condition, flood plain, and wetlands. The applicant has been in communication with the Minnehaha Creek Watershed District (MCWD). The MCWD is supportive of the proposal but may require a variance. Mr. Lindahl gave an overview of the approval process. Council Member Campbell asked about the Area Medium Income (AMI) for Hennepin County, 20% Housing Choice Voucher program and parking ratio. Mr. Lindahl explained the AMI and gave a breakdown of rents. Mr. Krumenauer commented that they would HOPKINS CITY COUNCIL WORK SESSION PROCEEDINGS MARCH 14, 2017 continue the 20% voucher policy at the redeveloped property. Planning and Development Director Elverum explained the Section 8 program. Mr. Krumenauer commented that the right number of parking spaces is critical for the development and the current ratio is one parking space per bedroom. Mr. Lindahl commented that the new PPL project parking ratio is 1.2 and Gallery Flats parking ratio is 1.1. Mr. Keely discussed the underground parking garage explaining that soil borings of the site would determine the direction of the project and that new project would improve storm water runoff. Council Member Kuznia likes the concept plan and asked about access points. The access plan calls for right in, right out only. The development would happen about the same time as the Blake Road redevelopment and the plan would not impact Blake Road. Mr. Krumenauer commented that the current residents would be on a month-to- month lease and given a 90-day notice to vacate. The property owner is slowly not leasing the apartments. Council Member Gadd commented that he likes the concept plan, walkability and that the new project would be supportive to area businesses. Council Member Halverson asked about 3 or 4 bedroom units and other projects. Mr. Krumenauer commented that 3 and 4 bedroom units are difficult to rent and that studio and one-bedroom units rent out immediately. The project developer is currently working thth on other projects at 66 & York and 49 Street & France Ave. in Edina. Planning and Development Director Elverum asked when a full application would be made to the City. Mr. Krumenauer commented that the proposed project going forward would depend upon the soil boring test. The developer would also be working with the MCWD to create a launch area at the creek and would be incorporating a bike garage into the plan. There was discussion regarding the parking plan. Nine of the parking stalls would be tandem parking assigned to the 2-bedroom units. The developer views the project as a transit site with ease of access to bike trails and the future SWLRT. The project would be completed prior to the SWLRT with construction beginning in the fall of 2018. Staff would keep the Council updated on the status of the project. ECONOMIC DEVELOPMENT STRATEGY DISCUSSION In addition to City staff, a representative present for the item was Mr. Lucas Koski, ArtSpace. Planning and Development Director Elverum and Community Development Coordinator Beekman discussed the staff report. Ms. Beekman gave an overview of the Keeping it Real task force action steps, recommendations and work plan. The proposed strategies: 1. Preliminary Feasibility Study by ArtSpace Ms. Beekman discussed the trend toward artist live work space. Mr. Koski discussed the process to determine feasibility of the project including community input process, project concept development and funding options. Ms. Elverum commented that if HOPKINS CITY COUNCIL WORK SESSION PROCEEDINGS MARCH 14, 2017 ArtSpace doesn’t find the community feasible for development they would leave the City with a plan and list of recommendations. City Manager Mornson asked who usually hires ArtSpace. Mr. Koski commented that they are mostly hired by municipalities, arts councils and non-profit organizations. Council Member Gadd commented that he liked the compressed format of the feasibility study. Council Member Campbell asked about the artist live work application process and property development. Mr. Koski explained the artist selection process, income guidelines and that 50% of projects are new construction and 50% adapted reuse. 2. Friendly Store Fronts The Musicant Group would provide consulting services to 20 businesses along Mainstreet to activate their store fronts. Micro-grants would be awarded and an Open Street event would showcase the projects. This would be an opportunity to brand Hopkins as the “friendliest downtown.” Staff is applying for a $30,000 grant to offset the project cost of $45,000. Staff recommends moving forward on the project if the grant is approved. There was council discussion about the amount of micro-grants, the selection process and program expansion off Mainstreet. Ms. Beekman commented that the grant amount would be $500. It would be important that the store front plans could be implemented and maintained by the business. Ms. Beekman commented that the program could be a catalyst for other businesses to make a welcoming atmosphere and could transform the downtown area. Ms. Beekman explained the project timeline for the summer of 2017 culminating with an Open Streets event in October. 3. Façade Improvement Program Ms. Beekman discussed the successful 2015 Façade Improvement Program and interest in the program. Ms. Beekman explained that the process is already in place and staff could begin the application process for an additional 4-5 properties to receive funding for summer construction. Council commented that the program is a good investment in the community. Council Member Halverson asked about the application process. Staff will notify area businesses of the program. 4. Design Consulting Services Staff is exploring the scope, cost and process for a design consulting service to provide area businesses with construction, design and layout services. Staff would continue to research the program and keep the Council updated. Planning and Development Director Elverum and Community Development Coordinator Beekman gave the following updates: There was discussion about stricter store front code enforcement. Staff currently enforces the sign ordinance based upon complaints. Staff is looking at updating the sign ordinance and will keep the Council updated. The Keeping it Real task force will be updated regarding the work plan, programs and final report. HOPKINS CITY COUNCIL WORK SESSION PROCEEDINGS MARCH 14, 2017 UPDATES  Council Member Campbell will be attending the 169 Mobility Study meeting in April.  Council Member Kuznia attended the State of the River Minnehaha Creek Watershed District event. MCWD staff commented that the Cold Storage building leases are up in November and the building would be demolished after that.  Council Member Gadd asked about the Minnetonka Shady Oak redevelopment project. Ms. Elverum attended the neighborhood meeting. Residents from both Hopkins and Minnetonka attended and there were objections from the neighborhood for the proposed plan. The Minnetonka City Council consensus was to move forward with the development.  Assistant City Manager Lenz commented that the Farmer’s Market Council booth is scheduled for June 17(grand opening) and September 23 (senior day).  City Manager Mornson gave the following updates: MayDay event on Saturday, May 6, a fundraising event for Hopkins Center o for the Arts, Hopkins Activity Center and Depot Coffee House. City Clerk Domeier will discuss recommended changes to the Liquor Code o at the Work Session following the regular City Council meeting on March 21. Discussion of the Sunday Sales Liquor Code o Hispanic community discussion on immigration with the Hopkins Police o Department will be on March 30. Discussion of the upcoming League Conference o ADJOURNMENT There being no further business to come before the City Council and upon a motion by Campbell, second by Kuznia, the meeting was unanimously adjourned at 8:46 p.m. Respectfully Submitted, Debbie Vold ATTEST: ___________________________ ____________________________ Molly Cummings, Mayor Amy Domeier, City Clerk