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CR 04-173 EAW Office Project - Advance Delvelopment G \ T Y Or- October 13, 2004 - Council Report 200.:!--1 n HOPKINS . EA W OFFICE PROJECT, ADV ANCE DEVELOPMENT~ LLC I'>roposed Action Staff recommends approval of the following motion: adopt Resolution 04-082, determining that all Environmental Assessment Worksheet (EA W) is not required for construction of an offiqU1roieclJ2l Advance Development, LLC. Overview James Parker, Advance Development, LLC, has filed an application for a site plan review and conditional use permit to construct a lO-unit office/condominium project on property directly south ot' thc Hopkins Care Facility on the west side of Highway 169. A petition dated September 10, 2004, \Vas subsequently submitted to the Minnesota Environmental Quality Board (EQB) requesting an Environmellt~l] Assessment Worksheet (EA W) be completed for this project. The petition was forwarded to the Clly hy the EQB in a letter dated September 15,2004. The City Council, at their September 21 meeting, had a long discussion on the project and approved Resolution 2004-077, establishing a schedule for consideration of the EA W request for the subject project. Staff is now reconU11ending approval of Resolution 04-082 with the finding that an EA W is nol required_ Primary Issues to Consider . ,. What is the basis of the staff recommendation? ,. What is the schedule for the site plan review and conditional use pem1it if the City COllllcil Joc~ not order an EA W? ,. What recourse does a party have ifthey do not agree with the City Council's decision'! Supportilll! Documents . Petition for EA W ,. Letter from Liesch, dated October I, 2004 ,. Letter from Jim Parker, dated October 4, 2004 . Letter from Wenck Associates, Inc., October 7, 2004 . Letter to Anne Worrell, Nine Mile Cove Association, James Parker, and David Rosedohl hom James KelTigan, dated October 1, 2004 . Miscellaneous infonnation re: EA W . Letter from Minnesota Environmental Quality Board, dated September 15, 2004 . ResolLltion 04-82 -- ) / / f ~,T'C / ~>-~._, / /' 3 -1 -../ / L '-;f'"/ Jir~K2.(gan I~ Plunni g & Econo ic Development Director . Financial Impact: $ 0 N/A _ Budgeted: Y/N _ Source: Related Documents (eIP, ERP, etc.): Notes: Council Report 2004-173, October 13, 2004 - Page 2 . T'rimarv Issues to Consider . What is the basis ofthe staff recommendation? Chris Meehan of Wenck Associates, Inc., reviewed all of the information submitted by the LA W petitioners, including the Octpber I, 2004, letter from Harry Summit ofLeisch Associates, as \\(:'11 as all of the information submitted by Mr. Parker regarding the proposed project. Mr. Meehan's opinion is that the petitioners have not provided any evidence that the proposed project 1111ght have the potential for significant environmental effects. Mr. Meehan's opinion is that the tlood plain fill, wetland fill, and surface water runoff issues raised by Mr. Summit are not evidence that the project might have the potential for significant environmental effects. Mr. Meehan's opinion is that no EA W is required. . What is the schedule for the site plan review and conditional use permit if the City Council does not order an EA W? If the City Council approves the Resolution determining an EA W is not warranted, consideratlon of the site plan review and conditional use permit will be scheduled for the November 2, 200--1-_ City Council meeting. . What recourse does a party have if they do not agree with the City Council's decision '? Based on action by the City Council, either pmiy can appeal the decision in County District e Court. Alternatives The City Council has the following alternatives regarding this matter: 1. Approve the action as recommended by staff. With this action, staff will schedule, on a "L1lllrC agenda, consideration of the CUP and site plan review for the Advance Development. LLC. project. 2. Make a determination that an EA W is required for the project. With this action, the den:lopcr will need to begin the process of preparing this document. All action on the CUP and site pbn review will be suspended until this process is completed. With this action, the Council willl1L'cd to make findings for the basis of requesting this action. . . City of Hopkins HelIDepin County, Minnesota RESOLUTION NO. 2004-82 WHEREAS, James Parker has submitted a proposal to the City of Hopkins to construct an office-condominium building (the "Project") on propeliy located at Second Avenue South (the "Property"), and WHEREAS, A group of citizens (the "Petitioners") on September 10, 2004, submitted a petition to the Minnesota Environmental Quality Board ("EQB") requesting that an Environmental Assessment Worksheet ("EA W") be required for the Project, and WHEREAS, The City Council of the City of Hopkins is the goveming body legally responsible for reviewing the EA W petition and detem1ining whether to require an EA W, and WHEREAS, The City Council of the City of Hopkins has received information regarding the need for an EA W NOW, THEREFORE, based on all of the documents and other evidence received, the City of Hopkins City Council makes the following . FINDINGS OF FACT l. James Parker is the owner of the Property, an undeveloped parcel approximately five (5) acres in size located on Second A venue South. 2. Parker has submitted a proposal to the City of Hopkins to constmct the Project on th\: Property. 3. The Property includes areas designated as floodplain and/or wetland and the Project, as proposed, likely will require constmction, grading or disturbance on some portion o[the areas designated as floodplain and/or wetland. 4. On September 10, 2004, the Petitioners submitted a petition to the EQB requesting that an EA W be ordered for the Project. Pursuant to Minnesota law, the EQB forwarded the petition to the City of Hopkins, which is designated by law as the governing body responsible for detennining whether to order an EA W. 5. An EA W shall be prepared when a project is not exempt fi-ol11 EA W review and, because of the nature or location ofthe proposed project, the project may have the potential [or significant envirOlIDlental effects. . 6. The City Council directed that all infonnation regarding the need for an EA W on the Project be submitted for consideration not later than October 4, 2004. . 7. The City Council received Petitioners' submissions to the EQB, including a cover letter from David Rosedahl and the Petition signed by the Petitioners. There was no infonnation provided in these submissions regarding a specific environmental effect that might result from the Project. 8. The City Council received a letter dated October 1,2004, from Harry Summit of Liesch Associates, Inc. on behalf ofthe Nine Mile Cove Association, a homeowner's association for property located near the Property. It appears at least some members of the association are also Petitioners. 9. Summits' letter contends an EA W is necessary and appropriate and that the Project will impact the floodplain and wetland areas of the Property and will create surface water issues, including nm-offrate and water quality. There was no infom1ation provided by Mr. Summit that identified a specific significant enviromnental effect that might result from the proposed filling of the floodplain or wetland or from the surface water. 10. Summits' letter also questions whether there is sufficient area outside of the floodplaill or wetland available on the Property to construct the Project. Summit submitted additional documents regarding this issue. 11. The City Council received a letter from Parker dated October 4, 2004, alleging that 311 . EA W cmmot be required for the Project, claiming the Project is exempt pursuant to Minnesota Rules Section 4410.1000 Subpt. 10. 12. Parker's letter discussed the issue of available area to construct the Project but did not address any environmental effects to the floodplain, wetlands or surface water that might result from the Project. 13. The City of Hopkins retained Chris Meehan of Wenck Associates, Inc. to review all infom1ation submitted regarding the Project, including the infom1ation submitted on behalf of Petitioners regarding the EA W. The City Council received a written report from Meehan dated October 7, 2004. 14_ On October 12, 2004, the City Council met to review the information submitted by Petitioners, Summit, Parker and Meehan. Meehan appeared and discussed the infoTI11ation submitted and his report. Mr. Meehan also attended the October 19, 2004, City Council meeting and again reviewed this infonnation with City Council members_ 15. Meehan stated that the Project as proposed would result in the filling of an undetenllilled amount of floodplain, the filling of .1 0 acres of Type 3 wetlands and would result in untreated stormwater runoff from the driveway used to access the Project from Second A venue. . . 1 G. Meehan said neither the Petitioners nor Summit had submitted any evidence that the Project might have the potential for significant enviromnental effects as a result of the floodplain or wetland fill or the mnoffwater. 17_ Meehan stated that the floodplain, wetland and surface water issues are subject to regulations administered by the Nine Mile Creek Watershed District ("NMCWD"). Meehan said Parker had not yet submitted all the necessary inf0ll11ation to the NMC\VD to address these issues. Meehan said neither the Petitioners nor Summit had submitted any evidence identifying a specific significant environmental impact that might be c~ll1sed by the Project that would be beyond the scope ofthe standard NMCWD review. Meehan stated that Parker should be required to following the standard permitting process through the NMCWD and that the resolution of any floodplain, wetland or surface water issues raised in that permitting process would resolve any potential environmental effects for the Proj ect. 18. Meehan stated that the Project is not exempt from EA W review. 19. The City Council, at its October 19, 2004, meeting, also received public comments and presentations from representatives of the Petitioners. 20. The Hopkins' City Attomeys office reviewed Minnesota Rules Section 4410_1 OUO subpt. 10 (the "Rule") and spoke with Jon Larsen of the EQB regarding the exemption . language. The City Attorney indicated that, pursuant to the Rule, some projects are exempt from the EA W review. The City Attorney said that projects that otherwise might be exempt pursuant to the Rule would remain subject to EA W review if any part of the project was located within a floodplain. The City Attomey further stated the floodplain language in the Rule was poorly drafted and could be read so that it did not to apply to the Project, making the Project exempt from EA W review. The City Attomey said he spoke with Jon Larsen of the EQB who indicated the Rule had been enoneously drafkd, that the floodplain language always was intended to apply to all projects and that the EQB always had applied the floodplain language to all projects. The City Attorney, therefore, detemlined that the Project was not exempt from EAW review. NOW THEREFORE BE IT RESOLVED, that the City Council of the City of Hopkins hereby deternlines that, based on its Findings of Fact: 1. The Project is not exempt from EA W review. 2. The information submitted by Petitioners and Summit fails to establish that the Project might have the potential for significant environmental effects. 3. An Environmental Assessment Worksheet is not required for the Project. 4. The petition for an EA W is denied. . . Adopted by the City Council of the City of Hopkins this 19th day of October, 2004. By Gene Maxwell, Mayor ATTEST: TelTY Obermaier, City Clerk . . . . October 15,2004 3rd Quarter 2004 Financial Report Proposed Action Presentation of the 3rd Quarter 2004 Financial Status of the City Supportinf!: Information . Slides of3rd Quarter 2004 Financial Report presentation ) - ~ 1-' {. :t:(,j~/?G C 'i1bd4--/ Christine M. Harkess, CPA, CGFM . Finance Director . . l- II: = a. ... II: en ... C z - .~ ~ lo-. 0 -- a... ~ ~ . lo-. 0 .... =c Q ~ =2 I ~ e ~ N w- e LL . ... ~ II: 0 I ~ ... >- ~ I- ~ u II: I- ... -< C - ~ () U = ... rJJ rJJ = ~ ~ lo-. '= ~ == .. . Cw:t ~ ~ = . ... -- . rJJ . ... lo-. ..c U - - --- . s C ID ('I') C]) 0 . Q 0> W- ...c ...c...... = "'0 '+-0 -+- en 0 -E - :::J s..... _ -...c en Q.) =-= CD ('I') co - "0 0> 3: 0) W-o 0 C]) C en~_ I- 0 Q.) 0 ._ ....... >-. ::::::::: U - en ,- - 0 0 >-.L() ~ C]).('I') 0 -N .. ro C]) ><i 0.. C CO W- e E .E I'- "0 ~ ~ a. '= - - -- ...... 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Q.) ~ c... -- o:t:::::Q.)~ en ~ co :r:o'+-E '+- c... 0 o - 0 0 ~ -~ +-' +-' :!:::: (.) en ~ ()cc=== co 0 -- Q.) ,..... _ _ ..c l.... ........ - - ....ct+=(.)>< . I- co ~ , . . I- 1:1: = a.. ... 1:1: ... en III z - c.:a ~ . -=rz c... =11I 0 =z :c N ... LL 1:1: 0 ... >- l- I-- 1:1: - III () = =- -= .. ~ . . CITY OF HOPKINS . Budget Notes for 10/26/2004 Council Work Session Economic Development Fund . 2004 Budget included salary figures for Asst to City Manager. This position was vacant in February 2004 and not replaced. . 2005 Budget has been adjusted to show reduction in personnel . There is no amount budgeted for the Livable Community Grant as no projects have been identified for that program in 2005. . Use ofreserves totals $131,270 for 2005 . Reserves total $2,870,156 at September 30,2004 Parking Fund . Propose to increase ramp permits for 2005 -last increase was in 2004 for $10/aIIDUal 0 Yearly $140 to $150 0 Quarterly $ 40 to $ 43 0 Monthly $ 15 to $ 1 7 0 Daily/Single Event $ 2 to $ 3 . Enforcement Officers budgeted at 29 hours each, an increase from 25 hours. This adds approximately $5,600 with benefits to the proposed 2005 budget. . In total the funds is projecting a $37,991 net loss for 2005. This includes the proposed increase in rates and in officer enforcement. . . Reserves total $298,203 at September 30, 2004 Equipment Replacement . Capital levy for 2005 totals $25,000 . $741,800 per 2005-2009 Equipment replacement plan . Fund has reserves totaling $2,750,757 at September 30, 2004 . Scheduled equipment purchases are: 0 $79,600 - Police squad cars (6), sergeant vehicle (1) and admin vehicles (2) 0 $49,000 - % ton pick up trucks (2) 0 $140,000 -Front end loaders (2) 0 $400,000 - Luverne pumper 0 $43,500 - Computer replacement, network servers (3) and server upgrades 0 $8,000 - Copier replacement 0 $20,300 - Extrication tool 0 $1,400 - Trailer flatbed . Rates charged to various departments will be evaluated during 2005 for 2006 budget . Page lof2 - Water Fund . . Increase Rates by $0.20 from $1.20 to $l.40 . In total a Net income of$64,152 is projected . 48220 ~ Pumps & Well Revenues 0 Operating loss of$29,93 I projected . 48240 - Distribution Revenues 0 Operating income of$272,884 projected . Capital Outlay Expenditures 0 Mise Equipment - $50,000 . Construction Expenditures 0 Water meter Radio Read System ($105,458) 0 CSAH 73/CSAH 5 $100,000 0 County Road 3 $200,000 0 Residential Street Imp $ 75,000 Refuse Fund . 48910 - Bulk Collection 0 Operating loss of $44,85 8 proj ected 0 Billed when customer calls for item pick-up 0 Rates are $25 for ~ cy or per large item. . 48915 - Yard Waste/Leaf Collection 0 Operating loss of $81,667 projected . 0 Charges are part of the recycling fee 0 Fees are set to increase for 2008 . 48920 - Recycle 0 Operating loss of$18,872 is projected 0 Fees are set to increase by $0.50 in 2008 and are split with the yard waste dept 0 Last rate increase was in 2002 when they were raised by $0.50 . 48925 - Brush Service 0 Done on an on-call basis 0 Operating loss of $69,675 is projected 0 No revenues since 2001 in this dept as fees are credited to Yard Waste dept 0 Customer is billed based on amt picked up . $5 min charge for less than 5 cy . $15 for 5 - 18 cy . $30 for 18+ cy 0 Do we really need this dept? . 48930 - Disposal 0 Rate increase for 2005 0 Last raised rates in 1995 . Old Rates = $11.00; $13.25; and $14.45 . New Rates = $13.20; $15.90; and $17.25 0 Operating profit of$189,764 is projected 0 This will cover all but $25,308 of the fund operations which includes depreciation 0 Excluding depreciation the fund net income would be $7,192 . Page 2 of 2 CITY OF HOPKINS . ANALYSIS OF PARKING RAMP OPERATIONS PROPOSED 2005 RATE INCREASE Revenues Expenses Comments Parking Enforcement $ 40,000 $ 78,546 Revenues are from fines Parking Operations $ 27,500 $ 9,541 Revenues are from leased parking - $20,000 and interest. $7,000 Parking Ramp $ 32,600 $ 53,904 Revenues are from leased parking Expenses to determine net cost of parkinQ operations Parking Operations $ 9,541 Parking Enforcement - net $ 38,546 This equals $39.29 per 981 available parking spaces Parking Ramp Maintenance $ 53,904 Total cost of parking operations $ 101,991 Cost per parking space $ 104 981 spaces are available in all city owned lots enses to determine net cost of Parking Ramp Maintenance $ 53,904 380 spaces available of which 200 can be permitted Ramp Maintenance costs per space $ 142 $53,904/380 spaces Ramp Enforcement Costs per space $ 39 Total cost per ramp space $ 181 Current charge per space $ 140 Yearly fee for parking permit Proposed rate increase $ 150 Notes: In 2003 actual lease revenue totaled $51,900. Of that $18,000 was paid by Wells Fargo as an assessment for 120 spaces leaving $33,900 from other persons. Starting in 2004 Wells Fargo pays $140 per parking permit for their employees. Assuming they still purchase 120 spaces this totals $16,800. The 2004 budget for leased spaces is $52,600. Projected actual is estimated at $48,000. The 2005 budget for leased spaces with the proposed increase is $56,500 of this $35,000 is from parking permits for the ramp . 1 0/26/2004 . CITY OF HOPKINS PROPOSED BUDGET CALENDAR October 26,2004 Review Special Revenue Funds that had questions from 10/12 council work session; review water, refuse and parking funds; evaluate proposed water, refuse and parking rate increases November 2 Council Meeting - Proposed water, refuse and parking rate increases on council agenda for approval November 9 Review General Fund and use of reserves; evaluate tax levy information and proposed levy; evaluate capital requests in general fund November 16 Council Meeting - Do we want to schedule a public forum to review the proposed 2005 budgets? November 23 FD on vacation (planned previous to employment) November 30 Overview of information to be presented at tax hearing . 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