08-13-2013 WSMINUTES OF THE CITY COUNCIL WORK SESSION
Tuesday, August 13, 2013
Council Chambers — 6:30 p.m.
The meeting was started at 6:30 p.m. Present were Mayor Maxwell and Council members Molly
Cummings, Jason Gadd, Kristi Halverson and Cheryl Youakim, City Manager Mike Morrison, Finance
Director Christine Harkess, Director of Economic Development and Planning Kersten Elverum,
Community Development Coordinator Meg Beekman, City Engineer John Bradford, SWLRT
representatives Ryan Kronzer, Dan Pfeiffer & Craig Lamothe, PPL representatives Chris Wilson &
Matt Soucek, Ehlers representative Stacie Kvilvang and Jason Sprague of SEH Design/Build Inc.
New business:
SWLRT Update
Ms. Elverum gave an update on the Southwest LRT project, station plans and timeline. Mr.
Lamothe provided Council with an update on the LRT technical issues affecting Hopkins including
the project process, public input meetings, guiding principles, municipal consent plans, cost
estimates and the need for continued discussions as the project moves forward in order to reach the
best solutions.
Technical issue at Shady Oak Station: The station platform has been moved closer to Excelsior Blvd
to take advantage of future redevelopment opportunities, extension of 17th Avenue South and a 500
surface park and ride. There was much Council discussion regarding surface vs. ramp parking,
surface acres needed for surface parking, development parcels, visibility of redevelopment sites and
by locating the station & surface parking entirely in Hopkins reduces the redevelopment
opportunities. Mr. Lamothe stated that parking is determined at station locations depending on the
site footprint and that a parking ramp could be potentially built in the future. Hopkins staff is
advocating for redevelopment parcels and adding footings at time of construction for the possible
future ramp.
Technical Issue at Downtown Hopkins Station: The station will accommodate bus ridership, drop-
off site and a civic plaza. Ms. Elverum discussed with Council the crossing improvements at 8th
Avenue and 5thAvenue, bus drop off area, coordinated transit plaza, green area, enhanced bicycle
facilities and that Hopkins visions this station as a gateway into downtown. There was much
Council discussion regarding the look of the stations, number of trains per day and the need for
traffic signal coordination.
Technical Issue at Excelsior Blvd Crossing: A longer bridge structure is needed and the freight rail
will be moved to the north side of the corridor allowing for consistency of stations located on the
south side of the corridor.
Technical Issue at Blake Station: The station will be moved to south of the corridor and a 445 park
and ride structure will be built. The station location will accommodate future & joint development
opportunities. Mr. Bradford discussed the need for traffic studies and signalized entrances to the
parking ramp.
Mr. Lamothe stated that the overall revised design cost estimate for Hopkins is 85 million dollars.
There was much Council discussion regarding the amount of needed parking spots, ridership,
reasonable bike & walk distances, bus lines and major traffic corridors feeding the line, changing
bus stops to be closer to stations, the potential to add onto parking structures and that the parking
system is built out to the year 2030.
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Technical Issue at the Operations and Maintenance Facility Site location:
The final two sites are located in Eden Prairie and Hopkins. The possible Eden Prairie location is at
the end of the line and will include 950 parking spaces. The Hopkins location is South of the Shady
Oak Station and will include employee only parking. The Hopkins site has been tightened, therefore
needing fewer property acquisitions and allowing for redevelopment opportunities. There was much
discussion regarding the cost estimates for the sites, operational cost differences, ridership,
acquisition & relocation costs and the need for fewer drivers at the Hopkins mid -location site. Mr.
Lamothe estimates that the construction costs for both sites is approximately the same but the
operational cost savings is approximately one-half million per year at the Hopkins site. Mr.
Bradford requested that the city receive notice prior to the public announcement of the OMF
location.
Mr. Lamothe discussed the next steps, project schedule and timeline as the process moves toward
municipal consent. Mr. Lamothe gave an overview of the municipal consent process. There was
much Council discussion regarding the municipal consent process, how much the plans can change
following municipal consent, the possibility of adding conditions to the municipal consent and joint
development opportunities. Mr. Lamothe stated that substantial changes to the plan would come
back before council and will investigate the ability to put conditions on the municipal consent.
Council was encouraged to contact SWLRT or Hopkins city staff with any additional questions.
PPL Concept for Oxford Green Project
Ms. Beekman gave an overview of the proposed Oxford Green project. Ms. Beekman reviewed the
proposed site map, project area, purchase agreement for the six properties and grant funding. The
property would be located '/z mile from the future Blake Station, next to Cottageville Park and
would support the vision of Blake Road area. The property would require rezoning and the concept
will be reviewed by the Zoning and Planning Commission at an upcoming meeting.
Mr. Wilson addressed the Council and gave an overview on Project for Pride in Living, Inc. (PPL)
mission, programs and services. The mission of PPL is to provide affordable housing, support
services, employment training and education. PPL programs serve over 14,000 people in the Twin
Cities annually. Mr. Wilson gave an overview of PPL geographic locations throughout the Twin
Cities, showed examples of existing properties and the importance of transit oriented development.
Mr. Wilson gave an overview of the 51 -unit building site and design features including exterior
fagade materials, on-site office & maintenance, floor plans, layout of units and area walk -ability.
There was much Council discussion regarding making the project unique to the area, parking
requirements, support services, resident turnover rate, community room, affordable rents, crime free
& drug free lease addendums and screening of tenants. There was much discussion regarding the
current value of the property, the enhanced tax value after the project is complete and the number of
new units that replace the number of apartments taken for the Cottageville Park project. Council
suggested that the developer contact the adjoining neighbors & apartment owners, market the
project to the local community, reach out to the Blake Road Corridor Collaborative, maintain
individual entryways off Oxford Street to fit in with the look of the neighborhood and to schedule a
neighborhood meeting to encourage input and involvement with the project. Council consensus was
that they liked the concept for the proposed quality affordable housing project.
Comprehensive Financial Plans
Ms. Kvilvang of Ehlers gave an overview of the Financial Management Plan, a multi-year fiscal
plan.
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Ms. Kvilvang discussed the practical reasons for adopting a fiscal plan including the ability to
compare Hopkins to similar size entities, manage expectations, maintain assets, budget process
understanding, rating agencies like multi-year plans and it reduces reactivity during unpredictable
fiscal environments. Ms. Kvilvang reviewed the steps already completed and the next steps that
include analyze & compare standards, layout policy issues & discuss priorities and options, and
develop support and communicate plan to the public. Ms. Kvilvang discussed the tactics for
successful implementation, which include a comprehensive fiscal plan, integrate budget, tax policy
& capital plan, update annually and get involvement from all departments. The results of a multi-
year fiscal plan is less "paycheck to paycheck" thinking, multi-year project planning and a financial
management plan makes difficult decisions easier.
There was much Council discussion regarding the timing of the plan for the 2015 budget process.
Council consensus is to schedule a special work session before end of the year to discuss the
Financial Management Plan.
Water Tower Maintenance Program
Mr. Bradford gave an update on upcoming demolition of 435 Blake Road and updated the Council
on the Met Council Lift Station. Currently the Met Council is reevaluating the site location for the
Lift Station. Possible sites include Oakes Park, Cottageville Park and the existing lift station site.
There was much discussion regarding the different site issues and the importance of meeting the
needs of the city.
Mr. Jason Sprague, SEH Design/Build Inc., gave an overview of the water tank maintenance service
program, water tank service life and the high construction and replacement costs of water tanks. The
goal of proactive maintenance program is to extend the duration between rehabilitation projects.
The SEH maintenance plan includes evaluation, rehabilitation, safety improvements, routine
maintenance, tank cleaning, touch-up, and telecom consultation. Mr. Bradford addressed the
Council regarding the two Hopkins water storage tanks. The City spends approximately $1.2
million painting the towers every 10 to 15 years. The large expenditure impacts the water fund and
bonds are sold to finance the work, which is warranted for one year. The comprehensive
maintenance program evens out expenditures, will provide annual inspections and maintenance that
will extend the life of the coating, and will give the City a ten-year warranty on the next painting.
There was Council discussion regarding use of water revenue bonds, age of the water tanks, other
cities under the program, leveling out of expenditures, painting scheduled for 2016, past tank leak
caused by failure to the coating system, comparative costs of repairs and the yearly cost of the
maintenance program. Mr. Bradford advised the Council the cost of the program is $100,000/year
for 14 years.
Council requested that Mr. Bradford provide Council with an update on the utility study prior to
making a decision on the water tower maintenance program.
2014 General Fund
Ms. Harkess gave an overview of the first draft of the 2014 General Fund budget. Ms. Harkess
presented an analysis of the 2014 General Fund revenue & expenditure budget, explanation of the
increases and decreases from the 2013 budget and breakdown by department. The budget as it is
currently presented is a 3.46% increase over 2013. The City is receiving $289,900 in LGA and the
tax levy currently shows a 1.12% increase due to debt levies. Ms. Harkess gave an overview of how
the City achieved a balanced budget including reduced personnel time, equipment maintenance
savings and sales tax savings. Ms. Harkess reviewed the next steps and timeline in the budget
process including an informational presentation, adopt the proposed budget and levy on September
3, Truth in Taxation hearing on December 3 and approve the final budget and levy on December 3.
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There was much Council discussion regarding the tuition reimbursement program, LGA helped
keep the levy stable, a 1.12% levy does not mean taxes will go up that much and the Hopkins tax
base is expanding with redevelopment.
Council consensus is that the initial increase of 1.12% is not bad but would like to see it lower than
1%. Council directed staff to look at the general fund increase and fine tune department budgets to
see if the increase can get less than 1%. Council also would like information on how other cities are
using LGA monies. Council asked staff to present the 2014 General Fund budget at the August 20th
City Council meeting. This will give the public 2 weeks to review the budget before it comes before
Council again.
Other
• Council discussion on the Southwest LRT OMF facility location.
• Beyond the Yellow Ribbon proclamation ceremony Saturday, October 5 at Downtown Park.
• Ribfest is on Saturday, August 17th, 1-4 pm at Elks Lodge.
• September 10th Work Session will be at the Fire Station.
• City tour of Hopkins for Council members will be scheduled for September P or 10''.
With no further business to discuss there was a motion by Council member Halverson and a second
by Council member Gadd to adjourn the meeting at 10:47p.m.
Respectfully Submitted,
Debbie Vold
ATTEST:
Euge xwell, Mayor Kristine A. Luedke, City Clerk