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03-14-2023 City Council MeetingHOPKINS CITY COUNCIL REGULAR MEETING PROCEEDINGS MARCH 14, 2023 CALL TO ORDER Pursuant to due call and notice thereof a regular meeting of the Hopkins City Council was held on Tuesday, March 14, 2023 at 6:30 p.m. in the Council Chambers at City Hall, 1010 1st Street South. Mayor Hanlon called the meeting to order with Council Members Balan, Beck, Garrido and Hunke attending. Others attending included City Manager Mornson , Assistant City Manager Lenz, Management Analyst Imihy Bean, Finance Director Bishop, City Clerk Domeier, Director of Planning and Development Elverum, Community Development Coordinator Youngquist, Planner Howard, Deputy City Clerk Vidoloff and City Attorney Riggs. ADOPT AGENDA Motion by Balan. Second by Garrido. Motion to Adopt the Agenda. Ayes: Balan, Beck, Garrido, Hanlon, Hunke Nays: None. Motion carried. PRESENTATIONS III.1. Depot Update; Lenz Finance Director Bishop provided an update on the Depot changes and summarized the next steps. Randy Ridenour and Mary McNeill shared their concerns about the coffee house operations closing, the future of the youth board and events. The City Council shared their support for the coffee house operational changes and looked forward to future youth programming. Council Member Beck shared disappointment with the Depot partners. Mr. Bishop stated that staff is working through the event programming options. III.2. West Metro Collaborative Update; Westmoreland/LaTondresse Jen Westmoreland, Hopkins School Board Chair and Chris LaTondresse, Hennepin County Commissioner provided an update on the West Metro Collaborative. III.3. Sanneh Foundation Update; Ballard Crystal Ballard, Hopkins High School Principal provided an update on the Sanneh Foundation’s work. III.4. Short-Term Rental Update; Howard Planner Howard provided an overview of short-term rentals (STRs) and requested input and on various policy objectives and regulatory elements that could be incorporated into the City’s STRs regulations. Council Member Balan preferred requiring background checks persons staying at STRs. He also supported the zoning changes. Council Member Hunke questioned the rental license inspection. Mr. Howard stated that inspection proposed is only for the initial license. Council Member Beck questioned if public comment would be allowed for the HOPKINS CITY COUNCIL REGULAR MEETING PROCEEDINGS MARCH 14, 2023 license considerations. Mr. Howard explained that under the zoning structure the license would not require a public hearing. Council Member Beck did not support having background check on the guests. Council Member Hunke supported the license revocation process. City Manager Mornson expressed concerns about the licensing structure and the impacts the inspections may have on staff. Mayor Hanlon stated that any license fees with STRs should cover the inspection expenses. III.5. Affordable Housing Update; Youngquist Community Development Coordinator Youngquist provide information on inclusionary housing, 4d programs as a tool for the preservation of naturally occurring affordable housing, and affordable housing trust funds. Whitney Terrill, Hopkins Planning and Zoning Commissioner, expressed support for affordable housing and racial equity within Hopkins. Another resident questioned if policies are in place to ensure affordable housing in Hopkins stays protected and requested policies to engage with diverse populations. Andrew W right, Hopkins Planning and Zoning Chair, stated that inclusionary housing is important to the future of Hopkins. He encouraged geographic area focus for inclusionary housing and opportunities for funding projects. He stated there are other NOAH tools to pursue other than 4d. Butch Johnson, 140 11th Avenue North, echoed Mr. Wright’s comments. He shared his understanding of the different processes. Larry Hiscock, 302 7th Street South, encouraged to City Council to look at regulatory and policy framework around affordable housing. Discussion ensued regarding developing an Inclusionary Housing Policy. The City Council supported a policy that included flexibility, 20+ units, mixed unit types throughout of the building and increasing the requirements to 20% of units, Council Member Balan did not support a policy due to the unintended consequences but if it moves forward, he requested more flexibility. The City Council debated and suggested having a scale to determine the AMI levels. Council Member Balan inquired about having a cap. Staff will come back with some recommendations. There was some support for a payment in lieu option. Further discussion was held about pursuing a 4d Program. Mayor Hanlon supported this option with the possibility of rolling out in a future year. Council Member Beck did not support a cap per building and Council Member Garrido questioned if there had to be a cap. Council Member Balan did not support the initiative. Council Member Hunke questioned if other programs to use for NOAH. City Manager Mornson shared concerns about the staffing for the initiative and if it would take away from other projects. Lastly, the City Council discussed the Affordable Housing Trust Funds and potential funding sources. Finance Director Bishop talked about a future tax levy for the program after the TIF Districts are complete. There was support for the program. HOPKINS CITY COUNCIL REGULAR MEETING PROCEEDINGS MARCH 14, 2023 Staff will review the options and come back at a future meeting with draft policies and programs for consideration. ANNOUNCEMENTS Mayor Hanlon reviewed the upcoming meeting schedule. ADJOURNMENT There being no further business to come before the City Council and upon a motion by Hunke, second by Balan, the meeting was unanimously adjourned at 9:11 p.m. Respectfully Submitted, Amy Domeier, City Clerk