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06-12-01 WSJune 12, 2001 Page 1 MINUTES CITY COUNCIL WORK SESSION -JUNE 12, 2001 A work session of the Hopkins City Council was held at 8:15 p.m. on June 12, 2001, at the City Hall. Council members present were Mayor Maxwell and Council members Brausen, Hesch and Jensen. City personnel present were City Manager Mielke, Assistant City Manager Genellie, City Manager Assistant Stahmer, Economic Development Director Kerrigan, Housing Coordinator Elverum; Economic Development Coordinator Hartshorn, Chief Building Inspector Davidson, Police Chief Reid, and Captain James Liddy. East CDB Redevelopment Project, Developer Proposal Reviews Ms. Elverum said 8 proposals had been received, all combining residential and commercial components. Most had 3-4 stories. Housing ranged from affordable to high-end, and 9-18,000 square feet. Development costs ranged from $7-18 million. Ms. Hesch had a question on Cornerstone referring to Market & Grand. Ms. Elverum will get that clarified. Mr. Mielke said he felt the major concern was to pick the developer that would work best with the Council to develop what they want, rather than judging the plans proposed themselves. This would come out more in the interview process. Mr. Kerrigan noted 2 developers had worked with Hopkins before. Mr. Brausen said he felt the city had to not get too comfortable with a developer and thus leave out something or some other developer that would be more beneficial. He stressed the financials have to be clearly laid out. He is concerned how the part fronting 7"' will blend in with the neighborhood. General discussion on the various developers followed. Ms. Hesch asked about coop housing, and discussion showed this to be a complex issue. Mr. Mielke updated Council on where property purchasing is at. He and Mr. Brausen met with Dale Locomen on Friday who is very interested in cooperating but is concerned on how he can put an addition over the basement on the south side, parking, and access to loading docks. He wants them to meet with his children as they run the actual business. Mr. Kerrigan said he had met with Chase Co. and other Rudy Luther people; they should be presenting a counteroffer soon. Their tenant is already looking at other space. He also noted that most of the developers had said they would do scaled-down projects. Discussion moved to the financing. Ms. Elverum said she felt that if there were no Livable Community Grant money, the city would probably not be able to get money for the land itself. Mayor Maxwell said he felt there should be no TIF money at all; the others agreed. Mr. Mielke asked Mr. Kerrigan what the deadline for choosing the developer is. Mr. Kerrigan said August/September. General Consensus: Staff should research coops and report back to Council. Staff should contact the developers and ask them if they are interested if there is no TIF money. They should also be asked about financing if the Livable Community Grant does not come through. The developers who are still interested should all be interviewed for a half hour, with Ellers involved in the process. Staff should continue working with Luther and Locomen. The "interview tool" sheet will be evaluated after the next Council meeting. CBD Inspection/Broom Program June 12, 2001 Page 2 Mr. Hartshorn said he felt all items of concern of the property owners group were covered in the maintenance code. The issue is that to date inspection has been done on commercial properties on a complaint basis, even though residences are inspected on asemi-annual basis. He and Mr. Davidson feel that commercial properties in the CBD should be inspected twice a year, and that the "broom program" previously discussed with the Council would be a good way to introduce the new system. Mr. Davidson said a quick "alleyscape" sweep a couple weeks before major downtown events like Raspberry Festival would also be a good idea and not be a manpower issue. Mayor Maxwell expressed doubts of starting a new program because business owners will feel the city should then do everything. Mr. Brausen said if it did not take a lot more manpower it should be done, with businessmen handing out the brooms. Business people have been told they need to come to the city with a plan. Ms. Jensen said she has heard many negative comments from visitors about the alleys and feels a 5-year plan for improving alleys should be considered. General Consensus : There should be a bi-monthly drive through the CBD from April through October. The broom program should be publicized and implemented. Final action should take place at a Council meeting before "kickoff." A review of the program should take place next spring to see if it should be continued. Police Civil Service Commission Police Chief Reid explained why having the Commission is making it impossible for him to hire a dispatcher at present. Captain Liddy said it is putting Hopkins at a severe disadvantage in hiring police staff. Chief Reid explained the appeal process provided by the Commission has not been utilized since the 1980's. He said some policemen have questions, and Mr. Mielke agreed it would not be unanimous with all the police officers. He later noted that the abolishment would put Chief Reid and Captain Liddy at the "biggest risk" for any of the force. Chief Reid said what he is requesting of the Council is that they appoint 2 commissioners immediately so that if the commission is not abolished at least he can hire the replacements he needs now in three months. He would like to see the commission abolished. Mr. Mielke said the Council had been told 2 weeks ago there was a crisis. Two people have to be appointed to the Commission next Tuesday, but he feels they should be told the Commission be disbanded. Chief Reid says the city cannot get an injunction to suspend the rules. Mr. Mielke said the Commission cannot be suspended; it must continue or be abolished. Council members cannot be members. To abolish, there needs to be a resolution; with 2 readings passed unanimously; or by referendum, which would be too late to help the present crisis. Mr. Genellie said Minnetonka and St. Louis Park abolished their commissions; others are in the process of doing so. Ms. Hesch said the commission no longer fulfills a purpose and city safety is being compromised. She could see the sense of having a citizen advisory board for public input. General Consensus: Council members Hesch, Jensen and Brausen favor immediate abolishment. Mayor Maxwell is unsure, but agreed the first reading to abolish could be at the next Council meeting; there would then be an opportunity for people to comment on the abolition prior to a second reading. Two appointments shall be made next Tuesday, with the appointees being told the commission may be abolished. Other Taste of Minnesota The planning committee has proposed a budget of $15-18,000. They are trying to get donations; the Jaycees don't have money. Ms. Hesch noted the booth would be open 11:00 a.m.-5:00 June 12, 2001 Page 3 p.m.; that should cut numbers of people. Mr. Brausen agreed, adding we don't want leftovers. .Mayor Maxwell suggested contacting Citri-systems to see if they could be utilized. He also suggested a "floating duck" or "gold raspberry" for getting a bag, with better items then being used. Mr. Mielke noted Bobbi is trying to contact other cities to get ideas. General Consensus: Budget should be $10,000. Alcohol Permits in Parks Ms. Hesch said she has found volleyball alcohol permits are being handled differently than softball permits, which she feels is unfair. Softball teams can get season permits; volleyball teams cannot, and volleyball teams are often sent back and forth between Minnetonka and Hopkins. Mr. Mielke said his recollection was that when the ordinance was drafted, softball teams were specifically exempted. General Consensus: This needs to be brought back for more discussion. Miscellaneous Ms. Hesch was approached by Representative Betty Folliard to comment Wednesday at 10:00 a.m. on how a shutdown of government would affect Hopkins. After discussion, she decided she would not go. Mr. Mielke said staff met with CRESA, Mr. Vos and Medica's attorney to discuss what may happen if the new tax bill passes. There are a couple routes to take to save the project: the bill may say any development agreement by July 1 is protected; the TIF may need to go to 25 years and Hopkins get half of the proposed administrative fees; SuperValu may have to kick in something more. He noted the city's evaluations have been based on 2'/a % per year, if 3 % there would be more TIF. Ms Hesch moved adjournment; Ms. Jensen seconded. Meeting adjourned at 11:00 p.m. Kasey Kester, Secretary ATTEST: ~G~ ~ Eu e J. ,Maxwell COUNCIL MEMBERS