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06-04-02A regular meeting of the Hopkins City Council was held on June 4, 2002, in the Council Chambers of the Hopkins City Hall. Present were Mayor Maxwell and Council Members Brausen, Jensen, Johnson, and Rowan. Also, present were staff members Mielke, Genellie, Stadler, Kerrigan, Bot, Anderson, and City Attorney Jerre Miller. I. CALL TO ORDER Mayor Maxwell called the meeting to order at 8:15 p.m. II. OPEN AGENDA -PUBLIC COMMENTS AND CONCERNS There were none. III. REPORTS -COMMITTEES/COMMISSIONS 1 . Chemical Health Commission Maureen Allen reported that the Chemical Health Commission met on June 3~d The issue discussed was the lack of Commissioners and attendance of the Commissioners. Mayor Maxwell explained the appointment process in response to Ms. Allen's question. Ms. Allen said that the Commission wants people who are interested in the chemical health of the youth of Hopkins. The Commission does not meet in July. Ms. Allen read a letter of resignation from Martha Vennes. Ms. Allen questioned how he Commission would go about extending terms of commissioners. Kathy will start teaching Counteract in the fall with the fifth grade students. The Commission would like to recruit a third youth for the commission. 2. Zoning and Planning Commission Jay Thompson said that the Commission discussed and recommended approval of the variance in Interlachen. They also discussed the rezonings, conditional use permits and plats for the Regency and Cornerstone developments. They reviewed the changes on the transit hub and were disappointed. Mayor Maxwell said that there would be joint meeting in July where they will discuss porches and variances in general. IV. CONSENT AGENDA 1. Minutes of May 21, 2002, City Council Meeting 2. Minutes of May 28, 2002, City Council Work Session 3. Ratify Prior Month's Disbursements June 4, 2002, City Council Meeting Minutes Page 1 4. Appointments to Boards and Commissions (Memo) 5. Annual Farmers Market Agreement (CR2002-103) 6. Temporary 3.2 Beer License for Jaycees Raspberry Festival (CR2002-98) 7. Approve MnDOT Maintenance Agreement, Excelsior Blvd (CR2002-102) 8. Approve Hovander Easement (CR2002-101) 9. Moved to new business 1 a. 10. Reorder Bids for Central Park Storm Sewer Improvements (CR2002- 100) Council Member Brausen moved and Council Member Jensen seconded a motion to approve the Consent Agenda as amended. A poll of the vote was as follows: Council Member Brausen, aye;. Council Member Jensen, aye; Council Member Rowan, aye; Council Member Johnson, aye; Mayor Maxwell, aye. The motion carried unanimously. V. OLD BUSINESS 1. Discussion of Sidewalk Deletion Request from Peter Keller (Memo) Mr. Keller, 2 - 1 1 t" Ave N, has been before the Council twice to request that the Council remove the sidewalk planned for the north side of 2"d St N from the 2002 Street Improvement Project. Staff met with Mr. Keller regarding the issue. In the evaluation of the trails and sidewalks in the City, a number of gaps and inconsistencies were found in the system. Several commented on how filling the voids would enhance the community as a whole by allowing greater pedestrian mobility, safety and overall use of the system. The north side of 2"d St N from 5t" Ave N to 12t" Ave N was identified an east/west pedestrian way that contained existing sidewalk along a majority of the corridor, but has two and one half blocks of spread out gaps in the sidewalk. The gap between 5t" and 6th Sts will be completed with the 5t" Ave N street project in 2003. Mr. Stadler said that a petition that stated that the sidewalk was not needed was presented at the June 3~d Council Meeting. The people who signed the petition were not all in the adjacent area. Council Member Jensen said that the sidewalks have been objected to in all areas for a long time. She does not believe that sidewalks should go where people don't want them to be. Peter Keller, 200 - 1 1t" Ave N, stated that the sidewalk should not be put in, because it is not needed. Mr. Keller said that there is other access to the trail and that safety is not an issue. June 4, 2002, City Council Meeting Minutes Page 2 Council Member Brausen said that he is not opposed to the sidewalk. He said that he would like to have a discussion about the financial and budget aspects of the addition of sidewalks. Kurt Paulson, 325 - 1 1 th Ave N, said that he is opposed to the sidewalk on that stretch. Jay Stein, 201 - 12th Ave N, said that his is the other property directly affected by the sidewalk. He stated that the sidewalk would make pedestrian crossing at the intersection less safe. Cost is an issue. There is no need for the sidewalk. Jay Thompson, 201 - 6th Ave N, said that he moved to his neighborhood because it has sidewalks. He is in favor of putting this one in. It is a benefit to the greater number of residents. Stuart Mortrude, 206 - 1 1 to Ave N, said that he is in favor of sidewalks where they are wanted. This one is not wanted here. Dan Locken, 213 - 12th Ave N, asked that the intersection be controlled before sidewalks are added. Council Members Johnson and Rowan stated that the sidewalk has been approved, both in the Trail/Sidewalk Plan and with the street plan and felt that Council . needed to stick with the plan. Council Member Brausen stated that he wants further discussion of the costs, that he sees both sides of the issue, but he cannot see eliminating that sidewalk. Council Member Jenson moved to strike the sidewalk from the design. There was no second. No action was taken. VI. NEW BUSINESS 1 a. Schedule Public Hearing for July 2, 2002, and Consider Modification of Redevelopment Plan for Redevelopment Project #1 (CR2002-99) The City/HRA is proposing to undertake a construction project to address space needs of the Hopkins Police, Fire and Public Works departments. The project will take place on the existing Public Works site, the Pavilion site, and the parking lot between Public Works and Katherine Curren School. The City proposed to finance the project through an HRA-issued lease revenue bond. That financing requires that the property be located within a redevelopment June 4, 2002, City Council Meeting Minutes Page 3 project area and authorize construction and financing within the redevelopment plan. Legal counsel has recommended that rather than create a new project area, the existing Project Area No. 1 should be expanded to include the property on which the Community Facilities Project will be undertaken. The public hearing is scheduled for July 2, 2002. Council Member Jensen moved and Council Member Brausen seconded a motion to adopt Resolution 2002-56, calling for a public hearing on modification of redevelopment plan for Redevelopment Project No. 1 (re: Community Facilities Project). A poll of the vote was as follows: Council Member Brausen, aye; Council Member Jensen, aye; Council Member Johnson, aye; Council Member Rowan, aye; Mayor Maxwell, aye. The motion carried unanimously. 1 b. Variance Front Yard Setback, 101 Interlachen Road (CR2002-90) The applicants have requested a variance of 4.5 feet to allow the construction of a front porch. The zoning ordinance requires a 20-foot front yard setback for front porches in residential districts. The applicant appeared at the Zoning and Planning Commission meeting in October. The Commission continued the variance because they were considering an amendment to the zoning ordinance that would further define porches. When brought before the City Council, the definitions were omitted from the ordinance. The Zoning and Planning Commission recommended approving the variance. Council Member Johnson moved and Council Member Brausen seconded a motion to adopt Resolution 2002-48, approving a 4.5-foot variance at 101 Interlachen Road. A poll of the vote was as follows: Council Member Brausen, aye; Council Member Jensen, aye; Council Member Johnson, aye; Council Member Rowan, aye; Mayor Maxwell, aye. The motion carried unanimously. 1. First Reading, Rezone Regency Development to PUD (CR2002-91) The Beard Group is proposing to construct a residential development on the parking lots of Alliant Tech, north of 2"d St NE. These parking lots are currently zoned R-1- A, single and two-family high density, and R-1-C, single-family medium density. The proposed development will consist of 38 town homes and 28 single-family homes. The development will impact future use at the former Alliant Tech building with the elimination of parking. The Comprehensive Plan designates the site as residential. The PUD allows site-specific development and will allow a departure from the strict application of the zoning standards. The Zoning and Planning Commission recommended approval. Bill Beard presented the plans. June 4, 2002, City Council Meeting Minutes Page 4 Bob Healey, 245 Van Buren Ave N, said that he is not in favor of the PUD. He would like to see the project done within the current zoning requirements. He wanted the density cut to forty-five homes. He does not like the way the development will change the neighborhood. Council Members discussed the density of the project. Firmus Opitz, 315 Monroe Ave N, is opposed to the project as designed. Does not fit with the rest of the neighborhood. The buildings are too high. Bob Shaw, 309 Monroe Ave N, is opposed to allowing parking on 2"d St. NE. He would prefer parking on the avenues. He questioned the test wells on the site and asked if there is a pollution problem. Mr. Beard explained that because of some of the materials used by Alliant Tech, they had staff environmentalists and the site was required to be constantly monitored. They have tested both sites and have found no contamination. Mr. Shaw also stated that he is opposed to the high density of the project. Roy Hogge, 241 Van Buren Ave N, said that a PUD does not fit the neighborhood. The Carriage homes are too high. In response to Council Member Johnson's question, Mr. Beard responded that they are aware that the pillars on the corners could interfere with site lines and intend to make sure that it is not a problem. Council and staff discussed the parking issue on 2"d St NE. Mayor Maxwell brought up the association by-laws, stating that there needs to be more information on them. Mr. Beard said they have not been completed, but would be similar to Parkside. Steve Mielke stated that the developer should make the buyers aware that parking on 2"d St NE could be removed and should be reviewed no later than one year from project completion. Council and staff continued to discuss parking. Mr. Beard suggested that the development agreement include a requirement for the developer to notify the buyer that the parking might be removed. Council Member Johnson asked that electricity problems be checked further with Xcel. June 4, 2002, City Council Meeting Minutes Page 5 Council Member Jensen moved and Council Member Rowan seconded a motion to adopt Resolution 2002-49, approving Ordinance 2002-877, rezoning the Regency development to PUD for first reading. A poll of the vote was a~ .follows: Council Member Brausen, aye; Council Member Jensen, aye; Council Member Johnson, aye; Council Member Rowan, aye; Mayor Maxwell, aye. The motion carried unanimously. 2. CUP Regency Development (CR2002-92) The Beard Group is proposing to construct a residential development on the former parking lots of Alliant Tech, north of 2"d St NE. The lots are currently zoned R-1-A, single and two-family high density, and R-1-C, single-family medium density. The proposed development will consist of 38 carriage homes and 28 single-family homes with the condition that parking on 2"d St NE be revisited one year after project completion. The applicant is proposing a PUD because the density, lot size, and setbacks proposed are not consistent with the current zoning. The PUD allows a relaxation of the zoning requirements. The project is consistent with the Comprehensive plan. The Zoning and Planning Commission recommended approval. Council Member Rowan moved and Council Member Jensen seconded a motion to adopt Resolution 2002-50, approving a conditional use permit to construct 38 carriage homes and 28 single-family homes. A poll of the vote was as follows: Council Member Brausen, aye; Council Member Jensen, aye; Council Member Johnson, aye; Council Member Rowan, aye; Mayor Maxwell, aye. The motion carried unanimously. 3. Preliminary/final Plat Regency Development (CR2002-94) The project, proposed by the Beard Group, requires platting. All homes will be platted on their lots. The area not owned by homeowners will be part of the Association. There will by 20-foot alleys constructed. They will be private. There will also be a new 25-foot road constructed between Van Buren and Tyler. It will also be a private road. The plat as proposed needs to show aten-foot drainage and utility easement adjacent to all City Streets. Council Member Jensen moved and Council Member Brausen seconded a motion to adopt Resolution 2002-51, approving apreliminary/final plat for the Regency Development. A poll of the vote was as follows: Council Member Brausen, aye; Council Member Jensen, aye; Council Member Johnson, aye; Council Member Rowan, aye; Mayor Maxwell, aye. The motion carried unanimously. June 4, 2002, City Council Meeting Minutes Page 6 4. First Reading, Rezone Marketplace Lofts to PUD (CR2002-94) The Cornerstone Group is proposing to construct a condominium and retail development on the south side of Mainstreet between 7th and 8th Aves. They are proposing 14,148 square feet of retail on the first floor and 47 condominiums on three floors above the retail. The condominiums will be owner-occupied. The units will be loft style with open floor plans. The use is consistent with the Comprehensive Plan and existing zoning. The PUD will allow site-specific development. Heidi Kurtze of Cornerstone Group appeared to answer questions and introduced Charles Schatz, DJR Architects. Mr. Schatz reviewed the changes that have been made since Council first viewed the plans. He also presented the exterior design. Parking was discussed. Ms. Kurtze said that the lot easements between Marketplace and Lommens are finished and are waiting until Cornerstone takes possession of the property. There was a discussion of the ramp entrance. It will be approximately 30 feet from Mainstreet. Mayor Maxwell asked if the association by-laws have been completed. Ms. Kurtze responded that they are almost completed. Mayor Maxwell asked that our attorney review them to verify that they comply with our requirements. Ms. Kurtze said that approximately half of the residences are reserved. They hope to have reservations for one-half of both the residences and businesses by mid July. Council Member Jensen moved and Council Member Rowan seconded a motion to adopt Resolution 2002-52, approving Ordinance 2002-876, overlaying the Marketplace Lofts development to PUD for first reading. A poll of the vote was as follows: Council Member Brausen, aye; Council Member Jensen, aye; Council Member Johnson, aye; Council Member Rowan, aye; Mayor Maxwell, aye. The motion carried unanimously. 5. CUP Marketplace Lofts (CR2002-96) Construction of the project requires a conditional use permit. Nancy Anderson reviewed the uses and the requirements of the conditional use. Council Member Brausen moved and Council Member Johnson seconded a motion to adopt Resolution 2002-53, approving a conditional use permit to construct a retail/ residential development on the south side of Mainstreet between 7th and 8th June 4, 2002, City Council Meeting Minutes Page 7 Aves. A poll of the vote was as follows: Council Member Brausen, aye; Council Member Jensen, aye; Council Member Johnson, aye; Council Member Rowan, aye; Mayor Maxwell, aye. The motion carried unanimously. 6. Preliminary/final Plat Marketplace Lofts (CR2002-96) With the redevelopment of the block on Mainstreet between 7th and 8th Aves, the site will need to be re-platted. The current eight lots will be combined into one lot. The proposed plat meets the subdivision requirements and is in compliance with the Comprehensive Plan and Zoning ordinances. The Zoning and Planning Commission recommended approval. Council Member Rowan moved and Council Member Brausen seconded a motion to adopt Resolution 2002-54, approving apreliminary/final plat for the Marketplace Lofts development. A poll of the vote was as follows: Council Member Brausen, aye; Council Member Jensen, aye; Council Member Johnson, aye; Council Member Rowan, aye; Mayor Maxwell, aye. The motion carried unanimously. Ms. Anderson was asked to present her final item at this time. 8. First Reading Vacation of Alley, Cornerstone Group (CR2002-97) For the Marketplace Lofts to be constructed as shown on the plan, the alley needs to be vacated. It has been determined that the alley is not needed for a public purpose. The Zoning and Planning Commission recommended approval. Utility companies have been notified. Council Member Brausen moved and Council Member Johnson seconded a motion to adopt Resolution 2002-55, approving Ordinance 2002-875, approving the vacation of the alley to the south of the Marketplace Lofts development for first reading. A poll of the vote was as follows: Council Member Brausen, aye; Council Member Jensen, aye; Council Member Johnson, aye; Council Member Rowan, aye; Mayor Maxwell, aye. The motion carried unanimously. 7. Approve Transfer of Lots 7 and 46 to the Hopkins HRA (Marketplace Lofts Project) (CR2002-80) The Hopkins Housing and Redevelopment Authority has approved action to sell various lots on Block 3, West Minneapolis, to Mainstreet Lofts, LLC (the Cornerstone Group). Lots 7 and 46 are currently owned by the City of Hopkins. There needs to be a transfer to the HRA prior to completing the sale to the developer. June 4, 2002, City Council Meeting Minutes Page 8 Council Member Johnson moved and Council Member Jensen seconded a motion to approve the transfer of Lots 7 and 46, Block 3, West Minneapolis, to the Housing and Redevelopment Authority In and For the City of Hopkins for development purposes, subject to the following: 1) such transfer shall be at no cost consideration; and 2) If development does not occur in accordance with the redevelopment agreement between Mainstreet Lofts, LLC and the Hopkins HRA, the subject property will be transferred to the City as determined necessary and appropriate. A poll of the vote was as follows: Council Member Brausen, aye; Council Member Jensen, aye; Council Member Johnson, aye; Council Member Rowan, aye; Mayor Maxwell, aye. The motion carried unanimously. VIII. ADJOURNMENT There being no further business, Council Member moved and Council Member seconded a motion to adjourn the meeting. The meeting was adjourned by unanimous consent at 11:55 p.m. Respectively Submitted, Terry Obermaier, City Clerk ATTEST: Eug a J. axwell, Mayor June 4, 2002, City Council Meeting Minutes Page 9