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01-18-05A regular meeting of the Hopkins City Council was held on January 18, 2005, in the Council Chambers of the Hopkins City Hall. Present were Mayor Maxwell and Council Members Brausen, Thompson, and Johnson. Council Member Rowan was absent. Also, present were staff members Genellie, Stadler, Kerrigan, Anderson, and City Attorney Jerry Steiner. CALL TO ORDER Mayor Maxwell called the meeting to order at 7:34 p.m. II. OPEN AGENDA -PUBLIC COMMENTS AND CONCERNS There were none. III. REPORTS -COMMITTEES/COMMISSIONS There were none. John Savoy, Troop 254, stated that the troop is here to fulfill a requirement for their Citizenship Badge. Attending a government meeting is one of the requirements. There are several others. They will be writing letters to government officials as another requirement. IV. CONSENT AGENDA 1. Minutes of January 4, 2005 City Council Meeting 2. Minutes of January 1 1, 2005 City Council Work Session 3. Approve Appointment of Toyin Akinde to Human Rights Commission (Memo) 4. Subordination Request, Meadow Creek Condominiums (CR2005-016) In response to Mayor Maxwell's questions, Jim Kerrigan explained that the Meadow Creek Condominiums are replacing windows and patio doors. They will be seeking a loan to accomplish that project. At this time, the City has first position as a lien holder. This action would put the City in second place. City Attorney Jerry Steiner explained that the agreement that will be executed with Meadow Creek Condominiums Association would state the limitations of the subordination. Council Member Brausen moved and Council Member Thompson seconded a motion to approve the Consent Agenda. A poll of the vote was as follows: Council Member Brausen, aye; Council Member Thompson, aye; Council Member Johnson, aye; Mayor Maxwell, aye. The motion carried unanimously. January 18, 2004 City Council Meeting Minutes Page 1 V. PUBLIC HEARING 1. Approval of Joint Powers Agreement with the City of Minneapolis, re: Revenue Bond Issue Augustana Chapel View (CR2005-14) Augustana Chapel View is proposing to make improvements to their Minneapolis facility and their Hopkins facility. They are requesting that Minneapolis issue revenue bonds in an amount not to exceed 526 million. Because a portion of the proceeds will be used for the Hopkins facility, the City of Hopkins needs to hold a public hearing. Minneapolis will be the issuing agency. The City of Hopkins will be reimbursed for all legal and consultant fees incurred as a result of this action. The applicant will pay a 55,000 application fee. The City will waive the annual administrative fee. The applicant will also be refunding two bonds issued by the City on behalf of Chapel View in 1995 and 1999. The agreement has been reviewed by Stephanie Galey, the City's financial Attorney and by the City Attorney. Kathy Copp and Frank Robinson, representing Augustana Chapel View, came forward to answer questions. Ms. Copp stated that they are waiting for Health Department approval and to complete fundraising for the project, but hope to begin construction in the spring. Mayor Maxwell opened the public hearing at 7:45 p.m. No one came forward Council Member Brausen moved and Council Member Johnson seconded a motion to close the public hearing. The public hearing was closed by unanimous consent at 7:46 p.m. Council Member Johnson moved and Council Member Brausen seconded a motion to adopt Resolution 2005-009, giving host approval to the issuance of revenue bonds and authorizing execution of a joint powers agreement (Augustana Chapel View Homes, Inc., Project) subject to the following: 1. Reimbursement of all legal and consultant fees incurred as a result of this action; 2. Payment of 55,000 application fee; and 3. Waiver of annual administrative fee. A poll of the vote was as follows: Council Member Brausen, aye; Council Member Thompson, aye; Council Member Johnson, aye; Mayor Maxwell, aye. The motion carried unanimously. 2. 2005 Street Improvements (CR2005-012) On October 4, 2005, the Hopkins City Council authorized Bolton and Menk, Inc. to prepare a feasibility report concerning street improvements in the presidential avenues north area. On December 21 ~` the Hopkins City Council ordered the public hearing for January 18`". Hearing notices were mailed to all affected property owners of record. January 18, 2004 City Council Meeting Minutes Page 2 After the public hearing, staff is recommending that the City also state their intent to sell revenue bonds to fund the project. Steve Stadler reviewed the schedule and estimated costs and assessments. Mr. Stadler also reviewed the new water service replacement policy, widening of Monroe Ave, the project and its placement in the CIP, and the assessment policy with calculation of the cap on the assessments. Marcus Thomas, Bolton and Menk Inc., reviewed the plans and specifications. Mayor Maxwell opened the public hearing at 8:16 p.m. Vince Schreier, 321 Madison Ave N, asked if a road through ABM could be added as long as the City is rebuilding the roads. He said this road was needed to improve access to the neighborhood. It would be the best time to do that. Mr. Stadler said that he would investigate the cost, but it would be a cost that the City would have to assume. Robert Hutchins, 246 Jackson Ave N, asked if a new apron would be put in at his address. Mr. Stadler stated that the curb and gutter on Jackson is not going to be disturbed, so the project does not include new aprons on Jackson Ave N. Bob Healey, 245 Van Buren Ave N, asked questions about his estimated assessment and the calculation of the assessment. Mr. Stadler stated that the assessment would be 555.83 times the front footage of his property. Mark Knoblauch, 343 Van Buren Ave N, asked how long the project has been included in the CIP and questioned the water line replacement. Mr. Stadler explained that the assessment is for streets only and that the water service replacement is optional to the homeowner. If the homeowner chooses the water service replacement, the homeowner will incur additional costs. Mr. Knoblauch also questioned why the cap is not applied to the single-family homes in the Regency. Mr. Stadler explained that he determined that the cap is to be applied to single-family residential zoning districts. The non-capped rate is applied on the Regency homes because it is a PUD. Mr. Stadler reviewed the pavement management program and the purpose of the program. Mr. Stadler also explained that the City required Ryland to include a notification clause in the declarations for future buyers. The notification states that there would be a street assessment in three to five years. Jerry Steiner, City Attorney, stated that the City did as much as could be done when the City required the inclusion of the statement. January 18, 2004 City Council Meeting Minutes Page 3 Firmus Opitz, 315 Monroe Ave N, stated that Mr. Stadler said that he couldn't use his own contractor if he gets his own bids on his water service replacement and be reimbursed by the City. He felt that he could get a lower cost for the project and it wasn't right that he had to use the project contractors. Janine Keller, 203 Van Buren Ave N, asked why the assessment for her lot is higher that other units with the same lot size. Mr. Stadler stated that there is one rate for the 14 units that have frontage on the street and one rate for the interior units. If hers is different, she should call him. Gabriel Amundson, 222 Harrison Ave N, asked if the project could be done in stages and reduce the assessment. Mr. Amundson also questioned the use of the non- capped formula on the Regency homes. Mr. Stadler stated that breaking the project into stages would probably increase the cost. James Formanek, 414 Regency L W, said that nothing was stated by Ryland about the assessments and asked how the assessment for his property was arrived at. He also asked why the project wasn't done at the time of the development. Sara Waterman, 218 Van Buren, questioned the single family PUD designation, stating the on the Hennepin County web site, her home is designated as a single family home. City Attorney Jerry Steiner stated that the City, not the County, designates the zoning. Karin Bihrle, 435 2nd St NE, said that the assessment is a surprise and that the taxes and specials are way too high. Mora Swanson, 511 2"d St NE, wanted to know the formula for arriving at the assessment and why the cap is not being used on Regency homes. Ms. Swanson asked how they challenge the interpretation of the policy. The Council discussed the policy and concurred that they should have a discussion about the policy at the March 8`" Worksession. Ms. Swanson asked if everyone at the Regency could be notified. Mr. Genellie, acting City Manager, stated that the Regency residents would be notified. Livia Monacelli, 222 Harrison Ave N, asked when the City decided to move the project date up. The taxes are already too high. Michael Caspers, 246 Van Buren Ave N, asked if his driveway entrance could be regraded. Mr. Stadler stated that the curb and gutter on the street is not being replaced, so there would be no change to the aprons. Mr. Caspers, Mr. Thomas, and January 18, 2004 City Council Meeting Minutes Page 4 staff discussed the crown on the street in front of Mr. Gaspers' home and Mr. Thomas and staff agreed that they would review the crown. Council Member Brausen moved and Council Member Johnson seconded a motion to close the public hearing. The public hearing was closed by unanimous consent at 9:30 p.m. Council Member Thompson moved and Council Member Brausen seconded a motion to adopt Resolution 2005-010, Resolution Ordering Improvement after Public Hearing, 2005 Street and Utility Improvement Project, Project 04-10, and companion Resolution 2005-01 1, stating the City's intent to sell revenue bonds to fund this project, and authorize the Mayor and City Manager to enter into an agreement with Bolton and Menk, Inc for project engineering services. A poll of the vote was as follows: Council Member Brausen, aye; Council Member Thompson, aye; Council Member Johnson, aye; Mayor Maxwell, aye. The motion carried unanimously. VI. OLD BUSINESS 1. Site Plan Review, Parker Office Building (CR2005-012) Jim Parker, the applicant, is proposing to construct ten office condominiums on property that is south of the Hopkins Care Facility. The condos will be placed along Highway 169. They will be two stories. There will be four indoor parking spaces as well as surface parking on the west side of the building. Access will be a private drive from 2nd Ave S. Nine Mile Cove residents had petitioned for a discretionary Environmental Assessment Worksheet (EAW) for the Building. The City Council discussed the EAW and determined that it was not required. An office use is a conditional use within the B-1 zoning district. The applicant has also applied for a CUP. The use is in compliance with the zoning ordinances and the Comprehensive Plan. The Zoning and Planning Commission recommended approval. Nancy Anderson summarized the project. She said that there was now an additional condition; the applicant must acquire an easement from the State of Minnesota. Mayor Maxwell referenced two documents that had been submitted by representatives of Nine Mile Cove. He said that he would like to discuss some of the issues that were raised in these documents. Mayor Maxwell asked Ms. Anderson whether the City could require larger trees and specific types of trees. She said that could be done. January 18, 2004 City Council Meeting Minutes Page 5 Council Member Johnson had questions about the lighting. She wanted to ensure that the lighting would not be intrusive on surrounding properties but that there would be enough light to see the entrance to the property. Mayor Maxwell asked about traffic. Mr. Stadler and Mr. Kerrigan stated that the project would not generate a lot of traffic, approximately 300 cars per day. There was also discussion about landscaping, the construction of the driveway, the condominium association, the sanitary sewer and water lines. David Rosedahl, Jim Justus, and Glen Sanders appeared for Nine Mile Cove. Mr. Rosedahl maintained that more time was needed to study all the issues that have been raised. City Attorney, Jerry Steiner, said that the State's 60-day rule required the City Council to act on, this matter at this meeting. He did say that the concerns of the Council should be added to the conditions in the resolution. Mr. Steiner listed the following conditions: 1. That the applicant assume full responsibility for design, installation and future maintenance of the sanitary sewer force main and city water line to their point of connection with the municipal sanitary sewer and city water services, and that the obligation for future maintenance and repair of the sanitary sewer and city water lines be recorded as a permanent restriction against the title to the applicant's property. The applicant will also be required to obtain all necessary easements or licenses for the installation and maintenance of the sanitary sewer and city water lines over adjoining property or public right of way. 2. City Staff will review the provisions of the existing Development Agreement for the Nine Mile Cove development related to maintenance of landscaping on city- owned property or public right of way. The applicant shall agree to assume responsibility for maintaining a portion of this landscaping in city-owned property or public road right of way or agree to reimburse the Nine Mile Cove Homeowner's Association for a portion of the costs of maintenance of this landscaping. 3. The City Engineer may retain a consultant to review and approve the design of the access driveway for the Project, and the applicant shall reimburse the City for all costs and fees for retaining this consultant. The final access driveway design shall be subject to approval by the City Engineer. 4. The Fire Marshall shall review the plans for the Project to determine if adequate provision is made for emergency vehicle access. If the Fire Marshall determines secondary access to the applicant's property for emergency vehicles is January 1 S, 2004 City Council Meeting Minutes Page 6 necessary, the applicant shall obtain secondary access for emergency vehicles and submit proof of this access acceptable to City Staff and the City Attorney. 5. The applicant shall submit the applicant's condominium Declaration to the City for review and approval by City Staff and the City Attorney prior to recording the Declaration. If the access driveway is determined to be susceptible to flooding, the condominium Declaration shall contain a provision notifying future condominium owners of this possibility. 6. The applicant shall obtain temporary easement~sl over the adjacent right of way of Highway 169, as necessary for construction of the Project. 7. The landscaping plan shall be revised to provide for coniferous screening trees of a quantity and size in excess of the minimum requirements of the City's ordinances, as necessary to provide adequate screening. The final landscaping plan shall be subject to approval by City Staff. 8. The applicant shall enter into a Development Agreement with the City stating all the terms and conditions of the City's approval for the Project, which shall be recorded as an encumbrance against the title to the applicant's property. The Development Agreement shall require the applicant to reimburse the City for all attorneys' fees and other consultant's fees incurred by the City in drafting, negotiating and finalizing the Development Agreement and reviewing the plans for the Project. Council Member Thompson moved and Council Member Brausen seconded a motion to adopt Resolution 05-7, approving the construction of an office building on 2"d Ave S. A poll of the vote was as follows: Council Member Brausen, aye; Council Member Thompson, aye; Council Member Johnson, aye; Mayor Maxwell, aye. The motion carried unanimously. 2. CUP Parker Office Building (CR2005-006) The applicant has also applied for a site plan review in the previous action. Council Member Johnson moved and Council Member Brausen seconded a motion to adopt Resolution 05-7, approving the construction of an office building on 2nd Ave S with the inclusion of the above-mentioned conditions. A poll of the vote was as follows: Council Member Brausen, aye; Council Member Thompson, aye; Council Member Johnson, aye; Mayor Maxwell, aye. The motion carried unanimously. VII. NEW BUSINESS January 18, 2004 Ci[y Council Meeting Minutes Page 7 1. Resolution Requesting Hennepin County to Enforce Smoking Ban Ordinance (CR2005-006) In October 2004, Hennepin County passed an ordinance banning smoking in restaurants and liquor establishments. The County is planning to enforce the ordinance through the food licensing function. Hopkins licenses food establishments in Hopkins. The City either has to take on this enforcement action or request that the County enforce the ordinance. Since Hopkins contracts for food inspection services, it would likely increase costs to the City. Council Member Brausen moved and Council Member Johnson seconded a motion to adopt Resolution 2005-006, requesting Hennepin County staff to enforce Hennepin County Ordinance #24 in licensed food establishments in Hopkins. A poll of the vote was as follows: Council Member Brausen, aye; Council Member Thompson, aye; Council Member Johnson, aye; Mayor Maxwell, aye. The motion carried unanimously. VIII. ADJOURNMENT There being no further business, Council Member Brausen moved and Council Member Thompson seconded a motion to adjourn the meeting. The meeting was adjourned by unanimous consent at 11:05 p.m. Respectfully Submitted, Terry Obermaier, City Clerk ATTEST: ~~/ "t`i Eugene J. axwell, Mayor January 18, 2004 City Council Meeting Minutes Page 8 COUNCIL MEMBERS