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04-06-2021 City Council MeetingHOPKINS CITY COUNCIL REGULAR MEETING PROCEEDINGS APRIL 6, 2021 CALL TO ORDER Pursuant to due call and notice thereof a regular meeting of the Hopkins City Council was held on Tuesday, April 6, 2021 at 7:03 p.m. in the Council Chambers at City Hall, 1010 1 St Street South. Mayor Gadd called the meeting to order with Council Members Beck, Brausen, Halverson and Hunke attending. Others attending included City Manager Mornson, Assistant City Manager Lenz, Director of Public Works Stadler, Finance Director Bishop, Director of Planning and Development Elverum, Planner Lindahl, City Clerk Domeier, Community Development Coordinator Youngquist, and City Attorney Riggs. Mayor Gadd provided information on the meeting format and other opening remarks. ADOPT AGENDA Motion by Brausen. Second by Hunke. Motion to Adopt the Agenda. Ayes: Beck, Brausen, Halverson, Hunke, Gadd. Nays: None. Motion carried. CONSENT AGENDA Mayor Gadd asked Planning Director Elverum to provide information about the Farmer's Market and Director of Public Works Stadler to highlight the curbside recycling service changes. Motion by Beck. Second by Brausen. Motion to Approve the Consent Agenda. 1. Minutes of the March 16, 2021 City Council Regular Meeting Proceedings 2. Ratify Checks Issued in March 2021; Bishop 3. Overpass Skate Park Operational Agreement With Action Sports of Minnesota, Inc. dba The Third Lair; Olson 4. Use Agreement — The Farmer's Market; Elverum 5. Approval of Tobacco License Application for Oak Ridge Country Club Inc. dba Oak Ridge Country Club located at 700 Oak Ridge Road; Domeier 6. Approve Special Assessment of Diseased Tree Removal on Private Property; Bishop 7. Approve Amendment Residential Curbside Recycling Service Contract; Stadler Ayes: Beck, Brausen, Halverson, Hunke, Gadd Nays: None. Motion carried. HOPKINS CITY COUNCIL REGULAR MEETING PROCEEDINGS APRIL 6, 2021 NEW BUSINESS VI1.1. Hopkins Apartments (formerly Cinema Flats) Concept Plan Review; Lindahl City Planner Lindahl provided a summary of Council Report 2021-042. The applicant, Momentum Design Group, LLC on behalf of the Beard Group, LLC, requested concept plan review for the Hopkins Apartments development (formally Hopkins Cinema Flats). Council Member Beck questioned the number of variances required per the Council Report. Mr. Lindahl responded that information is part of the applicant's narrative and do not meet the current zoning standards. Mr. Beck requested a couple scenarios where a variance on building height would be a practical difficulty. Mr. Lindahl explained the variance standards set by state law. City Attorney Riggs provided more information on the practical difficulty definition and provided the reasoning to move forward with a PUD instead of a variance. Council Member Halverson questioned the drawbacks to moving forward with a PUD. Mr. Lindahl responded that staff does not see a downside to using a PUD because it provides options. Council Member Hunke commented on the density standards between the zoning code and comprehensive plan. Bill Beard, President of Beard Group Inc. provided history on the location and tenants along with future plans for the proposed site. He also provided the reasoning for a variance request as outlined in the packet and the proposed name of Harley. Jeff Wrede from Momentum Design Group provided information on the exterior materials and renderings. Mr. Beard commented on the exterior elevations and touched on the improvements to the Thirty Bales outdoor seating. Mayor Gadd questioned if there were any options for saving or repurposing the theatre. Mr. Beard has not any theatre group express interest in the location. Council Member Beck expressed his concern about the variance issues and preferred moving forward with a PUD. He would like to see the option for a restaurant to locate within the space. Council Member Halverson questioned if the building could be a 55+ building. Mr. Beard replied no and described it will be renters by choice. Mayor Gadd commented on the footprint of the buildings and suggested reducing the density to three levels for the neighbors to the south. Council Member Hunke preferred to see more two and three bedroom units for density purposes. Mr. Beard stated that three bedroom apartments are difficult to lease. Council Member Brausen questioned the space on Mainstreet and 12�h Avenue to include a conference space. Mr. Beard explained the space would cater to the tenants that work from home. Mr. Brausen was sensitive to the Citigables concerns and that the conversations will be very important. He requested more discussion on the concept. Mr. Beard recognized the need to continue communications with Citigables residents. Council Member Hunke supported the inclusion of a walkway through the project. Mr. Beard commented that the Citigables residents did not support the walkway option. HOPKINS CITY COUNCIL REGULAR MEETING PROCEEDINGS APRIL 6, 2021 Council Member Hunke preferred to move forward with a PUD option. While he liked the Mainstreet elevation he had concerns over the generic bui�ding materials on the side of the building. He suggested removing white composite siding and replacing it with brick but did not have concerns about the building height. He also encouraged Mr. Beard to reach out to local realtors and HBCA members about potential uses for the commercial space to ensure it is designed for use. Per Mr. Hunke's request, Mr. Beard shared more information about the condo market. Mr. Beard preferred to let the legal teams determine the best route between a variance and a PUD. Brief discussion was held about a subdivision option. Council Member Hunke liked the garage feature and suggested having the balconies recessed on the 12"' Avenue elevation similar to Marketplace and Main. Mr. Lindahl followed-up on Council Member Brausen's request for more discussion. Mr. Brausen stated it would depend on the attorney's discussion and changes to the plan. He suggested meeting again to ensure that residents are heard at a work session level before a decision is made at a regular meeting. VI1.2. 425 Madison Avenue Rezoning and Subdivision; Lindahl City Planner Lindahl provided a summary of Council Report 2021-041. The applicant, Xijing Zhang, requests rezoning and subdivision (preliminary and final plat) approvals for the Yang Addition. Elaine Yang was available to answer any questions. Mayor Gadd questioned the change from three lots to only two lots as part of the subdivision. Ms. Yang stated it was because they intend to stay on their current property and concerns over builders, construction noise and access. Motion by Beck. Second by Hunke. Motion to adopt Resolution 2021-017 approving the first reading of Ordinance 2021-1167 rezoning the subject property (PID 19-117-21-22-0034) from R-1-C, Single Family Medium Density to R-1-C, Single Family Medium Density with a Ptanned Unit Development (PUD), subject to conditions. Ayes: Beck, Brausen, Halverson, Hunke, Gadd. Nays: None. Motion carried. Motion by Halverson. Second by Brausen. Motion to adopt Resolution 2021-018 approving the preliminary plat for the Yang Addition, subject to the conditions. Ayes: Beck, Brausen, Halverson, Hunke, Gadd. Nays: None. Motion carried. HOPKINS CITY COUNCIL REGULAR MEETING PROCEEDINGS APRIL 6, 2021 VI1.3. Providing Preliminary Approval for the Issuance of Housing Revenue Bonds for the Benefit of Trellis Co.; Bishop Finance Director Bishop provided a summary of Council Report 2021-035. The proposed resolution provides preliminary approval to issue an additional $1.5 million of housing revenue bonds. Approval of Resolution 2021-014 will authorize the submittal of an application to Minnesota Management and Budget for up to $1.5 million of bonding allocation. Gina Fiorini with Kennedy & Graven clarified the definition of conduit revenue bonds. Motion by Brausen. Second by Halverson. Motion to Adopt Resolution 2021-014: Providing Preliminary Approval for the Issuance of Housing Revenue Bonds. Ayes: Beck, Brausen, Halverson, Hunke, Gadd. Nays: None. Motion carried. VI1.4. First Reading: Ordinance Amending Chapter 4 of the Hopkins City Code Regarding Self-Serve Draught Malt Liquor Dispensers, On-Sale Brewpub and Off- Sale Brewpub Liquor License Fees, and On-Sale Liquor License Renewal Fees for 2021-2022 Licenses City Clerk Domeier provided a summary of Council Report 2021-034. The proposed ordinance will add regulations for self-serve draught malt liquor dispensers, set fees for on-sale and off-sale brew pub licenses, which are not presently contained in the City's fee schedule, and reduce the fees for all on-sale liquor licenses by fifty percent for the license year July 1, 2021 to June 30, 2022. Motion by Beck. Second by Hunke. Motion to adopt for First Reading Ordinance 2021-1166, An Ordinance Amending Chapter 4 of the Hopkins City Code Regarding Self-Serve Draught Malt Liquor Dispensers, On-Sale Brewpub and Off-Sale Brewpub Liquor License Fees, and On-Sale Liquor License Renewal Fees for 2021-2022 Licenses. Ayes: Beck, Brausen, Halverson, Hunke, Gadd. Nays: None. Motion carried. ANNOUNCEMENTS City Manager Mornson provided possible upcoming agenda items. Mayor Gadd provided the upcoming meeting schedule. HOPKINS CITY COUNCIL REGULAR MEETING PROCEEDINGS APRIL 6, 2021 ADJOURNMENT There being no further information to come before the City Council and upon a motion by Hunke, second by Brausen, the meeting was unanimously adjourned at 9:46 p.m. Respectfully Submitted, Amy Domeier, City Clerk ATTEST• � � ._ on �add, ,Mayor � - � ,. ?; �t�� l, l, t�. �,�� Amy Domeier, City Clerk