07-13-2021 Work Session Meeting HOPKINS CITY COUNCIL
WORK SESSION PROCEEDINGS
JULY 13, 2021
CALL TO ORDER
Pursuant to due call and notice thereof a work session of the Hopkins City Council was
held on Tuesday, July 13, 2021 at 6:30 p.m. in the Council Chambers at Hopkins City
Hall, 1010 1st Street South, Hopkins.
Mayor Gadd called the meeting with Council Members Beck, Brausen, Halverson and
Hunke attending. Staff present included City Manager Mornson, Assistant City
Manager Lenz, City Clerk Domeier, Solid Waste Coordinator Hove, Director of Public
Works Stadler, Director of Planning and Development Elverum, Community
Development Coordinator Youngquist, Management Analyst Imihy and Finance Director
Bishop.
Organics Recycling Update
Solid Waste Coordinator Hove provided an update on Hennepin County's mandated
organic material curbside collection provided in the meeting packet. Ms. Hove stated
garbage customers will be charged on their utility bill for organic recycling regardless of
participation. Council Member Hunke wanted to provide organic recycling to all
customers just like the current recycling program. Brief discussion was held about
pricing and communication to residents.
Blake Road Station Financial Assistance
Director of Planning and Development Elverum asked the City Council to consider a
financial request from Trilogy for the Blake Road Station development. She
summarized the request and background information provided in the meeting packet.
Council Member Halverson questioned the number of platted sites. Ms. Elverum stated
there are currently three platted sites. Council Member Beck questioned if the $685,000
is just for demolition. Ms. Elverum stated that demolition costs are traditionally an
allowable cost during environmental remediation. Council Member Beck shared a
strong concern about using TIF in a project where demolition includes businesses that
have to be relocated.
City Manager Mornson stated that demolition is one of the key components in using TIF
funds. He also provided an update on the current leases that are expiring and
businesses relocating. Council Member Beck shared concerns again about using public
funds for the demotion of existing businesses. Brief discussion was held about projects
where internal loans have been used with TIF funded projects.
Council Member Hunke talked about the rent subsidy options. Ms. Elverum provided
more information about rent subsidies and future phasing options.
Joshua Peters with Trilogy provided more information about the project. Mayor Gadd
questioned the proposed construction start time. Mr. Peters talked about the
importance of relocating utilities with potential for site improvements this fall. He also
shared insights on the lumber and steel pricing anticipated for the project.
HOPKINS CITY COUNCIL
WORK SESSION PROCEEDINGS
JULY 13, 2021
Council Member Brausen questioned the status of the current leases. Mr. Peters stated
they are not allowed to have direct contact with the tenants. They work with the land
owner to renegotiate leases when possible. Brief discussion was held about the leases
affected during phase one and prospective tenants. Trilogy manages their own projects
and plan to have their landlords become part of the neighborhood. Mr. Mornson
questioned the proposed timeline. The applicants anticipated a fall closing date and
shared information about their onsite team. Mr. Mornson talked about the City
investments. The City Council did not have any concerns with parking dedication fee
request. The City Council shared the importance of maintaining the existing businesses
and their excitement for the project.
Ms. Elverum requested more feedback about the demolition cost concerns. Discussion
was held about the demolition costs and what may be included in the costs. Mr. Peters
clarified that some of the demolition costs have been covered by grants. Ms. Elverum
offered to do a cost analysis of the demolition costs.
2022 General Fund Budget and Tax Levy
Finance Director Bishop requested input and guidance on the 2022 General Fund
Budget and Tax Levy. He summarized the information and budget schedule provided in
the meeting packet.
Assistant City Manager Lenz provided information about the American Rescue Plan
fund options. Council Member Beck questioned if the American Rescue Plan funds
could be used to offset the 2022 tax levy. Mr. Bishop stated that the rules state the
funds cannot be used to offset tax levies. Debate was held regarding options for the
American Rescue Plan funds. Council Member Beck and Brausen suggested bringing
the tax levy down. City Manager Mornson talked about staff initiatives and ideas with
the budget concerns.
Council Member Beck suggested that police and fire services be reviewed for any
potential funding increases in the next couple of years. Mayor Gadd also suggested
reviewing the financial management plan.
OTHER
Mayor Gadd provided information on the Raspberry Festival upcoming events.
HOPKINS CITY COUNCIL
WORK SESSION PROCEEDINGS
JULY 13, 2021
ADJOURNMENT
There being no further business to come before the City Council and upon a motion by
Brausen, second by Beck, the meeting was unanimously adjourned at 7:52 p.m.
Respectfully Submitted,
Amy Domeier, City Clerk
ATTEST:
.on Gadd, Mayor
Amy Domeier, City Clerk