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2017-02-09 Council Work Session MinutesCITY OF MENDOTA HEIGHTS DAKOTA COUNTY STATE OF MINNESOTA Minutes of the Council Workshop Thursday, February 9, 2017 Pursuant to due call and notice thereof, a workshop of the Mendota Heights City Council was held at City Hall, 1101 Victoria Curve, Mendota Heights, Minnesota. CALL TO ORDER Mayor Garlock called the meeting to order at 1:31 p.m. Councilmembers Miller, Paper, and Petschel were also present. Councilmember Duggan joined the meeting via an interactive television pursuant to Minn. Stat. §13D.02. Staff in attendance included City Administrator Mark McNeill, Assistant City Administrator Cheryl Jacobson, Finance Director Kristen Schabacker, Public Works Director Ryan Ruzek, and City Attorney Andy Pratt. HOUSING DISCUSSION ITEMS A. Village Lots Administrator McNeill opened the discussion and provided background on three vacant City -owned lots which are part of the Villages at Mendota Heights development. He reported that there has been renewed interest by developers in the site and wanted direction from the Council on how they wished to proceed with the sale and development of the site. Representatives from Trammel Crow Companies, an interested developer, presented a development proposal for a market rate senior housing apartment building. The proposed development would contain approximately 150 apartment style units in a five story building with underground parking. Council directed staff to research further other possible options for the site including development of 19 townhomes, which were part of the original development design. B. Mendota Motel Administrator McNeill introduced representatives from Michael Development. Representatives from Michael Development described the site and presented a development proposal for a market rate general occupancy apartment building. The proposed development would contain 69 apartment style units in a three story building with both surface and underground parking. Administrator McNeill explained that given the challenges of the site, the developer is seeking city assistance. One option would be the use of Tax Increment Financing. Andy Pratt from the City Attorney's office provided an overview of Tax Increment Financing and the requirements of both a Housing Tax Increment Financing District, and Redevelopment Tax Increment Financing District. Councilor Miller left the meeting at 3:10 PM; Councilor Paper left the meeting at 3:15 PM Council directed staff to work with the developer to determine development costs, including the purchase price, and further analyze the use of Tax Increment Financing as a city assistance tool in the redevelopment of the site. OTHER BUSINESS A. Council Meeting Start Time Discussion The item was not discussed. ADJOURN Mayor Garlock adjourned the meeting at 3:33 p.m. g.--,—QCJ---1,6 ,,,_,_%.,,,—kp Neil Garlock, Mayor ATTEST: Lorri Smith, City Clerk