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2017-03-21 Council Work Session MinutesCITY OF MENDOTA HEIGHTS DAKOTA COUNTY STATE OF MINNESOTA Minutes of the Council Workshop Tuesday, March 21, 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 5:00 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, Community Development Director Tim Benetti, City Attorney Andy Pratt and City Clerk Lorri Smith. VILLAGE LOTS Administrator McNeill provided background on three vacant City -owned lots which are part of The Village at Mendota Heights development. Representatives from Trammell Crow were present to answer the Councilmembers' questions. A Letter of Intent was reviewed. This letter will initiate the purchase and sale agreement for the property. City Attorney Andy Pratt noted that this Letter of Intent is very common for a development of this size. The site plan for the development was discussed. It includes a five -story market rate senior housing apartment building on five vacant City -owned properties. The project costs are estimated to be approximately $30 million. It was noted that if the Letter of Intent is approved, the developer would schedule a community meeting before this goes before the Planning Commission, to answer questions and hear the public's concerns about the project. Councilmembers noted that this development would meet a lot of the needs for Mendota Heights. Traffic congestion on Dodd Road is a major concern. A traffic study will be completed to evaluate the traffic impact on Dodd Road. MENDOTA MOTEL The possible redevelopment of the Mendota Motel property was discussed. It is proposed to develop a market rate apartment complex for seniors. The building is proposed to be three stories and include 69 units. The possibility of offering Tax Increment Financing as a financial assistance to the potential developer of the property was discussed. The property would also need to be rezoned to R3. It was noted that there may be a need to relocate an Xcel power line; soil contamination may also be an issue. The developer or the seller would fund the costs of these items. There would be no upfront costs to the City. It was noted that the owner of the greenhouse property, which is adjacent to the motel property, may also be interested in a redevelopment project at that location. Both properties could then be combined into a redevelopment project. BOURN PROPERTIFS Administrator McNeill discussed with the Council the possible expansion of a local business on the Bourn Lane properties. The City has been acquiring these parcels since the early 1990's, and the site currently encompasses 14 acres. A local business would like to receive an incentive from the city. Business incentives that may be available from MN DEED were discussed. The Council discussed having a negotiation team from the City meet with the local business. OTHER BUSINESS Kensington/Mendota Heights Road project update --Public Works Director Ryan Ruzek discussed with the Council concerns that St. Thomas Academy has regarding the Mendota Heights Road construction project scheduled for this summer. It was noted that the Council may want to review the policy in place for street assessments and how the costs are assessed to the property owners. April 4th Regular Meeting Date --It was noted that the Council will not have a quorum present for the April 4th meeting date. The consensus date to reschedule the meeting was determined to be March 28, 2017. ADJOURN Mayor Garlock adjourned the meeting at 6:50 p.m. Neil Garlock, Mayor ATTEST: Lorri Smith, City Clerk March 21, 2017 Council Workshop Page 2 of 2