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2019-02-26 Council Work Session MinutesCITY OF MENDOTA HEIGHTS DAKOTA COUNTY STATE OF MINNESOTA Minutes of the Council Workshop Held Tuesday, February 26, 2019 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 12:37 p.m. Councilmembers Miller, Paper, and Petschel were present. Council member Duggan was available on video conferencing. Staff in attendance included City Administrator Marl-, McNeill, Assistant City Administrator Cheryl Jacobson, Finance Director Kristen Schabacker, and Community Development Director Tim Benetti. REVIEW OF DRAFT DOCUMENT FOR REQUEST FOR PROPOSALS FOR VILLAGE LOTS City Administrator McNeill provided background on the development of the Village Lots and stated previously determined goals of a high quality, residential or mixed use development was most desirable. McNeill noted that density of a new development was a concern and that feedback from developers indicates that 70-100 units is preferred. McNeill noted that an appraisal conducted two years ago valued the property at approximately $813,000 and that an updated appraisal is needed. The Council discussed the relocation of Maple Street and the cost to do so. Staff estimated that the cost to line up with Hilltop is approximately $200,000 and to move utilities would cost around $500,000. Potentially, the costs could be shared with a developer, if they were interested in moving the street. McNeill reviewed the draft Request for Proposals (RFP). Councilmembers agreed to seek a multi- family residential development, with the option of considering a mixed use development if a proposal was submitted. McNeill stated that the RFP would have a 60 -day response window. Councilor Duggan asked that developers submit 3D drawings in their proposals. Councilmembers discussed the need to keep Maple Street for the purposes of egress. Further noted, was the Dodd Road Traffic Study which showed that the Village needed egress and potentially traffic controls and that access to the existing commercial areas needs to remain in some fashion. City Administrator McNeill stated that the RFP will be on the Council agenda for March 5. McNeill suggested that staff would first review the responses for council consideration. Community Development Director Benetti noted that there are approximately 23 or 24 developers on the interest list. If the City received 15-20 responses that would be a good rate of return. Councilor Miller asked to see all responses and said that a series of workshops may be needed to review the proposals. CONTINUATION OF DISCUSSION OF 2019-2020 GOALS AND OBJECTIVES City Administrator Mark McNeill reviewed the goals established from the January 7th Goal Setting Session. A continued discussion of these goals was held. Staff will bring final list to a future council meeting. Councilmembers requested a follow up with MN DOT and requested that an update be included in a future edition of the city's Friday News. Additional discussion regarding the traffic changes at the middle school was had. Councilor Petschel suggested that resident input is needed on the change. UPDATE ON FIRE BID OPENING RESULTS City Administrator McNeill updated and reviewed the bid results for the Fire Station project. He said that bids came in $1.2 million over budget. The construction manager has talked with the bidding contractors and work schedules are full for 2019, and there is little competition. Six of the project areas received only one bid. Councilmembers discussed options for covering the overage including increasing the bonds, which would require following the same process including a public hearing and petition; using Water Tower Funds; and using proceeds from the sale of the Village lots. Councilmembers agreed that the proceeds from the sale of the Village Lots should be applied to the Fire Station, as well as Water Tower funds. Administrator McNeill stated that the bids are good for 30 days and award of contracts will take place at the next City Council meeting. Councilmember Paper asked about the use of tax exempt bonds to benefit HealthEast a private business using space at the Fire Station. Administrator McNeill stated that the question may require the opinion of the City Attorney. The City has a long standing relationship with HealthEast for emergency medical services. A discussion regarding the need for a formal agreement or Memorandum of Understanding between the City and HealthEast may be needed. Staff agreed to work the City Attorney to conduct research and possibly draft an agreement for consideration. Mayor Garlock adjourned the meeting at 2:26 p.m. Neil Garlock, Mayor ATTE /n/ p Lorri Smith, City Clerk