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2001-03-06 City Council minutesPage No. 1 March 6, 2001 CITY OF MENDOTA HEIGHTS DAKOTA COUNTY STATE OF MINNESOTA Minutes of the Regular Meeting Held Tuesday, March 6, 2001 Pursuant to due call and notice thereof, the regular meeting of the City Council, City of Mendota Heights, Minnesota was held at 7:30 o'clock p.m. at City Hall, 1101 Victoria Curve, Mendota Heights, Minnesota. The following members were present: Mayor Mertensotto, Councilmembers Krebsbach, Schneeman and Vitelli. Councilmember Dwyer had notified Council that he would be absent. AGENDA ADOPTION Councilmember Schneeman moved adoption of the revised agenda for the meeting. Councilmember Vitelli seconded the motion. Ayes: 4 Nays: 0 CONSENT CALENDAR Councilmember Vitelli moved approval of the consent calendar for the meeting, revised to move items 5g, release of excess Mn/DOT right -of -way, 5k, copier purchase, and 5m, TIF District Hearing, to the regular agenda, along with authorization for execution of any necessary documents contained therein. a. Acknowledgment of the minutes of the February 6, 2001 Parks and Recreation Commission meeting. b. Acknowledgment of the minutes of the February 14, 2001 Airport Relations Commission meeting. c. Acknowledgment of the unreviewed minutes of the February 27, 2001 Planning Commission meeting d. Acknowledgement of the building activity report for February. e. Acknowledgment of a letter of review of the Sprint and AT &T agreements by Assistant City Attorney Dan Schleck. f. Authorization for the issuance of a sign permit to Attracta Sign for the installation of a 13 square foot wall sign at 1120 Centre Pointe Drive, Suite #7 (SEARCH 401K). g. Authorization for the issuance of a purchase order to North Star _ Turf for a Cushman 4 Wheel Turf Truckster for the Parks Department for its low quote of $17,14.5.00 plus tax. Page No. 2 March 6, 2001 h. Approval for the issuance of a purchase order to BearComm for a replacement Motorola squad radio for its quote of $2,214.22. i. Authorization to schedule a Council workshop for 8:00 a.m. on March 22, 2001 in connection with a public information meeting to be conducted by the Transmission Line Steering Committee on the Xcel Transmission Line proposal. j. Approval of the list of contractor licenses dated March 6, 2001. k. Approval of the List of Claims dated March 6, 2001, revised to remove a claim from Faegre & Benson. 1. Authorization for the purchase of new partitions, work sops, files and shelves for the Administration area of City Hall, for an approximate cost of $7,500, the cost to be financed by the City Hall Fund. Councilmember Schneeman seconded the motion. Ayes: 4 Nays: 0 TIF HEARING Council acknowledged a memo and proposed resolution from Treasurer Shaughnessy recommending the rescheduling of the public hearing for the formation of a new Tax Increment District for a site located at T.H. 55 and T.H. 13 (Tectronics). Treasurer Shaughnessy explained that Council had authorized a public hearing for the Tectronics project but one of the three parcels of land involved was owned by the state. Tectronics could not certify all three parcels and is in the process of going through the Planning Commission to consolidate the two parcels that would qualify for inclusion in the TIF District. He informed Council that Tectronics has agreed that it will cover all of the costs involved in creating TIF District No. 2. Mayor Mertensotto felt that Council should not approve the request unless the city has the agreement of the applicant that it will grant the city an easement for a trail across the railroad right -of -way. Public Works Director Danielson responded that the applicant has not made any attempt to acquire the railroad right -of -way at this time. Councilmember Schneeman moved adoption of Resolution No. 01- 11, "RESOLUTION CALLING PUBLIC HEARING ON THE PROPOSED REDUCTION IN SIZE OF EXISTING TAX Page No. 3 March 6, 2001 INCREMENT FINANCING DISTRICT NO. I WITHIN MUNICIPAL DEVELOPMENT DISTRICT NO. 1 AND THE PROPOSED ADOPTION OF A MODIFICATION TO THE TAX INCREMENT FINANCING PLAN RELATING THERETO, THE PROPOSED ADOPTION OF A MODIFICATION TO THE DEVELOPMENT PROGRAM FOR MUNICIPAL DEVELOPMENT DISTRICT NO. 1, AND THE PROPOSED ESTABLISHMENT OF TAX INCREMENT FINANCING DISTRICT NO. 2 THEREIN AND THE PROPOSED ADOPTION OF A TAX INCREMENT FINANCING PLAN RELATING THERETO,", the hearing to be held on April 17. Councilmember Krebsbach seconded the motion. Ayes: 4 Nays: 0 EXCESS RIGHT-OF-WAY Council acknowledged a memo from Public Works Director Danielson regarding a request from Mr. Bradner Smith for city acquisition of excess MnDOT right-of-way adjacent to his land at T.H. 13 and T.H. 55 and subsequent sale of the land to Mr. Smith for attachment to his land. Public Works Director Danielson informed Council that Mr. Smith has asked MnDOT if they would release the right-of-way, and MnDOT is willing to release part of it. MnDot would offer the land to the public but it does not have access on a public street. The only value the land would be if it were released to an adjoining property. If Mr. Smith develops the land as a whole with his property, he would not need access. The city will need to provide access to the other (non MnDOT) piece. If Council grants the request, the city would buy the land from MnDOT and then sell it to Mr. Smith. Councilmember Krebsbach wanted to be sure that the city has no interest in the land. She asked if any variances will be needed for development of the property. Mayor Mertensotto stated that once the city owns the land, the city can sell it and set the terms and conditions for development. Councilmember Schneeman moved to authorize staff to send letters to MnDOT requesting the sale of the excess right-of-way adjacent to the Bradner Smith property. Councilmember Vitelli seconded the motion. Ayes: 4 Nays: 0 PUBLIC COMMENTS Mr. Sten Gerfast, co-chair of Mendota Heights Neighbors, stated that at the last meeting Council had questions about whether the Mendota Heights Neighbors questionnaire was still valid. He stated Page No. 4 March 6, 2001 that some of the surveys were placed in paper boxes and others delivered to the homes in an area bounded by the Fire Station on the south, Marie Avenue on the north, and Valley Curve and Knob Road on the west and east respectively. He reviewed the results of an updated survey and submitted copies of the responses. Council briefly responded to Mr. Gerfast's questions regarding costs to date and statements Mr. Gerfast has made regarding costs. Council informed Mr. Gerfast that all of the questions in the survey have already been asked and they have been answered by the city. Councilmember Vitelli informed Mr. Gerfast that he can be sure that if he leaves a copy of the information with the city, the members of the Council will study the information and then decide whether to sit down with Mr. Gerfast. Responding to a question from Mayor Mertensotto, Mr. Gerfast stated that when the legislators were present at the last Council meeting, he stated that it is the association's intent to help Council. The organization is saying that the city should do only the planned senior housing and residential housing and move the retail space to the shopping center and let the existing businesses where they are. Councilmember Schneeman responded that Council must be fair to everyone and the plan must be what Council considers to be best for the entire community and the neighborhood. She felt that the Town Center concept plan is a wonderful plan for the city. Councilmember Vitelli stated that Mr. Gerfast has stated that he had to wait three months for an answer to his written questions. He pointed out that there was a workshop in December. Council's responses took two months after that workshop, and it took ten days to respond to the written questions after the last workshop. He stated that Mr. Gerfast still has not submitted a Mendota Heights Neighbors membership list. Mr. Gerfast responded that the members do not want their names given out for fear of repercussions. Councilmember Krebsbach stated that it is important to note that the survey did not follow standard research procedures. If it were done as a professional survey, there would be a right to anonymity. He stated that Mendota Heights residents have never been afraid to come forward with their views. Council will review the responses, but it must be noted that this is not a scientific sample and the margin of error does not even come into play. Page No. 5 March 6, 2001 COMMISSION RECOGNITION Mayor Mertensotto presented plaques of appreciation to Ultan Duggan for his fourteen years of service on the Planning Commission and to Ann Connelly for her two years of service on the Parks and Recreation Commission. Council also recognized Sharon Koll for her twelve years of service on the Planning Commission and George May for his four years of service on the Airport Relations Commission. Ms. Koll and Mr. May were not present to receive their plaques. AMERICAN LUNG Council acknowledged a memo from Assistant Hollister regarding ASSOCIATION a preliminary concept plan for a headquarters office building for the American Lung Association of Minnesota ( ALAMN) on the "Garron" site located at T.H. 55 and Pilot Knob Road. Council also acknowledged a letter from the American Lung Association. Mr. Gerry Orr, CEO of the ALAMN, stated that the organization is 97 years old and has been located in St. Paul for most of that time. ALAMN would like to spend the next 150 years in Mendota Heights. Over its long history, the association has come to the point that it is very concerned about indoor environments and health and started a "health house" project about eight years ago, and the new building will be a prototype for the best indoor air quality. The site ALAMN picked for its headquarters is very precious to the city and is very historical. ALAMN has retained a huge team of local and national people to work on the project, including architects Perkins and construction contractor Kraus /Anderson. Mr. Chuck Nides, Managing Partner of Perkins and Will, stated that ALAMN proposes a two to three story, 60,000 square foot building. Approximately 40,000 square feet will be leased, because part of the ALAMN mission is to get part of the building on the tax rolls. Mr. Nides described the proposed project for Council and the audience. He stated that the ALAMN representatives are only present this evening to give Council information. A comprehensive guide plan change and site plan approval will be required before the project can be approved. Councilmember Krebsbach stated that the proposal is really a two story building with a flat roof. She stated that the proposed site is very historically significant to many cultures. It is her feeling that the site should either be available to the community or it should bring considerable financial return to the city. Councilmember Vitelli agreed with Councilmember Krebsbach. Mayor Mertensotto informed the ALAMN representatives that the Mdewakanton tribe made a presentation to Council and expressed Page No. 6 March 6, 2001 their believe that this is a very historical site, but they did not have a funding mechanism to pursue their project. He stated that TIF assistance has not been available since December, 1999 and the city has no money to contribute to assist with any infrastructure, storm water retention, etc. He felt that this is the foremost development site in the entire metropolitan area because of its location. If ALAMN does not lease out the 40,000 square feet, the city will not receive any revenue from the site. Also, 40% of the value of the property goes into fiscal disparities. He also expressed concern over the number of proposed parking spaces. Councilmember Schneeman shared Mayor Mertensotto's concerns and stated that more study is needed. Ms. Theresa Sterns, representing Kraus Anderson, stated that her firm has done many projects in St. Paul, including the new Science Museum. With respect to the parking question, she stated that if a more dense building were proposed to generate taxes, the whole site would be taken up with parking. ALAMN would like to see less parking. She stated that ALAMN would also be willing to explore agreements with the city for payment in lieu of taxes. Mayor Mertensotto reviewed the city planner's concerns about the unique characteristics and history of the property and the substantial grading that would be required for the development. He felt that a high density residential use would be more appropriate for this site, and that is how the site is guided. Mr. Paul Carlson, from Kraus Anderson, stated that his firm has always looked at green space and storm water improvements and there are some soil corrections needed on the site. ALAMN really wants to work within the city's parameters. If the site is to be residential, it would only be used by those residents. ALAMN wants to open it up to the community. Responding to a question from Councilmember Schneeman, he stated that ALAMN might consider underground parking but that would require soil corrections. Mayor Mertensotto stated that there are many questions that would have to be answered and the community would need to be informed on what ALAMN is trying to do and why it would be good for the city. Probably 28% of the city will never be on the tax rolls because of the river and the bluffs, etc. He expressed Council's appreciation for everyone who appeared on behalf of the proposal and asked if this is the only site ALAMN is considering. Mr. Nides responded that ALAMN has a purchase agreement on the land and it is the only site being considered. Page No. 7 March 6, 2001 CASE NO. 01 -03, CSC Council acknowledged an application from CSC Publishing for a PUBLISHING ten foot front yard setback variance to allow construction of an office building on the vacant parcel immediately south of the SuperAmerica on the east side of T.H. 55 (Lot 2, Block 2, Northland Plaza). Council also acknowledged associated staff reports. Ms. Linda Cress, CSC Treasurer, was present for the discussion. Mayor Mertensotto stated that it looks like the front of the building is facing internally. He noted that it appears that the roof is metal, but the color is not specified. Ms. Cress responded that the roof leads up to a sky light and the roof color is proposed to be sky blue. It is a very high standard building that she felt would be a valuable asset to the area. The objective of the building design is that every office have a window. CSC is a publishing company but they do not do any printing. The building will be environmentally friendly and will not tax the city's resources. Mayor Mertensotto stated that the code enforcement officer reviews all building plans for compliance with the state code and that Council approves all commercial buildings. He asked Ms. Cress for details on the exterior. Ms. Cress responded that the building will be stucco with a stone ledge and face brick on the bottom. The projected cost is $724,000, and the building will have 6,783 square feet of interior space. Councilmember Schneeman noted that the city planner recommended a different location for the trash dumpster and more landscaping. Ms. Cress agreed, stating that her architect suggested taking one parking space on the farthest part of the site away from the building for the trash enclosure. Councilmember Krebsbach stated that staff report indicates that only six properties in the city are zoned B -3, which requires a 100 foot setback from a major thoroughfare. She stated that there are two vacant parcels adjacent to SuperAmerica and asked if this is one of those parcels and also whether Council will be faced with a similar situation for the other parcel. Assistant Hollister responded that Council granted SuperAmerica a -- variance. These lots are unique because they are the only B -3 parcels in the Industrial park. Page No. 8 March 6, 2001 Councilmember Krebsbach stated that she is glad to see the property develop in an office use rather than as a fast food restaurant, but she would like to see the quality of the building. Mayor Mertensotto agreed, stating that he is concerned about what the building will look like because of the building to the east. Public Works Director Danielson stated that TAJ Technologies is right across the street. Councilmember Vitelli did not think the ten foot variance is an issue. The gas station is much closer to T.H. 55 than this building would be. While Council would like to have as good a quality building as possible, Council must remember that there is a gas station next to the site. He felt that Council should let Ms. Cress know that it needs clarification on the building. Councilmember Krebsbach stated that if Council is to grant a ten foot variance, she would be interested in knowing what kind of building the variance would be granted for. Mayor Mertensotto stated that since the front of the building faces the interior lot line, the design of the building is particularly important. Councilmember Krebsbach stated that it sounds like a nice building for the lot. She agreed with the planner's comments about the landscaping and the trash enclosure. Mayor Mertensotto stated that he would not agree to a blue roof. He stated that he would prefer an earth tone, particularly dark green. Changing the color of the roof would not add cost to the project. He felt that a blue roof would be gaudy, especially given the size of the roof. Ms. Cress stated that she will discuss the roof color with the owner and the architect. Public Works Director Danielson suggested that Ms. Cress could submit the building plans to the code enforcement officer and he could do the plan review in the next two weeks. Councilmember Vitelli moved to table action on the matter for two weeks and to direct Ms. Cress to return with an alternate roof color, relocation of the trash receptacles, enhanced landscaping on the east Page No. 9 March 6, 2001 and west sides, and submission of whatever information is needed for staff to evaluate the internal elements of the building. Councilmember Schneeman seconded the motion. Ayes: 4 Nays: 0 MARIE AVENUE Council acknowledged a memo from Engineer Marc Mogan regarding the results of the proposed Marie Avenue mill and overlay project. Engineer Mogan stated that the poll was sent to eight residents who would be assessed under the project. Five responses were received and four of them were negative. Mayor Mertensotto suggested that the matter be placed on the next Council agenda and that Engineer Mogan write to the property owners to invite them in to discuss the proposed project and to state their concerns. TOWN CENTER SERVICES Council acknowledged a proposal from Ms. Carolyn Krall, of Studio Works, for the provision of continuing professional services for the Mendota Heights Town Center. Council also acknowledged a 1 proposed agreement from Studio Works. Mayor Mertensotto stated that all of the steps are laid out in the agreement but the cost is about double. He asked what the timing of the work will be and at what rate the money will be spent. Administrator Lindberg stated that she will ask Ms. Krall to amend the proposal to include a timeline. Councilmember Vitelli moved to authorize execution of the contract with Carolyn Krall after it is amended as recommended. Councilmember Schneeman seconded the motion. Ayes: 4 Nays: 0 Council acknowledged a proposal from Ruppert & Ruppert Associates, Inc., for appraisal services related to the Town Center project. Councilmember Vitelli moved to authorize the Mayor to execute the agreement for appraisal services with Ruppert & Ruppert Associates, Inc. Councilmember Krebsbach seconded the motion. Ayes: 4 Nays: 0 Page No. 10 March 6, 2001 COUNCIL COMMENTS Councilmember Krebsbach informed Council that at a recent St. Thomas Academy swim meet, she received many positive comments about the Town Center proposal. Mayor Mertensotto discussed air noise issues. Councilmember Vitelli informed Council that he has been elected Treasurer of NDC4. He also informed Council and the audience that the cable channels will be shuffled soon and that AT /T is now introducing a digital offering. When this change occurs, people will no longer need a converter box if they just have basic service. The boxes can be returned to NDC4 for a credit. Councilmember Vitelli informed Council that he spent Saturday afternoon knocking on doors in the same area as Mr. Gerfast to talk to people about Town Center. He talked to fifteen residents. The people on both sides of the Ridge/Dodd corner had no problem with the proposal. The people by the fire station do not have a problem with it, nor do the people on the corner of Decorah and Dodd. One couple he spoke with was not happy with the plan. He also talked to a couple of people on Marie. He stated that he had talked to Mendota Heights Neighbors co -chair Dave Mandt. He stated that people are concerned about the density and that the traffic may make it hard to get onto Dodd, but he did not get an excited, negative reaction from people. Mostly what he heard is "when are we going to get started with the project." The people who support the project are not speaking up as much as those who oppose it. Mayor Mertensotto stated that a recent newsletter article stated that the existing businesses generate 3,500 trips per day. He stated that he cannot believe they generate anywhere near that volume of traffic. It was also stated that the anchor would be a grocery store, and that is not at all true. Councilmember Krebsbach stated that she has also had comments from people about some things they would like, such as local art in the green space, and a pedestrian bridge over T.H. 110 recognizing they are very costly and not budgeted but there may be residents or others who may wish to make donations. Public Works Director Danielson reported on discussions with MnDOT in regard to the "right off' onto T.H. 110. Councilmember Krebsbach stated that Council should look at all available options for managing traffic on the frontage road. Page No. 11 March 6, 2001 Councilmember Schneeman stated that she understands there are federal funds available for an underpass under T.H. 110 and there is the possibility of a walking bridge over T.H. 110. She stated that she gave the city administrator information on making a grant application for an amenity that connects with trails and stated that Council should pursue everything possible. ADJOURN There being no further business to come before Council, Councilmember Krebsbach moved that the meeting be. Councilmember Vitelli seconded the motion. Ayes: 4 Nays: 0 TIME OF ADJOURNMENT: 9:45 p.m. Mathleen M. Swanson City Clerk W WW a Charles E. Mertensotto Mayor