HomeMy WebLinkAboutCity Council - 01/02/2001 - Workshop APPROVED MINUTES
EDEN PRAIRIE CITY COUNCIL WORKSHOP/FORUM
TUESDAY,JANUARY 2,2001 5:00-6:55 PM, CITY CENTER
HERITAGE ROOMS I&II
CITY COUNCIL: Mayor Jean Harris, Councilmembers Sherry Butcher, Ronald Case, Jan
Mosman, and Nancy Tyra-Lukens
CITY COUNCIL STAFF: City Manager Chris Enger,Parks &Recreation Services Director Bob
Lambert,Public Works Services Director Eugene Dietz,Public Safety Services Director Jim Clark,
Community Development and Financial Services Director Don Uram, City Planner Michael Franzen,
Director of Management Services Natalie Swaggert, City Attorney Roger Pauly, and Recorder
Lorene McWaters
VISITORS: Jim Van Driel,President of Hartford Place Club Homes;Ray Mohr,President of
Weston Woods Townhome Association; Terry Pearson,Resident of Weston Woods Townhomes;
John MacKany, Board Member of Hartford Place Court Homes;Michele Perpich,Resident of
Sanctuary Townhomes; Laura Bluml,Eden Prairie Resident;Bill McHale,Ryan Companies; Todd
Stutz,Rottlund Homes/David Bernard; Tim Whitten, Senior Vice President for Architecture;
Rottlund Homes/David Bernard; Richard Palmiter,Rottlund Homes/David Bernard;Deb Ridgeway,
Rottlund Homes/David Bernard
I. CALL MEETING TO ORDER—MAYOR JEAN HARRIS
Mayor Harris called the meeting to order at 5:15 p.m.
H. APPROVAL OF AGENDA
I. HARTFORD DEVELOPMENT LAND USE CONCEPT DISCUSSION
Richard Palmiter,Land Development Manager for Rottlund Homes, and Tim Whitten,
Senior Vice President for Architecture for Rottlund,presented their development concept for
the Hartford Development. Representatives from four neighborhood groups were also
present. City Manager Chris Enger noted that the process used for introducing the proposal
to the City was unusual, since nearby residents rather than a developer initiated the proposal.
He asked for clarification on who the proposal was from and what Rottlund and the
neighborhood groups wished to accomplish in the meeting.
Richard Palmiter explained that after the Costco proposal for this piece of land was denied
by the Council,the neighborhood actively sought out a developer who would work with
them on a concept for the land that would be acceptable to both the existing neighborhood,
the land owner(Ryan Companies), and the developer. The neighborhood groups were
familiar with"new urbanism"developments Rottlund Homes/David Bernard has built or are
constructing in Minnetonka,New Brighton and Golden Valley, and asked them to work on a
similar concept for the Eden Prairie parcel. Palmiter said this process was also unique for
Rottlund. They had attended a neighborhood meeting two weeks previously at which
approximately 50 neighborhood residents provided input. Those present at the meeting
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January 2, 2001
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agreed the plan looked good and asked that it be presented to the City. Palmiter said they
wanted to come away with"more than a warm feeling at the end of the evening." They
understand Council may need a couple of weeks to consider the project,but that Rottlund
and Ryan Companies both need to know soon whether or not the Council supports the
project.
Whitten reviewed several"new urbanism"projects Rottlund(under the name of David
Bernard)has built or is building in nearby communities,including Golden Valley,
Minnetonka, downtown Minneapolis and New Brighton. These projects involve mixed-use
development and include retail shops,restaurants, offices, and housing. He said Rottlund
knows these projects work,they have pricing on them, and they are comfortable with this
type of product.
Palmiter said the 18-acre Hartford Development site presents several challenges,including a
short window of opportunity,the need for relatively high density, and the desire for mixed-
use. Approximately three acres or 30,000 square feet of retail space is included in the
design. The balance of the project is housing of five different types: two-story urban flats,
new urban townhomes, stacked flats (to help create density),work/live units, and row
townhomes. All units except the row townhomes would include either one or two
underground parking spaces. Each row townhome would include a 2-car rear-entry garage.
All of the units have front-door access to the street and street parking for guests. The
development would be laid out similar to city blocks with"pocket parks"interspersed
throughout. Sidewalks would run in front of all the residences and connect the parks.
Whitten said the idea of new urbanism is to make each street pedestrian-friendly. The
current plan calls for 302 residential units,with an average of 21.8 units per acre.
Councilmember Tyra-Lukens asked if the roads would be city roads or townhome
development roads. Whitten said this is still to be determined and that setbacks would limit
what can be done. Councilmember Case asked if Rottlund had looked at options and played
with the numbers. Whitten said their TIF analysis (which used the"standard"formula)
limited the amount of retail. Whitten noted he worked on the Edinborough development,
which had a higher density but included only one parking space per unit. He said 28 units
per acre was hitting the ceiling for the Hartford site. He noted that the cost goes up
considerably as you"build up"or add stories. Tyra-Lukens asked if a traffic analysis had
been completed. Whitten said no,but that he expected more traffic would be generated by
this development than the previous Costco proposal. He noted that the neighborhood still
supports the current proposal.
Palmiter reviewed the proposed TIF financing. He said Rottlund projects a$2.5 million
shortfall due mainly to the cost of the land. They are proposing a mostly residential
development on land that is currently valued commercially. Therefore,they are asking for a
single-family owner-occupied TIF district. The homes in this district would be sold to
individuals at the median income level for the metropolitan area. Rottlund believes young
professionals would be buyers of these homes,which would be in the$165,000 to $175,000
range. Empty-nesters with equity in existing homes might also qualify as buyers. Under the
Rottlund proposal,the City would have to make a contribution. Palmiter said they had
worked with the City's financial consultant, Springsted, and concluded that the TIF district
would consist of 214 units.
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January 2,2001
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Tyra-Lukens asked if the plan for urban flats relies on street parking on Rolling Hills Road.
Whitten said that it does call for parking on Rolling Hills,which he noted is a wide street.
Public Works Director Gene Dietz said this would require some changes by the City since
current rules don't allow for parking on City streets after 2 or more inches of snowfall.
Whitten said these were issues that could be worked around and that he believes the concept
is solid. It is transitional, fits within the"smart growth"concept, and would provide density
near the City's regional mall.
Tyra-Lukens said she likes the variety of housing and pockets of open space provided for in
the concept design. Mayor Harris said she also found the design appealing. She asked how
the$2.5 million gap would be affected if there were a need to reduce the total number of
units. Whitten said any reduction in units would widen the gap.
Financial Services Director Uram noted that Rottlund was proposing a non-standard TIF that
would not meet HUD low-income guidelines. In addition,the most recent numbers he had
seen indicated the City would also be required to contribute$400,000 toward the project
from unrestricted general fund revenues. Councilmember Case said the plan looked good,
but said the Council would have to address the issue of paying for the project. Enger noted
that the development would not help the City meet stated goals for providing affordable
housing,but that it would make housing more affordable for median income buyers.
Neighborhood resident Terry Pearson said she thinks the proposal"shows vision and gives
respect to a wonderful piece of land." While traffic levels may be higher, she believes
traffic will be more evenly dispersed. She noted that 50 residents attended the neighborhood
meeting with Rottlund during the week of Christmas with just two days notice, and all
present endorsed the plan. She said if there is a way to make the money work,they are 100
percent behind the project.
Mayor Harris asked whether or not the Council philosophically wanted to back a project that
doesn't meet affordable housing goals. (Dram said he wondered why the project could not
pay for itself.) He noted that the Lincoln Parc development, currently under construction,
does include affordable housing. He said staff would be looking closely at the numbers
provided by Rottlund in the next two weeks. Enger asked why the City should be involved
in subsidizing housing for median income buyers when we have not chosen to do so in the
past. He asked if there might be an opportunity to have equity participation with owners, so
that when they sell their homes the City's subsidy would be returned. Whitten said the
Edinborough project was subsidized in this manner. Mayor Harris said this would make the
project more attractive,but the Council needs more information from staff before coming to
any decisions.
Enger noted that staff hasn't done any technical work on the proposal yet, and although the
neighborhood likes the current plan,he wondered if they will still be in favor of the
development after it has gone through the formal staff,Planning Board, and Council
process. He also said the City needs to determine whether or not there are residents in the
area who are not in favor of the proposal. Case said that while he understands the window
of opportunity is narrow,the Council needs more information on the financial aspects.
Whitten said he believes the residents understand that this is an evolving project, and that
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January 2,2001
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the development proposal will go through the normal process if they get the nod from the
Council. Mayor Harris suggested addressing this proposal at a future Council Meeting after
staff have gathered more information.
IV. AFFORDABLE HOUSING
At the December 19 Workshop, Councilmember Case requested information from staff
regarding where Eden Prairie stands in relation to other metro area communities in
providing affordable housing. Financial Services Director Uram presented data gathered by
Housing and Redevelopment Authority Manager David Lindahl from Brooklyn Park,
Bloomington,Maple Grove,Burnsville,Eagan,Hopkins,Plymouth, Chanhassen,
Minnetonka and Edina. Of these 11 cities,Eden Prairie ranked 9th in affordable rental and
ownership housing. Uram noted that Eden Prairie's Livable Communities goal is 1,600
units and the City currently has about 440 units. City Manager Enger said the implication is
that the City needs to come up with additional strategies to meet current goals. He
suggested looking for additional sites to build affordable housing, or ownership rather than
rental. He said there is a site in the downtown area on which these goals could be more
aggressively pursued,but only if the Council wishes to support this direction.
Councilmember Butcher said she feels targeting this type of housing is essential for the
City's future. Case suggested holding a Saturday workshop to more fully explore the issue.
He said it seems that no matter what the City does,it isn't enough, and he believes it may
not be worthwhile. He noted that Eden Prairie currently has a great reputation,which it can
maintain if it keeps up a good faith effort in affordable housing. Mayor Harris said the
Council needs to ask itself questions such as where our young people are going to live when
the finish college. Case said he thinks it may not be worth doing affordable housing, and
that the City is already doing okay. He suggested doing something symbolic now and then.
He wants to take an in-depth look at the costs. Enger said he was willing to look at the costs
of doing or not doing affordable housing. Tyra-Lukens said the City definitely needs to
pursue affordable housing,but density has not been the answer in the past. She said the City
needs to look at how to avoid losing affordable housing units once they are built. Mayor
Harris said this topic was a major issue and that it would be added to the list of workshop
topics.
V. OTHER TOPICS
VI. COUNCIL FORUM—MAX THOMPSON,METRICOM
Max Thompson said he requested to address the Council because his company had come to
an impasse with the City Attorney over an agreement to allow his company to attach pole
top radios to light poles within Eden Prairie. He said his company operates high speed
wireless data system that allows subscribers to attach a modem to a computer. To complete
the network,Metricom needs to attach 5 to 7 poletop units per square mile in Eden Prairie.
Thompson said Metricom worked with the Minnesota League of Cities in 1999 to develop a
standard contract allowing for use of City right-of-ways. As part of the contract each city
receives 10 free subscriptions to Metricom's wireless Internet service. The agreement has
been approved by 56 other metro area communities. Thompson said it would be difficult to
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January 2, 2001
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alter the agreement for Eden Prairie because the contract signed by other communities
includes a fairness clause. He said sticking points with Eden Prairie have been:
• How the City Attorney will be reimbursed for time spent on the contract
• Eden Prairie's contention that our lease with NSP gives us exclusive right to control use
of the light poles.
Thompson said he was not looking for an immediate decision,but wanted the chance to
present his side of the issue. Mayor Harris said the matter would have to be decided at a
regular Council Meeting. City Attorney Roger Pauly asked if it would be appropriate for
him to respond to Mr. Thompson's presentation at tonight's council meeting. Hams said
that would be appropriate.
VIH. ADJOURNMENT
Mayor Harris adjourned the meeting at 6:58 p.m.