HomeMy WebLinkAboutCity Council - 03/15/2011 APPROVED MINUTES
EDEN PRAIRIE CITY COUNCIL MEETING
TUESDAY, MARCH 15, 2011 7:00 PM, CITY CENTER
Council Chamber
8080 Mitchell Road
CITY COUNCIL: Mayor Nancy Tyra-Lukens, Council Members Brad Aho, Sherry Butcher
Wickstrom, Ron Case, and Kathy Nelson
CITY STAFF: Interim City Manager Jay Lotthammer, Public Works Director Gene Dietz,
Community Development Director Janet Jeremiah, City Attorney Ric Rosow and Council Recorder
Jan Curielli
I. ROLL CALL/CALL THE MEETING TO ORDER
Mayor Tyra-Lukens called the meeting to order at 7:05 PM. All Council Members were
present.
II. COLOR GUARD/PLEDGE OF ALLEGIANCE
Mayor Tyra-Lukens thanked Cub Scout Pack 597, sponsored by St. Andrews Lutheran
Church, for presenting the colors.
III. COUNCIL FORUM INVITATION
IV. PROCLAMATIONS /PRESENTATIONS
A. EDEN PRAIRIE READS UPDATE
Jeanne Zetah, Sue Stewart and Molly Koivumaki provided an update of the current
Eden Prairie Reads selection, Outcasts United, a book about refugee soccer players.
Ms Zetah said there will be a panel presentation on April 26 in the Heritage Room
at City Center with four panelists from different countries who will discuss their
experiences as refugees in this area.
V. APPROVAL OF AGENDA AND OTHER ITEMS OF BUSINESS
Lotthammer added Item XIV.B.1. Update on Health Insurance
MOTION: Butcher Wickstrom moved, seconded by Nelson, to approve the agenda as
amended. Motion carried 5-0.
XIV. REPORTS
G. REPORT OF FIRE CHIEF (Taken out of sequence)
Tyra-Lukens said our hearts go out to the people of Japan as their government deals
with the crisis there.
CITY COUNCIL MINUTES
March 15, 2011
Page 2
Chief Esbensen distributed copies of the Flood Response Policy for Eden Prairie.
He said the last major flood event was the 1987 storm when we received a total of
16-17 inches of rain. He said this year we expect Hwy 61 west of Lions Tap to
close as well as Riverview Road. The Nine Mile Creek Watershed District looked
at the potential impact on Bryant Lake and,based on a series of assumptions,
identified several properties there that have potential for flooding. He reviewed the
location of those properties and said we have an inventory of sandbags, sand, and
poly that could be used to help protect the properties. He said the City would
supervise the construction of levees but would not provide the labor.
Esbensen said we will mail information to those in the Bryant Lake neighborhoods
who have private water wells. Tyra-Lukens asked if we have emails for people who
live in that area. Esbensen said we are looking at the Code Red system to see if we
have information on these properties. Tyra-Lukens thought it was wise to use the
Code Red system and it may encourage people to sign up for the system.
Nelson asked if the City has responsibility for getting rid of the polluted sand if
sandbags are needed. Esbensen said our policy talks about the residents bringing
the bags back to the curb line. Nelson asked if we have any idea of the cost to do
that. Dietz said we would not incur a great deal of cost, and there is a demolition
landfill in Shakopee where we could dispose of the sand.
Nelson said she has received emails about flood insurance and asked if people need
to worry about that here in Eden Prairie. Esbensen said our building code specifies
a building should be a foot or two above the 100-year flood level. He said this
model is one possible scenario and if we get a different one the situation would
change. He noted Bryant Lake does not flood regularly so this is taking a worst
case scenario. He said each homeowner needs to make the decision to determine
what their level of risk is. The City can't make absolute statements about the need
for flood insurance.
Case said some residents have had situations with NURP ponds where the water
came within 10-15 feet of backyards. He asked if we have a list of problematic
areas from the last ten years so we could mail information to those residents.
Esbensen said the Public Works Department is very diligent in tracking those
situations.
Butcher Wickstrom thanked Mr. Esbensen for being very forward thinking and
proactive on this. She was happy that we have trained our CERT volunteers to
respond to situations like this. She thought it would be good to put the information
on the website so people are aware of it. Esbensen said we have not yet put it on the
website pending the Council's approval of the policy.
Lotthammer said the policy somewhat falls under some of our standard operating
procedures; however, in the past we have had the policies concurred with by
motion of the City Council.
CITY COUNCIL MINUTES
March 15, 2011
Page 3
Aho said this is based on a possible scenario, and there is no way to perfectly
predict what will happen. He understood it is good for the City to say we will
provide sandbags and materials and help coordinate the efforts. His concern is that
if something did happen that was truly extraordinary and affected a large number of
properties, we may be putting ourselves at risk where we may not be able to
provide materials and expertise to all the properties. Esbensen said they have
ramped up their sandbag inventory by a factor of three. There are all kinds of wild
card scenarios where we wouldn't have enough sandbags. Aho said his only
concern is that we may be putting the City at risk if we state our policy is to
provide materials and we then get caught short.
Tyra-Lukens asked if Mr. Aho was suggesting that the policy should have some
caveat regarding the sandbag material being available for those properties that are
identified as possible flooding locations. Aho thought there should be some way to
put a limit on our liability.
Rosow said the policy could be modified so that the Director of Emergency
Management is designated as the responsible authority in the City to manage
distribution of sandbags and sand materials and state that the City will endeavor to
provide materials to the extent possible within its resources, including financial.
Dietz said in his 30 years with the City we have never had spring flooding as a
result of snow melt. This scenario could happen,but this is based on a ten-day
snow melt with a record April rainfall on top of it. He maintained that we were
tested by the super-storm and we should not think doomsday. The drainage system
in Eden Prairie was based on a Comprehensive Guide Plan that assumed we would
grow to 100,000 in population so we have a level of conservative design in the
system. We had very little flooding in the super-storm of 1987. He thought it is
important to have these plans in place. The only modeling that has been done for
snow melt is this one for the Nine Mile Creek Watershed District. There are some
areas that we repaired after the 2005 rains and there has been very little flooding
since that time.
MOTION: Case moved, seconded by Butcher Wickstrom, to approve the Flood
Response Policy with the modifications suggested by City Attorney Rosow.
Motion carried 5-0.
VI. MINUTES
A. COUNCIL WORKSHOP HELD TUESDAY, MARCH 1, 2011
MOTION: Case moved, seconded by Aho, to approve the minutes of the City
Council workshop held Tuesday, March 1, 2011, as published. Motion carried 5-0.
B. CITY COUNCIL MEETING HELD TUESDAY, MARCH 1, 2011
MOTION: Aho moved, seconded by Nelson, to approve the minutes of the City
Council meeting held Tuesday, March 1, 2011, as published. Motion carried 5-0.
CITY COUNCIL MINUTES
March 15, 2011
Page 4
VII. REPORTS OF ADVISORY BOARDS & COMMISSIONS
VIII. CONSENT CALENDAR
A. CLERK'S LICENSE LIST
B. APPROVE SECOND READING OF ORDINANCE 3-2011 AMENDING CITY
CODE 11.03 RELATING TO MINIMUM WIDTH OF LOTS AT THE RIGHT-
OF-WAY LINE AND ADOPT RESOLUTION 2011-28 APPROVING SUMMARY
ORDINANCE
C. EDEN POINTE PARKING LOT EXPANSION 2010 by Liberty Property
Limited Partnership. Second Reading of Ordinance 4-2011 for Zoning District
change from Regional Commercial to I-2 on 2.98 acres and Resolution 2011-29 for
Site Plan Review on 5.82 acres Location: 7300 & 7400 Flying Cloud Drive.
(Ordinance No. 4-2011 for Zoning District Change, Resolution No. 2011-29 for
Site Plan Review)
D. AWARD THE BID FOR THE CONSTRUCTION OF THE RICE MARSH
TRAIL TO MINNESOTA DIRT WORKS
E. APPROVE DECLARATION OF RESTRICTIONS AND COVENANTS ON
HAWTHORNE OF EP OUTLOT
F. AUTHORIZE AGREEMENT WITH HENNEPIN COUNTY FOR
PARTICIPATION IN THE WETLAND HEALTH EVALUATION
PROJECT
G. APPROVE ENVIRONMENTAL LEARNING CENTER REPAIRS
H. AWARD 2011 MAINTENANCE MATERIALS CONTRACT
I. ADOPT RESOLUTION NO. 2011-30 APPROVING TWO CONTRACTS
WITH THE STATE OF MINNESOTA FOR THE INSTITUTION
COMMUNITY WORK CREW (ICWC)
J. ADOPT RESOLUTION NO. 2011-31 RELATING TO THE ISSUANCE OF
$1,260,000 TAXABLE GENERAL OBLIGATION WATER AND SEWER
REVENUE BONDS, SERIES 2011A
K. ADOPT RESOLUTION NO. 2011-32 RELATING TO THE ISSUANCE OF
$3,735,000 GENERAL OBLIGATION BONDS, SERIES 2011B
L. ADOPT RESOLUTION NO. 2011-33 CALLING FOR A PUBLIC HEARING
MAY 3, 2011 TO CONSIDER MODIFICATIONS TO TAX INCREMENT
FINANCING (TIF) DISTRICT#15 —SUMMIT PLACE SENIOR
APARTMENTS
CITY COUNCIL MINUTES
March 15, 2011
Page 5
MOTION: Aho moved, seconded by Case, to approve Items A-L on the Consent
Calendar. Motion carried 5-0.
IX. PUBLIC HEARINGS/MEETINGS
A. RIDGE AT RILEY CREEK 4TH ADDITION by JMS Custom Homes, LLC.
Planned Unit Development Concept Review on 0.65 acres, Planned Unit Development
District Review on 0.65 acres, Zoning District Amendment within the R1-13.5 Zoning
District on 0.65 acres, and Preliminary Plat of 0.65 acres for two single family lots.
Location: 9707 Sky Lane. (Resolution No. 2011-34 for PUD Concept Review,
Resolution No. 2011-35 for Preliminary Plat)
Lotthammer said official notice of this public hearing was published in the
February 17, 2011, Eden Prairie News and sent to 19 property owners.
Jeremiah said this is a little unusual as it was just reviewed by the Planning
Commission at their meeting last night. The unapproved minutes from that meeting
are printed on goldenrod paper for the Council's review. She said the City made an
error in the property noticing on this project, and in order to give the residents
enough time to come out and be heard, the Planning Commission's hearing of the
item was delayed until last night. She said there was some discussion at the
Planning Commission meeting regarding how construction access would be
handled, and the current thinking is that it would be along Sky Lane. She said the
lot meets all the requirements with regard to zoning.
Dietz said the whole issue of access is a dilemma for us. The development
agreement has two solutions: one is for the developer to provide access through the
MAC property and the other is that Eden Prairie Road/Beverly Drive/Sky Lane
would be overlaid. He noted there would be rent for access through the MAC
property. At some point as additional property is developed, we will have to make a
decision on this.
Jeff Schoenwetter, JMS Custom Homes, said his company has been very active in
Eden Prairie over the past 25 years. There are only 18 lots left in Riley Creek, and
they continue to try to do great things for the community. He said this project was
approved by a unanimous vote of the Planning Commission, and it also received a
favorable recommendation in the staff report.
MOTION: Case moved, seconded by Butcher Wickstrom, to close the public
hearing; to adopt Resolution No. 2011-34 for Planned Unit Development concept
review on .65 acres; to approve 1 st reading of the ordinance for Planned Unit
Development district review, and zoning district amendment within the R1-13.5
Zoning District on 0.65 acres; to adopt Resolution No. 2011-35 for preliminary plat
on .65 acres into 2 lots; and to direct staff to prepare a development agreement
incorporating staff and commission recommendations and Council conditions.
Motion carried 5-0.
CITY COUNCIL MINUTES
March 15, 2011
Page 6
X. PAYMENT OF CLAIMS
MOTION: Nelson moved, seconded by Case, to approve the payment of claims as
submitted. Motion was approved on a roll call vote, with Aho, Butcher Wickstrom,
Case, Nelson, and Tyra-Lukens voting "aye."
XI. ORDINANCES AND RESOLUTIONS
XII. PETITIONS, REQUESTS AND COMMUNICATIONS
XIII. APPOINTMENTS
XIV. REPORTS
A. REPORTS OF COUNCIL MEMBERS
B. REPORT OF CITY MANAGER
1. Update on Health Insurance (Taken out of sequence after Item C.2.)
C. REPORT OF THE COMMUNITY DEVELOPMENT DIRECTOR
1. First Time Homebuyer Down Payment Assistance
Jeremiah said in 2010, the Eden Prairie City Council approved a plan to use
$50,000 in CDBG funds to assist with the acquisition of affordable housing
for income eligible families, with a preference given to veteran, active duty
or retired military personnel. In researching options to assist potential
homebuyers, staff discovered the need for down payment assistance was the
most likely barrier keeping residents from purchasing homes. Staff would
like to tweak the program and are proposing the First Time Homebuyer
Down Payment Assistance Program that will provide a deferred, zero
interest loan of up to $25,000 to assist with down payment costs, closing
costs and principal reduction, which are all in accordance with HUD
requirements. The program will use the $50,000 allocation, plus an
additional $150,000 in program income to assist home buyers. The loan is
repayable when the property is sold, is no longer the borrower's principal
place of residence, or after 30 years has passed. She said there will be
preference points for living or working in Eden Prairie and for a family with
children.
Nelson said she assumed the people that would be eligible for this would be
fully capable of paying it back. Jeremiah said there would be a substantial
process that the applicants would have to go through in order to prove they
meet the eligibility requirements and are able to pay back the loan. She said
we would collaborate with CAPSH the organization that coordinates our car
repair program. Their staff would meet one-on-one with the prospective
homeowner and would make a recommendation with respect to the
CITY COUNCIL MINUTES
March 15, 2011
Page 7
readiness of the applicant. They also provide a training program on the
responsibilities of home ownership, the need to maintain insurances, and the
responsibilities with regard to the program.
Nelson asked if we have looked at putting our volunteer firefighters in the
point preference. Jeremiah said we have not discussed that,but we did
discuss putting in a veteran's preference, and some of the volunteers are
veterans. She said we have handled it more through marketing and have
marketed the program a lot to our volunteers and police staff.
Case asked what the income qualification levels are. Jeremiah said it ranges
from a maximum of$64,400 for a family of four to a maximum of$45,100
for a household of one.
MOTION: Butcher Wickstrom moved, seconded by Nelson, to approve
the use of CDBG funds for a First Time Homebuyer Down Payment
Assistance Program. Motion carried 5-0.
2. Housing Improvement Areas
Jeremiah said they have been working on a financing tool called a Housing
Improvement Area (HIA), which is a defined area within a city where
housing improvements are made and the cost of the improvements are paid
in whole or in part from fees imposed on the properties within the area. She
said it is particularly helpful with regard to maintaining town home and
condominium properties when they are having problems coming up with
money for maintenance in their common areas. This tool is initiated by the
owners of the property, and 50% of the owners must sign the petition. It can
be vetoed by 35% of the owners. It uses the City's resources with regard to
borrowing to provide low interest money to make the required
improvements to the property. The individual homeowners would then pay
it back through a fee on their property tax statements. This gives them the
opportunity to finance it over a period of time and gets the property
maintained so their values are maintained. She said no action is requested
tonight; however, it would require a public hearing and would be in
ordinance format when they do bring it forward.
B. REPORT OF CITY MANAGER
1. Update on Health Insurance
Lotthammer said we have been trying to contain costs, and we just had bids
come back in response to our RFP. Three companies met our qualifications:
Health Partners, Medica and B1ueCross/Blue Shield. Health Partners and
Medica came back with a 14% increase, and B1ueCross/B1ueShield came
back at 24%. Staff has met with the consultants on this and believe we can
work with Health Partners to reduce the 14% down to 12%, which fits what
we have budgeted.
CITY COUNCIL MINUTES
March 15, 2011
Page 8
Lotthammer said this obviously isn't sustainable long term so we have been
discussing how we might approach this for the long term. He noted we
agreed in our union contract to not make changes in the coming year. Over
the last several years we have eliminated our highest option plan and
introduced a high deductible. We have increased co-pays on prescription
drugs and office visits and have initiated our"Way-to-Go"program.
Unfortunately, our claims experience has been running at 145% of what we
have been contributing. He said we have been looking at an option where
employees take risk assessments by the health care provider to help lower
costs. He said we have talked about options with our consultants and have
been working with an employee group to get their feedback.
Lotthammer said we believe we have legitimate pricing coming back to us,
but staff believes long-term we need to relook at this to make sure we stay
competitive. He said staff will come back at a later date after doing more
research to give a better idea of the plans we would recommend.
Nelson said she asked the question last fall about why we weren't looking at
more of a cafeteria type plan where employees can pick and choose
benefits. She knows of other cities that use that, and many corporations are
going to that. She would like to see that included in what we are looking at.
D. REPORT OF PARKS AND RECREATION DIRECTOR
1. Award Bid for Flyins! Cloud Athletic Fields
Lotthammer said staff is asking the Council to let us go forward with a
contract for construction of the expansion of the Flying Cloud Athletic
fields. He said there is $1,200,000 remaining from the 2005 referendum to
fund the construction, so all the construction can be accommodated from
referendum dollars. He said there were 16 bidders ranging from
$1,200,191.77 to $1,883,612.00. The consultant and staff are
recommending the contract be awarded to the lowest bidder, Chard Tiling
and Excavating, Inc. There is a parcel on the MAC property adjacent to our
site that needs grading, and that was included as a separate line item so the
costs can be segregated. The MAC will reimburse us for that cost, which is
about$19,000. He said construction will probably start in late April or early
May with construction continuing this season and next. The fields should
then be in shape for play in 2013.
Case said he didn't recall ever seeing any clear details of the grading. He
said the current parking area is on the most westerly side and it then drops
off very steeply after that. The trees near there are not particularly special
but they do make a nice break, He asked if there is any way to keep the trees
if it doesn't interfere with grading. Lotthammer said because of the amount
of cut and fill we need to make, it will not be possible to keep the trees.
Case said he was talking about the trees on the ridge near the parking lot.
Lotthammer said some of those can stay. Case said there are 100's of them
CITY COUNCIL MINUTES
March 15, 2011
Page 9
along that ridge, and he thought we could keep some of them. It would
provide a nice break between the current parking lot and the new area.
MOTION: Case moved, seconded by Nelson, to award the bid for the
construction of the Flying Cloud Athletic Field expansion to Chard Tiling
and Excavating, Inc. Motion carried 5-0.
E. REPORT OF PUBLIC WORKS DIRECTOR
F. REPORT OF POLICE CHIEF
H. REPORT OF CITY ATTORNEY
XV. OTHER BUSINESS
On behalf of the entire Council, Tyra-Lukens expressed her appreciation and thanks for the
great job Mr. Lotthammer has done as Interim City Manager.
XVI. CLOSED SESSION TO DISCUSS REAL ESTATE NEGOTIATION
Rosow said the Council will go to closed session to discuss a counter offer for the purchase
of the Rogers property on Duck Lake Trail. He said the meeting will be tape recorded, and
the tape recording will be preserved for eight years after the meeting. The recording will be
made available to the public after all the real property discussed at the meeting has been
sold or purchased.
The Council moved to closed session at 8:15 PM.
The Council returned from closed session at 8:32 PM.
MOTION: Aho moved, seconded by Butcher Wickstrom, to pass on the opportunity to
purchase the property at Duck Lake Trail. Motion carried 5-0.
XVII. ADJOURNMENT
MOTION: Case moved, seconded by Nelson, to adjourn the meeting. Motion carried 5-
0. Mayor Tyra-Lukens adjourned the meeting at 8:34 PM.