HomeMy WebLinkAboutCity Council - 05/05/2015 APPROVED MINUTES
EDEN PRAIRIE CITY COUNCIL MEETING
TUESDAY, MAY 5, 2015 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: City Manager Rick Getschow, Public Works Director
Robert Ellis, Community Development Director Janet
Jeremiah, Parks and Recreation Director Jay Lotthammer,
City Attorney Ric Rosow, and Council Recorder Jan
Curielli
I. CALL THE MEETING TO ORDER
Mayor Tyra-Lukens called the meeting to order at 7:00 PM. All Council Members were
present.
II. PLEDGE OF ALLEGIANCE
III. OPEN PODIUM INVITATION
IV. PROCLAMATIONS/PRESENTATIONS
A. SENIOR AWARENESS MONTH PROCLAMATION
Tyra-Lukens read a proclamation proclaiming May 2015 as Senior Awareness Month.
Members of the Senior Advisory Council accepted the proclamation.
V. APPROVAL OF AGENDA AND OTHER ITEMS OF BUSINESS
MOTION: Butcher Wickstrom moved, seconded by Nelson, to approve the agenda as published.
Motion carried 5-0.
VI. MINUTES
A. COUNCIL PLANNING SESSION HELD TUESDAY,APRIL 8, 2015
MOTION: Aho moved, seconded by Case, to approve the minutes of the Council
planning session held Tuesday, April 8, 2015, as published. Motion carried 5-0.
B. COUNCIL WORKSHOP HELD TUESDAY,APRIL 21, 2015
MOTION: Butcher Wickstrom moved, seconded by Nelson, to approve the minutes of
the Council workshop held Tuesday, April 21, 2015, as published. Motion carried 5-0.
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C. CITY COUNCIL MEETING HELD TUESDAY,APRIL 21, 2015
MOTION: Case moved, seconded by Nelson, to approve the minutes of the City Council
meeting held Tuesday, April 21, 2015, as published. Motion carried 5-0.
VIL REPORTS OF ADVISORY BOARDS & COMMISSIONS
VIIL CONSENT CALENDAR
A. CLERK'S LICENSE LIST
B. SECOND READING OF ORDINANCE NO. 4-2015 AMENDING CITY CODE
CHAPTER 11, SECTION 1.03, SUBD. 3 RELATING TO THE HEIGHT OF FENCES
C. SECOND READING OF ORDINANCE NO. 5-2015 AMENDING CITY CODE
CHAPTER 11, SECTIONS 11.20 AND 11.30 BY ADDING SUBD. 4 RELATING TO
MEDICAL CANNABIS DISPENSARIES & RESOLUTION NO. 2015-46
APPROVING PUBLICATION OF SUMMARY ORDINANCE
D. DECLARE SURPLUS PROPERTY
E. AWARD CONTRACT TO J&N WEED HARVESTING FOR AQUATIC WEED
HARVESTING IN MITCHELL AND RED ROCK LAKES
F. AWARD CONTRACT FOR 2015 CRACK SEALING PROJECT TO
NORTHWEST ASPHALT & MAINTENANCE
G. AGREEMENT WITH TRUE FRIENDS FOR PLAY AREA DESIGN,
CONSTRUCTION AND GRANT ADMINISTRATION
H. CHANGE ORDER FOR CONTRACT FOR FIBER DR LOOP BETWEEN THE
COMMUNITY CENTER AND FIRE STATION 3
I. ADOPT RESOLUTION NO. 2015-47 ACCEPTING DONATIONS FROM
FRIENDS OF RED ROCK LAKE AND MITCHELL LAKE ASSOCIATION FOR
AQUATIC INVASIVE SPECIES HARVESTING
MOTION: Nelson moved, seconded by Butcher Wickstrom, to approve Items A-I on
the Consent Calendar. Motion carried 5-0.
IX. PUBLIC HEARINGS/MEETINGS
A. CROSSROADS CENTER by Tim Cashin. Request for Planned Unit Development
Concept Review on 2.9 acres; Planned Unit Development District Review with waivers
on 2.9 acres, Zoning District Amendment within the Commercial-Regional-Services
District on 2.9 acres and Site Plan Review on 2.9 acres (Resolution No. 2015-48 for
PUD Concept Review; Ordinance for PUD District Review with waivers and
Zoning District Amendment)
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Getschow said the project is for an exterior remodel and landscaping improvements. The
site experienced hail damage in 2013, and the property owner is pursuing exterior
improvements to the overall building facade, including adding definition, color and interest
to the roof line, installation of canopies, and improved landscaping. The PUD waiver
requested is related to construction materials on the north elevation of the building that does
not meet the requirements for City Code. The proponent will add additional landscaping,
screening and bike racks. Official notice of this public hearing was published in the April
23, 2015,Eden Prairie News and sent to 10 property owners. The Planning Commission
voted 5-0 to recommend approval of the project at the April 13, 2015 meeting.
Scott Nelson, representing DJR Architects, reviewed the project and showed photos of the
property with the proposed improvements. He noted the property sustained serious hail
damage in 2013. The property owner decided to do drastic exterior and landscape
improvements which will include improvements to the canopy and new signage.
Tyra-Lukens commented it is a great improvement. She liked the natural landscaping, the
enhancements to the berm and the bike parking.
Nelson asked if the stucco material would water stain as stucco often shows stains over the
years. Mr. Nelson said they have not had that issue with the material, and the color is darker
so it should not show stains as readily.
There were no comments from the audience.
MOTION: Aho moved, seconded by Butcher Wickstrom, to close the public hearing;
to adopt Resolution No. 2015-48 for Planned Unit Development Concept Review on 2.9
acres; to approve first reading of the ordinance for Planned Unit Development District
Review with waivers, and Zoning District Review within the Commercial Regional
Service Zoning District on 2.9 acres; and to direct staff to prepare a development
agreement incorporating staff and commission recommendations and Council
conditions. Motion carried 5-0.
Tyra-Lukens asked when the project will start. Mr. Nelson replied it will start in June.
B. PUBLIC HEARING TO CONSIDER CABLE FRANCHISE APPLICATION
Getschow said the City of Eden Prairie is part of a group of cities forming the Southwest
Cable Commission. Earlier this year the Council approved a transfer of the cable
franchise from Comcast to Greatland Connections. Recently the merger deal between
Comcast and Time Warner was not approved by the Federal government; however, there
will be no changes to the franchise transfer the Council approved earlier this year. This
city and many others in the metro area have been approached by CenturyLink, a
competitor of Comcast, to provide cable television services. He said there is nothing that
precludes Eden Prairie from having more than one cable franchise agreement. We
recently sent out an RFP on the cable franchise, and CenturyLink responded. Tonight's
action does not request any specific action at this time. There would be a future public
hearing to consider that particular franchise agreement.
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Brian Grogan, representing Moss & Barnett and the Southwest Suburban Cable
Commission, said we are here to talk about a competitive franchise and to discuss some
of the issues regarding State and Federal law. Today we received a letter from Comcast
stating their concerns about the competitive franchise, and that letter will be provided to
the Council at a subsequent meeting. The Federal act of 2007 was, in part, trying to
promote competition in the cable industry. A franchising authority can award more than
one franchise in the jurisdiction but may not grant an exclusive franchise.
Mr. Grogan said the franchise application timeline in Minnesota is fairly detailed. It
requires a public hearing to consider the application and ultimately to consider the
franchise. Now that one application has been received before the closing date the next
step will be to prepare a report for the Southwest Cable Commission and bring back their
recommendation to the City Council. The City Council stands as the decision body for
Eden Prairie no matter what other cities do. When the Comcast franchise was approved
two years ago, Comcast required in the agreement that the City would not grant another
franchise contract that would be more favorable. He said they would expect to present an
identical copy of the Comcast franchise to CenturyLink for their comment.
Mr. Grogan said Minnesota statutes require that the initial franchise construction must be
made throughout the franchise area within five years of granting the franchise, and that
would most likely present the biggest hurdle for CenturyLink. CenturyLink relies on an
FCC provision that says it is unlawful to include such a provision. We would have to
grapple with the question as to which provision would apply, because there is somewhat
of a conflict between State and Federal laws regarding the build out. It is not clear
whether the FCC order preempts state or local statutes.
Tyler Middleton, Vice President of Minnesota Operations for CenturyLink, said Comcast
and its predecessors have had a monopoly on cable service in this area for over thirty
years. CenturyLink would bring choice and competition to the market, and he believed all
consumers would benefit because Comcast will have to react in terms of price and
services they offer. CenturyLink currently offers Prism, a television service which is a
different kind of technology called IPTV and which provides a very high quality digital
picture. They support all the pay programming and local channels. They have wireless
connectivity to each television set. They lay fiber to the home phone network or rely on
their existing networks. CenturyLink is an $18 billion company and has the financial
wherewithal to bring this service to a community. The Prism product is a very significant
investment in their connectivity, and they expect to turn on that product in several Twin
Cities markets as early as June 2015.
Patrick Haggerty, representing CenturyLink, addressed the question of the Minnesota
statute versus the FCC statute. He said CenturyLink agrees with the concept of
competition but is concerned about the five-year deadline to provide service to the entire
franchise area. He noted the FCC statute was passed in 2007 as a way to incent
competition in the industry.
Case said the last franchise agreement with Comcast resulted in their laying fiber between
our public buildings and asked if any new group would be held to that commitment. Mr.
Grogan said we have had discussions with CenturyLink Their technical representatives
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have reviewed the connections between Eden Prairie and Edina so they are aware of how
we distribute our paid programming. They are committed to matching those obligations.
Case asked if this duplicates the Public Access studio concept. Mr. Grogan said we
subcontract the studio to Bloomington, and they would have to match the funding for that
service.
Case asked if CenturyLink would supply the same services, such as the Comcast bundled
packages. Mr. Middleton said they would provide similar options. Case noted he saw an
article that stated this is not about cable but rather is about the internet. Mr. Middleton
said it is about both, and they are building out a fiber network as part of their ability to
attract and retain customers. Their offerings will be very similar to what Comcast offers.
Case noted we have wanted competition for a long time.
Aho asked what percentage of Eden Prairie residents are now served by CenturyLink. Mr.
Middleton said they have 99-100%for voice and internet. Aho asked what percentage
they would be able to provide with Prism service in the beginning before they would
decide it would be a viable business format. Mr. Middleton said their initial commitment
is set at 15%within the first two years. Aho asked if any of the capacity to bring fiber to
households is available in Eden Prairie now. Mr. Middleton said they will leverage their
existing infrastructure but will have to do some things to the existing network to provide
capabilities for video. It would be their intent to get as many homes as possible.
Aho said he was trying to get an understanding of whether the infrastructure would have
to be completely new to deliver the services. Mr. Middleton said they need to upgrade the
existing infrastructure in order to get fiber capability into homes.
Nelson asked where in town that service would be available. Mr. Middleton said there is
no overt plan they can share in an open forum because of competitive issues.
Tyra-Lukens thanked the CenturyLink representatives and Mr. Grogan for the
presentation and Council Member Case for his service on the Southwest Cable
Commission for many years. She noted Council Member Nelson is now serving on that
commission.
MOTION: Case moved, seconded by Butcher Wickstrom, to close the public hearing.
Motion carried 5-0.
X. PAYMENT OF CLAIMS
MOTION: Butcher Wickstrom moved, seconded by Nelson, 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
A. FIRST READING OF AN ORDINANCE AMENDING CITY CODE CHAPTER 4
RELATING TO ALCOHOL, TAPROOMS AND BREW PUBS
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Getschow said staff has been looking at amendments to our code relating to alcohol for a
number of reasons. The City has received inquiries concerning taproom, brew pub and
growler liquor licenses. The City Code currently authorizes the issuance of brew pub
licenses but not taproom or growler licenses. In addition, there are some housekeeping
updates needed because of changes in State law.
Rosow reviewed the proposed amendment with a PowerPoint presentation. He noted the
legislature just passed legislation last Friday, and staff was able to incorporate those
changes in the goldenrod copies given the Council Members tonight. He reviewed the
types of licenses issued to brewers and the definitions of the facilities that receive the
licenses. Tyra-Lukens asked if the change authorizes the sale of growlers as she thought
we had allowed that in one instance. Rosow replied the change is the Sunday sale of
growlers.
Rosow said the days and hours of sale have been extended by the legislature to permit an
8:00 AM opening on Sunday. The City Council does not need to do that and would have
to specifically allow extended hours. The current requirement states a hotel or restaurant
must have a percentage of 50/50 for food sales and liquor sales. With the proposed
amendment that would be changed to 40/60%food to liquor in order to reflect the
demand for new beers that are higher priced which makes it difficult for the business to
meet the 50%food sales requirement. He said the amendment would authorize taprooms
and would allow Sunday sales.
Rosow said there is an issue regarding the taproom and food. A taproom does not need to
be a restaurant so it would be able to sell food without meeting the 50/50 rule. Most
taprooms operate with the understanding that customers may bring their own food or
provide menus for customers to order food from nearby restaurants. Getschow noted the
taproom is a new phenomenon, and it is very atypical that they serve food.
Nelson asked if a small brewer that brews on site could offer a couple of types of malt
liquor. Rosow said they could as long as it is manufactured on site. Nelson asked if this
would ever apply to a winery. Rosow said that would require a change to the law as this
code applies to malt liquor only. Getschow noted Council Member Nelson's question
touched on another area as to whether a winery or a distillery could be included, which is
a future possibility.
Butcher Wickstrom thought a small business like a taproom should be able to decide to
offer food. Rosow said they had that debate today as to what is fair with respect to a small
taproom. If they are allowed to bring in food, then that may cut into the mid-market
restaurant business. Butcher Wickstrom said she wanted to make sure we are not
restricting a business model for any small business.
Aho asked if the definition means that a taproom could never become the classic
definition of a bar because they are limited to the sale of malt liquor produced on site.
Rosow said that was correct. Aho said he understood not wanting to limit a small
business, but he also thought we have to be fair to the businesses we currently have. A
taproom could become a brew pub if they wanted to sell food.
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Case noted there is always a conflict between individual rights when we pass any
ordinance. Every law limits and gives rights at the same time. He noted there are several
issues involved in this discussion, not just brew pubs versus taprooms, because we have
municipal liquor stores, and we don't allow other businesses to sell liquor in the City. It
does not seem fair to let those facilities sell off-sale growlers. He thought the taproom
could have food menus available for restaurants that deliver for customers who want
food.
Getschow said the off-sale growler situation is a unique one because we are one of the
few cities with a municipal liquor store. He said it doesn't seem consistent and fair to have
growler sales in Eden Prairie.
Rosow said he did some math about what kind of impact this would have on our liquor
store. From an operating point of view it is important for a taproom to be able to sell off
their excess product. Case asked if it would have to be an all or nothing situation so that
we might cap the sales of growlers. He noted we receive 3% of our City's revenue from
liquor sales and that is part of our tax structure.
Tyra-Lukens said it is an interesting point, and it will have an impact on the liquor stores.
She thought we also need to consider why we allow restaurants to sell liquor when we
have the municipal liquor stores.
Rosow noted the zoning is different for a restaurant than for a taproom which would be
located in an industrial zone.
Nelson said she liked the idea of potentially limiting the number of growlers sold, and, if
a taproom has food, then maybe it should have a food/liquor percentage as well.
Tyra-Lukens asked if a taproom could put out food if they don't charge for it. Rosow said
we could probably define it in a way to allow the offering of free food. We could also
include the other suggestions such as no growler sales, a limit to the hours of growler
sales or a cap on the percentage of food sold.
Butcher Wickstrom believed the taproom is a model that Gen Xers and millennials like.
She said she liked Council Member Nelson's idea to have a certain percentage of food to
alcohol sales for taprooms so they could have appetizer-type food available. She also
thought it would be good to put some restrictions on growlers but didn't think it is a
problem to have municipal liquor stores and allowing taprooms to sell growlers.
Getschow said we are somewhat treading new ground here, and he would like to check
with other cities in the same situation. He could see it as a value added to the community.
He noted the one group that has approached us about opening a taproom is not interested
in serving food.
Tyra-Lukens asked if most taprooms don't have food. Rosow replied it was his
understanding that taprooms don't offer their own food but do allow customers to bring in
food or post menus for restaurants that provide take-out or delivery.
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Aho noted we have a lot of questions, and this is a new issue. There are a lot of changes
with the State statutes, and he did not think we are going to come to a resolution tonight.
We need to have a meaningful discussion and weigh each of the issues, perhaps at a
workshop session.
Case said he would like to have reasons to support the growler sales. We have raised a lot
of questions tonight, and he liked Council Member Aho's suggestion for a workshop on
the issue.
Tyra-Lukens said her big concern is that we have a business that would like to come in.
She asked if we could pass the ordinance and continue to make changes before coming
back for second reading. Getschow said City Attorney Rosow had asked that second
reading be made some time in June or July if a first reading passed tonight.
Aho said his concern is that a potential business would not want to make plans if they get
word we are passing the ordinance tonight but will be reconsidering it at a later date.
Rosow said the ordinance requires a first reading and it has been introduced to the
Council. We have had a first reading of the ordinance but the Council is not voting on it.
The Council could then have first reading pass at a later meeting and have second reading
at the same meeting.
Rosow also noted the ordinance amendment changes the 50/50 percentage to 40/60. The
consensus of Council Members was to change the percentage to 40/60.
Tyra-Lukens summarized that no action will be taken tonight. She asked Council
Members to get their questions and comments to the City Manager or the City Attorney.
Case said it would be helpful to have an outline of the key issues involved at the next
session.
XII. PETITIONS, REQUESTS AND COMMUNICATIONS
XIII. APPOINTMENTS
XIV. REPORTS
A. REPORTS OF COUNCIL MEMBERS
B. REPORT OF CITY MANAGER
C. REPORT OF THE COMMUNITY DEVELOPMENT DIRECTOR
D. REPORT OF PARKS AND RECREATION DIRECTOR
E. REPORT OF PUBLIC WORKS DIRECTOR
F. REPORT OF POLICE CHIEF
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G. REPORT OF FIRE CHIEF
H. REPORT OF CITY ATTORNEY
XV. OTHER BUSINESS
XVL ADJOURNMENT
MOTION: Butcher Wickstrom moved, seconded by Case, to adjourn the meeting. Motion
carried 5-0. Mayor Tyra-Lukens adjourned the meeting at 8:35 PM.