HomeMy WebLinkAboutCity Council - 01/17/2017 APPROVED MINUTES
EDEN PRAIRIE CITY COUNCIL MEETING
TUESDAY,JANUARY 17, 2017 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. POLICE DEPARTMENT COMMENDATION AWARD
Police Chief DeMann said last October two civilians acted courageously to save
the life of a man threatening to jump from the Shady Oak Bridge onto Hwy 212.
He commended Christopher Lundgren and Nick Kettner for being willing to get
involved when they saw the incident. Mayor Tyra-Lukens congratulated the two
men on their bravery and presented each of them with a Police Department
Commendation Award.
B. DONATION FROM MIRACLE FIELD FUNDRAISING GROUP
(RESOLUTION NO. 2017-13)
Lotthammer said a group of Eden Prairie baseball players have put together
fundraising efforts for the Miracle Field over the past several years. The field
opened last year and was well used. Eight members of the group described the
work they did to help raise funds for the construction of the Miracle Field. They
presented a check to Mayor Tyra-Lukens for$98,000 towards the Miracle Field
construction.
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January 17, 2017
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Tyra-Lukens thanked the group for their donation and noted it was great to see the
work this group of baseball players has done in the community.
MOTION: Case moved, seconded by Aho, to adopt Resolution No. 2017-13
accepting the donation from the Eden Prairie Miracle League Field Fundraising
Committee. Motion carried 5-0.
C. DONATION FROM EDEN PRAIRIE SMILES FOR 2017 SPECIAL
EVENTS (RESOLUTION NO. 2017-14)
Lotthammer said we have had another donation from Eden Prairie Smiles for five
special events planned for 2017. He thanked Dr. Mesa for his role in this donation.
MOTION: Aho moved, seconded by Nelson, to adopt Resolution No. 2017-14
accepting the donation of$5,000 from Eden Prairie Smiles for Parks and
Recreation special events. Motion carried 5-0.
D. DONATION FROM LIONS TAP FOR 2017 SPECIAL EVENTS
(RESOLUTION NO. 2017-15)
Lotthammer said Lions Tap is another business that has provided ongoing support
to the special events in Eden Prairie. This year Lions Tap is donating $1600 to
support 16 of the 2017 Special Events.
MOTION: Butcher Wickstrom moved, seconded by Case, to adopt Resolution
No. 2017-15 accepting the donation in the amount of$1,600 from Lions Tap to be
used towards 2017 Special Events. Motion carried 5-0.
E. DR. MARTIN LUTHER KING,JR., PROCLAMATION
Mayor Tyra-Lukens read a proclamation proclaiming 2017 as a year to celebrate
human rights and diversity.
P.G. Narayanan, Chair of the Human Rights & Diversity Commission, announced
the opening of the application process for the 2017 Human Rights Awards. He said
awards are given in the categories of business, non-profit organization, individual
and youth. The Human Rights & Diversity Commission reviews the applications
received and selects the winners who will be announced at the April City Council
meeting.
Tyra-Lukens thanked Mr. Narayanan for his years of service on the Human Rights
& Diversity Commission. She noted the City is also taking applications to serve on
all the Boards and Commissions at this time.
V. APPROVAL OF AGENDA AND OTHER ITEMS OF BUSINESS
MOTION: Aho moved, seconded by Butcher Wickstrom, to approve the agenda as
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January 17, 2017
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published. Motion carried 5-0.
VI. MINUTES
A. CITY COUNCIL MEETING HELD TUESDAY,JANUARY 3, 2017
MOTION: Case moved, seconded by Butcher Wickstrom, to approve the minutes of
the City Council meeting held Tuesday, January 3, 2017, as published. Motion
carried 4-0-1 with Nelson abstaining.
VII. REPORTS OF ADVISORY BOARDS & COMMISSIONS
VIII. CONSENT CALENDAR
A. CLERK'S LICENSE LIST
B. ADOPT RESOLUTION NO. 2017-16 SUPPORTING TIMBERLAND
PARTNERS APPLICATION TO HENNEPIN COUNTY TRANSIT ORIENTED
DEVELOPMENT PROGRAM
C. ADOPT RESOLUTION NO. 2017-17 REVOKING SPECIAL ASSESSMENT
ADOPTED BY RESOLUTION NO. 2015-111 WITH REPSECT TO
PROPERTY ID NO. 13-116-22-22-0013, ONE SOUTHWEST CROSSING
O( SWX)
D. APPROVE PROFESSIONAL SERVICES AGREEMENT WITH SRF
CONSULTING GROUP, INC. FOR DESIGN SERVICES FOR EDEN
PRAIRIE ROAD EXTENSION PROJECT
E. APPROVE COOPERATIVE AGREEMENT WITH NINE MILE CREEK
WATERSHED DISTRICT FOR CHAMBERLAIN-CHEROKEE
STORMWATER MODELING PROJECT
F. APPROVE PROFESSIONAL SERVICES AGREEMENT WITH SRF
CONSULTING GROUP FOR FINAL DESIGN SERVICES FOR PRESERVE
BOULEVARD IMPROVEMENT PROJECT
G. ADOPT RESOLUTION NO. 2017-18 APPROVING RESIDENTIAL
RECYCLING GRANT AGREEMENT AND ADOPT RESOLUTION
AUTHORIZING RENEWAL OF HENNEPIN COUNTY RESIDENTIAL
RECYCLING GRANT AGREEMENT
H. ADOPT RESOLUTION NO. 2017-19 AUTHORIZING SETTLEMENT OF
ACQUISITION FOR PARCEL 30, SHADY OADK ROAD IMPROVEMENT,
I.C. 11-5800
I. APPROVE AMENDMENT TO PROFESSIONAL SERVICES AGREEMENT
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January 17, 2017
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WITH WSB FOR DESIGN PHASE SERVICES FOR LAKE RILEY PARK
RENOVATION
J. SET HEARING DATE FOR ERS DOCK APPEAL
MOTION: Nelson moved, seconded by Case, to approve Items A-J on the Consent
Calendar. Motion carried 5-0.
IX. PUBLIC HEARINGS/MEETINGS
A. PRAIRIE MEADOWS Authorizing Sale and Delivery of Revenue Bonds for
Prairie Meadows Multi-Family Housing Development(Resolution 2017-20)
Getschow said the City Council has had a number of requests for financial assistance
through the issuance of conduit revenue bonds. This request is from Prairie
Meadows, a group of 28 townhome buildings located in The Preserve. The request is
for up to $18,000,000 and involves a major renovation of the complex.
Dan Walsh, representing Community Housing Development Corporation (CHDC)
Prairie Meadows, reviewed the proposal. He said the town-home complex is located
on a ten-acre site, and over half of the units are family units with a significant
number of East African residents. He noted Prairie Meadows dates from 1977 and
was one of the earliest projects in the State to receive Section 8 contracts. He
described the renovations planned for the complex. They want to minimize the
disruption to people's lives as much as possible. There will be significant upgrades
to the parking, landscaping and the outdoor play area as well as renovation to the
interior of the units.
Nelson asked if the proponent would make sure the units are remediated for mold
issues. Mr. Walsh said they would. Nelson then asked if the renovations would be
inspected by the Fire Department. Mr. Walsh said they would.
Aho asked about the level of occupancy for the buildings. Mr. Walsh said it is
effectively 100%, and there is an extensive waiting list. He noted Section 8 rent
assistance is very valuable,particularly in this location. Aho asked if the renovations
will be done while residents are living there and over what period of time the
renovations will take place. Mr. Walsh replied they expect about a ten-month
construction process. The contractor they chose has made a science of in-place
renovation procedures and will not be in any one unit more than a total of five days.
They plan to work closely with residents and the contractor to make sure that any
particular needs are accommodated and any concerns are addressed.
Tyra-Lukens commented we taken this kind of action with other housing facilities in
the past,but never to this extent. She asked staff to address what the risk is to the
City. Rosow replied this is conduit financing, so it is pass-through financing. The
borrower has secured the services of an underwriter who marketed the bonds. The
City's involvement is to obtain tax-free interest on the bonds under Federal law, and
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January 17, 2017
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that is the advantage of municipal financing. The City has no liability on the bonds.
The City's only obligation is to turn over any money available from the borrower's
repayments to the trustee. If the borrower does not make the payments, the City is
not responsible for any default. The lack of liability for the City is carried through all
the documents. As to whether default on the bonds would affect the City's bond
rating, there may be a perception in the market when the City is named on the bond
that would require more of an explanation of the City's lack of liability. There would
not normally be an impact on our bond ratings because those agencies understand
this type of financing.
Tyra-Lukens asked if our legal and administrative costs are paid when this sort of
financing comes up. Rosow replied the City receives a payment of 1/8 of 1% of the
outstanding amount of the bonds every year as an administrative fee. That would
reimburse for costs the City incurs and would go into our housing fund.
Case noted this is probably one of the most significant affordable housing complexes
in the City. He asked if they anticipate any rent increases coming down the road. Mr.
Walsh said the complex has 100% of the units with Section 8 Federal rent assistance
so the residents will never pay more than 30% of their income. The rest of the rent is
paid for through HUD from Section 8 rent assistance. There are regular rent
increases,but the cost to the resident never increases to more than 30% of their
income.
A resident on Summit Place asked how much of the renovation money is going into
the interior spaces versus the exterior renovation.
MOTION: Butcher Wickstrom moved, seconded by Aho, to close the public
hearing. Motion carried 5-0.
In reply to the resident's question, Mr. Walsh said the interior improvements are
roughly $2 million of the $5.5 million total renovation costs.
Tyra-Lukens noted the resolution authorizes up to $18 million. Nelson asked if they
are getting money that will not go into construction. Mr. Walsh said there will be
bonds for the purchase, the financing costs and some escrows and reserves. Rosow
said this transaction involves the sale of the property to a new entity and the
reconstruction of the units. Mr. Walsh said the amount of the bonds needs to be over
50% of the eligible basis costs in order to make it eligible for housing tax credits.
Mr. Walsh noted other big costs include the update to the boilers, water heaters, and
LED lighting systems as well as the re-landscaping and courtyard upgrades.
Case noted the total cost of the entire project is listed at$24 million.
MOTION: Butcher Wickstrom moved, seconded by Aho, to adopt Resolution No.
2017-20 adopting a housing program with respect to a multifamily housing project;
authorizing the issuance, sale and delivery of Multifamily Housing Revenue Bonds
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January 17, 2017
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(Prairie Meadows Townhomes Project), Series 2017; approving the form of and
authorizing the execution and delivery of such bonds and related documents; and
providing for the security, rights, and remedies with respect to such bonds. Motion
carried 5-0.
Nelson asked if this will stay Section 8 forever. Rosow replied this insures that
Section 8 financing will last as long as the mortgage, or 35 years in this case.
Without this financing, the Section 8 housing would have expired within a year.
VOTE ON THE MOTION: Motion carried 5-0.
X. PAYMENT OF CLAIMS
MOTION: Case 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
XII. PETITIONS, REQUESTS AND COMMUNICATIONS
XIII. APPOINTMENTS
A. APPOINTMENTS TO 2017 BOARD OF APPEAL AND EQUALIZATION
Getschow said the Council heard from the other six commissions earlier this evening
at the Council workshop. The seventh board is the Board of Appeal and Equalization
which has responsibility for two meetings each year. They consider appeals of
property values that come to the City's Assessing Department. The request is to
appoint individuals to the commission. All five of the individuals have experience in
real estate and have expertise in the area of property values in the southwest metro
area.
MOTION: Aho moved, seconded by Case, to appoint to the Board of Appeal and
Equalization Lyndon Moquist, Annette O'Connor, Todd L. Walker, Nate
Thompson and Kristin Rial for the period of March 1, 2017 through May 31, 2017,
or until the Board of Appeal and Equalization completes its work. Motion carried
5-0.
XIV. REPORTS
A. REPORTS OF COUNCIL MEMBERS
B. REPORT OF CITY MANAGER
C. REPORT OF THE COMMUNITY DEVELOPMENT DIRECTOR
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D. REPORT OF PARKS AND RECREATION DIRECTOR
1. Pickleball Update
Lotthammer said at the November 7 meeting of the Parks & Recreation
Commission, over 70 members of the Southwest Pickleball Association gave
an update on their organization and asked for additional pickleball courts in
the City. The representatives indicated that if a site capable of
accommodating eight or more courts was available and the city was willing
to partner with them, the Southwest Pickleball Association would explore a
funding proposal. The Parks Commission suggested staff move forward with
a Feasibility Study. As part of the study, staff reviewed the community
facilities that would have the desired amenities including space for multiple
courts, parking, restrooms, water, windscreens, fencing, seating and shade.
The sites considered were Riley Lake Park and Staring Lake Park. They
determined that Riley Lake Park's site is a difficult one and would involve
displacing the volleyball courts there. There were three possible locations at
Staring Lake Park. The preferred location of the three sites is the area on the
west side with the basketball courts and tennis courts. The basketball courts
are near the end of their useful life and are scheduled for replacement in the
next couple of years. Adding 12 pickleball courts to the project would add
$300,000 to the renovation cost of$200,000 for the basketball and tennis
courts. There would be space for a 24-court facility with tennis and
basketball courts on the west side.
Lotthammer said he would like to get feedback if the Council is comfortable
moving forward with this. Staff gave the Southwest Pickleball Association
examples of fundraising, such as the Miracle Field and the Foxjets. He said
there would be sites available for some recognition tables.
Tyra-Lukens said she can vouch for the fact that dual line courts for
pickleball and tennis are not good for either sport. This site seems to make a
lot of sense because there are many of the other desired amenities here
already. She thought this is a good location and she would be in favor of it.
Butcher Wickstrom said it is our tradition that groups like the Southwest
Pickleball Association come forward to do fundraising. She loved that about
this proposal and thought it is a wonderful idea. She asked if there are lights
out there. Lotthammer said there are no lights at this location.
Lotthammer said there would be evenings when we could not have pickleball
at this location, such as when there are concerts at Staring Lake. Pickleball
play tends to take place in the morning or early afternoon. The pickleball
courts are used by people that travel throughout the southwest metro area.
This is a little different concept than our Soccer Association that has 90% of
the participants from Eden Prairie, and is more of a regional activity that
would have regional tournaments. He thought we might look at doing it by
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resident priority. Butcher Wickstrom wanted to make sure the understanding
is that this is our facility if there would be a conflict.
Case said he loved the idea. It is another example of how the City needs to
evolve with changing demographics, and it reminded him of our recent
additions of disc golf and cricket.
Nelson also supported this. She said she would not expect them to raise all
the money. We put money into tennis courts, and those are used by fewer
people than the pickleball courts. This sport is primarily for a senior
demographic, and it is good to have something that keeps people physically
fit as they age. She thought the City should start putting money for pickleball
into our CIP budget.
Aho said it is important to keep people active with the changing
demographics of the community as it ages in place. Pickleball provides an
opportunity for seniors to recreate, which is a good thing.
Tyra-Lukens said she is very much in favor of fundraising for this as well. It
would attract people from all over the County. She thought it is important to
have a substantial contribution from the users. It is not unusual for there to be
a usage charge for sports like this, and that may be the way we would need to
go.
Lotthammer said we have money budgeted to redo the existing courts but
have no money for this program, so this kind of funding source would be
very important. There is not a lot of grant money for this type of activity at
this time. He said staff would also suggest this as a scalable project as a way
to get started.
E. REPORT OF PUBLIC WORKS DIRECTOR
F. REPORT OF POLICE CHIEF
G. REPORT OF FIRE CHIEF
H. REPORT OF CITY ATTORNEY
XV. OTHER BUSINESS
XVI. ADJOURNMENT
MOTION: Butcher Wickstrom moved, seconded by Case, to adjourn the meeting. Motion
carried 5-0. Mayor Tyra-Lukens adjourned the meeting at 8:07 PM.