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City Council - 04/02/2019 APPROVED MINUTES EDEN PRAIRIE CITY COUNCIL MEETING TUESDAY,APRIL 2, 2019 7:00 PM, CITY CENTER Council Chamber 8080 Mitchell Road CITY COUNCIL: Mayor Ron Case, Council Members Brad Aho, Mark Freiberg, P G Narayanan, 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 Case 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. EDEN PRAIRIE COMMUNITY CENTER AWARDS PRESENTATION Lotthammer introduced Valerie Verley, Community Center Manager. Verley said the Eden Prairie Community Center has received three of the Sun Current Readers' Choice Awards for 2018: Best Recreational Center; Best Fitness Center; and Best Indoor Waterpark. She noted the award winners are selected by a survey of Sun Current readers during a six-week voting period. She said they are very honored to receive the awards, and noted the Community Center serves those who are six months old up to 100 years old and provides something for everyone. Aho commented this is a great set of awards, and he can verify the Community Center is a great place to work out. Nelson commented the Community Center staff helps make it a fun place. Narayanan noted his sister, visiting from Canada, was very impressed by her visit to the Community Center. V. APPROVAL OF AGENDA AND OTHER ITEMS OF BUSINESS MOTION: Aho moved, seconded by Freiberg, to approve the agenda as published. Motion carried 5-0. CITY COUNCIL MINUTES April 2, 2019 Page 2 VI. MINUTES A. COUNCIL WORKSHOP HELD TUESDAY, MARCH 19, 2019 B. CITY COUNCIL MEETING HELD TUESDAY, MARCH 19, 2019 MOTION: Narayanan moved, seconded by Nelson, to approve the minutes of the City Council workshop held Tuesday, March 19, 2019, and the minutes of the City Council meetings held Tuesday, March 19, 2019, as published. Motion carried 5-0. VII. REPORTS OF ADVISORY BOARDS AND COMMISSIONS VIII. CONSENT CALENDAR A. CLERK'S LICENSE LIST B. STABLE PATH by Wooddale Builders. Second Reading of Ordinance 8-2019 for PUD District Review with Waivers and Zoning District Change from Rural to R1-9.5 on 5.9 acres (Ordinance No. 8-2019 for PUD District/Zoning Change) C. EXTENSION OF ABRA AUTO BODY APPROVALS by City of Eden Prairie. First and Second Reading of Ordinance 9-2019 extending prior approvals for Abra Auto Body (Ordinance No. 9-2019) D. ADOPT RESOLUTION NO. 2019-45 APPROVING STABLE PATH FINAL PLAT E. ADOPT RESOLUTION NO. 2019-46 APPROVING APPRAISAL VALUES AND AUTHORIZING PROPERTY ACQUISITION RELATED TO TOWN CENTER STATION PROJECT F. AWARD CONTRACT TO CASTRO CLEANING LLC. FOR ANNUAL CLEANING SERVICES AT WATER TREATMENT PLANT G. APPROVE WORK ORDER W01 UNDER MASTER PARTNERSHIP CONTRACT WITH MNDOT H. AWARD CONTRACT TO AVR INC. FOR 2019 CONCRETE SUPPLY I. AWARD CONTRACT TO ALLIED BLACKTOP COMPANY FOR INSTALLATION OF CRACKSEALANT J. AWARD CONTRACT TO CREATE CONSTRUCTION, LLC FOR 2019 SIDEWALK IMPROVEMENTS CITY COUNCIL MINUTES April 2, 2019 Page 3 K. AWARD CONTRACT TO MINNESOTA ROADWAYS COMPANY FOR DELL ROAD TRAIL REHAB PROJECT L. APPROVE SERVICE AGREEMENT WITH WATERGUARDS FOR CONDUCTING WATERCRAFT INSPECTIONS M. APPROVE COOPERATIVE AGREEMENT WITH RPBCWD FOR LOWER RILEY CREEK RESTORATION PROJECT N. DECLARE EQUIPMENT AS SURPLUS O. AWARD CONTRACT FOR THE GARDEN ROOM FOOD SERVICES TO SMOKIN HOTTDISH,LLC. P. APPROVE ENTERPRISE AGREEMENT TO RENEW MICROSOFT LICENSES PURCHASE THROUGH SHI Q. APPROVE GEO DECK SETTLEMENT FOR STARING LAKE PARK AMPHITHEATER R. APPROVE EDEN PRAIRIE COMMUNITY CENTER PAVER PURCHASE S. APPROVE NATIVE CONVERSION SITE MAINTENANCE AGREEMENT MOTION: Nelson moved, seconded by Aho, to approve Items A-S on the Consent Calendar. Motion carried 5-0. IX. PUBLIC HEARINGS/MEETINGS A. BEVERLY HILL by Great Oaks 2nd, LLC. First reading of an ordinance for Zoning District change from Rural to R1-9.5 on 6.86 acres; Resolution 2019-47 for Preliminary Plat on 6.86 acres (Ordinance Zoning Change; Resolution No. 2019- 47 Preliminary Plat) Getschow said the applicant is requesting a rezoning and preliminary plat for 17 detached, single-family residential lots to be known as Beverly Hill. The site is approximately 6.8 acres and consists of two existing single-family residences and accessory buildings. The site is located directly north of the Reeder Ridge development and west of The Meadows at Riley Creek and has frontage on both Beverly Drive and Eden Prairie Road. He noted a neighbor who submitted a letter about the project requested his letter be included in the Council packet. John Anderson, Project Manager, gave a PowerPoint presentation about the project. He said they plan to develop 17 single family lots on the property, which currently has one larger property to the west with a single family home and an outbuilding and a second, smaller property with a single family home. There will be two outlots, one CITY COUNCIL MINUTES April 2, 2019 Page 4 on the northwest corner and one on the east,both of which will be used for stormwater ponding. They were able to save quite a few trees on the property and will replace over 100 trees on the site. There will be a tree buffer between the cul- de-sac and the lots on Eden Prairie Road. There will be a sidewalk between Lots 3 and 4 that connects to Prospect Road. Aho commented there were some concerns in the past about costs of development on this site because of the variance in heights. He asked what they will have to do in terms of moving dirt. Mr. Anderson explained the previous layout showed a through road stubbing to the north rather than having a cul-de-sac, and the previous configuration would have required a substantial grade change. He noted having the cul-de-sac has kept the original views and the tree buffer along Eden Prairie Road. Aho thought this design is a great solution that will save money and trees as well as providing a good design. Narayanan asked if the homes along Eden Prairie Road will increase the traffic on that road. Mr. Anderson noted there will be two additional driveway access points on Eden Prairie Road. Narayanan commented it was a good idea to keep the trees because of the specific design. He asked if they are incorporating any energy efficiencies in the project. Mr. Anderson replied there will be a lot of specific options for the single family home buyers to select if they want. The sidewalk to the northwest enhances walkability in the neighborhood. Narayanan asked if neighbors have expressed any concerns about the project. Mr. Anderson responded they had a neighborhood meeting a few weeks ago, and questions were raised about traffic as were questions about access from the cul-de- sac. He said the streets are designed to handle extra traffic. Narayanan asked if there is any concern about closing the stub for Prospect Road. Mr. Anderson replied they have no plans to connect the cul-de-sac to Prospect Road. Ellis said they have looked at options for an east-west connection that staff feels we need, and he has some exhibits to show the Council. Case suggested he wait to show those until after the public hearing has been held. Nelson commented there are a lot of two story homes in Eden Prairie but not enough of them have a first floor master suite. She asked if they are going to ensure a lot of the two-story homes in the project have a first floor master suite. Mr. Anderson replied there is customization of the homes by individuals, and they have seen more buyers looking at that option. Nelson thought there are designs that would allow for a first floor bedroom that could be used as a master bedroom at some point. We have a real problem with homes that don't have first floor master bedrooms, and we need to add such homes to our housing stock so we get the kind of homes people can live in at all stages of life. Nelson asked if they will have water-sensor sprinklers. Mr. Anderson replied they will. Nelson asked if they are encouraging an option for solar energy. Mr. Anderson CITY COUNCIL MINUTES April 2, 2019 Page 5 said they have not had discussions with buyers about that. Nelson thought it made sense to have the ability to add solar, especially in this income category. Freiberg reviewed the landscaping plan and asked if the two 54-foot heritage trees to be removed are in such a place as to have no other options. Mr. Anderson replied those trees are on Lots 15 and 16 and could not be saved. He noted they changed the grade in order to save one other tree. Freiberg asked what size trees will be used to replace the 108 inches of trees. Mr. Anderson replied they will have 3 to 4-inch diameter trees that will be about eight feet tall. Nelson asked if the driveways for the two lots onto Eden Prairie Road will be such that cars can back up in the driveway and exit head first onto that road. She thought it is fairly important for those lots to have a turn-around area because of the access onto Eden Prairie Road. Mr. Anderson said they will talk to the engineer and look into how that could be done. There were no comments from the audience. MOTION: Aho moved, seconded by Nelson, to close the public hearing. Motion carried 5-0. Case noted several Council Members have complimented the project. He was pleased that the NURP ponds will be under City control because that has been an issue in the past. He thought the proponent has done a really good job of saving the trees, and it is good to hear some of the things the City Council has been concerned about over the decades come back around. He thought the sidewalk connection was great. Case commented it is really great when we, as individual Council Members, speak our thoughts. That is somewhat different from when we all agree on a direction to give staff. We need to look for consensus on specific directions we give about a development. Pricing is sometimes expressed as a concern; however, he believed it is up to the market to drive that. We have had projects that didn't work at a particular price range, and those projects have been reconfigured and brought back through the process. It is not up to the City Council to decide what the market will sustain. He said he will try to be clear in those cases where we give direction to staff about a development and will invite the Council Members to express their consensus about a particular direction to staff. Nelson said she would want to direct staff to look at Lots 15 and 16 and include in the design the opportunity for cars to turn around for exit onto Eden Prairie Road. That is important. The other Council Members agreed. Aho commented this looks like a nice project. They have done a great job of crafting the site in terms of keeping trees, keeping the soils on site, and managing the elevations, all of which makes the project work. CITY COUNCIL MINUTES April 2, 2019 Page 6 Case commented there may be a safety issue with the road system in that large a neighborhood with only one road in and out. We need to look at a road system that provides another way out other than Beverly Drive. He would like to know what the alternatives are for another way out for the neighborhood. Ellis said there will be a lot of traffic on Beverly Drive, and there are three options to add another east/west connection. He showed a slide with the three options: Cirrus Way, currently a quasi-road on the MAC property that has steep grades; Prospect Road, which has serious topography challenges; or Cirrus Way coming off Sky Lane and curving down to Eden Prairie Road, which has a more similar elevation. He noted the option chosen will depend on future development in the area. This development does not prohibit another east/west road. Case asked Mr. Ellis to discuss the areas that would be affected by the additional road. Ellis replied there is possible development along Cirrus Way to the north of this project. The MAC protection zone, where there can be no development, is on the north as well. Nelson asked if the MAC potentially would allow us to put in a road. Ellis replied he would assume that;however, there are better alternatives because of the safety issue. The MAC was assigned an assessment for future potential development at the hearing for the Eden Prairie Road assessments. Aho said the last Joint Advisory Zoning Board (JAZB) meeting will be held on April 10, and the group could discuss the possibilities for the road at that meeting. MOTION: Aho moved, seconded by Freiberg, to approve first reading of the ordinance for Zoning District change from Rural to R1-9.5 on 6.86 acres, to adopt Resolution 2019-47 for a preliminary plat of two lots into seventeen lots and two outlots on 6.86 acres, and to direct staff to prepare a development agreement incorporating staff and commission recommendations and Council conditions. Case noted the condition about the driveway turn-around or some means of making a safe entry onto Eden Prairie Road should be included as part of the motion. VOTE ON THE MOTION: Motion carried 5-0. B. MODIFY THE REDEVELOPMENT PLAN FOR REDEVELOPMENT PROJECT AREA NO. 5, ESTABLISH TAX INCREMENT FINANCING DISTRICT 23,AND ADOPT A TAX INCREMENT PLAN (Resolution No. 2019- 48) Getschow said this item will be acted upon by both the City Council and the HRA and is part of the multifamily, multigenerational development on Eden Prairie Road. Tax Increment Financing (TIF) District 23 is being created to support the Trail Pointe Ridge development, a 58-unit mixed-income apartment complex to be built, owned, CITY COUNCIL MINUTES April 2, 2019 Page 7 and operated by non-profit CommonBond Communities as part of the larger Smith Village project. Diana Dyste,representing CommonBond, gave a PowerPoint presentation about her organization, a non-profit that promotes the development of affordable housing. CommonBond has a program for professional management and advantage services, and also offers third party management. CommonBond owns, operates and manages about 440 properties throughout a three-state area. Their advantage services program supports the stability and independence of residents. Ms Dyste said CommonBond is one component of Smith Village off Eden Prairie Road, alongside the 100-unit Senior cooperative development and the six custom town homes that make up the remainder of Smith Village. The site itself offers indoor recreational opportunities as well as outdoor amenities. Trail Pointe Ridge will be a four-story, 58-unit development with on-site services and on-site management. There will be 1, 2, and 3 bedroom units and 13 supportive housing units. She reviewed the rents and income limits for the development, and noted there will be six units set aside for individuals with disabilities. CommonBond is working with staff and attorneys to put together a development agreement. They anticipate construction to start this summer with completion in 2020. Nelson asked if the request is just for the Trail Pointe Ridge portion of the development. Getschow replied that was correct. Nelson then asked to hear the details of the TIF financing. Rebecca Kurtz, representing Ehlers, Inc., said the proposal is for a housing TIF district with a maximum of 26 years. The TIF consists of one parcel on Glory Lane with a maximum budget of$2,700,000. They anticipate that would be the amount of the TIF with inflation over time; however, they expect that total to be about$696,000, and that will be detailed in the development agreement. They are estimating roughly $60,000 in annual increments, and the City could use up to 20% of that for other affordable housing uses. There were no comments from the audience. MOTION: Nelson moved, seconded by Narayanan, to close the public hearing. Motion carried 5-0. MOTION: Nelson moved, seconded by Freiberg, to adopt Resolution No. 2019-48 requesting a modification to the Redevelopment Plan for Redevelopment Project Area No. 5, establishing Tax Increment Financing District No. 23: Trail Pointe Ridge therein, and adopting a Tax Increment Financing Plan therefor. Motion carried 5-0. X. PAYMENT OF CLAIMS MOTION: Nelson moved, seconded by Narayanan, to approve the payment of claims as CITY COUNCIL MINUTES April 2, 2019 Page 8 submitted. Motion was approved on a roll call vote, with Aho, Freiberg, Narayanan, Nelson, and Case 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 C. REPORT OF COMMUNITY DEVELOPMENT DIRECTOR D. REPORT OF PARKS AND RECREATION DIRECTOR 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: Narayanan moved, seconded by Freiberg, to adjourn the meeting. Motion carried 5-0. Mayor Case adjourned the meeting at 8:04 p.m.