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HomeMy WebLinkAbout2024-06-04 City Council Meeting MinutesMINUTES OF THE REGULAR MEETING OF THE EDINA CITY COUNCIL JUNE 4, 2024 7:00 P.M. I. CALL TO ORDER Mayor Hovland called the meeting to order at 7:04 p.m. then shared the procedure for public hearing and community comment. II. ROLLCALL Answering rollcall were Members Agnew, Jackson, Pierce, Risser, and Hovland. Absent: None. III. PLEDGE OF ALLEGIANCE IV. MEETING AGENDA APPROVED AS PRESENTED Member Jackson made a motion, seconded by Member Pierce, to approve the meeting agenda as published. Rollcall: Ayes: Agnew, Jackson, Pierce, Risser, Hovland Motion carried. V. COMMUNITY COMMENT Ralph Zickert, 4311 Cornelius Circle, spoke about the City Manager's performance review conducted earlier, the outlined objectives for 2024, and how the agenda had changed. He noted the Council listened to the conversation during the work session and in January and March, four specific performance objectives were addressed and to be included. However, he noted the prep memo did not include the objectives nor was there a discussion of individual goals. Mr. Zickert said he found that fact disturbing and encouraged the Council to listen to the work session audio. Ryan Green, 4904 East Sunnyslope Road, asked the Council to do more regarding pedestrian walkways along 50th Street, between Wooddale Park and Highway 100, as he had concerns for the safety of his children. He noted Director of Engineer Millner had been very responsive to his concerns but spoke about the current utility construction equipment and barrels in the area, and requested alternative rights-of-way be identified for future projects. V.A. CITY MANAGER'S RESPONSE TO COMMUNITY COMMENTS City Manager Neal responded to Community Comments from current and past meetings. VI. CONSENT AGENDA ADOPTED AS AMENDED Member Jackson made a motion, seconded by Member Pierce, approving the consent agenda as amended removing Item VI.C., Resolution 2024-37; Providing for the Sale of Up To $32,730,000 General Obligation Bonds, as follows: VI.A. Approve Minutes of the Work Session and Regular Meeting of May 21, 2024 VI.B. Approve Claims for Payment for Check Register Pre-List Dated May 17, 2024, totaling $1,277,865.37 and Check Register Claims Pre-List Dated May 24, 2024, totaling $2,168,431.72 0--G-ene en, Bends VI.D. Approve Special Project Request Public Engagement Plan for Edina Girls Fastpitch Association Page 1 Minutes/Edina City Council/June 4. 2024 VI.E. Approve Special Project Request Public Engagement Plan for Edina Baseball Association VI.F. Waive Permit Fees for Braemar Park Courtney Baseball Fields Sports Netting VI.G. Request for Purchase; Braemar Park Design and Engineering Services, awarding the bid to the recommended low bidder, SEH, $150,565 VI.H. Request for Purchase; Strachauer Park Playground Equipment, awarding the bid to the recommended low bidder, Minnesota Playground Inc., $200,000 VI.I. Request for Purchase; ENG 24-6NB Vegetated Stormwater Management Asset Maintenance, awarding the bid to the recommended low bidder, Davey Resource Group, $55,320 VI.J. Request for Purchase; 2024 Watermain Pipe Condition Assessment, awarding the bid to the recommended low bidder, SEH, $103,550 VI.K. Accept Traffic Safety Report of April 30, 2024 VI.L. Approve Out-of-State Travel for Mayor Hovland Rollcall: Ayes: Agnew, Jackson, Pierce, Risser, Hovland Motion carried. ITEMS REMOVED FROM THE CONSENT AGENDA VI.C. RESOLUTION 2024-37; PROVIDING FOR THE SALE OF UP TO $32,730,000 GENERAL OBLIGATION BONDS — ADOPTED The Council asked for clarity on the $5.4 million directed to the Eden Willson redevelopment project, the associated interest accrued, and whether interest rates factored into the overall project calculation. Nick Anhut, Ehlers and Associates, explained when the Eden Willson TIF district was approved, there were a number of public improvements to enhance the roadways and walkways outside Maison Green. He said the $5.4 million would be backed by revenues derived from the TIF fund to pay for the roadway traffic safety enhancements and would include $2 million for Eden/Grange roundabouts. He said the project and work were underway and these bonds would provide a permanent source of funding. He shared that the bond payback included an associated interest rate and said the Council established a budget for the TIF fund which included an allocation made and forecasts for interest, noting they anticipated bonds would accrue 4%-5% interest. The Council referred to earlier comments about safe pedestrian pathways, how this project included other public realm areas, and how the process leveraged TIF funds that included expansion of the project and addressed these issues. Member Risser introduced and moved adoption of Resolution No. 2024-37, Authorizing Issuance and Sale of Up to $32,730,000 General Obligation Bonds. Seconded by Member Jackson. Rollcall: Ayes: Agnew, Jackson, Pierce, Risser, Hovland Motion carried. VII. SPECIAL RECOGNITIONS AND PRESENTATIONS VII.A. METRO TRANSIT E-LINE BUS RAPID TRANSIT UPDATE — RECEIVED Adam Smith, Manager of Metro Transit BRT Projects, said Metro Transit was investing $60 million to improve bus service between Southdale Center, 50th and France, Uptown, Downtown, and the University of Minnesota. Dubbed the "E-Line Bus Rapid Transit", the new stations would be constructed in 2024 and 2025 and operational in late 2025. Construction of most of the stations that served Edina was scheduled to begin in June 2024 with completion in fall 2024, with the construction of the remaining stations to begin in late spring 2025 with completion in fall 2025. He presented an overview of the project, what was being constructed in Edina, construction detours, phasing, timelines, business access during construction, and communications during construction. Page 2 Minutes/Edina City Council/June 4. 2024 District 8 Metropolitan Council Member Cameron said she was very pleased to work with the E-Line team on this project and proud to bring more transportation to Edina. The Council asked questions and provided feedback that included how pleased they were with the level of commitment throughout this process while not disturbing businesses as much as possible. The Council thanked everyone for the process and asked how residents could learn more about the timelines, detours, and other information. The Council spoke about reasons for expanding the BRT lines and levels of ridership that have increased post-pandemic. Mr. Smith encouraged the public to sign up for weekly newsletters to provide the community with the most information and then referenced their construction webpage. He said they have learned about the shift from the 9-5 to all-day trips serving a wide array of users and the need for a frequent, reliable schedule and service span that was very high. VIII. PUBLIC HEARINGS Affidavits of Notice presented and ordered placed on file. VIII.A. RESOLUTION NO. 2024-40, PRELIMINARY REZONING, OVERALL DEVELOPMENT PLAN, SITE PLAN AND SUBDIVISION FOR 7235 FRANCE AVENUE — CONTINUED TO JUNE 18, 2024 Community Development Director Teague said Enclave Companies were proposing to redevelop the Macy's Furniture store site at 7235 France Avenue. The proposal was to tear down the existing structure and build two mixed-use buildings and one apartment building. The applicant proposes to include affordable housing units to meet the City's affordable housing policy. He reviewed in detail the changes made from the sketch plan phase and said the applicant intended to meet the City's Sustainable Buildings Policy and that 45% of the project would be dedicated to the public realm and include areas on all sides of all four buildings. The Council asked questions regarding the traffic study impacts and the potential developments at 7200 France or US Bank site. Mr. Teague noted an EAW was conducted and surrounding projects considered for the future. The Council voiced concerns about the 3.57 acres in the public realm when calculating units per acre and not subtracting unbuildable land as well as with divisions being compliant and meeting standards that only included buildable areas. The Council requested impervious surface calculations before the next meeting then spoke about a memo from the Parks & Recreation Department and the wind tunnel. The Council suggested these could be address as a condition of approval. Patrick Brama, Enclave, shared background on the project that included feedback and guidance since 2022 that included expansion of the public realm across the entire site, east to west center of the public plaza redesigned to look and feel like an extension of the Centennial Promenade, and include intense pedestrian level interaction. He referred to the Centennial Promenade engagement, green walls, convertible parking, art, internal pedestrian crossings and enhancements, parallel parking programming and pavement color, clarity regarding bike access, ADA access to the future France Avenue pedestrian crossing, and architectural adjustments to southeast corner of southeast building. He shared further about the public space, how light would penetrate the corridor similar to a brownstone walkup feel, and outlined elements of their design. Lukas Van Sistine, ESG Architecture and Design, shared a 3D model that highlighted project massing, proposed materials, and architectural elements of the project. Terry Minarik, Confluence, spoke about the public spaces and focus on pedestrians and not vehicles. He said they included strong buffers for future connections to France Avenue and noted they were the first to follow the Area Guidelines. He added density would feel heavy but it was because it focused on landscape and pedestrians, terracing, and other elements. Page 3 Minutes/Edina City Council/lune 4, 2024 The Council asked questions regarding the sense of how the space would be during concerts, for example, the pedestrian experience, and how the first 60 feet did not have a building hanging overhead through a podium-style height; however, the other side was not the same. The Council asked questions or shared concerns about pedestrian experience of the space during concerts, ADA access locations and the need to be accessible at the grand entrance, the lack of a boulevard, how the backs of buildings faced toward the promenade, and the disappointing look along France Avenue. The Council spoke about the potential for affordable units and the need for a children's playground, a dog park location not near the promenade, the sidewalk on France Avenue with pedestrian access and not meandering, concerns about the curve of the sidewalk, lack of buffer for noise, and how this should be a direct road. The Council inquired about potential wiring for EV connections and then asked questions about patio seating being separate yet integrated, and amenities shared with the rental units. The Council spoke about alternatives and diversity of housing, if more communal/shared housing options such as joint kitchens with bunkrooms were explored, paid parking options to help address resident parking and parking management, a community draw/venue, and visual/big idea to provide a generational opportunity. The Council asked if the affordable units would be scattered throughout the buildings and if seven stories over three buildings were based on return on investment (ROI). The Council spoke about the potential financing status, noting it was difficult to hear this would require TIF as the project is right next to Centennial Lakes which was a prime area of real estate and capped, and that all additional expenses were not covered and should not be shouldered by property taxes. The Council suggested avoiding TIF requests, if possible. Christopher Willette, ESG Architecture and Design, confirmed they would be providing a conduit to allow for future EV charging. Mr. Brama explained the affordable units at 50% AMI would be spread across all unit types then shared the timeline for closing January 2025 with August 2025 construction. He spoke about equity partners they were working with, proformas work as presented, the demand for owner-occupied products, remaining space, and their belief that this project was right-sized. Mayor Hovland opened the public hearing at 9: I I p.m. Public Testimony Lori Grotz, 5513 Park Place, addressed the Council. Judy Buckley, 806 Coventry Place, addressed the Council. Judith Lamble, 3 13 Coventry Lane, addressed the Council. Peter Bell, 800 Coventry Place, addressed the Council. Martha Greiner, 309 Coventry Lane, addressed the Council. Michelle Langefels, 802 Coventry Place, addressed the Council. Jean Kosar, 7200 York Avenue South, #226, addressed the Council. Steve Brown, 5528 Halifax Lane, addressed the Council. Traffic Consultant Mallori Fitzpatrick responded to questions raised during public testimony regarding traffic on Gallagher, the existing AM and PM weekday traffic, how access would be pretty low with 50 cars AM and 200 cars PM, and how most drivers would use the access out of the site. The Council asked questions regarding the height of The Bower, Maison Green, and 71 France buildings to compare and the proposed setback amounts. The Council spoke about light impact concerns raised during public testimony, plantings that relied on direct sunlight, and suggested planting changes on the promenade, correcting the inoperable water feature, and whether the financing was fiscally sustainable. Page 4 Minutes/Edina City Council/June 4. 2024 Member Pierce made a motion, seconded by Member Jackson, to close the in-person public hearing, keep public comment open until Sunday, June 9, and continue action to consider approval of a preliminary rezoning, overall development plan, preliminary site plan, variances, and subdivision for 7235 France Avenue, to the June 18, 2024, City Council meeting. Rollcall: Ayes: Agnew, Jackson, Pierce, Risser, Hovland Motion carried. IX REPORTS/RECOMMENDATIONS IX.A. RESOLUTION NO. 2024-42; ACCEPTING DONATIONS - ADOPTED Member Jackson introduced and moved adoption of Resolution No. 2024-42, accepting donations. Seconded by Member Agnew. Rollcall: Ayes: Agnew, Jackson, Pierce, Risser, and Hovland Motion carried. MB. RESOLUTION NO. 2024-41 EXTENSION OF THE FINAL SITE PLAN APPROVAL FOR LOTS ►-3, BLOCK 1 AMN ADDITION (FOR 7001 FRANCE, 3601 AND 3625 70TH STREET) - ADOPTED Community Development Director Teague said the applicant had been unable to secure financing for the construction of the approved re-development project at 7001 France, 3601 and 3625 70th Street, and was requesting a one-year extension of the approved final site plans. The existing building had been removed from the site and the property subdivided. The Council asked questions regarding whether investments were believed to occur if the design was the same and their confidence factor that the project would be shovel-ready in a year. The Council asked which projects the developers believed would move forward first, the office building or the high-end apartment complex. Ted Carlson, Orion Development, shared they were on good traction for the project but the financing market and rise in mortgage rates shut down commercial development so they were requesting an extension. He firmly believed in the project and program and said the financing market was showing better but needed transactions in the commercial market to begin movement. He said they were seeing interest in office occupiers, could accommodate smaller users, felt there was thoughtful effort put into this design, and believed the demand was there, just not the financing at the moment. Dan Lessor, Mortenson Development, shared how they worked across the country, and they were seeing signs of improvement with both financing and vertically. He felt fairly to very confident that the market was returning. Mr. Carlson noted Mortenson made a $12 million investment in the land which speaks to their staying power and that the market was better than 12-18 months ago. They felt the 7250 France site would be vertical yet this year as they were seeing the demand for high-quality office space increase daily. Member Jackson introduced and moved adoption of Resolution 2024-41, Extension of the Final Site Plan Approval for Lots 1-3, Block I, AMN Addition (for 7001 France, 3601 and 3625 70th Street) for one year. Seconded by Member Pierce. Rollcall: Ayes: Agnew, Jackson, Pierce, Hovland Nays: Risser Motion carried. IX.C. ORDINANCE NO. 2024-04 AMENDMENT REGARDING TREE PROTECTION — ADOPTED AS AMENDED Page 5 Minutes/Edina City Council/June 4, 2024 Mr. Neal shared the goals from the work session were to consider the proposed amendments for adoption as soon as possible and noted not all amendments were included based on a lack of full consensus on some elements. He suggested the Council consider adopting the amendment but not adding new content at this time as it would require additional notices and that could be considered at a later time. Mr. Teague said that based on the feedback from the City Council at the May 21, 2024, City Council work session, City staff drafted an ordinance amendment to address some of the issues that were identified. This ordinance amendment was intended to be the first step in addressing all the issues raised. The next steps that would take more time to develop would include examination of potential modification of the escrow calculation; review of unique lot circumstances such as steep slope, wetlands, poor soils, and utility easements; criteria for deviation or review process; and, to consider further ordinance amendments including specific commercial regulations per the EEC work plan. The Council thanked staff for the quick turnaround then asked questions regarding the maximum cash escrow of $50,000 and suggested this could be stricken because the two properties driving this amount were on unbuilt lots and would see relief from this ordinance update. The Council wanted to allow for more analysis for the right escrow amount and suggested a percentage basis be considered such as 5% of the future home price. The Council said immediate issues would be addressed with the unbuilt lot language included and agreed it would be wise to strike the text and take time to review further. The Council asked questions regarding new plantings and locations determined by the City and said they liked using the funds to decide where to add new tree canopies. The Council asked who would be responsible to see if trees survived. City Forester Overholt noted all required trees currently must be planted at the building permit address and the intent of the amendment would allow for trees to be planted on neighboring properties. He said survival would be at the City's discretion and funds could be used to promote residential tree sales and other overall projects. The Council inquired about language for R-1 and R-2 zoning districts, how the ordinance did not apply to commercial or other zoning districts, and suggested that be stricken. Mr. Teague explained other districts were the next step on the EEC's work plan to create a commercial tree preservation ordinance and that they wanted an opportunity to present their amendments to the Council. The Council spoke about the process for public hearings not needed for Chapter 10 amendments and if someone did not want to plant trees, any of these changes do not change the fee paid. The Council discussed the financial impacts on large wooded lots that would not be covered by the change with the amendment and whether to keep a cap. Parks and Recreation Director Vetter spoke about the proposed language that included a $50,000 cap and the relief an undeveloped lot would have. He said staff was not sure what the amount would be until permit applications were submitted and how the 10-foot and 5-foot radius would be applied. The Council shared concerns about creating a perverse incentive that resulted in more trees being removed and clear-cut for the same cost. Mr. Vetter shared the concept of a progressive escrow calculations cap based on the cumulative inches of removed trees that would have a progressive rate for planting as well as value and the benefits that could be realized that included an incentive to plant. The Council liked the designation of protected trees and heritage trees and the disincentive for clear-cutting and suggested changing the period from 12 months to 36 months for the survival rate of trees or a full growing cycle that balanced the health of the tree and complexity of the transaction. Mr. Teague suggested the timeline be associated with the two-year letter of credit. Page 6 Minutes/Edina City Council/June 4. 2024 Motion carried. X. COMMISSION CORRESPONDENCE (MINUTES AND ADVISORY COMMUNICATION) — Received X.A. MINUTES: TRANSPORTATION COMMISSION, APRIL 18, 2024 XI. MANAGER'S COMMENTS — Received XI.A. PREP MEMO JUNE 4, 2024 XII. MAYOR AND COUNCIL COMMENTS — Received XIII. ADJOURNMENT Member Jackson made a motion, seconded by Member Agnew, to adjourn the meeting at 11:14 p.m. Rollcall: Ayes: Agnew, Jackson, Pierce, Risser, Hovland Motion carried. Respectfully submitted, Minutes approved by Edina City Council, June 18, 2024. Video Copy of the June 4, 2024, meeting available. Page 8 Minutes/Edina City Council/June 4, 2024 The Council asked questions regarding replacement timing, results when trees die and cost to replace, and the maintenance of trees even if on an offsite location. The Council shared how this could be perceived as government control over private property. The Council supported unbuilt lots but felt lengthening the period for a homeowner for trees was not right, as they were different than commercial development. Discussion was held on business incentives to clear-cut a lot because many times, it was a developer planting trees and not a homeowner. The Council discussed how they had to capture the costs being lost that the City had been absorbing. The Council said they respected the EEC's work and suggested tabling the item or removing the $50,000 cap for future consideration and their feedback, and to allow the EEC to generate policies on the remaining. The Council suggested possibly only allowing trees to be removed that were on the building pad. Mr. Vetter said the EEC understood unbuilt lots were not a discussion point and were in support of finding a remedy for the unbuilt lot situation. The Council spoke about Paragraph 14 and the range of notices for building permits not included in the draft and suggested they be included because it was the character of the neighborhood. The Council suggested replacement trees be planted within the notification area, if not on the lot itself. Mr. Neal suggested instead adopting a policy or rule to provide better flexibility. The Council stressed the need to tie to residential and to hear from the EEC soon on the other zoning district. Mr. Vetter clarified if there was interest in the progressive cap, he would provide more information for the next discussion. The Council said it could be uncoverable with a fixed cap when some properties being sold were worth millions of dollars and should not be a fixed cap long term. The Council spoke about the importance of protecting trees through a policy that everyone could support and was not punitive. The Council felt this would address the issue for the two property owners now but agreed that more work was needed on the progressive or a percentage of cap. Member Agnew moved to approve Ordinance No. 2024-04, amending the tree protection ordinance, with an amendment in Paragraph 14 to state "City Staff controls when and...' Member Jackson motioned to amend the main motion to strike the last sentence in Paragraph 15A, to eliminate the cap. Seconded by Member Agnew. Rollcall: Ayes: Agnew, Jackson, Risser Nays: Pierce and Hovland Amended motion carried. Main motion seconded by Member Jackson. Rollcall: Ayes: Agnew, Jackson, Risser, Hovland Nays: Pierce Main motion carried as amended. Member Jackson moved to waive Second Reading adopting Ordinance No. 2024-04, Amendment Regarding Tree Protection, as amended in Paragraphs 14 and ISA. Seconded by Member Agnew. Rollcall: Ayes: Agnew, Jackson, Risser, Hovland Nays: Pierce Page 7