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06-12-00 agendaCITY OF RICHFIELD, MINNESOTA MONDAY, JUNE 12, 2000 • RICHFIELD CITY HALL 6700 PORTLAND AVENUE SPECIAL CITY COUNCIL STUDY SESSION COUNCIL CHAMBERS 6:00 P.M. Call to Order Roll Call 1. 6:00-6:30 p.m. Presentation of 1999 Comprehensive Annual Financial Report Staff Report No. 11 II. 6:30-6:35 p.m. Update and timeline for potential cable television franchises in Richfield Staff Report No. 12 • Ill. 6:35-6:55 p.m. Annual meeting with Human Rights Commission Adjournment REGULAR CITY COUNCIL MEETING COUNCIL CHAMBERS 7:00 P.M. AGENDA INTRODUCTORY PROCEEDINGS Call to Order Pledge of Allegiance Roll Call Approval of Minutes of (1) Regular City Council Meeting of May 22, 2000 and (2) Special City Council Meeting of May 30, 2000 0 PRESENTATIONS 1. Presentation of certificates of appreciation to Miss Richfield Ambassadors Individuals who wish to address the Council are requested to print their name and address on the Speaker's Register for the record. • 2. Opportunity for citizens to address the Council on items not on the agenda 3. Council approval of agenda AGENDA APPROVAL CONSENT CALENDAR 4. Consent Calendar contains several separate items which are acted upon by the City Council in one motion. Once the Consent Calendar has been approved, the individual items and recommended actions have also been approved. No further Council action is necessary. However, any Council Member may request that an item be removed from the Consent Calendar and placed on the regular agenda for Council discussion and action. All items listed on the Consent Calendar are. recommended for approval. A. Consideration of approval of resolution authorizing reduction in performance bond required of Time Warner for system upgrade of cable television system in Richfield S.R. No. 139 B. Consideration of approval of official publication of notice of intent to franchise cable is television system S.R. No. 140 C. Consideration of approval of two resolutions establishing just compensation and authorizing purchase of 1700 East 66th Street and 1708 East 66th Street for 66th Street/TH 77 Interchange Project S.R. No. 141 D. Consideration of approval of resolution authorizing execution of agreements entitled Traffic Study Reimbursement Agreement and Golden Triangle Reimbursement Agreement, both by and between City of Eden Prairie and 1-494 Corridor Commission S.R. No. 142 E. Consideration of approval of resolution adding City of Minneapolis to membership of Southwest Fire League Mutual Aid Association S.R. No. 143 Notes: PUBLIC HEARING 5. Public hearing and second reading of ordinance adopting 1-494/Penn Official Map as official map indicating road design accuracy and additional right of way identified for future reconstruction of 1-494 • Staff Report No. 144 Notes: PROPOSED ORDINANCES • 6. Consideration of first reading of ordinance amendment rezoning 1100 East 66th Street from general commercial to medium density multi-family residential Staff Report No. 145 Notes: 7. Consideration of first reading of ordinance amendment in Section 1200.03 increasing number of on-sale intoxicating liquor licenses available in City of Richfield from seven to twelve Staff Report No. 146 Notes: ADMINISTRATIVE REPORTS AND OTHER BUSINESS • 8. Consideration of petition requesting City Council reconsider its previous position of building 20-foot high wall on west side of 1-35W from 73rd Street to 68th Street Staff Report No. 147 Notes: 9. Consideration of acceptance of Comprehensive Annual Financial Report for City for year ended December 31, 1999 Staff Report No. 148 Notes: 10. Construction update on 66th Street entrance ramp to southbound Highway 77 0 Notes: 11. Summary report on 2000 Legislative Initiatives and Policies • Staff Report No. 149 Notes: AIRPORT BUSINESS 12. Airport status report Notes: CORRESPONDENCE COUNCIL CHOICE 13. Council discussion items 14. Claims and payrolls • 15. Adjournment Auxiliary aids for individuals with disabilities are available upon request. Requests must be made at least 96 hours in advance to the Administrative Services Director at 612-861-9702. 0 Admin. Reports & AGENDA SECTION: Other Business AGENDA ITEM # 11 REPORT4 149 =099A STAFF REPORT CITY COUNCIL MEETING JUNE 12, 2000 REPORT PREPARED BY: SAMANTHA ORDUNO, CITY MANAGER NAME, TITLE REPORT PRESENTER: SAMANTHA ORDUNO, CITY MANAGER NAME, TITLE DEPARTMENT DIRECTOR REVIEW: F1 SIGNATURE REVIEWED BY CITY MANAGER: l ITEM FOR COUNCIL CONSIDERATION: Summary report on 2000 legislative actions. I. RECOMMENDED ACTION: By Motion: No action required, report for information only. II. BACKGROUND On January 24, 2000, the City Council adopted the City's 2000 Legislative Initiatives and Polices, outlining the City's legislative agenda for the first legislative session of the millennium. The City's position on several key issues mirrored the positions and efforts of the League of Minnesota Cities and the Association of Metropolitan Municipalities and focused on such issues as affordable housing initiatives, transit and transportation issues as well as government finance and tax issues. The purpose of a set of initiatives and policies was to focus the City's resources and . attention on those issues that would most benefit cities in general and Richfield in particular. 2000 LEGISLATIVE ACTION SUMMARY Perhaps the most important legislative initiative was the airport mitigation legislation that was introduced in the House by Representative Dan Larson and in the Senate by Senator Dave Johnson and supported by Senator Jane Ranum and Representative Mark Gleason. The legislation followed the recommendations of the Governor's Task Force that advocated for the use of dedicated sales tax revenue from a 1996 airport sales tax revenue base. The legislation also incorporated the Governor's Task Force recommendation for possible use of special Tax Increment Financing Districts, exempt from fiscal disparities and blight requirements, for all airport-impacted cities. Unfortunately, Richfield's bill did not become law. But, the City was provided with a $5 million grant from the State's General Fund to be used exclusively for housing unit acquisition and site preparation for redevelopment. While the Legislature narrowly defined a two-block area - only two blocks in from TH 77 from Crosstown to 77th Street - the funds represent the beginning of a long-awaited effort to mitigate for the impacts of the new North-South Runway. One of the critical issues that will need to be addressed by the Council is the specific area to be mitigated first with the $5 million grant. Staff is currently preparing data and recommendations for Council consideration at the June 26 meeting. Many of the initiatives and polices contained within the City's program received no action this year, primarily because this legislative session was not an appropriation • year. In an attempt to be concise, staff has prepared a summary of only the legislative initiatives and policies that received action this session. The summary of actions is attached. III. ALTERNATIVE RECOMMENDATION(S) Do not discuss the legislative summary at this time. IV. ATTACHMENTS • Summary of 2000 Legislative Initiatives and Policies. V. PRINCIPAL PARTIES EXPECTED AT MEETING • None. 0 2000 LEGISLATIVE ACTION • ON CITY OF RICHFIELD'S LEGISLATIVE INITIATIVES AND POLICIES 1.A. - LEVY LIMITS Levy limits were not re-enacted. For budget year 2001, the City will not be under levy limits, the first time in 5 years. 11. - HACA AND LGA Inflationary adjustment was preserved, adding $14,000,000 for the 2001 LGA distribution. The increase for Richfield will be $80,000. 2A. - RESOURCES FOR AIRPORT MITIGATION. TIF provisions and all other allocations of funds, consistent with Governor's Task Force Recommendations were not passed. Instead, a grant of $5 million was authorized from the General Fund to be used only for acquisition of housing units and site preparation for development. City's Plan for Redevelopment to be submitted to the Tax Chairs of both Legislative Houses no later than December 15, 2000. Money to be used only in the first two blocks west of Cedar Avenue from Crosstown to 77th Street. In areas where there are structures on the east side of Cedar, the two-block area will encompass only Cedar and both sides of 18th Avenue. In areas where there is no development east of Cedar Avenue, the two-block area will cover both sides of 18th and 17th Avenues. 2.N. - JOB AND WAGE GOALS - ADMINISTRATOR OF BUSINESS SUBSIDY, Business Subsidy Law was clarified and modified as follows: Creates new exemptions for- - Business loans and loan guarantees of $75,000 or less (effective May 16, 2000 and retroactive to January 1, 2000); and - Federal loan funds provided through the U.S. Department of Commerce, Economic Development Administration. • Clarifies that increasing the tax base is a legitimate public purpose. • Substitutes the word "specific" for the word "imminent" with regard to job loss. • Specifies that criteria may not be adopted on a case-by-base basis, must set specific minimum requirements that recipients must meet in order to be eligible to receive business subsidies, and must include a specific wage floor in the form of a dollar amount or a formula that will generate a dollar amount. Any local agency that has criteria in place by May 1, 2000 will have until May 1, 2003 to update their criteria. Grantors may deviate from their criteria by documenting the reasons in writing and attaching the document to the next annual DTED report. • Provides that goals for the subsidy included in grantor and recipient subsidy agreements must be "measurable, specific, and tangible. • Modifies the required five-year commitment to continue operations from "at the site" to "in the jurisdiction" where the subsidy is used, and provides that recipients may be authorized to move from the jurisdictions within the five-year period if a recipient's request to move is approved by the grantor after a public hearing. • Clarifies that business subsidy grants must be structured as forgivable loans. • Clarifies that wage and job goals may be set at zero if it is determined after a public hearing that the creation or retention of jobs is not a goal. • Clarifies that a copy of the terms of the subsidy, rather than the subsidy agreement itself, will be available to the public. • Provides that a single public hearing may be held if more than one non-state grantor provides a subsidy to the same recipient. • Clarifies that reports by grantors must include a list of recipients that did not report and a list of recipients that have not met their wage and job goals within two years, and the steps taken to bring them into compliance. 2.P. - REDEVELOPMENT ACCOUNT The Legislature provided $6 million to this account which is administered by DTED. The Legislature did not modify the requirements as the City had promoted. 3.A - MHFA RENTAL LOAN PROGRAMS $30 million provided for Affordable Rental Investment Fund over the next two years, beginning July 1, 2000. Requires state agencies to establish cooperative relationships with local service agencies and other service and governmental entities. MHFA is required to develop strategies to move people into homeownership or non-subsidized housing. They must report to the Legislature no later than January 15, 2003. 4.A. - HOUSING $20 million provided to Habitat for Humanity for revolving loan program. Also, Bruce Vento 2000 Affordable Housing Program created and a transfer of $50 million in TANF (Temporary Assistance for Needy Families) funds made for affordable housing programs - up to $15 million may be made available before July 1, 2000. 2 $3 million in additional funds have been appropriated for housing initiatives over the next two years. MHFA will develop process for funding cycle and application requirements. 4D. - BLIGHTED PROPERTIES PROGRAM. MHFA was authorized to make loans or grants to for-profit organizations. 6.G. - MOTOR VEHICLE REGISTRATION FEES Chapter 490 includes the Governor's recommended reductions in automobile license tab fees. Maximum registration tax on passenger automobiles is reduced to $189 in the 2nd year after the initial registration and down to $99 in the 3rd-10th years. To offset revenue reduction in the Highway User Tax Distribution Fund, the bill appropriates $149.8M in FY 2001 and $161.7M in FY2002 from the State's General Fund. In the third year, the bill statutorily dedicates 32% of revenue from motor vehicle sales tax to the Highway User Tax Distribution Fund. 6.1. - TRANSPORTATION FUNDING. Chapter 479, the Omnibus Transportation Finance Bill, appropriates more than $495M from the State's General Fund and the Trunk Highway Fund for transportation and transit purposes and appropriates $100M from the bond proceeds account in the Trunk Highway Fund for additional capital projects. $405M has been made available in one- time funding from the State's budget surplus to jump-start several languishing MnDOT projects including $177M to eliminate bottlenecks on Twin Cities area freeways. Chapter 479 also establishes the Major Projects Commission to identify and make recommendations for future projects that have a total cost of more than $5M and which meet certain other criteria. The commission will be comprised of the Governor, four citizen members, seven senators and seven representatives. The Governor's request for an additional $44M for mass transit was included in the Omnibus Bonding Bill. The $44M will go to the Met Council for the construction of an exclusive bus transitway. This money cannot be used for light rail transit. (This appropriation was part of the Governor's $175M portion of the budget surplus). 9.D. - EMPLOYEE BENEFITS Chapter 461, Article 5 of the omnibus pension legislation, establishes a task force to study post-retirement and active public employees' health care. The task force will identify strategies for providing post-retirement and active employee health care Is coverage for public employees and make recommendations regarding the most appropriate and efficient manner for providing coverage. The LMC will appoint one member to the task force. 9.K. - TELECOMMUNICATIONS A bill that would have modified the regulation of telecommunications and cable service providers in Minnesota was did not become law. 9.L. - BLEACHER SAFETY LEGISLATION Chapter 417 exempts bleachers 55 inches or less and exempts retractable bleachers with open spaces 9 inches or less from the bleacher safety standards passed by the 1999 Legislature. However, the retractable bleachers that have been exempted must have a safety management plan in place and adopt an amortization schedule for those bleachers to plan for their future replacement. Bleacher guardrails must comply with the standards for all parts of the guardrail 30 inches above grade or the floor. The filing date for the certificate of compliance extended to January 1, 2002. A bill creating a bleacher safety sales tax exemption for bleacher safety-related purchases was unsuccessful. 11.A. - WINE SALES • Under Chapter 440, liquor stores are permitted to offer wine-tasting events under certain time frame restrictions and within other parameters. TIF LEGISLATIVE ACTIONS GENERAL Economic development district duration modification (repeals 11-year from TIF plan approval duration and provides for an eight-year from receipt of first increment duration, clarifies that waiver of increments does not affect duration limits, and allows a three-year payback time period for violations occurring before June 1, 2000). • Elimination of the adjustment to original net tax capacity for economic development districts provision, which was originally intended to prevent the capturing of inflationary-type growth. • Authorization for taxpayers to bring private lawsuits for damages for TIF violations involving the collection of increment (clarifies a previous cross-referencing mistake and applies prospectively). • Elimination of ability to approve TIF plans without but-for findings by failure to act for 60 days after the TIF authority submitted the plan. 4 • Notification, including the TIF plan (rather than economic and fiscal impacts information), will be required to be sent to the county auditor and school district clerk (rather than directly to the boards). • County waiver of the 30-day period may be made only by the boards submitting written comments, rather than by the staff, and is also authorized for individual country commissioners with respect to housing and redevelopment districts. • Extension of the time period, from 30 to 45 days, for counties to submit proposed road improvements for inclusion in TIF plans and clarification that if road improvements are not scheduled for construction within five years under the county capital improvements plan or any other formally adopted county plan, the county may require the TIF authority to pay for the costs of those improvements. • Administrative expenses definition clarification, which provides that amounts spent on principal payments on bonds, physical development, and relocation benefits paid for location outside the district but within the project area do not qualify as administrative expenses. Effective retroactively for all districts. • Expansion of the redevelopment district definition to include properties containing unused or underused tank facilities. • Authorization for districts subject to the post-1990 pooling limitations to use an additional 10 percent for low-income rental housing (generally, for families with incomes below 60 percent of the area median income) outside of the district. Effective for increments spent after July 1, 2000. • Expansion of qualified housing district definition to include single-family home ownership projects in which at least 95 percent of the home buyers have income at or below 70 percent of the area median gross income or the statewide median gross income, whichever is greater. TIF -HOUSING • Housing district definition clarification, which defines "housing project" to clarify and specify which developments must meet the requirements for spending housing increments on low- and moderate-income housing. Effective retroactively to the original effective date of the requirements. • Housing district income limitation violations will be subject to the law governing all other TIF provisions and enforcement responsibility will be transferred from the Department of Revenue to the state auditor. Effective for violations occurring after July 1, 2000. 0 • Extension of the sunset of the authority to establish housing improvement districts without special legislation from June 30, 2001 to June 30, 2005 and extension of the authority to operate housing improvement areas to housing and redevelopment authorities and economic development authorities. ADDITIONAL IMPORTANT LEGISLATION, DATA PRACTICES The 2000 Omnibus Data Practices Bill (Chapter 468) contained three notable provisions affecting municipalities. First, a discretionary civil penalty of $300 may now be imposed against a governmental entity found to be in violation of the act. In addition, the State Department of Administration now has the authority to receive and resolve complaints against governmental units for alleged data practices violations. Finally, unless specifically authorized, cities may not require persons seeking public data to identify themselves or inquire as to the reason for seeking such information. is 0 6 Admin. Reports & AGENDA SECTION: Other Business AGENDA ITEM # 9 REPORT # 148 STAFF REPORT =09do CITY COUNCIL MEETING nomamm JUNE 12, 2000 REPORT PREPARED BY: CHRIS REGIS, FINANCE MANAGER NAME, TITLE r REPORT PRESENTER: CHRIS REGIS, FINANCE MANAGER DEPARTMENT DIRECTOR REVIEW: REVIEWED BY CITY MANAGER: 2? C ? \ NAME, TiTL \ Sic UI?E ITEM FOR COUNCIL CONSIDERATION: Presentation of the City of Richfield Comprehensive Annual Financial Report (CAFR) for the fiscal year ended December 31, 1999. I. RECOMMENDED ACTION: By Motion: Accept the Comprehensive Annual Financial Report of the City for the year ended December 31, 1999. II. BACKGROUND The City's auditing firm of HLB Tautges Redpath, Ltd completed the audit of the City's fiscal year ended December 31, 1999 in April 2000. The CAFR will be submitted to the State of Minnesota as required and to the Government Finance Officers Association for compliance review. • The action to be taken at the June 12, 2000 City Council meeting is the official receipt of the CAFR by the City Council. The City's auditor's HLB Tautges Redpath, Ltd have made an in-depth presentation of the 1999 financial information at the City Council Study Session preceding this meeting. 0612CAFR III. BASIS OF RECOMMENDATION 0 ? A. POLICY • The City's auditor has performed an audit of the City's financial records for the year ended December 31, 1999 and prepared reports to the City Council concerning legal compliance and internal controls. B. CRITICAL ISSUES • N/A C. FINANCIAL • N/A D. LEGAL • Action on this item is requested at the June 12, 2000 City Council meeting. The CAFR will be submitted to the State of Minnesota, pursuant to State law. IV. ALTERNATIVE RECOMMENDATION(S) • The City Council could ask the auditors for further explanations of their findings. V. ATTACHMENTS • None. VI. PRINCIPAL PARTIES EXPECTED AT MEETING • Rob Tautges and Tom Hodnefield of HLB Tautges Redpath, Ltd. 0 JUNE 12, 2000 REPORT PREPARED BY: THOMAS FOLEY, TRANSPORTATION ENGINEER Nanmi, T/7L REPORT PRESENTER: MIKE EASTLING, PUBLIC WORKS DIRECTOR Nana, TITTL DEPARTMENT DIRECTOR REVIEW: E ,'' i? rt y Slc?ATU7/ REVIEWED BY CITY MANAGER: ITEM FOR COUNCIL CONSIDERATION: Petition requesting that the City Council reconsider its previous position of building a 20-foot high wall on the west side of 1-35W from 73rd Street to 68th Street. RECOMMENDED ACTION: By Motion: Accept the petition requesting the Council direct the Minnesota Department of Transportation (MnDOT) to leave the proposed noise wall at the 17-foot height as shown in current MnDOT construction plans. II. BACKGROUND A petition was received from twenty-eight residents living on Lakeshore Drive, Humboldt Avenue and Irving Avenue asking that the Council reconsider its position requiring MnDOT to build a 20-foot high noise wall on the west side of 1-35W between 73rd Street and 68th Street. The petition was prepared in response to the attached May 23, 2000 letter sent by the Minnesota Department of Transportation to residents affected by the new noise wall being constructed along the west side of 1-35W. The letter explained that MnDOT made a • mistake in the height of the noise walls. On October 27, 1997 the City Council had directed MnDOT to install a 20-foot high wall but the current plans show wall heights ranging from 15.5 feet to 19.5 feet. Three letters in support of the petition are attached. 0612-35Wnoisewall Other residents who wanted the 20-foot high wall have also contacted City and MnDOT staff insisting that MnDOT correct its mistake. • MnDOT staff has explained that to leave the walls at the reduced height requires a resolution from the City Council. The Commissioners of MnDOT and the Minnesota Pollution Control Agency would also have to concur in leaving the noise wall at a reduced height. MnDOT staff estimated a delay of two to three months to order new posts and additional wood panels to build the higher wall. The existing posts can be used on another MnDOT project but that project will be bid soon. MnDOT would like to know by Tuesday, June 13 if the City Council wants to reconsider its original decision. If Council chooses not to reconsider this issue, MnDOT staff also indicated that one minor modification could be made to shift a 3-foot step in the wall further to the south. This could be done in consultation with four or five residents who live in the 7100 block of Lake Shore Drive. III. BASIS OF RECOMMENDATION A. POLICY • The Council, in October 1997, determined that the noise wall on the west side of 1-35W should be 20-feet high to meet Federal noise • standards. Residents at that time were presented several options for the height of the noise wall ranging from no noise wall to a wall 20-feet high. • The Commissioners of both the Minnesota Department of Transportation and the Minnesota Pollution Control also must agree to the reduced height of the noise wall, if Council chooses to request a reduced height for the noise wall. • Restoring the wall to its 20-foot height will take two to three months as new posts are manufactured and additional wood panels are ordered. Also, noise modeling performed by MnDOT showed that noise levels dropped only 1-2 decibels for homes located within 100 to 200 feet of the proposed noise wall when the noise wall height was raised from 15 feet to 20 feet. A change in noise levels of less than 3 decibels generally is not perceptible to the human ear. B. CRITICAL ISSUES The issue is the balance of aesthetics; i.e., the size of the noise wall versus the noise reduction produced by the height of a noise wall. C. FINANCIAL • There is no financial impact on the City of Richfield for a decision on the noise wall. There is a cost of $110,000 to $130,000 to the Minnesota Department of Transportation to purchase taller posts and additional wood panels; however, the shorter posts can be reused elsewhere. • D. LEGAL • The City attorney will be present at the Council meeting and will be available for counsel. IV. ALTERNATIVE RECOMMENDATION(S) • Council could choose not to act on the petition. This will have the effect of directing MnDOT to correct its error and order posts of sufficient height to produce a noise wall of 20 feet high. V. ATTACHMENTS • Petition on 1-35W Noise Wall • May 23, 2000 letter sent by the Minnesota Department of Transportation to residents affected by the new noise wall being constructed along the west side of 1-35W • Three letters from residents on 1-35W noise wall VI. PRINCIPAL PARTIES EXPECTED AT MEETING • Residents from the west side of 1-35W in the area of 68th Street to 73rd Street. • 0 • June 5, 2000 Mr. Tom Foley Transportation Engineer City of Richfield 6700 Portland Ave S Richfield; MIST 55423 Re: I-35W West Side Noise Wall 68`h to 73rd Construction Dear Mr. Foley, Fax (612) 861-9796 Find enclosed several signatures from members of the community that are directly effected by the May 23, 2000 letter from Len Sandstrom. I found it very interesting thi .t of the 20+ houses that this letter was presented to, only three would not sign!!!! This type of response should require our local government to continue with the current construction as requested in the enclosed June 1, 2000 letter, or at a minimum research the opportunity to SAVE TAX PAYERS from unnecessary additional spending. As a member of this community, I strongly encourage the City of Richfield and MN D :)T to do their part in this request. I can be reached today- at (507) 333-5200 ext 716. Sincerely, Gregg Goeedde cc: Len Sandstrom MNDOT 9 June 1, 2000 Mr. Tom Foley Transportation Engineer City of Richfield 6700 Portland Ave S Richfield, MN 55423 cc: Len Sandstrom MNDOT Re: I-35W West Side Noise Wall 68ei to 73r8 Construction Dear Mr. Foley Fax(612)861-9796 In response to the May 23, 2000 letter from MNDOT regarding the noise wall, we request that the City of Richfield NOT change the current construction project. We are in favor of the current construction closer to 17 feet rather than the 20 foot change. We f xl this would provide a solution that our community could live with, while: 1) Saving taxpayers from unnecessary additional spending. 2) Still providing satisfactory noise reduction. 3) Not being as intrusive to the aesthetics of the neighborhood. Since timing is critical, please obtain a favorable response to continue with the current wall construction closer to 17 feet, or notify each of us, in writing by Tuesday, June 6, 2000 regarding what needs to occur to obtain a favorable response. Sincerely, mature Address ) ?dlQ ? 3 ) 7 0?0 ? r s Lfc l a2c DJL s 2v ?? - Additional signature page attached 9 r • 3une 1, 2000 Re: I-35W West Side Noise Wall 68`h to 73?d Construction (cont) ' rA .. , 6,Q 17-- 4ww?.b " 1 ?4 Pv! fs Lr,. ?O BOO IIUH,6 CLO r go. ji , v U '7 1 70 s.- J • e June 1, 2000 Mr. Tom Foley Transportation Engineer City of Richfield 6700 Portland Ave S Richfield, MN 55423 cc: Len Sandstrom MNDOT Re: I-35W West Side Noise Wall 68th to 73rd Construction Dear Mr. Foley Fax (612) 861-9796 In response to the May 23, 2000 letter from MNDOT regarding the noise wall, we request that the City of Richfield NOT change the current construction project. We are in favor of the current construction closer to 17 feet rather than the 20 foot change. We f ;el this would provide a solution that our community could live with, while: 1) Saving taxpayers from unnecessary additional spending. 2) Still providing satisfactory noise reduction. 3) Not being as intrusive to the aesthetics of the neighborhood. 0 Since timing is critical, please obtain a favorable response to continue with the curren, wall construction closer to 17 feet, or notify each of us, in writing by Tuesday, Tune 6, 2000 regarding what needs to occur to obtain a favorable response. Sincerely, Signature Address ?-IAVNS AJAE? - - r D 1 Additional signature page attached 1044 -7 03-4 4a? n? 'J la L.kLS&-VZr- 0 • June 1, 2000 Re: I-35W West Side Noise Wall 68"'to 73' Construction (cont) 7,0 zu LA d 704 Lme:?har- 1 ? 1 ? 1 ? 1 ? - 0 • Minnesota Department of Transportation 4 Metropolitan Division "" Waters Edge 1500 West County Road B2 Roseville, MN 55113 May 23, 2000 Re: I-35W West Side Noise Wall 68 h to 73'a Construction Dear Richfield Resident: Telephone Number (651) 634-2087 Fax Number (651) 634-2085 F., It has been discovered that the noise wall currently being constructed along the west side of I-35W between 68"' and 73`d Streets is shorter than it was suppose to be. Several residents pointed out this error. This letter is to let you know that work on the noise wall has stopped and corrective actions are being taken to address this problem. During the planning process for the reconstruction of I-35W in 1997 the topic of noise walls being constructed along I-35W in the Wood Lake area was addressed. This topic was a very emotional and tense issue for those involved in the discussion and the City requested Mn/DOT to construct a noise wall on both sides of I-35W in this area and Mn/DOT agreed to this. The wall along the west side of I-35W along Humboldt and Lake Shore Drive was to be 20 feet high. 0 The average height of the noise wall currently being constructed is closer to 17 feet. I am not sure how this error occurred but it is an error and Mn/DOT has agreed to correct it. Construction of the noise wall has stopped. Longer concrete posts are being ordered and the wall will be built with an average height of 20 feet. The reordering of materials will delay the completion of the noise wall. I do no know at this point how long a period that will be. The "height" of a noise wall is measured from the elevation of 35W and not the ground line at the base of the wall. With this measuring system the height of the wall near the 73'a Street pedestrian bridge is about 19 feet high. The top elevation of the wall near the pedestrian bridge will continue north to about the mid point of the seventy one hundred block of Lake Shore Boulevard. In this area the wall will reach a height of about 22.5 feet. At this point the wall will step down about 3 feet to a height of 19.5 feet. This top elevation of the wall will be held for the rest of the new walls construction which ends at the existing wall near 73`d Street. Some of the residents that called the City were concerned that the "stepped down wall concept" was being constructed. This is not the case. The "stepped down wall concept" that was discussed in 1997, envisioned 20 feet walls on the north and south ends that would be stepped down to a 10 foot height in the middle portion. This alternative was considered, but ultimately rejected, to reduce the amount of view that was being blocked of Wood Lake from some of the homes along Lake Shore Drive. I apologize for this unfortunate error and the delay that correcting the error will cause in completing the noise wall. If you have any questions concerning this issue I can be reached at (651) 634-2087. • Sincerely, Aem,- 4 cc: Tom Foley -City of Richfield' Len Sandstrom, P.E. I-35W Corrid r Man er An equal opportgnity employer 0 May 30,2000 Mr. Tom Foley, Engineer City of Richfield Dear Mr. Foley: We are writing this letter to document the concerns we have regarding the Noise Wall in front of our home on Lake Shore Drive. We live at 7120 Lake Shore Drive. The letter from Mr. Sandstrom last week has been very disturbing. It states that there have been objections to the height of the wall as it was begun on the West Side north of 72nd Street recently. We cannot believe that any resident who will be overlooking the wall would object to the height as begun - the several residents referred to probably are the same ones two and three blocks away who originally pressured the Council to build a high wall. There are only three blocks of us with Lake Shore Dr. address directly facing the freeway with no trees or bushes by the fence. We have rejecred the wait twice ibetcare, but at that time only the affected residents were polled by written vote versus last year's acre-sx?eett??g uakce uate. nc1,.14. ng res.izients two and three blocks away even, across the freaway. We believe there should be a barrier for safety purposes and at the last meeting indicated that a 12ft wall would be acceptable which was one of the options presented to us. The letter from Mr. Sandstrom states that the wall will be 22-1/2 ft directly in front of the homes who objected the most vs a lower level at either end. Homes on the 68th block and 72nd block already have barriers of bushes and trees so that a higher fence would not be a problem to them. I don't understand the paragraph in Sandstrom's letter speaking to the stepped down'wall concept which would have allowed 10 ft height in the middle area where we are and then he says it was rejected "to reduce the amount of view that was being blocked of Wood Lake from some of the homes along Lake Shore Drive." What does this mean as I would he lPvg .lf WgUkU ZEW Jto XUlr gie.w. WF -are rnrrsP( WV ahke rr see Came SV the landscape over the wall on the Wood Lake side. You may think we are nuts, but the gorse does not dislturb us - the ,- rs no accsle.ration or braking along here. Our guests have ahsays commented on the minimal worse &-vei ra our home - must be Mr. Sandstrom told me by phone that MnDot couldn't make any changes in the height of the fence until Richfield dictates a change. The cost of work stoppage and reordering must be immense. Please consider our plea. We have enjoyed living here for 30 years and for 11 years on Colfax Ave. In this age of affluence we would believe that the younger families would be moving to bigger homes in the suburbs as their income rises. We like the diversity and conveniences that Richfield provides. Thank you for your attention and any positive response. Sincerely, J? - Arnold and Dorothy Peterson L ZL 7120 Lake Shore Dr. S.? Richfield, Mn. 55423 `f- :.V,2, May 26, 2000 Mr. Len Sandstrom, P.E. I-35W Corridor Minnesota Department of Transportation Metropolitan Division Waters Edge 1500 West County Road B2 Roseville, MN 55113 Dear Mr. Sandstrom, This is in regards to your letter, concerning the sound barrier will being constructed along the west side of 35W south of the 66t°St. exit- I live on Lake Shore Dc. S. on the 7000 block. It might be fair to say that my house (and mt±y immediate neighbors) is the people most dramatically impacted by the new sound barrier. We will certainly receive the greatest benefit as it relates to sound reduction, but are also the people most impacted by the walls sheer presence in terms of aesthetics and view. As this topic was discussed and debated over the years, one of the points I tried to promote was, that if a sound will must be built, lets receive an effective barrier. One that provides sound reduction in line with Federal Standards, but also, one that is not so over intrusive and overbearing in its sheer size to the point of being oppressive. The decision to construct a 20T barrier was, in my opinion, made with a complete disregard for facts, as they relate to the size needed for an effective barrier. The data presented on sound reduction points out that no discernabte difference occurs between a wall of appro,amately 12' and one built to 20' for anvone past the first row of homes. Once a barrier is built to 29 and the residents living on streets west of our home, begin to say "We can still hear the Freeway", it will be difficult not to reply that the greatest volume reduction occurs for the first row of homes. Weren't you paying attention at those meetings? The sad part being we get to view a huge wall knowing that an effective barrier could have been built that was much less intrusive. As I watched the east wall being constructed last year, and the beginning of the west wall this year, it appeared that MNDOT took a more enlightened approach and attempted to build an effective barrier that would provide adequate sound reduction and maintain some aesthetics in the process. It's a shame that anyone can halt a project and have it incur dramatic cost increases based on the erroneous belief that they will not receive more sound reduction if a 20' uarricr is not maintained. Some of the most vocal proponents of a 20' barrier have already moved and left the neighborhood, leaving their indelible stamp forever. to This newly concerned neighbor fighting for an ineffective solution could very possibly leave our neighborhood when a 20' barrier still does not provide silence and now are able to hear the jets from the airport because the freeway noise has been reduced. If it is at all possible, PLEASE continue with the project as it was being built. It provided a solution that all could live with, maintaining effective sound mitigation together with balance for the aesthetics of the neighborhood. Please do not incur the additional expense correcting something that really ryes not need fixing. Mark Fiedler 7034 Lake Shore Dr. $. Richfield, MN 55423 612866.3070 • • 4? June 2, 2000 Mr. Mayor, In regards to the construction snafu along Lake Shore Dr. S., by Interstate 1-35W, I am becoming directly involved in Richfield's course of action in the following ways: I am asking City of Richfield notify the MNDOT Project Manager, for the sound wall project with the request to irnmPda rely proceed with the prr ject, as it has currently be= designed and purchased. After conversations with City of Richfield employees and the MNDOT, I believe that a direct request from our City to resume the project is the most expedient method for this project to get back on track. I heard some talk about this topic coming up at an upcoming Council meeting. I would • hope that a sensible decision to exercise reason would prevent this issue from having to go that far. To help ensure that, I plan to vigorously pursue all the legal recourse allowed by Minnesota Rule 7030.0080 Variance. In paraphrase it states: If, upon written application of the responsible person, the agency finds that by reason of exceptional circumstance strict conformity with any provisions of any noise rule would cause undue hardship, would be unreasonable, impractical, or not feasible under the circumstances, the agency may permit a variance upon the conditions and within the time limitations as it may prescribe for the prevention, control, or abatement of noise pollution in harmony with the intent of the state and any applicable, federal laws. This course of action, however successful, will provide access to several aspects of decision process used by our City. I will ensure the City of Richfield will explain in detail it's reasons to have the NINDOT build a sound abatement wall to a height of 20', contrary to the wishes of homeowners most immediately impacted by its prescnce. Additionally, the City will provide detailed reasons for that excessive height regardless of data that clearly demonstrates no additional sound abatement occurs. After this presentation, I would expect reuse of those same guidelines and criteria for decision as basis and reason to substantiate the Cities current efforts halting progress for this ongoing project Given the weight those arguments will contain, they must also provide strong evidence not only to their original credibility, but the City will also provide reasons why this project merits the major cost overrun estimated in the IWs of Thousands of Dollars,. Be prepared with most convincing evidence, I as a taxpayer, come up short with viable reasons. Be assured I will take a crash course in Civil Law and elevate this topic to a level of awareness not yet seen. I believe strongly that legal precedence will be wholly in favor of these efforts, brought by a fast growing number of concerned neighbors and citizens of our community, evidenced by their willingness to sign a petition encouraging the City to move on. T would U-c it"use &um your officc by end of day,,june 5, 2000 informing me if the City can request that this project be resumed immediately. Mark Fiedler 7034 Lake Shore Dr. S. Richfield, MN 55423 612.866.3070 is' • • • AGENDA SECTION: Prop. Ordinance AGENDA ITEM # 7 REPORT4 146 =09M REPORT PREPARED BY: REPORT PRESENTER: STAFF REPORT CITY COUNCIL MEETING JUNE 12, 2000 DEPARTMENT DIRECTOR REVIEW REVIEWED BY CITY MANAGER: NAME, 1TEE a SIGNATURE ITEM FOR COUNCIL CONSIDERATION: First reading of an ordinance amendment to Chapter 1200 that would increase the number of on-sale, intoxicating liquor licenses within the City of Richfield from seven to twelve. 1. RECOMMENDED ACTION: By Motion: Approve first reading of an ordinance change in Section 1200.03 that would increase the number of on-sale intoxicating liquor licenses available in the City of Richfield from seven to twelve, and schedule a public hearing and second reading for July 10, 2000. II. BACKGROUND The City of Richfield currently issues licenses for the following categories of alcohol: • Intoxicating Liquor • Wine • On-Sale 3.2 Malt Liquor • Off-Sale 3.2 Malt Liquor BETSY CHRISTENSEN, SUPPORT SERVICES DIVISION MANAGER NAME, T17LE DAN/CO ,DIRECTOR OF PUBLIC SAFETY 0508Liqu Intoxicatinq Liquor . City ordinance currently states that there can be a total of seven intoxicating liquor licenses issued to establishments. Five of the seven intoxicating liquor licenses are spoken for. There are also two club licenses for the VFW and the American Legion but because those establishments are not open to the general public, they are not considered to be on-sale intoxicating liquor licenses. They may sell on-sale intoxicating liquor but do so under a "club" license. State statute allows for a city of Richfield's class to issue up to 18 on-sale intoxicating liquor licenses. Wine City ordinance states that there can be a total of seven wine licenses issued to establishments. Currently, five of the seven wine licenses are spoken for. State Statute does not address the number of wine licenses a community may have. On-Sale/Off-Sale 3.2 Malt Liquor City ordinance states that there can be a total of 15 on-sale 3.2 malt liquor licenses issued to establishments. Currently, 12 of the 15 on-sale 3.2 malt liquor licenses are spoken for. State Statute does not address the number of on-sale 3.2 malt liquor licenses a community may have. Off-sale 3.2 malt liquor licenses are not restricted by number. Currently, there are a total of 11 establishments that sell off-sale 3.2 malt liquor. Public Safety staff has had several discussions with staff in the Community Development Department regarding future redevelopment projects in the City and how those projects will impact alcohol licensing needs in the future. Community Development staff has identified three major projects that in the very near future will support a total of six establishments that most likely will be requesting alcohol licenses. In most cases, it appears their requests will be for a full on-sale intoxicating liquor license; however, wine may also be requested. The development projects will involve two sites at Urban Village, two or three at Interchange West and one at the Candlewood site. III. BASIS OF RECOMMENDATION A. POLICY At a June 7, 1999, City Council Study Session, it was the consensus of the City Council that staff would be asked to provide further information regarding zoning, density, and location regulations related to liquor licenses and options regarding future availability of the number of liquor licenses in the City. The City's Planning Commission was forwarded the matter for their review. In a September 17, 1999, memorandum to the City Council, a summary of the Planning Commission's review of the issues was presented. The Planning Commission reviewed the issues at two study sessions and offered the following feedback: • The Zoning ordinance considers restaurants serving alcohol as conditional uses and limits their location to collector and arterial streets. Restaurants serving alcohol cannot be located in the C-1 (neighborhood commercial) district. • The existing licensing requirements provide many regulations to monitor and control the service of alcoholic beverages. • Some other cities have additional location requirements for restaurants that serve alcohol; e.g., they need to be located a certain distance from residential, schools and churches. The Planning Commission believes that there is no clear evidence that these distance requirements are necessary or would alleviate any alcohol- related problems in Richfield. • The Planning Commission considered some additional restrictions but decided that rather than to try to develop generic regulations to fit every situation, it is better to review each case individually and apply appropriate conditions to each situation when warranted. • It would be appropriate to increase the number of liquor licenses to accommodate the potential demand for licenses in redeveloped areas. Not having liquor licenses available could negatively impact the success of redevelopment projects. Based on its review, the Planning Commission does not recommend any changes to the existing ordinance relating to restaurants that serve alcohol. B. CRITICAL ISSUES • Increasing the number of on-sale intoxicating liquor licenses from seven to twelve would result in licenses being available prior to the completion of development projects which would mean that potential tenants would know licenses are available to apply for at the beginning of their negotiations with developers. • Increasing the number of on-sale intoxicating liquor licenses would also mean that staff would not have to return to Council several times to make a request for an increase in licenses and would seem to be a more efficient and proactive way of meeting future development needs and issues. C. FINANCIAL N/A D. LEGAL N/A • IV. ALTERNATIVE RECOMMENDATION(S) • The Council could decide to do nothing at this time which would mean that requests for on-sale intoxicating liquor licenses would be reviewed as they occur on a case by case basis. It would also mean that the total number of on-sale intoxicating liquor licenses might need to be increased several times based on the number of requests made for a license. • The Council could decide not to increase the total number of on-sale intoxicating liquor licenses beyond the current number. This would mean that new development projects in the City would not be able to obtain on-sale intoxicating liquor licenses for their establishments. V. ATTACHMENTS • City ordinance code 1200.03. • Study Session minutes from June 7, 1999. • Council Memorandum dated September 17, 1999. VI. PRINCIPAL PARTIES EXPECTED AT MEETING None expected. • 0 BILL NO. AMENDMENT TO SECTION XII OF THE ORDINANCE CODE OF THE CITY OF RICHFIELD BY AMENDING SECTION 1200 ENTITLED INTOXICATING LIQUOR THE CITY OF RICHFIELD DOES ORDAIN: Chapter XII of the ordinance code of the City of Richfield entitled "Intoxicating Liquor" is hereby amended: 1200.03. License: general rule. No person, except wholesalers or manufacturers authorized under state license, may directly or indirectly deal in, sell, or keep for sale any intoxicating liquor for sale without first having received a license to do so as provided in this subsection. Licenses shall be issued only to hotels and restaurants. No more than 6eV8R twelve licenses may be issued. Passed by the City Council of the City of Richfield, Minnesota this day of , 2000. • Martin J. Kirsch, Mayor ATTEST: Thomas P. Ferber, City Clerk 0 Study Session Minutes -6- June 7, 1999 • We recommend the HRA consider recording land inventories at the lower of cost or market within the appropriate HRA funds. • We recommend the City adopt a written policy on liquor inventory matters. • We recommend the City account for grants consistently, in accordance with GAAP. • Interfund loans are now recorded in the financial statements. • We recommend that the City continue to address Y2K issues. • We recommend the City consider general recommendations regarding fraud prevention and strategic pricing. Larry Wozniczka, 6744 Wentworth Avenue, questioned the TIF bond amortization schedule on pages 127-128 of the Comprehensive Annual Report, the "unaudited" label on the schedule of personnel expenditures on pages 131-132, and the costs of sub-contractor firms. Mr. Tautges stated that he would have to refer to the TIF plan to answer the amortization question. Acting City Manager Devich stated staff would prepare a response. • • Mr. Tautges stated the pages are labeled "unaudited" because it is supplemental statistical data and outside the scope of the audit. Item # IV City Attorney Thomson discussed and answered questions about state law requirements regarding the attorney-client privilege, Minnesota Open Meeting Law, the "Gift Law", and the Minnesota Government Data Practices Act. After Council discussion it was the consensus of the City Council that a written protocol explaining statutory requirements, procedures, ground rules, and expectations be provided by staff to the Council prior to the conduct of a Closed Executive Session dealing with the attorney client privilege or not public data. Item #V Health Administrator Christensen reviewed Study Session Letter No. 19 regarding discussion about increasing the total number of alcohol licenses available in the City of Richfield. Study Session Minutes -7- June 7, 1999 Discussion followed regarding the impact of different options in how many licenses are available. State Statute allows for a City the size of Richfield to issue up to 18 intoxicating liquor licenses. City ordinance currently allows for seven intoxicating liquor licenses. The Community Development Department staff has identified three major projects in the City that in the near future will support a total of six establishments that most likely will be requesting alcohol licenses. It was the consensus of the City Council that staff provide further information regarding zoning, density, and location regulations related to liquor licenses and options regarding future availability of the number of liquor licenses in the City. Item #VI Acting City Manager Devich reviewed Study Session No. 20 regarding the status of the following airport issues: Airport Legislative Initiatives • State Legislature created an Airport Impact Zone and will receive $30 million of general obligation bonds from the MAC to spend on land use conversion within the zone pending FAA approval. • The State Legislature also created a Governor's airport community stabilization funding task force to which the City must appoint a representative. Low Frequency Noise Policy Committee (LFNPC) • The expert panel is working on the draft plan and the next meeting will be held on June 23 at 3 p.m. at the main terminal. MASAC • The last meeting was May 25 and focused on corridor use. CARE Team • The status of the CARE Team and its relationship with the City will be decided at the June 10 CARE Team meeting. Item #Vll Acting City Manager Devich reviewed Study Session Letter No. 21 regarding the new pension law which provides for the merger of consolidated police and fire account into PERA and makes the City eligible to receive its residual fund assets. He stated that he would notify PERA that the City has no objection to merging its local consolidated relief accounts with the PERA Police and Fire Fund. CITY OF RICHFIELD, MINNESOTA Office of City Manager September 17, 1999 Council Memorandum No. 128 The Honorable Mayor and Members of the City Council Subject: Review of Liquor License Issues by Planning Commission Council Members: In June, the City Council considered the question of whether or not to amend the City Code and increase the number of liquor licenses to the maximum number allowed by State Statute. The Council asked the Planning Commission to review the land use and zoning issues relating to facilities that serve alcohol and provide information back to the Council. The Planning Commission reviewed the issues at two study sessions and offers the following feedback: • The Zoning Ordinance considers restaurants serving alcohol as conditional uses and limits their location to collector and arterial streets. Restaurants serving alcohol cannot be located in the C-1 (neighborhood commercial) district. • The existing licensing requirements provide many regulations to monitor and control the service of alcoholic beverages. • Some other cities have additional locational requirements for restaurants that serve alcohol (e.g. they need to be located a certain distance from residential, schools and churches). The Commission believed that there is no clear evidence that these distance requirements are necessary or would alleviate any alcohol-related problems in Richfield. • The Commission considered some additional restrictions but decided that, rather than try and develop generic regulations to fit every situation, it is better to review each case individually and apply appropriate conditions to each situation when warranted. • It would be appropriate to increase the number of liquor licenses to accommodate the potential demand for licenses in redeveloped areas. Not having liquor licenses available could negatively impact the success of redevelopment projects. Based on its review, the Planning Commission does not recommend any changes to the existing ordinance relating to restaurants that serve alcohol. Respectfully submitted, Steven L. Devich Acting City Manager SLD:ds Copy: Planning Commission AGENDA SECTION: Prop. Ordinance AGENDA ITEM # 6 REPORT# 145 STAFF REPORT CITY COUNCIL MEETING JUNE 12, 2000 • REPORT PREPARED BY: JULIE URBAN, ZONING ADMINISTRATOR NAA41?, P11, REPORT PRESENTER: BRUCE PALMBORG, COMMUNITY DEVELOPMENT DIRECTOR NAMIi, T1Y1,1, DEPARTMENT DIRECTOR REVIEW REVIEWED BY CITY MANAGER: SII (;NA7'UIUi ITEM FOR COUNCIL CONSIDERATION: First reading of an ordinance amendment rezoning property at 1100 East 66th Street from C-2 (general commercial) to MR-2 (medium density multi-family residential). RECOMMENDED ACTION: By Motion: Conduct first reading of an ordinance amendment rezoning 1100 East 66th Street from C-2 (general commercial) to MR-2 (medium density multi-family residential). • II. BACKGROUND State law requires that cities' Zoning Ordinances be made consistent with their Comprehensive Plans. In 1998, the Planning Commission reviewed the City's zoning classifications and identified those parcels with zoning that is inconsistent with the Comprehensive Plan. Of those parcels, the Commission determined that one category of parcels, that in which the land use is consistent with the Comprehensive Plan but the zoning is not, should be rezoned. One group of these properties was rezoned by the City Council in December, 1999. A second group was reviewed by the Planning Commission on February 22, 2000 and by the City Council on April 10, 2000. The City Council referred two properties from the second group, 6612 15th Avenue and 1100 East 66th Street, back to the Planning Commission for review. On May 30, 2000 the Planning Commission held separate 0612rezoning public hearings on the rezoning of both properties. The rezoning of 6612 15th Avenue is scheduled for City Council consideration on June 26, 2000. • These two properties are the last Comprehensive Plan-related rezonings to be considered at this time. The City Council requested additional information from Planning Commission and City Council records regarding 1100 East 66th Street. Minutes and staff reports from 1998, when the property was developed as a day care facility, are included as attachments. III. BASIS OF RECOMMENDATION A. POLICY • The property at 1100 East 66th Street is zoned C-2 (general commercial). It is currently used as a day care facility. The Comprehensive Plan designates the property as single family residential, either low or high density. The proposed zoning is MR-2 (medium density residential). • The Planning Commission reviewed the Zoning Ordinance two years ago after the day care facility was approved and developed an ordinance amendment that would treat day cares, schools and churches similarly in all residential districts. The amendment was • approved by the City Council in 1998. A licensed day care facility is a conditional use in the MR-2 and the C-2 zoning districts. B. CRITICAL ISSUES • The day care facility is consistent with the residential classification in the Comprehensive Plan; however, the commercial zoning could allow a future commercial use that would be inconsistent with the Comprehensive Plan. • A discrepancy in the Planning Commission minutes from March 24, 1998 was raised at the Planning Commission hearing. Staff has reviewed the record and believes there was a clerical error. The Planning Commission will review staffs assessment at their June meeting. Their determination will be available for a second reading. • Testimony regarding traffic caused by the day care was raised two years ago and again at the Planning Commission hearing. The Planning Commission did not find traffic to be relevant to the rezoning issue. A report on traffic before and after construction of the day care facility will, however, be available for second reading. C. FINANCIAL • The property owner has constructed a commercial-quality building and believes the change in zoning classification would have a negative impact on the future reuse of the property. The current use is a conditional use in the C-2 district and would be a conditional use in the MR-2 district, so the current use would continue to be a legally conforming use. D. LEGAL • The Planning Commission reviewed the rezoning of this property again on May 30, 2000. The Commission voted 6-1 in favor of rezoning the property to MR-2. • A City Council public hearing would be scheduled on Monday, July 10, 2000. IV. ALTERNATIVE RECOMMENDATION(S) Decide not to rezone the property at first reading. V. ATTACHMENTS • Ordinance Amendment • Attachment A: Map of land uses around the property • Attachment B: Map of zoning classifications around the property • Attachment C: Map of Comprehensive Plan classifications around the property • Attachment D: Minutes from Planning Commission hearing, 3/24/98 • Attachment E: City Council Minutes, 4/13/00 • Attachment F: Planning Commission staff report, 3/24/98 • Attachment G: City Council staff report, 4/13/98 • Attachment H: Zoning Ordinance, Section 521.65 (MR-2 provisions relating to licensed day care facilities) • Attachment I: Zoning Ordinance, Section 526.27 (C-2 provisions relating to licensed day care facilities) VI. PRINCIPAL PARTIES EXPECTED AT MEETING • None is BILL NO. i AMENDMENT TO APPENDIX 1 OF THE ORDINANCE CODE OF THE CITY OF RICHFIELD THE CITY OF RICHFIELD DOES ORDAIN: Appendix 1 of the zoning ordinance code of the City of Richfield entitled "Richfield Zoning Code: Boundaries of Zoning Districts" is hereby amended: A. Section 3, Paragraph (46) is amended to read as follows: (46) M-3 That area between the west pine of 1 ith venue a line distant 160 feet easterly from the west line of 11 th Avenue and parallel thereto and the center line of 13th Avenue, and between the center line of 66th Street and a line distant 250 feet northerly thereof and parallel thereto; except Lot 17 Eliason Second Addition. B. Section 12, Paragraph (39) is added to read as follows: (39) M-3 Lot 9. Block 2. Eliaison Fourth Addition. 0 C. This amendment constitutes a rezoning of 1100 East 66th Street from C- 2 to MR-2. Passed by the City Council of the City of Richfield, Minnesota this day of , 2000. Martin J. Kirsch, Mayor ATTEST: Thomas P. Ferber, City Clerk 0 • Q 0 O a- Land Uses Near 1100 E 66th Street Attachment A d L 63rd St. 66th St. E 800 0 800 1600 Feet carcmwrtr oG,empmenc s ?. -_? _. i:lgixkommunM1y development'usCa(t4rvdAjWiG4GZaning landuse Q V N U Commercial Apartment Duplex Residential Quasi-Public School Church Vacant Park May 2, 2000 Zoning Classifications Near 1100 E 66th Street Attachment B Ul > Q > -- ?lTrl? [L?LT1 / Veterans Memorial Park i-? - - - Q v U IIU1100 E 66th Street / -- mi"al WA 66th St. I Industrial ,AC-2 General Commercial x---? R Single Family Residential MR-1 Two Family Residential wEF ; MR-2 Multi Res - Med. Density s 800 0 800 1600 Feet PC-2 Planned Gen. Comm'l. +91- nay ae?ioP m?mm renniweo-e:?,m9:oB "- ------ May 3, 2000 Comp Plan Classifications Near 1100 E 66th Street Q > a -- ?L L11 l 11 -? - - -- - t 4-'`::t Q „ v U 63rd St. _ L - _ -- t/ 1100 E 66th St. -- F - r ,g _vvD =V- -- -- -- - - -- __ - -ij ?_' -- j C_ E 900 0 Community De p- 1'\gislcomrtunhy tlevelopmenY.stafifrefiAjWieYezoning mrtp plan - - - -- - 900 1800 Feet Attachment C 66th St. Community Comm'L. Neigh. comm'I. Reg'I. Comm'IJOffice Com. Comm'I./Office Office Single Family Res. S. F. Res.-High Dens. Multi Res.-High Dens. Public Park Church School Quasi Pub. - Utility May 3, 2000 ATTACHMENT D March 24, 1998 Page 4 . Community Development Manager John Melin reviewed the staff report, stating that the Housing and Redevelopment Authority approved the purchase of a portion of the Soo Line property located to the east of 300 West 78th Street in December, 1997. He further stated that staff and the HRA propose to combine and re-split the two parcels to develop a 134-unit hotel on the southern half and a restaurant on the northern half. Mr. Melin added that the proposed uses would be consistent with the Comprehensive Plan. Responding to a question from Commissioner Gepner, Mr. Melin stated that the railroad would be left with 50' of right of way (25' off of center) and that the proposal is for the purchase of a strip of land 66' wide. M/Bjorklund, S/Meter to adont the resolution findinLy that the nronosed acauisition and disposition of the Soo Line property is in conformance with the Comnrehensive Plan. Motion carried: 8-0 98-CUP-3, 1100 East 66th Street ITEM #4 Bernadette Mallawaaratchy, Bernie's Montessori School Conditional use permit to allow construction of a day care facility for up to 90 children • Community Development Manager John Melin reviewed the staff report, stating that the applicant is proposing to construct a 4,160 square foot building to house a day care for up to 90 children. He noted that this was the continuation of a public hearing that had begun during the regular Planning Commission meeting of February 24, 1998. He added that the applicants had searched for alternative sites without finding a suitable location. Mr. Melin then reviewed the Comprehensive Plan and zoning designations for the property and the possible conflict between the two. Confirming that the City's legal counsel had been contacted, Mr. Melin stated that counsel reviewed the situation and determined that the most defensible position was that the development was not compatible with the site due to the Comprehensive Plan designation. He continued by stating that the applicants worked with the architect to redesign the building and hired a transportation engineer to conduct a study of the site. The engineer determined that the intersection would not be overburdened by the increased traffic. Mr. Melin further stated that the County denied any request for a curb cut onto 66th Street. In addition, he stated that the applicants met with four neighbors (three households) for mediation, and that all parties came to mutually agreeable conclusions regarding the issues at hand. Continuing, Mr. Melin reviewed the landscape plan, fencing, buffering, pedestrian crosswalks, and the possible rezoning of the property. Responding to questions from Commissioners Gepner and Kilian, Mr. Melin stated that the applicants paid for all additional costs for traffic studies and architectural costs that were requested by the Commission from the regular meeting one month prior. He further stated that if the day care were to locate there and subsequently close, the site could become any retail business that is permitted in a C-2 district. March 24, 1998 Page 5 • Commissioner Gepner stated that the decision that was now handed forth by the City attorney's office regarding the incompatibility of the development with the Comprehensive Plan designation was much more definitive that the response that had been given during the study session earlier in the month. Mr. Melin replied, stating that the City had requested that the attorneys give a more definitive answer. Responding to a request from Chairperson Linnihan to better explain the decision, Corrine Thomson, Kennedy & Graven, stated that the City requested that the attorneys give an opinion of the most defensible position. She stated that legally, the most defensible position is to find that the use is inconsistent with the Comprehensive Plan. Discussion ensued during which the attorney's position was clarified for the Commission. Responding to a question from Commissioner Ahlstrom, Mr. Melin stated that before the Comprehensive Plan's most recent revision, the property was designated for mixed-use, including commercial, residential, and office. Following a question from Commissioner Bjorklund, the Commission discussed the possibility that a moratorium be placed upon all properties located within the City in which the zoning and the Comprehensive Plan designation is in conflict. Ms. Thomson stated that a decision had to be made on the issue at hand before any action on a moratorium was made due to a law which requires the City to make a decision on conditional use permits within 60 days. Ms. Thomson further responded to a question from Commissioner Meter, stating that the development could be approved based solely upon the zoning. She added that the attorney's are not attempting to dictate to the Commission which way to decide the issue. Ms. Thomson reiterated the fact that counsel found only that the most defensible position, legally, is to find that the use is inconsistent with the Comprehensive Plan. Mr. Melin responded to questions from Chairperson Linnihan and Commissioner Meter, stating that a daycare that is operated from a house is an accessory use, not the primary use. The proposed daycare is a primary use for the property and therefore, a conditional use permit would need to be obtained. He further stated that rezoning the property to MR-2 would remove the possibility that a billiard hall could be opened on the property. Mr. Mallawaaratchy stated that he and his wife had operated their business in Richfield for ten years, but that the church where their business is currently located would like the Montessori School to vacate by the end of summer. He further stated that he had gone through mediation which had been requested by the Commission. He added that the landscape, traffic, and building design issues had been resolved with the neighbors who attended mediation. Responding to a question from Chairperson Linnihan, Mr. Mallawaaratchy stated that a search for alternative sites had been conducted, including several middle schools located in Richfield. Dawn Knutson, attorney for the applicants, stated that she had reviewed the issue concerning the apparent inconsistencies between the Comprehensive Plan and the zoning code. She stated that in her opinion, Montessori Schools and day cares are permitted uses in the C-2 district. She further stated that the proposed use is consistent with the goals, policies, and objectives listed in the Comprehensive Plan. Ms. Knutson reviewed several of those goals, policies, and objectives, stating that the proposed development met each of them. She further stated that the primary desire for the location is to be a transition area between commercial and residential and added that the daycare would be both commercial and residential, providing a March 24, 1998 Page 6 • home for children during the daytime hours. Ms. Knutson continued by stating that the RSFH designation that is listed on a map in the Comprehensive Plan is not defined anywhere in the Comprehensive Plan, and it therefore cannot be determined that the proposal does not meet the Comprehensive Plan based solely on that criteria. She closed by stating that the opinion that the proposal is consistent with the Comprehensive Plan is defensible. Ms. Thomson responded to a question from Chairperson Linnihan, stating that the public hearing did not need to be reopened since a public hearing had already been conducted. Responding to a question from Chairperson Linnihan, Mr. Mallawaaratchy stated that the business would not be able to be operated efficiently with only 60 children. Mrs. Mallawaaratchy continued by stating that she was licensed with the State to operate a daycare from kindergarten through elementary-aged children. She added that 10 to 15 percent of the children in her care are siblings, pointing out that the traffic would be somewhat decreased due to that fact. Mr. Melin responded to a question from Commissioner Bjorklund, stating that the assumptions in the BRW traffic study commissioned by Mr. and Mrs. Mallawaaratchy may need to be adjusted to reflect fewer siblings than anticipated. Chairperson Linnihan asked where the four neighbors who attended mediation lived, and whether or not they were in close proximity to the proposed daycare. Jan Owen, 6535 11th Avenue, stated that she and her husband had both attended mediation and were directly to the is north of the property in question. She further stated that she was pleased with both the redesign of the building and the traffic signals that had been proposed around the neighborhood. Responding to a question from Commissioner Dmytrenko, Ms. Owen stated that she felt that the bus stops along 11th Avenue would be safer with the proposed stop signs and pedestrian crossings. Three pages of signatures requesting that the Commission deny the recommendation for a conditional use permit were given to Chairperson Linnihan. The three pages were then passed to each Commissioner. Chairperson Linnihan re-opened the public hearing. He stated that topics would be limited strictly to those issues that had been raised since the previous Planning Commission meeting. Donna Zochert, 6501 11 th Avenue, stated that she feels that cars will make U-turns in the driveways of the neighbors rather than driving through the neighborhoods. She further stated that she thinks that Mr. and Mrs. Owens and have achieved success through mediation with the Mallawaaratchys only because there are issues between them and the current owners. Doreen Pederson, 6921 Bloomington Avenue, stated that she has three children that attend Bernie's Montessori School. She added that parents come at all different times of the day between 6:00 a.m. and 6:00 p.m. and that there is never any problem with traffic at the current location. March 24, 1998 Page 7 • Jody Johnson, 73rd Street and Pillsbury Avenue, stated that Bernie's Montessori is both economical and well-run. She added that she is disappointed that the neighborhood opposes this use when there are so many other negative uses that could be put on the property. Rosemary LeBlanc, 6821 Clinton Avenue, stated that Bernie's Montessori offers children an education as well as daycare. She further stated that she feels that her children are better prepared for school because of their experiences at Bernie's Montessori. She added that when she picks up and drops off her children, she sees only two or three other parents at the same time. Anne Carl, 70th Street and Columbus Avenue, stated that one daughter had attended Bernie's Montessori and that one son is current attending the school. She stated that she only sees two or three other parents in the morning and only one in the evening. Randy Curtis, 6821 Humboldt Avenue, stated that his two children attended the school and that there are no alternatives in Richfield. Carol Newby, 6400 11th Avenue, stated that she moved into the neighborhood because it was stable. She added that she is not questioning the quality of Bernie's Montessori, rather she is questioning whether or not this is an acceptable location for the daycare. Greg Opitz, 6500 12th Avenue, requested that a stop sign be located at the intersection of 65th Street and 12th Avenue. • Terry Stadther, 6404 11 th Avenue, stated that he is still concerned with traffic. He added that the intersection of 11th Avenue and 64th Street will become a major intersection and that without traffic control, children living in the area will be endangered. He further stated that he would not have purchased his house if the daycare had already been located there. Carol Rinder, 6420 11 th Avenue, stated that the deer, raccoon, fox, and other animals that inhabit Veteran's Memorial Park will be endangered if the daycare is allowed to open. She further stated that parents who are dropping off and picking up their children will leave their engines running. She added that the house has historical significance, MAC has already spent thousands of dollars renovating the property, pedestrians will be endangered by the increased traffic, other options for daycare exist in Richfield, and that the money spent on architectural costs hasn't been wasted because the architectural plans can be used for another site. Ms. Sikes, 6604 5th Avenue, stated that she is the parent of a graduate of Bernie's Montessori. She stated that she supports the excellent work at Bernie's Montessori School. Barbara Donaghy, 7229 Oak Grove Boulevard, stated that other daycare centers in Richfield are at capacity and that the only other options to Bernie's Montessori are located in Edina and Bloomington. Betty Peltola, 6421 11th Avenue, stated that the lot is not large enough to place daycare. She further stated that the City should underwrite all of the applicant's expenses. 0 March 24, 1998 Page 8 • Karen Mullvain, 6409 11 th Avenue, stated that a Montessori is not a residence, adding that the Commission should not approve the daycare out of guilt. Mr. Mallawaaratchy stated that the house will not be demolished, adding that he has spoken to two contractors who are both interested in moving the structure to another site. M/Hadley, S/Bjorklund to close the nublic hearing. Motion carried: 8-0 Mr. Melin responded to a question from Commissioner Hadley, stating that in case a 4-4 vote were to occur, the item would move forward to City Council with no recommendation. Responding to a question from Commissioner Ahlstrom, Ms. Thomson stated that if the Commission found that this use was compatible with the Comprehensive Plan designation, the Commission would be required to find that any other proposals in which the same set of circumstances were found was also compatible with the Comprehensive Plan designation. Commissioner Kilian stated that this is not an issue related to daycare, rather it is an issue of the zoning ordinance versus the Comprehensive Plan. He further stated that he ran a traffic simulation and determined that the parking lot would not be sufficient enough to handle the traffic. • Commissioner Bjorklund stated that many other uses could be located on the property and that commercial uses line 66th Street. She also added that traffic is a major issue with this proposal. Commissioner Meter stated that there could be possibilities for traffic control other than stop signs. He further stated that he felt that the proposal was consistent with the Comprehensive Plan. Commissioner Hadley stated that changing the residence to a commercial property would be changing the character of the neighborhood. He felt that that is not consistent with the Comprehensive Plan. Commissioner Gepner stated that he was disappointed with staff's recommendation to deny the request. He further stated that he sees the Comprehensive Plan as visionary instead of as a rock solid document. He added that the BRW traffic study allayed his fears regarding traffic and that he would like to see the study open to the general public. Commissioner Dmytrenko stated that the integrity of the Comprehensive Plan should be kept intact and that ambiguities should be addressed. She added that the daycare is preferable to other uses and that she felt that it meets the goals and objectives of the Comprehensive Plan. Further discussion involved clarification of the conflict between the zoning ordinance and the Comprehensive Plan. March 24, 1998 Page 9 M/Meter, S/Gepner to find that the Pronosed Montessori School and davcare center are consistent with the Comprehensive Plan. and to recommend annroval of the conditional use nermtt at 1100 East 66th Street for a day care with 90 children with the following stinulations: 1. That a tree protection nlan for those trees remaining be submitted to and annroved by the Community Development Director. 2. That a landscape escrow be submitted to and annroved by the Public Works Director. 3. That a sediment and erosion control nlan be submitted to and annroved by the Public Works Director. 4. That the business maintain the annronriate state. countv and citv licenses. 5. That a resolution approving the conditional use Permit be recorded with the County. pursuant to Minnesota statutes section 462.36. subdivision 1. 6. That the Pronertv be rezoned to MR-2. Motion carried: 6-2 (Hadlev and Kilian ormosed)NEW BUSINESS • PC Letter #13 ITEM #5 Consideration of an amendment to the Zoning Ordinance to allow institutional uses in multiple family zoning districts Community Development Manager John Melin reviewed the staff report, stating that properties zoned MR-2 did not allow religious institutions as either permitted or conditional uses. He further stated that the City Council determined that an oversight may have occurred when the zoning ordinance was drafted. The Council requested that the Planning Commission review the issue and consider an amendment to the zoning ordinance. M/Hadley, S/Kilian to recommend that the Citv Council amend the Zoning Ordinance to allow religious institutions. schools. and davcare centers as conditional uses in the MR-1. MR-2. and MR-3 zoning districts with the condition that such uses be located on a collector or arterial street or with an access placement such that the annlicant can demonstrate that significant traffic will not be generated on local residential streets. Motion carried: 8-0 PC Letter #14 ITEM #6 Ratification of an amendment to the Zoning Ordinance relating to stormwater management policies ATTACHMENT E • Council Meeting Minute! Item #12 -8- April 13, 1998 City Manager Prosser reviewed Council Letter No. 84 regarding the request from Bernie's Montessori School for a conditional use permit to allow construction of a 4,160 square foot building at 1100 East 66th Street for a Montessori school and day care facility for 90 children. He summarized and discussed the following issues: • Access • Traffic • Neighborhood impact • Trees and landscaping • Comprehensive Plan and Zoning • Recommendation for approval and basis of recommendation 0 Montessori School and day care for 90 children. She stated the hours of operation would Bernadette Mallawaarately, 13751 Shannon Parkway, Rosemount, the applicant, stated that she had operated the Montessori School at St. Peter's for the last ten years. She proposed construction of a 4,160 square foot building at 1100 East 66th Street for the be 6:30 a.m. to 6:00 p.m. Monday - Friday. She reviewed the need for the school and day care services. She requested the City Council to grant the conditional use permit. Council Member Stokes asked about kitchen facilities and trash removal. Ms. Mallawaartely stated there is no kitchen and that the children bring their lunches. Jeff McElmory, P.O. Box 26396, Minneapolis, architect for the project, indicated there would be limited trash since there is no food preparation. He reviewed the inside disposal of diapers. He indicated trash would be picked up like any other site. Dawn Knutson, Hessian & McKasy, PA, attorney for the applicant, reviewed the process used with the neighbors who participated in mediation. She noted that a learning institution did not require a conditional use permit (CUP) but that the daycare did require a CUP. She read the goals, policies, and objectives of the Comprehensive Plan that the Planning Commission found the proposal to be consistent with according to their interpretation. She discussed the following issues regarding the proposal: • Responsive to identified needs of clients • Children's quality of life • Building design to look like a residence • Current C-2 zoning would allow retail and other similar uses without a CUP or further approval from the City • The proposed use would have less impact than other potential uses Council Meeting Minute -9- April 13, 1998 • Community support • Montessori square footage standards Dennis W. Manson, 6901 Park Avenue, inquired about traffic and parking at the site. Jeff McElmory, architect for the project, stated there would be 20 parking stalls on the site. He indicated 9-10 stalls would be used by school staff. He described how parents drive in, park, bring the children into the building, and then leave the site at intervals. Bob Fritzke, 6529 11th Ave, spoke in opposition to granting the CUP citing concerns about traffic, storage of trash containing diapers, and that the site is not appropriate for day care. Sandra Mueller, 6521 Fifth Avenue, spoke in opposition to granting the CUP citing concerns about reserving the single family house on the site, the availability of other day care facilities in the area, the undesirability of Montessori programs, and not wanting her neighborhood park overrun by children. Rosemary LeBlanc, 6821 Clinton Avenue, spoke in support of granting the CUP citing the positive impact of the programs at Bernie's and the importance of keeping this educational opportunity in Richfield. Linda Robinson, 500 East 73rd Street #3, stated that the issue in question is not the Montessori program but the site. Judy Johnson, 7339 Pillsbury Avenue, spoke in support of granting the CUP citing the quality of the school and the fact that children are the lifeblood of the community. Kevin Scott, 5030 35th Avenue, spoke in support of granting the CUP citing the quality of the education and the negative impact that other commercial uses would have on the neighborhood. Tony Heppelmann, BRW, Inc., traffic consultant for the applicant, presented and summarized the traffic study (agenda pages 12-10 through 12-14) conducted regarding the proposed Montessori and day care facility at 1100 East 66th Street. He reviewed trip generation, trip distribution, trip assignment, capacity analysis, other traffic considerations, and conclusions related to the location of the facility at this site. Bob Fritzke, 6529 11th Avenue, spoke in opposition to granting the CUP citing concerns about traffic and a conflict with the Comprehensive Plan. Jack Swan, 6409 2nd Avenue, inquired about trash removal from the site. Tissa Senanayake, 1812 Turquoise Trail, Eagan, stated that the trash is put in plastic garbage bags and put in a trash container outside. Council Meeting Minute -10- April 13, 1998 Council Member Sandahl asked if the school would be willing to build an enclosure for the trash recepticle. Mr. Senanayake answered affirmatively. Sid Zochert, 6501 11th Avenue, spoke in opposition to granting the CUP citing concerns about the use not being consistent with the Comprehensive Plan, devaluation of his property, the goal of the City to support replacement housing, the traffic statistics presented by Planning Commissioner Bill Kilian, and traffic. Carole Rinder, 6420 11th Avenue, spoke in opposition to granting the CUP citing concerns regarding the size of the parking lot, traffic, safety of children, opposition of neighborhood, inappropriateness of the site, Bill Kilian's traffic analysis, property values, historical significance of the house, the availability of other day care in the area, and preservation of the residential area. She stated that she had talked to her lawyer about obtaining a restraining order and injunction to stop the project and asked those interested in participating to contact her. Mary Starleaf, 6505 11th Avenue, spoke in opposition to granting the CUP citing the size of the site, traffic, and Bill Kilian's traffic analysis. She suggested King Oscar's as an alternative site. Wyatt Lewis, 1100 East 66th Street, stated that his parcel is larger than King Oscar's. He indicated he felt there was reasonable access getting onto 66th Street. He stated he bought the property five years ago because it was zoned C-2 and it had been on the market for a year. He indicated they had planned to establish their business at this location. He stated that subsequently they opened their business in Eagan instead. He stated that because the house is located on 66th Street there has been little interest in it as a residential property. He indicated he had been approached by several who were interested in developing the parcel for commercial use. He stated that he felt Bernie's would be the better use for the community and minimize the impact on the neighborhood, especially since it would not be open nights or weekends. In response to a question from the Mayor, Mr. Lewis stated that if this proposal is not approved, he would sell the property to one of the commercial interests who have approached him. Donna Zochert, 6501 11th Avenue, spoke in opposition to granting the CUP citing concern about the size of the site and traffic on 11 th Avenue. She suggested the City buy the site for multi-family residential development. Karin Giesie, 2239 East Old Shakopee Road, spoke in support of granting the CUP stating that the site would not be appropriate for residential development. Janet Holman, 6524 12th Avenue, spoke in opposition to granting the CUP citing concern about traffic. 00 Tashika Sykes, 6604 Fifth Avenue, spoke in support of granting the CUP citing her observations that traffic does not cut through her neighborhood and the need for a school like Bernie's in Richfield. Council Meeting Minute -11- April 13, 1998 Frank Sable, 6521 11th Avenue, asked if the property could be rezoned to residential. City Attorney Thomson reviewed the methods by which a property may be rezoned. Doreen Pederson, 6921 Bloomington Avenue, stated that traffic is an issue with any development and discussed the Comprehensive Plan. Dawn Knutson, attorney for the applicant, stated that the property is zoned for commercial, a traffic study was done, and that the home will be moved and not demolished. Shelly Rhymers, 6401 11 th Avenue, spoke in opposition to granting the CUP citing concerns about traffic and safety. M/Sandahl, S/Susag to close the public hearinq. Motion carried 5-0. Council Member Rosenberg reviewed her experiences with the Richfield Fun Club which had about 90 children indicating that the parking was not a problem there and didn't believe it would be a problem at this site. She stated support for the Montessori program. She stated she was glad that day care children used the park. M/Rosenberg, S/Susag that the proposed resolution entitled "Resolution for Approvinq a Conditional Use Permit" be adopted. Council Member Sandahl suggested the following two additional stipulations to the conditional use permit: That the owner must install a trash enclosure on the property at a location to be specified by the Public Safety Director, within 30 days after the Public Safety Director notifies the owner that a trash enclosure is warranted. That the entrance drive must be angled so as to direct exiting traffic to southbound 11 th Avenue. City Attorney Thomson suggested that the Council also adopt the "Basis of Recommendation" as set forth in Council Letter No. 84 as its findings of fact. Council Members Rosenberg and Stokes agreed to amend the motion to accept the addition of the two suggested stipulations and findings of fact to the resolution. Council Member Stokes stated that she previously ran a similar operation at 81 st Street and Nicollet Avenue. She stated she had served on the Planning Commission and Comprehensive Plan Committee. She read a section of the Comprehensive Plan which called for the consolidation of East 66th Street commercial uses at the 13th Avenue 10 intersection. She felt the vision of the Comprehensive Plan for this area was not for scattered commercial use and therefore she would not support approval of the CUP. Council Meeting Minute. -12- April 13, 1998 Council Member Sandahl stated he would support approval of the CUP. He stated the Comprehensive Plan is a guide and a vision, however, changes will occur. He stated that the alternative commercial uses which would be allowed at this site would have significant impact on the neighborhood. He stated that there probably will be some traffic that would use 11 th Avenue. He stated it was his experience in using a 90 student day care facility that he rarely saw other parents arriving or departing at the same time. He stated that it was the Council's job to sort out for the community whether the impact overshadows the benefit to the community. Council Member Susag indicated the order of priority for the right of land use is: 1) current use; 2) zoning; and 3) Comprehensive Plan. He stated the City has adopted the Comprehensive Plan as their vision. He indicated the City should move toward changing zoning to conform to the Comprehensive Plan. Mayor Kirsch indicated that Bernie's had looked at this property prior to the new Comprehensive Plan. He noted that the property owner has the right to sell to other commercial uses that would have a large impact on the neighborhood. He stated he would support approval of the CUP. The motion restated with inclusion of the accepted amendments to the resolution: is M/Rosenberg, S/Susag that the followinq resolution be adopted with the addition of the followinq two stipulations: • That the owner must install a trash enclosure on the property at a location to be specified by the Public Safety Director, within 30 days after the Public Safety Director notifies the owner that a trash enclosure is warranted, • That the entrance drive must be angled so as to direct exiting traffic to southbound 11 th Avenue; and, that the Council adopt the Basis of Recommendation as set forth in Council Letter No. 84 as its findinqs of fact; and, that it be spread in the resolution book and that it be made part of these minutes: RESOLUTION NO. 8569 RESOLUTION FOR APPROVING A CONDITIONAL USE PERMIT 1100 EAST 66TH STREET • Motion carried 4-1. (Stokes opposed) This resolution appears as Resolution No. 8569 in Resolution Book No. 68. Item #13 I ATTACHMENT F Planning Commission Letter ® March 24, 1998 Agenda Section: Public Hearing Item 4 Case 98-CUP-3 GENERAL INFORMATION Type of Request: Continuation of discussion of conditional use permit to allow construction of a day care facility Applicant/Owner: Bernadette Mallawaaratchy, owner of Bernie's Montessori School, Inc. Location: 1100 East 66th Street Zoning: C-2 (general commercial) Existing Land Use: Single family residential Proposed Land Use: Commercial is Comp. Plan: High Density, Attached, Single Family Residential References: (see attached Citations section for excerpts) Zoning Code: Section 526.27; Section 546.05 Public Notice: Notice of the Planning Commission's continued consideration was mailed to all property owners and occupants within 350 feet of the subject property. In addition, notices were sent to owners and occupants in the 6400 blocks of 11th and 12th Avenues. City Council: Planning Commission action would set a City Council public hearing date of April 13, 1998. ANALYSIS Proposal: The applicant is proposing to construct a 4,160 square foot building to house a day care for 90 children. The applicant will be applying for a state license to serve 60 children. The building will, however, be built to accommodate future growth of up to 90 children. The applicant currently operates a montessori school for children ages 4 to 6 at St. Peter's Church. The proposed day care 40 would also provides services to infants and toddlers. Y / Issues: 1. neral commercial) ,sive Plan: The property is zoned C-2 Compre and day care facilities are conditional uses in the C-2 district. The zoning ordinance states that the Council may not grant a conditional use permit • unless it finds that the proposed use is consistent with the goals, policies, and objectives of the City's Comprehensive Plan. The Comprehensive Plan designates the area for high density, attached, single family housing (RSFH), so the proposed use is inconsistent with the Comprehensive Plan. 2. Building Design: The proposed building has been redesigned to give it more of a residential appearance. 3. Access: Access to the parking lot is from 11th Avenue. Hennepin County will not grant a permit for an access off of 66th Street. Sixty-sixth Street is a minor arterial, and the County's policy is to limit access to minor arterials from individual properties for safety reasons. 4. Parking: Twenty parking spaces will be provided on the site. City parking standards require one space for every five children, for a minimum requirement of 18 spaces. The City's parking standards for day care facilities is similar to that of other cities (see attachment). 5. Traffic: Tony Heppleman, Transportation Engineer with BRW, Inc., prepared a traffic analysis of the proposed day care at this site. The analysis is attached. 6. Neighborhood Impact: The applicant attended mediation with four neighborhood residents. According to the mediators, the neighbors were okay with the changes made to the building's appearance. They preferred an access onto 66th Street, but if the entrance were to be on I Ith Avenue, they asked that a "no right turn" sign be installed at the parking lot exit. • The neighbors also asked that stop signs be installed at 64th Street and the entrance to the park and that crosswalks be painted at the entrance to the park. The latter requests will be forwarded to the City's traffic committee. 7. Trees and Landscaping: There are approximately twenty trees on the property and two boulevard trees. Most of the trees will be removed to accommodate the proposed construction. Additional trees would be planted as part of the proposed development. Note: This is private property, and the City does not have the authority to prohibit people from cutting down trees located on private property. 8. Buffering: The play activity area is located to the west of the building, 20 feet from the north property line. The fencing on the north side of the play area would be a solid fence, the remainder would be chain link. Evergreen trees would be planted on the north side of the area to provide a buffer from the adjacent residential uses. There are also three evergreens located along the north property line that currently provide a buffer. 9. Rezoning: At the previous hearing, a question was raised about the process for rezoning property. A rezoning can be initiated in the following three ways: the City Council can initiate it; the Planning Commission can initiate it; the owner of the property and 50 percent of the property owners within 300 feet of the property to be rezoned can petition for a rezoning. 0 ACTION TO BE TAKEN Recommendation: 1. Recommend that the City Council deny the request for a conditional • use permit at 1100 East 66th Street with a finding of fact that the proposed use is inconsistent with the Comprehensive Plan. 2. Recommend that the City Council rezone the property at 1100 East 66th Street from C-2 (general commercial) to R (single family residential). 3. Recommend that the City Council authorize the Planning Commission to conduct a study of all properties in the City with zoning that is inconsistent with the Comprehensive Plan and consider rezonings of these properties. Basis: 1. The City's Comprehensive Plan designates the property as High Density, Single Family Residential (RSFH). The proposed use is inconsistent with this designation. 2. The City Zoning Ordinance requires that, in order to grant a conditional use permit, the City must find that the proposed use is consistent with the goals, policies and objectives of the Comprehensive Plan. The proposed use is inconsistent with the Comprehensive Plan designation. 3. Although the property is zoned C-2 (general commercial), state statute states that in cases of conflict between a City's Comprehensive Plan and its zoning, the zoning ordinance shall be brought into conformance with the Plan. 4. The City Attorney has reviewed the proposed application, the City zoning ordinance and the Comprehensive Plan and has determined that there is not a sufficient legal basis to approve the application because the proposed use is not consistent with the Comprehensive Plan and therefore the requirement set forth in Section 546.05, Subdivision 6(a) of the Zoning Ordinance has not been met. 0 i Alternative A. I\ )mmend that the City Council approve request for a Recommendations: conditional use permit at 1100 East 66th Street for a day care with 90 children with the following stipulations: 1. That a tree protection plan for those trees remaining be submitted to and approved by the Community Development Director. 2. That a landscape escrow be submitted to the Community Development Director. 3. That a grading plan be submitted to and approved by the Public Works Director. 4. That a sediment and erosion control plan be submitted to and approved by the Public Works Director. 5. That a stormwater management plan be submitted to and approved by the Public Works Director. 6. That the business maintain the appropriate state, county and city licenses. 7. That a resolution approving the conditional use permit be recorded with the County, pursuant to Minnesota statutes section 462.36, subdivision 1. B. Recommend that the City Council approve the request for a conditional use permit for a day care for 60 children. C. Recommend that the City Council pass a 6-month moratorium on development of all parcels with a land use that is consistent with the Comprehensive Plan but has zoning that is inconsistent, and authorize the Planning Commission to conduct a study of the parcels. 0 r CITATIONS ZONING CODE: 0 SECTION 526 - ZONING: COMMERCIAL DISTRICTS 526.27. Conditional uses. Subdivision 1. The uses listed in this subsection are conditional uses in the C- 2 District, and are subject to the conditional use permit provisions outlined in Section 546.05 of this code. Subd. 25. Licensed day care facilities, provided the following conditions are met: a) pick-up and drop-off areas shall be located on the site, and shall be designed to avoid interfering with traffic and pedestrian movements; b) outdoor recreational areas shall be located and designed in a manner which mitigates visual and noise impacts on adjoining residential property; and c) such facilities shall obtain all applicable state, county, and city licenses. SECTION 546 -ZONING: ADMINISTRATION 546.05. Conditional use permits. Subdivision 1. Permit required. It shall be unlawful to engage in any use listed in this code as a conditional use without first obtaining a conditional use permit (CUP) from the City pursuant to this subsection. • ... Subd. 4. Plannin¢ Commission review. After receipt of a completed application, a date shall be set for consideration before the Planning Commission. The Planning Commission may offer whatever public notice of its review it deems necessary. Following this consideration, the Planning Commission shall make a recommendation to the City Council regarding the application. Subd. 6. Conditions for issuance. The Council may not grant a conditional use permit unless it finds that all of the following conditions will be met: a) the proposed use is consistent with the goals, policies, and objectives of the City's Comprehensive Plan; b) the proposed use is consistent with any officially adopted redevelopment plans or urban design guidelines; c) the proposed use is or will be in compliance with the performance standards specified in Section 541 of this code; d) the proposed use will not have undue adverse impacts on governmental facilities, utilities, services, or existing or proposed improvements; e) the use will not have undue adverse impacts on the public health, safety, or welfare; and f) there is a pr. , need for such use at the proposed locatio. ?d g) the proposed use meets or will meet all the specific conditions set by this code for the granting of such conditional use permit. • 0 ATTACHMENT G "ITY OF RICHFIELD, MINNESOTA Council Letter No. Agenda April 13, 1998 Issue Statement: Public hearing regarding a request for a conditional use permit to allow construction of a Montessori school and day care facility for 90 children at 1100 East 66th Street. Background: The applicant, Bernie's Montessori School, is proposing to construct a 4,160 square foot building to house a day care for 90 children. The applicant currently operates a Montessori school for children ages four to six at St. Peter's Church. She wants to relocate in the area and expand the school to add day care for infants and toddlers. The building would be located on the north side of the property with the play activity area located to the west of the building, 20 feet from the north property line. The play area would be fenced, and the applicant proposes to plant evergreen trees and preserve three of the existing evergreen trees on the north side of the property to provide a buffer from the adjacent residential uses. The fencing on the north side of the play area would be a solid fence, the remainder would be vinyl-coated chain link. Twenty parking spaces would be provided on the site. City parking standards require one space for every five children, for a minimum requirement of 18 spaces. There is no specific area designated for dropping off and picking up children; the parking stalls would be used for this activity. A significant amount of grading is needed to create a relatively flat area for construction. Retaining walls will be constructed on the north, east and south sides of the building and parking lot. Access: Access to the parking lot is from 11th Avenue. Hennepin County will not grant a permit for an access off of 66th Street. Sixty-Sixth Street is a minor arterial, and the County's policy is to limit access to minor arterials from individual properties for safety reasons. Traffic: In response to neighborhood concerns about potential traffic generated on 11 th Avenue by the day care, the applicant hired Tony Heppleman, Transportation Engineer with BRW, Inc., to prepare a traffic analysis of the proposed day care at this site. The analysis indicates that approximately five vehicles would use 11 th Avenue to and from the north during the peak hours (see attached analysis). Traffic is a main concern of area residents. The analysis also indicates that both the parking lot and the intersection will function adequately. Neighborhood Impact- The Planning Commission recommended that the applicant go through mediation with the neighbors to try and resolve some of the differences raised at the first Planning Commission hearing. An invitation was sent to the neighbors on the • notification list to participate in mediation. Four neighborhood residents participated in mediation with the applicant. According to the mediators, the neighbors were satisfied with changes the applicant has made to the building's appearance. They preferred an access onto 66th Street, but if trentrance were to be on 11th Avenues, they asked that a "no right turn" sign be installed at the parking lot exit. The neighbors also asked that stop signs be installed at 64th Street and the entrance to the park and that crosswalks be painted at the entrance to the park. The latter requests have been forwarded to the City's Traffic Committee for review. Trees and Landscaping: There are approximately 20 trees on the property and two boulevard trees. Most of the trees will be removed to accommodate the proposed construction. At a minimum, three large evergreens on the north side of the property are preserved as part of the proposed landscape plan. Additional trees would be planted as part of the proposed development. Comprehensive Plan: The property is zoned C-2 (general commercial); however, the Guide Plan of the Comprehensive Plan designates the area for high density, attached, single family housing (RSFH), more commonly called townhomes. The Zoning Ordinance states that the Council may not grant a conditional use permit unless it finds that the proposed use is consistent with the goals, policies, and objectives of the City's Comprehensive Plan. The issue of the Comprehensive Plan consistency was explored by staff when the application was first submitted. At that time, staff determined that the underlying zoning should take precedent over the Comprehensive Plan. The City Attorney later determined that it is the City's zoning ordinance that requires consistency with the Plan for conditional uses; therefore, the City cannot approve the proposed day care without finding it to be • consistent with the Plan. A majority of the Planning Commissioners found that although the proposed day care does not exactly match the guide plan designation of townhomes, it is consistent with the overall goals, policies and objectives of the Plan. Two Commissioners found that the day care was not consistent with the guide plan designation and therefore voted against approval of the conditional use permit. Recommended Motion: Approve the conditional use permit to allow construction of a day care for 90 children at 1100 East 66th Street with the following stipulations: That a tree protection plan for those trees remaining be submitted to and approved by the Community Development Director. 2. That a final landscape plan be approved by the Community Development Director and a landscape escrow be submitted. 3. That a grading plan be submitted to and approved by the Public Works Director. 4. That a sediment and erosion control plan be submitted to and approved by the Public Works Director. 5. That a stormwater management plan be submitted to and approved by the Public • Works Director. 6. That the business maintain the appropriate state, county and city licenses. 7. That a resolution app.,jving the conditional use permit be r"orded with the County, pursuant to Minnesota statutes section 462.36, subdivision 1. Basis of Recommendation: 1. On March 24, 1998, the Planning Commission voted 6-2 to recommend approval of the conditional use permit. 2. According to the Planning Commission's interpretation, the proposed day care is consistent with the goals, policies and objectives of the Comprehensive Plan. The Plan goals and objectives indicating consistency are as follows: IMPLEMENTATION: The primary intent and purpose of the 1997-2007 Plan update is to adopt a plan that can and will be a useful tool in future zoning and redevelopment decisions. For this reason, the Plan is focused on concepts that are described as goals and objectives. The Subarea Plans are looked upon as examples of how those areas of the City might be redeveloped by applying these goals and objectives, rather than the more typical view of the Plan as a "blueprint" for development. (FOUR-2) • OBJECTIVE: Encourage and support a diversity of compatible non-residential land uses that are accessible and responsive to the needs of Richfield and adjacent communities. (ONE-7) • OBJECTIVE: Encourage the development of viable and responsive neighborhood commercial services. (ONE-7) • GOAL: Achieve a standard of land use that is reflective of the "home town" character of Richfield. (ONE-8) • PLAN PROPOSAL: Reinforce existing and create new well-defined boundaries for all commercial developments and provide transitional use areas that protect and improve adjacent residential areas. (ONE-10) 3. The property is zoned C-2 (general commercial) which allows for commercial uses to be developed on the property. The proposed day care is a conditional use in the C-2 district. 4. The proposal meets the required zoning standards for new construction in the C-2 district, including setback, lot coverage and performance standards. 5. The proposed parking meets the City's parking standards. 6. Notice of the hearing was published in the Sun-Current and mailed to property owners and occupants within 350 feet of the subject property. Alternative Recommendation: 1. Recommend that the City Council deny the request for a conditional use permit at 1100 . East 66th Street with the following findings of fact: • The City Zoning Ordinance requires that, in order to grant a conditional use permit, the City must find that the proposed use is consistent with the goals, policies and objectives of the L,,,mprehensive Plan. The Comprehei,.ive Guide Plan designation for 1100 East 66th Street is RSFH (high density, single family attached housing). The corrollary zoning districts for this designation would be the R and MR-1 zoning districts. These districts do not allow a day care of this size. • The City Council has reviewed the proposed application, the City Zoning Ordinance and the Comprehensive Plan and has determined that it cannot approve the application because the proposed use is not consistent with the Comprehensive Plan and therefore the requirement set forth in Section 546.05, Subdivision 6(a) of the Zoning Ordinance has not been met. • The traffic from the proposed day care would have an adverse impact on the adjacent residential neighborhood. Discussion/Decision Mode: The Planning Commission first heard this request on February 24 but continued action until March 24 to allow staff and the applicant to address several issues, including the Comprehensive Plan consistency question. Staff had originally recommended approval of the application given that the zoning is C-2 and the Comprehensive Plan states that the Guide Plan is intended to be a guide, not a blueprint for development. Legal counsel reviewed the issue and decided that denying the application was most defensible; however, they instructed the Planning Commission that it is still the Commissions' role to interpret the Comprehensive Plan. A majority of the Commissioners concluded that, in interpreting the Plan, they must consider not only the . Subarea Plan graphics but the stated goals and policies and therefore recommended approval. The Commission suggested that the day care property be rezoned to MR-2 (medium density multiple residence) to prevent the possible future reuse of the building by a non- compatible commercial business. They plan to review all instances in the City where the zoning is inconsistent with the Comprehensive Plan and recommend rezonings where appropriate. The Commission will also compare the differences in regulations for day care facilities and schools. Public and private elementary and high schools, and other similar learning institutions are permitted uses in the C-2 district, requiring only City Council approval of an off-street parking permit. Staff might have considered Bernie's Montessori School a school, permitted in the C-2 district. Only the day care portion of the operation would have required a conditional use permit. A public hearing on the conditional use permit application is scheduled for 7:00 p.m. on Monday, April 13, 1998. The hearing will be held in the City Council Chambers of Richfield City Hall, 6700 Portland Avenue. Respectfully submitted, Steven L. Devich Acting City Manager SLD:ds RESOLUTION NO. RESOLUTION FOR APPROVING A CONDITIONAL USE PERMIT 1100 EAST 66TH STREET WHEREAS, an application has been filed with the City of Richfield which requests approval of a conditional use permit for a day care for 90 children on land generally located at 1100 East 66th Street, legally described as: Lot 9, Block 2, Eliason Fourth Addition WHEREAS, the City has fully considered the request for approval of the conditional use permit. NOW, THEREFORE, BE IT RESOLVED, by the City Council of the City of Richfield, Minnesota, as follows: 1. A conditional use permit is issued for a day care for 90 children, as described in City Council Letter No. , on the Subject Property legally described above. 2. The conditional use permit is subject to completing the following conditions before an occupancy permit can be issued: • That a tree protection plan for those trees remaining be submitted to and approved by the Community Development Director. • That a final landscape plan be approved by the Community Development Director and a landscape escrow be submitted. • That a grading plan be submitted to and approved by the Public Works Director. • That a sediment and erosion control plan be submitted to and approved by the Public Works Director. • That a stormwater management plan be submitted to and approved by the Public Works Director. • That the business maintain the appropriate state, county and city licenses. • That this resolution be recorded with the County, pursuant to Minnesota statutes section 462.36, subdivision 1. 3. The conditional use permit shall remain in effect for so long as conditions regulating it are observed, and the conditional use permit shall expire if normal operation of the use has been discontinued for 12 or more months, as required by the Zoning Ordinance, Section 546.05, Subd. 9. Adopted by the City Council of the City of Richfield, Minnesota this 13th day of April, 1998. ATTEST: Martin J. Kirsch, Mayor 0 Attachment H 521.65. Conditional uses. Subdivision 1. The uses listed in this subsection are conditional uses in the MR-2 District, and are subject to the conditional use permit provisions outlined in Section 546.05 of this code. Subd. 9. Licensed day care facilities, provided the following conditions are met: a) the use site shall abut a collector or arterial street or be located such that significant traffic will not be generated on local residential streets; b) designated pick-up and drop-off areas shall be located on the site; and c) outdoor play areas shall be set back at least 15 feet from any lot line which abuts a residential parcel. (Added, Bill No. 1998-10) 521.72. Minimum lot size. setback and height requirements for non-residential uses. Subdivision 1. Standards. The standards set out in this subsection apply to non-residential uses in the MR-2 District. Subd. 2. Minimum lot size: 15,000 square feet. Subd. 3. Minimum lot width: 75 feet. Subd. 4. Maximum building height: 35 feet. Subd. 5. Maximum lot coverage (nrincioal structure): 30 percent. Subd. 6. Minimum setback requirements: a) Front: 30 feet. b) Side: (i) interior: 20 feet (ii) streetside: 30 feet c) Rear: 25 feet. (Added, Bill No. 1998-10) 0 ATTACHMENTI 526.27. Conditional uses. Subdivision 1. The uses listed in this subsection are conditional uses in the C-2 District, and are subject to the conditional use permit provisions outlined in Section 546.05 of this code. Subd. 26. Licensed day care facilities, provided the following conditions are met: a) pick-up and drop-off areas shall be located on the site, and shall be designed to avoid interfering with traffic and pedestrian movements; b) outdoor recreational areas shall be located and designed in a manner which mitigates visual and noise impacts on adjoining residential property; and c) such facilities shall obtain all applicable state, county, and city licenses. i 526.29. Lot area. width. deuth. and coverage. Subdivision 1. Standards. The standards set out in this section apply in the C-2 District. Subd. 2. Minimum lot area: 9,000 square feet. Subd. 3. Minimum lot width: a) Interior lot: 75 feet. b) Corner lot: 90 feet. Subd. 4. Minimum lot death: 100 feet. Subd. 5. Maximum impervious surface coverage: 85 percent. 526.31. Required building setback and maximum height. Subdivision 1. Standards. The standards set out in this section apply in the C-2 District. Subd. 2. Required setback and maximum height: SIDE SIDE- MAXIMUM BUILDING FRONT REAR INTERIOR STREETSIDE HEIGHT PRINCIPAL 35 Ft. 20 Ft. 20 Ft. 25 Ft. 40 Ft. ACCESSORY 35 Ft. 8 Ft. 20 Ft. 25 Ft. 15 Ft. 0 i AGENDA SECTION: Public Hearing AGENDA ITEM # 5 REPORT # 144 STAFF REPORT CITY COUNCIL MEETING JUNE 12, 2000 s • REPORT PREPARED BY: THOMAS FOLEY, TRANSPORTATION ENGINEER NAME, TALE REPORT PRESENTER: MIKE EASTLING, PUBLIC WORKS DIRECTOR NAME, TITLE DEPARTMENT DIRECTOR REVIEW: E -- 'IGNATUlt ; REVIEWED BY CITY MANAGER: ITEM FOR COUNCIL CONSIDERATION: Public hearing and second reading regarding an ordinance adopting an 1-494 Official Map from 1-35W to Penn Avenue. 1. RECOMMENDED ACTION: Conduct and close the public hearing and by motion: Approve second reading of an ordinance adopting the 1-494/Penn Official Map as an official map indicating that the road design is accurate and additional right of way is identified for the future reconstruction of 1- 494. II. BACKGROUND The Met Council's Right of Way Acquisition Loan Fund (RALF) makes zero-interest loans available to assist in the purchase of land that is needed for roadway projects, such as the widening of 1-494. The loan program is administered by the Metropolitan Council and is designed to reserve right of way in areas where the cost of land is escalating. To qualify for a loan the City must adopt an Official Map for 1-494 showing the additional right of way needed for expanding 1-494. 06120fficial I-494ROWMap According to state law the Planning Commission must adopt and the City Council must approve the 1-494 Official Map in the area between 1-35W and Penn Avenue because the • map is considered a special land use control. Building permits are subject to the conditions of the Official Map as outlined below in the Policy section. The Official Map protects the City from escalating costs associated with the purchase of property at a later date when the road improvement is made. A copy of the letter sent to affected property owners is attached. The City of Richfield is seeking several funding sources to expedite the construction of the Penn Avenue Bridge over 1-494. Adoption of an official map enables the City to obtain a RALF loan from the Metropolitan Council to purchase land needed for the future reconstruction of 1-494. III. BASIS OF RECOMMENDATION A. POLICY • The Official Map must be certified by the Minnesota Department of Transportation that the road design is accurate and requires additional right of way identified in the Official Map. • The Richfield Planning Commission reviewed the proposed 1-494 Official Map and took action at the April 25, 2000 meeting to find the Map in compliance with the Comprehensive Plan and to recommend adoption of the Official Map. • Notice of a Public Hearing and Second Reading was published in the Richfield Sun-Current on May 31, 2000. Owners of property affected by the . Official Map, as identified on the attached map, were mailed notice of the Public Hearing. • The Official Map will have an effect on the issuance of building permits. Building permits are the control mechanism for carrying out the objectives of the Official Map. There are two aspects of this control. o If following the adoption and filing of the Official Map, a landowner, without a building permit, or in violation of the provisions of a building permit, places a building or structure within the limits of the proposed street, then when the City acquires the land for street purposes, it will not have to pay damages for the loss of that portion of the building or structure lying within the proposed street area. o Although the statute is not entirely clear on the question of issuing building permits for construction within the proposed street area, the City Attorney believes the following procedure is contemplated: ¦ If a building permit application discloses that construction is planned within the proposed street area, the building official should deny the permit. ¦ Upon denial, the applicant can appeal the denial to the Board of Adjustment and Appeals. The Board can grant the permit if it makes certain findings • That the entire property, including the part affected by the Official Map, cannot yield a reasonable return to the owner unless the permit is granted, and • That on balance, the grant of the permit is required "in the interests of justice and equity". If the Board of Adjustment and Appeals authorizes the issuance of the permit, then the building official must issue the permit unless within • the six-month period beginning with the date that the authority is given, the City institutes proceedings to acquire the land. Consequently, once land has been placed within a proposed street in the Official Map, the opportunity of the landowner to build in that area is made more difficult. B. CRITICAL ISSUES To carry out the policies of the major thoroughfare plan of the City for the reconstruction of 1-494, there is need for an Official Map for 1-494 showing the additional right of way needed for expanding 1-494. An official map limits new development within the area identified on the Official Map so that the land is reserved for future roadway construction. C. FINANCIAL • Adoption of an official map will qualify the City of Richfield to obtain a zero interest loan from the Metropolitan Council that can be used to purchase the land needed for the reconstruction of 1-494 and, in particular, the Penn Avenue Bridge. D. LEGAL The City attorney will be present at the Council meeting and will be available for counsel. • IV. ALTERNATIVE RECOMMENDATION(S) • Council could recommend against or not take action on the adoption of the official map; however, monies may not be available later and construction of the Penn Avenue Bridge could be delayed. • Council could continue the public hearing and second reading. • Council could accept comments, close the public hearing and delay action related to the adoption of the proposed ordinance. • Council could recommend against or not take action on the adoption of the official map and await the completion of an official map for the entire 1-494 corridor from 34th Avenue to Trunk Highway 169. The Minnesota Department of Transportation (MnDOT) will complete this work by March 2001. Again, this will delay construction of the Penn Avenue Bridge. V. ATTACHMENTS • Proposed Ordinance • 1-494 Official Map, 1-35W to Penn Avenue • 1-494 Layout • Sketch showing properties affected by 1-494 Official Map, 1-35W to Penn Avenue • Letter sent to affected property owners VI. PRINCIPAL PARTIES EXPECTED AT MEETING • None. 40 BILL NO. AMENDMENT TO APPENDIX B OF THE ORDINANCE CODE OF THE CITY OF RICHFIELD THE CITY OF RICHFIELD DOES ORDAIN: Appendix B of the ordinance code of the City of Richfield entitled "Richfield Zoning Code" is hereby amended: The City Code is amended by adding a new section 551 to read: SECTION 551 - ZONING: OFFICIAL MAP 550.01. Official Map -1-494. Subd. 1 Adoption. For the purpose of carrying out the policies of the policies of the major thoroughfare plan and the community facilities plan of the City, the official map of the 1-494 expansion is hereby adopted. Subd. 2 On File. A copy of the official map, or sections thereof with a copy of the adopting ordinance attached shall be filed with the County Recorder and be on file in the Community Development Department of the City. Passed by the City Council of the City of Richfield, Minnesota this day of , 20 . Martin J. Kirsch, Mayor ATTEST: Thomas P. Ferber, City Clerk • Jr' ? r fr 1 PENN AVE S ......... . ? ? i t l 1; i ! s i I f i 'V i ? 1 ? _ V 11 I I _- c? ! ? I ! ! ? 1 Ei I (? N ? O O 0 J° ill ? 4 N? •? ,? 0 n m f ` i f f fF F F x L . "s 3 ' ° - ?? T T T T T T T o T c o o `? i f! O ° ° ° ? ° ? ° o a o m o a o 0 o a a m I 1 1 1 1 I I ! 1 I I I r N V N N N N N N N N N N 4 ;, -P r,.-'-? Y f? 4 4 V 4? ? ? H ? Y _` , 1 1 1 !. = H v 3 m Y u N? u ? O1 u 3 l--a i i l ? ! S ??g?6g? g ? g?i E?l T TT 5 I I - - - - - - - - - - - - - & U ' N J t j 4 m V y°l y O? y ? N q L y J s N O O O O ? N yT ----- OLIVER AVE S. ; ? l i i, I ( r ;y . , 1 43 'r------ , 1 1 l J?'? ------------ AMR Lo? y \ I , g ! ?' ---- IN_OOISWE 50300 PENN AVE S. S l,.22&52 NW-20'48'E ]d i ii' 30 30 Cu n , 1t .T -- ---- - . - i s NEWTON AVE S. s ca rn li C1[';. •Rb\? mn 'i IJO I I ? PAN.j6 ? J i1: 4 ? 1 ? ' I ? NUN\ I E s I / s =-- - g- g --- MORGANI AVE S. 30 E Le /I It .0 -J of i ? \? ??\\\ ? '' Ji 1; 4 178.70 i HIA J J ,1 u , Vj u ? (J ti / /, N Ail q , BPS. t, 71 ter? ' \\ \` Y \t 1 INTERSTATE HWY NO. 35W 30 LOGAN AVE S. - s1 1 i I._I i 1 i 8 S ° HOxrx • 1 . ....... .. 3 _. t i r 0 0 0 Properties Affected by I-494/Penn Official Map i I a i i Walser PREPARED BY THE CITY OF RICHFIELD ENGINEERING DIVISION 5/512000 1-494 AFFECTED D PROPERTIES RIGHT OF WAY LINE E RICHFIELD Public Works Department May 31, 2000 Subject: Public Hearing on Proposed Ordinance Adopting an Official Map for 1-494 from 35W to Penn Avenue MAYOR MARTIN J. KIRSCH Dear Property Owner: CrrY COUNCIL The City Council will conduct a public -hearing at its regular Council meeting on June SUSAN ROSENBERG 2000 at 7:00 p.m. at the Richfield City Hall - Council Chambers, 6700 Portland 12 SUZANNE M. SANDA SANDAHL KRISTAL STOKES , Avenue South, Richfield, Minnesota. The hearing will be held to-consider an RUSS SUSAG ordinance adopting an official map for 1-494 from 1-35W.to Penn Avenue. The official map for 1-494 is for the purpose of carrying out the policies of a major thoroughfare CITY MANAGER plan of the City; i.e., the reconstruction of 1-494. Properties affected by the 1-494 SAMANTHA ORDUNO expansion noted in the official map include, but are not limited to: 1700 78th Street West 1900 78th Street West 1920 78th Street West • 2000 78th Street West • 2016 78th Street West • 2020 78th Street West • 2022 78th Street West • 2026 78th Street West • 2100 78th Street West • 7701 Penn Avenue South 7745 Penn Avenue South • 7744 Penn Avenue South According to state law the City Council must approve the official map because it is considered a special land use control. Once an official map has been adopted, the issuance of building permits shall be subject to the conditions of the official map. If a building permit application discloses that construction is planned within the proposed area of the official map, the building official should deny the permit. Upon denial, the applicant can appeal the denial to the Board of Adjustment and Appeals. The Board can grant the permit if it makes certain findings: • That the entire property, including the part affected by the Official Map, cannot yield a reasonable return to the owner unless the permit is granted, and • That on balance, the grant of the permit is required "in the interests of justice and equity" • The Urban Hometown 6700 PORTLAND AVENUE, RICHFIELD, MINNESOTA 55423 612.861.9700 FAX: 612.861.9749 www.G.richfield.mn.us AN EQUAL OPPORTUNITY EMPLOYER i • May 31, 2000 Page 2 If the Board of Adjustment and Appeals authorizes the issuance of the permit, then the building official must issue the permit unless within the six-month period beginning with the date that the authority is given, the City institutes proceedings to acquire the land. Consequently, once land has been placed within a proposed street in the Official Map, the opportunity of the landowner-to build in that area is made more difficult. The city is not obligated to pay for any buildings erected in such areas without obtaining a building permit. In effect,it-protects the city from escalating costs associated with the purchase of property when the road improvement is made. Adoption of the official map for 1-494 from 35W to Penn Avenue will advance the reconstruction of 1-494 and in particular the Penn Avenue Bridge. If you want to comment on the proposed official map, please attend the hearing and you will be heard, or submit written comments prior to the June 12, 2000 City Council meeting. If you have questions about the proposed official map, please call me at 612-861- 9791. Sincerely, Thomas Foley, Transportation Engineer Public Works Department TFF:ttf Enclosure • Properties Affected by I-494/Penn Official Map r -' ' L-----L. --- N E S PREPARED BY THE CITY OF RICHFIELD ENGINEERING DIVISION 5!212000 -'"-" AFFECTED - . __..__ PROPERTIES RIGHT OF WAY LINE • AGENDA SECTION: Consent AGENDA ITEM # 4E REPORT # 143 J REPORT PREPARED BY: NAME, TITLE 0 REPORT PRESENTER: STAFF REPORT COUNCIL MEETING JUNE 12, 2000 DEPARTMENT DIRECTOR REVIEW: REVIEWED BY CITY MANAGER: STEVEN SUTTER, ASST. FIRE CHIEF STEVEN S UTTER, ASST. FIRE CHIEF NAME, TITL SIGNATURE` u ITEM FOR COUNCIL CONSIDERATION: Consideration of resolution to amend membership listing of the Southwest Fire League Mutual Aid Association of which the Richfield Fire Division is a member. 1. RECOMMENDED ACTION: By motion: approve the resolution to add the City of Minneapolis to the membership of the Southwest Fire League Mutual Aid Association. 111. BACKGROUND Richfield is a member of the Southwest Fire League Mutual Aid Association. It is a group of 14 agencies who have agreed to help one another in the event of a major fire, natural or technological disaster. The City of Minneapolis Fire Department has petitioned to join the association. • III. BASIS OF RECOMMENDATION A. POLICY I • Richfield relies on this association for extraordinary fire protection. • This membership change has minimal operational impact. SWFLResMpls • The mutual aid agreement between the southwest suburban governmental agencies assures that cooperative use of fire personnel and equipment will be . provided by membership agencies in time of emergencies. • This is a housekeeping issue as the membership is beyond the control of any one agency. B. CRITICAL ISSUES • In the event of extraordinary fire/emergency circumstances, the suburbs and the City of Minneapolis will be mutually dependent on one another to provide public safety. C. FINANCIAL • The mutual aid agreement means there are no financial charges when departments help one another. D. LEGAL I • The existing mutual aid agreement is in place. • Council adopted the resolution of a Fire Mutual Aid Agreement with the Southwest Fire Mutual Aid Association in 1995. IV. ALTERNATIVE RECOMMENDATION(S) • Do not approve the resolution; however, this agreement assures the assistance of a close bordering community. V. ATTACHMENTS • Resolution authorizing the amendment of the membership listing of the Southwest Fire League Mutual Aid Association. • Exhibit A, Southwest Mutual Aid Association list of member fire departments. VI. PRINCIPAL PARTIES EXPECTED AT MEETING • None. • RESOLUTION NO. RESOLUTION AUTHORIZING THE AMENDMENT OF THE MEMBERSHIP LISTING OF THE SOUTHWEST FIRE LEAGUE MUTUAL AID ASSOCIATION WHEREAS, the City of Richfield has previously approved and participated in a mutual aid agreement between the southwest suburban governmental agencies to provide cooperative use of fire personnel and equipment; and WHEREAS, the agencies participating in this agreement have been designated the Southwest Mutual Aid Association; and WHEREAS, the existing agreement requires the parties of the agreement to approve by resolution a new Exhibit A to add a new member to the agreement; and WHEREAS, the City of Minneapolis would like to join the Association and would add to the overall effectiveness. NOW, THEREFORE, BE IT RESOLVED by the City Council of the City of Richfield, Minnesota: The revised Exhibit A, dated April 11, 2000, which includes the City of Minneapolis, is hereby approved as the new official list of parties to the agreement establishing the Southwest Mutual Aid Association. is The City Clerk is directed to transmit a certified copy of this resolution to the secretary of the Southwest Mutual Aid Association. Adopted by the City Council of the City of Richfield, Minnesota this 12th day of June, 2000. Martin J. Kirsch, Mayor ATTEST: Thomas P. Ferber, City Clerk 40 C-x 17V J` / T /Y southvvc:st Mutual Aid Association Member Fire Departments President: * Eden Prairie Fire Dept. Minneapolis Fire Dept. Steve Sutter, elected 1999 Spencer Conrad, Chief Rocco Forte„ Chief Richfield Fire Dept. 7801 Mitchell Rd. 300 S 5th St - Room 230 Eden Prairie, MN 55344 Minneapolis, MN 55415 Vice President. (952) 949-8335 (612) 673-2536 Luke Stemmer, elected 1999 Pager: (612) 231-6527 Fax: (612) 673-2828 St. Louis Park Fire Dept. Fax: (952) 937-6953 rocco.forte@ci.minneapolis.mn.us (952) 924-2596 CONSJB@aol.com Pager: (612) 650-2002 Minnetonka. Minnetonka Istemmer@stiouispark.org Edina Fire Dent. Fire Dept. Marty Scheerer, Chief Joe Wallin, Chief Treasurer/Secretary: 6250 Tracy Ave. 14550 Minnetonka Blvd. George Magdal, elected 2000 Edina, MN 55436 Minnetonka, MN 55345 Hopkins Fire Dept. (952) 826-0332 (952) 939-8598 (952) 939-1321 Pager: (612) 394-0156 Pager:(612) 202-5676 PagerNoice Mail: (612) 759-0672 Fax: (952) 926-2132 Fax: (952) 939-8336 hopfire@mtn.org mscheerer@ci.edina.mn.us, jwallin@ci.minnetonka.mn.us Fire Safetv House: * Excelsior Fire Dent. * Plvmouth Fire Dent Cary Smith Gary Ringate, Chief . Rick Kline, Chief St. Louis Park Fire Dept. 339 3rd Street 3400 Plymouth Blvd. (952) 924-2169, Excelsior, MN 55331 Plymouth, MN 55447 or Shirley at (952) 924-2595 (952) 474-5364 (763) 509-5121 Pager: (612) 609-5004 Pager: (952) 530-3438 Pager: (612) 609-0075 csmith@ci. saint-louis-park. mn. us Fax: (952) 474-5364 Fax: (763) 509-5167 efdringate@worldnet.com rkline@ci.plymouth.mn.us * Golden Vallev Fire Dent.. Richfield Fire Dept. M.A.C. Fire Dent. Mark Kuhnly, Chief Steve Sutter, Asst. Chief Dave Burke, Chief 7800 Golden Valley Rd. 6700 Portland Ave. 6307 34th Ave. S. Golden Valley, MN 55427 Richfield, MN 55423 Minneapolis, MN 55450 (763) 593-8080 (612) 861-9855 (612) 726-5353 Pager: (612) 640-5101 Pager: (612) 526-2895 Pager: (612) 648-0954 Fax: (763) 593-8098 Fax: (612) 866-0297 Emergency: (612) 726-5577 Cel: (612) 860-4954 ssutter@ci.richfield.mn.us Fax: (612) 726-5605 mkuhniy@ci.golden-valley.mn.us dburke@mspmac.org * St Louis Park Fire Dept * Hopkins Fire Dept. . . Bob Gill, Chief * Bloominaton Fire Dept. Don Beckering, Chief 5005 Minnetonka Blvd. Ulysses Seal, Chief 1010 1st St. S. St. Louis Park, MN 55416 10 West 95th St. Hopkins, MN 55343 (952) 924-2594 Bloomington, MN 55420 Direct: (952) 939-1431 Pager: (612) 650-2001 Direct: (952) 881-4062 Pager/Voice Mail: (612) 622-0868 Fax: (612) 924-2175 (612) 948-8700 Fax: (952) 939-1429 rgill@stiouispark.org Fax: (952) 884-7678 don.beckering@so.mnscu.edu ulysses.seal@ci.minneapolis.mn.us * Wavzata Fire Dept * MaDle Grove Fire Dept. . Paul Klapprich, Chief k Chanhassen Fire Dept. Scott Anderson, Chief 600 Rice St. John Wolff, Chief 9101 Fembrook Lane Wayzata, MN 55391 7610 Laredo Dr., Box 97 Maple Grove, MN 55311 (952) 404-5337 Chanhassen, MN 55317 (763) 494-6081 Pager: (612) 650-4312 (952) 934-9191 Fax: (763) 494-6421 Fax: (952) 404-5336 Pager: (612) 650-8294 Pager. city@wayzata.org Fax: (952) 934-2524 saanders@ci.maple-grove.mn.us chfirem@ci.chanhassen.mn.us * Members of MSFDA 4-11-2000 ,, AGENDA SECTION: CONSENT AGENDA ITEM # 41) REPORT # 142 • J REPORT PREPARED BY: NAME, TITLE • REPORT PRESENTER: STAFF REPORT CITY COUNCIL MEETING JUNE 12, 2000 DEPARTMENT DIRECTOR REVIEW: REVIEWED BY CITY MANAGER: TOM FOLEY, TRANSPORTATION ENGINEER MIKE EASTLING, PUBLIC WORKS DIRECTOR NAME, TITLE SIGNATURE ITEM FOR COUNCIL CONSIDERATION: Consideration of resolution supporting expenditure in excess of $5,000 by the 1-494 Corridor Commission for purposes of improved traffic in the area of Crosstown 62 and Highway 212, an area known as the "golden triangle." L RECOMMENDED ACTION: By Motion: Adopt a resolution authorizing execution of agreements entitled Traffic Study Reimbursement Agreement and Golden Triangle Reimbursement Agreement, both by and between the City of Eden Prairie and the 1-494 Corridor Commission. II. BACKGROUND The 1-494 Corridor Commission is a Joint Powers Organization (JPO) representing the transportation system concerns of the seven cities of Bloomington, Eden Prairie, Edina, Maple Grove, Minnetonka, Plymouth and Richfield. The mission of the 1-494 Corridor Commission is to promote the improvement of 1-494 infrastructure from the Minnesota River to 1-94 in order to increase its people-moving capacity and to improve mobility for businesses and residents throughout the region. The 1-494 Corridor Commission has been working with the Metropolitan Council and the Minnesota Department of Transportation (MnDOT) on a Travel Demand Management (TDM) Demonstration project. Travel Demand Management seeks to reduce the number of vehicles used during peak hours on congested roadways. It tries to 0612GoldenTriangle encourage carpooling, transit, flexible work hours and other ways to reduce vehicular traffic. The City of Eden Prairie has expended funds for TDM in the area known as the "Golden Triangle" which is located between Crosstown 62 and 1-494, and approximately between Highway 169 and Highway 212 (See attached map). The 1-494 Corridor Commission approved the "pass through" of funds at its May 3 meeting. The pass through of funding from the 1-494 Corridor Commission to the City of Eden Prairie is to reimburse the City for funds expended for the Golden Triangle Transportation Management Association (TMA) Director and to conduct a traffic study in the Golden Triangle area. III. BASIS OF RECOMMENDATION I A. POLICY Article 6, Paragraph 6.12 of the Joint Powers Agreement for the 1-494 Corridor Commission authorizes the 1-494 Corridor Commission to enter into contracts deemed necessary by the Commission to carry out its powers and duties, except that all contracts for an amount exceeding $5,000 shall be approved by at least five Parties. B. CRITICAL ISSUES I • If the members cities of the 1-494 Corridor Commission do not take action authorizing execution of the agreements and expenditure of an amount in excess of $5,000, the City of Eden Prairie will not be reimbursed for its costs related to TDM in the "Golden Triangle". • The proposed Travel Demand Management study will test strategies needed to limit the growth of traffic along 1-494 C. FINANCIAL • The City of Richfield pays ten cents per capita annually to the 1-494 Corridor Commission and the Commission receives federal funding to provide technical assistance to cities and businesses on Travel Demand Management (TDM) and to promote improvements to 1-494. D. LEGAL • N/A IV. ALTERNATIVE RECOMMENDATION(S) Do not confirm the Agreements. However, because the Commission has approved the Agreements, the lack of confirmation from member cities could pose a problem for the Commission and the City of Eden Prairie in their ability to implement the proposed Travel Demand Management study. V. ATTACHMENTS • Resolution. • Map of Golden Triangle area of Eden Prairie VI. PRINCIPAL PARTIES EXPECTED AT MEETING 0 None. RESOLUTION NO. RESOLUTION AUTHORIZING EXECUTION OF AGREEMENTS ENTITLED TRAFFIC STUDY REIMBURSEMENT AGREEMENT AND GOLDEN TRIANGLE REIMBURSEMENT AGREEMENT, BOTH BY AND BETWEEN THE CITY OF EDEN PRAIRIE AND THE 1-494 CORRIDOR COMMISSION WHEREAS, the City of Richfield is a party to that certain Joint and Cooperative Agreement establishing the 1-494 Corridor Commission; and WHEREAS, Article 6, Paragraph 6.12 authorizes the 1-494 Corridor Commission to enter into contracts deemed necessary by the Commission to carry out its powers and duties, except that all contracts for an amount exceeding $5,000 shall be approved by at least five Parties; and WHEREAS, the 1-494 Corridor Commission desires to enter into a Traffic Study Reimbursement Agreement with the City of Eden Prairie pertaining to a traffic study for the. Eden Prairie Golden Triangle Area, and a Golden Triangle Reimbursement Agreement with the City of Eden Prairie whereby the City would hire on behalf of the Commission an Executive Director for the Golden Triangle Transportation Management Association; and WHEREAS, it is anticipated that both Agreements will exceed $5,000 in cost. NOW THEREFORE, BE IT RESOLVED that the City of Richfield hereby authorizes the 1-494 Corridor Commission to enter into those certain agreements entitled Traffic Study Reimbursement Agreement and Golden Triangle Reimbursement Agreement both by and between the City of Eden Prairie and the 1-494 Corridor Commission. Adopted by the City Council of the City of Richfield, Minnesota this 12th day of June, 2000. Martin J. Kirsch, Mayor ATTEST: Thomas P. Ferber, City Clerk • v Zltrati6 e "AYea (GT.,) Project GTA Map D4INNE'TONKA ..? P"" nov itle lomme• MW VAW&ftnW%p" Aw ?? i?r.414rav?ti, . ? .- ® V. %.W. 0 • Tw'd jama.?a) tome • OweroaNw down . ttssep " 4MOAMr on m.aa wr . t.r tat e.Onvtna¦.t ueuerrl 35 so" oft* 1 we Geti?uroa - u ?sw ' at , T RAEMAR t9[ AGENDA SECTION: Consent AGENDA ITEM # 4C REPORT # 141 STAFF REPORT wMam CITY COUNCIL MEETING JUNE 12, 2000 KATIA MEDVETSKI, REPORT PREPARED BY: 'REDEVELOPMENT SPECIALIST NAME, TITLE BRUCE PALMBORG, REPORT PRESENTER: COMMUNITY DEVELOPMENT DIRECTOR NAME, TITLE DEPARTMENT DIRECTOR REVIEW: REVIEWED BY CITY MANAGER: ITEM FOR COUNCIL CONSIDERATION: Consideration of two resolutions establishing just compensation and authorizing the purchase of two single family homes located at 1700 East 66th Street and 1708 East 66th Street for the 66thStreet / TH 77 Interchange Project. I. RECOMMENDED ACTION: By Motion: Approve two resolutions establishing just compensation and authorizing the purchase of 1700 East 66th Street and 1708 East 66th Street for the 66thStreet /TH 77 Interchange Project. II. BACKGROUND On February 28, 2000, the City Council approved a Right of Way Agreement with the Metropolitan Airports Commission (the "MAC") which provides for the acquisition of properties impacted by the expansion of 66th Street and Trunk Highway 77 (the "Project"). Two single family homes located at 1700 East 66th Street and 1708 East 66th Street are necessary acquisitions for the Project. • Appraisal reports were prepared for the real estate and reviewed by the City's review appraiser. MAC has provided the final review for the real estate and has recommended just compensation in the following amounts: 0612justcomp Property Address 1700 East 66th Street 1708 East 66th Street Fair Market Value $128,000 $124,000 In addition to the above, the property owners may also be eligible for relocation benefits. The relocation benefits will be calculated separately once an offer is made to the property owner in accordance with the Uniform Relocation Act. Attached are the resolutions for review. III. BASIS OF RECOMMENDATION I A. POLICY • The subject property has been identified for purchase for the project. • The Memorandum of Understanding between the City, the Minnesota Department of Transportation (the WNDOT"), and MAC outlines the responsibilities for each participating agency. • The Agreement between the City and MAC further outlines the responsibilities of each agency as to property acquisition and construction. • Right of Way acquisition procedures set forth by MNDOT are being followed. • B. CRITICAL ISSUES I • An offer will be made to the homeowners upon Council's approval of just compensation. • One of the homeowner's is already within a contingency period under a replacement home's purchase agreement. I C. FINANCIAL MAC is obligated to fund this transaction. D. LEGAL I • There are no pending issues at this time on this matter. E. TIMING I • If the offer, which is based on just compensation, is accepted, the City could potentially have title to the subject property in 30 days. • Based on other right of way acquisition projects, it is standard operating procedure to allow homeowners to remain in the property to coordinate moving activities. • The City may need to charge rent to homeowners if they choose not to deliver possession to the City on the date of closing. • I IV. ALTERNATIVE RECOMMENDATION(S) I • Delay approval of the just compensation. • Do not approve just compensation and property acquisition. V. ATTACHMENTS • Resolution establishing just compensation and authorizing the purchase of • 1700 East 66th Street. • Resolution establishing just compensation and authorizing the purchase of 1708 East 66th Street. VI. PRINCIPAL PARTIES EXPECTED AT MEETING • None. 0 0 RESOLUTION NO. RESOLUTION ESTABLISHING JUST COMPENSATION AND AUTHORIZING PURCHASE OF REAL PROPERTY LOCATED AT 1700 EAST 66TH STREET WHEREAS, the City of Richfield, Minnesota desires to purchase certain real property pursuant to and in furtherance of the 66th Street/TH 77 Interchange Project (Project) heretofore adopted by the City of Richfield (City) said real property being described as follows: Lot 4, Block 4, Iverson's 3rd Addition, Hennepin County, Minnesota Together with all abutting streets and alleys, vacated or to be vacated, and all easements, gaps, overlaps and gores, appurtenant thereto; and WHEREAS, the City has adopted a layout for Project improvements; and WHEREAS, the Project improvements necessitate the purchase of real property; and WHEREAS, the City is authorized by Minnesota Statutes to acquire real property within its corporate boundaries; and WHEREAS, the Metropolitan Airports Commission (MAC) is initially funding the Project; and WHEREAS, the City has caused appraisals for the subject property to be made by qualified independent professional appraisers to determine fair market value of real estate; and WHEREAS, a qualified review appraiser has certified the appraisal reports as being in conformity with appraisal standards; and WHEREAS, MAC has reviewed the appraisal report and review appraisal report prepared for the subject property and has recommended that the just compensation for the real estate be determined by the City Council to be $128,000; and WHEREAS, MAC has also recommended that the City proceed to make an offer to the owner of the subject property in the above stated just compensation amounts; and WHEREAS, the above stated just compensation amounts are consistent with said appraisal reports and review appraisal reports. 0 NOW, THEREFORE, BE IT RESOLVED by the City Council of the City of Richfield, Minnesota as follows: • 1. That the total just compensation for the above described real estate is determined to be $128,000. 2. That the City's agent, Conworth, Inc. is authorized and directed to submit to the property owner the City's offer to pay such just compensation amount for all interest in the subject property and commence negotiations for the purchase of said property. 3. That the City's agent, Conworth, Inc. is hereby directed to notify, in writing, the owners of the subject property that the City intends to acquire this property and establish eligibility for relocation benefits. 4. That the City Manager and Mayor are authorized to execute purchase agreements in a form acceptable to them and take all other actions necessary to complete the purchase of the property for the amount of just compensation set forth in this resolution. Adopted by the City Council of the City of Richfield, Minnesota this 12th day of June, 2000 Martin J. Kirsch, Mayor ATTEST: Thomas P. Ferber, City Clerk 40 RESOLUTION NO. RESOLUTION ESTABLISHING JUST COMPENSATION AND AUTHORIZING PURCHASE OF REAL PROPERTY LOCATED AT 1708 EAST 66TH STREET WHEREAS, the City of Richfield, Minnesota desires to purchase certain real property pursuant to and in furtherance of the 66th Street/TH 77 Interchange Project (Project) heretofore adopted by the City of Richfield (City) said real property being described as follows: Lot 3, Block 4, Iverson's 3rd Addition, Hennepin County, Minnesota Together with all abutting streets and alleys, vacated or to be vacated, and all easements, gaps, overlaps and gores, appurtenant thereto; and WHEREAS, the City has adopted a layout for Project improvements; and WHEREAS, the Project improvements necessitate the purchase of real property; and WHEREAS, the City is authorized by Minnesota Statutes to acquire real property within its corporate boundaries; and WHEREAS, the Metropolitan Airports Commission (MAC) is initially funding the Project; and WHEREAS, the City has caused appraisals for the subject property to be made by qualified independent professional appraisers to determine fair market value of real estate; and WHEREAS, a qualified review appraiser has certified the appraisal reports as being in conformity with appraisal standards; and WHEREAS, MAC has reviewed the appraisal report and review appraisal report prepared for the subject property and has recommended that the just compensation for the real estate be determined by the City Council to be $124,000; and WHEREAS, MAC has also recommended that the City proceed to make an offer to the owner of the subject property in the above stated just compensation amounts; and WHEREAS, the above stated just compensation amounts are consistent with said appraisal reports and review appraisal reports. 0 NOW, THEREFORE, BE IT RESOLVED by the City Council of the City of Richfield, Minnesota as follows: • 1. That the total just compensation for the above described real estate is determined to be $124,000. 2. That the City's agent, Conworth, Inc. is authorized and directed to submit to the property owner the City's offer to pay such just compensation amount for all interest in the subject property and commence negotiations for the purchase of said property. 3. That the City's agent, Conworth, Inc. is hereby directed to notify, in writing, the owners of the subject property that the City intends to acquire this property and establish eligibility for relocation benefits. 4. That the City Manager and Mayor are authorized to execute purchase agreements in a form acceptable to them and take all other actions necessary to complete the purchase of the property for the amount of just compensation set forth in this resolution. Adopted by the City Council of the City of Richfield, Minnesota this 12th day of June, 2000 Martin J. Kirsch, Mayor ATTEST: Thomas P. Ferber, City Clerk 0 AGENDA SECTION: Consent AGENDA ITEM # 4$ REPORT # 140 JUNE 12, 2000 • REPORT PREPARED BY: REPORT PRESENTER: STAFF REPORT CITY COUNCIL MEETING DEPARTMENT DIRECTOR REVIEW: STEVEN L. DEVICH, ADMINISTRATIVE SERVICES DIRECTOR NAME, TITLE STEVEN L. DEVICH, MINISTRATIVE SERVICES DIRECTOR NAME, TITLE voo? SIGNATURE REVIEWED BY CITY MANAGER: ITEM FOR COUNCIL CONSIDERATION: Consideration of publishing a Notice of Intent to Franchise a Cable Communication System 1. RECOMMENDED ACTION: By Motion: Authorize the official publication of a Notice of Intent to Franchise a Cable Communications System. • II. BACKGROUND The City has received a written request from WideOpenWest ("WOW') and Everest Communications ("Everest") for a franchise to construct, operate and maintain a cable communications system in the City. Pursuant to both requests, Brian Grogan, Attorney for the Southwest Suburban Cable Commission (SWSCC), has prepared the attached documentation to process the City's consideration of the grant of additional cable television franchises: 1. Timeline for Processing Request for a Cable Television Franchise; 2. Notice of Intent to Franchise, required pursuant to Minnesota Statutes section 238.081, subd. 2; 3. A Request for Proposals, required pursuant to Minnesota Statutes 238.081, subd. 4; and 4. Notice of Public Hearing. 0612000able These documents have been prepared to comply with the franchising procedure • required under state law and have been carefully reviewed by the Southwest Suburban Cable Commission ("Commission"). The Commission has approved and endorsed the documents at its full commission meeting on May 24, 2000. These documents have also been reviewed by City staff and found to be acceptable. Staff recommends that the City Council review the documents and, if found acceptable, authorize the official publication of the Notice of Intent to initiate the statutory process for consideration of implementation of a franchising process. III. BASIS OF RECOMMENDATION A. POLICY The SWSCC approved the process and documents used to respond to this franchising process. Each of the five member Cities of the SWSCC must act on this process. B. CRITICAL ISSUES • Interested parties may obtain copies of the Request for Proposals and related franchise documentation as described in the Notice. The City • should thereafter follow the procedure outlined in the Notice of Intent which is derived from state law. • It is important to emphasize that the City is only considering the implementation of the state statutory franchising process at this time. There will be a public hearing before the City Council on this matter later this summer and no entity will be permitted in the City's right-of- way until the City Council considers award of a cable television franchise in the Fall of 2000. C. FINANCIAL • The cost of the franchise application process will be funded equally by the applicants. • More franchises in the City may provide the City with greater revenues as well as more public/government access services and features. D. LEGAL • The attorney for the SWSCC has carefully drafted the franchising documents that are derived substantially from the procedure outlined in state statutes. • If applications are submitted by entities which possess the requisite legal, technical and financial qualifications, the City will likely be required to grant one or more additional franchises. Federal and state • law prohibit a municipality from preventing otherwise qualified entities from providing cable television and/or telecommunications services unless they lack the requisite qualifications or otherwise fail to comply with the franchising procedures. • I IV. ALTERNATIVE RECOMMENDATION(S) None V. ATTACHMENTS • SWSCC Prepared documents 1. Timeline 2. Notice of Intent to Franchise 3. Request for Proposals 4. Public Hearing Notice VI. PRINCIPAL PARTIES EXPECTED AT MEETING • None. 0 0 City of Richfield, Minnesota Timeline for Processing Request for a Cable Television Franchise --subject to change in City's sole discretion-- Date Procedural Tasks To Be Completed May 24, 2000 Meeting of Southwest Suburban Cable Commission and any other interested parties to review process, law, concerns June 12, 2000 City considers publication of Notice of Intent to Franchise June - August Commission begins negotiations regarding franchise terms with prospective applicants. June 21 and 28, 2000 City publishes Notice of Intent to Franchise once each week for two (2) successive weeks in local newspaper (Notice also mailed directly to Time Warner, WOW, Everest, Seren and other applicants) July 14, 2000 July 14 - August 2, 2000 July 24, 2000 August 2, 2000 August 2, 2000 August 9, 2000 August 28, 2000 Late September - Early October October-November 0 Closing date for submission of Applications (must be at least 20 days from date of first publication) Consideration of Franchise Application City meets to call Public Hearing City publishes Notice of Public Hearing - 10 to 14 days before conduct of hearing Preparation of report by Moss & Bamett regarding qualifications of Applicants Southwest Suburban Cable Commission meets to consider Applicant's qualifications and Moss & Barnett report - issue recommendation to Member Cities City conducts Public Hearing regarding Franchise Applications - considers resolution regarding qualifications. City Council considers award of Franchise to successful applicant(s) - must be at least 7 days after Public Hearing - no time limit on when action must be taken. Successful applicants accept franchise document and submit required closing documentation - typically within 30 days of grant of franchise 334146/1 0 NOTICE BY THE CITY OF RICHFIELD, MINNESOTA OF ITS INTENT TO FRANCHISE A CABLE COMMUNICATIONS SYSTEM Notice is hereby given that it is the intent of the City Council of the City of Richfield, Minnesota, to consider the grant of an additional franchise(s) for the purpose of constructing a cable communications system to serve the City of Richfield, Minnesota. This notice is given in accordance with the requirements of Minnesota Statutes Section 238.081. Applications shall be submitted in response to this Notice and to a Request for Proposals and Proposed Franchise Documents available on request in the office of the Assistant City Manager, City Hall, 6700 Portland Avenue, Richfield, Minnesota 55423, phone: 612-861-9702. A. The deadline for submitting applications is July 14, 2000. B. Applications shall be in writing, notarized, in a format consistent with the Request for Proposals, and sealed with ten (10) copies enclosed. Two (2) additional copies of the application must be sent to the attention of Mr. Brian T. Grogan at Moss & Barnett, 4800 Norwest Center, 90 South Seventh Street, Minneapolis, MN 55402, who will be providing assistance to the City on this matter. Each application shall include a nonrefundable application fee of Seven Thousand Five Hundred Dollars ($7,500) in the form of a certified check made payable to the City of Richfield, Minnesota. The applications shall be delivered to the attention of the Assistant City Manager, City Hall, 6700 Portland Avenue, Richfield, Minnesota 55423, phone: 612-861-9702. Applicants are hereby on notice that any and all costs incurred by the City and the Southwest Suburban Cable Commission, of which the City is a member, with respect to the franchise procedure and franchise award which are not covered by the $7,500 application fee shall be recovered from applicant. C. Applicants are requested to be present at a public hearing before the City Council, that is presently scheduled to be held at City Hall, beginning at 7:00 p.m. on August 28, 2000. Each applicant will be given time to summarize its application. The City Council may then continue the public hearing to permit further review of the application before a final decision is made to select qualified applicants. D. The Request for Proposals and Proposed Franchise Documents set forth in detail the expectations of the City of Richfield, Minnesota and the requirements of the content of the franchise proposal and are made in conformance to the requirements of Minnesota Statutes Section 238.081, subd. 4. E. The desired system design and services to be offered are identified in the Proposed Franchise Documents attached to the Request for Proposals and include a system serving the entire City of Richfield, Minnesota with a reasonable line extension policy; flexibility to increase channel capacity; public, educational and governmental access channels supported by the operator; reasonable rates; a mix, level and quality of programs and services comparable to other systems and customer services and maintenance plans to ensure the highest degree of service 334188/1 to the subscriber. The Request for Proposals and Proposed Franchise Documents provide further details of the desired system design and services to be offered. F. The criteria for evaluating the applications and priorities for selection are as follows: 1. The completeness of applications, conformance to Request for Proposal, and Proposed Franchise Documents; 2. The system design; 3. The programs and services offered initially and criteria for adding programs and services; 4. The initial service area and the line extension policy; 5. The time for construction; 6. Customer service policies and system testing; 7. The legal, technical, and financial qualifications of the applicant; and 8. The proposal for community services, including public, educational, and governmental access. H. Applications which meet the above criteria in the opinion of the City Council shall be considered for a franchise. 1. The applicant(s) selected by the City Council will be required to accept the Franchise Documents granted within thirty (30) days after adoption and will also be required to reimburse the City of Richfield for any and all expenses not covered by the application fee, as provided for by Minnesota Statutes Section 238.081, subd. 8. I Applicants are advised that the City of Richfield is member of a joint powers entity, the Southwest Suburban Cable Commission ("Commission") which will provide input and recommendations to the City regarding this process. The Commission consists of the following cities: Edina, Eden Prairie, Hopkins, Minnetonka, and Richfield each of which has previously granted identical franchises to KBL Cablesystems of the Southwest, Inc., d/b/a Time Warner. K. All questions concerning this request should be directed to Mr. Steve Devich, Assistant City Manager, City Hall, 6700 Portland Avenue, Richfield, Minnesota 55423, phone: 612-861-9702 or Mr. Brian T. Grogan, Moss & Barnett, P.A., 4800 Norwest Center, 90 South Seventh Street, Minneapolis, Minnesota 55402- 4129, phone (612) 347-0340, the Commission's legal advisor regarding this process. • 334188/1 2 0 Date: , 2000 City Clerk Publish in: on , 2000 and 2000. Affidavit of Publication required for each publication. • 0 334188/1 EXHIBIT A 0 REQUEST FOR PROPOSALS OFFICIAL APPLICATION FORM 0 • 334188/1 A-1 . EXHIBIT B PROPOSED FRANCHISE DOCUMENTS • 334188/1 B-1 • CITY OF RICHFIELD, MINNESOTA REQUEST FOR PROPOSALS OFFICIAL APPLICATION FORM JUNE .2000 Applicants interested in submitting a proposal for a cable communications franchise shall submit the following information as required by Minnesota Statutes Section 238.081(subd. 4) to the City of Richfield, Minnesota on or before July 14, 2000. A. Plans for channel capacity, including both the total number of channels capable of being energized in the system and the number of channels to be energized immediately. B. A statement of the television and radio broadcast signals for which permission to carry will be requested from the Federal Communications Commission. C. A description of the proposed system design and planned operation, including at least the following items: 1. The general area for location of antenna and headend, if known; 2. The schedule for activating and two-way capacity; 3. The type of automated services to be provided; 4. The number of channels and services to be made available for access cable broadcasting; and 5. The schedule of charges for facilities and staff assistance for access cable broadcasting. D. Terms and conditions under which particular service is to be provided to governmental and educational entities. E. A schedule of proposed rates in relation to the services to be provided and a proposed policy regarding unusual or difficult connection of services. F. A time schedule for construction of the entire system with the time sequence for wiring various portions of the City of Richfield, Minnesota. G. A statement indicating the applicant's qualifications and experience in the cable communications field, if any. H. An identification of the municipalities in which the applicant either owns or operates a cable communications system, directly or indirectly, or has outstanding franchises for which no system has been built. 1. Plans for financing the proposed system, which must indicate every significant anticipated source of capital and significant limitations or conditions with respect to the availability of the indicated sources of capital. This information shall include the following: 334195/1 1. List and describe all financial resources (committed or otherwise) which the applicant proposes to use in constructing and operating the system. Committed financial resources may include, but are not limited to: bank financing; existing capital reserves; capital calls (or equivalent rights) under definitive governance documents of the applicant; operating surplus to be generated from operating activities; or resources generated through the issuance of debt or equity securities. 2. With respect to each of the sources described in 1 above, provide supporting documentation (such as a commitment letter from a financial institution; copies of definitive governance documents; terms sheet for debt or equity securities... ) establishing the total resources available and the amount of resources appropriated for the cable franchise operations, if different from total funds available. 3. To the extent any of the financing sources described in 1 above have limitations or conditions imposed by such financing source on availability, use or other restrictions which could reasonably be expected to adversely affect the availability of such financial resources for use by the applicant, describe in detail: (a) each such limitation or condition; (b) the means the applicant intends to employ in order to satisfy each such limitation or condition; (c) a projection as to when such conditions or limitations will be satisfied (to the extent practical); (d) any contingent sources of capital or financial resources which may be sought in the event such conditions or • limitations are not met; and (e) the reasonably foreseeable effect of the loss of each such source of financing on the applicant's ability to meet its obligations to the City. 4. Provide a detailed budget or other financial forecast which identifies the total capital resources which the applicant projects will be required to construct and operate the cable franchise system in the City for the lesser of five (5) years or until the applicant otherwise projects that the cash deficit from operations will be reduced to zero, including a summary of the material assumptions employed in such forecast or budget. 5. Provide financial statements (balance sheet, statement of operations and statement of cash flow) for each of the two immediately preceding fiscal years, together with the most current set of financial statements for the current fiscal year, all prepared in conformity with generally accepted accounting principles (except as noted). I A statement of ownership detailing the corporate organization of the applicant, if any, including the names and addresses of officers and directors and the number of shares held by each officer or director, and intercompany relationship, including the parent, subsidiary or affiliated company. K. A notation and explanation of omissions or other variations with respect to the requirements of the proposal. 334195/1 2 L. Plans for construction and use of right-of-way, as follows: 1. Describe the level of interference landowners will experience with the installation of equipment by the applicant. 2. Describe what steps the applicant is planning to take to mitigate how long the installation of the equipment will take. 3. Describe what steps the applicant is planning to take to inform residents of the equipment installation and any safety concerns or safety measures related thereto. 4. What percent of equipment does the applicant anticipate will be installed above-ground and what percent underground? 5. To what extent does the applicant anticipate the need to detour traffic or close certain roads, sidewalks, or other rights-of-way to accommodate construction or installation of equipment. 6. What steps is the applicant planning to take to minimize destruction of public and/or private property during construction and installation? 7. Will the applicant agree to pay for any and all costs to repair public and/or private property to as good a condition as its was prior to construction and installation? 8. Where does the applicant intend to store its equipment during construction, • and what measures will it be taking to keep conditions safe from children, traffic or any other persons who may go near it. 9. What will the applicant do with the equipment during the winter months when construction may be delayed or temporarily discontinued? 10. Does the applicant believe it will be able to collocate its equipment with that of existing cable companies, and what steps has and will the applicant take to determine the feasibility of collocation? 11. Is the applicant committed to collocate its equipment if technically feasible? 12. What steps does the applicant take to secure cable and equipment so there is minimal aesthetic interference? Substantive amendments may not be made to a proposal after a proposal has been submitted to the City of Richfield, Minnesota and before the award of a franchise. All proposals must be notarized and must include detailed responses to the above information requests, as well as the information requested in the Notice by the City of Its Intent to Franchise a Cable Communications System, attached hereto as Attachment A The City of Richfield, Minnesota reserves its rights to request additional information of applicant at any time during this process. • 334195/1 3 Applicants are advised that KBL Cablesystems of the Southwest, Inc., d/b/a Time Warner Cable, currently provides cable television service throughout the City of Richfield, Minnesota, pursuant to Ordinance No. 1996-27 which became effective on or about January 1, 1997, and which will expire on or about January 1, 2012. Applicant's proposal should identify changes in Ordinance No. 1996-27 which applicant requests be adopted and the substantive basis for applicant's request. Applicants are advised that Ordinance No. 1996-27 will serve as the basis on which a franchise may granted to any qualified applicant. Any questions regarding this Request for Proposals or the exhibits attached hereto may be directed to Mr. Steve Devich, Assistant City Manager, City Hall, 6700 Portland Avenue, Richfield, Minnesota 55423 or Mr. Brian Grogan, Moss & Barnett, 4800 Norwest Center, 90 South Seventh Street, Minneapolis, MN 55402.. • • 334195/1 4 ATTACHMENT A NOTICE BY THE CITY OF ITS INTENT TO FRANCHISE A CABLE COMMUNICATIONS SYSTEM 0 • 334195/1 A-1 PUBLIC HEARING NOTICE CITY OF RICHFIELD, MINNESOTA NOTICE IS HEREBY GIVEN that the City of Richfield, Minnesota will hold a hearing on August 28, 2000 at 7:00 p.m., or as soon thereafter as the matter may be heard, to consider the applications received for a cable franchise. The public hearing will be held at the Richfield City Hall, 6700 Portland Avenue, Richfield, Minnesota 55423. All interested parties are invited to attend and voice their opinions. Written statements may be submitted at or before the public hearing. ie City Clerk [DATE] • 334946/1 A AGENDA SECTION: Consent AGENDA ITEM # 4A REPORT# 139 JUNE 12, 2000 • ITEM FOR COUNCIL CONSIDERATION: REPORT PREPARED BY: REPORT PRESENTER: STAFF REPORT CITY COUNCIL MEETING STEVEN L. DEVICH, ADMINISTRATIVE SERVICES DIRECTOR NAME, TITLE STEVEN L. DEVICH, ADMINISTRATIVE SERVICES IRECTOR NAME, TITL SIGNATURE DEPARTMENT DIRECTOR REVIEW: REVIEWED BY CITY MANAGER: Consideration of resolution authorizing reduction in Time Warner System Performance Bond for system upgrade I. RECOMMENDED ACTION: By Motion: Approve a resolution authorizing a reduction in the performance bond required of Time Warner for the system upgrade of the cable television system in Richfield. IL BACKGROUND The Cable TV Franchise Ordinance drafted by the Southwest Suburban Cable Commission (SWSCC) for the five participating cities included a provision that Time Warner upgrade the system to 750 MHz cable system by December 31, 1999. In the SWSCC Cable Franchise Agreement, Section 10.3 required Time Warner to maintain a $300,000 bond with each City through the completion of the upgrade. Upon the completion of the system upgrade, each City has the sole discretion to reduce the bond to the sum of $100,000. Time Warner has come to the SWSCC and each member City, including Richfield, to request that the bond be reduced to $100,000 since the system upgrade has been completed. The SWSCC believes that the requirement to maintain the CableBond $300,000 bond is no longer needed and each City should act to consider reducing the bond to $100,000. III. BASIS OF RECOMMENDATION A. POLICY The bond requirement was inserted in to the Franchise Agreement to provide a further incentive for Time Warner to complete the upgrade in a timely manner. • The SWSCC believes that the system upgrade is now complete and customers, such as Richfield residents, now have the opportunity to purchase services through the upgraded system. B. CRITICAL ISSUES • The system in Richfield is now complete according to Time Warner and as such, it would be appropriate to consider reducing the bond at this time. C. FINANCIAL There is no financial impact to the City in reducing the bond once the system upgrade has been completed. D. LEGAL • Representations have been made to the SWSCC and the City of Richfield by Time Warner officials that the upgrade for our community is complete. Even with the reduced bond amount, if those representations are found to be inaccurate, the City would have other legal recourse. IV. ALTERNATIVE RECOMMENDATION(S) Do not give authorization to reduce the bond at this time. V. ATTACHMENTS • Resolution • Memo from Brian Grogan, SWSCC Attorney • Letter from Arlen Mattern, Time Warner VI. PRINCIPAL PARTIES EXPECTED AT MEETING None. 0 RESOLUTION NO. RESOLUTION AUTHORIZING REDUCTION IN TIME WARNER SYSTEM UPGRADE PERFORMANCE BOND FROM $300,000 TO $100,000 WHEREAS, the City of Richfield is a member of the Southwest Suburban Cable Commission (SWSCC); and WHEREAS, the SWSCC cable franchise ordinance approved by all member cities including Richfield includes a requirement that Time Warner provide a $300,000 performance bond through the completion of the system upgrade; and WHEREAS, each member City has the sole discretion and authority to reduce the performance bond amount to $100,000 upon the completion of the system upgrade; and WHEREAS, Time Warner has informed the SWSCC that the system upgrade has been completed; and WHEREAS, the SWSCC believes the upgrade is complete based upon representations made by Time Warner and has asked each member City to review this matter. NOW, THEREFORE, BE IT RESOLVED that the City Council of the City of Richfield hereby authorizes the reduction of the Time Warner system upgrade performance bond from $300,000 to $100,000. Adopted by the City Council of the City of Richfield, Minnesota this 12th day of June, 2000. Martin J. Kirsch, Mayor ATTEST: Thomas P. Ferber, City Clerk 0 May-30-00 DtXpm From-MOSS & BARNETT +4000 T-559 FAUU3 r-50 MOSS & BARNETT A Professional Association • MFMORANPUM TO: City Representatives and Staff FROM: Brian Gfggan, Moss & Barnett DATE. May 30, 2000 RED Cable Franchise Ordinance r Bond Requirement Per the attached letter dated May 11, 2000, Time Warner Cable has requested that the $300,000 bond required under Section 10.2 of each city's Franchise Agreement Ordinance C'Franchise") be reduced to $1-0G,000-as contemplated in the franchise. The above-referenced matter was discussed at the Southwest Suburban Cable Commission C'Commission"} meeting field-an May 24, 2000 The provisions in the Franchise require that when system construction is complete the bond will be reduced back down.to a lower level. Each City could hire an engineer to verify, that -the construction is complete or each City could simply accept Time Warner's stipulation that they have completed construction as evidenced by the fact that they areproviding:.the advanced services promised Based on Time Warner's representation that the construction ha been completed, the Commission voted to recommend reducing. the bond from $300,000 to 100,000 as contemplated by the franchise documents. We. recommend tftat-each.City place TY4,item on its agenda to reduce the bond from $300,000 to $100,000. Enclosure 338441/1 0 May-30-00 .92:48pm from-MOSS & BARNETT +4900 T-858 P-03/03 F-821 r, 4r 1 2D0Q s CABLE May 11, 2000 Mr. Brian Grogan SWSCC Administra V14oss & Barnett, P_A. 4800 Norwest Center 9 South Seventh Street iiineapolis, MN 55402-4129 Dear Brian: As you know, Tirrte Warner Cable gompleted the upgrade in the Southwest Suburbs to a 750 MH2 cable system by December 3-1,.1999 as was required by the cable franchise ordinance. The Southwest Cable. Franchise Agreement,. Section. 103, under the General Financial and Insurance Provisions, required Time Warner Calikto=aintain with cub city a bond in the sum of $300,000 through the -completion of the upgrade work in the Southwest Suburbs. Upon completion of the system.upgrade= each city at its-soic diseretion.miLy: a the bond to the sum of $100;000. We believe we have reached the point-where-the. requirement to maintain the $300,000 bond is no longer needed. We would.like tbe-Southwest Suburban cities to consider our proposal to lower the-bond to the sum of $100,000 as the franchise ordinance would allow. I hope to bear from-you,° soorr regarding this proposal. If you have any further questions or concerns, please contact me at (612) 287-3659. If you have any questions-or_concerns, -please call us at (612) 287-3659. Sincerely, Arlen Matters Public Affairs Administrator Cc: Chris Enger, City of Eden Prairie Gordon Hughes, City of Edina Jim Genrllie, City of Hopkins David Childs, City of Minnetonka Steve Devrch, City of Richfield 0 ?&