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01-26-87 agenda R CITY OF RICHFIELD, MINNESOTA Council Letter No. 30 Agenda January 26, 1987 Issue Statement: Selection of a developer for the Graham Avenue area site. Background: The HRA has been presented with three development concepts for the Graham Avenue site. Proposals were made by Walker Methodist., Trestman-Shaller, and Tushie-Derrick. Near the end of December, 1986, Walker Methodist withdrew their proposal. The Trestman- Shaller proposal was withdrawn at the public meeting on January 21, 1987. The Tushie-Derrick proposal for a mixed use development known as Landmark Center remains. Recommendation: It is recommended that staff be authorized to initiate negotiations on behalf of the HRA with the developers of the proposed Landmark Center and that staff request the City Council to concur in the selection of Tushie-Derrick as developer and authorize negotiations on their behalf. Basis for Recommendation: 1. Landmark Center is a development concept which is appropriate for the site. The approximate distribution of floor area usage is 10.5% residential, 12.5% retail, 14.4% office- medical, 43.7% garage, 13.3% VFW, and 5.6% miscellaneous usage. The mixed use proposal would be well suited for the area. 2. There is a market for additional office and retail space. 3. The below market rent housing would help the community achieve a long sought goal. 4. All of these uses are contained within a structure which is sensitively and attractively designed. 5. The tax increment to be generated from this site, while not a primary consideration, is favorable. 6. Using parking generation data published by the Urban Land Institute and the Institute of Transportation Engineers, BRW, the city's planning consultant, has determined the number of spaces proposed to be adequate. 7. At the January 21 information meeting, Mr. Shaller, owner of Big Wheel Auto Parts and Mr. Trestman, owner of Trestman Music, indicated they have reached agreement with Tushie- Derrick regarding their future. Mr. Shaller has reaffirmed 1 retail store as a tenant his intent to operate a Big Whee mark Center. Mr. Trestman will relocate his business of. Land from the site. Both Mr. Shaller and Mr. Trestman would become partners in the .development. 8. The VFW also indicated their continued support for the concept. Their goal is not only to be a tenant, but also part owners of Landmark Center. 9. Mr. Rules, owner of the Cricket Photo facility, is also in support of the project, assuming he can remain on the site. ~ /3- i } Tushie-Derrick have worked out a tentative agreement with him as well as with the Lynch and Davis families for their property. 10. Preliminary traffic analysis indicates that with a modest level of improvements, the streets could carry the additional traffic. 11. Public utilities are adequate to handle the new building. Attached to this letter is the evaluation form initially presented to the HRA in October, 1986 and updated at each of the HRA meetings which followed. in November, December, and finally this month of January. (Exhibit A) Alternative Recommendation: 1. Reject. the Landmark proposal, and solicit for new redevelopment proposals which would exclude the LSD owned lot from the redevelopment. This parcel was originally purchased by the HRA and subse- quently sold to Knutson Construction Company for inclusion in the condominium site. At the time of the sale to Knutson, the HRA included restrictions in the deed which prohibited the owners from constructing any building on that site. The Condominium Association has filed a Declaration of Open Space Covenants and Easement against the property running in favor of each owner of the Lake Shore Drive Condominiums. Each owner has a perpetual, non-exclusive easement over the property. Reaching an agreement on this parcel may be difficult. Additionally, some residents of the Lake Shore Drive condominium hold the opinion that the city agreed to never permit any construction- on that site. Some condominium owners also believe that the HRA has a contractual obligation to offer for purchase the Davis/Lync h properties. There was such a provision in an agreement with Knutson Construction, but it expired on June 1, 1982. Presently, Tushie-Derrick has a purchase option for the two parcels, and the HRA will not obtain title to the property. 2. Reject the proposal on the basis of concerns of the Lake Shore Drive condominiums owners that construction of the Landmark building would have an adverse impact on their property. Residents from Lake Shore Drive have reported that their property values have decreased because of construction of Wood Lake Point and Market Towers. They fear that the Landmark Building would have a similar impact. A discussion with the city assessor indicated that he was • unaware of any such decreases. Lee Maxfield, the marketing specialist retained by the HRA, has expressed some concern about values. Brad Bjorklund, an independent appraiser ~.i~'- } consulting with the city, has indicated that it would be difficult to justify a decrease in value for Lake Shore Drive condominium units on the basis of construction by the .Landmark building. It should be noted, however, that as a result of the concerns initially expressed by Lake Shore Drive residents, the length of the east/west leg of the Landmark Center has already been shortened to minimize the impact on the condominiums. To illustrate-the ortion of the Landmark Buildin in relation P 9 to LSD, the proposed building site has been staked. Blue stakes indicate the most westerly portion of the building, which would be constructed on top of the parking facility. The red stakes indicate the westerly portion of the original plan. 3. Abandon efforts to rehabilitate the Graham Avenue area because of neighborhood opposition. A copy of a letter recently received from Mr. Russel Helleckson, President of Lake Shore Drive Condominium Association is attached. (Exhibit B) His letter raises a number of concerns regarding the proposed development of the Graham Avenue site. Staff's response is also attached. (Exhibit C) 4. Seek modifications to the Landmark proposal. Since the Landmark proposal is a mixed use, some aspects may be modified if there are particular problems with the proposed use. However, it is also likely that some aspects of the development cannot be modified without endangering the financial feasibility of the project. A summary of remarks made at a community meeting held on January 21, 1987 is attached. (Exhibit D). Only a portion. of the people who were to be invited received an invitation. Those people who were not invited to the meeting on January 21, 1987 have received an invitation to the HRA meeting on January 27, 1987, and have been invited to contact the staff if they wish to review any information prior to the January 27, 1987 meeting. Discussion/Decision Mode: The Tushie-Derrick proposal was first presented to the HRA on September 29, 1986, approximately four months ago. At each meeting since that time, there has been discussion of the conce t. Virtuall ever issue identified to date has been P Y Y examined. A final determination of some issues is appropriate only if designation of Tushie-Derrick as the developer is provided by the HRA. Some of the issues which require additional analysis include environmental assessment, traffic impact, value and purchase process for the lot owned by Lake Shore Drive, the amount of subsidy to be provided by the HRA, the amount of money the HRA is to receive in return for its assistance, the rent levels for the 48 units, the number of years rent is to be below market rate, rezoning of the site, and final design plans. /3 The City Council is requested to attend a joint meeting of the HRA in order that. they may indicate their opinion regarding this development proposal. The City Council will be asked to adjourn their meeting of 1/26 to 1/27 for this purpose. Respectfully submitted, Jame Prosser .City anager JDP/eja EXHIBIT A PROPOSAL: TUSHIE-DERRICK (LYNDAEE PARTNERS) 1. Development team: -identify memCers -experience with. similar projects -financial capaClity to ce determined Developer: Lyndale Partners (Tushie/Derrick/Shaller/Trestman Architect: Tushie Montgomery and Associates Contractor: Bossardt/C?~ristianson New partnership, memCers of the partnership have mixed use development experience in cooperation with local government. Thefinal membership is still Ceing determined. 2. Brief description of overall project and comments regarding building height, location, shadows, etc. I Copy of preliminary site plan and revised site plan, is attached. "Landmark Center" is a stepped 5 story mixed use development with five distinct uses: Office (31,700 square feet), VFW (48,600 square feet), residential (38,300 square feet), retail (45,600 square feet) medical (21,000 square feet), garage (159,600 square feet) and circulation space all. floors (14,000 square feet). Also included is 6,600 square feet of mechanical space. Total land area needed. for the project approximates 4.8 acres with the building set Cack from Tyndale Avenue and Lake Shore Drive to accommodate parking to the front. There are 282 surface parking stalls and 498 parking stalls within a privately owned ramp. The first level, primarily retail and VFW .uses, covers 55,100 square feet of floor area and is reduced to 24,900 square feet in the fifth level. The length of the east/west "leg" has been reduced to improve site lines and traffic circulation. With the reduction in length, none of the Lake Shore Drive units (LSD) would Ce in a shadow. Only a small portion of LSD site would be shadowed but this area is already in a shadow from the existing trees. All present uses would be relocated: VFW, Cricket Photo, Sig Wheel, Trestman, Lynch, and Davis. The vacant lot owned by the condominium would ~e needed for the development. 3. Site lines; on site, off site i It has been represented Cy the developer that the mature tree line closely .approximates the fourth level of the Cuilding. ~i However, it is not clear how many existing trees would remain.. Since the development would Ce built directly -sue adjacent tp LSD Condominium development, the screening, terming and planting that occurs to the. north side of the new building would be on LSD property for LSD to maintain. With. the new design, additional landscaping and plant materials have been added along the edge of the property line shared with LSD. The rear delivery driveway and receiving area would be screened wits a canopy. An intended use restriction would prevent large semi truck trailers from servicing the development. =ighteen feet of green space is provided along Lyndale with the new Cricket Photo located within a corner plaza. The entire first floor of the building is accessible from the Lyndale Avenue elevation even though the grade changes .significantly along Lake Shore Drive. Under round 9 ramp parking will fill in ~rihere the grade changes. All mechanical equipment would be enclosed in a penthouse. 4. Density; lot coverage, massing, number of housing units and parking spaces,. square footage of uses, open space The building covers SS,I00 square feet, approximately 26 percent of the total land area. The number of levels gives it a "mid-rise" configuratidn in comparison to high rise development on adjacent areas. The stepped floor arrangement 55,100 square feet on first, 47,700 square feet on second, 41,900 square feet on the third, 36,200 square feet on the fourth, 24,900 square feet on the fifth, reduces the building mass to land coverage ratio. Forty eight (48) units of lower cost rental housing are proposed: 40-1 bedroom, 2-2 bedroom, 2-1 bedroom and den, 4-efficiencies. There would be designated parking stalls for the residential use. Other uses would chars the parking referred to in Item ~~2 above. The developers have indicated they will be providing 780 parking spaces on the site. Current city parking guidelines do not address the parking needs for the VFW and a mixed use project as proposed. The planning consulting firm of 8RW reviewed the proposed parking against Urban Land Institute and Institute of Transportation Engineers standards and their experience and determined it to be adequate. 5. Identification of development site boundary: -ability to secure sits control -consensus of opinion by affected owners -resolution of site restrictions The Lyndale Partners have secured a purchase agreement from homeowners Lynch and Davis. Although Shaller, Trestman, and VFW have all made individual plans for there own buildings, they also appear receptive to being included in the new • development. (Discussions are continuing on this item). In a land trade with the developer, the owner of Cricket Photo would be relocated to a new building designed for the corner. _ / ~ Y Y LSD owns a key parcel in the development area. Them are restrictive covenants on the LSD parcel and other parcels which would require condemnation to eliminate. The condemnation could result in payment of damages. b. Traffic Analysis: -offstreet parking, internal and external circulation (loading, access to various uses) -capacity of adjacent streets -conflicts with existing public street improvements Based on a preliminary analysis by staff, the TushielDerrick proposal may result in a portion of Lyndale Avenue (from Lakeshore Drive to 67th Street) being over its design capacity. If left turn lanes were constructed at the Lakeshore Drive and Lyndale Avenue intersection, the design capacity would not be exceeded. The design capacity of Lakeshore Drive may be exceeded. However, if on-street parking is prohibited on Lakeshore Drive to maintain two lanes of traffic in each direction, the likelihood that its. design capacity would be exceeded would be minimized. If this proposal is selected, additional traffic analysis by consultants would be needed concerning peak hour traffic volumes, level of service, and turning movements to determine more specifically any problems and if additional signals or other intersection improvements such as turning lanes would be necessary. 7. Compatit•ility: -adjacent uses (LSD, Lyndale Hardware, Shaller-Trestman, Cricket Photo, VFW) -redevelopment district -buffering -The proposed development has accommodated the retail uses into a strip retail center. Discussions with owners and the relationship to LSD and Lyndale Hardware have been initiated and are continuing. The developer has indicated, that the owner of Lyndale Hardware is supportive of their concept. Developers oosition: ~ -Cricket Photo remains a separate wilding for photo studio and processing work. (Staff is not yet totally comfortable with this concept). -VF'A will be concerned if additional restaurants utilize the retail space. -LS~J will have to be satisfied with the buffering and driveway uses. -rVaste disposal to be handled internally _ o Looking odors at th,. V. .V should be considered in develo in P 9 final plans. 8. Marketability of use, need, lease up The developer has indicated that discussions are underway tivith users who .are interested in approximately 53 percent of the space. Primary tenant would be VF~~! -48,600 square feet leased with an ownership position in the development. (The VF'/V does pay property taxes) Retail Space (45,600 square feet) The amount of retail space has been increased about 11,000 square feet to accommodate demand. -Sh311er & Trestman may locate in a portion of this space `Medical (21,000 square feet) Meta Partners of Cleveland with a local office in Edina Fvould lease this space and then sublease to professional medical people. Office (31,700 square feet) This space was reduced by almost 50~ from the original concept. The VF~I and Tushis-Montgomery would occupy a portion of this space. Housing (38,300 square feet) The rental housing would meet Section 8/Section 202 design requirements and be very affordable if the proposed rents ranging from $319 to $490/month can be achieved. There is a need for this type of opportunity. 9. Summary of estimated project costs: Iii -net construction -architectural -parking -site -financing -profit Building Construction $10,613,000 leasehold Improvements $ 2,008,400 Site Costs ~ 890,000 (utilities, demolition, grading, soil prep, .surface parking, landscape) Land $ 2,000,000 Financing Costs $ 2,589,116 Marketing $ 389,225 Contingency $ 1,059,462 Total $21,006,203 Requested HRA Assistance ($2,031,886) Net Development Costs $18,974,317 City/NRA subsidy could take several forms: land writedown, public improvements, tax increment interest reduction. The HRA has already incurred costs of approximately $250,000 to acquire the 3 parcels on Graham Avenue. Utility relocation would require an additional $50,000 to $75,000, Negotiations would determine who paid that expense as well as the return to the HRA for the assistance which would be provided. 10. Timing/phasing of project: A 15 month construction period is anticipated. Construction would likely begin-during the summer of 1987. The VFW, Shaller, and Cricket ?hoto uses would remain while the ramp parking and building foundation was initiated. To permit the phasing, interim parking at other locations would have to be identified. 11. City and HRA role: -formation of tax increment district project boundary -zoning considerations -financial assistance -acquisition/clearance -displacement -puClic improvements An Economic Development TIF district would have to be established. It would encompass that portion of the site now within the LHPJ and the balance of the site. An analysis by Evensen-Dodge of the impact of deleting five parcels from the LHN indicates that all the outstanding bonds for the LHN could still be paid off by 2002 with the possibility of an early call. - 9 A $2.,031,886 subsidy is Ceing requested, which could take the form of land writedown, installation of puClic improvements, and tax increment interest reduction. Thus the HRA would be involved in site assemCly, however not directly in purchase negotiations. A preliminary cash flow analysis Cy ~vensen Dodge indicates that the project would Ce self- . supporting during a period of eight years. In return, 48 units of rental housing for lower income elderly is planned. Below market rents may continue for up to 20 years. Neither dousing Revenue Bonds nor IDRB's for the commercial development would he utilized. The entire development would Ce privately owned. 12. Consistency with city zoning ordinance requirements The site would require rezoning to a PJD. It would prohaCly. exceed the guidelines concerning maximum floor area. However, a variance would not ~e required. Also the Comprehensive Plan may re-quire amendment. i3. Revenue to Ce realized from development including land proceeds Tax .increment. At this point, the developer has not volunteered to pay for land owned ~y the HRA. However, it is anticipated that this :would Ce an item. of negotiation. A preliminary cash flow analysis of the proposal does indicate that it would "e self-supporting. The TIF district -would he of 8 years duration from the receipt of the first increment. (As indicated in numCer 9 move, the HRA has already expended approximately $250,000 in the purchase and management of 3 parcels in Graham Avenue). 14. Environmental review process-EAW required An EAW would ~e necessary because the development exceeds the 300,000 square feet building area threshold. This document would Ce the responsi~ility of the developer to Ce reviewed cy staff prior to suCmittal to the City Council. 15. Demand on existing puClic services, puClic improvements The pudic sewer and water utilities in the-area are adequate to service this development. However, plans for handling ~o storm water runoff should be closely studied. If an extensive amount of public amenities would become necessary which require intensive public maintenance a special assessment district would be necessary similar to the LHN. The demand for emergency medical services could incrsase with 48 units. of housing but would not require additional city personnel be hired. Additional police service should not be needed. 16. Housing element feasibility: -management -target market (low income target?) -rents -arrangement of common spaces in mixed use. concept -separation from commercial uses -amenities, services, support for residents -unit size and type Developing the housing portion according to HUD's Section 202/Section requirements, would produce the lowest practical cost. The units would range in size from 430 s.f. for an efficiency to 875 s.f. for a two bedroom. The efficiency units would rent for $319/month beginning in 1988. One bedroom units would have rents at $380/month. The ..one bedroom plus den would rent for $437/month and the two bedroom units would beat $490/month. A community room of 2,400 square feet •,vould be provided on the 5th floor along with a laundry. The community room would have space for a library, and arts and crafts. Marketing and management services would be by a nonprofit health related organization. The emphasis would be on marketing to Richfield residents. The affordable housing option may remain for up to the life of the tax increment project that is developed to encompass the development. 17. Employment Opportunities The developer has indicated jobs on-site during construction would approximate 78. .Jobs in the completed office, retail, medical and VFW facilities would approximate 289. 18. Public reaction This developer has met on several occasions with the residents of Lakeshore Drive Condominium. The residents are concerned about loss of vietiv from their living units. The revised design proposal reduces that impact. They have also met on at least one occasion with the residents of Woodlake Point. They too are concerned about views and the impact on their units. (yA`~ Mlr..iry, ,.~Y • t• ~ , t. 1 ~ ~ ` - ~ ( - 7'11 .,.k . ~~-~~':itl: + rt••''ti~f'i !,,.'Frt... t ~ ~ - ~ •~,t,~ tj.< 1 f / ~ r r - ~ r i t a I ~ . + I 1 I r , I I r. ~ I II +t I tt i I 1 I I ti I II ~ I > . ~ II ~ + ~ . I ~ . 'I 4;,~, Rees e ~'1~. . \ ' ~ ) REVISED PLAN ~ MGM n ~ ` ` r / ~ ! l ~ ~ j i-. 1 - r r' ~ l r ~ 1/ / / • y ~ ~ ~ ~ / •1 /r, . 1 r ~ J - ~ - ~ ~ J , 1------ / ~ / c~ ~ ~ i ~ ' l~ 11 ( ' ~ r i r~ ~ ~ C _ r ' l r- J _ t ~ wl \ l ~ ~rrl ll l ~i rr ~ I'r. ~ll !~~ll///r/ / //l / , ~ ~ . • 5 I 1 I .I I. I I I I 1 I • i - .:a t ~ _ - ~ EX~;IBIT B LAKE SHORE DRIVE MANAGED ~r12Y0f ~ . BY THE HEALTH CUyrr') _ ! ?6615 LAKE SHORE DRIVE • RICHFIELD, MINNESOTA 55423 • cb12~ s61as9s CENTRAL ~ SYSTEM c~~ ? Clerk S~fr`r~ December 30, 1986 Mr. Thomas E. Harms Chairman of HRA 6400 Morgan Ave. Richfield, MN 55423 Mr. Harms, The Board of Directors of Lake Shore Drive at their December 16th meeting decided not to poll our residents on the . proposed development on the Graham site. We feel it would be difficult to get a true reaction. We have some residents who feel they were promised that nothing would be built that would interfere with our building. This is the real vocal group. We have a number of residents that favor an acceptable development. A large number of residents have voiced no strong opinion on this development, especially the residents on the north side of Lake Shore Drive. The Board of Directors still favor the Trestman-Shallar proposal as we stated in our previous letter to you. If the Trestman-Shallar is turned down, the choice would be between the Tushie-Derrick proposal and the Walker-Methodist proposal. In an .informal poll of the Board of Directors, the majority favor the Tushie-Derrick proposal over the Walker-Methodist proposal in case the Trestman- Shallar proposal is turned down. This is not a unanimous decision of our Board because several members do not favor either the Tushie- Derrick or Walker-Methodist proposal. Attached to this letter is a list of concerns about this development compiled by the Ad Hoc Committee appointed to Study the Proposed Development Concepts for the Graham Avenue Development Site. I am leaving Richfield shortly for a 3 month period so I will not be available for the next HRA meeting. I hope this information can be of help to your committee. Russel L: Helleckson President, Board of Directors Lake Shore Drive Condominium Association • cc: City Manager Jim Prosser , -/J` CONCERNS Potential problems arising from the Walker-Methodist and Tushie-Derrick proposals 1. If developers and/or owners cannot meet payment on the bonds, the City of Richfield must do so. 2. Hub-Nicollet-Lyndale tax increment district will require a considerable increase in this bonding to cover the proposed developments. What is Richfield's limit on this bonding? Both Moody's and Standard and Poore's weighs total indebtedness in setting credit ratings. 3. There is already a heavy concentration of seniors in the Lyndale-66th Street area. Problems this may raise are: a. Will the increased traffic adversely affect the pedestrian traffic by seniors? b. Will there be an increase in crime, given the fact that seniors are more vulnerable to crimes against the person such as assault and rape and robbery than other groups? c. How will. the concentration of seniors affect the businesses in the area, and what businesses will they attract? d. Will a large population of seniors (many on fixed incomes) tend to resist future bond issues for such things as schools? 4. Since the taxes from property developed through tax increment financing must be used to pay off the bonds, tax benefits will not accrue to Richfield for about 20 years. In the meantime will the rest of the taxpayers of the city be subsidizing the delivery of services - water, sewers, health, police, and fire - to the area? 5. Will the water and sewer s stems in the L dale-66th area accomodate Y Yn the increased demands upon them? b. How will the increased noise and pollution levels during construction and afterwards affect Wood Lake Nature Center? 7. Since the Tushie-Derrick developers say that the subsidized. housing in their plan would be subsidized by the other (commercial) occupants of the complex rather than by federal funds, how long will that subsidy continue? Will the City Qf Richfield have to contribute to that subsidy? 8. Both the Walker and Tushie-Derrick organizations suggest housing development bonds to finance the housing components of their proposals. How will these bonds be retired from the profits from subsidized housing in either platy if built? , . %-i~ 9. How much of a demand is there for housing for seniors at the suggested rental rates in the metropolitan area? 10. Will an environmental impact statement be provided even if not required? r • I January 16, 1987 EXHIBIT C * Russel L. Helleckson President, Board of Directors Lake Shore Drive Condominium Association _ C'7 6615 Lake Shore Drive N Richfield, MN 55423 d' ~ Oear Mr. Helleckson, ~ Thank you for your letter of December 30, 1986 regarding the Graham Avenue site. The questions attached to that letter, which were prepared by the y ad hoc committee, indicate they have been doing ~ their job well. = Accompanying this letter are answers to those ~ questions which I hope you will find helpful. If you want to discuss any of this information further, please contact me. ~ Sincerel Y~ ~ James D. Prosser City Manager ~ cc: Fred Moore Lake Shore Drive Condominium, ~~500 O ~ 6615 Lake Shore Drive = Richfield, MN 55423 L JDP/dh 0 Q. Q telephone: 869-7521 (612) an equal opportur?ity employer 1. "If developers and/or owners .cannot meet payment on the bonds, the City of Richfield must do so". Assuming that the question is directed at tax increment general obligation redevelopment bonds, the statement is correct. However, there are several techniques used to reduce the risk and assure the city a sufficient tax increment cash flow to payoff the bonds. 1) A developer's agreement is negotiated. As a part of this process, the capability of the developer to finance the .development is assessed. The agreement is a legally binding contract committing the developer, HRA and city to do certain things within a stated time frame. 2) Ther° is a document known as An Assessor's Certification. It establishes the minimum market value of the property for tax purposes. The minimum market value reflects an appropriate value for both the improvements and the amount of tax revenue needed for debt service on the bonds.. The minimum market value cannot be legally challenged. 3) There is a Deficiency Agreement. This agreement; within limitations established by the IRS, requires the developer to pay cash to the city in any year that the tax revenue is less than that which is needed for debt service. Finally, and most importantly, a lender is usually involved in financing the private development. They area=concerned about protecting their investment. If a developer is unable to complete a project, it is likely. the lender would step in to complete it. The Tushie- Derrick proposal has an opportunity to be very successful. because between 50-60% of the rentable space has identifiable potential tenants already interested. For this site, the risk would be further reduced because it is likely the bonds would be paid off in eight years. 2. "Hub/Nicollet/Lyndale tax increment district will require a considerable increase in this bonding to cover the proposed developments. What is Richfield's limit on this bonding? Both Moody's.and Standard and Poore's weighs total indebtedness in setting credit ratings". It is likely that to provide a site for the Tushie-Derrick ~i .proposal, a new tax increment project would be created separate from the Tyndale/Hub/Nicollet project (LHN). Five tax parcels would be deleted from the LHN and combined with parcels south of Auto Lane (the alley). Evensen-Dodge, a private consulting firm which advises the city on financial matters including bonds, has analyzed the impact of deleting these five parcels from the LHN. The impact is negligible. That is, it has been projected that all the outstanding LHN bonds could be paid off by the year 2002. With the deletion of the parcels, the projected bond payoff remains 2002. (_It is possible that projected reserves could result in an earlier payoff). There is not an absolute dollar limit on the amount of bonds which may be sold. The ability of Richfield to sell bonds is based on a combination of factors. Moody's Investment Services rates a bond issue. The rating is based upon the financial condition of the issuer (city) and the security of the bond issue itself. The buyers in the market place look to the rating of the bond issue to establish the desirability of the bonds as an investment. In 1977 Richfield's credit rating,~by Moody's, was set at Aa. II This :vas at a time when large amounts of bonds were being issued fdr street improvements and the LHN. This is a very goad rating as only 13 of 855 cities in Minnesota hold it. Only two cities - in Minnesota hold a higher rating of Aaa. The most recent review of Richfield's credit rating was at the time of a bond sale in March of 1986. Moody'§ confirmed the Aa rating at that time. The amount of bonding required for the Tushie-Derrick proposal at this time appears to be approximately two million dollars. 3. "There is already a heavy concentration of seniors in the Lyndale-66th Street Area. Problems this may raise are: a. Will the increased traffic adversely affect the pedestrian traffic by seniors? It is the objective of the city to minimize the conflicts. between j pedestrian and motor vehicle traffic. Goals of the LHN are to encourage pedestrian traffic and, at the same time, assure pedestrian safety. A part of the redevelopment process has resulted in the installation of pedestrian crosswalks and signals and an extensive sidewalk system. A high level of maintenance provides for good snow removal services as well during the winter. However, the Tushie/Derrick proposal will increase traffic in the II area. Staff is aware that some people feel there is a problem ~i with pedestrian safety already and the Tushie/Derrick proposal will add to it. An ad hoc committee of staff people is being formed to review the situation and identify problem areas and- solutions. b. Will there be an increase in crime, given the fact that seniors are more vulnerable to crimes against the persons such as assault and rape and robbery than other groups? Public Safety personnel have studied this and do not believe there will be an increase in crime because of the elderly population. They reviewed crime data for the entire city and are of the opinion that crime in Richfield has not increased as a result of the aging of the population. Secondly, crime in the LHN has decreased because the environment is generally not friendly to criminals. The new construction and renovation of privately owned buildings and public improvements has resulted in "cleaner" more visible building surfaces. All of the residential Cuildings in the area have a security system as a deterrent to unauthorized persons entering. c. How ~:vill the concentration of seniors affect the Cusinesses in the area, and what Cusinesses will they attract? The Tushie/Derrick proposal would add only 48 units of senior housing to the area. This development will he a benefit to other retail Businesses in the area. It is unlikely that many retailers cat=_ring exclusively to seniors would locate in the area Because of this additional development. The total senior population would not Ce high enough.- Also many of the seniors in the area are mobile and can leave the area to conduct business at other nearby locations. Retailers are likely to Ce attracted to the area because of the concentration of population and the accessiCility of the 66th Street and Lyndale Avenue intersection to a much larger market. The Drug Emporium is an example. It is " dependent upon a Iarge volume of customers and is attractive to customers both young and old. The Tushie/Derrick proposal may contain a medical office facility. Such a facility would Ce attracted to the area because of the population concentration and accessiCility of the area to others. d. 4Vi11 a large population of seniors (many on fixed incomes) tend to resist future Coed issues for such things -as schools? We don't !know. The age and income of residents does influence their perspective on the cost of providing services to the community. 4. "Since the taxes from property developed through tax increment financing must Ce used to pay off the Conds, tax benefits will not accrue to Richfield for about 20 years. In the meantime will the rest of the taxpayers of the city Ce su~sidizing the delivery of service - ~r~ater, sewers, health, police, and fire - to the area?" Yes, Fut only to a very limited extant. First it is important to - understand that all of the taxing jurisdictions continue to receive revenue from the project area. The revenue is derived from the ~ase value of the project area. Only the tax increment provided cy the value above the Case value is used to retire the bonds. Secondly as indicated above, it is likely that the development would he located within a new tax increment district. The district-would exist-for eight years rather than 15 to 20 years. Experience in the LHN indicates the need for police and fire services has decreased as a result of redevelopment. Pedestrian • and motor vehicle accidents are fewer, police calls resulting from potential criminal acts are down, fire calls are fewer. Because. of the elderly population, the need for emergency first -~i aid has increased but has not and will not require the purchase of additional equipment or hiring of additional personnel. Shoplifting in retail stores has increased. The sewer and water costs are paid by a user fee. 5. "will the ~,vater and sewer systems in the Lyndale-66th area accommodate the increased demands-upon them?" Yes. .The tivater line was installed in the early 1960's. Its life expectancy exceeds well beyond 50 years. In the early 1980's, as part of the development of the Lake Shore Drive condominiums, the .system '.vas upgraded by installing a "loop". The "loop" removed a dead end line in the area and means water is always available in the line from two directions. It also put the water supply closer to the main trunk line Between the water plant and the water tower. The capacity of the line is more than adequate to handle the Tushie/Derrick proposal. The sanitary sewer was installed in the early 1950's. Its life expectancy exceeds well beyond 50 years. A main trunk line is located beneath 66th Street. The graham Avenue site is only .about one block from the main. The Tushie/Derrick development would use a lateral line shared possibly pnly by one or two existing commercial developments before it connects to the main. The Lake Shore Drive condominium connects directly to the main. The main has more than adequate capacity to handle the Tushie/Derrick development. 6. "How tivill the increased noise and pollution levels during construction and afterwards affect Wood Lake Nature Center?" We don't think the noise and pollution levels from the Tushie/Derrick project will negatively affect Wood Lake. For example, during the .construction of the Lake Shore Drive condominiums there were no noticeable effects from noise or other pollution sources. However, upon completion, some birds were killed because while flying they hit the building. Now they have adjusted their flight pattern for the height of the structure. The contractor for the Tushie/Derrick project would be required - to prevent soil laden runoff water during construction from running into the lake. Once occupied, the building shouldn't negatively impact Wood Lake either. However, before the Tushie/Derrick proposal can be constructed, it would be necessary to complete an environmental Assessment Worksheet. The process requires that the impact of the development be studied. Its . relationship to Y~ood Lake would be determined as a part of that study. 7. "Since the Tushie/Derrick developers say that the subsidized housing in their plan would be subsidized by the other (commercial) occupants of the complex rather than by federal funds, how long will that subsidy continue? Will the City of Richfield 'nave to contribute to that subsidy?" ~ The 48 units of housing would require a subsidy to maintain the rents at the levels proposed which may fall within the $390 to $440. range initially. Increases would likely ~e tied to a formula which would assure their affordability ~y lower income elderly. The length of time the developer would be required to provide low rent would be estarlis~ed during negotiations on a developers agreement. The HRA would be providing a subsidy to encourage this development. That subsidy and the rent from the commercial space . would help make it possible for the developer to offer lower rents for the housing units. Neither the HRA nor the city anticipate providing a direct rent subsidy. 8. "both the ~~alker and Tushie/Derrick organizations suggest housing development bonds to finance the housing components of their proposals. How will these bonds be retired from the profits from subsidized housing in either plan, if built?" Initially Tushie/Derrick proposed to utilize housing revenue conds. However, at the present time they have determined not to -use them. 9. "How much of a demand is them for housing for seniors at the suggested rental rates in the metropolitan area?" 'The market demand far exceeds that which will be met by the 48 units in the project. The rents proposed for-the 48 units would make them available and affordable to a single person for example with an income between $12,000 and $16,000. For a couple, the income range would be slightly higher. The intent of the developer tivould be to market these units to Richfield residents first. 10. "Will an environmental impact statement be provided even if not required?" The development would require that an Environmental Assessment Worksheet be completed (EAW). The EAW requires a study of the - impact of development on the surrounding environment and public facilities such as roads and utilities. The results of an EAW are evaluataed against state guidelines to determine if an Environment Impact Statement (EIS) must be undertaken. A decision on an EIS would be made by the City Council after an EAW is completed. /`j - ~2~3 . EXHIBIT D CITY OF RICHFIELD,- MINNESOTA Inter-Office Memorandum DATE: DecemCer 11, 1986 T0: Housing & Redevelopment Authority FROM: Development Review Advisory Committee SUBJECT: Summary of Comments, Concerns and Issues Expressed at 12/10/86 P4eeting. Thy Development Review Advisory Committee is a group of staff from the various administrative departments and divisions of the city. They met to listen and react to a presentation of the Tushie-Derrick concept which included the use of drawings and a t`~ree dimensional model. Following are the thoughts that were expressed during the meeting. 1) The design from a fire protection point of view appears to Ce good on Loth the int°rior and exterior. 2) Barking and traffic flow should he closely studied to avoid _ congestion and other safety hazards. 3) Pedestrian circulation far the entire southwest quadrant should ~e studied and for this development the crossing of Lyndale Avenue in particular. 4) Site drainage should Ce carefully planned. 5) Odor discharge from the vF~~l kitchen should Ce carefully thought to avoid adverse impact on the area. . . 6) The separation of the uses in the building appears to be well thought out. With proper construction, noisy transmission from the vFW ar=a :vould not be a oroblem. 7) The staging of the development to permit existing organizations to function during construction is good. However, it could result in serious parking problems during construction, especially with the VFW. The developer must work out an agreement with the VFW. The options to be explored include the suspension of special events, which require considerable parking and the use of parking lots at other locations and a shuttle bus. The activity schedule for Wood make Nature Center and the VFW should be coordinated. perhaps the VFW should hire traffic police personnel for certain events. 3) Because the site must ~e rezoned and an amendment to the Comprehensive plan may be necessary and an EA;~~ would be necessary as will as the establishment of a new TIF district, the planning phase for this project could be protracted. 9) Fora fevr minutes the discussion centered on the question of the appropriateness of the concept. Is this concept simply an attempt to satisfy everyone on every issue? The collective response eras that there seems to be a market for the uses, the rental apartments are desirable if Richfield residents are given priority in the occupancy of the units and the development would Ce an appropriate „ entrance/exit feature for this area of downtown Richfield. a» < 10) A puClic information meeting should de scheduled to permit. people in the area to express their thoughts. The ,yal!<er concept could not to evaluated as it is reing reformulated. The Trest^?an-Shaller proposal ;vas discussed briefly. There was agreement that while it would result in the upgrading of the property, it did not utilize the site to its Cest advantage. _ ~jp CITY OF RICHFIELD, MINNESOTA Council Letter No. 29 Agenda January 26, 1987 Issue Statement: Appointment of Persons to Various Advisory Boards and Commissions Background: The terms of members of the various city commissions will expire January 31, 1987. Applicants were interviewed by the city council on January 12 and January 26. Some applicants have expressed an interest in more than one commission. The order of - their preference has been indicated for each commission. Thee vacancies and applicants are as follows: ADVISORY BOARD OF HEALTH There are six appointments to be made to this board. Three members wish to be considered for reappointment, and there are three new applicants. Applicants Appointed Seeking Reappointment: Anne Kinley~ Carol Olson Larry Slepicka~ New Applicants: Lisa Peterson (3rd choice) Ramona Rusinak (lst choice) Paul Zander (only choice) CIVIL SERVICE COMMISSION There is one appointment to be made. Jack Duich has served two terms and is seeking reappointment. There are seven new applicants. Applicants Appointed Seeking Reappointment: ack Duich New Applicants: Robert Burditt Kris Maser Lisa Peterson (4th choice) Xavier Ruhling (3rd choice) Joe Sausen (2nd choice) John Takekawa Joanne Wilmes (3rd choice) • _ ~ ~/a COMMUNITY SERVICES COMMISSION Four .appointments to be made. Two members are seeking reappointment, and there are eight new applicants. Applicants Appointed Sgeking Reappointment: JBetsy Asher Richard Starleaf New Applicants: JJames Clinite (only choice) Bette Flanders (2nd choice) ~ - Lisa Peterson (2nd choice) Xaviar Ruhling (4th choice) Joe Sausen (1st choice) Ronald Schwartz (only choice) Liz Swanson (only choice) Joanne Wilmes (2nd choice) ENERGY AWARENESS COMMISSION There are three appointments to be made. One member is seeking reappointment, and there are two other applicants. Applicants Appointed S eking. Reappointment: Herb Doty New Applicants.: Jane Schoewe (only choice) Joe Sausen (3rd choice) HUMAN RIGHTS COMMISSION Three appointments need to be made. Two members are seeking reappointment, and there are two other applicants. Applicants Appointed Se king Reappointment: anne Ervasti Jrollie Flippin New Applicants: Lisa Peterson (5th choice) Xavier Ruhling (1st choice) HUMAN SERVICES (Serving Seniors and Disabled) Three appointments to be made. One member is seeking reappointment, and there are eight applicants. _ XX I ~j~/ HUMAN SERVICES (Serving Seniors and Disabled) Applicants Appointed Seeking Reappointment: - Donna Terras Ne Applicants: etty Carr (only choice) ~ette Flanders (1st choice) Russ Kennedy (2nd choice). Kris Maser Lisa Peterson (6th choice) Joan Robinson (only choice) Xavier Ruhling (2nd choice) Ramona Rusink (2nd choice) PLANNING COMMISSION Three appointments to be made. Two members are seeking reappointment, and there are six. new applicants. Applicants Appointed Seeking Reappointment: . ~~Connie Hoverson _ ~Maggi McDermott-Lindstrand New Applicants: gonna Drummond (only choice) JRuss Kennedy (1st choice) Roland Nelson (only choice) Lisa Peterson (1st choice) John Takekawa Joanne Wilmes (1st choice) SISTER CITY INTERNATIONAL There are six appointments to be made. Three members wish to be reappointed, and there is one applicant. Applicants Appointed S eking Reappointment: B. J. Gersey Al Oster Russ Susag N w Applicant: Xavier Ruhling (5th choice) Recommendation: Appoint members to fill the terms on the various advisory boards and commissions. Basis for Recommendation: 1. Terms of members expire on January 31. In order to assure quorums for February meetings, appointments should be made at this time. .~/~T~3 2. -With the exception of the Sister City Commission, there are sufficient applicants for each appointment. Alternative Recommendation: 1. Defer appointments to a later date. However, this could result in some commissions not having a quorum for February meetings. Discussion/Decision Mode: As the terms of commission members expire on January 31, this item has been placed on the January 26, 1987 city council agenda for action. Respectfully submitted, Jam D. Prosser Cit Manager JDP/eja _ I ~y ~ - CITY OF RICHFIELD, MINNESOTA Council Letter No. 28 Agenda January 26, 1987 Issue Statement: Authorization to enter into grant agreements with the Minnesota Department of Energy and Economic Development (DEED) and extension of the Energy Audit and Housedoctoring Agreement with Self Reliance Center (SRC). Background• On January~l2, 1987 a grant-application was submitted to GEED, requesting $15,000 to support a variety of energy conservation programs in Richfield. This application is similar to one submitted in 1984 when $15,000 was secured to finance. program administration. However, the funds for this application would come from monies secured by the state as a result of a court order requiring Exxon, Inc. to refund rate overcharges to its customers. The 1986 revised City budget authorized staff to secure up to $17,000 of the Exxon funds when they became available. They did not become available until 1987 and the maximum request allowed is $15,000. Even though the Council approved submission of the application, a resolution as attached is required by DEED. If the grant is received, a portion of the funds will be used for the following purposes. 1) Administrative activities of existing staff, 2) providing low income fuel assistance clients if in and coordinatin with an energy audit directed at ident Y 9 g conservation services to help residents make energy related . improvements, 3) assist residents in obtaining MN Housing Finance Agency energy improvements loans and identifying appropriate energy conservation improvements, 4) assessment of the effectiveness of the audit and housedoctor programs, and, 5) "housedoctor" weatherization in approximately 27 local homes. A separate, but related item to be addressed is extending the existing contract with SRC for audits and housedoctoring activities which expires in March, 1987.. The contract would be extended through September, 1987. Funds for the contract are provided by NSP, Minnegasco and CDBG funds. If the DEED grant is provided, that would also be a source of revenue. There are no city funds involved in the contract. The contract extension is needed to continue with programs already funded and would also be needed if the DEED grant was received. Staff Recommendations: 1. Adopt the attached- resolution to complete our grant application and which authorizes the City Manager to execute a grant agreement if an award is made to Richfield. 2. Extend the Auditing and Housedoctoring Agreement with Self Reliance Center to September, 1987. _ ~y Basis of Recommendation: . The grant funds will finance energy program activities that might not otherwise take place. Additional housedoctoring grants are not available from any other funding source at this time. The demand for this service exceeds the funds available. The present auditing and housedoctor agreement is due to expire in March, 1987. Extending the agreement to September, 1987, allows CDBG and DEED funds to be expended in a timely manner and audits to continue within an agreement that works quite well. Alternative Recommendation: 1) Not authorize the resolution requested by DEED which would result in nullifying the grant request. 2) Not extend the SRC contract, however, CD6G funds already committed to housedoctoring might not be expended in a timely manner. The audit program would have to be discontinued. Decision Mode: The resolution must be approved by the Council on January 26th to permit DEED to evaluate our grant request. The extension of the SRC contract would permit the energy program to continue to operate smoothly. Respe tfully submitted, i Jame D. Prosser City Manager JDP/eja i RESOLUTION N0. RESOLUTION RELATED TO ENERGY GRANT Se it resolved by the City Council of the City of Richfield, Minnesota, as follows: 1) The City of Richfield shall act as the sponsoring unit of government for the project titled "Bundle Up Richfield" to be conducted during the period February, 1987 to July, 1987. James D. Prosser, City Manager,is hereby authorized to apply to the Minnesota Department of Energy and Economic Development for funding of this project on behalf of the City of Richfield. 2) The City of Richfield shall enter into a grant agreement with the State of Minnesota for the project named above if the application, is successful. James D. Prosser, City Manager,is hereby authorized to execute certifications as required and execute such agreements as are necessary to implement the project named above. Passed by the City Council of the City of Richfield, Minnesota this 26th day of January, 1987. John Hamilton, Mayor ATTEST: Thomas P. Ferber, City Clerk _ ~ r CITY OF RICHFIELD, MINNESOTA City Council Letter No. 27 Agenda January 26, 1987 Issue Statement: Request For An Off-Street Parking Permit At 6345 Cedar Avenue Background: Arbor Construction Company~~has requested city-approval of an off- street parking permit for the site at 6345 Cedar Avenue. Arbor Construction has purchased the property and wishes to convert the existing building into an office and storage facility for their company. The existing fence and trailer area south of the building would be removed; the building would be remodeled; and a portion of the existing gravel area on the site would be converted into a parking area for 6 vehicles. Access to the parking area would be provided from the existing curb cuts from 64th Street and from Cedar Avenue. There would be no access from the alley. With the exception of a landscaped boulevard area along Cedar Avenue and a landscaped area along the alley, the site would be blacktopped. Perimeter curbing would be provided along Cedar Avenue. The boulevard area along 64th Street would be blacktopped. Staff Recommendation: The City Council pass the attached resolution approving the off- street parking permit with the following stipulations: 1. That the boulevard area along 64th Street be landscaped rather than blacktopped. A landscape plan should be submitted for staff approval. 2. That a catch basin be installed on the site to collect .drainage on site. The design and location of this catch basin should be approved by the city engineer. 3. Perimeter curbing should be provided as required by city ordinances. Basis of Recommendation: The basis of the recommendation is that the off-street parking permit generally meets the city standards for driveways and parking areas. It is staff's opinion that the changes outlined in the stipulations above would bring the proposal into total compliance with city standards as well as providing a more aesthetically pleasing site. It would also provide a better defined parking lot; keep uses and cars off the city boulevard areas; and provide proper handling of the drainage. However, the applicant has indicated that they do not feel an onsite catch basin is necessary. They have indicated that the landscaping along Cedar Avenue will act as a natural catch basin for the small amount of run off from a lot this size and that the cost of installing a system that is connected to the city storm sewer is prohibitive and unjustified. r Alternative Recommendation: Alternative recommendations would be to approve the off-street parking permit as submitted or to deny the off-street parking permit. Decision Mode: This matter has been scheduled for council consideration on January 26, 1987. Respec fully submitted, Jame D. Prosser City Manager RESOLUTION N0. RESOLUTION APPROVING OFF-STREET PARKING PERMIT IN ACCORDANCE WITH APPLICATION 87-1 ARBOR CONSTRUCTION 6345 CEDAR AVENUE SOUTH BE IT RESOLVED by the City Council of the City of Richfield, Minnesota, as follows: 1. That the proposed geometric layout of the off-street parking as contained in off-street parking application No. 87-1 is hereby approved subject to the following stipulations: a. That the boulevard area along 64th Street be landscaped I rather than blackto ed. A 1 nds n houl pp a cape pla s d be i submitted for staff approval. b. That a catch basin be installed on the site to collect drainage on site. The design and location of this catch basin should be approved by the city engineer. c. Perimeter curbing should be provided as required by city ordinances. ~I 2. That responsibility for the proper upkeep and maintenance of said off-street parking lot shall remain 'the responsibility 'i of the off-street parking lot operator in accordance with Ordinance Code 4.05. Adopted by the City Council of the City of Richfield this it 26th day of January, 1987. John Hamilton Mayor ATTEST: r Thomas rerber City Clerk i - s ~ C®r1~'~~''L1C'~i®r'1 CARPENTRY • ROOFING • DECKS • REMODELING • LANDSCAPING • DESIGN Rick Jopke Richfield city Planners Dear Planners, Mr. Jopke raised a-few questions about our site plan for 6345 Cedar. I would like to address the questions. There will be twc enterances tc our parking area. One will enter from 64th st. the other from Cedar. Both enterances will use existing curb cuts that appear to have been installed by the city. There is no acce~;s to the alley from our parking lot and there will not be one. We plan to-do some landscaping along the alley. We plan to .black top the entire lot,- starting at the north property line to the city curb on the south. Our plan is to landscape the ~ boulevard along Cedar. We will be installing fixed curbs between our lot and the Cedar blvd. Because of the small- lot size and the fact that the drainage from this lot would run cnto the landscaped blvd. along Cedar Ave., [tie feel that a catch basin is not necessary. The landscaping along Cedar will act as a natural catch basin-for the small amount cf runoff from a lct this size. the cost of installing a system that is connected to the city storm sewer is prohibitive and un}ustified. Thankyou, Randy Johnson Pres. 4921 2nd Avenue South. Minneapolis. MN 55409 Business Phone 822-521.0 LICENSED • 80NDED • INSURED ~ m l ~ _ _ a D PROPERTY LINE ~ I ~ ~~b' EXISTING BUILDING 32~ m z ~ r ~ ~ r (TIPERIMETER CURB I"' ~ 41 ~ ~ o z c ~ LANDSCAPED m n ~ 3 y $ ~8'~ y v ~ 4 HG AREA ~ m o ° ~ ~ `I4' 26' ~ ~ 64TH STREET"" ` Rte, , CITY OF RICHFIELD, MINNESOTA City Council Letter No. 26 Agenda January 26, 1987 Issue Statement: Request For Approval Of An Off-Street Parking Permit At 1720 East 66th Street Background: Mr. Wallace Roholt has requested an off-street parking permit to allow him to construct two parking areas on the property he owns at 1720 East 66th Street. There is a one story single family residence on the property which is zoned C-2 General Commercial. Mr. Roholt wishes to construct a second story on the existing residence. The upper floor would be used for his residence and the lower floor would be used for a doll museum. A parking area for four vehicles would be constructed in front of the building and a parking area for three vehicles would be constructed to the rear of the building. The existing garage would remain and be used for parking for the residence. One new curb cut would be constructed off of 66th Street. Staff Recommendation: Pass the attached resolution approving the off-street parking layout subject to the following stipulations: 1. That perimeter curbing be provided. 2. That only the rear parking area be constructed at this time. The front parking area should only be constructed if it is determined by the. city that a parking problem exists on .the site or if the usage changes. If the front parking area is constructed the following changes should be made in the proposal: a. The necessary curb cut permit be obtained from Hennepin County for the curb cut onto 66th Street and the width of the curb cut should be at 26 feet and the curb cut should have at least a 15 foot radius. b. That the driving aisle in the parking area in front of the building be extended approximately 5 feet beyond the parking stalls to allow additional turnout area to provide proper maneuverability space in the parking area. This would necessitate the redesign of the handicap ramp. Basis of Recommendation 1. The proposed total number of parking stalls meets the city's 'minimum ordinance requirements for commercial and residential uses. However, it is staff's opinion that it would exceed the number of spaces needed for the particular type of use being proposed. 2. The city engineer has reviewed the plans and approves the proposed drainage. It is preferable to provide onsite catch basins. However, in this particular case because of the location of the city's storm sewer line on the opposite side of 66th Street there is no reasonable method for connecting _ - _ ~ //~/J / G- to the storm sewer line. There also will be a small amount of hard surface area being created. Therefore, the city engineer has approved the surface drainage plan proposed. 3. Staff has some concern about the .maneuverability of cars in the parking lot in front of the building. It would be difficult for cars parked in spots numbered four and six to be able to back out and turn and proceed back out onto 66th Street. Therefore it is recommended that the driving aisle be extended north of the parking areas to provide additional turn space. 4. It is staff's opinion that it is desirable to maintain the residential character of that block of 66th Street, even though it is zoned commercial. The construction of the front - parking area would have an adverse effect on the residential character of the area. 5. It is not. clear from the drawings whether or not perimeter curb will be provided as required in the city's ordinance. Perimeter curbing is necessary to define a parking area and to control drainage. 6. With the exception of the concerns previously .listed the parking area would meet all other requirements of the city's ordinance. Alternative Recommendation: Deny the off-street parking permit or to approve an offstreet parking permit for construction of both parking areas at this time with the following stipulations: 1. That the necessary curb cut permit be obtained from Hennepin County for the curb cut onto 66th Street. Further the width of the curb cut should be at 26 feet and the curb cut should have at least a 15 foot radius. 2. That the driving aisle in the parking area in front of the building be extended approximately 5 feet beyond the parking stalls to allow additional turnout area to provide proper maneuverability in the parking area. This would necessitate the redesign of the handicap ramp. Decision Mode: This matter has been scheduled for council consideration on January 26, 1987. Respectfully submitted, Jam D. Prosser Cit Manager w RESOLUTION N0. RESOLUTION APPROVING OFF-STREET PARKING PERMIT IN ACCORDANCE WITH APPLICATION 87-2 WALLACE ROHOLT 1720 EAST 66TH STREET BE IT RESOLVED by the City Council of the City of Richfield, Minnesota, as follows: 1. That the proposed geometric layout of the off-street parking as contained in off-street parking application No. 87-2 is hereby approved subject to the following stipulations: a. That perimeter curbing be provided. b. That only the rear. parking area be constructed at this time. The front parking area should only be constructed if it is determined by the city that a parking problem exists on the site or if the usage changes. If the front parking area is constructed the following changes should be made: 1. The necessary curb cut permit be obtained from Hennepin County for the curb cut onto 66th Street and the width of the curb cut should be at 26 feet and the curb cut should have at least a 15 foot radius. 2. That the driving aisle in the parking area in front of the building be extended approximately 5 feet beyond the parking stalls to allow additional turnout area to provide proper maneuverability space in the parking area. This would necessitate the redesign of the handicap ramp. 2. That responsibility for the proper upkeep and maintenance of said off-street parking lot shall remain the responsibility of the off-street parking lot operator in accordance with Ordinance Code 4.05. Adopted by the City Council of the City of Richfield this 26th day of January, 1987. John Hamilton Mayor ATTEST: Thomas Ferber City Clerk ~ r w ~ J ' EXISTING GARAGE r j J 1 t~ t 1 REAR PARKING AREA c Z t ~ 3 y~, r W ~ ~ ~ Z W EXISTING HGUSE ~ r = H o0 T 60' HC ~ 6 FRONT PARKING AREA 7 ~ o_ 5 ~ _ 1 2+1~ ~ ~ J 66TH STREET A, CITY OF RICHFIELD, MINNESOTA Council Letter No. 25 Agenda January 26, 1987 Issue Statement: Approval of the 1987 Labor Contract with the Richfield Police Officers Federation. Background: City Staff has completed negotiations on a labor agreement, subject to City Council approval, with the Richfield Police Officers Federation, which is represented by the Law Enforcement Labor Services, a statewide Police Labor Union. The Police Officers Federation represents the positions of Police Officer. and Investigator/Agent. There are presently thirty-four employees represented within the Unit. The 1987 contract is the second year of a two-year agreement and contract articles open for negotiations were limited to wages. The changes in wages for 1987 are: 1. An adjustment of 4% over 1986 wage rates for the classification of Police Officer. 2. An adjustment of 3.5% over the 1986 wage rates for the classification of Investigator/Agent. A previously negotiated provision of the contract established the 1987 wage rate for the top step of Investigator/Agent at 6% above the top Patrol wage rate. The following benefit increases were negotiated in 1986 for 1987 and were previously approved by the City Council: 1. An increase of $11.50 per employee towards an Employee Health Insurance premium. 2. An increase of $.05/credit in college incentive from January 1,1987 through June 30, 1987, and another increase of $.OS/credit in college incentive from July 1, 1987 through December 31, 1987. 3. An increase in the number of holidays paid at time and one-half from three in 1986 to five in 1987. The total estimated package. cost of the 1987 settlement is 4.10%, which is comparable to other Police units in the metropolitan area. Recommendation: "Approve the labor agreement with the Richfield Police Officers Federation. Basis For Recommendation: ,Police wage settlements in other communities, which were consistently at 4%. Alternative Recommendation • Do not approve the Labor Agreement, requiring further negotiations and/or arbitration. Discussion/Decision Mode: In order to allow the City's accounting personnel to modify payroll records in a timely manner for January 1, 1987, it is recommended the City Council act on January 26, 1987 to adopt the attached Resolution providing for contract changes effective January 1, 1987. Respectully submitted, .James .Prosser. City anager JDP/sae • _ ~ M.... p RESOLUTION N0. RESOLUTION APPROVING LABOR AGREEMENT BETWEEN THE CITY OF RICHFIELD AND THE RICHFIELD POLICE OFFICERS FEDERATION BARGAINING UNIT FOR THE YEAR 1987 WHEREAS, the City Manager and the Richfield Police Officers Federation have reached a complete understanding concerning rates of pay, hours and other conditions of employment for the year 1987, and WHEREAS, the personnel ordinance requires that contracts. between the City and the exclusive representative of the employees in an appropriate bargaining unit shall be implemented by Council Resolution. NOW, THEREFORE, BE IT RESOLVED that the City Council does hereby approve the Labor Agreement between the City of Richfield and the Police Officers Federation Bargaining Unit for the year 1987 and order the provisions of the Labor Agreement to be implemented, effective January 1, 1987. Passed by the City Council of the. City of Richfield, Minnesota this 26th day of January, 1987. John Hamilton Mayor ATTEST: Thomas P. Ferber City Clerk • r _ CITY OF RICHFIELD, MINNESOTA Council Letter No. 24 Agenda January 26, 1987 Issue Statement: Cancellation of public hearing for the amended ILN Redevelopment Plan. Background: On December 22, 1986 the City Council adopted a resolution establishing January 26, 1987 at 7:00 p.m. as the date and time for a public hearing on amendments to the ILN redevelopment plan. The amendments reflected CDR's revised development concept for a first stage which included an office building and portion of a parking ramp. Recommendation: Cancel the hearing. Basis of Recommendation: 1. Following the formulation of the amendment, discussions were initiated regarding the possible inclusion of a hotel in the first stage of CDR's development. At this time that concept is still being evaluated. 2. If a hotel is included in the first stage it would impact the level of public improvements and the amount of funds available for .public improvements. 3. Because this issue arose, the notice of public hearing was not published. Alternative Recommendation: Set a hearing for another date. Decision/Discussion Mode: It would be appropriate to officially cancel the hearing scheduled for the January 26, 1987 city council meeting. Once the above concerns have been evaluated, the council should schedule the public hearing for another date. Respect ully submitted, r. James 'D. Prosser City Manager JDP/eja y . CITY OF RICHFIELD, MINNESOTA Council Letter No. 23 Agenda January 26, 1987 Issue Statement: Request for approval to place a temporary oversize sign at St. Peter's Church, 6730 Nicollet Avenue. Background: City Ordinance provides that the city council must approve all permits for temporary signs. I St. Peter's Church has requested a permit to erect an oversized temporary sign at the above address. The sign is to be a 25' X 12' (300 sq. ft.) non-illuminated, double-faced trailer sign. They wish to use the sign. from Jan. 31st-Feb. 9th, 1987. Recommendation: ~ It is recommended that the city council deny the permit for this illuminated sign. Basis for Recommendation: 1. The Inspection Division and the Planning Division have denied the sign because it does not conform to city ordinances. City ordinances limit temporary signs to a maximum size of 3' X 4' (12 sq. ft.). This sign is 300 square feet. 2. If signs of this size are approved for churches, civic or educational groups, they must. also be approved for commercial use to prevent the city from discriminating. 3. A smaller sign, meeting the ordinance code requirements, could be used for the same purpose. Alternate Recommendation: 2. If Council Members wish to discuss this matter, this item can be removed from the consent calendar and placed at the end of the regular agenda for council consideration. 1. Approve the oversize sign for the .time allotted. However, if this particular sign is approved, signs of this size would also. have to be approved for commercial use. Discussion/Decision Mode: This item has been placed on the consent calendar portion of the Jan. 26th council agenda for consideration, with the staff recommendation to deny the permit. Respectf ly submitted, Jame Prosser City anager a . ~ L . ~ ~ I ~ ~ "1 LC.'`i a.? ~i I I . X I r7 i~y~--~ct.~~-c, Cwt..- ~ . ~ City aanager w • ~ ~ Inspzctor Date ~~~~jL~ ~'~""f Date ?PROVE DE:f7 ~ L ao l~ . ('~G~ ~ ROVE ~ ~ ~ DENY ~ : Planning Department City Council Date Date . Route to above for•special approval per code Gz^.eral Sizes :~PPLICaTION FOR' aDVE3TISIVG PER'~IT .City of Richfield, ,Minnesota Date ~ ~ ~ ~ Zoning Sign Erected -Yes No Fee . ~tr:~ rv address of Sign ~ ~ i` • ~ .-~i ~i`L .S,^ Proprietor Name C.-~ (?r~-?~< C :-t~~•t': DBE ~ < Sigr. Erector ~!nuici~ . 1~f;; Address . 'IC. 1..~ % Ci` ~c.~ ~ N'~,' Type of Sign Design Weather Cover Li?ht1nE IWal1 Single Face Clear Leson _ Constant DTojectiag Double Face _ Frosted LeYan Flashing Ground ~ Multi ^aced ~ Plastic Covered I Revolving _ Roof _ aeriallBlimp i Shaded, ~ ~ Traveling _ Pedestal Searclioht ~ veon I I Zip Lite ~ r•. ~ C:~angeable Banner/Ps^.nants ,t ~ Cther~c'=-:'r-< ~ Other(E:r~lai~, 1 I Temporar-,~ _ Por_able Frame: I + Si;n Colors - " ~•`i I I Trailer I T~ a~ Post ~r laminated -Yes Vo Wags `Electrical Contractor ~ ~cdress ?hone r0yerty Owner Or hiS ~gert S~g?'~t'?re •~~1;N':>_ ".~~'--7- ~ - .1, ~ ~ P!:Ore , fir'`, C3t_:..aLed Cost 5~~^. WiCtha.=y :elm.^.t i~~ TJtal SCL'a~8 ~°E't ~ ~OS'~..~On 02 t::e 3C'.'ert,52_^.e^.t SC='.:C_..r2 iA r~,.zL~JP.SII~.7 CO C.^.e aG~aCB:IL ::L'I~.._ ~S, S~Ce~3l_{S. C;:_JS, roadways, OVe.:e3C ilC~.~__, _~aeS, Ve.^.iCle ~CV2We^.t 1:^.eS, Or ~L'Dl::. =aC~l=~~2S On dr3L~i~:.g with Sl~n~=Cant C We^.S:.CZ:S and attaCheC :leret0 OL major Si~nS. :'t~:C~ Sim^.S aS de=~aed on page 2. Two blueprints of the si., b'_llbca=', or outdoor advertising structure ccnst_sction plans: _^cludiag specifications, ?ist of r.aterials, and e::piicit anchoring or Fastening details anc a copy o= the stress sheets, cslculat:ons, color of sign structure. Dces a sib copy relate solely to _ :e busi::ess, _^st:tution, or activ: y conc::ctad on :e . -emises". Wa_ the sign, structure, or billbcard rest_ic= any sight distance under, around, er over or safe access by persons destines .or or passi:g the subject premises? apoiicant;s Signature aad Title with Firm ~ Date ~ i.. , ~ x' - T / P':cre Number 1 i (~,i~`~ • Lit 198 PL:-SSE SER R:.vn.•tSE SIDE FOR SIGN LOCATION S~F.TC3 Sivert Hendric!cson/Building Of:icial - $66-~06I CITY OF RICHFIELD, MINNESOTA .Council Letter No. 22 Agenda January 26, 1987 Issue Statement: Purchase of two single-axle diesel dump trucks for city maintenance operations. Background: Single-axle diesel trucks are currently utilized by the street maintenance division for maintenance purposes. Two units are now fully depreciated and due to be replaced. An appropriation in the amount of $85,000 was approved in the 1987 Central Garage Capital Outlay Budget (602-4862). Through the Hennepin County bid process, a quotation. in the amount of $80,696 for the two dump trucks was received from 3oyer Trucks, Inc. of Minneapolis. Recommendation: Approve the purchase of two single-axle diesel dump trucks from Boyer Trucks, Inc. in the amount of $80,696. Basis for Recommendation: 1. This type of vehicle is used extensively in the Community Services Department and has proven to be invaluable for its • many uses. 2. Hennepin County bid process typically obtains the lowest possible prices for vehicles. 3. The vehicles are. fully depreciated and funds are budgeted in 1987 for their replacement. Alternative Recommendation: 1. Do not purchase the trucks at this time. However, the existing vehicles are fully depreciated and scheduled for replacement. 2. Reject the bid of Boyer Trucks, Inc. and direct the staff to obtain bids from other dealers. Discussion/Decision Mode: Equipment is usually purchased during the first part of a new year so that it is available when. needed. The item is also scheduled on the January 26, 1987 council agenda to take advantage of the Hennepin County bid. Respectfully submitted, Jame D. Prosser . City anager JDP/eja E ..r CITY OF RICHFIELD, MINNESOTA Council Letter No. 21 Agenda January 26, 1987 Issue Statement: Award of Contract for Walk-In Cooler and Appurtenant Work at new Cedar Liquor Store. Background: On January 13, 1987 bids were opened in accordance with legal requirements for a walk-in cooler and appurtenant work at the new Cedar Avenue Liquor Store. There were seven plan holders of record. Four bids were submitted: Palen-Kimball Company $39,995 Northwestern Service $39,853 Carbonic Machines, Inc. $39,450 Northern Air, Inc.. $38,830 A copy of the bid minutes and tabulation is attached for city council review. Recommendation: It is recommended the city council take the following actions: 1. Approve the bid minutes and tabulation. 2. Award a contract to Northern Air Corporation in the amount of $38,830 for a walk-in cooler and appurtenant work at the new Cedar Liquor Store. 3. Authorize the return of the four bid securities upon proper execution of the contract. Basis of Recommendation: 1. The lowest bid by a responsible bidder, received from Northern Air Corporation in the amount of $38,830, meets specifications. 2. Sufficient funding is available for this portion of the work related to the construction of the municipal liquor store. I, i Alternative Recommendation: 1. Not award this contract. However, as the lowest responsible bidder meets specifications, this action would not be in the best interests of the city. Discussion/Decision Mode: The work to be performed under this contract will need to be coordinated with other contractors and vendors on the construction site. To facilitate the work of this contract in a timely manner, the item has been placed on the city council agenda for January 26, 1987. Respectfully submitted, James Prosser ~ City ~ anager JDP/eja - _ ~ / ' ~ _ CITY OF RICHFIELD BID OPENING January 13, 1987 Walk-In Cooler and Appurtenant Work Pursuant to requirements of Resolution No. 1015, a meeting of the Administrative Staff was called by Thomas Ferber, City Clerk, who announced that the purpose-of the meeting was to receive, open and read aloud, bids for walk-in cooler and appurtenant work, as advertised in the official newspaper on December 31, 1986. Present: Thomas Ferber, City Clerk Eileen Anderson, City Manager Representative. William Fillmore, Liquor Operations Director The following bids were submitted and read aloud: VENDOR BID PROPOSAL SECURITY (Cooler) Northern Air Inc. Money order $38,830 Carbonic Machines, Inc. Cert. Check $39,450 Mpls Palen-Kimball Company 5% Bond $39,995 St. Paul Northwestern Service, Inc. 5% Bond $39,853 St. Paul The City Clerk announced .that the bids would be tabulated and considered at the January 26, 1987 City Council Meeting. Thomas P. Ferber City Clerk i CITY OF RICHFIELD, MINNESOTA Council Letter No. 20 Agenda January 26, 1987 i i Issue Statement: Request for illuminated sign at G.B.S. Sports, 766 West 66th Street. Background: City Ordinance provides .that the city council must approve all permits for illuminated signs. G.B.S. Sports has requested a .permit to erect an exterior illuminated sign at their location in Market Plaza. The sign ~ is to be 12' X 24". Recommendation: It is recommended that the city council approve the permit for I! this illuminated sign. Basis for Recommendation: 1. The Inspection Division and the Planning Division have approved the sign. 2. The sign conforms to all applicable city ordinances. i Alternative Recommendation: ~ 1. Not approve the permit. However, the city has no alternative design criteria to suggest for substitutes for this sign. Discussion/Decision Mode: This item has been placed on the consent calendar portion of the January 26th council agenda for consideration. The business is requesting action to complete their sign placement of this new business establishment. ~ Respectfully submitted, I, James Prosser City Manager I, I I i ~[PPROVE ~ ~ DEFY' APPROVE I ~ ~ DEti'Y ( ~ : ~L2~u-ct..... s/;G / /N > •Cicy M.znager Inspector. u r' Date Date APPROVE ~1 TJE:~'1 I ! : ~:.i,~ s APPROVE DEFY) ~ : ~ _ Plannin~ ei}artment City Council • Date 1 ~'~~,r] Date Route to above for special approval per code General Signs APPLICATION FOR ADVERTISING PERMIT City of Richfield, Minnesota Date /L%/~ Zoning Sign Erected - Yes ~No Fee ~ • ° ~ ~ ~ - ' / H , ~lv ~o G~E,~ T ~o ~o Tff ~ Address of Sign L~7 ~ / rceL!A~.t Proprietor Dame ~.t~v ~~i4~~"~~ DBA Sign Erector ,~~jC~/4~ -~~-n./,- • Address /C~~~% ~l,~t,-/,.~(~ ,/~~C~ ,j,S~r~~ Tyne of Sign Design - t.'eather Cover LiQhtin~ "alISingle Face ~ Clear Lexon Constant Projecting Double Face Frosted Lexon Flashing Ground _ Multi-Faced Plastic Covered _ Revolving Roof Aerial/Blimp Shaded Traveling Pedestal Searchlight Neon Zip Lite Changeable Banner/Pennants Other _ Other(Explain) Temporary Portable Frame: Sign Colors LL/-f~~-,-~ ~=,.:~r-= ,c/~^n/ Trailer ~ T ~ A ~ Post Illuminated Yes ~ No Watts ectrical Contractor address Phone Property Owner or his agent Signature Phone Esti~rated Cost ~/il'~ ' Sign Width ~ Height Total Square Feet Position of the advertisement structure in relationship to the adjacent buildings, sidewalks, curbs, roadways, overhead utility lines, vehicle movement lines, or public facilities on drawing with significant dimensions and attached hereto of major signs. I~.inor signs as - defined on page 2. ' Two blueprints of the sign, billboard, or outdoor advertising structure construction plans: including specifications, list of materials, and explicit anchoring or fastening details and a copy of the stress sheets, calculations, color of sign structure. Does the sign copy relate solely to the business, institution, or activity conducted on the premises?~~ t+'ill the sign, structure, or billboard restrict any sight distance under, around, or over for s e acces b}• person destined for or pas 'ng t subject premises? ~ Applica t s gnature and Title with Firm ~ Date ~~,~~~~~»G. Phone :~u er-E~~,~~~ _Q Tai t 8/83 PLEASE ~EE REVERSE SIDE FOR SIGti LOCATION SKETCH Sivert Hendrickson/Building Of~icial - 866-5061 . _ ~ . IH ~ R~lit7~~i ~ O ~ ~ t~ - i~~ti~ ~ ~ c ~ dt ~ Oe- Q~c - . ~ ; . tt :i; 4: ~ ~ _ - t 'y ° _ ...mot ___-S~v ` f ~ ~ ~ .E.~ ~ a~' i ~~~~9 l Qa .~o ~ ~P i; a ~ CITY OF RICHFIELD, MINNESOTA Council Letter No. 19 Agenda January 26, 1987 Issue Statement: Donation of a bullet proof vest to the Police Division, and donation of $350.00 for public education materials to the Fire Division from The Knights of Columbus, Monsignor Thomas E. Meacher Assembly. Background: Bullet proof. vests are .worn under the clothing of Police Officers and found to be very effective in adding a significant measure of security to an Officer in the performance of his duties. The Knights of Columbus; Monsignor Thomas E. Meagher Assembly, recently contacted the Department of Public Safety indicating that they would like to donate a bullet proof vest to the Police Division. Sob Adelman, Faithful Navigator of the Assembly's Community Service Committee will make ther presentation to a member of Police Division at the regularly scheduled council meeting on January 26, 1987. Mr. Adelman will also present a check for $350.00 to the Fire Division at the same time. The money will be used to purchase and print public education material for the Fire Division's Neighborhood Fire Prevention Program. The program is a unique fire safety education project which was designed by the Fire Division last year. Firefighters personally visit residents in selected neighborhoods to distribute fire safety material, and conduct a fire safety demonstration on the street corner at which .neighbors can participate. Recommendation: It is recommended that the city council acknowledge the generosity of the Knights of Columbus in their donation for the purchase of a bullet proof vest and public education materials for the Police and Fire Divisions. Basis of Recommendation: 1. The Police Division and Fire Division is in need of the vest and public education material. 2. Members of the Knights of Columbus will be present at the meeting of January 26, 1987 to make the presentation. Alternative Recommendation: 1. Do not accept the bullet proof vest or funds far the public education material that the Knights of Columbus wish to donate. Decision/Discussion Mode: The members of the Knights of Columbus have requested an opportunity to present the bullet proof vest and check for the public education material to the Police and Fire Divisions of the i - Public Safety Department at the regularly scheduled meeting of the city council on January 26, 1987. Respectfully submitted, Jam D: Prosser Cit Manager JDP/eja I~ I~~ I