04-02-1984 JointCITY OF RICHFIELD
SPECIAL JOINT riEETING
CITY COtTNCIL, HOUSING & REDEVELOPMENT AUTHORITY
PLANNING COMMISSION & COMMUNITY SERVICES COMMISSION
APRIL 2, 1984
The City Council of the City of Richfield met in special joint session with
the Housing & Redevelopment Authority, Planning Commission and Community Services
Commission on April 2, 1984 at 7:00 p.m.
Mayor John Hamilton called the meeting to order at 7:10 p.m.
Council Members Present: Hamilton, Bunce, Ludeman and Kirsch
Planning Commission Members Present: Kritzman, Ahlquist, Luettinger, Jensen,
McDermott, Hoverson
Community Services Advisory Commission Members Present: Dunham, Sandahl
Housing & Redevelopment Authority Members Present: Harms, Helmberger,
Luettinger, Aassenstab and Ludeman
Introductory remarks were made by the Mayor.
City Manager Cartwright said the purpose of the meeting is to allow a thorough
discussion of issues related to Legion Lake park development and the proposed Portland
Avenue housing development (DADA).
I. Park Development
A. Legion Lake
Community Services Director Don Fondrick reviewed the history of Legion Lake.
The master plan envisioned Legion Lake being developed as a central park for the
entire community. Also mentioned was the fact that land along Portland Avenue has
been acquired by the HRA. In 1980, the consulting firm of Setter, Leach & Lindstrom
did a study of Legion Lake and specific Richfield school facilities. The study
indicated the need for more basic data:-storm water collection information, soil
data, topography and water plant facility data.
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Mr. Fondrick indicated that the next phase in park development is to collect
this data. Legion Lake has an area of 100 acres, but not all of it will support
building construction or active recreation activities.
The next step after data gathering is to prepare a park development master
plan. Mr. Fondrick stated it was his opinion that a park consultant should be hired.
Two alternatives were mentioned by Mr. Fondrick: (1) the University of Minnesota;
or, f,2~ a private consultant. The U of M approach was favored by Mr. Fondrick.
Themes of the park include "a park for young families" or a "21st century'`' park.
Mr. Harms raised a question about the timeframe for park development. Pro-
fessional consultants could initiate a study immediately and the U of M would not
be able to start the study until the fall of 1984.
Mr. Cederholm, 5th Avenue South, asked about the improvement of 62 & I-35
and the impact on Legion Lake. Commissioner Luettinger asked whether funds are
presently available for park improvement. Mr. Cederholm made the comment that
Portland Avenue is a poor location for a Iow and moderate income housing project.
Mr. Dennis Rraft, Community Development Director, responded that this project is
targeted at families with incomes of $25,000 to $35,000. Mr. Rraft also indicated
that the. proposed housing development would not substantially add to the volume of
traffic on Portland Avenue.
B. Housing
1. Housing Plan Discussion
Community Development Director Kraft presented a brief overview of the
history of housing-related activities at the Legion Lake site. He also indicated
members of his staff would provide further background on this subject.
(a) Susan Merriam presented an overview of Richfield demographics during
the past 50 years. The population grew rapidly between 1950 and 1970, and peaked
in 1970. Between 1970 and 1980, Richfield had the largest percentage of decline
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in population in the entire state. The age composition has changed from a large
concentration of young people to a gradual aging of the population. Income remained
•s table between 1950 to 1970, but increased dramatically between 1970 to 1980.
Single family housing starts peaked in the 1950'x. There was a large increase in
housing value between 1970 to 1980, a larger increase than in income. Richfield
presently has low vacancy rates, which restricts the availability of housing in the
community.
(b) Mr. Itraft presented the adopted housing policies, goals and priority
issues. He stated that the Comprehensive Plan is a guide for future growth. It is
a way to preserve and enhance price in housing, require high standards, to diversify
housing stock and balance types of housing and demographic composition. With in-
creased housing costs., he indicated there is a need to provide some housing subsidies
to attract young families to Richfield.
The Housing Plan essentially reflects the Comprehensive Plan in describing
community needs. The City contains mostly middle income housing. There is a need
to continue to pursue funding sources which benefit the community by offering new
ownership and rental opportunities for middle income younger families. Subsidized
housing is one of the seven Cop priorities of the City Council. Legion Lake housing
is included in the high-priority category as delineated by the City Council for 1984.
(c) Marcia Hale discussed the HRA and its programs that address housing
goals for Richfield. Ms. Hale indicated that there was a pent-up demand for housing
in the 1940'x. New federal programs for veterans and tax deductions helped supply
housing following the war. The Richfield HRA was formed in 1974 to provide affordable
housing for persons with low and moderate incomes. The HRA programs include:
1. Rehabilitation Grants/Loans - Targeted to lower income families - 167
homeowners have been assisted by this program since its inception.
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2. MHFA Rehab Loans/Grants - Low and moderate income focus - 53 homeowners
have been assisted with grants and 338 homeowners have been assis ted
with loans.
3. Energy Conservation - Low interest loans, sliding scale, no income
limits - 27 homeowners have been assisted since November 1984.
4. Vo-Tech Rehab or New Construction - Section 8 financial limits - 6
units provided since 1978, with CDBG funds used to acquire property.
5. Section _8 Eristint~ Rental Assistance - 30% of income is paid, and as of
February, 1984, the remainder is paid by HUD - 261 elderly or families
are participating in the program.
Bruce Nordquist presented a 1984 perspective.
6. New Home Program - 25 units have been provided since inception using
CDBG funds with a city match - 14 New Ford Towns lots have been developed
and 5 units of rental housing 'provided within the Section 8 income limits.o.
7. Voluntary Acquisition - 4 properties have been acquired with CDBG funds.
8. Lyndale-Hub-Nicollet Redelo~oment Area/Coach Homes - Townhouses, 92 units -
$59,000 to $92,000 selling price - Lake Shore Drive Condominium Project -
178 units with selling price of $47,000 to $93,000.
9. Richfield Towers - 149 units, elderly - 100% assisted.
Mr. Nordquist raised the hypothetical question: If we were to develop
housing and assistance programs, what would they be? His theorized response was
that they would address the following concerns:
- Stabilize the population in Richfield.
- Minimize the impact of housing costs on middle income families.
- The diminishing financial resources in housing finance market.
- The limited land available in Richfield.
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- A site analysis (advantages and disadvantages) of the following
sites was discussed: PADA, Cedar, 76th and 77th, 77th and Colfax,
77th and Emerson, 35-W and 494, 62nd and Queen.
- Variety of income groups which have been met - we have assisted
low and moderate. PADA would assist slightly higher income families.
- Metro housing market.
Mr. Bruce Palmborg presented the housing strategy for 1984. He initially
presented a PADA chronology which included actions of the HRA,_Planning Commission ,
and City Council over the past two years.
Mr. Palmborg described examples of housing types which could be built on
the Portland Avenue site. PADA would fit into the existing value structure of
existing housing on the Portland site and also within the income of Richfield
residents.
Mr. Tom Harms, HRA Chair, stated that Legion Lake is a valuable resource
and that housing is an important addition to the community. This project is not
for the low income persons, but first time, middle income homebuyers. He
indicated that in his opinion this project is good for the city. He also stressed
the need to move fast in order to utilize the bonding authority granted by the MHFA.
Mr. Dave Dunham, Community Services Advisory Commission, stated that it
appeared to him that housing is being "plopped" on the site. He was concerned
about mass housing and the need to inform people residing in the area.
Mr. Mike Sandahl, Community Services Advisory Commission, stated that it is
not a question of whether housing is appropriate, but that a well thought out plan
for all of Legion Lake is needed prior to any development occurring.
Mr. Mark Ahlquist, Planning Commission Chair, stated that the Planning
Commission first heard of PADA in 1982 as part of Comprehensive Plan conformance
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April 2, 19.84
findings. He stated that he recalled the Commissioners had deleted housing from
the resolution at that time, yet housing development was still being considered
for the Legion Lake site. Mr. Ahlquist also said there appeared to be a lack of
communication between city staff and the HRA concerning Planning Commission actions
concerning PARA. He indicated that the next time the Planning Commission heard
about PADA was February, 1984. He remarked that, in his opinion, overall planning
is necessary. The Comprehensive Plan should first be amended, then rezoning
should occur when the developer is selected for the housing project.
The City Council questioned what the best type of development for Legion bake
was. Mayor Hamilton indicated that he would like to see {shat is to be planned for
Legion Lake Park first. Mr. Bunce indicated that the city needs additional housing,
but that DADA is not necessarily the site. He thought that additional study of the
area is needed. He also indicated that he was not convinced that complete develop
meat of Legion Lake was either necessary or appropriate. Mr. Ludeman stated that
the PADA project, as proposed was at too high a density, and that maybe duplexes
would be better for the site. He also indicated concern about where 40 to 80
children would play. A Comprehensive Plan of Legion Lake is needed, in his opinion.
Mr. Kirsch also felt that a Comprehensive Plan of Legion Lake is necessary and that
proposed housing density was too high.
City Manager Cartwright outlined the four alternatives available for future
direction on PADA. The most likely choices appeared to be to either proceed with
the housing regardless of the status of park planning, or to accelerate the park
planning if possible in order to fit it into the MHFA bond schedule deadline of
September 1, 1984. Mr. Harms indicated it was best to speed up park planning.
Commissioner Luettinger asked if a time extension could be granted. Mr. Kraft said
he would look into this. Commissioner Sandahl questioned how specific the location
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Special Joint Meeting -7- April Z, 1984
of housing needed to be with MHFA. Mr. Fondrick expressed concern about receiving
adequate information before September 1. Commissioner McDermott asked if any
information could be used from the Setter Leach study. The reply was that this
study was of limited value.
Mayor Hamilton directed staff to consider the issue discussed and to report
back in a month to all four bodies with a recommendation based on the discussion.
Neighborhood notices and the impact of the decision also need to be considered
by the staff.
II. Zoning Hearing Officer Process
Director of Community Development Dennis Kraft gave a brief history of .the
joint City Council - Planning Commission Committee discussions concerning
instituting a hearing officer process. The council discussed the role of the
hearing officer and whether or not to proceed in developing a hearing officer
process. The council directed staff to work with the city attorney's office in
developing an ordinance for Planning Commission and City Council consideration
to implement a zoning ordinance hearing officer process.
III. Lake Shore Drive Street. Renaming
Director of Community Development Dennis Kraft outlined the streets to be
considered for renaming and the potential impact of the renamings. Councilman
Bunce said that the request for renaming of Lake Shore Drive was to honor Fred
Babcock because he was the only Richfield police officer to die in the line of
duty. The council directed staff to change the name of the portion of Rae Drive
between 65th Street and 66th Street to Lake Shore Drive. The council also directed
the Planning Coaanission to hold a public hearing on the possible renaming of the
portion of Lake Shore Drive lying south of Wood Lake and to make a recommendation
to the City Council after consideration of this subject.
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IV. S4ecial Use Permit Amendment to Allow Professional Offices in Certain
Residential Districts
Planning Commission Chairman Mark Ahlquist inquired about the council action
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concerning the professional office related ordinance amendment the Planning
Commission had recommended for council adoption. Council members outlined their
concerns that the ordinance included too many professions. The council indicated
that they would discuss referring this item back to the Planning Commission for
further study at their next meeting.
The meeting adjourned at 10;20 p.m.
Date Approved; May 14, 1984
Ronald Rankin Acting City Clerk
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