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2018.03.06 Council Meeting Packet4141 Douglas Drive North • Crystal, Minnesota 55422-1696 Tel: (763) 531-1000 • Fax: (763) 531-1188 • www.crystalmn.gov Posted: March 2, 2018 City Council Meeting Schedule March 6, 2018 Time Type of meeting Location 6:45 p.m. City Council work session to discuss: Constituent issues update. New business. Announcements. Conference Room A 7 p.m. City Council meeting Council Chambers Following the City Council meeting Economic Development Authority (EDA) meeting to consider: Approval of the sale of an EDA lot at 5607 Zane Ave. N. for construction of a new single family home (public hearing). Acceptance of 2017 Annual Report. Approval of 2018 Work Program. Council Chambers Auxiliary aids are available upon request to individuals with disabilities by calling the City Clerk at (763) 531-1145 at least 96 hours in advance. TTY users may call Minnesota Relay at 711 or 1-800-627-3529. 4141 Douglas Drive North • Crystal, Minnesota 55422-1696 Tel: (763) 531-1000 • Fax: (763) 531-1188 • www.crystalmn.gov Posted: March 2, 2018 City Council Work Session Agenda March 6, 2018 6:45 p.m. Conference Room A Pursuant to due call and notice given in the manner prescribed by Section 3.01 of the City Charter, the work session of the Crystal City Council was held at ______ p.m. on March 6, 2018 in Conference Room A, 4141 Douglas Dr. N., Crystal, Minnesota. I.Attendance Council Members Staff ____ Kolb ____ Therres ____ LaRoche ____ Gilchrist ____ Parsons ____ Ray ____ Adams ____ Leslin ____ Budziszewski ____ Serres ____ Dahl ____ Deshler II.Agenda The purpose of the work session is to discuss the following agenda items: 1.Constituent issues update. 2.New business.* 3.Announcements.* * Denotes no supporting information included in the packet. III.Adjournment The work session adjourned at ______ p.m. Auxiliary aids are available upon request to individuals with disabilities by calling the City Clerk at (763) 531- 1145 at least 96 hours in advance. TTY users may call Minnesota Relay at 711 or 1-800-627-3529. Open Issues (llRA) Page 1 of 1 Open Issues (JIRA) Status: In Progress, New Issue Sorted by: Key descending 1-4 of 4 as at: 02/27/18 4:03 PM T Key Summary Assignee Reporter Status Created Updated --- SJ CRCI-Cyclocross Damage at Valley Place Park Anne Norris Anne Norris NEW ISSUE 11/22/17 11/22/17 71 E CRCI-Litter in EDA parking lots Anne Norris Anne Norris NEW ISSUE 08/21/17 08/22/17 69 El CRCI-36th and Welcome Anne Norris Anne Norris NEW ISSUE 08/21/17 02/22/18 67 m CRCI-30XX Winnetka Anne Norris Anne Norris NEW ISSUE 06/12/17 02/22/18 63 https://crystalmn.atlassian.net/sr/jira.issueviews: searchrequest-printable/10001/SearchRequest-1000 I .html ?temp Max= 1000 2/27/2018 4141 Douglas Drive North • Crystal, Minnesota 55422-1696 Tel: (763) 531-1000 • Fax: (763) 531-1188 • www.crystalmn.gov City Council Meeting Agenda March 6, 2018 7 p.m. Council Chambers The city manager’s comments are bolded. 1. Call to Order, Roll Call and Pledge of Allegiance. 2. Approval of Agenda The Council will consider approval of the agenda. 3. Consent Agenda The Council will consider the following items, which are routine and non-controversial in nature, in a single motion: 3.1 Approval of the minutes from the following meetings: a. The regular City Council meeting on Feb. 20, 2018. b. The regular City Council work sessions on Feb. 20, 2018. 3.2 Approval of the list of license applications submitted by the city clerk to the City Council, a list that is on file in the office of the city clerk. 3.3 Approval of a resolution accepting the following donations: a. $1,600 from Reill Properties, LLC for the Crystal Ball. b. $500 from AH Auto, Inc., DBA Crystal Auto Spa for the Crystal Ball. 3.4 Approval of solicitor licenses for Mark Jenson and Jon Stebbings of Walter’s Recycling and Refuse to go door-to-door in Crystal through Dec. 31, 2018, selling trash removal services. 4. Open Forum (The City Council appreciates hearing from citizens about items of concern and desires to set aside time during each meeting for Open Forum. To provide ample opportunity for all, speaking time is limited to three minutes and topic discussion is limited to ten minutes. The Mayor may, as presiding officer, extend the total time allowed for a topic. By rule, no action may be taken on any item brought before the Council during Open Forum. The Council may place items discussed during Open Forum onto subsequent council meeting agendas.) 5. Regular Agenda 5.1 The Council will consider approval of disbursements over $25,000 submitted by the finance department to the city council, a list that is on file in the office of the finance department. Crystal City Council Meeting Agenda March 6, 2018 Page 2 of 2 Recommend approval of disbursements over $25,000. 6. Announcements a. The Council will hold a work session on March 8 at 6:30 p.m. in Conference Room A at City Hall. b. VFW Post 494 is hosting Bowling for Rocco on Sunday, March 18, from 11 a.m. – 1 p.m., at the New Hope Bowl. c. The next City Council meeting is Tuesday, March 20, at 7 p.m. in the Council Chambers at City Hall. d. Crystal Business Association meets on Wednesday, March 21, at 8:30 a.m. in the Community Room; Mayor Adams will present the 2018 State of the City. e. The Crystal Ball will be held Saturday, March 24, at Crystal Community Center. Tickets are available at the Crystal Community Center and on the city’s website at www.crystalmn.gov. f. Girl and Boy Scout troops are invited to lead the pledge at City Council meetings. Troops who are interested may contact city staff for information. g. City Council meetings and work sessions are open to the public. Current and previous meetings are available for viewing and listening at www.crystalmn.gov. 7. Adjournment 8. March 6, 2018 Meeting Schedule Time Type of meeting Location 6:45 p.m. City Council work session to discuss:  Constituent issues update.  New business.*  Announcements.* Conference Room A 7 p.m. City Council meeting Council Chambers Following the City Council meeting Economic Development Authority (EDA) meeting to consider:  Approval of the sale of an EDA lot at 5607 Zane Ave. N. for construction of a new single family home (public hearing).  Acceptance of 2017 Annual Report.  Approval of 2018 Work Program. Council Chambers * Denotes no supporting information included in the packet. Have a great weekend. Assistant Manager Kim Therres will be at Tuesday’s meeting. Crystal City Council meeting minutes Feb. 20, 2018 Page 1 of 5 1.Call to Order Pursuant to due call and notice thereof, the regular meeting of the Crystal City Council was held on Feb. 20, 2018 at 7 p.m. in the Council Chambers at City Hall, 4141 Douglas Dr. N. in Crystal, Minnesota. Mayor Adams called the meeting to order. Roll Call Mayor Adams asked the city clerk to call the roll for elected officials. Upon roll call, the following attendance was recorded: Council members present: Deshler, Kolb, LaRoche, Parsons, Adams and Dahl.Absent: Budziszewski. City staff present: City Manager A. Norris, Assistant City Manager/Human Resources Manager K. Therres, City Attorney T. Gilchrist, Community Development Director J. Sutter, Deputy Police Chief D. Leslin, Fire Chief S. Larson, Public Works Director/City Engineer M. Ray, Recreation Director J. Elholm and City Clerk C. Serres. Pledge of Allegiance Mayor Adams led the Council and audience in the Pledge of Allegiance. 2.Approval of Agenda The Council considered approval of the agenda. Moved by Council Member LaRoche and seconded by Council Member Dahl to approve the agenda. Motion carried. 3.Consent Agenda The Council considered the following items, which are routine and non-controversial in nature, in a single motion: 3.1 Approval of the minutes from the following meetings: a.The regular City Council meeting on Feb. 5, 2018. b.The regular City Council work sessions on Feb. 5, 2018. c.The regular City Council work session on Feb. 8, 2018. 3.2 Approval of the list of license applications submitted by the city clerk to the City Council, a list that is on file in the office of the city clerk. 3.3 Approval of a solicitor license for Anthony Armstrong, Robert Dawson, Jr. and Anthony Stokes of Custom Remodelers, Inc. to go door-to-door in Crystal through Dec. 31, 2018, offering free estimates and scheduling appointments for home improvement projects. (City Manager Anne Norris pre-approved these licenses on Feb. 12, 2018.) 3.4 Approval of revised Community Outreach Task Force bylaws. 3.5 Approval of Resolution No. 2018-30, seeking Hennepin County funds for Bass Lake Road Promenade. 3.1(a) Crystal City Council meeting minutes Feb. 20, 2018 Page 2 of 5 3.6 Approval of Resolution No. 2018-31, seeking Community Development Block Grant funds for construction of an accessible playground in Becker Park. 3.7 Approval of Resolution No. 2018-32, authorizing an Outdoor Recreation grant application to the Department of Natural Resources for the play area at Becker Park. Moved by Council Member Parsons and seconded by Council Member Deshler to approve the consent agenda. Motion carried. 4.Open Forum No public comment was given during open forum. 5.Regular Agenda 5.1 The Council considered approval of disbursements over $25,000 submitted by the finance department to the City Council, a list that is on file in the office of the finance department. Moved by Council Member Kolb and seconded by Council Member LaRoche to approve the list of disbursements over $25,000. Voting aye: Deshler, Kolb, LaRoche, Parsons, Adams and Dahl. Absent, not voting: Budziszewski. Motion carried. 5.2 The Council considered a resolution approving a variance to reduce the rear setback from 30 to 10 feet at 5573 Zane Ave. N. Community Development Director J. Sutter addressed the Council. Moved by Council Member Parsons and seconded by Council Member Deshler to adopt the following resolution, the reading of which was dispensed with by unanimous consent: RESOLUTION NO. 2018 – 33 RESOLUTION APPROVING A VARIANCE FOR 5573 ZANE AVENUE NORTH Voting aye: Deshler, Kolb, LaRoche, Parsons, Adams and Dahl. Absent, not voting: Budziszewski. Motion carried, resolution declared adopted. 5.3 The Council considered a resolution approving the preliminary and final plat for Crystal Economic Development Authority (EDA) Eighth Addition. Community Development Director J. Sutter addressed the Council. Moved by Council Member Deshler and seconded by Council Member Parsons to adopt the following resolution, the reading of which was dispensed with by unanimous consent: 3.1(a) Crystal City Council meeting minutes Feb. 20, 2018 Page 3 of 5 RESOLUTION NO. 2018 – 34 RESOLUTION APPROVING CRYSTAL ECONOMIC DEVELOPMENT AUTHORITY EIGHTH ADDITION PRELIMINARY AND FINAL PLAT Voting aye: Deshler, Kolb, LaRoche, Parsons, Adams and Dahl. Absent, not voting: Budziszewski. Motion carried, resolution declared adopted. 5.4 The Council considered a resolution establishing parking restrictions on Adair Avenue North. Public Works Director/City Engineer M. Ray addressed the Council. Moved by Council Member Deshler and seconded by Council Member LaRoche to adopt the following resolution, the reading of which was dispensed with by unanimous consent: RESOLUTION NO. 2018 – 35 ESTABLISHING ON STREET PARKING RESTRICTIONS ON ADAIR AVENUE NORTH BETWEEN BASS LAKE ROAD AND LAKELAND AVENUE Voting aye: Deshler, Kolb, LaRoche, Parsons, Adams and Dahl. Absent, not voting: Budziszewski. Motion carried, resolution declared adopted. 5.5 The Council considered a resolution approving an agreement with Short Elliott Hendrickson, Inc. (SEH®) for pedestrian curb ramp improvements. Public Works Director/City Engineer M. Ray addressed the Council. Moved by Council Member LaRoche and seconded by Council Member Dahl to adopt the following resolution, the reading of which was dispensed with by unanimous consent: RESOLUTION NO. 2018 – 36 AWARDING PROFESSIONAL SERVICES CONTRACT FOR PEDESTRIAN CURB RAMP IMPROVEMENTS Voting aye: Deshler, Kolb, LaRoche, Parsons, Adams and Dahl. Absent, not voting: Budziszewski. Motion carried, resolution declared adopted. 5.6 The Council considered a resolution approving building automation systems at Crystal Community Center and City Hall. Public Works Director/City Engineer M. Ray addressed the Council. 3.1(a) Crystal City Council meeting minutes Feb. 20, 2018 Page 4 of 5 Moved by Council Member Parsons and seconded by Council Member Dahl to adopt the following resolution, the reading of which was dispensed with by unanimous consent: RESOLUTION NO. 2018 – 37 AUTHORIZING THE MODERNIZATION OF THE HVAC BUILDING AUTOMATION SYSTEMS FOR THE COMMUNITY CENTER AND CITY HALL Voting aye: Deshler, Kolb, LaRoche, Parsons, Adams and Dahl. Absent, not voting: Budziszewski. Motion carried, resolution declared adopted. 5.7 The Council considered a resolution authorizing the conversion of the south sanitary lift station power supply. Public Works Director/City Engineer M. Ray addressed the Council. Moved by Council Member Kolb and seconded by Council Member Dahl to adopt the following resolution (amending “from 240V to 280V” to read “from 240V to 480V”), the reading of which was dispensed with by unanimous consent: RESOLUTION NO. 2018 – 38 AUTHORIZING THE CONVERSION OF THE SOUTH SANITARY SEWER LIFT STATION POWER SUPPLY Voting aye: Deshler, Kolb, LaRoche, Parsons, Adams and Dahl. Absent, not voting: Budziszewski. Motion carried, resolution declared adopted. 5.8 The Council considered a resolution approving the plans and specifications and authorizing the bid advertisement for the Bass Lake Road streetscape project. Community Development Director J. Sutter addressed the Council. Moved by Council Member Deshler and seconded by Council Member Parsons to adopt the following resolution, the reading of which was dispensed with by unanimous consent: RESOLUTION NO. 2018 – 39 APPROVING PLANS AND SPECIFICATIONS AND ORDERING ADVERTISEMENT FOR BIDS BASS LAKE ROAD STREETSCAPE PROJECT #2018-07 Voting aye: Deshler, Kolb, LaRoche, Parsons, Adams and Dahl. Absent, not voting: Budziszewski. Motion carried, resolution declared adopted. 3.1(a) Crystal City Council meeting minutes Feb. 20, 2018 Page 5 of 5 6.Announcements The Council made several announcements about upcoming events. 7.Adjournment Moved by Council Member LaRoche and seconded by Council Member Dahl to adjourn the meeting. Motion carried. The meeting adjourned at 7:41 p.m. __________________________________ Jim Adams, Mayor ATTEST: _________________________________________ Chrissy Serres, City Clerk 3.1(a) Crystal City Council first work session minutes Feb. 20, 2018 Pursuant to due call and notice given in the manner prescribed by Section 3.01 of the City Charter, the first work session of the Crystal City Council was held at 6:30 p.m. on Feb. 20, 2018 in Conference Room A, 4141 Douglas Dr. N., Crystal, Minnesota. Mayor Adams called the meeting to order. I.Attendance The city clerk recorded the attendance for City Council members and staff: Council members present: Deshler, Kolb, LaRoche, Parsons, Adams and Dahl. Absent: Budziszewski. City staff present: City Manager A. Norris, Assistant City Manager/Human Resources Manager K. Therres, City Attorney T. Gilchrist, Public Works Director/City Engineer M. Ray, Recreation Director J. Elholm, Deputy Police Chief D. Leslin and City Clerk C. Serres. Others present: Shingle Creek Watershed Management Commissioner Burt Orred. II.Agenda The Council and staff discussed the following agenda item: 1.Bassett Creek and Shingle Creek Watershed update. III.Adjournment The work session adjourned at 6:54 p.m. ________________________________ Jim Adams, Mayor ATTEST: Chrissy Serres, City Clerk 3.1(b) Crystal City Council second work session minutes Feb. 20, 2018 Pursuant to due call and notice given in the manner prescribed by Section 3.01 of the City Charter, the second work session of the Crystal City Council was held at 8:51 p.m. on Feb. 20, 2018 in Conference Room A, 4141 Douglas Dr. N., Crystal, Minnesota. Mayor Adams called the meeting to order. I.Attendance The city clerk recorded the attendance for City Council members and staff: Council members present: Deshler, Kolb, LaRoche, Parsons, Adams and Dahl. Absent: Budziszewski. City staff present: City Manager A. Norris, Assistant City Manager/Human Resources Manager K. Therres, City Attorney T. Gilchrist, Public Works Director/City Engineer M. Ray, Community Development Director J. Sutter, Deputy Police Chief D. Leslin and City Clerk C. Serres. II.Agenda The Council and staff discussed the following agenda items: 1.Disorderly properties. 2.Chapter 815 regarding snow removal – sidewalks. 3.City manager monthly update. 4.Constituent issues update. 5.New business. 6.Announcements. III.Adjournment The work session adjourned at 10:04 p.m. ________________________________ Jim Adams, Mayor ATTEST: Chrissy Serres, City Clerk 3.1(b) Page 1 of 1 City of Crystal Council Meeting March 6, 2018 Applications for City License Rental – New 2743 Douglas Dr N – Reese Pfeiffer and Michael Fruen (Conditional) Rental – Renewal 3237 Adair Ave N – Peter and Szara Loring (Conditional) 5720 Adair Ave N – IH3 Property Minnesota LP (Conditional) 5725 Adair Ave N – JDA Group LLC 5127 Edgewood Ave N – David and Irene Moore (Conditional) 2736 Jersey Ave N – Dennis and Barb Arel (Conditional) 4856 Jersey Ave N – Equity Trust Company 5204 Jersey Ave N – Felix and Sarah Volzing (Conditional) 6300 Lombardy La N – Duane Baltus (Conditional) 3230-3236 Nevada Ave N – Heide and Thomas Coyle 3424 Perry Ave N – Susan M and George T Robinson 5731 Regent Ave N – Thomas Ruen (Conditional) 5809 Rhode Island Ave N – AH Properties LLC (Conditional) 5973 Rhode Island Ave N – David Barrett (Conditional) 3010 Sumter Ave N – Crystal Village Apartment LLC (Conditional) 3216 Welcome Ave N – Chris Nelson 4719 Welcome Ave N – Julie Zhu 4733 Welcome Ave N – Sharlana Bacchus (Conditional) 5765 West Broadway – MNSF (Conditional) 3049 Winnetka Ave N – Reill Properties LLC 4512 Yates Ave N – Drew and Terri Kabanuk 3426 Zane Ave N – Equity Trust Company 6300 27th Ave N – Solar Partnership IV, L.L.P (Conditional) 6400 27th Ave N – Solar Partnership IV, L.L.P (Conditional) 8009 33rd Pl N – David and Tanya Yerich 5808-5812 36th Ave N – Thielen Management LLC 6716 43rd Ave N – Bobbie Morlock (Conditional) 5724 45th Ave N – Yeah LLC 5023 49th Ave N – McClure Properties LLC 5013 50th Ave N – Dave Baumann and Todd Havisto 5024 51st Ave N – Claudette Shafer 7105 52nd Ave N – Steve and Karen Grotting 5610 56th Ave N – Khue Dang (Conditional) 7717 59th Pl N – Mark and Jodi Heiden (Conditional) 6712 60th Ave N – Pranab Chatterjee (Conditional) 3.2 CITY OF CRYSTAL RESOLUTION NO. 2018 - RESOLUTION ACCEPTING DONATIONS FROM REILL PROPERTIES, LLC AND AH AUTO, INC. DBA CRYSTAL AUTO SPA WHEREAS, Minnesota Statute §465.03 requires that all gifts and donations of real or personal property be accepted only with the adoption of a resolution; and WHEREAS, said donations must be accepted by a resolution adopted by the City Council. NOW, THEREFORE, BE IT RESOLVED by the City Council of the City of Crystal to accept the following donations: Donor Purpose Amount Reill Properties, LLC Crystal Ball $1,600 AH Auto, Inc. DBA Crystal Auto Spa Crystal Ball $500 And BE IT FURTHER RESOLVED that the Crystal City Council sincerely thanks the above-named for their generous donations. Dated: March 6, 2018 By: __________________________ Jim Adams, Mayor ATTEST: __________________________ Chrissy Serres, City Clerk 3.3 MEMORANDUM DATE: February 28, 2018 TO: Crystal City Council City Manager Anne Norris FROM: Administrative Services Coordinator Trudy Tassoni SUBJECT: Solicitor licenses for Walter’s Recycling & Refuse Walter’s Recycling & Refuse is requesting solicitor licenses for Mark Jenson and Jon Stebbings to go door-to-door in Crystal through December 31, 2018, selling trash removal services. Both applicants passed a criminal history background check conducted by the Police Department. Council Action Requested As part of the Consent Agenda, approve the above-mentioned solicitor licenses. The applications are available for review in the city clerk’s office. COUNCIL STAFF REPORT Consent Agenda: Solicitor Licenses March 6, 2018 Council Meeting 3.4 5.1 AGENDA ECONOMIC DEVELOPMENT AUTHORITY OF THE CITY OF CRYSTAL  REGULAR MEETING  TUESDAY, MARCH 6, 2018 IMMEDIATELY FOLLOWING THE 7:00 P.M. CITY COUNCIL MEETING CRYSTAL CITY HALL COUNCIL CHAMBERS 1. Call to order * 2. Roll call * 3. Consider approval of minutes from the February 5, 2018 regular meeting and February 20, 2018 work session. 4. Public Hearing to consider a resolution approving the sale of an EDA lot at 5607 Zane Avenue North to Novak-Fleck for construction of a new single family home 5. Consider acceptance of the 2017 EDA Annual Report 6. Consider approval of the 2018 EDA Work Program 7. Other business * 8. Adjournment * *Items for which no materials are included in the packet Page 1 of 2 Minutes of the Economic Development Authority of the City of Crystal Regular Meeting February 5, 2018 1. Call to Order President Parsons called the regular meeting of the Economic Development Authority of the City of Crystal (EDA) to order at 8:07 p.m. 2. Roll Call Upon call of the roll, the following members were present: Jim Adams, John Budziszewski, Elizabeth Dahl, Jeff Kolb, Nancy LaRoche and Olga Parsons. The following staff members were present: Anne Norris, Executive Director, John Sutter, Deputy Executive Director, Dan Olson, City Planner, and Troy Gilchrist, City Attorney. 3. Approval of Minutes Motion by Commissioner Kolb (Adams) to approve the minutes of the January 2, 2018 annual organizational meeting. Motion carried. 4. 5573 Zane - Lot Sale Public Hearing The EDA held a public hearing to consider a resolution approving the sale of an EDA lot at 5573 Zane Avenue North to Novak-Fleck for construction of a new single family home. Mr. Olson presented the staff report and took questions from the Board. President Parsons opened the public hearing. There being no one present to offer testimony, President Parsons closed the public hearing. Motion by Commissioner Budziszewski (LaRoche) to adopt the resolution authorizing the sale of 5573 Zane Avenue North to Novak-Fleck for new home construction. Motion carried. 5. 5607 Zane - Consider Builder’s Proposal The EDA considered tentative acceptance of a proposal from Novak-Fleck to purchase the EDA lot at 5607 Zane Avenue North. Mr. Olson presented the staff report and took questions from the Board. Page 2 of 2 Motion by Commissioner Budziszewski (LaRoche) to tentatively accept the proposal from Novak-Fleck for the EDA lot at 5607 Zane Avenue North. Motion carried. 6. Information item: 2017 Housing, Foreclosure and Rental Summary Mr. Sutter presented the staff report and took questions from the Board. 7. Other Business There was no other business. 8. Adjourment Motion by Commissioner LaRoche (Adams) to adjourn. Motion carried. The meeting adjourned at 8:28 p.m. ______________________________ Olga Parsons, President ATTEST: ______________________________ Elizabeth Dahl, Secretary Page 1 of 1 Minutes of the Economic Development Authority of the City of Crystal Work Session February 20, 2018 1. Call to Order President Parsons called the work session of the Economic Development Authority of the City of Crystal (EDA) to order at 7:46 p.m. 2. Roll Call Upon call of the roll, the following members were present: Jim Adams, Elizabeth Dahl, Julie Deshler, Jeff Kolb, Nancy LaRoche and Olga Parsons. The following staff members were present: Anne Norris, Executive Director, John Sutter, Deputy Executive Director, and Troy Gilchrist, City Attorney. 3. Proposed 2017 Annual Report and 2018 Work Program Mr. Sutter presented the draft 2017 Annual Report and 2018 Work Program and took questions from the EDA. 4. Adjournment Motion by Commissioner Deshler (LaRoche) to adjourn. Motion carried. The meeting adjourned at 8:50 p.m. ______________________________ Olga Parsons, President ATTEST: ______________________________ Elizabeth Dahl, Secretary ___________________________________________________________ FROM: Dan Olson, City Planner ____________________________________________________________________ TO: Anne Norris, City Manager (for March 6 EDA Meeting) DATE: March 1, 2018 RE: PUBLIC HEARING: Consider resolution authorizing the sale of lot at 5607 Zane Avenue North for construction of new home Novak Fleck, a Minnesota Residential Building Contractor with no enforcement actions, has submitted a proposal to purchase the lot at 5607 Zane Avenue North for $55,000. The EDA tentatively accepted the builder’s proposal on February 5, 2018. There have not been any changes to the site or building plan since that tentative approval . Attached are an aerial photo and proposed site and building plans for a new home with an attached two-car garage. The house would have approximately 1,200 finished square feet on the main level with an open living-dining-kitchen area, three bedrooms and two bathrooms. It would also have unfinished square footage on the lower level, with an option to have it finished with additional bedrooms, a bathroom, and recreation room. Similar homes have been built by Novak Fleck on other EDA lots, including 5209 - 49th Avenue North which recently sold for $265,000. The builder does not yet have a buyer for the home at 5607 Zane Avenue North. For 5607 Zane, if on March 6 the EDA adopts the attached resolution, then the lot sale would close soon after. Construction would begin after closing with completion anticipated by summer 2018. REQUESTED EDA ACTION: After holding the public hearing and receiving any testimony, consider adopting the attached resolution authorizing the property sale of 5607 Zane Avenue North to Novak Fleck. EDA STAFF REPORT PUBLIC HEARING 5607 Zane Avenue North – Sale of lot to Novak Fleck ECONOMIC DEVELOPMENT AUTHORITY OF THE CITY OF CRYSTAL HENNEPIN COUNTY STATE OF MINNESOTA RESOLUTION NO. 2018 - 03 A RESOLUTION AUTHORIZING THE SALE OF 5607 ZANE AVENUE NORTH FOR NEW HOUSE CONSTRUCTION WHEREAS, the Economic Development Authority of the City of Crystal (“the EDA”) is the owner of 5607 Zane Avenue North, legally described as follows: Lot 9, Block 2, Kennard’s Second Addition, Hennepin County, Minnesota (“the Property”); and WHEREAS, the EDA has solicited proposals from builders who desire to purchase the Property from the EDA and construct thereon a new single family house; and WHEREAS, the EDA has reviewed and accepted the proposal from Novak-Fleck. NOW, THEREFORE, BE IT RESOLVED that the EDA authorizes the sale of the Propert y to Novak-Fleck. BE IT FURTHER RESOLVED that the sale shall be completed in accordance with the terms of the Purchase and Redevelopment Agreement in substantially the form on file in City Hall, and that the President and Executive Director are hereby authorized to sign said Agreement and other documents required to complete the sale of the Property to Novak-Fleck. Adopted this 6th day of March, 2018. ____________________________________ Olga Parsons, President ____________________________________ Anne Norris, Executive Director March 6, 2018 Scattered Site Redevelopment •Five lots sold in 2017$55,000 average lot price •Four new homes sold (fifth is pending sale)$288,000 average home price1,611 finished sq. ft. average home size$179 average price per finished sq. ft. Scattered Site Redevelopment Scattered Site Redevelopment Home Improvement Rebates •Households eligible up to 120% of area median income •84 rebates paid in 2017•$167,185 total expenditures− $134,185 in rebates− $33,000 for admin•Average rebate $1,597•Average project $14,246 Home Improvement Rebates Deferred Home Improvement Loans •Federal funds (Community Development Block Grant)•Households below 50% of area median income•No interest charge•Loan forgiven after 15 yearsRepayment required if they move out or sellRepayments go back into the program•In 2017, five Crystal projects were completed and $141,000 was spent•At the end of 2017, two projects totaling $58,000 were in process and 19 homeowners were on the waiting list CPRR Train Horn Quiet Zone •Completed 11/25/2017Contractor will come back in spring 2018 to complete minor punch list items related to road work•Final construction cost projected to be $185,000$8,000 less than bid due to reduced quantities•99.8% compliance with train horn ruleRoad crossing sequence blown only 4 times in 1,680 estimated crossings since 11/25/2017Different horn sounds used occasionally for other reasons•BNSF trains still routinely use the road crossing sequenceSome people mistake these occurrences for CPRR trainsIf Blue Line Extension is built, BNSF will also be a QZ 4-plex at 5900 56th •EDA acquired May 2017•Tenants relocated in August-September 2017•EDA decided in October 2017 to demolish and sell lot•Demolition completed November 2017•Estimated expenditure at time of acquisition: $427,000•Actual expenditures: $401,000 Other 2017 Activities Community Branding & Image Enhancement:•New neighborhood signs•New City Hall entry signs Blight Removal:•Demolition of old park buildings at Broadway and Crystal Highlands parks The EDA paid the cash expenditures related to these items. The Public Works Department provided in-kind labor/equipment. City Property atYear-End 2017 (north third) City Property at Year-End 2017 (middle third) City Property at Year-End 2017 (south third) March 6, 2018 Continuing Activities 1. Scattered Site Lots•One sold(4724 Lakeland)•Two pending (5573 & 5607 Zane)•Two likely by June (5612 & 5618 Adair)•Estimated proceeds $280,000 (budget was $105,000) Continuing Activities2. Home Improvement Grants•Now administered by CEE•Maximum household income 110% AMI•$185,000 budgeted for 2018 (mostly TIF) 3. Community Fix-Up Fund•Also administered by CEE & max. income 110% AMI•$25,000 budgeted for 2018 (all TIF)•Seeking state match again (will know by summer) 4. Deferred Home Improvement Loans•Federal funds (CDBG)•Maximum household income 50% AMI•Crystal now part of the Consolidated Pool Bass Lake Road Streetscape Project Key Project Elements:•12-spaces of on-street parallel parking•Reconstruct sidewalk•New fixtures (benches, bike racks, trash receptacles, etc.)•New landscaping including irrigation•Paved boulevard/buffer area with decorative concrete•Lighting retrofit/upgrade to LEDs Both sides of Bass Lake Road from BNSF to HampshireIncludes much better parking lot illumination for security Bass Lake Road Streetscape Project Bass Lake Road Streetscape ProjectFinancing:•$602,000 for construction$200,000 from Hennepin County$330,000 of available increment from TIF District #2151$72,000 from Street Light Utility•$48,000 for construction engineering (from EDA fund balance) Schedule: Bidding – March 2018 Construction start – May 2018 Substantial completion – July 2018 Final completion – September 2018 Open To Business •Adjacent cities offer this service•Cost is $3,750/year (matched by Hennepin County)•Encourages self-employment and “organic” business growth•O2B provides technical assistance with business plans, marketing, etc.•O2B advisors are available by appointment at no cost•O2B will also have bimonthly office hours in Crystal for walk-ins Fire Sprinkler Financing •Intended to:Reduce potential loss of life (occupants & first responders)Preserve & enhance property valuesPrevent the emergence of blightImprove utilization of older buildings (jobs & economic opportunity) •Structured as a special assessment •No interest, 5 year payback term •Max. 25% property value and $100,000 per parcel Community Image Enhancement •Remove “Welcome to Crystal” sign on Burger King property at West Broadway & Douglas DriveSign was built as part of 1995 development dealCity has no formal easement for the signSign structure is failing - need to remove or replace •Install standardized entry signs at entry points on major roadsIntegrate new city logo and/or flag into the designGoal is to be less utilitarian, more decorative, possibly with some beautification elementsPossible locations to start:-36th Avenue median west of Hwy 100-Northeast corner of Douglas Drive & Medicine Lake RoadCould use as model for other entrance points Marketing•Marketing Brochure / Social Media Materials – 2018 TaskMay need two versions (one residential, one commercial)Residential: Proximity, parks and schools, great valueCommercial: Proximity, workforce, business-friendlyWe have a good story to tell!•Business Recruitment - different strategies for different situationsMost businesses already know where they want to be -won’t be swayed by city - but may respond to grassroots social media campaigns and city can help with that.Continue to reach out to potential businesses when a property goes on the marketSmaller businesses and start-ups may benefit from O2BCity staff is accessible and responsiveCity code changes (incl. UDC) make it easier to do business here 42nd Avenue•Has an outsized negative impact on Crystal’s image•Unsure if/when redevelopment opportunities would arise•Unsure if/when county will reconstruct roadway•2018 goal: Feasibility of utility undergrounding and street lighting, including potential funding, for 2019 construction Looking Ahead(Biennial Budget Cycle)