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HomeMy WebLinkAbout2024-03-21 DTPC Packet( �'1 I '1 water THE �RT�EIOI�INSOTA DOWNTOWN PARKING COMMISSION March 21, 2024 REGULAR MEETING 8:30 A.M. I. CALL TO ORDER II. ROLL CALL III. APPROVAL OF MINUTES 1. Possible approval of the November 16, 2023 meeting minutes IV. OPEN FORUM - The Open Forum is a portion of the Commission meeting to address subjects which are not a part of the meeting agenda. The Chairperson may reply at the time of the statement or may give direction to staff regarding investigation of the concerns expressed. Out of respect for others in attendance, please limit your comments to 5 minutes or less. V. CONSENT AGENDA — These items are considered routine and will be enacted by one motion with no discussion. Anyone may request an item to be removed from the consent agenda and considered separately. VI. UNFINISHED BUSINESS VII. NEW BUSINESS 2. Update on Planned Lot 8 Reconstruction and River Market Co-op Parking Lease VIII. FYI — STAFF UPDATES 3. Update and Discussion on Downtown Parking Changes Implementation — NO PACKET MATERIALS a. Update on New Parking Permit Software b. Update on Additional Credit Card Terminals c. Update on South Main Street Loading Zone Pilot Study 4. Commission Work Plan IX. ADJOURNMENT l j 1Water 74E 1INTNNLA CE Of MINNESOTA DOWNTOWN PARKING COMMISSION MEETING November 16, 2023 Chairman Glynn called the meeting to order at 8:30 a.m. Present: Chairman Glynn, Commissioners Bates, Kaufer, Lentz, Lepage, Rheinberger, Councilmember Junker Absent: None Staff present: Community Development Director Gladhill APPROVAL OF MINUTES Possible approval of October 19. 2023 meeting minutes Motion by Commissioner Rheinberger, seconded by Commissioner Lepage, to approve the October 19, 2023 meeting minutes. All in favor. OPEN FORUM There were no public comments. CONSENT AGENDA There were no items on the Consent Agenda. UNFINISHED BUSINESS There was no unfinished business. NEW BUSINESS Requests for Loading Zone (Peter Hovland and Loft at Studio 1) and Valet Zone (Loft at Studio J) on 200 Block of Main Street South Mr. Gladhill stated that the City has received two requests involving the 200 block of Main Street: 1) Peter Hovland, Hovland Music Conservancy, has asked to relocate an existing 15 minute Loading Zone currently located in front of 224 Main St S to the corner of Main Street and Chestnut Street in front of 202 Main St S. Staff supports this request because it is a one -for -one trade. Loading Zones are now 30 minutes on Main St. 2) Judd Sather, The Loft at Studio J, has requested to convert two new parking stalls to Loading Zone/Valet Zone reserved for The Loft at Studio J, citing a concern with public safety due to vendors double parking on Main Street. Staff notes that the space in front of 214 Main St S was not a loading zone, valet zone, nor parking stall prior to 2023. Staff is concerned about the ripple effect of establishing valet zones, which currently are only offered to hotels and lodging due to their unique overnight parking needs. Currently there is no policy on valet parking requests. Additionally, any change on Main Street (a State highway) requires approval by the Minnesota Department of Transportation (MnDOT). Mr. Gladhill said additional background information was received from Mr. Sather today. Downtown Parking Commission Meeting November 16, 2023 Mr. Sather clarified that his business doesn't need a valet spot, only a Loading Zone for elderly and handicapped people who are being dropped off or picked up at the event center and for caterers and DJs to load and unload equipment and supplies. Councilmember Junker stated he would support moving the existing Loading Zone parking space to the corner. He is concerned that every business will want 15 minute parking or a loading zone in front of their business. Chairman Glynn acknowledged a loading zone would serve the business whether DJs with equipment, caterers with food, or the public who attend the events who may be handicapped or need help. The City has pushed a lot of business services to the alleys such as Water St and Union Alley. He would rather see businesses working with businesses on creative solutions rather than having the City address individual requests. Mr. Gladhill asked Mr. Sather if he would need one or two stalls, and Mr. Sather answered that vans, limos and trolleys won't fit in one stall, so it would require two. His request is for two spaces plus the Loading Zone remaining where it is. Chairman Glynn said the Commission should work on a policy vs individual requests. For example, the policy could be that on any block there should be a 15 minute loading zone. The Commission also should look at where handicapped -accessible parking spaces are located. Mr. Gladhill suggested whatever the Commission decides on the current requests, calling it a pilot project which can be adjusted not just for Studio J but for all businesses on the block. Mr. Sather commented that three parking spots are needed for a loading zone, for larger vehicles or the trolley. He prefers the term "Loading" rather than the 30 minute restriction, because vehicles parked for 30 minutes could block people who need to unload. Mr. Gladhill voiced concern about designating three stalls for loading/unloading only. He would strongly prefer limiting it to two stalls and signing it as 15 minute parking. Bigger vehicles requiring more space would need to be load and unload on the side street. The City can be dynamic, for instance allowing a business to reserve the stalls for a specific event or time period and putting out a sandwich board sign or movable 12"x18" sign. Councilmember Junker, Commissioner Lentz and Chairman Glynn all agreed that "15 minute parking" will not work for signage - people will park there for a half hour or an hour. The signs should say "Loading/Unloading." Mr. Sather said for elderly and handicapped people, he would prefer the loading/unloading spaces would be in front of his business in mid -block rather than on the north end of the block. Mr. Gladhill countered that the loading/unloading spaces should be at one of the corners, not in the middle of the block. The City spent a lot of time creating those spaces. Operationally, at the north end it would be easier for vehicles to pull straight in and back out. Somehow the signage needs to be clear that loading/unloading means for catering deliveries as well as people with mobility issues. Councilmember Junker commented that enforcement will be very important. Motion by Commissioner Rheinberger, seconded by Commissioner Bates, to recommend that the City Council approve a pilot project to designate the two northernmost stalls in the 200 block of Main St S on the west side to Loading/Unloading Zone, and move the 15-minute parking stall to the third stall from the north end, with enhanced enforcement. All in favor. FYI/STAFF UPDATES Update and Discussion on Downtown Parking Changes Implementation No updates. Page 2 of 3 Downtown Parking Commission Meeting COMMISSION REQUESTS ADJOURNMENT November 16, 2023 Motion by Commissioner Rheinberger, seconded by Commissioner Bates, to adjourn the meeting. All in favor. The meeting was adjourned at 9:46 a.m. Brad Glynn, Chair ATTEST: Tim Gladhill, Community Development Director Page 3 of 3 1 1 Water THE BIRTHPLACE OF MINNES O T A DATE: March 21, 2024 TO: Honorable Chair and Downtown Parking Commissioners FROM: Tim Gladhill, Community Development Director SUBJECT: Reconstruction of Parking Lot #8 Lease Amendment Request for Lot #8a — River Market Co-op DISCUSSION River Market Co-op is requesting an amendment to the lease for Parking Lot #8a. The existing lease dated December 7th, 1999 and attached hereto provided an initial twenty (20) year term with three (3) additional ten (10) year extensions (unless terminated by River Market) at a rate of $1/year. This discounted rate was likely provided as an economic development tool to attract a grocer to Downtown, whereby previous grocers had previously vacated Downtown space. The Lease also outlines the process for allocating costs of reconstruction of Lot #8. The City is planning to reconstruction Parking Lot #8 in 2024, including authorizing a contract at the April 211, 2024 City Council Meeting. In discussing the cost allocation, River Market instead offered amendments to reduce the number of stalls reserved along with paying applicable parking fees (in lieu of the $1/year current rate). The terms of the proposed lease are generally as follows. Staff is anticipating on bringing a full lease amendment to the City Council on April 2nd to correspond with the contract approval for reconstruction of the lot. • 25 Stalls (with required Accessible Stall) adjacent to (but not on) Water Street • Rate = $20/stall/month (consistent with Parking Permit Rate) = $6,000/year total ($20 25 stalls * 12 months) • Snow Removal = $1,000/year (PW Estimate) • Initial Term = 1 Year • Extensions = two (2) 5 year extensions • Termination Clause = 9 months (either party) • Amend Co-op's Address The Commission is asked to provide recommendations to the City Council on the above proposed terms. Related, but not addressed in the lease is River Market's allowance for other adjacent businesses to utilize this space as free parking. The City is aware of multiple businesses that have arrangements through River Market to utilize Lot #8a for free. With this change, this may not be the case (especially with a reduction in the number of stalls). The City should expect some objection from these users; however, the contract relationship is between the City and River Market. The City does not have leases (or subleases) with any other party for Lot #8a. RECOMMENDATION Staff recommends approval of the above proposed terms. ACTION REQUESTED Motion to recommend that the City Council approve the terms of the propose lease amendment with River Market Co-op for Parking Lot #8a. PARKING LEASE AGREEMENT THIS AGREEMENT is made this rt �1 day of . 1999, by and bemeen the CITY OF STILLWATER. a Minnesota corporation under the laws of Minnesota ("City"), and VALLEY CO-OP, INC., a Minnesota corporation (`AValley Co-op"). RECITALS A. City is the owner of land located in the City of Stillwater. County of Washington, State -of Minnesota, legally described as set forth on Exhibit "A" attached hereto (the "Property"). B. Valley Co-op desires to lease from City, and City desires to lease to Valley Co-op, a surface parking lot on that part of the Property described in Exhibit "B" attached hereto (the "Parking Area") and to create the necessary leasehold rights for joint use of the Parking Area by Valley Co-op and the City. NOW, THEREFORE, in consideration of the mutual covenants contained herein, it is herebv agreed that: 1. Exclusive City Possession of Parking Area. City shall have exclusive use of the Parking Area between the hours of 10:00 p.m. and 8:00 a.m. on each day, and on each day, if any, that the grocery store operated by Valley Co-op on the site they are leasing from the Mainstream Development Partnership, directly across Water Street from the Parking Area (the "Grocery Store"), is closed (collectively, "Public Use Period"). ?. Exclusive Lease of Parking Area. City hereby leases to Valley Co-op, and Valley Co-op hereby leases from City, exclusive use of the Parking Area between the hours of 8:00 a.m. and 10:00 p.m. Monday through Sunday, except for any days in which the Grocery Store elects not to conduct business (collectively, "Valley Co-op Use Period"). Rent. Valley Co-op shall pay to City rent in the sum of S 1.00 per year. 4. Use. Valley Co-op is permitted to use the Parking Area at all times during the Valley Co-op Use Period for Grocery Store parking purposes, for customers only and not for employees of Valley Co-op; provided, however, if reasonably convenient and sufficient employee permit parking spaces are not available to employees in the neighborhood ofthe Parking Area, such employees may also use the Parking Area. Any use of the Parking Area for retail or tent sales is prohibited unless prior written permission is obtained by Valley Co-op from City. �. Construction. City shall, at its sole expense and before the Grocery Store opens for business, design and construct a surface parking lot ("Parking, Lot") on the Parking Area in the Following manner: (a) The Parking Lot shall have bituminous surface. (b) The portion of the Parking Lot subject to this lease will consist of no less than fifty (50) grocery store sized parking spaces, and one additional space for use as a non -motorized park area in which Valley Co-op will install bike racks at their own expense. (c) There will be reasonably adequate vehicular access to and from the Parking Lot to Water Street. (d) The City will stripe the Parking Area to identify the Parking Area and stripe. sign and mark pedestrian crossing areas on Water Street for use by Grocery Store customers. (e) The City will landscape the Parking Area. (f) The City will install appropriate lighting in the Parking Area. (g) The design and specifications for all construction and improvements will be comparable to the standards for the North Main Street parking lot that was built during the Downtown Revitalization project, completed in 1992. 6. Use Control. Valley Co-op will be responsible for managing and controlling use of the Parking Area during the Valley Co-op Use Period and during such period the City will not be responsible for policing the area. Any needed cart corrals or bike racks must be provided by Valley Co-op, and all grocery carts must be stored within the Grocery Store during hours in which the Grocery Store is not open for business. Valley Co-op shall have the right to install directional signage or signage restricting parking to customers of the Grocery Store during the Valley Co-op Use Period, to tow vehicles that are violating Valley Co-op's rights hereunder and to install temporary barricades as needed to restrict access to the Parking Area from the remainder of the Property. Maintenance and Operating Expenses. (a) Snow Removal. Valley Co-op will contract for snow plowing of the entire parking lot in which the Parking Area is located at its own expense. City, however, will be responsible for snow removal and hauling for the entire parking lot, including the Parking Area, according to the schedule developed by City for the removal and disposal in other City parking lots in downtown Stillwater. (b) Trash Pickup. Valley Co-op, at its expense, will provide a trash receptacle for use in the Parking Area. However, City, at its expense, will provide for removal and disposal of the trash in a timely manner on the schedule developed by City for trash removal from other parking lots in downtown Stillwater. (c) Sweet7ing. City shall, at its expense, periodically sweep the surface of the Parking Area on the schedule developed by City for the sweeping of other parking lots in downtown Stillwater. (d) Seal Coating. City, at its expense, will be responsible for seal coating the Parking Area on a schedule developed by City for the seal coating of other parking lots in downtown Stillwater and City will periodically install bituminous overlayments of the Parking Area when reasonably necessary. Any re -striping needed after the seal or overlayment will be the responsibility of City. (e) Reconstruction. It is anticipated that the Parking Area may need to be reconstructed and rebuilt every 20 to 30 years. In the event the Parking Area is reconstructed or rebuilt during the term of this Agreement, and City spreads all or part of the costs of reconstruction as an assessment against benefitting property, Valley Co-op will, to the extent required pursuant to its lease of the Grocery Store, contribute to the payment of an assessment against the property in which the Grocery Store is situated, which assessment shall be levied on the same basis and at the same rate as other property within the assessment district. If, however, the owner of the Grocery Store space leased by Valley Co-op will not consent to this assessment and the assessment is not levied against the property in which the Grocery Store is situated, Valley Co-op will, from time to time, pay to the City, as additional rent, an amount equal to the amount that Valley Co-op would have contributed, pursuant to the terms of its lease of the Grocery Store, to payment of the annual installments of any such assessment when the same would have been due if said assessment had been levied against the property upon which the Grocery Store is situated in accordance with the foregoing provisions of this Paragraph. S. Insurance. Valley Co-op will purchase and maintain, throughout the term of the Lease, commercial general liability insurance insuring Valley Co-op against liability for bodily inj ury and property damage arising out of the operation, use or occupancy of the Parking Area in an amount of at least S 1,000,000 per occurrence. Such policy shall name City as an additional insured. A certificate evidencing the existence and amount of any such policy shall be delivered to City before the date that Valley Co-op is first given the right of possession of the Premises, and thereafter at least thirty (30) days prior to the expiration of such policy. 9. Reservation of Air RILhts. City reserves the right, during the term of this Agreement, to construct a multi -level parking facility over the surface of the Parking Area, and for that purpose reserves all air rights over the surface of the Parking Area; provided, however, any such construction shall be conducted in a manner that, to the extent reasonably practicable, preserves Valley Co-op's rights of vehicular access to, and use of, the Parking Area throughout the course of any such construction. 10. Term. This Agreement and the rights and covenants contained herein shall have an initial term of twenty (20) years ("Term") subject to extensions or termination in accordance with the provisions hereof. Notwithstanding the foregoing, the Term shall automatically be extended for three (3) additional ten (10) year periods unless, at least six (6) months prior to the commencement of any such extension term, Valley Co-op delivers notice to City of Valley Co-op's election to waive any such extension term (a "Waiver Notice'). In the event of the delivery by Valley Co-op of a Waiver Notice, this Lease shall be deemed expired and of no further force and effect as of the last day of the Term in which the Waiver Notice is delivered and, upon City's request, Valley Co-op Nvill execute and deliver an instrument that is reasonable in form and that memorializes the occurrence and effect of any such termination. Further, notwithstanding any provisions of this Parking Lease to the contrary, this Parking Lease will terminate thirty (30) days after the adjacent site is no longer used as a Grocery Store; provided, however, this provision shall not be applicable with respect to any cessation of use caused by remodeling, casualty damage or other events of force majeure and, provided further, this provision shall not be construed to permit a termination of the Lease during any period in which a mortgagee or assignee of Valley Co-op's rights hereunder has a right to cure pursuant to the provisions of an agreement between City and any such mortgagee or assignee in the form contemplated in Paragraph 18 hereof. 11. Additional Spaces. If Valley Co-op informs City that the Parking Area is inadequate to service the Grocery Store, City agrees to meet and confer with Valley Co-op to consider providing additional parking spaces to the Parking Area. 12, Default. In the event either party hereto fails to take any action or to pay any amount payable by a party hereunder ("Event of Default"), then the nondefaulting party ("Nondefaulting Party") may, but will have no obligation to, provide the defaulting party ("Defaulting Party") with written notice specifying the Event of Default. If the Defaulting Party fails to cure the Event of Default within thirty (30) days of receipt of the notice, or such further time as reasonably necessary to complete a cure, then the Nondefaulting Party may, declare this Parking Lease terminated and of no further force and effect. 13. Notices. All notices provided herein must be in writing and will be deemed delivered when personally served, when sent prepaid by nationally recognized overnight courier, or when sent by first class certified mail, return receipt requested, served or addressed as follows: If to City: City of Stillwater 216 North Fourth Street Stillwater, Minnesota 55082 Attn: Mr. Steve Russell If to Valley Co-op: Red Cardinal Farm, Inc. 9694-7 5th Street North Stillwater, Minnesota 55082 Attn: Mr. David Washburn N:'PI. ccr-_h�,3-4091_,�rd 4 or to such other addresses that either party designates by notice given pursuant to this Section 13 14. Successors and Assigns. This Agreement and the rights and covenants contained herein are not assiLynable and may not be transferred or assigned to any other party, except to the extent contemplated in Paragraph IS hereof and except that Valley Co-op shall have the right to assign its right, title and interest hereunder to any successor operator of the Grocery Store. 15. Warranties of Title and Ouiet Possession. City covenants that City is seized of the Parking Area in fee simple and has full right to make this Agreement subject to the terms hereof, and Valley Co-op will, subject to its performance of its obligations hereunder, have quiet and peaceable possession of the Parking Area during the term hereof as against the acts of all parties claiming title to or a right to the possession of the Parking Area, and further warrants that the proposed use of the Parking Area by Valley Co-op is permitted under all applicable zoning ordinances and land use regulations. 16. Estoppel -Certificate. In addition to any other information which may reasonably be requested, either party must without charge, at any time and from time to time hereafter, within ten (10) days after written request, certify by written instrument executed and acknowledged to any person, firm, or corporation specified in the request: (a) Whether this Agreement has been supplemented or amended, and if so, the substance and manner of such supplement or amendment. (b) The validity and force and effect of this Agreement, in accordance with its tenor as then constituted. (c) The existence of any default thereunder. (d) The existence of any offsets, counterclaims or defenses thereto on the part of the other party. (e) The commencement and expiration dates of the term of this Agreement. Any certificate may be relied on by the party who requested it and any other person, firm or corporation to whom it may be exhibited or delivered, and the contents of the certificate will be binding on the party executing it. 17. Short -form Recordable Lease. The parties will at any time, at the request of either one, promptly execute duplicate originals of an instrument, in recordable form, which will constitute a short form of this Agreement, setting forth a description of the Parking Area, the term of this Agreement, and option to renew, and any other portions hereof, excepting the rental provisions, as either party may request. 18. Consent to Collateral Assignment to Mortgagee. It is acknowledged that Valley Co-op may, from time to time, procure financing for all, or portions of, the inventory, fixtures or equipment utilized in the operation of the Grocery Store and it is anticipated that anv such mortgagee N05734091-%,pd • may request a collateral assignment of Valley Co-op's rights hereunder as part of its security in connection with such loan. To facilitate such financing, City shall, upon request and from time to time, execute such documents as any such mortgagee may reasonably request to confirm City's consent to anv such collateral assignment, to confirm that no amendments to this Agreement will be binding on such mortgagees without their written consent, to confirm a requirement that Citv provide notice to such mortgagee of any Event of Default by Valley Co-op hereunder and to provide such mortgagee a period of time to cure any such default which, in such mortgagee's reasonable discretion, is necessary to permit the mortgagee to acquire possession of, and re -open, the Grocery Store, and to confirm the City's agreement to recognize such mortgagee as "Lessee" hereunder in the event of such mortgagee's delivery of notice to that effect to City; provided, any such agreement shall be in a commercially reasonable form. 19. Surrender. Subject to the terms of this Agreement, on the last day of the Term or any renewal thereof, or on the sooner termination of this Agreement, or rights of possession under this Agreement, Valley Co-op shall peaceably and quietly surrender the Parking Area, and shall remove its trade fixtures and personal property ("Personal Property") from the Property. Personal Property not so removed shall be deemed abandoned by and shall become the property of the owner of Citv. 20. Governing Law. This Agreement shall be governed by Minnesota law. IN WITNESS WHEREOF, the parties have caused this Agreement to be executed on the day and vear first above written. CITY OF STILLWATER c Jay ayor Morli Weldon, Its City Clerk VALLEY CO-OP BY: — Its: �,aA20 Pisr14� c�"� &v lei. 1�) . 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The past year was focused on the single topic of updating pay zones and technology. In the coming months, the Commission will likely focus on analysis of data and effectiveness since these major changes took effect. Attached is a copy of the most recent version of the Work Plan for review. ACTION REQUESTED No action is requested. This report is for informational purposes only and discussion will be scheduled for a future meeting. 2021-2024 Downtown Parking Commission Work Plan January 2022 Update City Strategic Goal: Develop Organizational Excellence • Related and Relevant Strategies o Maintain High Quality, Efficient Public Service Delivery Standards o Implement Software Integration and Update City Facilities Downtown Parking Strategy: Improve Enforcement and Technology (including Event Parking Strategy) Project Action Timeframe Additional Resources Commission Comments Number Needed Streamline Payment Systems and Consolidate Q4 2021 40 Hours Staff Time three (3) existing systems into a single system Research License Plat Reader (LPR System) for Q4 2021 10 Hours Staff Time High Priority enforcement $40,000 Capital Cost Update Event Policies for utilization of public 2022-2023 10 Hours Staff Time Medium Priority lots for events City Strategic Goal: Develop Our Community • Related and Relevant Strategies o Promote Economic Development and Housing Affordability o Become a Year Round Destination City with a Sustainable and Balanced Downtown o Update City Infrastructure, Including Parks and Recreation Facilities o Enhance City Policies and Ordinances Downtown Parking Strategy: Ensure Parking Capacity Meets Downtown Needs (Combo of Pricing/Utilization Counts) Project Number Action Timeframe Additional Resources Needed Commission Comments Create a Utilization Count Program Q4 2021 5 Hours Staff Time Low to Medium Priority Conduct Annual Utilization County Ongoing 10 Hours Staff Time Low to Medium Priority Update Business Parking Permit policies and 2022 20-40 Hours Staff Time Medium Priority fees Require more advance Event Planning Update Overall Downtown Parking Pricing 2022 20 Hours Staff Time Only support raising Lot 2 Fee to Strategy/Fees $5 Staff Comment: City Council discussion in Strategic Plan to Evaluate revenue options broadly. Review On -Street Parking Rules and 2022-2023 40 Hours Staff Time High Priority - favor reducing hour Restrictions limits at least in certain zones to encourage users to use perimeter lots. Update Zoning Code to ensure necessary 2024 10 Hours Staff Time Low Priority capacity expansion is achievable Downtown Parking Strategy: Improve Customer Experience (Combination of Wayfinding/Signage and Customer Service) Project Action Timeframe Additional Resources Commission Comments Number Needed Create a Master Wayfinding Sign Plan 2022 20 Hours Staff Time or Medium Priority $5,000 Contracted Services Install Wayfinding Signage 2023 TBD — Based on findings Medium Priority of Master Wayfinding Sign Plan Develop Wayfinding Mobile App 2024 TBD Medium Priority Develop Marketing Campaign and 2023 TBD Medium Priority Communications Plan Partner with Discover Stillwater Consider Valet Service (or circulator service) 2024 TBD Medium Priority Review Enforcement Approach and Customer High Priority Support Additional 'Parking Lot List' of Additional Topics (2022 Commission Discussion/Watch List) • Loading and Loading Dock Areas • Annual Audit of Reserved Stalls and Approved Mitigations • Overnight Parking • Saint Croix Riverfront Parks Parking Plans