HomeMy WebLinkAbout2013-07-30 CC MINat
THE OINTNSLACE Of MINNESOTA
CITY COUNCIL MEETING MINUTES
July 30, 2013
REGULAR MEETING 4:30 P.M.
Mayor Harycki called the meeting to order at 4:41 p.m.
Present: Councilmembers Menikheim, Kozlowski, Weidner, Polehna, and Mayor Harycki
Absent: None
Staff present: City Attorney Magnuson
Fire Chief Glaser
Police Chief Gannaway
Public Works Director Sanders
Finance Director Harrison
Community Development Director Turnblad
Administration Secretary Manos
OTHER BUSINESS
Discussion on use of TIF for reconstruction of Wolf Buildings as a Boutique Hotel
Community Development Director Turnblad introduced developers interested in purchasing
the Joseph Wolf buildings for use as a boutique hotel and possible brewery.
Mark Finneman, architect, provided an overview of the development plans. The goal is to use
as much of the existing building as possible. The development includes everything but the
corner shop which is under different ownership. The courtyard between the two original
buildings will be filled in to provide more guest rooms. There will be valet parking with as
many onsite parking spaces as possible. The concept will be presented to the HPC on
August 5.
Troy Hoekstra, financial consultant, stated that because historic reconstruction is more
expensive than new construction, $1.15 million in TIF is being requested. If nothing is done
with this property in the next 18 -24 months, it will no longer make economic sense to
renovate. The development team is looking at a 37 -room hotel; if they lose more than two or
three rooms, it would not work, economically. This is a $9.4 million project. Some form of
city, state or federal financial assistance is needed to make the project bankable.
City Attorney Magnuson reminded the Council that the developers have not yet submitted a
formal proposal or pro- forma.
City Council Meeting July 30, 2013
Mr. Hoekstra responded that the developers will be happy to provide pro -forma once they get
firm construction costs.
Mayor Harycki commented that he would need more information in order to evaluate the
request. He continued by stating that he wants to be careful not to subsidize one group while
other groups are struggling through conventional financing.
Councilmember Menikheim agreed that the project is interesting and he wants more
information. He added that the ongoing downtown revitalization will require entrepreneurs
who are ready and willing to invest in our downtown. He felt that this project would be
beneficial for Stillwater to become more of a 12 -month city.
Councilmember Kozlowski stated that it is a great project; he just wants to make sure there is
a benefit to providing TIF.
City Attorney Magnuson pointed out that these types of development are notoriously risky,
so what the City has done historically on bigger projects is create a separate redevelopment
district with pay -as- you -go assistance to reimburse for certain expenses. This eliminates risk
to the City.
Mayor Harycki added that he would like to hear more about the existing structural situation,
what is at risk, and felt that a tour would be beneficial.
STAFF REPORTS
Police Chief Gannaway reminded the Council and audience of Night to Unite, Tuesday,
August 6 with events at Washington Square Park.
Fire Chief Glaser informed the Council that July has been an active month for fires. Also the
Department will conduct live fire training this weekend.
Community Development Director Turnblad reported that a soft rollout of the downtown
walking tour podcasts of historic properties will be on the City's YouTube channel this
summer; two state grants are pending for residential neighborhood walking tours.
Public Works Director Sanders reviewed progress on the Corps of Engineers downtown
project which is expected to be completed at the end of August, and when completed the
parking lots should be reconstructed from Nelson to Mulberry Streets. The parking lot north
of Mulberry has raised issues with the MPCA so it has been eliminated from the project and
may be constructed in the spring. He indicated that the permit to harvest milfoil on Long
Lake was denied by the DNR; algae on McKusick Lake is not that bad right now so there has
not yet been any treatment. He also stated that the Brown's Creek Watershed District is
beginning work in the annexation area on Morgan Avenue where there are two ponds, one of
which needs excavation for sediment, and they have asked the City to cost -share for about
$2,300.
Motion by Councilmember Weidner, seconded by Councilmember Menikheim, to contribute
$2,300 for the excavation of the pond. All in favor.
City Attorney Magnuson noted that the unit on the corner of the proposed boutique hotel
project is his client. If the potential for conflict of interest arises, he will inform the Council.
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City Council Meeting July 30, 2013
ADJOURNMENT
The meeting was recessed at 5:38 p.m.
RECESSED MEETING 7:00 P.M.
Mayor Harycki called the meeting to order at 7:05 p.m.
Present: Councilmembers Menikheim, Kozlowski, Weidner, Polehna, and Mayor Harycki
Staff present: City Attorney Magnuson
Fire Chief Glaser
Police Chief Gannaway
Public Works Director Sanders
Finance Director Harrison
Community Development Director Turnblad
Administration Secretary Manos
PLEDGE OF ALLEGIANCE
Mayor Harycki led the Council and audience in the Pledge of Allegiance.
PETITIONS, INDIVIDUALS, DELEGATIONS & COMMENDATIONS
Human Rights Commission Award Presentation - Sara Damon
Mayor Harycki read the proclamation commending Sara Damon, H2O for Life /Water for
South Sudan.
Motion by Councilmember Kozlowski, seconded by Councilmember Polehna, to adopt
Resolution 2013 -116, Stillwater Human Rights Award — Sara Damon.
Ayes: Councilmembers Menikheim, Kozlowski, Weidner, Polehna, and Mayor Harycki
Nays: None
APPROVAL OF MINUTES
Motion by Councilmember Kozlowski, seconded by Councilmember Polehna, to approve the
July 16, 2013 regular meeting minutes. All in favor.
OPEN FORUM
Mike Robinson, 801 West Pine Street (The Elephant Walk B & B), commended the
Engineering Department on the street improvement project. He asked for more aggressive
policing in regard to the problem of motorcycle and vehicle noise in town. Chief Gannaway
stated the City has recently begun doing additional motorcycle enforcement.
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City Council Meeting July 30, 2013
CONSENT AGENDA
Resolution 2013 -117, directing payment of bills
Board of Water Commissioners Financial Statement
Possible approval to purchase of cutting edges for plows
Resolution 2013 -118, accepting work and ordering final payment for Main Street
Pedestrian Walkway
Possible approval to purchase computers — various departments
Possible approval of Sanitary Sewer adjustments
Resolution 2013 -119, approving estimate for grading of Millbrook Park Ballfield
Resolution 2013 -120, approving estimate for Lowell Park Amphitheater grading
Councilmember Menikheim requested that the Board of Water Commissioners Financial
Statement be removed from the Consent Agenda.
Motion by Councilmember Polehna, seconded by Councilmember Weidner, to adopt the Consent
Agenda, without the Board of Water Commissioners Financial Statement.
Ayes: Councilmembers Menikheim, Kozlowski, Weidner, Polehna, and Mayor Harycki
Nays: None
Councilmember Menikheim commended the Water Board and Department for its excellent
service.
Motion by Menikheim, seconded by Kozlowski, to accept the Board of Water Commissioners
Financial Statement.
Ayes: Councilmembers Menikheim, Kozlowski, Weidner, Polehna, and Mayor Harycki
Nays: None
PUBLIC HEARINGS
There were no public hearings.
UNFINISHED BUSINESS
Consideration of Chamber of Commerce's request for Downtown studies
Mayor Harycki summarized City Administrator Hansen's memo to the Council, in which he
recommended against establishing a formal entity such as an Economic Development
Authority, Housing Redevelopment Authority, or Port Authority. He continued that the
memo went on to state it is the City Administrator's belief that the City could benefit from an
advisory group lacking formal power, such as an economic development commission, if it is
temporary and authorized for a two -year time period. The memo also stated that the City
Administrator agrees that now is an opportune time to plan for changes that Stillwater is
about to undergo, but does not recommend awarding a contract for data studies to Buxton as
requested by the Chamber.
Councilmember Menikheim stated he would like to hear more from each potential vendor to
hear these ideas developed further.
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City Council Meeting July 30, 2013
Councilmember Weidner suggested voting on the request for funding of the Buxton study,
since it has been before the Council twice before.
Councilmember Menikheim responded that he is not in favor of contracting Buxton for the
study, but he would like the staff recommendation to be more objective. He would like to use
the next three weeks for Downtown Revitalization Committee and staff to start working
together as a partnership.
Mayor Harycki commented that staff could be directed to keep progressing on this and come
back with some recommendations. He disagreed with Mr. Hansen's recommendation that the
committee should be temporary for two years.
Councilmember Kozlowski expressed a preference that recommendations to the Council
come from a formalized Economic Development Commission.
Motion by Councilmember Weidner, seconded by Councilmember Polehna, to deny the request
for funding for downtown studies as previously presented by the Chamber.
Menikheim asked that the record note that he is okay with voting in favor of the motion as
long as the study is still an open possibility in the work to be done in the next three weeks.
Ayes: Councilmembers Menikheim, Kozlowski, Weidner, Polehna, and Mayor Harycki
Nays: None
Discussion on RFP for Community Festival
Community Development Director Turnblad presented an RFP for a summer community
festival. Comments from Councilmembers have been included. He will try to get it
distributed this coming week.
Councilmembers Kozlowski, Polehna and Weidner agreed that it should include local civic
and nonprofit groups.
Councilmember Menikheim urged the Council to think of Stillwater as a 12 -month city and
that maybe events could take place each season to draw visitors year - round. He views a
summer event as a first step.
Councilmember Polehna stated he would like to see an event encompass all of Lowell Park.
Mayor Harycki asked if there is consensus on whom the event will be marketed to, and
Community Development Director Turnblad responded that he intended to concentrate on
the greater Stillwater area, but not ignore the metropolitan area. He will reword it as
discussed and send it out next week.
NEW BUSINESS
There was no new business.
COUNCIL REQUEST ITEMS
Mayor Harycki commended Public Works Director Sanders and the Department on the street
projects.
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City Council Meeting
ADJOURNMENT
July 30, 2013
Motion by Councilmember Kozlowski, seconded by Councilmember Menikheim, to adjourn the
meeting at 7:59 p.m. All in favor.
ATTEST:
Nancy Manos,
inistration Secretary
Micha 1 Polehna, Vice Mayor
Resolution 2013 -116, Stillwater Human Rights Award — Sara Damon
Resolution 2013 -117, directing the payment of bills
Resolution 2013 -118, accepting work and ordering final payment for Main Street
Pedestrian Walkway
Resolution 2013 -119, approving estimate for grading of Millbrook Park Ballfield
Resolution 2013 -120, approving estimate for Lowell Park Amphitheater grading
Page 6 of 6