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HomeMy WebLinkAbout2017-09-19 CC MIN ater 711E IIITN►LICE OF IIIIINEIOTA CITY COUNCIL MEETING September 19, 2017 REGULAR MEETING 7:00 P.M. Mayor Kozlowski called the meeting to order at 7:02 p.m. Present: Mayor Kozlowski, Councilmembers Menikheim, Junker and Weidner Absent: Councilmember Polehna Staff present: City Administrator McCarty City Attorney Magnuson Deputy Fire Chief Ballis Police Chief Gannaway Community Development Director Turnblad Finance Director Harrison Public Works Director Sanders City Clerk Ward PLEDGE OF ALLEGIANCE Mayor Kozlowski led the Council and audience in the Pledge of Allegiance. APPROVAL OF MINUTES Possible approval of minutes of September 5, 2017 regular and recessed meeting. Motion by Councilmember Weidner, seconded by Councilmember Junker, to approve the September 5, 2017 regular and recessed meeting minutes. All in favor, 4-0. PETITIONS,INDIVIDUALS,DELEGATIONS & COMMENDATIONS Introduction of new Stillwater Public Library Director, Mark Troendle Stillwater Library Board Chairman Mike Keliher introduced the new Director,Mark Troendle. Mr. Troendle thanked the Council for its support. Main Street Stairs Update—Corey Burstad Community Development Director Turnblad updated the Council on the issue of water from the Main Street stairs causing considerable damage over many years to the east wall of the Stillwater Hotel project. He added that there is tax increment financing(TIF)revenue available to fix or replace the stairs. Corey Burstad, developer, informed the Council that contractors discovered there was essentially nothing left of the brick wall due to water erosion. The City's Building Inspector City Council Meeting September 19, 2017 ordered all work to stop until the issue is resolved. The hotel architectural and contracting team examined the wall and came up with a remediation plan. He added that overall, the project is going well and is still on track for a March opening. Chris Zeman of Zeman Construction, general contractor for the project, explained the two- phased project: 1) shoring, stabilizing the existing building so the entire east wall of the building can be removed, and then rebuilding a solid masonry load-bearing wall. The existing stairs need to stay there to support the removing of the wall. 2) Once the wall is rebuilt, the two lowest flights of stairs and two lowest landings may be removed, excavated down to bedrock and given new footings, new structural foundations, and a new structural concrete stairs will be poured back in place. He said each phase would take around 2-3 weeks. Mr. Zeman explained the total estimated costs for both phases, $162,000 - $187,000. Councilmembers indicated a desire not to hold up the repairs. City Attorney Magnuson advised that the Council could authorize the use of TIF to cover the stairs portion of the project. Motion by Councilmember Weidner, seconded by Councilmember Menikheim,to authorize up to $74,000 in TIF from District 1 for stair and wall reconstruction. All in favor. OPEN FORUM Cameron Murray, 350 Main Street North,brought up a concern about motor vehicles using the bike/pedestrian trail near the St. Croix Boat& Packet Company. Police Chief Gannaway said he notified staff to do more enforcement there. Community Development Director Turnblad said that a short-term alternative would be to put ballasts there to keep cars out, however there is an area where there is no alternative but to allow cars so they can reach the parking spots. He added that one of the City's priorities for state legislators is obtaining funding to repair the existing shoreline so the uses can be better accommodated. Christie Rosckes, Marketing Director of Discover Stillwater, requested approval to place a temporary, lighted"#OnlyInMN"monument from Explore Minnesota in Lowell Park near the Ice Castle in January. Motion by Councilmember Weidner, seconded by Councilmember Junker, to approve the temporary placement of a monument in Lowell Park in January 2018. All in favor. STAFF REPORTS Deputy Fire Chief Ballis reminded the Council of the Fire Prevention Dinner October 3. Recreation Center Manager Doug Brady requested the release of$75,000 to $100,000 funding for architectural services to design team rooms,storage,equipment maintenance area,IT server room and office space, for construction in 2018. Finance Director Harrison informed the Council of the resolution for this appropriation is on the Consent Agenda,which allows reimbursement of these funds in 2018. Motion by Councilmember Junker, seconded by Councilmember Menikheim, to authorize the release of funds from the fund balance for architectural services for the St. Croix Valley Recreation Center. All in favor. Community Development Director Turnblad informed the Council of a Comprehensive Plan workshop on October 19 at City Hall. Page 2 of 9 City Council Meeting September 19, 2017 City Administrator McCarty reported that the Council received an invitation from Congresswoman Betty McCollum to tour her new office in St. Paul on September 29. CONSENT AGENDA Resolution 2017-171, Directing the Payment of Bills Resolution 2017-172, resolution approving the addition of additional license premises acquired by LoLo American Kitchen LLC, DBA Lolo American Kitchen Resolution 2017-173, approval of increase to railroad lease payment to St. Croix Boat& Packet Resolution 2017-174, approving Exhibit A as it relates to Resolution 2013-057, Resolution Establishing Procedures relating to compliance with Reimbursement Bond Regulations under the Internal Revenue Code Possible approval of Temporary Liquor License—Valley Chamber Chorale—December 8- 10, 2017 Resolution 2017-175, approving Human Rights Commission By-Laws (Revised Date: April 26, 2017) Resolution 2017-176, a resolution approving an outside sale & event permit for Stillwater Medical Group located at 1500 Curve Crest Boulevard Resolution 2017-177, approving Minnesota Premises Permit for Lawful Gambling for Merrick, Inc., located at Tilted Tiki, 324 Main Street S, Suite 2, Stillwater, Minnesota Possible approval of expenditure for the purchase of aerator and seeder Resolution 2017-178, approval of Change Order #1 for the 2017 Street Improvement Project(Project 2017-02) Motion by Councilmember Menikheim,seconded by Councilmember Junker,to adopt the Consent Agenda. Ayes: Councilmembers Menikheim, Junker, Weidner, Mayor Kozlowski Nays: None PUBLIC HEARINGS Case 2017-40. A public hearing to consider a request by Stephen and Barbara Kochendorfer, property owners and Cornerstone Surveying Inc., applicant, for the consideration of Preliminary Plat,Final Plats,and a Zoning Map Amendment(ZAM)for the property located at 8080 Neal Ave N in the AP/RA district. Community Development Director Turnblad stated that Dan Thurmes, Cornerstone Land Surveying,representing Stephen and Barbara Kochendorfer,requests approval of the rezoning of the property at 8080 Neal Avenue North from AP, Agricultural Preservation, to RA, One Family Residential, as well as the August 8, 2017 version of the Preliminary and Final Plats known as Neal Meadows 4th Addition with a total of three lots are proposed. The Kochendorfers would retain the easterly lot that contains their residence. The westerly (approximately) 25,000 square feet, adjacent to Creekside Crossing, would contain two new lots, which the property owners intend to sell. Staff recommends approval of the requested three-lot subdivision. The staff-recommended conditions that differ from those recommended by the Planning Commission in the following ways: 1. Condition 1 is added to reflect the Page 3 of 9 City Council Meeting September 19, 2017 approved plats and grading plan. 2. Condition 5 is added to reflect the requirement that the rezoning must be in effect prior to the plat being effective. Mayor Kozlowski opened the public hearing. Dan Thurmes, Cornerstone Land Surveying, on behalf of the Kochendorfers, discussed the location of utilities. Originally, he proposed to extend services from Creekside Crossing into the proposed future lots. He was told he has the option to extend utilities from the existing sanitary sewer on Neal and would like to leave that option open. Mayor Kozlowski closed the public hearing. Motion by Councilmember Weidner, seconded by Councilmember Junker,to approve first reading of an Ordinance amending the Stillwater City Code, Chapter 31, entitled Zoning Ordinance, by amending the zoning map of the City to rezone certain properties within the Agricultural Preservation District by adding them to the RA - One Family Residential District. Ayes: Councilmembers Menikheim, Junker, Weidner, Mayor Kozlowski Nays: None Motion by Councilmember Weidner, seconded by Councilmember Junker, to adopt Resolution 2017-179, a resolution vacating the drainage and utility easements in Lot 6, Block 2, Neal Meadows, Case No. 2017-40. Ayes: Councilmembers Menikheim, Junker, Weidner, Mayor Kozlowski Nays: None Motion by Councilmember Weidner, seconded by Councilmember Menikheim, to adopt Resolution 2017-180, a resolution approving Preliminary Plat and Final Plat for Neal Meadows 4th Addition, Case No. 2017-40. Ayes: Councilmembers Menikheim, Junker, Weidner, Mayor Kozlowski Nays: None Community Development Director Turnblad explained that the resolution need not include the preservation of the option to extend utilities from Neal Avenue but it can certainly be in the minutes. Case 2017-35. A public hearing to consider an appeal request by Roger Tomten of ARCHNET, representing St. Croix Preservation Inc. The request is to reconsider a Variance to the Central Business District Height Overlay — Parkside District previously denied by the Planning Commission for the property located at 101 Water Street South located in the Central Business District. Community Development Director Turnblad explained the request. On August 23, 2017, in a 3-1 vote,the Planning Commission denied a variance request from Roger Tomten,ARCHNET, representing Chuck Dougherty with the Water Street Inn, 101 Water Street South.The variance request was to allow rooftop improvements including an enclosed bar and kitchen, service station and storage area, two restrooms, elevator bulkhead and enclosed/covered lobby, and two sets of stairs. These improvements would have a height of 48', whereas the maximum permitted height for the addition is 44'. Mr. Dougherty has appealed the Planning Commission's decision and also the staff's interpretation that the maximum allowed height is 44'.He is asking for reconsideration of the variance that would grant the additional height.Mr. Page 4 of 9 City Council Meeting September 19, 2017 Turnblad explained that in the downtown height overlay district, any new structure attached to an existing structure may have a 10% greater height than the building to which it is attached. Staff believes that a structure attached to the 1994 addition would be allowed an additional 10% or 44' total height. However, Mr. Dougherty believes it is just as logical to say the south end is also part of the building(51') so that should be considered as the basis for measurement, thereby negating the need for a variance for the improvements. Mayor Kozlowski asked for clarification of height regulations when the 1994 addition was constructed. Mr. Turnblad replied that the 10% regulation was associated with the 2006 or 2007 ordinance. The 10% is intended to create a rhythm among buildings and to prevent two- story to one-story jogs in the future. He again stated that, measured from the 1994 addition, the new addition would be allowed to have 44' of height. Staff believes it makes sense to measure from the portion of the building that adjoins. Mayor Kozlowski opened the public hearing. Roger Tomten, ARCHNET, indicated with drawings the basis for the appeal of the staff interpretation of the building height measurement. He read from the City Code regarding infill construction and how to measure the height of buildings. He stated that because the Water Street Inn is one building on one lot, with one tax ID number, one address and one use, it should be viewed as one building. He noted that on a similar project,the LOLO infill building, the height measurement was averaged between the two adjacent buildings and the highest parapet of the adjoining building was used to establish the average height. Similarly, he feels the Water Street Inn should be measured from the highest parapet point,so he feels the variance is not necessary for the work that is being proposed. Mr. Tomten added that, as an author of the Design Guideline manual,the 10%+1-was written as a guideline and not necessarily meant to prohibit variations of more than 10%. It was intended to allow variation and articulation of roof shapes and heights along Main Street. Councilmember Weidner asked why this bigger area on the roof was not proposed originally. He feels the area on the surface of the roof has expanded considerably since the 2014 plans. Mr.Tomten replied that when the original concept was proposed it did not include certain uses, the restrooms and kitchen area, that are now included. It still would have required a variance for the tower and the other elements but since architects were not looking at a lot of elements for the roof at that time, they did not think it was that critical. Patrick Kelly of Kelly and Lemmons law firm in Little Canada, representing St. Croix Preservation, stated that the Miriam Webster Dictionary refers to infill as new buildings constructed in a space between existing structures. His client looks at the building as being one use, one parcel, one lot. When constructed, the 1994 addition could have gone up to 50'. He acknowledged that City staff is dedicated and competent but disagreed with staff's interpretation of the point from which height of the adjoining building is measured. Tim Swanson,2210 Oak Glen Crescent, Stillwater, spoke in support of the proposed expansion and remodeling project, saying that Chuck and Judy Dougherty have supported many community projects and events. He feels the design concept is aesthetically pleasing. Brandon Lamb, owner of Candyland, stated that the downtown is thriving and booming. He feels the addition is going to create a welcome new dynamic. Page 5 of 9 City Council Meeting September 19, 2017 Cameron Murray, 350 Main Street North, referred to City ordinance stating that infill may be something between two existing structures or one at the end, and adjacent to is defined as immediately adjacent, synonymous with adjoining. He is opposed to the 80-foot tall tower. Mr. Tomten remarked that the tower height was based on the assumed height of the original train station tower as seen in historic photos. He clarified what is new in the roof plan. Councilmember Weidner asked, what if more concepts come in that were not in the original plans? Community Development Director Turnblad replied that anything other than minor changes would come to the Council. Councilmember Weidner asked, other than the height, if Mr. Turnblad considers this a minor change and Mr. Turnblad replied in the affirmative. Mayor Kozlowski closed the public hearing. Councilmember Junker commented that whether it is classified as a single building or two buildings,he feels the rhythm created is appropriate. He does not see big jogs or big huge dips. He loves the idea of bringing back a reminder of the old depot via the clock tower and supports the project. He agreed that Mr. Dougherty is an extremely active, loyal citizen, innkeeper and business owner. Councilmember Menikheim acknowledged that both interpretations make sense but he supports granting the variance because the Water Street Inn needs updating. It pays homage to history by replicating the frame of the old tower from the depot and brings character to the building that has almost none right now. Mayor Kozlowski said he feels this plan looks cleaner. The City needs to better define how to measure the height without ambiguity. He believes people are generally excited about the project but he also has heard comments asking if the project is ever going to happen and will it keep changing. He believes the variance is not a significant change to the design or the use and he supports it. Councilmember Weidner stated the ordinance is not ambiguous and it clearly defines infill. His concern is that the applicant will continually keep changing the project and stated that history tends to repeat itself Motion by Councilmember Junker, seconded by Councilmember Menikheim, to approve the request by Roger Tomten of ARCHNET, representing St. Croix Preservation Inc., for a Variance to the Central Business District Height Overlay—Parkside District for the property located at 101 Water Street South located in the Central Business District. Ayes: Councilmembers Menikheim, Junker, Weidner, Mayor Kozlowski Nays: None UNFINISHED BUSINESS There was no unfinished business. NEW BUSINESS Possible approval of driveway waiver requirements for VRBO request,applicant Elizabeth Nelson at 300 Willow Street East. Community Development Director Turnblad related that Elizabeth Nelson has applied for a Type B vacation rental for her home at 300 E Willow St. Ms.Nelson is requesting a waiver of Page 6 of 9 City Council Meeting September 19, 2017 the prohibition on Class 5 driveways for vacation rental properties. Given the extreme physical challenges of this neighborhood, staff recommends approval of the current mix of class 5 for this specific vacation rental property, noting that it will hold the water in place better than an impervious surface. Motion by Councilmember Junker, seconded by Councilmember Menikheim, to approve the driveway waiver for VRBO applicant Elizabeth Nelson, 300 Willow Street East. Ayes: Councilmembers Menikheim, Junker, Weidner, Mayor Kozlowski Nays: None Possible adoption of resolutions declaring costs to be assessed and ordering preparation of assessment roll and calling for hearing for 2017 Street Improvement Project (Project 2017-02) Public Works Director Sanders explained that work on the 2017 Street Improvement Project is nearing completion. Staff recommends that the Council declare costs, authorize the preparation of the assessment rolls, and call for a hearing on the project. Mayor Kozlowski suggested discussing the issue of whether or not to assess Stillwater Country Club before adopting the resolutions. City Attorney Magnuson provided background on state law that mandates that if a golf course is non-discriminatory;its real estate value for potential assessment purposes is to be calculated solely based on its value as a golf course and not on the value of the potential for residential or commercial development. He explained a Supreme Court ruling that found no special benefit to a golf course and threw out a proposed assessment. He added that appraiser Ray Kirchner, who has overseen many assessment appeals over the years, has said the benefit to the golf course in his opinion would be minute and unable to be substantiated by any market data he is aware of. Mr. Magnuson said he realizes that the neighbors are extremely disappointed by that. Councilmember Junker said he feels the golf course should be assessed as a corner lot on this project. The value would be minimal but the assessment would be minimal as well. Mayor Kozlowski questioned whether assessing the golf course would be worth the potential legal fight. He understands the neighbors' frustration but he believes the City Attorney is correct. Councilmember Menikheim stated he is comfortable with the City Attorney's opinion. Councilmember Weidner remarked that he understands the neighbors are upset but he does not think the City can change the facts. Motion by Councilmember Menikheim, seconded by Councilmember Weidner, to adopt Resolution 2017-182, resolution declaring cost to be assessed and ordering preparation of proposed assessment for 2017 Street Improvement Project (Project 2017-02). p p Ayes: Councilmembers Menikheim, Junker, Weidner, Mayor Kozlowski Nays: None Motion byCouncilmember Junker, seconded byCouncilmember Weidner, to adopt Resolution p 2017-181, resolution calling for hearing on proposed assessment for 2017 Street Improvement Project 1 o�ect(Project 2017-02), L.I. #4 3. 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