City Council Workshop

10801 Town Square Drive City of Blaine Blaine MN 55449 Anoka County, Minnesota Minutes - Final City Council Workshop *While this is a public meeting where interested persons are welcome to attend, it is a work session for Council and staff to discuss issues before them. It is not for the purpose of receiving public input. Thursday, September 10, 2015 6:30 PM Cloverleaf Farm Room A NOTICE OF WORKSHOP MEETING 1 Call to Order The meeting was called to order by Mayor Pro Tem Russ Herbst at 6:30 p.m. 2 Roll Call Quorum Present. ALSO PRESENT: City Manager Clark Arneson; City Attorney Patrick Sweeney; Planning and Community Development Director Bryan Schafer; Public Services Manager Bob Therres; Finance Director Joe Huss; Police Chief/Safety Services Manager Chris Olson; Financial Analyst Ward Brown; Economic Development Coordinator Erik Thorvig; Communications Technician Roark Haver; Senior Engineering Technician Al Thorp; City Clerk Catherine Sorensen, and Recording Secretary Linda Dahlquist. Present: 5 - Councilmember Hovland, Councilmember Swanson, Councilmember Clark, Councilmember Bourke, and Councilmember Herbst Absent: 2 - Mayor Ryan, and Councilmember King 3 New Business 3-1 WS 15-44 EDA LOT SALE/BREWERY TAP ROOM DISCUSSION Planning and Community Development Director Schafer stated a local business is interested in purchasing EDA owned 1.8-acre parcel on 105th Avenue. He stated if the business purchases the property, they plan to build and operate a brewery with a taproom license. He noted that the City will need to change the zoning and make several ordinance changes. He stated there is no agreement on the lot price. Previn Solberg, Invictus, stated Invictus is interested in the property located 2025 105th Avenue which is 1.76 acres and zoned Heavy Industrial. He stated Invictus would manufacture beer that would be sold in their sports themed taproom that will also have a limited food menu. He stated Invictus City of Blaine Page 1 City Council Workshop Minutes - Final September 10, 2015 will also distribute their beer to restaurants, bars and retail. He stated Invictus has six family investors. He gave an overview of their five business values; five reasons why this site was chosen; six points on the site plans; six points on why Blaine was chosen, and five points on the economic benefit. Councilmember Clark asked about a proposed school being located next to this site. Planning and Community Development Director Schafer replied there are a lot of moving parts and the City does not know if the school will be built in this area. He commented City ordinance currently requires 500 feet between any premises where a liquor license is granted and a school. Amy Schultz, Director of Business Services for Spring Lake Park School District 16, stated the school is interested in purchasing 16 acres for an elementary school from the National Sports Center and 2.5 acres for an early childhood learning center. She stated the school is partnering with the Sports Center on sharing field space, basketball court and baseball fields. She commented the school would also have an issue with the traffic from the brewery. Councilmember Hovland stated this area is considered redevelopment and the brewery is a good business that would put the property back on the tax roll. He asked about operation hours. Ms. Schultz replied the school hours would be 6:00 a.m. to 6:00 p.m. Mr. Solberg replied the brewery’s manufacturing would be in the morning. Council discussion on alternative properties within 500 feet of the proposed school. Councilmember Clark commented that the NSC has a liquor permit, which is within the 500 feet ordinance. Councilmember Clark asked about zoning changes. Planning and Community Development Director Schafer replied the current zoning allows for manufacturing. He stated the issue is with having a tap room with a restaurant, which would require adding a conditional use as an accessory use to a brewery as an allowable use in Heavy Industrial zone. Mayor Pro Tem Herbst asked about water usage. Mr. Solberg replied it takes three gallons of water to produce one gallon of beer. He stated the brewery uses filtered City water. Planning and Community Development Director Schafer commented the City will need to rezone the NSC’s property because it currently does not allow for a school. Councilmember Swanson asked if Mr. Solberg has looked at other sites. Mr. City of Blaine Page 2 City Council Workshop Minutes - Final September 10, 2015 Solberg stated he looked at sites along 65, but prefers this site that is on the east side of Hwy 65. Mayor Pro Tem Herbst stated the Council wants Invictus in Blaine. He commented the school needs to decide on which property to build upon. He suggested Mr. Solberg look at alternative sites as a backup plan. Planning and Community Development Director Schafer stated where ever the school is built will affect the surrounding properties. Discussed 3-2 WS 15-45 BUNKER CHAIN OF LAKES REGIONAL TRAIL MASTER PLAN Karen Blaska, Anoka County Parks Department, stated the proposed 14.5 mile Bunker - Chain of Lakes Regional Trail corridor is located in the south east quadrant of the County and traverses through the cities of Blaine, Lino Lakes and Centerville. She stated the trail connects Bunker Hills Regional Park, Johnsville Anoka County Library, East Anoka County Regional Trail, Rice Creek Chain of Lakes Park Reserve, and Chomonix Golf Course. She stated the trail provides connections to Blaine Senior High School, Centennial Middle School, Blue Heron Elementary School, and several local parks. She noted there are three segments of trail to construct for completion in Blaine, which are located on CSAH 14 Main Street, Lakes development to Lexington Avenue and CSAH 23/109th and Sunset. She commented the trail system connects to the Washington County Trail System. She noted the operations and maintenance costs are split between the County and local municipalities. Councilmember Clark asked about the “strings” that go with the funding. Ms. Blaska replied that she did not believe the State funding has strings like Federal funding but will verify. Councilmember Clark asked for a timeframe. Ms. Blaska said there will be a public comment period after which the County will be asking for the City’s support by resolution by the end of the year. Discussed 3-3 WS 15-46 UTILITY EXTENSION TO LEVER STREET AND 125TH AVENUE Public Services Manager Therres stated Council has expressed interest in accelerating the extension of the trunk utilities within the Lever Street alignment to the north side of 125th Avenue. He stated a decision is needed from the Council on initiating a public utility extension project or receive a petition from the property owners north of 125th Avenue. He noted both options would install trunk utilities from 123rd Circle to the north side of 125th Avenue along the Lever Street alignment. He noted a Council vote would require a super majority vote. City of Blaine Page 3 City Council Workshop Minutes - Final September 10, 2015 Mayor Pro Tem Herbst recused himself from the discussion due to a conflict of interest. He turned the meeting over to Councilmember Swanson. Councilmember Bourke stated he wants to move forward with the project. Councilmember Swanson stated Council vote would require a super majority and Mayor Ryan may vote against the project. City Manager Arneson noted Mayor Ryan is in favor of a public meeting to hear from the neighbors. He stated a public hearing would be required for both options. Councilmember Clark asked for the timing difference between the two options. Public Services Manager Therres replied they are the same. He stated a petition can be created by the City within two days. Councilmember Swanson asked for the number of residents that need to sign the petition. Public Services Manager Therres replied the City can create the petition and 50% of the residents would need to sign the petition. Public Services Manager Therres stated it takes a simple majority vote to ask for a feasibility study, which starts the clock on the project. He noted time and money will be spent on performing these tasks. Council consensus on holding a public meeting and have a petition ready for resident signatures. City Manager Arneson commented Paxmar may decide to build the road next year. City Attorney Sweeney stated the statute states 4/5 of all members of the Council, which in Blaine’s case would be 6/7. Discussed 3-4 WS 15-37 2016 PROPOSED SPECIAL REVENUE FUNDS BUDGET DISCUSSION Charitable Gambling Fund Julie Jeppson, Stepping Stone Emergency Housing, Development Director, stated she submitted a letter of interest to the City for grant funding of $12,000. She stated Stepping Stone is a unique homeless shelter that helps the person become self-sufficient. She stated Stepping Stone serves 600 men and women annually. She noted 72% come from Blaine, Coon Rapids, Lino Lakes, Fridley, and Ham Lake. City of Blaine Page 4 City Council Workshop Minutes - Final September 10, 2015 Councilmember Bourke asked if the City has the funds to support the request. Finance Director Huss stated yes, the funds are available. Councilmember Hovland asked if Stepping Stone relies only on grants. Ms. Jeppson replied 60% funding comes from the State or Federal grants, 25% from cities, 15% in-kind food donations. She stated Stepping Stone has a boarding fee for those who receive State funds. Councilmember Hovland asked whom to contact. Ms. Jeppson replied to contact her directly. Councilmember Clark asked where the shelter is located. Ms. Jeppson replied the shelter is located in Anoka. Councilmember Clark asked how many people are served from Blaine. Ms. Jeppson replied 25%. Finance Director Huss stated the City has four active organizations contributing to the Charitable Gambling Fund. He stated since 2009 the fund has grown considerably. He noted there is $134,000 available for distribution in 2016. He gave an overview of the revised fund reserve policy that makes available funds that are over the $100,000 reserve. He stated that all funds have been distributed for 2015 except for the $10,000 that is designated to the Blaine Historical Society. Councilmember Swanson commented that the Yellow Ribbon was not funded for 2015 due to a local business funding and will be included for 2016. Councilmember Bourke commented he is in favor of funding the same organizations and Stepping Stone for 2016. City Manager Arneson suggested funding Stepping Stone for $10,000, which is in line with the other organizations. Councilmember Swanson suggested carrying forward the $10,000 for the Historical Society. Finance Director Huss replied he will contact the Historical Society about their funding. Councilmember Clark suggested increasing funding for Alexander House by $10,000, SBM Fire by $5,000 and adding Stepping Stone for $10,000 for 2016. Councilmember Bourke commented he is in favor of a lowering the $100,000 fund reserve. City of Blaine Page 5 City Council Workshop Minutes - Final September 10, 2015 Cable Television Fund Finance Director Huss gave an overview of the accounts for the operations of the City’s Cable Television Fund: cable service provider is Comcast; North Metro Telecommunications Commission (NMTC); regulatory body that oversees the area franchise; Blaine is one of seven members of NMTC; and franchise expires in 2020. He noted the funding sources are from franchise fees: gross fees paid by subscribers used to fund NMTC operations and net distributed to member cities based on number of subscribers. Council consensus with the proposed Cable Television Fund budget for 2016. Councilmember Swanson stated the numbers are based on only having Comcast. Discussed ADJOURN The Workshop adjourned at 8:16 p.m. City of Blaine Page 6