City Council Workshop

SPECIAL WORKSHOP MINUTES OAKDALE CITY COUNCIL FEBRUARY 5, 2025 The City Council held a special workshop on Wednesday, February 5, 2025 at Oakdale City Hall, 1584 Hadley Avenue North, Oakdale, Minnesota. The meeting began at 5:00 PM. Present: Mayor Kevin Zabel Council Members: Kari Moore Andy Morcomb Gary Severson Susan Willenbring City Staff Members: Christina Volkers, City Administrator Hannah Dunn, Community Development Specialist Jake Foster, Assistant City Administrator Andy Gitzlaff, Community Development Director Max Lohse, Community Development Specialist Luke McClanahan, City Planner Cory Tietz, Public Works Director Others Present: Shari Ahrens, Westwood Professional Services Jeff Anneke, DBS Group Stewart Crosby, Senior Project Manager, SRF Graham Dommer, Prelude Homes Phil Dommer, Prelude Homes Vishal Dutt, AVIC Development Duane Helwig, Community Living Solutions Michael Kuntz, September Son Architecture Kale Massey, DBS Group Josh Tix, North Shore Contractors 9TH STREET LANDING – DEVELOPMENT CONCEPT PLAN City Planner Luke McClanahan noted this site is located at 7703 10th St N, but would be accessed from Upper 9th St, which is only partially built out. The developer would be expected to fully build out Upper 9th Street for the new site. Mr. McClanahan also went over the three needed land use approvals – rezoning, preliminary plat, and final plat. Regarding rezoning, of the six proposed lots, a few are narrower than is currently allowed which would require the site to fall under the proposed R-3 zoning district in the new zoning code. Mr. McClanahan stated that if the developer proceeds before the new zoning code is finalized, which is anticipated to be May 2025, they would need to rezone to a planned unit development (PUD) or seek variances for lot widths and setbacks. Mr. McClanahan pointed out that part of the site has a wetland that must be platted as an outlot which will get deeded to the City for ownership and maintenance. The developer must SPECIAL WORKSHOP MINUTES FEBRUARY 5, 2025 PAGE TWO also implement stormwater management and comply with the City’s tree preservation regulations. Phil Dommer, with Prelude Homes, gave a brief explanation behind the purchase of the site and decision to subdivide. He made points about the following: the intent to wait for the approval of the proposed R-3 zoning district, the large size of the lots despite being narrow at the front, and the road access and utilities being stubbed with this kind of development in mind. In response to Council Member Severson’s question about the access from 10th St, Mr. Dommer confirmed it will be eliminated. In response to Council Member Willenbring’s question about the size of the homes, Mr. Dommer indicated that they will sell the lots to a home builder, but his best estimate would be roughly 2,000 square feet. In reference to the tree preservation ordinance impact, Mr. McClanahan stated that a full tree inventory has not been completed, but the developer will identify the number of trees being removed, and based on that, a replacement schedule will be determined to ensure trees are replanted. Mayor Zabel expressed concern about the proposed extension of Upper 9th St, noting how close it might be to the back of properties to the south. His preference is to keep the access off of 10th St, but understands this would reduce the number of lots. Council Member Morcomb was overall supportive of the concept plan. Council Member Moore thanked the developer for their patience regarding the approval of the new zoning code. Council Member Severson echoed the sentiments of Council Members Morcomb and Moore. Mr. Dommer stated next steps include preparing the plat and starting the rezoning application. They have already met with the South Washington Watershed District and Washington County about the project. THE HARLAN PHASE II – DEVELOPMENT CONCEPT PLAN Community Development Specialist Max Lohse explained that this proposal is for a horizontal mixed-use project within the Oakdale Marketplace PUD, with residential and commercial spaces in separate buildings. The Oakdale Marketplace PUD was amended last year, which included two site plan options for this parcel: one for a commercial-only building and another for a mixed-use building (with commercial on the first floor and residential above). Mr. Lohse stated that if the project would move forward as proposed a PUD amendment would be necessary. SPECIAL WORKSHOP MINUTES FEBRUARY 5, 2025 PAGE THREE Vishal Dutt with AVIC Development, provided an update on the Harlan Apartments project and explained that the retail space in Harlan Phase Two will be separate due to feedback from commercial market experts who believe this approach is better suited for the area. In response to Mayor Zabel’s question about construction of the commercial and residential occurring simultaneously, Mr. Lohse confirmed, noting there could be a stipulation in the development agreement addressing this. It was Mayor Zabel’s preference to abide by the PUD and require a vertical development. In response to Council Member Willenbring’s question about having both a commercial space on the first floor of the apartment building in one corner and the separate retail building, Mr. Dutt indicated he would likely not have both commercial spaces. He asked if there is a minimum square footage for the commercial space, to which Mr. Lohse stated the PUD does not specify. Council Member Morcomb was supportive of a greater commercial aspect given the historical background of the site and residential preference of the area. Council Member Willenbring was in favor of the horizontal mixed-use proposal. Council Member Severson agreed with the preference for commercial use and offering flexibility with the PUD. In response to Mayor Zabel’s question about this parcel having a covenant restriction from Target, Mr. Dutt confirmed, noting that Target’s approval, along with other surrounding businesses, is necessary to move this proposal forward. Council Member Moore shared her preference for a vertical mixed-use development, but ultimately was supportive of a successful project. In order to move the project forward, Mr. Dutt explained that he is seeking support from the Council for the horizontal mixed-use concept prior to presenting it to the surrounding businesses for their approval. Depending on the businesses’ responses, Mr. Dutt may return to the Council with an updated concept. The Council was overall supportive of Mr. Dutt moving forward with the horizontal mixed-use concept when seeking approval from the surrounding businesses. Council Member Moore preferred limiting the amount of parking to meet the proposed requirements without exceeding them. Mr. Lohse confirmed that the proposed parking does align with the Code requirements. Mayor Zabel echoed Council Member Moore’s sentiment. 15TH STREET SENIOR APARTMENTS – DEVELOPMENT CONCEPT PLAN Mr. McClanahan gave an overview of the 53-unit senior apartment concept located at 7162 15th St N. Six land approvals would be necessary to move forward – rezoning, preliminary plat, final plat, site plan, noise variance, and variance to exceed building height standards and SPECIAL WORKSHOP MINUTES FEBRUARY 5, 2025 PAGE FOUR setbacks. Mr. McClanahan noted a traffic study, which the developer would be responsible for preparing, is needed to identify if a left turn lane off of 15th St will be required. Duane Helwig with Community Living Solutions, went over details of the four-story apartment building concept, which includes one story of underground parking and three residential stories, including amenities, building layout, public safety access, and site constraints. Mr. Helwig noted that an additional story could be a possibility depending on the financial projections. Jeff Anneke with DBS Group, added that the neighboring homeowners’ association (HOA) believes there would be support for the proposed development. In response to Mayor Zabel’s question about a connection to Upper 15th St, in addition to 16th St, Mr. Helwig said they are only proposing the latter street connection. Regarding the City-owned parcel on the bottom left of the site, Mayor Zabel indicated this could offer flexibility if there is not a legitimate reason for the City to continue to own and maintain this parcel. Staff will look into this during the platting process. Mayor Zabel expressed concerns about placing a four-story building so close to a residential neighborhood, but could change his mind given the feedback from the HOA. Council Member Morcomb suggested a shade study to understand the potential impact this new development would have on the amount of sunlight to the nearby homes, although it is unclear if the existing tree cover currently has the same effect. Council Member Severson also expressed concern about the four stories as it would be out of character with the surrounding area. He also noted traffic concerns from 15th St. Council Member Willenbring was in favor of the project, but would also like to hear feedback from the HOA on the four stories. Mr. McClanahan confirmed that the site would have to be rezoned to high-density residential to accommodate the proposal. Council Member Morcomb expressed concern about the size of the proposed development given the site’s size and proximity to neighbors. Council Member Moore was in favor of less parking spaces especially since the proposed parking spaces are over the zoning code requirement. In response to Mayor Zabel’s question about the measurement of the 35-foot setback on the west side of the site, Mr. Helwig stated that it is calculated from the property line (the red line on the concept site plan), which is actually slightly beyond the outside of the driveway, and closer to 40 or 45 feet. SPECIAL WORKSHOP MINUTES FEBRUARY 5, 2025 PAGE FIVE In response to Council Member Severson’s question, Mr. Helwig confirmed that first floor patios are proposed on the west side. In reference to next steps, Mr. McClanahan explained that as part of the zoning code update, there will be a zoning map amendment. The Council has the option to keep original zoning for specific sites, such as this one, saving the developer the step of going through the rezoning process. Mayor Zabel was hesitant toward this approach as the usual process involves public notification and feedback from adjacent property owners. He would prefer to follow the established rezoning process, which includes planning, public comment, and hearings, to maintain transparency and fairness. Council Member Morcomb stated that feedback from the neighboring HOA is important to him in the decision-making process. Mr. Anneke said the master milestone calendar includes construction in late 2025 so the goal is to move through the process quickly and efficiently. The Council was generally open to the project under the current zoning code, but will need to review the results of the traffic and shade studies, and hear the feedback from the HOA, prior to a final decision. PARK SYSTEM PLAN UPDATE Mayor Zabel brought up concerns about how the parks were assessed, citing inconsistencies and omissions. He also asked that additional information be added to the assessment like how many households each park serves. Regarding the cost estimates and necessary tax levy, Mayor Zabel noted that the City has been slowly increasing the tax levy dedicated to the parks annually to try and make up for the many years in which the levy stayed stagnant at an insufficient amount. Council Member Willenbring also noted that the collection of park dedication funds are allocated for park creation and improvements. In response to Council Member Severson’s question about the 2025 Parks Capital Improvement Plan (CIP), Mayor Zabel said those projects have already been determined. They include Willowbrooke Park West, Willowbrooke trails and open space, a to-be-determined playground replacement, park accessibility improvements at three parks, and a to-be- determined artificial turf volleyball court, possibly at Willowbrooke West. Mayor Zabel stated that the Council must determine where to allocate the proceeds from the Tanners Lake redevelopment site sale. Historically, when public lands were sold, the proceeds were earmarked for other public park improvements, but it is ultimately up to the Council. He added that Council should keep an open mind about Parks CIP funding outside of the tax levy. Community Development Specialist Hannah Dunn gave a brief recap on the project thus far, including the updated park concept plans. She stated that the discussion tonight will focus specifically on the phasing and prioritization table. SPECIAL WORKSHOP MINUTES FEBRUARY 5, 2025 PAGE SIX Stewart Crosby, Senior Project Manager with SRF, explained in great detail, the assessment methodology and rating system, as well as how these factors contributed to setting the priorities for park improvements found in the phasing and prioritization table. The system- wide alternate items are suggestions that came up during public input and are not tied to a specific park, but are available for consideration as part of the overall planning. Mayor Zabel shared concerns about how certain scores or categories in the parks assessment should be weighted differently depending on their importance. For example, playgrounds and stormwater management should not be treated equally in the ranking system, as they serve very different needs. Additionally, Mayor Zabel had conflicting opinions about several specific prioritizations identified. He proposed matching resources to parks based on their size and the urgency of their needs. Council Member Morcomb expressed a desire to focus efforts on parks that will benefit the most people, along with ADA accessibility improvements. His preference is to concentrate funds into a single, comprehensive improvement at each park instead of tackling things bit by bit over time. In reference to operations and maintenance costs associated with an extensive park improvement, Public Works Director Cory Tietz stated that if a phased approach is taken, the focus should be on replacing outdated and potentially unsafe equipment first. He also noted that certain upgrades should be handled together to minimize future maintenance costs and maximize efficiency. Mayor Zabel wrestled with the challenge of balancing substantial investments with regular maintenance so that parks do not fall into disrepair. Prior to Council diving into the prioritizations, Ms. Volkers highlighted that when planning and designing improvements for Walton Park, it might be more efficient to bundle the planning and construction phases together with the building capital improvements. Council Member Willenbring suggested the Council determine a set of defined key priorities that could be used as an evaluation tool to see how each park aligns with those priorities. This approach can help to ensure that resources are allocated to the areas that will have the greatest impact. Safety on active amenities was one suggested priority. Mr. Tietz stated that once foundational safety concerns are addressed, staff can shift focus to less urgent, but still important, park elements. Council Member Moore was supportive of prioritizing the entirety of Tanners Lake Park. She referenced past experiences with using public-private partnerships and grant funding to add park amenities. Mayor Zabel noted that an identified priority is play equipment, first in community parks, and then trickling down into neighborhood parks likely starting with the oldest. Other priorities SPECIAL WORKSHOP MINUTES FEBRUARY 5, 2025 PAGE SEVEN include ADA accessibility and safety improvements. Mayor Zabel suggested prioritizing improvements that can be aligned with other CIP projects to take advantage of cost savings. The Council discussed the prioritization for Walton Park which included the playground, the bandshell, and reorienting the memorial/sculpture area. Regarding the ADA recommendations on the phasing table, Ms. Dunn explained that this means ensuring there are accessible trails and curb cuts to various park amenities. If it is related to the playground, then the recommendation will say ‘add inclusive features.’ She added that ADA recommendations are typically coupled with another improvement. Mayor Zabel brought up the decision to be made between adding new amenities versus replacing and maintaining what currently exists. Council Member Severson suggested gradually saving up for new amenities. Outside of Walton Park, Mayor Zabel’s preference is to focus on replacing and fixing existing amenities before introducing entirely new features. Council Member Willenbring pointed out that age alone does not necessarily determine whether a playground needs to be replaced or not. It is more about the condition and safety of the equipment. Council Member Moore stated that it is important to consider the changing user preferences when planning park improvements, especially playgrounds. Additional priorities identified were native restoration and the addition of new amenities which would be ranked by hierarchy of parks, with community parks receiving top priority, followed by neighborhood parks. Council Member Morcomb noted that trail connections and parking lot extensions are by far the largest cost drivers and therefore should be placed at the bottom of the priority list, unless they relate to ADA improvements. Ms. Volkers indicated that the ice rink at Northdale Park will be decommissioned, and the warming house will be demolished. Ms. Dunn said the concept plan has the warming house converted into a picnic shelter for the proposed turf volleyball court. Mayor Zabel noted other broad categories like trail expansion, native restoration, and wayfinding and signage, which should align with other CIP projects. Community Development Director Andy Gitzlaff pointed out that native vegetation can be used as a cost-saving measure, particularly in terms of maintenance. As such, this item does not need to be part of the prioritization hierarchy. In the 2025-2029 CIP, the Tanners Lake Park parking lot repaving project is slated for 2026, and based on the newly developed prioritization hierarchy, the playground replacement would also be eligible in 2026. Other improvements at this park will likely happen over time as funding allows. SPECIAL WORKSHOP MINUTES FEBRUARY 5, 2025 PAGE EIGHT Next steps include staff adjusting the priority timeline (0-5 years, 5-10 years, and 10-20 years) for each park based on the Council’s feedback. Then Council can review and make individual adjustments as desired. Mayor Zabel recapped that his first-tier priority is safety and age of playground equipment plus the Walton Park playground. The second-tier priority is ADA and safety improvements. The third-tier priority is the prioritization of new amenities that are not currently in the park system at all (i.e., community garden) over replacing and maintaining current amenities, such as a picnic shelter. New trails, other than ADA improvements, were determined as low priority due to their cost. Native vegetation and signage were also low priorities and should coincide with other existing CIP projects, though native vegetation could be considered a maintenance item. Council did not disagree with Mayor Zabel’s overall prioritization. Mayor Zabel suggested that staff revisit the existing condition rankings with community priorities and Council’s intent, but there was no established timeline to bring this back to Workshop. Council Member Willenbring noted that the Council and staff will have the Park System Plan and the Pedestrian and Bicycle Plan to utilize when making CIP decisions. The Tanners Lake playground was decided upon as the next playground replacement. Staff was asked to develop a public engagement plan for the playground amenities as this is a community park. Also, Finance Director Kyle Stasica will provide the budgeted amount to Council for this CIP item. Ms. Volkers requested that all City parks be added to the phasing table to make it a complete list. ADJOURNMENT The workshop was adjourned at 7:28 PM. Respectfully submitted, Sara Ludwig, City Clerk