City Council

Minutes Woodbury City Council Wednesday, February 26, 2025 Pursuant to the due call and notice thereof, a regular meeting was duly held virtually and at the Woodbury City Hall, 8301 Valley Creek Road, on the 26th day of February 2025. Call to Order Mayor Anne Burt called the meeting to order at 7:30 p.m., and she welcomed those attending the meeting both in person and virtually. Mayor Burt explained that members of the public may attend the meeting in person and may also join the meeting using a computer, tablet, or smartphone. She stated public comments will be accepted during the meeting both in person and virtually. Virtual questions should be submitted via the online Q&A feature within the virtual meeting link. Questions regarding the meeting will also be taken between the hours of 8:00 a.m. to 4:30 p.m. via email at council@woodburymn.gov or at 651-714-3524. Questions received after 4:30 p.m. will be responded to in the next three to seven business days. Pledge to Flag Audience, staff, and Council pledged allegiance to the flag of the United States of America. Roll Call Upon roll call the following were present: Mayor Anne Burt, Councilmembers: Kim Wilson, Donna Stafford, and Jennifer Santini. Absent: Steve Morris Others Present: Ashleigh Sullivan, Assistant City Administrator/City Clerk; Kevin Sandstrom, City Attorney; Janelle Schmitz, Community Development Director; and Chris Hartzell, Engineering Director. Special Order of Business No Items Scheduled Open Forum The Open Forum is a portion of the Council meeting where a maximum of three persons will be allowed to address the Council on subjects, which are not a part of the meeting agenda. Persons wishing to speak must complete a sign-up sheet prior to the start of the meeting. Give the sign-up sheet to any staff person. Speakers are limited to three minutes each. The Council will listen attentively to comments but, in most instances, will not respond at the meeting. Typically, replies to the concerns expressed will be made via letter or phone call within a week. Derek Schmidt, 2448 Lamplight Drive, requested that the Council consider revising the City’s block party Ordinance or the special event policy. In October, the Royal Oaks neighborhood turns into the “Haunted Oaks”. He explained that his neighbor and he started a modest Halloween display to celebrate the holiday and launched a Facebook page to share progress with friends and family. Over the years, the size and number of displays increased and other neighbors joined in decorating. This year, they attracted a record amount of trick-or-treaters and estimate that 1,700 kids visited the Haunted Oaks. He expects that the event will continue to grow as long as families continue to learn about the safe, free, family-friendly event. They have started a GoFundMe to help neighbors and residents with the burden of purchasing candy. The Facebook page has over 4,000 followers and has been featured on several news outlets. He mentioned that it has become a community event. Due to the demand of visitors, one of the challenges is vehicle traffic on Lamplight Drive during Halloween. The current Ordinance designates Lamplight Drive as a red route, meaning that they are unable to restrict or block traffic. He asked the Council to consider revising the block party Ordinance or the special event policy to address the issue. He added that they had collected 150 signatures via a petition online and had 65 survey responses. The goal is to work closely with the City to restrict traffic on Lamplight Drive for a few short hours on Halloween evening and still allow homeowners to access their houses. Mayor Burt mentioned that she is aware of the petition, what is being asked, and added that there has been some work done with the Public Safety team to come up with a solution that will work. She stated that a response would be provided soon. Consent Agenda All items listed under the consent agenda are considered to be routine by the City Council and will be enacted by one motion and an affirmative vote by roll call of a majority of the members present. There will be no separate discussion of these items unless a Councilmember or citizen so requests, in which event, the items will be removed from the consent agenda and considered a separate subject of discussion by the Council.  City Council Meeting Minutes Wednesday, February 26, 2025 Item A 1. Approval of City Council Workshop Minutes – February 12, 2025 2. Approval of Council Minutes – February 12, 2025 Item B To adopt the following resolution Resolution 25-29 Resolution of the City of Woodbury, Washington County, Minnesota amending the agreement with South Washington Watershed District (SWWD), approve a budget amendment reallocating $400,000 of SWWD funding participation from the Powers Lake Trail Connection Project to the Powers Lake Shoreline Restoration Project, return City matching funds of $400,000 to the Park Dedication Fund balance, and amend the associated Storm Water Utility Fund budget. Item C To approve Woodbury Math and Science Academy, Final Plat, Project No. 27-2024-00567. Staff further recommends Council authorize the Mayor and City Administrator to execute the Development Agreement with all approvals subject to the following conditions as listed in Council Letter 25-48. Item D To adopt a motion establishing the following high priorities for the 2025-2029 Consolidated Plan as well as the 2025 Annual Action Plan as listed in Council letter 25-49. Item E To adopt the following resolution Resolution 25-30 Resolution of the City of Woodbury, Washington County, Minnesota accepting grant funds in the amount of $358,679 from the Minnesota Department of Natural Resources’ Conservation Partners Legacy Grant Program to the City of Woodbury and approving the associated budget adjustments. Item F To adopt the following resolution Resolution 25-31 Resolution of the City of Woodbury, Washington County, Minnesota authorizing applications to the South Washington Watershed District’s Coordinated Capital Improvement Program Grant Solicitation. Item G To adopt the following resolution Resolution 25-32 Resolution of the City of Woodbury, Washington County, Minnesota authorizing the Mayor and City Administrator to execute a Letter of Engagement with SEH, Inc. in the amount of $598,000, authorize the preparation of a preliminary report for the Woodlane Drive (Bailey Road to Wooddale Drive) Pavement Rehabilitation Project and amend the Municipal State Aid Roadway Construction Fund for the Woodlane Drive (Bailey Road to Wooddale Drive) Pavement Rehabilitation Project. Item H To adopt the following resolution Resolution 25-33 Resolution of the City of Woodbury, Washington County, Minnesota authorizing the Mayor and City Administrator to execute a letter of engagement with Advanced Engineering and Environmental Services, Inc. for construction unification services for the Woodbury Water Treatment Plant and Pipeline Project in the 2024 Pipelines Project Construction Grant and in the 2025-2027 Pipelines Project Construction grant. Item I To adopt the following resolution Resolution 25-34 Resolution of the City of Woodbury, Washington County, Minnesota authorizing application to the Minnesota Pollution Control Agency Implementation Grants for Stormwater Resilience for Ria Lake downstream infiltration basin. Item J To renew the tobacco sales license of the businesses on the attached list in Council letter 25-55 for the period of April 1, 2025 through March 31, 2026. Item K To renew the liquor licenses of the businesses on the attached list in Council letter 25-56 for the period of April 1, 2025 through March 31, 2026. Item L To renew the cannabinoid product license of the businesses on the attached list in Council letter 25-57 for the period of March 1, 2025 through December 31, 2025. Item M The abstract of bills includes payments made from the operating or project budgets for expenses of the city. The expenditures are from all funds of the city. Any purchased contracts requiring signature of the mayor and City Page 2 of 5  City Council Meeting Minutes Wednesday, February 26, 2025 Administrator is hereby approved. Staff recommends approval of the abstract of bills for February 7, 2025 in the amount of $1,492,963.46 and February 14, 2025 in the amount of $2,982,098.06 Councilmember Santini moved, seconded by Councilmember Stafford, to approve the Consent Agenda items. Voting via voice: Kim Wilson – aye Donna Stafford – aye Steve Morris – absent Jennifer Santini – aye Anne Burt – aye Public Hearings Mayor Burt reviewed the City’s Public Hearing process and stated that in order to allow for a full airing of all speaker comments, individual remarks may not exceed 10 minutes each. If a speaker determines that more time is necessary, they are advised to m ake a request in writing to the Mayor at least three days prior to the hearing. If there are more than three (3) green sheets submitted to make comments at a public hearing, the Mayor may reduce the individual time allotted to each speaker so that all interested parties have the opportunity to provide their comments within the aggregate thirty-minute (30) public comment period of the public hearing process. Remarks or points already made by someone else should not be repeated, unless simply to state that they are “opposed” to, or “favor” the issue. Remarks should be limited to the subject at hand only. Speakers are encouraged to coordinate presentations to the extent possible. Those in attendance at the Public Hearing will refrain from applause, or other expressions of emotion, whether in favor of, or opposition to, any particular application or argument. Inappropriate language, outbursts or criticisms aimed at individuals or groups are not allowed. A. Tax Exemption Bond for Math & Science Mayor Burt declared the public hearing open. Community Development Director Janelle Schmitz stated a public hearing is being held by the City to consider a proposal for the issuance of tax-exempt charter school lease revenue bonds. The proceeds of the bonds will be loaned by the City to MSA Building Company, which will finance a renovation project of existing school facilities located at 8430 and 8460 Woodbury Crossing (Lower Campus), and financing the acquisition of property located at the southeast corner of Bailey Road and Mile Drive and the construction of a new school facility (Upper Campus). Ms. Schmitz noted the bond issuance proposal requests an aggregate amount not-to-exceed $60 million. This bond issuance is conduit in nature and while the City will issue the proposed conduit bonds, the City is not responsible or liable for the debt service payments. Additionally, the proposed bond issuance will not be bank qualified due to the request exceeding $10 million. Ms. Schmitz explained a municipal issuance of conduit bonds is a common financing mechanism that allows a project to use tax-exempt bonds as its funding mechanism. By using the municipality’s ability to issue conduit bonds, organizations can sell tax-exempt bonds rather than taxable bonds. This saves projects a significant amount of debt service payments over the life of the bonds because tax exempt bonds are typically sold at a lower interest rate than taxable bonds. The City, as well as its HRA and EDA, have a long history of issuing conduit bonds to help facilitate housing, economic development, and school projects in the community. Issuing conduit bonds such as these is one way in which Woodbury can facilitate housing and economic development projects without granting a municipal subsidy. Ms. Schmitz stated specific to this issuance, the legal and issuance costs are bundled into the cost of the bond issuance and do not represent a cost to the City. In compliance with Woodbury’s fee ordinance, the fee received by the City for the issuance of the proposed conduit bonds will be 0.125 percent of the aggregate principal amount of the conduit bonds and will provide revenue to the General Fund. As noted within the attached resolution, the issuance principal amount is expected not to exceed $60 million, therefore the anticipated fee the City will receive for this issuance is $75,000. Staff recommended approval of Resolution25-35 authorizing the issuance of revenue bonds under Minnesota Statutes, Sections 469.152 through 469.1655, as amended, to finance school facilities for the benefit of MSA Building Company and Math & Science Academy; approving related documents; and taking certain other actions with respect thereto. Sofia Lykke, Bond Counsel, explained that the Resolution before the Council is a Resolution approving the issuance of tax-exempt conduit revenue bonds to finance the construction and acquisition of land as described by Ms. Schmitz. In addition, it would pay for related costs, debt service fund, capitalized interests and cost of issuance of the bonds. The bonds are going to be issued under section 145 of the Code. The conduit revenue bonds require a public hearing. The bond Resolution approves the issuance of bonds in a not to exceed principal amount of $60 million. There are no obligations for the City to pay on the bonds, even if the project encounters financial difficulties. The bond Resolution approves the forms of bond documents that will govern the issuance of the bonds and the life Page 3 of 5  City Council Meeting Minutes Wednesday, February 26, 2025 of the bonds. There will be closing certificates that will need to be signed. The parties to the transaction will continue to negotiate the terms of the deal and will close the bond transaction in late March. Mayor Burt moved, seconded by Councilmember Wilson, to close the public hearing. Voting in Favor: Wilson, Date, Santini, Burt Absent: Morris Mayor Burt opened opportunity for discussion and questions from the Council. Councilmember Wilson clarified that the City incurs no costs or risks associated with this and will end up $75,000 more in the General Fund. Ms. Schmitz agreed. Councilmember Wilson asked if some of the funds could go to a special revenue fund. Ms. Schmitz replied that it would need to be done through a budget amendment. Councilmember Wilson asked if it would impact the debt that the City could issue moving forward. Ms. Schmitz replied that since it is $60 million it is considered non-bank qualified. There would be no impact moving forward. Councilmember Stafford asked if the bonds include the renovation of the elementary school. Ms. Schmitz replied that it would. Councilmember Stafford asked if the applicant believed the $60 million would cover both projects. Ms. Schmitz replied they did. Councilmember Santini explained that charter schools do not receive money from property taxes and that it is the schools' fundraising efforts that raise money. Councilmember Santini moved, seconded by Councilmember Wilson, To adopt the following resolution Resolution 25-35 Resolution of the City of Woodbury, Washington County, Minnesota authorizing the issuance of revenue bonds under Minnesota Statutes, Sections 469.152 through 469.1655, as amended, to finance school facilities for the benefit of MSA Building Company and Math & Science Academy; approving related documents; and taking certain other actions with respect thereto. Voting via voice: Kim Wilson – aye Donna Stafford – aye Steve Morris – absent Jennifer Santini – aye Anne Burt – aye B. Osaka Woodbury, Inc 9000 Hudson Road #622, On Sale Intoxicating Liquor License including Sunday Sales Mayor Burt declared the public hearing open. Assistant City Administrator/City Clerk Ashleigh Sullivan stated Osaka Woodbury, Inc has submitted an application for an On Sale Intoxicating Liquor License including Sunday sales for their restaurant located at 9000 Hudson Road #622, under new ownership. As required by City Code, a criminal history check as it pertains to liquor licensing was conducted on each person with ownership or control of the corporation in excess of five percent. No violations that would preclude the corporation from obtaining a liquor license were found. The applicant has submitted the license fee and background investigation fee. The City Attorney has reviewed the application and has found it to be in order. Staff recommends Council approve an On Sale Intoxicating Liquor License including Sunday Sales to Osaka Woodbury, Inc., located at 9000 Hudson Road #622. Mayor Burt moved, seconded by Councilmember Wilson, to close the public hearing. Voting in Favor: Wilson, Stafford, Santini, Burt Absent: Morris Mayor Burt opened opportunity for discussion and questions from the Council. Councilmember Santini moved, seconded by Councilmember Wilson, to approve an On Sale Intoxicating Liquor License including Sunday Sales to Osaka Woodbury, Inc located at 9000 Hudson Road #622. Page 4 of 5  City Council Meeting Minutes Wednesday, February 26, 2025 Voting via voice: Kim Wilson – aye Donna Stafford – aye Steve Morris – absent Jennifer Santini – aye Anne Burt – aye Discussion No items scheduled Transportation Report (2nd meeting of the month, May-October) No items scheduled City Administrator’s Report Ms. Sullivan gave a verbal update of upcoming City meetings. • March 3, 2025 – Planning Commission Meeting • March 6, 2025 – Neighborhood Meeting for 2025 Roadway Rehabilitation, 5:00 p.m., Ash Conference Room, City Hall • March 12, 2025 – Council Workshop • March 12, 2025 – Public Hearings 1. Slick City Woodbury Conditional Use Permit, 01-2025-00572 2. Red Rock Elementary Farmers Market, Interim Conditional Use Permit, 20-2025-00570 3. Adoption of Special Assessments for 2025 Roadway Rehabilitation Project Adjournment Mayor Burt moved, seconded by Councilmember Wilson, to adjourn the meeting at 7:55 p.m. Voting in Favor: Wilson, Stafford, Santini, Burt Absent: Morris Respectfully submitted, _________________________________________ Ashleigh Sullivan, Assistant City Administrator/City Clerk Approved by the Woodbury City Council on March 12, 2025. Page 5 of 5