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HomeMy WebLinkAbout03-28-16 WSCITY OF LAKEVILLE CITY COUNCIL WORK SESSION MINUTES March 28, 2016 Mayor Little called the meeting to order at 6:00 p.m. in the City Hall Marion Conference Room. Members Present: Mayor Little, Council Members LaBeau, Davis, and Anderson Absent: Council Member Swecker Staff present: Justin Miller, City Administrator; Allyn Kuennen, Assistant City Administrator; Dave Olson, Community and Economic Development Director; Chris Petree, Public Works Director; John Hennen, Parks and Recreation Director; Zach Johnson, City Engineer; Jerilyn Erickson, Finance Director; Judi Hawkins, Deputy City Clerk 2. Citizen Comments: None 3. Discussion Items: a. Transportation Corridors / Strategic Density Housing Options Daryl Morey summarized the agenda item and stated that numerous private developers have contacted staff in the past several months with inquiries about constructing multi -family residential projects in Lakeville in 2016 and 2017. Projects are being proposed for attached townhomes, market rate apartments, senior housing and workforce housing; however, there is very little property with City utility services that is zoned or guided for multi -family residential housing. An update of the City's Comprehensive Plan will begin in 2017 and could include changes to land use and zoning which will take effect in 2018. The Economic Development Commission's 2014-16 Strategic Plan also identified the development of high density housing as a Strategic Priority particularly along the BRT corridors on Cedar Avenue and I-35. The EDC's Strategic Plan initiatives include identifying up to 12 sites within the city to be rezoned for higher density housing and possibly allowing higher density housing in commercial zoning districts by Conditional Use Permit. Housing with services such as senior housing, memory care, etc. are currently allowed in commercial zoning districts. Maxfield Research conducted a housing needs assessment for Dakota County CDA and identified the need in Lakeville for up to 3,000 rental units for all income levels by 2030. Properties that have been identified are predominately zoned commercial. Staff presented options for Council to consider for how potential multi -family housing sites along the two main transit corridors could be developed, if Council desired. Properties could be rezoned on a case to case basis to Planned Unit Development (PUD) while working with City Council Work Session March 28, 2016 Page -2 - developers to identify some development standards; properties could be rezoned to either RM (medium density) or RH (multi -family) and be subject to established standards for density, building height, setbacks, etc.; or the zoning ordinance could be amended to allow multi -family housing by CUP in commercial zoning districts. Mayor Little asked staff which approach might be best if Council decided to proceed. Dave Olson stated that mixed use in commercial areas is becoming common in metro communities. The EDC would like to create a CUP category in the commercial zones, such as the downtown central business district which has some areas that could be zoned for high density. Lakeville's current units per acre and building height standards are low compared to other cities. Developers will also want to discuss those allowances as part of possible ordinance amendments. Gary Gustafson of Fortune Realty is interested in developing 35 acres which are currently zoned commercial just north of the Target store on 185' St. for townhomes and multi -family. Bruce Rydeen agreed that some of the properties that are currently zoned commercial might be put to better use with high density housing. Mr. Gustafson stated that Lakeville's fees are also prohibitive to developers. Council Member LaBeau commented that building height restrictions also create challenges for developing higher density housing. Morey stated that a PUD would allow some flexibility in the ordinance. Mayor Little asked if allowing higher density housing near the industrial areas had been considered. Mr. Morey stated that residential and industrial uses do not mix well due to heavy truck traffic and possible hazardous materials. Council Member Anderson stated that infrastructure and performance standards, as well as market demand also need to be considered for conditional use permits. Mr. Morey stated that if properties are considered on a case by case basis, the PUD would be a more appropriate tool. Davis believes a PUD on a case by case basis would be best but is concerned about possible added cost for additional work that would be needed for approval. In addition, Davis would like to see performance standards developed so that developers know what to expect when going into a project. Mr. Morey stated that staff would spend more time reviewing each project individually. Mayor Little suggested beginning with a PUD on a case by case basis as a start, then establish standards later based on experience. Lakeville has a shortage of housing inventory and needs more variety in stock. Council Member LaBeau stated that surrounding communities are saturated with rental units. Council Member Anderson suggested these questions be discussed at a future work session after staff has researched and drafted possible performance standards. City Council Work Session March 28, 2016 Page -3 - Mayor Little prefers to resolve some issues at this meeting in order to provide further direction for staff. After some discussion there was consensus among the Council to accelerate the process by holding a special meeting on April 11, 2016 to discuss density, building height, parking ratios, pros and cons and criteria for PUD vs. CUP, fees, and any other issues associated with developing multi -family housing in Lakeville. b. Vermillion Watershed Project City Engineer Zach Johnson provided an overview of the proposed South Creek Restoration Project. The water quality of South Creek and the Vermillion River is being impaired due to failures of the banks of a storm water basin located southwest of the Holyoke Avenue/2101 Street intersection. Staff is proposing a feasibility study to evaluate options to reduce erosion and sedimentation and increase oxygen levels in order to improve water quality and wildlife habitat. The feasibility study would also address what construction option would be most cost effective. Wenck Associates has submitted a proposal for services to be completed in three phases. Staff will present the results of the first phase to Council for further direction. The Vermillion River Watershed Joint Powers Organization (VRWJPO) will fund up to $65,000 for a feasibility study and preliminary design. Council directed staff to proceed with the feasibility study for South Creek water improvements. c. Water Meter Policy Chris Petree stated that staff is proposing to establish more specific ordinance language and a policy for dealing with various water meter issues, especially the meter change -out program. The proposed policy details water meter installation, maintenance, reading and testing and outlines responsibilities in order to establish consistent procedures. Council directed staff to provide a final draft to Council for consideration at a regular meeting. d. 2017 Holyoke Avenue Street Project Update Operations and Maintenance Engineer Monica Heil provided a brief summary of the feedback received from downtown Lakeville property and business owners regarding plans for the 2017 Holyoke Avenue Improvement Project. Staff received input from the DLBA at meetings in August, October and January. The project is currently budgeted as a $1.1M mill and overlay between Heritage Drive and County Road 70 in 2017 and includes some spot sidewalk replacement. The DLBA was asked if there was interest in expanding the project to include streetscape and sidewalk upgrades. Options and assessment estimates presented to the DLBA included: 1) maintain the current project scope as budgeted ($51/front foot); 2) replace all the existing concrete sidewalks with plain concrete, with no trees ($90/front foot); City Council Work Session March 28, 2016 Page -4 - 3) replace all the existing sidewalks as in #2, adding stamped decorative concrete around tree grates ($100/front foot); or 4) replacement of existing concrete as in #3, also replacing tree grates and landscaping trees as well as pedestrian enhancements at key locations ($104/front foot). Staff also provided the DLBA with streetlight options. Replacement of City -owned streetlights with standard acorn and shoebox fixtures is budgeted as part of the project in the CIP. Upgraded fixtures would be available at an additional cost. Staff provided a summary of responses received from downtown property and business owners. Respondents were mostly in favor of full sidewalk replacement with the addition of some combination of trees and landscaping, and installation of standard light fixtures. Business owners also requested additional signage as part of the survey. Staff will be applying for a grant which could help offset the landscaping costs. Staff recommends approval of the project design to include complete sidewalk replacement, trees and landscaping throughout the downtown business corridor. Staff is also asking for Council direction regarding sidewalk and streetlight improvements in the residential area north of the business district. Currently there are streetlights on the west side of Holyoke only. Discussions have not been held with property owners. Council Member Anderson asked about the lighting style. Heil stated that there are several styles of lights which provide various levels of light which could result in the need for additional lights. Davis asked if just having a sidewalk on the west side would be adequate. Mr. Petree stated that there are many requests for an additional sidewalk on the east side of Holyoke which would allow access to the Heritage Center from the downtown without having to cross the street twice. Petree added that there are no foot candle requirements in the residential area. Ms. Heil stated that the process to extend the sidewalk would include discussions and feedback from the residents and eventual assessments to the property owners. Mr. Petree added that sidewalk requests have come from residents who live in other areas of the downtown. Council Member Anderson supports exploring installation of a sidewalk on the east side of Holyoke Ave. all the way to Heritage Drive and believes it is important to be flexible with plans. Anderson is also supportive of additional signage for the downtown. LaBeau believes other commercial areas might feel slighted if additional downtown area signage is installed. Mayor Little added that signage will support the investment which has been made in the downtown. City Council Work Session March 28, 2016 e. Transportation Update Page -5 - Chris Petree provided updates on current transportation projects and directed Council to visit the project webpages through the Dakota County website. Updates included: • Dodd Boulevard reconstruction from 185`h Street to 194''' Street is scheduled to begin April 18. LaBeau asked about the speed limit of 45 MPH on 190th Street as part of this project. Petree stated that staff will discuss a speed zone study with Council at the April work session. • Kenwood Trail / 172nd Street realignment - staff continues to work with the property owners; • Pilot Knob Road / Dodd Blvd. - Traffic changes and improvements are proposed in late April; staff is working with the County and the Hy -Vee developer; • County Road 50 - design and acquisitions continue by the County; a financial analysis is underway to determine the feasibility of the backage road or the cul-de-sac design; • 2015 Street Reconstruction Project Phase II - Neighborhood meeting will be held on March 29; • 2016 Street Reconstruction Project - Neighborhood meeting is scheduled for April 11; the assessment hearing date is set for April 18; • 2016 Miscellaneous Roadway Repairs - to be awarded April 18 • Highview Avenue, south of County Road 70 - bids will be opened April l • Holyoke Avenue downtown - staff will notify Council on status of grant application f. Valley Lake Park Pollinator Garden The Lakeville Rotary Club contacted staff last fall wishing to initiate a pollinator garden somewhere in the City. The purpose of a pollinator garden is to provide plants and habitat for pollinators such as bees and butterflies which are vital to the eco -system. The garden would be constructed east of the existing building at Valley Lake Park at a cost of approximately $14,000. Both the Rotary and the Vermillion River Watershed District have provided grants totaling $13,000 to assist with creating the garden; the remainder of the project cost and annual ongoing maintenance would be at the expense of the City. Lakeville's Environmental Resources Division will coordinate the project which is planned for June or July. Council Member LaBeau stated that additional matching grants have been provided by other area Rotary Clubs. Council directed staff to proceed with plans for the Pollinator Garden and to consider where other opportunities might exist for additional pollinator gardens. g. Land of Amazement 2.0 Fundraising Update John Hennen provided an update on fund raising and grants to reach the goal of $271,000 for Land of Amazement 2.0. To date just over $100,000 has been received or committed from donors. Revenue from the Taste of Lakeville Wine Judging and several other events are designated to the LOA. Construction by community volunteers is tentatively scheduled for September 16 and 17. LaBeau suggested another flyer might let people know that there are still pieces of equipment available for individual purchase. City Council Work Session March 28, 2016 Page -6 - Council directed staff to continue to move forward and provide regular updates. Unfinished business: Future discussion items include responsibilities of the EDC and goals and functions of the Cable TV Board. Davis agreed to represent the Council at Planning Commission discussions regarding animals. 4. Adjourn The meeting adjourned at 8:00 p.m. Respectfully submitted, "4�"' yw-) Ju awkins, Deputy Ci Clerk Matt Little, Mayor