11/29/1988 - City Council Special • MINUTES OF A SPECIAL MEETING OF
THE EAGAN CITY COUNCIL
Eagan, Minnesota
November 29, 1988
A special meeting of the Eagan City Council was held on Tuesday, November
29, 1988, at 7:00 p.m. at the Eagan Municipal Center Building. Present were Mayor
Ellison and City Councilmembers Egan, Gustafson and Wachter. City Councilmember
McCrea was absent. Also present were Director of Finance VanOverbeke, Director of
Community Development Runkle, Director of Public Works Colbert, City Attorney
Sheldon and City Administrator Hedges. Also present were the City's consultants,
Glen VanWormer of SEH and Dave MacGillivray of Springsted, Inc.
NORTHEAST EAGAN TAX INCREMENT PROJECT
City Administrator Hedges briefly reviewed the research and work the City
staff and City's consultants have performed since the October 27 special workshop
session concerning the Northeast Eagan Tax Increment project. He stated that in
addition to numerous meetings the City has met with representatives of Northwest
Airlines, Cray Research, Short Elliott Hendrickson and the professional staff of
the cities of Mendota Heights and Inver Grove Heights.
• The City Administrator and the City's fiscal consultant, Dave MacGillivray
of Springsted, Inc. , briefly reviewed the topics which have covered the principal
discussion points to date including the predevelopment agreement requiring
Northwest Airlines to reimburse the City for all costs up to $50,000 in forming a
TIF district, a review of the project area, and an update on Cray Research's
development. Other issues reviewed by staff included, the status of Engineering
estimates for proposed highway and intersection improvements, the reaction
regarding meetings with the cities of Mendota Heights and Inver Grove Heights in
the review of certain documents including a predevelopment agreement, development
district plan and TIF plan. Director of Finance VanOverbeke presented a calendar
which lists the various events that are required in order to accommodate the TIF
statutes procedure requirements by mid-January. City Councilmembers discussed the
proposed development district asking several questions of the consulting engineer
whether the corporate expansion proposed by Northwest Airlines will generate
transportation improvements throughout the entire project area. There were also
questions raised about the proposed tax increment financing districts in direct
relationship to the ;"mount of bonds that could be financed for the proposed road
improvements. After further discussion, Mayor Ellison directed that this item be
placed on the December 6 regular City Council agenda to consider setting a public
hearing date to consider a development area and tax increment financing district
for the purpose of financing off-site improvements to allow for industrial and
corporate expansion in northeast Eagan.
• COMMUNITY CENTER PROJECT
Mayor Ellison convened a special City Council meeting by welcoming the
Advisory Parks & Recreation Commission members including its chairperson, Dick
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• Special Minutes
November 29, 1988
Carroll, Michele Swanson, Sandra Masin, Wayne Sames, JoAnn Alt, George Kubik, Bob
Porter and their alternate Ted Billy for the purpose of discussing the community
center project. Director of Parks and Recreation Vraa introduced the City's
architect, Bryce y e Hastings of Hastings and Chivetta, who presented the final
drawings for the proposed community center. Mr. Hastings reviewed the drawings in
detail stating that all changes as suggested by the Advisory Parks and Recreation
Commission, Reaction Committee, staff and City Council have been incorporated into
the final drawings. Following a brief discussion, it was generally agreed by all
members present that Mr. Hastings can proceed with final architectural renderings
and detailed drawings for the purpose of preparing for a bond referendum. The
Director of Parks and Recreation reviewed the cost breakdown of the proposed
community center project by categories that included off-site development, building
construction costs, equipment furnishings, architectural fees, miscellaneous costs
and the related. He stated that the total cost is estimated at $9,954,791. The
City Administrator Hedges reported on a revenue option that is proposed to reduce
the referendum amount by $2,000,000. He stated that the City's consolidated debt
fund has approximately $6.5 million of unallocated funds to be used for a community
purpose. He stated that a portion of those dollars should be retained and used for
any bond funds that may generate a positive balance in the future for future City
Hall expansion. It was the opinion of the City Administrator and Director of
Finance that $2,000,000 would be available for the Community Center project. City
• Councilmembers discussed the costs as presented and generally concurred with the
financing plan as proposed.
City Councilmembers and Advisory Parks and Recreation Commission members
discussed the necessity for a good marketing plan that presents a factual
representation of the community center project to the community through
presentations to service organizations, homeowners associations and City-wide
newsletters to all households. The Director of Parks and Recreation also explained
the various recreational activities that can be offered with the community center
project. City Councilmember Egan raised a valid question concerning insurance
liability asking if the architect had fully analyzed the proposed building uses
from an insurance perspective. Mr. Hastings stated that a natatorium is the most
concerning as an insurance liability; however, the diving boards were eliminated,
the depth and layout of the pool have been analyzed by the State of Minnesota and
swimming consultant to mitigate potential liability. City Councilmember Wachter
raised questions about energy efficiency for the proposed building which were
adequately addressed by the architect, Mr. Hastings. There were also questions
raised about the proposed operating expenses for the proposed community center and
the Director of Parks and Recreation responded by stating that user charges will be
designed to fund the operating expenses of the facility. Park Commission member
Carroll suggested the philosophy statement that emphasizes family use of the
facility.
After a lengthy discussion finalizing the project, Mayor Ellison asked for
a date on which the referendum could be set for consideration of the community
• center project. City Administrator Hedges stated that February 14 is an
achievable date for a referendum and also allows the architect to proceed in a
timely fashion for the preparation of specifications and bidding with a targeted
opening of the center in the fall of 1990 if the referendum is successful. After a
IllSpecial Minutes
November 29, 1988
brief discussion, there was a general concurrence by both the City Council and
Advisory Parks and Recreation Commission members that February 14 be finalized as
the date for the community center referendum at the December 6 Council meeting.
OTHER BUSINESS
City Administrator Hedges received direction on Police Dispatcher
negotiations. There being no further business, the meeting was adjourned at 10:15
p.m.
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November 29, 1988
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