04/23/1996 - City Council Special 0U124
MINUTES OF A SPECIAL MEETING OF THE
EAGAN CITY COUNCIL
Eagan, Minnesota
April 23, 1996
A Special City Council meeting was held in the Community Room of the Municipal Center Building
beginning at 5:00 p.m.on Tuesday,April 23, 1996. Those present were Mayor Egan and City Councilmembers
Awada, Hunter, Masin and Wachter. Mayor Egan did not arrive until approximately 5:20 p.m.; Acting Mayor
Hunter convened and chaired the meeting until Mayor Egan's arrival. Also present was City Administrator
Hedges.
JOINT ECONOMIC DEVELOPMENT COMMISSION MEETING
Acting Mayor Hunter welcomed members of the Economic Development Commission,stating that this
is an excellent opportunity for the advisory commission and City Council to dialogue on several issues.
Economic Development Commission members in attendance were its Chairperson Cathy Clark-Matuszek, Ron
Voracek,Eldon Johnson,Gary Morgan,Karl Oestrich,Julie Stackhouse and Dave Vogt. Staff members present
for this item included Assistant to the City Administrator Hohenstein, Senior Planner Freese, Planner Farnham
and Planner Tyree.
EDC Chair Matuszek introduced the TIF item for the 55/149...Jon framed the TIF policy issues. The
City Council asked a few questions and provided the unanimous directive to proceed with TIF.
Action was taken; motion by Wachter, seconded by Masin, all "yes" to approve TIF financing with
specific rehab parameters for businesses within the 55/149 corridor.
EDC Chair Matuszek introduced a work program the EDC had formulated. The first item discussed was
the business reach-out planned as a collaborative effort with the Chamber of Commerce on May 22. City
Councilmember Hunter proposed the idea of a joint meeting with the Chamber,Convention&Tourism and EDC.
City Councilmember Wachter suggested that the EDC propose a budget for these needs. City Councilmember
Masin concurred with the EDC and Chamber working together to make business contacts with local business
industry. She further stated that Bumsville has a model of calling different business groups each year, as an
example,the hospitality industry as one year, another industry the following year. Mayor Egan stated that the
Council will pledge support to the EDC with their assistance to call on business. EDC Member Johnson stated
that the business reach-outs, business contacts and economic development publication should be on-going.
Commission member Voracek suggested funding requests from other agencies, such as the Tourism &
Convention,to help the EDC's business retention effort.
Commission member Morgan reviewed an effort the EDC has made regarding criteria for financing
assistance; he stressed that the City should look at tools available to remain competitive in the marketplace.
Both City Councilmembers Hunter and Awada stated that they historically did not agree with incentive programs
for businesses because it is best for government not to get involved with private business and to avoid using
the political process in picking which business the City may help or not help. EDC Member Vogt stated that
in some cases,if the business needs a financial incentive, it may not be a good risk for the community. Mayor
Egan stated that there are many examples of businesses approaching the City suggesting development that
are requesting incentives. City Councilmember Masin stated that she is willing to support special financing to
retain or attract new business to the community when such support would be particularly beneficial to the
community. EDC Chair Matuszek stated that the EDC is diverse on the issue of the City considering special
financing assistance. Mayor Egan summarized the City Council's position by stating there is consensus that
special financial requests,which shall set forth the business program's budget and need for financial assistance,
will be reviewed on a case-by-case basis with the EDC.
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• EDC Chair Matuszek stated that the EDC will review the Dakota Economic Development Partnership
and provide a recommendation to the City Council regarding funding. There was also a discussion regarding
the possibility of providing babysitting services for Commission members. It was agreed that the Chair and City
Administrator will review this matter at a future date.
Mayor Egan thanked the EDC members for their volunteerism and hard work on behalf of the Council
on receiving a future update on their work program.
SKATEBOARD PROPOSAL
Mayor Egan commented on the skateboard park proposal that the City of Burnsville is proposing as
discussed with three other communities,Apple Valley, Bumsville and Lakeville. He stated the City of Bumsville
would like the four communities to enter a joint powers agreement regarding a skateboard park. The skateboard
park would be governed by a non-profit corporation in the name of the Burnsville Skate Park Inc. City
Councilmembers asked about the feasibility of operating a facility in the City of Eagan, especially if a park is
feasible as a revenue source. After input by the Director of Parks & Recreation and further deliberation by the
City Council, there was consensus that staff check with the City of Burnsville and ask why a donation is
necessary and further why communities are contributing to a non-profit corporation on City property. The
Council also stated that once this information is received, there will be further consideration as to whether a
skateboard park is a feasible entity within the City or if there should be further collaboration with the neighboring
communities. Risk management and the potential liability of a skateboard park was discussed.
EFFECTIVE GOLF COURSE SYSTEMS PRESENTATION
City Administrator Hedges stated that within the past two weeks,the City was notified by Ray and Rosie
Rahn of their purchase of the Carriage Hills Golf Course. He stated that this acquisition has changed the
alternatives Effective Golf Course Systems was pursuing relative to municipal ownership of either Carriage Hills,
a 200 acre parcel owned by DART Transit or a combination of the two properties. Mr. John Hoyt and John
Valerie,representing Effective Golf Course Systems,presented their report to the City Council. Mr.Don Larson,
owner and operator of Parkview Golf Course,asked how many courses the City should have. John Hoyt stated
that question was not addressed; however, there is a rule of one course per 25,000 population. Mr. Larson
further stated that the numbers regarding golf course ownership may increase and cause a fall-off as the
number of golfers decrease. After some discussion and presentation by Mr. Valerie and a response to Mr.
Larson's concerns, Mayor Egan stated that the report will be a valuable asset if either of the courses should
be sold in the future;the City will be in a position to react a lot sooner.
City Councilmember Masin asked if there is a continuing problem with private ownership of golf courses.
Mr. Larson stated that taxes are increasing by three-fold, causing a problem for golf course fees. The Rahns,
who were also in attendance, stated they are planning the business for future generations hoping their family
continues operating the golf course business. City Councilmember Masin stated that there should be some way
the City can help with taxes short of going into the golf course business. She further asked if the City should
consider a full regulation golf course. Effective Golf Course Systems consultant Valerie stated that not having
a full regulation golf course is not a problem and further that golf course users are looking more to executive
courses. Mayor Egan stated that if there is enough pressure for another golf course, the City will consider a
facility at that time.
Mayor Egan spoke to the need for a clubhouse, a location or gathering place for dining opportunities.
He stated that this niche is missing in the community. Carriage Hills owner Ray Rahn commented that their
plans are to refurbish the clubhouse and provide a sit-down facility for 150-200 people.
City Administrator Hedges presented the Central Park Theme, commenting that a golf driving range
(golf learning center) might be an alternative and could enhance the rounds of golf for both Carriage Hills and
Parkview. Mr. Rahn stated that he is planning a driving range for Carriage Hills anticipating relocation of a
410 couple of holes. City Councilmember Wachter stated that he would like to see the Rahns give their course the
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April 23, 1996
opportunity to develop a driving range before the City proceeds with any further consideration of a golf learning
center.
There was further public policy question about the components of a Central Park Theme since the
YMCA is providing an indoor water park in their facility. City Councilmembers asked staff to provide a type of
inventory along with the budget for a community center and eventually revisit the concept of a Central Area
Park.
PARK REFERENDUM UPDATE
Director of Parks &Recreation Vraa provided an update on the status of the special task force that is
studying the need for a park referendum. He stated that the Committee had recently taken a tour of candidate
sites. The Committee is struggling with the issue of how much to ask for and if there should be some part of
the referendum devoted to development.
ADJOURNMENT
There being no other business,the meeting was adjourned at 8:15 p.m.
TLH
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April 23, 1996 `_ 4.Ag.
City Clerk
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