01/18/2022 - City Council RegularMINUTES OF A REGULAR MEETING OF
TH E EAGAN CITY COU N Cl L
Eagan, Minnesota
January 18, 2022
A Listening Session was held at 6:00 p.m. prior to the regular City Council meeting. Present were Mayor
Maguire, Councilmembers Fields, Bakken, Hansen, and Supina.
A regular Eagan City Council meeting was held on Tuesday, January 18, 2022, at 6:30 p.m. Present were
Mayor Maguire, Councilmembers Fields, Hansen, and Supina. Councilmember Bakken participated
remotely via videoconference from his home. Also present: City Administrator Osberg, Assistant City
Administrator Miller, City Attorney Bauer, Finance Director Feldman, Parks & Recreation Director
Pimental, City Planner Schultz, and Community Development Director Hutmacher.
II. ADOPT AGENDA
City Administrator Osberg proposed that Item IV. Organizational Business be moved to Item C. under
Item VI. New Business.
Councilmember Hansen moved, Councilmember Fields seconded a motion to approve the agenda as
amended. Aye: 5, Nay: 0. Motion carried.
III. RECOGNITIONS AND PRESENTATIONS
There were no recognitions or presentations.
IV. CONSENT AGENDA
Councilmember Bakken moved, Councilmember Supina seconded a motion to approve the consent
agenda as presented. Aye: 5, Nay: 0. Motion carried.
A. It was recommended to approve the January 4, 2022 Regular City Council Minutes as presented
or modified.
B. Personnel Items:
1. It was recommended to approve the City of Eagan 2021 Pay Equity Report with the
Minnesota Management and Budget Department.
2. It was recommended to approve the hiring of a Facilities Program Coordinator in the Parks
and Recreation Department, to be named at a future City Council meeting.
3. It was recommended to approve the hiring of Jake Manders, IT Specialist in the
Administration Department.
4. It was recommended to accept the resignation of Casey Schmidt, full-time Custodian and
authorize replacement.
5. It was recommended to authorize the reclassification and re -title of a vacant Building
Inspector position to Senior Plumbing and Mechanical Inspector and authorize replacement
of position.
C. It was recommended to ratify the check registered dated January 7, 2022, as presented.
City Council Meeting Minutes
January 18, 2022
Page 2
D. It was recommended to approve the following ordinary and customary contracts:
1. Sponsorship Agreement with Dr. Jennifer Eisenhuth Orthodontics
2. Sponsorship Agreement with The Urgency Room
3. Vendor Services Agreement with Nick.Productions for DJ services at the Family Sweetheart
Dance
4. Vendor Services Agreement with Nick. Productions for DJ services at the Frosty Festival
5. Joint Powers Agreement with Dakota County for Sentence to Service Program work crews
for the period of 1/1/2022-12/31/2022
6. Agreement for consulting services for Hildi Inc. to perform Governmental Accounting
Standards Board (GASB) 75 Actuarial services to be used in the City's 2022 Financial
statement reports
7. US Bank Securities Account Control Agreement to open a new account between the City of
Eagan, secured party, and MV Ventures Properties, as the Pledger, and close the old account
that named the Minnesota Vikings as the Pledger.
8. Annual Renewal Agreement with LogMeln USA, Inc.
E. It was recommended to approve the final payment for Emerald Ash Borer (EAB) Tree Removal
Contract.
F. It was recommended to approve City Contract 22-03 Rahn Park Phase II Improvements.
G. It was recommended to approve Project 1438, Town Centre Street Improvements.
H. It was recommended to approve Project 1439, Dodd Road/Oak Bluffs Street Improvements.
I. It was recommended to approve Project 1440, Perron Acres Street Improvements.
J. It was recommended to approve Project 1441, Ches Mar/Ches Mar East/Oak Chase Way/Park
Cliff Additions Street Improvements.
K. It was recommended to approve Project 1445, Cedar Grove Parkway/Silver Bell Road/Alder Lane
Street Improvements.
L. It was recommended to approve Project 1446, Forest View Street Improvements
M. It was recommended to approve Contract 21-30, Diffley Road (CSAH 30) & Rahn Road Street
Light Improvements.
N. It was recommended to approve Contract 22-08, Municipal Wells Rehabilitation.
- 0. It was recommended to approve Contract 22-10, Sanitary Sewer & Storm Sewer Systems Pipe
Lining.
P. It was recommended to approve Opiate Antagonists Subgrant Agreement with Metropolitan
Emergency Services Board on behalf of the Dakota County Drug Task Force.
Q. It was recommended to accept a Minnesota Department of Public Safety grant of $660,000 on
behalf of the Dakota County Drug Task Force.
R. It was recommended to accept the Federal High -Intensity Drug Trafficking rea Grant on behalf of
the Dakota County Drug Task Force.
S. It was recommended to approve Temporary On -Sale Liquor Licenses and waive the license fees
for Art Works Eagan for events to be held on February 25-27 and May 6-8, 2022 at 3795 Pilot
Knob Road.
T. It was recommended to approve the final payment for Contract 20-06, Woodhaven Park
Restroom Building Construction.
U. It was recommended to amend the 2022-2026 Parks CIP to provide for additional appropriations
for 2022 projects.
City Council Meeting Minutes
January 18, 2022
Page 3
V. PUBLIC HEARINGS
VARIANCE — Craig & Meghan Howe — 725 Granite Drive
City Administrator Osberg introduced the item noting the applicant is proposing a 5-foot setback to the
10-foot minimum setback for a proposed home addition.
City Planner Schultz gave a staff report and provided a location map. Schultz noted City Code allows 5-
foot setbacks to the accessory garage side of the home but requires 10-foot setbacks for the principal
structure. The applicant is proposing an addition over the garage for additional bedrooms and living
area, which triggers the 10-foot setback requirement.
The applicants, Meghan and Craig Howe were present along with the builder to answer questions.
Mayor Maguire opened the public hearing. There being no public comment, he turned the discussion
back to Council.
Councilmember Supina inquired about the proposed window and separation between structures, asking
the contractor to confirm with building code prior to issuance of a building permit.
Councilmember Fields moved, Councilmember Hansen seconded a motion to approve a variance of 5-
feet to the required 10-foot side yard setback for property located at 725 Granite Drive, legally
described as Lot 7, Block 1, Stone Bridge Ponds, subject to the conditions listed below. Aye: 5, Nay: 0.
Motion carried.
1. If within one year after approval, the variance shall not have been completed or utilized, it shall
become null and void unless a petition for extension has been granted by the council. Such
extension shall be requested in writing at least 30 days before expiration and shall state facts
showing a good faith attempt to complete or utilize the use permitted in the variance.
2. A minimum five-foot setback for the upper -level addition from the side property line. The
addition shall comply with all other applicable Zoning Ordinance provisions.
3. A building permit must be obtained prior to construction.
VI. OLD BUSINESS
There were no old business items to discuss.
VII. NEW BUSINESS
COMPREHENSIVE GUIDE PLAN AMENDEMENT —Watermark Residential —Jacob Ross,
Thompson Thrift Development, Inc.
City Administrator Osberg introduced the item noting the request is to authorize staff to submit a
Comprehensive Guide Plan Amendment to change the land use designation from Major Office (MO) to
City Council Meeting Minutes
January 18, 2022
Page 4
Medium Density (MD) upon approximately 8.4 acres for property located at 1515 Central Parkway. He
invited City Planner Schultz to provide additional information.
City Planner Schultz provided a staff report and location map.
Schultz noted the reciprocal cross parking agreement is in place, involving 664 parking stalls on the
subject property, and 90 stalls on the Eagan Community Center property. Schultz added renegotiation of
the terms of the agreement is a policy matter for Council.
Jacob Ross of Thompson Thrift Development, Inc. provided a presentation of that included background
of the company, comments on the proposed concept and the anticipated make up of units and rental
rates.
Councilmember Hansen asked the applicant if retail on this site was appropriate or if the property was
marketed for that use.
Jessica Maidl, JLL Real Estate, noted JLL is currently listing the property for lease or sale on the office
front, but is not aware of the marketing history of the site.
Mayor Maguire confirmed with staff that the remaining [approximately] 220 stalls were not included
within the 2.64 stalls/unit ratio noted in the staff report. City Planner Schultz confirmed they were not.
Mayor Maguire asked staff about the City's need for all 660 parking stalls citing that residential use may
not be conducive to cross parking. Parks and Recreation Director Pimental stated that there about five
days where large events are held at the park.
Mayor Maguire asked if the 220 stalls would satisfy parking demand for those events. Director Pimental
noted a level of confidence the 220 stalls could meet the base needs of the ECC, including nights of
Marketfest, other than the much larger events.
Mayor Maguire confirmed with applicant's attorney, Peter Coyle, that his client will be willing to
negotiate a new parking agreement. Mr. Coyle confirmed his client would cooperate with negotiations
with the City.
Mayor Maguire opened the public hearing. Hearing none, he returned discussion to Council.
Councilmember Bakken stated the project seems appropriate for the area with proximity to retail and
transit. However, he noted his difficulty supporting transitions from more efficient tax base uses such as
commercial or industrial to medium or high density residential unless there was a commitment to
provable affordable housing. Adding the lack of affordable units will require adding them elsewhere.
Councilmember Bakken stated he would vote no on the item.
Mayor Maguire stated that parking and setbacks were items the applicant should take into
consideration. Absent a City ordinance that requires affordable units in new developments, forcing
affordability can create problems. Mayor Maguire added he understands we are in a period of change in
the office market and there will be some contraction, however noting the Council's patience with other
redevelopment sites. The Mayor stated he was generally amenable to the Comp Plan change.
City Council Meeting Minutes
January 18, 2022
Page 5
Councilmember Supina stated he believes the use as Medium Density was appropriate for the site. The
proposal does not eliminate the potential for future affordable housing to be built on the site.
Councilmember Hansen stated a few units of affordable housing would make the project more
desirable, but as presented rental townhomes meets a market niche in our community.
Councilmember Fields stated she was supportive of the Medium Density use and would not have been
in favor of High Density residential. Adding residential units to the area will bring in people and families
to the Community Center.
Councilmember Fields moved, Councilmember Hansen seconded a motion to direct staff to submit to
the Metropolitan Council a Comprehensive Guide Plan Amendment to change the land use designation
from Major Office (MO) to Medium Density (MD) upon approximately 8.4 acres for property located at
1515 Central Parkway, legally described as Lot 1, Block 1, Eagan Preserve. Aye: 4, Nay: 1. Motion carried.
PRELIMINARY SUBDIVISION AND FINAL SUBDIVISION — Tesseract 0 Addition —
Denice Rauning/Autism Opportunities Foundation
City Administrator Osberg introduced the item noting the request is for preliminary and final subdivision
for the property located at 2110 and 2120 Silver Bell Road. He invited City Planner Schultz to present
more information.
City Planner Schultz presented a staff report and location map. Schultz noted the two payment -in -lieu -
of -taxes (PILOT) agreements that apply to the Minnesota Autism Center properties. The sale of the
westernmost parcel will terminate the first PILOT agreement approved in 2015; the second PILOT
agreement -is unaffected by the subdivision and sale. Schultz noted staff is recommending Council
remove the condition for a Development Agreement.
The applicant, Jeff Nichols, CEO with the Minnesota Autism Center, noted the Center's intent to divest a
portion of the property and sell to the School District [ISD 196] which will use the site to cater to
students with special needs. He was available for questions.
There was some discussion among Councilmember Bakken, City Attorney Bauer, and Mayor Maguire
regarding the termination of the PILOT agreement upon sale of the parcels.
Councilmember Bakken asked if the entire property wasn't being transferred why would the PILOT be
terminated.
City Attorney Bauer stated that there are two separate agreements and once sold the PILOT agreement
is terminated, noting the second PILOT would remain in place.
City Attorney Bauer noted that the School District parcel would be tax exempt. Councilmember Bakken
asked if the PILOT would apply to the remaining MAC properties. Bauer stated the PILOT would not
City Council Meeting Minutes
January 18, 2022
Page 6
apply to all the MAC properties unless the PILOT agreement was renegotiated for that portion of the
property retained by MAC.
Mayor Maguire asked why the PILOT wouldn't remain on at least a portion of the property and why the
PILOT couldn't be renegotiated with the proposed subdivision. City Attorney Bauer responded that
these are two separate issues, if proposal meets the requirements of subdivision, without variances,
Council needs to approve the subdivision. Council can direct staff to work with MAC to renegotiate a
new PILOT in a new amount, but the subdivision should not be held up.
Councilmember Supina stated is seems reasonable to retain the PILOT for the eastern portion of the site
and asked if a condition can be added to approval of the subdivision. City Attorney Bauer stated that
Council can add that as a condition and staff can work with MAC on an amendment to the PILOT
Agreement.
Council and the City Attorney continued discussion clarifying issues and options associated with the
proposed subdivision the PILOT Agreements attached to MAC.
Council asked City Attorney Bauer to draft a condition stipulating the PILOT Agreement be renegotiated
for the remaining parcel.
Mr. Nichols indicated he wasn't prepared to discuss a renegotiated PILO T Agreement.
Mayor Maguire stated the council has two options. First option is Council can consider adding a
condition that the PILOT agreement be negotiated for the remnant parcel, or second, the subdivision
could be continued to a later date to allow discussion with the purchaser regarding the intent to
renegotiate the PILOT agreement.
The applicant stated the preference for the first option if it allows the subdivision to move forward with
the understanding the PILOT would be renegotiated to the City's satisfaction.
City Attorney Bauer presented the proposed language: The applicant shall execute an amended PILOT
Agreement for the property retained by the MAC in a form acceptable to the City Attorney.
Councilmember Supina moved, Councilmember Fields seconded a motion to approve a Preliminary
Subdivision (Tesseract 4t" Addition) to split the subject property located at 2110 Silver Bell Road, subject
to the conditions listed in the APC minutes and the additional condition regarding the PILOT agreement
drafted by the City Attorney at the request of Council. Aye: 5, Nay: 0. Motion carried.
Councilmember Supina moved, Councilmember Fields seconded a motion to approve the Preliminary
Subdivision (Tesseract 4t" Addition) for subject property located at 2110 Silver Bell Road, subject to
conditions 1, 2, 4 and 5 listed and the additional condition read into record by the City Attorney. Aye: 5,
Nay: 0.
[Conditions renumbered noting struck condition #3 and additional condition]
1. The developer shall comply with these standards conditions of plat approval as adopted by
Council on February 2, 1993: B1
City Council Meeting Minutes
January 18, 2022
Page 7
2. The property shall be platted.
3. The applicant shall remove the drainage and utility easements over the privately owned
infiltration basin, storm sewer, and sanitary sewer, in a manner acceptable to the City Engineer
4. The applicant shall provide an easement or agreement that address ingress/egress, shared
parking, and ownership/maintenance of the private utilities and infiltration basin between the
two parcels, in a form acceptable to the City Attorney.
5. The applicant shall execute an amended PILOT Agreement for the property retained by the MAC
in a performance acceptable to the City Attorney.
Councilmember Supina moved, Councilmember Fields seconded a motion to approve a Final Subdivision
(Tesseract 4t" Addition) for subject property located at 2110 Silver Bell Road, subject to conditions 1, 2, 4
and 5 listed and the additional condition read into record by the City Attorney. Aye: 5, Nay: 0. Motion
carried.
[Conditions renumbered noting struck condition #3 and additional condition]
1. The developer shall comply with these standards conditions of plat approval as adopted by
Council on February 2, 1993: 131
2. The property shall be platted.
3. The applicant shall remove the drainage and utility easements over the privately owned
infiltration basin, storm sewer, and sanitary sewer, in a manner acceptable to the City Engineer
4. The applicant shall provide an easement or agreement that address ingress/egress, shared
parking, and ownership/maintenance of the private utilities and infiltration basin between the
two parcels, in a form acceptable to the City Attorney.
5. The applicant shall execute an amended PILOT Agreement for the property retained by the MAC
in a performance acceptable to the City Attorney.
2022 CALENDAR YEAR ORGANIZATIONAL BUSINESS
City Administrator Osberg introduced the first item for organizational business as the appointment of
Councilmember Supina to the position of Acting Mayor. Councilmember Fields served as acting mayor in
2021.
Councilmember Bakken moved, Councilmember Hansen seconded a motion to appoint Councilmember
Supina to the position of Acting Mayor for 2022. Aye: 5, Nay: 0. Motion carried.
City Administrator Osberg introduced the second item to designate the Saint Paul Pioneer Press as the
official City newspaper. Staff is recommending contracting with the Pioneer Press in 2022.
City Council Meeting Minutes
January 18, 2022
Page 8
Councilmember Fields moved, Councilmember Hansen seconded a motion to designate the Saint Paul
Pioneers Press as the official City newspaper for 2022. Aye: 5, Nay: 0. Motion carried.
City Administrator Osberg introduced the third item to designate Old National Bank and US Bank Trust
as the City's depositories. Statute requires designation of the City's depositories each year.
Councilmember Hansen moved, Councilmember Fields seconded a motion to designate Old National
Bank and US Bank Trust as the City's depositories. Aye: 5, Nay: 0. Motion carried.
City Administrator Osberg introduced the fourth item regarding City Council meeting dates for 2022
through January 2023. A calendar of proposed dates was included in the packet.
Councilmember Supina moved, Councilmember Fields seconded a motion to approve the proposed
Regular and Special City Council Meeting dates for January 2022-January 2023. Aye: 5, Nay: 0. Motion
carried.
City Administrator Osberg introduced the two items for action regarding Council Meeting Procedures.
Councilmember Supina moved, Councilmember Hansen seconded a motion to acknowledge Robert's
Rules of Order as the means to conduct official business at all regular City Council meetings and approve
the guidelines for public participation in City Council meetings. Aye: 5, Nay: 0. Motion carried.
Councilmember Supina moved, Councilmember Hansen seconded a motion to formally ratify the
practice that at least two members of the City Council must make the request of the City Administrator
to place an item on an upcoming City Council agenda. Aye: 5, Nay: 0.
City Administrator Osberg introduced the item regarding Council Standing Committee and
representative appointments. Proposed Council Committee appointments were included in the packet.
One change is suggested to appoint Finance Director Feldman to the LOGIS board of directors in place of
Assistant City Administrator Miller.
Councilmember Fields moved, Councilmember Hansen seconded a motion to approve Council Standing
Committee, Advisory Commission, and Intergovernmental Committee appointments and other
committee representation for 2022. Aye: 5, Nay: 0.
Vill. LEGISLATIVE/INTERGOVERNMENTAL AFFAIRS UPDATE
There were no Legislative/Intergovernmental affairs items.
IX. ECONOMIC DEVELOPMENT AUTHORITY
A meeting of the EDA was called to order for the purpose of discussing organizational business items for
the year.
City Council Meeting Minutes
January 18, 2022
Page 9
X. ADMINISTRATIVE AGENDA
There were no items for the Administrative Agenda.
There were no visitors to be heard.
XI. VISITORS TO BE HEARD
XII. ADJOURNMENT
Councilmember Supina moved, Councilmember Fields seconded a motion to adjourn. Aye: 5, Nay: 0.
Motion carried. The meeting was adjourned at 7:36 p.m.
*05127-
Date
Efly MOKOJA' �) t