06/24/1997 - City Council Special
MINUTES OF A SPECIAL MEETING OF THE
EAGAN CITY COUNCIL
Eagan, Minnesota
00218
June 24, 1997
A special meeting of the Eagan City Council was held on Tuesday, June 24, 1997, at 6:00 p.m. in
the Eagan Municipal Center Community Room. Present were Mayor Egan, City Council members Awada, Blomquist
and Masin. Absent was City Councilmember Wachter. Also in attendance were Civic Arena Manager Mark Vaughn,
Director of Parks & Recreation Vraa, Senior Planner Ridley, Director of Finance VanOverbeke and City Administrator
Hedges.
OSTENSON PROPERTY
City Administrator Hedges stated that the Ostenson property, which is located adjacent and
directly north of the Eagan Promenade and generally south of the bulk mail facility, is zoned industrial and guided
central area. He stated that at the direction of the City Council, Senior Planner Ridley has contacted Jim Ostenson
to discuss the present and future use of his property, stating that it has been the City Council's desire to have the
property rezoned to a business park status. After further comments by the City Administrator, Mayor Egan stated
that it is his preference that the Ostenson property be designated a business park status. Jim Ostenson appeared
and stated that he has concerns about the marketability of a completely pure office park for his property. He further
stated that it has been his idea that the land would develop as a mixed use of industrial and business park with the
understanding that the industry would be a light industry with limited outdoor storage. Mr. Ostenson further stated
that it has been his understanding that the City felt his property was a reasonable industrial site. City
Councilmember Blomquist agreed that the site is reasonable for industry, as long as there is no heavy industrial use.
However, she supported the concept of a mixed business park usage.
City Council member Awada stated that she is supportive of business park for the entire property
with the exception of the 13 acres that was sold to the bulk mail facility by Mr. Ostenson. City Councilmember Masin
asked why the property was rezoned from R-3, multi-family residential to L-1, industrial in the early 1990's. Mr.
Ostenson stated that it was his understanding there was a shortage of industrial property. City Administrator Hedges
stated that the City initiated the rezoning because there was an effort to limit the amount of multi-family residential
zoning which was a consideration of the City at that time. Mr. Ostenson stated that he would like to work with the
City. Before the property is rezoned, he needs an understanding of the development opportunities if the zoning is
changed to business park.
After further direction and by consensus of the City Council, staff was directed to place direction
for a rezoning of the Ostenson property from industrial to business park on the City Council's July 1, 1997 agenda
for consideration by the Advisory Planning Commission at a public hearing on July 22.
CIVIC ARENA/SECOND SHEET OF ICE
City Administrator Hedges stated that the City has received an announcement from the Minnesota
Amateur Sports Commission that it will receive a second grant from the Mighty Ducks funding in the amount of
$125,000.
He further stated that the following public policy questions will need to be addressed including: 1)
authorization to complete the contract agreement with the State of Minnesota to proceed ahead with the second
sheet of ice subject to the $250,000 funding allocation; 2) staff will need direction regarding the financing alternatives
for the balance of the project; 3) authorization is necessary to proceed with the architectural services provided by
A.C.C. to complete the detailed plans and specs; and 4) direction is needed regarding financing of a unisex
bathroom proposed for an exterior entrance to accommodate the outdoor wading pool.
City Council member Blomquist asked when the City would be able to address the layout plans for
the second sheet of ice. Director of Parks and Recreation Vraa stated that as soon as authorization is given to
A.C.C. to proceed with the detailed plans and specifications, there will be opportunities for the City Council to review
the plans in detail before they are finalized by official City Council action. He further stated that a rather aggressive
schedule will be necessary if construction of the civic arena is to occur with a grand opening scheduled for the fall of
1998.
City Council member Awada stated that she was not present at the March 4 Special City Council
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June 24, 1997
meeting and asked for an explanation on the various revenue bond issues presented in the staff report. Director of
Finance VanOverbeke explained all four funding options. City Councilmember Awada asked specifically what the
risk is to the City with the various options. Director of Finance VanOverbeke stated that the risk to the City is if the
second sheet of ice does not cash flow and further, if the Hockey Association does not fulfill its $50,000 annual
appropriation for the ten year period as agreed.. City Councilmember Blomquist asked about the estimated interest
rate for the revenue bond sale issue. Director of Finance VanOverbeke compared an outside sale with an internal
sale, stating that the interest rate could be lower for an internal, private placement. He stated that an outside
placement for sale would view the issue with some level of risk due to the good faith commitment by the Hockey
Associatio'n which is not backed by any specific collateral. He further stated that if bonds are placed internally, the
money would come from the City's investment pool.
City Council member Awada stated that the capital project as proposed is good for the City,
emphasizing that the funding is a combination of a grant, financial commitment by the Hockey Association and the
sale of revenue bonds that will be financed by a user fee/cash flow. She further stated that the next step is for the
City to evaluate the overall site plan and determine the best use of the municipal center site. City Councilmember
Blomquist agreed with City Councilmember Awada, stating that the financing proposal should reduce any risk to the
City.
Mickey Sparks and Bill Osborne, representing the Eagan Hockey Association, appeared. Mr.
Sparks stated that during the past four years, the girls hockey program has been growing, causing a substantial
need for ice time. He further stated that at a recent Hockey Association Board meeting, approval was given to spend
$170,000 during the 1997/1998 calendar year to purchase ice time. He stated that while the boys program may
stabilize, the girls program will continue to place a greater need for ice time and facilities. City Councilmember
Blomquist stated that it has been her understanding that the interest in figure skating is growing, especially with girls
in the community. Director of Parks & Recreation Vraa stated that the Learn to Skate program has blossomed in the
past year. Mr. Sparks stated that the first $50,000 has already been set for payment to the City to meet the Hockey
Association's first year obligation.
Mr. Bill Osborne, speaking on behalf of the Eagan Hockey Association, also thanked the City
Council for their support and invited members of the Council to join the community members who are participating in
the Third Annual Hockey Booster Club Golf Tournament scheduled for Friday, June 27, at Crystal Lake in Lakeville.
He stated that dinner will begin at approximately 6:30 p.m. for those who would like to attend.
Mayor Egan stated that acknowledgement and acceptance of the Mighty Ducks grant will be
scheduled for consideration on the July 1 regular City Council agenda. City Administrator Hedges stated that the
other issues will be addressed at a later regular City Council meeting, which includes direction to the architect for
proceeding with detailed plans and specifications.
COLLABORATIVE MEETING
Mayor Egan welcomed approximately 26 participants to the second annual collaborative meeting.
He specifically commented that there are members of the faith community, all three school districts, Community
Action Council, County services, State Senator Wiener, our County Commissioners and many other officials in the
audience. He specifically welcomed Kurt Johnson, Chair of the Metropolitan Council, for taking the time to join in the
dialogue.
There were presentations by Diane Anderson, representing the Dakota County Attorney's office;
Chief of Police Pat Geagan; Mary Ajax, President of the Community Action Council; Gene VanOverbeke and Bruce
Endler, representing Independent School District 196; and a history and review of the survey results from the 1996
collaborative meeting by City Council member Masin.
Chief Geagan, Diane Anderson and Independent School District Representative Endler provided an update on
successful collaborative initiatives at the city, county and parochial level. Gene VanOverbeke and Bruce Endler
provided an update on a comprehensive study pending a vote by the District 196 School Board. Mary Ajax provided
a summary of the June 10 collaborative meeting sponsored by the Community Action Council, the Eagan Foundation
and the Chaplain's Group.
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June 24, 1997
Mayor Egan facilitated a one hour discussion by all participants. Former District 191
Superintendent Jim Rickabaugh suggested the provision of learning alternatives to students prior to academic failure
rather than providing learning alternatives only to those students who have already failed courses because this may
reduce student failure/dropout rates and juvenile truancy/delinquency issues. Representatives from the Community
Action Council, the Eagan Foundation, Chief Geagan and some elected officials stated their surprise at the growing
number of transient youth existing in Eagan, and student turnover ratios. Mayor Egan, County Commissioner
Patrice Bataglia and State Senator Deanna Wiener reaffirmed the value of each participant's effort in creating
healthy communities in Eagan.
In conclusion, City Council member Masin asked if the group would like to meet on a more regular basis,
such as quarterly, semi-annually or an annual meeting. There was a strong consensus that the collaborative
meetings continue and that they be held on a semi-annual basis. There were also suggestions by the participants
that every person attending the next collaborative meeting bring questions or an idea to the meeting and further, that
the next collaborative meeting should include a time period for brainstorming, possibly by dividing the group into five
strong groups with various issues chosen and solutions generated.
Mayor Egan thanked everyone for attending and for their excellent participation.
ADJOURNMENT
June 24, 1997
Date
There being no further business, the meeting was adjourned at 9:30 p.m.
~.
City Clerk .
TLH