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06/08/2010 - City Council SpecialAGENDA SPECIAL CITY COUNCIL MEETING TUESDAY JUNE 8, 2010 5:30 P.M. EAGAN ROOM-EAGAN MUNICIPAL CENTER I. ROLL CALL AND ADOPTION OF THE AGENDA II. VISITORS TO BE HEARD f 1 III. INTRODUCTION AND OVERVIEW OF REGIONAL COUNCIL OF MAYORS/URBAN LAND INSTITUTE OPPORTUNITY CITY STUDY PROJECT RAD, IV. REVIEW OF CURRENT PLANNED DEVELOPMENTS f51 V. FRANCHISE ENFORCEMENT AND LONG RANGE E -TV FINANCING f38VI. 2011 BUDGET PROCESS UPDATE eq 1 VII. CAMPUS MASTER PLAN OVERVIEW VIII. OTHER BUSINESS IX. ADJOURNMENT Agenda Information Memo Eagan City Council Workshop June 9, 2010 III. INTRODUCTION OF RCM/ULI OPPORTUNITY CITY STUDY PROJECT NOTE: While this workshop is not a joint meeting, because of the topics covered by this project, members of the APC and APrC and representatives of the MVTA and 360 Communities have been invited to present for this presentation and discussion. DIRECTION TO BE CONSIDERED: To receive a presentation on the scope and focus of the Opportunity City project and define the points in the study process for Council updates and input. FACTS: • The Urban Land Institute and Regional Council of Mayors developed the Opportunity Cities Program as a tool for cities interested in receiving assistance in pursuing their goal of supporting a full range of housing choices in suburban cities for a stronger, more prosperous region. • In 2009, RCM and ULI partnered with five cities around the Twin Cities in applying the study process and developing individualized reports outlining findings and possible strategies or opportunities to further their housing and livability priorities. • In early 2010, RCM and ULI invited applicants for a second round of studies. The City of Eagan responded to the invitation and, at its meeting of March 16, 2010, the City Council approved an agreement to move forward with the project. • The Opportunity City Program includes three key components: 1. Housing Audit - technical assistance to evaluate goals, programs and tools and strategies that support a full range of housing choices. 2. Community Change Information — city household and parcel level data and analysis for 2004-09 profiling demographic conditions and change that impacts local housing decisions. 3. Opportunity Site Assistance - assistance in the assessment of and recommended strategies for specific city identified opportunity sites with a preference for development or redevelopment ready sites. • In consideration of the role the Dakota County CDA plays in coordinating CDBG and other HUD housing programs for Dakota County cities, Dan Rogness of the CDA staff is also participating with City staff and the project team to provide background information and review study findings and potential program alternatives that may arise from them. / • The project team that will be working with the City on this project on behalf of ULI consists of Cathy Bennett of Bennett Community Consulting and Dennis Welsch, the former Community Development Director for the Cities of Roseville and Apple Valley. Ms. Bennett will provide the presentation on Tuesday evening and respond to questions about the scope, focus and opportunities associated with the study process for Council input. ATTACHMENTS: • Opportunity City Program overview on pages 3 through 7 • Program presentation on pages 9 through (Note: The attached presentation is the long form. In consideration of time at Tuesday's meeting, Ms. Bennett will present a shorter version of this slide set at that time.) .c, Regional Council of ayos Minnesota Introduction: Housing Initiative Opportunity City Program Housing Audit Template The goal of the Opportunity City Pilot Program is to build on the collaborative relationships among RCM and ULI Minnesota professionals to identify and implement best practices that support a full range of housing choices for economic stability and regional prosperity. By working together and learning from each other, an approach was developed to serve as a model for other cities. This model can be implemented and brought to scale at the regional level. The housing audit template will include four key steps: 1.) establish a framework; 2.) collect and analyze data; 3.) review and evaluate tools and strategies; and 4.) develop recommendations for implementation. The process includes the engagement of policy leaders, key city staff and program users. The engagement is facilitated at two key points in the process through group meetings that identifies community needs, gauges the perceived success of existing tools and strategies and provides discussion around outcomes and implementation methods to support a full range of housing choices in the city. F.siAcTitmofa Full Range of Housing Choices Page 1- ULI Minnesota/Regional Council of Mayors - Opportunity City Program - Housing Audit Template 3 1. Establish a Framework Review and evaluate examples of key tools and strategies that are being used locally and nationally to support a full range of housing choices. The following is the basis for the RCM Tool Box and is based upon the HousingPolicy.org framework. Through the process, the following examples of tools and strategies is discussed in the context of each opportunity city and modified to be beneficial as a model for other cities. a. Generate Capital for Housing Options i. Tax Increment Financing ii. Tax Abatement iii. Housing Levy iv. Housing Trust Funds v. Tax Credits vi. Pre -Development & Acquisition Financing vii. Housing Bonds viii. Cross Subsidies b. Preserve Existing Housing & Neighborhoods i. Preserve Rental Housing ii. Preserve Ownership Housing iii. Housing Improvement Areas iv. Energy Efficiency v. Strengthen & Promote Existing Neighborhoods c. Expand Opportunities for New Housing i. Rezoning & Regulatory Tools in Support of Mixed Use Development ii. Use of Publically Owned Land for Housing Opportunities iii. Redevelopment of Brownfields iv. Green Building v. Housing Policies d. Provide Efficient Use of Local Development Tools i. Land Use & Zoning Policies in Support of Housing Diversity ii. Expedited permitting and review policies e. Help Residents Succeed i. Homeownership Education & Counseling ii. Down Payment Assistance iii. Foreclosures & Affected Renters and Owners iv. Household Energy Costs v. Homeowner Renovation Assistance vi. Employer Assisted Housing vii. Specialty Housing & Services f. Talk About a Full Range of Housing Choices i. What is it and Why is it Important —Talking Points ii. Stakeholder & Neighborhood Engagement g. Livable Communities i. Transportation Policies & Land Use ii. Sustainable Development & Healthy Living Page 2 - ULI Minnesota/Regional Council of Mayors - Opportunity City Program - Housing Audit Template 4 2. Collect and Analyze Data Achieving a full range of housing options is a requirement for any community that desires long term demographic balance, economic stability, and prosperity. Achieving this objective requires new information tools and strategic partners. Through Excansus, LLC demographic information tied to the parcel level is provided, reviewed and analyzed to help cities understand their community growth patterns, demographic trends, and housing market changes. Community level data and reports are provided including the following: a. Demographic and housing attributes: i. Household data — householder age, composition, resident ages, time at address ii. Dwelling data — type, value, year built, owner/renter status b. Five-year history of residential change (2003 to 2007) by household and by address i. Map changes in residential area demographics over time ii. Map movement of households by year and location iii. Map housing decisions and utilization patterns c. GIS map overlays: i. 2005-2006 Minnesota aggregated taxable income (census block group level detail) ii. 2002-2005 workforce profiles and access to jobs (home -to -work flows - census block level detail) iii. Current metro and suburban bus routes and stops (street level precision) 3. Evaluate Effectiveness of Tools and Strategies: Through the housing audit there is an evaluation of the effectiveness of existing tools and strategies. The evaluation is completed in three ways: a. Evaluate numerous factors that limit a city's ability to provide a full range of housing choices including: (Examples of factors as suggestions by Housing Policy.org) i. Constraints on new development and redevelopment that prevent the market from responding efficiently to increased demand for housing. ii. Community opposition to new development generally and affordable housing specifically. iii. The deterioration of older homes due to neglect or lack of financing for repairs. iv. Lack of coordination between housing and transportation planning. v. Difficulty accessing financing for various expenses, such as to rehabilitate older homes. vi. Shortages of land on which to develop. vii. Low-density development patterns that constrain supply and make it difficult to build affordable homes. viii. Activity by investors to purchase and "flip" properties for a profit. Page 3 - ULI Minnesota/Regional Council of Mayors - Opportunity City Program - Housing Audit Template 5 ix. A proliferation of predatory loans and/or sub -prime loans that may not be affordable over the long -run. x. Challenges faced by existing homeowners affording their housing costs. xi. Insufficient funding for affordable housing. xii. Low wages. b. Evaluate city specific tools & strategies. The evaluation is limited to the availability of city data and provides the following: i. Name of tool/strategy. ii. Type of tool/strategy (new development, maintenance, neighborhood quality of life, others). iii. Goal of the tool/strategy and how it supports or complements existing goals of the city (comprehensive plan, housing goals, city council goals). iv. Identify the stakeholders who benefit from the tool/strategy if successful v. Review annual indicators (measurements of performance). 1. Return on investment — what is the city receiving in return for their public investment? a. Current public dollars invested b. Current public dollars returned (revolved, increase in tax revenue) c. Delivery of program — staff time to process, annual support costs 2. Leverage ratio of public dollars against private/other public funds invested. 3. Number of new and/or retained net households. 4. Number and value of improvements. 5. Ripple effect. a. Based upon available city permit data b. Based upon available assessor's valuation data before and/after improvements 6. Affordability targets reached @ 30%, 60%, 80%, 115% of household income. 7. Number of net new children enrolled in school. 8. Increase in value for taxes. a. Review annual increase in value for taxes over 5 years 9. Evaluate annual increase in value for properties assisted by city tool or strategy. vi. Review administrative effectiveness based on in-house, out -sourcing, partnering. vii. Identify factors that risk success of tool/strategy. 1. Problems identified, interacted/encountered, and method of resolution 2. Weaknesses of the tools and strategy 3. Overlap of tools and strategies with other initiatives 4. Evolution of the tools and strategies Page 4 - ULI Minnesota/Regional Council of Mayors - Opportunity City Program - Housing Audit Template Co c. Identify and evaluate specific sites. With staff guidance, identify and review developed and undeveloped sites that have the potential to provide and/or preserve a full range of housing choices. The site review is intended to help the city think about what is an appropriate housing site based upon best practices and if the site is an opportunity to increase housing choices within the city. Do the sites create an opportunity that would include some or all of the following principles? The review considers the following: i. Creates housing opportunities and choice ii. Creates a positive community image iii. Fosters a sense of place iv. Matches housing and jobs; both existing and future jobs v. Creates or links to walkable neighborhoods vi. Provides access to nearby transit or transportation choices that are convenient and a comfortable 5 to 10 minute walk or 30 minutes bike (standard guideline is 1/4, 1/2 mile distance for walking and 2-5 mile for biking) vii. Creates a mix of land uses within the site or within a walkable distance of the site that includes: viii. Encourages compact building design and efficient use of infrastructure to support long term sustainability ix. Ensure the projects long term success and marketability x. Provides energy efficiency and/or green building techniques xi. Encourages community and stakeholder collaboration 4. Recommendations. Provide recommendations for specific implementation steps that will help to strengthen and/or move a city toward supporting a full range of housing choices. a. Identification of gaps - Do the current goals and policies address the community needs based upon demographics and trends? b. Identify the tools & strategies from the RCM tool box that assists the city in addressing community needs and achieving community goals and policies? c. Identify resources needed to successfully implement the tools and strategies. d. Next Steps — what process should the city take to implement changes and/or new tools and strategies that support a full range of housing choices. For more information contact: Cathy Bennett, ULI MN/RCM Housing Initiative Bennett Community Consulting 651.257.4613 cathycbennett@frontiernet.net Caren Dewar, Executive Director ULI Minnesota 612.759.1016 caren.dewar@uli.org Page 5 - ULI Minnesota/Regional Council of Mayors - Opportunity City Program - Housing Audit Template Housing Initiative — Opportunity City Program What is the Housing Initiative- Opportunity City Program The Process OCP Policy Leader Response ULI Minnesota 6/7/2010 6/3/2010 1 Our Call to Action ULI Minnesota ULI Minnesota actively engages public and private sector leaders to foster collaboration, share knowledge and join in meaningful strategic action to create thriving, sustainable communities. 6/7/2010 ULI MN/Regional Council of Mayors Mayors from 34 municipalities in 6 metro counties, including core cities, developed and developing suburbs. Collaborative, non- partisan. Focused on actions to raise the region's overall innovation, economic competitiveness and quality of life. 9 6/3/2010 2 ENVIRONMENT TRANSPORTATION HOUSING JOBS ULI Minnesota 6/7/2010 6/3/2010 3 Housing Initiative Mission — Partnering to implement tools & strategies that support a full range of housing choices - a diverse mix of housing types, sizes and prices within the region, within cities and within neighborhoods — for economic stability and regional prosperity. ULI Minnesota 6/7/2010 Decline of households Al Households with children with children, 1960-2025 ill Households without children 1960 A ‘dhilkaa52% 5 ULI Minnesota Population characteristics are changing Older. more singles, more immigrants, fewer households with children. 6/7/2010 11 6/3/2010 4 Have a village or town center with destinations and services close by Have flexible office space in a town -center envrionment Facilitate making new friends Baby Boomers seeking active lifestyles, more interaction Boomers have made "third places" like Starbucks, Barnes and Noble: and Borders their "community center" ULI Minnesota 6/7/2010 l�a Over 8Omiiiion Gen Ys today (1979-96) C5minion aby Boomers (1946-64) Overall, it is estimated that Gen Y influences "as much as half of all spending in the U.S. economy" Over 35% of Gen Ys households earn above $75,000 They represent $1.6 trillion In eaming power Gen Y represents the greatest magnitude and spending power Represents almost 30% of today's population 6/7/2010 ULI Minnesota la 6/3/2010 5 connectivity MOREg 0 - say that living in a walkable community is important Gen Y will shift toward homeownership in 2012 ULI Minnesota will pay more to walk to shops, work, and entertainment Gen Y seeks diversity, walkability, and proximity to jobs In -town areas and inner suburbs will remain on an upward trajectory 6/7/2010 60 50 40 30 20 10 0 -10 Attached Small lot 2003 housing supply versus 2025 housing demand ES 2003 supply 2025 demand '.. Net new units needed Large lot Nationally, changing demands will change product types Demand for attached and small -lot homes will increase. ULI Minnesota 6/7/2010 f3 6/3/2010 6 Opportunity City Program Opportunity City Program 1. Housing Audit — 7 Opportunity Cities 2. Opportunity Site Assistance — 11 Community Site Principles 3. Web based Tool Box — HousingPolicy. org/MN 6/7/2010 Eagan's Participation Opportunity City Program Provides: Evaluation of Tools & Strategies based upon best practices to achieve Comprehensive Plan policies Share with other Cities 6/7/2010 \ l(/ 6/3/2010 7 Housing Audit - 4 Key Steps Opportunity Site Review Ull Minnesota DEVELOP RECOMMENDATIONS 6/7/2010 1s 6/3/2010 8 Housing Audit - 1st Step — The Framework What tools and strategies does the City use and how are they used? ➢ Ex: TIF, Tax Credits, Bonding, HRA Levies, Density bonus, etc. What external factors hinder the City's ability to provide a full range of housing choice? D Ex: lack of land, redevelopment costs, high land cost, resistance to density ULI Minnesota 6/7/2010 Repo About the Data How is it Different? • Local Parcel Based Data Four consecutive years (2004-07) and full 7 -county metro area coverage ▪ Shows residential changes and housing usage flows. " Household -level demographics, housing usage history & turnover patterns (1,065,000 profiled addresses) • Actual counts - not survey estimates • GIS property parcel based — can be rolled up and summarized to fit almost any geographic area ULI Minnesota 2/19/2010 r� 6/3/2010 9 1,1111t alae Key Metro Area Themes Emerged — through Pilot Prog First ring suburban regeneration Attracting move=up,households ULI Minnesota Moves from Apartments to other housing in the City Richfield r Shoreview 17 6/3/2010 10 Housing Audit - 3rd — Evaluate Programs/Tools Who benefits, what is the return on investment, etc? $250,000 $200,000 I $150,000 $100,000 $64,500 Area Median Income Limit (family of 4) $200,000 $200,000 $00,000 $50,000 .. so Deferred County MHFA Rehab Loan MHFA Fix -Up Loan Program Fund HRC Shoreview SHINE Based on 2,3(38 AMI (family of q) = $8o,goo ULI Minnesota Investment (in millions) r Private is Public Housing Audit - 3rd Step Demonstrate what has been learned Opportunity Site Review • 3-4 Site Evaluations • ULI MN professional's provide general recommendations on city chosen sites. • ULI Technical Assistance Panel (TAP) • ULI MN professional team evaluate one site along with policy leaders over 2-3 meetings — more specific, detailed review and recommendation. 6/7/2010 ULI Minnesota 6/3/2010 11 Housing Audit - 4th Step Develop Recommendations Self Discovery Process What changes & additions can be implemented to meet city goals? ➢ Shoreview — Approved an HRA levy ➢ Richfield - Create Interdepartmental Neighborhood Team ➢ Minnetonka — Create First Time Buyer Program ➢ Brooklyn Park — Adopt ULI MN Site Principles for new Multi -Family developments 6/7/2010 ULI Minnesota Policy Leader Involvement • Introduction • Review summary of Housing Audit — tools & strategies /discussion of community change data • Site assistance — application of the information • Develop Recommendations • Final Recommendations ULI Minnesota 6/3/2010 12 Geeratu Cagdad for Hoag ng Opus fxp3nd Opportuuitios hew Housing (Do 6/3/2010 13 Decision -makers are implementing changes based on audit findings, data analysis, and best practices provided by the pilot program. ` The study highlights elements of housing that we currently lack and the types of housing unats that are needed as we grow." "We had a lot of people telling us how wrong we as policy leaders were regarding the need for multi -family housing. After the Opportunity City process, there was an acknowledgement that we do need quality rental and multi -family housing. The Opportunity City process has changed the dialogue and opened conversations regarding the need for a mix of housing options." 6/7/2010 Cathy Bennett cathycbennett@frontiernet.net 612-670-8147 httpa//minnesota.uli.org/ ULI Minnesota Miineso Regional Council cat ft5 6/3/2010 14 Agenda Information Memo Eagan City Council Workshop June 8, 2010 IV. PLANNED DEVELOPMENT UPDATE/REVIEW — CITY OF EAGAN DIRECTION TO BE CONSIDERED: > To receive staff analysis of expired but not terminated Planned Developments (PD) that have completed less than 75% of the PD and to provide direction to City staff regarding further review of extending or modifying said PD's. FACTS: > As a one of its 2007-2008 Goals, the City Council directed the preparation of an analysis of the City's PD's to form the basis for a review by the Advisory Planning Commission and City Council, to determine whether any of the PD's that had exceeded their terms should be extended, modified or terminated. > While PD's have terms, they do not expire at the conclusion of the term. Rather they remain in place unless or until they are extended, modified or terminated by an action of the City Council. ➢ The City Council received a preliminary analysis of the status of existing incomplete PD's with an expired term in February 2008. At that time, the City Council directed staff to reach out to the PD holders with less than 75% completion in an attempt to ascertain the current wishes of the owners. All but one PD holder asked for an extension. ➢ The City Council reviewed the list of expired PD's in May of 2008 and directed staff to review and provide analysis to the 75% complete group and report findings back. ➢ The outcome/direction from the May 13, 2008 City Council Workshop is listed below: 1. For PDs that are under 50% complete, they should be forwarded to the APC for consideration with a staff report and input from the owners. 2. For PDs that are between 50% and 75% complete, they should be analyzed by staff and the outcome of the analysis to be forwarded to the City Council for direction before being forwarded to the APC for action. 3. For PDs that are more than 75% complete, they should be provided extensions through Council Action. .-a Agenda Information Memo June 8, 2010 Eagan City Council Workshop Page 2 of 2 4. Staff shall also prepare a process and timeline to conduct an annual review to see whether any other PDs exceed their terms and, depending upon the percentage of completion they are at, process them as outlined above. ➢ PD's that have expired since 2008 have been incorporated in the analysis document attached to this item. ➢ As the City Council may recall, according to the PD holders, the primary factor affecting development is market conditions. Additionally, development strategies are being or will be undertaken in the near term as the larger property holders internally look at 10-20 year master development plans. ➢ The City Attorney has stated that action to merely extend the term of an existing PD can be processed by the City Council without action by the APC. However, any action to change/remove a PD zoning first requires a Public Hearing and recommendation by the APC. ➢ When the Council reviewed the Planned Development last, staff was asked to research the PD review processes used by other cities to determine if there was any consistency or best practices that can be applied to the process in Eagan. A number of cities were contacted and responses crossed the spectrum from no review with the PD zoning remaining in place until developed or replaced by subsequent development application to no review with PDs terminating automatically upon the expiration of their terms. As a consequence, staff has based this review on the previous direction by the City Council to identify PDs that are reaching the end of their initial term since the last review and to base the follow up on the plan on the percentage and nature of development that has been completed on the basis of the original plan. ATTACHMENTS: (2) Map of City showing subject PD locations on page O( Planning analysis by PD on pages o� S through 33 a3 APPLE VALLEY Planned Development Area Location Map 410/°.(Ity of 1. Compri Hotel 2. Eagan Preserve 3. Eagan Woods Office Park 4. Eagan Woods Office Park 2M 5. Effress Addition 6. Nichols Park 7. Nlcols Ridge 8. Oakview Center 9. West Publishing 0 0.5 1 2Mlles Planned Development Update 1. Compri Hotel The Compri Hotel PD was approved in 1986. The PD consists of two lots on approximately 5 acres. The Crown Plaza Hotel exists on Lot 1; Lot 2 was approved for a restaurant use as part of the PD. However, a PD Amendment was PILOT KNOB-R0-LOCP____. _.. ... _- RAMP approved in early 2000 "` ` LAIR' allowing a hotel (Hawthorne Suites) on the undeveloped lot. Lot 2 remains vacant. The owner has requested an extension in the term of the PD and no change to the allowed use (hotel). BUFFET WA r: 4.. a`J r%tivacaRt Parcel CORPORATE CENTER BR Summary/Recommendation: The owner would like to maintain the PD/hotel use for the site. The site appears most suitable for a hotel or office and no change is warranted. as 2. Eagan Preserve PD was approved in September 2005 with a 5 term that will expire this year. The PD consists of two lots, one for the completed 25,000 square foot Yankee Professional Building and one 1.7 acre vacant lot intended for two restaurant pads. -s - YANKEE DOODLE 110 �- p Summary/Recommendation: .05 LYANKEE S DDAM 4. 0 NI The owner has been unable to secure any restaurant interest to date; however, the owner would like to maintain the PD approval. While staff has fielded calls regarding an interest in the site for a possible office use, these discussions have not progressed to any degree so maintaining the restaurant use appears reasonable. 3. Eagan Woods Office Park The Eagan Woods Office Park was approved in 1985. The PD consisted of one lot and two outlots on approximately 20 acres. The 95,000 SF Eagan Woods Office building exists on Lot 1. Outlot A was approved for a Raintree Hotel in 1999 but was never built. Outlot B is also vacant and was intended to develop with an office building; this parcel subsequently became part of Eagan Woods Office Park 2nd. Summary/Recommendation: Since development of the hotel is highly unlikely, future development will require review and approval by the APC and City Council. Due to the topography and existing woodlands, development as a PD is preferred; no change warranted at this time. a7 4. Eagan Woods Office Park 2nd The Eagan Woods Office Park 2nd Planned Development was approved in 1995. The PD consisted of one lot and two developable outlots on approximately 31 acres. The Old Country Buffet Headquarters (OCB) Master Plan called for the OCB headquarters, an additional office building, a hotel and a training restaurant. The 98,000 SF HQ building exists on Lot 1. A 24,000 SF office building (Venture Bank) was constructed on Outlot B (Lot 1, Block 1, Corporate Woods) in 2005. A LaQuinta Hotel was approved but never built on Outlot C (now Lots 1 & 2, Block 1, Manley Commons 1st Addition). Subsequently, a Holiday gas and convenience store was approved and constructed. A retail use was also approved for Lot 2, Block 1, Manley Commons 1st Addition; this parcel remains vacant. Summary/Recommendation: Office development via a PD is preferred; no changes are warranted. 5. Effress Second Addition The Effress Second Addition Planned Development was approved in 2000. The PD consisted of three lots and continuation of the multi - building Glen Pond apartment development. Effress Second provided for four additional apartment buildings. One of the lots was developed separately as the Birchwood Office Condos. one outlot on approximately 25 acres. The PD provided a Summary/Recommendation: Since approval of the PD and construction of two of the four apartment buildings has occurred, the Northwood Parkway Overpass and Draft Comprehensive Plan Update were completed. The Draft Update contemplates intensification and re -use in the Central Area and the new direct connection to The Promenade area presents an interesting spin on development potential. Although the owner currently does not intend to proceed with the remaining development at this time; they have indicated their desire to keep the PD intact. As such, no change is warranted; however, the City should expect the possibility of the remaining undeveloped property being perceived in a different light, depending on the ultimate developer. a19 6. Nichols Park The Nichols Park PD was created in 2001. As a consequence of the City eliminating the Roadside Business (RB) Zoning Category, a PD was created for this eight acre parcel. The PD provides for commercial uses that typically serve the traveling public, e.g. hotel, restaurant, which mirror the allowed uses in the now defunct RB Zoning District. The entire site is vacant and the owner has indicated recently that a mixed use (apartment/retail) may be more marketable. Summary/Recommendation: The owner believes a mixed-use development is most suitable for the site and area; however, financial support for such a project, given the current and foreseeable market conditions, will likely not be available for some time. As such, no change appears warranted at this time. 7. Nicols Ridge The Nicols Ridge PD was approved in 2001. The PD consisted of 230 attached residential units on 26 acres. Redevelopment Area and the City and developer entered into a TIF Development Agreement. To date, 48 row townhomes and one condo building (14 units) has been constructed. The downturn in the economy has essentially brought development to a standstill and the City is currently negotiating with the current owner (Lennar) possible land acquisition. The site is located within the Cedar Grove Summary/Recommendation: future development phases and The intensity of development approved in the original Planned Development will most likely not be realized. Lennar has stated that they no longer construct the condo -type of units previously developed. An incomplete application to amend the Planned Development has been submitted. As such, any modification to the existing PD would be premature at this time. 8. Oakview Center The Oakview Center PD was approved in 1998. The PD consisted of eight lots on approximately 15 acres. restaurant, convenience gas, strip retail and an Development to date has included of a hotel, Class II office building. Two of the remaining three undeveloped parcels were combined into a single parcel in 2006 as part of an approval to develop another hotel. Economic issues have caused the hotelier to pull back on that project Summary/Recommendation: There does not appear to be any reason to change the PD approved uses for the vacant parcels. 3a 9. West Publishing The West Publishing PD was approved in 1990 and consisted of approximately 260 acres. The bulk of the property had been part of the Gopher -Eagan Industrial Park Planned Development that was established in 1976. Development to date has included 1.2 million SF of single -story warehouse/manufacturing buildings, a 100,000 SF two-story office building (Lot 1, Block 1, West Publishing Company 2nd Addition), a 1.3 million SF six -story office building (Lot 1, Block 1, West Publishing Company 4th Addition) and an approximately 300,000 SF of data center (Lot 1, Block 1, West Publishing Company 7th Addition). Approximately 90 acres are undeveloped outlots (B & C, West Publishing 4th Addition.) •ICpJ 1U 1 J • -- YANKEE-DOODtE-RO ‘kil 01714; ldq;111- - Summary/Recommendation: The sheer size of the Thomson Reuters campus and the technology needs of the company require innovation and flexibility so growth needs can be met. As such, no change to the PD is recommended. However, staff will continue to encourage TR representatives to take a fresh look and consider an overall update to the base PD that is now twenty years old. Agenda Information Memo Special Eagan City Council Meeting June 8, 2010 V. FRANCHISE ENFORCEMENT AND LONG-RANGE E -TV FINANCING ACTION TO BE CONSIDERED: Provide direction on public policy questions and expectations for Eagan franchise enforcement and Eagan Television financial performance. FACTS: • When Burnsville and Eagan mutually dissolved its partnership in the former Burnsville Eagan Community Television (BECT) operation, one of the byproducts was dissolution of the previous franchise enforcement method. • There are a variety of options for how Eagan can enforce its franchise going forward through the end of its term in early 2015, and handle resident subscriber complaints. If directed, staff can prepare the pro's and con's of the various options and report back, or if desired, briefly discuss those options with Council this evening to discover its preferences. • Because of recent FCC and Federal Court decisions, there have been changes too in how a municipality may spend the Public, Educational and Governmental (PEG) fee dollars it receives. This affects both negatively and positively the long-range financing for Eagan Television (E -TV). • Communications Director Garrison will briefly discuss those financial projections, the implications for operations, and the public policy questions on which staff seeks direction, as outlined below. PUBLIC POLICY QUESTIONS 1. Would the City Council like to discuss franchise governance options this evening or like staff to come back with options and pros and cons? (Options include Council as hearing authority, a cable commission, a modified commission with Councilmember, City Administrator and one other citizen that meets when necessary, etc.) 2. Unlike some other cities, the Eagan City Council and staff have consistently retainined franchise fees over the years and used them for cable access, communications and telecommunications reasons, and not diverted funding to the general fund. Is the City Council comfortable with maintaining the current funding approach to Eagan Television operations? (See attached graphic showing use of funds.) 3. Does the City Council wish to continue to share the mobile production truck with Burnsville, buy its own truck, or buy out Burnsville's stake and perhaps lease 3y back capacity to Burnsville and other Dakota County cities who have sports or special events needs? 4. Finally, are there any other long-term expectations the Council has for E -TV that should factor into staff planning? ATTACHMENTS: • Chart of E -TV fund utilization and PEG and Franchise fee balances on page • Graphic showing current uses of franchise and PEG funds on page 3? 3W 2013 2014 O 0 O O S !M1 fV N N N O O suo!II!IN $ 2007 2008 2009 2010 2011 2012 O 0 N Old FCC Rules New FCC Rules Franchise Fees Peg Fees Franchise Fees Peg Fees Sources: Sources: Franchise Fee Subscriber Fees Franchise Fee Subscriber Fees Uses: Uses: % necessary to 100% available to % necessary to fund Amount to cover fund BECT/BETC BECT/BETC remaining E -TV costs eligible E -TV costs Operations Operations (Increases from old rules) (Decreases from old rules) General Fund Communications General Fund Eligible costs limited to Department Infrastructure: Communications Department certain capital and only certain operational costs *Fiber Conduit Infrastructure: *Fiber *Fiber Conduit *City Council and *Fiber Eagan Room *City Council and Technology Eagan Room *Conference Room Technology Technology *Conference Room Technology Balance: Balance: Retained in fund None available Retained in fund Retained in fund balance for future balance for future balance for future appropriation appropriation (Decreases from old rules) appropriation for eligible expenditure items (Increases from old rules) 37 Agenda Information Memo June 8, 2010, Special Eagan City Council Meeting VI. RECEIVE UPDATE ON 2011 GENERAL FUND BUDGET ACTION TO BE CONSIDERED: This is an information/discussion item and no specific action is required. FACTS: • In late April, staff began the 2011 budget process and Department Directors are preparing 2011 budget proposals for the various divisions and departments. The General Fund and Civic Arena proposals currently are to be submitted to the City Administrator by June 18, 2010. Following submission, budgets will be reviewed by the staff budget team with departmental meetings beginning in late June and continuing into July. • The City Administrator's recommended budget is scheduled to be presented to the City Council for formal and detailed review on August 9 at the special meeting. • As a starting point, Directors have been instructed to prepare budgets that are limited to a 2% increase to the non -personnel sections from the approved 2010 department non -personnel budgets. In the personnel section the preliminary budgets prepared at the department level will include step adjustments and only the changes to benefit levels that are in place, e.g. PERA contributions. Preliminary budgets will not include any other changes in compensation and no additional personnel are to be included in the department budgets. • Staff is approaching the budget preparation with the City Council's Budget / Fiscal 2009 — 2010 Goal in mind to "Maintain the City's long standing fiscally conservative budgeting approach through the creation of sustainable and independent long term budgets". • The budget team and department directors will be working to develop public policy questions for City Council deliberation at subsequent meetings. While the appropriate time to address the various items will vary, issues with policy implications for the budget and tax levy include the following: o The City's declining tax base 3S o The impact on tax capacity and cash flow resulting from tax court challenges to estimated property values (primarily commercial / industrial) o Levy limits, loss of Market Value Homestead Credit and special levies o The need for budgets to be practicable in the short-term while sustainable for the long-term o Developing a proper balance between resources dedicated to operations and to infrastructure and equipment; potential reallocation of costs and/or tax revenues o Increases to PERA contribution rates and potentially to health insurance costs o Implementation of Normal Costs for post retirement health insurance o Contract negotiations o Organizational and departmental rightsizing o Potential levy for Fire Station construction o Consideration of a new levy for the Park Site Acquisition & Development Fund o Potential adjustments to 2010 Budget • The other Enterprise Fund operating budgets including Water, Sanitary Sewer, Storm Drainage, Water Quality, Street Lighting, Community Center, and Cascade Bay are due to the budget team on September 3 and are tentatively scheduled to be presented to the City Council on October 12. • Capital budgets including the Part II (Vehicles & Equipment) CIP and General Facilities Renewal & Replacement are also being prepared at this time and are due on June 18. • This budget cycle will continue the process used over the last four years of enhancing the budget to become a better and more comprehensive planning, policy, and communications tool through recommendations of the Government Finance Officers Association. ATTACHMENTS: , • Enclosed on page 140 ' 1 is a copy of the revised 2010 Budget Calendar. Budget Calendar Revised 6-04-2010 April 27 Kickoff meeting April 28 Budget documents distributed to departments: June 8 Brief budget process update to Council at Special CC meeting June 18 Deadline for General Fund departments, Civic Arena, and E -TV June 21 — early -July Budget team meets with Departments to review requests Finance prepares preliminary revenue estimates July 27 (tentative) City Council reviews/approves Civic Arena budget and reviews status of General Fund budget August 9 City Administrator's recommended General Fund budget presented to Council at special meeting September 3 Deadline for Utilities, Cascade Bay, ECC and ECV September 7 City Council approves preliminary levy at regular meeting Or September 14 City Council approves preliminary levy at special meeting September 15 Preliminary levy certified to County October 12 (tentative) City Administrator's Enterprise Fund and ECVB budgets presented Early -December Truth -in -Taxation hearing Mid -December Final 2011 budget and levy adopted by Council Note: Council may elect to conduct budget open house(s) sometime in the fall. Special City Council Workshop June 8, 2010 VII. REVIEW MUNICIPAL CAMPUS MASTER PLAN ACTION TO BE CONSIDERED: No formal action is needed. Staff is seeking comment from the Council on the proposed master plan for the Municipal Center Campus. FACTS: • The presentation of the proposed master plan for the Municipal Center Campus is intended to serve as a check point with the City Council and an opportunity for the Council to provide comment to staff. No projects are currently being proposed. Comments will be used to guide future renewal and replacement projects. • The proposed master plan was completed by consultants from SEH during the spring of 2008 in preparation for the 2009 budget cycle. Input was gathered from staff in nearly every department. The goals of the plan included: o Consider an increase in plantings on the Municipal Center Campus in order to reach current development standards. o Consider the addition of a number of water infiltration and environmentally friendly technologies such as pervious pavement, rain gardens, and a green roof. o Consider methods to increase the ease of traffic movement for pedestrians, bicyclists and vehicles including peak use times of Cascade Bay and Civic Arena facilities. o Address a number of other requests for changes to the campus such as an outdoor seating area near City Hall, additional picnic space for Cascade Bay users, and a trail connection between upper and lower City Hall parking lots. • The plan was completed by the consultants but no action was taken at the time due to impending budget constraints. • Staff will present the master plan and answer questions at the workshop. ATTACHMENTS: • Design renderings and cost estimates are included on pages 4 too z/1 0 c 0 06 a.)E 0 143 H q m X w Proposed Signs 111 i b 11 . 1119, li \ , $ ! ' * K-.4 * ,n,: -741,s, osi..._ _......,,,, __.. _..... -.Imieff W.' -el rr .... 11..MIIIA r __; • c_. s - I --- 1 ,,- I 1 '.'te , ___ 1 , - --4.--- r' --• a— (,- 77 ------ ----- ------ . s' ' --•-, 1 — - 1 1 -------'14? 1 • ,/-' -2'-4 -.1 1 i ''''‘; . • a . 0 -4, de, ,/,''Y ..:\r".-,_. j ____ _ ,,,N,,, .1111.2iii,,iu\ Ili (5 t 1 1 ...: -;;,-., „„ ,, „,„,,,,,, ,., , - I, II i ..,.../ ,, $., L 11 -: $ 4 71 i t../ ..., _ ___5 „ 1 •I. P. ... 41 / -------- 411 fS- it 1 1 g W4.1\ d.41:2 APO ;;•,, 4i‘ 4.-...-4f4C,h4,5tot4f; a • . • LATIMIgi 3 a E C3 c 00 > c'5 CE OYT .0 a c 8 LU 0 1 24444114:, VA 4.‘ 8 1 § d/' § g tg. gt AE2 pood goo lopd LID Improvements 47 5. Eagan, Minnesota J c E • 0 U� 0o _Q a) U o "C E Lu c Q N 00 O a w •-4- O1 V City of Eagan Municipal Campus Eagan, MN Preliminary Cost Estimate File No. Eagan - 101671 24 -Oct -08 Page 1 Lig Unit Qty Unit Price Cost Entry A Municipal Building Mobilization LS 1 $43,100.00 $43,100 Demolition LS 1 $15,000.00 $15,000 Excavation CY 5,000 $11.00 $55,000 Colored Concrete @ Front Entry SF 10,050 $6.00 $60,300 Porous Pavement SY 4,000 $60.00 $240,000 Rock Infiltration Bed under Porous Pavement CY 4,100 $25.00 $102,500 Filter Fabric under Porous Pavement SY 4,000 $10.00 $40,000 4" Concrete Trail SF 12,500 $3.25 $40,625 Utility - Stormwater LS 1 $35,000.00 $35,000 Landscape - Trees LS 1 $34,100.00 $34,100 Rain Gardens/Bio-Swales @ Nose of Parking Median SF 2,500 $2.15 $5,375 Turf Restoration LS 1 $2,500.00 $2,500 Deck Outside Employee Lunchroom LS 1 $35,000.00 $35,000 Site Amenities ( Benches/Litter Receptacles/Planters) LS 1 $15,000.00 $15,000 Boardwalk over Rain Garden/Bio-Swales SF 200 $65.00 $13,000 Pergola SF 3,675 $50.00 $183,750 Lighting - Bollards EA 10 $2,000.00 $20,000 Subtotal $940,250 LID Im .rovements Mobilization LS 1 $41,000.00 $41,000 Demolition LS 1 $20,000.00 $20,000 Excavation CY 8,000 $11.00 $88,000 Porous Pavement SY 5,850 $60.00 $351,000 Rock Infiltration Bed under Porous Pavement CY 8,000 $25.00 $200,000 Filter Fabric under Porous Pavement SY 5,850 $10.00 $58,500 Utility - Stormwater LS 1 $60,000.00 $60,000 Landscape - Trees LS 1 $35,650.00 $35,650 Rain Gardens/Bio-Swales SF 1,950 $2.15 $4,193 Turf Restoration LS 1 $2,500.00 $2,500 Subtotal $860,843 Parking Areas - Recreational Uses Mobilization LS 1 $53,700.00 $53,700 Demolition LS 1 $25,000.00 $25,000 Excavation CY 3,000 $11.00 $33,000 Colored Concrete - Crosswalks, entry @ Eagan Civic Arena SF 27,125 $6.00 $162,750 6" Concrete @ front Eagan Civic Arena & Cascade Bay Parking Lots SF 90,300 $7.00 $632,100 4" Concrete Trail SF 12,500 $3.25 $40,625 Utility - Stormwater LS 1 $125,000.00 $125,000 Landscape - Trees LS 1 $44,650.00 $44,650 Rain Gardens/Bio-Swales @ entry of Eagan Civic Arena SF 11,250 $2.15 $24,188 Turf Restoration LS 1 $1,500.00 $1,500 Site Amenities ( Benches/Litter Receptacles) LS 1 $10,000.00 $10,000 Subtotal $1,152,513 Page 1 Lig City of Eagan Municipal Campus Eagan, MN Preliminary Cost Estimate File No. Eagan - 101671 24 -Oct -08 Unit l Qty. 1 Unit Price 1 Cost Cascade Bay/Library Improvements Mobilization LS 1 $25,000.00 $25,000 Demolition LS 1 $15,000.00 $15,000 Excavation CY 5,000 $11.00 $55,000 Colored Concrete @ Crosswalks SF 2,150 $6.00 $12,900 4" Concrete Trail SF 10,000 $3.25 $32,500 Stairs - Stone Slab LS 1 $50,000.00 $50,000 Utility - Stormwater LS 1 $35,000.00 $35,000 Landscape - Trees LS 1 $25,550.00 $25,550 Turf Restoration LS 1 $2,000.00 $2,000 Building Re -location LS 1 $15,000.00 $15,000 Site Amenities ( Tables, Picnic Tables, Benches, Litter Receptacles) LS 1 $55,000.00 $55,000 Water Feature @ Future Display Space LS 1 $50,000.00 $50,000 Pergola SF 2,650 $50.00 $132,500 Lighting - Bollards/Uplighting LS 1 $15,000.00 $15,000 Subtotal $520,450 Green Roofs Mobilization LS 1 $13,000.00 $13,000 Demolition LS 1 $5,000.00 $5,000 Public Safety - Green Roof SF 7,525 $25.00 $188,125 City Hall - Green Roof SF 2,510 $25.00 $62,750 Subtotal $268,875 Total Estimated Project Costs Total Phase 1 $940,250 Total Phase 2 $860,843 Total Phase 3 $1,152,513 Total Phase 4 $520,450 Total Phase 5 $268,875 Sub -Total $3,742,930 27% Contigency $1,010,591 TOTAL PROJECT COSTS (ALL ELEMENTS) $4,753,521 Note: Contingency includes 12% soft cost engineering, final design and 15% construction costs. 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