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HomeMy WebLinkAbout2025.06.09 CCM REGULAR6/09/25 1 MINUTES OF THE PROCEEDINGS OF THE CITY COUNCIL OF THE CITY OF BROOKLYN CENTER IN THE COUNTY OF HENNEPIN AND THE STATE OF MINNESOTA REGULAR SESSION JUNE 9, 2025 CITY HALL – COUNCIL CHAMBERS 1. INFORMAL OPEN FORUM WITH CITY COUNCIL The Brooklyn Center City Council met in an Informal Open Forum called to order by Mayor Pro Tem Teneshia Kragness at 7:11 p.m. 2. ROLL CALL Mayor Pro Tem Teneshia Kragness and Councilmembers Kris Lawrence-Anderson, Dan Jerzak, and Laurie Ann Moore. Also present were City Manager Reggie Edwards, Community Development Director Jesse Anderson, Economic Development Manager Ian Alexander, Assistant City Engineer Lydia Ener, City Planner Ginny McIntosh, City Clerk Shannon Pettit, and City Attorney Siobhan Tolar. Mayor April Graves was absent and excused. 3. PLEDGE OF ALLEGIANCE The Pledge of Allegiance was recited. 4. INFORMAL OPEN FORUM Mayor Pro Tem Teneshia Kragness opened the meeting for the purpose of an Informal Open Forum and reviewed the Rules of Decorum. Alfreda D. spoke via Zoom and stated they just went through George Floyd's fifth anniversary and wanted to address the State-sanction laws. She discussed the murder of George Floyd and stated it sent shockwaves through the City, country, and state of Minnesota. She stated it brought to light the realities of policing and racial injustice. Less than a year later, Dante Wright was also killed in Brooklyn Center, and Dante was a father, son, and friend. Brooklyn Center has become a symbol of injustice and, for some, an awakening. The community carries deep trauma, especially the young people in the community. She stated she has heard whispers of a federal pardon for Derek Chauvin, and it feels like salt in a wound after the community has not been allowed to heal correctly. This pardon would signal to the community that there is no accountability and that justice is up for debate. Mayor Pro Tem Kragness stated that Alfreda's allotted two minutes had passed and thanked her for sharing her thoughts. 6/09/25 2 Julie B. addressed the Council via Zoom. She wanted to recognize City Staff for their authentic relationship building that requires consistency, authenticity, mutual respect, and humility. She noted that the City has people who show up like that daily. She mentioned the Director of Community Prevention, Health and Safety Director, LaToya Turk, and how she effectively serves the community of Brooklyn Center with a smile and ensures that everyone has what they need. She mentioned Ms. Turk has an incredible team that continues to serve the community with the same commitment. Julie B. thanked Christina Jones, Armando Oster, and Raquel Gutierrez for their work. She discussed having a similar meeting with the Parks and Recreation Manager Charles Walker, and noticed he had a level of rapport with the youth in the community that is not built overnight. She mentioned that Parks and Recreation Director Wiseman has been a gift to the City and has created spaces with increased access to the residents, which has never been done before. Despite the excellent City Staff, she said she had been disappointed recently after attending a few graduation parties this weekend for Brooklyn Center graduates, none of which were held at any parks. She said she hopes they foster inclusivity in the decisions about how the community can use the parks. Mayor Pro Tem Kragness stated that Julie B.'s two minutes were up. Julie B. stated said she would email her remaining remarks to the Council. Kevin S., a citizen of the Evergreen neighborhood, discussed a building on the corner of 69th and Humboldt. There was talk of veteran housing, a coffee shop, and underground parking. He said it seems like it is affordable housing with 31 units, and that neighborhood already has three group homes on his block and three more on the next block. He understands that there are people in need, but does not understand the need for 31 new units. He asked if a center for the homeless and a social service agency could be put in a government building instead of the middle of a residential area. He requested that the Council investigate the matter further and see if there is a better spot to better serve the people in need in Brooklyn Center. There being no further comments, the Informal Open Forum was closed. 5. INVOCATION Councilmember Jerzak quoted Oprah Winfrey, "Passion is energy. Feel the power that comes from focusing on what excites you." Councilmember Jerzak also quoted Benjamin Franklin, "If passion drives you, let reason hold the reins." 6. APPROVAL OF AGENDA AND CONSENT AGENDA Councilmember Moore moved and Councilmember Lawrence-Anderson seconded to approve the Agenda and Consent Agenda, as amended, adding a Work Session meeting with agenda item, Budget Priority Discussion, and the following consent items were approved: 6a. APPROVAL OF MINUTES 6/09/25 3 1. May 27, 2025 - Study Session 2. May 27, 2025 - Regular Session 3. May 27, 2025 - Work Session 6b. LICENSES FIREWORKS - TEMPORARY TNT Fireworks 3245 Co Rd 10 N Brooklyn Center MN, 55430 GARBAGE HAULER Allied Waste 8661 Rendova St NE Circle Pines, MN 55014 Curbside Waste 18150 118th Ave N Dayton, Mn 55369 Walters Recycling & Refuse 2830 101st Avenue NE Blaine, MN 55449 Waste Management 10050 Naples Street NE Blaine, MN 55449 MECHANICAL Home Care Heating and Air LLC 14450 Ewing Avenue S, Burnsville 55306 Midwest Maintenance & Mech 750 Pennsylvania Avenue S, Golden Valley 55426 MH Plumbing Inc. 6725 277th Avenue NW, Isanti 55040 MJW HVAC, Inc. 13600 Edgewood Street, Becker 55308 RENTAL INITIAL (TYPE IV – six-month license) 5316 Colfax Avenue N CAG MINNESOTA FUND II LLC RENEWAL (TYPE IV – six-month license) 6242 Scott Avenue N Cosco Property I Llc 7141 Newton Avenue N Ih2 Property Illinois Lp 6/09/25 4 RENEWAL (TYPE III – one-year license) 7025 Grimes Avenue N SFR ACQUISITIONS 3 LLC RENEWAL (TYPE II – two-year license) 4809 Twin Lake Avenue N Twin Lake Apartments 4708 Twin Lake Avenue N Michael N Mohs 5925 Washburn Avenue N Endura 5925 Llc SIGNHANGER Signapolis, Inc. 7435 Washington Ave S, Minneapolis 55439 6c. RESOLUTION AUTHORIZING THE EXECUTION OF A LETTER OF ENGAGEMENT WITH CARSON, CLELLAND & SCHREDER LAW FIRM FOR LEGAL SERVICES 6d. RESOLUTION AUTHORIZING THE EXECUTION OF A CONTRACT EXTENSION WITH KENNEDY & GRAVEN, CHARTERED LAW FIRM FOR LEGAL SERVICES 6e. CANCELING AND RE-ASSESSING SPECIAL ASSESSMENTS FOR 6030 VINCENT AVE N TO HENNEPIN COUNTY TAX ROLLS (BC LITTLE LEAGUE FIELDS) Motion passed unanimously. 7. PRESENTATIONS/PROCLAMATIONS/RECOGNITIONS/DONATIONS 7a. PROCLAMATION – JUNE 19, JUNETEENTH Mayor Pro Tem Kragness read in full a Proclamation recognizing June 19, 2025, as Juneteenth, Freedom Day in Brooklyn Center. Councilmember Jerzak moved and Mayor Pro Tem Kragness seconded to adopt a PROCLAMATION Recognizing June 19, 2025, as Juneteenth, Freedom Day in Brooklyn Center. Motion passed unanimously. 7b. PROCLAMATION IN CELEBRATION OF COLORS OF SOUTHEAST ASIA (COSA) FEST 6/09/25 5 Mayor Pro Tem Kragness read in full a Proclamation recognizing June 7, 2025, as the Celebration of Colors of Southeast Asia (COSA) Fest. Councilmember Moore moved and Councilmember Jerzak seconded to adopt a PROCLAMATION Recognizing June 7, 2025, as the Celebration of Colors of Southeast Asia (COSA) Fest. Motion passed unanimously. 7c. PROCLAMATION RECOGNIZING JUNE 2025 AS LGBTQIA+ PRIDE MONTH IN THE CITY OF BROOKLYN CENTER Mayor Pro Tem Kragness read in full a Proclamation recognizing June 2025 as LGBTQIA+ Pride Month in the City of Brooklyn Center. Councilmember Moore moved and Councilmember Jerzak seconded to adopt a PROCLAMATION Recognizing June 2025 as LGBTQIA+ pride month in the City of Brooklyn Center. Motion passed unanimously. 7d. PUBLIC WORKS UPDATE Dr. Edwards introduced Public Works City Engineer Lydia Ener. Public Works City Engineer Lydia Ener started her slideshow presentation with a reminder that the Public Works Department consists of six functional divisions, including administrative/engineering, street maintenance (storm sewer, traffic control, street lighting), park maintenance and forestry, public utilities (water, sanitary sewer), central garage, and facilities maintenance (maintenance and janitorial). Ms. Ener stated that the role of Public Works in Brooklyn Center is to be responsible for adequately and cost-effectively providing for the maintenance and operations of the City's infrastructure and facilities. The duties this includes are 105 miles of city streets and 5,100 traffic signs, 520 acres of parks and natural areas, 62 miles of trails and sidewalks, 88 miles of storm drains and 40 treatment facilities, water and sewer operations, and all Municipal-owned buildings and grounds. Ms. Ener highlighted the Public Works 2024 accomplishments, which included over $12 million invested in City assets. These assets included the Department’s most significant project, which is the Orchard Lane East improvement in phase 1, which is still ongoing, the I-94/Dupont Avenue water main crossing project, the 65th Avenue trunk storm sewer rehabilitation project, and the first traffic calming pilot program, along with improvements to the City tree canopy and the start of the lead service line project. 6/09/25 6 Ms. Ener explained that the traffic calming pilot program involved implementing delineators to knock down and address speeds in the East Palmer Lake area. The water main installation on 66th Avenue and Orchard is a 16-inch pipe. She noted that most water mains are six to eight inches, so this water main is exceptionally large. Ms. Ener noted the Department’s 2025 goals, including the Orchard Lane East improvements moving to phase 2. This project is way ahead of schedule, and Staff are already paving 65th Avenue and a few other streets. Staff are also 60 to 75 percent done with all their utility work there. Other goals include the 67th Avenue and James Avenue Mill and Overlay, where Staff are currently working on dewatering and the spot hydrant and gate valves, the Lift Station #9 that includes both the force main and a large lift station, the Well #11 and Well House construction, the Expanded Traffic Calming Program in another area by 58th and Fremont and Emerson, and continuing Lead Service Line project and try to track down any lead services in the City. Ms. Ener highlighted the Department’s long-range goals and priorities: Capital Improvement Plan Project areas, the standard street, storm, water, sanitary maintenance project, and the Orchard Project, one of their capital improvement projects. The continued Traffic Calming Program is part of the Capital Improvement Plan and will set aside money to keep funding that project and find areas that need work. Implementing the Park Capital Improvement Plan involves putting soft foam under playground equipment. Humboldt Avenue and 65th Avenue area improvements are some of their next big projects. Staff do not have a standard mill and overlay plan but are considering reducing speeding and crash rates and pedestrian safety at that intersection. This project will improve streets, stormwater and sewer water, and sanitary facilities. Public Works is still looking at Highway 252 improvements and is collaborating with the Minnesota Department of Transportation (MnDOT) and the County on how to address those issues. Ms. Ener asked the Council if they had any questions. Councilmember Lawrence-Anderson thanked Ms. Ener for her presentation and stated she lives a block north of 63rd Avenue, and there are pillars in the median there, but at Unity, a lot of traffic is still speeding. She asked if Public Works had done any studies on that particular area because speeding had not decreased and the pillars have not slowed down drivers. Ms. Ener replied that the area in question at 63rd Avenue and Unity is tough because it is called Municipal State Aid Street and was constructed recently, but before any of their Staff was there. It is a wide street, which makes it difficult to attempt to control speeds. She said the best way to control speeds is to narrow and constrict the road, and the only way to do that on such a wide street is to look at two-stage crossings, which are the pillar medians that Councilmember Lawrence- Anderson is referring to. These medians are put there so people can safely stop in the middle of a two-lane street and cross at the next break in traffic. She said sometimes it is difficult to deal with the existing infrastructure. Councilmember Lawrence-Anderson said that the street is like a racetrack with the amount of speeding there, and she cannot imagine how the residents there feel. Ms. Ener noted that Public Works is aware of the issue in that area and has received complaints from residents. Putting up an 6/09/25 7 automated speed sign helps, but it usually loses its ability to remind people to control their speeds for a certain amount of time. Since the street was so recently redone, all they can look at are retrofit options, which focus on ensuring safe crossings for pedestrians. Councilmember Moore asked where the Department is starting the Traffic Calming Program. Ms. Ener replied they would begin on 58th Avenue and Fremont, and 58th Avenue and Emerson based on elevated crash rates in that area. The locations where Staff will implement the Traffic Calming Program are not just based on residents' information but also on MnDOT's crash rate data and local police. Councilmember Moore asked about the permanent Traffic Calming Program on East Palmer Lake and what that entails. Ms. Ener explained Staff would recreate the temporary speed tables in a true bituminous manner. The Department had temporary speed tables in that area, which have been removed and will be used in another location. The new, real, bituminous speed tables will be in the exact locations up and down Newton, are the same size, and will feel the same to drivers, but they will be permanent. Councilmember Moore asked about the water main in Orchard and its size. Ms. Ener said there is a 16-inch regional line on 66th Avenue, but the lines that serve the neighborhoods are typically eight-inch pipes. Councilmember Jerzak commended Ms. Ener on the work done at Palmer Lake and East Palmer Lake, and the work of Public Works with the community. Councilmember Moore commended Ms. Ener on her presentation and the work that she is doing for Public Works and the work their Staff is doing. Councilmember Moore moved and Mayor Pro Tem Kragness seconded to approve the presentation from the Public Works and Engineering Department, accomplished in 2024, and the goals they are working towards in 2025. Motion passed unanimously. 7e. COMMUNITY DEVELOPMENT ANNUAL REPORT Dr. Edwards introduced the Community Development Department Director Jesse Anderson. Community Development Director Jesse Anderson explained that their report will be a bit of a recap of 2024 and some of the happenings in 2025. Mr. Anderson showed an organizational chart with four different manager levels, including Building Officials, Housing and Community Standards Manager, Economic Development Manager, and Planning Manager. He highlighted the overview of their services, which includes Building and Community Standards such as building and construction regulation, rental licensing, property maintenance, vacant building, and housing programs. Their Business and Development Services include planning and zoning services, long- 6/09/25 8 range strategic planning, EDA/Economic Development Programs, Business Retention and Expansion Program, and Workforce Development. Mr. Anderson discussed their Rental Program and stated they track and inspect all rental licensed properties and are working on a Citywide resource packet for all rental tenants. Staff investigate and resolve property complaints, investigate unlicensed rental properties, and provide education on tenant protections and rental licensing administration. The Department participates in CPTED inspections, which are crime prevention through environmental design inspections and are done by inspection staff. Staff work on rental plans with Type 3 and Type 4 licenses and inspect all their multi-family units as part of the renewal process. Mr. Anderson described their Rental Program, which includes almost 12,000 total housing units and is approximately 3,608 rental units, or 30 percent of the units in Brooklyn Center, and 8,300 single-family homes. The Department currently has 668 active rental licenses, over 80 percent of which are 2- to 3-year licenses. The Department has 43 properties with expired licenses, but they are working on getting those licenses updated and renewed. The Department has 175 properties they are aware of, which are residential care facilities or group homes, that they cannot license due to the State legislature passing last year. Staff have discussed getting licensure back from the legislature, but conversations did not go well, and Mr. Anderson does not believe that restrictions on group homes will be lifted. Mr. Anderson highlighted some of the Department's accomplishments with the Rental Program; there was a lot of change in ownership of the multi-apartment building owners, so a lot of training took place for new apartment managers. Staff have attended resident council meetings, specifically at Sonder House, regarding tenant concerns and ongoing protections with property owners and managers. Some of the Department’s goals include a tenant resource packet for residents in the fall of 2025, a tenant protection work session with the City Council in the Fall of 2025, a rental license program points system work session with the City Council in the Fall of 2025, an update the rental policy and procedures handbook, continuing to work on automate rental license renewals through their software. Mr. Anderson discussed their Property Maintenance and Code Enforcement Services, with a Complaint-based Program and a Proactive Code Enforcement Program. In 2024, they had 3,374 Code Enforcement cases; in 2025, they currently have 1,890 Code Enforcement cases. Staff have noticed an increase in illegal dumping on commercial properties and vacant lots and loitering on vacant EDA properties. The Proactive Code Enforcement program includes neighborhood sweeps, long grass, corridor sweeps, and commercial property. Mr. Anderson discussed their Vacant Building Program, which has 65 vacant properties. A vacant commercial property between Sears was sold to a company called TransformCo. The former Brown College building has gone through tax forfeiture, and the Code Enforcement Staff is monitoring it. Code Enforcement Staff will be more involved in the EDA mowing process, so it will be on an as-needed basis to save on cost instead of a set mowing schedule with their EDA properties. 6/09/25 9 Mr. Anderson noted their 2025/2026 Code Enforcement Initiatives, which are plans to finish a sweep of the entire City by the end of 2025. Department Staff are knocking on doors to provide education with a follow-up and formal complaint notice, monitoring commercial vacant properties for trespassers, abating trash and dumping, and participating in tall grass enforcement. Staff are currently one-quarter of the way through the properties. Staff are currently working through the rental properties, and it is a struggle for Staff to finish this task as it is a very lengthy process. The Department got a lot of phone calls after the fact, but it is still their goal to finish the sweep by the end of the year. Mr. Anderson discussed the 2024/2025 Building Division Initiatives and accomplishments. Those included an updated fixed fee permit schedule, continued cross-training in preparation for Opportunity Site, updated handouts and brochures, review of updated codes for 2026 adoption, new electrical inspection contractor, software permit flow process update, building inspector intern, continued education with DIY homeowners and contractors to make sure building codes are followed, single-family homes that convert to MDH Assisted Living facilities requires a Change of Use review (new CO) that requires Building Official review. Mr. Anderson introduced City Planner Ginny McIntosh to discuss planning and construction. City Planner Ginny McIntosh stated that the 2025 Planning Activities to date are a few building plans which include CAPI’s expansion, New Horizon Academy, two conditional use permits for O’Pretti! and New Horizons daycare, two subdivision (platting and minor subdivisions/lot splits) for CAPI and Admiral Lane, one planned unit development/amendments (PUD) which were also CAPI, one Unified Development Ordinance (UDO) amendment for cannabis, and some concept plan reviews. Ms. McIntosh stated that, as far as planning highlights go, they are still not seeing a lot of construction, and permits are way down. The Department is seeing this decline in construction everywhere, including Minneapolis. Some expansion projects along Brooklyn Boulevard, including New Horizon and CAPI, are planned for the summer. Brooklyn Boulevard Dental Clinic submitted expansion plans for next week's Planning Commission meeting, as they are looking to expand their business and invest in some property. Ms. McIntosh and Staff have met with the lenders who assumed ownership of the C. Alan development site, through the foreclosure process, has met with contractors on site, and hopes that construction will begin again on the south side of that development. Despite market conditions, she has also received calls about expanding multi-family properties in the area and some housing development proposals. Ms. McIntosh stated that their 2025/2026 initiatives include continuing to look at the UDO; it is a living document that is not a one-and-done process as far as the zoning code. The Department will implement cannabis regulations after a recently drawn lottery for the first round of cannabis licensing. Staff will be monitoring and being proactive with the “Missing Middle” legislation to 6/09/25 10 be more efficient and competitive with the development process in Brooklyn Center. Some bills did not pass, but had language that would have limited local decision-making authority. Councilmember Lawrence-Anderson asked what the “Missing Middle” legislation means, as she hasn’t followed it. Ms. McIntosh explained that it is a group of affordable housing advocates, builders, social workers, and other groups that have all come together and are pushing for more housing quicker, with fewer restrictions, and making it more affordable. The League of Minnesota Cities and Metro Cities are heavily involved and are the primary reasons nothing has passed. The Yes to Homes Coalition is a vast group organization that has been trying to push through new legislation that would remove requirements such as building material requirements and multi- family units being built in any commercial district. Some cities have been proactive in reforming their development approval processes, such as removing conditional use permits and allowing for additional routes for administrative approvals to avoid getting additional Council approval. She mentioned the City of Rochester has a lot of growth happening, and they do not have to go through the Council for approval, which lends itself to faster building. The City of Bloomington and Richfield are also following the same path, and Staff is looking into that process. Ms. McIntosh stated that Staff will start prep work on the 2050 Comprehensive Plan, which the Council will see in upcoming budgets, and to allocate money for the Comprehensive Plan. Staff will also work towards a Housing Policy Plan like the Local Affordable Housing Act (LAHA) and initiate a Home Rehab Loan Program with a tentative start date of July 1, 2025. Ms. McIntosh discussed reviewing options for their 2025 funds and when the funding amount will be determined. Right now, there is an estimated $500,000 in that fund. Staff will also explore funding options for the Housing Trust Fund adopted in 2025. Ms. McIntosh stated Staff will look at the Opportunity Site, which is not just planning but the whole Department, and look at additional opportunities for funding and development opportunities, specifically on the outside perimeter. Staff will continue to address the City Council's strategic priorities, such as the Sears site, the Target site, the Brown College site, 57th and Logan, the Opportunity Site, minimizing vacancies in retail spaces, and the build-out at Shingle Creek Crossing. Councilmember Jerzak stated that he followed the "Missing Middle" legislation very closely, and it comes down to a loss of local zoning control and increasing density with the hopes of reducing costs and red tape and delivering a product faster. Ms. McIntosh stated that some of the items the legislature would ask for regarding the "Missing Middle" legislation are things that Brooklyn Center already has, such as ADUs. She stated that it is an offensive versus defensive stance regarding City approval on building and asked if the City Council would want to do some of the things the "Missing Middle” legislation would ask for in advance or preferred to wait and see. 6/09/25 11 Councilmember Jerzak stated that he thinks the City should be proactive and noted that one of the things the legislation has eliminated is parking restrictions. There is probably a place for some of the legislative items but now is not the time to discuss all the details. He stated the City will have to consider and discuss as it comes. Councilmember Lawrence-Anderson asked about the Home Rehab Loan Program with a start date of July 1, 2025, and where information is for that program and the application process. Mr. Anderson answered that that information was unavailable; they had just signed the contract and approved its guidelines. The Department has started its contract with the Center for Energy and Environment, so the Center for Energy and Environment will run part of the program. There are two programs, the Hennepin County Rehab Program and the City LAHA-funded program with the Center for Energy, and they do the same thing. The Hennepin County Rehab Program has 400 on its waitlist. Mr. Anderson will publicize the program starting July 1 on their Department’s website and will also have information about the program on the Center for Energy and Environment’s website. Ms. McIntosh continued her presentation with their 2024-2025 Construction Activity breakdown. These projects include Wangstad Commons (December 2024), Los Campeones Gym (December 2024), Pollo Campero (March 2025), ACER Innovation and Catalyst Center (April 2025), Surly Brewing Company – Fermentation Tanks (May 2025), Icon Beauty (June 2025), MTI Distributing Expansion (Summer 2025), Oh Pretti! Events and Rentals (Summer 2025), LC Coffee Lounge (Summer 2025), Hello Fresh Distribution (Summer 2025), and Medtronic Capital Improvements with MEC Campus (Ongoing). She noted that their Department is down in building permit projection valuations, but other projects have not yet come in with their permits, so that those values will go up. Ms. McIntosh said that construction activity is down, but no one is investing or building right now if they do not have to, so the Department is not seeing a lot of building activity right now. However, that may change as the year goes on. She handed the presentation over to Economic Development Manager Ian Alexander. Economic Development Manager Ian Alexander stated that the EDA-Owned and Scattered Sites, which include 902 53rd Avenue North, 7000 Brooklyn Boulevard, and 1601 James Circle North, are being prepared with RFP materials with Economic Development Coordinator Amy Legreen to see what the market provides in the next few weeks. Mr. Alexander discussed Opportunity Site: Phase 1 (South End), and he discussed it with a developer named Bob Lux, who can finance the project. However, their challenge is that financing requires someone to mitigate the risk. Staff are working with two or three other organizations that could mitigate the risk to the developer. Due to recent legislative changes, bonding will not happen for the amount the Department wanted. The Department currently has $3 million and will stretch it as far as possible. TIF Legislation will hopefully move ahead as it is in the bill, but it will have to be structured so that they have sites that still generate income for the City. 6/09/25 12 Mr. Alexander discussed the North End of the Opportunity Site. He stated they did not move forward with the Brown College site but are looking at restructuring at the Target site for both the MOU with Minneapolis for the First Responder Regional Training Facility and putting together the Sports Facility Development plan and project. Staff are discussing site acquisition for the Sports Facility with the City Attorney shortly. He also discussed special legislation called the Opportunity Zone Bill that would provide federal and State tax incentives, and State legislation that would provide investment incentives. Mr. Alexander discussed other Economic Development projects and activities moving forward with ARPA Funds. These include Market Plaza, NEOO Phase 1 – Support City-Led development, NEOO Phase 2 Technical Assistance, and Sanders Technical Assistance Program. Staff were working with environmental consulting agencies, but funding was cut for those programs due to recent federal budget cuts. Staff are working with Brianne and Thrive on the Economic Development Growth Plan. Staff are also working with the Fortis Capital Equity Fund program to create a project similar to what the City of Minneapolis is doing to finance its commercial developments. The Department will have a functional website in the next two weeks and has been working diligently. Staff have been working collaboratively with the design group GJR Architects on several different developments and have put in money for the daylighting at Shingle Creek Crossing. Mr. Alexander stated that they support small businesses with the Equity Fund Development, the Brooklyn Center Chamber of Commerce, and other resources like the Facade Improvement Fund, the Onsight Navigator and Consultants, and BrookLynk contracted through Brooklyn Park and CareerForce Center. Mr. Alexander gave a grant update, noting that the Department has a lot of grants but has to use its money strategically and is working with Bolton & Menk to structure its infrastructure correctly and adequately. Mr. Alexander discussed the Sears site and stated he had talked to the new owners at TransformCo. The new owners at TransformCo. would like to do something with their site but are unsure what that will be. He hopes Staff and the new owners will make some decisions and announcements in the next few weeks. Mr. Alexander stated that other projects Staff are working on and making progress on include Morty’s Bark and Brew, Jumbo’s Africa, and the townhouse proposal at the 5400 block of Brooklyn Boulevard, where they are waiting on materials from Amani Construction to draft a development agreement with the City. The Department also has the C. Allen Homes Townhomes project, where lender foreclosure is complete, and lenders are seeking a new developer to complete the project; they are working with City Staff to determine outstanding work items on the project to help it move forward. Mr. Alexander noted that other projects Staff are working on are expanding the Restaurant Depot and are in discussions with the Benderson family, which owns Slumberland. The idea would be 6/09/25 13 that the Restaurant Depot would take part of the Slumberland site. The Restaurant Depot's CFO flew out and looked at the Slumberland site. There is a gap in funding that will be challenging to overcome, but they are determined to work through it. Mr. Alexander stated Staff contacted the owners of 6200 and 6300 Shingle Creek, and the owners flew up from Texas and met with a group interested in redeveloping those buildings, and the owners seemed interested. Mr. Alexander noted the Department is still working on several projects and opportunities for their 2025/2026 initiatives that include the Sports Facility, the First Responder Education and Wellness Facility, continued initiatives for phase 1 of the Opportunity Site, complete Equity Fund Structure, monitoring grant opportunities, continue small business opportunities, and the Economic Growth Plan. Mayor Pro Tem Kragness stated she appreciated the behind-the-scenes report and that things are in motion. Councilmember Lawrence-Anderson asked Mr. Anderson about the 5.8 percent 6-month provisional licenses and would like to see a comparison over the last five years. Mr. Anderson stated he could send that information to the Council. Councilmember Moore thanked Staff for their presentations and asked Mr. Anderson about terms of code enforcement and rental inspections being prioritized, doing a sweep through all the properties, and what that means. She stated the rental inspection process seems inefficient, with the Council seeing properties with 19 properties and 17 violations. She noted that Councilmember Jerzak did a synopsis of the Department before and knows he will be involved moving forward with some of that discussion. She stated in terms of code enforcement; it does not seem like Staff is making that a top priority and is there any way that all of the City Staff could report code violations as they see them instead of doing a very laborious sweep of the City. Mr. Anderson stated that as far as noting violations, Staff see violations all the time, but if Staff stopped every time, they saw one, they would not get very far in the process. For every violation Staff sees and reports, they must make a proper entry, follow the legal process, generate a letter, accept phone calls, and do a follow-up to ensure the violation has been corrected. If the violation has not been corrected, it involves multiple visits, issuing a citation, and maybe a hearing appeal with the hearing office. He stated the problem is not necessarily a violation but the process and time it takes to document everything on their end. Staff respond to all complaints within 24 hours, so those complaints are a priority for Staff. Mr. Anderson noted that as far as the sweep goes, Staff does a sweep of the City multiple times a month for grass violations, but to check for broken windows, curb violations, and the like is too time-consuming for his Staff. The Department takes one block and may write up 20 to 40 properties, and that would be a whole day's worth of work to document everything. 6/09/25 14 Councilmember Moore asked if this is the best the Department can do right now, or if the Council needs to look at changing something to make it more effective and easier for their Staff. Mr. Anderson said the Department is always looking at improvements for efficiency and is rolling out a new process for rental renewals that will require less Staff involvement. He said part of the process that takes the longest is time with customers; for example, if a property owner fails an inspection, it takes them a long time to walk them through the corrections and the process. Councilmember Jerzak thanked Staff for the comprehensive presentation. He stated that he has a lot of experience in this area and would like to provide Dr. Edwards with a direct outline of his specific questions for the Department so they can respond later. He noted that violations are a complex issue, there is a lot of time involved in documenting and fixing code violations, and that does not even consider all the grass violations in the City. He also stated that this is the only Department that funds itself, and when forecasted revenues fall short, they have large projects that cannot start, like the Opportunity Sites. He asked how close they are in their revenue projections compared to last year. Mr. Anderson stated Staff analyzed their 2024 revenue and looked at all the revenue sources that come through rental inspections, such as rental licenses, reinspection fees, citations, and building permits. Across the board, most of them were over budget except for the building permit revenue. Building permit revenue was low, which is their biggest permit fee, with businesses like CAPI's spending close to $50,000 on their permit. Councilmember Jerzak stated he appreciated that the revenues are over budget. The Council has an upcoming work session about rentals. He will look for innovative ways to protect tenants' rights to ensure rentals are well-maintained and safe while still delivering a good product to the residents. He stated that even though the City lost 173 group homes and the Staff for those group homes has been absorbed in other areas, the Council will want to know what their Department is doing to fill that vacuum and how they are utilizing that Staff. Mr. Anderson said that although the City has lost 175 group homes, licenses, and rental revenues are all overachieving their revenue streams and are projected to be high again in 2025. Councilmember Jerzak stated he was referencing Staff time. Mr. Anderson noted that rentals still take up much of their Staff time. Councilmember Lawrence-Anderson stated she appreciated having their PowerPoint in advance. Councilmember Moore asked if the City still has the Hennepin County Rehab Fund and if it is giving out any money to residents. Mr. Anderson stated that the Hennepin County Rehab Program has an allocation fund of close to $200,000. The Community Development Department has allocated $188,000 in funds in 2024 and expects its funds will be closer to $500,000 in 2025, but they do not have that official number yet. He stated that if those funds go fast, the Department will add more and discuss them with the Council. 6/09/25 15 Councilmember Moore asked when the last time was that any allocated funds were given to a Brooklyn Center resident for home improvements. Mr. Anderson said those loans come in all the time, and some of them are $30,000 loans. Councilmember Moore stated that she would like to see the specifics of those loans. Councilmember Moore asked if any ARPA funds were left and if the money had already been designated to departments within the City. Dr. Edwards noted that those funds have been allocated and accounted for. Mayor Pro Tem Kragness moved and Councilmember Jerzak seconded to accept the presentation on the Community Development Annual Report. Motion passed unanimously. 8. PUBLIC HEARINGS 9. PLANNING COMMISSION ITEMS 10. COUNCIL CONSIDERATION ITEMS 11. COUNCIL REPORT 12. ADJOURNMENT Mayor Pro Tem Kragness moved and Councilmember Jerzak seconded adjournment of the City Council meeting at 8:45 p.m. Motion passed unanimously.