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HomeMy WebLinkAbout1995 02-21 CCM Special Work Session MINUTES OF THE PROCEEDINGS OF THE CITY COUNCIL OF THE CITY OF BROOKLYN CENTER IN THE COUNTY OF HENNEPIN AND THE STATE OF MINNESOTA SPECIAL WORK SESSION FEBRUARY 21, 1995 CITY HALL COUNCIL CHAMBERS CALL TO ORDER The Brooklyn Center City Council met in special work session and was called to order by Mayor Myrna Kragness at 7:07 p.m. ROLL CALL Mayor Myrna Kragness and Councilmembers Debra Hilstrom and Kathleen Carmody. Also present were City Manager Gerald Splinter, Director of Public Services Diane Spector, Finance Director Charlie Hansen, Director of Community Development Brad Hoffman, Community Development Specialist Tom Bublitz, and Council Secretary Barbara Collman. Councilmember Barb Kalligher arrived at 7:32 p.m. Councilmember Kristen Mann was excused from tonight's meeting. REVIEW OF STATUS OF BROOKDALE TEN APARTMENTS The Community Development Specialist explained a development concerning the Brookdale Ten Apartments. There is an individual who is in the process of buying the three -story, 310 - unit apartment complex. The prospective buyer was initially prepared to purchase and rehabilitate the property independently. He has now become aware of the condition of the property, including a deteriorated roof which has led to water damage to the extent of the third floor being caved in. He has decided to apply for funding of $700,000 through the HOME program, which is a federal funding program which can be used for rehabilitating apartments. The HOME program is less likely to approve the application without assurances of commitments from the City, most likely in the form of a financial involvement (10 percent suggested). It is also possible the HOME program will deny the application for other reasons. The City Staff has investigated the prospective buyer and is comfortable with the level of work he has done on similar projects in other communities. However, the Community Development Specialist expressed a concern if the City offers funding the current owner of the property will receive financial gain as a direct result of the action. 2/21/95 - 1 - The Community Development Specialist further stated the City will begin a focused code compliance effort regarding the property if the purchase is not accomplished. There was a discussion of the factors between the members of the Council and the members of Staff. I Councilmember Hilstrom asked how the property has reached its current condition in light of City policies and licensing requirements. Multi- property licenses are renewed every two years. The deterioration of this property has accelerated since the last license was issued. The Director of Community Development explained enforcement is approached unit by unit and each process takes an extended period of time. The property will need to be brought into compliance by the new owner. The assessed value of the property is $4,185,000. The City's financial commitment, if approved, would be in the form of a loan in conjunction with the county. The money could be allocated from CDBG funding, which is normally used for other types of projects. A concern is a financial involvement by the City would give the appearance of a partnership and the public would hold the City responsible for any concerns. On the other hand, a financial involvement would give the City some say in the project details. If the City were to commit to supporting the HOME program loan, it would not be obligated for the money if the application were rejected. There is a possibility there could be other buyers for the property, but it might be wise to accommodate a willing buyer. If the property is not sold, the City could be in a court battle with the present owner over code enforcement. The City will be spending money one way or the other. The deadline for the application to the HOME program is March 10, so an action needs to be determined. The City Manager noted the City has not taken similar actions in the past and should be cautious of setting a precedent. Councilmember Kalligher arrived from School District #286 Community Education meeting at 7:32 p.m. The Director of Community Development stated the Council could indicate support of the project without offering financial involvement. City funding would be difficult to budget. The City Staff is reluctant to recommend a financial commitment to the project. Mayor Kragness stated the City should indicate its support of the project but note it is unable to allocate funding due to a concern regarding benefit to the present owner. The City should approve funding by the HOME program, but not the use of City money. She further stated the Council should continue to pursue its stated program and purposes. The Council agreed with this approach. 2/21/95 -2- DISCUSSION OF CO -OP NORTHWEST COMMUNITY HOUSING DEVELOPMENT ORGANIZATION (CHDO) There was an explanation of the City's position regarding the CO -Op Northwest Community Housing Development Organization (CHDO). There have been recent comments from the CO -Op Northwest Community Housing Revitalization Committee regarding use of CHDO funding. g The City is part of the organization but has been inactive. If a particular project fits the parameters of the program, application will be made. However, the program's requirements to date have demonstrated they demand a great deal of administrative time in relation to the results produced. The program is a good reserve but the City prefers to pursue its own redevelopment program which is more easily administrated. The Council agreed with the City Managers explanation and discussion. Mayor Kragness asked the City Manager to communicate to the CO -Op Northwest Community Housing Revitalization Committee the City's awareness of the program but its desire to pursue its own policy. The City Manager agreed. STATUS OF HENNEPIN COMMUNITY WORKS PROJECT The City Manager described a project which has been developed by the Hennepin Community Works Program. The project involves the Humboldt Avenue corridor. The project proposes to buy houses along both sides of Humboldt Avenue. The community has expressed concern because the school district would lose income from the 70 or so properties. School district aid is assessed on a per - student basis. In further explanation of the project, the City Manager stated funding on the part of the City may be required. The result of the project would be a powerful statement in terms of redevelopment. More information on the project is expected. The county is also looking for a state funding mechanism. Staff recommends the Council ask the Housing Commission, Planning Commission, and the Earle Brown Neighborhood Committee to hold neighborhood meetings at this early stage. Staff would talk to the school district for input. Councilmember Kalligher said the project would benefit North Minneapolis but not Brooklyn Center. The area is not a particularly blighted area. Residents would be forced to move, possibly out of the City, and the tax base would be disrupted. There are many nice homes and the residents do not want to move. Councilmember Hilstrom noted some residents are concerned the project will provide a raceway from Minneapolis to Brooklyn Center. 2/21/95 -3 - Mayor Kragness stated the Planning Commission and the Housing Commission should both be involved in considering the project and ascertaining public opinion with the Planning Commission hosting the meetings as they have the authority to hold public hearings. The Earle Brown Neighborhood Advosiry Committee is also to be included in the meetings. The Council will be notified of neighborhood meetings. DISCUSSION OF MODIFICATION OF ADULT ENTERTAINMENT ORDINANCES The City Manager stated it is the Staff's recommendation the Council pass a moratorium to allow study time. He explained the process required. The Director of Community Development said the Council will be asked for three actions at its next meeting: A resolution calling for a moratorium; an emergency ordinance to take immediate effect; and a permanent moratorium ordinance. It was noted that the City will have to provide an area where such businesses could exist. He recommended structuring the ordinance so Brookdale will be the only place. The City Council agreed with the recommendations. DISCUSSION OF TEAM BUILDING /GOALS SETTING PROCESS The City Manager recommended a local facilitator be scheduled to meet with the Council within the next 35 to 40 days. Extra meetings will be required. Councilmember Kalligher asked whether the Council could "brainstorm" without a facilitator. The City Manager stated it could be considered but usually a non - involved facilitator is very helpful. Mayor Kragness recommended the Council first attempt the process without a facilitator. If not successful, a facilitator can then be hired. CONTINUED DISCUSSION OF POSSIBLE 1995 BOND ISSUE The Director of Public Services said the Council will be asked, at its next Council meeting, to authorize the drafting of questions for the survey, to authorize the selection of an architect, and to formalize a task force and take applications for it. The City Manager outlined the timeline for the bond issue, including dates. The issue would come to a vote at the first of September 1995. Mayor Kragness asked whether the current buildings were constructed with a consideration of expansion in the future. The City Manager said they were not. The police department did not anticipate the quantities of clerical needs, civilian programs, and investigation needs which are necessary. 2/21/95 - 4 - There was a discussion concerning the process of appointing citizens to the task force. It was determined the positions would be advertised and applications received prior to a decision being made on the number to be appointed. The City Manager said the positions will be advertised with no designations. He urged the Council to recruit interested and committed applicants. Councilmember Kalligher asked whether the appointment process in general could be revamped. The City Manager said it will be within the next six months. Councilmember Hilstrom stated the questions on the bond issue should focus on the police department rather than the civic center, which is a luxury item. REVIEW OF QUESTIONS RAISED AT LEAGUE OF MINNESOTA CITIES NEWLY ELECTED OFFICIALS CONFERENCE The City Manager pointed out a Memorandum in which he had addressed questions. Councilmember Hilstrom stated the questions had been adequately answered and she required no further discussion concerning them. Councilmember Carmody asked whether the City allows beer in the fire halls. The City Manager said there has not been beer in the fire halls in the last twelve months at least. DISCUSSION OF COUNCIL BUDGET REVIEW PRIORITIES PROCESS The City Manager stated last year's budget process did not seem totally satisfactory. Councilmember Kalligher asked whether the Council could receive copies of the requests j which come in from the various City departments. The Councilmembers may wish to be involved in the initial decisions of what items are presented on the budget. The City Manager said it would be a great number of documents but they are available. The City Manager asked the Council to provide suggestions concerning the budget process as they are formulated. j Councilmember Hilstrom expressed concern the combination of tax increases, a bond issue, and school district increases will be formidable to residents. There should be caution concerning the details of the bond issue. Councilmember Kalligher commented the City's services are a bargain at approximately $20.00 per month. Councilmember Carmody noted residents are only aware of taxes in general and do not differentiate between city, county, and federal taxes. 2/21/9 -5 - OTHER BUSINESS Councilmember Hilstrom asked about several information articles in the League of Minnesota Cities' Bulletin. First, she asked whether the City will be applying for COPS grants. The City Manager said he would check on the issue. Next, Councilmember Hilstrom mentioned proposed salary freeze legislation. Councilmember Kalligher pointed out the City Manager had taken a voluntary freeze in salary two years ago and he at this time would be the only employee impacted. Third, Councilmember Hilstrom asked how the City will be affected by the apartment tax classification. The Finance Director said the tax burden would be shifted onto residential homes and commercial properties. The City Manager said the shift would mostly be to Commercial/Industrial properties. Councilmember Hilstrom also mentioned a suit against a tobacco company. Councilmember Carmody asked about police union negotiations. The City Manager stated an executive session will be held at 6:30 p.m. next Monday, February 27, 1995, to discuss litigation strategies. An impasse has been declared and binding arbitration is scheduled with a state mediator and a future executive session would have to be scheduled to consider the police negotiations. ADJOURNMENT Mayor Kragness adjourned the Brooklyn Center City Council at 8:43 p.m. Deputy City Clerk Mayor Recorded and transcribed by: Barbara Collman Timesaver Off Site Secretarial 2/21/95 - 6 -