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HomeMy WebLinkAbout1982 08-30 CCM Special Session i f MINUTES OF THE PROCEEDINGS 01F THE CITY COU14CIL OF THE CITY OF BROOKLYN CENTER IN THE COUNTY OF HENNEPIN AND THE STATE OF MINNESO'T'A SPECIAL SESSION AUGUST 30, 1982 CITY HALL CALL T ORDER The Brooklyn Center City Council. met in special session and was called to order by Mayor Dean Nyquist at 7 :04 P.M. ROLL CALL Mayor Dean Nyquist, Councilmembers Gene Lhotka, Celia Scott, Bill Hawes, and Rich Theis. Also present were City Manager Gerald Splinter, Director of Finance Paul Holmlund, Director of Planning and Inspection Ron Warren, City Attorney Richard Schieffer, Chief of Police James Lindsay, and Administrative Assistants Brad Hoff- man and Tom Bublitz. PUBLIC HEARING O N A PROPOSAL TO UNDERTAKi AND FINANCE A SINGLE FAMILY HOUSING PROGRAT4 UNDER MINNESOTA STATUTES CHAPTER 462C, AS AMENDED The City Manager noted that the public hearing is intended to allow public input on the $8.5 million mortgage revenue bonds proposed for the City of Brooklyp Center under Minnesota Statutes 462C. He explained the bonds are tax - exempt bonds and are not full faith and credit bonds. He stated the program will allow the City to fund first -time home buyer's mortgages through the Minnesota Housing Finance Agency Program. He explained the program will involve no hiring of new staff and that it will be accomplished on a contract basis with local lenders admin- istering the program. He explained this mortgage revenue bond program is a con - tinuing program and is available to municipalities annually. Administrative Assistant Hoffman pointed out that the application will be reviewed on September 23, 1982, and that it will comprehend $7 million in mortgage money for approximately 100 -120 mortgages in the City of Brooklyn Center for first -time home buyers who qualify. He stated his recommendation was to make application for the program and return to the Council before September 23 with a more in -depth review. He noted that N_r. Dan Nelson from the law firm of Holmes and Graven is here this evening to answer any questions that the Council might have on the project. Mayor Nyquist inquired whether the program would be entirely limited to the first t - imposed b federal explained that this restriction is i p y I on x lai e time home buyer. Mr. ,Nelson s e a,m h e Y P law but noted that 10% of the bond proceeds can go to other than first -time home buyers. Discussion continued regarding the mortgage bond program and Mayor Nyquist recog- nized Ms. Andrea Lubdov of Miller and Schroeder who reviewed the income limits established for persons qualifying for the program. She explained the funds are held for a certain period for persons with incomes under $25,000 per year. She explained that few senior citizens moving into the project would be first -time home buyers, and that the funds would be intended for the purchase of single family homes. Councilmember Theis inquired whether there was any time period for the issuance of the loans. Ms. Lubdov replied that the time period was two and one -half years to P issue the loans. 8-3a-82 -l- 4 Mr. Nelson pointed out that each year $200 million in housing bonds are issued by the state, and that the bonds must be issued by December 31 of each year. He explained the resolution this evening, if passed by the Council, would be the first step in issuing the mortgage revenue bonds. - Councilmember Hawes inquired whether there was any legal liability to the City with regard to the issuance of the bonds. Mr. Nelson replied the City has no liability with regard to payment of the bonds, and the City cannot be held liable for these obligations. He added that the City . would incur costs only in attorney fees and staff time. He explained the mortgages are assigned as security to the bondholders via a trustee, and that the City would have a con- tractual agreement between the program administrator which would be a major Tender. Councilmember Scott noted that in the memorandum received by the Council, it was stated that there would be a 3 contribution by the City. She inquired what this contribution concerned. The City Manager stated that negotiations have been taking place with the developer regarding this issue, and with the use of tax increment financing proceeds. He stated that we hope to respond to this in more detail on September 23. Councilmember Lhotka inquired what the purpose of the local- dollars would be. Ms. Lubdov of Miller and Schroeder stated that the local dollars would make the program financially feasible and explained that in order to get the bonds rated, the rating agencies must be convinced that the bonds can be paid off. She explained the MHFA regulations and criteria include a local contribution for acceptance of the application. She explained.that if the city contributes 3 the process for.the return of this to the City would be that, after the project begins to pay off in five years, the City may use these funds in other housing areas. Councilmember Hawes inquired whether there was a limitation on the sale of homes. purchased under the program. Mr. Nelson replied that those who assume the loan and anyone selling the home must also meet the income qualifications. Mayor Nyquist opened the meeting for the purpose of the public hearing on the proposal to undertake and finance a single family housing program under Minne- sota Statutes Chapter 462C as amended. He inquired if there was anyone present who would like to speak at the public hearing. No one appeared to speak, and he enter- tained a motion to close the public hearing. There was a motion by Councilmember Scott and seconded by Councilmember Hawes to close the public hearing on the proposal to undertake and finance a single family housing program under Minnesota Statutes Chapter 462C as amended. Unanimous. RESOLUTION NO. 82 -168 Member Hawes introduced the following resolution and moved its adoption: RESOLUTION APPROVING THE 1982 SINGLE FAMILY HOUSING BOND PROGRAM The motion for the adoption of the foregoing resolution was duly seconded by member Gene Lhotka, and upon vote being taken thereon, the following voted in Bill Ha es � and Rich ' t n Lhotka, Celia Scott B 1 w favor thereof: Dean N uis Gene Lh k f . r Yq Theis; and the following voted against the same: none, whereupon said resolution M' was declared duly passed and adopted. Councilmember Lhotka left the table at 7:40 P.M. PLANNING COMMISSION ITEMS PLANNING C A PPLICATION NO. 82020 SUBMITTED BY HUSSMAN INVESTMENT COMPANY AS A REQUEST TO .. 0 NE Z FROM R -1 TO R -3 TWO PARCELS OF LAND ON THE SOUTH SIDE IN REZO 0 F TIII'. $00 BLOC:c:. OF 70TH AVENUE NOF.ZII 8 -30 -82 -2- PLANN COM A PPLICA TI ON N OS. 8 and 82032 SUBMITTED BY HUSS IN VF SI. :SNT C-0-M 'ANY FOR SI TE, AND BUI LDING PLC ? AND PRELIMINARY PL AT APPROVAL FOR A 8 UNIT TOWNHOUSE PROJECT ON THE SO SIDE OF 70TH AVENUE NORTH The Director of Planning and Inspection stated that the Planning Commission applications were tabled at the August 23, 1982, City Council meeting to allow time for the applicant to submit a certified copy of the landscape plan for the project. Councilmember Lhotka returned to the table at 7:42 P.M. The City Manager noted that the public hearing on the applications had been held at the last City Council meeting. The Director of Planning and Inspection reviewed the site and building plan and parking plan for the applications and stated that the main consideration of the Planning Commission regarding the applications was the required screening. He proceeded to review the screening proposed by the applicant, and reviewed.the Planning Commission's recommended conditions of approval for Application 82031. He pointed out that condition #7 in conjunction with Application 82031 can be striken since it has been met by the applicant. He also noted that the second sentence in condition #8 can be striken since it has been met also. He proceeded to review the Planning Commission's recommended conditions for approval for application 82032 and noted that the applicant had submitted the required homeowner's association documents. There was a motion by Councilmember Scott and seconded by Councilmember Hawes to approve Application 82020 in consideration of the following: 1. The R -3 zoning classification is an appropriate land use classification for the location in question in that it is consistent and compatible with all surrounding land uses. 2. Development of the property for townhouses is in the.interest of the City,_ and the surrounding land uses, as well as the property owner by adding 8 dwelling units to the northeast neighborhood. 3. Development of the property for townhouses is"more- _consistent with a traf- fic level of up to 7,000 cars per day anticipated on 69th /70th Avenues North than single family residences in that internal driveways allow better visibility for residents to enter public streets. 4. The proposed townhouse use of the land is not considered to be inconsistent with the comprehensive plan goal that the northeast neighborhood be pre- dominantly single family detached residential in character. 5. The proposed townhouse use is consistent with the recommendations of the comprehensive plan, specifically with the land use revisions map which calls for mid- density residential development south of 70th Avenue North, east of the City Maintenance Annex, and west of the Columbus Village Apartments. 6. The property in question will bear fully the ordinance development restric- tions for the proposed zoning district whereas the R -1 zoning classification presented development problems which would have led to a less efficient use of land. Voting in favor: Mayor Nyquist, Councilmembers Lhotka, Scott, Hawes, and Theis. Voting against: none. The motion passed unanimously. 8 -3082 -3- There was a motion by Councilmernber Lhotka and seconded by Councilmember Theis to approve Application No. 82031 subject to the following conditions: ,1. Building plans are subject to review and approval by the Building Official with respect to applicable codes prior to the issuance of permits. 2. Grading, drainage, utility, and berming plans are subject to review and approval by the City Engineer prior to the issuance of permits. 3. A site performance agreement and supporting financial guarantee (in an amount to be determined by the City Manager) shall be submitted prior to the issuance of permits to ensure completion of approved site improvements. 4. An outside trash disposal, facility will be appropriately screened from view. 5. Plan approval is exclusive of all signory which is subject to Chapter 34 of the City Ordinances: - 6. B -612 curb and gutter shall be provided around all common parking and driving areas. 7. Plan approval acknowledges some vegetative screening along the opaque fencing along the southerly and easterly boundary of the site. 8. Building permits for the project will not be issued until the plat has been given final approval by the City Council and filed with the County. Voting in favor: Mayor Nyquist, Councilmembers Lhotka, Scott, Hawes, and Theis. Voting against: none. The motion passed unanimously. There was a motion by Councilmember Theis and seconded by Councilmember Scott to approve Application No. 82032 subject to the following conditions: 1. The final plat is subject to review and approval by the City Engineer. 2. The final plat is subject to the provisions of Chapter 15 of the City Ordinances. 3. Homeowner's association documents shall be subject to review and approval by the City Attorney prior to final plat approval. Voting in favor: Mayor Nyquist, Councilmembers Lhotka, Scott, Hawes, and Theis. Voting against :` none. The motion passed unanimously. RESOLUTION NO. 82 -169 Member Lhotka introduced the following resolution and moved its adoption: RESOLUTION REGARDING DISPOSITION OF APPLICATION NO. 82020 SUBMITTED BY HUSSMAN INVESTMENT COMPANY The motion for the adoption of the foregoing resolution was duly seconded by member Rich Theis, and upon vote being taken thereon, the following voted in favor thereof: Dean Nyquist, Gene Lhotka, Celia Scott, Bill Hawes, and Rich Theis, and the following voted against the same: none, whereupon said resolu- tion was declared duly passed and adopted. 8- -30 -82 -4- 4 SPECIAL EXECUTI S Mayor Nyquist noted that the next item on the agenda was the convening of the Special Executive Session. The City Manager noted that the executive session would be held in the Manager's Conference Room. Those present at the special executive session were Mayor Nyquist, Councilmeinbers Gene Lhotka, Celia Scott, Bill Hawes, and Rich Theis along with City Manager Gerald Splinter, Chief of Police James Lindsay, Director of Finance Paul Holmlund, City Attorney Richard Schieffer_, the City's Labor Relations Consultant Cy Smythe, and Administrative Assistant Tom Bub.litz. Mayor Nyquist adjourned the City Council meeting and convened the Special Execu- tive Session of the Council. l er Mayor/ h 8 -30 -82 -5-