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CC SUM 2017 09 11 CHANHASSEN CITY COUNCIL REGULAR MEETING SUMMARY MINUTES SEPTEMBER 11, 2017 Mayor Laufenburger called the meeting to order at 7:00 p.m. The meeting was opened with the Pledge to the Flag. COUNCIL MEMBERS PRESENT: Mayor Laufenburger, Councilwoman Tjornhom, Councilman McDonald, Councilwoman Ryan, and Councilman Campion STAFF PRESENT: Todd Gerhardt, Kate Aanenson, Paul Oehme, Todd Hoffman, Greg Sticha and Roger Knutson PUBLIC PRESENT: Janelle Hubeny 7234 Pontiac Circle Fred & Angie Bialczyk 310 Sinner Circle Arlis Bovy 7339 Frontier Trail Justin Bikers 512 Laredo Lane Charles & Julie Littfin 7609 Laredo Drive Paul Sustman 590 Broken Arrow Dennis L. Krill 7613 Laredo Drive Sharon L. Eischens 7613 Laredo Drive Cindy MacDonald 4210 W. Old Shakopee Road, Bloomington Judy Schmeig Box 397, Chanhassen Cori Wallis 1848 Valley Ridge Trail Kay Roalstad 513 Laredo Lane Robert Welliver 403 Del Rio Drive Nicole Nejezchleba 2851 No. Manor Road Vicki Ernst 840 Cree Drive Tony Wichterman 770 West Village Road Rolland Neve 7635 Nicholas Way Kristyn Vickman 1535 Hemlock Way Lita Cantin 6694 Nez Perce Drive Michael Clause Chanhassen Lynne Smoltle ? Rebecca Pederson 503 Laredo Lane Caroline Camp 7241 Sierra Court Michael Leonard 8129 Stone Creek Drive Randy Cantin 6694 Nez Perce Drive Don & Judy Leivermann 7003 Cheyenne Trail Kurt & Mary Braun 900 Hiawatha Drive City Council Summary – September 11, 2017 Kevin Crystal 940 Saddlebrook Curve Wendy & Pete Pemrick 92541 Kiowa Trail Mary Hughes 2741 Sandpiper Trail Erick Hays 2810 Sandpiper Trail Barbara Coldagelli 7265 Pontiac Circle Ann & Bryan Qualley 7605 Laredo Drive Ann Page 10 Hill Street Barb Nevin 6361 Minnewashta Woods Drive Ben Jeffrey 6361 Minnewashta Woods Drive Ron Kramer 1022 Pontiac Lane Kathy Kladek 6321 Minnewashta Woods Drive Cindy Kelley 6331 Minnewashta Woods Drive Lenora Lemke 6781 Redwing Lane Theresa Hefel 7591 Chippewa Trail Mack Titus 2747 Century Trail Roberta Fernandez 7478 Saratoga Drive Robert Bajorek 7015 Dakota Avenue Betty Schmeig 7610 Kiowa Avenue Beth Ann Leonard 950 Saddlebrook Curve PUBLIC ANNOUNCEMENTS: Mayor Laufenburger invited all residents to attend the 2040 th Comprehensive Plan Open Houses being held on Wednesday, September 13 from 6-8 pm at the th Chanhassen Library and on Thursday, September 14 from 6-8 pm at the Chanhassen Recreation Center. CONSENT AGENDA: Councilman McDonald moved, Councilwoman Tjornhom seconded to approve the following consent agenda items pursuant to the City Manager’s recommendations: 1. Approve City Council Minutes dated August 28, 2017 2. Table Adoption of Parks and Recreation System Plan. 3. Approval of Retail On-Sale Intoxicating Liquor Sales for Off-Premise Consumption for Buy Chanhassen’s “Night on the Town” on Thursday, September 21, 2017. 4. Approve Temporary On-Sale Liquor License for St. Hubert Catholic Community’s Taste of St. Hubert Harvest Festival on September 30, 2017. All voted in favor and the motion carried unanimously with a vote of 5 to 0. VISITOR PRESENTATION: Nicole Nejezchleba, 2851 North Manor Road, along with 8 of her neighbors, discussed the Minnewashta Manor Road construction project in their 2 City Council Summary – September 11, 2017 neighborhood and asked that due to the delay in construction that assessments be delayed as well. PUBLIC HEARING: MODIFICATION TO THE REDEVELOPMENT PLAN FOR THE DOWNTOWN CHANHASSEN REDEVELOPMENT PROJECT AREA AND THE ESTABLISHMENT OF TAX INCREMENT FINANCING DISTRICT NO. 11: ADOPT RESOLUTION APPROVING REDEVELOPMENT PLANS; APPROVE CONTRACT FOR PRIVATE REDEVELOPMENT BETWEEN THE EDA AND CHANHASSEN FRONTIER, LLC; AND APPROVE SPECIAL ASSESSMENT AGREEMENT WITH CHANHASSEN FRONTIER, LLC. Todd Gerhardt presented the staff report and reviewed how tax increment financing districts operate. Representing the applicant United Properties, Rick McKelvey outlined how the tax increment financing is a great tool for redevelopment of this property. Mayor Laufenburger th opened the public hearing. Judy Schmeig, 200 West 77 Street stated there wasn’t a need for another grocery store and asked for clarification on how many years this property has been in a TIF district. Rolland Neve, 7635 Nicholas Way explained that he was exercising his First Amendment right to petition the government for redress of grievances questioning the impact this project would have on the school system, increased tax burden, and the lack of integration of this project into the long term plan that the City has funded. He presented a petition with over 700 signatures opposing the project. Tony Wichterman, 770 West Village Road discussed 5 points pertaining to taxes increasing, overwhelming the schools, overflow parking on neighborhood and city streets, traffic congestion, and asked that this project be postponed until the 5 information disclosure requests he presented to the City of Chanhassen are answered. Don Leivermann, 7003 Cheyenne Trail asked if the apartment project will include Section 8 housing now or in the future. Michael Leonard, 8129 Stone Creek Drive discussed the impact on taxes and explained his confusion over having to use TIF money to get this project done when Chanhassen is ranked 2 or 3 in the nation and development will come. Cindy McDonald, 4210 West Old Shakopee Road in Bloomington, representing Kraus-Anderson Companies as an agent and representative for the company, stated support for the project. Mack Titus, 2747 Century Trail discussed that he recently moved to Chanhassen from Huntley, Illinois, population about 26,000, where he was victimized by 2 TIF districts. Roberta Fernandez, 7478 Saratoga Drive, having recently moved to Chanhassen from Florida, discussed the effects of growth she witnessed in Florida and her personal experience of owning a business in Chanhassen and having to relocate to Eden Prairie. She questioned the inequity of how her home is taxed compared to the Frontier Building. She expressed concern with traffic and asked the council to consider what their vision is for the city. Michael Brindisi, President and Artistic Director with the Chanhassen Dinner Theater stated his support for this project and noted that quite a few of the actors were excited that Aldi’s was going to be located here. Paul Sustman, 590 Broken Arrow Road asked about the height of the apartment building and the possibility of Section 8 housing in a high density situation. Pat Fitzsimmons, 7400 Chanhassen Road asked the City Council to vote no on the TIF proposal and wait until the downtown vision study is completed. Robert Bajorek, 7015 Dakota Avenue asked why a grocery store, and specifically Aldi was chosen for this location. 3 City Council Summary – September 11, 2017 Frank Ernst, 840 Cree Drive discussed that the common theme among people he has talked to in the past has been, do the residents matter? Tom Devine, 7640 South Shore Drive discussed the extension of Highway 101 north being included in the TIF district boundaries and risks associated with funding from the State Legislature. Betty Schmeig, 7610 Kiowa Avenue asked about the possible need for a new fire truck to service the 6 story apartment building and the impact on the schools. Lita Canton, 6694 Nez Perce Drive explained it was the residents of Chanhassen’s Constitutional rights to disagree with the redevelopment of this property and the possible strain on the sheriff’s department. Mark Page on Hill Street asked the council to have the courage to trust what the people who put them in office are asking them to do. Ron Kramer, 1022 Pontiac Lane discussed how subsidized housing operates and a concern with the number of parking stalls associated with this project. Janelle Hubeny, 7234 Pontiac Circle congratulated the City Council members for receiving the Voice of the People Awards in Built Environment, Natural Environment, Recreation and Wellness and Safety before voicing concern with safety, concerts in the park, and traffic after this project is built. Beth Ann Leonard, 950 Saddlebrook Curve asked what the City’s vision is to make Chanhassen unique. Charles Littfin, 7609 Laredo Drive, having lived in Chanhassen since 1960, stated that this town has been pretty much destroyed and what is being proposed breaks his heart. Laurie Susla, 7008 Dakota Avenue voiced concern with the effect the apartment building will have on the schools, the documentation in the packet does not show the number of people who oppose this project, how many people can live in an apartment and how that is enforced, and clarification on the need to upgrade Market Boulevard. Vicki Ernst, 840 Cree Drive, speaking as a past Chanhassen City Council member for 8 years, the goal at that time was to keep the small town feel of Chanhassen and asked the council to listen to the citizens. Rolland Neve reviewed the Constitution of the United States and how it relates to Section 8 housing. Kristyn Vickman, 1535 Hemlock Way explained that as the meeting was progressing 62 more people had signed the online petition. Mayor Laufenburger closed the public hearing. There was a short recess at this point in the meeting. Councilwoman Ryan reviewed highlights of her “Tale of Two Timelines” presentation detailing the timeline for the Downtown Vision Study in relation to the Venue/Aldi development prior to making a motion. Councilwoman Ryan moved, Councilman Campion seconded that the City Council table the TIF vote until the City Council meeting on December 11, 2017 with direction to have a completed vision study which includes public comment. Councilwoman Ryan and Councilman Campion voted in favor. Mayor Laufenburger, Councilman McDonald and Councilwoman Tjornhom voted in opposition. The motion failed with a vote of 2 to 3. After comments and discussion by council members the vote on the following motion was made. Resolution #2017-61: Councilman McDonald moved, Councilwoman Tjornhom seconded that the Chanhassen City Council adopts Resolution 2017-61 Approving Modification to 4 City Council Summary – September 11, 2017 the Redevelopment Plan for the Downtown Chanhassen Redevelopment Project Area and Tax Increment Financing Plan No. 11 and; approve the contract for Private Redevelopment by and between the Chanhassen Economic Development Authority and Chanhassen Frontier, LLC and; approve the Public Improvement and Special Assessment Agreement with Chanhassen Frontier, LLC. Mayor Laufenburger, Councilman McDonald and Councilwoman Tjornhom voted in favor. Councilwoman Ryan and Councilman Campion voted in opposition. The motion carried with a vote of 3 to 2. (There was a short recess at this point in the meeting.) COUNCIL PRESENTATIONS. Councilman McDonald provided an update on the Chanhassen Red Birds season. Mayor Laufenburger congratulated four members of the Red Birds that were named to the All Tournament Team. ADMINISTRATIVE PRESENTATIONS. None. CORRESPONDENCE DISCUSSION. None. Councilman McDonald moved, Councilwoman Tjornhom seconded to adjourn the meeting. All voted in favor and the motion carried unanimously with a vote of 5 to 0. The City Council meeting was adjourned at 10:40 p.m. Submitted by Todd Gerhardt City Manager Prepared by Nann Opheim 5