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11-10-08 HRA Special Meeting . AGENDA GOLDEN VALLEY HOUSING AND REDEVELOPMENT AUTHORITY Special Meeting Golden Valley City Hall 7800 Golden Valley Road Monday - November 10,2008 6:30 pm Golden Valley City Council Chambers PaQe 1. Roll Call 2. Approval of the Minutes - October 14, 2008, Regular Meeting and Workshop 11~12 3. Redevelopment Plan for Douglas Drive Corridor Redevelopment Project Area 42 A. PUblic Hearing on Adoption of Plan B. Approve Resolution 08~03 Resolution Adopting the Redevelopment 43~51 Plan for Douglas Drive Corridor Redevelopment Project Area .. Tax Increment Financing (Redevelopment) Douglas Drive District No.1 within the Douglas Drive Redevelopment Area 52 Private Development Agreement for Real Property East of Douglas Drive and North of Golden Valley Road to United Properties Residential, L.L.C. for Development of Senior Housing A. Joint Public Hearing on Establishment of Tax Increment Financing Plan and Private Redevelopment Area. B. Continues Public Hearing until Tuesday, November 18, 2008. 5. Adjournment . . . . REGULAR MEETING OF THE HOUSING AND REDEVELOPMENT AUTHORITY October 14, 2008 Pursuant to due call and notice thereof, a regular meeting of the Housing and Redevelopment Authority of the City of Golden Valley, Hennepin County, Minnesota, was held at 7800 Golden Valley Road in said City on October 14,2008, at 6:30 pm, in the City Council Chambers. The following members were present: Chair Paula Pentel and Commission. Freiberg, Linda Loomis, De De Scanlon and Robert Shaffer. Also present w Director Thomas Burt, HRA Attorney Alan Barnard, Assistant HRA Director Finance Director Sue Virnig and Administrative Assistant Christine Columb Approval of the Minutes MOVED by Loomis, seconded by Shaffer, and motion carried t July 8, 2008 regular HRA meeting. Approval of Bills MOVED by Freiberg, seconded by Loomis and bills as submitted, reimbursing City expenditur nanimously to approve the Loomis stated that the financial obligatio services of bonds and not for current 1.21 was for payment on debt Receive and File October Fina MOVED by Loomis, seconded Financial Reports. .on carried to receive and file the October Dou las Drive U ated that a number of the commissioners were actively uglas .ve study and the update was mainly for those members who . e study. nning workshop was held for community members and common themes articipants were: pedestrian and bike safety, attention to the visual appeal 0 et, input and guidance of future development and redevelopment of the old Denny's or Homesteader site. The citizens have been engaged in the study and a robust web site has been developed to keep the community updated. An open house will be held in December or January. Loomis commented that the task force has no chairman and suggested the Vice Chair of the HRA serve in this function. I~ Regular Meeting of the Housing and Redevelopment Authority October 14, 2008 Page 2 Other Business . MOVED by Loomis, seconded by Scanlon, and motion carried to nominate Commissioner Freiberg for Chairperson of the Douglas Drive Advisory Board. Adiournment to Special Workshop The meeting was adjourned to the work session following the Council/Manager Meeting at 6:38 pm. The meeting was reconvened in a workshop session at 8:55 pm. The Council suggested chang them an updated draft prior in ted that staff one areas, two of reviously discussed n Valley Road. Staff improvements on the east Luce Line Trail. . S ecial Worksho on Dou las Drive Redevelo ment Area and Tax Inc Financing CTIF) District Plans Jeanne Andre provided an overview of materials included in the age reviewed the proposed timetable and the suggested a Special H November 10 to consider the Redevelopment and TIF Financin is recommending a change in the Douglas Drive Redevelopmen discussed at the last HRA meeting. The proposal in the pa . which are between Duluth Street and Golden Valley Road and a new Area A-3, which is the Center Point prope recommended the addition of this parcel to allow for side of Douglas Drive all the way from Duluth St A map of the new proposed TIF District wa explained that the TIF District would be Applewood Pointe project as well as t offered to provide a map of the Dis ded in the agenda packet. Staff I of the parcels in the proposed and railroad right-of-ways and issioners. elopment Plan and asked staff to send Adiournment Paula Pentel, Chair A Christine Columbus, Administrative Assistant . Jeanne Andre, Assistant HRA Director I I . hlley Memorandum Housing & Redevelopment Authority 763-593-8002/763-593-8109 (fax) 7800 Golden Valley Rd. Golden Valley, MN 55427 763-593-8014 Date: November 7, 2008 To: Housing and Redevelopment Authority Commissioners From: Jeanne Andre, Assistant Director Through: Thomas D. Burt, Director Subject: Redevelopment Plan for Douglas Drive Corridor Redevelopment Project Area The City of Golden Valley, through its Douglas Drive Advisory Board, has studied the Douglas Drive Corridor and suggested that public involvement in redevelopment of public infrastructure and land uses along the corridor would enhance the community. An initial step . to focus such involvement is the creation of The Redevelopment Plan for Douglas Drive Corridor Redevelopment Project Area to identify a geographic area, statutory authority, principles, goals, objectives and policies that would provide the framework to consider specific projects that would collectively redevelop the corridor. The attached draft The Redevelopment Plan for Douglas Drive Corridor Redevelopment Project Area was prepared for consideration of the Housing and Redevelopment Authority. The process to adopt a redevelopment area includes: . HRA holds a public hearing, approves The Redevelopment Plan for Douglas Drive Corridor Redevelopment Project Area and recommends its adoption to the City Council; . Plan is forwarded to the Planning Commission to assure it is compatible with the Comprehensive Plan; and . City Council holds a public hearing, consider adoption of the Plan. The HRA Public Hearing on the attached Douglas Drive Redevelopment Plan was called for Monday, November 10, 2008. The HRA should hold the public hearing and determine if it will approve the Plan and recommend its adoption to the City Council. . '-I; Resolution 08-03 November 10, 2008 Commissioner ------------------introduced the following resolution and moved its adoption: . RESOLUTION ADOPTING THE REDEVELOPMENT PLAN FOR DOUGLAS DRIVE CORRIDOR REDEVELOPMENT PROJECT AREA BE IT RESOLVED by Housing and Redevelopment Authority of the City of Golden Valley, Minnesota (the "Authority"), as follows: 1. Proiect Plan Review. The Authority has reviewed the Redevelopment Plan (the "Project Plan") for the Douglas Drive Corridor Redevelopment Project Area (the "Redevelopment Project") , which is attached hereto as Exhibit A. 2. Adoption. The Project Plan is hereby adopted, subject to approval by the Planning Commission and the City Council as provided in Section 4, based on the findings in Section 3 hereof. 3. FindinQs for Approval of Proiect Plan. The Authority hereby makes the following findings: 3.01. The Project Plan proposes that the Authority undertake certain redevelopment activities for the purpose of encouraging redevelopment of properties in the Redevelopment Project. 3.02. The land in the Redevelopment Project would not be made available for development without the financial aid to be sought since private developers could not economically develop the Redevelopment Project without the proposed redevelopment activities. . 3.03. The Project Plan will afford maximum opportunity, consistent with the needs of the City as a whole, for the redevelopment of the District by private enterprise. The redevelopment activities contemplated in the Project Plan would help to retard blight in the Redevelopment Project and provide an increase in employment and housing opportunities in the City and enhance the tax base of the City and overlapping taxing jurisdictions. 3.04. The redevelopment activities proposed by the Project Plan conform to the general plan for the development or redevelopment of the City as a whole. The redevelopment activities are compatible with the City's zoning ordinances and other related regulations and encourage efficient use of existing infrastructure as set forth in the City's Land Use Plan. 3.05. The Project Plan provides an outline for the development or redevelopment of the area and is sufficiently complete to indicate its relationship to definite local objectives as to appropriate land uses and to indicate general land uses and general standards of development or redevelopment. 4. Transmittal. The Authority does hereby transmit the Project Plan to the Golden Valley Planning Commission to affirm the findings of the Authority in Section 3.04, and to . Golden Valley City Council for approval after the same has been considered by the Council Lf} . . . subsequent to a public hearing to be held in accordance with Minnesota Statutes, Chapter 469. 5. FilinQ. Following approval by the City Council, the Director is hereby authorized and directed to file the Project Plan with the Commissioner of the Minnesota Department of Revenue and the Office of the State Auditor pursuant to Minnesota Statutes, Section 469.175, subdivision 4a. Paula Pentel, Chair ATTEST: Thomas D. Burt, Director The motion for the adoption of the foregoing resolution was seconded by Commissioner and upon a vote being taken thereon, the following voted in favor thereof:, , and ; and the following voted against the same: none, whereupon said resolution was declared duly passed and adopted, signed by the Chair and his signature attested by the Vice Chair. 4'( Exhibit A . Redevelopment Plan for Douglas Drive Corridor Redevelopment Project Area . Consideration bYbl~~sin_iand Redevelopment Authority: Resol4tion 08-03, adopted Consideration byPlanni..... Commission: Considerati(\)n by City C(',)uncil: . ..,.5 . . . Redevelopment Plan for Douglas Drive Corridor Redevelopment Project Area Section 1. Introduction As part of a goal-setting session in 2006 the City Council identified Douglas Drive (CSAH 102) as a primary area of concern for the future of the City. As part of the 2008 update of the Comprehensive Plan, the City again identified the Douglas Drive Corridor from Medicine lake Road (CSAH 70) to Minnesota Trunk Highway (TH) 55 as a priority for further study. There is significant through traffic from communities to the north and the mixture of land uses along the corridor in Golden Valle adds even more traffic. The volume of traffic combined with limited public right-of-w ailable for expansion will present challenges to improving this corridor and itsp infrastructure. Traffic is heavy along the corridor due to its designation bY~~lln$~iQ.County as a minor arterial corridor. Its mixture of land uses including sin~I~.~family, m~t~!Ffamily, offices, retail, schools, churches and industrial uses, som~ig~Which are blig~t~d, could through redevelopment, become a more vibrant, int~gfated community. . The initial focus of redevelopment will be the$@~t side gfpouglas Dri~~petween Duluth Street (CR 66) and the Union Pa2ific Railroad rig~ko y. The City de~.i~~$ to look at this area in a comprehensive maQ~~r'iThe existing. se is a mixture of low-and-high density housing, some relatively neVY and.$ome blig as well as office, commercial and industrial uses. Section 2. Statel'l1~l'lt<>f~eed an~ pUl:)n~R}!4~pose~ Statutory Authorization ..ii. ...i..ii }.....}..........>./)..... ...... The Authority finds thCil!there is> need for (I~yelopment within the City and the Project Area in order to provide~'Jlploi }m}~nd ho~~rg opportunities, to improve the local tax base, an?t~i'Jlpr~y: theg~n~raleGqn~rnY of th~} City and the State. The economic securi~~f:the peopl~iip the~i~.dependsUpQnproper development of property that meetsarlY one of a nUn'lp~r ofc~n~itions, including properties whose values are too low to pay for the public servi~~ requif'eq or rendered and properties whose lack of use or improper uSEl.has resultedi1'l.~tagnantQr unproductive land that could otherwise contribute to the public healtti{~afety, and welfare. The Authority findsth~t in m~r1Y cases such property cannot be developed without public participation anq nee in various forms including property acquisition and/or write-down, proper plan ,the financing of development costs associated with clearance, grading and soils correction, and the making of various other public and private improvements necessary for development. In cases where the development of property cannot be done by private enterprise alone, the Authority believes it to be in the public interest to consider the exercise of its powers, to advance and spend public money, and to provide the means and impetus for such development. The Authority finds that in certain cases property within the Project Area would or may not be available for development without the specific financial aid to be sought, that the Redevelopment Plan will afford maximum opportunity, consistent with the needs of the City as a whole, for the development of the Project Area by private enterprise, and that 1 I./~ this Redevelopment Plan conforms to the general plan for the development of the City as a whole. It is the intention of the Governing Body, notwithstanding the enumeration of specific . goals and objectives in the Redevelopment Plan, that the Authority shall have and enjoy with respect to the Project Area the full range of powers and duties conferred upon the Authority pursuant to the HRA Act, the TIF Act, municipal housing and redevelopment authority laws, and such other legal authority as the Authority may have or enjoy from time to time. The HRA Act authorizes the Authority to exercise all the p~Y"ers relating to.a housing and redevelopment authority granted under Minnesota~t~~utes, Sections 469.001 to 469.047, or other law. Section 3. Background When Douglas Drive was initially construct7<;i, the surroundingl~pd uses were more rural in nature. Now a number of major errlplQyers including Hon~ywell, United Health Care and Tennant Company have a signifieant presence in the corri~gr and the average daily traffic on various sections of the corridor in<:3olderJ\t'~lIey rangeff~rn 10,000 to 14,000 vehicle trips per day. The presence of nUJTl~rg~~schools (Sandt)~rg Middle School, King of Grace Lutheransef1~()I.and Perpich/~~hool of Performing Arts) and recreational facilities (Sandburg fieJcf~,F'lgn~ywell Littl~/~~ague field, Seeman and Hampshire Parks, and the Three Ri~(~ Lu~~~i.rJe Trai1)tpJhe corridor increase the need for improved safety fQr non-moto~j~ed tran~RQrtatiom The Three Rivers~~rk DistriCt<~s constF'~~l~<~portiQn~f the Luce Line Trail through . Golden Valley that will9onnectF(ench Pari<.io Plymouth with Wirth Park in Minneapolis. At the present time thef~>~re nets.~fe north-s~~th connections to this trail for bikers and pedestriarJ~'lrJ~r<;i~r to imprg~~the~~~gnnections Golden Valley received funding througntryeNon4\t1()terized T~~nsportation,4.8t to study this corridor and plan for future improv~rnents to pede~l~i~n, bi9~<;le and transit connections in this corridor. The Principlellifpr this studYa~eoutline<;il;>elow. Section 4. P~inciples 1. Improve conrj~.c:tivity an~functionality for all transportation modes. Douglas Drive, which is ~la~sifiedCl~a county state-aid highway in the Hennepin County Transportation Plan~n<;i minor arterial road in the City's Comprehensive Plan, has historically focused ol1m6torized vehicles. Traffic volume has increased significantly over the years as has the need for better, safer pedestrian and non-motorized transportation and transit options. Intersection improvements at Highway 55 / Douglas Drive and other key major and minor intersections within the corridor are critical to safer and improved movement for pedestrians, non-motorized and vehicular traffic in the corridor. 2. Enable the corridor to maintain a diverse mix of land uses, including residential, commercial and industrial. A mix of activities, uses and densities will help to sustain the corridor through changing economic cycles, consumer . 2 '-17 . . . preferences and housing trends. Clustered and mixed uses can create synergies, increase transit use and enhance the level of pedestrian activity. 3. Maximize integration rather than separation of land uses, where appropriate. Many land uses can benefit from increased integration with one another, including neighborhood-serving retail, multi-family and senior housing, offices, and low-impact services. Non-residential corridor uses should be buffered from adjacent residential neighborhoods. 4. Maintain the corridor as an employment center. Jobs within the corridor help maintain Golden Valley's jobs-housing balance while~~~taining commercial enterprises. Retaining 'living wage' jobs should be ~\ppiprity. 5. Improve the visual coherence and attractiv~~~$s~fthe corridor. Improvements in streetscapes, landscaped areas, open sR~ce$; buildio~;~esthetics and parking/service areas all contribute to a Il1QI"~unified andvi~iyally appealing environment, with an increased sense~fi~entity. Buildingsa",~>other private improvements should make positive con~,ieutions to the corrido,~(pd the broader public realm, while public improvements snpyld set tile standardfpp.private investment. 6. Foster neighborhood-serving<r~_Uand servic,.. Multimodallinks to commercial development should be enhanceg, 7 .~J pment a,~~ wor~i~<~~blis~;a balance between urban and nat~ .... syste Encourat~~ ttt~applic~~i~n of green building and infrastructure techoiques. pies incl4<ite low-impact development that maintains the natural function~>~fthe I~~~,. encoura~~~ reduced stormwater runoff and fosters resourcecqn~ervation~o~ttt~4~e.of renewable systems in new construction. Secti~""4. Goal$.~<i Objectives The current hodge-podge 9f land':-lli)~s, minimal right-of-way (63 to 100 feet), sometimes minimal building setbacksf~(:)~ a higp-traffic road, and the desirability of buffering residential uSe~Jrom the hi9ttyolume of traffic make the corridor an ideal candidate for broader redevelQiment. So oals of the redevelopment would be to provide for additional right-o - ~I cons. . .,. te corridor land uses and the number of access points onto Douglas Drive'~f~~./.>existing impediments in the right-of-way (electrical poles, fire hydrants, utility boxe~f.railroad crossings, etc.) that complicate the infrastructure needs for the area and impede pedestrian and bike access which could also be addressed through redevelopment. To achieve its mission of structured redevelopment, this Plan has identified six goals with related objectives to encourage cohesive planning and structured redevelopment within the corridor. It then outlines policies that will help to achieve the goals and objectives. Goal 1 - Improve vehicle, bicycle and pedestrian transportation. Objectives . Improved roadway with added pedestrian and non-motorized transportation facilities 3 I.f& · Complete streets that meet vehicle, bicycle and pedestrian needs · Reduced impediments in the sidewalks · Undergrounded utilities · Consolidated access points onto Douglas Drive Goal 2 - Redevelop obsolete properties. Objectives · Blighted, functionally obsolete, and/or economically unsustainable buildings removed · New uses compatible with existing uses Goal 3- Create jobs and life-cycle housing. Objectives · Increased high-paying jobs · Housing stock that is maintained or improv~g · Higher density housing · Housing for seniors and young familie~ · Affordable housing · Commercial uses that serve the community . Goal 4 - Require design that i$\~....tainable and~~thetically pleasing. Objectives · Enhanced community identity tht'~~gh.~res whiChI~flect Golden Valley. · Visually attractive dev~lopment th~tfomp~~ots its sl;l~rgpndings. · Buildings construft~g~j~ryenvironm~f')!ally~ple Igr~n building' practices . (Development try~t meetsefl"ironment~lfri~ . etf~~h by Leadership in Energy and Environment~I.[)esign (~~ED) andtf1~United States Department of Energy). · Active living criteriainqludediio design Goal 5~Pl'olect.the.envir()l1n1ent. Objeq~~'Ves · Wetl~~ps that are prQt~ftedand.enhanced · Land free of soil and wetland contamination · Arborous.environments · Natural featl.lt~~. retained~~d native vegetation (re)established · Co-located use~that redl.lq~ the amount of auto travel and corresponding air pollution · Best shoreline man.g~"J'lent practices implemented along Bassett Creek Goal 6 - Maintain a regional framework. Objectives · Growth compatible with the Metropolitan Council development framework · Public infrastructure designed in cooperation with Hennepin County, Three Rivers Park District, and the Minnesota Department of Transportation · Participation in grant programs available through Hennepin County, the Metropolitan Council and other agencies · A positive relationship with surrounding communities and governmental agencies · Continued participation in cooperative traffic management strategies · Improved transit options 4 . LfG) . . . Section 5. Policies Land Use The City will study planned land uses to determine the need or desirability of individual parcel or area-wide comprehensive plan or zoning amendments to accommodate desired land uses. The City and HRA will assure that its review processes, zoning, and building regulations will promote desired development projects. The City will assure that new uses in the redevelopment~t~a are compatible with existing development and the City's land use plan. The City and HRA will review existing corridor prop~rtiest(.)consider their long term viability and/or options for alternative uses. Land use plans will promote mixed use dev~l{)pments and increa~~ density where appropriate, in keeping with the MetropolitariCouncil's regional groW'tf"l strategy. Financing The City and HRA will identify crit~~atRtarget redev~t2pment funds such as tax increment financing, tax abatement~I.Uv~~t~c;ommun' . . s, Community Development Block Grants and other funding mad~~vailat!>.t~.l::>y the I~ture or other agencies or governmental units. The City and HRA~itlconsiderRrovidingp\.lt;)licassistance to redevelopment projects that serve a substanti~tpublic P!J~pose, remove blight, or mitigate contamination. The City at:1dHRA will con~i~er I.Isingland write-qowns to subsidize redevelopment projects. RedeveloPl11ent funding wUt be pait~~ with other funding options such as assessments, based on the Golden ValleYi~pecial Assessment Policy. The City will con$i~~r franchi~t9Jees and utility surcharges to underwrite the cost of utility and infrastructYfE3 upgf~qes. Design and Environmel"lJaI Standards The City will promote best practices to meet the highest environmental standards. The City and HRA will identify approaches and/or incentives to promote a corridor beautification program. This program will include both public and private components. The City will monitor ongoing research on sustainable development initiatives to guide redevelopment and future updates of this plan. 5 .50 Transportation The City will work with Metropolitan Transit to monitor transportation needs of area residents and workers and identify ways to improve transportation services. including . improving transit routes, and working with area businesses to develop transportation management plans. The City will work with Hennepin County, the State of Minnesota and other agencies to design and seek funding for an improved roadway with added pedestrian and non.. motorized transportation facilities that meet city, county and state needs. Section 6. Redevelopment Area Defined In 2008-09 the City is studying the full length of Dougl~~.~fi\(e from Medicine Lake Road on the north to Trunk Highway 55 on the soutbr~h.!il that study is completed the Douglas Drive Redevelopment Area will include tb~~ou~I~~ Drive street right-of-way and parcels on the east side of the street from Gll.Jluth St. to~m.~ Union Pacific railroad right-of-way to the south. This is an area witl1~() pedestrianinfr~$tructure and is centered on a significant area of multifamily housing. The full Douglas Drive Redevelopment Areai$iqentifieq~11 Map A. Tn~.~rea is divided into three subsections, based on land use. Area A-1 Area A-1 extends from Duluth Streetsoutffto the Canad1eI'~< Pacific Railroad and is guided Commercial an<:J9mce. It hastbree parc~,I~,.with th~f9l1owing land uses: two gas stations and a m.l.Jltipt~nant office. Area A-2 Area A-2 extends fromtm~Can~~i~.nPacificlTh~ilroad south to Golden Valley Road. It is guided Hi~rGl7n$,ity Resiq~fl~ia~an(l~~ilroad~i~ht-of-Way. Existing land uses range from sil1~l~familYi<:JURlex, 811<:J.tcriplex unit~t9 three- to five- story rental apartment and condol'l'lii'l1ium building~~Dd railr~~d facilities. The Metropolitan Council has identified this rail cqrridor for a regi9~al, mix,d-use trail on its 2030 Regional Parks System Map. There are Qurrently 178 uni~~ of hou~il1g in this area. Six parcels in the area south of Bassett Creek?ipd north ofa~lden Va41ey Road are under option for development as senior housing. '1"''''''9 four-storypuildings are proposed, one with 74 units of senior cooperative housin~/~nd a s~99nd. with 95 units of senior independent and assisted living units. If this proj~(Dt 99~~forward, the number of housing units in Area A-2 would increase to 318. Area A-3 Area A-3 extends from Golden Valley Road south to the Union Pacific Railroad/Luce Line Trail. It has only one parcel which is guided Industrial. It has a CenterPoint Energy peaking plant and maintenance center. Common features for all of the areas include no sidewalk and electrical poles and overhead lines that would impede the development of sidewalks. There is pedestrian access on intersecting east-west roads including sidewalks on Duluth St. and Golden Valley Road and the new Luce Line Trail along the Union Pacific right-of-way. 6 . . 51 I ..~ Lilac Pond .~ t:~ S;S rI;.t 'i~ I Rf~ I i ~/ (l)'t) Ma,J ~:-'U!fJ.d w n A".:Al:; , c()~: :(J<Ii;C.l ;;..O~OJS 4.005. MapA Douglas Drive Redevelopment Area . 5/A . alley Memorandum Housing & Redevelopment Authority 763-593-8002/763-593-8109 (fax) 7800 Golden Valley Rd. Golden Valley, MN 55427 763-593-8014 Date: November 7,2008 To: Housing and Redevelopment Authority Commissioners From: Jeanne Andre, Assistant Director Through: Thomas D. Burt, Director Subject: Public Hearings on Douglas Drive Tax Increment Financing Plan and United Properties Residential Development Agreement . A Public Hearing was set for the Douglas Drive Tax Increment (Redevelopment) Financing Plan No. 1 and the United Properties Residential Development Agreement for November 10. While the plan and agreement have been drafted, the agreement has not been approved by the developer. Staff is recommending that the Public Hearings for these items be continued until Monday, November 17 at 7 pm or thereafter, at which time it is anticipated that the developer will have signed off on the agreement. Staff can then finalize the TIF Plan. . 5~