Approved Minutes 4-21-1999 SUMMARY MINUTES OF THE SAINT PAUL CITY COUNCIL
Wednesday, April 21, 1999 - 3:30 - 5:00 P.M.
CITY COUNCIL CHAMBERS, 3RD FLOOR
City Hall and Court House
15 West Kellogg Boulevard
The meeting was called to order at 3:35 p.m. by Council President Bostrom.
Present- 7 - Benanav, Blakey, Bostrom, Coleman, Harris, Lantry, Reiter
Absent- 0
CONSENT AGENDA (Items 1 - 21)
Councilmember Lantry requested Item 11 be removed for discussion.
Councilmember Harris moved approval of the consent agenda as amended.
Yeas - 7 Nays - 0
MISCELLANEOUS
29. Recognition of Shirley Davis, retiring City of Saint Paul employee.
Shirley Davis, City Treasurer, was recognized for 27 years of service to the City.
30. Certificate of Recognition for Michael Lohman, Jr., First Place Winner of the St. Paul
Division of the Twin Cities Science Fair.
Michael Lohman, Jr., Ward 7 resident, was recognized by Councilmember Lantry for
winning First Place in the St. Paul Division of the Twin Cities Science Fair.
FOR ACTION
1. Approval of minutes of February 24, 1999, and Closed Door Session of April 14, 1999.
Adopted Yeas - 7 Nays - 0
2. Claims of Artis Graham, Kenya Day, Clancy Finnegan, Dorian Kollander, Eric Mickelson,
Barbara Nelson, Jeremy Stauffer, and Joan Dow Styve.
Referred to the Employee/Risk Management Division
3. Notice of Lis Pendens in the matter of Independent School District #625 acquisition of 736 York
Avenue.
Referred to the City Attorney's Office
4. Letter from the Office of the City Attorney announcing a public hearing before the City Council
on April 28, 1999, concerning adverse action against all licenses held by Beaver Lounge, Inc.,
756 Jackson Street. (Uncontested)
April 21, 1999 City Council Summary Minutes Page 2
5. Letter from the Office of the City Attorney announcing a public hearing before the City Council
on April 28, 1999, concerning adverse action against all licenses held by Arthur Heutmaker, dba
Conoco & Automotive, 1208 Arcade Street. (Uncontested)
6. Letter from the Office of License, Inspections and Environmental Protection announcing a public
hearing before the City Council on May 5, 1999, to consider the application for a sound level
variance by the St. Paul Saints Baseball Club for two live concerts on July 16, 1999, from 6:00
p.m. to 10:00 p.m., and on August 21, 1999, from 7:00 p.m. to 10:30 p.m.
7. Letter from the Department of Planning and Economic Development announcing a public hearing
before the City Council on May 5, 1999, to consider the application of Michael Lander for a final
plat review approval to allow existing residential property at 275-285 Irvine Avenue to be platted
into four lots.
8. Letter from the Citizen Service Office/Property Code Enforcement declaring 372 Clifton Street as
"nuisance property," and setting date of Legislative Hearing for May 4, 1999, and City Council
Hearing for May 12, 1999.
9. Letter from the Citizen Service Office/Property Code Enforcement declaring 790 Selby Avenue as
"nuisance property." (For notification purposes only; public hearing will be scheduled at a later
date if necessary.)
10. Administrative Orders:
D001692 Authorizing payment of$15,000 (received from private individuals and/or
corporations) to various food and beverage vendors for the Mayor's Winter Carnival
Reception.
D001693 Amending the 1999 budget in the Department of Planning and Economic
Development to allocate funds from the Neighborhood Investment Program to the
Mississippi Market Project.
Noted as on file in the City Clerk's Office
11. (discussed after the consent agenda)
12. Resolution - 99-343 - Authorizing the purchase of land for the Jimmy Lee Recreation Center
Acquisition and Redevelopment Project.
Adopted Yeas - 7 Nays - 0
13. Resolution - 99-344 - Approving financing and spending plans in the Department of Fire and
Safety Services for use of the fund balance remaining from two donations received from St. Paul
Fire Fighters Local 21.
Adopted Yeas - 7 Nays - 0
April 21, 1999 City Council Summary Minutes Page 3
14. Resolution - 99-345 - Authorizing the Department of Fire and Safety Services to enter into an
agreement with the Air Force Reserve for use of St. Paul's training facilities.
Adopted Yeas - 7 Nays - 0
15. Resolution - 99-346 - Approving an interceptor sewer maintenance agreement between the City of
Saint Paul and Metropolitan Council Environmental Services for the period January 1, 1999
through December 31, 2003.
Adopted Yeas - 7 Nays - 0
16. Preliminary Order - 99-347 - In the matter of condemning and taking fee simple title for a
property near Mississippi Street and Cayuga Street for Phalen Boulevard and for part of the East
Metro Bus Facility, and setting date of public hearing for May 12, 1999. (File #18900)
Adopted Yeas - 7 Nays - 0
17. Preliminary Order - 99-348 - In the mater of sidewalk construction and reconstruction in Wards 1,
2, 3, and 6, and setting date of public hearing for May 26, 1999. (File #S99017-S99028)
Adopted Yeas - 7 Nays - 0
18. Preliminary Order - 99-349 - In the matter of sidewalk reconstruction in Wards 1 and 2, and
setting date of public hearing for June 2, 1999. (File #S99029-S99037)
Adopted Yeas - 7 Nays - 0
19. Preliminary Order - 99-350 - In the matter of sidewalk reconstruction in Wards 3 and 4, and
setting date of public hearing for June 2, 1999. (File #S99038-S99049)
Adopted Yeas - 7 Nays - 0
20. Preliminary Order - 99-351 - In the matter of sidewalk reconstruction in Wards 5 and 7, and
setting date of public hearing for June 2, 1999. (File #S99050-S99054)
Adopted Yeas - 7 Nays - 0
21. Resolution Approving Assessment - 99-352 - In the matter of boarding-up of vacant buildings for
January and February 1999 (J9902B); and summary abatements (property clean-up) during the
later part of February and all of March 1999, and sanding of sidewalks for ice on some properties
(J9902A), and setting date of Legislative Hearing for June 15, 1999, and City Council Hearing for
June 23, 1999)
Adopted Yeas - 7 Nays - 0
11. Resolution - 99-342 - Recognizing the 8th annual Honors Concert and Art Exhibit at the
Ordway Music Theatre and Minnesota Museum of American Art.
Councilmember Lantry introduced Kevin McCollum, President, of the Ordway Music
April 21, 1999 City Council Summary Minutes Page 4
Theatre,. who talked about the Honors Concert and Art Exhibit. The students introduced
themselves and sang a song.
22. Resolution - 99-321 - Approving application for Auto Repair Garage and Second Hand
Dealer-Motor Vehicle Licenses by Nasseh Ghaffari, dba Heartland Auto Sales, 1236 Arcade
Street. (Legislative Hearing Officer recommends approval with conditions) (Laid over from
April 14)
Councilmember Harris moved to lay over one week at the request of Council President
Bostrom.
Laid over to April 28 Yeas - 7 Nays - 0
ORDINANCES
23. Third Reading - 99-319 - An ordinance finalizing City Council action approving the petition of
Zigmunt Kanstul to rezone property at 976 Hazelwood Street from R-4 to RT-1. (Public hearing
held April 7)
Laid over to April 28 for final adoption
24. Second Reading - 99-329 - An ordinance amending Chapter 45 of the Saint Paul Legislative Code
relating to summary abatement appeals.
Laid over to April 28 for third reading/public hearing
25. Second Reading - 99-341 - An ordinance amending Chapter 66-216 of the Saint Paul Legislative
Code pertaining to special district sign plans by creating a new special district sign plan for Saint
Anthony Park to be known as the Saint Anthony Park Special District Sign Plan.
Laid over to April 28 for third reading/public hearing
26. First Reading - 99-353 - An ordinance amending Chapter 34 of the Saint Paul Legislative Code to
accurately reflect current enforcement practices, to update appeals action, and to address
emergency vacate orders.
Laid over to April 28 for second reading
PUBLIC HEARING
27. Resolution - 99-275 - Ordering the owner to remove or repair the building at 430 Blair Avenue
within fifteen (15) days from adoption of resolution. (Legislative Hearing Officer recommends
approval) (Laid over from March 24) (Note: No public testimony will be taken on this date since
this is a policy session. This resolution will be laid over to April 28 for a public hearing.)
Councilmember Blakey moved to lay over one week.
Laid over to April 28 for a public hearing Yeas - 7 Nays - 0
April 21, 1999 City Council Summary Minutes Page 5
Suspension Items
Councilmember Harris moved for suspension of the rules and approval of the following resolution:
Resolution - 99-354 - Authorizing Deadra Demko to accept the grand prize for Financial Services
Department from WLTE radio station, which includes a lite brunch and lunch for her co-workers.
Adopted Yeas - 7 Nays - 0
Councilmember Benanav moved for suspension of the rules and approval of the following resolution:
Resolution - 99-355 - Authorizing payment to the Saint Anthony Park Community Council in the
amount of$50,000.00 for the acquisition of a 4.7 acre site from Burlington Northern Santa Fe
Railroad for a community garden.
Adopted Yeas - 7 Nays - 0
Councilmember Harris moved for suspension of the rules to introduce the following resolution:
Yeas - 7 Nays - 0
Resolution - 99-356 - Stating the intent of the City Council that affordable housing goals set forth
in the Housing Plan be applied on a City-wide basis rather than a project-by-project basis.
Councilmember Harris requested that the Department of Planning and Economic Development
(PED) supply the Council with specific information on affordable housing projects.
Councilmember Blakey stated Skyline Towers has over 500 units and the results could be skewed.
He suggested this building be an exception. Mr. Harris suggested working with PED on this.
Adopted Yeas - 7 Nays - 0
Councilmember Harris moved for suspension of the rules to introduce the following resolution:
Yeas - 7 Nays - 0
Resolution - 99-357 - Stating the intent of the City Council that developer fees be determined on a
project-by-project basis, based on a mix of development variables including project complexity,
scale, schedule and developer risk and performance.
Councilmember Harris stated this resolution involves setting a ceiling on developer fees. One of
the goals the Council has set is to produce housing units. There have been projects where the
developer fees have been six and sometimes seven figures. These units are based on some average
construction costs and some average developer fees that MHFA has put forward. This would be a
general policy that could be revised at any time if the Council does not think it is working. Harris
said he felt it was a good idea to monitor the developer fees so more money is going into housing
and less is going into the developer.
April 21, 1999 City Council Summary Minutes Page 6
Councilmember Coleman said he would like to have additional time to review the issue. He
questioned if other cities are placing caps on developer fees and noted that there are a limited
number of developers. Mr. Harris responded that the amendment allows some flexibility.
Councilmember Blakey said he would like to talk to developers as the City may not have control
over cost. He is also concerned about the quality and appearance of the housing.
Councilmember Benanav stated he would like a cap of some sort and he would like PED to
articulate when they should be deviating.
Councilmember Lantry said she feel the resolution will add barriers to developers working in the
City.
Councilmember Coleman moved a two week layover.
Council President Bostrom stated the goal of the Council should be to put money into building
housing. If the cost of developer fees can be cut by a couple thousand dollars per unit, then the
City could build more units.
Laid over to May 5 Yeas - 7 Nays - 0
Councilmember Harris moved for suspension of the rules and a two week layover of the following
resolution:
Resolution - 99-358 - Stating the intent of the City Council that all housing proposals be
considered for funding from the City of Saint Paul or the Saint Paul Housing and Redevelopment
Authority include private equity from the developer for a least 50% of the total project cost.
Councilmember Harris stated how equity is defined will change the formula. Staff will define
what will be a reasonable expectation for equity and debt.
Laid over to May 5 Yeas - 7 Nays - 0
Councilmember Harris moved for suspension of the rules to introduce the following resolution:
Yeas - 7 Nays - 0
Resolution - 99-359 - Stating the intent of the City Council that the threshold for enforcement of
the City's "Little Davis-Bacon" policy be raised to $50,000.00 and that the STAR Program
guidelines also be changed to reflect this intent.
Councilmember Harris said that "Little Davis-Bacon" impedes the ability to complete some of the
STAR projects. If there is federal money involved, Davis-Bacon starts at $2,000. The STAR
money should have as few strings attached as possible and this is an unnecessary regulation on the
STAR money, he said.
April 21, 1999 City Council Summary Minutes Page 7
Councilmember Coleman said he would like additional time to review this issue. He indicated
that he thought there was a limit when dealing with housing and that it does not apply unless eight
units or more are involved.
Councilmember Harris stated "Little Davis Bacon" is a City regulation. It has been said that there
should be more housing and the money should be as effective as possible; then regulations are
imposed that make the process difficult. There are companies that do not try to get STAR money
because of the requirements. Harris said he would like to removed one of the regulations.
Councilmember Coleman moved to lay over two weeks and said the Council should hear from the
parties affected by it before moving forward.
Councilmember Lantry said she felt action should be taken at this meeting. Mr. Coleman
withdrew his motion.
Councilmember Lantry moved approval.
Failed Yeas - 1 Nays - 5 (Benanav, Blakey, Bostrom, Lantry, Reiter)
Abstention - 1 (Coleman)
Councilmember Harris moved for suspension of the rules to introduce the following resolution
Yeas - 7 Nays - 0
Resolution - 99-360 - Requesting the Director of the Department of Planning and Economic
Development report to the Council by June 1, 1999, with recommendations on developing an
annual competitive processes for awarding the City's allocation of Federal Low Income Housing
Tax Credits and the STAR Board review process.
Councilmember Harris said he is trying to bring competition into the process. He presented an
amendment indicating that the STAR Board will still have the opportunity to review money that is
using the STAR funds for housing. The STAR board will not be taken completely out of the
process. Also, there is a year-round fund in STAR and he amended the resolution to indicate that
the money be excluded from that particular piece of the puzzle so there is a level of
competitiveness for the funds. And, to have a more clear, competitive process for allocation of
federal low income tax credits. Harris added an additional amendment to line 11 "and the STAR
Board review process." When there is competition for the money, there will be better proposals,
Harris said.
Councilmember Benanav stated he does not disagree that competition is good; however, there may
be times when someone has a proposal that needs to be acted on sooner.
Councilmember Harris stated the people who know how to access the money are some of the
people who are in City Hall or involved in the processes. If they are all held up at the same time,
the City will get better proposals.
April 21, 1999 City Council Summary Minutes Page 8
Councilmember Lantry stated the Council should have some flexibility. If a project does not have
merit, it will not be funded either in cycle or out of cycle. There are developers and other inside
people who know how to access City funds, but the same argument can be made about other
things and signaling out one developer may not be the right way to go about it. She said she
would like to see the Council set aside a percentage.
Councilmember Blakey asked if everyone would need their project done by the first of the year.
Mr. Harris responded yes.
Councilmember Benanav stated that even going through the normal cycle does not always mean
they have the best proposals, and he said he would like to amend the resolution to allow 33 1/3
percent of the money to be accessed at any time during the year.
Councilmember Coleman stated he would like additional time to review the issue.
Councilmember Blakey asked about the City's competitive process on allocation of federal low
income housing tax credits. The Housing and Redevelopment Authority (HRA) already does an
RFP for the tax credits, responded Mr. Harris, so there is already a competitive process for tax
credits.
Gary Peltier, PED, reported that federal low income housing tax credits are governed by State
law. The HRA Board approves a low income tax credit plan which includes a criteria. A request
for proposal was just completed and they are a few weeks from recommending an allocation of tax
credit for 1999 to the HRA Board. This is a request for proposals for developers and others that
the HRA has a right to allocate to low income tax payer projects. Developers have to apply for
tax credits with a project in mind.
Councilmember Harris moved approval as amended.
Adopted as amended Yeas - 7 Nays - 0
Councilmember Harris moved for suspension of the rules to introduce the following resolution.
Yeas - 7 Nays - 0
Resolution - 99-361 - Requesting that staff of the Department of Planning and Economic
Development develop, with neighborhood involvement, standard designs for single family homes
with three bedrooms, single family, cluster development town homes and multi-unit rental
housing.
Councilmember Harris stated this is requesting development and implementation of standard
designs for particular housing units. It would be pre-approved designs so that if developers or
community groups want to build homes and they have selected from a menu of designs of housing,
the City would have the design approved instead of developers spending time and money and the
possibility of a neighborhood group objecting at the last minute. PED would engage the
community groups, and work with the Office of License, Inspections and Environmental
April 21, 1999 City Council Summary Minutes Page 9
Protection (LIEP), so if developers want to do particular developments, the City could fast track it
and increase production.
Councilmember Coleman stated the Council adopted a resolution pertaining to a housing center to
deal with some of these issues. It is being done, and it needs to be incorporated into a larger
picture.
Councilmember Lantry noted that the community involvement piece was not in the resolution and
Harris suggested adding language to Line 1.
Councilmember Blakey asked if it should be limited to one and two multi-unit rental housing.
Council President Bostrom added that there is the same issue with single family homes because
some could be two bedroom or five bedrooms.
Councilmember Coleman stated he did not think the Council should vote on this item today and
questioned why it was being done so quickly. Mr. Bostrom suggested the Council refer this to
PED for their input. Harris responded that he is trying to move things along that he feels are
important to increase the production of housing.
Councilmember Reiter moved a two week layover and requested staff input.
Amended and laid over to May 5 Yeas 4 Nays - 3 (Blakey, Harris, Lantry)
Councilmember Benanav moved reconsideration and approval of the following resolution:
Resolution - 99-90 - Adopting the Saint Paul Housing Plan as an amendment to the Saint Paul
Comprehensive Plan contingent on further review by adjacent communities and the Metropolitan
Council. (Adopted by the City Council on March 24, 1999 and vetoed by the Mayor on April 5,
1999.)
Adopted Yeas - 7 Nays - 0
A motion was made to change the date for final adoption of the following resolution from April 28 to
May 12:
Ordinance - 99-273 - An ordinance amending Saint Paul Legislative Code Chapter 310 to increase
the Automated Pawn System Billable Transaction Fee to reflect enforcement costs. (This item was
laid over to April 28 for final adoption at the April 14 City Council Meeting)
Laid over to May 12 for final adoption
Yeas - 7 Nays - 0
April 21, 1999 City Council Summary Minutes Page 10
POLICY SESSION
28. Housing Code Enforcement/Problem Properties
I. Introduction- Jennifer Rundle, Policy Analyst, Council Research
II. Current Code Enforcement/Problem Property Activities
1. Citizen Services Office, Code Enforcement Division- Mort Bostrom
2. License, Inspections and Environmental Protection (LIEP), Code Compliance Inspection
Division- Don Wagner
3. FORCE Unit, Saint Paul Police Department- Officer Dan Cermak
4. Fire Dept., Fire Prevention Division- Pat Fish
5. Ramsey County Housing Court- Mary Ellen McGinnis
6. Ramsey County Attorney's Office - Patrick West-Hest
7. Planning and Economic Development- Sheri Pemberton-Hoiby
8. Housing Information Office - Dave Thune and Joe Collins
III. St. Paul Community Perspectives
1. Hamline-Midway Area Rehabilitation Corp. (HMARC) - Beth Hyser
Hamline Midway Coalition - Jody Bantley
2. District 4 Council - John Vaughn
3. District 5 Council - Bruce Sylvester
4. St. Paul Association of Responsible Landlords (SPARL) - Paul Schmidt, Carol Buche
5. Community Stabilization Project- Katy Royce(John Vaughn read a statement from Ms. Royce
earlier.)
IV. The Dirty 30 in Minneapolis - Jay Clark
V. Public Comment
Steve Johnson, Minnesota Multi Housing Association
Ray Hurt - Dayton's Bluff Community Council member
April 21, 1999 City Council Summary Minutes Page 11
Councilmember Blakey moved to adjourn the meeting.
Yeas - 5 Nays - 0
ADJOURNED AT 6:30 P.M.
Daniel Bostrom, Council President
ATTEST:
7-1\cr, Minutes approved by Council
Nancy Anson 1\rN , -Cp 1`M
Assistant Council Secretary
rn/mce