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Approved Minutes 3-25-1998 SUMMARY MINUTES OF THE SAINT PAUL CITY COUNCIL • Wednesday, March 25, 1998 - 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 - 5 - Benanav, Blakey, Bostrom, Harris, Lantry Absent - 2 - Coleman (arrived later in the meeting), Reiter (excused) CONSENT AGENDA (Items 1 - 15) Councilmember Harris requested Item 9, D001463, D001464, D001474, & D001482 be laid over one week. Councilmember Lantry requested Item 9, D001468-1470, D001480 & D001483-D001491 be removed for discussion. Councilmember Blakey requested Item 9, D001476 be removed for discussion Councilmember Blakey requested Item 14 be removed for discussion. • Councilmember Harris moved approval of the consent agenda as amended. Yeas - 5 Nays - 0 MISCELLANEOUS 35. Recognition of Retiring City employees. Jim Snyder, Chief Accountant, and Beverly Wickstrom, Office of Human Rights, were recognized for 33 years of service each to the City. FOR ACTION 1. Approval of minutes of January 7, 1998. Adopted Yeas - 5 Nays - 0 2. Claims of Marvyl Hansen, Verla Neilsen, Gerald Peterson, Janelle Lord, Todd Klemmensen, David Morford, Emmett O'Reilly, Jr., Triviski's, and True Xiong. Referred to the City Attorney's Office 3. Order Opinion in the matter of Fleet Mortgage Corp. vs. the City of Saint Paul. Referred to the City Attorney's Office 4. Letter from the Department of Planning and Economic Development announcing a public hearing • before the City Council on April 8, 1998 to consider the application of River Town Homes, LLC for a preliminary and final plat (Cohansey Park Town Homes) to allow the property to be subdivided into lots for 28 town homes in the area bounded by Larpenteur, Mackubin, Idaho, and March 25, 1998 City Council Summary Minutes Page 2 • Cohansey. 5. Letter from the Office of the City Attorney announcing a public hearing before the City Council on April 22, 1998 to consider adverse action against the cigarette license held by A.C.A. Management Services, dba Amoco Food Shop, 1347 University Avenue. (Uncontested) 6. Letter from the Office of the City Attorney announcing a public hearing before the City Council on April 22, 1998 to consider adverse action against the cigarette license held by Joseph L. Brost, dba Grand Wheeler Sinclair II, 1345 Grand Avenue. (Uncontested) 7. Letter from the Office of the City Attorney announcing a public hearing before the City Council on April 22, 1998 to consider adverse action against the cigarette license held by Little Grocery, 1724 University Avenue West. (Uncontested) 8. Letters from Fire and Safety Services/Property Code Enforcement declaring 598 Lawson Avenue East, 429 7th Street East, and 590 York Avenue as "nuisance properties." (For notification purposes only; public hearings will be scheduled at a later date if necessary.) 9. Administrative Orders: D001463 Amending the 1997 budget in the Office of Financial Services to balance 1997 expenditures for General Government Accounts. • D001464 Amending the 1997 budget in the Office of the City Attorney to use unspent salary dollars to cover the cost of temporary employees. Laid over to April 1 Yeas - 5 Nays - 0 D001465 Deduction of$673.06 from the contract for Como Park Picnic Pavilion. D001466 Authorizing payment, not to exceed $3,500.00, to Public Art Saint Paul for additional services in connection with the Capital Centre Plaza artist selection process. D001467 Extending the contract completion date from June 30, 1997 to September 15, 1997 for Phalen Wetlands. Noted as on file in the City Clerk's Office D001471 Addition of$400.00 to the contract for Red Rock South-Lift Station Reconstruction. D001472 Addition of$37,318.63 to the contract for Cretin-Bayard Residential Street Vitality Program. D001473 Amending the 1997 budget in the Department of Libraries to cover negative balances in several major object codes and activities within the General Fund budget. Noted as on file in the City Clerk's Office D001474 (Removed for discussion) D001475 Addition of$35,004.74 to the contract for Como Park Pavilion. Noted as on file in the City Clerk's Office • D001476 (Removed for discussion) March 25, 1998 City Council Summary Minutes Page 3 • D001477 Amending the 1997 budget of Executive Administration, Special Projects - General Government Fund, to cover spending deficits. D001478 Amending the 1997 budget of Executive Administration, General Fund, to cover deficits. D001479 Authorizing payment, not to exceed $2,500, to the Saint Paul Arts Partnership for the marketing campaign. Noted as on file in the City Clerk's Office D001480 (Removed for discussion) D001481 Amending the 1997 budget of Executive Administration for the Children's Initiative. Noted as on file in the City Clerk's Office D001482 (Removed for discussion) D001483 - D001491 (Removed for discussion) D001492 Amending the 1997 budget of the Housing Information Office to cover a negative variance in the Mortgage Foreclosure program. D001493 Amending the 1997 budget in the Department of Planning and Economic Development Parking and Transit Fund. D001494 Amending the 1998 budget in the Department of Planning and Economic • Development to allocate funds from the STAR Business Revolving Loan Program to the James Productions, Inc. Project and the Snelling Business Center Project. D001495 Amending the 1997 budget in the Offices of the City Council to cover additional costs associated with legislative staff members receiving termination pay at the end of 1997. D001496 Amending the 1997 budget in the Department of Libraries, Interlibrary Loan fund. D001497 Amending the 1997 budget in the Department of Fire and Safety Services, Nuisance Housing Abatement budget of the Housing Code Division. Noted as on file in the City Clerk's Office 10. Resolution - 98-219 - Establishing the rate of pay for the position of"Library Facilities Manager." Adopted Yeas - 5 Nays - 0 11. Resolution - 98-220 - Establishing the rate of pay for the new classes, Project Facilitator I and Project Facilitator II. Adopted Yeas - 5 Nays - 0 12. Resolution - 98-221 - Directing the Office of License, Inspections and Environmental Protection (LIEP) to develop adverse action procedures for courier and delivery vehicle permits. Adopted Yeas - 5 Nays - 0 13. Resolution - 98-222 - Approving execution of an approximate $250,000 conduit tax-exempt lease to finance acquisition of manufacturing equipment at ADDCO, Inc.'s new office and production • facility of approximately 77,000 square feet in the Arlington Business Center. Adopted Yeas - 5 Nays - 0 March 25, 1998 City Council Summary Minutes Page 4 14. (Removed for discussion) 15. Resolution - 98-224 - Changing the current composition of the Community Health Services Advisory Committee by expanding the membership of the Committee from 21 to 23 members. Adopted Yeas - 5 Nays - 0 9. Administrative Orders: 10. Questions were raised by various Councilmembers on the following Administrative Orders and it was agreed to lay them over in order to receive staff response to questions. D001468 Addition of$139,867.07 to the contract for Howell-Montreal CSSP. D001469 Addition of$137,126.19 to the contract for Dale Street Widening. D001470 Addition of$103,844.36 to the contract for Irvine Avenue Storm Sewer and Paving. Councilmember Lantry moved to lay over one week. Laid over to April 1 Yeas - 5 Nays 0 D001474 Amending the 1998 budget in the Department of Planning and Economic Development, Fund 126 PED Operations Fund. Councilmember Harris moved to lay over one week. Laid over to April 1 Yeas - 5 Nays - 0 • D001476 Addition of$6,670.00 to the contract for Saint Paul Civic Center Expansion, CP-4 Building Construction Mechanical - Parking Ramp Alternate A. Councilmember Blakey moved to lay over one week. Laid over to April 1 Yeas - 5 Nays - 0 D001480 Authorizing expenditures, not to exceed $3,300.00 for recognition of the Como Zoo Docent Association for their contributions. Councilmember Lantry moved to lay over one week. Laid over to April 1 Yeas - 5 Nays - 0 D001482 Amending the 1997 budget of Technology and Management Services to consolidate the entire budget for the Human Resource Management System project into a single activity and facilitate the close-out that will be completed in 1998. Councilmember Harris moved to lay over one week. Laid over to April 1 Yeas - 5 Nays - 0 D001483 Addition of$3,124.00 to the contract for Saint Paul Civic Center Expansion, CP-4 Building Construction. D001484 Addition of$14,459.00 to the contract for Saint Paul Civic Center Expansion, CP-4 Building Construction. D001485 Addition of$20,398.00 to the contract for Saint Paul Civic Center Expansion, CP-4 • Building Construction. D001486 Addition of $43,019.00 to the contract for Saint Paul Civic Center Expansion, CP-4 March 25, 1998 City Council Summary Minutes Page 5 • Building Construction. D001487 Addition of$3,925.00 to the contract for Saint Paul Civic Center Expansion, CP-4 Building Construction. D001488 Addition of$14,535.00 to the contract for Saint Paul Civic Center Expansion, CP-4 Building Construction D001489 Addition of$22,467.00 to the contract for Saint Paul Civic Center Expansion, CP-4 Building Construction. D001490 Addition of$10,000.00 to the contract for Saint Paul Civic Center Expansion, CP-4 Building Construction. D001491 Addition of$23,863.00 to the contract for Saint Paul Civic Center Expansion, CP-4 Building Construction. Councilmember Blakey moved to lay over one week. Laid over to April 1 Yeas - 5 Nays - 0 14. Resolution - 98-223 - Requesting that the Saint Paul School Board reconsider its policy regarding sibling preference and attendance boundaries. Councilmember Blakey presented amendments to the resolution. He indicated that at Capitol Hill Magnet School the rule is that there are a certain number of slots for students and some of those are broken down by students of color. Councilmember Blakey said the information he has received indicates that the majority of the students of color are being accepted from the suburbs • and either the children in St. Paul are not being accepted or they cannot pass the entrance test. Blakey said he had a real concern with this as well as residents who live within walking distance of the school but are not able to get their children accepted into the school. He said he would like the School Board to address this issue as well as the others addressed in his amendment. Councilmember Bostrom stated that he would like to include support for the D.A.R.E. Program in the resolution. Councilmember Harris suggested that Tom Farrell, staff person from the school district, be invited to a City Council meeting to answer questions of Councilmembers. as well as some school board members. (The vote on this item was taken prior to the public hearings) Councilmember Harris distributed amendments and moved approval. Adopted as amended Yeas - 5 Nays - 0 (Blakey & Reiter not present for vote) FOR DISCUSSION 16. NHL and River Centre update from Mayor Coleman. Chuck Armstrong, Mayor's Office, appeared and reported that the Mayor and the Deputy Mayor were both at the hearing at the Legislature at this particular time. Councilmember Benanav distributed a letter which he sent to Mayor Coleman with a series of • questions regarding an alternative plan if the money is not received from the Legislature for the River Centre. March 25, 1998 City Council Summary Minutes Page 6 • Councilmember Benanav moved to layover the update from the Mayor one week. Laid over to April 1 Yeas - 5 Nays - 0 (Blakey left) 17. Presentation by the Mayor's Office with respect to the continuing appointment of Fire Chief Timothy Fuller. Chuck Armstrong appeared on behalf of the Mayor and reaffirmed the appointment of Chief Fuller per letter from Mayor Coleman dated March 25, 1998. 18. Report by Pam Wheelock, Department of Planning and Economic Development, on recommendations and criteria for applying the Vendor Outreach program to the Department's economic development programs, and the results of the initial application. (Per C.F. 97-1037 adopted August 27, 1997) (Laid over from March 11) Councilmember Harris noted that additional information was requested on this issue at the Housing and Redevelopment Authority meeting and will be presented on April 22, 1998. Councilmember Benanav moved to lay over to.April 22. Laid over to April 22 Yeas - 4 Nays - 0 (Blakey not present for vote) • 19. Update by Jackie Starr on Project Fresh Start Inc. Outreach for Youth Program. (Update requested by Council on August 27, 1997) Jackie Starr introduced Javon Jackson, a youth worker with Project Fresh Start, who shared her perspective of the program which she said she has found to be very helpful to her personally and a positive work experience. Councilmember Harris asked Ms. Starr how much of the $25,000 COPP money has been used. Ms. Starr responded that pretty much all of it has been used and they just recently submitted a request for the last portion of the money. They broke it down into quarters in order to make the dollars stretch to meet the program's needs and knowing that it may be difficult to solicit funds because they are a new program. Ms. Starr said approximately 65 youth have been served which includes the summer program. They have licensed teachers who are helping with tutoring and they have about six active participants who are present every day. (Blakey returned) 20. Administrative Order: D001447 Amending the 1997 budget of the Housing and Redevelopment Authority Debt Service Fund to reflect correction to object codes, increases in sales tax revenue and STAR funds, and decrease due to interim funding not needed for Lawson project. (Laid over from March 11) 411 No discussion took place on this item; Noted as on file in the City Clerk's Office. March 25, 1998 City Council Summary Minutes Page 7 . 21. Resolution - 98-225 - Requesting that the Director of the Office of Human Rights provide an update on minority and women hiring goals associated with the State Department of Revenue Building at the March 25 City Council meeting. Tyrone Terrill, Director, Office of Human Rights, appeared and stated that his department had received a report shortly before this meeting from the Minnesota Department of Human Rights, which has the monitoring authority over the Revenue Building. Copies of the report were given to the Councilmembers. It was agreed to have Mr. Terrill come back before the Council in one week for a discussion. Councilmember Blakey moved to lay over one week. Laid over to April 1 Yeas - 5 Nays - 0 A brief discussion took place between the Councilmembers and Mr. Terrill regarding River Centre, Mortenson Construction Company and the fact that they have not met the hiring goals established by the City. Councilmember Blakey noted that there are penalties in place for not meeting the goals and questioned why this information is considered "privileged and confidential." Mr. Terrill responded that the financial piece that was in the document was requested by Mortenson to be confidential. Mr. Terrill informed them that he did not think it could be confidential if a Minnesota Data Practices request was to be made. • Councilmember Blakey questioned how the City Council receives the information and if they must request each individual contract if they wish to see it. Mr. Terrill said his office prepares a monthly report to the St. Paul Human Rights Commission on projects and he offered to give the Council copies of the reports or more detailed reports if desired. Phil Byrne, Assistant City Attorney, stated that in the Vendor Outreach Program ordinance, there are reporting requirements on an annual basis that come from the City's Purchasing Office. Questions and answers ensued on the Mortenson Company and their compliance. ORDINANCES 22. Third Reading - 98-189 - An ordinance finalizing City Council action taken February 4, 1998 approving the petition of Ju H. Lee to rezone property at 1567 7th Street West from RM-2 to OS- 1. (Public hearing held February 4, 1998) Laid over to April 1 for final adoption 23. Second Reading - 98-216 - An ordinance amending Chapters 60, 61, and 62 of the Saint Paul Legislative Code pertaining to zoning. Laid over to April 1 for third reading/public hearing March 25, 1998 City Council Summary Minutes Page 8 • Suspension Items Resolution - 98-233 - Authorizing and directing the Mayor and Director of Financial Services to execute the Agreement Between the City of St. Paul and Continental Cablevision of St. Paul regarding Terms and Conditions of Proposed Franchise. Gerry Strathman, Council Research Director, explained that this resolution authorizes the Mayor and the Director of Finance to enter into an agreement. A companion ordinance was also introduced (see next item). Mr. Strathman provided background information noting that an ordinance was previously adopted which granted a cable television franchise to Charter Communications in St. Louis and authorized them to operate a Cable T.V. system in the City of St. Paul. The Council also approved an agreement which transferred the authority to operate from the current franchise holder, Continental Cablevision of St. Paul to Charter Communications. The reason the agreement was approved by the Council was that a sale of the St. Paul system had been agreed upon by the current owner, U.S. West and Charter Communications. The agreement between U.S. West and Charter Communications subsequently broke down, U.S. West decided to withdraw from the agreement, and that matter is being challenged in the courts. The matter was also before the Federal Communications Commission (FCC). The FCC had it before them because it was necessary in order for U.S. West to continue to own and operate the system that they have the approval of the FCC. That approval was being challenged. • Recently, the FCC issued a ruling in which they gave the extension necessary so that U.S. West did formally withdraw its agreement to sell the St. Paul cable system to Charter Communications. Mr. Strathman said it was his understanding that Charter Communications is continuing to challenge the decision in court in an attempt to force U.S. West to consummate the deal which U.S. West has withdrawn from. It is also Mr. Strathman's understanding that Charter Communication intends to challenge the FCC 's ruling. The status of both the legal suit and the federal regulatory matter, while U.S. West considers it concluded, clearly is still an issue. Mr. Strathman said the feeling was that an excellent deal had been negotiated with Charter Communication regarding a new ten-year franchise with possible five-year extensions for the City. The agreement with the current franchise holder expires in May 1999. It now appears that Charter may not be in a position to operate a franchise in St. Paul because of the apparent breakdown of their agreement with U.S. West to buy the St. Paul system. Therefore, U.S. West was approached by City staff and was asked if they would agree to the same exact terms with St. Paul that Charter had agreed to to which U.S. West said they would agree. The resolution will authorize entering into an agreement with U.S. West and formalizes the understanding that U.S. West will agree to a franchise. This agreement is needed because at this point all of the understandings with U.S. West/Media One are verbal and the agreement needs to be put in writing. It is important to formalize the agreement now because there is still opportunities for the City to take some actions if U.S. West were not to carry through on their verbal agreement. The ordinance is a franchise ordinance which is closelyidentical to theone that was granted to March 25, 1998 City Council Summary Minutes Page 9 iCharter Communications. If this ordinance is adopted, there will be two identical ordinances on the books, Strathman said, granting cable television franchises; one to Charter Communications and one to Continental Cablevision St. Paul which is currently owned by U.S.West. The way it is structured is that only one of those franchises can ultimately become effective. Whoever wins the dispute between the two parties in the courts and before the FCC, St. Paul will have a franchise and when it is all finalized, the City will be completely covered. It does not fundamentally matter to the City who prevails as whoever it is, the City will have an excellent, highly beneficial franchise agreement in place, Strathman said. By the Council approving the resolution to enter into an agreement and start the readings of the ordinance, the matters can move forward. By doing it at this time, it will avoid the renewal process that would have to be done in May, 1999 and the matter will not have to be dealt with for another ten years. Councilmember Benanav moved for suspension of the rules and approval. Adopted Yeas - 5 Nays - 0 Councilmember Harris moved for suspension of the rules to introduce the following ordinance. Yeas - 5 Nays - 0 First Reading - 98-234 - An ordinance granting a renewal franchise for cable service to Continental Cablevision of Saint Paul, Inc. Laid over to April 1 for second reading Councilmember Harris moved for suspension of the rules and approval of the following resolution: Resolution - 98-235 - Approving an agreement between the Department of Fire and Safety Services and Ramsey County to use property at 882 Greenbrier for practicing fire drill procedures. Adopted Yeas - 5 Nays - 0 Councilmember Harris moved for suspension of the rules and approval of the following resolution: Resolution - 98-236 - Honoring David L. Wick as an Eagle Scout and proclaiming Saturday, April 4, 1998 as David L. Wick Day in Saint Paul. Adopted Yeas - 5 Nays - 0 The meeting was recessed from 4:50 to 5:34 p.m. Roll Call: Present - 5 Absent - 2 Blakey, Reiter (excused) (Item 14 was voted on at this time; see page 5) PUBLIC HEARINGS 24. Third Reading - 98-190 - An ordinance amending C.F. 98-43 relating to a replacement franchise for cable service. • GerryStrathman, Council Research Director, noted that this is the ordinance that will amend the March 25, 1998 City Council Summary Minutes Page 10 ifranchise with Charter Communications. However, the required public notice was not issued in time and, therefore, he suggested holding another public hearing and the fourth reading in two weeks. Councilmember Coleman moved to continue the public hearing for two weeks. Laid over to April 8 for public hearing/final adoption Yeas - 6 Nays - 0 25. Resolution - 98-226 - Approving application for an Auto Repair Garage License by East Lake Auto, 809 Berry Street. (ID #0011483) No one appeared in opposition; Councilmember Benanav moved to close the public hearing and approval. Adopted Yeas - 6 Nays - 0 26. Resolution - 98-227 - Approving application for a Gambling Manager's License by Richard Robert Matson, dba St. Paul Festival and Heritage Foundation at Sport's Break, 1199 Rice Street. (ID #19980000686) No one appeared in opposition; Councilmember Hams moved to close the public hearing and approval. Adopted Yeas - 6 Nays - 0 27. Resolution - 98-228 - Approving application for a State Class B Gambling Premise Permit by • Steve Remington on behalf of St. Paul Festival and Heritage Foundation at Sport's Break, 1199 Rice Street. (ID #B-04985) No one appeared in opposition; Councilmember Harris moved to close the public hearing and approval. Adopted Yeas - 6 Nays - 0 28. Resolution - 98-229 - Approving application for a Gambling Manager's License by Shirley Munz, dba Minnesota Brass/Michael's, 1179 7th Street East. (ID #19980000504) No one appeared in opposition; Councilmember Lantry moved to close the public hearing and approval. Adopted Yeas - 6 Nays - 0 29. Resolution - 98-230 - Approving application for Restaurant (B), Liquor On-Sale Sunday, Restaurant (B) and Cigarette/Tobacco Licenses by The Deephaven Corporation, dba Lexington Restaurant, 1096 Grand Avenue. (ID #19980000085) No one appeared in opposition; Councilmember Coleman moved to close the public hearing and approval. Adopted Yeas - 6 Nays - 0 30. Resolution - 98-231 - To remove and/or revise permit parking zones on blocks or portions of blocks within Permit Parking Area 11 (Hmong Funeral Home area). No one appeared in opposition; Councilmember Blakey moved to close the public hearing and approval. • Adopted Yeas - 6 Nays - 0 March 25, 1998 City Council Summary Minutes Page 11 • 31. Final Order in Condemnation Proceedings - 98-232 - In the matter of the condemnation and taking of certain properties (Plastics, Inc.) for the new Science Museum of Minnesota and for the construction of Eagle Parkway. No one appeared in opposition; Councilmember Coleman moved to close the public hearing and approval. Adopted Yeas - 6 Nays - 0 32. Public hearing to consider the appeal of Beverly Carlson to a decision of the Planning Commission denying a request for a special condition use permit to allow an auto specialty store for selling, repairing and mounting used tires at 705 East 7th Street (northwest side between Maria and Bates). Nancy Frick, Department of Planning Economic Development, presented a staff report. The basis of the denial for this application by the Planning Commission was that the proposal does not meet the minimum lot area required in the Zoning Code which is a minimum of 15,000 sq. ft. and the lot is 12,472 sq. ft. Roy Carlson, spouse of the applicant, appeared. He stated that they are under the heading of auto specialty shops which, in a sense, is the same.thing as a body shop and repair shop. However, they are not repairing cars and are not storing cars on the property so he feels that the ruling from 15,000 to 12,000 sq. ft. should have been relaxed. He felt consideration also should have been given to the aesthetic work they have done on the property. He said their intentions are to operate • a good, clean business and employee five to six people. He said he was open to any conditions being placed on the license just so they can do business. Councilmember Benanav noted that staff had recommended approval with conditions. Ms. Frick responded that the recommendation of staff was denial on the basis of not meeting the minimum lot requirement as stated by the Zoning Code. However, included in the staff report was a recommendation for seven conditions, including to properly buffer the site, have appropriate parking, etc., should the Planning Commission decide to waive the minimum lot requirement. Discussion ensued; Councilmember Lantry moved to close the public hearing and grant the appeal with conditions. Motion of Intent - Appeal Granted with Conditions Yeas - 6 Nays - 0 33. Public hearing to consider the appeal of John and Joanne Valiukas to a decision of the Planning Commission denying a determination of similar use to determine whether growing nursery stock and crops, along with retail sales of gardening supplies, is an agricultural use and therefore permitted in a residential zoning district at 13XX Point Douglas Road (east side between Carver and the City limits). Kady Dadlez, Department of Planning and Economic Development, provided a staff report. She noted that the Valiukas' have a contract to purchase the property. Their intention is to establish a use in which they would be growing some nursery stock and crops in addition to selling water gardening supplies. This is property that was once an apple orchard but is zoned residential. The Zoning Administrator was not able to make a determination that what the applicant's were March 25, 1998 City Council Summary Minutes Page 12 • proposing would be something that would be allowed in a residential zoning district. Agriculture is a use that is allowed in a residential zoning district but it requires a special condition use permit. Because the Zoning Administrator was not able to make a determination, the applicants went to the Planning Commission for a determination of similar use; i.e., the Planning Commission was being asked to determine whether the proposal is allowed in a residential zone because it is similar to some other uses that are allowed in a residential zoning district. The Planning Commission voted to deny the determination of similar use based on findings that the requirements for the approval were not met. John Valiukas, appellant, appeared and stated that in the fall of 1996 they talked to staff in the Zoning Office and gave them a list of what they presently do and what they were proposing to do. Zoning approved the things they could do with the land. They were told it was zoned farming or could be reverted back to farming easily. Now they were being told it is zoned residential large lot and Zoning was not able to tell them when the change was made. They were told off the record that they could run their landscaping and lawn maintenance business "as is", they could raise and sell nursery stock, and that they would need a special use permit to sell similar use items such as the retail items to go with the nursery stock. The similar use is now totally different as they were under the assumption that they were going for similar use to sell the retail to go with the nursery stock items. The land is slightly over 5.5 acres and about 80% of the land would be growing stock. About another one-half acre would be display areas for holding stock, so only • about one-half acre would be retail and would include the business offices and storage of equipment. About 75-80% of the actual sales is from the land for retail. (Benanav left and returned) Larry Nielsen, Attorney representing K-6, the owner of the property, appeared. K-6 has sold the property under a contract with the Valiukas'. He provided background information on this property saying it waspreviously the same type of operation. It has been vacant since December 1993, it has been for sale, and there has basically been no interest in anyone buying the property for residential purposes. He does not feel the property is residential and should be considered commercial property. He felt it would be a very similar use under the Valiukas as to what the previous apple orchard had there and in many ways is similar to some of the uses allowed under the residential zoning. Tim Colestock, a close resident to this property, appeared and spoke in support. Appearing and speaking in opposition was Mark Howard who stated that he lives in very close proximity to the property. The building the Valiukas plan to sell merchandise from was to have been torn down which was part of the purchase agreement when he bought his house and he expected new homes to go on this space. Councilmember Lantry moved to close the public hearing. Yeas - 6 Nays - 0 1111 Councilmember Lantry moved to deny the appeal. She said that this particular lot is zoned March 25, 1998 City Council Summary Minutes Page 13 • residential and this business is not a residential use. Motion of Intent - Appeal Denied Yeas - 5 Nays - 1 (Coleman) (The meeting was recessed from 7:00 to 7:08 p.m.) At this time Mr. Frank Biller, President of Plastics, Inc. appeared. He stated that they understand the City has obligations to the Science Museum to deliver the property and that the public interest has to be protected in terms of not only completing the museum on time but trying to minimize costs. There is a gap in terms of the eminent domain numbers, what has been put on the table for them and what they are looking for. Mr. Biller stated the City does not have to give them anything. Their position on the whole issue is that they do not want to move and do not want to disrupt their business for a variety of reasons. He said they need some help in dealing with the Science Museum as they have been trying to contact them and the director refused to meet with him the last week. He met with one of the staff but was told it was not open for discussion. Their attorney sent over a resolution that they asked the Council to consider as part of the eminent domain proceeding that would state in the event that they do work something out with the Science Museum, the City would stop the eminent domain proceedings. They have a strong goal to try to minimize any controversy or adversity with the community regarding the eminent domain proceedings. • 34. Public hearing to consider the appeal of TPI/CouncilmemberS St. Paul Limited Partnership to a decision of the Board of Zoning Appeals denying three variances in order to construct an off-street surface parking lot at 55 East Fifth Street (corner of Fifth and Minnesota Streets). John Hardwick, Office of License, Inspections and Environmental Protection, provided a staff report. He stated that the appellants appeared before the Board of Zoning Appeals (BZA) on February 9, 1998 requesting three variances in order to establish a surface parking lot at the northwest corer of Fifth and Minnesota Streets. The parking lot would have ten parking spaces. A recommendation was received from the Development Committee of Capitol River Council recommending denial of the variances. St. Paul on the Mississippi Design Center Group also recommended denial as well the BZA and staff. Denial was based on four findings. Dawn Grant, Vice President, Towle Real Estate Company who represents the building ownership, appeared. She presented a site map of downtown St. Paul showing the subject location and a plan showing the proposed parking area. The original application was for three variances, now it is for only one. The three variances were for the width of the driveway and the number of stalls which, per City Code, is 33' and they have 29' 9". The second variance was for the amount of setback from the property line to the parking which, per Code, is 4'. They have re-measured and made adjustments and it is now 4' which is the landscaping buffer on the east side of the property line. The third variance pertained to the size of the stalls. Originally, Towle had 8' width stalls and they have adjusted them to 8'6" bringing the number of stalls down to 9 and putting in one • handicapped accessible stall. Ms. Grant reviewed her handout in detail. She said they would bring in 40 new jobs to downtown in leasing this space which is approximately 8,300 sq. ft. • March 25, 1998 City Council Summary Minutes Page 14 • In response to a question of Councilmember Coleman, Ms. Grant said that landscaping is not their primary focus but rather to convert the space to parking, but they understand the need to make it look aesthetically better both for the property and downtown. Councilmember Coleman said a concern raised was whether this does nor does not comply with the Mississippi framework. Mr. Grant said they are supportive of the framework but that it is subjective and that a general statement cannot be made about downtown St. Paul as each situation is unique. Councilmember Coleman said he has not seen sufficient evidence to say that this is the only viable way of using the space. His concern is the broader principle of the framework and how it will be implemented. If it is implemented, he said he feels everyone benefits. If exceptions are made and the framework is not abided by in this instance, Coleman said he felt they would be going down the wrong road. No one appeared in opposition. Ms. Grant responded that they were here for a variance appeal and not for the development framework and she was concerned about that issue coming into the picture. • Mr. Hardwick noted that the packet of information submitted by Ms. Grant contained all new information with the exception of the letter from FirstStar. The BZA was looking at a different site plan. Phil Byrne, Assistant City Attorney, stated the Legislative Code gives the Council authority to make any decision they feel is appropriate. The Council could look at the one variance request and make a decision. Or, if the Council feels this is an issue where there has been a radical change with factors that need study by staff, it can be sent back to the BZA for a new staff report. Another option was to not accept the new plans and decided on what is before the Council. Councilmember Blakey asked about the variance difference. Mr. Hardwick responded that the new proposal would require a new variance of about 3' 3" of the maneuvering lane assuming the • design is correct. Councilmember Blakey spoke in support of the new proposal. Councilmember Benanav also spoke in support of the variance saying it is an opportunity to bring new employees to downtown and improve a deteriorating area. He said the Council should not be in the business of discouraging new business. Councilmember Coleman said there is a potential that the second drawing can work and some of the landscaping can be done to make it a more palatable plan for the district council. However, this was not the issue before the Council at this time and Coleman said they do not have the authority to proceed with the plan • Ms. Grant asked if the plan could be approved at this time without the additional landscaping and PP P g March 25, 1998 City Council Summary Minutes Page 15 • then deal with that issue at another time. Council President Bostrom spoke in support of the plan but said the biggest issue is to insure that it would look the way it s being presented when it is completed. Phil Byrne said he thought the Department of Public Works would have to assess what the needs are for traffic in that area, whether sidewalks, turning lanes, etc. are needed, as well as the liability issue. Councilmember Bostrom suggested a contingency be put on the application that it would have to meet with the approval of Public Works. Councilmember Coleman said he would like to look at a range of options for this space and that the district council should have an opportunity to review the proposal. Ms. Grant responded that the district council has seen the plan and denied it. Councilmember Coleman moved to deny the appeal. Yeas -1 Nays - 5 (Benanav, Blakey, Bostrom, Harris, Lantry) Councilmember Benanav moved to grant the appeal with a condition that there be input from the Department of Public Works and the Division of Parks and Recreation. • Motion of Intent - Appeal Granted with Conditions Yeas - 5 Nays - 1 (Coleman) Councilmember Coleman moved to adjourn the meeting. Roll Call Yeas - 6 Nays - 0 ADJOU ED AT 7:50 P.M. Daniel ostrom, Council President ATTEST: Minutes approved by Council Nancy And � � O \ $' Assistant Council Secretary • mce