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HomeMy WebLinkAbout07-05-2023 City Council Work Session Packet CITY COUNCIL WORK SESSION Mayor Amáda Márquez Simula Councilmembers Connie Buesgens Kt Jacobs Rachel James Justice Spriggs Interim City Manager Kevin Hansen Public Safety Bldg—Training Room, 825 41st Ave NE Wednesday, July 05, 2023 6:00 PM AGENDA ATTENDANCE INFORMATION FOR THE PUBLIC Members of the public who wish to attend may do so in-person, by calling 1-312-626-6799 and entering meeting ID 861 4690 4172 or by Zoom at https://us02web.zoom.us/j/86146904172. For questions please call the Administration Department at 763-706-3610. CALL TO ORDER/ROLL CALL WORK SESSION ITEMS 1. Update on Upcoming Potential Revocations. (30 Minutes) 2. PEL Update. (15 Minutes) 3. Parks Capital Improvement Plan: Review and Update / Plan Moving Forward. (45 Minutes) 4. City Hall - Update. (10 Minutes) 5. 24-30 Month Looking Forward Plan of Projects and Activities. (90 Minutes) 6. THC Legalization, Registration, and Zoning Update. (30 Minutes) 7. Tax Increment Financing (TIF) 101 and TIF Status Report. (30 Minutes) 8. Single Family Rental Density Cap Discussion. (30 Minutes) 9. City Council. (30 Minutes) *National League of Cities Membership. *Outdoor Activities During Weather Advisory. *City Manager Search and City Manager Job Description. *Community Forum Update. ADJOURNMENT Auxiliary aids or other accommodations for individuals with disabilities are available upon request when the request is made at least 72 hours in advance. Please contact Administration at 763-706-3610 to make arrangements. 1 CITY COUNCIL WORK SESSION AGENDA SECTION WORK SESSION ITEMS MEETING DATE ITEM: Update on Upcoming Potential Revocations. DEPARTMENT: Fire BY/DATE: Daniel O’Brien 7/5/2023 CITY STRATEGY: (please indicate areas that apply by adding a bold “X” in front of the selected text below) _Safe Community _Diverse, Welcoming “Small-Town” Feel _Economic Strength X Excellent Housing/Neighborhoods _Equity and Affordability _Strong Infrastructure/Public Services _Opportunities for Play and Learning _Engaged, Multi-Generational, Multi-Cultural Population BACKGROUND: Assistant Fire Chief O’Brien will present an update on the status of each of the rental licenses posted for revocation. A status update will be provided for the following rental licenses:  1206-1208 Circle Terrace Blvd NE  1853 39th Ave NE  3809 Reservoir Blvd NE  1000 Peters Pl NE  940 39th Ave NE  3806 Stinson Blvd NE Specific information is not included in this document as many of the inspections are scheduled following the deadline submission for council documents. ATTACHMENT(S): None 2 Item 1. ITEM: PEL - update DEPARTMENT: Administration BY/DATE: Kevin Hansen / June 28, 2023 CORE CITY STRATEGIES: (please indicate areas that apply by adding an “X” in front of the selected text below) _Healthy and Safe Community X Equitable, Diverse, Inclusive, and Friendly _Trusted and Engaged Leadership X Thriving and Vibrant Destination Community X Strong Infrastructure and Public Services _ Sustainable BACKGROUND: City staff has been part of the Technical Advisory Committee, or TAC, of the MnDOT PEL Study along TH 47 and TH 65 over the last couple of years. A PEL study follows a federally established process evaluating current transportation conditions and problems, is safety focused, and presents the likely future needs for the next 20 or more years, based on data and community input. The process of the PEL does not conclude with a recommended option, but eliminates alternatives that are not feasible, so more than one alternative will likely be included. The PEL study is now in phase 2 and is anticipated to be completed at the end of 2023. The last TAC meeting presentation from MnDOT is attached. Staff will review the presentation from MnDOT, focusing on where the PEL is at and what is next. The PEL is advancing in a different process than originally envisioned, largely due to major construction projects planned by MnDOT, Met Council (the BRT), Minneapolis and Columbia Heights. Staff will review this schedule and potential impacts for the Central Avenue corridor. STAFF RECOMMENDATION: None = informational update and discussion. ATTACHMENT: TAC Meeting #12 presentation slides, updated 6/30/2023 CITY COUNCIL WORK SESSION MEETING AGENDA SECTION WORK SESSION ITEM MEETING DATE JULY 5, 2023 3 Item 2. Hwy 47/Hwy 65 PEL Study Columbia Heights Council Update SP 0205-109 MnDOT Metro District June 30, 2023 1 4 Item 2. Engagement Overview •2 public meetings: ~75 attendees •1 virtual meeting: ~30 attendees •1,584 online survey participants (76% completion rate) •>100 reached via multiple pop-ups and targeted engagement opportunities •Success reaching underrepresented users •Broad public engagement now complete 6/30/2023 2 5 Item 2. Survey Preliminary Findings General support for all 4 Corridor Visions vs. Existing Conditions •Central from 37th to I-694: 4-lane Pkwy rated most highly •University from 27th to I-694: 4-lane Pkwy rated most highly Some questions/concerns for future project development: •Mixed feedback on roundabouts •Concerns about any potential loss of on-street parking (especially in Minneapolis) 6/30/2023 3 6 Item 2. What’s Next? •PEL will likely conclude with all 4 build alternatives in play –PEL will not pick one option •MnDOT is now transitioning from PEL into preliminary design to pick one option for the following areas: •University Ave. in Minneapolis (Central Ave. to 27th Ave.) •University Ave. in Anoka County (40th Ave. to Highway 10) •Central Ave. in Minneapolis and Columbia Heights 6/30/2023 4 7 Item 2. What’s Next? •PEL improvements not currently funded, however, Highway 65 in Blaine (below) is an example of how a major project could be funded post-PEL 6/30/2023 5 8 Item 2. PEL Implementation Plan on University Ave •2023/2024 –MnDOT works to narrow down PEL alternatives to a single preferred alternative and develop preliminary plans. •2025/2026 –Metro Transit F Line construction (53rd Ave. to 85th Ave.). Metro Transit can build bus stops “PEL-ready” based on MnDOT preliminary plans. •2030 –Planned MnDOT resurfacing project (40th Ave. to US 10) Goal could be to construct PEL improvements with resurfacing project –or sooner –if funding can be secured 6/30/2023 6 9 Item 2. PEL Implementation Plan on Central Ave •2023/2024 –MnDOT works to narrow down PEL alternatives to a single preferred alternative and develop preliminary plans. •2025/2026 –Metro Transit F Line construction (Minneapolis through 53rd Ave). Metro Transit can build bus stops “PEL- ready” based on MnDOT preliminary plans. •Early 2030s –Multiple planned MnDOT resurfacing projects from Mississippi River through Moore Lake Road Goal could be to construct PEL improvements with resurfacing projects –or sooner –if funding can be secured 6/30/2023 7 10 Item 2. Funding opportunities •Blaine/Anoka County secured funding through a variety of sources that could also apply to 47/65: •Competitive federal grants/programs -MnDOT may be able to assist with writing applications •Local road improvement program •Federal congressional directed funds •State bonding 6/30/2023 8 11 Item 2. Next Steps •MnDOT is advancing preliminary design for both Central and University Ave in Columbia Heights –expect more public engagement to pick a single option late 2023/2024 •City/County leadership essential to securing funding. MnDOT can support engineering and assist with grant writing. 6/30/2023 9 12 Item 2. Challenges •Costs for PEL will be significant –MnDOT refining cost estimates, but expect costs to exceed $100 million each for all of University and Central (65 in Blaine is estimated at $165 million) •Funding is not currently allocated for PEL improvements •Multiple projects in the corridor require close coordination 6/30/2023 10 13 Item 2. Thank you! Christopher Bower, Metro North Area Engineer, Project Manager Christopher.Bower@state.mn.us 6/30/2023 mndot.gov 11 14 Item 2. Discussion 126/30/2023 • Northtown Mall Transit Center Central Ave at Lowry Ave Columbia Heights: Central Ave at 49th Ave 15 Item 2. ITEM: Parks CIP - update DEPARTMENT: Administration BY/DATE: Kevin Hansen / June 27, 2023 CORE CITY STRATEGIES: (please indicate areas that apply by adding an “X” in front of the selected text below) X Healthy and Safe Community X Equitable, Diverse, Inclusive, and Friendly _Trusted and Engaged Leadership X Thriving and Vibrant Destination Community _Strong Infrastructure and Public Services _ Sustainable BACKGROUND: (continued from June 5th Work Session) Over the last fifteen years, the Park and Recreation Commission has completed the Master Planning of six 6 Parks, culminating in the reconstruction of each of these parks. The intent of a Master Plan process (initial concepts, public engagement, Commission recommendation, Council approval) is to provide an overall plan of the entire park to work from for design and construction. Therefore, it is the desire of the Park and Recreation Commission and City Staff to have a detailed working plan to rehabilitate or reconstruct elements of the park in phases, as funding becomes available. The Master Plan also provides cost estimates of each park element or amenity and provide an evaluation of financing options for the short and long term redevelopment plan. Master Plans and years developed are: 2003: Huset Park 2008: Sullivan Lake Park 2008: Silver Lake Beach 2011: Ramsdell Park 2012: Labelle Park 2014: Huset West (playground, shelter) 2015: Huset West (Splash Pad) 2016: Keyes Park 2018: Silver Lake Boat Landing 2019 - Current: Wargo Court SUMMARY OF CURRENT STATUS: For reference, the Master Planning leading to redevelopment at each park has resulted in investing $450,000 to $650,000 at each park. In 2018 and 2019, the Park and Recreation Commission reviewed each park for updating the Parks CIP. Over the last 2-1/2 years, material and construction costs have experienced significant price increases. To provide the best information to evaluate funding alternatives, the consulting firm of WSB was contracted to review CITY COUNCIL WORK SESSION MEETING AGENDA SECTION WORK SESSION ITEM MEETING DATE JULY 5, 2023 16 Item 3. City of Columbia Heights - Council Letter Page 2 and provide updated cost estimates using the most recent Parks CIP updated by the Park & Recreation Commission in 2020, summary attached. In April of 2023, the Park & Recreation Commission reviewed the WSB cost updates. Those cost updates (WSB) are also attached on a park by park basis. One of the high priority goals established in the 2023 Strategic Planning and Goal Setting report was updating the Parks Master Plan and Parks financing plan. Traditional funding for parks improvements has been through the park redevelopment fund, general fund, and DNR or MWMO grants which have funded related development improvements such as storm water. The Park Development Fund is sourced through residential redevelopment activities. Grants funding large scale park redevelopment are limited. Staff will be engaging our Legislators to discuss funding through the State – but this funding, when available, is most often directed toward projects having regional significance or outside the Metro. Parks bonding is the more common funding tool used by Cities when funding large scale or multiple park projects. Recent examples are the Cities of Fridley and Coon Rapids. Fridley issued $20 million in bonds for a $30,000 Parks redevelopment program. Options the Council may consider are:  Do nothing  Redevelop as funding becomes available through traditional methods.  Redevelopment of specific parks (Partial system redevelopment)  Redevelopment of all remaining parks (Complete system redevelopment) STAFF RECOMMENDATION: While doing nothing is always an option, the condition and needs of our park system is significant. Reinvestment in our Park System will require bonding. Considering other City needs that will also require bonding, such as facilities (Public Works and Murzyn Hall) and current and future infrastructure (37th Avenue, Water Meter replacement, Central Avenue, sidewalks), the Council may want to consider funding a phased approach. Choosing to redevelop smaller to medium parks could be accomplished in the near term. Delaying redevelopment of larger parks such as Huset would allow us to explore other funding sources such as State requests or other grant opportunities. It would also allow us to update the Master Plans for larger parks as the athletic field needs facilitated in these parks have changed (such as soccer fields or pickleball). Staff has provided a suggested plan under this funding scenario, attached. This approach would redevelop identified parks in 2024 and 2025. I should also note that any park redevelopment authorized by the Council would include public engagement and communications with the community as established in the Council goals. ATTACHMENT(S): Updated Parks Capital Improvement Plan (CIP) Summary Updated Parks Capital Improvement Plan (CIP) Park by Park Phased funding scenario 17 Item 3. Park Redevelopment Phased Approach 2024: Hilltop Park: $165,000 Labelle Park: $110,000 Prestemon Park: $825,000 2025: Edgemoor Park: $165,000 Lomianki Park: $475,000 Keyes Park: $850,000 Wargo Court: $425,000 Total 2023 Bonding: $3,025,000 Future Years: Sullivan Lake Park: $600,000* Ostrander Park: $550,000 McKenna Park: $1,350,000 Ramsdell Park: $800,000 Gauvitte Park: $1,675,000 (Storm water funding) $250,000 (Parks) Huset Park West $3,950,000 Huset Park East $3,750,000 Total Future Funding: $12,925,000 * Medtronic Redevelopment (timing) 18 Item 3. 2023-2028 Capital Improvement Plan Parks Department 412-5200 Project 2019 2020 2021 2022 2023 2024 2025 2026 2027 2028 Total Cost Notes Huset Park ** Implement Master Plan including: $3,000,000 $3,000,000 Master Plan includes east and west Site Grading, EC, landscaping and restoration $400,000 Contaminated soils (export - landfill) $225,000 1990 report Pinwheel Ballfields (west), fencing and irrigation $800,000 3 or 4 fields in a pinwheel design Remove block garage / Install concession & restroom bldg $825,000 and storage Remove Jefferson bld & new picnic shelter $215,000 Install Baseball and Soccer Fields (East) $400,000 1 each Playground Replacement (east) $135,000 JPM Parking lot and access drive Mill to Huset Prkwy $475,000 $475,000 Recon of lower JPM lot, add access dr Gauvitte Park $1,045,000 $1,045,000 Cost share MWMO - TBD Develop Master Plan / SWIA $25,000 $25,000 MWMO funded Construct storm water infiltration area (SWIA) * $400,000 MWMO watershed funding (tbd) Purchase property for pipe access to (SWIA) $250,000 MWMO watershed funding (tbd) Replace playground equipment $115,000 Building demolition / new picnic shelter $145,000 Site Grading, EC, landscaping and restoration $135,000 Eval for soccer field McKenna Park $640,000 $640,000 Develop Master Plan $18,000 $18,000 Remove wading pool $25,000 maintain only 2 water features Remodel parkhouse $225,000 Reconstruct Athletic Fields $175,000 (?) Maintain 1 or 2 fields Site Grading, Parking lot, EC, landscaping and restoration $215,000 new parking lot off 48th Ave Sullivan Park **$450,000 $450,000 Rehab park storage building $50,000 Masonry, Doors, windows, locks Reconstruct tennis courts $275,000 full reconstruction, poor soils Inclusive Play area $125,000 Add to existing play area 53rd & Central Construct entrance sign to city - yr TBD $40,000 $40,000 ~$10k from former CH chamber Ramsdall Park **$525,000 $525,000 Remove wading pool / construct splash pad $415,000 smaller than Huset SP Complete trail (shown in Master Plan) $25,000 City Staff Trail Lighting $85,000 LED ~ 10 lights Skate Park (Johnson & 49th Ave - ISD 13 property)$165,000 evaluate need (not in budget), cost can vary Hilltop Park Replace playground equipment $75,000 $75,000 no Master Plan - equip only Silver Lake Park ** Construct pathway from Stinson Blvd to Benjamin St $165,000 $165,000 difficult install - ADA issues, reevaluate need Keyes Park **$550,000 Reconstruction based on Master Plan $550,000 $0 completed Building remodel / addition $400,000 $400,000 Remodel interior / add covered picnic area North Sidewalk (46th and Reservoir) $125,000 $125,000 19 Item 3. Complete trail (shown in Master Plan) $25,000 $25,000 City Staff install (materials cost only) Ostrander Park $600,000 $600,000 Develop Master Plan $20,000 $20,000 Site Grading, ponding, EC, landscaping and restoration $180,000 serve as area storm WQ (underground) Replace playground equipment $115,000 Remove Park Building $30,000 New Picnic Shelter $115,000 Reconstruct Hockey Rink $95,000 requires commission review (or demolish) Paved Trail $65,000 Perimeter only La Belle Park ** Retrofit existing and add Lighting for walking trail $135,000 $135,000 LED lighting east side, LED fixtures Silver Lake Boat Landing ** Reconstruct boat landing $550,000 $0 completed, partial grant funded Reconstruct stormwater retention pond * $347,000 $0 completed, partial grant funded Prestemon Park $477,500 $477,500 rehabbed in 1999 Reconstruct basketball court $75,000 Reconstruct Parking lots $100,000 Remove Park Building $22,500 Construct Picnic Shelter $165,000 Construct Dog Park $115,000 requires commission review Lomianki Park $235,000 Replace playground equipment $85,000 $85,000 Rehabilitate Park Building / Grounds $150,000 $150,000 Refresh, not a major recon Edgemoor Park Replace playground equipment $85,000 $85,000 No Master Plan - equip only Wargo Court ** Develop Master Plan $5,000 $5,000 Complete Master Plan Park Reconstruction based on Master Plan $385,000 $385,000 Wargo Estate funds (~150k) Hart Lake $280,000 Install Trail west side of Hart Blvd $235,000 $235,000 ? State Aid, if available Replace ped lighting west side of Hart Blvd $45,000 $45,000 5 LED lights 2019 2020 2021 2022 2023 2024 2025 2026 2027 ANNUALLY: $0 $25,000 $0 $5,000 $793,000 $995,000 $1,500,000 $3,420,000 $1,892,500 $450,000 $9,080,500 Contingency $908,050 10% TOTAL $9,988,550 * Project budgeted in Storm Sewer CIP ** Park Master Plan Costs are construction estimates only and do not include soft costs such as architectural, testing, and inspection. Costs estimates are 2022 basis 20 Item 3. Item No.Unit 2 LS 4 SF 5 LS 6 LS 7 LS 8 LS Opinion of Probable Cost Hilltop Park Description Estimated Quantity Estimated Unit Price Estimated Total Cost $6,0004" THICK STANDARD CONCRETE WALK 400 $15 REMOVE AMENITIES 1 $1,500 $1,500 SITE AMENITIES 1 $10,000 $10,000 PLAY AREA 1 $125,000 $125,000 EROSION CONTROL 2 $1,000 $2,000 SEED RESTORATION AND PLANTING 1 $5,000 $5,000 Contingency (10%)$14,950 PROJECT TOTAL $164,450 SUBTOTAL $149,500 CONSTRUCTION ESTIMATE TOTAL $149,500 21 Item 3. Item No.Unit 1 LS 2 LS 3 SF 4 LS 5 LS 6 LS 7 LS PROJECT TOTAL $850,000 CONTINGENCY (10%)$77,200 CONSTRUCTION ESTIMATE TOTAL $849,200 SEED RESTORATION AND LANDSCAPING 1 $20,000 $20,000 SUBTOTAL $772,000 RESTROOM RENOVATION / 1 $450,000 $450,000 EROSION CONTROL 1 $10,000 $10,000 6' CONCRETE WALK 13800 $15 $207,000 SITE AMENITITIES 1 $25,000 $25,000 MOBILIZATION 1 $15,000 $15,000 EARTHWORK 1 $45,000 $45,000 Opinion of Probable Cost Keyes Park Description Estimated Quantity Estimated Unit Price Estimated Total Cost 22 Item 3. Item No.Unit 1 LS 2 EA 3 EA Opinion of Probable Cost La Belle Park Description Estimated Quantity Estimated Unit Price Estimated Total CostMOBILIZATION1$5,000 $5,000 UPGRADE LIGHTS TO LED 8 $2,500 $20,000 NEW LIGHTS 8 $9,000 $72,000 SUBTOTAL $97,000 PROJECT TOTAL $110,000 CONTINGENCY (10%)$9,700 CONSTRUCTION ESTIMATE TOTAL $106,700 23 Item 3. Item No.Unit 1 LS 2 LS 3 SY 4 SY 5 LS 6 LS 7 SF 8 SY 9 LS 10 EA 11 LS 12 LS 13 LS 14 LS PROJECT TOTAL $550,000 SUBTOTAL $497,600 CONTINGENCY (10%)$49,760 CONSTRUCTION ESTIMATE TOTAL $547,360 EROSION CONTROL 1 $5,000 $5,000 SEED RESTORATION AND LANDSCAPING 1 $20,000 $20,000 PLAY AREA 1 $150,000 $150,000 PLANTINGS 1 $10,000 $10,000 SITE FURNISHINGS 1 $25,000 $25,000 24'x24' SHELTER 1 $100,000 $100,000 4" THICK STANDARD CONCRETE 150 $15 $2,250 BITUMINOUS W/AGGREGATE BASE (RINK AND TRAIL) 2600 $30 $78,000 REMOVE PLAY AREA 1 $15,000 $15,000 EARTHWORK 1 $50,000 $50,000 REMOVE CONCRETE 120 $12 $1,440 REMOVE BITUMINOUS PAVEMENT 650 $10 $6,500 MOBILIZATION 1 $24,410 $24,410 REMOVE AND GRUB TREES/STUMPS 1 $10,000 $10,000 Opinion of Probable Cost Ostrander Park Description Estimated Quantity Estimated Unit Price Estimated Total Cost 24 Item 3. Item No.Unit 1 LS 2 LS 3 LF 4 LS 7 SY 8 LS 9 LS 10 LS 11 LS 12 LS 13 LS 14 LS 15 LF 16 SF 17 SY 18 LS 19 LS 20 LS 21 LS 22 LS 23 LS PROJECT TOTAL $3,950,000 CONTINGENCY (10%)$358,830 CONSTRUCTION ESTIMATE TOTAL $3,947,130 SEED RESTORATION AND LANDSCAPING 1.00 $120,000 $120,000 SUBTOTAL $3,588,300 RESTROOM/ CONCESSIONS 1 $850,000 $850,000 EROSION CONTROL 1 $12,000 $12,000 SOFTBALL FIELD, IRRIGATION, FENCING 3 $300,000 $900,000 SITE FURNISHINGS 1 $50,000 $50,000 BITUMINOUS TRAIL W/AGGREGATE BASE 3850 $30 $115,500 PARKING LOT 100 SPACES 1 $345,000 $345,000 CURB AND GUTTER 1,080 $30 $32,400 4" THICK STANDARD CONCRETE WALK 4500 $15 $67,500 STORMWATER IMPROVEMENTS 1 $50,000 $50,000 EARTHWORK 1 $300,000 $300,000 WATER IMPROVEMENTS 1 $50,000 $50,000 SANITARY IMPROVEMENTS 1 $40,000 $40,000 REMOVE BALLFIELDS 4 $15,000 $60,000 ELECTRICAL IMPROVEMENTS 1 $95,000 $95,000 REMOVE BITUMINOUS PAVEMENT 8,950 $10 $89,500 REMOVE BLOCK SHED 1 $22,500 $22,500 REMOVE CURB 1,575 $12 $18,900 REMOVE/REPLACE CONTAMINATED 1 $250,000 $250,000 MOBILIZATION 1 $95,000 $95,000 REMOVE AND GRUB TREES/STUMPS 1 $25,000 $25,000 Opinion of Probable Cost Huset West Park West Description Estimated Quantity Estimated Unit Price Estimated Total Cost 25 Item 3. Item No.Unit 1 LS 2 LS 3 SY 4 LS 5 LS 6 LS 7 LS 8 LF 9 SF 10 SY 11 SY 12 SY 13 LS 14 LS 15 LS 16 LS 17 EA 18 LS 19 LS 20 LS Opinion of Probable Cost McKenna Park Description Estimated Quantity Estimated Unit Price Estimated Total Cost EARTHWORK 1 $110,000 $110,000 $15,000 REMOVE AND GRUB TREES/STUMPS 1 $10,000 $10,000 REMOVE BITUMINOUS PAVEMENT 2,850 $10 $28,500 MOBILIZATION 1 $15,000 BITUMINOUS W/AGGREGATE BASE 2100 $30 $63,000 REMOVE PARK BUILDING 1 $20,000 $20,000 REMOVE WADING POOL/BLDG 1 $15,000 $15,000 STORMWATER IMPROVEMENTS 1 $95,000 $95,000 SOFTBALL FIELD, BACKSTOP FENCING, 1 $150,000 $150,000 CURB AND GUTTER 800 $30 $24,000 4" THICK STANDARD CONCRETE WALK 3000 $15 $45,000 BITUMINOUS W/AGGREGATE BASE (NEW 1800 $30 $54,000 IRRIGATION 1 $50,000 $50,000 BITUMINOUS TRAIL W/AGGREGATE BASE 2500 $30 $75,000 PARKING LOT 35 SPACES 1 $225,000 $225,000 SOCCER FIELD, IRRIGATION 1 $75,000 $75,000 PROJECT TOTAL $1,350,000 SUBTOTAL $1,227,500 Contingency (10%)$122,750 CONSTRUCTION ESTIMATE TOTAL $1,350,250 $35,000 $35,000 SITE FURNISHINGS 1 $30,000 $30,000 SILT FENCE 1 $8,000 $8,000 SEED RESTORATION & PLANTINGS 1 24'x24' SHELTER 1 $100,000 $100,000 26 Item 3. Item No.Unit 1 LS 2 LS 3 LF 7 SY 8 LS 9 LS 10 LS 11 LS 12 LS 13 LS 14 LS 15 LS 16 LF 17 SY 18 SF 19 SY 20 LS 21 LS 22 LS 23 LS 24 LS 25 LS 26 LF 27 LS PROJECT TOTAL $3,750,000 SUBTOTAL $3,404,400 CONTINGENCY (10%)$340,440 CONSTRUCTION ESTIMATE TOTAL $3,744,840 EROSION CONTROL 1 $12,000 $12,000 SEED RESTORATION/ LANDSCAPE 1.00 $125,000 $125,000 SHELTER 1 $150,000 $150,000 PLAY AREA 1 $150,000 $150,000 BASEBALL FIELD, IRRIGATION, FENCING, LIGHTING,DUGOUT CANOPIES 1 $500,000 $500,000 SITE FURNISHINGS 1 $50,000 $50,000 PARKING LOT (40 SPACES)1 $125,000 $125,000 SOCCER FIELD W/ IRRIGATION 1 $100,000 $100,000 4" THICK STANDARD CONCRETE WALK 10500 $15 $157,500 BITUMINOUS TRAIL W/AGGREGATE BASE 3400 $30 $102,000 CURB AND GUTTER 1,400 $30 $42,000 BITUMINOUS DRIVE 22,800 $35 $798,000 STORMWATER IMPROVEMENTS 1 $100,000 $100,000 EARTHWORK 1 $300,000 $300,000 ELECTRICAL IMPROVEMENTS 1 $75,000 $75,000 WATER IMPROVEMENTS 1 $15,000 $15,000 REMOVE BALLFIELD 1 $15,000 $15,000 REMOVE HUSET BUILDING 1 $17,500 $17,500 REMOVE/REPLACE CONTAMINATED SOILS 1 $250,000 $250,000 REMOVE BASKETBALL COURTS & VOLLEYBALL AREA 1 $20,000 $20,000 REMOVE CURB 3,200 $12 $38,400 REMOVE BITUMINOUS 14,200 $10 $142,000 MOBILIZATION 1 $95,000 $95,000 REMOVE AND GRUB TREES/STUMPS 1 $25,000 $25,000 Opinion of Probable Cost Huset Park East & Huset Parkway Description Estimated Quantity Estimated Unit Price Estimated Total Cost 27 Item 3. Estimated Quantity 1 1 1 1 1600 1 1 1 1 1 Estimated Quantity 1 1 400 835 1 1 1 1 1 1 900 3000 3100 1 1 1 1 1 1 1 1 1 Opinion of Probable Cost Park Improvements Item No.Description Unit Estimated Unit Price Estimated Total Cost 2 REMOVE AND GRUB TREES/STUMPS LS $2,500 $2,500 1 MOBILIZATION LS $10,000 $10,000 4 EARTHWORK LS $35,000 $35,000 3 REMOVE HOCKEY RINK LS $3,000 $3,000 6 SOCCER FIELD, GRADING, LANDSCAPING LS $50,000 $50,000 5 BITUMINOUS TRAILS (SOUTH) W/AGGREGATE BASE SY $30 $48,000 8 EROSION CONTROL LS $4,000 $4,000 7 AMENITIES (INCLUDING DISC GOLF)LS $15,000 $15,000 10 SITE RESTORATION LS $50,000 $50,000 9 PLANTINGS LS $10,000 $10,000 CONSTRUCTION ESTIMATE TOTAL (PARK) $250,250 SUBTOTAL $227,500 CONTINGENCY (10%)$22,750 Item No.Description Unit Estimated Unit Price Estimated Total Cost PROJECT TOTAL (PARK)$250,000 1 MOBILIZATION LS $50,000 $50,000 Stormwater Improvements 3 REMOVE CURB LF $12 $4,800 2 REMOVE AND GRUB TREES/STUMPS LS $10,000 $10,000 5 REMOVE BASKETBALL COURTS LS $2,500 $250,000 4 REMOVE BITUMINOUS PAVEMENT SY $8 $6,680 7 REMOVE BUILDING LS $25,000 $25,000 6 REMOVE AMENITIES LS $5,000 $5,000 9 STORMWATER IMPROVEMENTS (LAND PURCHASE)LS $350,000 $350,000 8 STORMWATER IMPROVEMENTS (INF BASIN / POND)LS $435,000 $435,000 11 CURB AND GUTTER LF $30 $27,000 10 EARTHWORK LS $40,000 $40,000 13 BITUMINOUS W/AGG BASE (N. TRAILS / PARKING)SY $30 $93,000 12 4" THICK STANDARD CONCRETE SF $15 $45,000 15 BASKETBALL COURT LS $70,000 $70,000 14 PARKING LOT STRIPING LS $2,000 $2,000 17 PORTABLE RESTROOM & ENCLOSURE LS $10,000 $10,000 16 AMENITIES LS $25,000 $25,000 19 PLAY AREA LS $125,000 $125,000 18 24'x24' SHELTER EA $100,000 $100,000 LS $35,000 $35,000 20 EROSION CONTROL LS $3,500 $3,500 PROJECT TOTAL $1,675,000 Gauvitte Park CONSTRUCTION ESTIMATE TOTAL (STORMWATER) $1,932,678 SUBTOTAL $1,756,980 CONTINGENCY (10%)$175,698 22 SITE RESTORATION LS $45,000 $45,000 21 PLANTINGS 28 Item 3. Item No.Unit 1 LS 2 LS 3 SF 4 LS 5 LS 6 LS 7 LS 8 LS 9 SF 10 SY 11 LS 12 LS 13 LS 14 LS 15 EA 16 LS 17 LS 18 LS PROJECT TOTAL $475,000 SUBTOTAL $431,750 CONTINGENCY (10%)$43,175 CONSTRUCTION ESTIMATE TOTAL $474,925 EROSION CONTROL 1 $2,500 $2,500 SEED RESTORATION AND EROSION CONTROL 1 $17,500 $17,500 24'x24' SHELTER 1 $100,000 $100,000 PLAY AREA 1 $125,000 $125,000 PORTABLE RESTROOM ENCLOSURE 1 $10,000 $10,000 SHED 1 $10,000 $10,000 PARKING LOT (6-8 STALLS)1 $25,000 $25,000 SITE AMENITIES 1 $15,000 $15,000 4" THICK STANDARD CONCRETE 150 $15 $2,250 BITUMINOUS TRAIL W/AGGREGATE BASE 800 $30 $24,000 WATER IMPROVEMENTS 1 $10,000 $10,000 EARTHWORK 1 $30,000 $30,000 REMOVE AMENITIES 1 $12,500 $12,500 ELECTRICAL IMPROVEMENTS 1 $5,000 $5,000 REMOVE CONCRETE 250 $12 $3,000 REMOVE BUILDING 1 $15,000 $15,000 MOBILIZATION 1 $20,000 $20,000 REMOVE AND GRUB TREES/STUMPS 1 $5,000 $5,000 Opinion of Probable Cost Lomianki Park Description Estimated Quantity Estimated Unit Price Estimated Total Cost 29 Item 3. PROJECT TOTAL $575,000 SUBTOTAL $520,250 CONTINGENCY (10%)$52,025 CONSTRUCTION ESTIMATE TOTAL $572,275 $15,000 C BITUMINOUS W/AGGREGATE BASE SY 450 $35 $4,500 3 Remove wading pool and pool bldg LS 1 $12,500 $12,500 6 Trail Lighting EA 6 $7500 $45,000 LS 1 $22,500 $22,500 8 PLANTINGS LS 1 $15,000 $25,000 PROJECT TOTAL $800,000 D SITE AMENITIES (Skate Park)LS 1 $25,000 B SKATE PARK LS 1 $475,000 $475,000 SKATE PARK (Grant Funded) $15,750 1 $550000 $550,000 5 BITUMINOUS TRAIL SY 1,525 $35 4 EARTHWORK 7 Splash Pad (2,500 SF), w/ control building, Fencing EA 2 REMOVE AND GRUB TREES/STUMPS LS 1 $4,500 $4,500 A REMOVE BITUMINOUS PAVEMENT SY 450 $10 SUBTOTAL $727,875 CONTINGENCY (10%)$72,788 CONSTRUCTION ESTIMATE TOTAL $800,663 9 SITE RESTORATION / EROSION CONTROL LS 1 $10,000 $10,000 $53,375 Opinion of Probable Cost 1 MOBILIZATION LS 1 $15,000 $15,000 Item No.Description Unit Estimated Estimated Unit Estimated Total Ramsdell Park 30 Item 3. PROJECT TOTAL $825,000 Prestemon Park SUBTOTAL $750,000 CONTINGENCY (10%)$75,000 CONSTRUCTION ESTIMATE TOTAL $825,000 17 SITE RESTORATION LS 1 $50,000 $50,000 16 PLANTINGS LS 1 $10,000 $10,000 15 EROSION CONTROL LS 1 $10,000 $10,000 14 24'x24' SHELTER EA 1 $125,000 $125,000 13 SITE AMENITIES LS 1 $10,000 $10,000 12 PLAY AREA LS 1 $150,000 $150,000 11 DOG PARK (0.8 - 1 ACRE)LS 1 $75,000 $75,000 10 COLOR COATING BASKETBALL COURT LS 1 $8,500 $8,500 9 PARKING LOT STRIPING LS 1 $5,000 $5,000 8 BITUMINOUS TRAIL SY 2,700 $35 $94,500 7 BITUMINOUS W/AGGREGATE BASE SY 2,000 $35 $70,000 6 EARTHWORK LS 1 $20,000 $20,000 5 REMOVE PLAY AREA LS 1 $15,000 $15,000 4 REMOVE BUILDING LS 1 $15,000 $15,000 3 REMOVE BITUMINOUS PAVEMENT SY 4,700 $10 $47,000 2 REMOVE AND GRUB TREES/STUMPS LS 1 $20,000 $20,000 Opinion of Probable Cost 1 MOBILIZATION LS 1 $25,000 $25,000 Item No.Description Unit Estimated Estimated Unit Estimated Total 31 Item 3. Item No.Unit 1 LS 2 LS 3 SY 4 LS 5 LS 6 LS 7 SF 8 LS 9 LS 10 LS 11 LS 12 LS SUBTOTAL $380,680 PROJECT TOTAL $425,000 CONTINGENCY (10%)$40,000 CONSTRUCTION ESTIMATE TOTAL $420,680 SILT FENCE 1 $5,000 $5,000 SEED RESTORATION AND PLANTING 1 $50,000 $50,000 SITE AMENITIES 1 $25,000 $25,000 GATEWAY MONUMENT 1 $50,000 $50,000 EARTHWORK 1 $15,000 $15,000 4" THICK STANDARD CONCRETE 2000 $15 $30,000 REMOVE AMENITIES 1 $6,000.00 $6,000 WATER FEATURE 1 $125,000 $125,000 1 $5,000 $5,000 REMOVE CONCRETE 390 $12 $4,680 SITE LANDSCAPING 1 $50,000$50,000 Opinion of Probable Cost Wargo Court Park Description Estimated Quantity Estimated Unit Price Estimated Total CostMOBILIZATION1$15,000 $15,000 REMOVE AND GRUB TREES/STUMPS 32 Item 3. Item No.Unit 1 LS 2 SF 3 LS 4 LS 5 LS 6 LS Opinion of Probable Cost Edgemoor Park Description Estimated Quantity Estimated Unit Price Estimated Total Cost $6,0004" THICK STANDARD CONCRETE WALK 400 $15 REMOVE AMENITIES 1 $1,500 $1,500 SITE AMENITIES 1 $10,000 $10,000 PLAY AREA 1 $125,000 $125,000 EROSION CONTROL 2 $1,000 $2,000 SEED RESTORATION AND PLANTING 1 $5,000 $5,000 Contingency (10%)$14,950 PROJECT TOTAL $164,450 SUBTOTAL $149,500 CONSTRUCTION ESTIMATE TOTAL $149,500 33 Item 3. Item No.Unit 1 LS 2 LS 3 SF 4 LS 5 LS 6 LS 7 LS 8 SF 9 SY 10 EA 11 LS 12 LS 13 LSSEED RESTORATION AND EROSION CONTROL BLANKET 1 $10,000 $10,000 PROJECT TOTAL $600,000 SUBTOTAL $544,150 CONTINGENCY (10%)$54,415 CONSTRUCTION ESTIMATE TOTAL $598,565 INCLUSIVE PLAY AREA 1 $145,000 $145,000 PLANTINGS 1 $5,000 $5,000 BITUMINOUS TRAIL W/AGGREGATE BASE 1100 $30 $33,000 TENNIS COURTS, FENCING, NETS, SURFACING 2 $125,000 $250,000 EARTHWORK / SOIL CORRECTIONS 1 $45,000 $45,000 4" THICK STANDARD CONCRETE 250 $15 $3,750 REMOVE AMENITIES 1 $5,000 $5,000 ELECTRICAL IMPROVEMENTS 1 $5,000 $5,000 REMOVE CONCRETE 200 $12 $2,400 REMOVE TENNIS COURT 1 $15,000 $15,000 MOBILIZATION 1 $20,000 $20,000 REMOVE AND GRUB TREES/STUMPS 1 $5,000 $5,000 Opinion of Probable Cost Sullivan Lake Park Description Estimated Quantity Estimated Unit Price Estimated Total Cost 34 Item 3. ITEM: City Hall - update DEPARTMENT: Administration BY/DATE: Kevin Hansen / June 28, 2023 CORE CITY STRATEGIES: (please indicate areas that apply by adding an “X” in front of the selected text below) _Healthy and Safe Community X Equitable, Diverse, Inclusive, and Friendly _Trusted and Engaged Leadership X Thriving and Vibrant Destination Community X Strong Infrastructure and Public Services _ Sustainable BACKGROUND: Work on the buildout of our new City Hall is wrapping up. Furniture is being delivered and installed with the final truckload scheduled for Monday, July 3rd. The wood panel ceiling tiles are being installed and should be complete on Friday, June 30th. The electrician will be on site into the week of July 3rd finishing both the furniture and ceiling tile installs and miscellaneous electrical. Work in the Council chambers will also be wrapped up the week of July 3rd. The permanent backup generator is out until December for delivery and install so a temporary generator will be installed to provide emergency backup power and is one of the final element to obtain the Certificate of Occupancy on July 7th. Our IT department is also installing computers as the desks and workstations are completed. They have also been testing the network and will be working with Granicus (former Swagit) July 19-22 for the Council Chambers broadcast installation and testing. The current timeline has Doran final cleanup and turning the building over July 10th. Staff will start bringing over files and office items July 11-21. The current City Hall will shut down July 21 to facilitate final transfer of systems and plan to be operational in the new building July 24th. It is also expected that the first council meeting will take place on the 24th. I should note that exterior signage is behind in production and will be installed in August. And please mark your calendars - the Grand Opening is currently scheduled for Thursday, August 17th, from 5:00 to 7:30. STAFF RECOMMENDATION: None = informational update CITY COUNCIL WORK SESSION MEETING AGENDA SECTION WORK SESSION ITEM MEETING DATE JUNE 5, 2023 35 Item 4. ITEM: 24 – 36 months – Projects and Activities / Goal Setting update DEPARTMENT: Administration BY/DATE: Kevin Hansen & Aaron Chirpich - 6/29/2023 CORE CITY STRATEGIES: (please indicate areas that apply by adding an “X” in front of the selected text below) X Healthy and Safe Community X Equitable, Diverse, Inclusive, and Friendly _Trusted and Engaged Leadership _Thriving and Vibrant Destination Community _Strong Infrastructure and Public Services X Sustainable BACKGROUND: Phil Kern presented the 2023 Strategic Planning and Goal Setting Report to Council at the March 27, 2023 meeting, which was then approved by the Council at their April 10th regular meeting. The 2023-24 Short Term Goals are attached. In addition to the goals established, staff is working on several projects and activities at different levels of development. A listing of those is also attached. Staff will provide an update on the projects/activities at the work session. A primary consideration for the Council is to recognize the resources (funding and staff) necessary to complete and/or implement these projects and activities. It will become necessary to establish clear priorities for the work from a resource perspective – both our ability to fund them, and staff time necessary for development and implementation. It will be critical to focus staff time and investigate funding alternatives. STAFF RECOMMENDATION: Discussion of projects and activities / update on goals / Develop priorities RECOMMENDED MOTION(S): Informational Purposes Only MOTION: No Motion – Information and Discussion ATTACHMENT(S): 2023 Short Term Goals Project and Activity Listing CITY COUNCIL WORK SESSION MEETING AGENDA SECTION WORK SESSION ITEM MEETING DATE 7/5/2023 36 Item 5. City of Columbia Heights - Council Letter Page 2 37 Item 5. SHORT-TERM GOALS The third portion of the Strategic Planning process was to develop a short-term goals platform and workplan to guide the organization in the coming years. Participants were offered the opportunity to present draft goals that addressed any of the following objectives - short-term actions that lead to a core strategy or strategic objective, goals to address weaknesses, opportunities, or potential impacts discussed during the assessment process, or other goals that individual members viewed to be important for the City. The process encouraged the brainstorming of SMART goals - specific, measurable, attainable, relevant, and time-bound (1-2 years) - and objectives that would support the core strategies and vision. Following the brainstorming process, a prioritization process was used to develop the following list of high priority and priority goals. Participants were given the ability to choose a limited number of brainstormed goals as their top priorities. As each participant ’s choices were collected, the draft goals were bunched into three categories. The categories and prioritization followed these guidelines: ●High Priority Goals - goals that were identified by a majority of the Council as top priority and also received support from City Staff. ●Opportunity Goals - goals that fell short of a Council majority but were identified as a top priority by at least two members of the Council or one Council member and two or more staff members. ●Other Goals - goals that did not have an initial priority ranking by more than one member. (Included as an appendix to the report.) Proposed 2023-24 Short-Term Goals High Priority - goals that are the top priority of the organization in the coming two-year period. 1.Develop architectural and financial plan for replacement of the Public Works building, especially as it relates to other priorities (before structural failure) 2.Update Parks Master Plan, develop financing plan, and establish interactive communications about the plans with the community 3.Develop Murzyn Hall renovation plan or identify an alternative new community center plan 4.Prepare long-term, comprehensive plans for single family homes transitioning to rental, including increased tenant/renter protections and new rental licensing program (following moratorium) 5.Update the five-year Capital Improvement Plan (CIP) focusing on long term maintenance and replacement of existing facilities 6.Finalize plans for Central Avenue improvements 7.Establish/Re-Establish the City Art Commission and invest in Public Art Opportunity - goals that have organizational support,to be pursued when opportunity is available. 8.Find external grants and evaluate establishing a city grant program for Naturally Occurring Affordable Housing (NOAH) properties 9.Develop a formal process to review goals, develop a system of accountability, and communicate with the public regarding the City Council’s goals and strategic plan 10.Build End-to-End communications infrastructure for City buildings and sites 11.Educate staff and elected officials on National Incident Management System (NIMS) 12.Develop and implement integrated online services 38 Item 5. 13.Complete 43rd and Central PUD approval and initiate construction 14.Improve and expand code enforcement, evaluate point-of-sale program 15.Continue working towards creating a City workforce that accurately represents the community 16.Establish centralized translation services for all departments and provide language support services at all public meetings 17.Strengthen brand awareness across projects, activities, goals, and at the liquor store NEXT STEPS The next step in the goal setting process is to work within each of these short-term goals to develop action plans and the establishment of benchmarks to measure progress. One of the discussion items during the workshop involved the identification of measurables, or benchmarks, to effectively evaluate the City’s accomplishment of each goal. Developing measurable outcomes for each goal will also help in the development of action plans to reach the desired outcome. The goals should then be revisited from time-to-time as an accountability measure for both the Council and staff. Additionally, finding ways to integrate the goals into the organizational processes also helps to develop success. Building on the methods in which Columbia Heights has been successful in the past is recommended, along with exploring new methods of keeping the goals on the forefront of the leadership team’s efforts.It was an honor to assist your team in the process of establishing its Strategic Plan for the coming years. Respectfully submitted, Phil Kern Facilitator 39 Item 5. PROJECTS AND ACTIVITIES 1. Development/Project Activities a) Alatus CH2 (old Rainbow Site). i. Entitlements ii. Preliminary Plans iii. Sanitary Sewer Capacity iv. 44th Avenue Rehabilitation  Trail (grant application) b) Medtronic Site i. Comp Plan c) City Hall / Ratio (Alatus) i. Move-in / Facility orientation d) Major State/Federal Aid Program – 2023 i. 37th Avenue: Central to Stinson; 37th Place: 37th Avenue to Stinson Blvd ii. 53rd Avenue Turnabout: Central to Medtronic iii. 53rd Avenue Trail and Street: Medtronic to University (water main rplmnt) e) Street Rehabilitation Program: Zone 1 Street Rehab (2026/27) i. 3 yr Suspension (temporary) of Street Zone Work beginning in 2023 f) Alley Program: recon to concrete i. 2024 & 2025: 5-6 alleys each year g) Park Redevelopment i. CIP update (Staff CIP; WSB update) ii. Funding plan iii. Phased implementation h) MSC Master Plan / Costs / Funding i. State Bonding Request ii. Preliminary Design i) JPM Facility Analysis i. Facility Condition Analysis ii. Community Center Discussion j) MNDOT 2023 Central Avenue Demonstration Project (pedestrian safety) k) MNDOT PEL Study on Central and University (Phase II by end of year) l) Metro Transit – BRT Line, 2025/26 construction m) TH 65 (Central Avenue) 2025 HSIP Safety Improvements: Lighting and sidewalks n) Store #3 Remodeling 2. Anoka County a) 40th Avenue Full Reconstruction: Main to Central (Joint w/ Anoka County) a. CSAH 2 Corridor Study b. Turnback (potential) 3. Departmental a) SS4A Federal Grant – Safety Action Plan b) Sustainability Commission c) Pedestrian/mobility Plan i. Sidewalks ii. Trails iii. funding 40 Item 5. d) Water Meter Replacement Program i. 6,000+ new meters and data collection system ii. Lead Service Lines iii. I/I inspection e) Rental Density Cap f) Cannabis g) Property Maintenance Code updates / License Fee h) City-wide speed limit change i) Update 5-year Capital Improvement Plan j) Point of Sale Program k) DEI Plan 41 Item 5. ITEM: THC Legalization, Registration, and Zoning Update DEPARTMENT: Community Development BY/DATE: Mitchell Forney, 6/30/23 CORE CITY STRATEGIES: XHealthy and Safe Community _Equitable, Diverse, Inclusive, and Friendly _Trusted and Engaged Leadership _Thriving and Vibrant Destination Community _Strong Infrastructure and Public Services _Sustainable BACKGROUND: In July of 2022, a Hemp Derived Edibles law passed by the state of Minnesota officially went into effect. In response to the new law, the City of Columbia Heights put a moratorium on the creation of new hemp -derived THC businesses, to create a license structure and implement zoning regulations. Earlier this year staff brought the draft ordinance back to the council but recommended that the city wait to see what happened with the full legalization of marijuana during the 2023 legislative session. Toward the end of the session, the state officially legalized THC in various forms. The law that passed is approximately 320 pages long and many of the city's representatives, LMC and Metro Cities, are still working to dissect the new regulations. As part of the new law, the state is creating a new department the Office of Cannabis Management. This office will license and regulate everything cannabis and has been tasked with assisting cities in creating ordinances in response to the new law. Because the moratorium is set to expire on August 22nd, Community Development staff wanted to bring forward the possibility of extending the moratorium. Local regulations are limited to zoning limitations, limiting the number of dispensaries, and creating a business registration program, similar to our current licensing. The zoning limitations that can be considered include how close businesses can be to schools, playgrounds, etc., and which zones certain businesses are allowed, manufacturers in industrial , retail in general business. State law only allows the city to extend the moratorium for 6 months. Staff are requesting an extension to give us space to properly establish basic zoning regulations in order to keep businesses from being established in unwanted areas, next to schools, playgrounds, Churches, etc. In general, the next steps in the process are listed below: - Extension of the moratorium must be completed at the Jully 24th council meeting. - Work session discussion on a draft zoning ordinance regarding how many dispensaries are allowed, how close to a school can a business sell THC. - First reading of the zoning ordinance. - Second reading of the ordinance. - The ordinance goes into effect 30 days after the second reading. - Remove the moratorium after the ordinance goes into place. CITY COUNCIL WORK SESSION MEETING AGENDA SECTION WORK SESSION ITEM MEETING DATE 07/05/2023 42 Item 6. City of Columbia Heights - Council Letter Page 2 ATTACHMENT(S): 1. League of MN Cities Adult Use Cannabis FAQ 43 Item 6. 6/30/23, 9:22 AM Adult-Use Cannabis: What Cities Need to Know - League of Minnesota Cities https://www.lmc.org/resources/adult-use-cannabis-what-cities-need-to-know/1/19 Adult-Use Cannabis: What Cities Need to Know Published: June 12, 2023 A new law enacted at the end of the 2023 legislative session legalizes adult–use cannabis in Minnesota and establishes a regulatory framework over the cannabis industry. Since the enactment of the law, the League of Minnesota Cities has been researching and collecting information from state agencies and stakeholders to answer questions pertaining to local regulatory authority, law enforcement, taxing, and employment. Read the full bill The following frequently asked questions (FAQs) aim to provide information to cities about the new law to assist local governments in making decisions related to the law. The League will continually update this information as necessary. Get answers to FAQs regarding the new law on adul t-use cannabis General information Q1. What does the new law do? Q2. How much cannabis can a person legally possess? Q3. Are cannabis products legal under federal regulations? Q4. Can a person grow their own cannabis? Q5. Does the Clean Indoor Air Act apply to cannabis products? Q6. What types of licenses will the OCM issue? Q7. Can cannabis start to be sold now? Q8. Under the new law, where can adult-use cannabis be sold? Q9. Could my cityʼs municipal liquor store sell adult-use cannabis? Q10. Can my city have a municipal cannabis retail store? Taxation and revenue Q11. How will these new products be taxed? 44 Item 6. 6/30/23, 9:22 AM Adult-Use Cannabis: What Cities Need to Know - League of Minnesota Cities https://www.lmc.org/resources/adult-use-cannabis-what-cities-need-to-know/2/19 Q12. Can our city impose its own cannabis tax? Q13. Do sales taxes apply? Q14. Who receives taxes collected from the sale of cannabis products? Q15. What is considered a “taxable cannabis product retailer?” Q16. How much revenue will cities receive from the local government cannabis aid fund? Q17. When will cities receive revenue from the local government cannabis aid account? Enforcement and public safety Q18. How is the new law enforced? Q19. What are penalties for someone selling edible cannabis products that do not meet the stateʼs requirements? Q20. Can a person still be charged with possession of cannabis products? Q21. Can a person still be charged with sale of cannabis products? Q22. Can a person be charged with a crime for cultivating cannabis? Q23. Can a person be charged with a crime for using cannabis in public? Q24. How do our officers determine if a driver is under the influence of adult-use cannabis? Q25. Is it a crime to use cannabis products while operating a motor vehicle? Q26. Is it a crime to possess cannabis products in a motor vehicle? Q27. Could cities prohibit the sale of adult-use cannabis entirely? Q28. Is our city required to adopt regulations under the new law? Q29. Are prior convictions for cannabis use expunged and what is the cityʼs role in that process? City regulation Q30. Can the city require sellers to have a city-issued license? Q31. When is our city required to issue retail registration to a cannabis retail business? Q32. Can a retail registration issued by our city be transferred? Q33. Is our city required to conduct compliance checks on businesses with a cannabis retail registration? Q34. Can our city charge a fee for a cannabis retail registration? Q35. Can my city limit the number of cannabis retailer licenses issued in our city? Q36. How does this impact my cityʼs existing license for THC products? Q37. Which state agency is charged with regulating edible cannabinoid products until the OCM begins licensing cannabis products? 45 Item 6. 6/30/23, 9:22 AM Adult-Use Cannabis: What Cities Need to Know - League of Minnesota Cities https://www.lmc.org/resources/adult-use-cannabis-what-cities-need-to-know/3/19 Q38. What changes have been made to the edible cannabinoid law adopted in 2022? Q39. Can edible cannabinoid products be sold for on-site consumption? Q40. Will I be able to prohibit cannabis events in my city? Q41. How does this impact my cityʼs existing THC license program? Q42. How does the new law impact my cityʼs existing THC moratorium? Q43. Can the cityʼs zoning regulation restrict where a business can operate? Q44. Can cities adopt a moratorium prohibiting the sale, manufacturing, or distribution of adult-use cannabis to study the issue? Q45: What if my city has complaints about a licensed cannabis business? Q46: Can a city deny a liquor license if they find that the business is selling cannabis or low- potency hemp products without a license? Q47. Can a city suspend or revoke a tobacco license if they find that they are selling cannabis or low-potency hemp products without a license? City employment and personnel issues Q48. Does the new law allowing adult-use cannabis change anything about how we do drug testing for CDL holders? Q49. Does the new law change anything related to employees who carry a firearm? Q50. Besides positions requiring a CDL or carrying a firearm, are there any other positions which are not affected by the new law? Q51. Can we still prohibit employees from being under the influence of cannabis while at work? Does the League have a model policy with updated language? Q52. If an employee is injured while being under the influence of cannabis at work, are they still entitled to workersʼ compensation benefits? Q53. Can employees be in possession of edibles or other cannabis products while at work? Q54. Do we need to change anything in our collective bargaining agreement (CBA) regarding discipline of employees who use cannabis products? Q55. Can employees use cannabis products off-duty? Q56. How does this impact the requirements of the Drug-Free Workplace Act? Q57. Should my city continue to include cannabis as a pre-employment panel screen for my non-DOT/safety-sensitive employees? 46 Item 6. 6/30/23, 9:22 AM Adult-Use Cannabis: What Cities Need to Know - League of Minnesota Cities https://www.lmc.org/resources/adult-use-cannabis-what-cities-need-to-know/4/19 General information Q1. What does the new law do? A1. The new law legalizes the possession, use, manufacturing, and sale of certain cannabis products within the state. It establishes the Office of Cannabis Management (OCM), which is charged with, among other things, enforcing an organized system of regulation for the cannabis industry and the hemp consumer industry. The law also: Establishes labor standards for the use of cannabis and hemp products by employees and testing of employees. Establishes expungement procedures for certain individuals previously convicted of a crime related to cannabis. Possession, use, and home growth under this new law will be legal beginning Aug. 1, 2023, and legal sales are expected to begin in January of 2025. Various other effective dates are noted throughout these FAQs as they apply. Access the Office of Cannabis Managementʼs website Return to top of page Q2. How much cannabis can a person legally possess? A2. This law allows a person of 21 years of age or older to: Use, possess, or transport cannabis paraphernalia. Possess 2 ounces or less of cannabis flower in a public place. Possess 2 pounds or less of cannabis flower in a personʼs residence. Possess or transport 8 grams or less of adult-use cannabis concentrate. Possess or transport edible products infused with a total of 800 milligrams or less of tetrahydrocannabinol. Give away cannabis flower and products in an amount that is legal for a person to possess in public. The law authorizes an individual to use adult-use cannabis flower and adult-use cannabis products: In a private residence including the individualʼs curtilage or yard. On private property, unless the owner of the property prohibits the use of the products. On the premises of an establishment or event licensed to permit on-site consumption. Return to top of page Q3. Are cannabis products legal under federal regulations? A3. Marijuana remains a Schedule I drug under federal law, meaning it is illegal, with limited exceptions, to grow, process, sell or possess marijuana from a federal standpoint. Return to top of page 47 Item 6. 6/30/23, 9:22 AM Adult-Use Cannabis: What Cities Need to Know - League of Minnesota Cities https://www.lmc.org/resources/adult-use-cannabis-what-cities-need-to-know/5/19 Q4. Can a person grow their own cannabis? A4. The law authorizes a person to cultivate up to eight cannabis plants, of which four or fewer may be mature, flowering plants provided that it is in an enclosed, locked space that is not open to public view. Return to top of page Q5. Does the Clean Indoor Air Act apply to cannabis products? A5. A person may not use cannabis flower, cannabis products, or hemp-derived consumer products in a manner that involves the inhalation of smokes, aerosol, or vapor at any location where smoking is prohibited under the Clean Indoor Air Act. Return to top of page Q6. What types of licenses will the OCM issue? A6. The OCM will issue the following types of licenses: Cannabis microbusiness. Cannabis mezzobusiness. Cannabis cultivator. Cannabis manufacturer. Cannabis retailer. Cannabis wholesaler. Cannabis transporter. Cannabis testing facility. Cannabis event organizer. Cannabis delivery service. Lower-potency hemp edible manufacturer. Medical cannabis cultivator. Medical cannabis processor. Medical cannabis retailer. Return to top of page Q7. Can cannabis start to be sold now? A7. Cannabis will not be able to be sold until the Office of Cannabis Management is established and able to issue licenses. Communication from state agencies indicate an intended timeline of January 2025 for when sales will be live to the public. Before beginning sales, a cannabis retailer must obtain a local retail registration. Any business attempting to sell cannabis products before licenses are issued should be reported to the Department of Health. Return to top of page 48 Item 6. 6/30/23, 9:22 AM Adult-Use Cannabis: What Cities Need to Know - League of Minnesota Cities https://www.lmc.org/resources/adult-use-cannabis-what-cities-need-to-know/6/19 Q8. Under the new law, where can adult-use cannabis be sold? A8. Cannabis products and hemp derived consumer products may only be sold in business with a license issued by the OCM. Return to top of page Q9. Could my city’s municipal liquor store sell adult-use cannabis? A9. The law adds edible cannabinoid products as an item allowed to be sold at exclusive liquor stores, including municipal liquor stores. The ability of cities to sell cannabinoid products at a liquor store is unique to Minnesota and may create new and complex coverage and liability questions around these products. The League and the League of Minnesota Cities Insurance Trust (LMCIT) are working on guidance for cities considering selling cannabinoid products at their municipal liquor stores. This information will be updated when such guidance is draed. Return to top of page Q10. Can my city have a municipal cannabis retail store? A10. The new law authorizes cities to operate a municipal cannabis retail store. This is a unique opportunity for Minnesota cities and more research is needed to determine the legal ramifications of such an operation. Return to top of page Taxation and revenue Q11. How will these new products be taxed? A11. A tax equal to 10% of gross receipts from retail sales of taxable cannabis products will be imposed on any taxable cannabis product retailer that sells cannabis products to customers. Return to top of page Q12. Can our city impose its own cannabis tax? A12. Cities are prohibited from imposing a tax solely on the sale of taxable cannabis products. Return to top of page Q13. Do sales taxes apply ? A13. The state sales tax and local sales taxes apply to cannabis and hemp-derived cannabinoid products. Return to top of page Q14. Who receives taxes collected f rom the sale of cannabis products? A14. Revenues from the retail sales of cannabis products will be divided, with 80% going to the general fund and 20% to the local government cannabis aid account. Cities will receive 50% of the amount certified to the local government cannabis aid account. Return to top of page 49 Item 6. 6/30/23, 9:22 AM Adult-Use Cannabis: What Cities Need to Know - League of Minnesota Cities https://www.lmc.org/resources/adult-use-cannabis-what-cities-need-to-know/7/19 Q15. What is considered a “taxable cannabis product retailer?” A15. A taxable cannabis product retailer is a retailer that sells any taxable cannabis products. This includes a cannabis retailer, cannabis microbusiness, cannabis mezzobusiness, and lower- potency hemp edible retailer. Minn. Stat § 295.81, subd. 1(s). Return to top of page Q16. How much revenue will cities receive f rom the local government cannabis aid fund? A16. Half of the amount certified in the cannabis local government aid fund will go to cities. Cities will receive a distribution proportional to the number of cannabis businesses located in the city as compared to the number of cannabis businesses in all cities. Return to top of page Q17. When will cities receive revenue f rom the local government cannabis aid account? A17. The gross receipts tax goes is effective for gross receipts received aer June 30, 2023. The law requires the Department of Revenue to certify the amount to be paid to each city by Sept. 1, 2024, and every year aer, and the full amount must be paid on Dec. 26, 2024, and every year aer. Return to top of page Enforcement and public safety Q18. How is the new law enforced? A18. All licensing issues will be enforced by the Office of Cannabis Management. Until the OCM is up and running, the currently legal hemp-derived edible products under Minn. Stat. § 151.72 will be temporarily regulated by the Department of Health, which is taking over the enforcement of edible cannabis products previously done by the Board of Pharmacy. Local law enforcement may still enforce illegal possession or use crimes where applicable. Access the Department of Healthʼs site on the temporary regulation of lower-potency hemp edibles Return to top of page Q19. What are penalties for someone selling edible cannabis products that do not meet the state’s requirements? A19. If a retailer is found to be selling edible cannabis products that do not meet state requirements, the Department of Health may embargo the products and potentially destroy the products with the retailer paying for all court costs and fees, storage, and other proper expenses. Return to top of page Q20. Can a person still be charged with possession of cannabis products? A20. Beginning Aug. 1, 2023, the following actions are considered cannabis possession crimes: 50 Item 6. 6/30/23, 9:22 AM Adult-Use Cannabis: What Cities Need to Know - League of Minnesota Cities https://www.lmc.org/resources/adult-use-cannabis-what-cities-need-to-know/8/19 Possession of cannabis in the first degree. (Punishable by imprisonment for not more than five years or payment of a fine of not more than $10,000, or both). More than 2 pounds but not more than 10 kilograms of cannabis flower. More than 160 grams but not more than 2 kilograms of cannabis concentrate. Edible cannabis products, lower-potency hemp edibles, or hemp-derived consumer products infused with more than 16 grams but not more than 200 grams of THC. Possession of cannabis in the second degree. (Punishable by imprisonment for not more than one year or payment of a fine of not more than $3,000, or both). More than 1 pound but not more than 2 pounds of cannabis flower in any place other than the personʼs residence. More than 80 grams but not more than 160 grams of cannabis concentrate. Edible cannabis products, lower-potency hemp edibles, or hemp-derived consumer products infused with more than 8 grams but not more than 16 grams of THC. Possession of cannabis in the third degree. (Punishable by imprisonment for not more than 90 days or payment of a fine of not more than $1,000, or both). More than 4 ounces but not more than 1 pound of cannabis flower in any place other than the personʼs residence. More than 16 grams but not more than 80 grams of cannabis concentrate. Edible cannabis products, lower-potency hemp edibles, or hemp-derived consumer products infused with more than 1,600 milligrams but not more than 8 grams of THC. Possession of cannabis in the fourth degree. (Punishable as a petty misdemeanor). More than 2 ounces but not more than 4 ounces of cannabis flower in any place other than the personʼs residence. More than 8 grams but not more than 16 grams of cannabis concentrate. Edible cannabinoid products infused with more than 800 milligrams but not more than 1,600 milligrams of THC. Return to top of page Q21. Can a person still be charged with sale of cannabis products? A21. Beginning Aug. 1, 2023, the following actions are considered cannabis sale crimes: Sale of cannabis in the first degree. Punishable by imprisonment for not more than five years or to a payment of a fine of not more than $10,000 or both if a person unlawfully sells more than 2 ounces of cannabis flower; more than 8 grams of cannabis concentrate; or edible cannabis products, lower-potency hemp edibles, or hemp-derived consumer products infused with more than 800 milligrams of THC: To a minor and the defendant is more than 36 months older than the minor. Within 10 years of two or more convictions of sale in the second or third degree. Within 10 years of a conviction of first degree Sale of cannabis in the second degree. May be sentenced to imprisonment for not more than one year or to payment of a fine of not more than $3,000, or both if an adult: 51 Item 6. 6/30/23, 9:22 AM Adult-Use Cannabis: What Cities Need to Know - League of Minnesota Cities https://www.lmc.org/resources/adult-use-cannabis-what-cities-need-to-know/9/19 Unlawfully sells more than 2 ounces of cannabis flower; more than 8 grams of cannabis concentrate; or edible cannabis products, lower-potency hemp edibles, or hemp-derived consumer products infused with more than 800 milligrams of THC: In a school zone, a park zone, or a drug treatment facility; or Within 10 years of a conviction of sale of cannabis in the first, second, or third degree. Unlawfully sells cannabis flower, cannabis concentrate, edible cannabis products, lower- potency hemp edibles, or hemp-derived consumer products to a minor. Sale of cannabis in the third degree. An adult may be sentenced to imprisonment for not more than 90 days or to payment of a fine of not more than $1,000, or both, if the adult unlawfully sells: More than 2 ounces of cannabis flower. More than 8 grams of cannabis concentrate. Edible cannabis products, lower-potency hemp edibles, or hemp-derived consumer products infused with more than 800 milligrams of THC. Sale of cannabis in the fourth degree. An adult is guilty of a petty misdemeanor if they unlawfully sell: Not more than 2 ounces of cannabis flower. Not more than 8 grams of cannabis concentrate. Edible cannabis products, lower-potency hemp edibles, or hemp-derived consumer products infused with not more than 800 milligrams of THC. A sale for no remuneration by an individual over the age of 21 to another individual over the age of 21 is not unlawful as cannabis sale in the fourth degree. Sale of cannabis by a minor. A minor is guilty of a petty misdemeanor if the minor unlawfully sells: Not more than 2 ounces of cannabis flower. Not more than 8 grams of cannabis concentrate. Edible cannabis products, lower-potency hemp edibles, or hemp-derived consumer products infused with not more than 800 milligrams of THC. A minor is guilty of a misdemeanor if the minor unlawfully sells: More than 2 ounces of cannabis flower. More than 8 grams of cannabis concentrate. Edible cannabis products, lower-potency hemp edibles, or hemp-derived consumer products infused with more than 800 milligrams of THC. Return to top of page Q22. Can a person be charged with a crime for cultivating cannabis? A22. Beginning Aug. 1, 2023, the following are crimes related to the cultivation of cannabis. Cultivation of cannabis in the first degree. A person is guilty of cultivation of cannabis in the first degree and may be sentenced to imprisonment for not more than five years or to 52 Item 6. 6/30/23, 9:22 AM Adult-Use Cannabis: What Cities Need to Know - League of Minnesota Cities https://www.lmc.org/resources/adult-use-cannabis-what-cities-need-to-know/10/19 payment of a fine of not more than $10,000, or both, if the person unlawfully cultivates more than 23 cannabis plants. Cultivation of cannabis in the second degree. A person is guilty of cultivation of cannabis in the second degree and may be sentenced to imprisonment for not more than one year or to payment of a fine of not more than $3,000, or both, if the person unlawfully cultivates more than 16 cannabis plants but not more than 23 cannabis plants. Return to top of page Q23. Can a person be charged with a crime for using cannabis in public? A23. Beginning Aug. 1, 2023, a city may adopt an ordinance establishing a petty misdemeanor offense for a person who unlawfully uses cannabis flower, cannabis products, lower-potency hemp edibles, or hemp-derived consumer products in a public place other than the following. A private residence including the personʼs curtilage or yard. Private property not generally accessible by the public, unless the person is explicitly prohibited from consuming cannabis flower, cannabis products, lower-potency hemp edibles, or hemp-derived consumer products on the property by the owner of the property. The premises of an establishment or event licensed to permit on-site consumption. Return to top of page Q24 . How do our ofcers determine if a driver is under the inuence of adult-use cannabis? A24. Officers will need to use the same process for determining if a person is under the influence of cannabis while operating a vehicle as they would have prior to the new law being enacted. Return to top of page Q25. Is it a crime to use cannabis products while operating a motor vehicle? A25. It is a misdemeanor for a person to use cannabis flower, a cannabis product, a lower- potency hemp edible, a hemp-derived consumer product, or any other product containing an artificially derived cannabinoid in a motor vehicle when the vehicle is on a street or highway. Return to top of page Q26. Is it a crime to possess cannabis products in a motor vehicle? A26. Beginning Aug. 1, 2023, a person may be charged with a misdemeanor if they possess cannabis products in a motor vehicle on a street or highway if the products meet any of the following conditions: Do not meet the packaging requirements set in statute. Have been removed from the packaging in which they were sold. Are in packaging that has been opened, or the seal has been broken. Are in packaging in which the contents have been partially removed. 53 Item 6. 6/30/23, 9:22 AM Adult-Use Cannabis: What Cities Need to Know - League of Minnesota Cities https://www.lmc.org/resources/adult-use-cannabis-what-cities-need-to-know/11/19 It is not considered a crime if the cannabis products are in the trunk of the vehicle or in another area of the vehicle not normally occupied by the driver and passengers if the vehicle is not equipped with a trunk. A utility compartment or glove compartment is deemed to be within the area occupied by the driver and passengers. Return to top of page Q27. Could cities prohibit the sale of adult-use cannabis entirely ? A27. Cities may not prohibit the possession, transportation, or use of cannabis flower, cannabis products, lower-potency hemp edibles, or hemp-derived consumer products authorized by the new law. Return to top of page Q28. Is our city required to adopt regulations under the new law ? A28. Cities are not required to adopt any new regulations under the new law. However, they will be required to register retail sellers and perform compliance checks. Return to top of page Q29. Are prior convictions for cannabis use expunged and what is the city’s role in that process? A29. Certain cannabis-related convictions will be expunged by the Bureau of Criminal Apprehension. Upon receipt of a notice of expungement, cities are required to seal all records related to the expungement, including the records of the personʼs arrest, indictment, trial verdict, and dismissal or discharge of the case. Certain felony convictions will be reviewed by the Cannabis Expungement Board to determine what, if any, action should be taken related to a prior conviction. Cities will be required to provide the Cannabis Expungement Board free access to records held by law enforcement agencies or prosecuting authorities. Return to top of page City regulation Q30. Can the city require sellers to have a city-issued license? A30. A city may not require additional licenses other than the cannabis licenses issued by the OCM. However, the OCM will forward applications to cities for them to certify whether the proposed cannabis business complies with local zoning ordinance and, if applicable whether the proposed business complies with the state fire and building code. The OCM may not issue a license to a cannabis business that does not meet local zoning and land use laws. In addition, upon receipt of an application for a cannabis license, the OCM will contact the city in which the business would be located and provide the city with 30 days in which to provide input on the application. This is the cityʼs opportunity to provide the OCM with any additional information it believes is relevant to the OCMʼs decision on whether to issue a license, including but not limited to identifying concerns about the proposed location of a cannabis business, or sharing public information about the applicant. 54 Item 6. 6/30/23, 9:22 AM Adult-Use Cannabis: What Cities Need to Know - League of Minnesota Cities https://www.lmc.org/resources/adult-use-cannabis-what-cities-need-to-know/12/19 Before a cannabis business begins making retails sales, it will be required to register with the city in which it is located. Return to top of page Q31. When is our city required to issue retail registration to a cannabis retail business? A31. A city is required to issue a retail registration to a cannabis microbusiness with a retail operations endorsement, cannabis mezzobusiness with a retail operations endorsement, cannabis retailer, medical cannabis retailer, or lower-potency hemp edible retailer that: Has a valid license issued by the OCM. Has paid the registration fee. Is found to be in compliance with the requirements of the applicable state laws through a preliminary compliance check performed by the city. Is current on all property taxes and assessments at the location where the retail establishment is located. Return to top of page Q32. Can a retail registration issued by our city be transferred? A32. Retail registration may not be transferred. Return to top of page Q33. Is our city required to conduct compliance checks on businesses with a cannabis retail registration? A33. Cities will be required to conduct compliance checks on retail cannabis businesses with a retail registration by the city. The OCM will develop standardized forms and procedures for these compliance checks. Return to top of page Q34. Can our city charge a fee for a cannabis retail registration? A34. city may impose an initial retail fee of $500 or up to half the amount of the applicable initial license fee charged by the OCM, whichever is less. The city may also charge a renewal retail registration fee of $1,000 or up to half the amount of the applicable renewal license fee charged by the OCM, whichever is less. Return to top of page Q35. Can my city limit the number of cannabis retailer licenses issued in our city ? A35. A city that issues cannabis retailer registrations may, by ordinance, limit the number of licensed cannabis retailers, cannabis mezzobusinesses with a retail operations endorsement, and cannabis microbusinesses with a retail operations endorsement to no fewer than one registration for every 12,500 residents. In addition, if a county has one active registration for every 12,500 residents, a city within the county is not obligated to register any additional cannabis businesses. 55 Item 6. 6/30/23, 9:22 AM Adult-Use Cannabis: What Cities Need to Know - League of Minnesota Cities https://www.lmc.org/resources/adult-use-cannabis-what-cities-need-to-know/13/19 Return to top of page Q36. How does this impact my city’s existing license for THC products? A36. It appears that cities may continue to license edible cannabinoid products until the OCM begins issuing licenses. Those businesses that sell edible cannabinoid products to consumers must register with the Minnesota Department of Health by Oct. 1, 2023. However, once the OCM begins issuing lower-potency hemp edible retailer licenses, cities are likely preempted from continuing to issue their own licenses and would begin registering retailers through the cityʼs cannabis retailer registration process. Return to top of page Q37. Which state agency is charged with regulating edible cannabinoid products until the OCM begins licensing cannabis products?  A37. The Minnesota Department of Health is now charged with the regulations of edible cannabinoid products until the OCM begins issuing licenses. Learn more on the Minnesota Department of Health website. Return to top of page Q38. What changes have been made to the edible cannabinoid law adopted in 2022? A38. The new law allows for the continued sale of certain edible cannabinoid products with new limitations including: Manufacturers must have each batch of products tested to certify they comply with the standards adopted by the Minnesota Department of Health. Manufacturers must disclose information regarding foreign materials applied or added to the products. Labels must contain a batch number. Beverages cannot contain more than two servings per container. Edible cannabinoid products may not contain artificially derived or synthetic cannabinoids. Edible cannabinoid products, other than beverages, must be displayed behind a checkout counter. Retailers must verify age of purchaser. Return to top of page Q39. Can edible cannabinoid products be sold for on-site consumption? A39. Until the OCM begins issuing licenses, the on-site consumption of edible cannabinoid products is limited to those businesses with an on-sale liquor license issued under Minnesota Statutes, Chapter 340A. In addition, the following conditions must be met: Products must be served in original. Products may not be sold to an intoxicated customer. 56 Item 6. 6/30/23, 9:22 AM Adult-Use Cannabis: What Cities Need to Know - League of Minnesota Cities https://www.lmc.org/resources/adult-use-cannabis-what-cities-need-to-know/14/19 Products must not be permitted to be mixed with alcoholic beverages. Products removed from packaging must remain on premises. Aer the OCM is set up, it will issue on-site consumption endorsements for cannabis license holders. Return to top of page Q40. Will I be able to prohibit cannabis events in my city ? A40. The new law authorizes temporary cannabis events lasting no more than four days. To be approved for a cannabis event license, applicants must obtain any necessary permits or licenses issued by a local unit of government. Cities may not prohibit cannabis events, but they may set standards which the event organizer must meet. Cities may also permit on-site consumption for events but are not required to. Return to top of page Q41. How does this impact my city’s existing THC license program? A41. Local THC licenses may continue until the OCM begins issuing its own licenses, which state agencies anticipate beginning in January of 2025. When the OCM licensing begins, cities will need to follow the retail registration procedures outlined in the law. Return to top of page Q42. How does the new law impact my city’s existing THC moratorium? A42. The new law does not affect a current moratorium. If a city adopted a moratorium on low- potency edibles, it remains in place and will expire as noted when it was adopted. Return to top of page Q43. Can the city’s zoning regulation restrict where a business can operate? A43. Cities are allowed to adopt reasonable restrictions on the time, place, and manner of the operations of a cannabis business provided that such restrictions do not prohibit the establishment or operation of cannabis businesses. Cities may prohibit the operations of a cannabis business within 1,000 feet of a school, or 500 feet of a day care, residential treatment facility, or an attraction within a public park that is regularly used by minors, including a playground or athletic field. The OCM will develop model ordinances for reasonable restrictions on the time, place, and manner of a cannabis business. Return to top of page Q44. Can cities adopt a moratorium prohibiting the sale, manufacturing, or distribution of adult-use cannabis to study the issue? A44. Cities may adopt an interim ordinance if: It is conducting studies. 57 Item 6. 6/30/23, 9:22 AM Adult-Use Cannabis: What Cities Need to Know - League of Minnesota Cities https://www.lmc.org/resources/adult-use-cannabis-what-cities-need-to-know/15/19 Has authorized a study to be conducted. Has held or has scheduled a hearing for the purpose of considering adoption or amendment of reasonable restriction on the time, place, and manner of the operation of a cannabis business as defined in the new law. Before adopting an interim ordinance, the city must hold a public hearing on the issue. The interim ordinance may be in place until Jan. 1, 2025. The authority for an extended moratorium does not apply to the sale or production of low-potency hemp edible products. Return to top of page Q45: What if my city has complaints about a licensed cannabis business? A45. The OCM will establish an expedited complaint process to receive, review, and respond to complaints made by cities about a cannabis business. The OCM will be required to respond to the complaint within seven days and perform any necessary inspections within 30 days. If certain cannabis businesses are deemed by the city to pose an immediate threat to the health or safety of the public, the OCM must respond within one business day. Return to top of page Q46: Can a city deny a liquor license if they nd that the business is selling cannabis or low-potency hemp products without a license? A46. Yes. The new law prohibits a retail license from being issued to a person who has had a license or registration issued under ch. 342 or Minn. Stat. § 151.72, subd. 5b revoked; has been convicted of an offense under Minn. Stat. § 151.72, subd. 7; or has been convicted under any other statute for the illegal sale of marijuana, cannabis flower, cannabis products, lower- potency hemp edibles, hemp-derived consumer products, or edible cannabinoid products and the sale took place on the premises of a business that sells intoxicating liquor or 3.2% malt liquor. Return to top of page Q47. Can a city suspend or revoke a tobacco license if they nd that they are selling cannabis or low-potency hemp products without a license? A47. Yes. The new law allows a tobacco license to be suspended or revoked if the licensee has a registration or licensed under ch. 342 or Minn. Stat. § 151.72, subd. 5b revoked; is convicted of an offense under Minn. Stat. § 151.72, subd. 7; or has been convicted under any other statute for the illegal sale of marijuana, cannabis flower, cannabis products, lower-potency hemp edibles, hemp-derived consumer products, or edible cannabinoid products and the sale took place on the premises of a business that sells tobacco. A city must provide notice and an opportunity for a hearing before suspension or revocation. Return to top of page 58 Item 6. 6/30/23, 9:22 AM Adult-Use Cannabis: What Cities Need to Know - League of Minnesota Cities https://www.lmc.org/resources/adult-use-cannabis-what-cities-need-to-know/16/19 City employment and personnel issues Q48. Does the new law allowing adult-use cannabis change anything about how we do drug testing for CDL holders? A48. No, cities with positions requiring an employee to hold a commercial driverʼs license (CDL) will recall these positions are regulated by federal law, and those regulations are supervised by the Federal Department of Transportation (DOT). Federal law preempts state law related to cannabinoid use; in fact, the DOT states in its DOT Recreational Marijuana Notice that it does not authorize the use of Schedule I drugs, including marijuana, for any reason. As a result, cities should continue to follow their drug-testing procedures related to CDL holders and may enforce prohibitions against any use of cannabinoids for CDL holders, regardless of state law protections. Cities can find more information on existing drug testing policies in the LMC Drug and Alcohol Testing Toolkit, starting on page 22. An updated model Non-DOT Drug, Alcohol and Cannabis Policies will be available once legal consultants have reviewed. Return to top of page Q49. Does the new law change anything related to employees who carry a rearm? A49. No. Public safety employees who carry a firearm cannot lawfully use marijuana under federal law. Federal law prohibits cities from providing firearms or ammunition to an employee it knows or has reason to think is using marijuana. Although there is a legal difference between marijuana products and hemp products, it may not be possible to differentiate the products in a drug test. Officers should be mindful of any substance they ingest because they are ultimately responsible if those products lead to a positive marijuana test. Return to top of page Q50. Besides positions requiring a CDL or carrying a rearm, are there any other positions which are not affected by the new law ? A50. Yes. The law excludes the following seven position classes from the lawʼs changes: 1. A safety-sensitive position, as defined in as defined in Minn. Stat. § 181.950, subd. 13. 2. A peace officer position, as defined in Minn. Stat. § 626.84, subd. 1. 3. A firefighter position, as defined in Minn. Stat. § 299N.01, subd. 3. 4. A position requiring face-to-face care, training, education, supervision, counseling, consultation, or medical assistance to: 1. Children. 2. Vulnerable adults, as defined in Minn. Stat. § 626.5572, subd. 21. 3. Patients who receive health care services from a provider for the treatment, examination, or emergency care of a medical, psychiatric, or mental condition. 5. A position funded by a federal grant. 6. Any other position for which state or federal law requires testing of a job applicant or employee for cannabis. 59 Item 6. 6/30/23, 9:22 AM Adult-Use Cannabis: What Cities Need to Know - League of Minnesota Cities https://www.lmc.org/resources/adult-use-cannabis-what-cities-need-to-know/17/19 7. A position requiring a commercial driverʼs license or requiring an employee to operate a motor vehicle for which state or federal law requires drug or alcohol testing of a job applicant or employee. Return to top of page Q51. Can we still prohibit employees f rom being under the inuence of cannabis while at work? Does the League have a model policy with updated language? A51. Yes, employers can continue to prohibit employees from being under the influence of cannabis products, while at work. For employers, a key focus will be workplace safety with the consideration that cannabis is more difficult to detect and test than alcohol. Employers may continue to maintain drug-free policies at the workplace and discipline employees who use cannabis during working hours or who report to work impaired. Under the Occupational Safety and Health Administrationʼs (OSHA) General Duty Clause of the Occupational Safety and Health Act, employers are required to furnish a workplace free from recognized hazards that are likely to cause serious physical harm. This provision of the Act is typically used in accident cases where toxicology screens are positive. OSHAʼs new electronic recordkeeping rule, clarified on Oct. 11, 2018, states “If the employer chooses to use drug testing to investigate the incident, the employer should test all employees whose conduct could have contributed to the incident, not just employees who reported injuries,” with respect to using drug testing to evaluate the root cause of a workplace incident that harmed or could have harmed employees. Thus, a non-DOT drug and cannabis-city testing policy with protocols following this guidance is important. Under the new law, employers can enact and enforce work policies prohibiting the use, possession, and impairment of cannabis while at work or operating employer vehicles, equipment, and machinery. It is difficult to test for cannabis to determine if an employee is currently under the influence due to the drugʼs ability to be detectable for weeks aer it is used. With the prohibitions on disciplining employees other than those listed in Q3, employers will be in a difficult position to take action against an employee who tests positive for cannabis. A best practice is for cities to train supervisors about the behavioral signs and symptoms of drug and cannabis use as well as how to document observations of potential impairment so should a situation occur in the workplace, supervisors can effectively respond and document what they observed leading to the situation. An updated model Non-DOT Drug, Alcohol and Cannabis Policies will be available once legal consultants have reviewed. Return to top of page Q52. If an employee is injured while being under the inuence of cannabis at work, are they still entitled to workers’ compensation benets? A52. While each case is very fact-specific, the general rule is that if the injury was intentionally self-inflicted or the intoxication of the employee is the proximate cause of the injury, then the employer is not liable for compensation. The burden of proof of these facts is upon the employer. Return to top of page 60 Item 6. 6/30/23, 9:22 AM Adult-Use Cannabis: What Cities Need to Know - League of Minnesota Cities https://www.lmc.org/resources/adult-use-cannabis-what-cities-need-to-know/18/19 Q53. Can employees be in possession of edibles or other cannabis products while at work? A53. Cities may enact policies prohibiting employees from bringing cannabis products, including edibles, to work. A best practice is for cities to train supervisors about the behavioral signs and symptoms of drug and cannabis use as well as documenting observations of potential impairment so should a situation occur in the workplace, supervisors can effectively respond and document what they observed leading to the situation. Return to top of page Q54. Do we need to change anything in our collective bargaining agreement (CBA) regarding discipline of employees who use cannabis products? A54. Maybe. If cities have policies within their CBAs that relate to cannabis use and discipline, cities should consult with their city attorney to determine if any changes are needed. CBAs may address cannabis and cannabis testing, but the CBAs must at least meet the minimum employee rights guaranteed by the statute. Ensure your cityʼs drug and cannabis-testing policies have been updated and your supervisors are trained on the behavioral signs and symptoms associated with impairment as well as documenting observations of potential impairment. If the CBA includes language that policy changes need to be negotiated, then there would need to be a meeting with the union if the cityʼs policy changes. Return to top of page Q55. Can employees use cannabis products off-duty ? A55. It depends. See Q1, Q2, and Q3 for a list of employees who can be prohibited from using cannabis products both on and off duty due to federal or state regulations. Other employees would be able to use cannabis products while they are off duty, if they are not impaired at work. If there are any questions regarding whether an employee could be prevented from using cannabis products while off-duty, please consult your city attorney before any action is taken. In addition, the law prohibits an employer from taking adverse employment action against an employee who is a patient in the stateʼs medical cannabis program unless a failure to do so would violate federal or state law or regulations, or cause an employer to lose a monetary or incensing-related benefit under federal law or regulations. Return to top of page Q56. How does this impact the requirements of the Drug-Free Workplace Act? A56. It does not. The Drug-Free Workplace Act of 1988 (DFWA) requires federal grantees and contractors to implement a drug-free workplace policy and establish a drug-free awareness program as a precondition for receiving a federal grant or a contract. However, the DFWA does not require covered employers to test employees for drugs or terminate them for drug-related violations, so the new Minnesota state law does not impact the DFWA directly. Minnesota law allows employers to prohibit employees from bringing legal cannabis products to work and permits employers to prohibit employees from being under the influence while at work. It would be best practice for cities with drug-free work policies to keep those in effect. If a city wishes to do so, it can update its policy to include lawful cannabis products within its scope. 61 Item 6. 6/30/23, 9:22 AM Adult-Use Cannabis: What Cities Need to Know - League of Minnesota Cities https://www.lmc.org/resources/adult-use-cannabis-what-cities-need-to-know/19/19 An updated model Non-DOT Drug, Alcohol and Cannabis Policies will be available once legal consultants have reviewed. Return to top of page Q57. Should my city continue to include cannabis as a pre- employment panel screen for my non-DOT/safety-sensitive employees? A57. The new Minnesota law prohibits an employer from refusing to hire an applicant simply because of a positive cannabis drug test. There are exceptions for positions where such testing and denial of job offer is required under applicable federal or state law. Cities will want to refer to the Q3, which provides a list of positions excepted from cannabis testing prohibitions. Practically speaking, if a position is not excepted, cities will need to determine whether they want to continue to test for cannabis in light of the limitation of the testing and confer with their city attorney before taking an action as a result of a positive test. Return to top of page Your LMC Resource Research & Information Service staff members are ready to help you apply their broad knowledge to the issues youʼre dealing with today. Access online form to submit a question, or call us: (651) 281-1200 or (800) 925-1122 62 Item 6. ITEM: Tax Increment Financing (TIF) 101 and TIF Status Report DEPARTMENT: Community Development BY/DATE: CD Director/Assistant City Manager/June 28, 2023. CORE CITY STRATEGIES: (please indicate areas that apply by adding an “X” in front of the selected text below) _Healthy and Safe Community _Equitable, Diverse, Inclusive, and Friendly _Trusted and Engaged Leadership X Thriving and Vibrant Destination Community X Strong Infrastructure and Public Services _Sustainable BACKGROUND: Staff have received questions from various Council members regarding the status and history of the City’s various tax increment financing (TIF) districts. Staff will present an overview of the mechanics of TIF and provide a status report for the City’s active TIF districts. Please see the attached presentation for further detail. ATTACHMENT(S):  TIF Presentation CITY COUNCIL WORK SESSION MEETING AGENDA SECTION WORK SESSION ITEM MEETING DATE JULY 5, 2023 63 Item 7. TIF 101 AND & STATUS REPORT 64 Item 7. What is TIF? TIF = The ability to capture the increased portion of the local property tax revenues within a defined geographic area to assist with redevelopment and development. TIF BASIC CONCEPT S 65 Item 7. TIF BASIC CONCEPTS 66 Item 7. Without TIF, the development would not happen as proposed. (But -for test) A.The development would not happen solely through private investment in the "reasonably foreseeable future .“ B.The induced development will yield a net increase in market value for the site compared to the likely development that would occur without TIF . C.Pro -forma Review is completed to help make these determinations. TIF BASIC CONCEPTS 67 Item 7. Forms of Financing 1.Pay -as-you -go (PAYGO) ▪Developer funds TIF -eligible expenses ▪No risk to the City ▪Interest rate is tied to developer financing 2.GO TIF Bonds ▪Risk to the City ▪If TIF is inadequate, the City will levy taxes to pay debt service ▪Carries lowest interest rat e TIF BASIC CONCEPTS 68 Item 7. TIF BASIC CONCEPTS 69 Item 7. Types of TIF Districts: 1.Redevelopment ▪Redevelopment TIF District (26 year maximum) ▪Renewal and Renovation TIF District (16 year maximum) 2.Affordable Housing ▪Housing TIF District (26 year maximum) 3.Job and Tax Base Creation ▪Economic Development TIF Distric t (9 year maximum) TIF BASIC CONCEPTS 70 Item 7. Redevelopment Districts Coverage requirements •70 percent of the area of the district must be occupied by buildings, streets, utilities, or other similar structures, and •More than 50 percent of the buildings must be structurally substandard Substandard building requirements D efects in structural elements must exist to justify substantial renovation or clearance. The cost to bring into compliance must exceed 15 percent of the cost of building a new building of the same type. Permitted Uses of Increment (eligible expenditures) •Site acquisition of blighted sites or sites requiring pollution cleanup •Acquisition of an adjacent parcel or parcels to assemble a site large enough to redevelop •Cleanup of hazardous substances, pollution, or contaminants •Site preparation, such as clearing the land and installation of utilities, roads, sidewalks •Providing parking facilities for the site. •Administrative expenses of the TIF authority (EDA)(up to 10% of available increment) TIF BASIC CONCEPTS 71 Item 7. Housing Districts Income test is the main qualification •20-50 test : 20 percent of the units must be occupied by individuals whose incomes are 50 percent or less of the area median income. •40-60 test: 40 percent of the units must be occupied by individuals whose incomes are 60 percent or less of the area median income. Can include market rate housing in the project Can be a greenfield development site Permitted Uses of Increment (eligible expenditures) Increments from a housing district may only be used to finance a "housing project" or public improvements that are directly related to the project, as well as the authority's administrative expenses. The cost of a project includes items such as acquisition, construction, or rehabilitation of the housing, planning, engineering, and architectural services, and related financing costs. Public improvement or infrastructure costs must be directly related to the project. TIF BASIC CONCEPTS 72 Item 7. Geographic Area s The district must be in a project area, (entire City), which sets boundaries for expenditures. District boundary defines parcels that determine the capture of value. TIF BASIC CONCEPTS 73 Item 7. Approval Process Preparation of a TIF Plan Notification to County and School District but does not require consent. City hold public hearing and adopts resolution with findings and approves the TIF Plan. TIF BASIC CONCEPTS 74 Item 7. Restrictions on Use Restrictions on use depending on the type of district. General governmental use is prohibited (City Hall Example). Recreational use is prohibited (no community centers, parks, etc.) TIF BASIC CONCEPTS 75 Item 7. Use of TIF Administrative Dollars (10% of increment) Administrative Costs Staff time related to redevelopment Consultant fees (finance, attorneys, etc.) Redevelopment Costs Acquisition of blighted property Rehabilitation of blighted property Environmental remediation and demolition Public improvements related to redevelopment Affordable Housing Costs Anything related to studies, program development, development or rehabilitation of affordable housing. TIF BASIC CONCEPTS 76 Item 7. ACTIVE DISTRICTS IN COLUMBIA HEIGHTS 6 Active TIF Districts •3 Redevelopment •3 Housing District Name/Identification Huset Park Area T6 (multiple developers) Scattered Site Housing W3,W4 Grand Central Flats- Z6 (Dominion) 40th and Central BB2-Ratio (Alatus) 4300 Central- Rainbow Site (Alatus) Reuter Walton Development District Type Redevelopment Housing Housing Redevelopment Redevelopment Housing Project Description Huset Park townhomes, The Legends affordable senior, and the Personal Care Assisted Living facility Multiple single-family site locations across the City. Redevelopmen t initiative created in response to 2008 housing crisis 152-unit affordable housing apartment community developed by Dominium Vertical mixed- use development with 266 market- rate apartments, new City Hall, and 3,000 square foot retail/café space Expected mixed- use development with 600-700 market-rate apartments, 75,000+- square feet of commercial or retail space, and low density residential 62-unit affordable housing apartment community developed by Reuter Walton Certification Date 1/20/2006 3/29/2012 5/15/2018 8/18/2020 8/31/21 9/31/22 Maximum Decertification Date 12/31/2031 12/31/2040 12/31/2045 12/31/2047 12/31/2049 12/31/2050 77 Item 7. ACTIVE DISTRICTS IN COLUMBIA HEIGHTS Tax Capacity (2021 Values – Pre 4D Law Changes) District Name/Identification Huset Park Area T6 (multiple developers) Scattered Site Housing W3,W4 Grand Central Flats- Z6 (Dominion) 40th and Central BB2-Ratio (Alatus) 4300 Central- Rainbow Site (Alatus) Reuter Walton Development District Type Redevelopment Housing Housing Redevelopment Redevelopment Housing Original Net Tax Capacity (Base Taxes Generated) $16,866 $4,303 $6,052 $57,120 TBD $0 (City Owned-Tax Exempt) Current Net Tax Capacity (Current Taxes Generated) $780,934 $36,967 $197,898 TBD TBD TBD Captured Net Tax Capacity (Increment)$764,068*$32,644 $191,846*TBD TBD TBD *subject to changes related to 4D legislation 78 Item 7. ACTIVE DISTRICTS IN COLUMBIA HEIGHTS Obligations District Name/Identification Huset Park Area T6 (multiple developers) Scattered Site Housing W3,W4 Grand Central Flats- Z6 (Dominion) 40th and Central BB2-Ratio (Alatus) 4300 Central- Rainbow Site (Alatus) Reuter Walton Development District Type Redevelopment Housing Housing Redevelopment Redevelopment Housing Pay-as-you-go and Interfund Loan Obligations Interfund loan for TIF Admin $80,000 $6,650,000* TIF note to Dominion Interfund loans made for acquisition of various single- family homes Interfund loan for TIF Admin $1,042 $1,170,000* TIF note to Dominion $1,300,000 Interfund loan to EDA to recover cell antenna relocation costs $9,550,000 TIF note to Alatus Pay-as-you-go note amount TBD based on project costs, potential for long-term GO bonds to fund infrastructure $732,000* TIF note to Reuter Walton Bonds $2,890,000 TIF Revenue Bonds, site preparation and infrastructure None None None $5,935,000 GO Temporary Tax Increment Bonds to pay for acquisition, clean-up and demolition None *subject to changes related to 4D legislation 79 Item 7. ITEM: Single Family Rental Density Cap Discussion DEPARTMENT: Community Development BY/DATE: Mitchell Forney, 6/30/2023 CORE CITY STRATEGIES: _Healthy and Safe Community _Equitable, Diverse, Inclusive, and Friendly _Trusted and Engaged Leadership X Thriving and Vibrant Destination Community _Strong Infrastructure and Public Services _Sustainable BACKGROUND: Introduction With the recent addition of new Council members, Community Development staff thought it was important to review the rental density cap conversation before moving an ordinance forward for approval. The rental density cap discussion has been an ongoing interest of the Council for over five years. It originally began in 2019 when the Council at that time had Community Development staff start researching how other cities had handled putting in place rental density caps. After the initial review by staff, the issue was not brought up again until 2022. According to Council direction, Community Development staff presented research recommendations regarding a rental density cap at the March 7th, 2022, Council work session. At the time, the Council was interested in proceeding with a density cap prompting staff to draft the attached rental density cap ordinance and initiate the process, while also conducting additional housing related research. At the July 5th, 2022, council work session Community Development staff presented the first draft ordinance and policy with the caveat that a comprehensive single-family home analysis would have to take place before the policy could be established. Staff explained that the comprehensive study could take substantial staff time to complete. At the July 5th, 2022 meeting, Council member Buesgens brought forth a point that Maple Grove had recently established a single-family rental moratorium and that it would be beneficial for Columbia Heights to do the same while conducting its single-family home research. As a result, the City passed a single- family home rental moratorium which went into effect on August 22nd, 2022. The rental moratorium is set to expire August 22, 2023. If the Council remains committed to moving forward with a rental density ordinance , approval of such an ordinance will require notice of a public hearing along with two readings of the ordinance. This schedule causes overlap with the end of the current rental moratorium which may require the Council to grant an extension, as it will take the ordinance 30 days after approval to be in full effect. The original goals of the rental density cap, as articulated by the Council, were to limit concentrations of single-family rentals, limit corporate investor ownership, and to promote opportunities for homeownership. Community development staff thought it best to bring forward a variety of statistics that would give the Council a better idea of where the community is at with regards to housing. The statistics listed below are CITY COUNCIL WORK SESSION MEETING AGENDA SECTION WORK SESSION ITEM MEETING DATE 07/05/2023 80 Item 8. City of Columbia Heights - Council Letter Page 2 intended to inform the Council’s discussion on the future of housing within the City of Columbia Heights. Statistics referenced in this report can also be fou nd in the excel share point link listed below. - As of the 2021 American Community Survey Columbia Heights had 5,568 owner occupied units and 3,016 renter occupied units with 35.1% of the cities total units being rental. (Table 1 Housing Tenure) - As of the 2021 American Community Survey Columbia Heights had 4,711 1-unit detached structures (single family homes) and 562 rental 1 unit detached structures, for a single-family home rental percentage of 10.7%. (Table 2 Units in Occupied Housing) - According to the Minneapolis Feds new interactive property data tool: 5.6% of the Cities single family homes are considered investor owned if an investor owns 2 or more homes in the City. This number has increased from 2.3% in 2010 to 5.6% in 2022, whereas the Twin Cities average increased from 2.4% to 3.4% over the same period. - In their Comprehensive plan, the Metropolitan council allocates affordable housing needs throughout the 7-county metro. The council gave Columbia heights an Affordable Housing Need Allocation of 133 units by 2030. Consisting of 71 units of 51% to 80% AMI and 62 units at or below 30%AMI. Due to the new apartments at the Col and Ratio, Columbia Heights has already achieved its goal for 51-80% AMI. (https://lphonline.metc.state.mn.us/CommPage?ctu=2393607&applicant=Columbia%20Heights ) Colu- mbia Heights Robbin- sdale St. Louis Park Hopkins Rich- field West St. Paul South St. Paul Fridley Brooklyn Center Anoka Cha- mplin 1-unit Detach 59.4% 63.6% 48.7% 27.9% 60.4% 50.6% 67.9% 55% 59.6% 50.4% 76.4% 1-unit Attach 10.7% 7.5% 5.6% 9.1% 2.5% 4.0% 5.1% 8.2% 8.1% 9.5% 13.7% 2 units 4.2% 4.2% 1.1% 2.4% 1.3% .9% 5.5% 2.1% 0.5% 2.4% .7% 3 or 4 units 1.1% .7% .8% 3.3% 1.9% 2.0% 3.2% 2.0% 1.3% 2.6% .7% 5 to 9 units 6.1% 3.6% 3.7% 11.7% 2.2% 1.8% 2.5% 2.7% 3.3% 5.0% .4% 10 to 19 units 6.1% 2.9% 7.7% 5.4% 7.5% 8.1% 4.5% 6.0% 8.2% 6.9% .5% 20 or more units 12.3% 16.6% 32.2% 40.0% 23.2% 32.6% 10.3% 20.9% 18.7% 23.0% 7.0% Percentage of total units by # of units in structure (Table 3) 81 Item 8. City of Columbia Heights - Council Letter Page 3 Columbia Heights 10.7% Columbia Heights $ 215,600 Robbinsdale 7.7% Robbinsdale $ 229,700 St. Louis Park 6.2% St. Louis Park $ 312,900 Hopkins 22.3% Hopkins $ 265,900 Richfield 7.1% Richfield $ 262,700 West St. Paul 6.6% West St. Paul $ 228,300 South St. Paul 9.0% South St. Paul $ 221,000 Fridley 7.1% Fridley $ 229,000 Brooklyn Center 10.0% Brooklyn Center $ 205,800 Anoka 9.5% Anoka $ 230,000 Champlin 2.9% Champlin $ 271,500 Arden Hills 2.8% Arden Hills $ 332,200 Crystal 5.8% Crystal $ 229,800 Edina 4.1% Edina $ 580,000 Golden Valley 4.2% Golden Valley $ 357,000 Maple Grove 2.2% Maple Grove $ 328,300 Maplewood 6.9% Maplewood $ 247,500 New Hope 5.0% New Hope $ 245,900 Roseville 4.1% Roseville $ 291,600 St Anthony 1.0% St Anthony $ 315,300 Percentage of single-family rentals (Table 4) Median value of housing units with a mortgage Percentage of all unit’s rental and ownership priced below income limits for 80% AMI. (Table 7) 75 % 31 % 90 % 56 % 81 % 81 % 28 % 75 % 30 % 63 % 34 % 62 % 68 % 64 % 75 % 53 % 76 % 48 % 43 % 74 % 80% AMI OR BELOW ALL UNITS 82 Item 8. City of Columbia Heights - Council Letter Page 4 Percentage of ownership occupied units valued below 80% AMI requirements. (Table 7) From the data above, staff would like to highlight a few conclusions. In comparison to the other cities identified, Columbia Heights is a more affordable City to own or rent a home, including other first ring suburbs. Columbia Heights ranks second in affordable homeownership with the second lowest median home value, and second best for the number of owner-occupied units that qualify as affordable at the 80% AMI or below threshold. With regards to rentals, Columbia Heights is on par with other first ring suburbs. Columbia Heights still ranks second with regards to having the highest percentage of single-family rentals, only behind Hopkins which has double the percentage of single-family rentals compared to the City of Columbia Heights. As for general housing makeup, Columbia Heights is fairly average when it comes to the percentage of single- family homes. Columbia Heights is tied for 2nd when it comes to the percentage of duplexes, or two-family homes in the city. While Columbia Heights is clearly lacking high density residential housing (20 units and above. Also attached are a few maps of how the rental density cap would work if altered from 10%. Staff also thought it relevant to include a variety of studies that speak directly to the Council’s discussion. There are a wide range of articles and studies that speak to the hazards of concentrated rentals, the Twin Cities lack of affordable housing, and racial segregation in housing policies. Staff have included a few sample articles that seek to inform the work sessions discussion. The majority of cities that have enacted rental density caps, cite studies conducted by North Mankato and Winona. While specific to each community, these studies provide a good reference to research the effects of concentrated rental properties. In North Mankato’s Rental Density study (attachment 3), they identify an article entitled “Homeownership and Neighborhood Stability” (attachment 4). This article delves into the idea that home ownership leads to greater neighborhood stability. Identifying two processes at work one being natural economic selection. While the other boils down a wide array of social and socioeconomic causes. Within their property value model, the authors find that changes in the home ownership rate have a positive association with changes in property value. It is important to note that the authors recommend that home ownership programs should “focus on current renters who are both capable of and interested in buying a home.” As a means to stabilize a neighborhood but not at the expense of former low-income residents. 75 % 31 % 95 % 54 % 85 % 80 % 20 % 76 % 27 % 46 % 31 % 62 % 61 % 58 % 81 % 43 % 79 % 24 % 32 % 68 % 80% AMI OR BELOW OWNERSHIP 83 Item 8. City of Columbia Heights - Council Letter Page 5 There are many articles regarding the housing issues currently plaguing the Twin Cities. In 2021 the Star Tribune released a commonly overlooked article with regards to the effects of zoning in the Twin Cities suburbs. Listed Below as attachment 5, this article dives into how local zoning ordinances have led to the Twin Cities becoming one of the most racially segregated metropolitan areas throughout the twin cities. This article specifically hammers down on outer ring suburbs that have a history of limiting the number of multifamily developments in their communities. The authors of this article also do a great job highlighting the racial disparities in homeownership that plague the Twin Cities metropolitan Area . The other attached article from the MinnPost delves into the same issues (Attachment 6). Staff would also like to highlight an article from the Mitchell Hamline Law Review (Attachment 7), titled Why Are the Twin Cities so Segregated. In brief, this article finds that past public policies while mostly well meaning, have led to concentrations of poverty along with the segregation of many racial communities. This study also finds that by integrating housing and the production of affordable housing throughout the Twin Cities rather than just the first ring suburbs, the region would see a decrease in general inequality. Finally, Staff wanted to bring forth an article from Metropolitan Housing and Communities Policy Center (Attachment 8). Who Owns the Twin Cities? This article highlights the dichotomy of the housing situation within metro. The included research backs their findings that the home ownership gap continues to grow. Both in areas of gentrification but also areas of low income where investor landlords have replaced home ownership with single-family home rentals. This study defines these issues while also suggesting a variety of solutions policy makers may be able to execute. At this point in time, the City of Columbia Heights is in a good spot when it comes to housing. The community has a diverse makeup in both population and housing. Like many other cities, Columbia Heights struggles with equitable home ownership where only 24% of owner-occupied units are minority owned while 47% of renter occupied units are minority rented. Unlike other cities, Columbia heights has a good mix of single and multi- family zones throughout the city. After the completion of our upcoming multifamily projects (if built as contemplated) over 50% of the City’s housing units will be rental. This does not include possible future redevelopments at the Root Property, the city owned property at 37 th and Main Street, the empty lots at 47th and central, and possibly the Fairview building. As found in the studies above, high concentrations of rental homes in neighborhoods and within low-income communities, reduces neighborhood stabilization, removes affordable home ownership opportunities, and limits lower income individuals from building intergenerational wealth. With Columbia Heights being one of the most affordable communities to live in , the City is uniquely suited to tackle current housing issues in ways other communities can’t. With 85% of Columbia Heights homes valued at or below levels accessible to families that are at or below the 80% AMI threshold, Columbia Heights can continue to provide affordable home ownership opportunities while building on the City’s current multifamily housing stock to provide housing opportunities for everyone. There are many issues, points, and counter points to the entire housing discussion. In no way can staff definitively state that the only solution is to limit single family rentals, nor can staff say that a certain percentage of single-family rentals represents perfect balance. At this time, staff believe that expanding on the City’s multifamily housing stock while setting a cap on single family rentals achieves this while also ensuring home owner ship opportunities for families that may have always been renting. If the council decides to move forward with the current version of the rental density cap, or an amended version, staff are prepared to move the ordinance forward. If a density cap is enacted, current and available single-family rental licenses will be tracked with a GIS mapping application monitored by Community 84 Item 8. City of Columbia Heights - Council Letter Page 6 Development and the Fire Department. Every month the Fire Department will send an updated list to the GIS Technician to maintain an up-to-date data base. Staff will have an example of the map at the work session. STAFF RECOMMENDATION: Staff recommend moving forward with approval of the 10% rental density cap ordinance as presented. ATTACHMENT(S): 1. Rental Density Maps 2. Rental Density Ordinance Draft Rental Density Data Excel Sheet Rental Density Work Session.xlsx 3. North Mankato’s Rental Density Study 4. Homeownership and Neighborhood Stability https://static1.squarespace.com/static/56b161a622482e966ff4db63/t/59e1207f32601e172d4ec1f4/1507926 144073/homeownership-and-neighborhood-stability.pdf 5. Star Tribune Article https://www.startribune.com/how-twin-cities-housing-rules-keep-the-metro- segregated/600081529/?refresh=true 6. MinnPost Article https://www.minnpost.com/cityscape/2022/11/zoning-changes-are-the-easiest-way-to-reduce-segregation- in-the-twin-cities-suburbs/ 7. Hamline Law Review Article https://open.mitchellhamline.edu/cgi/viewcontent.cgi?article=1062&context=mhlr 8. Who Owns the Twin Cities-Urban Institute Report https://www.urban.org/research/publication/who -owns-twin-cities 85 Item 8. Sullivan Lake4 t h S t N E H u g hes A v e H o r i z o n D r N E W a s h i n g t o n S t N E 5 t h S t N E 5 3 r d A v e N E 6 t h S t N E Cheri Ln NE 3 r d S t N E M a i n S t N E U n i v e r s i t y A v e N E 4 2 n d A v e N E 4 6 t h A v e NE W a s h i n g t o n S t N E M a d i s o n S t N E 5 t h S t N E 6 t h S t N E 4 1 s t A v e N E M o n r o e S t N E M o n r o e S t N E 4 8 t h A v e N E 3 r d S t N E 4 t h S t N E 4 7 t h A v e N E 2 n d S t N EM a i n S t N E 2 1 / 2 S t N E J e f f e r s o n S t N E J e f f e r s o n S t N E U n i v e r s i t y A v e N E 4 9 t h A v e N E Gauv itte Par k 2 1 / 2 S t N E M a i n S t N E 5t h S t N E 5 t h S t N E2 n d S t N E N E M a i n S t N E 2 nd S t N E 2 1 / 2 S t 3 7 t h A v e N E N E 3 6 1 /2 A v e N E 3 6 t h A v e N E 3 r d S t U n i v e r s i t y A v e N E NE University Ave C o l u m b i a H e i g h t s Highland LakeLincoln Ter T rollh agen Dr 5 0 t h A ve NE 5 3 r d A v e N E Hillwind Rd NE S ulliv a n Lake P ar k 4 1 s t A v e N E 4 4 t h A v e N E F i l l m o r e S t N E Q u i n c y S t N E 4 3 r d A v e N E 4 3 r d A v e N E T y l e r S t N E A S t 4 2 n d A v e N E 4 3 1 /2 A v e N E L i n c o l n T e r P o l k S t N E Polk StNE C h a t h a m R d N E 4 2 1 /2 A v e N E 4 4 1 /2 A v e N E ReservoirBlvd 4 9 t h A v e N E C e n t r a l A v e N E K o r diak Par k Lab e l le P a r k K eyes P a r k H i l l t o p Hart Lake 4 0 t h A v e N E 3 9 t h A v e N ETylerStNE H a y e s S t N E P olk S t N E A r t h u r S t N E V a n B u r e n S t N E J a c k s o n S t N E N E F i l l m o r e S t N E 3 6 t h A v e NE 3 6 t h A v e N E C l e v e l a n d S t N E P o l k S t R e s e r v oir B lv d 3 7 t h A v e N E C e n t r a l A v e N E N E C e n t r a l A v e M eister Rd S e minary Dr Linden D r Silver Lake H e i g h t s D r U p l a n d C r st NE S t i n s o n B l v d Dr iftwo o d Par k S ilv e r wo o d Par k S i l v e r L n N E R o o s e v e l t S t N E N E B e n j a m i n S t N E M c K i n l e y S t S t i n s o n B l v d N E Pr estem on P a r k Esri Community Maps Contributors, City of Minneapolis, Metropolitan Council, MetroGIS, Three Rivers Park District, Esri, HERE, Garmin, SafeGraph, GeoTechnologies, Inc, METI/NASA, USGS, EPA, NPS, US Census Bureau, USDA, Maxar Single Family Rentals <10% 10% >10% Date Created: June 27, 2023 At 10% of units allowed for rental 86 Item 8. Sullivan Lake4 t h S t N E H u g hes A v e H o r i z o n D r N E W a s h i n g t o n S t N E 5 t h S t N E 5 3 r d A v e N E 6 t h S t N E Cheri Ln NE 3 r d S t N E M a i n S t N E U n i v e r s i t y A v e N E 4 2 n d A v e N E 4 6 t h A v e NE W a s h i n g t o n S t N E M a d i s o n S t N E 5 t h S t N E 6 t h S t N E 4 1 s t A v e N E M o n r o e S t N E M o n r o e S t N E 4 8 t h A v e N E 3 r d S t N E 4 t h S t N E 4 7 t h A v e N E 2 n d S t N EM a i n S t N E 2 1 / 2 S t N E J e f f e r s o n S t N E J e f f e r s o n S t N E U n i v e r s i t y A v e N E 4 9 t h A v e N E Gauv itte Par k 2 1 / 2 S t N E M a i n S t N E 5t h S t N E 5 t h S t N E2 n d S t N E N E M a i n S t N E 2 nd S t N E 2 1 / 2 S t 3 7 t h A v e N E N E 3 6 1 /2 A v e N E 3 6 t h A v e N E 3 r d S t U n i v e r s i t y A v e N E NE University Ave C o l u m b i a H e i g h t s Highland LakeLincoln Ter T rollh agen Dr 5 0 t h A ve NE 5 3 r d A v e N E Hillwind Rd NE S ulliv a n Lake P ar k 4 1 s t A v e N E 4 4 t h A v e N E F i l l m o r e S t N E Q u i n c y S t N E 4 3 r d A v e N E 4 3 r d A v e N E T y l e r S t N E A S t 4 2 n d A v e N E 4 3 1 /2 A v e N E L i n c o l n T e r P o l k S t N E Polk StNE C h a t h a m R d N E 4 2 1 /2 A v e N E 4 4 1 /2 A v e N E ReservoirBlvd 4 9 t h A v e N E C e n t r a l A v e N E K o r diak Par k Lab e l le P a r k K eyes P a r k H i l l t o p Hart Lake 4 0 t h A v e N E 3 9 t h A v e N ETylerStNE H a y e s S t N E P olk S t N E A r t h u r S t N E V a n B u r e n S t N E J a c k s o n S t N E N E F i l l m o r e S t N E 3 6 t h A v e NE 3 6 t h A v e N E C l e v e l a n d S t N E P o l k S t R e s e r v oir B lv d 3 7 t h A v e N E C e n t r a l A v e N E N E C e n t r a l A v e M eister Rd S e minary Dr Linden D r Silver Lake H e i g h t s D r U p l a n d C r st NE S t i n s o n B l v d Dr iftwo o d Par k S ilv e r wo o d Par k S i l v e r L n N E R o o s e v e l t S t N E N E B e n j a m i n S t N E M c K i n l e y S t S t i n s o n B l v d N E Pr estem on P a r k Esri Community Maps Contributors, City of Minneapolis, Metropolitan Council, MetroGIS, Three Rivers Park District, Esri, HERE, Garmin, SafeGraph, GeoTechnologies, Inc, METI/NASA, USGS, EPA, NPS, US Census Bureau, USDA, Maxar Single Family Rentals <15% 15% >15% Date Created: June 27, 2023 At 15% of units allowed for rental 87 Item 8. Sullivan Lake4 t h S t N E H u g hes A v e H o r i z o n D r N E W a s h i n g t o n S t N E 5 t h S t N E 5 3 r d A v e N E 6 t h S t N E Cheri Ln NE 3 r d S t N E M a i n S t N E U n i v e r s i t y A v e N E 4 2 n d A v e N E 4 6 t h A v e NE W a s h i n g t o n S t N E M a d i s o n S t N E 5 t h S t N E 6 t h S t N E 4 1 s t A v e N E M o n r o e S t N E M o n r o e S t N E 4 8 t h A v e N E 3 r d S t N E 4 t h S t N E 4 7 t h A v e N E 2 n d S t N EM a i n S t N E 2 1 / 2 S t N E J e f f e r s o n S t N E J e f f e r s o n S t N E U n i v e r s i t y A v e N E 4 9 t h A v e N E Gauv itte Par k 2 1 / 2 S t N E M a i n S t N E 5t h S t N E 5 t h S t N E2 n d S t N E N E M a i n S t N E 2 nd S t N E 2 1 / 2 S t 3 7 t h A v e N E N E 3 6 1 /2 A v e N E 3 6 t h A v e N E 3 r d S t U n i v e r s i t y A v e N E NE University Ave C o l u m b i a H e i g h t s Highland LakeLincoln Ter T rollh agen Dr 5 0 t h A ve NE 5 3 r d A v e N E Hillwind Rd NE S ulliv a n Lake P ar k 4 1 s t A v e N E 4 4 t h A v e N E F i l l m o r e S t N E Q u i n c y S t N E 4 3 r d A v e N E 4 3 r d A v e N E T y l e r S t N E A S t 4 2 n d A v e N E 4 3 1 /2 A v e N E L i n c o l n T e r P o l k S t N E Polk StNE C h a t h a m R d N E 4 2 1 /2 A v e N E 4 4 1 /2 A v e N E ReservoirBlvd 4 9 t h A v e N E C e n t r a l A v e N E K o r diak Par k Lab e l le P a r k K eyes P a r k H i l l t o p Hart Lake 4 0 t h A v e N E 3 9 t h A v e N ETylerStNE H a y e s S t N E P olk S t N E A r t h u r S t N E V a n B u r e n S t N E J a c k s o n S t N E N E F i l l m o r e S t N E 3 6 t h A v e NE 3 6 t h A v e N E C l e v e l a n d S t N E P o l k S t R e s e r v oir B lv d 3 7 t h A v e N E C e n t r a l A v e N E N E C e n t r a l A v e M eister Rd S e minary Dr Linden D r Silver Lake H e i g h t s D r U p l a n d C r st NE S t i n s o n B l v d Dr iftwo o d Par k S ilv e r wo o d Par k S i l v e r L n N E R o o s e v e l t S t N E N E B e n j a m i n S t N E M c K i n l e y S t S t i n s o n B l v d N E Pr estem on P a r k Esri Community Maps Contributors, City of Minneapolis, Metropolitan Council, MetroGIS, Three Rivers Park District, Esri, HERE, Garmin, SafeGraph, GeoTechnologies, Inc, METI/NASA, USGS, EPA, NPS, US Census Bureau, USDA, Maxar Single Family Rentals <20% 20 >20% Date Created: June 27, 2023 At 20% of units allowed for rental 88 Item 8. Sullivan Lake4 t h S t N E H u g hes A v e H o r i z o n D r N E W a s h i n g t o n S t N E 5 t h S t N E 5 3 r d A v e N E 6 t h S t N E Cheri Ln NE 3 r d S t N E M a i n S t N E U n i v e r s i t y A v e N E 4 2 n d A v e N E 4 6 t h A v e NE W a s h i n g t o n S t N E M a d i s o n S t N E 5 t h S t N E 6 t h S t N E 4 1 s t A v e N E M o n r o e S t N E M o n r o e S t N E 4 8 t h A v e N E 3 r d S t N E 4 t h S t N E 4 7 t h A v e N E 2 n d S t N EM a i n S t N E 2 1 / 2 S t N E J e f f e r s o n S t N E J e f f e r s o n S t N E U n i v e r s i t y A v e N E 4 9 t h A v e N E Gauv itte Par k 2 1 / 2 S t N E M a i n S t N E 5t h S t N E 5 t h S t N E2 n d S t N E N E M a i n S t N E 2 nd S t N E 2 1 / 2 S t 3 7 t h A v e N E N E 3 6 1 /2 A v e N E 3 6 t h A v e N E 3 r d S t U n i v e r s i t y A v e N E NE University Ave C o l u m b i a H e i g h t s Highland LakeLincoln Ter T rollh agen Dr 5 0 t h A ve NE 5 3 r d A v e N E Hillwind Rd NE S ulliv a n Lake P ar k 4 1 s t A v e N E 4 4 t h A v e N E F i l l m o r e S t N E Q u i n c y S t N E 4 3 r d A v e N E 4 3 r d A v e N E T y l e r S t N E A S t 4 2 n d A v e N E 4 3 1 /2 A v e N E L i n c o l n T e r P o l k S t N E Polk StNE C h a t h a m R d N E 4 2 1 /2 A v e N E 4 4 1 /2 A v e N E ReservoirBlvd 4 9 t h A v e N E C e n t r a l A v e N E K o r diak Par k Lab e l le P a r k K eyes P a r k H i l l t o p Hart Lake 4 0 t h A v e N E 3 9 t h A v e N ETylerStNE H a y e s S t N E P olk S t N E A r t h u r S t N E V a n B u r e n S t N E J a c k s o n S t N E N E F i l l m o r e S t N E 3 6 t h A v e NE 3 6 t h A v e N E C l e v e l a n d S t N E P o l k S t R e s e r v oir B lv d 3 7 t h A v e N E C e n t r a l A v e N E N E C e n t r a l A v e M eister Rd S e minary Dr Linden D r Silver Lake H e i g h t s D r U p l a n d C r st NE S t i n s o n B l v d Dr iftwo o d Par k S ilv e r wo o d Par k S i l v e r L n N E R o o s e v e l t S t N E N E B e n j a m i n S t N E M c K i n l e y S t S t i n s o n B l v d N E Pr estem on P a r k Esri Community Maps Contributors, City of Minneapolis, Metropolitan Council, MetroGIS, Three Rivers Park District, Esri, HERE, Garmin, SafeGraph, GeoTechnologies, Inc, METI/NASA, USGS, EPA, NPS, US Census Bureau, USDA, Maxar Single Family Rentals 0-25% 25% Over 25% Date Created: June 27, 2023 At 25% of units allowed for rental 89 Item 8. Sullivan Lake4 t h S t N E H u g hes A v e H o r i z o n D r N E W a s h i n g t o n S t N E 5 t h S t N E 5 3 r d A v e N E 6 t h S t N E Cheri Ln NE 3 r d S t N E M a i n S t N E U n i v e r s i t y A v e N E 4 2 n d A v e N E 4 6 t h A v e NE W a s h i n g t o n S t N E M a d i s o n S t N E 5 t h S t N E 6 t h S t N E 4 1 s t A v e N E M o n r o e S t N E M o n r o e S t N E 4 8 t h A v e N E 3 r d S t N E 4 t h S t N E 4 7 t h A v e N E 2 n d S t N EM a i n S t N E 2 1 / 2 S t N E J e f f e r s o n S t N E J e f f e r s o n S t N E U n i v e r s i t y A v e N E 4 9 t h A v e N E Gauv itte Par k 2 1 / 2 S t N E M a i n S t N E 5t h S t N E 5 t h S t N E2 n d S t N E N E M a i n S t N E 2 nd S t N E 2 1 / 2 S t 3 7 t h A v e N E N E 3 6 1 /2 A v e N E 3 6 t h A v e N E 3 r d S t U n i v e r s i t y A v e N E NE University Ave C o l u m b i a H e i g h t s Highland LakeLincoln Ter T rollh agen Dr 5 0 t h A ve NE 5 3 r d A v e N E Hillwind Rd NE S ulliv a n Lake P ar k 4 1 s t A v e N E 4 4 t h A v e N E F i l l m o r e S t N E Q u i n c y S t N E 4 3 r d A v e N E 4 3 r d A v e N E T y l e r S t N E A S t 4 2 n d A v e N E 4 3 1 /2 A v e N E L i n c o l n T e r P o l k S t N E Polk StNE C h a t h a m R d N E 4 2 1 /2 A v e N E 4 4 1 /2 A v e N E ReservoirBlvd 4 9 t h A v e N E C e n t r a l A v e N E K o r diak Par k Lab e l le P a r k K eyes P a r k H i l l t o p Hart Lake 4 0 t h A v e N E 3 9 t h A v e N ETylerStNE H a y e s S t N E P olk S t N E A r t h u r S t N E V a n B u r e n S t N E J a c k s o n S t N E N E F i l l m o r e S t N E 3 6 t h A v e NE 3 6 t h A v e N E C l e v e l a n d S t N E P o l k S t R e s e r v oir B lv d 3 7 t h A v e N E C e n t r a l A v e N E N E C e n t r a l A v e M eister Rd S e minary Dr Linden D r Silver Lake H e i g h t s D r U p l a n d C r st NE S t i n s o n B l v d Dr iftwo o d Par k S ilv e r wo o d Par k S i l v e r L n N E R o o s e v e l t S t N E N E B e n j a m i n S t N E M c K i n l e y S t S t i n s o n B l v d N E Pr estem on P a r k Esri Community Maps Contributors, City of Minneapolis, Metropolitan Council, MetroGIS, Three Rivers Park District, Esri, HERE, Garmin, SafeGraph, GeoTechnologies, Inc, METI/NASA, USGS, EPA, NPS, US Census Bureau, USDA, Maxar Single Family Rentals 0-30% 30%Date Created: June 27, 2023 At 30% of units allowed for rental >30% 90 Item 8. ORDINANCE NO. XXXX BEING AN ORDINANCE AMENDING CHAPTER 5A ARTICLE IV OF THE COLUMBIA HEIGHTS CITY CODE TO REGULATE RENTAL DENSITY FOR DETACHED SINGLE-FAMILY RENTAL DWELLINGS The City of Columbia Heights does ordain: Section 1 5A.401 of the Columbia Heights City Code is hereby amended to read as follows, to wit: 5A.401 OCCUPANCY LICENSE REQUIRED. (A) No person, firm, government agency or corporation shall own a premises that is rented, leased, let, or used for any type of occupancy in the city City without having first obtained an occupancy license (license) as hereinafter provided and outlined in the Property Maintenance Inspection Policy. Each such license shall register annually with the city City. If the license is denied, no occupancy of a premises, then vacant or which become vacant, is permitted until a license has been issued. Apartment units within an unlicensed apartment building for which a license application has been made and which units are in compliance with this chapter may be occupied provided that the unlicensed units within the apartment building do not create a hazard to the health and safety of persons in occupied units. (B) Rental Density for Detached Single-Family Rental Dwellings. (1) In any R-1, R-2A, R-3, or R-4 zoning district, no more than ten percent of the single-family lots on any block shall be eligible to obtain a rental license, unless a temporary license is granted by the City Council as provided herein. Table 1 indicates how many single-family lots per block are able to be licensed as a rental property based on the number of lots that exist in a block. TABLE 1 Lots/Block Rental Units Allowed 1-14 1 15-24 2 25-34 3 35-44 4 45-54 5 55-64 6 65-74 7 75-84 8 85-94 9 (2) The following guidelines shall apply to determine eligible blocks and lots: (a) For the purposes of this section, a BLOCK shall be defined as an area of land enclosed within the perimeter of streets, watercourses, public parks, municipally owned lots, and City boundaries and further defined by an official map maintained by the City. (b) This section shall apply to legally conforming lots of record and legally nonconforming lots of record. For the purposes of this section, lots of record may also be referred to as PROPERTIES, PROPERTY, or LOTS. 91 Item 8. (c) If a block contains more than one type of zoning district, only R-1, R-2A, R-3, and R-4 zoning district lots shall be included in the calculation of the total number of lots per block. (d) Two-family residential, townhome/twinhome residential, multiple family residential, commercial, public, institutional, and industrial uses located in an R-1, R-2A, R-3, or R-4 zoning district shall not be included in the calculation of the total number of lots per block. (3) If the number of rental properties meets or exceeds the permitted number of rental properties per defined block on the effective date of the ordinance from which this section is derived, no additional rental licenses shall be approved for the block, unless a temporary license is granted by the City Council as provided herein. Existing rental licenses may be renewed; however, should a rental license not be renewed, terminated due to the sale of a property by the current license holder, transfer of property ownership occurs, or if the rental license is revoked or lapses, the rental license shall not be reinstated unless it is in conformance with this section and other applicable sections of the City Code. (4) If the number of rental properties meets or exceeds the permitted number of rental properties per defined block on the effective date of the ordinance from which this section is derived, a property owner may request a temporary license to allow an additional rental property for that block. The property owner must hire a licensed professional property management company to manage the property. The City Council may grant or deny a temporary license in its sole discretion. Persons requesting a temporary license must make an annual application to the City. No property owner shall hold a temporary rental license for the same property for more than two consecutive years. (C) Exception. Owner occupied Single-family home occupancies. (Ord. 1532, passed 11-26-07; Ord. XXXX, passed XX-XX-XX) Section 2 This ordinance shall be in full force and effective from and after 30 days after its passage. First Reading: Offered by: Seconded by: Roll Call: Second Reading: Offered by: Seconded by: Roll Call: Date of Passage: ______________________________________ Amáda Márquez Simula, Mayor 92 Item 8. Attest: ___________________________________ Sara Ion, City Clerk/Council Secretary 93 Item 8. ITEM: National League of Cities - Membership DEPARTMENT: Urban Forestry BY/DATE: Kevin Hansen - 6/27/2023 CORE CITY STRATEGIES: (please indicate areas that apply by adding an “X” in front of the selected text below) X Healthy and Safe Community X Equitable, Diverse, Inclusive, and Friendly _Trusted and Engaged Leadership _Thriving and Vibrant Destination Community _Strong Infrastructure and Public Services X Sustainable BACKGROUND: Within the last several years, the Council and staff has discussed becoming a member of the National League of Cities, or NLC. The Mayor and Interim City Manager attended membership consultation with the NLC regional representative, Katie Colten a few weeks ago to review and discuss Columbia Heights membership. Membership is for both city staff and local elected officials and everyone is entitled to benefits such as conference discounts, participating as members on committees and groups, members only events (such as sustainability office hours), etc. Dues are on a 12 month calendar and based on 2010 census population; dues for Columbia Heights would be $1652 per year. The National League of Cities serves as a resource and advocate for city leaders from communities large and small. We offer training for local elected officials and staff via NLC University. NLC members are eligible to serve as members of a federal advocacy committee, along with member council and constituency groups. I have listed the FA committees below, along with our member councils and constituency groups. NLC was committed to fighting to secure critical federal resources for communities of all size s through our Cities Are Essential campaign and celebrated the signing of the American Recovery Plan, delivering $65 billion of aid to America’s cities, towns and villages. NLC is here to help local leaders learn more about the provisions of this critical funding, and what comes next for America’s communities as local leaders are on the frontlines of recovery after the pandemic. We are here to continue building the tools and resources you need to help your community. NLC hosts two in person events- each March in Washington, DC our Congressional Cities Conference and our annual conference, City Summit, which rotates each year. Members are eligible to get heavily discounted rate for these conferences. Registration for 2023 City Summit in Atlanta is now open. NLC has robust programming and work ranging from housing and homelessness to race and equity to community and economic development to early childhood education. A list of our current focus areas is on our website here: https://www.nlc.org/initiatives/ CITY COUNCIL WORK SESSION MEETING AGENDA SECTION WORK SESSION ITEM MEETING DATE 7/5/2023 94 Item 9. City of Columbia Heights - Council Letter Page 2 With membership, every employee of the city is entitled to member benefits - conference discounts, serving as member to various groups, etc. At times, there are often technical assistance cohorts available for members to participate in such as disaster resiliency, census outreach and voter engagement; members are able to serve in these groups to network with peers, receive guidance from NLC staff and experts and grant money to fund specific initiatives. NLC members are able to participate in savings and solutions p rograms which are offered to municipalities and their residents at no cost. A few of our more popular programs include:  Grant Access: database with over 10,000 federal, state and foundati on grant opportunities; each municipality is given one log-in.  NLC Prescription Discount Program: helps residents save on average 24% off the cost of prescription medication for those who lack insurance or insurance doesn’t cover the cost of the medicine that they need, there are more than 68,000 pharmacies nationwide that participate in the program. Medicine for pets is also covered.  NLC Service Line Warranty Program: offers homeowners affordable coverage options for emergency home repairs and is an educational tool for cities to inform residents about their service li ne responsibilities and provide a resource to cope with emergency repairs when they crop up. Finally, here is the listing of our committees and groups that members are able to engage and serve as member of. Leadership applications (for the Board of Directors, chair/vice chair of committees, councils and groups) opens in August 2023. Federal Advocacy Committees: https://www.nlc.org/advocacy/federal-advocacy-committees/ Community and Economic Development Energy, Environment and Natural Resources Finance, Administration and Intergovernmental Relations Human Development Information Technology and Communications Public Safety and Crime Prevention Transportation and Infrastructure Services Member Councils: https://www.nlc.org/current-initiatives/member-councils-2/ Large Cities Small Cities (under 50k) Military Communities University Communities First Tier Suburbs Council on Youth, Education and Families Race, Equity and Leadership (REAL) Council Constituency Groups: https://www.nlc.org/current-initiatives/constituency-groups-2/ Asian Pacific American Municipal Officials (APAMO) Hispanic Local Elected Officials (HELO) 95 Item 9. City of Columbia Heights - Council Letter Page 3 Lesbian, Gay, Bisexual, Transgender Local Officials (LGBTLO) Women in Municipal Government (WIMG) National Black Caucus of Local Elected Officials (NBC-LEO) Local Indigenous Leaders (LIL) Member Cities from MN: Cities of Apple Valley, Bloomington, Brooklyn Center, Brooklyn Park, Burnsville, Coon Rapids, Duluth, Eagan, Eden Prairie, Edina, Hawley, Hopkins, Independence, Kandiyohi, Kenyon, Mankato, Minneapolis, Minnetonka, Moorhead, New Brighton, New Ulm, North Mankato, Northfield, Oak Park Heights, Ramsey, Red Wing, Richfield, Robbinsdale, Rochester, Rosemount, St. Michael, St. Paul, St. Anthony Village, St. Louis Park, Victoria and Willmar. STAFF RECOMMENDATION: Complete membership with the National League of Cities. RECOMMENDED MOTION(S): Informational Purposes Only MOTION: No Motion – Information and Discussion ATTACHMENT(S): NLC Advance Your Community sheet 96 Item 9. City of Columbia Heights - Council Letter Page 4 97 Item 9. Achieve your policy agenda in Washington with NLC as your advocate. NLC is your voice on issues impacting cities, towns, and villages.2,000+ ATTENDEES Congressional City Conference 250+ MEETINGS From peer networking to technical assistance and their national lobbying, NLC helps to leverage the collective power of cities across America. JOHN GOODHOUSE | COUNCILOR Tigard, OR NLC Member Advance your community.Enhance your leadership. Community & Economic Development Energy, Environment & Natural Resources Finance, Administration & Intergovernmental Relations Human Development Information Technology & Communications Public Safety & Crime Prevention Transportation & Infrastructure Services Federal Advocacy Committees Join a Federal Advocacy Committee and help shape NLC’s priorities for cities, towns, and villages. 2 Find innovative solutions to emerging challenges, access resources and best practices that compliments your work in your community and helps you serve your residents better. NLC connects you with grant funding, case studies, and technical assistance. ACCESS CASE STUDIES, TECHNICAL ASSISTANCE, BEST PRACTICES, RESEARCH, AND FUNDINGSolve 10,000+ FUNDING OPPORTUNITIES AVAILABLE ONLINE NLC Grant Access JOIN THE NATIONAL LEAGUE OF CITIES 1 ACHIEVE YOUR POLICY AGENDA IN WASHINGTON, DCAdvocate 98 Item 9. CONNECT TO THOUSANDS OF PEERSNetwork Take the next step, contact your NLC representative: 4 Participate in skills building and knowledge workshops created specifically for local leaders. From NLC University to our annual City Summit, strengthen your leadership skills in a variety of learning environments. 3 Learn BUILD YOUR KNOWLEDGE AND LEADERSHIP SKILLS 3,500+ ATTENDEES 200+ EXHIBITORS NLC City Summit From our member councils to our constituency groups, NLC is the place to connect and network with other municipal leaders facing similar challenges. KATIE COLTEN Midwest Region (202) 626-3160 kcolten@nlc.org EBONE CLIFTON South Region (202) 626-3153 clifton@nlc.org KIRK ROSS West Region (202) 626-3093 ross@nlc.org ALEJANDRA PIERS-TORRES Northeast/ Mid-Atlantic Region (202) 626-3058 piers-torres@nlc.org BRYAN GRIFFITH Member Services & Engagement Director (202) 626-3174 griffithb@nlc.org 100+ WORKSHOPS • Asian Pacific American Municipal Officials • Hispanic Elected Local Officials • LGBTQ+ Local Officials • Local Indigenous Leaders • National Black Caucus of Local Elected Officials • Women in Municipal Government Constituency Groups • First Tier Suburbs Council • Large Cities Council • Military Communities Council • Small Cities Council • University Communities Council • Council on Youth, Education, and Families • Race, Equity and Leadership (REAL) Council Member Councils I have been a member of the NLC for 16 years. It was obvious that the Small Cities Council had a direct correlation to my hometown of Camden, S.C. From lessons learned, to innovative projects, to the way ahead, it provided me much inspiration and material to lead Camden. ALFRED MAE DRAKEFORD | MAYOR Camden, SC Small Cities Council 99 Item 9. ITEM: Outdoor Activities – Weather Policy DEPARTMENT: Administration BY/DATE: Kevin Hansen / June 27, 2023 CORE CITY STRATEGIES: (please indicate areas that apply by adding an “X” in front of the selected text below) X Healthy and Safe Community X Equitable, Diverse, Inclusive, and Friendly _Trusted and Engaged Leadership _ Thriving and Vibrant Destination Community X Strong Infrastructure and Public Services _ Sustainable BACKGROUND: At this year’s Community Art and Information Fair, the weather had a significant impact on our residents attending the events, particularly those with pre-existing health conditions such as lung / respiration issues. With the changing climate, we have seen impacts from wildfires across the country and from Canada (this event). I’ve had conversations with both Council members and staff regarding a policy to more clearly define when activities should be suspended. In Minnesota, the Air Quality Index (AQI) is based on measurements of six pollutants: fine particles (PM 2.5), course particles (PM10), ozone, sulfur dioxide, nitrogen dioxide, and carbon monoxide. Each hour, the Minnesota Pollution Control Agency (MPCA) converts measurements to an AQI value based on health standards established by the US Environmental Protection Agency. The data is collected by the MNPCA and is provided in a numeric Air Quality Index, or AQI for fine particle pollution. This was developed to provide a simple, uniform way to report air quality conditions. The AQI ranges from 1-500. Wildfires pushed the AQI above 200 for the first time in 2021. A range of 201 – 300 is considered very unhealthy, and a number of 301 or above is hazardous. The MNPCA has extensive information on their website for wildfire caused air pollution, attached. The City of Minneapolis is also evaluating a policy related to air quality issues. They are considering an advisory when the AQI reaches 150 and closely watching the air quality and consider cancellation or other options such as moving inside. At an AQI levels above 200 (201) the advisory would shift to cancelling outdoor programs. STAFF RECOMMENDATION: Establish an AQI of 200 (or 210) will be the point where city sponsored outdoor activities are moved inside or cancelled. ATTACHMENT(S): EPA AQI Fact Sheet CITY COUNCIL WORK SESSION MEETING AGENDA SECTION WORK SESSION ITEM MEETING DATE JULY 5, 2023 100 Item 9. What is the Air Quality Index (AQI)? The AQI is a nationally uniform color-coded index for reporting and forecasting daily air quality. It is used to report on the most common ambient air pollutants that are regulated under the Clean Air Act: ground-level ozone, particle pollution (PM10 and PM2.5), carbon monoxide (CO), nitrogen dioxide (NO2), and sulfur dioxide (SO2). The AQI tells the public how clean or polluted the air is and how to avoid health effects associated with poor air quality. The AQI focuses on health effects that may be experienced within a few hours or days after breathing polluted air and uses a normalized scale from 0 to 500; the higher the AQI value, the greater the level of pollution and the greater the health concern. An AQI value of 100 generally corresponds to the level of the short- term National Ambient Air Quality Standard for the pollutant. AQI values at and below 100 are generally considered to be satisfactory. When AQI values are above 100, air quality is considered to be unhealthy, at first for members of populations at greatest risk of a health effect, then for the entire population as AQI values get higher (greater than 150). The AQI is divided into six categories that correspond to different levels of health concern. The breakpoints between these categories are selected based on a review of the health effects evidence. For particle pollution, the evidence largely consists of epidemiology studies that evaluate the morbidity and mortality effects of acute and chronic exposures to particle pollution. For particle pollution, epidemiological studies show little evidence of a population threshold, or level below which particle pollution-associated effects are unlikely to occur. Even serious effects, such as mortality, can occur at low levels. Some individuals are much more sensitive to air pollution than others. Checking the AQI each day will help these people notice at what levels they begin to experience effects. The levels of health concern listed below are general guidelines to be used as a reference so that people can figure out their own sensitivity to air pollution.  Good: Air quality is good and poses little or no risk.  Moderate: Air quality is acceptable; however, there may be some health concern for a small number of unusually sensitive people. While EPA cannot identify these people, studies indicate that there are people who experience health effects when air quality is in the moderate range.  Unhealthy for Sensitive Groups: When air quality is in this range, people who are in sensitive groups, whether the increased risk is due to medical conditions, exposure conditions, or innate susceptibility, may experience health effects when engaged in outdoor activities. However, exposures to ambient concentrations in this range are not likely to result in effects in the 101 Item 9. general population. For particle pollution, the sensitive groups include people with heart and lung disease, older adults, children, people with diabetes, and people of lower SES.  Unhealthy: When air quality is in this range, everyone who is active outdoors may experience effects. Members of sensitive groups are likely to experience more serious effects.  Very Unhealthy: When air quality is in this range, it is expected that there will be widespread effects among the general population and more serious effects in members of sensitive groups.  Hazardous: Air quality in this range triggers health warnings of emergency conditions by media outlets. The entire population is more likely to be affected by serious health effects. The AQI levels of health concern correlate with pollutant-specific health and cautionary statements that suggest simple measures people can take to reduce their exposure to air pollution (Figure 9). For example, when the AQI value for particle pollution is between 101 and 150, or Code Orange, air quality is considered “unhealthy for sensitive groups.” In this range, people with heart or lung disease, older adults, children, people with diabetes, and people of lower SES are advised to reduce prolonged or heavy exertion. For most adults, activities that involve moderate physical exertion (i.e., minute ventilation rates ranging from 25 to 45 liters per minute) include climbing stairs, playing tennis or baseball, simple garden or construction work, and light jogging, cycling, or hiking. Activities that involve heavy physical exertion, with minute ventilation rates greater than 45 liters per minute, typically include playing basketball or soccer, chopping wood, heavy manual labor, and vigorous running, cycling, or hiking. Because fitness levels vary widely among individuals, what is moderate exertion for one person may be heavy exertion for another. No matter how fit a person is, cutting back on the level and/or duration of exertion when particle levels are unhealthy will reduce the inhaled dose and help protect against the harmful effects of particle pollution. 102 Item 9. Figure 9. The Air Quality Guide for Particle Pollution includes cautionary statements and actions people can take to reduce their risk from exposure to a ir pollution at different levels of health concern. 103 Item 9. From:Rachel James To:Sara Ion Subject:Resource for the Council in regards to hiring City Manager Date:Monday, May 8, 2023 6:32:15 PM Hello Sara, Please forward this to the council. The League of MN Cities produced this very helpful 14 page PDF, along with a list of sample documents. They also have information about how to best use the interim time and create the best job description. I think this information will help us all as we move forward with either an internal candidate or engage a search firm. https://www.lmc.org/resources/hiring-a-city-manager-or-administrator-toolkit/ "Learn the steps to take in hiring a city manager or administrator, including how to manage interim time, whether or not to use a search consultant, setting position qualifications and creating a position profile, attracting, interviewing and offering positions to candidates." Rachel James | City Council Member City of Columbia Heights | Mayor/Council 590 40th Avenue NE | Columbia Heights, MN 55421 Rjames@columbiaheightsmn.gov Direct: 763-706-3618| Main: 763-706-3600 Disclaimer: Information in this message or attachment may be government data and thereby subject to the Minnesota Government Data Practices Act; may be subject to attorney-client or work product privilege; may be Hiring a City Manager orAdministrator Toolkit - Leagueof Minnesota Cities Learn the steps to take in hiring a city manageror administrator including attracting, interviewingand offering positions to candidates www.lmc.org 104 Item 9. confidential, privileged, proprietary, or otherwise protected. The unauthorized review, copying, retransmission, or other use or disclosure of the information is strictly prohibited. If you are not the intended recipient of this message, please immediately notify the sender of the transmission error and then promptly delete this message from your computer system. 105 Item 9. 07092021 1 of 2 CITY MANAGER SUMMARY This is highly responsible administrative and supervisory work in the management of city governmental activities. Work involves planning, organizing, directing, and coordinating city finance, public works, fire, library, and a variety of other services as provided for in the City Charter and authorized by the City Council. Work includes executing the citywide budget, interpreting and executing ordinances and other directives of the City Council, and representing the City in local, metropolitan, and state activities of interest to the community. Work is performed with considerable latitude for independent action and decision making under the broad policy guidance of the City Council and is reviewed through meetings, reports, and observation of results obtained. ESSENTIAL JOB FUNCTIONS 1. Within broad policy guidelines established by the City Council, coordinates and administers a wide variety of requests and problems of municipal concern; researches and assists in developing and recommending solutions; interprets ordinances and directives to other departments, other agencies, and the general public. 2. Develops and implements administrative policies and guidelines in cooperation with the City Council; advises department heads and other employees as to administrative procedures and policies; evaluates performance and results in accordance with overall city objectives and makes appropriate recommendations. 3. Represents the City Council and Mayor in regard to local, metropolitan, and state activity of concern to the community. 4. Supervises and participates in collective bargaining matters; acts as the lead negotiator in negotiating with representatives of employee organizations. 5. Supervises and participates in the development of the annual budget; prepares supporting information and presents at council meetings. 6. Supervises and participates in administering appropriations; reviews and approves major purchases. 7. Advises the City Council as to the financial status and needs of city government; supervises and participates in projecting needs for funding and investment; meets with auditors and investment advisors. 8. Prepares agenda for council meetings; supervises and participates in the development of supporting information; presents City Council agenda and attends other meetings as required. 9. Oversees the administration of personnel matters; approves all new hires and promotions, excluding police department personnel. 10. Serves as the City's public information representative; confers with media; speaks to schools, civic groups, and other organizations. 11. Performs other work as required. 106 Item 9. 07092021 2 of 2 REQUIRED QUALIFICATIONS • A combination of training and experience substantially equivalent to a master's degree in public administration or related field. • A minimum of 5 years in a managerial role in local government. DESIRED QUALIFICATIONS • One or more year of experience as a city manager. KNOWLEDGES, ABILITIES, AND SKILLS • Considerable knowledge of the principles, practices, and techniques of public administration. • Considerable knowledge of standard principles and practices in the field of personnel administration, budgeting, and purchasing. • Considerable knowledge of the organization and functions of city government and ordinances, regulations, and policies controlling its operation. • Ability to assemble, organize, and present in oral or written form statistical, financial, and factual information derived from a variety of original and secondary sources. • Ability to exercise resourcefulness in solving new problems in accordance with established ordinances, regulations, and policies. • Ability to establish and maintain effective working relationships with employees, elected officials, peers, and the general public. 107 Item 9. Community Forum City of “EDINA” During "Community Comment," the Mayor will invite residents to share issues or concerns that are not scheduled for a future public hearing. Items that are on tonight's agenda may not be addressed during Community Comment. Individuals must limit their comments to three minutes. The Mayor may limit the number of speakers on the same issue in the interest of �me and topic. Individuals should not expect the Mayor or Council to respond to their comments tonight. The City Manager will respond to ques�ons raised during Community Comments at the next mee�ng. 108 Item 9.