HomeMy WebLinkAbout07-01-2024 City Council Work Session Minutes
CITY COUNCIL WORK SESSION
Mayor
Amáda Márquez Simula
Councilmembers
Connie Buesgens
Kt Jacobs
Rachel James
Justice Spriggs
City Manager
Aaron Chirpich
City Hall—Shared Vision Room, 3989 Central Ave NE
Monday, July 01, 2024
6:00 PM
MINUTES
CALL TO ORDER/ROLL CALL
The meeting was called to order by Mayor Márquez Simula at 6:20pm.
Present: Mayor Márquez Simula; Councilmember Buesgens; Councilmember Jacobs; Councilmember
James, Councilmember Spriggs
Also Present: Andrew Bouche, City Planner; Aaron Chirpich, City Manager; Mitch Forney, Community
Development Coordinator; Sara Ion, City Clerk; Joe Kloiber, Finance Director.
WORK SESSION ITEMS
1. PERA Defined Contribution Plan Changes.
City Manager Aaron Chirpich led the conversation related to upcoming PERA plan changes.
He explained that this is more of a housekeeping item, as there are changes related to
opting in or opting out of the program for elected and appointed officials and the deadline
is July 31, 2024. The details are in the work session packet, and follow-up can be done with
HR Director Kelli Wick. Finance Director Joe Kloiber further clarified that the change is that
you are not able to opt in at any time, it is just that it is at the time of election to office.
2. Liquor Store Anti-Litter Campaign.
Finance Director Joe Kloiber reviewed the concerns with the empty small plastic liquor
bottles that accumulate near the liquor stores. Several options to address the concerns
were presented to the Council, and there was a discussion related to litter in general as
well as litter generated by consumed liquor store products. Director Kloiber stated that the
goal is to not cause other inadvertent problems in rewarding people for returning empty
bottles. He discussed the possibility that a vendor would also contribute funds to this clean
up campaign. This type of partnership could be an initiative that sets an example for other
communities.
Councilmember James inquired about rewarding general participation that would grant an
entry into an award program. She also asked that the City looks into placing garbage cans
one block away from the liquor store to capture some of this litter.
Director Kloiber stated that maybe the employee focus for clean up could be more regular
in the blocks nearest the store. He would also like to partner with the sustainability
commission on potential resolutions.
Councilmember Buesgens recommended having a cash back program for the return of
these small liquor bottle. The customer would receive information related to the program
City of Columbia Heights MINUTES July 01, 2024
City Council Work Session Page 2
at the time of purchase. She would like to see a overall Keep Columbia Heights Clean
initiative.
Mayor Márquez Simula thanked Finance Director Kloiber for the work that he has done to
help resolve these issues.
Councilmember Spriggs was concerned about the health and safety standpoint that we
don’t want to incentivize drinking.
Councilmember Jacobs agreed and stated that there are a lot of side issues to be resolved.
Director Kloiber will bring additional ideas when they are available to the council at an
upcoming work session meeting.
3. Rainbow Site Redevelopment Updates.
City Manager Aaron Chirpich led the conversation on the property at 4300 Central Avenue.
He gave a refresher on the current status of the property and that there are bonding funds
that have been used for the purchase of the property and assessment of environmental
concerns. Chirpich advised the Council that there is a timeline that needs to be considered
from a planning perspective, and that there has been significant interest from the
community in a grocery partner for the space.
City Manager Chirpich informed the council that there is a grocery partner that is working
with Alatus. This grocery partner requires liquor store space and sells some of their own
branded products. Staff have been working on some solutions and wanted to come to
council regarding some of the needs to continue with the partnership. This liquor store
would be next to the grocery partner, and the City must demonstrate that the money
spent and earned is of direct benefit to the community. If there is an aggregate loss in 2
out of 3 years, then there is a referendum that must be held.
City Manager Chirpich further clarified that staff has been working on a plan for Top Valu 4,
to be staffed by City employees and to be leased from the developer. An example of where
this is currently working is in the City of Savage where there is a municipal liquor store next
to a larger grocery provider. Top Valu 4 would be a small store with focused products and
would need to be consistent in the grocer partner branding. Additionally, the City needs to
be aware of the potential outcome of diverting customers from our other three City liquor
stores. Municipal liquor store employees at Liquor Store 4 would be trained in line with the
grocery partner’s standards.
City Manager Chirpich stated that a lease agreement at this location would require a lease
that requires rent to increase with the performance of the store. The City cannot pay more
than the market rate for the rent. Staff is on the precipice of taking the next steps with the
developer and we want to make sure that we are on the right path with council support.
Councilmember Jacobs asked if we would be obligated to advertise their products more
City of Columbia Heights MINUTES July 01, 2024
City Council Work Session Page 3
than ours. She was concerned about the square footage rent to performance. She was also
concerned about the warehouse space needed.
Finance Director Kloiber explained that there are many options in product offering and
product selection. The grocery store brand would be readily available, in general we
advertise our stores more than we advertise products. He also further clarified that this
might impact the plans for store improvement, products, and further remodeling with Top
Valu Store 3 and that each of the City owned liquor stores have proposed storage space in
line with state statute and a new store would as well.
City Manager Chirpich clarified that there is an escalator based not on profit or sales
volume. The lease of the Savage store that would be an example, there can not be profit
sharing that comingles with the developer. He clarified that it is common that smaller
grocery stores, that the grocer prefers to be in a mixed-use housing project. Working to
resolve this type of lease agreement will also help other municipalities utilize the same
model moving forward.
Councilmember James is thankful for all the work that has been done to move forward
with the grocery partner. She is very happy about moving forward.
Councilmember Buesgens feels that the risk is worth it, and she is not concerned about the
rent, and that it will be minimal in comparison to the tax revenue. She would like to get this
grocer involved to move the project forward.
Mayor Márquez Simula clarified that the consensus was to move forward with this item,
and to also review potential rebranding opportunities for Top Valu.
4. Cannabis Business Regulations Discussion.
Community Development Coordinator Mitch Forney led the presentation on updates from
the most recent legislative session for the Council. He informed the Council that there will
be exemptions for municipal bodies to be excluded from the amount and type of licenses
issued by the state. The other change is in equity applicants, and this system has been
moved to a lottery draw and would still need to meet other requirements as required by
law.
Coordinator Forney informed the Council that staff is looking at updating City Code related
to cannabis retailers (dispensary), micro business and mezzo business. Staff will need
Council’s input on the following questions:
How Many licensed Cannabis Retailers should be allowed within the city?
Coordinator Forney clarified the number per residents allowed and stated that staff would
prefer to have two licenses issued in the City, with the option of the City having one as
well. He further clarified that there is concern with oversaturation of the market. Limiting
the number of licenses will prevent recoil of the market if there is over saturation.
Overall consensus of council was to have two licenses, with the addition of one for the City.
City of Columbia Heights MINUTES July 01, 2024
City Council Work Session Page 4
- What Type of Buffer should the City have from schools?
- What Type of Buffer should the City have from daycares?
- What Type of Buffer should the City have from residential treatment facilities?
- What Type of Buffer should the City have from an attraction within public park that is
regularly used by minors?
- What Type of Buffer should the City have from other cannabis businesses?
Councilmember Jacobs stated that she would like to use 250 feet to schools and city
areas/parks.
Councilmember Buesgens clarified that it makes no sense to have a buffer, but to focus on
enforcement. She further clarified that we do not have a buffer for bars, restaurants, and
tobacco shops because of the limited size of the City. She would like there to be no buffer.
Councilmember James would like to see a buffer for Microbusiness. She does not know
what that would look like.
Mayor Márquez Simula stated that she does not feel we need a buffer, but would rather
like to focus on restricting the signage and making sure that signage does not appeal to
children.
Councilmember Spriggs has concerns with smoking of the product inside or around others.
He further commented that the use of cannabis in parks is not allowed.
City Manager Chirpich clarified that there are regulations involved with the Clean Indoor
Air Quality Act.
- What should the hours of operation be?
Coordinator Forney and Director Kloiber also clarified that liquor stores are currently
regulated, and this is what the State of MN recommends for Cannibis.
- Should the City limit the location or timing of Temporary Cannabis Events?
Councilmember Buesgens would like to know the process at the State Level. She is
concerned about second-hand smoking issues, and that we already have a ban on smoking
in parks. Councilmember Buesgens would be treated the same way as an event that is
looking to serve beer or liquor.
The consensus of the Council would be to treat consumption at an event the same as
liquor.
- Should the City regulate where low potency edibles are sold/storage standards?
Coordinator Forney clarified that there are regulations established by the State. Currently
any retailer can sell low potency cannabinoids and dictates the storage and display.
City of Columbia Heights MINUTES July 01, 2024
City Council Work Session Page 5
Consensus of the Council was to limit tobacco stores and stores designed to sell product;
these businesses should be 21+ establishments. There was additional discussion about
these items being sold in gas stations and that this would impact currently sold low
potency items in a secured display.
Should the City alter its public places ordinance?
The direction from the Council is that there should continue to be nosmoking in parks, and
to have staff will follow up with designating the library as a restricted area for smoking as
well.
Coordinator Forney stated that staff is looking forward to working on this project for
Council.
5. Discussion on Zoning Updates.
City Manager Chirpich informed the council that this a matter of awareness for the Council
as Staff is work on fixing some continuity issues within the code. The planning department
is now in a place to clean up uses and definitions, and processes. Staff will be streamlining
these items for the council to review and there is a crossover with the next item related to
ADU’s.
The council consensus was that there is a need to update code and updates should be
discussed with the Planning Commission prior to council approval.
6. Discussion on Accessory Dwelling Units (ADU).
City Manager Chirpich relayed that staff have received feedback identifying barriers and
restrictions that currently exist related to ADU’s. City Planner Bouche compiled a lot of
research related to this topic for the council to review. Overall, there has not been an
uptick in ADU’s being built with Cities passing ordinances to support them. There is a
economic and space restrictions that limit the building of new free standing ADU’s. Smaller
lot sizes would be more appropriate for ADU options that are not new ADU’s.
The model ordinance allows for this on any lot size or zoning, it would focus on the use and
not the zoning if it complies with the rest of the standards.
Staff would like to update impervious surface standards and stay within the setback
regulations currently set. Additionally, there would need to be updates to the parking
requirements for the property, Staff are trying to uphold the previously set standards for
off-street parking.
Councilmember Jacobs is concerned that most of the homes in Columbia Heights are small
and that this is appalling to think that there would be equal size homes that would exist on
the block and would increase the rental cap capacity.
City of Columbia Heights MINUTES July 01, 2024
City Council Work Session Page 6
Councilmember James feels that keeping setbacks they way they are and 1000 and no
more than 50% of the home size.
Mayor Márquez Simula stated that she was concerned about a detached ADU needing to
have contiguous access to the driveway for emergency access.
Councilmember Spriggs feels that this might afford some profitability if the unit is sold
down the line, and inquired how this impacts the rental density cap. He would like to see
more restrictions related to licensing and not a rental density cap.
City Manager Chirpich clarified that this item is not going to impact the rental density cap
as the existing home needs to be owner occupied and that if sold the same rules would
apply. He stated that this initiative will in no way impact the housing crisis. It will impact
how someone might be able to increase the access to intergenerational housing
opportunities. City Manager Chirpich stated that this is not a magic bullet, but it is a piece
of the puzzle. There will be a staff review to move forward with the ADU regulation
process.
Consensus of the Council was to move forward with the updates proposed by City Planner
Bouche. Councilmember Jacobs additionally stated that she does not feel that any of the
proposals is adequate.
7. Youth Commission Update to City Code.
City Manager Chirpich informed Council that staff had reviewed council input related to
the Youth Commission at the May Work Session and has created a draft ordinance
updating the language to reflect appointment of Youth Commission members to act as a
liaison to specific boards and commission.
Mayor Márquez Simula stated that she felt this update is a good flex, and it would be great
to try to see this in action.
Councilmember Buesgens would like to discuss the ability of the Youth Commission to
being a voting member.
Mayor Márquez Simula stated that she would like to move forward with the ordinance as
written and continue to adapt as needed.
Council consensus was to move forward with the ordinance as written at the next meeting,
and to have staff keep up to date on emerging trends with other cities and the school
board.
8. Legal Newspaper Information.
City Manager Chirpich addressed the concern of the council with the City’s legal
newspaper, Life, moving to a paid subscription. Information was provided as to why this
was still the best option as far as costs, and time of publication. Additionally, the City will
City of Columbia Heights MINUTES July 01, 2024
City Council Work Session Page 7
have a subscription for Life that will be available at City Hall and legal publications will not
be behind a paywall on the Life website or the MN Newspaper Association site.
Councilmember James would like to inquire about a subscription for the Recreation
program.
9. Council Corner.
Mayor Márquez Simula surveyed the council to see if they had any items to discuss for
Council Corner.
Mayor Márquez Simula updated the council about information that she found out at the
LMC Conference about adding solar power car ports to the Liquor Store 3 property with EV
car charging ports.
Additionally, Mayor Márquez Simula would like to discuss the 6 hour parking limit in the
City. She would like to see about updating the ordinance, and to focus on the actual
reasons for needing to move a car.
Mayor Márquez Simula would also like to have an update on the boulevard trees on
Central Avenue, the sidewalk on the corner of Gould inspected and to have email signature
be consistent for branding purposes.
Councilmember Spriggs would like to see additional links added for social media and code
red for everyone’s signature line.
City Manager Chirpich stated that will work on getting everyone on the same page from a
branding perspective for emails signatures. He also informed the council that MNDOT is
speaking with City Engineer Kahn related to the impacts to the Central Avenue corridor.
Additionally, City Manager Chirpich informed council that Wings Financial is moving into
the lower vacant space at Ratio.
10. Old Business.
There was no old business to discuss.
ADJOURNMENT
Meeting adjourned at 9:20 pm
Respectfully Submitted,
______________________________________
Sara Ion, City Clerk/Council Secretary