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Home My WebLink About4.b. Consideraion of City Council Recommendation for Shamrock Square Office Building , r CITY OF ROSEMOUNT �" ' EXECIITIVE SUNlMARY FOR ACTION PORT AUTHORITY MEETING DATE: FEBRUARY 15, 1994 AGENDA ITEM; CITY COUNCIL DIRECTION FOR AGENDA SECTION: SHAMROCK SQUARE PROPOSED AMENDMENT OLD BUSINESS PREPARED BY: JOHN MILLER, AGENDA NO. ECONOMIC DEVELOPMENT COORDINATOR 4 .B. ATTACFiMENTS: "MORNING AFTER" OF 2-1-94 APP VED . COUNCIL MEETING, CORRES . FROM MR. JOHNSON •�t��%�� At the February 1, 1994, port authority meeting the members, at the request of commissioner Edwards, asked the city council to give them direction with regard to the request from Kerry Johnson for an amendment to the development proposal for Shamrock Square. That issue was placed on the February 1 city council meeting by Mayor McMenomy. As you will see the attached "Morning After" of that meeting states the council' s position of "aecept original proposal by Johnson only. " Mr. Johnson has been made aware of the council' s action an.d has submitted the attached correspondence. RECOI�iENDED ACTION: Motion to acknowledge Mr. Johnson' s letter of February 10 and to thank him for his interest in Rosemount. Motion to direet the port authority staff to present the port authority with other options, including White Funeral Home, for the site. PORT AIITHORITY ACTION: . { � Ol 11 Vi,.1"�N JOHNSON CHIROPRACTIG ��-�—� 14465 SOUTH ROBERT TRAIL �' � �� ROSEMOUNT,MN 55068 �� TELEPHONE:612 423 5250 Kerry L.Johnson, D.C. Certified Chiropractic Sports Physician Certified Occupational Health Consultant February 10, 1994 Mr. Ron Wasmund City of Rosemount 2875 West 145th Street Rosemount, MN, 55068 Dear Ron, It has been a pleasure to work with you, your predeeessor Steve Jilk, 7ohn Miller and the other city staff involved in this project. I commend your professionalism and that of your staff and thank you for your time that was spent on our proposal. Based upon the outcome of the last Port Authority meeting on February 1, it appears that the city council is not interested in assisting in the development of a downtown office building. I guess E.B. McMenomy was correct when he told us shortly after our R.F.P. was accepted that "our project would never happen". I would not be honest if I didn't inelude in this letter the fact that I am highly disappointed. As I see it, the council had only two questions to answer when eonsidering our proposal. First, is it in the best interest of the city of Rosemount to have a new downtown office building? And second, would financial support for ttus project come at a substantial risk to the city. In answering the first question I can certainly understand E.B. McMenomy's position when he stated at the meeting that "there is not a market for this kind of development in Rosemount". If you owned a 50 year old motel would you want a Holiday Inn to be developed next to it? But how can Rosemount ever possibly expand its downtown commercial and professional businesses without allowing far this kind of development? I am afraid the council is heading down a dangerous path in their support for the County Road 42 developments while missing an opportunity to pramote the growth of the downtown. When most of our retail business is out on 42 what is your downtown going to look like? A ghost town! FAMILY � SPORT�WORK ♦AUTO , , c � � � 2 The second question was posed by Dennis Wipperman at the Port Authority meeting. I was very happy that the city's own financial advisor was there to answer the question of risk to the city. What was his answer? "Financial support for this project would come at very little risk to the city because the city would recoup their investment in the project by the tax increment generated by this project. If the developers were to default on their mortgage then their lender would be liable for the property taxes. Either way the city would see a return on their relatively small investment." Even with this reassurance from the city's own financial advisor, two council members besides Mr. McMenomy maintained that they couldn't support the project because of their concern about risk to the city. I certainly can't understand the basis for their concern. I apologize if I have offended you or others with this letter and about my previously stated . concerns regarding the involvement of E.B. McMenomy in this matter which I strongly maintain is a conflict of interest, but as a business owner and resident in Rosemount I feel obligated to be honest in expressing my cancerns. The council foiled an opportunity to renew the faith of many downtown business people who thought that things had ehanged. However, it is still clear that the city of Rosemount, or at least a majority of its council, is not interested in promoting downtown commercial development. The opportunity to provide the space for 6-8 businesses, employment for another 20-30 residents, and additional property tax revenues in excess of $40,000.00 per year was lost by the decision on February l, 1994. Sincerely, Kerry Jo son, D.C. CC: Joan Anderson John Edwards . � Kevin Carroll , E.B. McMenomy Cathy Busho James Staats Dennis Wipperman John Miller Rosemount Chamber of Commerce *** MORNING AFTER *** CITY OF ROSEMOUNT l " ` A G E N D A REGULAR COUNCIL MEETING February 1, 1994 7:30 P.M. l. Call to Order/Pledge of Allegiance 2 . Additions or Corrections to Agenda - Council, Staff, Audience 3 . DEPAR�'MENT HEADS REPORTS/BUSINESS a. Introduction of Vernon LaBeau, Maintenance Level I Position Add b: MVTA - Transportation in the Community Workshop 2/23/94 4. CONSEP7T AGENDA - Approved with amendment to minutes a. Minutes of January 4, Regular Meeting b. Minutes of January 10, and January 25, 1994 Special Meetng c. Approval of Biils Listing - d. Approval of I:icenses and/or Permits 1994 e. Set Public H�:aring for Dave Lawson Request for Rezoning2/15/94 f. Set Special Council Meeting for February 12, 1994, 7:30 am g. Testing of Self-Contained Bre�.thing Apparatus Bottles h. Ratification of Fire Department Election/Fire Chief-Scott Aker i. Expenditure for Fire Department Bunker Gear j . Expenditure/Pump Test and Certification k. Expenditure for 1994 Police Training 1. E3cpenditure Approval From Donation Account-Police Dept. Camera � m. Patrol Vehicle Purchase- 2 new Crown Victoria Fords n. Deputy Registrar Hours - No longer open on Saturdays o. Fund Transfers p. Reimbursement -for Community Center Dasher Board & Bench Installation q. Resolution Including Appointed Officials with Personal Aceident Insurance and Workers Compensation Insurance r. Rosemount Senior Dining Organization Agreemen� s. Payment for Metropolitan Council Planning Assistance Loans t. 5. OLD BUSINESS a. Appeal of Variance Decision by James (Pete) Atwood - Approved 21' Side Yard, Compromised 4' b. Newsletter/Council Minutes Discussion - Agreed to Continue with This Week c. Senior Housing Development Agreement and Cooperative Agreement & (Add) Petition - Approved Agreements 6. NEW BUSINESS a. Change Date of Regular Council Meeting of March 1, 1994 to 3/2/94 b. Receive Petition for Regulation of Adult Entertainment-Received c. Receive Feas. Report/Set Public Hearing-Shannon Hills 6th, Proj . 251- Approved d. Receive Feasibility Report - 145th Street Improvements, Chili to Cameo Avenue, City Project 245 - Approved, Set Pub. Hrg for Ma.r.2,94 e. Parks and Recreation Ordinances - Approved f. Public Hearings for Parks Grant Projects-Set 2 Hrgs. for Mar.2,94 A� h: Discussion of Shamrock Square-Accept Original Proposai by Johnsons Only 7:':<;-MAYOR'S REPORT - 8 ' ADMINISTR.ATOR'S REPORT - Community Center Construction Budget Update (Add) - Approved Funding for Construction Overage 9. ':� ANNOUNCEMENTS l0. ADJOURNMENT - 11:25 p.m.