Receive Update on Riverstone Preliminary Plat (Master Plan) and Discuss Puma Street Reconstruction Options

The purpose of this case is to receive an update on the overall development plan for the Riverstone neighborhood developed by Capstone Homes.

• Changes to housing type in NE quadrant (reduction in density and total number of units/removal of planned attached units)
• Purpose and Need for Puma Street Reconstruction

Primary Policy Question - Focus of This Discussion

• Does the City feel reconstruction of Puma Street is necessary?
  • If yes to above, is a City Contribution to the cost of this collector road serving multiple residential neighborhoods and business districts appropriate?

This is intended to be a very high-level policy discussion. The purpose of this case is not intended to be an exhaustive nor detailed development review. The more detailed analysis will come with future steps. The Planning Commission is asked to weigh in on the need for improvements based on past traffic studies and public input. The City Council is asked to weigh in on the same plus the concept of a City contribution to the costs of this improvement.

Attached to this case is a copy of the case presented to the Planning Commission at their February 6 Planning Commission Meeting. This will serve as the background for the update to the master plan. This is intended as an update only at this time. The City has already approved the Preliminary Plat for Riverstone, giving the Developer certain entitlements to proceed with this project. The proposed revisions are a reduction in development intensity.

A majority of this case is intended to be a high-level policy discussion on the purpose and need to reconstruction Puma Street and highlight potential funding sources. Staff believes that upgrades to Puma Street are warranted and necessary based on past traffic studies and public input. In recent years, at least two major initiatives (Bunker Lake Industrial Park Infrastructure Study and Riverstone Environmental Assessment Worksheet [EAW]) resulted in traffic studies confirming the need to improve capacity on Puma Street and intersection improvements along Alpine Drive. These studies are not attached to this case but available upon request.

Additionally, the primary concern raised by the Public with multiple development proposals along Alpine Drive in this area has been traffic safety and capacity concerns.

As noted above, the intent of this case is to seek broad policy direction on the need for improvements to Puma Street and subsequently the desire of the City to contribute to the costs of this improvement. The following information is provided as background only. It is not the intent of this case to dive into this level of detail. Staff will be forwarding a case to the February 18 Public Works Committee to begin a more detailed review of this topic.

Potential funding sources for the potential City contribution include, but are not necessarily limited to the following:

1. City's Public Improvement Revolving (PIR) Fund (generated from local property tax revenue)
2. Anoka County Housing and Redevelopment Authority (ACHRA)
3. State of Minnesota Municipal State Aid (MSA) Account

It is noted that on previous phases of the Bunker Lake Boulevard/Puma Street project, the City contributed 60% of the costs of these improvements. Originally, this policy was established to forward a development proposal for a private school that never materialized. Subsequently, the same policy of contributing 60% of the cost was utilized with the most recent extension to advance the Bunker Lake Industrial Park. These improvements helped leverage private investment resulting in nearly 500,000 square feet of industrial space. However, in this case, the abutting properties are all residential. With that in mind, Staff does not believe a 60% contribution is appropriate in this instance. Due to it's collector status, Staff does believe some contribution to the project is appropriate (currently recommended at 33% as a starting point for discussion).

20 minutes

Case Preparation

All costs associated with processing the Application are the responsibility of the Applicant/Developer.

Internal/Private Development Costs

All development costs internal to the site are the responsibility of the Developer.

Puma Street

As a basis for beginning discussions, the City Council is asked to consider a contribution to this project in recognition as a Collector Street serving multiple neighborhoods and business districts. The proposed contribution would split the roadway costs an even three ways between the City (collector street), Capstone (Developer on west side of Puma Street) and Paxmar (Developer on east side of Puma Street). Total roadway costs are estimated to be $720,000, resulting in a cost share of approximately $253,333 per party. Water and Sanitary Sewer Pipes would be paid by the City's Trunk Utility Accounts. This roadway is classified as a Municipal State Aid (MSA) Street.

Note: it is anticipated that the Developers' contributions would be assessed back to the benefiting property following the Minnesota Statutes Chapter 429 Assessment Process.

Deputy City Administrator (Puma Street Cost Share)
Senior Planner (Riverstone Preliminary Plat)

Staff desires high-level policy direction pertaining to Puma Street need and funding.