HomeMy WebLinkAboutItem 06.cMinutes
Lakeville City Council Work Session
April 23, 2012
In attendance: Mayor Mark Bellows
Council Member Laurie Rieb
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Code be revised to eliminate the required licensing of mechanical amusement devices
effective January 1, 2013.
Council Member LaBeau stated that eliminating this license requirement would be user
friendly to the businesses.
Council directed staff to bring a revision to the City Code forward to eliminate the
license requirement for mechanical amusement devices.
Council Member Kerrin Swecker
City Council Work Session Minutes
April 23, 2012 Page -2-
ITEM #2 — Update on 205 StreeVKenrick Avenue Roundabout
Public Works Director Chris Petree provided background information on the Kenrick
Ave. /205 Street roundabout project slated for construction in 2012. Zach Johnson
summarized the project status. Plans are approximately 90 -95% complete and are
currently being reviewed by City staff and MnDOT's State Aid Division (SAD). Review
and revisions of construction plans and contract documents will be complete in about
four weeks. The revised estimated construction cost for this project is $500,000, plus
$130,000 for engineering and other costs. Increased estimates,,,gre tho,,Tesult of
geometric design changes and improvements to traffic safety. S
moving this project to 2013 instead of this year. Advertising the
4
before construction season starts, instead of later to siring, co(
early in 2013
t in more
competitive bids.
The Kenrick Avenue/ 185 St. to 205 St. mill and
project in the 2013 -2017 CIP. If that project was
Ave. roundabout project and completed in 2013
due to the expanded project. This would require
overlay project on the northern segments ofKeni
scheduled for 2013. Petree added that the'coiit
project is
as a 2014
of the two segments of roadway are ver si
the construction of the roundabout project
Reconstruction Bonds.
with the 205 St. /Kenrick
rable bids could be expected
6orities =with the mill and
venueWhA'is currently
and need the mill and overlay
Mart vl provide $75,000 toward
td& will be paid with Street
Council Member Swecker asked if there would baTiy opportunity for reducing the CIP
to provide funds for this pfgoJecv, Finance Director Dennis Feller stated that the CIP will
be presentedAo until or recommendations at an upcoming work session. Swecker
believes this project Na import�tprion y but is concerned about traffic challenges
and de during constaction. Jons stated that the project will be constructed
under tr X is expec to be cczYt pfete in six to eight weeks.
LaBeau asked' bout the rusk f waiting until 2013 to bid the project due to the rising
cost of petroleumffecting ie price of bituminous materials as well as increased
construction activity t7e t 111111 improving economy. Johnson stated that bidding early
in the year has histor 1 een advantageous. Contractors take fluctuations in costs
into consideration an4re obligated to honor their bids.
It was the consensus of the Council to proceed with adding the 2014 Kenrick Avenue
mill and overlay project to the roundabout project for bidding and construction in 2013,
and delaying the 2013 Kenrick Avenue mill and overlay project until 2014.
City Council Work Session Minutes
April 23, 2012
ITEM #3 — Fee Structure for Senior Center
Page -3-
Parks and Recreation Director Steve Michaud presented proposed membership dues
and program fee increases for the Lakeville Senior Center. The increased fees will assist
with additional revenues needed for the day to day operation of Heritage Center.
Additional annual revenue of $18- 22,000 is estimated. In addition, a participation
surcharge is being proposed to offset expenses of daily programs. The per - program
surcharge will be $.50 for members and $2.00 for non - members. To eliminate daily
collection of fees, punch cards will be available in $10 or $20 increments. A $5.00
registration fee will be charged for programs which are held off-site, such as golf
leagues and biking clubs.
Mayor Bellows asked if staff or volunteers would
stated it would be done by volunteers.
Council Member Little asked how long a punch c4als,ezpected to last for an active
senior center participant. Michaud said possibly foursx weeks, depending on
activity.
Council Member LaBeau asked how much revenue the punch ,pards are expected to
generate. Michaud stated that it has notyet been, determined,` LaBeau stated that there
will be additional cost to the City if the c6rrent building is noesold. She asked if the
Prime Time newsletter could be sent eleLtironically in a Jst-sery in order to save some
mailing costs, or made available to.be pic"kec! u".ip at the Sdhior center. Michaud said that
is on a list of cost saving possibiiet°to be exf3lored however there is a large percentage
of seniors who do not use computers.
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Council Mere nrQcker stat that seniors have given a lot to the community and she
would prefer if praggfar, as at the`c nter co Id be included with their membership dues.
She fealsthe punch might noteell received by the seniors.
Michaud stat, that requests are a9 ea dy coming in for use of the Heritage Center
banquet room use polio "s and fee structures are being developed. LaBeau asked if
Senior Center me ers will "i' charged a deposit. Michaud stated that a refundable
damage deposit would, continue to be charged to everyone who reserves the new
space.v ,
Mayor Bellows asked how the proposed membership dues compare to other cities in
the south metro. According to a survey conducted in the last several months, the
proposed fees will be higher than many of the other area senior centers. Some centers
charge extra for programs and some do not; however most do not have as many
program opportunities for members. The variety and quality of programming attracts
many non - residents. Mayor Bellows would like to see a breakdown of ages of
membership which also shows how many are still working. He suggested a tiered fee
schedule. Michaud stated that the younger working seniors are looking for evening
classes and activities.
City Council Work Session Minutes
April 23, 2012
Page -4-
Bob Erickson, a member of the Lakeville Area Arts Center Board and Friends of the Arts,
asked that the Council adopt a fee structure for building use which does not create
competition with the Arts Center. He also believes that use policies for Heritage Center
should be consistent with the Arts Center. Michaud stated that a subcommittee has
been formed to begin drafting fees and use policies.
Mielke asked if there are any low- income guidelines or financial assistance for seniors
who are unable to pay for a membership. Michaud stated that the recreation division's
scholarship program, funded by civic organizations, has not been used -for seniors.
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Mayor Bellows agrees that it's difficult to begin charging for Senibrenter programs
which were once free, and the punch cards might be unpopulaf. Co cil would like to
see the punch cards eliminated if program participation is negatively aed
ITEM 04 — Park Dedication Fees
City Administrator Mielke provided a background of recent
regarding park dedication fees. At their Febr,,u,
�ry work ses:
establishing a formula based on land value and "emand in
dedication fees. The next step is to choose a met Y 0 for,,es
report by The Planning Company
and consider.
A request to reevaluate
Developers' Forum. In,
law and city ordinance
fees
assigns by Council
Council discussed
to determine park
thing land values. A
for Council to discuss
brought up at the 201
developer submitted a plat request and utilized state
e the current fees. The developer's required park
"in escrow while the fee structure is examined. If the
excess portion of his payment will be
TPC's report proposes a method of establishing park dedication requirements using
residential units IN ,acre (share X density = demand(. Average number of persons per
household (park use�bad on the Comprehensive Land Use Plan, multiplied by the
amount of land needefer capita, equals per capita park demand. Putting this into a
formula combined witi land value establishes a basis for park dedication fees which the
City can require in lieu of land dedication. The report also suggests that varying types of
property have varying types of demand. For example, for low density residential
development, land dedication of 12% of the plat's acreage is being proposed instead of
the previous 10% to satisfy park demands of a growing population.
The decision of what will be the proportionate or relative value of the fee to the value of
the land needs to be determined by Council. Staff provided several methods for
establishing property value to be used in the calculation of park dedication fees.
City Council Work Session Minutes
April 23, 2012 Page-5-
1. Individual Appraisal of Parcels. Funds would be set aside by the developer for an
appraisal. The Council could either accept the appraisal or require a second
appraisal. The result of this method could be an inequitable, confusing system, with
varying fees from plat to plat. Staff recommends a uniform property value be
established to provide consistency rather than using the individual appraisal method.
2. Dakota County Assessor Data. State law requires that land values assigned to
individual parcels be based on market value trends and be reasonably accurate. A
review by staff found that from parcel to parcel there was inconsistency and wide
variations in Dakota County's estimated land values.
3. Appraiser Consultation. This method uses a consultant to ass ss he values of
undeveloped land within the MUSA by land use type i.e., low dells, high &
commerciaVindustrial, etc. This is an overall a rage and not based ' ,speci i
parcels. The City's cost for this method could up to 20,000. The cotj*sdkion
could be done one time, or more often if Councex`it was needed.
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4. Market Value Percentage Adjustment. Since the peakP land values, the Dakota
County Assessor has consistently reduced all values If that rate of
adjustment is applied current land values Would also be for rer 'd 38 %. Park
dedication fees in lieu of land would to beIcalculated base! on the new formula
of a 12% land requirement, rather thin the pr rous 0% "This method would
provide consistency and could be ad�gste - annuail tp reflect market trends.
The Parks, Recreation and Natu[fsources ommitee reviewed this information at
their April 18`" meeting but � not asked Yep a a recommendation as to how to
establish land value. The EDr- will also be reviewing the information on April 24 If
Council wished change the park dedication fee, an ordinance amendment would be
required
For cohsi�§tency and equal , staff recommends that Council allow new plats that have
been submittsince the tine the ketter of protest from the Crescent Ridge 2 nd Addition
developer waseivedin August 2011 to be given the same park dedication rate.
Little asked if the G tgmey was supportive of all of the methods outlined for
determining land value ` °Mielke stated that the attorney is most comfortable with
methods #3 and #4 wKich establish rough proportionality. Little believes it is important
to establish a time period for reviewing the fees, such as annually or every two years.
LaBeau asked why the sale price or the land couldn't be used as a basis because that's
the actual market value. She is aware of parcels which have dropped in value by 50-
70%, rather than the 38% which is used in the formula, so this method could still be
protested. Dakota County will reduce as little as possible because they still need to have
the revenues coming in but the appraisal might not be consistent with an actual sale.
City Council Work Session Minutes
April 23, 2012
Page -6-
Mielke stated that sales figures provided by the landowner or developer might not be
accurate, since other factors could be involved in the transaction. An appraisal by an
unbiased third party is the most reliable and if Council feels the Dakota County figures
are not accurate then the consultation appraisals might be the next best. He would
prefer to establish a consistent average rather than a specific parcel value so everyone is
working with the same numbers.
LaBeau asked why a per -lot fee is established by the land value if parks are built every
mile. Mielke stated that that is what ultimately happens, but establishing land values will
result in a uniform fee in lieu of land. He clarified that land values do not establish tax
revenues. The assessor assigns a value to each property, which r1n k sup the tax base.
When all governments have set their levies the total amount is poftionately shared
1
across the tax base. More or less revenue is not collec" based t1'a,;�ronert value.
The assessed value establishes what portion of thetaxes are paid by a spific type of
property. LaBeau said she has seen property sell f far leis than the asset -lue and
if a property owner wants an adjustment they need,' c- hallenge the value through the
county. Mielke stated that would explain some of the 4jiations in the values from one
parcel to the next. A per -lot cash dedication must 4iave ification based on what
needs are generated by the land density.
Michaud added that the formulas are based o, peds generat l by number of people
per household and the density of development;: keville is chi rently behind the
national standard for useable park prop&ty. It LakesxUe strong growth years residents
approved two referendums to supplement p rchase and development of park land,
mostly for community parks, atqetic'complexes and,t-rail corridors.
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Council Member Rieb refercl tp the park dedication fee survey conducted in October
2011 and beJis the proposed fees would keep Lakeville in a competitive position.
Mielke stated that thse comparison only and are not relevant for setting
fees. �.
Swecker aske- ,about the fotnula fir categories of land other than single family or multi-
family residfi en r,Mielke stated that the percentages have been adjusted accordingly
for residential butt ere is ngchange proposed for commerciaVindustrial at this time.
Bob Erickson stated th6 the Chamber public policy committee discussed this issue last
week and he believes-he proposal makes sense. In order for a property owner to
challenge their value the sale cannot be a stress sale or foreclosure situation, as it is not
a measure of the market. He asked if the 38% reduction represents taxes payable in
2013. Dennis Feller stated it is for 2012. Erickson stated there will be another decline in
values for taxes payable in 2013 and for this reason it should be revisited annually. He
believes commercial /industrial fees should also be reevaluated and a consistent formula
used.
Mayor Bellows stated that he appreciates that the issue is being addressed and believes
option #4 provides clear direction and allows adjustment up or down with the
City Council Work Session Minutes
April 23, 2012
Page -7-
economy. If a challenge occurs, the burden is on the developer and the assessor and
not on the city. He believes staff should proceed with method #4.
LaBeau stated that it would be financially beneficial for developers if park dedication
fees could be collected with building permits. Mielke stated that it could get
cumbersome to track for single family but might be an option for high density or
commercial/industria). LaBeau stated it would be more user friendly for business if all
the fees didn't have to be paid up front. Mielke stated that as a result of the developers'
forum the requirements for when fees and securities are paid was adjusted. Payment of
securities can now be delayed until after approvals and before filing the plat. Very good
feedback has been received as a result of that change.
Staff will provide Council with any recom men datiorrorrb mments by e EDC following
their April 24 discussion. Mielke stated that if the�"e is a consensus on emethbd of
determining land values and Council is ready to a'% additional discussion re { ing
establishing land values for commerciaVindustrial pf �
stated that she would support a review of C/I fees, eve
they should stay the same. Michaud stated that iry O�
recommended by a special task force made up of EDC a
LaBeau stated that that was at the height ofthemarket.
result of needing to determine a
LaBeau stated that cities also need to fio
Association predicts that there willbe man
park fees. Mielke agreed that tf s to ill be
positively on Lakeville to be one of the first
ITEM #5
should be held. Swecker
igh at this time she feels
'ie current fees for C/I were
irks board members.
11c .odinted to the end
land
to rr rnOin the parks. The Builders
cities that will be challenged on their
tha,t�vill follow suit, but it reflects
re.5bonsive to the issue.
Process
Steve`Miel e stated that th6intent ofihe visioning process is to help the community and
Council est6"s,.0 an informed future concept of the community. It is important for
Council to be car about wCt they wish to accomplish with the visioning process.
Growth Managerrit Task Force studies were done in 1992 and 1998 and each of
them had a clearly st d mission. Council needs to determine what outcomes they
hope to achieve i.e. s%%rt and long -term recommendations on how to manage growth,
and what future opportunities and threats exist. Creating a vision of where they would
want the community to be can be narrow or open ended. Knowing what the results
should be will give the consultant direction on designing a process to look at attaining
those goals. Council approved $15,000 in the 2012 budget for the visioning process
and $15,000 for a community survey to support the process.
LaBeau asked if this could be built on from the work already done for the "Positioned to
Thrive' base. Mielke stated that part of it pertains to business but other areas would
include education, recreation, etc. Bellows believes it is important to determine if regrets
will come from decisions that are being made now. Rieb stated that the study needs to
City Council Work Session Minutes
April 23, 2012
Page -8-
be very broad -based to determine what lifestyle or amenities residents want for the
community. LaBeau believes people need to be informed of the costs associated with
what they want. Bellows stated that the demographic base needs to be considered;
various age groups look at things differently.
Mielke discussed the strategic process of identifying issues and establishing a common
vision for the community then determining how to work together with other entities
and community groups to get the vision accomplished. The marketing aspect of the
EDC's Strategic Plan was intended to establish a realistic vision for community
development. -1
Little believes the visioning process needs to be more dearly defih if there are to be
measurable and useful results. He would like to make ,ldistingcv shAe from the
community surveys and not be in competition with "Positioned to Thrive He also
believes it is important to find people for the task 6rce who have not preV'+ - been
involved in similar roles.
LaBeau asked who determines members of the task force „She believes there are many
people in the community who wish to be engaged but ha�le�Ot been chosen for
committee positions. Could the visioning process be an expariof "Position to
Thrive?" When this process was complete-3 in 9*?,198 the facilit did a good job of
bringing a diverse task force together ta,`reach corrtongroid but the demographics
of the community have changed a lot sf e tf,
Mielke suggested that several facTi0tors coin be provided with a broad description of
the goals and invited to submits proposal on W ey would accomplish those goals.
It is important for the process take into account all the criteria mentioned by the
Council sucY� , gggraphi(f Est consciousness, and getting new people involved.
Counci m,embers stateWthat they vt bind like an opportunity to look at the reports from
previous prt ' is and sed�at has ; den accomplished as a result of those initiatives.
Mielke mdictl that the fg7tireporare available for Council reading.
ITEM #6 – Other
The next Council WorK'Session is scheduled for May 14`" due to the fourth Monday, May
28, being Memorial Day, but not all Council members are available on the 14` ". Moving
the work session to May 21 at 5:00 p.m. will also allow a Council member to attend the
senior awards ceremony at Lakeville North High School to present certificates to the
foreign exchange students on behalf of the City.
Due to the change in the work session dates, Council members will attend senior
awards nights at Lakeville North and Lakeville South High Schools:
• Council Members Swecker and Rieb: May 14`", Lakeville North High School
• Council Members Little and LaBeau: May 24` Lakeville South High School
City Council Work Session Minutes
April 23, 2012
Page -9-
A vacancy still exists on the Lakeville Area Arts Center Board. Staff is suggesting that
previous applicants be contacted to see if they are still interested in serving on the
board. If so, they can re- apply. Council would like to review and consider previous
applications.
A circus event that was scheduled at the Ames Arena drew criticism from PETA. The
sponsor of the circus had changed their name which prevented the arenas manager
from checking on their actual background and realizing there had been prior
complaints. After discussing the matter the Arenas Board instituted a policy change that
this type of event will not be scheduled in the future. lx ""l��
LaBeau requested that in the future when draft doc�,irri its thafhavrO en presented to
the Council for review are modified in any way, the redrafted documenttaould be
redlined when it is given to Council to clearly sho,any changes that havei made.
ITEM #7 — Adjourn
Tha mPAfienn nHini wnA,i nt R• 10 n m