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HomeMy WebLinkAboutItem 06.cCITY OF LAKEVILLE CITY COUNCIL WORK SESSION MINUTES March 25, 2013 Mayor Little called the meeting to order at 6:08 p.m. in the Marion Conference Room at City Hall. Members Present: Council Members Swecker, LaBeau, Anderson and Davis; and Mayor Little Staff Present: Steve Mielke, City Administ: Petree, Public Works Director; Zach Johnsc Recreation Director; Judi Hawkins, Deputy 2. Citizen Comments There were no citizen comments. 3. Collector Road Financing Alternat Public Works Director Chris Petree Study for the benefit of those who were not Weiss and Monica Heil were present revre� on review Ms. Heil Director; Chris Rott, Parks and ctor Road Financing discussions. Bret n January 2012 the City held a resvonse to comments from regarding cost sharing for roadway improvements and infrastructure construction, as prepared by WSB and had four main goals. 1) Review City design standards f -way requirements ;2) analyze nd prioritize the City's future collector roadway associated costs; 3) identify options for providing developer assistance; and 4) revenue sources for low the City would pay its share for the collector roadways. study found the sta roadway width and rent design standards and developers' requirements. The adequate and correct, however it is recommended that needs should be reviewed or, a case -by -case basis, making exceptions to the standards if it is justified. Ms. Heil reviewed design standards for minor collector roadways, major collectors, and arterials, and provided examples of each. Current policies require developers to construct major and minor collectors within new subdivisions. Arterials are typically County roadways; when they are required as part of new development they must be constructed to standards identified within the City or County Comprehensive Transportation Plan and the costs are shared by the City and County, typically as a 45/55 split. The second goal of the study was to analyze the City's future collector roadway system by developing a schedule of projects using the City's Comprehensive Transportation Plan. City Council Work Session Minutes -2- March 25, 2013 Collector roadways which are planned for future construction or expansion were identified on a system map, which assisted with estimating costs for completing the collector roadway system. The study estimated total costs of completing the major collector system to be over $238M using 2012 dollars. The City's share of those costs would be over $34M. According to current policies the costs would be shared by developers, Dakota County, the City of Lakeville and possibly with adjoining communities where roadways lie on a city boundary. New roadway improvements would be primarily driven by new development. These estimates presume that following the current CIP all right of way will be dedicated with development. Costs for county road expansion projects are also divided between the City and County. Ms. Heil stated that the estimates are based on subject to change when development occurs. Possible revel project costs are assumed to be property taxes or property t include state aid allocations and /or grant opportunifjes "ft-or government. Mielke added that these are competitive gram sufficient points to be considered for funding. The State mi districts along interstates as a funding opportusiityfor State The third goal identified alternatives to has traditionally required developers to subdivision. Some tools to assist'develc through City assi tatibil and assumptions and are e sources for the City's share of .alternatives which might the county, state and federal where projects need to score Ott also consider creating TIF sistance to developers. Lakeville nor collectors through their of City debt to be repaid are sold to build the project the if the assessments do not get paid by the property owners. about the assessments that were imposed to property owners within one mile of the improved County Road 31 {Pilot Knob Road) through Farmington. Mielke stated that those properties were determined to benefit from the improvements and a special assessment was levied. Feller stated that At that time the state legislature had not yet approved street reconstruction bonds, which take advantage of the City's credit rating to issue debt at a low cost. A 429 assessment could be used along Co.Rd.50 or possibly along Hiahview so the project could move forward. Deferred assessments or terms in the development agreements might be available tools for Council consideration. Ms. Heil reviewed additional revenue sources for the City's $34M anticipated cost. In addition to primary sources such as special assessments, secondary funding sources could include liquor funds, tax abatement and /or tax increment financing, and utility franchise fees. Many cities are adding franchise fees for gas and electric customers as a tool to spread the cost responsibility throughout the community. Swecker asked if tax exempt properties would be exempt from these fees. Mielke stated that the rates are based on the property classifications but that all existing utility users would pay something; the rates would be determined by City Council Work Session Minutes March 25, 2013 -3- Council. Another city - imposed fee which might become available with additional legislation is a transportation area charge. This revenue could be allocated to street improvement and maintenance projects such as expansions and seal coating. Mielke suggested Council create a policy regarding what revenue sources, in addition to property taxes, they are willing to consider for funding these roadway projects. Council is being asked to consider priorities and use of a 429 Special Assessment process with development- driven projects. Anderson feels it is important to determine the level of debt and risk the City is willing to assume. Council members were not ready to support franchise fees but stated they would not rule that out as a funding option. They would like to see the information from previous franchise fee discussions. The availability of liquor funds might also be considered with proper planning. Mielke reiterated that the purpose of this is to continue to find ways to assist developers and keep costs equitable. Anderson asked what the next steps would be for the,Co:R&50 Corridor Study. 'Zach Johnson stated that the next step is to finalize the report and present it to the County Board and the City Council for review and approval. Mielke'$tk that the recommendations for the upgrade of Kenwood Trail might ultimately include a four -lane divided roadway. Anderson stated he continues to be concerned about safe access to Kenwood "frail Middle School. 4. Review of Heritage Center Rental Policies Parks and Recreation Dept. staff is recommending some changes to the rental rates and available hours which were established when the Heritage Center opened. Staff is also requesting additional policies regarding fees be established and adopted by Council. Staff is proposing to allow non- profit,groups to reserve the Heritage conference room at no cost for up to two hours per month. Mayor Little believes consideration should be given to the many non-profit groups that have donated large amounts of money to the facility. He suggested a minimum donation of $1,000as.the criteria for not charging those groups to reserve the facility. Mielke stated that staff, had discussed this when the rental policy was created but had difficulty defining the,I arammeters. Due to the maintenance cost associated with any group that uses the rooms, Anderson suggested an equitable discount be given to groups that have provided donations. Swecker suggested leaving it open -ended and being flexible with the amount of time any group can use it. Davis suggested enacting some kind of sponsorship levels. Little believes it is also about relationship - building and having a partnership with the non - profits. The groups need to feel that they are getting some value for their support. Little indicated that the Lions Club has been a large contributor and is now interested in using the facility at no cost for three to four hour monthly meetings as well as for larger events such as pancake breakfasts. Little believes that allowing them to use the room gratis would be a token of good will. Anderson suggested staff create and recommend parameters for offering a City Council Work Session Minutes March 25, 2013 -4- discounted rate to non - profit groups. Staff is asking Council to consider free use of the facility by non - profits for two hours a month. Staff will continue to work on the parameters and offer further recommendations to Council. Council members asked about the cost of reserving the facility for all -day events. The proposed fees are based on comparisons to other area community centers and facilities and would cover the actual costs of having the facility open. S. Other Mielke updated the Council on the potential of the 190 "' Street /Highview Ave. roundabout and the improvements between Dodd and Highview movigg forwazd. These roadway projects are based on planned development in the area. At a previous work session Council had improvement project due to the roadway going frorit°fc Ave. Some discussions have taken place with landowInc extension of 179 " Street at Dodd Blvd. from Hayes Ave project with the ultimate result being a important to both the City and County Steve Miel ke discussed the votential of the 0 uhs Dodd Blvd. back to tWo lanes at Hayes i could accelerate the future Gr in order to complete the Away. This extension is - ted electrical inspector position is working on projections of mel Committee. Matt Little, Mayor returning to a fulltime City of Lakeville staff