City Council Work Session Agenda October 16, :00 p.m. City Hall

Transcription

1 Mayor: David Grant Address: 1245 W Highway 96 Arden Hills MN Councilmembers: Brenda Holden Fran Holmes Dave McClung Steve Scott City Council Work Session Agenda October 16, :00 p.m. City Hall Phone: Website: City Vision Arden Hills is a strong community that values its unique environmental setting, strong residential neighborhoods, vital business community, well-maintained infrastructure, fiscal soundness, and our long-standing tradition as a desirable City in which to live, work, and play. CALL TO ORDER 1. AGENDA ITEMS 1.A. Introduction Of Dawn Skelly, Communications Coordinator Dave Perrault, Interim Director of Finance and Administrative Services Documents: MEMO.PDF 1.B. Roseville School District Referendum School Board Members Mike Boguszewski and Kitty Gogins Documents: MEMO.PDF 1.C. Council Policies Mayor Grant Documents: MEMO.PDF 1.D. Development Fee And Utility Rate Study Dave Perrault, Interim Director of Finance and Administrative Services Stacie Kvilvang, Ehlers Documents: MEMO.PDF ATTACHMENT A.PDF 1.E. State Fair Parking Recap

2 Sue Polka, Public Works Director/City Engineer Commander Rich Clark, Ramsey County Sheriff's Department Documents: MEMO.PDF ATTACHMENT A.PDF 1.F. Speed Signs Sue Polka, Public Works Director/City Engineer Documents: MEMO.PDF 2. COUNCIL/STAFF COMMENTS ADJOURN

3 AGENDA ITEM 1A MEMORANDUM DATE: October 16, 2017 TO: FROM: SUBJECT: Mayor and City Council William S. Joynes, Sr., City Administrator Dave Perrault, Interim Director of Finance and Administrative Services Communications Coordinator Introduction Budgeted Amount: Actual Amount: Funding Source: N/A N/A N/A Discussion The Communications Coordinator, Dawn Skelly, will be introduced to the City Council at the worksession. She will be given the opportunity to discuss her background and answer any questions the Council may have.

4 AGENDA ITEM - 1B MEMORANDUM DATE: October 16, 2017 TO: FROM: SUBJECT: Honorable Mayor and City Councilmembers William S. Joynes, Sr., City Administrator Roseville School District Referendum An update regarding the Roseville School District s referendum will be provided at the City Council meeting by School Board Members Mike Boguszewski and Kitty Gogins. Page 1 of 1

5 AGENDA ITEM 1C MEMORANDUM DATE: October 16, 2017 TO: FROM: SUBJECT: City Councilmembers William S. Joynes, Sr., City Administrator Mayor Grant Council Policies There will be a discussion regarding Council Policies at the work session on Monday night.

6 AGENDA ITEM 1C MEMORANDUM DATE: October 16, 2017 TO: FROM: SUBJECT: Mayor and City Council William S. Joynes, Sr., City Administrator Dave Perrault, Interim Director of Finance and Administrative Services Utility Rate Study RFP Budgeted Amount: Actual Amount: Funding Source: N/A N/A N/A City Council Should Consider The City Council may consider putting the Development Fee and Utility Rate Study on the next City Council meeting for approval. Background and Discussion A Development Fee and Utility Rate Study is necessary to ensure the City will recoup its costs in regards to future capital and operational expenditures City-Wide and specifically to the TCAAP project. This rate study is being brought forward by Stacie Kvilvang, she will be present to answer any questions at the work session. Attachments Attachment A: Utility Rate Study RFP

7 Dave Perrault September 25, 2017 Interim Finance Director City of Arden Hills 1245 Highway 96 W Arden Hills, MN Re: Proposal for Utility Rate Study and Development Fee Analysis Dear Mr. Perrault: On behalf of Ehlers, I am pleased to present this proposal to provide financial planning services to the City of Arden Hills. Our experience in public finance, utility rate consulting, and redevelopment brings the necessary skills and perspectives to deliver the highest quality services. Ehlers proposes to complete a Development Fee Analysis for TCAAP and a City-wide Utility Rate Study for each utility fund. Project Understanding The purpose of the proposed Development Fee Analysis and Utility Rate Study will be to (i) develop comprehensive fee structures for Council consideration that will assure development in TCAAP will cover 100% of the costs of a new water tower, lift station and water booster station, (ii) review existing utility rates and charges to assure there is adequate revenue to address long-term repair, replacement and operational costs of the existing system, along with appropriate reserves, if TCAAP is never developed and (iii) show what affect development within TCAAP will have on long-term user rates if/when developed. The proposed Analysis is a long-term financial planning tool to design and project future utility rates that meet the needs of the City. This includes encompassing the need for capital improvements, changes in operating expenses, and impacts of existing debt and proposed debt. For the new water tower, lift station and booster station, it is anticipated that the City will impose area charges that will be paid when the land is platted for the various developments. Proposed Scope of Work The Development Fee Analysis and Utility Rate Study will be conducted in the following steps. Step 1: Complete a Review of the TCAAP Master Plan The Development Fee Analysis will be based on the amount, type, and timing of development specified in the Master Plan. Step 2: Complete a Review of the TCAAP Capital Improvement Plan We will work with the City staff and engineers to refine the total costs based upon the approved Master Plan. Furthermore, we will obtain a breakdown of the total costs into different components of the system. For example, for the sanitary sewer utility, we will work with the engineers to break out the costs and timing of lift stations, trunk lines, and laterals.

8 Dave Perrault Proposal for Utility Rate Study and Development Fee Analysis Page 2 Step 3: Determine Annual Cost We will quantify the annual cost of debt service, assuming 15-year bonds are issued to finance the improvements. Step 4: Review options for development fees with the staff and Council and solicit feedback Ehlers will guide staff and Council through the options to solicit conceptual feedback and preferences on the fee options. Step 5: Prepare a Cashflow Projection for Water, Storm Water, and Sanitary Sewer This step entails developing a cashflow projection model for each utility. The projection will evaluate the costs associated with each capital improvement, and identify the revenues or financing needed in each of the next fifteen years. By quantifying the revenue targets we need to hit, we can develop fee structures that provide the optimal cashflow to the City. The cashflow projection will be a working document that allows us to answer what if questions. What if the land develops differently than the Master Plan? What if development occurs more slowly than anticipated? What if it never occurs? Step 6: Develop a fee structure that will fully recover the City s costs over 15 years Ehlers will make a recommendation for development related fees and quarterly utility fees that will ensure the City fully recovers its costs for installing the water tower, water booster station and lift station in TCAAP. Step 7: Evaluate the City s financial risk The Development Fee study will include a sensitivity analysis to show the annual risk to the City of development occurs more slowly or with less density than anticipated. Step 8: Provide a comparison of fees in comparable communities The survey will compare development charges and utility fees for a newly constructed housing unit in Arden Hills with fees charged by comparable communities. Development Fee Study Deliverables Four meetings with staff Two meetings with the City Council Financial projections, provided in PDF format Development fee recommendations Utility fee (connection and on-going user fee) recommendations Power point presentation(s) Comparison of fees

9 Dave Perrault Proposal for Utility Rate Study and Development Fee Analysis Page 2 Cost The estimated cost will range from $30,000 to $40,000 and will be billed based upon actual time spent. If less time is required, the amount will be below $30,000 (we do not anticipate the need to ever exceed $40,000). Additional work or work outside of the scope, if requested by the City, will be performed at the hourly rate of $240. Thank you for your consideration. Ehlers stands ready to deliver financial planning services and surpass your expectations for quality and value. Sincerely, Stacie Kvilvang Senior Financial Advisor/Director

10 AGENDA ITEM 1D MEMORANDUM DATE: October 16, 2017 TO: FROM: SUBJECT: Honorable Mayor and City Councilmembers William S. Joynes, Sr., City Administrator Sue Polka, Public Works Director/City Engineer State Fair Parking Review Discussion At the direction of the City Administrator, Public Works staff posted the state fair parking restrictions in 2017 as shown on Attachment A. Several complaints were received due to signage spacing and placement. Staff met with Rich Clark and Mike Casey from the Ramsey County Sheriff s Office to discuss possible solutions and revisions for Suggestions from the Sheriff s office are as follows: Place more signs along the no parking areas. Shoreview uses cardboard signs on wooden stakes and places them approximately every feet. By doing this, it assists the Sheriff s office with defensible citations. Add additional no parking along the west side of Pine Tree Drive just south of County Road E to keep the intersection clear. Paint the curbs at all of the intersection radii yellow to prevent vehicles from parking too close to the intersections creating sight distance problems. Public Works staff will meet with the Sheriff s office in 2018 on-site to ensure proper sign placement. Attachments A. Exhibit 2017 State Fair Parking Restrictions Page 1 of 1

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13 AGENDA ITEM 1E MEMORANDUM DATE: October 16, 2017 TO: FROM: SUBJECT: Honorable Mayor and City Councilmembers William S. Joynes, Sr., City Administrator Sue Polka, Public Works Director/City Engineer Variable Speed Signs Discussion In June of 2017, the City Council approved the removal of the variable speed signs and installation of school zone signs adjacent to Valentine Hills Elementary School. The purpose of this item is to discuss a location to re-install the variable speed signs that were removed. Staff discussed several locations including Old Hwy 10 just south of 694, New Brighton Road north of Stowe, Ingerson Road near Fernwood, and Hamline Avenue south of Highway 96. Some of these areas are problematic due to tree cover (the signs are solar powered) and avoidance of residential yards. In discussions with Deputy Sheriff Mike Casey, he suggested the following locations: Hamline Avenue, south of Highway 96 Old Highway 10 in the vicinity of Parkshore Drive Page 1 of 1