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12-12-16 CC Reg Mtg Agenda CITY OF SHOREWOOD 5755 COUNTRY CLUB ROAD CITY COUNCIL REGULAR MEETING COUNCIL CHAMBERS MONDAY, DECEMBER 12,2016 7:00 P.M. AGENDA 1. CONVENE CITY COUNCIL MEETING A. Roll Call Mayor Zerby Labadie Siakel Sundberg Woodruff B. Review Agenda Attachments 2. APPROVAL OF MINUTES A. City Council Work Session Minutes of November 28, 2016 Minutes B. City Council Regular Meeting Minutes of November 28, 2016 Minutes C. City Council Special Meeting Minutes of December 5, 2016 Minutes 3. CONSENT AGENDA—Motion to approve items on the Consent Agenda& Adopt Resolutions Therein: A. Approval of the Verified Claims List Claims List B. Public Works AFSCME Contract Tentative Settlement Administrator's memo C. Approve Public Works Job Description and Authorize Internal Posting Administrator's memo D. Authorize Expenditure of Funds for Public Works Equipment- Director of Public Cab and Chassis for Utility Service Truck Work's memo E. Authorize Expenditure of Funds for Public Works Equipment-Utility Director of Public Service Truck Body, Crane, Compressor, Lighting and Accessories Work's memo F. Approve Change Order No. 3 for Star Lane and Star Circle Improvements, Engineer's memo City Project 14-11 Resolution G. Accept Improvements and Authorize Final Payment for Engineer's memo Star Lane and Star Circle Improvements, City Project 14-11 Resolution H. Accept Improvements and Authorize Final Payment for Engineer's memo 2016 Pavement Marking Project, City Project 16-02 Resolution L Accept Improvements and Authorize Final Payment for Engineer's memo 2016 Guard Rail Project Resolution J. Financial Security Reduction Request No. 1 —Minnetonka Country Club Engineer's memo CITY COUNCIL REGULAR MEETING AGENDA—December 12,2016 Page 2 4. MATTERS FROM THE FLOOR (No Council Action will be taken) 5. PUBLIC HEARING 6. REPORTS AND PRESENTATIONS A. Report by Sue Davis on the January 12-15, 2017, Arctic Fever Event Arctic Fever Brochure 7. PARKS 8. PLANNING 9. ENGINEERING/PUBLIC WORKS 10. GENERAL/NEW BUSINESS A. Accepting the 2017-2021 Capital Improvement Program and Finance Director's memo, Enterprise Budgets Resolution B. 2017 Non-Union Wage Recommendation Administrator's memo C. Annexation/Detachment Agreement for the Waters Senior Living project Administrator's memo Location: 22920 Highway 7 & 723 Water Street 11. STAFF AND COUNCIL REPORTS A. Administrator and Staff 1. Update on City of Minnetrista Road project B. Mayor and City Council 12. ADJOURN REGULAR MEETING TO EXECUTIVE SESSION This is a closed Executive Session pursuant to Minn.Stat. 13D.05 subd. 3 A. Discussion of Employment Evaluation 13. ADJOURN EXECUTIVE SESSION #2A CITY OF SHOREWOOD 5755 COUNTRY CLUB ROAD CITY COUNCIL WORK SESSION COUNCIL CHAMBERS MONDAY, NOVEMBER 28, 2016 6:00 P.M. MINUTES 1. CONVENE CITY COUNCIL WORK SESSION Mayor Zerby called the meeting to order at 6:00 P.M. A. Roll Call Present. Mayor Zerby; Councilmembers Labadie, Siakel, Sundberg, and Woodruff; Attorney Keane; City Administrator Lerud; City Clerk Panchyshyn; Finance Director DeJong; Director of Public Works Brown; and, City Engineer Hornby Absent: None B. Review Agenda Woodruff moved, Labadie seconded, approving the agenda as presented. Motion passed 5/0. 2. 2017 GENERAL FUND BUDGET, ENTERPRISE BUDGET AND CAPITAL IMPROVEMENT PROGRAM REVIEW Director DeJong noted the meeting packet includes a summary of the discussions Council and staff have had regarding the 2017 General Fund Budget, the 2017 – 2021 Capital Improvement Program (CIP) and the 2017 Enterprise Budgets. He then noted that the 2017 Truth-in-Taxation hearing is scheduled for December 5, 2016. He went on to note that the proposed 2017 Budget included in the meeting packet is the same as the preliminary budget that Council adopted during its August 22, 2016, meeting. He reviewed the amount of the mayor changes in the proposed 2017 General Fund Budget when compared to the adopted 2016 General Fund Budget. Revenues  Property tax levy $101,588  Increased permit revenue $ 60,000  Increased plan check fees $ 10,000 Total change in revenue $171,588 Expenditures  Council – Contractual ($ 50,000)  Council – Contingency $ 33,000  Administration – Election Judges ($ 12,000)  Professional Services – Prosecution $ 4,000  Professional Services – Assessing $ 5,000  Munn. Buildings – Communications $ 4,000 CITY OF SHOREWOOD WORK SESSION MEETING MINUTES November 28, 2016 Page 2 of 7  Police – Contractual Services $ 73,885  Police – Buildings ($ 16,000)  Fire – Contractual Services $ 3,262  Fire – Buildings ($ 13,972)  Inspections – Contractual Services $ 2,500  Public Works – Motor Fuel ($ 3,000)  Miscellaneous Expenditure Changes $ 33,550 Total change in expenditures $ 64,225 Change in use of reserves in 2017 ($107,363) He explained the Council Miscellaneous Services (Council – Contingency) was $27,000 in 2015. It was increased to $60,000 for 2017 to cover pay increases for both non-union and union personnel and an increase in the contribution to employee health insurance. It equates to roughly a 2.5 percent increase in salaries and a $25 per month per employee increase in the contribution. The Police Contractual Services line item increase was due to an adjustment in the funding formula; that adjustment is done every five years. Shorewood’s share of the funding went up so that budget line item increased by $73,885. He then explained the cost for forestry services is likely to exceed the budgeted amount of $40,000 in the Public Works budget. Staff anticipates the actual costs could be as high as $75,000. That additional $35,000 would have to be covered out of reserves. DeJong went on to explain that an update to the Comprehensive (Comp) Plan has to be done in 2017. Staff does not have the expertise to make all of those updates. Therefore, the City will have to use outside resources to do that. If all of the updates were to be done with outside resources staff estimates the cost to be $85,000. Councilmember Sundberg stated it is her understanding the Police Contractual Services line item did not go up significantly; the City share of the funding did. Director DeJong clarified Shorewood’s share of the funding increased from about 46 percent to 48 percent. Sundberg asked Mayor Zerby if he was comfortable with the City’s increase. Zerby noted there is not much to do about it. Zerby explained the South Lake Minnetonka Police Department (SLMPD) Coordinating Committee discussed making changes to the Joint Powers Agreement (JPA) but that would require all four member cities voting in favor of that and the changes that were discussed were not well accepted by all four cities. Sundberg clarified that the reason she asked is the City is not receiving more services. Councilmember Siakel stated she thought part of the increase in the SLMPD budget was because there was agreement by the member cities to have the SLMPD hire an additional officer. Mayor Zerby confirmed that. Councilmember Sundberg asked what is driving the increase for forestry services. Director Brown explained there are four major components to the Urban Forestry Management Plan (the Plan). They are: 1) the removal of diseased trees (staff has been working on that with S&S Tree and Horticultural Specialists because of the urgency to remove them); 2) the proactive removal of ash trees; 3) dealing with ash trees that could become diseased; and, 4) the reforestation plan. The first two components have to be done. Staff was able to get the cost for S&S to do the most urgent work down to $76, 000. CITY OF SHOREWOOD WORK SESSION MEETING MINUTES November 28, 2016 Page 3 of 7 Mayor Zerby asked what services S&S is providing. Director Brown explained that to date S&S has brought one or two arborists on site and one of them essentially ends up being a laborer. S&S brings a boom truck along. S&S does the cutting that requires the boom truck. Public Works personnel do the cutting that does not require the boom truck and they haul the debris away. He stated that he hoped that Shorewood would invest in a used bucket truck. Then Public Works could take a lot of the load off of S&S. He noted that OSHA has mandated that a worker cannot bring a chainsaw above shoulder level. Councilmember Siakel stated it was her recollection that when S&S made a presentation to Council during its October 10, 2016, work session they indicated it would cost $200,000 a year for five years. Council asked S&S and staff to downsize the scope of activities to what has to be done. Director Brown stated the first phase of the Plan is reactionary; that is trying to take care of diseased trees. The second phase is anything above that. He then stated the cost for reforestation under the S&S proposal seemed to be quite expensive so some of that was taken out of the proposal. The City can pursue grants and other types of opportunities for reforestation. Administrator Lerud stated that staff thought it would be important to plant some new trees and not just cut trees down. Staff also discussed being proactive and buy the City some time by treating some ash trees to prevent them from becoming diseased with emerald ash borer (EAB). That would allow the reforestation to be spread out over 10 years. With regard to a question from Councilmember Sundberg, Administrator Lerud clarified there will definitely be a need for outside help to make the updates to the Comp Plan. Lerud stated no decision has been made about which updates can be done by staff and which must be done by outside resources. He noted that he and Director Nielsen plan on discussing the process the next day. Director Brown noted that some of the updates (e.g.; aerial topography, stormwater calculations that have to be done by a hydrologist and transportation planning) will require specialized expertise. Councilmember Woodruff stated Council and staff have discussed providing an Urban Forestry Management Plan service where a resident can ask for the City to come to their property and assess the health of a tree. There may be a fee for such a service. He asked if that is in or out of the budget for forestry services in 2017. Director DeJong stated there is some time for that in the budget and explained staff discussed staff scheduling those inspections so there would be a number of them done by S&S on one day. S&S has indicated that one onsite inspection would take 30 – 45 minutes. Director Brown explained the last time staff met with S&S representatives a lot of time what spent trying to frame policy for inspections. Councilmember Siakel asked Director DeJong to explain the $33,550 increase in Miscellaneous Expenditure Changes. DeJong explained that is a total amount all expenditure line item increases that are less than $2,500. Siakel suggested the budget for forestry services should be $75,000. She also recommended the budget include $85,000 for consulting services for the Comp Plan updates. Mayor Zerby and Councilmember Sundberg concurred. Mayor Zerby stated on page 2 in the staff memorandum under Financial or Budget Consideration it states “The budget increases the tax levy by 2% for 2016.” He assumed that should be 2017. He then stated in that same section it states “Staff has prepared a resolution adopting the preliminary tax levy for the regular meeting this evening.” Director DeJong clarified there is no resolution for consideration this CITY OF SHOREWOOD WORK SESSION MEETING MINUTES November 28, 2016 Page 4 of 7 evening. Council will consider a resolution for the 2017 General Fund Budget during the Truth-in-Taxation hearing on December 5. Councilmember Woodruff commented that increasing two amounts to the 2017 General Fund Budget as suggested by Councilmember Siakel would necessitate increasing the planned use of reserves. It would not be the $107,363 reflected in the staff memo. It would increase the use of reserves to $227,363. Director DeJong clarified the $107,363 is the amount the use of reserves would decrease when compared to 2016 in the 2017 Budget included in the meeting packet. That Budget reflects the use of $72,785 in reserves. Adding $120,000 ($35,000 + $85,000) would bring the planned use of reserves in 2017 to $192,785. Director DeJong noted the available reserve balance is approximately $949,000. DeJong stated there has been discussion about moving up to $500,000 in available reserves into the Street Reconstruction Fund if the City of Minnetrista repairs in 2017 its share of Enchanted Lane that was impacted by flooding a few years ago. There would be some amount of cost savings if Shorewood repaired its portion of Enchanted Lane at the same time as Minnetrista did. Engineer Hornby stated the Minnetrista City Council will be presented with a feasibility study for improvements to Enchanted Lane and Tuxedo Road on March 5. Mayor Zerby asked if Minnetrista has included the preliminary estimates for those improvements in its preliminary budget. Hornby noted it is in the Minnetrista road plan. He explained Minnetrista bonds for some projects and for others funding comes out of its roadway maintenance fund (out of their CIP). Minnetrista assesses for roadway improvements. Councilmember Siakel noted she does not support transferring $500,000 from the General Fund to the Street Reconstruction Fund noting she has made her position clear in a number of other meetings. She stated she wants to stick to the Pavement Management Plan (PMP). She went on to state if there is a portion of Enchanted Lane that needs to be repaired because of previous flood damage out on Enchanted Island she would support doing that. She does not support advancing the repair of the other roadways on the Islands to 2017. Those other roadways should be repaired according to the original schedule in the PMP. She explained that during the October 24 Council meeting there was discussion about FEMA (Federal Emergency Management Agency) having removed the Islands from the flood zone. She stated she would prefer to use some of the available reserves for things that would benefit the greater community. She reiterated her position that she does not support transferring $500,000 from the General Fund to the Street Reconstruction Fund. Councilmember Woodruff noted he understands Councilmember Siakel’s position noting he has heard her state that before. He stated he thought that some statements made are not pertinent and that he does not think some are accurate. He stated from his perspective the reason for considering redoing the roads on the Shorewood part of the Island is not because of flooding. He clarified there may be some mitigation of potential flooding as a result. He thought it has to do with current road conditions. He thought most of the roadways on the Islands are eligible by the City’s rating system for some type of remediation. Director Brown explained most of the roadways on the Islands have a rating of 4 or 5. Under the City’s current policy there is a goal of having City roadways have a rating of 4 or better. They are eligible for some restoration. He noted the flooding has been an issue for Enchanted Lane. Engineer Hornby noted that during the high lake level period Enchanted Lane had to be built up in order for vehicles to get through there. CITY OF SHOREWOOD WORK SESSION MEETING MINUTES November 28, 2016 Page 5 of 7 Mayor Zerby noted that he has previously expressed his support and continues to do so for making improvements to that portion of Enchanted Lane that was impacted by flooding provided Minnetrista improves its portion of that roadway. Councilmember Woodruff stated the latest updated FEMA floodplain maps do not indicate that the Islands have been removed from the floodplain. Engineer Hornby explained that the initial updated FEMA floodplain maps showed the Islands were removed from the floodplain. FEMA made a revision to the maps to possibly correct what could have been a mistake on their part. He noted that he has not looked at the revised maps that were approved in November 2016 but he thought they are again shown as in a floodplain area. He explained that something is considered to be in a floodplain if it is below 931 feet whether or not it is on the Islands. Some roadways and properties on the Islands are below that elevation and clarified that he was speaking holistically about Enchanted Island. Councilmember Siakel noted that she had not been told that FEMA had revised its maps again. Councilmember Labadie stated the General Fund Budget Summary line item Parks Maintenance/Personnel increased significantly from year to year: 2013 actual was approximately $82,200; 2014 actual was approximately $121,600; 2015 actual was approximately $150,900; and the 2016 budgeted amount was approximately $115,000. She asked Director DeJong to explain that. DeJong explained there are generally two people who work on parks maintenance during the course of the year; they are not full time. When the budget is prepared an estimate from previous years is used. Some Public Works employees code their time on a time sheet bi-weekly. Although the variances from budget to actual may be significant it does not affect the City very much. Most of their time is going to be split between parks maintenance, the general public works function, and snow and ice control. How they spend their time is to some extent a function of the time of the year and the weather. He noted that the budget is set such that 100 percent of the salaries are covered. There are specific overtime line items as well. If more of an employee’s time is coded to one department then less will be coded to another. It balances itself out over the course of the year. Councilmember Siakel stated she does not understand the big swings in the amount of available reserves. Early in the year it was around $300,000. During the last Council meeting it was about $500,000. The sheet in the meeting packet shows $769,323. During this discussion Director DeJong stated the available reserve balance is $949,000. She asked where that number came from. She questioned how the City could almost have a $1 million in available reserves. She thought this year the City may have spent more on projects than anticipated. Director DeJong explained at the end of 2015 there was an approximate $400,000 increase in the General Fund Balance and that was reflected after the 2015 financial audit. That was the surplus in 2015 from the City being over in revenues and under expenses. He noted that until the audit is finalized he does not use any updated number. He explained the available fund balance was based off of the previous year’s budget. The fund balance is calculated against the following year’s expenditures and transfers. As new figures are known the calculation is updated. He then explained that at the end of 2015 the General Fund Balance was $4,502,167. Sixty percent of 2017 expenditures and transfers ($5,921,312) is $3,552,787. That leaves about $950,000 in available reserves. Based on the changes recommended earlier the planned use of reserves in 2017 would be $192,785; up $120,000 from the $72,785 planned in the budget included in the meeting packet. That leaves about $750,000 in available reserves above the 60 percent General Fund Balance Policy amount. CITY OF SHOREWOOD WORK SESSION MEETING MINUTES November 28, 2016 Page 6 of 7 Mayor Zerby stated the available reserve amounts do fluctuate quite a bit. Zerby then stated that Hennepin County sends the City tax payments twice a year. He asked how certain Director DeJong is of the next check amount. DeJong explained staff does not know specifically but generally the City collets about 99 percent of what it levies for the year. That can change between the first payment and the second payment. Zerby asked where the unexpected revenue in 2015 came from being the tax revenue does not very much. DeJong explained it came from significant new construction projects that had not been anticipated at the beginning of 2015. For example, there is a very large project along Lake Minnetonka that had significant fees associated with it. Part of the expense savings was the coding of Public Works personnel time. They spent significantly more time working in enterprise operations in 2015 so those related personnel expenses did not show up in the General Fund. The allocation to General Fund operations and enterprise operations is based on a three-year rolling average. Councilmember Sundberg noted that all of the roadways on the Islands were moved into the 2017 Street Reconstruction CIP. Director DeJong explained that staff originally suggested that if Minnetrista is going to redo its portion of Enchanted Lane in 2017 it would make sense for Shorewood to do its portion of that roadway that was damage by high water at the same time. It would reduce engineering, mobilization and floodplain mitigation costs. Also, it would also reduce the inconvenience to the residents. Councilmember Siakel asked if Minnetrista had its neighborhood meeting about the proposed improvements and if so were the residents receptive to being assessed for improvements. Engineer Hornby stated there was a presentation of information to the Minnetrista Council and the following evening there was a public informational meeting. During the public informational meeting the reaction from those residents in attended was generally favorable. He noted the Minnetrista Council will consider the feasibility report during its December 5 meeting. Councilmember Woodruff stated that Director DeJong has been given direction to modify the 2017 General Fund Budget. That revised budget will be presented during the December 5 Truth-in-Taxation hearing. Council will consider adopting that budget and approving the 2017 tax levy. If Council does not do that on December 5 it can do it during its December 12 regular meeting. He then stated the CIP does not affect the General Fund Budget unless Council decides to transfer money out of the General Fund. From his perspective that had not been talked about. He noted that if Council does not approve the 2017 CIP during its March 12 meeting noting that will not cause any problem as long as it does not impact the General Fund Budget. Councilmember Siakel noted the staff memo states “There are sufficient funds available in the General Fund that are over the fund balance policy to be transferred into the Street Reconstruction Fund ….” There has been discussion about transferring funds; discussion specifically about transferring about $500,000 into the Street Reconstruction Fund from the General Fund. She then noted that she does not support doing that. She prefers the funds to remain in the General Fund and if Minnetrista moves forward with its Enchanted Lane project and Shorewood decides to move forward with an Enchanted Lane project as well then funds can be transferred at that time. Once the funds were transferred it is likely they would not be transferred back into the General Fund. CITY OF SHOREWOOD WORK SESSION MEETING MINUTES November 28, 2016 Page 7 of 7 Councilmember Woodruff stated from his perspective the transfer does not have to be made until Council decides that it wants to do the Enchanted Lane improvement project. He commented there is a difference between planning and cash management. Mayor Zerby noted he agrees that the roadways other than Enchanted Lane out on the Islands are not ready to be improved yet. He also noted that the City does need to do the small piece of Enchanted Lane that was damaged by high water if Minnetrista moves forward with its project in 2017. nd Director DeJong noted that the CIP does reflect that the Strawberry Lane and West 52 Street project had been moved to 2018 per Council’s direction. 3. ADJOURN Woodruff moved, Labadie seconded, Adjourning the City Council Work Session of November 28, 2016, at 6:52 P.M. Motion passed 5/0. RESPECTFULLY SUBMITTED, Christine Freeman, Recorder Scott Zerby, Mayor ATTEST: Jean Panchyshyn, City Clerk #2B CITY OF SHOREWOOD 5755 COUNTRY CLUB ROAD CITY COUNCIL REGULAR MEETING COUNCIL CHAMBERS MONDAY, NOVEMBER 28, 2016 7:00 P.M. MINUTES 1. CONVENE CITY COUNCIL REGULAR MEETING Mayor Zerby called the meeting to order at 7:00 P.M. A. Roll Call Present. Mayor Zerby; Councilmembers Labadie, Siakel, Sundberg, and Woodruff; Attorney Keane; City Administrator Lerud; City Clerk Panchyshyn; Finance Director DeJong; Planning Director Nielsen; Director of Public Works Brown; and, City Engineer Hornby Absent: None B. Review Agenda Labadie moved, Sundberg seconded, approving the agenda as presented. Motion passed 5/0. 2. APPROVAL OF MINUTES A. City Council Executive Session Minutes of November 4, 2016 Sundberg moved, Woodruff seconded, Approving the City Council Executive Session Minutes of November 4, 2016, as presented. Motion passed 5/0. B. Canvassing Board Minutes of November 14, 2016 Sundberg moved, Woodruff seconded, Approving the Canvassing Board Minutes of November 14, 2016, as presented. Motion passed 5/0. C. City Council Work Session Minutes of November 14, 2016 Labadie moved, Sundberg seconded, Approving the City Council Work Session Minutes of November 14, 2016, as presented. Motion passed 5/0. D. City Council Regular Meeting Minutes of November 14, 2016 Woodruff moved, Labadie seconded, Approving the City Council Regular Meeting Minutes of November 14, 2016, as presented. Motion passed 5/0. 3. CONSENT AGENDA Mayor Zerby reviewed the items on the Consent Agenda. Labadie moved, Woodruff seconded, Approving the Motions Contained on the Consent Agenda and Adopting the Resolution Therein. CITY OF SHOREWOOD REGULAR COUNCIL MEETING MINUTES November 28, 2016 Page 2 of 9 A. Approval of the Verified Claims List B. Accepting a Donation for Arctic Fever C. Retirement Recognition for Dan Randall D. Adopting RESOLUTION NO. 16-088, “A Resolution Accepting Improvements and Authorizing Final Payment for the 2016 Mill and Overlay Project, City Project 16- 03.” Councilmember Labadie noted Randy’s Sanitation made the donation to the Arctic Fever event. Motion passed 5/0. 4. MATTERS FROM THE FLOOR Stephen Farnes, 5445 Timber Lane, noted that he wanted to revisit a topic that Council discussed during its October 24, 2016, meeting. He explained that the topic was a request from Alex Ugorets, 175 Brentwood Avenue, Tonka Bay, for a zoning permit for the incidental use of public right-of-way (ROW) off Timber Lane to provide a second access to his property. At that time staff recommended a four-foot- wide walking path and staff and the Planning Commission recommended Council approve that. Mr. Ugorets came before Council that evening and indicated that he did not want that but he did want a 12- foot-wide driveway. Mr. Ugorets indicated that he had been told that he could have a driveway for access to Timber Lane. After discussion Council denied that request on a 5/0 vote. He noted that he had assumed that when Mr. Ugorets zoning permit request was denied that his request for a driveway was defeated. He explained Mr. Ugorets took it upon himself to dump gravel in a 120- square-foot area that borders the Timber Lane cul-de-sac to his property. The gravel is about eight inches deep. He and other residents in the neighborhood would like the gravel removed. He had spoken with Director Nielsen about that. Nielsen was not convinced that was the direction Council wanted to go on that matter. Mr. Ugorets had not obtained a permit to do that and Mr. Farnes did not think Mr. Ugorets had any authority to do that. Mr. Farnes stated he thought it would be appropriate for the City to be aggressive on this and to send a message to Mr. Ugorets. He stated there are still a few weeks before the ground freezes. He noted he understood Council cannot make a decision on that this evening. But, maybe Council can provide staff with direction on this matter. Councilmember Woodruff extended his apology for not returning Mr. Farnes phone call to him and stated he had not been able to get any information for him until he got to City Hall for this meeting. He explained that during the October 24 meeting Council denied the driveway access over the public ROW. He had spoken with Director Nielsen about this before the meeting and Nielsen told him that he was ready to ask Public Works personnel to remove the gravel but decided not to, per the advice of Attorney Keane, because Mr. Ugorets intended to file a suit against the City. He asked Attorney Keane to explain his position. Attorney Keane stated Mr. Ugorets attorney had advised him that Mr. Ugorets intended to apply for a revised permit request. He explained that he would like staff to determine if the location of gravel is CITY OF SHOREWOOD REGULAR COUNCIL MEETING MINUTES November 28, 2016 Page 3 of 9 located on the public ROW or on private property. The location will guide the recommendation in terms of next steps. Councilmember Woodruff asked if that discussion can happen this week and a recommendation made. Attorney Keane responded yes. Woodruff stated that after looking at the site he thought the gravel is on the public ROW noting that he was not a surveyor. Attorney Keane noted that it will be easier for the City to undertake remediation if the gravel is on the public ROW. Mayor Zerby stated it was his understanding that there was to be no improvement and that there had been a path there for years. He was not comfortable with Mr. Ugorets making any improvement to what was already there. He considered the gravel was a more significant improvement to the property than he anticipated. Councilmember Sundberg concurred. Councilmember Siakel noted that Council clearly denied the applicants permit request. Councilmember Labadie stated Council unanimously voted to deny the permit request. Attorney Keane stated if the gravel is within City ROW the removal of it could be done without any further guidance or direction from Council. But, if it is on private property the City may be a need to obtain an order to go on to Mr. Ugorets property. Mayor Zerby thanked Mr. Farnes for bringing the concern to Council’s attention. 5. PUBLIC HEARING A. Ratify Flood Plain Ordinance Mayor Zerby opened the Public Hearing at 7:09 P.M. Director Nielsen explained that during its October 24, 2016, meeting Council approved Ordinance 534 amending the Shorewood City code to replace the existing Chapter 1101 in its entirety with a revised Chapter 1101 (Flood Plain Management Regulations). The Minnesota Department of Natural Resources (DNR) has since advised the City that the amendment maybe should have been subject to a public hearing. Staff is recommending Council ratify the previously adopted ordinance amendment and forward that back to the DNR as a precautionary measure. He noted that Attorney Keane had strongly recommended Council hold a public hearing on this. Seeing no one present to comment on the case, Mayor Zerby opened and closed the Public Testimony of the Public Hearing at 7:11 P.M. Woodruff moved, Sundberg seconded, ratifying the approval of Ordinance No. 534 on October 24, 2016, which amended the Shorewood City Code to replace existing Chapter 1101 in its entirety with a revised Chapter 1101 (Flood Plain Management Regulations) and directing staff to let the Minnesota Department of Natural Resources know of Council’s action. Motion passed 5/0. Mayor Zerby closed the Public Hearing at 7:12 P.M. CITY OF SHOREWOOD REGULAR COUNCIL MEETING MINUTES November 28, 2016 Page 4 of 9 6. REPORTS AND PRESENTATIONS 7. PARKS A. Report by Ed Rock on the November 22, 2016, Park Commission Meeting Park Commissioner Rock reported on matters considered and actions taken during the November 22, 2016, Park Commission meeting (as detailed in the minutes of that meeting). 8. PLANNING A. Zoning Code Amendment – Short-Term Rentals Director Nielsen explained that during its September 26, 2016, meeting Council adopted a resolution amending City Code Chapter 1004 (Rental Housing) regarding short-term rental of property. It basically prohibits rentals for less than 30 days. The Zoning Code text amendment being considered this evening is a follow-up to that amendment. It makes the definitions between the Rental Housing Code and the Zoning Code consistent. He noted the Planning Commission held a public hearing on the amendment during its November 1, 2016, meeting and unanimously recommended approval of the amendment. Sundberg moved, Labadie seconded, Approving ORDINANCE NO. 535 “An Ordinance Amending the Shorewood Zoning Code as it Pertains to Short-Term Rentals.” Motion passed 5/0. B. Annexation Agreement and Comprehensive Plan Amendment for the Waters Senior Living Project Applicant: The Waters Senior Living Location: 22920 Highway 7 and 723 Water Street Administrator Lerud explained that staffs from the Cities of Shorewood and Excelsior have been working on an Annexation-Detachment Agreement (the Agreement) that detaches parcels of land from Shorewood and annex them into Excelsior. Almost all of the terms of the Agreement have been successfully negotiated. The remaining item to be negotiated is the split of the tax proceeds that would be generated by the proposed The Waters of Excelsior senior living development. Lerud then explained that Shorewood staff has consistently taken the position that the percentage split of the tax proceeds should be 70/30; that split is based on the amount of land currently located in each City that would eventually be the site of the proposed development. Each square foot of the land is equal in value because it is all needed to complete the project. The existing buildings have zero value in terms of future development; the buildings would not be there. Shorewood’s land value is much less in Excelsior. If Excelsior approves a Tax Increment Financing (TIF) District it would generate more for Excelsior in terms of tax increment than it otherwise would. If Shorewood detaches the land it would forever give up the opportunity to develop that property. With a 70/30 split Shorewood would receive 70 percent of the taxes proceeds generated by the proposed development once the TIF District expires. Director Nielsen displayed a copy of the site location, architectural renderings of the proposed development, a property survey which shows the boundary between the Shorewood portion and the Excelsior portion, and a site plan. Nielsen noted the Planning Commission held a public hearing during its November 1, 2016, meeting on the proposed amendment to the Comprehensive (Comp) Plan. The Commission recommended approval CITY OF SHOREWOOD REGULAR COUNCIL MEETING MINUTES November 28, 2016 Page 5 of 9 of the amendment to reflect the change in the Shorewood boundary for the 22920 State Highway 7 and 723 Water Street properties subject to the execution of the Agreement between the Cities of Shorewood and Excelsior. Attorney Keane recommended Council take this up as two separate items; one item for the Comp Plan amendment and the second for approval or denial of the Agreement. Councilmember Woodruff asked which pages in the in the meeting packet information for this item are for the Comp Plan amendment. Director Nielsen explained it starts with the memorandum from him to the Planning Commission, Mayor and City Council dated October 28, 2016. Woodruff clarified he was looking for amendment text. Nielsen clarified there would not be any text; the amendment is a map amendment. The boundaries of Shorewood would change upon approval of the amendment. Nielsen noted that the actual approval of the amendment will come back to Council because the amendment is subject to the review of the Metropolitan (Met) Council. In response to a comment from Mayor Zerby, Nielsen explained there will be a cover letter to the Met Council describing the rationale for changing the boundaries of Shorewood and the City needs to fill out a form. Woodruff then asked if Council needs to adopt a resolution. He noted the meeting does not contain a copy of a resolution for Council’s consideration. Director Nielsen clarified that once the City receives approval from the Met Council then Council will be asked to approve a resolution amending the Comp Plan. Director Nielsen clarified that Council is being asked to direct staff to send the proposed map amendment to the Met Council for its review. Attorney Keane stated it would go through Met Council’s abbreviated minor plan amendment process which is 30 days. Attorney Keane reiterated the map amendment will be submitted to the Met Council for review and after that Council will consider the formal approval of the amendment by way of adoption of a resolution. Mayor Zerby stated from his perspective he does not think there is a need to change the Shorewood boundaries unless there is a reason. He noted he was not ready to support the detachment of parcels of land with there being some rationale for doing so. Director Nielsen reiterated Council would not be doing that until the Met Council has reviewed the map amendment. Zerby stated the only reason he would be willing to detach the parcels would be to put The Waters of Excelsior development in that location. Attorney Keane stated that the draft Agreement Item 3.H Completion of the Project does address Mayor Zerby’s concern. It basically states the Comp Plan amendment and the Agreement are conditioned upon the completion of the project. Councilmember Woodruff stated approving the Comp Plan amendment does not obligate the City to execute the Agreement. Mayor Zerby asked who drafted the Agreement. Attorney Keane noted it was a joint effort. Woodruff moved, Sundberg seconded, directing staff to submit the proposed Comprehensive Plan map amendment to the Metropolitan Council for its review. Motion passed 5/0. Mayor Zerby stated he thought that the 70/30 split of the tax proceeds was important because Shorewood would be donating a significant portion of the land for the senior living development site. The Shorewood land would have other significant uses if the development did not come to fruition. He noted that he wants CITY OF SHOREWOOD REGULAR COUNCIL MEETING MINUTES November 28, 2016 Page 6 of 9 to stay with the 70/30 split. Councilmembers Labadie, Siakel and Siakel noted they would support that. Councilmember Woodruff stated he did not disagree with that. Councilmember Woodruff stated if the senior living project is never completed he asked if Shorewood would still get reimbursed for up to $10,000 in administrative. Attorney Keane stated it is a risk. Zerby moved, Siakel seconded, continuing the consideration of the Annexation-Detachment Agreement until there is agreement that the split of the tax proceeds is 70/30 (with Shorewood getting 70) after the tax increment financing district expires. Councilmember Woodruff stated he thought the Agreement does stipulate for a 70/30 split. He questioned why Council would want to taking action on the Agreement. Attorney Keane stated that the Agreement does stipulate a 70/30 percent split. But, he is not sure that both Cities agree with that. Mayor Zerby stated it is his understanding that the copy of the Agreement included in the meeting packet is a draft. That Agreement has not been approved by the Excelsior Council. But, during its recent work session the Excelsior Council made comments about a 60/40 split. Jay Jenson, representing The Waters Senior Living (the applicant), noted he was present at the Excelsior Council work session on November 21. He stated Excelsior is waiting for the Hennepin County Assessor to determine values. He thought the assessor should be out in the next day or two. He does not think Excelsior is specifically locked on to a 60/40 split. Excelsior has the Agreement as an action item on its December 5 meeting agenda. From his perspective if the Assessor believes it should be a 70/30 split he thought the Excelsior Council would go with that. He noted that proposed senior living facility would be located 70 percent on land currently located in Shorewood. Mr. Jensen explained that the difference in property tax dollars to a municipality between a 60/40 split and a 70/30 split is about $7,000 twenty some years from now. Mr. Jensen stated The Waters Senior Living is very anxious to get started on the project in order to meet a December 2018 completion date. He noted The Waters Senior Living will commit to paying Shorewood $10,000 at closing. Mayor Zerby stated he still wanted to delay taking action on this item because there is not a concrete split percentage from Excelsior. Attorney Keane recommended the item be continued to Council’s next regular meeting. Without objection from the maker or seconder, the motion was amended to continue this item to Council’s December 12, 2016, meeting. Motion passed 5/0. C. Minor Subdivision Applicant: William Everett, Jr. Location: 5615 Covington Road Director Nielsen explained William Everett owns the property located at 5615 Covington Road. He has purchased Outlot E, Waterford, immediately east of his property with the intent of combining the two parcels and re-subdividing them into two building sites. Both of the proposed new lots would meet the lot size and lot width requirements of the R-1A/S, Single-Family Residential/Shoreland zoning district. The slope of Outlot E is somewhat dramatic. The survey shows there is an ample buildable area with a gradual slope on the northeast corner of the site. CITY OF SHOREWOOD REGULAR COUNCIL MEETING MINUTES November 28, 2016 Page 7 of 9 Nielsen noted the Planning Commission and staff recommend approval of the minor combination/subdivision. He also noted the meeting packet contains a copy of a resolution approving the subdivision. Woodruff moved, Sundberg seconded Adopting RESOLUTION NO. 16-089, “A Resolution Approving Subdivision of Real Property for William Everett, Jr. for his properties located 5615 Coving Road and Outlot E, Waterford.” Motion passed 5/0. 9. ENGINEERING/PUBLIC WORKS A. Approve Professional Services Agreement for 2017 Mill and Overlay Project Director Brown explained staff has solicited a proposal from WSB & Associates for professional services for the preparation of construction documents for the 2017 Mill and Overlay Project, City Project 17-03. The roadways to be improved include: Summit Avenue from Murray Hill Road to Hummingbird Road; Howard Point Road from Smithtown Road to the north terminus; Echo Road from County Road 19 to County Club Road; Kathleen Court from Woodside to the cul-de-sac; and,, Oak Ridge Circle from Grant Lorenz Road to the cul-de-sac. The estimated cost of the total project is $27, 393. That amount includes slightly more than $18,000 is for inspection and survey services. The cost for the design portion is $9,000. Brown noted that staff recommends Council accept the proposal for professional services from WSB for the preparation of plans, specifications, bidding, and construction services for the 2017 Mill and Overlay Project for an estimated cost of $27,393. Sundberg moved, Siakel seconded, accepting the proposal for professional services from WSB & Associates to prepare construction documents for the 2017 Mill and Overlay Project, City Project 17-03 for an estimated amount of $27,393.” Motion passed 5/0. 10. GENERAL/NEW BUSINESS 11. STAFF AND COUNCIL REPORTS A. Administrator and Staff 1. Public Works Snow Removal Equipment Director Brown noted the City took delivery of the trail snow removal equipment. 2. Freeman Park Ice Skating Rink Update Director Nielsen explained that during its November 14, 2016, meeting Council authorized staff to move forward with the creation of an ice skating rink at Freeman Park for this upcoming skating season if the total preparation work could be done for an amount not to exceed $40,000. At that time staff thought it had a contractor that would do the grading and leveling of the area for an amount not to exceed $10,000. Earlier in the day that contractor informed him he would not be able to do that work and he thought it had more to do with the conditions than the money. Unless staff can find another contractor very quickly the project will have to be put off until next spring and maybe Public Works could do that work. CITY OF SHOREWOOD REGULAR COUNCIL MEETING MINUTES November 28, 2016 Page 8 of 9 Other Director Brown stated Council had approved retrofitting lighting at City Hall and at Public Works facility with LED lamps. The retrofit at Public Works has been completed and the electrician started the retrofit at City Hall earlier in the day. Mayor Zerby asked Director Brown to provide an update on the removal of the equipment at the Skate Park. Brown noted that this week Public Works personnel finally have time to focus on that. Brown explained that once Council decided to take that equipment out of service a number of people expressed interest in purchasing that equipment. Staff has not determined if the City should do, for example, an online auction or a silent auction to sell the equipment. The equipment may not be removed until it is sold and then it would be done by the purchaser of the equipment. Zerby asked it if would be possible to put something in the newsletter saying the City is seeking sealed bids. Brown noted there are issues of liability that have to be addressed because the equipment would be sold as an as is. Director DeJong noted that the 2017 Truth-in-Taxation notices had been mailed out and as of today only one property owner has contacted him. He explained that individual’s property tax increase for 2017 is primarily driven by a 12.7 percent increase in the value of their property. He told the individual that the City’s portion of that tax is only going up 2 percent for 2017. He encouraged the individual to come and discuss the appraised value of his property during the spring 2017 open book meeting. Councilmember Woodruff stated that if property owners have issues with the assessed value of their property he encouraged them to contact the assessor sooner versus later to start a dialogue. Mayor Zerby stated he had spoken with Acting City Engineer Koscielak during the November 14, 2016, Council meeting about keeping information about construction projects impacts on traffic up to date on the City’s website. The City’s Communications Coordinator had indicated to him that she was waiting on information. Engineer Hornby stated updates have been provided every week to staff until the point when a project was shutting down. He noted he will research that. Zerby stated the Communications Coordinator uses a traffic email alert and he has not received an alert since work along Smithtown Road was complete. Hornby clarified that every week an update is put out unless there is no work taking place. That is posted on the City’s website; the Communications Coordinator gets those. Those updates are e- blasted to those individuals who have signed up to receive them. Administrator Lerud noted that during a staff meeting there was discussion about notifications regarding impacts on traffic. He stated the City of Minnetonka is doing a study on how it notifies people. The Communications Coordinator will go to a meeting in January 2017 to learn about what types of notifications work best. Director Nielsen stated he has not received a count of how many deer were harvested during the last week of this year’s Deer Management Program. Prior to this last weekend 16 deer had been harvested. He explained that on November 25 he had received a call from the Metro Bowhunters Resource Base (MBRB) harvest coordinator who told him that they found a deer stand on one of the sites. That is a violation. He asked the coordinator to have someone that the stand down, bring it to the Public Works site and to notify the police. Mayor Zerby asked if the entrance sign for the Minnetonka Country Club (MCC) development will be lit up. Director Nielsen explained that there will be flood lights that shine up on to the sign. B. Mayor and City Council Councilmember Labadie noted the Kids Free Movie event is scheduled for December 3, 2016. The doors open at 8:45 A.M. and the movie begins at 9:30 A.M. Santa and Sparky will arrive by fire truck around CITY OF SHOREWOOD REGULAR COUNCIL MEETING MINUTES November 28, 2016 Page 9 of 9 th 11:00 A.M. The movie will be Minions. This is the 45 year the Excelsior Fire District Firefighters and th The Excelsior Dock Cinema have worked in partnership on the event. It is the 19 the ICA Food Shelf has been a beneficiary. It is the tenth year Excelsior Real Estate has sponsored the movie. Admission is a nonperishable food item. It is a very popular event so she encouraged people to get there early. Councilmember Siakel, as a member of the Personnel Committee, requested that a Council executive session be held either prior to or after Council’s December 12, 2016, regular meeting. Councilmember Woodruff stated as the other member of the Committee he questioned why there is a need for that. Siakel noted one person can request that an executive session be called. Mayor Zerby stated there is a meeting of the mayors of the cities in the Minnetonka School District hosted by the District’s Superintendent coming up. He explained that he has been in discussion with some parents of students who attend Minnetonka High School about improving pedestrian access around the School. He has involved Director Brown, Director Nielsen and Engineer Hornby through email threads. 12. ADJOURN Woodruff moved, Labadie seconded, Adjourning the City Council Regular Meeting of November 28, 2016, at 7:51 P.M. Motion passed 5/0. RESPECTFULLY SUBMITTED, Christine Freeman, Recorder ATTEST: Scott Zerby, Mayor Jean Panchyshyn, City Clerk #2C CITY OF SHOREWOOD 5755 COUNTRY CLUB ROAD CITY COUNCIL SPECIAL MEETING COUNCIL CHAMBERS MONDAY, DECEMBER 5, 2016 7:00 P.M. MINUTES 1. CONVENE CITY COUNCIL SPECIAL MEETING Mayor Zerby called the meeting to order at 7:00 P.M. A. Roll Call Present. Mayor Zerby; Councilmembers Labadie, Siakel, Sundberg, and Woodruff; Administrator Lerud; and Finance Director DeJong Absent: None B. Review Agenda Sundberg moved, Labadie seconded, approving the agenda as presented. Motion passed 5/0. 2. TRUTH-IN-TAXATION PUBLIC HEARING A. Staff Presentation Director DeJong stated at the end of this meeting Council will decide if it wants to adopt the proposed 2017 General Fund Budget. The Budget was discussed during four meetings that occurred in July and August. During its August 22 meeting Council adopted a preliminary Budget and a maximum tax levy increase of 2 percent. The maximum levy increase was certified with Hennepin County. During Council’s November 28 meeting Council increased the Budget by $120,000; an additional $35,000 for forestry services and $85,000 for consulting services for the Comprehensive (Comp) Plan updates. The Budget reflects the use of $192,785 in available General Fund reserves; reserves above the policy amount of 60 percent. He noted that staff recommends Council adopt the Budget as presented. He walked through the presentation for this hearing. The Truth-in-Taxation requirements are to present the City’s 2017 General Operating Budget, discuss the budget and 2017 tax levy changes, to take public comment and to adopt a balanced budget either this evening or on December 12. He noted Council will consider the 2017 Capital Improvement Program (CIP) and the 2017 Enterprise Fund Budgets during its meeting on December 12. The City’s portion of the property taxes pay for a number of services funded out of the General Fund. They include police and fire protection; street and park maintenance; recreation programs; building inspections; transfers to the Southshore Community Center (SSCC) and the capital funds; and, administration, finance, planning and zoning, elections, and other miscellaneous services. The assumptions used in preparing the 2017 General Fund Operating Budget are as follows. CITY OF SHOREWOOD SPECIAL MEETING MINUTES December 5, 2016 Page 2 of 6 It reflects a 2.0 percent tax levy increase over 2016 for General Fund operations – primarily  personnel costs. Staffing for the full-time city administrator position.  Other staffing levels remain the same from 2016.  A 2.5 percent salary increase is budgeted for to fund salary increases and benefit changes. That is  included in the Council contingency line item Transfers to the Street Improvement Fund and the Equipment Replacement Fund were each  increased by $15,000. The use of $192,785 in General Fund balance reserves is included to balance the Budget. That is  up $12,637 from 2016. The City’s General Fund budgeted expenditures total $6,041,312. Of those expenditures 36 percent is for public safety services (police and fire), 32 percent is for public works, 27 percent is for general government services, and 5 percent is for parks and recreation. The City’s General Fund budgeted revenues total $5,848,527. Of those revenues 86.7 percent is from property taxes, 4 percent is from transfers and miscellaneous revenues, 3.1 percent is from General Fund balance reserves, 2.9 percent is from licenses and permits, 1.6 percent is from intergovernmental, 1 percent is from fines and forfeitures, and 0.7 percent is from charges for services. The tax assessment and levy timeline for residential property taxes payable in 2017 has been as follows. Hennepin County collected data on property sales in the Shorewood area from October 1, 2014 – September 30, 2015. The market value was established on January 2, 2016. The Board of Review process to hear appeals on property values took place from April 2016 – June 2016. The County conducts that process at City Hall. The City certified its maximum tax levy increase of 2.0 percent for 2017 to Hennepin County in September 2016. The levy cannot be increased after that; it can be decreased. The County mailed out Truth-in-Taxation notices to property owners in November 2016. The Truth-in-Taxation hearing is being held this evening. The City certifies its tax levy to the County by the end of 2016. In 2017 final property tax bills will be mailed to property owners. The 2017 property tax distribution for a property in the City located within Minnetonka School District 276 is: 38.5 percent to the school district, 33.4 percent to Hennepin County, 21.4 percent to the City, and 6.6 percent to other smaller taxing jurisdictions. It is based on a home in the District valued at $350,000. The 2017 total City property tax percent change compared to the 2016 total tax for residential homestead properties in the City based on statistics from the Hennepin County Assessor’s Office is as follows. Approximately 57.0 percent of the parcels (1,387) will see a decrease. Approximately 21.11 percent of the parcels (514) will see an increase of $0 – $300. Approximately 13.6 percent of the parcels (332) will see an increase of $301 – $600. Approximately 5.3 percent of the parcels (130) will see an increase of $601 – $900. Approximately 3.0 percent of the parcels (71) will see an increase of more than $900. The residential properties in the City experienced an average increase in value of 3.5 percent. The average City tax impact is as follows. For a property valued at $250,000 in 2016 its value increased to $258,750 for 2017, and the tax increased by $10 (or 1.4 percent). For a property valued at $375,000 in 2016 its value increased to $388,125 for 2017, and the tax increased by $13 (or 1.2 percent). For a property valued at $500,000 in 2016 its value increased to $517,500 for 2017, and the tax increased by $26 (or 1.7 percent). For a property valued at $750,000 in 2016 its value increased to $776,250 for 2017, and the tax increased by $33 (or 1.4 percent). For a property valued at $1 million in 2016 its value increased to $1,035,000 for 2017, and the tax increased by $41 (or 1.2 percent). That will be different depending on the individual property value. The values are based on sales from up to almost two years ago. CITY OF SHOREWOOD SPECIAL MEETING MINUTES December 5, 2016 Page 3 of 6 There are three tax relief programs available through Hennepin County and the State. There is a homestead credit refund which is based on income and taxes paid. That refund is available if taxes exceed 2 percent of income for household with income up to $65,409 and 2.5 percent for those over $65,409 and below $105,500. There is a special property tax refund available if taxes increase more than 12 percent and the increase is over $100. There is a renter’s refund for those with household income of $57,169 or less. City staff can help individuals get in touch with the right people if they want to pursue any of those options. B. Public Hearing Mayor Zerby opened the Public Hearing and Public Testimony portion of the Public Hearing at 7:08 P.M. George Greenfield, 24715 Yellowstone Trail, asked if there are any line items in the budget for payments to Oppidan Investment Company. Director DeJong explained there is no line item for Oppidan in the General Fund Budget. The City will make payments to Oppidan but not for several years and the funds will come out of special fund that will be set up for that Tax Increment Financing District. JR Campuzano, 25860 Birch Bluff Road, stated that when he purchased his property it may have had a higher assessed value then it should have had and because of that his property tax went up significantly. His tax bill went up about 20 percent one time. He asked if there are any limits in place for how much a property’s tax can increase in one year. He noted that he and his family moved here from the State of Connecticut about five years ago. In Connecticut the tax was roughly 1 percent and here he thought it was more like 1.5 percent. The property taxes for a property abutting the lake are somewhat like an anchor around a property owner’s neck. The taxes do not create a desire to want to continue to live here. He noted he thought the schools here are good. Mr. Campuzano stated his purpose for coming to this hearing was to learn more about the process. Mayor Zerby noted the State of California passed a Proposition 13 years ago that took into consideration how long a person owned a property. He stated he does not think Minnesota has any type of protection to help mitigate big increases in property taxes. He commented that for property owners who purchased land that fronts the lake 40 years ago, for example, the value of their land is significantly more than the value of their home. Director DeJong explained that Minnesota has arguably the most complicated property tax system in the Country. In Minnesota tax capacity changes at $500,000 or more. All values up to $500,000 have a class rate of 1 percent. Values at or above $500,000 have a class rate of 1.25 percent. Minnesota is probably the only state where it can levy more than 100 percent of the value. Minnesota levies an increase in the property taxes. This year it is 2 percent, last year it was 2.5 percent and the year before that it was 1.5 percent. The rate is applied to all properties in the taxing districts; Shorewood is one of the taxing districts. A person’s property tax is determined by their property’s proportional share of that total value. The values of properties that front the lake tend to increase faster than others do and therefore the taxes on those properties will be in excess of what the City is increasing its property tax levy by. Mr. Campuzano questioned why the owner of a very high valued property pays more in taxes yet does not receive more value from the community. Director DeJong noted that system is not in place. The current system is based solely on property value and not on usage of community services. Councilmember Woodruff concurred that Minnesota has one of the most complicated, if not the most complicated, property tax system in the Country. He noted that Minnesota has consistently been in the top ten for highest tax in the Country as well. He explained that he and Director DeJong are members of the CITY OF SHOREWOOD SPECIAL MEETING MINUTES December 5, 2016 Page 4 of 6 Association of Metropolitan Cities committee that has to do with policy regarding revenue and taxation. One of the things that committee discusses each year is the property tax system. He encouraged Mr. Campuzano to speak with his legislative representatives about property taxes because they are the ones that would have to push changes to the system. They have made some minor tweaks to the system; unfortunately, the most recent change has made it worse. There has been some discussion about factoring in individual income data into determining how much property tax a property owner should pay. That has not advanced in the legislature for a number of years. Woodruff stated that Shorewood has been very conservative about how much it increases the City’s levy. There were at least three years when there was no increase; he thought that was in the 2008 – 2011 timeframe. That was not easy to do but councils did it. Continuing with that practice would result in cutting services. Councilmember Siakel stated her property is located by a street where there have been a lot of houses torn down and replaced with expensive houses. Property taxes for properties along that street have increased substantially over the last few years. She noted that two school referendums were passed last year and they increased property taxes significantly. She stated she thought the County increased its levy about 4.5 percent for 2016 and it will increase about the same for 2017. She noted that for three of her six years on Council there was no increase in the City’s tax levy adopted. She stated she thought Shorewood acts quite conservatively. She then stated that a lot of the services Shorewood residents get are local services. The City does a good job of delivering services and doing so for a good value. She encouraged Mr. Campuzano and other residents to talk to their legislative representatives about their concerns about property taxes. Mr. Campuzano questioned the need for a skating rink in two of the City’s parks. He asked if there is a cost limit on how many services and amenities the City provides. He noted he likes the community he lives in. He stated he thought the highest tax rate for Minnesota is quite high; he thought it was 9.85 percent. The property tax rate is also high. He then stated he does not think Minnesota was as transient as it could be (i.e.; it does not attract enough people to the area) because of its high tax rates. Mayor Zerby stated that for the $0.21 out of each tax dollar a person pays he hopes residents think they are getting a good value in Shorewood. He encouraged Mr. Campuzano to apply for a position on the City’s’ Park Commission or Planning Commission or to run for Council so he could learn more about how things work and to provide input. Councilmember Labadie explained that on the back of a property owner’s property tax notices and statements there is a 1-800 phone number a person can call to speak with someone at the Hennepin County Assessor’s Office about a property valuation. Michael Smerdon is the assessor assigned to Shorewood; he is assigned to other cities as well. Assessor Smerdon will meet with people. If a property owner still has a concern about a valuation after speaking to and meeting with Assessor Smerdon they can then invite him to come to their home. Based on her experience with him he will adjust the valuation if he made a mistake. She encouraged property owners who have concerns about their new property tax information for 2017 to call the 1-800 number when they receive their information. Mr. Campuzano thanked members of Council for their service. Mayor Zerby closed the Public Testimony portion of the Public Hearing at 7:23 P.M. Administrator Lerud stated that after the November 28 Council meeting he thought had been some confusion about the General Fund balance. He and Director DeJong put together a short PowerPoint presentation about how the required fund balance and available fund balance are calculated. CITY OF SHOREWOOD SPECIAL MEETING MINUTES December 5, 2016 Page 5 of 6 Director DeJong explained fund balance is the accumulated reserves that are created when revenues exceed expenditures in a given year. Each fund created by the City has a positive balance. Fund balance can be used in future years for purposes determined by City Council. It can be transferred to a different fund, it can be used for a one-time project or it can be transferred into the General Fund to reduce the tax levy. Mayor Zerby asked when there is an understanding of what the General Fund balance is for any particular year. Director DeJong explained that will be known after the audit is done for the previous year; it is normally presented to Council in the May/June timeframe. He has a rough idea of the balance before the audit is complete. Director DeJong walked through a presentation on the General Fund Balance Policy (the Policy) which was adopted by Shorewood in 2007. He explained the primary goal of the Policy is to provide sufficient funds for cash flow. For 2017 it is estimated that the City will collect slightly more than $5 million in taxes that it has levied. The City will get that in three payments during the year. Seventy percent of the first half of that is received the end of June and the other 30 percent is received in early July. The City receives the rest of the taxes paid by October 15 on December 1. The City will receive any property taxes paid after October 15 and by the end of the year at the end of January of the next year. Councilmember Sundberg stated the slide states that “The fund balance can vary between 55 and 60 percent and still be considered sufficient.” She stated she thought the City’s General Fund balance is healthy; not just sufficient. She considers the City’s Policy to be conservative. Director DeJong stated Shorewood’s Policy is more generous than what the Office of the State Auditor recommends. Director DeJong displayed a bar chart for 2013 – 2017 showing the budgeted expenditures and what 60 percent of those expenditures are. He then displayed a bar chart for 2013 – 2017 showing the year-end actual fund balance, 60 percent of the budgeted expenditures and transfers for the next year (which is how much reserves are required based on the Policy), and the available reserves above the 60 percent level. He displayed a slide showing the changes in the year-end fund balance for 2011 – 2015. It showed that year-end fund balance increased by $1,013,940 between December 31, 2011, and December 31, 2015. There were some one-time events (e.g.; the sale of the City-owned property) that helped contribute to that increase. The fund balance at the end of 2015 was $4,502,167. He displayed a bar chart for 2013 – 2017 showing the available fund balance, the budgeted use of fund balance, and the net available reserves. He displayed a slide showing the available reserve projection by year for 2013 – 2017. It showed the fund balance at the beginning of the year, 60 percent of the year’s expenditures and transfers, the available fund balance, the budgeted use of fund balance, and the net available reserves. Because the 2016 year-end fund balance is not known at this time, the 2015 actual year-end balance was used for the 2017 starting fund balance. The projected 2017 available reserves over 60 percent is $684,595. The slide noted that the available reserves grew by $685,573 over the last five years. Councilmember Woodruff stated that when the then Council adopted the Policy in 2007 it thought the 60 – 55 percent level of reserves was prudent because of the financial situation of the country. Council could consider if it wants to adjust the level based on how much risk it wants the City to take. He stated he thought the presentation reflected that councils had budgeted conservatively from both a revenue and expense perspective. Revenue has been under estimated and expenses under spent to some extent for a CITY OF SHOREWOOD SPECIAL MEETING MINUTES December 5, 2016 Page 6 of 6 number of years. As an outgoing member of Council he challenged future councils to prudently spend down the available reserves so the fund balance gets closer to 60 percent. Councilmember Siakel noted Council has a list of priorities to spend available reserves on. C. Council Deliberation/Decision to Reconvene Mayor Zerby noted that he was satisfied with the proposed 2017 General Fund Budget. Council has spent a great deal of time discussing it. He then noted that he thought using some of the available reserves to help fund the Budget was prudent. Mayor Zerby closed the Public Hearing at 7:43 P.M. 3. APPROVING THE 2017 GENERAL FUND BUDGET AND PROPERTY TAX LEVY COLLECTIBLE IN 2017 Councilmember Siakel noted Council could use additional available reserves to reduce the levy increase. Councilmember Sundberg asked what amount of additional reserves would be needed to reduce the levy increase to 1.5 percent. Director DeJong responded about $25,000. Councilmember Siakel stated she thought a 2 percent levy increase was relatively minimal. Mayor Zerby stated he did not support using even more reserves to reduce the levy increase. There are some things that may need to be done (e.g.; things related to the Southshore Center, and traffic calming solutions) that would be funded with available reserves. He thought a 2 percent levy increase was reasonable. Woodruff moved, Labadie seconded, Adopting RESOLUTION NO. 16-090, “A Resolution Adopting the 2017 General Fund Operating Budget of $6,041,312 for Operations and Approving the Property Tax Levy in the Amount of $5,180,996 Collectible in 2017.” Motion passed 5/0. 4. ADJOURN Labadie moved, Siakel seconded, Adjourning the City Council Special Meeting of December 5, 2016, at 7:46 P.M. Motion passed 5/0. RESPECTFULLY SUBMITTED, Christine Freeman, Recorder Scott Zerby, Mayor ATTEST: Jean Panchyshyn, City Clerk ® #3A MEETING TYPE City of Shorewood nib Meeting Item Regular Meeting ........................................................................................................................................................................................................................................................................................................................................................................................................................................................................................................... Title/Subject: Verified Claims Meeting Date: December 12, 2016 Prepared by: Michelle Nguyen, Senior Accountant Bruce DeJong, Finance Director Attachments: Claims lists Policy Consideration: Should the attached claims against the City of Shorewood be paid? Background: Claims for council authorization. 63157-63166 &ACH 45,964.20 63167-63208 &ACH 429,751.40 Total Claims $475,715.60 We have also included a payroll summary for the payroll period ending November 27,2016. Financial or Budget Considerations: These expenditures are reasonable and necessary to provide services to our residents and funds are budgeted and available for these purposes. Options: The City Council is may accept the staff recommendation to pay these claims or may reject any expenditure it deems not in the best interest of the city. Recommendation/Action Requested: Staff recommends approval of the claims list as presented. Next Steps and Timelines: Checks will be distributed following approval. Payroll G/L Distribution Report User: Mnguyen C!Batch: 00003.11.2016-PR-11282016 City Of CITY OF SHOREWOOD Shorewood Account Number Debit Amount Credit Amount Description FUND 101 General Fund 101-00-1010-0000 0.00 45,762.39 CASH AND INVESTMENTS 101-13-4101-0000 11,099.05 0.00 FULL-TIME REGULAR 101-13-4103-0000 327.00 0.00 PART-TIME 101-13-4121-0000 832.43 0.00 PERA CONTRIB-CITY SHARE 101-13-4122-0000 871.47 0.00 FICA CONTRIB-CITY SHARE 101-13-4151-0000 98.13 0.00 WORKERS COMPENSATION 101-15-4101-0000 4,394.34 0.00 FULL-TIME REGULAR 101-15-4121-0000 329.59 0.00 PERA CONTRIB-CITY SHARE 101-15-4122-0000 330.80 0.00 FICA CONTRIB-CITY SHARE 101-15-4151-0000 23.64 0.00 WORKERS COMPENSATION 101-18-4101-0000 5,290.10 0.00 FULL-TIME REGULAR 101-18-4121-0000 396.75 0.00 PERA CONTRIB-CITY SHARE 101-18-4122-0000 390.29 0.00 FICA CONTRIB-CITY SHARE 101-18-4151-0000 25.64 0.00 WORKERS COMPENSATION 101-24-4101-0000 3,965.46 0.00 FULL-TIME REGULAR 101-24-4121-0000 297.42 0.00 PERA CONTRIB-CITY SHARE 101-24-4122-0000 282.52 0.00 FICA CONTRIB-CITY SHARE 101-24-4151-0000 24.57 0.00 WORKERS COMPENSATION 101-32-4101-0000 7,592.14 0.00 FULL-TIME REGULAR 101-32-4102-0000 153.95 0.00 OVERTIME 101-32-4105-0000 295.50 0.00 STREET PAGER PAY 101-32-4121-0000 603.11 0.00 PERA CONTRIB-CITY SHARE 101-32-4122-0000 602.28 0.00 FICA CONTRIB-CITY SHARE 101-32-4151-0000 406.61 0.00 WORKERS COMPENSATION 101-33-4101-0000 2,156.55 0.00 FULL-TIME REGULAR 101-33-4102-0000 132.98 0.00 OVERTIME 101-33-4121-0000 171.74 0.00 PERA CONTRIB-CITY SHARE 101-33-4122-0000 170.86 0.00 FICA CONTRIB-CITY SHARE 101-33-4151-0000 98.36 0.00 WORKERS COMPENSATION 101-52-4101-0000 2,745.64 0.00 FULL-TIME REGULAR 101-52-4121-0000 205.92 0.00 PERA CONTRIB-CITY SHARE 101-52-4122-0000 204.84 0.00 FICA CONTRIB-CITY SHARE 101-52-4151-0000 134.10 0.00 WORKERS COMPENSATION 101-53-4101-0000 940.04 0.00 FULL-TIME REGULAR PR-G/L Distribution Report(11/28/2016- 1:58 PM) Page 1 Account Number Debit Amount Credit Amount Description 101-53-4121-0000 70.50 0.00 PERA CONTRIB-CITY SHARE 101-53-4122-0000 71.89 0.00 FICA CONTRIB-CITY SHARE 101-53-4151-0000 26.18 0.00 WORKERS COMPENSATION FUND Total: 45,762.39 45,762.39 FUND 201 Southshore Center 201-00-1010-0000 0.00 1,254.66 CASH AND INVESTMENTS 201-00-4101-0000 501.42 0.00 FULL-TIME REGULAR 201-00-4102-0000 127.80 0.00 OVERTIME 201-00-4103-0000 490.00 0.00 PART-TIME 201-00-4121-0000 37.61 0.00 PERA CONTRIB-CITY SHARE 201-00-4122-0000 75.86 0.00 FICA CONTRIB-CITY SHARE 201-00-4151-0000 21.97 0.00 WORKERS COMPENSATION FUND Total: 1,254.66 1,254.66 FUND 601 Water Utility 601-00-1010-0000 0.00 8,370.09 CASH AND INVESTMENTS 601-00-4101-0000 6,569.77 0.00 FULL-TIME REGULAR 601-00-4102-0000 265.95 0.00 OVERTIME 601-00-4105-0000 325.05 0.00 WATER PAGER PAY 601-00-4121-0000 537.06 0.00 PERA CONTRIB-CITY SHARE 601-00-4122-0000 533.39 0.00 FICA CONTRIB-CITY SHARE 601-00-4151-0000 138.87 0.00 WORKERS COMPENSATION FUND Total: 8,370.09 8,370.09 FUND 611 Sanitary Sewer Utility 611-00-1010-0000 0.00 6,865.69 CASH AND INVESTMENTS 611-00-4101-0000 5,152.51 0.00 FULL-TIME REGULAR 611-00-4102-0000 398.93 0.00 OVERTIME 611-00-4105-0000 325.05 0.00 SEWER PAGER PAY 611-00-4121-0000 440.72 0.00 PERA CONTRIB-CITY SHARE 611-00-4122-0000 437.97 0.00 FICA CONTRIB-CITY SHARE 611-00-4151-0000 110.51 0.00 WORKERS COMPENSATION FUND Total: 6,865.69 6,865.69 FUND 621 Recycling Utility 621-00-1010-0000 0.00 562.92 CASH AND INVESTMENTS 621-00-4101-0000 486.93 0.00 FULL-TIME REGULAR 621-00-4121-0000 36.51 0.00 PERA CONTRIB-CITY SHARE 621-00-4122-0000 37.26 0.00 FICA CONTRIB-CITY SHARE 621-00-4151-0000 2.22 0.00 WORKERS COMPENSATION PR-G/L Distribution Report(11/28/2016- 1:58 PM) Page 2 Account Number Debit Amount Credit Amount Description FUND Total: 562.92 562.92 FUND 631 Storm Water Utility 631-00-1010-0000 0.00 1,338.35 CASH AND INVESTMENTS 631-00-4101-0000 1,148.33 0.00 FULL-TIME REGULAR 631-00-4121-0000 86.13 0.00 PBRA CONTRIB-CITY SHARE 631-00-4122-0000 87.07 0.00 FICA CONTRIB-CITY SHARE 631-00-4151-0000 16.82 0.00 WORKERS COMPENSATION FUND Total: 1,338.35 1,338.35 FUND 700 Payroll Clearing Fund 700-00-1010-0000 64,154.10 0.00 CASH AND INVESTMENTS 700-00-2170-0000 0.00 35,783.12 GROSS PAYROLL CLEARING 700-00-2172-0000 0.00 5,421.37 FEDERAL WITHHOLDING PAYABLE 700-00-2173-0000 0.00 2,314.79 STATE WITHHOLDING PAYABLE 700-00-2174-0000 0.00 8,193.00 FICA/MEDICARE TAX PAYABLE 700-00-2175-0000 0.00 7,551.59 PERA WITHHOLDING PAYABLE 700-00-2176-0000 0.00 2,555.00 DEFERRED COMPENSATION 700-00-2177-0000 0.00 1,127.62 WORKERS COMPENSATION 700-00-2183-0000 0.00 1,207.61 HEALTH SAVINGS ACCOUNT FUND Total: 64,154.10 64,154.10 Report Total: 128,308.20 128,308.20 PR-G/L Distribution Report(11/28/2016- 1:58 PM) Page 3 Accounts Payable b � Check Detail User: Mnguyen Printed: 11/28/2016- 2:37PM w city of Shorewood Check Number Check Date Amount 5-FFTPS-FEDERAL W/H Line Item Account 0 11/28/2016 Inv 11282016 Line Item Date Line Item Description Line Item Account 11/28/2016 PR Batch 00003.11.2016 Federal Income Tax 700-00-2172-0000 5,421.37 11/28/2016 PR Batch 00003.11.2016 FICA Employee Portion 700-00-2174-0000 3,320.03 11/28/2016 PR Batch 00003.11.2016 FICA Employer Portion 700-00-2174-0000 3,320.03 11/28/2016 PR Batch 00003.11.2016 Medicare Employee Portion 700-00-2174-0000 776.47 11/28/2016 PR Batch 00003.11.2016 Medicare Employer Portion 700-00-2174-0000 776.47 Inv 11282016 Total 13,614.37 0 Total: 13,614.37 5-FFTPS-FEDERAL W/H Total: 13,614.37 2-ICMA RFTIRFMFNT TRUST-302131-457 Line Item Account 63157 11/28/2016 Inv 11282016 Line Item Date Line Item Description Line Item Account 11/28/2016 PR Batch 00003.11.2016 Deferred Comp Flat Amount 700-00-2176-0000 2,555.00 Inv 11282016 Total 2,555.00 63157 Total: 2,555.00 2-ICMA RFTIRFMFNT TRUST-302131-457 Total: 2,555.00 11-MINNESOTA DEPARTMENT OF REVENUE Line Item Account 0 11/28/2016 Inv 11282016 Line Item Date Line Item Description Line Item Account 11/28/2016 PR Batch 00003.11.2016 State Income Tax 700-00-2173-0000 2,314.79 Inv 11282016 Total 2,314.79 0 Total: 2,314.79 11-MINNESOTA DEPARTMENT OF REVENUE Total: 2,314.79 AP-Check Detail(11/28/2016- 2:37 PM) Page 1 Check Number Check Date Amount 665-OPIUM BANK Line Item Account 0 11/28/2016 Inv 11282016 Line Item Date Line Item Description Line Item Account 11/28/2016 PR Batch 00003.11.2016 HSA-OPTUM BANK 700-00-2183-0000 1,207.61 Inv 11282016 Total 1,207.61 0 Total: 1,207.61 665-OPIUM BANK Total: 1,207.61 9-PERA Line Item Account 0 11/28/2016 Inv 11282016 Line Item Date Line Item Description Line Item Account 11/28/2016 PR Batch 00003.11.2016 MN-PERA Deduction 700-00-2175-0000 3,506.10 11/28/2016 PR Batch 00003.11.2016 MN PERA Benefit Employer 700-00-2175-0000 4,045.49 Inv 11282016 Total 7,551.59 0 Total: 7,551.59 9-PERA Total: 7,551.59 366-STARK,BRUCE Line Item Account 63158 11/28/2016 Inv 2016-RubberBoot Line Item Date Line Item Description Line Item Account 11/28/2016 2016-Rubber Boots 101-32-4245-0000 100.00 Inv 2016-RubberBoot Total 100.00 Inv 2016-WarmBoots Line Item Date Line Item Description Line Item Account 11/28/2016 2016-Warm Boots 101-32-4245-0000 249.98 Inv 2016-WarmBoots Total 249.98 63158 Total: 349.98 366-STARK,BRUCE Total: 349.98 Total: 27,593.34 AP-Check Detail(11/28/2016- 2:37 PM) Page 2 Accounts Payable b � Check Detail User: Mnguyen Printed: 11/30/2016- 2:50PM w city of Shorewood Check Number Check Date Amount 783-HERRON,ROBERTA Line Item Account 63159 11/30/2016 Inv PamperMe-2016 Line Item Date Line Item Description Line Item Account 11/30/2016 Pamper Me Wine Tasting 101-53-4248-0000 200.00 Inv PamperMe-2016 Total 200.00 63159 Total: 200.00 783-HERRON,ROBERTA Total: 200.00 Total: 200.00 AP-Check Detail(11/30/2016- 2:50 PM) Page 1 Accounts Payable b � Check Detail User: Mnguyen Printed: 12/01/2016- 11:53AM w city of Shorewood Check Number Check Date Amount UB*00088-Almquist,Paul&Pearl Line Item Account 63160 12/01/2016 Inv Line Item Date Line Item Description Line Item Account 12/01/2016 Refund Check 601-00-2010-0000 7.50 12/01/2016 Refund Check 611-00-2010-0000 8.75 12/01/2016 Refund Check 621-00-2010-0000 3.75 12/01/2016 Refund Check 631-00-2010-0000 3.75 Inv Total 23.75 63160 Total: 23.75 UB*00088-Almquist,Paul&Pearl Total: 23.75 784-CEBULLA,TODD Line Item Account 63161 12/01/2016 Inv 19210W-P1 Line Item Date Line Item Description Line Item Account 12/01/2016 Escrow Refund-19210 Waterford Place(5530 Vine Hill Rd) 880-00-2200-0000 17,527.00 Inv 19210W-P1 Total 17,527.00 63161 Total: 17,527.00 784-CEBULLA,TODD Total: 17,527.00 UB*00089-Holte,Carol Line Item Account 63162 12/01/2016 Inv Line Item Date Line Item Description Line Item Account 12/01/2016 Refund Check 601-00-2010-0000 5.30 12/01/2016 Refund Check 611-00-2010-0000 6.17 12/01/2016 Refund Check 621-00-2010-0000 2.65 12/01/2016 Refund Check 631-00-2010-0000 2.65 Inv Total 16.77 63162 Total: 16.77 AP-Check Detail(1211/2016-11:53 AM) Page 1 Check Number Check Date Amount UB*00089-Holte,Carol Total: 16.77 UB*00090-Pendleton,Kimberly Line Item Account 63163 12/01/2016 Inv Line Item Date Line Item Description Line Item Account 12/01/2016 Refund Check 601-00-2010-0000 66.51 12/01/2016 Refund Check 611-00-2010-0000 77.61 12/01/2016 Refund Check 621-00-2010-0000 33.26 12/01/2016 Refund Check 631-00-2010-0000 33.25 Inv Total 210.63 63163 Total: 210.63 UB*00090-Pendleton,Kimberly Total: 210.63 UB*00093-Pluth,Jayne Line Item Account 63164 12/01/2016 Inv Line Item Date Line Item Description Line Item Account 12/01/2016 Refund Check 601-00-2010-0000 4.86 12/01/2016 Refund Check 601-00-2010-0000 209.39 Inv Total 214.25 63164 Total: 214.25 UB*00093-Pluth,Jayne Total: 214.25 UB*00091-Weldon,Scott Line Item Account 63165 12/01/2016 Inv Line Item Date Line Item Description Line Item Account 12/01/2016 Refund Check 611-00-2010-0000 90.27 12/01/2016 Refund Check 621-00-2010-0000 38.69 12/01/2016 Refund Check 631-00-2010-0000 38.69 Inv Total 167.65 63165 Total: 167.65 UB*00091-Weldon,Scott Total: 167.65 UB*00092-Wray,Catherine Line Item Account 63166 12/01/2016 AP-Check Detail(1211/2016-11:53 AM) Page 2 Check Number Check Date Amount Inv Line Item Date Line Item Description Line Item Account 12/01/2016 Refund Check 601-00-2010-0000 3.41 12/01/2016 Refund Check 611-00-2010-0000 3.99 12/01/2016 Refund Check 621-00-2010-0000 1.71 12/01/2016 Refund Check 631-00-2010-0000 1.70 Inv Total 10.81 63166 Total: 10.81 UB*00092-Wray,Catherine Total: 10.81 Total: 18,170.86 AP-Check Detail(1211/2016-11:53 AM) Page 3 a h h w w w d Lei O O O w � o O �,a v f/1 O O O O O O O O O O O O O O O O O °1 °1 CO CO CO CO v vu, cu� cu� U O O O u O u O u O O O O O O O O O O O A N N N N N N N N N N N N N N N N N d N N N N N N N N N N N N N N N N N a cl O O cl CO \° N 't 01 O O O o0 M 01 \o M \o x o N N \O \O kl� kr� 01 —4 1� �6 M O h h °1 °1 --i --i CO CO CO CO CO Vl h �--i M CO M N \° \O --i CO � CO ~ O � U : N 00 z z 6 o16 \ w o �. ocl o z z z a w wle o -c o U U d U o o Q ° u o u u O F U U w o w o 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N i.. •O 'n O 00 00 00 00 00 00 O O' O 01 01 01 01 x N '!l Vl Vl Vl Vl Vl Vl Vl Vl O N o 0 0 0 0 0 0 0 -o v v v v O c. N N N N N N N N N o U G' O G' \O \O \O \O \O \O G' M G' \O O 01 01 01 01 01 01 01 01 cl o oc oc oc oc oc c 0 0 0 0 0 . . . . . . . . . 0 O_ N bA a d U d i. W �d W i. d z U U d r.+ O A r.+ O O.i C, O � � N � N U p N � w O O Ni s. N � to to w 0 0 a x U N .L" U O U z 0 44 � 3B MEETING TYPE City of Shorewood Council Meeting Item Regular Meeting .......................................................................................................................................................................................................................................................................................................................................................................................................................................................................................................... Title/Subject: Public Works AFSCME Contract Tentative Settlement Meeting Date: December 12, 2016 Prepared by: Greg Lerud Reviewed by: Attachments: Tentative contract Background: We had three rounds of negotiations with the union bargaining committee for a two year agreement covering 2017 and 2018. The union unanimously approved the proposed contract. Duration: Effective January 1, 2017 through December 31, 2018 Wages: Wage scales adjusted upward by 2.5%on 1/1/2017 Wage scales adjusted upward by 3.0%on 1/1/2018 Insurance: For 2017—the employer will contribute an additional $30 per month for regular full-time employees For 2018—the employer and union agree to reopen negotiations on this item only Other: Reimburse up to$100 for a pair of prescription safety glasses. For 2017 only, Christmas Eve holiday is recognized on Friday, December 22. Vacation language changed to be consistent with non-union employees allowing payout of unused vacation at time of separation. Sick leave usage language to conform to State law. Severance pay—50%of payout shall go to the MSRS Post-Retirement Healthcare Savings Account. Option: 1. Approve contract. 2. Reject contract and renegotiate. Recommendation: Approve contract as negotiated. Mission Statement: The City of Shorewood is committed to providing residents quality public services, a healthy environment, a variety of attractive amenities, a sustainable tax base, and sound financial management through effective, efficient, and visionary leadership. Page 1 K MEETING TYPE City of Shorewood Council Meeting Item Regular Meeting .......................................................................................................................................................................................................................................................................................................................................................................................................................................................................................................... Title/Subject: Approve New Public Works Job Description &Authorizing Internal Posting Meeting Date: December 12, 2015 Prepared by: Greg Lerud Reviewed by: Larry Brown Attachments: Job Description Background: The retirement of Dan Randall in the public works department has created a void and a need for a position to provide supervision and assistance to the public works director. Randall was the Asst. Director/Working Foreman in the public works department, and we are proposing the creation of a Lead Supervisor position. Discussion about creation of this position has been ongoing for a couple of years. It is anticipated that this person can come from the present PW staff, and are recommending that we post it internally first. If we are not able to recommend hiring a present employee to fill this position, we will report back to you. The position that had been in place to date was known as the "Utility Lead"which had primary focus on the utility department operations and filling in as needed when the Public Works Director was absent. The position being proposed currently is not an entirely new position, but an expansion of duties of the Utility Lead position. This position will be responsible for additional tasks in providing many of the day- to-day organizational tasks and providing, in the field, direction to personnel. Duties will also include organizing and shoring up some of the databases and inspections that are now required for department recordkeeping. While an entire list of job duties has been included in the attached job description, primary responsibilities listed are: • Direct daily activities and make sound decisions in the absence of the Director of Public Works. • Supervise others in the carrying out of assignments for the operation and maintenance of the City's municipal utilities, streets, parks. • Responds to inquiries, concerns and complaints from the general public. • Update and maintain traffic sign inventory and coordinate timely sign replacements. • Direct tasks and activities to update and maintain sanitary sewer cleaning and maintenance activities. • Perform snow removal from streets, parking lots, ice rinks,trails, and sidewalks. • Maintains and repair City streets including blacktopping, and culverts repair. Mission Statement: The City of Shorewood is committed to providing residents quality public services, a healthy environment, a variety of attractive amenities, a sustainable tax base, and sound financial management through effective, efficient, and visionary leadership. Page 1 Financial or Budget Considerations: The city council has not yet adopted the job classification and pay scale presented at the November 14 workshop, but that system provides a framework for analyzing this proposed position. Using that scale,the closest related position is the LEO— Utilities Lead Supervisor, and that position has a total of 281 points. In evaluating this position,the total position points is 298, with a corresponding pay range of$28.04 to $35.05. Options: 1. Choose not to fill the position. 2. Hire for an existing position with the bargaining unit. 3. Approve this job description and authorizing posting to fill it. Recommendation/Action Requested: We recommend the creation of this position and authorizing the internal posting. We will set a closing date before January 1. Next Steps and Timelines: We will set a closing date before January 1. Review applications, interview applicants, and have recommendation to council by January 23, the second council meeting in January. crry O SHOR WOOD POSITION TITLE: Lead Supervisor DEPARTMENT: Public Works ACCOUNTABLE TO: Director of Public Works SUPERVISES: Light Equipment Operator, Shop Technician, Utilities Lead Supervisor, Utility Operator OBJECTIVE AND SCOPE Responsible for supervision of public works personnel who are responsible for the maintenance of city streets, operation, maintenance and repair of city utilities and related operations, including sanitary sewer, municipal water system, and storm sewer. ESSENTIAL FUNCTIONS OF THE POSITION 1. Must be able to direct daily activities and make sound decisions in the absence of the Director of Public Works. 2. Must be able to work cooperatively with others, even during emergencies and challenging situations, maintain a positive work attitude, and not negatively impact the morale of others. 3. Must maintain an attitude of respect and professionalism at all times. 3. Must be able to effectively supervise others in the carrying out of assignments for the operation and maintenance of the City's municipal utilities, streets,parks. 4 Responds to inquiries, concerns and complaints from the general public. 5. Insure routine safety inspections are completed for fire extinguishers, eyewash stations, automated external defibrillator, and confined space entry equipment for all city-owned buildings. 6. Update and maintain traffic sign inventory and coordinate timely sign replacements. November 2016 1 7. Direct tasks and activities to update and maintain sanitary sewer cleaning and maintenance activities. 8. Assist Public Works Director in planning and performing the MS4 storm water inspections. 9. Performs snow removal from streets,parking lots, ice rinks, trails, and sidewalks. 10. Maintains and repairs City streets including blacktopping, and culverts repair. 11. Works with the Public Works Director to insure confined space entries of sanitary sewer, municipal water systems, and other confined space areas are performed in a safe manner and in accordance with OSHA safety standards and City policies. 12. Attends safety meetings as required and follows necessary safety precautions in performance of duties. 13. Attends meetings and training as required. 14. Must be available for on-call duties on a rotating basis and for work on Saturdays, Sundays and holidays. Responds for on-call duty and emergency call-outs as required for snow removal and ice control operations, severe rainstorms and other emergency conditions. 15. Provides leadership in effort to ensure continuous focus on improvement to public works operations. 16. Assists Public Works Director in coordinating the Safety Programs, including mandated OSHA training and certification, equipment safety inspections, development and documentation of department standard operating procedures, and coordination of monthly department safety program meetings. 17. Acting Public Works Director in the Director's absence. 18. Performs other duties as apparent or assigned. SUPERVISORY RESPONSIBILITIES Carries out supervisory responsibilities in accordance with City policies and applicable laws. Responsibilities include assisting the Public Works Director in the coordination of work assignments for successful operation of the public works department. November 2016 2 EDUCATION and/or EXPERIENCE High School Diploma or general education degree (GED). Post-secondary degree, course work or additional education/training in the public works field preferred. Minimum of six years of experience in a municipal public works department or utility, or eight years of similar work in private sector, including three years supervisory experience; or equivalent combination of education and experience. Must have a proven track record of being able to work effectively with other employees, the ability to effectively supervise others, and to build positive work relationships. OTHER KNOWLEDGE, SKILLS AND ABILITIES • Ability to read and interpret documents such as safety rules, operating and maintenance instructions, as-built utility records, maps, and procedure manuals. • Ability to prepare routine reports and correspondence. • Ability to maintain records, complete daily logs, forms, and prepare reports. • Ability to follow written and oral instructions. • Ability to communicate effectively with City staff, elected officials, contractors and the general public. • Must be proficient in reading, writing and speaking English. • Ability to make arithmetic computations using whole numbers, fractions and decimals. • Knowledge of weights, measures and volumes and the ability to convert between various units. • Ability to operate light and heavy Department equipment. • Knowledge of proper use of tools, equipment used in utility maintenance and repair. • Knowledge of utility maintenance and repair. • General knowledge of computer operations and software programs. • Considerable knowledge of standard materials, equipment and safe work practices related to public works operations. • Working knowledge of utility maintenance and/or construction activities. • Knowledge of OSHA rules and regulations. • Knowledge of the "Right to Know—Safety Material Data Information". CERTIFICATES, LICENSES, REGISTRATIONS Valid Minnesota Class B Commercial Drivers License with Tanker and Hazardous Materials endorsement, or ability to become licensed within 8 months of employment with the City. Valid Minnesota Class SD Wastewater License, or become licensed within one year of employment with the City. Valid Minnesota Class D Water License, or become licensed within one year of employment with the City. November 2016 3 In compliance with the American With Disabilities Act the following represents the Physical and Environmental Demands: The position requires an equal amount of time spent standing, walking, and sitting. Lifting, pushing/pulling, or carrying objects weighing up to twenty five (25) pounds is regularly required, fifty (50) pounds is frequently required, and moving over one hundred (100) pounds occasionally required. Climbing, stooping, kneeling, crouching, crawling, twisting, and bending are sometimes required. Repetitive movements of the hands are sometimes required. Audio, visual, and verbal functions are essential functions to performing this position. Specific vision abilities required by this job include close vision, distance vision, peripheral vision, depth perception, and the ability to adjust focus. While performing the duties of this job, the employee frequently works in outdoor weather conditions. The employee occasionally works near moving mechanical parts; in high, precarious places; and is frequently exposed to fumes or airborne particles, toxic or caustic chemicals, and risk of electrical shock. The employee is occasionally exposed to wet and/or humid conditions, extreme heat; and vibration. November 2016 4 ® 3D MEETING TYPE Ity of Shorewood nl Meeting l Item Regular Meeting ........................................................................................................................................................................................................................................................................................................................................................................................................................................................................................................... Title/Subject: Authorize the Expenditure of Funds for Public Works Equipment—Cab and Chassis for Utility Service Truck Date: December 12, 2016 Prepared by: Larry Brown, Director of Public Works Reviewed by: Attachments 2016—2020 Capital Improvement Program Excerpt. Policy Consideration: None Background:This item (in tandem with the following City Council Agenda Item for a "Service body") considers the authorization for expenditure of funds for the purchase of a replacement utility service vehicle. Attachment 1 to this report is an excerpt of the Equipment Replacement Fund from the 2016— 2020 Capital Improvement Program (CIP). Within the scheduled purchases for 2016 includes a Utility Truck with Crane and Toolboxes. This vehicle is the primary response vehicle for servicing the sanitary sewer lift stations, watermains, watermain valves, flushing and mechanical issues throughout the City. This vehicle has a crane to extract pumps from the wastewater lift stations, an air compressor to service the lift station pumps and water plants, and an entire host of tools to assist as a service vehicle for all of the City facilities. The existing truck has reached the end of its service life. The department has had numerous mechanical failures that have taken this piece of equipment out of service, in addition to the fact that the rear frame of the existing vehicle is near failure, due to corrosion. Due to the shared primary responsibility between the sanitary sewer and water departments for this vehicle, it is noted that the CIP has this vehicle funded from the two separate departments. More specifically, the sanitary sewer fund has $60,000 earmarked for this equipment with the water fund also showing $40,000 scheduled for this purchase. Attachment 1 to this memorandum is an excerpt from the 2016 CIP. These types of vehicles are purchased in two steps. The first purchase is for the cab and chassis of the truck. The following City Council agenda item considers the rear service body, crane, compressor, tool boxes, lighting and accessories. Mission Statement: The City of Shorewood is committed to providing residents quality public services, a healthy environment, a variety of attractive amenities, a sustainable tax base, and sound financial management through effective, efficient, and visionary leadership. Page 1 Minnesota State Statute allows municipalities to take advantage of the State and County bidding processes that are of record, if the municipality is a member of the Cooperative Purchasing Venture (CPV). The City of Shorewood is a CPV member, and is allowed to take advantage of the discounts that the State and County agencies receive, due to the volume discounts. State contract pricing for this model cab and chassis is $50,703.00 for one 2017, F550 4x4 extended cab and chassis, as outlined in Attachment 2. Financial Considerations: Costs for this proposal have been programmed into the sanitary sewer and municipal water fund, as part of the 2016 CIP. Options: 1. Accept the proposal, as presented. 2. Reject the proposal and provide staff with alternative direction. Recommendation: Staff is recommending approval of a motion that authorizes the expenditure of funds for one cab and chassis, as outlined in the State Contract included as Attachment 1 to this memorandum. City of Shorewood, Minnesota Capital Improvement Program 2016 thru 2020 PROJECTS BY FUNDING SOURCE Source Project# Priority 2016 2017 2018 2019 2020 Total 402-Park Improvements Freeman Plaza P0100 5 5,000 5,000 Freeman North Playground Equipment P0102 4 55,000 55,000 Freeman Parking Lot wl MCWD P0103 5 50,000 50,000 Freeman Ball Field Lights P0104 5 75,000 75,000 Cathcart Park-Resurface Tennis/Basketball Courts P0200 1 9,000 9,000 Cathcart Park Hockey Boards P0201 3 40,000 40,000 Cathcart Park Tot Lot P0202 5 50,000 50,000 Cathcart Parking Lot P0203 5 100,000 100,000 Badger Park-Phase 1 P0300 3 577,000 577,000 Badger Park Tennis Courts P0301 2 9,500 9,500 Badger Park-Phase 2 P0302 n1a 747,000 747,000 Manor Park-Shelter Outside Floor&Stoops P0402 1 5,400 5,400 Silverwood Park-Resurface 112 court P0500 2 2,500 2,500 Silverwood Park Equipment P0501 3 60,000 60,000 Silverwood Park Swing Set P0502 3 14,000 14,000 Skate Park Rehab P0600 3 73,000 73,000 Skate Park Picnic Shelter P0601 5 15,000 15,000 402-Park Improvements Total 690,000 852,000 206,000 19,000 120,400 1,887,400 F403-Equipment Replacement Fund r UTV-replace unit 34 034 5 20,000 20,000 Trailer 18'replace unit 59 059 5 15,000 15,000 Sand Pro 3000-replace Unit 64 064 2 13,000 13,000 Trailer 12'replace unit 69 069 5 5,000 5,000 Groundsmaster Mower-Toro 328D-replace unit 75 075 2 31,000 31,000 Pickup 44-Replace Unit 78 078 3 38,000 38,000 Pickup 350 44-replace unit 91 091 5 50,000 50,000 Groundsmaster Mower replace unit 93 093 5 28,000 28,000 Boom Truck 100 5 84,000 84,000 Chipper 101 5 45,000 45,000 Wash Bay 104 1 18,000 18,000 Cab&Blower for mower-replace A04 A04 4 21,000 21,000 Engine/Transmission Analysis Station A09 We 4,500 41500 Replace Sander A10 3 14,000 14,000 South Shore Community Center PF-11-01 nta 2,500 43,000 41,000 86,500 Public Works Roof PF-12-01 nla 81,000 81,000 Building Permit Software T-16-01 2 20,000 20,000 LED Lighting Upgrade T-16-02 2 38,000 38,000 800 Mhz Radio Replacement T-19-01 2 9,000 9,000 18,000 Computer Upgrades T-99-99 1 10,000 10,000 10,000 10,000 10,000 50,000 Thursday,December 10,2015 ATTACHMENT 1 -1 - Source Project# Priority 2016 2017 2018 2019 2020 Total 403-Equipment Replacement Fund Total 270,500 102,000 149,500 53,000 105,000 680,000 �04-Street Reconstruction Fund Garden Road LR-16-02 5 42,000 42,000 Gillette Curve LR-16-03 5 35,000 35,000 McKinley Place N&S LR-16-05 5 65,000 65,000 Shady Hills Circle LR-16-06 5 51,000 51,000 Lake Linden Dr-Guardrail LR-16-08 5 30,000 30,000 Excelsior Blvd-Guardrail LR-16-09 5 15,000 15,000 Echo Road LR-17-01 5 71,000 71,000 Howards Point Road LR-17-02 5 180,000 180,000 Kathleen Court LR-17-03 5 22,000 22,000 Oak Ridge Circle LR-17-04 5 29,000 29,000 Riviera Lane LR-17-05 5 371,000 371,000 Shorewood Lane LP-17-06 5 455,000 455,000 Mann Lane LP-18-01 5 444,000 444,000 Maple Street LR-18-02 5 100,000 100,000 Bayswater Road LP-19-01 5 100,000 100,000 Boulder Circle LR-19-02 5 49,000 49,000 Christmas Lane W LR-19-03 5 32,000 32,000 Lilac Lane LR-19-05 5 46,000 46,000 Strawberry Lane&W 62nd LR-19-06 5 1,140,000 1,140,000 Vine Street LR-19-07 5 33,000 33,000 Eureka Road N LR-19-08 5 260,000 260,000 Birch Bluff Road LR-20-01 5 107,000 107,000 Excelsior Blvd LP-20-02 5 19,000 19,000 Seamans Drive LR-20-03 5 629,000 629,000 West Lane LP-20-04 5 32,000 32,000 Street Sign Replacement LR-99-001 2 7,200 7,500 7,800 8,100 8,400 39,000 Maintenance-Bituminous Sealcoating LR-99-100 1 245,000 184,000 238,000 305,000 274,000 1,246,000 404-Street Reconstruction Fund Total 490,200 2,459,500 789,800 833,100 1,069,400 5,642,000 405-MSA Road Reconstruction Fund Vine Hill Road Intersection Improvements MSA-1701 n1a 200,000 200,000 405-MSA Road Reconstruction Fund 200,000 200,000 Total 406-Trails Galpin Lake Rd Sidewalk T003 1 1,330,000 1,330,000 Strawberry Lane&W 62nd T007 1 852,000 852,000 406-Trails Total 852,000 1,330,000 2,182,000 601 -Water Fund Air Compressor-Replace unit 38 038 3 18,000 18,000 Dump Truck-replace unit 72 072 5 85,000 85,000 nmoin� Utility Truck wtcrane&toolbox replace unit 76 076 5 40,000 40,000 Utility Vehicle-replace unit 77 077 4 27,000 27,000 RadiollSP Communications System W-10-01 1 80,000 80,000 Boulder Bridge Well Controls W-12-03 5 175,000 175,000 Thursday,December 10,2015 -2- i I Source Prgieet# Priority 2016 2017 2018 2019 2020 Total i SE Well-Exterior&Compressor W-16-01 3 45,000 45,000 Boulder Bridge Building W-17-01 3 85,000 85,000 Well House Water Meters W-17-02 3 12,000 6,000 12,000 6,000 36,000 SE Well Dehumidifier W-17-03 3 5,000 5,000 Boulder Bridge Well Motor W-18-01 3 45,000 45,000 E Boulder Bridge Deumidifier W-19-01 3 5,000 5,000 601 -Water Fund Total 367,000 187,000 51,000 17,000 24,000 646,000 j E 611 -Sanitary Sewer Fund Sewer Jetter-replace unit 60 060 5 140,000 140,000 Dump Truck-replace unit 72 072 5 85,000 85,000 w. Utility Truck w/crane&toolbox replace unit 76 076 5 60,000 60,000 f Lift Station 11 Rehab-20465 Radisson Rd, SS-13-01 3 190,000 190,000 Lift Station 10 Rehab-4773 Lakeway Terrace SS-15-01 3 90,000 90,000 Lift Station 20 Rehab-26550 Noble Road SS-16-01 3 135,000 135,000 Lift Station 7 Rehab-5600 Woodside Road SS-16-02 3 120,000 120,000 Lift Station 18 Rehab-4996 Shady Island Point SS-17-01 3 10,000 10,000 Infiltration and Inflow Reduction SS-99-05 1 70,000 70,000 70,000 70,000 70,000 350,000 611 -Sanitary Sewer Fund Total 460,000 255,000 190,000 205,000 70,000 1,180,000 i 1631 -Stormwater Management Fund 4"pump replace unit 50 050 5 45,000 45,000 I Galpin Lake Rd Trail Stormwater SS003 1 230,000 230,000 Rivera Lane STM-17-01 4 87,000 87,000 Shorewood Lane S TM-17-02 4 99,000 99,000 Mann Lane STM-18-01 4 105,000 105,000 Maple St STM-18-02 4 24,000 24,000 Eureka Road N STM-19-01 4 452,000 452,000 Strawberry&W 62nd STM-19-02 4 283,000 283,000 Seamans Drive STM-20-01 4 148,000 148,000 631 -Stormwater Management Fund 186,000 359,000 735,000 193,000 1,473,000 Total GRAND TOTAL 2,277,700 5,093,500 3,075,300 1,862,100 1,581,800 13,890,400 Thursday,December 10,2015 -3- PARK CAPITAL IMPROVEMENT FUND Fund: 402- Park Capital Outlay Requested Actual Actual Actual Budget Budget REVENUES 2012 2013 2014 2015 2016 Beginning Fund Balance 150,958 168,427 213,366 536,660 540,460 Park Dedication Fees 10,000 55,000 20,000 - - Interest Earnings* 1,273 966 7,172 2,800 2,800 Contributions/donations - - - - - Concession Sales - - Grants - Miscellaneous revenue - - - - - Transfers in 42,000 42,000 325,414 42,000 42,000 TOTAL REVENUES 53,273 97,966 352,586 44,800 44,800 EXPENDITURES OTHER SERVICES Contractrual Services - - - - - Miscelianeous Charges - TOTAL OTHER SERVICES - - - - - CAPITAL OUTLAY Other Improvements 35,804 53,027 29,292 41,000 690,000 TOTAL CAPITAL OUTLAY 35,804 53,027 29,292 41,000 690,000 TOTAL EXPENDITURES 35,804 53,027 29,292 41,000 690,000 Revenue-Over/(under) 17,469 44,939 323,294 3,800 (645,200) Ending Fund Balance 168,427 213,366 536,660 540,460 (104,740) -4- EQUIPMENT REPLACEMENT FUND Fund: 403 - Equipment Replacement Requested Actual Actual Actual Budget Budget REVENUES 2012 2013 2014 2015 2016 Beginning Fund Balance 521,172 613,693 413,263 264,324 98,924 Interest Earnings 5,919 6,809 5,495 2,100 2,100 Miscellaneous Income 1,933 - - - - Sale of Old Equipment - - - - - Transfers in 312,416 58,500 75,000 90,000 105,000 TOTAL REVENUES 320,268 65,309 80,495 92,100 107,100 EXPENDITURES OTHER SERVICES Contractual Services 5,133 - - Bank Charges TOTAL OTHER SERVICES 5,133 - - - - CAPITAL OUTLAY Machinery and Equipment 222,614 265,739 229,434 257,500 270,500 TOTAL CAPITAL OUTLAY 222,614 265,739 229,434 257,500 270,500 TOTAL EXPENDITURES 227,747 265,739 229,434 257,500 270,500 Revenue over/(under) 92,521 (200,430) (148,939) (165,400) (163,400) Ending Fund Balance 613,693 413,263 264,324 98,924 (64,476) -5- Midway Ford Commercial Travis Swanson Fleet and Government Sales nnn 2777 N. Snelling Ave. Roseville MN 55113 C-117 Contract#109281 2017 F-550 4x4 Super Cab-60" CA DRW XL X5H Automatic Transmission 40/20/40 Vinyl Front Seat Front Tow Hooks Dual Front Air Bags 4-Wheel ABS Brakes Rubber Floor Covering AM/FM Radio Air Conditioning Black Bumper Tilt Wheel 225/7009.5 All Season Tires Options Code Price Select 6.7L Diesel 99T $7,809 x Limited Slip 4.88 Axle X8L $332 x 19,500 GVWR 68M $1,063 x Rear Traction Tires THb $175 x Spare Wheel &Tire 512 $323 x Brake Controller 52B $249 x Power Equipment Group 90L $1,035 x Exterior Colors Code Select Snow Plow Prep 473 $73 x Blue Jeans Metallic N1 Back-up Alarm 76C $128 x Race Red PQ Running Boards 18B $341 x Caribou Metallic LQ High Capacity Trailer Tow 535 $993 x Shadow Black G1 Shift on Fly 4x4 213 $171 x Magnetic Metallic J7 PTO 62R $257 x Ingot Silver Metallic UX Upfitter Interface Module 18A $272 x Oxford White Z1 28 Gallon Mid Ship Tank 65M $115 x Utility Lighting System 63A $148 x Rear View Camera Prep 872 $381 x Extended Service Contracts Cost Select Rear Defrost 4313/924 $83 x 7 year/75,000 mile $2,570 110V Outlet 43C $69 x PremiumCare Warranty Amber Strobes 91S $603 x (Bumper to Bumper) XL Group 17F $203 x Daytime Running Lights 942 $41 x Option Total $14,864 You must have a active FIN code to participate in this Base Price Totals purchase contract : FIN code # $35,819.00 Purchase Order required prior to order placement Options Price Totals $14,864.00 Extended Warranty PO# Transit Impr Excise Tax $20.00 Tax Exempt Lic City of Shorewood 6.5% Sales Tax Name of Organization Document fee Sub total per vehicle $50,703.00 Number of Vehicles 1 Address Grand Total for all units $50,703.00 City, State, Zip Larry Brown / (952)960-7913 Acceptance Signature Contact Person/ Phone# Ibrown(o)shorewoodgw.com Print Name and Title Date Contact's e-mail address and fax# ATTACHMENT 2 ® 3E MEETING TYPE City of Shorewood Council Meeting Item Regular Meeting Title/Subject: Authorize the Expenditure of Funds for Public Works Equipment— Utility Service Truck Body, Crane, Compressor, Lighting and Accessories Date: December 12, 2016 Prepared by: Larry Brown, Director of Public Works Reviewed by: Attachments 2016—2020 Capital Improvement Program Excerpt, Proposal Truck Utilities Policy Consideration: None Background:This item follows the purchase of a cab and chassis and is consideration of Authorization for Expenditure of Funds for the purchase of a utility service truck body, crane, compressor, lighting and accessories. A generic service body, typical for this type of vehicle, is shown in Attachment 1. The items under consideration for this agenda item are not part of a State Contract. Therefore, proposals were solicited from various vendors. Two proposal were received for the service body, with the base unit quoted amounts, shown below: Vendor Amount Base quote Towmaster Truck Equipment $54,723.00 Base Bid Truck Utilities $54,185.40 "Added equipment outside of base quote $12,404.00 Total Bid Truck Utilities $66,589.40 Table 1 Proposals were solicited for a "base unit" to narrow down an appropriate vendor. With the apparent low quote originating from the firm of Truck Utilities, staff returned to the successful vendor and requested additional information on added equipment. Direct negotiation is allowed under Minnesota State Statue, providing two quotes are obtained for a base bid. Staff is of the belief that the quality of the service body from Truck Utilities is such that this unit will likely be transferred to a future cab and chassis, due to the way that this unit is constructed. This has been the case with several contractors that staff discussed this type of service body with. Mission Statement: The City of Shorewood is committed to providing residents quality public services, a healthy environment, a variety of attractive amenities, a sustainable tax base, and sound financial management through effective, efficient, and visionary leadership. Page 1 The items included in this proposal include: • 9' Service body complete with two tool chests and compartments. • 4000 lbs. Extendable crane with pendent operation and work mounted lights • Hydraulic air compressor with 50' hose reel • LED work light package • Gate valve key racks and storage • Strobe warning light package • Hydraulic outrigger stabilization system • Modified suspension system to the cab and chassis • Back-rack rear cab cage for load/operator protection Financial Considerations: As mentioned in the previous City Council Agenda Item, costs for this proposal have been programmed into the Equipment Replacement Fund, as part of the 2016 CIP as a combined contribution from the sanitary sewer fund and municipal water fund. In total, the amount budgeted equates to $100,000 for the cab and chassis and service body. With the quotes received above the total amount for the entire unit equates to $117,292.40, assuming the total quote from Truck Utilities. Staff has reviewed the quotes and equipment, and believes that the unit specified, is the unit that is needed to efficiently maintain the sanitary sewer and water systems, despite the fact that the amounts quoted are above what was budgeted. Staff also believes that the unit quoted provides a better value for the City, over the long haul. It appears that the enterprise funds have adequate reserves to cover the additional amounts. Options: 1. Award the quote to Truck Utilities 2. Reject the quotes 3. Provide staff with alternative direction Recommendation: Staff is recommending award of the quote to Truck Utilities for furnishing and installation of one service body, crane, air compressor, and accessories as outlined in the attached proposal. h W Generic Example of Service Body, Compressor, and Crane. ATTACHMENT 1 Truck Utilities Inc. Equipment Proposal TRUCK UTI Lrrll$ 2370 English St. Date: 12/8/2016 St.Paul,MN 55109 Quote#:City of Shorewood DOM 11015 All Hydraulic Phone:651-484-3305 Version:4 Fax:651-484-0076 Pagel of 4 Prepared For:City of Shorewood Cust. #: Larry Brown 5755 Country Club Road Shorewood, NIN 55331 UNITED STATES Date Prepared: 12/9/2016 Phone:952-960-7913 Fax: ATTN:Larry Brown BY: Paul Warner Price Book 2016 -Version A Body to be mounted on a 60"CA cab chassis Dominator I: 9' heavy duty galvannealed steel crane body with standard right rear crane mount, 25" deep workbench bumper with through compartment, 5/16" plate work surface and recess for 2" hitch receiver tube and pintle hitch mounting plate rated at 2000 lb vertical tongue weight and 16,000 lb gross trailer weight.7 blade trailer light plug receptacle.44" H x 22"D compartments,24"above cargo bed,RF compartment raised to 60". 40" above cargo bed constructed of 10 and 12 ga. material. Body offers 110.27 cubic feet of storage. Inverted A frame torsion box understructure. 14 ga. galvannealed,hemmed,seamless single panel steel doors, stainless steel hinges, pneumatic gas spring door retainers and cast steel black powder coated 3-point latches. Cargo bed is 50"W constructed of 1/8" deck plate and has four(4) recessed tie downs. Fully integrated and sealed electrical system incorporating an automotive style harness system with power and function distribution box. Includes LED DOT stop, tail, turn, marker and backup body lights and backup alarm. Exterior primed, interior of compartments painted with IMT compartment coat and understructure undercoated. Molded rubber fender extensions and mudflaps.Crane body rating of 52,000 ft-lb designed for installation on 60" CA 14,000-19,500 lb GVW Chassis.Optional welder deck can be added utilizing 84"CA chassis QTY PART# DESCRIPTION Body Configuration 1 51724040 Dom 1 9'RF Raised Body-RF 1 st raised to 60"H Rock Guards 1 51724684 Alum rock guards D1 DSC20 Rrsd or Lrsd Leaf Spring 1 30009850 Leaf spring Electrical Harness 1 ElectricalHarness Electrical harness Tailgate 1 51718801 Tailgate-loin Master Locks 1 51719926 Master lock system-9ft R rsd body Stabilizers 1 31724013 Stabilizer kit-D 1 power out power down Light kit options CONDTHON&The prices and terms on this quotation are not subject to verbal changes or other agreements unless approved in writing by the Home Office of the Seller.All quotations and agreements are contingent upon strikes,accidents,fires,availability of materials and all other causes beyond our control.Prices are based on costs and conditions existing on date of quotation and are subject to change by the Seller before final acceptance.Quote valid for 30 days.All quotations are contingent upon compliance with all of the export laws and regulations of the United States.H any such law or regulation cannot be complied with,or if this equipment is prohibited from being exported at any time by the United States Government,this quotation and/or subsequent order(s)received or accepted become null and void. ATTACHMENT 2 Truck Utilities Inc. Equipment Proposal TRUCoK UTI Lrrl IS 2370 English St. Date: 12/8/2016 St.Paul,MN 55109 Quote#:City of Shorewood DOM 11015 All Hydraulic Phone:651-484-3305 Version:4 Fax:651-484-0076 Page 2 of 4 1 51726713 Light Kit-LED Compartment(7)Lights-(1)per Vertical and(2)per Horizontal 1 51726761 Light Kit-LED Work Light-Qty(2)Lights(Rear Body Mount) 1 51726762 Light Kit-LED Work Light-Qty(2)Lights(Front Body Mount) 1 51726756 Light Kit-LED Work Light-Qty(2)Lights(Mid Body Mount) LV1 Compartment Options 1 70733779 Drawers painted 26W 2-5/1-7/5-3 41H LH Compartment Options 1 70733770 Drawers painted 39W 5-3"42.62x22H LR Compartment Options 2 51723718 Adj. shelf 19"x 25.50" RH Compartment Options 1 51723742 Adj. shelf 19"x 47.00" Headache rack 1 51724471 Headache rack RRsd-LStd or LRsd-RStd Safety Equipment 1 92091010 ICC kit&fire extinguisher Air Compressor 1 CAS40P Compressor-CAS40P 1 51727020 Air tank kit-20G top sidepack mount 9ft DOM 1 51714805 1/2"moisture separator/regulator/oiler 1 51725644 Hose reel kit- .50 X 50ft w poly guide Boom support 1 51718847 Boom supt-adj 1014/2015 a-bolt Hyd installation kit 1 93724427 Instl kit-CRN&CAS40P wo WD D1 Reservoir 1 91723963 Hydraulic reservoir PTOs pumps valves 1 FDWP Ford diesel PTO w pump 1 73540597 VALUE-ASSY-P.FLOW CNTRL 10 GPM 3000 PSI Speed control 1 77441655 ETC MY2017 FORD SD SPD CTRL Application options 1 CAMERA Backup camera Body paint CONDTHON&The prices and terms on this quotation are not subject to verbal changes or other agreements unless approved in writing by the Home Office of the Seller.All quotations and agreements are contingent upon strikes,accidents,fires,availability of materials and all other causes beyond our control.Prices are based on costs and conditions existing on date of quotation and are subject to change by the Seller before final acceptance.Quote valid for 30 days.All quotations are contingent upon compliance with all of the export laws and regulations of the United States.H any such law or regulation cannot be complied with,or if this equipment is prohibited from being exported at any time by the United States Government,this quotation and/or subsequent order(s)received or accepted become null and void. Truck Utilities Inc. Equipment Proposal TRUCoK UTI Lrrl IS 2370 English St. Date: 12/8/2016 St.Paul,MN 55109 Quote#:City of Shorewood DOM 11015 All Hydraulic Phone:651-484-3305 Version:4 Fax:651-484-0076 Page 3 of 4 1 DOMPAINTA Paint-class A Dom Crane 1 Crane Crane Axalta Elite Shield Bed Liner 1 AXLBF9 Axalta ES loadbed floor 9ft 1 AXLBWDI9RRS Axalta ES loadbed walls D1-DSC 9 RRsd D 1 AXBH Axalta ES front bulkhead in loadbed Body Option Option Value Unit Shipping State Complete Install Chassis type Ford F550 Diesel/Auto Trans 19500 GV W Is the chassis model year 2017 Yes,chassis model year is 2017 Chassis ETA Date 12/30/2016 4x2 or 4x4 Transmission 4x4 Crane/Compressor Hydraulic crane and compressor Backup Camera Yes,chassis has a backup camera. Install Camera Install camera Which crane do you require? 1015 Boom Length 15 ft Crane mounting holes 1015 Lube skid tie down rings No Class A paint colors White Paint Code Ford White Model 1015 telescopic hydraulic crane rated at 10,500 ft-lb(1.46 tm)and features a 15' (4.57 m)horizontal reach, 400 degree rotation, double-acting cylinders with integral holding and/or counterbalance valves, four-spool remote control valve, optional radio remote control, return filters, crane hook, snatch block, anti-two-block device,hydraulic overload shutdown system,decals,and installation kit. QTY PART# DESCRIPTION Crane 1 1 H 1 M 1015 1015 extension-one hydraulic/one manual Controls CONDTHON&The prices and terms on this quotation are not subject to verbal changes or other agreements unless approved in writing by the Home Office of the Seller.All quotations and agreements are contingent upon strikes,accidents,fires,availability of materials and all other causes beyond our control.Prices are based on costs and conditions existing on date of quotation and are subject to change by the Seller before final acceptance.Quote valid for 30 days.All quotations are contingent upon compliance with all of the export laws and regulations of the United States.H any such law or regulation cannot be complied with,or if this equipment is prohibited from being exported at any time by the United States Government,this quotation and/or subsequent order(s)received or accepted become null and void. Truck Utilities Inc. Equipment Proposal TRUCoK UTI Lrrl IS 2370 English St. Date: 12/8/2016 St.Paul,MN 55109 Quote#:City of Shorewood DOM 11015 All Hydraulic Phone:651-484-3305 Version:4 Fax:651-484-0076 Page 4 of 4 1 TCRADIO Proportional radio remote 1015/2020 Adapter Harness 1 77441463 Harness- SII crane to SIII DOM jumper Crane Option Option Value Do you require paint other than IMT white N0006? No Boom Length 15 ft QTY PART# DESCRIPTION 1 Rear Bumper DSC20 rear step style bumper in lieu of tailshelf style bumper 1 Boom Lights LED boom tip lights 1 Tail Light Boxes Additional tail light hole in tail light boxes to accommodate amber strobes 1 Rear Strobe 4"round LED flush mount strobe in rear tail light boxes,pair 1 Upper Strobe Whelen R1PPA amber strobe mounted on headache rack center 1 Hitch Receiver style hitch with RV trailer socket 1 Camera Relocate chassis back-up camera 1 Inverter 1800 watt pure sine wave inverter, 15 amp continuous power. Mount location to be determined 1 Key Rack Aluminu goal post style key rack with dividers,mounted on top of left side pack.Keys need to clear chassis cab roof Subtotals: PRICE: $ 66,589.40 Delivered to custmer location. Price does not include any applicable tax. SIGNATURE: CUSTOMER SIGNATURE: DATE: CONDTHON&The prices and terms on this quotation are not subject to verbal changes or other agreements unless approved in writing by the Home Office of the Seller.All quotations and agreements are contingent upon strikes,accidents,fires,availability of materials and all other causes beyond our control.Prices are based on costs and conditions existing on date of quotation and are subject to change by the Seller before final acceptance.Quote valid for 30 days.All quotations are contingent upon compliance with all of the export laws and regulations of the United States.H any such law or regulation cannot be complied with,or if this equipment is prohibited from being exported at any time by the United States Government,this quotation and/or subsequent order(s)received or accepted become null and void. #3F MEETING TYPE City of Shorewood Council Meeting Item Regular Meeting .......................................................................................................................................................................................................................................................................................................................................................................................................................................................................................................... Title/Subject: Star Lane and Star Circle Utility and Street Improvements,City Project 14-11—Change Order No.3 Additional Work Request Meeting Date: December 12, 2016 Prepared by: Paul Hornby Reviewed by: Attachments: Change Order No. 3, Resolution Approving Change Order No. 3. Background:The City Council awarded the construction contract for Star Lane and Star Circle Utility and Street Improvements Project(City Project 14-11), on May 26, 2015. The contractor has completed construction operations. During construction of the project, additional grading was necessary to ensure proper drainage within the newly installed ditch on the north side of Smithtown Road west of Star Lane. Valley Paving, Inc. has signed the change order detailing the additional work items after negotiation with staff. The change order has been reviewed by staff with regard to the work scope and additional costs, and recommends approval. Financial or Budget Considerations: The project construction contract as bid was awarded by the Council in the amount of$665,018.13. Change Order No. 1 and Change Order No. 2 were previously approved by Council increasing the contract amount to$672,352.97 and delaying the contract completion date to August 31, 2016. The total for Change Order 3 is$1,925.00 increasing the contract amount to $674,277.97. Work orders to date have increased the contract approximately 13.9%. Recommendation/Action Requested: Staff recommends approval of the enclosed Resolution 16- Approving Change Order No. 3. Payment for this change order is included in Payment Voucher 5 and Final on the verified claims for this Council meeting agenda. Mission Statement: The City of Shorewood is committed to providing residents quality public services, a healthy environment, a variety of attractive amenities, a sustainable tax base, and sound financial management through effective, efficient, and visionary leadership. Page 1 CHANGE ORDER NO. 3 STAR LANE&STAR CIRCLE STREET&UTILITY IMPROVEMENT PROJECT NOVEMBER 14,2016 CITY OF SHOREWOOD,MN WSB PROJECT NO.1459-97 OWNER: CONTRACTOR: CITY OF SHOREWOOD VALLEY PAVING-SHAKOPEE 5755 COUNTRY CLOUB ROAD 8800 13TH AVENUE EAST SHOREWOOD,MN 55331 SHAKOPEE,MN 55379 YOU ARE DIRECTED TO MAKE THE FOLLOWING CHANGES IN THE CONTRACT DOCUMENT DESCRIPTION: ADDITIONAL DITCH GRADING ALONG NORTH SIDE OF SMITHTOWN ROAD WEST OF STAR LANE TO ENSURE PROPER DRAINAGE. IT IS UNDERSTOOD THAT THIS CHANGE ORDER INCLUDES ALL ADDITIONAL COSTS AND TIME EXTENSIONS WHICH ARE IN ANY WAY,SHAPE,OR FORM ASSOCIATED WITH THE WORK ELEMENTS DESCRIBED ABOVE. CHANGE IN CONTRACT PRICE: CHANGE IN CONTRACT TIME: ORIGINAL CONTRACT PRICE: $665,018.13 ORIGINAL CONTRACT TIME: 6/30/2016 PREVIOUS CHANGE ORDERS: $7,334.84 NET CHANGE FROM PREVIOUS CHANGE ORDERS: 62 DAYS CONTRACT PRICE PRIOR TO THIS CHANGE ORDER: $672,352.97 CONTRACT TIME PRIOR TO THIS CHANGE ORDER: 8/31/2016 NET INCREASE OF THIS CHANGE ORDER: $1,925.00 NET INCREASE OF CHANGE ORDER: NONE CONTRACT PRICE WITH ALL APPROVED CHANGE ORDERS: $674,277.97 CONTRACT TIME WITH APPROVED CHANGE ORDERS 8/31/2016 RECOMMENDED BY: APPROVED BY: PAUL HORNBY, PE, PROJECT MANAGER CONTRACTOR SIGNATURE WSB&ASSOCIATES, INC. VALLEY PAVING-SHAKOPEE ENGINEER CONTRACTOR APPROVED BY: CITY ENGINEER CITY ADMINISTRATOR DATE DATE K:1014 5 9-9 70L4 dminlConstruction AdminlChange Ordersl Page 1 of 1 Copy of 1459-97 CO3 111416CO 3 CHANGE ORDER NO. 3 DETAIL STAR LANE&STAR CIRCLE STREET&UTILITY IMPROVEMENT PROJECT NOVEMBER 14,2016 CITY OF SHOREWOOD, MN WSB PROJECT NO. 1459-97 ADDED ITEMS Item No. Mat.No. Description Qty Unit Price Extended Amount 2105.601 SITE GRADING L S 1 $1,925.00 $1,925.00 TOTAL ADDED ITEMS CHANGE ORDER NO. 3 $1,925.00 DELETED ITEMS Item No. Mat.No. Description Qty Unit Price Extended Amount TOTAL DELETED ITEMS CHANGE ORDER NO. 3 $0.00 KM1459-97MAdmiMConstruction AdmiMChange Orders) Page 1 of 1 Copy of 1459-97 CO3 111416CO 3 Detail CITY OF SHOREWOOD RESOLUTION NO. 16 - A RESOLUTION APPROVING CHANGE ORDER NO. 3 FOR STAR LANE AND STAR CIRCLE UTILITY AND STREET IMPROVEMENTS CITY PROJECT 14-11 WHEREAS, the City of Shorewood Council awarded the contract for the Star Lane and Star Circle Utility and Street Improvements Project (City Project 14-11), on May 26, 2015 to Valley Paving, Inc. of Shakopee, Minnesota; and WHEREAS, Change Order No. 1 and Change Order No. 2 were necessary to construct the improvements and associated work previously recommended by staff and approved by the City Council; and WHEREAS, Change Order No. 1 increased the project construction costs in the amount of $7,334.84, from the original contract amount of$665,018.13 to $672,352.97; and WHEREAS, Change Order No. 2 extended the project completion date to August 31, 2016, from the original contract completion date of June 30, 2016; and WHEREAS, Change Order No. 3 is necessary to construct the drainage ditch along the north side of Smithtown Road west of Star Lane to allow adequate drainage from the newly installed storm sewer to the existing wetland; and WHEREAS, Change Order No. 3 will increase the project construction costs in the amount of$1,925.00 to $674,277.97; NOW, THEREFORE, BE IT RESOLVED by the City Council of the City of Shorewood, Minnesota: 1. Change Order No. 3 in the amount of$1,925.00 is hereby approved. ADOPTED BY THE CITY COUNCIL OF THE CITY OF SHOREWOOD this 12th day of December, 2016. ATTEST: Scott Zerby, Mayor Jean Panchyshyn, City Clerk #3G MEETING TYPE City of Shorewood Council Meeting Item Regular Meeting .......................................................................................................................................................................................................................................................................................................................................................................................................................................................................................................... Title/Subject: Accept Constructed Improvements and Authorizing Final Payment for the Star Lane and Star Circle Street and Utility Improvements,City Project 14-11 Meeting Date: December 12, 2016 Prepared by: Paul Hornby Reviewed by: Attachments: Resolution, Final Payment Summary Background:The City Council awarded the construction contract for Star Lane and Star Circle Street and Utility Improvements Project, City Project 14-11, on May 26, 2015. The Star Lane and Star Circle Street and Utility Improvements included sanitary sewer inflow and infiltration improvements,watermain extension, street reconstruction, storm sewer and restoration. Valley Paving Inc. has completed the scheduled work in general conformance with the Contract documents and has requested final payment. The City Engineer has determined that the project is complete and final payment is appropriate. Valley Paving has submitted the two-year Maintenance Bond, Minnesota Form IC-134 Withholdings Affidavit, lien waivers and the signed request for final payment. A Resolution Accepting Improvements for the Star Lane and Star Circle Street and Utility Improvements Project, City Project 14-11, and Authorizing Final Payment is included for Council consideration of approval. Financial or Budget Considerations: The Capital Improvement Plan budget in the Street Reconstruction, Sewer,watermain, and Stormwater Management Funds is$785,480 for construction and $1,076,000 for overall project costs. The bid awarded to Valley Paving Inc. with a total of$665,018.13 and the final project construction amount is$608,480.13. The amount remaining for payment with Payment Request No. 5/Final is$64,055.86. Recommendation/Action Requested: Staff recommends approval of the Resolution Accepting Improvements for the Star Lane and Star Circle Street and Utility Improvements Project, City Project 14- 11 and Authorizing Final Payment to Valley Paving Inc. in the amount of$64,055.86. Mission Statement: The City of Shorewood is committed to providing residents quality public services, a healthy environment, a variety of attractive amenities, a sustainable tax base, and sound financial management through effective, efficient, and visionary leadership. Page 1 CITY OF SHOREWOOD RESOLUTION NO. 16- A RESOLUTION ACCEPTING IMPROVEMENTS AND AUTHORIZING FINAL PAYMENT FOR STAR LANE AND STAR CIRCLE UTILITY AND STREET IMPROVEMENTS CITY PROJECT 14-11 WHEREAS, the City of Shorewood Council awarded the contract for the Star Lane and Star Circle Utility and Street Improvements Project (City Project 14-11), on May 26, 2015 to Valley Paving, Inc. of Shakopee, Minnesota; and WHEREAS, the Contractor has completed the project work and has requested City acceptance of the project and final payment for the work performed and documented to date; and, WHEREAS, the City Engineer has made final inspection of the project and recommends acceptance and final payment be made by the City. NOW, THEREFORE, BE IT RESOLVED, by the City Council of the City of Shorewood as follows: The City hereby accepts the work completed pursuant to said contract and authorizes final payment to the Contractor, and all warranties shall commence as of the date of substantial completion, June 30, 2016. ADOPTED BY THE CITY COUNCIL OF THE CITY OF SHOREWOOD this 12th day of December, 2016. ATTEST: Scott Zerby, Mayor Jean Panchyshyn, City Clerk Pay Voucher Page 1 of 6 Owner: City of Shorewood Date: 11/14/2016 5755 Country Club Road Shorewood, MN 55331-8926 For Period: 2/23/2016 to 11/14/2016 Request No.: 5& FINAL WSB Contractor: Valley Paving -Shakopee 8800 13th Ave. East Shakopee, MN 55379 Pay Voucher SHOR-2015 Star Ln/Cir Improvements Client Contract No.: Project No.: 01459-97 Client Project No.: Protect Summary 1 Original Contract Amount $665,018.13 2 Contract Changes-Addition $9,259.84 3 Contract Changes-Deduction $0.00 4 Revised Contract Amount $674,277.97 5 Value Completed to Date $608,480.13 6 Material on Hand $0.00 7 Amount Earned $608,480.13 8 Less Retainage $0.00 9 Subtotal $608,480.13 10 Less Amount Paid Previously $544,424.27 11 Liquidated Damages $0.00 12 AMOUNT DUE THIS PAY VOUCHER NO. 5& FINAL $64,055.86 1 HEREBY CERTIFY THAT A FINAL EXAMINATION HAS BEEN MADE OF THE ABOVE NOTED CONTRACT, THAT THE CONTRACT HAS BEEN COMPLETED, THAT THE ENTIRE AMOUNT OF WORK SHOWN IN THE FINAL VOUCHER HAS BEEN PERFORMED AND THE TOTAL VALUE OF THE WORK PERFORMED IN ACCORDANCE WITH, AND PURSUANT TO, THE TERMS OF THE CONTRACT IS AS SHOWN IN THIS FINAL VOUCHER. Recommended for Approval by: Construction Observer: WSB&Associates, Inc. Approved by Contractor: Approved by Owner: Valley Paving -Shakopee City of Shorewood Specified Contract Completion Date: Date: 8/30/2016 Comment: Pay Voucher Page 2 of 6 Project Material Status Item Item Description Units Unit Price Contract Quantity Current JAmount to No. Quantity to Date Quantity Date Schedule A-Surface Improvements 1 2021.501 MOBILIZATION LS $22,215.00 1 1 0 $22,215.00 2 2101.501 CLEARING ACRE $10,300.00 0.07 0.07 0 $721.00 3 2101.502 CLEARING TREE $257.50 19 16 0 $4,120.00 4 2101.506 GRUBBING ACRE $10,300.00 0.07 0.07 0 $721.00 5 2101.507 GRUBBING TREE $128.75 19 16 0 $2,060.00 6 2104.501 REMOVE TIMBER BARRIER RAIL L F $0.01 10 11 0 $0.11 7 2104.505 REMOVE BITUMINOUS DRIVEWAY PAVEMENT S Y $4.50 370 315 90 $1,417.50 8 2104.505 REMOVE BITUMINOUS PAVEMENT S Y $2.69 3600 3540 0 $9,522.60 9 2104.509 REMOVE SIGN EACH $77.25 3 3 0 $231.75 10 2104.509 REMOVE MAIL BOX SUPPORT EACH $51.50 2 1 0 $51.50 11 2104.513 SAWING BITUMINOUS PAVEMENT L F $4.87 340 273 34 $1,329.51 12 2104.521 SALVAGE FENCE L F $4.50 270 259 0 $1,165.50 13 2104.523 SALVAGE YARD LIGHT EACH $256.00 1 1 0 $256.00 14 2104.601 SALVAGE AND REINSTALL LANDSCAPE STRUCTURES LUMP SUM $536.00 1 1 0 $536.00 15 2104.602 SALVAGE AND REINSTALL MAILBOX EACH $51.50 15 14 0 $721.00 16 2104.618 SALVAGE& REINSTALL BRICK PAVER S F $25.50 320 147 0 $3,748.50 17 2105.501 COMMON EXCAVATION (P) C Y $22.75 3650 3780 0 $85,995.00 18 2105.507 SUBGRADE EXCAVATION C Y $27.75 370 0 0 $0.00 19 2105.522 SELECT GRANULAR BORROW(CV) C Y $26.50 2700 2774 0 $73,511.00 20 2105.604 GEOTEXTILE FABRIC TYPE V S Y $1.06 4100 4091 0 $4,336.46 21 2112.501 SUBGRADE PREPARATION RDST $149.75 10 10 0 $1,497.50 22 2123.610 STREET SWEEPER (WITH PICKUP BROOM) HOUR $119.00 20 11 2 $1,309.00 23 2130.501 WATER MGAL $19.75 20 0 0 $0.00 24 2211.501 AGGREGATE BASE CLASS 5 TON $22.75 1700 2025.29 0 $46,075.35 25 2357.502 BITUMINOUS MATERIAL FOR TACK COAT GAL $3.32 190 350 325 $1,162.00 26 2360.501 TYPE SP 9.5 WEARING COURSE MIX(2,C) TON $76.53 420 347.27 347.27 $26,576.57 27 2360.502 TYPE SP 12.5 NON WEAR COURSE MIX(2,C) TON $70.17 420 463.99 0 $32,558.18 28 2360.503 TYPE SP 9.5 WEARING COURSE MIX(2,C) 3.0"THICK SQ YD $23.22 370 315 90 $7,314.30 29 2504.602 IRRIGATION SYSTEM REPAIR EACH $383.00 2 3 0 $1,149.00 30 2505.601 UTILITY COORDINATION LUMP SUM $110.00 1 1 0 $110.00 31 2531.501 CONCRETE CURB &GUTTER DESIGN SURMOUNTABLE L F $12.26 2040 2029 0 $24,875.54 32 2540.602 MAIL BOX SUPPORT EACH $62.00 2 2 0 $124.00 33 2540.602 MAIL BOX(TEMPORARY) EACH $31.00 15 15 0 $465.00 34 2545.602 INSTALL SALVAGED YARD LIGHT EACH $256.00 1 1 0 $256.00 35 2557.602 REPAIR DOG FENCE EACH $383.00 1 1 0 $383.00 36 2563.601 TRAFFIC CONTROL LS $978.50 1 1 0 $978.50 37 2564.531 SIGN PANELS TYPE C S F $46.50 13 13 0 $604.50 38 2564.536 INSTALL SIGN PANEL TYPE SPECIAL EACH $360.50 2 2 0 $721.00 39 2571.501 CONIFEROUS TREE 8' HT B&B TREE $433.00 2 0 0 $0.00 40 2571.502 DECIDUOUS TREE 2.5" CAL B&B TREE $479.00 2 0 0 $0.00 41 2572.502 CLEAN ROOT CUTTING L F $8.00 100 0 0 $0.00 42 2573.502 SILT FENCE, TYPE MS L F $3.10 500 375 0 $1,162.50 43 2573.530 STORM DRAIN INLET PROTECTION EACH $73.00 12 0 0 $0.00 44 2573.533 SEDIMENT CONTROL LOG TYPE WOOD FIBER L F $3.10 500 50 0 $155.00 45 2573.602 TEMPORARY ROCK CONSTRUCTION ENTRANCE EACH $297.00 1 1 0 $297.00 46 2574.525 COMMON TOPSOIL BORROW C Y $25.75 50 78 78 $2,008.50 47 2575.502 SEED MIXTURE 33-261 LB $3.10 10 3.2 0 $9.92 48 2575.505 SODDING, TYPE LAWN (INCL TOPSOIL& FERT) S Y $8.86 3400 1257 0 $11,137.02 Pay Voucher Page 3 of 6 149 12575.5231 EROSION CONTROL BLANKETS CATEGORY 2 ISY 1 $3.101 7301 1291 0 $399.90 50 12575.5711 RAPID STABILIZATION METHOD 3 JMGAL 1 $0.011 1001 01 0 $0.00 Pay Voucher Page 4 of 6 Item Item Description Units Unit Price Contract Quantity to Current Amount to No. Quantity Date Quantity Date 51 2575.604 SEEDING(INCL TOPSOIL& FERT) JACRE 1$2,317.50 0.15 0.03 0 $69.53 Totals For Section Schedule A-Surface Improvements: $374,058.24 Schedule B -Sanitary Sewer Improvements 52 2104.523 SALVAGE CASTING EACH $128.00 5 5 0 $640.00 53 2503.603 SEWER LINER SPOT REPAIR EACH $3,193.00 2 2 0 $6,386.00 54 2506.516 CASTING ASSEMBLY EACH $891.00 5 5 0 $4,455.00 55 2506.602 ADJUST FRAME& RING CASTING(SPECIAL) EACH $657.00 2 1 0 $657.00 56 2506.602 CHEMICAL GROUT MANHOLE EACH $1,236.00 1 1 0 $1,236.00 57 2506.602 CHIMNEY SEALS JEACH $163.00 5 4 0 $652.00 Totals For Section Schedule B-Sanitary Sewer Improvements: $14,026.00 Schedule C -Storm Sewer Improvements 58 2104.501 REMOVE SEWER PIPE (STORM) L F $9.75 100 44 0 $429.00 59 2105.601 SITE GRADING LS $3,331.00 1 1 0 $3,331.00 60 2105.604 GEOTEXTILE FABRIC TYPE IV S Y $2.80 50 30 0 $84.00 61 2451.609 GRANULAR FOUNDATION AND/OR BEDDING TON $34.00 300 0 0 $0.00 62 2501.521 28" SPAN CS PIPE-ARCH CULVERT L F $46.00 40 40 0 $1,840.00 63 2501.525 28" SPAN CAS PIPE-ARCH APRON EACH $784.00 2 2 0 $1,568.00 64 2501.525 28" SPAN RC PIPE-ARCH APRON EACH $1,031.00 1 1 0 $1,031.00 65 2501.602 TRASH GUARD FOR 28" SPAN PIPE APRON EACH $451.00 3 2 0 $902.00 66 2502.501 4" PRECAST CONCRETE HEADWALL EACH $228.00 3 2 0 $456.00 67 2502.521 4" PVC PIPE DRAIN L F $10.75 60 60 0 $645.00 68 2502.541 4" PERF PVC PIPE DRAIN L F $14.50 220 212 0 $3,074.00 69 2502.541 4" PERF PE PIPE DRAIN L F $14.75 1560 1130 62 $16,667.50 70 2502.602 4" PVC PIPE DRAIN CLEANOUT EACH $458.00 6 6 0 $2,748.00 71 2503.521 28" SPAN RC PIPE-ARCH SEWER CL IIA L F $58.75 560 556 0 $32,665.00 72 2503.541 12" RC PIPE SEWER DES 3006 CL V L F $29.00 180 178 0 $5,162.00 73 2503.541 15" RC PIPE SEWER DES 3006 CL V L F $32.25 150 147 0 $4,740.75 74 2506.501 CONST DRAINAGE STRUCTURE DES 48-4020 L F $414.00 13 12.5 0 $5,175.00 75 2506.501 CONST DRAINAGE STRUCTURE DES 60-4020 L F $588.00 5 4 0 $2,352.00 76 2506.501 CONST DRAINAGE STRUCTURE DES 72-4020 L F $550.00 28 23 0 $12,650.00 77 2506.502 CONST DRAINAGE STRUCTURE DESIGN SPECIAL EACH $1,414.00 5 5 0 $7,070.00 78 2506.516 CASTING ASSEMBLY EACH $683.00 9 12 0 $8,196.00 79 2511.501 RANDOM RIPRAP CLASS II C Y $104.75 10 8 0 $838.00 80 2511.501 RANDOM RIPRAP CLASS III C Y $104.75 20 14 0 $1,466.50 81 2531.604 CONCRETE DRAINAGE FLUME S Y $98.00 10 4 0 $392.00 82 2573.602 DITCK BLOCK EACH $747.00 1 1 0 $747.00 Totals For Section Schedule C-Storm Sewer Improvements: $114,229.75 Alternate 1 -Water Main Improvements 83 2021.501 MOBILIZATION LS $1,454.00 1 1 0 $1,454.00 84 2104.501 REMOVE WATER MAIN L F $29.00 20 0 0 $0.00 85 2104.509 REMOVE GATE VALVE & BOX EACH $116.00 1 0 0 $0.00 86 2104.523 SALVAGE HYDRANT&VALVE EACH $867.00 1 0 0 $0.00 87 2105.601 DEWATERING LS $606.00 1 0 0 $0.00 88 2451.509 AGGREGATE BEDDING(CV) C Y $59.25 40 0 0 $0.00 89 2504.602 CONNECT TO EXISTING WATER MAIN EACH $1,156.00 1 1 0 $1,156.00 90 2504.602 HYDRANT EACH $4,856.00 3 3 0 $14,568.00 91 2504.602 1" CORPORATION STOP EACH $195.00 13 15 0 $2,925.00 92 2504.602 6" GATE VALVE & BOX EACH $1,475.00 4 3 0 $4,425.00 93 2504.602 8" GATE VALVE & BOX EACH $2,040.00 1 0 0 $0.00 94 2504.602 6" SADDLE EACH $103.00 2 2 0 $206.00 Pay Voucher Page 5 of 6 Item Item Description Units Unit Price Contract Quantity to Current Amount to No. Quantity Date Quantity Date 95 2504.602 1" CURB STOP& BOX EACH $260.00 13 15 0 $3,900.00 96 2504.602 INSTALL SALVAGED HYDRANT EACH $1,068.00 1 0 0 $0.00 97 2504.603 1"TYPE K COPPER PIPE L F $28.15 460 492 0 $13,849.80 98 2504.603 6"WATERMAIN DUCTILE IRON CL 52 W/POLYWRAP L F $42.25 250 239 0 $10,097.75 99 2504.603 8"WATERMAIN DUCTILE IRON CL 52 W/POLYWRAP L F $51.00 780 764 0 $38,964.00 100 2504.604 4" POLYSTYRENE INSULATION S Y $63.15 30 25 0 $1,578.75 101 2504.608 DUCTILE IRON FITTINGS LB $3.10 1300 1220 0 $3,782.00 Totals For Section Alternate 1 -Water Main Improvements: $96,906.30 Change Order 1 102 12451.609 1 ROCK STABILIZATION ITON 1 $29.80 182.49 182.491 0 $5,438.20 103 12506.5021CONE SECTION (48" DIA-SANITARY) I EACH 1$1,896.64 1 11 0 $1,896.64 Totals For Change Order 1: $7,334.84 Change Order 3 104 12105.601 ISITE GRADING ILS 1$1,925.001 1 1 1 1 1 $1,925.00 Totals For Change Order 3: $1,925.00 Project Totals: $608,480.13 Pay Voucher Page 6 of 6 Project Payment Status Owner: City of Shorewood Client Project No.: Client Contract No.: Project No.: 01459-97 Contractor: Valley Paving -Shakopee Contract Chan es No. Type Date Description Amount CO1 Change Order 2/22/2016 Necessary changes to contract $7,334.84 CO2 Change Order 7/19/2016 Extend Contract Time $0.00 CO3 Change Order 11/14/2016 Site Grading $1,925.00 Change Order Totals: $9,259.84 Pa ment Summar No. From Date To Date Payment Total Retainage Per Total Total Payment+ Work Certified Total Work Payment Payment Retainage Retainage Per Payment Certified 1 7/1/2015 8/19/2015 $187,533.57 $187,533.57 $9,870.19 $9,870.19 $197,403.76 $197,403.76 $197,403.76 2 8/20/2015 9/22/2015 $264,610.62 $452,144.19 $13,926.87 $23,797.06 $475,941.25 $278,537.49 $475,941.25 3 9/23/2015 10/29/2015 $59,753.68 $511,897.87 $3,144.93 $26,941.99 $538,839.86 $62,898.61 $538,839.86 4 110/30/201512/22/2016 1 $32,526.40 $544,424.27 $1,711.92 $28,653.91 $573,078.18 $34,238.32 $573,078.18 5 & 2/23/2016 11/14/2016 $64,055.86 $608,480.13 FINAL ($28,653.91) $0.00 $608,480.13 $35,401.95 $608,480.13 Payment Totals: $608,480.13 $0.00 $608,480.13 $608,480.13 Project Summary Material On Hand: $0.00 Total Payment to Date: $608,480.13 Original Contract: $665,018.13 Total Retainage: $0.00 Contract Changes: $9,259.84 Total Amount Earned: $608,480.13 Revised Contract: $674,277.97 #3H MEETING TYPE City of Shorewood Council Meeting Item Regular Meeting .......................................................................................................................................................................................................................................................................................................................................................................................................................................................................................................... Title/Subject: Accept Constructed Improvements and Authorizing Final Payment for the 2016 Pavement Marking Project,City Project 16-02 Meeting Date: December 12, 2016 Prepared by: Paul Hornby Reviewed by: Attachments: Resolution, Final Payment Summary Background: The City awarded the 2016 Pavement Marking Project, City Project 16-02, to Sir Lines-A-Lot at the regular City Council meeting on April 25, 2016. The 2016 Pavement Marking Project consisted of roadway and parking lot striping, crosswalks, stop bars and directional pavement messages such as turn arrows. In addition to the pavement markings performed in previous years, Eureka Road was included with the 2016 Pavement Marking Project to address traffic concerns. Improvements along Eureka Road included fog lines along both sides of the roadway and centerline striping. Sir Lines-A-Lot has completed the scheduled work in general conformance with the Contract documents and has requested final payment. The City Engineer has determined that the project is substantially complete and final payment is appropriate. Sir Lines-A-Lot has submitted the Minnesota Form IC-134 Withholdings Affidavit and the signed request for final payment. A Resolution Accepting Improvements for the 2016 Pavement Marking Project, City Project 16-02, and Authorizing Final Payment is included for Council consideration of approval. Financial or Budget Considerations: The quote was awarded to Sir Lines-A-Lot in the amount of$19,777.70 and the final project construction amount is$21,489.09. The amount remaining for payment with Payment Request No. 1/Final is$21,489.09. Recommendation/Action Requested: Staff recommends approval of the Resolution Accepting Improvements for the 2016 Pavement Marking Project, City Project 16-02, and Authorizing Final Payment to Sir Lines-A-Lot in the amount of $21,489.09. Mission Statement: The City of Shorewood is committed to providing residents quality public services, a healthy environment, a variety of attractive amenities, a sustainable tax base, and sound financial management through effective, efficient, and visionary leadership. Page 1 CITY OF SHOREWOOD RESOLUTION NO. 16 - A RESOLUTION ACCEPTING IMPROVEMENTS AND AUTHORIZING FINAL PAYMENT FOR 2016 PAVEMENT MARKING PROJECT CITY PROJECT NO. 16-02 WHEREAS, on April 25, 2016, the City of Shorewood entered into a contract with Sir Lines-A-Lot, for City Project 16-02 for the 2016 Pavement Marking Project; and, WHEREAS, the Contractor has substantially completed the project work and has requested City acceptance of the project and final payment for the work performed and documented to date; and, WHEREAS, the City Engineer has made final inspection of the project and recommends acceptance and final payment be made by the City. NOW, THEREFORE, BE IT RESOLVED, by the City Council of the City of Shorewood as follows: The City hereby accepts the work completed pursuant to said contract and authorizes final payment to the Contractor. ADOPTED BY THE CITY COUNCIL OF THE CITY OF SHOREWOOD this 12th day of December, 2016. ATTEST: Scott Zerby, Mayor Jean Panchyshyn, City Clerk Pay Voucher Pagel of 3 Owner: City of Shorewood Date: 11/14/2016 5755 Country Club Road Shorewood, MN 55331-8926 For Period: 4/25/2016 to 11/14/2016 Request No.: 1 & FINAL WSB Contractor: Sir Lines-A-Lot 2400 E 26th Street Minneapolis, MN 55406 Pay Voucher SHOR-2016 Pavement Marking Project Client Contract No.: Project No.: 02925-07 Client Project No.: Project Summary 1 Original Contract Amount $19,777.70 2 Contract Changes -Addition $0.00 3 Contract Changes - Deduction $0.00 4 Revised Contract Amount $19,777.70 5 Value Completed to Date $21,489.09 6 Material on Hand $0.00 7 Amount Earned $21,489.09 8 Less Retainage $0.00 9 Subtotal $21,489.09 10 Less Amount Paid Previously $0.00 11 Liquidated Damages $0.00 12 AMOUNT DUE THIS PAY VOUCHER NO. 1 & FINAL $21,489.09 1 HEREBY CERTIFY THAT A FINAL EXAMINATION HAS BEEN MADE OF THE ABOVE NOTED CONTRACT, THAT THE CONTRACT HAS BEEN COMPLETED, THAT THE ENTIRE AMOUNT OF WORK SHOWN IN THE FINAL VOUCHER HAS BEEN PERFORMED AND THE TOTAL VALUE OF THE WORK PERFORMED IN ACCORDANCE WITH, AND PURSUANT TO, THE TERMS OF THE CONTRACT IS AS SHOWN IN THIS FINAL VOUCHER. Recommended for Approval by: Construction Observer: WSB&Associates, Inc. Approved by Contractor: Approved by Owner: Sir Lines-A-Lot City of Shorewood Specified Contract Completion Date: Date: Comment: Pay Voucher Page 2 of 3 Project Material Status Item Item Description Units Unit Price Contract Quantity to Current Amount to No. Quantity Date Quantity Date SCHEDULE A- ROADWAY PAVEMENT MARKINGS 1 2021.501 MOBILIZATION LS $1,000.00 1 1 1 $1,000.00 2 2582.501 PAVT MSSG PAINT S F $2.10 1000 840 840 $1,764.00 3 2582.502 4" SOLID LINE PAINT L F $0.07 54840 75689 75689 $5,298.23 4 2582.502 12" SOLID LINE PAINT L F $2.00 510 544 544 $1,088.00 5 2582.502 24" SOLID LINE PAINT L F $2.30 530 672 672 $1,545.60 6 2582.502 4" BROKEN LINE PAINT L F $0.07 550 0 0 $0.00 7 2582.502 4" DBLE SOLID LINE PAINT L F $0.14 45000 46591 46591 $6,522.74 8 2582.503 CROSSWALK PAINT S F $2.10 1400 1440 1440 $3,024.00 Totals For Section SCHEDULE A- ROADWAY PAVEMENT MARKINGS: $20,242.57 SCHEDULE B - PARKING LOT PAVEMENT MARKINGS 9 2582.502 4" SOLID LINE PAINT L F $0.24 2860 2548 2548 $611.52 10 2582.501 PAVT MSSG PAINT SF $1.50 90 90 90 $135.00 11 2021.501 MOBILIZATION LS $500.00 1 1 1 $500.00 Totals For SCHEDULE B- PARKING LOT PAVEMENT MARKINGS: $1,246.52 Project Totals: $21,489.09 Pay Voucher Page 3 of 3 Project Payment Status Owner: City of Shorewood Client Project No.: Client Contract No.: Project No.: 02925-07 Contractor: Sir Lines-A-Lot Contract Changes No. Type Date Description JAmount Change Order Totals: $0.00 Payment Summary No. From To Date Payment Total Retainage Total Total Payment Work Certified Total Work Date Payment Per Payment Retainage + Retainage Per Payment Certified 1 & 4/25/2016 11/14/2016 $21,489.09 $21,489.09 $0.00 $0.00 $21,489.09 $21,489.09 $21,489.09 FINAL Payment Totals: 1 $21,489.09 1 $0.00 $21,489.091 j $21,489.09 Project Summary Material On Hand: $0.00 Total Payment to Date: $21,489.09 Original Contract: $19,777.70 Total Retainage: $0.00 Contract Changes: $0.00 Total Amount Earned: $21,489.09 Revised Contract: $19,777.70 #31 MEETING TYPE City of Shorewood Council Meeting Item Regular Meeting .......................................................................................................................................................................................................................................................................................................................................................................................................................................................................................................... Title/Subject: Accept Constructed Improvements and Authorizing Final Payment for the 2016 Guard Rail Project Meeting Date: December 12, 2016 Prepared by: Paul Hornby Reviewed by: Attachments: Resolution, Final Payment Summary Background: The City awarded the 2016 Guard Rail Project to Warning Lites at the regular City Council meeting on October 24, 2016. The 2016 Guard Rail Project consisted of installation of new plate beam guard rail with steel posts along Lake Linden Drive and Yellowstone Trail to provide safety to the traveling public and to replace the existing deficient plate beam guard rail along Excelsior Boulevard. Warning Lites has completed the scheduled work in general conformance with the Contract documents and has requested final payment. The City Engineer has determined that the project is substantially complete and final payment is appropriate. Warning Lites has submitted the Minnesota Form IC-134 Withholdings Affidavit and the signed request for final payment. A Resolution Accepting Improvements for the 2016 Guard Rail Project and Authorizing Final Payment is included for Council consideration of approval. Financial or Budget Considerations: The quote was awarded to Warning Lites in the amount of$24,930.20 and the final project construction amount is$23,406.78. The amount remaining for payment with Payment Request No. 1/Final is$23,406.78. . Recommendation/Action Requested: Staff recommends approval of the Resolution Accepting Improvements for the 2016 Guard Rail Project and Authorizing Final Payment to Warning Lites in the amount of$23,406.78. Mission Statement: The City of Shorewood is committed to providing residents quality public services, a healthy environment, a variety of attractive amenities, a sustainable tax base, and sound financial management through effective, efficient, and visionary leadership. Page 1 CITY OF SHOREWOOD RESOLUTION NO. 16 - A RESOLUTION ACCEPTING IMPROVEMENTS AND AUTHORIZING FINAL PAYMENT FOR 2016 GUARD RAIL PROJECT WHEREAS, on October 24, 2016, the City of Shorewood entered into a contract with Warning Lites, for the 2016 Guard Rail Project; and, WHEREAS, the Contractor has substantially completed the project work and has requested City acceptance of the project and final payment for the work performed and documented to date; and, WHEREAS, the City Engineer has made final inspection of the project and recommends acceptance and final payment be made by the City. NOW, THEREFORE, BE IT RESOLVED, by the City Council of the City of Shorewood as follows: The City hereby accepts the work completed pursuant to said contract and authorizes final payment to the Contractor. ADOPTED BY THE CITY COUNCIL OF THE CITY OF SHOREWOOD this 12th day of December, 2016. ATTEST: Scott Zerby, Mayor Jean Panchyshyn, City Clerk Pay Voucher Pagel of 3 Owner: City of Shorewood Date: 11/15/2016 5755 Country Club Road Shorewood, MN 55331-8926 For Period: 10/24/2016 to 11/15/2016 Request No.: 1 & FINAL WSB Contractor: Warning Lites of MN, Inc. 4700 Lyndale Ave. North Minneapolis, MN 55430 Pay Voucher SHOR-2015 General Engineering Services Client Contract No.: Project No.: 02925-05 Client Project No.: Project Summary 1 Original Contract Amount $24,930.20 2 Contract Changes -Addition $0.00 3 Contract Changes - Deduction $0.00 4 Revised Contract Amount $24,930.20 5 Value Completed to Date $23,406.78 6 Material on Hand $0.00 7 Amount Earned $23,406.78 8 Less Retainage $0.00 9 Subtotal $23,406.78 10 Less Amount Paid Previously $0.00 11 Liquidated Damages $0.00 12 AMOUNT DUE THIS PAY VOUCHER NO. 1 & FINAL $23,406.78 1 HEREBY CERTIFY THAT A FINAL EXAMINATION HAS BEEN MADE OF THE ABOVE NOTED CONTRACT, THAT THE CONTRACT HAS BEEN COMPLETED, THAT THE ENTIRE AMOUNT OF WORK SHOWN IN THE FINAL VOUCHER HAS BEEN PERFORMED AND THE TOTAL VALUE OF THE WORK PERFORMED IN ACCORDANCE WITH, AND PURSUANT TO, THE TERMS OF THE CONTRACT IS AS SHOWN IN THIS FINAL VOUCHER. Recommended for Approval by: Construction Observer: WSB&Associates, Inc. Approved by Contractor: Approved by Owner: Warning Lites of MN, Inc. City of Shorewood Specified Contract Completion Date: Date: Comment: Pay Voucher Page 2 of 3 Project Material Status Item Item Description Units Unit Price Contract Quantity to Current Amount to No. I I I I Quantity I Date Quantity I Date SCHEDULE A -EXCELSIOR BOULEVARD 1 2021.501 MOBILIZATION LS $1,350.00 1 1 1 $1,350.00 2 2104.501 REMOVE GUARDRAIL L F $3.00 310 276 276 $828.00 3 2554.501 TRAFFIC BARRIER DESIGN B8307 L F $20.02 310 276 276 $5,525.52 4 2563.601 ITRAFFIC CONTROL LS $1,040.501 11 11 1 $1,040.50 Totals For Section SCHEDULE A- EXCELSIOR BOULEVARD: $8,744.02 SCHEDULE B -LAKE LINDEN DRIVE AND YELLOWSTONE TRAIL 5 2021.501 MOBILIZATION ILS J$1,350.00 1 1 1 $1,350.00 6 2554.501 TRAFFIC BARRIER DESIGN B8307 L F 1 $20.02 650 613 613 $12,272.26 7 2563.601 TRAFFIC CONTROL I LS J$1,040.50 1 1 1 $1,040.50 Totals For SCHEDULE B- LAKE LINDEN DRIVE AND YELLOWSTONE TRAIL: $14,662.76 Project Totals: $23,406.78 Pay Voucher Page 3 of 3 Project Payment Status Owner: City of Shorewood Client Project No.: Client Contract No.: Project No.: 02925-05 Contractor: Warning Lites of MN, Inc. Contract Changes No. Type Date Description JAmount Change Order Totals: $0.00 Payment Summary No. From Date To Date Payment Total Retainage Total Total Payment Work Certified Total Work Payment Per Payment Retainage + Retainage Per Payment Certified 1 & 10/24/2016 11/15/2016 $23,406.78 $23,406.78 $0.00 $0.00 $23,406.78 $23,406.78 $23,406.78 FINAL Payment Totals: 1 $23,406.78 1 $0.00 $23,406.78 j $23,406.78 Project Summary Material On Hand: $0.00 Total Payment to Date: $23,406.78 Original Contract: $24,930.20 Total Retainage: $0.00 Contract Changes: $0.00 Total Amount Earned: $23,406.78 Revised Contract: $24,930.20 #3J MEETING TYPE City of Shorewood Council Meeting Item Regular Meeting .......................................................................................................................................................................................................................................................................................................................................................................................................................................................................................................... Title/Subject: Minnetonka Country Club Financial Security Reduction Request Meeting Date: December 12, 2016 Prepared by: Paul Hornby, City Engineer Reviewed by: Brad Nielsen, Planning Director Attachments: Review Memorandum Policy Consideration: Should the City Council authorize reduction of the financial security(letter of credit)for the Minnetonka Country Club Development? Background: Mattamay Homes is constructing the first phase of the Minnetonka Country Club development and has constructed the by-pass of the MCES interceptor sewer, sanitary sewer,watermain, storm sewer and streets, in whole or in part. Mattamy has requested a reduction in the financial security in the form of a letter of credit(LOC). Staff estimates that the construction work is approximately 60%complete with work remaining primarily with the drainage system, streets,walks and trails. The original LOC is in the amount of$4,234,000 and Mattamy has requested a reduction to $1,064,178.59. Financial or Budget Considerations: The City determines the amount of the financial security required for the project, based upon the construction costs for public infrastructure plus 150%. Staff has reviewed the work completed to date and a reduction in the LOC to $1,077,600 is appropriate. Options: The Council has the following options to consider with the request to reduce the LOC: 1. Approve the reductions as recommended by staff 2. Take no action at this time 3. Provide other direction to staff Recommendation/Action Requested: Staff recommends Council approve the reduction in Mattamy's LOC from $4,234,000 to the recommended amount of$1,077,600 by motion. Mission Statement: The City of Shorewood is committed to providing residents quality public services, a healthy environment, a variety of attractive amenities, a sustainable tax base, and sound financial management through effective, efficient, and visionary leadership. 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C4 ,� U C.'7 C.'7 .�' p d � `� o2j .,. `� m m 'i, c� � IV,, � i.i p W v / \ ( ( s § \ \ _ \ _ § ƒ 2 } \ \ " c # ) / ƒ ) ) , k zzz � � [ ) Q 5 � � ) m � \ � O = § \ §9 ) ) / u •: % ) \ \ ) f / •• Q 3 - § § nu WSB AIIIIIIIIIIIIIIIIINEEM 477 Temperance Street St. Paul,MN 55101 (651)286-8450 December 7, 2016 Mr. Brad Nielsen Planning Director City of Shorewood 5755 Country Club Road Shorewood, MN 55331 Re: Minnetonka Country Club Development City Project No. 15-06 WSB Project No. 02925-120 Dear Mr. Nielsen: On November 22, 2016, Mattamy Corporation requested a reduction in their financial security, Letter of Credit (LOC)for public improvements constructed within the Minnetonka Country Club. The original amount of the LOC is $4,234,000 and Mattamy requests reduction to $1,064,178.59. We have reviewed the information provided by Mattamy and the sanitary sewer, watermain, storm sewer, drainage system, streets, walks and trail improvements constructed to date and a reduction in the LOC to $1,077,600 is appropriate. Please do not hesitate to contact me with any questions. Sincerely, WSB &Associates, Inc. Paul Hornby, P.E. City Engineer Enclosures pth Building a legacy—your legacy. Equal Opportunity Employer I wsbeng.com K:\02925-120\Admin\Docs\LTR_PTH-BNielsen-120716-Mattamy LOC Reduction No 1.docx Hey kids ages 3-11: enter the Arctic Fever 2017 Coloring Contest January 14 at 5:00 p.m. to the Excelsior Library, 337 Water Stre the Excelsior Library. You may take your picture home after Jan. Sponsored by the Friends of the Excelsior Library and Artworks A Arctic Fever 2017 ---------------------------------------------------------------- (Please Print) First Name _______________ Last Name _______________ Age ___ Phone _______________ (This will be cut off before hanging) #10A MEETING TYPE City of Shorewood Council Meeting Item Regular Meeting .......................................................................................................................................................................................................................................................................................................................................................................................................................................................................................................... Title/Subject: Accepting the 2017-2021 Capital Improvement Program and 2017 Enterprise Budgets Meeting Date: December 12, 20116 Prepared by: Bruce DeJong, Finance Director Reviewed by: Greg Lerud, City Administrator Attachments: Resolution CIP Projects by Funding Source Capital Project Fund Budgets Enterprise Fund Budgets Please find attached for your approval the recommended budgets for the City's enterprise and capital funds.The budgets are presented based on Council direction from the November work sessions. Capital Projects for 2017-2021 The capital project sheets are essentially unchanged from the previous presentation. These plans over the next five years represent staff's best estimate of when projects are needed and how much they will cost. Enterprise Fund Budgets The Enterprise Fund budgets have not changed since the last presentation. The budget format is one in which the depreciation expense is listed and not the capital outlays. This format tracks our annual financial reporting process to maintain comparability. The Water Fund assessment revenue was changed to represent the assessments made to Star Lane and Circle. Financial or Budget Considerations: The adoption of these budgets does not limit the City Council's ability to modify spending priorities or authorizations throughout the year. Options: The City Council may choose to: 1. Adopt the enterprise budgets and CIP as presented; 2. Make additional changes and adopt the amended budgets and CIP; 3. Do not adopt any budgets or CIP and require staff to present justification and individual authorization for each expenditure or project. Recommendation/Action Requested: Staff recommends that the City Council adopt the budget and CIP resolution as submitted by staff. Next Steps: We recommend that the City Council review the long-range financial plan funding projections at the Council's annual retreat. Mission Statement: The City of Shorewood is committed to providing residents quality public services, a healthy environment, a variety of attractive amenities, a sustainable tax base, and sound financial management through effective, efficient, and visionary leadership. Page 1 CITY OF SHOREWOOD RESOLUTION NO. 16- ADOPTING THE 2017-2021 CAPITAL IMPROVEMENT PLAN, CAPITAL PROJECT FUND BUDGETS, AND 2017 ENTERPRISE BUDGETS WHEREAS, City staff have presented the preliminary CIP and 2017 budgets at work sessions through November, 2016; and WHEREAS, the City Council has reviewed the CIP and budgets and made modifications to each that reflect desired community service levels; and WHEREAS, these budgets represent a reasonable estimate of what needs to be spent to provide the desired service level; NOW, THEREFORE,BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF SHOREWOOD AS FOLLOWS: I. The 2017-2021 Capital Improvement Plan is hereby adopted as presented. 2. The Park Improvement, Equipment Replacement, Street Reconstruction, MSA, Trail Construction, and Community Infrastructure budgets are hereby adopted as presented. 3. The Water, Sewer, Recycling, and Storm Water budgets are hereby adopted as presented. ADOPTED BY THE CITY COUNCIL OF THE CITY OF SHOREWOOD this 12th day of December, 2016. ATTEST: Scott Zerby, Mayor Jean Panchyshyn, City Clerk Source Project# Priority 1402 - Park Improvements Freeman Plaza P0100 Freeman North Playground Equipment P0102 Freeman South Parking Lot P0103 Freeman Skating Lights, Warming House & Grading P0104 Cathcart Park - Resurface Tennis /Basketball Courts P0200 Cathcart Park Hockey Boards P0201 Cathcart Park Tot Lot P0202 Badger Park - Phase I P0300 Badger Park Tennis Courts P0301 Badger Park - Phase 2 P0302 Manor Park - Shelter Outside Floor & Stoops P0402 Silverwood Park - Resurface 1/2 court P0500 Skate Park Rehab for Pickleball P0600 402 - Park Improvements Total 40,000 x403 - Equipment Replacement Fund UTV - replace unit 34 034 Tractor - Ford 3910 035 Flatbed - 4 x 2 Replace unit 49 049 Trailer 18' replace unit 59 059 Sand Pro 3000 - replace Unit 64 064 Trailer 12' replace unit 69 069 Groundsmaster Mower- Toro 328D - replace unit 75 075 Pickup 44 - Replace Unit 78 078 Mower - Replace Unit 86 086 2010 44 Ford F350 090 Groundsmaster Mower replace unit 93 093 Skid Steer - replace unit 97 097 Cab for mower - replace A02 A02 Ag Tractor & Flail Mower A06 Attach - Plow for Groundmaster A08 Engine/Transmission Analysis Station A09 Replace Sander A10 South Shore Community Center PF -11 -01 Public Works Roof PF -12 -01 Color Copier Replacement T -13 -03 800 Mhz Radio Replacement T -19 -01 Computer Upgrades T -99 -99 403 - Equipment Replacement Fund Total 2 2017 2018 2019 2020 2021 Total 5 5,000 5,000 4 100,000 100,000 5 60,000 60,000 5 40,000 40,000 1 9,000 9,000 18,000 3 150,000 150,000 5 100,000 100,000 3 400,000 400,000 2 200,000 9,500 209,500 n/a 747,000 747,000 1 5,400 5,400 2 2,500 2,500 5,000 3 50,000 50,000 550,000 311,500 752,000 255,400 21,000 1,889,900 5 14,100 14,100 5 55,300 55,300 5 39,200 39,200 5 15,700 15,700 2 9,000 9,000 5 5,000 5,000 2 27,100 27,100 3 27,800 27,800 4 32,000 32,000 5 33,600 33,600 5 28,000 28,000 5 37,600 37,600 3 7,600 7,600 4 41,200 41,200 4 6,200 6,200 n/a 4,500 4,500 3 9,500 9,500 n/a 43,000 41,000 2,000 86,000 n/a 81,000 81,000 2 10,000 10,000 2 9,500 9,800 10,100 29,400 1 10,000 10,000 10,000 10,000 10,000 50,000 204,600 136,300 119,000 88,200 101,700 649,800 Thursday, December 08, 2016 Source Project# Priority 2017 2018 2019 2020 2021 Total 404 - Street Reconstruction Fund Summit Avenue LR -15 -06 5 32,000 200,000 200,000 Total 32,000 Amlee Road LR -16 -01 5 Galpin Lake Rd Sidewalk T003 1 1,330,000 1,330,000 Strawberry Lane & W 62nd 332,000 332,000 Manitou Lane LR -16 -04 5 601 - Water Fund Air Compressor - Replace unit 38 317,000 317,000 Glen Road East LR -16 -07 5 1,024,000 1,024,000 Echo Road LR -17 -01 5 71,000 71,000 Howards Point Road LR -17 -02 5 180,000 180,000 Kathleen Court LR -17 -03 5 22,000 22,000 Oak Ridge Circle LR -17 -04 5 29,000 29,000 Riviera Lane LR -17 -05 5 371,000 371,000 Shorewood Lane LR -17 -06 5 455,000 455,000 Mann Lane LR -18 -01 5 444,000 444,000 Maple Street LR -18 -02 5 100,000 100,000 Bayswater Road LR -19 -01 5 100,000 100,000 Boulder Circle LR -19 -02 5 49,000 49,000 Christmas Lane W LR -19 -03 5 32,000 32,000 Lilac Lane LR -19 -05 5 46,000 46,000 Strawberry Lane & W 62nd LR -19 -06 5 1,140,000 1,140,000 Vine Street LR -19 -07 5 33,000 33,000 Eureka Road N LR -19 -08 5 260,000 260,000 Birch Bluff Road LR -20 -01 5 107,000 107,000 Excelsior Blvd LR -20 -02 5 19,000 19,000 Seamans Drive LR -20 -03 5 629,000 629,000 West Lane LR -20 -04 5 32,000 32,000 Christmas Lane E LR -21 -01 5 21,000 21,000 Christmas Lake Road LR -21 -02 5 107,000 107,000 Country Club Road LR -21 -03 5 95,000 95,000 Shady Island Circle, Point & Road LR -23 -01 5 116,000 116,000 Shady Island Trail LR -23 -02 5 128,000 128,000 Dellwood Lane LR -24 -01 5 42,000 42,000 Enchanted Cove LR -24 -02 5 24,000 24,000 Enchanged Drive LR -24 -03 5 72,000 72,000 Enchanted Lane LR -24 -04 5 127,000 127,000 Street Sign Replacement LR -99 -001 2 7,500 7,800 8,100 8,400 8,700 40,500 Maintenance - Bituminous Sealcoating LR -99 -100 1 184,000 238,000 305,000 274,000 255,000 1,256,000 404 - Street Reconstruction Fund Total 1,860,500 1,929,800 833,100 1,069,400 2,159,700 7,852,500 405 - MSA Road Reconstruction Fund Vine Hill Road Intersection Improvements MSA -1701 nla 200,000 200,000 405 - MSA Road Reconstruction Fund 200,000 200,000 Total 106 - Trails Galpin Lake Rd Sidewalk T003 1 1,330,000 1,330,000 Strawberry Lane & W 62nd T007 1 852,000 852,000 406 - Trails Total 2,182,000 2,182,000 601 - Water Fund Air Compressor - Replace unit 38 038 3 20,000 20,000 Dump Truck - replace unit 72 072 5 90,450 90,450 Thursday, December 08, 2016 Source Project# Priority Pick -up - 4 x 4150 Replace Unit 80 080 5 Boulder Bridge Building W -17 -01 3 Well House Water Meters W -17 -02 3 SE Well Dehumidifier W -17 -03 3 Boulder Bridge Well Motor W -18 -01 3 Boulder Bridge Deumidifier W -19 -01 3 601 - Water Fund Total 795,450 611 - Sanitary Sewer Fund 87,000 Dump Truck - replace unit 72 072 5 Lift Station 10 Rehab - 4773 Lakeway Terrace SS -15 -01 3 Lift Station 20 Rehab - 26550 Noble Road SS -16 -01 3 Lift Station 7 Rehab - 5600 Woodside Road SS -16 -02 3 Lift Station 18 Rehab - 4996 Shady Island Point SS -17 -01 3 Infiltration and Inflow Reduction SS -99 -05 1 611 -Sanitary Sewer Fund Total 452,000 631 - Stormwater Management Fund 4" pump replace unit 50 050 5 Galpin Lake Rd Trail Stormwater SS003 1 Amlee Road STM -16 -01 4 Manitou Lane STM -16 -02 4 Glen Road East STM -16 -03 4 Riveria Lane STM -17 -01 4 Shorewood Lane STM -17 -02 4 Mann Lane STM -18 -01 4 Maple St STM -18 -02 4 Eureka Road N STM -19 -01 4 Strawberry & W 62nd STM -19 -02 4 Seamans Drive STM -20 -01 4 631 - Stormwater Management Fund Total 2017 2018 2019 2020 2021 Total 90,450 27,500 27,500 85,000 135,000 85,000 12,000 6,000 12,000 6,000 36,000 5,000 70,000 70,000 70,000 70,000 70,000 5,000 45,000 795,450 45,000 87,000 5,000 5,000 192,450 51,000 44,500 6,000 20,000 313,950 90,450 90,450 90,000 90,000 135,000 135,000 120,000 120,000 10,000 10,000 70,000 70,000 70,000 70,000 70,000 350,000 260,450 190,000 205,000 70,000 70,000 795,450 GRAND TOTAL 3,454,000 5,442,600 2,405,600 1,682,500 2,766,400 15,751,100 Thursday, December 08, 2016 45,500 45,500 230,000 230,000 78,000 78,000 75,000 75,000 241,000 241,000 87,000 87,000 99,000 99,000 105,000 105,000 24,000 24,000 452,000 452,000 283,000 283,000 148,000 148,000 186,000 642,000 452,000 193,500 394,000 1,867,500 GRAND TOTAL 3,454,000 5,442,600 2,405,600 1,682,500 2,766,400 15,751,100 Thursday, December 08, 2016 PARK CAPITAL IMPROVEMENT FUND Fund: 402- Park Capital Outlay REVENUES Beginning Fund Balance Park Dedication Fees Interest Earnings" Contributions / donations Concession Sales Grants Miscellaneous revenue Transfers in TOTAL REVENUES EXPENDITURES OTHER SERVICES Contractrual Services Miscellaneous Charges TOTAL OTHER SERVICES CAPITAL OUTLAY Machinery and Equipment Other Improvements TOTAL CAPITAL OUTLAY Revenue - Over /(under) Ending Fund Balance Requested Actual Actual Actual Budget Budget 2013 2014 2015 2016 2017 168,427 213,366 536,660 542,278 472,078 55,000 20,000 6,500 300,000 486,500 966 7,172 5,455 2,800 2,800 - - - 225,000 - 42,000 325,414 42,000 42,000 42,000 97,966 352,586 53,955 569,800 531,300 53,027 29,292 48,337 640,000 550,000 53,027 29,292 48,337 640,000 550,000 53,027 29,292 48,337 640,000 550,000 44,939 323,294 5,618 (70,200) (18,700) 213,366 536,660 542,278 472,078 453,378 EQUIPMENT REPLACEMENT FUND Fund: 403 - Equipment Replacement CAPITAL OUTLAY Machinery and Equipment 265,739 229,434 14,114 270,500 204,600 Other Improvements - - - - - TOTAL CAPITAL OUTLAY 265,739 229,434 14,114 270,500 204,600 TOTAL EXPENDITURES 265,739 229,434 14,114 270,500 Requested Actual Actual Actual Budget Budget REVENUES 2013 2014 2015 2016 2017. Beginning Fund Balance 613,693 413,263 264,324 515,436 352,036 Interest Earnings 6,809 5,495 4,029 2,100 2,100 Miscellaneous Income - - - - - Sale of Old Equipment - - - - - Transfers in 58,500 75,000 261,197 105,000 120,000 TOTAL REVENUES 65,309 80,495 265,226 107,100 122,100 EXPENDITURES OTHER SERVICES Engineering Fees - - - - - Contractual Services - Miscellaneous Services - Bank Charges TOTAL OTHER SERVICES - - - - - CAPITAL OUTLAY Machinery and Equipment 265,739 229,434 14,114 270,500 204,600 Other Improvements - - - - - TOTAL CAPITAL OUTLAY 265,739 229,434 14,114 270,500 204,600 TOTAL EXPENDITURES 265,739 229,434 14,114 270,500 204,600 Revenue over /(under) (200,430) (148,939) 251,112 (163,400) (82,500) Ending Fund Balance 413,263 264,324 515,436 352,036 269,536 STREET RECONSTRUCTION FUND Fund: 404 - Street Capital Outlay REVENUES Beginning Fund Balance MSA Maintenance Money Interest Earnings Transfers in Total Revenue �, 41,1711i1114W CAPITAL OUTLAY Other Improvements TOTAL CAPITAL OUTLAY TOTAL EXPENDITURES Revenue over /(under) Ending Fund Balance Requested Actual Actual Actual Budget Budget 2013 2014 2015 2016 2017 1,760,337 2,143,328 1,536,672 1,453,048 1,725,148 9,013 22,741 10,337 7,300 8,600 714,000 725,000 813,924 755,000 770,000 723,013 747,741 824,261 762,300 778,600 340,022 1,354,397 907,885 490,200 1,860,500 340,022 1,354,397 907,885 490,200 1,860,500 340,022 1,354,397 907,885 490,200 1,860,505 382,991 (606,656) (83,624) 272,100 (1,081,905) 2,143,328 1,536,672 1,453,048 1,725,148 643,243 MSA STREET CONSTRUCTION FUND Fund: 405 - MSA Capital Outlay REVENUES Beginning Fund Balance MSA Construction Money Interest Earnings Transfers in Total Revenue EXPENDITURES MATERIALS & SUPPLIES General Supplies TOTAL MATERIALS & SUPPLIES OTHER SERVICES Miscellaneous Services TOTAL OTHER SERVICES TRANSFERS Transfer to Trail Fund TOTAL TRANSFERS TOTAL EXPENDITURES Revenue over /(under) Ending Fund Balance Requested Actual Actual Actual Budget Budget 2013 2014 2015 2016 2017 133,937 127,101 127,387 127,019 119,619 - - - - 200,000 568 286 600 600 568 286 - 600 200,600 7,404 - 368 8,000 200,000 7,404 368 8,000 200,000 7,404 - 368 8,000 200,000 7,404 - 368 8,000 200,000 (6,836) 286 (368) (7,400) 600 127,101 127,387 127,019 119,619 120,219 TRAIL CONSTRUCTION FUND Fund: 406 - Trail Capital Outlay EXPENDITURES CAPITAL OUTLAY Other Improvements TOTAL CAPITAL OUTLAY TOTAL EXPENDITURES Revenue over /(under) Ending Fund Balance 1,493,861 263,806 231,850 1,340,000 1,493,861 263,806 231,850 1,340,000 - 1,493,861 263,806 231,850 1,340,000 - Requested Actual Actual Actual Budget Budget REVENUES 2013 2014 2015 2016 2017 Beginning Fund Balance (34,576) (52,437) 464,287 301,698 (317,824) Interest Earnings - 3,544 4,126 - Grants - 776,986 65,135 - Abatement Bonds - - - - 1,000,000 Transfers in 1,476,000 - - 720,478 - Total Revenue 1,476,000 780,530 69,261 720,478 1,000,000 EXPENDITURES CAPITAL OUTLAY Other Improvements TOTAL CAPITAL OUTLAY TOTAL EXPENDITURES Revenue over /(under) Ending Fund Balance 1,493,861 263,806 231,850 1,340,000 1,493,861 263,806 231,850 1,340,000 - 1,493,861 263,806 231,850 1,340,000 - (17,861) 516,724 (162,589) (619,522) 1,000,000 (52,437) 464,287 301,698 (317,824) 682,176 COMMUNITY INFRASTRUCTURE FUND Fund: 450 - Community -wide Capital Outlay EXPENDITURES OTHER SERVICES Miscellaneous Services - 175,171 50,000 50,000 TOTAL OTHER SERVICES - 175,171 50,000 50,000 CAPITAL OUTLAY Other Improvements 3,549 Requested TOTAL CAPITAL OUTLAY Actual Actual Actual Budget Budget REVENUES 2013 2014 2015 2016 2017 Beginning Cash Balance 1,842,330 369,975 365,931 311,206 262,806 Interest Earnings 7,194 1,493 976 1,600 1,300 Miscellaneous Income - - 119,470 - - Transfers in - - - - - Total Revenues 7,194 1,493 120,446 1,600 1,300 EXPENDITURES OTHER SERVICES Miscellaneous Services - 175,171 50,000 50,000 TOTAL OTHER SERVICES - 175,171 50,000 50,000 CAPITAL OUTLAY Other Improvements 3,549 5,537 - - - TOTAL CAPITAL OUTLAY 3,549 5,537 - - - Transfers out 1,476,000 - Total 1,476,000 - - - - TOTAL EXPENDITURES 1,479,549 5,537 175,171 50,000 50,000 Revenue over /(under) (1,472,355) (4,044) (54,725) (48,400) (48,700) Ending Cash Balance 369,975 365,931 311,206 262,806 214,106 SOUTHSHORE COMMUNITY CENTER Revenue Coding: 201-00 - Expenditure Coding: 201-00 - REVENUES Beginning Cash Balance 3471 Rentals 3480 Class fees 3620 Interest income 3623 Contributions /Donations 3670 Miscellaneous Revenue 3920 Transfers in TOTAL REVENUES Approved Actual Budget Actual Budget 2012 2013 2013 2014 6,678 (40,749) (42,748) 40,765 75,000 30,764 55,000 19,248 2,500 10,955 15,500 - 100 100 1,219 1,000 10,171 1,000 867 1,500 2,152 1,500 13,600 40,700 91,700 47,700 75.699 120.800 145.742 120.800 Approved Requested Budget Budget Percent Dollar 2015 .2015 Change Change - 469'. 40,000 ':40,000:. 0% 0 15,000 ` 15,000 ; 0% 0 4DIV /0! 0 1,000 1,000 0% 0 1,500 1,500.' 09/ 0 70,000 ` 70,000': 0% 0 127.500 '.127300'!. 09/ 0 EXPENDITURES Personal Services 4101 Regular Salaries - 17,241 - 17,241 17,971: 55,000 '.55,000: 0 4102 O.T. Salaries - 3,352 - 3,352 2,691'. 3,000 3,000 ` 0 4121 PERA City Share - 9,042 - 9,042 5;631: 4,060 4,060: 0 4122 FICA City Share - 1,826 - 1,826 1,508'. 4,208 4,208:! 0 4131 Ins. City Share - 2,259 - 2,259 1,9491 4,500 4,500:1 0 4151 Workers Compensation - ! 84 ; 300 300'. 0 Total Personal Services - 33,720 33,720 29,834 71,068 71,068 0 MATERIALS & SUPPLIES 4200 Office Supplies 190 - 240 240 0 4208 Postage 290 - 23 23 0 4223 Maintenance of Building 2,020 5,000 2,007 5,000 2,007 3,000 I 3,000. 0% 0 4245 General Supplies 1,237 800 1,505 800 1,505 2,057 800 800': 0% 0 4246 Program Expense 10,491 17,000 15,715 13,000 15,715 5,135: 13,000 ;13,000; 0% 0 4247 Community Event Expense 4,000 4,000 4,000:: 0% 0 TOTAL MATERIALS & SUPPLIES 14,228 22,800 19,490 22,800 19,490 7,192'. 20,800 '.20,800'` 0% 0 OTHER SERVICES 4302 Consulting Fees 72,714 71,000 20,287 71,000 20,287 0 4304 Legal - - - - '111': - 0 4321 Communication 1,497 1,500 1,125 1,500 1,125 '268 3,300 3,300 120% 0 4351 Print /Publish 527 1,500 422 1,500 422 x448. 1,500 1,500 185% 0 4360 Insurance -Total - 1,000 1,000 1,000 ! 1,000 0 4380 Utilities 12,976 11,000 14,873 11,000 14,873 9,250 ` 11,000 1 11,000 -15% 0 4400 Contractual 10,816 10,000 13,556 10,000 13,556 16,511 15,000 15,000 39% 0 4410 Rentals 3,475 0 4433 Dues & Subscriptions 204 202 202 200 200 0 4437 Taxes /Licenses 728 741 741 1,057 1,200 1,200 ` 0 4440 Misc. Services 5,561 2,000 2,000 2,000 2,000:: -64% 0 4450 Bank Service Charges 400 - 61 '61 - 0 TOTAL OTHER SERVICES 108,898 98,000 51,267 98,000 51,267 27,645 35,200 35,200 ; -68% 0 CAPITAL OUTLAY 4640 Building &Structures - - - 0 TOTAL CAPITAL OUTLAY - - - 0 TOTAL EXPENDITURES 123,126 120,800 104,524 120,800 104,524 64,671.: 127,068 :127,068': 11% Revenues overl(under) (47,427) - 41,218 41,218 (28,477) 433 433 WATER FUND Revenue Coding: 601 -00 Expenditure Coding: 601 -00- Approved Approved Approved Dept Actual Budget Budget Actual Budget Actual Budget YTD Request Percent Dollar REVENUES 2013 2013 2014 2014 2015 2015 2016 2016 2017 Change Change 3710 Water Sales 494,201 630,000 630,000 416,328 600,000 406,438 500,000 189,716 500,000 0% 0 3610 Special Assessments 37,492 35,000 15,000 (5,684) 35,000 134,013 55,000 13,499 35,000 -36% (20,000) 3711 Permits & Connection Fees 46,020 1,000 15,000 50,665 25,000 5,664 25,000 2,386 25,000 0% 0 3620 Interest Earnings 17,887 35,000 35,000 49,475 25,000 15,800 25,000 0 25,000 0% 0 3713 Water Meter Sales 2,500 2,500 9,600 2,500 3,855 2,500 840 2,500 0% 0 Total Revenues 595,600 703,500 697,500 520,384 687,500 565,77D 607,500 206,441 587,500 -3% (20,000) EXPENSES Personal Services 4101 Regular Salaries 73,949 82,365 79,796 127,097 79,796 125,820 87,451 83,357 89,271 2% 1,820 4102 O.T. Salaries 8,424 3,000 3,000 5,311 3,000 5,277 3,000 2,358 3,000 0% 0 4121 PERA City Share 5,941 6,189 6,003 8,724 6,003 9,810 6,340 6,429 6,472 2% 132 4122 FICA City Share 5,899 6,531 6,334 8,813 6,334 9,291 6,690 6,099 6,829 2% 139 4131 Ins. City Share 12,784 10,501 12,726 7,748 12,726 20,068 13,998 13,460 13,998 0% 0 4151 Workers Compensation 4,585 6,669 4,378 2,167 4,466 88 Total Personal Services 106,997 108,585 107,858 162,278 107,858 176,935 121,857 113,870 124,036 2% 2,179 Supplies 4200 Office Supplies 146 - - - - 615 - 431 - 4208 Postage 1,308 1,300 1,400 2,154 1,400 1,055 1,400 319 1,400 0% 0 4221 Maint- Equipment 4,332 6,500 6,500 3,896 6,500 972 6,500 908 6,500 0% 0 4223 Maint - Buildings 760 1,000 1,000 568 1,000 111 1,000 - 1,000 0% 0 4240 Small Tools 550 550 606 600 1,193 600 1,179 600 0% 0 4245 General Supplies 13,887 10,000 10,000 10,853 12,000 10,949 12,000 6,880 12,000 0% 0 4260 Wtr Purch -Tonka Bay 2,121 3,300 3,500 2,089 3,500 2,979 3,500 1,385 3,500 0% 0 4261 Wtr Purch - Excelsior 18,267 17,500 22,000 16,879 22,000 16,051 22,000 8,236 22,000 0% 0 4262 Wtr Purch - Mtka 881 1,000 1,500 1,134 1,500 882 1,500 430 1,500 0% 0 4263 Wtr Purch - Chan 9,498 12,000 16,000 10,115 16,000 9,322 16,000 5,575 16,000 0% 0 4265 Water Meters 6,926 15,000 15,000 10,146 15,000 3,756 15,000 3,016 15,000 0% 0 Total Supplies 58,126 68,150 77,450 58,440 79,500 47,885 79,500 28,359 79,500 0% 0 Other Services & Charges 4301 Financial & Audit 2,250 2,250 2,500 2,500 2,500 2,500 2,500 1 2,500 0% 0 4303 Engineering 1,327 5,000 5,000 21,093 5,000 31,582 5,000 19,374 5,000 09/ 0 4304 Legal Fees 56 - - - - - - - - 0 4321 Communication 663 2,500 2,800 1,196 2,800 1,265 8,000 738 8,000 0% 0 4331 Travel, Conf,Sch - 600 800 1,096 800 1,500 800 1,500 800 0% 0 4351 Print /Publish 552 1,000 1,000 543 1,100 638 1,100 638 1,100 0% 0 4360 Insurance -Total 8,000 8,000 8,000 10,500 8,000 8,000 8,000 - 8,000 0% 0 4394 Utilities - Amesbury 12,368 11,000 12,000 10,640 12,000 11,758 12,000 5,827 12,000 0% 0 4395 Utilities - Badger 9,270 11,000 12,500 7,186 12,500 10,514 12,500 4,072 12,500 0% 0 4396 Utilities - Boulder Bridge 21,097 18,500 20,000 18,841 20,000 16,132 20,000 10,482 20,000 0% 0 4398 Utilities - SE Area /Tower 34,917 30,000 33,000 35,514 34,000 33,944 34,000 19,748 34,000 0% 0 4400 Contractual 26,018 30,000 30,000 50,398 30,000 71,394 60,000 30,499 60,000 0% 0 4420 Depreciation 271,166 290,000 290,000 269,295 290,000 289,740 280,000 - 290,000 4% 10,000 4437 Licenses -Sales Taxes 635 3,000 3,000 7,070 3,000 3,000 3,000 533 3,000 0% 0 4440 Misc. Services 17,949 200 200 14,180 200 200 200 - 200 0% 0 4450 Bank Svc Chgs 8 525 1,000 1,000 1,000 1,000 - 1,000 0% 0 Total Other Services & Charges 406,276 413,575 421,800 450,052 422,900 483,167 448,100 93,412 458,100 2% 10,000 Bond Expense 4711 Bond Interest 74,887 103,398 91,303 19,213 77,796 18,303 17,000 18,757 17,000 0% 0 4720 Fiscal Agent Fees 46,908 1,500 800 495 800 495 800 495 800 0% 0 Total Bond Expense 121,795 104,898 92,103 19,708 78,596 18,798 17,800 19,252 17,800 0% 0 Transfers 4820 Transfers Out - 12,500 12,500 12,500 12,500 12,500 12,500 0% 0 Total Transfers - - 12,500 12,500 12,500 12,500 12,500 - 12,500 0% 0 TOTAL EXPENSES 693,194 695,208 711,711 702,978 701,354 739,285 679,757 254,893 691,936 2% 12,179 REVENUES OVER /(UNDER) EXPENSES (97,594) 8,292 (14,211) (182,594) (13,854) (173,515) (72,257) (48,452) (104,436) SEWER FUND Revenue Coding: 611-00 - Expenditure Coding: 611-00 - Approved Approved Dept Actual Actual Budget Actual Budget YTD Request Percent Dollar REVENUES 2013 2014 2015 2015 2016 2016 2017 Change Change 3620 Interest Earnings 14,191 41,743 25,000 15,069 25,000 - 25,000 0% 0 3710 Sewer Sery Charges 831,259 824,234 860,050 853,058 860,050 430,815 860,050 0% 0 3610 Sewer Chg -Cnty Coll 68,010 22,101 69,186 2,831 20,000 13,885 20,000 2% 0 3400 Local SAC Charges 13,200 - 6,000 7,370 50,000 2,485 50,000 0% 0 3712 Sewer Permits 3,060 2,700 700 2,100 14,000 1,500 14,000 0% 0 Total Revenues 861,710 890,778 891,750 880,428 969,050 448,685 969,050 12% 107,350 EXPENSES Personal Services 4101 Regular Salaries 68,010 105,978 69,186 104,036 75,753 70,429 77,277 2% 1,524 4102 O.T. Salaries 3,139 2,019 2,500 2,500 2,500 2,319 2,500 0% 0 4103 Part Time Salaries - - - - 5,800 - 5,800 0 4121 PERA City Share 5,092 7,015 5,197 7,943 5,492 5,456 5,603 2% 111 4122 FICA City Share 5,093 7,347 5,484 7,850 6,239 5,375 5,912 -5% (327) 4131 Ins. City Share 10,293 7,748 10,787 20,068 12,072 13,460 12,072 0% 0 4151 Workers Compensation 3,487 2,500 2,500 3,935 1,539 4,011 76 Total Personal Services 91,627 133,594 95,654 144,897 111,791 98,578 113,175 1% 1,384 Supplies 4200 Office Supplies 146 - 150 579 200 217 200 0% 0 4208 Postage 1,324 2,068 1,500 938 1,500 217 1,500 0% 0 4221 Maint- Equipment 3,382 6 5,000 3,060 5,000 792 5,000 0% 0 4240 Small Tools 732 21 550 255 550 255 550 0% 0 4245 General Supplies 1,293 2,565 2,100 - 2,100 - 2,100 0% 0 Total Supplies 6,877 4,660 9,300 4,832 9,350 1,481 9,350 0% 0 Other Services & Charges 4301 Financial & Audit 2,250 2,500 2,500 2,500 2,500 - 2,500 0% 0 4303 Engineering 10,753 5,418 5,000 - 5,000 - 5,000 0% 0 304 Legal 1,500 130 1,500 448 1,500 740 1,500 0% 0 4313 Engineering - Design Stage 1,701 - 5,000 - 5,000 - 5,000 0% 0 4321 Communication 4,103 4,848 5,500 2,909 5,500 2,312 5,500 0% 0 4331 Travel, Conf,Sch 975 600 1,500 - 1,500 - 1,500 0% 0 4360 Insurance -Total 6,500 12,000 7,000 7,000 7,000 - 7,000 0% 0 4380 Utilities- Gas /Elec 5,588 6,322 7,500 - 7,500 3,539 7,500 0% 0 4385 MCES Service Charges 529,386 543,245 609,180 609,180 590,000 456,885 691,000 17% 101,000 4386 Excelsior Sewer Chg 31,676 43,172 31,000 41,976 40,000 27,801 40,000 0% 0 4400 Contractual 17,940 14,427 20,000 16,319 20,000 12,272 20,000 0% 0 4200 Depreciation 81,329 67,898 225,000 85,424 100,000 - 100,000 0% 0 4437 Licenses -Taxes 23 281 - - - 24,796 - 0 4440 Misc. Services 33,960 34,587 150 150 150 - 150 0% 0 4450 Service Charges - 28 1,500 1,500 1,500 1,500 0% 0 Total Other Services & Charges 727,684 735,456 922,330 767,406 787,150 528,345 888,150 13% 101,000 Transfers 4820 Transfers to General Fund 12,500 12,500 12,500 12,500 12,500 0% 0 4820 Transfers to Storm Water 226,700 500,000 226,700 226,700 0% 0 Total Transfers - 12,500 239,200 512,500 239,200 - 239,200 0% 0 TOTAL EXPENSES 826,188 886,210 1,266,484 1,429,635 1,147,491 628,404 1,249,875 9% 102,384 REVENUES OVER /(UNDER) EXPENSES 35,522 4,568 (374,734) (549,207) (178,441) (179,719) (280,825) RECYCLING FUND Revenue Coding: 621-00 - Expenditure Coding: 621 -00- EXPENSES Personal Services Approved Approved Dept 4101 Regular Salaries Actual Actual Budget Actual Budget YTD Request Percent REVENUES 2013 2014 2015 2015 2016 2016 2017 Change 3362 County Recycling Aid 22,989 31,279 23,000 26,198 23,000 13,099 23,000 0% 3362 County Park Recycling Grant 2,841 - 475 708 420 - 429 2% 3610 Special Assessment 6,363 3,997 500 651 443 2,688 452 2% 3620 Interest Earnings 253 763 350 659 350 - 350 0% 3710 Recycling Service Charges 154,265 159,636 155,000 159,197 155,000 80,306 155,000 0% 3732 City Clean -up Fees 5,086 (174) 8,000 12,154 8,000 (940) 8,000 0% Total Revenues 191,797 195,501 186,350 186,705 186,350 95,153 186,350 0% EXPENSES Personal Services 4101 Regular Salaries 69 8,881 5,410 8,548 5,796 5,642 5,912 4102 O.T. Salaries - - 1,000 887 1,000 887 1,000 0% 4103 Part Time Salaries 2,296 306 - 198 - 198 - 4121 PERA City Share 166 580 475 708 420 490 429 2% 4122 FICA City Share 176 539 500 562 443 382 452 2% 4131 Ins. City Share 831 630 717 1,230 1,140 998 1,140 0% 4151 Workers Comp 1 21 46 19 47 Total Personal Services 3,538 10,937 8,102 12,154 8,845 8,616 8,980 2% Supplies 4200 Office Supplies - - 100 304 100 156 100 0% 4208 Postage 1,298 1,488 1,400 1,215 1,400 499 1,400 0% 4245 General Supplies 193 - 200 - 200 - 200 0% Total Supplies 1,491 1,488 1,700 _ 1,519 1,700 655 1,700 0% Other Services & Charges 4400 Contractual 167,345 165,561 117,000 115,845 117,000 77,245 117,000 0% 4440 Misc. Services 9,163 470 8,500 146 8,500 146 8,500 0% 4450 Service Charges - - - - - - - Total Other Services & Charges 176,508 166,031 125,500 115,991 125,500 77,391 125,500 0% TOTAL EXPENSES 181,537 178,456 135,302 129,664 136,045 86,662 136,180 0% REVENUES OVER /(UNDER) EXPENSES 10,260 17,045 51,048 57,041 50,305 8,491 50,170 STORMWATER MANAGEMENT FUND Revenue Coding: 631-00 - Expenditure Coding: 631 -00- REVENUES Approved Approved Dept Actual Actual Budget Actual Budget YTD Request Percent Dollar 2013 2014 2015 2015 2016 2016 2017 Chanee Chanec 3362 Grant Proceeds - 65,825 - - - - - 0 3610 Special Assessments 9,321 5,256 7,400 798 7,400 3,291 7,400 0% 0 3620 Interest Earnings 582 3,145 1,200 1,123 1,200 - 1,200 0% 0 3670 Miscellaneous Revenue 6 - - - - - - 1,571 0 3710 Storm Utility Charges 185,622 214,170 224,352 226,860 235,000 114,676 235,000 0% 0 3920 Transfers from Sewer 1,560 452 226,700 500,000 226,700 - -100% (226,700) Total Revenues 195,531 288,396 459,652 728,781 470,300 117,967 243,600 -48% (226,700) EXPENSES Personal Services 4101 Regular Salaries 35,089 56,042 20,523 19,237 21,673 22,458 22,001 29/ 328 4102 O.T. Salaries 1,348 2,331 - 0 4121 PERA City Share 2,632 4,115 1,500 1,571 1,571 1,684 429 -73% (1,142) 4122 FICA City Share 2,644 3,860 1,570 1,658 1,658 1,560 452 -73% (1,206) 4131 Ins. City Share 2,490 805 2,059 2,850 2,850 1,693 2,850 0% 0 4151 Workers Comp 2,024 351 0 Total Personal Services 44,203 69,177 25,652 25,316 27,752 27,746 25,732 -7% (2,020) Supplies 4200 Office Supplies 146 - 100 304 - 156 - 0 4208 Postage 1,298 1,251 1,400 1,215 1,400 499 1,400 0% 0 4421 Maint- Equipment 1,031 - 5,500 4 4,500 - 4,500 0% 0 4240 Small Tools - - 300 - 300 - 300 0% 0 4245 General Supplies 706 840 3,000 71 2,000 - 2,000 0% 0 Total Supplies 3,181 2,091 10,300 1,594 8,200 655 8,200 0% 0 Other Services & Charges 4303 Engineering 13,540 19,620 20,000 25,351 20,000 19,030 20,000 0% 0 4304 Legal 518 - 1,000 - 1,000 - 1,000 0% 0 4313 Engineering- Design Stage 5,160 169 5,000 - 5,000 - 5,000 0% 0 4321 Communication 331 604 500 603 500 352 500 0% 0 4351 Print /Publish 129 643 100 142 100 - 100 0% D 4400 Contractual 4,551 17,820 71,500 2,164 71,500 1,216 71,500 0% 0 4420 Depreciation 33,802 38,850 34,000 44,109 40,000 - 45,000 13% 5,000 4433 Subscrip- Member 6,600 33 6,600 - 6,600 0% 0 4440 Misc, Services 2,520 54,846 1,100 - 1,100 - 1,100 0% 0 4450 Service Charges 4 1,000 - 1,000 - 1,000 0% 0 Total Other Services & Charges 60,551 132,556 140,800 72,402 146,800 20,598 151,800 3% 5,000 TOTAL EXPENSES 107,935 203,824 176,752 99,312 182,752 48,999 185,732 2% 2,980 REVENUES OVER/(UNDER) EXPENSES 87,596 84,572 282,900 629,469 287,548 68,968 57,868 10B MEETING TYPE City of Shorewood Council Meeting Item Regular Meeting .......................................................................................................................................................................................................................................................................................................................................................................................................................................................................................................... Title/Subject: Non-Union Wage Adjustments for 2017 Meeting Date: December 12, 2016 Prepared by: Greg Lerud Reviewed by: Bruce DeJong Attachments: 2017 salary calculations and 2017 salary budget estimate Background:An informal survey of local governments is showing a 2.5% increase as being the trend for 2017. The contract negotiated with the union approved a 2.5% increase for 2017, and the 2017 budget approved last Monday night included a 2.5% increase for all non-union employees. A new pay and classification plan was presented in November. But given the timing of the plan,the council has not had an adequate opportunity to consider it, so it cannot be implemented for salary determinations in 2017. However,these increases are still below the top step proposed in that scale except for one position - Assistant Planner. It should also be remembered that as current employees transition to part time positions or retirements,these annual salary amounts could be lower that presented. Financial or Budget Considerations: Wages & Health Insurance A total of$60,000 was approved in the 2017 budget for salary increases and increases in the city contribution toward health insurance. The cost of a 2.5 percent salary increase and an additional $30 per month toward insurance coverage totals$40,995 for the general fund, and $49,670 across all city funds (for all employee groups.) Recommendation/Action Requested: The recommend approving the salary adjustments as proposed in this memo and on the attached sheet. Mission Statement: The City of Shorewood is committed to providing residents quality public services, a healthy environment, a variety of attractive amenities, a sustainable tax base, and sound financial management through effective, efficient, and visionary leadership. Page 1 2017 Non-Union Compensation Proposal for Full-time Employee Calculations 2016 2017 Position Actual Proposed Director of Public Works 104,892 107,514 Finance Director 97,115 99,550 Rec. Coord/Admin. Asst. 59,078 60,555 Asst. Planner 68,867 70,589 Communications/Recycling 57,667 59,119 Coordinator Sr. Acct. 66,109 67,762 Planning Director 98,755 101,224 City Clerk 79,305 81,288 Bldg. Inspector 811737 83,780 Admin. Asst. 59,078 60,555 2017 Salary Expense Estimate 12/07/2016 Salaries * PERA FICA Health Work Comp Total 2016 Administration $ 311,465 $ 23,360 $ 23,827 $ 45,050 $ 2,492 $ 406,193 Finance 117,118 8,784 8,960 17,304 $ 784 152,949 Planning and Zoning 145,575 10,918 11,136 20,394 $ 953 188,977 Protective Inspections 101,956 7,647 7,800 15,450 $ 620 133,472 Engineer 0 0 0 0$ - 0 Public Works 360,044 24,498 27,543 64,890 $ 22,241 499,216 Snow and Ice 40,800 2,832 3,121 8,034 $ 2,460 57,248 Parks Maintenance 75,972 8,431 5,812 15,450 $ 4,588 110,253 Recreation 24,222 1,817 1,853 400 $ 194 28,485 General Fund Subtotal $ 1,177,152 $ 88,286 $ 90,052 $ 186,972 $ 34,331 $ 1,576,794 $ 1,535,799 $ 40,995 Water 89,482 6,711 6,845 15,697 $ 4,483 123,218 Sewer 77,488 5,812 5,928 13,349 $ 4,028 106,604 Recycling 5,912 443 452 1,236 $ 47 8,091 Storm Sewer 22,107 1,658 1,691 3,090 $ 536 29,082 Total Salary Expenditures $ 1,372,140 $ 102,911 $ 104,969 $ 220,344 $ 43,426 $ 1,843,789 $ 1,794,119 $ 49,670 10C MEETING TYPE City of Shorewood Council Meeting Item Regular Meeting .......................................................................................................................................................................................................................................................................................................................................................................................................................................................................................................... Title/Subject: The Waters Senior Housing Project Annexation-Detachment agreement Meeting Date: December 12, 2016 Prepared by: Greg Lerud Reviewed by: Attachments: Proposed agreement and TIF information Background:At the November 28 Shorewood City Council meeting,the Council considered the comprehensive plan amendment and the proposed annexation-detachment agreement("agreement"). The Council approved the comprehensive plan amendment at that meeting, but not the agreement. The stated council position was that any approval was predicated on a future split of property tax proceeds is 70 percent-Shorewood, 30 percent— Excelsior. At their meeting last Monday night,the Excelsior City Council agreed to the 70/30 split and approved the attached agreement. Shorewood staff also requested, and just received today, details about the terms of the proposed tax increment district Excelsior will be setting up. Shorewood does have a significant interest in what those terms provide because the longer the TIF district payoff term,the longer it is before Shorewood realizes its share of the property taxes generated by the development. Recommendation/Action Requested: 1. Refer the TIF plan to staff and fiscal advisor to evaluate impact to City of Shorewood to be reported back at January 9 meeting. 2. Recommend approving the annexation-detachment agreement as proposed. 3. Deny the agreement as proposed. Next Steps and Timelines: We are still waiting to receive Met Council approval for the Comprehensive plan amendment approved at the last city council meeting. Once that is received, the council can consider a Resolution formally approving the comp plan amendment. Mission Statement: The City of Shorewood is committed to providing residents quality public services, a healthy environment, a variety of attractive amenities, a sustainable tax base, and sound financial management through effective, efficient, and visionary leadership. Page 1 ANNEXATION-DETACHMENT AGREEMENT This Annexation-Detachment Agreement ("Agreement") is entered into this day of , 2016 between the City of Excelsior ("Excelsior") and the City of Shorewood ("Shorewood"). WHEREAS, Excelsior has given PUD General and Final Plan approval to a development (the "Development") proposed for a parcel of property located at 723 Water Street in Excelsior, PID #34-117-23-42-0045 (the "Excelsior Parcel") and parcels of property located at 22920 Trunk Highway 7 in Shorewood, PID #s 34-117-23-42-0053 and 34-117-23-42-0067 (the "Shorewood Parcels") (collectively the "Development Parcels"); and WHEREAS,the PUD General and Final Plan approval of the Development have been conditioned on, among other things, annexation of the Shorewood Parcels into Excelsior; and WHEREAS, Excelsior and Shorewood are entering into this Agreement to facilitate detachment of the Shorewood Parcels from Shorewood and annexation of the Shorewood Parcels into Excelsior. NOW, THEREFORE, in consideration of the mutual promises made herein, Excelsior and Shorewood agree as follows: 1. Property Description. A depiction of and legal description for the Shorewood Parcels is attached hereto as Exhibit A. 2. Agreement to Detach and Annex. Excelsior and Shorewood agree to detach the Shorewood Parcels from Shorewood and annex them into Excelsior (the "Annexation- Detachment"). To facilitate this Annexation-Detachment, Excelsior agrees to approve and execute the Resolution attached hereto as Exhibit B, and Shorewood agrees to approve and execute the Resolution attached hereto as Exhibit C. Both cities agree to authorize the City Attorney for the City of Excelsior to submit said resolutions to the Minnesota Office of Administrative Hearings - Municipal Boundary Adjustment Unit along with the appropriate application materials necessary to seek approval of Concurrent Annexation-Detachment pursuant to Minnesota Statutes section 411.061. 3. Conditions of Agreement to Detach and Annex. The agreement made in paragraph 2 above is conditioned upon the following: A. Final Approval of the Development. This Agreement is contingent upon the Development receiving PUD Final Plan approval from the Excelsior City Council. Shorewood and Excelsior shall execute this Agreement and the attached resolutions prior to Excelsior's consideration of the Development's PUD Final Plan application but shall not submit an application for concurrent Annexation- Detachment until the Development's PUD Final Plan application has been approved by the Excelsior City Council. Upon such approval, Excelsior shall submit the executed versions of the resolutions attached hereto as Exhibits B and C and application for concurrent Annexation-Detachment to the Minnesota Office of Administrative Hearings ("OAH"). Shorewood agrees to support said application and cooperate in Excelsior's efforts to obtain approval of the same by the OAH. B. Future Real Estate Tax Revenues. After the Shorewood Parcels are annexed into Excelsior, Excelsior shall share city tax revenues generated by the Development Parcels with Shorewood as follows: i. Prior to Redevelopment. Excelsior shall pay Shorewood 19.68% of the city share of the real estate taxes paid by the Development Parcels beginning in 2017. This percentage is based upon the current assessed values of the Development Parcels (the Shorewood Parcels are currently assessed at $489,000 and the Excelsior Parcel is assessed at $1,996,000). ii. Post-Redevelopment. Subject to the provisions of paragraph 3.B.iii.below,beginning the calendar year after the Development is completed (as evidenced by the issuance by Excelsior of a Certificate of Occupancy), Excelsior shall pay Shorewood 70% of the city share of the real estate taxes generated by the Development Parcels. This percentage reflects the percentage of the post-construction value the county assessor anticipates will be located on the Shorewood Parcels after the Development is completed. iii. Tax Increment Financing. Excelsior has received a request for Tax Increment Financing ("TIF") for the Development. In the event it approves the request, Excelsior's obligation to make payments to Shorewood under paragraph 3.B.ii.above shall be postponed until the TIF District expires or is terminated. During the term of any TIF District approved by Excelsior for the Development, Excelsior shall pay Shorewood 19.68% of the city share of the real estate taxes paid on the base value (i.e., the pre-redevelopment value of the parcels -- $2,485,000) of the Development Parcels. Excelsior shall be responsible for all approval and administration of any TIF District for the Development. iv. Timing. All payments Excelsior is obligated to make under this paragraph 3.13 shall be made within 20 days after Excelsior receives real estate tax payments from Hennepin County. 2 C. Other Payments to Shorewood. In addition to the payments provided for in paragraph 3.13. above, Shorewood shall receive: i. Park Dedication Fees. Excelsior agrees to pay Shorewood $18,850 to compensate for the park dedication fees it would have received from the Developer in conjunction with approval of the Development. Excelsior shall make such payment within thirty (30) days of receiving park dedication fees from the Developer. ii. Administrative Fees. Excelsior agrees that Shorewood may have up to $10,000 in administrative expenses (including attorneys fees) reimbursed by the Developer. Such reimbursement shall be limited to expenses actually incurred as a result of activities related to the Development and shall be documented by invoices submitted by Shorewood to Excelsior. Excelsior shall include a requirement in its Development Agreement that such properly documented costs shall be reimbursed by the Developer. D. No Other Future Obligations. The payment obligations in paragraph 3.13. and 3.C. above constitute the complete obligation of Excelsior to Shorewood in conjunction with the Annexation-Detachment of the Shorewood Parcels. E. Excelsior Responsible for Permitting,Approvals,Administration, and Inspection. Excelsior shall be solely responsible for all regulatory approvals, permitting, and evaluation of the proposed Development including consideration and approval of the PUD Final Plan application, Final Plat Application, TIF Application, and any future applications. F. Fees,Assessments, Charges. Except as provided above, any fees, assessments, or charges of any kind generated from the Development Parcels (including application fees, park dedication fees, special assessments,Water Access Charges, Sewer Access Charges, etc.), whether in conjunction with the Development or in the future, shall be retained by the City of Excelsior. G. Adjustment to Public Safety Funding Formulas. Beginning the calendar year after Excelsior issues a Certificate of Occupancy for the Development, Excelsior and Shorewood agree that 70% of the population,tax capacity, and ICR's from the Development shall be attributed to Shorewood for purposes of calculating the funding formula for the South Lake Minnetonka Police Department and the Excelsior Fire District provided, however,that in the event Excelsior approves the request for TIF referenced in paragraph 3.B.iii. above, only 19.68% of population,tax capacity, and ICR's from the 3 Development shall be allocated to Shorewood until the TIF District expires or is terminated. H. Completion of Project. The parties to this Agreement intend for it to only be effective in the event the Development is actually completed. Accordingly,the Annexation-Detachment agreed to herein shall only become effective upon issuance by Excelsior of a certificate of occupancy for the Development. In the event that a certificate of occupancy is not issued by December 31, 2018,this Agreement and any Annexation-Detachment approved by OAH shall be null and void. 4. Remedy for Default. In the event of a default by either party of any of the items of this Agreement,the non-defaulting party shall provide notice of such alleged default to the other party pursuant to the requirements of paragraph 5 below. Said notice shall describe the events that have created the default and provide the allegedly defaulting party with thirty (30) calendar days to cure the default. If said default is not cured within that time period (or within a longer cure period agreed to by the parties to this Agreement),the non-defaulting party shall be entitled to enforce the terms of this Agreement in the Hennepin County District Court. S. Notices. Whenever in this Agreement it shall be required or permitted that notice or demand be given or served by either party to this Agreement to or on the other party, such notice or demand shall be delivered personally or mailed by United States certified mail (return receipt requested) to the addresses set forth below. Such notice or demand shall be deemed timely given when delivered personally or when deposited in the mail in accordance with the above. Notice to City of Excelsior Notice to City of Shorewood City of Excelsior City of Shorewood Attn: City Manager Attn: City Administrator 339 Third Street 5755 Country Club Road Excelsior, MN 55331 Shorewood, MN 55331 6. Amendment. This Agreement, and the provisions and terms contained herein, may only be amended in a writing signed by Excelsior and Shorewood. 7. Waiver. Failure of either party at anytime to require performance of any provision of this Agreement shall not affect its right to require full performance thereof at any time thereafter and the waiver by either party of a breach of any such provision shall not be taken or held to be a waiver of any subsequent breach thereof or as nullifying the effectiveness of such provision. 8. Severabilitv. In the event that any provision of this Agreement shall be held invalid, illegal or unenforceable by any court of competent jurisdiction, such holding shall 4 pertain only to such section and shall not invalidate or render unenforceable any other provision of this Agreement. 9. Governing Law. This Agreement shall be governed and construed in accordance with the laws of the State of Minnesota. 10. Counterparts. This Agreement may be executed simultaneously in any number of counterparts, each of which shall be an original and shall constitute one and the same Agreement. IN WITNESS WHEREOF,the Excelsior and Shorewood have caused this Agreement to be duly executed on the day and year first above written. CITY OF EXCELSIOR By: By: Mark Gaylord, Mayor Kristi Luger, City Manager STATE OF MINNESOTA ) ) ss. COUNTY OF HENNEPIN ) The foregoing instrument was acknowledged before me this_day of , 2016, by Mark Gaylord and Kristi Luger, Mayor and City Manager of the City of Excelsior, a Minnesota municipal corporation and said instrument was executed on behalf of the City. Notary Public 5 CITY OF SHOREWOOD By: By: Scott Zerby, Mayor Greg Lerud, City Administrator STATE OF MINNESOTA ) ss. COUNTY OF HENNEPIN ) This instrument was acknowledged before me this—day of , 2016 by Scott Zerby and Greg Lerud, Mayor and City Administrator of the City of Shorewood on behalf of said City. Notary Public This document has been drafted by: Kevin Staunton City Attorney City of Excelsior 5277 Lochloy Drive Edina, Minnesota 55436 6 Brenda Pricco From: Greg Lerud Sent: Friday, December 09, 2016 10:25 AM To: Brenda Pricco; Jean Panchyshyn Subject: for Agenda item 10C From: Jay Jensen [mailto:jay(&thewaters.com] Sent: Friday, December 09, 2016 8:07 AM To: Keane, Timothy J.; Greg Lerud Cc: Kristi Luger; Pat Smith; Mikaela Huot (mhuot(cbspringsted.com); Jay Jensen; Kevin Staunton (kevin@stauntonlaw.com) Subject: The Waters of Excelsior TIF Greg and Tim, Per your request, attached is the structure for the Waters of Excelsior'l.'IF Loan. This will be a Redevelopment District with tip to a 25 yearTIF term. 'I'he 'FTF eligible underground parking cost is estimated to be $2,275,000 and more than exceeds the $2,008,866 (the total of the offsite public improvements and the undergroUnd p arIcing 'Fhe,rTF Loan will be placed at Bridgewater Bank with. a scheduled 25 year term loan.. 'I'he11F I.oan will. be underwritten by Bridgewater Bank. -\vith a 1,1.5X debt service coverage. It is ass-Limed that the property taxes will increase by 3% per year. The '1'1F riot used to pay the ,scheduled $195,567 annual debt, service will be used to prepay principal. Tic net impact of the principal prepayments Will be to shorten. the amortization from 25 years to approximately 16 years. Please let me know if you have any questions. Sorr for my delayed. response. y I I Thanks Jay Jay Jensen I Principal Direct (952) 358-5110 1 Main (952) 358-5100 1 Fax (952) 358-5010 1 1600 Hopkins Crossroad, Minnetonka, MN 55305 C it -#* Senior Living Communities: www.thewatersseniorliybg.com I Multi Family Communities: www.sheitercorD.com Waters of Excelsior TIF Proposed Valuation 115 UNITS New Market Value ($164,000/unit per Assessor) $18,900,000 New Tax base (1.25% of value) $236,250 Less existing tax base ($30)988) Captured Net Tax Base $209,637 Annual Gross tax increment at property tax rate of 1.0975 $230,077 City Administration &State Auditor cost subtracted ($5,800) Net TIF $224,277 BRIDGEWATER BANK TIF LOAN TIF Loan $2,500,000 25 Amoritization (years) Annual Bank Loan Payment ($195)567) 6% Interest Rate Bank Loan coverage ratio 1.15 USES OF THE TIF LOAN, Bank loan Costs (4%) ($100)000) Capitalized Interest (two years) ($391)133.59) Off site public improvements - sidewalks &intersection ($413)000) Waters TIF assistance - underground parking ($1,595,866) Total $2,500,000