Loading...
091691 CC Reg Min CITY OF SHOREWOOD CITY COUNCIL WORKSHOP MONDAY, SEPTEMBER 16, 1991 COUNCIL CHAMBERS 5755 COUNTRY CLUB ROAD PAGE 1 . M I NUT E S 1. CALL TO ORDER Councilmember Gagne called the meeting to order at 7:05 P.M. B. ROLL CALL Present: Councilmembers Gagne, Stover, Daugherty and Lewis, City Administrator Hurm, City Engineer Dresel, City Finance Director Rolek, City Planner Nielsen and Public Works Superintendent Zdrazil. Absent: Mayor Brancel 2. DRAINAGE ISSUES City Engineer Dresel said a storm drainage map was developed in the 1970's identifying the drainage areas in Shorewood. He said there are two major problems to be addressed. . 1 . 2. The City has no Capital Drainage Project funds. The City needs money for small drainage projects. Dresel said the City is proposing to charge each household $15.00 per year utility charge to be used for drainage projects. He said the City will be divided into 16 Watershed Districts within a Shorewood/Lake Minnetonka Drainage District. Councilmember Stover said the current policy requires the approval of more than 50% of the residents before a project can be assessed. She asked if this policy will remain in affect. Dresel said the Council will have to decide if they want to make a policy change. He said the legislature approved the establishment of drainage districts to assess everyone in an area for a drainage project. Dresel said residents on high ground do not want to pay for drainage problems. Dresel said three projects have already been identified as needing immediate attention. 1. Grant Lorenz 2. Glen Road 3. Public Works pond Councilmember Lewis said, with the current policy, a small minority can hold UP a project. . Councilmember Gagne asked what dollar amount would they consider to be a small project. 1 . . . CITY COUNCIL WORKSHOP SEPTEMBER 16. 1991 - PAGE 2 Dresel said a project under about $35,000 will be considered a small project. STREETS Dresel explained that funds are available for designated MSA (Municipal State Aid) roads. At the present time Shorewood has about $500,000 in the MSA fund. Dresel said he has worked with Public Works Superintendent Zdrazil to prepare a street pavement schedule, however, they are not proposing to do this with a computer program. They agreed that Strawberry Lane will be the first road to be reconstructed; it is scheduled to be done next year. EQUIPMENT REPLACEMENT SCHEDULE Hurm said a schedule for equipment replacement has been put together. He said equipment certificates can be used to purchase equipment during times of peak replacement. Gagne said the City has been saving ahead to purchase equipment and this would reverse that policy. Finance Director Rolek said the City can do both. He said there is $105,000 in the Equipment Fund. The City can finance equipment in many ways but there should be a plan. Hurm and Rolek said the City can issue Equipment Certificates or Springsted can do this. They said banks are very eager to purchase these certificates. Hurm said the City should look at all options, make a decision and stick with it. Public Works Superintendent Zdrazil said the replacement schedule has remained the same, however, a $50,000 per year budget will not be enough. PUBLIC FACILITY Dresel said the public works site is being graded and there is a lot of excess fill. It is on schedule. SANITARY SEWER Dresel is recommending discontinuation of the I & I project. Stover asked about the Metro. Sewer contract. Dresel said the MWCC is examining overall 1/1 rates. Gagne asked why an average of the S. E. Area water usage can't be used to calculate sewer rates. Dresel said the area has a lot of groundwater and storm runoff and this complicates the calculations. ~ k CITY COUNC I L WORKSHOP SEPTEMBER 16. 1991 - PAGE 3 . WATER Hurm referred to the revised spreadsheet for a fully developed water system. Hurm said the City recalculated the number of units to be assessed for water and determined there are about 1800 units. The assessment per unit would then be $7300. Hurm said each resident would be assessed $800 for construction of a new tower and trunck main and $4000 for the lateral line. He said any new units that are added after the water is installed would pay a $2500 connection fee in addition to the $4000 for the lateral line. He said all residents would have to connect within five years. This revenue would be needed to make the project work. Water rates will increase 3% annually beginning in 1996. Hurm said a second water treatment plant may be needed in the western section of the City. Gagne said they should include a second water treatment plant. Hurm said the City could start the 3% rate increase a year earlier to obtain funds for this plant. . Hurm said it might be advisable to obtain an appraisal of the potential increase in value of the properties with water installed. This may be costly but could save money in any potential lawsuits. Hurm said residents should be told the proposal would require them to connect to the water system within five years. Stover said she will not support any plan that requires connection. She said this will require a policy change and many older residents will object. Gagne asked how long the project will take. Hurm said it will take three years. Gagne said he cannot support assessing a residents before the water is installed. Hurm said all would be assessed $800 spread over 15 years beginning in December of 1992. Water would be available, depending on location, in the fall of 1992, 1993 and 1996. It would be at that point that the $4000 would be assessed over 15 years. Gagne said he thinks residents will approve a water system. "FUDGE FACTORS" . Hurm presented a number of factors that could adjust the costs of the project. He said he hopes the 35% standard soft costs could be reduced to 25% due to economies of scale. Gagne asked what kind of negotiations can be done on a large contract. Dresel said there would not be much negotiation if they wanted the project done in one year because only about two contractors can handle ..::1 . . . CITY COUNCIL WORKSHOP SEPTEMBER 16. 1991 - PAGE 4 that kind of project. However, over a period of three years, many contractors can bid on the project. POLICY QUESTIONS Hurm reviewed a series of policy questions and possible changes. Stover objected to requiring connection to the system. Gagne, Lewis and Daugherty said requiring connection is necessary to make the system work. Daugherty said the City should obtain input from residents in the form of flyers to their homes. Gagne said the City should have the two information meetings and make a decision. Nielsen said all residents should receive notification of the proposed system because their rates will be affected. Daugherty said a telephone survey can be done. Lewis agreed with this. Hurm said the City can mail flyers and information packets, then do a telephone survey and finally have the two information meetings. He asked the Council if they agreed with the Policy statements presented. Lewis, Daugherty and Gagne agreed. They wanted the addition of a treatment plant in the Western section of Shorewood. Stover did not. WATER PROGRAM INFORMATION PACKET Hurm reviewed an outline of the proposed information packet. The Council said the packet should not be presented as Pros and Cons. The packet should simply list the facts of the project and considerations involved. Gagne asked if the rest of the Council agreed with the policy not to encourage development by not assessing property until it is developed. The Council did agree with this. The Council discussed the costs of abandoning a well and the costs ranged between $300 and $1000. The Council will have to make a decision regarding this. They decided to delete this from the packet, as any abandoned well, with or without a City system, would need to be capped. At this point the City would not require abandonment. Well water could still be used outside. The Council decided to have an independent group do a telephone survey. Nielsen recommended Judith Marshik who did the Senior Housing Study. 4 . . . " CITY COUNCIL WORKSHOP SEPTEMBER 16, 1991 - PAGE 5 . ' The Council tentatively set Nov. 4 and Nov. 18 as the information meeting nights. ADJOURNMENT Gagne moved, Stover seconded to adjourn the meeting at 10:02 P.M. Motion carried - 5/0 RESPECTFULLY SUBMITTED Katie Snyder Recording Secretary r.... :'::J