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HomeMy WebLinkAbout5B -1994-1998 Capital Improvement Program AGENDA #: PREPARED BY: SUBJECT: DATE: INTRODUCTION: DISCUSSION: ISSUES: STAFF AGENDA REPORT 5B RALPH TESCHNER, FINANCE DIRECTOR CONSIDER APPROVAL OF 1994-1998 CAPITAL IMPROVEMENT PROGRAM AND SUPPORTIVE REVENUE FEE INCREASES SEPTEMBER 20, 1993 The City Council has now conducted a workshop on the proposed 1994-1998 Capital Improvement Program (CIP) and a public information meeting. The minutes of the public information meeting are attached as part of this agenda packet plus a priority listing of county road projects and a cost summary for those projects tentatively scheduled for 1994. The information meeting did not generate a significant number of comments with respect to the proposed CIP. The Council inquired about the property tax impact which the Capital Improvement Program may have. The impact varies from year to year. A cumulative property tax cost total of approximately $600.00, would be generated during the course of the five year CIP plan, assuming all projects become reality. In 1994 there are six proposed City projects and two County projects that are scheduled which require tax levy support. For a complete listing of the proposed 1994 projects see attached "Project Cost Summary 1994". The aggregate amount of these levies total $1,615,000.00 which would result in an annual property tax levy of $212,000.00 for a bond period of 10 years. This would would represent a property tax increase of nearly 7% ($39.37) upon the average $110,000 Prior Lake home in 1995. The 1994 project description, project cost, the associated City project levy and property tax impact is identified as follows: Project Description Project Cost Project Levy Tax Impact Memorial Restrooms $50,000 $50,000 $1.22 Sand Point Entrance $75,000 $75,000 $1.83 Seal Coating $150,000 $150,000 $3.66 Ridgemont $300,000 $150,000 $3.66 CSAH 18 Upgrade $500,000 $100,000 $2.44 Prior South Overlay $500,000 $200,000 $4.88 Northwood Road $720,000 $160,000 $3.90 CSAH 44 Upgrade $1,680,000 $730,000 $17.78 TOTALS $3,975,000 $1,615,000 $39.37 The City Council should critically review the proposed 1994 projects included in the CIP. Those programs which are not deemed to be of high priority should be eliminated now so that they do not generate public 4629 Dakota S1. S.E., Prior Lake, Minnesota 55372' / Ph. (612) 447-4230 / Fax (612) 447-4245 AJ'., EQUAL OPPORTUNITY E.."1PLOYER concern or staff effort and expense just to be dropped following the public hearing. Eliminating or delaying projects which the Council deems to be a lower priority will reduce the property tax burden on the public. After reviewing the proposed projects, the Council should consider the following fee increases which are considered necessary to provide an adequate revenue stream: Current Proposed AMM Survey Revenue Fee Charge Charge Average 1. Collector Street Fee Bldg. Permit Fee $250.00 $350.00 n/a Acreage Charge $700.00 $1200.00 n/a 2. SAC & WAC Charge Bldg. Permit Fee $700.00 $900.00 $1380.00 Acreage Charge $2750.00 $3000.00 $3500.00 3. Water Tower Charge Bldg. Permit Fee $500.00 $600.00 n/a 4. Park SupportfTrail Fee Bldg. Permit Fee $350.00 $650.00 $815.00 The AMM figure is derived upon various composite averages, utilizing representative growth communities of Chanhassen, Eagan, Eden Prairie, Lakeville, Plymouth and Savage. Shakopee was also used in the SAC & WAC survey results. The initial collector street fee inception (10/12/92) was approved by the Council with the understanding that it was not sufficient to provide adequate funding for the total cost of the collector street system, and that graduated increases would be necessary. Originally it was projected that a $1950 acreage charge would be required. This proposed increase to $1200 per acre plus the $100 incremental increase on the building permit will make up some of that distance. The Council's final action on this agenda item should determine final priority for the proposed County projects in order that the staff can "lobby" for their support on an hierarchical order. This request was made by the County because of their concern that municipalities may sometimes "change their priorities" during the course of the year. This will help the County in finalizing their Capital Improvement plans as well. ISSUES: The revenue sources above are the basis for a significant portion of City expenditures associated with collector road construction, trunk system improvements and park trailways within the community. Such cost are a direct spinoff of growth and as a result, funding should be heavily dependent on the development activity responsible for these capital outlays. All fee increases subject to collection at time of building permit application should be deferred until January 1, 1994. The reason is that Building Official Gary Staber notifies all of our area builders of the various fee amounts including MWCC charges prior to the beginning of the new year. -2 - Also, it has not been usual and customary practice for the Council to adopt midyear adjustments ALTERNATIVES: The following alternatives are available: 1. Following discussion of the CIP authorize its approval, direct the revision of revenue policies and establish a priority with respect to County policies. 2. Defer consideration of any or all of these matters for specific reasons. RECOMMENDATION: Alternative #1 ACTION REQUIRED: Adopt three distinct motions: a. Approve the proposed 1994-1998 Capital Improvement Program as is or as amended. b. Approve the fee increases as outlined and direct Staff to incorporate these new amounts in ordinance form where appropriate and make the necessary revisions within the City's assessment projects c. Establish priorities for County Road Improvement Projects. AGNCIPWRT -3 - Prior Lake City Council Minutes August 16, 1993 MOTION BY WHITE, SECONDED BY SCOTT, TO APPROVE THE CONSENT AGENDA ITEMS (8) thru (g). Upon a vote taken, ayes by Kedrowski, Fitzgerald, Scott and White, the motion passed unanimously. 5. PRESENTATIONS: / \ A. Public Infonnatlon Meeting Regarding Draft of 1994-1998 Capital Improvement Program. City Manager Boyles explained the process to be followed for public Input and Council consideration, and gave a brief overview of the Program and Executive Summary. Finance Director Teschner reviewed the proposed expenditures and anticipated revenue sources. Public Works Director Anderson reviewed County Road Projects which had been proposed during the County/Council workshop earlier this Spring. Anderson discussed each project and the timeframe as stated by the Scott County Engineering Department, and requested input from the Council regarding their priorities. Discussion occurred regarding various aspects of the proposed road projects. j (Attorney Rathke arrived at 8:00 p.m.). Acting Mayor Kedrowski then opened the meeting for public comment on both the Capital Improvement Program and the proposed County Road improvement projects. The following residents addressed the Council regarding the County Road projects: Mannie Russo. 5384 161 Street. Opposed a four lane road for County Road 44. Donald Ramm, 16811 Willow Lane. Inquired about plans for connecting Willow Lane with Five Hawks Avenue. Acting Mayor Kedrowski closed the meeting to public comment at 8:35 p.m. Council then discussed the proposed plans for County Road 44 and expressed concern over the initial levy and property tax impact. After discussion, City Manager Boyles stated that the Capital Improvement Program would be placed on the September 7 Agenda for Council approval. 6. OLD BUSINESS A. Consider Approval of Resolution 93-70 Final Plat of Westbury Ponds. Planning Director Graser presented details of the request and stated that City Attorney Glenn Kessel had examined the plat and other title work associated with the development and is confident all contingencies have been met in the agreement, subject to signing of developer's agreement by the Mayor and City Manager. Ron Swanson of Valley Surveying, representing the developer of Westbury Ponds, stated that all the required adjustments had been completed. .2. PROJECT COST SUMMARY 1994 Project Description Financing Source Project Cost 1. ADA Compliance Property Tax $25,000.00 2. Knob Hills Trails Capital Park $12,000.00 3. Carriage Hills Trails Capital Park $30,000.00 4. Westbury Ponds Trails Capital Park $30,000.00 5. Cardinal Ridge Trails Capital Park $40,000.00 6. Memorial Park Rest Rooms Project Levy $50,000.00 7. Neighborhood Park Shelters Capital Park $25,000.00 8. Neighborhood Park Improvements Capital Park $30,000.00 9. Sand Point Entrance Rd. Paving Project Levy $50,000.00 10. Seal Sanitary Sewer Lines Utility Revenue $30,000.00 11. Fish Point Road Overlay MSA Funds $50,000.00 12. Seal Coating Project Levy $150,000.00 13. Ridgemont Avenue SfW/P Assess/Levy $300,000.00 14. Wilds Trunk Extension Trunk Reserve $400,000.00 15. CSAH 18 Upgrade County/Levy $500,000.00 16. Street Overlay (prior South) Assess/Levy $500,000.00 17. Northwood Road Reconstruction Assess/Levy /MSA $720,000.00 18. CSAH 44 Upgrade Levy/County $1,680,000.00 19. CSAH 83 Upgrade Dakota/Developer $1,750,000.00 20. Public Works Facility Revenue Bonds $2,650,000.00 21. Carriage Hill Road extension MSAjCollector $350,000.00 22. Channel Stabilization Storm Utility $10,000.00 23. Storm Water Impound. Structures Storm Utility $22,000.00 24 Storm Water Pond Dredging Storm Utility $10,000.00 TOTALS $9,414,000.00 CIPSUM.WRT PRIOR LAKE SCOTT COUNTY ROAD PRIORITIES September 7, 1993 1. County Road 42 - Femdale to Boone. 2. County Road 21 - Fish Point to 35W. 3. County Road 42 - Femdale to County Road 21. 4. County Road 18 - County Road 42 to T.H. 101. 5. County Road 44 - Highway 13 to County Road 27. 6. County Road 42 - County Road 21 to County Road 83. 7. County Road 21 - County Road 42 to County Road 82. 8. County Road 42 - County Road 83 to County Road 17. 9. County Road 83 - County Road 82 to County Road 42. 10. County Road 23 Realignment. 11. County Road 21 North of County Road 42. FBAG.WRT