Loading...
HomeMy WebLinkAbout5A - Draft of 1994-1998 CIP . ~ AGENDA ,: PREPARED BY: SUBJECT: DATE: '1ACKGROUND: :)ISCUSSION: STAFF AGENDA REPORT 5A FRANK BOYLES, CITY MANAGER PUBLIC INFORMATION MEETING REGARDING DRAFT OF 1994 - 1998 CAPITAL IMPROVEMENT PROGRAM. AUGUST 16, 1993 At the August 2, 1993 Capital Improvement Program workshop, the Council directed that a public information meeting be held on Monday, August 16 to afford the public an opportunity to provide input on the proposed Capital Improvement Program projects for 1994 thru 1998. The Council further directed that the CIP be placed on the September 7, 1993 Council agenda for final approval, and that as soon as possible thereafter, the Public Works Director request City Council authorization to complete feasibility studies for projects proposed for 1994. The purpose of the public Information meeting is threefold: 1. To review In a summary fashion the projects which are scheduled for completion In the 1994-1998 CIP. To facilitate this objective Kay Kuhlmann has prepared the attached Executive Summary for the 1994 Capital Budget and for the 1995-1998 Program. We will review this Executive Summary at the public information meeting. I have also attached a copy of the notes from the August 2, 1993 Capital Improvement Workshop which have not yet been incorporated into the Capital Improvement Program but will be completed by the September 7 meeting. 2. Review Capital Improvement Program revenue sources. Attached is a memorandum from Finance Director Ralph Teschner which reviews each. of the primary funding sources for the Capital Improvement Program. I believe it is essential for the City Council to be aware of these funding sources and provide direction to the staff on funding mechanisms which -1- 4629 Dakota 51. 5.E., Prior Lake, Minnesota 55372 I Ph. (612) 447-4230 I Fax (612) 447-4245 AN EQUAL OPPORTUNITY EMPLOYER require modification and updating. These funding sources define the tax burden for Prior Lake residents and also determine the total number and magnitude of Capital Improvement projects which the City can accomplish based upon fiscal capacity. 3. Review County Road Improvement priorities. Attached is a list of County Road improvement projects which were provided to the City Council at our joint City Council/County Board meeting. The Council should review these priorities once again to determine whether there are changes In priority ranking. RECOMMENDATION: The City Council should receive the staff report regarding Capital Improvement Program projects, revenues, and County street construction priorities. Input should then be requested from the public on all three Issues. Following that, the Council can discuss each topic and direct the staff accordingly in order that the final Capital Improvement Program can be prepared for City Council adoption on September 7. AGSA.WRT -2 - EXECUTIVE SUMMARY. 1994 CAPITAL BUDGET The proposed 1994 projects are summarized to brief the reader on the highlights of the Capital Program. Please refer to the attached budget for details of description, location, purpose, priority and cost/benefits. ADMINISTRATION 1. ADA compliance requires the City to make facility improvements to remove any ac- cessibility barriers. This is a high priority item. PARK AND RECREATION 1. A high priority will be the construction of trails in the Knob Hill Subdivision, Carriage Hills Subdivision, Westbury Ponds Subdivision, and Cardinal Ridge Subdivision. 2. The replacement of bathrooms at Memorial Park 'will be constructed in 1994. The restrooms will be constructed under the new grandstand with additional storage added for parks and recreation maintenance equipment. 3. A medium priority will be to construct park shelters in neighborhoods. One is pro- posed for 1994. 4. A medium priority in the Parks and Recreation Department will be the development improvment of neighborhood parks. Two neighborhood parks will be improved in 1994. 5. The Parks and Recreation Department needs to improve access into parks and have requested funds to improve the community park roads and parking lots with concrete curb and bituminous surface. PUBLIC WORKS 1. Ongoing maintenance with sanitary sewer lines prevents major break downs in the system. Televising lines to identify small problems prevents these problems. This is a high priority. 2. The restoration of collect street pavement Fish Point Road from Glory Circle to County Road 44 is a high priority for 1994. 3. The City has prepared a program for ongoing seal coating and funds have been set aside in 1994 to continue this activity. This is a high priority. 4. The reconstruction of Ridgemont Avenue from 300 feet north of Highway 13 to Hope Street and extension of sewer and water services are proposed for 1994. This is a medium priority. 5. The Wilds development is a high priority and extension of sewer and water lines from County Road 21 to the area is proposed for 1994. 6. An additional high priority would be the widening of County Road 18 from the City limits to County Road 42 from rural roadway to full urban roadway. 7. Ongoing street overlay program and minor projects to restore bituminous paved streets is planned for 1994. This is a high priority. 8. The Fremont Road reconstruction from County Road 12 to Fremont is a high priority. 9. Widening of County Road 44 from Highway 13 to the City limits is a medium priority. This would include an expansion from two lane rural roadway to four lane urban roadway with sidewalks, bikewalks and lighting. 10. The City anticipates widening County Road 83 from 82 to 42 with the assistance of the Dakota Community and Scott County. This is a high priority for 1994. 11. Construction of a new public works/parks maintenance building is proposed for 1994. This is a medium priority based on the Space Needs Study Analysis. 12. Extension of Carriage Hill Roads into the North Shore area is a medium priority for 1994. This will be developer driven. WATER RESOURCES 1. Three Water Resource projects have identified as medium priorities for 1994 - 1995. They would include channel stablization projects in the Edinborough, Cates to Dutch, and Fish Point Park areas. The purpose of these projects is to minimize erosion along the banks of existing drainage channels. 2. Also identified as water improvement projects would be to create storm water im- poundment structures to decrease runoff flows through existing channels. These would be proposed in 1994 for the Westbury Ponds and the ponds east of Duluth Avenue. 3. To dredge existing storm water ponds of accumulated sediment. This would be a high priority. CAPITAL IMPROVEMENT PROGRAM 1995-1998 HIGHLIGHTS The 1995-1998 Capital Improvement Program Is a listing of projects that Includes new construction projects. This highlight will Include only those projects that expand existing services or Improvements. Please note that the projects Identified here are preliminary In concept and subject to further study, analysis and Council review. Approval of these Items, authorizes staff to pursue the the detail work on these projects In the CIP. ADMINISTRATION 1. Compliance with ADA will require ongoing facility improvement. This is a high priority until complete accessibility to facilities is achieved. FIRE DEPARTMENT 1. In 1997 the City anticipates enhancing fire fighting rescue services by creating a satellite fire station. The money budgeted in 1997 is for land acquisition. PARK AND RECREATION 1. Parks and Recreation improvement projects include under the high priority category: trails extension through The Wilds, the completion of tennis courts added at The Ponds Athletic Complex, the extension of irrigation throughout The Ponds Athletic Complex, the lighting and field expansion in The Ponds Athletic Complex. 2. Under the category of medium priority would be the continuation of adding park shelters throughout the neighborhood parks. The development improvement of neighborhood parks. The paving of park roads and parking lots. The acquisition of additional property at Lakefront Park and the relocation of the entrance. 3. A low priority in the Parks and Recreation Department would be the construction of the water slide at Sand Point Beach. PUBLIC WORKS 1. Ongoing maintenance of the sanitary sewer lines includes televising and sealing san- itary sewer lines. This is a high priority and is ongoing throughout the CIP. 2. Street overlay improvements are also ongoing and are high priority throughout the entire five year CIP. 3. The City anticipates an extension of Carriage Hills again in 1996. This would be a medium priority and developer driven. 4. Prior Lake is responsible for repainting the signals along T.H. 13 and anticipate in 1995 establishing a high priority of repainting all the mast arms. 5. Reconstruction of Mushtown Road in Section 11 along the recently annexed area by Woodridge Estates is anticipated for 1995. This is a medium priority. 6. Also identified as an improvement project in 1995 would be the extension of Fish Point Road through the Sienna property. This would be a medium priority and developer driven. 7. The City anticipates continuing the upgrading of County Road 42 from a two lane to a four lane rural roadway with bikeway improvement. This is a high priority in 1995. 8. The City anticipates widening County Road 21 from County Road 82 to County Road 42 in 1995 as a high priority. 9. Highway 13 is anticipated to be upgrade by the State of Minnesota in 1996. This is a high priority. The City's involvement will include participation with creating turn lanes, frontage roads, sidewalks, and bikeways. 10. The City anticipates relocating and realigning County Road 23 and 170th Street near the south City lines. This is a high priority in 1997. 11. Also in 1997 is a high priority is the City anticipates the completion of the upgrading of County Road 42 from County Road 21 to the City limits. 12. In 1998 the City anticipates constructing a water treatment plant to eliminate the high iron and magnesium concentration from our water supply. This is a medium priority. WATER RESOURCES 1. Ongoing channel stablization projects include Cates to Dutch and Fish Point in 1995. This is a medium priority. 2. High priorities for storm water impoundment structures would be controlling the runoff flows on the ponds adjacent to Highway 13 south of County Road 21. 3. Ongoing storm water pond dredging has been identified for all the years in the CIP. 4. Identified as a medium priority would be the land and easement acquisition for ponds in 1997. 5. A medium priority for 1998 would be water quality improvements to the Sand Point drainage district. NOTES FROM AUGUST 2, 1993 CAPITAL IMPROVEMENT PROGRAM WORKSHOP 1. Consider the possibility of including a new library site with the City Hall construction or reconstruction. 2. The consultant should identify what should be done to eliminate the current space deficiencies which show 13,000 square feet now, but a total needed of 32,000 square feet. Boarman, Kroos should identify the alternatives for short term solutions together with potential costs. 3. Evaluate the appropriateness of a two station versus a three station format. 4. Consider revising the eIP to provide for four youths softball fields in the immediate future so that neighborhood parks do not have to be used for youth athletic purposes. 5. Clarify why the Park and Recreation program provides activities for 1994, '95, '96 and nothing for '97 and '98. 6. Televising sanitary sewers should be ranked high #1, not high #2. 7. Upon adoption of the 1994 - 1998 Cll?, the City Council wants to provide the County with City directions with respect to the County Capital Improvement Program, especially regarding the improvements of CR 21 north of CR 42. FB:db Distribution: All Department Heads David Kroos 4629 Dakota 5t. 5.E., Prior Lake, Minnesota 55372 / Ph. (612) 4474230 I Fax (612) 447-4245 AN EQUAL oPPORnJNITY EMPI...OVER MEMORANDUM TO: FROM: Mayor & City Council Ralph Teschner, Fmance Director 1994-98 CIP August 16, 1993 RE: DATE: Capital Improvement Program (1994-1998) Revenue Analysis Capital improvement programs (C.I.P.) are aggressive planning documents which provide a blueprint of construction projects and revenue sources for the next five years. The projects are detennined necessary both to provide the appropriate infrastructure for a growing community but also for those improvements required to protect our existing investment. Project need and resource availability are the two primary factors that are used to prioritize which projects are to be completed during the course of a CIP. To ensure the success of our capital improvement program, the following three criteria must exist: 1. Funding sources must be available to finance the improvement costs. 2. Revenue mix and balance must be achieved to avoid single source dependence. 3. Revenue levels must provide adequate cash flow to fund those expenditures that are reliant upon dedicated sources. The intent of this analysis is to evaluate the above revenue criteria. The purpose is to identify the citizen cost involved, if applicable, and to layout those revenue levels so that the City can identify potential shortfalls and correct those deficits. [Property tax impact calculation is a cumulative amount of dollars over the duration of the CIP based upon an average Prior Lake home with a market value of $110,000.00.] Financing Method: Property Tax Impact: Capsule Synopsis: Strategy: Financing Method: Property Tax Impact: Capsule Synopsis: Strategy: Property Tax $36.68 Approved projects, using direct property tax suPPOl'4 would be incorporated into the annual operating budget. Council control Referendum $94.01 Exclusive use of property tax as authorized by public would generate twenty year taxation stream. Public determination 4629 Dakota 51. 5.E., Prior Lake, Minnesota 55372 / Ph. (612) 447-4230 / Fax (612) 447-4245 AN EQUAL OPPORTUNITY EMPLOYER Financing Method: Property Tax Impact: Capsule Synopsis: Strategy: Financing Method: Property Tax Impact: Capsule Synopsis: Strategy: Financing Method: Property Tax Impact: Capsule Synopsis: Strategy: Financing Method: Property Tax Impact: Capsule Synopsis: Strategy: Special Assessments Limited application Costfbenefit situation whereby only those property owners benefiting by improvement would incur assessment. Council control Project Levy $510.88 Nature of these projects are of general citywide benefit. The financing is leveraged by Chapter 429 bond issues which utilizes special assessments of a minimum of 20%. The difference between the amount assessed and the project cost becomes a levy upon the property taxes. Options to manage this taxation level primarily involve project standards and timing. The majority of the project levy amounts involve county road projects that are improved under urban or rural standards. Urban standards are more expensive because they involve curb & gutter, lighting and landscape costs. The Council may wish to either modify cost participation elements, elect rural standards or delay the project. Intergovernmental nla Project oversight is under jurisdiction of either federal, state, county or Indian community control. Majority of funding is responsibility of these entities with, in most cases, a significantly lesser amount matched by Prior Lake in the fonn of a project levy. Agency control Municipal State Aid nla The City's Municipal State Aid account balance is currently $1,188,028.50. Of this amount an estimated $975,000.00 is encumbered for the construction of Carriage Hills Road and FISh Point Road for this year. Our annual construction allotment is projected to be $300,000.00. Therefore, the total amount available for MSA construction activities based upon future allocations and our remaining account balance, is approximately $1,700,000.00. Aggregate expenditure needs within the CIP equal $1,734,000.00. Basically our MSA requirements cash flow in total, however a deficit does occur in the year 1997 because construction activity is double our annual appropriation. The Council has five options to consider which would correct this situation: 1. Scale back project scope with respect to trails and sidewalks. 2. Borrow against our future MSA appropriations. The State of Financing Method: Properly Tax Impact: Capsule Synopsis: Strategy: Financing Method: Property Tax Impact: Capsule Synopsis: Strategy: Minnesota does allow cities an advance of up to three years in allocations. 3. Revise city policy to include greater cost participation by the developer ie; site grading, assess a residential road equivalent charge, etc. 4. Require developer to pay 100% of the cost in those cases whereby the improvement is petitioned but may not be scheduled within the CIP timeframe. 5. Delay the project until our MSA funds are adequately reserved and available. Capital Park Fund nfa Dedicated funds generated by park dedication fees and park support fees on new construction building pennits for the purpose of developing the City's neighborhood park system. The current fund balance is $96,000.00 Assuming annual building permit volume of an average of 250 units the following projections would exist: $437,500.00 (support fees... 1250 x $350) ~75.()()().()() (dedication cask.. $15,OOO/yr) <$427,000.00> (less project expenditures) On paper the revenues generated appear to be sufficient. However, it takes on average three years for a subdivision to build out while the trails must be front-end funded at the initial stage of utility installation. Also it must be recognized that the development assumed is very minimal and provides only for basic playground structures and open air shelters. An upgrade would require an infusion of cask The following is a sample of what other growth communities charge per lot for trails supportfees: Chanhassen $1,000.00 Eagan $700.00 Eden Prairie $840.00 Lakeville $650.00 Plymouth $885.00 Based upon these assumptions our $350.00 charge is inadequate and should be revised to a minimum of $650.00. Grant/Contributions nfa Normally involves private funding activity such as donations from community civic organizations. The only project identified within the context of this description is the water slide in Lakefront Park. Private sector control Financing Method: Property Tax Impact Capsule Synopsis: Strategy: Financing Method: Property Tax Impact: Capsule Synopsis: Strategy: Financing Method: Property Tax Impact: Capsule Synopsis: Strategy: Other/Street Collector Fund nJa The collector street fee is a funding mechanism to provide a supplementary source of revenue to finance those corridorJtrailJparkway type improvements associated with the City's collector street system. On October 12, 1992 the City Council approved Resolution 92-28 establishing a collector street charge with the understanding that both the acreage and building permit fee amounts were less than needed Below is a comparison of the fee amounts adopted versus necessary: Permit Charge... $250.00/250.00 Acreage Fee ... $700.001$1950.00 This is an area that should be re-visited when the Council reviews the 1994 Fee Schedule. At the very least a step increase for the acreage fee should be considered In order for the City to continue to develop, the transportation system must be in place. The Collector Fund balance is less than $50,000.00. In 1993 and 1994 we expect to expend virtually the entire balance on Carriage Hills Road. It is crucial that these fees be raised to a realistic level. The Council may wish to undertake this in steps. Increasing by 25% per year for five years might be one way of accomplishing the needed changes. Other{frunk Reserve Fund nJa Dedicated funds generated from utility connection pennits and acreage fees assessed at time of water and sewer installation for the purpose of trunk oversizing costs and central municipal system improvements. The most common use of the Trunk Reserve Fund occurs when a developer is required to install trunk lines as part of the individual ~ development. These reimbursement draws are virtually entirely driven and timed by development requests. Current fund balance is established at $697,000.00. The present charge of $2750.oo/acre should be reviewed and increased if appropriate in 1994. OtherJUtility Revenue User fee basis Either enterprise fund revenue would be pledged to finance improvements or revenue bonds would be issued to underwrite the cost of large expenditure projects supported by utility revenues. The City has established two enterprise funds; Water &: Sewer Utility and most recently the Water Quality Utility. The water quality rates were established and designed to provide a revenue stream to offset approximately $100-120,000 of improvements including administration costs which is representative in the CIP. While the $5.00 CFAC charge (capitalfacility) on the water bills is providing an Financing Method: Property Tax Impact: Capsule Synopsis: Strategy: annual set aside 01 nearly $110,000 both the public works facility and the water treatment plant would require rate adjustments. Other/Developer nla Means of financing is solely the responsibility of a developer who is requesting that improvements to privately owned property be underwritten by the City as part of a bond issue and assessed accordingly. Or the developer compensates the City directly for costs attributed specifically to the development. Developer initiated · COUNTY ROAD PRIORITIES 1. 2. 3. County Road 42, Femdale to Boone County Road 18, County Road 42 to T.H. 101 County Road 21, Fish Point to 35W 4. County Road 42, Femdale to County Road 21 County Road 83, County Road 82 to County Road 42 County Road 42, County Road 21 to County Road 17 5. 6. 7. County Road 21, County Road 42 to County Road 82 County Road 23, Realignment 8. 9. County Road 44, Highway 13 to County Road 27 10. County Road 17, Highway 13 to County Road 12 * Subject to Council Review 0- ov-"'-~ ~o~ '2-\. ~ o.r\l 0 r tD VU"-~ \CcJ 1- 2-/) "COUNTY"