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HomeMy WebLinkAbout5A - Waterfront Passage Business Park DATE: 5 (a) BRUCE LONEY, ASSISTANT CITY ENGINEER DISCUSS IMPROVEMENT PROJECT 93-11, WATERFRONT PASSAGE BUSINESS OFFICE PARK AND OTHER 1993 CITY PROJECTS MARCH l5, 1993 AGENDA NUMBER: PREPARED BY: SUBJECT: INTRODUCTION: The purpose of this Agenda item is to discuss the status of the proposed Business/Office Park, Project 93-ll, and other city projects as listed in Resolution 93-05. BACKGROUND: On February 15, 1993, the Council approved both the Feasibility study for the ~roject and Resolution 93-05 calling for a Publ1C Hearing on the improvement project. The proposed Waterfront Passage Business Office Park is located south of CSAH 21 and within section l. This project is for the establishment of a business office park by the city. The project involves the installation of sanitary sewer, water, storm sewer and street improvements to and within the pro~osed plat known as Waterfront Passage BUS1ness Park. Staff has been contacted by Frank Muelken that the conservators of the land have voiced their concerns in re9ards to purchase of the land sale. Staff w1ll be meetin9 this week with Mr. Muelken to address the1r concerns on the sale. An update of the negotiations will be presented at the Council Meeting. See Agenda Number 4 for discussion on the land acquisition. Also included in the Feasibilit~ Report are other city projects in which proJect financing can be leveraged against the 429 Assessments. These projects included the city's share from Scott County Highway projects, the city's portion of Municipal State Aid projects, the 4629 Dakota St. S.E., Prior Lake, Minnesota 55372 I Ph. (612) 447-4230 I Fax (612) 447-4245 AN EQUAL oPPORTUNITY EMPlDYER DISCUSSION: city's cost for a traffic signal, bituminous pavement sealcoating, civil defense sirens, storm sewers, and park parking lot paving projects. The Business/Office Park and the improvements listed in Resolution #93-05 can be discussed by o~ening the Public Hearing. Project prior1ties can be discussed by the Council and then the hearing can be continued to a future meeting. In order for Council to continue the hearing, a specific time and date is necessary in order to avoid a republishing of the Public Hearing notice. The Business Office Park is proposed to be developed by the city with the project improvement costs assessed to the developed Business Office Park. Trunk Reserve and Sewer and Water Enterprise Funds are to be utilized to bring the sewer and water utility lines to the sites. Land acquisition would be paid to the Adelmann estate each time a parcel in the park was sold. with the vast majority of the project cost in 429 assessments, the City can leverage other projects against the assessed cost in the bond issue. This process has been done in the past to fund overall City benefited ~rojects. The Council should discuss each proJect and decide if the project should be approved for construction or not. The projects being considered are the city's participating costs for CSAH 2l and CSAH 42 Highway improvement, Carriage Hill Parkway and Fish Point Road Municipal State Aid roadways, civil Defense sirens, bituminous pavement sealcoating, Pond Athletic Complex parking lots and roadway paving, traffic control signal at T.H. l3 and Five Hawks Avenue, and storm sewer/ponding projects by the existing Industrial Park and City Maintenance Shop near Markley Lake and T.H.l3 to Mitchell Pond. The status of each project is as follows: l. CSAH 21 improvements on the east side of the city to the east city limit line is tentatively scheduled for this year by Scott County. It seems unlikel~ that Scott County will start construct10n on CSAH 21 until this Fall. The emphasis from the County is on CSAH 42 improvements in the cities of Prior Lake and Savage. City Project Cost is estimated to be $405,000.00. 2. CSAH 42 improvements from Ferndale Avenue to Boone Avenue is expected to begin construction this year. County plans are nearly complete except for the storm water ponds. City is preparing landscape plans with TKDA and needs to prepare plans for watermain extension and sewer and water crossings on the CSAH 42 project. Other city project costs are for concrete curb and gutter, bikewar, and storm sewer. City project Cost 1S estimated to be $735,000.00. 3. Carriage Hills Parkway is a Municipal state Aid street collector and is proposed to be constructed from CSAH 21 to Pike Lake Trail. Carriage Hills ~lat has been approved and the carriage H111s lst Addition phase has been 1nstalled with utilities and streets. The developer is plannin9 to install the second phase this Spr1ng and the city needs to install Carriage Hills Parkway to provide another access for the Carriage Hills development and provide an access to the Grassini/Grothe parcel. Right-of-way acquisition is necessary in order to construct the street and storm sewer improvements. The city cost is estimated at $60,000.00 with most of the project funded by MSA Funds. 4. Fish Point Road through the Greenbriar parcel was proposed in conjunction with the proposed development by Sienna Corporation. A preliminary plat submission is anticipated within a week by staff. Fish Point Road is on the MSA system and the City's Project Cost is estimated to be $35,000.00 with most of the project funded by MSA Funds. 5. The civil Defense sirens project consists of installing five (5) sirens to cover most of the city including the Shakopee Mdewakanton Sioux Community (SMSC) land. SMSC had indicated previously a willingness to pay for two (2) of the sirens; however, no formal agreement has been obtained from the SMSC Community. Project Cost was estimated to be at $lOO,OOO.OO. 6. Bituminous Pavement Sealcoating of several streets in the city. Sealcoating of bituminous pavements has been a regular maintenance project in past years. The last sealcoat project was done in 1986 and several streets will be done with the project cost estimated at $l50,000.00. 7. The Pond Athletic Complex parking lot and roadway paving project will change the current gravel surfaced roads and parking areas to paved surfaces, thus reducing the dust to adjacent neighborhoods. Estimated project cost is $165,000.00. 8. storm sewer/ponding improvement projects from T.H. l3 to Mitchell Road and by the Cit~'s Maintenance Shop are projects deslgned to correct sewer erosion problem areas and thus improve water quality of Mitchell Road and Markley Lake. The estimated project cost for T.H. 13 to Mitchell Pond is $lOO,OOO.OO and for storm sewer/ponding improvements by the City's Maintenance Shop is also $lOO,OOO.OO. Right-of-way and easement acquisition is needed for both projects. In addition, MnDOT involvement is necessary on the T.H. l3 to Mitchell Pond project. with right-of-way easement acquisition and MnDOT involvement, it may not be possible to construct the projects this year. council can discuss each project and decide on which projects should be included in this year's bond issue. The tax levy amount of these projects is $l,935,000.00 and this amount is leveraged against the $79l,000.00 assessed amount of the Business/Office Park project. Minnesota Statute 429 requires that at least 20% of the general obligation bond be assessed. If the Business/Office Park does not proceed, the City will not be able to fund other city projects as listed. Two other projects with assessments have been proposed in this year's construction program. These improvements are the Lime Road and Center Road and Forest Circle/Forest Oaks Subdivision projects. The project assessed costs for Lime Road and Center Road and Forest Circle/Forest Oaks is $l37,000.00 and $85,000.00 respectively. The bonding capacity for the other cit~'s projects is not as large these proJects as the Business/Office project. Both of these projects have been approved as well. The alternatives that exist will depend on what 429 projects are approved and the assessed amount incorporated into the 429 Bond dictates the amount available for other city projects. The project financing summary is attached from page 12 of the Feasibility study to assist in determining council priorities. with Park not The following alternatives are provided for council consideration and discussion: ALTERNATIVE NO.1 If the Business/Office Park project is approved, and this is dependent upon the land acquisition, the City can elect to construct all the projects as listed in the Feasibility study and Council agenda as the percent assessed to bond issue would be 29%. The assessed amount is $791,000.00 and the total bond issue would be $2,726,000.00. Staff usually recommends that any 429 bond issue should be at least 30% to cover loss of assessments due to appeals, loss of assessment frontage, project change orders and project overruns. with this large of a project, staff feels the 29% assessed would be acceptable. ALTERNATIVE NO. 2 If the Business/Office Park does not proceed this year but Lime Road/Center Road and Forest Circle/Forest Oaks projects are approved, the assessed amount is estimated to be $217,000.00. The 429 Bond total amount (assessments and tax levy) based on 30% assessed is then $723,000.00. The tax levy amount for other city projects correspondingly is $506,000.00. The estimated total tax levy of all city pro~ects as proposed in the Feasibility Study 1S $l,935,000.00. In this scenario, projects must be prioritized and not all of the projects can be funded. ALTERNATIVE NO. 3 If the Business/Office Park does not proceed, but Lime Road/Center Road project is approved, the assessed amount is estimated to be $132,000.00. The 429 Bond total based on 30% assessed is the $440,000.00 and the estimated funds for other city projects is $308,000.00. If only the Forest Circle/Forest Oaks Subdivision improvement project is approved the assessed amount is $85,000.00. The 429 Bond total based on 30% of the assessed amount is $283,000.00 and the estimated funds for other city projects is $197,000.00. In this alternative, the number of projects can be funded are reduced further. If none of the 429 assessed approved this year, there is no any city project. The other projects have these possible removal at this time: projects funding are for reasons for l. Staff feels that the CSAH 42 and carriage Hills Parkway are projects that should receive hi9h consideration since these projects w1ll be needed to provide a safer roadway for traffic. Carriage Hills Road is funded primarily by MSA Funds. 2. Fish Point Road has not been ~latted by the developer, but a subm~ssion is anticipated shortly. 3. The traffic control signal at T.H. 13 and Five Hawks must meet warrants to proceed. staff will be taking traffic counts at this intersection soon. If warrants are not met, the signal cannot be constructed. 4. Bituminous pavement could be postponed necessary. sealcoating project another year if 5. civil Defense Sirens could be delayed another year if necessary. 6. The Pond Athletic Complex paving of parking lots and walks could be delayed another year. Dust control measures can be done to reduce the dust to adjoin neighbors. 7. T. H. 13 project to Mitchell Pond storm could be delayed. sewer 8. Existing Industrial Park and the City Maintenance Shop storm sewer/ponding improvements could be delayed. ALTERNATIVES: RECOMMENDATION: The alternatives are as follows: 1.) Open the public hearing, discuss the projects as listed in Resolution 93-05 and prioritize the projects for possible inclusion for 1993 bond issue. After the discussion by Council and input from citizens, the Public Hearing must be tabled to a specific time and date by Council motion. Staff is suggesting AprilS, 1993 at 8:00 P.M. for hearing continuation. 2. ) Open the hearing, and table this item without discussion of projects until land acquisition issue with the Business Office Park is resolved. continue the hearing by Council motion to a specific time and date. and deny project 3.) Open the hearing approval. Staff recommends Alternative #l as it most flexible in dealing with the Office Park and other city projects time since the city does not have rights on the Adelmann property. is the Business at this the land FINANCIAL IMPACT: Project financing summary is attached from page l2 of the Feasibility Study. A summary of the tax levy impacts will be provided at that meeting. The cost of the Business Office Park project will be recovered through Special Assessments, Trunk Reserve Funds, Enterprise Fund and land sales of industrial property. Other City projects listed in this agenda item will be financed through ad valorem tax levy. The action required will vary depending on Council action. ACTION REQUIRED: PROJECT FINANCING SUMMARY BUS/OFF PK ENTER- STORM PROJ. ASSESS- TAX LAND TRUNK PRISE WATER PROJ. AREA MENTS LEVY SALE RESERVE FUND FEE TOTAL 1. 791,000 188,000 213,000 142,000 1,334,000 2 . 132,000 132,000 3 . 85,000 l,700 23,300 1l0,000 4 . 405,000 405,000 5. 100,000 100,000 6. 735,000 735,000 7. 35,000 35,000 8. 60,000 60,000 9 . 125,000 l25,000 10. 100,000 100,000 11. 150,000 150,000 12. 165,000 165,000 13. 60,000 60,000 TOT 1,008,000 1,935,000 188,000 2l4,700 l42,000 23,300 3,511,000 429 BOND TOTAL (ASSESSMENTS & TAX LEVY) ........... $2,943,000.00 429 Bond must be assessed at, at least 20% of the bond amount. l,008,000/2,943,000 = 34% PROJECT AREA DESCRIPTION AREA 1 - BUSINESS OFFICE PARK AREA 2 - LIME ROAD AND CENTER ROAD AREA 3 - FOREST OAKS SEWER, WATER, AND PAVING AREA 4 - CSAH IMPROVEMENTS AREA 5 - EXISTING INDUSTRIAL PARK STORM SEWER AREA 6 - CSAH 42 FROM FERNDALE AVENUE TO BOONE AVENUE AREA 7 - FISH POINT ROAD EXTENSION IN THE GREENBRIAR PARCEL AREA 8 - CARRIAGE HILL ROAD AREA 9 - LEMLEY CIRCLE STORM SEWER AREA lO - TRAFFIC CONTROL SIGNAL AT T.H. 13 & FIVE HAWKS AVENUE AREA II - BITUMINOUS SEAL COAT OF CITY STREETS AREA 12 - THE POND ATHLETIC COMPLEX PARKING LOTS AND ROAD PAVING AREA 13 - CIVIL DEFENSE SIRENS I hereby certify that this plan, specification, or report was prepared by me or under my direct supervision and that I am a duly Registered Professional Engineer under the laws of the State of Minnesota: Br-!::::;, ~g. No. 17590 Date: February 16, 1993 l2