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11-13-2023 City Council Work Session MinutesCHANHASSEN CITY COUNCIL WORK SESSION MINUTES NOVEMBER 13, 2023 Mayor Ryan called the work session to order at 5:30 p.m. COUNCIL MEMBERS PRESENT: Mayor Ryan, Councilman McDonald, Councilwoman Schubert, and Councilman Kimber. COUNCIL MEMBERS ABSENT: Councilman von Oven. STAFF PRESENT: Laurie Hokkanen, City Manager; Matt Unmacht, Assistant City Manager; Charlie Howley, Public Works Director/City Engineer; Eric Maass, Planning Director; Jerry Ruegemer, Park and Recreation Director; Rick Rice, IT Manager; Kelly Grinnell, Finance Director; Ari Lyksett, Communications Manager; and Kim Meuwissen, City Clerk. PUBLIC PRESENT: Trace Jacques, BKV Group Paul Michell, BKV Group (via Teams) Mike Healy, BKV Group Kelly Naylor, BKV Group Dustin Phillips, Kraus-Anderson Megan Livgard, Kraus-Anderson Bryan Harjes, HKGi Hannah Schmitz, HKGi Judy Harder, 541 West 78th Street CHANHASSEN CIVIC CAMPUS UPDATE Bryan Harjes of HKGi presented site-related updates, as well as a storyboard showing the sequence and progression of the site, and still shots of a three-dimensional model of the entire campus and park space. The City Council responded positively to the updated civic campus layout. Elevator options were discussed, as well as Library parking issues. Trace Jacques of BKV Group presented three-dimensional drawings of the exterior design of the city hall building and provided four stage cover options for the performance area on the site. Kelly Naylor of BKV Group presented interior design drawings of the city hall building. PRESENTATION OF PRELIMINARY 2024 UTILITY FUND BUDGETS AND 2024-2028 CAPITAL IMPROVEMENT PLAN (CIP) Finance Director Kelly Grinnell reviewed the preliminary 2024 utility fund budgets. The revenue and expenditures of the water, sewer, and stormwater utility fund budgets and the 2024-2028 CIP amounts for each of these funds were presented. Mayor Ryan recessed the work session at 6:55 p.m. City Council Work Session Minutes – November 13, 2023 2 Mayor Ryan reconvened the work session at 8:08 p.m. Ms. Grinnell presented an overview of the CIP process, the 2024 CIP items, and the 2025-2028 CIP items. In addition to the Water, Sewer, and Stormwater capital funds, the following capital funds were reviewed: Vehicle and Equipment, Park Renovation, Capital Facilities, Park Acquisition and Development, Civic Campus Project, Transportation Infrastructure Management (TIM), and Pavement Management Program (PMP). Presentations of each 2024-2028 CIP fund included detailed lists of the items in each fund, the 2024 funding uses, and the 2024 funding sources. Ms. Grinnell presented tables comparing the 2024 preliminary capital funds levy to the projected 2025 to 2028 capital fund levies and an all-fund levy comparison for 2023 to 2028 showing the percentage of levy increase for each year. A final review and discussion of the 2024 General Fund budget, 2024 to 2028 CIP, tax levy for all funds, and levy impact on property owners will be presented at the City Council work session on November 27, 2023. A final review of the proposed budget and levy will be presented at the work session on December 11, 2023. The Truth-in-Taxation public hearing will also be held on December 11 during the regular City Council meeting, and the City Council will adopt a resolution approving the 2024 final levy and budget. The City Council discussed the presentation. Mayor Ryan thanked Ms. Grinnell for the clarity of the information provided in the budget staff reports and presentations. DISCUSS CLOCKTOWER PARCEL Planning Director Eric Maass reviewed a request for potential development on the city’s clock tower parcel located on West 78th Street in downtown Chanhassen. Mr. Maass asked the City Council for direction on selling the parcel at this time or if they prefer to hold the city-owned parcel for future redevelopment of the adjacent Colonial Square parcel or other adjacent parcels to maintain flexibility in the area. The City Council discussed concerns regarding access and parking for the proposed development of the clock tower parcel and directed staff to deny the request to purchase the clock tower parcel for development at this time. METRONET UPDATE City Manager Laurie Hokkanen stated that Metronet had entered into a franchise agreement with the city in August of 2021. On October 31, 2023, Metronet notified the city that they were no longer interested in providing cable TV services to the city and indicated their desire to terminate the franchise agreement. Today, Ms. Hokkanen spoke with Randy Lehs, who oversees CarverLink, a publicly owned broadband fiber optics network. Carver County has invested funds with Metronet to bring fiber to every home in Carver County. CarverLink is currently negotiating with Metronet to reconsider overbuilding in Chanhassen. Ms. Hokkanen recommends that the City Council not terminate the franchise agreement at this time but wait for Carver County to continue communicating with Metronet. The City Council discussed the issue and agreed with the recommendation to wait. City Council Work Session Minutes – November 13, 2023 3 FUTURE WORK SESSION SCHEDULE November 27, 2023 • Downtown Traffic Study • Downtown Redevelopment Project Tax Increment Financing • Aquatic Invasive Species (AIS) Program Presentation • Final Review of Proposed 2024 Levy, Budgets, and CIP for all funds • Chanhassen Bluffs Sports Complex December 11, 2023 • Final Review of Proposed 2024 Levy, Budgets, and CIP for all funds (if needed, TBD on November 27) • Civic Campus Update? January 8, 2024 • 2024 City Council Priorities Discussion • 2024 Legislative Priorities • City Council Roundtable January 22, 2024 • Gorra Property Discussion The work session adjourned at 9:24 p.m. Submitted by Laurie Hokkanen City Manager Prepared by Kim Meuwissen City Clerk