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WS 2002 02 25CHANHASSEN CITY COUNCIL WORK SESSION FEBRUARY 25, 2002 Mayor Jansen called the work session meeting to order at 5:45 p.m. COUNCIL MEMBERS PRESENT: Mayor Jansen, Councilman Boyle, Councilman Labatt, and Councilman Ayotte COUNCIL MEMBERS ABSENT: Councilman Peterson STAFF PRESENT: Todd Gerhardt, Bruce DeJong, Teresa Burgess, and Mark Ruff A. STRATEGIC PLAN- TAXATION. Bruce DeJong presented the staff report that had been prepared for this item. Councilman Ayotte spoke in favor of focusing on the biggest tax impact issues, i.e. street maintenance and the park and recreation budget. Bruce DeJong asked the council to consider a policy of how to pay for the pavement management plan, by bond or tax levy. Councilman Ayotte and Boyle both expressed concern over the large amount of money in the budget for park and recreation maintenance, and how the city could generate revenue and decrease expenditures in that area. Todd Gerhardt stated that he will talk with Todd Hoffman to discuss how services are being provided and what the city can do to reduce costs or services. Mayor Jansen asked staff to provide the council with a report on the city's reserves. How much and what they have been targeted for, keeping "what ifs" in mind. Bruce DeJong then passed out a copy of Standard and Poor's bond rating summary for the city. Mayor Jansen asked how much the city was saving in interest with the better bond rating. There was discussion over the increase in the law enforcement contract between 2003 and 2004, mostly due to personnel additions. Mayor Jansen stated the County was bringing in a third party to review the contract formula for services. B. DISCUSSION OF SPECIAL ASSESSMENT POLICY AND LEVY IMPACTS. Teresa Burgess went over the Assessment Comparison Table and a sheet showing other cities assessment policies. She stated the council needed to make a decision on the assessment policy. The work session was recessed at 6:55 p.m. until after the regular City Council meeting. The work session meeting resumed at 8:40 p.m. Teresa Burgess discussed the different options available for assessments. Councilman Boyle spoke in favor of doing a city wide assessment. Mayor Jansen stated that would need a referendum, which would be expensive. Teresa Burgess stated that 100% assessment has been the policy in the past. She recommended that the city go with a 40% assessment for the 2002 MSA projects, establish an average from the previous year and approve a resolution in the fall for the next year. The City Council was in consensus with this option. Mayor Jansen adjourned the work session at 9:10 p.m. The City Council then met in executive session to discuss the City Manager's Performance Review. Submitted by Todd Gerhardt City Manager Prepared by Nann Opheim