5. Downtown Park and Ride: Approve Feasibility
CITY OF
CHANHASSEN
7700 Market Boulevard
PO Box 147
Chanhassen, MN 55317
Administration
Phone: 952.227.1100
Fax: 952.227.1110
Building Inspections
Phone: 952.227.1180
Fax: 952.227.1190
Engineering
Phone: 952.227.1160
Fax: 952.227.1170
Finance
Phone: 952.227.1140
Fax: 952.227.1110
Park & Recreation
Phone: 952.227.1120
Fax: 952.227.1110
Recreation Center
2310 Coulter Boulevard
Phone: 952.227.1400
Fax: 952.227.1404
Planning &
Natural Resources
Phone: 952.227.1130
Fax: 952.227.1110
Public Works
1591 Park Road
Phone: 952.227.1300
Fax: 952.227.1310
Senior Center
Phone: 952.227.1125
Fax: 952.227.1110
Web Site
www.ci.chanhassen.mn.us
5
.....
MEMORANDUM
TO:
Todd Gerhardt, City Manager
Paul Oehme, Director of Public Works/City Engineer to.
March 23, 2009 ()~.
FROM:
DATE:
SUBJ:
Downtown Park & Ride Project 08-11: Approve Resolution
Accepting Feasibility Study; Call Public Hearing
PROPOSED MOTION
"The City Council Approves Resolution Accepting Feasibility Study; Call
Public Hearing for the Downtown Park & Ride Project 08-11"
City Council approval requires a super majority vote of the City Council
present.
BACKGROUND
On February 23,2009, staff reviewed the feasibility study with Council at the work
seSSIOn.
DISCUSSION
In 2006, Southwest Transit secured $7 million in federal funds to be used for the
construction of a new Park & Ride facility in downtown Chanhassen. The new multi-
level ramp could accommodate up to 400 vehicles. Currently, Southwest Transit
operates a one-acre Park & Ride facility (up to 120 vehicles) behind the Chanhassen
Dinner Theatres.
For this project to move ahead, the City will need to take the lead in providing access
to the new facility. For the past year, representatives from Southwest Transit,
Bloomberg Companies, and City staff have been discussing alternative locations for
the new Park & Ride facility. The criterion used to produce the preliminary design
was as follows:
. Provide for bus and rider access from both the east and west of the proposed
ramp.
. Maximize future development opportunities surrounding the Dinner Theatres.
. Maximize the number of parking stalls on a minimal amount ofland.
. Preserve the current location of the Chanhassen Depot.
Chanhassen is a Community for Life - Providing for Today and Planning for Tomorrow
Todd Gerhardt
Downtown Park & Ride
March 23, 2009
Page 2
Overview of the Proiect
For this project to occur, the City will need to lead the effort to build a new road to access the
facility. The following steps need to be completed for the road to be built:
. Acquire 22,000 sq. ft. of land for the road right-of-way.
. Acquire the Dinner Theatres' scene shop building. Relocate the scene shop to a new
location.
. Acquire the Chanhassen Depot land.
. Upgrade and relocate utilities including sewer, water, gas and electricity.
SUMMARY OF FEASIBILITY REPORT
The project includes the construction of public roadway and utility improvements to support the
proposed construction of up to a 400-car parking ramp/transit station for Southwest Transit; this is
down from the original 500 stalls that were proposed last summer. By reducing the number of stalls,
Southwest Transit was able to re-allocate the dollars saved to the increased costs in the road
construction. However, Southwest Transit must show those lOO stalls that were reduced somewhere
else in the community and staff is recommending the South Parking Lot at Lake Ann.
The public improvements are proposed to be constructed in two phases. Phase 1 will include the
demolition of the existing scene shop building for the Dinner Theater and a bus stop enclosure,
sanitary sewer relocation, and watermain improvements to prepare for the construction of the
parking ramp/transit station. Phase 2 will include street and storm drainage improvements in
conjunction with the construction of the transit station.
The estimated costs for the proposed improvements are detailed below. These costs include a 10
percent (10%) construction cost contingency and a 30 percent (30%) allowance for indirect costs.
Proposed Improvements Estimated Cost
Phase 1 Improvement
. Building Demolition $ 51,500
. Sanitary Sewer Relocation $ 52,800
. Watermain Relocation $ 77,500
Subtotal $ 181,800
Phase 2 Improvements
. Street Improvements $ 704,300
. Storm Sewer Improvements $ 88.100
Subtotal $ 792,400
Land Acquisition Costs
. Depot Station Site $ 133,660
. Street Right-of-Way $ 400,000
. Acquisition of Scene Shop $ 300,000
G:\ENGIPUBLIC\_2008 Projects\08-11 downtown transit site imp\032309 bkgd dt parknride approve fS.doc
Todd Gerhardt
Downtown Park & Ride
March 23,2009
Page 3
. Scene Shop Relocation
Subtotal
Total Project Cost
$ 100.000
$ 933,660
$ 1,907,860
The improvements are proposed to be financed through a combination of assessments to benefiting
property owners and City funds. The following is a summary of the proposed financing plan for the
project.
Financin2 Source
Assessments
Bloomberg Companies
Southwest Transit
Total Assessments
City of Chanhassen Costs
Total
Amount
$ 787,640
$ 756.260
$ 1,543,900
$ 363.960
$ 1,907,860
The proposed financing plan has been prepared based on the following criteria:
. Bloomberg Companies is assessed 51 % of the street right-of-way and scene shop acquisition,
building demolition, street, and storm sewer costs.
. Southwest Transit is assessed 49% of the street right-of-way and scene shop acquisition, building
demolition, street, and storm sewer costs.
. City of Chanhassen pays 100% of the costs for depot station site acquisition, the scene shop
relocation, and the sanitary sewer and watermain improvements.
. All land acquisition costs assume a value of approximately $8.20/square foot.
Funding for the City share of the project would come from several sources:
Sanitary Sewer Utility Fund
Water Utility Fund
Revolving Assessment Fund
Total
$ 52,800
$ 77,500
$ 233.360
$ 363,960
Note: The Revolving Assessment Fund estimate is over the budgeted amount in the 2009 ClP. This
increase in cost is due to the increase in costs of the project and additional negotiations with the
benefiting property owners.
HOW DOES THIS REDEVELOPMENT WORK?
Both Southwest Transit and Bloomberg Companies have agreed to be assessed for all of the roadway
costs including all of the land acquisitions (with the exception of the Chanhassen Depot parcel,
which would be the responsibility of the City ofChanhassen). The only exceptions are that the City
would pick-up the relocation costs for the scene shop and the outstanding assessments for
Bloomberg if they bring in new developments that enhance the current tax base for parcels owned by
Bloomberg Companies. The remaining property around the Park & Ride facility could potentially
accommodate an apartment, retail/offices, and/or a hotel. For this to occur, the City and Bloomberg
Companies would have to enter into a Master Redevelopment Agreement assuring Bloomberg
G:\ENGIPUBLIC\)008 Projectsl08.11 downtown transit site impl032309 bkgd dt parknride approve fs.doc
Todd Gerhardt
Downtown Park & Ride
March 23,2009
Page 4
Companies that the City would create a tax increment financing (TIF) district. To the degree that
new taxes are generated from the TIF district, they would be used to write-down the special
assessments for the new roadway. Staff is proposing to limit the amount ofTIF to ten years. If
Bloomberg Companies do not enhance the tax base with new developments, they will be responsible
for 100% of the assessments. Staff would bring back a Master Redevelopment Agreement to the
City Council in May, 2009 for City COUncil/EDA consideration. Staff is looking for feedback from
the City Council regarding the proposed changes to the new Southwest Station Park & Ride.
SCHEDULE
The following is a preliminary schedule for the implementation of the project:
City Council Receives Feasibility Study; Call Public Hearing
March 23,2009
Public Hearing and Authorize Preparation of Plans & Specs
April 13, 2009
Phase 1 Improvements
City Council Approves Final Plans and Specs and
Authorizes Ad for Bids
Bid Opening
City Council Awards Contract
Start Construction
Complete Construction
April 27, 2009
May 29,2009
June 8, 2009
July 15, 2009
August 14, 2009
Phase 2 Improvements
City Council Approves Final Plans and Specs . and
Authorizes Ad for Bids
Bid Opening
City Council Awards Contract
Start Construction
Complete Construction
January, 2010
February, 2010
March,2010
June, 2010
August, 2010
The final schedule for the public improvements will be coordinated with the construction of the
parking ramp/transit station and may change from the dates listed above.
RECOMMENDATION
Based upon the analysis completed as a part of this report, the proposed Downtown Transit Station
Site Improvements, City Project 08-11 are feasible, necessary, cost effective, and will benefit the
City of Chanhassen.
Attachments: 1. Site Plan Exhibits 1-7
2. Resolution
3. erp Page
c: Jon Horn, Kimley-Horn & Associates, Inc.
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and Associates, Inc.
CITY OF CHANHASSEN
Cl1Y OF
CHANHASSEN
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DOWNTOWN TRANSIT STATION
SITE IMPROVEMENTS
CITY PROJECT NO. 08-11
PROJECT LOCATION
EXHIBIT 1
2009 1:24pm
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CITY OF CHANHASSEN
CARVER AND HENNEPIN COUNTIES, MINNESOTA
DATE:
March 23. 2009
RESOLUTION NO:
2009-
MOTION BY:
SECONDED BY:
A RESOLUTION ACCEPTING FEASIBILITY STUDY; CALL FOR PUBLIC HEARING
FOR THE DOWNTOWN PARK & RIDE FACILITY
PROJECT NO. 08-11
WHEREAS, a report has been prepared by Kim1ey-Hom & Associates with reference to
the above-referenced project, and this report is being received by the Council on March 23,2009,
and
WHEREAS, the report provides information regarding whether the proposed project is
necessary, cost-effective, and feasible,
NOW, THEREFORE, BE IT RESOLVED by the Chanhassen City Council:
1. The Council will consider the improvement of such project in accordance with the report and the
assessment of abutting property for all or a portion of the cost of the improvement pursuant to
Minnesota Statutes, Chapter 429 at an estimated total cost of the improvements of$1,907,860.
2. A public hearing shall be held on such proposed improvement on the 13th day of April, 2009 for
the 2009 Street Improvement Project in the Council Chambers of City Hall at 7:00 PM and the
clerk shall give mailed and published notice of such hearing and improvement as required by law.
Passed and adopted by the Chanhassen City Council this 23rd day of March, 2009.
ATTEST:
Todd Gerhardt, City Manager
Thomas A. Furlong, Mayor
YES
NO
ABSENT
Capital Improvement Program
City of Chanhassen, MN
Project # ST-021
Project Name Downtown Transit Station Site Imp
2009 thru 2013
Contact Paul Oehme
Department Street Improvements
Account # t
Account #2
Account # 3
Type Improvement
Useful Life
Category StreetslHighways
Priority nla
Total Project Cost $1,845,000
Description I
This project is a parmership between the City, Southwest Transit and private property owners. The project will relocate sewer and water utilities in
the area and construct a public road for the preparation of a new 500 stall parking ramp. The street and right of way will be assessed back to the
, benefiting property owners and the City will need to relocate its' public utilities. The scene shop on the property will need to be demolished and
. relocated.
Justification I
These improvements are necessary to facilitate a, new 500 stall parking ramp proposed to be built south of the Chanhassen Dinner Theater.
Expenditures
Construction
2009
2010
2011
2012
2013
Total
1,845,000
1,845,000
1,845,000
Total 1,845,000
I
Funding Sources
AssessmenllRevolvlng Assess
Developer Assessments
Sewer Utility Fund
Water Utility Fund
2009
144,000
1,570,000
53,000
78,000
1,845,000
2010
2011
2012
2013
Total
144,000
1,570,000
53,000
78,000
1,845,000
I
Total
I
Operational Impact/Other
, I
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106
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