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WS 2009 07 27 CHANHASSEN CITY COUNCIL WORK SESSION JULY 27, 2009 Mayor Furlong called the work session to order at 5:45 p.m. COUNCIL MEMBERS PRESENT: Mayor Furlong, Councilman Litsey, Councilwoman Ernst, Councilwoman Tjornhom, and Councilman McDonald STAFF PRESENT: Todd Gerhardt, Laurie Hokkanen, Greg Sticha, and Beth Hoiseth UPDATE ON NATIONAL NIGHT OUT. Crime Prevention Specialist Beth Hoiseth thanked all the departments and individuals involved with making this year’s Safety Camp a success for the 102 children who attended before providing an update on the 46 neighborhoods who have th signed up for National Night Out which will be held on Tuesday, August 4. She passed out maps showing locations of all the neighborhood parties and invited the Mayor and council members to join the deputies who will be visiting the different block parties. Councilwoman Tjornhom asked what themes will be discussed, citing a common concern seems to be speed in neighborhoods. Mayor Furlong asked if the City has seen a decrease in crime or heard of prevention that has occurred from the education provided on National Night Out. Beth Hoiseth explained how that is hard to quantify. FOLLOW UP ON JUSTIFICATION STUDY FOR SATELLITE FIRE STATION #3 ON st LYMAN BOULEVARD. 1 Assistant Fire Chief, Roger Smallbeck was present to answer questions. Todd Gerhardt provided background information on the studies that have been done. Laurie Hokkanen discussed how Chanhassen’s response time compared to neighboring jurisdictions. Todd Gerhardt clarified how response time is determined. Roger Smallbeck explained how and why the system works for first response and the chain of command for dispatching 911 calls. Laurie Hokkanen reviewed the square footages, amenities and layout of Fire Station 1 and Station 2. Mayor Furlong asked about duplicate amenities and layout proposed for Station 3. Roger Smallbeck explained that training would still occur at Station 1 but that additional classroom space would be available at the other 2 stations. Todd Gerhardt explained that Station 3 will also be used as a new polling location. In discussing if the building will be adequate for the future, Councilwoman Ernst asked if Station 3 would meet all future needs of the city. Councilman Litsey asked about the value of Station 2 at Lake Minnewashta due to it’s size and location. Mayor Furlong asked if the new firefighter positions will be new hires or reallocation of current staff and equipment. Councilman Litsey asked for clarification on the numbers indicated for wages. Laurie Hokkanen explained how the formula for benefits is determined. She discussed how the site will work to access adjacent open space and the effect on the City’s ISO rating. Councilwoman Ernst asked for clarification of the phrase “Credit for Distribution” in the staff’s memo. Todd Gerhardt reminded council members how funding for this facility will work with the sale of the existing public works building and CIP funds. Laurie Hokkanen explained that the City has submitted a grant application with an answer coming likely in October. Mayor Furlong talked about consideration of timing for construction when funds become available. City Council Work Session – July 27, 2009 CONSIDER AGREEMENT FOR AN EXCLUSIVE COMMERCIAL LISTING, EXISTING PUBLIC WORKS BUILDING. Todd Gerhardt discussed how the City has been marketing the existing public works building for the past year and the need to reach a more regional market. He recommended that the City hire a commercial real estate agency to help in the sale and reviewed the proposals received from area commercial brokers. After evaluating all the proposals, staff recommended hiring Craig Peterson of Marathon Real Estate who proposed the most favorable terms. Councilman McDonald asked Craig Peterson to clarify how the month to month commitment would work and the prospects of selling the building in today’s market. Craig Peterson explained the need to market to niche industries that have multiple vehicles needing maintenance. Councilman McDonald asked how dependent the City is on selling this property. Todd Gerhardt explained that the City needs to sell this property before it can construct the new fire station. Councilwoman Ernst asked for clarification of the pricing analysis. Mayor Furlong explained that having worked with Craig Peterson in the past with Southwest Metro Transit, he would be in favor of going with Marathon Real Estate. Council members agreed to put the item on the next City Council agenda. 2009 & 2010 BUDGET DISCUSSION. Todd Gerhardt discussed how staff would propose addressing the projected shortfalls in the 2009 budget to provide a balanced budget at the end of the year. Greg Sticha reviewed the specific items, highlighting the delay of certain sealcoating projects, reduced CSO hours and postponing the hiring of a new patrolman. Councilman Litsey asked about the City’s commitment to the number of officers under the policing contract. Councilwoman Tjornhom stated projections should be based on actual growth. Todd Gerhardt explained how the City’s number of police officers compares to the national average. Councilman Litsey asked for an update on the policing contract and asked about the availability of swapping services, i.e. building inspectors, with other communities. Councilman McDonald asked how the proposed transfer of cash would affect the long term funding programs, i.e. pavement management fund. Greg Sticha explained that with the anticipated shortfall in building permit revenues, staff feels comfortable this proposal will cover the general fund and provide a balanced budget. He will provide more accurate numbers in November/December. Mayor Furlong asked that the council discuss at a future meeting the practice of billing the general fund for water and the engineering administrative charge for utility projects as an ongoing practice. Councilwoman Ernst stated she appreciated the work staff has put into this proposal. Councilman Litsey asked again for the report from the Sheriff in August and clarification of how and why the catastrophic fund was established. Mayor Furlong discussed how 2009 is a transition year and that the council needs to determine a new level of service in relation to projected revenues. Todd Gerhardt reassured council members that the City will have a balanced budget at the end of 2009. Mayor Furlong adjourned the work session at 7:40 p.m. Submitted by Todd Gerhardt City Manager Prepared by Nann Opheim 2