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1g. City Code Amendment: Section 19 Re Lateral Utility Connection/Trunk Utility Hookup Charges, 2nd & Final Reading, Summary Ordinance.CITY OF 1 � CHANHASSEN 690 COULTER DRIVE • P.O. BOX 147 • CHANHASSEN, MINNESOTA 55317 (612) 937 -1900 • FAX (612) 937 -5739 TO: Don Ashworth, City Manager FROM: Charles Folch, Director of Public Works DATE: January 21, 1997 SUBJ: Amendment to City Code Section 19 Regarding Lateral Utility Connection and Trunk Utility Hookup Charges, Second and Final Reading and Approval of Summary Ordinance for Publication Purposes - File No. PW -011 This is the second and final reading of this proposed amendment to City Code Section 19. At the last City Council meeting there were no questions or concerns raised during the hearing. For informational purposes I have attached a copy of the Engineering New - Record construction cost index which shows a 6.6% increase in the construction cost index from a year ago. Therefore, the following utility charges shall be in effect with approval of the second and final reading of the code amendment: L Sanitary sewer lateral connection charge .................................... ............................... $3,730.00 2. Watermain lateral connection charge .......................................... ............................... $3,730.00 3. Trunk sanitary sewer hookup charge .......................................... ............................... $1,190.00 4. Lake Ann sub -trunk charge ........................................................... ............................... $745.00 5 . Trunk watermain hookup charge ................................................ ............................... $1,550.00 It is therefore recommended that the City Council approve the second and final reading of the ordinance amendment to Sections 19 -20, 19 -21, 19 -45 and 19 -46 of the Chanhassen City Code concerning lateral utility connection charges and trunk utility hookup charges. Attachments: 1. Proposed ordinance amendment to Section 19. 2. Sections 19 -20, 19 -21, 19 -45 and 19 -46 of current City Code and summary ordinance. 3. Engineering New - Record Construction Cost Index dated 12/2/96. 4. January 13, 1997 City Council meeting minutes. c: Dave Hempel, Assistant City Engineer Received Jerry Boucher, Utility Superintendent Revis ! 1b0 . _ Pam Snell, Finance Director _ Chris Thibodeau, Account Clerk Appr`?` C ' d bN ' Steve Kirchman, Building Official Data f Aen -,bhar1&cc\section 19.doc A b MEMORANDUM CITY OF CHANHASSEN COUNTIES OF CARVER AND HENNEPIN, MINNESOTA ORDINANCE NO. AN ORDINANCE AMENDING CHAPTER 19 OF THE CHANHASSEN CITY CODE CONCERNING SEWER AND WATER CONNECTION AND HOOK UP CHARGES THE CITY COUNCIL OF THE CITY OF CHANHASSEN ORDAINS: SECTION 1. Section 19 -20(b) and 19 -20(c) of the Chanhassen City Code is amended to read: (b) The applicant shall pay a connection fee that is just and equitable in an amount established by the City Council. The amount of the charge shall be automatically adjusted each year on January 1 to reflect construction cost changes in the local Minneapolis region as evidenced by the Engineering News - Record Construction Cost Index. (c) Upon written request of the owner of the benefitted property showing good cause, the City Council may provide that the connection charge be specially assessed against the benefitted property payable in semi - annual installments for a term of eight years at an interest rate set by the City Council. Unless deferred payment is so authorized, all connection charges shall be payable in full prior to the issuance of building permit. SECTION 2. Section 19 -21(a) of the Chanhassen City Code is amended to read: (a) In addition to the connection charges set forth herein, a hook up charge, unless charged as a part of a public improvement project, shall be imposed against each lot or tract of land, or portion thereof served by the system for the usage of wells, pumping stations, water storage facilities, and equipment of the city water system. The amount of this charge shall be automatically adjusted each year on January 1 to reflect construction cost changes to the local Minneapolis region as evidenced by the Engineering News - Record Construction Cost Index. SECTION 3. Section 19 -45(b) of the Chanhassen City Code is amended to read: (b) The applicant shall pay a connection that is just and equitable in an amount established by the City Council. The amount of the charge shall be automatically adjusted each year on January 1 to reflect construction cost changes for the local Minneapolis region as evidenced by the Engineering News - Record Construction Cost Index. SECTION 4. Section 19 -46(a) of the Chanhassen City Code is amended to read: (a) In addition to the connection charges set forth herein, a hook up charge unless charged as a part of a public improvement project, shall be imposed against each lot or tract of land or portion thereof served by the sewer system for usage of the sewer treatment facilities, lift stations, forcemains, and trunk sewers. The amount of this charge shall be automatically adjusted each year on January 1 to reflect construction cost changes to the local Minneapolis region as evidenced by the Engineering News - Record Construction Cost Index. SECTION 5. This ordinance shall be effective immediately upon its passage and publication. PASSED AND ADOPTED this City of Chanhassen. day of , 1997, by the City Council of the ATTEST: Don Ashworth, City Manager /Clerk Nancy K. Mancino, Mayor Published in the Chanhassen Villager on , 1997. \\cfsl \vol2\en. harleslcc\connection charge.doc § 19 -18 CHANHASSEN CITY CODE that the amount claimed to be owing is actually due and unpaid and that there is no legal reason why the water supply of the delinquent customer may not be shut off, the city may shut off the supply. (b) It is unlawful for any person, firm, or corporation to turn on or off any water control valve installed on the city water supply system on city property, right -of -way, or easement. This includes, but is not limited to, all fire hydrants, water main control valves, water service control valves for industrial and commercial properties and curb stops for residential water services. The following are exempted by this prohibition (1) City employees that are authorized to maintain the city water distribution system, or who have administrative approval. (2) Emergency personnel affiliated with the city for use in emergency situations. This includes the fire department. (3) Persons having written approval in their immediate possession from the utility su- perintendent. Properties with water turned on without authorization shall be charged a one hundred dollar ($100.00) service and water use fee. Properties with new structures under construction shall be required to pay the fee before the certificate of occupancy is issued. (Ord. No. 6, § 10.01, 3- 11 -85; Ord. No. 168, § 1, 4- 27 -92) Sec. 19.19. Use required; wells prohibited. (a) Issuance of building permits for new construction where the property is adjacent to a municipal watermain, or in a block through or to which the watermain extends, or is within one hundred fifty (150) feet of the water system shall be conditioned upon connection to said municipal water system, unless in the opinion of the city it is neither feasible nor practical to make such connection. (b) The drilling of new wells shall not be permitted for existing dwellings which can be serviced by the municipal water system. Upon failure of a private water supply, connection to the municipal system shall be required. (Ord. No. 6, § 1.01, 3- 11 -85) State law reference — Authority to require connections, M.S. § 412.221, subd. 31. Sec. 19.20. Connection charges. (a) No permit shall be issued to tap or connect with any watermain of the city either directly of indirectly from any lot or tract of land unless the city clerk shall have certified: (1) That the lot or tract of land, or portion of said lot or tract, to be served by such connection to tap has been assessed for the cost of construction of the watermain with which the connection is made; or (2) If no assessment has been levied for said construction cost, that proceedings for levying such assessment have been or will be commenced in due course; or Supp. No. 5 1064 WATER, SEWERS AND SEWAGE DISPOSAL § 19 -21 (3) If no assessment has been levied, and no assessment proceedings will be completed in due course, that a sum equal to the portion of cost of constructing said watermain has been paid to the city pursuant to subsection (b). (b) Unless covered by subsection (a)(1) or (a)(2), the applicant shall pay a connection fee that is just and equitable in an amount established by resolution of the city council. The amount of the charge may periodically be revised to reflect construction cost changes evidenced by the Engineering News - Record Construction Cost Index. Upon written request of the owner of the benefitted property showing good cause, the city council may provide that the connection charge be specially assessed as a lien against the benefitted property, payable in semiannual installments for a term of eight (8) years at an interest rate set by the city council. Unless deferred payment is so authorized, all connection charges shall be payable in full prior to the issuance of a building permit. (Ord. No. 6, § 7, 3- 11 -85; Ord. No. 236, § 1, 3- 27 -95) Sec. 19 -21. Hook -up charges. (a) In addition to the connection charges set forth herein, a hook -up charge, unless assessed as a part of public improvement project, shall be levied against each lot or tract of land, or portion thereof served by the system, for usage of the wells, pumping stations, water storage facilities, and equipment of the city water system. The amount of this charge shall be set by the city council and may periodically be revised to reflect construction cost changes evidenced by the Engineering News - Record Construction Cost Index. (b) The number of unit hook -up charges to be levied against each benefitted lot or tract of land, portion thereof, shall be established using the following criteria: (1) Single - family houses, townhouses, condominiums and duplex units shall each com- prise one (1) unit; (2) Apartments shall each comprise eighty (80) percent of a unit; (3) Mobile homes shall each comprise one hundred (100) percent of a unit; (4) Other buildings and structures shall be assigned one (1) unit for each two hundred seventy -four (274) gallons of water usage and sewage flow which it is estimated they will discharge, and commercial and industrial building units shall be assigned a minimum of one (1) unit. (c) The number of unit hook -up charges to be levied against the premises may thereafter be revised by resolution of the city council to more accurately establish the use, and the council in making said redetermination may take into account the actual quantity of water consumed on said premises. (d) Upon written request of the owner of the benefitted premises showing good cause, the city council may provide that the hook -up charge be specially assessed against the benefitted property payable in semi -annual installments for such period and on such terms as the council Supp. tio. 8 1065 § 19 -44 CHANHASSEN CITY CODE (g) A surcharge of one hundred dollars ($100.00) per month is hereby imposed and shall be added to every sewer billing, to property owners who are found not in compliance with this section. The surcharge shall be added every month until the property is verified to be in compliance through the city's inspection program. (h) The city council, upon recommendation of the city engineer, shall hear and decide requests for temporary waivers from the provisions of this section where strict enforcement would cause a threat to public safety because of circumstances unique to the individual prop- erty under consideration. Any request for a temporary waiver shall be submitted to the city engineer in writing. Upon approval of a temporary waiver from the provisions of this section, the property owner shall agree to pay an additional fee for sanitary sewer services based on the number of gallons discharged into the sanitary sewer system as estimated by the city engineer. (i) Violation of this section is a misdemeanor and each day that the violation continues is a separately prosecutable offense. The imposition of the surcharge shall not limit the city's authority to prosecute the criminal violations, seek an injunction in district court ordering the person to disconnect the nonconforming connection to the sanitary sewer, or for the city to correct the violation and certify the costs of connection as an assessment against the property on which the connection was made. (Ord. No. 5, § 1.05, 3- 11 -85; Ord. No. 108, § 9, 4- 27 -92; Ord. No. 205, § 1, 5 -9 -94) Sec. 19.45. Connection charges. (a; No permit shall be issued to connect with the sanitary sever system of the city either directly or indirectly from any lot or tract of land unless the city clerk shall have certified: That the lot or tract of land, or portion of the lot or tract, to be served by such connection has been assessed for the cost of construction of the sanitary sever lateral with which the connection is made; or 2 If no assessment has been levied for said construction cost, that proceedings for levying such assessment have been or will be commenced in due course: or (3 If no assessment has been levied, and no assessment proceedings will be completed in due course, that a sum equal to the portion of cost of constructing said sanitary sewer which would be assessable against said lot or tract has been paid to the city as outlined in subsection (b) below. Supp. No. - 1070.6 WATER, SEWERS AND SEWAGE DISPOSAL § 19 -46 (b) The applicant shall pay a connection fee that is just and equitable in an amount established by the city council. The amount of the charge may periodically be revised to reflect construction cost changes evidenced by the Engineering News - Record Construction Cost Index. (c) Upon written request of the owner of the benefitted premises showing good cause, the city council may provide that the connection charge be specially assessed against the benefitted property, payable in semiannual installments for a term of eight (8) years at an interest rate set by the city council. Unless deferred payment is so authorized, all connection charges shall be payable in full prior to the issuance of a building permit. (Ord. No. 5, § 5, 3- 11 -85; Ord. No. 236, § 2, 3- 27 -95) Sec. 19 -46. Hook -up charges. (a) In addition to the connection charges, a hook -up charge, for all lots not so charged as a part of public improvement assessment, shall be imposed against each lot or tract of land, or portion thereof, served by the sewer system for usage of sewer treatment facilities, lift stations, forcemains, and trunk sewers. The amount of this charge shall be established by resolution of the city council and may periodically be revised to reflect construction cost changes evidenced by the Engineering News Record Construction Cost Index. (b) The number of unit hook -up charges to be levied against each benefitted lot or tract of land, or portion thereof, shall be established by using the following criteria: (1) Single - family houses, townhouses, condominiums and duplex units shall each com- prise one (1) unit; (2) Apartments shall each comprise eighty (80) percent of a unit; (3) Mobile homes shall each comprise one hundred (100) percent of a unit; (4) Other buildings and structures shall be assigned one 1 unit for each two hundred seventy four (274) gallons of water usage which it is estimated they will discharge, and commercial and industrial building units shall be assigned a minimum of one (1) unit. (c) The number of hook -up charges imposed against the premises may thereafter be revised by resolution of the city council to more accurately establish the usage of the system, and the council in making said redetermination may take into account the estimated strength and quality of sewage to be discharged into the sanitary sewer system. (d) Upon written request of the owner of the benefitted premises showing good cause, the city council may provide that the hook -up charge be specially assessed against the benefitted property payable in semi -annual installments for such period and on such terms as the council may determine. Unless deferred payment is so authorized, all hook -up charges shall be payable in full prior to the issuance of a building permit for new construction on the property. ( Ord. No. 5, § 6, 3-11-85) Supp. No 8 1071 COST INDEXES CONSTRUCTION COST INDEX Inflation slipped to 3.7% In December, down from a 3.8% rate last month. The wage component remained stable during the month. 199 DECEMBER Ci % CIL % VEILS CONSTRUCTION midi COST 5730.36 +10.11' +3.7 -- i%lda .......... . . .. . +2.0 .... ..................... � 11536.45 00. WAGE s/HR . . ..... I ............. 2 ...... .................. 21.9 �:! +2.0 0.0 BUILDING COST INDEX A 10% annual increase In the materials component drove the 1301 above last year's level, up from a 5.2% rate last month. MATERIALS COST COMPONENT Lumber's seventh straight monthly Increase left prices 23% above a year ago. DECEMBER 1996 %CIL % CAL I91310111 INDEX/PRICE MOM YUR MATERIALS 2171.79 +0.2 +10.0 ......... ......... . . .. ....... CEMENi VrON M 73.58 -0.3 +4.8 STEEL ew T 26.59 `0 +1.3 LUMBER $ /MBf .. ........ 550.33 " " +0. + 2 2.6 In Chicago Costs In the Windy City are being buffeted by a 411% Increase In lumber prices, which has pushed the materials component of ERR's Indexes 17.1% above December 1905's level. During the same period, steel prices rose 1.3% and cement prices held steady. DECEMBER 1996 %CRL %CBS. 1913101 010 VALVE 1911`11 YUR BUILDING COST 3302.37 . .... ....................... . +0.2 +5.6 .. SKILLED LABOR 5153.66 0 3 +2.7 WAGE $/H Fl. 28.60 +0.3 +2.7 MATERIALS COST COMPONENT Lumber's seventh straight monthly Increase left prices 23% above a year ago. DECEMBER 1996 %CIL % CAL I91310111 INDEX/PRICE MOM YUR MATERIALS 2171.79 +0.2 +10.0 ......... ......... . . .. ....... CEMENi VrON M 73.58 -0.3 +4.8 STEEL ew T 26.59 `0 +1.3 LUMBER $ /MBf .. ........ 550.33 " " +0. + 2 2.6 In Chicago Costs In the Windy City are being buffeted by a 411% Increase In lumber prices, which has pushed the materials component of ERR's Indexes 17.1% above December 1905's level. During the same period, steel prices rose 1.3% and cement prices held steady. ASPHALT paving 9 AC 2 j! ton -115.00 +135.00 120 150.00 120.00 ........ 130.00 ......... ... * COST INDEXES 115-00 ................................................. BY CITY 110.00 .............. ............ ....... ....... ................... ....... papac!�tmc§. .................................. ton - . 1 . 5 . 0 .. 00 ........ CONSIBU C11 ONCOST BOLDING Cog COMMON MR S= LOB 160-00 ......... M_ OR DEC.16 % CBS DEV16 %CHL DEV96 % CX DWN % CH& i DEC- M % CHL CITY INDEX YEAR INDEX YEAR INDEX YUR O(DU YEAR Ma YEAR ATLANTA 3601.31 .6.5 2617.90 +8.5 6173.68 +1.6 3590.39 +1.6 2024.69 +17.2 BALTIMORE 4544.51 +5.1 3066.06 +8.8 8442.11 +1.9 4557.36 +5.4 2155.65 +13.6 BIRMINGHAM 4264.98 +4.8 2676.67 +6.7 7694.74 +2.1 3519.52 +2.5 2162.87 +11.2 BOSTON 6772.20 +5.7 3844.53 +8.3 14157.89 +2.7 6461.86 +3.0 2245.48 +19.3 CHICAGO 6743.46 +6.5 3738.78 +8.5 13973.68 +3.9 6074.47 +3.7 2312.04 +17.1 CINCINNATI 5488.81 +0.7 2977.85 +11.2 11105.26 +0.7 4503.30 +1.6 2046.46 +0.7 CLEVELAND 6187.09 +2.8 3455.72 +5.6 12586.84 +0.7 5406.01 +2.5 2264.67 +10.5 DALLAS 3830.81 +5.2 2596.40 +6.7 6426.32 +1.7 3181.98 +1.2 2240.02 +12.1 DENVER 4334.09 +6.0 2887.49 +8.5 7594.74 +2.4 3792.79 +3.4 2335.62 +14.1 DETROIT 6428.70 +4.8 3688.27 +6.6 13142.11 +2.7 5938.14 +3.0 2314.03 +12.9 KANSAS CITY 5652.65 +5.3 3202.29 +10.8 11194.74 +3.2 4752.55 +9.9 2255.89 +12.0 LOS ANGELES 6522.44 -0.1 3413.48 -0.4 13915.79 +0.2 5741.74 0.0 1991.02 -1.1 MINNEAPOLIS 6298. +6.6 3397.24 +8.6 12868.42 +4.1 5240.24 +3.8 2271.80 +16.1 NEW ORLEANS 3973.26 +3.7 2647.87 +6.0 6842.11 0.0 3358.56 +0.7 2214.94 +11.3 NEW YORK 8554.47 +2.1 4774.23 +4.8 18850.00 +1.0 8913.51 +3.4 2244.31 +8.2 PHILADMLA 6599.25 +2.6 3640.49 +2.2 14078.95 +3.1 6300.90 +3.0 2014.91 +0.7 PITTSBURGH 5984.29 +5.9 3538.60 +7.6 11707.89 +3.4 5278.68 +3.2 2476.28 +13.9 St LOUIS 6302.04 +4.1 3253.40 +5.3 13300.00 +2.9 5284.08 +3.0 2012.96 +9.3 SAN FRANCISCO 6549.61 -0.1 3533.05 -0.8 13947.37 +0.4 6016.82 0.0 2015.51 -2.2 SEATTLE 5974.77 +0.9 3097.18 +11.7 12726.32 0.0 5160,36 0.0 1836.73 +4.7 MONTREAL 6028.96 +1.8 3511.40 +3.2 11689.47 0.0 5070.87 0.0 2559.61 +7.4 TORONTO 8020.55 +4.1 4202.84 +8.7 16210.53 +0.2 6177.18 +1.3 3000.88 +19.5 ASPHALT paving 9 AC 2 j! ton -115.00 +135.00 120 150.00 120.00 ........ 130.00 ......... ... * 115.00 ............ ***'* 115-00 ................................................. 130.00 110.00 .............. ............ ....... ....... ................... ....... papac!�tmc§. .................................. ton - . 1 . 5 . 0 .. 00 ........ ..... ...................................... i7�:99 160 ......... 1 . 8 9:T 5 ......... 156 ......... 160-00 ......... 165 ...... ................................. emulsion, rapid set ....... ton ........... 150.0 I.= ........ 165.00 ......... 105.00 ........ 160.00 7 77: ......... ......... ........ ........................................................ slow ...... set !R9 150 ..................................................... ............. .............. 154 .............. 77 ......... 1.1 ........ 150.00 ........... 152.95 ........................................ 144.60 +142.00 PORTLAND CEMENT type one It n R -72.00 79.50 82.50 71.00 ....... 6 .00 ......... .... ..................................................................... 87 71.90 +76-00 81.00 79 ...... 74 ....... 7 ...... 1 ... . ..................... MASONRY ................................... ...... _ .......... I ...................... ............ .......... 4 5.2.5 ... GRAVEL 11rt . wn io . i;i ... ton +10.00 77 .......... 719-59 ........... ........ : + 10 . 00 ......... .......... 1 . 2 ... 95 ........ ..... . 1.6.00 ... ........................................................................ own to 3/8" ton 10.00 .............. 77 ........... 1 ! ........... ............ �:Tq ........ :tlq.00 ........................................................ 8.25 7.95 19.50 a ... c ......... t ... *** ...... . 7 ..... .......... ' 7 ­ 9 5 .......... 4 ........... 10.50 ........... 5.60 7 .. ........................................................................................... 6.60 7.50 4.50 3.60 4.00 ....... ..................... ......... ............... I concrete course ............ ton........... ....................................... 9 . 50 .--........ 1 . 75 ........... 1 i .... ........... P ...... ........... .................................................... 7.60 7:50............8:31.......... 5.10 6.00 ............................... asPi Course ton .......... .......... R .79 ............9:50........... .................... !:?� ........... ?��p ................. -.. .......... 7 . 60 ........... 7 : 5Q ............ 9.69 .......... 7.44 ........ ...... 5.7 ..... ................................. SAND concrete n t R 6.80 .......... 8.50...........8:x9.50...........5:85........... ......... +850 ............ 4 : 85 .......... ............ ....... I .. . -N ................ ............................... masonry ........................ !m I ......... 7 liO ................. R-�9.50 6.80 q ..:............3:70.......... .... 9 :99� ........... 4:45 ....... * .7"R � .......... ii:SPt ................................. 6.75 +4.10 ...... .......................................... CONCRETE READY-MIX 3,000 psi ........... C y 5 OD .......... ........... 72.00 ................ 51.00 ........... 67.00 ........... 7 .00 4350 .... : ............................... +58.50 +54.00 .......................... 58.50 .... +6 .75 55.85 ................................................... ........... .............................. 5 .00 76.00 .................. 55.00 11 ........... 70.00 . .... ......... 77.00 47.00 ........................... +61.50 .+6i.00 ........... 6.3.00 ........ +7.3...75 ........ 5 ... ...................... . .................. psi .......... c.YW ....... 63.00 I ............................................................... 8 59.00 73.00 I ............ 82.00 51 .............. +64.50 I .................................................................. +6i. 68.00 +78.75 60.00 ......... ....................... STlINDlIBfI MODULAR BRICK ......... M 180.00 . 00 ......... ........ ... 210.00 ........................................... 165.00 305.00 ......... 230.00 .... 320.00 330.00 2 . 25 ... 00 .......... 2 . 8 . 5 . 0 . 0 ...... ...... 29.00 ... heavyweight ................................................................. ........... 84 .... 8" ... 16" ....... ........................ 6 .......... k .. 6 R .............................................................................. IIP:�q P� -99 . ............... iii.w 91.00 + 02-00 i ...................................... 96.00 96.0 9 ................. ... 102.00 ........................................... M"xVxW .............. C ................ 90.00 .......... 89.6b .......... 88.00 ......... 131.00 ............................................ 95.00 118.00 105.00 +102.00 ...... I * 0 * 9.0 , 0 100.00 ........... 114.00 ...... ............................................ -------- 1T x 8� x 16- ........ ik66 ....... ........ : ...... 66. ........ i'i 6. ........ : 1 W .... DO .... : ...... +.!.. I .................................. 150.00 160 .00 ............ 170.00 ........ .............. I ........................ - MASONS UME to . n ........ ....................................... I 1 0.00 203.50 ................................................... - 160.00 ............ 174.00 i:�6� 110.00 212.00 164.00 - or- denotes price has risen or fallen since previous report; -not applicable because of revisions In the quoting method; a=type Z- b=25mpa;c40 mpa; d=Includes taxes. Monthly market quotations by ; NR field reporters Dec. Z 1996. All prices are spot prices quoted from a single source. Quotes are delivered prices for portland and masonry cement, concrete block and ready-MIX concrete. Prices for gravel, crushed stone and sand are FOB plant. Other prices are quoted FOB city unless noted. Some prices may Include taxes or discounts for prompt payment etc. Further product specifications Include rapid-set emulsion, CRSZ- slow-set emulsion, CSS1H; gravel, washed; base course, $e down to dust unwashed; concrete course, 1W through #4, Washed; asphalt course, %" through #4, unwashed; con- City Council Meeting - January 13, 1997 Councilman Senn: Part of that is ... we need to be careful the way we go out and talk to people. I mean I can picture a lot of ponds where, I mean you've got manicured grass right up to the edge of these ponds and neighborhoods, I mean they don't even remotely look like a wetland. And if we go out and tell people they're kind of novelty wetlands and be governed by wetland rules and a whole bunch of things, we're going to have a lot of very, very upset people. Councilman Engel: I agree with that. I don't want to be appearing to be over burdensome with regulation. I think people have had it with that. Councilman Senn: Yeah but again, I don't want force people to turn those situations effectively into something else because now we're classifying it as a wetland or something. I just want to be really careful how we handle that. Mayor Mancino: May I have a motion please. Councilman Senn: I'll move approval. Councilman Mason: Second. Councilman Senn moved, Councilman Mason seconded that the City Council adopts the amendment to Chapter 20 pertaining to chemical treatment of wetlands as shown in Attachment #1. All voted in favor and the motion carried unanimously. AMENDMENT TO CITY CODE SECTION 19 -21(A) AND SECTION 19 -46(A) REGARDING HOOKUP CHARGES. Charles Folch: Thank you. The purpose of this ordinance amendment is to modify the procedures for which the trunk utility hook -up and lateral utility connection charges are adjusted each year based on construction cost increases. The last time this was brought before the Council earlier in 1996, the City Council recommended the staff to amend the ordinance to allow for an automatic adjustment of these charges based on a construction cost increases for the previous year, directly related to the Minnesota and Minneapolis region. This ordinance, proposed ordinance amendment attempts to meet that directive and thereby allowing for the automatic adjustment accordingly rather than the past practice which has been to bring it back to the Council each year for adoption. Staff would continue to bring the information as an update administratively to the City Council each year as to what the previous year's construction cost increase for the Minneapolis area was, just for information purposes. But the adjustment would be automatic January I" of each year. Nancy Mancino: Okay. And the other changes I see is from the old ordinance, is that you do say, or I think it was Councilman Berquist's request local Minneapolis region. Charles Folch: Right. Councilman Berquist was very astute that there are some local factors with labor and such that tend to make our increases higher than the national average and that was again the case for 1997. In fact when this is brought back for a second reading I'll provide you with the information as to the national compared to the Minneapolis region so. Councilman Berquist: Did you just call me a stup? Mayor Mancino: Any questions for staff at this point? Councilman Berquist: What did CCI, Minnesota CCI go up? Charles Folch: 6.6. The national average was about 3.7 so it was quite a bit higher for the Minneapolis region. Mayor Mancino: So you're sure you want it tied to the Minneapolis region, yes. Is there anyone wishing to address the City Council on this issue? Okay. Any comments from Council members at this time? Everyone has seen it before. Councilman Berquist? 34 City Council Meeting - January 13, 1997 Councilman Berquist: Well the only, passing this now gives us the ability to put it in place immediately. Charles Folch: It goes into effect January I" of each year. Mayor Mancino: May 1 have a motion please? Councilman Berquist: Is this a public hearing? Charles Folch: First reading. Councilman Berquist: Oh, first reading. I will move to accept the first reading of the ordinance amending the chapter of the code concerning sewer and water hook -up charges. Mayor Mancino: Is there a second? Councilman Mason: Yes there is. Councilman Berquist moved, Councilman Mason seconded to approve the first reading of the ordinance amendment to Chapter 19, Sections 19 -20, 19 -21, 19 -45, and 19 -46 of the Chanhassen City Code concerning trunk sewer and water hook -up and lateral connection charges. All voted in favor and the motion carried unanimously. COUNCIL PRESENT PROPOSED BILL PROVIDING FOR A PROPERTY TAX FREEZE FOR HOMEOWNERS AGED 65 OR OLDER COUNCILMAN BERQUIST. Councilman Berquist: Well this isn't going to be news to Senn and Mason or myself, or Ashworth or what's his name over here. The piece that was included in the Council packet was something that came out of the Reviser's office at the State of Minnesota. Mayor Mancino: I tried to read it. Councilman Berquist: Well what you really needed to read was page 10 and 11. The rest of it ... something to be desired insofar as that what I just passed out was what my real, our real intent was. Mayor Mancino: Would you read it to us, what you really want to say? Councilman Berquist: Yes. What I really want to address is, well I've written a sample resolution and I editorialize a little on the bottom. I would like us to be able to resolve something similar to this. We, the City Council of City of Chanhassen hereby resolve that the State of Minnesota Property Tax Code, as it relates to those individuals on fixed incomes with escalating property values is unjust. The City of Chanhassen recognizes this injustice and seeks to mitigate any property tax increase received by the City of Chanhassen due to increased property valuation as it relates to Chanhassen residents on fixed incomes. That a base line be established of 1995 valuation, with any subsequent property tax increase as a result of increased valuation only, being refunded to the property owner less only the preceding year's increase in cost of services provided by the City. This increase, if any, would be based upon the Minnesota Consumer Price Index. Insofar as the City of Chanhassen represents, percentage represents 17% of the property tax load, and using $2,000.00 as a base line example, the City would garner $340.00 from that property. If the next year that property received a tax valuation of $2,200.00 and there had been no improvements whatsoever to the property, that would result in $374.00 to the City. Now under my proposed resolution, any homeowner on a fixed income would apply to the City of Chanhassen for, lack of a better word, fixed income refund. If we as a City determine that the CPI for 1996 was 3 %2 %, the City portion of that property tax would be increased by $11.90. And how I arrive at that is simply taking the $340.00 tax from '96 and multiplying it times 1.35. 1.035. So it would end up as a net result, the net result would be a refund to the property owner of $22.10. Now I 35