WS 2011 05 23
CHANHASSEN CITY COUNCIL
WORK SESSION
MAY 23, 2011
Mayor Furlong called the work session to order at 5:40 p.m.
COUNCIL MEMBERS PRESENT:
Mayor Furlong, Councilwoman Ernst, Councilwoman
Tjornhom, and Councilman McDonald. Councilman Laufenburger arrived after discussion of
items A and B.
STAFF PRESENT:
Todd Gerhardt, Kate Aanenson, Paul Oehme, and Todd Hoffman
A. REVIEW OF RENTAL LICENSING PROGRAM.
Todd Gerhardt reviewed the process conducted by staff in adopting the rental licensing program
in 2002. Kate Aanenson provided background information on why the program was initiated,
explaining that the city ordinances are based on models from other communities and the
International Property Maintenance Code. She discussed the number of city licenses issued
compared to census numbers. Todd Gerhardt asked staff to explain how the program works with
the number of licenses issued versus the actual number of rental units, commercial and
residential. Mayor Furlong asked for clarification of what constitutes a violation. Kate
Aanenson discussed the benefits and disadvantages of the program, explaining that code
compliance and conduct on premises are the two primary issues. Councilman McDonald asked
why the City is getting involved with property maintenance issues. Mayor Furlong asked about
the number of staff hours needed to manage this program. Councilman McDonald voiced
concern that in today’s economic times the City should be using the nuisance ordinance for
enforcement. Councilwoman Ernst stated her biggest concern was with the $50.00 per unit
licensing fee. Todd Gerhardt explained how the fee was determined and suggested ways of
lowering that fee. Mayor Furlong asked about the public benefit versus city cost to manage this
program. Lisa Peilen, Director of Municipal Affairs with the Minnesota Multi Housing
Association offered her assistance in investigating what other communities are doing with their
inspection and tiered fee programs.
B. CONDUCT COMPARISON OF COST OF DEVELOPMENT; PERMIT AND
DEVELOPMENT FEES.
Todd Gerhardt explained the process used to review development patterns and cost of
development for commercial and residential in the city related to building permits, plan check,
and sewer and water connection fees. Councilwoman Tjornhom asked staff to explain how
comparable cities were chosen. Todd Gerhardt explained that cities with comparable population
and rate of growth were used for comparison purposes. Councilwoman Ernst asked for
clarification of why Shakopee’s building permit numbers were so much lower than every other
city. Mayor Furlong asked how service levels for plan review compared with other cities.
Councilwoman Ernst asked how sewer and water fees compared with other cities. Staff
explained the difficulties of comparing these numbers because of infrastructure differences
between cities. Councilwoman Ernst expressed concern with the water and sewer fees and asked
City Council Work Session - May 23, 2011
staff to identify differences with other cities numbers and other development fees not on this
schedule.
Councilman Laufenburger arrived at this point in the work session.
C. DISCUSS NEED FOR ADDITIONAL WATER STORAGE IN THE HIGH ZONE.
Paul Oehme introduced Douglas Klamerus, with SEH who worked on the Comprehensive Water
Study update, before reviewing the need for expanded water storage in the high zone due to
increased growth. He outlined possible locations and explained staff’s recommendation of Site
#5. The estimated cost for site improvements on Site #5 are $2,112,000, with possible bid
alternates which could help drive down the cost.
The work session was recessed at 7:00 p.m. It was reconvened at 7:35 p.m.
Paul Oehme resumed his presentation outlining staff’s recommendation of Site #5 with a photo
showing a scale model of the proposed tower. Councilman McDonald asked about keeping the
Melody Hill tower. Staff explained that it wouldn’t make sense due to maintenance and costs
associated with having two towers so close together. Mayor Furlong asked about cost savings
associated with different sized tanks. Council discussed differences between concrete
construction versus steel. Councilman Laufenburger asked for clarification of the 2 hour fire
flow and ISO requirements; the area being serviced by this tank; hydrology, consumer
complaints with current situation; funding sources and the effects on utility rates. Mayor
Furlong asked about the proposed tank handling future and ultimate build-out in this area. Todd
Gerhardt explained that he and Paul Oehme met with the Minnetonka School Board who
approved an agreement for the City to move ahead with the public process. Paul Oehme
reviewed a preliminary schedule for public meetings and construction. Todd Gerhardt explained
staff is preparing a permanent easement agreement for the School Board’s approval at their
meeting in June. Council expressed no concerns with staff proceeding with the process.
Councilwoman Ernst asked for clarification of the bidding process.
Mayor Furlong adjourned the work session meeting at 8:10 p.m.
Submitted by Todd Gerhardt
City Manager
Prepared by Nann Opheim
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