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B. Discuss Tree Policy0 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 MEMORANDUM TO: Todd Gerhardt, City Manager FROM: Kate Aanenson, AICP Community Development Director DATE: August 22, 2011 9:�q . SUBJ: Review of tree expenditures One of the priorities in the City Council's Key Financial Strategies was to review tree expenditures across all departments. The strategy is stated below: BACKGROUND Strengthen the City's Financial Position: Examine service levels for tree expenditures. Expenditures for trees are found in three departments. None of the expenditures come from property tax levy dollars but rather from park dedication fees, storm water fees, or are paid for as part of street reconstruction projects. ANALYSIS The following is an analysis that describes how each department uses their tree budget. Street Reconstruction: As a part of each street reconstruction project, the plans call for new trees to be planted along the boulevard. From 2008 -2010, the city spent approximately $8,000 to $10,000 on trees related to street reconstructions. Of that amount, 40% is assessed back to the homeowners and therefore the true cost to the city is about $5,000 to $6,000 per year. The city's portion of those trees is funded by the revolving assessment construction fund. 7901 Park Place Park and Recreation: Trees planted in parks and along trails are funded with Phone: 952.227.1300 Fax: 952.227.1310 park dedication fees. The park dedication fund CIP currently has about $25,000 per year slated for new tree purchases. In the years 2008 -2010, the city spent Senior Center approximately $10,000 - $15,000 on new trees. The Park & Recreation Phone: 952.227.1125 Commission has reduced this line item within the Park Dedication Fund to Fax: 952.227.1110 $15,000 per year starting in 2012. Web Site Stormwater (Forestry): The annual budget for new trees purchased for this www.ci.chanhassen.mn.us purpose is $30,000, and in each year the city has spent at or near the budgeted Chanhassen is a Community for Life - Providing for Today and Planning for Tomorrow Mr. Todd Gerhardt August 22. 2011 Page 2 amount. In addition, $10,000 is budgeted for maintaining existing trees on public property. The $40,000 per year spent on this program, including maintenance, is paid by stormwater fees collected from all city residents. These funds help pay for the boulevard tree planting program (which includes tree sales and tree coupon programs), as well as maintenance of existing trees on public property. CONCLUSION Trees are an important part of the city's surface water management plan as they absorb water thus reducing runoff. This is especially true in Chanhassen due to the high concentration of clay soil which is difficult to infiltrate. The Minnesota Pollution Control Agency recognizes the use of trees to achieve volume reduction and Minnehaha Creek Watershed District rules give credit for the preservation and planting of new trees. The boulevard tree program provides numerous benefits, especially shade trees along streets and parking lots. Trees enhance property values, reduce urban heat island impacts, and provide shade for users of the city parks and trails. Staff recommends maintaining current budgets, but to allocate these dollars to areas of the community in need of boulevard trees such as Highway 101, Powers Boulevard, etc. Staff should be directed to prepare a Boulevard Tree Planting Plan that would take into account future developments that are adjacent to city, county and state streets, trails and parks. This would allow property owners to plant trees concurrent with the development of their property. The city would be responsible for those areas determined public (wetlands, lakes, rights -of -way, etc.). Staff looks forward to discussing this proposal at Monday's work session. g:\p1an\ka\trees.docx