6a. Structure for surface water utility dist. i 6 a..-
il CITY OF
1 � • CHANHASSEN
690 COULTER DRIVE • P.O. BOX 147 • CHANHASSEN, MINNESOTA 55317
II (612) 937-1900 • FAX (612) 937-5739
MEMORANDUM
ITO: Don Ashworth, City Manager
1 FROM: Gary Warren, City Enginee 7
DATE: October 3, 1990
1 SUBJ: Adopt Rate Structure for Surface Water Management Utility
File No. PW207
IIThe Surface Water Utility District Ordinance was adopted at the
September 24 , 1990 City Council meeting. Staff was directed to
1 review the rate structure and revenue picture for the program to
see if a reduced rate schedule could be considered and yet still
accomplish the goals of the program.
IAttached are four spreadsheets showing 100%, 85%, 75% and 60% of
the original program. On the right-hand side of each spreadsheet
a summary is provided of the per acre and per lot quarterly cost
1 for the various land uses . The revenue picture for the district
can be summarized as follows:
1 Percent of RSF
Original Projected Annual Projected 5-Year Quarterly rK4r-
Schedule Revenue Revenue Cost ,O ! lr,,
2
II100% $ 346 ,800 $ 1 ,734,000 $ 5. 37 �' a
85% $ 294, 780 $ 1,473 , 900 $ 4.56 i2I
U'
75� $ 260 ,100 $ 1 ,300 ,500 $ 4.03
I60% $ 208 ,080 $ 1 ,040,400 $ 3. 22
Staff has mixed emotions concerning this issue. We are sensitive
to the concerns expressed as to the overall magnitude of the
I program. However , we also do not want to mislead the Council or
the public as to the needs which exist in the community. We have
reviewed the proposed expenditures in the 5-year schedule which
I is attached to this memo and continue to believe that our cost
estimates and scope of needs are reasonable and appropriate.
From a credioility standpoint, we believe it is important that
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11 Don Ashworth
October 3 , 1990
Page 2
the initial rate structure be established such that this program
does not lead the City into any further deficit position. We are
1 comfortable that the original rate structure as proposed is
compatible with the scope and needs of water quality and related
issues . In fact, this fund will have the added benefit of
' transferring approximately $30 ,000 per year of staff burden from
the General Fund by covering existing and proposed staff labor
that is involved in dealing with surface water management issues .
As adopted by ordinance, the revenue program is an annual
program. We believe it is important to start off on the right
foot with this rate structure and our promise remains the same
' that annually these rates and program scope will be adjusted by
the City Council to coincide with the needs of the City. As
mentioned in previous staff reports , in order to fund the Water
' Quality Plan , the 509 Plan and the wetland mapping and ordinance
revision elements plus absorb the $30 ,000 of staff time from the
General Fund, this relates to a first-year program of over
$300 , 000 . We believe that for the cost of 18 per month
1 (difference between 60% and 100% program for a single-family
home ) that the 100% rate schedule ( $346 , 800 per year program)
should be adopted.
1 In order to generate the necessary cash flow to fund the 1991
activities , staff will be working in earnest over the next 2i
1 months to evaluate the parcels and work with Finance to compile
and implement the billing and collection system for Janaury 1,
1991 . By necessity, the projected revenues are based on current
land use zoning and the detailed, actual revenue receipts will
' not be known until this analysis and billing system is in place.
It is therefore recommended that the City Council adopt the 100%
1 rate structure as shown in Attachment #1 to this report.
ktm
' Attachments: 1 . 100% Program.
2 . 85% Program.
3 . 75% Program.
' 4 . 60% Program.
5 . 5-Year Expenditures.
6 . September 24, 1990 City Council minutes ( see
Consent Item 1K) .
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October 3, 1990
Page 3
Manager's Comments:
The City Council is aware that I am concerned over the $300, 000
shortfall this year. Although this is a hurdle we need to cross,
a far greater concern is the fact that that $300,000 deficit will
exist in 1991, 1992, and each year thereafter. We have already
identified two staff changes which will help reduce the long term
burden. A simple solution would be to increase property taxes.
The Council has already stated that that is not an acceptable
solution. In addition to looking at more cuts, we should also be
looking at whether we are properly using current property tax
dollars. Specifically, Jo Ann, Sharmin and Dave spend a
considerable amount of their time reacting to illegal wetland
filling activities, attempting to defend the wetland ordinance, and
in other ways attempting to respond to citizen/developer
inquiries/requests. Their time could be better spent by managing
and administering an overall storm water management plan/wetland
protection map versus our current reactionary type of response.
The storm water management utility provides them the tool by which
they can advocate wetland protection, monitor water quality
programs, and advise property owners as to the existence of
wetlands on their property prior to illegal activities occurring.
However, the storm water management fund also provides a secondary
benefit in that the time they spend in carrying out these
activities can be paid for via the storm water management utility -
not general property taxes. As Gary noted, staff has analyzed
existing work efforts and currently estimates that approximately
$30, 000 per year in salaries is attributable to storm water
management/wetland protection. Each $30,000 helps us get one step
closer to balancing the 1991 budget without looking to property tax
increases. The 18c per month cost factor between the 100% funding
level versus 60% level appears minor when related to such making
the difference between establishing a good plan versus a mediocre
one. Approval of the storm water management plan as originally
presented is recommended.
-D(A) IL
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or EN No gm um ow ow m E =I IIMI NM MN M I MO MN Mil MI
**** SURFACE WATER MANAGEMENT UTILITY SPREADSHEET ****
CITY: CHANHASSEN
JOB NO. : 90284
DATE: OCTOBER 1, 1990
RAINFALL: 2 IN.
5 YR REVENUE: $1,734, 000
% OF INITIAL ESTIMATE: 100.00%
REVISED 10/2/90 MLL
*******************************************************************************************************
* RUNOFF TOTAL UTILITY QUARTERLY COSTS *
* PROPERTY LOT RUNOFF AREA VOLUME % FACTOR TOTAL PER PER *
* ZONING SIZE CN (INCHES) (ACRES) (AC. in) RUNOFF (1) (2) ACRE LOT *
(ACRE) (4) (3) *
*
*
* RSF,PUD-R 0.33 72 0.29 2065 603 .54 39.2% 1 $33,594 $16.27 $5.37 *
* RR 2 .5 60 0.06 1297 78. 61 5. 1% 0.21 $4,375 $3.37 $8.43 *
* R-4,R-8 82 0.65 0 0. 00 0. 0% 2 .22 $0 $36. 11 NA *
* R-12 88 0.97 45 43 .44 2.8% 3 . 30 $2 ,418 $53 .73 NA *
* BN,BH,CBD,BG,BF 92 1.24 226 279. 57 18.2% 4.23 $15,561 $68.85 NA *
* OI,IOP 88 0.97 394 380. 30 24.7% 3 . 30
* INST. * (1) $21, 268 $53. 73 NA
*
* DEVELOPED 88 0.97 90 86. 87 5. 6% 3 . 30 $4,835 $53 .73 NA *
* UNDEVELOPED ** 0.00 1630
* PARKS * 65 0. 14 486 65. 65 4. 3% 0.46 $219 $5.37 *
$3,654 $77..52 NA
* A2 40 ** 0.00 3814 $512 NA $5.37 *
* U * 40 ** 0.00 2708
* $363 NA $5.37
* TOTAL 12755 1537. 98 *
* (1) UTILITY FACTOR IS RUNOFF (INCHES) DIVIDED BY RUNOFF (INCHES) FOR SINGL $886700 *
* (2) TOTAL QUARTERLY COST FOR SINGLE FAMILY RESIDENTIAL IS A PERCENTAGE OF THE TOTAL QUARTERLY *
* REVENUE EQUAL TO THE PERCENTAGE OF TOTAL RUNOFF *
* (3) COST PER ACRE IS PER ACRE COST OF SINGLE FAMILY RESIDENTIAL MULTIPLIED BY UTILITY FACTOR *
* (4) TOTAL QUARTERLY COSTS FOR PROPERTIES OTHER THAN SINGLE FAMILY RESIDENTIAL EQUAL *
* COST PER ACRE TIMES TOTAL ACRES. FOR AG AND UNDEVELOPED,THE FIXED FEE FOR THE AVERAGE *
* AVERAGE PARCEL SIZE IS EQUAL TO THE RSF RATE. *
*******************************************************************************************************
ATTACHMENT * 1
**** SURFACE WATER MANAGEMENT UTILITY SPREADSHEET ****
CITY: CHANHASSEN
JOB NO. : 90284
DATE: OCTOBER 1, 1990
RAINFALL: 2 IN.
5 YR REVENUE: $1,473,900
% OF INITIAL ESTIMATE: 85.00%
REVISED 10/2/90 MLL
*******************************************************************************************************
* RUNOFF TOTAL UTILITY QUARTERLY COSTS *
* PROPERTY LOT RUNOFF AREA VOLUME % FACTOR TOTAL PER PER *
* ZONING SIZE CN (INCHES) (ACRES) (AC. in) RUNOFF (1) (2) ACRE LOT *
* (ACRE) (4) (3) *
*
* RSF,PUD-R 0.33 72 0.29 2065 603 .54 39.2% 1 $28,555 $13 .83 $4.56 *
* RR 2.5 60 0.06 1297 78.61 5.1% 0.21 $3,719 $2.87 $7. 17 *
* R-4,R-8 82 0.65 0 0.00 0.0% 2.22 $0 $30.69 NA *
* R-12 88 0.97 45 43.44 2.8% 3.30
* BN,BH,CBD,BG,BF 92 1.24 226 279.57 18.2% 4.23 $2,055 $45. 67 NA *
$ 13,227 $58.53 NA
* OI,IOP 88 0.97 394 380.30 24.7% 3.30 $17,993 $45.67 NA *
* INST. * (1) *
* DEVELOPED 88 0.97 90 86.87 5.6% 3.30
* UNDEVELOPED ** 0.00 1630 $4,110 $45.67 *
$186 NA $44..56
* PARKS * 65 0. 14 486 65. 65 4.3% 0.46 $3, 106 $6.39 NA *
* A2 40 ** 0. 00 3814 $435 NA *
* U * 40 ** 0. 00 2708 $309 NA $4.56
$4.56 *
* *
* TOTAL 12755 1537.98 $73 , 695 *
* (1) UTILITY FACTOR IS RUNOFF (INCHES) DIVIDED BY RUNOFF (INCHES) FOR SINGL 73695 *
* (2) TOTAL QUARTERLY COST FOR SINGLE FAMILY RESIDENTIAL IS A PERCENTAGE OF THE TOTAL QUARTERLY *
* REVENUE EQUAL TO THE PERCENTAGE OF TOTAL RUNOFF *
* (3) COST PER ACRE IS PER ACRE COST OF SINGLE FAMILY RESIDENTIAL MULTIPLIED BY UTILITY FACTOR *
* (4) TOTAL QUARTERLY COSTS FOR PROPERTIES OTHER THAN SINGLE FAMILY RESIDENTIAL EQUAL *
* COST PER ACRE TIMES TOTAL ACRES. FOR AG AND UNDEVELOPED,THE FIXED FEE FOR THE AVERAGE *
* AVERAGE PARCEL SIZE IS EQUAL TO THE RSF RATE. *
*******************************************************************************************************
MN MEM 11.1 MN 1111111 1111. NM NM NM MO OIN TQJ1MEL#2
m m um m mu m um mill um m me mom m um gm me um mil Nib
**** SURFACE WATER MANAGEMENT UTILITY SPREADSHEET ****
CITY: CHANHASSEN
JOB NO. : 90284
DATE: OCTOBER 1, 1990
RAINFALL: 2 IN.
5 YR REVENUE: $1,300,500
% OF INITIAL ESTIMATE: 75.00%
REVISED 10/2/90 MLL
*******************************************************************************************************
*
RUNOFF TOTAL UTILITY QUARTERLY COSTS *
* PROPERTY LOT RUNOFF AREA VOLUME % FACTOR TOTAL PER PER *
* ZONING SIZE CN (INCHES) (ACRES) (AC.in) RUNOFF (1) (2) ACRE LOT *
* (ACRE) (4) (3) *
*
*
* RSF,PUD-R 0.33 72 0.29 2065 603 .54 39.2% 1 $25, 195 $12.20 $4.03 *
* RR 2.5 60 0. 06 1297 78. 61 5. 1% 0. 21 $3,281 $2.53 $6.33 *
* R-4,R-8 82 0.65 0 0.00 0.0% 2 .22 $0 $27.08 NA *
* R-12 88 0.97 45 43 .44 2.8% 3 . 30 $1,813 $40.29 NA *
* BN,BH,CBD,BG,BF 92 1.24 226 279.57 18.2% 4.23 $11, 671 $51.64 NA *
* OI, IOP 88 0.97 394 380.30 24.7% 3 . 30 $15,876 $40.29 NA *
* INST. * (1) *
* DEVELOPED 88 0.97 90 86.87 5.6% 3.30 $3,627 $40.29 NA *
* UNDEVELOPED ** 0.00 1630
* PARKS * 65 0. 14 486 65. 65 4.3% 0.46 $2$144,741 $55..64 NA$4.03 *
* A2 40 ** 0.00 3814 $384 NA $4.03 *
* U * 40 ** 0.00 2708 $273 NA $4.03 *
*
*
* TOTAL 12755 1537.98 $65,025 *
* (1) UTILITY FACTOR IS RUNOFF (INCHES) DIVIDED BY RUNOFF (INCHES) FOR SINGL 65025 *
* (2) TOTAL QUARTERLY COST FOR SINGLE FAMILY RESIDENTIAL IS A PERCENTAGE OF THE TOTAL QUARTERLY *
* REVENUE EQUAL TO THE PERCENTAGE OF TOTAL RUNOFF *
* (3) COST PER ACRE IS PER ACRE COST OF SINGLE FAMILY RESIDENTIAL MULTIPLIED BY UTILITY FACTOR *
* (4) TOTAL QUARTERLY COSTS FOR PROPERTIES OTHER THAN SINGLE FAMILY RESIDENTIAL EQUAL *
* COST PER ACRE TIMES TOTAL ACRES. FOR AG AND UNDEVELOPED,THE FIXED FEE FOR THE AVERAGE *
* AVERAGE PARCEL SIZE IS EQUAL TO THE RSF RATE. *
*******************************************************************************************************
ATTACHMENT #3
**** SURFACE WATER MANAGEMENT UTILITY SPREADSHEET ****
CITY: CHANHASSEN
JOB NO. : 90284
DATE: OCTOBER 1, 1990
RAINFALL: 2 IN.
5 YR REVENUE: $1, 040,400
% OF INITIAL ESTIMATE: 60. 00%
REVISED 10/2/90 MLL
*******************************************************************************************************
* RUNOFF TOTAL UTILITY
QUARTERLY COSTS *
* PROPERTY LOT RUNOFF AREA VOLUME % FACTOR TOTAL PER PER *
* ZONING SIZE CN (INCHES) (ACRES) (AC. in) RUNOFF (1) (2) ACRE LOT *
* (ACRE) (4) (3) *
*
* RSF,PUD-R 0.33 72 0.29 2065 603 . 54 39.2% 1 $20, 156 $9.76 $3.22 *
* RR 2.5 60 0.06 1297 78.61 5. 1% 0.21 $2, 625 $2.02 $5.06 *
* R-4 ,R-8 82 0.65 0 0. 00 0.0% 2.22 $0 $21. 67 NA *
* R-12 88 0.97 45 43 .44 2.8% 3 . 30 $1,451 $32.24 NA *
* BN,BH,CBD,BG,BF 92 1.24 226 279.57 18.2% 4.23
$9,337 $41.31 NA
* OI,IOP 88 0.97 394 380. 30 24.7% 3. 30 $12,701 $32.24 NA *
* INST. * (1) *
* DEVELOPED 88 0.97 90 86.87 5.6% 3.30
$2,901 $32.24 NA *
* UNDEVELOPED ** 0.00 1630
$131 NA $ .22 *
* PARKS * 65 0.14 486 65.65 4.3% 0.46 NA
* A2 40 ** 0. 00 3814 $2, 193 $4.51 NA
$307 NA $3.22 *
* U * 40 **
0.00 2708 $218 NA $3.22
*
* TOTAL 12755 1537.98 $52, 020 *
* (1) UTILITY FACTOR IS RUNOFF (INCHES) DIVIDED BY RUNOFF (INCHES) FOR SINGL 52020 *
* (2) TOTAL QUARTERLY COST FOR SINGLE FAMILY RESIDENTIAL IS A PERCENTAGE OF THE TOTAL QUARTERLY *
* REVENUE EQUAL TO THE PERCENTAGE OF TOTAL RUNOFF *
* (3) COST PER ACRE IS PER ACRE COST OF SINGLE FAMILY RESIDENTIAL MULTIPLIED BY UTILITY FACTOR *
* (4) TOTAL QUARTERLY COSTS FOR PROPERTIES OTHER THAN SINGLE FAMILY RESIDENTIAL EQUAL *
* COST PER ACRE TIMES TOTAL ACRES. FOR AG AND UNDEVELOPED,THE FIXED FEE FOR THE AVERAGE *
* AVERAGE PARCEL SIZE IS EQUAL TO THE RSF RATE. *
*******************************************************************************************************
MI MI INE 1111111 NIN MO MIN NM 1.111 MN MO MAI TACilki ME NT •
Section 3—Fee&Ws
di
ESTIMATED 5-YEAR EXPENDITURES
il
01 Item Annual Total Cost
(5 Year)
Planning and Inventories
1. Identify wetlands,prepare City wetland
map and review wetland ordinance. $--- '$55,000
II 2. Storm Sewer Mapping
• Initial Mapping --- 8,000
II • Updates 1,000 5,000
3. Local Surface Water Management Plan
1 . (509 Plan) --- 135,000
I 4. Local Surface Water Management Plan
II Amendments 5,000 25,000
5. Water Quality Plan --- .72,000
6. Water Quality Monitoring and Improvements
(Chemical Application,Weed Harvest,Etc) 10,000 Am2
Subtotal $350,000 Z O
ISurface Water Management Utility
1. Utility Implementation --- 6,000
1 2. Billing and Collection System Modification --- 6,000
Subtotal
12,000 ,7 7
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IFinancing Storm Water Projects - Final Report Page 10
ATTACHMENT #5
5 Section 3...Fee Bags
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ICapital Expenditures
Item Annual
Total Cost
5 (5 Year)
1. Backlog of Construction Projects $30,000 150
)� $ .000
5 Future Construction Projects 180,000 400,000
2. Engineering Discretionary Fund 10,000 50,000 I
4 (Small Projects)
3. Property Acquisition 35,000 175,000
NI4. Automation
• Software (GIS,Hydrology,etc) --- 5,000
I • Hardware --- 20,000
Subtotal 800,000
10%Contingency 80,000$880,000
III 15% Engineering and Admin. 132,000 I
Subtotal $1,012,000 -;?)7
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IIPersonnel and Equipment
1. City Administration,Development Reviews 6,000 30,000 III
ill2. Maintenance:i.e.,Street Sweeping,Catch Basin
Cleaning,Ditch and Pond Maintenance,Labor 1
I (Street and Utility Superintendents) 30,000 150,000
3. Semiannual Lake,Pond,and Wetland 4,000 20,000 1
Inspections
I 4. Drainage/Utility Engineer 20,000 100
' 100,000 I
1 5. Ordinance Review 2,000 10,000
6. Utility-Customer Service and General 5,000 25,000 I
II7. Automation Personnel 5,000 25,000
Subtotal 360,000 74 ' I
1 Total $1,734,000
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Financing I
nancing Storm Water Projects- Final Report Page 11
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