WS 2014 07 28
CHANHASSEN CITY COUNCIL
WORK SESSION
JULY 28, 2014
Mayor Furlong called the work session meeting to order at 5:30 p.m.
COUNCIL MEMBERS PRESENT:
Mayor Furlong, Councilman Laufenburger, Councilwoman Ernst,
Councilwoman Tjornhom, and Councilman McDonald
STAFF PRESENT:
Todd Gerhardt, Laurie Hokkanen, Paul Oehme, Kate Aanenson, Todd Hoffman,
Greg Sticha, Roger Knutson, Fire Chief Don Johnson, Kevin Crooks and Charlie Burke
PUBLIC PRESENT:
INTRODUCTION OF CHARLIE BURKE, STREET SUPERINTENDENT.
Todd Gerhardt introduced Charlie Burke as the new Street Superintendent who provided his background
information.
WEST WATER TREATMENT PLANT OPTIONS AND PROPOSED WELL #15.
Paul Oehme introduced Brian LaMond with Barr Engineering and Kevin Crooks, the Water Treatment
Plant Manager before providing background information on planning for the east and west water
treatment plants. Kevin Crooks addressed the need for treatment of water quality and operational
problems with current the situation by reviewing pressure zones, wells, and the treated/untreated
influence zone. Councilman Laufenburger asked for clarification on the difference between treated and
untreated water. Councilwoman Ernst asked about the option of a booster station. Mayor Furlong asked
about complaints from residents in the treated/untreated area. Paul Oehme reviewed the advantages and
disadvantages involved with a treatment phase in option versus one plant for the treatment plant proposed
in the Lake Harrison location. Councilwoman Ernst asked about costs associated with the two options.
Paul Oehme explained staff hasn’t gotten to that level of planning. Mayor Furlong asked for clarification
of what’s included in the feasibility study. Councilman Laufenburger asked staff to check the population
number for 2007 in the report. Paul Oehme reviewed the locations of proposed wells with the phased in
treatment option. Mayor Furlong asked how much land is needed for this option. In reviewing the
preliminary schedule proposed by staff, Paul Oehme discussed completing the feasibility study in the
spring of 2015, design in fall 2015 and construction 2016/2017. Councilman Laufenburger asked about
the property at Powers Pointe, and the City’s associations with surrounding communities in cases of
catastrophic events. Councilman McDonald asked about impacts on Minnesota River. Paul Oehme
stated that will be addressed with the proposed improvements to Well #15 improvements. Brian LaMond
discussed results from the modeling his firm has done to date. Greg Sticha stated staff is looking for
direction on where the council wants to place construction of water treatment plants in association with
the utility rate study. Mayor Furlong asked about available funding options. Paul Oehme and Brian
LaMond discussed future water supply alternatives associated with available aquifers, aquifer storage and
recovery, and surface water. Mayor Furlong asked about the economic viability with these proposed
options before asking for council feedback regarding the need for Well #15. Consensus was to proceed
with the schedule for Well #15 and that the issue of future water treatment needed more information from
a feasibility study.
The work session was recessed at 6:55 p.m. It was reconvened at 8:05 p.m.
City Council Work Session – July 28, 2014
DISCUSS FIRE RELIEF PENSION FUNDING ALTERNATIVES AND POTENTIAL
INCREASE.
Todd Gerhardt introduced Matt Keuseman who oversees the Fire Relief Pension for the Chanhassen Fire
Department. Greg Sticha provided background information before reviewing the two different funding
types, Defined Benefit Pension which is currently in place, and Defined Contribution Pension System.
He reviewed the pension benefit history, city employee wage history, KFS city comparisons which
th
suggests the benefit level should be adjusted to $6,000. This would put Chanhassen in the 66 percentile.
Mayor Furlong asked for clarification on the State plan. Greg Sticha reviewed a funding ratio history for
percent funded since 2003. Councilman Laufenburger asked for clarification on the amount received by
the fire fighter at retirement and retirement plans, Greg Sticha continued with a review of the actuarial
completed by Duane Hanf of the pension funding levels in the past and projections for the future. Staff is
recommending an increase in the fire relief pension benefit level to $6,000 and looking for direction on
whether to pursue special legislation in order to create a defined contribution fire relief pension for future
incoming fire fighters and a suggested frequency of adjustments. Roger Knutson discussed issues
associated with pursuing special legislation to become part of the Defined Contribution Pension System
rather than a Defined Benefit Pension System. Councilman Laufenburger asked about issues associated
with recruitment efforts. Matt Keuseman asked Fire Chief Don Johnson to discuss community service
requests, i.e. National Night Out, Miracles for Mitch, Mud Run, etc. and the impact on the fire
department’s work load. Councilwoman Tjornhom and Councilman McDonald expressed concern on the
impact on the budget. Mayor Furlong stated he thinks it is appropriate to look at changing the pension
benefit level and how frequently this item should be reviewed while suggesting looking at this item
further during the upcoming budget discussions.
Mayor Furlong adjourned the work session meeting at 8:55 p.m.
Submitted by Todd Gerhardt
City Manager
Prepared by Nann Opheim
2