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E-6. Establish Fees for Graves and Interments at the Chanhassen Pioneer Cemetery0 CITY OF CHANNASSEN 7700 Market Boulevard PC 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 7901 Park Place Phone: 952.227.1300 Fax: 952.227.1310 Senior Center Phone: 952.227.1125 Fax: 952.227.1110 Website www.ci.chanhassen.mn.us C_ _� MEMORANDUM TO: Mayor & City Council FROM: Todd Gerhardt, City Manager DATE: November 10, 2014 Q SUBJ: Establish Grave Fees for Pioneer Cemetery PROPOSED MOTION: "The City Council approves establishing grave fees for the Pioneer Cemetery at $400 for residents and $600 for non - residents, and interment fees at $150 per burial." Approval requires a simple majority vote of the City Council. Back in November 2013, the City Council reviewed the development of the Chanhassen Pioneer Cemetery. At that meeting, the City Council supported 324 new graves be added to the cemetery. Then in May of 2014, the City Council reviewed a survey of grave fees of neighboring cemeteries (see Attachment 1). Below is a summary of our findings: Municipal Cemeteries Grave Fee Resident/Member Grave Fee Non- Residents/Non- Members High $1,000 $1,000 Low $200 $200 Average $554 $713 Churches High $1,000 $1,500 Low $350 $500 Average $648 $909 RECOMMENDATION Staff is recommending that the council establish grave fees at $400 for residents and $600 for non - residents and interment fees be established at $150 per burial. Fees for niches in the proposed columbarium will be determined in the future. The new fees will be included in the city code amendment establishing fees that is scheduled for Council consideration on December 8th. ATTACHMENT 1. Cemetery Comparison Survey g:\user\karen \cemetery expansion \establish grave fees I 1- 10- 14.docx Chanhassen is a Community for Life - Providing for Today and Planning for Tomorrow POUMO AM z VC 701 g L R sl- af . o E Z c.41 o Bi 31 7 V, S. E: ZIA '-w aje3 jenjad S. fzia. Ii -UON nd Mel Y � iii i��i€ ; I-WI-WISIG! I LL Egg I z, s z slumwo3 suluas mijew ofo o c .2-W .8,0 EIF z! js + ki + ,.q.awAuap 4-1 29 41 -uuNuu!lm POUMO AM z VC 701 g L R sl- af . o E Z c.41 o Bi 31 7 V, S. E: ZIA '-w aje3 jenjad S. fzia. Ii -UON nd Mel Y � iii i��i€ ; I-WI-WISIG! I LL Egg I z, s z suluas mijew ofo o t .2-W z! js + + ,.q.awAuap 4-1 -uuNuu!lm POUMO AM z VC 701 g L R sl- af . o E Z c.41 o Bi 31 7 V, S. E: ZIA '-w S. -UON nd Mel POUMO AM z VC 701 g L R sl- af . o E Z c.41 o Bi 31 7 V, S. E: ZIA '-w City of Chanhassen Cemetery Fund Analysis (Starting at $400 /plot) Fund is positive until: 2112 Estimated lnitial 2014 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 2026 2027 2028 Fund Balance 10,544 Beginning Fund Balance 10,544 10,172 14,990 19,824 24,671 29,675 34,714 41,376 48,571 55,906 63,381 70,996 80,791 90,787 100,986 Estimated Revenue (Plot Fees) - 4,800 4,800 4,800 4,800 4,800 6,120 6,120 6,120 6,120 6,120 7,800 7,800 7,800 7,800 Estimated Revenue (Internment Fee) 200 900 900 900 900 900 1,140 1,140 1,140 1,140 1,140 1,440 1,440 1,440 1,440 Estimated Operating Expenses (722) (1,104) (1,159) (1,217) (1,278) (1,342) (1,409) (1,479) (1,553) (1,631) (1,713) (1,798) (1,888) (1,983) (2,082) Estimated Capital Improvements Year End Fund Balance 10,022 14,768 19,531 24,306 29,093 34,033 40,565 47,156 54,278 61,535 68,928 78,438 88,143 98,044 108,144 Interest Earned 150 222 293 365 582 681 811 1,415 1,628 1,846 2,068 2,353 2,644 2,941 3,244 Beginning Balance Calculation Funds Received from previous 16,000 Plot Revenue since 87 49,400 227 plots sold since 1987 @ $200 /plot +80 internment fee's @ $50 /each Interest owed since 87 11,700 Calculated on avg $15,000 balance at 3% Interest earned per year Maint expense since 87 (15,200) Calculated at a 2% increase since 1987 getting to the final current cost at $722 /year Capital since 87 (28,556) Capital needed to Add Plots (11,800) Pavers /Roadway (11,000) Balance carried forward 10,544 Tsf from General fund Potential Future Graves 314 Lose 30 plots in order to not eliminate a couple of trees on site Revenue estimates (based on annual increase of 5% /year, increase accumulated and enacted once every 5 years) Plot Fees Rates (selling 12 plots /year, total of 314 plots available) 2015 -2019 400 2020 -2024 510 2025 -2029 650 2030 -2034 830 2034 -2041 1060 Internment Fee Rates (6 per year, total of 559) 2015 -2019 150 2020 -2024 190 2025 -2029 240 2030 -2034 310 2035 -2039 400 2040 -2044 510 2045 -2049 650 2050 -2054 830 2055 -2059 1060 2060 -2064 1350 2065 -2069 1720 2070 -2074 2200 2075 -2079 2810 2080 -2084 3590 2085 -2089 4580 2090 -2094 5850 2095 -2099 7470 2100 -2104 9530 2105 -2108 12170 Interest Income 2014 -2017 1.50% 2018 -2020 2.00% 2021- Beyond 3.00% Operating Expense increases at 5% /year Capital Improvement Schedule (3% increase per year, accumulated and increase enacted every 15 years) 2030 2045 (23,000) 2060 (35,000) 2075 (53,000) 2090 (80,000) 2105 (121,000) 2120 (183,000) 2135 (276,000) 2150 (419,000)