I-1. Adoption of Ordinance Chapter 4, city code, feesCITY OF
CHANHASSEN
7700 Market Boulevard
PO Box 147
Chanhassen, MN 55317
Administration
Phone 952 2271100
Fax 952 2271110
Building Inspections
Phone 952 2271180
Fax 952 2271190
Engineering
Phone 952 2271160
Fax 952 2271170
Finance
Phone 952 2271140
Fax 952 2271110
Park & Recreation
Phone 952 2271120
Fax 952 2271110
Recreation Center
2310 Coulter Boulevard
Phone 952 2271400
Fax 952 2271404
Planning &
Natural Resources
Phone 952 2271130
Fax 952 2271110
Public Works
7901 Park Place
Phone 952 2271300
Fax 952 2271310
Senior Center
Phone 952 2271125
Fax 952 2271110
Website
www ci chanhassen mn us
_� 1
MEMORANDUM
TO: Todd Gerhardt, City Manager
FROM. Greg Sticha, Finance Director
DATE: December 8, 2014
SUBJ: Adoption of Ordinance, Chapter 4, Chanhassen City Code, Fees
ACTION REQUIRED
A simple majority vote of City Council members present is required to adopt the
amendment The city attorney's office recommends that the fees be adopted by
ordinance
BACKGROUND
City fees are designed to cover the cost of providing a specific service
DISCUSSION
Issue• Cemetery Fees not included in ordinance
While the need for fees is addressed in City Code Chapter 8, Cemeteries, there are no
fees established there. At the November 10, 2014 City Council meeting, Council
reviewed the fees and directed staff to establish the following fees for Pioneer
Cemetery
Add Section 4 -16 establishing cemetery fees as follows.
Issue: As -built Surveys
Section 4 -30 (a) Building permit and fire prevention fees Add a subsection 7
regarding re- inspection fee for as -built surveys.
The requirement for an as -built survey is established in Chapter 7, Article II, Building
Code Section 7 -17 requires fees to be in Chapter 4. Section 7 -21 establishes as -built
grading surveys Steve has about 70 as -built drawings sitting on his desk that he has
looked at more than two times Hopefully with this change, the as -built review and
approvals process will take less time.
Chanhassen is a Community for Life - Providing for Today and Planning for Tomorrow
Resident
Non Resident
Grave Fee
$400.00
$60000
Interment Fee
$150.00
$15000
Issue: As -built Surveys
Section 4 -30 (a) Building permit and fire prevention fees Add a subsection 7
regarding re- inspection fee for as -built surveys.
The requirement for an as -built survey is established in Chapter 7, Article II, Building
Code Section 7 -17 requires fees to be in Chapter 4. Section 7 -21 establishes as -built
grading surveys Steve has about 70 as -built drawings sitting on his desk that he has
looked at more than two times Hopefully with this change, the as -built review and
approvals process will take less time.
Chanhassen is a Community for Life - Providing for Today and Planning for Tomorrow
Todd Gerhardt
Chapter 4 Code Amendment
December 8, 2014
Page 2 of 7
We are requesting a $50 re- inspection fee if the redlines are not all addressed after the first
review and Steve has to revisit the site and mark up the drawing again
Issue: Surface Water Management Fees
The City's Surface Water Management Plan (SWMP) was adopted in February 1994 The
SWMP recommended the City establish surface water connection fees as a means of financing
city -wide improvements recommended in the SWMP. Connection fees are charged to
subdivisions prior to final plat approval to recoup the costs of the installation and maintenance of
public stormwater infrastructure
The connection charges were derived from estimating the costs of all the pipes and ponds
proposed in the SWMP The total cost has been apportioned so developments are charged
according to the number of acres developed and the land use The fee per acre vanes by land use
as a result of the amount of impervious surface allowed within that land use category.
At that time, the rates were calculated using market values of land in the City of Chanhassen and
the construction cost index In the SWMP, it was noted that, "the rates should be increased
annually in line with the construction price index," but, until 2002, the fees had not been updated
since adoption In 2015, Ehlers & Associates, the City's financial advisors, recommends a four
percent increase to the water quality and quantity fees.
Water Quality
Land Use
2008
2009
2010
2011
2012
2013
2014
Proposed
2015
Single-Family Residential
$2,360
$2,360
$2,540
$2,540
$2,670
$2,830
$2,990
$3,110
Duplex
$2,640
$2,640
$2,850
$2,850
$2,990
$3,170
$3,340
$3,470
Townhome
$4,440
$4,440
$4,790
$4,790
$5,030
$5,330
$5,620
$5,840
School/Church
$4,440
$4,440
$4,790
$4,790
1 $5,030
$5,330
$5,620
$5,840
Apartment /multi - family
$4,920
$4,920
$5,310
$5,310
$5,580
$5,910
$6,240
$6,490
Industrial
$13,680
$13,680
$14,770
$14,770
$15,510
$16,440
$17,340
8,
Commercial
$17,400
$17,400
$18,790
$18,790
$19,730
$20,910
$22,060
E$$22,9E4O
Water Quantity
Land Use
2008
2009
2010
2011
2012
2013
2014
Proposed
2015
Single-Family/Low
$3,410
$3,410
$3,640
$3,640
$3,820
$4,050
$4,270
$4,440
Density
Medium Density
$4,700
$4,700
$5,020
$5,020
$5,270
$5,590
$5,900
$6,140
High Density
$7,280
$7,280
$7,780
$7,780
$8,170
$8,660
$9,140
$9,510
Commercial/Industrial/
Business
$6,820
$6,820
$7,290
$7,290
$7,650
$8,110
$8,560
$8,900
Parks /Open Space
$1,930
$1,930
$2,060
$2,060
$2,160
1 $2,290
$2,420
$2,520
Todd Gerhardt
Chapter 4 Code Amendment
December 8, 2014
Page 3 of 7
Amend Section 4 -30 (c) 3
Surface Water Management Fees (SWMP) - Water Quality and Water Quantity
Development Type
Single - Family
Duplex
School /Church
Townhome
Apartment /High Density
Medium Density
Industrial
Commercial
Parks /Open Space
Water Quality
$2,990 110.00 /Acre
$340 3,470 00 /Acre
$5-,62-0 5,840 00 /Acre
$5-,6W 5,840.00 /Acre
$640 6,490 00 /Acre
based on development type
$34018,030 00 /Acre
$22,060 22,940 00 /Acre
based on development type
Water Quantity
$470 4,440 00 /Acre
based on land use designation
based on land use designation
based on land use designation
$140 9,510.00 /Acre
$5-980 6,140 00 /Acre
$8360 8,900 00 /Acre
$8,360 8,900.00 /Acre
$428 2,520 00 /Acre
Fees are based on the developable land Undeveloped areas (wetlands), public parks, and
existing development are exempt from the fees
Issue: Sewer and Water Fees
A lateral connection charge replaces a missed assessment When the City installs a pipe next to a
property, some owners choose not to connect In some instances, the City may not have assessed
the property owner for their portion of the pipe. When those properties eventually connect, the
lateral connection charge approximately covers the cost of the omitted assessment These
charges are only levied in rare instances Trunk hook -up charges, on the other hand, are for core
utility infrastructure such as wells, lift stations, and trunk main oversizing Every new lot in the
city that hooks up to the utility system pays a trunk hook -up charge
Hook -up fees paid at the time of final residential subdivision approval increase from $664.00 to
$677 00 /unit (sewer) and $1,886 00 to $1,957 00 /unit (water) The remainder of the sewer and
water hook -up fee is collected with the building permit at the rate in effect at that time The total
sanitary hook -up fee is increasing from $2,213 to $2,257 and the total water hook -up fee is
increasing from $6,287 to $6,523 Parcels within the Lake Ann Sewer District will also be
subject to the Lake Ann Trunk sewer fees in addition to the sewer trunk hook -up fees The Lake
Ann Interceptor hook -up fee is increasing from $1,894 to $1,932 and the sub -trunk fee is
increasing from $1,987 to $2,027 Commercial, industrial and institutional developments pay the
total hook -up fee at the time of building permit Trunk hook -up fees are based on the number of
sanitary access charge (SAC) units assigned by Metropolitan Council for office or
industrial /commercial buildings
Lateral connection charges are charges for utility infrastructure which has been constructed by
the city but were not assessed to or paid for a property Sewer lateral connection charges
increase from $7,411.00 to $7,559 00 and water lateral connection charges increase from
$7,759.00 to $8,050 00
Todd Gerhardt
Chapter 4 Code Amendment
December 8, 2014
Page 4 of 7
The Met Council SAC fee for 2015 remains the same as 2014 at $2,485 00
Amend Section 4 -30 (c) 5
Sewer and water fees
Residential development
Shall pay a portion of the sewer and water hook -up fees (area trunk fees) at the time of final
subdivision approval $664 677 00 /unit (sewer) and $61,957 00 /unit (water). The
remainder of the sewer and water hook -up fees shall be collected with the building permit at the
rate in effect at that time.
Parcels previously assessed trunk hook -up fees are exempt Residential trunk hook -up fees are
based per unit.
Sanitary
2010
2011
2012
2013
2014
Proposed
2015
Water Hook -up
$5,393
$5,393
$5,717
$6,060
$6,287
$6,523
Sewer Hook -up
$2,026
$2,026
$2,107
$2,170
$2,213
$2,257
Water Connection
$6,657
$6,657
$7,056
$7,479
$7,759
$8,050
Sewer Connection
$6,783
$6,783
$7,054
$7,266
$7,411
$7,559
Lake Ann Interceptor
$1,734
$1,734
$1,803
$1,857
$1,894
$1,932
Sub -trunk
$1,818
$1,818
$1,891
$1,948
$1,987
$2,027
The Met Council SAC fee for 2015 remains the same as 2014 at $2,485 00
Amend Section 4 -30 (c) 5
Sewer and water fees
Residential development
Shall pay a portion of the sewer and water hook -up fees (area trunk fees) at the time of final
subdivision approval $664 677 00 /unit (sewer) and $61,957 00 /unit (water). The
remainder of the sewer and water hook -up fees shall be collected with the building permit at the
rate in effect at that time.
Parcels previously assessed trunk hook -up fees are exempt Residential trunk hook -up fees are
based per unit.
Sanitary
$4-,549-1,580 00 /unit, or $2-,24-3 2,257 00 /unit if a portion of the sewer hook -up fee
sewer
was not paid at the time of final subdivision approval -(Lake Ann Interceptor -
$-1-,9941,932 00 /unit and subtrunk $4-,997 2,027 00 /unit)*
Water
$4,4" 4,566 00 /unit, or $6,297 6,523 00 if a portion of the water hook -up fee was
not paid at the time of final subdivision approval
SAC
As established by the Metropolitan Council and $75 00 city SAC surcharge
*Parcels within the Lake Ann Sewer District will be subject to the Lake Ann Trunk sewer fees in addition to the sewer trunk hook -up fees
Commercial, industrial and institutional development.
Sewer and water trunk hook -up fees (area trunk fees) Fee is paid at the time of building permit
Parcels previously assessed trunk hook -up fees are exempt. Trunk hook -up fees are based on the
number of sanitary access charge (SAC) units assigned by Metropolitan Council for office or
industrial /commercial buildings
Todd Gerhardt
Chapter 4 Code Amendment
December 8, 2014
Page 5 of 7
Sanitary
sewer
$2-,213 2,257 00 /unit —(Lake Ann Interceptor - $4-;8- 141,932 00 /unit and subtrunk
$4-,� 2,027 00 /unit)*
Water
$tip 6,523 00 /unit
SAC
As established by the Metropolitan Council and $75 00 city SAC surcharge
*Parcels within the Lake Ann Sewer District will be subject to the Lake Ann Trunk sewer fees in addition to the sewer trunk hook up fees
All development
Lateral connection charges If the lot or tract of land, or portion thereof, to be served by a lateral
connection that has not been assessed for the cost of construction, then the applicant shall pay the
following lateral connection.
• Sewer lateral connection charge $7-,444 7,559 00
• Water lateral connection charge $718,050.00
Issue: Water and Sewage Rates
In 2007, the City experienced significant water usage events that lead the City to add tiers to our
water rates and adopt the tiered rate structure in 2008 In 2011, the City added a fifth tier for
household and irrigation use that is more than 99,000 gallons per quarter For 2015, the Ehlers
and Associates analysis recommends a three percent increase to the water utility rates for all tiers
and the bulk rate In 2015, multi- family properties will pay a uniform rate of $2 20 per 1,000
gallons. The utility rate analysis also recommends a four percent increase to the sewer utility
rates
Listed below is the 2010, 2011, 2012, 2013, 2014 and proposed 2015 water consumption rate
structure along with the sewer rate structure
Water
2010
2011
2012
2013
2014
2015
Fixed Charge (minimum per quarter)
500
501
5.13
750
774
7.98
0 - 5,000 Gallons
1.00
-
-
-
-
-
0 - 6,000 Gallons
-
1.00
1.02
104
107
1.10
5,001 - 25,000 Gallons
2.00
-
-
-
-
_
6,001 - 24,000 Gallons
-
2.00
204
208
214
2.20
25,001 - 50,000 Gallons
249
-
-
-
-
_
24,001 - 48,000 Gallons
-
2.49
254
259
267
2.75
50,001+ Gallons
289
-
-
-
-
-
48,001 - 99,000 Gallons
-
2.89
295
301
3 10
3.19
99,001+ Gallons (Irrigation and
Residential Only)
_
361
372
3 83
3.94
4.06
Multi- Family
-
-
-
208
214
2.20
Bulk sales to contractors, landscapers,
etc. at City fill stations or other
designated locations
5.00
500
5 10
520
5.36
5.52
Todd Gerhardt
Chapter 4 Code Amendment
December 8, 2014
Page 6 of 7
Sewer
2010
2011
2012
2013
2014
2015
Minimum Charge (includes up to 5,000
gallons)
1945
-
-
-
Minimum Charge (includes up to 6,000
gallons)
-
1947
2004
20.64
21.27
22.11
Residential - amounts over 5,000
gallons (based on winter quarter usage)
3.78
-
-
Residential - amounts over 6,000
gallons (based on winter quarter usage)
-
3 78
3 89
401
4 13
4.30
Commerical - amounts over 5,000
gallons (based on actual quarterly
3 78
-
-
-
-
-
usage)
Commerical - amounts over 6,000
gallons (based on actual quarterly
-
3 78
3 89
401
4 13
4.30
usage)
Amend Section 4 -45
Utility rates are established for each 1,000 gallons of usage-
Water.
Fixed Charge (minimum water charge per quarter)
0 to 6,000 gallons per quarter
6,001 to 24,000 gallons per quarter
24,001 to 48,000 gallons per quarter
48,001 to 99,000 gallons per quarter
99,001+ gallons per quarter (Irrigation and Residential Only)
Multi - family properties - uniform water rate
Bulk sales to contractors, landscapers, etc at
City fill stations or other designated locations
Sewage.
Residential based on winter quarter usage
Commercial based on actual quarterly usage
Minimum sewage charge per quarter
(for amounts up to 6,000 gallons per quarter)
Issue: Surface Water Management Fees (Utility Factor)
$7-74 7.98 per quarter
$4-0'7 1.10 per 1,000 gallons
$214-2.20 per 1,000 gallons
$2-.6-7 2.75 per 1,000 gallons
$34-0 3.19 per 1,000 gallons
$3-94 4.06 per 1,000 gallons
$214 2.20 per 1,000 gallons
$5-.3-6 5.52 per 1,000 gallons
$44-3 4.30 per 1,000 gallons
$4-44 4.30 per 1,000 gallons
$24-2-7 -22.11
The utility factor for each land use is not changing The rates are increasing four percent for
2015 The rates for tax parcels classified 1, 2 or 3 shall increase from $9.66 to $10.05 The rates
for tax parcels classified 4 through 8 shall increase from $18 89 to $19 65
Todd Gerhardt
Chapter 4 Code Amendment
December 8, 2014
Page 7of7
Amend Section 4 -50
Surface Water Management Fees.
Classification
Land Use
Utility Factor
1
Single - family and Rural residential
Not
Applicable
2
Agricultural
Not
Applicable
3
Undeveloped
Not
Applicable
4
Medium density residential
2.22
5
High density residential, Industrial, Office,
Institutions (churches, schools, government
buildings, hospitals)
3.30
6
Business /Commercial
423
7
Parks, cemeteries, golf courses, arboretum
046
8
Parking lots as a principal use
614
The surface water management fee for each tax parcel classified 1, 2 and 3 shall be $9-66 10.05.
The surface water management fee for each tax parcel classified 4 through 8 shall be calculated
as follows. $18.89 19.65 multiplied by the utility factor multiplied by the acreage of the parcel.
RECOMMENDATION
Staff recommends that City Council adopt the attached ordinance amending Chapter 4 of the
Chanhassen City Code revising the fees for 2015.
ATTACHMENTS
1 Ordinance Amending Chapter 4, Chanhassen City Code, Fees
g \plan \city code\2014 \ch 4 fees \cc memo fees doe
CITY OF CHANHASSEN
CARVER AND HENNEPIN COUNTIES, MINNESOTA
ORDINANCE NO.
AN ORDINANCE AMENDING CHAPTER 4
CHANHASSEN CITY CODE,
LICENSE, PERMIT AND ADMINISTRATIVE FEES
THE CITY COUNCIL OF THE CITY OF CHANHASSEN, MINNESOTA ORDAINS-
Section 1. Chapter 4, Article II of the City Code, City of Chanhassen, Minnesota, is
hereby amended by adding Section 4 -16 Cemetery Fees to read as follows-
Cemetery Fees
Section 2 Section 4 -30 (a) of the City Code, City of Chanhassen, Minnesota, is hereby
amended by adding subsection 7 to read as follows-
Re-inspection fee for as -built surveys
$50 per re- inspection
Section 3 Section 4 -30 (c) 3 of the City Code, City of Chanhassen, Minnesota, is hereby
amended to read as follows
Surface Water Management Fees (SWMP) - Water Quality and Water Quantity
Development Type
Single - Family
Duplex
School /Church
Townhome
Apartment /High Density
Medium Density
Industrial
Commercial
Parks /Open Space
Water Quality
$3,110.00 /Acre
$3,470 00 /Acre
$5,840 00 /Acre
$5,840.00 /Acre
$6,490 00 /Acre
based on development type
$18,030 00 /Acre
$22,940 00 /Acre
based on development type
Water Quantity
$4,440 00 /Acre
based on land use designation
based on land use designation
based on land use designation
$9,510.00 /Acre
$6,140 00 /Acre
$8,900 00 /Acre
$8,900.00 /Acre
$2,520 00 /Acre
Fees are based on the developable land Undeveloped areas (wetlands), public parks, and
existing development are exempt from the fees
Resident
Non - Resident
Grave Fee
$40000
$600.00
Interment Fee
$15000
$150.00
Section 2 Section 4 -30 (a) of the City Code, City of Chanhassen, Minnesota, is hereby
amended by adding subsection 7 to read as follows-
Re-inspection fee for as -built surveys
$50 per re- inspection
Section 3 Section 4 -30 (c) 3 of the City Code, City of Chanhassen, Minnesota, is hereby
amended to read as follows
Surface Water Management Fees (SWMP) - Water Quality and Water Quantity
Development Type
Single - Family
Duplex
School /Church
Townhome
Apartment /High Density
Medium Density
Industrial
Commercial
Parks /Open Space
Water Quality
$3,110.00 /Acre
$3,470 00 /Acre
$5,840 00 /Acre
$5,840.00 /Acre
$6,490 00 /Acre
based on development type
$18,030 00 /Acre
$22,940 00 /Acre
based on development type
Water Quantity
$4,440 00 /Acre
based on land use designation
based on land use designation
based on land use designation
$9,510.00 /Acre
$6,140 00 /Acre
$8,900 00 /Acre
$8,900.00 /Acre
$2,520 00 /Acre
Fees are based on the developable land Undeveloped areas (wetlands), public parks, and
existing development are exempt from the fees
Section 4 Section 4 -30 (c) 5 of the City Code, City of Chanhassen, Minnesota, is hereby
amended to read as follows-
Sewer and water fees
Residential development.
Shall pay a portion of the sewer and water hook -up fees (area trunk fees) at the time of final
subdivision approval $677 00 /unit (sewer) and $1,957 00 /unit (water) The remainder of the
sewer and water hook -up fees shall be collected with the building permit at the rate in effect at
that time.
Parcels previously assessed trunk hook -up fees are exempt Residential trunk hook -up fees are
based per unit
Sanitary
$1,580 00 /unit, or $2,257 00 /unit if a portion of the sewer hook -up fee was not paid
Sewer
at the time of final subdivision approval —(Lake Ann Interceptor - $1,932 00 /unit
SAC
and subtrunk $2,027 00 /unit)*
Water
$4,566 00 /unit, or $6,523.00 if a portion of the water hook -up fee was not paid at the
time of final subdivision approval
SAC
As established by the Metropolitan Council and $75.00 city SAC surcharge
*Parcels within the Lake Ann Sewer District will be subject to the Lake Ann Trunk sewer fees in addition to the sewer trunk hook up fees
Commercial, industrial and institutional development
Sewer and water trunk hook -up fees (area trunk fees) Fee is paid at the time of building permit.
Parcels previously assessed trunk hook -up fees are exempt. Trunk hook -up fees are based on the
number of sanitary access charge (SAC) units assigned by Metropolitan Council for office or
industrial /commercial buildings
Sanitary
Sewer
$2,257 00 /unit —(Lake Ann Interceptor - $1,932.00 /unit and subtrunk
$2,027.00 /unit)*
Water
$6,523 00 /unit
SAC
As established by the Metropolitan Council and $75 00 city SAC surcharge
*Parcels within the Lake Ann Sewer District will be subject to the Lake Ann Trunk sewer fees in addition to the sewer trunk hook -up fees
All development
Lateral connection charges- If the lot or tract of land, or portion thereof, to be served by a lateral
connection that has not been assessed for the cost of construction, then the applicant shall pay the
following lateral connection
• Sewer lateral connection charge $7,559 00
• Water lateral connection charge $8,050 00
2
Section 5 Section 4 -45 of the City Code, City of Chanhassen, Minnesota, is hereby
amended to read as follows
Utility rates are established for each 1,000 gallons of usage.
Water.
Fixed Charge (minimum water charge per quarter) $7 98 per quarter
0 to 6,000 gallons per quarter $1 10 per 1,000 gallons
6,001 to 24,000 gallons per quarter $2.20 per 1,000 gallons
24,001 to 48,000 gallons per quarter $2 75 per 1,000 gallons
48,001 to 99,000 gallons per quarter $3 19 per 1,000 gallons
99,001+ gallons per quarter (Irrigation and Residential Only) $4 06 per 1,000 gallons
Multi - family properties — uniform water rate $2 20 per 1,000 gallons
Bulk sales to contractors, landscapers, etc at
City fill stations or other designated locations $5 52 per 1,000 gallons
Sewage
Residential based on winter quarter usage $4 30 per 1,000 gallons
Commercial based on actual quarterly usage $4 30 per 1,000 gallons
Minimum sewage charge per quarter $2211
(for amounts up to 6,000 gallons per quarter)
Section 6 Section 4 -50 of the City Code, City of Chanhassen, Minnesota, is hereby
amended to read as follows.
Surface Water Management Fees.
Classification
Land Use
Utility Factor
1
Single - family and Rural residential
Not
Applicable
2
Agricultural
Not
Applicable
3
Undeveloped
Not
Applicable
4
Medium density residential
2.22
5
High density residential, Industrial, Office,
Institutions (churches, schools, government
buildings, hospitals)
3.30
6
Business /Commercial
423
7
Parks, cemeteries, golf courses, arboretum
046
8
Parking lots as a principal use
614
The surface water management fee for each tax parcel classified 1, 2 and 3 shall be $10 05.
The surface water management fee for each tax parcel classified 4 through 8 shall be calculated
as follows. $19.65 multiplied by the utility factor multiplied by the acreage of the parcel.
3
Section 7 This ordinance shall be effective January 1, 2015 after its passage and
publication
PASSED AND ADOPTED this 8th day of December, 2014, by the City Council of the
City of Chanhassen, Minnesota
Todd Gerhardt, City Manager
Thomas A. Furlong, Mayor
(Published in the Chanhassen Villager on