WS 2015 02 23
CHANHASSEN CITY COUNCIL
WORK SESSION
FEBRUARY 23, 2015
The City Council interviewed the following applicants for Planning Commission from 5:00
to 6:40 p.m.: Brad Johnson, Gerald Cook, Robert Boecker, Corey Bergman, Lisa
Hokkanen, John Tietz, and Nancy Madsen. Mayor Laufenburger called the work session
to order at 6:40 p.m.
COUNCIL MEMBERS PRESENT:
Mayor Laufenburger, Councilwoman Tjornhom,
Councilman McDonald, Councilwoman Ryan, and Councilman Campion
STAFF PRESENT:
Todd Gerhardt, Chelsea Peterson, Paul Oehme, Kate Aanenson, and Greg
Sticha
DISCUSS INTER-FUND LOAN TO FINANCE WELL NO. 15.
Finance Director Greg Sticha explained how the Inter-Fund Loan process will work to finance
construction of Well No. 15 by internally financing through the City, thus saving interest costs.
He stated staff is looking for council authorization to move forward with the formal approval
process noting the cost savings of approximately $150,000 in interest and professional services.
Councilman Campion asked if approval of this item will be on the consent agenda. Councilman
McDonald expressed concern over the long term impact on the capital replacement fund if
something catastrophic were to happen in the future. Greg Sticha explained that if that were the
case, the City can always finance externally.
The work session was recessed at 7:00 p.m. It was reconvened at 9:35 p.m.
CONTINUED DISCUSSION OF INTER-FUND LOAN TO FINANCE WELL NO. 15.
Greg Sticha reviewed the Revolving Assessment Fund and the City’s significant reserves in the
General Fund, Capital Equipment Fund, Closed Bond Fund, Water Fund and Revolving
Construction Fund. He showed a flow chart on how the money would be allocated internally and
repayment options. Councilman McDonald clarified that if needed the City could go out to the
market for a loan. Councilman Campion asked how construction of the new water treatment
plant would affect these funds. Staff explained that the water treatment plant will need to be
financed. Councilman McDonald discussed the importance of keeping the City’s AAA bond
rating. Todd Gerhardt explained the criteria used by Standard and Poors in determining bond
ratings. Mayor Laufenburger directed staff to prepare staff reports for formal approval.
Councilman Campion asked that the item be put on the regular agenda rather than under the
consent agenda.
DISCUSS APPOINTMENTS TO THE PLANNING COMMISSION.
Council members discussed the results of the interview process for Planning Commission
appointments.
City Council Summary – February 23, 2015
Mayor Laufenburger adjourned the work session meeting at 10:00 p.m.
Submitted by Todd Gerhardt
City Manager
Prepared by Nann Opheim
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