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WS 2015 06 22 CHANHASSEN CITY COUNCIL WORK SESSION JUNE 22, 2015 Mayor Laufenburger called the work session to order at 5:30 p.m. COUNCIL MEMBERS PRESENT: Mayor Laufenburger, Councilman McDonald, Councilwoman Ryan, and Councilman Campion COUNCIL MEMBERS ABSENT: Councilwoman Tjornhom: STAFF PRESENT: Todd Gerhardt, Paul Oehme, Kate Aanenson, Todd Hoffman, Greg Sticha, and Charlie Burke ANNUAL SNOWPLOWING REPORT. Paul Oehme reviewed information from the previous season’s snow events and materials used which included a reduction in the use of salt. Councilwoman Ryan asked for clarification on the use of brine. Mayor Laufenburger asked what materials MnDOT and Carver County use, and the source of information used to dispatch equipment. Todd Gerhardt suggested tracking hours from year to year. Mayor Laufenburger asked that a spreadsheet be delivered showing comparisons for different items from previous years. Councilwoman Ryan asked about the number of calls for damaged property. Councilman Campion asked if there were any discrepancies with private versus public roads. DISCUSS PROPOSED 2016 STREET IMPROVEMENT PROJECT. Paul Oehme reviewed the proposed 2016 street improvement projects in the Minnewashta Bay neighborhood. Councilman Campion asked about the use of curb and gutter in this area. Paul Oehme explained why it would be difficult to put curb and gutter in this area before reviewing the proposed budget and schedule. Councilwoman Ryan asked how staff determines when to hire a consultant. Paul Oehme reviewed additional areas for proposed overlay projects on Fox Path, Ches Mar Drive, Lone Cedar and Stoughton Avenue. Councilwoman Ryan asked about the possibility of future development in any of these areas. Mayor Laufenburger asked about future council action needed to move forward. Councilman Campion asked for a list of PCI rankings showing a comparison with these streets. Mayor Laufenburger noted there was consensus to move forward. DISCUSSION OF PARTICIPATION IN METRO COMMUNITY SOLAR SUVBSCRIVER COLLABORATIVE. Greg Sticha explained the difference between this project and the one discussed at the last work session. Trevor Drake and Peter Lindstrom introduced themselves prior to Trevor Drake reviewing background information regarding Great Plains Institute and Clean Energy Resource Team (CERTs). He explained the drivers behind solar gardens, project partners and CERTs role in the partnership. Mayor Laufenburger clarified that there would be no cost to the City until a City Council Work Session – June 22, 2015 subscription is approved. Trevor Drake reviewed how the RFP process works, project phases, and the use of a lottery process. Mayor Laufenburger asked for clarification on how the ranking system works. Greg Sticha asked what happens if the City commits to the Blue Lake project and that does not move forward. Mayor Laufenburger asked about the number of gardens that will be built. Councilman McDonald asked for clarification on how subsidies are determined and if there is an escape clause associated with this process. Trevor Drake reviewed the timeline from the RFP process through executing subscription agreements. Mayor Laufenburger suggested showing the council an Xcel bill today and what it would look like down the line per kilowatt hour, kilowatts from solar gardens, and cost savings to the City. Councilman McDonald asked for the source of money being used to give out credits and what’s the advantage of the City using this program moving forward. Greg Sticha stated the advantage is having a fixed rate over the next 25 years. Trevor Drake said he would send staff the analysis used by Ramsey County. Mayor Laufenburger clarified that the city isn’t obligated to do anything if they choose not to. Councilman McDonald stated he could back up the letter of intent if additional questions are answered prior to the August timeframe. The work session was recessed at 7:05 p.m. It was reconvened at 8:10 p.m. DISCUSS 2016 BUDGET EXPECTATIONS. Greg Sticha discussed the schedule for review of the 2016 budget with final approval on Monday, December 14, 2015. Mayor Laufenburger asked for clarification on changing the date to set the preliminary levy. Greg Sticha reviewed preliminary numbers received from the County with the new construction percentage of 1.58% and market change of 1.47%. Councilman Campion asked why the County numbers don’t add up. Staff stated they would double check with the County on that. Greg Sticha explained why these numbers don’t have a significant impact on the city’s portion of the tax bill. Mayor Laufenburger explained that previous councils have used the new construction numbers when setting the levy to provide the same services. Greg Sticha continued by discussing assumptions used by staff that would impact the budget. Councilman Campion asked for clarification on the assumption that the police contract will increase by 3% and the threshold at which time the City leaves the county sheriff and creates a city police department. Greg Sticha asked for council feedback to provide to department heads as they prepare their budgets. Councilman Campion discussed the need for more of a police presence at Lake Ann Park. Council and staff discussed the revolving assessment funds and debt levies impact on levy number projections and the effects on services. Mayor Laufenburger suggested that staff provide three scenarios with one scenario including the new construction of 1.58% at zero increase that new growth would fund. A second scenario that would include $80.000 less than new growth and a third scenario of $80,000 more than new growth. Greg Sticha stated council members could send emails to staff with ideas in the next few weeks. Councilwoman Ryan asked to get a better handle on the contractual services number. Mayor Laufenburger adjourned the work session meeting at 9:10 p.m. Submitted by Todd Gerhardt City Manager Prepared by Nann Opheim 2