CC 2017 12 11
CHANHASSEN CITY COUNCIL
REGULAR MEETING
DECEMBER 11, 2017
Mayor Laufenburger called the meeting to order at 7:00 p.m. The meeting was opened
with the Pledge to the Flag.
COUNCIL MEMBERS PRESENT: Mayor Laufenburger, Councilwoman Tjornhom,
Councilman McDonald, and Councilwoman Ryan
COUNCIL MEMBERS ABSENT: Councilman Campion
STAFF PRESENT: Todd Gerhardt, Chelsea Petersen, Kate Aanenson, Paul Oehme, Todd
Hoffman, Greg Sticha, and Roger Knutson
PUBLIC PRESENT:
Cole Kelly 1556 Bluebill Trail
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Gary Carlson 3891 West 62 Street
Shawn Cameron 8475 Kelzer Pond Drive
Todd Neils 990 Saddlebrook Curve
Jeff Olson 2520 Bridle Creek Trail
Mayor Laufenburger: Thank you and I want to extend a welcome to all those that are present in
the council chambers this evening as well as those that are watching on either Mediacom cable
channel at home or via the, our website livestream. Nice to have you with us this evening. For
the record let it be known that all members are present this evening with exception of Dan
Campion who is, has an excused visit. We also have Mr. Gerhardt, our City Manager and Mr.
Roger Knutson, our city lawyer. First action, council members are there any modifications to the
printed agenda which you have in front of you this evening. There being no modifications we
will proceed with the agenda as printed.
CONSENT AGENDA:
Mayor Laufenburger: Is there any item to be considered separately this evening?
Councilwoman Ryan: Mr. Mayor?
Mayor Laufenburger: Councilmember Ryan.
Councilwoman Ryan: Number 5 please.
Chanhassen City Council – December 11, 2017
Mayor Laufenburger: Item number 5. Okay. Item number 5. Without objection I will move
that to, I’m going to make it item E, I’m just going to deal with it right after our consent agenda.
Are you okay with that?
Councilwoman Ryan: Perfect. Yeah.
Mayor Laufenburger: Got any objection to that? Okay. Make that item E(a)(1). Alright. Any
other modification to the consent agenda? Okay, I would ask that a motion to approve consent
agenda items E (1) through (4), (6) through (9).
Councilman McDonald moved, Councilwoman Tjornhom seconded that the City Council
approve the following consent agenda items pursuant to the City Manager’s
recommendations:
1. Approve City Council Minutes dated November 27, 2017
2. Approve City Council Minutes dated December 4, 2017
3. Receive Planning Commission Minutes dated November 21, 2017
4. Receive Park and Recreation Commission Minutes dated November 28, 2017
5. Pulled for discussion.
6. Resolution #2017-72: Approve Year End Transfer from 12/31/16 and Close Funds No
Longer in Use.
7. Resolution #2017-73: Approve Ratifying Changes to Chanhassen Fire Relief
Association Bylaws.
8. Resolution #2017-74: Accept Donation of $4,000 to the Fire Department from Custom
Fab Solutions, LLC.
9. Resolution #2017-75: Arbor Cove, Project 14-16 – Accept Public Utilities.
All voted in favor and the motion carried unanimously with a vote of 4 to 0.
CONSENT AGENDA: 5. APPROVAL OF 2018 POLICE CONTRACT WITH CARVER
COUNTY SHERIFF’S OFFICE.
Mayor Laufenburger: Let’s deal with item E(5). Approval of the 2018 police contract with
Carver County Sheriff’s Office. Mr. Gerhardt is anyone prepared to speak to that this evening?
Alright, let’s let the council get to that item on the agenda.
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Chanhassen City Council – December 11, 2017
Councilwoman Ryan: Mr. Mayor?
Mayor Laufenburger: Just a moment. Okay. Just a moment Mr. Gerhardt. Councilmember
Ryan you asked that that be dealt with separately. Do you have a question or a comment about
that?
Councilwoman Ryan: Just looking if Mr. Gerhardt could highlight this. It’s our biggest
expenditure in our budget and we get a lot of services from Carver County and if he could just
highlight some of those I’d appreciate it please.
Todd Gerhardt: Yes. Boy the City of Chanhassen as long as I’ve been here, which is a long
time, has always contracted with Carver County Sheriff’s Office for our law enforcement and
every community in Carver County with the exception of Chaska contracts with Carver County
Sheriff’s Office. Our contract with the Carver County Sheriff, from a personnel side gets us 15
sworn law enforcement officers and included in the total contract is also 5 patrol vehicles, an
investigator vehicle, a Lieutenant vehicle and a school resource vehicle so the total contract
proposed for 2018 is $1,836,565 dollars. Now when you look at, if you have the opportunity to
look at the staff’s report there’s an FTE patrol deputy at $102,465. I can tell you that that patrol
deputy is not making $102,000 and that patrolman, depending on years of service, they typically
start out at $57,000 a year. What’s included in that $102,000 is support staff from the Carver
County Sheriff’s Office, the Assistant Sheriff and the Sheriff himself. The administration of the
sheriff’s office, their facilities down there, dispatch is all included in that salary. When they
came up with the formula, and it’s been modified a couple of times over the last 40 some years,
they are trying to make those deputies as fair to the cities that contract with them and using the
jail. Using their dispatch where you’ve got communities like Chaska and Carver County that
have their own jail. Their own dispatch. Their own facilities and their own chief and assistant
chiefs so what they’re trying to do is spread that cost back to each of those patrolmen, sergeant
and a lieutenant. And in Chanhassen we have a Lieutenant that acts as our chief law
enforcement officer. He comes to every one of our department head meetings. He presents
monthly to the City Council. He also answers a lot of questions and concerns when it comes to
our law enforcement services in the community and then we also have a sergeant that oversees
the day to day patrolmen and also provides us weekend updates on activity that’s occurring in
Chanhassen and I forward that to you every Monday of anything of significant events. So in a
nutshell that’s our law enforcement services here in Chanhassen and when they’re not busy
they’re also supposed to go out meet with businesses. Meet with residents and I’m proud that
one of them sent you an email today telling I went up and knocked on a resident’s door and
asked them to close their garage door because I would say 55 to 60 percent of our crimes in
Chanhassen are crimes of opportunity and what that is is when somebody’s driving around a
neighborhood and they see a garage door open, they’re going to grab your golf clubs. They’re
going to grab whatever they can that takes less than a minute. Throw it in their car and go so
please keep your garage doors closed. Your front doors locked and keep those crimes of
opportunity at a minimum.
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Chanhassen City Council – December 11, 2017
Mayor Laufenburger: Alright. Councilmember Ryan, did you have other questions or
comments that you wanted?
Councilwoman Ryan: No. And thank you and thank you Mr. Gerhardt. It wasn’t a challenge on
this but I think we had asked a lot, it’s the biggest expenditure in our budget and we get asked, or
I get asked a lot of times you know what do we get for that and I think it’s a great relationship
and a great contract that we have with Carver County and I just wanted to highlight you know
what we get for what we pay and I appreciate your highlighting that.
Todd Gerhardt: Mayor and council, it’s almost 20 percent of our budget and thanks for bringing
that up. We kind of take it for granted and you know we believe we get an excellent service
from the sheriff’s office and also cost savings. It’s a minimum of $2 million dollars difference
between having our own law enforcement services versus contracting and having Carver County
contract with almost all the communities in Carver County with the exception of Chaska, what
an efficient operation. You’ve got roughly 75 officers throughout Carver County and you have a
big incident that occurs in Chanhassen. A bank robbery. Heaven forbid a murder or whatever,
you’ve got those other 75 officers running to Chanhassen so and they’re already on duty so it’s a
great service and I believe it’s a trend in the future. You always hear about some of these other
communities outsourcing to counties and some people are making the decision and some aren’t
and some believe in community policing than having their own but there’s a price for that.
Councilwoman Ryan: Right, thank you.
Mayor Laufenburger: Alright, just one question Mr. Gerhardt. This contract is, this is a result of
a contract negotiation between the management at the Carver County Sheriff’s office and the
deputy, the union, is that correct? Is it a union?
Todd Gerhardt: Carver County does have a union for their deputies and so they negotiate every
2 to 3 years a union contract which stipulates how much their pay raises are. Uniform
allowance. Whatever it might be that they’re buying and negotiating on and then the increase is
the inflationary increase of having those officers from year to year.
Mayor Laufenburger: Okay, thank you Mr. Gerhardt. Councilmember Ryan, would you like to
make a motion?
Councilwoman Ryan: Yes I would. I’d like to make the motion that the Chanhassen City
Council approves the 2018 contract for police services with Carver County.
Mayor Laufenburger: Thank you, we have a valid motion. Is there a second?
Councilman McDonald: I’ll second.
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Chanhassen City Council – December 11, 2017
Councilwoman Ryan moved, Councilman McDonald seconded that the City Council
approve the 2018 Police Contract with the Carver County Sheriff’s Office. All voted in
favor and the motion carried unanimously with a vote of 4 to 0.
VISITOR PRESENTATIONS.
Mayor Laufenburger: I know we have one scheduled visitor presentation so let’s deal with that
one first. This is a presentation of a donation to the fire department. Do you have this Chief?
Chief Don Johnson: I do Mayor.
Mayor Laufenburger: Just identify yourself so everybody knows who you are, like they don’t.
Chief Don Johnson: Good evening Mayor and council. It’s not often, usually the fire service
goes out and looks for grants to bring in and support some purchases. In this instance we were
contacted by the Minnesota Community Foundation for a local business that was looking for an
opportunity for grant funding for the city or something within the city government so I was
contacted to potentially look for an opportunity for this business to donate to the fire department.
In this case we’ve got Custom Fab Solutions on Quattro Drive that donated $4,000 to the
Chanhassen Fire Department which we’re going to use to start a replacement program for our
pagers. So with us tonight is Michael Elftmann from Custom Fab Solutions which I’d like to
invite up.
Michael Elftmann: Hi, I’m Mike Elftmann from Custom Fab Solutions. I’m the President.
Mayor Laufenburger: Are you any relation to the founder of FSI?
Michael Elftmann: I’m his son, yes.
Mayor Laufenburger: Alright, wonderful.
Michael Elftmann: So we’re a plastic metal machine shop. Contract manufacturer in
Chanhassen. Been there 15 years. We set up a charitable fund a few years ago and this year we
decided to do some local donations so the fire department was one of the ones we thought of so
that’s where we’re at.
Mayor Laufenburger: That’s what this is about right?
Michael Elftmann: Correct.
Mayor Laufenburger: Alright. Well on, you want a picture?
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Chanhassen City Council – December 11, 2017
Todd Gerhardt: You Mayor come down and shake hands.
Mayor Laufenburger: Well before I do that, I just, I did a little research on your organization and
your involvement with the Minnesota Community Fund, is that what it’s called?
Michael Elftmann: Yep.
Mayor Laufenburger: So on behalf of all those who benefit from the Minnesota Community
Fund I think it’s great that you chose to participate or make your donations through your
relationship with them but specifically for Chanhassen. You’ve been a valuable member of this
community for a long time and there on Quattro Drive. I thought it had to do with Audi’s but it’s
not.
Todd Gerhardt: It did.
Mayor Laufenburger: It did at one time? But anyway you’ve been a valuable member of this
community and on behalf of the entire community, especially on behalf of the Fire Department
who will see the benefit of those pagers as they get through rotation I say thank you very much.
So let’s get a picture here.
Todd Gerhardt: Mayor, may I add my appreciation to Michael and his business and any other
business in Chanhassen that would like to make a donation to the City of Chanhassen. We are
willing and able to take those so, but nothing away from you Michael. We appreciate you
thinking about us.
Mayor Laufenburger: Nice to have you here. Thank you very much. That was a scheduled
visitor presentation. If there’s anybody else in the council this evening that would like to speak
to, address the council on an item that’s not on the agenda we welcome you.
Cole Kelly: Mayor Laufenburger actually I’m going to speak on something that’s on the agenda.
Do you want us to wait til that comes up on your agenda?
Mayor Laufenburger: Well we don’t have anything on the agenda is not targeted for a public
hearing so if there’s something that you would like to speak to I guess I would allow that in this
case.
Cole Kelly: Thank you Mayor Laufenburger and City Council. Cole Kelly, 1556 Bluebill Trail.
I’m also a Park and Rec Commissioner. What I’m here to speak to, about tonight is a donation
and the motion to add lights to Lake Susan. Just to go through how it came through the
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Chanhassen Athletic Association came to us on August 22 at our Park and Rec meeting and we
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added it to our agenda and CIP for 2018. At our September 26 Park and Rec meeting it came to
us as being presented for 2019 and what we did is we changed it again to 2018 for the CIP
program. Now when I was reading through your agenda tonight online I noticed that the CIP for
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Chanhassen City Council – December 11, 2017
2018 to 2022 has it listed back into 2019. So I’d like to just take a moment and read the motion
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that the Chanhassen Park and Rec passed on September 26. It was a motion that the Park and
Rec Commission recommends that the City Council approve a 2018 Capital Improvement
Program Lake Susan ballfield lighting in the amount of $245,000. Furthermore, that a donation
from the Chanhassen Athletic Association be accepted on a payment plan as discussed. $19,000
in December of 2017. $19,000 first quarter of 2018 and $17,000 first quarter of 2019 bringing
the City’s share of the project down to $190,000. On that basis the City will order the lighting
upon receipt of the first check from the Chanhassen Athletic Association. That was the motion.
I think there’s some people from the Chanhassen Athletic Association who would like to speak.
I know that they’ve made a lot of donations, both fiscal and labor in the past. I also want to say
that I have a 13 year association with the Chanhassen Athletic Association as a coach, as a board
member and as a past President and I think somebody had referred to the Chanhassen Athletic
Association as a special interest group. The Chanhassen Athletic Association made up of your
constituents and their kids are going to grow up and become more of your constituents. Thank
you for your time.
Mayor Laufenburger: Okay thank you Mr. Kelly. I’m not inclined to hear from 20 people but if
there’s somebody from the Chanhassen Athletic Association that would like to speak on behalf
of all those present this evening, I certainly would allow up to 5 minutes for that. Is there
somebody that’s prepared to do that?
Todd Neils: I am Mayor.
Mayor Laufenburger: Yeah.
Todd Neils: My name is Todd Neils, 990 Saddlebrook Curve here in Chanhassen. After sending
a letter last week to encourage the council, mayor and council to accept our donation for lighting,
the lighting package in 2018 I did some additional research and would like to present that. I
have it in paper copy and I think I can put it here.
Mayor Laufenburger: Can you speak to it or, okay. Alright.
Todd Neils: What you see here is the surrounding communities which have lighting packages
and are available to those communities. Eden Prairie, Minnetonka, Chaska, Shakopee, Edina and
Hopkins are all.
Mayor Laufenburger: So this is reflected in the yellow star symbol, is that correct?
Todd Neils: Yes Mayor.
Mayor Laufenburger: Okay, and you’re saying these are lighting facilities specifically for 90
foot baseball, is that right?
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Chanhassen City Council – December 11, 2017
Todd Neils: Yes Mayor.
Mayor Laufenburger: Okay.
Todd Neils: Also not on the map are St. Louis Park, Bloomington and Burnsville. I didn’t feel it
was necessary to go beyond 9 communities that surround the city of Chanhassen that have lit
ballfields and are available at the 90 foot ball space to show you not only the impact that
surround us but I’d like to speak also just briefly about the time spent on the park and rec
committee and one of the conversations that surrounded that committee was not only preparing a
20 year plan for the City of Chanhassen but providing possible new ideas or things that this
community could offer to not only the City of Chanhassen but surrounding communities as well.
This pictorial shows that Chanhassen is in fact lacking and in order to find new exciting products
that can be offered to the City and surrounding communities we should also be in lock step to a
certain degree with those same communities by offering a lit ballfield at the 90 foot space. In the
letter I highlighted the 3 critical reasons why this was important to the association and the
community. Least of which is the at risk space in Carver community when the school
boundaries change and would also once again like to reiterate in addition to the $55,000 the
Athletic Association is prepared to pay the financing costs of a one year financing package of
$182,000 which should be approximately the remainder after their first two payments are made
and the installation of the lights. And I would take questions if there are any.
Mayor Laufenburger: Okay. I just want to clarify one thing. Do I understand correctly Mr.
Neils that you recognize that the City Council is prepared to act on Lake Susan lights in 2019, is
that correct?
Todd Neils: I recognize that.
Mayor Laufenburger: I mean this is part of the assembled materials for tonight is, while it’s not,
we are not approving 2019 tonight. 2019 plans are in place for Lake Susan lights for next year.
In other words that part of the CIP for 2019. Not 2018.
Todd Neils: I do understand that.
Mayor Laufenburger: Okay.
Todd Neils: And my suggestion.
Mayor Laufenburger: So but I just want to clarify so it’s not that we don’t think lights are
important. It’s that lights are scheduled, anticipated scheduled for 2019 and if I understand
correctly you would advocate that those lights go in in 2018.
Todd Neils: Correct.
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Chanhassen City Council – December 11, 2017
Mayor Laufenburger: Okay. So it’s not the question of intent. It’s a question of priority.
Todd Neils: Correct.
Mayor Laufenburger: Okay. Alright. Is there any questions of council of Mr. Neils? Okay,
anything else you wanted to say?
Todd Neils: No thank you.
Mayor Laufenburger: Thanks Todd. If there’s anybody present that feels that Mr. Neils has not
shared the full sentiment of the CAA you’re welcome to address the council at this time. State
your name and address please.
Jeff Olson: Sure. For those of you who don’t know me my name is Jeff Olson. I live at 2520
Bridle Creek Trail and have lived there I think 22 or 23 years. I don’t necessarily believe that
Mr. Neils didn’t cover everything or I don’t dispute anything he said. I want to speak in support
of this project and also I may have a question to ask as well. Some of you know I’m the
President of the Dugout Club in Chanhassen. Have been since it’s inception I think probably
around 6 years ago. We have I think during that 6 year period built a good working relationship
with the City. With the school district. The CAA. A number of organizations and I can tell you
we’ve put in countless hours, some of it not so glamorous to try to improve the fields from the T-
ballers to the town ball fields which our town ball team plays at. I think it’s important to
recognize that working relationship that we’ve got and to recognize the efforts that the CAA, the
Dugout Club have put forth. Lake Susan is coming along to be a pretty nice little location. I
spent, along with a number of these people and some others probably 9 or 10 weekends last fall
building dugouts there from scratch with wheelbarrows and you know we appreciate that it’s on
the agenda for 2019. I read or I’ve read and I heard Mr. Kelly talk about their approval at 2018
and maybe a question of the council would be how did that change from 2018 to 2019 so that we
have an understanding of how that came about. I think that’s important before things move
forward. Is that fair?
Mayor Laufenburger: Fair and I’ll attempt to answer it.
Jeff Olson: Thank you Mayor.
Mayor Laufenburger: The City Council has, the City Council is a decision making body and we
have 4 commissions. Planning Commission, Senior Commission, Environmental Commission
and the Park and Recreation Commission and they act as a recommendation bodies to the City
Council so throughout the year we get recommendations from any of a number of different of
those commissions on actions or resolutions, etcetera. But if there’s something that came out of,
out of any of the commissions that the council in giving guidance to staff suggests something
different than that’s the City Council’s prerogative so if there was a change based on what came
out of Park and Recreation and what was delivered or what the City Council is acting on it’s
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Chanhassen City Council – December 11, 2017
because the City Council in it’s consensus gave direction to staff which was perhaps inconsistent
with what came out of the commission so I don’t think there was any, I don’t think was any
problem with what, or any, there was no lack of clarity coming out of the Park and Recreation
Commission. It’s just that the City Council perhaps did not agree with that recommendation.
Jeff Olson: So City Council has a different priority or is it staff?
Mayor Laufenburger: No generally speaking the City Council will hear the recommendations
from all the commissions and then the City Council will direct staff in accordance with the City
Council consensus which comes from the work session. Now that consensus is not always
unanimous Mr. Olson. There are differences of opinion on the City Council. I hope that answers
your question.
Jeff Olson: It’s a start.
Mayor Laufenburger: Okay. Anything else?
Jeff Olson: Just that at any time anybody has questions I’m available. As you know I probably
put in more hours than my wife would like me to but I think this is important. I no longer have
kids in the program. Haven’t had for a few years but I think it’s that important when you see you
know give or take anywhere from 900 to 1,100 kids each year in the softball and baseball
programs and the fun that they have. If you haven’t been out to one of these fields to watch
them, you should go out there some evening and watch because everything, any problem,
stresses, they go away and these kids just tear it up and have fun. It’s a great program and I think
it deserves the support. I’d like to see it sooner than 2019 but again any questions I’m available
any time.
Mayor Laufenburger: Alright, thank you Mr. Olson. Is there any other visitor presentations at
this time?
Councilman McDonald: Excuse me, Mr. Mayor?
Mayor Laufenburger: Go ahead Mr. McDonald.
Councilman McDonald: Are you willing to take questions from the City Council about this
issue?
Mayor Laufenburger: Yeah. I would say let’s hear from the visitors and then we can, is that
okay?
Councilman McDonald: Okay.
Mayor Laufenburger: Alright. State your name and address please.
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Chanhassen City Council – December 11, 2017
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Gary Carlson: Gary Carlson, 3891 West 62 Street up in the northwest corner of the city.
Mayor Laufenburger: Welcome Mr. Carlson.
Gary Carlson: Thank you council members for your service. On this visitor presentation tonight
I’m looking for someone to take the lead on this problem. I’ve been appearing before city
councils since the Mayor before Klingelhutz. I believe Leon or Leo was mayor.
Mayor Laufenburger: Would have been Gene Coulter.
Gary Carlson: Okay, it was Gene then. Well I’ve lost track of his name. That’s how long I’ve
been here in the city of Chanhassen.
Mayor Laufenburger: We appreciate your longevity Mr. Carlson.
Gary Carlson: I provide rental housing. Affordable rental housing and this year I was
complimented by one of our district judges on that endeavor. I have one of my buildings that’s
being flooded and Todd is aware of the problem and he’s been very helpful. I’ve talked to our
engineering. Our surface water engineering department and it tries to get going but I need some
executive leadership or someone on the council or to take the lead and I don’t want the matter to
end up in Mr. Knutson’s hands. The park by the name of Cathcart Park, owned by the City of
Shorewood. In the city of Chanhassen. Totally developed itself with the consent of the City of
Chanhassen so that’s why the City of Chanhassen’s complacent and that word should get
Roger’s attention. That whole park was developed with no surface water plan whatsoever so it’s
all hard surface and I have 5 acres in Chanhassen and I could not touch them without going
through, well Mr. McDonald can attest to how the Planning Commission very carefully looks at
all concerns with a development. So this 5 acres was developed into Cathcart Park and all that
water comes off one corner of the park. Crosses a road and floods my property time after time
after time and now I have tenants getting ready to form a suit due to mold and exposure and
ruining that floor. That particular building is a walkout building so it walks out just like this.
It’s not any basement that’s getting flooded. You’re flooding my main floor. Well my first floor
and when you’re at the site, at that building you say I can’t believe this ever floods. That’s
because I built it not to ever flood but I cannot take the flooding of 5 acres off of that park and so
I’m looking for someone to take the lead and say okay, let’s organize to solve that problem. It
can be caught. It can be retained and released from that park at a proper rate rather than, I mean
I’ve seen water coming off of it over a foot deep and wide, over 6 or 8 feet deep because,
everyone knows you can’t take all that water and just dump it on somebody else and especially
when you cross a public road. So it crosses the public road and washes me out and.
Mayor Laufenburger: Mr. Carlson would you mind stating the address of your rental property
please.
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Chanhassen City Council – December 11, 2017
Gary Carlson: 62, I believe it’s 6280 Cartway Lane. 6280, I believe that’s right.
Mayor Laufenburger: So this is your rental property?
Gary Carlson: Yes.
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Mayor Laufenburger: You mentioned earlier that you live on West 62.
Gary Carlson: Yes, I get excited and said it’s my home. Well it is my home. It’s been a twin
home for years but every since it was built. It was built that way.
Mayor Laufenburger: Okay, so just to clarify. So you’re saying the runoff from Cathcart Park
crosses a public street and then comes to 6280 Cartway Lane.
Gary Carlson: It washes out the public street. The public road’s department, they do the best
they can but it’s, there’s 3 people on that road. I’m one of them and the City does not plow that
road.
Mayor Laufenburger: Okay.
Gary Carlson: I don’t know why the City doesn’t plow the road. I’ve had different stories
through the years, well it’s too small. We can’t get our equipment down there and yet you have
a three-quarter ton plow that goes and plows out all your sewer pumping stations and you could
put us back on a plowing schedule. We’re paying the 3 of us the same taxes as every other
resident in Chanhassen but we get no snowplowing service. That’s kind of like a Boston Tea
Party, I mean I would like, all 3 of us neighbors would like our taxes back. We’d maintain the
road because at least it would be done in a timely and proper fashion, but let’s not digress. The
problem is to get the parks commission, which is a member here tonight, to say let’s take the lead
on this. It can be solved. It doesn’t have to have a big expenditure this year. You know first
maybe recreate how we’re going to catch the water. Where we’re going to put it and so forth but
there’s no way that Mr. Knutson can attest to that. You can develop 5 acres in Chanhassen and
not deal with the surface water and when it’s the City’s fault not be liable for that damage. I
mean I can’t put it any more simpler than that.
Mayor Laufenburger: Mr. Carlson I don’t want to interrupt your comments.
Gary Carlson: I’m about done sir.
Mayor Laufenburger: Okay. When you finish, let me know when you’re finished and then I will
give you some thoughts I have, okay?
Gary Carlson: I’m ready for your thoughts, absolutely. I don’t want to take up your time.
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Chanhassen City Council – December 11, 2017
Mayor Laufenburger: Well first of all I thank you for bringing this to our attention.
Gary Carlson: Sure.
Mayor Laufenburger: And with your permission I would like to direct, Mr. Gerhardt are you
familiar in any form with this?
Todd Gerhardt: Very.
Mayor Laufenburger: Okay. So Mr. Gerhardt I would like you to, not necessarily now but I
would like you to do some research and give us, give the council an understanding of all of the
facts and all of the information that Mr. Carlson has presented us here. And then also if
necessary, if appropriate make a recommendation to the City Council on what you think we
should do. Are you comfortable with that?
Todd Gerhardt: Yeah. Typically when residents come to a visitor presentation staff follows up
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at the next council meeting, which will be January 8. We do have a special meeting on the 18.
I know our city crews have been out Cartway Lane and have started to make some
improvements, correct Mr. Carlson?
Gary Carlson: They’re trying to mitigate it each time. Absolutely.
Mayor Laufenburger: To help me understand, Cartway Lane is immediately west of Cathcart
Park is that correct?
Todd Gerhardt: Correct, and Mr. Carlson’s main home is just west of the 3 homes that access off
of Cartway Lane which is a gravel road.
Mayor Laufenburger: Yep. Is it a public street though?
Todd Gerhardt: It is a public street and we maintain it to you know a typical gravel road
standard but there is sheet drainage that does go across the road and our superintendent Paul
Oehme and his staff have done their best of trying to redirect that water and between now and
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our January 8 meeting we will give options to the mayor and city council of how to correct the
situation so the water coming off the other site can be redirected to it’s proper location.
Mayor Laufenburger: Okay. Mr. Carlson again thank you for bringing it to our attention.
Gary Carlson: Sure.
Mayor Laufenburger: We’ll review the situation.
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Chanhassen City Council – December 11, 2017
Gary Carlson: We don’t want to disturb the park. There’s room on the park to catch this water
and it just has to be worked on by an engineer and can solve it and I’m sure Shorewood would
participate because they claim a lot of ownership over the park.
Mayor Laufenburger: Sure, okay.
Gary Carlson: And I just want to solve it going forward because it’s, it right now washes all that
gravel out into Pipewood Lane which is a nice development south of me.
Mayor Laufenburger: Yep, I’m familiar with that.
Gary Carlson: So I can get a lot of people to come and say this is a problem.
Mayor Laufenburger: Well I think you’ve taken a major first step in bringing it to council’s
attention and thank you very much.
Gary Carlson: Thank you for your time.
Mayor Laufenburger: I thank you for your.
Gary Carlson: I enjoy being a Chanhassen resident.
Mayor Laufenburger: Well I think we enjoy, no. I know we enjoy having you as a Chanhassen
resident. Thank you Mr. Carlson.
Gary Carlson: Thank you.
Todd Gerhardt: Mayor and council, just so everybody’s up to speed on this. Cathcart Park was
originally owned by the church. It was a piece of land owned by the church in Shorewood and
thought it would be nice to develop it as a park for the neighborhood and we had an arrangement
with Shorewood where we would maintain the park and that Shorewood/Chanhassen residents
would use the facility and the athletic associations. There’s been issues regarding the
maintenance. The City of Shorewood 2 weeks ago initiated annexation rights against the park
and that it be annexed back into Shorewood.
Mayor Laufenburger: Oh wait. Out of Chanhassen into Shorewood.
Todd Gerhardt: Correct.
Mayor Laufenburger: Okay. Are they following proper procedure on that?
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Chanhassen City Council – December 11, 2017
Todd Gerhardt: Yes. Legal counsel has been contacted and they are following those procedures
so what is known as Cathcart Park in Chanhassen in the future will be known as Cathcart Park in
Shorewood.
Mayor Laufenburger: Okay, does that have any impact on Cartway Lane?
Todd Gerhardt: We are still going to work on Cartway Lane but, and even though water is
coming off the park we will resolve that issue.
Mayor Laufenburger: Okay, alright. Thank you Mr. Gerhardt. Appreciate your attention to that
and know you’ll investigate that properly.
Todd Gerhardt: Everything is very simple in Chanhassen.
Mayor Laufenburger: Okay. Any other visitor presentations this evening? Alright with that I’m
going to close visitor presentations and I’m going to come back to you Mr. McDonald. Did you
want to make a comment or a question regarding what Mr. Kelly or Mr. Neils or Mr. Olson
spoke of?
Councilman McDonald: Well I guess what I was looking at was, how did this get changed from
2019 to 2018? Truthfully I do not remember it being on the council agenda that I voted unless
this was part of the overall budget that we’re looking at tonight. That’s my question is how did
this get moved?
Todd Gerhardt: Mayor.
Mayor Laufenburger: Mr. Gerhardt, go ahead.
Todd Gerhardt: The reason it’s on your agenda tonight is that.
Mayor Laufenburger: By the way, identify where it is on the agenda.
Todd Gerhardt: Yep, I was just going to do that. Item 4. Resolution 2017-76 where you’re
going to adopt the final levy and 2018 budget and also the 2018 to 2022 capital improvement
program, what we call is our CIP. And in that CIP sheet it’s been a practice of this city to try to
keep a healthy reserve in our park replacement fund. With the work that was done past summer,
the trail on Foxwoods, the balance in our park dedication fund fell below a half million dollars
and staff did not highlight this enough as a part of our CIP program to bring this attention to the
City Council. There’s no question that the park commission made a motion for the lights to go
in 2018 but staff would have brought this back some time this spring and talk about it.
Appreciate the CAA and the Dugout Club to bring it to your attention tonight so we can this
discussion and talk about the item. Our Finance Director is here tonight. I think he knows the
balance. Exact balance in the capital replacement fund for our park improvement program and
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Chanhassen City Council – December 11, 2017
he felt as though that would take it down to almost nothing with the plans that are already
proposed as a part of the 2018 budget so.
Mayor Laufenburger: Well Mr. Gerhardt let me make this suggestion at this time. Rather then
encumber the visitor presentation portion, this will, this is an item of new business under H-4 and
at that time, if council would like to make a modification to the staff recommendation they can
do that in the form of a motion or an amendment. And if that is the case then we can ask for
further discussion and further clarification perhaps from Mr. Sticha so let’s.
Todd Gerhardt: Absolutely.
Mayor Laufenburger: I don’t want to stop the discussion but let’s make the discussion part of
the appropriate action, okay?
Todd Gerhardt: I agree.
Mayor Laufenburger: Council members alright with that?
Councilman McDonald: Yes.
Mayor Laufenburger: Okay, thank you.
ORDINANCE 627: AMENDMENT TO CITY CODE CHAPTER 4 CONCERNING
FEES.
Mayor Laufenburger: We have no public hearings scheduled for this evening so let’s move to
our new business. We’re going to begin with new business. This is the evening, this is the last
regular scheduled meeting of the council in 2017 with exception of a special meeting scheduled
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for next Monday night, December 18 and this is the night where we do much of our concluding
business so those that are present here this evening just bear with us as we conduct this
statutorily required business. So new business. Number one, Ordinance 627. Amendment to
City Code Chapter 4 concerning fees. Is this your’s Mr. Sticha?
Greg Sticha: Yes.
Mayor Laufenburger: Alright, welcome. Good evening.
Greg Sticha: Thank you Mayor and council. On an annual basis the City Council at the end of
the year addresses a number of amendments to ordinances. Annually we take a look at Chapter 4
which is in regards to fees the City charges so this evening I’m going to be presenting the
changes, the recommended changes to amendments in Chapter 4 of the city ordinance. The only
changes that are being recommended to Chapter 4 this year are utility related so I’m going to
keep the conversation to discussions that the City Council has had multiple times this past fall in
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Chanhassen City Council – December 11, 2017
regards to the utility rates the City sets for users of the City’s water, sewer and storm water
system so I’m going to go through a brief presentation that talks about the recommendations that
we talked about just at our last work session as a matter of fact and then there is a
recommendation for passing and proposing a change to the amendment to amending Chapter 4
and we’ll get to that at the very end. So on an annual basis the City Council reviews it’s rates,
it’s utility fund rates in a very detailed process that includes the assistance of Ehlers and
Associates who help put together recommended rate increases for all, three of our utility funds
and I’m going to briefly highlight some of those changes and discussions we’ve had to this point
in the year. There are 3 funds the City has, utility funds. Water, sanitary sewer and storm water
fund. There are a number of cost pressures in each of 3 of these funds that have impacted our
projected rate increases going forward and they’re 3 separate items for each fund and I want to
kind of highlight those 3 items first. Council is aware but in case those who are not aware, the
City is constructing and building a second water treatment plant and a costly facility that in last
year’s rate study City Council wanted to undergo that construction and begin the construction of
that facility. Based on that the rate suggested going forward in the water fund were to increase 5
½ percent annually going forward on the operating side. In the storm water fund, or excuse me
the sanitary sewer fund the most significant expense to the sanitary sewer fund is our disposal fee
with Met Council Environmental Services. That particular fee for 2018 is increasing by 18
percent. That significant increase has resulted in some changes in the recommended fees for the
storm water fund, or for the sanitary sewer fund. And lastly the storm water fund has been under
some significant pressures in terms of the cost of funding storm water projects which seems to
keep going up and the need for additional storm water projects in various areas of the city has
also increased so because of that there’s also a change in what we had recommended in the
previous year in the storm water fund so those 3 large items are impacting what I’ll be presenting
this evening. So what we had discussed at our previous meetings on the water side was
increasing our operating rates 5 ½ percent last year and which the City Council still could do this
year. One of the things staff discussed internally was the compounding of 5 ½ percent rate
increases year after year is relatively significant and so we looked for a way to decrease the 5 ½
percent increases per year going forward and one of the things we came up with was to increase
our base fee and we had presented a number of options to City Council at our previous meetings
and one of the options that actually we’re recommending this evening was a council
recommended option that slightly adjusted one of staff’s options to raise the base fee to $13 from
it’s current amount of roughly $8 and to not increase tiers 1 through 2 and increase tiers 3
through 5 at a rate of 5 percent. And then projecting rate increases across all tiers and the base
fee in 2019 going forward at 5 percent instead of 5 ½ percent so those rates within the first two
tiers, the most conservative of water users in the city would not see an increase in their
consumption rate. However would see an increase in their base fee and based on the discussion
we had at our last meeting the consensus appeared to be from council that this option 3, as what
it was called that evening seemed to be the most favorable for setting up water rates in 2018 so
that’s what is in the amended ordinance this evening is that option 3 that City Council discussed
going forward. The water hook up fee has not changed from the previous year. That is still at 4
percent as it was in previous year’s rate studies. Here is a look at option 3. The City Council has
seen these numbers a couple of times but for those at home it would increase the base fee from
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Chanhassen City Council – December 11, 2017
$8.88 to $13. Tiers 1 and 2 you can see stay the same and tiers 3, 4 and 5, 24,000 gallons and
over usage per quarter would see a 5 percent increase.
Mayor Laufenburger: Mr. Sticha do you want us to address questions to each of these 3
different?
Greg Sticha: Each as we go along or at the end.
Mayor Laufenburger: Let’s just stop for a second. Council is there any questions regarding the
water rate recommendation from city staff? Okay. Proceed to the next one Mr. Sticha.
Greg Sticha: 2018 proposed sewer rates. As I mentioned earlier in the evening the most
significant expense to our sanitary sewer fund from an operating standpoint is our disposal
charge with Met Council Environmental Services. Our bill from Met Council has gone up for 18
by, for 2018 by roughly 18 percent. Our flows had increased significantly as compared to the
previous year. We are looking at ways to attempt to moderate and have large fluctuations in our
flows from year to year. Discussed and addressed with City Council we have done a number of
significant capital improvements over the last decade to help with inflow infiltration but we’re
still looking for additional ways to keep those changes from year to year less volatile. We will
be coming forward to council with a KFS, a goal setting item in 2018 to discuss how we can
potentially address those flows. Be that as it may the bill from Met Council is set. There is
nothing we can do about it at this point in time so what staff is suggesting is a similar option to
the water fund. Raising the minimum charge from roughly $23 per quarter to $30 per quarter
and raising the per gallon charge to $4.88 per gallon in 2018 and then 5 percent increases going
forward starting in 2019. Last year’s rate study included 4 ½ percent rate increases. The change
in the minimum charge also helps keep our total revenues rather stable and I guess more
importantly on the water side from a revenue stability standpoint is very important. Less so
important on the sewer side but the increases in each of these does allow us to keep our increases
going forward at amounts that are closer to what we had in last year’s rate study. We are
suggesting and recommending no increase to the hook up fees for sewer as was consistent with
last year’s rate study.
Mayor Laufenburger: Okay.
Greg Sticha: Sanitary sewer.
Mayor Laufenburger: Alright, sanitary. Any questions regarding sanitary sewer rates? Okay.
Just I want to clarify one thing. This may not be clear to citizens. In the case of sanitary sewer
the suggested rate of $30, that includes the first 6,000 gallons is that correct?
Greg Sticha: That is correct.
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Chanhassen City Council – December 11, 2017
Mayor Laufenburger: Whereas in the case of the water the $13 or the $12.99 per quarter and I
get it that has to be divisible by 3, is that correct?
Greg Sticha: That is correct.
Mayor Laufenburger: Okay, so that does not include so much per, does not include a water
service?
Greg Sticha: That is correct.
Mayor Laufenburger: Okay. And one more thing. We establish sewer rates based on water
consumption and we establish sewer rates based on water consumption during the summer or
during the winter?
Greg Sticha: During the winter. Your winter usage.
Mayor Laufenburger: So we are not, we are not using consumption rates for irrigation or pools,
things like that in the calculation of the sewer rate.
Greg Sticha: That is correct.
Mayor Laufenburger: And that has been our practice as long as you’re aware of it right?
Greg Sticha: All local governments handle their charge that way, yep.
Mayor Laufenburger: Okay. Let’s go to your last one then.
Greg Sticha: So taking a look, this is a visual presentation of the sanitary sewer. The $23.85 to
$30. The $4.64 to $4.88 per gallon.
Mayor Laufenburger: Alright.
Greg Sticha: Storm water rates. The pressure on the storm water fund is a little different than
looking at two in particular capital expenditures in the water and sanitary sewer fund. We’re
seeing capital pressure, capital expense pressure on a number of fronts in terms of storm water
improvements. From a federal regulation standpoint. From a local standpoint in terms of cost of
putting, doing the improvements from a construction standpoint to the needed improvements
based on some of the road reconstruction that we’re doing within and around the city so last
year’s rate study projected a 4 percent increase. We are recommending a 5 percent increase in
the quarterly fee and I think it’s important to note that a 5 percent increase represents 53 cents
per quarter or just over $2 a year. We are recommending a 1 percent increase to the connection
charge which is the same as last year’s rate study.
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Chanhassen City Council – December 11, 2017
Mayor Laufenburger: Okay. Anything more on surface water? Alright, does that conclude the.
Greg Sticha: The last slide just shows you a total bill comparison and in this case this would be
water, sewer and storm water and option 3 would be the column of, depending on the type of
user. Whether it’s a very low user of water to a high user of water, what their quarterly bills
would come to now as compared to 2017. 2018 as compared to now in 2017.
Mayor Laufenburger: Okay, so option 1, 2 and 4 are simply options that were presented to the
council but not recommended. Not directed to staff is that correct?
Greg Sticha: Yep, that’s correct.
Mayor Laufenburger: Okay. Council is there any questions or comments on this presentation by
Mr. Sticha? If not I would look for a motion.
Councilman McDonald: Is there a motion in our packet?
Mayor Laufenburger: There is. Page 1 of 18.
Councilwoman Tjornhom: I’ll make a motion.
Mayor Laufenburger: Councilmember Tjornhom, thank you. Go ahead.
Councilwoman Tjornhom: I’d like to make a motion that the City Council adopts the attached
ordinance amending Chapter 4 of the Chanhassen City Code revising the fees for 2018.
Mayor Laufenburger: Alright. We have a valid motion. Modifying Chapter 4 of the
Chanhassen City Code. Is there a second?
Councilman McDonald: Second.
Mayor Laufenburger: Thank you Mr. McDonald. Any discussion at this time?
Councilwoman Tjornhom moved, Councilman McDonald seconded that the City Council
adopts the attached Ordinance amending Chapter 4 of the Chanhassen City Code revising
fees for 2018. All voted in favor and the motion carried unanimously with a vote of 4 to 0.
ORDINANCE 628: AMENDMENTS TO CITY CODE CHAPTER 1 “GENERAL
PROVISIONS”; CHAPTER 6 “BOATS AND WATERWAYS”; CHAPTER 7
“BUILDINGS AND BUILDING REGULATIONS”; CHAPTER 13 “NUISANCES”;
CHAPTER 14 “PARKS AND RECREATION”; CHAPTER 18 “SUBDIVISIONS”; AND
CHAPTER 20 “ZONING” OF THE CHANHASSEN CITY CODE REGARDING THE
FOLLOWING:
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Chanhassen City Council – December 11, 2017
A. IMPERVIOUS SURFACE AND RELATED DEFINITIONS.
B. CONTROL AND PREVENTION OF DISEASED TREES.
C. DRIVE THROUGHS.
D. PARKING LOT SWEEPING.
E. WATER OBSTACLES.
F. DEFINITION OF ATTACHED STRUCTURE.
G. PUD SETBACKS.
H. ROAD DESIGN.
I. PRIVATE STREET SIGNS.
J. ADULT DAYCARE.
K. FISHING ON SWIM BEACHES.
AND ADOPTS SUMMARY ORDINANCE FOR PUBLICATION PURPOSES.
Mayor Laufenburger: I’m guessing this is your’s Ms. Aanenson.
Kate Aanenson: Yes it is.
Mayor Laufenburger: Go ahead. Thank you very much.
Kate Aanenson: Thank you Mayor, members of the City Council. This is actually 11 code
amendments. You’ll be seeing more of these after we adopt the Comprehensive Plan but I just
wanted to also note for the record, I’m just going to go through in kind of a omnibus, so you
have one motion at the end instead of doing each one but there was a lot of public discussion on
these. They did go to the Park Commission which reviewed the things parochial to parks.
Swimming. Fishing in swimming areas. We also had a work session with the City Council
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talking about some of these issues. October 17 we talked about the surface water management
plan. While the Planning Commission recommended changing the terminology so that the
nomenclatures are all the same. They did recommend that we wait until we get the surface water
management plan. When we start talking about what percentages should be until we understand
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the implications of the surface water management plan and then on November 21 we held a
public hearing again on those chapters that are the purview of the Planning Commission which
would be 18 and 20 so some of these items have not had public comment yet but are within your
purview. So I’m going to go through each of them very briefly. Again there are 11 items.
Again the lot coverages, you know talking about infiltration. What should be the impervious.
Again the Planning Commission felt like it was premature to make the change but we are making
some changes regarding the terminology which is confusing so all the definitions then will be
matched up what we call impervious surface so that will eliminate some ambiguity so again
we’re changing the definition of impervious surface and then pervious pavement so those will be
all ready to go as we look forward to the next implementation or the next step of looking at
potential changes in that area.
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Chanhassen City Council – December 11, 2017
Mayor Laufenburger: Alright Ms. Aanenson before you go to the next one, you covered A. Just
give council an opportunity to make any comments or questions.
Kate Aanenson: Absolutely.
Mayor Laufenburger: So council any questions or comments on item 2(a), impervious surface
and related definitions?
Councilwoman Ryan: I just have a quick question.
Mayor Laufenburger: Go ahead Councilmember Ryan.
Councilwoman Ryan: So when we talked about it at the work session, the only difference is here
we’re just, I just want to make sure I read this correctly. The only thing that’s changing is the
definition. It will come back to us to talk about the actual percentage of coverage correct?
Kate Aanenson: Yep, that’s correct.
Councilwoman Ryan: Because we went through some of that.
Kate Aanenson: We did and the Planning Commission looked at, we really want to kind of take
it out to the people that are in the field. Some of our residents to really understand it and kind of
vet it a little bit more before we just throw up a number based on again first getting the surface
water management plan and then really do our due diligence of working with people that will be
installers and some of our residents to see what the implications would that be. Take a little bit
more time.
Councilwoman Ryan: Okay.
Kate Aanenson: So that will be the next step.
Councilwoman Ryan: Okay.
Kate Aanenson: Right now we’re looking at the surface water management plan coming in.
Being drafted in January and you’ll see some of that and then working through that next spring.
That’s what I say will be the next go around of code amendments.
Councilwoman Ryan: So would we have it, in terms of lot coverage when people are starting to
do their projects in the spring.
Kate Aanenson: That’s our goal.
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Chanhassen City Council – December 11, 2017
Councilwoman Ryan: Okay.
Kate Aanenson: Yep, yep.
Councilwoman Ryan: Okay, thank you.
Mayor Laufenburger: Alright, thank you. Any other questions on this one? Alright, next one.
Kate Aanenson: Diseased trees. Again the Emerald Ash Borer, we have a provision that doesn’t
directly address the epidemic and so the solution is broadening the language of the diseased trees
and different forms and hazards. Sometimes we get complaints on those. Our neighbor has a
diseased or dead tree and so this allows for response. Again we polled the other cities. Except
for Stillwater everybody else has a requirement if there’s a specifically dangerous or hazardous
tree that those could be removed so this would be an ordinance that would advance that.
Mayor Laufenburger: Alright, any questions on this ordinance change? Next.
Kate Aanenson: Drive throughs. So on stacking we, engineering worked with Spack and they
came up with some standards for stacking for drive throughs. We had those for dry cleaners and
the like but now these same standards were actually used for, we don’t have enough stacking.
Blocking intersections so we came up with the, making them a conditional use because as the
city attorney pointed out if we say a fast food drive is a permitted use. Therefore they are
permitted to have a drive through. We just didn’t have the standards for the stacking so what we
did, and these same standards were put into place with the Avienda project. On those drive
throughs. This is the same ones that were put into place using Chick-fil-A and they will be the
same ones used for the Panera Bread that will be coming forward so these would be the new
standards. Again we think it makes a lot of sense to have those in place and so any drive through
then, the stacking would be a conditional use permit.
Mayor Laufenburger: Okay, any questions on this?
Councilwoman Ryan: I just have one.
Mayor Laufenburger: Go ahead Councilmember Ryan.
Councilwoman Ryan: So what do you do for the people that are not in compliance? Are they
required to make any changes?
Kate Aanenson: They’re legal non-conforming right now so, yeah.
Councilwoman Ryan: Okay, thank you.
Mayor Laufenburger: And they can remain.
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Chanhassen City Council – December 11, 2017
Kate Aanenson: That’s correct, unless they make changes correct.
Mayor Laufenburger: Alright. So let me raise this question. You mentioned or Councilmember
Ryan asked the question regarding item 2(a). What you are presenting now is a change from
what we discussed in the work session because in the work session we also gave you direction
regarding percentages and stuff so.
Kate Aanenson: Correct.
Mayor Laufenburger: So that’s a change in a, I would just ask as you proceed through the rest of
these if there’s anything that you’re recommending that is different from what the council talked
about in a work session would you please bring that to our attention.
Kate Aanenson: Mayor that’s the only one. Item (a).
Mayor Laufenburger: So it’s just item (a), is the only one.
Kate Aanenson: That’s correct.
Mayor Laufenburger: The rest of these are reflecting what was discussed in the work session?
Kate Aanenson: That’s correct, yes.
Mayor Laufenburger: And the guidance that we gave to staff.
Kate Aanenson: Yes. Yep, and I just want to reiterate that the Planning Commission felt like
really it was too big of a thing to tackle just looking. We came up with a percentage and.
Mayor Laufenburger: You’re talking about in the impervious surface now right?
Kate Aanenson: Yes. And everybody was, their heads were spinning. There’s just a lot to take
in and we just wanted to vet that just so we don’t run amuck.
Mayor Laufenburger: Okay. The reason I ask the question is I want the citizens and those in the
chamber to understand that these recommendations that you’re coming forward are the result of
the direction that City Council gave you in that work session.
Kate Aanenson: That’s correct and that was after the Planning Commission or the Park and
Recreation Commission or the Environmental Commission sent them up to you so there’s been
discussions both ways.
Mayor Laufenburger: Alright, next one.
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Chanhassen City Council – December 11, 2017
Kate Aanenson: Yeah, parking lot sweeping. This was just, we get calls on that regarding
nuisance where we have some of those private lots next to, or public residential so again just
putting something in the ordinance regarding sweeping of parking lots.
Mayor Laufenburger: Alright, any question council on this one? Next.
Kate Aanenson: Water structures. Right now in order to get a water structure for ski jump you
have to go the City Council. We talked about that. We thought we’d remove that burden from
you having to look at that and getting a permit from you and typically those are regulated by the
DNR or the sheriff’s office.
Mayor Laufenburger: So in this case we’re just moving the approval authority to the DNR and
the sheriff’s office.
Kate Aanenson: That’s correct.
Mayor Laufenburger: And away from the city.
Kate Aanenson: That’s correct.
Mayor Laufenburger: Okay. Any questions on this one? Next.
Kate Aanenson: Attached structures. So this ordinance prevents someone from making a long
breezeway, potentially a tunnel from connecting an accessory structure to a principle structure.
Mayor Laufenburger: Any questions on this one? I remember we discussed that too.
Kate Aanenson: PUD setbacks.
Mayor Laufenburger: Alright, thank you.
Kate Aanenson: We talked about this. The purpose of a PUD is to give flexibility. The way this
current code is written it really doesn’t give the flexibility that we see. The driver also on the
PUD, when we look at the standards, the current 50 to 100 foot on screening, that’s already put
in place in the buffer ordinance for single family detached. You’re already required to have a 30
foot setback so we’re saying, we’re looking at those individually. Certainly the City Council and
the Planning Commission will make recommendations on those standards but it gives you the
flexibility which was really intended to do with the PUD tool.
Mayor Laufenburger: I would just simple ask this Ms. Aanenson, do we get so many of these
PUD requests that it would be too time consuming of the City Council during a year to deal with
these setbacks individually?
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Chanhassen City Council – December 11, 2017
Kate Aanenson: Well I think what it does is it, a lot of developers choose not to go down this
path because you know we set up, we set this tool up as a flexible tool but there’s too many rules
in place that they choose not to do this and it is a good tool to use. For residential. For industrial
parks we have mixed uses where we cluster because we want to save trees or natural features so
for them.
Mayor Laufenburger: So this should be less of a burden on the developers, is that correct?
Kate Aanenson: Well give flexibility.
Mayor Laufenburger: Right.
Kate Aanenson: So if there’s things that you want to drive a project, for example Avienda went
through a PUD process and that was, it’s pretty formulated and so with that there’s some nuances
there that you want to say well negotiate. We’ll give you this if you give us that. The thing
that’s only negotiated right now is you have to have a higher level of architecture and provide
some natural amenities but we’re trying to put more tools in your ability to drive a project.
Mayor Laufenburger: Okay, next.
Kate Aanenson: Street design standards. This is an exciting one from engineering. It’s on
vertical curves so a deviation from MnDOT causes some confusion. We’ve had this come up on
a couple of projects and so being in line with the guidelines of the State is referencing the State
manual directory. Then if that changes then our standards would change with it. We tried to
move this same rational in a lot of our codes. Whether it’s building codes or engineering
manuals, transportation manuals so that’s that one.
Mayor Laufenburger: Okay. Any questions on that one? Next.
Kate Aanenson: Private street signs. The city code does not have requirements on that.
Typically we see different markings so sometimes our drivers or delivery services know whether
it’s a private or a public street. Sometimes there may be, our typical streets are green. The
private streets may be blue so we’re just trying to make that uniform for private streets.
Sometimes we get developers that want to make them very unique. We want to make sure the
fire department and the police, sheriff’s office can find them so we want to have some
uniformity. They can be a different color but this ordinance would standardize that.
Mayor Laufenburger: Alright. Any questions on private street signs? Next.
Kate Aanenson: Adult daycare. The City has approved some adult daycares. We have them
over at CSM. Over there by Feed My Starving Children. That is an industrial park so we see
some of those popping up. We do allow daycares in industrial parks so we didn’t have a
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Chanhassen City Council – December 11, 2017
definition of daycare. There’s different standards what you need for a child daycare as opposed
to an adult daycare and those are standardized by the State so again this is being consistent with
the State regulations and then also that they be through performance standards rather than a
conditional use process.
Mayor Laufenburger: Any questions on adult daycare? Next.
Kate Aanenson: Then fishing on swim beaches. This is something that the park commission
brought forward. Again the rational basis of this is to prohibit fishing in areas that are designated
for swimming.
Mayor Laufenburger: Any questions on this one? Okay.
Kate Aanenson: And that’s all the motions. All the issues so we put them into one motion so
kind of omnibus motion.
Mayor Laufenburger: And this is.
Kate Aanenson: All 11 items.
Mayor Laufenburger: You have it on the screen there.
Kate Aanenson: That’s correct.
Mayor Laufenburger: Okay. Before I ask for that motion is there any question or comment on
this Ordinance 628 (a) through (k)? I would simply say this, that you’ve gone through these very
quickly. We had a substantial work session on all of these and I know that your staff, Sharmeen
and MacKenzie and Bob, all of them worked very hard investigating these changes so that
they’re appropriate for our city as compared to cities around us and appropriate based on the
discussion that was had at city council so please extend to your staff a thank you for doing that
Kate.
Kate Aanenson: Thank you Mayor. I also just did you the short version. There’s a very lengthy
staff report if anybody’s interested in more of the background on each of the items.
Mayor Laufenburger: Is that available for public comments?
Kate Aanenson: Yes it is. It’s online right now so anybody that would want to read that.
Mayor Laufenburger: Okay.
Kate Aanenson: And also engineering gave us feedback on some of these too so.
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Chanhassen City Council – December 11, 2017
Mayor Laufenburger: Okay. Is there any further discussion or action?
Councilwoman Ryan: Mr. Mayor?
Mayor Laufenburger: Councilmember Ryan.
Councilwoman Ryan: I’d like to make a motion.
Mayor Laufenburger: Go ahead.
Councilwoman Ryan: I’d like to make the motion that the City Council adopts the attached
ordinance amending Chapters 1, 6, 7, 13, 14, 18 and 20 of the Chanhassen City Code and
approves the summary ordinance for publication purposes.
Mayor Laufenburger: Alright. Is that a valid motion Mr. Knutson?
Roger Knutson: Mayor, yes it is.
Mayor Laufenburger: Alright, okay we have a valid motion. Is there a second to that motion?
Councilman McDonald: Second.
Mayor Laufenburger: Thank you Mr. McDonald. Any further discussion?
Councilwoman Ryan moved, Councilman McDonald seconded that the Chanhassen City
Council approves an Ordinance amendment Chapters 1, 6, 7, 13, 14, 18 and 20 of the
Chanhassen City Code and approves a summary ordinance for publication purposes. All
voted in favor and the motion carried unanimously with a vote of 4 to 0.
Mayor Laufenburger: That motion carries 4-0. Thank you Ms. Aanenson.
ORDINANCE 629: AMENDMENT TO CITY CODE CHAPTER 17 “STREETS AND
SIDEWALKS”, CONCERNING SMALL CELL WIRELESS FACILITIES; ADOPT
SUMMARY ORDINANCE FOR PUBLICATION PURPOSES.
Mayor Laufenburger: Is that your’s Mr. Oehme?
Paul Oehme: It is.
Mayor Laufenburger: Oh we’re passing the torch around a little bit tonight.
Paul Oehme: We are, spreading the wealth.
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Chanhassen City Council – December 11, 2017
Mayor Laufenburger: Okay, alright. Go ahead.
Paul Oehme: Thank you Mayor, City Council members. This is an ordinance discussion that
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city staff had with City Council on November 27. This year the State legislature changed the
law that allows for small cells or wireless carriers to install, construct some equipment in the
right-of-way. City right-of-way and also to allow them to put it on similar infrastructure as well
so this ordinance realizes that fact and changes our Chapter 17 code, or ordinance to reflect some
of those new rule changes by the State and just go through some of that here. So just what is
small cell facilities are the next generation of cellular equipment so this equipment most, or
currently the standard equipment is on cell towers and on water towers and some bigger
structures. This small cell facility would potentially be put in within the right-of-way on new
poles or on a street signal systems or on street lights as well. So this equipment adds to the
capacity of the carrier’s network system. They fill in small gaps that maybe some of these bigger
cell towers can’t get to and then also provides data band width as well in this area. We’re seeing,
actually the City of Minneapolis is seeing a lot of this infrastructure being put in right now
around the US Bank Stadium preparing for the Super Bowl for the next year. Wireless providers
may migrate to putting more of this new technology and since it is higher speed I think, they
think customers are going to be using this a lot more so we might be seeing a lot more of this
infrastructure going in in the right-of-way in the near future. The proposed ordinance process is,
will allow this equipment to be put in the right-of-way with reasonable limits and I’ll go through
that as well and it also provides for the health and welfare of our community. So the small cell
equipment is shown here. This is some equipment that was recently put in in Minneapolis on
street lights. Here’s an antenna and some repeaters and some other power equipment as well so
this is the type of equipment that we’re looking at potentially seeing in our neighborhoods and in
residential areas. This is some of the equipment that you may see out there. Our goal is to try to
keep this equipment as small as we can on our poles and try to hide it as best as we can or mask
it. Painting this equipment to an existing poles that are out there today. So all this process we
think is going to work. Staff, once a carrier comes in and requests that this equipment be put in,
staff’s going to work with that provider on a case by case basis. It’s going to be depending on
the site and what infrastructure is currently out there. The new state law does allow for cities to
go through a CUP or conditional use permit for residential or historical areas. Staff did talk
internally about this and we don’t think that’s the right process to go for this area just because
this equipment is allowed in our right-of-ways and might set up some false sense of expectations
for residents that they might not get what they want so what this ordinance allows us to do is to
require that the carriers match the color of the poles. The equipment to the poles. Underground
as much of the equipment that has to go on the right-of-way as possible and then naturally
screen. Put up shrubs or whatever around some of the equipment that will have to go on the
ground. The height of the pole is dictated by the State statute of no more than 50 feet. That’s
State law and then we’re only going to require that this equipment be no higher than 10 feet
above our street lights if it goes on our poles. So provider will have to enter into a one time
agreement with the City for this equipment to be put on our equipment. $40 permit fee which is
the same thing that we charge all other right-of-way providers that work in our right-of-way.
That’s the same charge by them. Staff will have to investigate with a provider if the existing
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Chanhassen City Council – December 11, 2017
poles can support this equipment. We have steel poles out in the, on our streets that are over 25
years old and we just want to verify that those street lights are structurally sound. If the poles are
found not to be the carrier will need to replace that at their cost. The City would charge the
carriers a fee of $175 for rent and maintenance to have this equipment on their pole and then the
City may charge an electrical fee as well if there is now, if their equipment is not metered on the
poles in specific locations. So with that, that’s a brief background of what the ordinance includes
and I stand for questions.
Mayor Laufenburger: Alright, thank you Mr. Oehme. Any questions of staff regarding this
proposed ordinance. Councilmember Ryan, go ahead.
Councilwoman Ryan: Just one. I don’t recall the 10 feet above the street light. Is that, did you
say that was State or that’s City?
Paul Oehme: I believe that’s in the guide ordinance that we work with for League of Minnesota
Cities and I think that is in the State statute as well.
Roger Knutson: Yes.
Councilwoman Ryan: It is in the State statue, okay. I just didn’t recall that so thanks.
Todd Gerhardt: Mayor?
Mayor Laufenburger: Mr. Gerhardt go ahead.
Todd Gerhardt: Mayor and council, you know this is for the public realm to, you will see these
changes throughout the community. Light fixtures. They may have their own stand alone poles.
They have started in Eden Prairie. Paul’s mentioned they’ve started in Minneapolis. This is the
new G5 technology. It’s to allow better access to your cell phones to livestream. Mapping but
the key thing is, is this is where your driverless cars are going to come from and so this
technology is a step in that direction. There still needs to be substantial work but this was
heavily lobbied at the State legislation last year and it got approved at the 24 ½ hour and was
approved by legislation which put law firms like Roger on call and hurriedly to make their
clients produce ordinances so we can make sure that they’re properly located in safe areas along
our right-of-way.
Mayor Laufenburger: So Mr. Gerhardt and Mr. Knutson it sounds like, and Mr. Oehme, this is
an ordinance that we as a city, we choose to adopt this. It complies with legislation, is that
correct Mr. Knutson?
Roger Knutson: Yes.
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Chanhassen City Council – December 11, 2017
Mayor Laufenburger: But it also has language in it that allows us as a city to exercise a certain
amount of stewardship of our rights-of-way, is that correct?
Paul Oehme: Organize, yeah development of our right-of-way.
Mayor Laufenburger: So while I appreciate that some citizens may not want these in their
neighborhoods, it’s not our decision to put them. This is the legislature is allowing them to be in
our neighborhoods but we are taking our steps to ensure that when they do appear we’re
protecting the right-of-way and to the best of our ability we’re protecting the safety and welfare
of the citizens of Chanhassen, is that correct?
Paul Oehme: That’s correct.
Mayor Laufenburger: Mr. Knutson is that correct?
Roger Knutson: That is correct.
Mayor Laufenburger: Okay.
Paul Oehme: And we’re trying to provide as much screening as we can too to, especially the
equipment that will be on the ground to screen as best as we can from the residential areas and
along the right-of-way.
Mayor Laufenburger: Okay. So this is a, to a certain extent this is a legislative mandate. We do
not have a choice as to whether or not these will appear in our city. If those wireless providers
make application we are obligated to review that application. Apply our ordinances and if they
come forward with an application and a permit request that complies with our ordinance then
they will appear.
Paul Oehme: Correct.
Mayor Laufenburger: Do you have any indication. You said that they’re already showing up in
Minneapolis and Eden Prairie. Has anybody made application with the City of Chanhassen yet?
Paul Oehme: We haven’t had an application. We’ve had inquiries from 2 carriers right now so
they’re looking at first quarter of next year potentially making an application.
Mayor Laufenburger: Okay. Is there any other questions from council?
Todd Gerhardt: Mayor and council, the fees that you may have heard Paul mention, those are
also established by State statute and barely covering our costs but we’re at least not using
taxpayer’s money to process these things so we are going to track them and inventory them in
our system so we know where they are. What they’re located and identify them.
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Chanhassen City Council – December 11, 2017
Mayor Laufenburger: So if there is a cost associated with this, this would be really an
administrative cost of processing these permits. You’ll have city staff responsibility in going out
to review and inspect these periodically. Is it your belief that the fees that we’re able to charge
these companies, will it cover those costs or will it not?
Paul Oehme: I don’t think it will but we’ll monitor it.
Mayor Laufenburger: Okay, alright. And if we’ve learned that the costs which we recovered do
not cover our costs do we have any recourse with legislature or with the providers?
Paul Oehme: Not for the rent and maintenance costs. We might revisit the permit fee itself but
we need to be consistent with what we charge other providers in the right-of-way like cable and
gas companies as well for those permits so we might in the future look at that fee as an
adjustment in the future to cover some of these other costs.
Mayor Laufenburger: Well I don’t want my questions to construed as something that I want to
fight with the legislature on this but I think that we as a City Council we have a responsibility to
our citizens related to the impact of legislation on our quality of life and this may not get any air
space or may not be the conversation of topic at your local coffee shop on Saturday morning or
Tuesday mornings but this is an example of how I appreciate what city staff has done
investigating this with the League of Minnesota Cities and then adding language that does help
to protect us so I appreciate that.
Todd Gerhardt: The League very hard on every city’s behalf to try to get the fees as high as they
could and, but this is what we’re, this is what came out of the legislature.
Mayor Laufenburger: Okay, so we will be in compliance.
Todd Gerhardt: Yep.
Paul Oehme: Correct.
Mayor Laufenburger: Alright, okay. If there’s any further discussion. If no further discussion
I’d accept a motion.
Councilman McDonald: Mr. Mayor I’ll make the motion.
Mayor Laufenburger: Mr. McDonald.
Councilman McDonald: I would propose that the City Council approves Ordinance 629,
Amendment to City Code Chapter 17 “Streets and Sidewalks”, concerning Small Cell Wireless
Facilities and adopt Summary Ordinance for publication purposes.
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Chanhassen City Council – December 11, 2017
Mayor Laufenburger: Alright, I have a valid motion. Is there a second?
Councilwoman Tjornhom: Second.
Mayor Laufenburger: Alright. Any further discussion?
Councilman McDonald moved, Councilwoman Tjornhom seconded that the City Council
approves Ordinance 629, Amendment to City Code Chapter 17 “Streets and Sidewalks”,
concerning Small Cell Wireless Facilities and adopt Summary Ordinance for publication
purposes. All voted in favor and the motion carried unanimously with a vote of 4 to 0.
ADOPT FINAL LEVY, 2018 BUDGET, AND 2018-2022 CAPITAL IMPROVEMENT
PROGRAM (CIP).
Mayor Laufenburger: Let’s throw this back to Mr. Sticha. Is this your’s Mr. Sticha? This is
new business item H-4, Resolution 2017-76 which is an all inclusive item. Mr. Sticha, your’s.
Greg Sticha: Thank you Mayor and council. I’m going to be discussing a couple different items
this evening. Passing a 2018 General Fund and Special Revenue Fund budgets. Passing a 2018
tax levy as well as passing a 2018 to 2022 CIP and I’m going to go through first the tax levy and
budget for 2018. To give some reference to those at home, about the entire process the City
Council and staff goes through during the budget year. We begin our work way back in June.
We’ve had several meetings throughout the summer and fall to discuss the budget and tax levy
for taxes payable in 2018. So this process is quite lengthy. In June and early July the various
departments submitted budget to the City Manager and myself. We reviewed those budgets.
Made some amendments to those and then presented a detailed budget to the City Council in
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August of this year. On September 25 the City Council passed a preliminary levy that was then
used to produce the Truth in Taxation statements that all the residents received about 2 weeks
ago. That preliminary levy is a not to exceed number. For those that are listening at home that
might not be aware, the final levy that the City Council sets cannot be higher than what that
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preliminary levy was set at on September 25. Last Monday evening the City Council held a
public budget meeting to take public comment and public input on that proposed levy. That was
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December 4, last Monday and then this evening the City Council will adopt a budget and levy
for taxes payable in 2018. So we’re going to go into some of the details in terms of expenditures
for the city. This graph shows the 2017 budgeted numbers in the far left and the recommended
budget numbers in the far right. These numbers change very minimally across the various
departments but in total it is essentially the same total expenditure dollar amount that you see
from the preliminary to now. Some of the numbers change slightly within each of the
departments for a few minor reasons including election of health care benefits for some
employees but in total the expenditures are the same as we saw in September for a total
expenditure budget of $11,235,000. A 1.9 percent increase in budgeted expenditures. Likely
this slide shows a corresponding budget of revenues so we’re passing a balanced budget equal to
expenditures. So how are we paying for the $11,235,600? That’s what this slide shows.
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Chanhassen City Council – December 11, 2017
$8,709,000 in property taxes. A million in licenses and permits. $409,000 in intergovernmental
revenues. $627,000 in charges for services. That includes park and rec programming and other
charges for services for copies and other things that we have at City Hall. Fines and penalties
collected through our prosecution services and a small amount for other revenues. Again passing
a total budget equal to what was passed at the preliminary level of $11,235,600. So what factors
change in putting together the 2018 budget? Most expenditure line items remain flat for 2018 as
compared to ’17. The general fund expenditures did increase by a total of $212,000 or the 1.9
percent. We did include wage adjustments for city employees of 3 percent and it total about
$116,000 to the general fund. We had health care cost increase in our health care contract of 15
percent and an important stat or a number we focus on each year is how much has the City
grown based on this year from the previous year and that number for 2018 is 1.1 percent and that
number is important because that number is essentially the new taxes that the City of Chanhassen
is generating from new homes or new construction that is within the city.
Mayor Laufenburger: Collectible in 2018.
Greg Sticha: Collectible for 2018 so that’s a relatively important number and that’s the first
number look at when we start the budget process back in May and June. That totals roughly
about $118,000. The 1.1 percent. Totals about $118,000 in new property tax dollars. So taking
a look at the requested levies for 2018 as compared to 2017. 2017 final levy was set at
$10,795,121. The preliminary levy was set at $10,913,868. You’ll notice that on the debt levy
side we did see a small reduction in our public works facility levy due to a refinancing of that
debt. So a total increase of the levy of 1.1 percent or the new growth that I showed in the
previous slide so the levy’s increasing by exactly new growth. Staff is recommending a final
levy the same as the preliminary levy. The $10,913,868 which would give you a levy the same
as new growth for 2018. So taking a look at our history on our levy versus our new growth over
the past 10 years you can see from a visual standpoint we have set the final levy either at or
below new growth each of the last 11 years now and while some communities haven’t always
been able to do this, it’s been important to this City Council and previous City Councils to
attempt to keep those, the levy increases at new growth and what this means to the average
homeowner and I’m going to get to it in just a moment in another slide is that if your home
changed in value by the average within the city your city portion of your property taxes will
remain the same as compared to the previous year. So let’s take a look at some tax statements,
and these are actual tax statements that were sent out 2 weeks ago and seeing how they compare
last year to this year. The average home in Chanhassen increased in value by 4.2 percent so
taking all the homes in Chanhassen into account. Some increased by less than 4.2 percent and
some increased by more than 4.2 percent but the average increased by 4.2 percent. So what you
would expect if your home increased by 4.2 percent is that if we set a levy at new growth, which
is what we set for preliminary levy and which is what these statements are based on, you would
expect to see that your city portion of your property tax stays relatively close to the same. In
taking a look at parcel 1 for example. That home changed in value by 5.1 percent so slightly
more above average yet it did still see a slight decrease in the city portion of it’s property taxes.
It was about 50 cents so somewhere between that 4 ½ and 5 percent is where homes were seeing,
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Chanhassen City Council – December 11, 2017
still seeing a decrease in their city portion of their property taxes. The State of Minnesota has a
graduated or increasing scale property tax system so you’ll note as value of the homes get larger
the percent increase that they pay in property taxes increases slightly so taking a look at example
number 4 for example. It’s a value change of almost double what the average home in
Chanhassen saw but it did not still see a 4.2 percent increase or double increase of what you
would expect in the city portion of it’s property tax so even parcel number 4. Had it seen a 4.2
percent increase in it’s property value, which is obviously did not, probably would have saw a
decrease in it’s city portion of it’s property taxes if they had a value change similar to the
average. So how does this translate to how much of your total property tax dollars goes to which
taxing jurisdiction and I’ve got 2 examples up here for you based on a recommendation from our
City Council at our last meeting so I was happy to include both school districts for your review.
The first slide shows you School District 112 and the percent of the total tax dollar that is going
to the school district, to the county, to the city and to other taxing jurisdictions such as the
watersheds and the Metropolitan Mosquito Control District. 46 percent to the school, 30 to the
county and 19 to the city. Seeing how that compares to District 276, a slightly different. The
school district is collecting about 44 cents on every dollar and the school, or the county and the
city are at 31 and 20 cents on every dollar so slight difference between the two school districts so
you can see a visual representation of, depending on where you live in Chanhassen, who’s
getting what percentage of the total tax dollar.
Mayor Laufenburger: But Mr. Sticha, if there’s a home in the Minnetonka School District and
an exact property value home in the Chanhassen School District, their city taxes would be the
same.
Greg Sticha: Their city tax will be the same regardless of this percentage.
Mayor Laufenburger: The only thing that would be different would be in this case likely the
school district would have an impact on the percentage.
Greg Sticha: Right.
Mayor Laufenburger: So alright, I just needed to clarify that. The city portion of taxes would be
the same on two properties that are of equal property value.
Greg Sticha: That is correct.
Mayor Laufenburger: Okay.
Greg Sticha: So taking a look at our budgeted expenditures and how we compare to our KFS
cities and the most recent data shows, and this was last year’s budget. We don’t have this year’s
budget as that data’s still not available on the State Auditor’s website yet. We’re all passing our
budgets this evening or this week. 2 ½ percent increase in our expenditures in 2017. The
average being a 4.3 percent increase in our budgeted expenditures of our KFS cities. This is
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Chanhassen City Council – December 11, 2017
within the general fund only and it’s key to note that one of the goals of previous City Councils
and this City Council has been to keep the percent change in budgeted expenditures consistent
from year to year and try to avoid large fluctuations where you might have a zero percent
increase one year and a 10 percent increase another year to keep spending in line with the
increase in cost only and so from a year to year consistency basis, compared to our 10 other KFS
cities, we are by far the most consistent in terms of what we pass for general fund budgeted
expenditures on a year to year basis. This slide takes a look at the per capita spending. In other
words the per person spending in the city of Chanhassen based on budgeted expenditures within
the general fund to deliver general fund services. The average being of our KFS $540 per capita
and the City of Chanhassen the lowest of all of our KFS cities at $447 per capita. Taking a look
at how we compare in Carver County on our tax rates, and this is based on the preliminary levies
that were set in September by all of these taxing jurisdictions you see listed on this slide. The
average tax rate within Carver County, 58.98. Chanhassen having significantly the lowest tax
rate within the county at 22.658 based on the preliminary levy that was set. Some of these levies
could change in their final levy as they might set them lower than what you see here but based on
staff’s recommendation of setting a final levy at the preliminary levy, our estimated tax rate for
2018 would be the 22.658. Taking a look at how we compare in terms of Hennepin County
jurisdictions and our tax rate. Again City of Chanhassen is among the lowest, not only just in
Carver County but across the entire metro. This is looking at a number of comparable tax
districts within Hennepin County. The average of all these being around 43 and City of
Chanhassen again the 23. This is based on the 2017 tax rates. The tax rates for Hennepin
County for preliminary for 2018 are not available so I left the, our 2017 as we didn’t have the
2018 preliminary rate available for all of these taxing jurisdictions so even from a 2017 tax rate
standpoint we are among the lowest amongst Hennepin County taxing jurisdictions. So before I
close and take any questions, one other thing I want to discuss this evening is our CIP and the
CIP document is discussed by the City Council and this year we did discuss it in October and we
also discuss it as part of our rate study process. The total CIP that staff is recommending for
approval this evening is $99,370,095. It’s important to keep a couple things in mind about the
CIP document. First of all of that $99 million roughly over half of that $99 million is
contributions from other taxing jurisdictions to help pay for public improvements within the city
of Chanhassen so it’s not as if the City of Chanhassen is planning on spending $99 million
dollars over the next 5 years on capital improvements. That is not the case I can assure you of
that. Secondly, another thing to keep in mind is the CIP document is a planning document only
and while the City Council is passing a total CIP dollar amount to pass, each and every one of
the items that you see in the CIP that is over $20,000 will come before the City Council again.
In particular any items in the CIP for 2018 that are over $20,000 will be discussed at a City
Council meeting sometime within 2018 and approval will be required based on the City’s
purchasing policy by the City Council to approve any of those purchases. Another key item to
keep in mind is that while this is a planning document, the City Council can and has the right to
change and purchase any of the items in a different year other than what they are currently
slotted in so an item that is currently slotted in 2018, if the City Council chose not to proceed
with that particular expenditure for whatever reason, they would not be required to do so. They
could push it back to whatever year they wished. An item that is currently in the CIP for 2019,
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Chanhassen City Council – December 11, 2017
’20, ’21 or ’22, if the City Council wished to proceed with the purchase of that item sooner than
what it is slated within the CIP the City Council can pull that item up and have it discussed at a
council meeting and pass as quickly as they wished so that could happen as soon as this spring if
they wished. I think one item in particular has garnered some attention so I’m going to kind of
review that item and give a little background on what staff discussed in terms of PK&T 139, the
Lake Susan Park ballfield lighting. At our previous work session discussion in October when the
City Council did discuss the CIP this item did come up for a brief discussion. It was a newer
item to the park dedication fund list of items to fund going forward into the future. There was
discussion at that work session meeting about which year to include it in. Whether that be 2018
or 2019. There wasn’t a clear consensus at that meeting as to which year it should be included
and staff at that point in time said temporarily at least we will keep it in 2018 which was the
recommendation of the Park and Recreation Commission at that point in time. Since then a
couple of items of note that have changed that I think are worth discussing. First of all the total
cost of the project did increase slightly for a total estimated cost of $305,000 of which the City
would be responsible assuming a park, assuming a CAA donation of $55,000 of $250,000 so that
number did increase slightly. The other thing staff wanted to do was to wait and see and check
out some of our expected expenditures and revenues that are coming into the park dedication
fund and this was also discussed at the time we discussed this item back in October and there is
some concern over the current fund balance that is within the park dedication fund and this
shows a history of the fund balance within the park dedication fund since 2008. You can see the
balance has been dwindling quite a bit over the last 10 years. Based on what we’ve received so
far in 2017 we’re estimating an ending fund balance at 2017 of around a half a million dollars.
Keeping PK&T 139 in 2019 and not 2018 would leave your reserve for 2018 estimated to be
about $420,000. If you were to put that item up into 2018 your reserve becomes roughly right
around $170,000. One of staff’s concerns is carrying a fund balance this low could result in any
changes in other currently planned on expenditures or any expenditures that are currently not
projected for 2018, should they change, become larger or if a different project funding increased
it’s importance in terms of when the City Council wanted to proceed with that project, having a
fund balance as low as $170,000 does not give the City Council a lot of flexibility in terms of
any changes they might wish to make in actual spending in 2018.
Mayor Laufenburger: Such as the opportunity to take advantage of an opportunity that comes
along or the requirement to do something unexpected. Whether it, I mean maybe it’s damage
from a natural disaster and we’d have to spend $200,000 to recover a park so that’s the, that’s the
safety net or the balance that you’re looking to protect, is that right?
Greg Sticha: Those are two of the reasons and you know another reason might be a projected
project that we have in 2018, let’s say it has a, we’re projecting it to cost $300,000 and the actual
bids come in at $500,000. Now you’re left in a situation where you’re going to be putting your
reserves into a negative for that fund so there’s a multitude of reasons why carrying a fund
balance as low as that could handcuff the City Council going forward into 2018. Staff discussed
this item internally and based on all of those reasons felt, at least from a planning document
standpoint. In other words where we put it within this planning document it was best to keep
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Chanhassen City Council – December 11, 2017
PK&T 139 in 2019. It gives you more flexibility. It doesn’t change the fact that you can’t
purchase those ballfield lights in 2018 because you certainly still could do so but from a planning
standpoint the most cautious approach would be to wait until, define it within this planning
document in 2019.
Mayor Laufenburger: Alright. Mr. Sticha what I believe you’re saying, if I can summarize,
council if you disagree with what I’m about to say you’re welcome to do so but what you’re
saying is, should the council choose to approve this CIP it neither prevents us from or means we
will put lights at Lake Susan in 2018.
Greg Sticha: Correct. That is correct. Whichever year it is in this document does not prevent
the City Council from doing it in a different year.
Mayor Laufenburger: Okay. But isn’t it also true that the, you have a motion in front of us here.
Or you have a staff recommendation. It’s possible that the council could elect to amend the
recommendation and move from 2019 into 2018 an expense of $300,000. 305? $305,000.
Greg Sticha: It absolutely could. It would not change the total dollar amount because this is a 5
year total.
Mayor Laufenburger: $99 million.
Greg Sticha: The only thing I would suggest is if they did wish to move it into 2018 they amend
this motion to include that verbiage to say with the moving of PK&T 139 to 2018 rather than
2019.
Mayor Laufenburger: Alright. One more question. You showed, can you go back to the
previous chart you had up there. You showed increases, yeah that spreadsheet. Right there. The
column that says increase, decrease and, oh let’s see revenues. You said revenues. Is there any
other source of revenues besides what you’ve projected here?
Greg Sticha: No and to be completely fair, the projection of $200,000 in 2018 is a relatively
conservative number but it’s also fair to point out that our $426,000 in revenues received in
2017, we didn’t receive almost all of it until the very late fall so from a cashflow standpoint it’s
not like on January 1, 2018 we will be receiving $200,000 of park dedication funds. We will not.
Mayor Laufenburger: Those come in as developments occur, is that correct?
Greg Sticha: Correct.
Mayor Laufenburger: Okay, and as development fees, park and recreation fees against those
developments. Is there any other source of revenues that could go into this park dedication fund?
Mr. Gerhardt you’re nodding your head. What would be some examples?
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Chanhassen City Council – December 11, 2017
Todd Gerhardt: Council has the authority to transfer monies. Excess revenue. If we do have
some at the end of the year.
Mayor Laufenburger: Surplus.
Todd Gerhardt: Surplus. You have a catastrophic fund that sits there that you haven’t accessed
for emergency purposes. Not recommending that you do that but you could. Trying to think of
other funds. There might be, you know a closed bond fund somewhere that might have some
excess money that you could transfer there. One of the other things is you could not build one of
your park shelters and use that $100,000 towards the lights and delay that, one of those park
shelters into a future year. Those are just ideas off the top of my head.
Greg Sticha: From an accounting standpoint a more, from an accounting treatment standpoint it
would probably be better to make an actual purchase into one of those other funds that Mr.
Gerhardt mentioned rather than bring money into the park dedication fund other than park
dedication revenue. You could do it but from an accounting standpoint and from what you have
set this fund up to do, keeping the revenue stream coming into this fund purely just park
dedication funds would probably make a little more sense but you could use any of those funds
Mr. Gerhardt said to pay for any of those things.
Mayor Laufenburger: Alright. Your, when I reviewed the CIP Mr. Sticha, and by the way if
anybody else has any questions you’re welcomed to raise those but, okay go ahead Mr.
McDonald.
Councilman McDonald: Well since I was the one that was interested in this and everything, at
the time you mentioned when we probably discussed we were also looking at the park study and
again everything started from the lights and a lot of what I’ve always been waiting for was an
answer to that question and what’s happened now, from what you told me I am perfectly fine
with waiting until the first of January and having this back on a work session to look at the
priority of this within the CIP. If there are other funds available but to address this issue at that
point. From what you’ve told me no matter what we do would make no difference as far as
where the money’s at because we have those options going forward to again shift things around
and move them and I believe that I would need to ask a lot more questions and need a little bit
more input but you assured me that at least if we wanted to change it in January we certainly
could if we could identify the funds or how we’re going to do it or what the impact would be if
we took something off of the park CIP or some place else. We would have a little bit more space
to evaluate that with. So you know based upon that I’m perfectly fine with going forward with
just the caveat that I would like to see this on a work session in January.
Todd Gerhardt: Mr. Mayor I can also add saying, Greg this one’s showing that 2018 is paying
for the lights.
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Chanhassen City Council – December 11, 2017
Greg Sticha: We’re buying them in 2018 and this is showing them buying them in 2019. So the
fund balance in 2018 goes from, if you buy them in 2018 it goes from 421 to 171. A little less
fund balance reserves available to you in 2018.
Todd Gerhardt: So in either of the two cases you still have a balance in that account so you
wouldn’t have to make any transfers of monies or buy the lights out of a different account. You
just because your expenditures in ’19 are $25,000 so.
Councilman McDonald: Well I guess I understand that but I also hear a little bit of reluctance on
staff’s point to draw the fund balance down that low and I would like to explore that a little bit
more and it’s just I’m saying we don’t need to do it tonight. A decision.
Mayor Laufenburger: It’s not a final decision.
Councilman McDonald: Right. It’s not a final decision. What you’ve told me is I can change
things in January if that’s what the council wants to do. We can move things around which is
why I’m saying as long as this is put on an agenda for January to give us time to look at this
because if we’re going to do the lights it’s got to be done before spring so that would give us
plenty of time to react if we’re going to do something. That’s, I’m perfectly fine with doing that
and from everything you’ve told me we can do that so we could address the issue when I think
we have more time to ask questions. To fully evaluate whether it comes from some other fund or
do we take it out of the park fund and if so what’s the impact of drawing it down so low. We
have more time which is what we would need to make a move such as this but it’s not imperative
that it be done tonight.
Todd Gerhardt: No and I agree with you Councilmember McDonald. I’m just saying if Greg is
concerned regarding accounting and tracking these in other funds, you know I’d rather see it
come out of the park dedication fund than trying to track it in other funds.
Mayor Laufenburger: And to Mr. Gerhardt’s point Mr. Sticha, it sounds like the best way to
account for these funds is to move that project into 2018 on the CIP. Did I hear you say that or is
that not true?
Greg Sticha: No.
Mayor Laufenburger: Not true?
Greg Sticha: No.
Mayor Laufenburger: Alright.
Greg Sticha: City Council can put it wherever they want in the CIP.
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Chanhassen City Council – December 11, 2017
Todd Gerhardt: It can be 18 or 19.
Mayor Laufenburger: Alright, but I thought I heard you say something about purchase it from a
different fund.
Greg Sticha: We can worry about that in January.
Mayor Laufenburger: Okay that’s accounting.
Greg Sticha: Yeah.
Mayor Laufenburger: I just, I want to repeat what Mr. Knutson tells us all the time. We can do
whatever we want.
Todd Gerhardt: That’s right.
Mayor Laufenburger: Just we have to be able to defend ourselves.
Roger Knutson: Almost.
Mayor Laufenburger: Almost anything, okay.
Councilman McDonald: Well now you’ve…
Todd Gerhardt: I’ve never heard almost before.
Mayor Laufenburger: I never heard that almost. You mumbled that under your breath. Just a
reminder in the CIP the items that are identified as 2018 projects, Mr. Hoffman I’m just going to
ask you to help make sure I say this right. Number one is an Arbor Glen trail anticipated to cost
$150,000. That’s the Arbor Glen trail which goes from Foxwood along 101 up to Arbor Glen, is
that correct?
Todd Hoffman: Correct.
Mayor Laufenburger: Number 2 is the Manchester Park for $125,000. That’s the park which is
right adjacent to the new west water treatment plant at the end of the cul-de-sac on Manchester,
is that correct? $80,000 identified for neighborhood park shelters. Are those new shelters?
Todd Hoffman: New shelters. The last 2 in the 5 year plan.
Mayor Laufenburger: Okay. And that also, does that need the transfer of funds that’s also.
Greg Sticha: I think you’re probably looking at total park expenditures.
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Chanhassen City Council – December 11, 2017
Mayor Laufenburger: Yes I am. $280,000.
Greg Sticha: Yeah, maybe look at the park dedication fund.
Mayor Laufenburger: Which is $300 dollars. $300,000.
Greg Sticha: Right, yeah.
Mayor Laufenburger: But I’m just, I’m trying to identify the projects that you have, you are
moving forward on. So Arbor Glen trail, Manchester Park, neighborhood park shelters and then
park benches and trees.
Todd Hoffman: Correct.
Mayor Laufenburger: Okay. So that’s a total of $380,000 which uses $300,000 of the park
dedication fund.
Todd Gerhardt: Right.
Mayor Laufenburger: That’s from the CIP Mr. Sticha.
Greg Sticha: Yep.
Mayor Laufenburger: Okay, I just want to make sure I’m reading that right. Okay.
Councilwoman Ryan: Mr. Mayor?
Mayor Laufenburger: Councilmember Ryan.
Councilwoman Ryan: So then let me ask this question with Mr. McDonald’s recommendation
and to be very clear I don’t, I’ve struggled with this light conversation for a number of years on
Lake Susan or Bandimere and what not but if the suggestion is to discuss this in January of 2018,
then why would we not move it into 2018 to have the conversation and then if we decide you
know look. This is not what we expect. This isn’t what we want to do this year then at that point
push it back to 2019.
Mayor Laufenburger: That certainly is an option that’s available to us.
Councilwoman Ryan: I mean based on a commitment from, and I don’t know what
conversations you’ve had Greg with the CAA in terms of them financing and their payment plan
so I mean that plays into the total amount if the cost is going to continue to increase. If it just
42
Chanhassen City Council – December 11, 2017
increased in the last 6 months how much more does it increase if this is really the plan that we
want to do in the next 2 years.
Greg Sticha: If council wanted to proceed with this project in 2018, staff would not recommend
financing it through the financing alternative that the CAA has. Staff would recommend signing
a contract with the CAA. The City would pay for all of the improvements and a contract would
have to be drafted and signed by the executive board of the CAA to make the installment
payments.
Mayor Laufenburger: Stipulating that they would make the payments.
Greg Sticha: Correct.
Councilwoman Ryan: Right, installment payments. I’m sorry.
Greg Sticha: Yep.
Councilwoman Ryan: Yep, installment payments of the, what is it? 19, 19 and 17.
Greg Sticha: Yep.
Councilwoman Ryan: So, and then that would change because if they’re anticipating paying in
December of ’17 I suppose that waits til January but I guess the question is, if this is a topic of
conversation for we wanted to have in January of this year, in ’18 then we should move it to ’18
with the thought that if we don’t get the information that we like or we feel that the fund is going
to be too low and we can extend that conversation, then at that point we move it back to 2019.
Mayor Laufenburger: Yeah.
Councilman McDonald: Well Mr. Mayor I would certainly support such a motion if it were to
come before the council. I think that does resolve a lot of the issues for the people who are here
tonight and it does kind of put it on the forefront for council to make that final decision.
Mayor Laufenburger: I would simply make this comment. Whether that item, that $300,000
item appears in 2019 or 2018 or 2020 or 21 or 22, in fact I might even say if that item doesn’t
even appear on the CIP the council can still talk about it can’t we Mr. Sticha?
Greg Sticha: Absolutely.
Mayor Laufenburger: Yeah so as Mr. Sticha made clear to all of us, this is a planning document.
This is not a purchase order and the council can act as they choose regarding this item. I’m
concerned about one thing and that is, I’m concerned that we are a 4 member council tonight, not
a 5 member council and I think that it’s important that we respect Mr. Campion’s presence in this
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Chanhassen City Council – December 11, 2017
so I would, I would not be opposed to any motion that you make. You know if you want to
make a motion I’m prepared to let the council decide on how we choose to act on that. But I’m
cautious that moving it to 2018, if that were to not get 3 votes that would, I think that would
unnecessarily send a message to these folks that are waiting that we don’t want to discuss it in
2018. Whereas if the motion was adopted as it is, Mr. McDonald has made it very clear, and I
think you would support that as well as would I that we can talk about it in January of 2018 after
we get a better picture of things like maybe surplus revenues. I don’t know. So I’m prepared to
let the council decide what they want to do. I just would, I’d prefer to have Mr. Campion
involved in any change to this budget because Mr. Campion did see this budget when he was
with us last week.
Councilwoman Ryan: Mr. Mayor if I could just make one.
Mayor Laufenburger: Go ahead, please do. Please do.
Councilwoman Ryan: And not out of disrespect of discrediting what Mr. Campion has to say
because obviously we all value what he does but then just the opposite view is if we move it to
2018 he can also say that he doesn’t support it when we have the conversation in January and
then we all decide to move it back in 2019. What I think by moving it to 2018 does, and not to
say that I support doing the lights or anything else but by moving it to 2018 it forces the
conversation to come up earlier than in the year than potentially having the topic of lights get
pushed back to later meetings so anyways if I’d make a motion.
Mayor Laufenburger: You’re certainly welcomed to do so. Do you want to put that motion up
here?
Todd Gerhardt: Mayor?
Mayor Laufenburger: Go ahead Mr. Gerhardt. Are you preparing your motion?
Todd Gerhardt: Mayor, council members. I would like you to make the motion that’s on the
screen.
Mayor Laufenburger: Make amendments as necessary.
Todd Gerhardt: Make amendments after that under discussion.
Mayor Laufenburger: Okay. And we can follow that process. I think that’s a good suggestion.
Let’s deal with this, this motion as it appears.
Councilwoman Ryan: And then at the end of the motion make.
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Chanhassen City Council – December 11, 2017
Mayor Laufenburger: Yeah I will manage that process and if somebody wants to make a motion
to amend this motion I’ll honor that and ask for a second, etcetera.
Councilman McDonald: Then Mr. Mayor I would make a motion on this motion. That staff
recommends adopting a 2018 final levy at $10,913,868 dollars and approves total general fund
expenditures of $11,203,600 dollars. It also approves the CIP for 2018 through 2022 in the
amount of $99,370,095 dollars.
Mayor Laufenburger: Okay, so this motion essentially reflects the documents that Mr. Sticha
included in the packets this evening. We have a motion. Is there a second?
Councilwoman Tjornhom: Second.
Mayor Laufenburger: Okay, thank you Councilmember Tjornhom. Now any discussion on this
motion?
Councilwoman Ryan: I’d like to make an amendment to the motion.
Mayor Laufenburger: And what is your amendment?
Councilwoman Ryan: My amendment is to move.
Todd Gerhardt: PKT 139.
Councilwoman Ryan: PK, I just had it up. PKT 139 from 2019 to 2018 in the amount of
$250,000.
Greg Sticha: It’s a total of $305,000.
Mayor Laufenburger: Yeah.
Greg Sticha: The City’s portion is $250,000.
Mayor Laufenburger: You don’t even need to put the dollar amount. You’re just saying PKT
139 so if I understand your motion is, your motion is to amend the original motion to reflect PKT
139 moved from planning 2019 to planning 2018. Is that correct?
Councilwoman Ryan: Yes.
Mayor Laufenburger: Okay. Is there a second to that motion?
Councilman McDonald: I’ll second that.
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Chanhassen City Council – December 11, 2017
Mayor Laufenburger: Alright, any discussion? All those in favor of the amendment moving
PKT 139 from 2019 planning to 2018 planning. Not changing the total amount of the CIP
signify by saying aye.
Councilwoman Ryan moved, Councilman McDonald seconded that the City Council
approve an amendment moving PKT 139 from 2019 planning to 2018 planning. All voted
in favor and the motion carried unanimously with a vote of 4 to 0.
Mayor Laufenburger: That amendment motion carries 4-0. Now we have an amended motion
reflecting the original motion modified by moving PKT 139 from 2019 to 2018. Is there any
discussion on that motion?
Resolution #2017-76: Councilman McDonald moved, Councilwoman Tjornhom seconded
that the City Council adopts a resolution establishing the 2018 final levy at $10,913,868 and
approves total general fund expenditures of $11,203,600. It also approves the CIP for
2018-2022 in the total amount of $99,370,095 with an amendment moving PK&T 139 from
2019 planning to 2018 planning. All voted in favor and the motion carried unanimously
with a vote of 4 to 0.
Mayor Laufenburger: Congratulations council, we have a budget and a levy and a CIP amended
for 2019. I want to thank all, thank staff and I also want to thank those present in the chamber
tonight for your patience. I appreciate your allowing us to continue this process as it’s
appropriately supposed to be handled. Okay. Let’s see, Mr. Sticha is there anything else we
need to do for you tonight?
Greg Sticha: That’s it.
Mayor Laufenburger: Alrighty.
ADMINISTRATIVE PRESENTATIONS. None.
COUNCIL PRESENTATIONS. ANNOUNCE RESULTS OF CITY MANAGER’S 2017
PERFORMANCE REVIEW.
Mayor Laufenburger: I have one item under council presentation I would like to speak to.
Council presentation J number 1. This is regarding the City Manager’s 2017 performance
review. Just a matter of record. Each year it is the City Council’s responsibility to review the
performance of our City Manager Mr. Gerhardt who is accountable directly to this council. It’s
my privilege to share the results of 2017 performance evaluation for City Manager Todd
th
Gerhardt. The City Council met in executive session on November 27 and on December 4,
2017 for purposes of reviewing Mr. Gerhardt’s performance for this past year. And then earlier
this evening council met with Mr. Gerhardt to provide our observations and our comments with
him directly. To begin each year the City Council, working with the city staff, establishes annual
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Chanhassen City Council – December 11, 2017
goals and strategies. These goals then become the work plan that City Manager Gerhardt
operates against throughout the year. Working with his various department heads and City
Council Mr. Gerhardt guides and coordinates these strategic initiatives along with the normal
operating of all aspects of city services for the entire community. So on behalf of the entire
council let me offer comments from these discussions to you Mr. Gerhardt. The City Council
has rated Mr. Gerhardt’s performance for 2017 as exceptional indicating that he consistently
achieves the highest level of performance in his duties and often achieves above the level
expected or anticipated results. Some of the key highlights of this past year, Mr. Gerhardt
continues to guide Chanhassen to the lowest tax rate in the county and the third lowest in the
combined counties of Hennepin and Carver. He continues to be a strong advocate and a
champion for Highway 101 and the up the bluff project. His perseverance on this issue with a
get ‘er done approach is winning favor where needed. He provides leadership in responding to
citizen’s concerns with significant updates to our ordinances. He and his staff have been diligent
in exploring the issues and making recommendations in accordance with direction from City
Council. He continues to guide and support our exceptional festivals and celebrations including
thth
the 50 anniversary of the incorporation of the City of Chanhassen conducted on May 9. Other
major activities include west water treatment plant. Fiercely advocating for Chanhassen’s share
of the countywide sales and wheelage tax increases adopted by the County. The completion and
adoption of the Park and Recreation System Plan. A creative and visionary design and financing
of both redevelopment and infrastructure updating of the downtown area. He also provides
continued leadership in the development of exceptional department heads at Chanhassen and
guidance to surrounding communities and city managers as well. Mr. Gerhardt your stable, calm
and responsive approach to the challenges that we face as a city and as a council is a solid anchor
of leadership in this developing community. Your advocacy isn’t for a pre-determined option
but for a fair and well considered review by your staff. I’m reminded that you don’t get a vote.
You work in support of all of us. You work for the winners. This year Mr. Gerhardt completed
st
his 31 year with the City of Chanhassen and has been City Manager since 2001. His
knowledge, experience and wisdom serve the citizens, the professional staff and the City Council
in a most effective manner. His judgment, his courage, his integrity, and his concern for others
are the cornerstone of his leadership. Congratulations on a great year Mr. Gerhardt and based
upon this evaluation and our discussions at this time I move that the City Council approve this
performance evaluation and a salary action for 2018 commensurate with the average increase of
the budget for 2018 which was approved just a moment ago. I would ask for a second to that
motion.
Councilman McDonald: I’ll second.
Mayor Laufenburger: Thank you Mr. McDonald. We have a motion and a second. Is there any
discussion or comments from council? All those in.
Councilwoman Ryan: I do.
Mayor Laufenburger: Councilmember Ryan, please.
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Chanhassen City Council – December 11, 2017
Councilwoman Ryan: Yes I do.
Mayor Laufenburger: I’m sorry I didn’t see your hand. Make sure the microphone’s in front of
your mouth.
Councilwoman Ryan: Sorry, I know. Wonderful comments Mr. Mayor. I also prepared a few, I
shared most of them today, or earlier this evening in our work session with Mr. Gerhardt but I
also wanted to share some of the sentiments that I put together as well. First Mr. Gerhardt I want
to thank you for all that you do for Chanhassen. I know you care deeply about the city. You are
respected by your staff and have a very strong relationship with all that work here in the city.
You’re extremely knowledgeable yet you still make a concerted effort to grow and learn for the
betterment of Chanhassen and that is very much appreciated. You put in countless hours. You
make yourself available to any and all people and you’re always willing to work through various
issues so again thank you and I appreciate it. My next few comments are items that I shared with
you earlier and we have discussed them before that it’s a growing concern of mine this past year.
I’m concerned that the City of Chanhassen took somewhat of a hit with their image this year.
I’m concerned that there is concern about the process on how decisions are made. That is not to
be confused with the final vote on any issue is that is not on you. That lies with the City Council
but I wanted to specifically talk about areas of improvement which again we talked about earlier
and those specifically are the strategic planning and communication pieces of it. Three things
really stand out in my mind when I look back at this past year. Number one is the way that our
agendas are set up. Stacking major projects into one, both at the Planning Commission and the
City Council and I’d like to see spacing between the meetings so we’re not piled up in one long
night. Different nights would have been worthwhile to give each of the projects it’s due time and
attention, both from a public standpoint as well as the council. The downtown vision study and
the Venue process. I know this continues to be somewhat of a thorny issue but as discussed
earlier we made the decision back in January of this year to make this our number one priority
and we’re still moving through the process while we voted on a major development right here in
our downtown area. I think that this particular item caused much concern for me but it also did
so for the residents. Brought on both concern and frustration in our community. When we
discussed this the other week as a council I was asked if this was solely your responsibility and it
isn’t solely your responsibility. I’m certainly not here to place blame but I do believe as a city
manager everything rolls up through you and you’re executing against a work plan which
includes both strategic planning and communication and that’s really where I ask for special
attention as we move forward to this next year. If the community doesn’t feel part of the process
then the perception is that the city isn’t listening and I think we do do a good job listening. I
would just like to when review process, as the Mayor had suggested in our work session tonight,
to come up with specific process plans to make sure that we’re inclusive and involved, having an
involved planning process going forward especially since we know that there’s going to be some
big projects and major initiatives rolled out this next year. While my total points when we went
through this review process didn’t come, came in a little bit lower than what the council’s
combined total had. Obviously I’m still going to support this as I support you because that’s
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Chanhassen City Council – December 11, 2017
how the review process works and I believe in what you’re doing. As I mentioned earlier Todd,
Mr. Gerhardt, I really appreciate and value what you do for the City of Chanhassen and
throughout our disagreements and discussions and debates sometimes over the phone I do value
that we have a great working relationship. We always maintain a good sense of humor and again
I appreciate all that you do so I just wanted to share my additional feedback.
Mayor Laufenburger: Thank you. Any other comments from council?
Mayor Laufenburger moved, Councilman McDonald seconded that the City Council
approve City Manager Todd Gerhardt’s performance evaluation and a salary action for
2018 commensurate with the average increase of the 2018 budget. All voted in favor and
the motion carried unanimously with a vote of 4 to 0.
Mayor Laufenburger: That motion carries 4-0. Mr. Gerhardt do you want to make any
comments?
Todd Gerhardt: No. The review process is what it is. It is to provide feedback on the positives
and also the negatives of how I manage this city and I appreciate both of those feedbacks and
you know nobody’s perfect and we always try to strive to be the best that we can and I cannot
tell you how proud I am of the department heads that we have for this city. With most of them
having over 10 years of service with this community and I think we have mentioned this to the
City Council. We have 75 full time employees for the City of Chanhassen. In the last 2 ½ years
we’ve replaced half of those employees and you have not seen a down grade in service and the
services that the City provides to it’s residents and credit goes to each of those departments that
have helped coach those new employees. Educate them on our processes and keep providing the
great service that our community survey gives us feedback on. And also the community survey
that we did see the results this year were up and above previous surveys that we’ve done in the
past and I’m very, very proud of all those community surveys. Hesitant to do anymore of them
because of the rankings, can’t imagine them being any higher than what they are but we need
that feedback, good or bad or indifferent and I want to thank the Mayor and all the City Council
for their support this past year and look forward to establishing our 2018 goals and strategies and
it’s always a fun process and I’m always surprised at the end of the year. I submit a work plan to
Mayor and council and how much we get accomplished each year and you should also be proud
of that. A lot of credit goes to the great staff the city has behind me so with that thank you for all
the kind comments and the feedback and look forward to 2018.
Mayor Laufenburger: Alright, thank you Mr. Gerhardt. Any other administrative presentations?
Todd Gerhardt: No. Not at this point.
Mayor Laufenburger: Alright. Well I’m going to exercise my prerogative to just to make a
couple comments. This is the last regularly scheduled council meeting for 2017. We do have a
special session we’ve called for next Monday to deal with a single item but in concluding the
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Chanhassen City Council – December 11, 2017
year I just want to say thank you to all the citizens who have engaged in any way in this
community in the past year. Whether it be civic organizations. Neighborhoods. Athletic
associations. Youth associations. Commissions. Council meetings. When you engage in this
community we are a better community so on behalf of this council I wish you happy holidays. I
wish you a prosperous new year and come to Chanhassen. We have a lot to offer. We are open
for business. Homes available in Chanhassen so to all of you invite your friends, family,
th
neighbors and make 2018 not only an exciting 50 anniversary for Chanhassen Dinner Theater
but let’s make it an exciting year for all of Chanhassen and with that I would ask for a motion to
adjourn.
Councilwoman Tjornhom moved, Councilman McDonald seconded to adjourn the
meeting. All voted in favor and the motion carried unanimously with a vote of 4 to 0. The
City Council meeting was adjourned at 9:25 p.m.
Submitted by Todd Gerhardt
City Manager
Prepared by Nann Opheim
50