CC WS 2018 11 13
CHANHASSEN CITY COUNCIL
WORK SESSION
NOVEMBER 13, 2018
Mayor Laufenburger called the work session to order at 5:23 p.m.
COUNCIL MEMBERS PRESENT: Mayor Laufenburger, Councilwoman Tjornhom,
Councilman McDonald, Councilwoman Ryan, and Councilman Campion
STAFF PRESENT: Todd Gerhardt, Chelsea Petersen, Kate Aanenson, Paul Oehme, Todd
Hoffman, and Greg Sticha
PUBLIC PRESENT:
Scott Jesse 8198 Stone Creek
Albert Xiao 9522 Roosevelt Drive
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Michelle Swanson 5309 West 70 Street, Edina
Tom Morgantini 1108 Village Road, Chaska
Andrew Felton 1430 Heron Drive
Dustin Morgantini 1108 Village Road, Chaska
Cole Rogers 1100 Lyman Court
Conor Maguire 8520 Rhoy Street, Victoria
Burke Jahn 945 Bavaria Hills Lane
FRANCHISE FEE DISCUSSION.
Greg Sticha reviewed results of surveying neighboring communities and key financial strategy
cities regarding franchise fees, tax impact on commercial properties if the City used a general
fund levy, clarification of the revolving assessment fund results regarding the use of $1.9 levy,
and comparisons of levying for 7 years for $1.7 million, $1.8 million, and $1.9 million. Greg
Sticha reviewed staffs discussions with utility companies noting they would be comfortable with
Option #3 for $1.76 million before explaining impacts on commercial properties. He asked for
direction from City Council on how to proceed.
Scott Jesse, Leader of Boy Scout Troop #330 stated the boy scouts were present to observe how
city government works. Mayor Laufenburger explained how a work session operates as
compared to a regular City Council meeting.
Mayor Laufenburger continued by asking council members for any questions regarding the
information that was presented. Michelle Swanson with Xcel Energy stated that Option 3 would
be acceptable. Mayor Laufenburger directed staff to prepare for a public hearing on November
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26 using Option 3 with anticipation of action of approval or denial at that meeting. Council
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members expressed support for holding a public hearing on November 26 and the 70 PCI as a
City Council Work Session November 13, 2018
target goal.
that staff present information at the public hearing regarding if nothing is done. Jim Strommen
discussed implementing franchise fee agreements with Xcel Energy and Minnesota Valley
Electric. He explained that an agreement already exists with CenterPoint Energy. Mayor
Laufenburger asked staff how the public will be notified of the public hearing. Councilwoman
Ryan asked about clarifying the verbiage regarding franchise fees being used for the pavement
management program versus the cityright-of-way.
REVIEW ANNUAL RATE STUDY.
Greg Sticha explained that the city performs an annual utility rate analysis before introducing
Jessica Cook with Ehlers and Associates who reviewed the results of the key findings from the
utility rate analysis and
infrastructure upgrades and maintenance needed in the future and the projected rate increases to
achieve that. Councilwoman Ryan asked for clarification on the number of ponds being
maintained each year. Jessica Cook continued with presentation of water and sanitary sewer
CIP, bill comparison with key financial strategy cities, impact on fund, and hook-up fees. Mayor
Laufenburger asked how hook up fees compare to surrounding communities. Jessica Cook
reviewed what a utility bill looks like for the average customer before reviewing a summary and
next steps. Councilwoman Ryan asked for a comparison of utility rates with key financial
strategy and southwest cities.
KEY FINANCIAL STRATEGY: SANITARY SEWER INFLOW/INFILTRATION
REDUCTION PROGRAM.
Paul Oehme reviewed sewer system infrastructure, definitions, problems associated
with I/I, the Ca map showing where sewers have been inspected
and repaired since 2006, MCES surcharge program, MCES I/I program, and reviewed a graph
showing yearly MCES sewer flows since 1991. He explained that it is sn to
continue with current practices.
PERFORMANCE EVALUATION.
Todd Gerhardt discussed his email to council members outlining his 2018 work plan and
schedule for review. He asked that evaluations be sent to Mayor Laufenburger who will tabulate
the results.
Mayor Laufenburger adjourned the work session at 7:05 p.m.
Submitted by Todd Gerhardt
City Manager Prepared by Nann Opheim
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