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CC WS 2020 02 24CHANHASSEN CITY COUNCIL WORK SESSION FEBRUARY 24, 2020 Mayor Ryan called the work session to order at 5:30 p.m. COUNCIL MEMBERS PRESENT: Mayor Ryan, Councilwoman Tjornhom, Councilman McDonald, Councilwoman Coleman, and Councilman Campion STAFF PRESENT: Todd Gerhardt, Jake Foster, Charlie Howley, Todd Hoffman, Greg Sticha, and Adam Beer PUBLIC PRESENT: Michael Rainville Meet Minneapolis Joel Rainville Chanhassen Dinner Theater Vernelle Clayton Buy Chanhassen Jim Boettcher 7476 Crocus Court Matt Kutz 1080 Lyman Court Lucy Haukoos 7561 Great Plains Boulevard KEY FINANCIAL STRATEGY: LODGING TAX MEETING FOLLOW UP. Vernelle Clayton provided an update on the work conducted by Buy Chanhassen before introducing Joel Rainville with the Chanhassen Dinner Theater and Michael Rainville with Meet Minneapolis. Joel Rainville discussed the idea of marketing Chanhassen with the formation of a destination marketing organization having one contact person to market attractions and hotels. Vernelle Clayton discussed Buy Chanhassen’s work in updating their budget and bylaws. Councilwoman Coleman asked who would supervise this person’s workload. Councilman McDonald discussed his hope that this person’s job would be to work with local businesses to present a package outlining what amenities the city has to offer. Councilwoman Tjornhom explained that she just typed in Chanhassen and reviewed the information that was brought up by Trip Advisor so wondered what difference having a contact person would make. Councilman Campion asked about a targeted amount to fund this position. Vernelle Clayton discussed the anticipated budget for revenue and expenses to sponsor this position. Mayor Ryan asked Michael Rainville to discuss how Meet Minneapolis fits into this marketing efforts for a 2 to 3 year period of time to help get the destination marketing organization started. Mayor Ryan asked what the advantage is for using this marketing tool versus Paisley Park, Landscape Arboretum and Chanhassen Dinner Theater doing their own independent marketing. Councilman McDonald discussed the need for this organization to promote people staying 2 to 3 days to visit multiple destinations in Chanhassen. Mayor Ryan asked Vernelle Clayton to discuss what information she would bring back to a meeting in April before asking council members for feedback on how to proceed. After comments from council members it was decided to move forward to gather City Council Work Session – February 24, 2020 2 more information, noting a letter of support or representatives from the hotels at the next meeting would be helpful. Councilwoman Tjornhom requested that information be provided to council members prior to the next work session in April. DISCUSS CHANHASSEN HISTORICAL SOCIETY’S USE OF OLD VILLAGE HALL. Todd Gerhardt explained that after discussions with the historical society they are willing to provide $2,000 a month to go towards the use of old village hall noting it would be his recommendation to accept their proposal to help with upkeep and maintenance of the old village hall building. Mayor Ryan discussed the process the historical society has gone through in coming up with this proposal for a partnership with the City that will be re-evaluated in 2 years. Councilwoman Tjornhom fully supported the proposal. Councilman McDonald explained that he still has concern and would like to see the historical society be fully self sufficient. Council members voiced support for this project with review in 2 years and asked the Finance Director to prepare contract documents. KEY FINANCIAL STRATEGY VARIOUS PARK RELATED GOALS. Todd Hoffman discussed possible funding sources and timeline for work at Lake Ann Park expansion. Greg Sticha reviewed financing options to fund the Lake Ann expansion i.e. referendum, tax abatement program, interfund loan, or bonding. Councilwoman Tjornhom asked for clarification on timing for the different financing options. Todd Hoffman continued outlining points identifying the need for a community center to include a pool, building a splash pad at Bandimere Park with permanent bathrooms, and upgrading permanent restrooms at major city parks. Mayor Ryan explained that she received a message from the CAA stating they are willing to donate $30,000 towards restroom improvements at Lake Ann Park. Todd Hoffman continued discussion with the need for two covered indoor hockey rinks. Mayor Ryan explained that this is a difficult discussion item because it will include tax increases. Councilman Campion stated his initial thought would be to have the Lake Ann Park trail expansion as a priority and the possibility of commercial partnerships with some of the other projects. Councilman McDonald asked about community support and would agree with proceeding with the Lake Ann Park trail expansion. Councilwoman Tjornhom concurred with the priority of the Lake Ann park expansion sooner than later but noted it is too early to discuss funding options. Councilman Campion asked about the feasibility of phasing options for construction of Lake Ann. Mayor Ryan agreed with the need to receive public feedback on how to proceed with these various projects. Todd Hoffman noted that the current community survey is asking two questions related to park projects. Councilwoman Coleman agreed with the need to get public feedback. Mayor Ryan asked staff to bring back a schedule to further discuss this item. Greg Sticha discussed the impact of issuing bonds, for every $5 million dollars issued there is an associated levy of about $300,000 or $30 per home. Mayor Ryan adjourned the work session meeting at 6:55 p.m. City Council Work Session – February 24, 2020 3 Submitted by Todd Gerhardt City Manager Prepared by Nann Opheim