CC WS 2020 10 12CHANHASSEN CITY COUNCIL
WORK SESSION
OCTOBER 12, 2020
Mayor Ryan called the work session to order at 5:00 p.m.
COUNCIL MEMBERS PRESENT: Mayor Ryan, Councilman McDonald, Councilman
Campion, and Councilwoman Coleman
COUNCIL MEMBERS ABSENT: Councilwoman Tjornhom
STAFF PRESENT: Heather Johnston, Jake Foster, Kate Aanenson, Charlie Howley, Greg
Sticha, and Jerry Ruegemer
CHANHASSEN APARTMENTS TIF DISCUSSION
Kate Aanenson provided background information on this item. Todd Simning explained the
work that has been done between his group and Ehlers and Associates, the City’s Financial
Advisor. Councilman McDonald asked for clarification on the criteria being used to determine
affordable housing rates. Mayor Ryan asked for clarification on Todd Simning’s involvement in
the project. Councilman Campion noted that he felt better about the project after seeing the
report from Ehler’s and Associates. Mayor Ryan asked for clarification on the amount of time
TIF is used, the impact on property taxes, and challenges involved with developing this site.
A short recess was taken at this point in the meeting.
SNOW AND ICE REMOVAL POLICY UPDATE.
Charlie Howley and Jerry Ruegemer presented the staff report on this item. Councilman
Campion expressed concern with eliminating maintenance of ice skating rinks on weekends and
holidays. Councilman McDonald asked for clarification on the policy regarding who clears
snow off sidewalks and trails, the policy for educating the public of the changes being made,
effect of not maintaining ice skating rinks on the weekends, plowing cul-de-sacs, and the policy
regarding damage to resident’s personal property. Councilwoman Coleman asked about
educating residents about the safety concerns with stacking snow in the middle of a cul-de-sac,
and the policy regarding snow removal in townhouse associations. Councilman Campion
reiterated concerns with changes of not maintaining ice skating rinks on the weekends and the
possibility of reallocating the schedule to not maintain during the week so they can maintain ice
skating rinks on the weekends. Mayor Ryan expressed agreement with the increase in
reimbursement for property damage, clarification on the use of proper equipment, concern with
the prioritization map for snow removal, concern with the changes being proposed for snow
removal on trails and maintenance of ice skating rinks on the weekends.
City Council Work Session – October 12, 2020
2
REVIEW OF 2021-2025 CIP.
Greg Sticha presented the staff report for this item. In discussing the park dedication fund
Mayor Ryan struggled with the items listed in 2025 because there is no funding source available.
Heather Johnston explained that items need to be listed on the CIP for when grant opportunities
become available. Greg Sticha continued discussing the park replacement fund which will run
out of it’s funding source in 2021 and that a new permanent funding source needs to be found for
2022. Councilman McDonald asked for clarification of the funding source for this program and
explained his concern with having no identified funding source except for increasing the levy.
Councilman Campion asked if items listed on the CIP could be flagged with an asterisk as being
a need but with no funding source available. Greg Sticha stated staff could create a column of
unfunded projects category in the park dedication fund. Mayor Ryan reiterated her concern with
moving forward with approving the CIP having no identified funding sources for projects in the
park replacement fund and park dedication fund. Councilman McDonald expressed his concern
with moving forward with new staff leadership and new council that this CIP document reflects
an inaccurate picture. Heather Johnston explained that staff can have additional conversations on
reworking this document. Greg Sticha continued with his presentation regarding street and
utility projects.
Mayor Ryan recessed the work session at 6:55 p.m. The work session was reconvened at
7:55 p.m.
CONTINUE DISCUSSION OF THE 2021-2025 CIP.
Greg Sticha continued discussion of items included in the equipment fund, showed a graph
outlining spending, projected reserves in that fund and the need to increase the levy in 2022.
Councilwoman Coleman asked for clarification on the Maple Room kitchen update. Mayor
Ryan commented on her frustration concerning bubbles occurring and the need to increase the
levy in multiple funds which shows the importance for a long term financial planning document.
Councilman Campion asked for clarification on the software purchases. Councilman McDonald
commented on his disappointment that he feels like the council has come to the edge of the cliff
and the need to either jump or face the charging buffalo. Greg Sticha explained that the City of
Chanhassen has the lowest tax rate in the Twin Cities so there is room to address some of the
CIP needs with incremental increases in the future. Mayor Ryan reiterated the commitment to
long term financial planning in 2021.
REVIEW OF ENTERPRISE OPERATING FUND BUDGETS AND SPECIAL REVENUE
FUND BUDGETS.
Greg Sticha reviewed funding sources and expenditures for the individual enterprise operating
fund budgets and special revenue fund operating budgets. Mayor Ryan asked if the City has any
negotiating power with Met Council Environmental Services (MCES). Charlie Howley
discussed current I/I charges with MCES and Sewer Access Charges (SAC) and discussed
City Council Work Session – October 12, 2020
3
options for addressing I/I issues with private residential properties by implementing mandatory
inspections. He also discussed improvements made by the Met Council to their sewer lines to
help address I/I issues and how they meter flows. Greg Sticha continued with discussion of the
surface water management fund, the stormwater fund including maintenance of stormwater
ponds which will be discussed by Ehlers and Associates when they come in with the rate study.
Councilman McDonald asked about collecting an inventory of stormwater ponds in the city.
Greg Sticha reviewed the big picture of the city’s overall spending for items included in the
enterprise and special revenue funds. Mayor Ryan asked for clarification on items listed on
utility bills regarding franchise fees and associated sales tax.
Mayor Ryan adjourned the work session meeting at 9:00 p.m.
Submitted by Heather Johnston
Interim City Manager
Prepared by Nann Opheim