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1i Rural Service District CITY OF CHANIlASSEN 7700 Market Boulevard PO Box 147 Chanhassen, MN 55317 Administration Phone: 952.227.1100 Fax: 952.227.1110 Building Inspections Phone: 952.227.1180 Fax: 952,227.1190 Engineering Phone: 952,227.1160 Fax: 952,227.1170 Finance Phone: 952.227.1140 Fax: 952.227,1110 Park & Recreation Phone: 952.227,1120 Fax: 952.227,1110 Recreation Center 2310 Coulter Boulevard Phone: 952.227.1400 Fax: 952.227.1404 Planning & Natural Resources Phone: 952,227.1130 Fax: 952.227.1110 Public Works 1591 Park Road Phone: 952.227.1300 Fax: 952.227,1310 Senior Center Phone: 952.227.1125 Fax: 952.227.1110 Web Site www.ci.chanhassen.mn.us 1/ MEMORANDUM TO: Todd Gerhardt, City Manager FROM: Bob Generous, Senior Planner o~ June 12,2006 *' DATE: SUBJ: Modification to the Rural Service District PROPOSAL SUMMARY The City is divided into an urban service district and a rural service district, constituting separate taxing districts for the purpose of all municipal property taxes except those levied for the payment of bonds and judgments and interest thereon. Within the rural service district regulations, the ratio that exists between the benefits resulting from tax supported municipal to parcels in the rural service district to parcels in the urban service district (75). Rural service properties are therefore taxed for municipal 75 percent of the rate used for other properties. BACKGROUND Carver County has requested that the City review service district todetermine ifany properties City must submit any revisions to the rural The City has notified all properties classified City review and potential ACTION REOillRED City Council approval requires a On August 23,2004, the that..werelocatednorth service available to them. On October 27, 2003, the Chanhassen section 2-32 of the ChanhassenCity Code At that time, City Council did not act on properties in the Rural Service Distri.ct. to District. In 1995, the City created a task changes to the rural service district properties. task force consisted of Steven Berquist, Gayle and Klingelhutz. A rural service district list of parcels was approved on November 27, 1995. The City 01 Chanhassen . A growing community with clean lakes, quality schools, a charming downtown, thriving businesses, winding trails, and beautiful parks. A great place to live, work, and play, Todd Gerhardt June 12,2006 Page 2 of3 The Rural Service Task Force recommended that those properties within the MUSA that are still primarily farmed be retained under the rural service designation. They reasoned that these properties are undeveloped and therefore are not benefited to the same degree as other lands by municipal services financed by general taxation as developed properties are. When these properties are developed, then they should and will be removed from the rural service district. DISCUSSION The following 22 properties are currently designated as rural service district properties: PID Number Owner 25.0262110 25.0262120 25.0270400 25.0340400 25.0350110 25.0350500 25.0361800 25.0361900 25.1550020 Halbert A Noterman Trust & Peterson Farm Holding No.2, LP Dean & Lois Degler GMAC Model Home Finance, Inc. * Gayle & Lois Degler * Fox Properties, LP Dorsey & Dorsey Jeffrey A. & Terri L. Fox NDI Minnesota LLC, c/o Hovstone Properties MN, LLC * Schutrop Building & Development Corporation * David R. Teich G&M Laurent Family, LP Peterson-Jacques Farm Land Co., c/o Severin H. Peterson * John D & Durene Klingelhutz, c/o Klinglehutz Development Company Klingelhutz Development Company Klingelhutz Construction Company John Klingelhutz, c/o James W. Heisel Scott Bertas & Emerald Ventures, LLC Emerald Ventures, LLC Harold F. Hesse Peterson Farm Holding #3, et al Peterson Farm Holding No 3, LLP Timothy A. & Dawne M. Erhart 25.0020200 25.0220800 25.0221300 25.0221400 25.0230300 25.0230400 25.0230500 25.0232300 25.0242900 25.0253900 25.0260600 25.0262000 25.0262100 Staff recommends that those properties in the list which have an asterisk (*) behind them be removed from the list since they are in the Metropolitan Urban Services Area, are being served by sewer and water service as part of the 2005 MUSA area utility expansion, or were included in a MUSA expansion approved by the City, and have received subdivision approval from the City. The code states that "Rural in character" specifically does not include property served by public sewer or water, tree farms, nurseries, hobby farms, and property whose principal use is residential. Todd Gerhardt June 12, 2006 Page 3 of 3 RECOMMENDATION Staff recommends that City Council adopt the attached Resolution removing properties from the rural service designation. ATTACHMENTS 1. Resolution. 2. Map of Rural Service Properties. g:\plan\bg\city code\ruraI service district\ruraI service memo june 2006.doc CITY OF CHANHASSEN CARVER AND HENNEPIN COUNTIES, MINNESOTA DATE: June 12. 2006 RESOLUTION NO: 2006- MOTION BY: SECONDED BY: A RESOLUTION REMOVING PROPERTIES FROM THE RURAL SERVICE DISTRICT WHEREAS, the City of Chanhassen has established rural and urban service districts; and WHEREAS, properties within the Metropolitan Urban Services Area are, or can be, served by sewer and water service; and WHEREAS, the City of Chanhasseri must determine those properties which shall be located within the rural service district; and WHEREAS, properties that have received approval from the City for subdivision purposes may no longer be considered rural. NOW, THEREFORE, BE IT RESOLVED that the Chanhassen City Council hereby specifies the properties in Exhibit 1 be removed from the rural service district. Passed and adopted by the Chanhassen City Council this 12th day of June, 2006. ATTEST: Todd Gerhardt, City Manager Thomas A. Furlong, Mayor YES NO ABSENT EXHIBIT 1 LIST OF PROPERTIES TO REMOVE FROM THE RURAL SERVICE DISTRICT June 12,2006 Pill Number Owner 25.0221300 25.0221400 25.0232300 25.0242900 25.0262000 GMAC Model Home Finance, Inc. Gayle & Lois Degler NDI Minnesota LLC, c/o Hovstone Properties MN LLC Schutrop Building and Development Corporation Peterson-Jacques Farm Land Co., c/o Severin H. Peterson, Jr. g:\plan\bg\city code\rural service district\rural service district resolution 2006.doc ), <) ,/ v CITY OF CJJlNlJA8SEN 7700 Market Blvd PO Box 147 Chanhassen, MN 55317 952-227-1100 Rural Service District Lots Legend N t Keep Remove File: G:\Eng\Joleen\Planning \Bob\Rural Service Dist. Date May 31,2006