EDA 1995 11 16FILE COPY
(Appr~iation Dinner Villi Be S~rv~xi at 7:00 in the Council ~)
AGENDA
HOUSING AND REDEVRI.OPMENT AU'I~ORITY
THURSDAY, NOVEMBER 16, 1995, 7:30 P~M.* (Not~ Time Change)
CHANHASSEN CITY HALL, 690 COULTER DRIVE
CALL TO ORDER
1. Approval of Oeto~ 19, 1995 Minutes
VISITOR PRESENTATIONS
Anyone wishing to address the I-IRA may do so at this time.
NEW BUSINESS
e
Consider possible locations for the old railroad depot.
Presentation by Michael Schroeder
OLD BUSINESS
.
Consider award of bid for landscaping and lighting improvement for the
Pede.qfian Bridge.
4. Consider approval of 1996 Budget.
5. Approval of Bills
PRESENTATIONS
CHANHASSEN HOUSING AND
R~~OPMIi2~ AUTHORrrY
REGULAR btR~fiNG
OCTOBER 12, 1995
Chairman Boyle called the meeting to order at 7:00 p.m.
MEMBERS PRESENT; Gary Boyle, Charlie Robbins, Don Chmiel, Mike Mason, and Jim
Bohn
STAI~' PR~'~ENT: Todd Gerhardt, Asst. Executive Director
APPRQVAL OF MINUTES; Mason moved, Bohn seconded to approve the Minutes of the
Housing and Redevelopment Authority meeting dated Ootober 18, 1995 as presented. All
voted in favor, except Robbins who abstained, and the motion carried.
VISITOR PRESENTATIONS: None.
PRF~ENT 1996 BUDGEr.
Todd Gerhardt presented the staff report on the 1996 Budget.
Boyle: If we identify these, are these all, the bonds we sold for the improvements, are most
of them, did you say street improvements?
Gerhardt: Most of them are the West 78th Street improvements. Parking lots. The West
78th Street storm pond. Traffic signals out onto Highway 5. Lake Drive between CR 17 and
TH 101. The TH 101 project, north and south leg.
Bohn: I have a question about the north TH 101. That runs through where that apartment
building was, and that apartment building was not in the lIRA district.
Gerhardt: That's correct.
Bohn: So where is, the money that was spent for, out of that road was not in our district.
Gerhardt: Those were monies that came out of, if you remember we went back to the
legislation and we got special funding to extend that economic development district for a 2
year period, which was The Press, the DataServ.
Bohn: Redmond Products.
Gerhardt: I don't know if Redmond was in thoro.
Housing and Redevelopment Authority - October 12, 1995
Bohn: And you included, and ABC Building Products.
Gerhardt: Yeah. Those buildings, the increment created from those buildings were solely to
be used for the construction of that north leg project. But if you remember, you still brought
TH 101, the north leg down along Jerry Schlenk's home and connected into Great Plains in
that area So it's a combination of HRA and economic development.
Bohn: Because that economic development wasn't part of us.
Gerhardt: That was City Council.
Bohn: Right.
Boyle: We interrupted you Todd.
Todd Gerhardt continued on with his staff report.
Bohn: I have a question about those bonds. Are any of those ones that were referred to in
the paper about being sold?
Gerhardt: The bonds, while they're not really bonds. They're investment certificates...that are
in the city's investment portfolio and the most volatile ones, there's two of them that we went
back to City Council and asked the City Council if we could sell those and gave thom
different alternatives and some forecasts on what could happen if interest rates go up and
down. And we felt at this time that it was in the best interest of the city to sell two of those
most volatile that really fluctuated with interest rates. If interest rates go up less than a
quarter of a percent, that affects our revenues on both sides. So with that we asked the City
Council to authorize staff to sell two of those issues because we felt that with the interest
earnings and how they sat today, that we were plus a million dollars on those issues from the
date that they were in the city's portfolio.
Bohn: Is that HRA money?
Gerhardt: It is money that was derived off of the sale of lands in the downtown area. That is
money derived from the interest earnings off of tax increment and those monies that are
earned off of those different areas are the responsibility of the City Council. Your sole
responsibility is to work with tax increment money. Not the interest earnings off of tax
increment. That's money that goes into the general fund and the general fund is run by the
City Council. And that's what created the historical trust district, which is the responsibility
of City Council to distribute.
Housing and Redevelopment Authority - October 12, 1995
Boyle: That's Fund 460 or the master fund?
Gerhardt: 460 is the master fund of tax increment that you're responsible for. What we call
the historical trust district is 800, which is the responsibility of the city.
Boyle: I'm a little confused. It says recognizing that Fund 460 is the parent fund, all tax
increments are receipted into this master fund. And what you just said, I didn't understand it
I guess. What comes back into the HRA parent fund or master fund?
Gerhardt: The increment that is derived off of all the businesses that are within the tax
increment district. And what, the lands on the Tires Plus and Applebee's deal, that money
will go into that historical trust and the interest earnings Off Of that money will help facilitate
the operation of the historical trust.
Boyle: Can you explain historical
Gerhardt: Historical trust are the monies derived off of the interest earnin~ on our tax
increment. The interest earnings off of land sales. So when we get our $5,150,000.00 worth
of tax increment, we stick it over into Chan Bank and we earn 5%-6% on that: The interest
earnings on that money is called non-tax increment money and that then tums, that money is
the responsibility of the City Council because it's non-tax increment. So that goes into that
historical trust.
Boyle: Okay.
Bohn: If we buy land with lIRA money, and we sell it, we don't get the money back?
Boyle: Yes, go ahead.
Gerhardt: You derive your money that paid off buying that land is through the new taxes
generated on that. A perfect example is Target. You went in and bought the land from
Target for, I think it was $2 million. And then you turn around and you collect $300,000.00
a year in increment to pay off the bonds of buying that land.
Boyle: Once that's paid off, where does the revenue from that go then? To the city? Once
the bond is paid off.
Gerhardt: Once the bonds are paid off, then wdve been monitoring that over the years.
Where bonds go out to the life of the district so we take those monies and start paying off
Housing and Redevelopment Authority - October 12, 1995
other bonds. All this debt you're taking on. Building demolition. Acquiring land. Like tho
Taco Bell. The Red-E-Mix site. You sold bonds to buy those things.
Boyle: So once one bond is taken care of, the revenue then that comes in from Target can
help pay off other bonds that the H, I got you. Charlie, you wanted to say something.
Robbins: Well just about 3 more general questions in terms of more of the accountant in mo
that asks this. Terms of the general property tax revenue. In other words, where tho money's
going to come in. Whether it be a '95 budget or '96 is irrelevant. It's more, obviously we
must have something of where the $5.7 million came from as far as the projects that we have
in line that ultimately culminate what that number is. Now if a project changes or it does not
get completed, how drastic would that impact these numbers? For example, I assume that
that part of the $5.7 million comes from, for an example Target or Taco Bell or some project
that's been done in town here. So there must be a make-up of what made that val. That's
one question. And then if you could kind of walk it through in terms of, we take in the
revenue, which obviously is the tax. You've got transfer to debt service.of $3.7 million. I'm
just trying to tie out the expenses to a bottom line, in more of an accounting fashion saying
you've got money coming in. You've got cost of goods. You've got all your expenses.
Bottom line. Retained eamings. And I'm trying to fie out the total debt service of these
numbers over here to page 1, and I don't see where they do anything.
Gerhardt: Well it's kind of difficult to fill you in...debt study. We usually have Don come in
in November-December and he presents the debt analysis. It gets into more of the detail of
your bonds versus your revenues and I mean this is a simplistic way of showing how your
debt service is working but Don has tied in where he's forecasting your figures out to the end
of the district and we're updating that right now. To answer that question, it'd be better to do
it at your next meeting when we present the debt analysis and show you what, you always
want to know what your bottom line is. How much money you have in reserve. And to
answer your first question, that's the thing that you read in the paper and we send over to,
you read a couple weeks ago. We were concerned that the HRA couldn't come in and fund a
library and the senior center and buy the land out in front because tho commercial devaluation
of property. This $600,000.00 should be much more than that. Increase from last year.
You've got Instant Webb, United Mailings, Victory Envelope file tax abatements and have
reduced their taxes to the rune of $150,000.00. When you take that $150,000.00 off of those
three buildings, you don't think it sounds like a lot. When you take it times 8 years, you're
talking a lot of money. I mean you're up over a million dollars. And Paisley Park is another
example. They filed a tax abatement and got their valuation lowered by about a million
dollars. And that impacts you about to the tune of about $80,000.00 a year. You take that
times the rest of our district, it makes an impact of what we were doing in our forecasting
and you don't have minimum market values in these buildings so they can go in and file
Housing and Redevelopment Authority - October 12, 1995
those. We met with the County Assessor and saying you know, if you're going to bring
somebody down, you've got to bring somebody else up to stay on an even playing field on
this. But there's been so many comps and there's been so many attorneys out here pu_shing
for their tax services to go in and fight these things, it's just been real difficult. And all they
need is one sale to go into this tax court and fight this.
Boyle: So in essence Todd, that $5.8 million is, it's a projection that assumes that we're not
going to get all of the money. That they're going to be devaluated and we're going to receive
less taxes. I mean is that correct in summary?
Gerhardt: Well it should be higher.
Boyle: Okay.
Gerhardt: I mean it should be up in the 6 something if we had everything right. When one
person gets a tax abatement of say $100,000.00, you know and over $ years that's
$800,000.00 out of your pocket. That took away $800,000.00 to build a library. To build
the, to buy the land out front. And you know all this speculative commercial and office
industrial space that was built in the early, middle part of the 80's that when Savings and
Loans and businesses like that lost a lot of money on commercial investments, people sold
these things off fight and left at probably 25 cents on the dollar so you saw a dramatic
decrease in valuation in commercial and office industrial space. And then everybody filed a
tax abatement...and it put a dramatic impact on everything along 494, Plymouth, and
Minnetonka and Maple Grove and us took quite a hit. And with that, you know we
forecasted out our numbers in hopes that we can do other things based on revenue over that
long period of time. Well now we're at the point where that million dollars that you had to
build the library and senior center, it no longer is there because of the devaluation in those
commercial properties. So bringing more development helps but you know you%e got to start
seeing that surge, and we're starting to see some properties turn. I know of a couple of
industrial properties that are probably going to sell from anywhere between $40.00 and
$45.00, and they're got us on the books on most of the surrounding 30 to 28. So you will see
a bump in the next couple of years, is what our hopes are.
Bohn: That building that's proposed for the business park that was in the paper today, was
that in our business park?
Gerhardt: McGlynn?
Bohn: No.
Housing and Redevelopment Authority - October 12, 1995
Gerhardt: The McGlynn expansion?
Bohn: No, not the McGlynn expansion. I'm trying to think what it was called.
Gerhardt: Control Products?
Bohn: Yeah, Control Products. Now is that reflected in here?
Gerhardt: Control Products is in an economic development.
Bohn: Oh, it's not in here. That's the one over west of McGlynns.
Gerhardt: The only industrial land that we have left in the redevelopment district is tho
Redmond piece. The 51 acres on the south side of the public works buildings, and the Ward
property and Brad Johnson is in now trying to do a mixed use on the Ward property of
commercial and housing and a little bit of office and apartments.
Boyle: Where is the Ward property?
Gerhardt: The Ward property is east of the Rosemount. West of the Legion. It's that wooded
property between old TH 101 and new TH 101. The heavily wooded area It's a very
environmentally sensitive site, as it's a fairly hilly site. There is a Class I wetland on there.
And it will be, needs to be looked at very carefully when it comes in for development.
Brad's proposal is very diverse and I think it's a good one. I think...things there that aren't
contrary to what we've done in the downtown. I think they put something like...or a user of
more than 22,000 square feet. So you're not going to draw the energies away from
downtown. They're trying to come in with more little shops type thing. They want it kind of
a little ski resort, if you went to Estes Park, little retail shop type concept in there. But of
course you'd still need a couple of anchors to make it successful but he's saying he can buy
anchors at 22,000 square feet, that will be successful. I know we had trouble with that one.
That conference center was going to build over there. Because of the wetlands and where the
roads were going to go and that was.
Gerhardt: I thought that was on the Rosemount site. Was that on the Ward site?
Robbins: Well there was like 2 or 3 sites they were looking at.
Bohn: Well one of them was directly across where TH 101 went.
Mason: This has nothing to do with the budget but what kind of anchors is he talking about?
Housing and Redevelopment Authority - October 12, 1995
Gerhardt: I don't know. That's what we've asked him is to give us a list of potential
tenants...like an outlet center maybe, you know. But a different typo of concept where ifs not
just strictly retail typo. Ifs kind of buildings are separated throughout it so you have some
out buildings. Kind of like Market Square but with more out buildings of Wendy's and Edina
Realty and that type of retail. You~,e got 22,000 square feet user and then some little shops
outside of that. To give it a village type feel. So he'll be making a presentation I think in the
next couple of weeks to the Planning Commission .... couple times to clarify because we're
real concerned that he doesn't draw tho energies of what we've done in tho downtown and put
them over there on the south side.
Bohn: Where's that new building that is being built? That was in the paper today. You just
mentioned it wasn't in the HRA district though.
Gerhardt: Control Products. That's next to the National Weather Service. And the
Pillsbury's expansion. There's another one that filed a tax abatement and saw a big reduction
in their value.
Bohn: Well was McGlynn in the HRA district7
Gerhardt: No. It's in economic development district.
Boyle: But wasn't that once an HRA district?
Gerhardt: No.
Boyle: It never was?
Bohn: Audubon Road was the dividing line.
.
Gerhardt: It goes down around what was the McMahon's farm down there. He had horses
and stuff. It went around that piece. I don't know why but it didn't include that because I
think at the time the district was started, everybody probably thought that he was going to
continue to farm. that or live there or whatever.
Boyle: Todd, I have one more question. When we're talking about some of the payments.
The outlays. We have total personal services which is a percentage of the wages. A
contribution. Ifs retirement insurance, etc. Then on 4420 is administrative fees for overhead.
Can you give some examples of what that is?
Housing and Redevelopment Authority - October 12, 1995
Gerhardt: That, the administrative foes is tho fee that you pay to the City of Chanhassen for
utilizing City Hall. Tho building. Utilizing this Council Chambers. Any administrative typo
of activity that you may see in providing this...list of employees hero and using city facilities.
So basically that's our rent payment to the city. Using City Hall. That's our, I don't want to
computer and the copier. There could be some copier in there.
Bohn: We already bought a copier.
Gerhardt: Right.
Boyle: You tried to avoid that, didn't you.
Gerhardt: Yeah. You bought color on the copier. You didn't got the big price. Tho Council
got that one.
Boyle: Todd I think what I'd like, if you would please, break some of that out for us for the
next one. It's $75,000.00 is quite a bit. The other one that I'm having a little _bit of a
problem with is the promotional expenses for 4th of July and the Septemberfest. Whether
this really should be part of HRA expenditures. $12,000.00 is not a huge amount but it's still
$12,000.00. In light of our current situation with less monies coming in than we expected,
we should probably take a hard look at that one I think.
Robbins: And also, this ties back to my questions. The original question, and getting the
flow from top to bottom here, I finally started to see how the numbers do kind of fit in a
way. Maybe. But it would be nice to, where you've got the budget, the re-estimate and the
'96 budget, if for example on the expenses someplace, if you could show... You just might,
maybe not monthly but maybe just quarterly, to show were we are in relation to the budget.
Gerhardt: The last Council packet I included that. I brought one here if you want to see it
but this is where we're at to date. Now in there a lot of things get allocated in the end of
December. You know Karen Engelhardt is checking off paper products and everything that
she doesn't hit me up until December. Takes it out of her account. She's familiar in working
with Account 101 or 112, you know and she kind of waits to the end of the year to make
sure everybody's balanced so if she's over budget in 111, she can go back and say well you
haven't taken any money out of mine, so she'll take it out of mine and it will usually balance
out to what we estimated at year end.
Robbins: So then the end of year for us then is actually calendar year, not fiscal?
Gerhardt: Yes.
Housing and Redevelopment Authority - October 12, 1995
Robbins: So in theory then, at the end of the year, December then we'll see a number of
where you've shown the '95 budget and then along side of that, it would be actual numbers.
I'm just looking at for example salaries and legal fees and a few things where there are larger
dollars.
Gerhardt: January and February is usually by the time we close out all the accounts. We get
services in December and they don~t bill you until January but our year end is December.
We'll be taking expenditures and.
Robbins: Well when you're paying, that's more of a cash program. But in terms of through
date we've actually billed out x dollars of legal and we've actually, and our budget was y and
the difference is the difference. So that kind of approach. Is that possible to get that7
Gerhardt: Sure.
Robbins: Okay.
Boyle: Because you brought up the budget of last week Charlie, Todd thai $100,487.00 for
land improvement, etc. You had commented that that should not have been part of the HRA
budget, is that correct7
Gerhardt: Correct.
Boyle: Or being coded out of the budget.
Gerhardt: It should have been coded to a capital project or whatever. I think it was an
easement acquisition for some utilities and it got coded in 460. Other land acquisitions I
think was the category and it should have gotten charged against the capital project... If we
were budgeting for say the land out in front of City Hall, I mean that would be a capital
project. You recall that city commons fund, that would be a capital project so you'd have
land acquisition and then down the line you're going to include some landscaping in there.
Some grading and things like that and you're going to want to bond for that money and then
pay it off over time in the increments that you receive through that scenario of a million
dollars is gone. The million dollars is gone but we still have $200,000.00 worth of increment
gone for the next 5 years. So that million dollars is gone and the only way we can get it
back is to see valuations go up and get that increment back to about $300,000.00 over 4 years
now.
Bohn: It's too bad we didn't own that property out in front now because of the fill we could
have gotten from the apartment building. Senior housing to fill that property in.
Housing and Redevelopment Authority - October 12, 1995
Gerhardt: Yeah, I mean we will have ownership I would hope before the end of the year and
Charlie James has plenty of fill to use on that site and he's not going anywhere quick with his
because there's just no place to go. We've used his fill on the pedestrian bridge and a lot of
people have been taking little bits and pieces out of his but he does have quite a surplus. Not
a matter of not being able to find fill. Some other things included in the budget for this year
is we're putting in a half time intem, which is the only change in personal serviees...and the
reason you've seen a decrease in your re-estimate, your salaries is due to the vacancies that
we had in finance right now. I would think that we're planning on filling one of those
positions this coming year. And put in a half time intem of about $8,000.00...9 to 8 month
intemship with...and the City Council would be picking up a portion of that too.
Boyle: And that is included in the total personal services budget, 19967
Gerhardt: Correct. Other than that, I think I did up promotional services to take into account
some increases in there for 1996. It is one where...
(Taping of the meeting ended at this point in the discussion.)
APPROVAL OF BILLS.
Mason moved, Bohn seconded to approve the I-IRA bills as presented. All voted in favor and
the motion carried. '
The meeting was adjourned.
Submitted by Todd Gerhardt
Asst. Executive Director
Prepared by Nann Opheim
l0
CITY OF
690 COULTER DRIVE · P.O: BOX 147 · CHANHASSEN, MINNESOTA 55317
(612) 937-1900 · FAX (612) 937-5739
TO:
FROM:
DATE:
Housing ~elopment Authority
Todd C-erbar~ Assismm City Manager ~''
Nove~b~ 9, 1995
SUBJ:
Consider Posm'ble Location for the Railroad Depot
As you may remesnb~r, smffwas directed t~
railroad dcl~L They ere ~ follows:
out three altemslive locations for the
1. Pony/Pauly/Pts-zmus Sit~
2. Klingelhutz and Barns
3. Bloomberg Sim North
Traci~
Staff has asked Michael Schroeder
alternatives. He will be present ~~y night's
proposals. .,~.~.-~-
..~
If the HRA can come tO., .an:"'~ent on a location,
celltenllial comm|~.~:'~/our decision and they may start
~_-~,-_;~ . _
C-mup, Inc. to prepare the three
to present hi. design
ITY OF
690 COULTER DRIVE · P.O. BOX 147 · CHANHASSEN, MINNESOTA 55317
(612) 937-1900 · FAX (612) 937-5739
TO:
FROM:
DATE:
Housing Redevelopment Authority
~a'hardt, Assistant City ~ ..~'
Todd
November 9, 1995
SUB J:
Consid~ Award of Bid, l. andseaping and Lighting lmp~'ovements,
Pedestrian Bfidg~
This past March, the I-IRA approved bids for
As a part of the decision to make this
estimated costs. Included in this cost
landscaping·
constmcl/on of the Pedestrian Bridge.
'presented a status report of the
$110,000 for approach~
On November 2, 1995, staff received
The low bidders were as follows:
ProIect Low Bidder Amount
Landscaping Armka ~.?po on 5.00
Lighting Prairie~lectric Company $45,.v~- 0.00
· .
....~, ....;.''.-..: ~+~.~ ..
Attached p]~_.find a letter .
:_' . .-.. ~! ·
contract, which is s ~-.."C.~:.~txtam a~d t~v¢ staff'work with
similar ii~t sta~~ with ao
bid to $26,9 ! ! ·80. In acc~t~ tl~
oufi~ed below:
Esthaate
$61,447.50
$40,650.00
$102,097.50
bid
the
them install
Electric's
would be right on budget as
Lighting
Sidewalk/Trails
$49,845.00
$26,911.80
$32,342.90
Total Costs:
Estimated Costs:
+ Diffenmce:
$109,099.70
$110,000.00
$900.30
Housing Redevelopment Authority
November 9, 1995
Page 2
RECOMMENDATION
Staff recommends that the I-IRA award the bid for landscaping improvements to Arteka
Corporation in the amount of $49,845.00 and to Prairie Electric Company, Inc. for
lighting improvements in the amount of $45,570.00. Staff should also be directed to
delete Item #10 from Prairie Electric's bid, thus lowering their contract amount to
$26,911.80.
Attachment
.
2.
3.
4.
Status report.
Letter from Michael Schroeder dated November 6, 1995.
Bid results.
Set up landscape and lighting plans.
Chanhassen Pedestrian Bridge
~/~/~ ~t~
~ Scheme -'Scheme Approved Curre~
Estimate A B Design ~ 10/13/94saF~timate
~c q~l,?5~.
I I I I . .... .m, .. · I!
..... III I JI _
. .
......
iiii
De, ign 9~ 90,000 88,500 9'3,500
?lannk~/¢oordination ~,000 5,000 S,000 ~,000~ ~5,000
is~_s i i ~ iii
Land Acqut~tton 28,600 28,600 57~75 8Z000~ 8?,00O
LegaJ 5gX~0 5,00O 5,000 ~,000 ~,000
i iii .I I i ..
Grant Application - - - 3,400 3,400
Al I J_! II pl.. m.lp _.
]Photo Image/Model - - - 8,a86 8,~86
· ._ .
- - 1,1 I. ip
, i_.1. . i i ii
Approaehe~/T~lb / - - - 120,0130 110,000
Lan~caplng
i ,~cIIm . i_ miLL
Total Project Cost $400,000n 682,100 598,6~ 670,875 $846~ --79~86-
...... ~ .
........ I_lt .U~L
II
HRA Contribution $120,000 $4t11,100 318,600 $390,875 IL-566~86
.....
5
1) No Itemization. ~ 8-~, 5-qq
2) Included pop-up ~lliaes, l~ge center pier and air space between deck and beam.
3) Without Scheme A teatures.
~)
Approved by HRA on Jan. 20, 1994 and City Council on Feb. 14, 1994. _lgliminated
space between deck and beam, downstzed cen~ pier..
5) Status i~ort to HRA (lnduded an accoun~ of actual costs to-date).
6) Includes design of approaches, trsils, lartd.scaping.
7) Actual settlement (May 19, 1994 H:RA approved purchase agreement) plus
appraisal,
!
· ~ ~,//, ?s~.
8) ~ln~r8 esumBte, does not include conUnsency[~e ,~r~i ~ g,g ~5
9) March 1994, HRA and City Council approved TaxXIncrement P18n Modification 13
which included $507,000 HRA contrfbution ($450,000 ~or bridffe and $57~ for
approaches, trails and landscaping.
Our~ussen l~esm~ Dfldp/944$/estim~
Creative Solutions for Land Planning and Design
Hoisington Koegler Group Inc.
November 6, 1995
Mr. Todd Gerhardt, Assistant City Manager
City of Chanhassen
690 Coulter Drive
P.O. Box 147
Chanhassen, Minnesota 55317
RE: Site Improvements at Approaches to the Pedestrian Bridge
Dear Todd,
On November 2, 1995 bids were received for landscape improvements and lighting improvements
at the Pedestrian Bridge over State Highway 5, City of Chanhassen Project Number 93-25. Five
bids were received for landscape improvements; three were received for lighting improvements.
Arteka Corporation was the low bid for the landscape improvements. I have worked with Arteka
Corporation on several occasions in the past, and found their work to be satisfactory. I
recommend that their bid of $49,845.00 be accepted. The estimate for landscape improvements
was $61,447.50.
Prairie Electric Company, Inc., with a bid of $45, 570.00 was the low bid for lighting
improvements. The estimate for this work was $40,650.00. In all bids, Item 10 (Type C fixture,
including concrete base) was signficanfly higher than anticipated. Hoisington Koegler Group is
currently working on a project with Prairie Electric as the electrical contractor, and their work to
this point has been satisfactory. I recommend that the bid from Prairie Electric Company, Inc. be
accepted as proposed, and Item 10 be eliminated by change order.
We had provided for flexibility in the work of these improvements by waiving the some of
requirements of Section 7.03(A) of the City of Chanhassen General Conditions (see page SC-5,
Section 7 - Variation of Quantities, of the Project Manual for this work). This allows the City to
decrease the quantities of any item of the work specified. I suggest that the City delete Item 10
from the contract for lighting improvements, and instead purchase pedestrian pole lighting to meet
7300 Metro Boulevard, Suite 525, Minneapolis, Minne,.qota 55439
(612) 835-9960 Fax (612) 835-3160 /r~c ,~, ~:~.~
Mr. Todd Gednrdt
November 6, 1995
Page 2
the requirements of Item 10 through other sources.
Copies of all bids, including bid bonds or certified checks submitted in lieu of bid bonds, are
enclosed. Bid bonds or checks of all but the three lowest bidders may be returned. The remaining
bonds or checks may be returned when a contract and the required performance bond has been
secured.
A complete tabulation of bids is attached to thi.~ letter.
Please call me with any questions.
Sincerely,
Hoisington Koegler Group Inc.
Michael Schroeder
CITY OF
690 COULTER DRIVE · P.O. BOX 147 · CHANHASSEN, MINNESOTA 55317
(612) 937-1900 · FAX (612) 937-5739
TO:
Housing and Redevelopment Authority
FROM:
Todd Gerhardt, Assistant City Managg
DATE:
November 9, 1995-
SUB J:
Consider Approval of 1996 Budget
At our last HRA meeting, staffwas asked to
administrative fees (overhead dollars) are
information on where the
and also provide an upda~ on the
The odministrative fees (overhe~) are m .o~t. _es
the proportional share of personal servi~:that the
out of the HRA budgec These overhea~-costs
cleaning, waste removal, telephone, ~lies, office
upgrade, ansi' repair and main~*bf equipment.
atlocated to each department tha_~-~sists with the
Redevelopment District. E~l~s of their assistance
time the planning departm...~e~t-//pent working on the
engineering department.On'the Tires Plus and
&pa m nt direcay with tax crement
track of HRA assessment
:
-'."_-. ~.: .';,.. -
~ ..' ,:...
liabilities. I have altached a statem~t
to the year 2000. Don Ashworth will be
and assumption used in providing thi.~
the City for costs associmed with
receives from key city staff paid
travel, training, vehicleMsupplies,
computer network
ofthi, money is
of the Homing and
be the enormous amount of
Proje the
sale, paying of bills, keeps
These are just a few of
ofthe HRA': resets and
forecasts out
night to give a presentation '
Recommendation
Staff recommends that the HRA approve the 1996 Budget as presented.
Attachments
,
,
Proposed 1996 Budget
Statement showing Future ttRA Revenues and Expenditures.
Tax Increment District ~1
CITY OF CHANHASSEN
1996 BUDGET
Commentary
General Comment: This fund is Included in the 1996 Budget for notetional puq3os~ only. This operating budget,
per state law, is officially adopted by the Housing and Redevelopment Authority. Should funds be necessary over
and above the tax increments generated wtthin the district, or should the HRA propose to establish a general level
of taxation/require bonding, their budget would require action by the City Council. Aa City personnel maintain the
accounting records for both the HR.A, as well as the City funds, one source document is desired to revlaw overall
accounting activities.
Revenues/Expenditures: The Housing and Redevelopment Authority adopts a yearly work program which
outlines In detail the specific revenue/expenditure levels proposed for the current year. The HRA's "Revenues,
Expenditures, and Cash Flow Analysis" describas the specific revenuas/expendltures shown In the budget book
and is hereby adopted by reference. Generally, Fund 460 acts as the parent fund to control the numerous
activities currently being engaged in by the HRA. For example, the Housing and Redevelopment Authority has
underwritten the expenditures associated with various public Improvement projects wtthin the downtown area and
business park. Each of these projects are a separate fund in and of themselves. Each fund requires a specific
debt payment to be paid each year during the course of the next 5-10 years. Recognizing that Fund 460 is the
parent fund, all tax increments are receipted into this master fund. Similarly, all current and future debt transfers
are shown within the parent fund as a proposed transfer out In the year necessary to cover the expenditure
associated with that particular project. In addition to making payments for debt service funds, the parent fund also
accounts for payments made as Incentives to businesses locating within the community, paying administrative
costs associated with the Housing and Redevelopment Authority, and completing acquisitions of parcels wlthin the
downtown area in accordance with the Redevelopment Plan. Prior to the formation of Tax Increment' District No.
1, less than 1% of Chanhassen's valuation was .commercial/industrial. Today, nearly 20% of the valuation Is
commercial/industrial. By the time the district ceases, it Is anticipated that et least 30% to 40% of Chanhaesen's
total valuation will be commercial/industrial. This diversification will significantiy benefit Chanhassen's ability to
meet future local needs while not creating a tax burden during the period that the valuation Is being generated.
Expenditures: Personal Services & Commodities represent a proportional share of the associated costs of the
"'key personnel" involved in the general and financial administration of the fund.
The percentage allocations are:
1996 1996
City Manager 20% 20%
Ass't City Manager 50% 50%
Office Manager 20% 20%
Planning Director 20% 20%
Planning Secretary 20% 20%
City Engineer 10% 10%
Planner II upgrade to Senior Planner In 1996 25% 25%
Planner II 75% 75%
Treasurer 20% 0%
Finance Coordinator 10% 0%
Planner I 25% 25%
Intern for 8 months $8,000
4130 Computer software.
4300 1995 Senior Housing, Moderate-Cost Housing Altemativas.
1996 Pedestrian Bridge, West 79th Street lands, Downtown Grometrics.
4375 1996 February Festival Fireworks, 4th of July Picnic.
4703 1996
New equipment related to bringing the accounting data processing function in-house.
46O
CITY OF CHANHASSEN
· ' 1996 BUDGET '
TAX INCREMENT DISTRICT #1
Tax Increment District #1
IACCOUN~
DESCRIPTION
t995 1995 1996
BUDGET RE-ESTIMATE BUDGET
REVENUE
GENERAL PROPERTY TAX
3012 Tax Increment Receipts
* TOTAL GENERAL PROPERTY TAX
5,150,000 5,150,000 5,750,000
5,150,000 5,150,000 5,750,000
OTHER REVENUE
3801 Interest Earnings
* TOTAL OTHER REVENUE
88,133 88,133 88,000
88,133 88,133 88,000
** TOTAL REVENUE
5,238,t33 5,238,'!33 ~,838,000 .-
REVENUE OVEPJ(UNDER) EXPENDITURES
3,741,053 3,747,653 4,5t 8,525
TRANSFER TO DEBT SERVICE
T.I. Ref Bonds of 1994D
T.I. Ref Bonds of 1994C
G.O. Ref Bonds of 1994A
G.O. Ref Bonds of 1994B
T.I. Ref Bonds 1990A
T.I. Bonds of 1991B
T.I. Bonds of 1992B
T.I. Bonds of 1993A
T.I. Bonds of 1993B
T.I. Ref Bonds of 1993E
TOTAL TRANSFERS
82 O55
311 350
581 237
658 000
517 071
273 805
214 875
309 988
450 000
76 980
3,475,361
82,055
311,350
581,237
658,OO0
517,071
273,805
214,875
309,988
450,000
76,980
3,475,361
104 276
305 605
552 057
662 000
182 804
274 305
264 875
806 463
500 000
121 190
3,773,$75
FUND BALANCE FORWARD
290,622 820,000 1,092,292
LESS REQUIRED RESERVE
556,314
1,092,292 1,837,242
TOTAL RESOURCES OVER/(UNDER) LIABILITIES
0 0 0
46O
CITY OF CHANHASSEN
.1996 BUDGET
TAX INCREMENT DISTRICT aN
Tax Increment District aN
IACCOUNT
DESCRIPTION
1996
BUDGET
1006
1996
BUDGET
4010
4020
4030
4040
4050
Salaries & Wages-Reg
Salaries & Wages-Temp
Contributions-Retirement
Contributions-Insurance
Workers' Compensation
TOTAL PERSONAL SERVICES
138,000
6,000
17,300
12,600
800
174,700
138,000
0
17,300
12,600
80O
168,700
132,000
8,000
16,800
11,500
800
169,100
4110
4130
~b
4300
4302
4310
4320
4340
4360
4370
4375
4380
4420
Supplies-Office
Supplies-Program
TOTAL MATERIALS & SUPPLIES
Fees, Services
Fees, Legal
Telephone
Utilities
Pdnting & Publishing
Subscriptions & Memberships
Travel & Training
Promotional Expense
Mileage
,N:lmin. Fees (Overhead)
TOTAL CONTRACTUAL SERVICES
1,600
2,000
3,600
50,000
15,000
100
1,000
1,600
250
4,OO0
10,000
100
75,000
157,050
1,600
2,000
3,600
50,000
15,000
100
1,000
1,000
250
4,000
10,000
100
75,000
156,450
1,600
1,000
2,600
50,000
15,000
100
1,000
1,000
25O
4,000
12,000
100
75,000-
158,450
47O3
Office Equipment
TOTAL CAPITAL OUTLAY
10,000
10,000
10,000
10,000
9,000
4804
Special Assessment Pymts.
TOTAL DEBT SERVICE
TOTAL TAX INCREMENT DISTRICTaN
1,151,730
1,151,730
1,497,o8o
1,151,730
1,151,730
1,46o,46o
980,325
980,325
1,319,475
!1
m
I
~ i
(!) I
I
I
I
I
I
~l I
I
I
I
I
0
o
o
~ o ~ o
o o o
o o ~
~o ~o o ~
o
~, 0
~ ~ I-' o u:)co-,,I O~ ~ ~ ¢4 ~ I-, 0 ,,0 Co .,,,1 ~ U~ ~, ~ ~ II
I-, I I-, &~ I-, I.-, ,1~
II
0
II
Page: 1
Date: 10/19/95
#
Invoice #
City of Ch~-h~ssen
Detail Claims Roster
Description
Amount
Checking Account 1010
ASHWOR - DON~?.T~ ASHWORTH
101895 MEETINGS
Total for Vendor: ASHWOR
CAMKNU- CAMPBELL, KNUTSON, SCOTT & FUCHS, P
0594G LEGAL SERVICES
629-013 LEGAL SERVICES
Total for Vendor: C3tMKNU
CHANHA - CITY OF C}L%NHASSEN
1095 S/A PAYMENTS
93095 STORM WATER BIT.?.S
Total for Vendor: CHANHA
L - TODD GERHARDT
093095 CONF. EXPENSES
Total for Vendor: GERHAR
HOIKOE - HOISINGTON KOEGLER GROUP
95-27 CITY COMMONS
Total for Vendor: HOIKOE
----
ROARI/N - ROAD RUNNER
070595 ROAD RUNNER DOCUMENT DELIVER
Total for Vendor: ROARUN
8.00
8.00
1,069.88
2,267.01
3,336.89
575,864.57
40.00
575,904.57
739.56
739.56
982.52
982.52
------
16.00
16.00
Total for Checking Acoount: 1010
580,987.54
** Total **
$580,987.54
Page: 1
Date: 09/21/95
City of Chanhassen
Detail Claims Roster
Vend #
Invoice #
Description
Checking Account 1010
CAMKNU - CAMPBELL, KNUTSON, SCOTT & FUCHS, P'
0083195 LEGAL SERVICES
83195 FEES FOR LEGAL SERVICES
Total for Vendor: CAMKNU
GERHAR - TODD GERHARDT
090195 MEETING REIMBURSEMENT
Total for Vendor: GERHAR
Amount
640.39
2,680.86
3,321.25
54.74
54.74
3,375.99
$3,375.99
Total for Checking Acoount: 1010
** Total **
CITY OF
690 COULTER DRIVE · P.O. BOX 147 · CHANHASSEN, MINNESOTA 55B17
(612) 937-1900 · FAX (612) 937-5739
TO:
FROM:
Don Ashworth, City Manager
Jill Sinclair, Forestry Intem~
DATE:
October 24, 1995
SUB J:
Outlot A Landscape Plantings, Chanhassen Rgtail Center
The landscape plantings on Outlot A were recently completed by W'flson's NutsetT.
Each tree and shrub has been counted and aad found to be healthy and of high
quality. All the trees and shrub beds have watered, and trees susceptible
to winter damages have been wrapped. The will be dormant seeded by the city this
fall. A 5% retainage will be withheld by guarantee the plants for one year.
· C..ITY OF
·
6g0 COULTER DRIVE · P.O. BOX "147 · OHANHASSEN, MINNESOTA 553"17
(6"12) 937-'1900 · FAX (6"12) g$7-573g
· · MEMORANDUM
TO:
FROM:
Mayor and. City Council
Departmem Heads
Todd Gerhardt, Assistant City Manager~.
DATE:
October 26, 1995
SUBJ: 'Workshop on "How to Manage Conflict"
; -'~: T-':-.
This is to notify you that the workshop date was: Wrong in the last memo. It is scheduled for
Wbdnesday, November 1 from 8 a.m. to 12 noon at'the Chanhassen Recreation Center. Please
let rrii~' know how many people in your department will be attending.
.~.
:
·
...,
...
.._.-
·
· .
-~.