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HRA 1981 08 20F►LE AGENDA Chanhassen Housing and Redevelopment Authority Thursday, August 20, 1981 Chanhassen City Hall, 690 Coulter Drive U2per Level Conference Room 7:30 p.m. 7:30 p.m. - 1. Call to Order. 2. Approve Minutes of July 23, 1981. 3. Report on Downtown Project Bond Sale. 4. Request by Mike Sorenson for Adjustment in Property Appraisal (West 79th St. and Great Plains Blvd.). 5. Discussion of Downtown Courtyard Sculpture Competition. 6. Progress Report on Downtown Project Design and-Engineering. 7. Old Business. 8. New Business. 9:00 p.m. - 9. Adjournment. ^" Chanhassen Housing and Redevelopment Authority Meeting July 23, 1981 Minutes Called to Order: The meeting was called to order at 7:50 p.m. l Present were Chairman Gullickson, and Commissioners Horn and Bohn. Russell arrived at 8:05 p.m. Absent was Whitehill. Executive Director Scott Martin and Attorney Russ Larson were also present. AUUro"al'of Minutes: Horn moved, seconded by Bohn, to approve �II the minutes of the June 18, 1981 minutes as presented. All voted in favor and the motion carried. r Bond Sale Status Report: Martin gave a brief status report on the `I Downtown Project Bond Sale. City Bond Consultants have been directed to negotiate with prospective investors for a 30 day period commencing July 6, 1981. The City Council will call a special meeting to sell the bonds once a low enough interest rate to make the sale feasible is obtained. The Commissioners supported the actions of the City Council to do everything possible to' obtain an interest rate on tie bonds that falls within the financial feasibility model for the down- town project. Bloomberg Home Center Project: The Commissioners discussed the Attorney s Opinion datiid July 1, 1981, regarding the contractual obligation that the City and HRA has to allow construction of Bloomberg Company Home Center on their property lying just south- west of the Ring Road. , They generally agreed that the Home Center I� should be permitted on this site, but only with substantial, I effective screening of all lumber storage areas and truck loading areas. Martin explained that this concern was already conveyed to Bob l Davis, architect for Bloomberg Companies at a meeting held on July 22, 1981. The HRA will have an opportunity to review plans I- for the Home Center and all downtown core area construction prior l to City reviews. Horn felt that the Home Center should be allowed only if no out- fitside storage was visable from public view and that only one such development should be permitted within this zoning district. Inflation Adjustment Policy: Bohn moved, seconded by Russell, to retain all tie existing appraised values for properties to be acquired for the downtown project based on information supplied by the Director concerning the current commercial real estate market in the Twin Cities Metro Area. The property appraisals completed in 1980 by the Authority are still valid and represent valuations that are more than fair for property owners affected by the ll Redevelopment Project. The following land acquisition policy shall apply to all negotiations: l 1 41 Chanhassen HRA Meeting 'July 23, 1981 Page 2 "If specific negotiations reach an impasse due to a significant disagreement over the adjusted appraised value of certain properties, staff will encourage the property owner to arrange for a second certified appraisal of his property in order to help resolve such differences. The property owner's appraiser must be certified to conduct such an appraisal and said appraiser must be approved by Staff prior to commencement of the appraisal. The property owner will be reimbursed up to $300 (not to exceed the actual cost of the appriasal) for the cost of such an appraisal, upon satisfactory completion of the appraisal. If minor adjustments to the HRA appraisal are necessary to reach a negotiated settlement, Staff shall have the authority to use its discretion in making such adjustments prior to presenting, the negotiated settlement to the HRA for final acceptance and approval." All voted in favor and the motion carried. Sorenson Property Acquisition (Parcel #8): Russ Larson reported on his negoti.ationswith Mike Sorenson for acquisition of his vacant property located along the east side of Great Plains Boulevard, just south of West 79th Street. A letter from Mr. Sorenson (dated June 16, 1981) which itemized expenses he's incurred for proposed development on his property was reviewed by the Commissioners. Ill Bohn moved, seconded by Horn, to reconfirm the action of June 18, 1981, and authorize the acquisition of the Sorenson property at a cost not to exceed Uhe appraised value of $22,000. All voted in favor and the motion carried. Huber Property Acquisition (Parcel #26): Russ Larson updated the Commissioners on his negotiations with John Huber. ` Horn moved, seconded by Bohn, to authorize the attorney to negotiate for an option agreement for the purchase of the Huber property at a cost not to exceed the appraised value of $185,000. All voted in favor and the motion carried. Havlik Property Acquisition (Parcel #30): Following an update on the negoti tia ons wit Jo n Havli f�quisition of his property, Russell moved, seconded by Horn, to hold firm at the adjusted T appraised value of $246,105 for the Havlik property until September 1, 1981, after which time the Commissioners will reconsider their action of December 18, 1980, and possibly make a downward adjustment of the adjusted appraised value. An option agreement for the purchase of the Havlik property should be diligently pursued by the attorney immediately after the sale of the downtown project bonds. All voted in favor and the motion carried. lF T �•^ Chanhassen HRA Meeting ( *> July 23, 1981 (� Page 3 U Riviera Property Acquisition (Parcel #31): Larson updated the Commissioners on the status of acquisition negotiations with the owners of the Riviera. The appraised value of $325,000 for land and building, and total offer of $391,606 (including relocation and equipment), is apparently acceptable to the owners. The only major problem with this acquisition /relocation is finding • suitable relocation site which is affordable to the Riviera for • new facility. Amendment to Instant Web Contract: Bohn moved, seconded by Horn, approval of an amendment to Section 3.01 of the Contract for Acquisition and Development of Instant Web, Inc. dated May 20, 1981, providing for the construction of a minimum of 200,000 square feet of floor area in the new Instant Web office /Manufacturing facility, instead of the original require - ment that such building be 110,000 square feet and cost not less than $3.1 million. All voted in favor and the motion carried. Downtown Courtyard Sculpture: The Commissioners discssed the Td—ea of-having-local scu ptor, Neal Dalen, create a sculpture for the Downtown Courtyard. Gullickson suggested that the HRA sponsor a contest for sculptor's from throughout Minnesota, with the winner being commissioned to create a Courtyard sculpture. The Commissioners generally supported this idea and asked Chairman Gullickson to pursue it further with an art expert, and then report back to the Commissioners at the August meeting. New Business: Martin reported that the City Council approved the Instant ­Web site plan on July 20, 1981. He also reported that title abstract work was underway for the properties to be acquired for the Downtown Project. BRW has also been working with the telephone, gas, and electric companies in planning for relocation of utilities in conjunction with ring - road construction starting next spring. A report on the status of the 1981 HRA operating budget was also T presented. Expenditures from HRA funds through the first half of the year are running well -below budget, with only 27 percent of all funds expended as of June 30. ji The deficit in the Ring -Road Improvement Project Fund has reached l nearly $200,000, an increase of approximately $50,000 since January 1, 1981. This fund will be replenished upon sale of the l first bonds and receipt of bond proceeds. Adjournment: There being no further business, the Chairman ad- 'r journe t e meeting at 9:45 p.m. lT I Staff Report CITY OF 3. ,�i rq IT f*4 * 690 COULTER DRIVE 0 P.O. BOX 147 • CHANHASSEN, MINNESOTA 55317 (612) 937 -1900 TO: Chanhassen HRA FROM: Scott A. Martin, Executive DATE: August 14, 1981 RE: Downtown Project Bond Sale Director W j^ I am pleased to report that the City Council authorized the initial sale of General Obligation Tax Increment Bonds for implementation of the Downtown Redevelopment Project on Thursday, August 13, 1981. T The bonds were purchased at a net interest rate of 11.999% by a local syndicate managed by Banc Northwest and First Bank Minneapolis. A copy of the bid tabulation is attached. I!1 �7 A copy of the Debt Service /Cash Flow Analysis prepared by Juran and Moody, Inc. to test financial feasibility of the issue is also attached. Please note that the budget for application of bond proceeds was adjusted (with the approval of the City Council) by reducing the land acquisition account by $100,000, and transferring -this money to the debt service (capitalized interest) account. This transfer has the effect of insuring that adequate funds will be available to make all bond payments. The impact of the transfer of $100,000 from the land acquisition account is minimal, since adequate funds should still be available to secure option agreements for the acquisition of the Huber, Havlik, and Riviera Properties until the second (and final) bond issue is completed in January or February of 1982. Bond proceeds should be received in approximately 4 to 5 weeks according to Juran and Moody. In the meantime, Russ Larson will attempt to reach agreement with these three property owners for presentation to the HRA on September 17, 1981. TABULATION OF BIDS MUNICIPALITY: City of Chanhassen, Minnesota DATE: August 13, 1981 ISSUE MINIMUM BID : $4,625,000 BIDDERS: GENERAL BANC NORTHWEST /FIRST BANK MPLS., Mgr American National Bank Cronin & Marcotte, Inc. Merrill Lynch White Weld Capital Markets Grp. John Nuveen & Co., Inc. Dougherty Dawkins Strand & Yost Moore Juran & Company, Inc. M. H. Novick & Co., Inc. In Association With Dain Bosworth, Inc.) Jt. Managers The First National Bank of St. Paul) Allison Williams Company Blyth Eastman Paine Webber Inc. Piper, Jaffray & Hopwood, Inc. Dean Witter Reynolds, Inc. Robert W. Baird & Co., Inc. Miller & Schroeder Municipals, Inc. Robert S. C. Peterson, INc. NCREMENT BONDS Par Value 1 Purchase Price $ 41715,000.00 $ 4,6311905.82 Total Interest Cost $ 7,932,594.18 Net Interest Rate $ 11.999% r U I $4,715,000 General Obligation Tax Increment Bonds of 1981 Series A Estimated Application of Bond Proceeds A. Acquisition and relocation of Instant Web, Inc. B. Funds for earnest money options and acquisitions for other properties C. Engineering fees 0. Capitalized interest E. Issuance expenses F. Bond discount G. Total Bond Issue Debt Service /Cash Flow Analysis - Tax Increment with Instant Web at $5,0000000 Start Date: 8 -1 -81 {1) (2) (3) (4) (5) August 13, 19x1 $3,500,000 400,000 200,000 500,000 co 1M 25,000 90,000 (6) (7) (8) CUMMULATIVE TOTAL SURPLUS PRINCIPAL T DATE PRINCIPAL COUPON INTEREST AND INTEREST 8 -1 -81 E -0- COLUMN 5) $500,000 $ -0- 8-1-82 -0- $ 558,000 $ 558,000 8 -1 -83 -0- ( 32,252,00) 558,000 558,000 j� B -1 -84 5,000 11.50% 558,000 563,000 8 -1 -85 10,000 11.50 557,425 567,425 ` 8 -1 -86 25,000 11.50 556,275 581,275 8 -1 -87 50,000 11.50 553,400 603,400 738,297 8 -1 -88 75,000 11.50 547,650 622,650 B-1-89 125,000 11.50 539,025 664,025 848,967 8 -1 -90 175,000 11.50 524,650 699,650 B-1-91 225,000 11.50 504,525 729,525 973,434 B -1 -92 275,000 11.60 478,650 753,650 B -1 -93 350,000 11.60 446,750 796,750 r. 8 -1 -94 425,000 11.80 406,150 831,150 8 -1 -95 500,000 11.80 356,000 8561000 8 -1 -96 600,000 12.00 297,000 897,000 8 -1 -97 700,000 12.00 225,000 925,000 8 -1 -98 825,000 12.00 141,000 966,000 8 -1 -99 350,000 12.00 42,000 392,000 $4,715,000 $7,849,500 $12,564,500 , qualifications and Assumptions Used in this Analysis T 1. The tax increment revenue projections used in this expertise in making such projections. August 13, 19x1 $3,500,000 400,000 200,000 500,000 co 1M 25,000 90,000 (6) (7) (8) $4,715,000 (9) DEBT SERVICE COVERAGE (PREVIOUS YEAR SURPLUS PLUS CURRENT YEAR REVENUE) DIVIDED BY COLUMN 5 NA 1.38X .94X .89X .91X .96X L 02X 1. l OX 1.15X 1.20X 1.25X 1.32X 1.37X 1.42X 1.5OX 1.56X 1.64X 1.72X 3.61X analysis were prepared by BRW, Inc., a company having 2. We have not made any projection of investment income realized from the capitalized interest, construction fund, or the indicated annual surplus generated each year. It would seem reasonable to assume that any investment income generated at any rate will only improve the financial feasibility of this project and its respective financing. 3. The financing contemplated is subject to the unqualified approving opinion of bond counsel. JURAN & MOODY, INC. �I Andrew Kyle Merry Vice President 1 1 CUMMULATIVE CASH SURPLUS TAX (COLUMN 6 CAPITALIZED INCREMENT AND 7 LESS INTEREST REVENUES COLUMN 5) $500,000 $ -0- $ 500,000.00 271,898 213,898.00 ' 311,850 ( 32,252,00) 531,143 ( 64,109.00) 580,461 ( 51,073.00) 609,641 ( 22,707.00) 639,881 13,774.00 671,454 62,578.00 704,204 102,757.00 738,297 141,404.00 773,756 185,635.00 810,674 242,659.00 848,967 294,876.00 888,815 352,541.00 930,332 426,873.00 973,434 503,307.00 1,018,301 596,608.00 1,064,952 695,560.00 1,113,483 1,417,043.00 $500,000 $13,481,543 $4,715,000 (9) DEBT SERVICE COVERAGE (PREVIOUS YEAR SURPLUS PLUS CURRENT YEAR REVENUE) DIVIDED BY COLUMN 5 NA 1.38X .94X .89X .91X .96X L 02X 1. l OX 1.15X 1.20X 1.25X 1.32X 1.37X 1.42X 1.5OX 1.56X 1.64X 1.72X 3.61X analysis were prepared by BRW, Inc., a company having 2. We have not made any projection of investment income realized from the capitalized interest, construction fund, or the indicated annual surplus generated each year. It would seem reasonable to assume that any investment income generated at any rate will only improve the financial feasibility of this project and its respective financing. 3. The financing contemplated is subject to the unqualified approving opinion of bond counsel. JURAN & MOODY, INC. �I Andrew Kyle Merry Vice President 1 1 I Staff Report CITY OF CHANHASSEN 690 COULTER DRIVE • P.O. BOX 147 • CHANHASSEN, MINNESOTA 55317 (612) 937 -1900 TO: Chanhassen BRA FROM: Scott A. Martin, Executive Director DATE: August 14, 1981 RE: Request by Mike Sorenson for Increase in Property Appraisal Mike Sorenson appeared before the City Council on August 3, 1981 to request that the Council consider an increase in the price offered by the BRA for his property. The Council told Mr. Sorenson to attend the next HRA meeting and make a presentation to the BRA, (� since the City is not directly.involved in property acquisition l negotiations. Attached are the minutes of the August 3rd City Council meeting and the information submitted by Mr. Sorenson in his attempt to justify his demand of $25,000 for his property. The BRA considered this item on two occasions (June 18 and July 23, 1981), and both times authorized a purchase price not to exceed the appraised value of $22,000. r j' F 7 Council Meeting August 3, 1981 -3- d. Park /Street Maintenance Position. Martin Walsh. g. North Service Area. Set Public Hearing Date. August 31, 1981. h. Special Meeting Date. Tour Public Facilities Prior to Final Payment. August 8, 1981. Motion seconded by Councilman Neveaux. The following voted in favor: Mayor Hamilton, Councilwoman Swenson, Councilmen Neveaux, Geving, and Horn. No negative votes. Motion carried. PROPOSED 14ATER SURFACE USAGE AND RECREATIONAL BEACH LOT ORDINANCES: Councilman Neveaux moved to hold a public hearing on September 29, 1981, to hear comments on the proposed ordinances. Motion seconded by Councilman Horn. The following voted in favor: Mayor Hamilton, Councilwoman Swenson, Councilmen Neveaux, Geving, and Horn. No negative vote; Motion carried. REQUIREMENT TO CONNECT TO MUNICIPAL SEWER AND WATER, SENIOR CITIZEN DEFERMENT POLICY: Foster Janich and C. A. MacLeod are seeking Council approval to not connect to city sewer and water and,therefore,not be billed. Both have submitted financial statements and currently their sewer and water assessments are deferred. Staff was directed to verify amounts shown on the financial statements with current income tax statements. I If approved by staff, Councilman Neveaux moved the acceptance and deferment for Foster Janich and C. A. MacLeod. Motion seconded by Councilman Horn. The following voted in favor: Mayor Hamilton, Councilwoman Swenson, Councilmen Neveaux, Geving, and Horn. No negative votes. Motion carried. FIREARMS ORDINANCE 9B: Councilman Horn moved to approve an ordinance prohibiting the discharge of firearms and weapons within the City of Chanhassen and for the promotion of safety and general welfare of the people, and repealing Ordinance 9A. Motion seconded by Councilman Geving. The following voted in favor: Mayor Hamilton, Councilwoman Swenson, Councilmen Neveaux, Geving, and Horn. No negative votes. Motion carried. E AEL SORENSON: Mr. Sorenson appeared before the Council to present his disapproval he negotiations by the HRA for his property at the southeast corner of Great Plains . and West 79th Street. Council members generally agreed that they had nothing o with the negotiations or the price offered and told Mr. Sorenson to attend the HRA meeting and make his presentation to them. NORTH SERVICE AREA, REQUEST TO RECONSIDER SPECIAL ASSESSMENTS: RUBY HUNSINGER: This property is located at the northwest corner of Kings Road and Minnewashta Parkway. One lateral unit was assessed in 1973 and one lateral and two trunk units were assessed in 1980. John Hunsinger, representing Ruby Hunsinger, has requested that the be subdivided along Minnewashta Parkway into two lots. The City Attorney has researched this property and found that Kings Road is actually located on the Hunsinger property and reduces the frontage to well below that needed for two lots. Sewer and water lines to serve the property are located in Minnewashta Parkway. Councilman Neveaux moved that one lateral and one trunk unit that was assessed in 1980 be removed for the Ruby Hunsinger property because of the lack of adequate frontage as a result of incorrect measurements at the time of the placing of the assessment. Motion seconded by Councilman Horn. The following voted in favor: Mayor Hamilton, { Councilwoman Swenson, Councilmen Neveaux, Geving, and Horn. No negative votes. Motion 1 carried. LDANIEL PLAZIAK: This property is located at the southeastern corner of Koehnen Circle and Cardinal Avenue and was assessed one full unit in 1973 and.one full unit in 1980. The property is 88'x300' or 26,400 square feet which is lower than the 30,000 square feet for two buildable units. I- L F ,1 F I i RUSSELL H. LARSON CRAIG M. MERTZ OF COUNSEL HARVEY E. SKAAR MARK C. MCCULLOUGH Scott A. Martin Executive Director Chanhassen HRA Chanhassen MN 55317 Dear Scott: LARSON & HERTZ ATTORNEYS AT LAW 1900 FIRST BANK PLACE WEST MINNEAPOLIS, MINNESOTA 55402 July 8, 1981 Re: Acquisition Parcel #8 Michael Sorenson Property l TELEPHONE (612) 333 -ISII Please be advised that I met with Mike Sorenson on Tuesday, July 7th, to negotiate for the purchase of his vacant tract of land at West 79th Street and #101. After the customary discussion as to values, I offered $18,000 for the tract. Mike's demand is $25,000 if the acquisition can be accomplished within 30 days. Mike informs me that there are no assessments against the property. You have indicated that this acquisition is funded for 1981 and that we need not wait for the first bond sale. Please submit the Mike Sorenson RHL :ner HRA for consideration. Ve tru urs, RUSSELL H. LARSON Chanhassen City Attorney CITY OF CHANHASSEN JUL 9 1981 COMMUNITY DEVELOPMENT DEPT. IS OEE.: RES- cOUTHWrRT PLUNIIIING R IIEATI1G CO. COMMERCIAL A RENIURNMAL INNTALLATION . REMODMINO . SEAMCI: 7606 ERIE. AVENUE CHANIIANNEN. MIN'N. 3.317 June 16, 1981 Russell Larson City Attorney Chanhassen, Minnesota Dear Russell, The following is a list of expenses which I incurred on the property and project at 7901 Great Plains Boulevard from May 1, 1979 to June 7, 1981. 1. Landscape fees paid to Herb Baldwin in the amount of $1,712.10. 2. Survey costs 'of $450.00 paid to Scholl Madson. 3. Increased building costs at the rate of 10% per year; approximately $8,000.00 on..a $40,000.00 building. The above costs do not reflect approximately 100 hours of my time and effort in the above named project, which includes preliminary council meetings, meetings with city planners and managers, planning commission meetings, HRA meetings, and all other meetings applicable to the project. Sincerely, Michael J. Sorensen r2l"�i A 10 Ij� I i. 441: it % It, tI 114 It J.t, 11l t lit N; Michael 'J Sorienifen� I t j,4.Southv:6st'; Plumbing and Heating Co 76o6 Erie Avenue ,' Minn esota Site� Planning Project/Highway 101 at 79th Street West 1 4 1 ad , inp.411 1 4, 1:t-,, Pit I 4 44: NTl P fj;lpt tt,,r tl- 4t I prof6bstonil'landsc�pe architectural services rendered Alt `�i t43�,'p4gh 25� , February S` 'AIM 4 U,, 1-Herb' IE3aldwbi. andscapd 'Architect, Principal s 'S'oii.Onsen, Parcel and.-. Adjacent. Parcels $ 350.00 t�� w H nenses. t4l Mileage' 12.00 ; "'rints" M. - , .PI 3.60 M, q� j" ac, i —T! 64: Yte J jI ,J amount requested- at this time $ 365.60' 1930 ;March. 01 it it !pltl It- tj herbbaldwin landscape architectroute two jordan rninnesota five five three five two rr , �i �1��l�'{ � i��+l � e r tii��s +�. c� ', �p xr 1 ' -:J✓' �>; ��' ��ii � iY k n �' i � i�,� Sk�l {x3 T ti'►�f►•. f ' h Q��" '��R � � p � x + p a '! 6 � � I 3 �j -i 1 �x + �'�' -E �,eii:ipx�l�' x+ f� -i #ji4 cs',,..�Si4 r � 1' e x + { t�� �s<t�tlPVdS�l�ii� k�.ii��thtx 6� ul + yet �. �gYWii�lJt� � +�Il�ti�t1., q xi*, 31 _ -max Y n +t f� i) r •3x j+ Michael`-J Sorensen it ✓southwest Plumbing and Heating Cc t ; I ,` , fV! < 7606 Erie. Avenue :^ , •.. gnu ,fit '' �, " Chanhassen 'IinTlesot$�;+ , ,5537 ii U t t <f''i. %� qu qS ".�. Yi ei r }t ' re Site, Planning Project/HfghwaylW.at 79th Street West F'. } ry i bi v° q or the professional landscape architectural "services rendered ;hi 31 Janua.sy 1980 f� �J� tYl Baldwin, 'Eandscaos Architect. T t1111rin�I } i 'J , W - iensen Parcel and Adjacent Parcels $ 66000 lenses 1 T �r.;" Ilea E'.f' ^'x'y rint5 +,'. r� t "� ,. r 1 $ 28 ��i 1'' " 'a yes c�3i -: i�kt; x�€ , .• s... _ .• 1L of amount requested at this time $ 710 $0 F °bruary 1989 it C l l yy s fd i jjj L,J (O ! �' x L 1yr ®rb baidwin landscape architect route two jordan x-ninn.so* ci five live three fiv, d3 } i 'J , �<s�i °A '�' � t � 4 r { +. e� 's� 4 �; [ .7 �k�p g ,1� pY• Erxy�.,_, roc ar� MAl'r n 3"4�tylF {« { 1 fz e t 1}Iraf� YS 1 YY p y l • ` 1 a 3 t #A �- +i1 I � j x � r�xlq I., I "11 Mtcnaei J. Sorensen Southwest Plaumbing and Heating Cc 7606 Erie' Avenue ; {, Chanhassen dF: d '1 55317 ' e { re Site "Planning Project /Highway 101 at 70th Street West' . +tiFee' for' the professional landscape ^architectural se rvices rendered 1:, through "31 December 1979' Herb Balds� in,' Landscape .Architect, Principal " Y t } Sorensen /Kurvis Parcel $ 275.00 ' j. ;Sorensen . Parcel ( revisions) $ 325.00 ., k p '•ti9Expenses ( {` . .': ;;• . p Yriu t�4M 5 n landscape architect route two Jordan min neeota five five three five two'?: "e f �c Y - Mileage{ $ 36 ",00: j . a-L '116 Ar + Total amount requested, at this time $ 6-6.00, ti r p Yriu t�4M 5 n landscape architect route two Jordan min neeota five five three five two'?: "e f �c Y r 1 r— I i i 1 I r CITY OF CHANHASSEN 690 COULTER DRIVE • P.O. BOX 147 • CHANHASSEN, MINNESOTA 55317 (612) 937 -1900 Staff Report TO: Chanhassen BRA FROM: Scott A. Martin, Executive Director DATE: August 14, 1981 RE: Downtown Courtyard Sculpture Competition Chairman Bill Gullickson will present a report on this item. S. 7 File 18 -8003 I t fflBRIT PLANNING /TRANSPORTATION /ENGINEERING /ARCHITECTURE August 11, 1981 TO: Scott Martin Chanhassen HRA FROM: Donald W. Ringrose RE: Downtown Redevelopment Program Relocation of Gas Utilities MEMORANDUM CITY OF CHANHASSEN R "CEIVED e1; ;;131981 COMMUNITY DEVELOPMENT DEPT. We had scheduled a meeting for 10:00 a.m. on August 11th for the purpose of reviewing the gas and electritc utility facilities in the redevelopment area and 'to identify the requirements for relocating these facilities. At the last minute, the NSP electric representatives canceled and did not show up for the meeting. We did, however, proceed with Minneapolis Gas Company. Roger Elaski of Minnegasco brought with him a map of the project area, which identifies their facilities in the area. In general, their facilities consist of 2 and 3 inch low pressure (10 psi) steel distribution lines. There is a line which basically goes around the instant web and theater.complex. It runs down 78th Street and serves the properties on the north side. They have no major trunk facilities within the project area: We reviewed the tentative schedule of the implementation by the City and their reaction was that they could accommodate it. Their overall reaction was that it did not appear to be a particularly difficult problem for them to react to the relocations that will be necessary. They have a great deal of flexibility due to the localized nature of their facilities and they can, if necessary, run temporary lines above ground connections to maintain service during the construction period. It was agreed that they would provide to us in the period of three to four weeks a general relocation and /or reconstruction plan for their facilities together with a schedule and an estimate of the cost. On the issue of cost, it was their statement that it is their preference and policy that relocation of their facilities for private land development should result in their being compensated for expenses they incur. In turn, we indicated it was the City's position that these facilities should be relocated without the cost to the public improvement project. It was left that this was an issue which should be discussed after we had a better idea of what the cost would be. In general, they seemed to be very cooperative. There appears to be no particular problem in relocating the gas facilities. At such time when we proceed with the final design, they will initiate their own internal final design work. BATHER, RINGROSE. WOLSFELD. JARVIS. GARDNER, INC. 2829 UNIVERSITY AVE.. S.E. MINNEAPOLIS, MN 55414 PHONE 612 1 379 -7878 H PLAN NI NGITRANSPORTATION I ENGI NE ERI NGIARCH ITECTU RE July 16, 1981 TO: City of Chanhassen Housing and Redevelopment Authority Attn: Scott Martin, Director FROM: Donald W. Ringrose RE: Chanhassen Redevelopment Program Northwestern Bell Telephone Company Relocation File 18 -8103 MEMORANDUM CITY OF CHANHASSEN .IUI. 2 01981 COMMUNITY DEVELOPMENT DEPT. Arijs and I met with Dan Ressler and one of his associates representing the North- western Bell Telephone Company in our office on Tuesday morning. We reviewed the overall project, the proposed schedule for implementation of the public, as well as the private improvements within the redevelopment area, and the impact on their in -place facilities. They were reasonably familiar with the project prior to our meeting and had given considerable thought to their relocation program and overall response. The Telephone Company appears to be very cooperative in this matter. They indicated that they will be relocating their facilities as required to accommodate the improve- ments, and stated that the cost of such relocation will be borne by the Telephone Company insofar as it affects the public sector. Major relocation or telephone rehab within buildings is a separate issue not involving the City, but involving the private property owners that work may or may not be done by the Telephone Company as it is currently permissible to have such work done by private contractors. After we had reviewed several options or alternatives that were available to the Telephone Company, the general concept evolved wherein they are anticipating reloca- tion of the major cables around the southerly side of the redevelopment project in the boulevard area of the Ring Road. Their work would be closely coordinated with that of the roadway construction. Also, they are anticipating some cable replace- ment and /or reconstruction around the northerly side of the project area along the residential roadway located immediately north of the redevelopment area. They are going to prepare a more specific plan and schedule including the identifica- tion of conflicts and coordination problems, which the City and the private developers should be aware of. Upon receipt of that information, we will review it to ensure that it is compatible with the most current schedule and program available at that BATHER. RINGROSE. WOLSFELD, JARVIS, GARDNER, INC. 2829 UNIVERSITY AVE. S.E. MINNEAPOLIS, MN 55414 PHONE 612 1 3797878 •r i r-- I f'- I r l r k Mr. Scott Martin July 16, 1981 Page 2 time. In general, I would consider the meeting very useful and state that I do not anticipate, based on this discussion, any particular problems with the relocation of telephone facilities. The question of telephone facilities raises the obvious question of electric power and gas utilities; therefore, we have proceeded to initiate meetings with those two utilities such that we can establish similar preliminary designs and schedules for the relocation of their facilities as required. We'll keep you informed of developments in that regard. DWR /dh cc: Terry Herman Arijs Paklans t,