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HomeMy WebLinkAbout10-04-16 CCMPT1 III C;I"i"Yt:}I� Ourlli sion is to Propide uali y I�obfirSer��iees in a FiscalZy eponsible AKELManner 1r','luile Presemiq the Gpi's Open 3paee Charader NOTICE OF MEETING City Council Meeting Tuesday, October 4, 016 .00 P.M. City of Labe Elmo 13800 Laverne .Avenue North :' Call to Order/Pledge of Allegiance Approval of Agenda Approval of Minutes 1. September 2C,2C1C Public Comments/Inquiries E- fesentati . Consent Agenda _'''Approve Payment of Disbursements Approve Amended Special Assessment Policy —Resolution 2016-83 Approve Amended Fee Ordinance _ Ordinance '-1 ;• Resolution 2016-85 . Approve Business SAC Deferral Program Agreement with Met Council Approve Leaf Drop Off Bays Event Authorize Certification to the WA Cry Auditor - Delinquent Stormwater Bills -- Resolution 216-8 .' Approve Homing Lot Size Variance -- I rause's-Addition, Lot 9 —Resolution 2916-8 Refer OpenGov Discussion to 10/11 Work Session if Inwood Booster Station — Approve Change Order Now . CSAH 15 & 10th Street Intersection — Approve Cooperative Agreement Payment No. 3 . Approve City Planner Pay Increase . Approve loyal Golf Club Escrow Agreement '. ,Approve Xcel holiday Lighting Contracts for Downtown G. Regular Agenda . Reconsider Fence Ordinance-- Ordinance 8-15 ;° Resolution 01 -7 X. OP Ordinance -- Ordinance 08--1 S ; Resolution 2016-75 City Administrator Review Process .Moratorium Issue . Street Naming Policy — Ordinance 08-14 Resolution lution 201 -8 ,peCommon Ground Interim Use Permit Request — Resolution 21 -88 :24/Wasatch Storage CAP -- Resolution 2016-8 ,zzlludson Boulevard Lift Station Improvements — Award Engineering Design and Construction Services Task Circler ,2,3�201'7 Street Improvements — Authorize Feasibility Report and Geotechnical Services treet Inventory and Condition Assessments — Authorize Contract for Street Condition Ratings/Inventory 0Council Driven Agenda Items 6. Council Committee Attendance by Council Members Who Are Not Appointed Members of the Committee H. Staff Reports and Announcements f. Adjourn CITY OF SEPTEMBER, ,2016 CALL TO ORDER/PLEDGE OF ALLEGIANCE Mayor Pearson called the meeting to order at 7. OO pm.. PRESENT; Mayor hike Pearson and Councilmembers Julie Fliflet, Anne Smith, Justin Slayer; and Jill Lundgren. Staff present: Administrator Ilandt, City Attorney Sonsalla, City Engineer Griffin, Finance Director Bendel, Planning Director Wensman, City Planner Becker, Building Official Bent and City Clerk Johnsen. APPROVAL OF AGENDA, Item 21, " OP4 Boulder Ponds LLC :honing Map endment/PU Amendment" was removed from the agenda at the request of the applicant. Item 20, "Approve Concrete Work at City Hall" and Item 17, "Approve Lions Park Design Services — Miller Architecture" were moved from the Consent Agenda to the Regular Agenda. C ouncilmember Smith, seconded by Councilmeniber . li let,, moved TO APPROVE THE Minutes of the August 16, 2016 :Regular Meeting were approved as presented by unanimous consensus. PUBLIC COMMENTS/INQUIRIES Virginia Pleban, 8245 59 b Street North, commented on what qualities make for a good: politician. Dunn,Susan . Uppert the Council support for neighboring communities opposed to the Lake Elmo Airport t t i i � �' t ! t i3 ► r,# t � ! t t ! ! / t � • ' t 1 itMUM #YEN SEPTEMBER 20,2016 14. Approve Repairs to Well #2 Roof 15. Approve payoff of Existing Building Vehicle Loan 16. Approve Safe Assure Contract Renewal 18. Approve Tablyn Park Upgrades 19. Accept LMCff New Special Endorsements Eli I W)"s am 51 owl! . ; - ;� '+- T .ejoalcpxy-u��Jj' (QY 11 �9 - -Z a -1 IAA"01 Planning Director Wensman reviewed the history and recommendations for updates to the OP Ordinance. Changes to each section were reviewed and discussed. Ann Bucheck, 2301 Legion Avenue North, stated concerns about the extension of city water lines and the 6120 Rule relating to shoreland. Susan Dunn, 110 18 Upper 3 3d Street North, urged the Council to get as much information as possible on the issues, Discussion was held concerning buffers and the requirement for a 4/5ths vote for future changes to the ordinance. Councilinember fo{ seconded by councilmember Lundgren, moved TO AMEND THE PRIMAR Y MOTION TO ADD A 441M VOTE REQUIREMENT FOR DEvL4 TioNs To BUFFERS. OM� Planning Director Wensman suggested that staff redraft the ordinance and present a revised version for the Council to consider. LAKE ELMO CITY COUNCIL MINUTES SEPTEMBER 20,2016 Councilmember Bloyer, seconded by Councilmember Fliflet, moved TO POSTPONE FUR7MR ACTION TO !WE NEXTREGUL4R COUNCIL MEETING. Motionpassed5 0. 1 up the process by allowing administrative approval for subdivision of property. RES Ut TING FR OM A CQ UISITT JMPWOPEMEN1� OR USES, A" RESOLUTION 2016-76 FOR ITS SUMMARY PUBLICATION. Motion passed Finance Director Bendel presented the recommendations of the Finance Committee regarding the changes to the assessment policy for the downtown project. 101"A'"Will [MUM i Administrator Handt reviewed the request for additional funds for drain the and curbing in the Easton Village Park, ITEM 26: Fence Ordinance City Planner Becker reviewed the current fence ordinance and two proposed options for changes ,to one section of the ordinance pertaining to solid will fences. LINEAL MEASUREAIENT OF TnE TENCE DOES NOTE��� 68k�M&RTH OF ME LINEAR DIS TA NCE OF THEPERIME TER OF THE 10 T ON A L OT UNDER HALP ANA CRE; HH" REPEALS SUBP. E.; AND WHICH REPEALS THE REQUIkEMEiVT OF 154.080 TVATtW�ES INSIDE AND REAR YARDS BE 30% OPEN. Motionfalled2 Pearson, SrWth — abstain) # Mayor Pearson stated he would not support the proposed budget, as it counts on income that isn' t permanent and he feels there is a need to invest in equipment and vehicles. !'!I I IF 11111:11i City Engineer Griffin reviewed the scope of the improvements, project costs and assessment methodology, MEIJI= '�Iiipii�iq�111 - 1111111109���O� Authorize Feasibility Report and Borings City Engineer Griffin presented the proposed location map, project schedule and petitions received from residents asking to be included in the project. Griffin also explained how areas were chosen for Phase 3, the estimated project costs and potential alignment for connecting Lake Elmo Elementary to the City sewer system. # i SEPTEMBER 6 a- • Administrator Handt presented staff recommendations for a job classification and compensation study, noting that the recommended vendor could provide the information in time for it to b used in preparing the Pay Equity Report required by the state. ITEM 32 City Administrator Review Process City Attorney aonsalla provided background on the City Administrator's contract and requested Council direction on whether or not the Council would like to conduct aperformance review. STAFF REPORTS AND ANNOUNCEMENTS Administrator Handt: reported on ongoing projects and meetings attended. City Clerk Johnson: reminded residents of the communication tools available for City related information: the Fresh, Facebook and website. Finance Director Bendel: no report. City Attorney onsaita: reported on inquiries received related to the moratorium. City Engineer Griffin: reported on construction progress. Page 5 of Meeting adjourned at 10:48 pm. LAKE ELMO CITY COUNCIL ATTEST: Mike Pearson, Mayor Johnson,Julie T1 H' CITY OF LAKE ELMO MAYOR& COUNCIL COMMUNICATION BATE: October 4, 2016 CONSENT ITEM # MOTION AGENDA. ITEM Approve Disbursements in the amount of $233,331.61 SUBMITTED BY: fatty Baler, Accountant THROUGH: Cathy Bendel, Finance Director REVIEWED BY: Cathy Bendel, Finance Director SUGGESTED ORDER OF BUSINESS: Introduction of Item . . Cite Administrator Report/Presentation ......... ... ...................................City Administrator _ Questions from Council to Staff ................... ............,...:.... Mayor Facilitates Call for Motion . ....................................... . Mayor & City Council Discussion . ................. ........................................... Mayer & City Council Action on Motion...., . Mayer Facilitates SUMMARY AND ACTION REQ STED. As pai t of its Consent Agenda, the City Council amountis asked to approve disbursements in the $233,331.61 . No specific motion is needed City Council Meeting October 4, 2016 [Consent Agenda. Item 2] BACKGROUND INFORMATION/STAFF PEPORT: The City of Lake Elmo has the fiduciary responsibility to conduct normal business operations. Below is a summary of current claims to be disbursed and paid in accordance with State law and City policies and procedures. Claim # Amount Description ACC $ 13,817.40 Payroll Taxes to IRS & NM Dept of Revenue 09/29/16 ACH 7,290.04 Payroll Retirement to PE RA 09/29/16 ACH $ 1,200.00 Payroll Retirement to ICNIA 09/29/16 DD7478-DD7510 $ 33,238.61 Payroll (Direct Deposits) 09/29/16 44923-44975 $ 177,605.56 Accounts Payable 10/04/16 2778-2780 $ 180M Library Card Reimbursement 10/04/16 TOTAL $ 233,331.61 RECOMMENDATION- Based on the aforditbritioned, the staff recounuends the City Councl approve as part • the onsent Agenda the aforementioned isbursements in the amount $2331331.61 ATTACHMENTS: 1, Accounts Payable — check registers 11 -- page 2 4® o z z z z to 0. 42 C> Ci C� C� wl 00 00 r- 00 00 0 can cl; N 00 w ca. rq t> C> 0 00 C: QNca N 0 ev !tR o 00 00 w 0,0 00 10 64 C5 C� 0 f-I W) N N — 00 C) 00 C> cn N C> r14 N 0 cq < 1, C> C> C> C> z z z z z z z z 0 0 0 0 a 0 C-4 NQ C> C> —9 4N — 9 C> \0 11 r-- 14c, �c 001, tn 00 c! 4 Itil 1XI to cz co 13 0 pa,0 z oo C7sIm C1 — ',= " *,= m '= ,I- %Z tn 0 0 — 0 C� 0 0 75 pa to Vi^a yfl to U eq U rq M U C,4 M 'o U L-4 rn yak C-4 Q i-4 on c> U eq m �o u N "C� Q N �o C.) c) Q N �o u %C Q N cq (N 04 Cl) s � IM', C', s ?-, M N s �� Z; i eq 0 rq C-4 C� C14 Cl C-4 C14 r,4 r4 N cli , Clq I 71 0 0 21 N , Q , <N clq — 7� 00 :r .0 = I '.5 00 00 00 CO 00 00 0 00 C= 00 C� CO C> 00 00 0 C) OQO 0 C) C> C> 0 C> tn vi (1) kit. to r,4 zn C> to 00 M 4") W) 00 M 4? 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NCA,.. a I too C, 01) C> 0 m X, u c, 4=1 0 00 00 00 00 t-4 rq V4 0 0 00 wl r,4 V 46 M CU A., St, V7 M rq rq C, to Cqp IJ C�l u 00 C>fiJ C, 21 CD Ln !� 4� I C> I I I L KE EL 1 MAYOR & COUNCIL COMMUNICATION DATE. 1.0/4/016 CONSENT ITEM # AGENDA ITEM: Special Assessment Policy Resolution to Adopt Revision SUBMITTED BY.; Cathy Bendel, Finance Director THROUGH: GH: sting flandt, City Administrator VIEWED BY: Jack Griffin, City Engineer Kristina Handt, City Administrator SUGGESTED ORDER OF BUSINESS ` i ulled Lrom Consent .. Introduction of Item ..... ..........................., ....... ...............:.............. Staff Report/Presentation .................. ........... ........ .............................. :....... ..... ... Staff .: Questions stions from Council to Staff .......... ..................r.......... Mayor facilitates - Open Public Improvement hearing, Public Input ......... ...... Mayor facilitates _ Call for Motion ...................................................... Mayor & City Council Discussion .... ................... .................. ....................... Mayor & City Council -_ Action on emotion... ........... ........ ...... ::........ ........ .................... Mayor facilitates POLICY! i FISCAL IMPACT: TBD SUMMARY A" ACTION JRE!2q�UD-. The City Council is respectfully requested to consider approving Resolution No. 016- 3, adopting revisions to the City of Lake Elmo Special_ Assessment Policies and Procedures for Public Improvements. As this is part of the Consent Agenda, no specific notion is required:. If the Council chooses to pull the item: for discussion, the recommended motion for this action is as follows: "Move to approve Resolution No. 2 I -- `. , adopting revisions to the City of ak Elmo Special Assessment Policies and Pr o edur es for Public Improvements. " -- page 1 [Consent Agenda Item 3] On November 16, 2010, the City Council adopted the Special Assessment Policies and Procedures for Public Improvements, The policy was developed by an assessment policy review Subcommittee working with the City Administrator, City Engineer, and City Attorney to review and develop an updated policy based upon the goals and objectives established by the Council, On June 17, 2014, the City Council updated the policy to modify the policy related to the calculation and application of the Lateral Benefit Charge for properties in and outside of the areas planned to receive municipal sewer utilities. The Finance Committee has been reviewing financing matters related to the downtown and presented their recommendations on Septembers 20, 2016 which included directing staff to update the special assessment policy to reflect those changes. RECOMMENDATION: Staff is recon-unending that the City Council consider approving Resolution No. 2016-83, adopting revisions to the City of Lake Elmo Special Assessment Policies and Procedures for Public Improvements. As part of the Consent Agenda, no specific motion is required. If the Council chooses to pull the item for discussion, the recommended motion for this action is as follows: "Move to approve Resolution No. 2016-83, adopting revisions to the City of Lake Elmo Special Assessment Policies and Procedares for Public Improvements. ATTACHMENTJS)-. I . City of Lake Elmo Special Assessment Policies and Procedures for Public Improvements; Amended October 4, 2016 2. Resolution 2016-83, A Resolution Adopting Revisions to the City of Lake Elmo Special Assessment Policies and Procedures for Public Improvement I -- page 2 1,111121ii! [MIV 1AW01 a 0501 1,N 001 PUT 1110 rd Re K11 011=11 x1bX10 I RON MIN WHEREAS, the City undertakes public improvement projects from time to time, and may desire to defray all or a portion of the cost of the improvements against the benefiting properties; and WHEREAS, on November 10, 2010, the City adopted the Special Assessment Policies and Procedures for Public Improvements manual, to serve as the general guide for a systematic assessment process for public improvements in Lake Elmo; and WHEREAS, on June 17, 2014, the City Council readopted and perfected in Ordinance 08-108 to clarify how properties would be charged lateral benefit fees for water improvements; and WHEREAS, the City staff is recommending amendments to the policy in order to bring the assessment policy in line with the recently adopted changes approved by the City Council on September 20,2016. NOW, THEREFORE, BE IT RESOLVED, 1. The Special Assessment Policies and Procedures for Public Improvements manual, amended October 4, 2016, a copy of which is attached hereto and made a part hereof, is hereby approved and adopted. ADOPTED BY THE LAKE ELMO CITY COUNCIL ON THE FOURTH DAY OF OCTOBER 2016. By: Mike Pearson Mayor Julie Johnson City Clerk Resolution #2016-83 1 CITY OF LAKE ELMO SPECIAL ASSESSMENT POLICIES AND PROCEDURE FOR PUBLIC IMPROVEMENTS 'ne aci d b Rgso i �n 4 < 1,0 - i g2 £ cto r' 201 Amended by Resolution No. 2014-45 on: dune 17, 2014 Amended by Resolution No. 2013-10 on: December 17, 201 Adopted by Resolution No. 2010-06 on: November 15, 2010 i SECTION I: GENERAL POLICY T T 1 N1..... ....... .: ......... ......... ....... .. .......... 3 SECTION It: DEFINITION OF IMPROVEMENTS ELIGIBLE FOR SPECIAL ASSESSMENT ...5 SECTION III. INITIATION OF PUBLIC IMPROVEMENT PROJECTS, .....,,....7 SECTION 1V: PUBLIC IMPROVEMENT ROCEDURES...,, ... ,....... �8 SECTION V: GENERAL ASSESSMENT POLICIES , ..,,:::., „ ::., ....... ..... 10 SECTION Vi METHODS OF ASSESSMENT, ..:::::. ....::..: ....... ...........14 SECTION VII: POLICIES OF REASSESSMENT ::.:. ....:.:. ..::.,. -.17 SECTION Vlll. DETERMINATION OF ASSESSABLE COSTS .......:. ......... ..., .......,...18 ri • e^ e e e .ee may be necessary to support the proposed The City must recover the expense of installing public improvements undertaken, while ensuring that each parcel pays its fair snare of the project cast in accordance with these assessment guidelines. While there is no perfect assessment policy, it is important that assessments be Implemented in a reasonable, consistent and fair manner. There may be exceptions to the policy or unique circumstances or situations that may require special consideration and discretion by City staff and the City Council: 13 • IL FOR SPECIAL AssEssmw Minnesota Statutes §429�021. Generally the improvements Include: X Street and sidewalk improvements: Acquisition, construction, reconstruction, extension and major maintenance of any street and sidewalk and improvement of streets and sidewalks including base and subbase, pavement, gutters, curbs, and vehicle parking stripes, paver cross walks, pedestrian crossings, medians, beautification amenities, and street and sidewalk drainage systems. B� Street fighting systems. installation, replacement, extension, and maintenance of street lights, street fighting systems, and special lighting systems. C. Parks, trails, open space areas, playgrounds, and recreational facilities. Acquisition and improvement of land, and purchase of equipment and facilities, and the construction, reconstruction, and extension of trails. E, Potable waterworks systems. Construction, reconstruction, extension, and maintenance of water supply wells and pump houses, water treatment facilities, storage tanks, and all components of the watermain distribution system network and related appurtenances, F, Sanitary sewer systems. Acquisition, development, construction, reconstruction, extension, and maintenance of sanitary sewer conveyance and treatment systems. This may Include sanitary sewers, interceptor mains, lift stations, treatment facilities and treatment systems, service connections, and other appurtenances of a sanitary sewer system. G. storm sewer and drainage systems, Acquisition, development, constru ion� reconstructionj extenslon� and maintenance of storm water management facilities and storm sewer systems. This may include outlets� culverts� pipe systems, catch basins, B holding areas and ponds, Infiltration basins, rain gardens, treatment plants, pumps, lift stations, service connections, and other appurtenances of a storm sewer system. K Nuisance abatement. Includes, but is not limited to, draining and filling swamps, marshes, and ponds on public or private property. 1, Dikes and other flood control works. Construction, reconstruction, extension, and maintenance. J. Retaining and area walls, including highway noise barriers. Acquisition, construction, reconstruction, improvement alteration, extension, and maintenance, K, Malls, plazas, or courtyards, Acquisition, construction, improvement, alteration, extension, operation, maintenance, and promotion of public malls, plazas, and courtyards. L Parking lots. Acquisition or construction of parking facilities. A. A public improvement project may be initiated by petition of at least 35% of the affected property owners. B. Public improvements may be initiated by the City Council when, in its judgment, such action is required. A resolution ordering any Council initiated Improvements requires a 4/5th vote, rather then a simple majority, M SECTION IV. The following is the general procedure that will be followed by the City Council for all public by -case basis and within the context • Minnesota Statues § Chapter 429. Improvements of different kinds anywhere in the City may be included in a proceeding and curb and gutter, and water and sewer mains installed anywhere in the City. A. Staff reviews petition for local improvements from property owners and submits the petition to the City Council, or the City Council passes a resolution ordering a Feasibility Report on the improvement. B. Council accepts or rejects the petition. If accepted, the Council orders the preparation of a Feasibility Report on the improvement, The Council may condition further action on the recovery of costs associated with the project and/or Feasibility Report, C. Staff prepares a Feasibility Report on the proposed improvements, or reviews the report submitted by another agency/representatives. D. Council accepts or rejects the Feasibility Report. If accepted, the Council orders a public hearing on the improvements. E, Staff publishes a hearing notice and malls notices to the affected property owners. R Council conducts improvement hearing and adopts or rejects a resolution ordering the improvement and the preparation of plans and specifications. Bonds to finance project costs may be Issued at any time after the improvements are ordered. G: Staff prepares final plans for Council approval, Council approves the plans and authorizes the advertisement of the improvements and the opening of Bids, 0 H, Staff receives bids, prepares a bid tabulation, and makes a recommendation to the City Council for Award. Council rejects the bids or awards a contract based on the bids received. L Performance of the work under contract is completed, Staff supervises construction, prepares payments, and completes the improvement project. JStaff prepares an assessment roll and presents It to the Council. K, Council reviews the assessment schedule and orders an assessment hearing, L Staff publishes a hearing notice, mails the notice of hearing date and the proposed assessments to the affected property owners. K Council conducts assessment hearing, adopts, revises, or rejects the resolution adopting the assessment roll. If adopted, Council authorizes certification of the assessment to the County Auditor. N. Staff certifies the assessments to the County Auditor, • Note: At Council's discretion, Item G may be carried out in advance of the Improvement hearing, • Note'. At Council's discretion, Items J-N may be carded out in advance to Council award and constructing tile improvements, $1 SECTION V. GENERAL ASSESSMENT POLICIES The cost of any Improvement shall be assessed upon property benefited by the Improvements, based upon the benefits received. The following general principles shall be used as "a basis of the City's assessment policy: A. it is the general policy of the City of Lake Elmo to require future development in accordance with the City Comprehensive Plan and for new areas of development In an orderly manner, typically contiguous to existing development areas, It Is also the general policy of the City of Lake Elmo to require all new development areas to provide for adequate public Infrastructure at the Developers sole expense, and in accordance with B: The use of special assessments will typically be employed by the City to finance needed public improvements (e.g, parks and traits, sidewalks, water, sewer, and street improvements) In certain areas that have previously been developed without all needed Infrastructure, or to repair andlor replace aging infrastructure. MIM DThe "assessable cost' of an improvement is equal to the "project cost" minus the "City cosr% M 0 M shall be two percent LI;%_mcirs loan the a era a coupon interest rate of the bonds, �jlh:hqht rounded to the nearest quarter of a percent. If no bonds were sold, the interest rate shall be set at the rate allowed by State law. Pre -payment. The City will certify each year's collection (principal and interest) to the County Auditor by November 30th. The owner of any property that is assessed may pay their assessment in full, interest free for a period of 30 days after the adoption of the assessment. After such period interest shall be computed from the date specified in the assessment resolution. The owner of any property that is assessed may also, at any time prior to certification of the assessment or the first installment thereof to the county auditor, pay the whole of the assessment on such property to the City, With interest accrued to the date of payment. In any subsequent year, the owner may at any time prior to November 15, prepay to the City, the whole assessment remaining due with interest accrued to December 31 of the year in which said prepayment is being made. Where an improvement is designed for service of an area beyond that of direct benefit, increased project costs due to such provisions for future service extensions may be paid for by the City. The City will levy assessments to cover this cost when a new improvement is installed as an extension of the existing improvement. As an alternative, the City may assess these costs to the area of future benefit immediately, H. Where the project cost of an improvement is not entirely attributable to the need for service to the area served by said improvement, or Where Unusual conditions beyond the control of the • of the property in the area served by the improvement would result in an inequitable distribution of special assessments, the City, through the use of other funds, may pay such 'City cdat' which, in the opinion of the City Council, represents the excess cost not directly attributable to the area served� 1. If financial assistance is received by the City from the Federal Government, from the State of Minnesota, the County, or from any other source to defray a portion of the costs of a given improvement, such aid will be used first to reduce the "City cost' of the improvement. If the financial assistance received is greater than the normal "City cost", the remainder of the aid will be applied according to the terms of the assistance program or at the Council's discreflon, J. City -owned properties, including municipal building sites, parks and playgrounds, but not including public streets and alleys� shall be regarded as befog assessable on the same basis as if such property was privately -owned, K, Improvements specifically designed for or shown to be of direct benefit to one or more properties may be constructed by the City. The costs for these improvements will be assessed directly to such properties, and not included in the assessments for the remainder of the project, An example of this would be utility service lines running from the main lines to the property. L. Benefit Appralsals. In the event that City staff has doubt as to whether or not the proposed assessments exceed the special benefits to the property in question (increased property value as defined by State law), the City Council may order benefit appraisals as deemed necessary to support the proposed assessments. M. A property owner may elect to offset Special Assessments against condemnation awards by executing a Net Assessment Agreement with the City Council, ft Assessment Deferral Procedure for Green Acres Parcels: In cases where Improvement projects are determined to benefit properties that have been certified to qualify for Green Acres exemption, the City will determine that portion of the project cost that benefits those properties, and finance that portion of the project cost as a system cost. During the period of deferral, interest shall be applied annually to the unpaid principal balance of the deferred amount at the rate established on the original special assessment, or as adopted by resolution of the City Council at the time the original assessment is adopted, Once the benefiting properties no longer qualify for Green Acres status, the City may recover the unpaid principal balance plus Interest either through assessments or connection charges, O� Assessment Deferral for Hardships, The City Council will consider deferment for the •. • • assessments on any homestead property, owned • a person 65 years • age or older, or retired by virtue • •- and total disability. A hardship may •- deemed to exist when the annual principal installment • all assessments levied against the property exceeds two percent (21/6) of the adjusted gross income of the applicant as evidenced by the •. most recent federal income tax return, and M total assets (excluding the homestead property) do not exceed six times the adjusted gross income. The City Council may also determine, on a case by case basl% the existence of a h2rissip Qn tl-,e if tkreitioal a?-# vnviQ21 circum4tuGes x,*t coon.-V ky tlietg applicant an unreasonable preference or advantage over other property owners. During the period of deferral, interest shall be applied annually to the Unpaid principal upon the occurrence of any of the following events' (1) The death of the owner when hardship will be conducted every three to five year& M SECTION V1. I he Uty of Lake Elmo has adopted the following three methods for assessment of public improvements' fixed cost unit, adjusted front footage, and by area method. For any particular project one of these methods will more adequately reflect the true benefits received in the assessment area than the other methods. The City Engineer, in his Fp2sNdlit uJ%-LJ,.L`JLLJn&c11 Uhl benefit received for the area to be assessed� The City Council Will select the preferred method of calculating the assessments at the time the •r is ordered. The general rule is to assess platted residential lots using the ""unit" assessment basis; however, where platted residential lots do not reflect a general similar size and shape, consideration will be given to an adjusted front footage basis, Commercial, Institutional, and Industrial lots will be assessed on an adjusted front footage basis; however, consideration Will be given to a "unit" assessment if the special benefit to the property In the district Is essentially the same. The methods of assessment outlined within this policy are not intended to be an exhaustive list of acceptable approaches, The Council may adopt alternative approaches as they deem necessary to fairly and equitably allocate assessments for unique situations, The following methods of assessment, as described and defined below, are here established as the official methods of assessment in the City of Lake Elmo, 1. Fixed Cost "Unit" Method of AssessmeM IMPARrAWAMW benefited area shall be assessed equally for the improvements, The "fixed cost per unit" shall be defined as a quotient of the "assessable cost' IM For the purpose of determining the -unitsii or "parcelsall parcels� including governmental agencies, shall be included In such calculation& When large lots can be subdivided into more than one lot, the number of assessable lots attributed to that parcel will be determined from the number of potential future lots that could be obtained using current subdivision regulations. I - I I WAMAPIOMMI-A fixed units assigned to the property may be determined by an equivalent 2. -Adjusted Front Footage- Method c(Assessment file citsf per aNtsteo Trom Yio*v� 77 assessa quotient of the "assessable cost" divided by the total assessable frontage benefiting frorn the improvemeriL The assessment for each parcel is then each property, For the purpose of determining the "assessable frontage', all -W-OW Jai in such calculation. TXP 7,ctuvd soysical Amensit*s *f v 12rcel Oluttl*s -?."�rt'veme'At fi.e., Street, sewer, water, etc.) shall NOT be construed as the frontage utilized to calculate r1*1a , 333 1� "I'll i Wiage mir-be determined. in the Adjustment Front Footage method� odd shaped lots are is to equalize assessment calculations for lots of similar size, defined as the number of square feet or acres within the boundaries of the appropriate property lines of the areas benefiting from the project, The assessment rate (lie, cost per square foot) shall be calculated by dividing the 15 total assessable cost by the total assessable area. The assessment for each a rwe of the %.rcel, On la lots -!he Ci LY E ineer-may deterrme—thhat onfi a portion of the lot receives the benefit and may select a lot depth for the calculations equal to the benefit received. 'P#�MTZMT benefited area, including other governmental areas, churches, etc. shall be Included in the assessable areas. The following items may not be included in area calculations- nubile-swamg^-�-oAJAm�nr- other wetlands designated by the Mn/DNR. The City Engineer Witt make the recommendation on the benefited area the Feasibility Report, In SECTION VII. such improvement to last for a defined period. The life expectancy or service life shall be as ttate�•olicy statement of this section, or if different. shall be as s t d in the Resolutton ordering the improvement and preparation of plans. When such project needs rishewing or replacement prematurely� the amount to be assessed against the property owner shall be expected service life of the original improvement, A. POLICY STATEMENT The following are hereby established as the "life expectancies" oof and preparation of plans, in which cas% the life set forth in the Resolution shall govern, 1. Sidewalks and Trails - 15 years 2, Street Improvements, including surfacing and curb and gutter - 20 years 3: Street Lighting - 20 years 4, Water Mains and Appurtenances - 40 years 5 Sanitary Sewers and Appurtenances - 40 years 6, Storm Sewers and Appurtenances - 40 years T Mechanical and Electrical Systems, Pumps and Controls - 15 years SECTION, VIII. A. STREET IMPROVEMENTS Density Residential, Commercial, and Industrial Properties will be assessed if the property abuts the Improvement Large lots and Undeveloped properties may be assessed additional units In accordance with Section Vt. B Comer Lots: A corner property having direct access to two public streets shall be assessed 50% of the per unit basis when each public street is improved. When one street is a collector street, the property shall be assessed 70% of the per unit basis for the higher class street. 1. New Street Improvement Construction and Paving All new street improvements will be assessed 100% to the benefited properfies when the improvement includes a 'New" street, For new storm drainage systems, adding curb and gutter, and paving gravel roadways, the 'New' improvement Will be assessed 100%, while the base, subbase and other in place elements will be assessed as defined under Street Reconstructions. 2. Local Street Improvements Local street Improvements and paving shall be assessed based on the minimum by the unit method; however, other methods may be considered. Oversizing (4) any other method or combination of methods authorized by the City Council In generaij collector and arterial street improvements ire cons! ered a 18 I i municipal state aid funds. Residential propedies with private access to collector a local City standard street determined by removing street oversize costs and additional costs associated with higher traffic volumes, property benefitfing area with the area to be determined by the City and approved by the City Council. Romm All residential street reconstructions shall be 300%, assessed to the beriefitting properties and will normally be assessed by the unit method. Street 5. Street Maintenance Overlays and Seat Coating Bituminous overlay projects, bituminous seal coats, patching, crack sealing, fog sealing, and filling potholes will not be assessed when completed as part of the street system's "life cycle" maintenance activities. - 1-1 --11-1, 11## ## #R— - ► - nar- period. The City may install sidewalks, trails or bikeway improvements in accordance vinth the City Comprehensive Plan for the coor for City Council directed purposes, in which case the City may not assess the improvements. At City CoUncil ,�art of a street co nstru tiS ss! wltl—pwk ri�struc Ion/rec o usi Municipal State Ald—&n ing, C funds. I. Atew Construction New sidewalks, trails, and bikeway improvements will be 100% assessed to the benefitting properties based upon the adjusted front footage, 2 Reconstruction Replacement sidewalks, trails and bikeway improvements will be assessed 30% to the abutting residential properties and assessed 100% to the abutting commercial, industrial, and institutional properties. *y the Council for each specific project. Street Light improvements may be assessed as determined by the Council for each specific project. E. TRANSPORTATION IMPROVEMENTS All costs associated with traffic and transportation related improvements, such as widening of a roadway for turn lanes, additional driving lanes, on -street parking, traffic calming, and traffic signalizatlion may be assessed 100% to the benefiting properties. Storm sewer and drainage facility improvements shall be considered and incorporated as part of street Improvement projects and assessed as part of the project and levied over a 10-year period, Storm sewer and drainage facility improvements completed as independent projects will normally be assessed by the area method taking into account each parcels land use and rate of runoff as determined by the City Engineer. 1, New Storm Sewer and Drainage Facility Improvements New storm sewer and drainage facility improvements installed in conjunction with new street construction where no storm sewer previously existed will be assessed 100% and be included in the street assessment to benefiting IN properties, If the facilities are oversized to accommodate drainage from areas outside the street improvement assessment area, the additional casts may b assessed to the properties in the contributing area. "their assessment will b determined by the area method based on the contributing area of the parcel(s) taking into account the land use and rate of runoff. 2 Replacement and Major Maintenance of Storm Sewer Improvements Any replacement costs or reconstruction of existing storm sewers and drainage facilities in conjunction with street reconstruction projects will be assessed 30 and be included in the street assessment to benefiting properties, If the facilities are oversized to accommodate drainage from areas outside the street improvement assessment area, the additional costs may be assessed to the properties In the contributing area, Their assessment will be determined by the area method based; on the contributing area of the parcel(s) taking into account the land use and rate of runoff, G. SANITARY SEWER IMPROVEMENTS Assessments for sanitary sewer improvements small be based upon the cost of construction of -inch sewer mains. Oversizing costs due to larger mains and larger appurtenances and/or extra depths required to service future development, and major trunk sewers or Interceptors will not be assessed and will be "City system costs" funded out of the Sanitary Sewer Reserve Fund. Normally, sanitary sewers will be assessed lasing an adjusted per lot method, with the adjustment made using the Metropolitan Council calculation to establish a residential equivalent unit (REC). Normally, sanitary sewer system assessments are levied over aLyar pnooµ sirs cthrwrse set by..,._.. momete: aii,irs the City Council: Street improvements and major street maintenance that are completed as part of utility replacement projects and has effectively accelerated the replacement of the street before its expected useful life, shall be funded through the Sanitary Sewer Reserve Fund in proportion to the remaining design life of the street. 21 9, Interceptor Sewer System The Metropolitan Council Environmental Services (MCES) is responsible for the construction of the regional interceptor sewer system and for the wastewater treatment facility to treat the sewage generated in the City of take Elmo. The MCES has established a Sewer Availability Charge (SAC) that is collected from each unit connected to the sanitary sewer system. The current charge per residential equivalent unit (REC) is collected, in full, by the City at the time of connection or the issuanceof the building permit as part of the City`s Sewer Availability Charge. The City collects this charge and passes the required portion of this fee can to the MCES, . Trunk Sanitary Seaver System The Trunk Sanitary Sewer System is constructed to serve the entire community or a larder service; area and therefore is deemed to be of community -wide benefit. Trunk sanitary sewers, lift stations, and other trunk sewer system facilities shall be financed by a City Sewer Availability Charge (SAC) to be paid at the time of connection to the City system with a City trunk system component and a pass through component to the MCES The City portion of the Sewer Availability Charge (SAG) Ang tit' CcnrieclioQ fetes ,. can units existing at the time of construction may be paid in normally not more than 12C1 annual installments of principal plus intarest.on the unpaid rinciflai ,v- balance at an interest rate set by the City Council. The Sewer Availability Charge (SAC) on units built after the sewer construction should be paid in full at the time the building permit is issued: 3, Lateral Sanitary Sewer System The costs for lateral sanitary sewers shall be fully assessed 100% to the benefiting properties. Commercial, institutional, industrial and multiple land uses and undeveloped lands are converted into equivalent residential units for assessment purposes. Any building unit which is served directly by an interceptor or trunk sewer and therefore requires no lateral sewer, is levied a lateral benefit assessment which is equal to the Sewer Lateral Benefit Charge as set In the latest adopted City Fee Schedule. 22 i3rmatted: Highlight The replacement of existing sanitary sewer mains and service lines within the right-of-way will not be assessed, but rather financed from the Sanitary Sewer Reserve Fund or other funding sources identified by the City Council. Each property shall pay for the replacement of the service line on their private property, from the right-of-way to the building/home. fit. WATERMAIN IMPROVEMENTS Assessments for new water main improvements shall be based upon the cost of construction of S-Inch water mains, Oversizing costs clue to larger mains and larger appurtenances will not be assessed and will be "City system costs" funded out: of the Water Reserve Fund. Normally, water mains will be assessed using an adjusted per lot method; with the adjustment made using the Metropolitan Council sewer calculation to establish a residential equivalent unit (RSC), Normally, water system assessments are ebyytieCity levied over a..w.,.u_v_.,.w.. d, FormatteHighlight Formatted. Highlight Street improvements and major street maintenance that is completed as part of utility _. replacement projects and has effectively accelerated the replacement of the street before it's; expected useful life, shall be funded through the Water Reserve Fund in proportion to the remaining design life of the street. 9. Trunk Water Mains, Supply, Storage, and Treatment Facilities The Trunk Water Systems Facilities are constructed to serve the entire community or a lamer service area and therefore deemed to be of community wide benefit. Trunk water mains, pump stations, wells, storage tanks, and treatment facilities shall be financed by a Water Availability Charge (WAC) to be paid at the time of connection to the City system: Water Availability Charge {WAC} and (its Cont cticr fees can units eastrn at .. �ratttRgn�ignt the time of construction may be paid in normally not more than Iloii annual ratted �R����a�t installments of principal plus interest on the unpaid principal balance at an interest rate set by the City Council. Water Availability Charge (WAC) on units built after the water main construction should be paid_in full at the time the building permit is issued. 2 2. Lateral Water Mains The costs for lateral water mains shall be fully assessed 100 to the benefiting properties. Commercial, institutional, industrial and multiple land uses, and undeveloped lands are converted into equivalent residential units for assessment purposes, Any building unit in a municipal urban service area (those areas guided for municipal sanitary sewer service) which is served directly by a trunk water main and therefore requires no lateral water main, is levied a lateral benefit assessment which is equal to 1.0 times the Watermain lateral Benefit Charge as sat in the latest adopted City Fee Schedule. The building unit roust connect to the municipal water system within two years of the service being made available: Any building unit outside of a municipal urban service area (those areas not guided for municipel tersaraa eater serc vflich is served drrectly try am .., .arae »ant«ant trunk water main and therefore requires no lateral water main, is levied lateral benefit assessment which is equal to 0.5 times the Watermain Lateral Benefit Charge as set in the latest adopted City Fee Schedule and a service stub shall be installed for the building unit. An additional 0.5 times the Watermain Lateral Benefit Charge shall be charged with the permit at the time of connection to the grater system if the property chooses to make a connection. The later charge shall be made using the Watermain Lateral Benefit Charge as set in the latest adopted City Fee Schedule at the time of the connection. The replacement of existing water mains and service lines within the right-of-way will not be assessed, but rather financed from the Water Reserve Fund or other minding sources identified by the City Council. Each property shall pay for the replacement of the service line on their private property, from the right-of-way to the building/home: 2 BATE; October 4,2016 CONSENT ITEM #t AGENDA ITEM: Adoption of Amended 2016 Fee Schedule SUBMITTED BY. _ Staff THROUGH: II: Cathy Bendel, Finance Director REVIEWED BY. Staff SUGGESTED ORDER OF BUSINESS i removed Lrom the consent end - Introduction of Item ....: w........: µ .......: ........ ....................... . City Administrator Report/Presentation. . .......................... . ................... City Administrator r Questions from Council to Staff ......... ................:.......:.... Mayor Facilitates j y Call for Motion .:. .................................... ..::........ Mayor & City Council - Discussion.......... .......... .................. ........................ mayor & City Council - Action on Motion ... Mayor Facilitates POLICY RECOMMENDER: Staff FISCAL IMPACT: Specific annual dollar amount impact is not available at this time. SUMMARY AND ACTION QUESTED: The City Council is respectfully requested to adopt Ordinance 0 -155, An; Ordnance Amending the Lake Elmo Fee Schedule. The suggested motion is as follows: "Move to approve Ordinance 118455, An Ordinance Amending th e;Lake Ehn _Fee Schedule. " LEGISLATIVE HISTORY: It is incumbent upon the City to continually and regularly review the Municipal Fee Schedule to ensure that it is in compliance with state and local law as well as continually able to bejustified. The majority of the updates were suggested by the new City building official after a full review of the current fee sheet. RECOMMENDATION: The City Council is respectfully requested to adopt Ordinance 08-1 5, An Ordnance Amending the Lake Elmo Fee Schedule: As part of its consent agenda, no formal pages 1 -- City Council Meeting Agenda Item 20 March 30, 201 motion is required, if Council would life to remove this item from the Consent Agenda, the suggested motion is as follows; "Move to approve Ordinance 0 -155, An Ordinance Amending the Labe Elmo Fee Schedule." ATTACHMENTS: 1. Ordinance -15 2. Resolution ##201 - 5 . 2016 City of Lake Elmo fee Schedule -- page -- CITY OF LAKE ELMO COUNTY OF WASHINGTON STATE OF MIN NESOTA 4 RESOLUTI(.#jN AUYI AND SUMMARY WHEREAS, the City Council of the City of Lake Elmo has adopted Ordinance No. 08-155, an ordinance amending the City Code of Ordinances by amending the City's provisions related to theCity Council-, and WIIEREAS, Minnesota Statutes Section 412.191, subdivision 4, allows publication by title and summary in the case of lengthy ordinances or those containing charts or maps; and WHEREAS, the City Council believes that the following summary would clearly inform the public of the intent and effect of the Ordinance; and fill ine City ClerK snan cause me following summary of Drumance flo. V011"DDLO Re P—Ruis Wein the official newspaper in lieu of the entire ordinance - The City Council of the City of Lake Elmo has adopted Ordinance No. 08-155, which amends the City's 2016 Fee Schedule to add an escrow to the sewer connection permit to ensure that the septic tank is abandoned properly when a property is connected to City sewer. The full text of Ordinance No. 08-155 is available for inspection at Lake Ehno city hall during regular business hours. • rund- riall 101- purilu Hispcuuoli alli: be placed for public ection at the Lake Elmo Public Library. MV Mike Pearson, Mayor Julie Johnson, City Clerk Resolution 2016-85 Page,I oft 4778020 SJS LA515-1 (SEAL) The motion for the adoption of the foregoing resolution was duly seconded by member d upon vote being taken thereon, the following voted in favor thereof: and the following votes against same: Whereupon said resolution was declared duly passed and adopted. Resolution 2016-85 Page 2 of 4778020 SJS LA515.1 CITY OF LAKE ELM( COUNTY OF WASHINGTON STATE OF MINNESOTA SECTION 11. Not Codified. This ordinance is transitory in nature and shall not be codified in the City Code. This ordinance and the fee schedule established hereby shall be placed on file and available for public inspection at City Hall. SECTION 111. Effect. The fees set out in the Attached fee schedule apply notwithstanding any *ther fees the City has established which may be inconsistent. An other fees i sed b the y inipo y City which do not appear on the attached fee schedule remain in full force and effect. SECTION IV. Effective Date. This ordinance shall become effective immediately upon adoption and publication in the official newspaper of the City of Lake Elmo. SECTION V. Adoption Date. This Ordinance No. 08-155 was adopted on this 5th day of October, 2016, by a vote of —Ayes and — Nays. Mike Pearson, Mayor Julie Johnson, City Clerk This Ordinance was published on the — day of 12016. R 0 N uj cc ro °c° = o bto bp to 00 tw MO us , m _ _ „ _ c •_ es _ s m a' Q. o Co `- LL W. U- a i s c i €i m co co ca c� m C ulu c'U. 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( :2 Q3 tt .Cf _ _C ! # ! 1 1 • i i t 1 # #A 1 1 1 t f 6 • aMEN A.1. • s Aa. •. A. s! i As !: fa MA N #A ## w A# AR !# i 9 • • # i R • O 1 1 1 AR Al • A# ; i # • M R 1 • ; M t • #1 ■ Mf A # 1 AF i i AA i t 6 r• { • 4 a iR b • 1 1F • A$ r A A AA k i i # k 1A 9 1 RIP i.. a •. i N6 Yi x: ,* x i a i x x .� » .�. x x x x A • i Ai • ! s p • • • i k t a # • i • # # k k # w w i• R M • N► • • � • ai • # i k • • aP fw • a► i • • i # M as • •# Y # k • aA1 • r i1 • 4 # • k #i � � # #. • • k ! 1 k k k i # i k A # • # • AM s Ir OR I # s # � • � to b # ♦ w • "� a a► w R M • • # # • • k i M s # as a y i i 6 al � • • • s � t # as ! aF • 4 a1 • aM i M • + y e > # a # AM • NF ar • # y a 4 r a • # # yiF � c r • • THE' CITY01' LAKE ELMO MAYOR & COUNCIL COMMUNICATION DATE: 10/4/2016 CONSENT ITEM #- 5 AGE NDAITEM: Business SAC Deferral Program Agreement with Met Council SUBMITTED BY: Cathy Bendel, Finance Director THROUGH- Kristina Handt, City Administrator REVIEWED BY: Kristina Handt, City Administrator SUGGESTED ORDER OF BUSINESS ffpulled tLom Conseni : - Introduction of Item ................ - .................. .......... ................ ...... Staff - Report/Presentation., ........... ................... ............. .................... Staff - Questions from Council to Staff ...... -- ............ ................. Mayor Facilitates - Open Public Improvement Hearing; Public Input ................. Mayor Facilitates - Call for Motion ......... —.— ......... ....... ........................ Mayor & City Council - Discussion ............................... , .... .................... ........ Mayor & City Council - Action on Motion .......................... ............ .......... Mayor Facilitates I ii I III IN i i 11 1 111 i A FISCAL IMPACT: Staff time for additional reporting requirements The City Council is respectfully requested to consider approving entering into a Master SAC Deferral Agreement with the Met Council for Commercial Properties. This agreement allows certain Commercial Properties which qualify to enter into a deferral agreement with the Met Council for the Met Council sewer connection fees. As this is part of the Consent Agenda, no specific motion is required. If the Council chooses to pull the item for discussion, the recommended motion for this action is as follows: 1- Yejerrat Agreemen ouncujor Cont in ercial Properties" City Council Meeting [Consent Agenda Item 5] October 4, 2016 11 �� * li 1: 1 i i � �fI i: zlwli The Finance Committee has been reviewing financing matters related to the downtown a presented their recommendations on Septernbers 20, 2016 which included directing staff to ril back to City Council the Master SAC Deferral Agreement for approval. Staff is reconimending that the City Council consider approving the attached Master S A] Deferral Agreement. If the Council chooses to pull the item for discussion, the recommend motion for this action is as follows: �Wve to approve execution qf the Master SAC D I Agreement with the Met Council./or Connn ercial Properties" ATTACHMENT -- page 2 -- COMMUNITY: City of Lake Elmo No, TBD CoN,tmuNiTYADDRESS: 3800 Laverne Avenue CONTACT PERSON: Cathy Bendel COMMUNITY-NVIDE SAC DEFERRFD AMOUNT: COMMUNITY -WIDE SAC DEFERMENT PE RIOD: PAY MENT MONTH(S): r I I I !I! L THIS MASTER SAC DEFERRAL AGREEMENT ("Agreement") is entered into by and between the Metropolitan Council, a public corporation and political subdivision of the State of Mimiesota, with business offices at 3 90 Robert Street North, Saint Paul, Minnesota 55 101 ("Council"), and the local goveminent unit identified above as the "Community." 1. the Council owns and operates the metropolitan disposal system. Under Minnesota Statutes section 473-517, subdivision 3, the costs of acquisition, betterment and debt service associated with the "reserve capacity" of the system must be allocated among and paid by the respective local government units in the metropolitan area through a sewer availability charge ("SAC") for each new connection or increase in capacity demand to the metropolitan disposal systern within each local goveroment unit. 3. Minnesota Statutes section 473.517, subdivision 6 authorizes the Council to provide for the deferment of payment of all or part of the allocated costs which are allocated by the Council to a local governinent unit in any year pursuant to section 473,517, subdivision 3, The deferments are repayable at such time or times as the Council shall specify, with interest. 4. At its November 28, 2012 meeting, the Council adopted changes to its SAC program including a small business SAC det6tral prograrn. The changes became effective January 1, 2011 At its January 22, 2014 meeting, the Council adopted changes to the SAC deferral program that became effective immediately upon adoption. 5. The Council wants to encourage and help communi�ties promote business development by deferring community SAC payment obligations pursuant to Minnesota Statutes section 473.517, subdivision 6, so participating communities may pass through to businesses the benefits of deferred SAC payments by the conununities. The Council's Sewer Availability Charge Procedure Manual (January 2014) states that communities that want to participate in a SAC deferral program must execute a standard master SAC deferral agreement with the Council. S. To obtain a deferment of a SAC payment obligation and provide assistance to businesses, cotranunities will submit to the Council a signed master SAC deferral agreement. For the term of the master agreement, communities wil I have the option to note on their monthly SAC reporting, on forms as provided by the Council, the eligible SAC liabilities for which the conununities are requesting a SAC payment deferment from the Council. For each such subject SAC liability the deferment will be effective as of the first day of the subsequent month (e.g., for an April building permit that is reported for SAC in May, the deferment will be effective as of June 1). •JOB] 1111mitfal" 1.1 Definition of Terms. Unless otherwise provided or indicated by the context, the terms defined in this article have the meanings given them in this article. Capitalized terms or phrases used in this Agreement have the meanings given them in the most recent version of the Council's Selver Availability Charge Procedure Manual (the "SAC Procedure Manual"). (a) Communit .y. "Community" means a "Community" or "Customer Community" as those terms are defined in the SA C Procedure Manual. (b) Determination. "Detennination" has the meaning ascribed to that term in the SAC Procedure Manual. (c) Regional Portion of Local SAC. The "Regional Portion of Local SAC" means that portion of the Community's SAC payment obligations to the Council that the Community passed on to properties within the Community's jurisdiction and does not include any local add -on charges. (d) SAC Deferred Amount. "SAC Deferred Amount" means the amount of the Community's SAC obligation under Minnesota Statutes section, 473.517, subdivision 3 that has been deferred pursuant to Minnesota Statutes section 473.517, subdivision 6 and the terms and conditions of this Agreement. Article 2 — SAC Deferred Amount; Interest; Payments