2020.06.01 CC Packet - Laserfiche WebLink

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Hugo City Council Meeting Minutes for May 18, 2020 Page 4 of 5 included in the Lions Park Bond, since those items were associated with the park improvements. The Hugo Gardens Apartment project could include the improvements to Finale Avenue. The apartment project will be considered by the Planning Commission at their next meeting and by the Council at their June 1 meeting. A meeting with the neighborhood had not occurred yet. Bear reviewed other streets projected for improvements during the next five years, which included a cost share with Washington County for a traffic signal at CSAH 8 and Oneka Parkway in 2024. The street CIP assumed a 21 % reduction in state aid due to a reduction in gas tax dollars, which was a direct impact of the Coronavirus Bear next discussed the construction of a new Public Works building, which could start in September of this year at a total cost of $12,200,000 with contingency. This would be paid for with a $7.2 million bond. Two -hundred seventy four -thousand dollars was levied 2020, and that levy was expected to increase to approximately $557,000 in 2021. One -million dollars would come from the sale of the existing Public Works facility, three -million from the water and sewer fund, and $878,000 from the capital facilities fund. Bear spoke briefly on the equipment fund saying it was fully funded, but to keep it balanced every year the levy must increase, and there were big purchases expected in 2025. Bear reviewed what was included in the CIP for parks. Revenues for parks come from the tax levy, park dedication fees, and grants. This year, Adelaide Landing Park was to be constructed, and the Goodview Trail Study would be completed at a cost of $17,750 with a portion to be paid with grant funds. The CIP also included other miscellaneous trail and park projects and Irish Avenue Park master planning. Last year, the Council added a tax levy for parks in the amount of $556,133 to start in 2020. The idea was to eventually issue bonds to pay for park improvements that include Clearwater Creek Preserve, Irish Avenue Park, and Lions Park. Bear explained the benefits of combining projects. Bear talked about projects included in utility construction funds. The water and sewer fund was paying for the completion of Water Tower No. 4 and other well and sewer related maintenance and improvements in the following years. The stormwater utility fund had an annual levy of $278,788 for stormwater utility maintenance projects and expenses associated with being the Local Government Unit (LGU). Bear talked about how the Water Edge Phase 2 and the CSAH 8 stormwater reuse projects were depleting these funds. Projects needed to be combined, and the City needed to receive grants. Bids will be received later this year for the new Public Works facility. The Lions Park feasibility study was to be done this month and built in 2021. The City was still working on the development agreement with Hugo Gardens Apartments. Bear reminded Council that the CIP was dependent on the tax rate remaining the same. He explained the next step was to forward the draft CIP to the Planning Commission for their recommendation. Petryk shared her concerns about the impact of the virus pandemic on the economy and appreciated the Council would have another chance to look at the CIP after it went to the Planning Commission. Miron made motion, Klein seconded, to forward the CIP draft document to the Planning Commission for their consideration and for consistency with the Comprehensive Plan.