Loading...
HomeMy WebLinkAboutWK March 30, 2004 ~NDbVË~ ~ 0-<l..J Lu'U.J:tu1 S -'-/ -6+ 1685 CROSSTOWN BOULEVARD N.W.' ANDOVER, MINNESOTA 55304. (763) 755·5100 FAX (763) 755-8923 . WWW.CI.ANDOVER.MN.US Special City Council Workshop Miscellaneous Items Tuesday, March 30, 2004 Conference Room A & B 1. Call to Order - 7:00 p.m. 2. Award Bid Pkgs. 1,2 & 3/Community Center-Administration 3. Acknowledge Community Center Ice Arena Manager Position - Administration 4. Consider YMCA Lease Agreement - Administration/Finance 5. Discuss Community Policing Initiatives (Council Goal) - Sheriff's Office 6. Consider Draft Sanitary Sewer Study/Phasing Plan Revision/04-I - Engineering/Planning 7. Discuss Access Issues for Sophie's Manor - Planning/Engineering 8. Discuss Road Improvement Policy- Engineering/Planning/Finance 9, Discuss New Standard Street Section (Continued) - Engineering 10. Schedule Council 2004-05 Goal Setting Workshop - Administration 11. Consider Public Facility Use/Security Policy - Administration 12. Other Business 13. Adjournment C I T Y o F NDOVE SPECIAL ANDOVER CITY COUNCIL WORKSHOP - MARCH 30, 2004 MINUTES A Special Workshop of the Andover City Council was called to order by Mayor Mike Gamache, Tuesday, March 30, 2004, 7:05 p.m., at the Andover City Hall, 1685 Crosstown Boulevard NW, Andover, Minnesota. Councilmembers present: Don Jacobson, Mike Knight, Ken Orttel, Julie Trude - Councilmember absent: None Also present: Fire Chief, Dan Winkel City Engineer, Dave Berkowitz City Finance Director, Jim Dickinson Community Development Director, Will Neumeister City Administrator, John Erar Others AWARD BID PKGS 1, 2 & 31COMMUNITY CENTER City Administrator Erar explained the bid opening was held on March 25, 2004 for bid package 3. Bid package 3 consisted of35 separate categories. The bids were tabulated by RJM Construction at the conclusion of the bid opening with a resulting project budget overage of $2,375,639. At this point, the construction manager will be analyzing the bids and staff will be meeting to discuss the bids prior to the next Council meeting. Given the extent of the bid variances from the project estimates, it is difficult to contemplate that the facility could absorb an additional $2.4 million in reductions. With the full use of the project contingency of $633,151, this number drops to approximately $1,742,488 in negative project variances. Mr. Bob Jossard and Mr. Ted Rozeboom made a presentation to the City Council regarding Bid Package 3. Councilmember Trude asked if they looked at trading out some of the interior glass. Mr, Rozeboom stated they have not. Councilmember Trude asked why the tile bid was so high. She inquired if they specified a certain type. Mr, Jossard stated they had boards from the manufacturer where they picked a tile and they did not realize it was over six inches thick and the manufacturer did not tell them they have different options for the same tile. Mr. Rozeboom stated they will be going back to the five inch tile which is lower in price. CounciImember Jacobson asked if deleting the concrete floor in the hockey rink and using a sand slab will preclude uses other than hockey. Mr, J ossard stated if they chose to have an event inside an ice arena, they would need to purchase "Homestode" and place it on top of the ice and leave the ice year round. Mr. Tony Howard stated this would cut down on other activities. Mr. Erar stated this is Special Andover City Council Workshop Minutes - March 30, 2004 Page 2 an item the City Council will decide on later. Councilmember Jacobson stated if they were doing value engineering why did that not bring down the cost of the facility to begin with instead of finding more to take out after the fact. Mr. Jossard stated the City gave them a goal of sixteen million dollars and they were told they wanted an esthetically pleasing facility, He stated they kept items in that they thought would set them apart from others and at this point, there is not much left. He stated the team did get this back in the budget. Councilmember Knight asked if the seating in the hockey arena will be wood. Mr. Rozeboom stated it is not listed as an item to take out of the budget, but they could open the arena with concrete seating, Councilmember Orttel asked if the 2.1 million increase was only for construction steel. Mr. Jossard stated it includes everything including duct work, electrical and all others. Mr. Jossard stated he contacted other construction companies and they are all experiencing a 2 to 3 percent overall raise in the cost of their projects. Councilmember Jacobson asked how the YMCA is reacting to this and what are they intending to do. If the YMCA stays with this, what does this do to their taxes? Mr. Jossard continued discussing the cost savings list with the City Council. He stated the overage is $1,368,698 which includes $450,000 contingency inside of the budget. Councilmember Knight asked what the cost savings would be to take down the brick on the building. Mr. Jossard stated it would be about $16,000 for the south side because of the way the wall is configured. Councilmember Knight asked what the cost savings would be if they did not finish the field house. Mr. Erar stated doing this would affect the revenue stream, Mr. Jossard stated they discussed taking the slides out of the pool but this would also affect the revenue stream and may make it difficult to payoff. Councilmember Trude asked what the savings would be if the wood bleachers were pulled out. Mr. Jossard stated it would save them about $30,000. This is not included in the pulled items and can be taken out. Mr. Erar stated he would like Mr. Jossard to discuss the unawarded steel items. Mr. Jossard stated they were expecting delays in the steel so they did not bid out some items. He explained what items were not bid. Mr. Erar stated these were also victims of price increases, Councilmember Trude stated the items they saved on the early bids were spent on these items, Mr. Jossard stated that was correct. Special Andover City Council Workshop Minutes - March 30. 2004 Page 3 Councilmember Trude asked what they were going to do with landscaping. Mr. Jossard stated this is still unawarded, This is also a package that can be bid next spring. Councilmember Trude stated if they took out the wood seating and landscaping they would be saving another $125,000. Mr. J ossard recommended they do not take the landscaping out of the plan, Mr, Erar stated they have lowered the landscaping cost in the budget because they decided on other plantings that would be better suited and they were also looking to local landscapers for reduced costs. Mr. Erar thought it would be prudent to the leave the amount in there and if they do need it, it will be there, Councilmember Orttel asked if they could designate Tower Drive a State Aid Road because it connects to a County Road, Mr. Erar stated he talked to Mr. Berkowitz and they can designate it but it may take away from other projects and adds an impact on others. Councilmember Orttel suggested having Mr. Berkowitz look into this. Mr. Berkowitz stated they could designate it because they have enough needs to meet that designation. Councilmember Orttel stated the intersection may be more important than the road itself. Mr, Berkowitz stated the decision should be made tonight if they want to designate it because the deadline is tomorrow. Motion by Orttel, seconded by Knight to designate Tower Drive as a State Aid Road over to Hanson Boulevard, Motion carried unanimously. Councilmember Jacobson stated ifhe assumes they accept the 1.4 million dollar excess, what the total cost of the project is. Mr. Erar stated $18,6 million dollars. Councilmember Jacobson asked how much of the total will they have to bond for. Mr. Tom LaSalle, YMCA, stated as the Board deals with this, they have to consider the annual cost. Staff cannot give them an answer tonight but they believe they can make it work and they will bring it to the Board on Monday. Ifthe City Council would make a decision on this, they could give the City a better answer on Monday. The only reason they would back out of the project is if they detennine that they cannot afford this. The best they were able to do is to create a mechanism that they will bring to their Board. Councilmember Trude asked ifhe felt optimistic with the people he contacted. Mr. LaSalle stated he was optimistic, Mr. Erar stated the sixty day bid would expire on Monday, April 5th at 5:00 p.m. He stated they could approve this upon acceptance of the YMCA but they would want it in writing from the YMCA. Mr. Jossard brought up the issue of the steel bid coming up on the sixty-day deadline. Mr. Dickinson explained the Capital Campaign, interest rates and tax impact on homes in Andover. Councilmember Knight asked if this took into consideration City growth, Mr, Dickinson stated with growth, it would reduce what would be needed from each home, They are not calculating a large growth in the numbers. They are trying to hit a conservative number. Councilmember Orttel stated they did not anticipate steel prices going up but they also did not Special Andover City Council Workshop Minutes - March 30, 2004 Page 4 anticipate the Capital Campaign being so low. Councilmember Jacobson asked what interest rate Mr. Dickinson anticipated to be on the bonds. Mr. Dickinson stated he thought it would be 4.72. Councilmember Jacobson asked if this was a good amount. Mr. Mark Ruff stated it was low if they sold the bonds tomorrow, Mr. Dickinson stated they plan to have a public hearing and award the bonds on April 20th. With the opening of the hockey arena this Fall, they need to get some money in. Councilmember Knight stated he has knowledge that steel will not be going down in the near future. Councilmember Orttel stated they have promised people Ihey were going to do this and the price of steel has gone up $2 million dollars, They can either pass the costs on or decide not do the project at all. Councilmember Jacobson stated this project has been hard from the beginning but if they were to delay the proj ect for a year, they would not gain anything. Co unci Imember Knight stated it would be cost prohibitive. Councilmember Trude thought if they waited they would have to build a smaller Community Center for the same price. Councilmember Knight stated that if they do not do this now, they will not do it in the future, Councilmember Knight asked if they were pulling out anything that affected activities. Mayor Gamache stated they were not. Mr. Tony Howard stated they have been steadily reorganizing. They have 8,000 houses and about 800 households that have been taken out of the community base to solicit. He stated he has personal nods from people for another $100,000 and they have $650,000 in grants they have applied for. He stated they are working hard to reach the mark. They could be in the area of$2 million dollars if everything works out. Councilmember Jacobson asked ifit would save them money if they only built the field house shell and did not finish it off and would finish it at a later date. Mr. Jossard stated the field house is a large revenue stream and if they did not finish it, it would not save them a lot of money. Mr. Howard stated fundraising is a big part of this project and it should not end when a decision is made. He thought they should try to raise more money before finishing off the field house. Mr. Dickinson stated they will have to issue bonds for $18 million dollars so the money is there. Mr. Erar stated they would have to re-bid the project if they did not finish off the field house. He stated the revenue stream on this is really vital. Councilmember Orttel stated there has to be additional interest generated on things that are not done. Councilmember Jacobson asked if they would issue the bonds for $18.6 million, how it would work out with the YMCA. He wondered ifit would be contingent on what the YMCA decides. Mr. Erar Special Andover City Council Workshop Minutes - March 30, 2004 Page 5 stated they would issue bonds on bid packages I and 2 but not on bid package 3 because of the cost reductions discussed. They could adopt a motion calling for the bid award, subject to the approval of the YMCA. Ifhe does not hear from the YMCA on Monday through a letter or email, this will not go forward. Motion by Trude, seconded by Orttel, to award bid package one to the two lowest bidders and award bid package two to the lowest bidder and to reject the landscaping portion of the bid contingent upon favorable participation of the YMCA by Monday, April 5, 2004 by the close of the business day to share in the costs identified. Mr. Jossard stated the City Council did not include the concrete slab in the tolal project cost. Councilmember Orttel stated they could discuss this at another meeting because it is bid package 3, Mayor Gamache asked if this would affect the revenue stream of the ice arena. Mr. Dickinson stated it would not be a huge impact. Councilmember Jacobson asked on bid package 3, what happens if they do not get the reductions they are anticipating. Mr. Jossard stated they have been extremely conservative in the credits shown and they have not put in all the credits available to them. Mr, LaSalle stated the YMCA will be committing to only $635,000. Mr, Rozeboom stated a number of the items shown on the list have already been discussed with the contractors. Mr. Dickinson stated the YMCA will be impacted by interest rates and project costs. Mr. Ruff stated if interest rates go up in two weeks, the City would need to cover the additional cost or cut more items. Mr, Dickinson would suggest they cut items. The City Council recessed at 9:08 p.m. The City Council reconvened at 9: 16 p.m. Mr. Erar stated as long as they are able to make a decision conditioned on the YMCA approving it Monday morning, they could go ahead with the low bidders, He suggested they approve the Resolution at the April 6, 2004 Council meeting. Mr. Dickinson stated April 20th they will be setting the bond amount. They will not be selling the bonds. Councilmember Trude asked when they would approve bid package 3. Mr, Erar stated they would want to have a verified list of reductions by April 20th, Motion carried unanimously. Special Andover City Council Workshop Minutes - March 30, 2004 Page 6 CONSIDER YMC4 LEASE AGREEMENT City Administrator Erar explained YMCA representatives and City staff have met on several occasions to discuss and refine the lease agreement. The agreement has also been reviewed by the City attorney and the YMCA attorney for related legal elements. Councilmember Trude asked if they would be required to fmance improvements for the YMCA Mr. LaSalle stated the City is not mandated to finance any improvements for the YMCA in the future, He stated the rent is what it costs for the YMCA to advertise its costs. He stated this lease makes it clear on how things will be dealt with. Mr. Erar stated the lease effectively commits the YMCA in terms of the repayment of their share of the costs. Even after the City Council approves this, the language could change. Mr. LaSalle stated he needs to bring this back to the YMCA on Monday. Mr. Erar stated City Attorney Hawkins read through the lease and is in substantial agreement with the terms. He asked City Attorney Hawkins for his final comments and he should be getting the email tomorrow. Mr. LaSalle discussed with the City Council what will be discussed at the YMCA Board meeting on Monday. Councilmember Trude discussed some issues she had with the lease agreement. Mr. Erar stated he thought all of the points have been previously discussed. Motion by Orttel, Seconded by Jacobson, to provide preliminary approval of the "Sub-Lease" document establishing the terms and conditions of a facility lease to the YMCA and, which represents the YMCA's financial obligation to the City for the term of the lease. The lease will run concurrently with the fiscal obligations of the 30-year Lease Revenue Bond and provides for lease renewals to the YMCA consistent with the terms established under the previously approved Memorandum of Understanding, Motion carried unanimously. DISCUSS COMMUNITY POLICING INITIATIVES (COUNCIL GOAL) It was noted that during the 2003-04 Council goal-setting session, Council articulated the implementation of additional community policing initiatives for the Anoka County Sheriff's Office as a medium priority. During the last twelve months, the Sheriff's Office has been involved with a number of significant community policing events and activities. This item was postponed due to Captain Jenkins needing to leave to attend to some personal issues. Special Andover City Council Workshop Minutes - March 30, 2004 Page 7 DISCUSS ACCESS ISSUES FOR SOPHIE'S MANOR Community Development Director Neumeister explained City staff has been in contact with the developer of Sophie's Manor to resolve where an access to Crosstown Boulevard should be located to be able to meet the intent of the Transportation Plan as well as the Anoka County access spacing guidelines and minimize the impact on adjacent properties. Ms. Dorothy Hines, representative for the owners, stated the on1y concern they have with the property is if they will meet the requirements. Mr. Neumeister stated they will meet minimum requirements. Mr, Neumeister stated in discussions with Mr. Harstad, he was concerned because he does not own the property and would be charged a substantial amount to go through the property. Councilmember Jacobson asked if this goes through, is the family prepared to subdivide and put the road through. Ms, Hines stated the owner is willing to work with the developer on this project. Councilmember Jacobson asked if this would allow the developer to proceed. Mr. Quigley stated it would allow them to proceed. Councilmember Orttel asked if this property has access to Avocet. Mr. Neumeister stated it does. Councilmember Ortte1 stated if this fell through, they would still have access to l55th. Councilmember Jacobson asked Mr. Quigley ifhe was happy with this proposal. Mr. Quigley stated he was. Councilmember Trude stated some residents have talked to Commissioner Lang at the County regarding the County approving a road. A resident explained what was discussed at the meeting, Mr. Berkowitz discussed with the City Council what the County proposes to do on the different roadways. Councilmember Jacobson thought they should postpone this item until the April 6th City Council meeting. Mr. Neumeister summarized where they need to come out on these issues. The City Council talked about what should be discussed with the County regarding the roads. A resident asked if Wintergreen Street was approved and the County said it had to be aright-inIright- out would this issue be dead. Councilmember Trude stated the residents would need to go to the County Board meeting and petition full access, Mayor Gamache stated if Wintergreen were made full access and Avocet were made a right-inIright- Special Andover City Council Workshop Minutes - March 30, 2004 Page 8 out that would be the best scenario. Mr. Berkowitz stated the next issue would be how this will all be funded. Councilmember Jacobson thought they need to sit down with the County and discuss this. Councilmember Trude thought the residents need to contact the County with their complaints. Councilmember Trude thought they should make these intersections temporary full accesses. Motion by Orttel, seconded by Jacobson, to approve the alignment shown on page 22 for item 7. A resident stated he knew what was proposed for Bluebird and that it will connect to Yellow Pine and he thought this proposal will connect at the other end. He thought the County wanted to maintain the faster speeds on those County roads to move the traffic through. Motion carried unanimously. ACKNOWLDGE COMMUNITY CENTER ICE ARENA MANAGER POSITION City Administrator Erar stated with the anticipated construction of the Community Center Ice Arena scheduled for opening in mid October, 2004, the need to recruit and hire an Ice Arena Manager by no later than July 1, 2004 becomes critical to meeting a number of operational requirements. Mr, Erar explained Council was recently apprised of the need to hire an Ice Arena Manager with at least 90 days of operational lead-time. Staffhas had several contacts with involved residents and has already received numerous inquiries regarding scheduling ice time. In preparation for the mid- October opening date, the Ice Arena Manager will be very busy with interviewing and hiring part- time and seasonal staff, preparing operating policies and guidelines, scheduling ice time for team and public use, meeting with local hockey groups and school district skatinglhockey representatives, overseeing the ice arena opening schedule/facility shakedown, attending to myriad details affecting ice arena operations and meeting with potential advertisers as time permits. In staff's view, the minimum amount of time necessary to ensure the successful opening of this facility is 90 days, Mr. Erar stated funding for this position would be appropriated initially through the lease revenue bond issued for the facility, and upon commencement of the facility through operating revenues. These initial staffmg costs were anticipated in the bond issue. Councilmember Knight stated this is a major item and should be discussed. The Council suggested this be postponed to another meeting. Motion by Orttel, seconded by Jacobson, to move this discussion to the April 6, 2004 City Council meeting. Special Andover City Council Workshop Minutes - March 30, 2004 Page 9 Councilmember Trude thought this person would be involved in the concession stand and she would like information about that. She thought there should be some description about what the job would entail before the facility would open. Motion carried unanimously. CONSIDER DRAFT SANITARY SEWER STUDYIPHASING PLAN REVISlON/04-I City Engineer Berkowitz explained TKDA, along with staff input, have prepared a draft sanitary sewer report that identifies different scenarios to serve the east side of Andover with sanitary sewer. Mr. Berkowitz stated the draft report evaluates 5 different trunk sewer line scenarios that have been carefully analyzed to meet development demands, pipe capacity requirements and strategic short and long term planning. The report also details the scenarios previously discussed at the February 24, 2004 Council Workshop, which are the Crosstown Boulevard, Prairie Road, 150111 Lane and the Xeon Street alternative. One new alternative is included and that is an extension to Prairie Road which would leave the city with an option to divert flows in the future if capacity issues arise. TKDA made a presentation to the City Council regarding the sanitary sewer study phasing plan revIsion. Councilmember Knight stated the hang-up on this is the bottleneck. Mr. Chris Bryan stated that was correct. Councilmember Knight asked how this happened. Councilmember Jacobson stated he talked to Mr. Winslow Holasek today and he suggested they run the high capacity sewer from City Hall and connect it northward. He stated they would not have to go very deep because they could use a lift station and it would alleviate the capacity bottleneck to the north. He stated this would be more economical than what was proposed. Mr. Berkowitz stated Mr. Holasek did bring this to staff's attention. They are primarily looking to the east of Hanson to connect this. The only thing they could see is the bypass location at the creek, He thought this would take more research to see if this would be viable or not. Councilmember Jacobson stated this would be a cheaper alternative and they would not need to tear up Prairie Road. Councilmember Orttel stated this would happen down the road when development occurs. Mr. Berkowitz stated the alternative that was brought forward is like the Xeon alternative. He thought they would be looking at the same type of costs. Discussion ensued in regard to the sewer bottleneck and future sewer line capacity in the Rural Reserve and other areas in the City. Mr. Berkowitz stated additional analysis is needed to determine which is the best way to go with the Special Andover City Council Workshop Minutes - March 30. 2004 Page 10 sewer for additional capacity. Mr. Holasek explained his idea to the City Council. He stated the bottleneck was designed as a gravity sewer. The reason the problem occurred is because they designed lift stations and even went over the railroad tracks and south. He wondered why this capacity was used up and why no one looked into this. Mr. Berkowitz stated the problem occurred as development progressed and sewer was extended. Mr. Holasek stated there is not much left to develop in the area anymore. Mr. Holasek stated on page five, table three, the very fIrst column says Bluebird but it refers to I50th because it goes into the Bluebird sewer system. If added all together, they have a total of 671 residential units coming down to it. He stated his total is 181 units that were not listed so there is a total of 852 going down to the bottleneck. Mr. Neumeister stated when the consultants made the presentation one of the things they did not say is the original sewer estimates were based on 210 gallons per household. This study is based on 225 gallons per household because they felt 210 gallons per household was too little. They felt this was an adequate number. He stated they also took another factor into consideration. They were using 2.1 units per acre and the refigured number is 2.4 units per acre. They felt to adequately address which alternative they should think about, they should use the new numbers to determine this. Councilmember Jacobson asked other than the comments made, what is staff asking Council to do. Mr. Berkowitz stated there needs to be a little more review regarding this and they need to look at all the options and come back with the most reasonable solution. Councilmember Orttel asked what the purpose of this study was. Mr. Berkowitz stated there is a reasonable alternative to this study. The City Council thought staff should come back with an amount for the additional study. Councilmember Orttel asked if the twelve inch trunk coming off of Wintergreen and Avocet could service this area. Mr. Berkowitz stated it may be. Councilmember Orttel would like staff to review this for an option, DISCUSS ROAD IMPROVEMENT POLlCY This item was postponed to a future meeting. DISCUSS NEW STANDARD STREET SECTION (CONTINUED) This item was postponed to a future meeting. Special Andover City Council Workshop Minutes - March 30, 2004 Page 11 SCHEDULE COUNCIL 2004-05 GOAL SETTING WORKSHOP This item was postponed to a future meeting. CONSIDER PUBLIC F ACILlTY USE/SECURITY POLICY City Administrator Erar stated they currently have 16 groups that have key deposits with the City because they use City Hall for meetings on an on-going basis. Quite often the front doors have been left un10cked after one of the meetings even though everyone who uses a key gets instructions on how to lock the doors. This also occurs when a group uses City Hall over a weekend which means the doors are left un10cked over the weekend. Staff is concerned about the possibility of vandalism and/or theft from the building when the doors are left un1ocked. Therefore, a policy has been written that would be given to anyone using City Hall notifying them that they may be liable for any damages and/or theft of public property. Motion by Trude, Seconded by Orttel, to adopt the Public Facility Use/Security Policy. Motion carried unanimously. OTHER BUSINESS Mr. Berkowitz showed a type of flashing solar sign they are planning to use for speed signs in some places, Mr. Erar stated he will be putting the bid package together to bring to the City Council at the next meeting. Motion by Orttel, Seconded by Jacobson, to adjourn. Motion carried unanimously. The meeting adjourned at 11: 15 p.m. Respectfully submitted, Susan Osbeck, Recording Secretary