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WK October 28, 2008
{'~ € ..~~,. -'V () r 0 NDOVE 1685 CROSSTOWN BOULEVARD N.W. . ANDOVER, MINNESOTA 55304 . (763) 755-5100 FAX (763) 755-8923 . WWW.CI.ANDOVER.MN,US City Council Workshop Tuesday, October 28, 2008 Conference Rooms A & B 1. Call to Order - 6:00 p.m. 2. Open Space Discussion ~ 3. Comprehensive Plan Update Discussion 4. Assessment Policy Discussion (Continued) 5. Snow Removal & Ice Control Policy Discussion 0 6. 2009 Budget Development Progress Report a) General Funds & Overall Summary b) Special Revenue Funds c) Debt Service Funds d) Capital Projects Funds e) Enterprise Funds f) Internal Service Funds 7. Other Business 0 '" 5'\NDbVE~ @ 0 1685 CROSSTOWN BOULEVARD N.W. . ANDOVER, MINNESOTA 55304. (763) 755-5100 FAX (763) 755-8923 . WWW.CI.ANDOVER.MN.US TO: Mayor and Councilmembers .. CC: Jim Dickinson, City Administrato ent DirectorttL Will Neumeister, Community Devel FROM: Courtney Bednarz, City Plann~ SUBJECT: Open Space Discussion DATE: October 28, 2008 INTRODUCTION This item is intended to provide an update on the Commission's activities since the September 17th information meeting. Deric Deuschle, the Chairman of the Commission will be present at the meeting. DISCUSSION 0 The discussion will also allow the Commission and Council discuss their priorities moving forward. The most recent newsletter article is also attached. ACTION REQUESTED This is a discussion item. Attachment Newsletter Article 0 IINIOI&I"::Olll j( ~ OPEN SPACE UPDATE - .";. ~-- BFFililillLS . . Thanks to all who attended the September 17th These options exist for property owners to Open Space Information meeting! The turnout consider. Property owners may freely choose jyIAYQ.8 was amazing; thanks also for your patience as to participate or not to participate. More Mike'Gamac1:ie> "",(763~' 757 -1;060, additional viewing areas were set up. information on these options can be found cmg.amacl1e@bi,andover'mn.us under Open Space Advisory Information on ~IlI.lNmtlVn:MIlERS At the beginning of the meeting, the Open the City's website as well as the websites of :o.ohJacoQson., '" ,'., ,(763~ 434-3401 Space Advisory Commission reviewed the the Minnesota Land Trust (www.mnland.org) cmjitcOQsori@cioandover:mn:us ballot question that was approved by Andover and the Anoka Conservation District (www. [N1'ike'R$.ight. ,.,.',.", ,', . (763)4.2F9.247 residents in November of 2006; anokanatura1resources.com). The September cmkriight@ci.andover.1l1n,us "Shall the City of Andover, Minnesota, be 17"' Open Space Information Meeting can Keri0rtteJ". ,." ,(7.63)755-8425 authorized to issue its general obligation bonds also be viewed on the QCTV website under cmotitel@ci,andOver.111n.us in an amount not to exceed $2,000,000 to finance Government! Andover (www.gctv.org) or .IJ.l1ie1'ntde<' ,',',',','" ,',' ,',' ,(763~ 86.2"2499 the acquisition of land from willing sellers for you can borrow a DVD to watch at home by crritrude@ci,andOver,lriri.l1s the preservation of natural areas, water and air contacting Courtney Bednarz at (763) 767- quality and wildlife habitat? Spending would 5147. CitVHallH "..(763~755"5100 be subject to an annual audit." Eax-lN'iimber ",..""" ,(763~755-8923 A number of property owners have 1685"€rossto'wn'Bo1l1evardNW Next, the open space corridors were discussed. expressed interest in preserving open space. Aridover,'MN 55304 These corridors, shown on the City's website The Commission is presently prepanng PllblicWorks ....(763)755...8118 under Open Space Advisory Information, were individualized evaluations for each of these identified because they include areas wildlife property owners to summanze the best Fax Number,., "'" ,,(763) 755"5190 frequent and move through, stands of mature options for them to consider. For property 1785 €rosstownBoulevard NW trees, prairie land, water ways and native plants. owners interested in selling property to the E-Mail;"citygov@ci.andover.mri,us It was stressed that there are no new regulations City, the Commission will be working to Website:www.ci,andover.mn. us associated with the corridors and that owning identify several candidate properties which COUNTY property within a corridor does not affect the will be recommended to City Council early ,1,llok.a,CQtl'nty Sher!ff use or sale of property. The corridors simply in 2009 in conjunction with anticipated grant ruceAll(:Iersohn,..(763~ 323-5000 identify the remaining natura1 areas in the City opportunities, r4.llok.aCounty and how they are connected. Commissioners,... ... ,(763~323~5700 To keep the communication flowing to all I)i~triCt# 1- Dennis Berg Guest speakers from the Minnesota Land interested Andover residents, the Open Space District#2 ~DickLang Trust and the Anoka Conservation District Advisory Commission will be developing an Disttict #5 - Scott.LeDo1.lX went on to explain land preservation options e-newsletter which describes progress on Open for property owners to consider. These include Space preservation and related topics, To sign CITY OFFICES WILL BE CLOSED choosing to sell property to the City for the up to receive these e-news1etters, p1ease send THE FOLLOWING DATES: City to preserve in a natural state, establishing your email address to cbednarz@ci.andover. a conservation easement to allow land owned mn.us. Tuesday, Nov.11th by a private property owner to be preserved Thursday, Nov. 27th in a natura1 state, and taking advantage of Please a1so note that the Open Space Advisory friday, Nov. 28th the technica1 and financial assistance avai1ab1e Commission ho1ds regular pub1ic meetings at Thursday, Dec. 25th through the Anoka Conservation District for Andover City Hall at 7:00 p.m. on the second restoration and enhancement projects that Wednesday of each month. /t,(;( property owners choose to do on their own. c/talt/t;l COMPOST BINS STill AVAIlABLE! (:/e;~(k;r/ Anoka County is offering compost bins for sale at ANDOVER ANIMAL the reduced cost of $30 CONTROL OFFICER (including tax). This of- fer is for Anoka County ~763)444-4247 residents only. For locations selling bins go to www.anokacounty. o GOPHER SlAlE ONE CAll us!yardwaste or call CAll BEfORE YOU DIG Anoka County Integrated Waste Management (651) 454-0002-Metro at (763) 323-5730, Monday - Friday 8:00 www. gopherstateonecal L org a.m.- 4:30 p,m, Bins will be available while supplies last. Page 2 JMoWif(J(Jay 0 - ____. _____n.____________ - ---- ----. 0 1685 CROSSTOWN BOULEVARD N.W. . ANDOVER, MINNESOTA 55304 . (763) 755-5100 FAX (763) 755-8923 . WWW.CI.ANDOVER.MN.US TO: Mayor and City Council Member CC: Jim Dickinson, City Administrator FROM: Courtney Bednarz, City Plann~ Will Neumeister, Community Development Director L-UJ- SUBJECT: Comprehensive Plan Update Discussion DATE: October 28, 2008 INTRODUCTION The City has received a response from the Metropolitan Council regarding the processing of the City's Comprehensive Plan update. See attached letter dated October 1,2008. Some items in the letter specifically address what is considered "incomplete" in the Comprehensive Plan, while other issues are "commentary" on what they will be directing be included in the Comprehensive Plan update. The plan review is suspended pending receipt of the information they want. Areas of concern from their commentary include the following: o Housine:: Metropolitan Council comments - "The update needs to acknowledge the City's share of the regions' affordable housing need for the 2011-2020 time period - 635 units." Discussion on the topic: Attached is a previous letter from Metropolitan Council and City Council report (from Feb. 28, 2006) that explains where their authority to dictate an affordable housing number comes from (SS 473.859 attached). The way this is shown in our Comprehensive Plan update is to show adequate areas of medium and high density housing on the land use map. Our existing Comprehensive Plan shows our affordable housing goals on pages 6-7 of the Housing Chapter and designations in Table 2.7 (see attached). We have attached a letter dated March 11,2004 that describes the medium and high density residential that has been developed in Andover and should show the Metropolitan Council that the City has been working to achieve it's fair share. Currently what remains of the medium or high density residential to be developed is Rosella Sonesteby's land (23 acres or potentially 187 units), the final build out of Bruggemah's Townhomes (86 units) in Andover Station North, and the final build out of Grey Oaks (210 units). These three developments collectively amount to 483 units that are yet to be built. We could potentially see some additional medium or high density in the Rural Reserve Area, but we are not prepared to show land use designations for that area until land developers request approval of a master plan of that area It would be premature at this time to show land uses and housing numbers for that area That area should have a separate comprehensive plan amendment when it is ready to be developed and that could be ten or more years into the future. It does not seem practical or prudent to do that land use planning at this point in time. Land Use: Metropolitan Council comments - "The update needs to include minimum and maximum ranges for residential densities on the Future Land Use Map. Also, describe the minimum allowable densities for the residential land use categories in the text or in Figure 2.6....to be complete for review of the land use element, each of the residential land use categories must have an associated minimum residential density." Discussion on the topic: The staff is proposing to submit a minimum number as they have indicated which would be the o lowest gross density occurring since 2000. Courtney will explain what this means at the meeting. Surface Water Manal!ement Plan: Some of the work may need to be completed by a consultant (Dave Berkowitz will explain at meeting). -- --- ---- -- -~~-~._--'-.- ..------- ---_.~ o Sewers: Three issues they raised 'are important to discuss with the City Council: The ftrst is the math used in determining the wastewater flow projections needs clariftcation (Dave Berkowitz will explain at meeting). The second is that our density is below 3 units per acre and that is a "system departure". Discussion on the tovic: We feel that this has already been explained fully in the plan and what we need to do to convince them this is all that is possible in Andover at this time. The City is actually developing at a density greater than 3 units per acre since plat monitoring started in 2000 (because of the number of new townhomes that have been approved in the past 8 years). However, this trend will not continue and the numbers will begin to drop because much of the medium density land has already been developed. In all of our previous discussions with the Metropolitan Council staff, their position has been that the entire City must be developed at a minimum of3.0 housing units per acre. We have explained that the older parts of the City could not develop at that density because the existing pipes in the ground were not designed to handle that kind of density. They indicated that we would have to compensate by having higher density in the Rural Reserve Area or some other new areas that could handle higher amounts of sewage flow. The City staff has told them that was not in the keeping with the City Council's directives nor an agreement that was made with the City when the high school agreement was made. The third is that they would like the Northeast area of the City identifted as an area with "Potential Service" from a regional wastewater treatment system. They are indicating that this area should be held as an urban reserve area and potentially be connected to the East Bethel wastewater treatment plant. Discussion on the topic: Between 2002 and 2003, the City had numerous meetings with the people in the area the o Metropolitan Council is indicating should be an urban reserve area. After about a year of discussions and meetings the City Council reached a conclusion that the area would not be reserved for future urban density development, but rather another area located north of Coon Creek east of Round Lake Boulevard would be. The attached letter from Metropolitan Council (dated January 14, 2002) confirms that Andover need only commit to one 1,000 acre rural reserve area; and this has been done. This issue is very concerning to staff, as it now changes the future urban area and seems to contradict what had been done before to appease the Metropolitan Council. ACTION REQUESTED The Council is asked to review the October 1, 2008 letter from Metropolitan Council and provide staff direction on preparing a response to the Metropolitan Council related to the above mentioned issues. No response will be sent to the Metropolitan Council until the City Council has authorized what will be submitted. Ud/44~~~ Will Neumeister Attachments: State Statute 473.859 Staff Report (from Feb. 28, 2008) Council Workshop Minutes (from Feb. 28, 2008) Existing Comprehensive Plan (Housing Chapter, pages 6-7) Letter from Metropolitan Council (dated January 14, 2002) Letter from Metropolitan Council (dated October 1,2008) o Letter to Metropolitan Council (dated March 11, 2004) -1..;- 0 473.858 METROPOLITAN GOVERNMENT 166 to 473.871 shall remain in force and effect until amended, repealed or superseded by plans or controls adopted pursuant to sections 462.355, subdivision 4, 473.175, and 473.851 to 473.871. Existing comprehensive plans, capital improvement programs, sewer policy plans, and official controls may be amended and new capital improvement programs and official controls may be prepared and adopted prior to the submission to the council of comprehen- sive plans required by sections 462.355, subdivision 4, 473.175, and 473.851 to 473.871. History: 1976 c 127 s 8; 1977 c 347 s 68; 1985 c 62 s 4; 1995 c 176 s 5 473.859 COMPREHENSIVE PLAN CONTENT. Subdivision 1. Contents. The comprehensive plan shall contain objectives, policies, standards and programs to guide public and private land use, development, redevelopment and preservation for all lands and waters within the jurisdiction of the local governmental unit through 1990 and may extend through any year thereafter which is evenly divisible by five. Each plan shall specify expected industrial and commercial development, planned pop- ulation distribution, and local public facility capacities upon which the plan is based. Each plan shall contain a discussion of the use of the public facilities specified in the metropolitan system statement and the effect of the plan on adjacent local governmental units and affected school districts. Existing plans and official controls may be used in whole or in part following modification, as necessary, to satisfy the requirements of sections 462.355, subdivision 4, 473.175, and 473.851 to 473.871. Each plan may contain an intergovernmental coordination element that describes how its planned land uses and urban services affect other communi- ties, adjacent local government units, the region, and the state, and that includes guidelines for joint planning and decision making with other communities, school districts, and other jurisdictions for siting public schools, building public facilities, and sharing public services. Each plan may contain an economic development element that identifies types of mixed use development, expansion facilities for businesses, and methods for developing a balanced and stable economic base. 0 The comprehensive plan may contain any additional matter which may be included in a comprehensive plan of the local governmental unit pursuant to the applicable planning stat- ute. Subd. 2. Land use plan. A land use plan shall include the water management plan re- quired by section 103B.235, and shall designate the existing and proposed location, intensity and extent of use of land and water, including lakes, wetlands, rivers, streams, natural drain- age courses, and adjoining land areas that affect water natural resources, for agricultural, res- idential, commercial, industrial and other public and private purposes, or any combination of such purposes. A land use plan shall contain a protection element, as appropriate, for historic sites, the matters listed in the water management plan required by section 103B.235, and the matters listed in section 473.204, and an element for protection and development of access to direct sunlight for solar energy systems. A land use Ian shall also include a housin element < containing standards, lans and ro ams or rovidin ad uate housin 0 ortunities to meet eXlsbn an ro ected local and re . onal housin needs includin but not limited to the use 0 official controls and land use lannin to romote the availabili of land for the devel- opment 0 ow an m erate Income ousing. Subd. 3. Public facilities plan. A public facilities plan shall describe the character, location, timing, sequence, function, use and capacity of existing and future public facilities of the local governmental unit A public facilities plan must be in at least such detail as may be necessary to establish existing or potential effects on or departures from metropolitan sys- tem plans and to protect metropolitan system plans. A public facilities plan shall contain at least the following parts: (1) a transportation plan describing, designating and scheduling the location, extent, function and capacity of existing and proposed local public and private transportation ser- vices and facilities; (2) a sewer policy plan describing, designating and scheduling the areas to be sewered r_ by the public system, the existing and planned capacities of the public system, the standards and conditions under which the installation of private sewer systems will be permitted, and to 0 the extent practicable, the areas not suitable for public or private systems because of public health, safety and welfare considerations; -3- 0 167 METROPOLITAN GOVERNMENT 473.859 (3) a parks and open space plan describing, designating and scheduling the existing and proposed parks and recreation open spaces within the jurisdiction; and (4) a water supply plan including: (i) a description of the existing water supply system, including the source of water, well and treatment plant locations, and major supply lines; an inventory of commercial and indus- trial users; an indication of the community's intent to make future changes or additions to the system, including projections for population' and industrial and commercial use and the methods by which this growth will be served; (ii) a statement of the community's objectives, policies, and standards for operating the water supply system; (iii) a conservation program that contains the goals of the program, demand and supply conservation techniques to be used, an evaluation of pricing methods that could be used to reduce demand, the conditions under which conservation actions would occur, a process for reducing nonessential uses according to the priority system under section 103G.261, and the education program that will be used to inform the public of the need to conserve and the methods available to achieve conservation; (iv) an emergency preparedness or contingency plan, as described in section 103G.291, subdivision 3; (v) an indication of the possibility for joint efforts with neighboring communities or other public entities for sharing water sources and treatment, interconnection for routine or emergency supply, pursuit of alternative supplies, and water source protection; (vi) a statement of the water supply problems that the community experiences or ex- ' pects to experience and any proposed solutions, especially those that would impact other communities or the region; and 0 (vii) a wellhead protection plan prepared in accordance with rules adopted by the com- missioner of health under section 1031.101, subdivision 5, clause (9). Subd. 4. Implementation program. An implementation program shall describe public programs, fiscal devices and other specific actions to be undertaken in stated sequence to im- plement the comprehensive plan and ensure conformity with metropolitan system plans. An implementation program must be in at least such detail as may be necessary to establish exist- ing or potential effects on or departures from metropolitan system plans and to protect metro- politan system plans. An implementation program shall contain at least the following parts: (1) a description of official controls, addressing at least the matters of zoning, subdivi- sion, water supply, and private sewer systems, and a schedule for the preparation, adoption, and administration of such controls; (2) a capital improvement program for transportation, sewers, parks, water supply, and open space facilities; and (3) a housing implementation program, including official controls to implement the < housing element of the land use plan, which will provide sufficient existing and new housing to meet the local unit's share of the metropolitan area need for low and moderate income housing. Subd. 5. Urbanization and redevelopment areas. The comprehensive plans may des- ignate, when appropriate, five year urbanization areas and shall specify in the capital im- provement program the timing and sequence of major local public facilities and in the imple- mentation program official controls which will ensure that urbanization occurs only in ur- banization areas and in accordance with the plan. The comprehensive plans may designate, when appropriate, redevelopment areas and may, as appropriate, specify in the capital improvement program the timing and sequence of local public facilities and in the implementation program the fiscal devices or official con- ,'."".. troIs that will ensure that redevelopment occurs in accordance with the plan. Subd. 6. Plan review. The council shall, by January 1, 1994, prepare guidelines for the 0 preparation of the water supply plans required in subdivision 3, clause (4)..The plans must be submitted to the council by January 1, 1996. The council shall review the plans under section -y: Us) C I T Y o F 0 NDOVE 1685 CROSSTOWN BOULEVARD N,W. . ANDOVER, MINNESOTA 55304 . (763) 755-5100 FAX (763) 755-8923 . WWW,CI.ANDOVER.MN.US TO: Mayor and Council Membas ~ CC: Jim Dickinson, City Administrator FROM: Will Neumeister, Community Development Director ftd.-- SUBJECT: Discuss Metropolitan Council Housing Needs Letter - Planning DA1E: February 28, 2006 INTRODUCTION Attached is the letter from Metropolitan Council dated February 17,2006 that indicates the City of Andover's fair share of affordable housing (between 2011 and 2020) is designated as 660 new affordable housing units The number was derived from a formula that was used by Metropolitan Council to determine where the needed 51,000 units of affordable housing will need to be constructed (see pg. 9 of attached report). DISCUSSION The Council has asked for a discussion to take place on this letter and general information on what the Metropolitan 0 Council will require of the City when a Comprehensive Plan update is performed. Mr. Peterson has indicated that the number will need to appear in the next Comprehensive Plan update text and land use maps. The way the Metropolitan COlUlcil asks this requirement be fulfilled is by showing areas of medium and high density residential on our Comprehensive Plan that equate to the required number of units. For example, the need could be met by showing 60 acres of medium density residential on the Future Land Use Map (assuming density of6 units per acre = 360 units) along with 30 acres of high density (assuming density of 10 units per acre = 300 units). Together these designations would meet the required 660 units of affordable housing that they are requiring as Andover's fair share. In the event that the currently guided medium and high density land has not all been built on then those acres of vacant land could count towards fulfilling the new number of units. However, if those areas are all "built out" by the time the next Comprehensive Plan update is submitted, then the newest affordable houing number will need to be accounted for in land to be guided for medium and high density residential in the next plan update. As explained in the letter, the Metropolitan Council will not approve any update to the Comprehensive Plan unless this requirement is met. The City will need to carefully determine where these types of units will best be "guided" on the vacant developable land in our community. Once that determination is made the City will need to show the required number of acres of mediumlhigh density in the Comprehensive Land Use Plan update. ACTION REOUESTED Council is provided the Metropolitan Council letter. Also provided is a "Summary Report" from the Metropolitan Council regarding their authority for detennining the fair share number and their methodology in determining the number. Council is asked to review the infonnation and provide staff direction. Respectfully Submitted, ad:-- Will Neumeister 0 Attachments-MetCouncil Letter & Summary Report-Affordable Housing, Pages from Local Planning Handbook 5-- - - ~ Me~~~~::i~~:n:~~ 0 February 17,2006 Ms. Victoria V olk Clerk City Of Andover 1685Crosstown Blvd Nw Andover, MN 55304-2699 Dear Ms. V olk, In collaboration with the Minnesota Housing Finance Agency and its affordable housing expertise and with representatives for localgovemment, the Metropolitan Council developed a methodology which was used to determine affordable housing needs for the region and for each of the region's sewered communities. Your community's share of the regional affordable housing need for the decade 2011 to 2020 is forecasted to be 660 new affordable units. For a more detailed explanation of how affordable housing was determined, please see the 0 January 2006 report of an advisory panel, "Determining Affordable Housing Need in the Twin Cities 2011 - 2020" at htto://metrocounci1.or2l\,lanninglhousin2lAffHousingNeedJan06.pdf. The Metropolitan Council developed this housing needs data in response to State law (~473.859) < to provide you with the information your community should use in the comprehensive plan update process. See Section 3 of the Local Planning Handbook for more housing details and information about Comprehensive Plan requirements at htto://www .metrocouncil.or2l"lanning/LPH/handbook.htm. A paper copy will be sent upon request Questions about housing planning should be directed to Linda Milashius at 651-602-1541 or your Sector Representative. Sincerely, ~{k Guy Peterson, Director Housing and Livable Communities 0 V:\REVIEWS\Planners'ICaufman\Analysis\housing\housing needs letter.doc www.metrocounci1.org Metro Info Line 602.1888 230 East Fifth Street . St. Paul. Minnesota 55101.1626 . (651) 602-1000 .. Fax 602-1550 . TIY 291.0904 AD Equal Opportunity Employer -.4'- '0 City Council Workshop February 28, 2006 - Minutes Page 3 owitz stated that it correct. Phase 2 would be the design phase and plans would be put to . If the crossings are on a county state aid road we can use state aid funds. S.E.H. said would be able to do Phase 1 in 60 days. We could then put that in our Capital Improveme Ian. Crosstown. is being reconstructed and that would be a good time to do it Motion by Jacobso~ seconded by authorize a contract with Short Elliott Hendrickson not to exceed $10,900 to co a Phase 1 railroad quiet zone in the city. Councilmember Trude asked if the qiliet zone should be . ght or during the day. She suggested that it be overnight She also noted that residents ki king when weare going to start ticketing the trains for staying at the crossings for more 10 minutes. Mr. Dickinson noted that the Sheriff's Office does that Mr. Berkowitz exp engineer still has discretion to blow the hom. Motion carried llmmimously. _....-...- .. Discuss Metropolitan Council Housing Needs Letter CO Mr. Neumeister reviewed a letter from Metropolitan Council that our fair share of affordable housing is designated as 660 units. This was derived from a formula that was used by Met Council to determine where the needed 51,000 units of affordable housing would need to be constructed.. Councilmember Jacobson asked what affordable is. Mr. Neumeister stated that per the Metropolitan Council it is $145,000.00. He noted that Met Council is looking for areas of medium and high density residential. Councilmember Orttel asked if the Met Council could force us to do this. Mr. Neumeister explained that they can according to state law. Councilmember Trude noted that the report shows that we have transit in the city which we don't have and if that were eliminated our numbers would be less. Mr. Neumeister noted that we have Rosella's property and part of Grey Oaks and Povlitziki's properties that may not be built. We can count those if they are not built by 2011. We can also choose our own. density. Councilmember Jacobson stated that we could do senior housing. Mr. Neumeister noted thatthere are some workshops on this that will be held this summer. Hewill research this more and ask Met Council how they came up with. their figures. <0 - 7,. ~ City of Andover Comprehensive Plan - Chapter Two 0 J. AFFORDABLE AND LIFE-CYLE HOUSING PROGRAMS A number of programs exist to provide renter assistance and below-market-rate home mortgage programs. Some involve little or no administration or oversight by the city, although most require the city's consent. Following is a list of existing housing assistance programs that may be used: Federal Government . Section 8 Rental Vouchers and Certificate Programs . Shelter Plus Care (S+C) Minnesota Housing Finance Agency (MHFA) . Minnesota Mortgage Program . Anoka County Community Action Program . Homeownership Assistance Fund . Urban Indian Housing Program\Triballndian Housing Program . Purchase Plus Program 0 . Minnesota Urban and Rural Homesteading Program . Partnership for Affordable Housing . . Minnesota City Participation Program . Energy Cost Homeownership Program (ECHO) . MHFA Rental Assistance for Family Stabilization (RAFS) K. IMPLEMENTATION OF MULTIPLE FAMILY HOUSING Over the next 10 years, 15 percent of all units are designated for multiple family development in accordance with the adopted housing goals (Figure 2.7). Areas designated for multiple family development should be broadly distributed throughout the MUSA to avoid mass concentrations and should follow the guidelines for multiple family placement discussed in Chapter Four (Land Use). The City Council shall amend the Development Policy Guideline to include an evaluation process for all Sketch Plans to meet the 15 percent multiple family goal. Adopted housing goals require 150 acres be available for medium density 0 multiple family development and 20 acres be available for high density multiple development over the next ten years. The Future Land Use Plan designates approximately 10 acres of high density multiple family development in both Page 6 of 7 -7- ~ City of Andover Comprehensive Plan - Chapter Two 0 Andover Station, and south of the WDE landfill site. Of the nearly 960 buildable acres designated for MUSA development between 2000-2010, over 200 acres could be developed under medium density guidelines. Figure 2.7 HOUSING GOALS CITY INDEX BENCHMARK GOAL Affordability Ownership 72% 69-87% 40% Rental 26% 35-50% 35% Life-Cycle Type (Non- Single , 4% 33-35% 15% familv detached) Owner/renter Mix 95/5% (75) / (25)% 90 / 1 0% Density Single-Family 1.0/acre 1 .9-2.3/acre 2.3 Net acres Detached Multifamily O/acre 10-13/acre 6 units 0 0 Page 7 of 7 -~- ~ Metropolitan Council Building communities that work '0 ~ECEIVED January 14,2002 JAN 30 20G2 The Honorable Mike Gamache, Mayor (fITY OF ANDOVER City of Andover 1685 Crosstown Blvd NW Anoka, MN 55304-2612 Re: Andover Comprehensive Plan Review Metropolitan Council District 9 (Natalie Haas Steffen, 763-753-2837) Referral File 18158-1 Dear Mayor Gamache: At its meeting on December 19,2001, the Metropolitan Council completed its review of the City of Andover Comprehensive Plan, an update of the city's 1991 comprehensive plan. The Council based its review on the staffs executive summary and review record. A copy of the Council's review document is enclosed for your records. The Council found that Andover's comprehensive plan as submitted was generally consistent 0 with the Council's household forecasts and that it is in conformity with the regional system plans for aviation, recreation open space, and transportation. The city's plan is consistent with regional housing policy and compatible with the plans of adjacent communities and school districts. The Council found that Andover's comprehensive plan is inconsistent with the Regional Growth Strategy concerning Permanent Rural Area and Urban Reserve. However, the city of Andover has adopted Resolution No. Rl77-Ol, which commits the city to implement actions that make the comprehensive plan update consistent with permanent rural area and urban reserves. Therefore, the plan is consistent with the Regional Growth Strategy's Permanent Rural Area and Urban Reserve. The Council adopted the following conditions and recommendations: 1. The city of Andover may put its 2020 comprehensive plan into effect contingent < upon implementation of Resolution No. R177-01, adopted December 6, 2001, which provides for: . Incorporation of the language in the resolution into the final plan; and the enactment of land use controls provided for in the resolution. . Submittal ofa plan amendment within 18 months that designates at least 1,000 < acres in the area that is presently guided for rural residential to rural reserve, and that protects those acres by prohibiting subdivisions of more than one unit per 40 acres and lot splits under 20 acres so those acres are available for an additional urban development after 2020. 2. The city fully pursues opportunities for implementing life cycle housing goals to O. achieve the overall multifamily density of at least 6 units per acre and the development of its high density designated land at the maximum permitted density in -/cI .- v...v..'Vl,...I11elJ"()( 'ouneil. ()r.~ Metro Info Line GU2, J C;t)C; . 230 East Fifth Street . St. Paul. Minnesota 55101-]626 . (651) 602-1000 . Fax 602- 1550 . TrY 29) ,0904 A_ r:"____1 ......_ .. - 0 , . ~ The Hono.rable If.1ike Gamache, Mayor January 14, 2002 Page 2 order to achieve the goals the city agreed to in March 2000 and as presented in the " ", . ,. cqmprenen:5iye f)~an. I . ~.,t', . ,,~I 3. Prior to the construction of any extensions or additions to its disposal system, the city must submit a Comprehensive Sewer Plan (Tier II Plan) to the Council for final approval. Minnesota Statutes 473.864, Subdivision 1, requires local governments to adopt their comprehensive plans within nine months following a final decision by the Council. Once it is revised to include all the supplemental information that was submitted, we request two copies of the plan be sent to the Council fur our records. One copy will be placed in the Council library and the other will be placed in the working file for Planning and Technical Assistance. In addition, please send us documentation (a city council resolution) indicating the city adopted or amended any official controls to implement the comprehensive plan. City staff was especially helpful in providing additional information and working on completing the updated comprehensive plan for Andover. We congratulate you, the city council, and your staff for preparing a thoughtful plan that will protect the Permanent R,ural Area and Urban 0 Res , and provides life-cycle housing in the city of Andover. Enclosure cc: John Erar, City Administrator, City of Andover David Carlberg,Comnmnity.D~el'0pmen.t;DH--ef!.qr~.~ii}'.~.i4!l~9~~~~ Sherry Narusiewicz, MnDOT Metro Division Natalie Haas Steffen, Metropolitan Council District 9 Eli Cooper, Director, Planning and Growth Management Phyllis Hanson, Manager, Planning and Technical Assistance Christy Stark, Principal Reviewer, Planning and Technical Assistance 0 -1/- . - - 0 CITY OF ANDOVER COUNTY OF ANOKA STATE OF MINNESOTA RESOLUTION NO. 177-01 A RESOLUTION COMMITTING THE CITY OF ANDOVER TO CERTAIN LAND USE CONTROL ACTIONS TO BRING ITS 2020 COMPREHENSIVE PLAN INTO CONFORMANCE 'WITH METROPOLITAN SYSTEM PLANS WHEREAS, the City of Andover pursuant to Minnesota Statutes 473.864, Subd. 2 and 473.175 has submitted for review and adoption its 2020 Comprehensive Plan to the Metropolitan Council to ensure conformance with metropolitan system plans and Regional Growth Strategy policies; WHEREAS, the Metropolitan Council staff review record of the City's 2020 Comprehensive Plan identified land use elements that are deemed inconsistent with Metropolitan Council Regional Growth Strategies policies for rural and urban reserve areas within the City of Andover and represents a substantial departure from the regional Wastewater System plan; - -- 0 WHEREAS, specific land use control issues identified in the review record dated October 10, 2001 would require the City of Andover to take additional melisures and actions to ensure conformanCe with metropolitan system plans and consistency with Regional Growth. Strategy Plan through its 2020 Comprehensive Plan; and WHEREAS, the City of Andover has reviewed the reconmiended land use and waste water system recommendations identified by the Metropolitan Council staff and indicated their willingness to commit in concept and principle to take appropriate legislative actions to ensure municipal compliance with metropolitan system plans. NOW THEREFORE BE IT RESOLVED that the Andover City Council' commits to the following land use control actions to ensure conformance with metropolitan system plans and consistency with regional policies in the following manner: 1. The City of Andover commits to restricting lot splits of less than 20 acres within the 2020 urban reserve area and shall incorporate said restrictions within its 2020 Comprehensive Plan for designated and/or future designated urban reserve areas. 2. The City of Andover shall commit to identifying and protecting through appropriate land use controls environmentally sensitive resources, agricultural lands and buffer areas in the rural area in cooperation with metropolitan and state agencies; protection of environmentally sensitive areas shall be limited to land use controls as approved by the governing body. 0 3. The City of Andover, in order to preserve and protect agricultural land uses, promote orderly growtb. and maintain important quality of life factors, will -'Ie. - - 0 a. identify and designate within 18 months from the date of its 2020 Comprehensive Plan adoption no less than 1,000 acres of rural reserve area. During this 18 month review and designation process, restrictions on lot splits of less than 1 per 20 acres and subdivision of less than 1 per 40 acres shall apply to all land areas referenced in Scenario 1 and 2 (hereto attach~d) beyond the City's adopted 2020 metropolitan urban service area. b. restrict the subdivision of agricultural preserve and non-agricultural rural property in the designated rural reserve area to no less than l' per 40 acres until the City has an adopted 2040 Comprehensive Plan; c. restrict lot splits of no less than 20 acres in the designated rural reserve area until the City has an adopted 2040 Comprehensive Plan 4. The City of Andover seeks to reserve its rights to future CAB sewer flows and agrees to perform necessary and timely sewer studies at the Metropolitan Council's request in determining ultimate CAB sew~r flow design capacity requirements when planning for City 2040 development needs. BE IT FURTHER RESOLVED that the Metropolitan Council will in exchange for these additional municipal land use control commitments be willing to recommend adoption of the City's 2020 Comprehensive Plan and allow the City to put its plan into effect, conditional on the herein described land use actions being incorporated into the final, adopted 2020 Comprehensive Pla.n;-- 0 BE IT FURTHER RESOLVED that upon adoption of this resolution and correspon~g adoption of the City's 2020 Comprehensive Plan by the Metropolitan Council, City staff is authorized to incorporate appropriate language in its 2020 Comprehensive- Plan to ensure internal consistency with the actions prescribed by this resolution. Adopted by the City Council of th~ City of Andover this 6th day of December, 2001 . ATTEST: CITY OF ANDOVER ~ d--L& ~~c:i~ City Clerk MaYor 0 -If- o ~ Metropolitan Council October 1, 2008 RECEIVED Courtney Bednarz City of Andover OCT 2 2008 1685 Crosstown Blvd NW Andover, MN 55304 RE: City of Andover Comprehensive Plan Update - Incomplete for Revie~ C ITV 0 F AN DOVE R Metropolitan Council Review File No. 20227-1 Metropolitan Council District 9, Natalie Steffen Dear Mr. Bednarz: The Metropolitan Council received the City's updated CompreheriSive Plan (Update), for review on September 11,2008. The Council's process is to respond to cities within fifteen business days to whether the submittal is complete for review. Where noted, please refer to the appropriate page number of the Local Planning HandbQok (LPF;I), or contact Patrick Boylan directly. Council staff finds that parts of the plan update submittal are incomplete and review has been suspended pending receipt of the following items: Airports (Chauncey Case 651-602-1724) er- . The Update needs to include text reflecting the systems statement requirement for protection of the region's general airspace and "Notification" to F' AA. See appropriate text in the Council's L~calPI~gHandbpok.(LPH),.page4-10.... " Forecast~(fodd.Graham 65i':602~i322) " . " . ': . . ", . " ." Y-' Due to inconsistency offoreeaSts 'Within the 'document,' COuncil Staff would like 'to 'ineefWitli CitY Staff to determine if the Update should use the March 2008 figUres that wer~ agreed upon orthe 2005 Systems Statement data. ~. Housing (Lmda Milashius 651-:602-1541) The Update is incomplete for Housing. . ~ . The Update needs to acknowledge the City's share of the regjons' affordable housing need for the 2011-2020 time period - 635 units (this is based on the City's expectation of 11,400 ho~seholds (total) in 201{)'and 14,000 households in 2020). Staff can provide sample language for tlziselement. ' ~~. Land Use (patrick Boylan 651-602-1438) ~. . The Update needs to include minimum and maximum ranges for residential densities on the ~ Future Land Use map. , . Descn'be the.mfu.imum allovvab~e. deD.sitie~ for-the resid~llalland use c~tegories in the text or in Figure 2.6, wb-ich qescribes sewer staging by land 'use. As stilted in Section 3 6fthe"Council's Local Planning Handbook. 'To be complete for review of the land use element, each of the re~iden~alland~e catego~e~ must have an associated minimum residential density. :,." n" .,.. ... .~. .... .. -'. . '.,' .....- ...., . ., .. . , . . . "', 0 www.metrocouncil,org ., .. 390 Robert Street North · St. Paul. MN 55101-1805 · [651) 602-1000 · Fax (651) 602-1550 · ITY [651) 291-0904 An Equal Opportunity Employer , '~/t<"- ; 0 Courtney Bednarz October 1, 2008 Page 2 . On the Future Land Use map, show land uses that are "Agricultural" for parcels enrolled in Ag. ~. Preserve program. Previous planned land use data shows agricultural lands in the northern ~ portion of the City and in the vicinity of the "Urban Reserve." There is an Ag Preserve enrollment map (pg. 37); the future land use map must have the Ag preserve land shown. ~' Implementation (patrick Boylan 651-602-1438) . The Update is incomplete for Capital Improvement Plan requirements as referenced on page 711. See page 7-3 of the Local Planning Handbook. ~~. Transportation (Ann Braden 651-602-1705) The Update is incomplete regarding transit and contains some out of date or inaccurate information that ~ should be corrected. 1 ~. . State that the City lies outside the Metropolitan Transit Taxing District and is located within Transit Market Areas ill and IV. . Include the Anoka County Volunteer Driver Program in the description of existing transit services. . Remove Route 850 from the Update. Only Route 851 touches the southwestern comer of the City, traveling along Bunker Lake and Round Lake Blvds. 0 . Update the list of regional park-and-ride lots in surrounding communities. The lots at Oak Park Plaza, Park of Four Seasons, and Blainebrook Bowl in Blaine have closed, as have St. Philip's Lutheran Church and Walgreens in Fridley. . Remove the MnDOT Commuter Rail System map on Page 68. The Council's 2004 TPP does not include the High Speed rail corridor to Chicago, Norwood Young America or the Dan Patch corridors. . Remove reference to the Bethel corridor as conunuter rail. In the Council's 2004 TPP, the Bethel corridor is planned as an express bus service, not conunuter rail. The Council does not plan to develop the Bethel corridor as conunuter rail, nor is it a Tier II transitway, as listed on Page 69. . Update discussion about market areas and the 1996 Transit Redesign document. Many of the concepts outlined in Transit Redesign were incorporated into the 2004 TPP as Appendix M. . Indicate that the suggested size and cost of potential park-and-rides within Andover are based on the City's own calculations, as opposed to those of the Metropolitan Council. . Update or delete the first full paragraph on Page 70 to reflect the current Northstar schedule and legislative funding changes since 2003. I . Formally request the inclusion of the Roadway Functional Classification on the TAC-TAB maps. I If the City wishes the arterial roadways be included; the City should formally request the , I I inclusion. . The socio-economic forecasts allocated to the TAZs need to be consistent with the regional forecasts: Figure 1.1 identifies two demographic scenarios: the City's forecasts and the Council's forecasts. However, within the Transportation Chapter, the TAZ-allocation reflects 0 -l.>=- I 0 Courtney Bednarz October 1, 2008 Page 3 only the City's scenario which does not agree with the Regional Development Framework of January, 2004. . Note that the 2030 Transportation Policy Plan does not include plans to expand roads identified in the Interregional Corridor Studies-TH 169 and TH 10, both are outside the City's boundaries. The regional 2030 Transportation Policy Plan does not include plans to expand these highways before the year 2030 and this should be noted in the Update. ~. Surface Water Management Plan (Jim Larsen 651-602-1159 and Judy Sventek 651-602-1156) The Plan is incomplete for the City's Water Resource Management Plan (WRMP). Andover lies within the Lower Rum River and Coon Creek watersheds. The Lower Rum River Watershed Management Organization's watershed management plan was approved by the Board of Water and Soil Resources (BWSR) in 1998. The Coon Creek Watershed District's watershed management plan was approved by BWSR in 2004. As required by Minnesota Statute 103B, Andover completed a Water Resource Management Plan (WRMP) in March of 2005. In the system statement sent to the City in 2005 after the adoption of the Council's 2030 Regional Development Framework and 2030 Water Resources Management Policy Plan, the City was advised they would need to review their current local surface water management plan (in Andover's case the WRMP) 0 against the policies and required elements of the newly adopted 2030 Water Resources Management Policy Plan. The revised WRMP needed to be consistent with the local surface water management plan content requirements section in Appendix B2-b of the Water Resources Management Policy Plan. Any discrepancies between the current plan and the new policy plan would require the City to revise its WRMP and resubmit their revised plan to the Council for its review concurrent with the review by the watershed management organizations. The update submitted in September 2008 was clear that, while the City updated the plan to include its 2006 Storm Water Pollution Prevention Plan (SWPPP), the City did not revise its WRMP to be consistent with the all of the requirements of the Water Resources Management Policy Plan. Specifically the , WRMP did not include adequate information on the following: . Include in the Update, quantifiable lake water quality goals for Bunker, Crooked, Round and Ward Lake. . Identify all impaired waters in the City. Coon Creek is impaired for biotic integrity; the plan only mentions that the Rum River is impaired. The City's Update needs to identify the City's role in the total maximum daily load study including the implementation plan needed for the impaired water. . Include a wetland management plan or process and timeline to prepare a plan. At a minimum the wetland management plan should include a wetland ftmctions and values assessment for the wetlands within the City. Other items to address in the plan include the pretreatment of all storm water prior to discharge to all wetland types, and the use of buffers. Buffers should be consistent with the ftmctions and values identified in the plan. 0 -/? 0 Courtney Bednarz October 1,2008 Page 4 . Include a copy of the City's erosion and sediment control standards. Erosion and sediment control ordinances must be consistent with watershed rules and standards and the Minnesota Pollution Control Agency (MPCA) MS4 and construction general permit requirements. . Include a summary of the City's nondegradation plan required as part of the MS4 permit . Include in the Update a list of specific ways or practices to use as future development and redevelopment occurs aimed at controlling runoff volumes and rates. . Include detailed infiltration requirements for new development and redevelopment consistent with the MPCA's newly adopted construction general permit. . Include a map showing the areas served by the existing storm water system that identities existing storm water ponds, location of all storm water outfalls and direction of flow. . Include information on the City's permitting process for development. In particular information on whether or not the City relies solely on the watersheds for permits or if they have a separate permitting process. If the City has its own process, send information on what that process involves. .... . In the Update where it refers to the MPCA's construction general permit requirements, the requirements should be changed to be consistent with the newly adopted requirements. Advisory . Modeling information for the proposed areas of development will be critical to the success of the 0 WRMP in protecting water quality and quantity in the future. Please note that failure to update the WRMP is inconsistent with Council policy and has the potential to result in the comprehensive plan update being determined to have a metropolitan system impact. (Il.. Sewers (Roger Janzig 651-602-1119 Kyle Colvin 651-602-1151) ~/' There are potential issues in the wastewater section that represent a system departure due to an overall ~ensity ofless than 3 units/acre. The following comments reflect our concerns: ((!f'jt. Sewered Growth Projections - The sewered growth projections are less than shown in the System ~ Statement for the City. . Wastewater Flow Projections - The City's wastewater flow projections are greater than the Council's projections. The City used 227 gallons per household and 50 gallons per employee to project its flows. These numbers do not appear to be tnlusual and would be appropriate for planning local trunk sewer systems. Based on these numbers, the City's 2030 flow projection is 3.01 mgd versus the Council's 2030 projection of2.32 mgd using it's regional approach for service level needs. If the Council used the City's lower sewered growth projections in its flow projection formula we would project a flow of only 2.21 mgd by 2030. The Update indicates that l the ultimate average flow would be 3.33 mgd, which is greater than the previously agreed to number of 3.2 mgd. The plan indicates that all land within the MUSA and ~he Rural Reserve would be developed by 2030. However, the Update does not identify nor explain where the additional flow 2.21 mgd to 3.33 mgd come from. . The City's System Statement identified an area in the northeast area of the community for 0 "Potential Service" by the regional wastewater disposal system. This area was to utilize regional - J'/~ I 0 Courtney Bednarz October 1, 2008 Page 5 sewer services within the 2030 planning period, or be placed in an urban reserve status until such a time that it could accommodate growth (post 2030). The regional system currently providing . service to the City has adequate capacity to provide service to this area. However, the City has identified local capacity restrictions within its trunk system that provides service to this area, and service through the local system cannot be accommodated without significant costs to the community. As an alternative to serving this area through the existing southern connection point and requiring costly local improvements, this area could be provided service by the proposed Regional Water Reclamation Plant (WRP) in East Bethel. The Update should be revised to identify an area, consistent in size to the System Statement, for future urbanization and wastewater services to ~e proposed WRP in East Bethel. {!omrn ' . The overall density of future development within the City is projected at less than 3 units per acre. If the density of future growth is held to 3-5 units per acre the Council's interceptor system ~ has adequate capacity to provide the needed service. ecmytl. Parks (Jan Youngquist 651-6~2~102.9) ,., -:::;.:-- The Update needs to make a dIstinction between local tratls and reglOnal trails and the approved master plan boundaries for Bunker Hills Regional Park identified on the maps in the City's Update. Minor changes to the comprehensive plan will ensure conformance to the Parks Policy Plan and enhance the 0 clarity of the comprehensive plan, as recommended below: ~"". Regional Trails: The Proposed Regional Trails Plan Map (Figure 24) classifies both City and County ~ trails as regional trails. In order to be considered a regional trail, it must be identified in the 2030 Regional Parks Policy Plan. The t\yo regional trails in Andover are the Central Anoka County Regional Trail and the Rum River Regional Trail. The following rev1sions to the Update are recommended to clarify the regional trails: '" . Figure 24 should be renamed "Proposed Trails' Plan" and the category for "Proposed Regional Trails" should be renamed "Proposed Trails." . Under the "Proposed Trails" and "Existing Trails" categories, the classification of "County" trails should be changed to "CountylRegional" trails. . The Regional Parks and Trails Map (Figure 5.4) states that City designated regional trails are identified on Figure 25 of the Transportation Plan. The notation should be revised to indicate that local trails are identified on Figure 24 of the Transportation Plan. . The references to the "7th A venue Regional Trail" should be changed to "Rum River Regional Trail" on page 54 of Chapter 5: Parks and Open Space Plan. . The Central Anoka County Regional Trail will connect Bunker Hills Regional Park to the planned Mississippi West Regional Park in Anoka and to the East Anoka County Regional Trail in Ham Lake. This description should be updated on page 54 of Chapter 5: Parks and Open Space Plan. C6rnl'Y" Regional Parks: The boundaries of Bunker Hills Regional Park vary on maps within the City's Update. ~ Please contact Anoka County to get the GIS files with the proper boundary of Bunker Hills Regional Park for the map corrections recommended below (see attached graphics): 0 . The pink cross-hatched areas shown on the following graphic should be removed from the boundary of Bunker Hills Regional Park on the Regional Parks and Trails Map (Figure 5.4) -jy.. 0 Courtney Bednarz October 1, 2008 Page 6 . The area shown in green on the following graphic should be added to the boundary for Bunker Hills Regional Park on the Existing Parks and Trails Map (Figure 5.1) and the Proposed Trails ~#\' Plan Map (Figure 24). ~ . Portions of Bunker Hills Regional Park are shown with a current. land use and a guided future land use of "Public" rather than "Open Space." The area highlighted in green on the following graphic should be changed to an "Open Space" land use on the Existing Land Use Map (Figure 2.3) and the Future Land Use Map (Figure 2.4). . The Parks and Open Space Plan indicates that Bunker Hills is a regional park reserve. Bunker Hills is classified as a regional park, rather than a park reserve. This information should be updated on page 49 of Chapter 5. Weare looking forward to working with you to complete the remaining items. Please feel free to call the technical reviewers directly (names and numbers in parentheses). 0 cc: Natalie Steffen, Metropolitan Council District 9 Patrick Boylan, Principal Reviewer Judy Sventek, Environmental Planning Analyst Cheryl Olsen, Reviews Coordinator N :\CornmDev\LP A \Communities\Andover\Letters\Andover 2008 CPU INCOMPLETE 20326-1 Oet08.doe 0 -/!~ 0 0 , J':lVDAfI.11T" NJSIAJ'E Sir I-1tlTH.il'E.,\'ff' HPrH.lf'E. NIT" 1;"'m! Af"E. ~'1T BliNKE.R L!.U ilLl: l~7Hjl'E.A'ff' mrH.il'E. ,~'ff' mrH.lFE.,\'1T" 0 mRD,a'E.NJr -zq- C I T Y o F 0 NDOVE 1685 CROSSTOWN BOULEVARD N.W. . ANDOVER, MINNESOTA 55304 · (763) 755-5100 FAX (763) 755-8923. WWW.CI.ANDOVER.MN.US March 11, 2004 Guy Peterson C/o Metropolitan Council 230 East Fifth Street St. Paul, MN 55101-1626 Re: Andover's Medium/High Density Housing Areas Dear Mr. Peterson: As you will recall on October 2, 2002 I sent this same'type of information to you regarding the amount of medium and high density housing in Andover. The purpose of this letter is to bring you up-to-date on the location and types of multi-family housing that are currently being planned and built in Andover. 0 Attached is a map of the City and shown on it are seventeen locations in the City guided for mediumlhigh-density residential comprising approximately 242 acres that include the following (see attached map): 1. Grey Oaks - approximately 44 acres and already approved for 352 housing units (includes apartments and townhomes, resulting in an overall density of 8 units per acre). These units are currently being built and are "for sale" in the current "Parade of Homes" with a range of values from $127,900 to $182,900. 2. The Farmstead-- approximately 8.24 acres and has already been built, with 134 housing units at a density of 16.24 units per acre. 3. An 18 acre parcel owned by Rosella Sonsteby, (north of Bunker Lake Blvd.) currently zoned M-2. There is an estimated net usable area of 15 acres (excluding wetlands) that could ultimately have 120 housing units (based on a density of8 units per acre). 4. An 8.43 acre parcel owned by Rosella Sonsteby, (south of Bunker Lake Blvd.) currently zoned M-2. The site could ultimately have 67 housing units (based on a density 8 units per acre). 5. A nine acre parcel owned by the Andover EDA that has been sold to Bruggeman ' 0 Homes for a townhome development of75 housing units at an overall density of 8.33 units per acre. --2/- 6. A ten acre parcel owned by the Andover EDA that is planned to be developed in conjunction with the land that was proposed to be low density residential. We would like to have the overall density averaged between the two parcels to be 0 approximately 6-8 units per acre. With the blending of the two parcels into a density that would fall in the medium density range of 7 units per acre there could be a,total of 17 acres resulting in approximately 102 to 136 units oftownhomes. 7. A 40 acre area currently developed into duplexes/ apartments that is located along the north side of Bunker Lake Boulevard. 8. A large area of townhomes in "Shadowbrook East" housing development that is now all built out and has a density of a 5 units per acre. (contains 240 units) 9. Townhomes in '~ztec Estates" were approved and are being built. They too are in the "Parade of Homes" this year. (contains 44 units) 10. Townhomes in "Natures Run" are approved and are being built. They are also in the "Parade of Homes" this year. (contains 54 units) 11. Twinhomes in "Red Pine Fields" were approved and are nearly all built out. This was an active development last summer. (contains 34 units) 12. Townhomes in "Devonshire Estates" were approved and all built out. This is actively being marketed right now. (contains 8 units) 0 13. Townhomes in "Woodland Creek Golf Villas" were approved and are being built. This is in the "Parade of Homes" this year. (contains 14 units) 14. Townhomes at "Crosstown Meadows" were approved this winter and are currently being built. (contains 16 units) 15. Townhomes at "Bunker Lake Village" were approved last fall and are planned to be built this summer. (contains 41 units) 16. Townhomes at "City View Farm" were approved last fall and are planned to be built this summer. (contains 7 units) 17. Townhomes at "Sunridge" were approved two years ago, and have all been built out. (contains 35 units) This is the most up-to-date information that I have regarding the current medium/high- density housing that is being planned and built in the city. I believe this should address your concerns regarding the City meeting the affordable housing goals, if not, please feel freeto call me at (763) 767-5140. On the following page is a table that contains all the information listed above. As you will see, we have been working on exceeding the medium and high density residential "affordable housing" goals that were agreed upon in 2000. Again, I hope this satisfies your concerns over the amount and type of new multi- -0 family that is being planned and built in Andover. 2 - '2.e. - Site Acreage/Density Total Housing Units 0 Expected - - _.--. - - - - ------------- ---- I. Grey Oaks 44 (jiJ 8 units per acre 352 2. Farmstead 8.24 (jiJ 16.24 units per acre 134 3. Sonesteby Property 15 (jiJ 8 units per acre 120 4. Sonesteby Property 8.43 (jiJ 8 units per acre 67 5. Andover EDA 9 ac. (jiJ 8 units per acre 75 6. Andover EDA 10 acres (jiJ 8 units per acre 80 7. Older Medium Density 40 acres @ 3 units per acre 120 Area 8. Shadowbrook East 40 acres G ~ 6 units per acre 240 9. Aztec Estates 11 acres G ~ 4 units per acre 44 10. Natures Run 13 acres G ~ 4 units per acre . 54 11. Red Pine Fields 11 acres G ~ 3 units per acre 34 12. Devonshire 2 acres (ci) 3 units per acre 8 13. Woodland Creek Golf 3 acres @ 4 units per acre 14 Villas 14. Crosstown Meadows 4 acres (jiJ 4 units per acre 16 15. Bunker Lake Village 10 acres @ 4 units per acre 41 16. City View Farm 2 acres @ 3 units per acre 7 17. Sunridge 12 acres (ci) 3 units per acre 35 0 Total over 242 acres 1,441 units If you would like to see any of these new developments first hand I would be happy to give you a guided tour of them. Sincerely, ~~ Will Neumeister Director of Community Development Attachments Map of City 0 3 --25- @ 0 1685 CROSSTOWN BOULEVARD N.W. . ANDOVER. MINNESOTA 55304 . (763) 755-5100 FAX (763) 755-8923 . WWW.CI.ANDOVER.MN.US TO: Mayor and Council Members CC: Jim Dickinson, City Administrator FROM: David D. Berkowitz, Director of Public Works/City Engineer SUBJECT: Assessment Policy Discussion - Engineering DATE: October 28, 2008 INTRODUCTION The City Council is requested to review and discuss the attached proposed assessment manual 0 revision and direct staff on how to proceed with updating the assessment policy. DISCUSSION Attached are proposed revisions to the current assessment manual. As discussed at previous meetings, staff will present a few pages at a time so that adequate time can be spent discussing the proposed changes. Pages 4-11 were reviewed at the September Workshop. Some additional changes were made to these pages and changes as recommended by the City Council are also included. Please review these pages again to ensure changes were made appropriately. Pages 4- 15 will be reviewed at this meeting. After the entire document has been reviewed it will be brought back one last time at a workshop for a final review. The last step in the process will be to have the document formally approved by the City Council at a regular scheduled City Council meeting. ACTION REQUIRED The City Council is requested to discuss proposed changes to the City's assessment policy. Respectfully submitted, (;)~Q~ David D. Berkowitz /' 0 Attach: Proposed Revisions to Current Assessment Manual (pgs. 4-15) 0 PUBLIC IMPROVEMENT SPECIAL ASSESSMENTS I. GENERAL Minnesota State Law, Chapter 429 provides that a Municipality has the power to make public improvements such as; sanitary sewer, storm drainage; water source, storage and distribution facilities, street improvements including grading, curb and gutter, and surfacing, sidewalks, street lighting, recreational facilities, etc. THE THEORY OF SPECIAL ASSESSMENTS Special assessments are an indirect form of taxation. They are a compulsory charge on selected properties for a particular improvement or service which presumably benefit the owners of the selected property and are also undertaken in the interest of the public. Special assessments have three distinct characteristics: 0 1. They are a compulsory levy used to finance a particular public improvement program. 2. The levy is charged only against those particular parcels of property deemed to receive some special benefit from the program. 3. The amount of the charge does not exceed the value of the benefits received. Special assessments are imposed only on real estate. They are never levied against personal or moveable property. In theory, special assessments are frequently regarded as more equitable than property taxes because those who pay them obtain some direct benefits from the improvements undertaken. SPECIAL ASSESSMENT USES Special assessments have three important applications: 1. The first and most popular use is for financing new improvements 0 particularly when new tracts of land are being converted to urban use. In this application they are frequently used to pay for sanitary sewer, storm drainage, water source, storage and distribution facilities, street improvements including grading, curb and gutter, and surfacing, sidewalks, street lighting, recreational facilities, etc. 4 0 2. Special assessments may also be used to underwrite the cost major maintenance programs. Large-scale repairs and maintenance operations on streets, sidewalks, water-main, sanitary sewers, storm drainage and similar facilities can often and should be financed with special assessments. 3. A significant new use of special assessments is in the redevelopment of existing neighborhoods. When residential areas are confronted with progressive deterioration, or even when presently sound neighborhoods can be made more desirable through the development of parks, playgrounds, tree planting and new street patterns, aR€I- the city can utilize special assessments to good advantage. THE BENEFIT PRINCIPLE Special assessments may be levied only upon property receiving a special benefit from the improvement. In Minnesota, the Constitution and courts apply this general rule by placing the following limitations upon the power to levy special assessments: (1) the rate must be uniform and equal upon all property receiving 0 special benefit; (2) the assessment must be confined to property specially benefited; and (3) the amount of the assessment must not exceed the special benefit. SUMMARY OF STEPS IN SPECIAL ASSESSMENT PROCEEDINGS 1. Initiation of proceedinQs. This may be done either by the councilor by petition of affected property owners. If a petition is used, it must be signed by the owners of the at least ~ 50% of existing or potential units bordering on the proposed improvements. in frontage of the property bordering on the proposed improvements. Even if the council acts originally on its own initiative, an extraordinary majority is not needed to initiate the proceedings. In initiating proceedings, or in accepting a petition requesting such proceedings, the council should simultaneously order a feasibility report on the proposed improvement. 2. ' Preparation of a report. The law requires that a report on the feasibility of the proposal be prepared by the City Engineer or by some other competent person selected by the council. It must cover such factors as the need for the project, an estimate of cost, and any other information 0 thought pertinent and necessary for complete council consideration. 3. Public HearinQ. This step may be omitted when a petition requesting the improvement has been signed by 100% of the affected land owners. Notice of the hearing must be published twice in the offi~ial newspaper 5 0 with each publication appearing at least a week apart. At least three days must elapse between the last publication date and the date set for the hearing. Furthermore, a notice must be mailed to each property owner in the area to be assessed stating the time and place of the hearing, the general nature of the improvement, the estimated cost and the area proposed to be assessed. At the hearing, all interested persons should have a chance to be heard, whether or not they are liable to be assessed. 4. Orderinq the improvement and preparation of plans. The resolution ordering the improvement may be passed by a majority of the council if proceedings were originally commenced by petition. If not, the resolution must be adopted by an affirmative vote by at least four-fifths (4/5) of the council. It is after this that the City Engineer should prepare the necessary plans and specifications. At this point the council should decide how the work is to be done and, if necessary, issue a call for bids. 5. Performance of work under contract or bv day labor. The city enters into a contract with the lowest responsible bidder after advertising for bids, or the work may be done by day labor. 0 6. Preparation of proposed assessment roll. Assessment rolls are lists prepared for each assessment project. They should contain a description of each parcel or property, and the amount of the assessment. 7. Public hearinq on the proposed assessment. The purpose of this second hearing is to give affected property owners an opportunity to be heard on the matter of the actual assessments being levied. Notice must be published in the official newspaper and mailed to each property owner at least two weeks prior to the hearing date. Finally, the total cost of the improvement project must be published in the city newspaper. This assessment hearing may also be held prior to awarding the contract. 8. Approval and certification of assessment roll. After the hearing, the roll must be officially adopted by a council resolution and then certified to the county auditor. 9. Issuance of obliqations to finance the improvements. Most of the special assessments may be paid over a period of several years. Consequently, on most public improvement projects thus financed, necessary funds are obtained from bonds issued at the time the 0 improvement is made. The bonds are then paid off as the funds become available through the collection of the assessments and any taxes levied especially for that purpose. 6 0 II PURPOSE The purpose of this assessment manual is to set forth a guide to be utilized by the Engineering Department and the Clerk's Department when preparing assessment rolls for approval by the City Council. so 3S to This process will assure the uniform and consistent treatment te-tAe of various property properties from year to year. The Engineering Department will plan and organize improvement projects of large enough scope such that good bid prices will be obtained. To help insure proper planning, all petitions for local improvements should be submitted to the City by the 1st meeting in April of the year when construction of the improvement will be considered. If the petition is not received by April 1st , the City Council at their discretion may move forward with the improvements even though the proposed project may be carried into the following year. This may result in additional interest costs that will increase the total cost of the improvements. Exceptions to this gener31 rule may be oonsidered if the benefiting property owners understand the 0 project m3Y not get completed 3nd the interest cost due to not being 3ble to 3ssess the project that ye3r v:ill increase the tot31 cost of the improvement. III GENERAL POLICY It is the The policy states that all properties shall pay their fair share of the cost of local improvements as they benefit: it is not intended that any property shall receive the benefits of improvements without paying for them. Local improvements wi-U- may include, but are not limited to: water, sanitary sewer, streets, storm drainage, sidewalks, street lighting, recreational facilities, etc. IV POLICIES RELATING TO SPECIAL ASSESSMENTS Assessments The total ef assessments cannot exceed the total project cost and must be apportioned equally 'Nithin amongst properties having the same general land use 0 (residential, institutional, multiple family, commercial or industrial), based on benefit. Total assessment against any particular parcel shall not exceed benefit to that parcel. Project cost may include part or all of the cost of previously installed projects not previously assessed. (Examples include but are not limited to: sewer trunk, aM 7 0 water trunk, source and storage, topogr3phic and S.D. sanitary sewer lateral, water lateral and street and storm drainage) Assessment Period Improvements installed as a part of a new residential subdivision and petitioned for by the Developer shall be assessed for a period of up to ten (10) eight (8) years. New commercial and industrial subdivisions petitioned for by the Developer shall be assessed for a period of up to ten (10) eight (8) years. Assessments for improvements not included as a part of a new development shall be assessed for a period up to a ten (10) eight (8) years period. A Senior Citizen deferral is permitted (See State Law). Interest Rate The rate of interest on assessments shall be 1 % greater than the rate of interest the City paid on the bonds which were issued to finance the project. eHR In 0 the event that Re bonds were not issued, #teA the rate shall be 1 % greater than the average rate of interest on all permanent bonds issued in the previous calendar year or the current market rate, if whichever is higher. Indexes The construction cost index will be used to adjust connection, area, and other costs not immediately assessed with the improvement project. The construction cost index is a number computed by the "Engineering News Record" (ENR) derived from prices of construction materials, labor, and equipment for the Minneapolis area. base ye3r of 1913 equals 100. The base index for the Minneapolis area is 1913 equals 100. Properties Not Assessed Special assessments will not be levied against properties described as follows: 1. Undeveloped lands having unbuildable soils and/or lying within the flood 0 plain of major drainage channels. 2. Drainage ponds areas (defined typically encompassed by public easements) and major drainage €I-itGR- system easements such as 8 0 Cedar Creek, aM Coon Creek (CC\^!D and LRR'NMO) and the Rum River. Wet ponds and/or delineated or designated wetlands are not assessed. The boundary is determined by the contour elevation that is at the high water level (100 year flood, back to back 100 year flood events, or 10 day snow melt) elevation. Dry ponding areas are assessed, typically as part of an Area Assessment. 3. Cemeteries. 4. Railroad right-of-way and major transportation right of way (Le. rapid transit). 5. City park land in new developments are not assessed to the City, but are assessed to the developers. Existing parks are assessed 0 for reconstruction projects or other improvement projects not part of a new plat. (New development only) Methods of Assessment In preparing past assessment rolls +the City Council has in the past, in preparing assessment rolls, used four (4) methods of assessments. Any combination may be used for a particular project. It should be emphasized that the special assessment methods and policies summarized herein cannot be considered as all-inclusive and that unusual circumstances may at times justify special considerations. ,AJso, any fixed cost data and rates presented herein '.viII be adjusted from year to year by the ENR Construction Index. 1. Area: The area to be assessed is the total gross land area in acres of a property, including street and utility easements, but excluding those areas as 0 described under "Properties Not Assessed". The types of improvements to be assessed on this basis are: (a) Sanitary Sewer Trunk 9 0 (b) Water Trunk, Source & Storage (c) Storm Drainage (d) Area Transportation Improvements 2. Unit (Lot): Unit is a parcel or lot in a residential area that cannot be further subdivided. ,Le., in a single family R '1 Zone the minimum lot is 80' x 142.5' The types of improvements to be assessed on this basis aFe include but are not limited to: Trunk and lateral water, sanitary sewer, street and storm drainage improvements for subdivision of residential, industrial and commercial properties. If a residential parcel has the potential to subdivide within the Metropolitan Urban Service District (MUSA), an R-4 designation will be utilized to determine the total assessable units. If the parcel is outside the MUSA, an R-1 designation will be utilized to determine the total assessable units. Refer to the Zoning Code for the most current lot size requirements. 0 3. Front Footaae: (short side) The types of improvements to be assessed on this basis aFe include but are not limited to: water, sanitary sewer, street and storm drainage improvements for residential, industrial and commercial properties. Trunk and lateral v:ater, sanitary sewer, street and storm drainage improvements f-or subdivision of residential, industrial and commercial properties. If this method is used, corner lots shall be assessed on the side that the property is addressed. 4. Variable Costs: Driveways and special services. Assessable Costs 1. Contract Costs: Amount paid to contractors for constructing the improvements. 2. Construction Interest Cost of financing during the time period of the 0 improvement prooess starting Y.'hen the first payment is made to the contractor until the assessment roll is approved by the City Council. The interest rate will be the bond ~ Cost of financing during the time frame of when the first expense is 10 0 incurred and accumulating until the a sessment roll is approved by the City Council. Developers can also "pay as you go" to eliminate some/all construction interest by paying all expenditures on a monthly basis. Refer to Interest Rate section on Page 8 on how the actual rate is determined. 3. Assessment Interest: Cost of fin:::mcing during the time period of the assessment roll starting at date of adoption of the roll the rate is the bond rate plus ~ Cost of financing during the time frame of when the adoption of the assessment roll takes place until the final payment of the assessment. Refer to Interest Rate section on Page 8 on how the actual rate is determined. 4. Expenses to be Assessed: Costs incurred by the City in addition to the contract costs, including but not limited to: Engineering, Public Works, advertising, financing charges, administration, aAG assessing, etc.. Refer to the Andover Assessment Worksheet in the Appendix for additional expenses. 0 5. Proiect Cost (total cost of improvements): Total of contract costs, interest and expenses, and work previously GeRe completed but not assessed. v. PROCEDURES RELATING TO SPECIAL ASSESSMENTS Sanitary Sewer Trunk (SST) Sanitary se'J:er trunk SST costs are paid from the sanitary se'Ner trunk SST fFund. Sanitary Sewer Trunk is defined as * 10" or larger pipe and/or at a depth in excess of what is needed for the proposed development. The sanitary sewer trunk SST fFund receives funds from sanitary sewer area and sanitary sewer connection charges. Sanitary se'Ner trunk SST costs are apportioned to the gross land area, excluding those areas as described under "Properties Not Assessed", that ffi benefited by tAe trunk facility facilities that have previously been constructed or that are constructed as part of a new plat. The sanitary sewer area charge is set 0 by City Council resolution and adopted by the Fee Schedule. The sanitary sew r area charge is multiplied by the gross land area (minus "Properties No Assessed") of a parcel in the case of an individual lot 11 0 assessment. In the case of a new plat th gross land area of the plat (minus "Properties Not Assessed") is multiplied by the current sanitary sewer area charge and divided by the number of lots in the plat to determine a per lot sanitary sewer area charge. The amount is then assessed to each lot equally. The costs are then apportioned to each parcel by the rate/aore as determined by counoil resolution then multiplying that cost/-area by the gross area of the parcel. In a plat the gross area of the plat is multipliod by the cost/area and the amount divided by the number of lots or equi'v'alent lots in the plat. Sanitary sewer connection charges are charged by the Unit for Residential properties and by Sewer Access Charge (SAC) for Commercial/Industrial properties. SAC's are determined by the Metropolitan Council for commercial/industrial properties. The rate per unit or SAC is set by City Council resolution and adopted by the Fee Schedule. Sanitary Sewer Lateral 0 Sanitary sewer lateral costs are apportioned to the property benefiting from the lateral sanitary sewer constructed. Apportioning the costs of the lateral may be done by dividing the actual project costs of the lateral improvements by the assessable front footage of the benefiting properties or by dividing the cost of the lateral constructed within a plat by the number of benefiting ~ lots. Where lateral benefit is received from a trunk, the benefiting properties are assessed for lateral costs similar at a rate equivalent to the properties served only by the laterals. The lateral benefit on trunk costs is tReR deducted from the actual trunk cost and the difference is paid by the sSanitary sSewer tTrunk fFund. For an existing lot that has not had a cost previously determined for sanitary sewer lateral and has access to an existing sanitary sewer line, the assessment rate per front foot is determined by City Council re.solution and adopted by the Fee Schedule. This can be assessed to the property or paid at the time the sanitary sewer connection permit is issued. 0 Sanitary Sewer Services/Stubs The service/stub is usually included with the lateral unless the services vary in size and/or number to each parcel or lot. If assessed separately the sewer/stub costs are apportioned as cost/each. 12 0 Water Main Trunk. Source and Storaae (WTSS) For Wwater main trunk and oversizing the costs are paid for from the '.^klter WTSS Fund. Oversizing is defined as 10" or larger for Residential, or 12" or larger and fef Commercial/Industrial properties. The '.'Vater WTSS Fund receives funds from the water area and connection charges. This charge is established to pay the cost of '....ater trunk, source and storage. The connection charge is assessed to each parcelllot within a new plat. If a parcel/lot is not part of a new plat and has not been previously assessed the water connection charge is due when a water connection permit is taken out. The connection charge is efteR included with project assessments for a water main improvement project. This has been at the option of the Q\Amer/developer and of the GHy:- The connection charge f-or Industrial Commercial Industrial is determined by multiplying the current acreage charge by the gross land area (minus "Properties 0 Not Assessed") area of property being developed, Le., if only a part of the property is being developed, only that portion is charged. The connection charge for residential is charged by the unit or acreage charge determined by multiplying the acreage charge of unit costs by the gross acreage or units. The charge is established by the City Council resolution (See Exhibit 2 Refer to the Appendix and adopted Fee Schedulo). The water connection charge for Commercial/Industrial/Institutional (municipal, school district, county, state or other governmental uses) is determined by multiplying the current acreage charge by the gross land area (minus "Properties Not Assessed") of properties being developed, or by the fee per unit, whichever is higher. If only a portion of the property is being developed, only that portion is charged. The connection charge for residential is charged by the Residential Equivalent Connection (REC). The water connection charges are established by City Council resolution and adopted by the Fee Schedule. The water connection charges are typically 0 assessed to the property or can be paid for at the time a permit is issued. The water area charge shall be assess d to each parcel/lot within the plat or charged to parcel/lots that have availability to municipal water and have not 13 0 been previously a e ed. The water area charge is apportioned by the gross land acrea (minus the "Properties Not Assessed") multiplied by the current rate. For a new plat the total amount is then divided by the number of parcels/lots within the area or plat. Individual lots that have not been previously assessed will be charged for the gross area of the lot multiplied by the water area charge rate. The water area charge is set by City Council resolution and adopted by the Fee Schedule. Water Lateral Water lateral costs are apportioned to the property benefiting from the lateral water main constructed. Apportioning the cost of the lateral may be done by dividing the actual project costs of the lateral improvements by the assessable front footage of the benefiting properties or by dividing the costs of the lateral constructed within a plat by the number of benefiting lots. Where lateral benefit is received from a trunk, the benefiting properties are 0 assessed for the lateral cost similar at a rate equivalent to the properties served by a lateral. For an existing lot that has not had a cost previously determined for water main lateral improvements and has access to an existing water line, the assessment rate per front foot is determined by City Council resolution and adopted by the Fee Schedule. This can be assessed to the property or paid at the time the water connection permit is issued. Water Service or Fire Line The water service cost is usually included with the lateral cost/assessment unless the services vary in size and/or number to each parcel or lot. If assessed separately, the service or fire line costs are apportioned as cost/each. Storm Drainaae Mainline Trunk Improvements Storm aDrainage Trunk Improvement costs are apportioned to the properties 0 benefiting from the storm drainage improvements by the gross land area that *' benefitseG from the storm drainage facility constructed. The costs are then apportioned to each parcel by the rate/acre as determined by dividing the cost by the gross area of the benefit, then multiplying that cost/acre by the gross land area of tRe 14 0 each individual parcel. Example of th se types of improvements would be ponds, treatment structures, storm sewer pipe (trunk), etc. Storm drainage improvements that are part of a county project, 'Nhere the county road existed and the road is being rebuilt, the properties adjaoent to the road that do not receive additional benefit will be assessed $100 per parcel based on an ENR index of 1796, Resolution R012 90, 1/3/90. Storm Drain Lateral Storm drainage laterals are considered incidental to the street construction and are assessed as part of street costs. Storm drainage laterals would include all storm sewer improvements that are beneficial only to a particular plat or drainage area. Sidewalks Sidewalks are assessed to the benefiting properties by front footage or unit costs. 0 Streets: City Local/Distributor/Collector Street costs are apportioned to the property benefiting from the street construction. Apportioning the cost of the street construction may be done by dividing the cost of the street improvements by the assessable front footage of the benefiting properties or by dividing the costs of the street improvements by the number of benefiting lots. The Roadway Reconstruction Policy is included in the Appendix which identifies the process in more detail for reconstruction projects. 0 15 0 APPENDIX ITEMS 0 0 ANDOVER SPECIAL ASSESSMENTS 0 "'''''''EXAMPLE ONL Y***'" Project Name: Project No. : Feasibility Report Amount: $0.00 Contract Award Amount: $0.00 Final Construction Sanitary Sewer $0.00 Water Main $0.00 Storm Sewer $0.00 Streets and Restoration $0.00 Amount: $0.00 Final Expenses Engineering (Includes Inspection): $0.00 Consulting Costs $0.00 Aerial Mapping (1% of street) $0.00 Drainage Plan (0.3% of street/storm) $0.00 Administration (3%) $0.00 Assessing (1%) $0.00 Bonding (0.5%) $0.00 Recording Fees I Legal & Easement $0.00 Advertising $0.00 Permit and Review Fees $0.00 Street Signs (Materials and Labor) $0.00 Material Testing $0.00 Construction Interest $0.00 City Costs $0.00 Total Final Expenses $0.00 0 Expenses Multiplier #DIV/O! Final Project Cost Amount: $0.00 Trunk Source and Storaae Water Main: Connection Charge EA $3,154.00* $0.00 Area Charge AC $2,889.00* $0.00 Lateral Charge LF $0.00 $0.00 San. Sewer: Connection Charge EA $402.00* $0.00 Area Charge AC $1,491.00* $0.00 Lateral Charge LF $0.00 $0.00 Storm Drainage: Area Charge AC $0.00 $0.00 Street: Seal Coating SY $2.00 $0.00 * = 2008 Rates (adjusted annually and identified in the Fee Schedule) Total Trunk Source and Storaae $0.00 Previous Assessments (Sanitary Sewer Area Charge) Units $0.00 $0.00 (Sanitary Sewer Lateral Charge) Units $0.00 $0.00 (Water Main Lateral Charge) Units $0.00 $0.00 (Water Main Area Charge) Units $0.00 $0.00 (Street/Storm Sewer) Units $0.00 $0.00 (Sanitary Sewer Connection) Units $0.00 $0.00 (Water Main Connection) Units $0.00 $0.00 Total Amount to be Assessed $0.00 0 Estimated Assessment per Unit = $0.00 $0.00 #DIV/OI I Unit 0 CITY OF ANDOVER ROADWAY RECONSTRUCTION ASSESSMENT POLICY Adopted: (Sept. 19, 2006) 0 0 0 ROADWAY RECONSTRUCTION ASSESSMENT POLICY Table of Contents Page Section I. General Policy Statement I Section II. Roadway Reconstruction Assessment Requirements 2 0 0 0 CITY OF ANDOVER ROADWAY RECONSTRUCTION ASSESSMENT POLICY SECTION I - General Policy Statement I. GENERAL The purpose of this document is to establish a standard assessment policy for roadway reconstruction projects within the City of Andover. Roadway reconstruction projects are defined as local and/or Municipal State Aid City streets that have an existing bituminous surface and have reached a level. of distress in which the City Engineer determines that the roadway is in poor condition such that full replacement is warranted. Improvements consists of a new bituminous surface, concrete curb and gutter (if required by the City's Concrete Curb and Gutter Policy), additional storm sewer as needed, storm sewer replacement and street widening if a substandard section exists. Street and storm sewer/drainage costs are apportioned to the properties benefiting from 0 the project. Apportioning the costs of the street and storm sewer construction may be done by dividing the cost of the street improvements by the assessable front footage of the benefiting properties to determine a cost for linear front foot or by dividing the costs of the street improvements by the number of benefiting lots. This is explained under the Methods of Assessment. The nature of the street improvements dictate whether or not concrete curb and gutter is required (Per the City's concrete curb and gutter policy). The following is a list of reconstruction projects where concrete curb and gutter is required: 1. Existing Municipal State Aid Routes (IfMSA funding is used) 2. Reconstruction Projects . Rural w.l Existing Bituminous curb . Rural w.l no curb or drainage ditches . All Urban 3. Existing Business Areas (Commercial, Retail, Industrial) with no curb, no drainage ditches or existing bituminous curb is in place Roadway reconstruction areas shall be identified in the City's Capital Improvement Plan (CIP) at least two years prior to construction. The CIP is a fluid document in which roadways will be identified in the plan, but may be moved to a later date if those areas are not within two years of reconstruction and other areas have been found to be in greater 0 need of repair. Assessments for other improvements (sanitary sewer, water main, etc.) included in a road reconstruction project shall follow the City's standard assessment policy. 1 0 SECTION II - Roadway Reconstruction Assessment Requirements I. GENERAL Minnesota State Law, Chapter 429 provides that a Municipality has the power to make public improvements such as, street and storm sewer improvements including grading, curb and gutter, and surfacing, and assess the improvements to the benefiting properties. This section of the policy describes how roadway reconstruction project shall be assessed. All properties benefiting from the roadway reconstruction (fronting along the new roadway) shall pay a proportionate share of the cost of local improvements per this policy. The City Council has approved the roadway reconstruction assessment such that 25% of the project cost (construction costs and indirect cost such as engineering, design and other administrative costs as identified on the City's assessment worksheet) to be assessed as identified under the Methods of Assessments. The remainder of the costs shall be funded by the City's Road & Bridge Fund. Any roadway reconstruction project (including Municipal State Aid streets) that is part of a neighborhood or subdivision will be assessed based on the standard City street. Extra width and/or increased section cost will not be included in the 25% assessment. If a 0 Municipal State Aid street is included in the reconstruction project, the City can submit for reimbursement from the State for a portion of the project, but this would not reduce the assessable amount with exception to the extra width and/or pavement section (based upon 25% of the total project costs) to the benefiting properties. Any State Aid funds collected for these projects would go toward funding the City's share of the total project costs. II. POLICIES RELATING TO SPECIAL ASSESSMENTS Assessment The total assessment costs must be apportioned equally amongst properties having the same general land use (residential, institutional, multiple family, commercial or industrial), based on benefit. Total assessment against any particular parcel shall not exceed benefit to that parcel. Assessment Period ReconstrUction improvements may be assessed for a period of up to eight (8) years. A Senior Citizen deferral is permitted (refer to State Law). Interest Rate 0 The rate of interest on assessments shall be determined by the City Finance Director with concurrence ofthe City Council at the time the project is initiated. 2 0 Methods of Assessment The City Council has approved two (2) methods (Unit & Front Footage) of assessing roadway reconstruction projects. It should be emphasized that the special assessment method and pqlicies summarized herein cannot be considered as all-inclusive and that unusual circumstances may at times justify special considerations. Unit (Lot) Unit is a parcel or lot in an area that cannot be further subdivided, i.e., in a single family R-4 Zone the standard minimum lot is 80' x 130'. If a parcel can be subdivided one assessment per potential parcel will be assessed for as many units as can be subdivided in that particular zoning district. In a unit assessment, 25% of the total project costs would be divided equally amongst all units in a development, resulting in a uniform assessment per lot. Front Footage Frontage footage assessment may be utilized in areas in which large parcels exist that can subdivide or in which there are different types of land uses (residential, commercial, industrial). In a front footage assessment, 25% of the total project costs would be divided 0 by the total front footage for all lots within the project limits. Front footage for corner lots would be determined by adding the length of the short side and half of the long side. The cost per front foot would then be multiplied by each unit's calculated front footage to determine their assessment. It is likely that this method would result in different assessments per parcel. If a large parcel has the potential to fully develop (40 Acre subdivision) the City Council has the discretion to assess more than just the front footage. This would be identified and approved in the feasibility report. Adopted q / Ii- lOb I ( Attest: ~ (),& -'--/4?e/-d City Clerk Mayor 0 3 @ 0 1685 CROSSTOWN BOULEVARD N.W. . ANDOVER, MINNESOTA 55304 . (763) 755-5100 FAX (763) 755-8923 . WWW.CI.ANDOVER.MN.US TO: Mayor and Council Members CC: Jim Dickinson, City Administrator FROM: David D. Berkowitz, Director of Public SUBJECT: Snow Removal & Ice Control Policy Discussion DATE: October 28, 2008 INTRODUCTION The City Council is requested to review and discuss the attached revised Snow Removal & Ice 0 Control Policy. DISCUSSION Staff attended a League of Minnesota Cities Insurance Trust Workshop to discuss the Snow Removal and Ice Control Policy recommendations. The League has recommended updates and changes to the policy to provide direction and general policies/procedures to ensure consistency and understanding on how the process of snow removal and ice control is conducted. Attached for your review is a copy of the Proposed revised Snow Removal and Ice Control Policy. Changes to the policy will be brought before the City Council at a regular scheduled City Council meeting in November for formal approval ACTION REQUIRED The City Council is requested to discuss pf0posed changes to the City's Snow Removal & Ice Control Policy. Respectfully submitted, CJ~.' David D. Berkowitz 0 Attach: Proposed Revised Snow Removal & Ice Control Policy / City of Andover Snow Removal and Ice Control Policy 1. Purpose and Need For Policy The City of Andover, being a growing City needs to annually review and adopt a policy regarding efficient and timely removal of snow and control of ice in order to best provide safe travel for the greatest number of persons. This policy outlines the responsibility within the Public Works Division in order to accomplish this goal. ' 2. Policy Each year the Public Works Division prepares a map of the City showing public streets, trails; and sidewalk system. The map is then divided into routes for the purpose of snow and ice control. Within each of these areas, starting points will be rotated on all routes so no one will be plowed last every time. Operators will concentrate on higher volume streets within their routes to ensure they have provided access for emergency fire, police and medical services. The City, however, does not guarantee bare, dry pavement after each snowfall or that streets will be totally free of ice and snow or driving hazards common to Minnesota winter weather. 0 City streets will generally be plowed within 24 hours from the start of a 2" or more snowfall. This requires 10 - 12 hours of plow operations for a normal snowfall of2" to 6". Delays may occur due to equipment breakdowns and/or extreme weather conditions. 3. Procedures The Public Works Division along with the assistance of the Anoka County Sheriffs Department monitor street conditions. If conditions warrant attention, the Street Supervisor or designee will notify Public Works personnel in accordance with Public Works schedule for emergency call effis ins. 4. Commencement of Snow and Ice Operations a. Snow accumulations of2" or more will warrant full snowplowing operations. b. Exception to this may be if the forecasted temperature for the day of the snowfall event is 500 F or above and the date is between March 1st and April 30th of that given year. c. Drifting of snow may warrant commencement of full snowplowing operations depending upon conditions. d. Icing of pavements may warrant full salting or sanding operations depending upon extent and conditions. Snow and ice control operations are expensive and involves the use of limited personnel and equipment. Consequently snowplowing operations will not generally be conducted for 0 snowfall of less than 2 inches, unless drifting of snow has created hazardous travel conditions. Updated: 4/07,10/08 , 5. How Snow Will Be Plowed Snow shall be plowed in a manner as to minimize any traffic obstructions. The center of the roadway will be plowed first. The snow shall be pushed from left to right, with the discharge going onto the boulevard area of the right-of-way. It is the departmental goal to have the entire street system cleaned after a "typical" snowfall in approximately 10 -12 hours. Depending on snowfall conditions, duration of the storm and equipment breakdowns, clean up operations can fluctuate. Snowplow operators are allowed to roll through stop signs to perform the snow removal operation. Snow at times may pile up in intersections causing site problems for vehicles. The City will come back when time permits to remove snow in these situations. This could be as long as two (2) weeks after the snow event. High volume intersections will take first priority. 6. Use of Salt Brine and Granular Salt The City is concerned about the effect salt has on the environment and will limit its use for that reason. Therefore, it is City policy to scrape the street surface with underbody plows and then utilizes liquid salt brine sprayed onto the street surface along with granular salt. This provides for traction, but is not intended to provide bare pavement during winter driving conditions. The salt application is generally spread down the centerline of the roadway and limited amounts in cul-de-sacs with larger concentrations at intersections, curves, steep grades 0 and high volume roadways. The City cannot be responsible for damage to grass caused by the salt mixture and therefore will not make repairs or compensate residents for salt damage to turf, plantings or trees in the street right-of-way. 7. Suspension of Operations Generally, operations shall continue until all roads are passable. Widening and clean up operations may continue immediately or on the follow working day depending upon conditions and circumstances. Safety of employees and the public is important; therefore, plowing operations may be halted once employees have worked 14 - 16 hour shifts. Employees will be encouraged to take a IS-minute break for every 4-5 hours worked. Employees will be required to meet with a supervisor after 14 hours to determine if the employee can continue or if the employee should have a minimum of eight hours of off duty rest time at an appropriate location. Depending on the extent of the storm employees from all Public Works Departments, City Hall and Community Center may be called upon to help clean up the affects of the storm. Non-union supervisory staff may also assist in the storm clean up effort in an attempt to lend a "helping hand" and to work together with union staff as a "team". Operations may be suspended during periods of limited visibility. Any decision to suspend operations shall be made by the Public Works Management staff and shall be based on the conditions of the storm. The City will continue to provide access for emergency fire, police and medical services during a major snow or ice storm. 0 Updated: 4/07, 10/08 . 0 8.' Stake Curbs For Snowplowing When the streets are covered with snow, it is almost impossible for the snowplow operator to determine the edge of the road, especially curbs. Residents are encouraged to stake the edge of curbs with stakes supplied by the Public Works Division. 9. Work Schedule for Snowplow Operators Snowplow operators will be expected to work eight-hour shifts. In severe snow emergencies operators may be required to work in excess of eight-hour shifts. However, because of budget and safety concerns, no operator shall work more thana 16-hour shift in any 24-hour period. Operators will be giyen shall have the option of a one-hour lunch break within every eight hours worked. After a 16-hour day, operators will be given an eight-hour rest period before returning to work. In their absence the operator can be replaced if additional qualified personnel are available. 10. Parking on City Streets City Ordinance, Title 6 Chapter 2 prohibits parking on any City street between the hours of 1 :00 a.m. and 6:00 a.m. from November 1 st to April 15th or anytime after a 2" snowfall in , which there is no parking until the streets have been fully plowed. Parking Ordinance signs have been placed at all major thoroughfares and major arterial street intersections entering the City to help remind residents of this ordinance. 0 11. Placing Snow on a Public Roadway Minnesota State Statue 160.21,160.2715 and 169.42 prohibit depositing of snow and ice onto public roadways. Placing snow onto a public roadway can subject a person to civIl liability if a road hazard, such as slippery area, frozen rut or bump occurs and causes a traffic accident. 12. Property Damage Snow plowing and ice control operations can cause property damage even under the best of ,circumstances and care on the part of the City. The major types of damage are to improvements in the City right-of-way, which extends approximately lO;to W 17' beyond the curb. The intent of the right-of-way is to provide room for snow storage, utilities, sidewalks and other City uses. However, certain private improvements such as mailboxes are required within this area. Therefore, the City will cooperate with the property owner to determine if damage is the responsibility of the City or if the responsibility shall be that of the property owner. At the City's discretion, we will repair a mailbox or reimburse the resident up to $3G.OO $50.00 for damage. The City accepts responsibility for mailboxes, which are allowed to be placed in the road right-of-way if the damage was caused by physical contact of a plow blade, wing or other piece of equipment. Mailboxes should be constructed sturdy enough to withstand snow rolling off a plow or wing; therefore, damage resulting from snow is the responsibility of the resident. Damage to fences, irrigation systems, trees or other private improvements will not be repaired 0 or replaced by the City if they are in the right-of-way. Lawns that are scraped or gouged by City equipment will be repaired by top dressing and seeding the following spring. Residents are responsible to assist by watering these areas after being repaired. Updated: 4/07, 10108 . 0 In instances where there is disagreement as to the source of the damage and responsibility, the City shall determine the responsibility. 13. Driveways One of the most frequent and biggest problems in snow removal from public streets is the snow deposited in driveways during plowing operations. Snow being accumulated on a plow blade has no place to go but into driveways. Plow operators make every attempt to minimize the amount of snow deposited in driveways, but amounts can still be significant. Based on priorities and staffing levels, City personnel do not provide driveway clean up. Possible exceptions are at the discretion of department management in emergency situations. 14. How to Keep Your Driveway Entrance from Filling with Snow Throughout the winter months, State, County and City snowplow crews will be out clearing highways, roads and streets during and after each snowfall. Homeowners and other property owners will be clearing their driveways at this same time. Many times while property owners are clearing their driveway a snowplow will go by and fill in the end of the freshly cleared driveway with snow from the street. This is not intentional, but there are ways this inconvenience can be minimized. The diagram below shows how you can clear snow around the end or your driveway opening 0 to reduce the possibility you will have to do more re-clearing after the snowplow goes by on the road next to your driveway. The idea is to place as much snow as possible when clearing your driveway, in the direction of travel downstream on your side ofthe roadway. Next is to clear an area upstream from your driveway opening to form a "pocket" for the snow from the roadway to go into instead of at the end of your driveway. The result is more of the snow accumulation from clearing the roadway will go into this open pocket area and less at the end of your driveway. A note of caution is in order; please be extremely careful when working next to the roadway especially when snowplowing operations are in progress. P1~ orh.dnalsDow from Clear tlli~ area of SDOW cod of drb-ewav (fA tbis side at end of dri\'~'ay to "\ forln an opening for snow 0 frg.m road to go into Cleartnis area of snow 0, at end of driveway to 0 form an Qpening for snow Place o-riginal snow from frg.m road to go into end of driveway on this side Updated: 4/07, 10/08 . 15. Mail Delivery Snowplow operators make every effort to remove snow as close to the curb line as practical and to provide access to mailboxes for mail delivery. However, it is not possible to provide perfect conditions and minimize damage to mailboxes with the size and type of equipment the City operates. Therefore, the final cleaning adjacent to mailboxes is the responsibility of each resident. Residents are encouraged to check with the Postmaster for correct installation procedures for mailboxes. 16. Fire Hydrants Fire hydrants are critical to minimize the potential losses involved in any fire. Residents are encouraged to assist the City by clearing hydrants near their property. If possible, they should be cleared five (5) feet on each side to allow Fire Department access. 17. Garbage/Recycling Efficient snowplowing requires that garbage and recycling containers be accessible for pick up and be placed off the street to allow for snow removal. The containers may have to be placed in the driveway to meet both of these requirements. It is the responsibility of the resident to see that containers are not in the way of the snowplow and is also in a spot accessible for garbage and recycling trucks. 0 18. Sidewalk and Trails The City is responsible for plowing snow from designated sidewalk and trail systems. This however does not include all sidewalks. Sidewalks and trails that are adjacent to public buildings will be cleared before the beginning of business hours. The remaining City sidewalks and trails will be plowed snoYlplowing begins as soon as possible after all City streets have been plowed.. Sidewalk and trail plowing will occasionally not be started until the following workday. This will be determined by the severity of the weather, personnel and equipment. Sidewalks and trails are cleared of accumulated snow but will not be maintained to a "clean pavement" condition. 19. Parking Lots The City is responsible for snow and ice removal of City facility parking lots. These facilities include: . City Hall/Senior Center Complex . All three Fire Stations . Water Treatment Plant . Andover Community CenterNMCA . Public Works Facility . City Park parking lots as listed: Hawkridge Park, Pleasant Oaks Park, Hidden Creek North Park, Prairie Knoll Park, Fox Meadows Park, Kelsey Round Lake Park, Andover 0 Station North Park, Crooked Lake Boat Landing, Lions Park, Shadowbrook Park, Wild Iris Park, City Hall North Park. . Driveways for 9 Sanitary Sewer Lift Stations Updated: 4/07, 10/08 . ' , . Driveways for 9 City Well House Locations . Water Tower Driveways (2) The City does not guarantee these parking lots and driveways will be free from driving and walking hazards common to Minnesota winter weather and may be partially covered with snow and/or ice. 20. Complaints Complaints regarding snow and ice control or damage shall be taken during normal working hours and handled in accordance with normal City operating procedures. Complaints involve access to property or problems requiring immediate attention shall be handled on a priority basis. Response time should not exceed 24-hours for most complaints. It should be understood that complaint responses are to ensure that provisions of this policy have been fulfilled and all residents of the City have been treated uniformly. It is the City's intention to log all complaints and upgrade this policy as necessary in consideration of the constraints of our resources. Please call the Public Works Division at 763-755-8118 or fill out an on-line comment at www.cL andover.mn.us to register a complaint Complaints shall be sent to the Streets Maintenance Supervisor or Streets Maintenance Leadperson. The complaint shall be documented and a determination of fault and correction plan shall also be documented. The Supervisor or Leadperson will respond bye-mail or telephone on how the issue will be addressed. 0 0 Updated: 4/07, 10108 . (J& I T Y OF D'. 0"" 'VE- ',..,.."." ", o ", " .". \\..',..\ 1685 CROSSTOWN BOULEVARD N.W. . ANDOVER. MINNESOTA 55304. (763) 755-5100 FAX (763) 755-8923 . WWW.CI.ANDOVER.MN.US TO: Mayor and Councilmembers FROM: Jim Dickinson, City Administrator SUBJECT: 2009 Budget Progress Report DATE October 28, 2008 INTRODUCTION The Council has had a number of reviews of the 2009 Proposed Budget that will be supported by the 2009 Tax Levy. At the last workshop meeting only a few questions remained and those questions will be addressed through the discussion. The Council did adopt at the September 2nd regular Council meeting a Preliminary 2009 property tax levy of $10,593,520: $6,879,236 (64.94%) .operational levy, $2,241,965 (21.16%) debt service levy, and $1,472,319 (13.90%) capital levy. The Council has the O right to reduce or keep constant this levy until the f"mal certification date of December 29, 2008. The proposed levy will result in a 4.04% increase in the tax capacity rate. DISCUSSION Budget Guidelines: The following are City Council's 2009 Budget Development guidelines established by the City Council on April 1, 2008 and used by City Staff while preparing their proposed operating budgets (Progress reports on each guideline are identified in italics): 1) A commitment to a City Tax Capacity Rate to meet the needs of the City and positioning the City for long-term competitiveness through the use of sustainable revenue sources and operational efficiencies. Note: As identified above the proposed tax rate will result in a 4.04% increase in the tax capacity rate. The levy amount proposed by the City Council did not trigger the requirement ' of a Truth-in- Taxation Hearing, but in an effort to seek public comment the City Council has schedule a hearingfor December 8,2008 at 7:00 p.m. 2) Continued development of a financial plan to appropriately structure the expenditure of bond proceeds generateq from the successful 2006 Open Space Referendum. o 1 0 Note: The 2009 proposed tax levy for the approved 2006 Open space Referendum is $162,900. The Open Space Commission held an open house event on September 1ih that was attended by approximately 260 people. The commission will continue to keep the communication lines open with the residents to answer questions they may have. 3) A fiscal goal that works toward establishing the General Fund balance for working capital at no less than 35% of planned 2009 General Fund expenditures. Note: Administration/Finance prepared the proposed 2009 General Fund Budget with a General Fund fund balance for working capital of 37.0% of planned 2009 General Fund expenditures. The additional 2% working capital fund balance will be designated for use if building/development activity rebound or made available to the budget if the State unallots the second half Market Value Homestead Credit (MVHC) to address the looming State of Minnesota budget shortfall. 4) A commitment to limit the 2009 debt levy to no more than 25% of the gross tax levy and a commitment to a detailed city debt analysis to take advantage of alternative financing consistent with the City's adopted Debt Policy. Note: The proposed 2009 debt levy meets the Council guideline. The 2009 debt levy is 21.16% of the gross tax levy. 0 5) A comprehensive review of the condition of capital equipment to ensure that the most oost- effective replacement schedule is followed. Equipment will be replaced on the basis of a cost benefit analysis rather than a year based replacement schedule. Note: By using this approach in the CIP development process, the City was able to defer a number of large equipment purchases to future years. The 2009-2013 CIP was adopted at the October 2]Sf Council meeting. 6) A team approach that encourages strategic planning to meet immediate and long-term operational, staffing, infrastructure and facility needs. Note: Special attention was given to staffing through this budget process, two department consolidations initiated in 2008 have been fully implemented and are showing strong efficiencies. Also, similar to the 2008 budget as part of the proposed 2009 budget, some staff positions have been eliminated or resources redirected. 7) A management philosophy that actively supports the implementation of Council policies and goals, and recognizes the need to be responsive to changing community conditions, concerns and demands in a cost effective manner. Note: The 2009 budget pays special attention the recent decline in the housing market 0 relative to a limited number of new housing starts and the growing number of foreclosures. 2 0 Budget Development & Levy Limits: Administration/Finance continues to meet with the various departments on their proposed 2009 budgets. As part of those discussions, AdministrationlFinance is reviewing with departments their line item budgets, capital requests and 2008 revenue and expenditure estimates. The availability of additional tax levy in 2009 is significantly limited by the low taxable market value percentage increase over 2008 and from the most recent legislative session with the addition of Levy Limits for all cities over 2,500 in population for tax years 2009, 2010 & 2011. Administration/Finance has submitted to the State Department of Revenue the "Certification of Payable 2008 Special Levies", that certification amount will be deducted from the City's 2008 gross levy to determine our 2008 levy base. In summary the City is allowed a percentage increase over a 2008 levy base and is eligible for some newly prescribed special levies for 2009. That percentage increase allows for an increase of the lesser of 3.9% or the rate of inflation, in addition, increases will be allowed for household and commercial growth. The State Department of Revenue did provide the City its levy limit notice, the notice for the City of Andover allows for a 4.47% gross levy increase. Relative to the newly prescribed special levies for 2009, the City of Andover is eligible for the special levy for dealing with foreclosures and to pay costs attributable to wages and benefits for the sheriff contract and Fire Department. For the proposed 2009 levy, it was determined that it is not advantageous to the City to elect to use any of these special levies for the 2009 levy. The 0 2010 and 2011 levies will likely be a different story since it is forecasted that the City's total market value growth for the next few years will likely decline. The preliminary General Fund Budget that was adopted on September 2nd was prepared with a property tax levy at the State imposed levy limit. The 2009 budget is currently balanced. and between now and the end of the year Administration is confident there will be very little variance in the estimates used in preparing the budget. but with that in mind Finance will continue to monitor closely the expenditure and revenue estimates for variances. Fund Balance/Revenue Forecast Update: The Comprehensive Annual Financial Report for the year ended December 31, 2007 reported that the City did achieve it's 2008 budget goal of establishing the General Fund fund balance for working capital at no less than 35% of planned 2008 General Fund expenditures ($8,885,654). $3,417,244 was available, which equates to a 38.45% fund balance for working capital for the 2008 Budget. The work being done by Staff relative to the 2008 revenue and expenditure estimates assists in achieving the Council 2009 budget guideline that works toward, establishing the General Fund fund balance for working capital at no less than 35% of planned 2009 General Fund expenditures. The estimates are also necessary to preserve the emergency reserve fund balances for core services. 0 3 0 AdministrationlFinance is currently preparing the budget with a General Fund fund balance for working capital of 37.0% of planned 2009 General Fund expenditures. The additional 2% working capital fund balance will be designated for use if, building/development activity rebounds. AdministrationlFinance is also proposing the following changes to the reserve fund balances for core services: snow emergency (increasing to $70K from $60K); facility management (increasing to $70K from $60K); information technology (increasing to $70K from $60K); public safety (increasing to $70K from $60K); and economic development migration (decreasing from $25K to $0). These reserves were created through the past three years budget processes and are intended to be available for the identified purpose and to prevent budget spikes in future years. Revenue and Expense Estimates: Based on reviews to date, there are a number of 2008 revenue line items that are forecasted that will significantly not meet their 2008 budget. Most notably: . Finance Fees - Assessment Mgmt. - No assessments closing out in 2008 . Planning and Zoning Fees - Limited platting in 2008 . Engineering Fees - Limited development activity . Protective Inspection (Building) - Limited new housing starts 0 . Interest Earnings - Bond market producing lower returns Based on reviews to date, there are a number of2008 expenditure line items that are forecasted to significantly exceed their 2008 budget. Most notably: . Fuel (gas & diesel) - Increased fuel costs . Sign Materials - All related (posts, reflective material, etc.) . Crack Fill and Seal Coat Materials - Product tied to petroleum prices . Garbage/Recyc1ing Fees - Fuel surcharges . Salt and Sand - Increased number of snow events The 2009 revenue and expense line items have been adjusted accordingly. Stafimg and New Stafimg Requests: New staffing requests were submitted by the Fire Department and the Community Center. Fire Department: The staffing request for the Fire Department is for two (2) fulltime firefighters and was accompanied by a Federal SAFER grant application to assist with a cost share for five years. The SAFER Grant would provide for 90% of the salary costs in the first year and then reduce in percent over the next four years (year two, 80%, year three 50%, year four 30% and year five 0%). 0 4 0 Administration has indicated that if the SAFER grant application is not successful, the positions will not be considered for the 2009 budget. Community Center: The Community Center staffing request is for one (1) fulltime staffer to assist with concessions and program management. The staffing request from the Community Center will flow through the Community Center Advisory Commission and be dependent on available revenue sources. The Recreational Facilities Manager was at the September workshop meeting and will be back again at the November workshop to present more details on the Community Center 2009 Proposed Budget and staffing request to the Council. Personnel Related Implications: To date the following are projected issues facing personnel related expenses: 1. A total salary compensation adjustment package will ultimately be proposed to provide wages that are competitive with other government entities. Human Resources has indicated that 2009 wage proposals in other communities for a cost-of-living increase are ranging from 2.5% to 3.5%. At this point no percentage has been established and Council direction will be sought on this issue. the proposed budget is using a 3% factor. 2. The proposed budget is currently carrying an 8% health insurance increase. A mid year 0 review of the health plan was conducted with our broker on July 18th. The insurance claims trends were not that favorable, and upon review it was obvious that we would need to aggressively market the group. A meeting was held with our broker on September 30th to review the marketing effort. in response to the marketing the increase was reduced from the forecasted 15% to 8%. The City currently offers the employees a high deductible plan with a health spending account (HSA), this was implemented in 2006. As part of the program, the City pays for 100% of a single health insurance premium, 76% for a family health insurance premium and contributes annually to the employees HSA. 3. Various departments have changes in the personal services do to the reallocation or retirements of staffing in the respective departments. The allocation changes will be in Public Works, Engineering, Planning, Administration, Clerks, Finance and Building departments. a. Public Works allocations are to be reflective of actual costs and staffing moves related to the Public Works Superintendent's retirement (effective August 31, 2007); b. Engineering Department reflecting changing staffing focuses and a Public Works/Engineering department consolidation (approved at the August 8, 2007 Council meeting); 0 c. Administration, Planning & Finance allocation reflecting changes in the amount oftime charged to the TIP & EDA budgets. 5 0 d. Finance department reflecting the elimination of funding for vacant positions (Finance Director & temporary staffing). e. Clerks Department reflecting the retirement of the current City Clerk (effective July 1, 2008) and the subsequent Administration/Clerk department consolidation approved July 2, 2008. f. Building Department reflects the reduction in time spend in the Building Department by the Deputy City Clerk (Michelle Hartner) due to the retirement of the previous City Clerk (Vicki V olk, effective July 1, 2008) and the subsequent Administration/Clerk department consolidation approved July 2, 2008. Contractual Departments: 1. The City Attorney has proposed an increase in fees equal to that which the City employees will be receiving for COLA. Administration is supportive of this proposal and is using a 3% factor. 2. The 2008 City of Andover Law Enforcement expenditure budget is $2,318,241.00 which is offset by a Police State Aid revenue budget of $103,400 and School Liaison revenue budget of $81,542 reflecting a net tax levy impact of $2,133,299. The current Sheriffs contract provides for: a. 80 hours per day of patrol service 0 b. 12 hours per day of service provided by a Community Service Officer c. School Liaison Officers in the middle school and high school d. Patrol Investigator (effective July 1, 2008) e. 50% of the Crime Watch Program's coordinator position. The 2009 Anoka County Sheriffs contract being negotiated is a status quo contract (for services) with a 9.8% expenditure increase. The increase is due to the following: 1. Employer PERA contribution increases that start in 2009 2. A full year of the patrol investigator versus the 2008 mid year implementation 3. Fuel prices 4. Increased equipment maintenance costs With the proposed increase the 2009 expenditure budget would be $2,545,642 which is offset by a Police State Aid revenue budget of $112,860 and School Liaison revenue budget of$83,988 reflecting a net tax levy impact of $2,348,794. Council Memberships and Donations/Contributions: Staff has received notification of all the proposed 2009 membership fees, the following memberships (and proposed amounts) are included as part of the 2009 General Fund budget: 0 . League of Minnesota Cities $18,635 . North Metro Mayor $17,340 6 0 . Association of Metropolitan Cities (AMM) $ 8,635 . Community Schools $45,200 . Mediation Services $ 3,323 . YMCA - Water Safety Program $ 4,000 . Youth First (Neighborhood Center) $12,000 . Central Center for Family Resources $ 2,500 The following donations/contributions are included as part of the 2009 proposed budget (and estimated amounts) in other funds: . TH 10/169 Corridor Coalition $ 5,400 Road and Bridge Fund . Youth First - City Partner Fee $ 7,500 Charitable Gambling Fund . Alexandra House $13,500 Charitable Gambling Fund . Senior High Parties $ 1,200 Charitable Gambling Fund Capital Projects Levy Capital Projects Levy - The 2009 Proposed Budget specifically designates $1,472,319 of the general tax levy to capital projects and equipment needs relating to Capital Outlay ($210,000), Road and Bridge ($1,151,136), Pedestrian Trail Maintenance ($51,773) and Park Projects ($59,410). Specific designation of the tax levy to anticipated City 'needs and priorities for transportation and trail maintenance, park projects and equipment outlays allows the City to 0 strategically allocate its resources and raise the public's awareness of City spending priorities. The Road and Bridge levy is calculated according to Council Policy based on annual growth increases, with Capital Outlay, Pedestrian Trail Maintenance and Park Levies increased according to the City Council budget guidelines. . Road and Bridge - This levy is proposed for transportation programming related to maintaining City streets, roadways and pedestrian trails. This would be the sixth year that a portion of the Road & Bridge Fund is dedicated to pedestrian trail maintenance. This levy is also used for the City's seal coating and crack sealing programs and for street overlays. . Park Improvements - This levy is proposed as an annual appropriation to be used to underwrite a wide range of park improvement projects as recommended by the Park and Recreation Commission and approved by the City Council. This funding is intended to be a long-term supplemental source of capital funding for park projects that would be separately identified in the City's Five-Year Capital Improvement Plan. . Capital EquipmentIProiects - Under the Capital Projects Levy a levy is proposed to be designated to capital improvement/equipment project expenditures identified through the CIP process. Through this designation, the City, over time, will build a fund reserve to avoid cash flow "spikes" and address a wide range of capital improvement needs such as 0 facility maintenance projects under a more controlled spending environment. 7 0 Debt Service Levy: Annually the Finance Department conducts a detailed debt service analysis to monitor outstanding debt and to look for early debt retirement or refinancing opportunities that will yield interest expense savings to the City. That process is complete and the Debt Service Fund Budgets are complete. It was determined that there are no potential refinancing that will yield significant savings. -primarily since such a significant effort was done during late 2006 and early 2007. which was followed by significant refinancing issuances. This was also confirmed by the City's Fiscal Advisor, Ehlers & Associates per their annual review of the City's debt. The proposed 2009 Debt Service levy provides for the following debt service payments: . 2004A G.O. Capital Imp. Bonds $ 378,609 . 2004 EDA Public Facility Revenue $ 980,914 . 2006B G.O. Equipment Certificate $ 171,066 . 2007 G.O. Equipment Certificate $ 221,340 . 2008 G.O. Equipment Certificate $ 179,895 . 2008 G.O. Open Space Bonds $ 162,900 . 2009 G.O. Equipment Certificate $ 147.241 Total $2,241,965 0 The $147,241 levy for the 2009 G.O Equipment Certificate is contemplated (for equipment purchases) as part of the 2009-2013 CIP. The levy for the 2004 EDA Public Facility Bonds represents the levy designated in the pro-forma financial statements for the community center. ACTION REQUESTED The Council is requested to review the 2009 Budget progress, receive a presentation from the City Administrator, and provide direction to staff on various budgetary items. _. 0 8 0 1685 CROSSTOWN BOULEVARD N.W. . ANDOVER, MINNESOTA 55304 . (763) 755-5100 FAX (763) 755-8923 . WWW.CI.ANDOVER.MN,US TO: Mayor and Councilmembers FROM: Jim Dickinson, City Administrator SUBJECT: 2009 Special Revenue, Debt Service, Capital Project, Enterprise & Internal Service Funds Budgets DATE October 28, 2008 INTRODUCTION The Council has had a number of reviews of the 2009 Proposed Budget that will be supported by the 2009 Tax Levy. The Council did adopt at the September 2nd regular Council meeting a Preliminary 2009 property tax levy of $10,593,520: $6,879,236 (64.94%) operational levy, $2,241,965 (21.16%) debt service levy, and $1,472,319 (13.90%) capital levy. The Council has the right to reduce or keep constant this levy until the {"mal certification date of December 29, 0 2008. The proposed levy will result in a 4.04% increase in the tax capacity rate. DISCUSSION Other Funds: The attachments to this staff report are draft budgets for all the other funds outside of the General Fund within the City. The attachments are grouped bv fund types' bolded below: For the most part these budgets are self explanatory. with the exception of the Community Center. Economic Development Authority (EDA) and Enterprise Funds. The detail of the Community Center Fund was presented at the September workshop (the additional staffing request will be brought back again at the November workshop). the EDA Fund detail will be presented to the EDA at a future meeting. and the Enterprise Funds are driven bv a rate analysis. I will provide a brief presentation of the attached budflets and answer anv Questions the Council mav have. The Special Revenue Funds (pgs 3 - 27) are established to justify and account for revenue sources to finance particular functions or projects. Revenues for these funds come from a variety of sources (taxes, fees, gifts, grants or other contributions). Expenditures from these funds are normally restricted by statute, local ordinance or grant agreement. Also the funds may be used for either operations or capital outlay as legal restrictions mandate. 0 The Debt Service Funds (pgs 27 - 65) account for the accumulation of resources for, and the payment of general long-term principal and interest. Repayment of the debt through principal 1 0 and interest payments to bond holders is backed by the full faith and credit of the City of Andover. The Capital Project Funds (pgs 66 - 102) are used to account for the acquisition or construction of major capital facilities or equipment financed by a variety of funding sources, including tax levy, debt, special assessments, grants or other governmental fund resources. The Enterprise Funds (pgs 103- 107) are dependent on multiple factors such as community growth and demand for and usage of the service. The Enterprise funds are generally in line and step with the rate analysis done for these funds as part of the CIP development and review. Internal Service Funds (pgs 108 - 111) are used to account for services that are provided to other City Departments, or to other governments, on a cost reimbursement basis. If the Council would like a detailed Dresentation of any of the funds at the October workshop. please let me know. ACTION REQUESTED The Council is requested to review the staff report, attachments and provide direction to staff. 0 Attachments 0 2 0 ~a~~ ~ ..... S <: (J) 0.. ::s (J) (") ~ ~ ::s ..... (J) ::s 0 ~ ~ . (")g.(J) - (J) ""'I " (J) ~ (J) o ""'I 0 <: ""'I ""'I (J) fJC1 (J'Q.-+- ::s ""'I 0 ~ ~ ~ <: (J) (J) ::s (J) t:/.l ~ .-+- ~ (J) ~(J)~ S. ""'I 0.. t:/.l 8 a t:/.l e; S a (") (J) (J) ~ (J) ::s (J)::S t:/.l ft a (") S- . ..... 0 0'" .-+- S - ~ (ii' ..... (j ~ t:/.l (J) t:/.l . ~ (J) ~ (J) I--( ~tno 0.. ~ ::s ~ S S ~ 0.. 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