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05/08/2012 - City Council Special SPECIAL CITY COUNCIL MEETING TUESDAY MAY 8, 2012 5:30 P.M. EAGAN ROOM-EAGAN MUNICIPAL CENTER AGENDA 1. ROLL CALL AND ADOPTION OF THE AGENDA II. VISITORS TO BE HEARD 'F>.-2 III. PUBLIC WORKS 5-YEAR CIP (2013-2017) P. '3 IV. OUTSIDE WATER METERS - ANNUAL INSTALL/REMOVAL FEE V. WATER QUALITY - COST SHARE PARTNERSHIP PROGRAM VI. OTHER BUSINESS VII. ADJOURNMENT NOTE: Winter Trail Maintenance Program - Since 1998, the Winter Trail Maintenance Program has provided for the snow removal of approximately half of the City's transportation trail system (adjacent to collector/arterial streets). Part of that program included a policy for the City Council to review the most current adopted route plan for removal. In 2003, the Council amended its Policy to require that all future requests for additions/changes be reviewed by the Council at the first available work session after April 15t of each year before giving formal consideration at a regular Council meeting. For the first time since this policy amendment, staff is not aware of any requests for consideration this year. Special Council Workshop Agenda Memo May 8, 2012 III. PUBLIC WORKS DEPT. 5 YEAR CAPITAL IMROVEMENT PROGRAM (PART III - INFRASTRUCTURE) DIRECTION FOR CONSIDERATION: AFFIRM (or REVISE) THE DRAFT 5 YEAR CIP (Part III - Public Works Infrastructure, 2013-2017) and DIRECT IT TO THE JUNE 5, 2012, COUNCIL MEETING FOR FORMAL CONSIDERATION OF ADOPTION. FACTS: • Every year, the City Council adopts a Capital Improvement Program (CIP) for the Community that becomes the planning guide for programming and scheduling various capital improvements. It is comprised of three parts: ➢ Part I - Major Community Facilities/Buildings ➢ Part II - Major Equipment & Vehicles ➢ Part III - Infrastructure (Parks & Public Works) • The Public Works Department has completed the preparation of its draft CIP, Part III (Public Works Infrastructure) for 2013 to 2017 and would like to review it with the Council and incorporate any comments and/or revisions before presenting it for formal consideration and adoption at a regular Council meeting. • A summary list and map of the proposed 1st year's programmed improvements (2013) are included as a separate section in the overall CIP document. ATTACHMENTS: • Draft 5-Year CIP (2013-2017), 3 ring binder. 2. Special Council Workshop Agenda Memo May 8, 2012 IV. EXTERNAL METERS - ANNUAL INSTALLATION/REMOVAL FEES DIRECTION FOR CONSIDERATION: APPROVE A CHANGE IN SERVICE DELIVERY PROGRAM AND AUTHORIZE THE IMPLEMENTATION OF A FEE FOR THE INSTALLATION AND REMOVE OF EXTERNAL WATER METERS. FACTS: • Currently, of the approx. 19,000+ accounts, there are 93 private external water meters in use throughout the city for recording and billing of water used for irrigation systems, water features, outdoor swimming pools, and other external uses. The breakdown is as follows: 74 Residential Homeowner Associations 6 Apartments 12 Commercial 1 Industrial These meters are typically located in unheated enclosures, or screened only by landscaping. It is necessary to remove these meters each winter to prevent freezing and reinstall them again each spring. • The Current City Code (Sec. 3.20, Subd 10) requires all water meters to be installed and maintained by the property owner. However, not all property owners performed this work with the proper skill and care resulting in many meters becoming damaged, lost, left in place and/or installed at the wrong address/location resulting in confusing billing errors. • Subsequently, sometime in the 90's, the Utility staff took over the removal, storage and reinstallation of these meters. This also allowed the meters to be inspected and tested for accuracy, repaired as necessary and their usage recorded before being reinstalled the following spring. It currently takes approximately 1.5 hrs to do the installation and another 0.5 hrs to remove them in the fall, in addition to the travel time to and from each site. At the current Fee Schedule for labor ($65/hr), vehicle ($32/hr) and materials/tools ($10-$20), it costs the City the equivalent of approx. $150 to install and $60 to remove each of these meters. • Unfortunately, this free and unfunded service program has continued to grow as more and more neighborhood associations, apartments and commercial/industrial complexes continue to install recreational pools, fountains, waterfalls and irrigation systems. It is starting to stretch the resources of existing maintenance staff, especially during the spring and fall busy seasons. This will either start to require overtime or hiring of additional seasonal personnel to continue this service. • It has also created an inequity in not only the fees charged and services provided to our utility customers, but some receiving a free comparable service. Property owners who go south for the winter (i.e. snowbirds) and request that their water to be turned off currently pay a $25 fee shut off fee, and another $25 to have it turned back on in the spring. It takes approx. 0.5 hrs for this limited service. Special Council Workshop Agenda Memo May 8, 2012 IV. EXTERNAL METERS - ANNUAL INSTALLATION/REMOVAL FEES (continued) ACTION TO BE CONSIDERED • Staff would like to have the Council consider whether it would be appropriate to implement a "Service Fee" of $55 for each trip made to a property requesting a shut- off or turn-on of City water. This would be very similar to the "trip charge" concept collected by other service providers (plumbers, electricians, cable, etc). This will be a new charge to those who have not had to previously pay for this service. • In addition, staff would like to reduce the scope of the service being provided to require all property owners to have the installation and removal of water meters performed by certified tradesmen hired by the property owner. City personnel would then only perform the necessary inspections for the same $55 Service Fee to insure the connection/disconnection has been done correctly and the City's water supply has not been compromised (backflow prevention, leaks, etc). The property owner/representative would be required to pick up the meter from the City and return it at the end of the season, thus insuring the accuracy of the account. • In order to provide for adequate notification, it is recommended that it be programmed for adoption to accommodate the required fall removal season. (i.e. for an October 1 implementation date, adoption around the first of July would be beneficial). ATTACHMENTS: • Proposed amended Fee Schedule, page qbl~ City of Eagan 2012 Fee Schedule UTILITIES FEES-OTHER Fee Acct Code Clear water discharge surcharges: Inspection not completed - single-family $ 150.00 per month 6201.4534 Inspection not completed - non-single-family 500.00 per month 6201.4534 Correction not made - single-family 150.00 per month 6201.4535 Correction not made - non-single-family 500.00 per month 6201.4535 Prohibited reconnection made - single-family 300.00 per month Prohibited reconnection made - non-single-family 1,000.00 per month Water Turn-on or shut-off (Service Fee - per each trip) 55.00 (7am - 3pm) 6101.4512 Water meter removal/,. pr°„'asement or installation re inspection onl rL 55.00 (7am - 3pm) 6101.4512 (Service Fee - per each trip) Utility bill late charge 1.5% per month on 6101.4506 unpaid balance Certification fee on delinquent utility bills 25.00 per parcel xxxx.4612 Sewer permit - new or repair of existing 55.00 6201.4532 Water permit - new or repair of existing 55.00 6101.4507 Temporary construction hydrant meters (6 month max) Permit fee 40.00 per month, 3-month 6101.4521 Hydrant damage deposit 200.00 deposit required 9220.2254 5/8" meter damage deposit 189.00 9220.2254 3" meter damage deposit 2,348.00 " 3" backflow preventer & cart damage deposit 1,800.00 Trip fee (if required) 55.00 0801.4242 3/" backflow preventer deposit 45.00 9220.2254 Scheduled after-hours work Call out - 2.5 hour minimum OT labor rate plus 15% admin fee to max admin of 60.00 Extended day OT labor rate plus 15% admin fee Meter testing (charged only if meter tests correct) 5/8" through 1" 110.00 6101.4242 1 %4" through 2" 130.00 6101.4242 All other sizes Contract cost plus 15% Private hydrants Maintenance/flushing 55.00 6101.4242 Repair Time and material plus 15% 6101.4242 Utilities customer list Electronic transmission, weekly new customer list 50.00 per year 0501.4230 1 Agenda Information Memo Eagan City Council Workshop May 8, 2012 V. WATER QUALITY COST SHARE PARTNERSHIP PROGRAM DIRECTION TO BE CONSIDERED: Review the details of the Cost Share Partnership Program with related information materials, discuss the merits of any proposed City contributions towards private water quality enhancing improvements and provide staff with direction on implementation. FACTS: • The City of Eagan adopted the first Water Quality Management Plan in 1990. It received the Met Council's Policy Implementation Award in 1991, and the U.S. Environmental Protection Agency recognized the program as tops in the nation in 1996. • On July 17, 2007, the City Council approved the updated Water Quality and Wetland Management Plan (WQWMP) to address significant national and state-wide changes regarding surface water management since 1990. Goals of the updated plan included management of surface water resources using scientifically-based, common sense approaches and control of watershed loadings. • On September 18, 2007, the City Council accepted the Non-Degradation Review of Eagan's Municipal Separate Storm Sewer System (MS4) Permit and adopted a Record of Decision for submittal to the Minnesota Pollution Control Agency (MPCA). The review specifically addressed changes in storm water discharges according to the content of Total Phosphorus (TP), Total Suspended Solids (TSS), and Storm Water Volume. • In response to the aforementioned Council actions, the Water Quality program has been incorporated into the Public Works Department's 5-Year Capital Improvement Program (CIP). While the public improvements included within the CIP address the goals and recommendations of the approved plans, the mandatory MPCA non-degradation requirements are far from being reached. • In recent years, due to impaired statuses of Eagan lakes (Fish and Schwanz Lakes), requiring Total Maximum Daily Load (TMDL) reports and actions plans, and successful City applications for grant program funding, a number of lake management plans have been prepared, with 8 more recently authorized by the Council. • The lake management plans suggest Best Management Practices (BMPs) that can best address water quality needs of the specific lake while recommending locations for the placement of the BMPs that may provide the most cost effective benefit. • Staff has been fostering citywide support for surface water management goals through an active education program. Efforts since the approval of the WQWMP have led to the 50 rain gardens constructed within the public right-of-way (boulevards). Such visible efforts, as well as cooperative programs such as the Blue Thumb workshops, have encouraged discussions with residential and non-residential property owners alike regarding opportunities for storm water BMPs on private property. • The BMP details of the lake management plans and staff's public education throughout the community have provided interest in developing partnerships between the City and private property owners for publicly beneficial surface water management improvements. w Agenda Information Memo May 8, 2012 Eagan City Council Workshop Page 2 of 2 V. WATER QUALITY COST SHARE PARTNERSHIP PROGRAM (continued from previous page) • Staff has prepared a draft cost share partnership program for the City Council's consideration for potential City cost participation towards surface water management improvements on private property. • The purpose of the suggested cost share partnership program would be to: o Improve water quality in downstream public waterbodies, specifically reducing the contents of Total Phosphorus (TP) and Total Suspended Solids (TSS). o Reduce stormwater-runoff into the storm-sewer system & waterbodies; o Preserve, protect and enhance native plant communities around public waterbodies; o Educate and engage the public on the value of improving public water resources, and empowerment and partnership opportunities. • Staff found examples of similar storm water BMP programs in other cities across the country. Numerous cities have rebate/reimbursement programs. The best examples of programs with direct city payment or management were found in Lincoln, Nebraska (contractor direct payment) and Raleigh, North Carolina (city manage). • Staff is suggesting the program be staff managed within Council approved endeavors: o Priority properties could be identified: ■ As part of a recommended area in a Council accepted lake management plan for a priority lake, or ■ In a development agreement as a result of staff review of a preliminary subdivision application, or ■ In the Public Works CIP as opportunities present themselves with existing Commercial, Industrial, Public Facility/Institutional properties; o A maximum amount for total City contributions would be included as part of the annual Public Works CIP ($50,000 initially suggested in draft 2013-2017 CIP). • Property owners proposed improvements and associated costs would need to be identified and shared as part of the original application in order to determine what, if any, City participation is warranted. • In the case of the non-residential properties, the surface water management improvements could impact the original calculations for the Storm Water Utility Rate, creating a plausible request for a reduced quarterly fee. Staff would be able to calculate such a reduction at the time of the application for program participation. ATTACHMENTS: 1 • Cost Share Partnership Program Details, pages through I • Cost Share Partnership Program Sum ary & Examples, pages -and. • Memo from City Attorney, pages through City of Eagan - Water Quality Cost Share Partnership Program (DRAFT) 1. Overview: The City of Eagan Water Quality Cost Share Partnership Program offers financial assistance for efforts that protect and improve water resources. 2. Purpose: Rebate funds may be used by public and private landowners tllat~mplement projects supporting one or more of the following priorities: - Improve water quality in downstream public w4te~=bo_ es - Reduce stormwater runoff into the storm-s-ewersystem - aterbodies - Preserve, protect and enhance native pl_ant=communities around public waterbodies - Educate and involve the public on thccfl"M of improving pubficmwater resources, and empowerment & partnership opportuniffes 3. Available Funds: = - Annual amount available is: $50,000, With-the__ n rnum am -Ynt being: $1,500 and the maximum being: $50,000 (i.e., non-profit / business=/_-school=projects) _ Subject to available fund`i_ng; the Gity_of Eagan will accept app jcations year round until the funds are depleted for the year.-- Project must._b-e-completed wi hir~-orte_y_ea upon re hiving rebate-application approval, or City funds may=be reallocated towardher qualifying projects. Phased /10-611-ti-year projects0 il.l be ei g%b_le for successive annual applications if successful project implementat-o -has been derrson-strated _ 4. Eligibility Requirements: _ - Any landowner=rncLud"'ing=residential, commercial, or quasi-public entity, who pays the stormwater utility fee=i-=--eligible to petition for assistance in this program. - Portions of projects that have been completed, or are in progress, before funding consideration are ineligible for program funding. - Projects required to correct a code violation, that violate city code, or are being implemented due to stormwater program requirements, are ineligible for cost-share funding. Portions of projects that exceed requirements are eligible for funding. Page 1 of 4 5. Eligible Expenses: - City of Eagan funds are available for up to a 75% match for materials and contracted labor. - Outside engineering fees may be eligible if they are project-specific expenses. - Volunteer (In-kind) labor may be used as a portion of landowner match, if pre-approval by the City, but reimbursement may not exceed the cost of eligible purchased supplies and materials and contracted labor. A detailed volunteer hours log will be required (date, volunteers, hours worked) - Aesthetic components of the project and maintenance costs are ineligible expenses. 6. Eligible projects may include: - Stormwater pond retrofits - - Bioretention / biofiltration - Infiltration trenches - Vegetated swales _ - Gully stabilization - - - Sediment-capture practices - Soil-erosion & sediment-control practicess - Shoreland buffer restoration-/=-native plant diversity_en'hancement - Upland buffer restoration / ve=plant diversity=enhancement - Soil-compaction alleviation, arrfendrrient_& restorati-o=ri - Permeable pavement systems - Sub-surface infiltr_-ati9_n_systems - Rainwater hau _estmg=%e use systems (500 gai bn - Residential ramgardens (tDaat intercept effliV way runoff)F 7. EvaluationSrter-=_-ia P--ra_rity will be givdn_to prof=e_ets that: - border priority wat=er =resources-or are within priority drainage areas -state-clear activities and__goalst-support one of more of the program's priorities - contain_concisely defines anticipated results (e.g. runoff gallons captured, etc.) - provide a=eomprehensivp_roject plan, which includes multiple objectives - provide a d6t7dited and reasonable budget, work plan, and timeline - are cost effective.p==r=ed to alternative strategies for equivalent expected outcomes - are ready to begiri-a_ssoon as seasonal conditions allow - demonstrate strong partnerships and/or local citizen support (and empowerment), including neighborhood involvement - provide high visibility demonstration site - provide educational value Page 2 of 4 8. Contractor Bids & Cost Estimates: - Applications must be accompanied by either a qualified contractor's bid for the project or a cost estimate approved by the Dakota Soil & Water Conservation District. To be considered a qualified contractor, contractor would have successfully (and verifiably) completed a similar/comparable project. - Cost estimates submitted in lieu of a contractor bid should assume that project labor will be contracted out. - Volunteer (in-kind) labor may be credited to the total project cost estimate at $10/hour for unskilled labor (site prep, planting, etc.) and $20/hour for skill_ecU-abor (operating machinery, etc.) at the discretion of the City. Volunteer (In-kind) labor may-b_crsed as a portion of landowner match, with pre-approval by the City, but reimbursement=mayoot exceed the cost of eligible purchased supplies and materials and contracted lab_oe.= _ 9. Cost-Share Agreement: Each applicant will be required to complete and sign=er-Cost-Share Agreement contract with the City of Eagan, defining the obligations_of_the applicants= - This Agreement includes contractual earn°°itments to, baRisnot limited to, such items as: - use of funds, - amendments, cancellation, payment schedules, - reporting, - project completion/_c ose=outer - promoting and ackn=o=wledging th=e_iity of Eag_a_n=project sponsorship. - Amendment to_any of the-Cost-SharA_greementeotract terms shall be by mutual written agreement§ign 11 all_parti0f_l e ongrnai .contract:: - The agreement also ailows_the Crty_of Eagan access.to the project area for evaluation and promoti T-S.-the project. its necessary for the work. - Applicant s=cesponsible for securing a11- wrrn - Funding will onsl_y_cover work don-:e after fhe agreement has been signed, with the exception of pre-project planrinQ-_ ngineerir-i osts that may be allowed to be included, determined on a case-by-case basis by=the-City of_an. 10. Operation & Maintenance Agreement: - Each applicant will be required to complete and sign an Operations & Maintenance Agreement, effective for a period of ten (10) years, to ensure that the expected operational life of a project/practice is achieved, for which public cost-share funding is received. - Project maintenance is the sole responsibility of the applicant. - The City of Eagan will not accept any maintenance responsibility. - This agreement also allows the City of Eagan (or representatives) access onto the property to the project area for periodic inspection of maintenance compliance. Page 3 of 4 - Should the owner fail to maintain the practice during its effective life, the Owner is liable to the City of Eagan for 100% of the amount of financial assistance received to install and establish the practice. However, the Owner is not liable for repayment of cost-share assistance received if the failure was caused by reasons proven to be beyond the Owner's control. 11. Reporting Requirements & Payment / Reimbursement: - Photo documentation during project implementation stages is the responsibility of the applicant. - Within 30 days of the completion of the project implementation a project summary narrative (including supporting photos) shall be submitted to the City of Eagan. - A progress report, completed voucher/reimbursement request=form and copy of invoices/paid receipts will be required when requests for reimbursement are=submitted. - All claimed expenses will be reviewed and verified by the-etg=of Eagan as eligible, practical and reasonable. The City of Eagan reserves the right to make=adjustments to the costs submitted for reimbursement based on this review. - Over the life of the maintenance agreement, yea:rycr porting wifhphoto documentation (taken during the growing season) must be submittecLt h-e City of Eagan by August 1, by mail or email. 12. Submission of Application: Submission should include: -completed & signed Application Form-_ _ - project site plan (and other supporting p_Ignning=diagrams /deser_iptions to convey project plan) - work plan and timeline - budget (qualified contractor MM r Dakota S1N_CD approved cost estimate) - anticipated mainterran_ee schedule_fior 10 years_ Formsments needed: - Application_Form - - Project Screening / Scoring Arm- Cost Share Agreement - Operations & Maintenance Agreement - Voucher/ Reimburserre-_nt Requ - Form Page 4 of 4 PROPOSED WATER QUALITY COST SHARE PARTNERSHIP PROGRAM SUMMARY Purpose: - Improve water quality in downstream public waterbodies; - Reduce stormwater-runoff into the storm-sewer system & waterbodies; - Preserve, protect and enhance native plant communities around public waterbodies; - Educate and engage the public on the value of improving public water resources, and empowerment and partnership opportunities. Initial Proposed Cost: $50,000 from Water Quality CIP (paid by=tormwater Utility Fees) 1. LANDOWNER IMITATIVE: REBATE / REIMBURSEMENT: - - Landowner identified project, based on City BMP sifg %-design criteria. - Landowner would implement project. -Implementation by Landowner/DIY or by contractor who_has not be_enpre-approvdr provided significant past BMP installation experience confirmatio_n_to City ° - - At project completion, landowner wouldsubmit=receipts/invokes=to City to request reimbursement - City share based on previously agreed maximum-pperc=entage or'nof=to-exceed' amount. Maintenance: Landowner would-b-e responsible=for futurity rtenance BMP CONTRACTOR DIR_ETT-PAYMMIN (in-lieu of_reimbur--semenfN/ cash outlay by landowner): - City identified priority proreet_(clear pub[c benefit) %=City would assist-or lead in project planning. - Landowner would implement-=_prroject /-oer_see installaffion. - Landowner would-work_with pre=_appro.~ed sk_ecialized 6 contractor - Landowner=pays mitial_proje.ct payttte_nt to contractor= - At project completion, landowner sulYffit0inal invoree from contractor to City, City makes final payment. - City share-ba_sed on previously_agreed maximum percentage or 'not-to-exceed' amount. Maintenance: Landowner would be_re_-sponsiblF r future maintenance. City may provide reimbu_r-sement for specialized maintenance by pre-approved specialized contractor. 2. CITY INITIATIVE: - City identified priority project (with clear public benefit) / City would lead project planning. - For projects on public land or on granted easements. - City would be responsible for implementation. - After project completion, landowner may be assessed/billed (for a previously agreed upon maximum percentage or 'not-to-exceed' amount) or contribute an agreed upon value of 'in-kind' labor toward project. Maintenance: City will be responsible for future maintenance, but may delegate portions of maintenance tasks to landowner. An easement will be granted to the City for implementation and future access/inspection/maintenance. U~ POSSIBLE PROJECT EXAMPLES 1. EASTER LUTHERAN CHURCH: Shoreland Restoration Demonstration Proiect -Project: restoration of shoreland buffer area along 1,000 feet of Thomas Lake (removal of invasive plant species by specialized contractor, targeted replanting of native plant species by volunteers, specialized maintenance of buffer/ prairie area by specialized contractor). Public education component would involve presenting information to church congregation members / families, and serving as shoreland demonstration. Stormwater-Pond Retrofit Demonstration Proiect - -Project: planning, design and implementation of stormwater p_cL-rid=retrofit project, that incorporates (and demonstrates) iron-enhanced sand-filter for dissolved phc1lel" Was reduction and forebay enhancement for sediment capture. Installation by specialized bmp contractoEasement L Id be required. 2. GLACIER HILLS ELEMENTARY: Runoff Reduction Project / Rain Garden= -Problem Addressed: substantial stormwaterrunaRifsur_face flow))-currently flows down slope onto city sidewalk/ trail/road-intersection /school entrance, ca-a_si=ng freeze-up==icing in winter on trail and road. Reducing stormwater runoff w__o_uld=help reduce th_s.safety problem. -Project: implementation of stormwater_ runoff-reduction practices_by specialized BMP contractor and planting of native plant spe-c~:es by volurMeers (students/par_ents). Public_education component would involve participation of teachers/students/parer7_and includelanting areas within education curriculum. 3. CENTR=AL PARK=CQMMp S: Educational=S-nae for Stor_mwater_e_duction/Re-use -Landowner / Siir entral Park Gammons -Project: developmefft and installatio=nE- public-education informational signage at Central Park Commons, along walking trails near the_site's runoff-reduction best-management-practices, to describe functions and benefits of reducing, treatif!V- d rt using stormwater runoff for water quality. 13 S Severson, Shetdon, Dougherty Et Motenda, PEAT. RobertB.Bauer SHELL7O Direct: (952) 953-8848 EVERSON E-mail: bauerr@seversonsheldon.com Attorneys I Advisors MEMORANDUM TO: Thomas A. Colbert, Director of Public Works CC: Russ Matthys, City Engineer Eric Macbeth, Water Resources Coordinator Gregg Thompson, Water Resources Specialist FROM: Robert B. Bauer, City Attorney DATE: October 17, 2011 RE: Water Resources/Partnership Programs Our File No. 206-4768 Tom, This is by way of follow-up to our group meeting to discuss various projects that the City may consider in order to improve water quality throughout the City. You had asked our office to opine as to whether certain various types of projects could be accomplished in compliance with state law. The following is our analysis: 1. Public Improvements on Private Property. The City is not able to construct public improvements on private property. I believe in this instance you referenced the property belonging to Easter by the Lake Church as an area where the property has a storm water pond and the City does not possess any easements over the property. The Church is agreeable to the project and has agreed to accept an assessment against its property for a portion of the costs of the improvement. In this instance, we would recommend that you have an easement prepared for the pond and have the Church grant the easement in favor of the City to allow for the improvements. We may also need a temporary construction easement to access the easement area. Lastly, the Church should agree to an assessment waiver to allow for a portion of the project costs to be specially assessed against their property. 14 Thomas A. Colbert, Director of Public Works October 17, 2011 Page 2 2. Private Improvements Upon Public Property. You have inquired as to whether individuals can construct private improvements on public property (i.e., rain garden or other storm water measures). We have in the past allowed for private improvements that have provided public benefit within public rights-of-way (i.e., monument signs and landscaping). In this instance, the applicant should obtain the necessary permits for the work within the right-of- way. We should prepare and have the Council approve a license agreement to allow for the placement of the rain garden or other improvement and record the same against the property. Under the terms of the license agreement, the City would have the ability to remove the improvement in the event that it has not been maintained or interferes with the public's use of the right-of-way. 3. Private Improvements on Private Propert y. You have asked whether the City can provide grants or rebates to property owners that construct private improvements on their own property that provide a public benefit. The City does have the ability to provide grants/rebates in these instances because the private improvement that is proposed will provide a benefit to the public, namely efforts to enhance water quality throughout the City. City Staff must establish a nexus between the proposed private improvement and the corresponding public benefit for water quality before any grant/rebate is given. PROCESS If the project is one where a special assessments are contemplated for the work performed by the City, the property owner should provide the necessary easements to the City and agree to a waiver of a specific amount for the special assessment. All documents should be recorded with the County Recorder to alert future owners of the assessment terms. For projects involving private improvements on public property, the license agreement should be sufficient to protect the City's interests in the event the improvement is not functioning. The license agreement would allow the City to remove the improvement and, if you desire, we could include a provision that the cost of the removal would be assessed against the property. The more complicated process would be the private improvements that are constructed on private property. We generally discussed the following procedures: o The Council would formally adopt the grant/rebate program and information would be provided via the City's website as well as to selected property owners. g The City would establish two separate annual application deadlines to allow for property owners to submit their application for the rebate. 15 Thomas A. Colbert, Director of Public Works October 17, 2011 Page 3 + Once the applications are received, Staff would grade them based on the evaluation criteria that Staff has prepared. • Staff would select one or more of the projects to receive the grant/rebate. + The owner would enter into an agreement with the City that would outline the proposed improvement; the provisions for reimbursement; and the corresponding maintenance obligations. + The Agreement would be formally approved by the City Council. • Once the Agreement is signed and executed, it would be forwarded to the County Recorder to alert fiiture owners of the grant and ongoing maintenance responsibilities. In the materials that were provided, it appears that you have contemplated both a cost/share agreement as well as an operation and maintenance agreement. These two agreements can be separate or all of the obligations can be set forth in one agreement if you prefer. SUMMARY The draft cost-share program outline that has been prepared by Staff is appropriate for consideration by the Council. Under Option 1 (pertaining the Assessment Project), you should modify that to indicate that the property owner must agree to grant the necessary easements to the City to accomplish the project. Assuming that the Council approves the programs, we could prepare the appropriate cost-share agreements and operation and maintenance agreement. Should you have any questions concerning this matter, please feel free to give m e a call. t~