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07/27/2010 - City Council Special MINUTES SPECIAL CITY COUNCIL MEETING TUESDAY, JULY 27, 2010 5:30 P.M. EAGAN ROOM – EAGAN MUNICIPAL CAMPUS City Council members present: Mayor Maguire, Councilmembers Bakken, Hansen, Fields and Tilley. City Staff present: City Administrator Hedges, Assistant to the City Administrator Miller, Director of Administrative Services VanOverbeke, Director of Communications Garrison, Director of Community Development Hohenstein, Parks and Recreation Director Johnson, Public Works Director Colbert, City Engineer Matthys, Campus Facilities Manager Vaughan, Chief Financial Officer Pepper, and Superintendent of Enterprise Operations Mesko. I. ROLL CALL AND ADOPTION OF THE AGENDA The Mayor called the meeting to order. City Councilmember Hansen moved, Councilmember Tilley seconded a motion to adopt the agenda as presented. Aye: 4, Nay: 0 (Councilmember Bakken not yet present) II. VISITORS TO BE HEARD There were no visitors to be heard. III. STORM WATER UTILITY FEE EQUITY ADJUSTMENT FACTOR City Administrator Hedges introduced the item, noting that Eagan is celebrating th its 20 anniversary of the adoption of a Comprehensive Water Quality Manager Plan, at which time a Storm Water Utility Fee was established. Hedges added that in 2009, the Council authorized a detailed analysis of all Utility User Rates. As part of the analysis, it was indentified that the City may need to look at the need for an Equity Adjustment Factor (EAF) to be applied to all land uses to insure that each type of land continued to pay its proportionate fair share based on their runoff volume impacts. Public Works Director Colbert provided an overview of storm water fee comparisons with an EAF and with right of way adjustments. The City Council discussed the rate scenarios and there was consensus to utilize the EAF rates, but not the right of way equalization factor. The Council directed that the revised rates be brought back to a regular Council meeting as a Public Hearing to consider a fee schedule adjustment. Councilmember Bakken arrived at 6 p.m. Special City Council Minutes July 27, 2010 Page 2 IV. JOINT MEETING WITH THE AIRPORT RELATIONS COMMISSION  REVIEW PROPOSED 2010-2011 COMMISSION WORK PLAN City Administrator Hedges introduced the item noting that it is the practice of the Council to meet with each of their advisory commissions at least one time each year. Mr. Hedges introduced Chuck Thorkildson, Chair of the Airport Relations Commission (ARC). Mayor Maguire welcomed the members of the ARC. Chair Thorkildson provided an overview of the Commission’s proposed 2010-2011 work plan. The City Council discussed the work plan with the Commission and dialogued about future airport issues that could impact the community. Councilmember Tilley moved, Councilmember Fields seconded a motion to approve the 2010-2011 ARC Work Program. Aye: 5; Nay: 0 V. 2011 CIVIC ARENA BUDGET City Administrator Hedges introduced the item noting that the 2011 proposed Civic Arena budget as presented is balanced. Hedges added that the Civic Arena is supported entirely by user fees; operations are not subsidized by property taxes or other revenue sources. Hedges noted that the proposed budget include a $5 increase in the prime-time ice rate, while the non- prime time ice rate are proposed to stay at the 2010 rate. Lastly, Hedges added that any costs to modify or reuse rink space in the west arena are not included in the proposed 2011 budget. The City Council discussed the proposed budget, rate increases, and debt service. The Council also discussed the interest of the Eagan Hockey Association in modifying the rink space in the west arena. Councilmember Fields moved, Councilmember Tilley seconded a motion to direct the discussion regarding financing options for the proposed civic arena rink modifications to the Finance Committee for a recommendation to the City Council at the August 2, 2010 Council meeting. Aye: 5; Nay: 0 There was Council consensus to proceed with the Civic Arena budget as presented and schedule formal consideration of the budget at an upcoming regular City Council meeting. VI. 2011 GENERAL FUND BUDGET UPDATE City Administrator Hedges introduced the item, noting the policy items currently included in the 2011 preliminary budget, which include: department directors were asked to limit all non-personnel costs increases to 2% or less, no compensation increases (with the exception of Special City Council Minutes July 27, 2010 Page 3 step increases), and increased PERA rates per State mandate. Hedges also noted the elimination of the Superintendent of Streets position ,which came out of an effort to maximize the efficiency and “right size” the organization. Hedges informed the Council that the preliminary 2011 budget shows an increase of 1.1% over the approved 2010 budget, which includes transferring the City’s Pavement Management Program to the Major Street Fund, as recommended by the Council’s Finance Committee. The City Council reviewed the budget timeline for the year. The Council discussed the proposed budget and possible levy projections. Director of Administrative Services VanOverbeke noted that additional levy projections and options would be presented at the August 9 Special City Council meeting. VIII. OTHER BUSINESS Councilmember Tilley raised the issue of parking concerns at Cinnamon Ridge, as voiced in a constituent letter, and inquired whether the Council would like to readdress the City’s overnight parking regulations. There was not Council consensus to revisit the issue at this time. IX. ADJOURNMENT Councilmember Fields moved, Councilmember Tilley seconded a motion to adjourn the meeting at 7:10 p.m. Aye: 5, Nay: 0