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City Council Minutes 03-10-2003 SpecialMINUTES SPECIAL MEETING - MONTICELLO CITY COUNCIL March 10, 2003 - 5 p.m. Members Present: Glen Posusta, Robbie Smith, Brian Stumpf and Bruce Thielen. Members Absent: Roger Carlson 1. Call to Order. Mayor Thielen called the workshop meeting to order at 5 p.m. 2. Core Street Reconstruction Program. City Engineer, Bret Weiss presented information on the feasibility report for the Core Street Reconstruction Program. Bret Weiss showed the area proposed to be covered under Phase I which is the area bounded by Pine Street on the east; Chestnut Street on the west; Broadway on the north and 7" Street on the south. A map was also prepared showing the existing watermain in the Phase I area. It was noted that there are some 4" and 6" cast iron water pipe in this area. At the present time 8" pipe is the standard size used in residential area. Bruce Thielen asked if any of the watermain replacement cost would come out of the utilities fund. Bret Weiss stated that at this time the televising of the sanitary sewer lines is not complete so it is not known how extensive the replacement costs would be for sanitary sewer. Bret Weiss noted that the storm sewer system was designed for a five year event but currently engineers size the pipe based on a ten year event. There is stormwater ponding and piping proposed for the area of the Village Apartments which is just off of Minnesota Street. A map showing existing streets and breaking out which streets had curb and gutter was in the report as well as information on traffic volume. The Council discussed options for assessing the street reconstruction work. In previous meetings on the street reconstruction assessment, the consensus of the Council was that commercial and multiple dwellings would be assessed on a front foot basis while single family areas would be assessed on a per unit basis. Since commercial property has the possibility of generating more traffic it was felt they could be assessed based on front footage. Glen Posusta asked why the City was going with major reconstruction instead of just overlayments. Bret Weiss stated at this point they don't know how much aggregate is in the base. It was pointed out that excess millings, if any, could be stockpiled. Bruce Thielen asked about the condition of the roads out by the golf course area. John Simola noted that the streets were not in good condition because of the silty soils. Bret Weiss also pointed out that with the assessments the commercial property could be assessed on more than one side whereas the residential property would most likely be assessed only for the side they had access on. Also any new improvement that was not previously existing, like curb and gutter would be assessed at 100%. It was hoped to come up with a cost which adjusted annually for inflation Council Minutes Special Meeting - 3/10/03 could be used for all reconstruction projects. Since proving benefit to affected property is an issue, it was felt that the assessment rate would have to be one that they could easily prove benefit. Bret Weiss felt that $3,000 would be reasonable for single family dwellings and $60/front foot would be reasonable for commercial property. There are some properties in the Phase I area whose zoned use and actual property use are different and the Council would need to determine whether to assess it based on zoning or on actual use. Glen Posusta asked if the City didn't have to present estimated individual cost for each parcel at the time the project is ordered. Bret Weiss stated that a total project cost is required to be provided. At the May 28, 2002 workshop the Council authorized the engineer to proceed with a street pavement inventory study as well as a rate study. Bret Weiss stated that in the City's utility cost there is not any replacement costs built in as part of the rates. He felt that maybe the utility rates should be increased to provide for replacement costs. It was felt that a survey of the rates of other communities would be helpful. It was also suggested that a stormwater utility fund be looked at. The engineer presented cost estimates of $1,251,900 for watermain work, $141,000 for sanitary sewer, $308,000 for storm sewer and $2,351,000 for street improvements making a total estimated cost of $4,051,900. The $4,051,900 figure is with all the corrugated iron pipe removed. Removing only the 4" corrugated iron pipe would reduce the cost. Glen Posusta felt this was not the area in the City that was in most need of repair. There was discussion on other streets in need of repair, particularly West River Street. Since a good portion of West River Street does not have curb and gutter, it was felt that it might be a very costly portion of the street reconstruction program and perhaps not the best one to start with. It may also need additional study to determine whether it should be a rural or urban design. John Simola noted that the Phase I area was picked because 3ra, 4' and 5' Streets were really in bad shape. It was suggested that the scope of Phase I be reduced by leaving off the area by the Country Club. Glen Posusta asked about 7'" Street in the area of the ice arena. Since the homes abutting the other side of the 7'" Street do not have access to 7",, they would not be assessed for any cost if residential property is only assessed if they have access. The City in that case, could have project costs that could be assessed to only a limited number of parcels. Bruce Thielen felt the Council would want to see not just this years project area but how long it would take to complete the entire reconstruction program. Bret Weiss stated that the length of time it takes to complete the program depends on how much the Council determines to do in each phase. Once the pavement analysis plan is completed, the Council will be better able to make this decision. The Council did feel that for Phase I the costs should be broken down further, for example breaking the cost out for the area north of the tracks and the area south of the tracks. City Administrator, Rick Wolfsteller stated that legislation has been introduced that would, if passed, greatly restrict the City's ability to issue bonds for public improvements. Glen Posusta questioned with all the economic difficulties at this time whether it was appropriate timing to consider undertaking a project like this. The consensus of the Council was that the City could not put this off any longer. Jeff O'Neill asked if the city's trunk fees needed to be reviewed and whether some of the improvements 2 Council Minutes Special Meeting - 3/10/03 in Phase I couldn't be covered by trunk funds. Bret Weiss stated that trunk funds could only be considered for some of the improvements. He added that there has been discussion about allowing cities to set street reconstruction utility funds, similar to the stormwater utility fund. John Simola felt the trunk fees were set up to establish the trunk system and not to maintain an existing system. Bret Weiss also reviewed the schedule for implementing Phase I of the street reconstruction program. The feasibility report will be coming before the Council at their March 24, 2003 meeting. Recording Secretary 43 J