HomeMy WebLinkAbout1998-10-21 PACKET 08.A.REQIIEST OF CITY COUNCIL ACTION COUNCIL AGENDR
MEETtPdG lT��
DATE 10/21 /98
PREPP,RED BY: Community Development ICim Lindquist
ORIGBiVATIfVG DEPARTMERIT STAFF AUTNOR
..�.....4.�«�4gA.��.��4:�...�.=�.�QQAa.a«..:��k,.
• . � . �,
Approve expenditure up to $7,000 for a fiscai impacf study of Grey Cloud Island.
i ' �� . : � y � . �. ��.
i � �. . � � 1 � ��, �
� � �
ADVISORY COMMISSION ACTION
�.
■ - :
■ � �.
� � !
� �
� •` • 1 *'
�
[��
REVIEWED
❑
❑
❑
❑
❑
❑
❑
"�' � •
APPROVED
❑
❑
❑
❑
❑
❑
❑
DENIED
❑
❑
❑
❑
❑
❑
❑
� MEMO/LETTER: 1) Memo from Kim Lindquist dated 10/14/98
2) Letter from °fischler &� Associates dated 10/6/98
3) letter from 6(im Lindquist to Don Wisniewski, Washington
County, dated 10/7/98
■' � • .
■ �' � ,
■ ' • �^ � ;
■ • ' • �� �
� » '
�� •� •
��r�°/�Lf�F' � ,�'o %G
City Administrator Date
m������m«�mw&�.�«��«�.�Qa���aa����.����.�>�s.�A.
�09JBdGlL Pe�TiOhJ l"�4KEP1: ❑ At�f�Ft(7V�CD [� ���'�c� ❑ cs
,� • ,,: �, , � ..
MEMORANDUM
TO: Honorable Mayor and City Council
Ryan Schroeder, City Administrator
FROM: Kim Lindquist, Community Development Director
DATE: October 14, 1998
RE: Grey Cloud Fiscai Impact
Background
As the Council is aware, the City will be participating with the Met Council in a fiscal impact
analysis of the City. As part of those discussions, the City requested a separate proposal for
evaluation of several land use scenarios for Grey Cloud Isiand. The study would investigate
four development scenarios: park, status quo, low density rural residential with some park, and
mixed residential development with some park. The scope of services is attached.
Staff approached both the Met Council and Washington County to participate in the study.
Ryan and I attended the County Board Workshop on Tuesday, October 13, when they
discussed this topic as part of a broader Island discussion. The Board has committed to
participate pending some changes to the project scope. I believe these changes may be minor,
more closely define participant roles, and ciarify which agency will provide information and
review. There was also some comment to expand the scope of the study to address any
changes in land valuation to properties adjoining the Island, based upon the ultimate land use.
It is unclear if this consultant is the appropriate firm for that task. I wili be waiting until I receive
all information from the County before a revised scope of services is requested. It may be that
these changes lead to some increase in cost. The original scope was for $14,7000. An
increase in the time period covered by the study will increase the cost approximately $3,500. it
is expected that any additional changes wouid not bring the totai cost above $7,000 per each
of the three governmental agencies. The Met Council has also indicated they are willing to
participate in the study and, preliminarily, did not anticipate any requests for changes in the
scope.
Staff believes the study will be mutually beneficial to all participating agencies. The study will
assess the operating and capital costs assaciated with each of the land use scenarios.
Additionally, the costs and revenues will be distributed over a 30-year period depending upon
certain assumptions. This will allow the City to evaluate the long-term financial implications of
these land uses. It is estimated that the study will be conducted during the same timeframe as
the greater City fiscal impact study.
Recommendation
Motion to approve expenditure up to $7,000 for a fiscal impact study of Grey Cloud Isiand.
Oct-06-98 11:17A
. � r �
Tisc:xL.ru u
t�.S.1CX:L437ii, .� VC,
-'Gi 4� E�)a9
iuitE t.^ I l�
BMi.>.ic8 '.1:'� ?i;d'ti
�31�? i 3l�-tB3(Jft
`;x :3�)' i �'�� �c°0
y�: k:; �; :Wie k::ad
i'esadena. i A 9 i t: � qd
`i'�'.°'k bTiO
I dT' I(�:�'� �)U :G.�i'
£��k?ir�4-q�!a
5<I 'i+Gi"5�7;�91Y) i:ulll
.';:aJ :nz;r kr ys ;
..::�.:1: f::Y�.i�} N'IJ:'jld5
�,��r. r:e `:rre•,:
.
f'�•M1 Pp1i.,. = nr�'. q;J
tu-.�_mi�t a:�r. MvY.n+�umu.
S.iC1;1-5, (:SCFI.S P. CH IA
�.::ai i^�nztl sy-=ris:a!�r.+e9
Octobcr 6, 1998
kitn i.indquist
f:ommunity 1?eveloprricni Directi�r
Ci?v o9� Cottas±e Gi��F�e+
751F, �-80"� Street SouQi
C'�xtage G-ovc. t��N �5016
B1' T�A!C TF2.AVS1115S1<)ti
+'( 45K_?hy?
lhar Kim:
The. proposal r'efleds tite sugge,tr.d ta.tihi for c��afu.�tin � t:�c fiseal irn��ac:ts irC _I:�
puticihie d�ve)c���nent of the 1400 «cre islanc�. There ar� ;:e�-�ru1 (:eiks cti,cu�ticd
bcica�ti�.
I �. �i].jl�lr 7 ! Y�P.
The prinuu}� �bjectit�e of diis a�si;,nn�e�it� i� to cval�atc the Iise;il iinpucts f��r
;evcr.21 seen.irios, iaeluding ��ne prescroing [he i�l.L�d a; a �uark. Tl;c 1'i.c;il �esn)t�
�>f l�itesv icenarios wiil bc a:� important cornpr�nent nf !he Cit4�'s ;trate��ic p'tra� t��:
tL� island.
rr, scoYL oF �roux
The ta�k.; bcl�w are h.LSUd on oikr cii;casvx>n with city sta:F as well ;is uur I�.cz�;
im��aet exl�eriene�.
TASK I. Assisi in Prepurin� Four Scenario!;
Tlle�e sccnaric�s wtli vary ir, staging, nzix, vulucs and o.);er eu�ribut�a. 'I'his uiU
.Jloa .�Il inter�sted parties to undentand l'ne f3sc�; io:pac r.ti to the C:i�c= �f difter•ent
de�velo}�n�ient assuir�pti��as. �i'c �i�ilt assist Fi�ith City stati' in �>rc�?arieg t�p t�> Pom�
seenafios. At thi; point in �me, the scenarios isiay :he as 1oU�nvs:
1. Park [)cvc:lopment.
2. Pariiat Park Dey�alopmcnt.
?. Sin�;te P;eaiily I�e.velopi�nnt �f' ? SO ne��� units.
4. Mixed Re.�idential DevelopAneni <�f' b00 new units.
�
P-Ol
Oct-06-98 11:18A
City �taff u�:U prcpare a tnamor:uidum providing a na�i and relatcd data for each or ihe
iour secnarias. '1'tiis will refl�.cf Ihe az�nuxf (and iitie c}ia+nge; i'«r th� ;�Ln �tCtt)ti. It)T U.? !c� I()
}�eetir�. T:"1 U�ill re��icw nnd comtncnt on :Ite mc.mor�nr.inqi rcgardi�;g its cantcnt a�td
dc,criptic>n c�f thc sccnaric�:.
4i�i�rti Yrnttuct:
�'a5�: 2.
Meirurrandu us' Apprr,�j�rrst;r
Conduct I.�rel of Serviee and Cost and Revenue Factor [nten ic�a•s
Once the sccnarins are define�l, wc will intervictv thc C"ity .:ervicc pro��iilei:� in order [o
evaluu<< the ict�cl of acrt�ice aad cost aztd re�enuc tactors svhicti witl b� uliL in thc
an:ilysi�. Thc intcnt, ttificctir.E th� czse sCUdy-tnarginal cost apprnach, wil( (k to ;ncli�.�lc a[1
C�itp-fa;�ded a�tiviii�s. il i� im�rtaot to note tti�r "CA :��i11. not bc :isking tl�ie depart��7�citt; u�
�aitul�te the. future. c3em�ndy i�P to 10 years lrorn n�,v, lur eac:h :cei�aric IZ:�rh�r, ���e u��ll
iutervi�w thc cicPartmcn; and as�crrain re;eo�atit f�actors and infc?rn;aticrn tc> utiliz�. Uur fi.cal
svstcm drsi��ed lor Coitacc Grovc will tltcn calcui.�te these dcriantl�. Uur �lata coJlectian
u�ill in�lude c:�pital costs, ope.ratine and tr.a�nter,aoce e�pens?� :�Ife�.ted h,, aily rxpilai 1';aci".�1'
c}t�n�::s. otbcr <iperating expcnsc; ��s wcll ac nll rcvcnuca.
fn di.euarin� e�pital fucilily needs w�iih ih� C'I:ent, wz will uulize irnc ot� tevo approach::s.
One �pproach will Le direct enny oP espital fuc:l;t�� inform�tion, i; ir i� known that i:i�
:ar�li�ti• wi:l he cr>nsuu:ted und wi11 purually or f'il1Jy �er�c il�e � ne*,s� ���t'c��cth. 't
second is i,i�r uur fiscal itt:pact �y:te[ri t� calcalatc the nv.c�i ii�r ne��� eaPital r'a�ili�ie•� as a
function af die. eais[ing arail;tble ca}��city and the demands for seavice ��cncTatcd by the ocµ
dccc3nptrtuit. Utilitics, a; wcll u: ro:�ds, wi11 he inc.luded :f .apprcipri:it:. inf'qri;�ation is
a��il;�hle iiom C'it�' sources an the C:it;� costs,
W'nrk P+ Sec� l3clox=
'E�,4SK 3. Prepare Le�el uf Service and Cost and Revenue Fact��r J4emurandnFn
�i'ir; ini.brmatioa eullc•ctud ttirou�h the onsi�e ;nte-�,�ieti�<<, �Wa tvell as oEhcr saitrec+> c.�ill t��
e3rscribed in the [.evel of� tie:��ice. and Cutit and Rcc�enue Factc�r !�4e.mor:3ndttt:�. Gi�'�n ttx�
scale ui th� Cit�`5 orerations, it rs Iik�ely that ma3ry operatink co�ts «�i!] he se�.uiva:iable ��r
fixed. 7{owcvix, it is also possibl� that ihere mny be 'lumpy" c�Piaal t;ici;ities tl�ae nue.d u, be
built w scr�'c ncw �r<�uth mlder the Iti�her Icti�c1 of service �;cenario, 7'f'ic ducucni�nt �si11
contain data a�s�unpeiuns, aP�rciPtiale narrative and a ilou� clturt �huwm�* th� rclatio�zshig :u
tlic d��iiiund f<�r tie�viccs. Thc dc<tti x�ill bc ser:t t�� thc Cit}' f�c "s:�n off". Attcr rriuiva]I�
agree.d cha�tce_, tv� made ,he fi�:�l memorandum will be iti,u�d.
Wnrk Prndr.sct: L,evcl r,(.Servicc antl Cusr utud R�+ve!tuc I%rtr.lnr d4cn:unrrult{�n
�
�
t.SCtuer � As�oCia[�:s. InC.
Oct-06-98 11:19A
TASti A. Detiign and )tun the I�iscal lmpact :�nalysi� 24fodc]
E3a�cd an ct�c infennatio�i collected for rhi. as<ignment, wc �a-;11 dcsign our li�c:il inip;�cr r��odci.
�4'e will in��ai fhe ciata and tun the �y�tcm lor :he sce.ncmios. Wc tvill then ana:vr.e the ritiiilc, P��r
thc �?repaaru[i<�n nl'the rext c:ask,
�i'ork f'rudtac't: See Below
T'ASI{ 5. Yrepare Fi�ca! [mpact Report
�'u �t it3 pre}�are a fiscai impact n:potti which eteceribes in ,uccinrt fus}uc>n t13� '3:a:1 Findin�.
f'or thc dit�icrcnt sc:enuri��x. 3t is anticipated thc report i�ill have. thc followin� c�t'egorie�s.
I. Fxrtiutivc Suiurnary
IL Cti�nulativc Piscal Rcsults B�� Scent�rio
III. :'�nnua] Fiscal R�su?ls Bti- S�en:uiu
1V- Avc.rur� Annutil Fisca! ]mpaC[ R�sults By Sccnario
V. Capit.ai FaciIity Necd� B�° Sce.n.miu
V1. M�i,jor Ke��e�a:�e Nittdings
V II. '��sior Capitsl C<ne Eindin�s
�'III. h7ai<,�r Operatin� Ezprme Fiadi;�g,s
Thc liu:�l report wil) hc u,i:�v�d-alonc da:umcnt u�hich will bc cJ�arlti �sr:dtrs;o�,d h�: a11
intcre,ted Pa�ic�. Th� ai::tlys;is �ti�i13 acidress ca�h vf the .ticenririo�. � r
The fi�cat iir�pact rep�>rt ivi71 prescnt a}< <rf the n�ajrn� Pin�ling5 �uid th� rc�;ui��ti ior th� results.
'l his ivill ir.cltule isaues reg:uding diffeir.n�cs between the sccaxrio,s. �ta�=:ng, in:pact; nn
n::ynr departtnen�ti, and o�her :ssues. ,h u�ill al�o includc .i fnreca:: o€� �;;p:tal improveuirnt
faciiiiie.e a, xppiopriata !'or oactt o1 ibe scenar€os and ce[lect tltc cash/deht finmicii:;*
sc�enui��e�s. Azsa iat�d O R� M ec>.i:s wili al+o be iacluded .since tt�i+ tiscul s��s�eni �visl reileet
tl�e �o;t o1 l�ind, equipment, o;h�r capital �tems :ui:l then ttl� :innual rtpen:es, �� � G�ill
rrepare a draft fiycai irnpuct i�e�uit an�i sohmit it for revi�w hy the City. C):ic� mutua?lv
agreed upoil cl�anges 2rc tnac3e eve u�ill issuc. the �inal repon.
lti'nre� Pr�iderc� • Ffaca? lritpcu:t Repnr7
III. 1'iIb1I:VG
T1ic time tra�nc is c�pected to ceincide witli TA's �.vork (ur CotiuEr Ciro�e vr; thc two
Citywide fiscal impact a�aluaiion�.
P.03
�
.. Ticrtd��r r'. Ac�;:n�iatoc �rr
OCt-06-98 11:19A
1V. CUST
�
"1'hc fizrcl price cest far Lhis work as dc;cribe[I above is �1�.i0{). ]'his a�;,u±iir� lhe w,�rk �cil:
coincide wich TA's a'ork fnr Cotxage Gr<rve on the t�t�o C'ityuic?� tis�,�tl impact ev,dua:ions.
,�\ddi[iooul .�ei�i�es wpu;cl t?e ar,ulable on � rer dicm ha;is.
V. QI;ALTFiCA'i'iONS
Ti.:rhler �l .4ssaci�ite, Ine rT�) has m«re fiscal ana7ysi� and i�tilx:�t f'�e �xperiencc tJ:uu a��t
oclier Consulii�:c finrt it� thc couniry. TA has coinp?eted ovcr 3{N) fi.cal imppct ev.iluu[ic>;is 1'0,
iuri ai.d ov�r 4{H? impact feec. TA's Yisca( imPFc? cv�,]F�ation, li�cus an the c�tse studv-
m:�rginal cust appmach. ���hich rc-f7ects thc avaitabic capacitic�; �.�f' cxistin_� capii.�l-Faciliti�� a�,d
furcca>±� capitul facility adciztions n::�.ded duc. to new nr����-th. T�1 i, currc.nfly ��neser c�>nuact
with dic MeCropullt�n ('ouncil to ev.ttuu�e thc Ii.:c�l itzapuccs of �we� cie��elop�r_�ent scr�virias can
cight coirununitics.
Plcci,e Ict rnc knp�+ il you bavc am quc:5tion.,. S4'e lo��k filn�:u to t�cirki��� �.�:t17 �oiE.
Sirt r�iv,
"""� `^��'�"l
Yaul S. 7'i:chler
P"Ucrm
4
� n n,.-,,.,,:.,..... �_..
City of
Cotta e Grove
/ r��
7516 80th Sheet $outh / Conage Grove, Minnesota 55016
October 7, 1998
Don Wisniewski
Washington County Public Works
11660 Myeron Road North
Stillwater, MN 55082
Dear Mr. Wisniewski:
612 • 458�2800
Enclosed you will find the scope of services for the proposed fiscal impact study
associated with Grey Cloud isiand. The consultant for the study is Tischier & Associates,
Inc. This is the same firm the Metropolitan Council has commissioned to conduct eight
fiscal impact analyses of local govemments. The City of Cottage Grove is one of the
cities participating in that study which prompted our interest in the fiscal impacts of
differing development scenarios for Grey Cioud Isiand.
As we discussed, the study will investigate four development scenarios: park, partial
park, single family, and mixed residential. The initial intent was that the partial park
reflects park with mining and that the two residential development scenarios also inciude
some regional park land uses on the is�and. These development scenarios can be refined
during the compi�ation of the narrative portion of the project. The other item in the scope I
would like to draw your attention to is Task 2, Conduct level of service and cost and
revenue factor interviews. Aithough the scope is written as though the client is the City, I
have confirmed with the consuitant that services and capital facility needs of the county,
for the park portion of the analysis, would be included.
As we discussed, i am requesting that Washington County assist in the funding of this
study. We have aiso contacted the Metropolitan Council and requested they also share in
the study cost. At the time of this letter, we have not received a formal response from
them. I believe with the above ciarification regarding county costs, the study wiN be
mutualiy beneficial to both govemmentai agencies. Should you feel other refinements to
the scope of services is warranted, the City is interested having the study meet the
County needs. We have also forwarded a copy of the scope of services to the Met
Councii and await any input they may have. The cuRent project proposal has a budget of
$14,700. Due to the potential changes in scope or participation levels from the County,
Met Counci�, or City, we are requesting the County financially participate in the study at a
cost not to exceed $10,000.
EQUAI OPPORiUNRY EMPLOYER
Mr. Don Wisniewski
October 7, 1998
Page 2
if you have any questions, piease call me at 458-2824. i aiso plan on attending the
October 13 County Board workshop meeting, should questions come up at that time.
Sin rely,
/�:-----���
tGm L�ndquist, AICP
Community Development Director