HomeMy WebLinkAbout20150713 CCM WSROSEMOUNT CITY COUNCIL
WORK SESSION PROCEEDINGS
JULY 13, 2015
CALL TO ORDER
Pursuant to due call and notice thereof a work session of the Rosemount City Council was held on
Monday, July 13, 2015, beginning at 6:32 p.m. in the Conference Room at City Hall, 2875 145th
Street West, Rosemount.
Mayor Droste called the meeting to order with council members Weisensel, DeBettignies, Demuth, and
Nelson in attendance. Staff members in attendance included City Administrator Johnson, Director of Public
Works Wrase, Finance Director May, Parks & Recreation Director Schultz and City Clerk Hadler.
Community members Dan Corley (RAAA), Craig Nelson (RAHA) and Paul Theisen (RAAA) were also in
attendance.
City Administrator Johnson asked that “Updates” be added to the agenda.
DISCUSSION
2.A. Recreational Facilities Discussion
City Administrator Johnson gave an overview of how the city currently stands financially with regard to
capital funds. The building CIP receives $1,050,000 each year from SKB revenues. After necessary
maintenance projects, the fund would have approximately $16,000 after 2015. He provided a list of current
possible future projects.
Mr. Johnson provided a list of anticipated park development fund projections. The fees for this are collected
at the time the development is platted. The remaining funds after the planned parks are built are
approximated at $34,000.
Council member Weisensel inquired about the Tax Levy and Building Loan. Finance Director May explained
it was part of the financing structure created when the old fire station was retrofitted to become the public
works maintenance garage.
Mr. Johnson gave examples of how the City might assist the various organizations and how the monies
available might be spent if the Council wishes to proceed.
Mayor Droste spoke about past efforts attempting to bring the YMCA to the city. There was a study
performed in 2010 that showed strong support for a field house. The most recent city survey also showed
strong support for a running track and a pool. He stated it seems to make sense to consider this option. He
stated that there was not support for the ice arena, based on the 2014 survey. It was voted on twice and was
not supported.
Council member Nelson stated concerns regarding not knowing the cost of maintenance between one facility
and another and wondered what the value of the asset is. Staff responded that the city does have
maintenance costs information on most facilities.
Mayor Droste stated he heard complaints for 10 years about not having a senior center. He stated the
surveys don't show that ice arenas are a significant driver in new home purchases.
Council member DeBettignies explained the history of the Steeple Center, explaining the purchase was for
the Robert Street Library and that the Steeple Center was kept because the residents preferred that choice
over destroying it. He stated that it has become a benefit to the community.
Mayor Droste discussed Inver Grove Heights rink. Their hockey association subsidized the rink with
$100,000 in addition to ice fees for some time. The association used to use gambling money to pay this.
6.c.
ROSEMOUNT CITY COUNCIL
WORK SESSION PROCEEDINGS
JULY 13, 2015
Council member Demuth inquired about asking Mr. Corley to add a sheet of ice to his proposed project.
Mr. Corley responded that through over two years of research, they have come to the current design as the
best option and he doesn't want to complicate it with ice. They would like to land bank 5 acres for future
expansion.
Council member DeBettignies stated he had spoken with Community of Hope Church about space they have
available and wondered if that location is large enough for a 2nd sheet of ice. Mayor Droste responded that
the church had spoken with groups in the past and it hadn’t moved forward.
Mayor Droste stated the field house makes the most sense at this point to pursue. Council member
Weisensel stated we need more specifics on the City's role in that plan, but this is the plan that is the furthest
along. Mayor Droste stated it seemingly had the least tax impact, as well.
Council member DeBettignies inquired of Mr. Corley whether any of his investors had a sunset clause. Mr.
Corley stated that none did. He discussed "Founders Memberships" as options for funding the project.
Council member Demuth inquired if the property by Dakota County Technical College had electricity
supplied by Xcel or Dakota Electric. She stated Xcel has a lot of energy credits they could take advantage of.
Council member Weisensel would like information on how the land purchase would be structured if the City
as involved. Mr. Corley said that all options are on the table, and any opportunities would be taken to the
investors. Weisensel stated that Council needs to give staff direction which information to track down.
Council member Demuth noted that she would like the property to create tax revenue.
Mr. Corley stated there is a need for adaptive athletics in the community, and that this facility would be able
to accommodate children with special needs.
Council member DeBettignies inquired about the facility in Eagan that did not succeed. Corley stated that
that facility was dependent on hourly rents, while the current proposal is more membership based.
Council member Weisensel inquired about the timeframe. Corley stated 2017.
Finance Director May stated that Council would need to give staff direction on the financial support that the
City discussed. City Administrator Johnson stated most of the discussions right now are concentrated on the
upfront costs; land purchase and improvements, rather than the guaranteed income option. Council member
DeBettignies asked if they needed both. Mr. Corley stated they would like to start there and see if both are
possible.
Council member Weisensel asked if the Council needed to take a formal action. Mr. May stated it didn't, but
staff needs to know if they should explore the option. Mayor Droste said the issue needs to be reviewed by
legal staff.
Mayor Droste stated he does not support taking a referendum during the school election.
Council member DeBettignies asked what the tax impact would be on a median household. Mr. Johnson
stated each $110,000 of taxes is equal to about a 1% of the City share of taxes.
Council member Nelson stated he would support putting the other two items, soccer and hockey, on a
referendum.
Mayor Droste asked Mr. Johnson if the soccer project might work with the Corley project without a
referendum given the capital budget. Mr. Johnson said it would be tight.
ROSEMOUNT CITY COUNCIL
WORK SESSION PROCEEDINGS
JULY 13, 2015
Council member Nelson asked what the tax impact would be with a $6.5 million referendum.
Mayor Droste showed figures that show tax rate compared to other cities, and Rosemount is still high in
comparison to some.
Council member Weisensel stated he would like to see Council direct staff to explore the turf field further
and how the $1 million contribution from Dakota REV would be implemented. He considers the dome to
be an upgrade, but feels the turf might be similar to a grass field, which is already planned for. Parks and
Recreation Director Schultz stated he has concerns about allowing Dakota REV to monopolize the turf field
in exchange for the contribution. Currently, fields are only charged when there is a tournament.
Council member Nelson stated he agrees with Mr. Schultz. He feels the City should explore this opportunity,
because Flint Hills donated the land for this purpose. Mr. Schultz stated the turf field would benefit the
parks system of the City. Mayor stated he would like to explore costs of finishing the complex with or
without the Dakota REV contribution.
Mayor Droste discussed the relationship between the cities and hockey associations in Mendota Heights and
West St. Paul.
Council member Demuth asked if we have the costs of maintaining the fields. Schultz stated staff can
develop numbers to that issue.
Council member Weisensel asked if the hockey rink could be explored as a private option and put two sheets
of ice together. Mayor asked about upgrades to the current facility or selling it to the high school.
Council member Weisensel stated frustrations that the school district has not been involved enough in these
discussions. Council member Nelson stated that maybe in other cities the school districts might help out
more with gym space, and the cities' contribution to sports has been hockey facilities.
Parks and Recreation Director Schultz stated that if there was a second sheet of ice, we would actually sell
more than what we currently sell on the first sheet. Council member Demuth asked if practices might be
longer.
Council member Nelson stated that we should let the voters decide. Mayor Droste stated the survey doesn't
show support, so we should not pursue it at this time.
Council member DeBettignies stated concerns about a second sheet of ice impacting the Pond rentals. Craig
Nelson, of RAHA, stated that teams are looking for more individual ice time, that RAHA is struggling to get
time at the Pond and they are paying a premium to get the ice time that they do get. Mr. Nelson stated that
they would still like to use the Pond for younger kids. He also stated that the Farmington hockey association
has stated that they are interested in committing to a certain number of hours of ice time.
Council member Demuth inquired about the possibility of a joint ownership of some kind. Craig Nelson
stated that their board is currently exploring that as an option.
Council member Nelson inquired about why the city is subsidizing other sports and doesn't want to do the
same with hockey. Council member Weisensel stated that hockey is more specialized and a much smaller
percentage of the population.
Council member Weisensel asked about other things that might be affected by putting a sheet of ice at the
community center. Mr. Schultz discussed where the addition might be located. Mayor Droste stated that
adding it at the community center might be short-sighted, as in 20 - 30 years from now, there may be a need
for a third sheet.
ROSEMOUNT CITY COUNCIL
WORK SESSION PROCEEDINGS
JULY 13, 2015
Council member Nelson asked about park land adjacent to the community center. Schultz stated that was
funded with federal dollars and has tight restrictions on future use.
City Administrator Johnson stated the need to look at type of arena, location, cost, etc.
Council member Weisensel stated he would like to see a private proposal.
Council member DeBettignies asked about an hourly rate based on the projected use and asked if RAHA
would be able to commit. Mr. Schultz showed operating expenditures of $296,000 and revenues of $311,000.
In addition, the debt service would cost approximately $398,000 annually. The Mayor stated that he has a
problem subsidizing the activities of residents of other cities, as only 60% of RAHA participants are residents
of Rosemount.
Council member DeBettignies asked if we would be building this prior to when other cities built theirs based
on tax base. Mayor Droste gave statistics on other cities' tax base.
Council member Demuth asked Craig Nelson about charging non-residents a higher fee, or would they get
angry and start another league. Mr. Nelson stated that they are mandated to participate based on high school
boundaries by the leagues they participate in. Demuth asked if RAHA has approached Ames Construction to
donate funds. Mr. Nelson stated they have not.
Council member Nelson asked if there was room at the UMore ball fields. Parks and Recreation Director
Schultz responded there is some unused recreational space; however, there are plans for a future fields in that
location.
Mayor Droste suggested doing a survey instead of a referendum. Council member Nelson speculated the
survey might cost more based on past survey costs as comparted to the costs of a referendum. Mr. Johnson
stated the cost of the survey would be partially based on the number of questions.
Council member DeBettignies stated that the referendum would probably fail if it was voted on immediately
without educating the public. Mayor Droste stated that these types of issues need to be systematically
pursued over years in order to be accomplished.
Shaun Nelson stated that he would like to like to put it to a vote to see if it could go to a referendum. Mayor
Droste and Council member DeBettignies disagreed.
Council members discussed the difficulty in explaining the additional cost to taxpayers, even if a referendum
does pass.
Council member Demuth asked about the difference between potentially subsidizing the field house and
subsidizing ice arena. Mayor stated there's not an initial capital outlay. Council member Weisensel added that
they will be paying taxes.
Council member Nelson stated that he would like to see the school district involved and to come closer to a
decision on potential locations.
Mayor Droste asked Craig Nelson directly what he would do; go directly to a referendum or create a story
and take it to the voters later. Mr. Nelson replied that there is an urgent need. In addition, the board will
change over time and the drive and energy might be lost.
Mr. Schultz noted Apple Valley's idea of surveying their residents and asking "how much are you willing to
pay?" They were successful in passing their referendum. Mayor added that it was just barely passed.
Mayor strategized ideas on how to move forward.
ROSEMOUNT CITY COUNCIL
WORK SESSION PROCEEDINGS
JULY 13, 2015
Council member Demuth inquired about what future expansion would be at Dakota Fieldhouse. Mr. Corley
stated that it would be an indoor park and outdoor pool.
Council member Weisensel stated the recreational facility projects are at different stages, and he's having an
issue with the hockey.
Mr. Schultz stated staff would work with RAHA to get more solid numbers. He stated it might be good to
think in terms of a potential sports complex with shared infrastructure.
Council member DeBettignies suggested the southwest corner of Akron and County Road 42 at UMore and
that the owners of the Pond should be involved in the conversation.
Council indicated staff may work to obtain an initial site study to determine if the community center site
would be suitable for a second ice rink.
UPDATES
Council member Weisensel asked about items we should be discussing at work sessions; such as Open Data,
Capital Buildings, budget visibility / transparency, public engagement, etc. to discuss policy issues. Council
members discussed various potentially topics for discussion. Mayor suggested doing a survey at Leprechaun
Days.
Council member DeBettignies stated he had a conversation with potential hotel investors that they need the
updated hotel study. Mr. Johnson stated that Community Development was working on the issue.
Mayor Droste discussed dog parks and the other cities that are building them. They are social and safe
environments with strong support from residents.
Mayor Droste stated that he heard from a property owner that would like to build a $4,000,000 rental housing
development. The property was previously rezoned commercial at the request of the land owner. Staff feels
that it should stay commercial at this time but could be reviewed in a couple of years prior to the
Comprehensive Plan Update.
Mayor Droste made note of various events hosted by businesses in the near future.
ADJOURNMENT
There being no further business to come before the City Council and upon a motion by Droste,
second by DeBettignies, the meeting was unanimously adjourned at 10:14 p.m.
Respectfully Submitted,
Clarissa Hadler, City Clerk