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10-4-93 agendaCITY OF RICHFIELD MONDAY, OCTOBER 4,-1993 SPECIAL CITY COUNCIL STUDY SESSION 6:00 P.M. CITY HALL 6700 PORTLAND AVENUE CALL TO ORDER (AT CITY HALL) I. 6:-00-7:OO P.M. ADJOURNMENT BUS TOUR OF 77TH STREET CITY COUNCIL STUDY SESSION 7:00 P.M. COUNCIL CHAMBERS AGENDA CALL TO ORDER I. 7:00-7:30 P.M. DISCUSSION OF WATER/SEWER CERTIFICATION PROCEDURES AND PENALTIES STUDY SESSION LETTER NO. 25 II. 7:30-8:00 P.M. DISCUSSION OF STATUS OF COMMUNITY APARTMENT PROGRAM INITIATED BY HOUSING AND REDEVELOPMENT AUTHORITY STUDY SESSION LETTER NO. 26 III. 8:00-8:30 P.M. DISCUSSION OF POLICY AND STRATEGY RECOMMENDATIONS FOR AIRPORT RELATED ISSUES STUDY SESSION LETTER NO. 27 8:30 P.M. ADJOURNMENT AUXILIARY AIDS FOR INDIVIDUALS WITH DISABILITIES ARE AVAILABLE UPON REQUEST. REQUESTS MUST BE MADE AT LEAST 96 HOURS IN ADVANCE TO THE ADMINISTRATIVE SERVICES DIRECTOR AT 861-9702. CITY OF RICHFIELD, MINNESOTA Study Session Letter No. 27 Agenda Dctober 4, 1993 Issue Statement• Policy and strategy recommendations for airport related issues. Backgrounds Recent developments regarding airport issues include the followings. • New Ford Town and Rich Acres Acquisition The MAC has approved acceptance of $12 million of federal money to begin the buyout of New Ford Town. Total expected cost for the buyout of New Ford Town and Rich Acres is $55 million. Funding for Rich Acres .has not yet been approved. Rich Acres is not currently in a noise contour which would permit use of federal funds for acquisition for noise mitigation purposes. The MAC has already prepared a new 1996 noise contour which includes Rich Acres. That contour has been submitted to the FAA but has not yet been approved. It is expected that the FAA will approve the new contour in mid-1994. There are some hardship cases within Rich Acres that would benefit-from acquisition prior to approval of the new contour map. New Ford Town and Rich Acres residents have asked the City to assist in identifying alternatives for funding Rich Acres hardship. cases prior to approval of the new noise contour. The MAC has previously authorized-the William D. Schock Company to coordinate the buyout procedures. William Schock was part of a team that included Ralph White, that assisted the MAC and Richfield in preparation of the feasibility study. Bill Schock and Ralph White have met with City staff. on several occasions to coordinate the buyout process. An open house to discuss the buyout process has been set for October 19. City staff has requested a meeting with MAC to further explore specific City involvement in the buyout process. MAC has not yet agreed to schedule a meeting. • MAC Part 150 Sound Insulation Program Richfield home soundproofing construction is proceeding more rapidly during the second-half of 1993 than it did during the first half of 1993, allowing more homes to be insulated than originally projected. During the first half of 1993, 28 Richfield homes were soundproofed using Federal Aviation Administration and MAC funds from 1992. A total of 55 homes, which is an increase from an earlier projection of 27, will be soundproofed in Richfield in the current phase of the program which uses 1993 program funds. Thirteen of those homes are currently under .construction. The remainder will be soundproofed by February 1994, according to staff at the Center for Energy and Urban Environment.. An additional 133 homes could be soundproofed in Richfield in 1994, under a 1994 grant application submitted but not yet approved. Richfield homes being soundproofed in the current phase are located along 17th and 18th Avenues with a few homes along Bloomington and 16th Avenues. Early reports from residents indicate insulation has improved the interior noise levels in their homes and they are satisfied with the quality of work. City staff continues to conduct surveys to measure the satisfaction level of the residents involved with the soundproofing process. e 4-22 Extension MAC and FAA staff continue to redraft the 4-22 draft EIS. A draft is scheduled to be completed for review within the next 30 days. e North-South Runway MAC staff reports that there is no activity regarding the planning process for the north-south runway at this time. • FAA Capacity Study The FAA Capacity Study is expected to be completed by the end of the year. This study will examine alternatives for increasing capacity at the airport. Capacity enhancements include a wide variety of measures including operational, technical and capital improvements. • Governor's Task Force The :Governor's Task Force has completed their work and is expected to issue a final report within the next week. The report is expected to call for the continued dual track without acceleration in the schedule. Additionally, more emphasis on economic analysis will be recommended. • NOISE Conference Council Member Mike Sandahl attended the annual NOISE conference July 14-17 in Dallas, Texas. He has requested the opportunity to present a summary report to the Council on October 4. Recommended Motion: With this background, the following recommendations are provided to address issues: • New Ford Town and Rich Acres Acquisition Staff will continue to monitor implementation of the buyout and provide assistance as requested. Richfield will seek reimbursement for our cost to provide assistance for grant reimbursable activities. Staff will also assist in qualifying Rich Acres for the buyout and work with MAC to identify funds to assist with funding of Rich Acres hardship cases. • MAC Part 150 Sound Insulation Program Staff will continue to carefully monitor implementation of the sound insulation program. • School Insulation At the request of Council Member Priebe, staff has asked MASAC to explore the possibility of funding the insulation of Mt. Calvary School. Mt. Calvary is in the process of renovating their school and has. asked MAC to provide. noise insulation funds now to avoid the disruption and additional cost to undertake insulation at a later date. MASAC staff has agreed to provide a report on this matter at the November MASAC meeting. • 4-22 Extension Staff and .airport consultant Bob Collette will review the 4-22 draft EIS as soon as it is released. Consideration may also be given to submitting the draft. to attorneys to prepare a legal response. Alternative Recommendation: A variety of alternative recommendations may be discussed at the October 4 Study Session. Discussion/Decision Mode: This matter will be discussed at the October 4 Study Session. Res lly submitted, Ja a D. Prosser Ci Manager JDP:ds CITY OF RICHFIELD, MINNESOTA Study Session Letter No. 26 Agenda October. 4, 1993 Issue Statement• Discussion of the .status of the Community Apartment Program initiated by the HRA Background: At their June 14, 1993 meeting, the City Council in cooperation with the HRA established a development fund. The development fund provided resources to formulate and implement HRA strategies for the 90's. The first new initiative by the HRA utilizing the fund was the Community Apartment Program (CAP).. Five organizations expressed an interest in assisting in the formulation and implementation of a CAP and .submitted proposals. An evaluation team consisting of Jim Prosser, City Manager; Jack Erskine, Betsy Christensen, Mike Hanson and Armin Dubberke, Public Safety; Byron Wallace and Bruce Palmborg, Community Development; and Mike Welsh, Community Programs Coordinator for the Bloomington-Richfield Family Center (funded by Richfield and Bloomington Public School Community Education Offices) reviewed the proposals. At their August 16, 1993 meeting, the HRA Commissioners selected the team of Affordable Suburban Housing and Project for Pride In Living (ASH/PPL). A significant reason for the selection of this team was their demonstrated experience in owning and managing apartment buildings and developing innovative programs to meet apartment resident and owner/manager needs. ASH/PPL has already initiated their work. They have been collecting. demographic data, reviewing background reports, and meeting with staff. They have also met with and listened to the owners/managers of approximately 3,000 of the 5,000 apartment units in Richfield talk about their problems, accomplishments, and needs. Generally ASH/PPL have concluded that although owners/managers are working very hard and doing a relatively good job, they do need help. The first step in providing assistance will be the formation of an owners/managers association. The first meeting is scheduled for October 19, 1993 at 10:30 a.m. at the Fountain Head Apartments. Some of the owners/managers have volunteered to actively participate. The. first meeting will be a brainstorming session to identify ways in which an association can assist owners/managers. Other areas for which strategies will be formulated include: • Identify and meet apartment resident needs. • Form linkages with human service organizations, educational institutions and the City to better meet the needs of owners./managers and apartment residents and to more fully integrate them into the community. • Explore financial alternatives for buildings that have excessive debt burdens. s Assist owners in the development and use of improved tenant selection procedures. • Examine alternative uses far "standard'° apartment buildings. Recommended Motion: This is a discussion item during which the Council may wish to express suggestions and comments about the CAP. Basis of Recommendation:. 1. This is a program which will impact the entire community. 2. Discussions with constituents and observations of the community may have provided the Council with insights helpful to the CAP. Alternative Recommendation: None. Discussion/Decision Mode: Discussion at the initiation of the study would be very helpful to staff and ASH/PPL. As the CAP progresses, additional progress reports will be presented. y submitted, Ci . Prosser JDP:ds CITY OF RICHFIELD, MINNESOTA Study Session Letter No. 25 Agenda October 4, 1993 Issue Statement: Discussion of water/sewer certification procedures and penalties. Background: During the September 13, 1993 City Council meeting, the Council expressed some interest in discussing the current system of assessing penalties to delinquent water and sewer accounts upon certification to the county for collection through the property tax system. There was a concern that the penalties may not be significant enough to deter certification of water and sewer accounts. A brief survey of neighboring communities revealed that the interest penalty rate charged for delinquent accounts varied from 6.5$ to 10$ and that the flat certification fee ranged from $0 to $25 (see Attachment A). Richfield currently charges a 5$ penalty rate that is applied quarterly for late payments as well as a $20 certification fee. From a historical perspective, the number of accounts certified each year from 1983 through 1993 has varied with the greatest numbers occurring from 1983 through 1985 (see Attachment B). The highest amount of delinquent charges certified occurred in 1992 when the total, exclusive of the certification fee, surpassed $160,000. The total for 1993 was just over $120,000 (see Attachment C). If there is an interest in changing the current structure for assessing penalties for water and sewer delinquent accounts, the process could be changed in a number of ways including the following: 1. Raise the penalty amount to the current market rate for each respective year as determined by the Finance Division. As an example, under such a flexible scheduled, for 1993 the interest rate would have been 6$ or 6.5~. 2. Raise the flat certification fee from $20 to $25 or $30. The current rate of $20 is in the range of what other cities currently charge, but has not been changed in Richfield for several years. 3. Use a combination of the first two suggestions to modify the certification penalty structure. Recommended Motion: Discuss the current certification penalty structure. _ Basis for Recommendation: 1. The City Council has indicated that they wish to discuss this matter. Alternative Recommendation: 1. None. Discussion/Decision If the City Council structure, it would model some proposed future City. Council allow ample time to order to accommodate Mode° would desire a change in the penalty be timely to provide staff with direction to changes and their anticipated impact for a meeting as soon as possible. This would modify water bills and the billing system in a a change and give residents ample notice. Resppe~f7cf~ly submitted, Ci s %D. Prosser JDP:cak Certification Penalty Survey Attachment A Interest Rate - Penalty Certification Fee St. Louis Park 4-l ~% $0 Edina 10% $0 Eagan 6.5% or Market $25. Bloomington 8% or Market $20 Eden Prairie 8% $1 a Attachment B Number of Properties Certified 1983 1984 1985 1986 1987 1988 1989 1990 1991 1992 1993 Attachment C