Page Last Updated: 2.3.2010
Proposed Public Works Facility
At the January 19, 2010 City Council meeting, the Council
approved a Scope of Services authorizing Staff and the City’s
engineering firm Bonestroo to review two possible alternatives to
constructing a new public works facility.
The first option involves an expansion option to the existing
facility at 2052 County Road 24.
A report is expected to be provided to the Council at their
February 16, 2010 meeting.
The second option involves a study of the existing vacant
Temroc building at
Shire Road
(west of the Willow Dr./TH55 intersection).
While the existing Temroc building at approximately 136,000
sq. ft. is too large for
Medina’s future public works needs, it may be
able to be used with other partnering agencies for shared use.
A report on this option is expected to be provided to Council
in late March/early April 2010.
The City of Medina's existing Public Works Facilities are located
at 2052 County Road 24, on the same site as City Hall. The existing
facilities consist of a 7,400 sq. ft. building for storing vehicles,
maintenance area, equipment and offices, as well as an outdoor
storage area, salt shed, fueling facility and brush pile.
A Citizen's Advisory Panel studied existing City facilities from
2006 to 2007 and reported in July 2007 to the City Council a
recommendation for a new Public Works Facility and a new but
separate City Hall/Police facility. A Public Works Facility was
identified as Priority #1. Details of the Pa
nel's analysis and
recommendations can be found in the Panel's
Facilities Master Plan
Executive Summary.
The City's Capital Improvement Plan (CIP) has also been
identifying a need for a new Public Works Facility as early as 2004,
with initial completion scheduled for 2007.
The picture on the right is of the existing Public Works
Facilities.
The City's Facilities Master Plan identified the following needs
for constructing a new Public Works Facility:
- The current site and yard are not sufficient to house public
works vehicles, equipment and operations.
- The existing site is non-conforming with City Code
regulations.
- Safety concerns consist of poor ventilation, work
circulation, spacing between work functions, storage of
tools/carts, parts open to spillage/contamination with
lubricants.
- Lockers, showers, meeting/training space, lunchroom and
offices are insufficient or non-existent.
- Area for cleaning and maintaining vehicles is non-existent.
- Lighting, heating and everyday environmental needs are
lacking.
The City completed a Facilities Master Plan, which in 2007
originally recommended a project scope including a new facility of
45,000 sq. ft. as part of a Phase I construction, the acquisition of
20 to 30 buildable acres, location near the Trunk Highway
55/Arrowhead Drive Intersection, estimated cost of $8,000,000 (land
& facility), and a funding source of General Obligation Bonds, with
partial funding from utility revenues.
In fall 2009, City Staff recommended a refined project scope
including:
- New facility of 30,000 to 35,000 sq. ft. (Phase I)
- The acquisition of 8 to 10 buildable acres for Phase I, and
consider securing 20 to 30 acres for long-term build out.
- Location near the Trunk Highway 55/Arrowhead Drive
intersection (with priority near Hennepin County Public Works to
maximize operating/cost saving efficiencies for fueling and salt
facilities.
- Estimated cost: $6,500,000 (land & building)
- Funding source of General Obligation Bonds, with shared
funding from water, sewer and storm water revenues.
Land Acquisition: The
City has been meeting with land owners, including Hennepin County,
near the Trunk Highway 55/Arrowhead Drive intersection to explore
land acquisition opportunities.
Public Relations: In
addition to past project updates in the City newsletter, the City
hosted an Open House of the existing facilities on August 27, 2009
to provide an opportunity for residents to view facility conditions.
A presentation on the project scope, cost, financing options, and
schedule was provided at the Open House.
If the City issues $6.5 million in bonds with a 5%
interest rate for 20 years on the project, the annual debt
obligation will be $547,656. Because public works operations
consists of roads, parks, water, sewer and storm water, the revenue
sources to pay for the debt service would come from a share of
increased City taxes and utility fees. About 47% would be funded
from City taxes, 26% from water fees, 20% from sewer fees and 7%
from storm water fees. Here are some quick facts on the City tax and
utility fee impacts:
-
The City’s tax levy would increase by about 10%
(an additional $256,000).
-
Tax increases and utility rate increases would
occur in 2011 or 2012.
-
The annual tax increase on a $300,000 home would
be $49
-
The annual tax increase on a $750,000 home would
be $131
-
The annual tax increase on a $500,000 business
would be $151
-
A water facility fee would be charged at
$134/yr. (or $11.22/mo) for each user.
-
A sewer facility fee would be charged at
$105/yr. (or $8.76/mo) for each user.
-
A storm water facility fee would be charged at
$6 per Residential Equivalency Factor each year (i.e. 1 REF = 1
urban residential single-family household).
The tentative schedule for the Public Works Facility
project includes:
-
2010 - The City plans to determine a financing
option, solicit proposals for architect, and continue land
acquisition negotiation.
-
2010 - Final project design and bonding approval
for the project.
-
2011 - Public bidding on plans, bond issuance,
and project construction begins.
The City Council is considering two financing
options for the project:
-
Referendum Bonds - Requires public support
through a special or general election. Administrative costs will
be incurred with coordinating an election. Less than 1% of
cities use this option.
-
Capital Improvement Bonds - Requires creation of
a 5-year Capital Improvement Plan (CIP). A public hearing must
be conducted prior to CIP approval and allows for a 30-day
reverse referendum prior to closing of bonds. 75% of cities use
this option. (24% of cities use EDA Lease Purchase bonds, which
the City does not prefer using for the project).
The City will be conducting more public discussions
and open houses on the project over the next several months.
Promotion of the meetings will be through the City newsletter,
project newsletter, or other notices.
Project Contacts:
City Administrator Chad M. Adams, 763-473-4643
email:
chad.adams@ci.medina.mn.us
Public Works Superintendent Steve Scherer, 763-473-4643
email:
steve.scherer@ci.medina.mn.us