HomeMy WebLinkAbout11-14-13 Impact Fee Advisory Committee Minutes** MINUTES **
THE CITY OF BOZEMAN
IMPACT FEE ADVISORY COMMITTEE
THURSDAY, NOVEMBER 14, 2013
Chairperson Nickelson called the meeting to order at 6:04 p.m., in the City Commission Meeting
Room, City Hall, 121 North Rouse Avenue, Bozeman, Montana.
Members Present Staff Present
James Nickelson, Chairperson Chris Saunders, Policy and Planning Manager
Anna Rosenberry Jason
Shrauger, Fire Chief
Rick Hixson
George Thompson
Members Absent
Rob Evans
Erik Nelson
Randy Carpenter
Guests Present
Chris Mehl, City Commission Liaison
ITEM 2. ELECTION OF OFFICERS
Chairperso
n Nickelson noted the lack of a quorum, election was deferred.
ITEM 3. MINUTES OF NOVEMBER 29, 2012.
Minutes were opened and continued to the next meeting due to lack of a quorum.
ITEM
4. PUBLIC COMMENT
{Limited to any public matter within the jurisdiction of the Impact Fee Advisory
Committee and not scheduled on this agenda. (Three-minute time limit per speaker.}
Chairperson Nickelson noted no comments were forthcoming.
ITEM 5. CITY COMMISSION LIAISON
{A standing item to be used as needed}
No items were forthcoming.
ITEM 6. PROJECT REVIEW
1. Recommendations to the Commission for the Impact Fee Capital Improvement Plan (CIP) Schedules for Fiscal Years 2015-2019 (Rosenberry)
A. Fire
B. Sewer
C. WaterD. Transportation
Fire impact fee schedule: capital is very limited, construction of brand new fire station, and first time we buy an engine for that station.
Installing Opticom system (street light) was another earlier project. We finished paying fire station 3. We budget 190,000 in FY14 revenue, estimates were based on moderate growth model.
Remaining question is when we will need fire station 4 and the engine for 4. (2015-2019, not through 2020) need to update the fire master plan. This project is based on how much additional
subdivision and building occurs in south part of town.
Mr. Hixson: we have not plotted a lot of new lots in south side, and it promises to pick up
Policy and Planning Manager Saunders:
We have final plat in review for 45 homes on 19th Avenue, and a subsequent subdivision request just walked in door, and sizeable projects on east side of the street that are significant
demand generators, certainly the load on system is going up and definitely more in southwest quadrant.
Ms. Rosenberry: do we put in plan for 2019, sooner or leave it unscheduled?
Mr.
Hixson: based on what fire chief stated, I would leave it unscheduled.
Policy and Planning Manager Saunders: update for facility plan for fire that would give basis to look at specific
scheduling period where we can re-look at response rates and areas and give us a better idea.
Ms. Rosenberry: 25% of costs which are not growth related does not specifically say general
fund. Is there anything else that should be updated on the Fire?
B. Water Impact Fee Schedule:
Chairperson Nickelson: asked question about the ending balance that would roll over
out of the $2.7 million; construction of water plant, cash on hand, impact fund and from revolving loan fund from the state.
Mr. Hixson: things are going well, about the end of January
to finish construction.
Mr. Mehl: Does anyone have questions on the water 5 year trends. How about specific projects?
Chairperson Nickelson: I don’t have any specific project questions,
but since development is ramping up there will be requests for water main over-sizing and the like as you go into different schedules, should we have a line item says unknown projects?
Or case by case and adjust as you go?
Policy and Planning Manager Saunders: there is newly annexed land west of the Regional Park, 80 acres. Likely to be a large trunk extension going under Ferguson that would connect
Baxter and Oak and then there is a section south of the football stadium on South 11th Avenue where there was a previous impact credit project from Kagy to Opportunity Way. $30-50,000
FY15 addition is suggested to the schedule.
Ms. Rosenberry: we will add an item for a12 inch water main, Opportunity way to Arnold south of Kagy.
Mr. Hixson: these numbers of 800
that will handle 8-15 inch over sizing projects. This can be in the impact fee CIP and if we find about a specific project that would like consideration for over sizing, we can get
it added and have the IFAC endorse the idea and take it to the City Commission who can schedule to any fiscal year.
Mr. Thompson: construction costs have been way down, where are we
now?
Mr. Hixson: in Engineering New Review we see upticks in commodity prices and construction costs.
Mr. Thompson: have a fudge factor and raise by 2%.
Mr. Hixson: Anna works
that entire magic, have been conservative with revenues so that we never come up short.
Policy and Planning Manager Saunders: as far as individual project costs, these are generalized
budgeting numbers. Someone will bring us final costs before we pay that and so we will have an opportunity to get down to exact costs. If we are off a couple grand high or low at this
level it does adjust out by the time we get to the actual credit process and bring in design estimates. Once all details are done, we grant credit award and we verify final expenditures;
there are a couple of checks as we move forward.
Ms. Rosenberry: did we put a dollar amount to this?
Policy and Planning Manager Policy Saunders: $50,000, probably more than we need.
Ms. Rosenberry: from my standpoint of having the concept of having a general item verses a specific project, I know that the municipal code related to impact fee credits say that project
has to be on the list and has to be scheduled. I don’t know what it would mean if that general item were there for a particular individual coming in for credit, would it mean their
credit would be eligible because a general item listed project wasn’t listed but their project would fit into one of the things listed? I don’t know what that would mean. I think
it would help with clarity to have specific projects on the list.
Mr. Hixson: one other project we talked about was the 5.3MG concrete water storage reservoir. We don’t have enough
balance to build for another 2 years but I think it will be the first big project that we do after we come from underneath the Water treatment plant. It is going to be
elevated storage somewhere on the system. It is an outcome of the integrated water resource plan. It will help us modulate, trim, and have more online storage. It’s been the recommendation
of couple of the water facility plans. We are looking at getting someone onboard to look at hydraulics, and tell us where the best place would be. We had some ideas of putting it up
Lyman. By putting an elevated storage tank in the Lyman drainage at a high enough elevation we could get rid of the Pear Street booster station. If we had enough hydraulic grade we
wouldn’t need to boost it to town, it would flow into town like the other storage tanks. It’s a need.
Ms. Rosenberry: my understanding of the first item on the list is the project
is written that specifically because it was written that specifically in the facility plan, so we need to make that description a little more general? Or leave it as it is?
Mr. Hixson:
can be generalized as water storage reservoir. This would be 5.3MG of online water storage.
Ms. Rosenberry: I thought this was critical to growth to the south of town. So would the
location at Lyman still provide this?
Mr. Hixson: If the elevation was correct, this is one of the things we would like to find out.
The first step would be to get a hydraulics study
to tell us where the most efficient location is for online storage.
Mr. Thompson: I was interested in the Hyalite location; we have an old water line heading out there. Can it handle
any additional pressure or we going to have larger losses coming through the old water line?
Mr. Hixson: the old main is still there, we did not abandon it, and we built a new transmission
main. The idea of having one supply line from treatment plant into town makes us very nervous. This is a high dollar project however. We have a new idea rather than build a new transmission
main somewhere to the west, we are talking now about lining the existing supply line, the Sourdough Transmission Main. This fix would cost a lot less money and give a much greater feeling
of security; repairs would be put off for a long time if it were done right.
Mr. Thompson: so is this something we should budget over 5 years?
Mr. Hixson: I think this would be in
the 5 year budget. I don’t think we should do this in phases; we would want to do this all in once and be done with it.
Ms. Rosenberry: so that it would be more a maintenance issue
on that pipe and would be for the water utility to pay for and does not add a bit of capacity to the water system. Not an impact fee project.
Policy and Planning Manager Saunders:
I think looking at the other projects on the list and seeing where we are seeing development again; I think it would be advisable to move the Graf street extension back onto the list
so it can go onto FY18. We are starting to see more interest in
that area again and that connection of Graf between 19th and 3rd is very beneficial for the city. We want make sure we are in a position to help that be successful if it comes up.
Chairperson Nickelson: that makes sense.
Policy and Planning Manager Saunders: Rick, what would you think about putting the pipe on for Ferguson, the half mile between Oak and Baxter?
Mr.
Hixson: yes.
Policy and Planning Manager Saunders: this will be moving here in the next year, the developer has some urgency to move in the next year.
Ms. Rosenberry: So it would
be installation of a water main along Ferguson (from Oak to
Baxter)?
Policy and Planning Manager Saunders: there are two ways to pay for it: we can give impact fee credits or we can
pay down expenditure for the plant more slowly.
Ms. Rosenberry: either way you’re postponing the debt payment. What is the estimated cost on this that would be impact fee eligible?
Policy
and Planning Manager Saunders: $125,000.
Mr. Hixson: roughly $100,000. Suggesting this for design in FY15 with construction in FY16 would solve a lot of problems for us out west.
Policy
and Planning Manager Saunders: anything else on water?
Ms. Rosenberry: getting what’s owed on the plant paid off and then getting the storage online when we need it are the large dollar
pictures that are in the schedule at this point, if there are a couple smaller projects it should be workable. What I think will likely end up happening is that this storage will be
needed before we have the cash for it and I think the commission would do what it did in the case of the plant, which was borrowing from a program like the State Revolving Fund to get
that built with the utility underwriting the loan, guaranteeing and relying on impact fees to pay it back.
C. Wastewater Impact Fee Schedule
Ms. Rosenberry: next up is Waste Water.
We are not done with the digester project and the final loan is not closed, so we don’t have final price. Do we know when the digester project is going to be accepted?
Chairperson Nickelson:
schedule wise, the Graf street extension needs to follow.
Policy and Planning Manager Saunders: same sort of thing.
Ms. Rosenberry: so if we move Graf Street like we did on the water schedule, what about the rest?
Policy and Planning Manager Saunders: Rick, last item Flanders/Hidden Valley. Do
we want to slide that a year?
Mr. Hixson: Yes.
Ms Rosenberry: Move to FY 15-16.
Mr. Mehl: considering the study may take a year, how are we expected to spend $300,000?
Ms. Rosenberry:
in FY15?
Policy and Planning Manager Saunders: We are sliding it backward a year, so once the engineering is done we will have a proper location and the first $300,000 is for starting
design work and acquiring the necessary right of way, if there are some portions that lie outside of existing right of ways.
Rosenberry: we’ll move those into FY 15-16.
Mr. Thompson:
I have some questions procuring this right-of-ways with real estate prices going up, so how will the process go?
Policy and Planning Manager Saunders: Once we know the locations of
where we need the line to be, we will first see if there is existing road way, where right of way exists, whether we can coordinate with an existing development project so we can take
care of their right of ways, or if there is a place where it doesn’t match either of those options. Engineering would contract with a land agent to go through the process to obtain
easements.
Ms. Rosenberry: would exercise eminent domain?
Mr. Thompson: so we will wait for development to take place in these areas?
Policy and Planning Manager Saunders: the
city will have to take more of a leadership position on this particular project. The scope of this project is such we cannot wait for a developer to do it. Eminent domain is a last
resort.
Ms. Rosenberry: we don’t expect development to occur in the pattern where this trunk needs to go?
Mr. Hixson: correct.
Transportation Impact Fee Schedule:
Ms. Rosenberry: no other changes to waste water, now we go to Transportation. We have a fair amount of cash, first to get College and then Kagy.
Mr. Hixson: need to get right of
way and then be built next summer.
Chairperson Nickelson: FY13 roll over was expected to be 3.7 and we rolled over 10.2.
Ms. Rosenberry: correct. Collection was greater and we have
not spent any of the money on College. Expenditures that haven’t been made are contributing to the balance forward.
Chairperson Nickelson: what happened to the estimated impact fees
from what was estimated from the millions in FY13 to what is considerably less in FY14?
Ms. Rosenberry: in this estimate for FY14, we didn’t see how strong building activity was going
to be.
Chairperson Nickelson: so the fire should be updated?
Ms. Rosenberry: yes we could do that.
Mr. Thompson: they should all be aligned.
Ms. Rosenberry: direction came out of
Commission for a shared impact fee and intersection amount, and what will ultimately get scheduled. I need help from the committee to get direction on how that should be addressed.
Mr.
Hixson: look at 60% impact fee funded and 40% from another source of income of general tax authority. We are coming back on December 9th or 16th to get more nuts and bolts sorted out.
Mr.
Thompson: what was driving that Main and Broadway intersection?
Mr. Hixson: Town Pump.
Chairperson Nickelson: question on Ferguson Avenue from Baxter to Oak, do you anticipate a developer
building that or half of it?
Mr. Hixson: Yes, we do have a good chance of a project, and we have an annexation request. This would be credits to the developer.
Policy and Planning
Manager Saunders: the developer will be responsible for doing a share of Ferguson for the project related component.
Mr. Thompson: so we want to have a budget number in there to show
good faith.
Policy and Planning Manager Saunders: we should be prepared to partner with them.
Mr. Hixson: I put in there what I thought it would cost; we need to get to Kagy as fast as we can.
Policy and Planning Manager Saunders: move Durston to scheduled and add S. 11th
Avenue from Opportunity to Arnold.
Rosenberry: is that a million project?
Mr. Hixson: $250,000 and add West Babcock.
Ms. Rosenberry: any other recommendation to the streets list?
How do you want to work on these recommendations? Once updated do you want them to come back to this group before they are submitted to the Commission for recommendation?
Chairperson
Nickelson: just send it to us.
Ms. Rosenberry; I think the Commission is capable of taking testimony on what we think is most likely to happen.
Chairperson Nickelson: when you send
it to the City Manager, e-mail to the advisory board and provide an agenda.
Policy and Planning Manager Saunders: we have intersection control on Ferguson/Durston and Ferguson/Babcock,
but we have nothing on Ferguson and Oak Street. We probably want that on the list, it is the intersection of an arterial and collector and would carry a lot of traffic.
Mr. Hixson:
yes, we can add that.
Ms. Rosenberry: Okay.
Policy and Planning Manager Saunders: So Baxter Lane money needs to come off of the unscheduled list as there is a subdivision going through
now that will build part of that road.
Ms. Rosenberry: can we get a portion of Baxter on the schedule?
All agreed
ITEM 7. OLD BUSINESS
No items were forthcoming.
ITEM 8. COMMITTEE
COMMENTS
No items were forthcoming.
ITEM 9. ADJOURNMENT
There being no further business to come before the Committee at this time, Chairperson Nickelson adjourned the meeting at 7:42 p.m.
James Nickelson, Chairperson
Chris Saunders, Policy and Planning Manager
Impact Fee Advisory Committee Dept. of Community Development
City of Bozeman City of Bozeman