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HomeMy WebLinkAbout03/25/91CITY COUNCIL WORK SESSION March 25, 1991 5:00 p.m. Large Conference Room Members present: Mayor McKinley, Buck, Brown, Budak, Fox, Dell, Angel and Wright. The Agenda, as proposed, was approved. Mayor McKinley stated that the purpose of the meeting was to discuss the proposed use of the local option sales tax and its implementation. Together with the Sales Tax Advisory Committee and city staff, a plan for the purposed utilization of the sales tax was presented. Both Councilpersons Brown and Dell were members of the Citizens Committee and provided input into the proposed plan. The Mayor explained that the F.Y. 1991 program will consist of oiling approximately twelve miles of previously oiled streets and the asphalt overlay of several streets which will require preparation including milling and patching. Eric Thorson, City Engineer, presented details of the plan. The City is estimating to receive $1.5 million for use during F.Y. 1991. Subsequent funding will be approximately $5 million per year. A chart of estimated earnings by each of the six (6) contiguous cities was presented. Funds are distributed to the cities based on per capita and property tax distribution. Larry P. Burger, Clerk/Auditor, recommended that the city proceed with a program totalling $1.5 million for the current year. Any expenditures during the year will be reimbursed directly with local option sales and services tax when received. A pavement life cycle chart was reviewed. Basically, the chart indicated that it becomes more costly for the city to renovate streets as they age and deteriorate. Depending on the degree of deterioration, the type of repair that is most cost efficient can be determined. John Meyer, Public Works Director, stated that together with Street Superintendent Richard Grimm, staff has carefully reviewed the best allocation of existing manpower and equipment resources for the implementation of the local option sales tax management plan. It was his recommendation that the city engage in a full scale oiling program with current city crews. Based upon estimates received from several contractors, the city is able to perform this work less expensively than contracting. Basically the city has low overhead, pays no taxes, and does not depreciate out equipment. It was Mr. Meyer's recommendation that we proceed with the purchase of a mixer/pulverizer and roller using anticipated sales tax receipts. Further, it was his recommendation that materials for the oiling program be purchased with the tax. All labor associated with the oiling program will be funded outside the option tax fund. No additional staff will be hired to undertake the oiling program. Mayor McKinley stated that the oiling program would have its largest impact in low and moderate income areas. A proposed list of streets to be included in this year's oiling program was reviewed. Each of the streets selected had been previously oiled on an assessment basis and/or is costly to maintain. Councilperson Angel asked that streets in her ward be included in the oiling program since she had no streets in Ward 3 included in the reconstruction or overlay and only two streets in the oiling program. Mayor McKinley asked that any changes to the proposed list be brought to staff members since this is only a preliminary list and is subject to change. City Council Work Session March 25, 1991 Page 2 Eric Thorson reviewed the proposed streets for inclusion in the asphalt overlay program during the 1991 construction season. Suggested streets include Idaho from Dubuque Road to Independence Avenue, Newell Street from East 4th Street to Beech Street, and Ridgeway Avenue from Ansborough Avenue to San Marnan Drive. After review by city staff, a portion of Newell Street between Peek and Beech Street has been identified as in need of reconstruction rather than overlay since the street is beyond an overlay program. Other streets were considered for inclusion in this year's asphalt overlay program including Riehl Street. Further review determined it to be in need of reconstruction. The council listed many streets in need of reconstruction or overlay, pointing to the large need in the city for street repair monies. Don Temeyer, Planning and Development Director, stated that the pavement management system which will be up and running by approximately July 1st and will identify priority streets based on their age, condition, traffic load, etc. The system is designed to be a tool and assist the council in determining those streets that should be included in future street repair programs. The system in no way takes away from the policy makers the decisions they must make in determining which streets should be repaired. John Meyer provided a description and detail of the machine that is being requested to be purchased to assist in the oiling program. After discussion, the council authorized staff to proceed with the proposed overlay program including Idaho Street, Newell Street and Ridgeway Avenue, except that portion of Newell Street between Peek and Beech Streets. (This section will be reconstructed.) Eric Thorson informed the committee of the Engineering Department's role as it relates to the street improvements funded with local option sales tax. He proposes the use of three design and management teams consisting of an associate engineer (team leader), a technician and drafts person. The assistant city engineer will supervise each of the three teams. Anticipated additional personnel includes three full time technicians and two part time engineering or tech students in the summer and four technicians in the fall. Additional equipment purchases would include an auto cad station, a road calc station, survey equipment, and five vehicles. Mr. Thorson also stated that the council must decide which streets should be included in next year's reconstruction program so that crews can begin working on the plans and specifications. The Mayor reiterated that none of the cost of additional staff would be paid for by local option sales tax. Currently the Engineering Department prepares the plans and specifications for the city's $1.5 million reconstruction program and save considerable engineering fees. With the additional anticipated funds in the five future years of approximately $5 million per year, additional staff is necessary and in the long run will save dollars that can be put in to the actual repair of streets. Larry P. Burger, City Clerk/Auditor, stated that the city's payroll system will allow each individual's time to be costed to either the local option sales tax fund or the home fund of the individual. In addition, the local option sales tax receipts and expenditures will be closely monitored and at any time, a complete overview of the funds, expenditures and revenues can be delineated. The committee and council can regularly be advised of the account's balance. aaN City Council Worx Session March 25, 1991 Page 3 Jim Lawrence, a member of the Sales Tax Advisory Committee, stated that the presentation made by city staff this evening include many of the questions that the committee had as they began to investigate implementation of the street reconstruction program. He indicated his agreement with the proposed plan and that of the committee. With no further business before the Work Session, the meeting was adjourned at 6:10 p.m. Larry P. Burger City Clerk/Auditor