HomeMy WebLinkAbout2024-05-13 City Council Workshop PacketAGENDA
MAPLEWOOD CITY COUNCIL
MANAGER WORKSHOP
5:45 P.M. Monday, May 13, 2024
City Hall, Council Chambers
A. CALL TO ORDER
B. ROLL CALL
C. APPROVAL OF AGENDA
D. UNFINISHED BUSINESS
None
E. NEW BUSINESS
1. Cannabis Update
2. Electric Franchise Fee Ordinance Discussion
3. Harvest Park Master Plan
F. ADJOURNMENT
RULES OF CIVILITY FOR THE CITY COUNCIL, BOARDS, COMMISSIONS AND OUR COMMUNITY
Following are rules of civility the City of Maplewood expects of everyone appearing at Council Meetings - elected
officials, staff and citizens. It is hoped that by following these simple rules, everyone's opinions can be heard
and understood in a reasonable manner. We appreciate the fact that when appearing at Council meetings, it is
understood that everyone will follow these principles:
Speak only for yourself, not for other council members or citizens - unless specifically tasked by your colleagues
to speak for the group or for citizens in the form of a petition.
Show respect during comments and/or discussions, listen actively and do not interrupt or talk amongst each
other.
Be respectful of the process, keeping order and decorum. Do not be critical of council members, staff or others
in public.
Be respectful of each other's time keeping remarks brief, to the point and non -repetitive.
THIS PAGE IS INTENTIONALLY LEFT BLANK
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CITY COUNCIL WORKSHOP STAFF REPORT
Meeting Date May 13, 2024
REPORT TO: Michael Sable, City Manager
REPORT FROM: Ron Batty, City Attorney
Andrea Sindt, City Clerk
PRESENTER: Ron Batty
AGENDA ITEM: Cannabis Update
Action Requested: ❑ Motion ✓ Discussion ❑ Public Hearing
Form of Action: ❑ Resolution ❑ Ordinance ❑ Contract/Agreement ❑ Proclamation
Policy Issue:
The workshop will provide the current knowns and unknowns along with an overview of decisions
the city council will eventually be asked to make about local controls of cannabis. Discussion will
include tools within local control such as guiding where cannabis is sold, limiting locations, choosing
local registration and enforcement and an anticipated timeline for accomplishing necessary steps
prior to January 1, 2025 when the current moratorium ends.
Recommended Action:
No action in required.
Fiscal Impact:
Is There a Fiscal Impact? •s No ❑ Yes, the true or estimated cost is $0.00
Financing source(s): ❑ Adopted Budget ❑ Budget Modification ❑ New Revenue Source
❑ Use of Reserves ❑ Other: n/a
Strategic Plan Relevance:
❑ Community Inclusiveness ❑ Financial & Asset Mgmt ❑ Environmental Stewardship
❑ Integrated Communication ❑ Operational Effectiveness ❑ Targeted Redevelopment
Background:
In the journey involving the sale of cannabis and hemp -derived products, the city council has taken
multiple actions in reaction to law changes. In 2022 the legislature legalized the sale of edible
cannabinoids. In response, the city council adopted a moratorium on the sale of these items on
August 22, 2022. This moratorium was allowed to expire in 2023 without further local requirements
of retailers of the edible cannabinoids, only to register with MDH as per state statute.
The 2023 legislature legalized adult use and possession of cannabis beginning August 1, 2023. The
law placed license issuance to sell cannabis with the state and provided specific local controls
Packet Page Number 1 of 32
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among which was the right to adopt a moratorium on retail operations until January 1, 2025. The
city council adopted such a moratorium on August 28, 2023.
In the past months, the state has been working to develop and staff the Office of Cannabis
Management (OCM). The OCM has found a permanent office location, a licensing software has
been chosen, the Cannabis Advisory Council has had their first meeting, and rule drafting and
model ordinance work has begun. In addition, OCM has offered 2024 legislative changes to
promote a successful program launch. These changes will shape OCM's drafting of rules and
regulations as well as model ordinances.
Although these draft versions of the regulations and ordinances are not available yet, some
preliminary discussions of topics within local authority are reasonable. Local control includes time,
place and manner thus items requiring guidance include number of locations, zoning or setback
restrictions, hours of operation, local registration and enforcement.
Attachments:
1. Presentation
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CITY COUNCIL WORKSHOP STAFF REPORT
Meeting Date May 13, 2024
REPORT TO: Michael Sable, City Manager
REPORT FROM: Steven Love, Public Works Director / City Engineer
PRESENTER: Steven Love
AGENDA ITEM: Electric Franchise Fee Ordinance Discussion
Action Requested: ❑ Motion ✓ Discussion ❑ Public Hearing
Form of Action: ❑ Resolution ❑ Ordinance ❑ Contract/Agreement ❑ Proclamation
Policy Issue:
The City's current electric franchise fee with Xcel Energy term is set to expire in September 2024.
City staff's presentation will provide information on Maplewood's current electric franchise fee rates,
rates of other cities with comparable populations sizes, and recommendations. Staff will be looking
for input from the City Council on the electrical franchise fee and proposed rate levels.
Should the City Council consider extending the Electric Franchise Fee for an additional 20 years
and at what level?
Recommended Action:
No action is required.
Fiscal Impact:
Is There a Fiscal Impact? ✓ No ❑ Yes, the true or estimated cost is $0.00
Financing source(s): ❑ Adopted Budget ❑ Budget Modification ❑ New Revenue Source
❑ Use of Reserves ❑ Other: n/a
Strategic Plan Relevance:
❑ Community Inclusiveness ✓ Financial & Asset Mgmt ❑ Environmental Stewardship
❑ Integrated Communication ❑ Operational Effectiveness ❑ Targeted Redevelopment
One of the City's six strategic priorities is Financial and Asset Management. This strategic priority
looks for the City to maintain fiscal sustainability while building and managing assets to preserve
long-term investments and ensure uninterrupted quality services. One financing tool the City uses
to help meet the goal of this strategic priority are electric and gas franchise fees.
The electric franchise fee helps fund the ongoing operation, maintenance, and repair cost related to
City roadways, street lights, and the City's share of traffic signals. The franchise fee establishes a
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steady revenue stream that allows the City to maintain this important infrastructure while lowering
the reliance on bonding and the City debt.
Background:
Minnesota energy service providers have an obligation to provide safe, adequate, and efficient
energy services at reasonable rates. State law allows utilities to use public right-of-ways to provide
energy services. Local governments are responsible for the management of public right-of-ways. To
aid in this management a franchise agreement can be established to set expectations between the
City and the energy provider.
As part of the franchise agreement cities may choose to establish a franchise fee. Franchise fees
are an equitable way to raise funds for important infrastructure needs. When a franchise fee is
levied on a private utility, it is passed on directly to the customers and is itemized on customer bills.
These fees are invoiced and collected from all property owners of all classes, including residential,
commercial, public agencies, and non-profit businesses.
The current electrical franchise fees fund the City's Street Light Utility Fund and a portion of the
Street Revitalization Fund. The Street Light Utility Fund covers operation, maintenance, upgrade,
and replacement costs related to the City's street lights and the City's share of traffic control
signals. Additionally, this fund also covers costs for the installation of new street lights and traffic
control signals. The Street Revitalization Fund is one of the major funding sources for the City's
street improvement projects. This fund helps reduce the City's reliance on bonding to cover project
costs and special assessments. Lowering the amount of bonding reduces the debt level the City
needs to take on to maintain the City's infrastructure.
Maplewood's electrical franchise fee with Xcel Energy is set to expire on September, 2024. The
franchise agreements typically run for a period of 20 years and often changes to the franchise fee
rates are set at the time of the franchise fee agreement renewal. The current electrical franchise fee
with Xcel provides approximately $1,025,000 of funding per year.
To help aid in the review of current fee rates and potential changes to Maplewood's rate, thirteen
cities with comparable population sizes were reviewed (see Franchise Fee Rates attachment). The
following is a summary of how Maplewood's current rates compare to these thirteen cities:
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$7.77
$29.52
$162.91
$15.51
$11.84
$11.84
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$6.75
$17.00
$48.50
$340.00
$17.51
$17.51
$48.50
Min
$1.50
$3.00
$10.00
$8.00
$4.00
$2.00
$4.00
Median
$3.69
$5.50
$30.00
$149.25
$9.75
$8.25
$10.75
Maplewood
$3.00
$4.75
$30.00
$180.00
$4.00
$4.00
$4.00
Of the different property classes listed above, Residential, Small C&I Demand, and Large C&I make
up 94% of the funding generated per year. Looking at these three classes, the current Residential
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class rate of $3.00 was below the median rate of $3.69. The Small C&I and Large C&I rates are
currently at or above the Median Residential Rate.
Looking into the future, costs for maintenance and construction of the City's infrastructure will likely
continue to increase over the 20-year term of a new electrical franchise agreement. To help keep
up with these increases and to help meet the City's strategic goals and priorities staff recommends
considering an increase to the Residential class from $3.00/month to a rate between $4.00/month
to $4.25/month. The following is a summary of what an increase of $1.00/month to $1.25/month to
the Residential class would be:
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$4.00
$1.00
$48.00
$12.00
$190,080
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$4.25
$1.25
$51.00
$15.00
$237,600
Increasing the Residential class rate would address increased maintenance and construction costs.
In addition, the rate structures would be consistent with the Median Residential rate compared to
similarly -sized cities.
Staff is looking for feedback on renewing the electric franchise agreement and potential changes to
the Residential class rate. Based on the feedback from the City Council this item would likely be
brought to the May 28, 2024 City Council meeting for consideration of adopting ordinances
establishing the electric franchise fee agreement and rates with Xcel Energy.
Attachments:
1. Franchise Fee Rates
2. Franchise Fee Presentation
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E3
CITY COUNCIL WORKSHOP STAFF REPORT
Meeting Date May 13, 2024
REPORT TO: Michael Sable, City Manager
REPORT FROM:
Steven Love, Public Works Director / City Engineer
Audra Robbins, Parks and Natural Resources Manager
PRESENTER:
Steven Love
AGENDA ITEM:
Harvest Park Master Plan
Action Requested:
❑ Motion ✓ Discussion ❑ Public Hearing
Form of Action:
❑ Resolution ❑ Ordinance ❑ Contract/Agreement ❑ Proclamation
Policy Issue:
The Maplewood Parks & Recreation System Master Plan calls for taking care of the assets that we
have, as well as making necessary improvements to our parks system based on the changing
needs of the community. At the workshop, staff will provide an update on the progress of the
Harvest Park Master Plan, existing condition of Harvest Park, features of the proposed master plan,
and staff's recommendation.
Staff will be looking for feedback from the City Council on the master plan, staff's recommendations,
public engagement, and the approval process.
Recommended Action:
No action is required.
Fiscal Impact:
Is There a Fiscal Impact? ✓ No ❑ Yes, the true or estimated cost is $0.00
Financing source(s): ❑ Adopted Budget ❑ Budget Modification ❑ New Revenue Source
❑ Use of Reserves ✓ Other: Future improvements to Harvest Park,
based on the Master Plan, will be planned through the CIP process and brought to Council for
review and approval before implementation.
Strategic Plan Relevance:
✓ Community Inclusiveness ✓ Financial & Asset Mgmt ❑ Environmental Stewardship
❑ Integrated Communication ✓ Operational Effectiveness ❑ Targeted Redevelopment
The master planning process for Harvest Park touches on several of the City Council's strategic
initiatives by evaluating what we have, planning for the future, and involving our residents in the
process.
Packet Page Number 20 of 32
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Background:
Maplewood's Parks and Recreation system has transitioned from a developing system into a
mature system, which presents unique challenges. At the core of future issues is the need for
extensive park revitalization and reinvestment. System -wide replacement of aging park facilities
such as playgrounds, courts, fields, shelters, and signage is needed. Taking care of the existing
system is the number one community identified priority for the future in our Parks System Master
Plan.
Harvest Park is one of only two community athletic parks in Maplewood and as such serves a very
important role in our system. Portions of the park are also utilized for growing native seed and
plants through a partnership with Urban Roots.
In October of 2019, the City Council approved entering into agreement with LHB, Inc. to begin the
park master planning process. That process included evaluation of existing conditions and facilities
and community engagement that included stakeholder meetings, an open house, online survey and
a master plan -level cost estimation.
In April of 2020, the master plan concept for Harvest Park was presented to and approved by the
Parks and Recreation Commission but due to the pandemic, changes to the services that the City
provides, and possible changes to the Purple Line Bus Rapid Transit (BRT) routing the City Council
approval of the master plan was put on hold.
Staff has completed a review of the master plan to see if the plan still meets the needs of the public
today and into the future given the events that delayed the approval of the master plan. Based on
this review, staff found the proposed master plan still meets the needs of the public by providing
high quality soccer fields for practice and play, open green space for informal activities, pickleball
courts, trails, and gathering spaces. The main item staff has identified as a recommended change
entails the proposed parking areas.
Harvest Park presents a challenge to layout parking given the uses proposed as part of the master
plan and the park's long narrow shape. The master plan currently shows a reduction of the existing
parking lot located near the middle of the park. Staff's recommendation is to leave the existing
parking lot at the current size. This is based on the amount of parking that would be needed when
the soccer fields are in active use along with staff observations of current parking levels. If the
parking lot remains at its current size, the proposed large picnic shelter would need to be moved to
the west side of the trail and softball field would be changed to green open space.
As part of the Purple Line BRT project a proposed park and ride lot is shown at the southwest
corner of the park next to the existing basketball court and proposed pickleball courts. The Purple
Line project team is currently studying an alternative alignment on White Bear Avenue. If the Purple
Line route is moved to White Bear Avenue the large park and ride lot would no longer be needed.
However, as part of the master planning process, the need for additional parking at the south end of
the park was identified. This is especially true with the addition of the proposed pickleball courts.
Staff recommends that if the Purple Line route is moved to White Bear Avenue a smaller parking
lot, additional pickleball courts, and shaded resting areas replace the park and ride lot shown on the
master plan.
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At the Council Workshop, staff will provide a presentation on the existing conditions Harvest Park,
the master planning process to date, and recommended changes to the master plan that was
developed in 2020. Staff is looking for input from the City Council on the master plan, staff
recommendations, and the best way to move forward with the project.
Attachments:
1. Harvest Park Preferred Concept Plan
2. Presentation
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