5.5. SR 11-13-2006
City of Elk River
REQUEST FOR COUNCIL ACTION
Agenda Section Meeting Date
Worksession November 13,2006
Item Description
2007 Park Dedication Fees
Item Number
5.5
Prepared by
Bill Maertz, Parks and Recreation Director
Reviewed by
Introduction
Request Council action for change in park dedication fees for 2007.
Discussion
State of Minnesota statute concerning park dedication fees requires that there be a "rational nexus"
between park dedication and the long range plan for park capital spending. In order to gauge this rational
nexus staff has reviewed Elk River's 10-year parks capital improvement plan in relation to park dedication
revenue estimates. (see attached)
Projections using the current park dedication fees, with 5% increases each year, indicate that there will be
a shortfall of approximately $580,000 over the next ten years. Staff recommends changing the park
dedication fee for residential to $3,600 per dwelling unit and changing commercial and industrial fees by
5%.
Financial Impact
2006 Park Dedication Fees
Residential $2940/ dwelling unit
Commercial $6,300/ acre
Industrial $2,100/ acre
Proposed 2007 Park Dedication Fees
Residential $3,600/ dwelling unit
Commercial $6,615/ acre
Industrial $2,205/ acre
The proposed fee changes, along with annual 5% increases, will generate and additional $1,413,974 over
the next ten years. This eliminates the $580,000 shortfall and provides additional funding for
development of parkland not yet acquired. For example, the ten acre park planned for the Holzem
property is not currendy budgeted for in the ten year CIP. This increase also ensures that there will be
adequate funding for the $1,000,000 payment for Pinewood Golf Course in 2013.
Attachments
10 year park capital improvement plan and park dedication revenue projections
C: \Documents and Settings \ tallard\Local Settings \ Temporary Intemet Files \ OLKF\2007 Park dedication fees memo. doc
Action Requested
Council is being requested to approve the proposed 2007 park dedication fees
Residential $3,600/ dwelling unit
Commercial $6,615/acre
Industrial $2,205/ acre
Council Action
Motion by _
Second by _
Vote
Follow Up
C: \Documents and Settings \ tallard\Local Settings \ Temporary Internet Files \ OLKF\2007 Park dedication fees memo. doc
" Estimated Cost Estimated Cost Estimated Cost Estimated Cost Estimated Cost Estimated Cost Estimated Cost Estimated Cost Estimated Cost Estimated Cost
Q.
~ Park. Name 2007 2008 2009 2010 2011 2012 2013 2014 2015 2018
1 Alba Rid e Park $ 299,000
2 Babcod. Memorial Park $ 264,000
3 Baldwin Park ~1'400
4 BamMton Park 3,000
5 Bi Tooth Ridoe Park $ 54,000
6 Birch Meadow $ 152,500
7 Burr Oak Park $ 93,000
8 CarribCOZV Park
Iii! ~
10 21,500
11 ~ 43,000
12
13 Fresno Park $ 18,500
14 Great Northern Trail $ 435 600
15 Harris Island Park $
16 HiQhlands East Park $ 6,500
17 Hiahlands West Park $
18 Hillside CitVPark $ 220,000
19 Kliever Lake Fields $ 94,000
20 KUever Marsh Park $ 178.400
21 Kliever Poime Park $ 2,000
22 Lions Park $ 101,000
23 Meadow Park $ 4,700
24 Meadowvale Heiohts Park
25 Mississinni Oaks Park $ 17 ,800
26 North Terrace Park $
27 Oak Knoll Athletic Comolex $ 75,000
28 Oak Savanna Park $ 3000
29 Orono Athletic Comolex $ 85,000
30 Orono Park
31 Oxbow Park $ 180 000
32 Pinewood Golf Course $ 1,000,000 $ 360 000
33 Rice Lake Park $ 520,000
34 RidaewoOd East Park 32,500
35 River Park
36 River lace Park $ 15
37 Rivers EdQe Commons $
38 Roval ValtevPatk $ 103,500
39 SedQe Meadow Park $ 209,000
40 Trott Brook Farms Park $ 240,500
41 West Oaks $ 12,000
42 Windsor Park
~
44
ITree BUdget per Year $ 20,000 $ 20,000 $ 20,000 I $ 20,000 I $ 20,000 $ 20,000 $ 20,000 $ 20,000 $ 20,000 $ 20,000
Total Estimated Cost $ 154,100 $ 284,000 $ 985,700 I ~ 1,036,083 $ 1,495,333 $ 1,097,833 $ 2,243,250 $ 1,499,600 229,000 $ 558,000