HomeMy WebLinkAbout02.13.12 Work Session Packet City of Farmington Mission Statement
430 Third Street Through teamwork and cooperation,
Farmington,MN 55024 the City of Farmington provides quality
services that preserve our proud past and
foster a promising future.
AGENDA
CITY COUNCIL WORKSHOP
February 13, 2012
6:30 p.m.
1. CALL TO ORDER
2. APPROVE AGENDA
3. FIRE TRUCK DISCUSSION
4. FAIRHILL PROPERTY
5. CITY ADMINISTRATOR UPDATE
6. ADJOURN
PUBLIC INFORMATION STATEMENT
Council workshops are conducted as an informal work session,all discussions shall be considered fact-finding,hypothetical and unofficial
critical thinking exercises,which do not reflect an official public position.
Council work session outcomes should not be construed by the attending public and/or reporting media as the articulation of a formal City policy
position. Only official Council action normally taken at a regularly scheduled Council meeting should be considered as a formal expression of
the City's position on any given matter.
Committee Members
• Justin Elvestad(co-chair)
• Jason Greiner(co-chair)
• Matt Donnelly(secretary)
• Tim Pietsch
• Jim Schmitz
• Adam Fischer
• Luke Fischer
• John Powers
nRer's?ue/Engine
Agenda
❑ Introductions
❑ Apparatus
❑ Needs
❑ Questions
1
Apparatus
D Chief Staff Vehicles
• Chief officers and Fire Marshal take vehicles home and
respond directly to scene.
• Chiefs arrive and size up an incident,take command,and
decide what types of apparatus are needed and how
quickly they are needed.
• Type of vehicle is important due to equipment each Chief
must carry(four wheel drive)
• Reduce liabilities and increased safety
• Currently two short in the fleet,and two are past
replacement
Chief Staff Vehicles (8-10 year cycle)
2002 t.ord Expedition
2,11 d(rown it WI ia -. ..rolrl ',ill
(lc Hip replaremr■l 1'192) _.-
Apparatus
i Fire Engine
• Responds to all fire related incidents.
• Carries firefighters to all incidents.
• Hooks up to fire hydrant or static water source(Drop
Tank).
• Truck carries thermal imaging camera,multi-gas monitor,
SCBA and spare bottles,ventilation fans,forcible entry
tools,medical equip.,AED,RIT,apartment packs,
standpipe connections,mobile data computer. This is our
big tool box for putting out fires. (a 7 year replacement
rotation cost is less than one FTE.7,14,21.)
2
Fire Engine (20 year cycle)I Station 1 Engine 1
(412 N
4`4111i''°
•
20Df Pierce ,. ���'..°
r
Apparatus
o Heavy Rescue
• Responds to Rescue/Medical and Fire
• Carries firefighters
• No water
• Truck carries:multi-gas monitor,SCBA and spare bottles,
ventilation fans,forcible entry tools,medical equip.,
AED,mobile data computer,haz-mat,auto extrication
equip.,vehicle and building stabilization,water rescue,
ice rescue,rope rescue,rolling In aid kit
• 20 Year Life Cycle
X111∎
Heavy Rescue(20 year cycle)
EMI
R t'14
X77
1
J
Apparatus
❑ Tender
• Responds to fires in rural areas with no hydrants
• Carries firefighter to incidents
• Water(1500 to 3500 Gals.)
• Carries Drop tanks
• Tender 1 capable of drafting water from static
source(Dry hydrant,pond,pool or lake.)
Tender(20 year cycle)
Apparatus
❑ Brush Trucks
• Responds to brush and grass fires where bigger
trucks will not fit.
• Carries firefighters to all types of calls
• Water(200 to 300 Gals.)
• Carries hose
• 4 x 4 for off road use
• Police use during inclement weather
4
Maio
Brush Trucks (10 year cycle)
b(
Apparatus
o Aerial Ladder(future need)
• Respond to Fire and Rescue
• Carries firefighters to incidents
• Limited water,hose,pump
• Ladder for 75'to 134'
• Functions similar to Heavy Rescue
• Trending towards replacing Rescue 1 with Ladder
(replacement in 2025)
Aerial Ladder (future need)
`1 4 A'',iNIMNAO d4'✓ASRYW f'";'r 4y
spy ... -
,i, =-1.'‘''''"..--.... ro ' '.'" — " 44
,,
5
Tools for Planning Truck Replacement
❑ National Incident Management System
❑ Insurance Services Office(ISO)
❑ NFPA(1901, 1720, 1026, 1500)
❑ Truck Mfg.
❑ National Transportation Safety Board
Goal of Rescue/Engine Committee
❑ The goal of the Rescue/Engine Truck
Committee is:Purchase a Vehicle that is cost
effective to operate and maintain through its
useful life!!
Rescue/Engine Specifications
❑ Custom Chassis(5/6 firefighters,adequate storage)
❑ 2000 GPM pump(ISO)
❑ CAFS(reduces water needs,reduces water damage)
❑ Engine size(min 425HP to run pump)
❑ Independent front suspension(safety during driving)
❑ Light Tower(scene safety)
❑ Onboard Generator(used to run lights,power tools)
❑ Extrication tools(car accidents,forcible entry)
❑ Hose,Nozzles,Ground Ladders and Tools
❑ Bid vs.Consortium purchasing(HGACbuy.org)
6
Reasons for a Rescue/Engine
❑ Cost effective way to meet two needs for the
City of Farmington and surrounding area
(replaces 25+yr old Rescue 2 and add additional engine)
❑ Multi-purpose vehicle used for Fire and
Medical calls
❑ Reduce the number of vehicles needed at car
accidents(medical and fire suppression)
a Have equipment to participate in Auto-Aid
New vs. Demo vs. Used
❑ New purchase
• Warranty
• Built to City's needs
• Layout of truck designed for efficient use
• Possibly the highest initial cost
• Faster delivery vs.Demo
New vs. Demo vs. Used
❑ Demo Purchase
• May not exactly fit needs of the City
• Delayed delivery time
• Vehicle Color?
• Life expectancy slightly less
• Higher maintenance cost
• Possibly more affordable
7
New vs. Demo vs. Used
o Used Purchase
• Buying someone else's problems
• Highest maintenance costs
• Shortest operational life span
• Limited availability
• Least likely to meet the needs of Farmington
• Large cost in adapting vehicle to meet needs
• Lowest initial cost
Vehicle Replacement Time Frame
o Today
• Engine to replace Rescue 2(1986)
• Four Chief's vehicles
• Tender to replace Tender 2(1989)
• Three Brush trucks to replace Brush 1(1992),
Brush 12(1991),Brush 2(1997)
O 2013
• Engine to replace Engine 2(1993)
-MI
Questions
8
Overview of the Insurance Services Office(ISO),
The ISO is a private organization that is subscribed to by some insurance companies.
These companies use the data collected by ISO as part of a determination for insurance
rates they charge their customers (mostly commercial policies). The ISO audits local fire
departments every ten years or as requested by a department.
Farmington Fire requested an adjustment(mini audit) in 2006 when we opened Fire
Station 2. This earned some credit for us because we put a fire engine within a developed
area where there was substandard coverage prior to 2006. This maintained our hydrant
coverage area as a 5 rating.
ISO ratings are a measurement of a fire departments capability. There are two main areas
they look at when determining the rating, water supply and fire department operations.
Each area gets assigned a rating number then averages of the two numbers become the
city's rating. A scale of 1 thni 10 is used with one being the best. In Farmington our
water supply is rated a 3 and fire operations is rated a 7. That makes our rating a 5.
On the fire operations side they examine several things to determine our rating. Here is
an overview in order of importance for the ISO rating schedule:
• Pumping Capacity. We currently do not meet the required 3500 gallons per min
for our buildings in the response area.
• Engines, Ladder Trucks, Support Vehicles. This includes all the equipment and
tools on the trucks.
• Mutual Aid and Automatic Aid Agreements. More credit is given to auto-aid
agreements. We currently have some in place and working on more.
• Training. All of our training hours need to be documented to prove that we
remain proficient at structure firefighting.
• Pump, Ladder, Hose Testing. To assure our equipment is in good repair.
• Inspection and Prevention. This is proven to lower the frequency and severity of
incidents.
• Communication. We share communication services through the Dakota
Communications Center.
• Preplan and On Site Tours. Site familiarization for firefighters on complicated
buildings.
The ISO can be a tool that we can look at when planning for the future of the department.
There are several other tools that we use such as National Fire Protection Association
Standards,National Preparedness Guidelines and best practices in the industry. ISO data
can help us identify risks in our community and give us information on hazard analysis.
Their data is a useful tool in planning and budget justifications for fire expenditures.
When ISO changes a rating it translates into a cost savings or cost increase to policy
holders that have property in the jurisdiction. This cost can be hard to determine as there
are so many other variables that different insurance providers use. It is also a sliding
scale for some insurers. For those insurance companies,the step between 3 and 4 makes
less financial difference then is moving from a 6 to a 7. It is hard to determine actual
dollar savings across the board.
�o�FARMiyCity of Farmington
Ni'z 430 Third Street
, 1 Farmington, Minnesota
%-4W4111,c4s 651.280.6800•Fax 651.280.6899
4sr•a rxov0
www.ci.farmington.mn.us
TO: Mayor, Councilmembers, City Administrator
FROM: Kevin Schorzman,P.E., City Engineer
SUBJECT: Developer Assessments for 195th Street
DATE: February 13, 2012
INTRODUCTION
Based on the original PUD agreement for the Fairhill development,the developer's assessment
for their portion of the project costs is scheduled to begin in 2013. In 2011,the developer sold
the northern half of the subject property, and Council approved the new owners becoming a party
to the PUD agreement. The developer retained development rights over the entire property. As
part of that sale,the developer is also responsible for the entire amount of the assessment for the
195th Street Project. Because of this fact,the developer has approached the City and asked that
the entire assessment be placed over the southern property that they still own, rather than
spreading it across both the northern and southern properties since they are responsible for the
entire assessment either way.
HISTORY
• June 2, 2008: The City and Astra Genstar Partnership enter into the original PUD
contract for the development of the Fairhill site in northeast
Farmington. Part of this agreement detailed the developer's
contribution to the 195th Street Project.
• June 2, 2008: The City awards the contract for the 195th Street Project.
• Fall of 2009: The 195th Street project is open to traffic.
• May 2, 2011: An amendment was approved that incorporated a new owner of the
north half of the subject property into the PUD contract.
PROJECT FINANCING
Based on agreements with the developer and Dakota County, the City sold bonds to finance the
initial construction of the project, and the developer and the County agreed to reimburse the City
for their portion of the project costs over time. The County was to pay first, and then the
developer was to have their portion of the costs assessed against the property beginning in 2013
for a period of 11 years. As additional security to ensure that the assessments are paid, the PUD
agreement provides a mechanism for the City to take possession of the land and dispose of it to
satisfy obligations should the developer not pay the assessments.
Developer Assessments for 195`h Street
February 13, 2012
Page 2 of 3
The County has fully satisfied their obligations for reimbursement. It is now time to put the
assessments in place to satisfy the developer's financial obligations for the project. To that end,
the developer has requested that the entire amount of the $4,632,010 assessment be levied
against the southern portion of the subject property that is still owned by the developer. Staff has
reviewed this proposal and believes that there is adequate security in place to allow the
assessment of the entire amount across the southern portion of the subject property.
In late fall of 2011, the City enlisted the services of an independent appraiser to determine the
value of the land should the City have to take possession of it and dispose of it to satisfy the
developer's financial obligations to the project. The appraisal was a "blind" appraisal as no
information was shared with the appraiser as to the magnitude of the assessment, or the amount
of money needed to secure the assessment. The developer reimbursed the City for the cost of the
appraisal, but had no interaction with the appraiser during the appraisal process.
Because of the nature of this "blind" appraisal, staff feels confident that the results of the
appraisal are a very conservative estimate of the value of the property. The independent "blind"
appraisal values the property at $5,700,000.
FACTS TO CONSIDER
• The developer's outstanding obligation to the City related to the 195th Street Project
costs is $4,632,010.
• The"blind" appraisal valued the land at $5,700,000.
• An appraisal conducted by CB Richard Ellis on behalf of Wells Fargo in June of
2011, valued the property at $10,000,000
• The land provides an excess security for the assessment of over$1,000,000.
• The developer has paid all bills presented in association with this project and the
roundabout project.
• The developer has already deeded the parkland for the development to the City.
• The developer has a history of completing successful developments within the City of
Farmington.
• The developer gave (for no compensation) the City the necessary easements for the
Pilot Knob Trail project.
Developer Assessments for 195th Street
February 13, 2012
Page 3 of 3
RECOMMENDATION
The following recommendation will have the net effect of increasing the $1 million excess
security listed above to $1.5 million. Based on the above-mentioned facts, staff recommends
that Council consider the following arrangement for the assessment of project costs related to the
195th Street Project:
• The developer be required to pay the City $441,144 from the assessment escrow
being held from the sale of the northern property within 45 days of approval of the
assessment(anticipated to happen at the March 19, 2012, City Council meeting).
• The City assess the remaining $4,190,866 against the southern property still owned
by the developer beginning in 2014 for a period of 10 years at an interest rate of
3.786%