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ARDEN HILLS CITY COUNCIL WORK SESSION—OCTOBER 15, 2012 6 Discussion continued regarding the eleven projects outlined in the 2013 —2032 Street CIP. Council consensus was to move the Glenview neighborhood PMP from the year 2020 to 2015, with the assumption of a street reclamation versus a total reconstruction, which will reduce the total cost by roughly $800,000. Additionally, roughly $600,000 can come out of the B2 district project, and the costs associated with the County Road E bridge over TH 51 project can be spread out into future years. City Administrator Klaers stated that as the TCAAP project and the Joint Powers Agreement move forward, the City will likely need upfront money for the Alternative Urban Areawide Review(AUAR). The only source for that money is the PIR Fund. City Administrator Klaers suggested thinking about a franchise fee on gas and electric utilities. He stated that there are advantages to imposing a franchise fee, such as being able to generate revenue from tax exempt properties. Mounds View and New Brighton are two neighboring cities who have implemented a franchise fee. He noted that while franchise fees can be a political topic, they can be a big source of income. Typically, some of the revenue from franchise fees goes toward street projects. Councilmember Holden stated that some organizations are interested in offering a one-time donation(i.e. buying a fire truck) versus the long-term commitment of a franchise fee. City Administrator Klaers stated that franchise fees could be a more dependable revenue source. Council consensus was to discuss franchise fees after the first of the year. Public Works Director Maurer inquired if the Council is interested in having staff apply for a MCES grant for a half million dollars for inflow and infiltration reduction. If the Council would like staff to submit the application, staff will need to put something on the next agenda for approval. In his opinion, he would like to apply for the grant, and if awarded and unwanted, the City can always turn it down. The Council directed staff to bring it to the next Council meeting for consideration. E. Gateway Sign Update City Planner Beekman stated that at the last City Council meeting in September, Council gave staff direction to stop efforts regarding the installation of the Gateway sign at the corner of Lexington Avenue and County Road E. There were concerns regarding the placement of the sign at that particular location and staff was directed to research alternative sign locations. City Planner Beekman noted that she contacted representatives of Arden Plaza (they are paying for a portion of the Gateway sign) to ensure that they were agreeable to the sign potentially being located somewhere other than the corner of Lexington Avenue and County Road E. She confirmed that Arden Plaza approved of the Gateway sign being installed in whatever location works best.