The Rochester City Council held a study session on September 16, 2024, beginning at 3:30 p.m. in the Government Center Council Chamber. Council Members Molly Dennis and Kelly Rae Kirkpatrick arrived at 3:32 p.m. The session covered four presentation items: an update on the historic Clock Tower, the yearly Unified Development Code (UDC) cleanup, Rochester Public Utilities (RPU) Power Supply Resource Plan, and the upcoming study session schedule. No formal votes were taken; the session was informational and preparatory for future council actions. Clock Tower Update - Presenter: Fire Chief Eric Kerska, speaking as a board member of the nonprofit "Bring Back the Clock Tower." He clarified the project is not a city project but a public-private partnership. - History: The clock was originally installed in 1899, moved multiple times, and has been in storage since the civic center expansion. The current tower is being built in phases on First Avenue and Fourth Street Southwest. - Finances: $448,000 raised to date, $261,000 spent, leaving a balance under $200,000. Construction costs have increased by over $200,000 due to inflation. Labor unions have donated over $38,000 in cash and materials, with verbal pledges for future phases. A $100,000 pledge from Alan Calavano was matched by the community. - Challenges: Rising costs and coordination with other downtown projects (Sixth Street bridge, Unbound, Broadway expansion). The clock will be mechanically operated, not computerized, to ensure reliability. - Next Steps: The nonprofit continues fundraising and working with the city to align the project with other construction. The goal is to donate the completed tower to the city along with a maintenance fund. Unified Development Code (UDC) Yearly Clean-Up Update - Presenters: Community Development Director Irene Woodward, Planning Supervisor Ed Caples, and Urban Design and Heritage Preservation Coordinator Molly Patterson-Lungren. - Themes: Consistency across the document, clarity and typo fixes, and new items. Specific changes include: - Increasing a setback by 5 feet to match buffer yard requirements. - Reducing parking garage drive aisle length from 20 to 18 feet. - Updating access spacing standards, sidewalk widths, and landscaping. - Clarifying use-specific standards, UDC references, and the definition of "school." - Heritage preservation overlay: aligning with Secretary of Interior standards and redefining the historic inventory list as a work plan. - New items: adding definition of air transportation, permitting lot line readjustments in all zoning districts, allowing stacking of parking reductions, restricting barbed and energized fences to industrial and government districts, and permitting recreational uses in MXT and MXD zones. - Process: Staff collected input over 12 months. The changes will go through public hearings at the Planning Commission and Heritage Preservation Commission before final council adoption. Council members requested advance access to the detailed text amendments and summary documents. - Council Questions: Concerns about utility coordination for lot line readjustments, agricultural fencing exemptions, and the absence of bird-safe glass provisions. Staff noted that bird-safe glass is not currently in the UDC but could be considered in future updates. Rochester Public Utilities Power Supply Resource Plan - Presenters: RPU General Manager Tim McCollough and Director of Power Resources Bill Bullock. - Context: RPU's contract with Southern Minnesota Municipal Power Agency (SMMPA) ends March 2030. The utility must replace 216 MW of capacity from Sherco 3 coal plant and meet the community's goal of 100% net renewable electricity by 2030. - Proposed Resource Mix: - 350 MW of wind (likely via power purchase agreements) - 50 MW of solar - 3 MW of existing hydro - 100 MW (400 MWh) of battery storage - Natural gas peaking plant (firm dispatchable generation, capable of dual-fuel operation) - Continued demand response and conservation programs (already avoided building 50 MW of generation since 2006) - Costs: Total investment estimated at $1.2 billion. Preferred scenario (Scenario 2) uses PPAs for wind to keep rate increases below inflation. RPU will own the solar, battery, and combustion turbine, taking advantage of Inflation Reduction Act tax credits. The 2025 RPU budget includes initial down payments and procurement activities. - Timeline: Interconnection application for the new peaking plant filed. Requests for information to be issued soon. Major borrowing ($300–$400 million) expected in 2027–2028. Debt service on Sherco 3 will roll off in mid-2026, providing wholesale rate relief. - Reliability: RPU commits to maintaining 99.997% reliability. The plan includes capacity accreditation for all seasons, addressing wind droughts and winter peak demands. - Council Discussion: Questions about rate impacts, technology risks (battery costs, natural gas price volatility), hydrogen blending potential, and partnerships with other utilities. Council members expressed support for the utility's direction while emphasizing affordability and reliability. Study Session Schedule - Presenter: City Administrator Alison Zelms. - Next Session: September 30, 2024, topics include legislative session recap, an update on the Supporting Transformation projects (phasing and layering), and a sales tax update. Key Outcomes - No formal votes were taken. - The council received the Clock Tower update and will continue to monitor fundraising and construction coordination. - The UDC text amendments will proceed to public hearings at the Planning Commission and Heritage Preservation Commission; staff will provide council with advance text and summaries. - RPU will proceed with its power supply plan, including the 2025 budget request, interconnection application, and procurement activities. The council will consider the RPU budget later this year. - The next study session is scheduled for September 30, 2024, at 3:30 p.m.
