HomeMy WebLinkAbout10/25/1993 AGENDA
JOINT COMMITTEES OF THE WHOLE
ISD 720
SHAKOPEE CITY COUNCIL
Shakopee City Hall
129 Holmes Street
October 25, 1993
6:00 P.M.
1. Roll Call
2. Approval of Agenda
3. Approval of minutes of June 23, July 27, August Il and 25, 1993
4. Future Shakopee Development Patterns
5. Tax Issues
6. Mutual Lobbying Efforts
7. Sidewalk Construction
8. Community Center
9. Baseball Fields
10. Other Business
a]
b]
11. Adjourn
Dennis R. Kraft
City Administrator
OFFICIAL PROCEEDINGS OF THE SHAKOPEE CITY COUNCIL
COMMITTEE OF THE WHOLE SHAKOPEE, MINNESOTA JUNE 23 , 1993
Dennis R. Kraft, City Administrator opened the meeting at 7 :42 P.M.
with Councilmembers Sweeney, Lynch, Beard, Vierling, and Mayor
Laurent present . Also present : Lindberg Ekola, City Planner;
Barry Stock, Ass' t . City Administrator; , Gregg Voxland, Finance
Director; Pete Ries, Fire Chief; Mark Huge, Fireman; Jerry Poole,
Deputy Chief of Police, Tom Steininger, Chief of Police; Karen
Marty, City Attorney; Dave Hutton, Public Works Director; and
Judith S. Cox, City Clerk.
Lynch/Vierling moved to approve the minutes of May 11th and June
2nd, 1993 . Motion carried unanimously.
Mr. Kraft recommended that discussion on the 1994 General Fund
Budget begin with discussing the levels of service desired, for
example, a community news letter, assistance to Murphy' s Landing.
After discussion City Council did not come to a consensus on a
community news letter and suggested that it be put on the list for
future discussion along with Murphy' s Landing.
In addition to salaries and benefits, Mr. Kraft stated that amounts
paid to consultants and independent contractors need to be
addressed in the budget hearing. It was acknowledged that budgets
prepared by staff have no across the board pay increases except
within the adopted pay plan, per earlier Council direction.
Mayor Laurent acknowledged that the tax levy was increased last
year. Cncl . Sweeney stated that his intent is that the non-debt
service tax levy remain constant so that in effect the ad valorum
tax growth is not greater than the additional tax capacity. He
stated that debt service is outside our control . He is not willing
to cut service in ' 94 to make up for structural debt service built
in. He stated that we would then have an ad valorum tax increase
which will cover the additional cost of debt service for ' 94
compared to ' 93 .
Cncl . Beard stated that services should be maintained and
increases, such as payroll come from the growth and valuation of
the town, ie : increase in property value and new construction.
Each department head then reviewed their proposed budget for 1994 .
The City Clerk stated that her proposed budget was the same as for
last year except for elections . She explained that her budget did
not include a new computer replacement, nor funds for additional
shelving in records storage . Mr. Kraft stated that there will be
funds available from the City Hall budget for the shelving. City
Council deferred all computer related items to the computer
committee which is being established.
Official Proceedings of the June 23 , 1993
Committee of the Whole Page -2-
Mr. Kraft stated that there was a hearing this week regarding
decertifying the new clerical/technical union and that no
discussions relating to salaries should take place at this time.
The Finance Director stated that his proposed budget is slightly
higher due to a step increase. He is budgeting $9, 500 for a
computer bridge. He mentioned that the county can now charge for
administration of special assessments and for hearing notice costs
associated with the budget . He is unaware if the county will be
making these charges to the City. He also reminded City Council of
the auditor' s report addressing departments renting equipment vs .
capital equipment purchases . The computer bridge and special
assessment software items were referred to the computer committee .
The City Attorney stated that her proposed budget is more than that
of 1993 due to the addition of a half-time attorney.
The Assistant City Administrator stated that the government
buildings division is the same as last year; and, that there is no
funding for major equipment failures, carpet cleaning (steam
cleaning) , or exterior upgrades. Cncl . Sweeney suggested that
dollars be set up for equipment failures and that they carry over
to the next years if unused. He suggested looking at the average
spent over the past ten years .
The Assistant City Administrator stated that the transit division
is a wash, it is totally funded through reimbursements from the
Regional Transit Board, and the building division has no increase .
He stated that the swimming pool division has no increase but
pointed out that the budget does include the funding that we had in
this years budget for major improvements . In order to keep the
1994 budget at the same level as 1993, he stated that he will
probably have to look at privatizing the concession area.
The Assistant City Administrator stated that there are no proposed
increases in the HRA budget . He noted that that is assuming that
there are no changes in policy direction. He explained that the
refuse/recycling division is funded by revenues collected; and,
that there are no funds for a Clean-Up Day in 1994 . He said that
there are grant funds available, however, from Scott County.
The City Planner stated that his budget includes an increase in
costs for the recording secretary and funds for an intern. He said
that his department will be providing the same services with the
same division amounts as in 1993 .
The Public Works Director explained that he did not include the
capital equipment purchases in his operating budgets . He stated
that he didn' t feel that it was fair to include capital equipment
purchases since he did have a $130, 000 road grader budgeted in 1994
which Council has since deleted.
Official Proceedings of the June 23 , 1993
Committee of the Whole Page -3-
Sweeney/Beard moved that the General Fund Budget Summary by
Division form be restructured to include for ' 91, ' 92, ' 93 , and ' 94
an operating column, an equipment column, and a total column.
Motion carried unanimously.
The Chief of Police explained his proposed budget for 1994 . He
stated that his budget was prepared with estimates using the 1993
budget which used 1991 wage scale. He stated that the 1992
contract was signed this year and that the 1993 contract has not
yet been signed. In putting the 1994 budget together, there is no
request for additional personnel . The bottom line is the 1994
budget is just under $40, 000 from the 1993 estimated budget . He
also stated that he would like to utilize Servicemaster of Shakopee
versus City custodians at an approximate cost saving of over
$4, 000 . Discussion followed with regards to the problem with
police salaries because of arbitrators . Chief Steininger stated
that rather than reducing personnel, he would prefer that City
Council give him a budget cap and that he be allowed to manage his
budget within that cap.
The Fire Chief stated that their proposed budget is the same as
last year: except, they would like to ask the City Council to
consider expanding the Fire Department by an additional three fire
fighters and to budget an additional $3 , 000 for a new furnace. He
stated that the maintenance budget proposed is the same as in 1993 .
Cncl . Sweeney stated that input is needed from Jackson and
Louisville Townships for the Fire Department budget and for the
Park and Recreation budget .
Recess between 10 : 27 P.M. and 10 :35 P.M.
The Public Works Director stated that the 1994 Engineering budget
is basically the same as the 1993 budget plus $14, 500 in capital
equipment for a truck which was approved a couple of meetings ago.
He went on to explain reductions in his budget to keep it at the
1993 level .
The Public Works Director stated that the street division budget
for 1994 is the same as for 1993 except for capital equipment and
explained changes in his proposed budget to keep it at the 1993
level . He stated that based on new information relating to the
utilities line item that he is not sure that he can reduce the line
item by $30, 000 but could go from $66 , 000 to $44 , 000 .
Discussion ensued on services performed by the Park Department .
The Public Works Director identified no budget increases for 1994 .
The proposed budget will be shared with the townships during the
next joint meeting.
Official Proceedings of the June 23 , 1993
Committee of the While Page -4-
The Public Works Director stated that there are no budget increases
proposed in 1994 for the shop division.
The Assistant City Administrator stated that the 1994 budget for
the recreation division is at the same level as last year. He went
on to explain items that aren' t included in the budget . It was
noted that the recreation division budget also needs to be
discussed at a meeting with the townships.
Cncl . Vierling asked where it is noted when departments receive
monetary gifts. She asked how City Council knows how much is
received and how it is used and how it could have been used to help
the budget . Discussion followed.
Vierling/Lynch moved that staff be directed to draft a policy for
Council consideration: noting, acknowledging and reporting on gifts
donated to the City. Motion carried unanimously.
Mr. Stock noted that nothing has been budgeted for an ice facility
and that the recent bond issue has been defeated, which would have
provided for an ice facility. He stated that Dave Kaufenberg and
Mark Pidde are present and would like to discuss that, maybe as a
possible item for inclusion in the 1994 budget .
Discussion followed with Dave and Mark on where to go and what to
do to provide an ice facility in Shakopee . It was noted that the
voters said "no" to a community center/ice facility. Consensus
among Councilmembers that, in light of the defeat of the bond
issue, they do not feel it is appropriate to spend tax dollars for
an ice facility.
Mayor Laurent adjourned the meeting at 11 :47 P.M.
J ,
J)Z i t h S . Cox
C±y Clerk
Recording Secretary
OFFICIAL PROCEEDINGS OF THE SHAKOPEE CITY COUNCIL
MEETING WITH JACKSON & LOUISVILLE TOWNSHIPS
COMMITTEE OF THE WHOLE SHAKOPEE, MINNESOTA JULY 27, 1993
Mayor Laurent called the meeting to order at 8 :30 PM with Cncl .
Lynch, Beard and Sweeney present . Cncl . Vierling was absent from
the meeting. Also present : Dennis R. Kraft, City Administrator;
Barry Stock, Asst City Administrator; Frank Ries, Fire Chief and
Dave Hutton, Public Works Director. Present from Jackson Township
were James Ramaker, Norbert Theis, Mark Lewis and Rose Menke.
Present from Louisville Township were Bill Dellwo, Marion Schmidt,
James Theis and Bill Tech. The joint meeting took place in the
Shakopee City Hall .
Bill Dellwo stated that the O'Dowd Park should be added to other
business for discussion about the islands, docks and dumping.
Chief Ries stated that the Fire Department is hiring through the
County and the townships can have people on the fire department as
long as they can be available during the day, he stated that there
is one person from Jackson Township currently on the fire crew.
The amounts of assessments were discussed for the fire truck. The
assessments would be ten percent of the cost, and it was stated
that the townships would always be a year behind. The townships
would be paying installments, in full or on a pro-rated five year
plan with interest . The 1993 assessed values would be used for
calculating the payment . The exact payment amount would be
calculated by the Finance Director and forwarded to the Townships
this fall . The rate of interest would be equal to what the City
would have to pay.
Chief Ries stated that in 1997 there would be a need for a
replacement of a fire truck. In 1995 and 1996 there would be plans
to build a new fire station. He stated that the Utility/Personnel
Vehicle is a four wheel drive suburban to get around in the winter
where the fire trucks can' t and to use it for medical
transportation purposes if needed.
Norbert Theis thanked the Fire Department for being there when
called and appearing sometimes when they weren' t called.
Mr. Stock stated that from the ' 93 budget to ' 94 budget it
increased by $800 . He asked the townships to consider budgeting a
specific dollar amount for recreation for three straight years
instead of having to recalculate the numbers every year. Mr. Stock
stated another option would be to use an inflationary increase
every year of about three or four percent .
Mr. Stock commented that the City was in the process of acquiring
the property south of the high school, which could possibly include
four additional ball fields . He stated that the concession stand
at the ball park is run by organizations that volunteer to r�n it .
Official Proceedings of the July 27, 1993
Shakopee City Council Page -2-
Marion Schmidt stated that she did not feel the townships should be
paying for the upkeep of the parks since they don' t use them that
often.
Rose Menke asked if Jackson Township residents paid a non-resident
fee of $3 . 00. Mr. Stock stated that Jackson and Louisville
residents do not pay the non-resident fee. The recreation
contribution paid. by Jackson and Louisville Townships covers that
cost.
Cncl. Sweeney stated that the budget does not include the
maintenance and lawn mowing of the parks those costs are within
the Public Works department .
Mr. Stock informed the townships that Recreation Dept . Employees
who are first responders must be given the opportunity to be
inoculated for Hepatitis B and AIDS by State mandate.
Mr. Stock stated that in January of 1994 City staff would
recalculate the number of Township residents utilizing City
recreation programs. These new figures would be transmitted to the
Township Chairpersons in late January so that the figures would be
available to the Townships in preparing their 1995 budgets . This
amount would be used for three years. (Township budget years 95,
96 and 97)
Norbert Theis commented that Jackson Township would agree to the
budget .
Mr. Hutton gave a brief presentation on the Chaska Interceptor
running from Chaska across Shakopee into the Prior Lake
Interceptor. He stated this would be for sanitary sewer. He
commented that Shakopee was not involved in the planning of this
but has been asked to pay for the flow from Shakopee and there
could be a time when Jackson township would be using it and
Shakopee would be asking them to contribute . It was stated that
the State won' t let the interceptor be built at the same time the
highway is being done.
Mr. Hutton stated that two retention ponds are being built along
the bypass which is part of the comprehensive storm water plan.
Mr. Hutton stated that Shakopee Bypass will serve Shakopee, Chaska
and Chanhassen. The bypass has been delayed due to funding for
about six months .
Mr. Hutton commented that the upper valley drainage way will be
extended to west of Tahpah Park. The contract signing by the
ccntractors will be on Friday and should be underway soon.
Official Proceedings of the July 27, 1993
Shakopee City Council Page -3-
Norbert Theis stated that he would like a copy of the plans for the
drainage way.
Mr. Hutton stated that the VIP Trunk Sewer is in the same area of
the Drainage Way going from Highway 79 to Tahpah Park. He
commented that the City has sent in a permit request to the PCA.
This project will be started about a month after the drainage way
project is completed.
Norbert Theis commented that if development would be taking place
in the future Jackson township would consider annexation with the
exception of the P & V Addition. He stated that he would like to
get together with the Council to meet on that issue at a later
date.
Discussion was held on a past annexation agreement that was sent to
Jackson township by Shakopee. It was decided to have another
meeting to discuss this issue .
Mr. Hutton commented that the downtown bridge would be opening on
November 12th.
Discussion was held on Highway 41 development and how it related to
R & R Marine.
Mr. Stock commented that the islands in O' Dowd Lake being referred
to are owned by the City. The City obtained them from the Federal
Department of Interior.
Bill Dellwo commented on the dumping and asked if the City could
impose a fine and add that to the sign or possibly putting up a
gate at 10 : 00 to close the park.
Mayor Laurent commented that this item would be brought to the
attention of the Police Chief.
Norbert Theis informed Council that a golf course maybe put in
across from Highway 51 .
Mr. Hutton gave an update on the reformatory building a "moat"
around certain buildings Of the prison. This mote is going to be
used for storm drainage .
Mayor Laurent adjourned the meeting at 10 : 03 PM.l
Jpdith
Ci am`, Clerk
Debra Zabel
Recording Secretary
OFFICIAL PROCEEDINGS OF THE SHAKOPEE CITY COUNCIL
MEETING WITH MURPHY'S LANDING
COMMITTEE OF THE WHOLE SHAKOPEE, MINNESOTA AUGUST 11, 1993
Mayor Laurent called the meeting to order at 7 : 00 PM with Cncl .
Vierling and Sweeney present, Cncl . Beard and Lynch arrived later.
Also present : Dennis Kraft, City Administrator; Karen Marty, City
Attorney and Gregg Voxland, Finance Director.
COUNTY COMMISSIONERS:
Dick Underferth
Ray Foslid
Ed Mackie
Ralph Malz
Cliff McCann, County Administrator
Barb Ness, Acting Deputy County Administrator
MURPHY'S LANDING:
Dr. Roland Pistulka, Boardmember
Gerry Barker, Director
Loren Gross, Boardmember
Bob Bohrer, Boardmember
Bob Gasch, Boardmember
Shirley Bruers, City of Chaska Historical Association
Vierling/Sweeney moved to table the approval of the Minutes of July
27th until the next meeting for lack of Councilmembers to vote.
Mr. Kraft gave a presentation of the memos to the Council and
described the City Codes, building upkeep, tenants, smoke
detectors, Federal withholding taxes and cost of Murphy' s Landing
staying open and the costs if they were to close .
Cncl . Lynch arrived at this time.
Dr. Pistulka gave a brief description of what he thought Murphy' s
Landing stood for and addressed their need for help to maintain the
business at Murphy' s Landing. He commented that they had been
approaching people to help with fund raisers and surrounding cities
for funds .
Cncl . Beard arrived at this time .
Dr. Pistulka commented on the things he would like to see happen
with Murphy' s Landing and what they needed to keep running, as far
as computers, office management, grants, etc. He stated that they
have lost large contributors and professional fund raisers .
Mr. Barker talked about the audit and how the flood has decreased
attendance substantially.
Official Proceedings of the August 11, 1993
Shakopee City Council Page -2-
Mr. Gasch stated that there will be four new boardmembers by the
end of August, they had contacted non-profit organizations to get
resources, but some of these options have stopped for lack of
funds .
Mr. Barker commented to a question by Mr. Underferth that last year
there were 200 volunteers who put in 12, 000 hours.
Mr. Underferth stated that he would like to see a specific business
plan of what Murphy' s Landing wants and needs .
Mr. Barker commented that since he did not know the amount of
assets he was working with he could not create a business plan. He
stated that he would like to see advertising increased.
Mr Gasch commented that the Board needed to know what the County
and the City could contribute before they could make a business
plan to decide what to ask for.
Cncl . Vierling asked whether filing bankruptcy would be an option
to reorganize.
Mr. Gross stated that would be an option, but if they were to close
Murphy' s Landing then why waste the last funds they have to file
bankruptcy. He also stated that a reorganization type of
bankruptcy is very expensive.
Mr. McCann asked how Murphy' s Landing would be able to repay a loan
if granted one by the county. He also questioned whether the
property and equipment value on Form 909 of $2, 465, 953 was cost
basis or depreciated.
Mr. Barker stated that the amount of property and equipment was not
updated for the audit and that value estimate may not be correct .
Mr. McCann asked what would happen to the building and land if
Murphy' s Landing were to close .
Cncl . Sweeney commented that the City would obtain the property and
the buildings .
Mr. Barker discussed some of the loans they looked into and also
membership dues, grants, and donations, to make up for 50 percent
of the upkeep. He stated that the preservation of the buildings
was a top priority.
Mr. McCann commented on the deferred maintenance of the buildings
and whether the buildings were in need of repairs .
Mr. Barker stated that most of the buildings are in pretty good
shape, no major problems with the exception of the septic system.
Official Proceedings of the August 11, 1993
Shakopee City Council Page -3-
Mr. Bohrer commented that Murphy' s Landing needs new boardmembers,
IMS grant and to get out of the amateur league.
Cncl . Sweeney stated that he was concerned about the trust
accounts, specifically the handling of the United States
government' s money and State of Minnesota' s money. He commented
that Council did not have a financial and detailed idea of the
status of Murphy' s Landing.
Mr. Kraft commented that he receives periodic reports of the
standing of Murphy' s Landing.
Mr. Barker commented that they've lost about $50, 000 a year since
1990 as stated by the audit studies . He stated that since Mr.
Stans quit contributing and the City of Shakopee stopped its flow
of money that has hurt them substantially.
Mr. Underferth asked about the $31, 000 owed to the IRS.
Dr. Pistulka commented that those reports were only received in
July and that' s why they are at this meeting to ask for help.
Mr. Underferth stated that if Murphy' s Landing was going to go
bankrupt, then do it now instead of wasting money on loans and
grants to maintain the facility.
Cncl . Beard questioned further about the payments not being made to
the IRS and whether there was some absconding taking place.
Mr. Barker explained that no money was taken. The computer showed
the money being paid, but in actuality it was not being deposited.
Cncl . Beard commented on the utilities being shut off on August
16th.
Mr. Barker stated that since attendance has picked up, he thought
they could afford to keep the utilities .
Dr. Pistulka commented that they need to know what they' re going to
receive from the County and the City in order to make a plan.
Shirley Bruers gave a presentation on Chaska' s historical sites and
how they maintain their program and buildings . She stated that
they have a lot of public and City support, donations and
contributions . She handed out brochures of their program. She
stated that the Carver County Historical Society basically got them
started and they charged dues for admission to pay a percentage
back to Carver County. She stated that City of Chaska has helped
with $35, 000 in a five year capital improvement fund. She stated
they make reports to the City Council semi-annually. Ms . Bruers
stated that Murphy' s Landing should contact local groups, such as
Official Proceedings of the August 11, 1993
Shakopee City Council Page -4-
VFW, Lions and Fire Department .
Mr. Foslid stated that he would like to see Murphy' s Landing
preserved and maintained.
Cncl . Lynch stated that she would like to see Murphy' s Landing stay
open and wanted to know what could be done about the infra-
structure. She commented on granting a loan from the HRA.
Mayor Laurent suggested if there was a loan have it spread out over
a period of time and have conditions of progress so the City could
see what was taking place.
Cncl . Beard commented on actions he supported to give to Murphy' s
Landing, such as sewage system infra-structure, garbage and trash
pickup, annual audit, and possibly helping in terms of the
insurance.
Mr. Gasch stated that they would be willing to make monthly reports
to the Council and commented that the meetings are open to the
public .
Mr. Underferth asked what the total figure is that Murphy' s Landing
needed for debts including the sewer system, electrical transformer
and office manager costs .
Mr. Gasch explained that the $80, 000 is only debt . The sewer
system and transformer are things that are needed, but they have
not been charged for at this time. He suggested an amount of
$150, 000 to help maintain the site .
Mr. Underferth suggested that the Board take the $150, 000 and
devise a plan of what will be done with the money, present it to
the County and the City staffs to review and then have another
meeting to discuss possibilities . He stated that the County would
probably be helping only in out right dollar amounts .
Mr. Barker stated that Marquette Bank would be writing a
professional business plan of their material .
Mayor Laurent commented that the City would be able to help out
with the infra-structure types of things rather than a dollar
amount .
Mr. Gasch stated that the penalties from the IRS are negotiable and
they would need to discuss plans with them.
Dr. Pistulka suggested a two week time limit to get all the paper
work to the City and County.
Official Proceedings of the August 11, 1993
Shakopee City Council Page -5-
Mr. Gross explained that the September closing date is self-imposed
and can be changed if needed.
Mayor Laurent adjourned the Committee of the Whole Meeting at 9 : 50
PM.
dith S. Cox
ity Clerk
Debra Zabel
Recording Secretary
OFFICIAL PROCEEDINGS OF THE SHAKOPEE CITY COUNCIL
COMMITTEE OF THE WHOLE SHAKOPEE, MINNESOTA AUGUST 25, 1993
Mayor Gary Laurent called the meeting to order at 5 : 30 P.M. with
Councilmembers Gloria Vierling, Mike Beard and Robert Sweeney
present . Councilmember Joan Lynch arrived at 7 : 05 P.M. Also
present : Dennis R. Kraft, City Administrator; Barry Stock, Ass' t
City Administrator; Pat McDermott, Ass' t . City Attorney; Judith S.
Cox, City Clerk; Gregg Voxland, Finance Director; Tom Steininger,
Chief of Police; Frank Ries, Fire Chief; Dave Hutton, Public Works
Director; and Lindberg Ekola, City Planner.
The City Administrator advised that if necessary decisions on the
budget can be made tonight, that final actions will be prepared for
Council consideration on September 7th. He stated that the City
must certify the amount to be levied in 1994 to the County Auditor
by September 15th. He explained that the proposed budget is
essentially balanced with only about $30, 000 behind projected
income . He explained that $542, 000 will need to be transferred
from the 1993 budget to the 1994 budget for the fire apparatus
which will not be delivered until 1994 .
After discussion, consensus of councilmembers to meet on September
2nd at 8 :30 A.M. to adopt the budget resolution.
Mr. Voxland reviewed the changes made to the Five Year Capital
Equipment List as a result of earlier Council direction.
Discussion ensued on whether or not to budget for a new or used
suburban for the fire department . Consensus to move on with budget
discussion and come back to the suburban later and see if there are
funds available .
Sweeney/Vierling moved to recommend to City Council that a park
tractor (without sweeper) be added and that we get rid of the two
Ford 1710 utility tractors . Motion carried unanimously. (Does not
include dollars for a sweeper. )
Discussion ensued on whether or not to replace the City' s
underground fuel storage tanks .
Sweeney/Vierling moved to recommend to City Council that staff be
directed to prepare specifications and obtain bids for the
replacement of the City' s underground storage tanks with above
ground vaulted tanks with an option for double walled tanks .
Motion carried unanimously.
Consensus among Councilmembers to prepare the Housing and
Redevelopment Authority budget as presented.
The City Administrator was asked to contact the County
Administrator to explore options available to work with the County
H.R.A.
•
Official Proceedings of the August 25, 1993
Committee of the Whole Page -2-
Consensus among Councilmembers to set the 1994 tax levy and budget
hearing dates for December 8th, and if necessary set second date
for December 15th.
Discussion ensued on the Finance Director' s recommendation to
cancel three debt service tax levies (1986A, 1987A, and 1988A
Improvement Bonds) ; and to call the 1982A and 1985A Improvement
Bond Issues.
Sweeney/Beard moved to recommend to City Council to levy for the
full group of levy for debt service in the amount of $270, 682 . 00 .
Motion carried with Cncl . Vierling opposed.
Sweeney/Beard moved to recommend to City Council that staff be
directed to take appropriate steps to call the 1982A and 1985A
Improvement Bond Issues on 2/1/94 . Motion carried unanimously.
Mr. Voxland advised City Council that there were $1, 728, 205 in the
1/1/94 General Fund fund balance and after subtracting the usual
15% target of the budget, there is a balance of $831, 583 . After
subtracting the transfer of $202, 676 to various debt service funds,
which transfer has not yet been made, there is a balance of
$628, 907 . He explained that this can be used for any legal
purpose. Discussion followed.
Sweeney/Vierling moved to recommend to City Council that $628, 907
be transferred from the General Fund fund balance to the Capital
Equipment Fund. Motion carried unanimously.
Mr. Voxland advised City Council that, after consulting with the
Chief Deputy County Assessor, there is tax base growth due to new
construction that would support an estimate tax levy increase of
$72, 087 . 00 . He further explained how the revised debt service
amount, HACA, and fiscal disparities distribution projections would
affect the proposed budget . He explained that the proposed 1994
budget contains $30, 000 more expenditures than revenues .
Mr. Ekola explained changes made in the planning division budget
which increased funds in personnel and decreased funds in long
range planning and supplies . He said that the $60, 000 originally
budgeted for long range planning studies has been reduced to
$45, 000 . He emphasized the importance of the studies and asked
that if additional funds can be found that they be made available
for the studies identified by the Planning Department for 1994 .
Councilmember Lynch arrived at took her seat .
Discussion followed on whether or not to fund some of the planning
division studies out of the capital improvement fund, especially
the Downtown Plan Update .
Official Proceedings of the August 25, 1993
Committee of the Whole Page -3-
Sweeney/Vierling moved to recommend to City Council that staff be
directed to determine if the cost for the Downtown Plan Update is
a legal expenditure from the capital improvement fund and if so to
budget for it . Motion carried unanimously.
Mr. Stock identified items not included in his budget and presented
firmer cost figures . He asked City Council to consider whether or
not to include them in the 1994 budget.
Consensus to increase the building maintenance line item by $1, 000
for carpet cleaning at City Hall .
Consensus to fund $2, 000 to acid treat City Hall boiler out of the
City Hall budget .
Vierling/Sweeney moved to recommend to City Council that $1, 300 be
taken from the 1993 contingency to make repairs to the Community
Youth Building basement due to flooding. Motion carried
unanimously.
Mr. Stock stated that the Park and Recreation Advisory Board
recommended remodeling and staffing the puppet wagon. Discussion
followed on staffing.
Sweeney/Vierling recommended to City Council that staff investigate
with the School District the possibility of staffing the puppet
wagon as a possible student experience . Motion carried
unanimously.
Mr. Stock stated that the Park and Recreation Advisory Board
recommended funding for future park planning needs, a comprehensive
development plan. He recommended that there be funds budgeted for
at least developing a plan for Huber Park. Discussion followed on
possible funding sources . Consensus to tie the plan to the
Planning Department Downtown Plan Update and appropriate an
additional $5, 000 from the capital improvement fund, if a legal
expenditure .
Mayor Laurent recessed the meeting for 10 minutes at 7 :36 P.M.
Discussion ensued on funding for satellites at the ball fields .
Consensus to increase the professional service line item of the
recreation division by $1, 800 ; and, that there will be no
reimbursement to the Shakopee Youth Baseball/Softball Association
for 1993 costs .
Discussion ensued on expanding ice and skating rink hours to
include weekday evenings at Lion' s, Scenic' s and Stan' s Parks .
Consensus to support Park and Recreation Advisory Board' s
recommendation and increase the temporary salaries line item of the
recreation division by $1, 700 .
Official Proceedings of the August 25, 1993
Committee of the Whole Page -4-
Vierling/Beard moved to recommend to City Council to provide
cellular phones for 911 calls only at the most economical way for
emergency purposes . Motion carried unanimously.
Discussion ensued on the purchase of computers for the recreation
division. Consensus to utilize recycled down computers from other
departments who will be purchasing new computers .
Vierling/Beard moved to recommend to City Council increasing the
Community Development Community Program - Planning Division by
$10, 000 for a City newsletter. Motion carried with Cncl . Sweeney
opposed.
Sweeney/Vierling moved to recommend to City Council increasing the
City Clerk' s personnel services budget by $2, 500 . Motion carried
unanimously.
Mayor Laurent mentioned that there are no dollars budgeted in 1994
for Murphy' s Landing. Mr. Hutton explained the options for
correcting the defective lift station at Murphy' s Landing based on
recently obtained quotes. Mr. Hutton was directed to research the
possibility of connecting to the Memorial Park restrooms .
Discussion resumed on budgeting for a suburban for the fire
department .
Vierling/Sweeney moved to recommend to City Council the purchase of
a basic suburban for the fire department in 1994 . Motion carried
unanimously.
Consensus to budget $600 . 00 for the most efficient emergency
communication at the skating rink warming houses .
Sweeney/Lynch recommended to City Council that staff be directed to
implement an increase of the sanitary sewer rates in 1994 by $ . 50
per month and by $ . 16 per 1, 000 gallons of flow. Motion carried
unanimously.
Mr. Voxland stated that there are no changes to the storm drainage
rates proposed at this time . He explained that the City will be
converting to a new billing structure in the future and that he has
budgeted for a stuffer. He will come back to Council when the
purchase is needed.
Regarding agenda item 9 - Internal Service Fund, there was no
discussion. Mayor Laurent acknowledged an earlier Council
consensus not to establish an internal service fund which would be
funded by departments renting equipment from it .
Mr. Voxland stated that the 1994 proposed budget now has a deficit
balance of $47, 000 as a result of actions taken tonight .
Official Proceedings of the August 25, 1993
Committee of the Whole Page -5-
Consensus of the Councilmembers was to carry the deficit balance
because expenditures historically fall below the level budgeted.
Sweeney/Beard moved to adjourn. Motion carried unanimously.
Meeting adjourned at 8 :47 P.M.
Edith S. Cox
ity Clerk
Recording Secretary
FORECAST COMPARISONS
POPULATION, HOUSEHOLD, EMPLOYMENT
1980 -2020
City of Shakopee, Minnesota
POPULATION 1980 1990 2000 2010 2020
1990 Comp Plan 9,941 12,750 16,680 20,000 NA
Pre-1990 Met Council - 9,941 12,500 13,900 15,000 NA
Post 1990 Met Council 9,941 11,739* 16,800 22,100 29,500
HOUSEHOLDS
1990 Comp Plan 3,226 4,390 5,880 7,575 NA
Pre-1990 Met Council 3,226 4,300 4,900 5,700 NA
Post 1990 Met Council 3,226 4,163" 6,150 8,650 12,300
EMPLOYMENT
1990 Comp Plan NA 8,440 10,900 14,000 NA
Pre-1990 Met Council NA 8,000 10,000 12,500 NA
Post 1990 Met Council NA 8,500 11,700 13,600 14,100
* Reflects 1990 US Census data.
Houses Don't Pay Taxes - People Do!
Data Source: Minnesota Department of Revenue
1. Outstate taxpayers with the same annual incomes as metro
taxpayers pay less in property taxes.
Income Average net tax paid by homeowner
$20,000-30,000 Metro $ 897 Outstate $ 439
AVG NET PROPERTY TAX PAID BY HOMEOWNER
$4,000-'
$3,500-'
Q $3,000-''
C-
w $2,500-'
x _
tQ- $2,000-,"
•
Z $1,500-' _
Q $1,000 — r
Ir
$0
$20M $30M $40M $50M $75M $100M +
ANNUAL INCOME
OUT-STATE MN METRO
2. Market values of property do not accurately reflect a citizen's
ability to pay property taxes.
Avg. net tax paid Annual income Location
$ 897 S 20,000- 30,000 Metro
767 50,000- 75,000 Outstate
3. Even though outstate taxpayers pay less in property
taxes at each income level, their communities receive more
state aids.
Annual income Estimated state aids for an average home
$ 20,000-30,000 Metro $ 642 Outstate $ 889
EST. AID PAID BY STATE FOR AVG. PARCEL
$2,500-'
0,
w $2,000
} 0•-
$1,500-'
Q $1,000
w
$500
$0
$20M $30M $40M $50M $75M $100M +
ANNUAL INCOME
OUT-STATE 1.111 METRO
4. The Minnesota property tax system places an unfair burden on
taxpayers who live in the metropolitan area.
Annual Income $ 20,000-30,000
Net taxes paid after state aids
Metro $ 591-3,261
Outstate 73 -608
Key Points
Data from the Minnesota Department of Revenue
• The average outstate Minnesotan making $20,000-30,000 a
year pays one half of the property taxes of a metropolitan
resident with the same income.
• Metro area taxpayers making $20,000-30,000 a year pay
more in property taxes than outstate taxpayers making
$50,000-75,000 a year.
• The state pays 1/4 to 1/3 more state aids (homestead credits,
school aids, agriculture aids, local government aids, etc.) for
outstate residents than for metro taxpayers in every income
bracket.
• If outstate homeowners paid the same percentages of their
incomes as metro residents, their cities and school districts
would have at least $117,000,000 more in revenue. That
would be equity.
Distributed by the Association of Metropolitan School Districts