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LAKE ELMO CITY COUNCIL MINUTES FEBRUARY 21, 1991 PAGE 6 importance on the Parks and Recreation for the City. The Parks Commission, unanimously, recommended a separate Parks and Recreation Dept. be instituted for the City. M/No Second Dick Johnson/No Second - to direct the City Administrator to establish a separate Parks & Recreation Dept. with a supervisor that will report directly to the City Administrator. In order for them to make a decision, the Council asked for the following information: --to direct the City Administrator to contact interested renters and ask them if the City uses the garage, would they still be interested in renting the remainder of the building. --to direct staff (Maintenance Dept., City Admin., Parks Commission) to look at the current way they are doing things and see if some administrative shuffling of time could devote more staff resources to the park without creating a formal department. --to obtain an idea of what this would cost the city to set up this Dept. in terms of replacing Mike, if he gets the job, salary expected for admin. position. Assuming we set up this dept. in 1992, what figure would have to be put in budget. --to consider the option of Parks Dept. being a division within the Public Works. M/S/P Mottaz/Williams - to postpone consideration until these action items can be discussed. (Motion carried 4-0). 2. Rental Property Update The City Administrator reported the former tenant has vacated the building at the city's request and has also made arrangements for a payment schedule. To -date, half of the past due rent has been paid, and we should have the remainder by the end of April. D. Budget - Mayor Johnson In light of the recent proposal by the Governor, Mayor Johnson explained $17,OOO will be cut in state remittance to the City in July, 1991. There will be cuts from LGA, tax equalization aid and HACA. Johnson added the message we are getting is not to rely on state aid, but to rely on our taxing capacity. Johnson felt the City should tell residents in the Newsletter that we are facing a serious deficit problem that may require some tax increases. Mayor Johnson indicated we should look seriously at commercial development along the I-94 frontage to the very maximum extent it can be developed. This may mean requesting the extention of the MUSA to County Road 19 and perhaps a 1/2 mile beyond and to do mirror zoning with Woodbury. Oakdale has told him that they would actively support extention of the MUSA along I-94.