HomeMy WebLinkAboutAgenda Packets - 2020/09/08CITY OF MOUNDS VIEW
CITY COUNCIL WORK SESSION AGENDA
MOUNDS VIEW CITY HALL
Tuesday, September 8, 2020
6:30 p.m.
VIRTUAL MEETING
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ROLL CALL: Mueller, Gunn, Hull, Meehlhause, Bergeron
Council Workshops are informal gatherings of the council at which no final
decisions are made, rather consensus discussion to direct staff on council
decision items.
PUBLIC COMMENT
Citizens may speak to issues not on tonight’s agenda. Before speaking, please share
your full name and address. Also, please limit your comments to three minutes.
AGENDA ITEMS DISCUSSED BY CONSENSUS
1.Preliminary Tax Levy and General Fund Budget
A. Replacement of Roof Top Units at City Hall – COVID 19 related
2.YMCA – Follow up discussion on future of YMCA contract/partnership
3.Inclusion Task Force – Council Member Bergeron
4.Affirmative Action Plan – Discussion/Follow up August 24, 2020 Council
5.License Fees – Discussion regarding request by business to have fees
waived
NEXT COUNCIL WORK SESSION: Monday, October 5, 2020 at 6:30 pm
NEXT EDA MEETING: Monday, September 14, 2020 at 6:15 pm
NEXT COUNCIL MEETING: Monday, September 14, 2020 at 6:30 pm
M EMORANDUM
to: Mounds View City Council
from: Nyle Zikmund, City Administrator
re: September 8, 2020 Workshop
date: September 5, 2020
1. Preliminary Tax Levy and General Fund Budget
a. Staff memo prepared by Mark details discussion items and direction needed.
b. Action Requested – Discuss and provide direction to staff
2. YMCA Contract/Partnership
a. Staff memo in packet includes background as well as updated proposal from YMCA
per council direction.
b. Action Requested – Discuss and provide further direction to staff – continue with
YMCA discussions or begin process for transition.
3. Inclusion Task Force
a. Item requested by Council Member Bergeron, discussed earlier in year and based
on feedback transitions from Human Rights Council to Inclusion Task Force. Draft
document crafted as result of council discussion and CM Bergeron research.
b. Action Requested – Discuss and provide further direction to staff
4. Affirmative Action
a. Follow up discussion per Council direction.
b. Action Requested – Discuss and provide further direction to staff. Staff working
on determining impact and fiscal costs, if any, and will provide handout at
meeting.
5. License Fees
a. Request by Restaurant/Bar owner to waive all license and liquor fees for one year
as part of COVID relief.
b. Action Requested – Discuss and provide further direction to staff
The Mounds View Vision
A Thriving Desirable Community
Item No: 1
Meeting Date: September 8, 2020
Type of Business: Work Session
City Administrator Review: ______
City of Mounds View Staff Report
To: Honorable Mayor and City Council
From: Mark Beer, Finance Director
Item Title/Subject: Preliminary Property Tax Levy and General Fund Budget for
Fiscal Year 2021
State law requires that the City certify a preliminary General Fund Budget and preliminary property
tax levy to Ramsey County by September 30. The City Council reviewed the General Fund budget
at the May Special work session and will review the budget again before final approval in December.
The Charter limits the levy increase to inflation plus 2% or 5% whichever is less unless otherwise
excluded (referendums and debt service/capital levies are excluded from the charter limit). (Inflation
is 1.3%) Each 1% levy increase is an additional $56,789. The state has certified Local Government
Aid (LGA) for 2021 at $844,418 but it is highly unlikely that we will get the entire amount. Tax
collections will be at a lower rate than historical collections thus impacting cashflows/revenues.
The Strategic Plan adopted by the City Council calls for less dependence on LGA. LGA
is included in the General Fund budget at 50% of the certified amount. This reflects the
likelihood that it will be reduced as a result of the State deficit. The Strategic Plan also
calls for reducing dependence on the Levy Reduction Assigned Fund balance by 3-5%
per year. Prior budgets have used $250,000, we used $246,000 for 2020 to balance the
budget. For 2021, $242,000 is proposed and $238,000 for 2022 is proposed to meet the
goal of the Strategic Plan.
Unassigned fund balance was $4,127,062 at December 31, 2019 and represents 52.6% of draft
2021 budgeted expenditures and transfers in. The Assigned Levy Reduction fund balance was
$5,217,724 at 12-31-19 and will be approximately $4,967,724 at December 31, 2020.
The base General Fund levy would be $4,479,457 and special levies for Fire Debt Service of
$166,291, 2004 police personnel referendum of $220,000, 2017 police personnel referendum of
$110,000, PERA rate increase special levy of $39,145 for a total General Fund levy of $5,014,893.
A debt service levy for the 2017A PW Facility Debt Service is $413,984 a decrease of $2,310 over
2020. A base levy for the Street Improvement fund of $150,000 will be continued for 2021. The
EDA levy of $100,000 is no increase over 2020. The total of all base and special levies proposed
is $5,678,877, no increase over 2020. Once this amount is set, the levy cannot be increased but
can be lowered. The final levy will be adopted on or about December 14, 2020 along with the
General Fund budget and all other City funds budgets.
The draft General Fund budget for preliminary approval is $7,854,992. This amount is subject to
change as the Council gets additional information and provides additional direction to staff before
final approval in December.
Respectfully submitted,
___________________________
Mark Beer, Finance Director
8/31/2020 10:08 AM
City of Mounds View
2021 Budget Summary
2017 2018 2019 2020 2021 Change from 2020
General Fund:Actual Actual Actual Budget Request Dollar Percent
Revenues:
Property taxes - Base levy 3,809,842 4,082,924 4,245,901 4,472,248 4,479,457 7,209 0.16%
Special tax levies, Bonds 90,835 90,835 165,800 171,190 166,291 (4,899) -2.86%
Special tax levies, Operations 244,145 244,145 349,145 369,145 369,145 - 0.00%
Franchise tax 309,303 338,919 308,835 302,500 305,000 2,500 0.83%
Other taxes 31,610 23,046 26,477 26,000 26,000 - 0.00%
Hotel/motel tax 68,666 77,115 71,957 68,000 50,000 (18,000) -26.47%
Licenses and permits 310,965 312,047 348,201 219,872 245,872 26,000 11.83%
Intergovernmental 1,093,163 1,229,019 1,303,053 1,231,644 901,075 (330,569) -26.84%
Charges for services 17,144 23,736 38,007 16,625 24,625 8,000 48.12%
Fines & forfeitures 26,810 35,800 46,098 32,000 33,750 1,750 5.47%
Interest 127,086 157,074 316,381 110,000 60,000 (50,000) -45.45%
Miscellaneous 382,536 304,719 323,497 292,764 298,162 5,398 1.84%
Transfers:
Water Fund - 78,103 80,446 82,859 85,345 2,486 3.00%
Sewer Fund 60,058 61,860 80,446 82,859 85,345 2,486 3.00%
Storm Water Fund 7,832 8,067 8,309 8,558 8,815 257 3.00%
Street Light Fund 2,690 2,771 2,854 2,940 3,028 88 2.99%
Vehicle & Equipment Fund 21,600 - - 24,000 25,000 1,000 4.17%
Debt proceeds 172,427 175,191 - - - - 0.00%
Total revenues 6,776,712 7,245,371 7,715,407 7,513,204 7,166,910 (346,294) -4.61%
Expenditures:
Legislative Services:
City Council 55,479 58,903 58,013 62,235 62,239 4 0.01%
Advisory Commissions 14,375 15,352 39,379 27,000 26,000 (1,000) -3.70%
Subtotal 69,854 74,255 97,392 89,235 88,239 (996) -1.12%
Administrative Services:
City Administrator 314,338 286,882 305,115 284,637 311,424 26,787 9.41%
Elections 32,575 33,460 26,954 36,504 30,700 (5,804) -15.90%
Finance 261,574 268,325 274,866 286,762 295,415 8,653 3.02%
Central Services 259,406 261,610 298,124 305,496 312,459 6,963 2.28%
Subtotal 867,893 850,277 905,059 913,399 949,998 36,599 4.01%
Community Development 324,265 435,152 441,676 462,665 470,080 7,415 1.60%
Police 2,814,764 2,969,790 3,325,570 3,329,395 3,431,204 101,809 3.06%
Fire 685,187 802,223 693,855 712,224 635,221 (77,003) -10.81%
Public Works Administration 129,775 149,353 153,706 120,292 123,954 3,662 3.04%
Parks, Recreation & Forestry:
Recreation 109,071 123,961 125,940 134,771 138,337 3,566 2.65%
Parks 280,083 286,911 342,429 449,337 467,625 18,288 4.07%
Forestry 11,887 36,836 44,185 53,693 54,231 538 1.00%
Subtotal 401,041 447,708 512,554 637,801 660,193 22,392 3.51%
Fleet Services:
Building & Grounds Mtnce 118,555 144,415 143,343 150,373 154,112 3,739 2.49%
Vehicle & Equipment Mtnce 108,818 124,811 113,381 130,857 133,109 2,252 1.72%
Subtotal 227,373 269,226 256,724 281,230 287,221 5,991 2.13%
Streets:
Pavement Management 192,701 205,269 234,368 227,496 227,293 (203) -0.09%
Snow & Ice Control 107,680 168,529 177,992 161,033 160,110 (923) -0.57%
Sign Maintenance 44,676 47,325 47,318 68,060 68,328 268 0.39%
Subtotal 345,057 421,123 459,678 456,589 455,731 (858) -0.19%
Other
Convention & Visitor's Bureau 65,233 73,260 65,455 64,600 47,500 (17,100) -26.47%
Social Service Coordination 20,461 20,748 35,329 36,779 50,656 13,877 37.73%
Miscellaneous/contingency 5,238 3,766 3,662 6,500 6,500 - 0.00%
Transfers to other funds 765,000 640,000 690,000 624,000 624,000 - 0.00%
Debt service 24,495 24,495 24,495 24,495 24,495 - 0.00%
Subtotal 880,427 762,269 818,941 756,374 753,151 (3,223) -0.43%
Total expenditures 6,745,636 7,181,376 7,665,155 7,759,204 7,854,992 95,788 1.23%
Net change in fund balance 31,076 63,995 50,252 (246,000) (688,082) (442,082)
Beginning Fund Balance 9,445,463 9,476,539 9,445,463 9,540,534 9,294,534
Ending Fund Balance 9,476,539 9,540,534 9,495,715 9,294,534 8,606,452 (442,082)
Sample Home Tax Impact 2021 Page 1
Sample Estimated Home Tax Impact
City of Mounds View Only
2020 2020 2021 2021 2021 2021 2021 2021
Market Taxable Market Taxable 2020 Tax No levy Tax 1% levy Tax 2% levy Tax 3.3% levy
Value Value Value Value Tax Increase Increase Increase Increase
77,043 46,743 80,125 50,125 193 190 193 195 198
154,086 130,686 160,250 137,450 522 507 513 520 528
231,128 214,728 240,373 224,773 851 824 834 844 857
308,171 298,671 320,498 312,098 1,181 1,141 1,155 1,169 1,187
385,214 382,614 400,623 399,423 1,510 1,458 1,476 1,494 1,517
462,258 462,258 480,748 480,748 1,823 1,755 1,776 1,798 1,826
539,299 539,299 560,871 560,871 2,127 2,047 2,072 2,097 2,130
616,343 616,343 640,996 640,996 2,431 2,340 2,368 2,397 2,434
693,386 693,386 721,121 721,121 2,735 2,632 2,664 2,697 2,739
Tax
capacity for Local
local rate tax rate Tax Levy
2006 7,533,462 39.939 3,838,994
2007 8,364,245 37.328 3,838,994
2008 8,574,618 34.962 3,838,994
2009 8,475,755 32.351 3,799,393
2010 7.9% levy increase (Streets)7,580,259 40.968 4,099,393
2011 2% levy increase (Gen Fund)7,039,380 41.172 4,181,381
2012 (Mkt. Value Homestead Credit ended)6,421,849 48.893 4,181,381
2013 6,026,790 50.422 4,181,381
2014 2% levy increase (Gen Fund)6,985,345 44.301 4,265,010
2015 2% levy increase (Gen Fund)7,642,870 42.886 4,350,310
2016 1% levy increase (Gen Fund)8,236,495 40.105 4,393,813
2017 1.71% (Gen Fund) 2.28% (HRA/EDA)8,930,973 37.980 4,568,947
2018 8.87% levy increase 9,772,018 37.742 4,973,985
2019 9.12% levy increase 10,770,483 38.009 5,427,676
2020 4.63% levy increase 11,798,037 36.795 5,678,877
2021 0% levy increase 12,668,518 34.053 5,678,877
2021 1.00% levy increase 12,668,518 34.501 5,735,666
2021 2.00% levy increase 12,668,518 34.950 5,849,244
2021 3.30% levy increase 12,668,518 35.533 6,036,647
Preliminary tax capacity increased $870,481 or 7.38% over 2020
Preliminary median valued home increased by 4.000%, from $241,000 to $250,750
Preliminary amounts are based on County Auditor report dated 08-18-20
Proposed Property Tax Levy
2020 2021
Property tax base levy 4,472,248$ 4,479,457$
Special levy - Police Referendum 220,000 220,000
Special levy - Police Referendum 110,000 110,000
Special levy - PERA rate increase 39,145 39,145
Debt service levy - Fire bonds 171,190 166,291
Debt service levy - PW Building 416,294 413,984
Capital Project Street Imp.150,000 150,000
EDA/HRA levy 100,000 100,000
Total Levy 5,678,877$ 5,678,877$
0.00%-$
Estimated Preliminary Tax Levy Increases for Payable 2021
Payable 2021
Moundsview 0.00%
Maplewood 0.00%
North St. Paul 0.00%
Little Canada 2.00%
New Brighton 2.10%
St. Louis Park 3.00%
Arden Hills 3.00%
Shakopee 3.25%
St. Anthony Village 3.37%
Minnetonka 3.50%
White Bear Lake 3.75%
Roseville 3.96%
Cottage Grove 3.99%
Oakdale 4.00%
Apple Valley 4.30%
Brooklyn Center 4.50%
Shoreview 5.04%
Golden Valley 5.15%
Richfield 5.50%
Lakeville 6.50%
Oak Park Heights 7.00%
Blaine 7.10%
Savage 7.80%
Coon Rapids
St. Paul
Burnsville
Inver Grove Heights
3.86%Average
0.00%0.00%0.00%
2.00%2.10%
3.00%3.00%3.25%3.37%3.50%3.75%3.96%3.99%4.00%4.30%4.50%
5.04%5.15%
5.50%
6.50%
7.00%7.10%
7.80%
0.00%
1.00%
2.00%
3.00%
4.00%
5.00%
6.00%
7.00%
8.00%
9.00%
ESTIMATED PRELIMINARY TAX LEVY INCREASES FOR 2021
The Mounds View Vision
A Thriving Desirable Community
RESOLUTION NO. 9xxx
CITY OF MOUNDS VIEW
COUNTY OF RAMSEY
STATE OF MINNESOTA
Resolution Authorizing Certification of the Preliminary General Fund Budget and
Preliminary Property Tax Levy for Fiscal Year 2021
WHEREAS, current state statute requires cities to certify a preliminary budget and tax levy
to the county auditor; and
WHEREAS, guidelines established by the Commissioner of Revenue require certification
to occur on or before September 30, 2020; and
WHEREAS, the Department of Revenue has certified the amount of Local Government
Aid payable to the City in 2021; and
WHEREAS, the City Council has elected to have a preliminary levy increase of x.x% and;
WHEREAS, a referendum levy passed in 2003 for two additional police officers is set at
$220,000 and a referendum levy passed in 2017 for one police officer is set at $110,000; and
WHEREAS, a street levy of $150,000 will be continued to improve streets that were not
part of the Street Improvement Program and to maintain the streets that were recently improved.
NOW, THEREFORE, BE IT RESOLVED by the City Council of the City of Mounds View
that the preliminary expenditure budget for the General Fund for fiscal year 2020 is $7,xxx,xxx.
NOW THEREFORE, BE IT FURTHER RESOLVED that the proposed 2021 base property
tax levy is $4,xxx,xxx and $150,000 and the proposed 2021 special levies are $xxx,xxx for a total
net property tax levy of $5,xxx,xxx.
NOW, THEREFORE, BE IT FURTHER RESOLVED that the Truth-In-Taxation meeting
will be held on December 7, 2020 at 6:00 pm at City Hall with a continuation meeting to be held
on December 14, 2020 at 6:30 pm if needed.
NOW, THEREFORE, BE IT FURTHER RESOLVED that the Finance Director shall certify
these amounts to the Ramsey County Auditor.
Adopted this 14th Day of September 2020.
______________________________
Carol A. Mueller, Mayor
(ATTEST)
______________________________
Nyle Zikmund, City Administrator
(SEAL)
Item No: __03__
Meeting Date: __September 8, 2020
Type of Business: ____WS___
Administrator Review: ____
City of Mounds View Staff Report
To: Honorable Mayor and City Council
From: Nyle Zikmund, City Administrator
Item Title/Subject: YMCA Contract
Introduction:
This past June we received communication from the YMCA of a desire to severe or alter the
relationship. Council had a brief discussion at a council meeting and more in-depth discussion
at the July workshop with consensus to have the YMCA make a presentation at the August 3,
2020 workshop on what they would need to keep operating. Council directed staff to continue
working with the YMCA based on that discussion. The YMCA transmitted an updated proposal
to staff (attached) and staff met to discuss their proposal as well as issues related to moving the
function back to the City.
Discussion:
Two options are laid out, both under two year agreements. Detail includes option to reduce
offerings which in turn result in a cost reduction.
As presented at previous meetings, the council also has the option of returning to operating our
own Park and Rec Division. Current expenditures supporting the YMCA model total $680,000
per year. This includes the direct quarterly payments, general fund transfers, additional
payments for warming house seasonal attendants, and revenues generated from hall and gym
rental.
If council wishes to operate our own division, staff believes the $680,000 is sufficient to fund a
program valued by residents but would need both the Park Rec and Forestry Commission along
with the Council to commit time to a vision discussion on what would be included – what would
be the priorities. An option to do this would be the September 24 Park Rec and Forestry
meeting.
Migrating to our own division would require hiring of permanent staff which we are confident we
would have the ability to do. The YMCA has indicated that current staff, unless retained thru
them via a continuation of contract; will be available. This would be significant to a smooth
transition. Using a January 1 transition date, staff would have the “slow” period of winter to build
programs and marketing. Reduced hours would be likely in the beginning including not having
the center open on Sundays. Staff does not see a need or ability to increase any fees.
Challenges will include hiring of seasonal staff, building up marketing for programs, and
implementation of programs.
RISE has a two year lease with the YMCA that expires the end of this year. I have reached out
to their Executive who stated a desire to continue leasing at that site as it works very well for
them given the proximity to their base in Spring Lake Park. The annual lease amount is
$18,000.
While there will be challenges in a transition, there will be opportunities that include partnerships
with surrounding communities on programs and events, regional opportunities, increased
availability/programming for outreach programs, possible partnerships with some of our other
non-profits such as Quincy House as it relates to the Teen Center, Summer Child Care program
partnerships with current or other Day Care providers.
Recommendation:
Receive presentation, discuss options, make a determination on which direction to go –
continue with YMCA or migrate to transition with target date of January 1, 2021.
Respectfully submitted,
Nyle Zikmund
City Administrator
Attachments:
July Workshop Staff Report
YMCA Contract Options
YMCA Contract Termination Letter
Mounds View new contract proposals August 12, 2020
2019 Net cost income operate (excluding city paid expenses) $41,000.
Assumes a two year agreement.
What is included in a full program offering:
Summer childcare and sports programs, senior programs, adult fitness classes, enrichment classes,
Youth in Government programs, dance program, sports leagues and classes, sports clinics, summer park
program, teen afterschool programs, teen enrichment opportunities, ice rinks and normal Community
Center operating hours.
What is included in the reduced program offering:
Summer childcare and sports programs, Youth in Government programs, reduced senior programs,
dance program, sports leagues and classes, sports clinics, reduced teen programs, ice rinks and reduced
Community Center operating hours.
Option 1 – City assumes all revenues and expenses
• City continues to pay for utilities, maintenance, grounds, and custodial
• YMCA receives fixed payment of $200,000 for 2021 and $285,000 for 2022.
• City has the right to select program levels to serve community.
o 2021 estimated net loss of $84,000 for full programming to a potential net income of
$58,000 with reduced programming (calculated after Y payment)
Reduced amount would decrease membership hours, more gym rental versus
open gym, reduced staffing because of volume, and closing teen center.
o 2022 estimated net income of $100,000 with assuming ability to return to full program
offering
• City of Mounds View would approve budget and have risk.
• YMCA provides operating leadership support, training, all backoffice functions to operate.
Option 2 – YMCA assumes all revenues and expenses
• YMCA takes on all revenue and expenses, need to agree on City services delivered which would
be at the reduced program level.
• City pays for utilities, maintenance, and grounds
• City pays YMCA operations fee of $300,000 for 2021 and $300,000 for 2022.
Proposal for the establishment of a
Inclusion and Engagement Task Force in Mounds View
MOUNDS VIEW’S COMMITMENT TO EQUITY AND INCLUSION
The City of Mounds View recognizes, respects, and honors diversity existing in society due to an
individual’s age, ethnicity, national origin, race, color, sex, sexual orientation, gender identity, gender
expression, disability, marital status, familial status, religious beliefs, creeds, and socioeconomic status.
The city is committed, through its programs and policies, to embracing diversity, fostering
inclusiveness, and advancing equity in creating an environment that empowers individuals to live and
work productively in an ever-changing society.
Mounds View supports steps and programs intended to remedy the historical
underrepresentation of persons of color, women, veterans, and persons with disabilities in an
environment that is inclusive and equitable for all.
Recommended establishment and composition of a Inclusion and Engagement Task Force
• The Task Force shall be open to any Mounds View resident.
• The Task Force shall be composed of five, council appointed applicants.
• The City Council shall appoint a staff liaison and a City Council member as a non-voting
chairperson.
• The members of the Task Force shall serve for two year terms.
• The Inclusion and Engagement Task Force shall serve at the will of the City Council.
Purpose and Mission
The purpose of the Inclusion and Engagement Task Force is to be educational for the people of
Mounds View and advisory for the City Council.
The Mounds View Inclusion and Engagement Task Force will advise and aid the City by
promoting a community standard of equal opportunity and freedom from discrimination. The City
envisions a community where all people are welcomed, valued, and respected.
Scope of Duties and Responsibilities
• Develop educational opportunities and help increase awareness in the areas of
inclusion, diversity, and engagement.
• Coordinate efforts with neighboring municipal Inclusion and Engagement groups when
appropriate.
• Cooperate with the State Department of Human Rights in sponsoring programs of
formal and informal education.
• Advise and recommend items to the City Council regarding inclusion, diversity, and
engagement.
• Formulate strategies, subject to review and approval by the city council, that shall focus
on educational programs in the areas of inclusion, diversity, and engagement and shall
aid all residents in bridging cultural and other differences.
Purview
The Mounds View Inclusion and Engagement Task Force shall not engage or investigate claims of
discrimination or human rights violations, as that is the purview of the State Department of Human
Rights. Rather, the Task Force will provide leadership in the community in prevention of bias and
discrimination through education, collaborative community action and policy, and program advice to the
City Council.