HomeMy WebLinkAboutCharter Resolution 2005-02 Charter Commission
Chair
Jonathan J Thomas
763-784-5205
Vice Chair
2nd Vice Chair
Jean Miller
763-786-3959
Secretary
Brian Amundsen
763-786-5699
Bill Doty
763-786-3421
Matthew Eenigenburg
763-783-7216
William Mori
763-784-3645
Barbara Thomas
763-780-6226
William Werner Sr
763-784-3603
Resolution No. 2005-02
Mounds View Charter Commission
Dated Feb 10,2005
Whereas, the Mounds View Charter Commission is reviewing the lists of past requests
for housekeeping and clarification updates to sections of the Mounds View Charter that
have caused confusion or seem to be semantically incorrect.
The Mounds View Charter Commission acting under Minnesota Statute 410.12
Subdivision 7, recommends the following amendments by the addition of the bold and
double underlined language and by the deletion of the language. The Mounds View Charter
Commission requests the City Council adopt by ordinance those items it is in unanimous
agreement with. We also request a response within 60 days with recommendations for
modifications to any item that the City Council deems not acceptable as presented.
Objectives:
1) In 7.04 update language to reference Minnesota Statutes requirements and incorporate
recommendations of League of Minnesota Cities (LMC) "Model Charter". Section
should additionally address inputs from Charlie Hansen, Finance Director, City of
Mounds View and provide calendar or time line for the City's tax and budget process
which can be understood by the public.
2) In 7.05 update publication methods to include City's web site.
3) In 7.06. subd. 01 Change September requirement for public hearing to be a simple
reference requiring compliance with the Minnesota Statutes pertaining to Truth in
Taxation for timing but retain the requirement to hold a public meeting even if
Minnesota Statutes would not require it. Also remove the word "monthly" as it is not
consistent with other references to "regular council meetings." Address ambiguity of
"object level" etc. per Charlie Hansen's Memo of November 13, 2002
4) In 7.06. subd. 02 Change to "two week" time line to be something more easily
complied with and in compliance with Minnesota Statutes. Add usage of City's web
site for publishing purposes.
5) In 7.06. subd. 03 incorporate recommendation from LMC to have a fall back
budget in cases of delay in approval of budget by new fiscal year starting.
6) In 7.07 incorporate the management method and procedures of the Mounds View
Purchasing Manual for accountability of managing department budget expenditures
7) In 7.08 clarify that Section 7.12 does not conflict with budget alterations and who may
approve alterations at which budget levels.
8) In 7.10 incorporate the Minnesota Statutes reference as originally prescribed by charter
and update for City web site notification.
9) In 7.12. incorporate LMC recommendation for emergency debt limits and Delete
redundant Subdivision 2.
The nine sections recommended for consideration with this resolution are attached by
section and recommended for adoption individually or as a group at the discretion of the
Mounds City Council. Intended final language attached for ease of readability.
Respectfully submitted,
_____________________ ______________________
Jonathan J Thomas, Chair Brian Amundsen, Secretary
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Resolution 2005-02 Page2
Section 7.04. Submission of Budget.
Subdivision 1. Annually, on or before the 15th calendar day of September of each year or as
specified by MN Statute 275.065, as amended, the Clerk-Administrator shall submit to the Council the
budget estimates for funds levying property taxes for the ensuing fiscal year and an accompanying
summary message in accordance with a budget calendar to be established by resolution.
The final budget shall provide a complete financial plan for all City funds and activities for the
ensuing fiscal year and except as required by state law or this Charter, shall be in such form as the Council
may require. It shall include a summary and show in detail all estimated income and all proposed
expenditures, including debt service and comparative figures for the current fiscal year, actual and
estimated, and the preceding year. In addition to showing proposed expenditures for current operations, it
shall show proposed capital expenditures to be made during the year and the proposed method of financing
each such capital expenditure. The total proposed operating budget to be provided from the property tax
shall not exceed the amounts authorized by state law and this Charter. Consistent with these provisions, the
budget shall contain such information and be in the form prescribed by the City Council.
Subdivision 2. For each enterprise operated by the City, its proposed and final budgets shall show
income, expenditure, and anticipated net surplus or deficit with the proposed disposition method. .
Subdivision 3. The Clerk-Administrator's message shall explain the budget, both in fiscal terms
and in terms of the work programs, linking programs to goals of the City and community priorities. It
shall outline the proposed financial policies and programs of the City for the ensuing fiscal year and the
impact of those policies and programs compared to the City's current five-year plan, as adopted by the
City Council. It shall describe the important features of the budget, indicate any major changes in
financial policies, expenditures, and revenues together with the reasons for such changes. It shall
summarize the City's debt position for each fund, including factors affecting the ability to raise resources
through debt issues, and include such other material as the Clerk-Administrator deems desirable or as
requested by the City Council
Resolution 2005-02 Page3
Subdivision 04. Budget Planning Guideline The purpose of this section is to provide the public
with general time table for the annual budget process. The dates are guidelines and subject to change by
the City Council and MN Statute 275.065, as amended.
Activity Estimated Time Period
Five-Year Plan: Development Jan. 1 to May 1
Five-Year Plan: Public Review May 1 to May 20
Five-Year Plan: Council Approval May 20 to June 1
Annual Budget Calendar: Adopted by Council June 1
Five-Year Plan: Published to Public June 1 to Aug. 1
Annual Budget: Public Input to Department June 1 to Sept 1
Annual Budget: Clerk-Administrator Develops
Summary and Estimate Proposal for Council Aug. 1 to Sept. 15
Annual Budget: Estimates Submitted to Council Sept. 15
Annual Budget: Proposal and Tax Levy Estimates
Council Adoption Sept. 15
Annual Budget: Council Review and Amend Sept. 15 to Nov 23
Annual Budget and Tax Levy: Proposal
Published to Public Sept. 15 to Dec. 1
Annual Budget and Tax Levy: Public Review Sept..15 to Dec. 20
Annual Budget: Public Hearing Advertised Nov.
Annual Budget and Tax Levy: Initial Public Hearing Nov. 29 to Dec. 20
Annual Budget and Tax Levy: Council Adoption Dec. 5 to Dec. 20
Annual Budget and Tax Levy: Final Council
Budget Summary Published to Public Dec. 20 to Feb. 1
Resolution 2005-02 Page4
Section 7.05 Five-Year Financial Plan.
Subdivision 1. The City Council shall have prepared a five-year financial plan commencing with
the ensuing calendar year. The City Council shall hold a public hearing on the five-year financial plan and
adopt it by ordinance, with or without amendment, by June 1st of each year. The financial plan shall
consist of at least the following four elements as specified in subdivisions 2-5 which follow:
Subdivision 2. The Public Service Element shall contain a continuing five-year plan for all public
services, estimating future needs for the public health, safety and welfare of the City. It shall measure the
objectives and needs for each City department, the standard of services desired, and the impact of each such
service on the annual operating budget.
Subdivision 3. The Capital Improvement Element shall contain a list of all capital improvements
proposed to be undertaken during the next five fiscal years, with appropriate supporting information as to
the necessity for such improvements; cost estimate, method of financing and recommended time schedule
for each such improvement; and the estimated annual cost of operating and maintaining the facilities to be
constructed or acquired. This information shall be revised and extended each year for capital improvements
still pending or in process.
Subdivision 4. A Five-Year Revenue Element shall contain a tentative revenue policy that
describes five-year plans for financing public services and capital improvements.
Subdivision 5. The Capital Budget Element shall be a summary on the basis of a five-year period
of the capital or money requirements for the above-described programs. It shall list a priority for each
anticipated investment in community facilities and balance this with a consideration of the availability of
necessary revenues.
Subdivision 6. A summary of the five year financial plan shall be published. before August 1st each
year in the official City newspaper, the City newsletter, and, if available, the City web site .
Resolution 2005-02 Page5
Section 7.06. Council Action on Budget.
Subdivision 1. The Council shall annually adopt a budget calendar by June 1st. The calendar
will establish the time line for development and submission of the budget and allow for public review
and comment in accordance with this Charter, the City Council, and MN Statute 275.065, as amended.
The budget shall be considered at the first regular monthly meeting of the Council in September and at
subsequent meetings until a budget is adopted for the ensuing year. The budget calendar will provide a
30-day period for public review and input to the annual budget prior to final approval by the City
Council. The meetings shall be so conducted as to give interested citizens a reasonable opportunity to be
heard. The Council may revise the proposed budget but no amendment to the budget shall increase the
authorized expenditures to an amount greater than the sum of estimated income and reserves. The Council
shall adopt the budget by a resolution that shall set forth the total for each budgeted fund and each
department. The budget shall indicate the sums to be raised and from what sources and the sums to be
spent and for what pupose as the Council deems necessary for establishing the budget. The Council shall
also adopt a resolution levying the amount of taxes provided in the budget, and the Clerk-Administrator
shall certify the tax resolution to the County Auditor in accordance with state law. Adoption of the budget
resolution shall constitute appropriations at the beginning of the fiscal year of the sums fixed in the
resolution of the several purposes named.
Subdivision 2. As specified by MN Statute 275.065, as amended, before the budget is adopted for
the ensuing fiscal year a a public hearing notice and summary of the proposed budget will be published in
the official City newspaper, the City Newsletter and, if available, the City web site. Such summary
should be readily understandable by the layperson, and should provide appropriate supporting information
as to the necessity for any increase in the budget over the total for the current fiscal year. Failure to provide
the specified summary will not invalidate the budget.
The final budget will be published in accordance with Minnesota Statutes on Truth in Taxation
or no later than 60 days after adoption by the Council in the official City newspaper, the City newsletter
and, if available, the City web site.
Subdivision 3. If the Council fails to adopt the budget by the beginning of the next fiscal year,
the preceding months fiscal year budget shall go into effect for up to thirty-one (31) days or until the
Council adopts a budget.
Resolution 2005-02 Page6
Section 7.07. Enforcement of the Budget.
The Clerk-Administrator may designate department heads or other staff who may assist with each
fund or department in the annual budget. It shall be the duty of the Clerk-Administrator to strictly enforce
the detail provisions of the budget. The City Council shall strictly enforce the provisions of the budget.
The City Council shall not authorize any payment or the incurring of any obligation by the City, unless an
appropriation has been made in the budget resolution, and there is a sufficient unexpended balance after
deducting the total past expenditures and encumbrances against the appropriation. No officer or employee
of the City shall place any order or make any purchase unless the amount is authorized in the budget
resolution and in compliance with; the purchasing policies of the City as established by the City Council,
the City Charter, the City Code, and Minnesota Statutes. Any obligation incurred by any person in the
employ of the City for any purpose not authorized in the budget resolution, or for any amount in excess of
the amount authorized, shall be a personal obligation upon the person incurring the obligation. No check
shall be issued or transfer made to any account other than one owned by the City until the claim to which it
relates has been supported by an itemized bill, payroll, or time sheet or other document approved and signed
by the responsible City officer who vouches for its correctness and reasonableness.
Section 7.08. Alterations in the Budget.
After the budget resolution has been adopted, the Council may amend the budget by resolution, but
shall not increase the amounts fixed in the resolution beyond the sum of estimated receipts and reserves,
except to the extent that actual receipts exceed the estimate or to implement Section 7.12 herein. At
anytime the Council may by resolution reduce the sums appropriated for any purpose to increase reserves
or authorize the transfer of sums from unencumbered balances in the budget.
Section 7.09. Funds. (no changes)
Section 7.10. City Indebtedness.
Subdivision 1. Except as provided in Sections 7.11 and 7.12, no obligation shall be issued to pay
current expenses, but the Council may issue and sell obligations for any other municipal purpose in
accordance with state law and within the limitations prescribed by law. Except in the case of obligations
for which an election is not required by this Chapter or by state law, no such obligations shall be issued and
sold without the approval of the majority of the voters voting on the question at a general or special
election.
Subdivision 2. A description of each such proposed issue shall be published in the official City
newspaper, the City Newsletter, and , if available, the City web site, but failure to give such description, or
any defect in the description, shall not invalidate the issue.
Resolution 2005-02 Page7
Section 7.11. 1. Anticipation Certificates.
At anytime after January 1, in accordance with MN Statute 412.261, as amended, with the following
restrictions; the Council may issue certificates of indebtedness in anticipation of state and federal aids and
the collection of taxes levied the previous year for any fund and not yet collected. The total amount of
certificates issued against any fund for any year together with interest thereon until maturity shall not
exceed 90% of the total state and federal aids and current taxes due to the fund and uncollected at the time
of issuance. Such certificates shall be issued on such terms and conditions as the Council may determine,
but they shall become due not later than August 1st of the year following their issuance. The proceeds of the
tax levied and such state or federal aids as the governing body may have allocated for the fund against
which tax anticipation certificates are issued, and the full faith and credit of the City shall be irrevocably
pledged for the redemption of the certificates.
Section 7.12. Emergency Debt Certificates.
If in any year the receipt from taxes, availability of reserves, or other sources should for some
unforeseen cause become insufficient for the ordinary expenses of the City, or if any calamity or other
public emergency necessitates the making of extraordinary expenditures, the Council may by ordinance
issue, on such terms and in such manner as the Council determines, emergency debt certificates not to
exceed 10% of the total City budget and to run not to exceed three years. Taxes sufficient to pay principal
and interest on such certificates with the margin required by law shall be levied as required by law. The
ordinance authorizing the issue of such emergency debt certificates shall state the nature of the emergency
and be approved by at least three members of the Council. It may be passed as an emergency ordinance.