HomeMy WebLinkAbout1994 05-05 FCA•
AGENDA
BROOKLYN CENTER FINANCIAL COXMSSION
May S, 1994
City Hall
Conference Room A
1. Call to Order: 7:00 P.M.
2. Roll call.
3. Approval of Minutes: March 15, 1994
4. Budget Calendar
5. Format of Activity Budget.
6. Forecast/Overview of 1995 Budget.
7. Policy and Procedure on Mayor and Council Member Total Compensation.
0 8. Set Date of Next Meeting.
9. Adjournment: 9:00 P.M.
0
•
MINUTES OF THE PROCEEDINGS OF THE FINANCIAL COMMISSION
OF THE CITY OF BROOKLYN CENTER
MARCH 15, 1994
BROOKLYN CENTER CITY HALL, COUNCIL CHAMBERS
CALL TO ORDER
Vice Chair Ned Storla called the meeting to order at 7:04 P.M. in
the City Hall Council Chambers.
ROLL CALL
Present at roll call were Commissioners: Denis Kelly, Lee Anderson,
Ned Storla and Larry Peterson. Also present were Mayor Todd
Paulson, City Manager Gerald Splinter, and Finance Director Charlie
Hansen.
Approval of Minutes
A motion was made by Commissioner Larry Peterson to approve the
minutes of the January 11, 1994 and February 15, 1994 meetings.
Commissioner Lee Anderson seconded the motion and all members voted
in its favor.
Citv Council Action of Uronnosed oolicies
Charlie Hansen reported on the City Council's action in adopting
the Policy and on City Contractual Services for Nonprofit
• Organizations at their March 14, 1994 meeting. This policy was
developed by the Financial Commission, the Human Rights and
Resources Commission, and the Parks Commission during 1993 and was
unanimously adopted by the City Council.
Adopted Polices
Charlie Hansen handed out to each member present a three ring
binder of policies that have been adopted since the inception of
the Financial Task Force. This had been requested by Chair Donn
Escher at an earlier meeting.
Oraanizational Evaluation Process
A memo from Chair Donn Escher was distributed which expressed his
opinions on the reorganization since he was unable to attend this
meeting. Gerald Splinter introduced the organizational charts
included in the agenda and discussed the operation of the
Engineering Department. Due to the new technologies of
computerized drafting and mapping, there is a possibility of
reducing the number of engineering technicians from four to three
and using the savings to add an assistant engineer to the
department. At the same time, the need for professional staff is
increasing. These needs are: increased Council, Commission, and
neighborhood meetings, watershed activities, annual rate analysis,
annual capital improvement program, program budget, Highway 100,
neighborhood street reconstruction, central garage, City buildings
. reconstruction, ADA, hazardous waste, and commercial redevelopment.
• Denis Kelly commented that the City recently had missed an
opportunity to reduce staff in another department. Discussion
ensued regarding the need for engineering staff during the time
when the city was built up in the 1950s and 1960s verses now when
the activity is redevelopment of private property and
rehabilitation of infrastructure.
Denis Kelly moved adoption of Chart B as a recommendation to the
City Council as a basis for reorganization. Larry Peterson
seconded the motion. The motion passed unanimously.
Next Meetina
The next meeting will be Thursday, May 5, 1994 at 7:00 P.M.
ADJOURNMENT
At 8:40 P.M. there was a motion by Commissioner Denis Kelly and
seconded by Commissioner Lee Anderson to adjourn the meeting. The
motion passed unanimously.
0
is
budget\calendar
CITY OF BROOKLYN CENTER
1995 BUDGET CALENDAR
May 3, 1994 Tuesday Preliminary 1995 Operating Budget conference for City
Manager with city department and division heads, 2:30
p.m., Council Chambers.
May 5, 1994 Thursday Financial Commission discusses 1995 Budget
May 16, 1994 Monday City Council discusses elements of Capital
Improvements Program (C.I.P.).
June 9, 1994 Thursday City Manager presents 1995 Operating Budget issues.
June 9, 1994 Thursday 1995 Operating Budget requests due from all
departments for submission to the Finance Director.
June 16, 1994 Thursday Consolidated 1995 Operating Budget requests forwarded
from the Finance Director to the City Manager.
June 20, 1994 Monday City Council Town Meeting - 1995 Operating Budget.
• June 17 through July 1 Manager consults as necessary with individual
department and division heads as 1995 Operating
Budget document is shaped.
June/July 1994 City Commissions make preliminary recommendations
on Capital Improvements Program (C.I.P.) components.
July 1994 Department of Revenue is to certify Local Government
Aid amounts.
August 11, 1994 Thursday Preliminary 1995 Operating Budget is delivered to the
City Council members.
August 1994 County must notify City of the public hearing dates
selected by school districts.
August 1994 Department of Revenue is to certify Homestead and
Agricultural Credit Aid (HACA).
August 15, 1994 Monday Joint City Council/Finance Commission meeting.
0 August 29, 1994 Monday City Council holds work session to review Proposed
1995 Operating Budget.
•
0 Nov 21, 1994 Monday City Council holds work session to review Proposed
Sept 12, 1994 Monday Last day for adoption of the Preliminary 1995 Operating
Budget and the Preliminary tax levy by the City Council.
Sept 15, 1994 Certify preliminary 1995 Operating Budget and
preliminary tax levy to the County. City must also
inform the County of City budget public hearing dates.
Sept 19, 1994 Monday Utility Rate Study and Utility Funds budgets presented.
Sept 26, 1994 Monday City Council adopts the Utility Rate Study and Utility
Funds budgets.
Oct 17, 1994 Monday City Council holds work session to review Capital
Improvements Program (C.I.P.) and Enterprise Funds
budgets.
Oct 24, 1994 Monday City Council approves C.I.P and Enterprise Funds
budgets.
Nov ? - Nov 1994 County must mail individual property tax notices to each
property owner.
1995 Operating Budget.
Dec 1994 City Council holds original public hearing on the 1995
Operating Budget.
Dec 1994 City Council holds reconvened public hearing on the
1995 Operating Budget.
December 1994 Tuesday All counties to hold budget public hearings.
December 19, 1994 Monday City Council adopts the final 1994 tax levy and final
1995 Operating Budget at a subsequent public hearing
held during the regular City Council meeting.
December 26, 1994 Monday Last day to certify final tax levy and final 1995
Operating Budget to the County.
•
Assessing Department
. 1994 Budget
POLICIES: + Remain In compliance with Minnesota Statutory requirements
and accepted professional standards.
+ Provide Information to other departments, agencies, and the
public In an efficient and responsible manner.
+ Manage appeals effectively to minimize fiscal Impact.
The Assessing Department is a General Government function. The department is managed
by the City Assessor and is Unit # 115 of the City Budget.
The purpose of this department is the valuation and
STAFFING:
classification of all property as of the assessment
1 City Assessor
date. Beyond the initial assessment, the department
1 Appraiser II
responds to appeals at various levels. Assistance is
1 Assessment Technician
given to other City departments on valuation, tax, and
1 Assessing Secretary
related issues. Assessing also manages the data
located in the Property Data System and assists
4 FTE
users of the information.
ACTIVITIES:
Percent of Budget
Residential Appraisal
46%
Non-Residential Appraisal
14%
•
Appeals
30%
Special Assessments
10%
100%
Actual
Actual
Adopted Estimated
Requested
Budget 1991
1992
1993 1993
1994
REVENUES:
Property taximisc. revenue $175,383
$179,786
$186,380 $186,139
$205,792
Charges for services 2,942
3,978
5,740 500
500
Total $178,325
$183,764
$192,120 $186,639
$206,292
EXPENDITURES:
Personnel $173,009
$174,039
$176,670 $175,761
$189,054
Supplies $1,221
$3,496
$4,100 $3,500
$3,600
Services $3,090
$3,348
$10,025 $6,053
$9,160
Dues&Subscr. $1,005
$1,140
$1,325 $1,325
$1,325
Vehicle Services $0
$0
$0 $0
$3,153
Capital Outlay $0
$1,741
$0 $0
$0
Total $178,325
$183,764
$192,120 $186,639
$206,292
Staffing (FTE)
4.75 4.25 4 4 4
COMMENTS:
Personnel increase is due to In-Range step progression within the salary schedule.
Supplies decrease due to reduction in mailings of homestead cards.
Capital request for adjustable workstations withdrawn from budget.
ACT115.XLS
DEPARTMENT: Assessing (115) ACTIVITY: Residential Appraisal
Activity Description
Minnesota Statutes, 273.08, require: "The assessor shall actually view, and determine the
value of each tract or lot of real property listed for taxation, including the value of all improvements
and structures thereon, at maximum intervals of four years and shall enter the value opposite
each description". This activity satisfies this requirement as one-quarter of the residential
properties are viewed and physical characteristics verified or updated. This program also
includes administering the homestead laws and other classification issues.
Percent of Total Dept. Budget 46%
1994 Objectives
11 Inspect approximately 2400 properties.
2) Maintain Coefficient of Dispersion at less than 6.5%.
3) Fully implement the use of Pen-based PCs for data collection.
4) Adapt to and integrate new legislation on classification and valuation.
Requested 1994 Budget
•
Comment
•
Personnel
$88,565
Supplies
$2,520
Services
$1,832
Dues & Subscr.
$530
Vehicle Services
$2,838
Capital Outlay
$0
Total
$96,285
Staff Allocation
Assessor
10%
Appraiser 11
90%
Assessment Technician
75%
Assessing Secretary
20%
FTEs, this activity 1.95
This program is the largest in the Assessing budget and impacts the greatest number
of property owners. As the appeal load has increased and resources tightened, we
have reduced the time and dollars spent on this program. Historically, we reviewed 98 %
of the properties, both exterior and interior. This is no longer possible as it is too time
consuming. Now, if the appraiser believes the data on our records from previous inspections
is complete and unchanged, no interior inspection is made. The 1993 legislature made
significant changes to the statutes pertaining to valuation. Specifically, limited market
value and deferred values of improvements were passed. These will require revisions to
our computer systems and additional staff time to analyze each property. Finally, the
pen-based computers acquired in 1993 will be thoroughly tested and should be of full
benefit to the appraisers.
Page 1
ACT1 15.XLS
•
•
DEPARTMENT: Assessing (115) ACTIVITY: Non-Residential Appr
Activity Description
Minnesota Statutes, 273.08, require: "The assessor shall actually view, and determine the
value of each tract or lot of real property listed for taxation, including the value of all improvements
and structures thereon, at maximum intervals of four years and shall enter the value opposite
each description". Unlike residential inspections, the main characteristics of non-residential
properties are their economics, not simply physical characteristics. Therefore, to fully analyze
an income-producing property, one must review the operating results of the property and the
market in which it operates. As owners are reluctant to provide this data, we usually do not have
the necessary information until an appeal is filed. Therefore, while the exteriors are verified
in accordance with statute, a complete review is not possible at that point.
Percent of Total Dept Budget
1994 Objectives
14%
1) Complete market overview by January 15, 1994
2) Report all values to Hennepin County by January 27, 1994
3) Update physical data on industrial buildings in mid-94.
4) Adapt to and integrate new legislation on classification and valuation.
Requested 1994 Budget
Personnel
Supplies
Services
Dues & Subscr.
Vehicle Services
Capital Outlay
Total
Staff Allocation
$26,392
$360
Appraiser
$916
$530
$158
$0
$28,356
FTEs, this activity
Comment
28%
5%
5%
10%
0.48
With the increase in the number and complexity of appeals in the past several years,
we have reduced the resources spent on inspection and appraisal of non-residential
property, and placed the emphasis on the appeals. While it seems foolish to reduce
resources at a time when the initial assessment is more important, there was no alternative.
Very few parcels have not been appealed at least once in the past four years, so we are,
in a fashion, completing thorough reviews through the appeals rather than by inspection.
Information that is gathered for appeals is utilized to adjust similar properties on subsequent
assessments. Surveys of income producing properties that had been mailed annually
have been reduced or eliminated due to lack of response. Instead, industry sources are
utilized and individual requests made. Legislation passed in 1993 will require that values
be determined for CONTAMINATION TAX, a new tax on the amount of value reduction due
to contamination. This will require significant changes to our computer system and additional
analysis on affected parcels. Additional appeals are also likely.
•
Page 2
Assessor
'
II
Assessment Technician
Assessing Secretary
ACT115.XLS
•
DEPARTMENT: Assessing (115) ACTIVITY:
Appeals
Activity Description
After making the assessment each year, the Assessor defends that assessment at several levels.
Informal appeals are made directly by property owners following receipt of their value and
classification notice, appeals are made to the Board of Equalization, applications for abatements
are filed, or petitions are filed in the Minnesota Tax Court. Over the past several years, the number
of petitions filed has increased from 44 in 1989 to 105 in 1993. Beyond the increase in numbers,
these cases have become more complicated and time-consuming as issues such as ground
water contamination, business enterprise, and bankruptcy litigation have been raised and analyzed.
Percent of Total Dept. Budget 30%
1994 Objectives
•
1) Contact petitioner upon receipt of setting to request data.
2) Complete analysis and report 30 days following receipt of data.
3) Review findings with Hennepin County Assessor's and Attorney's offices
4) Attempt appraisal-based resolution or proceed to trial.
5) Inform taxing jurisdictions of anticipated impact to mitigate impact.
Requested 1994 Budget
Personnel
$54,715
Supplies
$360
Services
$5,496
Dues & Subscr.
$265
Vehicle Services
$158
Capital Outlay
$0
Total
$60,994
Comment
Staff Allocation
Assessor
60%
Appraiser 11
5%
Assessment Technician
15%
Assessing Secretary
20%
FTEs, this activity 1.00
Following the over-building of the 1980's and the Tax Reform Act of 1986, commercial,
industrial, and apartment values have fallen dramatically. Coupled with a credit or equity
crunch in the early 1990's and new wetland and watershed requirements, values have
fluctuated and market activity slumped. Minnesota has extremely high tax rates on non-
residential property and attorneys have found fertile ground for appeals. Therefore, we
have had to significantly shift resources to analysis and defense of these appeals.
If an adequate defense is not made, attorneys representing owners will seek and receive an
advantageous assessment, not simply a fair assessment. As reductions and refunds have
been made, the loss of anticipated revenues to jurisdictions has become critical. We will
continue to advise the City and local school boards on anticipated losses.
•
Page 3
ACT115.XLS
0 DEPARTMENT: Assessing (115) ACTIVITY: Special Assessments
Activity Description
Special Assessments are maintained on the Special Assessments module of the Property
Data System (PDS) . This is a computerized application through LOGIS. Special Assessments
occur from improvement projects or unpaid items such as weed destruction or utility bills.
Specific assessment amounts and affected parcels are reported to Assessing by Finance,
Public Works, or other departments and the data is entered. Reports of pending, certified,
and other assessments are available for public inspection. Reports are made to Hennepin
County as levies are certified. Search reports are provided to various users for a fee.
Percent of Total Dept Budget 10%
1994 Objectives
1) Implement Public Inquiry on terminal to eliminate report updates.
2) Reduce administrative costs and time.
3) Utilize Local Area Network(LAN) to improve coordination between departments.
Requested 1994 Budget
Staff Allocation
Personnel $19,381
Assessor
2%
Supplies $360
Appraiser II
0%
Services $916
Assessment Technician
5%
Dues & Subscr. SO
Assessing Secretary
50%
Vehicle Services $0
Capital Outlay $0
Total $20,657
FTEs, this activity
0.57
Comment
Assessments are levied against benefitting properties for improvements and against
delinquent properties for City services. Errors expose the City to further costs. Therefore,
every effort is made to prevent errors and coordinate this activity between departments.
Currently, printed reports are updated or replaced manually. We propose to replace the
reports with an on-line terminal to be used by the public. This will address objective # 2.
•
Page 4
S MEMORANDUM
TO: Gerald G. Splinter, City Manager
FROM: Charles Hansen, Finance Director
DATE: April 29, 1994
SUBJECT: Forecast/Overview of 1995 Budget.
The following sheets represent my effort to give a forecast or
overview of the challenges we will face in preparing a budget for
the year 1995.
I began with expenditures as shown on the first spread sheet. Most
reports of inflation are in the 2.5% to 3% range and may be
increasing, so I took 1994 appropriations and increased them by 3%.
(The E.D.A. and H.R.A. amounts are just the portion of their
budgets supported by property taxes.) I also added $123,000 for
debt service which is my estimate of the property tax levy needed
to support bonds which will be sold to finance street improvements
in the northwest neighborhood and the James/Knox area. This raises
total spending by 4.1%. This assumes no new services or additional
police officers.
Next I assumed that revenues would have to raise 4.1% to meet the
City Charter requirements for a balanced budget. Each revenue
estimate was raised 3%, unless I had reason to believe something
different would happen. As is described by the L.M.C. Cities
Bulletin, the prospects for intergovernmental revenue is very bleak
for 1995. I assumed that 1995 revenue would be frozen at the 1994
level. That may be overly optimistic. Fines & Forfeitures have
been falling for the last five years and are running at an
annualized rate of $108,000 so far in 1994. Transfers to the
General Fund from the Liquor and M.S.A. Construction Funds are
maximized at the $190,000 level.
All these revenue shortfalls and
the property tax to rise faster
increase in spending results in
tax with this set of assumptions.
new debt service spending force
to keep us in balance. A 4.1%
. 7.71% increase in the property
0
fincomm/allaprop
CITY OF BROOKLYN CENTER,
MINNESOTA
COMBINED ANNUAL OPERATING BUDGET FOR ALL BUDGETED
CITY FUNDS
INCLUDING THE
GENERAL FUND -
DEBT RETIREMENT FUNDS
ECONOMIC
DEVELOPMENT
AUTHORITY (EDA)
FUND - HOU
SING AND REDEVELOPMENT(HRA) FUND
1995 PROPOSED RESUME OF
APPROPRIATI
ONS AND EXPENDITURES
1992
1993
1994
1995
1995
1995 %
Actual
Actual
Adopted
Proposed
Increase
Increase
Expend-
Expend-
Approp-
Approp-
-Decrease
-Decrease
itures
itures
riations
riations
From 1994
From 1994
I.
GENERAL FUND BY FUNCTION AND ORGANIZATIONAL UNIT
-
A.
-
General Government
1,797,900
1,560,674
1,728,089
1,779,932
51,843
3.00%
B.
Public Safety
3,938,920
3,870,562
4,669,904
4,810,001
140,097
3.00%
C.
Public Works
1,594,190
1,756,188
1,610,962
1,659,291
48,329
3.00%
D.
Health & Social Services
114,579
41,325
41,572
42,819
1,247
3.00%
E.
Recreation
1,783,811
1,999,271
2,124,425
2,188,158
63,733
3.00%
F.
Economic Development
187,606
178,702
171,000
176,130
5,130
3.008
G.
Unallocated Expenses
273,275
300,803
567,493
584,518
17,025
3.008
Total General Fund
9,690,281
9,707,525
10,913,445
11,240,848
327,403
3.008
II.
DEBT SERVICE FUNDS BY FUND
A.
1980 Park Improvement Bond
Redemption Fund
335,748
322,383
0
0
0
B.
1991 Cert. of Indebtedness
Redemption Fund
261,000
153,000
0
0
0
C.
1992 Cert. of Indebtedness
Redemption Fund
198,000
265,200
0
0
0
D.
1993 Cert. of Indebtedness
Redemption Fund
0
129,600
0
0
0
E.
1994 Spec Assess Bonds
0
0
0
123,000
-
123,000
Total Debt Redemption
794,748
870,183
0
-
123,000
123,000
III.
E.D.A. & H.R.A. FUNDS
A.
Economic Development
175,543
165,739
170,711
4,972
3.00%
B.
Housing & Redevelopment
142,859
137,986
139,360
143,541
4,181
-
3.009
Total EDA & HRA
142,859
313,529
305,099
314,252
-
9,153
3.00%
IV.
TOTAL APPROPRIATIONS
AND EXPENDITURES
10,627,888
10,891,237
11,218,544
11,678,100
459,556
4.10%
4/27/94
fincomm\rvdetaii
CITY OF BROOKLYN CENTER,
MINNESOTA
COMBINED ANNUAL OPERATING
BUDGET FOR ALL BUDGETED
CITY FUNDS
INCLUDING THE GENERAL FUND
• DEBT RETIREMENT FUNDS -
ECONOMIC DEVELOPMENT AUTHORITY (EDA)
SPECIAL OPERATING FUND
1995 PRELIMINARY RESUME
OF REVENUE
AND ESTIMATED REVENUE
1995
1995 %
1992
1993
1994
1995
Increase
Increase
Actual
Actual
Estimate
Estimate
-Decrease
-Decrease
Revenue
Revenue
Revenue
Revenue
From 1994
From 1994
I. GENERAL PROPERTY TAXES
General Fund Levy
3,896,362
4,630,565
5,489,414
5,799,711
310,297
5.65%
Debt Retirement Levy
632,150
220,998
0
123,000
123,000
EDA Special Levy
0
140,750
129,256
134,228
4,972
3.85%
HRA Special Levy
128,362
121,682
121,525
125,706
4,181
3.44%
Total Property Taxes
4,656,874
5,113,995
5,740,195
-
6,182,645
442,450
-
7.71%
II. LODGING TAXES
394,960
376,146
-
360,000
-
370,800
-
10,800
3.00%
III. LICENSES & PERMITS
332,185
300,478
2891300
297,979
8,679
3.00%
IV. INTERGOVERNMENTAL REV.
General Fund
3,133,495
3,167,212
3,319,818
3,319,818
0
0.00%
EDA Special Levy
34,792
36,483
36,483
0
0.00%
HRA Special Levy
14,497
16,304
17,835
17,835
0
0.00%
Debt Retirement Fund
157,200
56,410
0
0
0
Total Intergovmt. Rev.
3,305,192
3,276,718
3,374,136
3,374,136
0
0.008
GEN. GOVERN. CHARGES
34,934
-
37,968
35,100
36,153
1,053
3.00%
PUBLIC SAFETY CHARGES
25,669
16,861
22,100
22,763
663
3.00%
VII. RECREATION FEES
734,273
784,056
879,713
906,104
26,391
3.00%
VIII. FINES & FORFEITURES
148,701
140,104
144,000
108,000
-36,000
-25.00%
IX. MISCELLANEOUS REVENUE
Sale of Certificates
480,000
120,000
0
0
0
Other Revenue
General
301,771
279,212
184,000
189,520
5,520
3.00%
Debt Retirement
23,339
16,628
0
Total Miscl. Revenue
805,110
415,840
184,000
-
189,520
5,520
3.00%
X. TRANSFERS-OTHER FUNDS
To General
140,000
175,000
190,000
190,000
0
0.00&
To Debt Retirement
421,764
Total Transfers-Other
140,000
596,764
190,000
190,000
0
0.00%
TOTAL REVENUE & TRANSFERS
10,577,898
11,058,930
11,218,544
11,678,100
459,556
4.10%
TOTAL GENERAL FUND
9,622,350
10,027,602
10,913,445
11,240,848
327,403
3.00%
TOTAL DEBT RETIREMENT FUND
812,689
717,800
0
123,000
123,000
TOTAL EDA SP. OPER. FUND
0
175,542
165,739
170,711
4,972
3.00%
WAL HRA SP. OPER. FUND
---142,859
137,986
139,360
143,541
-----4,181
3.00%
TOTAL BY FUND
10,577,898
11,058,930
11,218,544
11,678,100
459,556
4.10%
1
•
•
League of Minnesota Cities ~ -L
Cities Bulletin
Number 12
City officials travel to St. Paul;
hope to influence tax bill
City officials urged legislators not
to cut state aid to cities and to restore
funding in the local government trust
fund when they met in St. Paul on
Thursday, April 21, 1994.
The state created the trust fund in
1991 dedicating a percentage of the
sales tax to local government needs.
As sales tax revenues rose, so too was
cities' portion to rise. Likewise when
sales tax revenues declined, cities
would shoulder that burden.
"Each year, though, legislators
erode the fund by adding more
programs, leaving less and less for
cities," said League of Minnesota
Cities President Chuck Winkelman,
mayor, St. Cloud.
After supporting and defending
the local government trust fund since
its inception, the LMC board and other
city groups changed course Thursday
and backed a Senate proposal to
eliminate the trust fund. The Senate
replaced the trust fund with an infla-
tionary index that will provide city aid
increases. The House omnibus tax bill
maintained the trust fund but none of
the future revenue growth was appro-
priated for city aid increases.
City groups testifying before the
Tax Conference Committee stated: If
the Legislature and governor refuse to
guarantee trust fund revenue growth
for city local government aid (LGA)
and for homestead and agricultural
credit aid (HACA), the trust fund will
continue to be meaningless. Therefore
the trust fund should be abolished
rather than used as an excuse to
further cut LGA and HACA.
At their rally on Thursday,
Winkelman said, "Although cities
have supported the trust fund, the
Senate growth factor for local govern-
ment aid is the only promise for any
aid increases in the future."
Cities opposed the House portions
of the tax bill that further restrict tax
increment financing. The House
provisions would make development
and redevelopment impossible in most
cities. Tax increment financing is the
last remaining tool cities can use to
encourage development in marginal
areas.
City officials voiced concern
about a potential veto of the tax bill
this year. Winkelman said, "A veto
would mean automatic cuts in the trust
fund in December, and no increase in
local government aid in 1995. The
only options for cities are to increase
property taxes or cut services." 0
Next week in Cities Bulletin...
Tax bills are expected on the House and Senate floors early next week.
In the April 29 issue we will analyze the bills and took at how they may
affect cities.
April 22, 1994
Achievement
awards deadline
approaches
Does your city have some-
thing to brag about? Have you
instituted a new, innovative,
successful program in your
community? If so, enter your city
in the 1994 City Achievement
Awards competition. Entries are
due April 29, so send in your
entry soon.
You may enter materials,
plans, or projects your city has
produced between January 1,
1993 and April 15, 1994.
Judges will select winners for
each population group (under and
over 10,000 population) in five
categories:
• Communications
• Community
Development
• Public Safety
• Cooperation and
Consolidation
• Management
Hurry, enter now. See
complete details on page 9. 0
Route to:
1994 top issues
Contents
City officials travel to St. Paul; hope to influence tax bill
1
Achievement awards deadline approaches
1
Would a minimum wage increase affect your city?
3
Tax conference commitee begins deliberations
3
Data practices, open meeting bill goes to conference
4
POST Board considering new rules
4
League seeks city officials to serve on leadership institute
committee
4
Action alert-Most cities will have to change election
dates under Senate proposal
5
Tenn limits dead for now
5
GASB to issue statement on debt refundings
5
Minnesota Cities 1994 Photo Contest
6
Cities must comply with federal sludge rules
6
League of Minnesota Cities Legislative Review Sessions
7
Training/awards
8
1994 City Achievement Awards
9
Municipal ads 1
0
The Cities Bulletin is a publication of the League of Minnesota Cities and
includes an update of state legislative, administrative, and congressional actions that affect
cities. It also includes reviews of metropolitan area issues by the Association of Metropoli-
tan Municipalities. The Cities Bulletin lists authors of bill summaries and some articles by
their initials.
League legislative staff members are available to answer your questions concern-
ing legislation relating to cities.
Executive Director Editors Typesetting and design
Jim Miller Jean Mettle Goad Gayle Bnxh
Tim Busse Laurie Audette
The League of Minnesota Cities has
eight priority issues for the 1994
legislative session. We will include
this list every week with a page
number after the issue if we include a
story.
State Aid to Cities - Preserve 1994
level and seek additional funding for
future years for LGA and HACA. /
page 1, 3
Local Government Trust Fund -
Stabilize the LGTF and resolve the
current shortfall. / page 1, 3
Open Meeting Law - Clarify require-
ments and permit defense of alleged
violations. / page 4
Annexation - Preserve 1992 annex-
ation amendments, expand cities
ability to annex urban or urbanizing
areas, and control growth in nonurban
areas.
Landfill Cleanup - Establish new
program separate from Superfund to
clean up closed municipal landfills.
Public Employment Labor Rela-
tions Act - Reform PELRA's interest
arbitration provisions to balance the
bargaining power of essential and
nonessential public employees.
Development/Redevelopment -
Remove the aid penalties on TIF for
manufacturing and redevelopment
districts; obtain additional funding for
pollution clean-up. / page 1
17ransportation Systems Funding -
Increase funding for roads and transit
by extending the sales tax to gasoline;
or increase the gas tax and establish
dedicated revenue for transit. 40
League of Minnesota Cities, 3490 Lexington Avenue North, St. Paul, MN 55126
1'lantu: (t,t 2)4+X1-~M)tl; Fax: (ht2) 4~►()-tx172;"rt)1): (b12) 49t1 X)30; I-NOO-925-1122, p1w; ytwr city co le Printed on recycled paper
Page 2 LMC Cities Bulletin
• POLICY AND PROCEDURE ON
MAYOR AND COUNCIL MEMBER TOTAL COMPENSATION
1. NEED FOR POLICY:
The community is entitled to a clearly articulated, written description of the policy and
procedure for establishing the total compensation of local elected officials.
II. POLICY:
1. Service on the City Council is a civic obligation and an honor. The total
compensation of the Mayor and Council Members should, therefore, not
encourage candidacies based on monetary rather than public service
objectives. However, the compensation of Brooklyn Center elected officials
shall be fair and equitable in order to attract qualified candidates for local
elective office.
2. The propriety of the compensation levels of the Mayor and Council Members
shall be evaluated through comparisons with compensation paid to similar
officials within the seven county metropolitan area.
3. The compensation levels of elected officials should be regularly reviewed and
• adjusted to ensure compliance with the objectives of this policy and to avoid
the need for drastic or sudden compensation adjustments.
4. Compensation set pursuant to this policy and procedure shall be deemed to
be the total compensation for elected officials of the city with the exception
of expense reimbursement which shall be the same as provided all other city
employees.
III. PROCEDURE:
1. The City Manager shall biennially conduct a survey of compensation paid to
elected officials of comparably sized municipalities with similarly sized
budgets and tax bases in the seven county metropolitan area. Surveys
prepared by the Association of Metropolitan Municipalities or the League of
Minnesota Cities may be utilized in lieu of the City Manager's survey.
2. The City Manager shall biennially prepare a compensation report that
contains an analysis of the survey information. The report shall compute the
average amounts paid to Mayors and Council Members and correlate survey
results to the current compensation of Brooklyn Center elected City officials.
0
• 3. The City Manager shall submit the compensation report to the City Council
and the Financial Commission prior to June 1, for information pertaining to
the applicable calendar year.
4. The Financial Commission shall biennially review the City Manager's
compensation report and discuss possible budgetary and public perception
impacts of the indicated changes. Prior to July 1, of the same year, the
Commission shall recommend to the City Council that the compensation of
the Mayor and Council Members either remain the same or be changed to
some specific amount in the manner prescribed by law.
5. Consistent with the City Charter, Section 2.07, the Mayor and Council
Members may, after conducting public hearings, set their compensation by
ordinance. No change in compensation shall be in effect until January 1,
following the next succeeding general election.
IV. AUTHORITY:
The authority for establishing compensation for the Mayor and Council Members is found
in Minnesota Statutes 415.11 and the City of Brooklyn Center Charter, Section 2.07.
•
0
LEAGUE OF MINNESOTA CITIES
.
SURVEY O
F MAYOR AND COUNCILMEMBER SALARIES
CITIES WITH POPULATIONS
FROM 20,000 TO
40,000
ANNUAL SALA
RY in 1994
MUNICIPALITY
POPULATION
MAYOR COUNCIL MEMBER
Apple Valley
37,035
$8,400
$6,000
Cottage Grove
24,574
$6,600
$4,800
Crystal
23,839
$7,421
$5,626
Fridley
28,369
$8,400
$6,900
Golden Valley
21,019
$9,105
$6,815
Inver Grove Heights
23,721
$7,500
$6,000
Lakeville
27,982
$8,400
$7,200
Maplewood
31,909
$8,686
$7,644
New Brighton
22,324
$7,200
$5,580
New Hope
21,875
$8,280
$6,006
Oakdale
20,574
$6,000
$5,820
Richfield
35,625
$7,573
$5,878
Roseville
33,522
$7,800
$6,000
Shoreview
25,345
$6,492
$4,872
South St. Paul
20,295
$7,200
$4,200
.
White Bear Lake
25,101
$4,800
$3,600
Woodbury
23,252
$4,920
$3,600
AVERAGE
26,257
$7,340
$5,679
Brooklyn Center 1 28,5581 1 $7,300 $5,3001
0
N
O
0
CITIES
WI
POPULATION
UNDER
2,540
POPULATION 1992
REG. SP.
ANNUAL SALARY
OF MAYOR ANNUAL
SALARY OF CNCLMBRS
o
PER
KTG. f KTG
.
o
14MICIPALITY
METRO COUNCIL
MO.
1994
-
1993
1992
1994
1993
1992
z
Bethel.
428
2
$ 960
$ 960
$720
$ 720
$720
$
110
Birchwood Village
1,042
1
*
*
600
*
*
340
1-1
.
Carver
755
1
900
900
940
600
604
600
Centerville
1,968
2
2,100
2,100
2,100
1,020
1,020
1,020
ti
N
Coates
184
1
500
500
540
300
300
300
=
Cologne
567
2
600
600
600
480
480
480
Dellwood
893
2
$
Na Salary *
$ 1
No Salary
*
Excelsior
2,395
2
?200
1,200
1.200
600
600
600
Elko
234
1
*
720
720
*
480
480
Gem Lake
440
1
1700
1,700
1,540
728
728
560
Greenfield
1,528
1+
1200
1,200
1,200
600
600
+600
i
Greenwood
512
1
*
*
3,600
*
*
2,400
Hamburg
502
1
600
604
600
480
480
480
'J
Hanover
331
2
*
11200
1,200
*
900
900
u
Hampton
385
1
*
740
540
Hilltop
755
1
3000
3,000
3,000
2400
2,400
2,400
i
Lakeland
2,406
1
3000
3,000
3,000
2300
2,300
2,300
a
Lakeland Shores
295
1
none
none
920
none
none
860
V) 0
9 0
N
N
O
O
Z
CITIES WITH
POPULATION UNDER
2,500
POPULATION 1992
REG. MTG.
ANNUAL SALARY
OF MAYOR ANNUAL SALARY OF
CNCLMBRS.
PER
MUNICIPALITY
METRO COUNCIL,
PER MONTH
1994
1993
1992
1994
1993
1992
a'
r~
Lake St. Croix
Beach 1,103
1
960
960
960
720
720
720
N
Lexington
2,210
2
1,800
1,800
1,800
10500
1,500
1,500
Q
CE:
Lilydale
501
1
*
2,400
1,200
*
1,020
500
Long Lake
1,995
2
3,600
3,600
3,600
3,000
3,000
3,000
Loretto
444
1
800
800
800
600
600
600
Maple Plain
2,076
2
2,400
2,400
2,400
1,200
1,200
1,200
0
0
Marine on St.
Croix 607
0
*
1,250
1,250
*
500
500
C71
Mayer
495
1
600
600
600
480
480
480
N
Medicine Lake
388
1
ISO
*
ISO
120
*
120
J
Mendota
164
1
700
180
360
500
120
240
Miesville
135
1
480
420
360
300
w
Minnetonka Bea
ch 61.2
1
No
Salary *
*
No Salary
H
New Germany
366
1
480
480
480
360
360
360
z
New Market
224
1
*
1200
540
*
6010
300
i
iJ
n
L
i1
-2-
J
~
CD
•
•
•
CL
N
N
O
O
z
CITIES WITH
POPULATION UNDER
2
500
,
POPULATION 1992
REG. MTG.
ANNUAL SALARY OF MAYOR
ANNUAL
SALARY OF
CNCLMBRS.
PER
MUNICIPALITY
METRO COUNCIL
PER MONTH
1994
1993 1992
1994
1993
1992
New Prague
2,481
2
2,400
1,8003
z
New Trier
96
1
*
484 480
*
325
300
Northfield
217
4,800
3,604
Norwood
1,377
I
720
720 720
480
480
480
Pine springs
434
1
No Salary
No Salary
v
D
Randolph
448
1
*
* 960
*
*
480
D
i
Rogers
730
2
1500
1500 1,500
1200
1200
1,200
7
Iv
St. Bonifacius
1,191
2
1500
1,500 1,500
1200
1,200
1,204
J
St. Mary's Point
358
1
*
* 600
*
*
420
J
Spring Park
1,474
2
2400
2,400 2,400
1800
1,800
1,800
Sunfish Lake
436
1
No Salary
No Salary
Tonka Bay
1,474
2
1800
1,800 1,440
1200
1,204
1,000
i
}
Vermillion
510
1
600
720 720
540
540
540
Victoria
2,669
2
2275
2,275 2,275
1635
1,635
1,635
•
0
UO
rn
sz
•
1CZp~Ty
Water'°ll
,aillernie
,Woodland
young Arierl''a`
N
N
O
n
Ll
b
J
,5p0
Z~ pt)PUATZ4t~ ~S~ER 2
' O~ ~yOR
GITZES ~ SAL
Tlog 1942 IKT 1g~4 1993 19,9
pt?PU E 1409TA 1,08a 1,Q80
T4ETR4 ~T I~ 2 121 500 600
2 f 459 1 $04 40 40
587 1 40 3.8320 11320
449 1 1320
1x386
.4. Y OT CLgCvLBRS
JXL S 1g9?
ma
1993
19 4 960
1080 960
480
480
480 20
20
20 720
720 720
CL
C1I
0
0
z
CITIES WITH
POPULATION FROM
2,500 TO
10,000
POPULATION 1992
REG.
MTG. ANNUAL
SALARY
OF MAYOR
ANNUAL
SALARY OF
CNCLMBRS.
PER
cr
MUNICIPALITY
METRO COUNCIL
PER
MONTH 1994
1993
1992
1994
1993
1992
Afton
2,736
1
1,800
$1,800
$1,800
1,200
$1,200
$ 1,200
c~
Arden Hills
9,513
2
3,600
3,600
2,900
3,180
3,180
2,3+00
Cr
Bayport
3,155
1
2,700
2,700
2,700
2,100
2,100
2,100
Belle Plaine
3,184
2
2,0100
1,800
1,400
1,800
1,400
1,100
Circle Pines
4,779
2
2,004
1,500
1,500
1,450
1,125
1,125
Corcoran
5,405
2
1,800
10800
1,800
1,200
1,200
1,200
O
CD
0
Dayton
4,571
2
1,750
1,750
1,750
1,250
1,250
1,300
Cn
Deephaven
3,681
2
2,400
2,400
2,400
600
600
600
1 1-4
East Bethel
8,417
2
2,700
2,700
2,700
2,400
2,400
21400
w
Falcon Heights
5,293
2
4,500
4$00
4,500
3,600
3,600
3,600
Farmington
6,347
2
3,000
3,000
3,000
3,000
3,000
3,000
Forest Lake
50-098
2
1,200
1,500
1,500
1,000
1,204
1,200
Ham Lake
9,273
2
4,0300
4,000
4,000
3,200
3,200
3,200
Hugo
836
2
2$160
2,160
600
1,800
L,800
480
L
r;
,r
--5
J
r
Q
N
N
C}
d
Z
1-4
~s
c~
N
O
i
0
(7)
C`J
J
W
J
} Ci i
} W
H
} f-
} H
r c~~
1
W
rn
r'[
~I
•
MUNICIPALITY
Independence
Jordan
Lake Elmo
Lauderdale
Little Canada
Mahtomedi
Medina
Mendota Heights
Minnetrista
Mound
Newport
New Prague
North Oaks
POPULATION 1992
PER
METRO COUNCIL
2,`344
3,015
5,965
2,710
9,081
5,85L
3,430
9,926
3,555
9,652
3,756
3,683
3,516
0 0
CITIES
WITH POPULATION
FROM 2.500 TO 10 , 000
REG. MTG.
ANNUAL
SALARY OF
MAYOR
ANNUAL
SALARY OF
CNCLMBRS.
PER MONTH
1994
1993
1992
1994
1993
1992
2
1,800
1,800
1,800
1,200
1,200
1,200
2
3$00
3,300
3,300
1,800
1,800
1,800
2
2,400
2,400
2,400
1,800
1,800
10800
2
2,456
2,456
*
1,376
*
1,376
2
4,080
4,080
4,080
31180
3,180
3,180
2
3,800
1,800
1,800
10500
1,500
1,500
2
2,700
2,700
*
1,800
1,800
1,200
2
3,600
3,600
3,600
2,400
2,400
2,400
4
2
2,400
2,400
1,800
0
1,8
840
1,800
3
1,800
1,800
1,800
1,200
1,200
1,200
2
3,000
3,000
3,010
2,400
2,400
2,400
2
2,400
2,400
2,400
1,800
1,800
1,200
o
1
180
180
180
120
120
12
-4>-
co • •
0
a.
(14
N
0
0
Z
U-)
CITIES
WITH POPULATION
FROM 20
500 TO 1
0,000
~
1-4
POPULATION 1992
REG. MTG.
ANNUAL
SALARY OF
MAYOR
ANNUAL
SALARY OF
CNCLMBRS.
PER
MUNICIPALITY METRO COUNCIL
PER MONTH
1994
1993
1992
1994
1993
1992
Oak Grove Twsp.
5,756
2
*
*
3,000
*
*
2,400
Oak Park Heights
3,627
2
3,000
3,000
3,000
2,400
2,400
2,400
¢
Orono
7,303
2
3,600
30600
3,600
2,900
2,900
2,900
Osseo
2,660
2
1,200
1,800
1,200
1,020
1,200
1,020
Rockford
2,759
2
1,000
1,000
1,000
750
750
750
CV
Rosemount
9,750
2
4,200
4,200
4,200
3,600
3,600
3,600
r11-
CD
(
St. Anthony
7,994
2
4,680
4,500
4,500
3,120
3,000
3,000
CD
i
St. Francis
2,719
2
1,800
1,800
1,800
11200
1,200
1,200
Q0
St. Paul Park
5011+6
2
3,300
3,300
3,300
21700
2,700
2,700
Shorewood
5,322
2
3,000
3,000
2,400
20400
2,400
1,800
Spring Lake Park
6,598
2
4,200
4,200
41200
3,600
3,600
3,600
Victoria
2,669
2
2,275
2,275
2,275
1,635
1,635
1,635
F-I
~
Waconia
3,689
2
2,400
20,400
2,400
2,000
2,000
2,000
t~
Z
Wayzata
3,882
2
3,600
3,600
3,620
2,400
2#400
2,400
White :Bear Twsp.
9,985
3
6,000
6,000
w
13
i
•
i
N
N
O
0
z
CITI
ES WITH
POPULATION FROM
10,000 TO
20,000
Q0
POPULATION 1992
REG. MTG.
ANNUAL
SALARY OF
MAYOR
ANNUAL SALARY OF
CNCLMBRS.
PER
MUNICIPALITY
METRO COUNCIL
PER MONTH
1994
1993
1992
1994
1993
1992
Iq
rn
Andover
16,887
2
$4,200
$4,240
$4,200
$3,600
$3,600
$.3,600
~
cv
Anoka
=7,409
2
4,200
4,200
4,200
3,570
3,570
3,570
Q
cr
Champlin
8,244
2
4,976
4,976
4,700
3,971
3,972
3,750
Chanhassen
12,863
2
3,600
3,600
3,600
2,400
2,400
2,400
Chaska
12,430
2
3,600
3,600
3,600
31000
3,000
3,000
cN
Columbia Height
s 19,055
2
9,000
13,800
13,800
7,800
7,800
71800
r-
0
o
Hastings
16,032
2
4,800
4,800
4,800
3,600
3,600
3,600
i
CD
i
Hopkins
L6,419
3
5,200
5,200
5,200
4,000
41000
4,000
ev
Lino Lakes
L0,056
2
4,500
3,500
3,500
3,600
2,600
2,600
w
mounds view
L2r638
2 req/1 sp.
5r100
3r600
3i600
4r500
3■300
3r300
Northfield
15,052
2
41800
4,800
4,800
3,6030
3,600
3,600
w
North St. Paul
12,710
2
5,400
4,200
5,400
4,200
3,000
4,200
Prior Lake
11,876
2
4,200
4,200
4,200
3,[3(10
3,000
3,000
Ramsey
13,269
2
6,000
6,000
6 r 000
4,500
4, 5CO
4,500
y
Robbins-dale
14,429
2
6,600
6,600
6,600
5,280
5,280
5,280
•
•
ULT '014 1992
p
PO
S.CiF~
11 r?? 5
Savacje
1-21344
Shayokpee
141,59S
Stzlwater
11 r 420
e
Va als A
ights
19x286
'Oest St. pawl
ct
("I
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0
0
rn
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Lo
r°
U-
20 000
To ~ .
I0 F0=~040 SY OT
CI S or ypaopt 3.993
$AI+AY 1994 4 x200
G• 1992
4x200
RSG, rIT - )93' 144 4,1200 5 r 3-00
94 10p
p 1401; 3,00 5 r 140 5 r 5 r -,04 51 6, ooo
5 r ~,0 6r 124 6 r 400
2 6,12Q 6 rOoo 2x440
6,"1'20 .7 x240 21 400
3 r 604
2 7 r 2p4 7 r 200 3 r 904 2 r404 3 r 600
2 3,540 43rr~'00 41 200 31600
0
2 4x200 20
2
"4.w
v
v
i
3
i
r
a
•
XMICIPALIT'Y
Apple Valley
Blaine
Bloomington
Brooklyn Center
Brooklyn Park
Burnsville
Coon Rapids
Cottage Grave
Crystal
Eagan
Eden Prairie
Edina
Fridley
Golden Valley
POPULATION 1992
PER
METRO COUNCIL
37,035
40,501
86,927
28,558
57,688
52,733
56,+493
24,574
23,839
51,068
41,272
46,916
28,369
21,019
0 0
CITIES WITH POPULATION
OVER 20,000
REG. MTG.
ANNUAL
SALARY OF
MAYOR
ANNUAL
SALARY OF
CNCLXBRS.
PER MONTH
1994
1993
1992
1994
1993
1992
2
$8,400
$8,400
$7,200
6,000
6,000
6,008
2
9,424
8,724
8,424
6,600
6,372
6,216
2
16,008
15,000
15,080
10,000
10,000
10,000
2
7,304
7,150
7,000
5,300
5,150
5,000
2
13,140
12,900
12,600
8,760
8,580
8,400
4
98000
8,700
7,928
6,420
6,180
5,400
3
100000
10,000
18,000
9,000
9,000
9,000
2
6,600
6,600
6,600
4,800
4,800
4,800
2
7,421
7,421
7,421
5,626
51626
5,626
2
9,000
7,200
7,200
6,480
5,400
5,400
2
71200
7,200
6,000
6,000
6,080
4,800
2
7,050
7,100
7,050
5,100
5,100
5,100
2
8,400
8,400
8,400
6,900
6,100
6,100
2
9,105
9,2.05
9,105
6,815
6,815
6,815
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CITIES WITH POPULATION OVER 20,000
POPULATION 1992 REG. MTG. ANNUAL SALARY OF MAYOR
PER
MUNICIPALITY METRO COUNCIL PER MONTH 1994 1993 1992
Inver Grove Heights 23,721 3 7,500 7,000 5,000
Lakeville
27,982
Maple Grove
41,420
Maplewood
31,909
Minnetonka
49,266
New Brighton
22,324
New Hope
21,875
Oakdale
20,574
Plymouth
53,781
Richfield
35,625
Roseville
33,522
St. Louis Park
43,875
Shoreview
25,:345
South St. Paul
20,295
White Bear Lake
25,101
Woodbury
2-2,252
*i~ o .~C"4r+~.`.T/JI se
2
2-4
2
4
2
2
2
2
2
2
2
2
2
2
2
8,404
8,000
8,686
8,400
7,200
8,280
60000
8,x600
7,573
7,800
8,000
8,458
8,400
7,200
7,204
7,200
7,908
8,400
7,200
8,089
6,000
8,600
7,573
7,200
8,078
6,000
8,600
7,573
7,800
7,200
9,000
9o,601
6, 492
6, 492
7,200
7,200
4,800
4,8001
4,920
4,,9.0
0
ANNUAL SALARY OF CNCLMBRS.
1994
1993
1992
6,000
6,000
4,200
7,200
6,600
60,000
6,000
6,000
6,000
7,644
7,644
6,959
5,604
5,604
5,640
5,580
5,580
5,580
6,006
51860
5,716
5,820
5,820
5,820
60,300
6,300
6,300
5,878
5,878
5,878
61000
5,400
5,400
7,200
7,200
7,202
4,800
6,240
4,872
4,872
4,680
-7,200
4,200
4,200
4,200
4,800
3,600
3,600!
3,600
4,620
3,600
3,600
3,300