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HomeMy WebLinkAboutCouncil Information Memorandum 09-30-2011CITY OF PLYMOUTH rp) COUNCIL INFO MEMO September 30, 2011 UPCOMING MEETINGS AND EVENTS Gopher Soccer Plymouth Community Day 10/02/11........................................................................... Page 1 Bassett Creek Watershed Management Commission Public Hearing 11/16/11 ................................... Page 2 Notice of Plymouth Councilmembers in Attendance 10/02/11 Adopt a Street .................................... Page 4 Planning Commission Agenda 10/05/11.............................................................................................. Page 5 Sand Companies West View Estates Cornerstone Setting 10/04/11 ..................................................... Page 6 Public Hearings on Redistricting Various October Dates.................................................................... Page 7 New Plymouth Business Council Meetings 10/11/11 (formerly TwinWest & Plymouth Rotary) ..... Page 10 October, November and December Official Calendars...................................................................... Page 11 Tentative Agenda List for Future Council Meetings.......................................................................... Page 14 INFORMATION News Articles, Releases, Publications, Etc ... Minnehaha Creek will be getting big improvements, StarTribune................................................... Page 16 Analysis: MVHC Elimination Supported by LMC Marks the End of a Recurring Shell Game, LMC.............................................................................................................................................. Page 18 Ehlers Market Commentary............................................................................................................... Page 19 MEETING MINUTES Wayzata Communities in Collaboration Council Minutes 09/21/11 ................................................. Page 21 STAFF REPORTS Volunteer Fire Relief Association Investment Report Card............................................................. Page 23 Plymouth Community Day Come and support the Taylor! Tickets are only $2 at the gate! For online purchase enter promo code: community Minnesota vs. Penn State Sunday, October 2, 2011 @ 11 a.m. Elizabeth Lyle Robbie Stadium 1745 Cleveland Ave. St. Paul, MN 55108 September 28, 2011 TO: City Clerk - BCWMC Member Cities FROM: Bassett Creek Watershed Management Commission (BCWMC) RE: Notice of Public Hearing — November 16, 2011, hearing on Proposed BCWMC Capital Improvement Project — the Sweeney Lake Outlet Reconstruction Project in Golden Valley Attached is a Notice of Public Hearing notifying the Bassett Creek Watershed Management Organization Member Cities that the Bassett Creek Watershed Management Commission (BCWMC) is holding a public hearing to explain a proposed Capital Improvement Project and to hear testimony and comments of the public and member cities regarding the proposed project. The public hearing will be held during the BCWMC's 11:30 a.m. meeting on Wednesday, November 16, 2011, at the BCWMC's regular meeting location of Golden Valley City Hall. Interested persons are invited to attend the public hearing. The proposed Sweeney Lake Outlet Reconstruction Project in Golden Valley involves: • The replacement of the twenty-year old Sweeney Lake outlet structure with a structure that will include a sheet pile weir extending into the embankments to prevent seepage under the structure and to prevent erosion of the embankments and the installation of riprap on the embankment portions of the structure and in the channel downstream of the weir to prevent erosion. • The estimated cost of the project is $250,000 to be paid through existing funds in the Bassett Creek Watershed Management Commission's Flood Control Long - Term Maintenance Fund. • The anticipated construction year is 2012. If you have any questions regarding the public hearing, please contact the BCWMC's Engineer, Len Kremer, at 952-832-2781 or LKremer@barr.com or me at or linda.loomis@ci.golden-valley.mn.us or 763-593-3990. Sincerely, Linda Loomis, Chair, Bassett Creek Watershed Management Commission Enclosure Page 2 BASSETT CREEK WATERSHED MANAGEMENT COMMISSION NOTICE OF PUBLIC HEARING Proposed Capital Improvement Project - Sweeney Lake Outlet Reconstruction Project in Golden Valley NOTICE IS HEREBY GIVEN that the Bassett Creek Watershed Management Commission (BCWMC) will meet at Golden Valley City Hall, 7800 Golden Valley Road, Golden Valley, Minnesota, on Wednesday, November 16, 2011, and will hold a public hearing at 11:30 a.m. Interested persons are invited to attend. The purpose of the public hearing is to explain the proposed BCWMC Capital Improvement Project and to hear testimony and comments of the public and member cities regarding the proposed project. The proposed Sweeney Lake Outlet Reconstruction Project in Golden Valley involves the following: • The replacement of the twenty-year old Sweeney Lake outlet structure with a structure that will include a sheet pile weir extending into the embankments to prevent seepage under the structure and to prevent erosion of the embankments and the installation of riprap on the embankment portions of the structure and in the channel downstream of the weir to prevent erosion. • The estimated cost of the project is $250,000. • The anticipated construction year is 2012. The proposed method by which the costs of the improvements are to be paid is through existing funds in the Bassett Creek Watershed Management Commission's Flood Control Long -Term Maintenance Fund. BASSETT CREEK WATERSHED MANAGEMENT COMMISSION Linda Loomis, Chair Page 3 NOTICE OF EVENT PLYMOUTH COUNCILMEMBERS IN ATTENDANCE City of Plymouth Environmental Quality Commission Is Participating in Plymouth's Adopt a Street Program Sunday, October 2, 2011, 12:00 p.m. Dunkirk Lane between Co. Road 6 and Co. Road 24 This is not an Official City Meeting and no business will be conducted, but a quorum of members may be in attendance. The group will be assembling in the parking lot at Fire Station 3. The event is hereby noticed and open to the public. Please call 763-509-5000 for further information regarding this event. Sandy Engdahl, MMC City Clerk Posted on September 28, 2011. Page 4 PLANNING COMMISSION AGENDA WEDNESDAY, October 5, 2011 WHERE: MEDICINE LAKE ROOM Plymouth City Hall 3400 Plymouth Boulevard Plymouth, MN 55447 CONSENT AGENDA All items listed on the consent agenda are considered to be routine by the Planning Commission and will be enacted by one motion. There will be no separate discussion of these items unless a Commissioner, citizen or petitioner so requests, in which event the item will be removed from the consent agenda and considered in normal sequence on the agenda. 1. CALL TO ORDER - 7:00 P.M. 2. PLEDGE OF ALLEGIANCE 3. PUBLIC FORUM 4. APPROVAL OF AGENDA 5. CONSENT AGENDA A. Approve the September 21, 2011 Planning Commission meeting minutes. 6. PUBLIC HEARINGS A. Gronberg and Associates. Preliminary plat for "Churchill Ridge 2nd Addition" for two single-family lots. (2011071) B. Suncrest Builders. Interim use permit for temporary occupancy of an existing home while a new home is constructed. (2011075) 7. NEW BUSINESS A. City of Plymouth. Four Seasons Mall redevelopment study. (2010101) 8. ADJOURNMENT Page 5 You are invited to the following event: West View Estates Cornerstone Setting Tuesday, October 4, 2011 from 11:00 AM to 12:00 PM (CT) West View Estates 6125 Vicksburg Lane N Plymouth, MN View Map �+ku Sand Companies, Inc. Planning Desip♦Conslxvrtion♦Property)lanagemenI Please join Sand Companies, Inc. & Plymouth Mayor Kelly Slavik as they set the cornerstone to dedicate the new construction start of West View Estates. We hope you can make it! Cheers, Sand Companies, Inc. Eventbrite Page 6 Cities Urged to Offer Comments on Impact of Redistricting 1 Lr, GTJE w JAI N N tSOTA CITIES Cities Urged to Offer Comments on Impact of Redistricting A series of public hearings will be held throughout the state in October. (Published Sep 22, 2011) Page 1 of') Now that both the Minnesota Special Judicial Redistricting Panel and the Citizens' Redistricting Commission have begun the process of gathering information to guide legislative and congressional redistricting, it is important for cities to submit comments and concerns about how the panel will draw new election boundaries for state legislative and congressional districts. In October, cities have the opportunity to provide important insights to identify communities of interest that should be maintained within the new legislative or congressional districts that the panel is responsible for creating. The five judge Special Redistricting Panel appointed by Minnesota State Supreme Court Justice Laurie Gildea has announced a series of public hearings to be held throughout the state during the month of October. Members of the public interested in testifying will have up to five minutes to address the panel at one of the eight locations listed below. Hearing schedule The public hearings are to be conducted from 6:30-8:30 p.m. The dates and locations are: Oct. 4—Bloomington Bloomington Civic Plaza 1800 W. Old Shakopee Road Oct. 5—St. Paul Minnesota Judicial Center Courtroom #300 25 Rev. Dr. Martin Luther King Jr. Blvd. Oct. 6—Minneapolis John B. Davis Educational Service Center 807 Broadway Street Northeast Oct. 10—Cloquet Fond du Lac Tribal Community College Amphitheater 2101 Fourteenth Street Oct. 11—Bemidji Beltrami County Administration Building County Board Meeting Room 701 Minnesota Ave. NW Page 7 http://www.Ime.org/page/l/redistricting-hearingsjsp sp 9/28/2011 Cities Urged to Offer Comments on Impact of Redistricting Oct. 12—Moorhead City Hall Council Chambers 500 Center Ave. Oct. 13—St. Cloud Stearns County Admin. Center Board Room A 705 Courthouse Square Oct. 14—Mankato Blue Earth County Justice Center Jury Assembly Room 401 Carver Road Page 2 of 3 Important points about redistricting This is an opportunity for cities to make the members of the special redistricting panel aware of the geography and changes that have occurred in the community since the 2002 redistricting, including neighborhoods, matters of historical importance, and significant features that distinguish the city. In addition, testimony, whether oral or written, can inform judicial panel members about the key social and economic circumstances that help define the community as well as any regional matters of significance to the city. The demographics of the city are also important to emphasize, including the age range of the city population, languages spoken, education, and employment. In addition, point out any major employers in the area and school district boundaries as well as traffic patterns that influence the flow of commerce and access to other locations beyond the city limits. Finally, comments on redistricting can emphasize important local interests and circumstances that.either distinguish the city from other locations in the immediate area or are similar to those of other nearby cities. To inquire about opportunities to testify, call (855) 245-0849. . Learn more about the public hearings from the Judicial Branch website Other ways to give your testimony If the city does not have an opportunity to provide oral testimony, it is possible to submit written comments by Oct. 21. Deliver one original and one copy of the written statement at one of the public hearings or send one original and one copy of the statement by U.S. mail to: Minnesota Special Redistricting Panel c/o Bridget Gernander, Clerk of Appellate Courts 305 Minnesota Judicial Center 25 Rev. Dr. Martin Luther King Jr. Blvd. St. Paul, MN 55155 Statements may also be transmitted by e-mail to: StateRedistrictingPanel@courts.state.mn.us Once public hearings have concluded, opportunity remains for interested parties to provide additional proposed redistricting criteria. Following the public hearings, the special redistricting panel will establish its redistricting principles and announce the scheduling for submissions of redistricting plans to Page 8 http://www.Ime.org/page/l/redistricting-hearingsjsp 9/28/2011 Cities Urged to Offer Comments on Impact of Redistricting be submitted by interested parties. Read the current issue of the Cities Bulletin Your LMC Resource Contact Ann Higgins IGR Representative (651) 281-1257 or (800) 925-1122 ahiggins@lmc.org Page 3 of 3 Copyright 02011 League of Minnesota Cities, 145 University Ave. W, Saint Paul, MN 55103-2044 1 Phone: (651) 281-1200 1 Toll -Free: (800) 925-1122 Page 9 http://www.Ime.org/page/l/redistricting-hearingsjsp 9/28/2011 da CHAMBER OF COMMERCE Sc writq O)e Standard, Leading the Way:" Join TwinWest and the Plymouth Rotary at the New Plymouth Business Council Meetings First meeting set for Tuesday, October 11 at WestHealth, Inc. in Plymouth The TwinWest Chamber of Commerce and the Rotary Club of Plymouth have joined forces to form a new Plymouth Business Council. The Plymouth Business Council is for business and civic leaders who want to have a voice and make an impact on local government and grassroots issues. Come attend the first Plymouth Business Council meeting to engage in conversations on timely topics with city, school, county, and state public officials, while networking with local business leaders. Thank you to Jeff Wosje of Bremer Bank - Plymouth for serving as chair of the new Plymouth Business Council. Plymouth and is an active TwinWest member. Jeff currently serves as president of the Rotary Club of Special thanks to WestHealth, Inc. for hosting the Plymouth Business Council meetings on the second Tuesday of each month. Visit TwinWest's events calendar for updated information on future meetings and upcoming off-site business tours. Meeting Details: Plymouth Business Council Tuesday, October 11, 2011 7:30 a.m. - 9:00 a.m. WestHeath, Inc. (Main Level Conference Room) 2805 & 2855 Campus Drive Plymouth, MN 55441 There is no cost to attend. No RSVP is necessary. For those who like to get an early morning hot cup of java, Cafe Espresso & More is located on the main level of WestHealth, Inc. and opens at 7:00 a.m. Water will be provided at the meeting. To be added to TwinWest's Plymouth Business Council group roster for monthly meeting agendas and information contact Kristen George, administrative assistant, at 763.450.2220 or kristenCcDtwinwest.com. Page 10 City of Plymouth Adding Quality to Life October 2011 Modified on 09/30111 Center Page 11 1 2 3 4 6:30 PM 5 7:00 PM 6 7 8 VOLUNTEER PLANNING RECOGNITION COMMISSION EVENT MEETING Plymouth Creek Medicine Lake Room Center Yom Kippur Begins at Sunset 9 10 11 12 13 14 15 5:30 PM 7:00 PM 7:00 PM SPECIAL COUNCIL ENVIRONMENTAL PARK £t REC 12:00-3:00 PM MEETING` QUALITY ADVISORY FIRE DEPT. COLUMBUS DAY Parkers Lake Room COMMITTEE COMMISSION OPEN HOUSE Observed (EQC) MEETING (PRAC) MEETING Fire Station III 7:00 PM Parkers Lake Room Plymouth Ice Cente PLYMOUTH PUBLIC REGULAR COUNCIL WORKS DIVISION MEETING CLOSED Medicine Lake Room 16 17 18 6:00 PM 19 7:00 PM 20 21 22 SPECIAL COUNCIL PLANNING MEETING" COMMISSION Parkers Lake Room MEETING Medicine Lake Room 23 24 25 26 27 28 29 7:00 PM 7:00 PM REGULAR COUNCIL HRA MEETING MEETING Parkers Lake Room Medicine Lake Room 0 P /Halloween * Review applications for and 2 Council Position ' o and quarterly U date with City Manager ek /3o yCreek ** Conduct Interviews for and 2 Council Position Modified on 09/30111 Center Page 11 City of Plymouth Adding Quality to Life November 2011 Modified on 09/30/11 CHANGES ARE NOTED IN RED Page 12 1 2 7:00 PM 3 7:00 PM 4 5 PLANNING HUMAN RIGHTS COMMISSION COMMITTEE MEETING MEETING Medicine Lake Room Parkers Lake Room 6 7 8 8:00 Pm 10 11 12 REGULAR 7:00 PM COUNCIL MEETING ENVIRONMENTAL Medicine Lake Room QUALITY VETERANS DAY SPECIAL COMMITTEE Observed COUNCIL MEETING (EQC) MEETING CITY OFFICES Immediately Follow- Parkers Lake Room CLOSED ing Regular Meeting Budget Study Session Medicine Lake Room 13 14 15 16 17 18 19 6:00 PM 7:00 PM 7:00 PM SPECIAL COUNCIL PLANNING HRA MEETING MEETING COMMISSION Parkers Lake Room Board and Commission MEETING Interviews Medicine Lake Room Parkers Lake Room 20 21 22 23 24 25 26 7:OOPM REGULAR COUNCIL. MEETING Medicine Lake Room THANKSGIVING THANKSGIVING HOLIDAY HOLIDAY CITY OFFICES CITY OFFICES CLOSED CLOSED 27 28 29 30 7:00 PM PLYMOUTH ADVISORY COMMITTEE ON TRANSIT (PACT) MEETING Medicine Lake Room Modified on 09/30/11 CHANGES ARE NOTED IN RED Page 12 City of Plymouth Adding Quality to Life December 2011 Modified on 09/30/11 Page 13 1 2 3 4 2:00-5:00 PM 5 6 7 7:00 PM 8 7:00 PM 9 10 OLD FASHIONED PLANNING PARK Et REC CHRISTMAS COMMISSION ADVISORY Plymouth Historical MEETING COMMISSION Society Building Council Chambers (PRAC) MEETING Council Chambers 11 12 13 14 7:00 PM 15 16 17 7:00 PM ENVIRONMENTAL REGULAR COUNCIL QUALITY MEETING COMMITTEE (EQC) Council Chambers MEETING Council Chambers 7:00 PM CHARTER COMMISSION ANNUAL MEETING Medicine Lake Room 18 19 20 21 22 23 24 7:00 PM HRA MEETING Parkers Lake Room Chanukah CHRISTMAS EVE Begins at Sunset 25 26 27 28 29 30 31 CITY OFFICES NEW YEAR'S EVE CLOSED CHRISTMAS DAY Modified on 09/30/11 Page 13 Tentative Schedule for City Council Agenda Items October 11, Special, 5:30 p.m., Parkers Lake Room • Quarterly update with City Manager • Review applications for Ward 2 Council position October 11, Regular, 7:00 p.m., Medicine Lake Room • Public hearing to approve Host City for a Private Activity Bond Issuance (Hazelden) • Four Seasons Mall study • Assessment hearing for Annapolis Lane Street Reconstruction Project (11002) • Assessment hearing for Peony Lane Mill and Overlay Project (11007) • Hearing on delinquent utilities and other charges • Announce Fire Department Open House on October 15 at Fire Station III • Approve Payment No. 4 and Final, 36th Avenue Landscape Enhancements Project (8104) • Approve Change Order No. 1, Parkers Lake Storm Sewer Lift Station Rehabilitation (100 17) • Approve Plans and Specifications and Order Advertisement for Bids, Well No. 17 (10024) • Approve grant agreement with Hennepin County receiving Waste Abatement Incentive Grant funds for multi -family recycling and waste abatement • Approve of the Metropolitan Council Master Lease agreement for Plymouth Metrolink vehicles • Hearing on vacation of a portion of a drainage and utility easement within Lot 2, Block 1, Fretham 6th Addition • Approve a preliminary and final plat for The Willows Third Addition. Pulte Group. (2011066) • Approve a variance for impervious surface coverage for a building addition at 1151 Black Oaks Lane. Skyline Design. (2011068) • Approve a conditional use permit for a fitness training facility within an existing industrial building at 3700 Annapolis Lane. Team Definition Fitness. (2011070) • Approve an interim use permit for temporary occupancy of an existing home while a new home is constructed. Suncrest Builders. (2011075) October 18, Special, 6:00 p.m., Parkers Lake Room • Conduct interviews for Ward 2 Council position October 25, Regular, 7:00 p.m., Medicine Lake Room • Assessment hearing for Lancaster Lane Mill and Overlay Project and Watermain Replacement (11010) • Assessment hearing for Suncourt Street Mill and Overlay Project (11006) • Presentation of donation from the Wayzata Youth Hockey Association for hockey goal lights at the Plymouth Ice Center • Presentation of Photo Contest Winners November 8, Regular, 8:00 p.m., Medicine Lake Room • Approve 2012 Regular Council Meeting Schedule November 83, Special, Immediately following Regular Meeting, Medicine Lake Room • Discuss 2012 Budget November 15, Special, 6:00 p.m., Parkers Lake Room • Board and Commission interviews Note: Special Meeting topics have been set by Council; all other topics are tentative. Page 14 • Council Coordinating Representatives for 2012 • Deputy Mayor for 2012 November 22, Regular, 7:00 p.m., Medicine Lake Room • Announce Old Fashioned Christmas on December 4 at Plymouth Historical Society Building December 13, Regular, 7:00 p.m., Council Chambers • Adopt the 2012 Budgets and Tax Levies and 2012-2016 Capital Improvement Program • Recognize Police Citizen Academy Graduates • Approve 2012 Tobacco License renewals • Announce New Year's Eve Event at the Plymouth Ice Center Page 15 Format Dynamics:: C1eanPrint :: http://www.startribune.com/local/west/130751218.html Page 1 of 2 limobile Point your StarTribune ttpffstarkribune,cam Minnehaha Creek will be getting big improvements Article by: , Star Tribune Updated: September 28, 2011 - 10:39 PM An ambitious environmental project to improve Minnehaha Creek is taking a big step forward this week in Hopkins. The Minnehaha Creek Watershed District will finalize a deal of nearly $15 million Friday to acquire almost 17 acres of industrial property. The parcel, at 325 Blake Road N., contains cold -storage buildings from the 1950s that border one of the most degraded sections of the popular creek. The plan is to tear down the buildings when current leases expire in three years, or earlier if tenants find other space, district s pokeswoman Telly Mamayek said. The district would then restore native plants along 1,000 feet of shoreline and provide enough green space to protect the creek from runoff, she said. The plan also would build canoe landings Advertisement This Page Cannot Be Displayed and redirect stormwater so that it's filtered before entering the creek. "Right now, all the gunk that gets carried by stormwater down the gutters and into the storm drains goes right into the creek," Mamayek said. Minnehaha Creek flows for 22 miles from Lake Minnetonka through several communities west of Minneapolis. From Minnetonka and Hopkins, it meanders east through St. Louis Park, Edina and south Minneapolis to Minnehaha Falls and into the Mississippi River. Turning back the clock Hopkins Mayor Gene Maxwell said he is delighted with the city's partnership with the district, which is charged by state law with protecting the watershed. "They have their goal, which is clean water, and we have our goals for redevelopment," Maxwell said. "The two are a perfect match." The Hopkins City Council passed a resolution this month in support of the deal. District Administrator Eric Evenson said the Blake Road project "will help us turn back the Based on your corporate access policies, access to this web site ( http://ad.doubleclick.net/adi/minnesota_star_tribune_cip_print/NEWS_;FD_PAGE_ NUMBER=1;dcopt= has been blocked because the web category "Advertisements & Popups" is not allowed. If you have questions, please contact IT Helpdesk at ext. 5380 ( helpdesk@ci.pllymouth.mn.us ) and provide the codes shown below. Print Powered By t .d d FormatDynannics" Page 16 http://www.startribune.com/templates/fdcp?unique=1317395753666 9/30/2011 Format Dynamics:: C1eanPrint :: http://www.startribune.com/local/west/130751218.html Page 2 of 2 lirnabile Point your StarTribune �ttrsf/starkribune,cam clock on the creek's neglect" and will do so in a way that minimizes costs to taxpayers. District bond proceeds will pay for the land initially, Mamayek said, with repayment through the district's watershed tax levy. Lease payments from tenants will help cover annual financing costs until the buildings are removed. After the creek is restored, the district will recover a good portion of the purchase price by selling the rest of the property to developers identified by the city, she said. Development possibilities The district initially sought an easement along the creek instead of buying the property, Evenson said, but restoration would have been impossible because an extensive shipping dock and truck loading area faces the creek and extends nearly all the way to the water. Maxwell said the property, with a cleaner creek, new plantings and walkways, would be an ideal location for senior housing and perhaps a small-business complex. The site is one block from a station stop along the proposed southwest light-rail line between Minneapolis and Eden Prairie, he said. "It will tie together beautifully" and help to revitalize the area, he said. Advertisement This Page Cannot Be Displayed Earlier this year, the district bought and tore down two apartment buildings, two houses and an office building across the street from the cold -storage buildings. Creek shoreline there also will be improved, and the open space will become an extension of the city's Cottageville Park, Maxwell said. The district also has restored natural curves of the creek and wetlands to improve the shoreline near Methodist Hospital and other sites in St. Louis Park. Tom Meersman • 612-673-7388 Based on your corporate access policies, access to this web site ( http://ad.doubleclick.net/adi/minnesota_star_ tri bune_dp_print/NEWS_;FD—PAG E_NUMBER=2;dcopt=i has been blocked because the web category "Advertisements & Popups" is not allowed. If you have questions, please contact IT Helpdesk at ext. 5380 ( helpdesk@ci.plymouth.mn.us ) and provide the codes shown below. Print Powered By I . gj d FormatDynamics" Page 17 http://www.startribune.com/templates/fdcp?unique=1317395753666 9/30/2011 Analysis: MVHC Elimination Supported by LMC Marks the End of a Recurring Shell Game While conversion to the new market value exclusion system may cause confusion and a shift in the property tax burden, the new system will ultimately be better for cities and taxpayers. (Published Sep 22, 2011, LMC) Over the past few weeks, there has been extensive media coverage concerning the state Legislature's discontinuation of the market value homestead credit (MVHC) program in favor of the new homestead market value exclusion. Moreover, reports about partisan arguments at the state level over who is responsible for the change have tended to overshadow the more important news about why the program was discontinued, and what this change will really mean for cities and for local property taxpayers. When MVHC was created by the Legislature more than 10 years ago, the program seemed to provide a win-win situation for both local property taxpayers and for city governments. While property taxpayers did indeed receive a credit, the state consistently failed to make good on its promise to reimburse cities. Some cities have not received any reimbursement for the past several years; others have only received a portion of the amount needed to make them whole. This year, only about 15 percent of the reimbursement scheduled to be paid by the state to cities will actually be paid, meaning that cities are left with a significant budget shortfall if they budgeted to receive their entire reimbursement. Given this history of unreliability, the League and other local government groups decided enough was enough. In order to stop the recurring shell game, the League took a position to support elimination of the MVHC program. This position was driven by a desire for more transparency and fiscal certainty. Had the state consistently honored its obligation to reimburse local governments dollar for dollar for the credit it gave to homeowners on property bills, this change may not have been necessary. Under the new homestead market value exclusion law, these local governments will no longer be dependent on the state paying (or, more accurately, not paying) for part of its levy each year. Now local officials will be assured of receiving the amount they levy, and many homeowners will see part of the market value of their home excluded from taxation. The downside for city residents, of course, is that many of them will see increases in their next property tax bill. While conversion to the new system may cause temporary confusion and shift the property tax burden to some extent, local governments will be better able to make budget and property tax decisions going forward and will be clearly accountable to their taxpayers for those decisions. Ultimately, that's better for our cities and for local property taxpayers. Page 18 Ehlers Market Commentary September 27, 2011 The Fed Twists; Rates Drop The biggest financial news of the last two weeks was the decision of the Federal Open Market Committee (the policy-making body of the Federal Reserve), to implement a new program called "Operation Twist." In a 7-4 vote last Wednesday, the Committee voted to sell approximately $400 billion of short-term treasury securities (with remaining maturities of 3 years or less) and purchase $400 billion of longer-term treasuries (remaining maturities of 6 to 30 years). The Committee's statement read: "This program should put downward pressure on longer-term interest rates and help make broader financial conditions more accommodative." The Committee also announced that, to support conditions in mortgage markets, it would reinvest in agency mortgage- backed securities. The full text of the September 21 FOMC announcement can be found at http://www.federalreserve, gov/newsevents/press/monetary/20110921 a.htm. Although this program will be implemented gradually - through June 2012 - it had an immediate impact on the financial markets. As intended, yields on intermediate and long-term treasuries fell sharply on Wednesday afternoon, and the declines continued on Thursday. From mid-afternoon Wednesday to the end of Thursday, the benchmark 10 -year yield fell by 25 basis points, from 196% to 1.71%, the lowest level since the 1950s. Over the same period, the 30 -year Treasury yield fell by 47 basis points, from 3.26% to 2.79%. Treasury yields increased slightly on Friday. Stock prices also fell sharply after the Fed announcement. This appears to have been partly due to negative comments in the Committee's statements about future U.S. economic activity, and partly due to renewed fears about European economies. The Dow Jones Industrial Average fell by over 700 points, or - 6.25%, from Tuesday to the end of the day Thursday. The S&P 500 and the NASDAQ Composite experienced similar declines. Massive selling of stocks worldwide undoubtedly accelerated the declines in treasury yields. Impact on Municipal Bonds Municipal bond yields declined further over the last two weeks, continuing recent trends. Several points on Thomson's Municipal Market Data (MMD) scale reached new record lows early in the week of September 12. After the Fed's announcement on September 21, muni yields declined further, especially at the longer end of the yield curve. From September 9th to the 23rd, MMD AAA yields fell by 10 basis points at 10 years, 14 basis points at 20 years, and 22 basis points at 30 years. (Source: Thomson Reuters) Over the last two weeks, The Bond Buyer's 20 Bond Index (which measures average yields on AA -rated bonds maturing in 20 years) dropped from 4.05% to 3.85%, just 3 basis points above the lowest level in over 40 years. 0 EHLERS LEADERS IN PUBLIC FINANCE www.e,hlors-inc.com Offices in Minnesota: (800) 652-1171 Wisconsin: (800) 717-9742 Illinois: (800) 417-1119 Page 19 Ehlers Market Commentary September 27, 2011 Although muni yields declined, they did not decline as much as treasury yields. The ratio of the 10 year AAA XIMD to the 10 year treasury was at 108% at the end of Friday, well above the historical average of 85% to 90%. As a result, mums can be seen as a relatively good deal for investors, despite record low yields. This suggests that if treasury yields remain at current levels in upcoming weeks, muni yields could go even lower. What Should You Do? The attached schedule of sales results shows that bidding for municipal bonds remains very strong, with high levels of interest from underwriters and investors. Although the volume of bond sales has picked up in recent weeks, the market has had no trouble absorbing the increased supply. We would repeat the advice we offered two weeks ago. The next few months may be an excellent time to capture record low rates, either for refunding of existing bonds or to raise funds for capital projects. If you have any plans to issue debt in near term, we encourage you to contact your Ehlers financial advisors to discuss your options. Obama's Jobs Proposal and Municipal Bonds Details of President Obama's proposed jobs bill were released almost two weeks ago, and many were surprised to see that the bill includes a proposal that would limit the tax value of tax-exempt interest for high income individuals. The proposed change would take effect with 2013 income taxes and would apply to all tax-exempt bonds, even those issued before 2013. If enacted, this would drive up borrowing rates for state and local governments and decrease the value of existing bonds. Some market participants feared that the introduction of this proposal would lead to an immediate increase in muni yields, but that obviously did not occur. The record low yields of last week would seem to indicate that most investors are skeptical this proposal will be enacted. EHLERS LEADERS IN PUBLIC FINANCE www.ehiers-inc.com Page 20 Page 2 MINUTES WAYZATA COMMUNITIES IN COLLABORATION COUNCIL September 21, 2011 PRESENT Bob Wittman, Brenda Heim, Susan Sommerfeld, Kristin Tollison, Donna Marget, Marcia Treno, Becky Halvorson, Terese Atkins, Katie Jackelen, Linnea Fonnest, Lynn Zemlin, Katy Hemmah, Mark Ihrke, Carlee Nelson, Christina Ruiz, Ellen Timmerman -Borer, Angela Haseman, Sarah Gaveske, Judy Hanson, Charlene Barghini, Holly Nelson, Leah Hughes, Becca Fink, Chace Anderson, Pat Gleason, LaDonna Hoy, Diane Evans, and Margy Herbert CALL TO ORDER • Becca Fink called the meeting to order. Brenda Heim welcomed the Council to the new IOCP facilities and introduced Margy Herbert as the new CICC Coordinator. MAY MINUTES • The minutes were approved, as written. WAYZATA PARTNERS WELCOME • Kristin Tollison welcomed the Wayzata Community Partners to the CICC meeting. It was determined that many of the WCP were already attending both the WCP meetings and the CICC meetings, so the meeting are now combined and all WCP are welcomed to join the CICC meetings. STATE OF COMMUNITY • Benefits of the new IOCP facility to the clients, families, and the community, ability to provide services combined in one location, allowing the on-site partners to share resources including Community Education and Hennepin County. • The learning component connected to the IOCP facility is able to create links in services to clients. This was achieved with School Board, Hennepin County and other community partnerships working together, sharing and combining resources, to create a seamless team of services for IOCP families. TOUR OF IOCP FACILITIES • Business and Community Offices • Community Education • Peppermint Fence West • Food Shelf • ReSale 101 Boutique COMMUNITY UPDATES Caring for Kids Initiative Page 21 • Brenda Heim announced that the Family Fun Night Event was a success. The event was attended by 200+ people, including 10-12 CfKI scholarship families. • The Event was held at the Hilde Performance Center in Plymouth and consisted of a Walk/Run, Book Exchange, Story time with Miss MN USA, YES Students provided Games and Crafts, Child Friendly Yoga and concluded with a Movie. Partners In Prevention • Judy Hanson reported that Wayzata was the recipient for the Drug Free Federal Grant in the Partners In Prevention program. • Includes working with Minnetonka School District as their Community Mentee. • 2 year process, beginning with assessment phase, focus groups, MN survey data, and community engagement. • October 4th Interviews to hire a Coalition Coordinator for the PIP program. This will be a shared coordinator between Wayzata and Waconia. Wayzata Community Clinic • Kristin Tollison stated that the Wayzata Community Clinic is open Wednesday afternoons, providing barrier free care and services. Including acute care, sports physicals and immunization services. • Clinic is averaging about 10 visits per week, high of 18 Wednesday prior to start of school. • Dental Services had to cancel one summer date due to low need. • Kristin/Margy to update marketing materials and distribute. Early Childhood Special Serives • Donna Marget reported that about 40 mental health staff members attended PTSD Trauma training. Minnetonka Center for the Arts • Leah Hughes announced that on October 1St, there is an open house at the MCA. • Holly Nelson was introduced as the Adult Program Director. CO ;• MCA is partnering with the Tonka CARES Program. ECT • Katie Jackelen stated that the Homework Club is looking for volunteers and tutors. Partners In Parenting • Charlene Barghini announced that the Partners In Parenting will hold the Parenting Forum on February 4th 2012, Family Learning Center • Marcia Treno provided an update on the Literacy Matters program and the start of the Story Time Matters. Volunteers are currently being trained. Library • Linnea Fonnest provided Library brochures and stated that the library will begin providing library users with ebooks for the Amazon Kindle next week. The meeting was adjourned at 4:32 PM. Respectfully submitted, Margy Herbert 2 Page 22 REBECCA OTTO STATE AUDITOR STATE OF MINNESOTA OFFICE OF THE STATE AUDITOR SUITE 500 525 PARK STREET (651) 296-2551 (Voice) 55 SAINT PAUL, MN 55103-2139 (651) (E (Fax) state.auditor(k)state.mmus mn.us (E-mail) 1-800-627-3529 (Relay Service) Volunteer Fire Relief Association Investment Report Card The Office of the State Auditor is providing the attached "Investment Report Card" as an educational tool for your relief association. The report card provides one-year and multi-year rates of return calculated for your relief association, as well as a custom benchmark rate of return. The custom benchmark rate of return can be used to measure your relief association's actual investment performance for 2010 against market returns. This cover document provides information to help your relief association understand its individualized report card. It does not contain investment or legal advice and should not be relied upon in lieu of investment or legal advice. Rates of Return The one-year rate of return is the return calculated based on your relief association's Special Fund investments for calendar year 2010. The three-year, five-year, and ten-year rates of return are also provided, which show the average annual returns for the respective periods. Custom Benchmark: The custom benchmark rate of return shows what your relief association could have earned had it invested its assets passively for the entire year. A passive investment strategy is more commonly called indexing. Indexing is an investment management approach that seeks to replicate the rates of return of a particular benchmark or index. The management style is considered passive because portfolio managers do not make decisions about which securities to buy and sell. Instead, managers simply copy the index by purchasing the same securities included in a particular stock or bond market index. Index funds are widely available for stocks and bonds (e.g., Russell 3000, Barclays Capital Aggregate). For cash, a relief association could invest in a money market fund or shop for the highest returning certificate of deposit. The benchmark return is calculated for your relief association by multiplying your association's asset class proportions by the rate of return earned on a common benchmark index for each asset class. If your relief association changed investment strategies during the year, the calculated benchmark return does not reflect the changes. Benchmark Calculation Example: January 1, 2010 Asset Allocation Benchmark Return (a) x (b) a) c) Domestic Stock 50.0% Russell 3000 16.9% 8.5% International Stock 11.4% MSCI ACWI ex. U.S. 11.2% 1.3% Bonds 9.9% Barclays Capital Aggregate 6.54% 0.7% Cash 28.2% 90 -Day U.S. T -Bill 0.1% 0.0% Other 0.5% Russell 3000 16.93% 0.1% Benchmark Return I Sum c = 1 10.6% Page 23 Asset Allocation The beginning of year and end of year asset allocations show the percentage of your relief association's portfolio that was invested in various asset classes. By diversifying an asset base, the goal is to create a favorable risk/reward ratio for the portfolio. When returns for one asset class decline, the expectation is that returns for another asset class will increase, offsetting the loss. The "other" asset class includes all investments besides cash, stocks, and bonds, including small allocations to this class within mutual funds. Benchmark Information Rates of return are provided for each index used to calculate your relief association's custom benchmark rate of return. Rates of return for the State Board of Investment accounts are also provided for reference purposes. 2010 Index Returns: The benchmark indices used to calculate your relief association's custom benchmark rate of return are provided in the Benchmark Information section of the attached report card, along with the rate of return for each respective index. • Russell 3000 Index — A performance measure of the overall U.S. stock market. This index includes the 3000 largest publicly traded U.S. companies. • MSCI ACWI ex. U.S. Index — A performance measure of international stocks, including developed markets and emerging markets. This index does not include the U.S. stock market's performance. • Barclays Capital Aggregate U.S. Index — A performance measure of the U.S. investment grade bond market, including corporate and government bonds. • 90 -Day U.S. T -Bill — A performance measure of short term cash investments. 2010 State Board of Investment Returns: Relief associations are authorized to invest assets in the State Board of Investment (SBI) Supplemental Investment Fund. There are six investment accounts, or investment options, within the Supplemental Investment Fund that are available for relief association investment. It is not the intent of the SBI to advise relief associations regarding their choice among accounts. Relief associations may wish to consult an investment advisor for guidance. The SBI Returns section of the attached report card provides the rates of return for the six SBI accounts. The SBI rates of return serve as a good benchmark for your relief association, showing returns that were available during 2010. The six accounts are listed below. • Bond Market Account — Bonds • Common Stock Account — Domestic Stock (Passively Managed) • Growth Share Account — Domestic Stock (Actively Managed) • Income Share Account — Balanced • International Share Account — International Stock • Money Market Account — Cash Page 24 REBECCA OTTO STATE AUDITOR STATE OF MINNESOTA OFFICE OF THE STATE AUDITOR SUITE 500 525 PARK STREET SAINT PAUL, MN 55103-2139 Investment Report Card Plymouth Fire Relief Association For the Year Ended December 31, 2010 Rates of Return (651) 296-2551 (Voice) (651) 296-4755 (Fax) state.auditorkstate.mn.us (E-mail) 1-800-627-3529 (Relay Service) One -Year 11.9% Three -Year 1.6% Five -Year 4.3% Ten -Year 3.5% Custom Benchmark (One -Year) 11.3% Asset Allocations Domestic Stock International Stock Bonds Cash Other As of 01/01/10 45.1% 12.1% 34.1% 8.2% 0.5% As of 12/3 1 /10 47.4% 11.3% 34.2% 7.1% Benchmark Information 2010 Index Returns 2010 State Board of Investment Returns Russell 3000 (Domestic Stock) 16.9% SBI Bond Market 9.0% MSCI ACWI ex. U.S. (International Stock) 11.2% SBI Common Stock 17.3% Barclays Capital Aggregate (Bonds) 6.5% SBI Growth Share 16.9% 90 -Day U.S. Treasury Bill (Cash) 0.1% SBI Income Share 13.4% Russell 3000 (Other) 16.9% SBI International Share 12.3% SBI Money Market 0.2% This Investment Report Card is provided for informational purposes and should not be construed as containing investment or legal advice, and its contents are subject to reOsH& 25