HomeMy WebLinkAboutCity Council Packet 08-22-1994 SpecialCITY COUNCIL
SPECIAL MEETING
MONDAY, AUGUST 22, 1994
7:00 P.M.
Public Safety Conference Room
I. EXECUTIVE SESSION -- Freeman Case
H. 1995 Proposed Budget
City Attorney Selection Subcommittee will meet at 5:30 p.m. to
discuss interview formats
Budget Study Session
August 22, 1994
I. Tax Abatements
II. 1995 Revenue and Expenditure Reconciliation
III. Use of 1994 and 1995 Surpluses
IV. Cost Reductions/Productivity Increases
V. Expenditure Variance Report
VI, Long Range Budget Planning
VII. Possible New Capital Expenditures --Trails and Open Space
VIII. Fiscal Disparities
IX. Planning Commission Salaries
X. Budget Communication Plan
XI. What will Citizens Get for Their Money?
I. Tax Abatements
TAX CANCELLATIONS AND ABATEMENTS
PARCELS CLOSED BY TAX YEAR
PARCELS ORIGINAL REDUCED OF ORIG. TAX 5
YEAR CLOSED VALUE VALUE REDUCTION VALUE RED.. LOST
1990 200,483
1991 120 216,254,100 186,498,700 29,746,400 13.8 220,100
1992 64 164,397,500 147,343,200 17,054,300 10.4 127,000
1993 227 913,722,300 715,859,800 197,862,500 21.7 1,047,376
1994 TO DATE 138 353,764,600 285,828,900 67,935,700 19.2 395,929
1994 COURT ACTIVITY BY TAX YEAR
PARCELS EST. CASES
TAX # PARCELS NEW PARCELS CLOSED BAL. OPEN CLOSING BALANCE
YEAR 111194 FILED 1994 1/1-6130/94 6130194 711-12131194 12131194
1992 71 0 56 15 15 0
1993 150 0 57 93 55 38
1994 21 113 25 109 68 41
1995 0 0 0 0 0 EST NEW -95
TOTAL 242 113 138 217 138 174
TAX PETITIONS CLOSED IN 1994 THROUGH JUNE 30TH
TAX PETITIONS CLOSED IN 1993
OF ORIG
PAYABLE YR. PARCELS FROM MKT. VALUE MKT VALICASE TO MKT. VALUE DIFFERENCE LOSSICASE MKT. VALUE
1990
1992 56 166,852,100 2,979,502 125,773,900 41,078,200 733,539 24.6%
1993 57 133,902,800 2,349,172 116,114,800 17,788,000 312,070 13.3%
1994 25 53,009,700 2,120,388 43,940,200 9,069,500 362,780 17.1%
45 118,497,200
TOTAL 138 353,764,600 2,563,512 285,828,900 67,935,700 492,288 19.2%
TAX PETITIONS CLOSED IN 1993
TAX PETITIONS CLOSED IN 1992
OF ORIG
PAYABLE YR. PARCELS FROM MKT. VALUE MKT VALICASE TO MKT. VALUE DIFFERENCE LOSSICASE MKT. VALUE
1990 16 76,808,000 4,800,500 55,931,500 20,876,500 1,304,781 27.2%
1991 72 356,792,800 4,955,456 276,687,600 80,105,200 1,112,572 22.5%
1992 94 361,624,300 3,847,067 286,903,000 74,721,300 794,907 20.7%
1993 45 118,497,200 2,633,271 96,337,700 22,159,500 492,433 18.7%
TOTAL 64
TOTAL 227 913,722,300 4,025,208 715,859,800 197,862,500 871,641 21.7%
TAX PETITIONS CLOSED IN 1992
OF ORIG
PAYABLE YR. PARCELS FROM MKT. VALUE MKT VALICASE TO MKT. VALUE DIFFERENCE LOSSICASE MKT. VALUE
1989 1 4,095,100 4,095,100 3,300,000 795,100 795,100 19.4%
1990 7 22,518,000 3,216,857 19,575,000 2,943,000 420,429 13.1%
1991 41 96,981,200 2,365,395 87,045,400 9,935,800 242,337 10.3%
1992 15 40,803,200 2,720,213 37,422,800 3,380,400 225,360 8.3%
TOTAL 64 164,397,500 2,568,711 147,343,200 17,054,300 266,473 10.4%
TAX CANCELLATIONS AND ABATEMENTS SCENARIOS
1. CALCULATION BASED UPON ESTIMATE OF $500,000 PER CASE VALUATION LOSS
174 Cases
174 Cases 182 Cases
Average valuation loss per case in 1994 500,000 500,000
Est. cases to close in 1995 174 182
Total est. valuation loss 87,000,000 91,000,000
Less: Fiscal disparities 33,060,000) 34,580,000)
Net loss after fiscal disparities 53,940,000 56,420,000
Commercialllndustrial tax capacity rate 4.65% 4.65%
Tax capacity of lost value 2,508,210 2,623,530
City tax rate (blended rate 16.67 & 15.84) 16.25% 16.25%
Projected tax loss 407,584 426,324
General Fund share of loss 88.0% 88.0%
Estimated General Fund tax loss 358,674 375,165
2. CALCULATION BASED UPON MARKET VALUATION TIMES HIGHEST LOSS PERCENTAGES FOR TAX YEAR
174 Cases 198 Cases
Market Est. loss Valuation Valuation
No. cases Valuationep rcent loss loss
1995 valuation estimate 95 235,770,240 19.2% 45,267,886 59,563,008
1994 valuation estimate 41 101,713,790 17.1% 17,393,058 17,393,058
1993 valuation estimate 38 75,621,237 18.7% 14,141,171 14,141,171
Total 174 413,105,267 76,802,115 91,097,237
Less: Fiscal disparities 29,069,142) 34,616,950)
47,732,973 56,480,287
Commercialllndustrial tax capacity rate 4.65% 4.65%
Tax capacity of lost value 2,219,583 2,626,333
City tax rate (blended 16.67 & 15.84) 16.25% 16.25%
Projected tax loss 360,682 426,779
General Fund share of loss 88.0% 88.0%
Estimated General Fund tax loss 317,400 375,566
3. CALCULATION BASED UPON TYPES OF PROPERTIES FILING CASES
Projected outstanding cases by property type:
Est percent Est # cases
Year Prop Type # case Mkt Value of total o close in 1995 for 1995 Valuation 174 Cases 198 Cases
1995 Apart 8 35,365,536 15 100 8 35,365,536
Com 30 113,169,715 48 100 30 113,169,715
Com -Primary 28 58,942,560 25 100 28 58,942,560
Indust 2 2,357,702 1 100 2 2,357,702
Indust -Primary 5 11,788,512 5 100 5 11,788,512
Vacant -Com 20 9,430,810 4 100 20 9,430,810
Low Income 2 4,715,405 2 100 2 4,715,405
95 235,770,240 100 100 95 235,770,240 235,770,240 295,333,248
1994 Apart 8 35,997,000 13 37.6 3 13,534,872
Com 32 129,425,900 48 37.6 12 48,664,139
Com -Primary 34 69,954,400 26 37.6 13 26,302,854
Indust 2 2,898,900 1 37.6 1 1,089,986
Indust -Primary 8 14,662,800 5 37.6 3 5,513,213
Vacant -Com 20 9,627,400 4 37.6 7 3,619,902
Vacant -Res 3 67,000 0 37.6 1 25,192
Low Income 2 7,882,000 3 37.6 1 2,963,632
109 270,515,400 100 37.6 41 101,713,790 101,713,790 101,713,790
1993 Apart 7 30,614,000 17 40.9 3 12,521,126
Com 30 89,958,800 49 40.9 12 36,793,149
Com -Primary 26 44,714,700 24 40.9 11 18,288,312
Com -telephone 1 700,000 0 40.9 0 286,300
Indust 1 1,832,000 1 40.9 0 749,288
Indust -Primary 2 1,788,300 1 40.9 1 731,415
Vacant -Com 20 6,502,600 4 40.9 8 2,659,563
Vacant -Res 2 218,000 0 40.9 1 89,162
Lake -Res 2 682,600 0 40.9 1 279,184
Low Income 2 7,882,000 4 40.9 1 3,223,738
93 184,893,000 100 40.9 38 75,621,237 75,621,237 75,621,237
Total market value of cases expected to close in 1995 413,105,267 472,668,275
Estimated loss percentage -1994 cases closed percentage 19.2% 19.2%
Total estimated valuation loss 79,316,211 90,752,309
Less: Fiscal disparities 31,396,000) 34,485,877)
Net loss after fiscal disparities 47,920,211 56,266,431
Commerciallindustrial tax capacity rate 4.65% 4.65%
Tax capacity of lost value 2,228,290 2,616,389
City tax rate (blended rate 16.67 & 15.84) 16.25% 16.25%
Projected tax loss 362,097 425,163
General Fund share of loss 88.0% 88.0%
Estimated General Fund tax loss 318,645 374,144
II. 1995 Revenue and Expenditure Reconciliation
1995 Revenue and Expenditure Reconciliation
The City Council has asked for an accounting of the new revenues and expenditures
proposed for 1995 and a reconciliation of the figures with the projected actual revenues
and expenditures for 1994. The attached chart shows that $1,144,328 in additional
expenditures are proposed in 1995 over the projected actual expenditures for 1994. It
also shows that additional revenues of $766,059 are needed over the projected actual
revenues for 1994. The new revenue needed for 1995 is less than the new expenditures
for 1995 because we are currently raising more revenue that we will need for
expenditures in 1994.
While the chart shows the actual reconciliation of revenues for the new expenditures in
some detail, most of the new revenue can be explained with three items:
We are already raising $378,269 of the needed revenue for 1995 with existing
sources of revenue.
An additional amount of $451,437 is generated by new growth in the community.
Finally, $362,000 of the surpluses available from 1993 and 1994 are being used to
reduce the tax levy for bonded indebtedness in 1995 and 1996. Most of the debt
levy requirement expires in 1997, so the reduction in bond levy can be made
permanent this year.
These three factors essentially provide the revenue needed for 1995, since the many
other factors on the chart mostly balance out. Notably, the expected decline in permit
revenues ($169,100) is offset by the reduced amount of tax abatements expected
180,000). All other revenue changes are fairly minor in their effect.
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III. Use of 1994 and 1995 Surpluses
Origins and Uses of the Projected 1994 Budget Surplus
Origins of the Surplus
The 1995 budget assumes the use of surplus 1994 funds, which will be used to pay down
the tax levy for general obligation debt service. This surplus will be generated primarily
through expenditure savings. Through careful budget monitoring through the end of the
year, City departments will generate $496,000 in expenditure savings.
The chart below delineates areas of savings:
Item Amount Comment
Contingency 131,000
Seal Coating 130,000
Fire Department Salaries 49,000
Legal Costs 34,000
City Council 30,000
Temporary Salaries 29,000
Other 93,000
Total $496,000
Uses of the Surplus
Not planned for expenditure
Major industry -wide problems
Overbudgeted based on past trends
Cost savings (prosecution)
Savings in training; health insurance
Savings in various departments
Line item savings throughout budgets
Two charts are attached which show how the surplus will be used. The first shows the
City's fund balance requirement, the amount of surplus in excess of the fund balance
requirement, and the amount available ($782,947). One half of the overall surplus
391,000) will be used to pay down debt obligation in 1995, and the other half will be
retained for the same purpose in 1996. Since payments on the 1990 park bonds end after
1996, no increase in bond levies will occur in 1997 or ensuing years. The bottom portion
of the chart shows the application of this surplus to pay down the tax levy for debt service
on the general obligation bonds for fire stations and parks.
The second graph show a projection of the City's debt service, assuming the use of the
1994 surplus to reduce debt service obligations.
GENERAL. FUND BALANCE PROTECTION
Total 1995 Projected Budget $13,389,159
X 40%
Estimated fund balance requirement $5,355,664
General Fund Balance @ 12/31/93 $5,630,342
Estimated surplus from 1994 operations:
Revenue shortfall -117,800
Expenditure savings +496,069
Subtotal 6,008,611
Fund balance requirement above 5,355,664
Amount available in excess of 40 % requirement 652,947
Add: Police State aid Fund 130,000
Total $782, 947
PROPOSED USE OF GENERAL FUND SURPLUS
Pay down tax levy for General Obligation Debt Service:
391,000 per year for 2 Yrs. _ $782,000
DEBT SERVICE REQUIREMENTS
Current
1995 1996 1997 Total
1980 Park bonds 364,000 364,000 0- 728,000
1987 Fire station bonds 240,000 248,000 234,000 722,000
TOTAL 604,000 612,000 234,000 1,450,000
Less debt service reduction with
proposed use of surplus:
1980 Park Bonds 151,000 143,000 0- Total after
1987 Fire Bonds 240,000 248,000 0- paydown
Net Debt Service Levy213 000 221 000 234 000 6688000000
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IV. Cost Reductions and Productivity Increases
Cost Reductions and Productivitv Enhancements
Line Item Reductions
As part of the budget development process, departments were quizzed on line items which
increased by more than 5%. In many cases, the line item increases were justified by past
expenditure patterns or by known inflationary increases, such as postage. However,
careful scrutiny trimmed over $55,000 from the continued service budgets, in line items
ranging from office supplies to training and conferences to salaries. In addition, budgeting
health and dental insurance so that what the City allocates more closely corresponds to
actual coverage patterns saved another $85,000.
All told, the close examination of proposed line item increases and historical expenditure
patterns means that the 1995 continued service budget increased only 1.82% over the
adopted 1994 budget. This rate of increase of the continued service budget is less than the
rate of inflation.
Cost Savings and Productivity Enhancements
The low rate of increase in the continued service budget is possible through the attitudes
and efforts of employees. Plymouth employees --on a daily basis --seek out and implement
ways of saving money or doing a task more efficiently and productively. Often these
actions do not have an immediate, identifiable dollar savings, but the effect is evident in
the budget. Department heads have compiled lists of cost savings and productivity
enhancements, and these are included in this section. The myriad items on this list
demonstrate that cutting costs and being more productive are ways of life for Plymouth
employees.
DATE: August 16, 1994
TO: Dwight Johnson, City Manager
FROM: Dale Hahn, Finance Director
SUBJECT: COST SAVING IMPLEMENTATIONS
The following are some of the procedures that have been implemented or are in the
process of being implemented that have resulted in time and or cost savings.
1. Volunteers to help the appraisers in the field with measuring and documenting new
construction.
2. Changed from a homestead card to a homestead application/card which saved on
printing and postage.
3. Automation of special assessment reconciliation report.
4. Setting up the closing of cash journal entry on Excel with formulas so each account
and amount doesn't have to be entered more than once.
5. Set up formulas to calculate interest on deferred assessments so it does not have to
be done manually.
6. The completion of the special assessment procedure manual will result in less errors
and a more timely learning process for anyone using the special assessment system.
7. Coordinating the early return to work on injured employees to reduce workers
compensation costs.
8. The rebidding of the employer providing Group Life and Long Term Disability
Insurance.
9. Persuaded the League of Minnesota Cities Insurance Trust to make Medical
Payments Coverage an option on the Property/Casualty Insurance contracts offered
to the participating members. Prior to that, persons injured on City property had a
contractual right to $1,000 of medical payments coverage regardless of liability.
10. Incorrect or adjusted utility bills are no longer retyped on carbon forms. Instead a
template has been created in the forms directory which allows the clerical division
to quickly retype incorrect bills. Savings in clerical hours and billing forms.
11. A two year annual dog licensing program is underway to be implemented during
January, 1995. Savings in forms, tags, personnel hours to issue tags.
Dwight Johnson
August 16, 1994
Page Two
12. Budget preparation was created on PC network and all departments prepared and
revised their budgets on the system. This process eliminated a lot of duplicate
paperwork and personnel hours for rekeying of information.
13. Templates have been created in Excel for Payment Vouchers, Purchase Orders and
Journal Entries, eliminating the typing of these forms on a typewriter.
14. The Annual Financial Report has been automated from Word Processing to a
spreadsheet application, saving hours of adding and proofing.
15. Utility mailers - removed information flyer on bill. Saved time and production
costs.
16. Automated method of extracting delinquent utility customers. Created computer
download files and merged information into letters directly for mailing.
17. Automated database backup procedures so they start by themselves at future time.
Saved overtime hours.
18. Microfiche computer reports directly from magnetic tape. Saved personnel time,
computer time and paper.
19. Credit card registration - Park and Recreation Programs.
20. Trained in-house personnel to provide hardware and software maintenance on many
applications and most microcomputers.
21. Conducted energy audit,,'of City `Center Building. Implemented immediate cost
savings recommendations. Incorporated balance into specifications for City Center
Expansion project.
22. Established comprehensive roofing survey program, reducing costly emergency
repairs. Extending the life of existing roofs by providing intensive maintenance.
23. Established computerized preventive maintenance program for buildings, decreasing
emergency repairs, extending life and efficiency of exiting equipment.
24. With N. S. P., established off-peak energy conservation program for park lighting
and City well operations.
25. Using a Volunteer to assist in performing a G.I.S. needs assessment and evaluation.
26. Using volunteers to do some training.
27. Implemented VCR training for Word, Excel, Power Point and Mail. This provides
good, cost effective and efficient training for all employees city-wide, as well as
timely training for new employees and others.
28. E -Mail has been implemented, which will reduce the time and paper to copy and
distribute interoffice mail.
29. We have begun implementing pen based computing for inspections division. This
has saved time and paper by eliminating both paper work and redundant data entry.
Information is entered at the source and uploaded to our host inspections
application.
DATE: August 16, 1994
TO: Dwight Johnson, City Manager
FROM: Mark S. Peterson, Superintendent of Parks
SUBJECT: PARKS & RECREATION COST AND TIME SAVING IDEAS
As per your request, I have provided you with a list of some of the cost and time
saving ideas implemented by all divisions within the Parks and Recreation Department.
I. PARKS AND RECREATION:
Hepatitis B - Training and shots
New T -Shirt Company with lower prices per printed shirt
Adaptive programs funded with CDBG money
Computer - savings in clerical time from staff doing their own word
processing and sharing of files.
Donated materials, i.e. paper rolls, etc.
Fund raiser by aquatic staff to purchase CPR mannequin, diving
brick and swim lesson scholarships
Staff used old inventory of t -shirts for some 1994 programs
Donations by CUB Foods and Burnett Realty increased this year
for summer concerts.
Ration of students to instructors was increased in 1994 for swimming
lessons.
Registration fee for NRPA Conference is being waived because staff
is volunteering at the conference.
Three-ring binders used for lifeguard and aquatic staff manuals were
recycled from 1993 and used again in 1994.
Staff saves all old flyers, etc. and cuts into different sizes to be used
as scratch paper.
1,600.
4,500.
500.
Clerical staff recyles flyers, etc., and copies blank class registrations
onto the backs of them for participants to use when they sign up for
classes.
Lower paid staff is used whenever possible to do prep work.
II. VOLUNTEER PROGRAMS
There have been significant cost savings for the City of Plymouth through the
implementation of the Volunteer Program. The Cost savings can be measured in
numerous ways:
Work that might not otherwise have been done (i.e. Historical clippings
notebook, desktop publishing, video on volunteerism, job exchange for seniors).
Innovative ideas and solutions that have been offered by volunteers (i.e. G.I.S.
Study, emergency preparedness team, crime prevention team).
Customer service extras that are offered to our residents (i.e. Crime prevention
team, committee secretary, dog licensing, assembling new resident packets).
Value added work that allows staff to creatively do some of the projects they
envision but don't have time to implement (Surveys, posters promoting
volunteerism, data entry for recylcing, McGruff House Program.).
2095 recorded hours of volunteer work performed by almost 500 volunteers
With many more unrecorded hours).
Monetary savings of approximately $25,000 (Based on using an average wage
paid to a temporary worker; many of the positions would require a higher salary
range than that of a temporary worker in order to hire the same quality of
volunteer that we have attracted).
III. PARK MAINTENANCE:
Our new garbage truck is saving repeated trips to Public Works Building and
eliminated the need for a second dumpster through the summer at a cost of $600 a
month. Our dumping fee for the month of July, our heaviest trash month, was
400 or a $200 savings.
Our new sprayer cuts down spraying time by one third and gives us better records
of amounts of chemical used. This machine also helps us to continue to do our
own spraying; costing one half of the contract spraying.
New mower has both cut mowing time and frees up additional trucks and trailers
and allowed us to use the time saved to do turf maintenance work.
EMPLOYEE SUGGESTIONS:
Suggestions have resulted in savings in better ways to stake down soccer goals to
avoid liability exposure, modifying line painting machine with a larger tank to
paint more fields between fills, ways to remove water from infields after
rainstorms, recycle trees and lumber into chips for use on trails and planting
beds.
USE OF VOLUNTEERS:
We have used volunteers for park volunteers doing trash pickup, flower planting
and weeding. Also have used Boy Scouts for building trails and planting projects.
Worked with Wayzata Schools doing Student Work Program. Hennepin Counties
Youth Employment Programs" were used to rebuild hockey rinks, retaining
walls and monitor lake weed control program with the DNR.
We have activity pursued donations for park projects and special events. Used
surplus dirt and fill from construction projects that contractors have from grading
work being done throughout the City.
ADMINISTRATION:
Adjusted normal work week shifts of personnel to cover weekend and evening
shifts to avoid overtime. Used new portable radios, and pagers to contact field
people easier and make changes to work or dispatch them to new locations.
Using new computers to begin better inventory systems, obtain best price on
materials by closer use projections, long term schedule planning and charting
costs for the future for budget planning.
PARK DEVELOPMENT:
New Seven Ponds Park was completely filled and graded to park specifications by
adjoining developer. The developer needed to locate a site for his fill. The park
provided the location. This resulted in a $5,000 - $10,000 savings.
IV. FORESTRY:
OF TREES TREE DONATION PROGRAMS
1 Tree Memorial - Maple Creek Park
6 Kevin Schreck - Shiloh Park
12 Swan Lake Townhomes - N. W. Blvd
54 (170 Shrubs) Curtis Lake Homeowners - N. W. Blvd.
54 Tyrell Townhomes - Turtle Lake Park
27 Tyrell Townhomes - Turtle Lake Park
1 Tree Memorial - Zachary Park
200 Shrubs Mission Hills Homeowners - Mission Hills
14 Yes/Wayzata - Arbor Day
OF TREES GRANT PROGRAMS
100 + SBA - Swan Lake Park
SBA - Turtle Lake
55 MnRELEAF - Zachary Water Treatment
120 SBA/NSP - N. W. Blvd.
1500 MnDOT Partnership,- Carlson Parkway
VOLUNTEER PLANTINGS
100 + Carlson Parkway/494
30 Mission Hills
50 + Zachary Water Treatment
COST SAVINGS
200.
300.
900.
2,000.
3,800.
1,900.
200.
600.
1,000.
COST SAVINGS
5,000.
3,700(l)
5,000.
10,000.
5,000.
DATE: August 16, 1994
TO: Dwight D. Johnson, City Manager
FROM: Fred G. MooreDirector of Public Works
SUBJECT: PUBLIC WORKS DEPARTMENT
COST SAVING ACTIVITIES/PRODUCTIVITY INCREASES
As part of the information requested by the City Council during their consideration of
the 1995 Proposed Budget, you have requested information where each department has
had cost saving activities or where we have made productivity increases. I have met
with the supervisors in the Public Works Department and based upon their input have
prepared the following listing of activities. All employees within the Public Works
Department are considering better or more efficient ways to carry out our service
functions on a daily basis. Many ideas or changes are implemented by employees as
they perform their duties.
It is very difficult to place a dollar cost savings or productivity increase associated with
most changes. Activities where we have had cost savings or productivity increases are
as follows:
Sewer and Water:
One employee instead of two are used on water meter repairs. In
those cases where the repair requires two employees the meter repair
person contacts the supervisor or lead person by radio and a second
employee is assigned from another work crew. There are very few
meter repair projects which require two people.
COST SAVING ACTIVITIES/PRODUCTIVITY INCREASES
August 16, 1994
Page Two
The majority of our sewer or water repairs are under street surfaces.
We are now using a "trench box" to allow a much smaller excavation
in making these repairs. Either a trench box must be used or a much
larger hole excavated to provide necessary safety for the workers. By
using a trench box it keeps the excavation smaller, and therefore,
requires less time to dig. A smaller excavated area also means less
street surface to repair. Also, during non winter weather when
asphalt is available from the plants the entire sewer or water repair
can be completed along with repairing the street surface the same day.
This reduces the warning signs that would be required.
Many of our watermain breaks occur during the wintertime when
there are several feet of frost in the ground. Because of the frost the
water leaking from the broken main sometimes surfaces 50 to 100 feet
away from the actual break. We have purchased and use auguring
equipment whereby we can drill small holes through the street to
accurately locate the location of the break. In most instances we can
locate the break within five feet before any excavation is started.
Pervious to using the auger, there were times where several holes
were excavated in the street in an attempt to locate the break. The
auger is capable of making holes within a very few minutes and has
reduced the time substantially on wintertime water breaks and street
area excavated.
The City is using a TV camera for our sanitary sewer lines to locate
problem areas before an obstruction is created which causes a sewer
backup. An example of this is roots which enter the sanitary sewer
system from a broken joint. When the sanitary sewers are cleaned,
generally the roots will move and without televising, this potential
problem is not known. When we discover a root problem, a special
cutter is used to remove the roots.
We have instituted a program on the operation of the wells for our
water supply to reduce "demand" charges that we must pay to the
electric company. All large electric services both public and private
pay demand charges. The utility company must have the capability of
supplying what the customer is demanding when the equipment is
started. For this reason there is a surcharge on all large electric
customers' bills for these demand charges. Our wells are based upon
demand charges which are created each month. If a well
COST SAVING ACTIVITIES/PRODUCTIVITY INCREASES
August 16, 1994
Page Three
is started on the first day of the month, you pay demand charges all
month long whether you use the well or not. The same thing applies
if you start the well on the last day of the month, you pay the demand
charges for the entire month.
With the possible exception of the month of July when we have our
peak demand for water usage, we have adequate wells and do not
need to use more than four to six wells to serve our customers. We
are programming our well usage in coordination with the power
company meter reading dates when the demand charge for that month
either starts or stops. Over the past two and a half years it is
estimated that we have saved approximately $90,000 in demand cost.
Street Division:
Each year we have many traffic signs which are vandalized or
because of their age the message has faded because of sunlight. If the
metal sign material is in good condition (no holes or not bent) the old
signs are being sent to the factory for reconditioning and new faces
installed. Depending on the work required to recondition the sign,
there can be up to a 40 % savings over purchasing a new sign.
For patching and repairing streets, a unit has been purchased which
heats the asphalt. This allows the asphalt to be completely used and
eliminates waste from the asphalt becoming cold and hardening.
Also, a larger quantity can be obtained from the asphalt plant for use
all day. If material is left at the end of the day, the equipment is
capable of keeping the asphalt warm overnight for use the next day.
With all of our streets being asphalt, generally only small quantities
of concrete are needed to repair curbing or storm water inlets (catch
basins) To have a small quantity of concrete delivered, there is a
high delivery charge. If repairs are not in a close enough vicinity to
allow larger quantities to be delivered to reduce these delivery
charges, concrete is mixed at the site.
COST SAVING ACTIVITIES/PRODUCTIVITY INCREASES
August 16, 1994
Page Four
During the spring it is necessary to remove the sand and debris from
the City streets as soon as possible to keep it from entering the
drainage systems. To do this in as short a time as possible we take
bids for contract street sweeping whereby the contractor is furnishing
four to six sweepers. The City does have one sweeper that works
with the contractor and is also used throughout the year for other
cleanup where necessary. By contract sweeping we have eliminated
the costly purchase of several sweepers which are only necessary for a
four or five week period throughout the year.
Throughout the years the Street Division has been working with our
mixture of sand and salt for ice control to have an effective program.
Although salt is more costly than sand, it is more effective in
controlling ice, especially on busier streets. Although the mixture
may need to vary depending on weather conditions from storm to
storm, we have arrived at a combination which is the least costly to
purchase, but also takes into consideration the many miles of streets
which it must be applied to.
As part of the Street Reconstruction Program, asphalt is milled from
the existing streets and hauled back to the asphalt plants for reuse.
On our gravel roadways we have found it more effective to, in some
cases, use asphalt millings instead of gravel to have an acceptable
traveled surface. We have been able to get asphalt millings from our
Street Reconstruction Program which has saved the cost of purchasing
the material and reduced the time required to haul the material to our
site.
The larger snowplow equipment is now equipped with side plows
wings). This allows a wider surface to be cleared in one pass of the
equipment.
For the installation of new traffic signs and maintenance of the
existing signs, we are generally using a one person crew. Except
where posts are being installed, one person can handle the task.
When posts need to be installed, it does require a two person crew
and the lead person or another assigned worker on a short term basis
is used to complete these projects.
COST SAVING ACTIVITIES/PRODUCTIVITY INCREASES
August 16, 1994
Page Five
Anti -theft hardware is being used to install our traffic signs.
Central Equipment Center:
A cost comparison was completed on the type of cutting edges (the
part that contacts the street surface) to use on snowplows and wings.
Although more costly, we have changed to carbide blades since it
extends the useful life of the blade to offset the additional purchase
cost.
More cost comparisons are being made with the State and County
contracts versus direct purchase from vendors for maintenance items
such as replacement windshields, all fluids, tires, filters, etc. By
doing this we can take advantage of the best price quotation received.
Our preventive maintenance schedule for equipment has been
reviewed for conformance with the service recommendations of the
manufacturer's specifications. In most cases we were able to increase
the length of time between schedule maintenance, but still comply
with manufacturers' recommendations.
The mechanics are working staggered shifts in order to have longer
coverage of personnel being available for repairs. This eliminates the
need for some overtime because of unexpected repairs.
With the expanded maintenance facility, the repair shop has become
much more efficient to do necessary repairs. Before, if a vehicle was
waiting for a part in order that the repair could be completed, there
was not ample room to work on additional equipment. The
mechanics can now more efficiently use their time.
Engineering Division:
The "Engineering Guidelines" which establish our specifications
and criteria for public improvements have been reviewed and
revised in order to achieve a better final product with less
maintenance required by the City. A specific design is now
required for each individual street within a development in order
COST SAVING ACTIVITIES/PRODUCTIVITY INCREASES
August 16, 1994
Page Six
that the street is designed for the soil conditions of that location.
Also, the required maintenance period from the contractors have
been extended from one to two years. There were instances
where a sewer or water service was not used during the first year
since the home was not constructed, but a problem developed
when a home was constructed.
The revised computer system has made it much more efficient to
do mailings for public improvement projects. Names and
addresses can be merged from the computer data base with notices
without another process of inputting them to the system.
Except for our Street Reconstruction Project, the City only does
minor surveying work to have data on responding to engineering
issues. We now have a "laser level" which can be operated by
one person. The level which we previously used required two
people to obtain the necessary information.
To meet the service demands, Engineering Division has two
technicians who generally work in the office on projects and one
field inspector. Although all three positions have their primary
responsibility, we have done more cross training between
positions in order that on a limited basis they can all perform the
other person's function. This allows better coverage during
vacation or sickness and also to meet some peak demand levels.
For the design of our Street Reconstruction Project, the
Engineering Division is now using an employee design team to do
the plans and specifications. Previously all work was done by
consulting engineers. We believe that by doing this with City
staff personnel we can provide better service to the properties
affected by the Reconstruction Program at a reduced cost. The
estimated cost savings for 1995 are indicated in the budget.
DATE: August 16, 1994
TO: Dwight Johnson, City Manager
FROM: Craig C. Gerdes, Director of Public Safety
SUBJECT: TIME AND/OR COST SAVING MEASURES BY PUBLIC SAFETY
1 . Utilization of volunteers effectively:
The Reserves worked almost 6,000 hrs in 1993 and will again in 1994,
including events such as Music in Plymouth, and doing routine duties
such as transport details which would otherwise take an officer or CSO.
They also assist other departments for which we receive in-kind services
from their reserves.
McGruff house program coordinators. The department has recruited two
volunteers to serve as coordinators for the McGruff house program. This
program has been coordinated by a sworn officer.
Emergency Management volunteers. We currently have three volunteers
assisting with the clerical responsibilities for Emergency Management.
They are currently working on updating and assembling the manual.
Volunteers assisting with compilation of dissemination of information for
neighborhood watch groups.
2. Crime and Fire Prevention Fund is providing substantial resources. They spent
6,000 supporting various public safety functions such as the canine program,
the speed skating group, and citizen rewards in the past twelve months.
Memo to D. Johnson
Page 2
August 16, 1994
3. The department received a federal grant to fund a cadet program. The
program offers not only a training component for the cadets, but also a service
for us as they perform a number of duties in the clerical area and at events
which we would have to otherwise staff.
4. The department continues to evaluate purchases to obtain the best possible
prices.
5. Administering of deer bow hunt using interested hunters and charging a permit
rather than using department personnel. Many communities pay overtime
wages to officers to achieve these goals. Bloomington paid $12,500 and
9,100 during the last two years in their deer removal program using officers
on overtime.
6. We were able to obtain one additional site for the goose relocation (7 sites for
the price of 6) by utilizing our CSO's to assist.
7. Seek out tuition reduction opportunities for training
certified in-house instructors
trading with other departments
offering our training room (often give free slots to host)
seek out free schools
8. Saved officers and clerical time through case number assignment by County
instead of hand -numbering.
9. Participate in review and evaluation of accidents to help cut down on future
accidents which can be costly.
10. Rejected formal trailer bid and reduced cost by purchasing a stock trailer.
11. Re-evaluated the scheduled replacement of Engine 12, decided to wait on
replacement saving $200,000
12. State Contract for radiological response - reimburses funds.
13. Sharing of resources with other departments
combined with Maple Grove for hazardous materials responses
Mutual aid with Wayzata for quicker response times to border locations
F PL
DATE: August 17, 1994
PLYMOUTH, MN 5544
TO: Dwight Johnson, City Manager
FROM: Anne HurlburtCommunity Development Director
SUBJECT: COST SAVINGS AND EFFICIENCY ENHANCEMENTS
COMMUNITY DEVELOPMENT DEPARTMENT
Building Inspections:
Design and implementation of grid pad electronic field inspection reporting system for
field inspector use - this portable pen based system electronically down loads each
inspector's daily schedule and will upload their inspection results into our automated
permit inspection system. The benefits: the elimination of paper and all redundant
data entry into our automated permit issuance system, streamlining of inspection
scheduling, and the ability to produce various management reports such as the amount
of time required to complete various inspection types.
Both our Plans Examiner as well as our Housing Inspector have assisted the Building
Inspection Division in conducting inspections when we have received a high volume of
requests or during vacation periods.
We have expanded the invoicing of contractors to work exclusively by mail to include
re -roofing and residing contractors as well commercial plumbing and mechanical
contractors whose applications involved a review of plans.
Modifications have also been made to our Automated Permit System which have
improved the data entry process.
Fire Inspections:
A new Fire Inspector was hired, whose primary responsibility is the inspection of
existing buildings within the City. In the past, no systematic approach was being
performed by the Fire Inspectors to provide this type of service. Information gathered
by the Fire Inspector on existing buildings is also shared with the Fire Department
relative to the building content and history for fire fighting purposes.
Each of the Fire Inspectors now provides the clerical staff with copies of their daily
schedule which has resulted in better communication both internally and externally.
Housing Inspections:
This is a new program which is still in the development stage. Handouts and forms are
being produced as needed to improve communication with the rental owners in the
City.
The actual license form will be produced on a laser printer which will reduce printing
costs and clerical time since information can be entered in the word processing system
rather than by manual typing.
We have obtained a signature stamp from the City Manager and the City Clerk which
will eliminate the need for them to sign all license forms.
Planning:
Changes in Development Review Committee (DRC) procedures. Scheduling meetings
with applicants whose requests are formally in process on Tuesday and scheduling
meetings with prospective applicants on Thursdays has allowed DRC members to use
their time more efficiently. A clock was installed in the meeting room and the time
allowed for each meeting was shortened from 1 hour to 45 minutes, which has reduced
the time spent in meetings and required that meeting time be used more efficiently.
Scheduling time on a weekly basis when planners can work on staff reports, etc.
without interruption has increased staff efficiency.
Housing:
Various documents that must be recorded in conjunction with our CDBG programs are
now being handled by staff, rather than the City Attorney's office, which saves
attorney's fees.
Rather than staff traveling to the homes of Section 8 clients for appointments,
appointments are held in our office. This reduces travel time and allows us to handle
130 clients with a relatively small staff commitment.
Department -Wide:
Use of volunteer services: volunteers have been used to conduct a survey of
development applicants and to track and follow-up on issued Certificates of Grading
and Conditional Certificates of Occupancy. We have used the services of a volunteer
planning intern. Volunteers were also used to mail applications packets for Plymouth
Towne Square. This has freed staff for other tasks or enables us to complete work that
we otherwise could not do.
An amendment to the Zoning Ordinance has been approved which allows staff to
process certain types of minor variances and PUD amendments administratively. This
measure saves 1) staff time in preparation of reports, 2) postage (notification within
100 versus 500 feet), 3) development signs and staff time to post signs, and 4) time for
the applicant.
Introduction of computers. This has resulted in time savings in staff report preparation.
g:\cd\plan\memos\5059\saving.doc
OA
DATE: August 17, 1994
TO: Dwight Johnson, City Manager
FROM: Kathy Lueckert, Assistant City Manager
SUBJECT: Cost Savings and Productivity Enhancements
The Administration Department has identified several areas in which we have reduced
costs or implemented techniques to boost our productivity. These are listed by
division.
Administration/City Clerk
Homesteads. The receptionists now take homesteads, enhancing customer service.
Minutes Indexing. City Council minutes for the last four years are now indexed
on an automated system, greatly saving time because fewer manual searches are
required.
Recodification. We now keep the Code updated ourselves, eliminating costly legal
services and improving response time. The new code book also includes the policy
manual, the zoning ordinance, and the City Charter in one binder.
Town Meetings This year our notification process will be contracted, and the
mailing addresses will be downloaded to the contractor. This saves tremendous
staff time in folding, stuffing, and labeling over 20,000 notices to Plymouth
residents.
Automated Calendaring. We now produce calendars for the receptionist which
automatically note standing committee and commission meetings. This saves the
receptionist from doing this task by hand.
Lap Top Computer. The purchase of a lap top computer for Administration has
greatly improved the productivity of the City Clerk and has helped the turnaround
time for City Council minutes.
New Resident Packets. We now use a volunteer to assemble the new resident
packets, saving staff time.
Communications
Newsletter. We now produce the Plymouth News using desktop publishing, saving
time and printing costs. It also provides more flexibility in changing articles as
necessary.
Scheduling Video Producers. Instead of using Northwest Community Television
to schedule video producers for council meetings and planning commission
meetings. This eliminates a higher hourly wage to pay for NWCT administrative
costs.
High Resolution Printer. The purchase of a high resolution printer eliminates the
need to send the Recreation Booklet to an outside service bureau. This saves about
240 per issue, or $1,440 per year.
In the 1995 budget, we propose to turn over production of the Recreation booklet to
Park and Recreation. While the costs of producing the Plymouth News and the
Recreation Booklet will remain the same, transferring production responsibilities will
have a positive impact on the productivity of the Communications Coordinator and the
Park and Recreation staff, and eliminate duplicative efforts.
Personnel
Contracts. We have retained the flexibility to hire temporary and seasonal workers
instead of full time employees for some functions, improving flexibility and
managing long term costs. Potentially large costs for shift differentials, retiree
insurance, and severance pay thus far have been avoided.
Regional Training Program. We have joined a consortium of western suburbs to
develop and implement a training program for supervisors at an extremely
reasonable cost. Top quality academic training will be provided at a fraction of
what consultants would charge. An added benefit is the sharing of ideas among
supervisors from different cities.
I hope this information is useful.
V. Expenditure Variance Report
Expenditure Variances and Line Item Summary Reports
Expenditure Variance Report
The first report explains any expenditure budgets which vary by 5% (either positive or
negative) from the adopted 194 budget. The spreadsheet provides the percent variation
and a brief explanation of the reason for this variation. Most of the increases are
attributable to new positions. However, there are is a constant which impacts nearly every
budget.
Step Increases. The first impact is that of step increases, which are generally
controlled by the City's contractual agreements with bargaining units. The City is
experiencing an unusually high number of step increases during the period from 1993 -
1995. This is due to a large number of employees in the Clerical Technical unit who
are behind in their salary ranges compared to other cities. Some budgets are impacted
by this more than others, depending on an employee's length of service and a particular
position's place in the market.
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VI. Long Range Budget Planning
Long Range Budget Planning
Possible Threats and City Responses
1. Major loss of State Aid funding (HACA)
A loss of up to $500,000 would be absorbed by the Infrastructure Reserve fund, which
receives $500,000 of the City's total $1.8 million in HACA aid. The City could choose
to either temporarily cut back on the street reconstruction program or fund it out of
reserves in that fund until a new funding source could be developed. Therefore, no
short term operating problem would occur. In the longer run, a major, permanent cut
in state aid could be made up by a series of strategies including:
bonding street reconstruction (many cities do)
raising taxes
establish a transportation utility (pending in legislature)
special assess street maintenance such as seal coating
spend less by changing city goal to maintaining the existing condition of
streets
2. Passage of "Orfield" legislation. Three possible financial threats can be identified
in these proposals.
No extension of the MUSA line allowed. This would bring a premature
slowdown to the City's growth pattern in about three years, and affect building
permits and future tax base growth. However, the need for increased spending
above the rate of inflation would also diminish. In addition, the decline in
revenue growth would occur over several years, allowing time for adjustment.
Reduced Federal. State or Metro funding for capital projects. Cities that do not
meet certain housing goals could have funding for extension or improvement of
major infrastructure delayed. Improvements to major highways or extension of
the Elm Creek sewer to northwest Plymouth are examples. Both would tend to
limit future growth in the community. However, we are nearing saturation within
the MUSA line now; therefore our risks are about the same as under Item A
above.
Changes in Fiscal Disparities. The major proposal last year was to divert taxes
from higher value homes from local governments and use these funds to create a
metropolitan pool of funds for housing projects. This would have the effect of
lowering our tax base and causing an increase in our tax rate to generate the same
amount of tax funding. This, in turn, would cause a tax increase for lower value
Plymouth homes to fund housing programs for low and moderate homes in the
Metro area. These changes would not materially affect our ability to raise
revenue, but rather cause a shift in the amounts paid by different classes of
property.
3. A major change in the economy. A major rise in interest rates would slow down
new home construction. This already has occurred to some extent. However, if new
growth slows down substantially, demand for increases in spending related to growth
also will slow. Also, higher interest rates would bring in more interest income from
our substantial reserve funds.
4. A return of statewide levy limits. Laws in place until a few years ago limited the
growth of our tax levy to inflation plus one-half of our growth. In one year, no
increase was allowed. The levy limit laws affected rapidly growing cities
disproportionately. This is perhaps the greatest long-term financial threat, since we
could have a combination of continued high growth but have an artificial cap on
revenues to pay for it. The best defense is to be reasonably caught up on needs for
capital projects, equipment, personnel, etc. Our Capital Improvements Program does
not rely heavily on the tax base and replacement of existing equipment is well funded.
As we have discussed, we believe we are presently short in required personnel, but the
1994 and 1995 budgets will alleviate a number of the worst problem areas. The City
also has not tapped all possible user charges and fees if our tax base is artificially
limited.
VII. Possible New Capital Expenditures --Operating Impacts
Sidewalk and Trail Construction
Operating Costs for Capital Acquisitions
Sidewalks and Trails
Currently Plymouth has 67 miles of trails. A Comprehensive Plan Update for trails,
completed in 1992, called for 80 miles of trails within the MUSA line when the system is
completed. Eventually, staff estimates we may have about 100 miles of trails under
current policies and programs. An excerpt from the 1992 Comprehensive Plan Update for
Trails is included in this section. It includes proposed trail locations and costs. The study
identified about 12 miles of trails that would have a priority for construction, not including
double siding trails on some arterials and collectors.
Each mile of trail costs approximately $100,000 to construct. However, adding trails
along with reconstruction or expansion of arterial and collector streets reduces the trail
cost per mile. Maintenance costs average $350 per mile. The City designates $100,000 of
MSA funding for trails each year, and about $100,000 of Park Dedication funds, for a
total construction budget of $200,000 per year. The funding for trails in the CIP was
doubled from $100,000 to $200,000 beginning in 1994. More study of the City's trail plan
may be desireable to determine our future construction and funding needs.
Open Spaces Start-up and Operating Costs
A memo from Mark Peterson, Parks Superintendent, is attached. Mark provide
estimated start-up and operating costs for both large and small sites currently under
consideration by the Open Space Committee. These costs do not reflect land acquisition
costs.
1.0 INTRODUCTION
The City of Plymouth has an established system of trails designed to provide safe travel
for pedestrians and bicyclists. The trail facilities include off-street paved pathways, on -
street bike routes and bike lanes, as well as sidewalks. The trail system serves both
recreational and transportation needs. The trails provide access to parks, schools,
commercial centers and other community facilities.
r Currently there are 40-45 miles of trails in the City with another 25-35 miles planned. The
planned improvements include adding segments to the trail network within established
areas of the City. Trails are also being extended to newly developing areas. The State
and Hennepin County also operate trails serving City residents including the Luce Line
Trail and the French Park trails. Future extensions of regional trails in the City are also in
the planning stages.
Each year the City adds to its trail system guided by a long-term trail plan. These
additions typically include trail along a new or reconstructed roadway, adding a trail
along an existing road, off-road recreational trails frequently associated with park
improvements, as well as the construction of short segments of sidewalk. In some
cases, trail segments are built by private developers as part of a residential or
commercial development.
This study responds to issues and concerns regarding the need for trails and sidewalks,
improvement priorities, facility design and the costs of the system. Among these issues
are:
What should be the project priorities in completing the system plan?
Are there any needed improvements that are not in the current plan?
How should proposed projects be evaluated?
How should needs be monitored?
Should the City, as a matter of policy, construct trails with all new major roads?
What guidelines should be used for setting the design of the facility needed, for
example, a trail on one side versus two sides of a street?
When and where are sidewalks needed?
What will be the capital and operating costs of improving the trail system?
The study provides an assessment of the demand and need for trail facilities, examines
the City's existing trail system and identifies needs, establishes guidelines for selecting
the type and design of trail facilities, recommends priorities for system improvements
and supporting actions, describes capital and operating costs, and identifies potential
funding sources for implementing trail improvements.
6.0 TRAIL IMPLEMENTATION COSTS AND FUNDING
The City should pursue a multi -faceted plan for trail system improvements. The work
elements should include the planning strategies and actions as described in Chapter 4,
particularly a trail project evaluation system and guidelines for selecting the appropriate
facility type. Facility construction should continue in accordance with the
Comprehensive Trail Plan map. Figure 7 identifies the trail projects proposed in this
study that represent changes to the existing Trail Plan. Figure 8 illustrates the revised
Trail Plan that would incorporate these changes. Implementation of this plan will provide
a complete network of bike lanes, sidewalks and trails that complement each other. The
integrated network will serve the needs of both pedestrians, bicyclists and related users.
It is likely that the City's priorities for implementation will include a mix of project types
that is, some trail additions, some crosswalks, etc.). The timing and selection for
implementation will depend upon the circumstances of each project as well as funding
availability. Both capital and operating costs should be considered in these decisions.
CAPITAL AND OPERATING COSTS
Table 3 presents preliminary capital cost estimates for all of the proposed trail
improvement projects.
Trails/Sidewalk
Based upon experience from the City's trail projects, the estimated cost per mile of trail
or sidewalk ranges from $15 to $25 per lineal foot, $80-130,000 per mile ($160-260,000
per mile for a two-sided facility). The range reflects possible differences in material
concrete vs. asphalt), facility width (5 or 6 feet for sidewalk and 8 foot for trail) and site
conditions. Unique site conditions, especially the need for retaining walls, could place
costs beyond the higher end of this range.
The estimated costs of the recommended 12 miles of trail additions (accounting for two-
sided segments) for Filling Trail System Gaps (Action 1) would be $900,000- $1,500,000.
The estimated costs of the 4 miles of trail to Add Opposite Side Trail (Action 2) would be
300,000-$500,000.
Trail operating or maintenance costs reflect plowing, sweeping and minor repair required
annually. The maintenance costs for all types of trail on average is estimated at $600 per
year per mile (12 plowings/year and 2 sweepings/year at $27/hour/mile plus
miscellaneous repairs). Thus total annual operating costs for the recommended trail
improvements under Action 1 would be $6,750 and those for Action 2 would be $2,200
or a total of approximately $9,000 per year. These costs would represent an addition to
maintenance of the existing trail system.
Bike Lanes
The capital costs for bike lanes on streets include striping the lane and special signing.
Assuming two-sided bike lanes and signing every block, the installation cost for bike
lanes is approximately $1,300 per mile. Special designs at intersections would add to
this cost.
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The estimated capital costs of the five miles (10 lane miles) of additional bike lane
recommended (Action 3 -Expand Bike Lane Network) would be $7,000.
Operating or maintenance costs for bike lanes include annual restriping. The annual
cost for the recommended additions would be $260 per mile or $3,000.
Crosswalks
The costs of adding crosswalks depends primarily upon the number of legs of an
intersection involved and the signing requirements. Assuming four legs to the
intersection and four signs on average, the cost of installation per location is estimated to
be $1,000.
The estimated costs of installing crosswalks at the minimum 17 recommended locations
Action 4 -Add Crosswalks) would be $17,000.
Annual maintenance costs include complete repainting of the crosswalks. The estimated
annual maintenance costs for the recommended crosswalks would be $800 each or
13,600.
Other Facility Improvement Costs
Other potential facility projects include near-term completion of sidewalk along Plymouth
Boulevard in the downtown zone as well as on-going trail construction to accompany
construction or reconstruction of major collector and arterial streets as identified in the
Trail Plan.
An estimated 1.25 miles of sidewalk is needed along both sides of Plymouth Boulevard.
At $20/foot the capital cost for construction would be $130,000.
The cost for trail improvements along new or reconstructed streets depends upon the
annual street projects and the amount of two-sided trail. Assuming on average 1.5 miles
of additional street -adjacent trail of which 50% is two-sided, the capital cost would range
from $180,0004300,000 per year.
Other short off-road recreational trail improvements typically associated with park
development projects may add one-half mile of trail to the system at a cost of $40,000 to
65,000 per year. Other short sidewalk or trail projects may be implemented on an as -
needed basis at a cost of $25,000 annually.
These improvements would add to annual maintenance costs accordingly.
36
SUMMARY
If implemented over a five-year period, the recommended priority capital improvements
would cost $1,224,000-$2,024,000. The annual cost would range from $245,000-
405,000.
Action 1 -Fill Gaps:
Action 2 -Add Opposite Trail:
Action 3 -Add Bike Lanes:
Action 4 -Add Crosswalks:
Total Five -Year Cost:
Annual Cost:
Other Facility Improvement Costs
FUNDING SOURCES
900,000 - $1,500,000
300,000 - $500,000
7,000
17,000
1,224,000 - $2,024,000
245,000 - $ 405,000
245,000-$390,000 per year
There are several existing and potential funding sources for the capital costs of trail
projects including the park dedication fund, special assessments, developer fees,
Municipal State -Aid (MSA) fund, tax increment financing, and county, state and federal
funds.
PARK DEDICATION FUND
Currently the vast majority of trail construction is funded by the park dedication fund.
This fund is derived from developer dedications. Annual expenditures from the park
dedication fund for both park projects and trail projects is approximately $600,000 with
about one-half for trails specifically.
As there are continuing needs for local park improvements, significant increases for trail
construction would require a comparable increase in the park dedication fund.
SPECIAL ASSESSMENTS
Special assessments are a value capture technique where adjacent property owners are
charged for a public infrastructure improvement. The fee or tax is justified on the basis of
the benefit that is received. While special assessments are a long-standing practice for
street and other improvements, the City has rarely used them for stand-alone trail or
sidewalk improvements. Special assessments may be appropriate for the sidewalks
along Plymouth Boulevard (non-public parcels). The use of special assessments for
trails and/or sidewalks should be explored more fully.
37
DEVELOPER FEES
Developers may contribute to the parks dedication fund and/or may be required to
construct trail or sidewalk to serve their development. Developer support is desirable
not only for trails internal to the development, but also instances where the addition of
the development warrants extension of a nearby community trail. Like special
assessments, developer financing of trails must be examined on a case-by-case basis.
Increased emphasis should be placed on identifying opportunities for developer
financing of public trails.
MUNICIPAL STATE -AID FUND
The City received about $1,000,000 in Municipal State -Aid in 1991 for maintenance and
improvement of its street system. The State distributes MSA to cities based equally upon
population and needs. As the City's street -adjacent trails increasingly have a
transportation function, and they usually fall within the street right-of-way, they can be
considered part of the street system. Thus for MSA designated streets in the City (40
miles of major roads), the sidewalk or trail needs should continue to be included in the
street needs report to the State. Inclusion of trail needs in the MSA report slightly
increases the MSA annual apportionment. MSA funds can be used for constructing
street -adjacent trails (either new or existing streets); however, this would compete with
street funding needs.
TAX INCREMENT FINANCING
TIF involves the dedication of some of the increases in tax revenues from new growth to
pay for the infrastructure needed to support the growth. TIF financing of trails should be
considered to the extent that a street or other development project in a TIF district has
associated trails or sidewalks in the project design. City departments should coordinate
with each other to identify such projects.
COUNTY/STATE/FEDERAL FUNDS
The City maintains inter -agency agreements and cost-sharing arrangements for road
improvements within the City that are under County or State jurisdiction. If trails can be
incorporated into the road project, these same arrangements should apply to the trail
facility. Similarly, pedestrian improvements such as crosswalks on County or State
roads should be negotiated by the City.
As discussed previously, the County and State maintain and construct extensive regional
trails. Cost sharing may be feasible where a locally constructed trail serves as a link in a
regional trail.
State bikeway grants are no longer available. However, some federal funds for bicycle
facilities may be available under the new Transportation Assistance Act which places an
increased emphasis upon multi -modal approaches to transportation. Mn/DOT can
serve as a clearinghouse for this information.
0:1
DATE: August 18, 1994
TO: Kathy Lueckert, Asst. City Manager
FROM: Mark S. Peterson, Superintendent of Parks
SUBJECT: OPEN SPACE OPERATIONAL COSTS
I have given some thought to the types of operational costs associated with potential
open space sites within the City. I think you must look at these sites in two ways. One
of which could consist of a more natural look with wood chip trails. The other would
be a more accessible site consisting of a parking lot on the larger sites and a blacktop
trail system. I will attempt to demonstrate costs for potential open space sites in both
fashions. The sites should also be categorized by size. I believe our top 4-5 open
space sites have the potential to be a drive to type of site which could require a parking
lot of 20 cars each. The remaining sites are smaller in nature and it may not be
necessary to have a parking lot.
START UP COSTS...............LARGE SITE
ITEM
Parking Lot (20 Cars)
1 Mile Black Top Trail
Signs
1 Mile Wood Chip Trail
Woodland Mgt.
HIGH USE
30,000 - $40,000
150,000
500 - $1,000
0-
5,000 - $10,000
Total Per Site $185,500 - $201,000 $15,500 - $21,000
START UP COSTS .......... SMALL SITE
ITEM HIGH USE LOW USE
1/2 Mile Black Top Trail $75,000 -0-
Signs $500 $500
1/w Mile Wood Chip Trail -0- $5,000
Woodland Mgt. $2,500 - $5,000 $2,500 - $5,000
Total $78,000 - $80,500 $8,000 - $10,500
OPERATIONAL COSTS....... LARGE SITE
HIGH USE
Trail Maintenance 1,000.00 100.00
Garbage 200. 100
Woodland Mgt. 2,000 2,000
Plowing Lot for Skiing 250 0-
Inspections 200 200
Total 3,650 2,400
Trail Overlay 5-7 Yrs. 25,000 2,000
Sealcoat Parking Lot 2,000 0-
OPERATIONAL COSTS...... SMALL SITE
ITEM HIGH USE LOW USE
Trail Maintenance 500 100
Garbage 200 100
Woodland Mgt. 1,000 1,000
Inspection 2QQQQ
Total 1,900 1,400
Trail Overlay 5 - 7 Yrs. 12,500 1,000
VIII. Fiscal Disparities Estimates
Fiscal Disparities
We will provide information on fiscal disparities at Monday's study session.
IX. Planning Commission Salaries
Reprint of City Manager's Comments for August 15 Meeting
Compensation for Planning Commission members. Council member Granath has
asked for this discussion. He has initially suggested an amount of $50 per meeting.
Some items to consider:
At $50 per meeting, 2 meetings per month, and 7 commissioners, the fiscal impact
would be about $8,400 per year.
Shoreview is the only other community known to pay its Planning Commissioners.
Several years ago, Shoreview conducted a survey of other communities and found
no other City that does this.
An argument for the proposal is that the Planning Commission has more statutory
responsibility, more work, and a greater complexity of work to accomplish than any
other City commission or committee.
An argument against the proposal is that no other City appears to do this and that
we can and do attract good Planning Commission members without any pay.
Another consideration is whether or not the public will distrust the motives of paid
Planning Commissioners as a group of citizen representatives helping to plan the
City.
Suggestion: If we do pay the Planning Commission members, we should consider a
regular monthly amount. We should not provide any incentive for a future Planning
Commission to schedule extra meetings to increase their pay, or raise any doubts with
the public about this.
X. Budget Communication Plan
DATE: August 15, 1994
TO: Kathy Lueckert, Assistant City Manager
FROM: Helen LaFaveormmunications Coordinator
SUBJECT: PUBLIC INFORMATION PLAN FOR 1995 BUDGET
This year we have an excellent opportunity to share the word about a "good news"
budget as well as continue our public education efforts as to the services city
property tax dollars buy and the percentage of the overall property tax dollar that
funds city services.
Because we have an existing avenue of communication to reach residents, I
recommend that we primarily use the Plymouth News. By using the newsletter, we
will not incur extra mailing costs. With the plan below the only extra printing costs
we would incur would be to add a 5th and 6th page to the November newsletter. I
expect the extra cost would be about $1,100. We should be able to absorb the
extra cost through the ad revenue we generate.
You'll note an absence of news releases in the items listed below. I omitted news
releases because I expect that the local newspapers will cover the budget
extensively, and they will want to write their own stories on something as major as
the city budget. Rather than devote time to writing news releases that will likely not
be printed, our efforts should focus instead on ensuring that the City Manager is
available -- as he has been in past years -- to answer reporters' questions and
provide accurate information to supplement the budget handouts that the reporters
have already received.
Plymouth News
August Plymouth News
The August Mayor's Message focused on the timeline for finalizing the 1995
budget as well as inviting citizen participation in the process. The article reminded
citizens of how property tax dollars are distributed (city's share versus other levels
Public Information Plan for 1995 Budget
Page 2
of government) as well as the city services provided by city property tax dollars.
This was mailed the first week of August.
September Plymouth News
Article: Council gets first look at proposed 1995 budget. General summary of
proposed budget:
Tax rate decrease
Proposed total amount of general fund budget (% increase over 1994, still
able to keep property taxes at approximately last year's level)
Effect of proposed budget on property taxes
Graphics:
Table showing Plymouth's 1994 tax rate compared to other cities'
Distribution of the property tax dollar (City, School, County, Misc.)
October Plymouth News
Article: Council adopts preliminary levy. Sets budget public hearing dates.
Reminder: City receives 13% of each property tax dollar.
Graphics:
Table showing number of city employees per 1,000 residents compared to
other 30,000+ cities
November Plymouth News (add 5th/6th page foldout, if needed)
Article: Truth in Taxation (T in T) statements will soon hit mailboxes. Explain T in
T represents worse case scenario. Recap proposed budget (positions proposed in
the budget, lower city tax rate, etc.).
Graphics:
Distribution of property tax dollar (City, Schools, County, Misc.)
Table showing city taxes on sample homes
How city property tax dollars, paid by a homeowner in an average ($154,000)
home, are spent (show actual dollar amount for public safety, public works,
parks, etc. based on 1995 budget proposal)
Plymouth's tax rate compared to other cities
December Plymouth News
Article: Reminder of budget hearings. If appropriate, report any Council action
taken to this point. Date Council is expected to adopt 1995 budget.
Public Information Plan for 1995 Budget
Page 3
Other Avenues of Publicity
Northwest Cities
At this point there has been some discussion among cable coordinators in the
northwest cities and Northwest Community Television staff to jointly produce a
cable program on city budgets. At this point, it is unclear if this will be a special
program, or a special "joint topic" edition of the cable program "Northwest Cities."
If this joint effort falls through, we still have the option of using our allotted 5 -
minute segment on "Northwest Cities" in October or November to discuss the
Plymouth city budget.
Channel 37 Character Generator
We have already been using channel 37 video text to publicize the dates of budget
study sessions. We will continue to do so. We can also use it to publicize budget
facts such as: "How Your Property Tax is Distributed;" Plymouth tax rate versus
other cities; and the comparison of employees per 1,000 in Plymouth and other
cities.
Reports Column
I suggest dedicating the Wayzata Weekly Reports column space in October to the
proposed 1995 budget. (The column is due on Oct. 7 and will be printed on Oct.
13.) The column could run under the City Manager's byline. Again, we can use it
as an opportunity to hit home the fact the proposed 1995 budget calls for a
decrease in the city tax rate and reiterate how property taxes are distributed among
the various governmental bodies.
Town Meetings
Because the Town Meetings fall in October, the City Manager may want to use
them as an opportunity to reiterate that the budget process is in full swing, show
the property tax pie chart and give a brief overview as to what the proposed 1995
budget means in terms of property taxes and services.
XI. What are Citizens Getting for Their Money?
New Programs and Initiatives in the 1995 Proposed Budget
The 1995 Budget not only accommodates the normal growth of the City and some cost
increases due to inflation, but also it will allow increased effort and results in a number of
programs and services. Many of these directly support the City Council's goals and
objectives. Some of these new or enhanced programs and services include:
Water Quality. An important goal of the City Council is to improve the quality of
Plymouth's lakes and wetlands. The addition of an Environmental Engineer will launch
this program in a timely manner.
Traffic Enforcement. Speeding and traffic control issues are important to citizens.
The Traffic Enforcement Unit will enable the Police Department to pursue a more
aggressive program of traffic enforcement.
The budget also enhances some existing programs.
Long Range Planning. The 1995 budget provides funding and personnel for long
range planning, particularly for northwest Plymouth and land use issues.
Using Technology Effectively. The City has made great progress in cutting costs and
improving productivity through automation, and the proposed budget will further
improve this effort with the additional funding for hardware, software and personnel.
Reforestation. The 1995 budget proposes an additional $10,000 for the reforestation
program. These funds will directly support additional community forestation projects.
Commercial Appraising. Recent years have shown the impact on the tax base of
commercial and industrial properties losing value. A new Commercial Appraiser will
help make certain that valuations are accurate and timely, minimizing the tax base loss
and forecasting impacts to revenues due to a volatile market.
Community Policing. A long term goal of the Public Safety department is to reduce
the amount of time officers are committed to a call for service, so that they many
spend more time in neighborhoods. The addition of two officers represents another
step toward the committed patrol time goal.
Drainage Maintenance. The additional Street Maintenance worker will help improve
drainage way maintenance and repair, a function identified by employees as benefiting
from additional time and effort.