HomeMy WebLinkAboutCity Council Minutes 08-22-1994 Special 2MINUTES
COUNCIL STUDY SESSION
AUGUST 22, 1994
A special study session meeting of the Plymouth City Council was called to order by
Mayor Tierney at 8:00 p.m. in the Conference Room of the Public Safety Building,
3400 Plymouth Blvd., on August 22, 1994.
PRESENT: Mayor Tierney; Councilmembers Anderson, Morrison, Lymangood,
Helliwell, Granath, and Edson.
ABSENT: None.
STAFF PRESENT: City Manager Johnson, Assistant Manager Lueckert, Public
Works Director Moore, Public Safety Director Gerdes, Park Director Blank, Finance
Director Hahn, Community Development Director Hurlburt, Finance Office Supv.
Leitner, and City Clerk Ahrens.
DISCUSSION OF PROPOSED 1995 BUDGET
Finance Director Hahn presented information on the history of tax abatements
in Plymouth. He stated that by the end of 1994, staff expects to have all of the
1992 cases closed, with only a few cases remaining in 1993 and 1994. He
presented various tax cancellation and abatement scenarios and stated that the
tax abatements in Minnetonka are similar to Plymouth.
Councihnember Lymangood stated this is a difficult issue to project because the
City cannot control which cases will be heard by the Court, the number of
cases, or the year the cases are closed. Other variables are the total market
value of the property and the amount of value reduction. He believes that the
budget provides reasonably adequate reserves given these variables.
The Council requested that staff provide quarterly reports on the status of
abatements in the Council Information Memorandum.
Manager Johnson presented a chart showing the reconciliation of revenues for
new expenditures in 1994. He stated that most of the new revenue can be
explained with three items: 1) We are already raising $378,269 of the needed
revenue for 1995 with existing sources of revenue; 2) An additional amount of
451,437 is generated by new growth in the community; and 3) $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.
Study Session Minutes
August 22, 1994
Page 2
Councihnember Lymangood stated the Council had requested this information to
ensure that the City was not raising the expenditure level to a larger extent that
the revenue level and presenting a problem for future years. This information
indicates that a problem will not result.
Manager Johnson reviewed the origins and projected uses of the 1994 budget
surplus, as well as cost reductions and productivity increases achieved by staff.
He stated that an examination of proposed line item increases and historical
expenditure patterns means that the 1995 continued service budget increased
only 1.82 percent over the adopted 1994 budget.
Councilmembers Anderson and Edson suggested that cost saving, service
success, and productivity enhancement items be included in the budget hearing
information.
Councilmember Lymangood stated some type of employee recognition of cost
saving ideas could also be included in the employee holiday luncheon.
Manager Johnson presented an expenditure variance report that indicated all
expenditure budgets which vary by 5 percent either positive or negative from
the adopted 1994 budget. Most of the increases are attributable to new
positions. However, step increases which are generally controlled by the City's
contractual agreements with bargaining units impact nearly every budget.
Mayor Tierney asked about health and dental insurance and training reductions
in the City Council budget.
Manager Johnson stated that not all Councilmembers and staff take full family
coverage - it is about 70 percent. Staff proposes budgeting for 85 percent of the
full cost for 1995, which can be further defined for future years.
Assistant Manager Lueckert stated the City Council budget contains the exact
amount based on 1994 figures.
Manager Johnson stated that 1995 is the last year for larger step increases.
There should be more stability in wages beginning in 1996.
Manager Johnson discussed long range budget planning and possible threats and
City responses. Possible items that would impact the City budget include a
major loss of state aid funding (HACA), passage of "Orfield" legislation, a
major change in the economy, and a return of statewide levy limits. He
provided possible strategies to deal with each of these should they occur.
Study Session Minutes
August 22, 1994
Page 3
Councihnember Anderson asked about the likelihood of these things occurring.
Manager Johnson responded that there could be some minor changes with
respect to levy limits and loss of state aid.
Councilmember Edson stated another impact on residents would be passage of
legislation to shift the property tax burden from commercial/industrial property
to residential property. While the total amount of tax dollars would not change,
there would be an impact with taxes shifted to residential property.
Manager Johnson discussed the operating impacts of possible new capital
expenditures. He stated that 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 for sidewalks and trails of $200,000 per year. He also
provided estimated operating costs for both large and small sites currently under
consideration by the Open Space Committee.
Park Director Blank stated there is $300,000 budgeted for trails in 1995, and
some trails are paid by developers as Park Dedication.
The City Council discussed the policies relating to trail construction and areas of
the City in need of trails.
Councihnember Lymangood asked if the current policy provides for a trail on
all major arterials.
Park Director Blank responded yes. All streets classified as collectors within
the MUSA have designated trails.
Manager Johnson stated the entire trail plan was last studied in 1992, and staff
will review the plan again this winter.
Councihnember Anderson stated that additional funds may need to be budgeted
for trail construction in order to complete the trail system gaps. He noted that
the 1992 study indicates that 11 miles of trail are needed to complete the
existing system. He is very interested in completing the system for pedestrian
safety.
Manager Johnson stated that several miles of trail have been constructed since
then.
Study Session Minutes
August 22, 1994
Page 4
Councilmember Helliwell stated that trails are badly needed in northwest
Plymouth.
Councilmember Anderson stated he would like to receive a
financing/construction plan to fill all trail gaps within three years.
Manager Johnson stated that it may be accomplished through the present level of
funding for trails. The report could be presented as part of the Thoroughfare
Guide Plan study, but the Council must decide within the next few weeks
whether to increase the tax levy in order to increase trail funding for 1995.
Councilmember Anderson stated he has no objection to the proposed funding for
1995, but would like a definitive plan and timeline for the future construction.
Director Blank explained that 2.5 miles of trail will be completed in 1995 and
1996 on Zachary Lane in conjunction with the road construction.
Mayor Tierney stated she would like the Council to have a study session on
minor collectors.
Manager Johnson stated there is an entire hierarchy of roads that make up the
roadway system. It would be difficult to study minor collectors without looking
at the entire system.
Community Development Director Hurlburt stated that the Thoroughfare Guide
Plan review is proposed to be done along with the northwest Plymouth study in
1995. She stated that some study needs to be completed on future land uses
before transportation models can be done and roadway types/trails can be
considered.
Councilmember Anderson stated that he would like to consider the issue of
filling the trail gaps and safety issues on streets that are minor/major collectors
in the fourth quarter of 1994.
Councilmember Granath agreed and stated that the Council needs to be
aggressive on establishing a pedestrian network throughout the City.
Councilmember Edson stated that the City Council is emphasizing the need for
trails. The Council has indicated this emphasis before, but hasn't committed the
resources to complete the work. Perhaps the Community Improvement Fund
could be considered for funding of some of the needed trails.
Study Session Minutes
August 22, 1994
Page 5
Manager Johnson stated that the information provided on open space is
speculative because a recommendation has not yet been received from the Open
Space Committee.
Finance Director Hahn presented information on fiscal disparities estimates. He
explained that Plymouth's contribution to the fiscal disparities pool has
decreased by 31 percent due to tax abatements and cancellations. The proposed
levy rate of 15.84 is based on $8,459,244 going to the fiscal disparities pool in
1995. This amount is based on information received from Hennepin County. \
Plymouth previously contributed over $13 million of commercial/industrial
value to the pool. He explained that the pool is distributed to communities
lacking commercial/industrial property value.
Manager Johnson stated that Councibnember Granath has requested that the
Council consider compensation for Planning Commissioners. He presented
background information and alternatives for compensation. He suggested that if
the Council desires to pay Commissioners, it be done through a regular monthly
amount, rather than a per meeting amount.
Mayor Tierney stated she is not in favor of compensation for Planning
Commissioners, but she would favor providing adequate funding for
Commissioners to attend regional and state conferences.
Director Hurlburt stated that type of training has been offered to
Commissioners, but it is difficult for many to have the time to attend.
Councihnember Helliwell stated that she believes if the Planning Commissioners
are compensated, all other commission members should be paid for equity
reasons.
Director Hurlburt stated the Planning Commissioners briefly discussed this issue
which was initiated by the Council. She stated they appreciate the thought but
don't expect to get paid. They have indicated interest in other features such as
audio/visual improvements to the chambers for conducting public meetings,
food at meetings, and a joint meeting with the City Council.
Manager Johnson presented the proposed plan for communicating the proposed
1995 Budget with the public.
Councilmember Lymangood requested that the comparison information between
cities relating to number of employees per capita be deleted from the planned
communication because the types of services provided are not consistent
between cities. He also suggested that a 10 minute video be produced on the
Study Session Minutes
August 22, 1994
Page 6
proposed budget, similar to the video done on the proposed City Center
expansion. The video could be presented at the ward meetings in October and
replayed at various times.
Councihnember Edson suggested that the budget information be graphically
presented wherever possible.
Discussion was held on the proposed traffic enforcement unit. Public Safety
Director Gerdes will provide additional background information on the need and
proposed use of the traffic enforcement positions. He stated the unit will be
used to increase the level of compliance in the community to accomplish
accident reduction. The unit will also be available to respond to emergency
calls, conduct specialized accident investigation, and enforce commercial
vehicle traffic regulations.
Director Gerdes stated the traffic enforcement unit was originally proposed for a
three year duration, and then the program would be evaluated. He stated that
the officers hired for the program could become part of the regular patrol force
at the conclusion of the special program. He explained that there is the
potential that the traffic enforcement unit revenues could offset its costs;
however, it is not the goal or intent of the unit.
Manager Johnson stated the traffic enforcement unit was proposed as a new idea
to address traffic and safety concerns in residential neighborhoods. He
explained that the Public Safety Education Specialist was hired three years ago
and she has been involved in working with neighborhoods on this issue through
education. More recently, the City has addressed the traffic issue in
neighborhoods through design engineering of the streets including curves, speed
humps, trails, and by approving stop sign installations. He believes that a broad
approach to the problem has been tried, but an enforcement strategy may also
help solve the problem.
Councihnember Helliwell stated that residents are concerned about speeding and
other safety problems in their neighborhoods. She believes the City should
advertise that the traffic enforcement unit will be hired and that their purpose is
to enforce the traffic laws because the Council is concerned about speeding and
residents' safety.
Councihnember Edson stated that the topics of trails and neighborhood speeding
were the major issues discussed at National Night Out. He believes that
enforcement methods should be tried, in addition to continuing the other efforts.
Study Session Minutes
August 22, 1994
Page 7
Manager Johnson stated the traffic enforcement unit has been proposed in a
separate fund. However, he suggested putting all revenue and expenses in the
General Fund along with other police activities.
MOTION was made by Councihnember Anderson, seconded by
Councilmember Granath, to direct staff to include the traffic enforcement unit
revenues and expenditures in the police department General Fund budget.
Motion carried, seven ayes.
The meeting was adjourned at 9:45 p.m.
City Clerk