HomeMy WebLinkAboutCity Council - 11/17/2009 - Workshop APPROVED MINUTES
CITY COUNCIL WORKSHOP & OPEN PODIUM
TUESDAY, NOVEMBER 17, 2009 CITY CENTER
5:00—6:25 PM, HERITAGE ROOM II
6:30—7:00 PM, COUNCIL CHAMBER
CITY COUNCIL: Mayor Phil Young, Council Members Brad Aho, Ron Case, Jon Duckstad, and
Kathy Nelson
BUDGET ADVISORY COMMISSION: Don Uram—Chair, Richard King—Vice-Chair,
Annette Agner, Eapen Chacko, Jon Muilenburg, Richard Proops, Gwen Schultz
CITY STAFF: City Manager Scott Neal, Police Chief Rob Reynolds, Fire Chief George Esbensen,
Public Works Director Eugene Dietz, Community Development Director Janet Jeremiah, Parks and
Recreation Director Jay L otthammer, Communications Manager Joyce Lorenz, City Attorney Ric
Rosow, and Recorder Lorene McWaters
Heritage Room H
Budget Advisory Commission Members Gwen Schultz, Annete Agner and Dick Proops were
absent.
I. BUDGET ADVISORY COMMISSION RECOMMENDATIONS
Budget Advisory Commission (BAC) Chair Don Uram reviewed the commission's
recommendations on the proposed 2010 budget. The BAC report says the proposed budget
relies too heavily on the Budget Stabilization Fund (BSF). The BAC offers several ways to
reduce use of the BSF in the 2010 and 2011 budgets, including reducing expenses, delaying
proposed "enhancements" to the budget, implementing a utility franchise fee, and
transferring a portion of the economic development fund into the BSF. The proposed budget
enhancements, which the BAC suggests delaying, are the Fire Duty Crew and the addition
of two Police Officers. A utility franchise fee would allow the city to recover the cost of
street lighting, and would spread costs across all users. The BAC also recommends that the
City and the Firefighter Relief Association review available pension plans and investment
options.
Uram referred to an e-mail to the City Council from a member of the BAC, which contains
additional recommendations. Uram said the e-mail reflected the individual's opinions and
not the opinions of commission as a whole.
The BAC report commends the City Council's decision to enter into a new professional
services agreement for legal prosecution services, which will save the City $75,000. The
BAC encourages the City Council to explore other cost saving measures.
Council Member Duckstad asked why the BAC report did not include an examination of
wages and staffing. Uram said it is the BAC's understanding that wage levels are frozen for
2010, and they have not had the opportunity to discuss wages and staffing levels for 2011
yet.
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November 17, 2009
Page 2
Council Member Nelson asked whether or not the BAC looked at the City's various
administrative areas to see if cost reductions are possible. Uram said the BAC took a
comprehensive overview of all that is happening in the City,but did not have the
opportunity to delve deeply enough into many areas to be able to make specific
recommendations. BAC member Eapen Chacko said that the BAC did look at the IT budget
and functions for possible savings,but did not identify anything for 2010. He said they will
reexamine this area for 2011. The BAC also looked into the feasibility of outsourcing
assessments, but did not reach any firm conclusions on cost savings.
Nelson asked if the BAC was aware that one of the proposed Police Officer positions is not
a new position but backfilling an open position. BAC member Rick King said the
commission took that into account when making its recommendations.
Mayor Young asked for an update on the status of the hiring freeze. He said he understands
some open positions have been filled. He said not filling the open positions would have
been a way to help ease the challenge of balancing the 2010 budget. He would like Council
to have a better idea of what positions are open and whether or not they need to be filled.
Neal said four open positions have been filled in recent months, with a net decrease of 10
FTE in 2009. Neal said the hiring freeze was a temporary measure designed to help balance
the 2009 budget. Young said the City is still facing serious financial challenges and he
thinks keeping unfilled positions open would be a good way to help meet those challenges.
Young said he is not in favor of a utility franchise fee. Aho, Duckstad and Nelson also said
they do not support a utility franchise fee.
Nelson said adding a Fire Duty Crew is a matter of health and safety, so she does not
necessarily consider it an enhancement of current service levels. She said she is not willing
to take it off the table just because it costs money. It is a policy decision and not just a
budget decision.
Case said he does not see a BAC analysis of the impact of not adding a Fire Duty Crew.
Case said response times are critical. Adding minutes to a response time to a fire could
mean a fire that is many times larger than it would otherwise have been. He said he does not
feel that it is the BAC's call whether or not a Fire Duty Crew is implemented.
Chacko said the BAC asked for data on the incremental impact of not implementing a Fire
Duty Crew, but they were not able to obtain a brief answer. The information they received
indicates response times are good, but they did not receive specific numbers. Case said the
difference in response time with a Duty Crew is the time it takes to get an on-call firefighter
from their home to the station. Case said he believes the Fire Duty Crew is worth the cost,
which would be approximately 80 cents a month per property owner. Young said Eden
Prairie has a long history of strong public safety. He feels it is unfair to imply that it would
be otherwise if a Duty Crew is not considered. He said if the Duty Crew is a staff priority,
staff needs to find other ways to get to a flat budget.
Young asked for clarification of the BAC's recommendation regarding the Fire Relief
pension. Uram said the BAC is recommending a review of the Fire Pension investment
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November 17, 2009
Page 3
program and its mix of assets. King said it might be a good idea for the City and the
Firefighter Relieve Board to meet to determine whether or not it is possible to provide fire
benefits at a lower cost. He said analysis of the investment portfolio would be helpful in
those discussions.
Aho said he is concerned about the BSF being spent too low. Reductions in spending would
help alleviate this problem. He asked if the BAC has any other suggestions that could be
fleshed out. Uram said the BAC does not have the information they would need to
recommend specific cuts. These types of recommendations would need to come from staff.
Duckstad asked for clarification on CIP facilities user charges and a list of capital
expenditures for 2010 and 2011. Neal said staff will distribute this information to Council
Members before the December 1 meeting.
Dietz said some communities charge special assessment fees for overlaying pavement in
front of homes. Those assessments can be from $1,500 to $2,000 per household. He said $4
per month for street lighting might be more palatable for residents. Case said he feels the
street lighting fee is a user fee, and he is not opposed to the concept.
Council Chamber
II. OPEN PODIUM
1. Barbara Kaerwer—Proposed Ordinance Defining Public Facilities
Kaerwer asked the Council to consider tabling the second reading of the ordinance
defining public facilities. She believes the ordinance might make it more difficult to
carry out her wish to donate her Gordon Drive home and land to the Nine Mile Creek
Watershed District.
2. Jennifer Prince—Proposed Ordinance Defining Public Facilities
Prince said she lives on Beehive Court and she is a neighbor of Kaerwer. She and
her husband are block captains and have talked to many neighbors. She said people
feel the ordinance is directed at Barbara's plan and they would like the Council to
table action on the ordinance until everyone has a better understanding of the
implications.
Mayor Young said the ordinance is designed to define what types of structures are
appropriate in residential neighborhoods. He said Council will further discuss the
proposed ordinance during the regular Council meeting.
3. Ryan Laing—YMCA's Central Middle School Program
Laing said he coordinates the YMCA's Y's Start program for at-risk students at
Central Middle School. He said the program assists students who lack focus on their
academic or social path and helps create an environment in which they can grow. He
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November 17, 2009
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said he wanted Council to know the funding the Y receives from the City is
important to their program.
4. Thomas Casey— Proposed Ordinance Defining Public Facilities
Casey said he is an attorney representing Kaerwer. He distributed talking points he
and Kaerwer would like to use in formal discussions with the City, Watershed
District, and neighbors. He also asked the Council to table the second reading of the
ordinance until further discussions can be held.
III. ADJOURNMENT