08-08-2016 City Council MeetingHOPKINS CITY COUNCIL
WORK SESSION PROCEEDINGS
AUGUST 8, 2016
CALL TO ORDER
Pursuant to due call and notice thereof a regular work session of the Hopkins City Council was
held on Monday, August 8, 2016 at 6:31 p.m. in the Council Chambers at City Hall, 1010 First
Street South, Hopkins.
Mayor Cummings called the meeting to order with Council Member Campbell, Gadd, Halverson
and Kuznia attending. Staff present included City Manager Mornson, Assistant City Manager
Lenz, Finance Director Harkess, Police Captain Johnson, Police Chief Reynolds, Public Works
Director Stadler and Streets and Parks Superintendent Strachota.
2017 BUDGET DISCUSSION
City Manager Mornson gave an overview of the 2017 General Fund budget process that will be
discussed with the Council at the August and September Council Work Sessions. Following the
updates to the Financial Management Plan (FMP) and recommendations from the Council, staff
will modify and update the budget as necessary.
Finance Director Harkess gave an overview of the preliminary 2017 General Fund Budget. Ms.
Harkess explained that the budget was prepared according to the FMP, which is being updated
by Ehlers, Inc. Ms. Harkess discussed the impacts to the 2017 budget revenue and expenditures.
Ms. Harkess presented the General Fund expenditures and revenues and explained the changes
from 2016 to 2017. The proposed General Fund increase is 8.29%. Ms. Harkess explained that
the FMP's scheduled tax impact on an average Hopkins home ($223K) is a $94 increase but that
the FMP will be updated once final numbers from Hennepin County are received. Ms. Harkess
explained that in 2016 the FMP only scheduled a $65 increase with the actual increase being
$63. Ms. Harkess explained that the budget and levy provides the City of Hopkins with funding
for additional staffing, new initiatives, road projects, reducing the Arts Center deficit, debt
service requirements and general city operations.
Council Member Campbell asked about the additional staff at the Activity Center and what do
rental properties bring to the tax base. Assistant City Manager Lenz commented that Activity
Center additional staff is necessary due to increased programming. Finance Director Harkess will
have Ehlers, Inc. run tax base scenarios for rental and commercial properties and update the
Council.
Council Member Gadd asked about the debt management plan. Finance Director gave an
explanation of the debt management plan and City Manager Mornson explained that the majority
of debt is due to street reconstruction projects.
Mayor Cummings asked about updates to the FMP, number of bargaining units and revenue
source for the Comprehensive Plan, Comparable Worth and the scanning initiative. Ms. Harkess
will update the Council on the FMP prior to the next Work Session. Ms. Lenz explained that
approximately 80% of the work force is bargaining units with 1-3 year contracts. Ms. Harkess
explained that funds from the past Section 8 program would be used to fund the Comprehensive
Plan with staff investigating possible grant funding. Ms. Lenz explained that the goals of the
Class and Comp Worth study would be to update job position designation and verify job
HOPKINS CITY COUNCIL
WORK SESSION PROCEEDINGS
AUGUST 8, 2016
descriptions. Ms. Lenz commented that the study should be done approximately every 20 years
and that the City should know the impact of the study by 2018. Ms. Harkess explained that the
scanning initiative would be outsourced, as there is a significant amount of scanning to be done.
Police Chief Reynolds and Police Captain Johnson addressed the Council regarding the staffing
proposal for the 2017 budget. Chief Reynolds explained that the department currently is
authorized for 27 positions plus one grant funded DWI officer. The additional staffing would
increase the officer minimum from 2 to 3 officers on duty 24 hours, 7 days/week. Chief
Reynolds explained that the need to increase staff involves safety and population and property
expansion. Chief Reynolds discussed the department's need to rely on mutual aid from
surrounding police departments and explained that staff is working on mutual aid statistics. Chief
Reynolds commented that the department wants to maintain their high level of involvement and
service to the Hopkins community.
Council Member Gadd asked about funding for the DWI officer and body cameras and data
processing. Chief Reynolds commented that the police department would like to continue the
DWI officer program at the conclusion of the grant and that staff is continuing to investigate
costs of body cameras. Council commented on the importance of staffing for future impacts and
would like to be updated regarding the mutual aid statistics.
Public Works Director Stadler and Streets and Parks Superintendent Strachota addressed the
Council regarding the proposed organizational changes and increased staffing. Mr. Stadler
summarized the Public Works mission, vision and budget proposal. Mr. Stadler explained that
the additional staffing would improve field crew support, planning, personnel management,
meeting of infrastructure needs, succession planning and ensuring continuity within the
department. Mr. Strachota commented that the addition of a Field Supervisor would be a positive
arrangement for the employees. Mr. Stadler commented that the additional staffing is needed to
continue to provide the high level of service to the community. Council commented that the
citizens recognize Public Works for their good work.
There was Council discussion about the importance of police department safety & community
policing, police department mutual aid statistics, employee retention, a Financial Management
Plan that focuses on the bigger picture and the need to look to the future. Council commented on
the importance of staffing correctly, succession planning and that added amenities to the city
require more employee involvement and maintenance. Staff will update the Council on the
impact of rental and commercial properties on the tax base, police mutual aid statistics and
continue to update the FMP once all the components have been received. Council directed staff
to prepare the final preliminary budget numbers for further review at the next Work Session.
UPDATES
• City Manager discussed the upcoming Comp study and possible effects on employee salaries.
• Council Member Gadd discussed the Green Line extension press release regarding project
budget and added costs.