08-13-02 WSAugust 13, 2002
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MINUTES
CITY COUNCIL WORK SESSION -August 13, 2002
A work session of the Hopkins City Council was held at 6:30 p.m. on August 13, 2002, at
the City Hall. Council members present were Mayor Maxwell and Council members Brausen,
Jensen, Johnson and Rowan. City personnel present were City Manager Mielke, Finance Director
Yager and Assistant to City Manager Stahmer.
2003 Preliminary Levy and Proposed Budget Discussion
Ms. Yager said that on the average salaries/benefits increase 4.9-5 % per year and total
expenditures increase 4.7 % . This budget is based on the work of the department heads to hold
expense increases to 4.5 % . It includes a new policeman for $60,000 in salary expense. It is based
on the assumption of no state aid cuts. This year Hopkins received an additional $246,000 in
rental housing reduction state aid and about an additional $100,0001oca1 aid, but the levy limit
was decreased $220,000. It would leave $118,000 as a contingency. Gary Carlson of the League
hopes the levy limit will be taken away in 2004; if it does not the long range planning shows
increased deficits each year.
Mayor Maxwell noted Hopkins had not gone to the levy limit last year. Ms. Yager thinks
that extra is gone, but Mr. Mielke will double check. Mr. Mielke noted this is the first time
Hopkins has been up to the levy limit. Both Representative Folliard and Mr. Carlson are trying to
find money the next session, but it is unlikely they will succeed. The chemical assessment team
might bring in a small amount for equipment storage. A 20% cut in state aids is possible. Mr.
Carlson has said the worst case scenario is that the governor would decide to "unallot" state aid
funds in December as the state is in deficit spending.
Mr. Mielke said several "lobbying efforts" are needed. At the legislature two messages
need to be given: drop the levy limits so decisions can be made at the local level what the people
want for services, and maintain state aids. The staff needs to be asked "How could we
accommodate a 20 % cut in aid?" which would amount to $230,000 less revenue. The public needs
to be aware what will be affected if the 20% cut happens.
Ms. Yager said the preliminary levy will be set by Council in September. Then will come
budget work, with the final levy set in December. Her present proposal would mean a $63
increase in taxes for the average homeowner in Hopkins.
Light Rail Transit Station Study
Mr. Stahmer is on the technical advisory committee, which is studying possible sites for a
station in the highway 169 area. Hennepin County is proposing to use $100,000 of federal funds
for a study of potential station locations in Hopkins. The draft Request for Proposals is based on
one done for Hennepin County, but uses Hopkins staff input. The study area would be between
Blake Road and 13"', south of Excelsior Blvd., and also look at Mainstreet for economic
development opportunities. Light rail construction is probably out 15 years so any market study
would have limited value. Mr. Mielke added economic development is happening around the nodes
in Minneapolis so the station may spur future development. Mr. Rowen stated that development
might be at the East End rather than Mainstreet. Mr. Mielke stated that a proposed alignment
includes an option of having the rail come down the railroad right-of--way and turn down highway
169, which would bypass Mainstreet. The study will also consider a Park & Ride near 169 and a
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station near downtown Hopkins at 11"' to 13"'. Ms Johnson asked if there would be a turnaround
loop, if Hopkins were at the end of the line; Mr. Mielke said no, the cars just reverse direction.
Mr. Stahmer added a pedestrian bridge is in the study. Ms. Jensen said that if circulator buses
were used, it would be nice if the circulator buses could be made notable, for example, a trolley
design. Ms Johnson asked who would own the end-of--line property. Mr. Stahmer said while that is
unknown, City Engineer Bot says if parking for over 100 cars is needed, it would need to be
structured parking, not surface parking. Mayor Maxwell noted that Hopkins should get the study
information to use, even if no line is built. Mr. Mielke said his main concern is "Does Hopkins
want to be the end of the line?" It is already assumed there will be station here if a line is built.
The impacts of station end of line station both need to be studied and then the public needs to be
brought in for their reaction. Mr. Stahmer noted St. Louis Park is already doing their study, and
has made changes as it progressed. Mayor Maxwell asked their format be studied to help Hopkins
know what to include. Mr. Stahmer added next week city staff will be adding comments, and he
would appreciate any Council comments.
General Consensus: Mr. Stahmer shall proceed. He will get the St. Louis Park study.
Depot Coffee House Discussion
Mr. Mielke said so far it looks as though the deficit will be higher this year than last year,
which was $34,000. This year it will probably be $55,000 to $65,000. The YMCA has stated that
they will not share the burden further. He has told them if they will not share the burden, Hopkins
wants to change the mode of operation. Mayor Maxwell said that Supt. Kremer of the School
District said they would help up to $25,000. Ms. Jensen said not having the YMCA employee
would help and feels the Y has never fulfilled its contract. Mr. Mielke said there would still be a
deficit but agreed there can be only one full-time position. The Y wants to stay in it in some way,
but they don't have funds available. An important piece is "a place where teens can congregate in
a safe place" but usage is mostly Thursday-Sunday in the evening by teens. Otherwise, it is mostly
adults there. If a clubhouse is what is wanted, it could be done with less staff and shorter hours.
He wants discussion with staff, teens and school to develop a new model. Mr. Brausen stated that
all parties need to be present, including the Y, school and teens. He has talked to Kathleen and
wonders if the Y could supply volunteer workers. Ms. Jensen said at first volunteers were talked
about, but gradually the Teen Center has taken over. Mr. Mielke said Three Rivers Park District
provided funds for using the Depot as a trailhead so that bathrooms would be available; changes
would have to involve them. Ms. Johnson said maybe it needs to be more than a coffee shop -
what about an ice cream shop or a soda shop? Mr. Mielke says the basic problem is the Depot is
running a "for profit" business in a "social services" model. " Kathleen has ideas how it could
become a true "for profit" business. He added the problem with relying on volunteers is they don't
show up, and that includes the teen volunteers. Mr. Brausen asked who is making the decisions to
not change. Mr. Mielke said the students refuse to charge for events. Ms. Jensen noted a $2
charge is cheap and bands are on a waiting list to perform. She feels education of the teens is
needed. Mr. Mielke agreed messages to the teens have been inconsistent and student involvement
in the business part has never happened. Mr. Stahmer noted he had talked to Kathleen -she
attended board meetings until she was told it was "not necessary." Board meetings seem to be
about the weekend events. Mayor Maxwell said it needs to be confirmed the Y is gone as a
partner. Mr. Stahmer said a "reduce-the-use" grant for $5,000 is not in the figures. They have
verbal assurance of another $9,000 grant, but no official notification. Mr. Brausen said he
couldn't encourage the city to back a coffee shop that can't pay for itself; the deficit needs to get
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smaller each year. He backs the idea it stands for, but it needs to start over. Mr. Rowan said the
board needs to look at long-range planning and let the manager manage. Ms. Johnson suggested
the teens be given "an allowance" and if they can't keep the fund up, they are out of the finance
picture. Discussion on this point showed while an "allowance" wouldn't work, it could be altered
to "pay for the chaperones, etc. for each event if you want events to happen" which would mean
they would need to be sure volunteer chaperones showed or paid for hired ones. Mr. Stahmer
noted that grants are given to maintain services, so changes may adjust grant monies.
General Consensus: The Council does not want to see the Depot closed, but they all agree
Hopkins cannot continue to underwrite it as it is presently set up. All parties need to work
together to come up with a new model. The idea of the teens providing the money for events
should be considered. The main goals are to reorganize the model, cut expenses, minimize losses,
and continue the "good stuff."
Other
Ms. Jensen asked about "Success is..." Mr. Mielke will get back to the Council.
Mr. Brausen said Shady Oak and Mainstreet is weedy.
Ms. Johnson asked about the tobacco shop. Mr. Mielke said it is in compliance. The
moratorium ordinance drafting is continuing for fireworks, tobacco and liquor. Ms. Johnson
asked if there is a way that the "redevelopment area" could be exempt.
Mr. Mielke announced 7 or 8 of the benches are already pre-sold. Mayor Maxwell said one
should be purchased for Don Milbert. Ms. Johnson suggested one be held to see if the Council can
get the money.
Mr. Mielke said some progress is being made with the Hopkins Village Apartments.
Ms. Jensen moved adjournment; Ms. Johnson seconded. Meeting adjourned at 9:25 p.m.
Kasey Kester, Secretary
ATTEST:
Eu ene J axwell, Mayor