02-08-05 WSFebruary 8, 2005
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MINUTES
CITY COUNCIL WORK SESSION -February 8, 2005
A work session of the Hopkins City Council was called to order by Mayor Gene
Maxwell at 6:30 p.m. on February 8, 2005, at the City Hall. Council members Brausen,
Johnson, Rowan and Thompson were present. City personnel present were City Manager
Rick Getschow; Public Works Director Steve Stadler; Facilities Manager Jay Strachota;
and Finance Duector Christine Hazkess. Also present were Jon Kent, Andrew Bredeson,
Spencer Leuthold, Fran Hesch and Mary McNeil of the Depot Board. In the audience
was Steve Olson of 215 Maple Hill Road, Hopkins.
Discussion of Depot Staff and Finances
Mr. Strachota first discussed the financial picture, showing a budget sheet
covering 2001-5. The income for services is from cover charges at events. Concessions
income dropped greatly in 2003 and did not recover in 2004 because of the Excelsior
Blvd. construction and the Three Rivers work. Salaries went up between 2003 and 2004
as Vidya's salary went up, but was covered by a grant. Salaries will be down for 2005
because of the new arrangement with the school district. He noted that preliminary
figures show a net profit of $14,643 for 2004. The very small profit shown for the 2005
budget is due to the low grant figure they are using; in actuality, it should be much larger.
Ms. Hesch noted the board had really worked to streamline the 2005 budget. The salary
difference of 2003 to 2004 is not all due to Vidya and still needs to be answered. The
$3700 budgeted for equipment is not for predetermined purchases, but the boazd
recognizes equipment will need to be replaced or put in and want an amount set aside for
that. Answering Mayor Maxwell, the Board noted that Royal Cuisine equipment is
covered by them with no extra chazge to the Board.
Mr. Strachota said eazly in the Depot's history the teen coordinator had been
provided by the Y. While Vidya served, she was under the Depot director. Now that
position has been eliminated and Vidya has resigned, so it seemed a good time to relook
at the teen coordinator position through the Y.
Andrew Bredeson briefly reviewed the makeup of the Board and partners, noting
the Depot and the Teen Center aze sepazate, yet work together. Spencer Leuthold said
Vidya will leave Maz. 4. Board President Jon Kent said Anthony Hall had to answer to
the Y and was diverted by them when they had special projects. Under the new system
the teen coordinator, even though hired through the Y, would be directly responsible to
the Depot Boazd. Mr. Strachota added Anthony Hall had been an exempt employee; the
new position will be an hourly position, so the coordinator will have no other
responsibilities. Ms. Hesch said her concern is that this position will require aself-starter
as supervision will be minimal as Ridgedale Y covers so many places. Jay noted the
supervisor would be Kim Ericson, who has already gotten approval for the idea from the
corporate office. Answering Mayor Maxwell, Mary McNeil said that the Depot Boazd
and the Y or the City would do the hiring. She later noted the Y has been one of the
partners for 6 years.
Ms. Johnson said the boazd would carry a lot of responsibility. She hopes there
would be monthly or quarterly reviews of the coordinator's work. Mayor Maxwell asked
if the Y would hire someone else if the first one hired does not work out. Jon Kent said
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details aze still being worked out. Mr. Strachota noted the Y is not putting in any money;
they bill the Depot Board for services, with the wage of $15/hour, the difference in
figures is because of a different breakoff point for benefits. Mr. Thompson asked why
Vidya resigned. He was told she is moving to go back to graduate school. Ms. Hesch
noted she is willing to come back in April and help the new coordinator when she returns
from a trip.
Jon Kent said the Board needed some information about why the city handled the
money. Ms. Harkess said the Y would be handled the same as Royal Cuisine. Mayor
Maxwell added the city is the fiscal agent because the city had to sign the lease to get the
building from the county. Jon asked about the job posting. Mr. Strachota said it has been
posted internally already and was in the paper last Sunday. He was cazeful to make it a
Depot Coffeehouse ad. Whether it is handled through the city or the Y, applicants will
need to 511 out their application. The key is it is a Depot position so the comp package is
the same either way. Most applicants have sent resumes and he has not sent applications
to them yet. He showed the job description to Vidya, who approved it. Ms. Hesch noted
the Board is going into a new azea and needs to look at the job description.
Ms. Hesch said she would like the city to playa "grounding" role for the Boazd,
that they would meet with the Boazd. Ms. Johnson ageed the city needs an advisory role.
Mr. Brausen said he would like the issue of meeting a deficit covered and agreed he
would like to see the Depot Board more often. Jon agreed they want to implement
quarterly updates. Ms. Hesch noted that should be added to the teen coordinator job
description.
The Council had questions about Royal Cuisine. Jon said that agreement has not
been finalized. When it is, they will return to the Council. Ms. Johnson expressed concern
that buying is starting through them, but the employees are still city employees. She feels
the situation must be resolved shortly.
General Consensus was that the decision about the teen coordinator should follow
the Board's wishes to go through the Y. Mayor Maxwell added accountability needs to be
worked on more, the Board is in change.
Mr. Brausen asked about budget numbers. Ms. Hesch noted that if Royal Cuisine
sticks to their budget, all should be fine, but expressed concern on keeping track of the
numbers. Ms. Harkess suggested setting up sepazate funds for the Depot and the Center,
which would allow easier tracking of the Coffee House finances and keep the two from
being blended on the balance sheets. She noted the Depot has "chipped away" at its
deficit from previous years. She offered to go back and figure out balances for each as
sepazate entities. Ms. Hesch noted the reason to move to Royal Cuisine was to keep the
moneys from mixing.
Skate Park Discussion
Mr. Strachota said the small non-profit that managed the Skate Park last year will
not be used again. Third Lair is interested, but they want a 5-year contract. If that is
agreed to, they would pay for the improvements, etc. needed as they change their skate
pazks twice a year. Other things discussed have included incorporating the name "Third
Lair" in some way, on-site advertising, the reciprocity agreement with St. Louis Park
Aquatics Pazk (this would continue), and `overnight lock-ins' as part of their events.
General discussion followed. Points raised were:
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1. How would lock-ins work in an outside facility?
2. Sharing the name. Mayor Maxwell thought the Jaycees should be consulted. Ms.
- Johnson felt that the name did not come from the Jaycees and it would not be an issue as
long as the skate pazk is kept by the city.
3. Could there be some money back to the city? Mr. Strachota agreed there would be
some costs to the city, such as to cover vandalism in the off-season.
4. How could the contract be ended by either party if the arrangement is not
satisfactory? Mr. Strachota mentioned the city could get out if safety regulations were not
met or ifpolice-related incidents took place.
5. Could the park be changed to Tier I? Mr. Strachota said he would not recommend
that change because of the pazk's location.
6. Who would carry the liability? Mr. Strachota said Third Lair would carry that.
The city would be liable in the same way as they aze for a public park -safety of curbs,
for example.
7. Would the advertising face only inwazd? Mr. Strachota thought so.
General Consensus was a 5-yeaz contract would be okay if details can be worked
out. Mayor Maxwell instructed that the police be consulted about lock-ins before that
can be put in any agreement.
Mr. Strachota said Stages is having aget-together for their 20th anniversazy.
HCA, Inc., passed a resolution at the last board meeting that Hopkins recognize Steve
Bazberio with a plaque in the lobby. Would the Council agree to that?
General Consensus was that it was a good idea. Ms. Johnson requested a date be
put on the plaque. On Mayor Maxwell's suggestion, it was agreed to proclaim a Steve
Bazberio Day. Mr. Brausen, Mayor Maxwell and Mr. Rowan will attend the presentation
of the plaque.
Mr. Strachota noted that some people have suggested a "Certificate of Awazd"
program be started by the city for honoring other people as time goes on.
Sewer Backup Insurance Discussion
Finance Director Hazkess said that LMCIT offers a sewer backup insurance. The
underwriting criteria is stringent, but Hopkins meets the requirements except for having a
sanitary sewer maintenance policy. Cost is 8.5% of the liability premium or about $6700,
which would be about 18.75¢ per customer per month. The conditions to be met for the
insurance to pay are that the damage results from a fault in the city's system; it is not
caused by an obstruction in lines not owned by the city; it is not part of a catastrophic
incident; and it must occur after the endorsement date. She emphasized this insurance
would not replace homeowners' insurance; this policy and the homeowners' policy
would work together. If the Council is interested, a resolution would need to be passed.
Answering questions, Mr. Stadler said that there aze usually a couple incidents a
yeaz. He could get the numbers for the Council. If the insurance is taken, his department
would confirm to the insurance company if a city line is involved. Ms. Harkess said the
insurance would not cover the city, but the sewer customers. There would be a $10,000
limit per occurrence. Public education would be necessary. She was not sure if the sewer
fund could absorb the cost, but noted a sewer charge raise is scheduled for next year.
City Manager Getschow noted 90-95% of such incidents aze on a home owner's private
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sewer line. Some homeowners' policies may cover city lines. He added the fact only 50
cities have such insurance is due to the fact it is a fairly new program.
Mayor Maxwell noted there could be a 20¢ line item put on sewer bills. Mr.
Getschow noted that if the city absorbs the cost, publicity would not be needed; if it is a
line item, that would be necessary. Ms. Johnson asked that cities with the insurance be
contacted about how they implemented it, what PR they used, their satisfaction with it,
etc.
General Consensus was the idea should be looked into further. Mr. Stadler should
gather historical data. Ms. Hazkess will do more reseazch.
Other
Mr. Thompson asked who takes Gaze of graffiti on the walkway by Lunds? Mr.
Stadler said either the state or Minnetonka. Mr. Thompson asked for records from Super
Valu's original construction as to how they got the height variance -whether it was
related to the setback, berming, etc. He would like an update from SuperValu on the
demolition schedule. He asked for a timeline for that TIF district; Mr. Getschow said he
thinks it is azound 3 years.
Ms. Johnson asked about the next SuperValu neighborhood meeting. It will be
Feb. 15. She noted there are 11 "caring youth" so faz.
Mayor Maxwell said he had received a letter on Relay for Life June 24. Does
anyone want to be on the steering committee?
City Manager Getschow said that he understands the Council wants the building
demolished on the "Surge" property next to Blake School, and, further, the land will be
kept by the city and zoned residential. He asked for confirmation of that as someone has
approached the city about purchasing it with its building for commercial purposes.
General Consensus was his understanding was correct.
Mr. Getschow said the CounciUstaff retreat is scheduled for Maz. 22. It was
decided to have dinner at 5:00 and start the meeting at 5:30. Notices have already been
sent out about the meeting on the assessment policy at the Maz. 8 work session, but
Minnetonka would like a joint session on Shady Oak then. It was decided to do both, with
the Council going to Minnetonka at 8:00.
Mayor Maxwell asked about the police department facility project. Mr. Stadler
said they aze a bit ahead of schedule.
Mr. Stadler reported that 100 people attended the kick-off meeting on Shady Oak
Road. The next meetings will be Mazch 28 and 29. Mr. Brausen asked if lessees' rights
were being taken caze of; he is particulazly concerned about a business in that azea. Mr.
Stadler said the law covers business owners as well as property owners.
Mr Thompson moved adjournment. Ms. Johnson seconded. On a 5-0 vote the
meeting adjourned at 8:53 p.m.
Kasey Kester, Secretary
February 8, 2005
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ATTEST: r~_
Eug e J axwell, Mayor
COUNCIL MEMBERS: