11-27-07 WSNovember 27, 2007
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MINUTES
CITY COUNCIL WORK SESSION -November 27, 2007
A work session of the Hopkins City Council was called to order by Mayor Gene
Maxwell at 6:30 p.m. on November 27, 2007, at the Hopkins City Hall. Council
members Rick Brausen, Kristi Halverson, Bruce Rowan and Cheryl Youakim were
present. City personnel present were City Manager Rick Getschow, Finance Director
Christine Harkess, City Engineer John Bradford and Public Works Director Steve
Stadler.
2008 Budget
Finance Director Harkess said staff had reduced the budget by approximately
$30,000 more, resulting in the levy increase being lowered to 4.41 % instead of 4.74%
The tax capacity rate did not decrease as much as anticipated. City Manager Getschow
noted this is the first year the tax hearing notice levy was very close to the final levy
amount. The fiscal disparity tax, a commercial tax, is not a big issue for Hopkins. Mayor
Maxwell directed Ms. Harkess to find out how the fiscal disparity is figured. Mr.
Getschow noted that while the Truth in Taxation hearing is about the levy, market value
of property always comes up. Part of the problem is that there is always a year's delay in
the valuations. Mr. Brausen noted Hopkins was set at a low value for about 10 years.
Ms. Harkess said she has prepared slides for the hearing showing how many properties
went up, down, or stayed at the same values. Mayor Maxwell noted it needs to be
stressed that this hearing is about Hopkins' taxation, not their total taxes. Ms. Youakim
asked what the figures would be if there had been no redevelopment in Hopkins. Ms.
Harkens said there was a 3.26% increase in the city budget. She added that Section 8 is
eliminated from the special revenue budget. Mr. Getschow added on December 18 there
will be a power point on the budget which will include special funds. Residents pay
about $80 per month for all city services. Most cities are increasing their levies by 4-8%.
The Truth in Taxation hearing will be next Monday at 6:30 p.m.
2008 Street Improvement Assessments
City Engineer John Bradford said the policy has been to average the three past
assessments, which would result in a 10% assessment cap increase. Staff suggests
changing to a cap formula of 3% per year. Staff further suggests that the MSA street
assessment percentage for residential properties be changed from 50% to 30%.
Answering Ms. Youakim, Mr. Stadler said the last MSA street redo was Fifth Avenue.
Mr. Bradford said nonresidential properties assessment would stay at 70%. Answering
Mr. Brausen, he said no changes were specifically done to side streets, but the new caps
will affect them. Staff would lake to' narrow the road by the regional~~trail by narrowing
the street, which will calm 2 Street traffic. About 300 feet of 2 Street would be
reconstructed. Answering Mayor Maxwell, Mr. Stadler said the whole street does not
need to be done as it has an 8" asphalt bed so a mill and overlay will last many years.
Mr. Getschow added the new surface would extend all the way to Blake Road. Mr.
Bradford added this work would discourage Excelsior Crossing employees from using 2"d
Street. Mr. Brausen said choking down the road is a very good idea. Mr. Getschow said
staff feels Opus will be okay with the idea as they really support the bike trail. Adding
the additional assessable property lowers the assessment for residents, going from the old
November 27, 2007
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,estimate of $8-13,000 to $3-9,000. There was general discussion on the issue of side
street assessments. Mayor Maxwell felt deviating from policy causes future problems.
Mr. Getschow noted there will be neighborhood meetings so there should be a good deal
of feedback on the proposed plan. Mr. Stadler noted a letter is being sent to all residents
in the proposed area about the December 13 meeting. He added staff would like to use
the proposed side street plan; if the Council does not like the idea, staff should not go to
the meeting=with it. Staff would, of course, give a history so residents could see why it
was done this way. Mr. Brausen said he felt it was a good plan. Mr. Brausen suggested
staff look up the notes and minutes from the earlier work on 5th; Mayor Maxwell agreed.
Mr. Getschow said the city needs to look at other sources of funds for roads as
assessments have not and probably should not bear the majority of the costs. Mr. Stadler
said assessments are supposed to be comparable to the increase in property value. He
agreed with Ms. Youakim's comment that more discussion is needed on the cap proposal.
Mr. Getschow said more discussion will be scheduled for the spring regarding revenue
sources. There was also a general discussion on putting sidewalks on both sides of
Minnetonka Mills Road.
Other
Mr. Getschow handed out an update on Block 64 and communications from
Habitat for Humanity, who would like to meet with the Council in January.
Ms. Youakim mentioned a news article on ordinances banning the use of bows
and arrows in residential yards and asked if this should be a Council issue. Mr. Getschow
said he will get a copy of the article to all Council members and will check with Chief
Reid on the issue.
Mr. Getschow said Chief Reid is working on getting county dollars for a JCPP
program whereby funding would be provided for positions in the police department to
work with multicultural groups in the city.
On motion by Mr. Brausen and second by Ms. Halverson, the meeting adjourned
at 8:40 p.m. on a vote of 5-0.
Kasey Kester, Secretary
ATT T:
Eugen . M ell, Mayor
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