05-13-03 WSMay 13, 2003
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MINUTES
CITY COUNCIL WORK SESSION -May 13, 2003
A work session of the Hopkins City Council was called to order by Mayor Gene Maxwell
at 6:50 p.m. on May 13, 2003, at the City Hall. Council members Brausen, Johnson and Rowan
were present. City personnel present were: City Manager Steve Mielke, Assistant City Manager
Jim Genellie and Finance Director Lori Yager.
Budget Discussion
Mr. Mielke said while the Senate has passed a tax bill, no one knows what the final
numbers will be. He feels Hopkins will lose over $1 million in 2004 no matter what bill gets
enacted. It does seem the sale of bonds for the facility should be okay, but how levy limits will
end up is uncertain. Ms. Yager noted the governor's plan does not have levy limits. Mr. Mielke
said if a budget is not agreed on by the end of June there would likely be a state government
shutdown. When he gets actual numbers from the state, he will bring that back to the Council.
Answering Ms. Yager, Mayor Maxwell said he thinks the Council will pass a resolution for the
plan.
Mr. Mielke then gave out a handout for 2004 options, noting the total is actually $1.3
million in potential cuts. This was sent out with employee paychecks last week with a memo
stating it was not a final plan but a possible solution. Reactions have been varied. Many see it as a
"done deal" instead of the tool to see if the public wants to raise revenues rather than have those
cuts. Mr. Brausen noted the seniors are "up in arms." Mr. Mielke said the alternative is to find
more revenues or alternative cuts; the question is if the public would support more revenues.
Mayor Maxwell says the message has to be "If you don't want something cut, how do we pay for
it?" Ms. Yager noted another option would be shared administrative jobs where Hopkins would
contract with another city. She is not sure how it would work; one effect would be losing some
local contxol. Mx. Mielke added Crystal and New Hope have already combined fire departments
and are considering combining police forces.
Ms. Yager handed out a chart of historical pxoperty taxes. Mr. Mielke noted that in the
past ten years value percentages have gone up more than tax percentages.
Mr. Mielke distributed information on franchise fees, noting St. Louis Park is already
including them in their planning. This could be a significant revenue source. Implementing such
fees would require passing an ordinance, but no heaxings axe required. Utilities prefer a straight
meter fee, but a percentage formula means funds rise as rates go up.
There was general discussion on scheduling focus groups and public education.
Consensus was to have past Council members and mayors attend the May 27 work session.
It should center on showing the group what Hopkins is facing, getting feedback on what they
would cut or not cut, getting reaction to franchise fees. The 2003 plan should be shown to them.
Information should be sent to them ahead of time so they have a chance to study it before the
meeting. Council members should call the invitees as well as the letter/information packet being
sent. Department heads should also attend as xesources for the discussion. At the June 3 Council
meeting Ms. Yager should explain the $650,000 cut in the 2003 budget. At future worksessions
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department heads should be brought in to discuss what the present 20041ist would mean in their
departments and for their suggestions.
Gambling Policy
Mayor Maxwell said the purpose of this on the agenda was not to discuss any particular
situation but to get feedback on the way this is going. Mr. Genellie said the present moratorium
ends June 29, but it can be extended. Mr. Rowan asked for clarification of "premises"; Mr.
Genellie said pull-tabs do not have to be in a bar, but that is the usual place they are sold.
Licenses are given by location, not association. Hopkins has always limited to "Hopkins-based"
organizations rather than saying licensees must spend money in the "Hopkins trade area." Past
history shows the groups spend more than ten percent on Hopkins-related projects. That ten
percent could be required to be given directly to the city to be allocated, but state law limits how
the city could spend it. Ms. Johnson added if the city took it directly it would add a personnel cost
for the city.
Mr. Mielke said what needed to be answered at this work session was "who, how and
when we would discuss the policy. "
Consensus was that landlords, vendors and licensed groups should be invited to a discussion
centered on the present policy along with clarification of specific language as drafted by Mr.
Genellie. The attendees would be asked, "Here's the current plan and here's issues to be
resolved. What do you think?" It would be clear they were being asked for input, not decisions.
The moratorium shall be extended so the meeting can take place at the July 22 work session. In
the meantime staff shall research expenditures by the licensees, clarify certain language issues,
and City Attorney Miller shall look at other cities' policies.
Conceal and Carry
Mr. Genellie said he feels a policy needs to be put in place; all that is currently in place is
a short section on violence prevention. Mr. Mielke said one concern is that the school district
leases space in three city facilities - Depot, Art Center and Pavilion. He added St. Cloud has
passed a resolution asking for more control by cities; would the Council want to join that
movement?
General Consensus was that staff needs to draft a policy, a determination needs to be made
on what to tell people who call city hall with concerns; and all employees need to be notified they
cannot carry guns to work.
Other
Ms. Johnson said the intersection of 5`'' Ave. and Minnetonka Mills had been left with a
deep drop-off over the weekend. Mr. Mielke will check with Mr. Stadler about it.
Mr. Brausen thanked Mr. Mielke for having Mr. Wilson call him. He had received a
couple complaints about the turn from Walgreen's onto Hopkins Crossroad. Mr. Mielke said
present roadwork would eliminate the problem.
Mr. Rowan said neighbors on Jackson asked him if the boulevard was going to be repaired
after being torn up last fall; at present it is still just sand. Mr. Mielke will check into it.
Mayor Maxwell reminded others of the event for Cornerstone/American Express next
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Thursday. He said a modular house is being put in on Nineteenth. Mr. Mielke said he believes
state law does not allow restrictions on them but will check.
Mr. Mielke said Mr. Stahmer has talked to MTC; the 5"' Ave. route will be consolidated
and contracted out.
Mr. Mielke said the Employee Luncheon is still in the 2003 budget; what date is wanted.
Consensus was to have it on October 1. Answering Ms. Johnson, he said the picnic would be July
23.
Mr. Mielke announced there has been interest shown in the North Annex property by a
medical device company. They want to only build 100,000 sq. ft. to start and are talking to a
developer about 1/3 of the site, perhaps even for a hotel. He indicated to the company for city
help there would need to be more development done. They have not made a deal with SuperValu,
but they are a viable company. He will keep Council updated.
Mayor Maxwell asked about Shady Oaks sewer start. Mr. Mielke said the plan was to do
it with Shady Oak Road; he will check with Mr. Stadler.
Ms.Johnson moved adjournment. Mr. Brausen seconded. Meeting adjourned at 9:20 p.m.
Kasey Kester, Secretary
ATTEST:
Eugen J. axwell, Mayor