Loading...
03-23-04 WSMarch 23, 2004 Page 1 MINUTES CITY COUNCIL WORK SESSION -March 23, 2004 A work session of the Hopkins City Council was called to order by Mayor Gene Maxwell at 6:30 p.m. on March 23, 2004, at the City Hall. Council members Brausen, Johnson, Rowan and Thompson were present. City personnel present were: City Manager Steve Mielke, Facilities Director Jay Strachota, Assistant Fire Chief Dale Specken, Public Works Director Steve Stadler, Police Chief Craig Reid and Katherine Magdal. Also present were Fran Hesch; Herb Hesch; Kathleen Taber, Matt Sellman and Jonathan Kent of the Depot; and Bertrand Weber of Royal Cuisine, Approval of Furniture Bid City Manager Mielke said this furniture would be interchangeable with other city furniture. The over-run amount does not affect the contingency amount. Mr. Specken added they are using the old furniture as well; most of this is new office furniture. It will all be installed by Facilities Systems as most of it is modular. Mr. Brausen asked more detail be provided. Mr. Rowan moved the Council approve the purchase of office furniture for the new Fire Station facility from Intereum, Inc. Mr. Thompson seconded. Approved 5-0. Update on Depot Finances Mr. Strachota said no city subsidy was needed in 2003. The Depot used $76,000 in grants and $19,000 of the $50,000 school lease money. Another $50,000 has been signed for the 2004-5 year so he feels no subsidy will be needed in 2004. Three Rivers Park District recently informed him that they are going ahead with volleyball courts, grills, bollards for the parking lot, bike racks and drainage work for the parking lot. Mr. Carlson will start attending partners meetings. Matt Sellman, accounting intern at the Depot, presented financial graphs for the business side of the Depot. Mr. Hesch noted the transfer out figure is a bookkeeping method so that the Teen Center pays part of the expense on event nights. The peaks in part-time help were due to three pay periods hitting in a single month, not more help. The graph showing no part-time help would mean the Depot would break even is simply to show a profit is not possible at this time; the Depot could not run without that help. Ms. Taber said using Royal Cuisine should help costs. The Depot will close at 2 p.m. 3 days a week due to tracking sales results. She expects about a $33,421 loss on the business side, which will be covered by the school lease and grants. Answering Council questions, Ms. Taber said the school lease program is exciting and very encouraging. The marketing class is working on a Depot brochure. The food at school is undergoing change and their new coffee bar will be named "Depot Too." Next Monday there will be a meeting to discuss money issues on that. The business side of the Depot gets $2050/month from grants and $2000/month from the school lease program. She hopes the grills from Three Rivers will increase rental possibilities. The volleyball court should be in by summer. Volunteers cannot be used alone instead of paid part-time help because of cash and teen issues. Besides the grant writer, a network of interested people keep looking for funding possibilities. Mr. Mielke said the school program is a great help and the city needs to foster it as much as possible. At present it _ March 23, 2004 Page 2 is a three-year program. Ms. Hesch noted all business courses are electives so it is necessary to build student enthusiasm for the program. Council members expressed satisfaction in the overall success of the Depot. They asked that they also receive the monthly newsletter the partners receive and that Depot staff come and report quarterly on all phases of the Depot and Teen Center. Mr. Thompson noted the business graphs need to be balanced by the successes they have in presentations; others agreed. Update on Skate Park Finances Mr. Strachota said his staff has explored private insurance, selling Tier II equipment for Tier I equipment, altering present equipment, funding with contributions. All present difficulties. He feels $13,000 is needed to fund the park. He is working on an $8,000 grant at present. Attendance has really dropped, but may be due to the admittance fee. Ms. Tabor added the age 10 requirement due to its Tier II status may also be a factor. General discussion followed. Mr. Mielke noted no budget money was allotted; any city money would come from the contingency fund. General Consensus was that the Jaycees need to be brought in as they donated the money for the equipment. If the $8,000 grant is received, the city could add the other $5,000. Some time should be allowed with no admittance fee and see if attendance improves before a final decision. HCA Facilities Fees Mr. Strachota said Stages is against a facility charge but is willing to "pass through" a higher tech fee. They have suggested trying party packages in which the Center would provide food, tickets, party favors, etc. as a package deal. They close the building when they are the only ones there to help save city costs. They have talked to their attorney as they view the charge as a tax and nonprofits cannot be taxed. HCA, Inc., is willing to roll a facility fee into their advertised ticket cost. They are looking at ways to free Susan for more marketing. The school district feels their support of Mainstreet School is all they can do financially although they are looking at ways to include the Arts Center and Pavilion in their conference marketing plan. Mr. Strachota also noted rentals increased greatly in 2003, $20,000 over the budgeted amount. Nothing was taken from the Cable Fund. For 2004 a $29,000 shortfall is expected; if Mainstreet School brings in $25,000 most of this will be taken care of. Mr. Brausen noted Mainstreet School is largely due to Stages, and that Stages has also told him they would agree to higher rental fees once their finances improve. Ms. Johnson said further discussion is pointless until we know if Mainstreet School will actually happen. Mr. Mielke said the bond sale is April 20. Mayor Maxwell said he felt the city attorney should look into issues raised by Stages. General Consensus was to have the city attorney look into issues. Work should continue on the facility charge with HCA and the marketing plan with the school district. Contact should be kept with Mainstreet School. Liquor Violation Policy Mr. Mielke said he feels the present policy does not work so he is looking for guidance. The policy says the city can do a civil sanction, but it is difficult to prove. A civil sanction is March 23, 2004 Page 3 against the license holder, a criminal sanction would be against the seller. They usually are different. At present penalties are the same whether the owner trains the help or not. The state is considering passing mandatory checks and penalties. Answering Mr. Brausen, Ms. Magdal said from 1998-2003 few if any checks were done. Mr. Mielke said passing an ordinance requiring the seller check all identification would actually help the owners. Police Chief Reid said that is required for tobacco. He feels a "carrot and stick" approach is the best, where penalties are less for those who have trained their help. Checking for compliance costs about $1500 per time. Ms. Magdal noted that when the owner gets a license there is a manual with information on fake licenses. Mayor Maxwell asked about using a reserve officer to rotate among liquor stores on week-ends; Chief Reid did not think it would work. Mr. Mielke noted fines have gone to Chemical Health; perhaps that should go to compliance checks costs. General discussion followed. General Consensus: There should be no $0 penalties. "Carrot and stick" approach such as that in Plymouth sounds good and should be developed. Retailers and the Chemical Health Board should be involved in the process. Mandatory identification checks at sales should be part of the policy. Other Mr. Thompson asked about interest on special assessments. Mr. Brausen asked why 5`~ Ave. was dug up again a couple weeks ago and noted the patch job was not very good. Mr. Mielke gave three handouts to Council members on various budget and tax issues. He is working with Mr. Chisholm on his issue. Mayor Maxwell asked about Volunteer Month. Mr. Rowan will check on ticket availability. Ms. Johnson volunteered to be point person with Bish. Ms. Johnson moved adjournment. Mr. Brausen seconded. Meeting adjourned at 9:50 p.m. Kasey Kester, Secretary COUNCIL MEMBERS: ATTES Eugene J. a 1, Mayor