08-23-05 WSAugust 23, 2005
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® MINUTES
CITY COUNCIL WORK SESSION -August 23, 2005
A work session of the Hopkins City Council was called to order by Mayor Gene
Maxwell at 5:10 p.m. on August 23, 2005, at the City Hall. Council members Brausen,
Rowan and Thompson were present. City personnel present were City Manager Rick
Getschow; Facilities Director Jay Strachota, Public Works Director Steve Stadler; and
Finance Director Chris Harkess. Also present were Susan Hanna-Bibus, Tom Hessel and
Chris Tower of HCA, Inc.
HCA, Inc. Year-End Report
Ms. Hanna-Bibus said in the past year HCA, Inc. established a connection with
the State Fair; master classes were held for students, a pilot summer program in visual
arts for children was tried. However, it was a bad year for ticket sales; every concert sold
100 fewer tickets than anticipated, and HCA, Inc. ended up $30,000 short at the end of
the fiscal year, even though memberships started picking up near the end. Therefore, the
Board decided on a seven-step plan to raise $30,000; they have already raised $25,000 of
that goal. There will be a phone-a-thon next week. Corporations and businesses have
rallied to help. Risdall Advertising is giving pro Bono advertising. Cornerstone has
proposed a 3-way match; they will give $10,000 themselves and get $10,000 from their
business associates if the board raises $10,000. This replaces their three-year
commitment, which is over. A grant from Metropolitan Regional Arts Council is paying
for a marketing intern. This is resulting in better marketing and new strategies.
® Discussions of identity and branding are starting.
HCA, Inc. will join the Greater West Metro Humane Society in "Pets & Picasso"
on October 1, a new venture that should result in a larger pool of potential supporters.
Michael Johnson will perform December 26. Most of the concerts this year will feature
performers whose earlier performances sold out.
HCA, Inc. will be able to repay their short-term loan of $4500 from the city;
however, they need more time to repay the $16,952 owed for space usage fees and shared
revenues. They are proposing that they be allowed to pay that back at $700 per month
starting in January 2006. This would be in addition to any current amounts as they come
due.
Mayor Maxwell asked how the $16,952 had affected city cash flow. Ms. Harkess
said it was simply money not received. The only actual cash the city spent was the $4500.
Mr. Brausen said his concern was getting all the vendors paid. Mr. Hessel said headway
has been made on that. Mr. Brausen added he thinks the present Board is accomplishing
more than any other so far, and he backs their proposal. Mr. Hessel said he thinks the
Board is finding new streams of revenue and the Board is happy with the present
agreement with the city. Mr. Brausen commented maybe the city's help needs to be in
the form of improvements to the building. Mr. Tower commented the Board is still
looking for corporate representatives. Ms. Hanna-Bibus said that two years ago, the
Board could not have raised $25,000 is six weeks as this Board has done.
General Consensus was to agree to HCA, Inc.'s proposal.
August 23, 2005
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® 2006 Budget Discussion
Finance Director Harkess said that since salary negotiations have not yet been
done, insurance figures are not in, and fiscal disparity figures for 2006 have not been
received, the budget figures are estimates. The levy is up this year due to the HRA
bonds. However, no matter what the salary and benefit figures turn out to be, the tax rate
will be down. Any increase in taxes foi• homeowners is due to the increased market value
of their homes.
Mr. Rowan commented that last year the concern had not been the tax rate, but
the actual tax dollars for each homeowner. Ms. Harkess said last year tax capacity grew
twenty million dollars when TIF districts were taken off. This year there is only market
value increase. Mr. Getschow said that to make it so homeowners paid no more dollars
would mean Council would have to massively cut the budget and the levy; it would have
an effect much like when state aid was cut. Ms. Harkess said the preliminary levy would
be set September 6; she has recommended the 6.10% increase to allow the Council
enough extra if something comes up. The levy can always be reduced later, but it cannot
be raised. Mr. Getschow said that Hopkins is gradually reducing its city tax rate, but it is
impossible for a home value to increase 15-30°Io and the homeowner pay the same
amount. Mr. Rowan commented that if there is extra money estimated for the budget,
different departments will want more. Mr. Getschow said departments get set amounts.
Mayor Maxwell said this is the way the preliminary budget has been set every year.
Ms. Harkess commented she and staff are working on streamlining the program
budgeting. She added this was the first pay period without actual checks being issued,
which will save the city money, now that direct deposit is at 100%.
General Consensus was preliminary levy will be set at the September 6 Council
meeting; Ms. Harkess will do a presentation. A date will then be set for Truth in
Taxation.
Water Meter Upgrade
Ms. Harkess said 390 meters need to be upgraded; 132 have been replaced, but
167 more need to be done this year. Revenues, however, would be down if there had not
been a rate increase. Mr. Getschow noted it is really too early to tell if actual
consumption will be down. Ms. Harkess is concerned as water and sewer funds are not
keeping up and reserves have to be dipped into. She wants to put a cash flow together
and see what is really happening as the revenues have been going down for a couple
years. She will keep the Council posted.
Other
Mr. Rowan said he received a phone call from a woman complaining that two
Hispanic stores did not have signs in English and she thought an ordinance should require
that. She also said it was "not encouraging Americans to shop there." Mr. Brausen said
he also got such a call.
Mr. Brausen asked if the lady concerned about smoking at Meadow Creek condos
had been contacted. Mr. Getschow said he had conversation with her and would assist
her in working with her condominium association to enforce their smoking policies.
Mayor Maxwell commented there is metering for smoking in bars; could that be used?
August 23, 2005
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Mr. Thompson asked when discussion would take place on limiting noise on
Mainstreet. Mr. Getschow said city staff is being proactive and has had meetings with
businesses. Police Chief Reid has gotten a noise meter and will be checking noise levels
this week-end. He will be giving the Council an update. Warnings are being given. Mr.
Thompson said he would like to see tickets issued.
Mr. Getschow said the City Clerk will be bringing in a change in the liquor
ordinance so it matches the new changes in state law: that off-sale liquor can be sold until
10:00 p.m. Monday through Saturday, and on-sale sites that are also restaurants will be
able to start selling liquor at 11:00 a.m. instead of noon on Sundays.
He reminded Council the employee picnic is Thursday at Shady Oak Park.
He provided the Council with information received from Pat Issak regarding the
Hiawatha Oaks and the Summit (Hopkins House) project.
On motion by Rick Brausen and second by Jay Thompson, the meeting adjourned
at 7:00 on a vote of 4-0.
Kasey Kester, Secretary
ATcTEST:
C
gene J. Maxwell, Mayor