HomeMy WebLinkAbout1983-02-07_COUNCIL MEETINGAGENDA
EDINA CITY COUNCIL
REGULAR COUNCIL MEETING
REGULAR HOUSING AND REDEVELOPMENT AUTHORITY MEETING
FEBRUARY 7, 1983
7:00 P.M.
HOUSING AND REDEVELOPMENT AUTHORITY
ROLLCALL
MINUTES of January 3, 1983, approved as submitted or corrected by motion of
seconded by
EDINA CITY COUNCIL
ROLLCALL
MINUTES of September 13 and 20, 1982, and January 17, 1983, approved as submitted
or corrected by motion of , seconded by
I. PUBLIC HEARINGS ON PROPOSED IMPROVEMENTS Affidavits of Notice by Clerk.
Presentation by Manager and Engineer. Spectators heard. If Council
wishes to proceed, action by Resolution Ordering Improvements. 4/5 favor-
able rollcall vote to pass.
A. Permanent Street Surfacing /Curb & Gutter Improvement P -BA -258
B. Storm Sewer Improvement No. ST.S -172
C.: Alley Improvement No. P -E -31
II. PUBLIC HEARINGS AND REPORTS ON PLANNING MATTERS Affidavits of Notice by
Clerk. Presentation by Planning Department. Spectators heard. First
Reading of Zoning Ordinance requires offering of Ordinance only. 4/5 fav-
orable rollcall vote to pass Second Reading or if.Second Reading should be
waived. Lot Divisions, Flood Plain Permits, Plats, Appeals from Admini-
strative or Board of Appeals and Adjustments decisions require action by
Resolution. 3/5 favorable rollcall vote to pass.
A. Set Hearing Dates
III. AWARD OF BIDS Tabulations and Recommendations by City Manager. Action of
Council by Motion.
A. Civil Defense Warning Siren (Continued from 1/17/83)
B. Dump Trucks
C. Sale of Lots 1 and 4, Block 1, Lake Edina Replat
D. Labor, Materials to Remove and Replace Municipal Pool Heater, Heat
Conduction Tubes
E. Deep Well No. 7 Bid
February 7, 1983
Council Agenda
Page Two
IV. RECOMMENDATIONS AND REPORTS
A. Park Board Recommendation - Beer in Parks
B. Feasibility Report - Set Hearing Date
C. Special Concerns of Mayor and Council
D. Post Agenda and Manager's Miscellaneous Items
V. RESOLUTIONS
A. Tax Forfeited Land
B. Expansion of Special Assessment Usage
C. Quit Claim Deed - Lots 1, 2 and 3, Block 2, Oak Ponds of Interlachen
VI. ORDINANCES First Reading requires offering of Ordinance only. 3/5 favor-
able rollcall vote to pass Second Reading. 4/5 favorable rollcall vote if
Second Reading should be waived.
A. Ordinance No. 171 -A9 - Health Department Fees and Charges (Waive
Second Reading)
VII. STRATEGIC PLANNING
VIII. FINANCE
A. Transfer Appropriations
B. Liquor Fund as of 11/30/82
C. Claims Paid: Motion of seconded by for payment
of the following Claims as per Pre -List: General Fund, $191,641.25;
Park Fund, $48,442.68; Art Center, $1,128.45; Swim Pool, $1,486.16;
Golf Course, $6,615.19; Recreation, $16,332.97; Gun Range, $584.26;
Water Fund, $21,155.66; Sewer Fund, $3,109.90; Liquor Fund,-$45,474.75;
Construction, $225.00; IBR Fund, $862.65; IBR 462, $227.65; Total,
$337,286.57; and for Confirmation of payment of the following Claims:
General Fund, $62,362.31; Water Fund, $7.52; Liquor Fund, $358,351.31;
Total, $420,721.14
Y T REQUEST FOR PURCHASE
TO: Mayor and City Council x -
FROM: Fran Hoffman
VIA: Kenneth Rosland, City Manager
SUBJECT: REQUEST FOR PURCHASE OF ITEM IN EXCESS OF $5,000
DATE: February 4, 1983
Material Description (General Specifications):
(3) 3 -Ton Dump Trucks
Quotations /Bids:
Company
Amount of Quote or Bid
Total 3
Units
1• Lakeland Ford
$38,605.00
115,815.00
2. Superior Ford
38,686.20
11E,058.60
3. Astleford Equipment
38,850.00
116,550.00
Department Recommendation:
Lakeland Ford
$38,605.00
.$115,815.00
(3) Units
is Vp t re
Department
Finance Director's Endorsement:
The recommended bird is is not
within the
amount budget for
the purchase,
J. N. uaien, rtnance ui.rector
City �as nager' Endorsement:
1. I concur with the recommendation of the Department and recommend Council approve
the purchase.
2. I recommend as an alternative:
MEMORANDUM
TO: MAYOR AND COUNCIL
FROM: KENNETH ROSLAND, CITY MANAGER
SUBJECT: BIDS FOR DUMP TRUCKS
DATE: FEBRUARY 4, 1983
Bids for dump trucks were received and opened February 2, 1983. After review
staff makes the following recommendation:
Award of the bid to Lakeland Ford for a Ford L8000
with LaHass body at $38,605.00 per unit
Low bid was not recommended because the box included in that bid was not
pre - qualified as per our bidder instructions under an "or equal clause" within
the date specified, and therefore could not be considered as meeting our
specifications.
There was an exception noted on the proposal by Lakeland Ford as to delivery
date, but this is .inmaterial since all bidders are subject to the same conditions
because of a strike in the plant that manufactures the engines required in our
specifications.
Also noted on Lakeland's proposal was an add on for a performance bond if same
was required. Within this type of bidding proces. it is not required.
I
III Manager
KER:md
ii
Edina City Council
City of' Edina
Edina, Minnesota 55424
CITY OF EDINA
PROPOSAL
REAL ESTATE
Bids Opened 11:00 A.M.
Edina City Hall
January 31, 1983
The undersigned has examined the real estate property as described in the
Advertisement for Bids, understands and agrees to any stipulation included
within the Advertisement-for Bids, and hereby makes the following offer:
Lot I. Block 1, Lake Edina Replat
Lot 4, Block 1, Lake Edina Replatf'
Amount of Bid
0--o 00C
Amount of Bid
Bid security equal to at least ten (10) percent of the total bid accompanies
this proposal, the same being subject to forfeit in the event of bidder default.
REMITTER Nabila M. Khaleel
+' PAY TO THE
ORDER OF
i
2: � J_�,
Name of bidder
-75 _3 . -- 4e
Address '
� �i i' moo,
City State Zip
Telephone
F
�� �� First Banc Southciale
Fir S
First Bank System
First Southdale National Bank of Edina
7001 France Ave., S.
Edina, MN 55435
DATE
City of Edina---------------- - --- -- -- # #$i000.00 #*
FIRST BANK
$OUTHDALE
CASHIER'S CHECK
JAI 14 83
f- h
II' 276089ii' ol:09 10 166 76i: ii'36739000t1ii' i
276089
X75-1667
910
TO:
FROM:
VIA:
SUBJECT:
DATE:
REQUEST FOR PU.RCHAjr-
Mayor and City Council
Bob Kojetin - Director, Park & Recreation,
Kenneth Rosland, City Manager
REQUEST FOR PURCHASE OF ITEM IN EXCESS OF $1,000
Feb. 2, 1983
k
Material Description (General Specifications):
Labor, materials to remove and replace municipal pool heater, heat conduction
tubes.
Quotations /Bids: .
Company Amount of Quote or Bid
1. Metropolitan Mechanical Contr. $7,600.00
7340 Washington Ave. So.
Eden Prairie, MN 55344
2' Hoglund Mechanical Contr. $10,445.00
7420 West Lake St.
3. Mpls., MN 55426
Minnegasco $9,180.00
201 So. 7th St.
Mpls., MN 554'02
Department Recommendation:
Work to be done by Metropoli echanica trac ors f $7, 00.00
� e r
SignatWre Department
Finance Director's Endorsement:
The recommended bid is 7E/is not within the amount budgeted for the purchase.
J. N. Dalen, Finance Director
City Manager's Endorsement:
�1. I concur with the recommendation of the Department and recommend Council approve
the purchase.
2. I recommend as an alternative:
REQUEST FOR PURCHASE
TO: Mayor and City Council
FROM: Francis J. Hoffman, Director of Public Works
VIA: Kenneth P.osland, City Manager
SUBJECT: REQUEST FOR PURCHASE OF ITEM °i IN EXCESS OF $5,000
DATE: 2/3/83
Material Description (General Specifications):
Deep Well Pump Repair 10"-Column, 190" Setting - Well No. 7 - 5241 Sherwood Avenue
Quotations /Bids:
Company
1. Layne Minnesota
2.
3.
Amount of Quote or Bid
$5,747.00
Department Recomendation: Layne,Minnesota - See Attached Bid Tabulation
Finance Director's Endorsement:
The recommended bid is,,(' is not
Public Works �G
�r
Siwrature Department
within the amount budget for the purchase.
. PJ. Valen, Finance Director
City Mananer's Endorsement:
1. I concur with the recommendation of the Department and recommend Council approve
the purchase.
2. I recommend as an alternative:
BID TABULATION
CITY OF EDINA, MINNESOTA
DEEP WELL PUMP REPAIR 10" COLUMN, 190' SETTING
WELL N0. 7 - 5241 SHERWOOD AVENUE
EDINA, MINNESOTA
BIDDER
Layne.Minnesota.
E. H. Renner & Sons
BID OPENING: THURSDAY, FEBRUARY 3; 1983
TOTAL
$5,747.00
$5,794.00
Keys Well Drilling $6,434.00
Bergerson Caswell 1 $7,090.00
(Official Publication)
CITY OF EDINA
4801 W. 50TH STREET
EDINA, MINNESOTA 55424
ADVERTISEMENT FOR BIDS
DUMP TRUCKS
BIDS CLOSE FEBRUARY 2, 1983
SEALED BIDS will be received and opened in the Council Chambers, Edina City
Hall, 4801 W. 50th Street, at 11:00 A.M., Wednesday, February 2, 1983, and
the Edina City Council will meet at 7:00 P.M., Monday, February 7, 1983,
at the City Hall to consider bids being for the following, but not limited to:
3 Dump Trucks with Boxes
Bids shall be in a sealed envelope with a statement thereon showing the items
covered by the bid. Bids should be addressed to the City Clerk, City of Edina,
4801 W. 50th Street, Edina, Minnesota 55424, and may be mailed or submitted
personally to the City Clerk. Bids received by the City Clerk, either through
the mail or by personal submission, after the time-set for receiving them
may be returned unopened.
Bids must be in conformance with specifications which are availb.ble at the
Edina City Hall. No bids will be considered unless sealed and accompanied by
cash deposit, bid bond or certified check payable to the City of Edina in the
amount of at least ten (10) percent of amount of net bid. The City Council
reserves the right to reject any or all bids or any part of any bid, and will
accept the bid that is deemed to be in the best interest of the City.
BY ORDER OF THE EDINA CITY COUNCIL.
Florence B. Hallberg
City Clerk
Please publish in the Edina Sun on January 12, 1983.
Please send us two affidavits of publication.
(Official Publication)
CITY OF EDINA
4801 W. 50th STREET
EDINA, MINNESOTA 55424
ADVERTISEMENT FOR BIDS
SALE OF REAL ESTATE PROPERTY
BIDS CLOSE JANUARY 31, 1983
The City of Edina, Minnesota, is offering for sale:
Lot 1 and Lot 4, Block 1, Lake Edina Village Replat
Minimum bids of $15,000 are requested for Lot 1 and $10,000 for Lot 4,
respectively. Sealed bids will be received and opened in the Council Chambers,
Edina City Hall, 4801 W. 50th Street, at 11:00 A.M., Monday, January 31, 1983,
and the Edina City Council will meet at 7:00 P.M., Monday, February 7, 1983,
at the City Hall to consider the bids.
Bids shall be in a sealed envelope with a statement thereon showing the items
covered by the bid. Bids should be addressed to Jarl Dalen, Finance Director,
City of Edina, 4801 W. 50th Street, Edina, Minnesota 55424, and may be mailed
or submitted personally to the Finance Director. Bids received by the Finance
Director, either through the mail or by personal submission, after the time set
for receiving them may be returned unopened.
No bids will be considered unless sealed and accompanied by cash deposit, bid
bond or certified check payable to the City of Edina in the amount of at least
ten (10) percent of amount of net bid. The City Council reserves the right to
reject any or all bids or any part of any bid, and will accept the bid that is
deemed to be in the best interest of the City.
For further information please contact Jarl Dalen, 927 -8861. Bid forms are
available at City Hall.
BY ORDER OF THE EDINA CITY COUNCIL.
Florence B. Hallberg
City Clerk
Please publish in the Edina Sun on December 22, 1982.
Please send us two Affidavits of Publication.
Prc,ni IITTnN
WHEREAS, the City of Edina finds areas where selected individuals or groups of
individuals benefit directly and solely from certain services, and
WHEREAS, certain areas desire a higher level of service than funded through the
general City appropriations to benefit them directly, and
WHEREAS, the City of Edina feels that such services should be funded in a manner
other than the general property tax funds, and
WHEREAS, the State of Minnesota currently provides under its legislation,
Chapter 429.01, the use of special assessment procedures to collect unpaid
special charges for selected services, such as snow, ice and rubbish removal
from sidewalks, street sprinkling, trimming and care of trees in addition to
others, and
WHEREAS, addition of other areas makes good sense in these days of restricted
public finances;
NOW, THEREFORE, BE IT RESOLVED by the City Council of the City of Edina that
the Minnesota State Legislature pass the attached legislation to allow the City
of Edina to use this procedure to assess benefiting property owners in areas
not presently delineated in the statute to include:
- Removal of litter on streets and parking facilities.
- Control of aquatic weeds.
- Sweeping and oiling of alleys.
- Trimming and care of trees and removal of unsound trees on any
public way, boulevard or sidewalk.
- Maintenance and repair of lighting systems for sidewalks and parking
.facilities.
- Operation, including maintenance and repair, of public parking
facilities, public parks and other public areas and facilities.
Adopted this 7th day of February, 1983.
T
4i9 u110 . Is u
To: Whom It May Concern
Date: January 14, 1983
Re: Proposed amendment to Minnesota Statute, Section 429.101.
Attached is a proposed legislation to amend Minnesota Statute,
Section 429.101. That Section is entitled "Service Charges, a Special
Assessment Against Benefited Property."
The amendment expands the services for which a municipality
may collect charges, and, if not paid, levy those charges as a special
assessment. The services included in the expansion are:
1) Removal of litter (in addition to rubbish) from streets
and parking facilities (in addition to sidewalks).
2) The elimination of aquatic weeds (in addition to non-
aquatic weeds) from all public property and private property (in addi-
tion to from streets and private property).
3). The sweeping and oiling (in addition to sprinkling and
other dust treatment) of alleys (in addition to streets) and including
maintenance work incidental thereto.
4) The trimming and care of trees and removal of unsound
trees within any public way, boulevard or sidewalk (in addition to
within streets).
5) The maintenance and repair (in addition to the operation)
of lighting systems for sidewalks and parking facilities (in addition
to streets) .
6) The operation, including maintenance and repair, of
public parking facilities, public parks and other public areas and
facilities.
In addition, the proposed legislation would allow the City to
collect such charges on an estimated basis before actually having incurred
them, but any collection in excess of actual costs must be returned and
any actual cost in excess of collections may subsequently be collected or
assessed.
The expanded services will allow local goverrmlent to function
more efficiently and to charge the cost of those government services more
directly to the properties benefited instead of paying for them from
general tax dollars.
s
health or safety hazards from private property, excluding any
structure included under the provisions of sections 463.,15 to
463.26, installation or repair of water service lines, street
sprinkling, sweeping, oiling or other dust treatment of public
streets or allevs, includingr maintenance work incidental thereto,
the trimming and care of trees and the removal of unsound trees
frem -any- street within any public ways, boulevards or sidewalks,
the treatment and removal of insect infested or diseased trees
on private property, the repair of public sidewalks and alleys,.
or the operation, including maintenance and repair, of a- street
lighting systems for public streets, sidewalks or parkinq
facilities, or the operation, including maintenance and repair,
of public parking facilities', public parks or other public areas
and facilities,-as a special assessment against the property
benefited. The council may by ordinance adopt regulations
consistent with this section to make this authority effective,
including, at the option of the council, (i) provisions for
placing primary responsibility upon the property owner or
occupant to do the work himself (except in the case of street
gorinkling, s.weening, oilinq or other dust treatment, alley
repair, tree trimming, care, and removal, er the operation of
a street lighting system, and the operation, maintenance and
repair of public parking facilities, parks and other public areas
and facilities) upon notice before the work is undertaken, and
(ii) provisions for collection of actual or estimated charges
from the property owner or other person served a- tne- eharges
wren -dtie before such unpaid charges are made a special assessment;
Provided, however, that if estimated charges are collected and,
based upon subsequent actual costs, found to be excessive or
deficient, subsequent charges shall be reduced by such excess
or increased by such deficiency.
Sec. 2. This act is effective on the day following
its final enactment.
Wa
J'
a bill for an act
amending Minnesota Statutes 1981, Section 429.101,
Subdivision 1, to expand the list of services for
which a municipality may levy special assessments
against benefited property.
BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF MINNESOTA:
Section 1. Minnesota Statutes 1981, Section 429.101,
Subdivision 1, is amended to read:
Subdivision 1. Ordinances. In addition to any other
method authorized by law or charter, the governing body of any
municipality may provide for the collection of unpaid special
charges.for all or any part of the cost -of snow, ice, er rubbish
or litter removal from public sidewalks, streets or narking
facilities, weed elimination from streets -er private or public
property, including the elimination of aquatic weeds from
private or public property, removal or elimination of public
CITY OF EDINA
l Q R'2 R incFT
TRANSFER - APPROPRIATIONS
GENERAL FUND
Transfer to:
Planning
$ 4,592
Administration
12,197
Finance
6,237
Assessing
7,415
Public Works:
700
Administration
3,336
Engineering
19,972
Supervision and Overhead
3,203
Training
80
Paid Leave
4,400
General Maintenance
4,281
Cleaning
2,769
Renovation
2,645
Snow and Ice Removal
4,915
Street Lighting- Regular
100
Street Lighting - Ornamental
1,000
Street Name Signs
459
Traffic Sign Maintenance
592
Traffic Signal Maintenance
104
Pavement Marking
322
Guard Rails and Barricades
236
Bridges
81
Storm Sewer Maintenance
2,574
Temporary Drainage
234
Turf and Plant Maintenance
454
Tree Maintenance
3,148
Lakes and Ponds Maintenance
215
Sidewalks- Maintenance and Repair
105
Sidewalks -Snow and Ice Removal
284
Parking Ramp Maintenance
466
Parking Lots Maintenance
98
Police
64,162
Fire
45,553
Public Health
4,103
Inspections
5,506
TOTAL GENERAL FUND
$205,838
PARK FUND
Transfer to:
Administration
$ 10,727
Training
350
Paid Leave
2,124
Recreation:
Miscellaneous and Special.Activities
700
Maintenance:
Mowing
1,700
Special Turf Care
3,600
Plantings and Trees
1,000
Litter Removal
800
Park Area Maintenance
200
Building and Equipment Maintenance
2,800
Skating Rink Maintenance
3,400
TOTAL PARK FUND
$ 27,401
TOTAL TRANSFER TO $233,239
TRANSFERS FROM:
Contingencies $233,239
TOTAL TRANSFER FROM $233,239
CURRENT ASSETS:
Cash:
Demand Deposits
Working Fund .
Accounts Receivable
Contracts Receivable
Loan To Other Funds
Inventory:
Liquor
Wine
Beer and Mix
Prepaid Expenses:
Unexpired Insurance
Supplies Inventory
FIXED ASSETS:
Land
Land Improvements
Buildings
Furniture and Fixtures
Leasehold Improvements
LIQUOR FUND
BALANCE SHEET .
CITY OF EDINA
As at November 30, 1982
ASSETS
TOTAL CURRENT ASSETS
$ 22.,136.07
727,488.27
29.3,719.64
3.035.55
$1,046,379.53
Less allowance for Depreciation
and Amortization 373,678.58
Construction in Progress
TOTAL ASSETS
LIABILITIES AND SURPLUS
CURRENT LIABILITIES:
Trade Accounts Payable
Accrued Payroll
Due To Other Funds
TOTAL CURRENT LIABILITIES
SURPLUS:
Invested in Fixed Assets
Unappropriated
TOTAL LIABILITIES AND SURPLUS
$ 338,586.57
3,800.00 $ 342,386.57
1,544.16
49,733.35
415,000:00
$ 480,893.00
305,620.6.9
83,823.55 8709337.24
$ (4,998.50)
400.00 (4,598.50)
$1,674,402.82
$ 233,784.60
672,700.95
700.00 907,185.55
$2 581 588.37
$ 196,175.63
14.406.54
$ 210,582.17
1.550.00
$ 212,132.17
$ 907,185.55
1,462,270.65 2,369,456.20,.-1
$2,581,588.37
SALES:
Liquor
Wine
Beer
Mix and Miscellaneous
,3zb.UU §5 310 784 51 O1* BE 8 0 73*
Less bottle refunds
29 760.32
72 979.98
62 132.46
LIQUOR DISPENSARY FUND
30 705.13
76 133.10
65,759.42
172,596.65
944.81*
3 153.12*
9.882.70*
3,625.96*
1 1,6? *
COMPARATIVE STATEMENT OF INCOME A
AND EXPENSE
$2,124,529.08
0,770,310.84
$4,994,279.31
1,118,039.59
$2,203,580.69
$1,816,567.58
$5,138, 187.86
18,600.20*
$ 79,051.61*
CITY OF EDINA
7,723.89*
$143,908.55*
COST OF SALES:
Eleven Months Ending November 30, 1982 and N
November 30, 1981
Inventory - January 1
Purchases
50th Street Y
Yorkdale G
1982 .
Total 5
.1981 I
Total 5
50th Street Y
INCREASE - D
DECREASE*
Total
$ 543,066,98 $
$1,105,512,89 $
$ 939,626.34 $
$2,588,206.21 $
$ 590,105.48 $1,166,645.20 $
$1,002,332,63 $
$2,759,083.31 $
$ 47,038.50* $ 6
61,132.31* $ 6
62,706.29* $
$170,877.10*
241,649.65 4
451,843.43 3
367,751.64 1
1,061,244.72 2
613,654,60 4
473,922.37 1
1,411,068.51 4
4,096.19 5
5,795.91* 2
20,741.66 1
19,041.94
16 895.35 3
32 294.05 3
30 401.29 7
79 590,69 1
18,643.99 34 602,96 3
30 589,96 8
83 836,91 1
1 748.64* 2
2,308.91* 1
7,729.40* 4
4,448.94
.1 9,199.7 9
97,509.0 ,
,832, 3.0 *
*5,159,152.07 1
1, 8,7 ,7 *Z,279,713.79 1
1,88 ,
75.477.87*
222.049.24*
Less bottle refunds
29 760.32
72 979.98
62 132.46
164 872.76
30 705.13
76 133.10
65,759.42
172,596.65
944.81*
3 153.12*
9.882.70*
3,625.96*
1 1,6? *
NET SALES
41,099,439.39
$2,124,529.08
0,770,310.84
$4,994,279.31
1,118,039.59
$2,203,580.69
$1,816,567.58
$5,138, 187.86
18,600.20*
$ 79,051.61*
4-46,256.74*
7,723.89*
$143,908.55*
COST OF SALES:
Inventory - January 1
Purchases
254,569.38
886 206.48
394,458.82
1,732,430.29
275,210.64
1 469
924,238.84
266,610.05
334,835.48
257,259.85
858,705.38
12,040.67*
59,623.34
17,950.79
65,533.46
1,140,775.86
2,126,889.11
823.16
1,7 5,033.80
4,088,459.93
5,012,698.77
975 113.49
1,2 1,723.5
1,977,332.53
2,312,168.01
1 642 378.09
1,899,637.9
4,594,824.11
88 907.01*
244,902.24*
172,554.93*
506,364.18*
Inventory Nov; 30
233 ,1533-2,2
220,K222-Z4,2
266 883.21
8)0,.24
298 284 14
451,840.56
4
45,453,529.49
*100,947.68-
185,278.90*
154,604.14*
0,8 ?0.72*
$ Ofl7 1
1 7SG oo
t/ n :W e
e ,
f
342,361.08
r
1,092,386.48
65 031 29*
81 540._08*
75.477.87*
222.049.24*
GROSS PROFIT '
OPERATING EXPENSES:
i Selling
Overhead
Administrative
TOTAL OPERATING
EXPENSES
NET OPERATING S
iPROFIT
OTHER INCOME:
I Cash Discount
Cash over or under
i Income on investments
Other
NETINCOME �L
PERCENT TO NET SALES:
,-1- If .lv /,o7w.`.J Q LYL,
.7
66,365.17 115,706.24 94,130.43 276,201.84
33,541.09 49,761.73 34,020.11 117,322.93
61,226.54 82,713.64 65,946.64 209.886.82
63,926.90 113,819.24
33,693.33 44,331.21
57,844,25 80.581.25
30,784.28 $ 119,658.84 $ 98,063.07 $ 248,506.19 $ 19,136.41 $ 104,421.54 $
15,895.26 32,800.79 26,488.20 75,184,25 15,396.93 32,213.69
37.45 337.90* 216.02 84,43* 10.24* 485.85*
-0- -0- 1,594.75
561.63 263.15 297.69 1,122.47 532.68 263.97
,c7v.fc i? iii,vww,ts-1 %P 11,316.19 5 24,687.21. $ 32,869,53 $ 74,872.
95,238.02 272,984.16 2,438.27 19887.00 1,107.59* 3,217.68
34,061.16 112,085.70 152.24* 5,430.52 41.05* 5,237.23
67,211.32 205,636,82 3,382.29 2,132.39 1 264.68* 4,250.00
96 510.50 $ 590,706.68 $ 5,668.32 $ 9,449.91 $ 2,4n.32* $ 12,704.91
62,780,22 $ 186,338.17 $ 11,647.87 $ 15,237.30 $ 35,282,85 $ 62,168.02
27,802,74 75,413.36 498.33 587.10' 1,314.54* 229.11*
398.94 97.15* 47.69 147.95 182.92* 12,72 .
1,594,75 1,594,75* 1,594,75*
254.10 1,050.75 28.95 .82* 43.59 71.72
7
Gross profit 17.46% 17.31% 16.50% 17.06% 15.62% 15.57% 14,29% 15.12%
Operating expenses 14.66 11.68 10.96 12.08 13.91 10.83 10.82 11.50
Operating profit 2.80% 5.63% 5.54% 4.98% 1.71% 4.74% 3.47% 3.62%
Other income 1.50 1.54 1.52 1.52 1.57 1.45 1.56 1.52
NETINCOME 4.30% 7.17% 7.06% 6.50% 3.28% 6.19% 5.03% 5,14%
;A
i
r
9.
,c7v.fc i? iii,vww,ts-1 %P 11,316.19 5 24,687.21. $ 32,869,53 $ 74,872.
95,238.02 272,984.16 2,438.27 19887.00 1,107.59* 3,217.68
34,061.16 112,085.70 152.24* 5,430.52 41.05* 5,237.23
67,211.32 205,636,82 3,382.29 2,132.39 1 264.68* 4,250.00
96 510.50 $ 590,706.68 $ 5,668.32 $ 9,449.91 $ 2,4n.32* $ 12,704.91
62,780,22 $ 186,338.17 $ 11,647.87 $ 15,237.30 $ 35,282,85 $ 62,168.02
27,802,74 75,413.36 498.33 587.10' 1,314.54* 229.11*
398.94 97.15* 47.69 147.95 182.92* 12,72 .
1,594,75 1,594,75* 1,594,75*
254.10 1,050.75 28.95 .82* 43.59 71.72
7
Gross profit 17.46% 17.31% 16.50% 17.06% 15.62% 15.57% 14,29% 15.12%
Operating expenses 14.66 11.68 10.96 12.08 13.91 10.83 10.82 11.50
Operating profit 2.80% 5.63% 5.54% 4.98% 1.71% 4.74% 3.47% 3.62%
Other income 1.50 1.54 1.52 1.52 1.57 1.45 1.56 1.52
NETINCOME 4.30% 7.17% 7.06% 6.50% 3.28% 6.19% 5.03% 5,14%
;A
i
r
9.
7
Gross profit 17.46% 17.31% 16.50% 17.06% 15.62% 15.57% 14,29% 15.12%
Operating expenses 14.66 11.68 10.96 12.08 13.91 10.83 10.82 11.50
Operating profit 2.80% 5.63% 5.54% 4.98% 1.71% 4.74% 3.47% 3.62%
Other income 1.50 1.54 1.52 1.52 1.57 1.45 1.56 1.52
NETINCOME 4.30% 7.17% 7.06% 6.50% 3.28% 6.19% 5.03% 5,14%
;A
i
r
9.
;A
i
r
9.
L.eBistro firm
leaves Edina
'14
By DAVID DUFF
Le Bistro is a rapidly expanding
restaurant enterprise that began in
Edina. Owner Neil Berman has just
moved his headquarters to Rich-
field after turning over his Edina
restaurant to new owners.
There are now 11 Le Bistro`res-
taurants in Minnesota, Wisconsin
and North Dakota, and Berman
schedules a new one every two
�.
months. In order of openings, the
restaurants are in Edina at
i
Yorktown Mall, at Rosedale, in
j
Minnetonka, Burnsville, at Town
j
Square in St. Paul, at Rochester,
Northfield, LaCrosse, Fargo;
Stillwater and Northfield.
The franchised restaurants are in
Edina (now), Rosedale, Northfield
and Hutchinsoq. Berman owns the
rest. All of them — except No. 1 in
Edina — have full liquor licenses.
All serve wine.
And therein ties the Edina prob-
lem — no service of wine allowed in
Edina. Asked why he sold his Edina
or
restaurant, Berman said last week,
"I
became disillusioned with the
city fathers and their lack of sensi-
tivity to the market and the elec-
.:
torate.
�+
"We wanted to let the people be
heard," Berthan said. "The council
z
wouldn't' .permit the referendum
M
the restaurant owners offered to
� `
av for•
Berman said he felt the city
e
council let the restaurant owners
g
believe for some months that the
wo
council was considering approving
wine licensing for restaurants.
Then, Berman, said, the counci
chose to disregard a favorable re-
port produced by the city staff.
o we sold Me ETHMxrestnbrant
. .. •
to a fine rnimte " R�n�.• --- .1
C
W
N
N
r
�D
co
w
m
z•
z
M
5x
a
b
wo
a
%,A
<
fCD
O
z
M
0
c+
C+
%.A
N
M
Olt
(D
O'
In
P
9
(D
c+
-;r
m
0
m
0
h
C
'd
M
C
M
:3
'd
n
cF
C
(D
O
3e
F+•
X
h
F'•
FJ
(D
~
&
o
�
M
C
F+•
c+
e+
O
�C
(D
N
O
0
O
:3
c+
m
c+
M
0
O+
0
A.
W
O
W
(D
�
� '
a
o
K
C+
z
•
e+
P 1
(`+D
61
h
(D
w
a
Z
7d
hd
D
•
•
a
(D
M
CD
(xD
N
(AD
�
(�D
w
�i
c+
fD
e+
a
o
�
P1
9
O
h
•
c+
0�
G
h
C
W
N
N
r
�D
co
w
MEMORANDUM
TO: MAYOR AND COUNCIL
DEPARTMENT HEADS
FROM: KENNETH ROSLAND, CITY MANAGER
SUBJECT: 1982 CORPORATE REPORT
DATE: FEBRUARY 2, 1983
Attached you will find the 1982 Corporate Report for the City of Edina.
Ci anager'�
KER:md
attachment
CITY OF EDINA
CORPORATE REPORT - 1982
EDINA /1982
The year 1982 was for Edina another year of transition as society in,general undergoes
the transformation from an industrially based society through a service society to an
informational one. This transformation, coupled with a growing consensus that government
is not the sole.or ultimate answer to solving society's problems and the fact that money
is no longer abundant, has made management of the City more challenging in fashioning
solutions to the problems brought about by these changes. Exercising its continued
leadership, the City has worked to develop new ways to provide its services, begun to
realistically examine its markets, prepared for the shift of functions to local government
and re- evaluated its functions. Once done, the City has set its directions for the
next several years.
Economic
Economics dominated the outlook for most people in 1982 as the recession deepened.
The Gross National Product (GNP) ended 1982 with a 1.8% contraction. Unemployment
nationally reached 10.8% by the end of December, the worst since the '30s with statewide
unemployment reaching 9.3 %. While a significant portion of the state's unemployment was
due to layoffs on the Iron Range, (ranging from 20.3% to 38% for Iron Range counties)
the metropolitan area's unemployment rose to 7.4 %. The good economic news has been
the fact that inflation as measured by the Consumer Price Index (CPI), which reached 14.9/
locally for 1981, rounded out 1982 at 2.6% (December- December) although the 5.5%
(October - October) is probably more reflective of actual conditions; a trend expected in
such a deep recession. (Using the CPI as an index of inflation, the cost of goods has
tripled since 1967). Interest rates which were used by the Federal Reserve to slow
inflation are in part blamed for the lack of a business recovery by mid -1982, although
1982 witnessed a significant decline from the prime's rate high of 17% in February to a
year end,low of 11 %.
The ongoing recession's principal effects on the City organization have
Corporate Report - 1982
Page 2
been financially through the State's three rounds of budget cuts which reduced the money
to the City by $280,000 in a combination of local government aids and homestead credit
cuts. The State also is now using the statewide municipal pension systems to help
alleviate part of its financial problems through a 2% increase in employee contributions.
These cuts were necessitated by an ongoing state government deficit caused by:
a) the State's primary sources for tax revenues - income and sales tax collections -
having dropped markedly because of the recession, and b) increased State spending enacted
by recent legislative sessions. In addition to the aid cuts to local governments, the
State did enact increases to both the State income and sales tax for 1983 to help solve
the deficit. These tax increases will only intensify Minnesota's economic problems
resulting from its high tax reputation. This, coupled with Minnesota's poor reputation
in the areas of worker compensation and unemployment, could have a long term impact on
Minnesota's economic climate and therefore, Edina's.
As for service impacts of the recession, the only noticable impact has been a
significent decrease in the number of building permits and amount of value for which
permits were issued, with no marked increase in a demand for public safety services.
The only other direct impact on the City of the recession and the high interest rates
through the spring and summer has been the continued delay of the Edinborough Project.
Political
In addition to the November re- election of Council Members Fred Richards and
A. Charles Bredesen III, the principal political events for 1982 were:
- Redistricting in which the suburban areas gained in representation in the
State Legislature. All of Edina, together with Eden Prairie, was placed
in one Senate District and the two.accompanying House Districts.
- From these new districts Mary Forsythe was re- elected to represent part of
Edina, with Sidney Pauly of Eden Prairie being elected to represent the
balance of Edina and all of Eden Prairie in the House of Representatives.
Don Storm was elected to the Senate seat vacated by retiring Senator Otto
Bang.
Corporate Report - 1982
Page 3
Significant elections also included the passage of a 6 -mill increase referendum
by School District No. 273 in October (an increase equal to half of the City's entire
tax levy) and the November general election in which the State elected Rudy Perpich
for his first elected term as governor.
Significant Events
- Completion of cable television service to the entire community by September.
- Installation and activation of enhanced 911 for emergency services for the entire
seven county metropolitan area on December 1.
- Three of the four record snowfalls; two in January and one in December.
- Introduction of "Neighbors' Home Watch" as a significant crime prevention effort.
- Significantly improved DWI laws.
- Completion of the League of Women Voter Budget Study.
- Development by staff of "The Plan" in five parts to deal with long range planning
and organizational development.
- Construction of the Golf Dome as a means to provide a park facility and to generate
revenue for the City from un -used land.
- Third Annual Edinamite which generated approximately $20,000 for The Edina Foundation.
- Alteration of the volunteer recognition format to a reception in April, 1982.
Council Actions
- Commencement on cable television of Mayor Courtney's Edina Report whose interview
format has introduced elected and staff personnel to Edina in its first 22 programs
and is shown in all five Southwest communities.
- Commencement by the Council of its long range planning and decision making process.
- Issuance of $4.5 Million in revenue bonds for Fairview - Southdale Hospital.
- Consideration of an ordinance amendment to permit wine licensing in restaurants.
- Additional annexation from Bloomington of a small parcel near the Edinborough Project
as continuation of the 1981 land swap.
- Consideration of ordinances governing licensing and location of video games.
Corporate Report - 1982
Page 4
- Inclusion of objective noise ordinance standards from Minnesota Pollution Control
Agency regulations in the City's noise ordinance.
- Review of the current ordinance as it relates to masseuses as accessory uses in
commercial business areas.
- Formation of a joint powers agreement to jointly administer the cable franchise.
Edina Expectations - 1983
Noticeable economic recovery on the national level is expected in late spring or
early summer of 1983. Unemployment will by then have crept up by an additional
.2% to .3% nationally, but as much as .5% in Minnesota. Given the current expectations
of the federal government 1,983 deficit, interest rates will begin to rise in March or
April and have a dampening effect on the economic recovery. The inflation rate for
1983 will be up a bit at about 5.5% - 6.5% due principally to increased interest rates,
with a prime rate of 12% -13% by mid 1983, principally due to heavy federal treasury
borrowing to fund a $150 -200 Billion federal deficit for fiscal 1983 (ending September 30).
As the recession dragged on through 1982, some economists argued that we were actually
in a depression (defined as a long, severe recession) which they did not expect to
bottom out until mid 1984, followed by a modest recovery. Unlike the 1930's depression,
it has not been triggered by dramatic events such as the stock market crash but has
been a gradually continuing decline.
Although there is expected to be a modest upturn from the current recession on
the state level also, Minnesota will continue to face its two major problems:
- Short term financial shortfalls which without changes in spending or revenue
generation could reach $700 -900 Million in additional shortfalls during
the 1983 -85 biennium.
- The continued perception as a state with an unfavorable business climate,
discouraging either expansion or new business in the state and possibly
driving out present business.
Minnesota's hardest hit economic sectors, agriculture and iron ore, will continue
to have a very difficult year because agriculture has been too productive and efficient
Corporate Report - 1982
Page 5
while the taconite industry suffers because of the lack of improved productivity in
both the basic steel industry and car industry.
The State Legislature's attempts to date to solve the recurring financial problems
have produced only short term, stop gap measures with the needed change in direction
possibly coming only as things continue to worsen.
Business in Edina should generally see an upswing in 1983 and most of its residents
will benefit from the modest upturn. The State's continued fiscal problems will result
in the City of Edina moving even further away from any dependence on the State.
GENERAL MANAGEMENT
The principal general management project for 1982 was the production by a staff-
appointed Executive Committee of "The Corporate Plan" which consisted of the following
sections:
- Edina Introduction
- Corporate Goals
- Corporate Organizational Guidelines
- Corporate Strategy (1982 -1988)
- Corporate Work Plan /August 1982 - December 1985
Through the Work Plan the City staff has set out its principal improvements in
the areas of revenue generation and finance; computerization and information management;
marketing; and improved service production and compensation.
Personnel
The number of authorized fulltime personnel positions remained constant at 210;
however, several remained unfilled during the year for varying periods of time in
order to help ease the budget reductions. Turnover was at a low 5.7 %. During the
year the City sponsored a Wellness Day for its employees, courtesy of Bloomington
Public Health Nursing Service and undertook a consultant's study of health coverage
options available to employees and their families. Legally, the District Court upheld
the City's position in a discipline case and also denied a temporary injunction sought
by the International Association of Firefighters to stop the Volunteer Firefighter
Corporate Report - 1982
Page 6
Program. Currently, the City is negotiating on bargainable impacts of the program.
Finance
The principal financial event of 1983 was the $280,000 reduction in State monies
for the general budget, which was handled without layoffs. The following outlines
how the 1982 Budget compares with the two previous years.and with 1983 projections:
1980 1981 1982 1983
Overall Budget Increase Over Previous
Proposed
8.7%
6.2%
8.5%
6.3%
Actual
6.2%
11.4%
1.2%
-
Local CPI
11.0%
15.6%
2.6%
6.5%*
Percentage
Funded By Property Tax
Proposed
59.1%
60.5%
60.8%
64.0%
Actual
58.9%
57.2%
60.3%
-
Percentage
Increase in Taxes Raised
Proposed
12.9%
7.8%
9.1%
11.7%
Actual
13.3%
8.2%
6.7%
-
Mill Rate
Actual
9.849
9.214
9.065
-
of Tax
Dollar
10.9%
10.9%
10.3%
-
(The 1982
actuals reflect the reduction
in Homestead
Credit
paid by
the State.)
* Projected
The market value of all property in Edina reached $2.238 Billion for 1982 payable
1983, a 11.6% increase over 1982 with assessed value increasing 12.7% over 1982. While
Edina ranks sixth in population in the State behind Minneapolis, St. Paul, Duluth,
Bloomington and Rochester, it ranks fourth in assessed value, ahead of Duluth and
Rochester, and has more taxable value than 81 of the state's 87 counties.
Corporate Report - 1982
Page 7
Estimated Market Value
Percentage Change
Assessed Value
Percentage Change
1980 1981 1982 1983
$1.530 Bil $1.797 Bil $2.008 Bil $2.242 Bil
17.6% 17.4% 11.7% 11.6%
$431.4 Mil $498.8 Mil $558.5 Mil $629.0 Mil
4.9% 15.6% 11.9% 12.6%
The mill rate for the City represented about 10% of the tax dollar and is the
lowest mill rate of any major city in the state.
1980
1981
1982
1983
Percentage of-Estimated Market Value
(EMV)
Residential
74.4%
74.9%
74.8%
75.2%
Commercial /Industrial
19.2%
18.9%
19.4%
19.3%
Apartments
6.4%
6.2%
5.8%
5.5%
Percentage of Assessed Value
Residential
64.2%
63.5%
63.5%
64.5%
Commercial /Industrial
28.1%
29.1%
29.9%
29.4%
Apartments
7.7%
7.4%
6.6%
6.1%
Approximate Percentage of Taxes
Paid (after homestead)
Residential
54.8%
54.4%
-
-
Commercial /Industrial
35.7%
37.0%
-
-
Apartments
9.5%
9.0%
-
The effective tax rates for commercial
property was
3.8%, up
from 3.7%
in 1981,
while the taxes and effective tax rates on
homesteaded residential
property
has been
as follows:
Corporate Report - 1982
Page 8
Market Value
Taxes
Effective Tax
Rates
1981
1982
1980
1981
1982
$50,000
$ 337
$ 348
1.16%
:67%
.70%
100,000
1,332
1,393
1.93
1.33
1.39
200,000
3,693
3,867
2.30
1.85
1.85
400,000
8,416
8,811
2.52
2.10
2.10
Intergovernmental aids from the state and federal governments represent 17:9% of
the 1983 Budget, down from 19.7% of the original 1982 projection. The actual amount
received in 1982, however, was only 17.6% after aid cuts. Due to changes in design
criteria, Edina will lose about $40,000 from the state in 1983 for municipal state
aid funds.
Fees were projected to make up 5.9% of the 1982 Budget. In actuality, they
constituted 6.6% by year's end. The 1983 Budget estimates that fees apart from the
liquor stores' contribution will be 7.8 %.
The balance of revenues (10.5 %) for the tax supported funds is made up of fines,
charges, investment income and revenue from the liquor stores. The 1983 liquor stores'
contribution is set at 5.3% of the total budget which equals about .8 of a mill.
As for expenditures, personnel services (salaries) represented 57.9% of the
1983 Budget, about the same as the completed 1982 Budget. All personnel costs make
up 72% of the 1983 Budget. Capital outlays will be 6.6% of the 1983 Budget, down
from the original 1982 amount of 7.8 %, but up from the actual 1982 outlay of 6.3 %.
The balance is for commodities and contractual.
Total anticipated revenues for all funds, both tax supported and enterprise funds,
are estimated to reach $19.6 Million for 1983, up from $18.7 Million originally
estimated in 1982. (Excluded are revenues for tax increment projects and special
assessment revenues from non -City sources.)
The sole indebtedness instruments issued by the City in 1982 were the hospital
revenue bonds of $4.5 Million at a nominal interest rate ranging from 9.25% to 12.25%
Corporate Report - 1982
Page 9
depending on year of maturity. During 1982 $1.045 Million of bond payments were due
leaving an outstanding indebtedness of $12,740,000 for special assessments, revenue
and general obligation bonds.
Balance 1/1/82 1982 Principal 1982 Indebtedness
Issues Payments Balance 12/31/82
General-Obligation/
Redevelopment $ 6,500,000 $ 100,000 $ 6,400,000
Revenue:
Golf Course
290,000
40,000
250,000
Recreation Center
295,000
105,000
190,000
Special Assessment
6,700,000
800,000
5,900,000
All categories:
$13,785,000
$1,045,000
$12,740,000 (a)
(a) Hospital Revenue Bonds not included.
COMMUNITY DEVELOPMENT
The combination of reaching full development together with the recession resulted
in a drop of 24% in the number of building permits issued and a 46% drop in the amount
of market value added ($28.4 Million of new value). New construction accounted for
42.7% of the total increase with apartments and condominiums accounting for 57% of all
new construction. The majority of the value (57.3 %) was for additions and remodeling of
which almost three - fourths was for non- residential properties. The number of permits
reflected the continued trend of more remodeling and small additions. While several
new projects were discussed in 1982, they have been held in abeyance due to high interest
rates and the recession.
Notable among developments in the community were:
- Completion of cable television construction by Minnesota Cablesystems Southwest
with initial subscription secured from 42% of homes marketed.
- Significant improvements in Arden Park which included new playground equipment,
a walking path, improved hockey rink new lights and new trees.
- The completion of the walking path through the south end of Braemar which is
the key to eventual development of a full 3 -mile walking path.
Corporate Report - 1982
Page 10
- Construction of the Golf Dome, only the second in the nation, and the attendant
structure to be used as a park shelter in the summer months.
- _Construction of a large park shelter in Cornelia Park which will enhance
family style activities in that part.
- Road alterations on Dewey Hill Road and near Cahill and Gleason Road next to
the Crosstown Highway.
Of community development significance, the City:
- Received its 1980 Census Bureau data.
- Reviewed 41 zoning variances.
- Issued 75 sign permits.
- Let 10 improvement contracts and 3 private development agreements.
- Considered revision of scope and financing of the Edinborough Project which
had gained some land in the swap with Bloomington.
In the area of Historical preservation:
- The Country Club District was approved for placement on the National Register of
Historic Places following considerable effort by the Historical Preservation
Board.
- Historic tours of the City in general and the Country Club District in particular
are being developed by the Historical Preservation Board.
- Zoning of the old St. Patrick's Church, 7000 Cahill Road, as a Heritage
Preservation District, together with preliminary approval of a Planned
Residential District on the site.
PUBLIC SAFETY
As mentioned previously, the most noticable change has been the introduction of
the enhanced 911 emergency number brought on line December 1, 1982, which through the
use of one metro -wide number automatically routes the call to the proper emergency agency
together with the calling party's telephone number and location.
Calls for service in the police area seemed to have leveled off although there
Corporate Report - 1982
Page 11
seems to be some year to year variation around an apparent mean. Specific areas of
increase include driving while intoxicated (DWI) where arrests have increased by 150 %.
Total fire calls of 609 for 1982 showed a second year of decreases since 1980, with
a decrease of 16% from 1981 and an overall 22% decrease from 1980. These may reflect
improvements in holding down the number of false alarms from systems. Medical calls
totaling 1,160 also were down slightly from 1981 (3%) and 1980 (6%). Organizationally,
William Feck was appointed as Acting Fire Chief to assist operations, freeing the Public
Safety Director to focus on long range planning issues. The maturing of the Community
Service Officer Program (CSO) has proved beneficial in maintaining service levels and
the Volunteer Firefighter Program has been successful in providing the needed response
for demand times.
Further attempts to reduce false alarms were undertaken, with the Fire Department
introducing a false alarm charge after two alarms per year. While the number of
security alarm systems increased, the demand for police response remained stable.
False alarm responses were partially offset by the additional revenue generated. It
is difficult to estimate what the increase in calls would have been without the fees;
however, given the estimated growth in installations it would be expected to have been
considerable. Other fee adjustments in Public Safety included a marked increase in
sprinkler permit fees to equate to the cost of inspection.
Other notable events in the area of Public Safety included:
- Successful sewer connection or waiver of all but two of the 73 homes
that required connection to the City, with those two expected to be connected
in 1983.
- Introduction of the "Neighbor's Watch Program" sponsored in part by the Edina
Crime Fund has received overwhelming interest in its "natural cluster" format
and is expected to be a major step forward in the crime prevention area. The
program will utilize the Senior Police Reserve for its administration.
- Impact of cable television in two aspects of Public Safety:
1) Use of locally developed crime prevention presentations for broadcast
Corporate Report - 1982
Page 12
on cable local access.
2) Exploration of cable television -based security alarms for Edina.
- Exploration of increased health inspections on a fee per inspection basis for
food service establishments which have requested such assistance to improve
their standards.
- The continued monitoring of well water in the northern area has revealed an
absence of polyaromatic hydrocarbons (PAHs).
PHYSICAL OPERATIONS
The single biggest set of events for this area was the three snowfalls, two in
January (20th and 22nd) and the one on December 28, that respectively placed second,
first and fourth in the record books for the most snowfall in a single storm. Coupling
these storms with a 1981 -82 winter season that produced a record snowfall for a winter
in this area, the abilities of the City's snow crews were taxed, together with its
police and fire personnel. Although taxed, they demonstrated dedication and tireless
effort to maintain the excellent service level in snow removal for which Edina has been
known over the years.
In 1982 this area has:
- Principally through deferred equipment purchases and several hiring delays,
taken a disproportionate share of City cutbacks made in 1982.
- Seen the completion of the infiltration and inflow study (I /I) of the sewer
system(s) which indicated that, while there has not been excessive I/I in the
system, there is a need for continued evaluation and rehabilitation in order
to yield lower payments to the Metropolitan Waste Control Commission.
- Commenced the improved utilization of manpower and equipment between Park
and Recreation and Public Works to meet demand times in each area.
- Reached agreement to resolve the Adams Hill Pond problem in Richfield.
HUMAN SERVICES
During 1982, the Human Relations Commission reviewed the recommendations of the
Corporate Report - 1982
Page 13
South Hennepin Human Services Study and recommended to the Council and the School District
areas where each could work to improve services to the community.
Other items of note in this area:
- Exploration of other vendors to provide public health nursing services.
- Continued utilization of the no -fault grievance process to handle alleged
discrimination cases (11 cases heard).
- Joint sharing in selected areas of the volunteer transportation program with
Richfield.
SUMMARY
The Eighties have brought an exciting era of transformation which has assisted
Edina in reassessing its role and organization. With its redefinition, Edina
continues to exert leadership in municipal government in Minnesota in the ways in
which it provides and funds appropriate services for its customers, the people of
Edina.
To: Mayor and Council Members
From: Leslie Turner
Subject: Edina Expo '83
Date: February 2, 1983
As I mentioned at a recent Council Meeting, the City will have an
extensive exhibit at Edina Expo '83. Your presence will give citizens
an opportunity to meet you and share their views.
It would be helpful if you could indicate to me on Monday night before
the Council meeting which time might be good for you to be at Expo '83.
April 16 Saturday 11 -12
1 - 2
3 - 4
April 17 Sunday 12 -1
2 - 3
THANKS FOR YOUR HELP!
o :n
t- K •
Fix-
To: Community Task Force II
S a n,u.n t 3) lqn
This morning's meeting brought us two guest speakers, to
give us an idea about the "State of the Art" in Prevention.
Our first speaker, Jerry Jakers, is Coordinator of Technical
Assistance for the Minnesota Prevention Resource Center,
a major project of the Minnesota Institute. Our second
speaker, Peter Bell, serves as Executive Director of The
Minnesota Institute on Black Chemical Abuse. For those
who were unable to attend this meeting, and as a reminder
for those who were, the following is a recap of what was
said.
Jerry Jakers began by reminding us that historically, there
have been about five methods of attacking the problem of
chemical abuse; colonial (moralistic), temperance, social
control (post prohibition - an attempt to control the drink-
ing rather than the drinker) and alcoholism as a disease.
The last placed minimal emphasis on social control, and
raised some questions about prevention being possible when
genetic tendencies were present. Finally, communities
began to see it as a public health problem, focusing.more
on specific issues such as driving while drunk, drinking
during pregnancy, etc, and deciding how to attack each prob-
lem.
He suggested that three main components make up chemical
health, prevention, intervention and promotion. The first,
prevention, includes providing accurate information, alter-
- natives, peer support, social policy and social standards or
norms. The second, intervention, includes assessment, treat-
ment and after -care. The third, promotion, includes self -
awareness and social competencies.
Jerry spoke about ways in which some communities are fighting
the problem; parent groups are forming, information and aware-
ness programs are being provided. Medical awareness is being
stressed. The religious community is inviting AA groups in to
churches, fostering responsible hosting parties, etc. Schools
are looking at policies and devising mechanisms for intervention.
Park and Recreation Departments are including information about
chemical problems in their programs, and newspapers and radio
join in broadcasting the message. He suggested that as a task
force we look at some of the things that are working in other
communities.
Our second speaker, Peter Bell, spoke of two basic approaches,
1. Social competencies, and 2. Social policy. The approach he
stressed this morning was the second. He noted that in cultures
where there has been a minimal problem with chemicals such as
the orthodox Jewish community, or the.native Indian community
two hundred years ago, the following was true:
f
1. There was a clear agreement about what chemicals were
legitimate to use.
2. The rules were clear regarding when, where, and why use,
and what behaviors would-be tolerated.
3. It was clear who established and communicated the rules, and
4. There was a clear system of accountability.
Peter suggests that when a community has clear rules, norms
and standards, communicates them clearly and holds rule- breakers
accountable, their chemical problems will be minimized. He
also suggested that the easiest way to arrive at consensus was
to agree on what would not be acceptable, rather than what was.
Prevention, he said', should be expanded to include preventing
harmful effects on the community, e.g. laws regarding driving
while intoxicated. He stressed that when standards are under-
stood clearly, social competency programs gain effectiveness.
A question period followed the presentations, and then plans
were made for the next meeting, Thursday, January 20th. This
meeting will be devoted to the assessment of problems, and it
was decided to hear from the following: police, Storefront/
Youth Action, school administrators, religious community,
South Hennepin Human Services Council, Chamber of Commerce,
kids and parents.
Each task force member will talk to five individuals during the
week, asking them how they see chemical use problems affecting
our community.
See you next Thursday,
/ I
"ASSESSING THE PROBLEM"
JANUARY 20, 1983
The following is based upon notes taken at the January 20
_ meeting of the Edina Task Force II:
A. Police Department Data
Mr. Schwartz of the Edina Police Department offered
the following statistics and observations:
Juvenile contacts by the police department fell
from 776 in 1980 (when warnings were also.issued)
to 561 in 1982 (when the practice of warnings
had been discontinued). In 1980, there had been
332 chemical - related arrests, of which 36 were
marijuana- related and the vast majority of others
alcohol- related. This.represented 32 percent of
all juvenile categories. In 1982, by contrast,
there were 164 chemical - related arrests, of which
29 were marijuana and most of the remaining were
alcohol- related. This represented 29 percent of
all juvenile categories. These changes in the
actual numbers should be viewed in light of a
6 percent drop in the school population from
1980 -82.
. There were 9 DWI violations involving juveniles
in 1980 compared with 5 DWI violations in 1982.
In addition, though, 1982 had 10 juvenile
violations for open bottle. Mr. Schwartz
estimated that approximately 5 -10 percent of
elementary school students and approximately 50
percent of junior high school students have tried
alcohol. He further estimated that approximately
25 percent of junior high school students and
approximately 50 percent of senior high school
students had tried marijuana.
When asked about specific problem
community, he indicated that them
"hangout" areas such as the video
He also indicated that the liquor
France Avenue was a good location
in the springtime.
locations in the
E! were specific
arcade in Southdale.
store at 44th and
for purchasing kegs
- 2 -
B.- Storefront /Youth Action
Don Brundage reviewed the major chemicals of choice
in the Edina High School in the order of alcohol,
marijuana (occasionally including Sinsemilla),
speed (frequently lookalikes), LSD and mushrooms,
and cocaine. He profiled trends in use and pointed
out that more sophisticated paraphernalia such as
dugouts makes it virtually impossible to detect a
student smoking at school. Beth Fagin commented on
Storefront's contacts with adolescents and their
families in 1982. She indicated that counseling
contacts involved the following problems in descending
order of frequency:
Family Problems
Adolescent Chemical Use
Alcohol Or Drug. Use By Another Family Member
Adolescent Personal Problems
Shoplifting (approximately 30 percent of whom have
chemical dependency problems in the family)
C. School Administration
Mr. Cabalka showed the group the physical plant
of Edina High School and commented on the trends in
the school.'s reponse to chemical use problems over
the last decade. Like some of the discussion which
followed, he focused particularly on the use of
tobacco in the school, especially in the girls'
lavatories. Mr. Burnett indicated that, from his
conversations with other elementary principals,
there was no evidence of alcohol or drug problems
at that level. However, he reflected the general
concern of elementary principals that the seeds of
.self- esteem and decisionmaking are sown during the
elementary school years and that preventive action
must be taken at that level.
Mr. Mellenthin commented on the problem at the junior
high school level. From his conversations with
other administrators and teachers, he observed the
general pattern that students are more conciliatory than
in past years and parents are more aware of problems.
He compared suspension and vandalism statistics between
1978 and 1982 noting that 28 percent dropped in.suspensions
between those two years and a 40 percent drop in
vandalism. In addition, he noted that the type of
3 _
vandalism is less serious now and that the rate of
drug- related suspensions has.gone down dramatically
(although referral to other resources is now more
frequent). He did note that problems related to
tobacco had remained fairly constant (29 incidents
in 1978 and 21 incidents in 1982). He also noted,
though, that chewing tobacco had become far more
prevalent in recent years. He concluded by saying
that the problem was still there and particularly
noted the number of special groups which existed
within the school to attend to the needs of
individual students.
D. Youth Response
Tony, Sandy, Tracy, Carol, and Andy reinforced most
of what other members of the task force had said.
Tony indicated that he felt adults were more aware
than in the past; Sandy commented on the popularity
of chewing tobacco in the junior high school; Tracy
commented on her experience in the peer leadership
program and expressed the feeling that high school
students could have the most influence by interacting
with junior high and elementary school students;
Carol commented on the lack of enforcement for
regulations such as cigarette smoking and reinforced
some earlier comments about the problems in the girls'
lavatories; Andy reinforced some of the comments
made earlier and shared some of his difficulties in
making new friends since quitting chemicals a couple
of months earlier.
Proposed
1983 City Policies
For distribution to all member officials
These proposed policies are being mailed to all clerks
and administrators for distribution to all officials. Each
mayor will also receive a copy. Additional copies are
available from the League office.
Member officials are urged to review proposals
developed by the LMC Legislative Study Committees
and recommend by the LMC Legislative Committee to
the membership. Each policy has been designated with
an 'A, B, or C priority. An explanation of the meaning
of each level can be found on the reverse side of this
cover sheet.
Policies will be reviewed and adopted at the morning
session of the 1983 LMC Legislative Action Conference,
Wednesday, January 26,at the St. Paul Radisson Hotel,
11 E. Kellogg Boulevard. If there are questions or
comments prior to that date, contact committee chairs,
vice chairs, or League staff.
League of Minnesota Cities
TABLE OF CONTENTS
Page
Contents.............................................. ..............................i
Foreword ... ..... ............. .. .. .......... ........ .v
Committee members ..................................... ...... :.......................v
Public Health and Safety
PHS -1.
Good Samaritan Liability (A) .................... ..............................1
PHS -2.
Fire Personnel Standards ( A) ...............:..... .......................:......1
PHS -3.
Issues in Law Enforcement Personnel (A) ........... ..............................1
PHS -4.
Adverse Possession ( A),,,,,,,,,,,,,,;,,,,,,,,,, ,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,2
PHS -5.
Fire Codes (A) .................. .. ..............................2
PHS -6.
Updating of Building and Fire Codes (B) ............ ..............................2
PHS -7.
Building and Energy Code ( B) ...... .......................:....... .2
PHS -8.
Handicapped Provisions of the State Building Code (B) ..............................3
PHS -9.
Youth Service Bureaus (B) ................... ...........................3
PHS -10.
Work Restitution Programs (B) ............ ............................... , , , ,3
PHS -11.
Emergency Medical Services (B) .................. .......:....................:.3
PHS -12.
Liquor Issues (B) ................ . ..............................3
PHS -13.
Prosecution Costs and Responsibility (B) ........... ..............................4
PHS -14.
Uniform Colors (C) ............................ ..............................4
PHS -15.
Emergency Telephone System ( C) ................. ..............................4
PHS -16.
Beer Keg Registration (C) ....................... ..............................4
Personnel, Pensions and Labor Relations
PPLR -1. Minnesota Public Employee Labor Relations Act (A) .. ..............................4
PPLR -2. Day Labor Restrictions ( A) ...................... ..............................5
PPLR -3, Workers' Compensation (A) „5
PPLR -4. PERA Benefits, Financing and Administration (A) .... ..............................6
PPLR -5. Relief Association Member Lobbying (A) .............................. 7
PPLR -6. Formal Civil Service Systems (A) ..... ............................... .7
PPLR -7. Government Training Service Funding (B) ............................ .7
PPLR -8. State Board of Investment Performance (B) ................... "....... 7
PPLR -9. Unemployment Compensation (B) .......................... .. :.. .8
PPLR -10. Veterans Preference (B) ................................... .... 8
PPLR -11. Volunteer Firefighters Double Dipping (B) ...... 8
PPLR -12. Disability Retirement (B) ................... .8
PPLR -13. Employee Bonuses (C) ......................... ................................ 9
PPLR -14. Volunteer Ambulance Systems (C) .... i,,,,, , , , , , , , , , , , , , , , 9
PPLR -15. State Taxation of PE RA Contributions (C), , , , , , , , , , , , , , , , 9
PPLR -16. Temporary Military Service ( C) ................... ..............................9
Government Structure
GS -1. Mandates (A) .............................................................. 10
GS -2. Open Meetings (A) .......................... .10
GS -3. Uniform Information Practices (A) .............. . ................... ,10
GS -4. Personal Bonds (A) . ................... ........... 10
GS -5. Adjusting Dollar Limits (A) 10
GS -6. State Licensing of Contractors (B) ......... ,10
GS -7. Tort Liability (B) ............................. .............................11
GS -8. Cable Television (B) ........................... .............................11
GS -9. State Audits and City Financial Reporting Requirements (B) .........................11
GS -10. Publication of Small Cities' Financial Statements (B) .. .............................12
GS -11. Uniform Local Government Election Day ( B) ........ .............................12
GS -12. Election Day Registration (B) .... ............... .............................12
GS -13. Campaign Financing and Disclosure (B) ............ .............................12
GS -14. Validating Absentee Ballots ( B) ..... ............................... ..........13.
GS -15. Voting Equipment (C) ....................................... I............ ..13
GS -16. Precinct Boundary Changes (C) ............... ............................:13
GS -17. Collateral for Depositories (C) ........ ........:..: .............................13
GS -18. Purchasing and Contracting Issues (C) ........................ .................14
GS -19. Home Rule (C) ..... ........................ .............................14
GS -20. Improved City Code (C) ........................ .............................14
Revenue Sources
RS -1. Levy Limits (A) ........................ .... .............................15
RS -2. Adequate Funding for Local Government Aid (A) .................... . .......:...18
RS -3. Alternative Revenue Sources (A) . ................ .............................18
RS -4. Special Assessment Financing (A) ..... .. ............................ ..19
RS -5. Local Government.Aid Formula (A) ..................... ...............19
RS -6. Timing of Property Tax Payments ( B) .............. .............................19
RS -7. Homestead Credit (B) ................... ...........20
RS -8. Railroad Taxation (C) . ...................... .............20
RS -9. ,Tax- Exempt Property (C) ......... ... ....... .............................20
RS -10. Assessment Equalization (C) ..... ............................... . :.........21
Land Use, Environment, Energy and Transportation
LUEE -1. Transportation (A) .................. .... .............................21
L1SEE -2. Solid and Hazardous Waste Management ( A) ......... .............................22
LUEE -3. Manufactured Housing (A) ..... ........ ............................... ....23
LUEE4. Agricultural Land Preservation (A) ........ ............................... ....23
LUEE -5. Surface Water Management (A) ...... ............ .............................24
LUEE -6. Flexible Approach to Pollution Control (B) .......... .............................24
LUc7E -7. Eminent Domain Law (B) .._ ..... ............................... . ............25
LUEE -8. Rezoning Requirements for Cities of the First Class (B) ....... ........... .... . .25
LUEE -9. Energy Conservation and Production (B) ............................. ........25
LUEE- IO.Shade Tree Disease Control (B) ............. .... ........................ ...26
LUEE-1 1. Initiative-Referendum for Zoning Ordinance ( C) ...... .............................26
LUEE-1 2. Erosion and Sediment Control (C) ............ ............................... .26
LUEE- 13.Orderly Annexation (C) .......................................... ...........26
LUEE- 14.Minnesota Municipal Board ( C) ..................... ................:............26
LUEE-1 5. Intergovernmental Strategies (C) ............... . .............................27
LUEE- 11 6.Planning Grant Program (C) ......... .............. ......................27
LUEE -17. Use of Funds from Subdivision of Land (C) ......... .............................27
Development Strategies
DS -1. `Community Development Principles ( A) ............ .............................27
DS -2. Small Cities Community Development Block Grants (A) ............................28
15S -3. Special Assessments (A) .......................... ....................... .28
DS -4, Enterprise Zone and Industrial Employment Property (B) ....................:......29
DS -5. Tax - Exempt Status of Land Held by Cities for Development (B) ......................29
DS -6. Small Business Development Financing ( B) ........................................ 29
DS -7. Tax Increment Financing (C) .................... .............................29
DS -8. Housing (C) ............................................................... 29
DS -9. Industrial Revenue Bonds (C) .................... .............................30
DS -10. Rent Control (C) .............................. .............................30
Federal Legislation
FL -1.
General Revenue Sharing (A) .................... .............................30
FL -2.
Municipal Bonds (A) .........
................ .............................31
FL -3.
Industrial Development Bonds (A)
................ .............................31
FL -4.
Community Development (A) ....................
.............................31
FL -5.
Wastewater Treatment ( B) .......................
.............................32
FL -6.
Cable TV (B) ..............................................................
32
FL -7.
Federal Labor Legislation (C) ....................
.............................32
One of the most important purposes of the League indicated next to the title of each proposed policy.
is to serve as a vehicle through which municipal These priorities were developed by the study
officials throughout the state can define their committees and reviewed and, in some cases,
mutual problems and develop positive. policies and modified by the Legislative Committee.
Proposals for their solution.
To accomplish this purpose a three -step con-
sultative process has been established providing for
the study of issues by committees of municipal
officials, the r&vew of the resulting recommenda-
tions by the .Legislative Committee composed of
the Board of Directors and the study committee
chair - persons, and final adoption at an annual
legislative conference attended by representatives
of all member cities.
The policy statements and legislative proposals
contained herein are the result of this process and
are intended to be adopted for the biennial legisla-
tive session but subject to review and amendment
between the first and second year. Thus, they will
provide the League Board of Directors and the
staff with a continuing source of guidance when
testifying before legislative committees and taking
other actions which have legislative or policy
implications.
Priority designation. The priority designation is
Public Health and Safety
The priorities are intended to give additional
guidance to the League Board and staff in im-
plementing the League's legislative program.
"A" priority indicates a major issue, one where
the League would introduce legislation or would
work actively with other groups to seek new laws
and regulations.
"B" priority indicates items that are important
to cities but where the League would probably
spend substantially less time unless the legislature
or other groups mounted a major effort to which
LMC had to respond. While the League might
initiate legislation on `B" priority items, these
would be relatively non - controversial items, or
those where most of the research has already been
completed.
"C" priority indicates items where the League
would respond only when the issue is raised by
other groups.
commille�s
Donna Robbins, Chair, Council Member,
Austin
John Boyer, Vice - Chair, Council Member,
Cloquet
Cherie Anderson, Council Member, Buffalo
Virginia Burnett, City Councilor, New Ulm
Ronald H. Drew, Dir. Public Safety, Faribault
Jerry Dulgar, City Manager, Anoka
Gil Dullinger, Building Official, Brooklyn Park
Chuck Fowler, Council Member, Fairmont
v
Sally Howard, Alderman, Minneapolis
Bill Lavin, City Administrator, Madison
Shirlie Lundgren, Council Member, Crystal
Robert Middaugh, City Administrator, Elk River
Tim Madigan, City Manager, Excelsior
Dean O'Borsky, Chief of Police, Hutchinson
Ronald Stone, Mayor, Boyd
Ralph Sveska, Council Member, Spring Valley
Timothy Thompson, Police Chief, St. Bonifacius &
M innetrista
George Tourville, Council Member, Inver Grove
Heights
John D. Walker, Mayor, Newport
Don Yecke, City Administrator, Kenyon
Personnel, Pensions and Labor Relations
James Cosgrove, Chair, City Coordinator,
S. St. Paul
Leslie Turner, Vice - Chair, Council Member,
Edina
Frank Akers, Chief of Police, Cambridge
Gary Bastian, Council Member, Maplewood
Frank Boyles, Asst. City Manager, Plymouth
.James L. Brimeyer, City Manager, St. Louis Park
.Larry Donlin, Mayor, Minnetonka
Willard Doty, Council Member, Mounds View
Kevin Frazell, Asst. City Manager, Coon Rapids
Ray Schoenecker, Council Member, New Prague
Joe Heinen, Council Pres., Sauk Centre
Bill Joynes, City Manager, White Bear Lake
'George Kehoe, Alderman, City Coun., Owatonna
.Jay Kiedrowski, Asst. City Coordinator, Mpls.
Sy Knapp, Eng. Public Works Dir., Brooklyn
Center
Robert Kroh, Asst. City Manager, Robbinsdale
Jim Lacina, City Adm., Woodbury
Kent Michaelson, Personnel Officer, Bloomington
Steven Devich, Personnel Mgr., Richfield
Robert Norton, Dir. Gen. Services, Winona
Don Ramstad, Council Member, Maple Grove
Mark Sather, City Manager, Waseca
Bob Schafer, City Manager, Inver Grove Heights
Darrell Stacy, City Adm., Austin
Peter Stolley, City Adm., Northfield
Joyce Twistol, City Clerk, Blaine
Rich Voller, City Manager, Granite Falls
Government Structure
Sue Patton, Chair, Clerk, Sartell
Leland (Lee) Swanson, V. Chair, Council Member,
Morris
Bill Barnhart, Local Liaison, Minneapolis
John Christenson, Mayor, Good Thunder
Dean Colligan, Council Member, Shakopee
C. Wayne Courtney, Mayor, Edina
Carol Dyke, Council Member, Worthington
Paul Herges, Council Member, St. Cloud
Anne M. Huntley, Council Member, Grand Rapids
Jane Gordon, Council Member, Minetonka
Rock,Lindlan, Mayor, Mound
Patricia Lindquist, City Clerk /Adm., Andover
Mary Lee Maida, Council Member, Maplewood
Mary Mueller, Adm. Assistant, Apple Valley
John Murphy, Dir. Adm. Services, Golden Valley
Everett Nagelhout, Clerk, Minneota
Doris Nivala, Deputy Clerk, Ham Lake
vi
Karl Nollenberger, Manager, Richfield
Harlin O. Owens, Mayor, Worthington
Paul Rebrovich, Council Member, Dilworth
T. J. Ruhn, Coordinator, Eden Valley
Norm Schroeder, Clerk, Staples
Richard Setzler, Clerk, Osseo
James Shearer, Pres. City Council, Duluth
Betty Sindt, Council Member, Lakeville
Loren Solberg, Mayor, Bovey
Jo -Anne Student, Council Secretary, Columbia
Heights
Robert Tapley, Mayor, Wadena
Revenue Sources
Barb Sipson, Chair, Council Member, Moorhead
John Anderson, Vice- Chair, City Administrator,
Shakopee
Goerge Ballenger, Finance Director, Apple Valley
Ben Bifoss, City Manager, Montevideo
Arline Brown, Council Member, Mankato
Yale Corcoran, Mayor, Cook
Thomas Cran /Mary Schweiger, Budget Analyst/
Mayor's Office, St. Paul
June Demos, Mayor, Roseville
John Elam, City Manager, Mound
Kelly Ferber, Mayor, Fergus Falls
Tim Flaherty, Leg. Liaison, Minneapolis
Dale Halos, City Assessor, Crookston
Scott Lindquist; Assessor, Duluth
Marie Horton /Darrell Johnson, Council Member/
Finance Officer, Winona
R.J. Huston, Mayor, St. Cloud
Richard Johnson, Dir. Finance /Dep. City Mgr.
Blaine
Martin Jokinen, City Adm., Cokato
James Keinath, City Administrator, Winnebago
Duane Knutson, Mayor, Fertile
Doug Kruckeberg, Council Member, Blooming
Prairie
Gloria Lemmerman, City Clerk -Adm., North
Branch
Robert Lewis, Mayor, Coon Rapids
Hugh Miller /Tom Mealey, Council Member/
Clerk - Treasurer, Owatonna
Bruce Nawrocki, Mayor, Columbia Heights
John Patton, Mayor, Blue Earth
David Pokorney, City Adm., Mahtomedi
J.E. Quest, Mayor, Excelsior
Al Ringsmuth, Mayor, Waite Park
Neil Ruddy, City Adm., Redwood Falls
Rosemary Thorsen, Mayor, Golden Valley
Roy Trullinger, Clerk-Treas., St. James
Joyce Wilde, Dir. Adm. Services, Richfield
Elizabeth Witt, Council Member, Mendota Heights
Land se, Environment, Energy and
Transportation
Richard Lewis, Chair, Asst. Administrator,
Cottage Grove
Marie Jensen, Vice - Chair, Council Member,
Northfield
Maurice Anderson, Dir. Parks & Rec., New
Brighton
Norman Anderson, Council Member, Maplewood
Louis Anthonisen, Alderman, Austin
David Bangasser, City Manager, Wayzata
Bob Benke, Council Member, New Brighton
Mildred Benner, Council Member, Sauk Rapids
Gary Berg, City Planner, Brooklyn Park
Mike Cronin, Planner, Minneapolis
Mike Eastling, City Engineer, Richfield
Tom Eidem, Administrator, Monticello
Rosemary Given - Amble, Council Member, Bemidji
John B. Gretz, Community Dev. Dir., Apple Valley
Tom Halloran, Cert, Building Official, Rochester
Jan Haugen, Council Member, Shorewood
Richard Hoglund, Clerk - Treas., Willmar
Leland Knutson, Mayor, Rosemount
Dolores Lebens, Council Member, Shakopee
Dean Massett, Council Adm., Red Wing
John McCabe, Mayor, Cleveland
Millie MacLeod, Council Member, Moorhead
Marlow V. Priebe, Dir. of Engineering,
Hutchington
Charlotte, Soderquist, Asst. Zon. & Planning
Ham Lake
Charles Thomson, Council Member, Excelsior
Roy Trullinger, Clerk- Treasurer, St. James
Development Strategies
Susan Edel, Chair, Council Member,
Winona
Les Johnson, Vice - Chair, City Manager,
Owatonna
vii
Roberta Anderson, Council Member, Owatonna
Merton Auger, Dir. Planning & Dev., Buffalo
Jerry Carrier, Grants Administrator,
Crookston
David Childs, City Manager, St. Anthony
Charles Darth, Finance Director, Brooklyn Park
Nancy Enright, Council Member, Lakeville
Tim Flaherty, Leg. Liaison, Minneapolis
John Frohrip, City Manager, Dawson
Ralph K. Hester, City Manager, Milaca
Thomas E. Huntley, Council Member, Duluth
Walter M. Johnson, City Administrator, Luverne
Laurence J. Klun, Attorney, Ely
Dennis Kraft, Community Dev. Dir., Richfield
Edward R. Larson, City Manager, Morris
Phil Lynch, Council Member, St. Cloud
Jim Miller, City Manager, Minnetonka
Henry Pappone, City Council Pres., Virginia
Mary Schweiger, Mayor's Office, St. Paul
Hank Sinda, City Adm., Savage
Ronald D. Stone, Mayor, Boyd
Peter Meintsma, Mayor, Crystal.
Federal Legislation
George Latimer, Chair, Mayor, St. Paul
Sue Edel, Vice Chair, Council Member, Winona
Meg Bye, Council Member, Duluth
James P. Cosgrove, Coordinator, S. St. Paul
Mary Detrick, Council Member, Hibbing
Donald Fraser, Mayor, Minneapolis
Sally Howard, Alderman, Minneapolis
Jim Krautkremer, Mayor, Brooklyn Park
Pat Hoyt Neils, Council Member, Plymouth
Josephine Nunn, Mayor, Champlin
Harlin Owens, Mayor, Champlin
Sue Patton, Clerk, Sartell
Donna Robbins, Council Member, Austin
Walter Rockenstein, Alderman, Minneapolis
Betty Sindt, Council Member, Farmington
PUBLIC HEALTH AND SAFETY
PHS -1. Good Samaritan Liability (A).
The Good Samaritan Law, a law of interest to
municipal employees in the provision of emergency
care, has never really served its purpose because,
unlike similar laws in other states, it preserved
the common law liability of a good samaritan for
damages resulting from ordinary negligence in
rendering emergency care. The League recom-
mends that the law be amended to limit the
liability of a person rendering emergency care at
the scene of an emergency to liability for willful or
wanton misconduct.
PHS -2. Fire Personnel Standards.(A)
Fire suppression has traditionally been a unique-
ly local function in Minnesota. Not only are
firefighting problems vastly different from one
community to another, but well over ninety
percent of Minnesota communities rely primarily
on volunteer firefighters for fire suppression.
Because local governing bodies are best equipped
to determine the nature of local fire risks, the level
of local fire prevention efforts and the practical
availability of firefighting personnel, and because
power to conduct training on a multi - municipal
basis, under the joint Powers Act, exists and is
being used, the League believes that the following
principles should govern any state or federal efforts
to improve firefighting capabilities.
1. No governmentally established mandatory or
suggested physical, physiological, educational,
or compensation standards for retirement . or
continued. employment for firefighters should be
created except at the level of the entity actually
employing firefighting personnel.
2. If any state or federal attempts are made to
upgrade the quality, skills and ability of fire-
fighting personnel in Minnesota, they should be
effectuated by increased financial assistance to
provide improved programs, or by direct em-
ployment of specialized personnel at the state or
federal level with such personnel made available
to assist local units of government.
PHS -3. Issues in Law Enforcement Personnel (A)
'The uniform state licensing requirement does
mandates minimum standards for recruitment,
training, and conduct for full -time law enforce-
ment personnel. It also provides flexibility by
ME
permitting employment of a class of police em-
ployees, who meet specified requirements which
are less than those for full -time officers and by
allowing upgrading of part -time police officers to
fully licensed status. The law also provides for two
elected city officials to represent cities on the
POST Board. The following guidelines are re-
commended to the legislature in any future con-
sideration of this issue.
Since cities increasingly employ specialized
law enforcement personnel, including part -time
officers, reservists and paraprofessionals, they
should clearly have the authority to establish
their own standards for such personnel who are
not authorized to carry firearms except in
emergencies.
2. There should be consideration of the financial
impact of any state rules and regulations on
the cost of law enforcement to cities. Manda-
tory citizen complaint processing procedures on
police officer conduct and behavior may dictate
extra cost to produce manuals and train person-
nel in their use, and the state should subsidize
any extra costs.
3. Enforcement of standards of conduct ' and
performance, and any other disciplinary matters,
should not bypass normal city personnel proce-
dures. Nor should state objectives be allowed to
unnecessarily complicate local personnel prac-
tives which have worked well in the past.
4. Special attention should be placed upon law
enforcement problems in rural areas and in
small cities where conventional approaches may
not be practical. The POST Board should
continue to provide variances for political
subdivisions having particular difficulties in
complying with licensing standards to permit
phased compliance.
5. The composition of the POST Board should not
be altered further so as to dilute city representa-
tion on the Board.
6. The opportunity to undertake academic work at
post- secondary schools is a valuable pre - service
training experience for potential police officers.
The League encourages the continued develop-
ment of a program of pre - employment training
and qualification of peace officer candidates in a
variety of locations throughout the state. The
existence of a program for law enforcement
personnel qualification at post- secondary in-
stitutions, however, should not be allowed to
foreclose the possibility of recruitment for the
position of licensed peace officers from within
the ranks of reservists and part -time officers; and
qualification on the. basis of a local. training
And experience together with a'short and reason-
ably available skills training program, as ap-
proved by'the POST Board.
PHS -4. Adverse Possession (A)
The legislature should make it clear that no
adverse possession can be had against the state and
its political subdivisions.
PHS -S. Fire Codes (A)
One of the more rapidly evolving legal arenas
recently has been the extent to which the public,
via state or . local governments, is responsible for
the 'safety 'of buildings through inspections and
code enforcement. There seems to be general
agreement that state government should be, respon-
sible for enforcement of the uniform fire code,
Which applies to existing buildings, and large
facilities which are open to the public, whether
they are, located, in cities, counties or townships.
The League supports legislation which would
clarify the responsibility of the state to inspect
such facilities open to the public as schools,
hotels, lodginghouses, hospitals, nursing homes,
dry cleaners and: motion picture theaters provided
that the state is clearly responsible for enforcement
and inspection, whether or not it contracts with
local ,units of government to perform the actual
inspection. The legislature should permit cities to
enact the more stringent fire safety code for these
facilities provided in the building code as well. as
for other buildings, but the enforcement of these
more . stringent.. standards should be the com-
munity's responsibility.
When a city' does not enact more stringent fire
safety codes, the state should be responsible for
inspection and enforcement of the .fire code, on a
case -by -case basis, when requested by any political
subdivision (including a school district) or a
hospital,, unless the city clearly agrees to accept
the responsibility for the enforcement of the fire
code by adopting it.
It is equally important to focus on preventing
emergencies or potential emergency situations
through incorporating improved protection fea-
tures into new building construction, especially in
-2-
high - risk . areas or in certain high -risk buildings.
Evidence indicates that if certain protective fea-
tures were incorporated, the lives and property
of occupants would be better protected and loca i
public safety.services would be better able to cope
with emergencies at the present level of servic ,
without adding to the general property tax burden.
The League reconnmen'ds that the uniform state
building code be amended to permit any eit% to
enact an optional fire suppression ' system as
specified in the code.
PHS-6. Updating of Building and Fire Codes (B)
In order to have the most recent standards
available in Minnesota, the Legislature should
require the review and adoption as soon as possible
by the appropriate state departments of the
periodic revisions to the nationally recognized
Uniform Building Code. and Uniform Fire Code.
PHS -7. Building and Energy Code (B)
A uniform, statewide building and energy code
should be adopted by the legislature only if the
following optional enforcement methods are
included:
1. Local option (city, county, or town) inspection
and enforcement, except. that the code should
.remain mandatory in the Twin Cities Metro -
politan Area.
2. State fee inspectors who may, be, used for
inspection in areas outside of communities with
local enforcement.
3. All architects and engineers who design any
structure must certify that, the structure com-
plies with the state building and energy codes.
4. Any city should be allowed to adopt more
restrictive building standards than the state
building code in order to protect public health
and safety.
The League recommends that a legislative
commission on building and energy standards be
established to review the state building and energy
codes with the objective of reviewing the rewriting
of these standards to assure compliance with
federal energy requirements and to remove those
parts of the standards not directly related to
energy I conservation and the public's health,
welfare, and safety.
PHS -8. Handicapped Provisions of the State
Building Code (B)
The enforcement of the handicapped provisions
of'the state building code which are mandatory
statewide for new .buildings should be as follows:
Any new building to which these provisions apply
should be designed to conform to these provisions
by an architect, engineer, or contractor. If the
city, or county if the new building is outside a city,
does not have a building official, the architect,
engineer or contractor shall also inspect the build-
ing to certify to the city, or county if located
outside a city, that the new building has been
constructed in compliance with these provisions.
This certification must be completed before any
city or county shall issue a certificate of occupancy
for the building or before the inspection process is
completed if no certificate of occupancy is, re-
quired. Another option would be for the state fire
Marshall to enforce these provisions in jurisdictions
not having a building official.
PHS -9. Youth Service Bureaus (B)
A youth service bureau attempts, through
counselling, to avert establishment of a pattern of
youth lawbreaking. Youth are referred by police,
school and court. By utilizing the youth service
bureau, a youth and his family are helped to find
and correct the cause of a behavior problem.
The League recommends that the legislature
encourage. local governments to sponsor youth
service bureau type activities as a help and buffer
to the court system and a preventive for habitual
youth offense by providing local 'units the ability
to fund these programs through the local property
tax levy by use of a special levy.
PHS -10. Work Restitution Programs (B)
The League urges the various court systems,
city officials, and the legislature to encourage and
make possible community work restitution pro -
grams. This may require making available funding
methods through grants and special levies.
PHS -11. Emergency. Medical Services (B)
Cities as a group are the single largest provider of
ambulance services in the state and form a vital
part of the network of emergency services. To
maintain and improve the erergency services
network, the League suggests the following guide-
lines:
-3-
1. The .current statutory requirements for am-
bulance vehicles, equipment and attendants'
training should remain in the statutes as mini-
mum requirements. Appropriate amendments,
however, should allow quick response vehicles
to respond to emergency situations.
With increasing interest in paramedic services,
the League supports the provision of easily
accessible training on a statewide basis at mini-
mum cost in order to meet appropriate qualifi-
cations.
While the League supports the continuing
development of a systems approach to emer-
gency medical services, we believe that local
governments should be closely involved in their
planning and implementation. The League
recognizes the need for qualified, trained indivi-
duals in emergency medical service and in
support of this recognized need, recommends
that both initial and on -going training be made
available through an in- service process which
will meet appropriate qualifications. State
grants and aids should be available to enable
all cities to' have access to adequate emergency
Medical service.
4. Alternative transportation strategies, for non -
emergency medical transportation which are
Jess costly than full ambulance services should
be developed.
PHS 12. Liquor Issues (B)
The League strongly supported • the legislature
when it modified liquor laws to make the number
of on -sale liquor licenses issued a matter for local
determination and eliminated the phase -out
requirement when there are municipal on -sale or
off -sale liquor operations. The League recom-
mends that the legislature build on these initiatives
by taking the following actions:
1. Cities should have the same authority to estab-
lish fees for off -sale liquor licenses, on -sale wine
licenses, bottle club and Sunday liquor, that
they now have for on -sale liquor and beer
licenses and off -sale beer licenses.
2. The League opposes the establishment of one
class of beer in this state because substantial
problems will arise in control of the sale of
this beverage in filling stations, grocery stores,
drug stores, and elsewhere where 3.2 beer is
presently sold. Also 3.2 on -sale establishments
would be selling strong beer in competition with
on -sale liquor establishments and municipal
liquor stores. The League opposes the off -sale
of wine in other than liquor stores.
3. The League opposes any, law authorizing the
sampling of wine or other spirits on the premises
of any off -sale liquor store.
PHS -13. Prosecution Costs and Responsibility (B)
The League supports legislation adjusting the
maximum fine which can be imposed for crimi-
nal violations. Those limits should be adjusted
for inflation which has occurred since enactment
of existing limits or adjusted to some other more
appropriate level after careful study.
2. Experience over the past few years has shown
that many cities, especially smaller cities,
have experienced costs for prosecution and
associated activities beyond their ability to
support. The League recommends that the law
be amended to require that county attorneys
prosecute cases involving local or state law
where the city council by ordinance has de-
signated that the violation of certain ordinances
or misdemeanors or gross misdemeanors would
be prosecuted by the county attorney. Like-
wise, by ordinance the council should be able to
designate that certain gross misdemeanors be
prosecuted by the city attorney. Fines should
be divided, one -third to the jurisdiction of the
arresting officer; one -third to the jurisdiction of
the prosecuting attorney; and, one -third to the
county for use of the court system.
PHS -14. Uniform Colors (C)
No advantage of nor need for additional state
laws which dictate the color or design of uniforms,
automobiles, or other equipment used by local
police agencies has been demonstrated. These
would be inconsistent with local autonomy and
home rule and may involve additional costs to local
government. Therefore, the League opposes any
additional state law as to color of uniforms, police
cars, and other non performance related equipment
standards.
PHS -15. Emergency Telephone System (C)
The 1977 Legislature mandated a 911 emer-
gency telephone system for the state, with com-
pliance deadlines of 1982 for the Twin Cities
metropolitan area and 1986 for the rest of the
4-
state. Under the financial plan enacted in. 1978,
only the annual recurring costs of local equipment
and personnel would be paid by cities and other
local jurisdictions. Since the legislature has man-
dated this program, the League believes it should
finance all costs through state revenues. If suf-
ficient federal funds are not available at any time
in the future to finance capital equipment in-
stallation at public safety answering points, the
state should fund these costs. The legislature
should re- examine the costs of financing this
system and continue its financial commitment.
The telephone companies should be required to
charge only their actual costs concerning operating
this system. In the event that the legislature does
not fully fund all costs of the program, the local
annual recurring costs should be a special levy,
outside the levy limits.
PHS -16. Beer Keg Registration (C)
The state should require the registration of
all beer kegs by the person purchasing the keg with
the liquor store.
PERSONNEL, PENSIONS AND LABOR
RELATIONS
PPLR -1. Minnesota Public Employee Labor
Relations Act (A)
1. Picket Lines. No city employee should be
permitted to refuse to cross the picket lines of
other city employees.
2. Disciplinary Action. Employees presently have
a variety of grievance procedures available to them,
including civil service systems, veterans preference.
Employees covered by a PELRA Agreement
should be able to specify which procedure should
be used by them or specify a different procedure in
the agreement, thus precluding an employee from
invoking two procedures for grievance.
3. Impasse Resolution. The statutory mediation
period should run from the first mediation session.
4. Supervisors and Confidential Employees with,
Public Collective Bargaining. Supervisors of public
employees should have their management role
acknowledged and have their status limited to meet
and confer. In no event should supervisory or
confidential employees be represented by an
employee organization which represents the
employees they supervise. The term "supervisory"
should be as presently defined under PELRA for
non - essential employee supervisors. The definition
of supervisory employees should not be further
limited. To do so would essentially provide that in
all but city manager cities, no employees could be
considered to be supervisory employees for pur-
poses of the Public Employment Labor Relations
Act.
5. Right to Strike. The existing classification
of essential employees should be eliminated and all
employees organized under PELRA given the right
to strike. Within the limited right to strike, the
public employer would have the option of either
requesting arbitration within a specific time or
allowing employees to legally strike.
6. Arbitration. Issue by issue final .best offer
interest arbitration should be the method. for
resolving all disputes which go to interest arbitra-
tion.
PPLR -2. Day. Labor Restrictions (A)
Any requirement that cities must solicit sealed
bids for improvement projects now done by city
employees will seriously affect the ability of
cities to perform these projects in a cost effective
manner for their taxpayers.
Due to good administration, cities have limited
the size of their public works staff to.a number of
persons which is balanced to handle the year -round
Work load in an efficient and cost effective way.
Cities' public works organizations have evolved,
over a period of time, into multi - disciplined crews
performing many different services. During
summer months a given crew may be responsible
for street patching, seal coating, street sweeping,
painting traffic stripes, installing traffic signs,
numerous park maintenance functions, and many
other projects. During winter months that same
crew will be responsible for snowplowing, sanding
aid salting, tree trimming, sign repairs and replace -
ment among numerous other jobs. Street depart-
ment crews are used to assist utility department
crews and visa - versa.
With a permanent, well- managed staff it is
easier to tailor the service levels to the communi-
ty's needs and to assure responsiveness to citizen's
requests for service than it would be on a contract
basis. Also, a permanent city staff is much more
likely to provide a consistent level of service than a
series of contractors will provide. Consistency in
-5-
the level of service is a very important factor in
providing routine municipal services.
Because cities are able to offer year -round
employment, the hourly wage rates paid are
substantially lower than those paid by contractors.
Contractors always have the ability tc, bid on
other projects. City crews don't have this advan-
tage. If city crews, operating on a year -round
basis, can now perform 9 out of 10 services more
economically, but are required to place the 10th
service under contract, that might well result in
unbalancing the work load so that the city crews
can no longer do the first 9 services as efficiently as
before. Consequently, the total costs of all 10
services would be higher.
During times of a slow economy, contractors
will be interested in providing service with a small
profit margin so they can keep their crews and
equipment busy. Some may even bid below cost in
order to cover some of their on -going overhead
costs. The opposite, of course, may occur during
periods of rapid economic growth. Contractors
may no longer be interested in taking on contracts
that require major capital investment unless they
can see long -term payoffs. Unfortunately, in the
meantime, the city may have been forced under
the proposed requirement to solicit bids, to dis-
band its crews.
There are areas within the State where it would
not be possible to get truly competitive bids for
many of the municipal services. The cost of
preparing specifications for bids on these types of
improvement projects would certainly reduce any
potential cost savings by using private enterprise
in smaller projects which are normally done
without detailed engineering planning. Thus, while
cities should be encouraged to contract for the
doing of improvements with the private sector,
further restrictions on the use of day labor by
cities for the doing of public improvements should
not be enacted.
PPLR -3. Workers' Compensation (A)
Statutory Requirements for workers' com-
pensation coverage by city licensees.
1. Since many businesses operate without licenses .
from cities and since cities vary as to the types of
businesses required to obtain city licenses, any
attempt to assure provision of workers' compensa-
tion coverage through the local licensing process
could only partially reach problem ` businesses.
Moreover, enforcement at the local level is onerous
and may be expensive and cannot provide an
effective, efficient, or convenient means of assuring
workers of the protections of workers' compensa-
tion'. The law which mandates that cities withhold
business licenses, except -where proper workers'.
compensation coverage is provided, should be
repealed. It is also impractical to mandate city
supervision of workers' compensation coverage for
every city supplier, since many small purchases
may be involved. Therefore, contracts for pur-
chases of supplies should also be excluded by
amendment.
2. Existing workers' compensation statutes create
a presumption that heart and lung ailments of
police and fire personnel arise from employment.
Improved equipment and methods of fire fighting
and law' enforcement and increased statistical data
as to personal risk factors affirm that presumption
no longer reflects reality or serves a public purpose.
Thus, the presumption should be eliminated.
PPLR -4. PERA Benefits, Financing and
Administration (A)
The adoption in 1973 of the "high five year"
benefit formula for PERA has provided very
adequate pension benefits for career municipal
employees.. There are a number of related policy
issues, however, which have not been dealt with in
the law. Therefore, the League strongly urges the
legislature to adopt the following policies in the
form of amendments to the PERA law:
1. Any increases in PERA.. benefits should be
granted only to the. extent that proposed contribu-
tions and current reserves are sufficient to fully
fund the increases in the opinion of one or more
recognized pension 'actuaries who are independent
of the PERA Organization. Any increases in PERA
general fund benefits enacted subsequent to
1973; including any resulting deficits, should be
financed by matching contributions, shared equally
by employees and public employers, over a period
not to exceed 30 years. Any increases in benefits
under the PERA Police and Fire Fund, including
any resulting deficits, should be financed 50
percent by employers and 50 percent by em-
ployees, over the same amortization period. Any
benefit increase or contribution reductions per-
mitted by excess reserves or excessive current
contributions or combinations of the two should
be of such amounts as to benefit the employer and
employee equally as a percentage of overall em-
ployee salary.
M
2. Since the equal, matching employee and em-
ployer contributions to the Coordinated Plan
within PERA are sufficient to finance the present
benefits and liquidate the existing deficit in less
than 30 years. The employer's additional con=
tributions should be abolished. All of the em-
ployer's additional contributions should be specifi-
cally and exclusively earmarked for the reduction
of the actuarial deficit in the PERA Basic Plan and
not for benefit improvement.
3. If any increase in..benefits is enacted for PERA
retirees, the resulting cost should not be paid from
the PERA Fund, but rather should be financed by
a direct appropriation from the State General
Fund.
4. The actuarial assumptions concerning the rate
of investment earnings and of salary increases
should be a conservative reflection of actual
experience. The present assumptions concerning
the rate of investment earnings and salary increases
are outdated. We urge the legislature to examine
these assumptions and to determine a means of
more accurately reflecting the actual experience
during recent years. .
5. The League supports the continuation of the
Minnesota Post Retirement Investment Fund as a
means of providing post- retirement increases in the
pension benefits of retirees under the state -wide
pension funds. The League supports state funding
of fund deficits from general funds or amortization
of the deficits by crediting a reasonable portion of
excess earnings over statutory assumptions to retire
deficits and payment of the remainder of excess
earnings to retirees as a cost of living adjustment
without establishment of any guaranteed adjust-
ment. In the event the legislature determines that
some mechanism other than the Post Retirement
Investment Fund is more appropriate for providing
retiree ' inflation protection, or that the Post
Retirement Investment Fund should provide a
guaranteed inflation adjustment,.the League urges
that: (1) no increases be made during the first
three years after retirement or until the Consumer
Price Index increases at least ten percent; (b) a
Specific limit be placed on the increase granted in
any one year; and (c) the cost of such increases,
including any resulting deficits, be financed from
the state general fund.
6. Since integration of pension fund administration
mechanisms may lead to combining the funds, the
League opposes any move to combine administra-
tion of the three state -wide pension programs.
7. The League supports in concept a change in the
means of providing pensions for new Minnesota
public employees from the present defined benefit
type' plans to a single defined contribution plan.
However, the League will oppose any such legisla-
tion which does not contain both:
a clear commitment by the state to fund any
deficit created in presently existing defined benefit
plans resulting from the termination of the entry
of new members.; and a
municipal contribution rate that is as low or
lower than employer contribution rates to existing
plans.
8. The PERA police and fire fund is now essential-
ly fully funded.. Furthermore, the employer
(taxpayers) through payment of more than 50
percent of contributions to this fund is creating a
surplus not needed for pension purposes. There-
fore, the legislature should amend the present
provision on disbursement of the two percent tax
on automobile casualty insurance to allow expen-
ditures by the recipient political subdivision of any
excess over the employer's share, of police retire-
ment costs for any police department purpose
instead of requiring payment to the PERA Police
and Fire Fund. When the PERA Police and Fire
Fund achieves full funding, employers' and em-
ployees' contributions should be reduced to an
amount sufficient to pay normal costs on an equal
share basis.
PPLR -5. Relief Association Member Lobbying (A)
Recent legislation grants local relief associations
unlimited powers to send police and fire officers
who are members of local relief associations, to
lobby and otherwise represent the interest of the
Association at city expense and at times deter-
mined by the association. These powers interfere
with traditional functions of governing bodies and
department heads and managers to schedule
duty, determine manning levels, and set budgets.
The League supports legislation which would
permit relief association paid lobbying to one
regularly assigned member to be released for the
purpose of lobbying. The lobbying costs would be
financed entirely from the general fund of each
association.
PPLR -6. Formal Civil Service Systems (A)
Constraints imposed by the police and fire
civil service laws tend to hinder the effectiveness
of personnel management and limit home rule
7-
charter options in cities with civil service com-
missions. Experience indicates that the .present
methods of modifying these systems have not
proved workable.
The League supports enactment of an optional
comprehensive municipal civil service act -for both
home rule charter and statutory cities, other than
cities of the first class, that provides for either
a personnel board or an advisory and appeals
commission.
If a city already has a personnel board, this
board would continue until superseded by an
advisory and appeals commission, rule of the
council, or terminated by majority vote of the
electorate. The council would be able to exclude
individuals, class position, or entire departments
from the civil service classification. Adoption of
the service would be by enacting ordinance, subject
to amendment by majority vote of the council.
The League recommends that the authority to
grade and classify positions or keep personnel
records be removed from the authority of the civil
service board of commission; that appointment or
promotion in the classified service be by a fair,
impartial process designed to test qualifications
and fitness for duties of a position; that dismissal
or suspension be for, just cause and be subject to
appropriate due process considerations.
When a city enters into an agreement under the
public employment labor relations act with' a group
of employees, the civil service law should no longer
apply to the employees covered by the agreement.
PPLR -7. Government Training Service
Funding (B)
The Government Training Service (GTS) has
been invaluable in maximizing training opportuni-
ties while minimizing training costs for local
government officials and staff over the past six
years. Both the need and the demand for services
are greater than ever during these times of tight
budgets. GTS continues to respond on behalf of
all local jurisdictions in Minnesota by developing
innovative low -cost alternatives and exploring
cost - effective delivery systems. The legislature
should continue its state financial support for GTS.
PPLR -8. State Board of Investment
Performance (B)
In order to test the concept of the advantage
of smaller funds and to give an additional yardstick
of the investment performance of the State Board
of Investment, an increasing portion of the present
and future SBI revenues should be placed with
outside investment management firms. Such
outside investments should not be limited to
specialized portfolios. such as real estate, but
should permit a: full range of investment by each
fund manager, to permit a valid comparison of
investment. performance.
PPLR 79. Unemployment Compensation (B)
In 1976, unemployment compensation laws
were substantially improved by the elimination of
eligibility for those individuals who voluntarily
quit or are dismissed, for cause.. However, requalk
fication is provided once the claimant has earned
four times the weekly benefit for which he would
otherwise be ' eligible. This requalification is too
low and should be substantially. increased.
In addition, the League believes that individuals
who .knowingly accept temporary employment of
specific. limited durations not exceeding one year
and whose employment is thus ended, should be
deemed to have voluntarily ended their employ -
ment' and thus should be disqualified for certain
benefits. The employers involved should not
be . saddled. with unemployment compensation
costs for individuals who accept and .perhaps even
plan for the termination.of such employment. The
League recommends that the law be appropriately
.amended. Also, students; temporarily employed as
interns, should not be eligible for unemployment
compensation. Finally, the statutes should be
amended to relieve part -time employers who
continue employment of an . individual from any
responsibility to contribute to unemployment
compensation due to termination from other
.employment.
PPLR =10. Veterans Preference (B)
An 1975, the legislature adopted a uniform
veterans' preference law for state and local govern-
ment which modified preference in employment
and promotion; in 1977, the legislature terminated
veterans' preference for persons who enter military
service after 1976. The League supports these
modifications and believes that these provisions
should not be amended further. Veterans should
continue to be protected against unjust dismissals,
but when a veteran's employment is terminated,
and he or she does not request a hearing within ten
days or when an impartial hearing body determines
that.the dismissal was for just cause, the law should
l�:i
not require that the veteran receive compensation
for any period when services were not actually
performed. Further, the law should make it clear
that the petition procedure is an alternative to
local administrative hearings.
PPLR -11. Volunteer Firefighters Double
Dipping (B)
Firefighters who serve in a supervisory fire-
fighter position and receive a salary in excess
of $20,000 per year for which they are expected to
respond beyond normal duty shifts are not volun-
teers. Neither are full time firefighters who on
off -duty emergency fire calls for the same em-
ployer receive time and one -half their. regular
wages and coverage in the PFRA Police and Fire
Fund for such emergency calls. Such non- volun-
teer firefighters who have a pension provided in the
PERA police and fire fund should not also be
eligible for participation in local volunteer relief
associations.
Such non - volunteers who have no pension vested
in, but are currently members of a local volunteer
fire relief association should be entitled to a
proportionate distribution of local relief associa-
tion assets to permit a role over into an indepen-
dent retirement account.
PPLR -12. Disability Retirement (B) ,
Rising costs of disability retirements pose a
threat to the financial soundness of most Minne-
sota public pension plans. The following changes
are needed to minimize the financial impact of
legitimate disabilities. Furthermore, abuses of
disability retirement provisions in public pension
plans have in the past caused serious waste of
human resources and of scarce public funds. In
view of the current laws forbidding discrimination
against handicapped persons who are not disabled
from gainful employment, the League recom-
mends:
1. Public retirement finds should not be charged
the costs resulting from disabling conditions that a
pre - employment history or physical demonstrates
existed on or prior to the date of public employ-
ment.
2. Needs to balance employment roles for minori-
ties and women in unfilled positions should not
override programs to transfer present employees
from jobs and departments for which they are
presently disabled to jobs and departments for
which they still qualify.
3. Statutes governing local public safety pension
plans should be amended to provide to the cities
with such plans, a substantial voice on the govern-
ing board of the plans. Further, a uniform statu-
tory procedure and method of determining percen-
tages of disability should be established to deter-
mine the percentage of presently provided disa-
bility payments which should be provided to
local public safety fund members with physical or
mental conditions which permanently disquality
them from public safety employment but which
does not disable them froin all other gainful
employment.
4. Public pension plans in which city employees
participate should be required to use a uniform
definition of disability which limits full or 100%
retirement to those whose medical conditions
disable them from engaging in any substantial
gainful activity over a substantial period. Un-
reasonable :,ervice limits tests should not be im-
posed and no employee should be required to have
more than five years of service under the applicable
plan in order to qualify for disability retirement.
Workers' compensation entitlements should be
deducted from any disability pensions. Disability
benefits from all sources other than privately
financed disability insurance, as well as a portion
of employment earnings, should be an off -set
against city disability pension payments to the
extent that these combined payments approach
after -tax salary for the former position.
PPLR -13. Employee Bonuses (C)
.To promote productivity and to obviate legal
questions about award dinners and other recogni-
tion activities, the statutes should . specifically
authorize cities to pay employee bonuses or awards
of up to $500 per employee in any year.
PPLR -14. Volunteer Ambulance Retirement
Systems (C)
Proposals to integrate ambulance and rescue
volunteers not part of local volunteer fire depart-
ments into the program for retirement for volun-
teer firefighters have met rejection from organiza-
tions of volunteer firefighters. Creation of another
system of local relief is not in the best interest of
the: state, its political subdivisions, or its taxpayers,
especially in view of recent federal tax legislation
which now, provides an efficient, simple and
inexpensive, means of providing retirement benefits
to ambulance and other volunteers. Therefore, the
League opposes any legislation authorizing creation
of volunteer ambulance relief associations.
x'21
PPLR -15. State Taxation of PERA
Contributions (C)
For several years, litigation has been pending
in federal courts to consider whether employee
contributions to PERA and similar public pension
systems should be subject to federal income tax
contribution during the year in which they are
contributed to the system, as opposed to the year
in which the employee actually receives the bene-
fit. To our knowledge, no similar litigation is
pending regarding the applicability of the state
income tax.
It may be argued that the individual employee
does not have the use of the contributions which
he makes to PERA in the year in which they are
contributed and therefore, the contributions
should not be subject to either state or federal
income taxation, but should be excluded from the
employee's gross income. Rather, it may be argued
that the contributions should not be taxed until
the benefits are actually received. This position
would be consistent with the way in which the
municipal contributions to the employees' pen-
sions are taxed.
Therefore, the League recommends that the
PERA and state income tax laws be amended as
follows:
Employee deductions to PERA and similar
employee pension systems should be deducted
from the employee's gross income and other
deferred compensation plans presently permitted
by law and not subjected to state income taxation
during the.year contributed to PERA.
PPLR -16. ' Temporary Military Service (C)
When an employee is temporarily absent because
of short -term military service, the'League proposes
that the public employer pay only the difference,
when the military pay is less than public pay.
Furthermore, pension and other rights should be
protected. This pay differential shall apply for a
period of fifteen calendar days.
When an employee is ordered to report for duty
for a period longer than 15 calendar days per year,
no additional seniority status, efficiency rating,
vacation, sick leave or other benefits shall accrue
during the period of active duty. Unless there
exists at the time of an order to report for duty, a
war or declared emergency, the employee shall not
be entitled to a leave of absence without pay and
the employee's public employment shall be con-
sidered terminated.
GOVERNMENT STRUCTURE
.GS -1. Mandates (A)
One of the most serious problems facing cities
is the growth in the number and cost of federal and
state- mandated programs, which substitute the
judgments of Congress and the State Legislature
for local budget priorities.
..Special bills to address this problem on an ad
hoc basis will not provide a permanent or state-
wide solution to 'these problems. The League
therefore supports legislation that would require
the state to adopt a policy of "deliberate restraint"
on its mandated programs, including a mandatory
fiscal note identifying local government costs on
any new mandated programs when they are intro-
duced in the Legislature and a statement of com-
pelling state -wide interest to accompany all state
mandates. Also, the legislature should repeal
obsolete, unnecessary, and unduly restrictive
mandatory laws and rules.
GS -2. Open Meetings (A)
City officials strongly support the basic premise
of the open meeting law - to assure the public's
right to be informed about the conduct of public
business. Experience with this law since 1974,
however, indicates clearly that there are areas
where the legislation should make it more specific
or should amend the law in the public interest.
First the law should specifically state that it
applies only to meetings where a quorum of the
body as its established committees is present,
clarifying the present . restrictive interpretation.
The League also believes that there. are certain
specific instances where the public interest would
be better served by permitting a local governing
body to meet in executive,or closed session. These
instances include certain discussion relating to
employees, and discussions regarding the purchase
of land fora public purpose, and discussions of
information protected under the Data Practices
Act.
GS -3. Uniform Information Practices (A)
Under existing state law, it is necessary that
the legislature continue to classify that city data,
the release of which would adversely affect the
public interest, the health,.. welfare, or reputation
of the data subject, or which would render un-
workable a program authorized by law. As an
alternative to this very specific method of classify-
ing individual elements of data, the League recom-
mends that the legislature adopt the approach
taken by the Uniform Practices Act, as developed
by the National Conference of Commissioners on
Uniform State Laws, and as modified to meet the
needs of cities in Minnesota. This approach will
result in less administrative burden on cities than
the existing law as well as provide more flexibility
in the release of information.
GS -4. Personal Bonds (A)
Existing law specifically . authorizes charter
cities to use a blanket bond to cover any employee
or officer who is required to be bonded. Since
there seems to be no obvious reason for treating
statutory and charter cities differently in this
respect, the League recommends that the statutory
city code be amended to clarify that statutory
cities as well as charter cities may use a blanket
bond to cover any officers or employees who are
required to be bonded.
GS -5. Adjusting Dollar Limits (A)
Inflation has had an effect upon cities beyond
a mere exertion of upward thrust on budgets and
expenditures. The legislature has quite consistent-
ly included within authorizing and enabling legisla-
tion, limitations expressed in dollars. These dollar
limitations become progressively more constricting
with advancing inflation. Therefore, the League
recommends that certain of the more important
and often used authorizing statutes containing
dollar limitations be modified by application of a
constant dollar index figure calculated from the
year of enactment, to the limitation set out in the
act. The modification should be made so that
when statutes relating to other statutes are modi-
fied, the dollar limitations are adjusted in a uni-
form manner.
GS-6. State Licensing of Contractors (B)
Many cities now license those contractors who
do business within their communities. This pro-
tects those citizens who use their services because
if there are complaints, they may be directed to a
local license bureau rather than to some state
agency. If a state system for licensing contractors
is established, this would eliminate any. local
control ' over contractors and may reduce the
number of small contractors who operate in only a
few communities. State -wide, uniform wages for
-10-
employees may also be imposed if a state licensing
system is established. If cities are required to
enforce state licensing requirements, costs and
liability may be created over which the city has
little control.
For these reasons, the League opposes any
system of state licensing of contractors.
GS =7. Tort Liability (B)
The Municipal Tort Liability Act was enacted to
protect the public treasury while giving the citizen
relief from the arbitrary, confusing, and adminis-
tratively expensive prior doctrine - of sovereign
immunity with its inconsistent and irrational
distinctions between governmental and proprietary
activities. The Act has served that purpose will in
the past. However, increasingly, the courts forget
or ignore the positive benefits secured to citizens
damaged by public servants as a result of enact-
ment of the comprehensive Act which includes
some limitations on liability and some qualifica-
tions of normal tort claims procedure. .
Recent court decisions increasingly eroded the
concept of a special act qualifying the tort liability
of local government. However, the special vulner-
ability of far -flung government operations to
debilitating tort suits continues to require exist-
ence of a tort claims act applicable to local govern-
ments or local governments and the state.
The League recommends that the Municipal
Tort Liability Act be continued and that in the
event that the legislature determines to make
further changes in the existing law, those changes
should only. be in the direction of making the local
government tort liability statute more similar to
thestate governmental tort liability law.
GS -8. Cable Television (B)
Many Minnesota cities receive cable TV service,
and under present state and federal law cities are
responsible for setting rates, establishing a fran-
chise and imposing franchise fees. The League
believes this law has allowed local communities to
provide input into an important community service
and. that it should not be modified to diminish
local control.
GS -9. State Audits and City Financial
Reporting Requirements (B)
There is a need to make sure that all annual
-11 -
city financial reports are complete, understandable,
and meet the state auditor's requirements. Under
the existing law the financial reports of cities
over 2500 must meet strict standards, incorporate
generally accepted accounting procedures and be
audited annually. The financial reports of cities
under 2500 now meet more flexible state auditor's .
standards but need not be audited except under
circumstances' provided in state law. Because
Minnesota has one of the most modern and riger-
ous systems of oversight of municipal finances, the
existing powers of the state auditor are adequate to
maintain the high degree of efficiency, propriety,
performance and accountability presently required
of cities. It is not necessary to give any new
powers concerning the auditing and financial
reports of cities to the state auditor; however, the
legislature may wish to clarify these powers as they
relate to cities and other units of local government.
The League would endorse only the following
clarifications of the power of the state auditor at
this time, however its Board of Directors. may
make recommendations on other issues as` they
arise.
1. The state auditor should not be given the power,
to audit each of the over four thousand units
of local government at least once every four
years. However, the auditor should continue to
exercise the already existing power to audit a
city upon receipt of a petition. The auditor's
authority to require the resubmission -of a
financial report when' his financial reporting
standards are not met, should be clarified if
necessary.
2. The present requirement of an audit of all
cities with a population over 2500 should not
be applied to smaller cities, . Likewise, the
State Auditor should not be-given the authority
to require cities under 2500. to follow more
rigerous accounting requirements than presently
exist.
3. Review of a portion of the financial reports
submitted by cities should be done annually by
members of the accounting profession who
volunteer their time for this peer review. The
State Auditor's staff should not be enlarged to
perform this function unless a peer review
system is tried first and found to be unsuccess-
fu 1.
4. The State Auditor has the power to establish
uniform standards for the selection by cities
of audit organizations and these standards
should be developed, along with a uniform city
contract for city audits. A completed contract
could be required before an annual audited
financial report could be accepted.
5. Any new state auditor's standards for financial
reporting and auditing should not include
standards for financial management. Instead,
the State Auditor and the Government Training
Service should develop a series of financial
management training sessions for cities of all
sizes.
GS -10. Publication of Small Cities'
Financial Statements (B)
Large cities are permitted to publish summaries
of their annual financial reports. Small cities,
under 2500 population, should also be permitted
to do this.
GS -11. Uniform Local Government
Election Day (B)
Minnesota has encouraged decision - making at
the local level of government by providing flexi-
bility in approaches to the diverse needs of cities.
Under the Constitution, any city may adopt a
home rule charter which, except for matters of
overriding state interest, removes that city from
legislative control. The statutory city code pro-
vides optional forms of government for all other
cities to take into account individual differences.
The dates of city elections are set at any time by a
home rule charge city or in November in odd or
even years for statutory cities. The League strong-
ly believes that decisions affecting only local units
of government should be made at the local level
unless an overriding state interest can be demon-
strated. For this reason, the League remains
opposed in principle to any uniform local govern-
ment election day that precludes the present
options.
If the legislature determines that a uniform
local government election day is justifiable, the
following features should be considered.
1. Home rule charter cities should retain the
option of setting their own election date.
2. A municipal primary election should be optional
as it is presently.
3. All direct costs of state - mandated changes and
-12-
additions to present city election duties should
be paid by the state.
GS -12. Election Day Registration (B)
The principal purpose of the Minnesota system
of election day registration is to improve and
increase eligible voter access to voting. Unfor-
tunately, the system has become more unworkable
especially in the larger and faster growing cities,
where individuals are not using the nre- election day
registration and where there are a growing number
of multiple registrations adding to the costs of
elections and to the frustrations of the voters.
For these reasons, the League encourages registra-
tion to take place before election day. The follow-
ing steps, however, would improve the current
system.
1. Election day registration and voting should be
permitted, but not mandated, to take place in
adjacent rooms.
2. Certain penalties for election day infractions
are so severe that they constitute a barrier to
effective enforcement of the law. The League
recommends that the laws be reviewed and
modified where necessary so that the laws can
be effectively enforced.
3. State law should be uniformly enforced through-
out the state.
4. Any future state - mandated election or registra-
tion programs should be accompanied by
sufficient state funds to pay local costs on a
continuing basis.
5. A person other than an election official vouch-
ing for others should be limited to five other
persons other than immediate family.
6. A person's month, day, and year of birth should
be required on a registration card to assist in
the identification process, especially with the
advent of electronic voter registration systems.
7. The Secretary of State should be encouraged to
promote pre - election day registration through
the media and all other available means.
GS -13. Campaign Financing and Disclosure (B)
Campaigns and elections to local office are the
most important single contact between voters and
representative local government. On the whole,
the general public has more confidence in the
election process at the city level because the
candidates are usually well known (especially in
smaller cities) and campaign activities are more
visible than at other levels of government. More-
over, city candidates running for offices which are,
for the most part, low paid, part -time, and non-
partisan, are generally motivated by a sense of civic
responsibility.
The League perceives no need for new laws in
the area of local campaigns, although it could
support legislation , which would simplify the
election process or would encourage rather than
discourage qualified candidates for local office.
The League supports the following:
1. Extending income tax credits for contributions
to city election campaigns;
2. Giving cities over 20,000 the authority to
enact campaign disclosure ordinances for organi-
zations and individuals. Requiring reports in
cities over 20,000 of each contribution as
required in state statutes in other election
contests.
3. Eliminating any distinction between types of
campaign committees in cities over 20,000.
The League opposes the following:
1. A state - mandated requirement of candidates for
city office to file statements of economic
interest because it is most likely to discourage
many qualified candidates from seeking or
continuing in office.
2. Campaign contribution limits or reporting
requirements in cities with less than 20,000
population. These are made unnecessary be-
cause of conflict of interest rules governing the
actions of elected officials in all cities.
GS -14. Validating Absentee Ballots (B)
Current law requires at least two election
judges to initial each absentee ballot before it is
deposited in the ballot box. In the interest of
speeding up the counting on election day, while
still providing that only valid absentee ballots are
cast, the League supports having the county
auditor or municipal clerk affix the official seal to
ballots at the time of their delivery to the voters.
-13-
GS -15. Voting Equipment (C)
The League supports present law which allows a
city the option of selecting which state - approved
equipment it determines will best suit its needs,
based on local factors, and opposes any state -
mandated system of voting equipment. - The
League also supports amending state law to allow
use of punched cards for absentee ballots.
GS -16. Precinct Boundary Changes (C)
Experience with the need for reapportioning
city wards and county commissioner districts after
the 1980 census has shown that there are some
barriers in the present law to achieving a desirable
coordinated result. The problem arises because:
1. Current law requires counties to redistrict the,
commissioner districts within 180 days after
receiving final census figures from the Secretary
of State.
2. Cities, with some exceptions, are not permitted
by law to change precinct boundaries during a
five -year period ending January 1, in a year
endingin two.
3. In redistricting, counties must follow city
ward and precinct lines, but these are the old
boundaries which, in many cases, will need to
be changed before the 1992 elections.
-On the basis of these factors, the League re-
commends that the law relating to county re-
districting be changed to require reapportionment
within 60 days of the completion of legislative
redistricting and 120 days before the September
state primary election date, in even - numbered
years.
GS -17. Collateral for Depositories (C)
Depositories now are required to collateralize
the deposits of local government in the amount of
110 %. Local depositories now "serve as a valuable
market for bond issues of local school districts,
counties, and cities. If the amount of collateral
required is reduced, this market will also be re-
duced, making it more difficult to sell municipal
bonds. Also, if the collateral is purchased by a
state agency on behalf of all depositories, the
existing cooperative arrangement between local
depositories and local governments. will be de-
stroyed and local governments may deposit their
funds in larger depositories located outside of the
community. Therefore, the League recommends
that the legislature keeps the collateral require-
ments for depositories at their present levels
and .opposes any reduction, 'and also opposes the
purchase of collateral by any agency other than a
depository.
GS48. Purchasing and ,Contracting Issues (C)
1. The._ League does not believe that an extensive
and comprehensive revision of the laws regulat-
ing cities' .purchasing and contracting, such as
would result from adoption.of the American Bar
Association's Model Procurement Code, is
needed at this time. Amendments to existing
law should be made only to address specific,
demonstrated problems with the bidding and
purchasing process. Any amendments should
recognize the differences which exist among
Jurisdictions of different types and sizes, and
should avoid requiring unnecessarily complex
procedures for purchasing and contracting.
2. Some cities have found it difficult or impossible
to, get bids for materials which, are in short
=supply, notably fuels. Since this problem is
likely to worsen in the future, a mechanism
should be created for making these purchases
when competitive bidding has failed.
3. Problems arise .in attempting to purchase certain
.types of items through competitive bidding.
Two examples are 1) "high'technology" items
such . as electronic data processing equipment,
where it is difficult or impossible to draw precise
specifications which allow true competition; and
2) employee health insurance, where it is im-
possible to precisely compare the respective cost
of insured and self- insured plans. A more
flexible "competitive proposal" mechanism
should be strictly limited as to the types of
purchases to which' it would apply, and should
preserve the elements of open, impartial com-
petition which is the intent of competitive
bidding.
4. The requirement of accepting the .lowest res-
ponsible bid should be modified to permit
acceptance of either of the two lowest res-
ponsible bids or of any bid within 5% of the
lowest responsible bid over $100,000 and 10%
of the lowest responsible bid under $100,0.00;
provided that if a government body accepts
other than the lowest responsible bid, it shall
state its reasons for doing so. Acceptable
-14-
reasons include choosing a local contractor
over an out -of- the -area contractor and dif-
ferences in the bid due to -the imposition on
local contractors of local sales taxes or fees.
5: The purchasing authority of city managers in
Plan B cities should be increased from $1,000
to correspond to the figures in the Uniform
Municipal Purchasing Act.
G5 -19. Home Rule (C)
Minnesota's constitutional home rule .policy, .
while permitting home rule charter in some cir-
cumstances to depart from the provisions of
statutes that would otherwise be applicable, has
made charters subject to the provisions of state
laws when they express a policy intended to
override , local charters. In implementing that
policy, the legislature has often by a general law
authorized one or more classes of home rule
charter cities to meet new problems for which
existing charters listing city power in specific detail
provided inadequate authority. . It has also, by
general law and increasingly by special law, re-
moved charter restrictions or imposed restrictions
where the local charter had none. Following the
adoption of the 1958 local government amend-
ment to the Minnesota Constitution, the legislature.
has, on League recommendation, made it easier for.
cities to adopt and amend charters and thus better .
able to meet local legislative needs at home.
In an effort to provide for more consistent
policy on the relationship between state law and
local charters, the League recommends to its own
member cities as well as the legislature the follow-
ing guidelines on meeting legislative needs of
home rule charter cities:
1. Every general law applying to - cities should
state specifically whether or not it applies to
home rule as well as to statutory cities.
2. When a uniform state policy is not required, a
law applying to home rule charter cities,
whether applicable with or without local action,
should authorize an affected city to supersede
the law or any provision in it by charter.action
on the same subject.
GS -20. Improved City Code (C)
Municipal laws have been enacted in a piece-
meal fashion over the years, often to meet. a
special need to a particular class of cities with
little regard to the desirability of applying the
law to other cities or meeting broader needs as
well. As a result of this gradual accretion of
miscellaneous statutes, the enactment of a city
code and the repeal of many obsolete laws pro-
vided a more rational and uniform set of laws-for
Minnesota cities.
To continue this ongoing project of developing
a more rational statutory code for cities and to
provide more uniform statutory patterns for
related municipal laws, the League staff, in co-
operation with the legislative research agencies and
other interested groups, will prepare legislation
revising and making into a consistent whole with as
broad applicability as possible and without con-
troversial changes, the various statutes relating to
certain subject areas most in need of such revision,
including the laws on city depositories, city sup-
port for music and bands, municipal advertising
expenditures, local boards of health, and use of
liquor store funds and municipal utility establish-
ment and operations. When any revisions have
been approved by the League Board of Directors,
they become part of the League legislative pro-
gram.
A study of existing laws indicates that almost
without exception laws confined to cities of the
second, third, or fourth class might more ap-
propriately have been broadened when adopted so
as to apply to all three classes. The League,
therefore, recommends to the legislature that the
practice of confining legislation to any such class
be. discontinued and that, except where very
special circumstances require use of some more
limiting criterion, future laws intended for cities
other than first class cities be drawn to apply to all
such cities.
REVENUE SOURCES
RS -1. Levy Limits (A)
FIRST PRIORITY
8% Levy Limit Law Should be Repealed
Four actions of the 1981 legislature com-
pounded the problems caused for cities by levy
limits. The specific actions which took effect in
1982 are: 1) expanding the law to apply to all
cities in the state; 2) altering the base to which the
8% annual allowable increase applies; 3) eliminat-
ing or restricting some previously allowed special
levies; and 4) prohibiting cities from exercising the
option of increasing their levies to compensate for
cuts in state aid payments. These changes have
added unnecessary complications to city budgeting
processes and have caused serious budget problems
in many cities.
Furthermore, the levy limit law ultimately
works against the interests of local. taxpayers
because it creates an incentive for cities to levy
the maximum allowed and to use as many special
levies as possible. For example, the arbitrary
decision in 1981 to create a new levy limit base
effectively penalized those cities that were success-
ful in holding down their property tax levies
in 1981. Because of several similar instances in
the recent past it has become clear to local officials
that cities which choose to levy less than the
maximum allowed in a given year risk being later
tied to unrealistic or artificial new limits for
future budget years.
The League of Minnesota Cities has consistently
opposed levy limit laws because they apply uni-
form state -wide restrictions to cities and are too
inflexible. Given a high rate of inflation, un-
certainties in state and federal financial aids
and the diverse problems and circumstances faced
by cities throughout the state, uniform limits are
impractical. Such laws are inconsistent with
principles of local self - government and account-
ability. The current 8% levy limit law does not
recognize changing local conditions with respect
to expenditure needs or revenue sources. . For
example, no allowance is made for cutbacks in
payments such as local government aid, homestead
credit reimbursements or federal revenue sharing.
The League remains strongly opposed in principle
to levy limits and recommends that the Minnesota
Legislature repeal the 8% levy limit law.
SECOND PRIORITY - ALTERNATIVE TO
REPEAL OF LEVY LIMIT LAW - MODIFY
CURRENT LAW
Realistic Levy Base
Under the current law the allowable 8% levy
increase is applied only to the actual general levy
of the preceding year. Before 1981, the percentage
increase applied to a broader base including,the
general levy plus the local government aid payment
for the previous year. In this way the Levy limit
system recognized the state -local partnership. If
aid payments increased, the allowable general levy
decreased accordingly. If aid payments decreased,
the city had the option of filling the gap with
-15-
local property tax dollars. In addition, the pre -
1981 law allowed the base to grow even if the
maximum levy was not made. The current law
creates an incentive to levy the maximum amount
each year whether it is needed or not.
Various state payments to cities, including
local government aid. and other programs, have
been decreasing. Federal revenue sharing funds
have not been increased since 1976, and many
cities' individual shares have decreased. Revenues
from fees and service have in many cases been
maximized. Revenues from other sources such as
municipal liquor stores often have not been keep-
ing pace with revenue needs.
For most cities an allowable increase of 8% of
the previous year's general levy will not begin to
make up for the lack of growth in non- property
tax revenues. This is especially true.in cities that
have traditionally not relied . on property tax
revenues to. a great ;extent. In these cities, the
general levy base is likely to be disproportionately
small.
. Therefore the League of Minnesota Cities urges
the Legislature to 1) create a new levy base for
each city which uses the 1981 levy limit base,-as it
would have been under the pre -1981 levy limit law,
as a starting'. figure, for new base calculations; 2)
include at least "the general, ad valorem levy and
local government aid in the base so that the allow-
able levy limit will reflect decreases or increases in
local government aid; 3) provide that the base
increase annually at the established rate without
forcing. local units to levy the maximum to receive
maximum .base increases; and 4) recognize the
overall revenue needs.of a city in establishing a
levy limit base..
Increases in the Levy Limit Base
1..Levy Limit Index
The present 8 % annual levy limit increase is
unrealistic even if the base is expanded to include
other factors. A set percentage does not take into
account increasing labor or material costs or local
service demands. Wages, which account for 60 to
70 percent of most city budgets, are controlled by
factors such as cost of living indices or outside
arbitrators that do not consider overall city re-
venue raising capabilities.
2. Population and Household Growth
The levy limitation law has traditionally recog-
nized that cities grow and that the general annual
levy increase cannot alone provide sufficient
funds to provide services for increased demand.du.e
to growth. Population was first used as a growth
factor but due to dwindling household size this did
not recognize increasing numbers of dwelling units,
street miles, and. other property related. growth
needs. Many cities with decreasing populations
actually experienced growth in areas demanding
service. The 1981 legislature changed the growth
factor to homesteads which to some degree solved,_
the decreased household size problem. However,'
because of economic and housing problems, many
cities are experiencing stable or decreasing home-
stead growth while rental housing is increasing
rapidly, thus causing increased service needs not
allowed for .in the levy limit law. Therefore, The
League of Minnesota Cities recommends that the
levy limit growth factor be changed so that the
base increases in direct proportion to both-popula-
tion and household growth:
3. Commercial /Industrial Growth
The current levy .limit law recognizes that
increased houses and people require .increased
revenues to provide services. The law also recog-
nizes that new commercial /industrial expansion
causes new city costs and therefore, provides a
special levy for three years equal to the, amount of
revenue raised by applying the general mill levy to,
the increased value. At one time -a portion of the
special levy would be added to the levy lirnit base
when the special levy expired to provide funds for
ongoing service needs. This provision was in-
advertently dropped in 1981. Without this growth
factor, services for new commercial and industrial
property must be provided from existing revenue,
thus reducing service to the remainder of the
community. Without additional revenue to .pro-
vide this service and considering metropolitan fiscal
disparities, a very real . disincentive exists for
allowing any type of new or expanded commercial/
industrial growth.
-16-
The League of Minnesota Cities. recommends
that the legislature provide a levy base increase for
new and expanded commercial and industrial
growth so that service may be provided without
decreasing service to the existing residents of the
city.
4. Federal Revenue Sharing
Since 1972 Minnesota cities have become more
dependent on federal revenue sharing. If federal
revenue sharing is either discontinued or reduced,
currently there is no alternative method to raise
revenue to replace the loss.
The League of Minnesota Cities therefore
recommends that the Legislature enact a provision
in the levy limit law to provide a levy limit base
increase to replace any funds lost through reduc-
tion or discontinuance of federal revenue sharing
to cities.
Special Levies
Special levies are an important part of any
levy limit law, because they allow some flexibility
based on special needs and circumstances that may
affect individual cities. Therefore, the League
supports maintaining all of the special levies that
are currently allowed and, in addition, recom-
mends that the following special levies also be
included in any new levy limit law.
1. Elections
The Legislature should allow for a special levy
so that a city may recover local costs of holding
elections. Cities have had a particularly difficult
problems keeping up with rising election costs due
mostly to new state - mandated requirements.
2. Mandated Programs
The cost of local government is being influenced
more and more by state and federally mandated
programs and increased mandated benefits or
cost for in -place programs. Some of the costs
which bear no relationship to any allowed percent-
age levy limit increases are: workers' compensation
benefits; binding arbitration; federal social securi-
ty; minimum wage laws; comprehensive planning
and OSHA requirements. Therefore the League
recommends that the Legislature reinstate the
special levy for new and increased program costs
mandated by state law.
3. Natural Disasters and Lawful Orders
The Legislature should reinstate the special
levies allowing for expenditures of funds as a
result of natural disasters and lawful orders. A
city cannot really plan for either of these events
and has no control over them. Neither of these
special levies would be used often, but would be
extremely important to those cities needing to use
them.
4. Energy Conservation
The League recommends that the Legislature
enact a special levy to pay for costs incurred by
cities for energy improvements, including capital
expenditures. Voluntary energy conservation
improvements as well as required expenses should
be allowed to be funded out of this special levy.
-17-
5. Decreased Non -Tax Revenues
The 1981 legislature eliminated the Decreased
Non Tax Revenue special levy by adding the 1981
actual levy to the levy base. The primary purpose
of this special levy was to provide a method on an
annual basis to recapture revenue decreases in
principally municipal liquor store operations using
the current year as a comparison to 1971 revenues
modified by inflation. When the Levy Limit law
was initiated in 1971, it did not consider that a
major share of some cities' general budget revenue
was derived from the liquor store revenue. Since
1971 these revenues or profits have remained
constant or in many cases actually declined, thus
causing severe problems because levy increases
were only based on actual 1971 property tax levy.
The decreased non -tax revenue special levy was
initiated in 1973 and modified in 1980 to remedy
this problem.
The League of Minnesota Cities recommends
that the legislature re- instate the decreased non -tax
revenue special levy so that the levy limit law
allows for decreasing revenues from. municipal
enterprises such as liquor stores.
Adjustments to Levy Limit Base
1. Reverse Referendum
The League of Minnesota Cities recommends
that the legislature enact a provision whereby a
city would be allowed to exceed its levy limit in
any given year by no more than 10 %, subject to a
reverse referendum. Significant notice and public
hearing procedures should be included. Such a
process would provide a measure of flexibility for
cities needing base increases.
2. Board of Review
A process similar to the Board of Review pro-
cedure in M.S. 1980 275.52 Subd. 4 should be
returned to the levy limit law. In this way allow-
ance could be made by the state for special circum-
stances on a case -by -case basis.
3. Annexed Property
A city's levy limit base should be increased to
reflect the increased cost_of municipal services as
a result of an annexation or consolidation ordered
by the Minnesota municipal boars'.
Size of City Covered by Levy Limits
It is especially difficult to justify imposing
levy limits on small cities, such as those under
2,500 population. First, the normal political
forces at work in smaller cities make levy limits
unnecessary. City officials are visible, accessible
and accountable. Second, the levy limit law, with
all its special levies, changes and exemptions,
requires cities with relatively simple budgets and
small staffs to engage in time - consuming, costly
and; unwarranted efforts to operate within the
complexities of the law. Third, the total levies of
cities under 2,500 constitute only about 11% of
the total levies by cities and about 2% of the total
property tax levy of all local governments. Al-
though most of the cities in the state (695 out of
855) are under 2,500, the overall property tax
burden imposed by those cities is slight. Finally,
those cities were exempt from levy limits 1975
through 1981 and it appears that there were no
significant problems or complaints due to un-
reasonable property tax increases.
RS -2. Adequate Funding for Local
Government Aid (A)
Local Government Aid (LGA) is cities' most
significant source of non- property tax revenue. It
is extremely important that LGA be reliable and
predictable and that it be adequately funded so
that cities can budget and plan sensibly and so that
property taxes do not 'increase unreasonably.
The experience with state aid delays and cut-
backs since 1980 has demonstrated that the
current local government aid system is neither
reliable, predictable, nor adequately funded. The
current system subjects cities to the dual un-
certainty of not knowing whether the state's
revenues will be adequate, and not knowing how
the legislature and governor will choose to allocate
funding cutbacks when revenues- do fall short.
Upder a system in which cities derive a sub-
stantial part of their revenues from state sources,
cities must expect that when state revenues fall
short of predictions, cities' state aid funding
will also decline. It is also reasonable for cities
to expect state funding for local government aid to
increase in proportion to increases in state re-
venues. To the contrary, the recent trend has
been for state payments to cities to be cut dis-
proportionately with respect to other payments to
local governments.
For these reasons, the League recommends that
the appropriation for local government aids be tied
directly to either a specified share of the state
sales tax collections or a specified share of the
state general fund. The specific share should be
determined based on the appropriations level now
in the law for calendar year 1983.
In addition, these revenues should be distributed
to cities on a monthly basis, based on each month's
tax collection figures.
RS -3. Alternative Revenue Sources (A)
All indications are that past levels of financial
support for cities from both the state and federal
government are decreasing or at least not growing
as they have in the past. It is therefore especially
important that Minnesota cities have the ability to
raise revenues locally. The property tax, although
an important and valuable local revenue source,
should not have to bear the entire burden in
making up for state and federal cutbacks or in
meeting increased local expenditure needs.
Cities should have a variety of options for
obtaining revenues locally so that each city can
choose a mix of revenue sources that would be
most fair and productive in that community.
Therefore, the LMC recommends that- the
legislature expand the ability of cities to raise
revenues in the following ways:
1. Local option hotel, motel, admissions and
amusement taxes. M.S. 477A.016 prohibits cities
from enacting or increasing a local sales or income
tax. The statutes should be amended to allow
cities the option of imposing local hotel, motel,
admissions, or amusement taxes.
2. License Fees. Generally, the statutes granting
authority to issue licenses or permits do, not
specify maximum fees. Court decisions provide
ample limitations on cities' power to set license
fees in that revenues produced must be related to
the cost of issuing the license and regulating the
licensed business. However, the legislature has set
maximum fees for some licenses such as for off -sale
liquor, on -sale wine, bottle club, and Sunday
liquor.
-18-
The League of Minnesota Cities recommends
that the Legislature repeal all maximum fee pro-
visions and allow cities to decide locally the
appropriate fee to charge for such licenses.
RS4. Special Assessment Financing (A)
a) Interest rate which may be charged on special
assessments financed by bonds.
The 1982 Legislature changed.the law governing
the statutory interest ceiling for municipal bonds.
The new law, which provides for a floating month-
ly maximum interest rate, creates a problem
concerning the interest rate which a municipality
may charge on special assessments. The .interest
rate which may be charged is determined according
to the maximum rate allowed to be paid on muni-
cipal bonds for the month in which the resolution
authorizing the special. assessment is adopted. If a
city sells the assessment bonds in a later month.,
the' interest rate payable on the bonds may be
greater than that allowed to be charged for the
special assessment. The city would be left having
to absorb extra costs.
The League recommends that the law be
changed to ensure that a city may charge an
interest, rate on special assessments at least one
percentage point higher than the rate payable on
the bonds which finance the assessment.
b) Interest rate which may be charged on special
assessments financed internally by a city.
M.S. 429.061, Subd. 2 restricts to 8% the
interest rate a city may charge on internally
financed special assessments. The League recom-
mends that the allowable interest rate be increased
to more accurately reflect the cost to the city of
internally financing assessments.
RS -5. Local Government Aid Formula (A)
The 1979 Legislature is commended for passage
of the League local government aid formula which
removed many of the inequities of the .old aid
formula. However, the distribution of state- raised
revenue through the local government aid formula
should be increased in amounts sufficient to
compensate for increased local government costs.
Because of the continually changing factors
which impact on the formula and sensitivity of the
formula to these changes, the diverse needs of
cities, and the complexity of the formula itself, it
-19-
is important that there be continuous study and
monitoring of the formula. The League recom-
mends that the legislature appropriate funding for
this purpose.. It further recommends that the
League be included in this activity.
It shall be League policy that any changes in
the formula initiated by any city or group of cities
be made only through League process. This
process shall be:
1. Any initiative for change shall be. addressed
to either the Revenue Sources Committee or
the Board of Directors of the League of Minnesota
Cities.
2. If the Committee or Board believes a
change may be warranted, a technical.committee,
task force, or the Committee or Board may pursue
a study of the impact of the proposed change.
a. The committee selected must contain
a representative cross - section of League member
cities as determined by. the Board of Directors.
b. Within the technical study committee,
the membership shall include a finance officer
and other technically _ competent resource
people. This committee shall report to the
appointing body.
3. After the committee determination of
Policy change, the proposals shall be communi-
cated to the League membership prior to Board
action.
4. Board action shall constitute League
policy.
RS -6. Timing of Property.Tax.Payments (B)
1. Accelerated Property Tax Payments. Property
taxes are currently paid in two semi - annual pay-
ments, a system which often results in .cash flow
problems for cities. These problems have been
aggravated by the legislative changes of local
government aid payments to the second half of the
calendar year.
The Legislature should consider modifying the
property tax collection system so that taxes are
paid quarterly. Given current statutory dates for
local levy certifications and the practicalities of
county, property tax billing pro_ cedures, the first
payment date should be March 31 of each year.
2. Property Tax Distribution from County. Under
current law counties need not distribute property
tax collections to cities until 30 days after the
settlement date of property tax payments to the
county. The county does not pay interest on
collected but undistributed funds until 45 days
after the settlement date. After that time, the
county must pay interest, but only at 8 %.
All counties should be required to pay interest
on all monies not distributed by 15 days after
settlement. Further, the interest rate shall be one
based on a standard which provides a more reason-
able rate of return.
RS -7. Homestead Credit (B)
The homestead credit program was established
by the state to provide property tax relief for
homeowners. The law provides that the state will
pay.�58% of every homeowner's tax bill, up to a
maximum of $650.. When the property tax bills
are prepared in the fall, the amount that an in-
dividual taxpayer owes is decreased by the amount
of the applicable credit., The state is then supposed
to pay the credit to cities, counties, schools, towns
and other taxing jurisdictions in the year the taxes
are due (in six equal payments from July through
December). This "homestead credit reimburse-
ment payment" , is really a payment of property
taxes by the state.
The League recognizes the importance of
property tax relief for homeowners. However, the
League strongly recommends that the Legislature
change two major aspects of the homestead credit
program. First, .the. rate of increase in state ex-
penditures for the homestead credit program must
be more tightly 'controlled. Second, the system
must be changed so that no cutbacks are made in
reimbursement payments to cities.
RS -8. Railroad Taxation (C)
The existing system for taxation of railroad
property is not consistent with the taxation of
other commercial and industrial properties. The
League recommends that a new system of property
taxation be established which enables railroads
operating in Minnesota to be taxed consistent with
the taxation of other commercial and industrial
properties. This system should contain the follow-
ing features:
1. All railroad property should be assessed by the
assessor having jurisdiction as otherwise provided
by law.
2. All non - operating property should be taxed and
should include all property other than operating
land and operating structures as defined below.
Non - operating property should include real pro-
perty which is leased or rented or available' for
lease or rent to any person which is not a railroad
company. Vacant land should be presumed to be
available for lease or rent if it has not been used as
operating land for a period of one year preceding
the valuation date. Non - operating property should
also include land which is not necessary and
integral to the performance of railroad transporta-
tion services and which is not used on a. regular and
continual basis in the performance of these
services.
3. All operating land (defined to mean any land
which underlies the operating structures defined
below and rights -of -way adjacent thereto and
which is necessary to the integral performance of
railroad transportation services) should be taxed
and should be valued by taking into consideration
the value of adjacent lands and the zoning ap-
plicable to adjacent lands.
4. All operating structures (defined to mean all
structures owned or used by a railroad company in
the performance of railroad transportation services,
including without limitations, franchises, bridges,
trestles, tracks, shops, docks, wharves, buildings
and other related structures) should be valued by
the assessor by taking into consideration their
alternative use, consistent with the uses of adjacent
and comparable structures, if not used for railroad
purposes. All operating structures except railroad
bridges, trestles, tracks, docks and wharves, should
be taxable.
5. No taxing jurisdiction should lose revenue
because of the change from the existing unit value
system to the new local assessment system.
-20-
RS -9. Tax - Exempt Property (C)
One of the glaring inequities in the Minnesota
tax system involves local services that are provided
free to tax- exempt property owned or used by the
state, counties, school districts, regional govern-
mental bodies, and by certain non - governmental
organizations. It is widely acknowledged that such
property benefits directly from governmental
services such as police and fire protection and
street services provided by cities. Since there is
no legal basis, however, for claiming reimburse-
ment for the cost of such service, they are borne
by the local taxpayers. Furthermore, such pro-
perty is concentrated in certain cities, resulting in a
heavy cost burden upon those cities.
The League recommends that this problem be
corrected by legislation requiring state, county,
school districts, city and regional government
owners of tax exempt property to reimburse cities
for the cost of police, fire and street services.
The legislature should also consider reimburse-
ment to cities for services provided to all state
owned land and facilities, including state universi-
ties.
RS -10. Assessment Equalization (C)
The League favors improved property assess-
ment practices for numerous reasons. First,
county, school and special district levies overlap
various city taxing jurisdictions. If the sales ratio
of one city is lower than that of another city in,
say, a_ county, the residents of the high -sales ratio
city bear an unfair additional tax burden.
Second, various state formulas consider property
tax base valuation in distributing aid. Although
sales ratios are used as an equalizing factor, sales
ratios themselves are often flawed or inaccurate
because of the difficulty of computing ratios. For
example, the "market value" of property can
fluctuate widely depending on the type of financ-
ing available to a buyer.. Or there may not be
enough sales in a given class of property in an area
to accurately determine asales ratio.
. It is important to recognize that statistics
such as sales ratios and coefficients of dispersion
(which are calculated from sales ratios) are at best
general indicators. They are tools for helping
assessors and for insuring an equitable as possible
distribution of state aids. However, they should
not be used as precision measurements for penal-
ties or bonuses.
For these reasons, the League recommends the
following:
Coefficient of Dispersion Penalty
For the past several years the deadline for the
effective date of the statutory coefficient of
dispersion penalty has been extended (it is now
1983) due to major problems of administering the
law fairly. The League recommends that the
Legislature repeal the coefficient of,-dispersion
penalty provision. If the Legislature determines a
need exists, the Commissioner cf Revenue should
be required to order a reassessment of an area by
an independent assessor of indicators fall signli i-
-21 -
cantly below acceptable national standards. The
costs of such reassessment should be borne by
the responsible assessing jurisdiction.
Sales Ratio Equalization
The Legislature should require that all cities
have at least a 90% sales ratio. The sales• ratio
sample should be conducted or audited by the
state Department of Revenue, the Commissioner of
which would be required to make aggregate in-
creases in those cities below 90 %. All costs in-
curred by the commissioner shall be paid by the
assessing jurisdiction. The sales ratio sample
should be for a 12 -month period, beginning no
more than 18 months before the assessment date.
Due to inherent inaccuracies in data and calcula-
tions, the League opposes the sales ratio being used
as a basis for either penalties or bonuses in state aid
funds.
LAND USE, ENVIRONMENT, ENERGY
AND TRANSPORTATION
LUEE -1., Transportation (A)
An efficient transportation system is a vital
element in planning for the fiscal, economic and
social development 'at state, regional, and local
levels. Since the agricultural and recreational
economy of the state and its cities are dependent
upon highway transportation, it is necessary to
determine the long -range highway needs to assure
the vitality of the state's economy. Furthermore,
environmental concerns and the need to conserve
energy require that alternate modes of transporta-
tion be utilized in meeting the diverse needs which
exist in various communities and regions of the
state. In order to provide a more adequate state
governmental structure and funding mechanism
for transportation system planning and develop-
ment, the League recommends that the following
changes be made:
1. An adequate level of highway user funds should
be maintained so that highway maintenance and
reconstruction may be continued, and adequate
funds be available for the state -aid street pro-
gram. The Legislature should consider increas-
ing license fees and the gasoline tax to maintain
this fund. Efforts should be made to eliminate
any inequities in the motor vehicle license fee
schedules and other vehicle taxes.
2. The special state bonding program should be
continued to provide funds for counties, towns,
and municipalities for the replacement or
repair of bridges.
3. Funding for at least the existing level of opera-
tion for mass transit should be maintained
by the state. Available funds should be used
at: the city's option for capital or operating
expenses.
4. The legislature should continue the Minnesota
Department of Transportation as the rideshare
program coordinating agency and to provide
adequate funding for its continuation.
5. The League supports the continued dedication
of the sales tax on motor vehicle sales for
transportation purposes.
6. The possibility and feasibility of utilizing
existing railroad trackage as part of a fixed
guideway and /or light- rail mass transit system
should be addressed. If existing railroad track -
age /right -of -ways are petitioned for. abandon-
ment, these or portions thereof should be
preserved by appropriate government agencies
through alternate public use until rail systems
once again become economically feasible or
needed because of energy considerations.
7. The legislature should give_ cities more local
control over speed limits on highways, roads
- and streets within the cities.
LUEE -2. Solid and Hazardous Waste
Management (A)
The problem of solid and hazardous waste
disposal will be one, of the major environmental
issues of the next decade. Legislation addressing
this problem enacted in 1980 responded to the
following concerns of the League, and this legisla-
tion should not be amended to diminish the
emphasis on these concerns:
1. Planning for solid waste disposal. The agency
or agencies responsible for developing plans
for solid waste disposal should first identify
the types of solid waste involved and the sources
of the solid waste. The plan should give first
priority to alternative use of solid waste, includ-
ing generation of energy and recycling. Deter-
mination of the applicability of these alternative
types of disposal systems should be made prior
to the land -fill siting process. Local govern-
ments and school districts should establish an
educational program for citizens and students on
recycling. Site selection standards and criteria
should be developed prior to the siting process
and should be subject to exhaustive public
hearings and Chapter 15 Administrative Proce-
dures Act requirements.
2. Planning for hazardous waste disposal. A.
statewide plan for the disposal and regulation
of hazardous waste must be developed. Hazard-
ous waste must be defined and the sources
identified by type, volume, location, and genera-
tor. Those responsible for generation must be
involved in solving the disposal problem. Hazard-
ous waste generators must be encouraged to
modify production processes to reuse or recover
as much waste as possible and to use less hazard-
ous raw materials in their process. Hazardous
waste generators must be required to handle the
waste that are produced in such away that will
allow these wastes- to be identified, collected,
and recycled or to be disposed of in a technolo-
gical and environmentally sound manner.
Determination must be made of the types of
disposal facilities needed, how many, and the
general geographic locations prior to' the siting.
process. Site selection rules and criteria must be
adopted prior to the siting.process and must be
subject to Chapter 15 Administrative Procedures
Act requirements. The state as a whole should
be considered when selecting the site or sites for
resource recovery and /or disposal of hazardous
wastes. Incineration as a,means of disposal or as
a volume reduction technique should be given
serious consideration as part of the disposal
system. If landfilling of various types of hazard-
ous waste becomes necessary, prime considera-
tion should be given to geological acceptability
of various sites, fail /safe design of the facility,
safe operating standards, and adequate long -term
monitoring by the State during operation.
3. Participation in planning process. All the
levels of local governments, including cities,
together with private industry, must be encour-
aged to participate in the entire planning process
and also to provide solutions to the problems
where feasible. Resource recovery systems and
landfilling of solid wastes are appropriate roles
for local government. A process for regulating
the flow of solid waste must be available to
guarantee a source of waste for any recovery
facility. Because of the complexity of dealing
with hazardous wastes, a state agency should
have the primary responsibility for supervision
of hazardous wastes recycling and landfill
-22-
facilities. To the extent possible, hazardous
waste disposal solutions should be operated by
private industry.
4. Incentives. Because the sites for the disposal
of solid and hazardous waste will be located
within the geographic boundaries of political
subdivisions, incentives should be provided by
the state to both the host of facility, and the
Idcal governmental unit establishing and main -
tafining the facility. Specifically, consideration
should be given to payments in lieu of taxes to
the host community for the property removed
from the tax rolls as a result of the location of a
facility. The host community and the com-
munity operating or maintaining the facility
should be protected by the state from severe
liability problems. Grants should be made
available to communities operating innovative
landfills. A special levy must be established
outside of levy limitations to pay for the costs
of operating and maintaining a landfill, in order
t6-assure that adequate funds will be available to
implement environmental protection measures.
5. Clean -up of hazardous substance. locations.. The
legislature should establish a state fund to
finance long -term monitoring of disposal sys-
tems and sites, the clean -up of existing hazard-
ous substance locations and future spills of
trans- shipment of hazardous waste, and for
the design and implementation of projects
required to mitigate the impact of pollution
emanating from hazardous substance locations,
solid waste landfills, and wastewater sludge
disposal areas. The state fund could be financed
through amounts collected by the state through
the court system from disposers of hazardous
substances. Funds should be available from this
state fund . to reimburse cities for money ex-
pended to clean up hazardous substance loca-
tions and spills. Eligibility for reimbursement
should be on improvements or projects ordered
or begun after Jan. 1, 1980. Should a monitary
recovery be made by the city from the disposer,
the city would reimburse the state fund in the
same proportion as the state monies bear to the
total city cost.
Legislation clearly defining the liability of
disposers of hazardous substances should be
enacted. Liability should be retroactive only
to the date of any law prohibiting or regulating
the disposal of the particular type of hazardous
waste in question. As future hazardous sub-
stances are identified and their disposal regu-
1-1
lated, liability for their improper disposal should
begin as of that date. Innocent landowners of
existing hazardous substance locations should be
protected from liability but should be encour-
aged to clean up the hazardous substance
through financial incentives.
Municipal -liability for damages from improper
disposal of hazardous substances on public
property in other than a state permitted hazard-
ous waste disposal site, should be limited to the
amounts specified in the Municipal Tort Claims.
Act.
LUEE -3. Manufactured Housing (A)
In 1981, the Legislature changed the definition
of mobile homes to manufactured housing. In
1982, the Legislature appeared to require cities to
accommodate manufactured homes but to still
permit cities to regulate the location of ,manu-
factured housing within their boundaries. If the
legislation is interpreted to restrict the ability of
cities to regulate the location of manufactured
homes within districts within the city, this
authority should be given to cities.
LUEE -4. Agricultural Land Preservation (A)!,,
Public policies which encourage substantial
development in non -urban areas and which extend
public services beyond existing jurisdictions and
service areas are wasteful and'counter- productive.
Cities offer a variety of lifestyles that conserve
energy, and they are already centers of substantial
public and private investment. Because the prime
agricultural land of Minnesota is a major natural
and economic resource, a major objective of any
land use strategy should be the preservation of this
prime agricultural land.
-23 -
The state should establish a policy encouraging
the preservation of prime agricultural land which
discourages the development of such land outside
designated growth areas to�be served by a city and
encourages regional agencies and local governments
to adopt agricultural preservation policies, and
ordinances.
The legislature should consider extending the
metropolitan area agricultural preserves law state-
wide. The law should permit but not require
the formation of agricultural preserves by cities,
counties and towns which have comprehensive
plans and zoning ordinances. In areas adjacent to
cities, the city and the town and county, if the
town and county have zoning ordinances per-
mitting agricultural preserves, must all agree to the
inclusion of land in the agricultural preserve.
LUEE -5: Surface Water Management (A)
While recognizing the need for comprehensive
planning, the League believes that local units of
government should retain the basic responsibility
for surface water management as they are the level
of government closest to the problem. Also, any
legislation mandating surface water planning or
additional responsibilities on local units of govern-
ment must include funding to carry out the plan-
ning and new responsibilities.
Many. watershed districts, joint powers com-
missions, counties, cities and towns have done a
good job of dealing with surface water manage-
ment issues and have the authority and ability to
continue to do so in a cost effective manner..
These existing mechanisms should .continue to be
used to the greatest. extent, possible to address
surface water management problems instead of
establishing a new system or creating new organiza-
tions.
The 'following concerns should. be included in
any surface water management legislation:
1) ; The state should recognize that water is an
important natural resource. and should be
retained in the state to encourage industry,
agriculture and tourism.
2) More city input should occur in the water-
shed district board of managers selection
process and there should be more balanced
geographical representation on these
boards. Local elected officials should be
eligible to serve as 'watershed district
managers or board members. . ,
3) Incentives and encouragement should be
provided to cities to include surface water
management retention and detention
elements in existing comprehensive, plans.
4) Greater cooperation between local units of
government in dealing with surface .water
management problems should be encour-
aged.
5) The establishment of watershed districts or
joint powers commissions. should be
encouraged in watersheds .where needed.
6) The state should prepare surface water
management advisory standards, guidelines,
criteria, etc. to facilitate and enhance the
planning of subregional and local units of
government..
-24-
7) The permit process should be revised so
that permittees need only work through
local government.-
8) Additional mandates on local government
for surface water management planning or
implementation • activities are opposed
unless funded by: state raised revenues.
9) In any case, authorities exercised by local
government in dealing with surface water
management problems should not be
reduced or substantially modified, provided
that the local government is acting in good
faith to solve . the water management
problems.
10) Cities should be allowed to make a special
levy annually to be placed in a surface
water management fund. This money
would be used to eliminate high priority
surface water problems that have been
identified by the city council and city
engineer. After all storm sewers are in
place within the city' boundaries the annual
levy may continue for a replacement fund
as long as the reserves do not exceed an
amount established by the city.:
11) The legislature should provide clear
authority to cities to operate storm sewer
utilities and to impose user charges to
accumulate revenues to finance storm
sewer improvements.
LUEE -6.. Flexible Approach to Pollution
Control (B)
The present federal and state programs for the
abatement of pollution, problems tend to rely
heavily or exclusively upon; single solution ap-
proaches which are not necessarily appropriate or
economically feasible in very small communities.
As a result small cities may be required -to
install very costly central collection and treatment
systems without regard to cost /benefit considera-
tions or their ability to finance the continuing
operation of such systems, and larger cities are
discouraged from using alternative strategies where
they' might be appropriate. Consequently, the
League recommends that the pollution control
programs be modified to permit low interest loans
and grants and other alternatives to upgrade
alternative environmentally sound systems and to
finance other means of on -site or community
disposal of domestic and commercial waste in small
cities. The League encourages mandatory stan-
dards for individual on -site disposal systems.
LUEE -7. Eminent Domain Law (B)
The League believes the entire eminent domain
process should be critically reviewed and stream-
lined.. This examination should include a re-
evaluation of the advisability of making appraisals
public information; the advisability of an alterna-
tive system of review, for example a professional
referee, a hearing examiner, etc., using a pro-
fessional referee in lieu of three commissioners.to
establish the value of the land; the public purposes
for which the law may be used,.including its use to
encourage economic development; and the legality
and feasibility of collecting property. taxes, on
propserty for several years in instances where the
award is substantially in excess of the market value
of the property for tax purposes. The League
Board should establish a state -wide task force to
study eminent domain, its alternatives, and reloca-
tion practices and costs.
LUEE -8. Rezoning Requirements for Cities
of the First Class (B) -
i
The State Municipal Planning .Act contains
special requirements for rezoning in cities of the
firscclass which. do not apply to all other cities.
Land can only be rezoned with a consent petition
approved by two- thirds of. the property owners
within 100 feet of the property to be rezoned or
by a "40 -acre study." In effect, neighboring
property owners have more power over rezoning
thani elected city officials. The fact that cities of
the first class cannot initiate rezonings creates the
additional problem of not being able to comply
with. the requirements of the Metropolitan Land
Planning Act of 1.976.
The Municipal Planning Act should be revised to
make the requirements for rezoning in cities of the
first class consistent with the existing requirements
for rezonings in cities of the. second, third and
fourth class.
LUEE -9. Energy Conservation and Production (B)
Overall energy conservation strategies involving
the public, private, commercial and industrial
sectors are being developed by cities based on the
rationale that conservation efforts achieve the
greatest energy savings at the lowest cost. The
League believes that a city's individual energy
conservation strategy can be accomplished if
the legislature permits or establishes some of accomplished,
following measures:
Retrofit of Local Government Buildings. Local
governments and school districts operate nearly
8,000 buildings in Minnesota. Possible energy
savings in this sector range from 16 -67% of
current energy consumption by implementing
operation maintenance changes and capital
improvements programs. The league recom-
mends support of the use of special levies to
local governments for implementation of energy
conservation measures, including implementa-
tion of energy conservation. measures 'and
building energy audits.
2. District Heating. To. promote statewide ap-
plications of district heating technology, and to
allow communities to make most efficient
use of the State District Heating. Bond Program,
the League recommends the following:
-25-
a. The Legislature should provide additional
funds or the ability to special levy for
conducting district heating feasibility stud-
ies at the community level;
b. The Legislature should - permit cities to
make special property assessments for the
cost of connecting or converting to ;com-
munity district heating systems; and
C. The Legislature should strongly encourage
consideration of district heating potential
in the power plant siting process.
d. The Legislature should continue to allow
use of State District Heating Bond Program
for renovation, of existing district heating
systems. c
Repayment of state bond issues would
follow repayment of local obligations.
3. Low and Moderate Income Energy Assistance.
Rising energy costs will continue to place a
burden on the economic vitality of communities
in Minnesota. The League recommends: a)
Continuation of the fuel assistance program for
low- income households, with expanded services
to train recipients in energy conservation prac-
tices and with a'requirement of recipient parti-
cipation in weatherization programs if the
recipient is the owner; b) Support for weather -
ization programs operated through cities,
counties, and CAP Agencies; c) Continued
support for the MHFA loan and grant program
for home weatherization.
4. Conservation and Renewable Energy Financing.
Declining federal support for implementing
conservation and renewable resource projects
will place a significant burden'on local govern-
ment attempts to maintain vital services to their
residents and promote community development.
The League recommends that cities be: allowed
to .bond and to make a special levy for energy
conservation and renewable resource. projects.
5.' Local Regulatory Authority, Local governments
are in„ the best position to assess local needs
and regulate energy consumption within their
communities.' The League - recommends giving
any, municipality, the option , to adopt and
enforce an - energy code that may be more
stringent than the state building code for pur-
poses of energy conservation.
LUEE -10. Shade Tree Disease Control (B)
If the Legislature continues its commitment to
the Shade Tree Disease Control Program, grants
should include funds. for sanitation and refore-
station. Because the disease is still present and
spreading, whether or not state grants are available,
the Legislature should permit cities to use special
levies, special assessments, and other sources to
fund local.control.
LUEE -11. Initiative- Referendum for
Zoning Ordinance (C)
The Municipal Planning Act has been interpreted
to allow for initiative and referendum (I R) in
cities with charter provisions: allowing for I R.
There is evidence that this interpretation has
interfered with cities' efforts to ' achieve their
planning and development goals, particularly in the
housing field.
The League of Minnesota Cities supports an
amendment to the Municipal Planning Act to
provide that zoning ordinances and amendments
not be subject to city charter provisions on initia-
tive and referendum.
First, the statutory procedure on zoning ordi-
nances provides ample opportunity for.the partici-
pation of both the general public and individual
property owners in decisions relating to zoning
ordinances or the Municipal Comprehensive
Plan. It is inappropriate to, allow such a .long
deliberative process to be overturned by a relative-
ly few voters who may have narrow interests
in the issue.
-26-
Second, the clear intent of the existing planning
law is that zoning ordinances and amendments not
be subject to IR. Without a clear uniform statu-
tory procedure for the implementation of..munici-
pal planning, statutory and charter cities. will be
subject to different procedures and the act will not
be realized.
LUEE -12. Erosion and Sediment Control (C)
Cities presently have the legal authority to
adopt sedimentation and erosion types of land use
controls.. The League urges the Pollution Control
Agency to develop a model ordinance and guide-
lines to assist cities in using these types of land use
controls.
LUEE -13: Orderly Annexation (C).
1. To increase local government, cooperation in
orderly annexation proceedings, when the .city
and town jointly agree on the area to be con-
sidered for orderly annexation, and when
there is no objection by any other.city, county
or town, the Municipal Board should not be able
to modify the agreement and. may only accept
or reject it.
2. The parties to an orderly annexation agreement
should be permitted to agree to distribute the
land use responsibilities within the area, with
no review by the Municipal Board. Any county
land use authority in the area . should be. sus-
pended. .
LUEE -14. Minnesota Municipal Board (C)
Since its organization, the Minnesota Municipal
Board has strengthened municipal government by
providing a means for the orderly and intelligent
evaluation of proposed incorporations, consolida-
tions, and annexations throughout the state.
Recent additions and changes in the Board's
authority in annexation areas will encourage and
foster an assessment of the consequences for
governmental framework of certain kinds'. of
development and services in urbanizing fringe areas
around cities. The League commends the legisla-
ture for making this change and recommends that
no further changes be made in the annexation laws
until; the current system has been evaluated
through its application by the Municipal Board to
annexation situations.
The orderly procedure for the consolidation of
cities should be broadened to include the con-
solidation of entire townships within the city
consolidation process.
LUEE -15. Intergovernmental Strategies (C)
During the last several years, the Minnesota
Pollution Control Agency has taken several steps
which have markedly improved the working
relationship between its own staff and local govern-
ment officials. The decentralization of its staff in
regional offices, the increasing willingness to
provide technical assistance to local governments
and . the appointment of an advisory council
composed of local government officials, have
each, contributed to better communication and
cooperation. The League endorses these efforts
and `urges the Minnesota Pollution Control Agency
to continue to involve local officials in the mutual
effort to improve the effectiveness of our efforts
to preserve and improve our, environment, and
encourages all state agencies to do the same thing.
LUEE -16. Planning Grant Program (C)
The state matching grant program which pro-
vides funds to increase the. local planning capacity
of cities and counties was instrumental in encour-
aging many cities which otherwise might not be
involved in land use planning to implement land
use .,planning measures. However, because of the
possibility that new mandatory planning programs
may be instituted by the Legislature, the League
recommends that should these new planning
programs be mandated, that the Legislature parti-
cipate in the funding of these planning activities
and in the implementation of. these activities
through a grant program.
I
LUEE -17. Use of Funds from Subdivision
of Land (C)
Funds derived from the creation of new sub-
divisions of land in lieu of the dedication of
land for park purposes should be available for park
development in addition to park acquisition.
DEVELOPMENT STRATEGIES
DS -1. Community Development Principles (A)
Minnesota Cities are key partners in the com-
munity development process. They can. and. do
plan types and location of economic growth; build
or repair streets, sewers and other public improve-
ments; and finance construction or rehabilitation
of residential, commercial and industrial develop-
ment.
From the 60's through the early 80's an ever -
increasing number of cities have gained experience
and sophistication in the use of development tools
including industrial revenue bonds, tax increment
financing and housing (or mortgage revenue)
bonds. Various federal grant programs encouraged
cities to tap state and local resources to maximize
the impact of federal dollars. The state of Minne-
sota assisted cities' development efforts with' the
Star Cities and the Main Street Minnesota pro-
grams, Minnesota- Housing Finance Agency loan
programs and other activities. The Legislature
allowed cities to retain flexibility in using tools
for financing growth and rehabilitation and granted
new powers in such areas as financing rehabilita-
tion loans for small businesses.
The economic realities of the 1980's are likely
to require even more active participation by cities
in community development. Especially if the
federal government continues to reduce its assist-
ance to cities, it is important for cities to retain
maximum ability to encourage and leverage econo-
mic development and redevelopment.
The League opposes any changes in . state
statutes that would limit cities' current ability to
carry out a variety of community - development
activities. The League recommends that, any
legislative changes in cities' community develop-
ment powers or other actions which have an
impact on city development and redevelopment be
governed by the following principles:
-27-
Cities' ability to finance the maintenance of
its capital investments such as existing streets,
sewers and other public improvements should be
assured and protected.
2. Economic growth should be managed to maxi-
mize the cities' capital investment in existing
roads, bridges, sewers, water treatment plants,
etc.
3. The revitalization of cities and community
centers should be a priority in order to reverse
the trend of dispersion of population and
economic activity.
4. Any state statute relating to community
development should recognize and allow for the
great differences - between cities with respect
to their stage of growth and development,
demographics and types of economic activity
within and adjacent to their borders.
5. The preservation and conservation of agricul-
tural lands, wetlands, and scenic and recreational
land should be encouraged and promoted.
6. The state should work closely with cities 'and
the private sector. Local I objectives should be
a .priority ..which are built ' into economic
development and redevelopment process.
DS -2. Small Cities Community Development
Block Grants (A)
The state of Minnesota has chosen to exercise
its option to administer the Small Cities portion of
the Community Development Block Grant- (CDBG)
program in FYI 983. The state's handling of this
program, which is the major source of community
development resources for most Minnesota cities, is
of great concern to the League. Representatives of
the, Department of Energy, Planning and Develop-
ment (DEPD), cities, regional development com-
missions, the legislature and other interested
organizations met throughout 1982 to ,consider
policies and procedures for the new state -ad-
ministered program. In addition, a series of
informational meetings was` held around the.state
before the DEPD adopted administrative rules in
the fall of 1982.
The state program will not be greatly different
from the program as it was administered by HUD.
Program activities must continue to:
1) .Principally benefit low and moderate
income persons, or
2) Aid in the prevention or elimination.: of
slums and blight, or
3) Meet other community development needs
posing a serious . and immediate threat to the
community's health or welfare.
-28-
Although the League. continues to have many
concerns about the administration of the new
program, we believe the first grant cycle should be
completed before the Legislature should consider
intervention in the process.
If the Small Cities' CDBG program design does
become an issue in. the 1983 Legislature, the.
League strongly advocates the following approach:
1) Extensive hearings should be held on the
issue, with ample_ opportunity for the presentation_
of cities' positions.
2) The.CDBG program should be allowed to
remain basically what it has in the past: a source
of funding to encourage cities to "develop viable
communities by providing decent housing, and
suitable living environment and expanding econo
mic , opportunities, principally for .persons of- low
and moderate income."
3) Cities should retain as much. flexibility
as. possible in determining how to carry out any
one. of the three broad, objectives of the program
(listed above).
4) The Legislature should not attempt to deal
statutorily with complex, specific program criteria
that are best handled administratively.
DS -3. Special Assessments (A)
Recent court decisions concerning special
assessments have made it more .difficult for cities
to use special assessments to finance a- variety of
necessary activities. One particular problem area
relates to cities' financing of capital. costs.. and
annual operation, maintenance, or promotion
expenses connected with public .malls, plazas, or
courtyards, pedestrian skyways; underground,
pedestrian concourses, or public parking facilities.
The LMC supports legislation which would
create statutory authority• for cities to . collect
special service charges for the aforementioned
operation, maintenance, or promotion expenses
according to the value of the services received
rather than the increased value of the property.
The LMC also supports legislation which would
allow cities. to finance the aforementioned capital
costs and operation, maintenance,. or promotion
expenses by the creation of special taxing districts.
DS -4. Enterprise Zone and Industrial
Employment Property (B)
New 1982 state legislation set up criteria for
the 'creation of enterprise zones in "economic
hardship areas ". New powers were given to cities
in those zones which are over 2,500 (or over 4,000
if Ideated in an over 50,000 SMSA) to classify
certain types of property as "industrial employ-
ment property' , thus qualifying it for special
property 'tax abatements.
i
This population restriction ' eliminates the
great majority of cities in -the state from participa-
tion =in this program, which could be very meaning-
ful and helpful even in smaller communities.
The criteria in the law relating to whether an area
is economically distressed should be the deter-
mining factor in who may use this tool - not the
population of a city.
The League recommends that the Legislature
amend. the 1982 Enterprise Zone Bill to allow a
city' of any size population which meets the
statutory economic tests to qualify as an enterprise
zone.
DS -5. Tax - Exempt Status of Land Held
by Cities for Development (B)
In 1979, the Legislature changed the tax - exempt
status of land held by cities for later resale for
economic development purposes by limiting the
tax exemption to a maximum of three years.
The industrial and economic development
process may extend over a long period of time.
The,current three -year time limit discourages cities
from, being active in establishing and maintaining
local development corporations, from retaining as
much control 'as. possible over their economic
development and planning process, and from being
selective as to the type of development which may
locate in the city.
Therefore, the League of Minnesota Cities
supports legislation to eliminate the three -year
time limit on the tax - exempt status of land held by
cities for later resale for economic development
purposes.
DS-9. Small Business Development Financing (B)
X good array of financial tools are available
to cities to stimulate development which is in
concert with city plans and policy. However, there
is now a gap in cities' ability to pursue and aid
small business development for expansion, or
construction of their enterprises. The' use of
industrial development revenue bonds (IDRB's) for
small projects is hampered by the economics of
administrative expenses, necessary for issuesof any
size.
The League recognizes this existing gap in
developmental tools and encourages the legislature
to enable the Small Business Finance Agency to
package projects which are approved by local-city
councils into larger IDRB's. The League encour
ages the, legislature to appropriate funds as needed
by the Agency to establish reserves an ,d :cover
administrative expenses related to this, effort.
DS -7. Tax Increment Financing (C)
Tax increment financing has permitted many:
cities in various parts of the state to define and
carry out rehabilitation, redevelopment, housing,
and economic development projects on their own
initiative. It represents the most feasible''and
effective legal strategy which is currently available
to cities. to preserve and improve their, physical and
economic environment.
The League commends the 1979 legislature for
passing one of the most flexible and comprehensive
tax increment laws in the nation. The legislation
incorporates substantially the League's position.
The League believes that presently no substantive
changes are necessary.'
DS -8. Housing (C).
The League continues to encourage the use of
tax - exempt financing for housing and supports the
Minnesota Municipal Housing Revenue Bond' Act,
M.S. 462C, passed by the 1979 Legislature. and
amended in 1982.
Cities recognize that incentives for the icon -
struction and rehabilitation of housing form a
vital part of city redevelopment efforts and serve
the housing needs of its citizens, especially those
of low and moderate incomes. The League sup-
ports amendments to Chapter 462C necessary to
further assist cities in using housing revenue bond
programs both as a redevelopment. tool to en-
courage a healthy and diverse economic and social
base - and as a way to provide housing for low and
moderate income households.
-29-
Because of the federal Mortgage Subsidy Bond
Tax Act of .1980, the ability of cities to conduct
housing programs has ,been severely limited.
Federal law placed a cap on the dollar amount of
single family mortgage revenue bonds that may be
issued in the State of Minnesota for 1981, 1982
and 1983. Unless federal law .is changed, tax -
exempt housing bonds will cease to be after 1983,
unless they fall within specific exemptions in
federal law. Federal law specifies that 50% of the
annual state ceiling is allocated to the state and
50% is allocated to local issuing authorities, unless
the Legislature -or the Governor decides on another
allocation formula.
In 1981, the Legislature implemented an alterna-
tive formula by allocating 100% of . the state
volume cap to the Minnesota Housing Finance
Agency, except for specific dollar amounts which
were specially authorized for the three cities of the
first class.
In 1982, the Legislature set aside an additional
amount of the state volume cap to allow each city
in the_ state an opportunity to apply to the MHFA
for up to $10 million to finance city housing
programs. Since available issuing authority is
limited to 27'/2 of the state ceiling, less any amount
allocated by law to specified. cities, the law. in-
cludes a procedure. for ranking . programs. The
League supports the. continuation of this formula
which .allows flexibility in the use of limited
bonding authority . between the MHFA, and the
cities.
MHFA program funds should . be targeted to
cities in a manner consistent with local plans and
programs. The MHFA should continue to improve
its procedure whereby representatives of a devise
group of cities, chosen in consultation. with the
League, can participate in decision - making as to
MHFA priorities in targeting funds to cities.
DS -9. Industrial Revenue Bonds (C)
The League supports the policy of this state to
encourage cities to take an active role in .their.
economic development and redevelopment. This
policy is particularly expressed in Chapter 474 of
the Minnesota .Statutes, the Municipal Industrial
Development Act. Chapter 474 provides of the use
of industrial revenue bonds by local units of
government to prevent or remove light and econo-
mic deterioration, to. create new jobs and retain
existing ones, to maintain and strengthen tax bases,
and to retain existing businesses and attract new
business.
-30-
The League believes that the development and
redevelopment needs of cities are very diverse, and
therefore recommends that no legislation be
enacted which limits in any way the types of
projects for which industrial revenue,.bonds may be,
used.
The League recommends that any unit of
government issuing industrial revenue bonds
voluntarily adopt and follow local ,guidelines
setting forth conditions under which a .project is
consistent with a community's development plans
or policies and zoning requirements.
The League supports any changes in state law
that may be necessary to ensure that cities will be
able to use I RB's to the fullest extent possible
under the changes;made in the federal "Tax Equity
and Fiscal Responsibility Act of 1982."
DS -10. Rent Control (C)
The League of Cities opposes any effort to deal
with the issue of rent control by statewide legisla-
tion. The League has no position. in favor of
or against rent control per se. However, a uniform
state law would pre -empt cities' rights to make a
local judgment on this issue. With.respect to rent
control, as with most other issues, the-League feels
strongly that it is appropriate to allow control
over this decision to remain with local, government.
FEDERAL LEGISLATION
FL -1. General Revenue Sharing (A)
The League understands that the federal govern-
ment is considering . budget revisions that will
call for, cuts in virtually all programs of interest
to city governments. The League also recognizes
that, at this time, it does not have adequate infor-
mation to propose alternative. approaches to
dealing with a program to control the problem of
inflation. The League is quite clear, however, that
the General Revenue Sharing Program is of vital
importance to all Minnesota cities. Upon the
average, these cities utilize General Revenue
Sharing to account for . a significant portion of
their budgets. Since in. most instances these funds
are a part of the city's operating budget, reductions
in General Revenue Sharing will leave cities no
choice but to raise taxes or reduce city services and
personnel. Neither alternative is an acceptable
method of dealing with inflation.
The League, therefore, requests that federal
budget consideration; particularly as it affects
city governments and the General Revenue Sharing
Program, recognize the importance of the General
Revenue Sharing Program to our cities. It requests
that this program be given priority and, insofar as
possible, protected from reductions.
Congress and the Administration should resist
the temptation to use revenue sharing as a lever to
governmental and other reforms at the local level.
Revenue sharing should be a flexible, decentralized
program free of bureaucratic. entanglements. The
dangerous tendency of the imposition of difficult
procedural and other requirements is apparent in
the revenue sharing amendments of 1976.
The League opposes inclusion of energy sever-
ance' taxes in the calculation of fiscal effort at-
tributed to the states in the derivation of state
General Revenue Sharing amounts.
The League further requests that the National
League of Cities review the federal budgetary
situation and arrive at a more comprehensive
position with respect to a program to combat
inflation, recognizing the view that the General
Revenue Sharing Program should be given highest
priority consideration.
FL -2. Municipal Bonds (A)
i
The traditional way of financing most local
public improvements of facilities has been through
the ,issuance of bonds, and this is likely to continue
for the foreseeable future. Consequently, if the
needs for local improvements are to be met at
a reasonable cost, it is imperative that a broad
market be. maintained for municipal bonds at the
most,favorable interest rates possible.
Federal legislation. The exemption from federal
income taxes of the interest on municipal bonds
has been and continues to be the key factor in
maintaining a healthy market for municipal bonds.
This tax- exempt status of state and local issues not
only maintains a separate market for them but also
recognizes the right of state and local government
to manage their. fiscal affairs independently. In
recent years, however, some knowledgeable people
have become concerned because of their belief that
the, traditional market for state and local bonds
wiWnot be able to satisfy the rapidly growing need
for capital for public purposes. Concerns have also
been raised about existing methods of tax avoid-
ance, including the tax - exempt interest on state
and local bonds. These two concerns have resulted
in several .bills in Congress to establish programs to
lend money to municipalities by purchasing their
bonds and /or make interest on state and local
bonds taxable. While the motives. behind these
proposals may be laudable, it does not appear that
a convincing case has been made for such a radical
change which could damage the independence and
viability of state and local government. Therefore,
the League strongly urges that the tax - exempt
status of state and local bonds be maintained.
Also, the League is opposed to the federal legisla-
tion which regulates the issuance and sale of
municipal bonds, -including registration or filing
with the Securities and Exchange Commission.
FL -3. Industrial Development Bonds (A)
Industrial development bonds are useful tools
which allow cities to take an active role in fostering
a diverse range of economic development or
redevelopment projects. _ They are also the primary
means by which cities can provide employment
opportunities within the city.. Due to federal
program cutbacks, the need for locally controlled
development tools is greater than ever before.
The League therefore supports the continued
availability of small issue industrial developtiient
bonds to cities after December 31, 1986. The
League recommends, however, that any issuer
should be .required to adopt and follow local
guidelines ensuring that projects be part of an
overall economic and physical development plan.
FL4. Community Development (A)
The Community Development : Block Grant
Program is an extremely important source of
financial assistance to Minnesota Cities. Funds
from the CDBG program have often made the
difference between redevelopment, development,
and stagnation in Minnesota cities. Without
consideration of the importance of the General
Revenue Sharing Program, the CDBG program is
the most significant source of federal funds for
Minnesota cities.
It has been proposed that CDBG be folded into
a federalism program which would make a; sub-
stantial amount of funding available to the state
governments to fund city and other governments
for various purposes. We believe that the CDBG
program should not be included in a general block
grant to the states. The direct federal -local rela-
tionship established in CDBG should not be diluted
by interposing another layer of government nor
-31 -
expanding the potential coverage of the CDBG
funds to make up for deficiencies in other pro-
grams included in a state block grant but for which
the overall funding is reduced.
The CDBG program addressed long -term capital
needs in our cities. For this reason, it should be
funded on a multi -year basis and the legislative
reauthorization for it should extend to at least
three years and preferably longer.
Because of the general inflationary cycle of
our economy of the last several years, the next
reauthorization of the CDBG program should
provide at least a modest increase in funding in the
amount of 20% of the previously authorized
amounts. This is also appropriate in view of the
fact that other federal programs have been reduced
or phased out with the suggestion that the CDBG
program could cover deficiencies in other pro-
grams.
It has also been suggested that CDBG funds be
authorized to cover the cost of housing construc-
tion as an eligible CDB.G activity. Congress should
not make this change in the CDBG . law. The
potential costs of housing are so great that
authorizing housing as a use of CDBG funds would
neither provide an appropriate nor adequate source
of funding for the nation's .housing needs, nor
prevent a serious debilitation of CDBG funds from
their original capital purposes.
We support the .simplification of the CDBG
program and the increase in flexibility which could
be ,provided to city governments. We however
believe that the program should retain its focus on
meeting the needs of low and moderate income
persons as well as eliminating slums and blight and
meeting urgent community needs.
FL -5. Wastewater Treatment (B)
Clean water is important to the economic and
social well -being of not only the state of Minnesota
but the nation as a whole. The League supports
the federal government's recognition of water
quality as a national problem and feels the estab-
lishment of national water quality standards is
appropriate.
While the League supports the establishment of
national water quality standards, we feel the
programs available to help meet these standards are
inadequate in that they've tended to rely heavily
on single solution approaches which may not be
appropriate or economically ..feasible in small
communities.
As a result small cities have been required -to
install very costly central collection and treatment
systems without regard to cost /benefit considera-
tions or their ability to finance the continuing
operation of such systems. Similarly, larger cities
have been discouraged from using alternative
strategies where they might be appropriate.
Consequently, the League recommends that the
wastewater treatment programs be modified to
provide financing to upgrade alternative environ-
mentally sound systems of on -site or community
disposal of domestic and commercial waste in small
cities. The League encourages mandatory stan-
dards for individual on -site disposal systems.
In addition, the League feels the reduction in
federal funding of these programs is inappropriate
in light of the national scope of the problem.
FL -6. Cable TV N
Approximately 150 cities in Minnesota receive
cable TV service. Present state and federal law
allows for the establishment of regulatory and
service requirements through the competitive
franchise process. Minnesota.has already set-up a
workable process which assures responsible local
regulation in. the awarding of cable franchises.
This system allows local communities to provide
input into this important community service.
-32-
Because cable TV is . a local medium of com-
munication and thus is primarily a local concern,
the League opposes any legislation which will
diminish local control.
FL -7. Federal Labor Legislation (C)
In 1971, Minnesota adopted a comprehensive
public employment labor relations act which
covers all public employees within the state. The
scope of the law is sufficiently-broad to permit free
and extensive participation in the collective bar-
gaining process by both the public employee and
employer, including the right to strike for certain
employees. The League is opposed to federal labor
legislation covering state and local employees on
the grounds that it.is unconstitutional and that it is
patently unnecessary. If the United States
Supreme .Court determines that such legislation is
constitutional and that Congress finds it necessary
to adopt some sort of national' legislation in this
area, we believe the best alternative would be to in those states that do not have existing labor
extend the provision of the National Labor Rela- legislation, allowing states the opportunity to
tions Act to cover public employers and employees establish their own laws as the need arises:
-33-
TICKET ORDER FORM
STOREFRONT/YOUTH ACTION
presents
MICHAEL JOHNSON
Saturday, February 12, 8:00 p•m.
Please make checks payable to:
STOREFRONT /YOUTH ACTION
5701 Normandale Rd.
Edina, Mn., 55424
NAME
:!OMPANY (if applicable)
ADDRESS
PHONE
has ordered
@ $100.00 = $
@ $ 50.00 = $
@ $ 25.00 = $
@ $ 15.00 = $
@ $ 5.00 = $
(students)
Total $
Amount paid by cash $ check $
We cannot attend but will donate $
• . . • . . . . . . . . . . . . • • . • . . • • • . . e • • a o • • • • . 0 0 . . . . . . • o . . •
STOREFRONT /YOUTH ACTION has received $
tickets will be mailed to you prior
to the MICHAEL JOHNSON concerto If you;do not
receive them, please call 926 -1851. Thanks so
much for your support.
Date
STOREFRONT/YOUTH ACTION
Administrative Offices
5701 Normandale Road, Edina, MN 55424 (612) 926, -1851
Dear friend:
This year, Storefront /Youth Action celebrates it's
tenth anniversary. We wanted to make it a very special
occasion, and wanted to include you in our celebration,
so . . .
On Saturday, February 12; at 8:00 p.m., you are cordially
invited to join us for a benefit concert. Our artist will
be. guitarist -folk singer MICHAEL JOHNSON, known around the
country for such hits as "Bluer Than Blue" and "This Night
Won't Last Forever."
MICHAEL JOHNSON is a rare entertainer. He appeals to kids,
Moms, Dads - even grandparents, so here's an opportunity
to buy the whole family a valentine. Enjoy a wonderful
evening together, and help make sure Storefront /Youth Action
will be around for another ten years.
Enclosed is more information about the concert, and a
ticket order form to be filled out and mailed with your
check. Those ordering tickets at $100 or $50 will be our
special guests (along with other ticket bearing members of
their family) at a reception in their honor, and will have
a chance to meet Michael before the concert. (The student
rate of $5.00 applies only to high school or elementary
school students.)
We must have your order by January 31st, so tickets can
be mailed in .plenty of time. Please join our celebration!
Sincerely,
Storefront /Youth Action
Board of Directors
Adolescent Victim Counseling Program, 7145 Harriet Avenue South. Richfield, MN (612) 861 -1678
Edina Project CHarlie, 5701 Normandale Road, Edina, MN 55424 (612) 925 -9706
Richfield Project CHarlie, 7145 Harriet Avenue South, Richfield: MN 55423 (612) 861 -8260
Storefront, 7145 Harriet Avenue South, Richfield, MN 55423 (612) 861 -1675
Youth Action, 5701 Normandale Road, Edina, MN 55424 (612) 926 -1851
Storefront/Youth Action proudly presents ...
Michael Johnson
Saturday
February 12
8:00 PM
Edina High School
6754 Valley View Rd.
Door 5
... in concert
... a benefit to support counseling ticket information:.
services to youth and families ... 926-1851
help celebrate our
10th ANNIVERSARY
DOOR
PRIZES!
STOREFRONT/YOUTH ACTION
Administrative Offices
5701 Normandale Road, Edina, MN 55424 (612) 926 -1851 _
MACITY OF
"EDINA
4801 WEST 50TH STREET, EDINA, MINNESOTA 55424
612 - 927 -8861
RESOLUTION
BE IT RESOLVED by the City Council of the City of Edina, Minnesota, that
the certain plat entitled "Interlachen Ridge ", platted by Robert A. Corkins
and Rosemary T. Corkins, and presented at the regular meeting of the City
Council of February 7, 1983, be and is hereby granted final plat approval.
ADOPTED this 7th day of February, 1983.
STATE OF MINNESOTA )
COUNTY OF HENNEPIN) SS
CITY OF EDINA ) CERTIFICATE OF CITY CLERK
I, the undersigned duly appointed and Acting City Clerk for the City of
Edina, do hereby certify that the attached and foregoing resolution was
duly adopted by the Edina City Council at its Regular Meeting of February 7,
1983, and as recorded in the Minutes of said Regular Meeting.
WITNESS my hand and seal of said City this 8th day of February, 1983.
Acting City Clerk